GOODWILL AND OTHER INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the carrying amount of goodwill for the six months ended June 30, 2014 are as follows:



	U.S.		International			Total
	(in thousands)
December 31, 2013	$	597,456	$	27,419		$	624,875
Goodwill impairment	—		(22,437		)	(22,437		)
Impact of foreign currency translation	—		(599		)	(599		)
June 30, 2014	$	597,456	$	4,383		$	601,839

The components of our other intangible assets as of June 30, 2014 and December 31, 2013 are as follows:



	June 30, 2014			December 31, 2013
	(in thousands)
Noncompete agreements:
Gross carrying value	$	9,332		$	9,332
Accumulated amortization	(8,050		)	(7,104		)
Net carrying value	1,282			2,228
Patents, trademarks and tradenames:
Gross carrying value	13,808			14,039
Accumulated amortization and impairment	(6,492		)	(223		)
Net carrying value	7,316			13,816
Customer relationships and contracts:
Gross carrying value	100,385			100,271
Accumulated amortization	(82,990		)	(78,926		)
Net carrying value	17,395			21,345
Developed technology:
Gross carrying value	7,583			7,583
Accumulated amortization	(3,937		)	(3,826		)
Net carrying value	3,646			3,757
Customer Backlog:
Gross carrying value	779			779
Accumulated amortization	(779		)	(779		)
Net carrying value	—			—
Total:
Gross carrying value	131,887			132,004
Accumulated amortization and impairment	(102,248		)	(90,858		)
Net carrying value	$	29,639		$	41,146

Of our intangible assets at June 30, 2014, $7.2 million are indefinite-lived tradenames and patents which are not subject to amortization. The weighted average remaining amortization periods and expected amortization expense for the next five years for our definite lived intangible assets are as follows:



	Weighted average remaining amortization period (years)	Expected Amortization Expense
	Weighted average remaining amortization period (years)	Remainder of 2014		2015		2016		2017		2018		2019
		(in thousands)
Noncompete agreements	0.3	$	719	$	308	$	255	$	—	$	—	$	—
Trademarks	3.9	20		40		40		40		17		—
Customer relationships and contracts	5.5	3,964		5,093		3,469		2,454		1,120		820
Developed technology	16.5	111		221		221		221		221		221
Total expected intangible asset amortization expense		$	4,814	$	5,662	$	3,985	$	2,715	$	1,358	$	1,041

Certain of our goodwill and other intangible assets are denominated in Russian Rubles and, as such, the values of these assets are subject to fluctuations associated with changes in exchange rates. Amortization expense for our intangible assets was $2.6 million and $4.9 million for the three months ended June 30, 2014 and 2013, respectively, and $5.2 million and $9.7 million for the six months ended June 30, 2014 and 2013, respectively.

We perform an analysis of goodwill impairment on an annual basis unless an event occurs that triggers additional interim testing. Deterioration in the capital investment climate in Russia as a result of geopolitical events occurring during the second quarter of 2014 was determined to be a triggering event. This triggering event required us to perform testing for possible goodwill impairment of our Russian business reporting unit which is included in our International reporting segment. Our analysis concluded that Russia's $22.4 million of goodwill is fully impaired, and that $6.3 million of Russia's tradename intangible assets is impaired as well. We concluded that there is no impairment to Russia's other long-lived assets.

- 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.

+ References+ Details