Note 6. Intangible Assets

12 Months Ended

Sep. 30, 2012

Intangible Assets Disclosure [Text Block]

6. Intangible Assets

Changes in the carrying amount of intangible assets are as follows:

	September 30, 2012
	Gross Amount		Accumulated Amortization			Impairment			Net Amount
Intangible assets:
Domain and trade names	$	26	$	(26	)	$	-		$	-
Customer related		4,187		(2,654	)		(281	)		1,252
Non-compete agreements		877		(602	)		-			275
Acquired software		362		(362	)		-			-
Total intangible assets	$	5,452	$	(3,644	)	$	(281	)	$	1,527

	September 30, 2011
	Gross Amount		Accumulated Amortization			Impairment		Net Amount
Intangible assets:
Domain and trade names	$	26	$	(26	)	$	-	$	-
Customer related		3,397		(2,032	)		-		1,365
Non-compete agreements		637		(475	)		-		162
Acquired software		362		(362	)		-		-
Total intangible assets	$	4,422	$	(2,895	)	$	-	$	1,527

Total amortization expense related to intangible assets for the years ended September 30, 2012 and 2011 is reflected in the Company’s Consolidated Statements of Operations as follows:

	September 30,
	2012		2011

Cost of revenue	$	-	$	29
Operating expense (a)		1,030		736
Total	$	1,030	$	765

(a) Included in operating expense for fiscal 2012 was a charge to operations of $281 thousand for an impairment charge related to an asset assumed from our fiscal 2010 acquisition of e.Magination and its wholly-owned subsidiary e.Magination IG, LLC (now Bridgeline Intelligence Group, Inc). In the first quarter of fiscal 2012, the Company stopped servicing low margin non-iAPPS opportunities acquired from e.Magination IG, LLC. It was therefore determined that a portion of the customer list was impaired.

The estimated amortization expense for fiscal years 2013, 2014, 2015, 2016 and thereafter is, in thousands: $494, $376, $317, $193 and $147, respectively.

- Definition

The entire disclosure for all or part of the information related to intangible assets.

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