Property and Equipment

6 Months Ended

Jun. 30, 2018

Property, Plant and Equipment [Abstract]

Property and Equipment

Property and Equipment

A summary of property and equipment at June 30, 2018 and December 31, 2017 and depreciation and amortization expense for the six months ended June 30, 2018 and 2017, is as follows (in thousands):

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	Depreciable Lives
	(in years)	June 30, 2018			December 31, 2017
Land and improvements	N/A	$	46,164		$	46,566
Buildings and improvements	20-40	59,300			58,946
Winery and vineyard equipment	3-25	38,062			38,631
Vineyards, orchards and improvements	7-25	36,530			37,090
Caves	20-40	5,639			5,639
Vineyards under development	N/A	2,814			3,353
Construction in progress	N/A	3,471			1,814
Total		191,980			192,039
Accumulated depreciation and amortization		(65,425		)	(63,021		)
Total property and equipment, net		$	126,555		$	129,018

	Three Months Ended June 30,				Six Months Ended June 30,
	2018		2017		2018		2017
Capitalized into inventory	$	1,468	$	1,360	$	2,932	$	2,718
Expensed to general and administrative	407		381		817		755
Total depreciation and amortization	$	1,875	$	1,741	$	3,749	$	3,473

During 2018, the Company began actively marketing 36 acres of apple orchards for sale as it does not intend to replant these orchards with vineyards. As of June 30, 2018, the Company had $0.6 million of assets held for sale classified as current assets on the condensed consolidated balance sheets that represent the net book value of these apple orchards. During the six months ended June 30, 2018, the Company recorded an impairment charge of less than $0.1 million to write-down the carrying value of the apple orchards to fair value less cost to sell. This impairment charge was recorded to other (expense) income, net in the condensed consolidated income statements. The Company expects to complete the sale of the apple orchards within the next twelve months.