GOODWILL AND OTHER INTANGIBLE ASSETS (Notes)

6 Months Ended

Apr. 30, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

8. GOODWILL AND OTHER INTANGIBLE ASSETS

The following table presents goodwill balances and the movements for each of our reportable segments during the six months ended April 30, 2016:



	Life Sciences and Applied Markets		Diagnostics and Genomics		Agilent CrossLab		Total
	(in millions)
Goodwill as of October 31, 2015	$	650	$	1,234	$	482	$	2,366
Foreign currency translation impact	5		44		4		53
Goodwill arising from acquisitions	137		—		—		137
Goodwill as of April 30, 2016	$	792	$	1,278	$	486	$	2,556

The components of other intangibles as of April 30, 2016 and October 31, 2015 are shown in the table below:



	Purchased Other Intangible Assets
	Gross Carrying Amount		Accumulated Amortization and Impairments		Net Book Value
	(in millions)
As of October 31, 2015:
Purchased technology	$	746	$	476	$	270
Trademark/Tradename	141		50		91
Customer relationships	230		168		62
Total amortizable intangible assets	1,117		694		423
In-Process R&D	22		—		22
Total	$	1,139	$	694	$	445
As of April 30, 2016:
Purchased technology	840		535		305
Backlog	1		1		—
Trademark/Tradename	154		57		97
Customer relationships	266		200		66
Total amortizable intangible assets	1,261		793		468
In-Process R&D	22		—		22
Total	$	1,283	$	793	$	490

On November 1, 2015, we acquired Seahorse Bioscience, a leader in providing instruments and assay kits for measuring cell metabolism and bioenergetics, for $242 million. The acquisition accounting for Seahorse was completed in the second quarter resulting in a $3 million adjustment to decrease goodwill. As a result, we recorded additions to goodwill of $137 million and additions to other intangible assets of $118 million during the six months ended April 30, 2016. During the six months ended April 30, 2016, other intangible assets increased $10 million, due to the impact of foreign exchange translation.

Amortization expense of intangible assets was $40 million and $83 million for the three and six months ended April 30, 2016, respectively. Amortization expense of intangible assets was $38 million and $81 million for the three and six months ended April 30, 2015, respectively.

Future amortization expense related to existing finite-lived purchased intangible assets for the remainder of fiscal year 2016 and for each of the five succeeding fiscal years and thereafter is estimated below:



Estimated future amortization expense:
(in millions)
Remainder of 2016	$	69
2017	$	113
2018	$	83
2019	$	59
2020	$	48
2021	$	36
Thereafter	$	60

- 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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