Note 9: Film and Television Costs, Net

As of December 31, 2021, the Company had net Film and Television Costs of $2.9 million, compared to $11.8 million as of December 31, 2020. The decrease in Film and Television Costs was primarily due to production cost impairments of $18.2 million as described below, amortization of Rainbow Rangers Seasons 1 & 2 and Llama Llama Seasons 1 & 2, offset by an increase primarily related to the production costs associated with Stan Lee’s Superhero Kindergarten and KC! Pop Quiz.

During the years ended December 31, 2021 and December 31, 2020, the Company recorded Film and Television Cost amortization expense of $19.5 million and $0.98 million, respectively. As of December 31, 2021, the amortization includes an impairment expense of $18.2 million. The production cost impairments were due to management’s periodic assessment of the ultimate revenues expected to be recognized on each episodic series, in conjunction with historical performance and current market conditions and determined the estimated future cash flows were not sufficient to recover the entire unamortized asset.

The following table highlights the activity in Film and Television Costs as of December 31, 2021 and 2020 (in thousands):