ARKO Corp. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

Summary of Property and Equipment Depreciation Estimated Useful Lives

Depreciation is recognized using the straight-line method over the estimated useful lives of the related assets as follows:


	Range in Years
Buildings and leasehold improvements	15 to 40
Signs	5 to 15
Other equipment (primarily office equipment)	5 to 7
Computers, software and licenses	3 to 5
Motor vehicles		7
Fuel equipment	5 to 30
Equipment in convenience stores	5 to 15

Schedule of Goodwill and Intangible Assets

Amortization of finite lived intangible assets is provided using the straight-line method of amortization over the estimated useful lives of the intangible assets, with a weighted average remaining amortization period as of December 31, 2022, as follows:


	Range in Years		Weighted Average Remaining Amortization Period
Goodwill	Indefinite life		Indefinite life
Trade names	5			3
Wholesale fuel supply contracts	4 to 14		10
Third-party cardlock site contracts	2		2
Option to acquire ownership rights	6 to 15		8
Option to develop stores	5			0.5
Non-contractual customer relationships		20		20
Liquor licenses	Indefinite life		Indefinite life
Franchise rights	9 to 20		14

Schedule Of Purchases From Suppliers

Total purchases from suppliers who accounted for 10% or more of total purchases for the periods presented were as follows:


	For the Year Ended December 31,
	2022		2021		2020
	(in thousands)
Fuel products - Supplier A	$	974,156	$	776,314	$	312,231
Fuel products - Supplier B		870,982		638,928		256,606
Fuel products - Supplier C		758,856	*		*
Merchandise products - Supplier D		664,438		645,257		653,994

* Purchases did not exceed 10% in period

Schedule of Lease Term and Useful Life of Assets

Right-of-use assets under financing leases are depreciated based on the straight-line method over the shorter period of the lease term and the useful life of the underlying asset, with weighted average depreciation periods as follows:


	Years
Leasehold improvements, buildings and real estate assets		28
Equipment		5