Operating Leases

6 Months Ended

Jun. 30, 2015

Leases [Abstract]

Operating Leases

 Operating Leases

We have operating leases for certain revenue equipment. During 2015, these leases are all with a commercial tractor dealership, owned by a board member and certain of our employees. During 2014, a portion of our operating leases were with the noted commercial tractor dealership. Rent expense for these leases were $0.8 million and $1.9 million (including related-party rental payments totaling $0.8 million and $1.9 million) for the three and six months ended June 30, 2015, respectively. Rent expense for these leases were $2.3 million and $4.6 million (including related-party rental payments totaling $1.8 million, and $3.6 million), for the three and six months ended 2014, respectively. These expenses were included in rent and purchased transportation in the consolidated statements of comprehensive income. The various leases expire in 2015 and 2016.

We lease certain terminal facilities under operating leases. A portion of these leases are with limited liability companies, whose members include a board member and certain of our employees and a commercial tractor dealership owned by a board member and certain of our employees. Rent expenses for terminal facilities were $1.0 million and $2.1 million (including related-party rental payments totaling $1.0 million and $1.9 million), for the three and six months ended June 30, 2015, respectively. Rent expenses for terminal facilities were $1.0 million and $2.1 million (including related-party rental payments totaling $1.0 million and $2.0 million), for the three and six months ended June 30, 2014, respectively. These expenses were included in rent and purchased transportation in the consolidated statements of comprehensive income. The various leases expire from 2015 through 2018 and the majority of these facilities contain options to renew. We exercised the purchase option on the Pontoon Beach, IL terminal and finalized this purchase during the second quarter of 2015. We paid $4.9 million to a limited liability company, whose members include a board member and certain of our employees as a result of this transaction. We have a right of first refusal on the sale of the Pacific, Washington location property by the owners. We are responsible for all taxes, insurance, and utilities related to the terminal leases. See Notes 6 and 13 for additional information.