3.Goodwill, Trademarks, and Other Intangible Assets

 

Goodwill, trademarks and other intangibles, net, consisted of the following as of December 27, 2014 and December 28, 2013 (in thousands):

 

 

The trademarks are deemed to have an indefinite useful life because they are expected to generate cash flows indefinitely.  Amortization expense was $1,204,000, $288,000 and $23,000 for the years ended December 27, 2014, December 28, 2013 and December 29, 2012, respectively.  As of December 27, 2014, we expect amortization expense on these intangible assets over the next five years to be as follows (in thousands):

 

 

Goodwill and trademarks are reviewed for impairment annually in the fourth fiscal quarter, or more frequently if impairment indicators arise.  Goodwill is required to be tested for impairment between the annual tests if an event occurs or circumstances change that more-likely-than-not reduces the fair value of a reporting unit below its carrying value.  Intangible assets with indefinite lives are required to be tested for impairment between the annual tests if an event occurs or circumstances change indicating that the asset might be impaired.  No impairments were determined through our testing for the year ended December 27, 2014.