Goodwill and Other Intangible Assets

12 Months Ended

Apr. 24, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Goodwill

The following table presents the changes in the carrying amount of goodwill by segment:

(in millions)	Cardiac and Vascular Group		Minimally Invasive Therapies Group		Restorative Therapies Group		Diabetes Group		Total
April 27, 2018	$	6,791	$	21,155	$	9,717	$	1,880	$	39,543
Goodwill as a result of acquisitions	165		83		1,238		24		1,510
Currency translation and other	(102)		(857)		(134)		(1)		(1,094)
April 26, 2019	6,854		20,381		10,821		1,903		39,959
Goodwill as a result of acquisitions	19		227		71		16		333
Purchase accounting adjustments	7		2		120		(5)		124
Currency translation and other	(49)		(434)		(92)		—		(575)
April 24, 2020	$	6,831	$	20,176	$	10,920	$	1,914	$	39,841

The Company did not recognize any goodwill impairments during fiscal years 2020, 2019, or 2018.

Intangible Assets

The following table presents the gross carrying amount and accumulated amortization of intangible assets:

	April 24, 2020				April 26, 2019
(in millions)	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Definite-lived:
Customer-related	$	16,963	$	(5,065)	$	16,944	$	(4,095)
Purchased technology and patents	10,742		(4,354)		11,405		(4,570)
Trademarks and tradenames	464		(232)		570		(324)
Other	75		(53)		85		(59)
Total	$	28,244	$	(9,704)	$	29,004	$	(9,048)
Indefinite-lived:
IPR&D	$	523	$	—	$	604	$	—

During fiscal year 2020, the Company recognized $37 million of definite-lived intangible asset charges, including $33 million and $4 million recognized in connection with business exits in the Restorative Therapies Group and Cardiac and Vascular Group, respectively. During fiscal year 2019, the Company recognized $87 million of definite-lived intangible asset charges, including $61 million and $26 million recognized in connection with business exits in the Cardiac and Vascular Group and Restorative Therapies Group, respectively. The Company did not recognize any definite-lived intangible asset impairments during fiscal year 2018. Definite-lived intangible asset charges are recognized in other operating expense, net in the consolidated statements of income.

During fiscal year 2020, the Company recognized $35 million of indefinite-lived intangible asset charges, including $25 million relating to a partial impairment of an IPR&D project within the Restorative Therapies Group and $10 million in connection with the discontinuation of an IPR&D project within the Cardiac and Vascular Group. During fiscal year 2019, the Company recognized $30 million of indefinite-lived intangible asset charges, including $11 million in connection with a business exit in the Restorative Therapies Group, and $10 million and $9 million in connection with the discontinuation of certain IPR&D projects within the Minimally Invasive Therapies Group and Cardiac and Vascular Group, respectively. During fiscal year 2018, the Company recognized impairment losses on indefinite-lived intangibles of $68 million as a result of the discontinuation of certain IPR&D projects within the Restorative Therapies Group. Indefinite-lived intangible asset charges are recognized in other operating expense, net in the consolidated statements of income. Due to the nature of IPR&D projects, the Company may experience future delays or failures to obtain regulatory approvals to conduct clinical trials, failures of such clinical trials, delays or failures to obtain required market clearances, other failures to achieve a commercially viable product, or the discontinuation of certain projects, and as a result, may recognize impairment losses in the future.

Amortization

Intangible asset amortization expense was $1.8 billion for fiscal years 2020, 2019 and 2018. Estimated aggregate amortization expense by fiscal year based on the current carrying value and remaining estimated useful lives of definite-lived intangible assets at April 24, 2020, excluding any possible future amortization associated with acquired IPR&D which has not met technological feasibility, is as follows:

(in millions)	Amortization Expense
2021	$	1,748
2022	1,706
2023	1,644
2024	1,615
2025	1,588