Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill And Intangible Assets Disclosure [Text Block]

Note 16 – Goodwill and Other Intangible Assets

The Company completes its annual goodwill impairment test during the fourth quarter of each year, or more frequently if triggering events indicate a possible impairment in one or more of its reporting units. As described in Note 4 of Notes to Consolidated Financial Statements, during the third quarter of 2019, the Company changed its reportable segments and associated reporting units. In connection with this change, the Company performed a qualitative assessment and concluded that there was no evidence of events or circumstances that would indicate a material change from the Company’s prior year quantitative impairment assessment. The Company completed its annual impairment assessment during the fourth quarter of 2019 and concluded no impairment charge was warranted. The Company has recorded no impairment charges in its past and continually evaluates financial performance, economic conditions and other relevant developments in assessing if an interim period impairment test for one or more of its reporting units is necessary.

In connection with the change in its reportable segments, noted above, the Company reallocated existing goodwill to each of the new reportable segments and associated reporting units, based on management’s estimate of the relative fair value of each reporting unit. The result of this reallocation of goodwill has been recast, by reportable segment, as of December 31, 2017 and 2018 and for all activity within the periods presented. Changes in the carrying amount of goodwill for the years ended December 31, 2019 and 2018 were as follows:

								Global
								Specialty
		Americas		EMEA		Asia/Pacific		Businesses		Total
Balance as of December 31, 2017		$	28,921	$	18,476	$	13,933	$	24,704	$	86,034
	Currency translation adjustments		(457)		(1,053)		(784)		(407)		(2,701)
Balance as of December 31, 2018			28,464		17,423		13,149		24,297		83,333
	Goodwill additions		188,494		114,167		130,091		91,545		524,297
	Currency translation adjustments		(573)		1,428		(1,513)		233		(425)
Balance as of December 31, 2019		$	216,385	$	133,018	$	141,727	$	116,075	$	607,205

Gross carrying amounts and accumulated amortization for definite-lived intangible assets as of December 31, 2019 and 2018 were as follows:

	Gross Carrying				Accumulated
	Amount				Amortization
	2019		2018		2019		2018
Customer lists and rights to sell	$	792,362	$	74,989	$	49,932	$	29,587
Trademarks, formulations and product technology		157,049		33,275		21,299		16,469
Other		6,261		5,840		5,776		5,566
Total definite-lived intangible assets	$	955,672	$	114,104	$	77,007	$	51,622

The Company recorded $26.7 million, $7.3 million and $7.4 million of amortization expense during the years ended December 31, 2019, 2018 and 2017, respectively. Amortization is recorded within SG&A in the Company’s Consolidated Statements of Income. Estimated annual aggregate amortization expense for the subsequent five years is as follows:

For the year ended December 31, 2020	$	55,977
For the year ended December 31, 2021		55,630
For the year ended December 31, 2022		55,476
For the year ended December 31, 2023		55,259
For the year ended December 31, 2024		54,728

The Company has four indefinite-lived intangible assets totaling $243.1 million as of December 31, 2019, including $242.0 million of indefinite-lived intangible assets for trademarks and tradenames associated with the Combination. Comparatively, the Company had two indefinite-lived intangible assets for trademarks and tradenames totaling $1.1 million as of December 31, 2018.