Discontinued Operations |
12 Months Ended | ||||||||||||||||||||||||||||||||
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Dec. 31, 2015 | |||||||||||||||||||||||||||||||||
| Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||
| Discontinued Operations | DISCONTINUED OPERATIONS On December 12, 2012, USDG sold all of its membership interests in five of its subsidiaries previously included in our Terminalling services segment to a large energy transportation, terminalling and pipeline company, which we refer to as the Acquirer. The following table shows results from our Discontinued Operations:
During the years ended December 31, 2014 and 2013, we received approximately $29.5 million and $10 million, respectively, that was held in escrow related to the sale. Continuing Cash Flows from Discontinued Operations At the time of the Sale, SJRT had an existing contract, the Contract, with one of its customers, the Customer, in which the Customer would pay SJRT an Incremental Throughput Fee, as defined, for certain volumes coming through SJRT, the Incremental Throughput Fee. The Incremental Throughput Fee allowed SJRT to participate with the Customer in the value created due to increased market spreads on the price of crude oil. The Incremental Throughput Fee was calculated at a certain percentage of the net differential between the market price of the crude oil volumes and an agreed upon minimum price. Upon the sale of SJRT, the Acquirer agreed to remit the Incremental Throughput Fee to us until the expiration of the Contract. We received these cash flows through September of 2013. These proceeds were recorded as income from discontinued operations prior to the Sale and in gain on sale of discontinued operations after the Sale as the remittance of the Incremental Throughput Fee after the Sale is deemed a resolution of a purchase price adjustment with the Acquirer. For the year ended December 31, 2013, we recorded $7.3 million as gain on sale of discontinued operations. In conjunction with the Sale, we ceased the operations of another subsidiary, USDS, which primarily provided loading and unloading services to the Acquirer, pursuant to a service agreement. Effective at the closing date of the Sale, USDS assigned or terminated any obligations it had in relation to its operations, but continues to receive indirect cash flows. We have not participated in any revenue producing activities with respect to USDS and the cash flows terminated upon the expiration of the assigned service agreement on February 15, 2015. For the years ended December 31, 2015 and 2014, we did not record any earnings from the assigned service agreement and for the year ended December 31, 2013, we recorded $1.0 million. |
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