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Goodwill and Other Intangible Assets
6 Months Ended
Jun. 30, 2019
Goodwill And Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangible Assets

 


6.  Goodwill and Other Intangible Assets

The Company performs an annual impairment review during the fourth quarter of every year, or more frequently if events or changes in circumstances indicate that the asset might be impaired. There have been no impairment indicators since the fourth quarter of 2018; therefore, no impairment review has occurred during the six months ended June 30, 2019.

The changes in the carrying amount of goodwill for the year ended December 31, 2018 and the six months ended June 30, 2019 are summarized as follows:

 

 

 

Americas

 

 

EURAF

 

 

MEAP

 

 

Consolidated

 

Balance as of January 1, 2018

 

$

166.5

 

 

$

85.9

 

 

$

68.9

 

 

$

321.3

 

Foreign currency impact

 

 

 

 

 

(3.7

)

 

 

(2.6

)

 

 

(6.3

)

Goodwill impairment - October 31, 2018

 

 

 

 

 

(82.2

)

 

 

 

 

 

(82.2

)

Balance as of December 31, 2018

 

 

166.5

 

 

 

 

 

 

66.3

 

 

 

232.8

 

Foreign currency impact

 

 

 

 

 

 

 

 

(0.1

)

 

 

(0.1

)

Balance as of June 30, 2019

 

$

166.5

 

 

$

 

 

$

66.2

 

 

$

232.7

 

Other intangible assets with definite lives are amortized over their estimated useful lives. Definite lived intangible assets are also subject to impairment testing whenever events or circumstances indicate that the carrying value of the assets may not be recoverable.

The gross carrying amount, accumulated amortization and net book value of the Company’s intangible assets other than goodwill at June 30, 2019 and December 31, 2018 are summarized as follows:

 

 

 

June 30, 2019

 

 

December 31, 2018

 

 

 

Gross

Carrying

Amount

 

 

Accumulated

Amortization

 

 

Net

Book

Value

 

 

Gross

Carrying

Amount

 

 

Accumulated

Amortization

 

 

Net

Book

Value

 

Trademarks and tradenames

 

$

96.2

 

 

$

 

 

$

96.2

 

 

$

96.7

 

 

$

 

 

$

96.7

 

Customer relationships

 

 

10.2

 

 

 

(8.5

)

 

 

1.7

 

 

 

10.1

 

 

 

(8.4

)

 

 

1.7

 

Patents

 

 

29.7

 

 

 

(28.8

)

 

 

0.9

 

 

 

29.8

 

 

 

(29.0

)

 

 

0.8

 

Engineering drawings

 

 

10.5

 

 

 

(10.5

)

 

 

 

 

 

10.5

 

 

 

(10.5

)

 

 

 

Distribution network

 

 

18.9

 

 

 

(0.1

)

 

 

18.8

 

 

 

19.0

 

 

 

(0.1

)

 

 

18.9

 

Total

 

$

165.5

 

 

$

(48.0

)

 

$

117.5

 

 

$

166.1

 

 

$

(48.0

)

 

$

118.1

 

 

Amortization expense for the three months ended June 30, 2019 and 2018 was $0.1 million and $0.1 million, respectively. Amortization expense for the six months ended June 30, 2019 and 2018 was $0.2 million and $0.2 million, respectively.

 

The Company also reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the asset's carrying amount may not be recoverable.  The Company conducts its long-lived asset impairment analyses in accordance with ASC Topic 360-10-5, “Property, Plant and Equipment.”  ASC Topic 360-10-5 requires the Company to group assets and liabilities at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities and to evaluate the asset group against the sum of the undiscounted future cash flows. Property, plant and equipment are depreciated over the estimated useful lives of the assets using the straight-line depreciation method for financial reporting and on accelerated methods for income tax purposes.