XML 35 R17.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Goodwill and Other Intangible Assets | 12 Months Ended
--- | ---
Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets | Note 9—Goodwill and Other Intangible Assets A reconciliation of goodwill and accumulated goodwill impairment losses, by reportable segment, is as follows:
(in millions) | Northeast |  | South |  | West |  | Midwest |  | Interactive |  | Other |  | Total
Balance as of January 1, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill, gross | $ | 914.3 |  |  | $ | 236.6 |  |  | $ | 216.8 |  |  | $ | 1,116.7 |  |  | $ | 67.8 |  |  | $ | 88.3 |  |  | $ | 2,640.5 |
Accumulated goodwill impairment losses | (717.9) |  |  | (52.0) |  |  | (16.6) |  |  | (495.6) |  |  | — |  |  | (87.7) |  |  | (1,369.8) |
Goodwill, net | 196.4 |  |  | 184.6 |  |  | 200.2 |  |  | 621.1 |  |  | 67.8 |  |  | 0.6 |  |  | 1,270.7 |
Impairment losses during year | (43.5) |  |  | (9.0) |  |  | — |  |  | (60.5) |  |  | — |  |  | — |  |  | (113.0) |
Other(1) | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (0.6) |  |  | (0.6) |
Balance as of December 31, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill, gross | 914.3 |  |  | 236.6 |  |  | 216.8 |  |  | 1,116.7 |  |  | 67.8 |  |  | 87.7 |  |  | 2,639.9 |
Accumulated goodwill impairment losses | (761.4) |  |  | (61.0) |  |  | (16.6) |  |  | (556.1) |  |  | — |  |  | (87.7) |  |  | (1,482.8) |
Goodwill, net | 152.9 |  |  | 175.6 |  |  | 200.2 |  |  | 560.6 |  |  | 67.8 |  |  | — |  |  | 1,157.1 |
Goodwill acquired during year | 9.2 |  |  | — |  |  | — |  |  | — |  |  | 1,699.0 |  |  | — |  |  | 1,708.2 |
Effects of foreign currency exchange rates | — |  |  | — |  |  | — |  |  | — |  |  | (42.8) |  |  | — |  |  | (42.8) |
Balance as of December 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill, gross | 923.5 |  |  | 236.6 |  |  | 216.8 |  |  | 1,116.7 |  |  | 1,724.0 |  |  | 87.7 |  |  | 4,305.3 |
Accumulated goodwill impairment losses | (761.4) |  |  | (61.0) |  |  | (16.6) |  |  | (556.1) |  |  | — |  |  | (87.7) |  |  | (1,482.8) |
Goodwill, net | $ | 162.1 |  |  | $ | 175.6 |  |  | $ | 200.2 |  |  | $ | 560.6 |  |  | $ | 1,724.0 |  |  | $ | — |  |  | $ | 2,822.5 |
(1)Amounts relate to the write-off of goodwill related to the land sale at Sanford Orlando Kennel Club which discontinued our racing operations. The write-off of this goodwill balance is included as a component of the gain calculation recorded on the sale. 2021 Annual Assessment for Impairment The Company completed its annual assessment for impairment as of October 1, 2021, which did not result in any impairment charges to goodwill, gaming licenses and trademarks. The estimated fair values of the reporting units were determined through a combination of discounted cash flow models and market-based approaches, which utilized Level 3 inputs. The estimated fair values of the gaming licenses and trademarks were determined by using discounted cash flow models, which utilized Level 3 inputs. 2020 Annual and Interim Assessment for Impairment During the first quarter of 2020, we identified an indicator of impairment on our goodwill and other intangible assets due to the COVID-19 pandemic. As a result of the COVID-19 pandemic, we revised our cash flow projections to reflect the current economic environment, including the uncertainty surrounding the nature, timing and extent of reopening our gaming properties. As a result of the interim assessment for impairment, during the first quarter of 2020, we recognized impairments on our goodwill, gaming licenses and trademarks of $113.0 million, $437.0 million and $61.5 million, respectively. The estimated fair values of the reporting units were determined through a combination of a discounted cash flow model and a market-based approach, which utilized Level 3 inputs. The estimated fair values of the gaming licenses and trademarks were determined by using discounted cash flow models, which utilized Level 3 inputs. The goodwill impairments pertained to our Northeast, South and Midwest segments, in the amounts of $43.5 million, $9.0 million and $60.5 million, respectively. The gaming license impairments pertained to our Northeast, South and Midwest segments in the amounts of $177.0 million, $166.0 million and $94.0 million, respectively. The trademark impairments pertained to our Northeast, South, Midwest and West segments, in the amounts of $17.0 million, $17.0 million, $15.0 million and $12.5 million, respectively. Upon reopening of our gaming facilities and throughout the fourth quarter of 2020 we undertook various initiatives to mitigate the impact of regulatory restrictions imposed as a result of the COVID-19 pandemic. We completed our annual assessment for impairment as of October 1, 2020, which did not result in any impairment charges to goodwill, gaming licenses and trademarks. The estimated fair values of the reporting units were determined through a combination of discounted cash flow models and a market-based approach, which utilized Level 3 inputs. The estimated fair values of the gaming licenses and trademarks were determined by using discounted cash flow models, which utilized Level 3 inputs. 