Goodwill and Other Assets

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

The Company’s three reportable operating segments are Eurasia Banking, Americas Banking and Retail. The changes in carrying amounts of goodwill are summarized as follows:


	Eurasia Banking		Americas Banking		Retail		Total
Goodwill	$	579.2	$	431.3	$	224.4	$	1,234.9
Accumulated impairment losses	(291.7)		(122.0)		(57.2)		(470.9)
Balance at January 1, 2020	$	287.5	$	309.3	$	167.2	$	764.0
Divestitures	(7.8)		(2.4)		(1.2)		(11.4)

Currency translation adjustment	19.0		15.8		13.0		47.8
Goodwill	$	590.4	$	444.7	$	236.2	$	1,271.3

Accumulated impairment losses	(291.7)		(122.0)		(57.2)		(470.9)
Balance at December 31, 2020	$	298.7	$	322.7	$	179.0	$	800.4
Divestitures	—		—		(0.3)		(0.3)
Transferred to assets held for sale	—		—		(3.0)		(3.0)
Currency translation adjustment	(29.0)		(4.6)		(19.9)		(53.5)
Goodwill	$	561.4	$	440.1	$	213.0	$	1,214.5
Accumulated impairment losses	(291.7)		(122.0)		(57.2)		(470.9)
Balance at December 31, 2021	$	269.7	$	318.1	$	155.8	$	743.6

Goodwill. In the fourth quarter of 2021 and in connection with the annual goodwill impairment test, the Company elected to perform the optional qualitative assessment prescribed by Accounting Standards Codification (ASC) 350. Through the qualitative assessment, the Company evaluated whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Based on the results of the qualitative assessments completed for each of the three reporting units, no indicators were identified that required a quantitative assessment.

The Company identified four reporting units, which are Eurasia Banking, Americas Banking, EMEA Retail and Rest of World Retail. Rest of World Retail had no goodwill remaining and the other three reporting units were determined to not be impaired based on the result of the qualitative assessment. Changes in certain assumptions or the Company's failure to execute on the current plan could have a significant impact to the estimated fair value of the reporting units.

Intangible Assets. Intangible assets consists of net capitalized software development costs, patents, trademarks and other intangible assets. Where applicable, intangible assets are stated at cost and, if applicable, are amortized ratably over the relevant contract period or the estimated life of the assets. Fees to renew or extend the term of the Company’s intangible assets are expensed when incurred.

The following summarizes information on intangible assets by major category:


		December 31, 2021						December 31, 2020
	Weighted-average remaining useful lives	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer relationships, net	4.2 years	$	703.3	$	(401.6)	$	301.7	$	762.0	$	(354.1)	$	407.9

Capitalized software development	1.8 years	228.1		(184.9)		43.2		198.0		(160.0)		38.0
Development costs non-software	1.3 years	51.8		(51.6)		0.2		56.1		(55.8)		0.3
Other	5.8 years	50.8		(48.4)		2.4		69.8		(67.4)		2.4
Other intangible assets, net		330.7		(284.9)		45.8		323.9		(283.2)		40.7
Total		$	1,034.0	$	(686.5)	$	347.5	$	1,085.9	$	(637.3)	$	448.6

Costs incurred for the development of external-use software that will be sold, leased or otherwise marketed are capitalized when technological feasibility has been established. These costs are included within other intangible assets and are typically amortized on a straight-line basis over the estimated useful lives, which typically do not exceed three years. Amortization begins when the product is available for general release. Costs capitalized include third-party labor, direct labor and related overhead costs. Costs incurred prior to technological feasibility or after general release are expensed as incurred. The Company performs at least annual reviews to ensure that unamortized program costs remain recoverable from future revenue. If future revenue does not support the unamortized program costs, the amount by which the unamortized capitalized cost of a software product exceeds the net realizable value is written off.

The following table identifies the activity relating to total capitalized software development:


	2021		2020		2019
Beginning balance as of January 1	$	38.0	$	46.0	$	70.7
Capitalization	31.1		17.2		23.1
Amortization	(23.3)		(27.2)		(30.6)
Impairment	—		—		(15.0)

Currency translation	(2.6)		2.0		(2.2)
Ending balance as of December 31	$	43.2	$	38.0	$	46.0

The Company's total amortization expense, excluding deferred financing costs, was $102.7, $106.7 and $122.1 for the years ended December 31, 2021, 2020 and 2019, respectively. The expected annual amortization expense is as follows:


	Estimated amortization
2022	$	96.8
2023	93.0
2024	77.8
2025	59.1
2026	21.0
	$	347.7