Note 1: Acquisitions, Dispositions, Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2011

Notes to Condensed Consolidated Financial Statements [Abstract]

Note 1: Acquisitions, Dispositions, Goodwill and Other Intangible Assets

Note 1: Acquisitions, Dispositions, Goodwill and Other Intangible Assets

Business Acquisitions and Dispositions.During the first six months of2011, our investment in business acquisitions was$184millionand consisted of a number of smaller acquisitions in both the aerospace and commercial businesses. As a result of Sikorsky's contribution of a business into a new venture in the United Arab Emirates, we recognized a gain of approximately $73 million in the second quarter of 2011.

Goodwill. Changes in our goodwill balances for the first six months of2011 were as follows:

(Dollars in millions)		Balance as of January 1, 2011		Goodwill resulting from business combinations		Foreign currency translation and other		Balance as of June 30, 2011
Otis		$	1,470	$	27	$	76	$	1,573
Carrier			3,171		13		18		3,202
UTC Fire & Security			6,646		36		137		6,819
Pratt & Whitney			1,224		-		11		1,235
Hamilton Sundstrand			4,491		(10)		22		4,503
Sikorsky			330		-		4		334
Total Segments			17,332		66		268		17,666
Eliminations and other			389		254		-		643
	Total	$	17,721	$	320	$	268	$	18,309

For the six months endedJune 30, 2011, we recorded an additional $254 million of goodwill, reflectedwithin “Eliminations and other” in the above table, related to the finalization of purchase accounting associated with the December 2010 acquisition ofClipper Windpower Plc (Clipper).

Intangible Assets. Identifiable intangible assets are comprised of the following:

			June 30, 2011				December 31, 2010
(Dollars in millions)			Gross Amount		Accumulated Amortization		Gross Amount		Accumulated Amortization
Amortized:
	Service portfolios		$	2,095	$	(1,059)	$	1,950	$	(942)
	Patents and trademarks			468		(174)		441		(153)
	Other, principally customer relationships			3,395		(1,366)		3,229		(1,222)
				5,958		(2,599)		5,620		(2,317)
Unamortized:
	Trademarks and other			782				757
		Total	$	6,740	$	(2,599)	$	6,377	$	(2,317)

Amortization of intangible assets for the quarter and six monthsendedJune 30,2011 was $103 million and $203million, respectively, compared with $90 million and$179 million for the same periods of 2010. Average amortization of these intangible assets for 2011 through 2015 is expected to approximate $315 million per year.