HP 2008 Annual Report Download - page 118
Download and view the complete annual report
Please find page 118 of the 2008 HP 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.-
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
-
107
-
108 -
109 -
110 -
111 -
112 -
113 -
114 -
115 -
116 -
117 -
118 -
119 -
120 -
121 -
122 -
123 -
124 -
125 -
126 -
127 -
128 -
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
 |
 |
HEWLETT-PACKARD COMPANY AND SUBSIDIARIES
Notes to Consolidated Financial Statements (Continued)
Note 7: Goodwill and Purchased Intangible Assets (Continued)
Purchased Intangible Assets
HP’s purchased intangible assets associated with completed acquisitions for each of the following
fiscal years ended October 31 are composed of:
2008 2007
Accumulated Accumulated
Gross Amortization Net Gross Amortization Net
In millions
Customer contracts, customer lists and
distribution agreements ........... $ 6,530 $(2,176) $4,354 $3,239 $(1,679) $1,560
Developed and core technology and
patents ....................... 4,189 (2,147) 2,042 2,768 (1,694) 1,074
Product trademarks ............... 253 (109) 144 115 (92) 23
Total amortizable purchased intangible
assets ........................ 10,972 (4,432) 6,540 6,122 (3,465) 2,657
Compaq trade name ............... 1,422 — 1,422 1,422 — 1,422
Total purchased intangible assets ...... $12,394 $(4,432) $7,962 $7,544 $(3,465) $4,079
During the year, HP recorded approximately $4.5 billion of purchased intangibles related to the
EDS acquisition.
Amortization expense related to finite-lived purchased intangible assets was approximately
$967 million in fiscal 2008, $783 million in fiscal 2007 and $604 million in fiscal 2006.
Based on the results of its annual impairment tests, HP determined that no impairment of the
Compaq trade name existed as of August 1, 2008 or August 1, 2007. However, future impairment tests
could result in a charge to earnings. HP will continue to evaluate the purchased intangible asset with
an indefinite life on an annual basis as of the beginning of its fourth fiscal quarter and whenever events
and changes in circumstances indicate that there may be a potential impairment.
The finite-lived purchased intangible assets consist of customer contracts, customer lists and
distribution agreements, which have weighted-average useful lives of 8 years, and developed and core
technology, patents and product trademarks, which have weighted-average useful lives of 5.3 years.
112