GOODWILL AND OTHER INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill at December 31, 2022, by segment, was as follows, in millions:

	Gross Goodwill At December 31, 2022		Accumulated Impairment Losses		Net Goodwill At December 31, 2022
Plumbing Products	$	611	$	(301)	$	310
Decorative Architectural Products	366		(139)		227
Total	$	977	$	(440)	$	537

The changes in the carrying amount of goodwill for years ended December 31, 2022 and 2021, by segment, were as follows, in millions:

	Gross Goodwill At December 31, 2021		Accumulated Impairment Losses		Net Goodwill At December 31, 2021		Acquisitions		Pre-tax Impairment Charge		Other (B)		Net Goodwill At December 31, 2022
Plumbing Products (A)	$	623	$	(301)	$	322	$	—	$	—	$	(12)	$	310
Decorative Architectural Products	366		(120)		246		—		(19)		—		227
Total	$	989	$	(421)	$	568	$	—	$	(19)	$	(12)	$	537

	Gross Goodwill At December 31, 2020		Accumulated Impairment Losses		Net Goodwill At December 31, 2020		Acquisitions		Pre-tax Impairment Charge		Other (B)		Net Goodwill At December 31, 2021
Plumbing Products	$	613	$	(340)	$	273	$	63	$	—	$	(14)	$	322
Decorative Architectural Products	365		(75)		290		1		(45)		—		246
Total	$	978	$	(415)	$	563	$	64	$	(45)	$	(14)	$	568

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(A) As a result of Hüppe being divested in May 2021, both gross goodwill and accumulated impairment losses for the Plumbing Products segment were reduced by $39 million.

(B) Other consists of the effect of foreign currency translation.

H. GOODWILL AND OTHER INTANGIBLE ASSETS (Concluded)

Other indefinite-lived intangible assets were $102 million and $109 million at December 31, 2022 and 2021, respectively, and principally included registered trademarks.

We completed our annual impairment testing of goodwill and other indefinite-lived intangible assets in the fourth quarters of 2022, 2021 and 2020. We recognized a $19 million and $7 million non-cash impairment charge within our Decorative Architectural Products segment to goodwill and other indefinite-lived intangible assets, respectively, in the fourth quarter of 2022 due to competitive market conditions, higher inflationary costs and increased cost of capital in our lighting business. We recognized a $45 million non-cash goodwill impairment charge within our Decorative Architectural Products segment in the fourth quarter of 2021, due to competitive market conditions and higher inflationary costs in our lighting business. There was no impairment of goodwill for any of our reporting units or of our other indefinite-lived intangible assets in any of these years, other than as disclosed above.

The carrying value of our definite-lived intangible assets was $248 million (net of accumulated amortization of $94 million) at December 31, 2022 and $279 million (net of accumulated amortization of $75 million) at December 31, 2021 and principally included customer relationships with a weighted average amortization period of 15 years in both 2022 and 2021. Amortization expense, including discontinued operations, related to the definite-lived intangible assets was $29 million, $31 million and $24 million in 2022, 2021 and 2020, respectively.

At December 31, 2022, amortization expense related to the definite-lived intangible assets during each of the next five years will be as follows: 2023 – $28 million; 2024 – $27 million; 2025 – $23 million, 2026 – $21 million and 2027 – $21 million.