Note 3 - Goodwill and Purchased Intangible Assets

12 Months Ended

Dec. 30, 2017

Goodwill and Intangible Assets Disclosure [Text Block]

Goodwill and Purchased Intangible Assets

Changes in the carrying value of our goodwill during the years ended

December 30, 2017,

and

December 31, 2016,

were as follows

(

in thousands

)

	Total Goodwill
Balance December 26, 2015	$	60,264
Impact of currency exchange		(1,415	)
Balance December 31, 2016		58,849
Additions		2,654
Impact of currency exchange		4,110
Balance December 30, 2017	$	65,613

Purchased intangible assets, subject to amortization, are as follows

(in thousands)

	December 30, 2017						December 31, 2016
					Remaining
	Gross Carrying		Accumulated		Useful Life		Gross Carrying		Accumulated
	Amount		Amortization		(years)		Amount		Amortization
Developed technology	$	20,780	$	12,623		3.3	$	19,194	$	9,597
Customer relationships		7,934		4,838		3.0		6,996		3,644
Trade names		6,185		972		12.2		5,354		468
Covenant not-to-compete		313		31		9.0		-		-
	$	35,212	$	18,464			$	31,544	$	13,709

Changes in the carrying values of purchased intangible assets presented above are a result of the impact of fluctuation in currency exchange rates.

Amortization expense related to purchased intangible assets was approximately

$4.2

million in

2017,

$6.9

million in

2016

and

$7.0

million in

2015.

The decrease in amortization expense in the current year is a result of certain intangible assets that became fully amortized in the prior year. As of

December 30, 2017,

we expect amortization expense in future periods to be as follows:

2018

$4.2

million;

2019

$4.2

million;

2020

$4.1

million;

2021

$0.7

million

2022

$0.7

million; and thereafter

$2.8

million.

- 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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