Goodwill and Intangible Assets, Net

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS, NET

Goodwill

All of our goodwill is in the Europe segment. The changes in goodwill for the years ended December 31, 2017 and 2016 were:



	Goodwill
	(in thousands)
Balance at January 1, 2016	$	1,973
Foreign currency translation	(62		)
Impairment	(431		)
Balance at December 31, 2016	1,480
Foreign currency translation	208
Balance at December 31, 2017	$	1,688

Accumulated goodwill impairment at December 31, 2017 was $0.8 million.

Intangible Assets, Net

‘Intangible assets, net’ reported in the consolidated balance sheets consist of the following:



	December 31, 2017							December 31, 2016
	Gross		Accum. Amortiz.			Net		Gross		Accum. Amortiz.			Net
	(in thousands)
Intangible assets subject to amortization:
Capitalized software	$	143,275	$	(90,219	)	$	53,056	$	142,358	$	(74,530	)	$	67,828
Patents, copyrights, and trademarks	5,636		(4,969		)	667		6,438		(5,471		)	967
Other	214		(214		)	—		2,855		(2,855		)	—
Intangible assets not subject to amortization:
In progress ⁽¹⁾	2,378		—			2,378		3,616		—			3,616
Trademarks and other	326		—			326		289		—			289
Total	$	151,829	$	(95,402	)	$	56,427	$	155,556	$	(82,856	)	$	72,700

⁽¹⁾ In the year ended December 31, 2017, we recorded a write-off of $4.8 million for a discontinued project.

At December 31, 2017, the weighted average remaining useful life of intangibles subject to amortization was approximately 6.5 years.

Amortization Expense

Amortization expense related to definite-lived intangible assets, reported in ‘Cost of sales’ and ‘Selling, general and administrative expenses’ was:



	Year Ended December 31,
	2017		2016		2015
	(in thousands)
Cost of sales	$	4,550	$	5,127	$	5,848
Selling, general and administrative expenses	13,579		13,849		13,848
Total amortization expense	$	18,129	$	18,976	$	19,696

Estimated future annual amortization expense of intangible assets is:



	As of December 31, 2017
	(in thousands)
2018	$	16,231
2019	14,009
2020	11,306
2021	11,052
2022	603
Thereafter	522
Total	$	53,723

- 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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