NOTE 9. GOODWILL AND OTHER INTANGIBLE ASSETS
The following table summarizes the changes in the carrying amount of goodwill for 2013 and 2012:
|
| | | | | | | | | | | | | | | | | | | |
In millions | Components | | Distribution | | Power Generation | | Engine | | Total |
Balance at December 31, 2011 | $ | 311 |
| | $ | 10 |
| | $ | 12 |
| | $ | 6 |
| | $ | 339 |
|
Acquisitions | 91 |
| | 9 |
| | — |
| | — |
| | 100 |
|
Translation and other | 6 |
| | — |
| | — |
| | — |
| | 6 |
|
Balance at December 31, 2012 | 408 |
| | 19 |
| | 12 |
| | 6 |
| | 445 |
|
Acquisitions | — |
| | 13 |
| | — |
| | — |
| | 13 |
|
Translation and other | 3 |
| | (1 | ) | | 1 |
| | — |
| | 3 |
|
Balance at December 31, 2013 | $ | 411 |
| | $ | 31 |
| | $ | 13 |
| | $ | 6 |
| | $ | 461 |
|
Intangible assets that have finite useful lives are amortized over their estimated useful lives. The following table summarizes our other intangible assets with finite useful lives that are subject to amortization:
|
| | | | | | | |
| December 31, |
In millions | 2013 | | 2012 |
Software | $ | 494 |
| | $ | 495 |
|
Less: Accumulated amortization | (218 | ) | | (218 | ) |
Net software | 276 |
| | 277 |
|
Trademarks, patents and other | 135 |
| | 140 |
|
Less: Accumulated amortization | (54 | ) | | (48 | ) |
Net trademarks, patents and other | 81 |
| | 92 |
|
Total | $ | 357 |
| | $ | 369 |
|
Amortization expense for software and other intangibles totaled $86 million, $64 million, and $57 million for the years ended December 31, 2013, 2012 and 2011, respectively. Internal and external software costs (excluding those related to research, re-engineering and training), trademarks and patents are amortized generally over a 3 to 12 year period. The projected amortization expense of our intangible assets, assuming no further acquisitions or dispositions, was as follows:
|
| | | | | | | | | | | | | | | | | | | |
| For the years ended |
In millions | 2014 | | 2015 | | 2016 | | 2017 | | 2018 |
Projected amortization expense | $ | 74 |
| | $ | 78 |
| | $ | 72 |
| | $ | 51 |
| | $ | 27 |
|
