XML 19 R8.htm IDEA: XBRL DOCUMENT v3.20.2
Shareholders' Equity
 9 Months Ended
Jun. 30, 2020
Stockholders' Equity Note [Abstract]  
Shareholders' Equity Shareholders' Equity
Changes in certain components of shareholders' equity for the first three quarters of fiscal years 2020 and 2019 were as follows:
 Common
Stock  Issued
at Par Value		Capital in
Excess of
Par Value		Retained
Earnings		Deferred
Compensation		Treasury Stock
(Millions of dollars)Shares (in
thousands)		Amount
Balance at September 30, 2019$347  $16,270  $12,913  $23  (76,260) $(6,190) 
Net income—  —  278  —  —  —  
Common dividends ($0.79 per share)—  —  (215) —  —  —  
Preferred dividends—  —  (38) —  —  —  
Common stock issued for share-based compensation and other plans, net—  (32) —  1  758  (38) 
Share-based compensation—  82  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  (12) —  
Balance at December 31, 2019$347  $16,320  $12,938  $24  (75,514) $(6,228) 
Net income—  —  183  —  —  —  
Common dividends ($0.79 per share)—  —  (215) —  —  —  
Preferred dividends—  —  (38) —  —  —  
Common stock issued for share-based compensation and other plans, net—  (91) —  (1) 573  70  
Share-based compensation—  58  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  30  —  
Balance at March 31, 2020$347  $16,288  $12,868  $23  (74,911) $(6,158) 
Net income—  —  286  —  —  —  
Common dividends ($0.79 per share)—  —  (229) —  —  —  
Preferred dividends—  —  (9) —  —  —  
Common stock issued for:
Preferred shares converted to common shares12  (9) —  —  —  —  
Public equity offerings6  2,909  —  —  —  —  
Share-based compensation and other plans, net—  (12) —  —  127  13  
Share-based compensation—  52  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  13  —  
Balance at June 30, 2020$365  $19,228  $12,916  $23  (74,771) $(6,145) 
 Common
Stock  Issued
at Par Value		Capital in
Excess of
Par Value		Retained
Earnings		Deferred
Compensation		Treasury Stock
(Millions of dollars)Shares (in
thousands)		Amount
Balance at September 30, 2018$347  $16,179  $12,596  $22  (78,463) $(6,243) 
Net income—  —  599  —  —  —  
Common dividends ($0.77 per share)—  —  (207) —  —  —  
Preferred dividends—  —  (38) —  —  —  
Common stock issued for share-based compensation and other plans, net—  (97) —  2  851  9  
Share-based compensation—  92  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  (12) —  
Effect of change in accounting principles—  —  68  —  —  —  
Balance at December 31, 2018$347  $16,174  $13,018  $24  (77,624) $(6,235) 
Net income—  —  20  —  —  —  
Common dividends ($0.77 per share)—  —  (208) —  —  —  
Preferred dividends—  —  (38) —  —  —  
Common stock issued for share-based compensation and other plans, net—  (57) (1) (1) 618  42  
Share-based compensation—  60  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  50  —  
Balance at March 31, 2019$347  $16,177  $12,792  $23  (76,955) $(6,192) 
Net income—  —  451  —  —  —  
Common dividends ($0.77 per share)—  —  (208) —  —  —  
Preferred dividends—  —  (38) —  —  —  
Common stock issued for share-based compensation and other plans, net—  (6) —  —  219  (8) 
Share-based compensation—  56  —  —  —  —  
Common stock held in trusts, net (a)—  —  —  —  4  —  
Balance at June 30, 2019$347  $16,227  $12,997  $23  (76,733) $(6,201) 
(a)Common stock held in trusts represents rabbi trusts in connection with deferred compensation under the Company’s employee salary and bonus deferral plan and directors’ deferral plan.
Common and Preferred Stock Conversions and Offerings
In accordance with their terms, the Company's 2.475 million mandatory convertible preferred shares that were issued in May 2017 in connection with the Company's acquisition of C.R. Bard, Inc. ("Bard") were converted into 11.703 million shares of BD common stock on the mandatory conversion date of May 1, 2020.
Also, in May 2020, the Company completed registered public offerings of equity securities including:
•6.250 million shares of the Company's common stock for net proceeds of $1.459 billion (gross proceeds of $1.500 billion).
•1.500 million shares of the Company's mandatory convertible preferred stock (ownership is held in the form of depositary shares, each representing a 1/20th interest in a share of preferred stock) for net proceeds of $1.459 billion (gross proceeds of $1.500 billion). If and when declared, dividends on the mandatory convertible preferred stock will be payable on a cumulative basis at an annual rate of 6.00% on the liquidation preference of $1,000 per preferred share ($50 per depositary share). The shares of preferred stock are convertible to a minimum of 5.2 million and up to a maximum of 6.2 million shares of Company common stock at an exchange ratio, based on the market price of the Company’s common stock at the date of conversion, and no later than the mandatory conversion date of June 1, 2023.
The Company will use the net proceeds from these offerings for general corporate purposes, which may include funding for the Company's growth strategy through organic investments and acquisitions, working capital, capital expenditures and repayment of outstanding indebtedness.
The components and changes of Accumulated other comprehensive income (loss) for the first three quarters of fiscal years 2020 and 2019 were as follows:
(Millions of dollars)TotalForeign Currency
Translation		Benefit Plans
Cash Flow Hedges
Balance at September 30, 2019$(2,283) $(1,256) $(1,005) $(23) 
Other comprehensive income before reclassifications, net of taxes63  26  —  37  
Amounts reclassified into income, net of taxes19  —  17  2  
Balance at December 31, 2019$(2,202) $(1,230) $(988) $16  
Other comprehensive loss before reclassifications, net of taxes(237) (125) —  (111) 
Amounts reclassified into income, net of taxes19  —  17  2  
Balance at March 31, 2020$(2,419) $(1,355) $(971) $(93) 
Other comprehensive income before reclassifications, net of taxes34  34  —  —  
Amounts reclassified into income, net of taxes19  —  17  2  
Balance at June 30, 2020$(2,367) $(1,321) $(955) $(91) 
(Millions of dollars)TotalForeign Currency
Translation		Benefit Plans
Cash Flow Hedges
Balance at September 30, 2018$(1,909) $(1,162) $(729) $(17) 
Other comprehensive (loss) income before reclassifications, net of taxes(32) (35) 3  (1) 
Amounts reclassified into income, net of taxes14  —  13  1  
Balance at December 31, 2018$(1,927) $(1,197) $(714) $(16) 
Other comprehensive income (loss) before reclassifications, net of taxes74  76  —  (2) 
Amounts reclassified into income, net of taxes14  —  13  1  
Balance at March 31, 2019$(1,839) $(1,121) $(701) $(17) 
Other comprehensive loss before reclassifications, net of taxes(68) (68) —  —  
Amounts reclassified into income, net of taxes10  —  12  (2) 
Balance at June 30, 2019$(1,897) $(1,189) $(689) $(19) 
The amounts of foreign currency translation recognized in other comprehensive income during the three and nine months ended June 30, 2020 and 2019 included net (losses) gains relating to net investment hedges. The amounts recognized in other comprehensive income relating to cash flow hedges during the nine months ended June 30, 2020 related to forward starting interest rate swaps. Additional disclosures regarding the Company's derivatives are provided in Note 12.