Annual report pursuant to Section 13 and 15(d)

Other Intangible Assets

v3.8.0.1
Other Intangible Assets
12 Months Ended
Dec. 31, 2017
Other Intangible Assets  
Other Intangible Assets

6. Other Intangible Assets

The following is a summary of the Company’s other intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross

 

Less

 

Net

 

 

 

Carrying

 

Accumulated

 

Carrying

 

 

 

Amount

 

Amortization

 

Amount

December 31, 2017

 

 

 

 

 

 

 

 

 

Indefinite-lived intangibles:

 

 

 

 

 

 

 

 

 

Trademark and tradenames

 

$

77,600

 

$

 -

 

$

77,600

Amortizable intangibles:

 

 

 

 

 

 

 

 

 

Dealer network

 

 

80,000

 

 

55,000

 

 

25,000

Customer relationships

 

 

80,920

 

 

11,304

 

 

69,616

Patents

 

 

21,136

 

 

10,721

 

 

10,415

Noncompete agreements

 

 

8,640

 

 

7,055

 

 

1,585

Trademarks

 

 

5,459

 

 

3,525

 

 

1,934

Backlog

 

 

1,900

 

 

1,900

 

 

 -

License

 

 

20

 

 

20

 

 

 -

Amortizable intangibles, net

 

 

198,075

 

 

89,525

 

 

108,550

Total

 

$

275,675

 

$

89,525

 

$

186,150

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross

 

Less

 

Net

 

 

 

Carrying

 

Accumulated

 

Carrying

 

 

 

Amount

 

Amortization

 

Amount

December 31, 2016

 

 

 

 

 

 

 

 

 

Indefinite-lived intangibles:

 

 

 

 

 

 

 

 

 

Trademark and tradenames

 

$

77,600

 

$

 -

 

$

77,600

Amortizable intangibles:

 

 

 

 

 

 

 

 

 

Dealer network

 

 

80,000

 

 

51,000

 

 

29,000

Customer relationships

 

 

78,220

 

 

6,075

 

 

72,145

Patents

 

 

21,136

 

 

9,466

 

 

11,670

Noncompete agreements

 

 

8,640

 

 

6,232

 

 

2,408

Trademarks

 

 

5,459

 

 

3,431

 

 

2,028

Backlog

 

 

1,900

 

 

1,900

 

 

 -

License

 

 

20

 

 

20

 

 

 -

Amortizable intangibles, net

 

 

195,375

 

 

78,124

 

 

117,251

Total

 

$

272,975

 

$

78,124

 

$

194,851

Amortization expense for intangible assets was $11,401,  $10,596 and $7,362 for the years ended December 31, 2017, 2016 and 2015, respectively. Estimated amortization expense for the next five years is as follows:

 

 

 

 

 

 

 

 

 

 

 

2018

       

$

11,476

2019

 

 

10,954

2020

 

 

10,932

2021

 

 

10,670

2022

 

 

10,520

The weighted average remaining life for intangible assets is 11.3 years at December 31, 2017.

The Company relies on a combination of patents, trade secrets and trademarks to protect certain of the proprietary aspects of its business and technology. In the year ended December 31, 2017, the Company received a settlement resulting from an ongoing lawsuit with one of its competitors that had been ordered to stop using the Company’s intellectual property.  Under the settlement agreement the Company received $1,275 as part of defending its intellectual property. In the year ended December 31, 2016, the Company received a settlement resulting from an ongoing lawsuit with another of its competitors. Previously under the same lawsuit the competitor was required to stop using the Company’s intellectual property.  Under the settlement agreement the Company received $10,050 as part of defending its intellectual property.   The proceeds of the lawsuits are included on the Consolidated Statements of Operations and Comprehensive Income as Litigation proceeds.