Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets

7. Intangible Assets

During the fourth quarter of 2016, we reviewed our long-lived assets for indicators of impairment.  Based on reduced estimates of future revenues and future negative cash flow, we identified potential indicators of impairment. As a result, we compared the fair value of our long-lived assets to their carrying value. Based on our discounted future cash flow and revenue projections, we recorded a non-cash impairment charge of $120 thousand for the Ocunetics patent. The impairment charge represents the excess of the carrying value of the asset over its fair value.

The impairment charge is not expected to result in any future cash expenditures.

The components of our purchased intangible assets as of December 31, 2016 are as follows (in thousands):

	Useful Lives	FY 2016 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	108	$	132	8.25Years
Patents	Varies		-		720		720		-	Varies
		$	16	$	960	$	828	$	132

The components of our purchased intangible assets as of January 2, 2016 are as follows (in thousands):

	Useful Lives	FY 2015 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	92	$	148	9.25Years
Patents	Varies		-		720		600		120	Varies
		$	16	$	960	$	692	$	268

Aggregate amortization expense for the fiscal years 2016, 2015 and 2014 was $16 thousand, $16 thousand and $44 thousand, respectively. The amortization of customer relations was charged to sales and marketing expense and the amortization of patents was charged to cost of revenues.

Estimated future amortization expense for purchased intangible assets is as follows (in thousands):

Fiscal Year:
2017	$	16
2018		16
2019		16
2020		16
2021		16
Thereafter		52
Total	$	132