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PART II
ITEM 8. Financial Statements and Supplementary Data
Other intangible assets were comprised of the following at December 31:
Accumulated Net Carrying
(In millions)
Cost Amortization Value
2015
Customer relationships $ 1,264 $ 867 $ 397
Other 302 131 171
Total reported in other assets, including other intangibles 1,566 998 568
Value of business acquired (reported in deferred policy acquisition costs) 232 48 184
Internal-use software (reported in property and equipment) 2,442 1,708 734
TOTAL OTHER INTANGIBLE ASSETS $ 4,240 $ 2,754 $ 1,486
2014
Customer relationships $ 1,266 $ 779 $ 487
Other 313 91 222
Total reported in other assets, including other intangibles 1,579 870 709
Value of business acquired (reported in deferred policy acquisition costs) 165 30 135
Internal-use software (reported in property and equipment) 2,191 1,467 724
TOTAL OTHER INTANGIBLE ASSETS $ 3,935 $ 2,367 $ 1,568
Property and equipment was comprised of the following as of December 31:
Accumulated Net Carrying
(In millions)
Cost Amortization Value
2015
Internal-use software $ 2,442 $ 1,708 $ 734
Other property and equipment 1,574 774 800
TOTAL PROPERTY AND EQUIPMENT $ 4,016 $ 2,482 $ 1,534
2014
Internal-use software $ 2,191 $ 1,467 $ 724
Other property and equipment 1,740 962 778
TOTAL PROPERTY AND EQUIPMENT $ 3,931 $ 2,429 $ 1,502
Other property and equipment includes assets recorded under capital amortization of $36 million, and a net carrying value of $48 million as
leases with a cost of $90 million, accumulated amortization of of December 31, 2014. Current capital lease agreements are for
$44 million, and a net carrying value of $46 million as of equipment and generally have a term of 48 months with the
December 31, 2015. Other property and equipment includes assets equipment returned to the lessor at the end of the term.
recorded under capital leases with a cost of $84 million, accumulated
Depreciation and amortization was comprised of the following for the years ended December 31:
(In millions)
2015 2014 2013
Internal-use software $ 288 $ 260 $ 225
Other property and equipment 160 153 160
Value of business acquired (reported in deferred policy acquisition costs) 18 12 19
Other intangibles
(1)
119 163 193
TOTAL DEPRECIATION AND AMORTIZATION $ 585 $ 588 $ 597
(1) Includes the one-time $23 million benefit of a 2015 acquisition in which the fair value of acquired net assets exceeded the purchase price.
Other property and equipment includes amortization on assets years to be as follows: $432 million in 2016, $313 million in 2017,
recorded under capital leases of $22 million in 2015 and $20 million $216 million in 2018, $151 million in 2019, and $82 million in
in 2014. 2020.
The Company estimates annual pre-tax amortization for intangible
assets, including internal-use software, over the next five calendar
CIGNA CORPORATION - 2015 Form 10-K 77