INTANGIBLE ASSETS, NET

6 Months Ended

Jun. 30, 2016

7. INTANGIBLE ASSETS, NET

Intangible assets, net as of June 30, 2016 and December 31, 2015 consisted of the following (in thousands):

	June 30, 2016		December 31, 2015
Tradenames, net of accumulated amortization of $212 and $170, respectively	$	19,784	$	17,660
Referral relationships, net of accumulated amortization of $4,438 and $3,763, respectively		12,108		10,866
Non-compete agreements, net of accumulated amortization of $3,136 and $2,855, respectively		2,017		1,770
	$	33,909	$	30,296

Tradenames, referral relationships and non-compete agreements are related to the businesses acquired. Typically, the value assigned to tradenames has an indefinite life and is tested at least annually for impairment using the relief from royalty method in conjunction with the Company’s annual goodwill impairment test. However, for one acquisition, the value assigned to tradename which has a defined period of use is being amortized over the term of the six year agreement in which the Company has acquired the right to use the specific tradename. The value assigned to referral relationships is being amortized over their respective estimated useful lives which range from six to 16 years. Non-compete agreements are amortized over the respective term of the agreements which range from five to six years.

The following table details the amount of amortization expense recorded for intangible assets for the three and six months ended June 30, 2016 and 2015 (in thousands):

	Three Months Ended				Six Months Ended
	June 30, 2016		June 30, 2015		June 30, 2016		June 30, 2015
Tradenames	$	21	$	21	$	42	$	42
Referral relationships		352		245		675		491
Non-compete agreements		147		104		281		208
	$	520	$	370	$	998	$	741

Based on the balance of referral relationships and non-compete agreements as of June 30, 2016, the expected amount to be amortized in 2016 and thereafter by year is as follows (in thousands):

Tradename			Referral Relationships			Non-Compete Agreements
Years	Annual Amount		Years	Annual Amount		Years	Annual Amount

2016		83	2016		1,379	2016		573
2017		84	2017		1,408	2017		546
2018		83	2018		1,362	2018		490
2019		80	2019		1,273	2019		418
			2020		1,273	2020		203
			2021		1,273	2021		65
			2022		1,224
			2023		1,117
			2024		997
			2025		891
			2026		430
			2027		135
			2028		19