Acquisitions and Divestitures (Tables)

12 Months Ended

Sep. 30, 2019

Schedule of Aggregate Cash Consideration and Total Assets Acquired and Liabilities Assumed

A summary follows of the aggregate cash consideration paid and the total assets acquired and liabilities assumed for the years ended September 30:


(In millions)	2019		2018		2017
Inventories	$	—	$	2	$	1
Other current assets	—		1		—
Property, plant and equipment	19		2		2
Goodwill ^(a)	50		58		60
Intangible assets ^(b)
Reacquired franchise rights ^{(a) (c)}	5		26		6
Customer relationships	6		9		2
Trademarks and trade names	1		27		1
Other	2		—		—



Other noncurrent liabilities	(1)		—		—
Net assets acquired	82		125		72
Bargain purchase gain ^(d)	(4)		—		—
Consideration transferred	$	78	$	125	$	72

(a)During fiscal 2018, the preliminary purchase price allocation for the acquisition of certain former franchise service center stores during fiscal 2017 was adjusted to reduce goodwill and increase reacquired franchise rights by $6 million.

(b)Weighted average amortization period of intangible assets acquired in fiscal 2019 is 10 years.

(c)Prior to the acquisition of former franchise service center stores, Valvoline licensed the right to operate franchised quick lube service centers, including use of the Company’s trademarks and trade name. In connection with these acquisitions, Valvoline reacquired those rights and recognized separate definite-lived reacquired franchise rights intangible assets, which are being amortized on a straight-line basis over the weighted average remaining term of approximately 9 years. The effective settlement of these arrangements resulted in no settlement gain or loss as the contractual terms were at market.

(d)Recorded in Equity and other income, net within the Consolidated Statement of Comprehensive Income.