Goodwill and Other Intangibles

6 Months Ended

Mar. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangibles

INTANGIBLE ASSETS

Goodwill

The following table summarizes changes in the carrying amount of goodwill by reportable segment and in total during the six months ended March 31, 2021:

(In millions)	Quick Lubes		Core North America		International		Total
Balance at September 30, 2020	$	316	$	89	$	40	$	445
Acquisitions (a)	178		—		2		180
Dispositions (b)	(10)		—		—		(10)
Currency translation	2		—		—		2
Balance at March 31, 2021	$	486	$	89	$	42	$	617

(a)Includes acquisitions within the Quick Lubes reportable segment of 86 service center stores and a former joint venture in the International reportable segment. Refer to Note 3 for additional details.

(b)Derecognition of goodwill associated with the sale of 12 company-owned, franchise-operated service center stores to franchisees.

Other intangible assets

Valvoline’s purchased intangible assets were specifically identified when acquired, have finite lives, and are reported in Goodwill and intangibles, net within the Condensed Consolidated Balance Sheets. The following summarizes the gross carrying amounts and accumulated amortization of the Company’s intangible assets:

(In millions)	March 31, 2021						September 30, 2020
	Gross carrying amount		Accumulated amortization		Net carrying amount		Gross carrying amount		Accumulated amortization		Net carrying amount
Definite-lived intangible assets
Trademarks and trade names	$	31	$	(7)	$	24	$	30	$	(6)	$	24
Reacquired franchise rights	91		(18)		73		57		(14)		43
Customer relationships	22		(8)		14		22		(7)		15
Other intangible assets	6		(2)		4		3		(1)		2
Total definite-lived intangible assets	$	150	$	(35)	$	115	$	112	$	(28)	$	84