Company: LPX
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0000060519-25-000005
Chunk: 87

Company: LOUISIANA-PACIFIC CORP
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 87
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)Balance at December 31, 202325 7 — 32 Additions1 — — 1 Amortization(3)(1)— (3)Balance at December 31, 2024$23 $7 $— $30 1Timber licenses are included in timber and timberlands on the Consolidated Balance Sheets.The Company’s goodwill and other intangible assets are evaluated for impairment annually during the fourth quarter or more frequently if events indicate the carrying value of a reporting unit may not be recoverable. For the year ended December 31, 2024, we did not recognize impairment for goodwill or other intangible assets. During the year ended December 31, 2023, we recorded impairment charges of $9 million related to developed technology and trademarks related to Entekra, which is discussed further in “Note 7 - Business Exit Credits and Charges.”Included in the balance of timber licenses are values allocated to Canadian forest licenses whose initial value of $69 million is amortized over the estimated useful life of 20 to 25 years. Amortization expense related to definite-lived intangible assets was $3 million for the year ended December 31, 2024 and $4 million and $5 million for the years ended December 31, 2023 and 2022, respectively.Amortization of the above-described intangible assets will be $3 million per year over the next five years.

6.    DISCONTINUED OPERATIONS

Engineered Wood Products (EWP)In March 2022, the Company sold its 50% equity interest in two joint ventures that produce I-joists to Resolute Forest Products Inc. for $59 million. The total net carrying value of our equity method investment at the date of sale was $19 million, and the Company recognized a gain associated with the sale of $39 million within Income from discontinued operations, net of income taxes in the Consolidated Statements of Income. On August 1, 2022, the Company completed the sale of the assets related to the EWP segment. As a result of the sale, the Company received $217 million in gross cash proceeds after taking into account working capital adjustments. The Company paid $12 million in direct transaction costs, resulting in net proceeds of $205 million. The net carrying value of the EWP assets at the time of sale was $87 million, which resulted in a pre-tax gain