Impairment and Restructuring Charges

12 Months Ended

Dec. 31, 2022

Impairment and Restructuring Charges

Impairment and Restructuring Charges

Note 19. Impairment and Restructuring Charges

Our impairment and restructuring charges consisted of the following:

	Year Ended December 31,
	2022		2021		2020
	(in millions)
Intangible assets, net	$	—	$	4.7	$	98.5
Property, plant and equipment		—		—		9.3
Operating lease right-of-use assets		—		—		0.2
Total impairment charges		—		4.7		108.0
Restructuring––cost of sales		—		—		38.2
Restructuring––SG&A		1.4		0.1		11.6
Total impairment and restructuring charges	$	1.4	$	4.8	$	157.8

We recorded impairment and restructuring charges of $157.8 million in 2020, which was substantially comprised of a $137.5 million impairment and restructuring charge recognized during the first quarter of 2020 mainly due to our reduced long-term outlook for our businesses serving the energy (oil and natural gas) market and to a lesser extent charges related

to the closure of certain locations where our outlook had turned negative based on the impacts from COVID-19 and our anticipated losses on the disposition of property, plant and equipment, and inventories.

The measurement of intangible assets at fair value in 2021 and 2020 was determined using discounted cash flow techniques. The use of discounted cash flow models requires judgment and the use of inputs by management that are unobservable, including revenue forecasts, discount rates and long-term growth rates. Unobservable inputs also include the Company’s expectations of the assumptions market participants would use in pricing the eventual recovery of the oil and natural gas and aerospace industries based on the best available information in the circumstances at that time.