Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

11. Goodwill and Other Intangible Assets

A. Goodwill

The components of, and changes in, the carrying amount of goodwill are as follows:


(MILLIONS OF DOLLARS)	U.S.		International		Total
Balance, December 31, 2021	$	1,424	$	1,258	$	2,682
Additions	61		—		61
Other(a)	—		(23)		(23)
Balance, June 30, 2022	$	1,485	$	1,235	$	2,720

(a) Includes adjustments for foreign currency translation.

The gross goodwill balance was $3,256 million and $3,218 million as of June 30, 2022 and December 31, 2021, respectively. Accumulated goodwill impairment losses (generated entirely in fiscal 2002) were $536 million as of June 30, 2022 and December 31, 2021.

B. Other Intangible Assets

The components of identifiable intangible assets are as follows:


	As of June 30, 2022						As of December 31, 2021
					Identifiable						Identifiable
	Gross				Intangible Assets		Gross				Intangible Assets
	Carrying		Accumulated		Less Accumulated		Carrying		Accumulated		Less Accumulated
(MILLIONS OF DOLLARS)	Amount		Amortization		Amortization		Amount		Amortization		Amortization
Finite-lived intangible assets:
Developed technology rights	$	1,922	$	(1,007)	$	915	$	1,933	$	(949)	$	984
Brands and tradenames	430		(266)		164		426		(260)		166
Other	484		(348)		136		473		(335)		138
Total finite-lived intangible assets	2,836		(1,621)		1,215		2,832		(1,544)		1,288
Indefinite-lived intangible assets:
Brands and tradenames	91		—		91		91		—		91
In-process research and development	77		—		77		88		—		88
Product rights	7		—		7		7		—		7
Total indefinite-lived intangible assets	175		—		175		186		—		186
Identifiable intangible assets	$	3,011	$	(1,621)	$	1,390	$	3,018	$	(1,544)	$	1,474

C. Amortization

Amortization expense related to finite-lived acquired intangible assets that contribute to our ability to sell, manufacture, research, market and distribute products, compounds and intellectual property is included in Amortization of intangible assets as it benefits multiple business functions. Amortization expense related to finite-lived acquired intangible assets that are associated with a single function is included in Cost of sales, Selling, general and administrative expenses or Research and development expenses, as appropriate. Total amortization expense for finite-lived intangible assets was $47 million and $99 million for the three and six months ended June 30, 2022, respectively and $52 million and $103 million for the three and six months ended June 30, 2021, respectively.