Note 12 - Goodwill and Other Assets

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Goodwill and Intangible Assets Disclosure [Text Block]

Note 12. Goodwill and Other Assets

 

On July 3, 2018, we acquired 100% of the outstanding stock of Landair Holdings, Inc., a Tennessee corporation (“Landair”). Landair is a dedicated and for-hire truckload carrier, as well as a supplier of transportation management, warehousing and logistics inventory management services. Landair’s results have been included in the consolidated financial statements since the date of acquisition. Landair’s trucking operations’ results are reported within our Dedicated reportable segment, while Landair’s logistics operations’ results are reported within our Managed Freight and Warehousing reportable segments.

There was no change to the gross amount of identifiable intangible assets during the nine months ended September 30, 2021. At the end of its useful life, the Landair trade name will have a residual value of $0.5 million. Amortization expense of $3.5 million and $3.9 million for the nine months ended September 30, 2021 and 2020, respectively, was included in depreciation and amortization in the condensed consolidated statements of operations.

A summary of other intangible assets as of  September 30, 2021 and  December 31, 2020 is as follows:

(in thousands)	September 30, 2021
	Gross intangible assets		Accumulated amortization			Net intangible assets		Remaining life (months)
Trade name:
Dedicated	$	2,402	$	(2,130	)	$	272
Managed Freight		999		(885	)		114
Warehousing		999		(885	)		114
Total trade name		4,400		(3,900	)		500		-
Customer relationships:
Dedicated		14,072		(3,811	)		10,261
Managed Freight		1,692		(458	)		1,234
Warehousing		12,436		(3,368	)		9,068
Total customer relationships:		28,200		(7,637	)		20,563		105
Total other intangible assets	$	34,000	$	(12,937	)	$	21,063

(in thousands)	December 31, 2020
	Gross intangible assets		Accumulated amortization			Net intangible assets		Remaining life (months)
Trade name:
Dedicated	$	2,402	$	(1,204	)	$	1,198
Managed Freight		999		(501	)		498
Warehousing		999		(501	)		498
Total trade name		4,400		(2,206	)		2,194		9
Customer relationships:
Dedicated		14,072		(2,931	)		11,141
Managed Freight		1,692		(354	)		1,338
Warehousing		12,436		(2,591	)		9,845
Total customer relationships:		28,200		(5,876	)		22,324		114
Total other intangible assets	$	34,000	$	(9,482	)	$	24,518

The carrying amount of goodwill was $42.5 million at September 30, 2021 and December 31, 2020, respectively.