GOODWILL AND OTHER INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2023

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

NOTE 7 – GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill

Changes in the carrying amount of goodwill are as follows:

Balance, January 1, 2023	$	4,822,000
Currency translation adjustment		7,000
Balance, June 30, 2023	$	4,829,000

Other intangible assets

	June 30, 2023						December 31, 2022
			Accumulated		Net book				Accumulated		Net book
	Cost		amortization		value		Cost		amortization		value
Other intangible assets:
Customer relationships (1)	$	6,932,000	$	4,395,000	$	2,537,000	$	6,921,000	$	4,099,000	$	2,822,000
Trademarks and trade names (1)		2,174,000		—		2,174,000		2,166,000		—		2,166,000
Trademarks and trade names		200,000		93,000		107,000		200,000		86,000		114,000
Engineering drawings		330,000		276,000		54,000		330,000		268,000		62,000
Non-compete agreements (1)		327,000		319,000		8,000		322,000		303,000		19,000
Patents		1,286,000		1,175,000		111,000		1,286,000		1,143,000		143,000
Totals	$	11,249,000	$	6,258,000	$	4,991,000	$	11,225,000	$	5,899,000	$	5,326,000

(1) A portion of these intangibles are maintained in a foreign currency and are therefore subject to foreign exchange rate fluctuations.

NOTE 7 – GOODWILL AND OTHER INTANGIBLE ASSETS – (Continued)

Amortization expense of intangible assets subject to amortization was as follows:

Three months ended June 30,				Six months ended June 30,
2023		2022		2023		2022
$	167,000	$	164,000	$	346,000	$	341,000

Amortization expense for the balance of 2023, and for each of the next four years and thereafter is estimated to be as follows:

July 1 through December 31, 2023	$	341,000
2024		640,000
2025		611,000
2026		412,000
2027		198,000
Thereafter		615,000
	$	2,817,000

The weighted average amortization period for intangible assets was as follows:

	June 30, 2023	December 31, 2022
Customer relationships	5.6	5.9
Trademarks and trade names	8.0	8.5
Engineering drawings	3.6	4.1
Non-compete agreements	0.5	1.0
Patents	4.2	4.1