Intangible Assets

9 Months Ended

Sep. 30, 2011

Intangible Assets [Abstract]

Intangible Assets

7. INTANGIBLE ASSETS

The following table summarizes the carrying amount of our intangible assets (in thousands):

	September 30, 2011		December 31, 2010
Goodwill	$	1,004,102	$	532,669
Finite lived intangible assets		814,071		863,393
Indefinite lived intangible assets		292,830		29,530
Total	$	2,111,003	$	1,425,592

The following table summarizes the changes in the carrying amount of goodwill (in thousands):

Balance at December 31, 2010	$	532,669
Goodwill resulting from the acquisition of Arresto		134,482
Goodwill resulting from the acquisition of Calistoga		336,951
Balance at September 30, 2011	$	1,004,102

The following table summarizes our finite-lived intangible assets (in thousands):

	September 30, 2011				December 31, 2010
	Gross  Carrying Amount		Accumulated Amortization		Gross  Carrying Amount		Accumulated Amortization
Intangible asset - Ranexa	$	688,400	$	86,523	$	688,400	$	54,795
Intangible asset - Lexiscan		262,800		63,287		262,800		43,979
Other		24,995		12,314		22,095		11,128
Total	$	976,195	$	162,124	$	973,295	$	109,902

Amortization expense related to intangible assets was $17.4 million and $52.2 million for the three and nine months ended September 30, 2011, respectively, and was recorded in cost of goods sold in our Condensed Consolidated Statements of Income. Amortization expense related to intangible assets was $14.9 million and $44.9 million for the three and nine months ended September 30, 2010, respectively, and was recorded in cost of goods sold in our Condensed Consolidated Statements of Income.

As of September 30, 2011, the estimated future amortization expense associated with our intangible assets for the remaining three months of 2011 and each of the five succeeding fiscal years are as follows (in thousands):

Fiscal Year	Amount
2011 (remaining three months)	$	17,407
2012		76,081
2013		82,391
2014		91,246
2015		100,952
2016		113,053
Total	$	481,130

As of December 31, 2010, we had indefinite-lived intangible assets of $29.5 million, which consisted of $26.6 million and $2.9 million of purchased IPR&D from our acquisitions of CGI and CV Therapeutics, Inc. (CV Therapeutics), respectively. In the first quarter of 2011, the $2.9 million purchased IPR&D project from CV Therapeutics was completed and reclassified as a finite-lived intangible asset, and is currently being amortized over its estimated useful life. As of September 30, 2011, we had indefinite-lived intangible assets of $292.8 million related to purchased IPR&D from our acquisitions of CGI, Arresto and Calistoga.