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EQUITY (Tables)
 6 Months Ended
Jun. 30, 2019
Stockholders' Equity Note [Abstract]  
Changes in Shareholders' equity
The changes in Shareholders’ equity follow:
 
Ordinary shares
 
Capital in excess of par value
 
Retained earnings
 
Accumulated other comprehensive loss
 
Shares held in trust
 
Total Eaton shareholders' equity
 
Noncontrolling interests
 
Total equity
 
 
 
 
 
 
 
 
(In millions)
Shares
 
Dollars
 
 
 
 
 
 
 
Balance at December 31, 2018
423.6

 
$
4

 
$
12,090

 
$
8,161

 
$
(4,145
)
 
$
(3
)
 
$
16,107

 
$
35

 
$
16,142

Net income
—

 
—

 
—

 
522

 
—

 
—

 
522

 
—

 
522

Other comprehensive income, net of tax
 
 
 
 
 
 
 
 
67

 
 
 
67

 
—

 
67

Cash dividends paid and accrued
—

 
—

 
—

 
(309
)
 
—

 
—

 
(309
)
 
(1
)
 
(310
)
Issuance of shares under equity-based compensation plans
1.4

 
—

 
(5
)
 
1

 
—

 
—

 
(4
)
 
—

 
(4
)
Repurchase of shares
(1.9
)
 
—

 
—

 
(150
)
 
—

 
—

 
(150
)
 
—

 
(150
)
Balance at March 31, 2019
423.1

 
$
4

 
$
12,085

 
$
8,225

 
$
(4,078
)
 
$
(3
)
 
$
16,233

 
$
34

 
$
16,267

Net income
—

 
—

 
—

 
636

 
—

 
—

 
636

 
—

 
636

Other comprehensive loss, net of tax
 
 
 
 
 
 
 
 
(30
)
 
 
 
(30
)
 
 
 
(30
)
Cash dividends paid
—

 
—

 
—

 
(300
)
 
—

 
—

 
(300
)
 
(1
)
 
(301
)
Issuance of shares under equity-based compensation plans
0.1

 
—

 
27

 
(1
)
 
—

 
1

 
27

 
—

 
27

Acquisition of a business
—

 
—

 
—

 
—

 
—

 
—

 
—

 
51

 
51

Acquisition of noncontrolling interest obtained through tender offer
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(29
)
 
(29
)
Repurchase of Shares
(3.2
)
 
—

 
—

 
(260
)
 
—

 
—

 
(260
)
 
—

 
(260
)
Balance at June 30, 2019
420.0

 
$
4

 
$
12,112

 
$
8,300

 
$
(4,108
)
 
$
(2
)
 
$
16,306

 
$
55

 
$
16,361

 
Ordinary shares
 
Capital in excess of par value
 
Retained earnings
 
Accumulated other comprehensive loss
 
Shares held in trust
 
Total Eaton shareholders' equity
 
Noncontrolling interests
 
Total equity
 
 
 
 
 
 
 
 
(In millions)
Shares
 
Dollars
 
 
 
 
 
 
 
Balance at December 31, 2017
439.9

 
$
4

 
$
11,987

 
$
8,669

 
$
(3,404
)
 
$
(3
)
 
$
17,253

 
$
37

 
$
17,290

Cumulative-effect adjustment upon adoption of ASU 2014-09
—

 
—

 
—

 
(2
)
 
—

 
—

 
(2
)
 
—

 
(2
)
Cumulative-effect adjustment upon adoption of ASU 2016-16
—

 
—

 
—

 
(199
)
 
—

 
—

 
(199
)
 
—

 
(199
)
Net income
—

 
—

 
—

 
488

 
—

 
—

 
488

 
(1
)
 
487

Other comprehensive income, net of tax

 

 

 

 
296

 

 
296

 
—

 
296

Cash dividends paid and accrued
—

 
—

 
—

 
(290
)
 
—

 
—

 
(290
)
 
—

 
(290
)
Issuance of shares under equity-based compensation plans
1.1

 
—

 
18

 
(1
)
 
