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Other income expense
 6 Months Ended
Jun. 30, 2012
Other Income and Expenses [Abstract]  
Other Income and Other Expense Disclosure [Text Block]
(3) Other (Income) Expense

Items included in other (income) expense consist of:

 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
(millions of dollars)
2012
 
2011
 
2012
 
2011
Loss from disposal activities
$
37.9

 
$
—

 
$
37.9

 
$
—

Patent infringement settlement, net of legal costs incurred
—

 
(29.1
)
 
—

 
(29.1
)
Other
(1.3
)
 
0.2

 
(0.2
)
 
(1.4
)
Other (income) expense
$
36.6

 
$
(28.9
)
 
$
37.7

 
$
(30.5
)


During the second quarter of 2012, the Company signed a Master Purchase Agreement to sell its spark plug business to Federal-Mogul Corporation. As a result, the Company recorded expense of $37.9 million primarily to write-down prior purchase price accounting adjustments included within the disposal group. These purchase price accounting adjustments were originally recorded in the Engine segment and related to the BERU acquisition.

On May 16, 2011, BorgWarner and Honeywell settled a lawsuit resolving BorgWarner's patent infringement claims. As a result of the settlement, Honeywell paid $32.5 million for a paid up license to use the asserted BorgWarner patents. During 2011, the Company incurred $3.4 million in legal costs related to this lawsuit and after deducting these costs, the Company recorded a net gain of $29.1 million.