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ACQUISITIONS, DISPOSTIONS, GOODWILL AND INTANGIBLES
 9 Months Ended
Oct. 02, 2021
Business Acquisition [Line Items]  
ACQUISITIONS, DISPOSTIONS, GOODWILL AND INTANGIBLES ACQUISITIONS, DISPOSITIONS, GOODWILL AND INTANGIBLES
 
The Company has completed numerous acquisitions since its formation, which have been financed through a combination of debt and equity funding and available cash. The operations of each acquisition have been included in the Company’s consolidated results of operations since the respective closing dates of the acquisitions. The Company measures all assets acquired and liabilities assumed at their acquisition-date fair value. Goodwill acquired during a business combination has an indefinite life and is not amortized. The following table summarizes the Company’s acquisitions by region and period:

Nine months endedYear ended
October 2, 2021January 2, 2021
West— 2 
East2 1 

The purchase price allocation, primarily the valuation of property, plant and equipment for the acquisitions completed during the nine months ended October 2, 2021, as well as the acquisitions completed during 2020 that occurred after September 26, 2020, have not yet been finalized due to the recent timing of the acquisitions, status of the valuation of property, plant and equipment and finalization of related tax returns. The following table summarizes aggregated information regarding the fair values of the assets acquired and liabilities assumed as of the respective acquisition dates:

Nine months endedYear ended
October 2, 2021    January 2, 2021
Financial assets$— $8,696 
Inventories173 2,856 
Property, plant and equipment7,958 130,042 
Intangible assets702 — 
Other assets— 2,790 
Financial liabilities(121)(4,469)
Other long-term liabilities(300)(16,069)
Net assets acquired8,412 123,846 
Goodwill— — 
Purchase price8,412 123,846 
Acquisition-related liabilities(1,149)— 
Other— (369)
Net cash paid for acquisitions$7,263 $123,477 

Changes in the carrying amount of goodwill, by reportable segment, from January 2, 2021 to October 2, 2021 are summarized as follows:
 WestEastCement
Total  
Balance—January 2, 2021$586,209 $410,426 $204,656 $1,201,291 
Dispositions (1)(16,222)(10,520)— (26,742)
Foreign currency translation adjustments306 — — 306 
Balance—October 2, 2021$570,293 $399,906 $204,656 $1,174,855 
_______________________________________________________________________
(1) Reflects goodwill derecognition from dispositions completed during the nine months ended October 2, 2021.

The Company’s intangible assets subject to amortization are primarily composed of operating permits, mineral lease agreements and reserve rights. Operating permits relate to permitting and zoning rights acquired outside of a business combination. The assets related to mineral lease agreements reflect the submarket royalty rates paid under agreements, primarily for extracting aggregates. The values were determined as of the respective acquisition dates by a comparison of market-royalty rates. The reserve rights relate to aggregate reserves to which the Company has certain rights of ownership,
but does not own the reserves. The intangible assets are amortized on a straight-line basis over the lives of the leases or permits. The following table shows intangible assets by type and in total:

 October 2, 2021January 2, 2021
 Gross
 Carrying
 Amount		Accumulated
 Amortization		Net
 Carrying
 Amount		Gross
 Carrying
 Amount		Accumulated
 Amortization		Net
 Carrying
 Amount
Operating permits$33,671 $(2,206)$31,465 $33,671 $(1,207)$32,464 
Mineral leases19,927 (8,497)11,430 19,225 (7,571)11,654 
Reserve rights25,586 (3,123)22,463 6,234 (2,504)3,730 
Other5,463 (483)4,980 586 (582)4 
Total intangible assets$84,647 $(14,309)$70,338 $59,716 $(11,864)$47,852 
 
Amortization expense totaled $0.9 million and $2.8 million for the three and nine months ended October 2, 2021, respectively, and $0.7 million and $2.3 million for the three and nine months ended September 26, 2020, respectively. The estimated amortization expense for the intangible assets for each of the five years subsequent to October 2, 2021 is as follows:

2021 (three months)$1,034 
20224,141 
20234,008 
20243,913 
20253,868 
20263,724 
Thereafter49,650 
Total$70,338 

