Segment Reporting

9 Months Ended

Sep. 30, 2021

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

We operate and report in three business segments: (i) crude oil marketing, transportation and storage; (ii) tank truck transportation of liquid chemicals, pressurized gases, asphalt and dry bulk; and (iii) pipeline transportation, terminalling and storage of crude oil.

Financial information by reporting segment was as follows for the periods indicated (in thousands):

	Reporting Segments
	Crude Oil Marketing		Transportation		Pipeline and storage		Other		Total
Three Months Ended September 30, 2021
Segment revenues (1)	$	543,228	$	24,867	$	738	$	—	$	568,833
Less: Intersegment revenues (1)	—		(41)		(611)		—		(652)
Revenues	$	543,228	$	24,826	$	127	$	—	$	568,181
Segment operating earnings (losses) (2)	4,255		2,264		(716)		—		5,803
Depreciation and amortization	1,611		2,957		281		—		4,849
Property and equipment additions (3)	443		4,904		980		—		6,327
Three Months Ended September 30, 2020
Segment revenues	$	245,184	$	21,720	$	—	$	—	$	266,904
Less: Intersegment revenues	—		—		—		—		—
Revenues	$	245,184	$	21,720	$	—	$	—	$	266,904
Segment operating earnings (losses) (2)	5,869		1,592		—		—		7,461
Depreciation and amortization	1,836		3,023		—		—		4,859
Property and equipment additions (3) (4)	684		(32)		—		57		709
Nine Months Ended September 30, 2021
Segment revenues (1)	$	1,310,343	$	69,670	$	1,808	$	—	$	1,381,821
Less: Intersegment revenues (1)	—		(112)		(1,293)		—		(1,405)
Revenues	$	1,310,343	$	69,558	$	515	$	—	$	1,380,416
Segment operating earnings (losses) (2)	19,643		4,520		(1,837)		—		22,326
Depreciation and amortization	5,050		8,895		758		—		14,703
Property and equipment additions (3) (4)	1,145		7,607		1,169		8		9,929
Nine Months Ended September 30, 2020
Segment revenues	$	722,546	$	50,121	$	—	$	—	$	772,667
Less: Intersegment revenues	—		—		—		—		—
Revenues	$	722,546	$	50,121	$	—	$	—	$	772,667
Segment operating earnings (losses) (2)	(4,952)		1,033		—		—		(3,919)
Depreciation and amortization	5,700		7,910		—		—		13,610
Property and equipment additions (3) (4)	2,734		332		—		523		3,589

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(1)Segment revenues include intersegment amounts that are eliminated in operating costs and expenses in our unaudited condensed consolidated statements of operations. Intersegment activities are conducted at posted tariff rates where applicable, or otherwise at rates similar to those charged to third parties or rates that we believe approximate market at the time the agreement is executed.

(2)Our crude oil marketing segment’s operating (losses) earnings included inventory valuation losses of $0.3 million and $12 thousand for the three months ended September 30, 2021 and 2020, respectively. For the

nine months ended September 30, 2021 and 2020, our crude oil marketing segment’s operating (losses) earnings included inventory liquidation gains of $10.3 million and inventory valuation losses of $18.2 million, respectively.

(3)Our segment property and equipment additions do not include assets acquired under finance leases during the three and nine months ended September 30, 2021 and 2020. See Note 14 for further information.

(4)Amounts included in property and equipment additions for Other are additions for computer equipment and leasehold improvements at our corporate headquarters, which were not attributed or allocated to any of our reporting segments.

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

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2021		2020		2021		2020
Segment operating earnings (losses)	$	5,803	$	7,461	$	22,326	$	(3,919)
General and administrative	(3,502)		(1,405)		(9,839)		(7,030)
Operating earnings (losses)	2,301		6,056		12,487		(10,949)
Interest and other income	37		105		233		614
Interest expense	(178)		(70)		(602)		(288)
Earnings (losses) before income taxes	$	2,160	$	6,091	$	12,118	$	(10,623)

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

	September 30,		December 31,
	2021		2020
Reporting segment:
Crude oil marketing	$	163,053	$	128,441
Transportation	67,574		72,247
Pipeline and storage	25,662		24,541
Cash and other (1)	114,136		70,958
Total assets	$	370,425	$	296,187

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(1)Other identifiable assets are primarily corporate cash, corporate accounts receivable, properties and operating lease right-of-use assets 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.