XML 70 R17.htm IDEA: XBRL DOCUMENT v3.22.4
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 AssetsGoodwill and intangible assets deemed to have indefinite lives are not amortized but are instead subject to impairment tests. There were nil, nil and $2 million of impairments of indefinite-lived intangible assets recorded for the years ended December 31, 2022, 2021 and 2020, respectively.
The changes in the carrying amount of goodwill reported in the Company’s main operating segments were as follows:
Advice & Wealth ManagementAsset
Management		Retirement & Protection SolutionsConsolidated
(in millions)
Balance at January 1, 2021
$279 $806 $91 $1,176 
Acquisitions— 287 — 287 
Foreign currency translation— (4)— (4)
Other adjustments— (1)— (1)
Balance at December 31, 2021
279 1,088 91 1,458 
Foreign currency translation— (59)— (59)
Other adjustments— (10)— (10)
Balance at December 31, 2022
$279 $1,019 $91 $1,389 
On November 8, 2021, the Company completed its acquisition of the European-based asset management business of BMO Financial Group for $973 million, excluding an estimated $7 million reduction due to customary deferred and contingent adjustments. The all-cash transaction added $136 billion of assets under management in EMEA. Goodwill of $287 million arising from acquisition consists largely of the synergies and economies of scale expected from combining the Company’s EMEA operations. All goodwill was assigned to the Asset Management segment. During the fourth quarter of 2022, the Company finalized its purchase accounting and measurement period adjustments, reported within Other adjustments above.
In addition to our annual impairment evaluation for goodwill as of July 1, we evaluated goodwill for impairment in the fourth quarter 2022 due to the current macroeconomic conditions and concluded our goodwill was not impaired.
The carrying amount of indefinite-lived intangible assets consisted of the following:
December 31,
20222021
(in millions)
Customer contracts$837 $848 
Trade names67 69 
Total$904 $917 
Definite-lived intangible assets consisted of the following:
 December 31, 2022December 31, 2021
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
(in millions)
Customer relationships$265 $(174)$91 $254 $(163)$91 
Contracts222 (210)12 235 (217)18 
Other295 (206)89 272 (188)84 
Total$782 $(590)$192 $761 $(568)$193 
The aggregate amortization expense for definite-lived intangible assets during the years ended December 31, 2022, 2021 and 2020 was $45 million, $34 million and $31 million, respectively. In 2022, 2021 and 2020, the Company did not record any impairment charges on definite-lived intangible assets.
Estimated intangible amortization expense as of December 31, 2022 for the next five years is as follows:
 (in millions)
2023$42 
202431 
202526 
202621 
202713