GOODWILL AND INTANGIBLE ASSETS

Goodwill

The changes in the carrying amount of goodwill for the

six

months ended

July 31, 2019

were as follows:

	Gross Carrying Amount			Accumulated Impairment			Goodwill, Net
	(in thousands)
Balance at January 31, 2019	$	28,031		$	(15,608	)	$	12,423
Impact of foreign currency translation		(44	)		-			(44	)
Balance at July 31, 2019	$	27,987		$	(15,608	)	$	12,379

The Company performed its annual goodwill impairment review during the

fourth

quarter of fiscal

2019.

The analysis compared the Company’s market capitalization to its net assets as of the test date,

November 30, 2018.

As the market capitalization significantly exceeded the Company’s net assets, there was

indication of goodwill impairment for fiscal

2019.

The Company monitors the indicators for goodwill impairment testing between annual tests.

adverse events occurred during the

six

months ended

July 31, 2019

that would cause the Company to test goodwill for impairment.

Intangible Assets

	July 31 , 2019			January 31, 2019
	(in thousands)
Amortizable intangible assets:
Customer relationships	$	1,349		$	1,348
Less accumulated amortization		(250	)		(115	)
Amortizable intangible assets, net	$	1,099		$	1,233

The Company’s intangible assets as of

July 31, 2019

are related to the acquisitions completed in the

second

and

third

quarters of fiscal

2019.

Intangible assets are included in “Other assets, net” in the accompanying Condensed Consolidated Balance Sheets, and are amortized over an estimated

five

year useful life.

Amortization of intangibles from acquisitions was

$66,000

and

$133,000

for the

second

quarter and

first

six

months of fiscal

2020,

respectively.

amortization expense was recorded in the

first

half of fiscal

2019.

The following table summarizes the future amortization expense relating to the Company’s intangible assets as of

July 31, 2019:

Fiscal Years	(in thousands)
2020 remaining	$	135
2021		270
2022		270
2023		270
Thereafter		154
	$	1,099