Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2016

GOODWILL AND OTHER INTANGIBLE ASSETS

The carrying value of goodwill as of December 31, 2016 and 2015 was as follows:



	As of December 31,
(in thousands)	2016		2015
Regulated Energy	$	3,353	$	3,353
Unregulated Energy	11,717		11,195
Total	$	15,070	$	14,548

As of December 31, 2016, goodwill in our Regulated Energy segment is comprised of approximately $2.5 million from the FPU merger in October 2009, $170,000 from the purchase of operating assets from IGC in August 2010 and $714,000 from the purchase of Fort Meade in December 2013. As of December 31, 2016, goodwill in our Unregulated Energy segment is comprised of $10.1 million from the acquisition of Gatherco in April 2015 and $1.6 million from the acquisition of the operating assets of several companies. The annual impairment testing for 2016 indicated no impairment of goodwill.

The carrying value and accumulated amortization of intangible assets subject to amortization as of December 31, 2016 and 2015 are as follows:



	As of December 31,
	2016				2015
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Customer lists	$	4,012	$	2,379	$	4,012	$	2,048
Non-Compete agreements	270		146		270		103
Other	270		184		270		179
Total	$	4,552	$	2,709	$	4,552	$	2,330

The customer lists acquired in the purchases of the operating assets of several companies are being amortized over seven to 12 years. The non-compete agreements acquired in the purchase of the operating assets of several companies are being amortized over a six-year or seven-year period. The other intangible assets consist of acquisition costs from our propane distribution acquisitions in the late 1980s and 1990s and are being amortized over 40 years.

For the years ended December 31, 2016, 2015 and 2014, amortization expense of intangible assets was $380,000, $367,000, and $396,000, respectively. Amortization expense of intangible assets is expected to be $366,000 for 2017, $353,000 for 2018, $353,000 for 2019, $353,000 for 2020 and $288,000 for 2021.

- 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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