10-K

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

(Mark One)

X ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2014

or

— TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from     to  

Commission File No. 001-35971

ALLEGION PUBLIC LIMITED COMPANY

(Exact name of registrant as specified in its charter)

Ireland	98-1108930
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

Block D

Iveagh Court

Harcourt Road

Dublin 2, Ireland

(Address of principal executive offices)

Registrant’s telephone number, including area code: +(353) (1) 2546200

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Name of each exchange on which registered
Ordinary Shares,	New York Stock Exchange
Par Value $0.01 per Share

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES  X       NO

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. YES    NO  X  

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES  X      NO

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). YES  X      NO

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.:

Large accelerated filer    X	Accelerated filer
Non-accelerated filer ___	Smaller reporting company
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). YES     NO  X  

The aggregate market value of ordinary shares held by nonaffiliates on June 30, 2014 was approximately $5.4 billion based on the closing price of such stock on the New York Stock Exchange.

The number of ordinary shares outstanding as of February 24, 2015 was 96,009,137.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the registrant’s definitive proxy statement to be filed within 120 days of the close of the registrant’s fiscal year in connection with the registrant’s Annual General Meeting of Shareholders to be held June 10, 2015 (the "Proxy Statement") are incorporated by reference into Part II and Part III of this Form 10-K.

ALLEGION PLC

Form 10-K

For the Fiscal Year Ended December 31, 2014

TABLE OF CONTENTS

			Page
Part I	Item 1.	Business	3
	Item 1A.	Risk Factors	10
	Item 1B.	Unresolved Staff Comments	21
	Item 2.	Properties	21
	Item 3.	Legal Proceedings	21
	Item 4.	Mine Safety Disclosures	22
Part II	Item 5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	23
	Item 6.	Selected Financial Data	25
	Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	26
	Item 7A.	Quantitative and Qualitative Disclosure About Market Risk	43
	Item 8.	Financial Statements and Supplementary Data	45
	Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	47
	Item 9A.	Controls and Procedures	47
	Item 9B.	Other Information	47
Part III	Item 10.	Directors, Executive Officers and Corporate Governance	48
	Item 11.	Executive Compensation	48
	Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	48
	Item 13.	Certain Relationships and Related Transactions, and Director Independence	48
	Item 14.	Principal Accountant Fees and Services	48
Part IV	Item 15.	Exhibits and Financial Statement Schedules	49
	Signatures		54

CAUTIONARY STATEMENT FOR FORWARD LOOKING STATEMENTS

Certain statements in this report, other than purely historical information, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “forecast,” “outlook,” “intend,” “strategy,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” or the negative thereof or variations thereon or similar terminology generally intended to identify forward-looking statements.

Forward-looking statements may relate to such matters as projections of revenue, margins, expenses, tax provisions, earnings, cash flows, benefit obligations, dividends, share purchases or other financial items; any statements of the plans, strategies and objectives of management for future operations, including those relating to any statements concerning expected development, performance or market share relating to our products and services; any statements regarding future economic conditions or our performance; any statements regarding pending investigations, claims or disputes; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. These statements are based on currently available information and our current assumptions, expectations and projections about future events. While we believe that our assumptions, expectations and projections are reasonable in view of the currently available information, you are cautioned not to place undue reliance on our forward-looking statements. You are advised to review any further disclosures we make on related subjects in materials we file with or furnish to the SEC. Forward-looking statements speak only as of the date they are made and are not guarantees of future performance. They are subject to future events, risks and uncertainties - many of which are beyond our control - as well as potentially inaccurate assumptions, that could cause actual results to differ materially from our expectations and projections. We do not undertake to update any forward-looking statements.

Factors that might affect our forward-looking statements include, among other things:

• economic, political and business conditions in the markets in which we operate;

• the demand for our products and services;

• competitive factors in the industry in which we compete;

• the ability to protect and use intellectual property;

• fluctuations in currency exchange rates

• the ability to complete and integrate any acquisitions

• changes in tax requirements (including tax rate changes, new tax laws and revised tax law interpretations);

• the outcome of any litigation, governmental investigations or proceedings;

• interest rate fluctuations and other changes in borrowing costs;

• other capital market conditions, including availability of funding sources and currency exchange rate fluctuations;

• availability of and fluctuations in the prices of key commodities and the impact of higher energy prices;

• the ability to achieve cost savings in connection with our productivity programs;

• potential further impairment of our goodwill, indefinite-lived intangible assets and/or our long-lived assets;

• the possible effects on us of future legislation in the U.S. that may limit or eliminate potential U.S. tax benefits resulting from our incorporation in a non-U.S. jurisdiction, such as Ireland, or deny U.S. government contracts to us based upon our incorporation in such non-U.S. jurisdiction;

• our ability to fully realize the expected benefits of our spin-off from Ingersoll Rand;

• the impact of potential technology or data security breaches; and

• the impact our substantial leverage may have on our business and operations

Some of the significant risks and uncertainties that could cause actual results to differ materially from our expectations and projections are described more fully in Item 1A “Risk Factors.” You should read that information in conjunction with “Management's Discussion and Analysis of Financial Condition and Results of Operations” in Item 7 of this report and our Combined and Consolidated Financial Statements and related notes in Item 8 of this report. We note such information for investors as permitted by the Private Securities Litigation Reform Act of 1995.

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PART I

Item 1.BUSINESS

Overview

Allegion plc ("Allegion," "we," "us" or "the Company") is a leading global provider of security products and solutions that keep people safe, secure and productive. We make the world safer as a company of experts, securing the places where people thrive and we create peace of mind by pioneering safety and security. We offer an extensive and versatile portfolio of mechanical and electronic security products across a range of market-leading brands. Our experts across the globe deliver high-quality security products, services and systems and we use our deep expertise to serve as trusted partners to end-users who seek customized solutions to their security needs.

Allegion Principal Products
Door closers and controls	Door and door frames (steel)
Electronic security products	Electronic and biometric access control systems
Exit devices	Locks, locksets and key systems
Time, attendance and workforce productivity systems	Video analytics systems
Other accessories

Access control security products and solutions are critical elements in every building. Most door openings are custom-configured to maximize a room’s particular form and function while also meeting local and national building and safety code requirements and end-user security needs. Most buildings have multiple door openings, each serving its own purpose and requiring different specific access-control solutions. Each door must fit exactly within its frame, be prepared precisely for its hinges, synchronize with its specific lockset and corresponding latch and align with a specific key to secure the door. Moreover, security products are increasingly linked electronically, creating additional functionality and complexity.

We believe our ability to deliver a wide range of solutions that can be custom-configured to meet end-users’ security needs is a key driver of our success. We accomplish this with:

• Our extensive and versatile product portfolio, combined with our deep expertise, which enables us to deliver the right products and solutions to meet diverse security and functional specifications;

• Our consultative approach and expertise, which enables us to develop the most efficient and appropriate building security and access-control specifications to fulfill the unique needs of our end-users and their partners, including architects, contractors, home-builders and engineers; and

• Our operational excellence capabilities, including our global manufacturing operations and agile supply chain, which facilitate our ability to deliver specific product and system configurations to end-users worldwide, quickly and efficiently.

Based on information derived from third party sources, we estimate that the size of the global markets we serve was more than $30 billion in revenue in 2014, comprised of $25 billion for mechanical hardware and electronic security products and more than $5 billion for time, attendance, and workforce productivity systems and systems integration. We believe that the security products industry will benefit from several global macroeconomic and long-term demographic trends, including:

• recovery of construction markets in key North American markets

• heightened awareness of security requirements,

• increased global urbanization, and

• the shift to a digital, interconnected environment.

In the more established economies of North America and Europe, the security products industry’s compound annual growth rate was 1 to 2% per year due to uneven economic conditions experienced over the past three years. We believe our markets are poised for a cyclical recovery driven in part by accelerating growth in the underlying commercial and residential construction markets and improved consumer confidence in the United States offsetting unfavorable foreign currency exchange rates. Additionally, we expect growth in the global electronic product categories we serve to outperform the security products industry as end-users adopt newer technologies in their facilities.

We operate in three geographic regions: Americas; Europe, Middle East, India and Africa ("EMEIA"); and Asia Pacific. We sell our products and solutions under the following brands:

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Allegion Brands
(listed alphabetically for each region)
Product Category	Americas	EMEIA	Asia Pacific
Locks/Locksets/Key Systems
Door Closers and Controls/Exit Devices
Electronic Products and Access Control Systems, including Time, Attendance and Workforce Productivity and Video Analytics Systems
Doors and Door Frames
Other Accessories

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We sell a wide range of security products and solutions for end-users in commercial, institutional and residential facilities worldwide, including into the education, healthcare, government, hospitality, commercial office and single and multi-family residential markets. Our strategic brands are Schlage®, Von Duprin®, LCN®, CISA® and Interflex®. We believe Schlage, Von Duprin and LCN hold the No. 1 position in their primary product categories in North America and CISA and Interflex hold the No.1 or No. 2 position in their primary product categories in certain European markets.

For the year ended December 31, 2014, we generated revenues of $2,118.3 million and operating income of $326.3 million.

Revenue By Geographic Destination	Revenue By Product Category

History and Developments

Allegion plc was incorporated in Ireland on May 9, 2013, to hold Ingersoll Rand’s commercial and residential security businesses. On December 1, 2013, Allegion became a stand-alone public company after Ingersoll Rand completed the separation of these businesses from the rest of Ingersoll Rand via the transfer of these businesses from Ingersoll Rand to Allegion and the issuance by Allegion of ordinary shares directly to Ingersoll Rand’s shareholders (the "Spin-off"). Our security businesses have long and distinguished operating histories. Several of our brands were established more than 75 years ago, and many of our brands originally created their categories:

• Von Duprin, established in 1908, was awarded the first exit device patent;

• Schlage, established in 1920, was awarded the first patents granted for the cylindrical lock and the push button lock;

• LCN, established in 1926, created the first door closure;

• CISA, established in 1926, devised the first electronically controlled lock; and

• Steelcraft Doors, established in 1927, developed the first mass-produced hollow metal door in 1942.

We have built upon these founding legacies since our entry into the security products market through the acquisition of Schlage, Von Duprin and LCN in 1974. Today, we continue to develop and introduce innovative and market-leading products. Recent examples include: Schlage NDE series wireless commercial lock with the ENGAGE connectivity platform; Schlage Touchscreen Deadbolt, a residential lock; CISA eSigno, a hotel locking platform; eVayo, a European electronics security platform; Von Duprin Concealed Vertical Cable System that significantly reduces total installation time and ongoing maintenance requirements; aptiQ, a versatile and multi-technology card reader platform; and Schlage’s AD/CO, an electronic locking platform that allows end-users to add additional features without lock replacement.

Industry and Competition

Based on third party sources, we estimate that the size of the global markets we serve was more than $31 billion in revenue in 2014, comprised of $26 billion for mechanical hardware and electronic security products and more than $5 billion for time, attendance, and workforce productivity systems and systems integration, with compound annual growth of about 1 to 2% per year over the past three years. This growth rate primarily reflects cyclical challenges in the commercial and residential construction markets throughout North America and Europe as certain developing economies experienced higher growth rates during this period. Additionally, growth in electronic security products and solutions continues to outperform the industry as a whole as end-users adopt newer technologies in their facilities. We expect the security products industry will benefit from favorable long-term

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demographic trends such as continued urbanization of the global population, increased concerns about safety and security and technology-driven innovation.

The security products markets are highly competitive and fragmented throughout the world, with a number of large multi-national companies and thousands of smaller regional and local companies. This high fragmentation primarily reflects local regulatory requirements and highly variable end-user needs. We believe our principal global competitors are Assa Abloy AB, DORMA Holding GmbH, Kaba Holding AG, and Stanley Black & Decker Inc. We also face competition in various markets and product categories throughout the world, including from Spectrum Brands Holdings, Inc. in the North American residential market. As we move into more technologically-advanced product categories, we may also compete against smaller, more specialized competitors.

Our success depends on a variety of factors, including brand and reputation, product breadth, quality and delivery capabilities, price and service capabilities. As many of our businesses sell through wholesale distribution, our success also depends on building and partnering with a strong channel network. Although price often serves as an important customer decision criterion, we also compete based on the breadth and quality of our products and solutions, our ability to custom-configure solutions to meet individual end-user requirements and our global supply chain.

Our Reporting Segments

We manufacture and sell mechanical and electronic security products and solutions in approximately 130 countries. Approximately 89% of our 2014 revenues were to customers in the North America, Western Europe and the Asia-Pacific regions.

The following table presents the relative percentages of total segment revenue attributable to each reporting segment for each of the last three fiscal years. See Note 21, “Business Segment Information,” to our annual combined and consolidated financial statements for information regarding net revenues, operating income, and total assets by reportable segment:

	For the Years Ended December 31,
	2014	2013	2012
Americas	74%	73%	73%
EMEIA	18%	19%	20%
Asia Pacific	8%	8%	7%

Our Americas segment provides security products and solutions in approximately 30 countries throughout North America and parts of South America. The segment offers a broad range of products and solutions including locks, locksets, key systems, door closers, exit devices, doors and door frames, electronic product and access control systems to end-users in the commercial, institutional and residential markets, including into the education, healthcare, government, commercial office and single and multi-family residential markets. This segment’s strategic brands are Schlage, Von Duprin and LCN.

Our EMEIA segment provides security products and solutions in approximately 85 countries throughout Europe, the Middle East, India and Africa. The segment offers the same portfolio of products as the Americas segment, as well as time and attendance and workforce productivity solutions. This segment’s strategic brands are Bricard, CISA and Interflex. This segment also resells Schlage, Von Duprin and LCN products, primarily in the Middle East.

Our Asia Pacific segment provides security products and solutions in approximately 14 countries throughout Asia Pacific. The segment offers the same portfolio of products as the Americas segment, as well as video analytics solutions. This segment’s strategic brands are Schlage, CISA, Von Duprin and LCN.

Products and Services

We offer an extensive and versatile portfolio of mechanical and electronic security products across a range of market-leading brands:

• Locks, locksets and key systems: A broad array of tubular and mortise door locksets, security levers, and master key systems that are used to protect and control access. We also offer a range of portable security products, including bicycle, small vehicle and travel locks.

• Door closers and exit devices: An extensive portfolio of life-safety products generally installed on fire doors and facility entrances and exits. Door closers are devices that automatically close doors after they are opened. Exit

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devices are generally horizontal attachments to doors and enable rapid exit from the premises.

• Electronic Security Products and Access Control Systems: A broad range of electrified locks, door closers, exit devices, access control systems, biometric hand reader systems, key card and reader systems, accessories, and automatic doors.

• Time, Attendance and Workforce Productivity Systems: Products and services designed to help business customers manage and monitor workforce access control parameters, attendance and employee scheduling. We offer ongoing aftermarket services in addition to design and installation offerings.

• Video Analytics: Electronic video analytics systems and services, primarily for business and government customers in Asia Pacific. We offer ongoing aftermarket services in addition to design and installation offerings.

• Doors and Door Frames: A portfolio of hollow metal doors and door frames. In select geographies, we also provide installation and service maintenance services.

• Other Accessories: A variety of additional security and product components, including hinges, door levers, door stops and other accessories, as well as certain bathroom fittings products.

Customers

We sell most of our products and solutions through distribution and retail channels, ranging from specialty distribution to wholesalers. We have built a network of more than 7,000 channel partners that help our customers choose the right solution to meet their security needs. Our channel partners that sell to commercial and institutional end-users helped fulfill and install orders to more than 30,000 end-users in 2014. We also sell through a variety of retail channels, ranging from large do-it-yourself home improvement centers to small, specialty showroom outlets. We work with our retail partners on developing marketing and merchandising strategies to maximize their sales per square foot of shelf space.

Through our Interflex and China-based video and systems integration businesses, we provide products and solutions directly to end-users.

Our 10 largest customers represented approximately 21% of our total revenues in 2014. No single customer represented 10% or more of our total revenues in 2014.

Sales and Marketing

In markets where we sell through commercial and institutional distribution channels, we employ sales professionals around the world who work with a combination of end-users, security professionals, architects, contractors, engineers and distribution partners to develop specific custom-configured solutions for our end-users’ needs. Our field sales professionals are assisted by specification writers who work with architects, engineers and consultants to help design door openings and security systems to meet end-users’ functional, aesthetic and regulatory requirements. Both groups are supported by dedicated customer care and technical sales-support specialists worldwide. We also support our sales efforts with a variety of marketing efforts, including trade-specific advertising, cooperative distributor merchandising, digital marketing, and marketing at a variety of industry trade shows.

In markets in which we sell through retail and home-builder distribution channels, we have teams of sales, merchandising and marketing professionals who help drive brand and product awareness through our channel partners and to consumers. We utilize a variety of advertising and marketing strategies, including traditional consumer media, retail merchandising, digital marketing, retail promotions, and builder and consumer trade shows, to support these teams.

We also work actively with several regulatory bodies around the world to help promote effective and consistent safety and security standards. For example, we are members of Builders Hardware Manufacturers Association, Security Industry Association, Smart Card Alliance, American Society of Healthcare Engineering, American Institute of Architects, Construction Specification Institute, ASSOFERMA (Italy), BHE (Germany) and UNIQ (France). We also have established the Safety and Security Institute in China, which helps to educate government officials, architects and builders and advocates for consistent building codes and standards that address end-users’ safety and security.

Production and Distribution

We manufacture our products in our geographic markets around the world. We operate 19 production facilities, including 10 in the Americas region, six in EMEIA and three in Asia Pacific. We own 10 of these facilities and lease the others. Our strategy is to produce in the region of use, wherever appropriate, to allow us to be closer to the end-user and increase efficiency and timely product delivery.

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In managing our network of production facilities, we focus on eliminating excess capacity, reducing cycle time through productivity, and harmonizing production practices and safety procedures.

We distribute our products through a broad network of channel partners. In addition, third-party logistics providers perform storage and distribution services for us to support certain parts of our distribution network.

Raw Materials

We support our region-of-use production strategy with corresponding region-of-use supplier partners, where available. Our global and regional commodity teams work with production leadership, product management and materials management teams to ensure adequate materials are available for production at the lowest possible cost.

We purchase a wide range of raw materials, including steel, zinc, brass and other non-ferrous metals, to support our production facilities. Where appropriate, we may enter into long-term supply arrangements or fixed-cost contracts to lower overall costs. We do not believe the loss of any particular supplier would be material to our business.

Intellectual Property

Intellectual property, inclusive of certain patents, trademarks, copyrights, know-how, trade secrets and other proprietary rights, is important to our business.  We create, protect and enforce our intellectual property investments in a variety of ways. We work actively in the U.S. and internationally to try to ensure the protection and enforcement of our intellectual property rights. We use trademarks on nearly all of our products and believe that such distinctive marks are an important factor in creating a market for our goods, in identifying us and in distinguishing our products from others. We consider our Schlage, Von Duprin, CISA and other associated trademarks to be among our most valuable assets, and we have registered these trademarks in a number of countries. Although certain proprietary intellectual property rights are important to our success, we do not believe we are materially dependent on any particular patent or license, or any particular group of patents or licenses.

Facilities

We operate through a broad network of sales offices, 19 production facilities and several distribution centers throughout the world. Our active properties represent about 5.1 million square feet, of which approximately 54% is leased.

The following table shows the location of our worldwide production facilities:

Production Facilities
Americas	EMEIA	Asia Pacific
Blue Ash, Ohio	Durchhausen, Germany	Auckland, New Zealand
Bogota, Colombia	Duzce, Turkey	Jinshan, China
Caracas, Venezuela	Faenza, Italy	Melbourne, Australia
Chino, California	Feuquieres, France
Ensenada, Mexico	Renchen, Germany
Indianapolis, Indiana	Monsampolo, Italy
Princeton, Illinois
Security, Colorado
Tecate, Mexico
Tijuana, Mexico

Research and Development

We are committed to investing in highly productive research and development capabilities, particularly in electro-mechanical systems. Our research and development ("R&D") expenditures were approximately $43.3 million, $39.6 million and $38.2 million for the years ended December 31, 2014, 2013 and 2012, respectively.

We concentrate on developing technology innovations that will deliver growth through the introduction of new products and solutions, and also on driving continuous improvements in product cost, quality, safety and sustainability.

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We manage our R&D team as a global group with an emphasis on a global collaborative approach to identify and develop new technologies and worldwide product platforms. We are organized on a regional basis to leverage expertise in local standards and configurations. In addition to regional engineering centers in each geographic region, we also operate a global engineering center of excellence in Bangalore, India.

Seasonality

Our business experiences seasonality that varies by product line. Because more construction and do-it-yourself projects occur during the second and third calendar quarters of each year in the Northern Hemisphere, our security product sales, typically, are higher in those quarters than in the first and fourth calendar quarters. However, our Interflex and Asia Pacific systems integration businesses typically experience higher sales in the fourth calendar quarter due to project timing. Revenue by quarter for the years ended December 31, 2014, 2013 and 2012 are as follows:

	First Quarter	Second Quarter	Third Quarter	Fourth Quarter
2014	22%	24%	26%	28%
2013	23%	26%	26%	25%
2012	23%	26%	26%	25%

Employees

As of December 31, 2014, we had more than 8,500 employees, approximately 20% of whom have the terms of their employment covered under collective bargaining agreements. Our non-management European employees are represented by national and local works councils.

Environmental Regulation

We are dedicated to an environmental program intended to reduce the utilization and generation of hazardous materials during the manufacturing process as well as to remediate identified environmental concerns. As to the latter, we are currently engaged in site investigations and remediation activities to address environmental cleanup from past operations at current and former manufacturing facilities.

We are sometimes a party to environmental lawsuits and claims and have received notices of potential violations of environmental laws and regulations from the U.S. Environmental Protection Agency (the "EPA") and similar state authorities. We have also been identified as a potentially responsible party ("PRP") for cleanup costs associated with off-site waste disposal at federal Superfund and state remediation sites. For all such sites, there are other PRPs and, in most instances, our involvement is minimal.

In estimating our liability, we have assumed that we will not bear the entire cost of remediation of any site to the exclusion of other PRPs who may be jointly and severally liable. The ability of other PRPs to participate has been taken into account, based on our understanding of the parties’ financial condition and probable contributions on a per site basis. Additional lawsuits and claims involving environmental matters are likely to arise from time to time in the future.

We incurred $2.9 million, $2.1 million, and $2.9 million of expenses during the years ended December 31, 2014, 2013, and 2012, respectively, for environmental remediation at sites presently or formerly owned or leased by us. As of December 31, 2014 and 2013, we have recorded reserves for environmental matters of $8.8 million and $10.8 million, respectively. Of these amounts $2.4 million and $2.9 million, respectively, relate to remediation of sites previously disposed by us. Given the evolving nature of environmental laws, regulations and technology, the ultimate cost of future compliance is uncertain.

Available Information

We are required to file annual, quarterly, and current reports, proxy statements, and other documents with the SEC. The public may read and copy any materials filed with the SEC at the SEC’s Public Reference Room at 100 F Street, N.E., Washington, D.C. 20549. The public may obtain information on the operation of the Public Reference Room by calling the SEC at 1-800-SEC-0330. Also, the SEC maintains an Internet website that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC. The public can obtain any documents that are filed by us at http://www.sec.gov.

In addition, this Annual Report on Form 10-K, as well as future quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to all of the foregoing reports, are made available free of charge on our Internet website (http://www.allegion.com)

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as soon as reasonably practicable after such reports are electronically filed with or furnished to the SEC. The contents of the Company’s website are not incorporated by reference in this report.

Item 1A. RISK FACTORS

You should carefully consider the risks below, together with all the other information included in this Form 10-K, in evaluating us and our ordinary shares. If any of the risks below actually occurs, our business, financial conditions, results of operations and cash flows could be materially and adversely affected. Any such adverse effect may cause the trading price of our ordinary shares to decline, and as a result, you could lose all or part of your investment in us. Our business may also be adversely affected by risks and uncertainties not known to us or risks that we currently believe to be immaterial.

Risks Related to Our Business

Our global operations subject us to economic risks.

We are incorporated in Ireland and operate in countries worldwide. Our global operations depend on products manufactured, purchased and sold in the U.S. and internationally, including in Europe, China, Australia, Mexico, Venezuela and Turkey. Accordingly, we are subject to risks that are inherent in operating globally, including:

• changes in laws and regulations or imposition of currency restrictions and other restraints in various jurisdictions;

• limitation of ownership rights, including expropriation of assets by a local government, and limitation on the ability to repatriate earnings;

• sovereign debt crises and currency instability in developed and developing countries;

• imposition of burdensome tariffs and quotas;

• difficulty in staffing and managing global operations;

• difficulty in enforcing agreements, collecting receivables and protecting assets through non-U.S. legal systems;

• national and international conflict, including war, civil disturbances and terrorist acts; and

• economic downturns and social and political instability.

These risks could increase our cost of doing business internationally, increase our counterparty risk, disrupt our operations, disrupt the ability of suppliers and customers to fulfill their obligations and limit our ability to sell products in certain markets.

Our business relies on the commercial and residential construction and remodeling markets.

We primarily rely on the commercial and residential construction and remodeling markets, which are marked by cyclicality based on overall economic conditions. Weakness or instability in these markets may cause current and potential customers to delay or choose not to make purchases, which could negatively impact the demand for our products and services.

We operate in highly competitive markets.

The markets in which we operate include a large number of participants, including multi-national companies, regional companies and small local companies. We primarily compete on the basis of quality, innovation, expertise, breadth of product offering and price. We may be unable to effectively compete on all these bases. If we are unable to anticipate evolving trends in the market or the timing and scale of our competitors’ activities and initiatives, the demand for our products and services could be negatively impacted.

In addition, we compete in a market that is experiencing the convergence of the mechanical and electronic products. This may lead to increased competition, including with companies with greater financial and other resources than we have. To remain competitive, we must develop new products and respond to new technologies in a timely manner.

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Our growth is dependent, in part, on the development, commercialization and acceptance of new products and services.

We must develop and commercialize new products and services in order to remain competitive in our current and future markets and in order to continue to grow our business. We cannot provide any assurance that any new product or service will be successfully commercialized in a timely manner, if ever, or, if commercialized, will result in returns greater than our investment. Investment in a product or service could divert our attention and resources from other projects that become more commercially viable in the market. We also cannot provide any assurance that any new product or service will be accepted by the market.

Changes in customer preferences and the inability to maintain beneficial relationships with large customers could adversely affect our business.

We have significant customers, particularly major retailers, although no one customer represented more than 10% of combined net sales in the past three fiscal years. The loss or material reduction of business, the lack of success of sales initiatives or changes in customer preferences or loyalties for our products related to any such significant customer could have a material adverse impact on our business. In addition, major customers who are volume purchasers are much larger than us and have strong bargaining power with suppliers. This limits our ability to recover cost increases through higher selling prices. Furthermore, unanticipated inventory adjustments by these customers can have a negative impact on sales.

Our brands are important assets of our businesses and violation of our trademark rights by imitators could negatively impact revenues and brand reputation.

Our brands and trademarks enjoy a reputation for quality and value and are important to our success and competitive position. Unauthorized use of our trademarks may not only erode sales of our products, but may also cause significant damage to our brand name and reputation, interfere with relationships with our customers and increase litigation costs. There can be no assurance that our on-going effort to protect our brand and trademark rights will prevent all violations.

Currency exchange rate fluctuations may adversely affect our results.

We are exposed to a variety of market risks, including the effects of changes in currency exchange rates. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations - Quantitative and Qualitative Disclosure About Market Risk.”

Approximately 37% of our 2014 net revenues were derived outside the U.S., and we expect sales to non-U.S. customers to continue to represent a significant portion of our consolidated net revenues. Although we may enter into currency exchange contracts to reduce our risk related to currency exchange fluctuations, changes in the relative fair values of currencies occur from time to time and may, in some instances, have a material impact on our results of operations. Because we do not hedge against all of our currency exposure, our business will continue to be susceptible to currency fluctuations.

We also translate assets, liabilities, revenues and expenses denominated in non-U.S. dollar currencies into U.S. dollars for our combined and consolidated financial statements based on applicable exchange rates. Consequently, fluctuations in the value of the U.S. dollar compared to other currencies will have a material impact on the value of these items in our consolidated financial statements, even if their value has not changed in their original currency.

Our business strategy includes making acquisitions and investments that complement our existing business. These acquisitions and investments could be unsuccessful or consume significant resources, which could adversely affect our operating results.

We will continue to analyze and evaluate the acquisition of strategic businesses or product lines with the potential to strengthen our industry position or enhance our existing set of products and services offerings. We cannot assure you that we will identify or successfully complete transactions with suitable acquisition candidates in the future, nor can we assure you that completed acquisitions will be successful.

Acquisitions and investments may involve significant cash expenditures, debt incurrence, operating losses and expenses. Acquisitions involve numerous other risks, including:

• diversion of management time and attention from daily operations;

• difficulties integrating acquired businesses, technologies and personnel into our business;

• difficulties in obtaining and verifying the financial statements and other business information of acquired businesses;

• inability to obtain regulatory approvals and/or required financing on favorable terms;

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• potential loss of key employees, key contractual relationships or key customers of acquired companies or of us;

• assumption of the liabilities and exposure to unforeseen liabilities of acquired companies; and

• dilution of interests of holders of our ordinary shares through the issuance of equity securities or equity-linked securities.

We may also expand through acquisitions or investments into international markets in which we may have limited experience or are required to rely on business partners. In addition to the risks outlined above, expansion into international markets may require us to compete with local businesses with greater knowledge of the market, including the tastes and preferences of customers, and businesses with dominant market shares.

It may be difficult for us to complete transactions quickly, integrate acquired operations efficiently into our current business operations or effectively compete in new markets we enter. Any acquisitions or investments may ultimately harm our business or financial condition, as such acquisitions may not be successful and may ultimately result in impairment charges.

Our operational excellence efforts may not achieve the improvements we expect.

We utilize a number of tools to improve operational efficiency and productivity. Implementation of new processes to our operations could cause disruptions and there is no assurance that all of our planned operational excellence projects will be fully implemented, or if implemented will realize the expected improvements.

Our EMEIA restructuring plans may not be successful.

We have implemented a plan to restructure our EMEIA segment to improve efficiencies and regional cost structure. If we are unable to successfully implement our restructuring plan, we may not be able to improve profitability or effectively compete in the region. In addition, our restructuring plans could result in significant restructuring charges and impairment charges.

Material adverse legal judgments, fines, penalties or settlements could adversely affect our business.

We are currently and may in the future become involved in legal proceedings and disputes incidental to the operation of our business. Our business may be adversely affected by the outcome of these proceedings and other contingencies (including, without limitation, environmental matters) that cannot be predicted with certainty. As required by U.S. generally accepted accounting principles ("GAAP"), we establish reserves based on our assessment of contingencies. Subsequent developments in legal proceedings and other contingencies may affect our assessment and estimates of the loss contingency recorded as a reserve and we may be required to make additional material payments.

Allegations that we have infringed the intellectual property rights of third parties could negatively affect us.

We may be subject to claims of infringement of intellectual property rights by third parties. In particular, we often compete in areas having extensive intellectual property rights owned by others and we have become subject to claims alleging infringement of intellectual property rights of others. In general, if it is determined that one or more of our technologies, products or services infringes the intellectual property rights owned by others, we may be required to cease marketing those services, to obtain licenses from the holders of the intellectual property at a material cost or to take other actions to avoid infringing the intellectual property rights. The litigation process is costly and subject to inherent uncertainties, and we may not prevail in litigation matters regardless of the merits of our position. Adverse intellectual property litigation or claims of infringement against us may become extremely disruptive if the plaintiffs succeed in blocking the trade of our products and services and may have a material adverse effect on our business.

Our reputation, ability to do business and results of operations could be impaired by improper conduct by any of our employees, agents or business partners.

We are subject to regulation under a variety of U.S. federal and state and non-U.S. laws, regulations and policies including laws related to anti-corruption, export and import compliance, anti-trust and money laundering, due to our global operations. We cannot provide assurance our internal controls will always protect us from the improper conduct of our employees, agents and business partners. Any improper conduct could damage our reputation and subject us to, among other things, civil and criminal penalties, material fines, equitable remedies (including profit disgorgement and injunctions on future conduct), securities litigation and a general loss of investor confidence.

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We may be subject to risks relating to our information technology systems.

We rely extensively on information technology systems to manage and operate our business. If these systems cease to function properly or if these systems do not provide the anticipated benefits, our ability to manage our operations could be impaired.

We currently rely on a single vendor for many of the critical elements of our global information technology infrastructure and its failure to provide effective support for such infrastructure could negatively impact our business and financial results.

We have outsourced many of the critical elements of our global information technology infrastructure to a third-party service provider in order to achieve efficiencies. If the service provider does not perform or does not perform effectively, we may not be able to achieve the expected efficiencies and may have to incur additional costs to address failures in providing service by the service provider. Depending on the function involved, such non-performance, ineffective performance or failures of service may lead to business disruptions, processing inefficiencies or security breaches.

Our information technology infrastructure is important to our business and data security breaches or disruptions of such infrastructure could negatively impact our business and financial results.

Our information technology infrastructure is subject to cyber-attacks and unauthorized security intrusions. Despite instituting security policies and business continuity plans, our systems and networks may be vulnerable to system damage, malicious attacks from hackers, employee errors or misconduct, viruses, power and utility outages, and other catastrophic events that could cause significant harm to our business by negatively impacting our business operations, compromising the security of our proprietary information and exposing us to litigation that could adversely affect our reputation.

Commodity shortages and price increases could negatively affect our financial results.

We rely on suppliers to secure commodities, including steel, zinc, brass and other non-ferrous metals, required for the manufacture of our products. A disruption of deliveries from our suppliers or decreased availability of commodities could have an adverse effect on our ability to meet our commitments to customers or increase our operating costs. We believe that available sources of supply will generally be sufficient for our needs for the foreseeable future. Nonetheless, the unavailability of some commodities could have a material adverse impact on our business.

Volatility in the prices of these commodities could increase the costs of our products and services, and we may not be able to pass on these costs to our customers. We do not currently use financial derivatives to hedge against this volatility, however, we utilize firm purchase commitments to mitigate risk. The pricing of some commodities we use is based on market prices. To mitigate this exposure, we may use annual and multi-year fixed price contracts to minimize the impact of inflation and to benefit from deflation.

We may be required to recognize impairment charges for our goodwill and other indefinite-lived intangible assets.

At December 31, 2014, the net carrying value of our goodwill and other indefinite-lived intangible assets totaled approximately $506 million and $10.1 million, respectively. In accordance with U.S. generally accepted accounting principles ("GAAP"), we periodically assess these assets to determine whether they are impaired. Negative industry or economic trends, disruptions to our business, unexpected changes or planned changes in use of assets, divestitures and market capitalization declines may result in recognition of impairment charges.

Successful sales and marketing efforts depend on our ability to recruit and retain qualified employees.

Our ability to successfully grow our business depends on the contributions and abilities of key executives, our sales force and other personnel, including the ability of our sales force to adapt to any changes made in the sales organization and achieve adequate customer coverage. We must therefore continue to recruit, retain and motivate management, sales and other personnel sufficiently to maintain our current business and support our projected growth. A shortage of these key employees might jeopardize our ability to grow and expand our business.

Our operations are subject to regulatory risks.

Our U.S. and non-U.S. operations are subject to a number of laws and regulations, including fire and building codes and standards, environmental and health and safety. We have incurred, and will be required to continue to incur, significant expenditures to comply with these laws and regulations. Changes to, or changes in interpretations of, current laws and regulations could require us to increase our compliance expenditures, cause us to significantly alter or discontinue offering existing products and services or cause us to develop new products and services. Altering current products and services or developing new products and services to comply

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with changes in the applicable laws and regulations could require significant research and development investments, increase the cost of providing the products and services and adversely affect the demand for our products and services.

We may not have been, or we may not at all times be, in full compliance with these laws and regulations. In the event a regulatory authority concludes that we are not or have not at all times been in full compliance with these laws, we could be fined, criminally charged or otherwise sanctioned.

Certain environmental laws assess liability on current or previous owners of real property or operators of manufacturing facilities for the costs of investigation, removal or remediation of hazardous substances or materials at such properties or at properties at which parties have disposed of hazardous substances. Liability for investigative, removal and remedial costs under certain U.S. federal and state laws and certain non-U.S. laws are retroactive, strict and joint and several. In addition to cleanup actions brought by governmental authorities, private parties could bring personal injury or other claims due to the presence of, or exposure to, hazardous substances. We have received notification from U.S. and non-U.S. governmental agencies, including the EPA and similar state environmental agencies, that conditions at a number of current and formerly owned sites where we and others have disposed of hazardous substances require investigation, cleanup and other possible remedial action. These agencies may require that we reimburse the government for its costs incurred at these sites or otherwise pay for the costs of investigation and cleanup of these sites, including by providing compensation for natural resource damage claims from such sites. For more information, see “Business - Environmental Regulation.”

While we have planned for future capital and operating expenditures to maintain compliance with environmental laws and have accrued for costs related to current remedial efforts, our costs of compliance, or our liabilities arising from past or future releases of, or exposures to, hazardous substances may exceed our estimates. We may also be subject to additional environmental claims for personal injury or cost recovery actions for remediation of facilities in the future based on our past, present or future business activities.

The capital and credit markets are important to our business.

Instability in U.S. and global capital and credit markets, including market disruptions, limited liquidity and interest rate volatility, or reductions in the credit ratings assigned to us by independent ratings agencies could reduce our access to capital markets or increase the cost of funding our short and long term credit requirements. In particular, if we are unable to access capital and credit markets on terms that are acceptable to us, we may not be able to make certain investments or fully execute our business plans and strategy.

Our suppliers and customers are also dependent upon the capital and credit markets. Limitations on the ability of customers, suppliers or financial counterparties to access credit could lead to insolvencies of key suppliers and customers, limit or prevent customers from obtaining credit to finance purchases of our products and services and cause delays in the delivery of key products from suppliers.

We may not be able to sustain a competitive worldwide effective corporate tax rate.

We cannot give any assurance as to what our effective tax rate will be in future years, because of, among other things, uncertainty regarding the geographic mix of income and the tax policies of the jurisdictions where we operate. Our actual effective tax rate may vary from our expectation and that variance may be material. Additionally, the tax laws of Ireland and other jurisdictions could change in the future, and such changes could cause a material change in our effective tax rate.

Our operations in Venezuela expose us to several risks.

Venezuela is currently experiencing significant political and civil unrest and economic instability, and in February 2013 the Venezuelan government devalued its currency and the official exchange rate changed from 4.3 to 6.3 Venezuelan bolivars per U.S. dollar. We recognized a $6.2 million realized foreign currency loss related to the devaluation in the first quarter of 2013. In March 2014, the Venezuelan government launched a SICAD II rate to provide a greater supply of U.S. dollars from sources other than the Venezuelan government. All companies located or domiciled in Venezuela may bid for USD for any purpose. The SICAD II exchange rate was approximately 50 bolivars per U.S. dollar on December 31, 2014.

Given accelerated deterioration in economic conditions driven by a significant drop in the price of oil and no expectation of improvement for the foreseeable future, we concluded that the SICAD II exchange rate was the most appropriate rate at which to value bolivar denominated assets and liabilities. As a result, on December 31, 2014, we moved the exchange rate applied to bolivars from the official rate to the SICAD II rate. We recorded a charge of $45.4 million (before tax and non-controlling interest), or $0.28 per diluted share. The charge includes remeasurement of net monetary assets ($12.1 million) and a non-cash impairment

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charge to adjust Venezuelan inventory balances ($33.3 million). After these charges, we had $4.6 million of bolivar-denominated net monetary assets and $8.9 million of inventory in Venezuela as of December 31, 2014.

On February 9, 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or “Simadi,” that will replace the SICAD II rate. The Company is currently evaluating this announcement. Adoption of the Simadi rate would result in additional charges to remeasure the net monetary assets and impair other assets.

This current state of affairs could lead to further devaluation of Venezuela's currency, volatility of exchange rates, and disruption of the economy. If the current unrest and instability continues, our ability to acquire necessary goods from suppliers could be limited, our customers may not be able to fulfill their obligations, our ability to manufacture and sell products could be disrupted and our Venezuelan operations could be adversely affected.

Risks Related to Our Indebtedness

Our substantial leverage could harm our business by limiting our available cash and our access to additional capital and, to the extent of our variable rate indebtedness, exposing us to interest rate risk.

We have approximately $1.3 billion of outstanding indebtedness at December 31, 2014. In addition, we have a senior secured revolving credit facility permitting borrowings of up to $500 million. Further volatility in the credit markets would adversely impact our ability to obtain favorable terms on financing in the future. In addition, a substantial portion of our cash flows from operations is dedicated to the payment of principal and interest on our indebtedness and will not be available for other purposes, including our operations, capital expenditures, payment of dividends, share repurchase programs and future business opportunities. We may be more vulnerable than a less leveraged company to a downturn in the general economic conditions or in our business, or we may be unable to carry out capital spending that is important to our growth. We may be vulnerable to interest rate increases, as certain of our borrowings, including those under our senior secured credit facilities, are at variable rates.

We may not be able to generate sufficient cash to service all of our indebtedness and may be forced to take other actions to satisfy our obligations under our indebtedness, which actions may not be successful.

Our ability to make scheduled payments or to refinance our debt obligations depends on our financial and operating performance, which is subject to prevailing economic and competitive conditions and to certain financial, business and other factors beyond our control. We may not be able to maintain a level of cash flow from operating activities sufficient to permit us to pay the principal and interest on our indebtedness. For more information see “Management’s Discussion and Analysis of Financial Condition and Results of Operations - Liquidity and Capital Resources.”

If our cash flows and capital resources are insufficient to fund our debt service obligations, we may be forced to reduce or delay capital expenditures, reduce or eliminate the payment of dividends, sell assets, seek additional capital or seek to restructure or refinance our indebtedness. These alternative measures may not be successful and may not permit us to meet our scheduled debt service obligations. In the absence of such operating results and resources, we could face substantial liquidity problems and might be required to sell material assets or operations to attempt to meet our debt service and other obligations. The terms of the credit agreement governing our senior secured credit facilities and the indenture governing our senior notes contain customary financial covenants that may restrict our ability to use the proceeds from asset sales. We may not be able to consummate those asset sales to raise capital or sell assets at prices we believe are fair, and proceeds that we do receive may not be adequate to meet any debt service obligations then due.

Despite our levels of indebtedness, we may still be able to incur substantially more debt, which could further exacerbate the risks associated with our substantial leverage.

We may be able to incur substantial additional indebtedness in the future. Although the terms of the credit agreement governing our senior secured credit facilities and the indenture governing our senior notes contain customary restrictions on the incurrence of additional indebtedness, these restrictions are subject to a number of qualifications and exceptions, and the indebtedness incurred in compliance with these restrictions could be substantial. In addition, our senior secured revolving credit facility permits borrowings of up to $500 million. If we incur additional debt above the levels we currently have, the risks associated with our leverage, including those described above, would increase.

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The terms of our debt covenants could limit how we conduct our business and our ability to raise additional funds.

The terms of the credit agreement governing our senior secured credit facilities and the indenture governing our senior notes restrict us from taking certain actions that we may think are in the best interests of our shareholders. A breach of the covenants or restrictions could result in a default under the applicable indebtedness. As a result of these restrictions, we may be:

• limited in how we conduct our business;

• limited in our ability to pay dividends or make other distributions to our shareholders;

• unable to raise additional debt or equity financing to operate during general economic or business downturns; or

• unable to compete effectively or to take advantage of new business opportunities.

These restrictions may affect our ability to grow in accordance with our plans.

These covenants and restrictions could affect our ability to operate our business, and may limit our ability to react to market conditions or take advantage of potential business opportunities as they arise. Additionally, our ability to comply with these covenants may be affected by events beyond our control, including general economic and credit conditions and industry downturns, and the other factors described in these “risk factors.”

Our variable rate indebtedness may expose us to interest rate risk, which could cause our debt costs to increase significantly.

A portion of our borrowings at December 31, 2014 is a term loan with a variable rate of interest which exposes us to interest rate risk. We are exposed to the risk of rising interest rates to the extent that we fund our operations with short-term or variable-rate borrowings. At December 31, 2014, we have approximately $1.3 billion of aggregate debt outstanding, and this amount includes $963 million of floating-rate term loans and $300 million of our fixed-rate senior notes. We have the ability to incur up to $500 million of additional floating-rate debt under our senior secured revolving credit facility. A 100 basis point increase in LIBOR would have resulted in incremental 2014 interest expense of approximately $7.0 million, excluding the impact of our forward starting interest rate swaps. In June 2014, we entered into forward starting interest rate swaps for $300.0 million of our floating-rate term loans. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016. If the LIBOR or other applicable base rates under our senior secured credit facilities increase in the future then the floating-rate debt could have a material effect on our interest expense.

Risks Relating to the Spin-off

We may be unable to achieve some or all of the benefits that we expect to achieve from our spin-off from Ingersoll Rand.

As an independent, publicly-traded company, we believe that our business will benefit from, among other things, allowing us to better focus our financial and operational resources on our specific business, allowing our Board of Directors and management to design and implement corporate strategies and policies that are based primarily on the characteristics of our business, allowing us to more effectively respond to industry dynamics and allowing the creation of effective incentives for our management and employees that are more closely tied to our business performance. However, we may not be able to achieve some or all of the benefits that we expect to achieve as an independent company in the time we expect, if at all.

We may be unable to make, on a timely or cost-effective basis, the changes necessary to operate as an independent company, and we may experience increased costs.

Prior to 2014, we operated as part of Ingersoll Rand’s corporate organization, and Ingersoll Rand has assisted us by providing certain corporate functions. Ingersoll Rand is obligated contractually to provide to us only those transition services specified in agreements we entered into with Ingersoll Rand. We may be unable to replace in a timely manner or on comparable terms the services or other benefits that Ingersoll Rand previously provided to us that are not specified in any transition services agreement. Upon expiration of any transition services agreement, each of the services that are covered in the agreement will have to be provided internally or by third parties and we may be unable to replace those services in a timely manner or on comparable terms. In addition, if Ingersoll Rand does not continue to perform transition services and the other services that are called for under any transition services agreement, we may not be able to operate our business as effectively.

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Our historical combined financial data are not necessarily representative of the results we would have achieved as an independent, publicly-traded company and may not be a reliable indicator of our future results.

The historical data prior to our spin-off from Ingersoll Rand presented herein may not reflect what our business, financial condition, results of operations and cash flows would have been had we been an independent, publicly-traded company during the periods presented or what our business, financial condition, results of operations and cash flows will be in the future as an independent company. This is primarily because:

• Ingersoll Rand, or one of its affiliates, performed significant corporate functions for us, including tax and treasury administration and certain governance functions, including internal audit and external reporting. Our historical statements reflect allocations of corporate expenses from Ingersoll Rand for these functions and may not reflect the costs we will incur for similar services as an independent company. Furthermore, we are responsible for the additional costs associated with being an independent, publicly-traded company, including costs related to corporate governance and external reporting.

• Our working capital requirements and capital for our general corporate purposes, including acquisitions and capital expenditures, historically had been satisfied as part of the company-wide cash management practices of Ingersoll Rand. While our businesses have historically generated sufficient cash to finance our working capital and other cash requirements, we no longer have access to Ingersoll Rand’s cash pool. Without the opportunity to obtain financing from Ingersoll Rand, we may need to obtain additional financing from banks, through public offerings or private placements of debt or equity securities or other arrangements.

• Other significant changes may occur in cost structure, management, financing and business operations as a result of our operating as a company separate from Ingersoll Rand.

We may have been able to receive better terms from unaffiliated third parties than the terms we receive in our agreements related to the spin-off.

The agreements related to the spin-off, including the Separation and Distribution Agreement, Employee Matters Agreement, Tax Matters Agreement, Transition Services Agreement, agreements with respect to real estate and intellectual property matters and any other agreements, were negotiated in the context of the Spin-off from Ingersoll Rand while we were still part of Ingersoll Rand. Accordingly, these agreements may not reflect terms that would have resulted from arm’s-length negotiations among unaffiliated third parties. The terms of the agreements in the context of the Spin-off are related to, among other things, allocations of assets, liabilities, rights, indemnifications and other obligations among Ingersoll Rand and us. We might have received better terms under the agreements relating to the Spin-off had they been negotiated with disinterested third parties who competed with each other to win our business than we received from Ingersoll Rand.

In connection with the Spin-off, Ingersoll Rand indemnified us for certain liabilities and we indemnified Ingersoll Rand for certain liabilities. If we are required to act on these indemnities to Ingersoll Rand, we may need to divert cash to meet those obligations and our financial results could be negatively impacted. The Ingersoll Rand indemnity may not be sufficient to insure us against the full amount of liabilities for which it will be allocated responsibility, and Ingersoll Rand may not be able to satisfy its indemnification obligations in the future.

Pursuant to the Separation and Distribution Agreement, the Employee Matters Agreement and the Tax Matters Agreement with Ingersoll Rand, Ingersoll Rand agreed to indemnify us for certain liabilities, and we agreed to indemnify Ingersoll Rand for certain liabilities, in each case for uncapped amounts. Such indemnities may be significant and could negatively impact our business, particularly indemnities relating to our actions that could impact the tax-free nature of the Spin-off. Third parties could also seek to hold us responsible for any of the liabilities that Ingersoll Rand retained. Further, the indemnity from Ingersoll Rand may not be sufficient to protect us against the full amount of such liabilities, and Ingersoll Rand may not be able to fully satisfy its indemnification obligations. Moreover, even if we ultimately succeed in recovering from Ingersoll Rand any amounts for which we are held liable, we may be temporarily required to bear these losses ourselves.

If the distribution or certain internal transactions undertaken in anticipation of the spin-off are determined to be taxable for U.S. federal income tax purposes, we, our shareholders that are subject to U.S. federal income tax and/or Ingersoll Rand could incur significant U.S. federal income tax liabilities and, in certain circumstances, we could be required to indemnify Ingersoll Rand for material taxes pursuant to indemnification obligations under the Tax Matters Agreement.

Ingersoll Rand has received an IRS ruling substantially to the effect that, among other things, the distribution of our ordinary shares, together with certain related transactions, qualify under Sections 355 and 368(a) of the Internal Revenue Code ("the Code"), with the result that Ingersoll Rand and Ingersoll Rand’s shareholders will not recognize any taxable income, gain or loss for U.S. federal income tax purposes as a result of the Spin-off, except to the extent of cash received in lieu of fractional shares (the "IRS

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Ruling"). The IRS Ruling also provided that certain internal transactions undertaken in anticipation of the distribution qualify for favorable treatment under the Code. In addition to obtaining the IRS Ruling, Ingersoll Rand received opinions from the law firm of Simpson Thacher & Bartlett LLP substantially to the effect that certain requirements, including certain requirements that the IRS did not rule on, necessary to obtain tax-free treatment have been satisfied, such that the distribution for U.S. federal income tax purposes and certain other matters relating to the distribution, including certain internal transactions undertaken in anticipation of the distribution, received tax-free treatment under Section 355 of the Code. The receipt and effectiveness of the IRS Ruling and the opinions were conditions to the distribution that were satisfied or waived by Ingersoll Rand. The IRS Ruling and the opinions rely on certain facts and assumptions and certain representations and undertakings from us and Ingersoll Rand regarding the past and future conduct of our respective businesses and other matters. Notwithstanding the IRS Ruling and the opinions, the IRS could determine on audit that the distribution or the internal transactions should be treated as taxable transactions if it determines that any of these facts, assumptions, representations or undertakings is not correct or has been violated, or that the distribution or the internal transactions should be taxable for other reasons, including as a result of significant changes in shares or asset ownership after the distribution. A legal opinion represents the tax adviser’s best legal judgment, is not binding on the IRS or the courts, and the IRS or the courts may not agree with the opinion. In addition, the opinion will be based on current law, and cannot be relied upon if current law changes with retroactive effect. If the distribution is determined to be taxable, the distribution could be treated as a taxable dividend or capital gain for U.S. federal income tax purposes, and our shareholders could incur significant U.S. federal income tax liabilities. In addition, we or Ingersoll Rand could incur significant U.S. federal income tax liabilities if it is ultimately determined that certain internal transactions undertaken in anticipation of the distribution are taxable.

In addition, under the terms of the Tax Matters Agreement, in the event the distribution or the internal transactions were determined to be taxable as a result of actions taken after the distribution by us or Ingersoll Rand, the party responsible for such failure would be responsible for all taxes imposed on us or Ingersoll Rand as a result thereof. If such failure is not the result of actions taken after the distribution by us or Ingersoll Rand, then we would be responsible for any taxes imposed on us or Ingersoll Rand as a result of such determination. Such tax amounts could be significant.

In addition, the amount of our shares that we can issue may be limited because the issuance of our shares may cause the distribution to be a taxable event for Ingersoll Rand under Section 355(e) of the Code, and under the Tax Matters Agreement, we could be required to indemnify Ingersoll Rand for that tax.

We might not be able to engage in desirable strategic transactions and equity issuances following the distribution because of restrictions relating to U.S. federal income tax requirements for tax-free distributions.

Our ability to engage in significant equity transactions could be limited or restricted after the distribution in order to preserve, for U.S. federal income tax purposes, the tax-free nature of the distribution by Ingersoll Rand. Even if the distribution otherwise qualifies for tax-free treatment under Section 355 of the Code, it may result in a corporate-level taxable gain to Ingersoll Rand and certain of its affiliates under Section 355(e) of the Code if 50% or more, by vote or value, of our shares or Ingersoll Rand’s shares are acquired or issued as part of a plan or series of related transactions that includes the distribution. Any acquisitions or issuances of our shares or Ingersoll Rand’s shares within two years after the distribution will generally be presumed to be part of such a plan, although we or Ingersoll Rand may be able to rebut that presumption.

To preserve the tax-free treatment to Ingersoll Rand of the distribution, under the Tax Matters Agreement, we are prohibited from taking or failing to take any action that prevents the distribution and related transactions from being tax-free. Further, for the two-year period following the distribution, without obtaining the consent of Ingersoll Rand, a private letter ruling from the IRS or an unqualified opinion from a nationally recognized law firm or accounting firm, we are prohibited from, among other things:

• approving or allowing any transaction that results in a change in ownership of more than 50% of our ordinary shares when combined with any other changes in ownership of our shares,

• redeeming or repurchasing certain amounts of equity securities,

• selling or otherwise disposing of substantially all of our assets, or

• engaging in certain internal transactions.

These restrictions may limit our ability to pursue strategic transactions or engage in new business or other transactions that may maximize the value of our business. Moreover, the Tax Matters Agreement provides that we are responsible for any taxes imposed on Ingersoll Rand or any of its affiliates as a result of the failure of the distribution or the internal transactions to qualify for favorable treatment under the Code unless such failure is attributable to certain actions taken after the distribution by Ingersoll Rand.

In February 2014, our Board of Directors authorized the repurchase of up to $200 million of our ordinary shares. Due to these restrictions, we may not engage in privately negotiated transactions or acquire more than 20% of our outstanding shares within

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two years after the Distribution. We believe that we will be able to execute the authorized share repurchases and preserve the tax-free treatment of the distribution. However, if we are unable to preserve the tax-free treatment, any taxes imposed on us could be significant.

If the distribution is determined to be taxable for Irish tax purposes, significant Irish tax liabilities may arise.

Ingersoll Rand has received an opinion of the Irish Revenue regarding the Irish tax consequences of the distribution to the effect that certain reliefs and exemptions for corporate reorganizations apply. In addition to obtaining the opinion from Irish Revenue, Ingersoll Rand received an opinion from the law firm of Arthur Cox confirming the applicability of the relevant exemptions and reliefs to the distribution and that certain internal transactions will not trigger tax costs. These opinions rely on certain facts and assumptions and certain representations and undertakings from us and Ingersoll Rand regarding the past and future conduct of our respective businesses and other matters. Notwithstanding the opinions, Irish Revenue could determine on audit that the distribution or the internal transactions do not qualify for the relevant exemptions or reliefs if it determines that any of these facts, assumptions, representations or undertakings is not correct or has been violated. A legal opinion represents the tax adviser’s best legal judgment, is not binding on Irish Revenue or the courts and Irish Revenue or the courts may not agree with the legal opinion. In addition, the legal opinion was based on current law, and cannot be relied upon if current law changes with retroactive effect. If the distribution ultimately is determined not to fall within certain exemptions or reliefs, the distribution could result in our shareholders having an Irish tax liability as a result of the distribution (if a shareholder is an Irish resident or holds shares in Ingersoll Rand in an Irish branch or agency), or we or Ingersoll Rand could incur Irish tax liabilities.

In addition, under the terms of the Tax Matters Agreement, in the event the distribution does not qualify for certain reliefs or exemptions, then we would be responsible for any taxes imposed on us or Ingersoll Rand as a result of such determination. Such tax amounts could be significant.

Risks Related to Our Incorporation in Ireland

Irish law differs from the laws in effect in the United States and may afford less protection to holders of our securities.

The United States currently does not have a treaty with Ireland providing for the reciprocal recognition and enforcement of judgments in civil and commercial matters. As such, there is some uncertainty as to whether the courts of Ireland would recognize or enforce judgments of U.S. courts obtained against us or our directors or officers based on U.S. federal or state civil liability laws, including the civil liability provisions of the U.S. federal or state securities laws, or hear actions against us or those persons based on those laws.

As an Irish company, we are governed by the Irish Companies Act, which differs in some material respects from laws generally applicable to U.S. corporations and shareholders, including, among others, differences relating to interested director and officer transactions and shareholder lawsuits. Likewise, the duties of directors and officers of an Irish company generally are owed to the company only. Shareholders of Irish companies generally do not have a personal right of action against directors or officers of the company and may exercise such rights of action on behalf of the company only in limited circumstances. Accordingly, holders of our securities may have more difficulty protecting their interests than would holders of securities of a corporation incorporated in a jurisdiction of the United States.

In addition, Irish law allows shareholders to authorize share capital which then can be issued by a board of directors without shareholder approval. Also, subject to specified exceptions, Irish law grants statutory preemptive rights to existing shareholders to subscribe for new issuances of shares for cash. However, we have opted out of these preemption rights in our Articles of Association as permitted under Irish company law. Irish law provides that this opt-out expires after five years unless renewed by a special resolution of the shareholders. These authorizations must be renewed by the shareholders every five years and we cannot guarantee that these authorizations will always be approved.

Changes in tax laws, regulations or treaties, changes in our status under the tax laws of many jurisdictions or adverse determinations by taxing authorities could increase our tax burden or otherwise affect our financial condition or operating results, as well as subject our shareholders to additional taxes.

The realization of any tax benefit related to our incorporation and tax residence in Ireland could be impacted by changes in tax laws, tax treaties or tax regulations or the interpretation or enforcement thereof by the tax authorities of many jurisdictions. From time to time, proposals have been made and/or legislation has been introduced to change the tax laws of various jurisdictions or limit tax treaty benefits that if enacted could materially increase our tax burden and/or effective tax rate. For instance, recent U.S. legislative proposals could modify or eliminate the tax deductibility of various currently deductible payments, which could materially and adversely affect our effective tax rate and cash tax position. Moreover, other U.S. legislative proposals could have

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a material adverse impact on us by overriding certain tax treaties and limiting the treaty benefits on certain payments by our U.S. subsidiaries to our non-U.S. affiliates, which could increase our tax liability. We cannot predict the outcome of any specific legislation in any jurisdiction.

While we monitor proposals that would materially impact our tax burden and/or effective tax rate and investigate our options, we could still be subject to increased taxation on a going forward basis no matter what action we undertake if certain legislative proposals are enacted, certain tax treaties are amended and/or our interpretation of applicable tax law is challenged and determined to be incorrect. In particular, any changes and/or differing interpretations of applicable tax law that have the effect of disregarding our incorporation in Ireland, limiting our ability to take advantage of tax treaties between jurisdictions, modifying or eliminating the deductibility of various currently deductible payments, or increasing the tax burden of operating or being resident in a particular country, could subject us to increased taxation.

Dividends received by our shareholders may be subject to Irish dividend withholding tax.

In certain circumstances, we are required to deduct Irish dividend withholding tax (currently at the rate of 20%) from dividends paid to our shareholders. In the majority of cases, shareholders resident in the United States will not be subject to Irish withholding tax, and shareholders resident in a number of other countries will not be subject to Irish withholding tax provided that they complete certain Irish dividend withholding tax forms. However, some shareholders may be subject to withholding tax, which could discourage the investment in our stock and adversely impact on the price of our shares.

Dividends received by our shareholders could be subject to Irish income tax.

Dividends paid in respect of our shares generally are not subject to Irish income tax where the beneficial owner of these dividends is exempt from Irish dividend withholding tax, unless the beneficial owner of the dividend has some connection with Ireland other than his or her shareholding in Allegion.

Our shareholders who receive their dividends subject to Irish dividend withholding tax will generally have no further liability to Irish income tax on the dividends unless the beneficial owner of the dividend has some connection with Ireland other than his or her shareholding in Allegion.

Certain provisions in our Articles of Association, among other things, could prevent or delay an acquisition of us, which could decrease the trading price of our ordinary shares.

Our Memorandum and Articles of Association contain provisions to deter takeover practices, inadequate takeover bids and unsolicited offers. These provisions include, amongst others:

• a provision of our Articles of Association which generally prohibits us from engaging in a business combination with an interested shareholder (being (i) the beneficial owner of the relevant percentage of our voting shares or (ii) an affiliate or associate of us that has at any time within the last five years been the beneficial owner of the relevant percentage of our voting shares), subject to certain exceptions;

• rules regarding how shareholders may present proposals or nominate directors for election at shareholder meetings;

• the right of our Board of Directors to issue preferred shares without shareholder approval in certain circumstances, subject to applicable law; and

• the ability of our Board of Directors to fill vacancies on our Board of Directors in certain circumstances.

We believe these provisions will provide some protection to our shareholders from coercive or otherwise unfair takeover tactics. These provisions are not intended to make us immune from takeovers. However, these provisions will apply even if the offer may be considered beneficial by some shareholders and could delay or prevent an acquisition that our Board of Directors determines is in our best interests and our shareholders' best interests. These provisions may also prevent or discourage attempts to remove and replace incumbent directors.

In addition, several mandatory provisions of Irish law could prevent or delay an acquisition of us. For example, Irish law does not permit shareholders of an Irish public limited company to take action by written consent with less than unanimous consent. We also will be subject to various provisions of Irish law relating to mandatory bids, voluntary bids, requirements to make a cash offer and minimum price requirements, as well as substantial acquisition rules and rules requiring the disclosure of interests in our shares in certain circumstances. Also, Irish companies, including us, may alter their Memorandum of Association and Articles of Association only with the approval of at least 75% of the votes of the company’s shareholders cast in person or by proxy at a general meeting of the company.

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The agreements that we entered into with Ingersoll Rand in connection with the spin-off generally require Ingersoll Rand’s consent to any assignment by us of our rights and obligations under the agreements. The consent and termination rights set forth in these agreements might discourage, delay or prevent a change of control that shareholders may consider favorable.

Moreover, an acquisition or further issuance of our ordinary shares after the spin-off could trigger the application of Section 355(e) of the Code, even if the distribution and certain related transactions undertaken in connection therewith otherwise qualify for tax-free treatment. Under Section 355(e) of the Code, we and/or Ingersoll Rand could incur tax upon certain transactions undertaken in anticipation of the distribution if 50% or more, by vote or value, of our ordinary shares or Ingersoll Rand ordinary shares are acquired or issued as part of a plan or series of related transactions that include the spin-off. The process for determining whether an acquisition or issuance triggering these provisions has occurred is complex, inherently factual and subject to interpretation. Any acquisitions or issuances of our ordinary shares or Ingersoll Rand ordinary shares within two years after the distribution are presumed to be part of such a plan, although we or Ingersoll Rand, as applicable, may be able to rebut that presumption. Moreover, under the Tax Matters Agreement that we entered into with Ingersoll Rand, we are restricted from engaging in certain transactions within two years of the distribution which potentially could trigger application of Section 355(e) of the Code. During such period, these restrictions may limit the ability that we, or a potential acquirer of Allegion, have to pursue certain strategic transactions that might increase the value of our ordinary shares.

Item 1B.UNRESOLVED STAFF COMMENTS

None.

Item 2.PROPERTIES

We operate through a broad network of sales offices, 19 production facilities and several distribution centers throughout the world. Our active properties represent about 5.1 million square feet, of which approximately 54% is leased.

The majority of our plant facilities are owned by us with the remainder under long-term lease arrangements. We believe that our plants have been well maintained, are generally in good condition and are suitable for the conduct of our business.

Item 3.LEGAL PROCEEDINGS

In the normal course of business, we are involved in a variety of lawsuits, claims and legal proceedings, including commercial and contract disputes, employment matters, product liability claims, environmental liabilities, intellectual property disputes, and tax-related matters. In our opinion, pending legal matters are not expected to have a material adverse impact on our results of operations, financial condition, liquidity or cash flows.

Executive Officers of the Registrant

The following is a list of executive officers of the Company as of February 27, 2015.

David D. Petratis, age 57, is our Chairman, President and Chief Executive Officer. Mr Petratis served as the Chairman, President and Chief Executive Officer of Quanex Building Products Corporation (a manufacturer of engineered material and components for the building products markets) from 2008 to July 2013.

Patrick S. Shannon, age 52, is our Senior Vice President and Chief Financial Officer. Mr. Shannon served as the Vice President and Treasurer of Ingersoll-Rand plc (a global diversified company) from August 2012 to August 2013. Mr. Shannon previously served as Ingersoll Rand’s Vice President, Audit Services from February 2010 to August 2012; and Ingersoll Rand’s Vice President, Finance and Information Technology - Trane Commercial Systems from September 2008 to February 2010.

Jeffrey N. Braun, age 55, is our Senior Vice President and General Counsel. Mr. Braun served as our Deputy General Counsel and Chief Compliance Officer from September 2013 to June 2014. Mr. Braun previously served as General Counsel of General Motors China, a subsidiary of General Motors Company (a global automotive company) from April 2010 to June 2013 and as General Motors' Executive Director, Global Ethics and Compliance from January 2009 to April 2010.

Timothy P. Eckersley, age 53, is our Senior Vice President - Americas. Mr. Eckersley served as Ingersoll Rand’s President, Security Technologies - Americas from November 2007 to November 2013.

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Tracy L. Kemp, age 46, is our Senior Vice President and Chief Information Officer.  Ms. Kemp served as our Vice President and Chief Information Officer from December 2013 to February 2015.  Prior to that, Ms. Kemp served as Ingersoll Rand’s Vice President - Chief Information Officer, Security Technologies and Residential Solutions sectors from September 2011 to December 2013 and Vice President - Chief Information Officer, Residential Solutions sector from 2009 to September 2011.

Raymond H. Lewis Jr., age 50, is our Senior Vice President - Human Resources and Communications. Mr. Lewis served as Ingersoll Rand’s Vice President - Human Resources and Communications, Industrial Technologies from October 2010 to October 2013. Mr. Lewis previously served as Ingersoll Rand’s Vice President - Human Resources for Global Product Management and Integrated Supply Chain, Industrial Technologies from December 2008 to October 2010.

Chris E. Muhlenkamp, age 57, is our Senior Vice President - Global Operations and Integrated Supply Chain. Mr. Muhlenkamp served as Ingersoll Rand's Vice President - Operations and Global Integrated Supply Chain, Security Technologies, from March 2011 to December 2013 and served as General Director, Global Supply Management and Production Control and Logistics of Delphi Automotive (a vehicle components manufacturer) from January 2009 to March 2011.

Douglas P. Ranck, age 56, is our Vice President and Controller. Mr. Ranck served as Ingersoll Rand’s Global Controller and Financial Planning and Analysis Leader - Climate Solutions from June 2008 to October 2013.

Feng (William) Yu, age 50, is our Senior Vice President - Asia Pacific. Mr. Yu served as Ingersoll Rand’s President, Security Technologies - Asia Pacific from February 2011 to November 2013. Mr. Yu previously served as Ingersoll Rand's Vice President, Thermo King - Asia Pacific from 2008 to February 2011.

No family relationship exists between any of the above-listed executive officers of the Company. All officers are elected to hold office for one year or until their successors are elected and qualified.

Item 4.MINE SAFETY DISCLOSURES

Not applicable.

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PART II

Item 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND

ISSUER PURCHASES OF EQUITY SECURITIES

Information regarding the principal market for our ordinary shares and related shareholder matters is as follows:

Our ordinary shares are traded on the NYSE under the symbol ALLE. As of February 24, 2015, the number of record holders of ordinary shares was 3,647. The high and low sales price per share and the dividend declared per share for the following periods were as follows:

	Ordinary shares
2014	High		Low		Dividend
First quarter	$	55.35	$	43.65	$	0.08
Second quarter	57.62		48.29		0.08
Third quarter	57.37		47.64		0.08
Fourth quarter	55.91		45.06		0.08
2013	High		Low		Dividend
First quarter	N/A		N/A		N/A
Second quarter	N/A		N/A		N/A
Third quarter	N/A		N/A		N/A
Fourth quarter (since November 18, 2013)	48.00		40.70		N/A

Information regarding equity compensation plans required to be disclosed pursuant to this Item is incorporated by reference from our Proxy Statement.

Dividend Policy

Our Board of Directors paid dividends of $0.08 per ordinary share on March 31, 2014, June 30, 2014, September 30, 2014 and December 30, 2014. We paid a total of $30.0 million in cash for dividends to ordinary shareholders during the year ended December 31, 2014. Our Board of Directors did not declare any dividends in 2013. Future dividends on our ordinary shares, if any, will be at the discretion of our Board of Directors and will depend on, among other things, our results of operations, cash requirements and surplus, financial condition, contractual restrictions and other factors that the Board of Directors may deem relevant, as well as our ability to pay dividends in compliance with the Irish Companies Act. Under the Irish Companies Act, dividends and distributions may only be made from distributable reserves. Distributable reserves, broadly, means the accumulated realized profits of Allegion plc (ALLE-Ireland). In addition, no distribution or dividend may be made unless the net assets of ALLE-Ireland are equal to, or in excess of, the aggregate of ALLE-Ireland’s called up share capital plus undistributable reserves and the distribution does not reduce ALLE-Ireland’s net assets below such aggregate.

Issuer Purchases of Equity Securities

We did not repurchase any of our ordinary shares during the fourth quarter of 2014. In February 2014, our Board of Directors authorized the repurchase of up to $200 million of our ordinary shares. We paid a total of $50.3 million to repurchase 1.0 million ordinary shares during the year ended December 31, 2014.

To preserve the tax-free treatment to Ingersoll Rand of the Spin-off, under the Tax Matters Agreement, we are prohibited from taking or failing to take any action that prevents the Spin-off and related transactions from being tax-free. We may not engage in privately negotiated transactions or acquire more than 20% of our outstanding shares within two years after the Spin-off. We believe that we will be able to execute the authorized share repurchases and preserve the tax-free treatment of the Spin-off. However, if we are unable to preserve the tax-free treatment, any taxes imposed on us could be significant.

Performance Graph

The annual changes for the period shown November 18, 2013 (when our ordinary shares began trading in the "when-issued" market) to December 31, 2014 in the graph on this page are based on the assumption that $100 had been invested in Allegion plc ordinary shares, the Standard & Poor’s 500 Stock Index ("S&P 500") and the Standard & Poor's 400 Capital Goods Index ("S&P

23

400 Capital Goods") on November 18, 2013, and that all quarterly dividends were reinvested. The total cumulative dollar returns shown on the graph represent the value that such investments would have had on December 31, 2014.

	November 18, 2013	December 31, 2013	March 31, 2014	June 30, 2014	September 30, 2014	December 31, 2014
Allegion plc	100.00	91.16	107.79	117.27	98.73	115.11
S&P 500	100.00	103.44	105.30	110.82	112.07	117.59
S&P 400 Capital Goods	100.00	105.46	107.85	112.66	105.74	105.72

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Item 6.SELECTED FINANCIAL DATA

In millions, except per share amounts:

At and for the years ended December 31,	2014				2013				2012			2011			2010
Net revenues	$	2,118.3			$	2,069.6			$	2,023.3		$	1,998.3		$	1,942.4
Net earnings (loss) attributable to Allegion plc ordinary shareholders:
Continuing operations (a)	186.3			(b)	35.9			(c)	224.3			231.6			201.9
Discontinued operations	(11.1		)		(3.6		)		(4.2		)	(6.3		)	(1.1		)
Total assets	2,015.9				2,000.6				2,003.2			2,055.2			2,070.7
Total debt	1,264.6				1,343.9				5.0			4.9			6.2
Total Allegion plc shareholders’ equity (deficit)	(4.8		)		(66.1		)		1,362.6			1,432.8			1,475.6
Earnings (loss) per share attributable to Allegion plc ordinary shareholders:
Basic:
Continuing operations	$	1.94			$	0.37			$	2.34		$	2.41		$	2.10
Discontinued operations	(0.12		)		(0.03		)		(0.05		)	(0.07		)	(0.01		)
Diluted:
Continuing operations	$	1.92			$	0.37			$	2.34		$	2.41		$	2.10
Discontinued operations	(0.12		)		(0.03		)		(0.05		)	(0.07		)	(0.01		)
Dividends declared per ordinary share	$	0.32			$	—			$	—		$	—		$	—

(a) Net earnings from continuing operations includes $174.5 million, $176.7 million, $160.5 million and $157.8 million of centrally managed service costs and corporate allocations from Ingersoll Rand for the years ended December 31, 2013, 2012, 2011 and 2010.

(b) Net earnings from continuing operations for the year ended December 31, 2014 includes an after-tax, non-cash inventory impairment charge of $18.7 million and a $9.1 million after-tax, non-cash charge related to the devaluation of the Venezuelan bolivar.

(c) Net earnings from continuing operations for the year ended December 31, 2013 includes an after-tax, non-cash goodwill impairment charge of $131.2 million and $44.8 million of discrete tax adjustments consisting of $31.5 million of expense related to valuation allowances on deferred tax assets that are no longer expected to be utilized and $13.3 million of net tax expense resulting primarily from transactions occurring to effect the Spin-off.

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Item 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations contains forward-looking statements that involve risks and uncertainties. Our actual results may differ materially from the results discussed in the forward-looking statements. Factors that might cause a difference include, but are not limited to, those discussed under Item 1A. Risk Factors in this Annual Report on Form 10-K. The following section is qualified in its entirety by the more detailed information, including our combined and consolidated financial statements and the notes thereto, which appears elsewhere in this Annual Report.

Overview

Organization

We are a leading global provider of security products and solutions operating in three geographic regions: Americas; EMEIA; and Asia Pacific. We sell a wide range of security products and solutions for end-users in commercial, institutional and residential markets worldwide, including into the education, healthcare, government, commercial office and single and multi-family residential markets. Our strategic brands include Schlage, Von Duprin, LCN, CISA, and Interflex.

Trends and Economic Events

Current market conditions, including challenges in international markets, continue to impact our financial results. Uneven global commercial new construction activity is negatively impacting our results, however U.S. residential and consumer markets have begun to improve, and we are seeing improvements in the U.S. new builder and replacement markets.

Based on information derived from third party sources, we estimate that the size of the global markets we serve was more than $30 billion in revenue in 2014, comprised of $25 billion for mechanical hardware products and more than $5 billion for time, attendance, and workforce productivity systems and systems integration. We believe that the security products industry will benefit from several global macroeconomic and long-term demographic trends, which include heightened awareness of security requirements, increased global urbanization and the shift to a digital, interconnected environment. In the more established economies of North America and Europe, where the security product industry’s compound annual growth rate was 1 to 2% per year during the uneven economic conditions experienced over the past three years, we believe our markets are poised for a cyclical recovery driven in part by accelerating growth in the underlying commercial and residential construction markets and improved consumer confidence in the United States offsetting currency headwinds overseas. Additionally, we expect growth in the global electronic product categories we serve to continue to outperform the industry as end-users adopt newer technologies in their facilities.

The economic conditions discussed above and a number of other challenges and uncertainties that could affect our business are described under “Risk Factors.”

2014 Significant Events

Venezuela currency devaluation

Venezuela is treated as a highly inflationary economy under GAAP. As a result, the U.S. dollar is the functional currency for our consolidated joint venture in Venezuela. Any currency remeasurement adjustments for non-U.S. dollar denominated monetary assets and liabilities and other transactional foreign exchange gains and losses are reflected in earnings.

The Venezuelan government’s official exchange rate is currently 6.3 Venezuelan bolivars per U.S. dollar. The Venezuelan government re-instituted a secondary exchange rate (SICAD I rate) for select goods and services. The SICAD I rate was 12 bolivars per U.S. Dollar at December 31, 2014. In March 2014, the Venezuelan government launched a SICAD II rate to provide a greater supply of USD from sources other than the Venezuelan government. All companies located or domiciled in Venezuela may bid for USD for any purpose. The SICAD II exchange rate was approximately 50 bolivars per U.S. dollar on December 31, 2014.