—

 
—

 
17

 
—

 
17

Changes in noncontrolling interest of consolidated subsidiaries - net
—

 
—

 
—

 
—

 
—

 
—

 
—

 
2

 
2

Repurchase of shares
(3.7
)
 
—

 
—

 
(300
)
 
—

 
—

 
(300
)
 
—

 
(300
)
Balance at March 31, 2018
437.3

 
$
4

 
$
12,005

 
$
8,365

 
$
(3,108
)
 
$
(3
)
 
$
17,263

 
$
38

 
$
17,301

Net income
—

 
—

 
—

 
610

 
—

 
—

 
610

 
1

 
611

Other comprehensive loss, net of tax
—

 
 
 
 
 
 
 
(624
)
 
 
 
(624
)
 
 
 
(624
)
Cash dividends paid
—

 
—

 
—

 
(288
)
 
—

 
—

 
(288
)
 
(1
)
 
(289
)
Issuance of shares under equity-based compensation plans
—

 
—

 
28

 
—

 
—

 
1

 
29

 
—

 
29

Changes in noncontrolling interest of consolidated subsidiaries - net
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(3
)
 
(3
)
Repurchase of Shares
(4.0
)
 
—

 
—

 
(300
)
 
—

 
—

 
(300
)
 
—

 
(300
)
Balance at June 30, 2018
433.3

 
$
4

 
$
12,033

 
$
8,387

 
$
(3,732
)
 
$
(2
)
 
$
16,690

 
$
35

 
$
16,725
Schedule of Accumulated Other Comprehensive Loss
The changes in Accumulated other comprehensive loss follow:
 
Currency translation and related hedging instruments
 
Pensions and other postretirement benefits
 
Cash flow
hedges
 
Total
Balance at December 31, 2018
$
(2,864
)
 
$
(1,278
)
 
$
(3
)
 
$
(4,145
)
Other comprehensive (loss) income
   before reclassifications
17

 
—

 
(30
)
 
(13
)
Amounts reclassified from Accumulated other
   comprehensive loss
—

 
53

 
(3
)
 
50

Net current-period Other comprehensive
   (loss) income
17

 
53

 
(33
)
 
37

Balance at June 30, 2019
$
(2,847
)
 
$
(1,225
)
 
$
(36
)
 
$
(4,108
)
Reclassification Out of Accumulated Other Comprehensive Loss
The reclassifications out of Accumulated other comprehensive loss follow:
 
Six months ended June 30, 2019
 
Consolidated statements
of income classification
Amortization of defined benefit pensions and other postretirement benefits items
 
 
 
Actuarial loss and prior service cost
$
(67
)
1 
 
Tax benefit
14

 
 
Total, net of tax
(53
)
 
 
 
 
 
 
Gains and (losses) on cash flow hedges
 
 
 
Currency exchange contracts
4

 
Cost of products sold
Tax expense
(1
)
 
 
Total, net of tax
3

 
 
 
 
 
 
Total reclassifications for the period
$
(50
)
 
 

1 These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 8 for additional information about pension and other postretirement benefits items.
Calculation of Net Income Per Ordinary Share Attributable to Shareholders
A summary of the calculation of net income per share attributable to Eaton ordinary shareholders follows:
 
Three months ended
June 30
 
Six months ended
June 30
(Shares in millions)
2019
 
2018
 
2019
 
2018
Net income attributable to Eaton ordinary shareholders
$
636

 
$
610

 
$
1,158

 
$
1,098

 
 
 
 
 
 
 
 
Weighted-average number of ordinary shares outstanding - diluted
423.1

 
437.3

 
424.5

 
439.5

Less dilutive effect of equity-based compensation
1.5

 
2.1

 
1.7

 
2.5

Weighted-average number of ordinary shares outstanding - basic
421.6

 
435.2

 
422.8

 
437.0

 
 
 
 
 
 
 
 
Net income per share attributable to Eaton ordinary shareholders
 
 
 
 
 
 
 
Diluted
$
1.50

 
$
1.39

 
$
2.73

 
$
2.50

Basic
1.51

 
1.40

 
2.74

 
2.51