Goodwill and Other Intangibles

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangibles:

The following table summarizes the changes in goodwill by reportable segment for the years ended December 31, 2017 and 2016 (in thousands):



	Lithium and Advanced Materials			Bromine Specialties		Refining Solutions			All Other		Total
Balance at December 31, 2015	$	1,267,505		$	20,319	$	172,728		$	—	$	1,460,552
Acquisition of Rockwood^(a)	(1,706		)	—		—			—		(1,706		)
Other acquisitions^(b)	113,555			—		—			—		113,555
Reclass from assets held for sale^(c)	—			—		—			6,586		6,586
Foreign currency translation adjustments	(31,093		)	—		(7,862		)	—		(38,955		)
Balance at December 31, 2016	1,348,261			20,319		164,866			6,586		1,540,032
Other acquisitions^(d)	(26,151		)	—		—			—		(26,151		)
Reclass to assets held for sale^(e)	(14,422		)	—		—			—		(14,422		)
Foreign currency translation adjustments and other	88,452			—		22,444			—		110,896
Balance at December 31, 2017	$	1,396,140		$	20,319	$	187,310		$	6,586	$	1,610,355


(a)	Represents final purchase price adjustments for the Rockwood acquisition recorded for the year ended December 31, 2016. Excludes $3.2 million of final purchase price adjustments for businesses reported as discontinued operations.


(b)	Represents preliminary purchase price adjustments for the Jiangli New Materials acquisition recorded for the year ended December 31, 2016. See Note 2, “Acquisitions,” for additional information.


(c)	Represents Goodwill of the fine chemistry services business, which was reported in Assets held for sale on the consolidated balance sheets as of December 31, 2015, but reclassified back to Goodwill during the year end December 31, 2016. See Note 3, “Divestitures,” for additional information.


(d)	Primarily represents final purchase price adjustments for the Jiangli New Materials acquisition recorded for the year ended December 31, 2017. See Note 2, “Acquisitions,” for additional information.


(e)	Represents Goodwill of the polyolefin catalysts and components portion of the PCS business. See Note 3, “Divestitures,” for additional information.

Other intangibles consist of the following at December 31, 2017 and 2016 (in thousands):



	Customer Lists and Relationships			Trade Names and Trademarks ^(a)			Patents and Technology			Other			Total
Gross Asset Value
Balance at December 31, 2015	$	398,725		$	16,923		$	40,144		$	17,779		$	473,571
Reclass from assets held for sale^(b)	—			—			—			1,454			1,454
Foreign currency translation adjustments and other	(10,832		)	(409		)	(1,710		)	(389		)	(13,340		)
Balance at December 31, 2016	387,893			16,514			38,434			18,844			461,685
Acquisitions^(c)	19,225			1,429			20,381			18,847			59,882
Reclass to assets held for sale^(d)	—			—			—			(4,228		)	(4,228		)
Foreign currency translation adjustments and other	32,194			1,038			2,803			3,793			39,828
Balance at December 31, 2017	$	439,312		$	18,981		$	61,618		$	37,256		$	557,167
Accumulated Amortization
Balance at December 31, 2015	$	(32,656	)	$	(8,086	)	$	(32,008	)	$	(16,953	)	$	(89,703	)
Amortization	(18,034		)	—			(574		)	(431		)	(19,039		)
Reclass from assets held for sale^(b)	—			—			—			(1,322		)	(1,322		)
Foreign currency translation adjustments and other	1,525			134			899			385			2,943
Balance at December 31, 2016	(49,165		)	(7,952		)	(31,683		)	(18,321		)	(107,121		)
Amortization	(21,288		)	—			(1,412		)	(2,379		)	(25,079		)
Reclass to assets held for sale^(d)	—			—			—			596			596
Foreign currency translation adjustments and other	(4,251		)	(343		)	(2,108		)	2,642			(4,060		)
Balance at December 31, 2017	$	(74,704	)	$	(8,295	)	$	(35,203	)	$	(17,462	)	$	(135,664	)
Net Book Value at December 31, 2016	$	338,728		$	8,562		$	6,751		$	523		$	354,564
Net Book Value at December 31, 2017	$	364,608		$	10,686		$	26,415		$	19,794		$	421,503


(a)	Balances as of December 31, 2016 and 2017 include only indefinite-lived intangible assets.


(b)	Represents Other intangibles and related amortization of the fine chemistry services business, which was reported in Assets held for sale on the consolidated balance sheets as of December 31, 2015, but reclassified back to Other intangibles during the year end December 31, 2016. See Note 3, “Divestitures,” for additional information.


(c)	Represents final purchase price adjustments for the Jiangli New Materials acquisition and the acquisition of the remaining equity interest in Salmag. See Note 2, “Acquisitions,” for additional information.


(d)	Represents Other intangibles and related amortization of the polyolefin catalysts and components portion of the PCS business. See Note 3, “Divestitures,” for additional information.

Useful lives range from 13 – 25 years for customer lists and relationships; 17 – 20 years for patents and technology; and primarily 5 – 25 years for other.

Amortization of other intangibles amounted to $25.1 million, $19.0 million and $16.9 million for the years ended December 31, 2017, 2016 and 2015, respectively. Included in amortization for the year ended December 31, 2017 and 2016 is $17.7 million and $15.9 million, respectively, of amortization using the pattern of economic benefit method. Amortization of other intangibles related to discontinued operations was $26.3 million and $60.4 million for the years ended December 31, 2016 and 2015, respectively.

Total estimated amortization expense of other intangibles for the next five fiscal years is as follows (in thousands):



	Estimated Amortization Expense
2018	$	27,166
2019	$	27,461
2020	$	25,035
2021	$	24,756
2022	$	24,162

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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