Given accelerated deterioration in economic conditions driven by a significant drop in the price of oil and no expectation of improvement for the foreseeable future, we concluded that the SICAD II exchange rate was the most appropriate rate at which to value bolivar denominated assets and liabilities. As a result, on December 31, 2014, we moved the exchange rate applied to bolivars from the official rate to the SICAD II rate. We recorded a charge of $45.4 million (before tax and non-controlling interest), or $0.28 per diluted share. The charge includes remeasurement of net monetary assets ($12.1 million) and a non-cash impairment

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charge to adjust Venezuelan inventory balances ($33.3 million). Had the SICAD II rate been applied throughout all of 2014, we estimate it would have reduced full-year revenues and EPS by approximately $95 million and $0.11 per share, respectively. After these charges, we had $4.6 million of bolivar-denominated net monetary assets and $8.9 million of inventory in Venezuela as of December 31, 2014.

On February 9, 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or “Simadi,” that will replace the SICAD II rate. The Company is currently evaluating this announcement. Adoption of the Simadi rate would result in additional charges to remeasure the net monetary assets and impair other assets.

Inventory accounting methodology

In the fourth quarter of 2014 we elected to change our method of accounting for certain inventory from the last-in-first-out (LIFO)method to the first-in-first-out (FIFO) method and now all inventory is accounted for using the FIFO method. We applied this change in method of inventory accounting by retrospectively adjusting the prior period financial statements. Further details about the impact of this change are discussed in Note 2 to the Combined and Consolidated Financial Statements.

Acquisitions

In January 2014, we completed the acquisition of certain assets of Schlage Lock de Colombia S.A., the second largest mechanical lock manufacturer in Colombia. In April 2014, we completed the acquisition of Fire & Security Hardware Pty Limited (FSH), an electromechanical locking provider in Australia. Total consideration paid for these acquisitions was approximately $23.0 million.

2014 Dividends

We paid quarterly dividends of $0.08 per ordinary share to shareholders on March, 31, 2014, June 30, 2014, September 30, 2014, and December 30, 2014. We paid a total of $30.0 million in cash for dividends to ordinary shareholders during the year ended December 31, 2014.

Spin-off related charges

For the year ended December 31, 2014 we incurred $28.6 million of separation costs associated with the spin-off from Ingersoll Rand, of which $28.2 million was recognized in Selling and administrative expenses in our results of operations and $0.4 million was recognized in Cost of goods sold. Separation costs for the year ended December 31, 2014 primarily include professional and consulting fees, system implementation costs and relocation and other personnel related costs. We do not expect separation costs incurred in 2015 to be material. The components of separation costs incurred for the year ended December 31, 2014 are presented below (in millions):

IT related	$	9.6
HR related	8.1
Finance related	3.0
Marketing and re-branding	2.6
Other	5.3
Total	$	28.6

Restructuring charges

In the second quarter of 2014 management committed to a plan to restructure our EMEIA segment to improve efficiencies and regional cost structure. In conjunction with this plan, we incurred severance and other restructuring charges of $6.1 million and other charges of $0.4 million for the year ended December 31, 2014.

Joint venture order flow change

Previously, our consolidated joint venture in Asia acted as a pass-through to the end customer. Beginning in 2013, the consolidated joint venture no longer recognizes the revenue and cost of goods sold on these products because of a revised joint venture operating agreement. Products are shipped direct to the end customer with the joint venture receiving a royalty in an amount that approximates the lost margin. We recognized revenue of approximately $52.0 million related to this business in our Americas segment for the

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year ended December 31, 2013. The change did not have a material impact on operating income or on cash flows for the year ended December 31, 2014.

Discontinued operations

In the second quarter of 2014 management committed to a plan to sell its United Kingdom (UK) Door businesses to an unrelated third party. The transaction closed in the third quarter of 2014. The businesses sold included the Dor-o-Matic branded automatic door business, the Martin Roberts branded performance steel doorset business and the UK service organization. Historical results of the component have been reclassified to discontinued operations for all periods presented. In conjunction with the sale, we recorded a $7.6 million charge to write the carrying value of the assets sold down to their selling value.

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Results of Operations - For the years ended December 31

Dollar amounts in millions, except per share data	2014			% of   Revenues		2013			% of   Revenues		2012			% of   Revenues
Net revenues	$	2,118.3				$	2,069.6				$	2,023.3
Cost of goods sold	1,264.6			59.7	%	1,208.1			58.4	%	1,197.7			59.2	%
Selling and administrative expenses	527.4			24.9	%	483.1			23.3	%	454.3			22.5	%
Asset impairment	—			—	%	137.6			6.6	%	—			—	%
Operating income	326.3			15.4	%	240.8			11.6	%	371.3			18.4	%
Interest expense	53.8					10.2					1.5
Other expense (income), net	4.6					7.2					3.1
Earnings before income taxes	267.9					223.4					366.7
Provision for income taxes	84.2					175.0					136.7
Earnings from continuing operations	183.7					48.4					230.0
Discontinued operations, net of tax	(11.1		)			(3.6		)			(4.2		)
Net earnings	172.6					44.8					225.8
Less: Net earnings attributable to noncontrolling interests	(2.6		)			12.5					5.7
Net earnings attributable to Allegion plc	$	175.2				$	32.3				$	220.1
Diluted net earnings per ordinary share attributable to Allegion plc ordinary shareholders:
Continuing operations	$	1.92				$	0.37				$	2.34
Discontinued operations	(0.12		)			(0.03		)			(0.05		)
Net earnings	$	1.80				$	0.34				$	2.29

Net Revenues

Net revenues for the year ended December 31, 2014 increased by 2.4% ($48.7 million) compared to the same period in 2013 due to the following:

Pricing	2.2	%
Volume/product mix	2.8	%
Acquisitions	0.4	%
Impact of consolidated Asia joint venture order flow change	(2.5	)%
Currency exchange rates	(0.5	)%
Total	2.4	%

The increase in net revenues was primarily driven by improved pricing, higher volumes, the acquisition of the Schlage de Colombia assets in January 2014 and the acquisition of FSH in April 2014. The pricing improvements were primarily driven by our consolidated joint venture in Venezuela and were largely offset by material inflation and other inflation in Venezuela. These increases were partially offset by the impact of the change in order flow through our consolidated joint venture in Asia discussed above.

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Net revenues for the year ended December 31, 2013 increased by 2.3% ($46.3 million) compared to the same period in 2012, due to the following:

Volume/product mix	2.3	%
Pricing	1.7	%
Currency exchange rates/other	(0.4	)%
Impact of consolidated Asia joint venture order flow change	(1.3	)%
Total	2.3	%

The increase in net revenues was primarily driven by improved pricing across all segments as well as increased volumes in the Americas segment due to stronger demand in both the commercial and residential markets as well as new products, particularly from our electronics portfolio. These increases were partially offset by unfavorable currency impacts, lower volume in EMEIA due to weak markets and the impact of the change in order flow through our consolidated joint venture in Asia discussed above.

Cost of Goods Sold

For the year ended December 31, 2014, cost of goods sold as a percentage of revenue increased to 59.7% from 58.4%. Costs of goods sold as a percentage of revenue for the year ended December 31, 2014 increased primarily due to a $33.3 million non-cash inventory impairment charge related to the devaluation of the Venezuelan bolivar (1.6%) discussed above, unfavorable channel/region mix offset by volume (0.3%) and increased investments/other items (0.2%). These increases were partially offset by productivity benefits and pricing improvements in excess of inflation (0.6%) and the impact of foreign currency movements (0.2%).

For the year ended December 31, 2013, cost of goods sold as a percentage of revenue decreased to 58.4% from 59.2%. Cost of goods sold as a percentage of revenue for the year ended December 31, 2013 was favorably impacted by a $21.5 million gain on a property sale in China (1.1%) as well as productivity benefits and other items in excess of inflation (0.2%), partially offset by unfavorable channel/region mix (0.5%).

Selling and Administrative Expenses

For the year ended December 31, 2014, selling and administrative expenses as a percentage of revenue increased to 24.9% from 23.3%. Selling and administrative expenses as a percentage of revenue for the year ended December 31, 2014 was negatively impacted by increased restructuring charges (0.2%), separation costs incurred in connection with the Spin-off (1.2%) increased investments (1.0%), the impact of the change in the order flow through our consolidated joint venture in Asia discussed above (0.8%) and other inflation in excess of productivity (0.3%). These increases were partially offset by favorable volume leverage (0.9%).

For the year ended December 31, 2013, selling and administrative expenses as a percentage of revenue increased to 23.3% from 22.5%. Selling and administrative expenses as a percentage of revenue for the year ended December 31, 2013 was negatively impacted by a $3.2 million increase in restructuring charges and non-recurring separation costs incurred in connection with the Spin-off (0.1%), inflation in excess of productivity benefits and other items (0.3%) and increased investment spending (0.4%).

Operating Income/Margin

Operating income for the year ended December 31, 2014 increased $85.5 million from the same period in 2013. Operating income in the prior year included a $137.6 million goodwill impairment charge, as well as a $21.5 million gain on the sale of property in China. Neither of these items recurred in the current year. Operating income in the current year includes a $33.3 million non-cash inventory impairment related to the devaluation of the bolivar discussed above. The remaining increase in operating income was primarily due to pricing improvements and productivity in excess of inflation ($36.9 million) and increased volume ($17.1 million). These increases were partially offset by increased restructuring charges and non-recurring separation costs incurred in connection with the Spin-off ($24.8 million) and increased investments and other items ($26.5 million).

Operating margin for the year ended December 31, 2014 increased to 15.4% from 11.6% for the same period in 2013. The increase was primarily due to the 2013 goodwill impairment charge discussed above (6.7%), pricing improvements and productivity in excess of inflation (1.5%), favorable volume/product mix (0.5%) and favorable foreign currency exchange rate movements (0.1%). These increases were partially offset by the 2014 non-cash inventory impairment discussed above (1.6%), increased non-recurring separation costs and restructuring charges (1.2%), incremental investment spending primarily associated with new product development and other items (1.4%) and the impact of the change in order flow through our consolidated joint venture in Asia and the 2013 gain on sale of a property in China discussed above (0.8%).

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Operating income for the year ended December 31, 2013 decreased $130.5 million from the same period in 2012. The decrease in operating income was primarily due to a $137.6 million goodwill impairment charge recorded in 2013, increased investment spending ($12.4 million), unfavorable foreign currency exchange rate movements ($5.5 million) and increased restructuring charges and non-recurring separation costs incurred in connection with the Spin-off ($9.9 million). These decreases were partially offset by the gain on a property sale in China ($21.5 million), pricing improvements and productivity in excess of inflation ($9.9 million) and increased volume ($3.5 million).

Operating margin for the year ended December 31, 2013 increased to 11.6% from 18.4% for the same period in 2012. Operating margin for the year ended December 31, 2013 was negatively impacted by a non-cash goodwill impairment charge (6.8%), incremental investment spending associated with new product development (0.6%), unfavorable product mix (0.5%) and restructuring charges and non-recurring separation costs (0.2%). These decreases were partially offset by the gain on a property sale in China (1.1%) and favorable volume leverage (0.2%).

Interest Expense

Interest expense for the year ended December 31, 2014 increased $43.6 million compared to the same period in 2013 as a result of the full year impact resulting from entering into $1,000 million Senior Secured Credit Facilities and issuing $300 million of senior notes in the fourth quarter of 2013 in conjunction with the spin-off from Ingersoll Rand. In the fourth quarter of 2014, we incurred a non-cash charge of approximately $4.5 million for the write-off of unamortized Term Loan B Facility debt issuance costs.

Interest expense for the year ended December 31, 2013 increased $8.7 million compared with the same period of 2012 due to the issuance of debt in the fourth quarter of 2013 in conjunction with the spin-off from Ingersoll Rand.

Other expense, net

The components of Other expense, net, for the year ended December 31 are as follows:

In millions	2014			2013			2012
Interest income	$	(1.1	)	$	(0.8	)	$	(0.1	)
Exchange loss	7.6			8.0			3.2
Other	(1.9		)	—			—
Other expense, net	$	4.6		$	7.2		$	3.1

For the year ended December 31, 2014, Other expense, net decreased by $2.6 million compared to the same period in 2013. As discussed above, in the fourth quarter of 2014 we recorded a $12.1 million loss related to write down our Venezuelan bolivar-denominated net monetary assets. This loss is reflected as Exchange loss in the table above. In the prior year, we recorded a $6.2 million loss resulting from the official devaluation of the bolivar from 4.3 bolivars per U.S. dollar to 6.3 bolivars per U.S. dollar. The remaining decrease in Other expense, net for the year ended December 31, 2014 was primarily due to other foreign currency gains in 2014.

For the year ended December 31, 2013, Other expense, net decreased by $3.9 million compared with the same period in 2012 primarily from unfavorable foreign currency impacts.

Provision for Income Taxes

For the year ended December 31, 2014, our effective tax rate of 31.4% compared to 78.3% for the year ended December 31, 2013. The effective tax rate for the year ended December 31, 2013 included the impact of a non-cash pre-tax goodwill impairment charge of $137.6 million ($131.2 million after-tax). Additionally, the effective tax rate included $44.8 million of discrete tax adjustments consisting of $31.5 million of expense related to valuation allowances on deferred tax assets that are no longer expected to be utilized and $13.3 million of net tax expense resulting primarily from transactions occurring to effect the Spin-off. Excluding these items, the effective tax rate was 37.8%. The decrease in our effective tax rate for the year ended December 31, 2014 compared to 2013 was primarily due to favorable changes in the mix of pre-tax income earned in lower rate jurisdictions as well as favorable discrete tax benefits.

Our 2013 tax rate was above the U.S. statutory rate of 35.0% primarily due to U.S. state and local taxes and net increases in our liability for unrecognized tax benefits partially offset by earnings in non-U.S. jurisdictions, which, in aggregate, had a lower effective rate.

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For periods prior to the Spin-off, income tax expense was recorded as if we filed tax returns on a stand-alone basis. This separate return methodology applied the accounting guidance for income taxes to the stand-alone financial statements as if we were a stand-alone enterprise for the periods prior to the Spin-off using statutory rates. These rates did not contemplate certain tax strategies that could lower the effective tax rate in future periods, if executed.   

Discontinued Operations

EMEIA Divestiture

As discussed above, in 2014 we sold our UK Door businesses to an unrelated third party. Historical results of the component have been reclassified to discontinued operations for all periods presented. In conjunction with the sale, we recorded a $7.6 million charge to write the carrying value of the assets sold down to their selling value.

Net revenues and after-tax earnings of the component for the years ended December 31 were as follows:

In millions	2014			2013			2012
Net revenues	$	16.1		$	23.9		$	23.3
Pre-tax loss from operations	$	(3.1	)	$	(2.8	)	$	(1.9	)
Loss on disposal	(7.6		)	—			—
Tax benefit	—			—			0.4
Discontinued operations, net of tax	$	(10.7	)	$	(2.8	)	$	(1.5	)

Other divestitures

Other discontinued operations recognized a loss of $0.4 million, $0.8 million and $2.7 million for the years ended December 31, 2014, 2013 and 2012, respectively. These losses were mainly related to lease expense and other miscellaneous expenses from previously sold businesses.

Review of Business Segments

We operate in and report financial results for three segments: Americas, EMEIA, and Asia Pacific. These segments represent the level at which our chief operating decision maker reviews company financial performance and makes operating decisions.

Segment operating income is the measure of profit and loss that our chief operating decision maker uses to evaluate the financial performance of the business and as the basis for resource allocation, performance reviews, and compensation. For these reasons, we believe that Segment operating income represents the most relevant measure of segment profit and loss. Our chief operating decision maker may exclude certain charges or gains, such as corporate charges and other special charges, from Operating income to arrive at a Segment operating income that is a more meaningful measure of profit and loss upon which to base our operating decisions. We define Segment operating margin as Segment operating income as a percentage of Net revenues.

The segment discussions that follow describe the significant factors contributing to the changes in results for each segment included in continuing operations. Effective January 1, 2013, we transferred a product line from our Asia Pacific segment to our Americas segment. This transfer is reflected in the historical segment results for each of the fiscal years in the three-year period ended December 31, 2013.

Americas

Our Americas segment is a leading provider of security products and solutions in approximately 30 countries throughout North America and parts of South America. The segment sells a broad range of products and solutions including, locks, locksets, key systems, door closers, exit devices, doors and door frames, electronic product and access control systems to end-users in commercial, institutional and residential facilities, including into the education, healthcare, government, commercial office and single and multi-family residential markets. This segment’s strategic brands are Schlage, Von Duprin and LCN.

Segment results for the years ended December 31 were as follows:

Dollar amounts in millions	2014			% change	2013			% change	2012
Net revenues	$	1,560.0		3.0%	$	1,514.7		2.9%	$	1,471.8
Segment operating income	387.3			(1.2)%	392.1			3.7%	378.0
Segment operating margin	24.8		%		25.9		%		25.7		%

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2014 vs 2013

Net revenues for the year ended December 31, 2014 increased by 3.0% ($45.3 million) compared to the same period in 2013 due to the following:

Pricing	2.7	%
Volume/product mix	3.5	%
Acquisitions	0.8	%
Impact of consolidated joint venture order flow change	(3.4	)%
Currency exchange rates/other	(0.6	)%
Total	3.0	%

The increase in revenues was primarily due to increased residential and commercial volumes as well as new products, the acquisition the assets of of Schlage de Colombia in January 2014 and price increases in Venezuela. These increases were partially offset by unfavorable currency impacts and the impact of the change in order flow through our consolidated joint venture in Asia discussed above.

Segment operating income for the year ended December 31, 2014 decreased $4.8 million compared to the same period in 2013. The decrease was primarily due to the $33.3 million non-cash inventory impairment charge related to the devaluation of the bolivar discussed above and increased investment spending, primarily for new product development ($13.1 million). These decreases were partially offset by pricing improvements and productivity in excess of inflation ($23.2 million), increased volume ($17.0 million) and favorable foreign currency movements and other items ($1.4 million).

Segment operating margin for the year ended December 31, 2014 declined to 24.8% from 25.9% compared to the same period in 2013. The decrease was primarily due to the inventory impairment discussed above (2.1%), incremental investment spending primarily on new product development (0.9%) and unfavorable product/channel mix offset by increased volume (0.1%). These decreases were partially offset by pricing improvements and productivity in excess of inflation (0.8%), the impact of the change in order flow through our consolidated joint venture discussed above (0.9%) and favorable foreign currency exchange rate movements (0.3%).

2013 vs 2012

Net revenues for the year ended December 31, 2013 increased by 2.9% ($42.9 million) compared to the same period in 2012 due to the following:

Pricing	2.1	%
Volume/product mix	3.9	%
Impact of consolidated joint venture order flow change	(1.8	)%
Currency exchange rates/other	(1.3	)%
Total	2.9	%

The increase in revenues was primarily due to increased volume due to stronger demand in both the commercial and residential markets as well as new products, particularly from our electronics portfolio and price increases in Venezuela. These increases were partially offset by unfavorable currency impacts and the impact of the change in order flow through our consolidated joint venture discussed above.

Segment operating income for the year ended December 31, 2013 increased $14.1 million compared to the same period in 2012. This increase was primarily due to increased volume ($18.5 million) and pricing improvements and productivity in excess of inflation ($9.8 million). These increases were partially offset by increased investment and other spending ($7.6 million) and unfavorable foreign currency exchange rate movements ($6.6 million).

Segment operating margin for the year ended December 31, 2013 increased to 25.9% from 25.7% compared to the same period in 2012. This increase was primarily due to pricing improvements and productivity in excess of inflation (0.7%) and favorable volume leverage partially offset by unfavorable product/channel mix (0.2%). These increases were partially offset by incremental investment spending (0.5%) and unfavorable foreign currency exchange rate movements (0.2%).

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EMEIA

Our EMEIA segment provides security products and solutions in approximately 85 countries throughout Europe, the Middle East, India and Africa. The segment offers end-users a broad range of products, services and solutions including, locks, locksets, key systems, door closers, exit devices, doors and door frames, electronic product and access control systems, as well as time and attendance and workforce productivity solutions. This segment’s strategic brands are Bricard, CISA and Interflex. This segment also resells Schlage, Von Duprin and LCN products, primarily in the Middle East.

As discussed above, in 2014 we sold our UK Door businesses to an unrelated third party. Historical results of the component have been reclassified to discontinued operations for all periods presented.

During the year ended December 31, 2013, we recorded a non-cash pre-tax goodwill impairment charge of $137.6 million, which has been excluded from these results.

Segment results for the years ended December 31 were as follows:

Dollar amounts in millions	2014			% change	2013			% change	2012
Net revenues	$	393.4		(2.0)%	$	401.4		(0.9)%	$	405.1
Segment operating income (loss)	4.9			1,733.3%	(0.3		)	(103.0)%	10.1
Segment operating margin	1.2		%		(0.1		)%		2.5		%

2014 vs 2013

Net revenues for the year ended December 31, 2014 decreased by 2.0% ($8.0 million) compared to the same period in 2013 due to the following:

Pricing	1.0	%
Currency exchange rates	0.1	%
Volume/product mix	(1.3	)%
Restructuring actions	(1.8	)%
Total	(2.0	)%

The decrease in revenues was primarily due to decreased volumes due to economic weakness in certain markets as well as lower revenue as a result of managements' actions to exit unprofitable businesses. These decreases were partially offset by improved pricing and favorable foreign currency exchange rate movements.

Segment operating income for the year ended December 31, 2014 increased $5.2 million compared to the same period in 2013. The increase was primarily due to pricing improvements and productivity in excess of inflation ($14.4 million), and favorable foreign currency exchange rate movements and other items ($0.5 million). These increases were partially offset by lower volumes ($3.7 million), increased investment spending ($3.0 million) and increased separation costs incurred in connection with the Spin-off and restructuring charges ($3.0 million).

Segment operating margin for the year ended December 31, 2014 increased to 1.2% from (0.1)% compared to the same period in 2013. The increase was primarily due to pricing improvements and productivity in excess of inflation (3.6%) and favorable foreign currency exchange rate movements and other items (0.2%). These increases were partially offset by unfavorable volume/product mix (0.9%), increased investment spending (0.8%) and increased separation costs incurred in connection with the Spin-off and restructuring charges (0.8%).

2013 vs 2012

Net revenues for the year ended December 31, 2013 decreased by 0.9% ($3.7 million) compared to the same period in 2012 due to following:

Volume/product mix	(4.1	)%
Pricing	1.0	%
Currency exchange rates	2.2	%
Total	(0.9	)%

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The decrease in revenues was primarily due to decreased volumes due to economic weakness in most major markets, partially offset by favorable currency impacts and improved pricing.

Segment operating loss for the year ended December 31, 2013 decreased $10.4 million compared to the same period in 2012. This decrease was primarily due to decreased volume ($12.9 million), increased investment spending and other items ($4.3 million) and increased restructuring and non-recurring separation costs ($1.5 million). These decreases were partially offset by pricing improvements and productivity in excess of inflation ($7.4 million) and favorable foreign currency exchange rate movements ($0.9 million).

Segment operating margin for the year ended December 31, 2013 decreased to (0.1)% from 2.5% compared with the same period of 2012. This decrease was primarily due to increased restructuring and non-recurring separation costs (0.4%), unfavorable volume leverage (1.9%), unfavorable mix (0.9%) and increased investment spending and non-operating costs (1.4%), partially offset by pricing improvements in excess of material inflation (0.6%), productivity benefits in excess of other inflation (1.4%) and favorable foreign currency exchange rate movements (0.2%).

Asia Pacific

Our Asia Pacific segment provides security products and solutions in approximately 14 countries throughout the Asia Pacific region. The segment offers end-users a broad range of products, services and solutions including, locks, locksets, key systems, door closers, exit devices, electronic product and access control systems, and as well as video analytics solutions. This segment’s strategic brands are Schlage, CISA, Von Duprin and LCN.

Segment results for the years ended December 31 were as follows:

Dollar amounts in millions	2014			% change	2013			% change	2012
Net revenues	$	164.9		7.4%	$	153.5		4.8%	$	146.4
Segment operating income	2.3			(90.9)%	25.4			124.8%	11.3
Segment operating margin	1.4		%		16.5		%		7.7		%

2014 vs 2013

Net revenues for the year ended December 31, 2014 increased by 7.4% ($11.4 million) compared to the same period in 2013, due to the following:

Volume/product mix	5.6	%
Pricing	0.3	%
Acquisitions	2.8	%
Currency exchange rates	(1.3	)%
Total	7.4	%

The increase in revenues was mainly due to favorable volume/product mix and revenue from the acquisition of FSH and improved pricing, partially offset by unfavorable foreign currency impacts.

Segment operating income for the year ended decreased $23.1 million. The decrease in operating income was primarily due to the $21.5 million gain on the sale of a property in China in 2013, a $1.9 million one-time benefit related to the closure of our Asia joint venture manufacturing facility in 2013, $2.0 million of non-recurring favorable items in 2013, a $2.5 million charge to increase the allowance for doubtful accounts in the second quarter of 2014, increased investment spending ($1.4 million), unfavorable foreign currency exchange rate movements ($0.7 million) and increased separation costs incurred in connection with the Spin-off ($0.7 million). These decreases were partially offset by increased volume ($5.1 million) and pricing improvements and productivity in excess of inflation ($2.6 million).

Segment operating margin for the year ended December 31, 2014 decreased to 1.4% from 16.5% compared to the same period in 2013. The decrease was primarily due to a $21.5 million in 2013 gain discussed above (14.0%), a $2.5 million charge to increase the allowance for doubtful accounts in the second quarter of 2014 (1.6%), increased investment spending (0.9%) unfavorable foreign currency movements (0.5%), increased separation costs incurred in connection with the Spin-off (0.5%) and a one-time benefit related to the closure of our Asia joint venture manufacturing facility and other items (2.3%). These decreases are partially offset by favorable volume/product mix (3.0%) and pricing improvements and productivity in excess of other inflation (1.7%).

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2013 vs 2012

Net revenues for the year ended December 31, 2013 increased by 4.8%, ($7.1 million) compared with the same period of 2012, which primarily resulted from the following:

Volume/product mix	3.5	%
Pricing	0.5	%
Currency exchange rates	0.8	%
Total	4.8	%

The increase in revenues was due to favorable volume/product mix, pricing improvements and favorable foreign currency impacts.

Segment operating income for the year ended December 31, 2013 increased $14.1 million compared with the same period in 2012. The increase was primarily due to the $21.5 million gain on sale of a property in China and favorable foreign currency exchange rate movements ($0.2 million). These increases were partially offset by lower volumes ($3.8 million), a non-recurring favorable item in 2012 ($2.8 million) and increased investment and other spending ($1.1 million).

Segment operating margin for the year ended December 31, 2013 increased to 16.5% from 7.7% compared with the same period of 2012. The increase was primarily due to the $21.5 million gain in 2013 on sale of a property in China in 2013 (14.2%). This increase was partially offset by unfavorable volume/product mix (2.8%), a non-recurring favorable item in 2012 (1.9%) and increased investment spending (0.7%).

Liquidity and Capital Resources

Sources and uses of liquidity

Our primary source of liquidity is cash provided by operating activities. Cash provided by operating activities is used to invest in new product development, fund capital expenditures and fund working capital requirements and is expected to be adequate to service any future debt, pay any declared dividends and potentially fund acquisitions and share repurchases. Our ability to fund these capital needs depends on our ongoing ability to generate cash provided by operating activities, and to access our borrowing facilities (including unused availability under our Revolver) and capital markets. We believe that our future cash provided by operating activities, together with our access to funds on hand and capital markets, will provide adequate resources to fund our operating and financing needs.

The following table reflects the major categories of cash flows for the years ended December 31, respectively. For additional details, please see the Combined and Consolidated Statements of Cash Flows in the Combined and Consolidated Financial Statements.

In millions	2014			2013			2012
Cash provided by operating activities	$	255.9		$	223.9		$	269.2
Cash used in investing activities	(34.8		)	(18.7		)	(17.5		)
Cash used in financing activities	(150.0		)	(292.4		)	(317.9		)

Operating activities

Net cash provided by operating activities for the year ended December 31, 2014 increased $32.0 million compared to the same period in the prior year. Operating cash flows for 2014 reflect higher earnings from continuing operations compared to the same period in the prior year as well as lower working capital.

Net cash provided by operating activities for the year ended December 31, 2013 decreased $45.3 million compared to the same period in the prior year. Operating cash flows for 2013 reflect lower earnings from continuing operations and an increase in working capital compared to the same period in the prior year.

Investing activities

Net cash used in investing activities for the year ended December 31, 2014 increased $16.1 million compared to the same period in the prior year. Cash used in investing activities for the year ended December 31, 2014 included $51.5 million of capital expenditures, an increase of $31.3 million from the prior year, as we invested in information technology systems, new product

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development and manufacturing plant investments to support our growth initiatives. In addition, we spent $25.2 million of cash for acquisitions primarily for the acquisition of certain assets of Schlage de Colombia in January 2014 and FSH in April 2014.

Net cash used in investing activities for the year ended December 31, 2013 increased $1.2 million compared to the same period in the prior year. Cash used in investing activities for the year ended December 31, 2013 included $20.2 million of capital expenditures, $40.2 million of cash classified as restricted as it is pledged as collateral against a short-term note payable and $41.7 million of proceeds from the sale of property, plant and equipment primarily related to proceeds from the sale of property in China.

Financing activities

Net cash used in financing activities for the year ended December 31, 2014 decreased $142.4 million compared to the same period in the prior year. In the prior year, $1,300.0 million of proceeds from the issuance of the Senior Notes and the Senior Secured Credit facilities as well as additional cash generated throughout the year were distributed to Ingersoll Rand, net of debt issuance costs. In the current year, we made $37.2 million, net repayments on the Senior Secured Credit Facilities and $40.8 million of repayments of other borrowings, we paid $30.0 million of dividends to our ordinary shareholders and we repurchased $50.3 million of our ordinary shares.

Net cash used in financing activities for the year ended December 31, 2013 decreased $25.5 million compared to the same period in the prior year. Net transfers to Ingersoll Rand increased $1,286.7 million as the $1,300.0 million proceeds from the issuance of the Senior Notes and the Senior Secured Credit Facilities were distributed to Ingersoll Rand, net of debt issuance costs.

Capitalization

Borrowings at December 31 consisted of the following:

In millions	2014		2013
Term Loan A Facility due 2018	$	—	$	500.0
Term Loan A Facility due 2019	962.8		—
Term Loan B Facility due 2020	—		500.0
5.75% Senior notes due 2021	300.0		300.0
Other debt, including capital leases, maturing in various amounts through 2016	1.8		43.9
Total debt	$	1,264.6	$	1,343.9
Less current portion of long term debt	49.6		71.9
Total long-term debt	$	1,215.0	$	1,272.0

The Term Loan A Facility due 2019 amortizes in quarterly installments at the following rates per year: 5% in 2015; 5% in 2016 and 10% in each year thereafter, with the final installment due on October 15, 2019. The Senior Notes are due in full on October 1, 2021.

At December 31, 2014 and 2013, we did not have any borrowings outstanding under the $500 million Senior Secured Revolving Credit Facility (the "Revolver"). We had $28.5 million and $24.6 million of letters of credit outstanding at December 31, 2014 and 2013, which reduce availability under the Revolver.

Included in the other short-term borrowings at December 31, 2013 is a $40.2 short-term note payable that was repaid in 2014. The $40.2 million of restricted cash presented on the Consolidated Balance Sheet at December 31, 2013 was pledged as collateral for the short-term note payable.

We are required to comply with certain covenants under our Senior Secured Credit Facilities. We are required to comply with a maximum leverage ratio of 4.00 (based on a ratio of total consolidated indebtedness, net of unrestricted cash up to $125 million, to consolidated EBITDA). The ratio declines to 3.75 to 1.00 in the first quarter of 2015. In addition, as of December 31, 2014, we are required to have a minimum interest expense coverage ratio of 3.50 to 1.00 based on a ratio of consolidated EBITDA to consolidated interest expense, net of interest income. This ratio increases to 4.00 to 1.00 in the first quarter of 2015.

As of December 31, 2014, we were in compliance with these covenants. Additionally, the indenture to our Senior Notes and the Senior Secured Credit Facilities contain affirmative and negative covenants that, among other things, limit or restrict our ability

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to enter into certain transactions. For further details on these covenants, see Note 8 to the Combined and Consolidated Financial Statements.

The majority of our earnings are considered to be permanently reinvested in jurisdictions where we have made, and intend to continue to make, substantial investments to support the ongoing development and growth of our global operations. Accordingly, applicable income taxes have not been accrued on the portion of our earnings that is considered to be permanently reinvested.  At December 31, 2014, we had unrestricted cash and cash equivalents of $290.5 million. Approximately 55% of our cash and cash equivalents was located outside the U.S. Included in our cash and cash equivalents located outside the U.S. is approximately $50 million of cash in China, approximately 49% of which will be distributed to a joint venture partner in Asia when we receive regulatory approval for the distribution. We have provided for income taxes on the 51% of cash that we will retain. We do not intend, nor do we foresee a need, to repatriate any other funds located outside the U.S.; however, repatriation of these funds would expose us to additional taxes.

Pension Plans

Our investment objective in managing defined benefit plan assets is to ensure that all present and future benefit obligations are met as they come due. We seek to achieve this goal while trying to mitigate volatility in plan funded status, contribution and expense by better matching the characteristics of the plan assets to that of the plan liabilities. Global asset allocation decisions are based on a dynamic approach whereby a plan's allocation to fixed income assets as the funded status increases. We monitor plan funded status and asset allocation regularly in addition to investment manager performance.

We monitor the impact of market conditions on our defined benefit plans on a regular basis. In December 31, 2014, the funded status of our qualified pension plan for U.S. employees declined to 75.4% from 90.1% at December 31, 2013 as a decline in discount rates and the adoption of revised mortality tables increased pension benefit obligations by approximately $60.1 million. The increase in benefit obligations was partially offset by $31.9 million of pension asset returns. The funded status for our non-U.S. pension plans increased to 95.8% at December 31, 2014 from 84.8% at December 31, 2013. The increase in funded status for the non-U.S. was due to asset returns and employer contributions more than offset an increase in pension benefit obligations resulting from a decline in discount rates. Funded status for all of our pension plans at December 31, 2014 increased to 87.1% from 86.8% at December 31, 2013. For further details on pension plan activity, see Note 10 to the Combined and Consolidated Financial Statements.

Contractual Obligations

The following table summarizes our contractual cash obligations by required payment periods, in millions:

	Less than 1 year		1 - 3 years		3 - 5 years		More than 5 years		Total
Short-term debt	$	49.6	$	—	$	—	$	—	$	49.6
Long-term debt	—		146.3		767.7		300.0		1,214.0
Interest payments on long-term debt	39.5		74.6		58.1		30.2		202.4
Purchase obligations	135.8		—		—		—		135.8
Operating leases	22.8		16.3		4.5		0.9		44.5
Total contractual cash obligations	$	247.7	$	237.2	$	830.3	$	331.1	$	1,646.3

Future expected obligations under our pension and postretirement benefit plans, income taxes, environmental and product liability matters have not been included in the contractual cash obligations table above.

Pensions

At December 31, 2014, we had net obligations of $86.1 million, which consist of noncurrent pension assets of $585.2 million and current and non-current pension benefit liabilities of $671.3 million. It is our objective to contribute to the pension plans to ensure adequate funds are available in the plans to make benefit payments to plan participants and beneficiaries when required. We currently project that we will contribute approximately $5.0 million to our plans worldwide in 2015. Because the timing and amounts of long-term funding requirements for pension obligations are uncertain, they have been excluded from the preceding table. See Note 10 to the Combined and Consolidated Financial Statements for additional information.

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Postretirement Benefits Other than Pensions

At December 31, 2014, we had postretirement benefit obligations of $13.6 million. We fund postretirement benefit costs principally on a pay-as-you-go basis as medical costs are incurred by covered retiree populations. Benefit payments, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be approximately $1.0 million in 2015. Because the timing and amounts of long-term funding requirements for postretirement obligations are uncertain, they have been excluded from the preceding table. See Note 10 to the Combined and Consolidated Financial Statements for additional information.

Income Taxes

At December 31, 2014, we have total unrecognized tax benefits for uncertain tax positions of $25.4 million and $6.2 million of related accrued interest and penalties, net of tax. The liability has been excluded from the preceding table as we are unable to reasonably estimate the amount and period in which these liabilities might be paid. See Note 16 to the Combined and Consolidated Financial Statements for additional information regarding matters relating to income taxes, including unrecognized tax benefits and tax authority disputes.

Contingent Liabilities

We are involved in various litigations, claims and administrative proceedings, including those related to environmental, asbestos-related, and product liability matters. We believe that these liabilities are subject to the uncertainties inherent in estimating future costs for contingent liabilities, and will likely be resolved over an extended period of time. Because the timing and amounts of potential future cash flows are uncertain, they have been excluded from the preceding table. See Note 20 to the Combined and Consolidated Financial Statements for additional information.

Critical Accounting Policies

Management’s Discussion and Analysis of Financial Condition and Results of Operations are based upon our Combined and Consolidated Financial Statements, which have been prepared in accordance with GAAP. The preparation of financial statements in conformity with those accounting principles requires management to use judgment in making estimates and assumptions based on the relevant information available at the end of each period. These estimates and assumptions have a significant effect on reported amounts of assets and liabilities, revenue and expenses as well as the disclosure of contingent assets and liabilities because they result primarily from the need to make estimates and assumptions on matters that are inherently uncertain. Actual results may differ from estimates. If updated information or actual amounts are different from previous estimates, the revisions are included in our results for the period in which they become known.

The following is a summary of certain accounting estimates and assumptions made by management that we consider critical.

• Allowance for doubtful accounts – We have provided an allowance for doubtful accounts receivable, which represents our best estimate of probable loss inherent in our accounts receivable portfolio. This estimate is based upon our policy, derived from our knowledge of our end markets, customer base and products.

• Goodwill and indefinite-lived intangible assets – We have significant goodwill and indefinite-lived intangible assets on our balance sheet related to acquisitions. Our goodwill and other indefinite-lived intangible assets are tested and reviewed annually during the fourth quarter for impairment or when there is a significant change in events or circumstances that indicate that the fair value of an asset is more likely than not less than the carrying amount of the asset.

Recoverability of goodwill is measured at the reporting unit level and begins with a qualitative assessment to determine if it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test prescribed by GAAP. For those reporting units where it is required, the first step compares the carrying amount of the reporting unit to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired and the second step of the impairment test is not necessary. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a second step is performed, wherein the reporting unit’s carrying value of goodwill is compared to the implied fair value of goodwill. To the extent that the carrying value exceeds the implied fair value, impairment exists and must be recognized.

As quoted market prices are not available for our reporting units, the calculation of their estimated fair value in step one is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being equally weighted in the calculation. We believe an equal weighting of both approaches is appropriate. The income approach relies on the Company’s estimates of future cash flows and explicitly addresses factors such as timing, growth and margins, with due consideration given to forecasting risk. The

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market approach reflects the market’s expectations for future growth and risk, with adjustments to account for differences between the guideline publicly-traded companies and the subject reporting units.

In step 2, the implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The estimated fair value of the reporting unit is allocated to all of the assets and liabilities of the reporting unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit, as determined in the first step of the goodwill impairment test, was the price paid to acquire that reporting unit.

Recoverability of other intangible assets with indefinite useful lives is first assessed using a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. This assessment is used as a basis for determining whether it is necessary to calculate the fair value of an indefinite-lived intangible asset. For those indefinite-lived assets where it is required, a fair value is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess.

The determination of the estimated fair value and the implied fair value of goodwill and other indefinite-lived intangible assets requires us to make assumptions about estimated cash flows including profit margins, long-term forecasts, discount rates and terminal growth rates. We developed these assumptions based on the market and geographic risks unique to each reporting unit.

2014 Goodwill Impairment Test

The estimated fair values for each of our reporting units exceeded their carrying values by more than 10% for the 2014 goodwill impairment test. Additionally, a 1% increase in the discount rate used or a 1% decrease in the terminal growth rate would not result in any reporting unit failing step 1.

Assessing the fair value of goodwill includes, among other things, making key assumptions for estimating future cash flows and appropriate market multiples. These assumptions are subject to a high degree of judgment and complexity. We make every effort to estimate future cash flows as accurately as possible with the information available at the time the forecast is developed. However, changes in assumptions and estimates may affect the estimated fair value of the reporting unit, and could result in impairment charges in future periods. Factors that have the potential to create variances in the estimated fair value of the reporting unit include but are not limited to the following:

• Decreases in estimated market sizes or market growth rates due to greater-than-expected declines in volumes, pricing pressures or disruptive technology;

• Declines in our market share and penetration assumptions due to increased competition or an inability to develop or launch new products;

• The impacts of the European sovereign debt crisis, including greater-than-expected declines in pricing, reductions in volumes, or fluctuations in foreign exchange rates;

• The level of success of on-going and future research and development efforts, including those related to recent acquisitions, and increases in the research and development costs necessary to obtain regulatory approvals and launch new products;

• Increase in the price or decrease in the availability of key commodities and the impact of higher energy prices; and

• Increases in our market-participant risk-adjusted weighted-average cost of capital;

2013 Goodwill Impairment Test

In the third quarter of 2013, we determined that we were required to complete the first step of the two-step impairment test. Under the income approach we assumed a discount rate of 11.0%, near term growth rates ranging from 2.5% to 4.6% and a terminal growth rate of 2.5%. Under the market approach, we assumed a weighted average multiple of 8.9 and 8.0 times projected 2013 and 2014 EBITDA, respectively, and a multiple of 0.7 and 0.6 times projected 2013 and 2014 revenue, respectively, based on industry market data. The results of our impairment test indicated that the estimated fair value of our EMEIA reporting unit was less than its carrying value; consequently, we performed the second step of the impairment test to quantify the amount of the non-cash, goodwill impairment charge. In the third quarter of 2013 we recorded a non-cash

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pre-tax goodwill impairment charge of $137.6 million ($131.2 million after-tax). This charge had no impact on our cash flows or our compliance with debt covenants. For our annual goodwill impairment test performed during the fourth quarter of 2013, the fair value of our EMEIA reporting unit exceeded its carrying value by approximately 24%.

During 2013, we renegotiated a significant joint venture contract within our Asia Pacific - Other reporting unit and moved the related product line to our Americas segment. As a result of these business changes, we completed the first step of the two-step impairment test. This reporting unit has goodwill of approximately $57 million.

Our Asia Pacific - Other reporting unit exceeded its carrying value by approximately 7% as of October 1, 2013. We have provided below key assumptions and a sensitivity analysis. Under the income approach we assumed a weighted average discount rate of 13.0%, near term growth rates ranging from (1.3%) to 15.9% and a terminal growth rate of 4.0%. Under the market approach, we assumed a weighted average implied multiple of 0.9 and 10.5 times projected 2013 revenue and earnings before interest, taxes, depreciation and amortization (EBITDA), respectively, based on industry market data. Holding other assumptions constant, a 1.0% increase in the discount rate would result in a $7.8 million decrease in the estimated fair value of the reporting unit, a 1.0% decrease in the long-term growth rate would result in a $5.5 million decrease in the estimated fair value of the reporting unit. Either of these scenarios individually would result in the reporting unit failing step 1, which would lead to any or all of the reporting unit's $57 million of goodwill to be impaired.

Other Indefinite-lived intangible assets - In testing our other indefinite-lived intangible assets for impairment, we assumed forecasted revenues for a period of five years with a discount rate of 11.0%, a terminal growth rate of 2.5%, and a royalty rate of 5.0%. All indefinite-lived intangible assets had a fair value that exceeded their carrying value by more than 15%.

A significant increase in the discount rate, decrease in the long-term growth rate, decrease in the royalty rate or substantial reductions in our end markets and volume assumptions could have a negative impact on the estimated fair values of any of our tradenames. The estimates of fair value are based on the best information available as of the date of the assessment, which primarily incorporates management assumptions about expected future cash flows.

• Long-lived assets and finite-lived intangibles – Long-lived assets and finite-lived intangibles are reviewed for impairment whenever events or changes in business circumstances indicate that the carrying amount of an asset may not be fully recoverable. Assets are grouped with other assets and liabilities at the lowest level for which identifiable cash flows can be generated. Impairment in the carrying value of an asset could be recognized whenever anticipated future undiscounted cash flows from an asset are less than its carrying value. The impairment is measured as the amount by which the carrying value exceeds the fair value of the asset as determined by an estimate of discounted cash flows. We believe that our use of estimates and assumptions are reasonable and comply with generally accepted accounting principles. Changes in business conditions could potentially require future adjustments to these valuations.

• Loss contingencies – Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental and asbestos matters and product liability, product warranty, worker’s compensation and other claims. We have recorded reserves in the combined and consolidated financial statements related to these matters, which are developed using input derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve, and in certain instances with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, we believe our estimated reserves are reasonable and do not believe the final determination of the liabilities with respect to these matters would have a material effect on our financial condition, results of operations, liquidity or cash flows for any year.

• Revenue recognition – Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, we validate that existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified

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in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred.

We offer various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for our best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2014 and 2013, we had a customer claim accrual (contra receivable) of $23.5 million and $21.9 million, respectively. All other incentives or incentive programs where the customer is required to reach a certain sales level, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2014 and 2013, we had a sales incentive accrual of $23.2 million and $21.0 million, respectively. Each of these accruals represents our best estimate we expect to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in our results for the period in which they become known. Historically, the aggregate differences, if any, between our estimates and actual amounts in any year have not had a material impact on our combined and consolidated financial statements.

We provide equipment, integrated solutions, and installation designed to customer specifications through construction-type contracts. The term of these types of contracts is typically less than one year, but can be as long as three years. Revenues related to these contracts are recognized using the percentage-of-completion method in accordance with GAAP. This measure of progress toward completion, utilized to recognize sales and profits, is based on the proportion of actual cost incurred to date as compared to the total estimate of contract costs at completion. The timing of revenue recognition often differs from the invoicing schedule to the customer with revenue recognition in advance of customer invoicing recorded to costs in excess of billings on uncompleted contracts and invoicing in advance of revenue recognition recorded to deferred revenue. At December 31, 2014, all recorded accounts receivables are due within one year. We re-evaluate our contract estimates periodically and reflect changes in estimates in the current period using the cumulative catch-up method. These periodic reviews have not historically resulted in significant adjustments. If estimated contract costs are in excess of contract revenues, then the excess costs are accrued and losses are recognized in current period earnings.

We enter into sales arrangements that contain multiple elements, such as equipment, installation and service revenue. For multiple element arrangements, each element is evaluated to determine the separate units of accounting. The total arrangement consideration is then allocated to the separate units of accounting based on their relative selling price at the inception of the arrangement. The relative selling price is determined using vendor specific objective evidence (VSOE) of selling price, if it exists; otherwise, third-party evidence (TPE) of selling price is used. If neither VSOE nor TPE of selling price exists for a deliverable, a best estimate of the selling price is developed for that deliverable. We primarily utilize VSOE to determine its relative selling price. We recognize revenue for delivered elements when the delivered item has stand-alone value to the customer, the basic revenue recognition criteria have been met, and only customary refund or return rights related to the delivered elements exist.

• Income taxes – Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. We recognize future tax benefits, such as net operating losses and non-U.S. tax credits, to the extent that realizing these benefits is considered in our judgment to be more likely than not. We regularly review the recoverability of our deferred tax assets considering our historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of our tax planning strategies. Where appropriate, we record a valuation allowance with respect to a future tax benefit.

The provision for income taxes involves a significant amount of management judgment regarding interpretation of relevant facts and laws in the jurisdictions in which we operate. Future changes in applicable laws, projected levels of taxable income, and tax planning could change the effective tax rate and tax balances recorded by us. In addition, tax authorities periodically review income tax returns filed by us and can raise issues regarding our filing positions, timing and amount of income or deductions, and the allocation of income among the jurisdictions in which we operate. A significant period of time may elapse between the filing of an income tax return and the ultimate resolution of an issue raised by a revenue authority with respect to that return. We believe that we have adequately provided for any reasonably foreseeable resolution of these matters. We will adjust our estimate if significant events so dictate. To the extent that the ultimate results differ from our original or adjusted estimates, the effect will be recorded in the provision for income taxes in the period that the matter is finally resolved.

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• Employee benefit plans – We provide a range of benefits to eligible employees and retirees, including pensions, postretirement and postemployment benefits. Determining the cost associated with such benefits is dependent on various actuarial assumptions including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates and healthcare cost trend rates. Actuarial valuations are performed to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated and amortized into earnings over future periods.

We review our actuarial assumptions at each measurement date and make modifications to the assumptions based on current rates and trends, if appropriate. The discount rate, the rate of compensation increase and the expected long-term rates of return on plan assets are determined as of each measurement date. A discount rate reflects a rate at which pension benefits could be effectively settled. Discount rates for all plans are established using hypothetical yield curves based on the yields of corporate bonds rated AA quality. Spot rates are developed from the yield curve and used to discount future benefit payments. The rate of compensation increase is dependent on expected future compensation levels. The expected long-term rate of return on plan assets reflects the average rate of returns expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. The expected long-term rate of return on plan assets is based on what is achievable given the plan’s investment policy, the types of assets held and the target asset allocation. The expected long-term rate of return is determined as of each measurement date.

We believe that the assumptions utilized in recording our obligations under our plans are reasonable based on input from our actuaries, outside investment advisors and information as to assumptions used by plan sponsors.

Changes in any of the assumptions can have an impact on the net periodic pension cost or postretirement benefit cost. Estimated sensitivities to the expected 2014 net periodic pension cost of a 0.25% rate decline in the two basic assumptions are as follows: the decline in the discount rate would increase expense by approximately $0.9 million and the decline in the estimated return on assets would increase expense by approximately $0.5 million. A 1.0% increase in the healthcare cost trend rate would increase the cost by approximately $0.1 million.

Recent Accounting Pronouncements

See Note 2 to our combined and consolidated financial statements included in Item 15 herein for a discussion of recently issued and adopted accounting pronouncements.

Item 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK

We are exposed to fluctuations in currency exchange rates, interest rates and commodity prices which could impact our results of operations and financial condition.

Foreign Currency Exposures

We have operations throughout the world that manufacture and sell products in various international markets. As a result, we are exposed to movements in exchange rates of various currencies against the U.S. dollar as well as against other currencies throughout the world. We actively manage material currency exposures that are associated with purchases and sales and other assets and liabilities at the legal entity level. We attempt to hedge exposures that cannot be naturally offset to an insignificant amount with foreign currency derivatives. Derivative instruments utilized by us in our hedging activities are viewed as risk management tools, involve little complexity and are not used for trading or speculative purposes. To minimize the risk of counter party non-performance, derivative instrument agreements are made only through major financial institutions with significant experience in such derivative instruments.

We evaluate our exposure to changes in currency exchange rates on our foreign currency derivatives using a sensitivity analysis. The sensitivity analysis is a measurement of the potential loss in fair value based on a percentage change in exchange rates. Based on the firmly committed currency derivative instruments in place at December 31, 2014, a hypothetical change in fair value of those derivative instruments assuming a 10% adverse change in exchange rates would result in an additional unrealized loss of approximately $3.9 million. This amount, when realized, would be partially offset by changes in the fair value of the underlying transactions.

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Venezuela is treated as a highly inflationary economy under GAAP. As a result, the U.S. dollar is the functional currency for our consolidated joint venture in Venezuela. Any currency remeasurement adjustments for non-U.S. dollar denominated monetary assets and liabilities and other transactional foreign exchange gains and losses are reflected in earnings.

The Venezuelan government’s official exchange rate is currently 6.3 Venezuelan bolivars per U.S. dollar. The Venezuelan government re-instituted a secondary exchange rate (SICAD I rate) for select goods and services. The SICAD I rate was 12 bolivars per U.S. dollar at December 31, 2014. In March 2014, the Venezuelan government launched a SICAD II rate to provide a greater supply of U.S. dollar from sources other than the Venezuelan government. All companies located or domiciled in Venezuela may bid for U.S. dollar for any purpose. The SICAD II exchange rate was approximately 50 bolivars per U.S. dollar on December 31, 2014.

Given accelerated deterioration in economic conditions driven by a significant drop in the price of oil and no expectation of improvement for the foreseeable future, we concluded that the SICAD II exchange rate was the most appropriate rate at which to value bolivar denominated assets and liabilities. As a result, on December 31, 2014, we moved the exchange rate applied to bolivars from the official rate to the SICAD II rate. We recorded a charge of $45.4 million (before tax and non-controlling interest), or $0.28 per diluted share. The charge includes remeasurement of net monetary assets ($12.1 million) and a non-cash impairment charge to adjust Venezuelan inventory balances ($33.3 million). Had the SICAD II rate been applied throughout all of 2014, we estimate it would have reduced full-year revenues and EPS by approximately $95 million and $0.11 per share, respectively. After these charges, we had $4.6 million of bolivar-denominated net monetary assets and $8.9 million of inventory in Venezuela as of December 31, 2014.

On February 9, 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or “Simadi,” that will replace the SICAD II rate. The Company is currently evaluating this announcement. Adoption of the Simadi rate would result in additional charges to remeasure the net monetary assets and impair other assets.

Commodity Price Exposures

We are exposed to volatility in the prices of commodities used in some of our products and we use fixed price contracts to manage this exposure. We do not have committed commodity derivative instruments in place at December 31, 2014.

Interest Rate Exposure

Outstanding borrowings under our Senior Secured Credit Facilities accrue interest at variable rates and expose us to interest rate risks. A 100 basis point increase in LIBOR would have resulted in incremental 2014 interest expense of approximately $7.0 million, excluding the impact of our forward starting interest rate swaps. In June 2014, we entered into forward starting interest rate swaps for $300.0 million of our variable rate $975.0 million Term Loan Facilities. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016. If the base interest rate in our credit facilities increases in the future then the floating-rate debt could have a material effect on our interest expense.

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Item 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

(a) The following Combined and Consolidated Financial Statements and Financial Statement Schedules and the report thereon of PricewaterhouseCoopers LLP dated February 27, 2015, are presented following Item 15 of this Annual Report on Form 10-K.

Combined and Consolidated Financial Statements:

Report of independent registered public accounting firm

Combined and consolidated statements of comprehensive income for the years ended December 31, 2014, 2013 and 2012

Consolidated balance sheets at December 31, 2014 and 2013

For the years ended December 31, 2014, 2013 and 2012:

Combined and consolidated statements of equity

Combined and consolidated statements of cash flows

Notes to Combined and Consolidated Financial Statements

Financial Statement Schedule:

Schedule II – Valuation and Qualifying Accounts for the years ended December 31, 2014, 2013 and 2012:

(b) The unaudited selected quarterly financial data for the two years ended December 31, is as follows:

	As adjusted for impact of change to FIFO
In millions, except per share amounts	2014
	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
Net revenues	$	466.6	$	531.5	$	546.7	$	573.5
Cost of goods sold	274.4		305.5		310.1		374.6
Operating income	67.8		89.4		106.1		63.0
Net earnings	37.7		46.7		66.0		22.2
Net earnings attributable to Allegion plc	35.9		43.2		60.7		35.4
Earnings per share attributable to Allegion plc ordinary shareholders:
Basic	$	0.37	$	0.45	$	0.63	$	0.37
Diluted	$	0.37	$	0.44	$	0.63	$	0.37
	As originally reported
In millions, except per share amounts	2014
	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
Net revenues	$	466.6	$	531.5	$	546.7	$	573.5
Cost of goods sold	274.8		305.2		310.6		374.0
Operating income	67.4		89.7		105.6		63.6
Net earnings	37.4		47.0		65.6		22.9
Net earnings attributable to Allegion plc	35.6		43.5		60.3		35.9
Earnings per share attributable to Allegion plc ordinary shareholders:
Basic	$	0.37	$	0.45	$	0.63	$	0.37
Diluted	$	0.37	$	0.45	$	0.62	$	0.37

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	As adjusted for impact of change to FIFO
In millions, except per share amounts	2013
	First Quarter		Second Quarter		Third Quarter			Fourth Quarter
Net revenues	$	468.2	$	528.7	$	529.0		$	543.7
Cost of goods sold	281.8		310.6		289.6			326.1
Operating income	69.9		99.6		(20.4		)	91.7
Net earnings	41.4		62.1		(67.4		)	8.7
Net earnings attributable to Allegion plc	39.6		60.1		(77.5		)	10.1
Earnings per share attributable to Allegion plc ordinary shareholders:
Basic	$	0.41	$	0.63	$	(0.81	)	$	0.11
Diluted	$	0.41	$	0.63	$	(0.81	)	$	0.10
	As originally reported
In millions, except per share amounts	2013
	First Quarter		Second Quarter		Third Quarter			Fourth Quarter
Net revenues	$	468.2	$	528.7	$	529.0		$	543.7
Cost of goods sold	282.2		310.2		290.6			327.3
Operating income	69.5		100.0		(21.4		)	90.5
Net earnings	41.0		62.5		(68.0		)	8.0
Net earnings attributable to Allegion plc	39.4		60.3		(78.1		)	9.4
Earnings per share attributable to Allegion plc ordinary shareholders:
Basic	$	0.41	$	0.63	$	(0.81	)	$	0.10
Diluted	$	0.41	$	0.63	$	(0.81	)	$	0.10

As discussed in Note 2 to our combined and consolidated financial statements, in the fourth quarter of 2014 we changed our method of inventory costing for certain inventory to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method. We applied this change in method of inventory costing by retrospectively adjusting the prior period financial statements.

The 2013 information presented above reflects:

• The $137.6 million non-cash pre-tax goodwill impairment charge of ($131.2 million after-tax) recorded in the third quarter.

• The $21.5 million gain on a property sale in China recorded in the third quarter.

• $44.8 million of discrete tax adjustments consisting of $31.5 million of expense related to valuation allowances on deferred tax assets that are no longer expected to be utilized and $13.3 million of net tax expense resulting primarily from transactions occurring to effect the Spin-off recorded in the fourth quarter.

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Item 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL

DISCLOSURE

None.

Item 9A.CONTROLS AND PROCEDURES

(a) Evaluation of Disclosure Controls and Procedures

The Company's management, including its Chief Executive Officer and Chief Financial Officer, have conducted an evaluation of the effectiveness of the Company's disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the Exchange Act)), as of the end of the period covered by this Annual Report on Form 10-K. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded as of December 31, 2014, that the Company's disclosure controls and procedures were effective in ensuring that information required to be disclosed by the Company in reports that it files or submits under the Exchange Act has been recorded, processed, summarized and reported, within the time periods specified in the Commission's rules and forms, and that such information has been accumulated and communicated to the Company's management including its Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

(b) Management's Report on Internal Control Over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as defined under Exchange Act Rules 13a-15(f) and 15d-15(f). Our internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. Internal control over financial reporting includes those policies and procedures that:

• pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the Company’s assets;

• provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that the Company’s receipts and expenditures are being made only in accordance with authorizations of the Company’s management and directors; and

• provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Management assessed the effectiveness of our internal control over financial reporting as of December 31, 2014. In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in Internal Control-Integrated Framework (2013). We concluded that our internal control over financial reporting was effective as of December 31, 2014.

The effectiveness of our internal control over financial reporting has been audited by PricewaterhouseCoopers LLP, the independent registered public accounting firm, as stated in their report herein.

(c) Changes in Internal Control Over Financial Reporting

There were no changes in the Company's internal control over financial reporting that occurred during the quarter ended December 31, 2014 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Item 9B.OTHER INFORMATION

None.

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PART III

Item 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

The information regarding our executive officers is included in Part I under the caption “Executive Officers of Registrant.”

The other information required by this item is incorporated herein by reference to the information contained under the headings “Item 1. Election of Directors”, “Section 16(a) Beneficial Ownership Reporting Compliance” and “Corporate Governance” in Proxy Statement.

Item 11.EXECUTIVE COMPENSATION

The other information required by this item is incorporated herein by reference to the information contained under the headings “Compensation Discussion and Analysis”, “Executive Compensation” and “Compensation Committee Report” in our Proxy Statement.

Item 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED

STOCKHOLDER MATTERS

The other information required by this item is incorporated herein by reference to the information contained under the headings “Security Ownership of Certain Beneficial Owners and Management” and “Equity Compensation Plan Information” of our Proxy Statement.

Item 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

The other information required by this item is incorporated herein by reference to the information contained under the headings “Corporate Governance” and “Certain Relationships and Related Person Transactions” of our Proxy Statement.

Item 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES

The information required by this item is incorporated herein by reference to the information contained under the caption “Fees of the Independent Auditors” in our Proxy Statement.

48

PART IV

Item 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

(a) 1. and 2.	Financial statements and financial statement schedule See Item 8.
3.	Exhibits
	The exhibits listed on the accompanying index to exhibits are filed as part of this Annual Report on Form 10-K.

49

ALLEGION PLC

INDEX TO EXHIBITS

(Item 15(a))

Description

Pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"), Allegion plc (the "Company") has filed certain agreements as exhibits to this Annual Report on Form 10-K. These agreements may contain representations and warranties by the parties. These representations and warranties have been made solely for the benefit of the other party or parties to such agreements and (i) may have been qualified by disclosures made to such other party or parties, (ii) were made only as of the date of such agreements or such other date(s) as may be specified in such agreements and are subject to more recent developments, which may not be fully reflected in our public disclosure, (iii) may reflect the allocation of risk among the parties to such agreements and (iv) may apply materiality standards different from what may be viewed as material to investors. Accordingly, these representations and warranties may not describe our actual state of affairs at the date hereof and should not be relied upon.

(a) Exhibits

Exhibit Number	Exhibit Description	Method of Filing
2.1	Separation and Distribution Agreement between Ingersoll-Rand plc and Allegion plc, dated November 29, 2013.	Incorporated by reference to Exhibit 2.1 to the Company’s Form 8-K filed with the SEC on December 2, 2013 (File No. 001-35971).
4.1	Amended and Restated Memorandum and Articles of Association of Allegion plc	Incorporated by reference to Exhibit 3.1 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
4.2	Certificate of Incorporation of Allegion plc	Incorporated by reference to Exhibit 3.2 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
4.1	Indenture, dated as of October 4, 2013, among Allegion plc, Allegion US Holding Company Inc., the subsidiary guarantors party thereto and Wells Fargo Bank, National Association	Incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
4.2	Exchange and Registration Rights Agreement, dated as of October 4, 2013, among Allegion plc, Allegion US Holding Company Inc., the subsidiary guarantors party thereto and the Representatives of the Initial Purchasers named therein	Incorporated by reference to Exhibit 4.2 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.1	Tax Matters Agreement between Ingersoll-Rand plc and Allegion plc	Incorporated by reference to Exhibit 10.1 to the Company’s Form 8-K filed with the SEC on December 2, 2013 (File No. 001-35971).
10.2	Employee Matters Agreement between Ingersoll-Rand plc and Allegion plc	Incorporated by reference to Exhibit 10.1 to the Company’s Form 8-K filed with the SEC on December 2, 2013 (File No. 001-35971).
10.3	Guarantee and Collateral Agreement, among Allegion plc, Allegion US Holding Company Inc., the restricted subsidiaries from time to time party thereto and JPMorgan Chase Bank, N.A., as administrative agent and collateral agent	Incorporated by reference to Exhibit 10.4 to the Company’s Form 8-K/A filed with the SEC on December 3, 2013 (File No. 001-35971).
10.4	2013 Incentive Stock Plan	Incorporated by reference to Exhibit 10.5 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).

50

10.5 Executive Deferred Compensation Plan Incorporated by reference to Exhibit 10.6 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).

51

10.6	Supplemental Employee Savings Plan	Incorporated by reference to Exhibit 10.7 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.7	Elected Officer Supplemental Program	Incorporated by reference to Exhibit 10.8 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.8	Key Management Supplemental Program	Incorporated by reference to Exhibit 10.9 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.9	Supplemental Pension Plan	Incorporated by reference to Exhibit 10.10 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.10	Senior Executive Performance Plan	Incorporated by reference to Exhibit 10.11 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.11	David D. Petratis Offer Letter, dated June 19, 2013	Incorporated by reference to Exhibit 10.14 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.12	Patrick S. Shannon Offer Letter, dated April 9, 2013	Incorporated by reference to Exhibit 10.15 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.13	Timothy P. Eckersley Offer Letter, dated October 3, 2013	Incorporated by reference to Exhibit 10.16 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.14	Barbara A. Santoro Offer Letter, dated April 9, 2013	Incorporated by reference to Exhibit 10.18 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.15	Feng (William) Yu Offer Letter, dated October 4, 2013	Incorporated by reference to Exhibit 10.18 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.16	Form of Allegion plc Deed Poll Indemnity	Incorporated by reference to Exhibit 10.21 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.17	Form of Allegion US Holding Company, Inc. Deed Poll Indemnity	Incorporated by reference to Exhibit 10.22 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.18	Form of Allegion Irish Holding Company Limited Deed Poll Indemnity	Incorporated by reference to Exhibit 10.23 to the Company’s Registration Statement on Form 10 filed with the SEC on June 17, 2013, as amended (File No. 001-35971).
10.19	Annual Incentive Plan	Incorporated by reference to Exhibit 10.33 to the Company's Form 10-K filed with the SEC on March 10, 2014 (File No. 001-35971).
10.20	Change in Control Severance Plan	Incorporated by reference to Exhibit 10.34 to the Company's Form 10-K filed with the SEC on March 10, 2014 (File No. 001-35971).

52

10.21	Agreement and Release dated June 9, 2014 between Schlage Lock Company LLC and Barbara A. Santoro	Incorporated by reference to Exhibit 10.1 to the Company's Form 10-Q filed with the SEC on July 30, 2014 (File No. 001-35971).
10.22	Amended and Restated Agreement by and among Allegion plc, as the Borrower, Allegion US Holding Company, Inc., as the Co-Borrower, the Lenders and Issuing Banks party thereto, and JPMorgan Chase Bank, N.A., as Administrative Agent, dated October 15, 2014	Incorporated by reference to Exhibit 10.1 to the Company's Form 8-K filed with the SEC on October 16, 2014 (File No. 001-35971).
10.23	Raymond Lewis Offer Letter, dated August 29, 2013	Filed herewith.
10.24	Form of Global Restricted Stock Unit Award Agreement	Filed herewith.
10.25	Form of Global Restricted Stock Option Award Agreement	Filed herewith.
10.26	Form of Global Performance Stock Unit Award Agreement	Filed herewith.
18.1	Preferability Letter from PricewaterhouseCoopers LLP	Filed herewith.
21.1	List of subsidiaries of Allegion plc	Filed herewith.
23.1	Consent of Independent Registered Public Accounting Firm	Filed herewith.
31.1	Certification of Chief Executive Officer Pursuant to Rule 13a-14(a) or Rule 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	Filed herewith.
31.2	Certification of Chief Financial Officer Pursuant to Rule 13a-14(a) or Rule 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.	Filed herewith.
32.1	Certifications of Chief Executive Officer and Chief Financial Officer Pursuant to Rule 13a-14(b) or Rule 15d-14(b) and 18U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.	Furnished herewith.

53

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

ALLEGION PLC

(Registrant)

By:	/s/ David D. Petratis
	David D. Petratis
	Chief Executive Officer
Date:	February 27, 2015

54

Pursuant to the requirement of the Securities Exchange Act of 1934, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Signature	Title	Date
/s/ David D. Petratis	Chairman of the Board, President and Chief Executive Officer (Principal Executive Officer)	February 27, 2015
(David D. Petratis)
/s/ Patrick S. Shannon	Senior Vice President and Chief Financial Officer (Principal Financial Officer)	February 27, 2015
(Patrick S. Shannon)
/s/ Douglas P. Ranck	Vice President and Controller (Principal Accounting Officer)	February 27, 2015
(Douglas P. Ranck)
/s/ Michael J. Chesser	Director	February 27, 2015
(Michael J. Chesser)
/s/ Carla Cico	Director	February 27, 2015
(Carla Cico)
/s/ Kirk S. Hachigan	Director	February 27, 2015
(Kirk S. Hachigian)
/s/ Dean Schaffer	Director	February 27, 2015
(Dean Schaffer)
/s/ Martin E. Welch III	Director	February 27, 2015
(Martin E. Welch III)

55

ALLEGION PLC

Index to Combined and Consolidated Financial Statements

Report of Independent Registered Public Accounting Firm	F-2
Combined and Consolidated Statements of Comprehensive Income	F-3
Consolidated Balance Sheets	F-5
Combined and Consolidated Statements of Equity	F-6
Combined and Consolidated Statements of Cash Flows	F-7
Notes to Combined and Consolidated Financial Statements	F-9
Schedule II – Valuation and Qualifying Accounts	F-54

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Directors of Allegion plc:

In our opinion, the accompanying consolidated balance sheets as of December 31, 2014 and 2013 and the related consolidated statements of comprehensive income, of equity and of cash flows for the years then ended, and the combined statements of income, of equity, and of cash flows for the year ended December 31, 2012 present fairly, in all material respects, the financial position of Allegion plc and its subsidiaries at December 31, 2014 and 2013, and the results of their operations and their cash flows for the years then ended, and the combined results of their operations and their cash flows for the year ended December 31, 2012, in conformity with accounting principles generally accepted in the United States of America. In addition, in our opinion, the financial statement schedule listed in the accompanying index presents fairly, in all material respects, the information set forth therein when read in conjunction with the related financial statements. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2014, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). The Company's management is responsible for these financial statements and financial statement schedule, for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in Management's Report on Internal Control Over Financial Reporting appearing under Item 9A. Our responsibility is to express opinions on these financial statements, on the financial statement schedule, and on the Company's internal control over financial reporting based on our audits (which was an integrated audit in 2014). We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement and whether effective internal control over financial reporting was maintained in all material respects. Our audits of the financial statements included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

As discussed in Note 2 to the consolidated financial statements, the Company changed the manner in which it accounts for inventory costing in 2014.

A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ PricewaterhouseCoopers LLP

Indianapolis, Indiana

February 27, 2015

F-2

Allegion plc Combined and Consolidated Statements of Comprehensive Income In millions, except share amounts
For the years ended December 31,	2014			2013			2012
Net revenues	$	2,118.3		$	2,069.6		$	2,023.3
Cost of goods sold	1,264.6			1,208.1			1,197.7
Selling and administrative expenses	527.4			483.1			454.3
Goodwill impairment charge	—			137.6			—
Operating income	326.3			240.8			371.3
Interest expense	53.8			10.2			1.5
Other expense, net	4.6			7.2			3.1
Earnings before income taxes	267.9			223.4			366.7
Provision for income taxes	84.2			175.0			136.7
Earnings from continuing operations	183.7			48.4			230.0
Discontinued operations, net of tax	(11.1		)	(3.6		)	(4.2		)
Net earnings	172.6			44.8			225.8
Less: Net earnings (loss) attributable to noncontrolling interests	(2.6		)	12.5			5.7
Net earnings attributable to Allegion plc	$	175.2		$	32.3		$	220.1
Amounts attributable to Allegion plc ordinary shareholders:
Continuing operations	$	186.3		$	35.9		$	224.3
Discontinued operations	(11.1		)	(3.6		)	(4.2		)
Net earnings	$	175.2		$	32.3		$	220.1
Earnings (loss) per share attributable to Allegion plc ordinary shareholders:
Basic:
Continuing operations	$	1.94		$	0.37		$	2.34
Discontinued operations	(0.12		)	(0.03		)	(0.05		)
Net earnings	$	1.82		$	0.34		$	2.29
Diluted:
Continuing operations	$	1.92		$	0.37		$	2.34
Discontinued operations	(0.12		)	(0.03		)	(0.05		)
Net earnings	$	1.80		$	0.34		$	2.29

F-3

Allegion plc Combined and Consolidated Statements of Comprehensive Income (continued) In millions, except share amounts
For the years ended December 31,	2014			2013			2012
Net earnings	$	172.6		$	44.8		$	225.8
Other comprehensive income (loss)
Currency translation	(66.4		)	(58.4		)	21.4
Cash flow hedges and marketable securities
Unrealized net gains (losses) arising during period	2.0			7.0			5.3
Net (gains) losses reclassified into earnings	(2.5		)	(0.9		)	0.2
Tax (expense) benefit	(0.5		)	(0.3		)	0.2
Total cash flow hedges and marketable securities, net of tax	(1.0		)	5.8			5.7
Pension and OPEB adjustments:
Prior service gains (costs) for the period	0.3			(2.3		)	13.8
Net actuarial gains (losses) for the period	(9.9		)	34.1			(23.0		)
Amortization reclassified into earnings	4.3			4.2			5.0
Settlements/curtailments reclassified to earnings	—			(0.1		)	2.7
Net loss resulting from Spin-off	—			(42.9		)	—
Currency translation and other	4.8			(0.4		)	(1.2		)
Tax (expense) benefit	15.7			(28.2		)	(2.5		)
Total pension and OPEB adjustments, net of tax	15.2			(35.6		)	(5.2		)
Other comprehensive income (loss), net of tax	(52.2		)	(88.2		)	21.9
Total comprehensive income (loss), net of tax	$	120.4		$	(43.4	)	$	247.7
Less: Total comprehensive income (loss) attributable to noncontrolling interests	(3.3		)	13.3			6.2
Total comprehensive income (loss) attributable to Allegion plc	$	123.7		$	(56.7	)	$	241.5

See accompanying notes to combined and consolidated financial statements.

F-4

Allegion plc

Consolidated Balance Sheets

In millions, except share amounts

As of December 31,	2014			2013
ASSETS
Current assets:
Cash and cash equivalents	$	290.5		$	227.4
Restricted cash	—			40.2
Accounts and notes receivable, net	259.9			260.0
Costs in excess of billings on uncompleted contracts	181.1			158.8
Inventories	179.5			187.5
Deferred taxes and current tax receivable	36.6			38.1
Other current assets	26.2			34.8
Total current assets	973.8			946.8
Property, plant and equipment, net	211.2			200.2
Goodwill	506.0			504.9
Intangible assets, net	125.7			146.1
Deferred taxes	72.3			78.5
Other noncurrent assets	126.9			124.1
Total assets	$	2,015.9		$	2,000.6
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	249.5		$	211.3
Accrued compensation and benefits	74.0			71.8
Accrued expenses and other current liabilities	120.4			111.5
Deferred taxes and current tax payable	36.3			23.9
Short-term borrowings and current maturities of long-term debt	49.6			71.9
Liabilities held for sale	1.5			0.1
Total current liabilities	531.3			490.5
Long-term debt	1,215.0			1,272.0
Postemployment and other benefit liabilities	122.0			110.6
Deferred and noncurrent income taxes	58.0			86.7
Other noncurrent liabilities	71.1			75.8
Total liabilities	1,997.4			2,035.6
Equity:
Allegion plc shareholders’ equity (deficit)
Ordinary shares, $0.01 par value (95,831,400 shares issued at December 31, 2014)	1.0			1.0
Capital in excess of par value	—			28.5
Retained earnings	142.4			1.1
Accumulated other comprehensive loss	(148.2		)	(96.7		)
Total Allegion plc shareholders’ equity (deficit)	(4.8		)	(66.1		)
Noncontrolling interest	23.3			31.1
Total equity (deficit)	18.5			(35.0		)
Total liabilities and equity	$	2,015.9		$	2,000.6

See accompanying notes to combined and consolidated financial statements.

F-5

Allegion plc Combined and Consolidated Statements of Equity
				Allegion plc Shareholders' equity
In millions	Total equity (deficit)			Ordinary Shares				Capital in excess of par value			Retained earnings			Accumulated  other comprehensive income (loss)			Parent company's net investment			Non-controlling Interest
				Amount		Shares
Balance at December 31, 2011	$	1,454.8		$	—	—		$	—		$	—		$	(29.1	)	$	1,461.9		$	22.0
Net earnings	225.8			—		—		—			—			—			220.1			5.7
Other comprehensive income	21.9			—		—		—			—			21.4			—			0.5
Dividends declared to noncontrolling interest	(5.2		)	—		—		—			—			—			—			(5.2		)
Distribution/contribution to/from Parent Company	(311.6		)	—		—		—			—			—			(311.6		)	—
Balance at December 31, 2012	1,385.7			—		—		—			—			(7.7		)	1,370.4			23.0
Net earnings	44.8			—		—		—			5.4			—			26.9			12.5
Other comprehensive income (loss)	(88.2		)	—		—		—			—			(89.0		)	—			0.8
Shares issued under incentive stock plans	1.3			—		—		1.3			—			—			—			—
Share-based compensation	5.5			—		—		0.8			—			—			4.7			—
Dividends declared to noncontrolling interest	(5.2		)	—		—		—			—			—			—			(5.2		)
Distribution/contribution to/from Parent Company	(1,378.9		)	—		—		—			—			—			(1,378.9		)	—
Conversion of Parent Company investment	—			1.0		96.0		26.4			(4.3		)	—			(23.1		)	—
Balance at December 31, 2013	(35.0		)	1.0		96.0		28.5			1.1			(96.7		)	—			31.1
Net earnings	172.6			—		—		—			175.2			—			—			(2.6		)
Other comprehensive loss	(52.2		)	—		—		—			—			(51.5		)	—			(0.7		)
Shares issued under incentive stock plans	18.5			—		—		18.5			—			—			—			—
Repurchase of ordinary shares	(50.3		)	—		(1.0	)	(48.8		)	(1.5		)	—			—			—
Share-based compensation	13.1			—		0.8		13.1			—			—			—			—
Dividends declared to noncontrolling interest	(4.5		)	—		—		—			—			—			—			(4.5		)
Cash dividends declared ($0.32 per share)	(30.7		)	—		—		—			(30.7		)	—			—			—
Other	(13.0		)	—		—		(11.3		)	(1.7		)	—			—			—
Balance at December 31, 2014	$	18.5		$	1.0	95.8		$	—		$	142.4		$	(148.2	)	$	—		$	23.3

See accompanying notes to combined and consolidated financial statements.

