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ACQUISITIONS, GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)
 9 Months Ended
Sep. 30, 2017
Business Combinations [Abstract]  
Schedule of Preliminary Purchase Price
PRELIMINARY PURCHASE PRICE
 
(In millions)
July 3, 2017

 
 
Cash consideration
$
7,498

Fair value of the Class A Shares in BHGE issued to Baker Hughes shareholders
17,300

Total consideration for Baker Hughes
$
24,798
Schedule of Preliminary Identifiable Assets Acquired and Liabilities Assumed
PRELIMINARY IDENTIFIABLE ASSETS ACQUIRED AND LIABILITIES ASSUMED
 
(In millions)
July 3, 2017

 
 
Cash and cash equivalents
$
4,133

Accounts receivable
2,378

Inventories
1,975

Property, plant, and equipment - net
4,048

Other intangible assets - net (a)
4,400

All other assets
1,314

Accounts payable
(1,115
)
Borrowings
(3,373
)
Deferred taxes (b)
(825
)
All other liabilities
(2,267
)
Total identifiable net assets
10,668

Fair value of existing noncontrolling interest
(77
)
Goodwill (c)
14,207

Total allocated purchase price
$
24,798


(a)
The estimated fair value of intangible assets and related useful lives in the preliminary purchase price allocation include:
(In millions)
Estimated fair value


Estimated useful life (in years)
Trademarks - Baker Hughes
$
2,000

Indefinite life
Customer-related
1,300

15
Patents and technology
900

10
Trademarks - Other
200

10
Total
$
4,400

 

(b)
Includes an increase of approximately $974 million primarily related to fair value adjustments to identifiable assets and liabilities (excluding goodwill).
(c)
The above goodwill represents future economic benefits expected to be recognized from combining the operations of GE Oil & Gas and Baker Hughes, including expected future synergies and operating efficiencies. Goodwill resulting from the acquisition has been allocated to our Oil & Gas reporting units, of which $67 million is deductible for tax purposes.
Schedule of Estimated Fair Value of Intangible Assets and Related Useful Lives in the Preliminary Purchase Price Allocation
The estimated fair value of intangible assets and related useful lives in the preliminary purchase price allocation include:
(In millions)
Estimated fair value


Estimated useful life (in years)
Trademarks - Baker Hughes
$
2,000

Indefinite life
Customer-related
1,300

15
Patents and technology
900

10
Trademarks - Other
200

10
Total
$
4,400

 
Schedule of Unaudited Pro Forma Information
The following unaudited pro forma information has been presented as if the Baker Hughes transaction occurred on January 1, 2016. This information has been prepared by combining the historical results of the Company and historical results of Baker Hughes. The unaudited pro forma combined financial data for all periods presented were adjusted to give effect to proforma events that 1) are directly attributable to the aforementioned transaction, 2) factually supportable, and 3) expected to have a continuing impact on the consolidated results of operations.
The unaudited combined pro forma results do not include any incremental cost savings that may result from the integration. The adjustments are based on information available to the Company at this time. Accordingly, the adjustments are subject to change and the impact of such changes may be material. The unaudited combined pro forma information is for informational purposes only.

The pro forma information is not necessarily indicative of what the combined company’s results actually would have been had the acquisition been completed as of the beginning of the periods as indicated. In addition, the unaudited pro forma information does not purport to project the future results of the combined company.
 
Three months ended September 30
 
Nine months ended September 30
(In millions)
2017

2016

 
2017

2016

Revenues and other income
$
33,472

$
31,617

 
$
95,353

$
98,029

Earnings (loss) from continuing operations
1,960

1,603

 
4,139

3,015
Schedule of Changes in Goodwill Balances
CHANGES IN GOODWILL BALANCES
(In millions)
January 1, 2017

Acquisitions

Dispositions,
currency
exchange
and other

Balance at
September 30, 2017

 
 
 
 
 
Power
$
26,403

$
55

$
(1,219
)
$
25,239

Renewable Energy
2,507

1,503

230

4,240

Oil & Gas
10,363

14,207

315

24,885

Aviation
9,455

17

606

10,077

Healthcare
17,424

50

92

17,566

Transportation
899

—

26

925

Lighting
281

—

10

291

Capital
2,368

—

2

2,370

Corporate
739

722

16

1,476

Total
$
70,438

$
16,553

$
78

$
87,068
Schedule of Finite-Lived Intangible Assets Subject to Amortization
OTHER INTANGIBLE ASSETS - NET
 
(In millions)
September 30, 2017

December 31, 2016

 
 
 
Intangible assets subject to amortization
$
19,345

$
16,336

Indefinite-lived intangible assets(a)
2,090

100

Total
$
21,435

$
16,436

(a)
Indefinite-lived intangible assets principally comprise trademarks and in-process research and development.

INTANGIBLE ASSETS SUBJECT TO AMORTIZATION
 
September 30, 2017
 
December 31, 2016
(In millions)
Gross
carrying
amount

Accumulated
amortization

Net

 
Gross
carrying
amount

Accumulated
amortization

Net

 
 
 
 
 
 
 
 
Customer-related
$
10,903

$
(2,909
)
$
7,994

 
$
9,172

$
(2,408
)
$
6,764

Patents and technology
10,548

(3,646
)
6,902

 
8,693

(3,325
)
5,368

Capitalized software
8,268

(5,064
)
3,204

 
7,652

(4,538
)
3,114

Trademarks
1,426

(408
)
1,018

 
1,165

(307
)
858

Lease valuations
160

(76
)
84

 
143

(59
)
84

Present value of future profits(a)
709

(709
)
—

 
684

(684
)
—

All other
245

(101
)
144

 
273

(124
)
149

Total
$
32,258

$
(12,912
)
$
19,345

 
$
27,781

$
(11,444
)
$
16,336

(a)
Balances at September 30, 2017 and December 31, 2016 include adjustments of $221 million and $241 million, respectively, to the present value of future profits in our run-off insurance activities to reflect the effects that would have been recognized had the related unrealized investment securities holding net gains actually been realized.
Schedule of Indefinite-Lived Intangible Assets Subject to Amortization
OTHER INTANGIBLE ASSETS - NET
 
(In millions)
September 30, 2017

December 31, 2016

 
 
 
Intangible assets subject to amortization
$
19,345

$
16,336

Indefinite-lived intangible assets(a)
2,090

100

Total
$
21,435

$
16,436

(a)
Indefinite-lived intangible assets principally comprise trademarks and in-process research and development.