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Goodwill and Other Intangible Assets | 9 Months Ended
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Oct. 05, 2024
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets | 7. GOODWILL AND OTHER INTANGIBLE ASSETS The table below summarizes our goodwill and other intangible assets at October 5, 2024 and December 30, 2023, respectively, each of which is explained in additional detail below (amounts in thousands):
|  | October 5, 2024 |  |  | December 30, 2023 |
Goodwill |  | $ | 679,896 |  |  | $ | 677,796 |
Amortizable intangible assets, net |  |  | 506,444 |  |  |  | 530,642 |
Indefinite-lived intangible assets |  |  | 127,100 |  |  |  | 127,100 |
Total goodwill and other intangible assets |  | $ | 1,313,440 |  |  | $ | 1,335,538 |
The changes in the carrying amount of goodwill during the forty weeks ended October 5, 2024, during which time we finalized the purchase accounting for the acquisition of Papa Pita, are as follows (amounts in thousands):
|  | Total |
Balance as of December 30, 2023 |  | $ | 677,796 |
Measurement period adjustment (see Note 4, Acquisition) |  |  | 2,100 |
Balance as of October 5, 2024 |  | $ | 679,896 |
On February 17, 2023, the company completed the acquisition of Papa Pita for total consideration of $274.8 million, inclusive of a net working capital adjustment payment. The acquisition included several amortizable intangible assets which total $27.1 million and are included in the table below. See Note 4, Acquisition, for details of the assets and the respective amortization period by category. As of October 5, 2024 and December 30, 2023, respectively, the company had the following amounts related to amortizable intangible assets (amounts in thousands):
|  | October 5, 2024 |  |  | December 30, 2023 |
Asset |  | Cost |  |  | Accumulated Amortization |  |  | Net Value |  |  | Cost |  |  | Accumulated Amortization |  |  | Net Value |
Trademarks |  | $ | 481,715 |  |  | $ | 119,000 |  |  | $ | 362,715 |  |  | $ | 481,715 |  |  | $ | 107,562 |  |  | $ | 374,153 |
Customer relationships |  |  | 340,221 |  |  |  | 196,846 |  |  |  | 143,375 |  |  |  | 340,221 |  |  |  | 184,222 |  |  |  | 155,999 |
Non-compete agreements |  |  | 5,454 |  |  |  | 5,264 |  |  |  | 190 |  |  |  | 5,454 |  |  |  | 5,206 |  |  |  | 248 |
Distributor relationships |  |  | 4,123 |  |  |  | 3,959 |  |  |  | 164 |  |  |  | 4,123 |  |  |  | 3,881 |  |  |  | 242 |
Total |  | $ | 831,513 |  |  | $ | 325,069 |  |  | $ | 506,444 |  |  | $ | 831,513 |  |  | $ | 300,871 |  |  | $ | 530,642 |
Aggregate amortization expense for the twelve and forty weeks ended October 5, 2024 and October 7, 2023 was as follows (amounts in thousands):
|  | Amortization Expense |
For the twelve weeks ended October 5, 2024 |  | $ | 7,218 |
For the twelve weeks ended October 7, 2023 |  | $ | 7,572 |
For the forty weeks ended October 5, 2024 |  | $ | 24,198 |
For the forty weeks ended October 7, 2023 |  | $ | 24,891 |
Estimated amortization of intangibles for each of the next five years is as follows (amounts in thousands):
|  | Amortization of Intangibles |
Remainder of 2024 |  | $ | 7,182 |
2025 |  | $ | 30,746 |
2026 |  | $ | 28,891 |
2027 |  | $ | 27,242 |
2028 |  | $ | 25,611 |
There were $127.1 million of indefinite-lived intangible trademark assets separately identified from goodwill at October 5, 2024 and December 30, 2023. These trademarks are classified as indefinite-lived because we believe they are well established brands with a long history and well-defined markets. We believe these factors support an indefinite life. We perform an annual impairment analysis, or on an interim basis if the facts and circumstances change, to determine if the trademarks are realizing their expected economic benefits.

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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