Other Intangible Assets

3 Months Ended

Mar. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

The Company’s finite-lived intangible assets are stated at cost less accumulated amortization. The Company assesses its intangible and other long-lived assets for impairment whenever events or changes in circumstances suggest that the carrying value of an asset may not be recoverable. The Company recognizes an impairment loss for intangibles and other finite-lived assets if the carrying amount of a long-lived asset is not recoverable based on its undiscounted future cash flows. Any such impairment loss is measured as the difference between the carrying amount and the fair value of the asset. The estimation of useful lives and expected cash flows requires the Company to make significant judgments regarding future periods that are subject to some factors outside its control. Changes in these estimates can result in significant revisions to the carrying value of these assets and may result in material charges to the results of operations. The Company recorded $32.9 million of other intangible assets as a result of the acquisition of Neighborhood Diabetes. The estimated life of the acquired tradename asset is 15 years. The estimated useful life of the acquired customer relationship asset is 10 years. Intangible assets with determinable estimated lives are amortized over these lives.

Other intangible assets consist of the following (in thousands):



	As of
	March 31, 2015							December 31, 2014
	Cost		Accumulated Amortization			Net Book Value		Cost		Accumulated Amortization			Net Book Value
Customer relationships	$	30,100	$	(19,029	)	$	11,071	$	30,100	$	(18,167	)	$	11,933
Tradename	2,800		(716		)	2,084		2,800		(669		)	2,131
Total intangible assets	$	32,900	$	(19,745	)	$	13,155	$	32,900	$	(18,836	)	$	14,064

Amortization expense related to other intangible assets was approximately $0.9 million and $1.1 million for the three months ended March 31, 2015 and 2014, respectively.

Amortization expense expected for the next five years and thereafter is as follows (in thousands):



	Amortization Expense
Years Ending December 31,	Customer Relationships		Tradename		Total
2015 (remaining)	$	2,202	$	140	$	2,342
2016	2,478		187		2,665
2017	2,003		187		2,190
2018	1,619		187		1,806
2019	1,309		187		1,496
Thereafter	1,460		1,196		2,656
Total	$	11,071	$	2,084	$	13,155

As of March 31, 2015, the weighted average amortization period of the Company’s intangible assets is approximately 7 years.