Tyco International Finance S.A.

Tyco International Finance S.A. ("TIFSA"), a 100% owned subsidiary of the Company, has public debt securities outstanding which, as of September 30, 2016, were fully and unconditionally guaranteed by Johnson Controls and by Tyco Fire & Security Finance S.C.A. ("TIFSCA"), a wholly owned subsidiary of the Company and parent company of TIFSA. During the first quarter of fiscal 2017, the guarantees were removed. The following tables present condensed consolidating financial information for Johnson Controls, TIFSCA, TIFSA and all other subsidiaries. Condensed financial information for the Company, TIFSCA and TIFSA on a stand-alone basis is presented using the equity method of accounting for subsidiaries.

CONDENSED CONSOLIDATING STATEMENT OF INCOME

For the Three Months Ended March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net sales	$	—		$	—	$	—		$	7,475		$	—		$	7,475
Cost of sales	—			—		—			5,255			—			5,255

Gross profit	—			—		—			2,220			—			2,220

Selling, general and administrative expenses	(7		)	—		11			(1,592		)	—			(1,588		)
Net financing charges	(86		)	23		(3		)	(49		)	—			(115		)
Equity income (loss)	582			439		(9		)	44			(1,012		)	44
Intercompany interest and fees	(51		)	70		(17		)	(2		)	—			—

Income (loss) from continuing operations before income taxes	438			532		(18		)	621			(1,012		)	561

Income tax provision	—			—		—			78			—			78

Income (loss) from continuing operations	438			532		(18		)	543			(1,012		)	483

Loss from sale of intercompany investment, net of tax	—			—		—			(953		)	953			—

Net income (loss)	438			532		(18		)	(410		)	(59		)	483

Income from continuing operations attributable to noncontrolling interests	—			—		—			45			—			45

Net income (loss) attributable to Johnson Controls	$	438		$	532	$	(18	)	$	(455	)	$	(59	)	$	438

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net income (loss)	$	438		$	532		$	(18	)	$	(410	)	$	(59	)	$	483
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	168			(16		)	(2		)	388			(334		)	204
Realized and unrealized losses on derivatives	(6		)	—			—			(10		)	6			(10		)
Realized and unrealized losses on marketable securities	(2		)	—			—			(2		)	2			(2		)

Other comprehensive income (loss)	160			(16		)	(2		)	376			(326		)	192

Total comprehensive income (loss)	598			516			(20		)	(34		)	(385		)	675

Comprehensive income attributable to noncontrolling interests	—			—			—			77			—			77

Comprehensive income (loss) attributable to Johnson Controls	$	598		$	516		$	(20	)	$	(111	)	$	(385	)	$	598

CONDENSED CONSOLIDATING STATEMENT OF INCOME

For the Six Months Ended March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net sales	$	—		$	—	$	—		$	14,910		$	—		$	14,910
Cost of sales	—			—		—			10,521			—			10,521

Gross profit	—			—		—			4,389			—			4,389

Selling, general and administrative expenses	(10		)	—		11			(3,006		)	—			(3,005		)
Restructuring and impairment costs	—			—		—			(158		)	—			(158		)
Net financing charges	(136		)	24		(5		)	(114		)	—			(231		)
Equity income	867			627		133			104			(1,627		)	104
Intercompany interest and fees	(53		)	155		(46		)	(56		)	—			—

Income from continuing operations before income taxes	668			806		93			1,159			(1,627		)	1,099

Income tax provision	—			—		—			345			—			345

Income from continuing operations	668			806		93			814			(1,627		)	754

Loss from sale of intercompany investment, net of tax	—			—		—			(953		)	953			—

Net income (loss)	668			806		93			(139		)	(674		)	754

Income from continuing operations attributable to noncontrolling interests	—			—		—			86			—			86

Net income (loss) attributable to Johnson Controls	$	668		$	806	$	93		$	(225	)	$	(674	)	$	668

