Note 6 - Intangible Assets and Goodwill

12 Months Ended

Mar. 31, 2016

Goodwill and Intangible Assets Disclosure [Text Block]

6.	INTANGIBLE ASSETS AND GOODWILL

Intangible assets as of

March 31, 2016

are presented in the table below. The Company had

intangible assets as of the end of the prior fiscal year.

	March 31, 2016

Tradenames	$	120,000
Patents		1,090,000
		1,210,000
Less accumulated amortization and impairment		(100,888	)
Intangible assets, net	$	1,109,112

Amortization expense was approximately

$51,000

for the period

November 24, 2015

through

March 31, 2016.

There is

amortization expense for the year ended

March 31, 2015

as all intangibles were acquired through the Company

’s investment in Delphax on

November 24, 2015.

The Company’s consolidated statement of income for the year ended

March 31, 2016

reflects a tradename impairment charge in the amount of

$50,000.

Annual future amortization expense for these intangible assets is as follows:

Year ending March 31,
2017	$	135,111
2018		135,111
2019		135,111
2020		135,111
2021		126,695
Thereafter		441,973
	$	1,109,112

The Company provisionally recorded goodwill of approximately

$375,000

in connection with its investment in Delphax (Note

). The Company estimated a subsequent impairment of this goodwill in the amount of

$100,000

which has been reflected in the accompanying fiscal year

2016

consolidated financial statements.

- 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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