CASH 2017 Annual Report

112 As of December 14, 2016 (Dollars in Thousands) Fair value of consideration paid Cash $ 7,548 Stock issued 10,789 Paid Consideration 18,337 Contingent consideration - cash 17,252 Contingent consideration - equity 24,142 Contingent consideration payable 41,394 Total consideration paid 59,731 Fair value of assets acquired Intangible assets 28,310 Other assets 2 Total assets 28,312 Fair value of net assets acquired 28,312 Goodwill resulting from acquisition $ 31,419 The SCS transaction has been accounted for under the acquisition method of accounting. The assets and liabilities, both tangible and intangible, were recorded at their estimated fair values as of the transaction date. The Company made significant estimates and exercised judgment in estimating fair values and accounting for such acquired assets and liabilities. Upon receipt of final fair value estimates on certain assets, liabilities, and contingent considerations, which must be within one year of the acquisition date, the Company made final adjustments to the purchase price allocation and retrospectively adjusted the recorded goodwill. The Company recognized goodwill of $31.4 million as of December 14, 2016, which was calculated as the excess of both the adjusted consideration exchanged and the liabilities recorded as compared to the fair value of identifiable assets acquired. Goodwill resulted fromexpected operational synergies and expanded product lines and is expected to be deductible for tax purposes. See Note 20 to the Consolidated Financial Statements for further information on goodwill. The Company recognized $0.8 million of pre-tax transaction related expenses during the fiscal year ended 2017. The transaction expenses are reflected on the consolidated statement of operations primarily under legal and consulting.