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Six Months Ended March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net income (loss)	$	668		$	806		$	93		$	(139	)	$	(674	)	$	754
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	226			(23		)	(3		)	441			(358		)	283
Realized and unrealized losses on derivatives	(5		)	—			—			(11		)	5			(11		)
Realized and unrealized gains (losses) on marketable securities	(2		)	—			(4		)	2			2			(2		)

Other comprehensive income (loss)	219			(23		)	(7		)	432			(351		)	270

Total comprehensive income	887			783			86			293			(1,025		)	1,024

Comprehensive income attributable to noncontrolling interests	—			—			—			137			—			137

Comprehensive income attributable to Johnson Controls	$	887		$	783		$	86		$	156		$	(1,025	)	$	887

CONDENSED CONSOLIDATING STATEMENT OF INCOME

For the Three Months Ended March 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments		Total

Net sales	$	—		$	—		$	—		$	7,267		$	—	$	7,267
Cost of sales	—			—			—			4,986			—		4,986

Gross profit	—			—			—			2,281			—		2,281

Selling, general and administrative expenses	(4		)	—			(1		)	(1,721		)	—		(1,726		)
Restructuring and impairment costs	—			—			—			(99		)	—		(99		)
Net financing charges	(59		)	—			5			(62		)	—		(116		)
Equity income (loss)	(103		)	(187		)	(382		)	53			672		53
Intercompany interest and fees	18			73			20			(111		)	—		—

Income (loss) from continuing operations before income taxes	(148		)	(114		)	(358		)	341			672		393

Income tax provision	—			—			—			508			—		508

Net loss	(148		)	(114		)	(358		)	(167		)	672		(115		)

Income from continuing operations attributable to noncontrolling interests	—			—			—			33			—		33

Net loss attributable to Johnson Controls	$	(148	)	$	(114	)	$	(358	)	$	(200	)	$	672	$	(148	)

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended March 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net loss	$	(148	)	$	(114	)	$	(358	)	$	(167	)	$	672		$	(115	)
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	241			(7		)	(1		)	260			(241		)	252
Realized and unrealized losses on derivatives	(6		)	—			—			(8		)	6			(8		)
Realized and unrealized gains on marketable securities	11			—			7			4			(11		)	11

Other comprehensive income (loss)	246			(7		)	6			256			(246		)	255

Total comprehensive income (loss)	98			(121		)	(352		)	89			426			140

Comprehensive income attributable to noncontrolling interests	—			—			—			42			—			42

Comprehensive income (loss) attributable to Johnson Controls	$	98		$	(121	)	$	(352	)	$	47		$	426		$	98

CONDENSED CONSOLIDATING STATEMENT OF INCOME

For the Six Months Ended March 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments		Total

Net sales	$	—		$	—		$	—		$	14,353		$	—	$	14,353
Cost of sales	—			—			—			9,958			—		9,958

Gross profit	—			—			—			4,395			—		4,395

Selling, general and administrative expenses	(6		)	—			—			(3,290		)	—		(3,296		)
Restructuring and impairment costs	—			—			—			(177		)	—		(177		)
Net financing charges	(78		)	—			(14		)	(160		)	—		(252		)
Equity income (loss)	215			(473		)	(492		)	108			750		108
Intercompany interest and fees	50			73			37			(160		)	—		—

Income (loss) from continuing operations before income taxes	181			(400		)	(469		)	716			750		778

Income tax provision	—			—			—			481			—		481

Income (loss) from continuing operations	181			(400		)	(469		)	235			750		297

Loss from sale of intercompany investment, net of tax	—			—			(935		)	—			935		—

Loss from discontinued operations, net of tax	—			—			—			(34		)	—		(34		)

Net income (loss)	181			(400		)	(1,404		)	201			1,685		263

Income from continuing operations attributable to noncontrolling interests	—			—			—			73			—		73
Income from discontinued operations attributable to noncontrolling interests	—			—			—			9			—		9

