XML 22 R12.htm IDEA: XBRL DOCUMENT
v3.8.0.1

GOODWILL AND INTANGIBLE ASSETS | 9 Months Ended
--- | ---
Sep. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract] |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS Amortized Intangible Assets The components of amortized intangible assets at September 30, 2017 and December 31, 2016 were as follows:
| September 30, 2017
| Gross Carrying Amount |  | Accumulated Amortization |  | Weighted Average Life
Customer Relationships | $ | 200,269 |  |  | $ | 126,845 |  |  | 13 years
Proprietary Software & Database | 3,687 |  |  | 3,111 |  |  | 8 years
Patents & Proprietary Technology | 6,633 |  |  | 3,859 |  |  | 11 years
Other | 4,807 |  |  | 4,032 |  |  | 3 years
| $ | 215,396 |  |  | $ | 137,847 |  |  |
| December 31, 2016
| Gross Carrying Amount |  | Accumulated Amortization |  | Weighted Average Life
Customer Relationships | $ | 191,316 |  |  | $ | 111,342 |  |  | 13 years
Proprietary Software & Database | 3,616 |  |  | 3,056 |  |  | 8 years
Patents & Proprietary Technology | 6,434 |  |  | 3,420 |  |  | 11 years
Other | 3,713 |  |  | 3,668 |  |  | 3 years
| $ | 205,079 |  |  | $ | 121,486 |  |  |
Amortization expense for intangible assets for the thirteen and thirty-nine weeks ended September 30, 2017 and September 24, 2016, respectively was as follows:
Thirteen Weeks Ended |  | Thirty-nine Weeks Ended
2017 |  | 2016 |  | 2017 |  | 2016
4,025 |  |  | 3,964 |  |  | 11,792 |  |  | 12,037 |
Estimated annual amortization expense related to finite‑lived intangible assets is as follows:
| Estimated Amortization Expense
2017 | $ | 15,823 |
2018 | 14,492 |
2019 | 13,718 |
2020 | 12,608 |
2021 | 10,474 |
The useful lives assigned to finite‑lived intangible assets included consideration of factors such as the Company’s past and expected experience related to customer retention rates, the remaining legal or contractual life of the underlying arrangement that resulted in the recognition of the intangible asset and the Company’s expected use of the intangible asset. (4) GOODWILL AND INTANGIBLE ASSETS (Continued) Non-amortized intangible assets Intangible assets with indefinite lives are not amortized. The carrying values of trade names at September 30, 2017 and December 31, 2016 were as follows:
| September 30, 2017 |  | December 31, 2016 |  | Year Acquired
Webforge | $ | 9,362 |  |  | $ | 8,624 |  |  | 2010
Valmont SM | 9,839 |  |  | 8,765 |  |  | 2014
Newmark | 11,111 |  |  | 11,111 |  |  | 2004
Ingal EPS/Ingal Civil Products | 7,633 |  |  | 7,032 |  |  | 2010
Donhad | 5,758 |  |  | 5,305 |  |  | 2010
Shakespeare | 4,000 |  |  | 4,000 |  |  | 2014
Industrial Galvanizers | 2,390 |  |  | 2,201 |  |  | 2010
Other | 14,448 |  |  | 13,747 |  |  |
| $ | 64,541 |  |  | $ | 60,785 |  |  |
In its determination of these intangible assets as indefinite‑lived, the Company considered such factors as its expected future use of the intangible asset, legal, regulatory, technological and competitive factors that may impact the useful life or value of the intangible asset and the expected costs to maintain the value of the intangible asset. The Company expects that these intangible assets will maintain their value indefinitely. Accordingly, these assets are not amortized. The Company’s trade names were tested for impairment in the third quarter of 2017. The values of each trade name was determined using the relief-from-royalty method. Based on this evaluation, no trade names were determined to be impaired. Goodwill The carrying amount of goodwill by segment as of September 30, 2017 and December 31, 2016 was as follows:
| Engineered Support Structures Segment |  | Energy & Mining Segment |  | Utility Support Structures Segment |  | Coatings Segment |  | Irrigation Segment |  |  | Total
Balance at December 31, 2016 | $ | 94,314 |  |  | $ | 72,212 |  |  | $ | 75,404 |  |  | $ | 59,569 |  |  | $ | 19,611 |  |  |  | $ | 321,110 |
Foreign currency translation | 4,568 |  |  | 6,704 |  |  | — |  |  | 951 |  |  | 94 |  |  |  | 12,317 |
Acquisitions | 3,327 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  | 3,327 |
Balance at September 30, 2017 | $ | 102,209 |  |  | $ | 78,916 |  |  | $ | 75,404 |  |  | $ | 60,520 |  |  | $ | 19,705 |  |  |  | $ | 336,754 |
(4) GOODWILL AND INTANGIBLE ASSETS (Continued) The Company’s annual impairment test of goodwill was performed during the third quarter of 2017, using the discounted cash flow method. As a result of that testing, the Company determined that its goodwill was not impaired, as the valuation of the reporting units exceeded their respective carrying values. The Company's offshore and other complex steel structures reporting unit with $14,645 of goodwill, is the reporting unit with the smallest cushion between its estimated fair value and its carrying value. Sales and profitability amounts for the first nine months of 2017 approximated the amounts in the 2016 annual impairment model. The 2017 model assumes continued expansion into other highly engineered steel product offerings, such as utility support structures, where the reporting unit completed profitable projects in the past. The Company will continue to monitor the outlook for wind energy in Europe and oil and natural gas prices, which will affect the sales demand assumptions in the five year model for this reporting unit. If demand for off and onshore structures for wind energy changes significantly, the Company will perform an interim impairment test for goodwill. The Company also tracks changes in the global economy that could impact future operating results of any of its reporting units.

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 the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=66006027&loc=d3e16373-109275 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=66006027&loc=d3e16265-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=66006027&loc=d3e16323-109275 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13816-109267 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13854-109267 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration