GOODWILL AND INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2024

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 October, 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, 2024:

	Total		Industrial Powertrain Solutions		Power Efficiency Solutions		Automation & Motion Control
Balance as of December 31, 2023	$	6,553.1	$	3,747.0	$	753.9	$	2,052.2
Acquisitions	(5.1)		(5.8)		—		0.7
Translation Adjustments	(51.2)		(25.8)		(2.8)		(22.6)
Balance as of June 30, 2024	$	6,496.8	$	3,715.4	$	751.1	$	2,030.3
Cumulative Goodwill Impairment Charges(1)	$	223.6	$	18.1	$	200.4	$	5.1

(1) Excludes impairment charges related to Industrial Systems.

Intangible Assets

Intangible assets consist of the following:

		June 30, 2024						December 31, 2023
	Weighted Average Amortization Period (Years)	Gross Value		Accumulated Amortization		Net Carrying Amount		Gross Value		Accumulated Amortization		Net Carrying Amount
Customer Relationships	15	$	3,991.3	$	858.6	$	3,132.7	$	4,028.5	$	746.2	$	3,282.3
Technology	13	299.6		108.8		190.8		302.6		92.9		209.7
Trademarks	10	702.0		156.1		545.9		712.1		120.7		591.4
Total Intangibles		$	4,992.9	$	1,123.5	$	3,869.4	$	5,043.2	$	959.8	$	4,083.4

Amortization expense recorded for the three and six months ended June 30, 2024 was $86.5 million and $173.2 million, respectively. Amortization expense recorded for the three and six months ended June 30, 2023 was $89.4 and $135.7 million, respectively. Amortization expense for 2024 is estimated to be $348.5 million.

The following table presents future estimated annual amortization expense for intangible assets:

Year	Estimated Amortization
2025	$	346.3
2026	342.9
2027	342.9
2028	342.9
2029	340.9