Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2011

Note 13 – Goodwill and Intangible Assets

Definite-lived Intangible Assets

(Dollars in thousands)	September 30, 2011						December 31, 2010
	Gross Carrying Amount*		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount*		Accumulated Amortization		Net Carrying Amount
Trademarks and patents	$	2,009	$	1,143	$	866	$	2,041	$	1,091	$	950
Technology		37,950		4,743		33,207		6,423		1,448		4,975
Covenant-not-to-compete		1,558		735		823		1,604		668		936
Customer Relationships		20,530		1,068		19,462		4,324		387		3,937
Total other intangible assets	$	62,047	$	7,689	$	54,358	$	14,392	$	3,594	$	10,798

*Gross carrying amounts may be different from prior periods due to foreign exchange rate fluctuations.

Amortization expense for the nine months ended September 30, 2011 was approximately $4.4 million and $0.7 million for the same period in 2010. The anticipated future amortization expense is $1.5 million, $4.5 million, $6.1 million, $6.2 million and $5.9 million for the remainder of 2011 and 2012, 2013, 2014 and 2015, respectively.

The weighted average amortization period as of September 30, 2011, by intangible asset class, is presented in the table below:

Intangible Asset Class	Weighted Average Amortization Period
Trademarks and patents	8.6
Technology	5.6
Covenant not-to-compete	3.4
Customer relationships	9.2
Total other intangible assets	6.9

On January 4, 2011 we acquired Curamik, which contributed $52.8 million of intangible assets and $85.9 million of goodwill. The intangible assets are comprised of trademarks, technology, and customer relationships. This includes $5.3 million of indefinite-lived intangible assets, which are assessed for impairment annually. The definite-lived intangibles are amortized using an accelerated method of amortization that is based on the projected economic use of the related underlying asset.

On November 2, 2010, we entered into a technology license agreement with Polyworks, Inc., which resulted in $2.0 million of intangible assets that will be amortized on a straight line basis over 10 years.

On March 31, 2010, we acquired the assets of Utis, which resulted in $9.3 million of intangible assets and $15.6 million of goodwill. The intangible assets are comprised of trademarks, technology, covenants not-to-compete and customer relationships. These intangibles are amortized using an accelerated method of amortization that is based on the projected economic use of the related underlying asset.

Goodwill

The changes in the carrying amount of goodwill for the period ending September 30, 2011, by reportable segment, are as follows:

(Dollars in thousands)	High Performance Foams			Printed Circuit Materials		Power Distribution Systems		Curamik Electronic Solutions		Thermal Management Solutions		Other		Total
December 31, 2010	$	22,962		$	-	$	-	$	-	$	-	$	2,224	$	25,186
Curamik acquisition		-			-		-		85,947		-		-		85,947
Foreign currency translation adjustment		(741	)		-		-		540		-		-		(201	)
September 30, 2011	$	22,221		$	-	$	-	$	86,487	$	-	$	2,224	$	110,932

- 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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