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Goodwill and Other Intangible Assets
 6 Months Ended
Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets
The carrying amount of goodwill, by operating segment is as follows:
(In thousands)Domestic OperationsInternational
and Other		Total
December 31, 2022$349,292 $294,127 $643,419 
Impairment charge— (1,877)(1,877)
Amortization of "second component" goodwill(560)— (560)
Foreign currency translation— 7,220 7,220 
June 30, 2023$348,732 $299,470 $648,202 
As of June 30, 2023 and December 31, 2022, accumulated impairment charges in the International and Other segment totaled $165.7 million and $163.8 million, respectively.
The $1.9 million impairment charge for International and Other relates to the 25/7 Media reporting unit. See "Impairment Test of Long-Lived Assets and Goodwill" below for more details.
The reduction of $0.6 million in the carrying amount of goodwill for Domestic Operations is due to the realization of a tax benefit for the amortization of "second component" goodwill at SundanceTV. Second component goodwill is the amount of tax deductible goodwill in excess of goodwill for financial reporting purposes. In accordance with the authoritative guidance at the time of the SundanceTV acquisition, the tax benefits associated with this excess are applied to first reduce the amount of goodwill, and then other intangible assets for financial reporting purposes, if and when such tax benefits are realized in the Company's tax returns. As of June 30, 2023, all tax benefits have been realized.
The following tables summarize information relating to the Company's identifiable intangible assets:
(In thousands)June 30, 2023
GrossAccumulated AmortizationNetEstimated Useful Lives
Amortizable intangible assets:
Affiliate and customer relationships$639,664 $(407,959)$231,705 
6 to 25 years
Advertiser relationships46,282 (36,546)9,736 
11 years
Trade names and other amortizable intangible assets106,755 (55,816)50,939 
3 to 20 years
Total amortizable intangible assets792,701 (500,321)292,380 
Indefinite-lived intangible assets:
Trademarks19,900 — 19,900 
Total intangible assets$812,601 $(500,321)$312,280 
(In thousands)December 31, 2022
GrossAccumulated AmortizationNet
Amortizable intangible assets:
Affiliate and customer relationships$634,000 $(373,240)$260,760 
Advertiser relationships46,282 (34,443)11,839 
Trade names and other amortizable intangible assets105,338 (43,161)62,177 
Total amortizable intangible assets785,620 (450,844)334,776 
Indefinite-lived intangible assets:
Trademarks19,900 — 19,900 
Total intangible assets$805,520 $(450,844)$354,676 

Aggregate amortization expense for amortizable intangible assets for the three months ended June 30, 2023 and 2022 was $10.5 million and $10.4 million, respectively, and for the six months ended June 30, 2023 and 2022 was $20.9 million and $21.0 million, respectively. Estimated aggregate amortization expense for intangible assets subject to amortization for each of the following five years is:
(In thousands)
Years Ending December 31,
2023$40,615 
202439,404 
202537,667 
202633,294 
202728,540 
Impairment Test of Long-Lived Assets and Goodwill
25/7 Media is our production services business and is part of our International and Other operating segment. See "Item 1. Business - International and Other" in our 2022 Form 10-K for further details. During the second quarter of 2023, given the impact of market challenges at 25/7 Media, specifically as it relates to reduced demand for new content and series cancellations from third parties, the Company revised its outlook for the 25/7 Media business, resulting in lower expected future cash flows. As a result, the Company determined that sufficient indicators of potential impairment of long-lived assets existed at 25/7 Media. The Company performed a recoverability test and determined that the carrying amount of the 25/7 Media asset group was not recoverable. The carrying value of the asset group exceeded its fair value, therefore an impairment charge of $23.0 million was recorded for identifiable intangible assets, which is included in impairment and other charges in the consolidated statement of income within the International and Other operating segment. Fair values used to determine the impairment charge were determined using an income approach, specifically a discounted cash flow ("DCF") model, and a
market comparables approach. The DCF model includes significant assumptions about revenue growth rates, long-term growth rates and enterprise specific discount rates. Given the uncertainty in determining assumptions underlying the DCF approach, actual results may differ from those used in the valuations.During the second quarter of 2023, the Company also determined that a triggering event had occurred with respect to the 25/7 Media reporting unit, which required an interim goodwill impairment test to be performed. Accordingly, the Company performed a quantitative assessment using an income approach, specifically a DCF model, and a market comparables approach. Based on the valuations performed, a $1.9 million goodwill impairment charge was recorded, which is included in impairment and other charges in the consolidated statement of income, within the International and Other operating segment.