Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS

v2.4.0.8
GOODWILL AND INTANGIBLE ASSETS
9 Months Ended
Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS
The following table indicates the allocation of goodwill by reportable segment as of September 30, 2014 and December 31, 2013 (in millions):
 
U.S. Domestic
Package
 
International
Package
 
Supply Chain &
Freight
 
Consolidated
December 31, 2013:
$

 
$
420

 
$
1,770

 
$
2,190

Acquired

 

 
11

 
11

Currency / Other

 
(14
)
 
(33
)
 
(47
)
September 30, 2014:
$

 
$
406

 
$
1,748

 
$
2,154


The goodwill acquired in the Supply Chain & Freight segment was related to our February 2014 acquisition of Polar Speed Distribution Limited ("Polar Speed"), a U.K.-based company that provides temperature-sensitive pharmaceutical supply chain solutions in the U.K. and continental Europe. The purchase price allocation for acquired companies can be modified for up to one year from the date of acquisition. The acquisition of Polar Speed was not material to our consolidated financial position or results of operations.
The remaining change in goodwill for both the International Package and Supply Chain & Freight segments was due to the impact of changes in the value of the U.S. Dollar on the translation of non-U.S. Dollar goodwill balances.
The following is a summary of intangible assets as of September 30, 2014 and December 31, 2013 (in millions):
 
Gross Carrying
Amount
 
Accumulated
Amortization
 
Net Carrying
Value
September 30, 2014:
 
 
 
 
 
Capitalized software
$
2,599

 
$
(1,983
)
 
$
616

Licenses
224

 
(132
)
 
92

Franchise rights
116

 
(75
)
 
41

Customer lists
121

 
(63
)
 
58

Trademarks, patents, and other
34

 
(13
)
 
21

Total Intangible Assets, Net
$
3,094


$
(2,266
)
 
$
828

December 31, 2013:
 
 
 
 
 
Capitalized software
$
2,420

 
$
(1,897
)
 
$
523

Licenses
220

 
(97
)
 
123

Franchise rights
117

 
(70
)
 
47

Customer lists
118

 
(62
)
 
56

Trademarks, patents, and other
37

 
(11
)
 
26

Total Intangible Assets, Net
$
2,912

 
$
(2,137
)
 
$
775