In the first nine months of 2021, as part of the Company's strategy to rationalize assets, the Company sold four businesses in the East segment and one in the West segment, resulting in cash proceeds of $103.6 million and a total gain on disposition of $15.3 million.
Summit Materials, LLC  
Business Acquisition [Line Items]  
ACQUISITIONS, DISPOSTIONS, GOODWILL AND INTANGIBLES ACQUISITIONS, DISPOSITIONS, GOODWILL AND INTANGIBLES
 
The Company has completed numerous acquisitions since its formation, which have been financed through a combination of debt and equity funding and available cash. The operations of each acquisition have been included in the Company’s consolidated results of operations since the respective closing dates of the acquisitions. The Company measures all assets acquired and liabilities assumed at their acquisition-date fair value. Goodwill acquired during a business combination has an indefinite life and is not amortized. The following table summarizes the Company’s acquisitions by region and period:
Nine months endedYear ended
October 2, 2021January 2, 2021
West— 2
East21
 
The purchase price allocation, primarily the valuation of property, plant and equipment for the acquisitions completed during the nine months ended October 2, 2021, as well as the acquisitions completed during 2020 that occurred after September 26, 2020, have not yet been finalized due to the recent timing of the acquisitions, status of the valuation of property, plant and equipment and finalization of related tax returns. The following table summarizes aggregated information regarding the fair values of the assets acquired and liabilities assumed as of the respective acquisition dates:

Nine months endedYear ended
October 2, 2021    January 2, 2021
Financial assets$— $8,696 
Inventories173 2,856 
Property, plant and equipment7,958 130,042 
Intangible assets702 — 
Other assets— 2,790 
Financial liabilities(121)(4,469)
Other long-term liabilities(300)(16,069)
Net assets acquired8,412 123,846 
Goodwill— — 
Purchase price8,412 123,846 
Acquisition-related liabilities(1,149)— 
Other— (369)
Net cash paid for acquisitions$7,263 $123,477 


Changes in the carrying amount of goodwill, by reportable segment, from January 2, 2021 to October 2, 2021 are summarized as follows:
 WestEastCement
Total  
Balance—January 2, 2021$587,209 $410,426 $204,656 $1,202,291 
Dispositions (1)(16,222)(10,520)— (26,742)
Foreign currency translation adjustments306 — — 306 
Balance—October 2, 2021$571,293 $399,906 $204,656 $1,175,855 
_______________________________________________________________________
(1) Reflects goodwill derecognition from dispositions completed during the nine months ended October 2, 2021.

The Company’s intangible assets subject to amortization are primarily composed of operating permits, mineral lease agreements and reserve rights. Operating permits relate to permitting and zoning rights acquired outside of a business combination. The assets related to mineral lease agreements reflect the submarket royalty rates paid under agreements, primarily for extracting aggregates. The values were determined as of the respective acquisition dates by a comparison of market-royalty rates. The reserve rights relate to aggregate reserves to which the Company has certain rights of ownership, but does not own the reserves. The intangible assets are amortized on a straight-line basis over the lives of the leases or permits. The following table shows intangible assets by type and in total:
 
 October 2, 2021January 2, 2021
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount		Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
Operating permits$33,671 $(2,206)$31,465 $33,671 $(1,207)$32,464 
Mineral leases19,927 (8,497)11,430 19,225 (7,571)11,654 
Reserve rights25,586 (3,123)22,463 6,234 (2,504)3,730 
Other5,463 (483)4,980 586 (582)4 
Total intangible assets$84,647 $(14,309)$70,338 $59,716 $(11,864)$47,852 
 
Amortization expense totaled $0.9 million and $2.8 million for the three and nine months ended October 2, 2021, respectively, and $0.7 million and $2.3 million for the three and nine months ended September 26, 2020, respectively. The estimated amortization expense for the intangible assets for each of the five years subsequent to October 2, 2021 is as follows:
 
2021 (three months)$1,034 
20224,141 
20234,008 
20243,913 
20253,868 
20263,724 
Thereafter49,650 
Total$70,338 
In the first nine months of 2021, as part of the Company's strategy to rationalize assets, the Company sold four businesses in the East segment and one in the West segment, resulting in cash proceeds of $103.6 million and a total gain on disposition of $15.3 million.