Visa 2013 Annual Report Download - page 98

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VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2013
At September 30, 2013, estimated future amortization expense on technology was as follows:
Fiscal (in millions) 2014 2015 2016 2017
2018 and
thereafter Total
Estimated future amortization
expense ........................ $ 175 $ 162 $ 129 $ 85 $ 35 $ 586
Depreciation and amortization expense related to property, equipment and technology was $328
million, $265 million and $225 million for fiscal 2013, 2012 and 2011, respectively. Included in those
amounts was amortization expense on technology of $173 million, $132 million and $102 million for
fiscal 2013, 2012 and 2011, respectively.
Note 7—Intangible Assets, Net
At September 30, 2013 and 2012, the Company’s indefinite-lived intangible assets consisted of
customer relationships of $6.8 billion, Visa tradename of $2.6 billion and a Visa Europe franchise right
of $1.5 billion, all of which were acquired as part of the Company’s October 2007 reorganization.
Customer relationships represent the value of relationships with clients outside of the United States,
excluding the European Union. Tradenames represent the value of the Visa brand outside of the
United States, excluding the European Union. Visa Europe’s franchise right represents the value of the
right to franchise the use of the Visa brand, use of Visa technology and access to the overall Visa
network in the European Union.
Indefinite-lived and finite-lived intangible assets consisted of the following:
September 30, 2013 September 30, 2012
Gross
Accumulated
Amortization Net Gross
Accumulated
Amortization Net
(in millions)
Finite-lived intangible assets:
Customer relationships ......... $ 339 $ (125) $ 214 $ 339 $ (84) $ 255
Tradenames .................. 192 (41) 151 192 (28) 164
Reseller relationships ........... 95 (36) 59 95 (25) 70
Other ........................ 52 (8) 44 52 (4) 48
Total finite-lived intangible assets . . . $ 678 $ (210) $ 468 $ 678 $ (141) $ 537
Indefinite-lived intangible assets .... 10,883 10,883
Total intangible assets, net ........ $11,351 $ 11,420
Amortization expense related to finite-lived intangible assets was $69 million, $68 million and $63
million for fiscal 2013, 2012 and 2011, respectively. At September 30, 2013, estimated future
amortization expense on finite-lived intangible assets is as follows:
Fiscal (in millions) 2014 2015 2016 2017
2018 and
thereafter Total
Estimated future amortization
expense ........................ $ 66 $ 62 $ 49 $ 47 $ 244 $ 468
90