Goodwill and Intangible Assets, Net

12 Months Ended

Dec. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS, NET

Goodwill and intangible assets, net, at December 31 consisted of the following:


	2023		2022
Goodwill	$	1,465.8	$	1,320.1

Franchise rights - indefinite-lived	$	876.2	$	816.2
Other intangible assets	68.0		30.7
	944.2		846.9
Less: accumulated amortization	(16.4)		(9.9)
Intangible assets, net	$	927.8	$	837.0

Goodwill

Goodwill allocated to our reporting units and changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2022, were as follows:


	Domestic		Import		Premium Luxury		Other		Consolidated
Balance as of January 1, 2022
Goodwill (1)	$	368.7	$	517.9	$	741.5	$	1,535.5	$	3,163.6
Accumulated impairment losses (1)	(140.0)		—		(257.4)		(1,530.9)		(1,928.3)
	228.7		517.9		484.1		4.6		1,235.3
Acquisitions, dispositions, and other adjustments, net (2)	7.6		0.8		(2.0)		78.4		84.8
Balance as of December 31, 2022
Goodwill (1)	376.3		518.7		739.5		1,613.9		3,248.4
Accumulated impairment losses (1)	(140.0)		—		(257.4)		(1,530.9)		(1,928.3)
	236.3		518.7		482.1		83.0		1,320.1
Acquisitions, dispositions, and other adjustments, net (2)	(1.8)		7.9		—		139.6		145.7
Balance as of December 31, 2023
Goodwill (1)	374.5		526.6		739.5		1,753.5		3,394.1
Accumulated impairment losses (1)	(140.0)		—		(257.4)		(1,530.9)		(1,928.3)
	$	234.5	$	526.6	$	482.1	$	222.6	$	1,465.8

(1) Gross goodwill balance and accumulated impairment losses reflected in “Other” include $1.47 billion associated with our single reporting unit (prior to September 30, 2008, our reporting unit reporting structure was comprised of a single reporting unit). Gross goodwill balance reflected in “Other” also includes amounts associated with the Collision Center, Parts Center, AutoNation Finance and AutoNation Mobile Service reporting units, as applicable in a given period.

(2) Includes amounts reclassified to held for sale and related adjustments, which are presented in Other Current Assets in our Consolidated Balance Sheet as of period end.

See Note 19 of the Notes to Consolidated Financial Statements for more information about our goodwill impairment test.

Intangible Assets

Our principal identifiable intangible assets are individual store rights under franchise agreements with vehicle manufacturers. As of December 31, 2023, we had $876.2 million of franchise rights recorded on our Consolidated Balance Sheet, of which $231.1 million was related to Domestic stores, $196.6 million was related to Import stores, and $448.5 million was related to Premium Luxury stores.

See Note 19 of the Notes to Consolidated Financial Statements for more information about our franchise rights impairment tests.