Annual report pursuant to Section 13 and 15(d)

INTANGIBLE ASSETS (Tables)

v2.4.0.6
INTANGIBLE ASSETS (Tables)
 12 Months Ended
Dec. 31, 2011
INTANGIBLE ASSETS [Abstract]  
Indefinite-lived intangible assets
The following table summarizes information related to indefinite-lived intangible assets (in millions):
December 31,
2011

 
2010

Trademarks1
$
6,430

 
$
6,356

Bottlers' franchise rights2
7,770

 
7,511

Goodwill3
12,219

 
11,665

Other
113

 
113

Indefinite-lived intangible assets4
$
26,532

 
$
25,645

1 
The increase in 2011 was primarily related to the acquisition of Honest Tea. Refer to Note 2.
2 
The increase in 2011 was primarily related to the reacquisition of Great Plains' rights to distribute Trademark Coca-Cola beverages in specified territories as well as the finalization of purchase accounting for the Company's 2010 acquisition of CCE's North American business. Refer to Note 2.
3 
The increase in 2011 was primarily related to the acquisition of Great Plains and Honest Tea as well as the finalization of purchase accounting for the Company's 2010 acquisition of CCE's North American business. Refer to Note 2.
4 
The distribution rights acquired from DPS are the only significant indefinite-lived intangible assets subject to renewal or extension arrangements. Refer to Note 2.
Carrying value of goodwill by operating segment
The following table provides information related to the carrying value of our goodwill by operating segment (in millions):
 
Eurasia &
Africa

 
Europe

 
Latin
America

 
North
America

 
Pacific

 
Bottling
Investments

 
Total

2010
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of January 1
$
43

 
$
797

 
$
320

 
$
2,154

 
$
110

 
$
800

 
$
4,224

Effect of foreign currency translation
1

 
(102
)
 
4

 
—

 
2

 
(39
)
 
(134
)
Acquisitions1
—

 
—

 
54

 
7,746

 
—

 
83

 
7,883

Adjustments related to the finalization
   of purchase accounting
—

 
—

 
—

 
—

 
—

 
—

 
—

Divestitures, deconsolidations and other1,2
—

 
—

 
(212
)
 
(39
)
 
—

 
(57
)
 
(308
)
Balance as of December 31
$
44

 
$
695

 
$
166

 
$
9,861

 
$
112

 
$
787

 
$
11,665

2011
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of January 1
$
44

 
$
695

 
$
166

 
$
9,861

 
$
112

 
$
787

 
$
11,665

Effect of foreign currency translation
(6
)
 
15

 
(3
)
 
—

 
2

 
11

 
19

Acquisitions1
—

 
—

 
—

 
195

 
—

 
—

 
195

Adjustments related to the finalization
   of purchase accounting1
—

 
—

 
—

 
304

 
—

 
5

 
309

Divestitures, deconsolidations and other
—

 
—

 
—

 
155

 
—

 
(124
)
 
31

Balance as of December 31
$
38

 
$
710

 
$
163

 
$
10,515

 
$
114

 
$
679

 
$
12,219

1 
Refer to Note 2 for information related to the Company's acquisitions and divestitures.
2 
Refer to Note 1 for information related to the deconsolidation of certain entities as a result of the Company's adoption of new accounting guidance issued by the FASB.
Definite-lived intangible assets
The following table summarizes information related to definite-lived intangible assets (in millions):
 
December 31, 2011
 
December 31, 2010
 
Gross Carrying Amount

Accumulated Amortization

Net

 
Gross Carrying Amount

Accumulated Amortization

Net

Customer relationships
$
619

$
(126
)
$
493

 
$
606

$
(83
)
$
523

Bottlers' franchise rights1
668

(119
)
549

 
605

(22
)
583

Trademarks
99

(70
)
29

 
111

(67
)
44

Other2
196

(130
)
66

 
258

(144
)
114

Total
$
1,582

$
(445
)
$
1,137

 
$
1,580

$
(316
)
$
1,264

1 
The increase in 2011 was primarily related to the acquisition of Great Plains and the finalization of purchase accounting for the Company's 2010 acquisition of CCE's North American business. Refer to Note 2.
2 
The decrease in 2011 was primarily related to the finalization of purchase accounting for certain of the Company's acquisitions and other individually insignificant items.
Estimated amortization expense for the next five years
Based on the carrying value of definite-lived intangible assets as of December 31, 2011, we estimate our amortization expense for the next five years will be as follows (in millions):
 
 
Amortization
Expense

2012
 
$
160

2013
 
148

2014
 
144

2015
 
137

2016
 
134