Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2012

Note 6 — Goodwill and Intangible Assets

Goodwill

Goodwill represents the excess of the purchase price of acquired businesses over the estimated fair value of the tangible and identifiable intangible net assets acquired. The evaluation 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. A reporting unit can be an operating segment or a business if discrete financial information is prepared and reviewed by management. The Company has three reporting units: Research, Consulting, and Events.

The following table presents changes to the carrying amount of goodwill by reporting unit during the six months ended June 30, 2012 (in thousands):


	Research			Consulting		Events			Total

Balance, December 31, 2011	$	366,980		$	99,677	$	41,893		$	508,550
Addition due to acquisition (1)		7,455			—		—			7,455
Foreign currency translation adjustments		(1,005	)		34		(32	)		(1,003	)

Balance, June 30, 2012 (2)	$	373,430		$	99,711	$	41,861		$	515,002



(1)	The Company acquired Ideas International in the second quarter of 2012 and recorded $7.5 million of goodwill. All of the recorded goodwill resulting from the acquisition has been included in the Research segment. See Note 2—Acquisition above for additional information.

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

Amortizable Intangible Assets

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


June 30, 2012	Trade Name			Customer Relationships			Content			Software			Total

Gross cost (1)	$	6,006		$	10,468		$	3,269		$	1,887		$	21,630
Accumulated amortization (2)		(2,890	)		(4,569	)		(68	)		(51	)		(7,578	)

Net	$	3,116		$	5,899		$	3,201		$	1,836		$	14,052


December 31, 2011	Trade Name			Customer Relationships			Total

Gross cost	$	5,758		$	7,210		$	12,968
Accumulated amortization (2)		(2,303	)		(3,605	)		(5,908	)

Net	$	3,455		$	3,605		$	7,060



(1)	The Company acquired Ideas International in the second quarter of 2012 and recorded $8.4 million of amortizable intangible assets, allocated as follows: Trade Name—$0.2 million; Customer Relationships—$3.2 million; Content—$3.2 million; and Software—$1.8 million.

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

Aggregate amortization expense related to intangible assets was $0.9 million and $2.5 million for the three months ended June 30, 2012 and 2011, respectively, and $1.7 million and $5.0 million for the six months ended June 30, 2012 and 2011, respectively.

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


2012 (remaining six months)	$	2,660
2013		5,300
2014		3,425
2015		1,840
2016		827

	$	14,052

- 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