GOODWILL AND INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in goodwill for the six months ended June 30, 2013 and for the year ended December 31, 2012 are as follows:



	June 30, 2013			December 31, 2012
Balance at beginning of period	$	5,535,848		$	5,795,765
Goodwill acquired during the period	130,192			28,144
Goodwill impairment and write-off associated with sale of business during the period	—			(85,173		)
Reclassification to non-current assets held for sale	—			(218,795		)
(Decrease) increase related to foreign currency translation	(195		)	15,907
Balance at end of period	$	5,665,845		$	5,535,848

Approximately 90% of the Company’s goodwill as of June 30, 2013 and December 31, 2012 was associated with its clinical testing business.

For the six months ended June 30, 2013, goodwill acquired was principally associated with the UMass, Dignity and ATN acquisitions, which is deductible for tax purposes. These acquisitions resulted in $94.9 million of intangible assets, principally comprised of customer-related intangibles.

For the year ended December 31, 2012, goodwill acquired was principally associated with the acquisition of S.E.D. Medical Laboratories. Approximately $28 million and $19 million, respectively, represented goodwill, which is deductible for tax purposes, and intangible assets, principally comprised of customer-related intangibles.

For the year ended December 31, 2012, goodwill impairment was associated with HemoCue and the write-off of goodwill was associated with the sale of OralDNA during the fourth quarter of 2012. For further details regarding goodwill included in non-current assets held for sale, see Note 18 to the Consolidated Financial Statements in the Company's 2012 Annual Report on Form 10-K.

Intangible assets at June 30, 2013 and December 31, 2012 consisted of the following:



	Weighted Average Amortization Period (in Years)	June 30, 2013							December 31, 2012
		Cost		Accumulated Amortization			Net		Cost		Accumulated Amortization			Net
Amortizing intangible assets:
Customer-related intangibles	18	$	657,901	$	(190,909	)	$	466,992	$	566,701	$	(173,516	)	$	393,185
Non-compete agreements	4	41,651		(21,893		)	19,758		38,551		(17,123		)	21,428
Technology	14	131,040		(31,002		)	100,038		131,040		(25,144		)	105,896
Other	8	143,806		(48,652		)	95,154		141,818		(37,634		)	104,184
Total	16	974,398		(292,456		)	681,942		878,110		(253,417		)	624,693

Intangible assets not subject to amortization:
Tradenames		246,200		—			246,200		246,200		—			246,200
In-process research and development		120		—			120		120		—			120
Other		1,159		—			1,159		1,159		—			1,159
Total intangible assets		$	1,221,877	$	(292,456	)	$	929,421	$	1,125,589	$	(253,417	)	$	872,172

Amortization expense related to intangible assets was $19.8 million and $18.8 million for the three months ended June 30, 2013 and 2012, respectively. For the six months ended June 30, 2013 and 2012, amortization expense related to intangible assets was $39.0 million and $37.6 million, respectively.

The estimated amortization expense related to amortizable intangible assets for each of the five succeeding fiscal years and thereafter as of June 30, 2013 is as follows:



Year Ending December 31,
Remainder of 2013	$	40,539
2014	77,376
2015	65,963
2016	58,922
2017	55,168
2018	48,428
Thereafter	335,546
Total	$	681,942

- 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.

+ References+ Details