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Acquired Intangible Assets, Net | 12 Months Ended
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Dec. 31, 2012
Acquired Intangible Assets, Net | 6. Acquired Intangible Assets, Net In November 2007, in connection with the termination of the agreement with Galderma which originally granted to Galderma the worldwide rights to commercialization, distribution, and marketing of ELEVESS products, the Company reacquired the worldwide rights and control of the future development and marketing of ELEVESS. The intangible asset realized during this process was the ELEVESS trade name. On December 30, 2009, in connection with the acquisition of Anika S.r.l., the Company purchased various intangible assets. The Company finalized the purchase price allocation relative to this acquisition during the fourth quarter of 2010. Excluding our fourth quarter of 2012 restructuring and impairment charges, we completed our annual impairment review as of November 30, 2012 and concluded that no impairment in the carrying value exists as of that date with respect to both goodwill and IPR&D. Through December 31, 2012 there have not been any events or changes in circumstances that indicate that the carrying value of goodwill or acquired intangible assets may not be recoverable. The fair value of the equity of the Anika S.r.l. reporting unit over its carrying value at November 30, 2012 declined from the prior year. The Company continues to monitor and evaluate the financial performance of the Anika S.r.l. business including the impact of general economic conditions, to assess the potential for the fair value of the reporting unit to decline below its book value. See Note 16, Restructuring, for additional disclosure. Amortization expense was $2,028,498, $2,186,203, and $2,011,639 for the years ended December 31, 2012, 2011 and 2010, respectively. As of December 31, 2012, amortization expense on intangible assets for the next five years is expected to be approximately $2.0 million annually. Intangible assets, stated at cost, consist of the following:
|  |  |  |  | December 31, 2012 |  |  | December 31, 2011 |
|  | Gross Value |  |  | Currency Translation Adjustment |  |  | Abandonments and Other Adjustments |  |  | Accumulated Amortization |  |  | Net Book Value |  |  | Net Book Value |  |  | Useful Life |
Developed technology |  | $ | 16,700,000 |  |  | $ | (1,369,787 | ) |  | $ | - |  |  | $ | (2,960,171 | ) |  | $ | 12,370,042 |  |  | $ | 13,228,351 |  |  |  | 15 |
In-process research & development |  |  | 6,698,000 |  |  |  | (522,112 | ) |  |  | (1,195,314 | ) |  |  | - |  |  |  | 4,980,574 |  |  |  | 5,955,066 |  |  | Indefinite |
Distributor relationships |  |  | 4,700,000 |  |  |  | (424,639 | ) |  |  | - |  |  |  | (2,541,908 | ) |  |  | 1,733,453 |  |  |  | 2,547,842 |  |  |  | 5 |
Patents |  |  | 1,000,000 |  |  |  | (81,824 | ) |  |  | - |  |  |  | (169,010 | ) |  |  | 749,166 |  |  |  | 790,555 |  |  |  | 16 |
Elevess trade name |  |  | 1,000,000 |  |  |  | - |  |  |  | - |  |  |  | (498,599 | ) |  |  | 501,401 |  |  |  | 626,749 |  |  |  | 9 |
Total |  | $ | 30,098,000 |  |  | $ | (2,398,362 | ) |  | $ | (1,195,314 | ) |  | $ | (6,169,688 | ) |  | $ | 20,334,636 |  |  | $ | 23,148,563 |  |  |  |  |

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- Definition The entire disclosure for all or part of the information related to intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 142 -Paragraph 44, 45, 46 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16323-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16373-109275 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16265-109275 + Details
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