Goodwill

The changes in the carrying amount of goodwill for the years ended December 31, 2013 and 2012 are as follows:



	Beginning balance at January 1, 2013	Impairment		Foreign currency translation adjustment		Ending balance at December 31, 2013
Year ended December 31, 2013	$'000	$'000		$'000		$'000

Owned hotels:
Europe	77,319	—		462		77,781
North America	49,991	—		—		49,991
Rest of world	25,977	(3,187	)	(1,683	)	21,107
Owned trains and cruises	7,991	—		46		8,037

Total	161,278	(3,187	)	(1,175	)	156,916



	Beginning balance at January 1, 2012	Impairment		Foreign currency translation adjustment		Ending balance at December 31, 2012
Year ended December 31, 2012	$'000	$'000		$'000		$'000

Owned hotels:
Europe	77,089	(2,055	)	2,285		77,319
North America	49,991	—		—		49,991
Rest of world	26,525	—		(548	)	25,977
Owned trains and cruises	7,855	—		136		7,991

Total	161,460	(2,055	)	1,873		161,278

The gross goodwill amount at January 1, 2013 was $192,418,000 (2012 - $190,545,000) and the accumulated impairment at that date was $31,140,000 (2012 - $29,085,000). All impairments to that date related to hotel and restaurant operations.

During the year ended December 31, 2013, OEH identified a non-cash goodwill impairment of $3,187,000 at Ubud Hanging Gardens. This impairment was recorded in discontinued operations, as the results of operations of this hotel have been presented as discontinued operations for the years ended December 31, 2013, 2012 and 2011. Its assets and liabilities, however, are not accounted for as held for sale at December 31, 2013 and 2012. See Note 4. There were no impairments to goodwill of continuing operations for the year ended December 31, 2013.

During the year ended December 31, 2012, OEH identified a non-cash goodwill impairment of $2,055,000 at Reid's Palace, Madeira, Portugal. Management’s estimates considered future profitability of the business, future growth rates and the related discount rates. OEH determined this impairment was triggered due to performance that required a reassessment.

During the year ended December 31, 2011, OEH identified non-cash goodwill impairments of $11,907,000 at three hotels. Management’s estimates considered future profitability of the businesses, future growth rates and the related discount rates. OEH determined these impairments were triggered in each case due to performance that required a reassessment. The impairment loss consisted of the following:



Year ended December 31, 2011		$’000

Maroma Resort and Spa		7,904
La Residencia		2,779
Mount Nelson Hotel		1,224

		11,907