ACQUISITION

9 Months Ended

Dec. 31, 2023

On May 3, 2023, we purchased the assets of a cement import terminal in Stockton, California (the Stockton Terminal Acquisition), which was accounted for under the acquisition method. The purchase price of the Stockton Terminal Acquisition was approximately $55.1 million. The purchase price was funded through borrowings under our revolving credit facility. Operations related to the Stockton Terminal Acquisition are included in the Cement business in our segment reporting from May 3, 2023, through December 31, 2023.

The following table summarizes the allocation of the purchase price to the fair value of assets acquired and liabilities assumed (based on Level 3 inputs) as of December 31, 2023:



	Fair Value
Inventory	$	14,809
Prepaid and Other Current Assets		179
Property, Plant, and Equipment		12,737
Lease Right-of-Use Assets		1,646
Intangible Assets		16,100
Lease Obligations		(1,646	)
Other Long-term Liabilities		(630	)
Goodwill		11,858
Total Purchase Price	$	55,053

The estimated useful lives assigned to Property, Plant, and Equipment range from 5 to 30 years, while the estimated useful lives assigned to Intangible Assets range from 2 to 15 years. All goodwill generated from the Stockton Terminal Acquisition is deductible for income tax purposes.

The following table presents the Revenue and Operating Loss related to the Stockton Terminal Acquisition that has been included in our Consolidated Statement of Earnings from May 3, 2023, through December 31, 2023.



	For the Three Months Ended			For the Nine Months Ended
	December 31, 2023
	(dollars in thousands)
Revenue	$	11,247		$	32,529
Operating Loss	$	(56	)	$	(2,106	)

Operating Earnings shown above for the three months ended December 31, 2023 were affected by approximately $0.7 million related to depreciation and amortization. Operating Loss for the nine months ended December 31, 2023, was affected by approximately $1.9 million and $3.9 million related to depreciation and amortization and the recording of acquired inventories at fair value, respectively.