Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Goodwill

Goodwill represents the excess of purchase price and related costs over the value assigned to the net tangible and identifiable intangible assets of businesses acquired.

The change in the carrying amount of goodwill by segment is shown below:

(in millions)	Ratings		Market Intelligence		Platts		Indices		Corporate		Total
Balance as of December 31, 2019	$	115	$	2,062	$	521	$	376	$	501	$	3,575
Acquisitions	138		—		—		—		—		138
Dispositions	—		(2)		—		—		—		(2)
Other 1	10		11		6		—		(3)		24
Balance as of December 31, 2020	263		2,071		527		376		498		3,735
Acquisitions	—		—		—		—		54		54
Reclassifications 2	—		(255)		—		—		—		(255)
Other 1	(18)		(8)		(2)		—		—		(28)
Balance as of December 31, 2021	$	245	$	1,808	$	525	$	376	$	552	$	3,506

1Primarily relates to the impact of foreign exchange and valuation adjustments for prior period acquisitions. 2021 includes adjustments related to RobecoSAM and 2020 includes adjustments related to Investor Relations.

2Relates to CGS and LCD, which are classified as assets held for sale in our consolidated balance sheet as of December 31, 2021

Goodwill additions and dispositions in the table above relate to transactions discussed in Note 2 – Acquisitions and Divestitures.

Other Intangible Assets

Other intangible assets include both indefinite-lived assets not subject to amortization and definite-lived assets subject to amortization. We have indefinite-lived assets with a carrying value of $846 million as of December 31, 2021 and 2020.

•2021 and 2020 both include $380 million and $90 million for Dow Jones Indices intellectual property and the Dow Jones tradename, respectively, that we recorded as part of the transaction to form S&P Dow Jones Indices LLC in 2012.

•2021 and 2020 both include $185 million within our Market Intelligence segment for the SNL tradename.

•2021 and 2020 both include $132 million within our Indices segment for the balance of the IP rights in a family of indices derived from the S&P 500, solidifying Indices IP in and to the S&P 500 index family.

•2021 and 2020 both include $59 million within our Indices segment for the Goldman Sachs Commodity Index intellectual property and the Broad Market Indices intellectual property.

The following table summarizes our definite-lived intangible assets:

(in millions)
Cost	Databases and software		Content		Customer relationships		Tradenames		Other intangibles		Total
Balance as of December 31, 2019	$	629	$	139	$	355	$	54	$	130	$	1,307
Acquisitions	14		—		—		—		40		54
Other (primarily Fx) 1	2		—		1		1		7		11
Balance as of December 31, 2020	645		139		356		55		177		1,372
Acquisitions	—		—		—		—		18		18
Other 1	—		—		(1)		—		11		10
Balance as of December 31, 2021	$	645	$	139	$	355	$	55	$	206	$	1,400
Accumulated amortization
Balance as of December 31, 2019	$	331	$	129	$	153	$	48	$	68	$	729
Current year amortization	73		10		21		2		17		123
Acquisitions	—		—		—		—		10		10
Other (primarily Fx) 1	2		—		1		—		1		4
Balance as of December 31, 2020	406		139		175		50		96		866
Current year amortization	52		—		21		2		21		96
Reclassifications 2	8		—		—		—		(8)		—
Other 1	1		—		—		—		(2)		(1)
Balance as of December 31, 2021	$	467	$	139	$	196	$	52	$	107	$	961
Net definite-lived intangibles:
December 31, 2020	$	239	$	—	$	181	$	5	$	81	$	506
December 31, 2021	$	178	$	—	$	159	$	3	$	99	$	439

1Primarily relates to the impact of foreign exchange and valuation adjustments for prior period acquisitions. 2021 includes adjustments related to RobecoSAM and 2020 includes adjustments related to 451 Research.

2The reclassification in 2021 is related to RobecoSAM.

Definite-lived intangible assets are being amortized on a straight-line basis over periods of up to 21 years. The weighted-average life of the intangible assets as of December 31, 2021 is approximately 12 years.

Amortization expense was $96 million, $123 million and $122 million for the years ended December 31, 2021, 2020 and 2019, respectively. Expected amortization expense for intangible assets over the next five years for the years ended December 31, assuming no further acquisitions or dispositions, is as follows:

(in millions)	2022		2023		2024		2025		2026
Amortization expense 1	$	91	$	85	$	82	$	65	$	34

1 Amortization expense does not include the expected merger with IHS Markit which is expected to be completed in the first quarter of 2022.