Note 4 - Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Text Block]

Goodwill and Intangible Assets Disclosure [Text Block]

4.     GOODWILL AND INTANGIBLE ASSETS

Goodwill

The following table presents a reconciliation of the beginning and ending balances of the Company’s goodwill at June 30, 2013 (in millions):

	Energy and Mining(1)			North American Water and Wastewater		International Water and Wastewater			Commercial and Structural(2)			Total
Beginning balance at January 1, 2013	$	76.7		$	101.9	$	28.1		$	65.6		$	272.3
Additions to goodwill through acquisitions	–			–		–				0.2			0.2
Foreign currency translation		(0.6	)		0.8		(1.9	)		(0.3	)		(2.0	)
Goodwill at end of period(3)	$	76.1		$	102.7	$	26.2		$	65.5		$	270.5

(1)	During the second quarter of 2013, the Company approved a plan of liquidation of and, in connection therewith, recorded a write-down of the $1.4 million of goodwill associated with BWW, which operation now is reported as discontinued. Consequently, the goodwill associated with BWW is no longer included in this table. Additionally, all prior year balances have been restated. For further information, see Note 9 contained within this report.
(2)	During 2013, the Company recorded an increase of goodwill of $0.2 million related to the Fyfe Asia acquisition.
(3)	The Company does not have any accumulated impairment charges.

Intangible Assets

Intangible assets at June 30, 2013 and December 31, 2012 were as follows (in thousands):

	As of June 30, 2013 (1)									As of December 31, 2012 (1)
	Weighted Average Useful Lives (Years)		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
License agreements		7	$	3,918	$	(2,900	)	$	1,018	$	3,925	$	(2,821	)	$	1,104
Backlog		—		4,746		(4,746	)		—		4,756		(4,756	)		—
Leases		13		2,070		(400	)		1,670		2,067		(331	)		1,736
Trademarks		17		21,349		(3,832	)		17,517		21,290		(3,317	)		17,972
Non-competes		—		710		(710	)		—		710		(710	)		—
Customer relationships		14		122,878		(22,420	)		100,458		123,301		(18,912	)		104,389
Patents and acquired technology		18		55,164		(21,300	)		33,864		55,672		(21,244	)		34,428
			$	210,835	$	(56,308	)	$	154,527	$	211,721	$	(52,091	)	$	159,629

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(1)

During the second quarter of 2013, the Company approved a plan of liquidation of and, in connection therewith, recorded a write-down of the $2.5 million of intangible assets associated with BWW, which operation now is reported as discontinued. Consequently, the intangible assets and accumulated amortization associated with BWW are no longer included in this table. Additionally, all prior year balances have been restated. For further information, see Note 9 contained within this report.

Amortization expense was $2.6 million and $2.9 million for the quarters ended June 30, 2013 and 2012, respectively and $5.1 million and $5.5 million for the six-month periods ended June 30, 2013 and 2012, respectively. Estimated amortization expense by year is as follows (in thousands):

2013	$	10,308
2014		10,449
2015		10,449
2016		10,430
2017		10,409