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Discontinued Operation and Held for Sale (Notes) | 12 Months Ended
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Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract] |
Discontinued Operation and Held for Sale | Discontinued Operation and Held for Sale As previously disclosed in Note 1, on April 23, 2020, the Company made a decision to divest of Pool. The Pool business met the criteria for held for sale classification. As a result, the assets and liabilities of Pool are presented separately under the captions “Current assets held for sale”, “Noncurrent assets held for sale”, “Current liabilities held for sale” and “Noncurrent liabilities held for sale” in the Consolidated Balance Sheets as of December 31, 2020 and 2019. The results of Pool were reclassified to “(Loss) income from discontinued operation, net of tax” in the Consolidated Statements of Comprehensive Income for the years ended December, 31, 2020, 2019 and 2018. Certain corporate overhead and other costs previously allocated to Pool for segment reporting purposes did not qualify for classification within discontinued operation and have been reallocated to continuing operations. These costs were reclassified to the eliminations and other column in the segment reconciliation in Note 11, Segment Reporting. Upon meeting the criteria for held for sale classification and in each subsequent reporting period, the Company evaluated whether Pool’s estimated fair value, less costs to sell, exceeded the net carrying value. The annual goodwill impairment analysis conducted as of June 30, 2020 indicated that the fair value in excess of the carrying value related to the Pool reporting unit was approximately 5% and in the third quarter of 2020, the Company concluded the estimated fair value, less costs to sell, exceeded the net carrying value and there were no indicators of impairment for the Pool reporting unit. However, in response to the longer than expected macroeconomic conditions caused by the COVID-19 pandemic and status of negotiations to sell the Pool business, a strategic review of the business was completed in the fourth quarter of 2020 along with revised forecasts to include updated market conditions and strategic operating decisions. The revised forecasts indicated an impairment of the entire goodwill balance of the Pool reporting unit was necessary as of December 31, 2020. A non-cash charge of approximately $5,406 was recorded as an “Impairment charge” in the summarized discontinued operation financial information for the year ended December 31, 2020. In addition, the Company recorded a valuation allowance against the net assets held for sale to write down the carrying value to the estimated fair value less costs to sell. A non-cash valuation allowance of approximately $22,978 was recorded as an “Impairment charge” in the summarized discontinued operation financial information for the year ended December 31, 2020. The fair value was estimated based on a combination of an income approach using a discounted cash flow model, and a market approach, which considers comparable companies. Estimates of future cash flows are based on various factors, including current operating results, expected market trends and competitive influences. Refer to Note 3, Acquisitions, Goodwill, Intangible Assets and Other Long-Lived Assets for further discussion about the estimation of fair value. On February 12, 2021, the Company completed the sale of the Pool business for $8,000 in cash and up to a $12,000 earn-out based on an earnings before interest, taxes, depreciation and amortization attainment. See Note 13, Subsequent Events, for further discussion. Summarized Held for Sale and Discontinued Operation Financial Information A summary of the carrying amounts of major classes of assets and liabilities, which are included in assets and liabilities held for sale in the Consolidated Balance Sheets, is as follows:
| December 31, 2020 |  | December 31, 2019
Assets |  |  |
Current assets: |  |  |
Accounts receivable, less allowance of $86 in 2020 and $48 in 2019 | $ | 19,740 |  |  | $ | 13,983 |
Other current assets | 1,262 |  |  | 969 |
Total current assets held for sale | $ | 21,002 |  |  | $ | 14,952 |
Property and equipment | $ | 48,905 |  |  | $ | 53,166 |
Less accumulated depreciation and amortization | 28,890 |  |  | 32,891 |
Net property and equipment | 20,015 |  |  | 20,275 |
Operating lease right-of-use assets | 46,865 |  |  | 46,487 |
Goodwill | — |  |  | 5,406 |
Other acquired intangibles, net of accumulated amortization of $12,679 in 2020 and $12,359 in 2019 | 2,621 |  |  | 2,941 |
Deferred income taxes | 3,253 |  |  | — |
Other assets | 3,321 |  |  | 1,595 |
Valuation allowance on assets held for sale | (22,978) |  |  | — |
Total noncurrent assets held for sale | $ | 53,097 |  |  | $ | 76,704 |
Liabilities |  |  |
Current liabilities: |  |  |
Accounts payable | $ | 4,002 |  |  | $ | 4,575 |
Accrued expenses | 5,070 |  |  | 5,668 |
Other current liabilities | 27 |  |  | 2 |
Current portion of operating lease liabilities | 16,825 |  |  | 14,729 |
Total current liabilities held for sale | $ | 25,924 |  |  | $ | 24,974 |
Operating lease liabilities, less current portion | $ | 30,024 |  |  | $ | 31,847 |
Other long-term liabilities | 4,551 |  |  | 2,368 |
Deferred income taxes | — |  |  | 2,728 |
Total noncurrent liabilities held for sale | $ | 34,575 |  |  | $ | 36,943 |
A summary of the results of operations classified as a discontinued operation, net of tax, in the Consolidated Statements of Comprehensive Income for the years ended December 31, 2020, 2019 and 2018 is as follows:
| Year ended |  |
| December 31, 2020 |  |  |  | December 31, 2019 |  | December 31, 2018 |  |
Operating revenue | $ | 141,433 |  |  |  |  | $ | 195,208 |  |  | $ | 183,273 |  |  |
Operating expenses: |  |  |  |  |  |  |  |  |
Purchased transportation | 33,979 |  |  |  |  | 52,867 |  |  | 49,323 |  |  |
Salaries, wages and employee benefits | 65,695 |  |  |  |  | 77,162 |  |  | 70,596 |  |  |
Operating leases | 21,982 |  |  |  |  | 18,918 |  |  | 17,488 |  |  |
Depreciation and amortization | 1,657 |  |  |  |  | 5,715 |  |  | 6,352 |  |  |
Insurance and claims | 6,205 |  |  |  |  | 6,707 |  |  | 5,611 |  |  |
Fuel expense | 4,279 |  |  |  |  | 6,462 |  |  | 6,961 |  |  |
Other operating expenses | 17,587 |  |  |  |  | 20,969 |  |  | 22,126 |  |  |
Impairment charge | 28,384 |  |  |  |  | — |  |  | — |  |  |
Total operating expenses | 179,768 |  |  |  |  | 188,800 |  |  | 178,457 |  |  |
(Loss) income from discontinued operation before income taxes | (38,335) |  |  |  |  | 6,408 |  |  | 4,816 |  |  |
Income tax (benefit) expense | (9,301) |  |  |  |  | 1,631 |  |  | 1,328 |  |  |
(Loss) income from discontinued operation, net of tax | $ | (29,034) |  |  |  |  | $ | 4,777 |  |  | $ | 3,488 |  |  |

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- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -URI http://asc.fasb.org/topic&trid=2155823 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2122178 + Details
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