GOODWILL AND INTANGIBLES ASSETS

12 Months Ended

Dec. 31, 2019

GOODWILL AND INTANGIBLES ASSETS

GOODWILL AND INTANGIBLES ASSETS

6. GOODWILL AND INTANGIBLE ASSETS

Goodwill by segment as of December 31, 2019 and 2018 consists of the following:

	Ocean
(In millions)	Transportation		Logistics		Total
Goodwill	$	222.6	$	105.2	$	327.8

Logistics goodwill of $105.2 million includes $78.6 million acquired as part of the acquisition of Span Intermediate, LLC (“Span Alaska”) in August 2016 that was allocated to the Span Alaska reporting unit, and $26.6 million relates to other Logistics acquisitions that were allocated to the Logistics reporting unit.

Intangible assets by segment as of December 31, 2019 and 2018 consist of the following:

	As of December 31, 2019						As of December 31, 2018
	Gross		Accumulated				Gross		Accumulated
(In millions)	Amount		Amortization		Net Book Value		Amount		Amortization		Net Book Value
Ocean Transportation - Customer relationships	$	140.6	$	31.2	$	109.4	$	140.6	$	24.4	$	116.2
Logistics:
Customer relationships		90.1		23.9		66.2		90.1		19.6		70.5
Trade name		27.3		—		27.3		27.3		—		27.3
Total Logistics		117.4		23.9		93.5		117.4		19.6		97.8
Total	$	258.0	$	55.1	$	202.9	$	258.0	$	44.0	$	214.0

Ocean Transportation intangible assets of $140.6 million relate to customer relationships acquired as part of the acquisition of Horizon Lines, Inc. (“Horizon”) on May 29, 2015, and are being amortized over 21 years. Logistics intangible assets include $79.3 million of customer relationships which are being amortized over 20 years, and $27.3 million of an indefinite life trade name, both acquired as part of the Span Alaska acquisition. The remaining Logistics customer relationships of $10.8 million are being amortized over a period of up to 13 years.

Intangible assets related amortization expense for 2019, 2018 and 2017, is as follows:

	Years Ended December 31,
(In millions)	2019		2018		2017
Amortization expense	$	11.1	$	11.2	$	11.4

As of December 31, 2019, estimated amortization expense related to customer relationships intangible assets during the next five years and thereafter is as follows:

	Customer
Year (in millions)	Relationships
2020	$	11.0
2021		10.9
2022		10.7
2023		10.7
2024		10.7
Thereafter		121.6
Total	$	175.6