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Property, Plant, and Equipment, Net
12 Months Ended
Dec. 31, 2018
Property, Plant and Equipment [Abstract]  
Property, Plant, and Equipment, Net
Property, Plant, and Equipment, Net
Property, plant, and equipment, net were as follows:  
 
December 31,
(In thousands)
2018
 
2017
Buildings
$
18,799

 
$
20,806

Machinery and equipment
87,700

 
82,188

Tooling
29,575

 
33,622

Leasehold and building improvements
34,486

 
31,158

Software
25,406

 
18,240

Furniture and fixtures
2,572

 
5,620

Computer equipment
8,551

 
7,154

 
207,089

 
198,788

Accumulated depreciation
(116,805
)
 
(102,323
)
 
90,284

 
96,465

Construction in progress
5,556

 
14,497

Total property, plant, and equipment, net
$
95,840

 
$
110,962


Depreciation expense, including tooling depreciation which is recorded in cost of goods sold, was $26.4 million, $24.4 million and $20.7 million for the years ended December 31, 2018, 2017, and 2016, respectively.
The net book value of property, plant, and equipment located within the PRC was $76.4 million and $93.6 million on December 31, 2018 and 2017, respectively.
During the year ended December 31, 2018, we incurred $2.9 million in impairment on tooling and equipment as a result of the transition of manufacturing operations between our China-based manufacturing facilities following the closure of our Guangzhou factory, which was sold in 2018. We incurred an additional $2.0 million of impairment on factory equipment during the year ended December 31, 2018 as a result of the transition of certain manufacturing operations out of China in response to tariffs enacted in the U.S. in 2018 on certain products manufactured in China and imported into the U.S. These impairment charges, aggregating to $4.9 million, are recorded within cost of goods sold for the year ended December 31, 2018. During the fourth quarter of 2017, we performed an impairment analysis over our factory assets in China, which was triggered primarily by the transition of a number of our customers to next generation products. Based on our forecasted future production, we determined that the realizable value of certain tooling and equipment was less than net book value. Accordingly, we recorded an impairment charge of $4.1 million, of which $3.8 million was recorded in cost of goods sold and the remaining $0.3 million was recorded in selling, general and administrative expenses, during the year ended December 31, 2017.
Construction in progress was as follows:
 
December 31,
(In thousands)
2018
 
2017
Buildings
$
275

 
$

Machinery and equipment
2,444

 
3,884

Tooling
1,581

 
3,697

Leasehold and building improvements
675

 
1,014

Software
352

 
5,714

Other
229

 
188

Total construction in progress
$
5,556

 
$
14,497


We expect that most of the assets under construction will be placed into service during the first six months of 2019. We will begin to depreciate the cost of these assets under construction once they are placed into service.