Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

v3.10.0.1
Goodwill and Intangible Assets
 9 Months Ended
Sep. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Note 3 - Goodwill and Intangible Assets    
We account for business combinations using the acquisition method of accounting. Under this method, assets and liabilities, including any remaining noncontrolling interests, are recognized at fair value at the date of acquisition. The excess of the purchase price over the fair value of assets acquired, net of liabilities assumed, plus the value of any noncontrolling interests, is recognized as goodwill. We perform our annual goodwill impairment review during the fourth quarter, as of October 1, and more frequently if negative conditions or other triggering events arise. Should current market conditions worsen or persist for an extended period of time, an impairment of the carrying value of our goodwill could occur.
All of the Company’s goodwill and intangible assets are allocated to the U.S. Rental Tools segment.
Goodwill — The change in the carrying amount of goodwill for the period ended September 30, 2018 is as follows:
Dollars in thousands
Goodwill
Balance at December 31, 2017
$
6,708

Additions
—

Balance at September 30, 2018
$
6,708


Of the total amount of goodwill recognized, zero is expected to be deductible for income tax purposes.
Intangible Assets — Intangible Assets consist of the following:
 
 
 
Balance at September 30, 2018
Dollars in thousands
Estimated Useful Life (Years)
 
Gross Carrying Amount
 
Write-off Due to Disposal
 
Accumulated Amortization
 
Net Carrying Amount
Amortized intangible assets:
 
 
 
 
 
 
 
 
 
Developed technology
6
 
$
11,630

 
$
—

 
$
(6,784
)
 
$
4,846

Trade names
5
 
4,940

 
(332
)
 
(4,056
)
 
552

Total amortized intangible assets
 
 
$
16,570

 
$
(332
)
 
$
(10,840
)
 
$
5,398


Amortization expense was $1.7 million and $2.2 million for the nine months ended September 30, 2018 and 2017, respectively.
Our remaining intangibles amortization expense for the next five years is presented below:
Dollars in thousands
Expected future intangible amortization expense
2018
$
577

2019
$
2,306

2020
$
2,030

2021
$
485

Beyond 2021
$
—