GOODWILL AND INTANGIBLES

9 Months Ended

Sep. 30, 2024

GOODWILL AND INTANGIBLES

GOODWILL AND INTANGIBLES

6.          GOODWILL AND INTANGIBLES

Goodwill by segment as of September 30, 2024 and December 31, 2023 consisted of the following:

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

Intangible assets as of September 30, 2024 and December 31, 2023 consisted of the following:

	September 30,		December 31,
(In millions)	2024		2023
Customer Relationships:
Ocean Transportation	$	140.6	$	140.6
Logistics		107.9		110.4
Total		248.5		251.0
Less: Accumulated Amortization		(111.8)		(101.9)
Total Customer Relationships, net		136.7		149.1
Trade name – Logistics		27.3		27.3
Total Intangible Assets, net	$	164.0	$	176.4

On February 27, 2023, the Company completed an asset acquisition consisting of Logistics customer relationship intangible assets for $16.5 million, which are being amortized over seven years.

The Company evaluates its goodwill and intangible assets for possible impairment in the fourth quarter, or whenever events or changes in circumstances indicate that it is more likely than not that the fair value is less than its carrying amount. The Company has reporting units within the Ocean Transportation and Logistics reportable segments. The Company considered the general economic and market conditions and its impact on the performance of each of the Company’s reporting units. Based on the Company’s assessment of its market capitalization, future forecasts and the amount of excess of fair value over the carrying value of the reporting units in the 2023 annual impairment tests, the Company concluded that an impairment triggering event did not occur during the three months ended September 30, 2024.

The Company will monitor events and changes in circumstances that could negatively impact the key assumptions used in determining the fair value, including the amount and timing of estimated future cash flows generated by the reporting units, long-term growth and discount rates, comparable company market valuations, and industry and economic trends. It is possible that future changes in such circumstances, including future changes in the assumptions and estimates used in assessing the fair value of the reporting unit, could require the Company to record a non-cash impairment charge.