F-6

Allegion plc Combined and Consolidated Statements of Cash Flows In millions
For the years ended December 31,	2014			2013			2012
Cash flows from operating activities:
Net earnings	$	172.6		$	44.8		$	225.8
Loss from discontinued operations, net of tax	11.1			3.6			4.2
Adjustments to arrive at net cash provided by operating activities:
Goodwill impairment charge	—			137.6			—
Write-off of debt issuance costs	4.5			—			—
Depreciation and amortization	48.8			46.1			43.8
Share based compensation	13.1			0.8			—
Excess tax benefit from share based awards	(4.5		)	—			—
(Gain) loss on sale of property, plant and equipment	0.1			(21.8		)	0.1
Equity earnings, net of dividends	(0.5		)	—			—
Deferred income taxes	17.2			17.7			(3.6		)
Other items	10.9			(30.1		)	12.7
Changes in other assets and liabilities
(Increase) decrease in:
Accounts and notes receivable	(8.0		)	27.9			2.0
Inventories	3.4			3.9			(1.2		)
Other current and noncurrent assets	(24.2		)	80.3			(14.2		)
Increase (decrease) in:
Accounts payable	43.4			(16.7		)	8.0
Other current and noncurrent liabilities	(28.9		)	(64.8		)	(3.9		)
Net cash provided by continuing operating activities	259.0			229.3			273.7
Net cash used in discontinued operating activities	(3.1		)	(5.4		)	(4.5		)
Net cash provided by operating activities	255.9			223.9			269.2
Cash flows from investing activities:
Capital expenditures	(51.5		)	(20.2		)	(19.6		)
Restricted cash	40.2			(40.2		)	—
Acquisition of businesses, net of cash acquired	(25.2		)	—			—
Proceeds from sale of property, plant and equipment	0.5			41.7			2.1
Proceeds from business dispositions, net of cash sold	1.2			—			—
Net cash used in investing activities	$	(34.8	)	$	(18.7	)	$	(17.5	)

F-7

Allegion plc Consolidated Statements of Cash Flows - (Continued) In millions
For the years ended December 31,	2014			2013			2012
Cash flows from financing activities:
Short-term borrowings, net	(22.0		)	38.9			(1.0		)
Proceeds from long-term debt	956.3			1,300.0			—
Payments of long-term debt	(1,012.3		)	—			(0.1		)
Net proceeds (repayments) in debt	(78.0		)	1,338.9			(1.1		)
Debt issuance costs	(5.8		)	(29.1		)	—
Excess tax benefit from share-based compensation	4.5			—			—
Dividends paid to ordinary shareholders	(30.0		)	—			—
Dividends paid to noncontrolling interests	(4.5		)	(5.2		)	(5.2		)
Repurchase of ordinary shares	(50.3		)	—			—
Net transfers to Parent and affiliates	—			(1,598.3		)	(311.6		)
Proceeds from shares issued under incentive plans	14.1			1.3			—
Net cash used in financing activities	(150.0		)	(292.4		)	(317.9		)
Effect of exchange rate changes on cash and cash equivalents	(8.0		)	(2.9		)	6.9
Net increase (decrease) in cash and cash equivalents	63.1			(90.1		)	(59.3		)
Cash and cash equivalents – beginning of period	227.4			317.5			376.8
Cash and cash equivalents – end of period	$	290.5		$	227.4		$	317.5

See accompanying notes to combined and consolidated financial statements.

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NOTES TO COMBINED AND CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 – DESCRIPTION OF COMPANY AND BASIS OF PRESENTATION

Allegion plc, an Irish public limited company, and its consolidated subsidiaries ("Allegion" or "the Company") is a leading global company that creates peace of mind by pioneering safety and security. The Company offers an extensive and versatile portfolio of mechanical and electronic security products across a range of market-leading brands including CISA®, Interflex®, LCN®, Schlage® and Von Duprin®.

On December 1, 2013, Allegion became a stand-alone public company after Ingersoll-Rand plc ("Ingersoll Rand") completed the separation of its commercial and residential security businesses (the "Business") from the rest of Ingersoll Rand, via the transfer of the Business from Ingersoll Rand to Allegion and the issuance by Allegion of ordinary shares directly to Ingersoll Rand’s shareholders (the "Spin-off"). As part of the Spin-off, Allegion issued one ordinary share for every three ordinary shares of Ingersoll Rand held of record as of 5:00 p.m., New York City time on November 22, 2013. Allegion ordinary shares trade under the symbol ''ALLE'' on the New York Stock Exchange. Allegion issued a total of approximately 96.0 million ordinary shares in the Spin-off.

Basis of presentation: The Combined and Consolidated Financial Statements were prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") as defined by the Financial Accounting Standards Board ("FASB") within the FASB Accounting Standards Codification ("ASC").

Prior to the Spin-off, the Company’s combined and consolidated financial statements were prepared on a stand-alone basis derived from the consolidated financial statements and accounting records of Ingersoll Rand and included allocations for direct costs and indirect costs attributable to the operations of the Company. The Company’s financial statements for the year ended December 31, 2012 are on a combined basis and presented as carve-out financial statements as the Company was not a separate consolidated company prior to the Spin-off. Subsequent to the Spin-off, the Company’s financial statements as of and for the years ended December 31, 2014 and 2013 are presented on a consolidated basis as the Company became a separate consolidated group.

The Company’s Combined and Consolidated Statements of Comprehensive Income for the years ended December 31, 2013 and 2012 include allocations of general corporate expenses for certain support functions that were provided on a centralized basis by Ingersoll Rand, such as expenses related to finance, human resources, information technology, facilities, and legal, among others. The Company used certain underlying activity drivers as a basis of allocation including revenue, assets, head-count utilization and other factors. Note 19 provides information regarding general overhead allocations. The Company believes such allocations are reasonable, however these Combined and Consolidated Financial Statements do not purport to reflect what the results of operations, comprehensive income (loss), financial position, equity or cash flows would have been had the Company operated as a stand-alone public company for all periods presented.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A summary of significant accounting policies used in the preparation of the accompanying Combined and Consolidated Financial Statements follows:

Principles of Consolidation: The Combined and Consolidated Financial Statements include all majority-owned subsidiaries of the Company. A noncontrolling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes Noncontrolling interest as a component of Total equity in the Consolidated Balance Sheet and the Net earnings attributable to noncontrolling interests are presented as an adjustment from Net earnings used to arrive at Net earnings attributable to Allegion in the Combined and Consolidated Statement of Comprehensive Income.

Partially-owned equity affiliates generally represent 20-50% ownership interests in investments and where we demonstrate significant influence in investments, but do not have a controlling financial interest. Partially-owned equity affiliates are accounted for under the equity method. The Company is also required to consolidate variable interest entities in which it bears a majority of the risk to the entities’ potential losses or stands to gain from a majority of the entities’ expected returns. Transactions between the Company and Ingersoll Rand and its affiliates are herein referred to as "related party" or "affiliated" transactions. The assets, liabilities, results of operations and cash flows of all discontinued operations have been separately reported as discontinued operations.

Use of Estimates:  The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors including the facts and circumstances available at the time the estimates are made, historical experience,

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risk of loss, general economic conditions and trends, and the assessment of the probable future outcome. Some of the more significant estimates include accounting for doubtful accounts, useful lives of property, plant and equipment and intangible assets, purchase price allocations of acquired businesses, valuation of assets including goodwill and other intangible assets, product warranties, sales allowances, pension plans, postretirement benefits other than pensions, taxes, environmental costs, product liability and other contingencies. Actual results could differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of changes, if any, are reflected in the Combined and Consolidated Statement of Comprehensive Income in the period that they are determined.

Currency Translation:  Assets and liabilities where the functional currency is not the U.S. dollar, have been translated at year-end exchange rates, and income and expense accounts have been translated using average exchange rates throughout the year. Adjustments resulting from the process of translating an entity’s financial statements into the U.S. dollar have been recorded in the Equity section of the Consolidated Balance Sheet within Accumulated other comprehensive income (loss).

Cash and Cash Equivalents:  Cash and cash equivalents include cash on hand, demand deposits and all highly liquid investments with original maturities at the time of purchase of three months or less.

Marketable Securities:  The Company has classified its marketable securities as available-for-sale in accordance with GAAP. Available-for-sale marketable securities are accounted for at fair value, with the unrealized gain or loss, less applicable deferred income taxes, recorded within Accumulated other comprehensive income (loss). If any of the Company’s marketable securities experience other than temporary declines in value as defined by GAAP, a loss is recorded in the Combined and Consolidated Statement of Comprehensive Income.

Inventories: Inventories are stated at the lower of cost or net realizable value. In the fourth quarter of 2014, the Company changed its method of inventory costing for certain inventory in its Americas operating segment to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method. The Company's other operating segments also determine costs using the FIFO method. The Company believes that the FIFO method is preferable as it results in uniformity across the Company’s global operations, aligns with how the Company internally manages inventory, provides better matching of revenues and expenses and improves comparability with the Company’s peers. The impact of this change in accounting principle on the financial statements for each period presented is further explained in Note 4.

Allowance for Doubtful Accounts:  The Company has provided an allowance for doubtful accounts reserve, which represents the best estimate of probable loss inherent in the Company’s account receivables portfolio. Changes in the financial condition of customers or other unanticipated events, which may affect their ability to make payments, could result in charges for additional allowances exceeding the Company's estimates. The Company's estimates are influenced by the following considerations: a continuing credit evaluation of our customers’ financial condition; trade accounts receivable aging; and historical loss experience. The Company reserved $8.9 million and $5.5 million for doubtful accounts as of December 31, 2014 and 2013, respectively.

Property, Plant and Equipment:  Property, plant and equipment are stated at cost, less accumulated depreciation. Assets placed in service are recorded at cost and depreciated using the straight-line method over the estimated useful life of the asset except for leasehold improvements, which are depreciated over the shorter of their economic useful life or their lease term. The range of useful lives used to depreciate property, plant and equipment is as follows:

Buildings	10	to	50	years
Machinery and equipment	2	to	12	years
Software	2	to	7	years

Repair and maintenance costs that do not extend the useful life of the asset are charged against earnings as incurred. Major replacements and significant improvements that increase asset values and extend useful lives are capitalized.

The Company assesses the recoverability of the carrying value of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount of an asset to the future net undiscounted cash flows expected to be generated by the asset. If the undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized for the amount by which the carrying value of the asset exceeds the fair value of the assets.

Goodwill and Intangible Assets:  The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded.

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In accordance with GAAP, goodwill and other indefinite-lived intangible assets are tested and reviewed annually for impairment during the fourth quarter or whenever there is a significant change in events or circumstances that indicate that the fair value of the asset is more likely than not less than the carrying amount of the asset.

Recoverability of goodwill is measured at the reporting unit level and begins with a qualitative assessment to determine if it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test prescribed by U.S. GAAP. For those reporting units where it is required, the first step compares the carrying amount of the reporting unit to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired and the second step of the impairment test is not necessary. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a second step is performed, wherein the reporting unit's carrying value of goodwill is compared to the implied fair value of goodwill. To the extent that the carrying value exceeds the implied fair value, impairment exists and must be recognized.

The calculation of estimated fair value is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being equally weighted in the calculation. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The estimated fair value of the reporting unit is allocated to all of the assets and liabilities of the reporting unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit, as determined in the first step of the goodwill impairment test, was the price paid to acquire that reporting unit.

Recoverability of other intangible assets with indefinite useful lives (i.e. Trademarks) is first assessed using a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. This assessment is used as a basis for determining whether it is necessary to calculate the fair value of an indefinite-lived intangible asset. For those indefinite-lived assets where it is required, a fair value is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess.

Intangible assets such as patents, customer-related intangible assets and other intangible assets with finite useful lives are amortized on a straight-line basis over their estimated economic lives. The weighted-average useful lives approximate the following:

Customer relationships	25	years
Trademarks	25	years
Completed technology/patents	10	years
Other	25	years

Recoverability of intangible assets with finite useful lives is assessed in the same manner as property, plant and equipment as described above.

Income Taxes:  For purposes of the Company’s Combined and Consolidated Financial Statements for periods prior to the Spin-off, income tax expense has been recorded as if the Company filed tax returns on a stand-alone basis separate from Ingersoll Rand. This separate return methodology applies the accounting guidance for income taxes to the stand-alone financial statements as if the Company was a stand-alone enterprise for the periods prior to the Spin-off. Therefore, cash tax payments and items of current and deferred taxes may not be reflective of the Company’s actual tax balances prior to or subsequent to the Spin-off. Cash paid for income taxes for the year ended December 31, 2014 was $66.7 million.

The income tax accounts reflected in the Consolidated Balance Sheets as of December 31, 2014 include income taxes payable and deferred taxes allocated to the Company at the time of the Spin-off. The calculation of the Company’s income taxes involves considerable judgment and the use of both estimates and allocations.

Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. The Company recognizes future tax benefits, such as net operating losses and non-U.S. tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The Company regularly reviews the recoverability of its deferred tax assets considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary

F-11

differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance with respect to a future tax benefit.

Product Warranties:  Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available.

Revenue Recognition:  Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, the Company validates the existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred.

The Company offers various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for the Company’s best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2014 and 2013, the Company had a customer claim accrual (contra receivable) of $23.5 million and $21.9 million, respectively. All other incentives or incentive programs where the customer is required to reach a certain level of purchases, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2014 and 2013, the Company had a sales incentive accrual of $23.2 million and $21.0 million, respectively. Each of these accruals represents the Company’s best estimate it expects to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in the Company’s results for the period in which they become known. Historically, the aggregate differences, if any, between the Company’s estimates and actual amounts in any year have not had a material impact on the Combined and Consolidated Financial Statements.

The Company provides equipment, integrated solutions, and installation designed to customer specifications through construction-type contracts. The term of these types of contracts is typically less than one year, but can be as long as three years. Revenues related to these contracts are recognized using the percentage-of-completion method in accordance with GAAP. This measure of progress toward completion, utilized to recognize sales and profits, is based on the proportion of actual cost incurred to date as compared to the total estimate of contract costs at completion. The timing of revenue recognition often differs from the invoicing schedule to the customer with revenue recognition in advance of customer invoicing recorded to costs in excess of billings on uncompleted contracts and invoicing in advance of revenue recognition recorded to deferred revenue. At December 31, 2014, all recorded accounts receivables are due within one year. The Company re-evaluates its contract estimates periodically and reflects changes in estimates in the current period using the cumulative catch-up method. These periodic reviews have not historically resulted in significant adjustments. If estimated contract costs are in excess of contract revenues, then the excess costs are accrued and losses are recognized in current earnings.

The Company enters into sales arrangements that contain multiple elements, such as equipment, installation and service revenue. For multiple element arrangements, each element is evaluated to determine the separate units of accounting. The total arrangement consideration is then allocated to the separate units of accounting based on their relative selling price at the inception of the arrangement. The relative selling price is determined using vendor specific objective evidence ("VSOE") of selling price, if it exists; otherwise, third-party evidence ("TPE") of selling price is used. If neither VSOE nor TPE of selling price exists for a deliverable, a best estimate of the selling price is developed for that deliverable. The Company primarily utilizes VSOE to determine its relative selling price. The Company recognizes revenue for delivered elements when the delivered item has stand-alone value

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to the customer, the basic revenue recognition criteria have been met, and only customary refund or return rights related to the delivered elements exist.

Environmental Costs:  The Company is subject to laws and regulations relating to protecting the environment. Environmental expenditures relating to current operations are expensed or capitalized as appropriate. Expenditures relating to existing conditions caused by past operations, which do not contribute to current or future revenues, are expensed. Liabilities for remediation costs are recorded when they are probable and can be reasonably estimated, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action. The assessment of this liability, which is calculated based on existing technology, does not reflect any offset for possible recoveries from insurance companies, and is not discounted. Refer to Note 20 for further details of environmental matters.

Research and Development Costs:  The Company conducts research and development activities for the purpose of developing and improving new products and services. These expenditures are expensed when incurred. For the years ended December 31, 2014, 2013 and 2012, these expenditures amounted to approximately $43.3 million, $39.6 million and $38.2 million, respectively and consist of salaries, wages, benefits, building costs and other overhead expenses.

Software Costs:  The Company capitalizes certain qualified internal-use software costs during the application development stage and subsequently amortizes those costs over the software's useful life, which ranges from 2 to 7 years.

Employee Benefit Plans: The Company provides a range of benefits, including pensions, postretirement and postemployment benefits to eligible current and former employees. Determining the cost associated with such benefits is dependent on various actuarial assumptions, including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates, and healthcare cost trend rates. Actuaries perform the required calculations to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated into Accumulated other comprehensive income (loss) and amortized into Net earnings over future periods. The Company reviews its actuarial assumptions at each measurement date and makes modifications to the assumptions based on current rates and trends, if appropriate. Refer to Note 10 for further details on employee benefit plans.

Loss Contingencies:  Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental matters, product liability, product warranty, worker’s compensation and other claims. The Company has recorded reserves in the financial statements related to these matters, which are developed using inputs derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve and, in certain instances, with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, the Company believes its estimated reserves are reasonable and does not believe the final determination of the liabilities with respect to these matters would have a material effect on the financial condition, results of operations, liquidity or cash flows of the Company for any year. Refer to Note 20 for further details on loss contingencies.

Derivative Instruments:  The Company periodically enters into cash flow and other derivative transactions to specifically hedge exposure to various risks related to currency and interest rates. The Company recognizes all derivatives on the Consolidated Balance Sheet at their fair value as either assets or liabilities. For cash flow designated hedges, the effective portion of the changes in fair value of the derivative contract are recorded in Accumulated other comprehensive income (loss), net of taxes, and are recognized in Net earnings at the time earnings are affected by the hedged transaction. For other derivative transactions, the changes in the fair value of the derivative contract are immediately recognized in Net earnings. Refer to Note 9 for further details on derivative instruments.

Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncements:

In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-04, "Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date." ASU 2013-04 provides guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements where the total obligation is fixed at the reporting date, and for which no specific guidance currently exists. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In March 2013, the FASB issued ASU 2013-05, "Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity." ASU

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2013-05 clarifies the application of GAAP to the release of cumulative translation adjustments related to changes of ownership in or within foreign entities, including step acquisitions. This new guidance was effective for the Company on January 1, 2014.The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In July 2013, the FASB issued ASU 2013-11 Income Taxes (Topic 740), "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss or a Tax Credit Carryforward Exists." With certain exceptions, ASU 2013-11 requires entities to present an unrecognized tax benefit, or portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-11 do not have a significant impact on the Combined and Consolidated Financial Statements.

Recently Issued Accounting Pronouncements:

In April 2014, the FASB issued ASU 2014-08 "Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity," which amends the definition of a discontinued operation in Accounting Standards Codification Topic 205-20 (Presentation of Financial Statements — Discontinued Operations) and requires entities to disclose additional information about disposal transactions that do not meet the discontinued operations criteria. ASU 2014-08 redefines a discontinued operation as a component or group of components of an entity that (1) has been disposed of by sale or other than by sale or is classified as held for sale and (2) represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. According to the ASU, a strategic shift that has (or will have) a major effect on an entity’s operations and results includes the disposal of a major geographical area, a major line of business, a major equity investment, or other major parts of an entity. The ASU is effective prospectively for disposals or components classified as held for sale in periods on or after December 15, 2014. The requirements of ASU 2014-08 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In May 2014, the FASB issued ASU 2014-09 "Revenue from Contracts with Customers." ASU 2014-09 is the result of a joint project between the FASB and International Accounting Standards Board ("IASB") to clarify the principles for recognizing revenue and to develop a common revenue standard for GAAP and International Financial Reporting Standards ("IFRS") that would remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets, provide more useful information to users of financial statements through improved disclosure requirements and simplify the preparation of financial statements by reducing the number of requirements to which an entity must refer. The ASU is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The Company is assessing what impact, if any, ASU 2014-09 will have on the Combined and Consolidated Financial Statements.

In June 2014, the FASB issued ASU 2014-12 "Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period." ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The ASU is effective for annual and interim reporting periods beginning after December 15, 2015, including interim periods within that reporting period. Early application is permitted. The requirements of ASU 2014-12 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In August 2014, the FASB issued ASU 2014-15 "Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern." ASU 2014-15 guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. ASU 2014-15 will be effective in the fourth quarter of 2016, with early adoption permitted. The requirements of ASU 2014-15 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

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NOTE 3 – MARKETABLE SECURITIES

At December 31, long-term marketable securities included within Other noncurrent assets in the Consolidated Balance Sheets were as follows:

	2014						2013
In millions	Amortized cost or cost		Unrealized gains		Fair value		Amortized cost or cost		Unrealized gains		Fair value
Equity securities	$	5.2	$	12.7	$	17.9	$	4.0	$	16.2	$	20.2

NOTE 4 – INVENTORIES

At December 31, the major classes of inventory were as follows:

In millions	2014		2013
Raw materials	$	54.8	$	68.4
Work-in-process	32.1		34.5
Finished goods	92.6		84.6
Total	$	179.5	$	187.5

Inventories are stated at the lower of cost or net realizable value. In the fourth quarter of 2014 the Company recorded a $33.3 million non-cash inventory impairment charge related to the devaluation of the Venezuelan bolivar within Costs of goods sold in the 2014 Consolidated Statement of Comprehensive Income.

As described in Note 2, in the fourth quarter of 2014 the Company elected to change its method of accounting for certain inventory in its Americas operating segment from LIFO to FIFO. The Company applied this change in method of inventory costing by retrospectively adjusting the prior period financial statements. As a result of the retrospective adjustment of the change in accounting principle, certain amounts in our combined and consolidated statements of comprehensive income for the years ended December 31, 2013 and 2012 were adjusted as follows:

For the years ended December 31	2013							2012
In millions (except per share data)	As reported		Impact of change to FIFO			As adjusted		As reported		Impact of change to FIFO			As adjusted
Cost of goods sold	$	1,210.3	$	(2.2	)	$	1,208.1	$	1,198.6	$	(0.8	)	$	1,197.7
Operating income	238.6		2.2			240.8		370.5		0.8			371.3
Earnings before income taxes	221.2		2.2			223.4		365.8		0.8			366.7
Provision for income taxes	174.2		0.8			175.0		136.4		0.3			136.7
Earnings from continuing operations	47.0		1.4			48.4		229.4		0.5			230.0
Basic and diluted earnings per share attributable to Allegion plc ordinary shareholders	$	0.36	$	0.01		$	0.37	$	2.33	$	0.01		$	2.34

The consolidated balance sheet for the year ended December 31, 2013 was adjusted as follows:

In millions	As reported		Impact of change to FIFO			As adjusted
Inventories	$	153.7	$	33.8		$	187.5
Deferred income tax receivable	51.2		(13.1		)	38.1
Retained earnings	0.4		0.7			1.1

The combined and consolidated statements of cash flows for the years ended December 31, 2013 and 2012 were adjusted as follows:

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For the years ended December 31	2013							2012
	As reported		Impact of change to FIFO			As adjusted		As reported			Impact of change to FIFO			As adjusted
Net earnings	$	43.4	$	1.4		$	44.8	$	225.2		$	0.5		$	225.8
Deferred income taxes	16.9		0.8			17.7		(4.2		)	0.3			(3.6		)
Change in inventories, net	6.1		(2.2		)	3.9		0.3			(0.8		)	(1.2		)

NOTE 5 – PROPERTY, PLANT AND EQUIPMENT

At December 31, the major classes of property, plant and equipment were as follows:

In millions	2014			2013
Land	$	14.0		$	16.5
Buildings	120.5			126.3
Machinery and equipment	355.5			341.6
Software	96.8			82.0
	586.8			566.4
Accumulated depreciation	(375.6		)	(366.2		)
Total	$	211.2		$	200.2

Depreciation expense for the years ended December 31, 2014, 2013 and 2012 was $34.5 million, $36.1 million and $34.3 million, which includes amounts for software amortization of $12.7 million, $12.6 million and $10.4 million.

NOTE 6 – GOODWILL

The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded. The changes in the carrying amount of Goodwill are as follows:

In millions	Americas			EMEIA			Asia Pacific			Total
December 31, 2012 (gross)	$	339.0		$	536.7		$	110.1		$	985.8
Acquisitions and adjustments *	23.8			—			(23.8		)	—
Currency translation	—			3.3			1.3			4.6
December 31, 2013 (gross)	362.8			540.0			87.6			990.4
Acquisitions	2.3			—			10.3			12.6
Currency translation	(0.3		)	(6.9		)	(4.3		)	(11.5		)
December 31, 2014 (gross)	364.8			533.1			93.6			991.5
Accumulated impairment **	—			(478.6		)	(6.9		)	(485.5		)
Goodwill (net)	$	364.8		$	54.5		$	86.7		$	506.0

* During 2013, the Company reclassified goodwill related to a product line transfer from the Asia Pacific segment to the Americas segment.

** Accumulated impairment consists of charges of $137.6 million (EMEIA), $341.0 million (EMEIA) and $6.9 million (Asia Pacific) recorded in 2013, 2008 and 2007, respectively, as a result of the Company's impairment testing. During the third quarter of 2013 the Company performed an interim impairment test on goodwill of its EMEIA reporting unit. The results of the third quarter 2013 interim impairment test indicated that the estimated fair value of the EMEIA reporting unit was less than its carrying value; consequently, the Company completed the second step of the interim impairment test, which resulted in a $137.6 million non-cash pre-tax goodwill impairment charge.

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The estimated fair values for each of the Company's reporting units exceeded their carrying values by more than 10% for the 2014 goodwill impairment test.

NOTE 7 – INTANGIBLE ASSETS

The following table sets forth the gross amount and related accumulated amortization of the Company’s intangible assets at December 31:

	2014							2013
In millions	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Completed technologies/patents	$	27.8	$	(23.2	)	$	4.6	$	26.4	$	(23.6	)	$	2.8
Customer relationships	94.7		(37.0		)	57.7		107.8		(38.1		)	69.7
Trademarks (finite-lived)	89.3		(36.0		)	53.3		101.4		(36.8		)	64.6
Other	10.8		(10.8		)	—		13.4		(13.4		)	—
Total finite-lived intangible assets	222.6		$	(107.0	)	115.6		249.0		$	(111.9	)	137.1
Trademarks (indefinite-lived)	10.1					10.1		9.0					9.0
Total	$	232.7				$	125.7	$	258.0				$	146.1

The Company amortizes intangible assets with finite useful lives on a straight-line basis over their estimated economic lives in accordance with GAAP. Indefinite-lived intangible assets are not subject to amortization, but instead, are tested for impairment at least annually (more frequently if certain indicators are present).

Intangible asset amortization expense for 2014, 2013 and 2012 was $9.5 million, $9.5 million and $9.5 million, respectively. Future estimated amortization expense on existing intangible assets in each of the next five years amounts to approximately $7.8 million for 2015, $7.7 million for 2016, $7.7 million for 2017, $7.6 million for 2018, and $7.6 million for 2019.

In accordance with the Company’s indefinite-lived intangible asset impairment testing policy outlined in Note 2, the Company performed its annual impairment test in the fourth quarter of each year. In each year, the Company determined the fair value of all indefinite-lived intangible assets exceeded their respective carrying values. Therefore, no impairment charges were recorded during 2014, 2013 and 2012.

NOTE 8 – DEBT AND CREDIT FACILITIES

At December 31, long-term debt and other borrowings consisted of the following:

In millions	December 31, 2014		December 31, 2013
Term Loan A Facility due 2018	$	—	$	500.0
Term Loan A Facility due 2019	962.8		—
Term Loan B Facility due 2020	—		500.0
5.75% Senior notes due 2021	300.0		300.0
Other debt, including capital leases, maturing in various amounts through 2016	1.8		43.9
Total debt	$	1,264.6	$	1,343.9
Less current portion of long term debt	49.6		71.9
Total long-term debt	$	1,215.0	$	1,272.0

Senior Secured Credit Facilities

In November 2013, the Company entered into a credit agreement providing for (i) $1.0 billion of Senior Secured Term Loan Facilities, consisting of a $500 million "tranche A" Term Loan Facility due in 2018 (the "Term Loan A Facility") and a $500 million "tranche B" Term Loan Facility due in 2020 (the "Term Loan B Facility,") and (ii) a $500.0 million Senior Secured Revolving Credit Facility (the "Revolver") maturing in 2018. The Company refers to these credit facilities as its "Senior Secured Credit

F-17

Facilities." The net proceeds of the Term Loan A Facility and Term Loan B Facility were distributed to Ingersoll Rand in connection with the Spin-off.

On October 15, 2014, the Company entered into an agreement to amend and restate its existing credit agreement (the “Amended and Restated Credit Agreement”). The Amended and Restated Credit Agreement, among other things, (1) increased the size of the Term A Loan Facility to $975.0 million and borrowed an additional $493.8 million under the facility, (2) repaid the outstanding Term Loan B Facility with the proceeds from the Term Loan A Facility, (3) reduced credit spreads on Term Loan A Facility 25 basis points and eliminated the LIBOR floor associated with Term Loan B Facility and (4) extended the applicable maturities from September 27, 2018 to October 15, 2019. The availability under the Revolver remained unchanged, and continues to permit borrowing of up to $500.0 million. In addition to repaying the outstanding Term Loan B Facility of $500.0 million, the Company repaid $31.0 million of principal on its Term Loan A Facility during the year ended December 31, 2014. Borrowings outstanding under the Term Loan A Facility were $962.8 million on December 31, 2014. Allegion plc also became the primary borrower under the Amended and Restated Credit Agreement.

In the fourth quarter, the Company incurred a non-cash charge of approximately $4.5 million associated with the write-off of the unamortized Term Loan B Facility debt issuance costs.

Term Facilities. The Term Loan A Facility amortizes in quarterly installments at the following rates per year: 5% in 2015; 5% in 2016 and 10% in each year thereafter, with the final installment due on October 15, 2019.

Revolver.The five-year Senior Secured Revolving Credit Facility permits borrowings of up to $500.0 million. The Revolver is comprised of two tranches: a $400 million tranche available in U.S. Dollars and a multi-currency tranche capped at $100 million. The Revolver also includes $100.0 million available for the issuance of letters of credit, however outstanding letters of credit reduce availability under the Revolver. The Revolver matures and the commitments thereunder will terminate on October 15, 2019. The Company pays certain fees with respect to the Revolver, including a commitment fee on the undrawn portion of the Revolver of 0.25% per year. At December 31, 2014, the Company did not have any borrowings outstanding under the Revolver and had $28.5 million of letters of credit outstanding.

Guarantees and Collateral.The indebtedness, obligations and liabilities under the Senior Secured Credit Facilities are unconditionally guaranteed jointly and severally on a senior secured basis by certain of Allegion plc's restricted subsidiaries, and will be secured, subject to permitted liens and other exceptions and exclusions, by a first-priority lien on substantially all tangible and intangible assets of the borrowers and each domestic guarantor (including (i) a perfected pledge of all of the capital stock of the borrower and each direct, wholly-owned material restricted subsidiary held by the borrowers or any guarantor (subject to certain limitations with respect to foreign subsidiaries) and (ii) perfected security interests in, and mortgages on, accounts, inventory, equipment, general intangibles, commercial tort claims, investment property, intellectual property, material fee-owned real property, letter-of-credit rights, intercompany notes and proceeds of the foregoing, except for certain excluded assets.

Mandatory Prepayments.In accordance with the Senior Secured Credit Facility, net cash proceeds of non-recourse asset sales and proceeds received from certain additional indebtedness will require prepayment of the Term Loan with proceeds received. In addition, starting with the year ended December 31, 2015 the Company may be required to apply between 0%-50% of its annual excess cash flow (as defined in the Senior Secured Credit Facility) to the prepayment of the Senior Secured Credit Facility. However, this percentage reduces to certain levels and eventually to zero upon achievement certain leverage ratios.

Voluntary Prepayments. The Company may voluntarily prepay the outstanding Term Facility in whole or in part at any time without premium or penalty. Optional prepayments of the Term Facility will be applied to the remaining installments at the direction of the borrower.

Commitments under the Revolver may be reduced in whole or in part at any time without premium or penalty.

Covenants.The Senior Secured Credit Facilities contain certain customary covenants that, among other things, limit or restrict (subject to certain exceptions) the Company's ability to incur certain indebtedness, grant certain liens, make certain investments, declare or pay certain dividends or redeem or repurchase capital stock.

In addition, the Senior Secured Credit Facilities contain certain financial covenants, which include a maximum leverage ratio and an interest expense coverage ratio. As of December 31, 2014, the Company is required to comply with a maximum leverage ratio of 4.00 to 1.00 based on a ratio of total consolidated indebtedness, net of unrestricted cash up to $125 million, to consolidated EBITDA. The ratio declines to 3.75 to 1.00 in the first quarter of 2015. In addition, as of December 31, 2014, the Company is required to have a minimum interest expense coverage ratio of 3.50 to 1.00 based on a ratio of consolidated EBITDA to consolidated interest expense, net of interest income. This ratio increases to 4.00 to 1.00 in the first quarter of 2015.

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As of December 31, 2014 the Company was in compliance with all of these covenants.

Interest Rates and Fees.Outstanding borrowings under the Senior Secured Credit Facilities accrue interest, at the option of the borrower, at a per annum rate of (i) LIBOR plus the applicable margin or (ii) a base rate plus the applicable margin. As of December 31, 2014, the Company elected to borrow utilizing LIBOR. The applicable margin for borrowings under the Revolver and the Term Loan A Facility is subject to a credit facility rating-based pricing grid with the LIBOR ranging from 1.50% to 2.00%. The margin for Term Loan A Facility borrowings was 1.75% as of December 31, 2014.

In June 2014, the Company entered into forward starting interest rate swaps for $300.0 million of the Company's variable rate $975.0 million Term Loan Facilities. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016.

Senior Notes

In October 2013, Allegion US Holding Company Inc., the Company's wholly-owned subsidiary (the "Borrower"), issued $300 million of 5.75% senior notes due 2021 (the "Senior Notes"). The Senior Notes have been registered under the Securities Act of 1933, as amended. The Senior Notes accrue interest at the rate of 5.75% per annum, payable semi-annually on April 1 and October 1 of each year. The Senior Notes mature on October 1, 2021. The terms of the indenture governing the Senior Notes (the “Indenture”) provide that, among other things, the Senior Notes rank equally in right of payment to all of the issuer’s and Allegion plc’s existing and future senior unsecured indebtedness and effectively junior to all of the issuer’s and the guarantors’ existing and future secured indebtedness (including indebtedness with respect to the Senior Secured Credit Facilities) to the extent of the value of the assets securing such indebtedness. The Senior Notes are structurally subordinated to all of the existing and future liabilities of the Company's subsidiaries that do not guarantee the Senior Notes. The net proceeds of this indebtedness were distributed to Ingersoll Rand in connection with the Spin-off.

Guarantees. Allegion plc and certain of its subsidiaries joint and severally guarantee the issuer’s obligations under the Senior Notes on a senior unsecured basis.

Covenants.The Senior Notes contain certain customary covenants that, among other things, limit or restrict (subject to certain exceptions) the Company's ability to incur certain indebtedness, grant certain liens, make certain investments, declare or pay certain dividends or redeem or repurchase capital stock.

At December 31, 2014, future retirements for the amounts outstanding under the Senior Secured Credit Facilities and the Senior Notes are as follows:

In millions
2015	$	48.8
2016	48.8
2017	97.5
2018	97.5
2019	670.2
Thereafter	300.0
Total	$	1,262.8

At December 31, 2014, the weighted-average interest rate for borrowings was 2.0% under the Senior Secured Credit Facilities and 5.75% under the Senior Notes. Cash paid for interest for the year ended December 31, 2014 was approximately $45.0 million.

NOTE 9 – FINANCIAL INSTRUMENTS

In the normal course of business, the Company uses various financial instruments, including derivative instruments, to manage the risks associated with currency rate exposures. These financial instruments are not used for trading or speculative purposes.

On the date a derivative contract is entered into, the Company designates the derivative instrument as a cash flow hedge of a forecasted transaction, a cash flow hedge of a recognized asset or liability, or as an undesignated derivative. The Company formally documents its hedge relationships, including identification of the derivative instruments and the hedged items, as well as its risk

F-19

management objectives and strategies for undertaking the hedge transaction. This process includes linking derivative instruments that are designated as hedges to specific assets, liabilities or forecasted transactions.

The fair market value of derivative instruments is determined through market-based valuations and may not be representative of the actual gains or losses that will be recorded when these instruments mature due to future fluctuations in the markets in which they are traded.

The Company assesses at inception and at least quarterly thereafter, whether the derivatives used in cash flow hedging transactions are highly effective in offsetting the changes in the cash flows of the hedged item. To the extent the derivative is deemed to be a highly effective hedge, the fair market value changes of the instrument are recorded to accumulated other comprehensive income (AOCI).

Any ineffective portion of a derivative instrument’s change in fair value is recorded in Net earnings in the period of change. If the hedging relationship ceases to be highly effective, or it becomes probable that a forecasted transaction is no longer expected to occur, the hedging relationship will be undesignated and any future gains and losses on the derivative instrument will be recorded in Net earnings.

Currency Hedging Instruments

The net notional amount of the Company’s currency derivatives were $68.5 million and $209.6 million at December 31, 2014 and 2013, respectively. At December 31, 2014 and 2013, gains of $1.6 million and $0.5 million, net of tax, respectively, were included in AOCI related to the fair value of the Company’s currency derivatives designated as accounting hedges. The amount expected to be reclassified into Net earnings over the next twelve months is a gain of $1.6 million. The actual amounts that will be reclassified to Net earnings may vary from this amount as a result of changes in market conditions. Gains and losses associated with the Company’s currency derivatives not designated as hedges are recorded in Net earnings as changes in fair value occur. At December 31, 2014, the maximum term of the Company’s currency derivatives was less than one year.

Interest Rate Swaps

In June 2014, the Company entered into forward starting interest rate swaps to fix interest rate paid during the contract period for $300.0 million of the Company's variable rate $975.0 million Term Loan Facilities. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016. These interest rate swaps met the criteria to be accounted for as cash flow hedges of variable rate interest payments. Consequently, the changes in fair value of the interest rate swaps were recognized in AOCI. At December 31, 2014, $0.9 million of losses were recorded in AOCI related to these interest rate swaps and none are expected to be reclassified into Interest expense over the next twelve months.

The fair values of derivative instruments included within the Consolidated Balance Sheets as of December 31 were as follows:

	Asset derivatives				Liability derivatives
In millions	2014		2013		2014		2013
Derivatives designated as hedges:
Currency derivatives	$	2.1	$	0.7	$	—	$	—
Interest rate swaps	—		—		0.9		—
Derivatives not designated as hedges:
Currency derivatives	2.2		—		13.9		2.7
Total derivatives	$	4.3	$	0.7	$	14.8	$	2.7

Asset and liability derivatives included in the table above are recorded within Other current assets and Accrued expenses and other current liabilities, respectively.

F-20

The amounts associated with derivatives designated as hedges affecting Net earnings and AOCI for the years ended December 31 were as follows:

	Amount of gain (loss) recognized in AOCI								Location of gain (loss) reclassified from AOCI and recognized into Net earnings	Amount of gain (loss) reclassified from AOCI and recognized into Net earnings
In millions	2014			2013		2012				2014		2013		2012
Currency derivatives	$	1.6		$	1.1	$	(1.1	)	Cost of goods sold	$	2.5	$	0.9	$	(0.2	)
Interest rate swaps	(0.9		)	—		—			Interest expense	—		—		—
Total	$	0.7		$	1.1	$	(1.1	)		$	2.5	$	0.9	$	(0.2	)

Concentration of Credit Risk

The counterparties to the Company’s forward contracts and swaps consist of a number of investment grade major international financial institutions. The Company could be exposed to losses in the event of nonperformance by the counterparties. However, the credit ratings and the concentration of risk in these financial institutions are monitored on a continuous basis and present no significant credit risk to the Company.

NOTE 10 – PENSIONS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

The Company sponsors several U.S. defined benefit and defined contribution plans covering substantially all of our U.S. employees. Additionally, the Company has non-U.S. defined benefit and defined contribution plans covering eligible non-U.S. employees. Postretirement benefits, other than pensions, provide healthcare benefits, and in some instances, life insurance benefits for certain eligible employees.

Pension Plans

The noncontributory defined benefit pension plans covering non-collectively bargained U.S. employees provide benefits on an average pay formula while most plans for collectively bargained U.S. employees provide benefits on a flat dollar benefit formula. The non-U.S. pension plans generally provide benefits based on earnings and years of service. The Company also maintains additional other supplemental plans for officers and other key employees.

On December 1, 2013, in connection with the Spin-off, various defined benefit plans were established for both U.S. and non-U.S. based employees. All plans were re-measured as of December 1, 2013 in connection with the Spin-off. The Schlage Lock Company LLC Pension Plan ("Schlage plan") was established to provide retirement benefits to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand pension plans (the “Parent Pension Plans”). The Schlage plan assumed all liabilities under the Parent Pension Plans related to Allegion participants- active and former. Assets were transferred to the Schlage plan in accordance with Section 414(l) of the Internal Revenue Code ("the Code").

The Schlage Lock Company LLC NQ Pension plans ("Schlage NQ plans") were established in connection with the Spin-off to provide retirement benefits to Allegion employees and former Allegion employees who were participants in the certain Ingersoll Rand non-qualified pension plans (collectively, the “Parent NQ Pension Plans”). The Schlage NQ plans assumed all liabilities under the Parent NQ Pension Plans related to Schlage NQ plans participants. These are unfunded plans.

The Schlage Lock Company LLC Other Postemployment Benefits Plan ("Schlage OPEB plan") was established in connection with the Spin-off. The Schlage OPEB plan provides other postemployment benefits to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand Other Postemployment Benefits Plans (collectively, the “Parent OPEB Plans”). The Schlage OPEB plan assumed all liabilities under the Parent OPEB Plans related to Schlage plan participants. This is an unfunded plan.

The Allegion UK Pension Plan ("Allegion UK Plan") was also established in connection with the Spin-off to provide retirement benefits to Allegion employees, former Allegion employees and those members for whom Ingersoll Rand Security Technologies Ltd. was legally responsible who were participants in the Ingersoll Rand UK Pension Plan. The Allegion UK plan assumed all liabilities under the Ingersoll Rand UK Pension Plan. Assets were transferred to the Allegion UK plan in accordance with a Transfer Agreement. All liabilities and corresponding plan assets related to remaining non-U.S. plans were transferred at the time of the Spin-off.

F-21

The following table details information regarding the Company’s pension plans at December 31:

	U.S.								NON-U.S.
In millions	2014				2013				2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	231.3			$	276.9			$	397.9		$	235.9
Service cost	7.3				7.8				4.6			3.5
Interest cost	11.5				10.1				17.3			10.7
Employee contributions	—				—				0.4			0.3
Amendments	—				2.3				(0.3		)	—
Actuarial (gains) losses	60.1			(a)	(58.5		)		12.3			8.0
Benefits paid	(25.2		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(26.0		)	8.2
Curtailments and settlements	—				—				(1.7		)	(1.2		)
Liabilities assumed from Spin-off	—				8.3				—			133.4			(b)
Other, including expenses paid	(2.1		)		(0.8		)		(1.5		)	8.1
Benefit obligation at end of year	$	282.9			$	231.3			$	388.4		$	397.9
Change in plan assets:
Fair value at beginning of year	$	208.5			$	230.9			$	337.6		$	183.4
Actual return on assets	31.9				1.6				56.4			17.6
Company contributions	—				—				17.5			11.6
Employee contributions	—				—				0.4			0.3
Benefits paid	(25.1		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(23.3		)	7.6
Settlements	—				—				(0.5		)	(1.1		)
Assets received from Spin-off	—				10.2				—			121.6			(b)
Other, including expenses paid	(2.1		)		(19.4		)	(c)	(1.5		)	5.6
Fair value of assets end of year	$	213.2			$	208.5			$	372.0		$	337.6
Funded status:
Plan assets less than the benefit obligations	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)
Amounts included in the balance sheet:
Other noncurrent assets	$	—			$	—			$	11.4		$	—
Accrued compensation and benefits	(2.3		)		—				(1.2		)	(1.2		)
Postemployment and other benefit liabilities	(67.4		)		(22.8		)		(26.6		)	(59.1		)
Net amount recognized	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)

(a) During 2014, the Society of Actuaries released a new mortality table, referred to as RP-2014, which is believed to better reflect mortality improvements. The Company used the RP-2014 mortality table to measure its U.S. pension obligation as of December 31, 2014. The impact of the new mortality tables as well as the decline in discount rates from December 31, 2013 to December 31, 2014 is included in actuarial losses.

(b) Represents the benefit obligation and plan assets transferred to the Allegion UK plan as a result of the combination of plans related to Allegion employees, former Allegion employees and those members for whom Ingersoll Rand Security Technologies Ltd. was legally responsible.

(c) Consists of the difference between the preliminary assets allocated to Allegion for the Combined and Consolidated Financial Statements as of December 31, 2012 (which were allocated based on relative accumulated benefit obligations) and the actual assets allocated in the Spin-off in accordance with the agreed upon methodology between Allegion and Ingersoll Rand (based on the provisions of Section 414(l) of the Code). 

F-22

It is the Company’s objective to contribute to the pension plans to ensure adequate funds are available in the plans to make benefit payments to plan participants and beneficiaries when required. However, certain plans are not funded due to either legal, accounting, or tax requirements in certain jurisdictions. As of December 31, 2014, approximately 5% of our projected benefit obligation relates to plans that are not funded of which the majority are Non-U.S. plans.

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

	U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(2.0	)	$	(81.1	)	$	(83.1	)
Current year changes recorded to Accumulated other comprehensive income (loss)	(2.3		)	30.8			28.5
Amortization reclassified to earnings	0.6			3.8			4.4
Net loss resulting from Spin off	—			(1.7		)	(1.7		)
Other	(0.5		)	2.0			1.5
December 31, 2013	$	(4.2	)	$	(46.2	)	$	(50.4	)
Current year changes recorded to Accumulated other comprehensive loss	—			(39.0		)	(39.0		)
Amortization reclassified to earnings	0.7			2.3			3.0
December 31, 2014	$	(3.5	)	$	(82.9	)	$	(86.4	)

	NON-U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(0.5	)	$	(69.0	)	$	(69.5	)
Current year changes recorded to Accumulated other comprehensive loss	—			(0.3		)	(0.3		)
Amortization reclassified to earnings	0.1			1.8			1.9
Settlements/curtailments reclassified to earnings	—			(0.1		)	(0.1		)
Net loss resulting from Spin-off	—			(39.6		)	(39.6		)
Currency translation and other	0.1			(2.0		)	(1.9		)
December 31, 2013	$	(0.3	)	$	(109.2	)	$	(109.5	)
Current year changes recorded to Accumulated other comprehensive income	0.3			28.1			28.4
Amortization reclassified to earnings	0.1			2.8			2.9
Currency translation and other	—			4.8			4.8
December 31, 2014	$	0.1		$	(73.5	)	$	(73.4	)

Weighted-average assumptions used:

Benefit obligations at December 31,	2014		2013
Discount rate:
U.S. plans	4.00	%	5.00	%
Non-U.S. plans	3.75	%	4.50	%
Rate of compensation increase:
U.S. plans	3.50	%	3.50	%
Non-U.S. plans	3.00	%	4.75	%

F-23

The accumulated benefit obligation for all U.S. defined benefit pension plans was $264.3 million and $217.2 million at December 31, 2014 and 2013. The accumulated benefit obligation for all Non-U.S. defined benefit pension plans was $380.0 million and $382.5 million at December 31, 2014 and 2013.

Information regarding pension plans with accumulated benefit obligations more than plan assets were:

	U.S.				NON-U.S.
In millions	2014		2013		2014		2013
Projected benefit obligation	$	282.9	$	231.3	$	35.4	$	397.9
Accumulated benefit obligation	264.3		217.2		30.4		382.5
Fair value of plan assets	213.2		208.5		7.6		337.6

Future pension benefit payments are expected to be paid as follows:

In millions	U.S.		NON-U.S.
2015	$	16.6	$	16.0
2016	13.7		16.4
2017	14.2		16.9
2018	15.9		17.4
2019	16.0		18.2
2020 - 2024	100.4		100.3

The components of the Company’s net periodic pension benefit costs for the years ended December 31 include the following:

	U.S.
In millions	2014			2013			2012
Service cost	$	7.3		$	7.8		$	9.6
Interest cost	11.5			10.1			11.0
Expected return on plan assets	(11.2		)	(10.6		)	(11.7		)
Net amortization of:
Prior service costs	0.7			0.6			1.0
Plan net actuarial losses	2.3			3.8			4.1
Net periodic pension benefit cost	10.6			11.7			14.0
Net curtailment and settlement losses	—			—			2.4
Net periodic pension benefit cost after net curtailment and settlement losses	$	10.6		$	11.7		$	16.4

	NON-U.S.
In millions	2014			2013			2012
Service cost	$	4.6		$	3.5		$	3.1
Interest cost	17.3			10.7			10.3
Expected return on plan assets	(17.3		)	(10.0		)	(9.7		)
Other adjustments	—			2.1			—
Net amortization of:
Prior service costs	0.1			0.1			—
Plan net actuarial losses	2.8			1.8			1.7
Net periodic pension benefit cost	7.5			8.2			5.4
Net curtailment and settlement (gains) losses	—			(0.2		)	0.3
Net periodic pension benefit cost after net curtailment and settlement losses	$	7.5		$	8.0		$	5.7

F-24

Pension expense for 2015 is projected to be approximately $15.8 million, utilizing the assumptions for calculating the pension benefit obligations at the end of 2014. The amounts expected to be recognized in net periodic pension cost during the year ended December 31, 2015 for prior service cost and plan net actuarial losses are $0.7 million and $6.0 million, respectively.

Weighted-average assumptions used:

Net periodic pension cost for the year ended December 31,	2014		2013		2012
Discount rate:
U.S. plans	5.00	%	4.75	%	4.00	%
Non-U.S. plans	4.50	%	4.50	%	5.00	%
Rate of compensation increase:
U.S. plans	3.50	%	4.00	%	4.00	%
Non-U.S. plans	4.75	%	4.25	%	4.00	%
Expected return on plan assets:
U.S. plans	5.50	%	4.75	%	5.75	%
Non-U.S. plans	5.25	%	5.25	%	5.75	%

The expected long-term rate of return on plan assets reflects the average rate of returns expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. The expected long-term rate of return on plan assets is based on what is achievable given the plan’s investment policy, the types of assets held and target asset allocations. The expected long-term rate of return is determined as of the measurement date. Each plan is reviewed and its historical returns and target asset allocations to determine the appropriate expected long-term rate of return on plan assets to be used.

The overall objective in managing defined benefit plan assets is to ensure that all present and future benefit obligations are met as they come due. The goal is to achieve this while trying to mitigate volatility in plan funded status, contribution, and expense by better matching the characteristics of the plan assets to that of the plan liabilities. Each plan’s funded status and asset allocation is monitored regularly in addition to investment manager performance.

The fair values of the Company’s U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	3.1	$	—	$	3.1
Equity mutual funds	—		52.9		—		52.9
Fixed income investments:
U.S. government and agency obligations	—		69.7		—		69.7
Corporate and non-U.S. bonds(a)	—		85.6		—		85.6
	—		155.3		—		155.3
Total assets at fair value	$	—	$	211.3	$	—	$	211.3
Receivables and payables, net							1.9
Net assets available for benefits							$	213.2

(a) This includes state and municipal bonds.

The fair values of the Company’s U.S. pension plan assets at December 31, 2013 by asset category are as follows:

F-25

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	1.5	$	—	$	1.5
Equity mutual funds	—		42.1		—		42.1
Fixed income investments:
U.S. government and agency obligations	—		74.9		—		74.9
Corporate and non-U.S. bonds(a)	—		68.2		—		68.2
	—		143.1		—		143.1
Total assets at fair value	$	—	$	186.7	$	—	$	186.7
Receivables and payables, net (b)							21.8
Net assets available for benefits							$	208.5

(a) This includes state and municipal bonds.

(b) Includes a $20 million receivable from Ingersoll Rand in accordance with the terms of the Employee Matters Agreement.

The Company determines the fair value of its US plan assets using the following methodologies:

• Cash, cash equivalents and short term investments –The investments are valued at the closing price or amount held on deposit by the custodian bank or at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer. As these investments are not traded on active markets, these investments are classified as Level 2.

• Equity Mutual Funds –Valued at the daily closing price as reported by the fund. These funds are required to publish their daily net asset value (NAV) and to transact at that price. Such securities are classified as Level 2.

• U.S. government and agency obligations –Quoted market prices are not available for these securities. Fair values are estimated using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2.

• Corporate and Non-US bonds – Quoted market prices are not available for these securities. Fair values are estimated by using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2.

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	8.8	$	—	$	—	$	8.8
Equity mutual funds	—		118.0		—		118.0
Corporate and non-U.S. bonds	—		164.3		—		164.3
Real estate(a)	—		11.8		0.8		12.6
Other(b)	—		65.8		2.5		68.3
Total assets at fair value	$	8.8	$	359.9	$	3.3	$	372.0
Receivables and payables, net							—
Net assets available for benefits							$	372.0

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2013 by asset category are as follows:

F-26

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	10.2	$	—	$	10.2
Equity mutual funds	—		134.2		—		134.2
Corporate and non-U.S. bonds	—		185.6		—		185.6
Real estate(a)	—		—		0.7		0.7
Other(b)	—		—		2.6		2.6
Total assets at fair value	$	—	$	330.0	$	3.3	$	333.3
Receivables and payables, net							4.3
Net assets available for benefits							$	337.6

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

Cash equivalents are valued using a market approach with inputs including quoted market prices for either identical or similar instruments. Fixed income securities are valued through a market approach with inputs including, but not limited to, benchmark yields, reported trades, broker quotes and issuer spreads. Commingled funds are valued at their daily net asset value (NAV) per share or the equivalent. NAV per share or the equivalent is used for fair value purposes as a practical expedient. NAVs are calculated by the investment manager or sponsor of the fund. Private real estate fund values are reported by the fund manager and are based on valuation or appraisal of the underlying investments.

The Company did not make any required or discretionary contributions to the U.S. pension plans in 2014 and 2013 and made required and discretionary contributions of $3.2 million in 2012. The Company made required and discretionary contributions to its Non-U.S. pension plans of $17.5 million in 2014, $11.6 million in 2013, and $9.5 million in 2012. The Company currently projects that approximately $5.0 million will be contributed primarily to its Non-U.S. plans in 2015. The Company’s policy allows it to fund an amount, which could be in excess of or less than the pension cost expensed, subject to the limitations imposed by current tax regulations. The Company anticipates funding the plans in 2015 in accordance with contributions required by funding regulations or the laws of each jurisdiction.

Most of the Company’s U.S. employees are covered by defined contribution plans. Employer contributions are determined based on criteria specific to the individual plans and amounted to approximately $10.2 million, $14.5 million, and $7.6 million in 2014, 2013 and 2012. The Company’s contributions relating to non-U.S. defined contribution plans and other non-U.S. benefit plans were $7.0 million, $4.7 million and $5.4 million in 2014, 2013 and 2012.

Deferred Compensation Plan

The Company maintains an Executive Deferred Compensation Plan ("EDCP"), which is an unfunded, nonqualified plan that permits certain employees to defer receipt of up to 50% of their annual salary and up to 100% of their annual bonus awards, performance share plan awards, and restricted stock units received upon commencement of employment. On December 1, 2013 the Company assumed a liability of $12.0 million related to Company employees and former Company employees. As of December 31, 2014 the deferred compensation liability balance was $12.8 million.

Postretirement Benefits Other Than Pensions

The Company sponsors a postretirement plan that provides for healthcare benefits, and in some instances, life insurance benefits that cover certain eligible employees. The Company funds postretirement benefit obligations principally on a pay-as-you-go basis. Generally, postretirement health benefits are contributory with contributions adjusted annually. Life insurance plans for retirees are primarily noncontributory.

On December 1, 2013 the Schlage Lock Company LLC Postretirement other than Pensions Plan ("Schlage Postretirement Plan") was established in connection with the Spin-off. The Schlage Postretirement Plan provides postretirement benefits other than pensions to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand Postretirement Benefits Other than Pension Plans. The Schlage Postretirement Plan assumed all liabilities related to Schlage Postretirement Plan participants and no assets were transferred to the Schlage Postretirement plan.

F-27

The following table details information regarding the Company’s postretirement plans at December 31:

In millions	2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	14.2		$	18.0
Service cost	0.1			0.3
Interest cost	0.5			0.5
Actuarial gains	(0.2		)	(3.6		)
Benefits paid, net of Medicare Part D subsidy	(1.0		)	(1.0		)
Benefit obligations at end of year	$	13.6		$	14.2

Funded status:
Plan assets less than benefit obligations	$	(13.6	)	$	(14.2	)
Amounts included in the balance sheet:
Accrued compensation and benefits	$	(1.0	)	$	(1.1	)
Postemployment and other benefit liabilities	(12.6		)	(13.1		)
Total	$	(13.6	)	$	(14.2	)

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

In millions	Prior service gains			Net actuarial losses			Total
December 31, 2012	$	12.1		$	(6.6	)	$	5.5
Current year changes recorded to Accumulated other comprehensive income	—			3.6			3.6
Amortization reclassified to earnings	(2.2		)	0.1			(2.1		)
Net gain / (loss) resulting from Spin-off	(2.8		)	1.2			(1.6		)
Balance at December 31, 2013	$	7.1		$	(1.7	)	$	5.4
Current year changes recorded to Accumulated other comprehensive loss	—			1.0			1.0
Amortization reclassified to earnings	(1.6		)	—			(1.6		)
Balance at December 31, 2014	$	5.5		$	(0.7	)	$	4.8

The components of net periodic postretirement benefit cost (income) for the years ended December 31 were as follows:

In millions	2014			2013			2012
Service cost	$	0.1		$	0.3		$	0.3
Interest cost	0.5			0.5			0.7
Net amortization of:
Prior service gains	(1.6		)	(2.2		)	(2.0		)
Net actuarial losses	—			0.1			0.2
Net periodic postretirement benefit cost (income)	$	(1.0	)	$	(1.3	)	$	(0.8	)

Postretirement income for 2015 is projected to be $1.0 million. Amounts expected to be recognized in net periodic postretirement benefits cost in 2015 for prior service gains and plan net actuarial losses are $1.6 million and less than $0.1 million.

F-28

Assumptions:	2014		2013		2012
Weighted-average discount rate assumption to determine:
Benefit obligations at December 31	3.50	%	4.00	%	3.25	%
Net periodic benefit cost	4.00	%	3.25	%	3.75	%
Assumed health-care cost trend rates at December 31:
Current year medical inflation	7.25	%	7.65	%	8.05	%
Ultimate inflation rate	5.00	%	5.00	%	5.00	%
Year that the rate reaches the ultimate trend rate	2021		2021		2021

A 1% change in the medical trend rate assumed for postretirement benefits would have the following effects at December 31, 2014:

In millions	1% Increase		1% Decrease
Effect on postretirement benefit obligation	$	0.1	$	(0.1	)

Benefit payments for postretirement benefits, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be paid as follows:

In millions
2015	$	1.0
2016	1.1
2017	1.1
2018	1.2
2019	1.2
2020 - 2024	5.5

NOTE 11 – FAIR VALUE MEASUREMENTS

Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are based on a framework that utilizes the inputs market participants use to determine the fair value of an asset or liability and establishes a fair value hierarchy to prioritize those inputs. The fair value hierarchy is comprised of three levels that are described below:

• Level 1 – Inputs based on quoted prices in active markets for identical assets or liabilities.

• Level 2 – Inputs other than Level 1 quoted prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability.

• Level 3 – Unobservable inputs based on little or no market activity and that are significant to the fair value of the assets and liabilities.

The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs are obtained from independent sources and can be validated by a third party, whereas unobservable inputs reflect assumptions regarding what a third party would use in pricing an asset or liability based on the best information available under the circumstances. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

Assets and liabilities measured at fair value at December 31, 2014 are as follows:

F-29

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	17.9	$	—	$	—	$	17.9
Derivative instruments	—		4.3		—		4.3
Total asset recurring fair value measurements	$	17.9	$	4.3	$	—	$	22.2
Liabilities:
Derivative instruments	$	—	$	13.9	$	—	$	13.9
Interest rate swap	—		0.9		—		0.9
Total liability recurring fair value measurements	$	—	$	14.8	$	—	$	14.8
Financial instruments not carried at fair value:
Total debt	$	—	$	1,279.4	$	—	$	1,279.4
Total financial instruments not carried at fair value	$	—	$	1,279.4	$	—	$	1,279.4

Assets and liabilities measured at fair value at December 31, 2013 are as follows:

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	20.2	$	—	$	—	$	20.2
Derivative instruments	—		0.7		—		0.7
Total asset recurring fair value measurements	$	20.2	$	0.7	$	—	$	20.9
Liabilities:
Derivative instruments	$	—	$	2.7	$	—	$	2.7
Total liability recurring fair value measurements	$	—	$	2.7	$	—	$	2.7
Financial instruments not carried at fair value:
Total debt	$	—	$	1,312.6	$	—	$	1,312.6
Total financial instruments not carried at fair value	$	—	$	1,312.6	$	—	$	1,312.6

The Company determines the fair value of its financial assets and liabilities using the following methodologies:

• Marketable securities – These securities include investments in publicly traded stock of non-U.S. companies held by non-U.S. subsidiaries of the Company. The fair value is obtained for the securities based on observable market prices quoted on public stock exchanges.

• Derivative instruments – These instruments include forward foreign currency contracts and instruments related to non-functional currency balance sheet exposures. The fair value of the derivative instruments are determined based on a pricing model that uses spot rates and forward prices from actively quoted currency markets that are readily accessible and observable.

F-30

• Interest rate swaps – These instruments include forward-starting interest rate swap contracts for $300.0 million of the Company's variable rate debt. The fair value of the derivative instruments are determined based on quoted prices for the Company's swaps, which are not considered an active market.

• Total debt - The fair value of long-term debt is based upon observable market prices quoted on public exchanges for similar assets.

The carrying values of cash and cash equivalents, restricted cash, accounts receivable, accounts payable and short-term borrowings are a reasonable estimate of their fair value due to the short-term nature of these instruments.

The methodology used by the Company to determine the fair value of its financial assets and liabilities at December 31, 2014 are the same as those used at December 31, 2013. There have been no significant transfers between Level 1 and Level 2 categories.

NOTE 12 – EQUITY

Ordinary Shares

The reconciliation of Ordinary shares is as follows:

In millions	Total
December 31, 2013	96.0
Shares issued under incentive plans	0.8
Repurchase of ordinary shares	(1.0	)
December 31, 2014	95.8

Allegion had 400.0 million ordinary shares authorized and 10.0 million $0.001 par value preferred shares authorized (with none outstanding) at December 31, 2014. During the year ended December 31, 2014, the Company paid $50.3 million to repurchase 1.0 million ordinary shares on the open market under a share repurchase program previously approved by its Board of Directors.

Other Comprehensive Income (Loss)

The changes in Accumulated other comprehensive income (loss) are as follows:

In millions	Cash flow hedges and marketable securities			Pension and OPEB Items			Foreign Currency Items			Total
December 31, 2011	$	5.2		$	(90.5	)	$	56.2		$	(29.1	)
Other comprehensive income (loss), net of tax	5.7			(5.2		)	20.9			21.4
December 31, 2012	$	10.9		$	(95.7	)	$	77.1		$	(7.7	)
Other comprehensive income (loss), net of tax	5.8			(35.6		)	(59.2		)	(89.0		)
December 31, 2013	$	16.7		$	(131.3	)	$	17.9		$	(96.7	)
Other comprehensive income (loss), net of tax	(1.0		)	15.2			(65.7		)	(51.5		)
December 31, 2014	$	15.7		$	(116.1	)	$	(47.8	)	$	(148.2	)

The amounts of Other comprehensive income (loss) attributable to noncontrolling interests are as follows:

In millions	2014			2013		2012
Foreign currency items	$	(0.7	)	$	0.8	$	0.5
Total other comprehensive income (loss) attributable to noncontrolling interests	$	(0.7	)	$	0.8	$	0.5

Included in equity for the year ended December 31, 2014 were $13.0 million of adjustments related to the completion of the allocation of taxable income and the completion of the allocation of tax basis in certain assets between Ingersoll Rand and Allegion at the Spin-off.

F-31

NOTE 13 – SHARE-BASED COMPENSATION

The Company records share-based compensation awards using a fair value method and recognizes compensation expense for an amount equal to the fair value of the share-based payment issued in its financial statements. The Company’s share-based compensation plans include programs for stock options, restricted stock units ("RSUs"), performance stock units ("PSUs"), and deferred compensation.

Under the Company's incentive stock plan, the total number of ordinary shares authorized by the shareholders is 8.0 million, of which 4.5 million remains available as of December 31, 2014 for future incentive awards.

Compensation Expense

Share-based compensation expense related to continuing operations is included in Selling and administrative expenses. The following table summarizes the expenses recognized for the years ended December 31:

In millions	2014			2013			2012
Stock options	$	3.3		$	2.4		$	1.7
RSUs	6.0			3.3			2.6
PSUs	3.9			1.0			1.5
Deferred compensation	0.8			1.7			0.5
Pre-tax expense	14.0			8.4			6.3
Tax benefit	(4.7		)	(3.2		)	(2.4		)
Total	$	9.3		$	5.2		$	3.9

Stock Options / RSUs

Eligible participants may receive (i) stock options, (ii) RSUs or (iii) a combination of both stock options and RSUs. The fair value of each of the Company’s stock option and RSU awards is expensed on a straight-line basis over the required service period, which is generally the 3-year vesting period. However, for stock options and RSUs granted to retirement eligible employees, the Company recognizes expense for the fair value at the grant date.

The average fair value of the stock options granted for the year ended December 31, 2014 and 2013 was estimated to be $19.54 per share and $15.98 per share, respectively, using the Black-Scholes option-pricing model. The weighted average assumptions used were the following:

	2014		2013
Dividend yield	0.60	%	1.27	%
Volatility	36.55	%	39.22	%
Risk-free rate of return	1.94	%	1.53	%
Expected life	6.0 years		5.9 years

For grants issued prior to December 1, 2013, expected volatility is based on the historical volatility from traded options on Ingersoll Rand's stock. The risk-free rate of return is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the award is granted with a maturity equal to the expected term of the award. Historical data is used to estimate forfeitures within Ingersoll Rand’s valuation model. The expected life of Ingersoll Rand’s stock option awards is derived from historical experience and represents the period of time that awards are expected to be outstanding.

For grants issued on or after December 1, 2013, expected volatility is based on the weighted average of the implied volatility of a group of the Company’s peers. The risk-free rate of return is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the award is granted with a maturity equal to the expected term of the award. Historical peer data is used to estimate forfeitures within the Company’s valuation model. The expected life of the Company’s stock option awards granted post separation is derived from the simplified approach based on the weighted average time to vest and the remaining contractual term, and represents the period of time that awards are expected to be outstanding.

F-32

Changes in options outstanding under the plans for the years ended December 31, 2014, 2013 and 2012 are as follows:

	Shares subject to option		Weighted- average exercise price (a)		Aggregate intrinsic value (millions)		Weighted- average remaining life (years)
December 31, 2011	1,279,557		$	35.49
Granted	144,051		40.63
Exercised	(194,860	)	26.18
Cancelled	(13,159	)	42.65
Transfers, net	(113,460	)	35.00
December 31, 2012	1,102,129		37.77
Granted	321,808		47.35
Exercised	(611,792	)	33.78
Impact of spin-off	1,669,911		—
December 31, 2013	2,482,056		25.21
Granted	188,817		54.07
Exercised	(683,383	)	24.18
Cancelled	(25,462	)	43.89
Outstanding December 31, 2014	1,962,028		$	28.11	$	53.7	4.8
Exercisable December 31, 2014	1,445,106		$	23.17	$	46.7	3.5

(a) The weighted average exercise price for periods ending prior to December 1, 2013 represents the exercise price of awards prior to conversion to awards of the Company. The weighted average exercise price of awards on or after December 1, 2013 represents the exercise price of the awards on the grant date converted to ordinary shares of the Company.

The following table summarizes information concerning currently outstanding and exercisable options:

			Options outstanding				Options exercisable
Range of exercise price			Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price		Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price
10.01	—	20.00	424,922	3.2	$	15.10	424,922	3.2	$	15.10
20.01	—	30.00	966,736	3.6	25.49		901,170	3.4	25.52
30.01	—	40.00	229,022	6.8	32.22		106,544	5.3	32.09
40.01	—	50.00	161,601	9.0	43.37		2,549	9.0	43.58
50.01	—	60.00	179,747	8.9	54.07		9,921	3.5	54.13
			1,962,028	4.8	$	28.11	1,445,106	3.5	$	23.17

At December 31, 2014, there was $4.0 million of total unrecognized compensation cost from stock option arrangements granted under the plan, which is primarily related to unvested shares of non-retirement eligible employees. The aggregate intrinsic value of the Company's options exercised during the year ended December 31, 2014 and 2013 was $19.3 million and $1.2 million, respectively. Generally, stock options expire ten years from their date of grant.

F-33

The following table summarizes RSU activity for the years ended December 31, 2014, 2013 and 2012:

	RSUs		Weighted- average grant date fair value (a)
Outstanding and unvested at December 31, 2011	166,069		$	35.11
Granted	68,429		40.70
Vested	(72,300	)	29.99
Cancelled	(7,931	)	41.47
Transfers, net	(10,214	)	34.73
Outstanding and unvested at December 31, 2012	144,053		40.02
Granted	195,590		48.42
Vested	(71,776	)	38.94
Impact of spin-off	110,350		—
Outstanding and unvested at December 31, 2013	378,217		33.59
Granted	101,654		54.29
Vested	(149,392	)	28.68
Cancelled	(5,319	)	43.66
Outstanding and unvested at December 31, 2014	325,160		$	42.15

(a) The weighted average grant date fair value for periods ending prior to December 1, 2013 represents the fair value of awards granted with respect to Ingersoll Rand ordinary shares, prior to conversion to awards of the Company. The weighted average grant date fair value of awards on or after December 1, 2013 represents the fair value of the awards on the grant date converted to ordinary shares of the Company.

At December 31, 2014, there was $7.0 million of total unrecognized compensation cost from RSU arrangements granted under the plan, which is related to unvested shares of non-retirement eligible employees.

Performance Shares

The Company has a Performance Share Program ("PSP") for key employees. The program provides awards in the form of Performance Share Units based on performance against pre-established objectives. The annual target award level is expressed as a number of the Company's ordinary shares. All PSUs are settled in the form of ordinary shares unless deferred.

In December 2013, the Company’s Compensation Committee granted PSUs that are earned based upon the Company’s total shareholder return ("TSR") performance compared to the TSR of the 41 companies currently comprising the S&P 400 Capital Goods Index over the three-year performance period based on the change in the 30 day average price for the index from December 2013 to the 30 day average price for the index in December 2016. The fair value of the market condition is estimated using a Monte Carlo simulation approach in a risk-neutral framework to model future stock price movements based upon the risk-free rate of return, the volatility of each entity, and the pair-wise correlations between each entity. The model utilizes a peer group of 41 members.

In March 2014, the Company’s Compensation Committee granted PSUs that are earned based upon a 50% performance condition, measured at each reporting period by EPS performance in relation to pre-established targets set by the Compensation Committee, and upon a 50% market condition, measured by the Company’s relative TSR against the S&P 400 Capital Goods Index over one-year, two-year, and three-year performance periods based on the change in the 30 day average price for the index from January 2014 to the 30 day average price for the index in December 2014, December 2015, and December 2016. The fair values of the market conditions are estimated using a Monte Carlo simulation approach in a risk-neutral framework to model future stock price movements based upon the risk-free rate of return, the volatility of each entity, and the pair-wise correlations between each entity. The model utilizes a peer group of 41 members.

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The following table summarizes PSU activity for the maximum number of shares that may be issued for the years ended December 31, 2014, 2013 and 2012:

	PSUs		Weighted-average grant date fair value (a)
Outstanding and unvested at December 31, 2011	254,122		$	27.10
Granted	37,746		50.75
Forfeited	(126,982	)	17.80
Transfers, net	(22,430	)	39.13
Outstanding and unvested at December 31, 2012	142,456		39.13
Granted	75,172		34.90
Vested	(34,701	)	34.94
Impact of spin-off	(120,044	)	—
Outstanding and unvested at December 31, 2013	62,883		29.27
Granted	110,387		72.70
Forfeited	(12,138	)	50.96
Outstanding and unvested at December 31, 2014	161,132		$	57.39

(a) The weighted average grant date fair value for periods ending prior to December 1, 2013 represents the fair value of awards granted with respect to Ingersoll Rand ordinary shares, prior to conversion to awards of the Company. The weighted average grant date fair value of awards on or after December 1, 2013 represents the fair value of the awards on the grant date converted to ordinary shares of the Company.

At December 31, 2014, there was $4.7 million of total unrecognized compensation cost from the PSP based on current performance, which is related to unvested shares. This compensation will be recognized over the required service period, which is generally the three-year vesting period.

Deferred Compensation

The Company allows key employees to defer a portion of their eligible compensation into a number of investment choices, including its ordinary share equivalents. Any amounts invested in ordinary share equivalents will be settled in ordinary shares of the Company at the time of distribution.

NOTE 14 – RESTRUCTURING

During 2014, 2013, and 2012, the Company incurred costs of $7.1 million, $5.8 million, and $7.5 million respectively, associated with ongoing restructuring actions. These actions included workforce reductions as well as the closure and consolidation of manufacturing facilities in an effort to increase efficiencies across multiple lines of business.

In the second quarter of 2014, management committed to a plan to restructure the EMEIA segment to improve efficiencies and regional cost structure ("the 2014 EMEIA Restructuring Plan"). Restructuring charges recorded during the year ended December 31, 2014 as part of this plan were as follows:

In millions	2014
EMEIA	$	6.1
Total	6.1
Cost of goods sold	$	1.2
Selling and administrative expenses	4.9
Total	$	6.1

Restructuring charges recorded during the years ended December 31 as part of other restructuring plans were as follows:

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In millions	2014		2013		2012
Americas	$	0.1	$	0.1	$	1.7
EMEIA	0.9		5.7		5.8
Total	$	1.0	$	5.8	$	7.5
Cost of goods sold	$	0.2	$	3.1	$	3.0
Selling and administrative expenses	0.8		2.7		4.5
Total	$	1.0	$	5.8	$	7.5

These charges primarily related to workforce reductions in an effort to increase efficiencies across multiple lines of business.

As of December 31, 2014 and 2013, the Company had $1.9 million and $2.8 million accrued for costs associated with its ongoing restructuring actions, of which a majority is expected to be paid within one year.

NOTE 15 – OTHER EXPENSE, NET

At December 31, the components of Other expense, net were as follows:

In millions	2014			2013			2012
Interest income	$	(1.1	)	$	(0.8	)	$	(0.1	)
Exchange loss	7.6			8.0			3.2
Other	(1.9		)	—			—
Other expense, net	$	4.6		$	7.2		$	3.1

In March 2014, the Venezuelan government launched a SICAD II rate to provide a greater supply of U.S. dollars from sources other than the Venezuelan government. Given accelerated deterioration in economic conditions driven by a significant drop in the price of oil and no expectation of improvement for the foreseeable future, the Company concluded that the SICAD II exchange rate was the most appropriate rate at which to value bolivar denominated assets and liabilities. As a result, on December 31, 2014, the Company moved the exchange rate applied to bolivars from the official rate to the SICAD II rate. The Company recorded a charge of $12.1 million in order to remeasurement net monetary assets to the SICAD II rate.

