XML 23 R12.htm IDEA: XBRL DOCUMENT
v3.21.1

INTANGIBLE ASSETS | 3 Months Ended
--- | ---
Mar. 31, 2021
INTANGIBLE ASSETS |
INTANGIBLE ASSETS | NOTE F — INTANGIBLE ASSETS In accordance with ASC 350, Intangibles — Goodwill and Other, goodwill and other intangible assets deemed to have indefinite lives are not amortized, but are subject to annual impairment tests. We review and evaluate our goodwill and indefinite life intangible assets for potential impairment at a minimum annually or more frequently if circumstances indicate that impairment is possible. We determined the fair value of assets acquired and liabilities assumed using a variety of methods. An income approach based on discounted cash flows was used to determine the values of our trademarks, certifications, customer relationships and FAA certificates. The assumptions we used to estimate the fair value of our reporting units are based on historical performance, as well as forecasts used in our current business plan and require considerable management judgment The Company’s goodwill and intangible assets as defined by ASC 350 is related to our subsidiaries, AerSale Component Solutions (d/b/a AerSale Landing Gear Solutions) (“ALGS”), Avborne Component Solutions (d/b/a AerSale Component Solutions) (“ACS”), and the most recently acquired Aircraft Composite Technologies (“ACT”), which are included in the TechOps segment, as well as Qwest, which is included under the Asset Management Solutions segment. Goodwill and other intangibles as of March 31, 2021 and December 31, 2020 are (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | 2021 |  | 2020
Qwest: | ​ | ​ | ​ | ​ | ​ | ​
FAA Certifications | ​ | $ | 724 | ​ | $ | 724
Goodwill | ​ |  | 13,416 | ​ |  | 13,416
ALGS: | ​ |  |  | ​ |  | ​
FAA Certifications | ​ |  | 710 | ​ |  | 710
Goodwill | ​ |  | 379 | ​ |  | 379
ACS: | ​ |  |  | ​ |  | ​
Trademarks | ​ |  | 600 | ​ |  | 600
FAA Certifications | ​ |  | 7,300 | ​ |  | 7,300
Goodwill | ​ |  | 63 | ​ |  | 63
ACT: | ​ |  |  | ​ |  | ​
Trademarks | ​ |  | 200 | ​ |  | 200
FAA Certifications | ​ |  | 796 | ​ |  | 796
Goodwill | ​ |  | 6,002 | ​ |  | 6,002
Total intangible assets with indefinite lives | ​ | $ | 30,190 | ​ | $ | 30,190
​ As a result of the COVID-19 pandemic and its impact on the aviation industry, the Company performed a qualitative impairment analysis as of March 31, 2020 on the indefinite lived intangible assets and concluded there was no impairment. Additionally, the Company performed an impairment analysis on the goodwill for both the Asset Management Solutions and TechOps segment and concluded that goodwill was not impaired as of March 31, 2020. Intangible assets with definite useful lives are amortized on a straight-line basis over their estimated useful lives. Intangible assets with definite lives as of March 31, 2021 and December 31, 2020 are as follows (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Useful Life |  | ​ | ​ |  | ​ | ​
​ | ​ | In Years | ​ | 2021 | ​ | 2020
Qwest: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Customer relationships | ​ | 10 | ​ | $ | 7,843 | ​ | $ | 8,083
ALGS: | ​ |  | ​ |  |  | ​ |  | ​
Customer relationships | ​ | 10 | ​ |  | 85 | ​ |  | 90
ACS: | ​ |  | ​ |  |  | ​ |  | ​
Customer relationships | ​ | 10 | ​ |  | 1,610 | ​ |  | 1,663
ACT: | ​ |  | ​ |  | ​ | ​ |  | ​
Customer relationships | ​ | 10 | ​ |  | 7,971 | ​ |  | 8,198
Total intangible assets with definite lives | ​ | ​ | ​ | $ | 17,509 | ​ | $ | 18,034
​ Total amortization expense amounted to $0.5 million and $0.3 million for the three months ended March 31, 2021 and 2020, respectively. Accumulated amortization amounted to $3.5 million and $3.0 million as of March 31, 2021 and December 31, 2020, respectively. Other intangible assets are reviewed at least annually or more frequently if any event or change in circumstance indicates that an impairment may have occurred. As a result of the COVID-19 pandemic and its impact on the aviation industry, the Company performed an impairment analysis as of March 31, 2020 on the definite-lived intangible assets and concluded there was no impairment. There was no goodwill activity for the three months ended March 31, 2021. For the three-month period ended March 31, 2020, goodwill increased by $6.0 million.

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