GOODWILL AND OTHER INTANGIBLE ASSETS

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE 7. GOODWILL AND OTHER INTANGIBLE ASSETS


GOODWILL	January 1, 2022		Dispositions		Currency exchange and other		Balance at September 30, 2022
Aerospace	$	9,013	$	(6)	$	(462)	$	8,545
HealthCare	12,879		—		(125)		12,754
Renewable Energy	3,231		—		(209)		3,023
Power	145		—		(1)		144

Corporate(a)	914		—		(104)		811
Total	$	26,182	$	(6)	$	(901)	$	25,275

(a) Corporate balance comprises our Digital business.

We assess the possibility that a reporting unit’s fair value has been reduced below its carrying amount due to the occurrence of events or circumstances between annual impairment testing dates. In the third quarter of 2022, we did not identify any reporting units that required an interim impairment test.

Substantially all other intangible assets are subject to amortization. Intangible assets decreased $1,605 million during the nine months ended September 30, 2022, primarily as a result of amortization partially offset by additions of capitalized software and patents & technology mainly at Aerospace and HealthCare of $158 million. Consolidated amortization expense was $237 million and $272 million in the three months ended and $1,498 million and $860 million in the nine months ended, September 30, 2022 and 2021, respectively. Included within consolidated amortization expense for the nine months ended September 30, 2022, was a non-cash pre-tax impairment charge of $765 million.

In the first quarter of 2022, we signed a non-binding memorandum of understanding for GE Steam Power to sell a portion of its business to EDF, which resulted in a reclassification of that business to held for sale. As a result, we recognized a non-cash pre-tax impairment charge of $765 million related to intangible assets at our remaining Steam business within our Power segment. We determined the fair value of these intangible assets using an income approach. This charge was recorded by Corporate in Selling, general, and administrative expenses in our consolidated Statement of Earnings (Loss).