Included within Exchange loss for the year ended December 31, 2013 is a $6.2 million realized foreign currency loss related to the devaluation of the Venezuelan bolivar from the pre-existing exchange rate of 4.3 bolivars per U.S. dollar to 6.3 bolivars per U.S. dollar.

NOTE 16 – INCOME TAXES

The Company and its subsidiaries, prior to the Spin-off, were included in Ingersoll Rand's income tax returns in certain taxing jurisdictions. In preparing the combined and consolidated financial statements, the Company has determined the tax provision for those jurisdictions on a separate return basis.

Earnings (loss) before income taxes for the years ended December 31 were taxed within the following jurisdictions:

In millions	2014		2013			2012
United States	$	162.2	$	320.1		$	317.9
Non-U.S.	105.7		(96.7		)	48.8
Total	$	267.9	$	223.4		$	366.7

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The components of the Provision for income taxes for the years ended December 31 were as follows:

In millions	2014		2013		2012
Current tax expense (benefit):
United States	$	52.9	$	118.5	$	121.3
Non-U.S.	14.1		37.6		18.6
Total:	67.0		156.1		139.9
Deferred tax expense (benefit):
United States	15.6		7.7		(3.7		)
Non-U.S.	1.6		11.2		0.5
Total:	17.2		18.9		(3.2		)
Total tax expense (benefit):
United States	68.5		126.2		117.6
Non-U.S.	15.7		48.8		19.1
Total	$	84.2	$	175.0	$	136.7

The Provision for income taxes differs from the amount of income taxes determined by applying the applicable U.S. statutory income tax rate to pretax income, as a result of the following differences:

	Percent of pretax income
	2014		2013		2012
Statutory U.S. rate	35.0	%	35.0	%	35.0	%
Increase (decrease) in rates resulting from:
Non-U.S. tax rate differential	(11.2	)	(3.0	)	(0.5	)
State and local income taxes (1)	3.0		5.5		2.8
Valuation allowances	1.6		16.0		0.5
Goodwill impairment charge	—		18.2		—
Reserves for uncertain tax positions	(2.1	)	4.4		0.6
Tax on unremitted earnings	0.3		3.3		—
Tax on remitted earnings	2.5		—		—
Venezuela devaluation	4.0		—		—
Production incentives	(2.4	)	(2.2	)	—
Other adjustments	0.7		1.1		(1.1	)
Effective tax rate	31.4	%	78.3	%	37.3	%

(1) Net of changes in valuation allowances

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At December 31, a summary of the deferred tax accounts were as follows:

In millions	2014			2013
Deferred tax assets:
Inventory and accounts receivable	$	10.8		$	13.6
Fixed assets and intangibles	22.3			55.5
Postemployment and other benefit liabilities	63.3			51.9
Other reserves and accruals	11.1			8.5
Net operating losses and credit carryforwards	45.2			35.0
Investment and other asset basis differences	1.3			—
Other	1.0			0.3
Gross deferred tax assets	155.0			164.8
Less: deferred tax valuation allowances	(50.8		)	(46.9		)
Deferred tax assets net of valuation allowances	$	104.2		$	117.9
Deferred tax liabilities:
Fixed assets and intangibles	$	(34.6	)	$	(33.4	)
Unremitted earnings of foreign subsidiaries	(0.8		)	(7.5		)
Other reserves and accruals	—			(0.5		)
Other	(2.2		)	(0.9		)
Gross deferred tax liabilities	(37.6		)	(42.3		)
Net deferred tax assets	$	66.6		$	75.6

Deferred tax account balances from 2013 were recast to conform to current year presentation. The material changes in deferred tax account balances result from the tax write-up of certain inventory, fixed assets and intangible assets immediately prior to the Spin-off.

At December 31, 2014, $0.8 million of deferred tax was recorded for certain undistributed earnings of foreign subsidiaries. No deferred taxes have been provided for any portion of the remaining undistributed earnings of the Company's subsidiaries since these earnings have been and under certain plans will continue to be, permanently reinvested in these subsidiaries. For many reasons, including the number of legal entities and jurisdictions involved, the complexity of the Company's legal entity structure, the complexity of tax laws in the relevant jurisdictions, including, but not limited to, the rules pertaining to the utilization of foreign tax credits in the United States and the impact of projections of income for future years to any calculations, the Company believes it is not practicable to estimate, within any reasonable range, the amount of additional taxes which may be payable upon the distribution of earnings.

At December 31, 2014, the Company had the following operating loss and tax credit carryforwards available to offset taxable income in prior and future years:

In millions	Amount		Expiration Period
U.S. Federal net operating loss carryforwards	$	15.4	2027 & 2028
U.S. Federal credit carryforwards	20.6		2024-Unlimited
U.S. State net operating loss carryforwards	14.7		2015-2033
Non-U.S. net operating loss carryforwards	90.9		2015-Unlimited

The U.S. state net operating loss carryforwards were incurred in various jurisdictions. The non-U.S. net operating loss carryforwards were incurred in various jurisdictions, predominantly in China, Germany, Italy, Spain, Turkey and the United Kingdom.

The Company evaluates its deferred income tax assets to determine if valuation allowances are required or should be adjusted. U.S. GAAP requires that companies assess whether valuation allowances should be established against their deferred tax assets based on consideration of all available evidence, both positive and negative, using a "more likely than not" standard. This assessment

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considers the nature, frequency, and amount of recent losses, the duration of statutory carryforward periods, and tax planning strategies. In making such judgments, significant weight is given to evidence that can be objectively verified.

Activity associated with the Company’s valuation allowance is as follows:

In millions	2014			2013			2012
Beginning balance	$	46.9		$	5.8		$	9.7
Increase to valuation allowance	28.0			44.9			1.8
Decrease to valuation allowance	(15.8		)	(0.5		)	(0.1		)
Foreign exchange translation	(1.7		)	—			—
Net equity with parent	—			(4.0		)	(5.9		)
Accumulated other comprehensive income (loss)	(6.6		)	0.7			0.3
Ending balance	$	50.8		$	46.9		$	5.8

During 2014, the valuation allowance increased by $3.9 million This increase is the result of changes in jurisdictional profitability and changes in judgment and facts regarding the realizability of deferred tax assets.

The Company has total unrecognized tax benefits of $25.4 million and $40.6 million as of December 31, 2014, and December 31, 2013. The amount of unrecognized tax benefits that, if recognized, would affect the continuing operations effective tax rate are $$25.4 million as of December 31, 2014. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

In millions	2014			2013			2012
Beginning balance	$	40.6		$	63.6		$	63.0
Additions based on tax positions related to the current year	3.1			9.0			1.7
Net equity adjustment with former parent	—			(25.4		)	—
Additions based on tax positions related to prior years	11.8			0.5			4.3
Reductions based on tax positions related to prior years	(23.9		)	(6.9		)	(3.7		)
Reductions related to settlements with tax authorities	(0.7		)	—			(1.6		)
Reductions related to lapses of statute of limitations	(2.7		)	(0.7		)	—
Translation (gain)/loss	(2.8		)	0.5			(0.1		)
Ending balance	$	25.4		$	40.6		$	63.6

The Company records interest and penalties associated with the uncertain tax positions within its Provision for income taxes. The Company had reserves associated with interest and penalties, net of tax, of $6.2 million and $11.5 million at December 31, 2014 and 2013. For the year ended December 31, 2013, the Company recognized a $15.2 million reduction in the reserve related to interest and penalties, net of tax, through Parent Company Investment. For the years ended December 31, 2014 and 2013, the Company recognized $(2.2) million and $4.3 million in interest and penalties net of tax in continuing operations related to these uncertain tax positions.

The total amount of unrecognized tax benefits relating to the Company's tax positions is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statutes of limitations. Although the outcomes and timing of such events are highly uncertain, it is reasonably possible that the balance of gross unrecognized tax benefits, excluding interest and penalties, could potentially be reduced by up to approximately $8.7 million during the next 12 months.

The provision for income taxes involves a significant amount of management judgment regarding interpretation of relevant facts and laws in the jurisdictions in which the Company operates. Future changes in applicable laws, projected levels of taxable income and tax planning could change the effective tax rate and tax balances recorded by the Company. In addition, tax authorities periodically review income tax returns filed by the Company and can raise issues regarding its filing positions, timing and amount of income or deductions, and the allocation of income among the jurisdictions in which the Company operates. A significant period of time may elapse between the filing of an income tax return and the ultimate resolution of an issue raised by a tax authority with respect to that return. In the normal course of business, the Company is subject to examination by taxing authorities throughout

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the world, including such major jurisdictions as Canada, China, France, Germany, Italy, Mexico and the United States. In general, the examination of the material tax returns of subsidiaries of the Company is complete for the years prior to 2004, with certain matters being resolved through appeals and litigation.

In connection with the Spin-off, the Company and Ingersoll Rand entered into a Tax Matters Agreement for the allocation of taxes. As of December 31, 2014, the Company agreed to indemnify Ingersoll Rand $2.4 million for various tax matters, exclusive of interest and penalties of $1.8 million, which is reflected as an Other noncurrent liability ($4.1 million and $2.6 million at December 31, 2013). In addition, the Company has recorded a $43.4 million indemnity payable to Ingersoll Rand related to a filing for competent authority relief, which is reflected as an Other noncurrent liability ($47.2 million at December 31, 2013). As part of this competent authority filing, the Company has also recorded $43.4 million as an Other noncurrent asset. The $43.4 million is exclusive of interest in the amount of $6.4 million ($47.2 million and $6.6 million at December 31, 2013). The Company also has an indemnity receivable from Ingersoll Rand in the amount of $5.6 million reflected as an Other noncurrent asset ($9.4 million at December 31, 2013). The indemnity receivable is primarily related to additional competent authority relief filings.

NOTE 17 – DISCONTINUED OPERATIONS

EMEIA Divestiture

In the second quarter of 2014 the Company committed to a plan to sell its United Kingdom (UK) Door businesses to an unrelated third party. The transaction closed in the third quarter of 2014. The businesses sold include the Dor-o-Matic™ branded automatic door business, the Martin Roberts™ branded performance steel doorset business and the UK service organization. Historical results of the component, which were previously reported as part of the EMEIA segment, have been reclassified to discontinued operations for all periods presented. In conjunction with the plan, we recorded a $7.6 million charge to write the carrying value of the assets to be sold down to their estimated fair value.

Net revenues and after-tax earnings of the component for the years ended December 31 were as follows:

In millions	2014			2013			2012
Net revenues	$	16.1		$	23.9		$	23.3
Pre-tax loss from operations	$	(3.1	)	$	(2.8	)	$	(1.9	)
Loss on disposal	(7.6		)	—			—
Tax benefit	—			—			0.4
Discontinued operations, net of tax	$	(10.7	)	$	(2.8	)	$	(1.5	)

Other divestitures

Other discontinued operations recognized a loss of $0.4 million, $0.8 million and $2.7 million for the years ended December 31, 2014, 2013 and 2012, respectively. These losses were mainly related to lease expense and other miscellaneous expenses from previously sold businesses.

NOTE 18 – EARNINGS PER SHARE (EPS)

Basic EPS is calculated by dividing Net earnings attributable to Allegion plc by the weighted-average number of ordinary shares outstanding for the applicable period. Diluted EPS is calculated after adjusting the denominator of the basic EPS calculation for the effect of all potentially dilutive ordinary shares, which in the Company’s case, includes shares issuable under share-based compensation plans.

Basic and Diluted EPS for all periods prior to the Spin-off reflect the number of distributed shares on December 1, 2013, or 96.0 million shares. For 2013 year to date calculations, these shares are treated as issued and outstanding from January 1, 2013 for purposes of calculating historical basic EPS. At the time of the Spin-off, stock options and restricted stock awards were converted to awards of Allegion, and therefore there were no dilutive securities outstanding for historical periods. For 2013, the Company determined its weighted average dilutive share outstanding assuming that the date of our separation from Ingersoll Rand was the beginning of the period. The following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations.

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In millions	2014	2013	2012
Weighted-average number of basic shares	96.1	96.0	96.0
Shares issuable under incentive stock plans	1.1	0.1	—
Weighted-average number of diluted shares	97.2	96.1	96.0

At December 31, 2014, 0.3 million stock options were excluded from the computation of weighted average diluted shares outstanding because the effect of including these shares would have been anti-dilutive.

NOTE 19 – RELATED PARTY TRANSACTIONS

Ingersoll Rand provided the Company’s subsidiaries with certain centrally managed services and corporate function support in the areas of finance, information technology, employee benefits, legal, human resources, integrated supply chain and marketing through November 30, 2013. In addition, as discussed in Note 10, certain employees of the Company’s subsidiaries were eligible to participate in certain Ingersoll Rand employee benefit plans that were sponsored and administered by Ingersoll Rand or its affiliates.

The Company’s subsidiaries use of these services and its participation in these employee benefit plans generated both direct and indirect costs. These direct and indirect costs and benefits relating to the services and benefit plans were charged to the Company’s subsidiaries and were included in Cost of goods sold and Selling and administrative expenses.

Costs associated with centrally managed services were billed to the Company’s subsidiaries on the basis of direct usage. Historically, Ingersoll Rand corporate allocations were generally allocated to the Company’s subsidiaries on the basis of revenue, assets, payroll expense, and selling and administrative expenses. Incremental corporate costs were allocated to the Company’s subsidiaries on a similar basis. Costs were allocated to the Company’s subsidiaries using allocation methods that management believed were reasonable.

The Combined and Consolidated Financial Statements reflect these direct and indirect costs through a corporate overhead allocation. For the years ended December 31, these allocated Ingersoll Rand costs amount to:

	2013		2012
Centrally managed service costs	$	104.6	$	94.8
Historical Ingersoll Rand corporate overhead allocations	36.6		53.5
Incremental corporate costs not previously allocated to businesses	33.3		28.4
Total	$	174.5	$	176.7

The Company entered into a Transition Services Agreement with Ingersoll Rand, under which Ingersoll Rand provides certain services for a limited time after the Spin-off to help ensure an orderly transition. Under the Transition Services Agreement, the Company receives certain services, including services for information technology, human resources and labor and finance and accounting support as well as other corporate support services, from Ingersoll Rand and/or third party providers at specified prices. The Company paid $2.9 million in 2014 and $0.5 million in the fourth quarter of 2013 to Ingersoll Rand for services provided under transition services agreements.

NOTE 20 – COMMITMENTS AND CONTINGENCIES

The Company is involved in various litigations, claims and administrative proceedings, including those related to environmental and product warranty matters. Amounts recorded for identified contingent liabilities are estimates, which are reviewed periodically and adjusted to reflect additional information when it becomes available. Subject to the uncertainties inherent in estimating future costs for contingent liabilities, except as expressly set forth in this note, management believes that any liability which may result from these legal matters would not have a material adverse effect on the financial condition, results of operations, liquidity or cash flows of the Company.

Environmental Matters

The Company is dedicated to an environmental program to reduce the utilization and generation of hazardous materials during the manufacturing process and to remediate identified environmental concerns. As to the latter, the Company is currently engaged in site investigations and remediation activities to address environmental cleanup from past operations at current and former production facilities.

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The Company is sometimes a party to environmental lawsuits and claims and has received notices of potential violations of environmental laws and regulations from the U.S. Environmental Protection Agency and similar state authorities. It has also been identified as a potentially responsible party ("PRP") for cleanup costs associated with off-site waste disposal at federal Superfund and state remediation sites. For all such sites, there are other PRPs and, in most instances, the Company’s involvement is minimal.

In estimating its liability, the Company has assumed it will not bear the entire cost of remediation of any site to the exclusion of other PRPs who may be jointly and severally liable. The ability of other PRPs to participate has been taken into account, based on our understanding of the parties’ financial condition and probable contributions on a per site basis. Additional lawsuits and claims involving environmental matters are likely to arise from time to time in the future.

The Company incurred $2.9 million, $2.1 million, and $2.9 million of expenses during the years ended December 31, 2014, 2013 and 2012 for environmental remediation at sites presently or formerly owned or leased by us. Environmental remediation costs are recorded in Costs of goods sold within the Combined and Consolidated Statements of Comprehensive Income. As of December 31, 2014 and 2013, the Company has recorded reserves for environmental matters of $8.8 million and $10.8 million. Of these amounts $2.4 million and $2.9 million relate to remediation of sites previously disposed by the Company. Environmental reserves are classified as Accrued expenses and other current liabilities, or Other noncurrent liabilities based on their expected term. The Company's total current environmental reserve at December 31, 2014 and 2013 was $2.2 million and $4.2 million and the remainder is classified as noncurrent. Given the evolving nature of environmental laws, regulations and technology, the ultimate cost of future compliance is uncertain.

Warranty Liability

Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available.

The changes in the standard product warranty liability for the year ended December 31, were as follows:

In millions	2014			2013
Balance at beginning of period	$	9.7		$	9.5
Reductions for payments	(6.5		)	(5.7		)
Accruals for warranties issued during the current period	6.1			5.0
Changes to accruals related to preexisting warranties	1.2			0.9
Translation	(0.2		)	—
Balance at end of period	$	10.3		$	9.7

Standard product warranty liabilities are classified as Accrued expenses and other current liabilities.

Other Commitments and Contingencies

Certain office and warehouse facilities, transportation vehicles and data processing equipment are leased by the Company. Total rental expense was $32.5 million in 2014, $35.3 million in 2013 and $35.5 million in 2012. Minimum lease payments required under non-cancelable operating leases with terms in excess of one year for the next five years are as follows: $22.8 million in 2015, $10.4 million in 2016, $5.9 million in 2017, $3.1 million in 2018, and $1.4 million in 2019.

NOTE 21 – BUSINESS SEGMENT INFORMATION

The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies except that the operating segments’ results are prepared on a management basis that is consistent with the manner in which the Company disaggregates financial information for internal review and decision making. The Company largely evaluates performance based on Segment operating income and Segment operating margins.

Segment operating income is the measure of profit and loss that the Company’s chief operating decision maker uses to evaluate the financial performance of the business and as the basis for resource allocation, performance reviews, and compensation. For these reasons, the Company believes that Segment operating income represents the most relevant measure of segment profit and loss. The Company’s chief operating decision maker may exclude certain charges or gains, such as corporate charges and other special charges, from Operating income to arrive at a Segment operating income that is a more meaningful measure of profit and loss upon which to base its operating decisions. The Company defines Segment operating margin as Segment operating income as a percentage of Net revenues.

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Each reportable segment is based primarily on the geography in which it operates. A description of the Company’s reportable segments is as follows:

The Americas segment provides security products and solutions in approximately 30 countries throughout North America and parts of South America. The segment sells a broad range of products and solutions including, locks, locksets, key systems, door closers, exit devices, doors and door frames, electronic product and access control systems to end-users in commercial, institutional and residential facilities, including into the education, healthcare, government, commercial office and single- and multi-family residential markets. This segment’s strategic brands are Schlage, Von Duprin and LCN.

The EMEIA segment provides security products and solutions throughout Europe, the Middle East, India and Africa in approximately 85 countries. The segment offers customers the same portfolio of products as the Americas segment, as well as time and attendance and workforce productivity solutions. This segment’s strategic brands are Bricard, CISA and Interflex. This segment also resells Schlage, Von Duprin and LCN products, primarily in the Middle East.

The Asia Pacific segment provides security products and solutions throughout Asia Pacific in approximately 14 countries. The segment offers customers the same portfolio of products as the Americas segment, as well as video analytics solutions. This segment’s strategic brands are Schlage, CISA, Von Duprin and LCN.

Effective January 1, 2013, a product line was transferred from the Asia Pacific segment to the Americas segment. This transfer is reflected in the historical segment results for the year ended December 31, 2012.

Effective September 1, 2014 the Company completed the sale of its United Kingdom (UK) Door businesses to an unrelated third party. The businesses sold included the Dor-o-Matic™ branded automatic door business, the Martin Roberts™ branded performance steel doorset business and the UK service organization. Historical results of the component have been reclassified to discontinued operations for all periods presented. See Note 17 - Discontinued Operations for more information.

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A summary of operations and balance sheet information by reportable segments as of and for the years ended December 31 were as follows:

Dollar amounts in millions	2014			2013			2012
Americas
Net revenues	$	1,560.0		$	1,514.7		$	1,471.8
Segment operating income	387.3			392.1			378.0
Segment operating margin	24.8		%	25.9		%	25.7		%
Depreciation and amortization	24.8			26.5			22.0
Capital expenditures	23.6			10.5			16.9
Total segment assets	990.7			890.4			915.0
EMEIA
Net revenues	393.4			401.4			405.1
Segment operating income (loss) (a)	4.9			(0.3		)	10.1
Segment operating margin	1.2		%	(0.1		)%	2.5		%
Depreciation and amortization	16.4			18.2			29.5
Capital expenditures	4.9			5.6			1.7
Total segment assets	457.7			525.6			724.3
Asia Pacific
Net revenues	164.9			153.5			146.4
Segment operating income (b)	2.3			25.4			11.3
Segment operating margin	1.4		%	16.5		%	7.7		%
Depreciation and amortization	1.1			0.9			2.2
Capital expenditures	1.5			0.8			1.0
Total segment assets	442.2			403.2			310.9
Total net revenues	$	2,118.3		$	2,069.6		$	2,023.3
Reconciliation to earnings before income taxes
Segment operating income from reportable segments	$	394.5		$	417.2		$	399.4
Goodwill impairment charge	—			137.6			—
Unallocated corporate expense	68.2			38.8			28.1
Interest expense	53.8			10.2			1.5
Other expense (income), net	4.6			7.2			3.1
Total earnings before income taxes	$	267.9		$	223.4		$	366.7
Depreciation and amortization from reportable segments	$	42.3		$	45.6		$	53.7
Unallocated depreciation and amortization	1.9			0.1			—
Total depreciation and amortization	$	44.2		$	45.7		$	53.7
Capital expenditures from reportable segments	$	30.0		$	16.9		$	19.6
Corporate capital expenditures	21.5			3.3			—
Total capital expenditures	$	51.5		$	20.2		$	19.6
Assets from reportable segments	$	1,890.6		$	1,819.2		$	1,950.2
Unallocated assets (c)	125.3			181.4			65.2
Total assets	$	2,015.9		$	2,000.6		$	2,015.4

(a) During the year ended December 31, 2013, the Company recorded a non-cash pre-tax goodwill impairment charge of $137.6 million. This amount has been excluded from Segment operating income of the EMEIA segment as management excludes these charges from Operating income when making operating decisions about the business.

(b) Results for the year ended December 31, 2013, include a $21.5 million gain on a property sale in China.

(c) Unallocated assets consists of debt issuance costs, deferred income tax balances and cash.

F-44

Revenues by destination and product as well as long-lived assets by geographic area for the years ended December 31 were as follows:

In millions	2014		2013		2012
Revenues
United States	$	1,332.0	$	1,331.7	$	1,299.3
Non-U.S.	786.3		737.9		724.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

In millions	2014		2013		2012
Revenues
Mechanical products	$	1,685.0	$	1,647.7	$	1,627.3
All other	433.3		421.9		396.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

Less than 10% of the Company's net revenues come from the sale of services.

In millions	2014		2013
Long-lived assets
United States	$	102.9	$	103.1
Non-U.S.	223.9		234.2
Total	$	326.8	$	337.3

NOTE 22 – SUBSEQUENT EVENTS

On February 9, 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or “Simadi,” that will replace the SICAD II rate. The Company is currently evaluating this announcement. Adoption of the Simadi rate would result in additional charges to remeasure the net monetary assets and impair other assets.

On February 11, 2015, the Company's Board of Directors declared a quarterly dividend of $0.10 cents per ordinary share. The dividend is payable March 31, 2015 to shareholders of record on March 17, 2015.

On February 26, 2015, the Company agreed to acquire Zero International Inc. Zero manufacturers sealing systems, such as sound control, fire and smoke protection, threshold applications, and lites and louvers for door and window products for commercial spaces.

F-45

NOTE 23 – GUARANTOR FINANCIAL INFORMATION

Allegion US Holding Company, Inc. (the “Issuer”) as the issuer of the Senior Notes and Allegion plc (the “Parent”), Schlage Lock Company LLC and Von Duprin LLC (together, the “Subsidiary Guarantors”) are all guarantors of the Senior Notes. The following consolidated financial information of the Parent, the Issuer, the Subsidiary Guarantors and the other Allegion subsidiaries that are not guarantors (the “Other Subsidiaries”) on a combined basis as of December 31, 2014 and for the years ended December 31, 2014, 2013 and 2012, is being presented in order to meet the reporting requirements under the Senior Notes indenture and Rule 3-10 of Regulation S-X. In accordance with Rule 3-10(d) of Regulation S-X, separate financial statements for the Issuer, the Parent and the Subsidiary Guarantors are not required to be filed with the SEC as the subsidiary debt issuer and the guarantors are directly or indirectly 100% owned by the Parent and the guarantees are full and unconditional and joint and several.

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,399.9		$	916.4		$	(198.0	)	$	2,118.3
Cost of goods sold	—			—			803.1			659.5			(198.0		)	1,264.6
Selling and administrative expenses	4.5			0.2			304.4			218.3			—			527.4
Goodwill impairment charge	—			—			—			—			—			—
Operating income (loss)	(4.5		)	(0.2		)	292.4			38.6			—			326.3
Equity earnings (loss) in affiliates, net of tax	182.0			170.8			6.9			351.5			(711.2		)	—
Interest expense	5.6			58.0			—			1.0			(10.8		)	53.8
Intercompany interest and fees	(3.2		)	63.0			(285.5		)	225.7			—			—
Other (gain) loss, net	(0.1		)	—			(0.2		)	4.9			—			4.6
Earnings (loss) before income taxes	175.2			49.6			585.0			158.5			(700.4		)	267.9
Provision (benefit) for income taxes	—			(46.7		)	222.6			(95.7		)	4.0			84.2
Earnings (loss) from continuing operations	175.2			96.3			362.4			254.2			(704.4		)	183.7
Discontinued operations, net of tax	—			—			—			(11.1		)	—			(11.1		)
Net earnings (loss)	175.2			96.3			362.4			243.1			(704.4		)	172.6
Less: Net earnings attributable to noncontrolling interests	—			—			—			(2.6		)	—			(2.6		)
Net earnings (loss) attributable to Allegion plc	$	175.2		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	175.2
Total comprehensive income (loss)	$	123.7		$	96.3		$	362.4		$	242.4		$	(704.4	)	$	120.4
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			(3.3		)	—			(3.3		)
Total comprehensive income (loss) attributable to Allegion plc	$	123.7		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	123.7

F-46

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,395.0		$	880.0		$	(205.4	)	$	2,069.6
Cost of goods sold	—			—			800.1			613.4			(205.4		)	1,208.1
Selling and administrative expenses	0.9			—			239.4			242.8			—			483.1
Goodwill impairment charge	—			—			—			137.6			—			137.6
Operating income (loss)	(0.9		)	—			355.5			(113.8		)	—			240.8
Equity earnings (loss) in affiliates, net of tax	33.2			95.2			6.7			233.6			(368.7		)	—
Interest expense	—			8.4			—			1.8			—			10.2
Intercompany interest and fees	—			4.6			(21.0		)	16.4			—			—
Other (gain) loss, net	—			—			16.6			(9.4		)	—			7.2
Earnings (loss) before income taxes	32.3			82.2			366.6			111.0			(368.7		)	223.4
Provision (benefit) for income taxes	—			(4.6		)	126.3			53.3			—			175.0
Earnings (loss) from continuing operations	32.3			86.8			240.3			57.7			(368.7		)	48.4
Discontinued operations, net of tax	—			—			—			(3.6		)	—			(3.6		)
Net earnings (loss)	32.3			86.8			240.3			54.1			(368.7		)	44.8
Less: Net earnings attributable to noncontrolling interests	—			—			—			12.5			—			12.5
Net earnings (loss) attributable to Allegion plc	$	32.3		$	86.8		$	240.3		$	41.6		$	(368.7	)	$	32.3
Total comprehensive income (loss)	$	(56.7	)	$	86.8		$	240.3		$	55.0		$	(368.7	)	$	(43.4	)
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			13.3			—			13.3
Total comprehensive income (loss) attributable to Allegion plc	$	(56.7	)	$	86.8		$	240.3		$	41.7		$	(368.7	)	$	(56.7	)

F-47

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—	$	—	$	1,298.0		$	967.3		$	(242.0	)	$	2,023.3
Cost of goods sold	—		—		738.6			701.1			(242.0		)	1,197.7
Selling and administrative expenses	—		—		256.8			197.5			—			454.3
Goodwill impairment charge	—		—		—			—			—			—
Operating income	—		—		302.6			68.7			—			371.3
Equity earnings (loss) in affiliates, net of tax	220.1		203.0		1.5			198.8			(623.4		)	—
Interest expense	—		—		—			1.5			—			1.5
Intercompany interest and fees	—		—		—			—			—			—
Other (gain) loss, net	—		—		(11.1		)	14.2			—			3.1
Earnings (loss) before income taxes	220.1		203.0		315.2			251.8			(623.4		)	366.7
Provision for income taxes	—		—		116.3			20.4			—			136.7
Earnings (loss) from continuing operations	220.1		203.0		198.9			231.4			(623.4		)	230.0
Discontinued operations, net of tax	—		—		1.5			(5.7		)	—			(4.2		)
Net earnings (loss)	220.1		203.0		200.4			225.7			(623.4		)	225.8
Less: Net earnings attributable to noncontrolling interests	—		—		—			5.7			—			5.7
Net earnings (loss) attributable to Allegion plc	$	220.1	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	220.1
Total comprehensive income (loss)	$	241.5	$	203.0	$	200.4		$	226.2		$	(623.4	)	$	247.7
Less: Total comprehensive income attributable to noncontrolling interests	—		—		—			6.2			—			6.2
Total comprehensive income (loss) attributable to Allegion plc	$	241.5	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	241.5

F-48

Consolidated Balance Sheet

December 31, 2014

In millions	Parent			Issuer		Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	27.1		$	0.5	$	126.3	$	136.6	$	—		$	290.5
Accounts and notes receivable, net	—			—		115.7		144.2		—			259.9
Inventories	—			—		101.1		78.4		—			179.5
Other current assets	0.4			46.6		15.6		179.1		—			241.7
Assets held for sale	—			—		—		2.2		—			2.2
Accounts and notes receivable affiliates	0.1			15.2		256.4		259.4		(531.1		)	—
Total current assets	27.6			62.3		615.1		799.9		(531.1		)	973.8
Investment in affiliates	917.4			2,336.7		90.6		4,774.7		(8,119.4		)	—
Property, plant and equipment, net	—			—		147.3		63.9		—			211.2
Intangible assets, net	—			—		161.1		470.6		—			631.7
Notes receivable affiliates	—			1,191.9		3,731.2		1,762.9		(6,686.0		)	—
Other noncurrent assets	16.3			10.6		62.3		110.0		—			199.2
Total assets	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9
Current liabilities:
Accounts payable and accruals	$	2.8		$	51.3	$	380.8	$	45.3	$	—		$	480.2
Short-term borrowings and current maturities of long-term debt	48.8			—		0.1		0.7		—			49.6
Liabilities held for sale	—			—		—		1.5		—			1.5
Accounts and note payable affiliates	0.4			101.1		245.0		184.6		(531.1		)	—
Total current liabilities	52.0			152.4		625.9		232.1		(531.1		)	531.3
Long-term debt	914.1			300.0		0.1		0.8		—			1,215.0
Note payable affiliate	—			2,778.4		—		3,907.6		(6,686.0		)	—
Other noncurrent liabilities	—			5.8		206.2		39.1		—			251.1
Total liabilities	966.1			3,236.6		832.2		4,179.6		(7,217.1		)	1,997.4
Equity:
Total shareholders equity (deficit)	(4.8		)	364.9		3,975.4		3,779.1		(8,119.4		)	(4.8		)
Noncontrolling interests	—			—		—		23.3		—			23.3
Total equity (deficit)	(4.8		)	364.9		3,975.4		3,802.4		(8,119.4		)	18.5
Total liabilities and equity	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9

F-49

Consolidated Balance Sheet

December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	1.4		$	—		$	78.8	$	147.2	$	—		$	227.4
Restricted cash	—			—			—		40.2		—			40.2
Accounts and notes receivable, net	—			—			110.2		149.8		—			260.0
Inventories	—			—			96.4		91.1		—			187.5
Other current assets	0.1			—			18.4		202.0		—			220.5
Assets held for sale	—			—			—		11.2		—			11.2
Accounts and notes receivable affiliates	0.4			24.7			75.1		185.7		(285.9		)	—
Total current assets	1.9			24.7			378.9		827.2		(285.9		)	946.8
Investment in affiliates	—			1,256.8			86.6		4,049.7		(5,393.1		)	—
Property, plant and equipment, net	—			—			130.9		69.3		—			200.2
Intangible assets, net	—			—			161.2		489.8		—			651.0
Notes receivable affiliates	—			1,191.9			3,726.4		800.0		(5,718.3		)	—
Other noncurrent assets	—			93.3			72.3		37.0		—			202.6
Total assets	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6
Current liabilities:
Accounts payable and accruals	$	1.3		$	14.0		$	169.6	$	233.7	$	—		$	418.6
Short-term borrowings and current maturities of long-term debt	—			30.0			0.1		41.8		—			71.9
Accounts and note payable affiliates	0.2			23.3			189.6		72.8		(285.9		)	—
Total current liabilities	1.5			67.3			359.3		348.3		(285.9		)	490.5
Long-term debt	—			1,270.0			0.2		1.8		—			1,272.0
Note payable affiliate	—			1,810.9			—		3,907.4		(5,718.3		)	—
Estimated loss on investment	66.5			—			—		—		(66.5		)	—
Other noncurrent liabilities	—			58.5			61.9		152.7		—			273.1
Total liabilities	68.0			3,206.7			421.4		4,410.2		(6,070.7		)	2,035.6
Equity:
Total shareholders equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,831.7		(5,326.6		)	(66.1		)
Noncontrolling interests	—			—			—		31.1		—			31.1
Total equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,862.8		(5,326.6		)	(35.0		)
Total liabilities and equity	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6

F-50

Consolidated Statement of Cash Flows

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	105.4		$	(847.5	)	$	567.2		$	1,172.4		$	(738.5	)	$	259.0
Net cash used in discontinued operating activities	—			—			—			(3.1		)	—			(3.1		)
Net cash provided by (used in) operating activities	105.4			(847.5		)	567.2			1,169.3			(738.5		)	255.9
Cash flows from investing activities:
Capital expenditures	—			—			(41.6		)	(9.9		)	—			(51.5		)
Acquisition of businesses, net of cash acquired	—			—			—			(25.2		)	—			(25.2		)
Capital contributions to subsidiaries	(975.0		)	(135.0		)	—			(160.7		)	1,270.7			—
Proceeds from business disposition, net of cash sold	—			—			—			1.2			—			1.2
Other investing activities, net	—			—			0.5			40.2			—			40.7
Net cash provided by (used in) investing activities	(975.0		)	(135.0		)	(41.1		)	(154.4		)	1,270.7			(34.8		)
Cash flows from financing activities:
Net debt repayments	962.8			(1,000.0		)	—			(40.8		)	—			(78.0		)
Debt issuance costs	(5.8		)	—			—			—			—			(5.8		)
Net inter-company proceeds (payments)	—			1,822.3			(44.1		)	(1,778.2		)	—			—
Capital contributions received	—			160.7			7.0			1,103.0			(1,270.7		)	—
Dividends paid to shareholders	(30.0		)	—			—			—			—			(30.0		)
Dividends paid to noncontrolling interests	—			—			—			(4.5		)	—			(4.5		)
Dividends paid	—			—			(441.5		)	(297.0		)	738.5			—
Repurchase of ordinary shares	(50.3		)	—			—			—			—			(50.3		)
Other financing activities, net	18.6			—			—			—			—			18.6
Net cash provided by (used in) financing activities	895.3			983.0			(478.6		)	(1,017.5		)	(532.2		)	(150.0		)
Effect of exchange rate changes on cash and cash equivalents	—			—			—			(8.0		)	—			(8.0		)
Net increase (decrease) in cash and cash equivalents	25.7			0.5			47.5			(10.6		)	—			63.1
Cash and cash equivalents - beginning of period	1.4			—			78.8			147.2			—			227.4
Cash and cash equivalents - end of period	$	27.1		$	0.5		$	126.3		$	136.6		$	—		$	290.5

F-51

Consolidated Statement of Cash Flows

For the year ended December 31, 2013

In millions	Parent		Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	0.1	$	—		$	346.8		$	(117.6	)	$	—		$	229.3
Net cash used in discontinued operating activities	—		—			—			(5.4		)	—			(5.4		)
Net cash provided by (used in) operating activities	0.1		—			346.8			(123.0		)	—			223.9
Cash flows from investing activities:
Capital expenditures	—		—			(12.5		)	(7.7		)	—			(20.2		)
Proceeds from sale of property, plant and equipment	—		—			4.5			37.2			—			41.7
Capital contributions to subsidiaries	—		(2,384.7		)	(462.4		)	(5,997.8		)	8,844.9			—
Other investing activities, net	—		—			—			(40.2		)	—			(40.2		)
Net cash provided by (used in) investing activities	—		(2,384.7		)	(470.4		)	(6,008.5		)	8,844.9			(18.7		)
Cash flows from financing activities:
Net debt repayments	—		1,300.0			—			38.9			—			1,338.9
Debt issuance costs	—		(29.1		)	—			—			—			(29.1		)
Net inter-company proceeds (payments)	—		619.0			(3,746.4		)	3,127.4			—			—
Capital contributions received	—		1,769.0			4,228.7			2,847.1			(8,844.9		)	—
Dividends paid to noncontrolling interests	—		—			—			(5.2		)	—			(5.2		)
Net transfers to Parent and affiliates	—		(1,274.2		)	(281.6		)	(42.5		)	—			(1,598.3		)
Other financing activities, net	1.3		—			—			—			—			1.3
Net cash provided by (used in) financing activities	1.3		2,384.7			200.7			5,965.7			(8,844.9		)	(292.4		)
Effect of exchange rate changes on cash and cash equivalents	—		—			—			(2.9		)	—			(2.9		)
Net increase (decrease) in cash and cash equivalents	1.4		—			77.1			(168.6		)	—			(90.1		)
Cash and cash equivalents - beginning of period	—		—			1.7			315.8			—			317.5
Cash and cash equivalents - end of period	$	1.4	$	—		$	78.8		$	147.2		$	—		$	227.4

F-52

Consolidated Statement of Cash Flows

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments		Allegion plc
Net cash provided by (used in) continuing operating activities	$	—	$	—	$	190.7		$	83.0		$	—	$	273.7
Net cash provided by (used in) discontinued operating activities	—		—		1.5			(6.0		)	—		(4.5		)
Net cash provided by (used in) operating activities	—		—		192.2			77.0			—		269.2
Cash flows from investing activities:
Capital expenditures	—		—		(16.0		)	(3.6		)	—		(19.6		)
Proceeds from sale of property, plant and equipment	—		—		—			2.1			—		2.1
Net cash used in investing activities	—		—		(16.0		)	(1.5		)	—		(17.5		)
Cash flows from financing activities:
Net debt repayments	—		—		(0.1		)	(1.0		)	—		(1.1		)
Dividends paid to noncontrolling interests	—		—		—			(5.2		)	—		(5.2		)
Net transfers to Parent and affiliates	—		—		(183.1		)	(128.5		)	—		(311.6		)
Net cash provided by (used in) financing activities	—		—		(183.2		)	(134.7		)	—		(317.9		)
Effect of exchange rate changes on cash and cash equivalents	—		—		—			6.9			—		6.9
Net decrease in cash and cash equivalents	—		—		(7.0		)	(52.3		)	—		(59.3		)
Cash and cash equivalents - beginning of period	—		—		8.7			368.1			—		376.8
Cash and cash equivalents - end of period	$	—	$	—	$	1.7		$	315.8		$	—	$	317.5

F-53

SCHEDULE II

ALLEGION PLC

VALUATION AND QUALIFYING ACCOUNTS

FOR THE YEARS ENDED December 31, 2014, 2013 AND 2012

(Amounts in millions)

Allowances for Doubtful Accounts:
Balance December 31, 2011	$	3.4
Additions charged to costs and expenses	2.4
Deductions*	(1.4		)
Balance December 31, 2012	4.4
Additions charged to costs and expenses	2.9
Deductions*	(1.7		)
Currency translation	(0.1		)
Balance December 31, 2013	5.5
Additions charged to costs and expenses	4.7
Deductions*	(1.1		)
Currency translation	(0.2		)
Balance December 31, 2014	$	8.9

(*) “Deductions” include accounts and advances written off, less recoveries.

F-54

EX-10.23

EXHIBIT 10.23

August 29, 2013

Mr. Raymond Lewis 16527 Segars Lane

Huntersville, NC 28078

Dear Ray:

I am pleased to present you with an offer of employment to join Allegion as Senior Vice President, Human Resources & Communications reporting directly to me. Your employment with Allegion and in this role will begin on the day that the residential security and commercial security businesses are successfully spun-off from Ingersoll Rand ("Transaction Date") and Allegion is formed as a new standalone publicly traded company. This position will be located in Carmel, Indiana and you will be required to relocate to within one year after the transaction occurs. In addition, you will become an Officer of Allegion. I look forward to your acceptance of this offer and becoming a part of the Allegion leadership team.

The compensation, benefits and other aspects of your offer are outlined below and will become effective

on the Transaction Date:

1. Your base salary will be set at an annual rate of $300,000 (Three Hundred Thousand U.S. dollars)

2. which will be paid bi-weekly. You will be eligible for merit increase consideration during the

annual merit increase cycle. You will continue to earn a base salary at your current rate through

the Transaction Date.

3. This position is "incentive eligible," which means you will participate in the Allegion Annual Incentive Plan ("AlP") which will be designed and approved prior to the Transaction Date. Your annual opportunity is targeted at 60% of your base salary or $180,000. The actual award that you may receive can range from 0% to 200% of the targeted amount depending upon your performance and the performance of Allegion.

Using the metrics assigned to Industrial Technologies employees, you will continue to participate in the Ingersoll Rand 2013 Annual Incentive Matrix ("AIM") program at your current compensation level through the Transaction Date. Your Ingersoll Rand AIM target would be prorated at your current 50% target opportunity for the period from January 1, 2013 to the Transaction Date and a 60% target from the Transaction Date through December 31, 2013. The financial metrics used to determine your 2013 AIM award will be the Corporate and Industrial Technologies Sector fmancial metrics for the entire performance year.

4. You will be eligible to receive annual equity awards under the Allegion Incentive Stock Plan

("ISP") as administered by the Allegion Compensation Committee of the Board ("Committee").

Your annual opportunity has a targeted value of $250,000 and the number of stock options,

Restricted Stock Units ("RSUs"), and/or Performance Share Units ("PSUs") granted will be based

on the Fair Market Value ("FMV") of Allegion's ordinary shares on the date the Committee

approves the award. The mix of equity awards, the terms, and the design of the Performance

Share Program ("PSP") is intended to be similar in nature as provided to Ingersoll Rand plan participants, however, the final design will be determined by the Committee. The PSP will measure performance over a three-year period, therefore, the award granted to you in 2014 would be settled in early 2017 (based on performance during the 2014 to 2016 measurement period). Your first grant of stock options, RSUs, and/or PSUs is expected to occur within 90 days of the Transaction Date. Annual equity grants are contingent on and variable with your sustained performance and demonstrated leadership potential.

4.When you consider each of the above items, your Total Annual Direct Compensation ("TDC")

target is $730,000 which, as a result of this promotion, is an increase of 39.8% as compared to your current Ingersoll Rand target TDC.

5.In consideration of the Ingersoll Rand PSU grants that will be prorated on the Transaction Date, you will receive two additional Allegion PSU grants which are expected to occur within 90 days of the Transaction Date. The target number of PSUs awarded will be based on the FMV of Allegion's ordinary shares on the date the Committee approves the award:

a. The first grant will be based on 2014 performance and will have a target value of $41,667 (16.7% of your $250,000 projected annual equity award target). The actual number of PSUs earned will be based on metrics established by the Committee and will be settled in early 2015.

b. The second grant will be based on performance during the 2014 to 2015 measurement period and will have a target value of $83,333 (33.3% of your $250,000 projected annual equity award target). The actual number of PSUs earned will be based on metrics established by the Committee and will be settled in early 2016.

6.You will be eligible to participate in all applicable benefit programs offered to Allegion salaried

employees in accordance with the terms and conditions of those programs including qualified and non-qualified 401k and pension plans. Please note that your medical, dental and life insurance coverage with Allegion will commence on January 1, 2014, however, you will continue to be covered under the Ingersoll Rand plans through December 31, 2013.

7.You will be eligible to participate in the following programs offered to Officers of Allegion:

a. Deferred Compensation Plan: You will be eligible to participate in a deferred compensation plan that will be established for Allegion.

b. Financial Counseling: You will be eligible for a tax, estate, and financial planning services allowance up to $11,000 in your first (and last) year and $9,000 per year thereafter. The cost for these services is imputed to your annual income.

c. Executive Health Program: You will be eligible to participate in an executive physical examination program that will be established for Allegion in an amount not to exceed $1,500 annually. The cost for these services is imputed to your annual income.

8.You will be eligible for paid vacation, which in your case, is four (4) weeks. Vacation days will

be earned and accrued on a monthly basis each calendar year.

9.You will participate in the Allegion Change in Control Plan ("CIC Plan"), which provides

economic security in the form of cash payments to the participant and enhanced coverage under

certain benefit plans in the event of a loss of job caused by the sale of all or a substantial part of Allegion (in accordance with the CIC Plan). Your severance payment under the CIC Plan will be equal to 2.0 times your base salary plus your annual incentive target. No excise tax gross-ups will be provided, however, your CIC related cash severance benefit will be adjusted to provide you with the greater after-tax benefit between:

a. Cash severance payments paid in full, with you being responsible for all taxes incurred, or

b. Cash severance payments reduced to avoid triggering excise taxes.

Furthermore, under the terms of the stock awards, in the event of a change in control, unvested stock options (if applicable) and Restricted Stock Units (if applicable) would vest in full and outstanding Performance Share Units (if applicable) would vest on a pro-rated basis at target award levels.

You will be provided with a copy of the CIC Plan within 30 days of your acceptance of this offer.

1. You will be eligible for Allegion Relocation Program to Carmel, Indiana.

2. Based on your role in Allegion, you are restricted from transactions involving ordinary shares of Company stock (exercising options, moving in or out of ordinary shares held in company plans, or buying or selling ordinary shares on the open market) except during designated window periods. Furthermore, you will be required to comply with the Allegion stock ownership requirements, which is $1,000,000 for your role. You will have 5 years from the Transaction Date to reach this ownership level (at a rate of 20% per year).

This offer is contingent upon your acceptance of the Non-Compete and Proprietary Information agreements attached hereto. To accept this offer, please sign as indicated under the Candidate Acceptance section below. In addition, sign the Non-Compete and Proprietary Information Agreements and return all of these materials to Jeff Blair, Vice President of Total Rewards, Ingersoll Rand.

Subject to the confirmation of the transaction, this letter will be a contractual obligation of Allegion effective on the Transaction Date. Nothing in this letter alters your at-will employment status with Allegion. In addition, nothing in this letter prevents Allegion from changing or modifying plans, benefit designs, or compensation on a going forward basis. Allegion may also require you to sign documents e.g., non-compete, other documents as part of its on-boarding process. Any compensation or benefits payable pursuant to this offer will be subject to applicable claw-back policies of Allegion as in effect from time to time.

Ray, we all believe that you will make a significant contribution to Allegion and I look forward to you accepting this offer. If you have any questions about this offer, please feel free to call Marcia Avedon at 704-655-5821 or Jeff Blair at 704-655-4347. For any other questions, please feel free to contact me at 317-810-3330.

Sincerely,

David Petratis

Chairman, President and Chief Executive Officer of Allegion

cc: Marcia Avedon

Jeff Blair

Attachments:

•Proprietary Agreement

•Non-Compete Agreement

Conditions of Offer:

This offer is contingent upon the following:

1. Understanding and agreement that your employment is to be "at will." This means that you or Allegion, for any reason or no reason, may terminate employment and that nothing in this offer is intended to create a contract of employment for any period of time.

2. Understanding, agreeing, signing and returning the Non-Compete and Proprietary Information agreements.

CANDIDATE ACCEPTANCE

I accept your offer of employment with Allegion as Senior Vice President, Human Resources & Communications and agree to the conditions herein and in the offer letter.

/s/ Raymond Lewis	8/29/2013
Mr. Raymond Lewis	Date

EX-10.24

EXHIBIT 10.24

Allegion plc

Incentive Stock Plan of 2013

Global Restricted Stock Unit Award Agreement

Dated as of [Grant Date] (“Grant Date”)

Allegion plc (the “Company”) hereby grants to [insert name] (“Participant”) a restricted stock unit award (the “RSUs”) with respect to [insert number of shares subject to RSUs] ordinary shares of the Company (the “Shares”), pursuant to and subject to the terms and conditions set forth in the Company’s Incentive Stock Plan of 2013 (the “Plan”) and to the terms and conditions set forth in this Restricted Stock Unit Award Agreement (the “Award Agreement”), including any appendix to the Award Agreement for Participant’s country (the “Appendix”). Unless otherwise defined herein, the terms defined in the Plan shall have the same meanings in this Award Agreement.

1. Vesting Schedule.

Participant’s right to receive Shares subject to the RSUs shall vest [insert vesting schedule] (each anniversary being a “Vesting Date”), subject to Participant’s continued employment with the Company or an Affiliate on each such anniversary.

2. Dividend Equivalents.

Participant shall be entitled to receive an amount equal to any cash dividend paid by the Company upon one Share for each RSU held by Participant when such dividend is paid (“Dividend Equivalent”), provided that, (i) Participant shall have no right to receive the Dividend Equivalents unless and until the associated RSUs vest, (ii) Dividend Equivalents shall not accrue interest and (iii) Dividend Equivalents shall be paid in cash at the time that the associated RSUs vest.

3. Termination of Employment.

(a)Group Termination

If Participant’s employment terminates involuntarily by reason of a group termination (including, but not limited to, terminations resulting from sale of a business or division, outsourcing of an entire function, reduction in workforce or closing of a facility) (a “Group Termination Event”), the number of Shares subject to the RSUs that would have vested within 12 months of termination of Participant’s active employment shall vest as of the date of termination of active employment (such date also being a “Vesting Date”) and all other RSUs and associated Dividend Equivalents shall be forfeited as of the date of termination of active employment, and Participant shall have no right to or interest in such RSUs, the underlying Shares or any associated Dividend Equivalents.

(b)Termination Due to Disability

If Participant’s employment terminates by reason of disability, the Shares subject to the RSUs that have not yet vested shall vest as of the date of such termination of employment (such date also being a “Vesting Date”).

(c)Termination Due to Retirement

Notwithstanding the provisions of Section 3(a) and (b) above, and unless Participant’s employment terminates for cause as defined in Section 3(e) below, if Participant’s employment terminates after attainment of age 55 with at least 5 years of service (“Retirement”), the Shares subject to the RSUs shall continue to vest according to the schedule set forth in Section 1, notwithstanding such termination of employment.

(d)Termination Due to Death

Notwithstanding the provisions of Section 3(c) above, if Participant’s employment terminates due to death, the Shares subject to the RSUs that have not yet vested shall vest as of the date of such termination of employment (such date also being a “Vesting Date”).

(e)Termination Due to Any Other Reason

If Participant’s employment terminates (i) for any reason or in any circumstances other than those specified in Section 3(a) through (d) above or (ii) for cause in the circumstances specified in Section 3(c) above, all unvested RSUs and associated Dividend Equivalents shall be forfeited as of the date of termination of active employment and Participant shall have no right to or interest in such RSUs, the underlying Shares or any associated Dividend Equivalents. For purposes of this Section 3(e), “cause” shall mean (x) any action by Participant involving willful malfeasance or willful gross misconduct having a demonstrable adverse effect on the Company or an Affiliate; (y) Participant being convicted of a felony under the laws of the United States or any state or district (or the equivalent in any foreign jurisdiction); or (z) any material violation of the Company’s code of conduct, as in effect from time to time.

4. Settlement.

(a)General

On or as soon as administratively practicable (and any event within 30 days) following each Vesting Date, the Company shall cause to be issued to Participant Shares with respect to the RSUs that become vested on such Vesting Date. Notwithstanding the foregoing, if the Participant is subject to US Federal income tax on any part of the payment of the RSUs and the RSUs are considered non-qualified deferred compensation subject to Section 409A of the Code, the RSUs shall be settled within 30 days of the earliest to occur of the following dates or events, subject to any delay required by Section 4(b) below: (i) the Vesting Dates set forth in Section 1 in the case of RSUs that vest pursuant to Section 1 or 3(c), (ii) a “separation from service” within the meaning of Section 409A of the Code in the case of RSUs that vest pursuant Section 3(a), 3(b) and 3(d) above and Section 9(b)(iv)(D) of the Plan and (iiii) a “change in control event” within the meaning of U.S. Treasury Regulation §1.409A-3(i)(5) in the case of RSUs that vest pursuant to Section 9(b) of the Plan. Such Shares shall be fully paid and non-assessable. Participant will not have any of the rights or privileges of a shareholder of the Company in respect of any Shares subject to the RSUs unless and until such Shares have been issued to Participant.

(b)Delayed Payment

Notwithstanding Section 4(a) above, if the RSUs are considered an item of deferred compensation under Section 409A of the Code and the Shares are distributable by reason of a Participant’s separation from service during the period that Participant is both subject to U.S. federal income taxation and a “specified employee” (within the meaning of Section 409A(a)(2)(B)(i) of the Code), any Shares that would otherwise be issuable during the 6-month period immediately following Participant’s separation from service will be issued on the first day of the 7th month following Participant’s separation from service (or, if Participant dies during such period, within 30 days after Participant’s death).

5. Change in Control.

In the event of a Change in Control, the treatment of the RSUs will be governed by the terms of the Plan, subject to Section 4 above.

6. Responsibility for Taxes.

Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer (the “Employer”), the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related to Participant’s participation in the Plan and legally applicable to Participant (“Tax-Related Items”) is and remains Participant’s responsibility and may exceed the amount actually withheld by the Company or the Employer. Participant further acknowledges that the Company and the Employer (i) make no representations or undertakings regarding the treatment of any Tax-Related Items in connection with any aspect of the RSUs; and (ii) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the RSUs to reduce or eliminate Participant’s liability for Tax-Related Items or achieve any particular tax result. Further, if Participant is subject to Tax‑Related Items in more than one jurisdiction, Participant acknowledges that the Company and/or the Employer (or former employer, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction.

To satisfy any withholding obligations of the Company and/or the Employer with respect to Tax-Related Items, the Company will withhold Shares otherwise issuable upon settlement of the RSUs. Alternatively, or in addition, in

connection with any applicable taxable or tax withholding event, Participant authorizes the Company and/or the Employer, or their respective agents, at their discretion, to satisfy the obligations with regard to all Tax-Related Items by one or a combination of the following:

(a) withholding from Participant’s wages or other cash compensation paid to Participant by the Company or the Employer,

(b) withholding from proceeds of the sale of Shares acquired upon settlement of the RSUs either through a voluntary sale or through a mandatory sale arranged by the Company (on Participant’s behalf pursuant to this authorization without further consent) and/or

(c) requiring Participant to tender a cash payment to the Company or an Affiliate in the amount of the Tax-Related Items;

provided, however, that if Participant is a Section 16 officer of the Company under the Act, the withholding methods described in this Section 6 (a), (b) and (c) will only be used if the Committee (as constituted to satisfy Rule 16b-3 of the Act) determines, in advance of the applicable withholding event, that one such withholding method will be used in lieu of withholding Shares.

Depending on the withholding method,the Company may withhold for Tax-Related Items by considering applicable minimum statutory withholding amounts or other applicable withholding rates, including maximum applicable rates, in which case Participant will receive a refund of any over-withheld amount in cash and will have no entitlement to the equivalent amount in Shares. The Companymay refuse to issue or deliver the Shares or the proceeds of the sale of Shares, if Participant fails to comply with his or her obligations in connection with the Tax-Related Items.

7. Nature of Grant.

In accepting the RSUs, Participant acknowledges, understands and agrees that:

(f)the Plan is established voluntarily by the Company, it is discretionary in nature and it may be amended, altered or discontinued by the Company at any time, to the extent permitted by the Plan;

(g)the grant of the RSUs is voluntary and occasional and does not create any contractual or other right to receive future grants of restricted stock units, or benefits in lieu of restricted stock units, even if restricted stock units have been granted in the past;

(h)all decisions with respect to future restricted stock unit grants, if any, will be at the sole discretion of the Company;

(i)Participant is voluntarily participating in the Plan;

(j)the RSUs and the Shares subject to the RSUs are not intended to replace any pension rights or compensation;

(k)the RSUs and the Shares subject to the RSUs, and the income and value of same, are not part of normal or expected compensation or salary for any purpose, including, but not limited to, calculating any severance, resignation, termination, redundancy, dismissal, end of service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments;

(l)the RSU grant and Participant’s participation in the Plan will not create a right to employment or be interpreted as forming an employment or service contract with the Company, the Employer or any Affiliate and will not interfere with the ability of the Company, the Employer or any Affiliate, as applicable, to terminate Participant’s employment or service relationship (if any);

(m)the future value of the underlying Shares is unknown, indeterminable and cannot be predicted with certainty;

(n)no claim or entitlement to compensation or damages shall arise from forfeiture of the RSUs resulting from Participant ceasing to provide employment or other services to the Company or the Employer (for any reason whatsoever, whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any) or from cancellation of the RSUs or recoupment of any financial gain resulting from the RSUs as described in Section 14 below and, in consideration of the grant of the RSUs to which Participant is otherwise not entitled, Participant irrevocably agrees never to institute any claim

against the Company or the Employer, waives the ability, if any, to bring any such claim and releases the Company, the Employerand any Affiliate from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant will be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all documents necessary to request dismissal or withdrawal of such claims;

(o)for purposes of the RSUs, Participant’s employment or other service relationship will be considered terminated as of the date Participant is no longer actively providing services to the Company or one of its Affiliates (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any) and, unless otherwise expressly provided in this Award Agreement or determined by the Company, Participant’s right to vest in the RSUs under the Plan, if any, will terminate as of such date, or will be measured with reference to such date in the case of a Group Termination Event, Retirement or termination due to disability or death, and will not be extended by any notice period (e.g., Participant’s period of active service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any); the Committee shall have the exclusive discretion to determine when Participant is no longer actively providing services for purposes of the RSUs (including whether Participant may still be considered to be providing services while on a leave of absence);

(p)unless otherwise provided in the Plan or by the Company, in its discretion, the RSUs and the benefits evidenced by this Award Agreement do not create any entitlement to have the RSUs or any such benefits transferred to, or assumed by, another company nor to be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and

(q)neither the Company, nor the Employer nor any Affiliate will be liable for any foreign exchange rate fluctuation between Participant’s local currency and the United States Dollar that may affect the value of the RSUs or of any amounts due to Participant pursuant to the settlement of the RSUs or the subsequent sale of any Shares acquired upon settlement.

8. No Advice Regarding Grant.

The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding Participant’s participation in the Plan, or his or her acquisition or sale of the underlying Shares. Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding Participant’s participation in the Plan before taking any action related to the Plan.

9. Data Privacy.

Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of Participant’s personal data as described in the Award Agreement and any other RSU grant materials by and among, as applicable, the Employer, the Company and any Affiliate for the exclusive purpose of implementing, administering and managing Participant’s participation in the Plan.

Participant understands that the Company and the Employer may hold certain personal information about Participant, including, but not limited to, Participant’s name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any shares of stock or directorships held in the Company, details of all RSUs or any other entitlement to shares of stock awarded, canceled, exercised, vested, unvested or outstanding in Participant’s favor, for the exclusive purpose of implementing, administering and managing the Plan (“Data”).

Participant understands that Data may be transferred to UBS, or such other stock plan service provider as may be selected by the Company in the future, which is assisting the Company with the implementation, administration and management of the Plan. Participant understands that the recipients of Data may be located in the United States or elsewhere, and that the recipients’ country (e.g., the United States) may have different data privacy laws and protections than Participant’s country. Participant understands that he or she may request a list with the names and addresses of any potential recipients of Data by contacting his or her local human resources representative. Participant authorizes the Company, UBS and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer Data, in electronic or other form, for the sole purpose of implementing, administering and managing Participant’s participation in the Plan. Participant understands that Data will be held only as long as

is necessary to implement, administer and manage Participant’s participation in the Plan. Participant understands that he or she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing Participant’s local human resources representative. Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis. If Participant does not consent, or if Participant later seeks to revoke his or her consent, Participant’s employment status or service and career with the Employer will not be adversely affected; the only consequence of refusing or withdrawing consent is that the Company would not be able to grant RSUs or other equity awards to Participant or administer or maintain such awards. Therefore, Participant understands that refusing or withdrawing his or her consent may affect his or her ability to participate in the Plan. For more information on the consequences of Participant’s refusal to consent or withdrawal of consent, Participant understands that he or she may contact his or her local human resources representative.

10. Electronic Delivery and Participation.

The Company may, in its sole discretion, decide to deliver any documents related to participation in the Plan by electronic means or to request Participant’s consent to participate in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

11. Insider Trading/Market Abuse Laws.

Participant acknowledges that, depending on Participant’s country, Participant may be subject to insider trading restrictions and/or market abuse laws, which may affect Participant’s ability to acquire or sell Shares or rights to Shares (e.g., RSUs) under the Plan during such times as Participant is considered to have “inside information” regarding the Company (as defined by the laws in Participant’s country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under the Company’s insider trading policy.

12. Country-Specific Terms and Conditions.

Notwithstanding any provisions in this Award Agreement, the RSUs and the Shares subject to the RSUs shall be subject to any special terms and conditions for Participant’s country set forth in the Appendix. Moreover, if Participant relocates to one of the countries included in the Appendix, the special terms and conditions for such country will apply to Participant, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons. The Appendix constitutes part of this Award Agreement.

13. Imposition of Other Requirements.

This grant is subject to, and limited by, all applicable laws and regulations and to such approvals by any governmental agencies or national securities exchanges as may be required. Participant agrees that the Company shall have unilateral authority to amend the Plan and this Award Agreement without Participant’s consent to the extent necessary to comply with securities or other laws applicable to the issuance of Shares. The Company reserves the right to impose other requirements on Participant’s participation in the Plan, on the RSUs and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

14. Recoupment Provision.

In the event that Participant commits fraud or engages in intentional misconduct that results in a need for the Company to restate its financial statements, then the Committee may direct the Company to (i) cancel any outstanding portion of the RSUs and (ii) recover all or a portion of the financial gain realized by Participant through the RSUs.

15. Choice of Law and Venue.

The RSU grant and the provisions of this Award Agreement shall be governed by and construed in accordance with the laws of the State of Delaware without regard to such state’s conflict of laws or provisions, as provided in the Plan. For purposes of litigating any dispute that arises under this grant or this Award Agreement, the parties hereby submit to and consent to the jurisdiction of the State of Delaware and agree that such litigation shall be conducted in

the courts of New Castle County, Delaware, or the federal courts for the United States for the District of Delaware, where this grant is made and/or to be performed.

16. Severability.

The provisions of this Award Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable.

17. Language.

If Participant has received this Award Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

18. Waiver.

Participant acknowledges that a waiver by the Company of breach of any provision of this Award Agreement shall not operate or be construed as a waiver of any other provision of this Award Agreement, or of any subsequent breach by Participant or any other participant in the Plan.

19. Acknowledgement & Acceptance within 120 Days.

This grant is subject to acceptance, within 120 days of the Grant Date, by electronic acceptance through the website of UBS, the Company’s stock plan administrator. Failure to accept the RSUs within 120 days of the Grant Date may result in cancellation of the RSUs.

Signed for and on behalf of the Company:

/s/ David D. Petratis

David D. Petratis

Chairman and Chief Executive Officer

Allegion plc

This document constitutes part of a prospectus covering securities that have been registered under the Securities Act of 1933.

EX-10.25

EXHIBIT 10.25

Allegion plc

Incentive Stock Plan of 2013

Global Stock Option Award Agreement

Dated as of [Grant Date] (“Grant Date”)

Allegion plc (the “Company”) hereby grants to [insert name] (“Participant”) a non-qualified stock option (the “Option”) to purchase [insert number of shares subject to Option] ordinary shares of the Company (the “Shares”) at an exercise price of US$[insert option price] per Share, pursuant to and subject to the terms and conditions set forth in the Company’s Incentive Stock Plan of 2013 (the “Plan”) and to the terms and conditions set forth in this Stock Option Award Agreement (the “Award Agreement”), including any appendix to the Award Agreement for Participant’s country (the “Appendix”). Unless otherwise defined herein, the terms defined in the Plan shall have the same meanings in this Award Agreement.

1. Vesting.

Participant’s right to purchase Shares subject to the Option shall vest [insert vesting schedule], subject to Participant’s continued employment with the Company or an Affiliate on each such anniversary.

2. Term of Option.

The term of the Option shall be 10 years from the Grant Date, subject to the provisions of Section 3 below.

3. Termination of Employment.

Participant’s rights with respect to the Option after termination of Participant’s employment shall be as set forth below:

(a)General

If Participant’s employment terminates due to any reason or in any circumstances not specified in Sections 3(b) through (g) below, Participant’s right to exercise vested Options will expire 90 days following termination of active employment and all unvested Options shall be cancelled as of the date of termination of active employment.

(b)Group Termination

If Participant’s employment terminates involuntarily by reason of a group termination (including, but not limited to, terminations resulting from sale of a business or division, outsourcing of an entire function, reduction in workforce or closing of a facility) (a “Group Termination Event”), any unvested Options that would have vested within 12 months following such termination of active employment shall become fully vested, all other unvested Options shall be cancelled as of the date of termination of active employment and all vested Options shall remain exercisable for 3 years following termination of active employment.

(c)Job Elimination / Change / Relocation

If Participant’s employment terminates involuntarily by reason of job elimination, substantial change in the nature of Participant’s position or job relocation, Participant shall have 1 year from the date of termination of active employment to exercise vested Options and all unvested Options will be cancelled as of the date of termination of active employment.

(d)Termination Due to Disability

If Participant’s employment terminates due to disability, all unvested Options shall vest as of the date of such termination of employment and vested Options shall remain exercisable for 3 years following termination of employment.

(e)Termination Due to Retirement

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Notwithstanding the provisions of Section 3(a) through (d) above, and unless Participant’s employment terminates for cause as defined in Section 3(g) below, if Participant’s employment terminates after attainment of age 55 with at least 5 years of service (“Retirement”), all unvested Options shall continue to vest according to their original vesting schedule and Participant shall have 5 years from the date of termination of active employment to exercise all vested Options.

(f)Termination Due to Death

Notwithstanding the provisions of Section 3(e) above, if Participant’s employment terminates due to death, all unvested Options shall vest as of the date of such termination of employment and vested Options shall remain exercisable for 3 years following termination of employment.

(g)Termination for Cause

In the event Participant’s employment is terminated for cause, all Options, whether vested or unvested, shall be cancelled immediately upon termination of active employment. For purposes of this Section 3(g), “cause” shall mean (i) any action by Participant involving willful malfeasance or willful gross misconduct having a demonstrable adverse effect on the Company or an Affiliate; (ii) Participant being convicted of a felony under the laws of the United States or any state or district (or the equivalent in any foreign jurisdiction); or (iii) any material violation of the Company’s code of conduct, as in effect from time to time.

(h)Expiration of Options

Notwithstanding the provisions of Sections 3(a) through (g) above, in no event shall any portion of the Options be exercisable more than 10 years after the Grant Date.

4. Change in Control.

In the event of a Change in Control, the treatment of the Options will be governed by the terms of the Plan.

5. Responsibility for Taxes.

Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer (the “Employer”), the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related to Participant’s participation in the Plan and legally applicable to Participant (“Tax-Related Items”) is and remains Participant’s responsibility and may exceed the amount actually withheld by the Company or the Employer. Participant further acknowledges that the Company and the Employer (i) make no representations or undertakings regarding the treatment of any Tax-Related Items in connection with any aspect of the Option; and (ii) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the Option to reduce or eliminate Participant’s liability for Tax-Related Items or achieve any particular tax result. Further, if Participant is subject to Tax‑Related Items in more than one jurisdiction, Participant acknowledges that the Company and/or the Employer (or former employer, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction.

Prior to any relevant taxable or tax withholding event, as applicable, Participant will make adequate arrangements satisfactory to the Company and/or the Employer to satisfy all Tax-Related Items. In this regard, Participant authorizes the Company and/or the Employer, or their respective agents, at their discretion, to satisfy the obligations with regard to all Tax-Related Items by one or a combination of the following:

(i) withholding from Participant’s wages or other cash compensation paid to Participant by the Company and/or the Employer;

(j) withholding from proceeds of the sale of Shares acquired upon exercise of the Option either through a voluntary sale or through a mandatory sale arranged by the Company (on Participant’s behalf pursuant to this authorization without further consent);

(k) requiring Participant to tender a cash payment to the Company or an Affiliate in the amount of the Tax-Related Items; and/or

(l) withholding in Shares to be issued upon exercise of the Option;

provided, however, that if Participant is a Section 16 officer of the Company under the Act, then the Committee (as constituted to satisfy Rule 16b-3 of the Act) will determine the method of withholding from alternatives (a) - (d) above

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and, if the Committee does not exercise its discretion prior to the applicable withholding event, then Participant will be entitled to elect the method of withholding from alternatives (a) - (d) above.

Depending on the withholding method,the Company may withhold for Tax-Related Items by considering applicable minimum statutory withholding amounts or other applicable withholding rates, including maximum applicable rates, in which case Participant will receive a refund of any over-withheld amount in cash and will have no entitlement to the equivalent amount in Shares. The Companymay refuse to honor the exercise of the Option or refuse to issue or deliver the Shares or the proceeds of the sale of Shares, if Participant fails to comply with his or her obligations in connection with the Tax-Related Items.

6. Nature of Grant.

In accepting the Option, Participant acknowledges, understands and agrees that:

(m)the Plan is established voluntarily by the Company, it is discretionary in nature and it may be amended, altered or discontinued by the Company at any time, to the extent permitted by the Plan;

(n)the grant of the Option is voluntary and occasional and does not create any contractual or other right to receive future grants of options, or benefits in lieu of options, even if options have been granted in the past;

(o)all decisions with respect to future option grants, if any, will be at the sole discretion of the Company;

(p)Participant is voluntarily participating in the Plan;

(q)the Option and the Shares subject to the Option are not intended to replace any pension rights or compensation;

(r)the Option and the Shares subject to the Option, and the income and value of same, are not part of normal or expected compensation or salary for any purpose, including, but not limited to, calculating any severance, resignation, termination, redundancy, dismissal, end of service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments;

(s)the grant of the Option and Participant’s participation in the Plan will not create a right to employment or be interpreted as forming an employment or service contract with the Company, the Employer or any Affiliate and will not interfere with the ability of the Company, the Employer or any Affiliate, as applicable, to terminate Participant’s employment or service relationship (if any);

(t)the future value of the underlying Shares is unknown, indeterminable and cannot be predicted with certainty; if the Shares subject to the Option do not increase in value, the Option will have no value; if Participant exercises the Option and acquires Shares, the value of such Shares may increase or decrease, even below the exercise price;

(u)no claim or entitlement to compensation or damages shall arise from forfeiture of the Option resulting from Participant ceasing to provide employment or other services to the Company or the Employer (for any reason whatsoever, whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any) or from cancellation of the Option or recoupment of any financial gain resulting from exercise of the Option as described in Section 13 below and, in consideration of the grant of the Option to which Participant is otherwise not entitled, Participant irrevocably agrees never to institute any claim against the Company or the Employer, waives the ability, if any, to bring any such claim and releases the Company, the Employer and any Affiliate from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant will be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all documents necessary to request dismissal or withdrawal of such claims;

(v)for purposes of the Option, Participant’s employment or other service relationship will be considered terminated as of the date Participant is no longer actively providing services to the Company or one of its Affiliates (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any) and, unless otherwise expressly provided in this Award Agreement or determined by the Company, Participant’s right to vest in the Option under the Plan, if any, will terminate as of such date, or will be measured with reference to such date in the case of a Group Termination Event, and will not be extended by any notice period (e.g., Participant’s period of active service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any); furthermore, in the event of termination of Participant’s employment or other service

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relationship (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant’s employment agreement, if any), Participant’s right to exercise the Option after termination of employment, if any, will be measured with reference to such date and will not be extended by any notice period; the Committee shall have the exclusive discretion to determine when Participant is no longer actively providing services for purposes of the Option (including whether Participant may still be considered to be providing services while on a leave of absence);

(w)unless otherwise provided in the Plan or by the Company, in its discretion, the Option and the benefits evidenced by this Award Agreement do not create any entitlement to have the Option or any such benefits transferred to, or assumed by, another company nor to be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and

(x)neither the Company, nor the Employer nor any Affiliate will be liable for any foreign exchange rate fluctuation between Participant’s local currency and the United States Dollar that may affect the value of the Option or of any amounts due to Participant pursuant to the exercise of the Option or the subsequent sale of any Shares acquired upon exercise.

7. No Advice Regarding Grant.

The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding Participant’s participation in the Plan or his or her acquisition or sale of the underlying Shares. Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding Participant’s participation in the Plan before taking any action related to the Plan.

8. Data Privacy.

Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of Participant’s personal data as described in the Award Agreement and any other Option grant materials by and among, as applicable, the Employer, the Company and any Affiliate for the exclusive purpose of implementing, administering and managing Participant’s participation in the Plan.

Participant understands that the Company and the Employer may hold certain personal information about Participant, including, but not limited to, Participant’s name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any shares of stock or directorships held in the Company, details of all Options or any other entitlement to shares of stock awarded, canceled, exercised, vested, unvested or outstanding in Participant’s favor, for the exclusive purpose of implementing, administering and managing the Plan (“Data”).

Participant understands that Data may be transferred to UBS, or such other stock plan service provider as may be selected by the Company in the future, which is assisting the Company with the implementation, administration and management of the Plan. Participant understands that the recipients of Data may be located in the United States or elsewhere, and that the recipients’ country (e.g., the United States) may have different data privacy laws and protections than Participant’s country. Participant understands that he or she may request a list with the names and addresses of any potential recipients of Data by contacting his or her local human resources representative. Participant authorizes the Company, UBS and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer Data, in electronic or other form, for the sole purpose of implementing, administering and managing Participant’s participation in the Plan. Participant understands that Data will be held only as long as is necessary to implement, administer and manage Participant’s participation in the Plan. Participant understands that he or she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing Participant’s local human resources representative. Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis. If Participant does not consent, or if Participant later seeks to revoke his or her consent, Participant’s employment status or service and career with the Employer will not be adversely affected; the only consequence of refusing or withdrawing consent is that the Company would not be able to grant the Option or other equity awards to Participant or administer or maintain such awards. Therefore, Participant understands that refusing or withdrawing his or her consent may affect his or her ability to participate in the Plan. For more information on the consequences of Participant’s refusal to consent

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or withdrawal of consent, Participant understands that he or she may contact his or her local human resources representative.

9. Electronic Delivery and Participation.

The Company may, in its sole discretion, decide to deliver any documents related to participation in the Plan by electronic means or to request Participant’s consent to participate in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

10. Insider Trading/Market Abuse Laws.

Participant acknowledges that, depending on Participant’s country, Participant may be subject to insider trading restrictions and/or market abuse laws, which may affect Participant’s ability to acquire or sell Shares or rights to Shares (e.g., the Option) under the Plan during such times as Participant is considered to have “inside information” regarding the Company (as defined by the laws in Participant’s country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under the Company’s insider trading policy.

11. Country-Specific Terms and Conditions.

Notwithstanding any provisions in this Award Agreement, the Option and any Shares subject to the Option shall be subject to any special terms and conditions for Participant’s country set forth in the Appendix. Moreover, if Participant relocates to one of the countries included in the Appendix, the special terms and conditions for such country will apply to Participant to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons. The Appendix constitutes part of this Award Agreement.

12. Imposition of Other Requirements.

This grant is subject to, and limited by, all applicable laws and regulations and to such approvals by any governmental agencies or national securities exchanges as may be required. Participant agrees that the Companyshall have unilateral authority to amend the Plan and this Award Agreement without Participant’s consent to the extent necessary to comply with securities or other laws applicable to the issuance of Shares. The Company reserves the right to impose other requirements on Participant’s participation in the Plan, on the Option and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

13. Recoupment Provision.

In the event that Participant commits fraud or engages in intentional misconduct that results in a need for the Company to restate its financial statements, then the Committee may direct the Company to (i) cancel any outstanding portion of the Option and (ii) recover all or a portion of the financial gain realized by Participant through exercise of the Option.

