Verizon Wireless 2012 Annual Report Download - page 63

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61
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued
The amortization expense for Other intangible assets was as follows:
Years (dollars in millions)
2012 $ 1,540
2011 1,505
2010 1,812
Estimated annual amortization expense for Other intangible assets is as
follows:
Years (dollars in millions)
2013 $ 1,633
2014 1,176
2015 988
2016 790
2017 593
NOTE 3
WIRELESS LICENSES, GOODWILL AND OTHER INTANGIBLE ASSETS
Wireless Licenses
Changes in the carrying amount of Wireless licenses are as follows:
(dollars in millions)
Balance at January 1, 2011 $ 72,996
Acquisitions (Note 2) 58
Capitalized interest on wireless licenses 196
Balance at December 31, 2011 $ 73,250
Acquisitions (Note 2) 4,544
Capitalized interest on wireless licenses 205
Reclassifications, adjustments and other (255)
Balance at December 31, 2012 $ 77,744
Reclassifications, adjustments, and other includes the exchanges of wireless licenses in 2012. See Note 2 (“Acquisitions and Divestitures”) for additional
details.
At December 31, 2012 and 2011, approximately $7.3 billion and $2.2 billion, respectively, of wireless licenses were under development for commercial
service for which we were capitalizing interest costs.
The average remaining renewal period of our wireless license portfolio was 6.1 years as of December 31, 2012 (see Note 1, Goodwill and Other
Intangible Assets – Intangible Assets Not Subject to Amortization).
Goodwill
Changes in the carrying amount of Goodwill are as follows:
(dollars in millions)
Verizon
Wireless Wireline Total
Balance at January 1, 2011 $ 17,869 $ 4,119 $ 21,988
Acquisitions (Note 2) 94 1,275 1,369
Balance at December 31, 2011 $ 17,963 $ 5,394 $ 23,357
Acquisitions (Note 2) 209 551 760
Reclassifications, adjustments and other – 22 22
Balance at December 31, 2012 $ 18,172 $ 5,967 $ 24,139
Other Intangible Assets
The following table displays the composition of Other intangible assets, net:
(dollars in millions)
2012 2011
At December 31,
Gross
Amount
Accumulated
Amortization
Net
Amount
Gross
Amount
Accumulated
Amortization
Net
Amount
Customer lists (6 to 13 years) $ 3,556 $ (2,338) $ 1,218 $ 3,529 $ (2,052) $ 1,477
Non-network internal-use software (3 to 7 years) 10,415 (6,210) 4,205 9,536 (5,487) 4,049
Other (2 to 25 years) 802 (292) 510 561 (209) 352
Total $ 14,773 $ (8,840) $ 5,933 $ 13,626 $ (7,748) $ 5,878