Intangible Assets and Goodwill

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS AND GOODWILL

Our purchased definite-lived intangible assets as of December 31, 2017 and 2016 are summarized as follows:



(In thousands)	Customer Relationships			Trademark			Developed Technology			Total
Gross carrying amount	$	82,300		$	10,900		$	24,100		$	117,300
Accumulated amortization for year ended December 31, 2016	(6,398		)	(832		)	(2,952		)	(10,182		)
Net intangible assets as of December 31, 2016	75,902			10,068			21,148			107,118
Accumulated amortization for year ended December 31, 2017	(6,539		)	(850		)	(3,016		)	(10,405		)
Net intangible assets as of December 31, 2017	$	69,363		$	9,218		$	18,132		$	96,713
Weighted average remaining years of useful life	11			13			6			11

The following table represents the remaining amortization of definite-lived intangible assets as of December 31, 2017:



(In thousands)
For the year ended December 31,
2018	$	10,406
2019	10,112
2020	10,106
2021	10,066
2022	10,066
Due thereafter	45,957
Total	$	96,713

The following table sets forth the change in the carrying amount of goodwill by segment for the years ended December 31, 2017 and 2016:



(In thousands)	Acute Care EHR		Post-acute Care EHR			TruBridge		Total
Balance as of December 31, 2015	$	—	$	—		$	—	$	—
Goodwill acquired	97,095		57,570			13,784		168,449
Balance as of December 31, 2016	$	97,095	$	57,570		$	13,784	$	168,449
Goodwill impairment	—		(28,000		)	—		(28,000		)
Balance as of December 31, 2017	$	97,095	$	29,570		$	13,784	$	140,449

We did not identify any events or circumstances that would require interim goodwill impairment testing prior to October 1, 2017. Based on our assessment as of October 1, 2017, we determined that there was no impairment of goodwill for our Acute Care EHR and TruBridge reporting units. We also determined as of October 1, 2017, that it was more likely than not that we did not have an impairment of our Post-acute Care EHR reporting unit. During the fourth quarter of 2017, the cumulation of events, including anticipated attrition of significant post-acute customer accounts and a product development acceleration plan for our post-acute EHR software, triggered management to re-assess future discounted cash flow projections incorporated in the October 1, 2017 annual assessment to include updated assumptions for the aforementioned fourth quarter events impacting the Post-acute Care EHR reporting unit. The result of our fair value assessment, which applied a combination of the income and market valuation approach, measured the reporting unit's fair value less than the reporting unit's carrying value. A goodwill impairment of $28.0 million was recorded against our Post-acute Care EHR reporting unit as of December 31, 2017. We determined there was no impairment to goodwill as of December 31, 2016.

- 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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