14. Choice of Law and Venue.

The Option grant and the provisions of this Award Agreement shall be governed by and construed in accordance with the laws of the State of Delaware without regard to such state’s conflict of laws or provisions, as provided in the Plan. For purposes of litigating any dispute that arises under this grant or this Award Agreement, the parties hereby submit to and consent to the jurisdiction of the State of Delaware and agree that such litigation shall be conducted in the courts of New Castle County, Delaware, or the federal courts for the United States for the District of Delaware, where this grant is made and/or to be performed.

15. Severability.

The provisions of this Award Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable.

16. Language.

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If Participant has received this Award Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

17. Waiver.

Participant acknowledges that a waiver by the Company of breach of any provision of this Award Agreement shall not operate or be construed as a waiver of any other provision of this Award Agreement, or of any subsequent breach by Participant or any other participant in the Plan.

18. Acknowledgement & Acceptance within 120 Days.

This grant is subject to acceptance, within 120 days of the Grant Date, by electronic acceptance through the website of UBS, the Company’s stock option administrator. Failure to accept the Option within 120 days of the Grant Date may result in cancellation of the Option.

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Signed for and on behalf of the Company:

/s/ David D. Petratis

David D. Petratis

Chairman and Chief Executive Officer

Allegion plc

This document constitutes part of a prospectus covering securities that have been registered under the Securities Act of 1933

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EX-10.26

EXHIBIT 10.26

Allegion plc

Incentive Stock Plan of 2013

Global Performance Stock Unit Award Agreement

For the [Years] Performance Period

Dated as of [Grant Date] ("Grant Date")

Allegion plc (the “Company”) hereby grants to [insert name] (“Participant”) a performance stock unit award (the “PSUs”) pursuant to and subject to the terms and conditions set forth in the Company’s Incentive Stock Plan of 2013 (the “Plan”), including the terms and conditions for Performance-Based Awards as set forth in Section 8(b) of the Plan. Unless otherwise defined herein, the terms defined in the Plan shall have the same meanings in this Performance Stock Unit Award Agreement (“the Award Agreement”).

Each PSU that vests pursuant to the terms of this Award Agreement shall provide Participant with the right to receive one ordinary share of the Company (the “Share”) on the issuance date described in Section 6 below. The number of Shares subject to the PSUs, the performance and service vesting conditions applicable to such Shares, the date on which vested Shares shall become issuable and any further terms and conditions governing the PSUs shall be as set forth in this Award Agreement, including any country-specific terms set forth in the attached Appendix B for Participant’s country.

1. Number of Shares.

The number of Shares subject to the PSUs at target performance level is [insert number of Shares subject to PSUs at target]. The maximum number of Shares subject to the PSUs is [insert maximum number of Shares subject to PSUs] Shares, provided, however, that the actual number of Shares that become issuable pursuant to the PSUs shall be determined in accordance with the fulfillment of certain performance conditions set forth in the attached Appendix A.

2. Performance Period.

The performance period applicable to the PSUs is January 1, [Year] to December 31, [Year] (the “Performance Period”).

3. Vesting.

Participant’s right to receive Shares subject to the PSUs shall vest in accordance with the performance conditions set forth in the attached Appendix A and subject to Participant’s continued employment with the Company or an Affiliate throughout the duration of the Performance Period.

4. Dividend Equivalents.

Participant shall be entitled to receive an amount equal to any cash dividend paid by the Company upon one Share for each PSU held by Participant when such dividend is paid (“Dividend Equivalent”), provided that (i) Participant shall have no right to receive the Dividend Equivalents unless and until the associated PSUs vest, (ii) Dividend Equivalents shall not accrue interest and (iii) Dividend Equivalents shall be paid in cash at the time that the associated PSUs vest.

5. Termination of Employment.

(a)Group Termination; Job Elimination / Change / Relocation

If Participant’s employment terminates involuntarily by reason of (i) a group termination (including, but not limited to, terminations resulting from sale of a business or division, outsourcing of an entire function, reduction in workforce or closing of a facility) (a “Group Termination Event”) or (ii) job elimination, substantial change in the nature of Participant’s position or job relocation, a pro-rated number of Shares, based on the fulfillment of the performance vesting conditions as measured at the end of the Performance Period and determined by the Committee in Section 6 below and the number of days during the Performance Period that Participant was actively employed by

the Company or an Affiliate, shall vest. All other PSUs and associated Dividend Equivalents shall be forfeited and Participant shall have no right to or interest in such PSUs, the underlying Shares or any associated Dividend Equivalents.

(b)Termination Due to Death or Disability

If Participant’s employment terminates by reason of death or disability, a pro-rated number of Shares, based on the fulfillment of the performance vesting conditions at target level performance and the number of days during the Performance Period that Participant was actively employed by the Company or an Affiliate, shall vest. All other PSUs and associated Dividend Equivalents shall be forfeited and Participant shall have no right to or interest in such PSUs, the underlying Shares or any associated Dividend Equivalents.

(c)Termination Due to Retirement

If Participant’s employment terminates after attainment of age 55 with at least 5 years of service (“Retirement”), and unless Participant’s employment terminates for cause, as defined in Section 5(d) below, a pro-rated number of Shares, based on the fulfillment of the performance vesting conditions as measured at the end of the Performance Period and determined by the Committee in Section 6 below and the number of days during the Performance Period that Participant was actively employed by the Company or an Affiliate, shall vest. All other PSUs and associated Dividend Equivalents shall be forfeited and Participant shall have no right to or interest in such PSUs, the underlying Shares or any associated Dividend Equivalents.

(d)Termination Due to Any Other Reason

If Participant’s employment terminates (i) for any reason or in any circumstances other than those specified in Sections 5 (a), (b) and (c) above or (ii) for cause in the circumstances specified in Section 5(c) above, all PSUs and any associated Dividend Equivalents shall be forfeited as of the date of termination of active employment and Participant shall have no right to or interest in such PSUs, the underlying Shares or any associated Dividend Equivalents. For purposes of this Section 5(d), “cause” shall mean (x) any action by Participant involving willful malfeasance or willful gross misconduct having a demonstrable adverse effect on the Company or an Affiliate; (y) Participant being convicted of a felony under the laws of the United States or any state or district (or the equivalent in any foreign jurisdiction); or (z) any material violation of the Company’s code of conduct, as in effect from time to time.

6. Settlement.

On a date as soon as practicable following the end of the Performance Period, the Committee shall certify the extent to which the performance vesting conditions set forth in Appendix A have been met (the “Certification Date”). As soon as practicable thereafter, the Company shall cause to be issued to Participant Shares with respect to any PSUs that became vested on the Certification Date, provided that Participant was employed by the Company or an Affiliate on such date (unless otherwise provided in Sections 5(a), (b) or (c) above). Notwithstanding the foregoing, the Committee has the sole discretion to make downward adjustments to the award amount determined pursuant to Appendix A, including an adjustment such that no Shares are issued to Participant, regardless of the fulfillment of the performance vesting conditions set forth in Appendix A. Notwithstanding the foregoing, if the Participant’s employment terminates in the circumstances set forth in Section 5(b) above, then on or as soon as practicable after such termination of employment, the Company shall cause to be issued to Participant Shares with respect to any PSUs that became vested pursuant to such section. Shares issued pursuant to this Section 6 shall be fully paid and non-assessable. Participant will not have any of the rights or privileges of a shareholder of the Company in respect of any Shares subject to the PSUs unless and until such Shares have been issued to Participant.

7. Change in Control.

In the event of a Change in Control, the treatment of the PSUs will be governed by the terms of the Plan.

8. Responsibility for Taxes.

Participant acknowledges that, regardless of any action taken by the Company or, if different, Participant’s employer (the “Employer”), the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related to Participant’s participation in the Plan and legally applicable to Participant (“Tax-Related Items”) is and remains Participant’s responsibility and may exceed the amount actually withheld by the Company or the Employer. Participant further acknowledges that the Company and the Employer (i) make no representations or undertakings regarding the treatment of any Tax-Related Items in connection with any

aspect of the PSUs; and (ii) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the PSUs to reduce or eliminate Participant’s liability for Tax-Related Items or achieve any particular tax result. Further, if Participant is subject to Tax-Related Items in more than one jurisdiction, Participant acknowledges that the Company and/or the Employer (or former employer, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction.

To satisfy any withholding obligations of the Company and/or the Employer with respect to Tax-Related Items, the Company will withhold Shares otherwise issuable upon settlement of the PSUs. Alternatively, or in addition, in connection with any applicable taxable or tax withholding event, Participant authorizes the Company and/or the Employer, or their respective agents, at their discretion, to satisfy the obligations with regard to all Tax-Related Items by one or a combination of the following:

(a) withholding from Participant’s wages or other cash compensation paid to Participant by the Company or the Employer,

(b) withholding from proceeds of the sale of Shares acquired upon settlement of the PSUs either through a voluntary sale or through a mandatory sale arranged by the Company(on Participant’s behalf pursuant to this authorization without further consent) and/or

(c) requiring Participant to tender a cash payment to the Company or an Affiliate in the amount of the Tax-Related Items;

provided, however, that if Participant is a Section 16 officer of the Company under the Act, the withholding methods described in this Section 8(a), (b) and (c) will only be used if the Committee (as constituted to satisfy Rule 16b-3 of the Act) determines, in advance of the applicable withholding event, that one such withholding method will be used in lieu of withholding Shares.

Depending on the withholding method,the Company may withhold for Tax-Related Items by considering applicable minimum statutory withholding amounts or other applicable withholding rates, including maximum applicable rates, in which case Participant will receive a refund of any over-withheld amount in cash and will have no entitlement to the equivalent amount in Shares. The Companymay refuse to issue or deliver the Shares or the proceeds of the sale of Shares, if Participant fails to comply with his or her obligations in connection with the Tax-Related Items.

9. Nature of Grant.

In accepting the PSUs, Participant acknowledges, understands and agrees that:

(e)the Plan is established voluntarily by the Company, it is discretionary in nature and it may be amended, altered or discontinued by the Company at any time, to the extent permitted by the Plan;

(f)the grant of the PSUs is voluntary and occasional and does not create any contractual or other right to receive future grants of performance stock units, or benefits in lieu of performance stock units, even if performance stock units have been granted in the past;

(g)all decisions with respect to future performance stock unit grants, if any, will be at the sole discretion of the Company;

(h)Participant is voluntarily participating in the Plan;

(i)the PSUs and the Shares subject to the PSUs are not intended to replace any pension rights or compensation;

(j)the PSUs and the Shares subject to the PSUs, and the income and value of the same, are not part of normal or expected compensation or salary for any purpose, including, but not limited to, calculating any severance, resignation, termination, redundancy, dismissal, end of service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments;

(k)the PSU grant and Participant’s participation in the Plan will not create a right to employment or be interpreted as forming an employment or service contract with the Company, the Employer or any Affiliate and will not interfere with the ability of the Company, the Employer or any Affiliate, as applicable, to terminate Participant's employment or service relationship (if any).

(l)the future value of the underlying Shares is unknown, indeterminable and cannot be predicted with certainty;

(m)no claim or entitlement to compensation or damages shall arise from forfeiture of the PSUs resulting from Participant ceasing to provide employment or other services to the Company or the Employer (for any reason whatsoever, whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant's employment agreement, if any) or from cancellation of the PSUs or recoupment of any financial gain resulting from the PSUs as described in Section 16 below and, in consideration of the grant of the PSUs to which Participant is otherwise not entitled, Participant irrevocably agrees never to institute any claim against the Company or the Employer, waives the ability, if any, to bring any such claim and releases the Company,the Employer and any Affiliate from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant will be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all documents necessary to request dismissal or withdrawal of such claims;

(n)for purposes of the PSUs, Participant’s employment or other service relationship will be considered terminated as of the date Participant is no longer actively providing services to the Company or one of its Affiliates (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where Participant is employed or the terms of Participant's employment agreement, if any), and, unless otherwise expressly provided in this Award Agreement or determined by the Company, Participant’s right to vest in the PSUs under the Plan, if any, will terminate as of such date, or will be measured with reference to such date in the case of a Group Termination Event (or other termination described in Section 5(a) above), Retirement or termination due to death or disability, and will not be extended by any notice period (e.g., Participant’s period of active service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where Participant is employed or the terms of Participant's employment agreement, if any); the Committee shall have the exclusive discretion to determine when Participant is no longer actively providing services for purposes of the PSUs (including whether Participant may still be considered to be providing services while on a leave of absence);

(o)unless otherwise provided in the Plan or by the Company, in its discretion, the PSUs and the benefits evidenced by this Award Agreement do not create any entitlement to have the PSUs or any such benefits transferred to, or assumed by another company nor to be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the Shares; and

(p)neither the Company, nor the Employer nor any Affiliate will be liable for any foreign exchange rate fluctuation between Participant’s local currency and the United States Dollar that may affect the value of the PSUs or of any amounts due to Participant pursuant to the settlement of the PSUs or the subsequent sale of any Shares acquired upon settlement.

10. No Advice Regarding Grant.

The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding Participant’s participation in the Plan or his or her acquisition or sale of the underlying Shares. Participant is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding Participant’s participation in the Plan before taking any action related to the Plan.

11. Data Privacy.

Participant hereby explicitly and unambiguously consents to the collection, use and transfer, in electronic or other form, of Participant’s personal data as described in the Award Agreement and any other PSU grant materials by and among, as applicable, the Employer, the Company and any Affiliate for the exclusive purpose of implementing, administering and managing Participant’s participation in the Plan.

Participant understands that the Company and the Employer may hold certain personal information about Participant, including, but not limited to, Participant’s name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any shares of stock or directorships held in the Company, details of all PSUs or any other entitlement to shares of stock awarded, canceled, exercised, vested, unvested or outstanding in Participant’s favor, for the exclusive purpose of implementing, administering and managing the Plan (“Data”).

Participant understands that Data may be transferred to UBS, or such other stock plan service provider as may be selected by the Company in the future, which is assisting the Company with the implementation, administration and management of the Plan. Participant understands that the recipients of Data may be located in the United States or elsewhere, and that the recipients’ country (e.g., the United States) may have different data privacy laws and protections than Participant’s country. Participant understands that he or she may request a list with the names and addresses of any potential recipients of Data by contacting his or her local human resources representative. Participant authorizes the Company, UBS and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer Data, in electronic or other form, for the sole purpose of implementing, administering and managing Participant’s participation in the Plan. Participant understands that Data will be held only as long as is necessary to implement, administer and manage Participant’s participation in the Plan. Participant understands that he or she may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing Participant’s local human resources representative. Further, Participant understands that he or she is providing the consents herein on a purely voluntary basis. If Participant does not consent, or if Participant later seeks to revoke his or her consent, Participant's employment status or service and career with the Employer will not be adversely affected; the only consequence of refusing or withdrawing consent is that the Company would not be able to grant PSUs or other equity awards to Participant or administer or maintain such awards. Therefore, Participant understands that refusing or withdrawing his or her consent may affect his or her ability to participate in the Plan. For more information on the consequences of Participant’s refusal to consent or withdrawal of consent, Participant understands that he or she may contact his or her local human resources representative.

12. Electronic Delivery and Participation.

The Company may, in its sole discretion, decide to deliver any documents related to participation in the Plan by electronic means or to request Participant’s consent to participate in the Plan by electronic means. Participant hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

13. Insider Trading/Market Abuse Laws.

Participant acknowledges that, depending on Participant’s country, Participant may be subject to insider trading restrictions and/or market abuse laws, which may affect Participant’s ability to acquire or sell Shares or rights to Shares (e.g., the PSUs) under the Plan during such times as Participant is considered to have “inside information” regarding the Company (as defined by the laws in Participant’s country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under the Company’s insider trading policy.

14. Country-Specific Terms and Conditions.

Notwithstanding any provisions in this Award Agreement, the PSUs and the Shares subject to the PSUs shall be subject to any special terms and conditions for Participant’s country set forth in the attached Appendix B. Moreover, if Participant relocates to one of the countries included in Appendix B, the special terms and conditions for such country will apply to Participant to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons. Appendix B constitutes part of this Award Agreement.

15. Imposition of Other Requirements.

This grant is subject to, and limited by, all applicable laws and regulations and to such approvals by any governmental agencies or national securities exchanges as may be required. Participant agrees that the Companyshall have unilateral authority to amend the Plan and this Award Agreement without Participant’s consent to the extent necessary to comply with securities or other laws applicable to the issuance of Shares. The Company reserves the right to impose other requirements on Participant’s participation in the Plan, on the PSUs and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require Participant to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

16. Recoupment Provision.

In the event that Participant commits fraud or engages in intentional misconduct that results in a need for the Company to restate its financial statements, then the Committee may direct the Company to (i) cancel any outstanding portion of the PSUs and (ii) recover all or a portion of the financial gain realized by Participant through the PSUs.

17. Choice of Law and Venue.

The PSU grant and the provisions of this Award Agreement shall be governed by and construed in accordance with the laws of the State of Delaware without regard to such state’s conflict of laws or provisions, as provided in the Plan. For purposes of litigating any dispute that arises under this grant or this Award Agreement, the parties hereby submit to and consent to the jurisdiction of the State of Delaware and agree that such litigation shall be conducted in the courts of New Castle County, Delaware, or the federal courts for the United States for the District of Delaware, where this grant is made and/or to be performed.

18. Severability.

The provisions of this Award Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable.

19. Language.

If Participant has received this Award Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

20. Waiver.

Participant acknowledges that a waiver by the Company of breach of any provision of this Award Agreement shall not operate or be construed as a waiver of any other provision of this Award Agreement, or of any subsequent breach by Participant or any other participant in the Plan.

21. Acknowledgement & Acceptance within 120 Days.

This grant is subject to acceptance, within 120 days of the Grant Date, by electronic acceptance through the website of UBS, the Company’s stock plan administrator. Failure to accept the PSUs within 120 days of the Grant Date may result in cancellation of the PSUs.

Signed for and on behalf of the Company:

/s/ David D. Petratis

David D. Petratis

Chairman and Chief Executive Officer

Allegion plc

This document constitutes part of a prospectus covering securities that have been registered under the Securities Act of 1933

EX-18.1

EXHIBIT 18.1

February 27, 2015

Board of Directors

Allegion plc

Block D

Iveagh Court

Harcourt Road

Dublin 2, Ireland

Dear Directors:

We are providing this letter to you for inclusion as an exhibit to your Form 10-K filing pursuant to Item 601 of Regulation S-K.

We have audited the consolidated financial statements includedin the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 and issued our report thereon dated February 27, 2015. Note 2to the financial statements describes a change in accounting principle from last-in-first-out (LIFO) cost method of inventory accounting to the first-in-first-out (FIFO) cost method of inventory accounting. It should be understood that the preferability of one acceptable method of accounting over another for inventory accounting has not been addressed in any authoritative accounting literature, and in expressing our concurrence below we have relied on management’s determination that this change in accounting principle is preferable. Based on our reading of management’s stated reasons and justification for this change in accounting principle in the Form 10-K, and our discussions with management as to their judgment about the relevant business planning factors relating to the change, we concur with management that such change represents, in the Company’s circumstances, the adoption of a preferable accounting principle in conformity with Accounting Standards Codification 250, Accounting Changes and Error Corrections.

Very truly yours,

/s/PricewaterhouseCoopersLLP

PricewaterhouseCoopers LLP

EX-21.1

Exhibit 21.1

List of Subsidiaries of Allegion plc

Subsidiary	Jurisdiction of Formation
A.B.S. - R.I.C.A.	France
Administradora Lockey CA**	Venezuela
Allegion B.V.	Netherlands
Allegion LLC	Delaware
Allegion NV	Belgium
Allegion SA	Venezuela
Allegion (Australia) Pty Limited	Australia
Allegion Canada Inc.	Canada
Allegion Chile SpA	Chile
Allegion Colombia S.A.S.	Colombia
Allegion de Mexico, S. de R.L. de C.V.	Mexico
Allegion Deutsche Holding GmbH	Germany
Allegion EMEA BVBA	Belgium
Allegion Emniyet ve Guvenlik Sistemleri Sanayi AS	Turkey
Allegion Finance Inc.	Delaware
Allegion Fu Hsing Limited**	Hong Kong
Allegion Fu Hsing Holdings Limited**	BVI
Allegion (Gibraltar) Holding Limited	Gibraltar
Allegion (Hong Kong) Limited	Hong Kong
Allegion Immobilien GmbH	Germany
Allegion India Private Limited	India
Allegion International AG	Switzerland
Allegion Investments (UK) Limited	United Kingdom
Allegion Irish Holding Company Limited	Ireland
Allegion Luxembourg Holding and Financing S.à r.l.	Luxembourg
Allegion Lux Financing I S.à r.l	Luxembourg
Allegion Lux Financing II S.à r.l.	Luxembourg
Allegion (New Zealand) Limited	New Zealand
Allegion Panama, S. de R.L.	Panama
Allegion S&S Holding Company Inc.	Delaware
Allegion S&S Lock Holding Company Inc.	Delaware
Allegion Security Technologies (China) Co. Ltd.	China
Allegion (UK) Limited	United Kingdom
Allegion US Holding Company Inc.	Delaware
Beijing Bocom Video Communication Systems Co., Ltd.*	China
Beijing Metal Door Co., Ltd.*	China
Bricard S.A.	France
CISA Cerraduras S.A.	Spain
CISA SpA	Italy
D. Purdue & Sons Ltd.*	South Africa
Dor-O-Matic (Illinois) LLC	Illinois

Dor-o-Matic of Mid Atlantic States, Inc.	New Jersey
Electronic Technologies Corporation USA	New York
Fire and Security Hardware Pty Limited	Australia
Fu Hsing Industrial (Shanghai) Co., Ltd.**	China
Fu Jia Hardware Products (Shanghai) Co., Ltd.**	China
Fu Yang Investment Company Limited	Taiwan
Harrow Industries LLC	Delaware
Harrow Products (Delaware) LLC	Delaware
Harrow Products, LLC	Delaware
Interflex Datensysteme GesmbH	Austria
Interflex Datensysteme GmbH & Co KG	Germany
Inversora Lockey Ltda.**	Colombia
Inversora Lockey CA**	Venezuela
Lockey Corp.**	Florida
Mexico Stamp Holdings LLC	Delaware
Newman Tonks (Overseas Holdings) Limited	United Kingdom
Normbau Beschlage und Ausstattungs GmbH	Germany
Normbau France SAS	France
NT Group Properties Limited	United Kingdom
NT Leamington Limited	United Kingdom
Randi A/S	Denmark
Recognition Systems LLC	California
Schlage de Mexico SA de CV	Mexico
Schlage Lock Company LLC	Delaware
Shanghai Bocom Video Communication System Co. Ltd.	China
Shenzhen Bocom System Engineering Company Ltd	China
Taiwan Fu Hsing Industrial Company*	Taiwan
Tecate Stamping LLC	Delaware
Tratamaq CA*	Venezuela
Troqueles de Precision del Noroeste, S.A. de C.V.	Mexico
Von Duprin LLC	Indiana
XceedID Corporation	Delaware

*Minority owned subsidiary

** Majority owned subsidiary

EX-23.1

EXHIBIT 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We hereby consent to the incorporation by reference in the Registration Statement on Form S‑8 (No. 333-192593) of Allegion plc of our report dated February 27, 2015, relating to the financial statements, financial statement schedule, and the effectiveness of internal control over financial reporting, which appears in this Form 10-K.

/s/ PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP

Indianapolis, IN

February 27, 2015

EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, David D. Petratis, certify that:

1. I have reviewed the Annual Report on Form 10-K of Allegion plc for the year ended December 31, 2014;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 27, 2015     /s/ David. D. Petratis

David D. Petratis

Principal Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, Patrick S. Shannon, certify that:

1. I have reviewed the Annual Report on Form 10-K of Allegion plc for the year ended December 31, 2014;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: February 27, 2015     /s/ Patrick S. Shannon

Patrick S. Shannon

Principal Financial Officer

EX-32.1

EXHIBIT 32.1

Section 1350 Certifications

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(Subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code)

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (Subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code), each of the undersigned officers of Allegion plc (the Company), does hereby certify that:

The Annual Report on Form 10-K for the year ended December 31, 2014 (the Form 10-K) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and information contained in the Form 10-K fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ David D. Petratis

David D. Petratis

Principal Executive Officer

February 27, 2015

/s/ Patrick S. Shannon

Patrick. S. Shannon

Principal Financial Officer

February 27, 2015

XML

Pensions and Postretirement Benefits Other than Pensions (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block]

Information regarding pension plans with accumulated benefit obligations more than plan assets were:

	U.S.				NON-U.S.
In millions	2014		2013		2014		2013
Projected benefit obligation	$	282.9	$	231.3	$	35.4	$	397.9
Accumulated benefit obligation	264.3		217.2		30.4		382.5
Fair value of plan assets	213.2		208.5		7.6		337.6

Pension Plans [Member]

Schedule of Changes in Projected Benefit Obligations [Table Text Block]

The following table details information regarding the Company’s pension plans at December 31:

	U.S.								NON-U.S.
In millions	2014				2013				2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	231.3			$	276.9			$	397.9		$	235.9
Service cost	7.3				7.8				4.6			3.5
Interest cost	11.5				10.1				17.3			10.7
Employee contributions	—				—				0.4			0.3
Amendments	—				2.3				(0.3		)	—
Actuarial (gains) losses	60.1			(a)	(58.5		)		12.3			8.0
Benefits paid	(25.2		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(26.0		)	8.2
Curtailments and settlements	—				—				(1.7		)	(1.2		)
Liabilities assumed from Spin-off	—				8.3				—			133.4			(b)
Other, including expenses paid	(2.1		)		(0.8		)		(1.5		)	8.1
Benefit obligation at end of year	$	282.9			$	231.3			$	388.4		$	397.9
Change in plan assets:
Fair value at beginning of year	$	208.5			$	230.9			$	337.6		$	183.4
Actual return on assets	31.9				1.6				56.4			17.6
Company contributions	—				—				17.5			11.6
Employee contributions	—				—				0.4			0.3
Benefits paid	(25.1		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(23.3		)	7.6
Settlements	—				—				(0.5		)	(1.1		)
Assets received from Spin-off	—				10.2				—			121.6			(b)
Other, including expenses paid	(2.1		)		(19.4		)	(c)	(1.5		)	5.6
Fair value of assets end of year	$	213.2			$	208.5			$	372.0		$	337.6
Funded status:
Plan assets less than the benefit obligations	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)
Amounts included in the balance sheet:
Other noncurrent assets	$	—			$	—			$	11.4		$	—
Accrued compensation and benefits	(2.3		)		—				(1.2		)	(1.2		)
Postemployment and other benefit liabilities	(67.4		)		(22.8		)		(26.6		)	(59.1		)
Net amount recognized	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)

Schedule of Comprehensive Income (Loss) [Table Text Block]

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

	U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(2.0	)	$	(81.1	)	$	(83.1	)
Current year changes recorded to Accumulated other comprehensive income (loss)	(2.3		)	30.8			28.5
Amortization reclassified to earnings	0.6			3.8			4.4
Net loss resulting from Spin off	—			(1.7		)	(1.7		)
Other	(0.5		)	2.0			1.5
December 31, 2013	$	(4.2	)	$	(46.2	)	$	(50.4	)
Current year changes recorded to Accumulated other comprehensive loss	—			(39.0		)	(39.0		)
Amortization reclassified to earnings	0.7			2.3			3.0
December 31, 2014	$	(3.5	)	$	(82.9	)	$	(86.4	)

	NON-U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(0.5	)	$	(69.0	)	$	(69.5	)
Current year changes recorded to Accumulated other comprehensive loss	—			(0.3		)	(0.3		)
Amortization reclassified to earnings	0.1			1.8			1.9
Settlements/curtailments reclassified to earnings	—			(0.1		)	(0.1		)
Net loss resulting from Spin-off	—			(39.6		)	(39.6		)
Currency translation and other	0.1			(2.0		)	(1.9		)
December 31, 2013	$	(0.3	)	$	(109.2	)	$	(109.5	)
Current year changes recorded to Accumulated other comprehensive income	0.3			28.1			28.4
Amortization reclassified to earnings	0.1			2.8			2.9
Currency translation and other	—			4.8			4.8
December 31, 2014	$	0.1		$	(73.5	)	$	(73.4	)

Schedule of Assumptions Used [Table Text Block]

Benefit obligations at December 31,	2014		2013
Discount rate:
U.S. plans	4.00	%	5.00	%
Non-U.S. plans	3.75	%	4.50	%
Rate of compensation increase:
U.S. plans	3.50	%	3.50	%
Non-U.S. plans	3.00	%	4.75	%

Schedule of Allocation of Plan Assets [Table Text Block]

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	8.8	$	—	$	—	$	8.8
Equity mutual funds	—		118.0		—		118.0
Corporate and non-U.S. bonds	—		164.3		—		164.3
Real estate(a)	—		11.8		0.8		12.6
Other(b)	—		65.8		2.5		68.3
Total assets at fair value	$	8.8	$	359.9	$	3.3	$	372.0
Receivables and payables, net							—
Net assets available for benefits							$	372.0

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2013 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	10.2	$	—	$	10.2
Equity mutual funds	—		134.2		—		134.2
Corporate and non-U.S. bonds	—		185.6		—		185.6
Real estate(a)	—		—		0.7		0.7
Other(b)	—		—		2.6		2.6
Total assets at fair value	$	—	$	330.0	$	3.3	$	333.3
Receivables and payables, net							4.3
Net assets available for benefits							$	337.6

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

The fair values of the Company’s U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	3.1	$	—	$	3.1
Equity mutual funds	—		52.9		—		52.9
Fixed income investments:
U.S. government and agency obligations	—		69.7		—		69.7
Corporate and non-U.S. bonds(a)	—		85.6		—		85.6
	—		155.3		—		155.3
Total assets at fair value	$	—	$	211.3	$	—	$	211.3
Receivables and payables, net							1.9
Net assets available for benefits							$	213.2

(a) This includes state and municipal bonds.

The fair values of the Company’s U.S. pension plan assets at December 31, 2013 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	1.5	$	—	$	1.5
Equity mutual funds	—		42.1		—		42.1
Fixed income investments:
U.S. government and agency obligations	—		74.9		—		74.9
Corporate and non-U.S. bonds(a)	—		68.2		—		68.2
	—		143.1		—		143.1
Total assets at fair value	$	—	$	186.7	$	—	$	186.7
Receivables and payables, net (b)							21.8
Net assets available for benefits							$	208.5

(a) This includes state and municipal bonds.

(b) Includes a $20 million receivable from Ingersoll Rand in accordance with the terms of the Employee Matters Agreement.

Schedule of Expected Benefit Payments [Table Text Block]

pension benefit payments are expected to be paid as follows:

In millions	U.S.		NON-U.S.
2015	$	16.6	$	16.0
2016	13.7		16.4
2017	14.2		16.9
2018	15.9		17.4
2019	16.0		18.2
2020 - 2024	100.4		100.3

Schedule of Net Benefit Costs [Table Text Block]

The components of the Company’s net periodic pension benefit costs for the years ended December 31 include the following:

	U.S.
In millions	2014			2013			2012
Service cost	$	7.3		$	7.8		$	9.6
Interest cost	11.5			10.1			11.0
Expected return on plan assets	(11.2		)	(10.6		)	(11.7		)
Net amortization of:
Prior service costs	0.7			0.6			1.0
Plan net actuarial losses	2.3			3.8			4.1
Net periodic pension benefit cost	10.6			11.7			14.0
Net curtailment and settlement losses	—			—			2.4
Net periodic pension benefit cost after net curtailment and settlement losses	$	10.6		$	11.7		$	16.4

	NON-U.S.
In millions	2014			2013			2012
Service cost	$	4.6		$	3.5		$	3.1
Interest cost	17.3			10.7			10.3
Expected return on plan assets	(17.3		)	(10.0		)	(9.7		)
Other adjustments	—			2.1			—
Net amortization of:
Prior service costs	0.1			0.1			—
Plan net actuarial losses	2.8			1.8			1.7
Net periodic pension benefit cost	7.5			8.2			5.4
Net curtailment and settlement (gains) losses	—			(0.2		)	0.3
Net periodic pension benefit cost after net curtailment and settlement losses	$	7.5		$	8.0		$	5.7

Pension Costs [Member]

Schedule of Assumptions Used [Table Text Block]

Weighted-average assumptions used:

Net periodic pension cost for the year ended December 31,	2014		2013		2012
Discount rate:
U.S. plans	5.00	%	4.75	%	4.00	%
Non-U.S. plans	4.50	%	4.50	%	5.00	%
Rate of compensation increase:
U.S. plans	3.50	%	4.00	%	4.00	%
Non-U.S. plans	4.75	%	4.25	%	4.00	%
Expected return on plan assets:
U.S. plans	5.50	%	4.75	%	5.75	%
Non-U.S. plans	5.25	%	5.25	%	5.75	%

Postretirement [Member]

Schedule of Changes in Projected Benefit Obligations [Table Text Block]

The following table details information regarding the Company’s postretirement plans at December 31:

In millions	2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	14.2		$	18.0
Service cost	0.1			0.3
Interest cost	0.5			0.5
Actuarial gains	(0.2		)	(3.6		)
Benefits paid, net of Medicare Part D subsidy	(1.0		)	(1.0		)
Benefit obligations at end of year	$	13.6		$	14.2

Schedule of Comprehensive Income (Loss) [Table Text Block]

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

In millions	Prior service gains			Net actuarial losses			Total
December 31, 2012	$	12.1		$	(6.6	)	$	5.5
Current year changes recorded to Accumulated other comprehensive income	—			3.6			3.6
Amortization reclassified to earnings	(2.2		)	0.1			(2.1		)
Net gain / (loss) resulting from Spin-off	(2.8		)	1.2			(1.6		)
Balance at December 31, 2013	$	7.1		$	(1.7	)	$	5.4
Current year changes recorded to Accumulated other comprehensive loss	—			1.0			1.0
Amortization reclassified to earnings	(1.6		)	—			(1.6		)
Balance at December 31, 2014	$	5.5		$	(0.7	)	$	4.8

Schedule of Assumptions Used [Table Text Block]

Assumptions:	2014		2013		2012
Weighted-average discount rate assumption to determine:
Benefit obligations at December 31	3.50	%	4.00	%	3.25	%
Net periodic benefit cost	4.00	%	3.25	%	3.75	%
Assumed health-care cost trend rates at December 31:
Current year medical inflation	7.25	%	7.65	%	8.05	%
Ultimate inflation rate	5.00	%	5.00	%	5.00	%
Year that the rate reaches the ultimate trend rate	2021		2021		2021

Schedule of Expected Benefit Payments [Table Text Block]

Benefit payments for postretirement benefits, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be paid as follows:

In millions
2015	$	1.0
2016	1.1
2017	1.1
2018	1.2
2019	1.2
2020 - 2024	5.5

Schedule of Net Funded Status [Table Text Block]

Funded status:
Plan assets less than benefit obligations	$	(13.6	)	$	(14.2	)
Amounts included in the balance sheet:
Accrued compensation and benefits	$	(1.0	)	$	(1.1	)
Postemployment and other benefit liabilities	(12.6		)	(13.1		)
Total	$	(13.6	)	$	(14.2	)

Schedule of Costs of Retirement Plans [Table Text Block]

The components of net periodic postretirement benefit cost (income) for the years ended December 31 were as follows:

In millions	2014			2013			2012
Service cost	$	0.1		$	0.3		$	0.3
Interest cost	0.5			0.5			0.7
Net amortization of:
Prior service gains	(1.6		)	(2.2		)	(2.0		)
Net actuarial losses	—			0.1			0.2
Net periodic postretirement benefit cost (income)	$	(1.0	)	$	(1.3	)	$	(0.8	)

Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates [Table Text Block]

A 1% change in the medical trend rate assumed for postretirement benefits would have the following effects at December 31, 2014:

In millions	1% Increase		1% Decrease
Effect on postretirement benefit obligation	$	0.1	$	(0.1	)

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Income Taxes (Unrecognized Tax Benefit) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Beginning balance	$ 40.6	$ 63.6	$ 63.0
Additions based on tax positions related to the current year	3.1	9.0	1.7
Additions based on tax positions related to acquisitions	0	(25.4)	0
Additions based on tax positions related to prior years	11.8	0.5	4.3
Reductions based on tax positions related to prior years	(23.9)	(6.9)	(3.7)
Reductions related to settlements with tax authorities	(0.7)	0	(1.6)
Reductions related to lapses of statute of limitations	(2.7)	(0.7)	0
Translation (gain)/loss	(2.8)	0.5	(0.1)
Ending balance	$ 25.4	$ 40.6	$ 63.6

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Valuation and Qualifying Accounts (Tables)

12 Months Ended

Dec. 31, 2013

Valuation and Qualifying Accounts [Abstract]

Schedule of Valuation and Qualifying Accounts Allowance for Doubtful Accounts

PLC

VALUATION AND QUALIFYING ACCOUNTS

FOR THE YEARS ENDED December 31, 2014, 2013 AND 2012

(Amounts in millions)

Allowances for Doubtful Accounts:
Balance December 31, 2011	$	3.4
Additions charged to costs and expenses	2.4
Deductions*	(1.4		)
Balance December 31, 2012	4.4
Additions charged to costs and expenses	2.9
Deductions*	(1.7		)
Currency translation	(0.1		)
Balance December 31, 2013	5.5
Additions charged to costs and expenses	4.7
Deductions*	(1.1		)
Currency translation	(0.2		)
Balance December 31, 2014	$	8.9

(*) “Deductions” include accounts and advances written off, less recoveries.

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Related Party Transactions Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2014

Related Party Transactions [Abstract]

Schedule of Related Party Transactions [Table Text Block]

For the years ended December 31, these allocated Ingersoll Rand costs amount to:

	2013		2012
Centrally managed service costs	$	104.6	$	94.8
Historical Ingersoll Rand corporate overhead allocations	36.6		53.5
Incremental corporate costs not previously allocated to businesses	33.3		28.4
Total	$	174.5	$	176.7

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Commitments and Contingencies (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Expense for environmental remediation	$ 2.9	$ 2.1	$ 2.9
Reserves for environmental matters	8.8	10.8
Reserve for environmental matters, current	2.2	4.2
Total rental expense	32.5	35.3	35.5
Minimum lease payments, due in current year	22.8
Minimum lease payments, due in second year	10.4
Minimum lease payments, due in third year	5.9
Minimum lease payments, due in fourth year	3.1
Minimum lease payments, due in fifth year	1.4
Segment, Discontinued Operations [Member]
Reserves for environmental matters	$ 2.4	$ 2.9

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Financial Instruments Schedule of Fair Values of Derivative Instruments (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Designated Hedges [Member]
Derivatives designated as hedges, asset	$ 2.1	$ 0.7
Derivatives designated as hedges, liability	0	0
Interest Rate Swap [Member]
Interest Rate Derivative Assets, at Fair Value	0	0
Interest Rate Derivative Liabilities, at Fair Value		0
Undesignated Hedges [Member]
Derivatives not designated as hedges, asset	2.2	0
Derivatives not designated as hedges, liability		2.7
Fair Value, Measurements, Recurring [Member]
Interest Rate Derivative Liabilities, at Fair Value	0.9
Derivative instruments, gross asset	4.3	0.7
Derivative instruments, gross liability	13.9	2.7
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Interest Rate Derivative Liabilities, at Fair Value	0.9
Derivatives not designated as hedges, liability	13.9
Derivative instruments, gross asset	4.3	0.7
Derivative instruments, gross liability	$ 14.8	$ 2.7

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Business Segment Information (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Gain (loss) on sale/asset impairment	$ 0	$ (137.6)	$ 0

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Summary of Significant Accounting Policies (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Taxes Paid	$ 66.7
Allowance for doubtful accounts receivable, current		8.9	5.5
Research and development expense	$ 43.3	$ 39.6	$ 38.2
Ownership Percentage Policy Minimum [Member]
Partially-owned equity affiliate ownership interest		20.00%
Ownership Percentage Policy Maximum [Member]
Partially-owned equity affiliate ownership interest		50.00%

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Weighted Average Assumptions Net Periodic Pension Cost) (Details)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Postretirement [Member]
Discount rate	3.50%		3.25%
Discount rate	4.00%	3.25%	3.75%
Defined Benefit Plan, Year that Rate Reaches Ultimate Trend Rate	2021	2021	2021
United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate	4.00%
Discount rate	5.00%	4.75%	4.00%
Rate of compensation increase	3.50%	4.00%	4.00%
Percentage of expected return on plan assets	5.50%	4.75%	5.75%
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase	3.50%	3.50%
Foreign Pension Plan, Defined Benefit [Member]
Discount rate	3.75%	4.50%
Discount rate	4.50%	4.50%	5.00%
Rate of compensation increase	4.75%	4.25%	4.00%
Percentage of expected return on plan assets	5.25%	5.25%	5.75%
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase	3.00%	4.75%
Prior to 2012 plan amendment [Member] | Postretirement [Member]
Discount rate		4.00%
Prior to 2012 plan amendment [Member] | United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate		5.00%
ultimate inflation rate [Member] | Postretirement [Member]
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate	5.00%	5.00%	5.00%
current year medical inflation [Member] | Postretirement [Member]
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate	7.25%	7.65%	8.05%

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Other, Net Table (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Interest income	$ (1.1)	$ (0.8)	$ (0.1)
Foreign Currency Transaction Gain (Loss), before Tax	7.6	8.0	3.2
miscellaneous other nonoperating income expense	(1.9)	0	0
Other, net	$ 4.6	$ 7.2	$ 3.1

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Divestitures and Discontinued Operations (Tables) (EMEIA Divestiture UK Door [Member])

12 Months Ended

Dec. 31, 2014

EMEIA Divestiture UK Door [Member]

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block]

Net revenues and after-tax earnings of the component for the years ended December 31 were as follows:

In millions	2014			2013			2012
Net revenues	$	16.1		$	23.9		$	23.3
Pre-tax loss from operations	$	(3.1	)	$	(2.8	)	$	(1.9	)
Loss on disposal	(7.6		)	—			—
Tax benefit	—			—			0.4
Discontinued operations, net of tax	$	(10.7	)	$	(2.8	)	$	(1.5	)

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Inventories (Tables)

12 Months Ended

Dec. 31, 2014

Inventory [Line Items]

Schedule of Inventory, Current [Table Text Block]

As a result of the retrospective adjustment of the change in accounting principle, certain amounts in our combined and consolidated statements of comprehensive income for the years ended December 31, 2013 and 2012 were adjusted as follows:

For the years ended December 31	2013							2012
In millions (except per share data)	As reported		Impact of change to FIFO			As adjusted		As reported		Impact of change to FIFO			As adjusted
Cost of goods sold	$	1,210.3	$	(2.2	)	$	1,208.1	$	1,198.6	$	(0.8	)	$	1,197.7
Operating income	238.6		2.2			240.8		370.5		0.8			371.3
Earnings before income taxes	221.2		2.2			223.4		365.8		0.8			366.7
Provision for income taxes	174.2		0.8			175.0		136.4		0.3			136.7
Earnings from continuing operations	47.0		1.4			48.4		229.4		0.5			230.0
Basic and diluted earnings per share attributable to Allegion plc ordinary shareholders	$	0.36	$	0.01		$	0.37	$	2.33	$	0.01		$	2.34

The consolidated balance sheet for the year ended December 31, 2013 was adjusted as follows:

In millions	As reported		Impact of change to FIFO			As adjusted
Inventories	$	153.7	$	33.8		$	187.5
Deferred income tax receivable	51.2		(13.1		)	38.1
Retained earnings	0.4		0.7			1.1

The combined and consolidated statements of cash flows for the years ended December 31, 2013 and 2012 were adjusted as follows:

For the years ended December 31	2013							2012
	As reported		Impact of change to FIFO			As adjusted		As reported			Impact of change to FIFO			As adjusted
Net earnings	$	43.4	$	1.4		$	44.8	$	225.2		$	0.5		$	225.8
Deferred income taxes	16.9		0.8			17.7		(4.2		)	0.3			(3.6		)
Change in inventories, net	6.1		(2.2		)	3.9		0.3			(0.8		)	(1.2		)

MajorClassesOfInventory [Table Text Block]

At December 31, the major classes of inventory were as follows:

In millions	2014		2013
Raw materials	$	54.8	$	68.4
Work-in-process	32.1		34.5
Finished goods	92.6		84.6
Total	$	179.5	$	187.5

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Fair Values of Company's Pension Plan Assets) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Foreign Pension Plan, Defined Benefit [Member]
Receivables and payables, net	$ 0	$ 4.3
Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member]
Defined benefit plan, fair value of pension plan assets	12.6	0.7
Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	11.8	0
Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0.8	0.7
Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member]
Defined benefit plan, fair value of pension plan assets	68.3	2.6
Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	65.8	0
Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	2.5	2.6
Foreign Pension Plan, Defined Benefit [Member] | Cash and Cash Equivalents [Member]
Defined benefit plan, fair value of pension plan assets	8.8	10.2
Foreign Pension Plan, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	8.8	0
Foreign Pension Plan, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	0	10.2
Foreign Pension Plan, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Equity Funds [Member]
Defined benefit plan, fair value of pension plan assets	118.0	134.2
Foreign Pension Plan, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	118.0	134.2
Foreign Pension Plan, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member]
Defined benefit plan, fair value of pension plan assets	164.3	185.6
Foreign Pension Plan, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	164.3	185.6
Foreign Pension Plan, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
Foreign Pension Plan, Defined Benefit [Member] | Gross of receivables and payables [Member]
Defined benefit plan, fair value of pension plan assets	372.0	333.3
Foreign Pension Plan, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	8.8	0
Foreign Pension Plan, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	359.9	330.0
Foreign Pension Plan, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	3.3	3.3
Foreign Pension Plan, Defined Benefit [Member] | Net of receivables and payables [Member]
Defined benefit plan, fair value of pension plan assets	372.0	337.6
United States Pension Plan of US Entity, Defined Benefit [Member]
Receivables and payables, net	1.9	21.8
United States Pension Plan of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member]
Defined benefit plan, fair value of pension plan assets	3.1	1.5
United States Pension Plan of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	3.1	1.5
United States Pension Plan of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Equity Funds [Member]
Defined benefit plan, fair value of pension plan assets	52.9	42.1
United States Pension Plan of US Entity, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	52.9	42.1
United States Pension Plan of US Entity, Defined Benefit [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member]
Defined benefit plan, fair value of pension plan assets	155.3	143.1
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	155.3	143.1
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | U.S. Government and Agency Obligations [Member]
Defined benefit plan, fair value of pension plan assets	69.7	74.9
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	69.7	74.9
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member]
Defined benefit plan, fair value of pension plan assets	85.6	68.2
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	85.6	68.2
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Corporate and Non-U.S. Bonds [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Gross of receivables and payables [Member]
Defined benefit plan, fair value of pension plan assets	211.3	186.7
United States Pension Plan of US Entity, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 2 [Member]
Defined benefit plan, fair value of pension plan assets	211.3	186.7
United States Pension Plan of US Entity, Defined Benefit [Member] | Gross of receivables and payables [Member] | Fair Value, Inputs, Level 3 [Member]
Defined benefit plan, fair value of pension plan assets	0	0
United States Pension Plan of US Entity, Defined Benefit [Member] | Net of receivables and payables [Member]
Defined benefit plan, fair value of pension plan assets	$ 213.2	$ 208.5

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Divestitures and Discontinued Operations (Schedule of Other Discontinued Operations) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Discontinued operations, net of tax	$ (11.1)	$ (3.6)	$ (4.2)

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Business Segment Information (Schedule of Long-Lived Asset by Geographic Area) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
United States	$ 326.8	$ 337.3
Long lived assets	326.8	337.3
UNITED STATES
United States	102.9	103.1
Long lived assets	102.9	103.1
Non-United States [Member]
United States	223.9	234.2
Long lived assets	$ 223.9	$ 234.2

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Valuation and Qualifying Accounts (Valuation and Qualifying Accounts Allowance For Doubtful Accounts) (Details) (Allowances for Doubtful Accounts [Member], USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2013		Dec. 31, 2012		Dec. 31, 2011		Dec. 31, 2009
Allowances for Doubtful Accounts [Member]
Balance at the beginning of period	$ 5.5		$ 4.4				$ 3.4
Additions charged to costs and expenses	4.7		2.9		2.4
Deductions	(1.1)	[1]	(1.7)	[1]	(1.4)	[1]
Currency translation	(0.2)		(0.1)
Balance at the end of period	$ 8.9		$ 5.5		$ 4.4		$ 3.4

[1] (*)“Deductions” include accounts and advances written off, less recoveries.

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Pension Plans) (Details) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation	$ 0.05
Other noncurrent assets	126,900,000	124,100,000
Non-U.S. [Member] | Pension Plans [Member]
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation	30,400,000	382,500,000
Other noncurrent assets	11,400,000	0
Accrued compensation and benefits	(1,200,000)	(1,200,000)
Postemployment and other benefit liabilities	(26,600,000)	(59,100,000)
Net amount recognized	16,400,000	60,300,000
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets	7,600,000	337,600,000
Non-U.S. [Member] | Change In Benefit Obligations [Member]
Amendments	0	133,400,000
Non-U.S. [Member] | Change In Benefit Obligations [Member] | Pension Plans [Member]
Service cost	4,600,000	3,500,000
Interest cost	17,300,000	10,700,000
Employee contributions	400,000	300,000
Amendments	(300,000)	0
Actuarial (gains) losses	12,300,000	8,000,000
Benefits paid	(14,600,000)	(9,000,000)
Currency translation	(26,000,000)	8,200,000
Defined Benefit Plan, Curtailments	(1,700,000)	(1,200,000)
Other, including expenses paid	(1,500,000)	8,100,000
Benefit obligation at end of year	388,400,000	397,900,000	235,900,000
Non-U.S. [Member] | Change In Plan Assets [Member] | Pension Plans [Member]
Employee contributions	400,000	300,000
Benefits paid	(14,600,000)	(9,000,000)
Other, including expenses paid	(1,500,000)	5,600,000
Fair value at beginning of year	337,600,000	183,400,000
Actual return on assets	56,400,000	17,600,000
Currency translation	(23,300,000)	7,600,000
Settlements	(500,000)	(1,100,000)
Defined Benefit Plan, Assets Transferred to (from) Plan	0	121,600,000
Fair value at end of year	372,000,000	337,600,000
Foreign Pension Plan, Defined Benefit [Member]
Receivables and payables, net	0	4,300,000
Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member]
Fair value at end of year	12,600,000	700,000
Foreign Pension Plan, Defined Benefit [Member] | Change In Plan Assets [Member] | Pension Plans [Member]
Company contributions	17,500,000	11,600,000
Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member]
Fair value at end of year	68,300,000	2,600,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Pension Plans [Member]
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation	264,300,000	217,200,000
Other noncurrent assets	0	0
Accrued compensation and benefits	(2,300,000)	0
Postemployment and other benefit liabilities	(67,400,000)	(22,800,000)
Net amount recognized	69,700,000	22,800,000
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets	213,200,000	208,500,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Change In Benefit Obligations [Member]
Amendments	0	8,300,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Change In Benefit Obligations [Member] | Pension Plans [Member]
Service cost	7,300,000	7,800,000
Interest cost	11,500,000	10,100,000
Employee contributions	0	0
Amendments	0	2,300,000
Actuarial (gains) losses	60,100,000	(58,500,000)
Benefits paid	(25,200,000)	(14,800,000)
Currency translation	0	0
Defined Benefit Plan, Curtailments	0	0
Other, including expenses paid	(2,100,000)	(800,000)
Benefit obligation at end of year	282,900,000	231,300,000	276,900,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Change In Plan Assets [Member] | Pension Plans [Member]
Employee contributions	0	0
Benefits paid	(25,100,000)	(14,800,000)
Other, including expenses paid	(2,100,000)	(19,400,000)
Fair value at beginning of year	208,500,000	230,900,000
Actual return on assets	31,900,000	1,600,000
Company contributions	0	0
Currency translation	0	0
Settlements	0	0
Defined Benefit Plan, Assets Transferred to (from) Plan	0	10,200,000
Fair value at end of year	213,200,000	208,500,000
Cash and Cash Equivalents [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	8,800,000	10,200,000
Equity Funds [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	118,000,000	134,200,000
Fixed Income Investments [Member] | Foreign Pension Plan, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member]
Fair value at end of year	164,300,000	185,600,000
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	8,800,000	0
Fair Value, Inputs, Level 1 [Member] | Equity Funds [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 1 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member]
Fair value at end of year	11,800,000	0
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member]
Fair value at end of year	65,800,000	0
Fair Value, Inputs, Level 2 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	0	10,200,000
Fair Value, Inputs, Level 2 [Member] | Equity Funds [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	118,000,000	134,200,000
Fair Value, Inputs, Level 2 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member]
Fair value at end of year	164,300,000	185,600,000
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Real Estate Funds [Member]
Fair value at end of year	800,000	700,000
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan, Defined Benefit [Member] | Other Defined Benefit [Member]
Fair value at end of year	2,500,000	2,600,000
Fair Value, Inputs, Level 3 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 3 [Member] | Equity Funds [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	0	0
Fair Value, Inputs, Level 3 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member]
Fair value at end of year	0	0
Gross of receivables and payables [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	372,000,000	333,300,000
Gross of receivables and payables [Member] | Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	8,800,000	0
Gross of receivables and payables [Member] | Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	359,900,000	330,000,000
Gross of receivables and payables [Member] | Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	3,300,000	3,300,000
Net of receivables and payables [Member] | Foreign Pension Plan, Defined Benefit [Member]
Fair value at end of year	$ 372,000,000	$ 337,600,000

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Equity (Narrative) (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2014	Dec. 31, 2013
Treasury Stock, Value, Acquired, Cost Method		$ 50.3
Stockholders' Equity, Other		13.0	0
Common stock, dividends, in dollars per share, declared		$ 0.10
Treasury Stock, Shares, Acquired	1.0
Noncontrolling interest [Member]
Treasury Stock, Value, Acquired, Cost Method		0
Stockholders' Equity, Other		$ 0	$ 0

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Summary of Significant Accounting Policies (Weighted-Average) (Details)	12 Months Ended
	Dec. 31, 2014
Customer Relationships [Member]
Weighted-average useful life	25 years
Trademarks [Member]
Weighted-average useful life	25 years
Completed Technology/Patents [Member]
Weighted-average useful life	10 years
Other Intangible Assets [Member]
Weighted-average useful life	25 years

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Income Taxes (Schedule of Deferred Tax Accounts) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Inventory and accounts receivable, deferred tax asset	$ 10.8	$ 13.6
Fixed assets and intangibles, deferred tax asset	22.3	55.5
Postemployment and other benefit liabilities, deferred tax asset	63.3	51.9
Other reserves and accruals, deferred tax asset	11.1	8.5
Net operating losses and credit carryforwards, deferred tax asset	45.2	35.0
Deferred Tax Asset Investments and Other Assets	1.3	0
Other, deferred tax asset	1.0	0.3
Gross deferred tax assets	155.0	164.8
Deferred tax valuation allowances	(50.8)	(46.9)	(5.8)	(9.7)
Deferred tax assets net of valuation allowances	104.2	117.9
Fixed assets and intangibles, deferred tax liability	(34.6)	(33.4)
Deferred Tax Liabilities, Undistributed Foreign Earnings	(0.8)	(7.5)
Other reserves and accruals, deferred tax liability	0	(0.5)
Other, deferred tax liability	(2.2)	(0.9)
Gross deferred tax liability	(37.6)	(42.3)
Net deferred tax assets (liabilities)	$ 66.6	$ 75.6

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Pension Benefit Payments) (Details) (Pension Plans [Member], USD $) In Millions, unless otherwise specified	Dec. 31, 2014
United States Pension Plan of US Entity, Defined Benefit [Member]
2013	$ 16.6
2014	13.7
2015	14.2
2016	15.9
2017	16.0
2018-2022	100.4
Non-U.S. [Member]
2013	16.0
2014	16.4
2015	16.9
2016	17.4
2017	18.2
2018-2022	$ 100.3

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Benefit Payments for Postretirement Benefits) (Details) (Postretirement [Member], USD $) In Millions, unless otherwise specified	Dec. 31, 2014
Postretirement [Member]
2013	$ 1.0
2014	1.1
2015	1.1
2016	1.2
2017	1.2
2018-2022	$ 5.5

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Postretirement Plans Funded Status) (Details) (Postretirement [Member], USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Postretirement [Member]
Plan assets less than benefit obligations	$ (13.6)	$ (14.2)
Accrued compensation and benefits	(1.0)	(1.1)
Postemployment and other benefit liabilities	$ (12.6)	$ (13.1)

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Pensions and Postretirement Benefits Other Than Pensions Pensions and Postretirement Benefits Other Than Pensions (Schedule of Benefit Payments Defined Benefit Plan) (Details) (Pension Plans [Member], USD $) In Millions, unless otherwise specified	Dec. 31, 2014
United States Pension Plan of US Entity, Defined Benefit [Member]
2015	$ 16.6
2016	13.7
2017	14.2
2018	15.9
2019	16.0
2020 - 2024	100.4
Non-U.S. [Member]
2015	16.0
2016	16.4
2017	16.9
2018	17.4
2019	18.2
2020 - 2024	$ 100.3

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Net Periodic Benefit Cost) (Details) (Pension Costs [Member], USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Prior service costs, net amortization of	$ (0.7)
United States Pension Plan of US Entity, Defined Benefit [Member]
Service cost	7.3	7.8	9.6
Interest cost	11.5	10.1	11.0
Expected return on plan assets	(11.2)	(10.6)	(11.7)
Prior service costs, net amortization of	0.7	0.6	1.0
Plan net actuarial losses, net amortization of	2.3	3.8	4.1
Net periodic benefit cost	10.6	11.7	14.0
Net curtailment and settlement (gains) losses	0	0	2.4
Net periodic benefit cost after net curtailment and settlement (gains) losses	10.6	11.7	16.4
United States Pension Plan of US Entity, Defined Benefit [Member]
Service cost	4.6	3.5	3.1
Interest cost	17.3	10.7	10.3
Expected return on plan assets	(17.3)	(10.0)	(9.7)
Defined Benefit Plan, Other Costs	0	2.1	0
Prior service costs, net amortization of	0.1	0.1	0
Plan net actuarial losses, net amortization of	2.8	1.8	1.7
Net periodic benefit cost	7.5	8.2	5.4
Net curtailment and settlement (gains) losses	0	(0.2)	0.3
Net periodic benefit cost after net curtailment and settlement (gains) losses	$ 7.5	$ 8.0	$ 5.7

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Financial Instruments Schedule of Derivatives Designated as Hedges Affecting Income Statement and Accumulated Other Comprehensive Income (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net	$ 0.7	$ 1.1	$ (1.1)
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net	2.5	0.9	(0.2)
Currency Derivatives [Member]
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net	1.6	1.1	(1.1)
Interest Rate Swap [Member]
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net	(0.9)	0
Interest Rate Locks [Member]
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net			0
Cost of goods sold [Member] | Currency Derivatives [Member]
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net	2.5	0.9	(0.2)
Interest Expense [Member] | Interest Rate Swap [Member]
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net	0	0
Interest Expense [Member] | Interest Rate Locks [Member]
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net			$ 0

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Commitments and Contingencies

12 Months Ended

Dec. 31, 2014

Commitments And Contingencies Abstract

Commitments and Contingencies

COMMITMENTS AND CONTINGENCIES

The Company is involved in various litigations, claims and administrative proceedings, including those related to environmental and product warranty matters. Amounts recorded for identified contingent liabilities are estimates, which are reviewed periodically and adjusted to reflect additional information when it becomes available. Subject to the uncertainties inherent in estimating future costs for contingent liabilities, except as expressly set forth in this note, management believes that any liability which may result from these legal matters would not have a material adverse effect on the financial condition, results of operations, liquidity or cash flows of the Company.

Environmental Matters

The Company is dedicated to an environmental program to reduce the utilization and generation of hazardous materials during the manufacturing process and to remediate identified environmental concerns. As to the latter, the Company is currently engaged in site investigations and remediation activities to address environmental cleanup from past operations at current and former production facilities.

The Company is sometimes a party to environmental lawsuits and claims and has received notices of potential violations of environmental laws and regulations from the U.S. Environmental Protection Agency and similar state authorities. It has also been identified as a potentially responsible party ("PRP") for cleanup costs associated with off-site waste disposal at federal Superfund and state remediation sites. For all such sites, there are other PRPs and, in most instances, the Company’s involvement is minimal.

In estimating its liability, the Company has assumed it will not bear the entire cost of remediation of any site to the exclusion of other PRPs who may be jointly and severally liable. The ability of other PRPs to participate has been taken into account, based on our understanding of the parties’ financial condition and probable contributions on a per site basis. Additional lawsuits and claims involving environmental matters are likely to arise from time to time in the future.

The Company incurred $2.9 million, $2.1 million, and $2.9 million of expenses during the years ended December 31, 2014, 2013 and 2012 for environmental remediation at sites presently or formerly owned or leased by us. Environmental remediation costs are recorded in Costs of goods sold within the Combined and Consolidated Statements of Comprehensive Income. As of December 31, 2014 and 2013, the Company has recorded reserves for environmental matters of $8.8 million and $10.8 million. Of these amounts $2.4 million and $2.9 million relate to remediation of sites previously disposed by the Company. Environmental reserves are classified as Accrued expenses and other current liabilities, or Other noncurrent liabilities based on their expected term. The Company's total current environmental reserve at December 31, 2014 and 2013 was $2.2 million and $4.2 million and the remainder is classified as noncurrent. Given the evolving nature of environmental laws, regulations and technology, the ultimate cost of future compliance is uncertain.

Warranty Liability

Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available.

The changes in the standard product warranty liability for the year ended December 31, were as follows:

In millions	2014			2013
Balance at beginning of period	$	9.7		$	9.5
Reductions for payments	(6.5		)	(5.7		)
Accruals for warranties issued during the current period	6.1			5.0
Changes to accruals related to preexisting warranties	1.2			0.9
Translation	(0.2		)	—
Balance at end of period	$	10.3		$	9.7

Standard product warranty liabilities are classified as Accrued expenses and other current liabilities.

Other Commitments and Contingencies

Certain office and warehouse facilities, transportation vehicles and data processing equipment are leased by the Company. Total rental expense was $32.5 million in 2014, $35.3 million in 2013 and $35.5 million in 2012. Minimum lease payments required under non-cancelable operating leases with terms in excess of one year for the next five years are as follows: $22.8 million in 2015, $10.4 million in 2016, $5.9 million in 2017, $3.1 million in 2018, and $1.4 million in 2019.

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Business Segment Information (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Segment Reporting Information by Segment

Dollar amounts in millions	2014			2013			2012
Americas
Net revenues	$	1,560.0		$	1,514.7		$	1,471.8
Segment operating income	387.3			392.1			378.0
Segment operating margin	24.8		%	25.9		%	25.7		%
Depreciation and amortization	24.8			26.5			22.0
Capital expenditures	23.6			10.5			16.9
Total segment assets	990.7			890.4			915.0
EMEIA
Net revenues	393.4			401.4			405.1
Segment operating income (loss) (a)	4.9			(0.3		)	10.1
Segment operating margin	1.2		%	(0.1		)%	2.5		%
Depreciation and amortization	16.4			18.2			29.5
Capital expenditures	4.9			5.6			1.7
Total segment assets	457.7			525.6			724.3
Asia Pacific
Net revenues	164.9			153.5			146.4
Segment operating income (b)	2.3			25.4			11.3
Segment operating margin	1.4		%	16.5		%	7.7		%
Depreciation and amortization	1.1			0.9			2.2
Capital expenditures	1.5			0.8			1.0
Total segment assets	442.2			403.2			310.9
Total net revenues	$	2,118.3		$	2,069.6		$	2,023.3
Reconciliation to earnings before income taxes
Segment operating income from reportable segments	$	394.5		$	417.2		$	399.4
Goodwill impairment charge	—			137.6			—
Unallocated corporate expense	68.2			38.8			28.1
Interest expense	53.8			10.2			1.5
Other expense (income), net	4.6			7.2			3.1
Total earnings before income taxes	$	267.9		$	223.4		$	366.7
Depreciation and amortization from reportable segments	$	42.3		$	45.6		$	53.7
Unallocated depreciation and amortization	1.9			0.1			—
Total depreciation and amortization	$	44.2		$	45.7		$	53.7
Capital expenditures from reportable segments	$	30.0		$	16.9		$	19.6
Corporate capital expenditures	21.5			3.3			—
Total capital expenditures	$	51.5		$	20.2		$	19.6
Assets from reportable segments	$	1,890.6		$	1,819.2		$	1,950.2
Unallocated assets (c)	125.3			181.4			65.2
Total assets	$	2,015.9		$	2,000.6		$	2,015.4

(a) During the year ended December 31, 2013, the Company recorded a non-cash pre-tax goodwill impairment charge of $137.6 million. This amount has been excluded from Segment operating income of the EMEIA segment as management excludes these charges from Operating income when making operating decisions about the business.

(b) Results for the year ended December 31, 2013, include a $21.5 million gain on a property sale in China.

(c) Unallocated assets consists of debt issuance costs, deferred income tax balances and cash.

Revenue from External Customers by Products and Services [Table Text Block]

In millions	2014		2013		2012
Revenues
Mechanical products	$	1,685.0	$	1,647.7	$	1,627.3
All other	433.3		421.9		396.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

Less than 10% of the Company's net revenues come from the sale of services.

Revenues by destination [Member]

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]

Revenues by destination and product as well as long-lived assets by geographic area for the years ended December 31 were as follows:

In millions	2014		2013		2012
Revenues
United States	$	1,332.0	$	1,331.7	$	1,299.3
Non-U.S.	786.3		737.9		724.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

long lived assets [Member]

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]

In millions	2014		2013
Long-lived assets
United States	$	102.9	$	103.1
Non-U.S.	223.9		234.2
Total	$	326.8	$	337.3

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Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2014

Share-based Arrangements with Employees and Nonemployees [Abstract]

Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block]

The following table summarizes the expenses recognized for the years ended December 31:

In millions	2014			2013			2012
Stock options	$	3.3		$	2.4		$	1.7
RSUs	6.0			3.3			2.6
PSUs	3.9			1.0			1.5
Deferred compensation	0.8			1.7			0.5
Pre-tax expense	14.0			8.4			6.3
Tax benefit	(4.7		)	(3.2		)	(2.4		)
Total	$	9.3		$	5.2		$	3.9

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

The weighted average assumptions used were the following:

	2014		2013
Dividend yield	0.60	%	1.27	%
Volatility	36.55	%	39.22	%
Risk-free rate of return	1.94	%	1.53	%
Expected life	6.0 years		5.9 years

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

Changes in options outstanding under the plans for the years ended December 31, 2014, 2013 and 2012 are as follows:

	Shares subject to option		Weighted- average exercise price (a)		Aggregate intrinsic value (millions)		Weighted- average remaining life (years)
December 31, 2011	1,279,557		$	35.49
Granted	144,051		40.63
Exercised	(194,860	)	26.18
Cancelled	(13,159	)	42.65
Transfers, net	(113,460	)	35.00
December 31, 2012	1,102,129		37.77
Granted	321,808		47.35
Exercised	(611,792	)	33.78
Impact of spin-off	1,669,911		—
December 31, 2013	2,482,056		25.21
Granted	188,817		54.07
Exercised	(683,383	)	24.18
Cancelled	(25,462	)	43.89
Outstanding December 31, 2014	1,962,028		$	28.11	$	53.7	4.8
Exercisable December 31, 2014	1,445,106		$	23.17	$	46.7	3.5

(a) The weighted average exercise price for periods ending prior to December 1, 2013 represents the exercise price of awards prior to conversion to awards of the Company. The weighted average exercise price of awards on or after December 1, 2013 represents the exercise price of the awards on the grant date converted to ordinary shares of the Company.

Schedule of Share-based Compensation, Activity [Table Text Block]

The following table summarizes information concerning currently outstanding and exercisable options:

			Options outstanding				Options exercisable
Range of exercise price			Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price		Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price
10.01	—	20.00	424,922	3.2	$	15.10	424,922	3.2	$	15.10
20.01	—	30.00	966,736	3.6	25.49		901,170	3.4	25.52
30.01	—	40.00	229,022	6.8	32.22		106,544	5.3	32.09
40.01	—	50.00	161,601	9.0	43.37		2,549	9.0	43.58
50.01	—	60.00	179,747	8.9	54.07		9,921	3.5	54.13
			1,962,028	4.8	$	28.11	1,445,106	3.5	$	23.17

Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block]

The following table summarizes RSU activity for the years ended December 31, 2014, 2013 and 2012:

	RSUs		Weighted- average grant date fair value (a)
Outstanding and unvested at December 31, 2011	166,069		$	35.11
Granted	68,429		40.70
Vested	(72,300	)	29.99
Cancelled	(7,931	)	41.47
Transfers, net	(10,214	)	34.73
Outstanding and unvested at December 31, 2012	144,053		40.02
Granted	195,590		48.42
Vested	(71,776	)	38.94
Impact of spin-off	110,350		—
Outstanding and unvested at December 31, 2013	378,217		33.59
Granted	101,654		54.29
Vested	(149,392	)	28.68
Cancelled	(5,319	)	43.66
Outstanding and unvested at December 31, 2014	325,160		$	42.15

Schedule of Share-based Compensation, Performance Shares [Table Text Block]

The following table summarizes PSU activity for the maximum number of shares that may be issued for the years ended December 31, 2014, 2013 and 2012:

	PSUs		Weighted-average grant date fair value (a)
Outstanding and unvested at December 31, 2011	254,122		$	27.10
Granted	37,746		50.75
Forfeited	(126,982	)	17.80
Transfers, net	(22,430	)	39.13
Outstanding and unvested at December 31, 2012	142,456		39.13
Granted	75,172		34.90
Vested	(34,701	)	34.94
Impact of spin-off	(120,044	)	—
Outstanding and unvested at December 31, 2013	62,883		29.27
Granted	110,387		72.70
Forfeited	(12,138	)	50.96
Outstanding and unvested at December 31, 2014	161,132		$	57.39

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Weighted Average Assumptions) (Details)	Dec. 31, 2014	Dec. 31, 2013
United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate	4.00%
Rate of compensation increase	3.50%	3.50%
Foreign Pension Plan, Defined Benefit [Member]
Discount rate	3.75%	4.50%
Rate of compensation increase	3.00%	4.75%
Prior to 2012 plan amendment [Member] | United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate		5.00%

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Share-Based Compensation (Information Concerning Currently Outstanding and Exercisable Options) (Details) (USD $)	12 Months Ended
	Dec. 31, 2014
Number of options outstanding, in shares	1,962,028
Weighted average remaining life, Outstanding, in years	4 years 9 months
Weighted average exercise price, options outstanding, in dollars per share	$ 28.11
Number of options exercisable, in shares	1,445,106
Weighted average remaining life, Exercisable, in years	3 years 6 months
Weighted average exercise price, option exercisable, in dollars per share	$ 23.17
10.01 - 20.00 [Member]
Number of options outstanding, in shares	424,922
Weighted average remaining life, Outstanding, in years	3 years 2 months
Weighted average exercise price, options outstanding, in dollars per share	$ 15.10
Number of options exercisable, in shares	424,922
Weighted average remaining life, Exercisable, in years	3 years 2 months
Weighted average exercise price, option exercisable, in dollars per share	$ 15.10
20.01 - 30.00 [Member]
Number of options outstanding, in shares	966,736
Weighted average remaining life, Outstanding, in years	3 years 7 months
Weighted average exercise price, options outstanding, in dollars per share	$ 25.49
Number of options exercisable, in shares	901,170
Weighted average remaining life, Exercisable, in years	3 years 5 months
Weighted average exercise price, option exercisable, in dollars per share	$ 25.52
30.01 - 40.00 [Member]
Number of options outstanding, in shares	229,022
Weighted average remaining life, Outstanding, in years	6 years 9 months
Weighted average exercise price, options outstanding, in dollars per share	$ 32.22
Number of options exercisable, in shares	106,544
Weighted average remaining life, Exercisable, in years	5 years 3 months
Weighted average exercise price, option exercisable, in dollars per share	$ 32.09
40.01 - 50.00 [Member]
Number of options outstanding, in shares	161,601
Weighted average remaining life, Outstanding, in years	9 years 0 months
Weighted average exercise price, options outstanding, in dollars per share	$ 43.37
Number of options exercisable, in shares	2,549
Weighted average remaining life, Exercisable, in years	9 years 0 months
Weighted average exercise price, option exercisable, in dollars per share	$ 43.58
50.01 - 60.00 [Member]
Number of options outstanding, in shares	179,747
Weighted average remaining life, Outstanding, in years	8 years 11 months
Weighted average exercise price, options outstanding, in dollars per share	$ 54.07
Number of options exercisable, in shares	9,921
Weighted average remaining life, Exercisable, in years	3 years 6 months
Weighted average exercise price, option exercisable, in dollars per share	$ 54.13

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Debt and Credit Facilities (Tables)

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Short-Term Borrowings and Current Maturities of Long-Term Debt

At December 31, long-term debt and other borrowings consisted of the following:

In millions	December 31, 2014		December 31, 2013
Term Loan A Facility due 2018	$	—	$	500.0
Term Loan A Facility due 2019	962.8		—
Term Loan B Facility due 2020	—		500.0
5.75% Senior notes due 2021	300.0		300.0
Other debt, including capital leases, maturing in various amounts through 2016	1.8		43.9
Total debt	$	1,264.6	$	1,343.9
Less current portion of long term debt	49.6		71.9
Total long-term debt	$	1,215.0	$	1,272.0

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Guarantor Financial Information Condensed Balance Sheet (Tables)

12 Months Ended

Dec. 31, 2014

Condensed Balance Sheet Statements, Captions [Line Items]

Condensed Balance Sheet [Table Text Block]

Consolidated Balance Sheet

December 31, 2014

In millions	Parent			Issuer		Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	27.1		$	0.5	$	126.3	$	136.6	$	—		$	290.5
Accounts and notes receivable, net	—			—		115.7		144.2		—			259.9
Inventories	—			—		101.1		78.4		—			179.5
Other current assets	0.4			46.6		15.6		179.1		—			241.7
Assets held for sale	—			—		—		2.2		—			2.2
Accounts and notes receivable affiliates	0.1			15.2		256.4		259.4		(531.1		)	—
Total current assets	27.6			62.3		615.1		799.9		(531.1		)	973.8
Investment in affiliates	917.4			2,336.7		90.6		4,774.7		(8,119.4		)	—
Property, plant and equipment, net	—			—		147.3		63.9		—			211.2
Intangible assets, net	—			—		161.1		470.6		—			631.7
Notes receivable affiliates	—			1,191.9		3,731.2		1,762.9		(6,686.0		)	—
Other noncurrent assets	16.3			10.6		62.3		110.0		—			199.2
Total assets	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9
Current liabilities:
Accounts payable and accruals	$	2.8		$	51.3	$	380.8	$	45.3	$	—		$	480.2
Short-term borrowings and current maturities of long-term debt	48.8			—		0.1		0.7		—			49.6
Liabilities held for sale	—			—		—		1.5		—			1.5
Accounts and note payable affiliates	0.4			101.1		245.0		184.6		(531.1		)	—
Total current liabilities	52.0			152.4		625.9		232.1		(531.1		)	531.3
Long-term debt	914.1			300.0		0.1		0.8		—			1,215.0
Note payable affiliate	—			2,778.4		—		3,907.6		(6,686.0		)	—
Other noncurrent liabilities	—			5.8		206.2		39.1		—			251.1
Total liabilities	966.1			3,236.6		832.2		4,179.6		(7,217.1		)	1,997.4
Equity:
Total shareholders equity (deficit)	(4.8		)	364.9		3,975.4		3,779.1		(8,119.4		)	(4.8		)
Noncontrolling interests	—			—		—		23.3		—			23.3
Total equity (deficit)	(4.8		)	364.9		3,975.4		3,802.4		(8,119.4		)	18.5
Total liabilities and equity	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9

Consolidated Balance Sheet

December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	1.4		$	—		$	78.8	$	147.2	$	—		$	227.4
Restricted cash	—			—			—		40.2		—			40.2
Accounts and notes receivable, net	—			—			110.2		149.8		—			260.0
Inventories	—			—			96.4		91.1		—			187.5
Other current assets	0.1			—			18.4		202.0		—			220.5
Assets held for sale	—			—			—		11.2		—			11.2
Accounts and notes receivable affiliates	0.4			24.7			75.1		185.7		(285.9		)	—
Total current assets	1.9			24.7			378.9		827.2		(285.9		)	946.8
Investment in affiliates	—			1,256.8			86.6		4,049.7		(5,393.1		)	—
Property, plant and equipment, net	—			—			130.9		69.3		—			200.2
Intangible assets, net	—			—			161.2		489.8		—			651.0
Notes receivable affiliates	—			1,191.9			3,726.4		800.0		(5,718.3		)	—
Other noncurrent assets	—			93.3			72.3		37.0		—			202.6
Total assets	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6
Current liabilities:
Accounts payable and accruals	$	1.3		$	14.0		$	169.6	$	233.7	$	—		$	418.6
Short-term borrowings and current maturities of long-term debt	—			30.0			0.1		41.8		—			71.9
Accounts and note payable affiliates	0.2			23.3			189.6		72.8		(285.9		)	—
Total current liabilities	1.5			67.3			359.3		348.3		(285.9		)	490.5
Long-term debt	—			1,270.0			0.2		1.8		—			1,272.0
Note payable affiliate	—			1,810.9			—		3,907.4		(5,718.3		)	—
Estimated loss on investment	66.5			—			—		—		(66.5		)	—
Other noncurrent liabilities	—			58.5			61.9		152.7		—			273.1
Total liabilities	68.0			3,206.7			421.4		4,410.2		(6,070.7		)	2,035.6
Equity:
Total shareholders equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,831.7		(5,326.6		)	(66.1		)
Noncontrolling interests	—			—			—		31.1		—			31.1
Total equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,862.8		(5,326.6		)	(35.0		)
Total liabilities and equity	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6

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Debt and Credit Facilities (Long-Term Debt Excluding Current Maturities) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Long-term Debt, Excluding Current Maturities	$ 1,215.0	$ 1,272.0
Other Debt and Capital Leases	1.8	43.9
Debt and Capital Lease Obligations	1,264.6	1,343.9
Short-term borrowings and current maturities of long-term debt	49.6	71.9
Secured Debt [Member]
Debt and Capital Lease Obligations	1,262.8
Term Loan A Facility Due 2018 [Member] | Subsidiaries [Member] | Secured Debt [Member]
Long-term Debt	0	500.0
Term Loan A Facility Due 2019 [Member] | Subsidiaries [Member] | Secured Debt [Member]
Long-term Debt	962.8	0
Term Loan B Facility Due 2020 [Member] | Subsidiaries [Member] | Secured Debt [Member]
Long-term Debt	0	500.0
Five Point Seven Five Percent Senior Notes Due 2021 [Member] | Subsidiaries [Member] | Senior Notes [Member]
Long-term Debt	$ 300.0	$ 300.0

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Income Taxes (Valuation Allowance) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Beginning balance	$ 46.9	$ 5.8	$ 9.7
Accumulated other comprehensive income (loss)	(6.6)	0.7	0.3
Ending balance	50.8	46.9	5.8
Increase to valuation allowance [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	28.0	44.9	1.8
Decrease to valuation allowance [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	(15.8)	(0.5)	(0.1)
Foreign Exchange [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	(1.7)	0	0
Parent Company's Net Investment [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	$ 0	$ (4.0)	$ (5.9)

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Property, Plant and Equipment (Schedule of Major Classes of Property, Plant and Equipment) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 586.8	$ 566.4
Accumulated depreciation	(375.6)	(366.2)
Total	211.2	200.2
Land [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	14.0	16.5
Buildings [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	120.5	126.3
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	355.5	341.6
Software [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 96.8	$ 82.0

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Earnings Per Share (EPS) (Tables)

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Weighted-Average Number of Ordinary Shares Outstanding for Basic and Diluted Earnings Per Share Calculations

Basic and Diluted EPS for all periods prior to the Spin-off reflect the number of distributed shares on December 1, 2013, or 96.0 million shares. For 2013 year to date calculations, these shares are treated as issued and outstanding from January 1, 2013 for purposes of calculating historical basic EPS. At the time of the Spin-off, stock options and restricted stock awards were converted to awards of Allegion, and therefore there were no dilutive securities outstanding for historical periods. For 2013, the Company determined its weighted average dilutive share outstanding assuming that the date of our separation from Ingersoll Rand was the beginning of the period. The following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations.

