Property, Plant and Equipment

12 Months Ended

Dec. 31, 2016

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

Note 7.

Property, Plant, and Equipment

Property, plant, and equipment at December 31, 2016 and 2015 consist of the following:

		2016		2015
Land	$	14,826	$	17,054
Improvements to land and leaseholds		17,408		16,590
Buildings		33,910		39,366
Machinery and equipment, including equipment under capitalized leases		118,060		118,677
Construction in progress		1,291		11,844
		185,495		203,531
Less accumulated depreciation and amortization, including accumulated amortization of capitalized leases		81,522		76,786
	$	103,973	$	126,745

During the year ended December 31, 2016, the Company performed recoverability tests on reporting units when it was more likely than not that the carrying value of the long-lived asset group would not be recoverable. The results of our testing indicated that the long-lived assets related to the IOS business, within the Tubular and Energy Services segment, had carrying values in excess of the asset groups’ fair value. Based upon level 3 unobservable inputs, the Company incorporated assumptions that it believes would be a reasonable market participant’s view in a hypothetical purchase, to develop the discounted cash flows. Significant level 3 inputs included estimates of future revenue growth, gross margin, and EBITDA. As a result of the analysis, the Company recorded a $14,956 non-cash impairment of property, plant and equipment related to the IOS business. There were no impairments of property, plant and equipment recorded during the years ended December 31, 2015 or 2014.

Depreciation expense, including amortization of assets under capital leases, for the years ended December 31, 2016, 2015, and 2014 amounted to $13,917,  $14,429 and $7,882, respectively.