Note 7 - Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

7. Goodwill and Other Intangible Assets

Goodwill

The carrying value of goodwill was $5.2 million at December 31, 2011, all of which was allocated to the Company’s single reportable segment. Of this balance, $4.7 million reflected the balance of Solar Power, Inc. carried by its parent company, LDK, as required under the accounting guidelines for a transfer of an entity under common control (refer to Note 5— Acquisition of Solar Green Technology ). During the three months ended September 30, 2012, due primarily to the reduction in the Company’s market capitalization, the Company’s market value was significantly below its book value, thus triggering an impairment analysis. As a result of this analysis, the Company recorded a goodwill impairment charge of $5.2 million. As a result, the balance of goodwill as of June 30, 2013 and December 31, 2012 was zero.

Other Intangible Assets

Resulting from the June 2012 acquisition of SGT, reflected in the Condensed Consolidated Balance Sheets of the Company are certain intangible assets, namely patent and customer relationships, and related amortization expense from March 31, 2011 forward. During the three months ended December 31, 2012, the Company determined that the carrying value of certain intangible assets related to customer relationships were no longer recoverable based on a discrete evaluation of the nature of the intangible assets, incorporating the effect of the Company’s decision during the three months ended December 31, 2012 to no longer maintain the customer relationships. As a result, the Company recorded an impairment charge of $0.1 million on its Consolidated Statement of Operations for the year ended December 31, 2012. The balance of intangible assets as of June 30, 2013 and December 31, 2012 was $1.4 million and $1.7 million, respectively.

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

	Estimated Useful Life (in months)		Gross		Impairment Charge			Accumulated Amortization			Net
As of June 30, 2013
Patent		57	$	2,700	$	-		$	(1,282	)	$	1,418
Customer relationships		33		400		(148	)		(252	)		-
			$	3,100	$	(148	)	$	(1,534	)	$	1,418
As of December 31, 2012
Patent		57	$	2,700	$	-		$	(997	)	$	1,703
Customer relationships		33		400		(148	)		(252	)		-
			$	3,100	$	(148	)	$	(1,249	)	$	1,703

As of June 30, 2013, the future amortization expense related to other intangible assets is as follows (in thousands):

	Amount
Year
2013	$	285
2014		570
2015		563
2016		-
	$	1,418