The changes in the carrying amount of goodwill are as follows:


	Total Company			KFC		Pizza Hut		All Other Segments
Balance as of December 31, 2025
Goodwill, gross	$	2,354		$	1,870	$	19	$	465
Accumulated impairment losses(a)		(391	)		—		—		(391	)
Goodwill, net		1,963			1,870		19		74
Effect of currency translation adjustments		83			79		1		3
Balance as of September 30, 2026
Goodwill, gross		2,437			1,949		20		468
Accumulated impairment losses(a)		(391	)		—		—		(391	)
Goodwill, net	$	2,046		$	1,949	$	20	$	77

(a)

Accumulated impairment losses represent goodwill impairment attributable to the reporting units of Little Sheep and Daojia.

Intangible assets, net as of September 30, 2026 and December 31, 2025 are as follows:


	9/30/2026										12/31/2025
	Gross Carrying Amount(a)		Accumulated Amortization(a)			Accumulated Impairment Losses(b)			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Accumulated Impairment Losses(b)			Net Carrying Amount
Finite-lived intangible assets
Reacquired franchise rights	$	285	$	(283	)	$	—		$	2	$	274	$	(271	)	$	—		$	3
Huang Ji Huang franchise related assets		22		(8	)		—			14		21		(7	)		—			14
Daojia platform		9		(2	)		(7	)		—		9		(2	)		(7	)		—
Customer-related assets		12		(11	)		(1	)		—		11		(10	)		(1	)		—
Others		9		(7	)		—			2		9		(6	)		—			3
	$	337	$	(311	)	$	(8	)	$	18	$	324	$	(296	)	$	(8	)	$	20
Indefinite-lived intangible assets
Pizza Hut brand name(c)	$	1,264	$	—			—		$	1,264	$	—	$	—		$	—		$	—
Little Sheep trademark		54		—			—			54		51		—			—			51
Huang Ji Huang trademark		80		—			—			80		77		—			—			77
	$	1,398	$	—		$	—		$	1,398	$	128	$	—		$	—		$	128

Total intangible assets	$	1,735	$	(311	)	$	(8	)	$	1,416	$	452	$	(296	)	$	(8	)	$	148

(a)

Changes in gross carrying amount and accumulated amortization include the effect of currency translation adjustments.

(b)

Accumulated impairment losses represent impairment charges on intangible assets acquired from Daojia primarily attributable to the Daojia platform.

(c)

Pizza Hut brand name relates to the Pizza Hut Acquisition. Refer to Note 3 for detail.

Amortization expense for finite-lived intangible assets was less than $1 million for both quarters ended September 30, 2026 and 2025, and $2 million for both years to date ended September 30, 2026 and 2025. As of September 30, 2026, expected amortization expense for the unamortized finite-lived intangible assets was less than $1 million for the remainder of 2026 and $2 million in each of 2027, 2028 and 2029 and $1 million in 2030.