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Goodwill and Other Intangible Assets | 12 Months Ended
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May 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets | NOTE 4: GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL. The carrying amount of goodwill attributable to each reportable operating segment and changes therein are as follows (in millions):
|  | FedEx Express Segment |  |  | FedEx Ground Segment |  |  | FedEx Freight Segment |  |  | Corporate, Other, and Eliminations |  |  | Total |
Goodwill at May 31, 2022 |  | $ | 4,925 |  |  | $ | 932 |  |  | $ | 767 |  |  | $ | 1,962 |  |  | $ | 8,586 |
Accumulated impairment charges |  |  | — |  |  |  | — |  |  |  | (133 | ) |  |  | (1,909 | ) |  |  | (2,042 | )
Balance as of May 31, 2022 |  |  | 4,925 |  |  |  | 932 |  |  |  | 634 |  |  |  | 53 |  |  |  | 6,544 |
Impairment charges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (36 | ) |  |  | (36 | )
Other(1) |  |  | (72 | ) |  |  | — |  |  |  | — |  |  |  | (1 | ) |  |  | (73 | )
Balance as of May 31, 2023 |  |  | 4,853 |  |  |  | 932 |  |  |  | 634 |  |  |  | 16 |  |  |  | 6,435 |
Other(1) |  |  | (12 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (12 | )
Balance as of May 31, 2024 |  | $ | 4,841 |  |  | $ | 932 |  |  | $ | 634 |  |  | $ | 16 |  |  | $ | 6,423 |
Accumulated goodwill impairment charges as of May 31, 2024 |  | $ | — |  |  | $ | — |  |  | $ | (133 | ) |  | $ | (1,945 | ) |  | $ | (2,078 | )
(1) Primarily currency translation adjustments. Our reporting units with significant recorded goodwill include FedEx Express, FedEx Ground, and FedEx Freight. We evaluated these reporting units during the fourth quarters of 2024 and 2023 and the estimated fair value of each of these reporting units exceeded their carrying values as of the end of 2024 and 2023; therefore, we do not believe that any of these reporting units were impaired as of the balance sheet dates. In connection with our annual impairment testing of goodwill conducted in the fourth quarter of 2023, we recorded an impairment charge of $36 million for all of the goodwill attributable to our FedEx Dataworks, Inc. (“FedEx Dataworks”) reporting unit. The key factors contributing to the goodwill impairment were underperformance of the ShopRunner business during 2023, including base business erosion, and the failure to attain the level of operating synergies and revenue and profit growth anticipated at the time of acquisition. Based on these factors, our outlook for the business changed in the fourth quarter of 2023. OTHER INTANGIBLE ASSETS. The summary of our intangible assets and related accumulated amortization at May 31, 2024 and 2023 is as follows (in millions):
|  | 2024 |  |  | 2023 |
|  | Gross Carrying Amount |  |  | Accumulated Amortization |  |  | Net Book Value |  |  | Gross Carrying Amount |  |  | Accumulated Amortization |  |  | Net Book Value |
Customer relationships |  | $ | 570 |  |  | $ | (405 | ) |  | $ | 165 |  |  | $ | 583 |  |  | $ | (369 | ) |  | $ | 214 |
Technology |  |  | 62 |  |  |  | (46 | ) |  |  | 16 |  |  |  | 62 |  |  |  | (42 | ) |  |  | 20 |
Trademarks and other |  |  | 1 |  |  |  | (1 | ) |  |  | — |  |  |  | 1 |  |  |  | (1 | ) |  |  | — |
Total |  | $ | 633 |  |  | $ | (452 | ) |  | $ | 181 |  |  | $ | 646 |  |  | $ | (412 | ) |  | $ | 234 |
As part of our review of long-lived assets in the fourth quarter of 2024, there were no impairments recorded for our reporting units. During the fourth quarter of 2023, we reviewed long-lived assets at FedEx Dataworks for impairment. Based on our reviews, we recognized an $11 million asset impairment charge related to customer relationships from the ShopRunner acquisition. Amortization expense for intangible assets was $47 million in 2024, $52 million in 2023, and $52 million in 2022. Expected amortization expense for the next five years is as follows (in millions):
2025 | $ | 45 |
2026 |  | 45 |
2027 |  | 43 |
2028 |  | 41 |
2029 |  | 2 |

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