Notes to Consolidated Financial Statements – (continued)
(Amounts in Millions, Except Per Share Amounts)
For all acquisitions, if a portion of the deferred payments and purchases of additional interests after the effective date of purchase are contingent upon employment terms, then that amount is accounted for separately from the business combination and recognized as compensation expense over the required earn-out period. Payments deemed as compensation are excluded from the fair value purchase price allocation to tangible net assets and intangible assets acquired.
During 2016, we completed ten acquisitions, three of which were included in the Integrated Agency Networks ("IAN") operating segment, and seven of which were included in the Constituency Management Group ("CMG") operating segment. The most significant acquisitions include a product and service design consultancy based in the U.S., an integrated healthcare marketing communications agency based in the U.S., a content creation and digital agency with offices in the U.S. and the U.K., a mobile consultancy and application development agency based in the U.K., a full-service public relations and digital agency based in China, a search engine optimization and digital content marketing agency based in the U.K., and a mobile focused digital agency based in the U.K. During 2016, we recorded approximately $149.0 of goodwill and intangible assets related to our acquisitions.
During 2015, we completed five acquisitions, four of which were included in the IAN operating segment, and one of which was included in the CMG operating segment. The most significant acquisitions include a full-service digital agency in the U.K., a group of creative marketing agencies based in Russia, and a media planning and buying agency with significant digital capabilities in Canada. During 2015, we recorded approximately $61.0 of goodwill and intangible assets related to these acquisitions.
During 2014, we completed eight acquisitions, six of which were included in the IAN operating segment, and two of which were included in the CMG operating segment. The most significant acquisitions included a global full-service digital agency, a digital agency in the United States and a search marketing agency in the Netherlands. During 2014, we recorded approximately $185.0 of goodwill and intangible assets related to these acquisitions.
The results of operations of our acquired companies were included in our consolidated results from the closing date of each acquisition. We did not make any payments in stock related to our acquisitions in 2016, 2015 or 2014.
Details of cash paid for current and prior years' acquisitions are listed below.
Years ended December 31,
Cost of investment: current-year acquisitions
Cost of investment: prior-year acquisitions
Less: net cash acquired
Total cost of investment
Operating expense 1
Total cash paid for acquisitions 2
Represents cash payments made that were either in excess of the initial value of contingent payments or contingent upon the future employment of the former owners of the acquired companies and are recorded in the operating section of the Consolidated Statements of Cash Flows.
Of the total cash paid for acquisitions, $52.0, $28.6 and $67.8 for the years ended December 31, 2016, 2015 and 2014, respectively, are classified under the investing section of the Consolidated Statements of Cash Flows as acquisitions, net of cash acquired. These amounts relate to initial payments for new transactions. Of the total cash paid for acquisitions, $40.8, $53.1 and $13.6 for the years ended December 31, 2016, 2015 and 2014, respectively, are classified under the financing section of the Consolidated Statements of Cash Flows as acquisition-related payments. These amounts relate to deferred payments and increases in our ownership interest for prior acquisitions.
Note 5: Supplementary Data
Valuation and Qualifying Accounts – Allowance for Uncollectible Accounts Receivable
Years ended December 31,
Balance at beginning of period
Charges to costs and expenses
Uncollectible accounts written off
Foreign currency translation adjustment
Balance at end of period