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Goodwill and Intangible Assets
12 Months Ended
Dec. 29, 2018
Goodwill and Intangible Assets  
Goodwill and Intangible Assets

 

Note 3.  Goodwill and Intangible Assets

 

Goodwill

The changes in the carrying amount of goodwill by segment are as follows:

 

 

 

 

 

 

 

 

 

 

 

 

(In millions)

 

Textron
Aviation

 

Bell

 

Textron
Systems

 

Industrial

 

Total

Balance at December 31, 2016

$

613

$

31

$

1,087

$

382

$

2,113

Acquisitions

 

 

 

 

234

 

234

Foreign currency translation

 

1

 

 

 

16

 

17

 

 

 

 

 

 

 

 

 

 

 

Balance at December 30, 2017

 

614

 

31

 

1,087

 

632

 

2,364

Disposition

 

 

 

 

(153)

 

(153)

Acquisition

 

 

 

13

 

 

13

Foreign currency translation

 

 

 

 

(6)

 

(6)

 

 

 

 

 

 

 

 

 

 

 

Balance at December 29, 2018

$

614

$

31

$

1,100

$

473

$

2,218

 

 

 

 

 

 

 

 

 

 

 

 

Intangible Assets

Our intangible assets are summarized below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 29, 2018

December 30, 2017

(Dollars in millions)

 

Weighted-Average
Amortization
Period (in years)

 

Gross
Carrying
Amount

 

Accumulated
Amortization

 

Net

 

Gross
Carrying
Amount

 

Accumulated
Amortization

 

Net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Patents and technology

 

14

$

514

$

(211)

$

303

$

545

$

(188)

$

357

Trade names and trademarks

 

14

 

224

 

(7)

 

217

 

284

 

(40)

 

244

Customer relationships and contractual agreements

 

15

 

413

 

(275)

 

138

 

418

 

(255)

 

163

Other

 

  4

 

6

 

(6)

 

 

18

 

(17)

 

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

$

1,157

$

(499)

$

658

$

1,265

$

(500)

$

765

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

In connection with the 2018 restructuring plan discussed in Note 15, we recognized intangible asset impairment charges of $38 million in the fourth quarter of 2018, which primarily included $20 million of patents and technology and $14 million of trade names and trademarks.

 

Trade names and trademarks in the table above include $208 million and $222 million of indefinite-lived intangible assets at December 29, 2018 and December 30, 2017, respectively.  Amortization expense totaled $66 million, $69 million and $66 million in 2018, 2017 and 2016, respectively. Amortization expense is estimated to be approximately $60 million, $56 million, $54 million, $54 million and $38 million in 2019, 2020, 2021, 2022 and 2023, respectively.