Acquisitions (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Purchase Price Allocation for Estimated Fair Values of Assets Acquired and Liabilities Assumed

As of December 31, 2016, the allocation of price for the Stromag Acquisition is preliminary. The fair value of all the acquired identifiable assets and liabilities summarized below is provisional pending finalization of the Company’s acquisition accounting. Measurement period adjustments reflect new information obtained about facts and circumstances that existed as of the acquisition date. The Company believes that such preliminary allocations provide a reasonable basis for estimating the fair values of assets acquired and liabilities assumed, but the Company is waiting for additional information necessary to finalize fair value. The purchase price allocation as of the acquisition date is as follows:


Total purchase price, excluding acquisition costs of approximately $2.9 million	$	196,725
Cash and cash equivalents	$	8,758
Trade receivables		24,367
Inventories		24,339
Property, plant and equipment		40,411
Intangible assets		75,516
Total assets acquired		173,391
Accounts payable		15,370
Accrued payroll		8,425
Accrued expenses and other current liabilities		3,833
Deferred tax liability		26,880
Pension liability		15,283
Total liabilities assumed		69,791
Net assets acquired		103,600
Excess purchase price over fair value of net assets acquired	$	93,125

Schedule of Amounts Recorded as Intangible Assets

The excess of the purchase price over the fair value of the net assets acquired was recorded as goodwill. The goodwill is generally not deductible for income tax purposes with the exception of approximately $12.8 million in the United States. The goodwill in this acquisition is attributable to the Company’s expectation to develop synergies, such as lower cost country sourcing, global procurement, the ability to cross-sell product, and the ability to penetrate certain geographic areas, as a result of the acquisition of Stromag.

Intangible assets acquired consist of:
Customer relationships	$	56,740
Trade names and trademarks		18,776
Total intangible assets	$	75,516

Schedule of Unaudited Pro Forma Results of Operation

The following table sets forth the unaudited pro forma results of operations of the Company for the years ended December 31, 2016 and 2015 as if the Company had acquired Stromag on January 1, 2015. The pro forma information contains the actual operating results of the Company and Stromag, adjusted to include the pro forma impact of (i) additional depreciation expense as a result of estimated depreciation based on the fair value of fixed assets; (ii) additional expense as a result of the estimated amortization of identifiable intangible assets; and (iii) additional interest expense associated with debt that was used to finance the acquisition.

	Proforma (unaudited)
	Year to Date Period Ended
	December 31, 2016		December 31, 2015
Total revenues	$	851,537	$	892,525
Net income		28,252		31,799
Basic earnings per share		1.10	1.22
Diluted earnings per share	$	1.10	$	1.22