Coca Cola 2003 Annual Report Download - page 33

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assets in Germany may be at risk for impairment. We proactively managed and will continue to manage our
investments in new returnable lines and related bottling infrastructure to minimize our exposure as the ongoing
regulatory changes develop. We will continue to monitor this situation.
For the following noncurrent assets, we perform tests of impairment, as appropriate. For the applicable
assets, we perform tests when certain conditions exist that may indicate the carrying value may not be
recoverable. For other applicable assets, we perform tests at least annually or more frequently if events or
circumstances indicate that an asset may be impaired:
Percentage
Carrying of Total
December 31, 2003 Value Assets
(In millions except percentages)
Tested for impairment when conditions exist that indicate
carrying value may not be recoverable:
Equity method investments $ 5,224 19
Cost method investments, principally bottling companies 314 1
Other assets 3,322 12
Property, plant and equipment, net 6,097 22
Amortized intangible assets, net (various, principally
trademarks) 165 1
Tested for impairment at least annually or when events indicate
that an asset may be impaired:
Trademarks with indefinite lives $ 1,979 7
Goodwill 1,029 4
Bottlers’ franchise rights 658 2
Other intangible assets not subject to amortization 158 1
Many of the noncurrent assets listed above are located in markets that we consider to be developing or to
have changing political environments. These markets include Germany, where the future of the nonreturnable
deposit law creates uncertainty; the Middle East, where political and civil unrest continues; and certain markets
in Latin America, Asia and Africa where local economic and political conditions are unstable. In many of these
markets, the Company has bottling assets and investments. The list below reflects the Company’s carrying value
of noncurrent assets in these markets. By nature, these assets involve inherent risks not relevant to assets located
in developed or stable markets.
Percentage of
Carrying Applicable
December 31, 2003 Value Line Item Above
(In millions except percentages)
Tested for impairment when conditions exist that indicate
carrying value may not be recoverable:
Equity method investments $ 552 11
Cost method investments, principally bottling companies 108 34
Other assets 245 7
Property, plant and equipment, net 1,813 30
Amortized intangible assets, net (various, principally
trademarks) 56 34
Tested for impairment at least annually or when events indicate
that an asset may be impaired:
Trademarks with indefinite lives $ 204 10
Goodwill 853 83
Bottlers’ franchise rights 436 66
Other intangible assets not subject to amortization 26 16
30