Company: KHC
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001637459-25-000152
Chunk: 149

Company: Kraft Heinz Co
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 8
Chunk 149
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 values, resulting in zero excess fair value over carrying amount as of the Q2 Impairment Test date. Accordingly, our reporting units and brands that have 20% or less excess fair value over carrying amount as of the Q2 Impairment Test have a heightened risk of future impairments if any assumptions, estimates, or market factors change in the future.

Our reporting units that were impaired as part of our Q2 Impairment Test, resulting in zero excess fair value over carrying amount, had an aggregate goodwill carrying amount after impairment of $17.6 billion as of the Q2 Impairment Test and included TMS, AFH, WE, MC, and CNAC reporting units. These reporting units are considered at a heightened risk of future impairments. Our HD reporting unit had less than 20% fair value over carrying amount with carrying amount of $4.3 billion and our Asia reporting units had less than 50% fair value over carrying amount with an aggregate goodwill carrying amount of $312 million as of the Q2 Impairment Test. Our four remaining reporting units had no goodwill carrying amount at the time of the Q2 Impairment Test.

Our brands that were impaired as part of the Q2 Impairment Test, resulting in zero excess fair value over carrying amount, had an aggregate carrying amount of $13.0 billion as of the Q2 Impairment Test and included Kraft, Velveeta, A1, Lunchables, Maxwell House, and Claussen. Further, our brands that were not impaired as part of the Q2 Impairment Test, but had 10% or less fair value over carrying amount included Oscar Mayer, Kool-Aid, Cool Whip, Bagel Bites, Gevalia, and Wattie’s and had an aggregate carrying amount of $2.8 billion as of the Q2 Impairment Test. Our Miracle Whip brand had 10-20% fair value over carrying amount with a carrying amount of $1.8 billion as of the Q2 Impairment Test. The aggregate carrying amount of brands with fair value over carrying amount 20-50% was $7.7 billion as of the Q2 Impairment Test. Although the remaining brands, with a carrying amount of $8.9 billion, have more than 50% excess fair value over carrying amount as of the Q2 Impairment Test, these amounts are also susceptible to impairments if any assumptions, estimates, or market factors significantly change in the future. Our