Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS, NET

v3.10.0.1
GOODWILL AND INTANGIBLE ASSETS, NET
6 Months Ended
Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS, NET
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):
 
 
June 30, 2018
 
Intangible assets subject to amortization (Definite-lived)
 
Gross
 
Accumulated
Amortization
 
Net
Customer relationships
 
$
16,852

 
$
(4,213
)
 
$
12,639

Non-compete agreements
 
94

 
(71
)
 
23

Licenses and permits
 
1,471

 
(443
)
 
1,028

Developed technology
 
6,131

 
(2,299
)
 
3,832

 
 
24,548

 
(7,026
)
 
17,522

Intangible assets not subject to amortization (Indefinite-lived)
 
 
 
 
 
 
Emissions Allowance
 
197

 

 
197

Trade name
 
2,158

 

 
2,158

Total
 
$
26,903

 
$
(7,026
)
 
$
19,877


 
 
December 31, 2017
 
Intangible assets subject to amortization (Definite-lived)
 
Gross
 
Accumulated
Amortization
 
Net
Customer relationships
 
$
16,852

 
$
(3,651
)
 
$
13,201

Non-compete agreements
 
94

 
(61
)
 
33

Licenses and permits
 
1,471

 
(390
)
 
1,081

Developed technology
 
6,131

 
(1,993
)
 
4,138

 
 
24,548

 
(6,095
)
 
18,453

Intangible assets not subject to amortization (Indefinite-lived)
 
 
 
 
 
 
Emissions Allowance
 
197

 

 
197

Trade name
 
2,158

 

 
2,158

Total
 
$
26,903

 
$
(6,095
)
 
$
20,808



Amortization expense for intangible assets included in cost of sales for the three months ended June 30, 2018, and 2017, was approximately $465,000 and $466,000, and for the six months ended June 30, 2018, and 2017, was approximately $931,000 and $931,000, respectively.

Based on identified intangible assets that are subject to amortization as of June 30, 2018, we expect future amortization expenses for each period to be as follows (in thousands):

 
 
Total

 
Remainder of 2018

 
2019

 
2020

 
2021

 
2022

 
2023

 
Thereafter

Customer relationships
 
$
12,639

 
$
562

 
$
1,123

 
$
1,123

 
1,123

 
1,123

 
1,123

 
$
6,462

Non-compete agreements
 
23

 
9

 
14

 

 

 

 

 

Licenses and permits
 
1,028

 
53

 
106

 
106

 
101

 
86

 
86

 
490

Developed technology
 
3,832

 
307

 
613

 
613

 
613

 
613

 
613

 
460

Total future amortization expense
 
$
17,522

 
$
931

 
$
1,856

 
$
1,842

 
$
1,837

 
$
1,822

 
$
1,822

 
$
7,412