Acquisition of IT Logistics Inc (Tables)

9 Months Ended

Sep. 30, 2012

Acquisition of IT Logistics Inc [Abstract]

The operating results of ITL have been included in the Company's consolidated financial statements as of the acquisition date of July 1, 2011. The acquisition has been accounted for under the purchase method of accounting. Under the purchase method of accounting, the total purchase price was allocated to ITL's net tangible and intangible assets acquired based on their estimated fair values as of July 1, 2011. The excess of the purchase price over the net tangible and intangible assets was recorded as goodwill. Goodwill is amortized and deducted over a 15-year period for tax purposes. Telos has made an allocation of the purchase price as follows (amounts in thousands):

Inventories, net	$	221
Property and equipment, net		108
Goodwill		14,916
Other intangible asset		11,286
Total purchase price allocation	$	26,531