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, 2013
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, 2013 and December 31, 2012 (in millions):
 
U.S. Domestic
Package
 
International
Package
 
Supply Chain &
Freight
 
Consolidated
December 31, 2012:
$
—

 
$
430

 
$
1,743

 
$
2,173

Acquired
—

 
—

 
18

 
18

Currency / Other
—

 
(13
)
 
2

 
(11
)
September 30, 2013:
$
—

 
$
417

 
$
1,763

 
$
2,180


The goodwill acquired in the Supply Chain & Freight segment was related to our July 2013 acquisition of Cemelog Ltd. (“Cemelog”), a Hungary-based medical logistics provider that operates in Central and Eastern Europe. The acquisition of Cemelog 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, 2013 and December 31, 2012 (in millions):
 
Gross Carrying
Amount
 
Accumulated
Amortization
 
Net Carrying
Value
September 30, 2013:
 
 
 
 
 
Trademarks, licenses, patents, and other
$
257

 
$
(98
)
 
$
159

Customer lists
146

 
(87
)
 
59

Franchise rights
117

 
(69
)
 
48

Capitalized software
2,384

 
(1,879
)
 
505

Total Intangible Assets, Net
$
2,904

 
$
(2,133
)
 
$
771

December 31, 2012:
 
 
 
 
 
Trademarks, licenses, patents, and other
$
163

 
$
(80
)
 
$
83

Customer lists
131

 
(79
)
 
52

Franchise rights
117

 
(64
)
 
53

Capitalized software
2,197

 
(1,782
)
 
415

Total Intangible Assets, Net
$
2,608

 
$
(2,005
)
 
$
603