GOODWILL AND INTANGIBLE ASSETS, NET

Goodwill

We test goodwill at the reporting unit level for impairment on an annual basis and between annual tests if events and circumstances indicate it is more likely than not that the fair value of a reporting unit is less than its carrying value. Events that could indicate impairment and trigger an interim impairment assessment include, but are not limited to, an adverse change in current economic and market conditions, including a significant prolonged decline in market capitalization, a significant adverse change in legal factors, unexpected adverse business conditions, and an adverse action or assessment by a regulator. Our annual impairment test date is October 31. We have determined that we operate in a single operating segment and have a single reporting unit.

During the first quarter of 2019, as a result of a number of business factors, including our market capitalization being below our carrying value, we performed a qualitative interim impairment assessment of our goodwill balance at March 31, 2019. We determined that it was not more likely than not that the fair value of our reporting unit was less than its carrying value and therefore, did not perform a further quantitative interim impairment test. Our qualitative assessment is based on management’s estimates and assumptions, a number of which are dependent on external factors. To the extent actual results differ materially from these estimates and we experience negative developments in the areas discussed above in subsequent periods, an interim impairment assessment could be triggered, which could result in an impairment of goodwill.

Intangible Assets

As of March 31, 2019 and December 31, 2018, our identifiable intangible assets consisted of the following (in thousands):



	March 31, 2019								December 31, 2018
			Accumulated		Cumulative						Accumulated		Cumulative
	Cost		Amortization		Impairments		Net		Cost		Amortization		Impairments		Net
Finite-lived intangible assets:
Makena base technology	$	797,100	$	400,496	$	319,246	$	77,358	$	797,100	$	400,495	$	319,246	$	77,359
Makena auto-injector developed technology	79,100		9,206		—		69,894		79,100		6,952		—		72,148
Intrarosa developed technology	77,655		11,817		—		65,838		77,655		10,129		—		67,526
Total intangible assets	$	953,855	$	421,519	$	319,246	$	213,090	$	953,855	$	417,576	$	319,246	$	217,033

As of March 31, 2019, the weighted average remaining amortization period for our finite-lived intangible assets was approximately 7.3 years. Total amortization expense for the three months ended March 31, 2019 and 2018 was $3.9 million and $52.4 million, respectively. Amortization expense is recorded in cost of product sales in our condensed consolidated statements of operations. We expect amortization expense related to our finite-lived intangible assets to be as follows (in thousands):



	Estimated
	Amortization
Period	Expense
Remainder of Year Ending December 31, 2019	$	41,329
Year Ending December 31, 2020	35,714
Year Ending December 31, 2021	30,016
Year Ending December 31, 2022	27,167
Year Ending December 31, 2023	18,046
Thereafter	60,818
Total	$	213,090

As of March 31, 2019, we determined that the ongoing supply issue with the Makena intramuscular (“IM”) products, which relates to the Makena base technology intangible asset was an indicator of potential impairment for that asset. As a result, we compared the projected undiscounted future cash flows for the Makena IM products and found that they exceeded the asset’s carrying value as of March 31, 2019. The evaluation of projected cash flows is dependent on management’s annual and ongoing forecasting, budgeting and planning processes and represents our best estimate of the future results of the Makena IM products as of a point in time. These estimates are subject to a number of assumptions. Actual results could differ materially from our assumptions in future periods and to the extent forecasted cash flows are lower in the future, an impairment charge could result.