| Goodwill And Intangible Assets |
NOTE 4. GOODWILL AND INTANGIBLE ASSETS
Goodwill
The following table summarizes the balances in goodwill by segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outdoor |
|
Precision Sport |
|
Adventure |
|
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
$ |
29,507 |
|
$ |
26,715 |
|
$ |
88,349 |
|
$ |
144,571 |
Accumulated goodwill impairment losses |
|
|
(29,507) |
|
|
— |
|
|
(52,071) |
|
|
(81,578) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at December 31, 2022 |
|
|
— |
|
|
26,715 |
|
|
36,278 |
|
|
62,993 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Impact of foreign currency exchange rates |
|
|
— |
|
|
— |
|
|
(1,098) |
|
|
(1,098) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at September 30, 2023 |
|
$ |
— |
|
$ |
26,715 |
|
$ |
35,180 |
|
$ |
61,895 |
Indefinite-Lived Intangible Assets
The following table summarizes the changes in indefinite-lived intangible assets:
|
|
|
|
Balance at December 31, 2022 |
|
$ |
82,901 |
|
|
|
|
Impact of foreign currency exchange rates |
|
|
(1,965) |
|
|
|
|
Balance at September 30, 2023 |
|
$ |
80,936 |
Trademarks classified as indefinite-lived intangible assets by brand as of September 30, 2023 and December 31, 2022, were as follows:
|
|
|
|
|
|
|
|
|
September 30, 2023 |
|
December 31, 2022 |
Black Diamond |
|
$ |
19,600 |
|
$ |
19,600 |
PIEPS |
|
|
2,951 |
|
|
2,986 |
Sierra |
|
|
18,900 |
|
|
18,900 |
Barnes |
|
|
5,600 |
|
|
5,600 |
Rhino-Rack |
|
|
24,356 |
|
|
25,744 |
MAXTRAX |
|
|
9,529 |
|
|
10,071 |
|
|
$ |
80,936 |
|
$ |
82,901 |
Other Intangible Assets, net
The following table summarizes the changes in gross other intangible assets:
|
|
|
|
Gross balance at December 31, 2022 |
|
$ |
100,889 |
|
|
|
|
Increase due to purchase of intangible assets |
|
|
500 |
Impact of foreign currency exchange rates |
|
|
(2,976) |
|
|
|
|
Gross balance at September 30, 2023 |
|
$ |
98,413 |
Other intangible assets, net of amortization as of September 30, 2023 and December 31, 2022, were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30, 2023 |
|
|
Gross |
|
Accumulated Amortization |
|
Net |
|
Weighted Average Useful Life |
Intangibles subject to amortization |
|
|
|
|
|
|
|
|
|
|
|
|
Customer relationships |
|
$ |
75,219 |
|
$ |
(40,954) |
|
$ |
34,265 |
|
|
13.8 years |
Product technologies |
|
|
20,984 |
|
|
(11,281) |
|
|
9,703 |
|
|
10.1 years |
Tradename / trademark |
|
|
1,263 |
|
|
(926) |
|
|
337 |
|
|
9.4 years |
Core technologies |
|
|
947 |
|
|
(947) |
|
|
— |
|
|
10.0 years |
|
|
$ |
98,413 |
|
$ |
(54,108) |
|
$ |
44,305 |
|
|
12.9 years |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2022 |
|
|
Gross |
|
Accumulated Amortization |
|
Net |
|
Weighted Average Useful Life |
|
|
|
|
|
|
|
|
|
|
|
|
|
Customer relationships |
|
$ |
77,370 |
|
$ |
(34,653) |
|
$ |
42,717 |
|
|
13.8 years |
Product technologies |
|
|
21,309 |
|
|
(9,207) |
|
|
12,102 |
|
|
10.2 years |
Tradename / trademark |
|
|
1,263 |
|
|
(827) |
|
|
436 |
|
|
9.4 years |
Core technologies |
|
|
947 |
|
|
(947) |
|
|
— |
|
|
10.0 years |
|
|
$ |
100,889 |
|
$ |
(45,634) |
|
$ |
55,255 |
|
|
13.0 years |
Amortization expense for the three months ended September 30, 2023 and 2022, was $3,061 and $3,683, respectively, and for the nine months ended September 30, 2023 and 2022 was $9,560 and $11,740. Future amortization expense for other intangible assets as of September 30, 2023 is as follows:
|
|
|
|
Years Ending December 31, |
|
Amortization Expense |
2023 (excluding the nine months ended September 30, 2023) |
|
$ |
3,053 |
2024 |
|
|
10,520 |
2025 |
|
|
8,548 |
2026 |
|
|
6,536 |
2027 |
|
|
4,687 |
2028 |
|
|
3,342 |
Thereafter |
|
|
7,619 |
|
|
$ |
44,305 |
|