Goodwill and Other Identifiable Intangible Assets

9 Months Ended

Sep. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Identifiable Intangible Assets

The Company tests indefinite-lived intangible assets and goodwill for impairment by performing either a qualitative evaluation or a quantitative test at least annually, or more frequently if an indication of impairment arises. The qualitative evaluation is an assessment of factors to determine whether it is more likely than not that the fair value of a reporting unit or asset is less than its carrying amount.

The Company did not identify an indication of goodwill impairment for any of its reporting units or an indication of impairment of any of its indefinite-lived intangible assets during the nine months ended September 30, 2024.

The change in the carrying amount of goodwill attributable to each reportable segment for the nine months ended September 30, 2024 was as follows:


($ in millions)	Performance Coatings	Industrial Coatings	Total
January 1, 2024	$4,994	$1,206	$6,200
Acquisitions, including purchase accounting adjustments	2	—	2
Reclassified to assets held for sale(a)	—	(2)	(2)
Foreign currency impact	(115)	(5)	(120)
September 30, 2024	$4,881	$1,199	$6,080

(a)Amount represents the allocation of $2 million of goodwill to the silicas products business disposal group classified as held for sale. Refer to Note 3, Divestitures for further information.

As of both September 30, 2024 and December 31, 2023, accumulated goodwill impairment losses totaled $158 million, all of which relates to the Performance Coatings reportable segment.

A summary of the carrying value of the Company's identifiable intangible assets is as follows:


	September 30, 2024			December 31, 2023
($ in millions)	Gross Carrying Amount	Accumulated Amortization	Net	Gross Carrying Amount	Accumulated Amortization	Net
Indefinite-Lived Identifiable Intangible Assets
Trademarks	$1,333	$—	$1,333	$1,442	$—	$1,442
Definite-Lived Identifiable Intangible Assets
Acquired technology	$841	($696)	$145	$845	($678)	$167
Customer-related	1,906	(1,308)	598	1,933	(1,259)	674
Trade names	313	(188)	125	319	(180)	139
Other	49	(47)	2	50	(48)	2
Total Definite-Lived Intangible Assets	$3,109	($2,239)	$870	$3,147	($2,165)	$982
Total Identifiable Intangible Assets	$4,442	($2,239)	$2,203	$4,589	($2,165)	$2,424

The Company’s identifiable intangible assets with definite lives are being amortized over their estimated useful lives.

As of September 30, 2024, estimated future amortization expense of identifiable intangible assets is as follows:


($ in millions)			Future Amortization Expense
Remaining three months of 2024			$35
2025			$128
2026			$107
2027			$96
2028			$83
2029			$78
Thereafter			$343