Goodwill and Other Intangible Assets, Net (Tables)

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Changes in Goodwill by Reportable Business Segment

Goodwill activity for the nine months ended September 30, 2022 is as follows (in millions):

Segments	Net Book Value at December 31, 2021		Impairment Charges		Foreign Exchange		Gross Carrying Amount		Accumulated Impairment Charges		Net Book Value at September 30, 2022
Commercial Solutions	$	747	$	—	$	—	$	916	$	(169)	$	747
Home Appliances	—		—		—		569		(569)		—
Home Solutions	164		(108)		—		2,567		(2,511)		56
Learning and Development	2,593		—		(96)		3,343		(846)		2,497
Outdoor and Recreation	—		—		—		788		(788)		—
	$	3,504	$	(108)	$	(96)	$	8,183	$	(4,883)	$	3,300

During the third quarter of 2022, the Company concluded that a triggering event had occurred for the Home Fragrance reporting unit in the Home Solutions segment, as a result of a downward revision of forecasted cash flows due to softening global demand, as retailers significantly pulled back on orders in an effort to rebalance inventory, and rising interest rates. The decline in global demand is driven primarily by inflationary pressures which are impacting the discretionary spending behavior of consumers. The Company performed a quantitative impairment test and determined that the Home Fragrance reporting unit goodwill was impaired. During the three and nine months ended September 30, 2022 the Company recorded a non-cash impairment charge of $108 million, as the carrying value of the reporting unit exceeded its fair value. A hypothetical 10% reduction in the forecasted earnings before interest, taxes and amortization used in the discounted cash flows to estimate the fair value of the Home Fragrance reporting unit would have resulted in an additional goodwill impairment charge for the remaining carrying value of $56 million. See Footnote 1 for further information.

Schedule of Other Intangible Assets and Related Amortization Periods

Other intangible assets, net, are comprised of the following (in millions):

	September 30, 2022						December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Net Book Value		Gross Carrying Amount		Accumulated Amortization		Net Book Value
Trade names — indefinite life	$	1,898	$	—	$	1,898	$	2,219	$	—	$	2,219
Trade names — other	158		(75)		83		159		(65)		94
Capitalized software	594		(473)		121		631		(495)		136
Patents and intellectual property	22		(16)		6		22		(14)		8
Customer relationships and distributor channels	1,063		(302)		761		1,216		(303)		913
	$	3,735	$	(866)	$	2,869	$	4,247	$	(877)	$	3,370