Business Segment Information

6 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Business Segment Information

Business Segment Information

Segment information is summarized as follows (in millions):

	Commercial Truck		Aftermarket & Industrial		Eliminations		Total
Three Months Ended March 31, 2022
External Sales	$	897	$	257	$	—	$	1,154
Intersegment Sales	41		5		(46)		—
Total Sales	$	938	$	262	$	(46)	$	1,154
Three Months Ended March 31, 2021
External Sales	$	742	$	241	$	—	$	983
Intersegment Sales	35		6		(41)		—
Total Sales	$	777	$	247	$	(41)	$	983

	Commercial Truck		Aftermarket & Industrial		Eliminations		Total
Six Months Ended March 31, 2022
External Sales	$	1,645	$	493	$	—	$	2,138
Intersegment Sales	78		10		(88)		—
Total Sales	$	1,723	$	503	$	(88)	$	2,138
Six Months Ended March 31, 2021
External Sales	$	1,402	$	470	$	—	$	1,872
Intersegment Sales	66		11		(77)		—
Total Sales	$	1,468	$	481	$	(77)	$	1,872

	Three Months Ended March 31,				Six Months Ended March 31,
	2022		2021		2022		2021
Segment adjusted EBITDA:
Commercial Truck	$	78	$	73	$	147	$	136
Aftermarket & Industrial	44		34		82		69
Segment adjusted EBITDA	122		107		229		205
Unallocated legacy and corporate income, net (1)	5		4		11		8
Interest expense, net	(12)		(17)		(25)		(45)
Provision for income taxes	(15)		(22)		(27)		(29)
Depreciation and amortization	(25)		(25)		(50)		(52)
Noncontrolling interests	(3)		(3)		(7)		(4)
Loss on sale of receivables	(2)		(1)		(3)		(2)
Restructuring	—		(2)		(4)		(8)
Brazil VAT Credit (2)	—		22		—		22
Transaction costs (3)	(9)		—		(9)		—
Income from continuing operations attributable to Meritor, Inc.	$	61	$	63	$	115	$	95

(1) Unallocated legacy and corporate income, net represents items that are not directly related to the company's business segments. These items primarily include pension and retiree medical costs associated with sold businesses and other legacy costs for environmental.

(2) Amount relates to a pre-tax loss recovery, net of legal expenses, on the overpayment of VAT in Brazil.

(3) \Represents transaction expenses primarily related to the Merger.

	March 31, 2022		September 30, 2021
Segment Assets:
Commercial Truck	$	2,338	$	1,961
Aftermarket & Industrial	712		654
Total segment assets	3,050		2,615
Corporate (1)	522		496
Less: Accounts receivable sold under off-balance sheet factoring programs (2)	(250)		(173)
Total assets	$	3,322	$	2,938

(1) Corporate assets consist primarily of cash, deferred income taxes and prepaid pension costs.

(2) At March 31, 2022 and September 30, 2021, segment assets include $250 million and $173 million, respectively, of accounts receivable sold under off-balance sheet accounts receivable factoring programs (see Note 7). These sold receivables are included in segment assets as the CODM reviews segment assets inclusive of these balances.