Quarterly Financial Information (Unaudited) (Tables)

12 Months Ended

Sep. 30, 2019

Quarterly Financial Information Disclosure [Abstract]

Schedule of Quarterly Financial Information (Unaudited)

The following table presents quarterly financial information and per share data:

	First Quarter				Second Quarter				Third Quarter				Fourth Quarter
(In millions, except per share amounts)	2019		2018		2019		2018		2019		2018		2019		2018
Sales	$	557	$	545	$	591	$	569	$	613	$	577	$	629	$	594
Gross profit (a)	$	183	$	195	$	203	$	207	$	207	$	201	$	217	$	203
Operating income (b)	$	87	$	88	$	96	$	100	$	102	$	102	$	113	$	105
Income before income taxes (b) (c)	$	72	$	84	$	80	$	94	$	85	$	97	$	28	$	57
Net income (loss) (d)	$	53	$	(10)	$	63	$	67	$	65	$	64	$	27	$	45
Net income (loss) per common share (e)
Basic	$	0.28	$	(0.05)	$	0.33	$	0.33	$	0.34	$	0.33	$	0.14	$	0.23
Diluted	$	0.28	$	(0.05)	$	0.33	$	0.33	$	0.34	$	0.33	$	0.14	$	0.23

(a)Gross profit included business interruption expenses recorded in Cost of sales of $1 million in the second fiscal quarter of 2019 and $5 million in the third fiscal quarter of 2019.

(b)Operating and pre-tax income included restructuring expenses recorded in Selling, general and administrative expenses of $8 million in the second quarter of 2019, $4 million in the third fiscal quarter of 2019 and $2 million in the fourth fiscal quarter of 2019. Also included in operating and pre-tax income are Legacy and separation-related expenses, net of $3 million in the second fiscal quarter of 2019, $9 million in the first fiscal quarter of 2018, $8 million in the second fiscal quarter of 2018, and $3 million of income in the third fiscal quarter of 2018. Acquisition and divestiture-related gains and losses also recognized in operating and pre-tax income were a gain of $4 million in the fourth fiscal quarter of 2019 recorded in Equity and other income, net, and losses of $2 million and $1 million in the third and fourth fiscal quarters of 2018, respectively, recorded in Selling, general and administrative expenses.

(c)Income before income taxes includes pension other postretirement plan remeasurement losses of $69 million and $38 million in the fourth fiscal quarters of 2019 and 2018, respectively.

(d)Net income includes $2 million of income tax benefit recognized in the second fiscal quarter of 2019 related to Kentucky tax reform. Net (loss) income for fiscal 2018 includes additional income tax expense related to U.S. and Kentucky tax reform enacted during the year of $71 million in the first quarter of fiscal 2018, $2 million in the second fiscal quarter of 2018, $3 million in the third fiscal quarter of 2018, and $2 million in the fourth fiscal quarter of 2018.

(e)Net income (loss) per share in each quarter is computed using the weighted average number of shares outstanding during that quarter while net income per share for the full year is computed using the weighted average number of shares outstanding during the year. Thus, the sum of the four quarters’ net income (loss) per share will not necessarily equal the full-year net income per share.