Goodwill and Intangible Assets

12 Months Ended

Apr. 03, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

During fiscal 2015, 2014, and 2013 we completed business acquisitions primarily to enhance our technology portfolio for aggregate cash consideration, net of cash acquired, of $19 million, $17 million, and $28 million, respectively. The results of operations related to these acquisitions have been included in our consolidated statements of income from the acquisition date. Pro forma results of operations have not been presented because the acquisitions were not material to our results of operations.

We also acquired rights to certain technology for $20 million in an asset acquisition during the third quarter of fiscal 2015. The total amount assigned to acquired finite-lived intangible assets from fiscal 2015 acquisitions was $27 million. This cost was assigned to developed technology and is being amortized to cost of revenue on a straight-line basis over the weighted-average useful life of 3.5 years. Goodwill related to the business acquisitions is summarized in the following table.

Goodwill

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



	Consumer Security			Enterprise Security			Information Management			Total
	(Dollars in millions)
Net balance as of March 29, 2013	$	1,233		$	1,901		$	2,707		$	5,841
Acquisitions	—			16			—			16
Translation adjustments	—			1			—			1
Net balance as of March 28, 2014	$	1,233		$	1,918		$	2,707		$	5,858
Acquisitions	—			11			—			11
Translation adjustments	(3		)	(13		)	(6		)	(22		)
Net balance as of April 3, 2015	$	1,230		$	1,916		$	2,701		$	5,847

Effective in the second quarter of fiscal 2015, we evaluated our segment reporting structure and modified the reporting to match our new operating structure. Our reporting units for goodwill are the same as our reportable operating segments, and the net goodwill balance has been allocated to the reporting units based on their relative fair value. See Note 9 of these Consolidated Financial Statements for information regarding the changes related to segment information.

As a result of the change in our segments, we assessed goodwill for impairment immediately prior to the changes to the new reporting units and determined that the estimated fair value of our reporting units exceeded their respective carrying amount including goodwill. Based on the results of our impairment analysis, we do not believe that impairment existed as of the date of the change in our segments.

Intangible assets, net



	April 3, 2015							March 28, 2014
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(Dollars in millions)
Customer relationships	$	730	$	(536	)	$	194	$	766	$	(469	)	$	297
Developed technology	296		(172		)	124		287		(142		)	145
Finite-lived trade names	125		(117		)	8		125		(103		)	22
Patents	21		(16		)	5		21		(14		)	7
Total finite-lived intangible assets	1,172		(841		)	331		1,199		(728		)	471
Indefinite-lived trade names	297		—			297		297		—			297
Total	$	1,469	$	(841	)	$	628	$	1,496	$	(728	)	$	768

As of April 3, 2015, future amortization expense related to intangible assets that have finite lives is as follows by fiscal year:



	April 3, 2015
	(Dollars in millions)
2016	$	112
2017	93
2018	70
2019	37
2020	15
Thereafter	4
Total	$	331

- 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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