GOODWILL, INTANGIBLE ASSETS AND OTHER LONG-LIVED ASSETS (Notes)

6 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL, INTANGIBLE ASSETS AND OTHER LONG-LIVED ASSETS

A substantial portion of the Company's intangible assets and goodwill relates to the acquisitions of OpenTable and KAYAK.

Goodwill

The Company tests goodwill for impairment on an annual basis and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. The Company tests goodwill at a reporting unit level. The Company’s annual goodwill impairment tests are performed as of September 30.

Due to the significant and negative financial impact of the COVID-19 pandemic (see Note 1), the Company performed an interim period goodwill impairment test at March 31, 2020 and recognized a goodwill impairment charge of $489 million related to the OpenTable and KAYAK reporting unit for the three months ended March 31, 2020, which is not tax-deductible. As of September 30, 2020, the Company performed its annual goodwill impairment test and recognized a goodwill impairment charge of $573 million for the same reporting unit for the three months ended September 30, 2020, which is not tax-deductible. No additional impairment indicators were identified as of June 30, 2021. The balance of goodwill as of June 30, 2021 and December 31, 2020 is net of cumulative impairment charges of $2.0 billion.

Intangible Assets and Other Long-lived Assets

The Company's intangible assets at June 30, 2021 and December 31, 2020 consist of the following (in millions):


	June 30, 2021						December 31, 2020
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Amortization Period
Supply and distribution agreements	$	1,126	$	(575)	$	551	$	1,136	$	(552)	$	584	3 - 20 years

Technology	175		(148)		27		174		(144)		30		2 - 7 years

Internet domain names	42		(37)		5		44		(37)		7		5 - 20 years

Trade names	1,820		(678)		1,142		1,824		(633)		1,191		4 - 20 years

Other intangible assets	2		(2)		—		2		(2)		—		Up to 15 years
Total intangible assets	$	3,165	$	(1,440)	$	1,725	$	3,180	$	(1,368)	$	1,812

Intangible assets are amortized on a straight-line basis. Amortization expense was $41 million and $82 million for the three and six months ended June 30, 2021, respectively, and $42 million and $85 million for the three and six months ended June 30, 2020, respectively.

The Company reviews long-lived assets, including intangible assets and operating lease assets, whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The assessment of possible impairment is based upon the ability to recover the carrying value of the assets from the estimated undiscounted future net cash flows, before interest and taxes, of the related asset group. As of June 30, 2021, no impairment indicators were identified for the Company's long-lived assets.