Goodwill and Intangible Assets, Net

12 Months Ended

Dec. 31, 2011

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill



	Advanced Engineered Materials		Consumer Specialties		Industrial Specialties		Acetyl Intermediates		Total
	(In $ millions)
As of December 31, 2009
Goodwill	263		257		35		243		798
Accumulated impairment losses	—		—		—		—		—
Total	263		257		35		243		798
Acquisitions (Note 4)	13		—		—		—		13
Reallocation of Ibn Sina goodwill⁽¹⁾	34		—		—		(34	)	—
Exchange rate changes	(11	)	(8	)	—		(18	)	(37	)
As of December 31, 2010
Goodwill	299		249		35		191		774
Accumulated impairment losses	—		—		—		—		—
Total	299		249		35		191		774
Acquisitions (Note 4)	—		—		1		—		1
Exchange rate changes	(5	)	(3	)	(1	)	(6	)	(15	)
As of December 31, 2011
Goodwill	294		246		35		185		760
Accumulated impairment losses	—		—		—		—		—
Total	294		246		35		185		760

_____________________

⁽¹⁾Effective April 2010, the Company moved its investment in its Ibn Sina affiliate from its Acetyl Intermediates segment to its Advanced Engineered Materials segment to reflect the change in the affiliate's business dynamics and growth opportunities as a result of the future construction of a POM facility (Note 4).

In connection with the Company's annual goodwill impairment test performed during the three months ended September 30, 2011 using June 30 balances, the Company did not record an impairment loss related to goodwill as the estimated fair value for each of the Company's reporting units exceeded the carrying value of the underlying assets by a substantial margin. No events or changes in circumstances occurred during the three months ended December 31, 2011 that would indicate that the carrying amount of the assets may not be fully recoverable. Accordingly, no additional impairment analysis was performed during that period.

Intangible Assets, Net



	Trademarks and Trade Names		Licenses		Customer- Related Intangible Assets		Developed Technology		Covenants Not to Compete and Other		Total
	(In $ millions)
Gross Asset Value
As of December 31, 2009	83		29		552		13		12		689
Acquisitions	9		—		6		7		11		33
Exchange rate changes	(4	)	1		(32	)	—		—		(35	)
As of December 31, 2010	88		30		526		20		23		687
Acquisitions (Note 4)	—		—		—		7		—		7
Exchange rate changes	(2	)	2		(13	)	—		(1	)	(14	)
As of December 31, 2011	86		32		513		27		22		680

Accumulated Amortization
As of December 31, 2009	(5	)	(6	)	(362	)	(11	)	(11	)	(395	)
Amortization	—		(3	)	(54	)	(1	)	(3	)	(61	)
Exchange rate changes	—		(1	)	21		1		—		21
As of December 31, 2010	(5	)	(10	)	(395	)	(11	)	(14	)	(435	)
Amortization	—		(3	)	(52	)	(3	)	(4	)	(62	)
Exchange rate changes	—		—		14		—		—		14
As of December 31, 2011	(5	)	(13	)	(433	)	(14	)	(18	)	(483	)
Net book value	81		19		80		13		4		197

Estimated amortization expense for the succeeding five fiscal years is as follows:



	(In $ millions)
2012	48
2013	30
2014	19
2015	8
2016	5

The Company’s trademarks and trade names have an indefinite life. Accordingly, no amortization expense is recorded on these intangible assets.

In connection with the Company's annual indefinite-lived intangible assets impairment test performed during the three months ended September 30, 2011 using June 30 balances, the Company did not record an impairment loss to indefinite-lived intangible assets as the estimated fair value for each of the Company's indefinite-lived intangible assets exceeded the carrying value of the underlying asset. No events or changes in circumstances occurred during the three months ended December 31, 2011 that would indicate that the carrying amount of the assets may not be fully recoverable. Accordingly, no additional impairment analysis was performed during that period. For the year ended December 31, 2011, the Company did not renew or extend any intangible assets.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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