Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2013

Note 7. Goodwill and Intangible Assets

The following table presents a summary roll forward of the Partnership's goodwill at December 31, 2013 (in thousands):

	Goodwill at December 31, 2012		2013 Additions		Goodwill at December 31, 2013

Acquisition of Alliance (1)	$	31,151	$	—	$	31,151
Acquisition of gasoline stations from Mutual Oil Company (1)		1,175		—		1,175
Acquisition of 60% interest in Basin Transload (2)		—		86,064		86,064
Acquisition of Cascade Kelly(2)		—		35,688		35,688


Total	$	32,326	$	121,752	$	154,078

(1): Goodwill allocated to the GDSO reporting unit
(2): Goodwill allocated to the Wholesale reporting unit

Intangible assets consisted of the following (in thousands):

	Gross Carrying Amount		Accumulated Amortization			Net Intangible Assets		Amortization Period

At December 31, 2013
Intangible assets subject to amortization:
Terminalling services	$	26,365	$	(8,415	)	$	17,950	20 years
Customer relationships		43,986		(24,140	)		19,846	2-15 years
Supply contracts		39,646		(10,909	)		28,737	5-15 years
Brand incentive program		1,445		(641	)		804	5 years
Software		1,139		(1,139	)		—	5 years
Covenants not to compete		942		(942	)		—	3-5 years
Customer contracts		307		(307	)		—	2 years
Other intangible assets		779		(347	)		432	20 years


Total intangible assets	$	114,609	$	(46,840	)	$	67,769




At December 31, 2012
Intangible assets subject to amortization:
Terminalling services	$	26,365	$	(7,333	)	$	19,032	20 years
Customer relationships		17,986		(11,178	)		6,808	8-15 years
Supply contracts		39,646		(6,239	)		33,407	5-15 years
Brand incentive program		1,445		(403	)		1,042	5 years
Software		1,139		(1,139	)		—	5 years
Covenants not to compete		942		(932	)		10	3-5 years
Customer contracts		307		(307	)		—	2 years
Other intangible assets		616		(93	)		523	20 years


Total intangible assets	$	88,446	$	(27,624	)	$	60,822

The aggregate amortization expense was approximately $19.2 million, $7.0 million and $4.8 million for the years ended December 31, 2013, 2012 and 2011, respectively.

The estimated annual intangible asset amortization expense for future years ending December 31 is as follows (in thousands):


2014	$	18,045
2015		9,886
2016		6,755
2017		6,419
2018		6,419
Thereafter		20,245


Total intangible assets	$	67,769

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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