6 .	GOODWILL AND INTANGIBLE ASSETS :

Goodwill

Goodwill represents the excess of purchase price over the assigned fair values of the assets and liabilities assumed in conjunction with an acquisition. As discussed in Note

“Summary of Significant Accounting Policies,” goodwill is reviewed for impairment annually as of

December

or whenever events occur or circumstances change that indicate goodwill

may

be impaired. Goodwill was fully impaired as of

December

31,

2016

and

2015.

Due to Water Transmission market conditions in

2015,

goodwill of

$5.3

million related to the Company’s Water Transmission Group was quantitatively evaluated using a weighted average of the income and market approaches. The Company determined that its Water Transmission Group goodwill was impaired as of

June

30,

2015,

and it was completely written off in the

second

quarter of

2015.

Due to negative impacts on the Tubular Products business as a result of the worldwide turmoil in crude oil markets, which became significant in the

fourth

quarter of

2014,

goodwill of

$16.1

million related to the Company’s Tubular Products Group was quantitatively evaluated using a weighted average of the income and market approaches. The Company concluded that there was no implied fair value of the Tubular Products Group goodwill and that it should be completely written off as of

December

31,

2014.

The Company had allocated

$4.4

million of goodwill to the

two

OCTG plants disposed in

March

2014,

and recorded the related write-off of that goodwill as part of the Loss on sale of business in the Company’s Consolidated Statement of Operations.

Intangible Assets

Intangible assets, included in Other assets on the Consolidated Balance Sheets, consist of the following (in thousands):

	Gross Carrying		Accumulated			Intangible
	Amount		Amortization			Assets, Net
As of December 31, 2016
Customer relationships	$	1,378	$	(413	)	$	965
Patents		1,162		(697	)		465
Trade names and trademarks		1,132		(226	)		906
Other (1)		295		(233	)		62
Total	$	3,967	$	(1,569	)	$	2,398

As of December 31, 2015
Customer relationships	$	1,378	$	(275	)	$	1,103
Patents		1,162		(465	)		697
Trade names and trademarks		1,132		(151	)		981
Other (1)		295		(155	)		140
Total	$	3,967	$	(1,046	)	$	2,921

(1)

Other intangibles consist of favorable lease contracts and non-compete agreements.

Amortization expense was

$0.5

million for each of the years ended

December

31,

2016,

2015

and

2014.

The estimated amortization expense for each of the next

five

years and thereafter is as follows (in thousands):

Year ending December 31,
2017	$	495
2018		459
2019		213
2020		213
2021		213
Thereafter		805
	$	2,398