eTrade 2004 Annual Report Download - page 50

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Table of Contents
Index to Financial Statements
SFAS No. 142, Goodwill and Other Assets . In 2004, we performed our annual impairment test of goodwill with the assistance of a third party.
This evaluation indicated that no additional impairment charge was necessary. Our recorded goodwill at December 31, 2004 was $395.0
million, and we will continue to evaluate it for impairment at least annually.
The Company’s recorded intangible assets at December 31, 2004 were $134.1 million, which have useful lives between three and thirty
years. We evaluate the remaining useful lives on intangible assets each reporting period to determine whether events and circumstances warrant
a revision to the remaining period of amortization in accordance with SFAS No. 142. If our estimates of useful lives change, the unamortized
cost is allocated to the revised useful life and amortized over that period in a manner consistent with which that asset is consumed or
contributes to the net revenues of the Company.
Our estimates of fair value of goodwill and other intangible assets depend on a number of factors, including estimates of future market
growth and trends, forecasted revenue and costs, expected useful lives of the assets, appropriate discount rates and other variables.
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