CAPITAL ASSETS

Property and Equipment

Property and equipment was as follows:



(in thousands)	July 2, 2016			October 3, 2015
Land and improvements	$	1,705		$	1,705
Buildings and improvements	53,180			53,097
Machinery and equipment	175,386			162,472
Property and equipment, gross	230,271			217,274

Less accumulated depreciation	(147,350		)	(136,820		)
Property and equipment, net	$	82,921		$	80,454

Goodwill

Changes to the carrying value of goodwill were as follows:



(in thousands)	Test			Sensors			Total
Balance, October 3, 2015	$	26,243		$	1,434		$	27,677
Adjustment related to finalization of purchase accounting¹	(530		)	—			(530		)
Currency translation gain (loss)	(610		)	(7		)	(617		)
Balance, July 2, 2016	$	25,103		$	1,427		$	26,530

¹ Goodwill from our acquisition of Instrument and Calibration Sweden AB (ICS) was determined to be customer lists and reclassified to intangible assets. Refer to Note 17 for information related to our acquisition of ICS.

Intangible Assets

Intangible assets were as follows:



	July 2, 2016
(in thousands)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Value		Weighted Average Useful Life (in Years)
Software development costs	$	22,160	$	(14,715	)	$	7,445	6.1
Patents	11,427		(5,586		)	5,841		14.5
Trademarks and trade names	5,934		(1,778		)	4,156		29.4
Customer lists	3,092		(879		)	2,213		7.5
Land-use rights	1,176		(185		)	991		47.8
Total intangible assets	$	43,789	$	(23,143	)	$	20,646	12.7



	October 3, 2015
(in thousands)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Value		Weighted Average Useful Life (in Years)
Software development costs	$	19,546	$	(14,046	)	$	5,500	6.2
Patents	11,838		(5,141		)	6,697		14.5
Trademarks and trade names	6,163		(1,659		)	4,504		29.4
Customer lists	2,561		(610		)	1,951		8.1
Land-use rights	1,227		(173		)	1,054		47.8
Total intangible assets	$	41,335	$	(21,629	)	$	19,706	13.4

Amortization expense recognized during the three months ended July 2, 2016 and June 27, 2015 was $596 and $1,012, respectively. Amortization expense recognized during the nine months ended July 2, 2016 and June 27, 2015 was $1,793 and $3,102, respectively. The estimated future amortization expense related to intangible assets for the next five fiscal years is as follows:




Fiscal Year	Amortization Expense (in thousands)
Remainder of 2016	$	591
2017	$	2,370
2018	$	1,509
2019	$	1,254
2020	$	1,223
2021	$	1,117

Future amortization amounts presented above are estimates. Actual future amortization expense may be different due to future acquisitions, impairments, changes in amortization periods or other factors.