Bank of America Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

Goodwill and Intangible Assets

3 Months Ended

Mar. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

NOTE 8 – Goodwill and Intangible Assets

Goodwill

The table below presents goodwill balances by business segment at March 31, 2016 and December 31, 2015. The reporting units utilized for goodwill impairment testing are the operating segments or one level below. For additional information, see Note 8 – Goodwill and Intangible Assets to the Consolidated Financial Statements of the Corporation's 2015 Annual Report on Form 10-K.



Goodwill
(Dollars in millions)	March 31 2016		December 31 2015
Consumer Banking	$	30,123	$	30,123
Global Wealth & Investment Management	9,698		9,698
Global Banking	23,923		23,923
Global Markets	5,197		5,197
All Other	820		820
Total goodwill	$	69,761	$	69,761

There was no goodwill in LAS at March 31, 2016 and December 31, 2015.

Intangible Assets

The table below presents the gross and net carrying values and accumulated amortization for intangible assets at March 31, 2016 and December 31, 2015.



Intangible Assets ^{(1, 2)}
	March 31, 2016						December 31, 2015
(Dollars in millions)	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Gross Carrying Value		Accumulated Amortization		Net Carrying Value
Purchased credit card relationships	$	5,427	$	4,791	$	636	$	5,450	$	4,755	$	695
Core deposit intangibles	1,779		1,532		247		1,779		1,505		274
Customer relationships	3,887		3,034		853		3,927		2,990		937
Affinity relationships	1,552		1,369		183		1,556		1,356		200
Other intangibles ⁽³⁾	2,143		484		1,659		2,143		481		1,662
Total intangible assets	$	14,788	$	11,210	$	3,578	$	14,855	$	11,087	$	3,768


⁽¹⁾	Excludes fully amortized intangible assets.


⁽²⁾	At March 31, 2016 and December 31, 2015, none of the intangible assets were impaired.


⁽³⁾	Includes intangible assets associated with trade names that have an indefinite life and, accordingly, are not amortized.

The table below presents intangible asset amortization expense for the three months ended March 31, 2016 and 2015.



Amortization Expense
	Three Months Ended March 31
(Dollars in millions)	2016		2015
Purchased credit card and affinity relationships	$	74	$	89
Core deposit intangibles	27		32
Customer relationships	83		87
Other intangibles	3		5
Total amortization expense	$	187	$	213

The table below presents estimated future intangible asset amortization expense as of March 31, 2016.



Estimated Future Amortization Expense
(Dollars in millions)	Remainder of 2016		2017		2018		2019		2020		2021
Purchased credit card and affinity relationships	$	224	$	237	$	179	$	118	$	58	$	3
Core deposit intangibles	77		90		80		—		—		—
Customer relationships	242		309		302		—		—		—
Other intangibles	6		4		2		1		—		—
Total estimated future amortization expense	$	549	$	640	$	563	$	119	$	58	$	3

- 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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