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Intangible Contract Assets and Liabilities
 3 Months Ended
Mar. 31, 2020
Revenue Recognition [Abstract]  
Intangible Contract Assets and Liabilities Intangible Contract Assets and Liabilities
The Company has recorded intangible assets and liabilities to reflect the fair value of certain U.S. coal supply agreements as a result of differences between contract terms and estimated market terms for the same coal products and also recorded intangible liabilities related to unutilized capacity under its port and rail take-or-pay contracts. The balances, net of accumulated amortization, and respective balance sheet classifications at March 31, 2020 and December 31, 2019, are set forth in the following tables:
 
March 31, 2020
 
Assets
 
Liabilities
 
Net Total
 
(Dollars in millions)
Coal supply agreements
$
16.8

 
$
(19.9
)
 
$
(3.1
)
Take-or-pay contracts
—

 
(32.9
)
 
(32.9
)
Total
$
16.8

 
$
(52.8
)
 
$
(36.0
)
 
 
 
 
 
 
Balance sheet classification:
 
 
 
 
 
Investments and other assets
$
16.8

 
$
—

 
$
16.8

Accounts payable and accrued expenses
—

 
(5.9
)
 
(5.9
)
Other noncurrent liabilities
—

 
(46.9
)
 
(46.9
)
Total
$
16.8

 
$
(52.8
)
 
$
(36.0
)
 
 
 
 
 
 
 
December 31, 2019
 
Assets
 
Liabilities
 
Net Total
 
(Dollars in millions)
Coal supply agreements
$
20.7

 
$
(21.4
)
 
$
(0.7
)
Take-or-pay contracts
—

 
(40.0
)
 
(40.0
)
Total
$
20.7

 
$
(61.4
)
 
$
(40.7
)
 
 
 
 
 
 
Balance sheet classification:
 
 
 
 
 
Investments and other assets
$
20.7

 
$
—

 
$
20.7

Accounts payable and accrued expenses
—

 
(8.4
)
 
(8.4
)
Other noncurrent liabilities
—

 
(53.0
)
 
(53.0
)
Total
$
20.7

 
$
(61.4
)
 
$
(40.7
)

Amortization of the intangible assets and liabilities related to coal supply agreements occurs ratably based upon coal volumes shipped per contract and is recorded as a component of “Depreciation, depletion and amortization” in the accompanying unaudited condensed consolidated statements of operations. Such amortization amounted to $2.4 million and $4.8 million during the three months ended March 31, 2020 and 2019, respectively. The Company anticipates net amortization of sales contracts, based upon expected shipments, to be an expense of approximately $5 million during the remaining nine months of 2020, expense of approximately $1 million for the year 2021 and credits of approximately $2 million per year for the years 2022 through 2024, and $3 million in total thereafter.
Future unutilized capacity and the amortization periods related to the take-or-pay contract intangible liabilities are based upon estimates of forecasted usage. Such amortization, which is classified as a reduction to “Operating costs and expenses” in the accompanying unaudited condensed consolidated statements of operations, amounted to $2.6 million and $5.6 million during the three months ended March 31, 2020 and 2019, respectively. The Company anticipates net amortization of take-or-pay contract intangible liabilities to be approximately $5 million during the remaining nine months of 2020, and for the years 2021 through 2024 to be approximately $4 million, $3 million, $2 million and $3 million, respectively, and $16 million thereafter.