Goodwill And Other Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

The following table shows goodwill by segment as of December 31, 2016 and 2015 (in thousands):



	Energy			Advanced Flow Solutions			Consolidated Total
Goodwill as of December 31, 2015	$	43,687		$	71,765		$	115,452
Business acquisition (Note 3)	93,228			197			93,425
Transfers (1)	8,285			(8,285		)	—
Currency translation adjustments	(795		)	(1,423		)	(2,218		)
Goodwill as of December 31, 2016	$	144,405		$	62,254		$	206,659

(1) In connection with our Q4 organizational realignment certain goodwill amounts transferred from Energy to Advanced Flow Solutions.



	Energy			Advanced Flow Solutions			Consolidated Total
Goodwill as of December 31, 2014	$	48,070		$	24,359		$	72,429
Business acquisition (Note 3)	—			49,387			49,387
Currency translation adjustments	(4,383		)	(1,981		)	(6,364		)
Goodwill as of December 31, 2015	$	43,687		$	71,765		$	115,452

As of both December 31, 2016 and 2015 the goodwill balance has been reduced by $0.4 million and $0.3 million of accumulated impairments for Energy and Advanced Flow Solutions, respectively.

The tables below present gross intangible assets and the related accumulated amortization (in thousands):



	December 31, 2016
	Gross Carrying Amount		Impairment Charges			Accumulated Amortization			Net Carrying Value
Patents	$	5,399	$	(208	)	$	(5,176	)	$	15
Non-amortized intangibles (primarily trademarks and tradenames)	38,235		—			—			38,235
Customer relationships	99,769		—			(30,100		)	69,669
Order backlog	6,955		—			(6,336		)	619
Acquired technology	28,044		—			(1,512		)	26,532
Other	5,095		—			(4,386		)	709
Total	$	183,497	$	(208	)	$	(47,510	)	$	135,779



	December 31, 2015
	Gross Carrying Amount		Impairment Charges			Accumulated Amortization			Net Carrying Value
Patents	$	6,039	$	—		$	(5,765	)	$	274
Non-amortized intangibles (primarily trademarks and tradenames)	15,802		(460		)	—			15,342
Customer relationships	53,238		—			(24,029		)	29,209
Order backlog	5,120		—			(3,893		)	1,227
Acquired technology	2,317		—			(427		)	1,890
Other	5,611		—			(4,572		)	1,039
Total	$	88,127	$	(460	)	$	(38,686	)	$	48,981

The table below presents estimated future amortization expense for intangible assets recorded as of December 31, 2016 (in thousands):



	2017		2018		2019		2020		2021		After 2022
Estimated amortization expense	$	12,280	$	10,734	$	10,658	$	9,356	$	7,963	$	46,553

The annual impairment testing of our non-amortized intangible assets has been completed and consisted of a comparison of the fair value of the intangible assets with carrying amounts. No impairments of our non-amortized intangible assets were recorded for the year ended December 31, 2016.

During the three months ended October 2, 2016, we recorded a $0.2 million impairment charge for a China patent deemed to no longer have economic value. The impairment charge is included in the impairment charge line on our consolidated statement of income. During the third quarter of 2015, we discontinued use of our Brazil indefinite-lived trademark as it was determined to have no future economic life. As such, we recorded a $0.5 million impairment charge during the quarter ended October 4, 2015.

- 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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