- 13. Cash and cash equivalents
- 14. Trade accounts receivable
- 15. Inventories
- 16. Other current and non-current assets
- 17. Property, plant and equipment
- 18. Goodwill and other intangible assets
- 19. Other accrued expenses
- 20. Other liabilities
- 21. Debt and capital lease obligations
- 22. Senior Notes
- 23. Mandatory Exchangeable Bonds
- 24. Trust preferred securities
- 25. Pensions and similar obligations
- 26. Noncontrolling interest
- 27. Fresenius SE & Co. KGaA shareholders’ equity
- 28. Other comprehensive income (loss)
18. Goodwill and other intangible assets
As of December 31, the acquisition cost and accumulated amortization of intangible assets consisted of the following:
ACQUISITION COST
€ in millions | As of |
Foreign currency translation | Changes in entities consolidated | Additions | Reclassifications | Disposals | As of Dec. 31, 2011 |
---|---|---|---|---|---|---|---|
Goodwill | 11,464 | 274 | 875 | 56 | - | - | 12,669 |
Patents, product and distribution rights | 617 | 13 | 2 | 5 | - | 55 | 582 |
Tradenames | 173 | 5 | 0 | - | 1 | 1 | 178 |
Technology | 83 | 3 | - | 0 | 0 | 0 | 86 |
Non-compete agreements | 184 | 6 | 11 | 0 | 0 | - | 201 |
Management contracts | 4 | - | - | 0 | 2 | 0 | 6 |
Other | 484 | 7 | 72 | 36 | 5 | 8 | 596 |
Goodwill and other intangible assets | 13,009 | 308 | 960 | 97 | 8 | 64 | 14,318 |
AMORTIZATION
€ in millions | As of |
Foreign currency translation | Changes in entities consolidated | Additions | Reclassifications | Disposals | As of Dec. 31, 2011 |
---|---|---|---|---|---|---|---|
Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Patents, product and distribution rights | 139 | 4 | 0 | 45 | 0 | 6 | 182 |
Tradenames | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Technology | 19 | 1 | 0 | 5 | 0 | 0 | 25 |
Non-compete agreements | 125 | 5 | - | 14 | 0 | 0 | 144 |
Management contracts | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Other | 278 | 4 | - | 42 | - | 7 | 317 |
Goodwill and other intangible assets | 561 | 14 | - | 106 | - | 13 | 668 |
ACQUISITION COST
€ in millions | As of |
Foreign currency translation | Changes in entities consolidated | Additions | Reclassifications | Disposals | As of Dec. 31, 2010 |
---|---|---|---|---|---|---|---|
Goodwill | 10,356 | 587 | 355 | 4 | 162 | 0 | 11,464 |
Patents, product and distribution rights | 538 | 35 | 4 | 39 | 2 | 1 | 617 |
Tradenames | 161 | 12 | - | - | - | 0 | 173 |
Technology | 69 | 6 | 8 | 0 | 0 | 0 | 83 |
Non-compete agreements | 157 | 12 | 20 | - | - | 5 | 184 |
Management contracts | 153 | 13 | 0 | 0 | -162 | 0 | 4 |
Other | 423 | 32 | 15 | 35 | - | 21 | 484 |
Goodwill and other intangible assets | 11,857 | 697 | 402 | 78 | 2 | 27 | 13,009 |
AMORTIZATION
€ in millions | As of |
Foreign currency translation | Changes in entities consolidated | Additions | Reclassifications | Disposals | As of Dec. 31, 2010 |
---|---|---|---|---|---|---|---|
Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Patents, product and distribution rights | 93 | 4 | - | 43 | - | 1 | 139 |
Tradenames | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Technology | 12 | 1 | 0 | 6 | 0 | 0 | 19 |
Non-compete agreements | 109 | 8 | 0 | 13 | - | 5 | 125 |
Management contracts | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Other | 234 | 22 | - | 43 | - | 21 | 278 |
Goodwill and other intangible assets | 448 | 35 | - | 105 | - | 27 | 561 |
