Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS, NET

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GOODWILL AND INTANGIBLE ASSETS, NET
9 Months Ended
Sep. 30, 2017
GOODWILL AND INTANGIBLE ASSETS, NET [Abstract]  
GOODWILL AND INTANGIBLE ASSETS, NET
7. GOODWILL AND INTANGIBLE ASSETS, NET

Goodwill and intangible assets were recorded in relation to the acquisition of TC on October 1, 2014.

The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class (in thousands):
 
   
September 30, 2017
 
Intangible assets subject to amortization
(Definite-lived)
 
Gross
   
Accumulated
Amortization
   
Net
 
Customer relationships
 
$
16,852
   
$
(3,370
)
 
$
13,482
 
Non-compete agreements
   
94
     
(57
)
   
37
 
Licenses and permits
   
1,471
     
(364
)
   
1,107
 
Developed technology
   
6,131
     
(1,839
)
   
4,292
 
     
24,548
     
(5,630
)
   
18,918
 
Intangible assets not subject to amortization
(Indefinite-lived)
                       
Emissions Allowance
   
197
     
-
     
197
 
Trade name
   
2,158
     
-
     
2,158
 
Total
 
$
26,903
   
$
(5,630
)
 
$
21,273
 

   
December 31, 2016
 
Intangible assets subject to amortization
(Definite-lived)
 
Gross
   
Accumulated
Amortization
   
Net
 
Customer relationships
 
$
16,852
   
$
(2,527
)
 
$
14,325
 
Non-compete agreements
   
94
     
(43
)
   
51
 
Licenses and permits
   
1,471
     
(285
)
   
1,186
 
Developed technology
   
6,131
     
(1,379
)
   
4,752
 
     
24,548
     
(4,234
)
   
20,314
 
Intangible assets not subject to amortization
(Indefinite-lived)
                       
Emissions Allowance
   
197
     
-
     
197
 
Trade name
   
2,158
     
-
     
2,158
 
Total
 
$
26,903
   
$
(4,234
)
 
$
22,669
 


Amortization expense for intangible assets included in cost of sales for the three months ended September 30, 2017, and 2016, was approximately $466,000 and $471,000 and for the nine months ended September 30, 2017 and 2016, was approximately $1,396,000 and $1,415,000, respectively.

Based on identified intangible assets that are subject to amortization as of September 30, 2017, we expect future amortization expenses for each period to be as follows (in thousands):
 
   
Remainder of
2017
   
2018
   
2019
   
2020
   
2021
   
Thereafter
 
Customer relationships
 
$
282
   
$
1,123
   
$
1,123
   
$
1,123
     
1,123
   
$
8,710
 
Non-compete agreements
   
5
     
19
     
12
     
-
     
-
     
-
 
Licenses and permits
   
26
     
106
     
106
     
106
     
106
     
656
 
Developed technology
   
153
     
613
     
613
     
613
     
613
     
1,687
 
Total future amortization expense
 
$
466
   
$
1,861
   
$
1,854
   
$
1,842
   
$
1,842
   
$
11,053