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Goodwill and other intangible assets (Tables)
12 Months Ended
Dec. 31, 2015
Goodwill and other intangible assets  
Changes in Goodwill

 

                                                                                                                                                                                    

($ in millions)

 

Discrete
Automation
and Motion

 

Low
Voltage
Products

 

Process
Automation

 

Power
Products

 

Power
Systems

 

Corporate
and Other

 

Total

 

Cost at January 1, 2014

 

 

3,914

 

 

3,059

 

 

1,229

 

 

736

 

 

1,709

 

 

41

 

 

10,688

 

Accumulated impairment charges

 

 

 

 

 

 

 

 

 

 

 

 

(18

)

 

(18

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Balance at January 1, 2014

 

 

3,914

 

 

3,059

 

 

1,229

 

 

736

 

 

1,709

 

 

23

 

 

10,670

 

Goodwill acquired during the year(1)

 

 

(52

)

 

1

 

 

24

 

 

9

 

 

 

 

27

 

 

9

 

Goodwill allocated to disposals

 

 

 

 

(181

)

 

(19

)

 

 

 

(7

)

 

(27

)

 

(234

)

Exchange rate differences and other

 

 

(92

)

 

(172

)

 

(60

)

 

(25

)

 

(42

)

 

(1

)

 

(392

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Balance at December 31, 2014

 

 

3,770

 

 

2,707

 

 

1,174

 

 

720

 

 

1,660

 

 

22

 

 

10,053

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Goodwill acquired during the year

 

 

24

 

 

 

 

6

 

 

4

 

 

 

 

 

 

34

 

Goodwill allocated to disposals

 

 

 

 

 

 

(1

)

 

 

 

(23

)

 

 

 

(24

)

Exchange rate differences and other

 

 

(92

)

 

(200

)

 

(32

)

 

(15

)

 

(52

)

 

(1

)

 

(392

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Balance at December 31, 2015

 

 

3,702

 

 

2,507

 

 

1,147

 

 

709

 

 

1,585

 

 

21

 

 

9,671

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  


 

 

 

(1)          

Amounts include adjustments arising during the twelve-month measurement period subsequent to the respective acquisition date.

 

 

Intangible assets other than goodwill

 

                                                                                                                                                                                    

 

 

December 31,

 

 

 

2015

 

2014

 

($ in millions)

 

Gross
carrying
amount

 

Accumulated
amortization

 

Net
carrying
amount

 

Gross
carrying
amount

 

Accumulated
amortization

 

Net
carrying
amount

 

Capitalized software for internal use

 

 

692

 

 

(567

)

 

125

 

 

719

 

 

(599

)

 

120

 

Capitalized software for sale

 

 

401

 

 

(357

)

 

44

 

 

405

 

 

(354

)

 

51

 

Intangibles other than software:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer-related

 

 

2,517

 

 

(767

)

 

1,750

 

 

2,618

 

 

(623

)

 

1,995

 

Technology-related

 

 

790

 

 

(585

)

 

205

 

 

782

 

 

(479

)

 

303

 

Marketing-related

 

 

308

 

 

(140

)

 

168

 

 

314

 

 

(120

)

 

194

 

Other

 

 

67

 

 

(22

)

 

45

 

 

72

 

 

(33

)

 

39

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total

 

 

4,775

 

 

(2,438

)

 

2,337

 

 

4,910

 

 

(2,208

)

 

2,702

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

 

Schedule of additions to intangible assets other than goodwill

 

                                                                                                                                                                                    

($ in millions)

 

2015

 

2014

 

Capitalized software for internal use

 

 

63 

 

 

52 

 

Capitalized software for sale

 

 

15 

 

 

28 

 

Intangibles other than software:

 

 

 

 

 

 

 

Technology-related

 

 

33 

 

 

 

Other

 

 

 

 

16 

 

​  

​  

​  

​  

Total

 

 

111 

 

 

96 

 

​  

​  

​  

​  

​  

​  

​  

​  

 

Amortization expense of intangible assets other than goodwill

 

                                                                                                                                                                                    

($ in millions)

 

2015

 

2014

 

2013

 

Capitalized software for internal use

 

 

60 

 

 

72 

 

 

81 

 

Capitalized software for sale

 

 

21 

 

 

20 

 

 

34 

 

Intangibles other than software

 

 

315 

 

 

362 

 

 

361 

 

​  

​  

​  

​  

​  

​  

Total

 

 

396 

 

 

454 

 

 

476 

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

 

Future amortization expense of intangible assets other than goodwill

        At December 31, 2015, future amortization expense of intangible assets other than goodwill is estimated to be:

                                                                                                                                                                                    

 

 

($ in millions)

 

2016

 

 

364 

 

2017

 

 

271 

 

2018

 

 

236 

 

2019

 

 

175 

 

2020

 

 

175 

 

Thereafter

 

 

1,116 

 

​  

​  

Total

 

 

2,337 

 

​  

​  

​  

​