Goodwill and Intangible Assets, Net

12 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE 7 — Goodwill and Intangible Assets, Net

The following table presents our goodwill and intangible assets as of December 31, 2016 and 2015:



	December 31,
	2016		2015
	(In thousands)
Goodwill	$	7,942,023	$	7,992,941
Intangible assets with indefinite lives	1,457,072		1,459,854
Intangible assets with definite lives, net	989,580		1,334,100
	$	10,388,675	$	10,786,895

Impairment Assessments. We perform our annual assessment of possible impairment of goodwill and indefinite-lived intangible assets as of October 1, or more frequently if events and circumstances indicate that impairment may have occurred. As of October 1, 2016, we had no impairments to goodwill but recorded a $35 million impairment charge related to a indefinite-lived trade names within our Core OTA segment due to changes in estimated future revenues of the related brands.

Goodwill. The following table presents the changes in goodwill by reportable segment:



	Core OTA			trivago			Egencia			HomeAway			eLong			Total
	(In thousands)
Balance as of January 1, 2015	$	3,133,495		$	593,419		$	156,324		$	—		$	72,663		$	3,955,901
Additions	1,633,711			6,241			—			2,602,712			469			4,243,133
Deductions	—			—			—			—			(72,693		)	(72,693		)
Foreign exchange translation	(49,835		)	(60,083		)	(23,043		)	—			(439		)	(133,400		)
Balance as of December 31, 2015	4,717,371			539,577			133,281			2,602,712			—			7,992,941
Additions	128			—			—			—			—			128
Foreign exchange translation and other	(14,028		)	(23,339		)	(1,552		)	(12,127		)	—			(51,046		)
Balance as of December 31, 2016	$	4,703,471		$	516,238		$	131,729		$	2,590,585		$	—		$	7,942,023

Any change in goodwill amounts resulting from purchase accounting adjustments are presented as "Foreign exchange translation and other" in the above table. In 2015, the additions to goodwill relate primarily to our acquisitions as described in NOTE 3 — Acquisitions and Other Investments.

As of December 31, 2016 and 2015, accumulated goodwill impairment losses in total were $2.5 billion, which was associated with our Core OTA segment.

Indefinite-lived Intangible Assets. Our indefinite-lived intangible assets relate principally to trade names and trademarks acquired in various acquisitions.

Intangible Assets with Definite Lives. The following table presents the components of our intangible assets with definite lives as of December 31, 2016 and 2015:



	December 31, 2016							December 31, 2015
	Cost		Accumulated Amortization			Net		Cost		Accumulated Amortization			Net
	(In thousands)
Supplier relationships	$	618,543	$	(289,834	)	$	328,709	$	655,414	$	(223,666	)	$	431,748
Technology	480,823		(355,471		)	125,352		490,584		(258,261		)	232,323
Customer relationships	622,117		(185,468		)	436,649		613,277		(73,248		)	540,029
Domain names	117,109		(53,607		)	63,502		115,102		(34,758		)	80,344
Other	446,617		(411,249		)	35,368		446,788		(397,132		)	49,656
Total	$	2,285,209	$	(1,295,629	)	$	989,580	$	2,321,165	$	(987,065	)	$	1,334,100

Amortization expense was $317 million, $156 million and $77 million for the years ended December 31, 2016, 2015 and 2014. The estimated future amortization expense related to intangible assets with definite lives as of December 31, 2016, assuming no subsequent impairment of the underlying assets, is as follows, in thousands:



2017	$	260,731
2018	245,598
2019	148,585
2020	113,311
2021	77,995
2022 and thereafter	143,360
Total	$	989,580

- 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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