Note 5 - Goodwill and Other Intangible Assets

6 Months Ended

Jun. 01, 2024

Goodwill and Intangible Assets Disclosure [Text Block]

Note 5: Goodwill and Other Intangible Assets

The goodwill activity by reportable segment for the six months ended June 1, 2024 is presented below:

	*Hygiene, Health*
	*and Consumable*			*Engineering*			*Construction*
	*Adhesives*			*Adhesives*			*Adhesives*		*Total*
Balance at December 2, 2023	$	402,598		$	651,145		$	432,769	$	1,486,512
Acquisitions	$	1,674		$	89,825		$	2,897		94,396
Foreign currency translation effect	$	(719	)	$	(1,999	)	$	107		(2,611	)
Balance at June 1, 2024	$	403,553		$	738,971		$	435,773	$	1,578,297

Balances of amortizable identifiable intangible assets, excluding goodwill and other non-amortizable intangible assets, are as follows:

June 1, 2024

Purchased

Technology

Customer

Amortizable Intangible Assets

and Patents

Relationships

Trade Names

Other

Total

Original cost

144,456

1,068,558

62,944

9,887

1,285,845

Accumulated amortization

(52,568

)

(387,964

)

(26,320

)

(6,402

)

(473,254

)

Net identifiable intangibles

91,888

680,594

36,624

3,485

812,591

	*December 2, 2023*
	*Purchased*
	*Technology*			*Customer*
Amortizable Intangible Assets	*and Patents*			*Relationships*			*Trade Names*			*Other*			*Total*
Original cost	$	144,763		$	986,470		$	58,484		$	10,911		$	1,200,628
Accumulated amortization		(59,631	)		(382,220	)		(23,099	)		(7,012	)		(471,962	)
Net identifiable intangibles	$	85,132		$	604,250		$	35,385		$	3,899		$	728,666

Amortization expense with respect to amortizable intangible assets was $19,219 and $19,130 for the three months ended June 1, 2024 and June 3, 2023, respectively, and was $39,574 and $37,813 for the six months ended June 1, 2024 and June 3, 2023

Estimated aggregate amortization expense based on the current carrying value of amortizable intangible assets for the next five fiscal years is as follows:

	*Remainder*
Fiscal Year	*2024*		*2025*		*2026*		*2027*		*2028*		*Thereafter*
Amortization expense	$	40,716	$	87,399	$	80,670	$	77,359	$	77,103	$	449,344

The above amortization expense forecast is an estimate. Actual amounts may change from such estimated amounts due to fluctuations in foreign currency exchange rates, additional intangible asset acquisitions, potential impairment, accelerated amortization or other events.

Non-amortizable intangible assets as of June 1, 2024 and December 2, 2023 were $472 and $474, respectively, and relate to trademarks and trade names. The change in non-amortizable assets as of June 1, 2024 compared to December 2, 2023 was due to changes in foreign currency exchange rates.