Recently Completed Divestiture of the Latin American Business (Tables)

9 Months Ended

Sep. 30, 2022

Discontinued Operations and Disposal Groups [Abstract]

Components of pre-tax income and held for sale assets and liabilities

The pre-tax net income of the Latin American business is estimated to be as follows in the table below:

	Three Months Ended September 30,			Nine Months Ended September 30,
	2022		2021	2022	2021
	(Dollars in millions)
Pre-tax net income (1)	$	19	62	197	137

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(1)The pre-tax net income includes operating results prior to the close of the sale of the business on August 1, 2022

As a result of closing the transaction, we derecognized $2.4 billion of net assets, the principal components of which were as follows:

	August 1, 2022
	(Dollars in millions)
Assets
Cash and cash equivalents	$	40
Accounts receivable, less allowance of $3	105
Other current assets	86
Property, plant and equipment, net accumulated depreciation of $447	1,703
Goodwill(1)	719
Customer relationships and other intangibles, net	140
Other non-current assets	70
Total assets	$	2,863
Liabilities
Accounts payable	$	105
Income and other taxes	42
Other current liabilities	59
Deferred income taxes, net	154
Other non-current liabilities	122
Total liabilities	$	482

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(1)    The assignment of goodwill was based on the relative fair value of the disposal group and the portion of the remaining reporting unit prior to the disposal group being classified as held for sale.