Business Combinations, Goodwill and Acquired Intangible (Tables)

12 Months Ended

Dec. 31, 2023

Business Combinations [Abstract]

Summary of Goodwill for Each Reporting Units and Reportable Segments

The following table summarizes our goodwill for our reporting units and reportable segments.

	As of December 31,
(Dollars in millions)	2023		2022
Federal Education Loans reportable segment:
FFELP Loans	$	227	$	227
Federal Education Loan Servicing		5		5
Total		232		232
Consumer Lending reportable segment:
Private Education Legacy In-School Loans		106		106
Private Education Refinance Loans		77		77
Private Education Recent In-School Loans		13		13
Total		196		196
Business Processing reportable segment:
Government Services		136		136
Healthcare Services		106		106
Total		242		242
Total goodwill	$	670	$	670

Acquired Intangible Assets

Acquired intangible assets include the following:

	As of December 31, 2023							As of December 31, 2022
(Dollars in millions)	Cost Basis		Accumulated Impairment and Amortization(2)(3)			Net		Cost Basis(2)		Accumulated Impairment and Amortization(2)(3)			Net
Customer, services and lending    relationships(1)	$	218	$	(212	)	$	6	$	218	$	(207	)	$	11
Software and technology		119		(110	)		9		119		(108	)		11
Trade names and trademarks		40		(30	)		10		40		(27	)		13
Total acquired intangible assets	$	377	$	(352	)	$	25	$	377	$	(342	)	$	35

(1)

(1)In 2022 we impaired a customer relationship asset in the Business Processing reportable segment for $6 million as a result of exiting a line of business.

(2)Accumulated impairment and amortization include impairment amounts only if the acquired intangible asset has been deemed partially impaired. When an acquired intangible asset is considered fully impaired and no longer in use, the cost basis and any accumulated amortization related to the asset is written off.

(3)We recorded amortization of acquired intangible assets of $10 million, $14 million and $19 million in 2023, 2022 and 2021, respectively. We will continue to amortize our intangible assets with definite useful lives over their remaining estimated useful lives. We estimate amortization expense associated with these intangible assets will be $9 million, $6 million, $5 million, $3 million and $1 million in 2024, 2025, 2026, 2027 and after 2027, respectively.