Goodwill and Other Intangible Assets

9 Months Ended

Sep. 30, 2013

Goodwill and Other Intangible Assets [Abstract]

Goodwill and Other Intangible Assets [Text Block]

5. GOODWILL AND OTHER INTANGIBLE ASSETS

Amortization of intangible assets for the three months ended September 30, 2013 and 2012 was $2.8 million and $5.1 million, respectively. Amortization of intangible assets for the nine months ended September 30, 2013 and 2012 was $9.9 million and $13.3 million, respectively. Amortization of intangible assets is estimated to be approximately $4 million for the remainder of 2013, $11 million in 2014, $9 million in 2015, $8 million in 2016, $5 million in 2017, $4 million in 2018 and $3 million thereafter.

The changes in the carrying amount of goodwill, by segment, were as follows:

				Cable		Newspaper		Television		Other
(in thousands)		Education		Television		Publishing		Broadcasting		Businesses		Total
Balance as of December 31, 2012
	Goodwill	$	1,097,058	$	85,488	$	81,183	$	203,165	$	19,052	$	1,485,946
	Accumulated impairment losses		(102,259)		―		(65,772)		―		―		(168,031)
			994,799		85,488		15,411		203,165		19,052		1,317,915
Reallocation, net			―		―		(1,809)		―		1,809		―
Acquisitions			―		―		―		―		7,924		7,924
Reclassification to discontinued operations			―		―		(13,602)		―		―		(13,602)
Foreign currency exchange rate changes			(18,755)		―		―		―		―		(18,755)
Balance as of September 30, 2013
	Goodwill		1,078,303		85,488		―		203,165		34,867		1,401,823
	Accumulated impairment losses		(102,259)		―		―		―		(6,082)		(108,341)
		$	976,044	$	85,488	$	―	$	203,165	$	28,785	$	1,293,482

The changes in carrying amount of goodwill at the Company's education division were as follows:

		Higher		Test		Kaplan
(in thousands)		Education		Preparation		International		Total
Balance as of December 31, 2012
	Goodwill	$	409,184	$	152,187	$	535,687	$	1,097,058
	Accumulated impairment losses		―		(102,259)		―		(102,259)
			409,184		49,928		535,687		994,799
Foreign currency exchange rate changes			(79)		―		(18,676)		(18,755)
Balance as of September 30, 2013
	Goodwill		409,105		152,187		517,011		1,078,303
	Accumulated impairment losses		―		(102,259)		―		(102,259)
		$	409,105	$	49,928	$	517,011	$	976,044

Other intangible assets consist of the following:

			As of September 30, 2013						As of December 31, 2012
			Gross				Net		Gross				Net
		Useful Life	Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
(in thousands)		Range	Amount		Amortization		Amount		Amount		Amortization		Amount
Amortized Intangible Assets
	Non-compete agreements	2-5 years	$	14,054	$	13,038	$	1,016	$	14,008	$	12,546	$	1,462
	Student and customer relationships	2-10 years		70,918		42,141		28,777		73,693		40,787		32,906
	Databases and technology	3-5 years		10,539		6,457		4,082		6,457		5,707		750
	Trade names and trademarks	2-10 years		26,100		19,124		6,976		26,634		18,185		8,449
	Other	1-25 years		9,828		7,137		2,691		8,849		6,839		2,010
			$	131,439	$	87,897	$	43,542	$	129,641	$	84,064	$	45,577
Indefinite-Lived Intangible Assets
	Franchise agreements		$	496,321					$	496,321
	Wireless licenses			22,150						22,150
	Licensure and accreditation			7,371						7,371
	Other			15,636						13,886
			$	541,478					$	539,728

- 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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