GOODWILL

12 Months Ended

Dec. 31, 2022

The following table presents the carrying amount for our company’s goodwill:


	As of
US$ MILLIONS	Dec. 31, 2022		Dec. 31, 2021
Balance at beginning of the year	$	489	$	528
Foreign currency translation and other	29		(39)
Balance at end of the year	$	518	$	489

Goodwill is evaluated for impairment annually or more often if events or circumstances indicate there may be impairment. Impairment is determined by assessing if the carrying value of cash generating units or a group of cash generating units, including the allocated goodwill, exceeds its recoverable amount determined as the greater of the estimated fair value less costs of disposal or the value in use. During 2022, the carrying amount of each cash generating unit was determined to not exceed its recoverable amount.

Goodwill is allocated to the following cash generating units or group of cash generating units:


	As of
US$ MILLIONS	Dec. 31, 2022		Dec. 31, 2021
U.K. regulated distribution operation	$	30	$	33
Brazilian regulated gas transmission operation	488		456
Total	$	518	$	489

The recoverable amount of the goodwill has been determined using a discounted cash flow model whereby the fair value measurement is classified under level 3 on the fair value hierarchy. The key inputs in determining the fair value of each cash generating unit under the discounted cash flow model are the utilization of discount rates ranging from 9% to 14%, terminal value multiples of 11x to 15x and discrete cash flow periods from 10 to 19 years.