Jack In The Box 2007 Annual Report Download - page 63

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requirement to recognize over and under funding of our pension and post-retirement health plans. See Note 7,
Retirement Plans, for additional information.
2. INTANGIBLE ASSETS, NET
Intangible assets, net consist of the following as of September 30, 2007 and October 1, 2006 (in thousands):
2007 2006
Amortized intangible assets:
Gross carrying amount ....................................... $58,237 $ 59,151
Less accumulated amortization ................................. (46,980) (46,930)
Net carrying amount ........................................ 11,257 12,221
Unamortized intangible assets:
Trademark ................................................ 8,800 8,800
Total intangible assets, net ...................................... $20,057 $ 21,021
Amortized intangible assets include lease acquisition costs and acquired franchise contracts. The weighted-average
life of the amortized intangible assets is approximately 25 years. Total amortization expense related to intangible assets
was $0.9 million, $1.0 million and $1.2 million in fiscal years 2007, 2006 and 2005, respectively.
The following table summarizes, as of September 30, 2007, the estimated amortization expense for each of the
next five fiscal years (in thousands):
Fiscal Year
2008 ................................................................. $ 788
2009 ................................................................. 757
2010 ................................................................. 742
2011 ................................................................. 741
2012 ................................................................. 722
Total ................................................................. $3,750
3. INDEBTEDNESS
The detail of long-term debt at each year-end follows (in thousands):
2007 2006
Term loan, variable interest rate based on an applicable margin plus LIBOR,
6.52% at September 30, 2007, quarterly payments of 1.25%, 2.50%,
3.75% and 15.00% of the outstanding principal amount in calendar years
2008, 2009-2010, 2011 and 2012, respectively ..................... $415,000 $ —
Term loan, replaced in fiscal 2007 ................................ — 268,125
Capital lease obligations, 8.74% weighted average interest rate ........... 18,053 23,175
Other notes, principally unsecured, 9.54% weighted average
interest rate ............................................... 250 470
433,303 291,770
Less current portion .......................................... (5,787) (37,539)
$427,516 $254,231
F-13
JACK IN THE BOX INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)