Net income (loss) attributable to Johnson Controls	$	181		$	(400	)	$	(1,404	)	$	119		$	1,685	$	181

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Six Months Ended March 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net income (loss)	$	181		$	(400	)	$	(1,404	)	$	201		$	1,685		$	263
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	(418		)	(7		)	26			(470		)	418			(451		)
Realized and unrealized losses on derivatives	(6		)	—			—			(4		)	6			(4		)
Realized and unrealized gains on marketable securities	9			—			7			2			(9		)	9

Other comprehensive income (loss)	(415		)	(7		)	33			(472		)	415			(446		)

Total comprehensive loss	(234		)	(407		)	(1,371		)	(271		)	2,100			(183		)

Comprehensive income attributable to noncontrolling interests	—			—			—			51			—			51

Comprehensive loss attributable to Johnson Controls	$	(234	)	$	(407	)	$	(1,371	)	$	(322	)	$	2,100		$	(234	)

CONDENSED CONSOLIDATING STATEMENT OF FINANCIAL POSITION

As of March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.		Other Subsidiaries		Consolidating Adjustments			Total

Assets
Cash and cash equivalents	$	—		$	304	$	161	$	1,293	$	(1,490	)	$	268
Accounts receivable - net	—			—		—		6,679		—			6,679
Inventories	—			—		—		3,565		—			3,565
Intercompany receivables	48			2,206		365		23,090		(25,709		)	—
Assets held for sale	—			—		—		22		—			22
Other current assets	11			2		2		1,722		—			1,737
Current assets	59			2,512		528		36,371		(27,199		)	12,271

Property, plant and equipment - net	—			—		—		6,235		—			6,235
Goodwill	243			—		32		19,531		—			19,806
Other intangible assets - net	—			—		—		6,625		—			6,625
Investments in partially-owned affiliates	—			—		—		1,294		—			1,294
Investments in affiliates	39,838			33,681		21,456		—		(94,975		)	—
Intercompany loans receivable	—			4,140		2,836		9,004		(15,980		)	—
Other noncurrent assets	63			—		3		3,655		—			3,721
Total assets	$	40,203		$	40,333	$	24,855	$	82,715	$	(138,154	)	$	49,952

Liabilities and Equity
Short-term debt	$	2,163		$	9	$	—	$	429	$	(1,490	)	$	1,111
Current portion of long-term debt	—			—		—		25		—			25
Accounts payable	1			—		—		4,249		—			4,250
Accrued compensation and benefits	1			—		—		865		—			866
Deferred revenue	—			—		—		1,543		—			1,543
Intercompany payables	3,361			19,459		2,031		858		(25,709		)	—
Other current liabilities	303			13		27		2,854		—			3,197
Current liabilities	5,829			19,481		2,058		10,823		(27,199		)	10,992

Long-term debt	8,812			—		155		1,995		—			10,962
Pension and postretirement benefits	—			—		—		864		—			864
Intercompany loans payable	4,688			—		4,316		6,976		(15,980		)	—
Other noncurrent liabilities	—			—		24		4,995		—			5,019
Long-term liabilities	13,500			—		4,495		14,830		(15,980		)	16,845

Redeemable noncontrolling interests	—			—		—		235		—			235
Ordinary shares	9			—		—		—		—			9
Ordinary shares held in treasury	(946		)	—		—		—		—			(946		)
Other shareholders' equity	21,811			20,852		18,302		55,821		(94,975		)	21,811
Shareholders’ equity attributable to Johnson Controls	20,874			20,852		18,302		55,821		(94,975		)	20,874
Noncontrolling interests	—			—		—		1,006		—			1,006
Total equity	20,874			20,852		18,302		56,827		(94,975		)	21,880
Total liabilities and equity	$	40,203		$	40,333	$	24,855	$	82,715	$	(138,154	)	$	49,952

