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GE 2013 ANNUAL REPORT 101
    
Consolidated depreciation and amortization related to property,
plant and equipment was $9,762 million, $9,192 million and
$8,986 million in 2013, 2012 and 2011, respectively. Amortization
of GECC equipment leased to others was $6,696 million,
$6,097 million and $6,063 million in 2013, 2012 and 2011,
respectively.
Noncancellable future rentals due from customers for equip-
ment on operating leases at December 31, 2013, are as follows:
(In millions)
Due in
2014 $ 7,168
2015 5,925
2016 4,838
2017 3,823
2018 3,070
2019 and later 7,695
Total $ 32,519
Note 8.
Goodwill and Other Intangible Assets
December 31 (In millions) 2013 2012
GOODWILL $ 77,648 $ 73,114
OTHER INTANGIBLE ASSETS—NET
Intangible assets subject to amortization $ 14,150 $ 11,821
Indefinite-lived intangible assets (a) 160 159
Total $ 14,310 $ 11,980
(a) Indefinite-lived intangible assets principally comprised in-process research and
development, trademarks and tradenames.
Upon closing an acquisition, we estimate the fair values of assets
and liabilities acquired and consolidate the acquisition as quickly
as possible. Given the time it takes to obtain pertinent informa-
tion to fi nalize the acquired company’s balance sheet, then to
adjust the acquired company’s accounting policies, procedures,
and books and records to our standards, it is often several
quarters before we are able to fi nalize those initial fair value
estimates. Accordingly, it is not uncommon for our initial estimates
to be subsequently revised.
In August 2013, we acquired the aviation business of Avio
S.p.A. (Avio) for $4,449 million in cash. We recorded a pre-tax,
acquisition-related charge of $96 million related to the effec-
tive settlement of Avio’s pre-existing contractual relationships
with GE. Avio is a manufacturer of aviation propulsion compo-
nents and systems and is included in our Aviation segment. The
preliminary purchase price allocation resulted in goodwill of
$3,043 million and amortizable intangible assets of $1,830 million.
The allocation of the purchase price will be fi nalized upon com-
pletion of post-closing procedures.
In July 2013, we acquired Lufkin Industries, Inc. (Lufkin) for
$3,309 million in cash. Lufkin is a leading provider of artifi cial lift
technologies for the oil and gas industry and a manufacturer of
industrial gears and is included in our Oil & Gas segment. The
purchase price allocation resulted in goodwill of $2,027 million
and amortizable intangible assets of $997 million. The allocation
of the purchase price will be fi nalized upon completion of post-
closing procedures.
On March 27, 2012, we contributed a portion of our civil avion-
ics systems business to a newly formed joint venture in exchange
for 50% of the new entity. This resulted in the deconsolidation
of our civil avionics systems business and the recording of the
interest in the new joint venture at fair value. As a result, we rec-
ognized a pre-tax gain of $274 million ($152 million after tax) in
the fi rst quarter of 2012.
On September 2, 2011, we purchased a 90% interest in
Converteam for $3,586 million. In connection with the transac-
tion, we entered into an arrangement to purchase the remaining
10% at the two-year anniversary of the acquisition date for
343 million euros (approximately $465 million). This amount was
recorded as a liability at the date of acquisition and was paid out
in October 2013.
Changes in goodwill balances follow.
2013 2012
(In millions)
Balance at
January 1 Acquisitions
Dispositions,
currency
exchange
and other
Balance at
December 31
Balance at
January 1 Acquisitions
Dispositions,
currency
exchange
and other
Balance at
December 31
Power & Water $ 8,821 $ — $ 1 $ 8,822 $ 8,769 $ — $ 52 $ 8,821
Oil & Gas 8,365 2,217 (66) 10,516 8,233 113 19 8,365
Energy Management 4,610 7 131 4,748 4,621 — (11) 4,610
Aviation 5,975 3,043 85 9,103 5,996 55 (76) 5,975
Healthcare 16,762 45 (164) 16,643 16,631 221 (90) 16,762
Transportation 999 — 13 1,012 551 445 3 999
Appliances & Lighting 611 — (5) 606 594 11 6 611
GE Capital 26,971 17 (793) 26,195 26,902 — 69 26,971
Corporate — 4 (1) 3 — — — —
Total $ 73,114 $ 5,333 $ (799) $ 77,648 $ 72,297 $ 845 $ (28) $ 73,114