Goodwill and Long-Lived Assets

3 Months Ended

Mar. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND LONG-LIVED ASSETS

4. GOODWILL AND LONG-LIVED ASSETS

As noted in Note 1. Basis of Presentation and Summary of Significant Accounting Policies , effective January 1, 2019, the Company began management of its business on a industry basis, changing from the previous model of management on a solution basis, which resulted in a corresponding change to NCR's reportable segments. In connection with the change in reportable segments, during the first quarter of 2019, the Company determined its reporting units and then assigned goodwill to the new reporting units based on the relative fair value allocation approach. Based on this analysis, it was determined that the fair value of all reporting units were substantially in excess of the carrying value. We have reclassified prior period goodwill disclosures to conform to the current period presentation.

The carrying amounts of goodwill by segment as of March 31, 2019 and December 31, 2018 are included in the table below. Foreign currency fluctuations are included within other adjustments.

	December 31, 2018													March 31, 2019
In millions	Goodwill		Accumulated Impairment Losses			Total		Additions		Impairment		Other		Goodwill		Accumulated Impairment Losses			Total
Banking	$	1,718	$	(101	)	$	1,617	$	—	$	—	$	2	$	1,720	$	(101	)	$	1,619
Retail	571		(34		)	537		5		—		—		576		$	(34	)	542
Hospitality	385		(23		)	362		6		—		—		391		(23		)	368
Other	187		(11		)	176		—		—		—		187		(11		)	176
Total goodwill	$	2,861	$	(169	)	$	2,692	$	11	$	—	$	2	$	2,874	$	(169	)	$	2,705

Additions during the first quarter of 2019 represent a purchase accounting adjustment related to the acquisition of JetPay Corporation as well as goodwill from an acquisition of a reseller within the Hospitality segment that was completed in the first quarter of 2019.

NCR’s purchased intangible assets, reported in intangibles, net in the Condensed Consolidated Balance Sheets, were specifically identified when acquired, and are deemed to have finite lives. The gross carrying amount and accumulated amortization for NCR’s identifiable intangible assets were as set forth in the table below.

	Amortization Period (in Years)	March 31, 2019					December 31, 2018
In millions		Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
Identifiable intangible assets
Reseller & customer relationships	1 - 20	$	725	$	(231	)	$	726	$	(218	)
Intellectual property	2 - 8	443		(379		)	443		(373		)
Customer contracts	8	89		(87		)	89		(87		)
Tradenames	2 - 10	75		(62		)	75		(60		)
Total identifiable intangible assets		$	1,332	$	(759	)	$	1,333	$	(738	)

The aggregate amortization expense (actual and estimated) for identifiable intangible assets for the following periods is:

In millions	Three months ended March 31, 2019		Remainder of 2019 (estimated)
Amortization expense	$	21	$	66

	For the years ended December 31 (estimated)
In millions	2020		2021		2022		2023		2024
Amortization expense	$	68	$	59	$	55	$	52	$	47