Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2011

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

4. Goodwill and Other Intangible Assets

Goodwill and other intangible assets acquired are stated at fair value at date of acquisition.  Subsequent to its acquisitions, the Company conducts annual reviews for impairment, or more frequently if circumstances indicate impairment may have occurred.  Other intangible assets consist of certificates of need and licenses, trade names and non-compete agreements.  Finite-lived intangible assets are amortized on a straight-line basis over their estimated useful lives.  Licenses, provider numbers, certificates of need and trade names have indefinite lives and are reviewed at least annually for possible impairment, or whenever events or changes in circumstances indicate that carrying amounts may not be recoverable.  The Company completed its most recent annual impairment test as of December 31, 2010 and determined that no impairment existed.

The following table summarizes the activity related to goodwill and other intangible assets for 2011:

			Other Intangible Assets
	Goodwill		Certificates of Need and licenses		Trade Names		Non-compete Agreements			Total
Balances at 12-31-10	$	101,060	$	6,841	$	7,381	$	63		$	14,285
Additions	4,502		200		40		80			320
Amortization	—		—		—		(45		)	(45		)
Balances at 6-30-11	$	105,562	$	7,041	$	7,421	$	98		$	14,560

Of total goodwill, $99,520 and $6,042 relates to the VN segment and the PC segment, respectively. Amortization expense recognized on finite-lived intangible assets for the second quarter of 2011 and 2010 was $18 and $76, respectively and for the six months ended June 30, 2011 and 2010 was $45 and $151, respectively.