Goodwill and Acquired Intangible Assets

Goodwill

The following table presents the changes in goodwill by business segment during the nine months ended September 30, 2018:



	Market Services			Corporate Services			Information Services			Market Technology			Total
	(in millions)
Balance at December 31, 2017	$	3,546		$	490		$	2,362		$	188		$	6,586
Reclassification of goodwill⁽¹⁾	—			29			—			(29		)	—
Foreign currency translation adjustment	(111		)	(16		)	(79		)	(11		)	(217		)
Balance at September 30, 2018	$	3,435		$	503		$	2,283		$	148		$	6,369

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⁽¹⁾ Concurrent with the realignment of our BWise corporate enterprise risk management solutions from our Market Technology segment to our Corporate Services segment, goodwill was reassigned to the Corporate Services segment using a relative fair value approach.

As of September 30, 2018, the amount of goodwill that is expected to be deductible for tax purposes in future periods is $749 million.

Goodwill represents the excess of purchase price over the value assigned to the net assets, including identifiable intangible assets, of a business acquired. Goodwill is allocated to our reporting units based on the assignment of the fair values of each reporting unit of the acquired company. We test goodwill for impairment at the reporting unit level annually, or in interim periods if certain events occur indicating that the carrying amount may be impaired, such as changes in the business climate, poor indicators of operating performance or the sale or disposition of a significant portion of a reporting unit. There was no impairment of goodwill for the nine months ended September 30, 2018 and 2017; however, events such as extended economic weakness or unexpected significant declines in operating results of a reporting unit may result in goodwill impairment charges in the future.

* * * * * *

Acquired Intangible Assets

The following table presents details of our total acquired intangible assets, both finite- and indefinite-lived:



	September 30, 2018										December 31, 2017
	Gross Amount			Accumulated Amortization			Net Amount			Weighted-Average Useful Life (in Years)	Gross Amount			Accumulated Amortization			Net Amount			Weighted-Average Useful Life (in Years)
	(in millions)										(in millions)
Finite-Lived Intangible Assets
Technology	$	50		$	(13	)	$	37		9	$	65		$	(22	)	$	43		8
Customer relationships	1,708			(606		)	1,102			18	1,708			(526		)	1,182			18
Other	17			(5		)	12			8	17			(4		)	13			8
Foreign currency translation adjustment	(143		)	62			(81		)		(111		)	46			(65		)
Total finite-lived intangible assets	$	1,632		$	(562	)	$	1,070			$	1,679		$	(506	)	$	1,173
Indefinite-Lived Intangible Assets
Exchange and clearing registrations	$	1,257		$	—		$	1,257			$	1,257		$	—		$	1,257
Trade names	127			—			127				129			—			129
Licenses	52			—			52				52			—			52
Foreign currency translation adjustment	(178		)	—			(178		)		(143		)	—			(143		)
Total indefinite-lived intangible assets	$	1,258		$	—		$	1,258			$	1,295		$	—		$	1,295
Total intangible assets	$	2,890		$	(562	)	$	2,328			$	2,974		$	(506	)	$	2,468

Amortization expense for acquired finite-lived intangible assets was $27 million for the three months ended September 30, 2018, $22 million for the three months ended September 30, 2017, $83 million for the nine months ended September 30, 2018, and $67 million for the nine months ended September 30, 2017. Amortization expense increased in 2018 primarily due to additional amortization expense associated with acquired intangible assets in 2017. These amounts are included in depreciation and amortization expense in the Condensed Consolidated Statements of Income.

The estimated future amortization expense (excluding the impact of foreign currency translation adjustments of $81 million as of September 30, 2018) of acquired finite-lived intangible assets as of September 30, 2018 is as follows:



	(in millions)
2018⁽¹⁾	$	27
2019	99
2020	98
2021	97
2022	94
2023 and thereafter	736
Total	$	1,151

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⁽¹⁾ Represents the estimated amortization to be recognized for

the remaining three months of 2018.

In April 2018, in connection with the sale of the Public Relations Solutions and Digital Media Services businesses, we recorded a $2 million pre-tax, non-cash write-off related to an indefinite-lived intangible asset trade name.