17. GOODWILL AND OTHER INTANGIBLE ASSETS-NET
The changes in amounts of goodwill by operating segments were as follows in millions of dollars:
|
|
Agriculture |
|
Construction |
|
|
| |||||||
|
|
and |
|
and |
|
|
| |||||||
|
|
Turf |
|
Forestry |
|
Total |
| |||||||
Balance at October 31, 2011 |
|
|
$ |
701 |
|
|
|
$ |
615 |
|
|
$ |
1,316 |
|
Less accumulated impairment losses |
|
|
316 |
|
|
|
|
|
|
316 |
| |||
Net balance |
|
|
385 |
|
|
|
615 |
|
|
1,000 |
| |||
Impairment loss* |
|
|
(33 |
) |
|
|
|
|
|
(33 |
) | |||
Translation adjustments and other |
|
|
(15 |
) |
|
|
(31 |
) |
|
(46 |
) | |||
Balance at October 31, 2012 |
|
|
686 |
|
|
|
584 |
|
|
1,270 |
| |||
Less accumulated impairment losses |
|
|
349 |
|
|
|
|
|
|
349 |
| |||
Net balance |
|
|
337 |
|
|
|
584 |
|
|
921 |
| |||
Reclassification to assets held for sale** |
|
|
(395 |
) |
|
|
|
|
|
(395 |
) | |||
Acquisition* |
|
|
13 |
|
|
|
|
|
|
13 |
| |||
Translation adjustments and other |
|
|
(2 |
) |
|
|
19 |
|
|
17 |
| |||
Balance at October 31, 2013 |
|
|
302 |
|
|
|
603 |
|
|
905 |
| |||
Less accumulated impairment losses** |
|
|
60 |
|
|
|
|
|
|
60 |
| |||
Goodwill |
|
|
$ |
242 |
|
|
|
$ |
603 |
|
|
$ |
845 |
|
* See Notes 4 and 5.
** Accumulated impairment losses were also reduced by $289 million related to Landscapes reclassification to held for sale (see Note 4).
|
|
|
|
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|
|
|
|
|
|
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|
|
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|
|
The components of other intangible assets are as follows in millions of dollars:
|
|
Useful Lives* |
|
2013 |
|
2012 |
| ||
Amortized intangible assets: |
|
|
|
|
|
|
| ||
Customer lists and relationships |
|
15 |
|
$ |
20 |
|
$ |
99 |
|
Technology, patents, trademarks and other |
|
18 |
|
88 |
|
109 |
| ||
Total at cost |
|
|
|
108 |
|
208 |
| ||
Less accumulated amortization** |
|
|
|
35 |
|
107 |
| ||
Total |
|
|
|
73 |
|
101 |
| ||
Unamortized intangible assets: |
|
|
|
|
|
|
| ||
Licenses |
|
|
|
4 |
|
4 |
| ||
Other intangible assets-net |
|
|
|
$ |
77 |
|
$ |
105 |
|
* Weighted-averages
** Accumulated amortization at 2013 and 2012 for customer lists and relationships was $8 million and $60 million and technology, patents, trademarks and other was $27 million and $47 million, respectively.
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|
|
|
|
|
|
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|
|
Other intangible assets are stated at cost less accumulated amortization. The amortization of other intangible assets in 2013, 2012 and 2011 was $22 million, $21 million and $20 million, respectively. The estimated amortization expense for the next five years is as follows in millions of dollars: 2014 – $12, 2015 – $11, 2016 – $10, 2017 – $10 and 2018 – $6.