Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

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Goodwill and Intangible Assets
6 Months Ended
Jun. 30, 2017
Goodwill and Intangible Assets [Abstract]  
GOODWILL AND INTANGIBLE ASSETS

6. GOODWILL AND INTANGIBLE ASSETS

 

Goodwill

 

The following table summarizes the Company’s goodwill as of June 30, 2017 and December 31, 2016:

 

    Applications and Infrastructure     Professional Services     Managed Services     Total  
Balance at December 31, 2016   $ 6,906     $ 10,081     $ 6,381     $ 23,368  
                                 
Impairment charge     (621 )     (3,146 )     -       (3,767 )
                                 
Disposal     (4,979 )     (4,016 )     (421 )     (9,416 )
                                 
Balance at June 30, 2017   $ 1,306     $ 2,919     $ 5,960     $ 10,185  

 

Intangible Assets

 

The following table summarizes the Company’s intangible assets as of June 30, 2017 and December 31, 2016:

 

        June 30, 2017  
    Estimated Useful Life   Beginning Net Book Value     Additions     Amortization     Amortization Writeoff     Impairment Charge     Disposals     Ending Net Book Value     Accumulated Amortization  
                             
Customer relationship and lists   7-10 yrs   $ 8,589     $ -     $ (539 )   $ 1,579     $ (69 )   $ (3,774 )   $ 5,786     $ (5,055 )
Non-compete agreements   2-3 yrs     248       -       (27 )     624       (160 )     (685 )     -       (1,224 )
URL’s   Indefinite     8       -       -       -       (5 )     (3 )     -       -  
Trade names   1 Year     -       -       -       19       -       (19 )     -       (30 )
Trade names   Indefinite     3,178       -       -       -       (725 )     (982 )     1,471       -  
                                                                     
Total intangible assets       $ 12,023     $ -     $ (566 )   $ 2,222     $ (959 )   $ (5,463 )   $ 7,257     $ (6,309 )

    

        December 31, 2016  
    Estimated Useful Life   Beginning Net Book Value     Additions     Amortization     Amortization Writeoff     Impairment Charge     Disposals     Ending Net Book Value     Accumulated Amortization  
                                                     
                                                     
Customer relationship and lists   7-10 yrs   $ 9,744     $ 145     $ (1,308 )   $ 8     $ -     $ -     $ 8,589     $ (6,095 )
Non-compete agreements   2-3 yrs     154       498       (287 )     7       -       (124 )     248       (1,821 )
URL’s   Indefinite     8       -       -       -       -       -       8       -  
Trade names   1 Year     -       -       -       -       -       -       -       (49 )
Trade names   Indefinite     3,178       -       -       -       -       -       3,178       -  
Purchased Software   16 years     3,629       -       (170 )     -       (3,459 )     -       -       -  
                                                                     
Total intangible assets       $ 16,713     $ 643     $ (1,765 )   $ 15     $ (3,459 )   $ (124 )   $ 12,023     $ (7,965 )

 

Amortization expense related to the identifiable intangible assets was $212 and $457 for the three months ended June 30, 2017 and 2016, respectively. Amortization expense related to the identifiable intangible assets was $566 and $940 for the six months ended June 30, 2017 and 2016, respectively