Acquisition (Tables)

12 Months Ended

Dec. 31, 2019

The following is the allocation of the purchase price:

(Dollars in thousands)
Estimated purchase price
Cash consideration	$	703,000
Non-controlling interest		63,200
Preliminary purchase price allocation
Cash and cash equivalents		12,296
Accounts receivable		60,580
Inventories		83,901
Prepaid expenses and other current assets		11,859
Total current assets		168,636
Property and equipment		259,784
Intangible assets		205,000
Goodwill		286,249
Other assets		32,987
Total assets acquired		952,656
Accounts payable		61,883
Other current liabilities		40,903
Total current liabilities		102,786
Other long-term liabilities		83,670
Total liabilities assumed		186,456
Net assets acquired	$	766,200

Acquired intangible assets were recorded at estimated fair value, as determined through the use of the income approach, specifically the relief from royalty and multi-period excess earnings methods. The major assumptions used in arriving at the estimated identifiable intangible asset values included estimates of future cash flows, discounted at an appropriate rate of return which are based on the weighted average cost of capital for both the Company and other market participants. The useful lives for intangible assets were determined based upon the remaining useful economic lives of the intangible assets that are expected to contribute directly or indirectly to our future cash flows. The estimated fair value of intangible assets and related useful lives as included in the purchase price allocation are as follows:

	Estimated Fair Value		Estimated Useful Life (in Years)
(Dollars in thousands)
Brand name	$	9,000	4-6
Technology		15,000	4-6
Customer relationships		167,000	7-11
Trade names		14,000	Indefinite
	$	205,000

Summary of Unaudited Pro Forma Information

The following unaudited combined pro forma information is for informational purposes only. The pro forma information is not necessarily indicative of what the combined Company’s results actually would have been had the acquisition been completed as of the beginning of the periods as indicated. In addition, the unaudited pro forma information does not purport to project the future results of the combined Company.

	Twelve Months Ended
	December 31, 2017
	Proforma
(Dollars in thousands)
Proforma combined sales	$	1,351,799
Proforma net income	$	17,692