ACQUISITIONS AND DIVESTITURES OF BUSINESSES (Tables)

12 Months Ended

Dec. 31, 2021

Business Combination and Asset Acquisition [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The final allocation as of the date of acquisition follows:

(In millions)	Final Allocation
Accounts receivable - net	$	60
Inventory	125
Prepaid expenses and other current assets	4
Property, plant and equipment	103
Other intangible assets	370
Other assets	8
Accounts payable	(33)
Other current liabilities	(58)
Other noncurrent liabilities	(126)
Total identifiable net assets	453
Noncontrolling interests	(3)
Goodwill	457
Total consideration, net of cash received	$	907

The table below summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed on the acquisition date, as well as measurement period adjustments recorded as of December 31, 2021. These preliminary estimates will continue to be revised during the measurement period as further information becomes available and additional analyses are performed. The third-party valuations for Other intangible assets and Property, plant and equipment have been received. The current measurement period adjustments did not have a material impact to the Consolidated Statements of Income.

(In millions)	Preliminary Allocation		Measurement Period Adjustments		Adjusted Preliminary Allocation
Short-term investments	$	5	$	—	$	5
Accounts receivable	94		—		94
Inventory	184		(7)		177
Prepaid expenses and other current assets	6		(1)		5
Property, plant and equipment	6		(5)		1
Other intangible assets	630		(26)		604
Other assets	—		2		2
Accounts payable	(13)		—		(13)
Other current liabilities	(32)		(3)		(35)
Other noncurrent liabilities	(157)		(3)		(160)
Total identifiable net assets	723		(43)		680
Goodwill	928		43		971
Total consideration, net of cash received	$	1,651	$	—	$	1,651

The table below summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed on the acquisition date, as well as measurement period adjustments recorded as of December 31, 2021. These preliminary estimates will continue to be revised during the measurement period as third-party valuations are received and finalized, further information becomes available and additional analyses are performed, and these differences could have a material impact on Eaton's preliminary purchase price allocation. The current measurement period adjustments did not have a material impact to the Consolidated Statements of Income.

(In millions)	Preliminary Allocation		Measurement Period Adjustments		Adjusted Preliminary Allocation
Accounts receivable	$	84	$	—	$	84
Inventory	179		(1)		178
Prepaid expenses and other current assets	45		7		52
Property, plant and equipment	86		—		86
Other intangible assets	1,575		—		1,575
Other assets	19		(9)		10
Accounts payable	(40)		—		(40)
Other current liabilities	(159)		3		(156)
Other noncurrent liabilities	(77)		(3)		(80)
Total identifiable net assets	1,712		(3)		1,709
Goodwill	1,088		3		1,091
Total consideration, net of cash received	$	2,800	$	—	$	2,800

Schedule of Assets and Liabilities Classified as Held-for-Sale

The assets and liabilities classified as held for sale for the Hydraulics business on the December 31, 2020 Consolidated Balance Sheet are as follows:

(In millions)	December 31, 2020
Accounts receivable - net	$	345
Inventory	369
Prepaid expenses and other current assets	18
Net property, plant and equipment	504
Goodwill	920
Other intangible assets	248
Operating lease assets	61
Deferred income taxes	6
Other noncurrent assets	16
Assets held for sale - current	$	2,487
Accounts payable	$	241
Accrued compensation	26
Other current liabilities	101
Pension liabilities	60
Operating lease liabilities	35
Deferred income taxes	3
Other noncurrent liabilities	2
Liabilities held for sale - current	$	468