XML 156 R20.htm IDEA: XBRL DOCUMENT
v3.19.3.a.u2

Intangible Assets | 12 Months Ended
--- | ---
Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract] |
Intangible Assets | Intangible Assets The carrying values of intangible assets were as follows:
| December 31, 2019 |  | December 31, 2018
| Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount
| (In thousands) |  | (In thousands)
Goodwill | $ | 1,243,669 |  |  | $ | — |  |  | $ | 1,243,669 |  |  | $ | 1,206,877 |  |  | $ | — |  |  | $ | 1,206,877 |
Definite-lived intangible assets subject to amortization: |  |  |  |  |  |  |  |  |  |  |
Developed technology | $ | 413,310 |  |  | $ | (331,696 | ) |  | $ | 81,614 |  |  | $ | 399,095 |  |  | $ | (280,301 | ) |  | $ | 118,794 |
Customer relationships | 297,595 |  |  | (110,732 | ) |  | 186,863 |  |  | 258,798 |  |  | (94,557 | ) |  | 164,241 |
Trademarks | 56,393 |  |  | (30,213 | ) |  | 26,180 |  |  | 54,897 |  |  | (24,443 | ) |  | 30,454 |
In-service research and development | 10,702 |  |  | (7,160 | ) |  | 3,542 |  |  | 10,708 |  |  | (5,336 | ) |  | 5,372 |
Backlog | 11,335 |  |  | (10,935 | ) |  | 400 |  |  | 9,567 |  |  | (9,567 | ) |  | — |
Total intangible assets subject to amortization | 789,335 |  |  | (490,736 | ) |  | 298,599 |  |  | 733,065 |  |  | (414,204 | ) |  | 318,861 |
Indefinite-lived intangible assets not subject to amortization: |  |  |  |  |  |  |  |  |  |  |
Trademarks | 40,106 |  |  | — |  |  | 40,106 |  |  | 40,270 |  |  | — |  |  | 40,270 |
In-process research and development | 800 |  |  | — |  |  | 800 |  |  | 800 |  |  | — |  |  | 800 |
Total intangible assets not subject to amortization | 40,906 |  |  | — |  |  | 40,906 |  |  | 41,070 |  |  | — |  |  | 41,070 |
Intangible assets | $ | 830,241 |  |  | $ | (490,736 | ) |  | $ | 339,505 |  |  | $ | 774,135 |  |  | $ | (414,204 | ) |  | $ | 359,931 |
Segment Allocation of Goodwill and Trademarks The changes in the carrying amount of goodwill assigned to reporting units in our reportable segments are as follows:
| Enterprise Solutions |  | Industrial Solutions |  | Consolidated
| (In thousands)
Balance at December 31, 2017 | $ | 432,601 |  |  | $ | 775,986 |  |  | $ | 1,208,587 |
Acquisitions and purchase accounting adjustments | 2,443 |  |  | — |  |  | 2,443 |
Translation impact | (462 | ) |  | (3,691 | ) |  | (4,153 | )
Balance at December 31, 2018 | $ | 434,582 |  |  | $ | 772,295 |  |  | $ | 1,206,877 |
Acquisitions and purchase accounting adjustments | 38,209 |  |  | — |  |  | 38,209 |
Translation impact | (260 | ) |  | (1,157 | ) |  | (1,417 | )
Balance at December 31, 2019 | $ | 472,531 |  |  | $ | 771,138 |  |  | $ | 1,243,669 |
The changes in the carrying amount of indefinite-lived trademarks are as follows:
| Enterprise Solutions |  | Industrial Solutions |  | Consolidated
| (In thousands)
Balance at December 31, 2017 | $ | 31,063 |  |  | $ | 9,681 |  |  | $ | 40,744 |
Translation impact | — |  |  | (474 | ) |  | (474 | )
Balance at December 31, 2018 | $ | 31,063 |  |  | $ | 9,207 |  |  | $ | 40,270 |
Translation impact | — |  |  | (164 | ) |  | (164 | )
Balance at December 31, 2019 | $ | 31,063 |  |  | $ | 9,043 |  |  | $ | 40,106 |
Impairment The annual measurement date for our goodwill and indefinite-lived intangible assets impairment test is our fiscal November month-end. For our 2019 goodwill impairment test, we performed a quantitative assessment for all ten of our reporting units included in continuing operations and determined the estimated fair values of our reporting units by calculating the present values of their estimated future cash flows using Level 3 inputs. We did not perform a qualitative assessment over our reporting units. We determined that the fair values of the reporting units were in excess of the carrying values; therefore, we did not record any goodwill impairment for the ten reporting units. We also did not recognize any goodwill impairment in 2018 or 2017 based upon the results of our annual goodwill impairment testing. During the fourth quarter of 2019, we committed to a plan to sell Grass Valley, and at such time, met all of the criteria to classify the assets and liabilities of this business as held for sale. Furthermore, we determined a divestiture of Grass Valley represents a strategic shift that is expected to have a major impact on our operations and financial results. As a result, the Grass Valley disposal group, which was included in our Enterprise Solutions segment, is now reported within discontinued operations. We also ceased depreciating and amortizing the assets of the disposal group once they met the held for sale criteria in the fourth quarter of 2019. During 2019, we wrote down the carrying value of Grass Valley and recognized asset impairments totaling $521.4 million, which consisted of impairments to goodwill, customer relationships, and trademarks of $326.1 million, $14.4 million, and $1.6 million, respectively, as well as an impairment of the disposal group of $179.3 million ($180.4 million translated at year-end exchange rates). We determined the estimated fair values of the assets and of the reporting unit by calculating the present values of their estimated future cash flows, which was based in part on the assumed proceeds from a divestiture of Grass Valley. Similar to the quantitative goodwill impairment test, we determined the estimated fair values of our indefinite-lived trademarks by calculating the present values of the estimated cash flows (using Level 3 inputs) attributable to the respective trademarks. We did not recognize any trademark impairment charges in 2019, 2018, or 2017. Amortization Expense We recognized amortization expense in income from continuing operations of $74.6 million, $75.1 million, and $90.2 million in 2019, 2018, and 2017, respectively. We expect to recognize annual amortization expense of $65.3 million in 2020, $33.2 million in 2021, $30.3 million in 2022, $28.7 million in 2023, and $26.6 million in 2024 related to our intangible assets balance as of December 31, 2019. The weighted-average amortization period for our customer relationships, trademarks, developed technology, and in-service research and development is 18.3, 8.5, 6.8, and 5.0 years, respectively.

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