Honeywell 2012 Annual Report Download - page 90

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Allowance for credit losses for the above detailed long-term trade, financing and other receivables
totaled $4 million and $5 million as of December 31, 2012 and 2011, respectively. The receivables are
evaluated for recoverability on an individual basis, including consideration of credit quality. The above
detailed financing receivables are predominately with commercial and governmental counterparties of
investment grade credit quality.
Note 11—Property, Plant and Equipment—Net
2012 2011
December 31,
Land and improvements. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 368 $ 376
Machinery and equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,174 9,937
Buildings and improvements. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,078 2,897
Construction in progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 592 513
14,212 13,723
Less—Accumulated depreciation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (9,211) (8,919)
$ 5,001 $ 4,804
Depreciation expense was $660, $699 and $707 million in 2012, 2011 and 2010, respectively.
Note 12—Goodwill and Other Intangible Assets—Net
The change in the carrying amount of goodwill for the years ended December 31, 2012 and 2011
by segment is as follows:
December 31,
2011 Acquisitions Divestitures
Currency
Translation
Adjustment
December 31,
2012
Aerospace . . . . . . . . . . . . . . . . . . . . . . $ 2,095 $ (23) $ (3) $ 6 $ 2,075
Automation and Control Solutions 8,260 62 (62) 83 8,343
Performance Materials and
Technologies. . . . . . . . . . . . . . . . . . 1,306 501 — 3 1,810
Transportation Systems. . . . . . . . . . 197 — — — 197
$11,858 $540 $(65) $92 $12,425
Gross
Carrying
Amount
Accumulated
Amortization
Net
Carrying
Amount
Gross
Carrying
Amount
Accumulated
Amortization
Net
Carrying
Amount
December 31, 2012 December 31, 2011
Determinable life intangibles:
Patents and technology . . . . . $1,224 $ (841) $ 383 $1,151 $ (761) $ 390
Customer relationships . . . . . . 1,736 (625) 1,111 1,718 (493) 1,225
Trademarks. . . . . . . . . . . . . . . . . 179 (103) 76 155 (84) 71
Other. . . . . . . . . . . . . . . . . . . . . . . 311 (157) 154 211 (145) 66
3,450 (1,726) 1,724 3,235 (1,483) 1,752
Indefinite life intangibles:
Trademarks. . . . . . . . . . . . . . . . . 725 — 725 725 — 725
$4,175 $(1,726) $2,449 $3,960 $(1,483) $2,477
81
HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)