GOODWILL AND OTHER ASSET IMPAIRMENT

9 Months Ended

Sep. 30, 2023

No impairment charges were recognized during the first nine months of 2023.

During the third quarter of 2022, we recognized a non-cash goodwill impairment charge for our Spunlace segment

of $42.5 million stemming from inflationary challenges at the time and our selling price increases having been insufficient to offset the impact of inflation. Furthermore, the Spunlace segment had been impacted by unexpected supply chain and other operational issues which, in combination with commercial issues, resulted in an unexpected increase in operating losses.

During the first quarter of 2022, in connection with an assessment of potential impairment of long-lived and indefinite lived intangible assets stemming from the compounding impacts resulting from the Russia/Ukraine military conflict and related sanctions, we recorded a $117.3 million non-cash asset impairment charge related to Composite Fibers' Dresden facility and an impairment of Composite Fibers' goodwill.

The following table summarizes the impairment charges recorded during the nine months ended September 30, 2023 and 2022, respectively, in the accompanying condensed consolidated statements of income under the caption “Goodwill and other asset impairment charges:”


In thousands	2023		2022
Plant, property and equipment	$	—	$	27,619
Technological know-how	—		18,443
Customer relationships	—		11,695
Tradename	—		3,530
Goodwill	—		98,603
Total	$	—	$	159,890

The fair value of the underlying assets was estimated using discounted cash flow models, independent appraisals and similar methods, all of which are Level 3 fair value classification.