Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill by Segment

The following table reflects the changes in carrying amounts of goodwill by segment for the years ended December 31, 2015 and 2014:



(In thousands)	Harsco Metals & Minerals Segment			Harsco Industrial Segment				Harsco Rail Segment			Consolidated Totals
Balance at December 31, 2013	$	421,955		$	—			$	9,310		$	431,265
Changes to goodwill	(300		)	6,839			(a)	—			6,539
Foreign currency translation	(21,649		)	—				—			(21,649		)
Balance at December 31, 2014	400,006			6,839				9,310			416,155
Changes to goodwill	(493		)	(33		)		3,490		(b)	2,964
Foreign currency translation	(18,752		)	—				—			(18,752		)
Balance at December 31, 2015	$	380,761		$	6,806			$	12,800		$	400,367


(a)	Changes to goodwill relate to the initial acquisition of Hammco and related purchase price adjustments in accordance with U.S. GAAP occurring during the measurement period. See Note 3, Acquisitions and Dispositions.


(b)	Changes to goodwill in the Harsco Rail Segment relate to the acquisitions of Protran and JK Rail. See Note 3, Acquisitions and Dispositions.

The Company's methodology for determining reporting unit fair value is described in Note 1, Summary of Significant Accounting Policies. Performance of the Company's 2015 annual impairment test did not result in impairment of any of the Company's reporting units.

Intangible Assets

Intangible assets totaled $53.0 million, net of accumulated amortization of $149.8 million at December 31, 2015 and $58.5 million, net of accumulated amortization of $147.9 million at December 31, 2014. The following table reflects these intangible assets by major category:



	December 31, 2015				December 31, 2014
(In thousands)	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Customer related	$	153,287	$	111,227	$	157,530	$	112,211
Non-compete agreements	1,092		1,092		1,107		1,039
Patents	5,882		5,495		6,079		5,399
Technology related	25,559		23,089		26,548		21,233
Trade names	8,303		4,194		7,745		3,733
Other	8,701		4,669		7,420		4,290
Total	$	202,824	$	149,766	$	206,429	$	147,905

As part of the acquisition of Protran and JK Rail as discussed in Note 3, Acquisitions and Dispositions, the Company acquired the following finite-lived intangible assets (by major class):



(In thousands)	Gross Carrying Amount		Residual Value	Weighted-average amortization period
Customer related	$	3,398	None	19 years
Trade names	580		None	20 years
Other	100		None	1 year
Total	$	4,078

Amortization expense for intangible assets was $8.8 million, $9.9 million and $13.8 million for 2015, 2014 and 2013, respectively. The following table shows the estimated amortization expense for the next five fiscal years based on current intangible assets.



(In thousands)	2016		2017		2018		2019		2020
Estimated amortization expense (a)	$	8,000	$	5,500	$	5,250	$	4,750	$	4,500


(a)	These estimated amortization expense amounts do not reflect the potential effect of future foreign currency exchange rate fluctuations.

- 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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