CARRYING AMOUNTS
€ in millions | Dec. 31, 2011 | Dec. 31, 2010 |
---|---|---|
Goodwill | 12,669 | 11,464 |
Patents, product and distribution rights | 400 | 478 |
Tradenames | 178 | 173 |
Technology | 61 | 64 |
Non-compete agreements | 57 | 59 |
Management contracts | 6 | 4 |
Other | 279 | 206 |
Goodwill and other intangible assets | 13,650 | 12,448 |
The split of intangible assets into amortizable and non-amortizable intangible assets is shown in the following tables:
AMORTIZABLE INTANGIBLE ASSETS
Dec. 31, 2011 | Dec. 31, 2010 | |||||
---|---|---|---|---|---|---|
€ in millions | Acquisition cost | Accumulated amortization | Carrying amount | Acquisition cost | Accumulated amortization | Carrying amount |
Patents, product and distribution rights | 582 | 182 | 400 | 617 | 139 | 478 |
Technology | 86 | 25 | 61 | 83 | 19 | 64 |
Non-compete agreements | 201 | 144 | 57 | 184 | 125 | 59 |
Other | 596 | 317 | 279 | 484 | 278 | 206 |
Total | 1,465 | 668 | 797 | 1,368 | 561 | 807 |
NON-AMORTIZABLE INTANGIBLE ASSETS
Dec. 31, 2011 | Dec. 31, 2010 | |||||
---|---|---|---|---|---|---|
€ in millions | Acquisition cost | Accumulated amortization | Carrying amount | Acquisition cost | Accumulated amortization | Carrying amount |
Tradenames | 178 | 0 | 178 | 173 | 0 | 173 |
Management contracts | 6 | 0 | 6 | 4 | 0 | 4 |
Goodwill | 12,669 | 0 | 12,669 | 11,464 | 0 | 11,464 |
Total | 12,853 | 0 | 12,853 | 11,641 | 0 | 11,641 |
In the second quarter of 2010, administrative services agreements of Fresenius Medical Care in an amount of US$215 million (€162 million) were reclassified from the category management contracts to goodwill due to a change in New York state regulations that allowed Fresenius Medical Care, beginning in April 2010, to directly own the managed facilities in that state.
Amortization on intangible assets amounted to €106 million and €105 million for the years 2011 and 2010, respectively. It is allocated within cost of sales, selling, general and administrative expenses and research and development expenses, depending upon the use of the asset.
Estimated regular amortization expenses of intangible assets for the next five years are shown in the following table:
€ in millions | 2012 | 2013 | 2014 | 2015 | 2016 |
---|---|---|---|---|---|
Estimated amortization expenses | 102 | 96 | 89 | 80 | 76 |
The carrying amount of goodwill has developed as follows:
€ in millions | Fresenius Medical Care | Fresenius Kabi | Fresenius Helios | Fresenius Vamed | Corporate/Other | Fresenius Group |
---|---|---|---|---|---|---|
Carrying amount as of January 1, 2010 | 5,214 | 3,466 | 1,626 | 44 | 6 | 10,356 |
Additions | 324 | 30 | 1 | 4 | 0 | 359 |
Reclassifications | 162 | 0 | 0 | 0 | 0 | 162 |
Foreign currency translation | 392 | 195 | 0 | 0 | 0 | 587 |
Carrying amount as of December 31, 2010 | 6,092 | 3,691 | 1,627 | 48 | 6 | 11,464 |
Additions | 822 | 14 | 95 | 0 | 0 | 931 |
Foreign currency translation | 186 | 88 | 0 | 0 | 0 | 274 |
Carrying amount as of December 31, 2011 | 7,100 | 3,793 | 1,722 | 48 | 6 | 12,669 |
As of December 31, 2011 and December 31, 2010, the carrying amounts of the other non-amortizable intangible assets were €168 million and €161 million, respectively, for Fresenius Medical Care as well as €16 million, respectively, for Fresenius Kabi.
17. Property, plant and equipment
19. Other accrued expenses