Goodwill and Intangibles

6 Months Ended

Jun. 30, 2022

Goodwill And Intangible Assets Disclosure [Abstract]

11. GOODWILL AND INTANGIBLES

The following tables summarize the changes in the Company’s intangible assets as of December 31, 2021 and June 30, 2022 (in thousands):

	December 31, 2020		December 31, 2021		December 31, 2021
	Gross Carrying Amount		Additions		Gross Carrying Amount		Goodwill Impairments			Accumulated Amortization		Net Book Value
Goodwill	$	47,318	$	72,623	$	119,941	$	—		$	—	$	119,941

	December 31, 2021		Six Months Ended June 30, 2022		June 30, 2022
	Gross Carrying Amount		Additions		Gross Carrying Amount		Goodwill Impairments (1)			Accumulated Amortization		Net Book Value
Goodwill	$	119,941	$	—	$	119,941	$	(29,020	)	$	—	$	90,921

(1)

The Company engaged a third-party valuation specialist to assist management in performing an interim goodwill impairment test in March 2022. For goodwill, impairment testing is based upon the best information available using a combination of the discounted cash flow method (a form of the income approach) and the guideline public company method. As a result of the impairment testing, the Company recorded a goodwill impairment charge of $29.0 million in the three months ended March 31 2022, primarily due to the decrease in its market capitalization. The Company did not record a goodwill impairment charge for the three months ending June 30, 2022.

The following tables summarize the changes in the Company’s intangible assets as of December 31, 2021 and June 30, 2022 (in thousands):

	December 31, 2020		December 31, 2021		December 31, 2021
	Gross Carrying Amount		Additions		Gross Carrying Amount		Intangible Impairments		Accumulated Amortization			Net Book Value
Trademarks	$	31,810	$	34,100	$	65,910	$	—	$	(6,332	)	$	59,578
Non-competition agreement		111		—		111		—		(54	)		57
Transition services agreement		23		—		23		—		(23	)		—
Customer relations		—		5,700		5,700		—		(380	)		5,320
Other		—		700		700		—		(700	)		—
Total intangibles	$	31,944	$	40,500	$	72,444	$	—	$	(7,489	)	$	64,955

	December 31, 2021		Six Months Ended June 30, 2022		June 30, 2022
	Gross Carrying Amount		Additions		Gross Carrying Amount		Intangible Impairments		Accumulated Amortization			Net Book Value
Trademarks	$	65,910	$	—	$	65,910	$	—	$	(9,643	)	$	56,267
Non-competition agreement		111		—		111		—		(72	)		39
Transition services agreement		23		—		23		—		(23	)		—
Customer relations		5,700		—		5,700		—		(665	)		5,035
Other		700		—		700		—		(700	)		—
Total intangibles	$	72,444	$	—	$	72,444	$	—	$	(11,103	)	$	61,341

The following table sets forth the estimated aggregate amortization of the Company’s in-place intangible assets and favorable intangible assets for the next five years and thereafter (amounts in thousands):

Remainder of 2022	$	3,614
2023		7,214
2024		7,171
2025		7,130
2026		7,130
Thereafter		29,082
Total	$	61,341