Quarterly report pursuant to Section 13 or 15(d)

Intangible Assets and Goodwill

v3.19.1
Intangible Assets and Goodwill
3 Months Ended
Mar. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets and Goodwill

NOTE 10 - INTANGIBLE ASSETS AND GOODWILL

 

The following table summarizes identifiable intangible assets of the Company as of December 31, 2018 and March 31, 2019:

 

March 31, 2019 (Unaudited)  

Useful

Lives

(In Years)

 

Gross

Carrying

Amount

   

Accumulated

Amortization

   

Net

Carrying

Amount

 
                       
Amortized:                            
Customer relationships   10   $ 3,923,000       (536,000 )     3.387,000  
Trademark and tradename   10 - 15     1,367,000       (209,000 )     1,158,000  
Patents   11     1,489,000       (1,252,000 )     237,000  
Favorable contract interest   5     388,000       (162,000 )     226,000  
Covenant not to compete   4     208,000       (69,000 )     139,000  
          7,375,000       (2,228,000 )     5,147,000  
                             
Unamortized:                            
Customer list         104,000       -       104,000  
Trademark and Tradename         61,000       -       61,000  
                             
          165,000       -       165,000  
                             
Total       $ 7,540,000     $ (2,228,000 )   $ 5,312,000  

 

December 31, 2018  

Useful

Lives

(In Years)

 

Gross

Carrying

Amount

   

Accumulated

Amortization

   

Net

Carrying

Amount

 
                       
Amortized:                            
Customer relationships   10   $ 3,123,000       (442,000 )     2,681,000  
Trademark and tradename   10 - 15     1,367,000       (178,000 )     1,189,000  
Patents   11     1,489,000       (1,218,000 )     271,000  
Favorable contract interest   5     388,000       (137,000 )     251,000  
Covenant not to compete   4     208,000       (60,000 )     148,000  
          6,575,000       (2,035,000 )     4,540,000  
                             
Unamortized:                            
Customer list         104,000       -       104,000  
Trademark and Tradename         61,000       -       61,000  
                             
          165,000       -       165,000  
                             
Total       $ 6,740,000     $ (2,035,000 )   $ 4,705,000  

 

Amortization expense for the three-month periods ended March 31, 2018 and 2019 was $178,000 and $193,000, respectively. Estimated future amortization expense for each of the five succeeding fiscal years for these intangible assets is as follows:

 

Year ending December 31:      
       
April - December 2019   $ 592,000  
2020     792,000  
2021     616,000  
2022     542,000  
2023     518,000  
Thereafter     2,087,000  
      5,147,000  

 

The change in goodwill from January 1, 2019 to March 31, 2019 is as follows:

 

Balance of as January 1, 2019   $ 7,318,000  
CarrierWeb acquisition     1,578,000  
Balance as of March 31, 2019   $ 8,896,000