GOODWILL |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| GOODWILL | GOODWILL Goodwill represents the excess of the purchase price over the fair value of net identifiable assets on acquisition of a business. The carrying value of goodwill is not amortized, rather it is assessed for impairment annually, or more frequently if events or changes in circumstances arise that suggest the carrying value of goodwill may be impaired. The Company performs its annual impairment test of the carrying value of goodwill on December 31 of each year.
Triggering events that potentially warrant an interim goodwill impairment test include, among other factors, declines in historical or projected revenue, operating income or cash flows, and sustained declines in the Company’s stock price or market capitalization, considered both in absolute terms and relative to peers.
Based on recent sustained declines in the trading price of the Company's common stock and other securities with an established trading market, the Company performed a Step 1 interim quantitative goodwill impairment test as of September 30, 2022 primarily using a market approach to determine the fair value of its reporting units. This test consisted of calculating fair value by utilizing observable market inputs and other qualitative factors associated with the Company's reporting units and its business activities and comparing that information to the current carrying value of the reporting units. As a result of this testing, the Company recorded a goodwill impairment charge of $16.2 million during the three months ended September 30, 2022, which was included as a discrete line item on the Consolidated Statement of Operations.
As of December 31, 2021, the gross carrying value and net carrying value of the goodwill was $16.2 million. As of September 30, 2022 the gross carrying value and the net carrying value of the goodwill was $0 following the $16.2 million impairment charge recorded during the three months ended September 30, 2022.
The following table identifies the changes in goodwill for the periods presented:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||