Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

NOTE 6—GOODWILL AND OTHER INTANGIBLE ASSETS

The table below presents our goodwill, other intangible assets and MSRs as of September 30, 2022 and December 31, 2021. Goodwill is presented separately, while other intangible assets and MSRs are included in other assets on our consolidated balance sheets.

Table 6.1: Components of Goodwill, Other Intangible Assets and MSRs

	September 30, 2022
(Dollars in millions)	Carrying Amount of Assets		Accumulated Amortization		Net Carrying Amount
Goodwill	$	14,771	N/A		$	14,771
Other intangible assets:
Purchased credit card relationship (“PCCR”) intangibles	146		$	(18)	128
Other(1)	213		(158)		55
Total other intangible assets	359		(176)		183
Total goodwill and other intangible assets	$	15,130	$	(176)	$	14,954
Commercial MSRs(2)	$	646	$	(215)	$	431
	December 31, 2021
(Dollars in millions)	Carrying Amount of Assets		Accumulated Amortization		Net Carrying Amount
Goodwill	$	14,782	N/A		$	14,782
Other intangible assets:
Purchased credit card relationship (“PCCR”) intangibles	29		$	(10)	19
Other(1)	213		(121)		92
Total other intangible assets	242		(131)		111
Total goodwill and other intangible assets	$	15,024	$	(131)	$	14,893
Commercial MSRs(2)	$	622	$	(202)	$	420

__________

(1)Primarily consists of intangibles for sponsorship, customer and merchant relationships, partnership, trade names and other customer contract intangibles.

(2)Commercial MSRs are accounted for under the amortization method on our consolidated balance sheets.

Amortization expense for amortizable intangible assets, which is presented separately in our consolidated statements of income, totaled $17 million and $45 million for the three and nine months ended September 30, 2022, respectively, and $5 million and $16 million for the three and nine months ended September 30, 2021, respectively.

Goodwill

The following table presents changes in carrying amount of goodwill by each of our business segments as of September 30, 2022 and December 31, 2021.

Table 6.2: Goodwill by Business Segments

(Dollars in millions)	Credit Card		Consumer Banking		Commercial Banking		Total
Balance as of December 31, 2021	$	5,087	$	4,645	$	5,050	$	14,782
Other adjustments(1)	(15)		0		4		(11)
Balance as of September 30, 2022	$	5,072	$	4,645	$	5,054	$	14,771

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(1)Represents foreign currency translation adjustments and measurement period adjustments on prior period acquisitions.