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GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended
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Dec. 31, 2021
GOODWILL AND OTHER INTANGIBLES [Abstract] |
GOODWILL AND OTHER INTANGIBLE ASSETS | GOODWILL AND OTHER INTANGIBLE ASSETS Grainger completed its annual impairment testing of goodwill and intangible assets during the fourth quarter of 2021 and 2020. Based on the results of that testing, the Company concluded that it was more likely than not that the fair value of the reporting units exceeded their carrying amounts at each respective period. High-Touch Solutions N.A. – Canada Business In the second quarter of 2020, qualitative tests indicated the existence of impairment indicators for the Canada business given the slowdowns in global oil markets and the economic repercussions from the COVID-19 pandemic in Canada. As such, a quantitative test was performed to evaluate whether any impairment of goodwill was necessary. Based on the result of the quantitative test, the Company concluded there was no impairment of goodwill. During the subsequent annual impairment testing of the Canada business goodwill in 2020 and 2021, the Company performed qualitative assessments, which included evaluations of changes in key assumptions, notably projections of revenue growth, factors that could impact the discount rate used in the analysis, and the improvement in operating leverage since the performance of the last quantitative impairment test. As part of this assessment, Grainger compared the current results to the forecasted expectations of the most recent quantitative analysis, along with analyzing macroeconomic conditions, current industry trends and transactions, and other market data of industry peers. The Company did not identify any significant events or changes in circumstances that indicated the existence of impairment indicators, as such, additional quantitative assessments were not required and concluded that it was more likely than not that the fair value of the Canada business reporting unit exceeded its carrying amount. At December 31, 2021, the reporting unit's goodwill balance was $129 million. The Company balances and changes in the carrying amount of Goodwill (net of cumulative goodwill impairments) by segment are as follows (in millions of dollars):
|  | High-Touch Solutions N.A. |  | Endless Assortment |  | Other |  | Total
Balance at January 1, 2020 |  | $ | 318 |  |  | $ | 52 |  |  | $ | 59 |  |  | $ | 429 |
Acquisition |  | — |  |  | 15 |  |  | — |  |  | 15 |
Impairment |  | — |  |  | — |  |  | (58) |  |  | (58) |
Translation |  | 3 |  |  | 3 |  |  | (1) |  |  | 5 |
Balance at December 31, 2020 |  | 321 |  |  | 70 |  |  | — |  |  | 391 |
Translation |  | — |  |  | (7) |  |  | — |  |  | (7) |
Balance at December 31, 2021 |  | $ | 321 |  |  | $ | 63 |  |  | $ | — |  |  | $ | 384 |
The cumulative goodwill impairments as of December 31, 2021, were $137 million and consisted of $32 million within High-Touch Solutions N.A. and $105 million in Other. During the first quarter of 2020, the Company recorded $58 million of impairment charges in SG&A, in connection with the impairment of Fabory's goodwill. The impairment is presented in Other in the table above. The Company divested the Fabory business during the second quarter of 2020. Grainger's current business portfolio had no impairments to goodwill for the twelve months ended December 31, 2021, and December 31, 2020, respectively. The balances and changes in intangible assets, net are as follows (in millions of dollars):
|  |  | As of December 31,
|  |  | 2021 |  | 2020
| Weighted average life |  | Gross carrying amount |  | Accumulated amortization/ impairment |  | Net carrying amount |  | Gross carrying amount |  | Accumulated amortization/impairment |  | Net carrying amount
Customer lists and relationships | 11.8 years |  | $ | 221 |  |  | $ | 176 |  |  | $ | 45 |  |  | $ | 223 |  |  | $ | 171 |  |  | $ | 52 |
Trademarks, trade names and other | 14.1 years |  | 36 |  |  | 24 |  |  | 12 |  |  | 36 |  |  | 22 |  |  | 14 |
Non-amortized trade names and other | Indefinite |  | 25 |  |  | — |  |  | 25 |  |  | 28 |  |  | — |  |  | 28 |
Capitalized software | 4.4 years |  | 525 |  |  | 369 |  |  | 156 |  |  | 461 |  |  | 327 |  |  | 134 |
Total intangible assets | 6.9 years |  | $ | 807 |  |  | $ | 569 |  |  | $ | 238 |  |  | $ | 748 |  |  | $ | 520 |  |  | $ | 228 |
Amortization expense of intangible assets presented in SG&A, excluding impairment charges was $63 million, $60 million, and $78 million for the years ended December 31, 2021, 2020 and 2019, respectively. Estimated amortization expense for future periods is as follows (in millions of dollars):
Year |  | Expense
2022 |  | $ | 54 |
2023 |  | 41 |
2024 |  | 31 |
2025 |  | 24 |
2026 |  | 19 |
Thereafter |  | 44 |
Total |  | $ | 213 |

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- Definition GOODWILL AND OTHER INTANGIBLES [Abstract] + References No definition available. + Details
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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
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