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Goodwill and Other Identifiable Intangible Assets
3 Months Ended
Mar. 31, 2012
Patents [Abstract]  
Goodwill and Other Identifiable Intangible Assets

Acacia's only identifiable intangible assets at March 31, 2012 and December 31, 2011 are patents and patent rights.  Patent-related accumulated amortization totaled $41,457,000 and $36,331,000 as of March 31, 2012 and December 31, 2011, respectively.

Acacia's patents and patent rights have remaining estimated economic useful lives ranging from one to ten years.  The weighted-average remaining estimated economic useful life of Acacia's patents and patent rights is approximately nine years.  As of March 31, 2012, scheduled annual aggregate amortization expense is estimated to be $15,176,000 for the remainder of 2012, $20,056,000 in 2013, $19,802,000 in 2014, $19,341,000 in 2015 and $18,236,000 in 2016.  For all periods presented, all acquired intangible assets were subject to amortization.

For the three months ended March 31, 2012 and 2011, Acacia paid patent and patent rights acquisition costs totaling $2,100,000 (excluding the acquisition of ADAPTIX) and $680,000, respectively.  The patents and patent rights acquired have estimated economic useful lives of approximately one to seven years. Included in net additions to capitalized patent costs during the three months ended March 31, 2011 are accrued future patent acquisition costs totaling $875,000, which were incurred pursuant to the terms of the underlying patent acquisition agreements. Accrued future patent acquisition costs are amortized over the estimated economic useful life of the related patents acquired.

Refer to Note 8 to these consolidated financial statements for additions to patents and goodwill in connection with Acacia's acquisition of ADAPTIX and the related application of the acquisition method of accounting.

During the three months ended March 31, 2012 and 2011, certain operating subsidiaries recovered up-front patent portfolio acquisition costs from applicable net licensing proceeds prior to scheduled amortization of such up-front patent portfolio acquisition costs, resulting in the acceleration of amortization expense for the applicable patent related assets. Accelerated amortization expense related to the recovery of up-front patent acquisition costs for the three months ended March 31, 2012 and 2011 totaled $442,000 and $2,383,000, respectively.