In millions	2014	2013	2012
Weighted-average number of basic shares	96.1	96.0	96.0
Shares issuable under incentive stock plans	1.1	0.1	—
Weighted-average number of diluted shares	97.2	96.1	96.0

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Inventories

12 Months Ended

Dec. 31, 2014

Inventory, Net [Abstract]

Inventories

INVENTORIES

At December 31, the major classes of inventory were as follows:

In millions	2014		2013
Raw materials	$	54.8	$	68.4
Work-in-process	32.1		34.5
Finished goods	92.6		84.6
Total	$	179.5	$	187.5

Inventories are stated at the lower of cost or net realizable value. In the fourth quarter of 2014 the Company recorded a $33.3 million non-cash inventory impairment charge related to the devaluation of the Venezuelan bolivar within Costs of goods sold in the 2014 Consolidated Statement of Comprehensive Income.

As described in Note 2, in the fourth quarter of 2014 the Company elected to change its method of accounting for certain inventory in its Americas operating segment from LIFO to FIFO. The Company applied this change in method of inventory costing by retrospectively adjusting the prior period financial statements. As a result of the retrospective adjustment of the change in accounting principle, certain amounts in our combined and consolidated statements of comprehensive income for the years ended December 31, 2013 and 2012 were adjusted as follows:

For the years ended December 31	2013							2012
In millions (except per share data)	As reported		Impact of change to FIFO			As adjusted		As reported		Impact of change to FIFO			As adjusted
Cost of goods sold	$	1,210.3	$	(2.2	)	$	1,208.1	$	1,198.6	$	(0.8	)	$	1,197.7
Operating income	238.6		2.2			240.8		370.5		0.8			371.3
Earnings before income taxes	221.2		2.2			223.4		365.8		0.8			366.7
Provision for income taxes	174.2		0.8			175.0		136.4		0.3			136.7
Earnings from continuing operations	47.0		1.4			48.4		229.4		0.5			230.0
Basic and diluted earnings per share attributable to Allegion plc ordinary shareholders	$	0.36	$	0.01		$	0.37	$	2.33	$	0.01		$	2.34

The consolidated balance sheet for the year ended December 31, 2013 was adjusted as follows:

In millions	As reported		Impact of change to FIFO			As adjusted
Inventories	$	153.7	$	33.8		$	187.5
Deferred income tax receivable	51.2		(13.1		)	38.1
Retained earnings	0.4		0.7			1.1

The combined and consolidated statements of cash flows for the years ended December 31, 2013 and 2012 were adjusted as follows:

For the years ended December 31	2013							2012
	As reported		Impact of change to FIFO			As adjusted		As reported			Impact of change to FIFO			As adjusted
Net earnings	$	43.4	$	1.4		$	44.8	$	225.2		$	0.5		$	225.8
Deferred income taxes	16.9		0.8			17.7		(4.2		)	0.3			(3.6		)
Change in inventories, net	6.1		(2.2		)	3.9		0.3			(0.8		)	(1.2		)

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Divestitures and Discontinued Operations (Discontinued Operations by Business Net of Tax) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Discontinued operations, net of tax	$ (11.1)	$ (3.6)	$ (4.2)

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Goodwill (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2008
Goodwill, gross, beginning balance	$ 990.4	$ 985.8
Acquisitions and adjustments	12.6	0
Currency translation	(11.5)	4.6
Goodwill, gross, ending balance	991.5	990.4	985.8
Goodwill, Accumulated Impairment Loss	(485.5)
Goodwill, net	506.0	504.9
Goodwill, Impairment Loss	0	137.6	0
Americas [Member]
Goodwill, gross, beginning balance	362.8	339.0
Acquisitions and adjustments	2.3	23.8
Currency translation	(0.3)	0
Goodwill, gross, ending balance	364.8	362.8
Goodwill, Accumulated Impairment Loss	0
Goodwill, net	364.8
EMEIA [Member]
Goodwill, gross, beginning balance	540.0	536.7
Acquisitions and adjustments	0	0
Currency translation	(6.9)	3.3
Goodwill, gross, ending balance	533.1	540.0
Goodwill, Accumulated Impairment Loss	(478.6)
Goodwill, net	54.5
Goodwill, Impairment Loss		137.6		341.0
Asia Pacific [Member]
Goodwill, gross, beginning balance	87.6	110.1
Acquisitions and adjustments	10.3	(23.8)
Currency translation	(4.3)	1.3
Goodwill, gross, ending balance	93.6	87.6
Goodwill, Accumulated Impairment Loss	(6.9)
Goodwill, net	86.7
Goodwill, Impairment Loss				$ 6.9

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Business Segment Information Business Segment Information (Schedule of Revenue by Product) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Revenue from External Customer [Line Items]
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
Mechanical Revenue [Member]
Revenue from External Customer [Line Items]
Net revenues	1,685.0	1,647.7	1,627.3
Other Products Revenue [Member]
Revenue from External Customer [Line Items]
Net revenues	433.3	421.9	396.0
UNITED STATES
Revenue from External Customer [Line Items]
Net revenues	1,332.0	1,331.7	1,299.3
Non-United States [Member]
Revenue from External Customer [Line Items]
Net revenues	$ 786.3	$ 737.9	$ 724.0

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Restructuring Activities (Tables)

12 Months Ended

Dec. 31, 2014

Restructuring Charges [Abstract]

Schedule of Restructuring Charges Recorded

Restructuring charges recorded during the year ended December 31, 2014 as part of this plan were as follows:

In millions	2014
EMEIA	$	6.1
Total	6.1
Cost of goods sold	$	1.2
Selling and administrative expenses	4.9
Total	$	6.1

Restructuring charges recorded during the years ended December 31 as part of other restructuring plans were as follows:

In millions	2014		2013		2012
Americas	$	0.1	$	0.1	$	1.7
EMEIA	0.9		5.7		5.8
Total	$	1.0	$	5.8	$	7.5
Cost of goods sold	$	0.2	$	3.1	$	3.0
Selling and administrative expenses	0.8		2.7		4.5
Total	$	1.0	$	5.8	$	7.5

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Valuation and Qualifying Accounts Valuation and Qualifying Accounts (Notes)

12 Months Ended

Dec. 31, 2013

Valuation and Qualifying Accounts [Abstract]

Schedule of Valuation and Qualifying Accounts Disclosure [Text Block]

PLC

VALUATION AND QUALIFYING ACCOUNTS

FOR THE YEARS ENDED December 31, 2014, 2013 AND 2012

(Amounts in millions)

Allowances for Doubtful Accounts:
Balance December 31, 2011	$	3.4
Additions charged to costs and expenses	2.4
Deductions*	(1.4		)
Balance December 31, 2012	4.4
Additions charged to costs and expenses	2.9
Deductions*	(1.7		)
Currency translation	(0.1		)
Balance December 31, 2013	5.5
Additions charged to costs and expenses	4.7
Deductions*	(1.1		)
Currency translation	(0.2		)
Balance December 31, 2014	$	8.9

(*) “Deductions” include accounts and advances written off, less recoveries.

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Subsequent Events (Notes)

12 Months Ended

Dec. 31, 2014

Subsequent Event [Line Items]

Subsequent Events [Text Block]

SUBSEQUENT EVENTS

On February 9, 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or “Simadi,” that will replace the SICAD II rate. The Company is currently evaluating this announcement. Adoption of the Simadi rate would result in additional charges to remeasure the net monetary assets and impair other assets.

On February 11, 2015, the Company's Board of Directors declared a quarterly dividend of $0.10 cents per ordinary share. The dividend is payable March 31, 2015 to shareholders of record on March 17, 2015.

On February 26, 2015, the Company agreed to acquire Zero International Inc. Zero manufacturers sealing systems, such as sound control, fire and smoke protection, threshold applications, and lites and louvers for door and window products for commercial spaces.

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Restructuring Activities (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Restructuring and related cost, incurred cost	$ 7.1	$ 5.8	$ 7.5
Restructuring reserve, current	$ 1.9	$ 2.8

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Summary of Significant Accounting Policies (Depreciation) (Details)	12 Months Ended
	Dec. 31, 2013
Minimum [Member] | Buildings [Member]
Property, plant and equipment, useful life	10 years
Minimum [Member] | Machinery and Equipment [Member]
Property, plant and equipment, useful life	2 years
Minimum [Member] | Software [Member]
Property, plant and equipment, useful life	2 years
Maximum [Member] | Buildings [Member]
Property, plant and equipment, useful life	50 years
Maximum [Member] | Machinery and Equipment [Member]
Property, plant and equipment, useful life	12 years
Maximum [Member] | Software [Member]
Property, plant and equipment, useful life	7 years

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Other, Net (Tables)

12 Months Ended

Dec. 31, 2014

Other Net [Abstract]

Other, Net

At December 31, the components of Other expense, net were as follows:

In millions	2014			2013			2012
Interest income	$	(1.1	)	$	(0.8	)	$	(0.1	)
Exchange loss	7.6			8.0			3.2
Other	(1.9		)	—			—
Other expense, net	$	4.6		$	7.2		$	3.1

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Summary of Significant Accounting Policies (Policy)

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

: The Combined and Consolidated Financial Statements include all majority-owned subsidiaries of the Company. A noncontrolling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes Noncontrolling interest as a component of Total equity in the Consolidated Balance Sheet and the Net earnings attributable to noncontrolling interests are presented as an adjustment from Net earnings used to arrive at Net earnings attributable to Allegion in the Combined and Consolidated Statement of Comprehensive Income.

Partially-owned equity affiliates generally represent 20-50% ownership interests in investments and where we demonstrate significant influence in investments, but do not have a controlling financial interest. Partially-owned equity affiliates are accounted for under the equity method. The Company is also required to consolidate variable interest entities in which it bears a majority of the risk to the entities’ potential losses or stands to gain from a majority of the entities’ expected returns. Transactions between the Company and Ingersoll Rand and its affiliates are herein referred to as "related party" or "affiliated" transactions. The assets, liabilities, results of operations and cash flows of all discontinued operations have been separately reported as discontinued operations.

Use of Estimates, Policy

Use of Estimates:  The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors including the facts and circumstances available at the time the estimates are made, historical experience, risk of loss, general economic conditions and trends, and the assessment of the probable future outcome. Some of the more significant estimates include accounting for doubtful accounts, useful lives of property, plant and equipment and intangible assets, purchase price allocations of acquired businesses, valuation of assets including goodwill and other intangible assets, product warranties, sales allowances, pension plans, postretirement benefits other than pensions, taxes, environmental costs, product liability and other contingencies. Actual results could differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of changes, if any, are reflected in the Combined and Consolidated Statement of Comprehensive Income in the period that they are determined.

Currency Translation

Currency Translation:  Assets and liabilities where the functional currency is not the U.S. dollar, have been translated at year-end exchange rates, and income and expense accounts have been translated using average exchange rates throughout the year. Adjustments resulting from the process of translating an entity’s financial statements into the U.S. dollar have been recorded in the Equity section of the Consolidated Balance Sheet within Accumulated other comprehensive income (loss).

Cash and Cash Equivalents

Cash and Cash Equivalents:  Cash and cash equivalents include cash on hand, demand deposits and all highly liquid investments with original maturities at the time of purchase of three months or less.

Marketable Securities, Available-for-sale Securities, Policy [Policy Text Block]

Marketable Securities:  The Company has classified its marketable securities as available-for-sale in accordance with GAAP. Available-for-sale marketable securities are accounted for at fair value, with the unrealized gain or loss, less applicable deferred income taxes, recorded within Accumulated other comprehensive income (loss). If any of the Company’s marketable securities experience other than temporary declines in value as defined by GAAP, a loss is recorded in the Combined and Consolidated Statement of Comprehensive Income.

Inventories

Inventories: Inventories are stated at the lower of cost or net realizable value. In the fourth quarter of 2014, the Company changed its method of inventory costing for certain inventory in its Americas operating segment to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method. The Company's other operating segments also determine costs using the FIFO method. The Company believes that the FIFO method is preferable as it results in uniformity across the Company’s global operations, aligns with how the Company internally manages inventory, provides better matching of revenues and expenses and improves comparability with the Company’s peers. The impact of this change in accounting principle on the financial statements for each period presented is further explained in Note 4.

Allowance for Doubtful Accounts

Allowance for Doubtful Accounts:  The Company has provided an allowance for doubtful accounts reserve, which represents the best estimate of probable loss inherent in the Company’s account receivables portfolio. Changes in the financial condition of customers or other unanticipated events, which may affect their ability to make payments, could result in charges for additional allowances exceeding the Company's estimates. The Company's estimates are influenced by the following considerations: a continuing credit evaluation of our customers’ financial condition; trade accounts receivable aging; and historical loss experience. The Company reserved $8.9 million and $5.5 million for doubtful accounts as of December 31, 2014 and 2013, respectively.

Property, Plant and Equipment

Property, Plant and Equipment:  Property, plant and equipment are stated at cost, less accumulated depreciation. Assets placed in service are recorded at cost and depreciated using the straight-line method over the estimated useful life of the asset except for leasehold improvements, which are depreciated over the shorter of their economic useful life or their lease term. The range of useful lives used to depreciate property, plant and equipment is as follows:

Buildings	10	to	50	years
Machinery and equipment	2	to	12	years
Software	2	to	7	years

Repair and maintenance costs that do not extend the useful life of the asset are charged against earnings as incurred. Major replacements and significant improvements that increase asset values and extend useful lives are capitalized.

The Company assesses the recoverability of the carrying value of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount of an asset to the future net undiscounted cash flows expected to be generated by the asset. If the undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized for the amount by which the carrying value of the asset exceeds the fair value of the assets.

Goodwill and Intangible Assets

Goodwill and Intangible Assets:  The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded.

In accordance with GAAP, goodwill and other indefinite-lived intangible assets are tested and reviewed annually for impairment during the fourth quarter or whenever there is a significant change in events or circumstances that indicate that the fair value of the asset is more likely than not less than the carrying amount of the asset.

Recoverability of goodwill is measured at the reporting unit level and begins with a qualitative assessment to determine if it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test prescribed by U.S. GAAP. For those reporting units where it is required, the first step compares the carrying amount of the reporting unit to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired and the second step of the impairment test is not necessary. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a second step is performed, wherein the reporting unit's carrying value of goodwill is compared to the implied fair value of goodwill. To the extent that the carrying value exceeds the implied fair value, impairment exists and must be recognized.

The calculation of estimated fair value is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being equally weighted in the calculation. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The estimated fair value of the reporting unit is allocated to all of the assets and liabilities of the reporting unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit, as determined in the first step of the goodwill impairment test, was the price paid to acquire that reporting unit.

Recoverability of other intangible assets with indefinite useful lives (i.e. Trademarks) is first assessed using a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. This assessment is used as a basis for determining whether it is necessary to calculate the fair value of an indefinite-lived intangible asset. For those indefinite-lived assets where it is required, a fair value is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess.

Intangible assets such as patents, customer-related intangible assets and other intangible assets with finite useful lives are amortized on a straight-line basis over their estimated economic lives. The weighted-average useful lives approximate the following:

Customer relationships	25	years
Trademarks	25	years
Completed technology/patents	10	years
Other	25	years

Recoverability of intangible assets with finite useful lives is assessed in the same manner as property, plant and equipment as described above.

Income Taxes

Income Taxes:  For purposes of the Company’s Combined and Consolidated Financial Statements for periods prior to the Spin-off, income tax expense has been recorded as if the Company filed tax returns on a stand-alone basis separate from Ingersoll Rand. This separate return methodology applies the accounting guidance for income taxes to the stand-alone financial statements as if the Company was a stand-alone enterprise for the periods prior to the Spin-off. Therefore, cash tax payments and items of current and deferred taxes may not be reflective of the Company’s actual tax balances prior to or subsequent to the Spin-off. Cash paid for income taxes for the year ended December 31, 2014 was $66.7 million.

The income tax accounts reflected in the Consolidated Balance Sheets as of December 31, 2014 include income taxes payable and deferred taxes allocated to the Company at the time of the Spin-off. The calculation of the Company’s income taxes involves considerable judgment and the use of both estimates and allocations.

Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. The Company recognizes future tax benefits, such as net operating losses and non-U.S. tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The Company regularly reviews the recoverability of its deferred tax assets considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance with respect to a future tax benefit.

Standard Product Warranty, Policy

Product Warranties:  Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available.

Revenue Recognition

Revenue Recognition:  Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, the Company validates the existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred.

The Company offers various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for the Company’s best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2014 and 2013, the Company had a customer claim accrual (contra receivable) of $23.5 million and $21.9 million, respectively. All other incentives or incentive programs where the customer is required to reach a certain level of purchases, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2014 and 2013, the Company had a sales incentive accrual of $23.2 million and $21.0 million, respectively. Each of these accruals represents the Company’s best estimate it expects to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in the Company’s results for the period in which they become known. Historically, the aggregate differences, if any, between the Company’s estimates and actual amounts in any year have not had a material impact on the Combined and Consolidated Financial Statements.

The Company provides equipment, integrated solutions, and installation designed to customer specifications through construction-type contracts. The term of these types of contracts is typically less than one year, but can be as long as three years. Revenues related to these contracts are recognized using the percentage-of-completion method in accordance with GAAP. This measure of progress toward completion, utilized to recognize sales and profits, is based on the proportion of actual cost incurred to date as compared to the total estimate of contract costs at completion. The timing of revenue recognition often differs from the invoicing schedule to the customer with revenue recognition in advance of customer invoicing recorded to costs in excess of billings on uncompleted contracts and invoicing in advance of revenue recognition recorded to deferred revenue. At December 31, 2014, all recorded accounts receivables are due within one year. The Company re-evaluates its contract estimates periodically and reflects changes in estimates in the current period using the cumulative catch-up method. These periodic reviews have not historically resulted in significant adjustments. If estimated contract costs are in excess of contract revenues, then the excess costs are accrued and losses are recognized in current earnings.

The Company enters into sales arrangements that contain multiple elements, such as equipment, installation and service revenue. For multiple element arrangements, each element is evaluated to determine the separate units of accounting. The total arrangement consideration is then allocated to the separate units of accounting based on their relative selling price at the inception of the arrangement. The relative selling price is determined using vendor specific objective evidence ("VSOE") of selling price, if it exists; otherwise, third-party evidence ("TPE") of selling price is used. If neither VSOE nor TPE of selling price exists for a deliverable, a best estimate of the selling price is developed for that deliverable. The Company primarily utilizes VSOE to determine its relative selling price. The Company recognizes revenue for delivered elements when the delivered item has stand-alone value to the customer, the basic revenue recognition criteria have been met, and only customary refund or return rights related to the delivered elements exist.

Regulatory Environmental Costs, Policy

Environmental Costs:  The Company is subject to laws and regulations relating to protecting the environment. Environmental expenditures relating to current operations are expensed or capitalized as appropriate. Expenditures relating to existing conditions caused by past operations, which do not contribute to current or future revenues, are expensed. Liabilities for remediation costs are recorded when they are probable and can be reasonably estimated, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action. The assessment of this liability, which is calculated based on existing technology, does not reflect any offset for possible recoveries from insurance companies, and is not discounted. Refer to Note 20 for further details of environmental matters.

Research and Development Expense, Policy

Research and Development Costs:  The Company conducts research and development activities for the purpose of developing and improving new products and services. These expenditures are expensed when incurred. For the years ended December 31, 2014, 2013 and 2012, these expenditures amounted to approximately $43.3 million, $39.6 million and $38.2 million, respectively and consist of salaries, wages, benefits, building costs and other overhead expenses.

Internal Use Software, Policy

Software Costs:  The Company capitalizes certain qualified internal-use software costs during the application development stage and subsequently amortizes those costs over the software's useful life, which ranges from 2 to 7 years.

Compensation Related Costs, Policy

Employee Benefit Plans: The Company provides a range of benefits, including pensions, postretirement and postemployment benefits to eligible current and former employees. Determining the cost associated with such benefits is dependent on various actuarial assumptions, including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates, and healthcare cost trend rates. Actuaries perform the required calculations to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated into Accumulated other comprehensive income (loss) and amortized into Net earnings over future periods. The Company reviews its actuarial assumptions at each measurement date and makes modifications to the assumptions based on current rates and trends, if appropriate. Refer to Note 10 for further details on employee benefit plans.

Loss Contingencies

Loss Contingencies:  Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental matters, product liability, product warranty, worker’s compensation and other claims. The Company has recorded reserves in the financial statements related to these matters, which are developed using inputs derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve and, in certain instances, with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, the Company believes its estimated reserves are reasonable and does not believe the final determination of the liabilities with respect to these matters would have a material effect on the financial condition, results of operations, liquidity or cash flows of the Company for any year. Refer to Note 20 for further details on loss contingencies.

Derivative Instruments

Derivative Instruments:  The Company periodically enters into cash flow and other derivative transactions to specifically hedge exposure to various risks related to currency and interest rates. The Company recognizes all derivatives on the Consolidated Balance Sheet at their fair value as either assets or liabilities. For cash flow designated hedges, the effective portion of the changes in fair value of the derivative contract are recorded in Accumulated other comprehensive income (loss), net of taxes, and are recognized in Net earnings at the time earnings are affected by the hedged transaction. For other derivative transactions, the changes in the fair value of the derivative contract are immediately recognized in Net earnings. Refer to Note 9 for further details on derivative instruments.

New Accounting Pronouncements, Policy [Policy Text Block]

Recently Adopted Accounting Pronouncements:

In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-04, "Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date." ASU 2013-04 provides guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements where the total obligation is fixed at the reporting date, and for which no specific guidance currently exists. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In March 2013, the FASB issued ASU 2013-05, "Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity." ASU 2013-05 clarifies the application of GAAP to the release of cumulative translation adjustments related to changes of ownership in or within foreign entities, including step acquisitions. This new guidance was effective for the Company on January 1, 2014.The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In July 2013, the FASB issued ASU 2013-11 Income Taxes (Topic 740), "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss or a Tax Credit Carryforward Exists." With certain exceptions, ASU 2013-11 requires entities to present an unrecognized tax benefit, or portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-11 do not have a significant impact on the Combined and Consolidated Financial Statements.

Recently Issued Accounting Pronouncements:

In April 2014, the FASB issued ASU 2014-08 "Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity," which amends the definition of a discontinued operation in Accounting Standards Codification Topic 205-20 (Presentation of Financial Statements — Discontinued Operations) and requires entities to disclose additional information about disposal transactions that do not meet the discontinued operations criteria. ASU 2014-08 redefines a discontinued operation as a component or group of components of an entity that (1) has been disposed of by sale or other than by sale or is classified as held for sale and (2) represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. According to the ASU, a strategic shift that has (or will have) a major effect on an entity’s operations and results includes the disposal of a major geographical area, a major line of business, a major equity investment, or other major parts of an entity. The ASU is effective prospectively for disposals or components classified as held for sale in periods on or after December 15, 2014. The requirements of ASU 2014-08 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In May 2014, the FASB issued ASU 2014-09 "Revenue from Contracts with Customers." ASU 2014-09 is the result of a joint project between the FASB and International Accounting Standards Board ("IASB") to clarify the principles for recognizing revenue and to develop a common revenue standard for GAAP and International Financial Reporting Standards ("IFRS") that would remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets, provide more useful information to users of financial statements through improved disclosure requirements and simplify the preparation of financial statements by reducing the number of requirements to which an entity must refer. The ASU is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The Company is assessing what impact, if any, ASU 2014-09 will have on the Combined and Consolidated Financial Statements.

In June 2014, the FASB issued ASU 2014-12 "Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period." ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The ASU is effective for annual and interim reporting periods beginning after December 15, 2015, including interim periods within that reporting period. Early application is permitted. The requirements of ASU 2014-12 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In August 2014, the FASB issued ASU 2014-15 "Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern." ASU 2014-15 guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. ASU 2014-15 will be effective in the fourth quarter of 2016, with early adoption permitted. The requirements of ASU 2014-15 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Depreciation Range of Useful Lives

The range of useful lives used to depreciate property, plant and equipment is as follows:

Buildings	10	to	50	years
Machinery and equipment	2	to	12	years
Software	2	to	7	years

Schedule of Intangible Assets Weighted Average Useful Lives

The weighted-average useful lives approximate the following:

Customer relationships	25	years
Trademarks	25	years
Completed technology/patents	10	years
Other	25	years

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Marketable Securities

12 Months Ended

Dec. 31, 2013

Marketable Securities [Abstract]

Marketable Securities

MARKETABLE SECURITIES

At December 31, long-term marketable securities included within Other noncurrent assets in the Consolidated Balance Sheets were as follows:

	2014						2013
In millions	Amortized cost or cost		Unrealized gains		Fair value		Amortized cost or cost		Unrealized gains		Fair value
Equity securities	$	5.2	$	12.7	$	17.9	$	4.0	$	16.2	$	20.2

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Marketable Securities (Tables)

12 Months Ended

Dec. 31, 2013

Marketable Securities [Abstract]

Schedule of Marketable Securities

At December 31, long-term marketable securities included within Other noncurrent assets in the Consolidated Balance Sheets were as follows:

	2014						2013
In millions	Amortized cost or cost		Unrealized gains		Fair value		Amortized cost or cost		Unrealized gains		Fair value
Equity securities	$	5.2	$	12.7	$	17.9	$	4.0	$	16.2	$	20.2

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Net Periodic Postretirement Benefit Cost) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Postretirement Benefit Costs [Member]
Service cost	$ 0.1	$ 0.3	$ 0.3
Interest cost	0.5	0.5	0.7
Prior service gains, net amortization of	(1.6)	(2.2)	(2.0)
Plan net actuarial losses, net amortization of	0	0.1	0.2
Net periodic benefit cost after net curtailment and settlement (gains) losses	(1.0)	(1.3)	(0.8)
Postretirement [Member]
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax	(4.8)	(5.4)	(5.5)
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	1.0	3.6
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	(1.6)	(2.1)
Defined Benefit Plan, Plan Amendments		(1.6)
Postretirement [Member] | prior service gains [Member]
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax	(5.5)	(7.1)	(12.1)
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	0	0
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	(1.6)	(2.2)
Defined Benefit Plan, Plan Amendments		(2.8)
Postretirement [Member] | Net Actuarial Losses [Member]
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax	0.7	1.7	6.6
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	1.0	3.6
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	0	0.1
Defined Benefit Plan, Plan Amendments		$ 1.2

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Divestitures and Discontinued Operations Divestiture - Net earnings (loss) schedule (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
Gain (loss) on sale/asset impairment	0	(137.6)	0
Net earnings (loss) attributable to Allegion plc	$ 175.2	$ 32.3	$ 220.1
Earnings Per Share, Diluted	$ 1.80	$ 0.34	$ 2.29

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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2014

Fair Value Measurement Abstract

Fair Value of Assets Measured on a Recurring Basis

Assets and liabilities measured at fair value at December 31, 2013 are as follows:

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	20.2	$	—	$	—	$	20.2
Derivative instruments	—		0.7		—		0.7
Total asset recurring fair value measurements	$	20.2	$	0.7	$	—	$	20.9
Liabilities:
Derivative instruments	$	—	$	2.7	$	—	$	2.7
Total liability recurring fair value measurements	$	—	$	2.7	$	—	$	2.7
Financial instruments not carried at fair value:
Total debt	$	—	$	1,312.6	$	—	$	1,312.6
Total financial instruments not carried at fair value	$	—	$	1,312.6	$	—	$	1,312.6

Assets and liabilities measured at fair value at December 31, 2014 are as follows:

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	17.9	$	—	$	—	$	17.9
Derivative instruments	—		4.3		—		4.3
Total asset recurring fair value measurements	$	17.9	$	4.3	$	—	$	22.2
Liabilities:
Derivative instruments	$	—	$	13.9	$	—	$	13.9
Interest rate swap	—		0.9		—		0.9
Total liability recurring fair value measurements	$	—	$	14.8	$	—	$	14.8
Financial instruments not carried at fair value:
Total debt	$	—	$	1,279.4	$	—	$	1,279.4
Total financial instruments not carried at fair value	$	—	$	1,279.4	$	—	$	1,279.4

XML

Guarantor Financial Information Condensed Cash Flow Statement (Tables)

12 Months Ended

Dec. 31, 2014

Condensed Cash Flow Statements, Captions [Line Items]

Condensed Cash Flow Statement [Table Text Block]

Consolidated Statement of Cash Flows

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	105.4		$	(847.5	)	$	567.2		$	1,172.4		$	(738.5	)	$	259.0
Net cash used in discontinued operating activities	—			—			—			(3.1		)	—			(3.1		)
Net cash provided by (used in) operating activities	105.4			(847.5		)	567.2			1,169.3			(738.5		)	255.9
Cash flows from investing activities:
Capital expenditures	—			—			(41.6		)	(9.9		)	—			(51.5		)
Acquisition of businesses, net of cash acquired	—			—			—			(25.2		)	—			(25.2		)
Capital contributions to subsidiaries	(975.0		)	(135.0		)	—			(160.7		)	1,270.7			—
Proceeds from business disposition, net of cash sold	—			—			—			1.2			—			1.2
Other investing activities, net	—			—			0.5			40.2			—			40.7
Net cash provided by (used in) investing activities	(975.0		)	(135.0		)	(41.1		)	(154.4		)	1,270.7			(34.8		)
Cash flows from financing activities:
Net debt repayments	962.8			(1,000.0		)	—			(40.8		)	—			(78.0		)
Debt issuance costs	(5.8		)	—			—			—			—			(5.8		)
Net inter-company proceeds (payments)	—			1,822.3			(44.1		)	(1,778.2		)	—			—
Capital contributions received	—			160.7			7.0			1,103.0			(1,270.7		)	—
Dividends paid to shareholders	(30.0		)	—			—			—			—			(30.0		)
Dividends paid to noncontrolling interests	—			—			—			(4.5		)	—			(4.5		)
Dividends paid	—			—			(441.5		)	(297.0		)	738.5			—
Repurchase of ordinary shares	(50.3		)	—			—			—			—			(50.3		)
Other financing activities, net	18.6			—			—			—			—			18.6
Net cash provided by (used in) financing activities	895.3			983.0			(478.6		)	(1,017.5		)	(532.2		)	(150.0		)
Effect of exchange rate changes on cash and cash equivalents	—			—			—			(8.0		)	—			(8.0		)
Net increase (decrease) in cash and cash equivalents	25.7			0.5			47.5			(10.6		)	—			63.1
Cash and cash equivalents - beginning of period	1.4			—			78.8			147.2			—			227.4
Cash and cash equivalents - end of period	$	27.1		$	0.5		$	126.3		$	136.6		$	—		$	290.5

Consolidated Statement of Cash Flows

For the year ended December 31, 2013

In millions	Parent		Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	0.1	$	—		$	346.8		$	(117.6	)	$	—		$	229.3
Net cash used in discontinued operating activities	—		—			—			(5.4		)	—			(5.4		)
Net cash provided by (used in) operating activities	0.1		—			346.8			(123.0		)	—			223.9
Cash flows from investing activities:
Capital expenditures	—		—			(12.5		)	(7.7		)	—			(20.2		)
Proceeds from sale of property, plant and equipment	—		—			4.5			37.2			—			41.7
Capital contributions to subsidiaries	—		(2,384.7		)	(462.4		)	(5,997.8		)	8,844.9			—
Other investing activities, net	—		—			—			(40.2		)	—			(40.2		)
Net cash provided by (used in) investing activities	—		(2,384.7		)	(470.4		)	(6,008.5		)	8,844.9			(18.7		)
Cash flows from financing activities:
Net debt repayments	—		1,300.0			—			38.9			—			1,338.9
Debt issuance costs	—		(29.1		)	—			—			—			(29.1		)
Net inter-company proceeds (payments)	—		619.0			(3,746.4		)	3,127.4			—			—
Capital contributions received	—		1,769.0			4,228.7			2,847.1			(8,844.9		)	—
Dividends paid to noncontrolling interests	—		—			—			(5.2		)	—			(5.2		)
Net transfers to Parent and affiliates	—		(1,274.2		)	(281.6		)	(42.5		)	—			(1,598.3		)
Other financing activities, net	1.3		—			—			—			—			1.3
Net cash provided by (used in) financing activities	1.3		2,384.7			200.7			5,965.7			(8,844.9		)	(292.4		)
Effect of exchange rate changes on cash and cash equivalents	—		—			—			(2.9		)	—			(2.9		)
Net increase (decrease) in cash and cash equivalents	1.4		—			77.1			(168.6		)	—			(90.1		)
Cash and cash equivalents - beginning of period	—		—			1.7			315.8			—			317.5
Cash and cash equivalents - end of period	$	1.4	$	—		$	78.8		$	147.2		$	—		$	227.4

Consolidated Statement of Cash Flows

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments		Allegion plc
Net cash provided by (used in) continuing operating activities	$	—	$	—	$	190.7		$	83.0		$	—	$	273.7
Net cash provided by (used in) discontinued operating activities	—		—		1.5			(6.0		)	—		(4.5		)
Net cash provided by (used in) operating activities	—		—		192.2			77.0			—		269.2
Cash flows from investing activities:
Capital expenditures	—		—		(16.0		)	(3.6		)	—		(19.6		)
Proceeds from sale of property, plant and equipment	—		—		—			2.1			—		2.1
Net cash used in investing activities	—		—		(16.0		)	(1.5		)	—		(17.5		)
Cash flows from financing activities:
Net debt repayments	—		—		(0.1		)	(1.0		)	—		(1.1		)
Dividends paid to noncontrolling interests	—		—		—			(5.2		)	—		(5.2		)
Net transfers to Parent and affiliates	—		—		(183.1		)	(128.5		)	—		(311.6		)
Net cash provided by (used in) financing activities	—		—		(183.2		)	(134.7		)	—		(317.9		)
Effect of exchange rate changes on cash and cash equivalents	—		—		—			6.9			—		6.9
Net decrease in cash and cash equivalents	—		—		(7.0		)	(52.3		)	—		(59.3		)
Cash and cash equivalents - beginning of period	—		—		8.7			368.1			—		376.8
Cash and cash equivalents - end of period	$	—	$	—	$	1.7		$	315.8		$	—	$	317.5

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Pensions and Postretirement Benefits Other Than Pensions (Narrative) (Details) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Accumulated benefit obligation	$ 0.05
Deferred Compensation Liability, Current and Noncurrent	12,800,000
Pension Plans [Member]
Projected company contributions in 2013	5,000,000
United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate	4.00%
Accumulated benefit obligation for all defined benefit pension plans	264,300,000	217,200,000
Foreign Pension Plan, Defined Benefit [Member]
Discount rate	3.75%	4.50%
Accumulated benefit obligation for all defined benefit pension plans	380,000,000	382,500,000
Foreign Pension Plan Defined Contribution [Member]
Company contributions	7,000,000	4,700,000	5,400,000
United States Pension Plan Defined Contribution [Member]
Company contributions	10,200,000	14,500,000	7,600,000
Postretirement [Member]
Discount rate	3.50%		3.25%
Postretirement Benefit Costs [Member]
Projected prior service cost for 2013	(1,600,000)	(2,200,000)	(2,000,000)
Postretirement benefit cost	1,000,000
Projected prior service gains in 2013	1,600,000
Plan net actuarial gains (losses)	100,000
Pension Costs [Member]
Projected pension expenses for 2013	15,800,000
Projected prior service cost for 2013	700,000
Projected net actuarial losses for 2013	6,000,000
Prior to 2012 plan amendment [Member] | United States Pension Plan of US Entity, Defined Benefit [Member]
Discount rate		5.00%
Prior to 2012 plan amendment [Member] | Postretirement [Member]
Discount rate		4.00%
Foreign Pension Plan, Defined Benefit [Member] | Pension Costs [Member]
Projected prior service cost for 2013	(100,000)	(100,000)	0
Foreign Pension Plan, Defined Benefit [Member] | Change In Plan Assets [Member] | Pension Plans [Member]
Company contributions	17,500,000	11,600,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Pension Plans [Member]
Company contributions			3,200,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Pension Costs [Member]
Projected prior service cost for 2013	(700,000)	(600,000)	(1,000,000)
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member]
Defined benefit plan, fair value of pension plan assets	155,300,000	143,100,000
United States Pension Plan of US Entity, Defined Benefit [Member] | Fixed Income Investments [Member] | Fair Value, Inputs, Level 1 [Member]
Defined benefit plan, fair value of pension plan assets	$ 0	$ 0

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Consolidated Statements of Comprehensive Income (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
Cost of Goods and Services Sold	1,264.6	1,208.1	1,197.7
Selling and administrative expenses	(527.4)	(483.1)	(454.3)
Gain (loss) on sale/asset impairment	0	(137.6)	0
Goodwill, Impairment Loss	0	137.6	0
Operating income (loss)	326.3	240.8	371.3
Interest expense	(53.8)	(10.2)	(1.5)
Other, net	4.6	7.2	3.1
Earnings (loss) before income taxes	267.9	223.4	366.7
Benefit (provision) for income taxes	84.2	175.0	136.7
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	183.7	48.4	230.0
Discontinued operations, net of tax	(11.1)	(3.6)	(4.2)
Net earnings	172.6	44.8	225.8
Less: Net earnings attributable to noncontrolling interests	2.6	(12.5)	(5.7)
Net earnings (loss) attributable to Allegion plc	175.2	32.3	220.1
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	(66.4)	(58.4)	21.4
Cash flow hedges and marketable securities unrealized net gains (losses) arising during period	2.0	7.0	5.3
Cash flow hedges and marketable securities net gains (losses) reclassified into earnings	(2.5)	(0.9)	0.2
Cash flow hedges and marketable securities tax (expense) benefit	(0.5)	(0.3)	0.2
Total cash flow hedges and marketable securities net of tax	(1.0)	5.8	5.7
Pension and OPEB adjustments prior service gains (costs) for the period	0.3	(2.3)	13.8
Pension and OPEB adjustments net actuarial gains (losses) for the period	(9.9)	34.1	(23.0)
Pension and OPEB adjustments amortization reclassified to earnings	4.3	4.2	5.0
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings	0	(0.1)	2.7
Pension and OPEB adjustments settlements and curtailments reclassified to earnings	0	(42.9)	0
Pension and OPEB adjustments currency translation and other	4.8	(0.4)	(1.2)
Pension and OPEB adjustments tax (expense) benefit	15.7	(28.2)	(2.5)
Total pension and OPEB adjustments, net of tax	15.2	(35.6)	(5.2)
Other comprehensive income (loss), net of tax	(52.2)	(88.2)	21.9
Total comprehensive income (loss), net of tax	120.4	(43.4)	247.7
Total comprehensive (income) loss attributable to noncontrolling interests	(3.3)	13.3	6.2
Total comprehensive income (loss) attributable to Allegion plc	123.7	(56.7)	241.5
Amounts attributable to Allegion plc ordinary shareholders:
Continuing operations	186.3	35.9	224.3
Discontinued operations	(11.1)	(3.6)	(4.2)
Net earnings (loss) attributable to Allegion plc	$ 175.2	$ 32.3	$ 220.1
Basic:
Continuing operations	$ 1.94	$ 0.37	$ 2.34
Discontinued operations	$ (0.12)	$ (0.03)	$ (0.05)
Net earnings (loss)	$ 1.82	$ 0.34	$ 2.29
Diluted:
Continuing operations	$ 1.92	$ 0.37	$ 2.34
Discontinued operations	$ (0.12)	$ (0.03)	$ (0.05)
Net earnings (loss)	$ 1.80	$ 0.34	$ 2.29

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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Expense (Benefit), Continuing Operations [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

Earnings (loss) before income taxes for the years ended December 31 were taxed within the following jurisdictions:

In millions	2014		2013			2012
United States	$	162.2	$	320.1		$	317.9
Non-U.S.	105.7		(96.7		)	48.8
Total	$	267.9	$	223.4		$	366.7

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The components of the Provision for income taxes for the years ended December 31 were as follows:

In millions	2014		2013		2012
Current tax expense (benefit):
United States	$	52.9	$	118.5	$	121.3
Non-U.S.	14.1		37.6		18.6
Total:	67.0		156.1		139.9
Deferred tax expense (benefit):
United States	15.6		7.7		(3.7		)
Non-U.S.	1.6		11.2		0.5
Total:	17.2		18.9		(3.2		)
Total tax expense (benefit):
United States	68.5		126.2		117.6
Non-U.S.	15.7		48.8		19.1
Total	$	84.2	$	175.0	$	136.7

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

The Provision for income taxes differs from the amount of income taxes determined by applying the applicable U.S. statutory income tax rate to pretax income, as a result of the following differences:

	Percent of pretax income
	2014		2013		2012
Statutory U.S. rate	35.0	%	35.0	%	35.0	%
Increase (decrease) in rates resulting from:
Non-U.S. tax rate differential	(11.2	)	(3.0	)	(0.5	)
State and local income taxes (1)	3.0		5.5		2.8
Valuation allowances	1.6		16.0		0.5
Goodwill impairment charge	—		18.2		—
Reserves for uncertain tax positions	(2.1	)	4.4		0.6
Tax on unremitted earnings	0.3		3.3		—
Tax on remitted earnings	2.5		—		—
Venezuela devaluation	4.0		—		—
Production incentives	(2.4	)	(2.2	)	—
Other adjustments	0.7		1.1		(1.1	)
Effective tax rate	31.4	%	78.3	%	37.3	%

(1) Net of changes in valuation allowances

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

At December 31, a summary of the deferred tax accounts were as follows:

In millions	2014			2013
Deferred tax assets:
Inventory and accounts receivable	$	10.8		$	13.6
Fixed assets and intangibles	22.3			55.5
Postemployment and other benefit liabilities	63.3			51.9
Other reserves and accruals	11.1			8.5
Net operating losses and credit carryforwards	45.2			35.0
Investment and other asset basis differences	1.3			—
Other	1.0			0.3
Gross deferred tax assets	155.0			164.8
Less: deferred tax valuation allowances	(50.8		)	(46.9		)
Deferred tax assets net of valuation allowances	$	104.2		$	117.9
Deferred tax liabilities:
Fixed assets and intangibles	$	(34.6	)	$	(33.4	)
Unremitted earnings of foreign subsidiaries	(0.8		)	(7.5		)
Other reserves and accruals	—			(0.5		)
Other	(2.2		)	(0.9		)
Gross deferred tax liabilities	(37.6		)	(42.3		)
Net deferred tax assets	$	66.6		$	75.6

Summary of Tax Credit Carryforwards [Table Text Block]

At December 31, 2014, the Company had the following operating loss and tax credit carryforwards available to offset taxable income in prior and future years:

In millions	Amount		Expiration Period
U.S. Federal net operating loss carryforwards	$	15.4	2027 & 2028
U.S. Federal credit carryforwards	20.6		2024-Unlimited
U.S. State net operating loss carryforwards	14.7		2015-2033
Non-U.S. net operating loss carryforwards	90.9		2015-Unlimited

Summary of Valuation Allowance

Activity associated with the Company’s valuation allowance is as follows:

In millions	2014			2013			2012
Beginning balance	$	46.9		$	5.8		$	9.7
Increase to valuation allowance	28.0			44.9			1.8
Decrease to valuation allowance	(15.8		)	(0.5		)	(0.1		)
Foreign exchange translation	(1.7		)	—			—
Net equity with parent	—			(4.0		)	(5.9		)
Accumulated other comprehensive income (loss)	(6.6		)	0.7			0.3
Ending balance	$	50.8		$	46.9		$	5.8

Summary of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

In millions	2014			2013			2012
Beginning balance	$	40.6		$	63.6		$	63.0
Additions based on tax positions related to the current year	3.1			9.0			1.7
Net equity adjustment with former parent	—			(25.4		)	—
Additions based on tax positions related to prior years	11.8			0.5			4.3
Reductions based on tax positions related to prior years	(23.9		)	(6.9		)	(3.7		)
Reductions related to settlements with tax authorities	(0.7		)	—			(1.6		)
Reductions related to lapses of statute of limitations	(2.7		)	(0.7		)	—
Translation (gain)/loss	(2.8		)	0.5			(0.1		)
Ending balance	$	25.4		$	40.6		$	63.6

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Share-Based Compensation (Changes in Options Outstanding Under the Plans) (Details) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Weighted average remaining life, Exercisable, in years	3 years 6 months
Share-based Compensation Arrangement by Share-based Payment Award, Options, Other Increases (Decreases) in Period		1,669,911	(113,460)
Share-based Compensation Arrangements by Share-based Payment Award, Options, Other Share Increase (Decrease) in Period, Weighted Average Exercise Price		$ 0.00	$ 35.00
Stock Options [Member]
Shares subject to options, Beginning balance	2,482,056	1,102,129	1,279,557
Shares subject to options, Granted	188,817	321,808	144,051
Shares subject to options, Exercised	(683,383)	(611,792)	(194,860)
Shares subject to options, Cancelled	(25,462)		(13,159)
Shares subject to options, Ending balance	1,962,028	2,482,056	1,102,129
Shares subject to options, Exercisable	1,445,106
Weighted average exercise price, Beginning balance, in dollars per share	25.21	$ 37.77	$ 35.49
Weighted average exercise price, Granted, in dollars per share	54.07	$ 47.35	$ 40.63
Weighted average exercise price, Exercised, in dollars per share	24.18	$ 33.78	$ 26.18
Weighted average exercise price, Cancelled, in dollars per share	43.89		$ 42.65
Weighted average exercise price, Ending Balance, in dollars per share	28.11	$ 25.21	$ 37.77
Weighted average exercise price, Exercisable, in dollars per share	23.17
Aggregate intrinsic value, Outstanding, in USD	53.7
Aggregate intrinsic value, Exercisable, in USD	46.7
Weighted average remaining life, Outstanding, in years	4 years 9 months
Weighted average remaining life, Exercisable, in years	3 years 6 months

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Divestitures and Discontinued Operations (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Discontinued operations, net of tax	$ (11.1)	$ (3.6)	$ (4.2)
Gain (loss) on sale/asset impairment	0	(137.6)	0
EMEIA Divestiture UK Door [Member]
Discontinued operations, net of tax	(10.7)	(2.8)	(1.5)
Gain (loss) on sale, net of tax	(7.6)	0	0
Other Divestitures [Member]
Discontinued operations, net of tax	$ 0.4	$ 0.8	$ 2.7

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Description of Company

12 Months Ended

Dec. 31, 2014

Description Of Company

Description of Company

DESCRIPTION OF COMPANY AND BASIS OF PRESENTATION

Allegion plc, an Irish public limited company, and its consolidated subsidiaries ("Allegion" or "the Company") is a leading global company that creates peace of mind by pioneering safety and security. The Company offers an extensive and versatile portfolio of mechanical and electronic security products across a range of market-leading brands including CISA®, Interflex®, LCN®, Schlage® and Von Duprin®.

On December 1, 2013, Allegion became a stand-alone public company after Ingersoll-Rand plc ("Ingersoll Rand") completed the separation of its commercial and residential security businesses (the "Business") from the rest of Ingersoll Rand, via the transfer of the Business from Ingersoll Rand to Allegion and the issuance by Allegion of ordinary shares directly to Ingersoll Rand’s shareholders (the "Spin-off"). As part of the Spin-off, Allegion issued one ordinary share for every three ordinary shares of Ingersoll Rand held of record as of 5:00 p.m., New York City time on November 22, 2013. Allegion ordinary shares trade under the symbol ''ALLE'' on the New York Stock Exchange. Allegion issued a total of approximately 96.0 million ordinary shares in the Spin-off.

Basis of presentation: The Combined and Consolidated Financial Statements were prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") as defined by the Financial Accounting Standards Board ("FASB") within the FASB Accounting Standards Codification ("ASC").

Prior to the Spin-off, the Company’s combined and consolidated financial statements were prepared on a stand-alone basis derived from the consolidated financial statements and accounting records of Ingersoll Rand and included allocations for direct costs and indirect costs attributable to the operations of the Company. The Company’s financial statements for the year ended December 31, 2012 are on a combined basis and presented as carve-out financial statements as the Company was not a separate consolidated company prior to the Spin-off. Subsequent to the Spin-off, the Company’s financial statements as of and for the years ended December 31, 2014 and 2013 are presented on a consolidated basis as the Company became a separate consolidated group.

The Company’s Combined and Consolidated Statements of Comprehensive Income for the years ended December 31, 2013 and 2012 include allocations of general corporate expenses for certain support functions that were provided on a centralized basis by Ingersoll Rand, such as expenses related to finance, human resources, information technology, facilities, and legal, among others. The Company used certain underlying activity drivers as a basis of allocation including revenue, assets, head-count utilization and other factors. Note 19 provides information regarding general overhead allocations. The Company believes such allocations are reasonable, however these Combined and Consolidated Financial Statements do not purport to reflect what the results of operations, comprehensive income (loss), financial position, equity or cash flows would have been had the Company operated as a stand-alone public company for all periods presented.

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Share-Based Compensation (Compensation Expenses) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 14.0	$ 8.4	$ 6.3
Tax benefit	(4.7)	(3.2)	(2.4)
Share-based compensation expense, net of tax	9.3	5.2	3.9
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	3.3	2.4	1.7
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	6.0	3.3	2.6
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	3.9	1.0	1.5
Deferred Compensation, Share-based Payments [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 0.8	$ 1.7	$ 0.5

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Inventories (Schedule of Major Classes of Inventory) (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net earnings	$ 172.6	$ 44.8	$ 225.8
Deferred Income Tax Expense (Benefit)	17.2	17.7	(3.6)
Increase (Decrease) in Inventories	3.4	3.9	(1.2)
Retained earnings	142.4	1.1
Cost of Goods and Services Sold	1,264.6	1,208.1	1,197.7
Operating Income (Loss)	326.3	240.8	371.3
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest	267.9	223.4	366.7
Benefit (provision) for income taxes	84.2	175.0	136.7
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	183.7	48.4	230.0
Inventory Adjustments	33.3
Raw materials	54.8	68.4
Work-in-process	32.1	34.5
Finished goods	92.6	84.6
Total	179.5	187.5
Deferred Income Taxes and Other Tax Receivable, Current	36.6	38.1
Income (Loss) from Continuing Operations, Per Basic Share	$ 1.94	$ 0.37	$ 2.34
Inventories [Member]
Net earnings		1.4	0.5
Deferred Income Tax Expense (Benefit)		0.8	0.3
Increase (Decrease) in Inventories		(2.2)	(0.8)
Retained earnings		0.7
Cost of Goods and Services Sold		(2.2)	(0.8)
Operating Income (Loss)		2.2	0.8
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest		2.2	0.8
Benefit (provision) for income taxes		0.8	0.3
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest		1.4	0.5
Total		33.8
Deferred Income Taxes and Other Tax Receivable, Current		(13.1)
Income (Loss) from Continuing Operations, Per Basic Share		$ 0.01	$ 0.01
As reported before change to FIFO [Member]
Net earnings		43.4	225.2
Deferred Income Tax Expense (Benefit)		16.9	(4.2)
Increase (Decrease) in Inventories		6.1	0.3
Retained earnings		0.4
Cost of Goods and Services Sold		1,210.3	1,198.6
Operating Income (Loss)		238.6	370.5
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest		221.2	365.8
Benefit (provision) for income taxes		174.2	136.4
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest		47.0	229.4
Total		153.7
Deferred Income Taxes and Other Tax Receivable, Current		$ 51.2
Income (Loss) from Continuing Operations, Per Basic Share		$ 0.36	$ 2.33

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Share-Based Compensation Share Based Compensation (Performance Shares Rollforward) (Details) (Performance Shares [Member], USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding and unvested, beginning balance, in shares	62,883	142,456	254,122
Weighted average grant date fair value, beginning of Period, in dollars per share	$ 29.27	$ 39.13	$ 27.10
Share based compensation (SARs or Performance shares), granted, in shares	110,387	75,172	37,746
Weighted average grant date fair value, granted, in dollars per share	$ 72.70	$ 34.90	$ 50.75
Performance shares, vested in period, in shares		(34,701)
Performance shares, vested, weighted average grant date fair value		$ 34.94
Share based compensation (SARs or Performance shares), cancelled, in shares	(12,138)	(120,044)	(126,982)
Weighted average grant date fair value, cancelled, in dollars per share	$ 50.96		$ 17.80
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Period Increase (Decrease)			(22,430)
Outstanding and unvested, ending balance, in shares	161,132	62,883	142,456
Weighted average grant date fair value, end of Period, in dollars per share	$ 57.39	$ 29.27	$ 39.13
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Other, Weighted Average Grant Date Fair Value		$ 0.00	$ 39.13

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Goodwill (Tables)

12 Months Ended

Dec. 31, 2014

Goodwill Abstract

Changes in Goodwill Carrying Amounts

The changes in the carrying amount of Goodwill are as follows:

In millions	Americas			EMEIA			Asia Pacific			Total
December 31, 2012 (gross)	$	339.0		$	536.7		$	110.1		$	985.8
Acquisitions and adjustments *	23.8			—			(23.8		)	—
Currency translation	—			3.3			1.3			4.6
December 31, 2013 (gross)	362.8			540.0			87.6			990.4
Acquisitions	2.3			—			10.3			12.6
Currency translation	(0.3		)	(6.9		)	(4.3		)	(11.5		)
December 31, 2014 (gross)	364.8			533.1			93.6			991.5
Accumulated impairment **	—			(478.6		)	(6.9		)	(485.5		)
Goodwill (net)	$	364.8		$	54.5		$	86.7		$	506.0

* During 2013, the Company reclassified goodwill related to a product line transfer from the Asia Pacific segment to the Americas segment.

** Accumulated impairment consists of charges of $137.6 million (EMEIA), $341.0 million (EMEIA) and $6.9 million (Asia Pacific) recorded in 2013, 2008 and 2007, respectively, as a result of the Company's impairment testing. During the third quarter of 2013 the Company performed an interim impairment test on goodwill of its EMEIA reporting unit. The results of the third quarter 2013 interim impairment test indicated that the estimated fair value of the EMEIA reporting unit was less than its carrying value; consequently, the Company completed the second step of the interim impairment test, which resulted in a $137.6 million non-cash pre-tax goodwill impairment charge.

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Guarantor Financial Information (Condensed Consolidating Statement of Cash Flows) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net cash (used in) provided by continuing operating activities	$ 259.0	$ 229.3	$ 273.7
Net cash (used in) provided by discontinued operating activities	(3.1)	(5.4)	(4.5)
Net cash provided by (used in) operating activities	255.9	223.9	269.2
Capital expenditures	(51.5)	(20.2)	(19.6)
Acquisition of businesses, net of cash acquired	(25.2)	0	0
Proceeds from sale of property, plant and equipment	0.5	41.7	2.1
Capital Contribution to Subsidiaries	0	0
Proceeds from business dispositions, net of cash sold	1.2	0	0
Other	40.7	40.2
Net cash provided by (used in) investing activities	(34.8)	(18.7)	(17.5)
Net proceeds (repayments) in debt	(78.0)	1,338.9	(1.1)
Debt issuance costs	(5.8)	(29.1)	0
Excess tax benefit from share based compensation	4.5	0	0
Net inter-company (payments) proceeds	0
Dividends paid to ordinary shareholders		0
Proceeds from Contributions from Parent	0	0
Dividends paid to noncontrolling interests	(4.5)	(5.2)	(5.2)
Payments of Dividends	0
Acquisition/divestiture of noncontrolling Interest		(5.2)	(5.2)
Repurchase of ordinary shares	(50.3)	0	0
Other, net	18.6	1.3
Net cash (used in) provided by continuing financing activities	(150.0)	(292.4)	(317.9)
Effect of exchange rate changes on cash and cash equivalents	(8.0)	(2.9)	6.9
Net (decrease) increase in cash and cash equivalents	63.1	(90.1)	(59.3)
Cash and cash equivalents - beginning of period	227.4	317.5	376.8
Cash and cash equivalents - end of period	290.5	227.4	317.5
Proceeds from Divestiture of Businesses	1.2
Payments of Ordinary Dividends, Common Stock	(30.0)	0	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates	0	(1,598.3)	(311.6)
Parent Company [Member]
Net cash (used in) provided by continuing operating activities	105.4	0.1	0
Net cash (used in) provided by discontinued operating activities	0	0	0
Net cash provided by (used in) operating activities	105.4	0.1	0
Capital expenditures	0	0	0
Acquisition of businesses, net of cash acquired	0
Proceeds from sale of property, plant and equipment		0	0
Capital Contribution to Subsidiaries	(975.0)	0
Other	0	0
Net cash provided by (used in) investing activities	(975.0)	0	0
Net proceeds (repayments) in debt	962.8	0	0
Debt issuance costs	(5.8)	0
Net inter-company (payments) proceeds	0
Dividends paid to ordinary shareholders		0
Proceeds from Contributions from Parent	0	0
Dividends paid to noncontrolling interests	0
Payments of Dividends	0
Acquisition/divestiture of noncontrolling Interest		0	0
Repurchase of ordinary shares	(50.3)
Other, net	18.6	1.3
Net cash (used in) provided by continuing financing activities	895.3	1.3	0
Effect of exchange rate changes on cash and cash equivalents	0	0	0
Net (decrease) increase in cash and cash equivalents	25.7	1.4	0
Cash and cash equivalents - beginning of period	1.4	0	0
Cash and cash equivalents - end of period	27.1	1.4	0
Proceeds from Divestiture of Businesses	0
Payments of Ordinary Dividends, Common Stock	(30.0)
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates		0	0
Other Subsidiaries [Member]
Net cash (used in) provided by continuing operating activities	1,172.4	(117.6)	83.0
Net cash (used in) provided by discontinued operating activities	(3.1)	(5.4)	(6.0)
Net cash provided by (used in) operating activities	1,169.3	(123.0)	77.0
Capital expenditures	(9.9)	(7.7)	(3.6)
Acquisition of businesses, net of cash acquired	(25.2)
Proceeds from sale of property, plant and equipment		37.2	2.1
Capital Contribution to Subsidiaries	(160.7)	(5,997.8)
Other	40.2	40.2
Net cash provided by (used in) investing activities	(154.4)	(6,008.5)	(1.5)
Net proceeds (repayments) in debt	(40.8)	38.9	(1.0)
Debt issuance costs	0	0
Net inter-company (payments) proceeds	(1,778.2)
Dividends paid to ordinary shareholders		3,127.4
Proceeds from Contributions from Parent	1,103.0	2,847.1
Dividends paid to noncontrolling interests	(4.5)
Payments of Dividends	297.0
Acquisition/divestiture of noncontrolling Interest		(5.2)	(5.2)
Repurchase of ordinary shares	0
Other, net	0	0
Net cash (used in) provided by continuing financing activities	(1,017.5)	5,965.7	(134.7)
Effect of exchange rate changes on cash and cash equivalents	(8.0)	(2.9)	6.9
Net (decrease) increase in cash and cash equivalents	(10.6)	(168.6)	(52.3)
Cash and cash equivalents - beginning of period	147.2	315.8	368.1
Cash and cash equivalents - end of period	136.6	147.2	315.8
Proceeds from Divestiture of Businesses	1.2
Payments of Ordinary Dividends, Common Stock	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates		42.5	128.5
Consolidating Adjustments [Member]
Net cash (used in) provided by continuing operating activities	(738.5)	0	0
Net cash (used in) provided by discontinued operating activities	0	0	0
Net cash provided by (used in) operating activities	(738.5)	0	0
Capital expenditures	0	0	0
Acquisition of businesses, net of cash acquired	0
Proceeds from sale of property, plant and equipment		0	0
Capital Contribution to Subsidiaries	1,270.7	8,844.9
Other	0	0
Net cash provided by (used in) investing activities	1,270.7	8,844.9	0
Net proceeds (repayments) in debt	0	0	0
Debt issuance costs	0	0
Net inter-company (payments) proceeds	0
Dividends paid to ordinary shareholders		0
Proceeds from Contributions from Parent	(1,270.7)	(8,844.9)
Dividends paid to noncontrolling interests	0
Payments of Dividends	(738.5)
Acquisition/divestiture of noncontrolling Interest		0	0
Repurchase of ordinary shares	0
Other, net	0	0
Net cash (used in) provided by continuing financing activities	(532.2)	(8,844.9)	0
Effect of exchange rate changes on cash and cash equivalents	0	0	0
Net (decrease) increase in cash and cash equivalents	0	0	0
Cash and cash equivalents - beginning of period	0	0	0
Cash and cash equivalents - end of period	0	0	0
Proceeds from Divestiture of Businesses	0
Payments of Ordinary Dividends, Common Stock	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates		0	0
Subsidiary Issuer [Member]
Net cash (used in) provided by continuing operating activities	(847.5)	0	0
Net cash (used in) provided by discontinued operating activities	0	0	0
Net cash provided by (used in) operating activities	(847.5)	0	0
Capital expenditures	0	0	0
Acquisition of businesses, net of cash acquired	0
Proceeds from sale of property, plant and equipment		0	0
Capital Contribution to Subsidiaries	(135.0)	(2,384.7)
Other	0	0
Net cash provided by (used in) investing activities	(135.0)	(2,384.7)	0
Net proceeds (repayments) in debt	(1,000.0)	1,300.0	0
Debt issuance costs	0	29.1
Net inter-company (payments) proceeds	1,822.3
Dividends paid to ordinary shareholders		619.0
Proceeds from Contributions from Parent	160.7	1,769.0
Dividends paid to noncontrolling interests	0
Payments of Dividends	0
Acquisition/divestiture of noncontrolling Interest		0	0
Repurchase of ordinary shares	0
Other, net	0	0
Net cash (used in) provided by continuing financing activities	983.0	2,384.7	0
Effect of exchange rate changes on cash and cash equivalents	0	0	0
Net (decrease) increase in cash and cash equivalents	0.5	0	0
Cash and cash equivalents - beginning of period	0	0	0
Cash and cash equivalents - end of period	0.5	0	0
Proceeds from Divestiture of Businesses	0
Payments of Ordinary Dividends, Common Stock	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates		1,274.2	0
Guarantor Subsidiaries [Member]
Net cash (used in) provided by continuing operating activities	567.2	346.8	190.7
Net cash (used in) provided by discontinued operating activities	0	0	1.5
Net cash provided by (used in) operating activities	567.2	346.8	192.2
Capital expenditures	(41.6)	(12.5)	(16.0)
Acquisition of businesses, net of cash acquired	0
Proceeds from sale of property, plant and equipment		4.5	0
Capital Contribution to Subsidiaries	0	(462.4)
Other	0.5	0
Net cash provided by (used in) investing activities	(41.1)	(470.4)	(16.0)
Net proceeds (repayments) in debt	0	0	(0.1)
Debt issuance costs	0	0
Net inter-company (payments) proceeds	(44.1)
Dividends paid to ordinary shareholders		(3,746.4)
Proceeds from Contributions from Parent	7.0	4,228.7
Dividends paid to noncontrolling interests	0
Payments of Dividends	441.5
Acquisition/divestiture of noncontrolling Interest		0	0
Repurchase of ordinary shares	0
Other, net	0	0
Net cash (used in) provided by continuing financing activities	(478.6)	200.7	(183.2)
Effect of exchange rate changes on cash and cash equivalents	0	0	0
Net (decrease) increase in cash and cash equivalents	47.5	77.1	(7.0)
Cash and cash equivalents - beginning of period	78.8	1.7	8.7
Cash and cash equivalents - end of period	126.3	78.8	1.7
Proceeds from Divestiture of Businesses	0
Payments of Ordinary Dividends, Common Stock	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates		$ 281.6	$ 183.1

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Debt and Credit Facilities (Narrative) (Details) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Debt and Capital Lease Obligations	$ 1,800,000	$ 43,900,000
Short-term borrowings and current maturities of long-term debt	1,264,600,000	1,343,900,000
Short-term borrowings and current maturities of long-term debt	49,600,000	71,900,000
Derivative, Notional Amount	68,500,000	209,600,000
Write off of Deferred Debt Issuance Cost	4,500,000	0	0
Long-term Debt, Excluding Current Maturities	1,215,000,000	1,272,000,000
Secured Debt [Member]
Short-term borrowings and current maturities of long-term debt	1,262,800,000
Leverage Ratio Requirement to end of 2014 [Domain]
Debt Instrument, Covenant Description	4.00
Leverage Ratio Requirement as of 2015 [Domain]
Debt Instrument, Covenant Description	3.75
Ratio Requirement to end of 2014 [Domain]
Debt Instrument, Covenant Description	3.50
Ratio Requirement Beginning 2015 [Domain]
Debt Instrument, Covenant Description	4.00
Subsidiaries [Member]
Letters of Credit Outstanding, Amount	28,500,000
Subsidiaries [Member] | Secured Debt [Member]
Weighted average interest rate on short term borrowings and current maturities of long term debt	2.00%
Debt instrument, face amount	1,000,000,000.0
Subsidiaries [Member] | Senior Notes [Member]
Weighted average interest rate on short term borrowings and current maturities of long term debt	5.75%
Subsidiaries [Member] | Term Loan A Facility Due 2018 [Member] | Secured Debt [Member]
Long-term Debt	0	500,000,000
Debt instrument, face amount	500,000,000
Subsidiaries [Member] | Term Loan B Facility Due 2020 [Member] | Secured Debt [Member]
Long-term Debt	962,800,000	0
Debt instrument, face amount	975,000,000.0
Subsidiaries [Member] | Term Loan B Facility Due 2020 [Member] | Secured Debt [Member]
Long-term Debt	0	500,000,000
Subsidiaries [Member] | Five Point Seven Five Percent Senior Notes Due 2021 [Member] | Senior Notes [Member]
Long-term Debt	300,000,000	300,000,000
Debt instrument, face amount	300,000,000
Debt instrument, interest rate	5.75%
Interest Rate Swap [Member]
Debt instrument, face amount	300,000,000
Interest Rate Swap Expiration September 2017 [Member]
Derivative, Notional Amount	275,000,000
Interest Rate Swap Expiration December 2016 [Member]
Derivative, Notional Amount	25,000,000
Revolving Credit Facility [Member] | Subsidiaries [Member]
Line of credit facility, maximum borrowing capacity	$ 500,000,000.0
London Interbank Offered Rate (LIBOR) [Member] | Subsidiaries [Member] | Term Loan A Facility Due 2018 [Member] | Secured Debt [Member]
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Minimum	1.50%
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Maximum	2.00%
Debt Instrument, Basis Spread on Variable Rate	1.75%

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Divestitures and Discontinued Operations

12 Months Ended

Dec. 31, 2014

Discontinued Operation, Income (Loss) from Discontinued Operation Disclosures [Abstract]

Divestitures and Discontinued Operations

DISCONTINUED OPERATIONS

EMEIA Divestiture

In the second quarter of 2014 the Company committed to a plan to sell its United Kingdom (UK) Door businesses to an unrelated third party. The transaction closed in the third quarter of 2014. The businesses sold include the Dor-o-Matic™ branded automatic door business, the Martin Roberts™ branded performance steel doorset business and the UK service organization. Historical results of the component, which were previously reported as part of the EMEIA segment, have been reclassified to discontinued operations for all periods presented. In conjunction with the plan, we recorded a $7.6 million charge to write the carrying value of the assets to be sold down to their estimated fair value.

Net revenues and after-tax earnings of the component for the years ended December 31 were as follows:

In millions	2014			2013			2012
Net revenues	$	16.1		$	23.9		$	23.3
Pre-tax loss from operations	$	(3.1	)	$	(2.8	)	$	(1.9	)
Loss on disposal	(7.6		)	—			—
Tax benefit	—			—			0.4
Discontinued operations, net of tax	$	(10.7	)	$	(2.8	)	$	(1.5	)

Other divestitures

Other discontinued operations recognized a loss of $0.4 million, $0.8 million and $2.7 million for the years ended December 31, 2014, 2013 and 2012, respectively. These losses were mainly related to lease expense and other miscellaneous expenses from previously sold businesses.

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Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2014

Intangible Assets Abstract

Schedule Of Intangible Asset Excluding Goodwill [Table Text Block]

The following table sets forth the gross amount and related accumulated amortization of the Company’s intangible assets at December 31:

	2014							2013
In millions	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Completed technologies/patents	$	27.8	$	(23.2	)	$	4.6	$	26.4	$	(23.6	)	$	2.8
Customer relationships	94.7		(37.0		)	57.7		107.8		(38.1		)	69.7
Trademarks (finite-lived)	89.3		(36.0		)	53.3		101.4		(36.8		)	64.6
Other	10.8		(10.8		)	—		13.4		(13.4		)	—
Total finite-lived intangible assets	222.6		$	(107.0	)	115.6		249.0		$	(111.9	)	137.1
Trademarks (indefinite-lived)	10.1					10.1		9.0					9.0
Total	$	232.7				$	125.7	$	258.0				$	146.1

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Share-Based Compensation (RSU Activity During the Year) (Details) (Restricted Stock Units (RSUs) [Member], USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Restricted Stock Units (RSUs) [Member]
Outstanding and unvested, beginning balance, in shares	378,217	144,053	166,069
RSUs, granted, in shares	101,654	195,590	68,429
RSUs, vested, in shares	(149,392)	(71,776)	(72,300)
RSUs, cancelled, in shares	(5,319)		(7,931)
Outstanding and unvested, ending balance, in shares	325,160	378,217	144,053
Weighted average grant date fair value, beginning of Period, in dollars per share	$ 33.59	$ 40.02	$ 35.11
Weighted average grant date fair value, granted, in dollars per share	$ 54.29	$ 48.42	$ 40.70
Weighted average grant date fair value, vested, in dollars per share	$ 28.68	$ 38.94	$ 29.99
Weighted average grant date fair value, cancelled, in dollars per share	$ 43.66		$ 41.47
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Other		110,350	(10,214)
Weighted average grant date fair value, end of Period, in dollars per share	$ 42.15	$ 33.59	$ 40.02
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Other, Weighted Average Grant Date Fair Value		$ 0.00	$ 34.73

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Commitments and Contingencies (Standard Product Warranty Liability) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Balance at beginning of period	$ 9.7	$ 9.5
Reductions for payments	6.5	5.7
Accruals for warranties issued during the current period	6.1	5.0
Changes to accruals related to preexisting warranties	1.2	0.9
Translation	(0.2)	0
Balance at end of period	$ 10.3	$ 9.7

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Related Party Transactions

12 Months Ended

Dec. 31, 2014

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

RELATED PARTY TRANSACTIONS

Ingersoll Rand provided the Company’s subsidiaries with certain centrally managed services and corporate function support in the areas of finance, information technology, employee benefits, legal, human resources, integrated supply chain and marketing through November 30, 2013. In addition, as discussed in Note 10, certain employees of the Company’s subsidiaries were eligible to participate in certain Ingersoll Rand employee benefit plans that were sponsored and administered by Ingersoll Rand or its affiliates.

The Company’s subsidiaries use of these services and its participation in these employee benefit plans generated both direct and indirect costs. These direct and indirect costs and benefits relating to the services and benefit plans were charged to the Company’s subsidiaries and were included in Cost of goods sold and Selling and administrative expenses.

Costs associated with centrally managed services were billed to the Company’s subsidiaries on the basis of direct usage. Historically, Ingersoll Rand corporate allocations were generally allocated to the Company’s subsidiaries on the basis of revenue, assets, payroll expense, and selling and administrative expenses. Incremental corporate costs were allocated to the Company’s subsidiaries on a similar basis. Costs were allocated to the Company’s subsidiaries using allocation methods that management believed were reasonable.

The Combined and Consolidated Financial Statements reflect these direct and indirect costs through a corporate overhead allocation. For the years ended December 31, these allocated Ingersoll Rand costs amount to:

	2013		2012
Centrally managed service costs	$	104.6	$	94.8
Historical Ingersoll Rand corporate overhead allocations	36.6		53.5
Incremental corporate costs not previously allocated to businesses	33.3		28.4
Total	$	174.5	$	176.7

The Company entered into a Transition Services Agreement with Ingersoll Rand, under which Ingersoll Rand provides certain services for a limited time after the Spin-off to help ensure an orderly transition. Under the Transition Services Agreement, the Company receives certain services, including services for information technology, human resources and labor and finance and accounting support as well as other corporate support services, from Ingersoll Rand and/or third party providers at specified prices. The Company paid $2.9 million in 2014 and $0.5 million in the fourth quarter of 2013 to Ingersoll Rand for services provided under transition services agreements.

