Other Intangible Assets and Goodwill

9 Months Ended

Jun. 28, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

Other Intangible Assets and Goodwill

During the third quarter of fiscal 2020, we completed our annual goodwill impairment analysis. The results of our analysis indicated significant excess fair values over carrying values across the different reporting units, and therefore no goodwill impairment was recorded. Due to changes in branding and marketing strategy, certain indefinite-lived intangible assets became definite-lived. As a result, approximately $105.5 million was reclassified primarily into Trade names, trademarks and patents within the Finite-lived intangible assets table below. We estimated the fair values of these assets under an income approach with an average remaining useful life of approximately five years. The analysis indicated that the fair value of one of the assets exceeded its carrying value. As a result, we recorded a charge of $22.1 million to restructuring and impairments on our consolidated statement of earnings during the third quarter of fiscal 2020. For our remaining intangible assets, our analysis did not indicate further impairment.

Indefinite-lived intangible assets

(in millions)	Jun 28, 2020		Sep 29, 2019
Trade names, trademarks and patents	$	96.6	$	203.4

Finite-lived intangible assets

	Jun 28, 2020						Sep 29, 2019
(in millions)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Acquired and reacquired rights	$	1,083.4	$	(693.5)	$	389.9	$	1,075.0	$	(537.2)	$	537.8
Acquired trade secrets and processes	27.6		(21.3)		6.3		27.6		(19.2)		8.4
Trade names, trademarks and patents	124.7		(27.2)		97.5		40.6		(22.9)		17.7
Licensing agreements	16.3		(14.1)		2.2		16.2		(12.2)		4.0
Other finite-lived intangible assets	22.2		(15.1)		7.1		22.0		(11.5)		10.5
Total finite-lived intangible assets	$	1,274.2	$	(771.2)	$	503.0	$	1,181.4	$	(603.0)	$	578.4

Amortization expense for finite-lived intangible assets was $55.9 million and $164.5 million for the quarter and three quarters ended June 28, 2020 and $55.2 million and $178.4 million for the quarter and three quarters ended June 30, 2019, respectively.

Estimated future amortization expense as of June 28, 2020 (in millions):

Fiscal Year	Total
2020 (excluding the three quarters ended June 28, 2020)	$	58.2
2021	213.3
2022	177.8
2023	19.5
2024	18.9
Thereafter	15.3
Total estimated future amortization expense	$	503.0

Goodwill

Changes in the carrying amount of goodwill by reportable operating segment (in millions):

	Americas		International		Channel Development		Corporate and Other		Total
Goodwill balance at September 29, 2019	$	496.7	$	2,958.4	$	34.7	$	1.0	$	3,490.8
Other(1)	(0.8)		20.1		—		—		19.3
Goodwill balance at June 28, 2020	$	495.9	$	2,978.5	$	34.7	$	1.0	$	3,510.1

⁽¹⁾“Other” consists of changes in the goodwill balance resulting from foreign currency translation.