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Note 11 - Business Segments
3 Months Ended
Mar. 31, 2017
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]
(11)
  Business Segments
 
We aggregate our
five
current operating segments into
four
reporting segments (Truckload, Dedicated, Intermodal and Brokerage) for financial reporting purposes.
 
The primary source of our operating revenue is provided by our Truckload segment through a combination of regional short-haul and medium-to-long-haul full-load transportation services. We transport food and other consumer packaged goods that require a temperature-controlled or insulated environment, along with dry freight, across the United States and into and out of Mexico and Canada.
 
Our Dedicated segment provides customized transportation solutions tailored to meet individual customers’ requirements, utilizing temperature-controlled trailers, dry vans and other specialized equipment within the United States. Our customer contracts range from
three
to
five
years and are subject to annual rate reviews.
 
Our Intermodal segment transports our customers’ freight within the United States utilizing our temperature-controlled trailers on railroad flatcars for portions of trips, with the balance of the trips using our tractors or, to a lesser extent, contracted carriers.
 
Our Brokerage segment develops contractual relationships with and arranges for
third
-party carriers to transport freight for our customers in temperature-controlled trailers and dry vans within the United States and into and out of Mexico through Marten Transport Logistics, LLC, which was established in
2007
and operates pursuant to brokerage authority granted by the DOT. We retain the billing, collection and customer management responsibilities.
 
The following table sets forth for the periods indicated our operating revenue and operating income by segment. We do not prepare separate balance sheets by segment and, as a result, assets are not separately identifiable by segment.
 
   
Three Months
 
   
Ended March 31,
 
(
Dollars in thousands
)
 
2017
   
2016
 
Operating revenue:
               
Truckload revenue, net of fuel surcharge revenue
  $
84,811
    $
82,942
 
Truckload fuel surcharge revenue
   
10,847
     
7,112
 
Total Truckload revenue
   
95,658
     
90,054
 
                 
Dedicated revenue, net of fuel surcharge revenue
   
36,899
     
35,510
 
Dedicated fuel surcharge revenue
   
3,378
     
1,587
 
Total Dedicated revenue
   
40,277
     
37,097
 
                 
Intermodal revenue, net of fuel surcharge revenue
   
16,811
     
15,854
 
Intermodal fuel surcharge revenue
   
2,375
     
1,347
 
Total Intermodal revenue
   
19,186
     
17,201
 
                 
Brokerage revenue
   
18,038
     
17,577
 
Total operating revenue
  $
173,159
    $
161,929
 
                 
Operating income:
               
Truckload
  $
5,974
    $
6,940
 
Dedicated
   
4,487
     
4,324
 
Intermodal
   
2,149
     
1,929
 
Brokerage
   
1,328
     
932
 
Total operating income
  $
13,938
    $
14,125
 
 
 
Truckload segment depreciation expense was
$14.6
million and
$13.7
million, Dedicated segment depreciation expense was
$5.3
million and
$5.0
million, Intermodal segment depreciation expense was
$1.1
million and
$941,000,
and Brokerage segment depreciation expense was
$334,000
and
$481,000,
in the
three
-month periods ended
March
31,
2017
and
2016,
respectively.