Business Acquisitions

12 Months Ended

Dec. 31, 2014

Business Acquisitions [Abstract]

Business Acquisition

Business Acquisitions

In April 2013, the Company acquired MARSS, a developer of software and sensor control systems for use in maritime security applications, including above and below water port security and ship-based man overboard detection, for approximately $3.2 million in cash. The Company has recorded $0.4 million of identifiable intangible assets and $2.5 million of goodwill.

In August 2013, the Company acquired certain tangible assets and intellectual property related to the design and manufacturing of wafer-level optics of DOC Charlotte for approximately $14.9 million in cash. The Company has performed a purchase price allocation which resulted in an allocation of $2.5 million of identifiable intangible assets and $2.4 million of goodwill.

The allocation of the purchase price for DOC Charlotte is as follows (in thousands):

Inventories	$	741
Property and equipment	9,246
Net tangible assets	9,987
Identifiable intangible assets	2,520
Goodwill	2,401
Purchase price	$	14,908

None of the goodwill recognized is deductible for income tax purposes.

The identifiable intangible assets and the estimated useful life of each are as follows (in thousands):

	Estimated Useful Life	Amount
Patented/Proprietary Technology	12 years	$	2,000
Backlog	2 years	150
Customer Relationships	2.5 years	370
		$	2,520

The operating results of MARSS and DOC Charlotte are included in the Company’s results of operations since their respective dates of acquisition.

These acquisitions are not significant, either individually or in the aggregate, as defined in Regulation S-X of the Securities and Exchange Commission, compared to the Company’s overall financial position.