Intangible Assets

6 Months Ended

Jun. 30, 2011

Intangible Assets

Intangible Assets

NOTE 4—INTANGIBLE ASSETS

	Six Months Ended June  30
(in millions)	2011			2010
Gross cost at January 1	$	48.1		$	48.1
Exchange effect		0.2			0.2
Gross cost at June 30		48.3			48.3
Accumulated amortization at January 1		(29.1	)		(24.4	)
Amortization expense		(2.3	)		(2.3	)
Exchange effect		(0.1	)		(0.2	)
Accumulated amortization at June 30		(31.5	)		(26.9	)
Net book amount at June 30	$	16.8		$	21.4

Ethyl

An intangible asset of $28.4 million was recognized in the second quarter of 2007 in respect of Ethyl foregoing their entitlement effective April 1, 2007 to a share of the future income stream under the sales and marketing agreements to market and sell tetra ethyl lead. In 2008 contract provisions no longer deemed necessary of $6.3 million were offset against the intangible asset. The amount attributed to the Octane Additives reporting segment is being amortized straight-line to December 31, 2012 and the amount attributed to the Fuel Specialties reporting segment is being amortized straight-line to December 31, 2017. An amortization expense of $1.0 million was recognized in the first half year of 2011 (2010—$0.9 million) in cost of goods sold.

Others

The remaining intangible assets of $26.0 million relate to those recognized in the acquisition accounting in respect of technology, customer relationships and patents. These assets are being amortized straight-line over periods of up to 13 years. In the first half year of 2011 amortization expenses of $0.5 million and $0.8 million were recognized in cost of goods sold and selling, general and administrative expenses, respectively (2010—$0.6 million and $0.8 million, respectively).