(Amounts in thousands of Brazilian reais – R$, unless otherwise stated)

	2009				2008	01.01.2008
	Annual amortization rate – %	Cost	Accumulated amortization	Net	Net	Net
Software (a)	20	83,124	(55,319)	27,805	35,928	43,685
Project development (b)	20	28,543	(15,064)	13,479	19,820	19,109
Allowance for losses on projects (c)	-	-	-	-	(6,673)	(18,981)
Allowance for losses on projects (c)	32	35,464	(35,464)	-	20,766	-
		147,131	(105,847)	41,284	69,841	43,813

(a)	Refers to items purchased from third parties and used to provide data and business transactions processing services to customers. There is no individually material software as of December 31, 2009.
(b)	Refers to costs on development of new products and services for purposes of increasing sales and revenue of the Company and its subsidiaries.
(c)	Refers to the provision for losses related to costs on development of projects and software of jointly-owned subsidiary Orizon.
(d)	Refers to the proportionate consolidation of 40.95% of intangible assets contributed to the joint venture CBGS by the other venturers, Bradesco and Cassi, and the related subsequent amortization of these intangibles over their finite useful lives of 38 months. Additionally, the Company's Management recognized for consolidation purposes an allowance for losses on these intangibles, totaling R$46,641, consolidated, as of December 31, 2009, (R$35,444 as of December 31, 2008), and cost presented in the table above is net of this allowance.

For consolidation purposes, at the end of 2008, the Company tested these intangibles in the joint venture for impairment and determined that they were impaired by R$35,444, and recognized an allowance for losses in the same amount. The Company tested again these intangibles for impairment at the end of 2009 and increased the allowance for losses by R$46,641.

The recoverable amount was calculated based on its value in use. The main factor for the impairment of goodwill was Management's reassessment of the profitability prospects of the Health Project.

The contra entry to the allowance for losses is line account "Other operating (expenses) income, net" in the statement of income, which as of December 31, 2009, totals R$11,197 (R$35,444 as of December 31, 2008).

Amortization expenses of intangible assets were included in "General and administrative expenses" in the statement of income.

Changes in intangible assets for the year ended December 31, 2009, are as follows:

	2008	Additions/ transfers	Write-offs/ reversals	Amortization	2009
Software	35,928	4,457	(74)	(12,506)	27,805
Project development	19,820	1,888	(6,676)	(1,553)	13,479
Allowance for losses on projects	(6,673)	-	6,673	-	-
Customer relationship	20,766	-	(11,197)	(9,569)	-
Total	69,841	6,345	(11,274)	(23,628)	41,284