GOODWILL AND INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS

Goodwill

As required, the Company performs an annual impairment test of goodwill as of the end of the October fiscal month or more frequently if events or circumstances change that would more likely than not reduce the fair value of its reporting units below their carrying value.

The following table presents changes to goodwill during the six months ended June 30, 2022 (in millions):

	Total		Commercial Systems		Industrial Systems		Climate Solutions		Motion Control Solutions
Balance as of January 1, 2022	$	4,039.2	$	428.9	$	128.8	$	330.5	$	3,151.0
Acquisition and Valuation Adjustments	26.4		—		—		—		26.4
Translation Adjustments	(39.6)		(5.0)		(1.6)		(0.5)		(32.5)
Balance as of June 30, 2022	$	4,026.0	$	423.9	$	127.2	$	330.0	$	3,144.9
Cumulative Goodwill Impairment Charges	$	328.7	$	183.2	$	105.1	$	17.2	$	23.2

Intangible Assets

The following table presents intangible assets (in millions):

		June 30, 2022				January 1, 2022
	Weighted Average Amortization Period (Years)	Gross Value		Accumulated Amortization		Gross Value		Accumulated Amortization
Amortizable Intangible Assets:
Customer Relationships	16	$	2,326.1	$	465.8	$	2,335.4	$	405.0
Technology	13	246.9		119.0		250.1		114.1
Trademarks	10	393.4		55.0		400.0		37.2
Patent and Engineering Drawings	5	16.6		16.6		16.6		16.6
		$	2,983.0	$	656.4	$	3,002.1	$	572.9
Intangible Assets, Net of Amortization		$	2,326.6			$	2,429.2

Amortization expense recorded for the three and six months ended June 30, 2022 was $46.5 million and $93.8 million, respectively. Amortization expense recorded for the three and six months ended July 3, 2021 was $11.1 million and $22.3 million, respectively. Amortization expense for fiscal year 2022 is estimated to be $187.0 million. There were no intangible asset impairments during the three and six months ended June 30, 2022 and July 3, 2021, respectively.

The following table presents future estimated annual amortization for intangible assets (in millions):

Year	Estimated Amortization
2023	$	186.4
2024	185.8
2025	183.7
2026	180.3
2027	145.7