Company: SEAH
Filing Date: 2025-07-24
Form Type: DRS
Source: 0001213900-25-067275
Chunk: 70

Company: Seahawk Recycling Holdings, Inc.
Filing Date: 2025-07-24
Form: DRS
Chunk 70
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 equipment. The long -livedassets, except land, have a finite useful life, which is based on the management’s best estimation. The estimated useful lives are as follows:

| Category                 |     | Estimated useful lives |
| Buildings                |     | 3 – 46 years           |
| Automobiles              |     | 2 – 6 years            |
| Land                     |     | Infinite               |
| Tools                    |     | 5 – 8 years            |
| Patent                   |     | 10 years               |
| Trademark license rights |     | 10 years               |
| Software                 |     | 5 years                |

Fair value measurement Accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, we consider the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability.

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Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of inputs are: •Level 1 — Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets; •Level 2 — Include other inputs other than quoted prices in active market; and •Level 3 — Unobservable inputs which are supported by little or no market activity that are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. The fair value guidance describes three main approaches to measure the fair value of assets and liabilities: (1) market approach; (2) income approach and (3) cost approach. The market approach uses prices and other relevant information generated from market transactions involving identical or comparable assets or liabilities. The income approach uses valuation techniques to convert future amounts to a single present value amount. The measurement is based on the value indicated by current market expectations about those future amounts. The cost approach is based on the amount that would currently be required to replace an asset. When available, we use quoted market prices to determine the fair value of an asset or liability. If quoted market prices