Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Note 6. Goodwill and Intangible Assets

Goodwill by reportable segment was as follows:


	Foodservice			Food and Beverage Merchandising		Total
As of December 31, 2022	$	993		$	822	$	1,815
Reclassified due to segment composition change		(35	)		35		—
As of June 30, 2023	$	958		$	857	$	1,815

In the second quarter of 2023, in conjunction with the Beverage Merchandising Restructuring, we implemented a new operating and reporting structure resulting in the combination of our legacy Food Merchandising and Beverage Merchandising segments, creating our Food and Beverage Merchandising segment. Refer to Note 3, Restructuring, Asset Impairment and Other Related Charges, for additional details. We also reorganized the management of certain product lines from our Foodservice segment to our Food and Beverage Merchandising segment. Refer to Note 18, Segment Information, for additional details. The change in the management of certain product lines resulted in a $35 million reclassification of goodwill between the segments based on the estimated relative fair value of the product lines compared to the estimated fair value of the Foodservice reporting unit. We have reflected these changes in our segments in the table above.

Intangible assets, net consisted of the following:


	As of June 30, 2023							As of December 31, 2022
	Gross Carrying Amount		Accumulated Amortization			Net		Gross Carrying Amount		Accumulated Amortization			Net
Finite-lived intangible assets
Customer relationships	$	1,062	$	(669	)	$	393	$	1,060	$	(639	)	$	421
Trademarks		42		(14	)		28		42		(12	)		30
Other		7		(7	)		—		7		(7	)		—
Total finite-lived intangible assets	$	1,111	$	(690	)	$	421	$	1,109	$	(658	)	$	451
Indefinite-lived intangible assets
Trademarks	$	554	$	—		$	554	$	554	$	—		$	554
Other		59		—			59		59		—			59
Total indefinite-lived intangible assets	$	613	$	—		$	613	$	613	$	—		$	613
Total intangible assets	$	1,724	$	(690	)	$	1,034	$	1,722	$	(658	)	$	1,064

Amortization expense for intangible assets of $15 million and $30 million for each of the three and six months ended June 30, 2023 and 2022, respectively, was recognized in selling, general and administrative expenses.