GE 2006 Annual Report Download - page 93

Download and view the complete annual report

Please find page 93 of the 2006 GE annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 120

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120

    
Note 15
Property, Plant and Equipment
Estimated
useful lives–
December 31 (Dollars in millions) new (years) 2006 2005
ORIGINAL COST
GE
Land and improvements 8(a) $ 1,054 $ 1,366
Buildings, structures and
related equipment 8–40 10,875 10,044
Machinery and equipment 4–20 24,988 25,811
Leasehold costs and manufacturing
plant under construction 1–10 2,716 2,157
39,633 39,378
GECS(b)
Land, buildings and equipment 1–40(a) 5,447 5,543
Equipment leased to others
Aircraft 20 36,146 32,941
Vehicles 1–14 26,937 23,208
Mobile and modular space 12–25 4,059 2,889
Railroad rolling stock 5–36 3,509 3,327
Construction and manufacturing 2–25 1,932 1,609
All other 2–33 2,771 2,834
80,801 72,351
Total $120,434 $111,729
NET CARRYING VALUE
GE
Land and improvements $ 926 $ 1,269
Buildings, structures and
related equipment 5,279 4,823
Machinery and equipment 8,073 8,525
Leasehold costs and manufacturing
plant under construction 2,460 1,887
16,738 16,504
GECS(b)
Land, buildings and equipment 3,012 3,116
Equipment leased to others
Aircraft
(c) 29,886 27,116
Vehicles 17,132 14,064
Mobile and modular space 2,546 1,496
Railroad rolling stock 2,395 2,188
Construction and manufacturing 1,291 1,088
All other 1,966 1,956
58,228 51,024
Total $ 74,966 $ 67,528
(a) Estimated useful lives exclude land.
(b) Included $1,763 million and $1,935 million of original cost of assets leased to GE
with accumulated amortization of $293 million and $298 million at December 31,
2006 and 2005, respectively.
(c) The Aviation Financial Services business of Infrastructure recognized impairment
losses of $51 million in 2006 and $295 million in 2005 recorded in the caption
“Other costs and expenses” in the Statement of Earnings to reflect adjustments to
fair value based on current market values from independent appraisers.
Amortization of GECS equipment leased to others was
$5,839 million, $5,642 million and $5,365 million in 2006, 2005
and 2004, respectively. Noncancellable future rentals due from
customers for equipment on operating leases at December 31,
2006, are as follows:
(In millions)
Due in
2007 $ 8,253
2008 7,013
2009 5,744
2010 4,550
2011 3,322
2012 and later 9,647
Total $38,529
Note 16
Intangible Assets
December 31 (In millions) 2006 2005
GE
Goodwill $50,585 $48,274
Intangible assets subject to amortization 7,585 7,478
Indefinite-lived intangible assets(a) 2,295 2,087
60,465 57,839
GECS
Goodwill 22,754 21,337
Intangible assets subject to amortization 3,214 2,454
25,968 23,791
Total $86,433 $81,630
(a) Indefinite-lived intangible assets principally comprised trademarks, tradenames
and U.S. Federal Communications Commission licenses.
ge 2006 annual report 91