DuPont 2014 Annual Report Download - page 75

Download and view the complete annual report

Please find page 75 of the 2014 DuPont annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 106

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106

E. I. du Pont de Nemours and Company
Notes to the Consolidated Financial Statements (continued)
(Dollars in millions, except per share)
F-22
Other Intangible Assets
The following table summarizes the gross carrying amounts and accumulated amortization of other intangible assets by major
class:
December 31, 2014 December 31, 2013
Gross Accumulated
Amortization Net Gross Accumulated
Amortization Net
Intangible assets subject to amortization
(Definite-lived)
Customer lists $ 1,706 $ (470) $ 1,236 $ 1,818 $ (393) $ 1,425
Patents 493 (199) 294 519 (160) 359
Purchased and licensed technology 1,789 (1,074) 715 1,999 (1,129) 870
Trademarks 31 (14) 17 43 (17) 26
Other1207 (88) 119 242 (106) 136
4,226 (1,845) 2,381 4,621 (1,805) 2,816
Intangible assets not subject to amortization
(Indefinite-lived)
In-process research and development 29 — 29 43 — 43
Microbial cell factories2306 — 306 306 — 306
Pioneer germplasm31,064 — 1,064 1,050 — 1,050
Trademarks/tradenames 800 — 800 881 — 881
2,199 — 2,199 2,280 — 2,280
Total $ 6,425 $ (1,845) $ 4,580 $ 6,901 $ (1,805) $ 5,096
1. Primarily consists of sales and grower networks, marketing and manufacturing alliances and noncompetition agreements.
2. Microbial cell factories, derived from natural microbes, are used to sustainably produce enzymes, peptides and chemicals using natural metabolic processes.
The company recognized the microbial cell factories as an intangible asset upon the acquisition of Danisco. This intangible asset is expected to contribute
to cash flows beyond the foreseeable future and there are no legal, regulatory, contractual, or other factors which limit its useful life.
3. Pioneer germplasm is the pool of genetic source material and body of knowledge gained from the development and delivery stage of plant breeding. The
company recognized germplasm as an intangible asset upon the acquisition of Pioneer. This intangible asset is expected to contribute to cash flows beyond
the foreseeable future and there are no legal, regulatory, contractual, or other factors which limit its useful life.
The aggregate pre-tax amortization expense from continuing operations for definite-lived intangible assets was $363, $323 and
$312 for 2014, 2013 and 2012, respectively. The estimated aggregate pre-tax amortization expense from continuing operations
for 2015, 2016, 2017, 2018 and 2019 is $356, $352, $216, $201 and $197, respectively.
11. SHORT-TERM BORROWINGS AND CAPITAL LEASE OBLIGATIONS
December 31, 2014 2013
Other loans - various currencies $ 17 $ 44
Long-term debt payable within one year 1,405 1,674
Capital lease obligations 1 3
$ 1,423 $ 1,721
The estimated fair value of the company's short-term borrowings, including interest rate financial instruments, was determined
using level 2 inputs within the fair value hierarchy, as described in Note 1 to the Consolidated Financial Statements. Based on
quoted market prices for the same or similar issues, or on current rates offered to the company for debt of the same remaining
maturities, the fair value of the company's short-term borrowings was $1,424 and $1,730 at December 31, 2014 and 2013,
respectively.