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INTANGIBLE ASSETS AND GOODWILL
 6 Months Ended
Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS AND GOODWILL INTANGIBLE ASSETS AND GOODWILL
Intangible Assets
The major components of intangible assets consist of:
 June 30, 2023December 31, 2022
(in millions)
Gross
Carrying
Amount
Accumulated
Amortization and Impairments
Net
Carrying
Amount
Gross
Carrying
Amount
Accumulated
Amortization and Impairments
Net
Carrying
Amount
Finite-lived intangible assets:
      
Product brands$2,726 $(2,466)$260 $2,650 $(2,373)$277 
Corporate brands12 (8)4 12 (7)5 
Product rights/patents993 (939)54 992 (919)73 
Technology and other67 (62)5 66 (61)5 
Total finite-lived intangible assets3,798 (3,475)323 3,720 (3,360)360 
B&L Trademark1,698 — 1,698 1,698 — 1,698 
$5,496 $(3,475)$2,021 $5,418 $(3,360)$2,058 
Long-lived assets with finite lives are tested for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Impairment charges associated with these assets are included in Other expense, net in the Condensed Consolidated Statements of Operations. Bausch + Lomb continues to monitor the recoverability of its finite-lived intangible assets and tests the intangible assets for impairment if indicators of impairment are present.
Asset impairments were not material during the six months ended June 30, 2023 and 2022.
Estimated amortization expense of finite-lived intangible assets for the remainder of 2023 and the five succeeding years ending December 31 and thereafter are as follows:
(in millions)Remainder of 202320242025202620272028ThereafterTotal
Amortization$77 $97 $51 $18 $17 $17 $46 $323 
Goodwill
The changes in the carrying amounts of goodwill during the six months ended June 30, 2023 and the year ended December 31, 2022 were as follows:
(in millions)Vision CarePharmaceuticalsSurgicalTotal
Balance, January 1, 2022$3,596 $675 $315 $4,586 
Acquisitions (Note 5)— — 5 5 
Foreign exchange and other(47)(30)(7)(84)
Balance, December 31, 20223,549 645 313 4,507 
Acquisitions (Note 5)— — 8 8 
Foreign exchange and other6 16 3 25 
Balance, June 30, 2023
$3,555 $661 $324 $4,540 
Goodwill is not amortized but is tested for impairment at least annually as of October 1st at the reporting unit level. A reporting unit is the same as, or one level below, an operating segment. Bausch + Lomb performs its annual impairment test by first assessing qualitative factors. Where the qualitative assessment suggests that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative fair value test is performed for that reporting unit (Step 1).
2022 Annual Goodwill Impairment Test
The Company conducted its annual goodwill impairment test as of October 1, 2022 by performing a quantitative assessment for each of its reporting units. The quantitative assessment utilized long-term growth rates of 2.0% and 3.0% and discount rates of 9.5% and 12.25%, in estimation of the fair value of the reporting units. After completing the testing, the fair value of each of these reporting units exceeded its carrying value by more than 25%, and, therefore, there was no impairment to goodwill.
June 30, 2023 Interim Goodwill Impairment Assessment
No events occurred or circumstances changed during the period from October 1, 2022 (the last time goodwill was tested for all reporting units) through June 30, 2023 that would indicate that the fair value of any reporting unit might be below its carrying value.
If market conditions deteriorate, or if the Company is unable to execute its strategies, it may be necessary to record impairment charges in the future.
There were no goodwill impairment charges from October 1, 2022 through June 30, 2023.