Note 8 - Goodwill and Intangible Assets

6 Months Ended

Aug. 31, 2017

Goodwill and Intangible Assets Disclosure [Text Block]

NOTE

– GOODWILL AND INTANGIBLE ASSETS

Intangible assets consist of the following:

					August 31, 2017				February 28, 2017
	Amortization Period (Years)				Gross Carrying Value		Accumulated Amortization		Gross Carrying Value		Accumulated Amortization
Intangible assets subject to amortization
Store design			10		$	220,778	$	211,903	$	220,778	$	211,152
Packaging licenses		3	-	5		120,830		120,830		120,830		120,830
Packaging design			10			430,973		430,973		430,973		430,973
Trademark /Non-competition agreements		5	-	20		715,340		114,301		715,339		92,758
Franchise rights			20			5,979,637		1,343,812		5,971,129		1,144,957
Total						7,467,558		2,221,819		7,459,049		2,000,670
Intangible assets not subject to amortization
Franchising segment-
Company stores goodwill					$	1,099,328	$	267,020	$	1,099,328	$	267,020
Franchising goodwill						295,000		197,682		295,000		197,682
Manufacturing segment- goodwill						295,000		197,682		295,000		197,682
Trademark						20,000		-		20,000		-
Total goodwill						1,709,328		662,384		1,709,328		662,384

Total Intangible Assets					$	9,176,886	$	2,884,203	$	9,168,377	$	2,663,054

Effective

March 1, 2002,

under Accounting Standards Codification Topic

350,

all goodwill with indefinite lives is

longer subject to amortization. Accumulated amortization related to intangible assets

not

subject to amortization is a result of amortization expense related to indefinite life goodwill incurred prior to

March 1, 2002.

Amortization expense related to intangible assets totaled

$221,381

and

$211,125

during the

six

months ended

August 31, 2017

and

2016,

respectively.

August 31, 2017,

annual amortization of intangible assets, based upon our existing intangible assets and current useful lives, is estimated to be the following:

2018		224,435
2019		452,069
2020		438,912
202 1		427,203
2022		404,022
Thereafter		3,299,098
Total	$	5,245,739

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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