Annual report pursuant to Section 13 and 15(d)

Goodwill and Intangible Assets

v3.19.1
Goodwill and Intangible Assets
12 Months Ended
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
Goodwill and Intangible Assets
The Company had the following definite lived intangible assets recorded as of the dates presented below (in thousands):
 
 
December 31,
 
 
2018
 
2017
Customer relationships
 
$
2,255

 
$
35,795

Trade names
 
9,063

 
8,793

Less: accumulated amortization - customer relationships
 
(544
)
 
(26,172
)
Less: accumulated amortization - trade names
 
(3,018
)
 
(2,277
)
Intangible assets, net
 
$
7,756

 
$
16,139


Amortization expense for intangible assets was $8.7 million, $9.3 million and $9.1 million for the years ended December 31, 2018, 2017 and 2016, respectively. The original lives of customer relationships range from 6 to 10 years with a remaining average useful life of 6.87 years. The original lives of trade names range from 10 to 20 years useful life and as of December 31, 2018 the remaining useful life was 8.97 years.
Aggregated expected amortization expense for the future periods is expected to be as follows (in thousands):
Year ended December 31:
 
Amount
2019
 
$
1,135

2020
 
1,135

2021
 
1,129

2022
 
1,108

2023
 
991

Thereafter
 
2,258

 
 
$
7,756



Goodwill was $101.2 million and $99.8 million at December 31, 2018 and 2017, respectively. Changes in goodwill for the years ended December 31, 2018 and 2017 are set forth below (in thousands):

Balance, January 1, 2017
 
$
88,727

Additions:
 
 
2017 Stingray Acquisition
 
10,193

Higher Power Acquisition
 
643

5 Star Acquisition
 
248

Balance, December 31, 2017
 
99,811

Additions:
 
 
WTL Acquisition
 
1,567

RTS Acquisition
 
133

ARS Acquisition
 
694

Brim Equipment Assets Acquisition
 
2,243

Impairment
 
(3,203
)
Balance, December 31, 2018
 
$
101,245



During the year ended December 31, 2018, the Company moved Cementing's equipment from the Utica shale to the Permian basin. As a result, during the year ended December 31, 2018, the Company recognized impairment on Cementing's intangible assets, including goodwill, non-contractual customer relationships and trade name of $3.2 million, $1.0 million and $0.2 million, respectively. Additionally, the Company recognized impairment of trade name totaling $0.2 million related to the name change of Stingray Logistics to Silverback Energy.