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Disposals And Impairments of Long-Lived Assets (Details 1) (USD $)
12 Months Ended
Dec. 31, 2011
Loss on goodwill impairment, pre-tax $ (47,804,000)
SemStream [Member] | SemStream [Member]
 
Gain on contribution of SemStream assets to NGL energy, pre-tax 44,300,000
SemStream Arizona Residential Propane Business [Member] | SemStream [Member]
 
Gain (Loss) on disposal or impairment of long-lived assets, net, pre-tax (8,684,000) [1]
Loss on goodwill impairment, pre-tax (3,600,000)
Loss (gain) on impairment or disposal of long-lived assets, net [Member] | SemLogistics [Member]
 
Loss on goodwill impairment, pre-tax (44,663,000) [2]
Loss (gain) on impairment or disposal of long-lived assets, net [Member] | SemStream [Member] | SemStream [Member]
 
Gain on contribution of SemStream assets to NGL energy, pre-tax $ 44,266,000 [3]
[1] We test all of our goodwill for impairment as of October 1 of each year. Upon completing this impairment test for 2011, we concluded that the goodwill and other intangible assets attributable to the Arizona residential business of our SemStream segment (which was not contributed to NGL Energy) were impaired. To calculate the impairment loss, we estimated the fair value of this reporting unit using the present value of estimated future cash flows, discounted at a rate of 9.4%, and recorded a full impairment of the $3.6 million balance of goodwill and the $5.0 million balance of other intangible assets associated with customer relationships. No impairment was recorded related to the regulated assets of the Arizona residential business in accordance with ASC 980, "Regulated Operations".
[2] High crude oil prices and backwardated market conditions in 2011 had a negative effect on SemLogistic’s storage economics. As a result, the demand for storage is depressed and SemLogistics has had difficulty securing contract renewals. SemLogistics successfully passed the initial 2011 goodwill impairment test. However, a review of the sensitivity of the test results indicated that a ten percent reduction in the estimated revenue in 2012 and 2013 would result in a test failure. In addition, we received notice in late January 2012 from two customers that their intentions were not to renew their storage contracts upon expiration. These notifications, coupled with the sensitivity of the test results to loss of revenue, led us to conclude that impairment of the goodwill of SemLogistics was required. Accordingly, we impaired the full amount of goodwill which was $44.7 million at October 1, 2011.
[3] On November 1, 2011, we contributed certain assets and liabilities of our SemStream segment to NGL Energy. On that date these assets and liabilities had the net book values (in thousands) below. However, these values were subject to post closing adjustments, which have since been completed, and resulted in a $2.1 million working capital adjustment.Inventory$107,858Other current assets11,263Property plant and equipment47,756Goodwill50,071Other intangible assets12,408Other noncurrent assets2,818Other current liabilities(2,947)Other noncurrent liabilities(172)Net assets contributed$229,055In return for this contribution, we received $93.0 million of cash and ownership interests in NGL Energy and its general partner with an estimated fair value of $184.0 million. We recorded a gain of $44.3 million on this transaction, which includes the impact of a $2.1 million working capital adjustment and the write-off of $1.6 million of software. Additionally, $2.2 million of capitalized loan fees were written-off as a result of long-term debt payments made from the proceeds of this transaction.