Intangible Assets

3 Months Ended

Mar. 31, 2017

(6) Intangible Assets

Intangible Assets with Indefinite Lives

The following tables present the net carrying amounts of the Company’s intangible assets with indefinite lives as of January 1, 2017 and March 31, 2017, as well as the changes in the net carrying amounts for the three months ended March 31, 2017 by segment:


	Goodwill
	North America (1)		Europe & Africa (2)		DCPayments (3)		Corporate & Other (4)		Total
	(In thousands)
Balance as of January 1, 2017
Gross balance	$	445,582	$	130,846	$	—	$	6,650	$	583,078
Accumulated impairment loss		—		(50,003)		—		—		(50,003)
	$	445,582	$	80,843	$	—	$	6,650	$	533,075

Acquisitions		—		50,272		294,676		—		344,948
Foreign currency translation adjustments		72		1,467		3,659		—		5,198

Balance as of March 31, 2017
Gross balance	$	445,654	$	182,585	$	298,335	$	6,650	$	933,224
Accumulated impairment loss		—		(50,003)		—		—		(50,003)
	$	445,654	$	132,582	$	298,335	$	6,650	$	883,221


	Trade Names: indefinite-lived
	North America (1)		Europe & Africa (2)		Total
	(In thousands)
Balance as of January 1, 2017	$	200	$	419	$	619
Foreign currency translation adjustments		—		6		6
Balance as of March 31, 2017	$	200	$	425	$	625

⁽¹⁾

The North America segment is comprised of the Company’s operations in the U.S., Canada, Mexico, and Puerto Rico, but excludes the recently acquired operations that DCPayments has in these regions.

⁽²⁾

The Europe & Africa segment is comprised of the Company’s operations in the U.K., Ireland, Germany, Poland, Spain, South Africa, and its ATM advertising business, i-design group limited (“i-design”), but excludes the recently acquired operations that DCPayments has in these regions.

⁽³⁾

The DCPayments segment is comprised of the Company’s operations in Australia, New Zealand, Canada, the U.K., and Mexico acquired on January 6, 2017 from DCPayments. For additional information, see Note 2. Acquisitions and Note 15. Segment Information.

⁽⁴⁾

The Corporate & Other segment is comprised of the Company’s transaction processing activities and the Company’s corporate general and administrative functions.

Intangible Assets with Definite Lives

The following table presents the Company’s intangible assets that were subject to amortization:


	March 31, 2017						December 31, 2016
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
	(In thousands)
Merchant and bank-branding contracts/relationships	$	532,572	$	(264,789)	$	267,783	$	353,334	$	(248,428)	$	104,906
Trade names: definite-lived		26,529		(4,439)		22,090		11,618		(3,674)		7,944
Technology		10,853		(5,064)		5,789		10,718		(4,781)		5,937
Non-compete agreements		4,367		(4,116)		251		4,351		(4,057)		294
Revolving credit facility deferred financing costs		2,258		(870)		1,388		3,770		(2,240)		1,530
Total intangible assets with definite lives	$	576,579	$	(279,278)	$	297,301	$	383,791	$	(263,180)	$	120,611

- 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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