Annual Report 2008
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Intangible assets excluding goodwill

The changes during 2008 were as follows:

 
 
software
other intangible assets
total
 
 
 
 
Balance as of January 1, 2008:
 
 
 
Cost
615
2,629
3,244
Accumulated amortization
(404)
(686)
(1,090)
Book value
211
1,943
2,154
 
 
 
 
Changes in book value:
 
 
 
Acquisitions/additions
118
2,106
2,224
Amortization/deductions
(85)
(380)
(465)
Translation differences
5
55
60
Other
(6)
8
2
Total changes
32
1,789
1,821
 
 
 
 
Balance as of December 31, 2008:
 
 
 
Cost
702
4,784
5,486
Accumulated amortization
(459)
(1,052)
(1,511)
Book value
243
3,732
3,975
 

Other intangible assets in 2008 consist of:

 
 
January 1
December 31
 
gross
accumulated amortization
gross
accumulated amortization
 
 
 
 
 
Marketing-related
168
(30)
69
(24)
Customer-related
1,042
(182)
2,527
(354)
Contract-based
33
(10)
36
(17)
Technology-based
735
(374)
1,356
(518)
Patents and trademarks
651
(90)
796
(139)
 
2,629
(686)
4,784
(1,052)
 

The estimated amortization expense for these other intangible assets for each of the five succeeding years is:

 
2009
391
2010
372
2011
334
2012
308
2013
279
 

The expected weighted average remaining life of other intangibles is 11.5 years as of December 31, 2008.

The additions acquired through business combinations in 2008 consist of the acquired intangible assets of Respironics of EUR 1,186 million, Genlyte of EUR 860 million, and VISICU of EUR 33 million.

The acquired intangible assets mainly consist of customer relationships and patents for Respironics of EUR 732 million and Genlyte of EUR 614 million, and core and existing technology for Respironics of EUR 355 million and VISICU of EUR 20 million.

The unamortized costs of computer software to be sold, leased or otherwise marketed amounted to EUR 102 million (2007: EUR 63 million). The amounts charged to the income statement for amortization or impairment of these capitalized computer software costs amounted to EUR 26 million (2007: EUR 20 million).

This is an interactive electronic version of the Philips Annual Report 2008 and also contains certain information in summarized form. The contents of this version are qualified in their entirety by reference to the printed version of the Philips Annual Report 2008. The printed version is available as a PDF file on this website. Information about: forward-looking statements, third-party market share data, fair value information, US GAAP basis of presentation, use of non-US GAAP information, statutory financial statements and management report, revision and reclassifications and analysis of 2007 compared to 2006.
158
158
Notes to the US GAAP financial statements
Notes to the IFRS financial statements
Notes to the Company financial statements
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