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Debt and Credit Facilities (Long-Term Debt Maturities and Repayment of Principle) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
2013	$ 48.8
2014	48.8
2015	97.5
2016	97.5
2017	670.2
Long-term Debt, Maturities, Repayments of Principal after Year Five	300.0
Debt and Capital Lease Obligations	1,264.6	1,343.9
Secured Debt [Member]
Debt and Capital Lease Obligations	$ 1,262.8

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Income Taxes (Schedule of Reconciliation Between Statutory and Effective Tax Rate) (Details)	12 Months Ended
	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Statutory U.S. rate	35.00%		35.00%		35.00%
Non US tax rate differential	(11.20%)		(3.00%)		(0.50%)
State and local income taxes	3.00%	[1]	5.50%	[1]	2.80%	[1]
Valuation allowances	1.60%		16.00%		0.50%
Non-deductible goodwill write off	0.00%		18.20%		0.00%
Reserves for uncertain tax positions	(2.10%)		4.40%		0.60%
Effective Income Tax Rate Reconciliation, Deduction, Extraterritorial Income Exclusion, Percent	0.30%		3.30%		0.00%
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Percent	2.50%		0.00%		0.00%
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Other, Percent	4.00%		0.00%		0.00%
Effective Income Tax Rate Reconciliation, Deduction, Qualified Production Activity, Percent	(2.40%)		(2.20%)		0.00%
Other adjustments	0.70%		1.10%		(1.10%)
Effective tax rate	31.40%		78.30%		37.30%

[1] Net of changes in valuation allowances

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Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A summary of significant accounting policies used in the preparation of the accompanying Combined and Consolidated Financial Statements follows:

Principles of Consolidation: The Combined and Consolidated Financial Statements include all majority-owned subsidiaries of the Company. A noncontrolling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes Noncontrolling interest as a component of Total equity in the Consolidated Balance Sheet and the Net earnings attributable to noncontrolling interests are presented as an adjustment from Net earnings used to arrive at Net earnings attributable to Allegion in the Combined and Consolidated Statement of Comprehensive Income.

Partially-owned equity affiliates generally represent 20-50% ownership interests in investments and where we demonstrate significant influence in investments, but do not have a controlling financial interest. Partially-owned equity affiliates are accounted for under the equity method. The Company is also required to consolidate variable interest entities in which it bears a majority of the risk to the entities’ potential losses or stands to gain from a majority of the entities’ expected returns. Transactions between the Company and Ingersoll Rand and its affiliates are herein referred to as "related party" or "affiliated" transactions. The assets, liabilities, results of operations and cash flows of all discontinued operations have been separately reported as discontinued operations.

Use of Estimates:  The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors including the facts and circumstances available at the time the estimates are made, historical experience, risk of loss, general economic conditions and trends, and the assessment of the probable future outcome. Some of the more significant estimates include accounting for doubtful accounts, useful lives of property, plant and equipment and intangible assets, purchase price allocations of acquired businesses, valuation of assets including goodwill and other intangible assets, product warranties, sales allowances, pension plans, postretirement benefits other than pensions, taxes, environmental costs, product liability and other contingencies. Actual results could differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of changes, if any, are reflected in the Combined and Consolidated Statement of Comprehensive Income in the period that they are determined.

Currency Translation:  Assets and liabilities where the functional currency is not the U.S. dollar, have been translated at year-end exchange rates, and income and expense accounts have been translated using average exchange rates throughout the year. Adjustments resulting from the process of translating an entity’s financial statements into the U.S. dollar have been recorded in the Equity section of the Consolidated Balance Sheet within Accumulated other comprehensive income (loss).

Cash and Cash Equivalents:  Cash and cash equivalents include cash on hand, demand deposits and all highly liquid investments with original maturities at the time of purchase of three months or less.

Marketable Securities:  The Company has classified its marketable securities as available-for-sale in accordance with GAAP. Available-for-sale marketable securities are accounted for at fair value, with the unrealized gain or loss, less applicable deferred income taxes, recorded within Accumulated other comprehensive income (loss). If any of the Company’s marketable securities experience other than temporary declines in value as defined by GAAP, a loss is recorded in the Combined and Consolidated Statement of Comprehensive Income.

Inventories: Inventories are stated at the lower of cost or net realizable value. In the fourth quarter of 2014, the Company changed its method of inventory costing for certain inventory in its Americas operating segment to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method. The Company's other operating segments also determine costs using the FIFO method. The Company believes that the FIFO method is preferable as it results in uniformity across the Company’s global operations, aligns with how the Company internally manages inventory, provides better matching of revenues and expenses and improves comparability with the Company’s peers. The impact of this change in accounting principle on the financial statements for each period presented is further explained in Note 4.

Allowance for Doubtful Accounts:  The Company has provided an allowance for doubtful accounts reserve, which represents the best estimate of probable loss inherent in the Company’s account receivables portfolio. Changes in the financial condition of customers or other unanticipated events, which may affect their ability to make payments, could result in charges for additional allowances exceeding the Company's estimates. The Company's estimates are influenced by the following considerations: a continuing credit evaluation of our customers’ financial condition; trade accounts receivable aging; and historical loss experience. The Company reserved $8.9 million and $5.5 million for doubtful accounts as of December 31, 2014 and 2013, respectively.

Property, Plant and Equipment:  Property, plant and equipment are stated at cost, less accumulated depreciation. Assets placed in service are recorded at cost and depreciated using the straight-line method over the estimated useful life of the asset except for leasehold improvements, which are depreciated over the shorter of their economic useful life or their lease term. The range of useful lives used to depreciate property, plant and equipment is as follows:

Buildings	10	to	50	years
Machinery and equipment	2	to	12	years
Software	2	to	7	years

Repair and maintenance costs that do not extend the useful life of the asset are charged against earnings as incurred. Major replacements and significant improvements that increase asset values and extend useful lives are capitalized.

The Company assesses the recoverability of the carrying value of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount of an asset to the future net undiscounted cash flows expected to be generated by the asset. If the undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized for the amount by which the carrying value of the asset exceeds the fair value of the assets.

Goodwill and Intangible Assets:  The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded.

In accordance with GAAP, goodwill and other indefinite-lived intangible assets are tested and reviewed annually for impairment during the fourth quarter or whenever there is a significant change in events or circumstances that indicate that the fair value of the asset is more likely than not less than the carrying amount of the asset.

Recoverability of goodwill is measured at the reporting unit level and begins with a qualitative assessment to determine if it is more likely than not that the fair value of each reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test prescribed by U.S. GAAP. For those reporting units where it is required, the first step compares the carrying amount of the reporting unit to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired and the second step of the impairment test is not necessary. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a second step is performed, wherein the reporting unit's carrying value of goodwill is compared to the implied fair value of goodwill. To the extent that the carrying value exceeds the implied fair value, impairment exists and must be recognized.

The calculation of estimated fair value is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being equally weighted in the calculation. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The estimated fair value of the reporting unit is allocated to all of the assets and liabilities of the reporting unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit, as determined in the first step of the goodwill impairment test, was the price paid to acquire that reporting unit.

Recoverability of other intangible assets with indefinite useful lives (i.e. Trademarks) is first assessed using a qualitative assessment to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired. This assessment is used as a basis for determining whether it is necessary to calculate the fair value of an indefinite-lived intangible asset. For those indefinite-lived assets where it is required, a fair value is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess.

Intangible assets such as patents, customer-related intangible assets and other intangible assets with finite useful lives are amortized on a straight-line basis over their estimated economic lives. The weighted-average useful lives approximate the following:

Customer relationships	25	years
Trademarks	25	years
Completed technology/patents	10	years
Other	25	years

Recoverability of intangible assets with finite useful lives is assessed in the same manner as property, plant and equipment as described above.

Income Taxes:  For purposes of the Company’s Combined and Consolidated Financial Statements for periods prior to the Spin-off, income tax expense has been recorded as if the Company filed tax returns on a stand-alone basis separate from Ingersoll Rand. This separate return methodology applies the accounting guidance for income taxes to the stand-alone financial statements as if the Company was a stand-alone enterprise for the periods prior to the Spin-off. Therefore, cash tax payments and items of current and deferred taxes may not be reflective of the Company’s actual tax balances prior to or subsequent to the Spin-off. Cash paid for income taxes for the year ended December 31, 2014 was $66.7 million.

The income tax accounts reflected in the Consolidated Balance Sheets as of December 31, 2014 include income taxes payable and deferred taxes allocated to the Company at the time of the Spin-off. The calculation of the Company’s income taxes involves considerable judgment and the use of both estimates and allocations.

Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. The Company recognizes future tax benefits, such as net operating losses and non-U.S. tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The Company regularly reviews the recoverability of its deferred tax assets considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance with respect to a future tax benefit.

Product Warranties:  Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available.

Revenue Recognition:  Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, the Company validates the existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred.

The Company offers various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for the Company’s best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2014 and 2013, the Company had a customer claim accrual (contra receivable) of $23.5 million and $21.9 million, respectively. All other incentives or incentive programs where the customer is required to reach a certain level of purchases, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2014 and 2013, the Company had a sales incentive accrual of $23.2 million and $21.0 million, respectively. Each of these accruals represents the Company’s best estimate it expects to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in the Company’s results for the period in which they become known. Historically, the aggregate differences, if any, between the Company’s estimates and actual amounts in any year have not had a material impact on the Combined and Consolidated Financial Statements.

The Company provides equipment, integrated solutions, and installation designed to customer specifications through construction-type contracts. The term of these types of contracts is typically less than one year, but can be as long as three years. Revenues related to these contracts are recognized using the percentage-of-completion method in accordance with GAAP. This measure of progress toward completion, utilized to recognize sales and profits, is based on the proportion of actual cost incurred to date as compared to the total estimate of contract costs at completion. The timing of revenue recognition often differs from the invoicing schedule to the customer with revenue recognition in advance of customer invoicing recorded to costs in excess of billings on uncompleted contracts and invoicing in advance of revenue recognition recorded to deferred revenue. At December 31, 2014, all recorded accounts receivables are due within one year. The Company re-evaluates its contract estimates periodically and reflects changes in estimates in the current period using the cumulative catch-up method. These periodic reviews have not historically resulted in significant adjustments. If estimated contract costs are in excess of contract revenues, then the excess costs are accrued and losses are recognized in current earnings.

The Company enters into sales arrangements that contain multiple elements, such as equipment, installation and service revenue. For multiple element arrangements, each element is evaluated to determine the separate units of accounting. The total arrangement consideration is then allocated to the separate units of accounting based on their relative selling price at the inception of the arrangement. The relative selling price is determined using vendor specific objective evidence ("VSOE") of selling price, if it exists; otherwise, third-party evidence ("TPE") of selling price is used. If neither VSOE nor TPE of selling price exists for a deliverable, a best estimate of the selling price is developed for that deliverable. The Company primarily utilizes VSOE to determine its relative selling price. The Company recognizes revenue for delivered elements when the delivered item has stand-alone value to the customer, the basic revenue recognition criteria have been met, and only customary refund or return rights related to the delivered elements exist.

Environmental Costs:  The Company is subject to laws and regulations relating to protecting the environment. Environmental expenditures relating to current operations are expensed or capitalized as appropriate. Expenditures relating to existing conditions caused by past operations, which do not contribute to current or future revenues, are expensed. Liabilities for remediation costs are recorded when they are probable and can be reasonably estimated, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action. The assessment of this liability, which is calculated based on existing technology, does not reflect any offset for possible recoveries from insurance companies, and is not discounted. Refer to Note 20 for further details of environmental matters.

Research and Development Costs:  The Company conducts research and development activities for the purpose of developing and improving new products and services. These expenditures are expensed when incurred. For the years ended December 31, 2014, 2013 and 2012, these expenditures amounted to approximately $43.3 million, $39.6 million and $38.2 million, respectively and consist of salaries, wages, benefits, building costs and other overhead expenses.

Software Costs:  The Company capitalizes certain qualified internal-use software costs during the application development stage and subsequently amortizes those costs over the software's useful life, which ranges from 2 to 7 years.

Employee Benefit Plans: The Company provides a range of benefits, including pensions, postretirement and postemployment benefits to eligible current and former employees. Determining the cost associated with such benefits is dependent on various actuarial assumptions, including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates, and healthcare cost trend rates. Actuaries perform the required calculations to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated into Accumulated other comprehensive income (loss) and amortized into Net earnings over future periods. The Company reviews its actuarial assumptions at each measurement date and makes modifications to the assumptions based on current rates and trends, if appropriate. Refer to Note 10 for further details on employee benefit plans.

Loss Contingencies:  Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental matters, product liability, product warranty, worker’s compensation and other claims. The Company has recorded reserves in the financial statements related to these matters, which are developed using inputs derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve and, in certain instances, with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, the Company believes its estimated reserves are reasonable and does not believe the final determination of the liabilities with respect to these matters would have a material effect on the financial condition, results of operations, liquidity or cash flows of the Company for any year. Refer to Note 20 for further details on loss contingencies.

Derivative Instruments:  The Company periodically enters into cash flow and other derivative transactions to specifically hedge exposure to various risks related to currency and interest rates. The Company recognizes all derivatives on the Consolidated Balance Sheet at their fair value as either assets or liabilities. For cash flow designated hedges, the effective portion of the changes in fair value of the derivative contract are recorded in Accumulated other comprehensive income (loss), net of taxes, and are recognized in Net earnings at the time earnings are affected by the hedged transaction. For other derivative transactions, the changes in the fair value of the derivative contract are immediately recognized in Net earnings. Refer to Note 9 for further details on derivative instruments.

Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncements:

In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-04, "Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date." ASU 2013-04 provides guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements where the total obligation is fixed at the reporting date, and for which no specific guidance currently exists. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In March 2013, the FASB issued ASU 2013-05, "Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity." ASU 2013-05 clarifies the application of GAAP to the release of cumulative translation adjustments related to changes of ownership in or within foreign entities, including step acquisitions. This new guidance was effective for the Company on January 1, 2014.The requirements of ASU 2013-04 do not have a significant impact on the Combined and Consolidated Financial Statements.

In July 2013, the FASB issued ASU 2013-11 Income Taxes (Topic 740), "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss or a Tax Credit Carryforward Exists." With certain exceptions, ASU 2013-11 requires entities to present an unrecognized tax benefit, or portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward. This new guidance was effective for the Company on January 1, 2014. The requirements of ASU 2013-11 do not have a significant impact on the Combined and Consolidated Financial Statements.

Recently Issued Accounting Pronouncements:

In April 2014, the FASB issued ASU 2014-08 "Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity," which amends the definition of a discontinued operation in Accounting Standards Codification Topic 205-20 (Presentation of Financial Statements — Discontinued Operations) and requires entities to disclose additional information about disposal transactions that do not meet the discontinued operations criteria. ASU 2014-08 redefines a discontinued operation as a component or group of components of an entity that (1) has been disposed of by sale or other than by sale or is classified as held for sale and (2) represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. According to the ASU, a strategic shift that has (or will have) a major effect on an entity’s operations and results includes the disposal of a major geographical area, a major line of business, a major equity investment, or other major parts of an entity. The ASU is effective prospectively for disposals or components classified as held for sale in periods on or after December 15, 2014. The requirements of ASU 2014-08 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In May 2014, the FASB issued ASU 2014-09 "Revenue from Contracts with Customers." ASU 2014-09 is the result of a joint project between the FASB and International Accounting Standards Board ("IASB") to clarify the principles for recognizing revenue and to develop a common revenue standard for GAAP and International Financial Reporting Standards ("IFRS") that would remove inconsistencies and weaknesses in revenue requirements, provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets, provide more useful information to users of financial statements through improved disclosure requirements and simplify the preparation of financial statements by reducing the number of requirements to which an entity must refer. The ASU is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The Company is assessing what impact, if any, ASU 2014-09 will have on the Combined and Consolidated Financial Statements.

In June 2014, the FASB issued ASU 2014-12 "Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period." ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The ASU is effective for annual and interim reporting periods beginning after December 15, 2015, including interim periods within that reporting period. Early application is permitted. The requirements of ASU 2014-12 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

In August 2014, the FASB issued ASU 2014-15 "Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern." ASU 2014-15 guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. ASU 2014-15 will be effective in the fourth quarter of 2016, with early adoption permitted. The requirements of ASU 2014-15 are not expected to have a significant impact on the Combined and Consolidated Financial Statements.

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Consolidated Balance Sheets (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
ASSETS
Cash and cash equivalents	$ 290.5	$ 227.4
Restricted Cash and Cash Equivalents	0	40.2
Accounts and notes receivable, net	259.9	260.0
Costs in Excess of Billings, Current	181.1	158.8
Inventories	179.5	187.5
Deferred Income Taxes and Other Tax Receivable, Current	36.6	38.1
Other current assets	26.2	34.8
Total current assets	973.8	946.8
Property, plant and equipment, net	211.2	200.2
Goodwill	506.0	504.9
Intangible assets, net	125.7	146.1
Deferred Tax Assets, Net, Noncurrent	72.3	78.5
Other noncurrent assets	126.9	124.1
Total assets	2,015.9	2,000.6
LIABILITIES AND EQUITY
Accounts payable	249.5	211.3
Accrued compensation and benefits	74.0	71.8
Accrued expenses and other current liabilities	120.4	111.5
Deferred Tax Liabilities, Net, Current	36.3	23.9
Short-term borrowings and current maturities of long-term debt	49.6	71.9
Liabilities of Disposal Group, Including Discontinued Operation, Current	1.5	0.1
Total current liabilities	531.3	490.5
Long-term debt	1,215.0	1,272.0
Postemployment and other benefit liabilities	122.0	110.6
Deferred and noncurrent income taxes	58.0	86.7
Other noncurrent liabilities	71.1	75.8
Total liabilities	1,997.4	2,035.6
Equity:
Allegion plc shareholders' equity Ordinary shares, $1 par value (95,831,400 issued at December 31, 2014)	1.0	1.0
Capital in excess of par value	0	28.5
Retained earnings	142.4	1.1
Accumulated other comprehensive income (loss)	(148.2)	(96.7)
Total Allegion plc shareholders' equity	(4.8)	(66.1)
Stockholders' Equity Attributable to Noncontrolling Interest	23.3	31.1
Total equity	18.5	(35.0)
Total liabilities and equity	$ 2,015.9	$ 2,000.6

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Equity

12 Months Ended

Dec. 31, 2014

Stockholders' Equity Note [Abstract]

Shareholders' Equity

EQUITY

Ordinary Shares

The reconciliation of Ordinary shares is as follows:

In millions	Total
December 31, 2013	96.0
Shares issued under incentive plans	0.8
Repurchase of ordinary shares	(1.0	)
December 31, 2014	95.8

Allegion had 400.0 million ordinary shares authorized and 10.0 million $0.001 par value preferred shares authorized (with none outstanding) at December 31, 2014. During the year ended December 31, 2014, the Company paid $50.3 million to repurchase 1.0 million ordinary shares on the open market under a share repurchase program previously approved by its Board of Directors.

Other Comprehensive Income (Loss)

The changes in Accumulated other comprehensive income (loss) are as follows:

In millions	Cash flow hedges and marketable securities			Pension and OPEB Items			Foreign Currency Items			Total
December 31, 2011	$	5.2		$	(90.5	)	$	56.2		$	(29.1	)
Other comprehensive income (loss), net of tax	5.7			(5.2		)	20.9			21.4
December 31, 2012	$	10.9		$	(95.7	)	$	77.1		$	(7.7	)
Other comprehensive income (loss), net of tax	5.8			(35.6		)	(59.2		)	(89.0		)
December 31, 2013	$	16.7		$	(131.3	)	$	17.9		$	(96.7	)
Other comprehensive income (loss), net of tax	(1.0		)	15.2			(65.7		)	(51.5		)
December 31, 2014	$	15.7		$	(116.1	)	$	(47.8	)	$	(148.2	)

The amounts of Other comprehensive income (loss) attributable to noncontrolling interests are as follows:

In millions	2014			2013		2012
Foreign currency items	$	(0.7	)	$	0.8	$	0.5
Total other comprehensive income (loss) attributable to noncontrolling interests	$	(0.7	)	$	0.8	$	0.5

Included in equity for the year ended December 31, 2014 were $13.0 million of adjustments related to the completion of the allocation of taxable income and the completion of the allocation of tax basis in certain assets between Ingersoll Rand and Allegion at the Spin-off.

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Other, Net (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Foreign Currency Transaction Loss, before Tax	$ 12.1	$ 6.2
Foreign Currency Exchange Rate, Translation		4.3	6.3

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Share-Based Compensation (Narrative) (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Total number of shares authorized by the shareholders	8.0
Remains available for future incentive awards	4.5
Share-based compensation expense reversal	$ 14.0	$ 8.4	$ 6.3
Share-based compensation expense reversal, net of tax	9.3	5.2	3.9
Average fair value of stock options granted, in dollars per share	$ 19.54	$ 15.98
Aggregate intrinsic value of options exercised, in USD	19.3	1.2
Performance Shares [Member]
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD		4.7
Restricted Stock Units (RSUs) [Member]
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD	7.0
Stock Option [Member]
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD	4.0
Stock Options [Member]
Share-based compensation expense reversal	$ 3.3	$ 2.4	$ 1.7

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Equity (Changes In Accumulated Other Comprehensive Income (Loss) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Other Comprehensive Income (Loss), Net of Tax	$ (52.2)	$ (88.2)	$ 21.9
Accumulated other comprehensive income (loss)	(96.7)	(7.7)	(29.1)
Accumulated other comprehensive income (loss)	(148.2)	(96.7)	(7.7)
Cash flow hedges and marketable securities [Member]
Accumulated other comprehensive income (loss)	15.7
Pension and OPEB Adjustments [Member]
Accumulated other comprehensive income (loss)	(116.1)
Foreign Currency Gain (Loss) [Member]
Accumulated other comprehensive income (loss)	(47.8)
Cash flow hedges and marketable securities [Member]
Other Comprehensive Income (Loss), Net of Tax	(1.0)	5.8	5.7
Accumulated other comprehensive income (loss)	16.7	10.9	5.2
Accumulated other comprehensive income (loss)		16.7	10.9
Accumulated Defined Benefit Plans Adjustment [Member]
Other Comprehensive Income (Loss), Net of Tax	15.2	(35.6)	(5.2)
Accumulated other comprehensive income (loss)	(131.3)	(95.7)	(90.5)
Accumulated other comprehensive income (loss)		(131.3)	(95.7)
Accumulated Translation Adjustment [Member]
Other Comprehensive Income (Loss), Net of Tax	(65.7)	(59.2)	20.9
Accumulated other comprehensive income (loss)	17.9	77.1	56.2
Accumulated other comprehensive income (loss)		17.9	77.1
Reclassification out of Accumulated Other Comprehensive Income [Domain]
Other Comprehensive Income (Loss), Net of Tax	$ (51.5)	$ (89.0)	$ 21.4

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Commitments and Contingencies Schedule of Asbestos Related Balances (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Accrued expenses and other current liabilities	$ 120.4	$ 111.5
Other noncurrent liabilities	71.1	75.8
Other current assets	26.2	34.8
Other noncurrent assets	$ 126.9	$ 124.1

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Subsequent Events (Details) (USD $)	12 Months Ended
	Dec. 31, 2014
Subsequent Event [Line Items]
Common stock, dividends, in dollars per share, declared	$ 0.10

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Earnings Per Share (EPS) (Details) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Weighted-average number of basic shares	96.1	96.0	96.0
Shares issuable under incentive stock plans	1.1	0.1	0
Weighted-average number of diluted shares	97.2	96.1	96.0
Anti-dilutive shares	0.3

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Document and Entity Information Document (USD $) In Billions, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Feb. 24, 2015	Jun. 30, 2014
Entity Information [Line Items]
Entity Registrant Name	Allegion plc
Entity Central Index Key	0001579241
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-K
Document Period End Date	Dec. 31, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Common Stock, Shares Outstanding		96,009,137
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Public Float			$ 5

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Business Segment Information (Summary of Operations by Reportable Segments) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2008
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
Depreciation and amortization	44.2	45.7	53.7
Capital expenditures	51.5	20.2	19.6
Segment Assets	2,015.9	2,000.6	2,015.4
Goodwill, Impairment Loss	0	137.6	0
Interest Expense	53.8	10.2	1.5
Other Nonoperating Income (Expense)	(4.6)	(7.2)	(3.1)
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest	267.9	223.4	366.7
Americas [Member]
Net revenues	1,560.0	1,514.7	1,471.8
Segment Operating Income	387.3	392.1	378.0
Segment Operating Income As a Percentage Of Revenues	24.80%	25.90%	25.70%
Depreciation and amortization	24.8	26.5	22.0
Capital expenditures	23.6	10.5	16.9
Segment Assets	990.7	890.4	915.0
EMEIA [Member]
Net revenues	393.4	401.4	405.1
Segment Operating Income	4.9	(0.3)	10.1
Segment Operating Income As a Percentage Of Revenues	1.20%	(0.10%)	2.50%
Depreciation and amortization	16.4	18.2	29.5
Capital expenditures	4.9	5.6	1.7
Segment Assets	457.7	525.6	724.3
Goodwill, Impairment Loss		137.6		341.0
Asia Pacific [Member]
Net revenues	164.9	153.5	146.4
Segment Operating Income	2.3	25.4	11.3
Segment Operating Income As a Percentage Of Revenues	1.40%	16.50%	7.70%
Depreciation and amortization	1.1	0.9	2.2
Capital expenditures	1.5	0.8	1.0
Segment Assets	442.2	403.2	310.9
Goodwill, Impairment Loss				6.9
Segment Reconciling Items [Member]
Depreciation and amortization	1.9	0.1	0
Capital expenditures	21.5	3.3	0
Segment Assets	125.3	181.4	65.2
Operating Expenses	68.2	38.8	28.1
Operating Segments [Member]
Segment Operating Income	394.5	417.2	399.4
Depreciation and amortization	42.3	45.6	53.7
Capital expenditures	30.0	16.9	19.6
Segment Assets	$ 1,890.6	$ 1,819.2	$ 1,950.2

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Share-Based Compensation

12 Months Ended

Dec. 31, 2014

Share-based Arrangements with Employees and Nonemployees [Abstract]

Share-Based Compensation

SHARE-BASED COMPENSATION

The Company records share-based compensation awards using a fair value method and recognizes compensation expense for an amount equal to the fair value of the share-based payment issued in its financial statements. The Company’s share-based compensation plans include programs for stock options, restricted stock units ("RSUs"), performance stock units ("PSUs"), and deferred compensation.

Under the Company's incentive stock plan, the total number of ordinary shares authorized by the shareholders is 8.0 million, of which 4.5 million remains available as of December 31, 2014 for future incentive awards.

Compensation Expense

Share-based compensation expense related to continuing operations is included in Selling and administrative expenses. The following table summarizes the expenses recognized for the years ended December 31:

In millions	2014			2013			2012
Stock options	$	3.3		$	2.4		$	1.7
RSUs	6.0			3.3			2.6
PSUs	3.9			1.0			1.5
Deferred compensation	0.8			1.7			0.5
Pre-tax expense	14.0			8.4			6.3
Tax benefit	(4.7		)	(3.2		)	(2.4		)
Total	$	9.3		$	5.2		$	3.9

Stock Options / RSUs

Eligible participants may receive (i) stock options, (ii) RSUs or (iii) a combination of both stock options and RSUs. The fair value of each of the Company’s stock option and RSU awards is expensed on a straight-line basis over the required service period, which is generally the 3-year vesting period. However, for stock options and RSUs granted to retirement eligible employees, the Company recognizes expense for the fair value at the grant date.

The average fair value of the stock options granted for the year ended December 31, 2014 and 2013 was estimated to be $19.54 per share and $15.98 per share, respectively, using the Black-Scholes option-pricing model. The weighted average assumptions used were the following:

	2014		2013
Dividend yield	0.60	%	1.27	%
Volatility	36.55	%	39.22	%
Risk-free rate of return	1.94	%	1.53	%
Expected life	6.0 years		5.9 years

For grants issued prior to December 1, 2013, expected volatility is based on the historical volatility from traded options on Ingersoll Rand's stock. The risk-free rate of return is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the award is granted with a maturity equal to the expected term of the award. Historical data is used to estimate forfeitures within Ingersoll Rand’s valuation model. The expected life of Ingersoll Rand’s stock option awards is derived from historical experience and represents the period of time that awards are expected to be outstanding.

For grants issued on or after December 1, 2013, expected volatility is based on the weighted average of the implied volatility of a group of the Company’s peers. The risk-free rate of return is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the award is granted with a maturity equal to the expected term of the award. Historical peer data is used to estimate forfeitures within the Company’s valuation model. The expected life of the Company’s stock option awards granted post separation is derived from the simplified approach based on the weighted average time to vest and the remaining contractual term, and represents the period of time that awards are expected to be outstanding.

Changes in options outstanding under the plans for the years ended December 31, 2014, 2013 and 2012 are as follows:

	Shares subject to option		Weighted- average exercise price (a)		Aggregate intrinsic value (millions)		Weighted- average remaining life (years)
December 31, 2011	1,279,557		$	35.49
Granted	144,051		40.63
Exercised	(194,860	)	26.18
Cancelled	(13,159	)	42.65
Transfers, net	(113,460	)	35.00
December 31, 2012	1,102,129		37.77
Granted	321,808		47.35
Exercised	(611,792	)	33.78
Impact of spin-off	1,669,911		—
December 31, 2013	2,482,056		25.21
Granted	188,817		54.07
Exercised	(683,383	)	24.18
Cancelled	(25,462	)	43.89
Outstanding December 31, 2014	1,962,028		$	28.11	$	53.7	4.8
Exercisable December 31, 2014	1,445,106		$	23.17	$	46.7	3.5

(a) The weighted average exercise price for periods ending prior to December 1, 2013 represents the exercise price of awards prior to conversion to awards of the Company. The weighted average exercise price of awards on or after December 1, 2013 represents the exercise price of the awards on the grant date converted to ordinary shares of the Company.

The following table summarizes information concerning currently outstanding and exercisable options:

			Options outstanding				Options exercisable
Range of exercise price			Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price		Number outstanding at December 31, 2014	Weighted- average remaining life (years)	Weighted- average exercise price
10.01	—	20.00	424,922	3.2	$	15.10	424,922	3.2	$	15.10
20.01	—	30.00	966,736	3.6	25.49		901,170	3.4	25.52
30.01	—	40.00	229,022	6.8	32.22		106,544	5.3	32.09
40.01	—	50.00	161,601	9.0	43.37		2,549	9.0	43.58
50.01	—	60.00	179,747	8.9	54.07		9,921	3.5	54.13
			1,962,028	4.8	$	28.11	1,445,106	3.5	$	23.17

At December 31, 2014, there was $4.0 million of total unrecognized compensation cost from stock option arrangements granted under the plan, which is primarily related to unvested shares of non-retirement eligible employees. The aggregate intrinsic value of the Company's options exercised during the year ended December 31, 2014 and 2013 was $19.3 million and $1.2 million, respectively. Generally, stock options expire ten years from their date of grant.

The following table summarizes RSU activity for the years ended December 31, 2014, 2013 and 2012:

	RSUs		Weighted- average grant date fair value (a)
Outstanding and unvested at December 31, 2011	166,069		$	35.11
Granted	68,429		40.70
Vested	(72,300	)	29.99
Cancelled	(7,931	)	41.47
Transfers, net	(10,214	)	34.73
Outstanding and unvested at December 31, 2012	144,053		40.02
Granted	195,590		48.42
Vested	(71,776	)	38.94
Impact of spin-off	110,350		—
Outstanding and unvested at December 31, 2013	378,217		33.59
Granted	101,654		54.29
Vested	(149,392	)	28.68
Cancelled	(5,319	)	43.66
Outstanding and unvested at December 31, 2014	325,160		$	42.15

(a) The weighted average grant date fair value for periods ending prior to December 1, 2013 represents the fair value of awards granted with respect to Ingersoll Rand ordinary shares, prior to conversion to awards of the Company. The weighted average grant date fair value of awards on or after December 1, 2013 represents the fair value of the awards on the grant date converted to ordinary shares of the Company.

At December 31, 2014, there was $7.0 million of total unrecognized compensation cost from RSU arrangements granted under the plan, which is related to unvested shares of non-retirement eligible employees.

Performance Shares

The Company has a Performance Share Program ("PSP") for key employees. The program provides awards in the form of Performance Share Units based on performance against pre-established objectives. The annual target award level is expressed as a number of the Company's ordinary shares. All PSUs are settled in the form of ordinary shares unless deferred.

In December 2013, the Company’s Compensation Committee granted PSUs that are earned based upon the Company’s total shareholder return ("TSR") performance compared to the TSR of the 41 companies currently comprising the S&P 400 Capital Goods Index over the three-year performance period based on the change in the 30 day average price for the index from December 2013 to the 30 day average price for the index in December 2016. The fair value of the market condition is estimated using a Monte Carlo simulation approach in a risk-neutral framework to model future stock price movements based upon the risk-free rate of return, the volatility of each entity, and the pair-wise correlations between each entity. The model utilizes a peer group of 41 members.

In March 2014, the Company’s Compensation Committee granted PSUs that are earned based upon a 50% performance condition, measured at each reporting period by EPS performance in relation to pre-established targets set by the Compensation Committee, and upon a 50% market condition, measured by the Company’s relative TSR against the S&P 400 Capital Goods Index over one-year, two-year, and three-year performance periods based on the change in the 30 day average price for the index from January 2014 to the 30 day average price for the index in December 2014, December 2015, and December 2016. The fair values of the market conditions are estimated using a Monte Carlo simulation approach in a risk-neutral framework to model future stock price movements based upon the risk-free rate of return, the volatility of each entity, and the pair-wise correlations between each entity. The model utilizes a peer group of 41 members.

The following table summarizes PSU activity for the maximum number of shares that may be issued for the years ended December 31, 2014, 2013 and 2012:

	PSUs		Weighted-average grant date fair value (a)
Outstanding and unvested at December 31, 2011	254,122		$	27.10
Granted	37,746		50.75
Forfeited	(126,982	)	17.80
Transfers, net	(22,430	)	39.13
Outstanding and unvested at December 31, 2012	142,456		39.13
Granted	75,172		34.90
Vested	(34,701	)	34.94
Impact of spin-off	(120,044	)	—
Outstanding and unvested at December 31, 2013	62,883		29.27
Granted	110,387		72.70
Forfeited	(12,138	)	50.96
Outstanding and unvested at December 31, 2014	161,132		$	57.39

(a) The weighted average grant date fair value for periods ending prior to December 1, 2013 represents the fair value of awards granted with respect to Ingersoll Rand ordinary shares, prior to conversion to awards of the Company. The weighted average grant date fair value of awards on or after December 1, 2013 represents the fair value of the awards on the grant date converted to ordinary shares of the Company.

At December 31, 2014, there was $4.7 million of total unrecognized compensation cost from the PSP based on current performance, which is related to unvested shares. This compensation will be recognized over the required service period, which is generally the three-year vesting period.

Deferred Compensation

The Company allows key employees to defer a portion of their eligible compensation into a number of investment choices, including its ordinary share equivalents. Any amounts invested in ordinary share equivalents will be settled in ordinary shares of the Company at the time of distribution.

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Postretirement Plans Benefit Obligations) (Details) (Postretirement [Member], USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Postretirement [Member]
Benefit obligation at beginning of year	$ 14.2	$ 18.0
Service cost	0.1	0.3
Interest cost	0.5	0.5
Actuarial (gains) losses	(0.2)	(3.6)
Benefits paid, net of Medicare Part D subsidy	(1.0)	(1.0)
Benefit obligation at end of year	$ 13.6	$ 14.2

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Equity (Reconciliation of Ordinary Shares) (Details) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2014	Dec. 31, 2012	Dec. 31, 2011
Treasury Stock, Shares, Acquired	1.0
Ordinary shares [Member]
Beginning balance, shares	96.0	96.0	0	0
Treasury Stock, Shares, Acquired		(1.0)
Ending balance, shares		95.8	0	0

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Consolidated Statements of Equity (USD $) In Millions, except Share data	Total	Ordinary shares [Member]	Conversion of Parent Company Investment [Member]	Capital in excess of par value [Member]	Retained earnings [Member]	Accumulated other comprehensive income (loss) [Member]	Parent Company's Net Investment [Member]	Noncontrolling interest [Member]
Beginning balance, value at Dec. 31, 2011	$ 1,454.8	$ 0		$ 0	$ 0	$ (29.1)	$ 1,461.9	$ 22.0
Beginning balance, shares at Dec. 31, 2011		0
Net earnings	225.8	0		0	0	0	220.1	5.7
Other comprehensive income (loss), net of tax	21.9	0		0	0	21.4	0	0.5
Total comprehensive (income) loss attributable to noncontrolling interests	6.2
Dividends to noncontrolling interests	(5.2)	0		0	0	0	0	(5.2)
Cash dividends, declared	(311.6)	0		0	0	0	(311.6)	0
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	21.4
Ending balance, value at Dec. 31, 2012	1,385.7	0		0	0	(7.7)	1,370.4	23.0
Ending balance, shares at Dec. 31, 2012		0
Net earnings	44.8	0		0	5.4	0	26.9	12.5
Other comprehensive income (loss), net of tax	(88.2)	0		0	0	(89.0)	0	0.8
Total comprehensive (income) loss attributable to noncontrolling interests	13.3
Shares issued under incentive stock plans, shares		0
Shares issued under incentive stock plans, value	1.3	0		1.3	0	0	0	0
Share-based compensation	5.5	0		0.8	0	0	4.7	0
Dividends to noncontrolling interests	(5.2)	0		0	0	0	0	(5.2)
Cash dividends, declared	(1,378.9)	0		0	0	0	(1,378.9)	0
Other	0	1.0	96.0	26.4	(4.3)	0	(23.1)	0
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	(58.4)
Ending balance, value at Dec. 31, 2013	(35.0)	1.0		28.5	1.1	(96.7)	0	31.1
Ending balance, shares at Dec. 31, 2013		96,000,000
Net earnings	172.6	0		0	175.2	0	0	(2.6)
Other comprehensive income (loss), net of tax	(52.2)	0		0	0	(51.5)	0	(0.7)
Total comprehensive (income) loss attributable to noncontrolling interests	(3.3)
Shares issued under incentive stock plans, shares		800,000
Shares issued under incentive stock plans, value	18.5	0		18.5	0	0	0	0
Repurchase of ordinary shares	(50.3)	0		(48.8)	(1.5)	0	0	0
Treasury Stock, Shares, Acquired		(1,000,000)
Share-based compensation	13.1	0		13.1	0	0	0	0
Dividends to noncontrolling interests	(4.5)	0		0	0	0	0	(4.5)
Cash dividends, declared	(30.7)	0		0	(30.7)	0	0	0
Other	(13.0)	0		(11.3)	(1.7)	0	0	0
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	(66.4)
Ending balance, value at Dec. 31, 2014	$ 18.5	$ 1.0		$ 0	$ 142.4	$ (148.2)	$ 0	$ 23.3
Ending balance, shares at Dec. 31, 2014		95,800,000

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Intangible Assets

12 Months Ended

Dec. 31, 2014

Intangible Assets Abstract

Intangible Assets

INTANGIBLE ASSETS

The following table sets forth the gross amount and related accumulated amortization of the Company’s intangible assets at December 31:

	2014							2013
In millions	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Completed technologies/patents	$	27.8	$	(23.2	)	$	4.6	$	26.4	$	(23.6	)	$	2.8
Customer relationships	94.7		(37.0		)	57.7		107.8		(38.1		)	69.7
Trademarks (finite-lived)	89.3		(36.0		)	53.3		101.4		(36.8		)	64.6
Other	10.8		(10.8		)	—		13.4		(13.4		)	—
Total finite-lived intangible assets	222.6		$	(107.0	)	115.6		249.0		$	(111.9	)	137.1
Trademarks (indefinite-lived)	10.1					10.1		9.0					9.0
Total	$	232.7				$	125.7	$	258.0				$	146.1

The Company amortizes intangible assets with finite useful lives on a straight-line basis over their estimated economic lives in accordance with GAAP. Indefinite-lived intangible assets are not subject to amortization, but instead, are tested for impairment at least annually (more frequently if certain indicators are present).

Intangible asset amortization expense for 2014, 2013 and 2012 was $9.5 million, $9.5 million and $9.5 million, respectively. Future estimated amortization expense on existing intangible assets in each of the next five years amounts to approximately $7.8 million for 2015, $7.7 million for 2016, $7.7 million for 2017, $7.6 million for 2018, and $7.6 million for 2019.

In accordance with the Company’s indefinite-lived intangible asset impairment testing policy outlined in Note 2, the Company performed its annual impairment test in the fourth quarter of each year. In each year, the Company determined the fair value of all indefinite-lived intangible assets exceeded their respective carrying values. Therefore, no impairment charges were recorded during 2014, 2013 and 2012.

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Goodwill

12 Months Ended

Dec. 31, 2014

Goodwill Abstract

Goodwill

GOODWILL

The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded. The changes in the carrying amount of Goodwill are as follows:

In millions	Americas			EMEIA			Asia Pacific			Total
December 31, 2012 (gross)	$	339.0		$	536.7		$	110.1		$	985.8
Acquisitions and adjustments *	23.8			—			(23.8		)	—
Currency translation	—			3.3			1.3			4.6
December 31, 2013 (gross)	362.8			540.0			87.6			990.4
Acquisitions	2.3			—			10.3			12.6
Currency translation	(0.3		)	(6.9		)	(4.3		)	(11.5		)
December 31, 2014 (gross)	364.8			533.1			93.6			991.5
Accumulated impairment **	—			(478.6		)	(6.9		)	(485.5		)
Goodwill (net)	$	364.8		$	54.5		$	86.7		$	506.0

* During 2013, the Company reclassified goodwill related to a product line transfer from the Asia Pacific segment to the Americas segment.

** Accumulated impairment consists of charges of $137.6 million (EMEIA), $341.0 million (EMEIA) and $6.9 million (Asia Pacific) recorded in 2013, 2008 and 2007, respectively, as a result of the Company's impairment testing. During the third quarter of 2013 the Company performed an interim impairment test on goodwill of its EMEIA reporting unit. The results of the third quarter 2013 interim impairment test indicated that the estimated fair value of the EMEIA reporting unit was less than its carrying value; consequently, the Company completed the second step of the interim impairment test, which resulted in a $137.6 million non-cash pre-tax goodwill impairment charge.

The estimated fair values for each of the Company's reporting units exceeded their carrying values by more than 10% for the 2014 goodwill impairment test.

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Earnings Per Share (EPS)

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Earnings Per Share (EPS)

EARNINGS PER SHARE (EPS)

Basic EPS is calculated by dividing Net earnings attributable to Allegion plc by the weighted-average number of ordinary shares outstanding for the applicable period. Diluted EPS is calculated after adjusting the denominator of the basic EPS calculation for the effect of all potentially dilutive ordinary shares, which in the Company’s case, includes shares issuable under share-based compensation plans.

Basic and Diluted EPS for all periods prior to the Spin-off reflect the number of distributed shares on December 1, 2013, or 96.0 million shares. For 2013 year to date calculations, these shares are treated as issued and outstanding from January 1, 2013 for purposes of calculating historical basic EPS. At the time of the Spin-off, stock options and restricted stock awards were converted to awards of Allegion, and therefore there were no dilutive securities outstanding for historical periods. For 2013, the Company determined its weighted average dilutive share outstanding assuming that the date of our separation from Ingersoll Rand was the beginning of the period. The following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations.

In millions	2014	2013	2012
Weighted-average number of basic shares	96.1	96.0	96.0
Shares issuable under incentive stock plans	1.1	0.1	—
Weighted-average number of diluted shares	97.2	96.1	96.0

At December 31, 2014, 0.3 million stock options were excluded from the computation of weighted average diluted shares outstanding because the effect of including these shares would have been anti-dilutive.

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Restructuring Activities

12 Months Ended

Dec. 31, 2014

Restructuring Charges [Abstract]

Restructuring Activities

RESTRUCTURING

During 2014, 2013, and 2012, the Company incurred costs of $7.1 million, $5.8 million, and $7.5 million respectively, associated with ongoing restructuring actions. These actions included workforce reductions as well as the closure and consolidation of manufacturing facilities in an effort to increase efficiencies across multiple lines of business.

In the second quarter of 2014, management committed to a plan to restructure the EMEIA segment to improve efficiencies and regional cost structure ("the 2014 EMEIA Restructuring Plan"). Restructuring charges recorded during the year ended December 31, 2014 as part of this plan were as follows:

In millions	2014
EMEIA	$	6.1
Total	6.1
Cost of goods sold	$	1.2
Selling and administrative expenses	4.9
Total	$	6.1

Restructuring charges recorded during the years ended December 31 as part of other restructuring plans were as follows:

In millions	2014		2013		2012
Americas	$	0.1	$	0.1	$	1.7
EMEIA	0.9		5.7		5.8
Total	$	1.0	$	5.8	$	7.5
Cost of goods sold	$	0.2	$	3.1	$	3.0
Selling and administrative expenses	0.8		2.7		4.5
Total	$	1.0	$	5.8	$	7.5

These charges primarily related to workforce reductions in an effort to increase efficiencies across multiple lines of business.

As of December 31, 2014 and 2013, the Company had $1.9 million and $2.8 million accrued for costs associated with its ongoing restructuring actions, of which a majority is expected to be paid within one year.

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Weighted Average Discount Rate Assumptions) (Details) (Postretirement [Member])	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Discount rate	3.50%		3.25%
Net periodic benefit cost	4.00%	3.25%	3.75%
Year that the rate reaches the ultimate trend rate	2021	2021	2021
current year medical inflation [Member]
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate	7.25%	7.65%	8.05%
ultimate inflation rate [Member]
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate	5.00%	5.00%	5.00%
Prior to 2012 plan amendment [Member]
Discount rate		4.00%

XML

Pensions and Postretirement Benefits Other Than Pensions

12 Months Ended

Dec. 31, 2014

General Discussion of Pension and Other Postretirement Benefits [Abstract]

Pensions and Postretirement Benefits Other Than Pensions

PENSIONS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

The Company sponsors several U.S. defined benefit and defined contribution plans covering substantially all of our U.S. employees. Additionally, the Company has non-U.S. defined benefit and defined contribution plans covering eligible non-U.S. employees. Postretirement benefits, other than pensions, provide healthcare benefits, and in some instances, life insurance benefits for certain eligible employees.

Pension Plans

The noncontributory defined benefit pension plans covering non-collectively bargained U.S. employees provide benefits on an average pay formula while most plans for collectively bargained U.S. employees provide benefits on a flat dollar benefit formula. The non-U.S. pension plans generally provide benefits based on earnings and years of service. The Company also maintains additional other supplemental plans for officers and other key employees.

On December 1, 2013, in connection with the Spin-off, various defined benefit plans were established for both U.S. and non-U.S. based employees. All plans were re-measured as of December 1, 2013 in connection with the Spin-off. The Schlage Lock Company LLC Pension Plan ("Schlage plan") was established to provide retirement benefits to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand pension plans (the “Parent Pension Plans”). The Schlage plan assumed all liabilities under the Parent Pension Plans related to Allegion participants- active and former. Assets were transferred to the Schlage plan in accordance with Section 414(l) of the Internal Revenue Code ("the Code").

The Schlage Lock Company LLC NQ Pension plans ("Schlage NQ plans") were established in connection with the Spin-off to provide retirement benefits to Allegion employees and former Allegion employees who were participants in the certain Ingersoll Rand non-qualified pension plans (collectively, the “Parent NQ Pension Plans”). The Schlage NQ plans assumed all liabilities under the Parent NQ Pension Plans related to Schlage NQ plans participants. These are unfunded plans.

The Schlage Lock Company LLC Other Postemployment Benefits Plan ("Schlage OPEB plan") was established in connection with the Spin-off. The Schlage OPEB plan provides other postemployment benefits to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand Other Postemployment Benefits Plans (collectively, the “Parent OPEB Plans”). The Schlage OPEB plan assumed all liabilities under the Parent OPEB Plans related to Schlage plan participants. This is an unfunded plan.

The Allegion UK Pension Plan ("Allegion UK Plan") was also established in connection with the Spin-off to provide retirement benefits to Allegion employees, former Allegion employees and those members for whom Ingersoll Rand Security Technologies Ltd. was legally responsible who were participants in the Ingersoll Rand UK Pension Plan. The Allegion UK plan assumed all liabilities under the Ingersoll Rand UK Pension Plan. Assets were transferred to the Allegion UK plan in accordance with a Transfer Agreement. All liabilities and corresponding plan assets related to remaining non-U.S. plans were transferred at the time of the Spin-off.

The following table details information regarding the Company’s pension plans at December 31:

	U.S.								NON-U.S.
In millions	2014				2013				2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	231.3			$	276.9			$	397.9		$	235.9
Service cost	7.3				7.8				4.6			3.5
Interest cost	11.5				10.1				17.3			10.7
Employee contributions	—				—				0.4			0.3
Amendments	—				2.3				(0.3		)	—
Actuarial (gains) losses	60.1			(a)	(58.5		)		12.3			8.0
Benefits paid	(25.2		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(26.0		)	8.2
Curtailments and settlements	—				—				(1.7		)	(1.2		)
Liabilities assumed from Spin-off	—				8.3				—			133.4			(b)
Other, including expenses paid	(2.1		)		(0.8		)		(1.5		)	8.1
Benefit obligation at end of year	$	282.9			$	231.3			$	388.4		$	397.9
Change in plan assets:
Fair value at beginning of year	$	208.5			$	230.9			$	337.6		$	183.4
Actual return on assets	31.9				1.6				56.4			17.6
Company contributions	—				—				17.5			11.6
Employee contributions	—				—				0.4			0.3
Benefits paid	(25.1		)		(14.8		)		(14.6		)	(9.0		)
Currency translation	—				—				(23.3		)	7.6
Settlements	—				—				(0.5		)	(1.1		)
Assets received from Spin-off	—				10.2				—			121.6			(b)
Other, including expenses paid	(2.1		)		(19.4		)	(c)	(1.5		)	5.6
Fair value of assets end of year	$	213.2			$	208.5			$	372.0		$	337.6
Funded status:
Plan assets less than the benefit obligations	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)
Amounts included in the balance sheet:
Other noncurrent assets	$	—			$	—			$	11.4		$	—
Accrued compensation and benefits	(2.3		)		—				(1.2		)	(1.2		)
Postemployment and other benefit liabilities	(67.4		)		(22.8		)		(26.6		)	(59.1		)
Net amount recognized	$	(69.7	)		$	(22.8	)		$	(16.4	)	$	(60.3	)

(a) During 2014, the Society of Actuaries released a new mortality table, referred to as RP-2014, which is believed to better reflect mortality improvements. The Company used the RP-2014 mortality table to measure its U.S. pension obligation as of December 31, 2014. The impact of the new mortality tables as well as the decline in discount rates from December 31, 2013 to December 31, 2014 is included in actuarial losses.

(b) Represents the benefit obligation and plan assets transferred to the Allegion UK plan as a result of the combination of plans related to Allegion employees, former Allegion employees and those members for whom Ingersoll Rand Security Technologies Ltd. was legally responsible.

(c) Consists of the difference between the preliminary assets allocated to Allegion for the Combined and Consolidated Financial Statements as of December 31, 2012 (which were allocated based on relative accumulated benefit obligations) and the actual assets allocated in the Spin-off in accordance with the agreed upon methodology between Allegion and Ingersoll Rand (based on the provisions of Section 414(l) of the Code). 

It is the Company’s objective to contribute to the pension plans to ensure adequate funds are available in the plans to make benefit payments to plan participants and beneficiaries when required. However, certain plans are not funded due to either legal, accounting, or tax requirements in certain jurisdictions. As of December 31, 2014, approximately 5% of our projected benefit obligation relates to plans that are not funded of which the majority are Non-U.S. plans.

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

	U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(2.0	)	$	(81.1	)	$	(83.1	)
Current year changes recorded to Accumulated other comprehensive income (loss)	(2.3		)	30.8			28.5
Amortization reclassified to earnings	0.6			3.8			4.4
Net loss resulting from Spin off	—			(1.7		)	(1.7		)
Other	(0.5		)	2.0			1.5
December 31, 2013	$	(4.2	)	$	(46.2	)	$	(50.4	)
Current year changes recorded to Accumulated other comprehensive loss	—			(39.0		)	(39.0		)
Amortization reclassified to earnings	0.7			2.3			3.0
December 31, 2014	$	(3.5	)	$	(82.9	)	$	(86.4	)

	NON-U.S.
In millions	Prior service cost			Net actuarial losses			Total
December 31, 2012	$	(0.5	)	$	(69.0	)	$	(69.5	)
Current year changes recorded to Accumulated other comprehensive loss	—			(0.3		)	(0.3		)
Amortization reclassified to earnings	0.1			1.8			1.9
Settlements/curtailments reclassified to earnings	—			(0.1		)	(0.1		)
Net loss resulting from Spin-off	—			(39.6		)	(39.6		)
Currency translation and other	0.1			(2.0		)	(1.9		)
December 31, 2013	$	(0.3	)	$	(109.2	)	$	(109.5	)
Current year changes recorded to Accumulated other comprehensive income	0.3			28.1			28.4
Amortization reclassified to earnings	0.1			2.8			2.9
Currency translation and other	—			4.8			4.8
December 31, 2014	$	0.1		$	(73.5	)	$	(73.4	)

Weighted-average assumptions used:

Benefit obligations at December 31,	2014		2013
Discount rate:
U.S. plans	4.00	%	5.00	%
Non-U.S. plans	3.75	%	4.50	%
Rate of compensation increase:
U.S. plans	3.50	%	3.50	%
Non-U.S. plans	3.00	%	4.75	%

The accumulated benefit obligation for all U.S. defined benefit pension plans was $264.3 million and $217.2 million at December 31, 2014 and 2013. The accumulated benefit obligation for all Non-U.S. defined benefit pension plans was $380.0 million and $382.5 million at December 31, 2014 and 2013.

Information regarding pension plans with accumulated benefit obligations more than plan assets were:

	U.S.				NON-U.S.
In millions	2014		2013		2014		2013
Projected benefit obligation	$	282.9	$	231.3	$	35.4	$	397.9
Accumulated benefit obligation	264.3		217.2		30.4		382.5
Fair value of plan assets	213.2		208.5		7.6		337.6

Future pension benefit payments are expected to be paid as follows:

In millions	U.S.		NON-U.S.
2015	$	16.6	$	16.0
2016	13.7		16.4
2017	14.2		16.9
2018	15.9		17.4
2019	16.0		18.2
2020 - 2024	100.4		100.3

The components of the Company’s net periodic pension benefit costs for the years ended December 31 include the following:

	U.S.
In millions	2014			2013			2012
Service cost	$	7.3		$	7.8		$	9.6
Interest cost	11.5			10.1			11.0
Expected return on plan assets	(11.2		)	(10.6		)	(11.7		)
Net amortization of:
Prior service costs	0.7			0.6			1.0
Plan net actuarial losses	2.3			3.8			4.1
Net periodic pension benefit cost	10.6			11.7			14.0
Net curtailment and settlement losses	—			—			2.4
Net periodic pension benefit cost after net curtailment and settlement losses	$	10.6		$	11.7		$	16.4

	NON-U.S.
In millions	2014			2013			2012
Service cost	$	4.6		$	3.5		$	3.1
Interest cost	17.3			10.7			10.3
Expected return on plan assets	(17.3		)	(10.0		)	(9.7		)
Other adjustments	—			2.1			—
Net amortization of:
Prior service costs	0.1			0.1			—
Plan net actuarial losses	2.8			1.8			1.7
Net periodic pension benefit cost	7.5			8.2			5.4
Net curtailment and settlement (gains) losses	—			(0.2		)	0.3
Net periodic pension benefit cost after net curtailment and settlement losses	$	7.5		$	8.0		$	5.7

Pension expense for 2015 is projected to be approximately $15.8 million, utilizing the assumptions for calculating the pension benefit obligations at the end of 2014. The amounts expected to be recognized in net periodic pension cost during the year ended December 31, 2015 for prior service cost and plan net actuarial losses are $0.7 million and $6.0 million, respectively.

Weighted-average assumptions used:

Net periodic pension cost for the year ended December 31,	2014		2013		2012
Discount rate:
U.S. plans	5.00	%	4.75	%	4.00	%
Non-U.S. plans	4.50	%	4.50	%	5.00	%
Rate of compensation increase:
U.S. plans	3.50	%	4.00	%	4.00	%
Non-U.S. plans	4.75	%	4.25	%	4.00	%
Expected return on plan assets:
U.S. plans	5.50	%	4.75	%	5.75	%
Non-U.S. plans	5.25	%	5.25	%	5.75	%

The expected long-term rate of return on plan assets reflects the average rate of returns expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. The expected long-term rate of return on plan assets is based on what is achievable given the plan’s investment policy, the types of assets held and target asset allocations. The expected long-term rate of return is determined as of the measurement date. Each plan is reviewed and its historical returns and target asset allocations to determine the appropriate expected long-term rate of return on plan assets to be used.

The overall objective in managing defined benefit plan assets is to ensure that all present and future benefit obligations are met as they come due. The goal is to achieve this while trying to mitigate volatility in plan funded status, contribution, and expense by better matching the characteristics of the plan assets to that of the plan liabilities. Each plan’s funded status and asset allocation is monitored regularly in addition to investment manager performance.

The fair values of the Company’s U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	3.1	$	—	$	3.1
Equity mutual funds	—		52.9		—		52.9
Fixed income investments:
U.S. government and agency obligations	—		69.7		—		69.7
Corporate and non-U.S. bonds(a)	—		85.6		—		85.6
	—		155.3		—		155.3
Total assets at fair value	$	—	$	211.3	$	—	$	211.3
Receivables and payables, net							1.9
Net assets available for benefits							$	213.2

(a) This includes state and municipal bonds.

The fair values of the Company’s U.S. pension plan assets at December 31, 2013 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	1.5	$	—	$	1.5
Equity mutual funds	—		42.1		—		42.1
Fixed income investments:
U.S. government and agency obligations	—		74.9		—		74.9
Corporate and non-U.S. bonds(a)	—		68.2		—		68.2
	—		143.1		—		143.1
Total assets at fair value	$	—	$	186.7	$	—	$	186.7
Receivables and payables, net (b)							21.8
Net assets available for benefits							$	208.5

(a) This includes state and municipal bonds.

(b) Includes a $20 million receivable from Ingersoll Rand in accordance with the terms of the Employee Matters Agreement.

The Company determines the fair value of its US plan assets using the following methodologies:

• Cash, cash equivalents and short term investments –The investments are valued at the closing price or amount held on deposit by the custodian bank or at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer. As these investments are not traded on active markets, these investments are classified as Level 2.

• Equity Mutual Funds –Valued at the daily closing price as reported by the fund. These funds are required to publish their daily net asset value (NAV) and to transact at that price. Such securities are classified as Level 2.

• U.S. government and agency obligations –Quoted market prices are not available for these securities. Fair values are estimated using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2.

• Corporate and Non-US bonds – Quoted market prices are not available for these securities. Fair values are estimated by using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2.

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2014 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	8.8	$	—	$	—	$	8.8
Equity mutual funds	—		118.0		—		118.0
Corporate and non-U.S. bonds	—		164.3		—		164.3
Real estate(a)	—		11.8		0.8		12.6
Other(b)	—		65.8		2.5		68.3
Total assets at fair value	$	8.8	$	359.9	$	3.3	$	372.0
Receivables and payables, net							—
Net assets available for benefits							$	372.0

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

The fair values of the Company’s Non-U.S. pension plan assets at December 31, 2013 by asset category are as follows:

	Fair value measurements						Total fair value
In millions	Level 1		Level 2		Level 3
Cash and cash equivalents	$	—	$	10.2	$	—	$	10.2
Equity mutual funds	—		134.2		—		134.2
Corporate and non-U.S. bonds	—		185.6		—		185.6
Real estate(a)	—		—		0.7		0.7
Other(b)	—		—		2.6		2.6
Total assets at fair value	$	—	$	330.0	$	3.3	$	333.3
Receivables and payables, net							4.3
Net assets available for benefits							$	337.6

(a) This includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds.

(b) This primarily includes insurance contracts.

Cash equivalents are valued using a market approach with inputs including quoted market prices for either identical or similar instruments. Fixed income securities are valued through a market approach with inputs including, but not limited to, benchmark yields, reported trades, broker quotes and issuer spreads. Commingled funds are valued at their daily net asset value (NAV) per share or the equivalent. NAV per share or the equivalent is used for fair value purposes as a practical expedient. NAVs are calculated by the investment manager or sponsor of the fund. Private real estate fund values are reported by the fund manager and are based on valuation or appraisal of the underlying investments.

The Company did not make any required or discretionary contributions to the U.S. pension plans in 2014 and 2013 and made required and discretionary contributions of $3.2 million in 2012. The Company made required and discretionary contributions to its Non-U.S. pension plans of $17.5 million in 2014, $11.6 million in 2013, and $9.5 million in 2012. The Company currently projects that approximately $5.0 million will be contributed primarily to its Non-U.S. plans in 2015. The Company’s policy allows it to fund an amount, which could be in excess of or less than the pension cost expensed, subject to the limitations imposed by current tax regulations. The Company anticipates funding the plans in 2015 in accordance with contributions required by funding regulations or the laws of each jurisdiction.

Most of the Company’s U.S. employees are covered by defined contribution plans. Employer contributions are determined based on criteria specific to the individual plans and amounted to approximately $10.2 million, $14.5 million, and $7.6 million in 2014, 2013 and 2012. The Company’s contributions relating to non-U.S. defined contribution plans and other non-U.S. benefit plans were $7.0 million, $4.7 million and $5.4 million in 2014, 2013 and 2012.

Deferred Compensation Plan

The Company maintains an Executive Deferred Compensation Plan ("EDCP"), which is an unfunded, nonqualified plan that permits certain employees to defer receipt of up to 50% of their annual salary and up to 100% of their annual bonus awards, performance share plan awards, and restricted stock units received upon commencement of employment. On December 1, 2013 the Company assumed a liability of $12.0 million related to Company employees and former Company employees. As of December 31, 2014 the deferred compensation liability balance was $12.8 million.

Postretirement Benefits Other Than Pensions

The Company sponsors a postretirement plan that provides for healthcare benefits, and in some instances, life insurance benefits that cover certain eligible employees. The Company funds postretirement benefit obligations principally on a pay-as-you-go basis. Generally, postretirement health benefits are contributory with contributions adjusted annually. Life insurance plans for retirees are primarily noncontributory.

On December 1, 2013 the Schlage Lock Company LLC Postretirement other than Pensions Plan ("Schlage Postretirement Plan") was established in connection with the Spin-off. The Schlage Postretirement Plan provides postretirement benefits other than pensions to Allegion employees and former Allegion employees who were participants in certain Ingersoll Rand Postretirement Benefits Other than Pension Plans. The Schlage Postretirement Plan assumed all liabilities related to Schlage Postretirement Plan participants and no assets were transferred to the Schlage Postretirement plan.

The following table details information regarding the Company’s postretirement plans at December 31:

In millions	2014			2013
Change in benefit obligations:
Benefit obligation at beginning of year	$	14.2		$	18.0
Service cost	0.1			0.3
Interest cost	0.5			0.5
Actuarial gains	(0.2		)	(3.6		)
Benefits paid, net of Medicare Part D subsidy	(1.0		)	(1.0		)
Benefit obligations at end of year	$	13.6		$	14.2

Funded status:
Plan assets less than benefit obligations	$	(13.6	)	$	(14.2	)
Amounts included in the balance sheet:
Accrued compensation and benefits	$	(1.0	)	$	(1.1	)
Postemployment and other benefit liabilities	(12.6		)	(13.1		)
Total	$	(13.6	)	$	(14.2	)

The pretax amounts recognized in Accumulated other comprehensive income (loss) were as follows:

In millions	Prior service gains			Net actuarial losses			Total
December 31, 2012	$	12.1		$	(6.6	)	$	5.5
Current year changes recorded to Accumulated other comprehensive income	—			3.6			3.6
Amortization reclassified to earnings	(2.2		)	0.1			(2.1		)
Net gain / (loss) resulting from Spin-off	(2.8		)	1.2			(1.6		)
Balance at December 31, 2013	$	7.1		$	(1.7	)	$	5.4
Current year changes recorded to Accumulated other comprehensive loss	—			1.0			1.0
Amortization reclassified to earnings	(1.6		)	—			(1.6		)
Balance at December 31, 2014	$	5.5		$	(0.7	)	$	4.8

The components of net periodic postretirement benefit cost (income) for the years ended December 31 were as follows:

In millions	2014			2013			2012
Service cost	$	0.1		$	0.3		$	0.3
Interest cost	0.5			0.5			0.7
Net amortization of:
Prior service gains	(1.6		)	(2.2		)	(2.0		)
Net actuarial losses	—			0.1			0.2
Net periodic postretirement benefit cost (income)	$	(1.0	)	$	(1.3	)	$	(0.8	)

Postretirement income for 2015 is projected to be $1.0 million. Amounts expected to be recognized in net periodic postretirement benefits cost in 2015 for prior service gains and plan net actuarial losses are $1.6 million and less than $0.1 million.

Assumptions:	2014		2013		2012
Weighted-average discount rate assumption to determine:
Benefit obligations at December 31	3.50	%	4.00	%	3.25	%
Net periodic benefit cost	4.00	%	3.25	%	3.75	%
Assumed health-care cost trend rates at December 31:
Current year medical inflation	7.25	%	7.65	%	8.05	%
Ultimate inflation rate	5.00	%	5.00	%	5.00	%
Year that the rate reaches the ultimate trend rate	2021		2021		2021

A 1% change in the medical trend rate assumed for postretirement benefits would have the following effects at December 31, 2014:

In millions	1% Increase		1% Decrease
Effect on postretirement benefit obligation	$	0.1	$	(0.1	)

Benefit payments for postretirement benefits, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be paid as follows:

In millions
2015	$	1.0
2016	1.1
2017	1.1
2018	1.2
2019	1.2
2020 - 2024	5.5

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Property, Plant and Equipment (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 34.5	$ 36.1	$ 34.3
Software amortization	$ (12.7)	$ (12.6)	$ (10.4)

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Income Taxes (Operating Loss and Tax Credit Carryforwards) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
U.S. Federal net operating loss carryforwards	$ 45.2	$ 35.0
United States [Member]
U.S. Federal net operating loss carryforwards	15.4
U.S. credit carryforwards	20.6
State and Local Jurisdiction [Member]
U.S. State net operating loss carryforwards	14.7
Non-U.S. [Member]
Non-U.S. net operating loss carryforwards	$ 90.9

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Debt and Credit Facilities

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Debt and Credit Facilities

DEBT AND CREDIT FACILITIES

At December 31, long-term debt and other borrowings consisted of the following:

In millions	December 31, 2014		December 31, 2013
Term Loan A Facility due 2018	$	—	$	500.0
Term Loan A Facility due 2019	962.8		—
Term Loan B Facility due 2020	—		500.0
5.75% Senior notes due 2021	300.0		300.0
Other debt, including capital leases, maturing in various amounts through 2016	1.8		43.9
Total debt	$	1,264.6	$	1,343.9
Less current portion of long term debt	49.6		71.9
Total long-term debt	$	1,215.0	$	1,272.0

Senior Secured Credit Facilities

In November 2013, the Company entered into a credit agreement providing for (i) $1.0 billion of Senior Secured Term Loan Facilities, consisting of a $500 million "tranche A" Term Loan Facility due in 2018 (the "Term Loan A Facility") and a $500 million "tranche B" Term Loan Facility due in 2020 (the "Term Loan B Facility,") and (ii) a $500.0 million Senior Secured Revolving Credit Facility (the "Revolver") maturing in 2018. The Company refers to these credit facilities as its "Senior Secured Credit Facilities." The net proceeds of the Term Loan A Facility and Term Loan B Facility were distributed to Ingersoll Rand in connection with the Spin-off.

On October 15, 2014, the Company entered into an agreement to amend and restate its existing credit agreement (the “Amended and Restated Credit Agreement”). The Amended and Restated Credit Agreement, among other things, (1) increased the size of the Term A Loan Facility to $975.0 million and borrowed an additional $493.8 million under the facility, (2) repaid the outstanding Term Loan B Facility with the proceeds from the Term Loan A Facility, (3) reduced credit spreads on Term Loan A Facility 25 basis points and eliminated the LIBOR floor associated with Term Loan B Facility and (4) extended the applicable maturities from September 27, 2018 to October 15, 2019. The availability under the Revolver remained unchanged, and continues to permit borrowing of up to $500.0 million. In addition to repaying the outstanding Term Loan B Facility of $500.0 million, the Company repaid $31.0 million of principal on its Term Loan A Facility during the year ended December 31, 2014. Borrowings outstanding under the Term Loan A Facility were $962.8 million on December 31, 2014. Allegion plc also became the primary borrower under the Amended and Restated Credit Agreement.

In the fourth quarter, the Company incurred a non-cash charge of approximately $4.5 million associated with the write-off of the unamortized Term Loan B Facility debt issuance costs.

Term Facilities. The Term Loan A Facility amortizes in quarterly installments at the following rates per year: 5% in 2015; 5% in 2016 and 10% in each year thereafter, with the final installment due on October 15, 2019.

Revolver.The five-year Senior Secured Revolving Credit Facility permits borrowings of up to $500.0 million. The Revolver is comprised of two tranches: a $400 million tranche available in U.S. Dollars and a multi-currency tranche capped at $100 million. The Revolver also includes $100.0 million available for the issuance of letters of credit, however outstanding letters of credit reduce availability under the Revolver. The Revolver matures and the commitments thereunder will terminate on October 15, 2019. The Company pays certain fees with respect to the Revolver, including a commitment fee on the undrawn portion of the Revolver of 0.25% per year. At December 31, 2014, the Company did not have any borrowings outstanding under the Revolver and had $28.5 million of letters of credit outstanding.

Guarantees and Collateral.The indebtedness, obligations and liabilities under the Senior Secured Credit Facilities are unconditionally guaranteed jointly and severally on a senior secured basis by certain of Allegion plc's restricted subsidiaries, and will be secured, subject to permitted liens and other exceptions and exclusions, by a first-priority lien on substantially all tangible and intangible assets of the borrowers and each domestic guarantor (including (i) a perfected pledge of all of the capital stock of the borrower and each direct, wholly-owned material restricted subsidiary held by the borrowers or any guarantor (subject to certain limitations with respect to foreign subsidiaries) and (ii) perfected security interests in, and mortgages on, accounts, inventory, equipment, general intangibles, commercial tort claims, investment property, intellectual property, material fee-owned real property, letter-of-credit rights, intercompany notes and proceeds of the foregoing, except for certain excluded assets.

Mandatory Prepayments.In accordance with the Senior Secured Credit Facility, net cash proceeds of non-recourse asset sales and proceeds received from certain additional indebtedness will require prepayment of the Term Loan with proceeds received. In addition, starting with the year ended December 31, 2015 the Company may be required to apply between 0%-50% of its annual excess cash flow (as defined in the Senior Secured Credit Facility) to the prepayment of the Senior Secured Credit Facility. However, this percentage reduces to certain levels and eventually to zero upon achievement certain leverage ratios.

Voluntary Prepayments. The Company may voluntarily prepay the outstanding Term Facility in whole or in part at any time without premium or penalty. Optional prepayments of the Term Facility will be applied to the remaining installments at the direction of the borrower.

Commitments under the Revolver may be reduced in whole or in part at any time without premium or penalty.

Covenants.The Senior Secured Credit Facilities contain certain customary covenants that, among other things, limit or restrict (subject to certain exceptions) the Company's ability to incur certain indebtedness, grant certain liens, make certain investments, declare or pay certain dividends or redeem or repurchase capital stock.

In addition, the Senior Secured Credit Facilities contain certain financial covenants, which include a maximum leverage ratio and an interest expense coverage ratio. As of December 31, 2014, the Company is required to comply with a maximum leverage ratio of 4.00 to 1.00 based on a ratio of total consolidated indebtedness, net of unrestricted cash up to $125 million, to consolidated EBITDA. The ratio declines to 3.75 to 1.00 in the first quarter of 2015. In addition, as of December 31, 2014, the Company is required to have a minimum interest expense coverage ratio of 3.50 to 1.00 based on a ratio of consolidated EBITDA to consolidated interest expense, net of interest income. This ratio increases to 4.00 to 1.00 in the first quarter of 2015.

As of December 31, 2014 the Company was in compliance with all of these covenants.

Interest Rates and Fees.Outstanding borrowings under the Senior Secured Credit Facilities accrue interest, at the option of the borrower, at a per annum rate of (i) LIBOR plus the applicable margin or (ii) a base rate plus the applicable margin. As of December 31, 2014, the Company elected to borrow utilizing LIBOR. The applicable margin for borrowings under the Revolver and the Term Loan A Facility is subject to a credit facility rating-based pricing grid with the LIBOR ranging from 1.50% to 2.00%. The margin for Term Loan A Facility borrowings was 1.75% as of December 31, 2014.

In June 2014, the Company entered into forward starting interest rate swaps for $300.0 million of the Company's variable rate $975.0 million Term Loan Facilities. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016.

Senior Notes

In October 2013, Allegion US Holding Company Inc., the Company's wholly-owned subsidiary (the "Borrower"), issued $300 million of 5.75% senior notes due 2021 (the "Senior Notes"). The Senior Notes have been registered under the Securities Act of 1933, as amended. The Senior Notes accrue interest at the rate of 5.75% per annum, payable semi-annually on April 1 and October 1 of each year. The Senior Notes mature on October 1, 2021. The terms of the indenture governing the Senior Notes (the “Indenture”) provide that, among other things, the Senior Notes rank equally in right of payment to all of the issuer’s and Allegion plc’s existing and future senior unsecured indebtedness and effectively junior to all of the issuer’s and the guarantors’ existing and future secured indebtedness (including indebtedness with respect to the Senior Secured Credit Facilities) to the extent of the value of the assets securing such indebtedness. The Senior Notes are structurally subordinated to all of the existing and future liabilities of the Company's subsidiaries that do not guarantee the Senior Notes. The net proceeds of this indebtedness were distributed to Ingersoll Rand in connection with the Spin-off.

Guarantees. Allegion plc and certain of its subsidiaries joint and severally guarantee the issuer’s obligations under the Senior Notes on a senior unsecured basis.

Covenants.The Senior Notes contain certain customary covenants that, among other things, limit or restrict (subject to certain exceptions) the Company's ability to incur certain indebtedness, grant certain liens, make certain investments, declare or pay certain dividends or redeem or repurchase capital stock.

At December 31, 2014, future retirements for the amounts outstanding under the Senior Secured Credit Facilities and the Senior Notes are as follows:

In millions
2015	$	48.8
2016	48.8
2017	97.5
2018	97.5
2019	670.2
Thereafter	300.0
Total	$	1,262.8

At December 31, 2014, the weighted-average interest rate for borrowings was 2.0% under the Senior Secured Credit Facilities and 5.75% under the Senior Notes. Cash paid for interest for the year ended December 31, 2014 was approximately $45.0 million.

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Financial Instruments

12 Months Ended

Dec. 31, 2014

Financial Instruments Abstract

Financial Instruments

FINANCIAL INSTRUMENTS

In the normal course of business, the Company uses various financial instruments, including derivative instruments, to manage the risks associated with currency rate exposures. These financial instruments are not used for trading or speculative purposes.

On the date a derivative contract is entered into, the Company designates the derivative instrument as a cash flow hedge of a forecasted transaction, a cash flow hedge of a recognized asset or liability, or as an undesignated derivative. The Company formally documents its hedge relationships, including identification of the derivative instruments and the hedged items, as well as its risk management objectives and strategies for undertaking the hedge transaction. This process includes linking derivative instruments that are designated as hedges to specific assets, liabilities or forecasted transactions.

The fair market value of derivative instruments is determined through market-based valuations and may not be representative of the actual gains or losses that will be recorded when these instruments mature due to future fluctuations in the markets in which they are traded.

The Company assesses at inception and at least quarterly thereafter, whether the derivatives used in cash flow hedging transactions are highly effective in offsetting the changes in the cash flows of the hedged item. To the extent the derivative is deemed to be a highly effective hedge, the fair market value changes of the instrument are recorded to accumulated other comprehensive income (AOCI).

Any ineffective portion of a derivative instrument’s change in fair value is recorded in Net earnings in the period of change. If the hedging relationship ceases to be highly effective, or it becomes probable that a forecasted transaction is no longer expected to occur, the hedging relationship will be undesignated and any future gains and losses on the derivative instrument will be recorded in Net earnings.

Currency Hedging Instruments

The net notional amount of the Company’s currency derivatives were $68.5 million and $209.6 million at December 31, 2014 and 2013, respectively. At December 31, 2014 and 2013, gains of $1.6 million and $0.5 million, net of tax, respectively, were included in AOCI related to the fair value of the Company’s currency derivatives designated as accounting hedges. The amount expected to be reclassified into Net earnings over the next twelve months is a gain of $1.6 million. The actual amounts that will be reclassified to Net earnings may vary from this amount as a result of changes in market conditions. Gains and losses associated with the Company’s currency derivatives not designated as hedges are recorded in Net earnings as changes in fair value occur. At December 31, 2014, the maximum term of the Company’s currency derivatives was less than one year.

