Intangibles and Goodwill

3 Months Ended

Mar. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

The following is a roll-forward of goodwill from December 31, 2015 to March 31, 2016:



Balance as of December 31, 2015	$	308,490,588
Command acquisition, purchase price adjustment	(1,176,417		)
Balance as of March 31, 2016	$	307,314,171

The following is a summary of amortizable intangible assets as of March 31, 2016 and December 31, 2015:



	March 31, 2016			December 31, 2015			Weighted-Average Life
Customer relationships	$	145,138,979		$	145,138,979		14.8 years
Carrier relationships	18,300,000			18,300,000			17.0 years
Noncompete agreements	5,239,000			5,239,000			6.7 years
Trade names	5,640,000			5,640,000			4.0 years
	174,317,979			174,317,979			14.4 years
Less accumulated amortization	(30,784,159		)	(26,785,810		)
Intangible assets, net	$	143,533,820		$	147,532,169

The customer relationships are being amortized using an accelerated method, as an accelerated method best approximates the distribution of cash flows generated by the acquired customer relationships. The carrier relationships, trade names and noncompete agreements are being amortized using the straight-line method. Amortization expense related to intangible assets was $3,998,349 and $1,132,092 for the three months ended March 31, 2016 and 2015, respectively.

The estimated amortization expense for the next five years and thereafter is as follows:



Remainder of 2016	$	11,806,079
2017	14,243,799
2018	12,861,305
2019	11,470,909
2020	10,638,587
Thereafter	82,513,141
Total	$	143,533,820

- 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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