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GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Note 9. Property, net
The following table summarizes the components of Property, net (dollars in millions):
Estimated Useful Lives in Years December 31, 2014 December 31, 2013
Land .................................................. $ 1,695 $ 1,868
Buildings and improvements ............................... 5-40 5,236 4,971
Machinery and equipment ................................. 3-27 16,788 15,222
Construction in progress .................................. 4,114 2,644
Real estate, plants and equipment ........................... 27,833 24,705
Less: accumulated depreciation ............................. (8,067) (6,787)
Real estate, plants and equipment, net ....................... 19,766 17,918
Special tools, net ........................................ 1-15 7,977 7,949
Total property, net ....................................... $ 27,743 $ 25,867
The amount of capitalized software included in Property, net was $817 million and $630 million in the years ended December 31,
2014 and 2013. The amount of interest capitalized and excluded from Automotive interest expense related to Property, net was $70
million, $81 million and $117 million in the years ended December 31, 2014, 2013 and 2012.
The following table summarizes depreciation, amortization and impairment charges related to Property, net (dollars in millions):
Years Ended December 31,
2014 2013 2012
Depreciation and amortization expense ................................................ $ 4,187 $ 3,959 $ 3,888
Impairment charges (a) ............................................................ 709 901 3,793
Depreciation, amortization and impairment charges ...................................... $ 4,896 $ 4,860 $ 7,681
Capitalized software amortization expense (b) .......................................... $ 295 $ 244 $ 209
(a) Includes impairment charges of $321 million and $179 million at GMIO and GME whose assets were written down to fair values of $85 million
and $11 million at December 31, 2014. Also includes other assets whose fair value was determined to be $0 in the years ended December 31,
2014, 2013 and 2012 measured utilizing Level 3 inputs. Fair value measurements of the non-GMIO and non-GME asset group long-lived assets
utilized projected cash flows discounted at a rate commensurate with the perceived business risks related to the assets involved.
(b) Included in total depreciation, impairment charges and amortization expense.
Impairment Charges
Year Ended December 31, 2013
GMIO
As a result of our strategic assessment of GM India in response to lower than expected sales performance of our current product
offerings in India, higher raw material costs, unfavorable foreign exchange rates and recent deterioration in local market conditions
we recorded impairment charges of $280 million to adjust the carrying amount of GM India’s real and personal property to fair value
of $45 million. These charges were recorded in Automotive cost of sales. We also recorded intangible asset and goodwill impairment
charges of $103 million, for total impairment charges of $383 million. The noncontrolling interest portion of these charges was $35
million based on our 90.8% ownership of GM India. Refer to Note 11 for additional information regarding the impairment of
Intangible assets, net and Note 10 for additional information regarding the impairment of Goodwill.
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