Verizon Wireless 2007 Annual Report Download - page 56

Download and view the complete annual report

Please find page 56 of the 2007 Verizon Wireless 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 76

  • 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

54
Notes to Consolidated Financial Statements continued
NOTE 9
GOODWILL AND OTHER INTANGIBLE ASSETS
Goodwill
Changes in the carrying amount of goodwill are as follows:
(dollars in millions)
Wireline
Domestic
Wireless Total
Balance at December 31, 2005 $ 315 $ – $ 315
Acquisitions 5,085 345 5,430
Reclassications and adjustments (90) – (90)
Balance at December 31, 2006 $ 5,310 $ 345 $ 5,655
Acquisitions 343 – 343
Reclassications and adjustments (753) – (753)
Balance at December 31, 2007 $ 4,900 $ 345 $ 5,245
Reclassifications and adjustments to goodwill include the impact of
adopting FIN 48 (see Note 1) of $100 million as of January 1, 2007, as well
as to reflect revised estimated tax bases of acquired assets and liabilities
during 2007 and 2006.
Other Intangible Assets
The following table displays the details of other intangible assets:
(dollars in millions)
At December 31, 2007 At December 31, 2006
Gross
Amount
Accumulated
Amortization
Gross
Amount
Accumulated
Amortization
Finite-lived intangible assets:
Customer lists (3 to 10 years) $ 1,307 $ 459 $ 1,278 $ 270
Non-network internal-use software (2 to 7 years) 8,116 4,147 7,777 3,826
Other (1 to 25 years) 215 44 204 23
Total $ 9,638 $ 4,650 $ 9,259 $ 4,119
Indenite-lived intangible assets:
Wireless licenses $ 50,796 $ 50,959
Reclassifications and adjustments to wireless licenses include the impact
of adopting FIN 48 (see Note 1) of $535 million as of January 1, 2007,
partially offset by acquisitions during 2007.
Amortization expense was $1,341 million, $1,423 million, and $1,444 mil-
lion for the years ended December 31, 2007, 2006 and 2005, respectively
and is estimated to be $1,324 million in 2008, $1,116 million in 2009, $884
million in 2010, $696 million in 2011 and $472 million in 2012. Customer
lists and relationships of $3,313 million at Domestic Wireless became fully
amortized during 2006.