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Goodwill
 12 Months Ended
Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL GOODWILL
The carrying amount of goodwill attributable to each reportable business segment with changes therein was as follows:
 
 
Fleet
Management
Solutions
 
Supply Chain Solutions
 
Dedicated Transportation Solutions
 
Total
 
 
(In thousands)
Balance at January 1, 2018
 
$
226,854

 
$
127,842

 
$
40,808

 
$
395,504

Acquisitions (1)
 
32,266

 
63,424

 
—

 
95,690

Impairment
 
(15,513
)
 
—

 
—

 
(15,513
)
Foreign currency translation adjustment
 
(1
)
 
(474
)
 
—

 
(475
)
Balance at December 31, 2018
 
243,606

 
190,792

 
40,808

 
475,206

Foreign currency translation adjustment
 
96

 
(277
)
 
—

 
(181
)
Balance at December 31, 2019 (2)
 
$
243,702

 
$
190,515

 
$
40,808

 
$
475,025


———————————
(1)
See Note 3, "Acquisitions," for additional information.
(2)
Accumulated impairment losses were $45 million as of both December 31, 2019 and 2018.
We assess goodwill for impairment on October 1st of each year or more often if deemed necessary. In the third quarter of 2019, we performed an interim impairment test of our FMS North America reporting unit (“FMS NA”) as a result of the decline in market conditions and our updated outlook primarily in the used vehicle market, which negatively affects our forecasted cash flows from the sale of used vehicles. Our valuation of fair value for FMS NA was determined based on a discounted future cash flow model (income approach) and the application of current market multiples for comparable publicly-traded companies (market approach). Based on our analysis, we determined that FMS NA goodwill was not impaired as of September 30, 2019. The estimated fair value of the FMS NA reporting unit exceeded its carrying value by approximately 5% as of September 30, 2019.
As a result of a revised forecast and outlook for the FMS NA reporting unit as of December 31, 2019, we performed an additional impairment test. Based on our analysis, we determined that FMS NA goodwill was not impaired as of December 31, 2019. However, the fair value of FMS NA was not substantially in excess of its carrying value. The estimated fair value of the FMS NA reporting unit exceeded its carrying value by approximately 15% as of December 31, 2019.
The increase in the estimated fair value of FMS NA in excess of its carrying value as compared to September 30, 2019 is due to improved estimated future cash flows from management actions which moderate future ChoiceLease growth assumptions, lower expected future capital expenditures and improve future profit margins.
Given this level of fair value, in the event the financial performance of FMS NA does not meet our expectations in the future; we experience future prolonged market downturns, including in the used vehicle market or a sustained decline in our stock price; or other negative revisions to key assumptions, we may be required to perform additional impairment analyses and could be required to recognize a non-cash goodwill impairment charge. Subsequent to December 31, 2019, we experienced a
decline in our market capitalization and if this decline continues for a sustained period of time, we may also be required to perform additional impairment analyses and could be required to recognize a non-cash goodwill impairment charge. As of December 31, 2019, there was $244 million of goodwill recorded related to FMS NA.
On October 1, 2019, we completed our annual goodwill impairment test for our SCS and DTS related reporting units and determined there were no impairments.
During the first quarter of 2018, we recorded an impairment charge of $16 million for all goodwill in the FMS Europe reporting unit. This item was reflected within "Restructuring and other items, net" in our Consolidated Statements of Earnings.