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REPORTABLE SEGMENTS
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
REPORTABLE SEGMENTS REPORTABLE SEGMENTS
The Company’s business is aggregated into three reportable segments: Air Management, Drivetrain & Battery Systems, and ePropulsion. These segments are strategic business groups that are managed separately as each represents a specific grouping of related automotive components and systems.

In the second quarter of 2024, the Company announced a new business unit and management structure designed to further enhance the execution of the Company’s Charging Forward strategy effective July 1, 2024. As of June 30, 2024, management continued to assess the performance of reportable segments using the structure that was in place at December 31, 2023. Beginning with the third quarter of 2024, the Company will assess performance using the new structure and expects to report its financial results in four reportable segments: Turbos & Thermal Technologies, Drivetrain & Morse Systems, PowerDrive Systems and Battery & Charging Systems.

Segment Adjusted Operating Income (Loss) is the measure of segment income or loss used by the Company. Segment Adjusted Operating Income (Loss) is comprised of operating income for the Company’s reportable segments adjusted for restructuring, merger, acquisition and divestiture expense, intangible asset amortization expense, impairment charges and other items not reflective of ongoing operating income or loss. The Company believes Segment Adjusted Operating Income (Loss) is most reflective of the operational profitability or loss of our reportable segments.
The following tables show segment information and Segment Adjusted Operating Income (Loss) for the Company’s reportable segments:

Net Sales by Reportable Segment
Three Months Ended June 30, 2024Six Months Ended June 30, 2024
(in millions)CustomersInter-segmentNetCustomersInter-segmentNet
Air Management$1,952 $22 $1,974 $3,960 $44 $4,004 
Drivetrain & Battery Systems1,196 — 1,196 2,353 2 2,355 
ePropulsion455 9 464 885 15 900 
Inter-segment eliminations— (31)(31)— (61)(61)
Net sales$3,603 $— $3,603 $7,198 $— $7,198 

Three Months Ended June 30, 2023Six Months Ended June 30, 2023
(in millions)CustomersInter-segmentNetCustomersInter-segmentNet
Air Management$2,006 $21 $2,027 $3,966 $40 $4,006 
Drivetrain & Battery Systems1,117 — 1,117 2,072 1 2,073 
ePropulsion548 18 566 1,016 37 1,053 
Inter-segment eliminations— (39)(39)— (78)(78)
Net sales$3,671 $— $3,671 $7,054 $— $7,054 

Segment Adjusted Operating Income (Loss)
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2024202320242023
Air Management$304 $305 $612 $590 
Drivetrain & Battery Systems176 142 334 253 
ePropulsion(49)(19)(111)(54)
Segment Adjusted Operating Income431 428 835 789 
Corporate, including stock-based compensation55 61 120 122 
Restructuring expense (Note 5)25 9 44 12 
Intangible asset amortization expense17 17 34 34 
Commercial contract settlement15 — 15 — 
Adjustments associated with Spin-Off related balances11 — 11 — 
Accelerated depreciation8 — 8 3 
Merger and acquisition expense— 8 5 16 
Gain on sale of businesses— (5)(3)(5)
Service and lease agreement termination— 9 — 9 
Gain on sale of assets— (6)— (6)
Other non-comparable items3 2 9 (3)
Equity in affiliates’ earnings, net of tax(12)(12)(17)(13)
Unrealized loss on equity and debt securities— 54 2 69 
Interest expense, net8 12 13 22 
Other postretirement expense3 3 6 5 
Earnings from continuing operations before income taxes and noncontrolling interest$298 $276 $588 $524