Goodwill and Other Intangible Assets

12 Months Ended

Sep. 30, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

3.	Goodwill and Other Intangible Assets

Included on the Company’s Consolidated Balance Sheets at September 30, 2017 and 2016 are the following intangible assets gross carrying amounts and accumulated amortization:

(Dollars in millions)	2017		2016
Goodwill	$	377.9		323.6

Intangible assets with determinable lives:
Patents
Gross carrying amount	$	1.0		1.0
Less: accumulated amortization		0.8		0.8
Net	$	0.2		0.2

Capitalized software
Gross carrying amount	$	63.0		54.0
Less: accumulated amortization		34.4		26.7
Net	$	28.6		27.3

Customer Relationships
Gross carrying amount	$	181.9		111.9
Less: accumulated amortization		37.4		28.6
Net	$	144.5		83.3

Other
Gross carrying amount	$	5.4		2.8
Less: accumulated amortization		1.4		0.9
Net	$	4.0		1.9
Intangible assets with indefinite lives:
Trade names	$	173.8		119.1

The Company performed its annual evaluation of goodwill and intangible assets for impairment during the fourth quarter of 2017 and concluded no impairment existed at September 30, 2017 and there are no accumulated impairment losses as of September 30, 2017.

The changes in the carrying amount of goodwill attributable to each business segment for 2017 and 2016 are as follows:

							Technical
(Dollars in millions)	Filtration		Test		USG		Packaging		Total
Balance as of September 30, 2015	$	26.0		34.2		226.2		4.8		291.2
Acquisition activity		17.9		–		–		14.5		32.4
Foreign currency translation and other		–		(0.1)		–		0.1		–
Balance as of September 30, 2016		43.9		34.1		226.2		19.4		323.6
Acquisition activity		29.8		–		23.6		–		53.4
Foreign currency translation and other		–		–		0.4		0.5		0.9
Balance as of September 30, 2017	$	73.7		34.1		250.2		19.9		377.9

Amortization expense related to intangible assets with determinable lives was $16.3 million, $11.6 million and $8.9 million in 2017, 2016 and 2015, respectively. Patents are amortized over the life of the patents, generally 17 years. Capitalized software is amortized over the estimated useful life of the software, generally three to seven years. Customer relationships are generally amortized over fifteen to twenty years. Intangible asset amortization for fiscal years 2018 through 2022 is estimated at approximately $20 million per year.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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