XML 55 R42.htm IDEA: XBRL DOCUMENT v3.22.4
Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Franchise Rights and Other Identifiable Intangible Assets
The components of the Company's intangible assets, including intangibles established from the acquisition of Radisson Hotels Americas (refer to Note 24), are as follows:
As of December 31, 2022As of December 31, 2021
(in thousands)Gross Carrying AmountAccumulated AmortizationNet Carrying ValueGross Carrying AmountAccumulated AmortizationNet Carrying Value
Franchise Rights(1)
$352,665 $104,836 $247,829 $190,641 $105,604 $85,037 
Franchise Agreement Acquisition Costs(2)
307,169 68,085 239,084 263,718 66,373 197,345 
Trademarks & Other(3)
19,236 12,888 6,348 16,152 12,403 3,749 
Capitalized SaaS Licenses(4)
17,807 15,592 2,215 14,773 11,529 3,244 
Total amortizing intangible assets696,877 201,401 495,476 485,284 195,909 289,375 
Trademarks (non-amortizing)(5)
246,714 — 246,714 23,014 — 23,014 
Total intangible assets$943,591 $201,401 $742,190 $508,298 $195,909 $312,389 
(1)Represents the purchase price assigned to long-term franchise contracts. The unamortized balance relates primarily to franchise rights established from the Radisson Transaction, as well as WoodSpring franchise rights active since acquisition. The franchise rights are being amortized over lives ranging from 12 to 15 years on a straight-line basis.
(2)Represents certain payments to customers as an incentive to enter into new franchise agreements generally amortized as an offset to royalty fees and marketing and reservation system fees over lives ranging from 5 to 30 years on a straight-line basis commencing at hotel opening. Gross and accumulated amortization amounts are written off upon full amortization recognition, including at termination of an associated franchise agreement. Refer to Note 2 for discussion of impairments recognized.
(3)Represents definite-lived trademarks and other various amortizing assets, including management agreements, generally amortized on a straight-line basis over a period of 10 years to 30 years.
(4)Represents software licenses capitalized under a SaaS agreement which are generally amortized on a straight-line basis over an average period of 3 years.
(5)Represents the purchase price assigned to the Radisson, WoodSpring and Suburban trademarks established at the time of their respective acquisitions. The trademarks are expected to generate future cash flows for an indefinite period of time and therefore are non-amortizing.
Schedule of Intangible Assets, Estimated Annual Amortization Expense
The estimated annual amortization expense related to the Company’s amortizing intangible assets for each of the next five years is as follows:
 
(in thousands)
2023$41,092 
2024$39,044 
2025$38,497 
2026$37,740 
2027$36,608