On November 2, 2020, we sold DLS Worldwide, which was part of our broader Logistics business and a component of the Business Services reporting segment for $225.0 million cash, subject to a customary working capital adjustment and an escrow of $22.5 million. We entered into a transaction support agreement with the buyer to assist them in the transition of certain functions, including, but not limited to, information technology, finance, and HR. Further, we entered into several commercial agreements whereby we continue to receive logistics services from the divested business. Sales from the Logistics business to RRD previously eliminated in consolidation have been recast and are now shown as external sales within the financial results of discontinued operations below. The net sales were $38.7 million, $62.7 million and $106.0 million respectively for the twelve months ended December 31, 2020, 2019 and 2018.

On November 3, 2020 we sold International Logistics, also a portion of our broader Logistics business and a component of the Business Services reporting segment for $13.0 million cash, subject to a customary working capital adjustment.

The sale of these businesses is part of our strategy to exit non-core businesses in order to pursue portfolio optimization and to reduce debt. As part of this strategic shift, we previously sold Print Logistics in July 2018 and Courier Logistics in March 2020.

The after-tax net gain on sale of discontinued operations of $127.4 million for the period ended December 31, 2020 reflects the net gain on sale of DLS Worldwide, Courier, and International Logistics.

Beginning in the third quarter of 2020, we have reflected the Print Logistics business, the Logistics Courier business, the DLS Worldwide business, and the International Logistics business, as discontinued operations for all periods presented in the Consolidated Statements of Operations.

	Twelve Months Ended
	December 31,
	2020			2019			2018
Net sales	$	632.5		$	865.7		$	1,203.8
Cost of sales		(548.6	)		(758.7	)		(1,070.5	)
Selling, general, administrative and other operating expenses		(66.2	)		(95.1	)		(109.6	)
Restructuring, impairment and other expense		(21.1	)		(98.6	)		(0.2	)
Operating income (loss) from discontinued operations		(3.4	)		(86.7	)		23.5
Income tax expense		(0.9	)		1.7			3.2
Net income (loss) from discontinued operations	$	(2.5	)	$	(88.4	)	$	20.3

Restructuring, impairment, and other expenses included $20.6 million and $98.5 million of non-cash charges related to impairment of goodwill recorded in 2020 and 2019 respectively.

Our evaluation of goodwill for impairment involves the comparison of the fair value of each reporting unit to its carrying value. If the carrying value of a reporting unit exceeds its estimated fair value, an impairment loss is recognized equal to the excess, limited to the total amount of goodwill allocated to that reporting unit. The Company determines the fair value of its reporting units using a combination of comparable company market valuations and expected future discounted cash flows.

During the first quarter of 2020, we identified a triggering event at our Logistics reporting unit. We determined that the fair value of our Logistics reporting unit was lower than its carrying value, resulting in a goodwill impairment charge of $20.6 million. The goodwill impairment charge resulted from reductions in the estimated fair value for this reporting unit based on lower expectations for future revenue, profitability and cash flows driven by expected reduced demand due to the COVID-19 pandemic. The goodwill impairment charge was determined using discounted cash flow analysis and comparable marketplace fair value data which utilized Level 3 inputs including forecasted future revenue and the selection of the discount rate.

Assets and liabilities of discontinued operations presented in the Consolidated Balance Sheets as of December 31, 2019 include the following:

	December 31, 2019
Receivables, net of allowance	$	120.6
Operating lease right-of-use assets		8.8
Goodwill		53.3
Intangible assets, net		10.9
Other assets		7.0
Total assets of discontinued operations	$	200.6


Accounts payable	$	53.3
Accrued expenses and other liabilities		38.8
Total liabilities of discontinued operations	$	92.1