Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

In January 2021, the company changed its organizational structure to more effectively address evolving client needs. With these changes, the company changed its reportable segments, operating segments and reporting units. The realignment and change was deemed a triggering event, resulting in the company performing an interim goodwill analysis on the reporting units impacted by this segment change as of immediately before and immediately after the change. There were no impairment charges resulting from this analysis. See Note 18 for additional information on the company’s operating and reportable segments.

As a result of the realignment, goodwill totaling $108.6 million was reallocated on a relative fair value basis. The amount of goodwill at March 31, 2021 and December 31, 2020 was as follows: Enterprise Computing Solutions (ECS), $98.3 million and

Other, $10.3 million. On June 3, 2021, the company acquired Unify Square, Inc. resulting in a preliminary estimated addition to goodwill in the DWS segment of $117.6 million (see Note 3).

Changes in the carrying value of goodwill by segment were as follows:


	Total		DWS		C&I		ECS		Other
Balance at December 31, 2020	$	108.6	$	—	$	—	$	98.3	$	10.3
Acquisition (see Note 3)	117.6		117.6		—		—		—
Balance at June 30, 2021	$	226.2	$	117.6	$	—	$	98.3	$	10.3

At June 30, 2021, the amount of goodwill allocated to reporting units with negative net assets within Other was $10.3 million.

Intangible Assets

Intangible assets, net (see Note 3) at June 30, 2021 consists of the following:


	Gross Carrying Value		Accumulated Amortization		Net Carrying Value
Customer relationships and backlog	$	18.0	$	0.2	$	17.8
Software and technology	15.0		0.2		14.8
Trade name	1.5		0.1		1.4
Total	$	34.5	$	0.5	$	34.0

Amortization expense was $0.5 million for the three and six months ended June 30, 2021.