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Goodwill and Intangible Assets, Net (Tables)

12 Months Ended

Dec. 31, 2021

Summary of Consolidated Goodwill, Intangible Assets and Deferred Charges

As of December 31, 2021 and 2020, consolidated goodwill, intangible assets and deferred charges were summarized as follows:


	2021							2020
	Cost		Accumulated amortization			Carrying amount		Cost		Accumulated amortization			Carrying amount
Intangible assets of indefinite useful life:
Goodwill	$	7,984		—			7,984	$	8,506		—			8,506
Intangible assets of definite useful life:
Extraction rights		1,781		(431	)		1,350		1,774		(416	)		1,358
Industrial property and trademarks		45		(22	)		23		44		(20	)		24
Customer relationships		196		(196	)		—		196		(196	)		—
Mining projects		52		(7	)		45		49		(6	)		43
Internally developed software		689		(461	)		228		636		(423	)		213
Others intangible assets		351		(218	)		133		398		(290	)		108

	$	11,098		(1,335	)		9,763		11,603		(1,351	)		10,252

Summary of Changes in Consolidated goodwill

Changes in consolidated goodwill for the years ended December 31, 2021, 2020 and 2019, were as

follows:


	2021			2020			2019

Balance at beginning of period	$	8,506			9,562			9,912
Impairment losses		(440	)		(1,020	)		—
Business combinations (note 5.1)		5			2			—
Reclassification to assets held for sale (notes 5.2, 5.3 and 14.1)		(2	)		(9	)		(371	)
Foreign currency translation effects		(85	)		(29	)		21

Balance at end of period	$	7,984			8,506			9,562

Summary of Changes in Intangible Asset

Changes in intangible assets of definite life in 2021, 2020 and 2019, were as follows:


	2021
	Extraction rights			Industrial property and trademarks			Mining projects			Internally developed software 1			Others			Total

Balance at beginning of period	$	1,358			24			43			213			108			1,746
Impairment losses (note 2)		—			—			—			(49	)		(4	)		(53	)
Amortization for the period		(24	)		(2	)		(1	)		(71	)		(22	)		(120	)
Additions (disposals), net 1		27			—			2			132			53			214
Foreign currency translation effects		(11	)		1			1			3			(2	)		(8	)

Balance at the end of period	$	1,350			23			45			228			133			1,779


	2020
	Extraction rights			Industrial property and trademarks			Mining projects			Internally developed software 1			Others			Total			2019

Balance at beginning of period	$	1,590			24			43			253			118			2,028			2,024
Impairment losses (note 2)		(181	)		–			–			–			(13	)		(194	)		—
Amortization for the period		(21	)		(2	)		(1	)		(79	)		(27	)		(130	)		(124	)
Additions (disposals), net 1		(33	)		–			–			40			26			33			81
Business combinations (note 5.1)		—			2			—			—			5			7			—
Reclassifications		—			—			—			—			—			—			(2	)
Foreign currency translation effects		3			–			1			(1	)		(1	)		2			49

Balance at the end of period	$	1,358			24			43			213			108			1,746			2,028

1	Includes the capitalized direct costs incurred in th e development stage of internal-use software, such as professional fees, direct labor and related travel expenses. The capitalized amounts are amortized to the statement of operations over a period ranging from 3 to 5 years.

Summary of Goodwill Balances Allocated by Operating Segment

As of December 31, 2021 and 2020, goodwill balances allocated by Operating Segment were as

follows:


	2021		2020

Mexico	$	361		372
United States		6,449		6,449
EMEAA
United Kingdom		280		292
France		213		229
Spain		158		463
Philippines		89		95
United Arab Emirates		—		96
Rest of EMEAA 1		48		44
SCA&C
Colombia		244		283
Caribbean TCL		83		92
Rest of SCA&C 2		59		64
Others
Other reporting segments 3		—		27

	$	7,984		8,506

1	This caption refers to the operating segments in Israel, the Czech Republic and Egypt.

2	This caption refers to the operating segments in the Dominican Republic, the Caribbean and Panama.

3	This caption is primarily associated with Neoris N.V., CEMEX’s subsidiary involved in the sale of information technology and services.

Summary of Pre-tax Discount Rates and Long-term Growth Rates Used to Determine the Discounted Cash Flows

As of December 31, 2021, 2020 and 2019, CEMEX’s

pre-tax

discount rates and long-term growth rates used to determine the discounted cash flows in the group of CGUs with the main goodwill balances were as follows:


	Discount rates									Long-term growth rates 1
Groups of CGUs	2021			2020			2019			2021			2020			2019
United States		7.2	%		7.3	%		7.8	%		2.0	%		2.0	%		2.5	%
Spain		7.6	%		7.7	%		8.3	%		1.5	%		1.5	%		1.6	%
United Kingdom		7.3	%		7.4	%		8.0	%		1.5	%		1.6	%		1.5	%
France		7.3	%		7.4	%		8.0	%		1.4	%		1.7	%		1.4	%
Mexico		8.4	%		8.3	%		9.0	%		1.0	%		1.1	%		2.4	%
Colombia		8.5	%		8.4	%		8.9	%		3.5	%		2.5	%		3.7	%
United Arab Emirates		—			8.3	%		8.8	%		—			2.6	%		2.5	%
Egypt		10.7	%		10.2	%		10.3	%		3.0	%		5.6	%		6.0	%
Range of rates in other countries		7.4% – 11.7	%		7.2% – 15.5	%		8.1% – 11.5	%		1.7% – 6.0	%		(0.3%) – 6.5	%		1.6% – 6.5	%

Summary Of Operating Segments Presenting Impairment Charges Or Relative Impairment Risk

In relation to the economic assumptions used by the Company described above, the additional impairment losses that would have resulted from the sensitivity analyses derived from independent changes in each of the relevant assumptions, as well as the multiples of Operating EBITDA, in those operating segments that presented impairment charges or relative impairment risk during 2021, are as

follows:



			Additional effects of the sensitivity analyses to the charges recognized from the changes in assumptions as of December 31, 2021
Operating segment	Impairment losses recognized		Discount rate +1%		Long-term growth rate –1%		Multiples Operating EBITDA 11.5x

Spain	$	317		57		42		—
United States		—		238		—		—