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Note 5 - Property, Plant and Equipment

6 Months Ended

Jun. 30, 2021

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

Note 5—Property, Plant and Equipment

The following is a summary of property, plant and equipment at June 30, 2021, and December 31, 2020, (in thousands):

		*Estimated*
		*Useful Lives*			*June 30,*				*December 31,*
		*in Years*			*2021*				*2020*
Land		—			$	31,148			$	30,869
Land improvements		8 - 15				7,624				7,620
Buildings and improvements		13 - 39				118,864				121,105
Rental machinery and equipment		2 - 7				906,067				897,398
Machinery and equipment - other		7				55,282				54,842
Furniture, fixtures and computers		3 - 5				19,809				16,928
Automobiles and other vehicles		5				25,861				25,948
Leasehold improvements		7 - 15, or lease term if shorter				12,652				12,773
Construction in progress - machinery and equipment		—				11,866				24,381
						1,189,173				1,191,864
Less: Accumulated depreciation						(944,716	)			(919,157	)
Total property, plant and equipment, net					$	244,457			$	272,707

During the six months ended June 30, 2020, we recorded fixed asset impairment charges of $15.5 million primarily associated with construction in progress in our Cementing Equipment segment, which is included in severance and other charges, net on our condensed consolidated statements of operations. During the first quarter of 2020, the results of the Company's test for impairment of goodwill in the Cementing Equipment segment as a result of negative market indicators was a triggering event that indicated that our long-lived tangible assets in this segment were impaired. Impairment testing performed in the first quarter of 2020 resulted in the determination that certain long-lived assets were not recoverable and that the estimated fair value was below the carrying value. Please see Note 15—Severance and Other Charges, net for additional details. No impairments associated with held for use assets were recognized during the three and six months ended June 30, 2021.

During the first quarter of 2021, a building with a net book value of $1.9 million was sold, resulting in a gain of $0.2 million. In addition, a building with a net book value of $2.6 million met the criteria to be classified as held for sale and was reclassified from property, plant and equipment to assets held for sale on our condensed consolidated balance sheet. During the second quarter of 2021, we sold a building classified as held for sale for $1.8 million and recorded a gain of $1.3 million.

During the second quarter of 2020, we sold a building classified as held for sale for $5.4 million and recorded a gain of $0.6 million.

The following table presents the depreciation and amortization expense associated with each line item for the three and six months ended June 30, 2021 and 2020 (in thousands):

		*Three Months Ended*								*Six Months Ended*
		*June 30,*								*June 30,*
		*2021*				*2020*				*2021*				*2020*
Services		$	13,683			$	15,771			$	28,154			$	33,034
Products			126				184				265				423
General and administrative expenses			1,523				1,297				3,020				3,513
Total		$	15,332			$	17,252			$	31,439			$	36,970