Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

Goodwill represents the excess of the purchase price of acquired businesses over the estimated fair values of the tangible and identifiable intangible net assets acquired. The evaluation of the recoverability of goodwill is performed in accordance with FASB ASC Topic 350, which requires an annual assessment of potential goodwill impairment at the reporting unit level and whenever events or changes in circumstances indicate that the carrying value of goodwill may not be recoverable. The annual assessment of the recoverability of recorded goodwill can be based on either a qualitative or quantitative assessment or a combination of the two. Both methods utilize estimates which in turn require judgments and assumptions regarding future trends and events. As a result, both the precision and reliability of the resulting estimates are subject to uncertainty. In connection with its most recent annual impairment test of goodwill performed during the quarter ended September 30, 2016, the Company utilized the qualitative approach in assessing the fair value of its reporting units relative to their respective carrying value, which indicated no impairment of recorded goodwill.

The following table presents changes to the carrying amount of goodwill by reportable segment during the nine months ended September 30, 2016 (in thousands):



	Research			Consulting			Events			Total
Balance, December 31, 2015 (1)	$	575,292		$	98,412		$	41,655		$	715,359
Additions due to acquisitions (2)	25,744			—			5,958			31,702
Foreign currency translation adjustments	(2,291		)	(1,188		)	(656		)	(4,135		)
Balance, September 30, 2016	$	598,745		$	97,224		$	46,957		$	742,926


(1)	The Company does not have any accumulated goodwill impairment losses.


(2)	The additions to goodwill include the acquisition of SCM World in June 2016 and certain measurement period working capital adjustments from a prior acquisition.

Amortizable Intangible Assets

The following tables present reconciliations of the carrying amounts of amortizable intangible assets as of the dates indicated (in thousands):



September 30, 2016	Trade Name			Customer Relationships			Content			Software			Non-Compete			Total
Gross cost, December 31, 2015	$	4,144		$	62,860		$	5,450		$	16,219		$	29,330		$	118,003
Additions due to acquisitions (1)	302			2,769			1,039			—			—			4,110
Intangibles fully amortized	—			—			(162		)	(125		)	—			(287		)
Foreign currency translation impact	(49		)	(2,631		)	(3,416		)	45			22			(6,029		)
Gross cost	4,397			62,998			2,911			16,139			29,352			115,797
Accumulated amortization (2), (3)	(1,466		)	(14,312		)	(1,573		)	(7,617		)	(9,060		)	(34,028		)
Balance, September 30, 2016	$	2,931		$	48,686		$	1,338		$	8,522		$	20,292		$	81,769



December 31, 2015	Trade Name			Customer Relationships			Content			Software			Non-Compete			Total
Gross cost	$	4,144		$	62,860		$	5,450		$	16,219		$	29,330		$	118,003
Accumulated amortization (2), (3)	(681		)	(9,028		)	(3,525		)	(3,699		)	(4,526		)	(21,459		)
Balance, December 31, 2015	$	3,463		$	53,832		$	1,925		$	12,520		$	24,804		$	96,544

(1) The additions are for the acquisition of SCM World in June 2016.

(2) Intangible assets are being amortized against earnings over the following periods: Trade name—2 to 4 years; Customer relationships—4 to 7 years; Content—1.5 to 4 years; Software—3 years; Non-compete—3 to 5 years.

(3) Aggregate amortization expense related to intangible assets was $6.2 million and $2.7 million for the three months ended September 30, 2016 and 2015, respectively, and $18.6 million and $7.0 million for the nine months ended September 30, 2016 and 2015, respectively.

The estimated future amortization expense by year from amortizable intangibles is as follows (in thousands):



2016 (remaining three months)	$	6,124
2017	22,722
2018	19,761
2019	14,958
2020	12,776
2021	5,428
Thereafter	—
	$	81,769

- 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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