CONDENSED CONSOLIDATING STATEMENT OF FINANCIAL POSITION

As of September 30, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.		Other Subsidiaries		Consolidating Adjustments			Total

Assets
Cash and cash equivalents	$	—		$	107	$	382	$	718	$	(886	)	$	321
Accounts receivable - net	—			—		—		6,666		—			6,666
Inventories	—			—		—		3,209		—			3,209
Intercompany receivables	1,580			1,732		55		4,470		(7,837		)	—
Assets held for sale	—			—		—		189		—			189
Other current assets	14			—		1		1,892		—			1,907
Current assets	$	1,594		$	1,839	$	438	$	17,144	$	(8,723	)	$	12,292

Property, plant and equipment - net	—			—		—		6,121		—			6,121
Goodwill	243			—		32		19,413		—			19,688
Other intangible assets - net	—			—		—		6,741		—			6,741
Investments in partially-owned affiliates	—			—		—		1,191		—			1,191
Investments in affiliates	19,487			31,594		21,132		—		(72,213		)	—
Intercompany loans receivable	17,908			4,140		2,836		9,004		(33,888		)	—
Noncurrent assets held for sale	—			—		—		1,920		—			1,920
Other noncurrent assets	56			—		7		3,868		—			3,931
Total assets	$	39,288		$	37,573	$	24,445	$	65,402	$	(114,824	)	$	51,884

Liabilities and Equity
Short-term debt	$	1,476		$	—	$	—	$	624	$	(886	)	$	1,214
Current portion of long-term debt	307			—		18		69		—			394
Accounts payable	—			—		—		4,271		—			4,271
Accrued compensation and benefits	4			—		—		1,067		—			1,071
Deferred revenue	—			—		—		1,279		—			1,279
Liabilities held for sale	—			—		—		72		—			72
Intercompany payables	4,236			1,055		1,886		660		(7,837		)	—
Other current liabilities	324			2		24		3,203		—			3,553
Current liabilities	6,347			1,057		1,928		11,245		(8,723		)	11,854

Long-term debt	7,806			—		152		4,006		—			11,964
Pension and postretirement benefits	—			—		—		947		—			947
Intercompany loans payable	4,688			17,908		4,316		6,976		(33,888		)	—
Noncurrent liabilities held for sale	—			—		—		173		—			173
Other noncurrent liabilities	—			—		24		5,344		—			5,368
Long-term liabilities	12,494			17,908		4,492		17,446		(33,888		)	18,452

Redeemable noncontrolling interest	—			—		—		211		—			211
Ordinary shares	9			—		—		—		—			9
Ordinary shares held in treasury	(710		)	—		—		—		—			(710		)
Other shareholders' equity	21,148			18,608		18,025		35,580		(72,213		)	21,148
Shareholders’ equity attributable to Johnson Controls	20,447			18,608		18,025		35,580		(72,213		)	20,447
Noncontrolling interests	—			—		—		920		—			920
Total equity	20,447			18,608		18,025		36,500		(72,213		)	21,367
Total liabilities and equity	$	39,288		$	37,573	$	24,445	$	65,402	$	(114,824	)	$	51,884

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

For the Six Months Ended March 31, 2018



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Operating Activities
Net cash provided (used) by operating activities	$	(342	)	$	188	$	82		$	605		$	—		$	533

Investing Activities
Capital expenditures	—			—		—			(497		)	—			(497		)
Sale of property, plant and equipment	—			—		—			10			—			10
Acquisition of businesses, net of cash acquired	—			—		—			(15		)	—			(15		)
Business divestitures	—			—		—			2,114			—			2,114
Changes in long-term investments	—			—		—			(14		)	—			(14		)
Net change in intercompany loans receivable	300			—		(285		)	583			(598		)	—
Net cash provided (used) by investing activities	300			—		(285		)	2,181			(598		)	1,598

