Business Combinations (Tables)

3 Months Ended

Mar. 31, 2013

Business combinations

Schedule of unaudited pro forma results, as if the acquisitions occurred at beginning of the period

	Three Months Ended
	March 31,
(in thousands, except per share amounts)	2012		2013
Revenue	$	35,981	$	44,860
Operating income	557		936
Net income	166		1,125
Basic income per common share	$	0.00	$	0.03
Diluted income per common share	$	0.00	$	0.03

Symphony

Business combinations

Schedule of breakdown between purchase price and the allocation of the total purchase price

The following table presents the breakdown between cash and deferred purchase price and the allocation of the total purchase price (in thousands):

Purchase consideration:
Cash	$	29,208
Deferred cash consideration	10,942
	$	40,150
Allocation of Purchase Consideration:
Current assets	$	5,777
Property and equipment	602
Identifiable intangible assets	13,790
Goodwill	20,936
Total assets acquired	41,105
Accounts payable and accrued expenses	(335		)
Deferred revenue	(620		)
	$	40,150

Schedule of estimates of fair value of intangible assets acquired

The following table presents the Company’s estimates of fair value of the intangible assets acquired (in thousands):

Description	Fair Value		Weighted Average Useful Life (in years)
Customer relationships	$	9,680	9.0
Technology	4,050		5.0
Tradename	60		3.0
Total identifiable intangible assets	$	13,790

Anomalous

Business combinations

Schedule of breakdown between purchase price and the allocation of the total purchase price

The following table presents the breakdown between cash and deferred purchase price and the allocation of the total purchase price (in thousands):

Purchase consideration:
Cash	$	3,521
Common stock	1,984
Deferred cash consideration	1,495
	$	7,000
Allocation of Purchase Consideration:
Current assets	$	1,140
Property and equipment	47
Other assets	10
Identifiable intangible assets	2,857
Goodwill	4,477
Total assets acquired	8,531
Accounts payable and accrued expenses	(394		)
Deferred taxes	(767		)
Deferred revenue	(370		)
	$	7,000

Schedule of estimates of fair value of intangible assets acquired

The following table presents the Company’s estimates of fair value of the intangible assets acquired (in thousands):

Description	Fair Value		Weighted Average Useful Life (in years)
Technology	$	2,017	5.0
Non-compete covenants	553		2.0
Customer relationships	236		4.0
Tradenames	51		3.0
Total intangible assets	$	2,857

ttMobiles

Business combinations

Schedule of breakdown between purchase price and the allocation of the total purchase price

The following table presents the breakdown between cash and deferred purchase price and the allocation of the total purchase price (in thousands):

Purchase consideration:
Cash	$	6,359
Deferred cash consideration	2,315
	$	8,674
Allocation of Purchase Consideration:
Current assets	$	2,469
Property and equipment	188
Identifiable intangible assets	4,288
Goodwill	3,557
Total assets acquired	10,502
Accounts payable and accrued expenses	(848		)
Deferred taxes	(954		)
Deferred revenue	(26		)
	$	8,674

Schedule of estimates of fair value of intangible assets acquired

The following table presents the Company’s estimates of fair value of the intangible assets acquired (in thousands):

Description	Fair Value		Weighted Average Useful Life (in years)
Customer relationships	$	2,606	9.0
Technology	1,178		5.0
Tradenames	388		4.0
Non-compete covenants	116		2.0
Total intangible assets	$	4,288