XML 33 R12.htm IDEA: XBRL DOCUMENT v3.8.0.1
Goodwill and Intangible Assets
12 Months Ended
Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill Disclosure [Text Block]
Goodwill and Intangible Assets
The changes in the carrying amounts of goodwill for our funeral and cemetery reporting units are as follows: (in thousands):
 
2017
 
2016
 
Funeral
 
Cemetery
 
Total
 
Funeral
 
Cemetery
 
Total
 
(In thousands)
Balance as of January 1
$
1,493,655

 
$
305,426

 
$
1,799,081

 
$
1,490,502

 
$
305,838

 
$
1,796,340

 
 
 
 
 
 
 
 
 
 
 
 
Increase (decrease) in goodwill related to acquisitions
8,013

 
1,215

 
9,228

 
26,809

 
(151
)
 
26,658

Reduction of goodwill related to divestitures
(5,413
)
 
(224
)
 
(5,637
)
 
(26,554
)
 
(270
)
 
(26,824
)
Held for sale
(3,082
)
 
(177
)
 
(3,259
)
 

 

 

Effect of foreign currency
6,568

 

 
6,568

 
2,898

 
9

 
2,907

Activity
6,086

 
814

 
6,900

 
3,153

 
(412
)
 
2,741

Balance as of December 31
$
1,499,741

 
$
306,240

 
$
1,805,981

 
$
1,493,655

 
$
305,426

 
$
1,799,081


The components of intangible assets at December 31 were as follows:
 
Useful Life
 
 
 
 
 
Minimum
 
Maximum
 
2017
 
2016
 
(Years)
 
(In thousands)
Amortizing intangibles:
 
 
 
 
 
 
 
Covenants-not-to-compete
2
-
20
 
$
214,628

 
$
211,549

Customer relationships
10
-
20
 
129,516

 
146,876

Tradenames
5
-
5
 
9,150

 
9,150

Other
5
-
40
 
11,927

 
11,927

 
 
 
 
 
365,221

 
379,502

Less: accumulated amortization:

 
 
 
 
 
 
 
Covenants-not-to-compete
 
 
 
 
192,296

 
186,430

Customer relationships
 
 
 
 
61,321

 
71,903

Tradenames
 
 
 
 
7,320

 
5,490

Other
 
 
 
 
4,830

 
4,238

 
 
 
 
 
265,767

 
268,061

 
 
 
 
 
 
 
 
Amortizing intangibles, net
 
 
 
 
99,454

 
111,441

 
 
 
 
 
 
 
 
Non-amortizing intangibles:
 
 
 
 
 
 
 
Tradenames
 
 
Indefinite
 
263,880

 
245,984

Other
 
 
Indefinite
 
10,765

 
10,640

Non-amortizing intangibles
 
 
 
 
274,645

 
256,624

 
 
 
 
 
 
 
 
Intangible assets, net
 
 
 
 
$
374,099

 
$
368,065


As part of our annual recoverability testing process during 2017, we recognized $0.6 million of impairment on tradenames. Amortization expense for intangible assets was $27.7 million, $31.0 million, and $31.5 million for the years ended December 31, 2017, 2016, and 2015, respectively. The following is estimated amortization expense, excluding certain intangibles for which we are unable to provide an estimate because they are amortized based on specific identification in the performance of a preneed contract, for the five years subsequent to December 31, 2017 (in thousands):
2018
$
11,718

2019
9,100

2020
7,371

2021
6,613

2022
5,554

Total estimated amortization expense
$
40,356