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Franchise Rights and Goodwill
9 Months Ended
Sep. 27, 2015
Goodwill And Intangible Assets Disclosure [Abstract]  
Franchise Rights and Goodwill

5.  Franchise Rights and Goodwill

 

 

 

Sept. 27,

 

 

Dec. 28,

 

 

Sept. 28,

 

In Thousands

 

2015

 

 

2014

 

 

2014

 

Franchise rights

 

$

527,540

 

 

$

520,672

 

 

$

520,672

 

Goodwill

 

 

113,835

 

 

 

106,220

 

 

 

103,294

 

Total franchise rights and goodwill

 

$

641,375

 

 

$

626,892

 

 

$

623,966

 

 

During YTD 2015 and YTD 2014, the Company acquired $6.2 million and $1.2 million of goodwill related to the YTD 2015 Expansion Territories and 2014 Expansion Territories, respectively. In addition to the 2015 goodwill acquired, the Company also recorded measurement period adjustments related to the 2014 Expansion Territories of $1.1 million.  In addition, as part of the Lexington-for-Jackson exchange during YTD 2015, the Company added $2.5 million of goodwill related to the Lexington Expansion Territory and reduced goodwill by $2.2 million related to the Jackson territory.

 

Additionally, as part of the Lexington-for-Jackson exchange, the Company added $18.2 million of franchise rights related to the Lexington Expansion Territory and reduced franchise rights by $11.3 million related to the Jackson territory.

The Company’s goodwill and franchise rights reside entirely within the Nonalcoholic Beverage segment. The Company performs its annual impairment test of franchise rights and goodwill as of the first day of the fourth quarter.  During YTD 2015, the Company did not experience any triggering events or changes in circumstances that indicated the carrying amounts of the Company’s franchise rights or goodwill exceeded fair values.