OTHER OPERATING (INCOME) EXPENSE, NET

9 Months Ended

Sep. 30, 2023

Other Income and Expenses [Abstract]

Items included in Other operating expense, net consist of:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in millions)	2023		2022		2023		2022
Merger and acquisition expense, net	$	2	$	5	$	18	$	13

Service and lease agreement termination	—		—		9		—
Asset impairments	2		—		2		—
Loss (gain) on sale of business	—		9		(5)		(15)
Gain on sale of assets	(7)		—		(13)		—
Other (income) expense, net	(3)		(2)		(12)		(5)
Other operating (income) expense, net	$	(6)	$	12	$	(1)	$	(7)

Merger and acquisition expense, net: During the three and nine months ended September 30, 2023, the Company recorded merger and acquisition expense, net of $2 million and $18 million, respectively, primarily related to professional fees for specific acquisition initiatives. During the three and nine months ended September 30, 2022, the Company recorded merger and acquisition expense, net of $5 million and $13 million, respectively, primarily related to professional fees associated with specific acquisition initiatives.

Loss (gain) on sale of business: During the three months ended September 30, 2022, the Company updated its estimate of the expected earn-out related to a previous divestiture resulting in a $9 million loss in the period. During the nine months ended September 30, 2022, the Company recorded a pre-tax gain of $24 million in connection with the sale of its interest in BorgWarner Romeo Power LLC, in which the Company owned a 60% interest.

Gain on sale of assets: During the three months ended September 30, 2023, the Company recorded a $7 million gain related to the sale of a European manufacturing facility. The sale of the facility was pursuant to a formal restructuring plan. During the nine months ended September 30, 2023, the Company recorded a $13 million gain, primarily related to the sale of the European manufacturing facility and other fixed assets.