Business Combinations (Notes)

12 Months Ended

Dec. 31, 2016

Business Combinations [Abstract]

Business Combination Disclosure [Text Block]

Business Combinations

Thermax Acquisition

On July 1, 2015, the Company acquired 100% of the equity interests of Thermax, Inc. (“Thermax”) for an estimated purchase price of $29,687 after working capital adjustments, of which $24,197 was paid at closing (net of $2,307 in cash acquired). The purchase price was subject to post-closing adjustments. As a result of these post-closing adjustments, the final working capital adjustment of $1,383 was paid during the second quarter of 2016. The remainder of the purchase price represents the estimated fair value of the contingent consideration to be paid over four years based on the achievement of certain earnings targets. The fair value of the net assets acquired and goodwill at the date of acquisition was $19,332 and $10,355, respectively. Net assets includes $10,000 in intangible assets, which consists of customer relationships, unpatented technology and trademarks and trade names.

Thermax, headquartered in Dartmouth, Massachusetts, designs and sells cryogenic fluid vaporizers and other ambient and powered vaporizer products used in industrial gas, petrochemical, and liquefied natural gas applications. Thermax’s results are included in the Company’s D&S business segment from the date of acquisition.

Contingent Consideration

The estimated fair value of contingent consideration relating to the Thermax acquisition was $1,800 at the date of acquisition and was valued according to a discounted cash flow approach, which includes assumptions regarding the probability of achieving certain earnings targets and a discount rate applied to the potential payments. Potential payments may be paid between July 1, 2017 and July 1, 2019 based on the attainment of certain earnings targets. The potential payment related to Thermax contingent consideration is between $0 and $11,288.

The potential contingent consideration related to a prior BioMedical segment acquisition expired at the end of March 2016 with no additional payment.

Valuations are performed using Level 3 inputs as defined in Note 11 and are evaluated on a quarterly basis based on forecasted sales and earnings targets. Contingent consideration liabilities are classified as other current liabilities and other long-term liabilities in the consolidated balance sheets. Changes in fair value of contingent consideration, including accretion, are recorded as selling, general and administrative expenses in the consolidated statements of operations and comprehensive income (loss).

The following table represents the changes in contingent consideration liabilities by segment:

	Distribution & Storage			BioMedical			Total
Balance at January 1, 2014	$	—		$	2,289		$	2,289
Decrease in fair value of contingent consideration liabilities	—			(474		)	(474		)
Payment of contingent consideration	—			(741		)	(741		)
Balance at December 31, 2014	—			1,074			1,074
Fair value of contingent consideration at inception	1,800			—			1,800
Decrease in fair value of contingent consideration liabilities	(39		)	(463		)	(502		)
Payment of contingent consideration	—			(611		)	(611		)
Balance at December 31, 2015	1,761			—			1,761
Increase in fair value of contingent consideration liabilities	162			—			162
Balance at December 31, 2016	$	1,923		$	—		$	1,923