Acquisition of Business

In December 2018, the Company acquired 69 Applebee's restaurants in North and South Carolina from an Applebee's franchisee for a total purchase price of $21.6 million. The Company entered into the transaction to resolve certain franchisee health issues in what the Company believes was the most expedient and favorable was for the Company. Indirect costs of $1.1 million related to the transaction were charged as general and administrative expenses.

The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed at the acquisition date:



	2018
	(In millions)
Reacquired franchise rights	$	11.6
Equipment and fixtures	10.0
Inventory	1.4
Total identifiable assets acquired	23.0

Above-market leaseholds, net	(6.5		)
Other liabilities	(1.0		)
Net identifiable assets acquired	15.5
Goodwill	6.1
Consideration transferred	$	21.6

The net liability for above-market leaseholds in included in other non-current liabilities in the Consolidated Balance Sheet and will be amortized over a weighted average life of 11 years.

The purchase price allocation is preliminary, subject to finalization of certain transition cut-off adjustments typical with transactions of this nature. There are no significant unresolved contingencies. The Company does not expect there will be material adjustments to the preliminary purchase price allocation.

The results of operation of these restaurants are included in the Company's consolidated results from the acquisition date. The Company has not presented pro forma results of the restaurants for periods prior to the acquisition because the business is not considered significant as measured by the amount of the Company's investment in and assets of the business relative to the Company's consolidated balance sheet and by the income before income taxes of the business relative to the Company's average income before income taxes for the most recent five-year period excluding loss years.