3. Programming Rights

Programming rights are comprised of the following:

	As of December 31,			As of June 30,
	2012			2013
	(In thousands)
Programming rights — non-affiliates
Acquired programming
Licensed for less than 12 years	$	294,272		$	305,278
Original programming
Licensed for less than 12 years	169,176			172,224
Licensed for 12 years or longer	4,440			15,907
Owned	5,772			12,528
Programming rights— Hallmark Cards affiliates
Licensed for less than 12 years	22,549			24,414
Programming rights, at cost	496,209			530,351
Accumulated amortization	(235,292		)	(279,466		)
Programming rights, net	$	260,917		$	250,885

In the regular course of evaluating the remaining usefulness of its various program rights, the Company may determine that certain rights may be of little future program value to it. In such instances, the Company shortens the estimated remaining life of the asset to zero, thereby accelerating amortization of the remaining net book value. During the three and six months ended June 30, 2012, such changes in estimates resulted in additional amortization of programming rights of $1.3 million. Additionally, the Company evaluated the remaining usefulness of its film asset and recognized $1.3 million of impairment expense during both the three and six months ended June 30, 2012. This impairment is included as a component of non-affiliate programming costs in the accompanying unaudited condensed consolidated statement of operations. During the three and six months ended June 30, 2013, such changes in estimates resulted in additional amortization of programming rights of $2.1 million.

At December 31, 2012, and June 30, 2013, $27.6 million and $41.2 million, respectively, of programming rights were included in prepaid programming rights on the accompanying condensed consolidated balance sheets. The various license periods associated with such amounts had not commenced as of the respective balance sheet dates.

Programming rights payable are comprised of the following:

	As of December 31,			As of June 30,
	2012			2013
	(In thousands)
Programming rights payable — non-affiliates
Acquired programming	$	102,367		$	86,139
Original programming	25,085			16,059
Programming rights payable — Hallmark Cards affiliates	15,172			15,541
Total programming rights payable	142,624			117,739
Less current maturities	(112,503		)	(88,746		)
Long-term programming rights payable	$	30,121		$	28,993

Under certain license agreements with Sonar Entertainment, Inc. (“Sonar”), the Company is obligated to pay $5.3 million through December 1, 2013. In connection with its reorganization in bankruptcy, Sonar assigned its right to receive these license payments to Hallmark Cards. During the six months ended June 30, 2012, the Company reclassified $748,000 from programming rights payable (to non-affiliates) to payables to Hallmark Cards affiliates. During the same period the Company remitted payment of $1.3 million to Hallmark Cards. At December 31, 2012, the amount payable to Hallmark Cards affiliates includes $620,000 related to this assignment. During the six months ended June 30, 2013, the Company reclassified $698,000 from programming rights payable (to non-affiliates) to payables to Hallmark Cards affiliates. During the same period the Company remitted payment of $1.2 million to Hallmark Cards. At June 30, 2013, the amount payable to Hallmark Cards affiliates includes $69,000 related to this assignment. Obligations relating to license periods that had not commenced as of December 31, 2012 and June 30, 2013, were $2.0 million and $1.3 million, respectively; accordingly, such amounts are not reflected in the accompanying unaudited condensed consolidated balance sheets.