XML 25 R15.htm IDEA: XBRL DOCUMENT

Content Assets

3 Months Ended

Mar. 31, 2022

Note 8 – Content Assets

Content assets consists of the following:


	March 31,		December 31,
	2022		2021
Original productions:
Programming costs released	$	25,965,912	$	25,669,921
In production		—		562,808
In development		7,943,139		6,662,591
Accumulated amortization ^(a)		(23,571,721)		(23,268,306)
Programming costs, net		10,337,330		9,627,014

Film library:
Film library acquisition costs		146,878,460		134,463,191
Accumulated amortization ^(b)		(85,210,986)		(80,847,748)
Film library costs, net		61,667,474		53,615,443

Licensed program rights:
Programming rights		15,829,362		1,209,362
Accumulated amortization		(1,018,002)		(806,423)
Programming rights, net		14,811,360		402,939

Content assets, net	$	86,816,164	$	63,645,396

^(a) ^{As of March 31, 2022 and December 31, 2021, accumulated amortization includes impairment expense of}^$8,262,663^{, respectively.}

^(b) ^{As of March 31, 2022, and December 31, 2021, accumulated amortization includes impairment expense}^of^$5,506,069^{, respectively.}

Original productions programming costs consists primarily of episodic television programs which are available for distribution through a variety of platforms, including Crackle. Amounts capitalized include development costs, production costs and direct production overhead costs.

Film library consists primarily of the cost of acquiring film distribution rights and related acquisition costs.

Costs related to original productions and film library are amortized in the proportion that revenues bear to management’s estimates of the ultimate revenues expected to be recognized from various forms of exploitation.

Programming rights consists of licenses to various titles which the company makes available for streaming on Crackle for an agreed upon license period.

Amortization of content assets is as follows:



	Three Months Ended
	March 31,
	2022		2021
Original productions	$	303,414	$	2,205,861
Film library		4,363,238		6,903,916
Licensed program rights		211,580		24,751
Total content asset amortization	$	4,878,232	$	9,134,528

During the three months ended Mach 31, 2022 and 2021, the Company did not record any impairments related to content assets.