Twenty-First Century Fox 2011 Annual Report Download - page 60

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Notes to the Consolidated Financial Statements (continued)
NOTE 8. Property, Plant and Equipment
Useful Lives 2011 2010
As of June 30, (in millions)
Land $ 374 $ 351
Buildings and leaseholds 2 to 50 years 3,725 3,388
Machinery and equipment 2 to 30 years 8,493 7,520
12,592 11,259
Less accumulated depreciation and amortization (6,487) (5,634)
6,105 5,625
Construction in progress 437 355
Total property, plant and equipment, net $ 6,542 $ 5,980
Depreciation and amortization related to property, plant and equipment was $1,019 million, $994 million and $942 million for the fiscal
years ended June 30, 2011, 2010 and 2009, respectively. This includes depreciation of set-top boxes in the DBS segment of $222 million, $189
million and $152 million for the fiscal years ended June 30, 2011, 2010 and 2009, respectively.
Total operating lease expense was approximately $556 million, $558 million and $563 million for the fiscal years ended June 30, 2011, 2010
and 2009, respectively.
NOTE 9. Goodwill and Other Intangible Assets
The carrying values of the Company’s intangible assets and related accumulated amortization were as follows:
2011 2010
For the years ended June 30, (in millions)
Intangible assets not subject to amortization
FCC licenses $2,404 $2,404
Distribution networks 754 751
Publishing rights & imprints 530 513
Newspaper mastheads 2,219 2,001
Other 1,190 1,318
Total intangible assets not subject to amortization 7,097 6,987
Film library, net(1) 428 460
Other intangible assets, net(2) 1,062 859
Total intangibles, net $8,587 $8,306
(1) Net of accumulated amortization of $195 million and $163 million as of June 30, 2011 and June 30, 2010, respectively. The average useful life of the film library was 20 years.
(2) Net of accumulated amortization of $621 million and $541 million as of June 30, 2011 and June 30, 2010, respectively. The average useful life of other intangible assets ranges from three
to 25 years.
Intangible assets increased $281 million during the fiscal year ended June 30, 2011 primarily due to the acquisitions of Shine and Wireless
Generation as well as foreign currency adjustments, partially offset by amortization expense of $172 million.
58 News Corporation