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Share-Based Compensation (Tables)
 12 Months Ended
Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Compensation Cost Relating to Share-Based Payments
The amounts and location of compensation cost relating to share-based payments included in the consolidated statements of income is as follows:
(Millions of dollars)
2017
 
2016
 
2015
Cost of products sold
$
30

 
$
29

 
$
23

Selling and administrative expense
113

 
106

 
82

Research and development expense
24

 
22

 
17

Acquisitions and other restructurings
10

 
39

 
44

 
$
177

 
$
196

 
$
166

 
 
 
 
 
 
Tax benefit associated with share-based compensation costs recognized
$
61

 
$
69

 
$
59
Assumptions for Estimation of Fair Values of Stock Appreciation Rights Granted During Reporting Periods
The fair value was estimated on the date of grant using a lattice-based binomial option valuation model that uses the following weighted-average assumptions:
 
2017
 
2016
 
2015
Risk-free interest rate
2.33%
 
2.17%
 
2.20%
Expected volatility
20.0%
 
19.0%
 
19.0%
Expected dividend yield
1.71%
 
1.76%
 
1.78%
Expected life
7.5 years
 
7.6 years
 
7.6 years
Fair value derived
$33.81
 
$27.69
 
$24.82
Summary of SARs Outstanding
A summary of SARs outstanding as of September 30, 2017 and changes during the year then ended is as follows:
 
SARs (in
thousands)
 
Weighted
Average
Exercise Price
 
Weighted
Average
Remaining
Contractual Term
(Years)
 
Aggregate
Intrinsic
Value
(Millions
of dollars)
Balance at October 1
7,027

 
$
103.83

 
 
 
 
Granted
996

 
170.69

 
 
 
 
Exercised
(1,445
)
 
83.81

 
 
 
 
Forfeited, canceled or expired
(112
)
 
142.04

 
 
 
 
Balance at September 30
6,466

 
$
117.94

 
6.24
 
$
504

Vested and expected to vest at September 30
6,215

 
$
116.54

 
6.16
 
$
493

Exercisable at September 30
3,952

 
$
96.00

 
4.98
 
$
395
Schedule Of Share Based Compensation, Summary of Stock Appreciation Rights Exercised [Table Text Block]
A summary of SARs exercised 2017, 2016 and 2015 is as follows:
(Millions of dollars)
2017
 
2016
 
2015
Total intrinsic value of SARs exercised
$
148

 
$
148

 
$
96

Tax benefit realized from SAR exercises
$
53

 
$
52

 
$
34

Total fair value of SARs vested
$
30

 
$
24

 
$
22
Summary of Stock Options Outstanding
A summary of options exercised 2017, 2016 and 2015 is as follows:
(Millions of dollars)
2017
 
2016
 
2015
Cash received from stock option exercises
$
14

 
$
50

 
$
75

Tax benefit realized from stock option exercises
$
8

 
$
17

 
$
20

Total intrinsic value of stock options exercised
$
20

 
$
51

 
$
52

Total fair value of stock options vested
$
2

 
$
11

 
$
59

A summary of these stock options outstanding as of September 30, 2017 and changes during the year then ended is as follows:
 
Stock
Options (in
thousands)
 
Weighted
Average
Exercise Price
 
Weighted Average
Remaining
Contractual Term
(Years)
 
Aggregate
Intrinsic
Value
(Millions
of dollars)
Balance at October 1
495

 
$
79.99

 
 
 
 
Exercised
(186
)
 
77.66

 
 
 
 
Forfeited, canceled or expired
(6
)
 
81.30

 
 
 
 
Balance at September 30
303

 
$
81.40

 
2.56
 
$
35

Vested at September 30
303

 
$
81.40

 
2.56
 
$
35

Exercisable at September 30
303

 
$
81.40

 
2.56
 
$
35
Summary of Performance-Based Restricted Stock Units Outstanding
A summary of restricted stock units outstanding as of September 30, 2017 and changes during the year then ended is as follows:
 
Performance-Based
 
Time-Vested
 
Stock Units (in
thousands)
 
 
Weighted
Average Grant
Date Fair Value
 
Stock Units (in
thousands)
 
Weighted
Average Grant
Date Fair Value
Balance at October 1
1,112

 
 
$
148.27

 
2,584

 
$
123.16

Granted
381

 
 
174.92

 
845

 
165.96

Distributed
(145
)
 
 
134.19

 
(799
)
 
117.06

Forfeited or canceled
(268
)
 
 
139.93

 
(494
)
 
124.52

Balance at September 30
1,080

(A)
 
$
161.64

 
2,136

 
$
142.06

Expected to vest at September 30
428

(B)
 
$
159.22

 
2,052

 
$
141.36

(A)
Based on 200% of target payout.
(B)
Net of expected forfeited units and units in excess of the expected performance payout of 79 thousand and 573 thousand shares, respectively.
Schedule Of Share Based Compensation, Restricted Stock Units, Grant Date Fair Value of Units Granted [Table Text Block]
The weighted average grant date fair value of restricted stock units granted during the years 2017, 2016 and 2015 are as follows:
 
Performance-Based
 
Time-Vested
 
2017
 
2016
 
2015
 
2017
 
2016
 
2015
Weighted average grant date fair value of units granted
$
174.92

 
$
153.73

 
$
156.65

 
$
165.96

 
$
145.57

 
$
136.30
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]
The total fair value of stock units vested during 2017, 2016 and 2015 was as follows:
 
Performance-Based
 
Time-Vested
(Millions of dollars)
2017
 
2016
 
2015
 
2017
 
2016
 
2015
Total fair value of units vested
$
32

 
$
22

 
$
16

 
$
139

 
$
114

 
$
181