Goodwill and other intangible assets (Tables)

12 Months Ended

Dec. 31, 2018

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Summary of Goodwill and Other Intangible Assets

	Goodwill $m			Brands $m			Software $m			Management contracts Restated $m			Other intangibles Restated $m			Total $m
Cost
At 1 January 2017		370			193			583			71			10			1,227
Additions		—			—			168			—			4			172
Capitalised interest		—			—			6			—			—			6
Disposals		—			—			(14	)		—			—			(14	)
Exchange and other adjustments		7			—			2			—			(1	)		8
At 31 December 2017		377			193			745			71			13			1,399
Acquisition of businesses (note 11)		83			58			0			6			0			147
Additions		0			0			107			0			5			112
Capitalised interest		0			0			5			0			0			5
Disposals		0			0			(72	)		0			0			(72	)
Exchange and other adjustments		(5	)		(1	)		(4	)		0			0			(10	)
At 31 December 2018		455			250			781			77			18			1,581
Amortisation and impairment
At 1 January 2017		(138	)		—			(223	)		(5	)		(3	)		(369	)
Provided		—			—			(40	)		(2	)		(1	)		(43	)
System Fund expense		—			—			(30	)		—			—			(30	)
Disposals		—			—			14			—			—			14
Exchange and other adjustments		(2	)		—			(2	)		—			—			(4	)
At 31 December 2017		(140	)		—			(281	)		(7	)		(4	)		(432	)
Provided		0			0			(36	)		(3	)		(1	)		(40	)
System Fund expense		0			0			(37	)		0			0			(37	)
Disposals		0			0			67			0			0			67
Exchange and other adjustments		(2	)		0			6			0			0			4
At 31 December 2018		(142	)		0			(281	)		(10	)		(5	)		(438	)
Net book value
At 31 December 2018		313			250			500			67			13			1,143
At 31 December 2017		237			193			464			64			9			967
At 1 January 2017		232			193			360			66			7			858

Summary of Carrying Value of Goodwill and Indefinite Life Brands Allocated to Cash-generating Units for Impairment Testing

The year-end carrying value of goodwill and indefinite life brands have been allocated to cash-generating units (CGUs) for impairment testing purposes as follows:

	2018				2017
	Goodwill $m		Brands $m		Goodwill $m		Brands $m
CGU
Americas Managed		69		203		63		193
Americas Franchised		37		0		37		—
EMEAA – Europe Managed		29		13		21		—
EMEAA – Europe Franchised		10		0		10		—
EMEAA – rest of region		113		23		106		—
Greater China		7		11		—		—
Allocated to CGUs (including Regent)		265		250		237		193
UK portfolio		48		0		—		—
		313		250		237		193

Summary of Terminal Growth Rates and Discount Rates Used in Impairment Tests

The terminal growth rates and discount rates used, which are considered to be key assumptions, are as follows:

	2018				2017
	Terminal growth rate %		Discount rate %		Terminal growth rate %		Discount rate %
Americas Managed		2.0		10.5		2.0		10.4
Americas Franchised		2.0		9.6		2.0		9.4
EMEAA – Europe Managed		2.0		11.4		2.0		10.8
EMEAA – Europe Franchised		2.0		10.5		2.0		9.8
EMEAA – rest of region		3.5		13.4		3.5		14.1
Greater China		2.5		12.3		2.5		13.6