4. Acquisitions and Dispositions

On July 31, 2018, Ball sold its U.S. steel food and steel aerosol packaging business and formed a joint venture, Ball Metalpack. In exchange for the sale of this business, Ball received approximately $600 million in after-tax cash proceeds, subject to customary closing adjustments, as well as 49 percent ownership of Ball Metalpack, which will be reported in other assets as an equity method investment on Ball’s unaudited condensed consolidated balance sheets. This transaction enhances our ability to return additional value to shareholders via share repurchases.

At June 30, 2018, the assets and liabilities of the U.S. steel food and steel aerosol packaging business are presented as held for sale on Ball’s unaudited condensed consolidated balance sheet. Prior to the classification of the assets and liabilities to held for sale, the company assessed the carrying value of certain working capital and other liability balances and then conducted an impairment test of the goodwill and of the other long-lived assets of the U.S. steel food and steel aerosol packaging business. No impairment or other adjustments were required. Upon classification of the assets and liabilities to held for sale, the carrying value of the disposal group as a whole was compared to the fair value of the business less costs to sell. The approach to establish fair value was consistent with that outlined in the critical accounting policy for ‘Recoverability of Goodwill and Intangible Assets’ in our Form 10-K for the year ended December 31, 2017. Following this review, an allowance of $41 million was applied to the carrying value of the assets held for sale. This charge has been presented in business consolidation and other activities in the unaudited condensed consolidated statements of earnings.

The following table summarizes the assets and liabilities of the U.S. steel food and steel aerosol packaging business presented as held for sale:



($ in millions)	June 30, 2018
Assets:
Receivables	$	78
Inventories		231
Property, plant and equipment		192
Goodwill		354
Other assets		33
Allowance for valuation of assets held for sale		(41)
Assets held for sale (a)	$	847

Liabilities:
Accounts payable	$	198
Other liabilities		27
Liabilities held for sale	$	225

(a)

At June 30, 2018, the company presented an additional $3 million of assets held for sale that are unrelated to Ball Metalpack.

The assets sold included nine plants that manufacture and sell steel food and steel aerosol containers. The manufacturing plants were located in Canton and Columbus, Ohio; Milwaukee and Deforest, Wisconsin; Chestnut Hill, Tennessee; Horsham, Pennsylvania; Springdale, Arkansas; and Oakdale, California. The accounting for this transaction is not complete as of the date these financial statements are available for issuance.