Other intangible assets

Other intangible assets consist of the following as of December 31, 2018 and 2017:



	Favorable lease assets		Internet sites		Trade names		Software		Total
	$'000		$'000		$'000		$'000		$'000


Carrying amount:
Balance at January 1, 2017	8,501		1,658		7,579		—		17,738
Additions	—		—		6,100		—		6,100
Disposals	—		(247	)	—		—		(247	)
Foreign currency translation adjustment	59		168		322		—		549

Balance at December 31, 2017	8,560		1,579		14,001		—		24,140

Additions	—		1,858		2,676		6,230		10,764
Impairment	(468	)	—		—		—		(468	)
Disposals	—		(754	)	—		—		(754	)
Foreign currency translation adjustment	(264	)	(175	)	(1,660	)	(281	)	(2,380	)

Balance at December 31, 2018	7,828		2,508		15,017		5,949		31,302

Accumulated amortization:
Balance at January 1, 2017	2,636		1,225				—		3,861
Charge for the year	434		166				—		600
Disposals	—		(247	)			—		(247	)
Foreign currency translation adjustment	22		126				—		148

Balance at December 31, 2017	3,092		1,270				—		4,362

Charge for the year	347		258				481		1,086
Disposals	—		(754	)			—		(754	)
Impairment	(312	)	—				—		(312	)
Foreign currency translation adjustment	(115	)	(84	)			(22	)	(221	)

Balance at December 31, 2018	3,012		690				459		4,161

Net book value:
December 31, 2016	5,865		433		7,579		—		13,877

December 31, 2017	5,468		309		14,001		—		19,778

December 31, 2018	4,816		1,818		15,017		5,490		27,141

Favorable lease intangible assets are amortized over the terms of the leases, which are between 19 and 60 years. Internet sites are amortized over a period of five to ten years. Software is amortized over a period of ten years. Trade names have an indefinite life and therefore are not amortized, but are assessed for impairment annually or when events indicate that impairment may have occurred.

In the year ended December 31, 2018, trade name additions of $2,676,000 were recognized on the acquisition of Castello di Casole. See Note 5.

In the year ended December 31, 2018, software additions of $6,230,000 were recognized in relation to the Company's new enterprise resource planning and customer relationship management systems and internet sites additions of $1,858,000 were recognized in relation to the overhaul of the Company's website. These additions relating to work-in-progress have been reclassified from property, plant and equipment to other intangible assets.

In the year ended December 31, 2017, trade name additions of $6,100,000 were recognized on the acquisition of Cap Juluca. See Note 5.

Amortization expense from continuing operations for the year ended December 31, 2018 was $1,086,000 (2017 - $600,000; 2016 - $561,000). Estimated amortization expense for each of the years ending December 31, 2019 to December 31, 2023 is approximately $1,750,000.

During the year ended December 31, 2018, Belmond identified a non-cash favorable lease asset impairment of $156,000 at Belmond Governor’s Residence. Belmond determined that the impairment was triggered by the fall in tourist arrivals in Myanmar, due to negative perceptions of the country, adversely impacting the discounted cash flows, resulting in a full impairment of the favorable lease asset balance. The favorable lease asset impairment charge is included within impairment of property, plant and equipment and other assets in the statements of consolidated operations.

In the years ended December 31, 2017 and 2016, no impairments of other intangible assets were recognized.

The trade names of Belmond Cap Juluca, Belmond Grand Hotel Europe and Belmond Castello di Casole were tested for impairment as of October 1, 2018. Under the first step of the impairment test, the fair value of the Belmond Cap Juluca trade name was approximately 225% in excess of its carrying value, the fair value of the Belmond Grand Hotel Europe trade name was approximately 31% in excess of its carrying value and the fair value of the Belmond Castello di Casole trade name was approximately 32% in excess of its carrying value. Belmond Cap Juluca, Belmond Grand Hotel Europe and Belmond Castello di Casole had trade name balances of $6,100,000, $6,419,000 and $2,498,000, respectively, at December 31, 2018. See Note 10 for discussion of factors that could reasonably be expected to potentially have an adverse effect on the fair value of the Belmond Grand Hotel Europe and Belmond Castello di Casole trade names.