Boeing 2009 Annual Report Download - page 79

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including the fabrication, assembly and systems installation, for the 787 program. The acquisition of
Vought is intended to strengthen our 787 program and bolster our capability to develop and produce
large composite structures. The results of operations from the acquisition date are included in our
Commercial Airplanes’ segment.
The final allocation of the purchase price is as follows:
Net inventory $ 241
Property, plant and equipment 170
Goodwill 606
Finite-lived intangible assets149
Accounts payable (24)
Other accrued liabilities (31)
Other long-term liabilities (5)
Total net assets acquired $1,006
1The weighted average amortization period for finite-lived intangible assets is 17 years.
Other Acquisitions
As part of an acquisition made in 2008, we may be required to pay up to an additional $48 of purchase
price for contingent consideration. The additional consideration is due in the event specified targets are
achieved over a three year period and will be recorded if the targets are met.
Note 3 – Goodwill and Acquired Intangibles
Changes in the carrying amount of goodwill by reportable segment for the years ended December 31,
2009, 2008 and 2007 were as follows:
Commercial
Airplanes
Boeing
Military
Aircraft
Network
& Space
Systems
Global
Services
& Support Total
Balance at January 1, 20071$1,365 $593 $ 883 $206 $3,047
Goodwill adjustments (25) (1) (26)
Acquisition 60 60
Balance at December 31, 2007 $1,400 $593 $ 883 $205 $3,081
Goodwill adjustments (35) (35)
Acquisitions284 248 201 68 601
Balance at December 31, 2008 $1,449 $841 $1,084 $273 $3,647
Vought acquisition 606 606
Other 28 18 20 66
Balance at December 31, 2009 $2,083 $841 $1,102 $293 $4,319
1Effective January 1, 2009, 2008 and 2007, certain programs were realigned among BDS
segments. Prior year amounts have been recast for segment realignments.
2The increase in goodwill is primarily the result of nine acquisitions during 2008. The purchase
price allocations for five acquisitions were finalized during 2008. The purchase price allocations for
the remaining four acquisitions were finalized in the first and second quarters of 2009.
As of December 31, 2009 and 2008, we had indefinite-lived intangible assets with carrying amounts of
$499 relating to tradenames.
67