Danimer Scientific Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Property, Plant and Equipment

Property, Plant and Equipment

3 Months Ended

Mar. 31, 2021

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment, net

Note 4. Property, Plant and Equipment

Property, plant and equipment, net, consisted of the following:


	Estimated
	Useful Life	March 31,			December 31,
(in thousands)	(Years)	2021			2020
Land and improvements	20	$	92		$	92
Leasehold improvements	Shorter of useful life or lease term		20,932			20,932
Buildings	15-40		2,089			2,089
Machinery and equipment	5-20		66,881			64,164
Motor vehicles	7-10		825			693
Furniture and fixtures	7-10		226			221
Office equipment	3-10		2,100			2,089
Construction in progress	N/A		58,037			36,146
			151,182			126,426

Accumulated depreciation and amortization			(21,605	)		(19,631	)
Property, plant and equipment, net		$	129,577		$	106,795

We reported depreciation and amortization expense (which includes amortization of patents) within the Condensed Consolidated Statements of Operations as follows:


	Three Months Ended March 31,
(in thousands)	2021		2020
Cost of revenue	$	1,839	$	683
Selling, general and administrative		96		29
Research and development		165		158
Total depreciation and amortization expense	$	2,100	$	870

Construction in progress consists primarily of the conversion and build-out of our new facility in Winchester, Kentucky. Property, plant and equipment includes capitalized interest of $5.3 million and $5.1 million as of March 31, 2021 and December 31, 2020, respectively. For the three months ended March 31, 2021 and 2020, interest costs of $0.2 million and $0.8 million, respectively, were capitalized to property, plant and equipment. At March 31, 2021 and December 31, 2020, prepaid expenses and other current assets included $0.8 million of equipment that we have classified as held for sale. This equipment was sold in April 2021 for its carrying value.