Goodwill and Other Intangible Assets

3 Months Ended

Mar. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS

Amortization of intangible assets for the three months ended March 31, 2015 and 2014 was $4.8 million and $2.7 million, respectively. Amortization of intangible assets is estimated to be approximately $13 million for the remainder of 2015, $17 million in 2016, $14 million in 2017, $13 million in 2018, $12 million in 2019 and $22 million thereafter.

The changes in the carrying amount of goodwill, by segment, were as follows:



(in thousands)	Education			Cable		Television Broadcasting		Other Businesses			Total
Balance as of December 31, 2014
Goodwill	$	1,057,226		$	85,488	$	168,345	$	145,992		$	1,457,051
Accumulated impairment losses	(102,259		)	—		—		(6,082		)	(108,341		)
	954,967			85,488		168,345		139,910			1,348,710
Dispositions	—			—		—		(7,614		)	(7,614		)
Reclassification to assets held for sale	(7,526		)	—		—		—			(7,526		)
Foreign currency exchange rate changes	(19,219		)	—		—		—			(19,219		)
Balance as of March 31, 2015
Goodwill	1,030,481			85,488		168,345		138,378			1,422,692
Accumulated impairment losses	(102,259		)	—		—		(6,082		)	(108,341		)
	$	928,222		$	85,488	$	168,345	$	132,296		$	1,314,351

The changes in carrying amount of goodwill at the Company’s education division were as follows:



(in thousands)	Higher Education			Test Preparation			Kaplan International			Total
Balance as of December 31, 2014
Goodwill	$	409,884		$	166,098		$	481,244		$	1,057,226
Accumulated impairment losses	—			(102,259		)	—			(102,259		)
	409,884			63,839			481,244			954,967
Reclassification to assets held for sale	(7,526		)	—			—			(7,526		)
Foreign currency exchange rate changes	(169		)	—			(19,050		)	(19,219		)
Balance as of March 31, 2015
Goodwill	402,189			166,098			462,194			1,030,481
Accumulated impairment losses	—			(102,259		)	—			(102,259		)
	$	402,189		$	63,839		$	462,194		$	928,222

Other intangible assets consist of the following:



		As of March 31, 2015						As of December 31, 2014
(in thousands)	Useful Life Range	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Amortized Intangible Assets
Noncompete agreements	2–5 years	$	1,680	$	1,070	$	610	$	2,500	$	1,590	$	910
Student and customer relationships	2–10 years	103,480		49,503		53,977		104,685		47,539		57,146
Databases and technology	3–5 years	10,518		9,024		1,494		10,501		8,827		1,674
Trade names and trademarks	2–10 years	54,281		20,812		33,469		55,452		19,724		35,728
Other	1–25 years	6,317		5,013		1,304		8,969		7,480		1,489
		$	176,276	$	85,422	$	90,854	$	182,107	$	85,160	$	96,947
Indefinite-Lived Intangible Assets
Franchise agreements		$	496,321					$	496,321
Licensure and accreditation		994						6,781
Other		13,651						13,651
		$	510,966					$	516,753

- 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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