Property and Equipment, Net

9 Months Ended

Sep. 30, 2020

Property Plant And Equipment [Abstract]

Note 10. Property and Equipment, Net

The components of property and equipment at September 30, 2020 and December 31, 2019 are as follows:

	Estimated Useful Lives (In Years)	September 30, 2020			December 31, 2019
Land	N/A	$	26		$	19
Building	40		74			66
Machinery and equipment	3–15		208			174
Autos and trucks	5		88			67
Office equipment	3–7		21			66
Leasehold improvements	2–10		14			28
Total cost			431			420
Accumulated depreciation			(77	)		(18	)
Property and equipment, net		$	354		$	402

Depreciation expense related to property and equipment, including capital leases, was $21 and $19 during the three months ended September 30, 2020 and 2019, respectively, and $62 and $52 during the nine months ended September 30, 2020 and 2019. Depreciation expense is included within “cost of revenues” and “selling, general and administrative expenses” in the condensed consolidated statements of operations.

During the second quarter of 2020, the Company recorded a measurement period adjustment to property and equipment related to finalization of the fair values acquired in the APi Acquisition. This resulted in a cumulative adjustment to recognize an additional $4 of depreciation expense. If the property and equipment fair values had been known at the date of the APi Acquisition, depreciation expense would have been higher by $2 and $2 for the year ended December 31, 2019 (Successor) and the three months ended March 31, 2020, respectively.