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Goodwill and intangible assets (Tables)
12 Months Ended
Dec. 31, 2019
Intangible Assets [Abstract]  
Summary of movements of goodwill and intangible assets
The following table summarizes the movements of goodwill and other intangible assets in 2019:
 
 
 
Intangible assets other than goodwill
($ millions)
Goodwill

 
Alcon
brand
name

 
Acquired
research &
development

 
Technologies

 
Currently
marketed
products

 
Marketing
know-how

 
Other
intangible
assets
(including
software)

 
Total

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost


 


 


 


 


 


 


 


January 1, 2019
8,899

 
2,980

 
249

 
5,369

 
4,440

 
5,960

 
494

 
19,492

Impact of business combinations
6

 


 
505

 


 


 


 


 
505

Additions


 


 
7

 


 


 


 
125

 
132

Reclassifications

 

 
(33
)
 

 

 

 
33

 

Disposals and derecognitions(1)


 


 


 


 


 


 
(41
)
 
(41
)
December 31, 2019
8,905

 
2,980

 
728

 
5,369

 
4,440

 
5,960

 
611

 
20,088

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated amortization
January 1, 2019


 


 
(3
)
 
(4,184
)
 
(2,592
)
 
(1,906
)
 
(128
)
 
(8,813
)
Amortization charge


 


 


 
(508
)
 
(250
)
 
(240
)
 
(86
)
 
(1,084
)
Accumulated amortization on disposals and derecognitions(1)


 


 


 


 


 


 
40

 
40

December 31, 2019


 


 
(3
)
 
(4,692
)
 
(2,842
)
 
(2,146
)
 
(174
)
 
(9,857
)
Net book value at December 31, 2019
8,905

 
2,980

 
725

 
677

 
1,598

 
3,814

 
437

 
10,231

(1)
Derecognitions of assets that are no longer used or being developed and are not considered to have a significant disposal value or other alternative use.
The following table summarizes the allocation of the net book values of goodwill and other intangible assets by reporting segment at December 31, 2019:
 
 
 
Intangible assets other than goodwill
($ millions)
Goodwill

 
Alcon
brand
name

 
Acquired
research &
development

 
Technologies

 
Currently
marketed
products

 
Marketing
know-how

 
Other
intangible
assets
(including
software)

 
Total

Surgical
4,544

 
 
 
721

 
677

 
374

 
3,814

 
184

 
5,770

Vision Care
4,361

 
 
 
4

 


 
1,224

 


 
253

 
1,481

Not allocated to segment(1)


 
2,980

 


 


 


 


 


 
2,980

Net book value at December 31, 2019
8,905

 
2,980

 
725

 
677

 
1,598

 
3,814

 
437

 
10,231

(1) Alcon brand name
The following table summarizes the movements of goodwill and other intangible assets in 2018:
 
 
 
Intangible assets other than goodwill
($ millions)
Goodwill

 
Alcon
brand
name

 
Acquired
research &
development

 
Technologies

 
Currently
marketed
products

 
Marketing
know-how

 
Other
intangible
assets
(including
software)

 
Total

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost


 


 


 


 


 


 


 


January 1, 2018
8,895

 
2,980

 
242

 
5,368

 
4,094

 
5,960

 
370

 
19,014

Impact of business combinations
4

 


 


 


 
346

 


 


 
346

Additions


 


 
71

 
1

 


 


 
125

 
197

Disposals and derecognitions(1)


 


 
(64
)
 


 


 


 
(1
)
 
(65
)
December 31, 2018
8,899

 
2,980

 
249

 
5,369

 
4,440

 
5,960

 
494

 
19,492

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated amortization
 


 


 


 


 


 


 


January 1, 2018


 


 
(58
)
 
(3,635
)
 
(2,008
)
 
(1,668
)
 
(104
)
 
(7,473
)
Amortization charge


 


 


 
(510
)
 
(247
)
 
(238
)
 
(24
)
 
(1,019
)
Accumulated amortization on disposals and derecognitions(1)


 


 
57

 


 


 


 


 
57

Impairment charge


 


 
(2
)
 
(39
)
 
(337
)
 


 


 
(378
)
December 31, 2018


 


 
(3
)
 
(4,184
)
 
(2,592
)
 
(1,906
)
 
(128
)
 
(8,813
)
Net book value at December 31, 2018
8,899

 
2,980

 
246

 
1,185

 
1,848

 
4,054

 
366

 
10,679

(1)
Derecognitions of assets that are no longer used or being developed and are not considered to have a significant disposal value or other alternative use.
The following table summarizes the allocation of the net book values of goodwill and other intangible assets by reporting segment at December 31, 2018:
 
 
 
Intangible assets other than goodwill
($ millions)
Goodwill

 
Alcon
brand
name

 
Acquired
research &
development

 
Technologies

 
Currently
marketed
products

 
Marketing
know-how

 
Other
intangible
assets
(including
software)

 
Total

Surgical
4,538

 


 
216

 
1,185

 
438

 
4,054

 
160

 
6,053

Vision Care
4,361

 


 
30

 


 
1,410

 


 
206

 
1,646

Not allocated to segment


 
2,980

 


 


 


 


 


 
2,980

December 31, 2018
8,899

 
2,980

 
246

 
1,185

 
1,848

 
4,054

 
366

 
10,679


Assumptions used in calculations for the recoverable amounts of goodwill and intangible assets
The following assumptions are used in the calculations for the recoverable amounts of goodwill and the Alcon brand name:
(As a percentage)
Surgical
 
Vision Care
Terminal growth rate
3.0
 
3.0
Discount rate (post-tax)
7.5
 
7.0

Intangible asset impairment charges
The following table shows the intangible asset impairment charges for 2019 and 2018:
($ millions)
2019

 
2018

Surgical

 
(378
)
Vision Care

 

Total

 
(378
)