ING Direct 2011 Annual Report Download - page 135

9 INTANGIBLE ASSETS
Changes in intangible assets
Value of
business acquired Goodwill Software Other Total
2011 2010 2011 2010 2011 2010 2011 2010 2011 2010
Opening balance 1,320 1,502 2,765 3,071 754 803 533 645 5,372 6,021
Additions 207 223 21209 224
Capitalised expenses 81 90 131 148 212 238
Amortisation and unlocking –244 –113 –391 –358 –87 –118 –722 –589
Impairments –32 –540 –49 –31 –1 –82 –571
Effect of unrealised revaluations
in equity –250 –286 –250 –286
Changes in the composition
of the group –43 –680 11 –5 –49 –126 –19 –854 –57
Exchange rate differences 7127 –212 238 –8 13 –26 48 –239 426
Disposals –7 –9 5 –12 –9 –14
Other –47 –8 –19 –13 –12 –79 –20
Closing balance 871 1,320 1,794 2,765 611 754 282 533 3,558 5,372
Gross carrying amount as
at 31 December 2,244 2,449 2,436 3,370 2,597 2,557 570 1,013 7,847 9,389
Accumulated amortisation
as at 31 December –1,373 –1,129 –1,926 –1,751 –242 –426 –3,541 –3,306
Accumulated impairments
as at 31 December –642 –605 –60 –52 –46 –54 –748 –711
Net carrying value as at
31 December 871 1,320 1,794 2,765 611 754 282 533 3,558 5,372
Amortisation of software and other intangible assets is included in the profit and loss account in Other operating expenses and Intangible
amortisation and other impairments. Amortisation of VOBA is included in Underwriting expenditure.
Goodwill
Changes in Goodwill
A goodwill impairment of EUR 32 million was recognised in 2011. The impairment relates to the reporting unit ING Real Estate. A goodwill
impairment of EUR 540 million was recognised in 2010. The impairment relates to the reporting unit Insurance US. In 2011, Changes in
composition of the group relates mainly to the disposal of ING Car Lease and the disposal of the Latin American pensions, life insurance
and investment management operations. Other changes includes EUR 97 million related to the classification of ING Direct USA as a disposal
group held for sale. Reference is made to Note 11 ‘Assets and liabilities held for sale’.
Allocation of Goodwill to reporting units
Goodwill is allocated to reporting units as follows:
Goodwill allocation to reporting units
2011 2010
Retail Central Europe 738 870
Retail Belgium 50 49
Retail Netherlands 11
ING Direct 364 468
Commercial Banking – Lease 11 68
ING Real Estate 32
Commercial Banking – Other 14 14
Insurance Benelux 48 48
Insurance Central & Rest of Europe 112 123
Insurance Latin America 680
Insurance Asia/Pacific – South Korea 192 192
Insurance Asia/Pacific – Rest of Asia 44 2
ING Investment Management 220 218
1,794 2,765
Notes to the consolidated annual accounts of ING Group continued
1 Who we are 2 Report of the Executive Board 3 Corporate governance 4 Consolidated annual accounts 5 Parent company annual accounts 6 Other information 7 Additional information
133ING Group Annual Report 2011