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Goodwill and Intangible Assets | 9 Months Ended
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Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Note 5. Goodwill and Intangible Assets Goodwill Changes in goodwill consisted of:
| Latin America |  | AMEA |  | Europe |  | North America |  | Total
| (in millions)
Balance at December 31, 2024 | $ | 1,316 |  |  | $ | 3,040 |  |  | $ | 7,842 |  |  | $ | 10,819 |  |  | $ | 23,017 |
Currency | 175 |  |  | 59 |  |  | 1,000 |  |  | 21 |  |  | 1,255 |
Other | — |  |  | 3 |  |  | — |  |  | (25) |  |  | (22) |
Balance at September 30, 2025 | $ | 1,491 |  |  | $ | 3,102 |  |  | $ | 8,842 |  |  | $ | 10,815 |  |  | $ | 24,250 |
Intangible Assets Intangible assets consisted of the following:
| As of September 30, 2025 |  | As of December 31, 2024
| Gross carrying amount |  | Accumulated amortization |  | Net carrying amount |  | Gross carrying amount |  | Accumulated amortization |  | Net carrying amount
| (in millions)
Indefinite-life intangible assets | $ | 18,601 |  |  | $ | — |  |  | $ | 18,601 |  |  | $ | 17,770 |  |  | $ | — |  |  | $ | 17,770 |
Definite-life intangible assets | 3,465 |  |  | (2,455) |  |  | 1,010 |  |  | 3,306 |  |  | (2,228) |  |  | 1,078 |
Total | $ | 22,066 |  |  | $ | (2,455) |  |  | $ | 19,611 |  |  | $ | 21,076 |  |  | $ | (2,228) |  |  | $ | 18,848 |
Indefinite-life intangible assets consist principally of brand names purchased through our acquisitions of Nabisco Holdings Corp., the global LU biscuit business of Groupe Danone S.A., Cadbury Limited and Clif Bar. Definite-life intangible assets consist primarily of customer-related intangibles, process technology and trademarks. Amortization expense for intangible assets was $32 million and $40 million for the three months ended September 30, 2025 and 2024, respectively, and $107 million and $115 million for the nine months ended September 30, 2025 and 2024, respectively. Impairment Assessments We test our reporting units and indefinite-life intangible assets for impairment annually as of July 1, or more frequently if events or circumstances indicate it is more likely than not that the fair value of a reporting unit or brand is less than its carrying amount. There were no impairments of goodwill during the three and nine months ended September 30, 2025 and 2024. In the third quarters of 2025 and 2024, we recognized impairment charges of $33 million and $153 million, respectively, to reduce the carrying amounts of certain of our brands to their estimated fair values. Those charges are reported within Asset impairments and exit costs in the condensed consolidated statements of earnings. The 2025 impairments related to two biscuit brands in the Europe segment, one biscuit brand in the AMEA segment and one candy brand in the Latin America segment. The 2024 impairments related to two biscuit brands in the Europe segment, one biscuit brand in the AMEA segment and one candy and one biscuit brand in the Latin America segment. The impairments were driven by lower expectations of future business performance to reflect current or expected market conditions in select markets as well as changes in management strategy. The fair values of our brand intangibles were determined using several valuation methods, including the relief from royalty method, the excess earnings method and the excess margin method. Inputs to those valuation methods include our most recent forecasts of revenue and earnings, as well as estimates of royalty rates and discount rates. Fair value measurements of brand intangible assets are classified as Level 3 in the fair value hierarchy because they involve significant unobservable inputs. Including the four brand intangibles for which we recognized impairments in the current period, we identified five brand intangibles for which fair value exceeded book value by less than 10%. The aggregate book value of those five brand intangibles was $1.5 billion as of September 30, 2025. We are closely monitoring the performance of those brands and if there are adverse changes to the related sales and earnings forecasts in the future, whether caused by business-specific or broader macroeconomic factors, one or more of those indefinite-life intangible assets could become impaired.

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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