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Discontinued Operations
 6 Months Ended
Mar. 31, 2018
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations DISCONTINUED OPERATIONS
The results of our former Performance Materials Division (PMD) and Energy-from-Waste (EfW) segment are reflected in our consolidated financial statements as discontinued operations.
During the second quarter of fiscal year 2017, we completed the sale of PMD to Evonik Industries AG (Evonik) for $3.8 billion in cash. A gain of $2,870 ($1,833 after-tax, or $8.34 per share) was recognized on the sale, which closed on 3 January 2017.
In fiscal year 2016, we discontinued efforts to start up and operate two EfW projects located in Tees Valley, United Kingdom. During the first quarter of fiscal year 2017, we recorded a loss on disposal of $59.3 ($47.1 after-tax), primarily for land lease obligations and to update our estimate of the net realizable value of the plant assets. The loss on disposal was recorded as a component of discontinued operations while the liability associated with land lease obligations was and continues to be recorded in continuing operations. The liability recorded in continuing operations was approximately $68 as of 31 March 2018.
Summarized Financial Information of Discontinued Operations
For the three and six months ended 31 March 2018, the loss from discontinued operations, net of tax, on the consolidated income statements was $0.0 and $1.0, respectively. The year-to-date loss is related to EfW project exit activities and administrative costs.
The following table details the businesses and major line items that comprise income from discontinued operations, net of tax, on the consolidated income statements for the three and six months ended 31 March 2017:
 
Three Months Ended
 
31 March 2017
 
 
 
Total

Performance
Energy-
Discontinued
 
Materials
from-Waste(A)
Operations
Cost of sales

$3.3


$3.0


$6.3

Selling and administrative
2.1

—

2.1

Other income (expense), net
.7

(.4
)
.3

Income (Loss) Before Taxes
(4.7
)
(3.4
)
(8.1
)
Income tax benefit
(.3
)
(.9
)
(1.2
)
Income (Loss) From Operations of Discontinued Operations, net of tax
(4.4
)
(2.5
)
(6.9
)
Gain on Disposal, net of tax
1,832.5

—

1,832.5

Income (Loss) From Discontinued Operations, net of tax

$1,828.1


($2.5
)

$1,825.6

 
 
 
 
 
Six Months Ended
 
31 March 2017
 
 
 
Total
 
Performance
Energy-
Discontinued
 
Materials
from-Waste(A)
Operations
Sales

$254.8


$—


$254.8

Cost of sales
182.3

9.6

191.9

Selling and administrative
22.5

.2

22.7

Research and development
5.1

—

5.1

Other income (expense), net
.3

(.1
)
.2

Operating Income (Loss)
45.2

(9.9
)
35.3

Equity affiliates’ income
.3

—

.3

Income (Loss) Before Taxes
45.5

(9.9
)
35.6

Income tax benefit(B)
(50.8
)
(2.0
)
(52.8
)
Income (Loss) From Operations of Discontinued Operations, net of tax
96.3

(7.9
)
88.4

Gain (Loss) on Disposal, net of tax
1,832.5

(47.1
)
1,785.4

Income (Loss) From Discontinued Operations, net of tax

$1,928.8


($55.0
)

$1,873.8


(A) 
The loss from operations of discontinued operations for EfW primarily relates to land lease obligations, administrative costs, and costs incurred for project exit activities.
(B) 
As a result of the expected gain on the sale of PMD, we released valuation allowances related to capital loss and net operating loss carryforwards during the first quarter of 2017 that favorably impacted our income tax provision within discontinued operations by approximately $66.

There were no assets or liabilities presented in discontinued operations on the consolidated balance sheets as of 31 March 2018. Current assets of discontinued operations on the consolidated balance sheets of $10.2 as of 30 September 2017 related to EfW. Current liabilities of discontinued operations on the consolidated balance sheets of $15.7 as of 30 September 2017 primarily related to reserves associated with the disposition of PMD.