Goodwill

The changes in the carrying amount of goodwill during the years ended December 31, 2011 and 2010 are as follows (dollars in millions):



	Level 3 Segment			Global Crossing Segment		Total
Balance as of January 1, 2010	$	1,429		$	—	$	1,429
Accumulated Impairment Losses	—			—		—
Effect of foreign currency rate change	(2		)	—		(2		)
Balance as of December 31, 2010	1,427			—		1,427
Goodwill acquired in Global Crossing acquisition	—			1,110		1,110
Accumulated Impairment Losses	—			—		—
Effect of foreign currency rate change	—			4		4
Balance as of December 31, 2011	$	1,427		$	1,114	$	2,541

The Company conducted its annual goodwill impairment analysis at December 31, 2011 and 2010. As a result of the Company's annual assessment, Level 3 concluded that its goodwill was not impaired in 2011 or 2010.