4.Intangibles

We acquired intangible assets in addition to goodwill in connection with the acquisitions of Coord3 and NMS. These assets are susceptible to shortened estimated useful lives and changes in fair value due to changes in their use, market or economic changes, or other events or circumstances. We evaluate the potential impairment of these intangible assets whenever events or circumstances indicate their carrying value may not be recoverable. Factors that could trigger an impairment review include historical or projected results that are less than the assumptions used in the original valuation of an intangible asset, a change in our business strategy or our use of an intangible asset or negative economic or industry trends.

If an event or circumstance indicates that the carrying value of an intangible asset may not be recoverable, we assess the recoverability of the asset by comparing the carrying value of the asset to the sum of the undiscounted future cash flows that the asset is expected to generate over its remaining economic life. If the carrying value exceeds the sum of the undiscounted future cash flows, we compare the fair value of the intangible asset to the carrying value and record an impairment loss for the difference. We generally estimate the fair value of our intangible assets using the income approach based on a discounted cash flow model. The income approach requires the use of many assumptions and estimates including future revenues and expenses, discount factors, income tax rates, the identification of groups of assets with highly independent cash flows, and assets’ economic lives. Volatility in the global economy makes these assumptions and estimates more judgmental. Actual future operating results and the remaining economic lives of our other intangible assets could differ from those used in assessing the recoverability of these assets and could result in an impairment of other intangible assets in future periods.

Our intangible assets are as follows (in thousands):


		December 31,				December 31,		June 30,				June 30,
		2016				2016		2016				2016
		Gross				Net		Gross				Net
		Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
		Amount		Amortization		Amount		Amount		Amortization		Amount
Customer/Distributor Relationships	$	3,013	$	(1,106)	$	1,907	$	3,170	$	(847)	$	2,323
Trade Name		2,339		(429)		1,910		2,461		(328)		2,133
Software		676		(248)		428		676		(181)		495
Other		112		(68)		44		118		(52)		66
Total	$	6,140	$	(1,851)	$	4,289	$	6,425	$	(1,408)	$	5,017

Amortization expense was $286,000 and $321,000 for the three month periods ended December 31, 2016 and 2015, respectively. Amortization expense was $542,000 and $585,000 for the six month periods ended December 31, 2016 and 2015, respectively. The change in the gross carrying value of $285,000 is due to changes in foreign currency rates from June 30, 2016 to December 31, 2016.

The estimated amortization of the remaining intangible assets by year is as follows (in thousands):



Years Ending June 30,		Amount
2017 (excluding the six months ended December 31, 2016)		509
2018		1,035
2019		1,017
2020		635
2021		234
after 2021		859
	$	4,289