XML 30 R14.htm IDEA: XBRL DOCUMENT
v3.23.2

Goodwill and Other Intangible Assets, Net | 6 Months Ended
--- | ---
Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets, Net | Goodwill and Other Intangible Assets, Net Goodwill activity for the six months ended June 30, 2023 is as follows (in millions):
Segments | Net Book Value at December 31, 2022 |  |  |  |  | Foreign Exchange |  | Gross Carrying Amount |  | Accumulated Impairment Charges |  | Net Book Value at June 30, 2023
Home and Commercial Solutions | $ | 747 |  |  |  |  |  | $ | — |  |  | $ | 4,052 |  |  | $ | (3,305) |  |  | $ | 747 |
Learning and Development | 2,551 |  |  |  |  |  | 12 |  |  | 3,409 |  |  | (846) |  |  | 2,563 |
Outdoor and Recreation | — |  |  |  |  |  | — |  |  | 788 |  |  | (788) |  |  | — |
| $ | 3,298 |  |  |  |  |  | $ | 12 |  |  | $ | 8,249 |  |  | $ | (4,939) |  |  | $ | 3,310 |
Other intangible assets, net, are comprised of the following (in millions):
| June 30, 2023 |  | December 31, 2022 |  |
| Gross Carrying Amount |  | Accumulated Amortization |  | Net Book Value |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Book Value |  |
Tradenames — indefinite life (1) | $ | 1,620 |  |  | $ | — |  |  | $ | 1,620 |  |  | $ | 1,689 |  |  | $ | — |  |  | $ | 1,689 |  |  |
Tradenames — other (1) | 232 |  |  | (93) |  |  | 139 |  |  | 160 |  |  | (79) |  |  | 81 |  |  |
Capitalized software | 614 |  |  | (497) |  |  | 117 |  |  | 602 |  |  | (481) |  |  | 121 |  |  |
Patents and intellectual property | 22 |  |  | (18) |  |  | 4 |  |  | 22 |  |  | (17) |  |  | 5 |  |  |
Customer relationships and distributor channels | 1,077 |  |  | (345) |  |  | 732 |  |  | 1,072 |  |  | (319) |  |  | 753 |  |  |
| $ | 3,565 |  |  | $ | (953) |  |  | $ | 2,612 |  |  | $ | 3,545 |  |  | $ | (896) |  |  | $ | 2,649 |  |  |
(1)In connection with the operating model changes associated with Project Phoenix, the Company determined that six tradenames with aggregate carrying values of $70 million no longer met indefinite-lived criteria and were reclassified during the first quarter as finite-lived tradenames, with useful lives ranging from five to ten years. Amortization expense for intangible assets was $27 million and $24 million for the three months ended June 30, 2023 and 2022, respectively and $54 million and $51 million for the six months ended June 30, 2023 and 2022, respectively. During the second quarter of 2023, the Company concluded that a triggering event had occurred for an indefinite-lived tradename in the Home Fragrance reporting unit in the Home and Commercial Solutions segment and for the goodwill associated with the Baby reporting unit in the Learning and Development segment, as a result of a downward revision of forecasted cash flows due to softening global demand, primarily caused by continued inflationary pressure that is impacting discretionary spending behavior of consumers, as well as rising interest rates. The Company performed a quantitative impairment test and determined that the indefinite-lived tradename in the Home and Commercial Solutions segment was impaired. During the three and six months ended June 30, 2023, the Company recorded an aggregate non-cash impairment charge of $8 million, as the carrying value of the tradename exceeded its fair value. The Company concluded that the Baby reporting unit goodwill was not impaired during the second quarter of 2023.

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 350 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//350/tableOfContent + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration