Goodwill and Purchased Intangible Assets

6 Months Ended

Jun. 30, 2011

Goodwill and Purchased Intangible Assets [Abstract]

Goodwill and Purchased Intangible Assets

12. Goodwill and Purchased Intangible Assets

The following table summarizes goodwill allocated to the Company’s business segments as of June 30, 2011 and December 31, 2010 (in thousands):


			Sapient Global
	Sapient Nitro		Markets		Total
Goodwill as of December 31,2010	$	52,902	$	24,963	$	77,865
Contingent consideration recorded during the period		—		4,872		4,872
Foreign currency exchange rate effect		206		472		678

Goodwill as of June 30, 2011	$	53,108	$	30,307	$	83,415

The following table summarizes purchased intangible assets as of June 30, 2011 and December 31, 2010 (in thousands; the gross carrying amounts of purchased intangible assets denominated in foreign currencies are reflected at the respective balance sheet date exchange rate):


	June 30, 2011
	Gross					Net
	Carrying		Accumulated			Book
	Amount		Amortization			Value
Customer lists and customer relationships	$	23,190	$	(14.063	)	$	9,127
SAP license agreement		1,100		(1,100	)		—
Non-compete agreements		8,693		(3,851	)		4,842
Tradename		3,202		(1,853	)		1,349

Total purchased intangible assets	$	36,185	$	(20,867	)	$	15,318


	December 31, 2010
	Gross					Net
	Carrying		Accumulated			Book
	Amount		Amortization			Value
Customer lists and customer relationships	$	22,954	$	(12,351	)	$	10,603
SAP license agreement		1,100		(1,100	)		—
Non-compete agreements		8,538		(3,074	)		5,464
Tradename		3,149		(1,587	)		1,562

Total purchased intangible assets	$	35,741	$	(18,112	)	$	17,629

Amortization expense related to purchased intangible assets was $1.3 million and $1.4 million for the three months ended June 30, 2011 and 2010, respectively, and $2.6 million and $2.8 million for the six months ended June 30, 2011 and 2010, respectively.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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