Citi tests goodwill for impairment annually as of July 1 (the annual test) and through interim assessments between annual tests if an event occurs or circumstances change that could more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. The results of the 2020 annual impairment test resulted in fair values as a percentage of carrying values between 115% and 136%. During the three months ended March 31, 2021, Citi qualitatively assessed the current environment, including the continuing impact of the COVID-19 pandemic, management’s announced strategy to pursue exits of its consumer franchises in 13 markets within Asia GCB, observed changes in market multiples, actual business performance, together with the latest available management forecasts. Based on the above, Citi determined it was not more-likely-than-not that the fair value of any reporting unit was below its book value and there was no indication of impairment as of March 31, 2021.

While the inherent risk related to uncertainty is embedded in the key assumptions used in the valuations, the current environment continues to evolve. Deterioration in business performance or macroeconomic and market conditions, including potential adverse effects to economic forecasts due to the severity and duration of the pandemic, as well as the responses of governments, customers and clients, could negatively influence the assumptions used in the valuations, in particular, the discount rates, exit multiples and growth rates used in net income projections. If the future were to differ from management’s best estimate of key economic assumptions, and associated cash flows were to decrease, Citi could potentially experience material goodwill impairment charges in the future.

For additional information regarding Citi’s goodwill impairment testing process, see Notes 1 and 16 to the Consolidated Financial Statements in Citi’s 2020 Annual Report on Form 10-K. Refer to Note 3 for a description of Citi’s Business Segments.

Intangible Assets

The components of intangible assets were as follows:


	March 31, 2021						December 31, 2020
In millions of dollars	Gross carrying amount		Accumulated amortization		Net carrying amount		Gross carrying amount		Accumulated amortization		Net carrying amount
Purchased credit card relationships	$	5,614	$	4,239	$	1,375	$	5,648	$	4,229	$	1,419
Credit card contract-related intangibles(1)	3,906		1,288		2,618		3,929		1,276		2,653
Core deposit intangibles	44		44		—		45		44		1
Other customer relationships	426		299		127		455		314		141
Present value of future profits	31		29		2		32		30		2
Indefinite-lived intangible assets	185		—		185		190		—		190
Other	61		60		1		72		67		5
Intangible assets (excluding MSRs)	$	10,267	$	5,959	$	4,308	$	10,371	$	5,960	$	4,411
Mortgage servicing rights (MSRs)(2)	433		—		433		336		—		336
Total intangible assets	$	10,700	$	5,959	$	4,741	$	10,707	$	5,960	$	4,747

(1)Primarily reflects contract-related intangibles associated with the American Airlines, The Home Depot, Costco and AT&T credit card program agreements, which represented 97% and 96% of the aggregate net carrying amount as of March 31, 2021 and December 31, 2020, respectively.

(2)For additional information on Citi’s MSRs, see Note 18 to the Consolidated Financial Statements.

The changes in intangible assets were as follows:


In millions of dollars	Net carrying amount at December 31, 2020		Acquisitions/renewals/ divestitures		Amortization		Impairments		FX translation and other		Net carrying amount at March 31, 2021
Purchased credit card relationships(1)	$	1,419	$	—	$	(43)	$	—	$	(1)	$	1,375
Credit card contract-related intangibles(2)	2,653		—		(35)		—		—		2,618
Core deposit intangibles	1		—		(1)		—		—		—
Other customer relationships	141		—		(6)		—		(8)		127
Present value of future profits	2		—		—		—		—		2
Indefinite-lived intangible assets	190		—		—		—		(5)		185
Other	5		5		(10)		—		1		1
Intangible assets (excluding MSRs)	$	4,411	$	5	$	(95)	$	—	$	(13)	$	4,308
Mortgage servicing rights (MSRs)(3)	336										433
Total intangible assets	$	4,747									$	4,741

(1)Reflects intangibles for the value of cardholder relationships, which are discrete from partner contract-related intangibles, and include credit card accounts primarily in the Costco, Macy’s and Sears portfolios.

(2)Primarily reflects contract-related intangibles associated with the American Airlines, The Home Depot, Costco and AT&T credit card program agreements, which represented 97% and 96% of the aggregate net carrying amount at March 31, 2021 and December 31, 2020, respectively.

(3)For additional information on Citi’s MSRs, including the rollforward for the three months ended March 31, 2021, see Note 18 to the Consolidated Financial Statements.