Operating Leases Operating Leases

12 Months Ended

Dec. 31, 2018

Leases [Abstract]

Lessee, Operating Leases [Text Block]

Operating Leases

We have operating leases for certain revenue equipment during the periods presented related to the GTI and IDC acquisitions. A portion of these leases in 2016 were with a commercial tractor dealership, which is partially owned by one of our board members. Rent expense for these leases, including lease termination payments made in 2018, was $5.0 million, $8.0 million, and $1.0 million, for the years ended December 31, 2018, 2017, and 2016, respectively, and were included in rent and purchased transportation in the consolidated statements of comprehensive income. The rent expense for these leases included related-party rental expense totaling $1.0 million for the year ended December 31, 2016. A portion of the leases acquired from IDC were terminated during 2018 and the leases acquired from GTI were terminated in 2016.

We lease certain terminal facilities under operating leases. A portion of these leases were with limited liability companies, whose members included one of our board members, and a commercial tractor dealership whose owners included one of our board members. The related-party rental payments were entered into as a result of a previous acquisition and these leases ended in 2018. Rent expense for terminal facilities were $4.8 million, $3.9 million, and $2.2 million, (including related-party rental expense totaling $0.8 million, $1.6 million, and $1.9 million), for the years ended December 31, 2018, 2017, and 2016, respectively, and was included in rent and purchased transportation in the consolidated statements of comprehensive income. The various leases expire between 2019 and 2020. A portion of these leases contain purchase options and options to renew. We exercised our purchase option on the Pontoon Beach, Illinois; Rancho Cucamonga, California; Boise, Idaho; and Medford, Oregon terminals and completed these transactions during 2016. In 2016, we paid $21.6 million to various limited liability companies, whose members include one of our board members, as a result of these transactions. We are responsible for all taxes, insurance, and utilities related to the terminal leases.

As of December 31, 2018, we did not have any capital lease obligations and operating leases were not significant. See Note 13 for additional information regarding related party transactions.