Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

L. Goodwill and Other Intangible Assets

Goodwill, which is included in Other noncurrent assets on the accompanying Consolidated Balance Sheet, was as follows:


December 31,	2023		2022
Alumina	$	4	$	4
Aluminum		—		—
Corporate(1)		142		141
	$	146	$	145

(1)

The carrying value of Corporate’s goodwill is net of accumulated impairment losses of $742 as of both December 31, 2023 and 2022. As of December 31, 2023, the $142 of goodwill reflected in Corporate is allocated to Alcoa Corporation's Alumina reportable segment for purposes of impairment testing (see Note B). This goodwill is reflected in Corporate for segment reporting purposes because it is not included in management’s assessment of performance by the reportable segment. Changes in the carrying amount of goodwill were attributable to foreign currency translation as of December 31, 2023 and 2022.

Management performed a quantitative assessment for the Alumina reporting unit in the fourth quarter 2023. The estimated fair value of the Alumina reporting unit was substantially in excess of its carrying value, resulting in no impairment. As a result of the January 2023 segment change, the Company reviewed the recoverability of the carrying value of goodwill of its Alumina reporting unit in the first quarter of 2023. The estimated fair value of the Alumina reporting unit substantially exceeded the reporting unit’s carrying value, resulting in no impairment.

Other intangible assets, which are included in Other noncurrent assets on the accompanying Consolidated Balance Sheet, were as follows:


	2023							2022
December 31,	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Computer software	$	207	$	(194	)	$	13	$	206	$	(202	)	$	4
Patents and licenses		25		(10	)		15		25		(9	)		16
Other intangibles		21		(12	)		9		20		(11	)		9
Total other intangible assets	$	253	$	(216	)	$	37	$	251	$	(222	)	$	29

Computer software consists primarily of software costs associated with the enterprise business solution within Alcoa to drive common systems among all businesses.

Amortization expense related to the intangible assets in the table above for the years ended December 31, 2023, 2022, and 2021 was $5, $7, and $11, respectively, and is expected to be approximately $10 annually from 2024 to 2028.