Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

The Company recorded Goodwill of $307.4 million related to the HomeLink^® acquisition, which occurred in September 2013. The carrying value of Goodwill as of December 31, 2017 and December 31, 2016 was $307.4 million as set forth in the table below.



	Carrying Amount
Balance as of December 31, 2016	$	307,365,845
Acquisitions	—
Divestitures	—
Impairments	—
Other	—
Balance as of December 31, 2017	$	307,365,845

The Company reviews goodwill for impairment during the fourth quarter on an annual basis or more frequently if events or changes in circumstances indicate that goodwill might be impaired. The Company has not recognized any impairment of goodwill in the current or prior periods. The Company continuously monitors for events and circumstances that could negatively impact the key assumptions in determining fair value thus resulting in the need for interim testing, including long-term revenue growth projections, profitability, discount rates, recent market valuations from transactions by comparable companies, volatility in the Company's market capitalization, and general industry, market and macro-economic conditions, no such matters were noted in the current period.

The Intangible Assets and related change in carrying values are set forth in the table below as of December 31, 2017 and December 31, 2016.

As of December 31, 2017:



Other Intangible Assets	Gross		Accumulated Amortization			Net		Assumed Useful Life
HomeLink^®Trade Names and Trademarks	$	52,000,000	$	—		$	52,000,000	Indefinite
HomeLink^®Technology	180,000,000		(63,750,000		)	$	116,250,000	12 years
Existing Customer Platforms	43,000,000		(18,275,000		)	$	24,725,000	10 years
Exclusive Licensing Agreement	96,000,000		—			$	96,000,000	Indefinite
Total other identifiable intangible assets	371,000,000		(82,025,000		)	288,975,000

As of December 31, 2016:



Other Intangible Assets	Gross		Accumulated Amortization			Net		Assumed Useful Life
HomeLink^®Trade Names and Trademarks	$	52,000,000	$	—		$	52,000,000	Indefinite
HomeLink^®Technology	180,000,000		(48,750,000		)	$	131,250,000	12 years
Existing Customer Platforms	43,000,000		(13,975,000		)	$	29,025,000	10 years
Exclusive Licensing Agreement	96,000,000		—			$	96,000,000	Indefinite
Total other identifiable intangible assets	371,000,000		(62,725,000		)	308,275,000

Accumulated amortization on patents and intangible assets was approximately $101.0 million and $79.2 million at December 31, 2017 and 2016, respectively. Amortization expense on patents and other intangible assets was approximately $22.5 million, $22.3 million, and $22.5 million in 2017, 2016 and 2015, respectively. At December 31, 2017, patents had a weighted average amortized life of 10 years.

Excluding the impact of any future acquisitions, the Company anticipates amortization expense including patents and other intangible assets for each of the years ended December 31, 2018, 2019, 2020, and 2021 to be approximately $22 million annually and approximately $21 million for the year ended December 31, 2022.

- 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