Intel 2013 Annual Report Download - page 82

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77
Note 9: Divestitures
In the first quarter of 2011, we completed the divestiture of our Digital Health Group by entering into an agreement
with GE to form an equally owned joint venture to create a new healthcare company focused on independent living
and delivery of health-related services via telecommunications. The new company, Care Innovations, was formed
by combining assets of GE Healthcare’s Home Health division and Intel’s Digital Health Group. During the first
quarter of 2011, as a result of the formation of Care Innovations, we recognized a gain of $164 million, within
interest and other, net. For further information, see “Note 5: Cash and Investments.”
Note 10: Goodwill
Goodwill activity for each period was as follows:
(In Millions) PC Client
Group Data Center
Group
Other Intel
Architecture
Operating
Segments
Software and
Services
Operating
Segments Total
December 31, 2011 $2,918 $1,553 $ 844 $ 3,939 $ 9,254
Additions due to acquisitions 44 286 78 44 452
Impairments —— (6) — (6)
Effect of exchange rate fluctuations —— — 10 10
December 29, 2012 $2,962 $1,839 $ 916 $ 3,993 $ 9,710
Additions due to acquisitions 62 14 171 504 751
Transfers 34 (22) (12) — —
Effect of exchange rate fluctuations —— — 52 52
December 28, 2013 $3,058 $1,831 $ 1,075 $ 4,549 $ 10,513
In 2013, we completed a reorganization of IMC into our Multi-Comm and existing Phone Group operating segments.
Goodwill related to the former IMC was allocated between Multi-Comm and the Phone Group within the Other IA
operating segments. Also in 2013, we completed a reorganization that transferred a portion of our wired connectivity
business formerly included within the Data Center Group (DCG) to the PC Client Group (PCCG). Due to this
reorganization, goodwill was transferred from DCG to PCCG.
In 2012, we reorganized and allocated goodwill from the Netbook and Tablet Group into three operating segments:
Netbook Group, Tablet Group, and Service Provider Group. These three new operating segments are still included
in the Other IA operating segments. Additionally, the former Ultra-Mobility Group is now the Phone Group.
For further information on these reorganizations, see “Note 27: Operating Segments and Geographic Information.”
During the fourth quarters of 2013, 2012, and 2011, we completed our annual impairment assessments and we
concluded that goodwill was not impaired in any of these years. The accumulated impairment losses as of
December 28, 2013, were $719 million: $346 million associated with PCCG, $275 million associated with DCG, and
$98 million associated with Other IA operating segments.
Table of Contents
INTEL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)