Goodwill and Intangible Assets
The Company's goodwill is assigned to its Marketing segment and none of the goodwill is deductible for tax purposes.
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| | December 31, |
| (Millions of dollars) | | 2025 | | 2024 |
| Goodwill | | $ | 328.0 | | | $ | 328.0 | |
We amortize intangible assets subject to amortization on a straight-line basis based on the period for which the economic benefits of the asset or liability are expected to be realized. The intangible assets subject to amortization includes pipeline space, which is being amortized over a 40-year life, and the intangible lease liability acquired from QuickChek which is being amortized over the remaining life of the underlying leases.
Intangible assets subject to amortization at December 31, 2025 and 2024 consisted of the following:
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| Remaining Useful Life (in years) | | December 31, 2025 | | December 31, 2024 |
| (Millions of dollars) | | | Cost | | Net | | Cost | | Net |
| Intangible assets subject to amortization: | | | | | | | | |
| Pipeline space | 29.7 | | $ | 39.6 | | | $ | 29.7 | | | $ | 39.6 | | | $ | 30.7 | |
| Intangible lease liability | 8.6 | | (9.1) | | | (5.8) | | | (9.1) | | | (6.6) | |
| Total intangible assets subject to amortization | | 30.5 | | | 23.9 | | | 30.5 | | | 24.1 | |
| Intangible assets not subject to amortization, indefinite lives: | | | | | | | | |
| Trade name | | | 115.4 | | | 115.4 | | | 115.4 | | | 115.4 | |
| | | | | | | | | |
| | | | | | | | |
| Intangible assets, net of amortization | | $ | 145.9 | | | $ | 139.3 | | | $ | 145.9 | | | $ | 139.5 | |
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.