XML 28 R14.htm IDEA: XBRL DOCUMENT
v3.10.0.1

Goodwill and Intangible Assets | 12 Months Ended
--- | ---
Dec. 31, 2018
Goodwill and Intangible Assets |
Goodwill and Intangible Assets | Note 7—Goodwill and Intangible Assets The change in goodwill by segment for 2018 and 2017 was as follows (in thousands):
|  | Power |  | Pipeline |  | Utilities |  | Transmission |  | Civil |  | Total |
Balance at January 1, 2017 |  | $ | 24,512 |  | $ | 42,252 |  | $ | 20,312 |  | $ | — |  | $ | 40,150 |  | $ | 127,226 |
Goodwill acquired during the year |  |  | — |  |  | 9,269 |  |  | 17,000 |  |  | — |  |  | — |  |  | 26,269 |
Purchase price allocation adjustments |  |  | (121) |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (121) |
Balance at January 1, 2018 |  | $ | 24,391 |  | $ | 51,521 |  | $ | 37,312 |  | $ | — |  | $ | 40,150 |  | $ | 153,374 |
Goodwill acquired during the year |  |  | 1,542 |  |  | 764 |  |  | — |  |  | 50,479 |  |  | — |  |  | 52,785 |
Balance at December 31, 2018 |  | $ | 25,933 |  | $ | 52,285 |  | $ | 37,312 |  | $ | 50,479 |  | $ | 40,150 |  | $ | 206,159 |
During the third quarter of 2016, we made a decision to divest our Texas heavy civil business unit, a division of Primoris Heavy Civil within the Civil segment. We engaged a financial advisor to assist in the marketing and sale of the business unit, and planned to continue operating the business unit until completion of a sale. In April 2017, the Board of Directors determined that based on the information available, we would attain the best long-term value by withdrawing from the sales process and continuing to operate the business unit. We will aggressively pursue claims for five Texas Department of Transportation projects that resulted in significant losses recorded in 2016. However, there can be no assurance as to the final amounts collected. In accordance with ASC 350, "Intangibles—Goodwill and Other”, the planned divestiture triggered an analysis of the goodwill at Primoris Heavy Civil, resulting in a pre-tax, non-cash goodwill impairment charge of approximately $2.7 million in the third quarter of 2016. There were no impairments of goodwill for the years ended December 31, 2018 and 2017. The table below summarizes the intangible asset categories, amounts and the average amortization periods, which are generally on a straight-line basis (in thousands):
|  |  |  | December 31, 2018 |  | December 31, 2017 |
|  | Weighted Average Life |  | Gross Carrying Amount |  | Accumulated Amortization |  | Intangible assets, net |  | Gross Carrying Amount |  | Accumulated Amortization |  | Intangible assets, net |
Tradename |  | 9 years |  | $ | 31,390 |  | $ | (25,156) |  | $ | 6,234 |  | $ | 32,175 |  | $ | (22,238) |  | $ | 9,937 |
Customer relationships |  | 16 years |  |  | 97,400 |  |  | (23,079) |  |  | 74,321 |  |  | 49,900 |  |  | (16,338) |  |  | 33,562 |
Non-compete agreements |  | 5 years |  |  | 1,900 |  |  | (1,387) |  |  | 513 |  |  | 1,900 |  |  | (820) |  |  | 1,080 |
Other |  | 3 years |  |  | 275 |  |  | (145) |  |  | 130 |  |  | 275 |  |  | (54) |  |  | 221 |
Total |  | 15 years |  | $ | 130,965 |  | $ | (49,767) |  | $ | 81,198 |  | $ | 84,250 |  | $ | (39,450) |  | $ | 44,800 |
Amortization expense of intangible assets was $11.3 million, $8.7 million and $6.6 million for the years ended December 31, 2018, 2017 and 2016, respectively. In the second quarter of 2017, we recorded a $0.5 million impairment charge related to a tradename intangible asset in our Pipeline segment. The impairment charge is included in “Selling, general and administrative expenses” in the Consolidated Statements of Income. Estimated future amortization expense for intangible assets as of December 31, 2018 is as follows (in thousands):
|  | Estimated |
|  | Intangible |
|  | Amortization |
For the Years Ending December 31, |  | Expense |
2019 |  | $ | 11,559 |
2020 |  |  | 8,814 |
2021 |  |  | 7,577 |
2022 |  |  | 6,416 |
2023 |  |  | 5,394 |
Thereafter |  |  | 41,438 |
|  | $ | 81,198 |

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration