Annual report pursuant to Section 13 and 15(d)

Intangible Assets

v2.4.0.8
Intangible Assets
12 Months Ended
Mar. 31, 2014
Intangible Assets  
Intangible Assets

5. Intangible Assets

        Intangible assets consisted of the following (in thousands):

 
  March 31, 2014  
 
  Weighted
Average
Amortization
Period
  Intangible
Assets,
Gross
  Accumulated
Amortization
  Intangible
Assets, Net
 

Manufacturing license

  17 years   $ 3,700   $ 3,536   $ 164  

Technology

  10 years     2,240     933     1,307  

Parts and service customer relationships

  5 years     1,080     900     180  

TA100 customer relationships

  2 years     617     617      

Backlog

  Various     490     351     139  

Trade name

  1.2 years     69     69      
                   

Total

      $ 8,196   $ 6,406   $ 1,790  
                   
                   

 
  March 31, 2013  
 
  Weighted
Average
Amortization
Period
  Intangible
Assets,
Gross
  Accumulated
Amortization
  Intangible
Assets, Net
 

Manufacturing license

  17 years   $ 3,700   $ 3,487   $ 213  

Technology

  10 years     2,240     709     1,531  

Parts and service customer relationships

  5 years     1,080     684     396  

TA100 customer relationships

  2 years     617     617      

Backlog

  Various     490     317     173  

Trade name

  1.2 years     69     69      
                   

Total

      $ 8,196   $ 5,883   $ 2,313  
                   
                   

        Amortization expense for the intangible assets was $0.5 million, $0.5 million, and $0.8 million for the years ended March 31, 2014, 2013 and 2012.

        Expected future amortization expense of intangible assets as of March 31, 2014 is as follows (in thousands):

Year Ending March 31,
  Amortization
Expense
 

2015

  $ 512  

2016

    352  

2017

    273  

2018

    242  

2019

    224  

Thereafter

    187  
       

Total expected future amortization

  $ 1,790  
       
       

        The manufacturing license provides the Company with the ability to manufacture recuperator cores previously purchased from Solar Turbines Incorporated ("Solar"). The Company is required to pay a per-unit royalty fee over a seventeen-year period for cores manufactured and sold by the Company using the technology. Royalties of approximately $83,000, $76,700, and $72,800 were earned by Solar for the years ended March 31, 2014, 2013 and 2012, respectively. Earned royalties of approximately $20,700 and $24,600 were unpaid as of March 31, 2014 and 2013, respectively, and are included in accrued expenses in the accompanying balance sheets.