Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The following table represents the changes in goodwill by segment:


	Cryo Tank Solutions		Heat Transfer Systems		Specialty Products		Repair, Service & Leasing		Consolidated
Balance at December 31, 2021	$	84.9	$	433.6	$	300.9	$	175.2	$	994.6
Goodwill acquired during the period (1)	—		—		15.3		3.8		19.1
Foreign currency translation adjustments and other	(13.8)		(7.5)		(0.1)		(0.7)		(22.1)
Purchase price adjustments (2)	—		—		(14.3)		—		(14.3)
Balance at September 30, 2022	$	71.1	$	426.1	$	301.8	$	178.3	$	977.3

Accumulated goodwill impairment loss at December 31, 2021	$	23.5	$	49.3	$	35.8	$	20.4	$	129.0
Impairment loss	—		—		—		—		—
Accumulated goodwill impairment loss at September 30, 2022	$	23.5	$	49.3	$	35.8	$	20.4	$	129.0

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(1)Goodwill acquired during the period was $19.1. Goodwill acquired during the period for the Fronti and AdEdge India acquisitions of $14.2 and $1.1, respectively, was allocated to our Specialty Products segment. Goodwill acquired during the period for our CSC acquisition of $3.8 was allocated to our Repair, Service & Leasing segment.

(2)During the first nine months of 2022, we recorded purchase price adjustments that decreased goodwill by $14.3 in our Specialty Products segment related to the Earthly Labs, Inc., L.A. Turbine and AdEdge acquisitions. For further information regarding goodwill acquired and the purchase price adjustments during the period refer to Note 10, “Business Combinations.”

Intangible Assets

The following table displays the gross carrying amount and accumulated amortization for finite-lived intangible assets and indefinite-lived intangible assets (exclusive of goodwill) (1):


		September 30, 2022				December 31, 2021
	Weighted-average Estimated Useful Life	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Finite-lived intangible assets:
Customer relationships	13 years	$	307.6	$	(97.4)	$	312.1	$	(82.2)
Unpatented technology	13 years	197.5		(41.2)		184.6		(30.1)
Patents and other	6 years	6.7		(1.8)		7.9		(2.3)
Trademarks and trade names	15 years	2.8		(1.8)		3.5		(1.8)
Land use rights	50 years	10.2		(1.6)		11.4		(1.6)
Total finite-lived intangible assets	14 years	524.8		(143.8)		519.5		(118.0)
Indefinite-lived intangible assets:
Trademarks and trade names (2)		154.5		—		154.6		—
Total intangible assets		$	679.3	$	(143.8)	$	674.1	$	(118.0)

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(1)Amounts include the impact of foreign currency translation. Fully amortized or impaired amounts are written off.

(2)Accumulated indefinite-lived intangible assets impairment loss was $16.0 at both September 30, 2022 and December 31, 2021.

Amortization expense for intangible assets subject to amortization was $10.6 and $10.1 for the three months ended September 30, 2022 and 2021, respectively, and $32.4 and $28.5 for the nine months ended September 30, 2022 and 2021, respectively. We estimate amortization expense to be recognized during the next five years as follows:


For the Year Ending December 31,
2022	$	43.2
2023	42.9
2024	41.7
2025	40.8
2026	40.2

Government Grants

During the fourth quarter of 2021, we were selected by the U.S. Department of Energy (“DOE”) for funding of up to $5.0 million to engineer and build our Cryogenic Carbon CaptureTM system for a cement plant. During the project’s duration, the DOE shall reimburse us in cash for approved expenses we incur. This project began on February 1, 2022, at which point expenses incurred may be submitted for reimbursement. The agreement will be effective until April 30, 2025. We have not yet received any funding for this grant.

We received certain government grants related to land use rights for capacity expansion in China (“China Government Grants”). China Government Grants are generally recorded in other current liabilities and other long-term liabilities in the unaudited condensed consolidated balance sheets and generally recognized into income over the useful life of the associated assets (10 to 50 years).

China Government Grants are presented in our unaudited condensed consolidated balance sheets as follows:


	September 30, 2022		December 31, 2021
Current	$	0.5	$	0.5
Long-term	6.1		7.0
Total China Government Grants	$	6.6	$	7.5

We also received government grants from certain local jurisdictions within the United States, which are recorded in other assets in the condensed consolidated balance sheets and were not significant for the periods presented.