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GOODWILL AND INTANGIBLE ASSETS

3 Months Ended

Apr. 01, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

(4) GOODWILL AND INTANGIBLE ASSETS

Amortized Intangible Assets

The components of amortized intangible assets at April 1, 2023 and December 31, 2022 were as follows:


	April 1, 2023
	Gross				Weighted
	Carrying		Accumulated		Average
	Amount		Amortization		Life
Customer Relationships	$	223,388	$	149,136	13 years
Patents & Proprietary Technology		58,687		23,350	9 years
Trade Name		2,850		746	7 years
Other		2,647		2,289	5 years
	$	287,572	$	175,521


	December 31, 2022
	Gross				Weighted
	Carrying		Accumulated		Average
	Amount		Amortization		Life
Customer Relationships	$	222,716	$	145,502	13 years
Patents & Proprietary Technology		58,404		21,291	9 years
Trade Name		2,850		645	7 years
Other		2,462		2,164	5 years
	$	286,432	$	169,602

Amortization expense for intangible assets for the thirteen weeks ended April 1, 2023 and March 26, 2022, respectively, was as follows:

(4) GOODWILL AND INTANGIBLE ASSETS – CONTINUED

Estimated annual amortization expense related to finite-lived intangible assets is as follows:


	Estimated
	Amortization
	Expense
Remainder of 2023	$	15,804
2024		19,028
2025		17,348
2026		12,834
2027		9,653
2028		8,837

The useful lives assigned to finite-lived intangible assets included consideration of factors such as the Company’s past and expected experience related to customer retention rates, the remaining legal or contractual life of the underlying arrangement that resulted in the recognition of the intangible asset, and the Company’s expected use of the intangible asset.

Non-Amortized Intangible Assets

Intangible assets with indefinite lives are not amortized and consist solely of trade names. The carrying value of trade names at April 1, 2023 and December 31, 2022 are as follows:


	April 1,		December 31,		Year
	2023		2022		Acquired
Newmark	$	11,111	$	11,111	2004
Convert Italia S.p.A.		8,131		8,024	2018
Webforge		7,248		7,107	2010
Ingal EPS / Ingal Civil Products		7,027		6,891	2010
ConcealFab		5,000		5,000	2022
Shakespeare		4,000		4,000	2014
Walpar		3,500		3,500	2018
Other		14,232		14,152	Various
	$	60,249	$	59,785

In its determination of these intangible assets as indefinite-lived, the Company considered such factors as its expected future use of the intangible asset, legal, regulatory, technological, and competitive factors that may impact the useful life or value of the intangible asset, and the expected costs to maintain the value of the intangible asset. The Company expects that these intangible assets will maintain their value indefinitely. Accordingly, these assets are not amortized.

The Company’s trade names were tested for impairment at August 27, 2022. The values of each trade name were determined using the relief-from-royalty method. Based on this evaluation, no trade names were determined to be impaired.

(4) GOODWILL AND INTANGIBLE ASSETS – CONTINUED

Goodwill

The carrying amount of goodwill by segment at April 1, 2023 and December 31, 2022 was as follows:


	Infrastructure		Agriculture
	Segment		Segment		Total
Gross Balance December 31, 2022	$	473,551	$	313,777	$	787,328
Accumulated impairment losses		(47,467)		—		(47,467)
Balance at December 31, 2022		426,084		313,777		739,861
Foreign currency translation		1,704		170		1,874
Balance at April 1, 2023	$	427,788	$	313,947	$	741,735


	Infrastructure		Agriculture
	Segment		Segment		Total
Gross Balance April 1, 2023	$	475,255	$	313,947	$	789,202
Accumulated impairment losses		(47,467)		—		(47,467)
Balance at April 1, 2023	$	427,788	$	313,947	$	741,735

The Company’s annual impairment test of goodwill was performed at August 27, 2022, using primarily the discounted cash flow method. The estimated fair value of all our reporting units exceeded their respective carrying value, so no goodwill impairments were recorded. During fiscal 2023, no goodwill impairments have been recorded.

Thirteen weeks ended

Amortization expense