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Acquisitions and Dispositions
12 Months Ended
Dec. 31, 2021
Mergers, Acquisitions and Dispositions [Abstract]  
Mergers, Acquisitions and Dispositions Disclosures
16. ACQUISITIONS AND DISPOSITIONS

Acquisition of Manufacturing Facility in Emporium, Pennsylvania

In May 2021, AAM completed our acquisition of Emporium, under which we acquired $14.9 million of net assets that consisted of $5.9 million of inventory and $9.0 million of property, plant and equipment. The purchase price was $14.9 million, which consisted of $4.9 million of cash and $10.0 million of a deferred consideration liability that will be paid to seller at $2.5 million annually over the period 2022 through 2025. As the value of the net assets acquired was equal to the purchase price, no goodwill or gain on bargain purchase was recognized for this acquisition for the year ended December 31, 2021.

The operating results of this manufacturing facility for the period from our acquisition date through December 31, 2021 were insignificant to AAM's Consolidated Statement of Operations for this period. Further we have not disclosed pro forma revenue and earnings for the years ended December 31, 2021 and December 2020 as the operating results of this manufacturing facility would be insignificant to AAM's consolidated results for these periods.

Subsequent to the acquisition of Emporium, we determined that we will cease production at the facility and relocate the production capacity to other AAM manufacturing facilities. As a result, during 2021 we incurred restructuring charges related to the anticipated closure of the facility. See Note 2 - Restructuring and Acquisition-Related Costs for further detail.

Acquisition of Mitec

In December 2019, AAM completed our acquisition of certain operations of Mitec Automotive AG (Mitec), under which we acquired $20.2 million of net assets for a purchase price of $9.4 million, which was funded entirely with available cash. We recognized a gain on bargain purchase of $10.8 million, which was primarily the result of Mitec's insolvency prior to the acquisition. This gain is presented in the Gain on bargain purchase of business line item in our Consolidated Statement of Operations for the year ended December 31, 2019.

The operating results of Mitec for the period from our acquisition date through December 31, 2019, were insignificant to AAM's Consolidated Statement of Operations for this period. Further we have not disclosed pro forma revenue and earnings for the years ended December 31, 2019 and December 31, 2018, as the operating results of Mitec would be insignificant to AAM's consolidated results for these periods.

Sale of Interest in Consolidated Joint Venture

In the year ended December 31, 2021, we completed the sale of our ownership interest in a consolidated joint venture and received cash proceeds of approximately $2.6 million. As a result of the sale and deconsolidation of this joint venture, we recognized a loss of $2.7 million. Subsequent to the sale of this joint venture, we no longer present noncontrolling interest in our consolidated financial statements as all consolidated entities are wholly-owned.

Sale of U.S. Casting Operations
In December 2019, we completed the Casting Sale. Upon closing the sale, we received net cash proceeds of $141.2 million subsequent to customary closing adjustments. Upon reclassification of the U.S. casting operations to held-for-sale in 2019, we recorded a pre-tax impairment charge of $225.0 million to reduce the carrying value of this business to fair value less cost to sell. The sale of the U.S. operations of our Casting segment did not qualify for classification as discontinued operations, as the sale did not represent a strategic shift in our business that had a major effect on our operations and financial results. Upon finalizing the sale, we recorded a loss on deconsolidation of the U.S. Casting entities of $21.3 million. During 2020, we finalized certain customary post-closing calculations associated with the Casting Sale, resulting in an additional loss on sale of $1.0 million. These losses are presented in Loss on sale of business in our Consolidated Statements of Operations for the years ended December 31, 2020 and 2019.