Property, Plant and Equipment

12 Months Ended

Dec. 31, 2016

Property Plant And Equipment [Abstract]

Property, Plant and Equipment

7. Property, Plant and Equipment

Property, plant and equipment are carried at historical cost less accumulated depreciation and impairment losses. Property, plant and equipment are depreciated on a straight-line basis over the estimated useful lives.

Nielsen is required to assess whether the value of our long-lived assets, including the Company’s buildings, improvements, technical and other equipment have been impaired whenever events or changes in circumstances indicate that the carrying amount of the assets might not be recoverable. Nielsen does not perform a periodic assessment of assets for impairment in the absence of such information or indicators. Conditions that would necessitate an impairment assessment include a significant decline in the observable market value of an asset, a significant change in the extent or manner in which an asset is used or a significant adverse change that would indicate that the carrying amount of an asset or group of assets is not recoverable. Recoverability of assets that are held and used is measured by comparing the sum of the future undiscounted cash flows expected to be derived from an asset (or a group of assets) to their carrying value. If the carrying value of the asset (or the group of assets) exceeds the sum of the future undiscounted cash flows, impairment is considered to exist. If impairment is considered to exist based on undiscounted cash flows, the impairment charge is measured using an estimation of the assets’ fair value, typically using a discounted cash flow method. The identification of impairment indicators, the estimation of future cash flows and the determination of fair values for assets (or groups of assets) requires Nielsen to make significant judgments concerning the identification and validation of impairment indicators, expected cash flows and applicable discount rates. These estimates are subject to revision as market conditions and our assessments change. There was no impairment or indicators of impairment noted in any period presented with respect to the Company’s finite long-lived assets.

The following tables summarizes the carrying value of our property, plant and equipment including the associated useful lives:

	Estimated	December 31,			December 31,
(IN MILLIONS)	Useful Life	2016			2015
Land and buildings	25-50 years	$	335		$	337
Information and communication equipment	3-10 years		858			825
Furniture, equipment and other	3-10 years		103			108
			1,296			1,270
Less accumulated depreciation and amortization			(825	)		(780	)
		$	471		$	490

Depreciation and amortization expense from continuing operations related to property, plant and equipment was $165 million, $160 million and $162 million for the years ended December 31, 2016, 2015 and 2014, respectively.

The above amounts include amortization expense on assets under capital leases and other financing obligations of $37 million, $23 million and $10 million for the years ended December 31, 2016, 2015 and 2014, respectively. Capital leases and other financing obligations are comprised primarily of land and buildings and information and communication equipment.

Gross and net book value of assets under capital leases were as follows:

(IN MILLIONS)	December 31, 2016
	Gross Book Value		Accumulated  Depreciation			Net Book Value
Land and buildings	$	174	$	(69	)	$	105
Information and communication equipment		161		(72	)		89
	$	335	$	(141	)	$	194
	December 31, 2015
	Gross Book Value		Accumulated  Depreciation			Net Book Value
Land and buildings	$	170	$	(63	)	$	107
Information and communication equipment		100		(41	)		59
	$	270	$	(104	)	$	166