Investments in Productions and Investments in Acquired Content Rights

12 Months Ended

Dec. 26, 2021

Investments in Productions and Investments in Acquired Content Rights

Investments in Productions and Investments in Acquired Content RightsInvestments in productions and investments in acquired content rights are predominantly monetized on a title-by-title basis and are recorded within other assets in the Company's consolidated balance sheets, to the extent they are considered recoverable against future revenues. These amounts are being amortized to program cost amortization using a model that reflects the consumption of the asset as it is released through various channels including broadcast licenses, theatrical release and home entertainment. Amounts capitalized are reviewed periodically on an individual film basis and any portion of the unamortized amount that appears not to be recoverable from future net revenues is expensed as part of program cost amortization during the period the loss becomes evident.

Programming costs are included in other assets and consist of the following at December 26, 2021 and December 27, 2020:


(In millions)	2021		2020
Investment in Films and Television Programs:
Individual Monetization
Released, net of amortization	$	481.7	$	428.0
Completed and not released	18.5		17.3
In production	151.6		185.5
Pre-production	84.0		67.6
	735.8		698.4
Film/TV Group Monetization (1)
Released, net of amortization	32.2		—

In production	13.0		—

	45.2		—
Investment in Other programming:
Released, net of amortization	5.3		13.7
Completed and not released	0.4		2.1
In production	12.6		5.4
Pre-production	1.7		7.6
	20.0		28.8

Total Program Investments	$	801.0	$	727.2

(1) Due to a monetization strategy change, during 2021 the Company began monetizing certain content assets as a film/TV group.

The Company recorded $628.6 million of program cost amortization related to released programming during 2021, consisting of the following:


(In millions)	Investment in Production		Investment in Content		Other		Total
Program cost amortization	$	541.8	$	78.3	$	8.5	$	628.6

Based on management’s total revenue estimates at December 26, 2021, the Company's expected future amortization expenses for capitalized programming costs over the next five years are as follows:


(In millions)	2022		2023	2024	2025	2026
Completed and not released	$	19.6	0.4	0.4	0.3	0.3
Released	102.2		71.0	65.0	72.5	60.1
In production	46.6		49.2	8.7	7.9	7.1
Pre-production	6.0		8.0	10.0	—	—
Total	$	174.4	128.6	84.1	80.7	67.5

In the normal course of its business, the Company also enters into contracts related to obtaining right of first refusal ("first look deals") to purchase, distribute, or license certain entertainment projects or content. See note 20 for more information on the Company's expected future payments for first look deals.