Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

The following sets forth the goodwill and intangible assets by major asset class:



		September 30, 2014							December 31, 2013
	Useful Life (Yrs)	Gross		Accumulated Amortization			Net Book Value		Gross		Accumulated Amortization			Net Book Value
Non-Amortizing:
Goodwill(a)		$	10,113,371	$	—		$	10,113,371	$	10,113,371	$	—		$	10,113,371
Amortizing:
Patents	8 – 17	5,802,528		(5,305,963		)	496,565		5,802,528		(5,128,227		)	674,301
Licenses	8 – 17	1,323,761		(1,097,178		)	226,583		1,323,761		(1,075,617		)	248,144
CELLECTRA^®(b)	5 – 11	8,106,270		(5,864,096		)	2,242,174		8,106,270		(5,543,786		)	2,562,484
GHRH(b)	11	335,314		(168,978		)	166,336		335,314		(145,215		)	190,099
Other(c)	18	4,050,000		(2,175,000		)	1,875,000		4,050,000		(2,006,250		)	2,043,750
Total intangible assets		19,617,873		(14,611,215		)	5,006,658		19,617,873		(13,899,095		)	5,718,778
Total goodwill and intangible assets		$	29,731,244	$	(14,611,215	)	$	15,120,029	$	29,731,244	$	(13,899,095	)	$	15,832,149


(a)	Goodwill was recorded from the Inovio AS acquisition in January 2005 and from the acquisition of VGX in June 2009 for $3.9 million and $6.2 million, respectively.


(b)	CELLECTRA^® and GHRH are developed technologies which were recorded from the acquisition of VGX.


(c)	Other intangible assets represent the fair value of acquired intellectual property from the Inovio AS acquisition.

Aggregate amortization expense on intangible assets for the three and nine months ended September 30, 2014 was $235,000 and $712,000, respectively. Aggregate amortization expense on intangible assets for the three and nine months ended September 30, 2013 was $440,000 and $1.3 million, respectively. Estimated aggregate amortization expense for each of the five succeeding fiscal years is $231,000 for the remainder of fiscal year 2014, $870,000 for 2015, $816,000 for 2016, $775,000 for 2017, $773,000 for 2018 and $1.5 million for 2019 and the years thereafter.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References+ Details