| GOODWILL AND INTANGIBLE ASSETS |
7. GOODWILL AND INTANGIBLE ASSETS
Goodwill
A summary of changes in goodwill by segment for the years ended December 29, 2018 and December 30, 2017 is as follows:
|
|
|
Hydraulics
|
|
|
Electronics
|
|
|
Total
|
|
|
Balance as December 31, 2016
|
|
$
|
2,214
|
|
|
$
|
101,369
|
|
|
$
|
103,583
|
|
|
Working capital adjustment, Enovation Controls acquisition
|
|
|
—
|
|
|
|
500
|
|
|
|
500
|
|
|
Measurement period adjustment, Enovation Controls acquisition
|
|
|
—
|
|
|
|
4,504
|
|
|
|
4,504
|
|
|
Currency translation
|
|
|
282
|
|
|
|
—
|
|
|
|
282
|
|
|
Balance as December 30, 2017
|
|
$
|
2,496
|
|
|
$
|
106,373
|
|
|
$
|
108,869
|
|
|
Acquisition of Faster
|
|
|
288,792
|
|
|
|
—
|
|
|
|
288,792
|
|
|
Acquisition of Custom Fluidpower
|
|
|
5,111
|
|
|
|
—
|
|
|
|
5,111
|
|
|
Currency translation
|
|
|
(19,641
|
)
|
|
|
—
|
|
|
|
(19,641
|
)
|
|
Balance as December 29, 2018
|
|
$
|
276,758
|
|
|
$
|
106,373
|
|
|
$
|
383,131
|
|
Intangibles
At December 29, 2018, and December 30, 2017, intangible assets consisted of the following:
|
|
|
|
|
December 29, 2018
|
|
|
December 30, 2017
|
|
|
|
|
Useful life (years)
|
|
Gross carrying
amount
|
|
|
Accumulated
amortization
|
|
|
Net carrying
amount
|
|
|
Gross carrying
amount
|
|
|
Accumulated
amortization
|
|
|
Net carrying
amount
|
|
|
Definite-lived intangibles:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade names and brands
|
|
10-20
|
|
$
|
56,604
|
|
|
$
|
(4,712
|
)
|
|
$
|
51,892
|
|
|
$
|
30,774
|
|
|
$
|
(2,115
|
)
|
|
$
|
28,659
|
|
|
Non-compete agreements
|
|
5
|
|
|
950
|
|
|
|
(396
|
)
|
|
|
554
|
|
|
|
950
|
|
|
|
(206
|
)
|
|
|
744
|
|
|
Technology
|
|
7 - 13
|
|
|
32,004
|
|
|
|
(5,488
|
)
|
|
|
26,516
|
|
|
|
18,435
|
|
|
|
(2,671
|
)
|
|
|
15,764
|
|
|
Supply agreement
|
|
10
|
|
|
21,000
|
|
|
|
(4,375
|
)
|
|
|
16,625
|
|
|
|
21,000
|
|
|
|
(2,275
|
)
|
|
|
18,725
|
|
|
Sales order backlog
|
|
1
|
|
|
7,355
|
|
|
|
(7,355
|
)
|
|
|
—
|
|
|
|
620
|
|
|
|
(620
|
)
|
|
|
—
|
|
|
Customer relationships
|
|
15 - 26
|
|
|
232,275
|
|
|
|
(10,168
|
)
|
|
|
222,107
|
|
|
|
39,751
|
|
|
|
(2,607
|
)
|
|
|
37,144
|
|
|
Licensing agreement
|
|
15
|
|
|
3,716
|
|
|
|
(862
|
)
|
|
|
2,854
|
|
|
|
3,716
|
|
|
|
(621
|
)
|
|
|
3,095
|
|
|
|
|
|
|
$
|
353,904
|
|
|
$
|
(33,356
|
)
|
|
$
|
320,548
|
|
|
$
|
115,246
|
|
|
$
|
(11,115
|
)
|
|
$
|
104,131
|
|
Total amortization expense for the years ended 2018, 2017 and 2016 was approximately $23,262, $8,423 and $1,545, respectively. Total estimated amortization expense for the years 2019 through 2023 is presented below.
|
Year:
|
|
|
|
|
|
2019
|
|
$
|
18,377
|
|
|
2020
|
|
|
18,344
|
|
|
2021
|
|
|
18,243
|
|
|
2022
|
|
|
17,980
|
|
|
2023
|
|
|
17,921
|
|
|
Total
|
|
$
|
90,865
|
|
|