2019 Annual Assessment for Impairment As a result of our 2019 annual assessment for impairment, we recognized impairments on our goodwill, gaming licenses, and trademarks, of $88.0 million, $62.6 million, and $20.0 million, respectively. The impairments of goodwill were largely driven by increases in the carrying amount of certain of our reporting units as a result of decreases in the allocated amount of the financing obligation to such reporting units, which was driven by the adoption of ASC 842. The impairments of gaming licenses and trademarks were largely driven by reductions in the long-term projections for certain of our properties where competition has increased due to expansion of gaming legislation, primarily within the Northeast segment. The estimated fair values of the reporting units were determined through a combination of discounted cash flow models and a market-based approach, which utilized Level 3 inputs. The estimated fair values of the gaming licenses and trademarks were determined by using discounted cash flow models, which utilized Level 3 inputs. The goodwill impairments pertained to our Northeast, South and Midwest segments, in the amounts of $10.3 million, $17.4 million and $60.3 million, respectively. The gaming license impairments pertained to our Northeast and South segments in the amounts of $55.1 million and $7.5 million, respectively. The trademark impairments pertained to our Northeast, South and Midwest segments, in the amounts of $11.5 million, $6.5 million and $2.0 million, respectively. Carrying Values of Goodwill and Other Intangible Assets As of October 1, 2021, the date of the most recent annual impairment test, seven reporting units had negative carrying amounts. The amount of goodwill at these reporting units was as follows (in millions):
Northeast segment |
Hollywood Casino Toledo | $ | 5.8 |
Plainridge Park Casino | $ | 6.3 |
South segment |
Ameristar Vicksburg | $ | 19.5 |
Boomtown New Orleans | $ | 5.2 |
Hollywood Casino Gulf Coast | $ | 2.7 |
West segment |
Cactus Petes and Horseshu | $ | 10.2 |
Midwest segment |
Ameristar Council Bluffs | $ | 36.2 |
The table below presents the gross carrying amount, accumulated amortization, and net carrying amount of each major class of other intangible assets:
| December 31, 2021 |  | December 31, 2020
(in millions) | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount
Indefinite-lived intangible assets |  |  |  |  |  |  |  |  |  |  |
Gaming licenses | $ | 1,285.4 |  |  | $ | — |  |  | $ | 1,285.4 |  |  | $ | 1,246.1 |  |  | $ | — |  |  | $ | 1,246.1 |
Trademarks | 338.2 |  |  | — |  |  | 338.2 |  |  | 240.9 |  |  | — |  |  | 240.9 |
Other | 0.7 |  |  | — |  |  | 0.7 |  |  | 0.7 |  |  | — |  |  | 0.7 |
Amortizing intangible assets |  |  |  |  |  |  |  |  |  |  |
Customer relationships | 114.9 |  |  | (91.4) |  |  | 23.5 |  |  | 106.9 |  |  | (85.2) |  |  | 21.7 |
Technology | 252.7 |  |  | (40.5) |  |  | 212.2 |  |  | 32.7 |  |  | (28.6) |  |  | 4.1 |
Other | 19.4 |  |  | (6.8) |  |  | 12.6 |  |  | 6.9 |  |  | (6.9) |  |  | — |
Total other intangible assets, net | $ | 2,011.3 |  |  | $ | (138.7) |  |  | $ | 1,872.6 |  |  | $ | 1,634.2 |  |  | $ | (120.7) |  |  | $ | 1,513.5 |
There were no impairment charges recorded to other intangible assets for the year ended December 31, 2021. Amortization expense related to our amortizing intangible assets was $19.6 million, $21.7 million, and $24.7 million for the years ended December 31, 2021, 2020 and 2019, respectively. The following table presents the estimated amortization expense based on our amortizing intangible assets as of December 31, 2021 (in millions):
Years ending December 31: |
2022 | $ | 57.0 |
2023 | 48.3 |
2024 | 45.6 |
2025 | 30.9 |
2026 | 24.3 |
Thereafter | 42.2 |
Total | $ | 248.3 |

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: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration