Goodwill and Other Assets

3 Months Ended

Mar. 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Assets

As of March 31, 2018, the Company’s three reportable operating segments are Services, Software and Systems. The Company has allocated goodwill to its Services, Software and Systems reportable operating segments. The changes in carrying amounts of goodwill within the Company's segments are summarized as follows:



	Services			Software			Systems			Total
Goodwill	$	890.0		$	224.9		$	174.1		$	1,289.0
Accumulated impairment losses	(290.7		)	—			—			(290.7		)
Balance at January 1, 2017	$	599.3		$	224.9		$	174.1		$	998.3
Goodwill acquired	5.6			—			—			5.6
Goodwill adjustment	(1.1		)	(1.0		)	(0.8		)	(2.9		)
Currency translation adjustment	62.7			30.1			23.3			116.1
Goodwill	$	957.2		$	254.0		$	196.6		$	1,407.8
Accumulated impairment losses	(290.7		)	—			—			(290.7		)
Balance at December 31, 2017	$	666.5		$	254.0		$	196.6		$	1,117.1
Currency translation adjustment	7.1			4.3			3.3			14.7
Goodwill	$	964.3		$	258.3		$	199.9		$	1,422.5
Accumulated impairment losses	(290.7		)	—			—			(290.7		)
Balance at March 31, 2018	$	673.6		$	258.3		$	199.9		$	1,131.8

In 2018, the Company acquired the remaining portion of the noncontrolling interest in its China operations for $5.8 for which no goodwill was recorded. In 2017, the $5.6 acquired goodwill from Moxx Group B.V. (Moxx) and Visio Objekt GmbH (Visio) primarily relates to anticipated synergies achieved through increased scale and higher utilization of the service organization.

The Company has identified nine reporting units, which are summarized below:



Geographic Regions	Services	Software	Systems
Europe, Middle East and Africa (EMEA)	EMEA Services	EMEA Software	EMEA Systems
Americas	Americas Services	Americas Software	Americas Systems
Asia Pacific (AP)	AP Services	AP Software	AP Systems

In 2017, the Company recorded impairments totaling $3.1 related to information technology (IT) transformation and integration activities. There have been no impairment indicators identified during the three months ended March 31, 2018.

The following summarizes information on intangible assets by major category:



		March 31, 2018							December 31, 2017
	Weighted-average remaining useful lives	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Customer relationships, net	7.4 years	$	766.4	$	(131.8	)	$	634.6	$	741.5	$	(108.2	)	$	633.3

Internally-developed software	2.3 years	201.5		(107.7		)	93.8		192.9		(99.8		)	93.1
Development costs non-software	1.3 years	56.3		(39.1		)	17.2		55.3		(35.1		)	20.2
Other intangibles	1.4 years	78.6		(55.6		)	23.0		84.5		(57.3		)	27.2
Other intangible assets, net		336.4		(202.4		)	134.0		332.7		(192.2		)	140.5
Total		$	1,102.8	$	(334.2	)	$	768.6	$	1,074.2	$	(300.4	)	$	773.8

Amortization expense on capitalized software of $8.8 and $9.6 was included in service and software cost of sales for the three months ended March 31, 2018 and 2017, respectively. The Company's total amortization expense, including deferred financing costs, was $39.9 and $39.4 for the three months ended March 31, 2018 and 2017, respectively.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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