Goodwill and Acquired Intangible Assets

3 Months Ended

Mar. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

The change in the carrying amount of goodwill for the three months ended March 31, 2014 was as follows (in thousands):



Balance as of January 1, 2014	$	757,368
Acquisition of Prolexic Technologies, Inc.	293,412
Balance as of March 31, 2014	$	1,050,780

The Company tests goodwill for impairment at least annually. Through the date the consolidated financial statements were issued, no triggering events had occurred that would indicate a potential impairment exists.

Acquired intangible assets that are subject to amortization consist of the following as of March 31, 2014 and December 31, 2013 (in thousands):



	March 31, 2014							December 31, 2013
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Completed technology	$	92,431	$	(38,631	)	$	53,800	$	65,631	$	(35,476	)	$	30,155
Customer-related intangible assets	173,600		(78,708		)	94,892		115,100		(75,563		)	39,537
Non-compete agreements	8,890		(3,060		)	5,830		7,950		(2,623		)	5,327
Trademarks and trade names	4,200		(1,101		)	3,099		3,400		(990		)	2,410
Acquired license rights	490		(490		)	—		490		(490		)	—
Total	$	279,611	$	(121,990	)	$	157,621	$	192,571	$	(115,142	)	$	77,429

Aggregate expense related to amortization of acquired intangible assets for the three months ended March 31, 2014 and 2013 was $6.8 million and $6.1 million, respectively. Based on the Company’s acquired intangible assets as of March 31, 2014, aggregate expense related to amortization of acquired intangible assets is expected to be $25.2 million for the remainder of 2014, and $26.8 million, $25.2 million, $23.1 million and $16.2 million for 2015, 2016, 2017 and 2018, respectively.

- 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.

+ References+ Details