星空传媒 Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

9 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

听

GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

NOTE 7 - GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

Goodwill

The following is a summary of Goodwill by segment:


	(In Millions)
	September 30, 2021		December 31, 2020
Steelmaking	$	898听	$	1,232听
Other Businesses	174听		174听
Total goodwill	$	1,072听	$	1,406听

The decrease of $334 million in the balance of Goodwill in our Steelmaking segment as of September听30, 2021, compared to December听31, 2020, is due to the change in estimated identified goodwill as a result of measurement period adjustments to the preliminary purchase price allocation for the acquisition of ArcelorMittal USA. Refer to NOTE 3 - ACQUISITIONS for further details.

Intangible Assets and Liabilities

The following is a summary of our intangible assets and liabilities:


	(In Millions)
	September听30, 2021						December听31, 2020
	Gross Amount		Accumulated Amortization		Net Amount		Gross Amount		Accumulated Amortization		Net Amount
Intangible assets1:
Customer relationships	$	77听	$	(7)	$	70听	$	77听	$	(3)	$	74听
Developed technology	60听		(6)		54听		60听		(3)		57听
Trade names and trademarks	11听		(2)		9听		11听		(1)		10听
Mining permits	72听		(25)		47听		72听		(25)		47听
Total intangible assets	$	220听	$	(40)	$	180听	$	220听	$	(32)	$	188听
Intangible liabilities2:
Above-market supply contracts	$	(71)	$	12听	$	(59)	$	(71)	$	7听	$	(64)

1 Intangible assets are classified as Other non-current assets. Amortization related to mining permits is recognized in Cost of goods sold. Amortization of all other intangible assets is recognized in Selling, general and administrative expenses.
2 Intangible liabilities are classified as Other non-current liabilities. Amortization of all intangible liabilities is recognized in Cost of goods sold.

Amortization expense related to intangible assets was $3 million and $8 million for the three and nine months ended September听30, 2021, respectively, and $2听million and $6听million for the three and nine months ended September听30, 2020, respectively. Estimated future amortization expense is $3 million for the remainder of 2021 and $10 million annually for the years 2022 through 2026.

Income from amortization related to the intangible liabilities was $2 million and $5 million for the three and nine months ended September听30, 2021, respectively, and $2听million and $5听million for the three and nine months ended September听30, 2020, respectively. Estimated future income from amortization is $2 million for the remainder of 2021 and $5 million annually for the years 2022 through 2026.