Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

NOTE 6—GOODWILL AND OTHER INTANGIBLE ASSETS

The table below presents our goodwill, other intangible assets and MSRs as of June 30, 2023 and December 31, 2022. Goodwill is presented separately, while other intangible assets and MSRs are included in other assets on our consolidated balance sheets.

Table 6.1: Components of Goodwill, Other Intangible Assets and MSRs

	June 30, 2023
(Dollars in millions)	Carrying Amount of Assets		Accumulated Amortization		Net Carrying Amount
Goodwill	$	15,060	N/A		$	15,060
Other intangible assets:
Purchased credit card relationship (“PCCR”) intangibles	369		$	(57)	312
Other(1)	176		(132)		44
Total other intangible assets	545		(189)		356
Total goodwill and other intangible assets	$	15,605	$	(189)	$	15,416
Commercial MSRs(2)	$	653	$	(236)	$	417
	December 31, 2022
(Dollars in millions)	Carrying Amount of Assets		Accumulated Amortization		Net Carrying Amount
Goodwill	$	14,777	N/A		$	14,777
Other intangible assets:
Purchased credit card relationship (“PCCR”) intangibles	147		$	(26)	121
Other(1)	195		(157)		38
Total other intangible assets	342		(183)		159
Total goodwill and other intangible assets	$	15,119	$	(183)	$	14,936
Commercial MSRs(2)	$	660	$	(223)	$	437

__________

(1)Primarily consists of intangibles for sponsorship, customer and merchant relationships, domain names and licenses.

(2)Commercial MSRs are accounted for under the amortization method on our consolidated balance sheets.

Amortization expense for amortizable intangible assets, which is presented separately in our consolidated statements of income, totaled $22 million and $36 million for the three and six months ended June 30, 2023, respectively, and $14 million and $28 million for the three and six months ended June 30, 2022, respectively.

Goodwill

The following table presents changes in the carrying amount of goodwill by each of our business segments as of June 30, 2023 and December 31, 2022.

Table 6.2: Goodwill by Business Segments

(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking		Total
Balance as of December 31, 2022	$	5,078	$	4,645	$	5,054	$	14,777
Acquisitions	273		0		0		273
Other adjustments(1)	10		0		0		10
Balance as of June 30, 2023	$	5,361	$	4,645	$	5,054	$	15,060

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(1)Represents foreign currency translation adjustments and measurement period adjustments.