星空传媒 Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

GOODWILL AND INTANGIBLE ASSETS AND LIABILITIES

12 Months Ended

Dec. 31, 2023

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:


	December 31,
(In millions)	2023		2022
Steelmaking	$	956听	$	956听
Other Businesses	49听		174听
Total goodwill	$	1,005听	$	1,130听

Our 2023 annual goodwill impairment analysis resulted in a full impairment charge of $125听million for goodwill related to our Tooling and Stamping reporting unit. The fair value of our Tooling and Stamping reporting unit was estimated using the discounted cash flow methodology (level 3 within the fair value hierarchy), which considers forecasted cash flows discounted at an estimated weighted average cost of capital. The decline in the fair value of our Tooling and Stamping reporting unit below its carrying value during 2023 resulted from forgoing previous investment and capital plans in favor of other opportunities and an increase in the discount rate.

INTANGIBLE ASSETS AND LIABILITIES

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


	December 31, 2023						December 31, 2022
(In millions)	Gross Amount		Accumulated Amortization		Net Amount		Gross Amount		Accumulated Amortization		Net Amount
Intangible assets1:
Customer relationships	$	90听	$	(18)	$	72听	$	90听	$	(13)	$	77听
Developed technology	60听		(14)		46听		60听		(10)		50听
Trade names and trademarks	18听		(5)		13听		18听		(4)		14听
Mining permits	72听		(28)		44听		72听		(27)		45听
Supplier relationships	29听		(3)		26听		29听		(1)		28听
Total intangible assets	$	269听	$	(68)	$	201听	$	269听	$	(55)	$	214听
Intangible liabilities2:
Above-market supply contracts	$	(71)	$	24听	$	(47)	$	(71)	$	19听	$	(52)

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 $13听million for both the years ended December听31, 2023 and 2022. Estimated future amortization expense related to intangible assets is $13 million annually for the years 2024 through 2028.

Income from amortization related to intangible liabilities was $5听million for both the years ended December听31, 2023 and 2022. Estimated future amortization income related to the intangible liabilities is $5 million annually for the years 2024 through 2028.