Inventories, Net

12 Months Ended

Jun. 30, 2021

Inventory Disclosure [Abstract]

Inventories, Net

NOTE 5. INVENTORIES, NET

The Company’s inventories were comprised of the following:

	As of June 30,
	2021			2020
	(in millions)
Sports programming rights	$	573		$	674
Entertainment programming rights		355			384
Total inventories, net		928			1,058
Less: current portion of inventories, net		(729	)		(856	)
Total non-current inventories, net	$	199		$	202

The aggregate amortization expense related to the programming rights was approximately $5.9 billion for the year ended June 30, 2021, which is included in Operating expenses in the Statements of Operations.

Based on the balance of programming rights as of June 30, 2021, the estimated amortization expense for each of the succeeding three fiscal years is as follows:

	For the years ending June 30,
	2022		2023		2024
	(in millions)
Estimated amortization expense	$	822	$	64	$	24

The Company evaluates the recoverability of the unamortized costs associated with the Company’s programming rights using total estimated advertising and other revenues attributable to the program material and considering the Company’s expectations of the usefulness of the program rights. As a result of the evaluation, the Company recognized write-downs of approximately nil, $95 million and $55 million in fiscal 2021, 2020 and 2019, respectively, related to sports, entertainment and syndicated programming rights at the Cable Network Programming and Television segments, which were recorded in Operating expenses in the Statements of Operations.