RECOGNIZED AMOUNTS OF IDENTIFIABLE ASSETS
ACQUIRED AND LIABILITIES ASSUMED:
Accounts receivable
$
Property, plant, and equipment
1,398
398
Intangible assets:
Customer relationships (amortized over 10 years)
4,581
Noncompete agreements (amortized over 6 years)
861
Trade name (amortized over 15 years)
1,148
Total identifiable net assets assumed
8,386
Goodwill
132
$
TOTAL
8,518
Goodwill consists of an assembled workforce and synergies and those cost reductions. Goodwill from this acquisition
is tax deductible. The Corporation incurred insignificant acquisition related costs.
Panhandle Power Solutions, LLC’s operating results from the date of acquisition are included in the consolidated
statement of operations in the Construction line of business.
(B) ENVIRONMENTAL RESOURCE SOLUTIONS, INC.
In November 2018, the Corporation acquired 100% of Environmental Resource Solutions, Inc., a construction company.
The following table summarizes the consideration paid for Environmental Resource Solutions, Inc. and the amounts of
estimated fair value of the assets acquired and liabilities assumed at the acquisition date (in thousands):
CONSIDERATION:
Cash
$
Holdback payable
1,457
420
Contingent consideration arrangement
1,120
2,997
FAIR VALUE OF TOTAL CONSIDERATION TRANSFERRED
RECOGNIZED AMOUNTS OF IDENTIFIABLE ASSETS
ACQUIRED AND LIABILITIES ASSUMED:
Accounts receivable
$
Property, plant, and equipment
583
171
Intangible assets:
Customer relationships (amortized over 10 years)
1,272
Accounts payable
(149)
Total identifiable net assets assumed 1,877
Goodwill 1,120
TOTAL
$
2,997
Goodwill consists of an assembled workforce and synergies and those cost reductions. Goodwill from this acquisition
is tax deductible. The Corporation incurred insignificant acquisition related costs.
Environmental Resource Solutions, Inc.’s operating results from the date of acquisition are included in the consolidated
statement of operations in the Construction line of business.
M anagement ' s D iscussion and A nalysis
55