The Coca-Cola Company Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

INTANGIBLE ASSETS

INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2020

Indefinite-Lived Intangible Assets

The following table presents the carrying values of indefinite-lived intangible assets included in our consolidated balance sheets (in millions):


December 31,	2020		2019
Trademarks1	$	10,395	$	9,266
Goodwill	17,506		16,764
Other	225		219
Indefinite-lived intangible assets	$	28,126	$	26,249

1 For information related to the Company's acquisitions, refer to Note 2.

The following table provides information related to the carrying value of our goodwill by operating segment (in millions):


	Europe, Middle East & Africa		Latin America		North America		Asia Pacific		Global Ventures		Bottling Investments		Total
2019
Balance at beginning of year	$	1,051	$	168	$	7,943	$	152	$	414	$	4,381	$	14,109
Effect of foreign currency translation	(8)		2		—		1		1		79		75
Acquisitions1	141		—		—		—		2,505		173		2,819
Purchase accounting adjustments1,2	110		—		—		17		(114)		(252)		(239)


Balance at end of year	$	1,294	$	170	$	7,943	$	170	$	2,806	$	4,381	$	16,764
2020
Balance at beginning of year	$	1,294	$	170	$	7,943	$	170	$	2,806	$	4,381	$	16,764
Effect of foreign currency translation	40		(6)		—		7		84		(216)		(91)
Acquisitions1	—		—		775		—		—		—		775
Purchase accounting adjustments1,3	(26)		—		74		24		2		(2)		72
Impairments	—		—		—		—		—		(14)		(14)

Balance at end of year	$	1,308	$	164	$	8,792	$	201	$	2,892	$	4,149	$	17,506

1For information related to the Company's acquisitions, refer to Note 2.

2 Includes the allocation of goodwill from the Global Ventures segment to other reporting units expected to benefit from the Costa acquisition as well as the finalization of purchase accounting related to CCBA and the Philippine bottling operations. Refer to Note 2.

3 Includes the allocation of goodwill from the Europe, Middle East and Africa segment to other reporting units expected to benefit from the CHI acquisition as well as purchase accounting adjustments related to fairlife. Refer to Note 2.

Definite-Lived Intangible Assets

The following table provides information related to definite-lived intangible assets (in millions):


	December 31, 2020						December 31, 2019
	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Gross Carrying Value		Accumulated Amortization		Net Carrying Value
Customer relationships	$	195	$	(61)	$	134	$	344	$	(177)	$	167
Trademarks	245		(77)		168		177		(99)		78
Other	332		(210)		122		396		(124)		272
Total	$	772	$	(348)	$	424	$	917	$	(400)	$	517

Total amortization expense for intangible assets subject to amortization was $203 million, $120 million and $49 million in 2020, 2019 and 2018, respectively. The increase in amortization expense in 2020 was due to the recognition of a full year of intangible amortization related to CCBA versus seven months in 2019.

Based on the carrying value of definite-lived intangible assets as of December 31, 2020, we estimate our amortization expense for the next five years will be as follows (in millions):


	Amortization Expense
2021	$	163
2022	74
2023	43
2024	31
2025	25