Goodwill and Long-lived Assets

3 Months Ended

Mar. 31, 2020

Notes To Financial Statements [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Goodwill

The change in the carrying value of goodwill for the three months ended March 31, 2020, all attributable to our Clear Aligner reporting unit, is as follows (in thousands):

	Total
Balance as of December 31, 2019	$	63,924
Adjustments 1	(640)
Balance as of March 31, 2020	$	63,284

¹ Adjustments were related to foreign currency translation within the measurement period.

During the fourth quarter of fiscal 2019, we performed the annual goodwill impairment testing and found no impairment as the fair value of our Clear Aligner reporting unit was significantly in excess of the carrying value.

Intangible Long-Lived Assets

Acquired intangible long-lived assets are being amortized as follows (in thousands): 

	Weighted Average Amortization Period (in years)	Gross Carrying Amount as of March 31, 2020		Accumulated Amortization		Accumulated Impairment Loss		Net Carrying Value as of March 31, 2020
Trademarks	15	$	7,100	$	(2,080)	$	(4,179)	$	841
Existing technology	13	12,600		(5,972)		(4,328)		2,300
Customer relationships	11	33,500		(18,870)		(10,751)		3,879
Reacquired rights	3	7,500		(7,500)		—		—
Patents	8	6,796		(3,377)		—		3,419
Other	2	618		(590)		—		28
Total intangible assets		$	68,114	$	(38,389)	$	(19,258)	$	10,467

	Weighted Average Amortization Period (in years)	Gross Carrying Amount as of December 31, 2019		Accumulated Amortization		Accumulated Impairment Loss		Net Carrying Value as of December 31, 2019
Trademarks	15	$	7,100	$	(2,045)	$	(4,179)	$	876
Existing technology	13	12,600		(5,831)		(4,328)		2,441
Customer relationships	11	33,500		(18,405)		(10,751)		4,344
Reacquired rights	3	7,500		(7,059)		—		441
Patents	8	6,796		(3,165)		—		3,631
Other	2	618		(583)		—		35
Total intangible assets		$	68,114	$	(37,088)	$	(19,258)	$	11,768

The total estimated annual future amortization expense for these acquired intangible assets as of March 31, 2020 is as follows (in thousands):

Fiscal Year Ending December 31,	Amortization
Remainder of 2020	$	2,544
2021	3,372
2022	2,116
2023	1,495
2024	555
Thereafter	385
Total	$	10,467

Amortization expense for the three months ended March 31, 2020 and 2019 was $1.3 million and $1.5 million, respectively.