Acquisitions and Divestitures (Tables)

6 Months Ended

Jun. 30, 2017

Summary of Severance, Acquisition and Integration Related Charges Related to Acquisition

In connection with the Yahoo Transaction, we recognized the following charges, which were recorded in Selling, general and administrative expense on our condensed consolidated statements of income:


	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in millions)	2017		2016		2017		2016
Severance	$	370	$	-	$	370	$	-
Transaction costs		66		-		66		-
Integration costs		56		-		56		-

	$ 492		$ -		$ 492		$ -

Yahoo! Inc.

Purchase Price Identified Based on Fair Value of Assets Acquired and Liabilities Assumed

The following table summarizes the consideration to Yahoo’s shareholders and the preliminary identification of the assets acquired, including cash acquired of $0.2 billion, and liabilities assumed as of the close of the acquisition, as well as the fair value at the acquisition date of Yahoo’s noncontrolling interests:


(dollars in millions)	As of June 13, 2017
Cash payment to Yahoo’s equity holders	$	4,723
Estimated liabilities to be paid		38

Total consideration	$	4,761


Assets acquired:
Goodwill	$	874
Intangible assets subject to amortization		2,586
Property, plant, and equipment		1,796
Other		1,362

Total assets acquired		6,618

Liabilities assumed:
Total liabilities assumed		1,824

Net assets acquired:		4,794
Noncontrolling interest		(33	)

Total consideration	$	4,761