Segment Reporting

12 Months Ended

Dec. 31, 2018

Historically, our three reporting segments have been: (i) crude oil marketing, transportation and storage, (ii) tank truck transportation of liquid chemicals and dry bulk, and (iii) upstream crude oil and natural gas exploration and production. Our upstream crude oil and natural gas exploration and production wholly owned subsidiary filed for bankruptcy in April 2017 (see Note 4 for further information), and as a result of our loss of control of the wholly owned subsidiary, AREC was deconsolidated and is accounted for under the cost method of accounting. AREC remained a reportable segment until its deconsolidation, effective April 30, 2017.

Information concerning our various business activities was follows for the periods indicated (in thousands):


	Reporting Segments
	Marketing		Transportation		Oil and Gas and Other		Total

Year Ended December 31, 2018
Revenues	$	1,694,437	$	55,776	$	—	$	1,750,213
Segment operating (losses) earnings ⁽¹⁾	7,008		3,337		—		10,345
Depreciation, depletion and amortization	6,384		4,270		—		10,654
Property and equipment additions ^{(3) (4)}	1,540		10,178		13		11,731

Year Ended December 31, 2017
Revenues	$	1,267,275	$	53,358	$	1,427	$	1,322,060
Segment operating (losses) earnings ^{(1) (2)}	11,700		(544)		53		11,209
Depreciation, depletion and amortization	7,812		5,364		423		13,599
Property and equipment additions ⁽³⁾	468		351		1,825		2,644

Year Ended December 31, 2016
Revenues	$	1,043,775	$	52,355	$	3,410	$	1,099,540
Segment operating (losses) earnings ⁽¹⁾	17,045		(48)		(533)		16,464
Depreciation, depletion and amortization	9,997		7,249		1,546		18,792
Property and equipment additions	1,321		6,868		295		8,484

_________________

(1) Our crude oil marketing segment’s operating earnings included inventory valuation losses of $5.4 million for the year ended December 31, 2018, and inventory liquidation gains of $3.3 million and $8.2 million for the years ended December 31, 2017 and 2016, respectively.

(2) Segment operating (losses) earnings includes approximately $0.4 million of costs related to a voluntary early retirement program that was implemented in August 2017.

(3) Our crude oil marketing segment’s property and equipment additions do not include approximately $2.9 million and $1.8 million of tractors acquired during the years ended December 31, 2018 and 2017, respectively, under capital leases. See Note 15 for further information.

(4) During the year ended December 31, 2018, we had $13 thousand of property and equipment additions for leasehold improvements at our corporate headquarters, which is not attributed or allocated to any of our reporting segments.

Segment operating earnings reflect revenues net of operating costs and depreciation, depletion and amortization expense and are reconciled to earnings (losses) before income taxes and investment in unconsolidated affiliate, as follows for the periods indicated (in thousands):


	Year Ended December 31,
	2018		2017		2016

Segment operating earnings	$	10,345	$	11,209	$	16,464
General and administrative ⁽¹⁾	(8,937)		(9,707)		(10,410)
Operating earnings (losses)	1,408		1,502		6,054
Loss on deconsolidation of subsidiary	—		(3,505)		—
Impairment of investment in unconsolidated affiliate	—		(2,500)		—
Interest income	2,155		1,103		582
Interest expense	(109)		(27)		(2)
(Losses) earnings before income taxes and investment
in unconsolidated affiliate	$	3,454	$	(3,427)	$	6,634

_______________

(1) General and administrative expenses for the year ended December 31, 2017 included approximately $1.0 million of costs related to a voluntary early retirement program we implemented in August 2017.

Identifiable assets by industry segment were as follows at the dates indicated (in thousands):


	December 31,
	2018		2017		2016

Reporting segment:
Marketing	$	119,370	$	134,745	$	107,257
Transportation	34,112		29,069		32,120
Oil and Gas ⁽¹⁾	—		425		7,279
Cash and other	125,388		118,465		100,216
Total assets	$	278,870	$	282,704	$	246,872

____________________

(1) At December 31, 2017, amount represents our remaining cost method investment in this segment. See Note 4 for further information.

There were no intersegment sales during the year ended December 31, 2018, and intersegment sales during the years ended December 31, 2017 and 2016 were insignificant. Other identifiable assets are primarily corporate cash, corporate accounts receivable, investments and properties not identified with any specific segment of our business. Accounting policies for transactions between reportable segments are consistent with applicable accounting policies as disclosed herein.