Goodwill and Other Acquisition-Related Intangible Assets

12 Months Ended

Dec. 31, 2011

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Acquisition-Related Intangibles

Goodwill and Other Acquisition-Related Intangible Assets

The Company performs its annual goodwill impairment test in the fourth quarter of each year, unless indicators warrant testing at an earlier date. During its annual impairment test in the fourth quarter of 2011, the price of the Company’s common stock adjusted for a control premium was above its book value and the Company concluded its goodwill was not impaired. In 2010 and 2009, no impairment of goodwill was recorded since the Company’s fair value substantially exceeded its carrying value. Information regarding the Company’s other acquisition-related intangible assets is as follows:



		December 31, 2011							December 31, 2010
	Useful Life (Years)	Gross		Accumulated Amortization			Net Book Value		Gross		Accumulated Amortization			Net Book Value
Goodwill		$	3,376	$	—		$	3,376	$	3,376	$	—		$	3,376
Amortizing intangible assets:
In-process research and development	3 - 5	850		(270		)	580		600		(50		)	550
Patents, trademarks and other	4 - 15	49,653		(28,430		)	21,223		48,053		(22,547		)	25,506
		50,503		(28,700		)	21,803		48,653		(22,597		)	26,056
Non-amortizing intangible assets:
In process research and development		929		—			929		1,365		—			1,365
Total intangible assets		51,432		(28,700		)	22,732		50,018		(22,597		)	27,421
Total goodwill and intangible assets		$	54,808	$	(28,700	)	$	26,108	$	53,394	$	(22,597	)	$	30,797

Amortization expense of intangible assets was approximately as follows:



	Year ended December 31,
	2011		2010		2009
Amortization expense	$	6,103	$	5,904	$	5,407

The changes in the gross carrying amount of goodwill and intangible assets are as follows:



	Goodwill and Intangible Assets
	Goodwill		In process research and development- non-amortizing			In process research and development- amortizing		Patents, trademarks and other		Total
Balance as of December 31, 2009	$	3,376	$	2,330		$	—	$	47,388	$	53,094
Additions (deductions) during the period	—		(965		)	600		665		300
Balance as of December 31, 2010	$	3,376	$	1,365		$	600	$	48,053	$	53,394
Additions (deductions) during the period	—		(436		)	250		1,600		1,414
Balance as of December 31, 2011	$	3,376	$	929		$	850	$	49,653	$	54,808

The Company's patents, trademarks and other intangible assets are being amortized over a period of two to fifteen years. During 2011, a product line that was included in non-amortizing in process research and development ("IPR&D") reached technological feasibility. As a result, the Company transferred $250 to amortizing IPR&D and began amortizing this amount over a period of 3 years. During 2010, two product lines that were included in non-amortizing IPR&D reached technological feasibility. As a result, the Company transferred $600 to amortizing IPR&D and began amortizing this amount over a period of 5 years.

In 2011 and 2010, the Company incurred charges of $186 and $365, respectively, to abandon and write off one and three product lines, respectively, that were included in IPR&D.

During 2011 and 2010, the Company acquired patents for $1,600 and $665, respectively, which will be amortized over a period of eleven and fifteen years, respectively.

Amortization expense related to intangible assets at December 31, 2011 in each of the next five fiscal years and beyond is expected to be as follows:




2012	$	6,189
2013	5,608
2014	4,319
2015	2,350
2016	996
Thereafter	2,341
	$	21,803

- 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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