Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS, NET

v2.4.1.9
GOODWILL AND INTANGIBLE ASSETS, NET
 3 Months Ended
Mar. 31, 2015
GOODWILL AND INTANGIBLE ASSETS, NET [Abstract]  
GOODWILL AND INTANGIBLE ASSETS, NET
6. GOODWILL AND INTANGIBLE ASSETS, NET
 
Goodwill and intangible assets were recorded in relation to the acquisition of TC on October 1, 2014.

Goodwill


The balance of Goodwill was $21.8 million at March 31, 2015, and December 31, 2014.  We believe due to the recent nature of the Acquisition, no goodwill impairment existed at March 31, 2015.

 Intangible Assets

The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class (in thousands):

   
March 31, 2015
  
Intangible assets subject to amortization
(Definite-lived)
  
Gross
    
Accumulated
Amortization
    
Net
  
Customer relationships
  
$
16,852
    
$
(562
)
  
$
16,290
  
Non-compete agreements
    
94
      
(10
)
    
84
  
Licenses and permits
    
1,471
      
(64
)
    
1,407
  
Developed technology
    
6,131
      
(306
)
    
5,825
  
     
24,548
      
(942
)
    
23,606
  
Intangible assets not subject to amortization
(Indefinite-lived)
                        
Trade name
    
2,158
      
-
      
2,158
  
Total
  
$
26,706
    
$
(942
)
  
$
25,764
  

   
December 31, 2014
  
Intangible assets subject to amortization
(Definite-lived)
  
Gross
    
Accumulated
Amortization
    
Net
  
Customer relationships
  
$
16,852
    
$
(281
)
  
$
16,571
  
Non-compete agreements
    
94
      
(5
)
    
89
  
Licenses and permits
    
1,471
      
(32
)
    
1,439
  
Developed technology
    
6,131
      
(153
)
    
5,978
  
     
24,548
      
(471
)
    
24,077
  
Intangible assets not subject to amortization
(Indefinite-lived)
                        
Trade name
    
2,158
      
-
      
2,158
  
Total
  
$
26,706
    
$
(471
)
  
$
26,235
  

Amortization expense for intangible assets included in cost of sales for the three months ended March 31, 2015, and 2014 was approximately $471,000 and $0, respectively.

Based on identified intangible assets that are subject to amortization as of March 31, 2015, we expect future amortization expenses for each period to be as follows (in thousands):

   
Remainder of
2015
    
2016
    
2017
    
2018
    
2019
  
Customer relationships
  
$
842
    
$
1,123
    
$
1,123
    
$
1,123
    
$
1,123
  
Non-compete agreements
    
14
      
19
      
19
      
19
      
14
  
Licenses and permits
    
97
      
123
      
106
      
106
      
106
  
Developed technology
    
460
      
613
      
613
      
613
      
613
  
Total future amortization expense
  
$
1,413
    
$
1,878
    
$
1,861
      
1,861
    
$
1,856