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Business Segment Information
9 Months Ended
Sep. 30, 2014
Segment Reporting [Abstract]  
BUSINESS SEGMENT INFORMATION
BUSINESS SEGMENT INFORMATION
Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker, or decision making group, in deciding how to allocate resources to an individual segment and in assessing performance. Eaton’s operating segments are Electrical Products, Electrical Systems and Services, Hydraulics, Aerospace and Vehicle. Operating profit includes the operating profit from intersegment sales. For additional information regarding Eaton’s business segments, see Note 14 to the Consolidated Financial Statements contained in the 2013 Form 10-K.
 
Three months ended
September 30
 
Nine months ended
September 30
 
2014
 
2013
 
2014
 
2013
Net sales
 
 
 
 
 
 
 
Electrical Products
$
1,875

 
$
1,817

 
$
5,433

 
$
5,235

Electrical Systems and Services
1,655

 
1,639

 
4,807

 
4,784

Hydraulics
733

 
739

 
2,302

 
2,267

Aerospace
454

 
448

 
1,404

 
1,328

Vehicle
1,011

 
964

 
3,041

 
2,905

Total net sales
$
5,728

 
$
5,607

 
$
16,987

 
$
16,519

 
 
 
 
 
 
 
 
Segment operating profit
 
 
 
 
 
 
 
Electrical Products
$
330

 
$
301

 
$
880

 
$
814

Electrical Systems and Services
238

 
231

 
601

 
668

Hydraulics
84

 
89

 
286

 
271

Aerospace
72

 
64

 
203

 
193

Vehicle
176

 
161

 
482

 
465

Total segment operating profit
900

 
846

 
2,452

 
2,411

 
 
 
 
 
 
 
 
Corporate
 
 
 
 
 
 
 
Litigation settlements

 

 
(644
)
 

Amortization of intangible assets
(107
)
 
(110
)
 
(326
)
 
(325
)
Interest expense - net
(56
)
 
(63
)
 
(173
)
 
(209
)
Pension and other postretirement benefits expense
(31
)
 
(55
)
 
(114
)
 
(136
)
Inventory step-up adjustment

 

 

 
(34
)
Other corporate expense - net
(64
)
 
(97
)
 
(43
)
 
(252
)
Income before income taxes
642

 
521

 
1,152

 
1,455

Income tax expense (benefit)
37

 
7

 
(66
)
 
64

Net income
605

 
514

 
1,218

 
1,391

Less net income for noncontrolling interests
(3
)
 
(4
)
 
(6
)
 
(9
)
Net income attributable to Eaton ordinary shareholders
$
602

 
$
510

 
$
1,212

 
$
1,382