Note 6 – Segment Data

Effective October 1, 2014, the Company’s organizational structure was realigned to better complement its customer-focused solutions strategy and is based upon two principal business segments: BD Medical (“Medical”) and BD Life Sciences (“Life Sciences”). The composition of the Medical segment remains unchanged from its historical composition. The Life Sciences segment consists of the former BD Diagnostics and BD Biosciences segments. Beginning on October 1, 2014, decisions about resource allocation and performance assessment are made separately for the Medical and Life Sciences segments. Prior-period information presented for comparative purposes has been revised to reflect the new two-segment organizational structure. The Company’s two principal business segments are strategic businesses that are managed separately because each one develops, manufactures and markets distinct products and services. The Company evaluates performance of its business segments and allocates resources to them primarily based upon operating income. Segment operating income represents revenues reduced by product costs and operating expenses. Financial information for the Company’s segments was as follows:


	Three Months Ended December 31,
(Millions of dollars)	2014			2013
Revenues (A)
Medical	$	1,072		$	1,064
Life Sciences		979			951

Total Revenues	$	2,051		$	2,015

Segment Operating Income
Medical	$	304		$	294
Life Sciences		214			234

Total Segment Operating Income		517			528
Unallocated Items (B)		(232	) (C)		(170	)

Income Before Income Taxes	$	285		$	359

(A)	Intersegment revenues are not material.

(B)	Includes primarily interest, net; foreign exchange; corporate expenses; share-based compensation expense; and acquisition-related costs.

(C)

Includes $44 million of financing costs, as well as $23 million of integration and transaction costs, associated with the pending CareFusion acquisition. Additional disclosures regarding this pending acquisition are provided in Note 9. Also includes a $12 million charge for RTI’s attorneys’ fees associated with the unfavorable verdict returned in the antitrust and false advertising lawsuit RTI filed against BD. For further discussion, refer to Note 5 in the notes to the financial statements.

Revenues by geographic areas were as follows:


	Three Months Ended December 31,
(Millions of dollars)	2014		2013
Revenues
United States	$	881	$	849
International		1,170		1,166

Total Revenues	$	2,051	$	2,015