ESSENDANT INC - 10-Q filing on 2015-10-21

Goodwill and Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2015

Goodwill And Intangible Assets Disclosure [Abstract]

Summary of Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill are noted in the following table (in thousands):

Goodwill, balance as of December 31, 2014	$	398,042
Impairment		(3,319	)
Purchase accounting adjustments		9,977
Acquisition		11,110
Currency translation adjustments		(2,632	)
Goodwill, balance as of September 30, 2015	$	413,178

Summary of Intangible Assets of Company by Major Class

The following table summarizes the intangible assets of the Company by major class of intangible assets and the cost, accumulated amortization, net carrying amount, and weighted average life, if applicable (in thousands):

	September 30, 2015								December 31, 2014
								Weighted								Weighted
								Average								Average
	Gross					Net		Useful	Gross					Net		Useful
	Carrying		Accumulated			Carrying		Life	Carrying		Accumulated			Carrying		Life
	Amount		Amortization			Amount		(years)	Amount		Amortization			Amount		(years)
Intangible assets subject to amortization
Customer relationships and other intangibles	$	138,864	$	(48,659	)	$	90,205	16	$	125,761	$	(41,123	)	$	84,638	16
Non-compete agreements		4,650		(3,260	)		1,390	4		4,672		(2,364	)		2,308	4
Trademarks		12,833		(3,268	)		9,565	14		14,428		(1,716	)		12,712	13
Total	$	156,347	$	(55,187	)	$	101,160		$	144,861	$	(45,203	)	$	99,658
Intangible assets not subject to amortization
Trademarks		1,600		-			1,600	n/a		12,300		-			12,300	n/a
Total	$	157,947	$	(55,187	)	$	102,760		$	157,161	$	(45,203	)	$	111,958

Summary of Amortization Expense to be Incurred Over Next Four Years on Intangible Assets

The following table summarizes the amortization expense to be incurred in 2015 and over the next four years on intangible assets (in thousands):

Year	Amount
2015	$	15,156
2016		13,113
2017		10,956
2018		8,088
2019		6,953