Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2021

Goodwill And Intangible Assets Disclosure [Abstract]

4. Goodwill and Other Intangible Assets

The changes in the carrying value of goodwill for the years ended December 31, 2021 and 2020, were as follows:

(In thousands)	Surfactants Segment						Polymer Segment					Specialty Products Segment				Total
	2021			2020			2021			2020		2021		2020		2021			2020
Balance as of January 1
Goodwill	$	25,537		$	23,664		$	5,419		$	5,406	$	483	$	483	$	31,439		$	29,553
Accumulated impairment loss		(3,467	)		(3,467	)		—			—		—		—		(3,467	)		(3,467	)
Goodwill, net		22,070			20,197			5,419			5,406		483		483		27,972			26,086
Goodwill acquired ⁽¹⁾		—			4,225			72,467			—		—		—		72,467			4,225
Goodwill measurement period adjustment ⁽¹⁾		940			(336	)		—			—		—		—		940			(336	)
Foreign currency translation		(788	)		(2,016	)		(3,404	)		13		—		—		(4,192	)		(2,003	)
Balance as of December 31
Goodwill		25,689			25,537			74,482			5,419		483		483		100,654			31,439
Accumulated impairment loss		(3,467	)		(3,467	)		—			—		—		—		(3,467	)		(3,467	)
Goodwill, net	$	22,222		$	22,070		$	74,482		$	5,419	$	483	$	483	$	97,187		$	27,972

(1)	See Note 20, Acquisitions, of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for information regarding the goodwill acquired in a business combination.

The Company tests its goodwill balances for impairment in the second quarter of each calendar year. The 2021 and 2020 tests indicated no impairment.

The following table presents the components of other intangible assets, all of which have finite lives, as of December 31, 2021 and 2020. The year-over-year changes in gross carrying values mainly resulted from acquisitions that took place in 2021 and the effects of foreign currency translation.

(In thousands)	Gross Carrying Value				Accumulated Amortization
	December 31				December 31
	2021		2020		2021		2020
Other Intangible Assets:
Patents ⁽²⁾	$	7,411	$	7,411	$	6,139	$	5,713
Non-compete agreements ⁽²⁾		594		623		404		270
Trademarks ⁽²⁾		12,013		4,087		4,160		2,905
Customer lists/relationships ⁽²⁾		44,447		21,424		9,557		6,842
Supply contract		1,472		1,579		1,472		1,579
Know-how ⁽¹⁾⁽²⁾		27,029		14,183		10,450		7,930
Total	$	92,966	$	49,307	$	32,182	$	25,239

(1)

Know-how includes intellectual property rights covering proprietary information, written formulae, trade secrets or secret processes, inventions and developmental products (whether patentable or not), discoveries, improvements, compositions, manufacturing processes, manuals, specifications and technical data

(2)

The 2020 balances include intangible assets acquired as part of the Company’s Clariant (Mexico) and Logos Technologies acquisitions in 2020. The 2021 balances include intangible assets acquired as part of the Company’s INVISTA acquisition in January 2021. See Note 20, Acquisitions, of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for additional details.

Aggregate amortization expense for the years ended December 31, 2021, 2020 and 2019, was $7,292,000, $3,621,000, and $3,399,000, respectively. Estimated amortization expense for identifiable intangibles assets for each of the five succeeding fiscal years is as follows:

(In thousands)
For year ended 12/31/22	$	6,918
For year ended 12/31/23		6,891
For year ended 12/31/24		6,609
For year ended 12/31/25		6,168
For year ended 12/31/26		5,845