Expenses:



For the years ended December 31	2019		2018
			(As restated - note 25)
Cost of sales	$	2,570,840	$	3,128,237
Selling and distribution	498,738		464,474
Administrative expenses	74,486		60,367
Total expenses by function	$	3,144,064	$	3,653,078

Cost of raw materials and purchased methanol	$	2,169,027	$	2,742,370
Ocean freight and other logistics	334,650		399,293
Employee expenses, including share-based compensation	184,171		182,519
Other expenses	112,089		83,593
Cost of sales and operating expenses ¹	2,799,937		3,407,775
Depreciation and amortization	344,127		245,303
Total expenses by nature	$	3,144,064	$	3,653,078


¹	Cost of sales and operating expenses for 2018 has been restated. Refer to note 25 for more information.

For the year ended December 31, 2019 we recorded a share-based compensation recovery of $4.0 million (2018 - recovery of $6.3 million), the majority of which is included in administrative expenses for the total expenses by function presentation above.

Included in cost of sales is $359 million (2018 - $512 million) of cost of sales which are recognized as sales to Methanex in our Atlas equity investee’s statements of income.