Additional Financial Information (Tables)

12 Months Ended

Jun. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Components of Other Non-Current Assets

The following table sets forth the components of Other non-current assets included in the Balance Sheets:

	As of June 30,
	2020		2019
	(in millions)
Royalty advances to authors	$	348	$	343
Retirement benefit assets	94		117
Inventory(a)	133		155
News America Marketing deferred consideration	111		—
Other	353		315
Total Other non-current assets	$	1,039	$	930

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(a)Primarily consists of the non-current portion of programming rights.

Components of Other Current Liabilities

The following table sets forth the components of Other current liabilities:

	As of June 30,
	2020		2019
	(in millions)
Royalties and commissions payable	$	169	$	211
Current operating lease liabilities	131		—
Allowance for sales returns	174		192
Current tax payable	50		22
Other	314		299
Total Other current liabilities	$	838	$	724

Components of Other, Net Included in Statements of Operations

The following table sets forth the components of Other, net included in the Statements of Operations:

	For the fiscal years ended June 30,
	2020		2019		2018
	(in millions)
Dividends received from equity security investments	$	3	$	24	$	—
Remeasurement of equity securities(a)	(21)		(23)		—
Loss on the Transaction(b)	—		—		(337)
Impairment of marketable securities and cost method investments(c)	—		—		(33)
Gain on sale of SEEKAsia(d)	—		—		32
Gain on sale of Australian property	—		16		—
Gain on sale of businesses(e)	20		—		—
Other(f)	7		16		14
Total Other, net	$	9	$	33	$	(324)

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(a)As a result of the adoption of ASU 2016-01 during the first quarter of fiscal 2019, the Company has included the impact from the remeasurement of equity securities in Other, net in the Statements of Operations for the fiscal years ended June 30 2020 and 2019. During the fiscal year ended June 30, 2018, the impact from the remeasurement of equity securities was included in Accumulated other comprehensive loss in the Balance Sheets.

(b)See Note 4—Acquisitions, Disposals and Other Transactions.

(c)For the fiscal year ended June 30, 2018, the write-down of available-for-sale securities was reclassified out of Accumulated other comprehensive loss and included in Other, net in the Statements of Operations. See Note 6—Investments.

(d)During the third quarter of fiscal 2018, the Company sold its investment in SEEKAsia for $122 million in cash and recognized a $32 million gain in Other, net in the Statements of Operations.

(e)During the fiscal year ended June 30, 2020, REA Group contributed its businesses located in Singapore and Indonesia into a joint venture with 99.co in return for an equity method investment in the combined entity. As a result of the deconsolidation of these entities, REA Group recognized a $20 million gain in Other, net.

(f)As a result of the adoption of ASU 2017-07 during the first quarter of fiscal 2019, the Company has included the other non-service cost components of net periodic benefit (income) cost in Other, net in the Statements of Operations for the fiscal years ended June 30, 2020, 2019 and 2018.

Summary of Supplemental Cash Flow Information

The following table sets forth the Company’s gross cash paid for taxes and interest:

	For the fiscal years ended June 30,
	2020		2019		2018
	(in millions)
Cash paid for interest	$	61	$	82	$	29
Cash paid for taxes	99		144		160

Components of Accumulated Other Comprehensive Loss

The components of Accumulated other comprehensive loss were as follows:

	For the fiscal years ended June 30,
	2020		2019		2018
	(in millions)
Accumulated other comprehensive loss, net of tax:
Unrealized holding gains (losses) on securities:
Balance, beginning of year	$	—	$	22	$	(5)
Fiscal year activity(a)	—		(22)		27
Balance, end of year	—		—		22
Cash flow hedge adjustments:
Balance, beginning of year	6		4		—
Fiscal year activity(b)	(4)		2		4
Balance, end of year	2		6		4
Benefit Plan Adjustments:
Balance, beginning of year	(352)		(309)		(437)
Fiscal year activity(c)	(42)		(43)		128
Balance, end of year	(394)		(352)		(309)
Foreign currency translation adjustments:
Balance, beginning of year	(780)		(591)		(510)
Fiscal year activity(d)	(159)		(189)		(81)
Balance, end of year	(939)		(780)		(591)
Share of other comprehensive income from equity affiliates, net:
Balance, beginning of year	—		—		(12)
Fiscal year activity(e)	—		—		12
Balance, end of year	—		—		—
Total accumulated other comprehensive loss, net of tax:
Balance, beginning of year	(1,126)		(874)		(964)
Fiscal year activity, net of income taxes	(205)		(252)		90
Balance, end of year	$	(1,331)	$	(1,126)	$	(874)

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(a)Net of income tax expense of $1 million for the fiscal year ended June 30, 2018. Upon adoption of ASU 2016-01, the Company recorded a $22 million decrease to Accumulated deficit to reclassify the cumulative net unrealized gains (losses) for these investments as of July 1, 2018.

(b)Net of income tax (benefit) expense of $(3) million, $1 million and $2 million for the fiscal years ended June 30, 2020, 2019 and 2018 respectively.

(c)Net of income tax (benefit) expense of $(11) million, $(10) million and $28 million for the fiscal years ended June 30, 2020, 2019 and 2018, respectively.

(d)Excludes $(43) million, $(58) million and $(42) million relating to noncontrolling interests for the fiscal years ended June 30, 2020, 2019 and 2018, respectively.

(e)Net of income tax expense of $5 million for the fiscal year ended June 30, 2018.