Goodwill

6 Months Ended

Jun. 30, 2019

Goodwill Excluding Non Goodwill Intangibles [Abstract]

Goodwill

Goodwill

The following table reflects goodwill allocated to each reporting unit:

In thousands	Device Solutions			Networked Solutions			Outcomes			Total Company
Goodwill balance at January 1, 2019	$	55,259		$	918,495		$	142,779		$	1,116,533
Measurement period adjustments to goodwill acquired	—			(4,938		)	(1,040		)	(5,978		)
Effect of change in exchange rates	(24		)	(407		)	(63		)	(494		)
Goodwill balance at June 30, 2019	$	55,235		$	913,150		$	141,676		$	1,110,061

Silver Spring Networks, Inc. Acquisition

On January 5, 2018, we completed the acquisition of SSNI by purchasing 100% of SSNI's outstanding stock. The acquisition was financed through incremental borrowings and cash on hand. Refer to "Note 6: Debt" for further discussion of our debt. SSNI provided smart network and data platform solutions for electricity, gas, water and smart cities including advanced metering, distribution automation, demand-side management, and street lights.

The fair values for the identified trademarks and core-developed technology intangible assets were estimated using the relief from royalty method. The fair value of customer contract and relationship were estimated using the income approach. The IPR&D was valued utilizing the replacement cost method. These consolidated financial statements should be read in conjunction with the audited financial statements and notes included in our 2018 Annual Report.

The purchase price of SSNI was $809.2 million, which is net of $97.8 million of acquired cash and cash equivalents. Of the total consideration, $802.5 million was paid in cash. The remaining $6.7 million relates to the fair value of pre-acquisition service for replacement awards of unvested SSNI options and restricted stock unit awards with an Itron equivalent award. We allocated the purchase price to the assets acquired and liabilities assumed based on estimated fair value assessments. During the three months ended March 31, 2019, we recognized additional contract assets totaling $8.0 million and additional deferred tax liabilities of $2.0 million, for a net reduction in goodwill of $6.0 million. As of the first quarter of 2019, the measurement period for the acquisition of SSNI was complete, and any further adjustments to assets acquired or liabilities assumed are recognized through the Consolidated Statement of Operations.