7.Goodwill

A reconciliation of the activity for goodwill for the first three quarters of 2018 and the first three quarters of 2017 is as follows:

	First Three Quarters
(in thousands)	2018			2017
Beginning balance - goodwill	$	169,316		$	144,586
System Transformation Transactions acquisitions		-			19,035
Measurement period adjustments⁽¹⁾		(3,413	)		1,807
Balance held for sale⁽²⁾		-			(12,727	)
Ending balance - goodwill	$	165,903		$	152,701

⁽¹⁾

Measurement period adjustments relate to post-closing adjustments made in accordance with the terms and conditions of the applicable asset purchase agreement or asset exchange agreement for each System Transformation Transaction. See Note 3 to the consolidated condensed financial statements for additional information on the System Transformation Transactions.

⁽²⁾	Goodwill of $12.7 million related to the October 2017 Divestitures was classified as held for sale as of October 1, 2017.

The Company’s goodwill resides entirely within the Nonalcoholic Beverages segment. The Company performs its annual impairment test of goodwill as of the first day of the fourth quarter of each fiscal year. During the first three quarters of 2018, the Company did not experience any triggering events or changes in circumstances indicating the carrying amounts of the Company’s goodwill exceeded fair values.