Goodwill

Goodwill represents the excess of the aggregate purchase price over the fair value of the identifiable net assets acquired. Goodwill acquired in a purchase business combination is recorded at fair value and is not amortized. Our goodwill relates to the west Texas assets contributed to us by Delek Marketing in connection with the Offering and to the allocation of the purchase price of our Nettleton and Big Sandy acquisitions that occurred in January 2012 and February 2012, respectively.

We perform an annual assessment of whether goodwill retains its value. This assessment is done more frequently if indicators of potential impairment exist. We performed our annual goodwill impairment review in the fourth quarter of 2013, 2012 and 2011. We performed a discounted cash flows test, using a market participant weighted average cost of capital, and estimated minimal growth rates for revenue, gross profit, and capital expenditures based on history and our best estimate of future forecasts. We also estimated the fair values using a multiple of expected future cash flows such as those used by third party analysts. In 2013, 2012 and 2011 the annual impairment review resulted in the determination that no impairment of goodwill had occurred. Goodwill was $10.5 million at December 31, 2013.

A summary of our goodwill accounts is as follows (in thousands):



Balance,	December 31, 2010	$	7,499
Goodwill impairment		—
Balance,	December 31, 2011	7,499
Goodwill impairment		—
Goodwill acquired through the business combinations of Nettleton and Big Sandy		2,955
Balance,	December 31, 2012	10,454
Goodwill impairment		—
Balance,	December 31, 2013	$	10,454