Note 5 – Royalty Revenue and Related Expenses

The Corporation has agreements for licensing certain characters and other intellectual property. These license agreements provide for royalty revenue to the Corporation, which is recorded in “Other revenue” on the Consolidated Statement of Income. These license agreements may include the receipt of upfront advances, which are recorded as deferred revenue and earned during the period of the agreement. Revenues and expenses associated with the servicing of these agreements, primarily relating to the licensing activities included in the Non-reportable segment, are summarized as follows:


	Three Months Ended				Nine Months Ended
(In thousands)	November 25, 2016		November 27, 2015		November 25, 2016		November 27, 2015
Royalty revenue	$	2,286	$	2,956	$	5,970	$	6,060

Royalty expenses:
Material, labor and other production costs	$	952	$	801	$	2,267	$	2,976
Selling, distribution and marketing expenses		660		601		2,158		2,292
Administrative and general expenses		220		381		712		1,092

	$	1,832	$	1,783	$	5,137	$	6,360