Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2013

11. Goodwill and Intangible Assets

Refer to Note 1 within the footnotes to the consolidated financial statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012 for a detailed discussion of the accounting policy related to goodwill and intangible assets.

Goodwill

The following table sets forth the roll-forward of goodwill for the six months ended June 30, 2013:

(In thousands of dollars)
Goodwill — RangeMark acquisition
Balance at December 31, 2012	$	1,212
Impairment — second quarter of 2013	(1,212		)
Balance at June 30, 2013	$	—

The Company fully impaired the goodwill associated with RangeMark in connection with the exit from its Fixed Income businesses in the second quarter of 2013 (the intangible assets were also fully impaired — refer to “Intangible Assets” below). The impairment of the RangeMark goodwill (and intangible assets) were substantially offset against the unpaid purchase consideration and therefore had an insignificant impact to the Company’s results of operations for the second quarter of 2013.

Intangible Assets

(In thousands of dollars)	June 30, 2013			December 31, 2012
Intangible assets (amortizable):
MBS & Rates segment — Customer relationships
Gross carrying amount	$	641		$	641
Accumulated amortization	(476		)	(463		)
Impairment of intangible asset — second quarter of 2013	(165		)	—
Net carrying amount	—			178
RangeMark — Intellectual Property
Gross carrying amount	1,050			1,050
Accumulated amortization	(87		)	(35		)
Impairment of intangible asset — second quarter of 2013	(963		)	—
Net carrying amount	—			1,015
RangeMark — Trade Name
Gross carrying amount	480			480
Accumulated amortization	(20		)	(8		)
Impairment of intangible asset — second quarter of 2013	(460		)	—
Net carrying amount	—			472
Credit Products segment - Customer relationships
Gross carrying amount	795			795
Accumulated amortization	(795		)	(768		)
Net carrying amount	—			27
Investment Banking segment — Trade name
Gross carrying amount	4,066			4,066
Accumulated amortization	(1,134		)	(1,057		)
Impairment of intangible asset — second quarter of 2013	(2,932		)	—
Net carrying amount	—			3,009
ClearPoint segment — Customer relationships
Gross carrying amount	803			803
Accumulated amortization	(216		)	(201		)
Impairment of intangible asset — first quarter of 2013	(587		)	—
Net carrying amount	—			602
Total intangible assets	$	—		$	5,303

The intangible assets of the Investment Banking and Fixed Income businesses were fully impaired in connection with the Company’s exit from these businesses during the three months ended June 30, 2013. During the three months ended March 31, 2013, the Company fully impaired the ClearPoint customer relationship intangible asset in connection with the Homeward Transaction. These impairment charges have been classified as part of discontinued operations. As previously mentioned, the impairment of the RangeMark intangible assets (and goodwill) were substantially offset against the unpaid purchase consideration and therefore had an insignificant impact to the Company’s results of operations for the second quarter of 2013.

- 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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