Financing Activities
Increase (decrease) in short-term debt - net	687			9		—			(192		)	(604		)	(100		)
Increase in long-term debt	885			—		—			1			—			886
Repayment of long-term debt	(307		)	—		(18		)	(2,003		)	—			(2,328		)
Debt financing costs	(4		)	—		—			—			—			(4		)
Stock repurchases	(199		)	—		—			—			—			(199		)
Payment of cash dividends	(473		)	—		—			—			—			(473		)
Proceeds from the exercise of stock options	36			—		—			—			—			36
Employee equity-based compensation withholding taxes	—			—		—			(37		)	—			(37		)
Net change in intercompany loans payable	(583		)	—		—			(15		)	598			—
Dividends paid to noncontrolling interests	—			—		—			(46		)	—			(46		)
Other	—			—		—			11			—			11
Net cash provided (used) by financing activities	42			9		(18		)	(2,281		)	(6		)	(2,254		)
Effect of exchange rate changes on cash and cash equivalents	—			—		—			61			—			61
Change in cash held for sale	—			—		—			9			—			9
Increase (decrease) in cash and cash equivalents	—			197		(221		)	575			(604		)	(53		)
Cash and cash equivalents at beginning of period	—			107		382			718			(886		)	321
Cash and cash equivalents at end of period	$	—		$	304	$	161		$	1,293		$	(1,490	)	$	268

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

For the Six Months Ended March 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Operating Activities
Net cash provided (used) by operating activities	$	62		$	—		$	67		$	(1,648	)	$	—		$	(1,519	)

Investing Activities
Capital expenditures	—			—			—			(634		)	—			(634		)
Sale of property, plant and equipment	—			—			—			18			—			18
Acquisition of businesses, net of cash acquired	—			—			(6		)	—			—			(6		)
Business divestitures	—			—			—			180			—			180
Changes in long-term investments	—			—			(11		)	(19		)	—			(30		)
Net change in intercompany loans receivable	—			—			10			165			(175		)	—
Increase in intercompany investment in subsidiaries	(1,924		)	(1,716		)	(76		)	—			3,716			—
Net cash used by investing activities	(1,924		)	(1,716		)	(83		)	(290		)	3,541			(472		)

Financing Activities
Increase (decrease) in short-term debt - net	885			76			—			(545		)	(361		)	55
Increase in long-term debt	1,544			—			—			8			—			1,552
Repayment of long-term debt	(46		)	—			(16		)	(769		)	—			(831		)
Debt financing costs	(17		)	—			—			—			—			(17		)
Stock repurchases	(119		)	—			—			—			—			(119		)
Payment of cash dividends	(235		)	—			—			—			—			(235		)
Proceeds from the exercise of stock options	88			—			—			—			—			88
Employee equity-based compensation withholding taxes	—			—			—			(33		)	—			(33		)
Net change in intercompany loans payable	(165		)	—			—			(10		)	175			—
Increase in equity from parent	—			1,640			76			2,000			(3,716		)	—
Dividends paid to noncontrolling interests	—			—			—			(78		)	—			(78		)
Dividend from Adient spin-off	—			—			—			2,050			—			2,050
Cash transferred to Adient related to spin-off	(87		)	—			—			(578		)	—			(665		)
Cash paid related to prior acquisitions	—			—			—			(37		)	—			(37		)
Other	6			—			—			8			—			14
Net cash provided by financing activities	1,854			1,716			60			2,016			(3,902		)	1,744
Effect of exchange rate changes on cash and cash equivalents	—			—			—			(25		)	—			(25		)
Change in cash held for sale	—			—			—			105			—			105
Increase (decrease) in cash and cash equivalents	(8		)	—			44			158			(361		)	(167		)
Cash and cash equivalents at beginning of period	11			—			244			324			—			579
Cash and cash equivalents at end of period	$	3		$	—		$	288		$	482		$	(361	)	$	412