Annual report pursuant to Section 13 and 15(d)

Intangible Assets and Goodwill

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Intangible Assets and Goodwill
 12 Months Ended
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets and Goodwill Intangible Assets and Goodwill
The changes in the carrying amount of franchise assets and goodwill for 2018 and 2017 were as follows:
 
Franchise
Assets
Net
Goodwill
  
  (In thousands)  
Balance at December 31, 2016 $ 74,900  $ 472,437  (1)
Prior year acquisition allocations —  59,980   
Reductions from dispositions (1,400) (5,737)
Reductions from impairment (3,600) (900)
Balance at December 31, 2017 $ 69,900  $ 525,780  (2)
Additions through current year acquisitions —  —   
Reductions from dispositions (2,100) (16,188)  
Reductions from impairment (2,100) —   
Prior year acquisition allocations —  —   
Balance at December 31, 2018 $ 65,700  $ 509,592  (2)
(1) Net of accumulated impairment losses of $796.7 million.
(2) Net of accumulated impairment losses of $797.6 million.
Goodwill
We had no impairment of goodwill in 2018. We impaired approximately $0.9 million of goodwill in 2017 related to the write-off of goodwill due to the closure of two pre-owned vehicle stores that were acquired in 2016.
Other Intangible Assets
Other intangible assets consist of franchise assets and definite life intangible assets, and is presented net of accumulated amortization on the accompanying consolidated balance sheets. Pursuant to applicable accounting pronouncements, we evaluate our franchise assets and definite life intangible assets for impairment annually (as of October 1) or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the asset below its carrying amount. Franchise asset impairment charges of $2.1 million and $3.6 million for 2018 and 2017, respectively, were recorded in continuing operations based on the impairment evaluations performed.
Definite life intangible assets consist of the following:
  December 31, 2018 December 31, 2017
  (In thousands)
Favorable lease agreements $ 17,245  $ 17,317 
Less accumulated amortization (13,240) (12,628)
Definite life intangibles, net $ 4,005  $ 4,689 
Amortization expense for definite life intangible assets was approximately $0.6 million in each of 2018, 2017 and 2016. The initial weighted average amortization period for lease agreements and definite life intangible assets outstanding at December 31, 2018 was 18 years. Expiration dates for these lease agreements range between 2021 and 2027.
Future amortization expense is as follows: