What was the amortized value of AutoClerk's acquired customers for Best Western?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
t more likely than not that the Company will be required to sell these securities, and (ii) the qualitative considerations noted above, that there is no allowance for credit losses on the available-for-sale investment portfolio. No impairment was recorded for the years ended November 30, 2024 and 2023.
The aggregate fair value of investments in an unrealized loss position, the amount of unrealized losses, and the duration of the losses are shown below:
| (in thousands) | | Amount | Amortization | November 30 | | |---|---|---|---|---|---| | Amortizing goodwill: | | | | | | | WorldHotels | | $ 4,554 | $ (1,750) | | $ 2,804 | | AutoClerk | 2,198 | (953) | 1,245 | | | | Amortizing other intangible assets: | | | | | | | Acquired customers: | | | | | | | AutoClerk | 1,500 | (867) | 633 | | | | Developed technology: | | | | | | | AutoClerk | 1,900 | (1,029) | 871 | | |
November 30, 2024
| Years ending | | | |---|---|---| | November 30, | | Principal | | 2025 | | $ 677 | | 2026 | 699 | | | 2027 | 21,906 | | | Total | | $ 23,282 | | Years ending | | | |---|---|---| | November 30, | | Principal | | 2025 | | $ 402 | | 2026 | 416 | | | 2027 | 14,058 | | | Total | | $ 14,876 | The amortized cost basis and fair value of debt securities at November 30, 2024, by contractual maturity date, are shown below:
| (in thousands) | 2023 | 2022
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the amortized value of AutoClerk's acquired customers can be found in the provided tables detailing amortizing other intangible assets. As of November 30, the amortized value for AutoClerk's acquired customers was $(867) thousand, resulting in a net carrying amount of $633 thousand.
In a subsequent table, as of November 30, the accumulated amortization for AutoClerk's acquired customers was $(1,067) thousand, resulting in a net carrying amount of $433 thousand. These figures reflect the reduction in value of the acquired customer base over time due to amortization, an accounting practice that systematically reduces the book value of an intangible asset over its useful life.
These values are important for prospective Best Western franchisees as they provide insight into how Best Western accounts for its acquisitions and manages its intangible assets. Understanding these accounting practices can help franchisees assess the financial health and stability of Best Western and its subsidiaries. Additionally, it shows how the value of acquired assets, like AutoClerk's customer base, are recognized and depreciated over time, which can impact Best Western's overall financial performance.