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Goodwill and Intangible Assets | 9 Months Ended
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Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Note 9. Goodwill and Intangible Assets Changes in the carrying amount of goodwill by operating and reportable segment are as follows (in thousands):
|  | Topgolf |  | Golf Equipment |  | Apparel, Gear and Other |  |  |  | Total
Balance at December 31, 2020 |  | $ | — |  |  | $ | 27,025 |  |  | $ | 29,633 |  |  |  |  |  | $ | 56,658 |
Acquisitions |  | 1,405,556 |  |  | 504,690 |  |  | 58,665 |  |  |  |  |  | $ | 1,968,911 |
Impairments |  | — |  |  | — |  |  | — |  |  |  |  |  | $ | — |
Foreign currency translation |  | — |  |  | (394) |  |  | — |  |  |  |  |  | $ | (394) |
Balance at September 30, 2021 |  | $ | 1,405,556 |  |  | $ | 531,321 |  |  | $ | 88,298 |  |  |  |  |  | $ | 2,025,175 |
Goodwill at September 30, 2021 increased to $2,025,175,000 from $56,658,000 at December 31, 2020. This $1,968,517,000 increase was primarily due to the addition of $1,968,911,000 in goodwill in connection with the Topgolf merger in March 2021, of which the Company attributed $1,405,556,000 to the Topgolf business, and $504,690,000 and $58,665,000 to the golf equipment and apparel businesses, respectively (see Note 6). This increase was partially offset by changes in foreign currency rates period over period. In accordance with ASC Topic 350, “Intangibles—Goodwill and Other,” the Company’s goodwill and non-amortizing intangible assets are subject to an annual impairment test or more frequently when impairment indicators are present. As of September 30, 2021 and December 31, 2020, the Company recognized accumulated impairment losses on goodwill of $148,375,000. There were no impairment losses recognized during the three or nine months ended September 30, 2021. The following sets forth the intangible assets by major asset class (dollars in thousands):
| Useful Life (Years) |  | September 30, 2021 |  |
| Gross(1) |  | Accumulated Amortization |  | Translation Adjustment |  | Net Book Value |  |  |  |  |  |  |  |
Indefinite-lived: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Trade name, trademark, trade dress and other | NA |  | $ | 1,441,003 |  |  |  | $ | — |  |  |  |  | $ | 11,893 |  |  |  | $ | 1,429,110 |  |  |  |  |  |  |  |  |  |  |  |  |
Liquor licenses | NA |  | 7,756 |  |  |  | — |  |  |  |  | — |  |  |  | 7,756 |  |  |  |  |  |  |  |  |  |  |  |  |
Amortizing: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Patents | 2-16 |  | 32,041 |  |  |  | 31,645 |  |  |  |  | — |  |  |  | 396 |  |  |  |  |  |  |  |  |  |  |  |  |
Customer and distributor relationships and other | 1-10 |  | 61,378 |  |  |  | 25,195 |  |  |  |  | 1,757 |  |  |  | 34,426 |  |  |  |  |  |  |  |  |  |  |  |  |
Developed technology | 10 |  | 69,821 |  |  |  | 3,909 |  |  |  |  | 553 |  |  |  | 65,359 |  |  |  |  |  |  |  |  |  |  |  |  |
Total intangible assets |  |  | $ | 1,611,999 |  |  |  | $ | 60,749 |  |  |  |  | $ | 14,203 |  |  |  | $ | 1,537,047 |  |  |  |  |  |  |  |  |  |  |  |  |
| Useful Life (Years) |  | December 31, 2020
| Gross |  | Accumulated Amortization |  |  |  | Net Book Value
Indefinite-lived: |  |  |  |  |  |  |  |  |  |  |  |  |
Trade name, trademark, trade dress and other | NA |  | $ | 446,803 |  |  |  | $ | — |  |  |  |  |  |  |  | $ | 446,803 |
Amortizing: |  |  |  |  |  |  |  |  |  |  |  |  |
Patents | 2-16 |  | 31,581 |  |  |  | 31,581 |  |  |  |  |  |  |  | — |
Customer and distributor relationships and other | 1-10 |  | 57,309 |  |  |  | 19,773 |  |  |  |  |  |  |  | 37,536 |
Total intangible assets |  |  | $ | 535,693 |  |  |  | $ | 51,354 |  |  |  |  |  |  |  | $ | 484,339 |
(1) The gross balance of intangible assets as of September 30, 2021 includes additions of $1,001,600,000 and $74,529,000 in indefinite-lived and amortizing intangible assets, respectively, related to the Topgolf merger that was completed on March 8, 2021. The Company recognized amortization expense related to intangible assets of $3,358,000 and $1,321,000 for the three months ended September 30, 2021 and 2020, respectively, and $9,395,000 and $3,714,000 for the nine months ended September 30, 2021 and 2020, respectively, in selling, general and administrative expenses in the accompanying consolidated condensed statements of operations. Amortization expense related to intangible assets at September 30, 2021 in each of the next five fiscal years and beyond is expected to be incurred as follows (in thousands):
Remainder of 2021 | $ | 7,233 |
2022 | 13,177 |
2023 | 11,616 |
2024 | 11,471 |
2025 | 11,395 |
Thereafter | 45,289 |
| $ | 100,181 |

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- 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
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