Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the carrying amount of goodwill for the six months ended June 30, 2020, by reportable business segment, were as follows:


	FMT		HST		FSDP		IDEX
Goodwill	$	599,646	$	981,592	$	399,138	$	1,980,376
Accumulated goodwill impairment losses	(20,721)		(149,820)		(30,090)		(200,631)
Balance at December 31, 2019	578,925		831,772		369,048		1,779,745
Foreign currency translation	217		(1,946)		(91)		(1,820)
Acquisitions	63,007		—		—		63,007

Acquisition adjustments	—		1,798		—		1,798
Balance at June 30, 2020	$	642,149	$	831,624	$	368,957	$	1,842,730

ASC 350, Goodwill and Other Intangible Assets, requires that goodwill be tested for impairment at the reporting unit level on an annual basis and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying value. In the first six months of 2020, there were no events or circumstances that would have required an interim impairment test. Annually, on October 31, goodwill and other acquired intangible assets with indefinite lives are tested for impairment. Based on the results of our annual impairment test at October 31, 2019, all reporting units had fair values in excess of their carrying values.

The following table provides the gross carrying value and accumulated amortization for each major class of intangible asset at June 30, 2020 and December 31, 2019:


	At June 30, 2020											At December 31, 2019
	Gross Carrying Amount		Accumulated Amortization		Net		Weighted Average Life	Gross Carrying Amount		Accumulated Amortization		Net
Amortized intangible assets:
Patents	$	4,382	$	(3,135)	$	1,247	12	$	6,678	$	(5,276)	$	1,402
Trade names	126,703		(66,739)		59,964		16	123,062		(64,938)		58,124
Customer relationships	308,347		(107,600)		200,747		13	275,575		(96,252)		179,323

Unpatented technology	117,216		(47,933)		69,283		13	101,721		(43,561)		58,160
Other	700		(613)		87		10	700		(578)		122
Total amortized intangible assets	557,348		(226,020)		331,328			507,736		(210,605)		297,131
Indefinite-lived intangible assets:
Banjo trade name	62,100		—		62,100			62,100		—		62,100
Akron Brass trade name	28,800		—		28,800			28,800		—		28,800
Total intangible assets	$	648,248	$	(226,020)	$	422,228		$	598,636	$	(210,605)	$	388,031

The Banjo trade name and the Akron Brass trade name are indefinite-lived intangible assets which are tested for impairment on an annual basis in accordance with ASC 350 or more frequently if events or changes in circumstances indicate that the assets might be impaired. In the first six months of 2020, there were no events or circumstances that would have required an interim impairment test on these indefinite-lived intangible assets. The Company uses the relief-from-royalty method, a form of the income approach, to determine the fair value of these trade names. The relief-from-royalty method is dependent on a number of significant management assumptions, including estimates of revenues, royalty rates and discount rates.

In the first six months of 2020, the outbreak of the novel coronavirus (“COVID-19”) resulted in government lockdown mandates globally that forced us to both reduce hours and temporarily close some facilities. These events required that an interim impairment test be performed on the definite-lived intangible assets at one of the Company’s businesses. The impairment test did not result in an impairment charge.

Amortization of intangible assets was $10.5 million and $20.0 million for the three and six months ended June 30, 2020, respectively. Amortization of intangible assets was $9.0 million and $18.0 million for the three and six months ended June 30, 2019, respectively. Based on the intangible asset balances as of June 30, 2020, amortization expense is expected to approximate $21.2 million for the remaining six months of 2020, $41.5 million in 2021, $39.6 million in 2022, $36.9 million in 2023 and $35.1 million in 2024.