REVISION OF PRIOR PERIOD FINANCIAL STATEMENTS (Notes)

9 Months Ended

Jul. 31, 2016

Income Tax Disclosure [Abstract]

Accounting Changes and Error Corrections [Text Block]

 2. REVISION OF PRIOR PERIOD FINANCIAL STATEMENTS

During the years ended October 31, 2014 and 2015, the company identified and recorded various out of period income tax adjustments.   We determined that the errors were not material to the previously issued financial statements and disclosures included in our Annual Report on Form 10-K for the year ended October  31, 2014 or for any quarterly periods included therein or through our Quarterly Report on Form 10-Q for the nine months ended July 31, 2015. However, as a result of the company presenting continuing operations and discontinued operations for the first time in our Annual Report on Form 10-K for the year ended October 31, 2015, we determined that the effect of the errors is significant to our financial results for the year ending October 31, 2014 and 2013. Accordingly, we revised our historical financial statements presented in our Form 10-K for the year ended October 31, 2015.

For the three and nine months ended July 31, 2016, we are presenting comparative fiscal 2015 quarterly information. The fiscal 2015 results for the three and nine months ended July 31, 2015 have been revised to reflect the quarterly impact of the out of period adjustments described above. For the three months ended July 31, 2015 the following out of period adjustments were included in the as-reported column in the revision adjustment table and have been removed in the adjustments column: $8 million of tax expense related to the correction of the U.S. deferred tax liability for unremitted earnings of foreign subsidiaries. In addition to the aforementioned, for the nine months ended July 31, 2015, the following out of period adjustments were included in the as-reported column in the revision adjustment table and have been removed in the adjustments column: $4 million of tax expense related to the increase of foreign deferred tax liabilities for a prior year, $13 million of tax benefit from the reduction in deferred tax liabilities due to tax rate changes in Denmark occurring in a prior year and $4 million of tax expense attributable to an error discovered on a prior year U.S. tax return.

	Three Months Ended July 31, 2015
	As Reported			Adjustments			As Revised
	(in millions, except per share data)
Income from continuing operations before taxes	$	128					$	128
Provision for income taxes	23			(8		)	15
Income from continuing operations	105						113
Loss from discontinued operations, net of tax benefit of $0 million	(2		)				(2		)
Net Income	$	103		$	8		$	111
Net income per share - basic
Income from continuing operations	$	0.32					$	0.34
Loss from discontinued operations	(0.01		)				(0.01		)
Net income per share - basic	$	0.31					$	0.33
Net income per share - diluted
Income from continuing operations	$	0.31					$	0.34
Loss from discontinued operations	—						(0.01		)
Net income per share - diluted	$	0.31					$	0.33
Total comprehensive income	$	41		$	8		$	49

	Nine Months Ended July 31, 2015
	As Reported			Adjustments			As Revised
	(in millions, except per share data)
Income from continuing operations before taxes	$	337					$	337
Provision for income taxes	42			(3		)	39
Income from continuing operations	295						298
Loss from discontinued operations, net of tax benefit of $(2)	(37		)				(37		)
Net Income	$	258		$	3		$	261
Net income per share - basic
Income from continuing operations	$	0.88					$	0.89
Loss from discontinued operations	(0.11		)				(0.11		)
Net income per share - basic	$	0.77					$	0.78
Net income per share - diluted
Income from continuing operations	$	0.88					$	0.89
Loss from discontinued operations	(0.11		)				(0.11		)
Net income per share - diluted	$	0.77					$	0.78
Total comprehensive loss	$	(72	)	$	3		$	(69	)

The adjustments resulted in the following revisions to our condensed consolidated statement of cash flow.

	Nine Months Ended July 31, 2015
	As Reported			Adjustments			As Revised (1)
	(in millions)
Net income	$	258		$	3		$	261
Deferred taxes	$	(15	)	$	(1	)	$	(16	)
Changes in assets and liabilities:
Other assets and liabilities	$	(162	)	$	(2	)	$	(164	)
Net cash provided by operating activities	$	254		$	—		$	254

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(1) The presentation above of certain amounts from the consolidated statement of cash flow for the nine months ended July 31, 2015 does not include the adjustments related to the early adoption of new guidance which have also been made in the third quarter of fiscal year 2016. See Note 3 "New Accounting Pronouncements" for additional information.