Goodwill and intangible assets

9 Months Ended

Sep. 30, 2016

Goodwill And Intangible Assets Disclosure [Abstract]

(4) Goodwill and intangible assets

A summary of goodwill and intangible assets at September 30, 2016 and December 31, 2015 is as follows:

	Weighted
	average	Gross
	amortization	carrying		Accumulated			Net carrying
September 30, 2016	period (years)	amount		amortization			Amount
Customer relationships	11.1	$	171,782		(68,926	)	$	102,856
Noncompete agreements	5.0		14,500		(11,302	)		3,198
Favorable leases	7.5		2,935		(1,549	)		1,386
Order backlog	0.4		3,400		(3,400	)		—
Reacquired franchise rights	5.8		8,950		(3,891	)		5,059
			201,567		(89,068	)		112,499
Indefinite-lived intangible:
Trade and brand names	N/A		146,300		—			146,300
Total intangible assets		$	347,867	$	(89,068	)	$	258,799
Goodwill		$	176,981	$	—		$	176,981

	Weighted
	average	Gross
	amortization	carrying		Accumulated			Net carrying
December 31, 2015	period (years)	amount		amortization			Amount
Customer relationships	11.1	$	171,782	$	(57,741	)	$	114,041
Noncompete agreements	5.0		14,500		(9,127	)		5,373
Favorable leases	7.5		2,935		(1,256	)		1,679
Order backlog	0.4		3,400		(3,400	)		—
Reacquired franchise rights	5.8		8,950		(2,724	)		6,226
			201,567		(74,248	)		127,319
Indefinite-lived intangible:
Trade and brand names	N/A		146,300		—			146,300
Total intangible assets		$	347,867	$	(74,248	)	$	273,619
Goodwill		$	176,981	$	—		$	176,981

The Company determined that no impairment charges were required during any periods presented.

Amortization expense related to the intangible assets totaled $4,940 and $5,404 for the three months ended September 30, 2016 and 2015, respectively and $14,820 and $16,181 for the nine months ended September 30, 2016 and 2015, respectively. Included within these total amortization expense amounts are $97 and $143 related to amortization of favorable and unfavorable leases for the three months ended September 30, 2016 and 2015, respectively and $292 and $380 for the nine months ended September 30, 2016 and 2015. Amortization of favorable and unfavorable leases is recorded within store operations as a component of rent expense in the consolidated statements of operations. The anticipated annual amortization expense to be recognized in future years as of September 30, 2016 is as follows:

	Amount
Remainder of 2016	$	4,936
2017		18,215
2018		14,583
2019		14,215
2020		12,517
Thereafter		48,033
Total	$	112,499

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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