(7)  Goodwill and Other Intangible Assets

Goodwill

Changes in the carrying amount of goodwill are as follows:

 

Goodwill recognized from acquisitions primarily relates to assembled workforces, website community and other intangible assets that do not qualify for separate recognition.

As presented in the accompanying consolidated balance sheets, trademarks is the other significant indefinite lived intangible asset.

Intangible Assets Subject to Amortization

Intangible assets subject to amortization are comprised of the following:

 

 

The weighted average life of these amortizable intangible assets was approximately 9 years, at the time of acquisition.  However, amortization is expected to match the usage of the related asset and will be on an accelerated basis as demonstrated in table below.

Amortization expense for intangible assets with finite useful lives was $426 million, $549 million and $703 million for the years ended December 31, 2018,  2017 and 2016, respectively. Based on its amortizable intangible assets as of December 31, 2018, Qurate Retail expects that amortization expense will be as follows for the next five years (amounts in millions):

 

 

Impairments

The Company performed a qualitative goodwill impairment analysis during the fourth quarter of 2018 and determined that triggering events existed at the HSN reporting unit due to a variety of factors, primarily HSN’s inability to meet its 2018 revenue projections. With the assistance of an external valuation expert, the Company determined the estimated business enterprise value of HSN, including its intangible assets and goodwill, and the estimated value of its tradename intangible asset as of December 31, 2018. The business enterprise valuation was performed using a combination of a discounted cash flow model using HSN’s projections of future operating performance (income approach) and market multiples (market approach) (Level 3). The tradename valuation was performed using a relief from royalties method, primarily using a discounted cash flow model using HSN’s projections of future operating performance (income approach) and applying a royalty rate (market approach) (Level 3). As a result of the analysis, HSN recorded a $30 million impairment to its tradename intangible asset, but no impairment of HSN’s goodwill was necessary. 

 

As of December 31, 2018 the Company had no accumulated goodwill impairment losses.