Goodwill and Intangible Assets, Net.

Goodwill consists of the following:



	December 31, 2017
	Automotive			Energy			Railcar		Gaming			Food Packaging		Consolidated
	(in millions)
Gross carrying amount, January 1	$	1,662		$	930		$	7	$	3		$	4	$	2,606
Acquisitions	121			—			—		—			3		124
Foreign exchange	15			—			—		—			—		15
Gross carrying amount, December 31	1,798			930			7		3			7		2,745

Accumulated impairment, January 1	(537		)	(930		)	—		(3		)	—		(1,470		)
Impairment	—			—			—		—			—		—
Accumulated impairment, December 31	(537		)	(930		)	—		(3		)	—		(1,470		)

Net carrying value, December 31	$	1,261		$	—		$	7	$	—		$	7	$	1,275



	December 31, 2016
	Automotive			Energy			Railcar		Gaming			Food Packaging		Consolidated
	(in millions)
Gross carrying amount, January 1	$	1,457		$	930		$	7	$	—		$	3	$	2,397
Acquisitions	205			—			—		3			1		209
Gross carrying amount, December 31	1,662			930			7		3			4		2,606

Accumulated impairment, January 1	(537		)	(356		)	—		—			—		(893		)
Impairment	—			(574		)	—		(3		)	—		(577		)
Accumulated impairment, December 31	(537		)	(930		)	—		(3		)	—		(1,470		)

Net carrying value, December 31	$	1,125		$	—		$	7	$	—		$	4	$	1,136

Intangible assets, net consists of the following:



	December 31, 2017							December 31, 2016
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Value		Gross Carrying Amount		Accumulated Amortization			Net Carrying Value
	(in millions)
Definite-lived intangible assets:
Customer relationships	$	1,084	$	(538	)	$	546	$	1,059	$	(471	)	$	588
Developed technology	143		(117		)	26		142		(104		)	38
In-place leases	121		(92		)	29		121		(83		)	38
Gasification technology license	60		(14		)	46		60		(11		)	49
Other	162		(27		)	135		78		(17		)	61
	$	1,570	$	(788	)	$	782	$	1,460	$	(686	)	$	774
Indefinite-lived intangible assets:
Trademarks and brand names						$	316						$	305
Gaming licenses						37							37
						353							342
Intangible assets, net						$	1,135						$	1,116

We recorded amortization expense associated with definite-lived intangible assets for the years ended December 31, 2017, 2016 and 2015 of $101 million, $91 million and $92 million, respectively. We utilize the straight-line method of amortization, recognized over the estimated useful lives of the assets. Additionally, we impaired intangible assets of $1 million, $16 million and $2 million for the years ended December 31, 2017, 2016 and 2015, respectively. The impairment of intangible assets in 2016 was primarily in connection with the closing of the Trump Taj Mahal Casino Resort in October 2016.

The estimated future amortization expense for our definite-lived intangible assets is as follows:



Year	Amount
	(in millions)
2018	$	97
2019	96
2020	94
2021	85
2022	63
Thereafter	347
	$	782

Acquisitions

Acquisitions during the year ended December 31, 2017 were not material individually or in the aggregate. As a result of certain acquisitions, our Automotive and Food Packaging segments allocated $121 million and $3 million, respectively, to goodwill during the year ended December 31, 2017. In addition, our Automotive segment allocated $77 million to definite-lived intangible assets amortized over a weighted average of 3 to 16 years and $12 million to trademarks and brand names. Our Food Packaging segment allocated $28 million to definite-lived intangible assets amortized over a weighted average of 12 to 20 years. The purchase price allocations for the above acquisitions are not all final and are subject to change.

Impairment of Goodwill

Prior to 2017, with respect to our reporting units that are allocated goodwill, the first step of the goodwill impairment analysis ("Step 1") involved comparing the fair value of each of our reporting units' assets to their respective carrying values to determine the potential for goodwill impairment. The second step of the goodwill impairment test ("Step 2"), if necessary, involved quantifying the level of goodwill impairment after performing a recoverability analysis of other long-lived assets for impairment first. Beginning with our goodwill impairment analysis in 2017, Step 2 of the goodwill impairment test was eliminated and the determination and quantification of goodwill impairment, if any, was the result of applying Step 1 of the goodwill impairment analysis.

We base the fair value of our reporting units on consideration of various valuation methodologies, including projecting future cash flows discounted at rates commensurate with the risks involved ("DCF"). Assumptions used in a DCF require the exercise of significant judgment, including judgment about appropriate discount rates and terminal values, growth rates, and the amount and timing of expected future cash flows. The forecasted cash flows are based on current plans and for years beyond that plan, the estimates are based on assumed growth rates. We believe that our assumptions are consistent with the plans and estimates used to manage the underlying businesses. The discount rates, which are intended to reflect the risks inherent in future cash flow projections, used in a DCF are based on estimates of the weighted-average cost of capital of a market participant. Such estimates are derived from our analysis of peer companies and consider the industry weighted average return on debt and equity from a market participant perspective.

Automotive

We perform the annual goodwill impairment test for our Automotive segment as of October 1 of each year, or more frequently if impairment indicators exist.

During 2017, based on our Automotive segment's annual goodwill impairment analysis, the fair values of all of our reporting units within our Automotive segment were in excess of their carrying values. Our Automotive segment's Motorparts reporting unit's fair value exceeded its carrying value by 6%. As of December 31, 2017, our Motorparts reporting unit had $349 million of goodwill allocated to it.

During 2016, based on Step 1 of our Automotive segment's annual goodwill impairment analysis, the fair values of all of our reporting units within our Automotive segment were in excess of their carrying values. Our Motorparts reporting unit's fair value exceeded its carrying value by approximately 7%. As of December 31, 2016, our Motorparts reporting unit had $349 million of goodwill allocated to it.

During 2015, our Automotive segment's Motorparts reporting unit failed Step 1 of the annual goodwill impairment analysis. Based on this analysis, our Automotive segment recorded a goodwill impairment charge of $312 million for the year ended December 31, 2015.

Energy

We perform the annual goodwill impairment test for our Energy segment as of April 30 of each year, or more frequently if impairment indicators exist.

During the first quarter of 2016, due to worsening sales trends for our Energy segment's petroleum reporting unit, we performed an interim goodwill impairment analysis. Based on this analysis, our Energy segment recognized a goodwill impairment charge of $574 million, which represented the full amount of the remaining goodwill allocated to the petroleum reporting unit.

During the fourth quarter of 2015, due to worsening sales trends for our Energy segment's fertilizer reporting unit, we performed an interim goodwill impairment analysis. Based on this analysis, our Energy segment recognized a goodwill impairment charge of $253 million, which represented the full amount of the remaining goodwill allocated to the fertilizer reporting unit.

Gaming

In connection with the closing of the Trump Taj Mahal, we recorded a goodwill impairment charge of $3 million in 2016, which represented the full amount of goodwill allocated to TER.