Intangible Assets

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

9. Intangible Assets

Intangible assets consisted of the following as of December 31:

(Dollars in thousands)	2022			2021
Permits and licenses	$	25		$	25
Azuñia brand		4,492			11,945
Customer lists		2,895			2,895
Total intangible assets		7,412			14,865
Less accumulated amortization		(1,654	)		(1,241	)
Intangible assets, net	$	5,758		$	13,624

Eastside Distilling, Inc. and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2022

The customer list is being amortized over a seven-year life. Amortization expense totaled $0.4 million for both the years ended December 31, 2022 and 2021.

The permits and licenses, and Azuñia brand have all been determined to have an indefinite life and will not be amortized. The Company, on an annual basis, tests the indefinite life assets for impairment. If the carrying value of an indefinite life asset is found to be impaired, then the Company will record an impairment loss and reduce the carrying value of the asset. As of December 31, 2022, the Company determined that the Azuñia assets were impaired and recorded an impairment loss of $7.5 million.