DuPont 2013 Annual Report Download - page 70

E. I. du Pont de Nemours and Company
Notes to the Consolidated Financial Statements (continued)
(Dollars in millions, except per share)
F-23
Other Intangible Assets
The following table summarizes the gross carrying amounts and accumulated amortization of other intangible assets by major
class:
December 31, 2013 December 31, 2012
Gross Accumulated Amortization Net Gross Accumulated Amortization Net
Intangible assets subject to amortization
(Definite-lived)
Customer lists $ 1,818 $ (393) $ 1,425 $ 1,847 $ (330) $ 1,517
Patents 519 (160) 359 525 (127) 398
Purchased and licensed technology 1,999 (1,129) 870 1,929 (1,016) 913
Trademarks 43 (17) 26 57 (29) 28
Other1242 (106) 136 206 (98) 108
4,621 (1,805) 2,816 4,564 (1,600) 2,964
Intangible assets not subject to amortization
(Indefinite-lived)
In-process research and development 43 — 43 62 — 62
Microbial cell factories2306 — 306 306 — 306
Pioneer germplasm31,050 — 1,050 975 — 975
Trademarks/tradenames 881 — 881 819 — 819
2,280 — 2,280 2,162 — 2,162
Total $ 6,901 $ (1,805) $ 5,096 $ 6,726 $ (1,600) $ 5,126
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 $323, $312 and
$253 for 2013, 2012 and 2011, respectively. The estimated aggregate pre-tax amortization expense from continuing operations
for 2014, 2015, 2016, 2017 and 2018 is $371, $377, $339, $212 and $209, respectively, which are primarily reported in cost of
goods sold.
12. SHORT-TERM BORROWINGS AND CAPITAL LEASE OBLIGATIONS
December 31, 2013 2012
Other loans-various currencies 44 20
Long-term debt payable within one year 1,674 1,252
Capital lease obligations 3 3
$ 1,721 $ 1,275
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 $1,730 and $1,300 at December 31, 2013 and 2012,
respectively.