| 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:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30, 2018 |
|
|
Gross |
|
Accumulated
Amortization
|
|
Net |
Intangible assets subject to amortization (Definite-lived) |
|
(thousands of dollars) |
Customer relationships |
|
$ |
16,852 |
|
|
$ |
(4,494 |
) |
|
$ |
12,358 |
|
Non-compete agreements |
|
94 |
|
|
(75 |
) |
|
19 |
|
Licenses and permits |
|
1,471 |
|
|
(469 |
) |
|
1,002 |
|
Developed technology |
|
6,131 |
|
|
(2,453 |
) |
|
3,678 |
|
|
|
24,548 |
|
|
(7,491 |
) |
|
17,057 |
|
Intangible assets not subject to amortization (Indefinite-lived) |
|
|
|
|
|
|
Emissions Allowance |
|
197 |
|
|
— |
|
|
197 |
|
Trade name |
|
2,158 |
|
|
— |
|
|
2,158 |
|
Total |
|
$ |
26,903 |
|
|
$ |
(7,491 |
) |
|
$ |
19,412 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2017 |
|
|
Gross |
|
Accumulated
Amortization
|
|
Net |
Intangible assets subject to amortization (Definite-lived) |
|
(thousands of dollars) |
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 September 30, 2018 and 2017, was approximately $465,000 and $466,000, respectively, and for the nine months ended September 30, 2018 and 2017, was approximately $1,396,000 and $1,396,000, respectively.
Based on identified intangible assets that are subject to amortization as of September 30, 2018, we expect future amortization expenses for each period to be as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
Remainder of 2018 |
|
|
2019 |
|
|
2020 |
|
|
2021 |
|
|
2022 |
|
|
2023 |
|
|
Thereafter |
|
|
|
(thousands of dollars) |
Customer relationships |
|
$ |
12,358 |
|
|
$ |
281 |
|
|
$ |
1,123 |
|
|
$ |
1,123 |
|
|
1,123 |
|
|
1,123 |
|
|
1,123 |
|
|
$ |
6,462 |
|
Non-compete agreements |
|
19 |
|
|
5 |
|
|
14 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Licenses and permits |
|
1,002 |
|
|
26 |
|
|
106 |
|
|
106 |
|
|
101 |
|
|
86 |
|
|
86 |
|
|
491 |
|
Developed technology |
|
3,678 |
|
|
153 |
|
|
613 |
|
|
613 |
|
|
613 |
|
|
613 |
|
|
613 |
|
|
460 |
|
Total future amortization expense |
|
$ |
17,057 |
|
|
$ |
465 |
|
|
$ |
1,856 |
|
|
$ |
1,842 |
|
|
$ |
1,837 |
|
|
$ |
1,822 |
|
|
$ |
1,822 |
|
|
$ |
7,413 |
|
|