Balance Sheet Account Details

Inventories

Inventories consisted of the following, net of immaterial excess and obsolete reserves, at December 31, 2017 and 2016 (in thousands):



	December 31,
	2017		2016
Raw materials	$	22,252	$	9,297
Work-in-process (materials, labor and overhead)	22,813		7,990
Finished goods (materials, labor and overhead)	22,013		8,758
Total inventories	$	67,078	$	26,045

Property, Plant and Equipment

The following is a summary of property, plant and equipment (in thousands):



	December 31,
	2017			2016
Equipment, furniture and fixtures	$	75,728		$	61,972
Building and improvements	34,994			34,243
Leased instruments	32,458			24,014
Land	1,080			1,080
Total property, plant and equipment, gross	144,260			121,309
Less: accumulated depreciation and amortization	(82,675		)	(70,451		)
Total property, plant and equipment, net	$	61,585		$	50,858

The equipment, furniture and fixtures category above includes construction in progress and instruments that have not been placed at a customer under a lease agreement. These items will be reclassified when the assets are placed in service. The total expense for depreciation of fixed assets and amortization of leasehold improvements was $14.6 million, $13.4 million and $12.7 million for the years ended December 31, 2017, 2016 and 2015, respectively. Maintenance and minor repairs are charged to operations as incurred.

Goodwill and Intangible Assets

The Company had goodwill of $337.0 million as of December 31, 2017, which increased by $253.2 million as compared to $83.8 million as of December 31, 2016 due to the Company's acquisition of the cardiovascular and toxicology Triage® MeterPro business (“Triage Business”) and the Triage® BNP Test for the Beckman Coulter Access Family of Immunoassay Systems business (the “BNP Business”). The Triage Business and the BNP Business are collectively referred to as the “Triage and BNP Businesses.”

On October 6, 2017, the Company acquired the Triage and BNP Businesses from Alere Inc. ("Alere"). As part of this acquisition, the Company identified and recorded $115.0 million in customer relationships, $52.4 million in purchased technology and $17.5 million in trademarks. Refer to Note 12 for additional details regarding the acquisition and the purchase price allocation.

On May 16, 2017, the Company acquired the InflammaDry® and AdenoPlus® diagnostic businesses from RPS

Diagnostics, a developer and manufacturer of rapid, point-of-care (“POC”) diagnostic tests for the eye health and

primary care markets, for approximately $13.7 million in cash. The purchase price has been allocated as follows:

$6.1 million to purchased technology and $7.6 million to goodwill. The acquisition has been accounted for in conformity with

ASC Topic 805, Business Combinations. The InflammaDry and AdenoPlus products are rapid, lateral-flow based, POC

products for the detection of infectious and inflammatory diseases and conditions of the eye. Revenues for these products are

reflected in the Company’s Rapid Immunoassay revenue category.

Amortizable intangible assets consisted of the following (dollar amounts in thousands):



		December 31, 2017							December 31, 2016
Description	Weighted-average useful life (years)	Gross assets		Accumulated amortization			Net		Gross assets		Accumulated amortization			Net
Purchased technology	9.1	112,100		(49,614		)	62,486		53,600		(41,369		)	12,231
Customer relationships	7.0	122,404		(10,960		)	111,444		7,157		(5,928		)	1,229
License agreements	9.9	6,515		(3,980		)	2,535		6,009		(3,222		)	2,787
Patent and trademark costs	10.8	28,740		(4,917		)	23,823		11,240		(3,522		)	7,718
Software development costs	5	6,630		(3,091		)	3,539		6,000		(2,326		)	3,674
Total amortizable intangible assets		$	276,389	$	(72,562	)	$	203,827	$	84,006	$	(56,367	)	$	27,639

Amortization expense related to the capitalized software costs was $0.8 million, $0.5 million and $0.6 million for the years ended December 31, 2017, 2016 and 2015, respectively. Amortization expense (including capitalized software costs) was $16.1 million, $9.5 million and $10.2 million for the years ended December 31, 2017, 2016 and 2015, respectively.

The expected future annual amortization expense of the Company’s intangible assets is as follows (in thousands):



For the years ending December 31,	Amortization expense
2018	$	28,799
2019	27,542
2020	27,144
2021	26,996
2022	26,472
Thereafter	66,874
Total	$	203,827

Other current liabilities

The following is a summary of other current liabilities (in thousands):



	December 31,
	2017		2016
Customer incentives	$	7,165	$	3,766
Accrued interest	442		227
Other	5,059		1,104
Total other current liabilities	$	12,666	$	5,097