Goodwill and Intangible Assets (Tables)

3 Months Ended

Mar. 29, 2015

Finite-Lived Intangible Assets [Line Items]

The following table presents changes in the carrying value of goodwill for the three months ended March 29, 2015 (in thousands):



	Successor
Balance at December 28, 2014	$	483,444
Additions ⁽¹⁾	539
Balance at March 29, 2015	$	483,983

__________________

(1)

In the first quarter of 2015, we recorded certain adjustments to the initial PPP purchase price allocation related to the final settlement of net working capital, the valuation of favorable and unfavorable lease interests and the valuation of PPP’s tradename that resulted in a net increase to goodwill of $0.5 million. See Note 2 “Peter Piper Acquisition” for a discussion of the measurement period adjustments.

Schedule of Indefinite-Lived Intangible Assets

The following table presents our indefinite and definite-lived intangible assets at March 29, 2015:



	Successor
	Weighted Average Life (Years)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
		(in thousands)
Chuck E. Cheese's tradename	Indefinite	$	400,000	$	—		$	400,000
Peter Piper Pizza tradename ⁽¹⁾ ⁽²⁾	Indefinite	26,700		—			26,700
Favorable lease agreements ⁽²⁾	10	14,880		(2,135		)	12,745
Franchise agreements	25	53,300		(1,534		)	51,766
		$	494,880	$	(3,669	)	$	491,211

__________________

(1)

In connection with the Merger and the PPP Acquisition, we also recorded unfavorable lease liabilities of $10.2 million and $3.9 million, respectively, which are included in “Other current liabilities” and “Other non-current liabilities” in our Consolidated Balance Sheets. Such amounts are being amortized over a weighted average life of 10 years, and are included in “Rent expense” in our Consolidated Statements of Earnings for the Successor periods.

Schedule of Finite-Lived Intangible Assets

The following table presents our indefinite and definite-lived intangible assets at March 29, 2015:



	Successor
	Weighted Average Life (Years)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
		(in thousands)
Chuck E. Cheese's tradename	Indefinite	$	400,000	$	—		$	400,000
Peter Piper Pizza tradename ⁽¹⁾ ⁽²⁾	Indefinite	26,700		—			26,700
Favorable lease agreements ⁽²⁾	10	14,880		(2,135		)	12,745
Franchise agreements	25	53,300		(1,534		)	51,766
		$	494,880	$	(3,669	)	$	491,211

__________________

(1)


(2)	In the first quarter of 2015 we recorded an adjustment of $1.9 million related to the valuation of the PPP tradename and an adjustment of $(1.1) million related to the valuation of the favorable lease agreements intangible asset recorded in connection with the PPP Acquisition. See Note 2 “Acquisition of Peter Piper Pizza” for a discussion of these adjustments.