Goodwill and Intangible Assets

12 Months Ended

Sep. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

GoodwillAndIntangibleAssetsDisclosureTextBlock

17. GOODWILL AND INTANGIBLE ASSETS

The following is a progression of goodwill by segment for the years ended September 30, 2014, 2013 and 2012:


	Residential		Infrastructure Solutions		Total
Balance at September 30, 2012	$	4,446	$	-	$	4,446
Acquisitions		4,185		5,293		9,478
Balance at September 30, 2013		8,631		5,293		13,924
Purchase Accounting Adjustments		-		1,069		1,069
Balance at September 30, 2014	$	8,631	$	6,362	$	14,993

Goodwill

During 2014, we adjusted our purchase price allocation related to the acquisition of MISCOR, resulting in net additional goodwill of $1,069 for our Infrastructure Solutions segment, which increased the segment’s goodwill to $6,362, with offsetting adjustments to certain assets and liabilities of the acquired entity. This additional goodwill of $1,069 is the result of the completion of our analysis of the tax basis of the acquired property, plant and equipment, which resulted in the recording of an additional deferred tax liability of $560. Additionally, we completed our valuation of the acquired inventory, resulting in a $311 reduction in the estimated value previously attributed to work in process inventory. We also identified additional current liabilities of $198, resulting in a further increase to goodwill.

Based upon the results of our annual impairment analysis, the fair value of our Infrastructure Solutions segment significantly exceeded the book value, and warranted no impairment. We evaluated goodwill attributable to our Residential segment qualitatively, and have concluded no impairment is indicated.

Intangible assets consist of the following:

		Year Ended September 30, 2014
	Estimated
	Useful Lives		Gross Carrying		Accumulated
	(in Years)		Amount		Amortization	Net
Trademarks/trade names	Indefinite	$	1,200	$	-	$	1,200
Technical Library	20		400		21		379
Customer Relationships	12.0		2,100		484		1,616
Covenants not to compete	3.0		140		74		66
Developed Technology	4.0		400		158		242
Total		$	4,240	$	737	$	3,503

		Year Ended September 30, 2013
	Estimated
	Useful Lives		Gross Carrying		Accumulated
	(in Years)		Amount		Amortization	Net
Trademarks/trade names	Indefinite	$	1,200	$	-	$	1,200
Technical Library	20		400		1		399
Customer Relationships	12.0		2,100		16		2,084
Covenants not to compete	3.0		140		27		113
Developed Technology	4.0		400		58		342
Total		$	4,240	$	102	$	4,138

For the years ended September 30, 2014 and 2013, amortization expense of intangible assets was $635 and $452, respectively. Our future amortization expense for years ended September 30, is as follows:

Year Ended September 30,
2015	$	403
2016		351
2017		256
2018		172
2019		163
Thereafter		958
Total	$	2,303

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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