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INTANGIBLE ASSETS AND GOODWILL

12 Months Ended

Dec. 31, 2011

10. INTANGIBLE ASSETS AND GOODWILL

Goodwill and indefinite-lived intangible assets are tested for impairment at least annually and more frequently if events or changes in circumstances indicate the assets may be impaired. The Company determined there were no events or changes in circumstances that indicate that carrying values of Goodwill, indefinite-lived intangible assets, or other intangible assets subject to amortization may not be recoverable as of December 31, 2011 and 2010.

The following table provides information regarding the changes in Goodwill and indefinite-lived intangible assets during the years ended December 31, 2011 and 2010:

	Goodwill		Trademark

Balance, December 31, 2009	$	15,282	$	14,800
Amounts recognized upon acquisition of In-Three		2,799		610

Balance, December 31, 2010	$	18,081	$	15,410
Changes recognized upon acquisitions or impairment		—		—

Balance, December 31, 2011	$	18,081	$	15,410

The following tables present information regarding intangible assets with finite lives, all of which were recorded upon the acquisitions of Digital Domain and In-Three, during the years ended December 31, 2011 and 2010 (dollars in thousands):

	December 31, 2011

	Gross Carrying Amount		Accumulated Amortization			Net Amount		Remaining Lives (Months)
Unpatented technology	$	25,910	$	(5,804	)	$	20,106		108
Patents		420		(28	)		392		168
Titanic participation rights		1,800		(270	)		1,530		153
Customer relationships		300		(45	)		255		153
Proprietary software		5,900		(972	)		4,928		213

Total identified intangible assets	$	34,330	$	(7,119	)	$	27,211

	December 31, 2010

	Gross Carrying Amount		Accumulated Amortization			Net Amount		Remaining Lives (Months)
Unpatented technology	$	25,910	$	(3,212	)	$	22,698		120
Patents		420		—			420		180
Titanic participation rights		1,800		(150	)		1,650		165
Customer relationships		300		(25	)		275		165
Proprietary software		5,900		(282	)		5,618		225

Total	$	34,330	$	(3,669	)	$	30,661

Amortization expense from continuing operations for intangible assets with finite lives were $3.5 million, $2.9 million, $0.7 million and $nil for the years ended December 31, 2011 and 2010, the 2009 Consolidated Period and the 2009 Predecessor Period, respectively. Amortization expense recognized on intangible assets with finite lives for the Discontinued Operations, prior to it being classified as held for sale, was not material for the 2009 Consolidated Period and the 2009 Predecessor Period.

The estimated future amortization expense as of December 31, 2011 is as follows (in thousands):

	December 31, 2011

2012	$	3,451
2013		3,451
2014		2,984
2015		2,984
2016		2,984
Thereafter		11,357

Total	$	27,211

- 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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