Depreciation, Amortization and Impairment Charges

The following table summarizes depreciation, amortization and impairment charges related to Property, net, Equipment on operating leases, net and GM Financial equipment on operating leases, net (dollars in millions):



	Three Months Ended				Six Months Ended
	June 30, 2012		June 30, 2011		June 30, 2012		June 30, 2011
Depreciation and amortization of long-lived assets	$	925	$	951	$	1,817	$	1,879
Impairment charges of long-lived assets(a)	$	23	$	18	$	54	$	44
Depreciation of equipment on operating leases	$	105	$	128	$	197	$	208
Impairment charges of equipment on operating leases	$	75	$	74	$	130	$	113

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(a)	The fair value of related assets was determined to be $0 in the three months ended June 30, 2012 and 2011 and $0 in the six months ended June 30, 2012 and 2011 measured utilizing Level 3 inputs. Fair value measurements of long-lived assets utilized projected cash flows discounted at a rate commensurate with the perceived business risks related to the assets involved.

The following table summarizes equipment on operating leases to daily rental car companies measured at fair value utilizing Level 3 inputs on a nonrecurring basis (dollars in millions):



			Fair Value Measurements on a Nonrecurring Basis (a)
	Fair Value Measures		Level 1		Level 2		Level 3
Three months ended June 30, 2012	$	1,067	$	—	$	—	$	1,067
Three months ended June 30, 2011	$	1,359	$	—	$	—	$	1,359
Six months ended June 30, 2012	$	1,915	$	—	$	—	$	1,915
Six months ended June 30, 2011	$	1,920	$	—	$	—	$	1,920

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(a)	The carrying amount of the related assets at June 30, 2012 and 2011 may no longer equal the fair value as the fair value presented is as of the date the impairment was taken during the period presented.

Impairment of vehicles leased to daily rental car companies with guaranteed repurchase obligations is determined to exist if the expected cash flows are lower than the carrying amount of the vehicle. We have multiple, distinct portfolios of vehicles leased to rental car companies and may have multiple impairments within a period. Expected cash flows include all estimated net revenue and costs associated with the sale to daily rental car companies through disposal at auction. The fair value measurements are determined, reviewed and approved on a monthly basis by personnel with appropriate knowledge of transactions with daily rental car companies and auction transactions.

The following table summarizes the significant quantitative unobservable inputs and assumptions used in the fair value measurement of Equipment on operating leases, net (dollars in millions):



			Three Months Ended		Six Months Ended
	Valuation Technique	Significant Unobservable Input	June 30, 2012		June 30, 2012
Impaired equipment on operating leases	Cash flow	Estimated net revenue	$	1,094	$	1,961
		Estimated costs	$	1,169	$	2,091