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Note 6 - Intangible Assets
12 Months Ended
Dec. 31, 2013
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Disclosure [Text Block]

6.       Intangible Assets


The following table summarizes information related to the net carrying value of intangible assets (in thousands):


   

Amortization

   

December 31,

 
   

Life (in years)

   

2013

   

2012

 
                         

Intangible assets:

                       

Tradenames

    n/a     $ -     $ 350  

Customer relationships

    5       55       258  

Total intangible assets, net

          $ 55     $ 608  

We evaluate goodwill for impairment using the projected present value of future cash flows of the reporting unit, taking into account historical performance. A significant amount of judgment is required in estimating fair value of the reporting unit. Based on historical losses incurred, in 2012 it was determined that goodwill was impaired, and we wrote off the remaining balance of $672 thousand as of December 31, 2012, which resulted from our 2009 acquisition of EFLS. This write-off is included in the Consolidated Statements of Operations under the caption “Loss on impairment” in 2012.


In conjunction with a settlement agreement between us and the former owners of EFLS, we agreed to discontinue the use of the name “Stones River Companies, LLC” and various derivatives including “SRC”. Therefore, at June 30, 2013, the remaining unamortized balance of Tradenames of $325 thousand was written off. This write-off is included in the Consolidated Statements of Operations under the caption “Loss on impairment” in 2013. See Note 11, Settlement of Acquisition Obligations, for further information.


Amortization expense for intangible assets subject to amortization was $228 thousand, $419 thousand and $649 thousand for the years ended December 31, 2013, 2012 and 2011, respectively. We amortized tradenames on a straight-line basis over the estimated useful lives of the intangible assets. Customer relationships are amortized over their expected useful lives on an accelerated method that approximates the cash flows associated with those relationships. The remaining $55 thousand balance will be amortized during 2014.