Goodwill And Other Intangibles

12 Months Ended

Dec. 31, 2011

Goodwill And Other Intangibles [Abstract]

NOTE 10—Goodwill and Other Intangibles:

Goodwill and other intangibles consist principally of goodwill, customer lists, trade names, patents, and other intangibles.

The following table summarizes the changes in goodwill by operating segment for the years ended December 31, 2011 and 2010 (in thousands):


	Polymer Solutions		Catalysts			Fine Chemistry			Total
Balance at December 31, 2009	$	36,153	$	228,166		$	28,402		$	292,721
Sale of assets^(a)		—		—			(3,711	)		(3,711	)
Foreign currency translation adjustments		57		(16,743	)		(86	)		(16,772	)

Balance at December 31, 2010		36,210		211,423			24,605			272,238
Acquisitions^(b)		—		3,672			—			3,672
Foreign currency translation adjustments		953		(3,885	)		167			(2,765	)

Balance at December 31, 2011	$	37,163	$	211,210		$	24,772		$	273,145

(a)	Relates to the July 2010 sale of our Teesport, UK manufacturing facility. See Note 7 "Property, Plant and Equipment."

(b)	Relates to our acquisition of Catilin, Inc. as discussed in Note 22 "Acquisitions."

Other intangibles consist of the following at December 31, 2011 and 2010 (in thousands):


	Customer Lists and Relationships			Trade Names			Patents and Technology			Land Use Rights			Manufacturing Contracts and Supply/Service Agreements			Other			Total
Gross Asset Value
Balance at December 31, 2009	$	102,533		$	46,110		$	45,959		$	7,094		$	12,289		$	20,075		$	234,060
Acquisitions		—			—			—			—			—			—			—
Sale of assets		—			—			—			—			—			(65	)		(65	)
Foreign currency translation adjustments and other		(2,024	)		(1,310	)		(1,367	)		224			(202	)		308			(4,371	)

Balance at December 31, 2010		100,509			44,800			44,592			7,318			12,087			20,318			229,624
Acquisitions^(a)		—			—			1,400			—			—			—			1,400
Sale of assets		—			—			—			—			—			—			—
Foreign currency translation adjustments and other		(431	)		599			(19	)		780			1,695			3,843			6,467

Balance at December 31, 2011	$	100,078		$	45,399		$	45,973		$	8,098		$	13,782		$	24,161		$	237,491


Accumulated Amortization
Balance at December 31, 2009		(23,059	)		(9,149	)		(26,714	)		(280	)		(9,398	)		(14,937	)		(83,537	)
Amortization		(4,635	)		(1,614	)		(4,800	)		(108	)		(1,247	)		(574	)		(12,978	)
Sale of assets		—			—			—			—			—			65			65
Foreign currency translation adjustments and other		644			266			975			(96	)		178			(377	)		1,590

Balance at December 31, 2010		(27,050	)		(10,497	)		(30,539	)		(484	)		(10,467	)		(15,823	)		(94,860	)
Amortization		(4,780	)		(1,658	)		(4,982	)		(176	)		(551	)		(1,002	)		(13,149	)
Sale of assets		—			—			—			—			—			—			—
Foreign currency translation adjustments and other		1,549			(65	)		309			(458	)		(95	)		(441	)		799

Balance at December 31, 2011	$	(30,281	)	$	(12,220	)	$	(35,212	)	$	(1,118	)	$	(11,113	)	$	(17,266	)	$	(107,210	)


Net Book Value at December 31, 2010	$	73,459		$	34,303		$	14,053		$	6,834		$	1,620		$	4,495		$	134,764

Net Book Value at December 31, 2011	$	69,797		$	33,179		$	10,761		$	6,980		$	2,669		$	6,895		$	130,281

(a)	The increase of $1.4 million in Patents and Technology relates to our acquisition of Catilin, Inc. as discussed in Note 22 "Acquisitions."

Useful lives range from 15 – 35 years for customer lists and relationships; 5 – 35 years for trade names; 8 – 19 years for patents and technology; 37 – 50 years for land use rights; 8 – 12 years for manufacturing contracts and supply/service agreements, and 3 – 35 years for other.

Amortization of other intangibles amounted to $13.1 million, $13.1 million and $13.2 million for the years ended December 31, 2011, 2010 and 2009, respectively. Total estimated amortization expense of other intangibles for the next five fiscal years is as follows (in thousands):


	Estimated Amortization Expense
2012	$	11,297
2013	$	8,869
2014	$	8,864
2015	$	8,126
2016	$	7,123

In April 2008, the FASB issued new accounting guidance which amends the factors an entity should consider in developing renewal or extension assumptions used in determining the useful life of recognized intangible assets. This new guidance was required to be applied prospectively to intangible assets acquired after the effective date. We have applied this new guidance to intangible assets acquired after January 1, 2009. The adoption of this new guidance did not have a material impact on our consolidated financial statements.

- 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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