Property, Net Of Accumulated Depreciation

12 Months Ended

Dec. 31, 2012

Property, Net Of Accumulated Depreciation [Abstract]

Property, Net Of Accumulated Depreciation

9.      Property, Net of Accumulated Depreciation

Property, net follows (in millions):

	December 31,
	2012		2011
Land	$	112	$	113
Buildings		4,324		3,957
Equipment		12,571		11,886
Construction in progress		1,270		1,919
		18,277		17,875
Accumulated depreciation		(7,652)		(7,204)
Total	$	10,625	$	10,671

Approximately $74 million, $46 million, and $20 million of interest costs were capitalized as part of property, net in 2012, 2011, and 2010, respectively.

Manufacturing equipment includes certain components of production equipment that are constructed of precious metals.  At December 31, 2012 and 2011, the recorded value of precious metals totaled $2.4 billion and $2.5 billion, respectively.  Depletion expense related to the years ended December 31, 2012, 2011, and 2010 totaled $20 million, $21 million, and $22 million, respectively.

During the fourth quarters of 2012 and 2011, the Specialty Materials segment recorded impairment charges of $44 million and $130 million, respectively, related to certain assets located in Japan used in the ion exchange process for the production of large cover glass.  The large cover glass impairment charge represents a write-down of assets specific to the glass-strengthening process for large size cover glass to their relative fair market values as of the date of impairment.  As a result of the impairment, assets included in the category of equipment decreased by approximately $44 million in 2012, and in the categories of equipment and buildings by $55 million and $75 million in 2011, respectively.