GOODWILL AND AMORTIZABLE INTANGIBLE ASSETS

12 Months Ended

Dec. 28, 2013

GOODWILL AND AMORTIZABLE INTANGIBLE ASSETS

GOODWILL AND AMORTIZABLE INTANGIBLE ASSETS

4. GOODWILL AND AMORTIZABLE INTANGIBLE ASSETS

As of December 28, 2013 the Company has recorded $7,229,000 of goodwill consisting of $6,229,000 related to the CACS segment and $1,000,000 related to the Door segment. The Company annually assesses goodwill for potential impairment at the end of each year. For the CACS segment, the Company engages the services of an investment banking firm to assist management in determining the fair value of the reporting unit. For the Door segment, the Company prepares a discounted cash flow analysis to estimate the fair value of the reporting unit. In addition, if events occur or circumstances change in the relevant reporting segments or in their industries the Company will then reassess the recorded goodwill to determine if impairment has occurred. No goodwill impairment was recognized for any of the periods presented. The valuation of goodwill and other intangibles is considered a significant estimate. Continued or protracted economic conditions could negatively impact the value of the business which could trigger an impairment that would materially impact earnings.

There were no changes in recorded goodwill for either of the years ended December 28, 2013 or December 29, 2012.

Identifiable intangible assets consist of the following (amounts in thousands):

	December 28, 2013				December 29, 2012
	Gross				Gross
	carrying		Accumulated		carrying		Accumulated
	amount		amortization		amount		amortization
Amortized intangible assets:
Restrictive land covenant	$	350	$	262	$	350	$	228
Customer relationships	370		340		370		316
	$	720	$	602	$	720	$	544

Amortization expense of intangible assets was $59,000 for 2013 and $66,000 for 2012. The estimated amortization expense for the five subsequent fiscal years is as follows: 2014 - $52,000; 2015 - $45,000; 2016 - $21,000 and 2017 and 2018 - $0.