Goodwill and Intangible Assets

9 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The following analysis details the changes in goodwill for each reportable segment:


	Recorded Music		Music Publishing		Total
	(in millions)
Balances at September 30, 2020	$	1,367	$	464	$	1,831
Acquisitions (a)	(7)		—		(7)

Other adjustments (b)	12		—		12
Balances at June 30, 2021	$	1,372	$	464	$	1,836

______________________________________

(a)Includes purchase price allocations for acquisitions closed during the nine months ended June 30, 2021 offset by measurement period adjustments for acquisitions which closed during the fiscal year ended September 30, 2020.

(b)Other adjustments during the nine months ended June 30, 2021 represent foreign currency movements.

The Company performs its annual goodwill impairment test in accordance with ASC 350, Intangibles—Goodwill and Other (“ASC 350”) during the fourth quarter of each fiscal year as of July 1. The Company may conduct an earlier review if events or circumstances occur that would suggest the carrying value of the Company’s goodwill may not be recoverable. No indicators of impairment were identified during the current period that required the Company to perform an interim assessment or recoverability test.

Intangible Assets

Intangible assets consist of the following:


	Weighted-Average Useful Life	June 30, 2021		September 30, 2020
		(in millions)
Intangible assets subject to amortization:
Recorded music catalog	12 years	$	1,179	$	876
Music publishing copyrights	26 years	1,735		1,597
Artist and songwriter contracts	13 years	1,003		862
Trademarks	15 years	96		81
Other intangible assets	6 years	109		84
Total gross intangible asset subject to amortization		4,122		3,500
Accumulated amortization		(2,061)		(1,847)
Total net intangible assets subject to amortization		2,061		1,653
Intangible assets not subject to amortization:
Trademarks and tradenames	Indefinite	156		154
Total net intangible assets		$	2,217	$	1,807

The increase in intangible assets during the nine months ended June 30, 2021 primarily relates to certain acquisition transactions of music-related assets within recorded music catalogs, music publishing copyrights, and artist and songwriter contracts for approximately $470 million.