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Fair Value Measurements (Tables)
12 Months Ended
Sep. 30, 2017
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Financial Instruments

In accordance with the fair value hierarchy, described above, the following table shows the fair value of the Company’s financial instruments that are required to be measured at fair value as of September 30, 2017 and September 30, 2016.

 

 

 

Fair Value Measurements as of  September 30, 2017

 

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

Total

 

 

 

(in millions)

 

Other Current Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual Obligations (a)

 

 

 

 

 

 

 

 

 

 

 

 

Other Non-Current Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual Obligations (a)

 

 

 

 

 

 

 

 

(5

)

 

 

(5

)

Total

 

$

 

 

$

 

 

$

(5

)

 

$

(5

)

 

 

 

 

Fair Value Measurements as of  September 30, 2016

 

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

 

Total

 

 

 

(in millions)

 

Other Current Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual Obligations (a)

 

 

 

 

 

 

 

 

 

 

 

 

Other Non-Current Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contractual Obligations (a)

 

 

 

 

 

 

 

 

(4

)

 

 

(4

)

Total

 

$

 

 

$

 

 

$

(4

)

 

$

(4

)

 

 

(a)

This represents purchase obligations and contingent consideration related to the Company’s various acquisitions. This is based on a probability weighted performance approach and it is adjusted to fair value on a recurring basis and any adjustments are included as a component of operating income in the statement of operations. These amounts were mainly calculated using unobservable inputs such as future earnings performance of the Company’s various acquisitions and the expected timing of the payment.

Reconciliation of Net Liabilities Classified as Level 3

The following table reconciles the beginning and ending balances of net assets and liabilities classified as Level 3:

 

 

 

Total

 

 

 

(in millions)

 

Balance at September 30, 2016

 

$

(4

)

Additions

 

 

(1

)

Reductions

 

 

 

Payments

 

 

 

Balance at September 30, 2017

 

$

(5

)