SHAREHOLDERS’ EQUITY

Common Stock

The company is authorized to issue 500 million shares of common stock, with a par value of $1 per share, and 30 million shares of Preferred Stock, without par value, of which 2 million shares are designated as Series A Junior Participating Preferred Stock (Junior Preferred Stock). No shares of Preferred Stock or Junior Preferred Stock have been issued.

In the first quarter of fiscal year 2015, the company filed a shelf registration statement with the Securities and Exchange Commission, registering an unlimited amount of debt and/or equity securities that may be offered in one or more offerings on terms to be determined at the time of sale.

The company has reserved approximately 13 million shares of common stock in connection with its 2010 Long-Term Incentive Plan, as amended ("LTIP") for grants of non-qualified stock options, incentive stock options, stock appreciation rights, restricted stock, performance shares, restricted share units and stock awards to key employees and directors. At September 30, 2017, there were 4.8 million shares available for future grants under the LTIP.

Repurchase Authorizations

On July 21, 2016, the Board of Directors authorized the repurchase of up to $100 million of the company’s common stock and up to $150 million aggregate principal amount of any of the company’s debt securities (including convertible debt securities), in each case from time to time through open market purchases, privately negotiated transactions or otherwise, until September 30, 2019, subject to compliance with legal and regulatory requirements and our debt covenants. This repurchase authorization superseded and replaced the January 2015 repurchase authorization described below. There was an insignificant amount of common stock and $100 million in debt security repurchases that were made under these authorizations during fiscal year 2017.

In June 2014, the company's Board of Directors authorized the repurchase of up to $210 million of the company's equity and equity-linked securities (including convertible debt securities), subject to the achievement of its M2016 net debt reduction target and compliance with legal and regulatory requirements and its debt covenants. During fiscal year 2016, the company repurchased 8.7 million shares of common stock for $81 million (including commission costs) and all $55 million outstanding principal amount 4.625% convertible notes at 100 percent of the face value of the notes. In the aggregate, the company repurchased 12.8 million shares of common stock for $136 million (including commission costs), $19 million principal amount of its 4.0 percent convertible notes, and all of the $55 million outstanding principal amount 4.625% convertible notes at 100 percent of the face value of the notes. (see Note 17). The repurchase program under the $210 million authorization was complete as of September 30, 2016.

In January 2015, the Offering Committee of the company's Board of Directors authorized the repurchase of up to $150 million aggregate principal amount of any of the company's debt securities (including convertible debt securities). No repurchases were made under this authorization prior to its replacement with the authorization described above on July 21, 2016.

In May 2015, the Offering Committee of the company's Board of Directors authorized the repurchase of up to $175 million aggregate principal amount at maturity of the company’s 7.875 Percent Convertible Notes, subject to compliance with legal and regulatory requirements and its debt covenants. This repurchase authorization expired on September 30, 2015. During fiscal year 2015, the company repurchased $110 million principal amount at maturity of the company's 7.875 Percent Convertible Notes for $179 million (see Note 17) pursuant to this repurchase authorization.

Accumulated Other Comprehensive Loss (AOCL)

The components of AOCL as reported in the Consolidated Balance Sheet and Statement of Equity (Deficit), and the changes in AOCL by components, net of tax, are as follows (in millions):



	Foreign Currency Translation			Employee Benefit Related Adjustments			Unrealized Loss			Total
Balance at September 30, 2016	$	(66	)	$	(740	)	$	(3	)	$	(809	)
Other comprehensive income (loss) before reclassification	25			200			(1		)	224
Amounts reclassified from accumulated other comprehensive loss	—			40			—			40
Net current-period other comprehensive income (loss)	$	25		$	240		$	(1	)	$	264
Balance at September 30, 2017	$	(41	)	$	(500	)	$	(4	)	$	(545	)



Details about Accumulated Other Comprehensive Loss Components	Amount Reclassified from Accumulated Other Comprehensive Loss			Affected Line Item in the Consolidated Statement of Operations
Employee Benefit Related Adjustment
Amortization of prior service costs	$	(5	)	^(a)
Amortization of actuarial losses	45			^(a)
	40			Total before tax
	(12		)	Tax (benefit) expense
	$	28		Net of tax
Total reclassifications for the period	$	28		Net of tax

^(a) These accumulated other comprehensive income components are included in the computation of net periodic pension and retiree medical expense (see Note 21 and 22 for additional details), which is recorded in cost of sales and selling, general and administrative expenses



	Foreign Currency Translation			Employee Benefit Related Adjustments			Unrealized Loss			Total
Balance at September 30, 2015	$	(54	)	$	(705	)	$	(7	)	$	(766	)
Other comprehensive income (loss) before reclassification	(12		)	(70		)	4			(78		)
Amounts reclassified from accumulated other comprehensive loss	—			35			—			35
Net current-period other comprehensive income (loss)	$	(12	)	$	(35	)	$	4		$	(43	)
Balance at September 30, 2016	$	(66	)	$	(740	)	$	(3	)	$	(809	)



Details about Accumulated Other Comprehensive Loss Components	Amount Reclassified from Accumulated Other Comprehensive Loss			Affected Line Item in the Consolidated Statement of Operations
Employee Benefit Related Adjustment
Amortization of prior service costs	$	(1	)	^(a)
Amortization of actuarial losses	36			^(a)
	35			Total before tax
	—			Tax (benefit) expense
	$	35		Net of tax


Total reclassifications for the period	$	35		Net of tax

^(a) These accumulated other comprehensive income components are included in the computation of net periodic pension and retiree medical expense (see Note 21 and 22 for additional details).



	Foreign Currency Translation			Employee Benefit Related Adjustments			Unrealized Loss			Total
Balance at September 30, 2014	$	41		$	(789	)	$	(1	)	$	(749	)
Other comprehensive income (loss) before reclassification	(96		)	(18		)	(6		)	(120		)
Amounts reclassified from accumulated other comprehensive loss	1			102			—			103
Net current-period other comprehensive income (loss)	$	(95	)	$	84		$	(6	)	$	(17	)
Balance at September 30, 2015	$	(54	)	$	(705	)	$	(7	)	$	(766	)



Details about Accumulated Other Comprehensive Loss Components	Amount Reclassified from Accumulated Other Comprehensive Loss			Affected Line Item in the Consolidated Statement of Operations
Employee Benefit Related Adjustment
Amortization of prior service costs	$	(1	)	^(a)
Amortization of actuarial losses	47			^(a)
Recognized prior service costs due to settlement	56			^(a)
	102			Total before tax
	—			Tax (benefit) expense
	$	102		Net of tax



Employee Benefit Related Adjustment
Foreign currency translation	$	1		^(b)
	1			Total before tax
	—			Tax (benefit) expense
	$	1		Net of tax

Total reclassifications for the period	$	103		Net of tax

^(a) These accumulated other comprehensive income components are included in the computation of net periodic pension and retiree medical expense (see Note 21 and 22 for additional details).

^(b) These accumulated other comprehensive income components are included in the computation of loss from discontinued operations (see Note 3).