Intangible Assets

12 Months Ended

Dec. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

During 2014, HBB acquired Weston Brands for a purchase price of $25.4 million. Of the purchase price, $10.1 million was allocated to identifiable intangible assets, including customer relationships of $5.8 million, trademarks of $3.1 million and other intangibles of $1.2 million. Goodwill is $6.3 million. See Note 22 for further discussion of the Weston Brands acquisition.

Intangible assets other than goodwill, which are subject to amortization, consist of the following:



	Gross Carrying Amount		Accumulated Amortization			Net Balance
Balance at December 31, 2015
NACoal:
Coal supply agreements	$	84,200	$	(36,020	)	$	48,180

HBB:
Customer relationships	$	5,760	$	(1,000	)	$	4,760
Trademarks	3,100		(208		)	2,892
Other intangibles	1,240		(229		)	1,011
	$	10,100	$	(1,437	)	$	8,663

Balance at December 31, 2014
NACoal:
Coal supply agreements	$	84,200	$	(33,421	)	$	50,779

HBB:
Customer relationships	$	5,760	$	(40	)	$	5,720
Trademarks	3,100		(8		)	3,092
Other intangibles	1,240		(10		)	1,230
	$	10,100	$	(58	)	$	10,042

Amortization expense for intangible assets was $4.0 million, $3.3 million and $3.7 million in 2015, 2014 and 2013, respectively.

Expected annual amortization expense of NACoal's coal supply agreement for the next five years is as follows: $2.6 million in 2016, $2.8 million in 2017, 2018, 2019 and 2020, respectively. The coal supply agreement is amortized based on units of production over the term of the agreement, which is estimated to be 30 years.

Expected annual amortization expense of HBB's intangible assets for the next five years is $1.4 million in 2016, 2017, 2018, 2019 and $1.2 million in 2020. The weighted average amortization period for HBB's intangible assets is approximately 9 years.

- 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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