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BUSINESS COMBINATIONS (Tables) | 12 Months Ended
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Dec. 31, 2023
Business Combinations1 [Abstract] |
Disclosure of detailed information about business combinations | The following table summarizes the fair value of the consideration paid and the fair value assigned to each major class of assets and liabilities as at April 3, 2023. Updates from the preliminary purchase price allocation primarily reflect revised fair values for (i) certain subclasses of network assets within property, plant and equipment ($539 million increase) and customer relationship intangible assets ($340 million decrease) and the resulting impact on deferred tax liabilities ($243 million increase), (ii) other current assets ($127 million increase), and (iii) goodwill ($119 million decrease).
(In millions of dollars) |  |  | Total
Cash consideration 1 |  |  | 19,033 |
Issuance of 23.6 million Class B Non-Voting shares 2 |  |  | 1,450 |
Fair value of consideration transferred |  |  | 20,483 |
Net identifiable asset or liability: |  |  |
Accounts receivable (net of allowance for doubtful accounts of $31 million) |  |  | 310 |
Other current assets 3 |  |  | 2,448 |
Property, plant and equipment 4 |  |  | 8,022 |
Intangible assets 5 |  |  | 5,974 |
Investments |  |  | 123 |
Other long-term assets 3 |  |  | 48 |
Bank advances |  |  | (25) |
Short-term borrowings 6 |  |  | (200) |
Accounts payable and accrued liabilities |  |  | (545) |
Other current liabilities |  |  | (33) |
Contract liabilities 7 |  |  | (164) |
Current portion of long-term debt 8 |  |  | (1,000) |
Current portion of lease liabilities 9 |  |  | (59) |
Provisions |  |  | (6) |
Long-term debt 8 |  |  | (3,526) |
Lease liabilities 9 |  |  | (268) |
Other long-term liabilities 10 |  |  | (109) |
Deferred tax liabilities 11 |  |  | (2,693) |
Total fair value of identifiable net assets acquired |  |  | 8,297 |
Goodwill 12 |  |  | 12,186 |
1 Includes $151 million of cash used to settle Shaw stock-based compensation programs. 2 Recorded at fair value based on the market price of RCI Class B Non-Voting shares on the acquisition date. 3 Consists of contract assets, inventories, prepaid expenses, and other assets as described in note 31. 4 Includes land and buildings, cable networks, computer equipment and software, customer premise equipment, leasehold improvements, equipment and vehicles, and right-of-use assets. Property, plant and equipment (excluding land) are expected to be amortized over remaining useful lives of 1 to 36 years. 5 Includes customer relationships, brand names, and other intangible assets. Intangible assets of $270 million, $5,314 million, and $390 million were allocated to our Wireless, Cable West (i.e. legacy Shaw), and Satellite cash-generating units (CGUs), respectively. Customer relationships, brand names, and other intangible assets are expected to be amortized over average useful lives of eight to fifteen years, three years, and fifteen years, respectively. 6 Short-term borrowings were repaid in April 2023 (see note 21). 7 Represents the fair value of the cost required to fulfill the related contractual obligations. 8 Represents the notional principal value of Shaw's outstanding senior notes of $4,550 million and the fair value decrement of $24 million, which will be amortized into finance costs using the effective interest method over the respective remaining terms of the outstanding senior notes, representing a weighted average term to maturity of 9.7 years and weighted average interest rate of 4.7%. 9 Represents the present value of future lease payments at the April 3, 2023 incremental borrowing rate of the consolidated company. 10 Includes the fair value of the cost required to fulfill the related pension and post-employment obligations. 11 Represents the net deferred income tax liability relating to the estimated fair values of assets acquired and liabilities assumed. 12 Goodwill arises principally from the expected synergies following the integration of Shaw, and future growth of our combined business and customer base as a result of the acquisition. Goodwill is not deductible for tax purposes. Goodwill arising from the transaction of $432 million, $11,675 million, and $79 million has been allocated to our Wireless, Cable (group), and Satellite CGUs, respectively. Property, plant and equipment The table below summarizes the property, plant and equipment acquired from Shaw on closing as at December 31, 2023.
(In millions of dollars) | Land and buildings | Cable networks | Computer equipment and software | Customer premise equipment | Leasehold improvements | Equipment and vehicles | Construction in process | Total owned assets | Right-of-use assets (note 19) | Total property, plant and equipment
Acquired from business combination | 308 |  | 5,926 |  | 370 |  | 640 |  | 78 |  | 99 |  | 273 |  | 7,694 |  | 328 |  | 8,022 |
Depreciation since April 3, 2023 | 7 |  | 695 |  | 80 |  | 166 |  | 27 |  | 10 |  | — |  | 985 |  | 68 |  | 1,053 |
Net carrying amount | 301 |  | 5,231 |  | 290 |  | 474 |  | 51 |  | 89 |  | 273 |  | 6,709 |  | 260 |  | 6,969 |
Property, plant and equipment will be amortized over their remaining estimated useful lives, estimated as follows.
Asset | Basis | Estimated remaining useful life
Buildings | Diminishing balance | 1 to 36 years
Cable and wireless network | Straight-line | 1 to 30 years
Computer equipment and software | Straight-line | 1 to 10 years
Customer premise equipment | Straight-line | 1 to 5 years
Leasehold improvements | Straight-line | Over shorter of estimated useful life or lease term
Equipment and vehicles | Diminishing balance | 1 to 10 years
Right-of-use assets | Straight-line | Over remaining lease term
The table below summarizes the intangible assets acquired from Shaw on closing as at December 31, 2023.
(In millions of dollars) | Customer relationships | Brand names | Other intangible assets | Total intangible assets | Goodwill | Total intangible assets and goodwill
Acquired from business combination | 5,880 |  | 75 |  | 19 |  | 5,974 |  | 12,186 |  | 18,160 |
Amortization since April 3, 2023 | 384 |  | 19 |  | 1 |  | 404 |  | — |  | 404 |
Net carrying amount | 5,496 |  | 56 |  | 18 |  | 5,570 |  | 12,186 |  | 17,756 |
The table below summarizes the aggregated purchase price allocations for these acquisitions.
(In millions of dollars) |  |  |  | Total
Cash consideration 1 |  |  |  | 153 |
Fair value of consideration |  |  |  | 153 |
Net identifiable asset or liability: |  |  |  |
Current assets |  |  |  | 12 |
Property, plant and equipment |  |  |  | 20 |
Intangible assets 2 |  |  |  | 83 |
Accounts payable and accrued liabilities |  |  |  | (11) |
Long-term liabilities |  |  |  | (3) |
Deferred tax liabilities |  |  |  | (11) |
Total fair value of identifiable net assets acquired |  |  |  | 90 |
Goodwill 3 |  |  |  | 63 |
1 Includes $12 million of cash not yet paid that is subject to customary closing conditions. 2 Primarily reflects customer relationships with estimated useful lives of 6 to 20 years. 3 Goodwill arises principally from the expected synergies following these acquisitions and future growth of our combined businesses as a result of the acquisitions. Goodwill is not deductible for tax purposes.

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- Definition The disclosure of detailed information about business combinations. [Refer: Business combinations [member]] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IFRS -Number 3 -IssueDate 2023-01-01 -Section Disclosures application of paragraphs 59 and 61 -URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=3&code=ifrs-tx-2023-en-r&doctype=Appendix&subtype=B&dita_xref=IFRS03_gB64-B67_TI -URIDate 2023-03-23 + Details
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