Intangible Assets and Goodwill (Notes)

12 Months Ended

Dec. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

INTANGIBLE ASSETS AND GOODWILL

The identifiable intangible assets in the Ebyline purchase price allocation consist of the following assets:



			Accumulated Amortization		Net Book Value		Useful Life (in years)
Identifiable Intangible Assets	Initial Value		12/31/2015		12/31/2015		Useful Life (in years)
Content provider network	$	30,000	27,500		2,500		1
Ebyline trade name	40,000		36,667		3,333		1
Workflow customers	210,000		64,167		145,833		3
Developed technology	300,000		55,000		245,000		5
Virtual Newsroom customers	1,790,000		546,944		1,243,056		3
Total Ebyline identifiable intangible assets	$	2,370,000	$	730,278	$	1,639,722
Domains	166,469		—		166,469		5
Total identifiable intangible assets	$	2,536,469	$	730,278	$	1,806,191

The Company is amortizing the identifiable intangible assets over a weighted average period of 3 years. Amortization expense on the Ebyline related identifiable intangible assets costs recorded in general and administrative expense in the accompanying consolidated statements of operations was $730,278 for the twelve months ended December 31, 2015.

Future estimated amortization expense related to identifiable intangible assets over the next five years is set forth in the following schedule:



Year ending December 31:	Amortization Expense
2016	$	765,794
2017	759,961
2018	148,849
2019	93,294
2020	38,293
Total	$	1,806,191

The Company performs its annual impairment tests of goodwill on October 1st of each year. Goodwill is required to be tested for impairment at the reporting unit level. The Company has determined that prior to and after the acquisition of Ebyline, it had and continues to have one reporting unit. As of October 1, 2015, the estimated fair value of the Company, based on the current market price of its common stock on October 1, 2015, exceeded its carrying value in excess of $25 million. Therefore, management concluded that goodwill was not impaired; however, significant changes in the assumptions or estimates used in the Company's impairment analysis, such as a reduction in profitability and/or cash flows, could result in additional non-cash impairment charges in future periods. Goodwill or any impairment thereon is not deductible for tax purposes.

- 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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