My first Publication ocbc_ar17_fullreport_english | Page 222

NOTES TO THE FINANCIAL STATEMENTS
For the financial year ended 31 December 2017
37. GOODWILL AND INTANGIBLE ASSETS
GROUP
2017
$’000
Goodwill
At 1 January
Acquisitions (Note 34.5)
Amounts written off
Currency translation
At 31 December
Intangible assets
At 1 January
Acquisitions (Note 34.5)
Amortisation charged to income statements:
– Core deposit relationships (1)
– Customer relationships (2)
– Life assurance business (3)
Currency translation
At 31 December
Total goodwill and intangible assets
Analysed as follows:
Goodwill from acquisition of subsidiaries/business
Intangible assets, at cost
Accumulated amortisation for intangible assets
BANK
2016
$’000
4,707,448
(72,888)
(3,267)
(180,503)
4,450,790 4,341,421
313,467
(858)
53,418
4,707,448
765,398
82,414 853,810
–
(41,760)
(15,433)
(46,636)
(34,933)
709,050 (42,197)
(7,431)
(46,636)
7,852
765,398
2017
$’000 2016
$’000
1,867,176
–
–
–
1,867,176 1,867,176
–
–
–
1,867,176
5,159,840 5,472,846 1,867,176 1,867,176
4,450,790
1,559,718
(850,668)
5,159,840 4,707,448
1,529,144
(763,746)
5,472,846 1,867,176
–
–
1,867,176 1,867,176
–
–
1,867,176
Core deposit relationships, arising from the acquisition of OCBC Wing Hang, are determined to have an estimated useful life of 10 years. At
31 December 2017, these have a remaining useful life of 6.5 years (2016: 7.5 years).
(2)
Customer relationships, arising from the acquisition of Bank of Singapore Limited and Barclays WIM, are determined to have an estimated useful life
of 10 years. At 31 December 2017, these have a remaining useful life of up to 9 years (2016: 4 years).
(3)
The value of in-force assurance business of the Group is amortised over a useful life of 20 years. At 31 December 2017, the intangible asset has a
remaining useful life of 7 years (2016: 8 years).
(1)
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OCBC ANNUAL REPORT 2017