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Selected accounting policies (Tables)
 12 Months Ended
Dec. 31, 2019
Disclosure of notes and other explanatory information [Abstract]  
Disclosure of useful lives for property, plant and equipment
The following table shows the respective useful lives for property, plant and equipment:
 
Useful life
Buildings
20 to 40 years
Machinery and other equipment
 
Machinery and equipment
7 to 20 years
Furniture and vehicles
5 to 10 years
Computer hardware
3 to 7 years

The following table summarizes the movements of property, plant & equipment during 2019:
($ millions)
Land

 
Buildings

 
Construction
in progress

 
Machinery &
other equipment

 
Total

 
 
 
 
 
 
 
 
 
 
Cost


 


 


 


 


January 1, 2019
60

 
1,527

 
657

 
2,646

 
4,890

Additions(1)
 
 
11

 
514

 
82

 
607

Impact of business combinations
 
 
 
 
 
 
1

 
1

Disposals and derecognitions(2)
 
 
(17
)
 
(1
)
 
(161
)
 
(179
)
Transfers with former parent
 
 
4

 
2

 
29

 
35

Reclassifications for assets placed in service


 
104

 
(417
)
 
313

 
—

Other reclassifications
(27
)
 
 
 
 
 
 
 
(27
)
Currency translation effects


 
(1
)
 


 
(4
)
 
(5
)
December 31, 2019
33

 
1,628

 
755

 
2,906

 
5,322

 
 
 
 
 
 
 
 
 
 
Accumulated depreciation
 
 
 
 
 
 
 
 
 
January 1, 2019
(7
)
 
(558
)
 
(7
)
 
(1,518
)
 
(2,090
)
Depreciation charge


 
(73
)
 


 
(194
)
 
(267
)
Impairment charge


 


 
(1
)
 
(7
)
 
(8
)
Disposals and derecognitions(2)
 
 
14

 
 
 
151

 
165

Transfers with former parent
 
 
(2
)
 
 
 
(15
)
 
(17
)
Other reclassifications
7

 
 
 
 
 
 
 
7

Currency translation effects


 
1

 


 


 
1

December 31, 2019
—

 
(618
)
 
(8
)
 
(1,583
)
 
(2,209
)
Net book value at December 31, 2019
33

 
1,010

 
747

 
1,323

 
3,113

(1)
Includes $56 million in non-cash additions.
(2)
Derecognition of assets that are no longer used and are not considered to have a significant disposal value or other alternative use.

As of December 31, 2019, commitments for purchases of property, plant & equipment were $212 million. There were no capitalized borrowing costs.
The following table summarizes the movements of property, plant and equipment during 2018:
($ millions)
Land

 
Buildings

 
Construction
in progress

 
Machinery &
other equipment

 
Total

 
 
 
 
 
 
 
 
 
 
Cost


 


 


 


 


January 1, 2018
53

 
1,386

 
503

 
2,506

 
4,448

Additions
 
 
4

 
468

 
52

 
524

Impact of business combinations


 


 


 
1

 
1

Disposals and derecognitions(1)


 
(16
)
 


 
(71
)
 
(87
)
Reclassifications and transfers with former parent
10

 
252

 
(302
)
 
203

 
163

Reclassification to right-of-use assets(2)
 
 
(86
)
 
 
 
 
 
(86
)
Currency translation effects
(3
)
 
(13
)
 
(12
)
 
(45
)
 
(73
)
December 31, 2018
60

 
1,527

 
657

 
2,646

 
4,890

 
 
 
 
 
 
 
 
 
 
Accumulated depreciation


 


 


 


 


January 1, 2018
(3
)
 
(447
)
 


 
(1,438
)
 
(1,888
)
Depreciation charge


 
(70
)
 


 
(169
)
 
(239
)
Impairment charge
 
 
 
 
(1
)
 
(1
)
 
(2
)
Disposals and derecognitions(1)


 
15

 


 
72

 
87

Transfers with former parent
(4
)
 
(69
)
 
(6
)
 
(12
)
 
(91
)
Reclassification to right-of-use assets(2)
 
 
7

 
 
 
 
 
7

Currency translation effects


 
6

 


 
30

 
36

December 31, 2018
(7
)
 
(558
)
 
(7
)
 
(1,518
)
 
(2,090
)
Net book value at December 31, 2018
53

 
969

 
650

 
1,128

 
2,800

(1)
Derecognition of assets that are no longer used and are not considered to have a significant disposal value or other alternative use.
(2)
The December 31, 2018 balance previously reported for a finance lease asset of $79 million has been reclassified from "Property, Plant, & Equipment" to "Right-of-use assets".
Disclosure of useful lives for intangible assets and location in combined income statement
The following table shows the respective useful lives for available-for-use intangible assets and the location in the consolidated income statements in which the respective amortization and any potential impairment charge is recognized:
 
Useful life
Income statement location for
amortization and impairment charges
Currently marketed products
5 to 20 years
"Cost of net sales"
Marketing know-how
25 years
"Cost of net sales"
Technologies
10 to 20 years
"Cost of net sales" or "Research and Development"
Other (including software)
3 to 10 years
In the respective functional expense
Alcon brand name
Not amortized, indefinite useful life
"Other expense"