Interest Rate Swaps

In June 2014, the Company entered into forward starting interest rate swaps to fix interest rate paid during the contract period for $300.0 million of the Company's variable rate $975.0 million Term Loan Facilities. Swaps with notional amounts totaling $275.0 million become effective in January 2015 and expire in September 2017 and swaps with notional amounts totaling $25.0 million become effective in January 2015 and expire in December 2016. These interest rate swaps met the criteria to be accounted for as cash flow hedges of variable rate interest payments. Consequently, the changes in fair value of the interest rate swaps were recognized in AOCI. At December 31, 2014, $0.9 million of losses were recorded in AOCI related to these interest rate swaps and none are expected to be reclassified into Interest expense over the next twelve months.

The fair values of derivative instruments included within the Consolidated Balance Sheets as of December 31 were as follows:

	Asset derivatives				Liability derivatives
In millions	2014		2013		2014		2013
Derivatives designated as hedges:
Currency derivatives	$	2.1	$	0.7	$	—	$	—
Interest rate swaps	—		—		0.9		—
Derivatives not designated as hedges:
Currency derivatives	2.2		—		13.9		2.7
Total derivatives	$	4.3	$	0.7	$	14.8	$	2.7

Asset and liability derivatives included in the table above are recorded within Other current assets and Accrued expenses and other current liabilities, respectively.

The amounts associated with derivatives designated as hedges affecting Net earnings and AOCI for the years ended December 31 were as follows:

	Amount of gain (loss) recognized in AOCI								Location of gain (loss) reclassified from AOCI and recognized into Net earnings	Amount of gain (loss) reclassified from AOCI and recognized into Net earnings
In millions	2014			2013		2012				2014		2013		2012
Currency derivatives	$	1.6		$	1.1	$	(1.1	)	Cost of goods sold	$	2.5	$	0.9	$	(0.2	)
Interest rate swaps	(0.9		)	—		—			Interest expense	—		—		—
Total	$	0.7		$	1.1	$	(1.1	)		$	2.5	$	0.9	$	(0.2	)

Concentration of Credit Risk

The counterparties to the Company’s forward contracts and swaps consist of a number of investment grade major international financial institutions. The Company could be exposed to losses in the event of nonperformance by the counterparties. However, the credit ratings and the concentration of risk in these financial institutions are monitored on a continuous basis and present no significant credit risk to the Company.

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Fair Value Measurements

12 Months Ended

Dec. 31, 2014

Fair Value Measurement Abstract

Fair Value Measurements

FAIR VALUE MEASUREMENTS

Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are based on a framework that utilizes the inputs market participants use to determine the fair value of an asset or liability and establishes a fair value hierarchy to prioritize those inputs. The fair value hierarchy is comprised of three levels that are described below:

• Level 1 – Inputs based on quoted prices in active markets for identical assets or liabilities.

• Level 2 – Inputs other than Level 1 quoted prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability.

• Level 3 – Unobservable inputs based on little or no market activity and that are significant to the fair value of the assets and liabilities.

The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs are obtained from independent sources and can be validated by a third party, whereas unobservable inputs reflect assumptions regarding what a third party would use in pricing an asset or liability based on the best information available under the circumstances. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

Assets and liabilities measured at fair value at December 31, 2014 are as follows:

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	17.9	$	—	$	—	$	17.9
Derivative instruments	—		4.3		—		4.3
Total asset recurring fair value measurements	$	17.9	$	4.3	$	—	$	22.2
Liabilities:
Derivative instruments	$	—	$	13.9	$	—	$	13.9
Interest rate swap	—		0.9		—		0.9
Total liability recurring fair value measurements	$	—	$	14.8	$	—	$	14.8
Financial instruments not carried at fair value:
Total debt	$	—	$	1,279.4	$	—	$	1,279.4
Total financial instruments not carried at fair value	$	—	$	1,279.4	$	—	$	1,279.4

Assets and liabilities measured at fair value at December 31, 2013 are as follows:

	Fair value measurements						Total fair value
In millions	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring fair value measurements
Assets:
Marketable securities	$	20.2	$	—	$	—	$	20.2
Derivative instruments	—		0.7		—		0.7
Total asset recurring fair value measurements	$	20.2	$	0.7	$	—	$	20.9
Liabilities:
Derivative instruments	$	—	$	2.7	$	—	$	2.7
Total liability recurring fair value measurements	$	—	$	2.7	$	—	$	2.7
Financial instruments not carried at fair value:
Total debt	$	—	$	1,312.6	$	—	$	1,312.6
Total financial instruments not carried at fair value	$	—	$	1,312.6	$	—	$	1,312.6

The Company determines the fair value of its financial assets and liabilities using the following methodologies:

• Marketable securities – These securities include investments in publicly traded stock of non-U.S. companies held by non-U.S. subsidiaries of the Company. The fair value is obtained for the securities based on observable market prices quoted on public stock exchanges.

• Derivative instruments – These instruments include forward foreign currency contracts and instruments related to non-functional currency balance sheet exposures. The fair value of the derivative instruments are determined based on a pricing model that uses spot rates and forward prices from actively quoted currency markets that are readily accessible and observable.

• Interest rate swaps – These instruments include forward-starting interest rate swap contracts for $300.0 million of the Company's variable rate debt. The fair value of the derivative instruments are determined based on quoted prices for the Company's swaps, which are not considered an active market.

• Total debt - The fair value of long-term debt is based upon observable market prices quoted on public exchanges for similar assets.

The carrying values of cash and cash equivalents, restricted cash, accounts receivable, accounts payable and short-term borrowings are a reasonable estimate of their fair value due to the short-term nature of these instruments.

The methodology used by the Company to determine the fair value of its financial assets and liabilities at December 31, 2014 are the same as those used at December 31, 2013. There have been no significant transfers between Level 1 and Level 2 categories.

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Intangible Assets Intangible Assets Narrative (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Intangible Assets Abstract
Amortization of intangible assets	$ 9.5	$ 9.5	$ 9.5
Future estimated amortization expense, year one	7.8
Future estimated amortization expense, year two	7.7
Future estimated amortization expense, year four	7.6
Future estimated amortization expense, year five	$ 7.6

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Related Party Transactions Schedule of Related Party Transactions (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Related Party Transaction [Line Items]
Related Party Costs		$ 174.5	$ 176.7
Transition Services Agreement Expense	2.9	0.5
Centrally Managed Costs [Member]
Related Party Transaction [Line Items]
Related Party Costs		104.6	94.8
Costs Allocated from Ingersoll Rand [Member]
Related Party Transaction [Line Items]
Related Party Costs		36.6	53.5
Costs Not Previously Allocated [Member]
Related Party Transaction [Line Items]
Related Party Costs		$ 33.3	$ 28.4

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Change in Medical Trend Rate Assumed for Postretirement Benefits) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014
Effect on postretirement benefit obligation, 1% Increase	$ 0.1
Effect on postretirement benefit obligation, 1% Decrease	$ (0.1)

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Debt and Credit Facilities (Short-Term Borrowings and Current Maturities of Long-Term Debt) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Short-term Debt [Line Items]
Short-term borrowings and current maturities of long-term debt	$ 49.6	$ 71.9

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Restructuring Activities (Restructuring Reserve) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Restructuring reserve, beginning balance	$ 2.8
Additions	7.1	5.8	7.5
Restructuring reserve, ending balance	$ 1.9	$ 2.8

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Intangible Assets (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Finite-lived intangible assets, gross	$ 222.6	$ 249.0
Accumulated amortization	(107.0)	(111.9)
Total net finite-lived intangible assets	115.6	137.1
Total intangible assets, excluding goodwill, gross	232.7	258.0
Intangible assets, net	125.7	146.1
Completed Technology/Patents [Member]
Finite-lived intangible assets, gross	27.8	26.4
Accumulated amortization	(23.2)	(23.6)
Total net finite-lived intangible assets	4.6	2.8
Customer Relationships [Member]
Finite-lived intangible assets, gross	94.7	107.8
Accumulated amortization	(37.0)	(38.1)
Total net finite-lived intangible assets	57.7	69.7
Trademarks [Member]
Finite-lived intangible assets, gross	89.3	101.4
Accumulated amortization	(36.0)	(36.8)
Total net finite-lived intangible assets	53.3	64.6
Other Intangible Assets [Member]
Finite-lived intangible assets, gross	10.8	13.4
Accumulated amortization	(10.8)	(13.4)
Total net finite-lived intangible assets	0	0
Trademarks [Member]
Trademarks, indefinite lived	$ 10.1	$ 9.0

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Equity Equity (Other Comprehensive Income in Noncontrolling Interest) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Noncontrolling Interest [Line Items]
Other comprehensive income (loss) attributable to noncontrolling interest, net of tax	$ (0.7)	$ 0.8	$ 0.5
Foreign Currency Gain (Loss) [Member]
Noncontrolling Interest [Line Items]
Other comprehensive income (loss) attributable to noncontrolling interest, net of tax	$ (0.7)	$ 0.8	$ 0.5

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Guarantor Financial Information (Condensed Consolidating Statement of Comprehensive Income) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
Cost of goods sold	(1,264.6)	(1,208.1)	(1,197.7)
Selling and administrative expenses	(527.4)	(483.1)	(454.3)
Gain (loss) on sale/asset impairment	0	(137.6)	0
Operating Income (Loss)	326.3	240.8	371.3
Equity earnings (loss) in affiliates, net of tax	0	0	0
Interest Expense	53.8	10.2	1.5
Intercompany Interest And Fees	0	0	0
Other, net	4.6	7.2	3.1
Earnings (loss) before income taxes	267.9	223.4	366.7
Benefit (provision) for income taxes	(84.2)	(175.0)	(136.7)
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	183.7	48.4	230.0
Discontinued operations, net of tax	(11.1)	(3.6)	(4.2)
Net earnings	172.6	44.8	225.8
Less: Net earnings attributable to noncontrolling interests	2.6	(12.5)	(5.7)
Net earnings (loss) attributable to Allegion plc	175.2	32.3	220.1
Total comprehensive income (loss), net of tax	120.4	(43.4)	247.7
Total comprehensive (income) loss attributable to noncontrolling interests	3.3	(13.3)	(6.2)
Total comprehensive income (loss) attributable to Allegion plc	123.7	(56.7)	241.5
Goodwill, Impairment Loss	0	137.6	0
Parent Company [Member]
Net revenues	0	0	0
Cost of goods sold	0	0	0
Selling and administrative expenses	(4.5)	(0.9)	0
Operating Income (Loss)	(4.5)	(0.9)	0
Equity earnings (loss) in affiliates, net of tax	182.0	33.2	220.1
Interest Expense	5.6	0	0
Intercompany Interest And Fees	3.2	0	0
Other, net	0.1	0	0
Earnings (loss) before income taxes	175.2	32.3	220.1
Benefit (provision) for income taxes	0	0	0
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	175.2	32.3	220.1
Discontinued operations, net of tax	0	0	0
Net earnings	175.2	32.3	220.1
Less: Net earnings attributable to noncontrolling interests	0	0	0
Net earnings (loss) attributable to Allegion plc	175.2	32.3	220.1
Total comprehensive income (loss), net of tax	123.7	(56.7)	241.5
Total comprehensive (income) loss attributable to noncontrolling interests	0	0	0
Total comprehensive income (loss) attributable to Allegion plc	123.7	(56.7)	241.5
Goodwill, Impairment Loss	0	0	0
Other Subsidiaries [Member]
Net revenues	916.4	880.0	967.3
Cost of goods sold	(659.5)	(613.4)	(701.1)
Selling and administrative expenses	(218.3)	(242.8)	(197.5)
Operating Income (Loss)	38.6	(113.8)	68.7
Equity earnings (loss) in affiliates, net of tax	351.5	233.6	198.8
Interest Expense	1.0	1.8	1.5
Intercompany Interest And Fees	(225.7)	(16.4)	0
Other, net	(4.9)	9.4	(14.2)
Earnings (loss) before income taxes	158.5	111.0	251.8
Benefit (provision) for income taxes	95.7	(53.3)	(20.4)
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	254.2	57.7	231.4
Discontinued operations, net of tax	(11.1)	(3.6)	(5.7)
Net earnings	243.1	54.1	225.7
Less: Net earnings attributable to noncontrolling interests	2.6	(12.5)	(5.7)
Net earnings (loss) attributable to Allegion plc	245.7	41.6	220.0
Total comprehensive income (loss), net of tax	242.4	55.0	226.2
Total comprehensive (income) loss attributable to noncontrolling interests	3.3	(13.3)	(6.2)
Total comprehensive income (loss) attributable to Allegion plc	245.7	41.7	220.0
Goodwill, Impairment Loss	0	137.6	0
Consolidating Adjustments [Member]
Net revenues	(198.0)	(205.4)	(242.0)
Cost of goods sold	198.0	205.4	242.0
Selling and administrative expenses	0	0	0
Operating Income (Loss)	0	0	0
Equity earnings (loss) in affiliates, net of tax	(711.2)	(368.7)	(623.4)
Interest Expense	(10.8)	0	0
Intercompany Interest And Fees	0	0	0
Other, net	0	0	0
Earnings (loss) before income taxes	(700.4)	(368.7)	(623.4)
Benefit (provision) for income taxes	(4.0)	0	0
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	(704.4)	(368.7)	(623.4)
Discontinued operations, net of tax	0	0	0
Net earnings	(704.4)	(368.7)	(623.4)
Less: Net earnings attributable to noncontrolling interests	0	0	0
Net earnings (loss) attributable to Allegion plc	(704.4)	(368.7)	(623.4)
Total comprehensive income (loss), net of tax	(704.4)	(368.7)	(623.4)
Total comprehensive (income) loss attributable to noncontrolling interests	0	0	0
Total comprehensive income (loss) attributable to Allegion plc	(704.4)	(368.7)	(623.4)
Goodwill, Impairment Loss	0	0	0
Subsidiary Issuer [Member]
Net revenues	0	0	0
Cost of goods sold	0	0	0
Selling and administrative expenses	(0.2)	0	0
Operating Income (Loss)	(0.2)	0	0
Equity earnings (loss) in affiliates, net of tax	170.8	95.2	203.0
Interest Expense	58.0	8.4	0
Intercompany Interest And Fees	(63.0)	(4.6)	0
Other, net	0	0	0
Earnings (loss) before income taxes	49.6	82.2	203.0
Benefit (provision) for income taxes	46.7	4.6	0
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	96.3	86.8	203.0
Discontinued operations, net of tax	0	0	0
Net earnings	96.3	86.8	203.0
Less: Net earnings attributable to noncontrolling interests	0	0	0
Net earnings (loss) attributable to Allegion plc	96.3	86.8	203.0
Total comprehensive income (loss), net of tax	96.3	86.8	203.0
Total comprehensive (income) loss attributable to noncontrolling interests	0	0	0
Total comprehensive income (loss) attributable to Allegion plc	96.3	86.8	203.0
Goodwill, Impairment Loss	0	0	0
Guarantor Subsidiaries [Member]
Net revenues	1,399.9	1,395.0	1,298.0
Cost of goods sold	(803.1)	(800.1)	(738.6)
Selling and administrative expenses	(304.4)	(239.4)	(256.8)
Operating Income (Loss)	292.4	355.5	302.6
Equity earnings (loss) in affiliates, net of tax	6.9	6.7	1.5
Interest Expense	0	0	0
Intercompany Interest And Fees	285.5	21.0	0
Other, net	0.2	(16.6)	11.1
Earnings (loss) before income taxes	585.0	366.6	315.2
Benefit (provision) for income taxes	(222.6)	(126.3)	(116.3)
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest	362.4	240.3	198.9
Discontinued operations, net of tax	0	0	1.5
Net earnings	362.4	240.3	200.4
Less: Net earnings attributable to noncontrolling interests	0	0	0
Net earnings (loss) attributable to Allegion plc	362.4	240.3	200.4
Total comprehensive income (loss), net of tax	362.4	240.3	200.4
Total comprehensive (income) loss attributable to noncontrolling interests	0	0	0
Total comprehensive income (loss) attributable to Allegion plc	362.4	240.3	200.4
Goodwill, Impairment Loss	$ 0	$ 0	$ 0

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Property, Plant and Equipment (Tables)

12 Months Ended

Dec. 31, 2014

Property, Plant and Equipment [Abstract]

Schedule of Major Classes of Property, Plant and Equipment

At December 31, the major classes of property, plant and equipment were as follows:

In millions	2014			2013
Land	$	14.0		$	16.5
Buildings	120.5			126.3
Machinery and equipment	355.5			341.6
Software	96.8			82.0
	586.8			566.4
Accumulated depreciation	(375.6		)	(366.2		)
Total	$	211.2		$	200.2

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Guarantor Financial Information Condensed Statement of Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2014

Guarantor Financial Information Abstract

Condensed Statement Of Comprehensive Income [Table Text Block]

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,399.9		$	916.4		$	(198.0	)	$	2,118.3
Cost of goods sold	—			—			803.1			659.5			(198.0		)	1,264.6
Selling and administrative expenses	4.5			0.2			304.4			218.3			—			527.4
Goodwill impairment charge	—			—			—			—			—			—
Operating income (loss)	(4.5		)	(0.2		)	292.4			38.6			—			326.3
Equity earnings (loss) in affiliates, net of tax	182.0			170.8			6.9			351.5			(711.2		)	—
Interest expense	5.6			58.0			—			1.0			(10.8		)	53.8
Intercompany interest and fees	(3.2		)	63.0			(285.5		)	225.7			—			—
Other (gain) loss, net	(0.1		)	—			(0.2		)	4.9			—			4.6
Earnings (loss) before income taxes	175.2			49.6			585.0			158.5			(700.4		)	267.9
Provision (benefit) for income taxes	—			(46.7		)	222.6			(95.7		)	4.0			84.2
Earnings (loss) from continuing operations	175.2			96.3			362.4			254.2			(704.4		)	183.7
Discontinued operations, net of tax	—			—			—			(11.1		)	—			(11.1		)
Net earnings (loss)	175.2			96.3			362.4			243.1			(704.4		)	172.6
Less: Net earnings attributable to noncontrolling interests	—			—			—			(2.6		)	—			(2.6		)
Net earnings (loss) attributable to Allegion plc	$	175.2		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	175.2
Total comprehensive income (loss)	$	123.7		$	96.3		$	362.4		$	242.4		$	(704.4	)	$	120.4
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			(3.3		)	—			(3.3		)
Total comprehensive income (loss) attributable to Allegion plc	$	123.7		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	123.7

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,395.0		$	880.0		$	(205.4	)	$	2,069.6
Cost of goods sold	—			—			800.1			613.4			(205.4		)	1,208.1
Selling and administrative expenses	0.9			—			239.4			242.8			—			483.1
Goodwill impairment charge	—			—			—			137.6			—			137.6
Operating income (loss)	(0.9		)	—			355.5			(113.8		)	—			240.8
Equity earnings (loss) in affiliates, net of tax	33.2			95.2			6.7			233.6			(368.7		)	—
Interest expense	—			8.4			—			1.8			—			10.2
Intercompany interest and fees	—			4.6			(21.0		)	16.4			—			—
Other (gain) loss, net	—			—			16.6			(9.4		)	—			7.2
Earnings (loss) before income taxes	32.3			82.2			366.6			111.0			(368.7		)	223.4
Provision (benefit) for income taxes	—			(4.6		)	126.3			53.3			—			175.0
Earnings (loss) from continuing operations	32.3			86.8			240.3			57.7			(368.7		)	48.4
Discontinued operations, net of tax	—			—			—			(3.6		)	—			(3.6		)
Net earnings (loss)	32.3			86.8			240.3			54.1			(368.7		)	44.8
Less: Net earnings attributable to noncontrolling interests	—			—			—			12.5			—			12.5
Net earnings (loss) attributable to Allegion plc	$	32.3		$	86.8		$	240.3		$	41.6		$	(368.7	)	$	32.3
Total comprehensive income (loss)	$	(56.7	)	$	86.8		$	240.3		$	55.0		$	(368.7	)	$	(43.4	)
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			13.3			—			13.3
Total comprehensive income (loss) attributable to Allegion plc	$	(56.7	)	$	86.8		$	240.3		$	41.7		$	(368.7	)	$	(56.7	)

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—	$	—	$	1,298.0		$	967.3		$	(242.0	)	$	2,023.3
Cost of goods sold	—		—		738.6			701.1			(242.0		)	1,197.7
Selling and administrative expenses	—		—		256.8			197.5			—			454.3
Goodwill impairment charge	—		—		—			—			—			—
Operating income	—		—		302.6			68.7			—			371.3
Equity earnings (loss) in affiliates, net of tax	220.1		203.0		1.5			198.8			(623.4		)	—
Interest expense	—		—		—			1.5			—			1.5
Intercompany interest and fees	—		—		—			—			—			—
Other (gain) loss, net	—		—		(11.1		)	14.2			—			3.1
Earnings (loss) before income taxes	220.1		203.0		315.2			251.8			(623.4		)	366.7
Provision for income taxes	—		—		116.3			20.4			—			136.7
Earnings (loss) from continuing operations	220.1		203.0		198.9			231.4			(623.4		)	230.0
Discontinued operations, net of tax	—		—		1.5			(5.7		)	—			(4.2		)
Net earnings (loss)	220.1		203.0		200.4			225.7			(623.4		)	225.8
Less: Net earnings attributable to noncontrolling interests	—		—		—			5.7			—			5.7
Net earnings (loss) attributable to Allegion plc	$	220.1	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	220.1
Total comprehensive income (loss)	$	241.5	$	203.0	$	200.4		$	226.2		$	(623.4	)	$	247.7
Less: Total comprehensive income attributable to noncontrolling interests	—		—		—			6.2			—			6.2
Total comprehensive income (loss) attributable to Allegion plc	$	241.5	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	241.5

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Income Taxes

12 Months Ended

Dec. 31, 2014

Income Tax Expense (Benefit), Continuing Operations [Abstract]

Income Taxes

INCOME TAXES

The Company and its subsidiaries, prior to the Spin-off, were included in Ingersoll Rand's income tax returns in certain taxing jurisdictions. In preparing the combined and consolidated financial statements, the Company has determined the tax provision for those jurisdictions on a separate return basis.

Earnings (loss) before income taxes for the years ended December 31 were taxed within the following jurisdictions:

In millions	2014		2013			2012
United States	$	162.2	$	320.1		$	317.9
Non-U.S.	105.7		(96.7		)	48.8
Total	$	267.9	$	223.4		$	366.7

The components of the Provision for income taxes for the years ended December 31 were as follows:

In millions	2014		2013		2012
Current tax expense (benefit):
United States	$	52.9	$	118.5	$	121.3
Non-U.S.	14.1		37.6		18.6
Total:	67.0		156.1		139.9
Deferred tax expense (benefit):
United States	15.6		7.7		(3.7		)
Non-U.S.	1.6		11.2		0.5
Total:	17.2		18.9		(3.2		)
Total tax expense (benefit):
United States	68.5		126.2		117.6
Non-U.S.	15.7		48.8		19.1
Total	$	84.2	$	175.0	$	136.7

The Provision for income taxes differs from the amount of income taxes determined by applying the applicable U.S. statutory income tax rate to pretax income, as a result of the following differences:

	Percent of pretax income
	2014		2013		2012
Statutory U.S. rate	35.0	%	35.0	%	35.0	%
Increase (decrease) in rates resulting from:
Non-U.S. tax rate differential	(11.2	)	(3.0	)	(0.5	)
State and local income taxes (1)	3.0		5.5		2.8
Valuation allowances	1.6		16.0		0.5
Goodwill impairment charge	—		18.2		—
Reserves for uncertain tax positions	(2.1	)	4.4		0.6
Tax on unremitted earnings	0.3		3.3		—
Tax on remitted earnings	2.5		—		—
Venezuela devaluation	4.0		—		—
Production incentives	(2.4	)	(2.2	)	—
Other adjustments	0.7		1.1		(1.1	)
Effective tax rate	31.4	%	78.3	%	37.3	%

(1) Net of changes in valuation allowances

At December 31, a summary of the deferred tax accounts were as follows:

In millions	2014			2013
Deferred tax assets:
Inventory and accounts receivable	$	10.8		$	13.6
Fixed assets and intangibles	22.3			55.5
Postemployment and other benefit liabilities	63.3			51.9
Other reserves and accruals	11.1			8.5
Net operating losses and credit carryforwards	45.2			35.0
Investment and other asset basis differences	1.3			—
Other	1.0			0.3
Gross deferred tax assets	155.0			164.8
Less: deferred tax valuation allowances	(50.8		)	(46.9		)
Deferred tax assets net of valuation allowances	$	104.2		$	117.9
Deferred tax liabilities:
Fixed assets and intangibles	$	(34.6	)	$	(33.4	)
Unremitted earnings of foreign subsidiaries	(0.8		)	(7.5		)
Other reserves and accruals	—			(0.5		)
Other	(2.2		)	(0.9		)
Gross deferred tax liabilities	(37.6		)	(42.3		)
Net deferred tax assets	$	66.6		$	75.6

Deferred tax account balances from 2013 were recast to conform to current year presentation. The material changes in deferred tax account balances result from the tax write-up of certain inventory, fixed assets and intangible assets immediately prior to the Spin-off.

At December 31, 2014, $0.8 million of deferred tax was recorded for certain undistributed earnings of foreign subsidiaries. No deferred taxes have been provided for any portion of the remaining undistributed earnings of the Company's subsidiaries since these earnings have been and under certain plans will continue to be, permanently reinvested in these subsidiaries. For many reasons, including the number of legal entities and jurisdictions involved, the complexity of the Company's legal entity structure, the complexity of tax laws in the relevant jurisdictions, including, but not limited to, the rules pertaining to the utilization of foreign tax credits in the United States and the impact of projections of income for future years to any calculations, the Company believes it is not practicable to estimate, within any reasonable range, the amount of additional taxes which may be payable upon the distribution of earnings.

At December 31, 2014, the Company had the following operating loss and tax credit carryforwards available to offset taxable income in prior and future years:

In millions	Amount		Expiration Period
U.S. Federal net operating loss carryforwards	$	15.4	2027 & 2028
U.S. Federal credit carryforwards	20.6		2024-Unlimited
U.S. State net operating loss carryforwards	14.7		2015-2033
Non-U.S. net operating loss carryforwards	90.9		2015-Unlimited

The U.S. state net operating loss carryforwards were incurred in various jurisdictions. The non-U.S. net operating loss carryforwards were incurred in various jurisdictions, predominantly in China, Germany, Italy, Spain, Turkey and the United Kingdom.

The Company evaluates its deferred income tax assets to determine if valuation allowances are required or should be adjusted. U.S. GAAP requires that companies assess whether valuation allowances should be established against their deferred tax assets based on consideration of all available evidence, both positive and negative, using a "more likely than not" standard. This assessment considers the nature, frequency, and amount of recent losses, the duration of statutory carryforward periods, and tax planning strategies. In making such judgments, significant weight is given to evidence that can be objectively verified.

Activity associated with the Company’s valuation allowance is as follows:

In millions	2014			2013			2012
Beginning balance	$	46.9		$	5.8		$	9.7
Increase to valuation allowance	28.0			44.9			1.8
Decrease to valuation allowance	(15.8		)	(0.5		)	(0.1		)
Foreign exchange translation	(1.7		)	—			—
Net equity with parent	—			(4.0		)	(5.9		)
Accumulated other comprehensive income (loss)	(6.6		)	0.7			0.3
Ending balance	$	50.8		$	46.9		$	5.8

During 2014, the valuation allowance increased by $3.9 million This increase is the result of changes in jurisdictional profitability and changes in judgment and facts regarding the realizability of deferred tax assets.

The Company has total unrecognized tax benefits of $25.4 million and $40.6 million as of December 31, 2014, and December 31, 2013. The amount of unrecognized tax benefits that, if recognized, would affect the continuing operations effective tax rate are $$25.4 million as of December 31, 2014. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

In millions	2014			2013			2012
Beginning balance	$	40.6		$	63.6		$	63.0
Additions based on tax positions related to the current year	3.1			9.0			1.7
Net equity adjustment with former parent	—			(25.4		)	—
Additions based on tax positions related to prior years	11.8			0.5			4.3
Reductions based on tax positions related to prior years	(23.9		)	(6.9		)	(3.7		)
Reductions related to settlements with tax authorities	(0.7		)	—			(1.6		)
Reductions related to lapses of statute of limitations	(2.7		)	(0.7		)	—
Translation (gain)/loss	(2.8		)	0.5			(0.1		)
Ending balance	$	25.4		$	40.6		$	63.6

The Company records interest and penalties associated with the uncertain tax positions within its Provision for income taxes. The Company had reserves associated with interest and penalties, net of tax, of $6.2 million and $11.5 million at December 31, 2014 and 2013. For the year ended December 31, 2013, the Company recognized a $15.2 million reduction in the reserve related to interest and penalties, net of tax, through Parent Company Investment. For the years ended December 31, 2014 and 2013, the Company recognized $(2.2) million and $4.3 million in interest and penalties net of tax in continuing operations related to these uncertain tax positions.

The total amount of unrecognized tax benefits relating to the Company's tax positions is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statutes of limitations. Although the outcomes and timing of such events are highly uncertain, it is reasonably possible that the balance of gross unrecognized tax benefits, excluding interest and penalties, could potentially be reduced by up to approximately $8.7 million during the next 12 months.

The provision for income taxes involves a significant amount of management judgment regarding interpretation of relevant facts and laws in the jurisdictions in which the Company operates. Future changes in applicable laws, projected levels of taxable income and tax planning could change the effective tax rate and tax balances recorded by the Company. In addition, tax authorities periodically review income tax returns filed by the Company and can raise issues regarding its filing positions, timing and amount of income or deductions, and the allocation of income among the jurisdictions in which the Company operates. A significant period of time may elapse between the filing of an income tax return and the ultimate resolution of an issue raised by a tax authority with respect to that return. In the normal course of business, the Company is subject to examination by taxing authorities throughout the world, including such major jurisdictions as Canada, China, France, Germany, Italy, Mexico and the United States. In general, the examination of the material tax returns of subsidiaries of the Company is complete for the years prior to 2004, with certain matters being resolved through appeals and litigation.

In connection with the Spin-off, the Company and Ingersoll Rand entered into a Tax Matters Agreement for the allocation of taxes. As of December 31, 2014, the Company agreed to indemnify Ingersoll Rand $2.4 million for various tax matters, exclusive of interest and penalties of $1.8 million, which is reflected as an Other noncurrent liability ($4.1 million and $2.6 million at December 31, 2013). In addition, the Company has recorded a $43.4 million indemnity payable to Ingersoll Rand related to a filing for competent authority relief, which is reflected as an Other noncurrent liability ($47.2 million at December 31, 2013). As part of this competent authority filing, the Company has also recorded $43.4 million as an Other noncurrent asset. The $43.4 million is exclusive of interest in the amount of $6.4 million ($47.2 million and $6.6 million at December 31, 2013). The Company also has an indemnity receivable from Ingersoll Rand in the amount of $5.6 million reflected as an Other noncurrent asset ($9.4 million at December 31, 2013). The indemnity receivable is primarily related to additional competent authority relief filings.

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Divestitures and Discontinued Operations (Summary of Financial Information for Discontinued Operations) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Discontinued operations, net of tax	$ (11.1)	$ (3.6)	$ (4.2)

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Business Segment Information

12 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

Business Segment Information

BUSINESS SEGMENT INFORMATION

The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies except that the operating segments’ results are prepared on a management basis that is consistent with the manner in which the Company disaggregates financial information for internal review and decision making. The Company largely evaluates performance based on Segment operating income and Segment operating margins.

Segment operating income is the measure of profit and loss that the Company’s chief operating decision maker uses to evaluate the financial performance of the business and as the basis for resource allocation, performance reviews, and compensation. For these reasons, the Company believes that Segment operating income represents the most relevant measure of segment profit and loss. The Company’s chief operating decision maker may exclude certain charges or gains, such as corporate charges and other special charges, from Operating income to arrive at a Segment operating income that is a more meaningful measure of profit and loss upon which to base its operating decisions. The Company defines Segment operating margin as Segment operating income as a percentage of Net revenues.

Each reportable segment is based primarily on the geography in which it operates. A description of the Company’s reportable segments is as follows:

The Americas segment provides security products and solutions in approximately 30 countries throughout North America and parts of South America. The segment sells a broad range of products and solutions including, locks, locksets, key systems, door closers, exit devices, doors and door frames, electronic product and access control systems to end-users in commercial, institutional and residential facilities, including into the education, healthcare, government, commercial office and single- and multi-family residential markets. This segment’s strategic brands are Schlage, Von Duprin and LCN.

The EMEIA segment provides security products and solutions throughout Europe, the Middle East, India and Africa in approximately 85 countries. The segment offers customers the same portfolio of products as the Americas segment, as well as time and attendance and workforce productivity solutions. This segment’s strategic brands are Bricard, CISA and Interflex. This segment also resells Schlage, Von Duprin and LCN products, primarily in the Middle East.

The Asia Pacific segment provides security products and solutions throughout Asia Pacific in approximately 14 countries. The segment offers customers the same portfolio of products as the Americas segment, as well as video analytics solutions. This segment’s strategic brands are Schlage, CISA, Von Duprin and LCN.

Effective January 1, 2013, a product line was transferred from the Asia Pacific segment to the Americas segment. This transfer is reflected in the historical segment results for the year ended December 31, 2012.

Effective September 1, 2014 the Company completed the sale of its United Kingdom (UK) Door businesses to an unrelated third party. The businesses sold included the Dor-o-Matic™ branded automatic door business, the Martin Roberts™ branded performance steel doorset business and the UK service organization. Historical results of the component have been reclassified to discontinued operations for all periods presented. See Note 17 - Discontinued Operations for more information.

A summary of operations and balance sheet information by reportable segments as of and for the years ended December 31 were as follows:

Dollar amounts in millions	2014			2013			2012
Americas
Net revenues	$	1,560.0		$	1,514.7		$	1,471.8
Segment operating income	387.3			392.1			378.0
Segment operating margin	24.8		%	25.9		%	25.7		%
Depreciation and amortization	24.8			26.5			22.0
Capital expenditures	23.6			10.5			16.9
Total segment assets	990.7			890.4			915.0
EMEIA
Net revenues	393.4			401.4			405.1
Segment operating income (loss) (a)	4.9			(0.3		)	10.1
Segment operating margin	1.2		%	(0.1		)%	2.5		%
Depreciation and amortization	16.4			18.2			29.5
Capital expenditures	4.9			5.6			1.7
Total segment assets	457.7			525.6			724.3
Asia Pacific
Net revenues	164.9			153.5			146.4
Segment operating income (b)	2.3			25.4			11.3
Segment operating margin	1.4		%	16.5		%	7.7		%
Depreciation and amortization	1.1			0.9			2.2
Capital expenditures	1.5			0.8			1.0
Total segment assets	442.2			403.2			310.9
Total net revenues	$	2,118.3		$	2,069.6		$	2,023.3
Reconciliation to earnings before income taxes
Segment operating income from reportable segments	$	394.5		$	417.2		$	399.4
Goodwill impairment charge	—			137.6			—
Unallocated corporate expense	68.2			38.8			28.1
Interest expense	53.8			10.2			1.5
Other expense (income), net	4.6			7.2			3.1
Total earnings before income taxes	$	267.9		$	223.4		$	366.7
Depreciation and amortization from reportable segments	$	42.3		$	45.6		$	53.7
Unallocated depreciation and amortization	1.9			0.1			—
Total depreciation and amortization	$	44.2		$	45.7		$	53.7
Capital expenditures from reportable segments	$	30.0		$	16.9		$	19.6
Corporate capital expenditures	21.5			3.3			—
Total capital expenditures	$	51.5		$	20.2		$	19.6
Assets from reportable segments	$	1,890.6		$	1,819.2		$	1,950.2
Unallocated assets (c)	125.3			181.4			65.2
Total assets	$	2,015.9		$	2,000.6		$	2,015.4

(a) During the year ended December 31, 2013, the Company recorded a non-cash pre-tax goodwill impairment charge of $137.6 million. This amount has been excluded from Segment operating income of the EMEIA segment as management excludes these charges from Operating income when making operating decisions about the business.

(b) Results for the year ended December 31, 2013, include a $21.5 million gain on a property sale in China.

(c) Unallocated assets consists of debt issuance costs, deferred income tax balances and cash.

Revenues by destination and product as well as long-lived assets by geographic area for the years ended December 31 were as follows:

In millions	2014		2013		2012
Revenues
United States	$	1,332.0	$	1,331.7	$	1,299.3
Non-U.S.	786.3		737.9		724.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

In millions	2014		2013		2012
Revenues
Mechanical products	$	1,685.0	$	1,647.7	$	1,627.3
All other	433.3		421.9		396.0
Total	$	2,118.3	$	2,069.6	$	2,023.3

Less than 10% of the Company's net revenues come from the sale of services.

In millions	2014		2013
Long-lived assets
United States	$	102.9	$	103.1
Non-U.S.	223.9		234.2
Total	$	326.8	$	337.3

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Share-Based Compensation Share-Based Compensation (Fair Value of Stock Options Assumptions) (Details)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Dividend yield	0.60%	1.27%
Volatility	36.55%	39.22%
Risk free rate of return	1.94%	1.53%
Expected life	6 years 0 months 0 days	5 years 10 months 18 days

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Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Product Warranty Liability [Table Text Block]

The changes in the standard product warranty liability for the year ended December 31, were as follows:

In millions	2014			2013
Balance at beginning of period	$	9.7		$	9.5
Reductions for payments	(6.5		)	(5.7		)
Accruals for warranties issued during the current period	6.1			5.0
Changes to accruals related to preexisting warranties	1.2			0.9
Translation	(0.2		)	—
Balance at end of period	$	10.3		$	9.7

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Income Taxes (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Deferred Tax Liabilities, Undistributed Foreign Earnings	$ 0.8	$ 7.5
Undistributed earnings	142.4	1.1
Unrecognized tax benefits	25.4	40.6	63.6	63.0
Unrecognized tax benefits, income tax penalties and interest accrued	6.2	11.5
Income Taxes Receivable	5.6	9.4
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense		15.2
Income Tax Examination, Penalties and Interest Expense	(2.2)	4.3
Period Changes In Unrecognized Tax Benefit, in months	12
Unrecognized Tax Benefits, Decreases Resulting from Settlements with Taxing Authorities	8.7
Benefit (provision) for income taxes	84.2	175.0	136.7
Total Increase (Decrease) to Valuation Allowance [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	3.9
Decrease to valuation allowance [Member]
Valuation Allowance, Deferred Tax Asset, Change in Amount	(15.8)	(0.5)	(0.1)
Ingersoll Rand Tax Matters Agreement Indemnity [Member]
Unrecognized tax benefits, income tax penalties and interest accrued	6.4	6.6
Taxes Payable	43.4	47.2
Income Taxes Receivable	43.4	47.2
Income Tax Examination, Penalties and Interest Expense	1.8	2.6
Benefit (provision) for income taxes	$ 2.4	$ 4.1

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Equity (Tables)

12 Months Ended

Dec. 31, 2014

Stockholders' Equity Note [Abstract]

Reconciliation of Ordinary Shares

The reconciliation of Ordinary shares is as follows:

In millions	Total
December 31, 2013	96.0
Shares issued under incentive plans	0.8
Repurchase of ordinary shares	(1.0	)
December 31, 2014	95.8

Components of Accumulated Other Comprehensive Income (Loss)

The changes in Accumulated other comprehensive income (loss) are as follows:

In millions	Cash flow hedges and marketable securities			Pension and OPEB Items			Foreign Currency Items			Total
December 31, 2011	$	5.2		$	(90.5	)	$	56.2		$	(29.1	)
Other comprehensive income (loss), net of tax	5.7			(5.2		)	20.9			21.4
December 31, 2012	$	10.9		$	(95.7	)	$	77.1		$	(7.7	)
Other comprehensive income (loss), net of tax	5.8			(35.6		)	(59.2		)	(89.0		)
December 31, 2013	$	16.7		$	(131.3	)	$	17.9		$	(96.7	)
Other comprehensive income (loss), net of tax	(1.0		)	15.2			(65.7		)	(51.5		)
December 31, 2014	$	15.7		$	(116.1	)	$	(47.8	)	$	(148.2	)

Other Comprehensive Income, Noncontrolling Interest [Text Block]

The amounts of Other comprehensive income (loss) attributable to noncontrolling interests are as follows:

In millions	2014			2013		2012
Foreign currency items	$	(0.7	)	$	0.8	$	0.5
Total other comprehensive income (loss) attributable to noncontrolling interests	$	(0.7	)	$	0.8	$	0.5

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Income Taxes (Schedule of Components of Provision for Income Taxes) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Current tax expense (benefit)	$ 67.0	$ 156.1	$ 139.9
Deferred tax expense (benefit)	17.2	17.7	(3.6)
Benefit (provision) for income taxes	84.2	175.0	136.7
United States [Member]
Current tax expense (benefit)	52.9	118.5	121.3
Deferred tax expense (benefit)	15.6	7.7	(3.7)
Benefit (provision) for income taxes	68.5	126.2	117.6
Non-U.S. [Member]
Current tax expense (benefit)	14.1	37.6	18.6
Deferred tax expense (benefit)	1.6	11.2	0.5
Benefit (provision) for income taxes	15.7	48.8	19.1
Deferred Tax Asset [Domain]
Deferred tax expense (benefit)		$ 18.9	$ (3.2)

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Consolidated Statements of Cash Flows (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Cash flows from operating activities:
Net earnings	$ 172.6	$ 44.8	$ 225.8
Discontinued operations, net of tax	(11.1)	(3.6)	(4.2)
Adjustments to arrive at net cash provided by (used in) operating activities:
Gain (loss) on sale/asset impairment	0	137.6	0
Write off of Deferred Debt Issuance Cost	4.5	0	0
Depreciation and amortization	48.8	46.1	43.8
Stock settled share-based compensation	13.1	0.8	0
Excess Tax Benefit from Share-based Compensation, Operating Activities	(4.5)	0	0
(Gain)/loss on sale of property, plant and equipment	0.1	(21.8)	0.1
Equity earnings, net of dividends	(0.5)	0	0
Deferred Income Tax Expense (Benefit)	17.2	17.7	(3.6)
Other items	10.9	(30.1)	12.7
Changes in other assets and liabilities
Accounts and notes receivable	(8.0)	27.9	2.0
Inventories	3.4	3.9	(1.2)
Other current and noncurrent assets	(24.2)	80.3	(14.2)
Accounts payable	43.4	(16.7)	8.0
Other current and noncurrent liabilities	(28.9)	(64.8)	(3.9)
Net Cash Provided by (Used in) Operating Activities, Continuing Operations	259.0	229.3	273.7
Net cash (used in) provided by discontinued operating activities	(3.1)	(5.4)	(4.5)
Net cash provided by (used in) operating activities	255.9	223.9	269.2
Cash flows from investing activities:
Capital expenditures	(51.5)	(20.2)	(19.6)
Increase (Decrease) in Restricted Cash	40.2	(40.2)	0
Acquisition of businesses, net of cash acquired	(25.2)	0	0
Proceeds from sale of property, plant and equipment	0.5	41.7	2.1
Proceeds from business dispositions, net of cash sold	1.2	0	0
Net cash provided by (used in) investing activities	(34.8)	(18.7)	(17.5)
Cash flows from financing activities:
Other short-term borrowings (net)	(22.0)	38.9	(1.0)
Proceeds from long-term debt	956.3	1,300.0	0
Payments of long-term debt	(1,012.3)	0	(0.1)
Net proceeds (repayments) in debt	(78.0)	1,338.9	(1.1)
Debt issuance costs	(5.8)	(29.1)	0
Excess tax benefit from share based compensation	4.5	0	0
Dividends paid to ordinary shareholders	(30.0)	0	0
Dividends paid to noncontrolling interests	(4.5)	(5.2)	(5.2)
Acquisition/divestiture of noncontrolling Interest		(5.2)	(5.2)
Repurchase of ordinary shares	(50.3)	0	0
Proceeds From Contributions From (Payments Of Distributions To) Former Parent and Affiliates	0	(1,598.3)	(311.6)
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Including Stock Options	14.1	1.3	0
Other, net	18.6	1.3
Net cash (used in) provided by continuing financing activities	(150.0)	(292.4)	(317.9)
Effect of exchange rate changes on cash and cash equivalents	(8.0)	(2.9)	6.9
Net increase (decrease) in cash and cash equivalents	63.1	(90.1)	(59.3)
Cash and cash equivalents - beginning of period	227.4	317.5	376.8
Cash and cash equivalents - end of period	$ 290.5	$ 227.4	$ 317.5

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Fair Value Measurements (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Fair Value, Inputs, Level 1 [Member]
Marketable securities, fair value	$ 17.9	$ 20.2
Fair Value, Measurements, Recurring [Member]
Marketable securities, fair value	17.9	20.2
Derivative instruments	4.3	0.7
Total assets recurring fair value measurements	22.2	20.9
Derivative instruments	13.9	2.7
Interest Rate Derivative Liabilities, at Fair Value	0.9
Total liability recurring fair value measurements	14.8	2.7
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Marketable securities, fair value	17.9	20.2
Derivative instruments	0	0
Total assets recurring fair value measurements	17.9	20.2
Derivative instruments	0	0
Interest Rate Derivative Liabilities, at Fair Value	0
Total liability recurring fair value measurements	0	0
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Marketable securities, fair value	0	0
Derivative instruments	4.3	0.7
Total assets recurring fair value measurements	4.3	0.7
Derivative instruments	14.8	2.7
Interest Rate Derivative Liabilities, at Fair Value	0.9
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value	13.9
Total liability recurring fair value measurements	14.8	2.7
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Marketable securities, fair value	0	0
Derivative instruments	0	0
Total assets recurring fair value measurements	0	0
Derivative instruments	0	0
Interest Rate Derivative Liabilities, at Fair Value	0
Total liability recurring fair value measurements	0	0
Estimate of Fair Value, Fair Value Disclosure [Member]
Total debt	1,279.4	1,312.6
Liabilities not carried at fair value, fair value disclosure	1,279.4	1,312.6
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 1 [Member]
Total debt	0	0
Liabilities not carried at fair value, fair value disclosure	0	0
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 2 [Member]
Total debt	1,279.4	1,312.6
Liabilities not carried at fair value, fair value disclosure	1,279.4	1,312.6
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Inputs, Level 3 [Member]
Total debt	0	0
Liabilities not carried at fair value, fair value disclosure	$ 0	$ 0

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Property, Plant and Equipment

12 Months Ended

Dec. 31, 2014

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

PROPERTY, PLANT AND EQUIPMENT

At December 31, the major classes of property, plant and equipment were as follows:

In millions	2014			2013
Land	$	14.0		$	16.5
Buildings	120.5			126.3
Machinery and equipment	355.5			341.6
Software	96.8			82.0
	586.8			566.4
Accumulated depreciation	(375.6		)	(366.2		)
Total	$	211.2		$	200.2

Depreciation expense for the years ended December 31, 2014, 2013 and 2012 was $34.5 million, $36.1 million and $34.3 million, which includes amounts for software amortization of $12.7 million, $12.6 million and $10.4 million.

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Marketable Securities (Narrative and Schedule of Marketable Securities) (Details) (Fair Value, Inputs, Level 1 [Member], USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Fair Value, Inputs, Level 1 [Member]
Marketable securities, amortized cost or cost	$ 5.2	$ 4.0
Marketable securities, unrealized gains	12.7	16.2
Marketable securities, fair value	$ 17.9	$ 20.2

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Income (Loss) Other Than Pension) (Details) (Postretirement [Member], USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	$ 1.0	$ 3.6
Balance at December 31, 2011	5.4	5.5
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	(1.6)	(2.1)
Balance at December 31, 2012	4.8	5.4
Defined Benefit Plan, Plan Amendments		(1.6)
Net Actuarial Losses [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	1.0	3.6
Balance at December 31, 2011	(1.7)	(6.6)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	0	0.1
Balance at December 31, 2012	(0.7)	(1.7)
Defined Benefit Plan, Plan Amendments		1.2
prior service gains [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	0	0
Balance at December 31, 2011	7.1	12.1
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	(1.6)	(2.2)
Balance at December 31, 2012	5.5	7.1
Defined Benefit Plan, Plan Amendments		$ (2.8)

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Income Taxes Schedule of Earnings (Loss) Before Income Taxes (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Earnings (loss) before income taxes, United States	$ 162.2	$ 320.1	$ 317.9
Earnings (loss) before income taxes, Non-U.S.	105.7	(96.7)	48.8
Earnings (loss) before income taxes	$ 267.9	$ 223.4	$ 366.7

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Financial Instruments (Narrative) (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Derivative, Notional Amount	$ 68,500,000	$ 209,600,000
Accumulated other comprehensive income (loss), derivatives qualifying as hedges, net of tax	(148,200,000)	(96,700,000)	(7,700,000)	(29,100,000)
Currency derivatives expected to be reclassified into earnings over the next twelve months	1,600,000
Interest Rate Swap [Member]
Debt instrument, face amount	300,000,000
Interest Rate Swap Expiration September 2017 [Member]
Derivative, Notional Amount	275,000,000
Interest Rate Swap Expiration December 2016 [Member]
Derivative, Notional Amount	25,000,000
Designated as Hedging Instrument [Member]
Accumulated other comprehensive income (loss), derivatives qualifying as hedges, net of tax	1,600,000	500,000
Secured Debt [Member] | Subsidiaries [Member]
Debt instrument, face amount	1,000,000,000.0
Secured Debt [Member] | Subsidiaries [Member] | Term Loan A Facility Due 2019 [Member]
Debt instrument, face amount	$ 975,000,000.0

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Guarantor Financial Information

12 Months Ended

Dec. 31, 2014

Condensed Financial Information of Parent Company Only Disclosure [Text Block]

GUARANTOR FINANCIAL INFORMATION

Allegion US Holding Company, Inc. (the “Issuer”) as the issuer of the Senior Notes and Allegion plc (the “Parent”), Schlage Lock Company LLC and Von Duprin LLC (together, the “Subsidiary Guarantors”) are all guarantors of the Senior Notes. The following consolidated financial information of the Parent, the Issuer, the Subsidiary Guarantors and the other Allegion subsidiaries that are not guarantors (the “Other Subsidiaries”) on a combined basis as of December 31, 2014 and for the years ended December 31, 2014, 2013 and 2012, is being presented in order to meet the reporting requirements under the Senior Notes indenture and Rule 3-10 of Regulation S-X. In accordance with Rule 3-10(d) of Regulation S-X, separate financial statements for the Issuer, the Parent and the Subsidiary Guarantors are not required to be filed with the SEC as the subsidiary debt issuer and the guarantors are directly or indirectly 100% owned by the Parent and the guarantees are full and unconditional and joint and several.

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,399.9		$	916.4		$	(198.0	)	$	2,118.3
Cost of goods sold	—			—			803.1			659.5			(198.0		)	1,264.6
Selling and administrative expenses	4.5			0.2			304.4			218.3			—			527.4
Goodwill impairment charge	—			—			—			—			—			—
Operating income (loss)	(4.5		)	(0.2		)	292.4			38.6			—			326.3
Equity earnings (loss) in affiliates, net of tax	182.0			170.8			6.9			351.5			(711.2		)	—
Interest expense	5.6			58.0			—			1.0			(10.8		)	53.8
Intercompany interest and fees	(3.2		)	63.0			(285.5		)	225.7			—			—
Other (gain) loss, net	(0.1		)	—			(0.2		)	4.9			—			4.6
Earnings (loss) before income taxes	175.2			49.6			585.0			158.5			(700.4		)	267.9
Provision (benefit) for income taxes	—			(46.7		)	222.6			(95.7		)	4.0			84.2
Earnings (loss) from continuing operations	175.2			96.3			362.4			254.2			(704.4		)	183.7
Discontinued operations, net of tax	—			—			—			(11.1		)	—			(11.1		)
Net earnings (loss)	175.2			96.3			362.4			243.1			(704.4		)	172.6
Less: Net earnings attributable to noncontrolling interests	—			—			—			(2.6		)	—			(2.6		)
Net earnings (loss) attributable to Allegion plc	$	175.2		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	175.2
Total comprehensive income (loss)	$	123.7		$	96.3		$	362.4		$	242.4		$	(704.4	)	$	120.4
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			(3.3		)	—			(3.3		)
Total comprehensive income (loss) attributable to Allegion plc	$	123.7		$	96.3		$	362.4		$	245.7		$	(704.4	)	$	123.7

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—		$	—		$	1,395.0		$	880.0		$	(205.4	)	$	2,069.6
Cost of goods sold	—			—			800.1			613.4			(205.4		)	1,208.1
Selling and administrative expenses	0.9			—			239.4			242.8			—			483.1
Goodwill impairment charge	—			—			—			137.6			—			137.6
Operating income (loss)	(0.9		)	—			355.5			(113.8		)	—			240.8
Equity earnings (loss) in affiliates, net of tax	33.2			95.2			6.7			233.6			(368.7		)	—
Interest expense	—			8.4			—			1.8			—			10.2
Intercompany interest and fees	—			4.6			(21.0		)	16.4			—			—
Other (gain) loss, net	—			—			16.6			(9.4		)	—			7.2
Earnings (loss) before income taxes	32.3			82.2			366.6			111.0			(368.7		)	223.4
Provision (benefit) for income taxes	—			(4.6		)	126.3			53.3			—			175.0
Earnings (loss) from continuing operations	32.3			86.8			240.3			57.7			(368.7		)	48.4
Discontinued operations, net of tax	—			—			—			(3.6		)	—			(3.6		)
Net earnings (loss)	32.3			86.8			240.3			54.1			(368.7		)	44.8
Less: Net earnings attributable to noncontrolling interests	—			—			—			12.5			—			12.5
Net earnings (loss) attributable to Allegion plc	$	32.3		$	86.8		$	240.3		$	41.6		$	(368.7	)	$	32.3
Total comprehensive income (loss)	$	(56.7	)	$	86.8		$	240.3		$	55.0		$	(368.7	)	$	(43.4	)
Less: Total comprehensive income attributable to noncontrolling interests	—			—			—			13.3			—			13.3
Total comprehensive income (loss) attributable to Allegion plc	$	(56.7	)	$	86.8		$	240.3		$	41.7		$	(368.7	)	$	(56.7	)

Condensed and Consolidated Statement of Comprehensive Income

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net revenues	$	—	$	—	$	1,298.0		$	967.3		$	(242.0	)	$	2,023.3
Cost of goods sold	—		—		738.6			701.1			(242.0		)	1,197.7
Selling and administrative expenses	—		—		256.8			197.5			—			454.3
Goodwill impairment charge	—		—		—			—			—			—
Operating income	—		—		302.6			68.7			—			371.3
Equity earnings (loss) in affiliates, net of tax	220.1		203.0		1.5			198.8			(623.4		)	—
Interest expense	—		—		—			1.5			—			1.5
Intercompany interest and fees	—		—		—			—			—			—
Other (gain) loss, net	—		—		(11.1		)	14.2			—			3.1
Earnings (loss) before income taxes	220.1		203.0		315.2			251.8			(623.4		)	366.7
Provision for income taxes	—		—		116.3			20.4			—			136.7
Earnings (loss) from continuing operations	220.1		203.0		198.9			231.4			(623.4		)	230.0
Discontinued operations, net of tax	—		—		1.5			(5.7		)	—			(4.2		)
Net earnings (loss)	220.1		203.0		200.4			225.7			(623.4		)	225.8
Less: Net earnings attributable to noncontrolling interests	—		—		—			5.7			—			5.7
Net earnings (loss) attributable to Allegion plc	$	220.1	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	220.1
Total comprehensive income (loss)	$	241.5	$	203.0	$	200.4		$	226.2		$	(623.4	)	$	247.7
Less: Total comprehensive income attributable to noncontrolling interests	—		—		—			6.2			—			6.2
Total comprehensive income (loss) attributable to Allegion plc	$	241.5	$	203.0	$	200.4		$	220.0		$	(623.4	)	$	241.5

Consolidated Balance Sheet

December 31, 2014

In millions	Parent			Issuer		Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	27.1		$	0.5	$	126.3	$	136.6	$	—		$	290.5
Accounts and notes receivable, net	—			—		115.7		144.2		—			259.9
Inventories	—			—		101.1		78.4		—			179.5
Other current assets	0.4			46.6		15.6		179.1		—			241.7
Assets held for sale	—			—		—		2.2		—			2.2
Accounts and notes receivable affiliates	0.1			15.2		256.4		259.4		(531.1		)	—
Total current assets	27.6			62.3		615.1		799.9		(531.1		)	973.8
Investment in affiliates	917.4			2,336.7		90.6		4,774.7		(8,119.4		)	—
Property, plant and equipment, net	—			—		147.3		63.9		—			211.2
Intangible assets, net	—			—		161.1		470.6		—			631.7
Notes receivable affiliates	—			1,191.9		3,731.2		1,762.9		(6,686.0		)	—
Other noncurrent assets	16.3			10.6		62.3		110.0		—			199.2
Total assets	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9
Current liabilities:
Accounts payable and accruals	$	2.8		$	51.3	$	380.8	$	45.3	$	—		$	480.2
Short-term borrowings and current maturities of long-term debt	48.8			—		0.1		0.7		—			49.6
Liabilities held for sale	—			—		—		1.5		—			1.5
Accounts and note payable affiliates	0.4			101.1		245.0		184.6		(531.1		)	—
Total current liabilities	52.0			152.4		625.9		232.1		(531.1		)	531.3
Long-term debt	914.1			300.0		0.1		0.8		—			1,215.0
Note payable affiliate	—			2,778.4		—		3,907.6		(6,686.0		)	—
Other noncurrent liabilities	—			5.8		206.2		39.1		—			251.1
Total liabilities	966.1			3,236.6		832.2		4,179.6		(7,217.1		)	1,997.4
Equity:
Total shareholders equity (deficit)	(4.8		)	364.9		3,975.4		3,779.1		(8,119.4		)	(4.8		)
Noncontrolling interests	—			—		—		23.3		—			23.3
Total equity (deficit)	(4.8		)	364.9		3,975.4		3,802.4		(8,119.4		)	18.5
Total liabilities and equity	$	961.3		$	3,601.5	$	4,807.6	$	7,982.0	$	(15,336.5	)	$	2,015.9

Consolidated Balance Sheet

December 31, 2013

In millions	Parent			Issuer			Subsidiary Guarantors		Other Subsidiaries		Consolidating Adjustments			Allegion plc
Current assets:
Cash and cash equivalents	$	1.4		$	—		$	78.8	$	147.2	$	—		$	227.4
Restricted cash	—			—			—		40.2		—			40.2
Accounts and notes receivable, net	—			—			110.2		149.8		—			260.0
Inventories	—			—			96.4		91.1		—			187.5
Other current assets	0.1			—			18.4		202.0		—			220.5
Assets held for sale	—			—			—		11.2		—			11.2
Accounts and notes receivable affiliates	0.4			24.7			75.1		185.7		(285.9		)	—
Total current assets	1.9			24.7			378.9		827.2		(285.9		)	946.8
Investment in affiliates	—			1,256.8			86.6		4,049.7		(5,393.1		)	—
Property, plant and equipment, net	—			—			130.9		69.3		—			200.2
Intangible assets, net	—			—			161.2		489.8		—			651.0
Notes receivable affiliates	—			1,191.9			3,726.4		800.0		(5,718.3		)	—
Other noncurrent assets	—			93.3			72.3		37.0		—			202.6
Total assets	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6
Current liabilities:
Accounts payable and accruals	$	1.3		$	14.0		$	169.6	$	233.7	$	—		$	418.6
Short-term borrowings and current maturities of long-term debt	—			30.0			0.1		41.8		—			71.9
Accounts and note payable affiliates	0.2			23.3			189.6		72.8		(285.9		)	—
Total current liabilities	1.5			67.3			359.3		348.3		(285.9		)	490.5
Long-term debt	—			1,270.0			0.2		1.8		—			1,272.0
Note payable affiliate	—			1,810.9			—		3,907.4		(5,718.3		)	—
Estimated loss on investment	66.5			—			—		—		(66.5		)	—
Other noncurrent liabilities	—			58.5			61.9		152.7		—			273.1
Total liabilities	68.0			3,206.7			421.4		4,410.2		(6,070.7		)	2,035.6
Equity:
Total shareholders equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,831.7		(5,326.6		)	(66.1		)
Noncontrolling interests	—			—			—		31.1		—			31.1
Total equity (deficit)	(66.1		)	(640.0		)	4,134.9		1,862.8		(5,326.6		)	(35.0		)
Total liabilities and equity	$	1.9		$	2,566.7		$	4,556.3	$	6,273.0	$	(11,397.3	)	$	2,000.6

Consolidated Statement of Cash Flows

For the year ended December 31, 2014

In millions	Parent			Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	105.4		$	(847.5	)	$	567.2		$	1,172.4		$	(738.5	)	$	259.0
Net cash used in discontinued operating activities	—			—			—			(3.1		)	—			(3.1		)
Net cash provided by (used in) operating activities	105.4			(847.5		)	567.2			1,169.3			(738.5		)	255.9
Cash flows from investing activities:
Capital expenditures	—			—			(41.6		)	(9.9		)	—			(51.5		)
Acquisition of businesses, net of cash acquired	—			—			—			(25.2		)	—			(25.2		)
Capital contributions to subsidiaries	(975.0		)	(135.0		)	—			(160.7		)	1,270.7			—
Proceeds from business disposition, net of cash sold	—			—			—			1.2			—			1.2
Other investing activities, net	—			—			0.5			40.2			—			40.7
Net cash provided by (used in) investing activities	(975.0		)	(135.0		)	(41.1		)	(154.4		)	1,270.7			(34.8		)
Cash flows from financing activities:
Net debt repayments	962.8			(1,000.0		)	—			(40.8		)	—			(78.0		)
Debt issuance costs	(5.8		)	—			—			—			—			(5.8		)
Net inter-company proceeds (payments)	—			1,822.3			(44.1		)	(1,778.2		)	—			—
Capital contributions received	—			160.7			7.0			1,103.0			(1,270.7		)	—
Dividends paid to shareholders	(30.0		)	—			—			—			—			(30.0		)
Dividends paid to noncontrolling interests	—			—			—			(4.5		)	—			(4.5		)
Dividends paid	—			—			(441.5		)	(297.0		)	738.5			—
Repurchase of ordinary shares	(50.3		)	—			—			—			—			(50.3		)
Other financing activities, net	18.6			—			—			—			—			18.6
Net cash provided by (used in) financing activities	895.3			983.0			(478.6		)	(1,017.5		)	(532.2		)	(150.0		)
Effect of exchange rate changes on cash and cash equivalents	—			—			—			(8.0		)	—			(8.0		)
Net increase (decrease) in cash and cash equivalents	25.7			0.5			47.5			(10.6		)	—			63.1
Cash and cash equivalents - beginning of period	1.4			—			78.8			147.2			—			227.4
Cash and cash equivalents - end of period	$	27.1		$	0.5		$	126.3		$	136.6		$	—		$	290.5

Consolidated Statement of Cash Flows

For the year ended December 31, 2013

In millions	Parent		Issuer			Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments			Allegion plc
Net cash provided by (used in) continuing operating activities	$	0.1	$	—		$	346.8		$	(117.6	)	$	—		$	229.3
Net cash used in discontinued operating activities	—		—			—			(5.4		)	—			(5.4		)
Net cash provided by (used in) operating activities	0.1		—			346.8			(123.0		)	—			223.9
Cash flows from investing activities:
Capital expenditures	—		—			(12.5		)	(7.7		)	—			(20.2		)
Proceeds from sale of property, plant and equipment	—		—			4.5			37.2			—			41.7
Capital contributions to subsidiaries	—		(2,384.7		)	(462.4		)	(5,997.8		)	8,844.9			—
Other investing activities, net	—		—			—			(40.2		)	—			(40.2		)
Net cash provided by (used in) investing activities	—		(2,384.7		)	(470.4		)	(6,008.5		)	8,844.9			(18.7		)
Cash flows from financing activities:
Net debt repayments	—		1,300.0			—			38.9			—			1,338.9
Debt issuance costs	—		(29.1		)	—			—			—			(29.1		)
Net inter-company proceeds (payments)	—		619.0			(3,746.4		)	3,127.4			—			—
Capital contributions received	—		1,769.0			4,228.7			2,847.1			(8,844.9		)	—
Dividends paid to noncontrolling interests	—		—			—			(5.2		)	—			(5.2		)
Net transfers to Parent and affiliates	—		(1,274.2		)	(281.6		)	(42.5		)	—			(1,598.3		)
Other financing activities, net	1.3		—			—			—			—			1.3
Net cash provided by (used in) financing activities	1.3		2,384.7			200.7			5,965.7			(8,844.9		)	(292.4		)
Effect of exchange rate changes on cash and cash equivalents	—		—			—			(2.9		)	—			(2.9		)
Net increase (decrease) in cash and cash equivalents	1.4		—			77.1			(168.6		)	—			(90.1		)
Cash and cash equivalents - beginning of period	—		—			1.7			315.8			—			317.5
Cash and cash equivalents - end of period	$	1.4	$	—		$	78.8		$	147.2		$	—		$	227.4

Consolidated Statement of Cash Flows

For the year ended December 31, 2012

In millions	Parent		Issuer		Subsidiary Guarantors			Other Subsidiaries			Consolidating Adjustments		Allegion plc
Net cash provided by (used in) continuing operating activities	$	—	$	—	$	190.7		$	83.0		$	—	$	273.7
Net cash provided by (used in) discontinued operating activities	—		—		1.5			(6.0		)	—		(4.5		)
Net cash provided by (used in) operating activities	—		—		192.2			77.0			—		269.2
Cash flows from investing activities:
Capital expenditures	—		—		(16.0		)	(3.6		)	—		(19.6		)
Proceeds from sale of property, plant and equipment	—		—		—			2.1			—		2.1
Net cash used in investing activities	—		—		(16.0		)	(1.5		)	—		(17.5		)
Cash flows from financing activities:
Net debt repayments	—		—		(0.1		)	(1.0		)	—		(1.1		)
Dividends paid to noncontrolling interests	—		—		—			(5.2		)	—		(5.2		)
Net transfers to Parent and affiliates	—		—		(183.1		)	(128.5		)	—		(311.6		)
Net cash provided by (used in) financing activities	—		—		(183.2		)	(134.7		)	—		(317.9		)
Effect of exchange rate changes on cash and cash equivalents	—		—		—			6.9			—		6.9
Net decrease in cash and cash equivalents	—		—		(7.0		)	(52.3		)	—		(59.3		)
Cash and cash equivalents - beginning of period	—		—		8.7			368.1			—		376.8
Cash and cash equivalents - end of period	$	—	$	—	$	1.7		$	315.8		$	—	$	317.5

XML

Divestitures and Discontinued Operations (Net Revenues and After-Tax Earnings) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Discontinued operations, net of tax	$ (11.1)	$ (3.6)	$ (4.2)
EMEIA Divestiture UK Door [Member]
Net revenues	16.1	23.9	23.3
After-tax earnings (loss) from operations	(3.1)	(2.8)	(1.9)
Gain (loss) on sale, net of tax	(7.6)	0	0
Discontinued Operation, Tax Effect of Discontinued Operation	0	0	0.4
Discontinued operations, net of tax	$ (10.7)	$ (2.8)	$ (1.5)

XML

Guarantor Financial Information (Condensed Consolidating Balance Sheet) (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 290.5	$ 227.4	$ 317.5	$ 376.8
Restricted Cash and Cash Equivalents	0	40.2
Accounts and notes receivable, net	259.9	260.0
Inventories	179.5	187.5
Accounts and notes receivable affiliates	0	0
Total current assets	973.8	946.8
Investment in affiliates	0	0
Property, plant and equipment, net	211.2	200.2
Intangible assets, net	631.7	651.0
Other noncurrent assets	199.2	202.6
Total assets	2,015.9	2,000.6
Current liabilities:
Accounts payable and accruals	480.2	418.6
Short-term borrowings and current maturities of long-term debt	49.6	71.9
Liabilities of Disposal Group, Including Discontinued Operation, Current	1.5	0.1
Accounts and note payable affiliates	0	0
Total current liabilities	531.3	490.5
Long-term debt	1,215.0	1,272.0
Note payable affiliate	0	0
Other noncurrent liabilities	251.1	273.1
Total liabilities	1,997.4	2,035.6
Equity:
Total equity	18.5	(35.0)	1,385.7	1,454.8
Total liabilities and equity	2,015.9	2,000.6
Costs In Excess Of Billings and Other Assets, Current	241.7	220.5
Assets Held-for-sale, Current	2.2	11.2
Due from Affiliate, Noncurrent	0	0
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		0
Stockholders' Equity Attributable to Parent	(4.8)	(66.1)
Stockholders' Equity Attributable to Noncontrolling Interest	23.3	31.1
Parent Company [Member]
Current assets:
Cash and cash equivalents	27.1	1.4	0	0
Restricted Cash and Cash Equivalents		0
Accounts and notes receivable, net	0	0
Inventories	0	0
Accounts and notes receivable affiliates	0.1	0.4
Total current assets	27.6	1.9
Investment in affiliates	917.4	0
Property, plant and equipment, net	0	0
Intangible assets, net	0	0
Other noncurrent assets	16.3	0
Total assets	961.3	1.9
Current liabilities:
Accounts payable and accruals	2.8	1.3
Short-term borrowings and current maturities of long-term debt	48.8	0
Liabilities of Disposal Group, Including Discontinued Operation, Current	0
Accounts and note payable affiliates	0.4	0.2
Total current liabilities	52.0	1.5
Long-term debt	914.1	0
Note payable affiliate	0	0
Other noncurrent liabilities	0	0
Total liabilities	966.1	68.0
Equity:
Total equity	(4.8)	(66.1)
Total liabilities and equity	961.3	1.9
Costs In Excess Of Billings and Other Assets, Current	0.4	0.1
Assets Held-for-sale, Current	0	0
Due from Affiliate, Noncurrent	0	0
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		66.5
Stockholders' Equity Attributable to Parent	(4.8)	(66.1)
Stockholders' Equity Attributable to Noncontrolling Interest	0	0
Other Subsidiaries [Member]
Current assets:
Cash and cash equivalents	136.6	147.2	315.8	368.1
Restricted Cash and Cash Equivalents		40.2
Accounts and notes receivable, net	144.2	149.8
Inventories	78.4	91.1
Accounts and notes receivable affiliates	259.4	185.7
Total current assets	799.9	827.2
Investment in affiliates	4,774.7	4,049.7
Property, plant and equipment, net	63.9	69.3
Intangible assets, net	470.6	489.8
Other noncurrent assets	110.0	37.0
Total assets	7,982.0	6,273.0
Current liabilities:
Accounts payable and accruals	45.3	233.7
Short-term borrowings and current maturities of long-term debt	0.7	41.8
Liabilities of Disposal Group, Including Discontinued Operation, Current	1.5
Accounts and note payable affiliates	184.6	72.8
Total current liabilities	232.1	348.3
Long-term debt	0.8	1.8
Note payable affiliate	3,907.6	3,907.4
Other noncurrent liabilities	39.1	152.7
Total liabilities	4,179.6	4,410.2
Equity:
Total equity	3,802.4	1,862.8
Total liabilities and equity	7,982.0	6,273.0
Costs In Excess Of Billings and Other Assets, Current	179.1	202.0
Assets Held-for-sale, Current	2.2	11.2
Due from Affiliate, Noncurrent	1,762.9	800.0
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		0
Stockholders' Equity Attributable to Parent	3,779.1	1,831.7
Stockholders' Equity Attributable to Noncontrolling Interest	23.3	31.1
Consolidating Adjustments [Member]
Current assets:
Cash and cash equivalents	0	0	0	0
Restricted Cash and Cash Equivalents		0
Accounts and notes receivable, net	0	0
Inventories	0	0
Accounts and notes receivable affiliates	(531.1)	(285.9)
Total current assets	(531.1)	(285.9)
Investment in affiliates	(8,119.4)	(5,393.1)
Property, plant and equipment, net	0	0
Intangible assets, net	0	0
Other noncurrent assets	0	0
Total assets	(15,336.5)	(11,397.3)
Current liabilities:
Accounts payable and accruals	0	0
Short-term borrowings and current maturities of long-term debt	0	0
Liabilities of Disposal Group, Including Discontinued Operation, Current	0
Accounts and note payable affiliates	(531.1)	(285.9)
Total current liabilities	(531.1)	(285.9)
Long-term debt	0	0
Note payable affiliate	(6,686.0)	(5,718.3)
Other noncurrent liabilities	0	0
Total liabilities	(7,217.1)	(6,070.7)
Equity:
Total equity	(8,119.4)	(5,326.6)
Total liabilities and equity	(15,336.5)	(11,397.3)
Costs In Excess Of Billings and Other Assets, Current	0	0
Assets Held-for-sale, Current	0	0
Due from Affiliate, Noncurrent	(6,686.0)	(5,718.3)
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		(66.5)
Stockholders' Equity Attributable to Parent	(8,119.4)	(5,326.6)
Stockholders' Equity Attributable to Noncontrolling Interest	0	0
Subsidiary Issuer [Member]
Current assets:
Cash and cash equivalents	0.5	0	0	0
Restricted Cash and Cash Equivalents		0
Accounts and notes receivable, net	0	0
Inventories	0	0
Accounts and notes receivable affiliates	15.2	24.7
Total current assets	62.3	24.7
Investment in affiliates	2,336.7	1,256.8
Property, plant and equipment, net	0	0
Intangible assets, net	0	0
Other noncurrent assets	10.6	93.3
Total assets	3,601.5	2,566.7
Current liabilities:
Accounts payable and accruals	51.3	14.0
Short-term borrowings and current maturities of long-term debt	0	30.0
Liabilities of Disposal Group, Including Discontinued Operation, Current	0
Accounts and note payable affiliates	101.1	23.3
Total current liabilities	152.4	67.3
Long-term debt	300.0	1,270.0
Note payable affiliate	2,778.4	1,810.9
Other noncurrent liabilities	5.8	58.5
Total liabilities	3,236.6	3,206.7
Equity:
Total equity	364.9	(640.0)
Total liabilities and equity	3,601.5	2,566.7
Costs In Excess Of Billings and Other Assets, Current	46.6	0
Assets Held-for-sale, Current	0	0
Due from Affiliate, Noncurrent	1,191.9	1,191.9
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		0
Stockholders' Equity Attributable to Parent	364.9	(640.0)
Stockholders' Equity Attributable to Noncontrolling Interest	0	0
Guarantor Subsidiaries [Member]
Current assets:
Cash and cash equivalents	126.3	78.8	1.7	8.7
Restricted Cash and Cash Equivalents		0
Accounts and notes receivable, net	115.7	110.2
Inventories	101.1	96.4
Accounts and notes receivable affiliates	256.4	75.1
Total current assets	615.1	378.9
Investment in affiliates	90.6	86.6
Property, plant and equipment, net	147.3	130.9
Intangible assets, net	161.1	161.2
Other noncurrent assets	62.3	72.3
Total assets	4,807.6	4,556.3
Current liabilities:
Accounts payable and accruals	380.8	169.6
Short-term borrowings and current maturities of long-term debt	0.1	0.1
Liabilities of Disposal Group, Including Discontinued Operation, Current	0
Accounts and note payable affiliates	245.0	189.6
Total current liabilities	625.9	359.3
Long-term debt	0.1	0.2
Note payable affiliate	0	0
Other noncurrent liabilities	206.2	61.9
Total liabilities	832.2	421.4
Equity:
Total equity	3,975.4	4,134.9
Total liabilities and equity	4,807.6	4,556.3
Costs In Excess Of Billings and Other Assets, Current	15.6	18.4
Assets Held-for-sale, Current	0	0
Due from Affiliate, Noncurrent	3,731.2	3,726.4
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity		0
Stockholders' Equity Attributable to Parent	3,975.4	4,134.9
Stockholders' Equity Attributable to Noncontrolling Interest	$ 0	$ 0

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Business Segment Information (Schedule of Revenues by Destination) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net revenues	$ 2,118.3	$ 2,069.6	$ 2,023.3
UNITED STATES
United States	$ 1,332.0	$ 1,331.7	$ 1,299.3

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Pensions and Postretirement Benefits Other Than Pensions (Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Income or (Loss)) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings	$ 0	$ (0.1)	$ 2.7
UNITED STATES | Pension Plans [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	(39.0)	28.5
Balance at December 31, 2011	(50.4)	(83.1)
Balance at December 31, 2012	(86.4)	(50.4)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	3.0	4.4
Defined Benefit Plan, Plan Amendments		(1.7)
Defined Benefit Plan, Other Costs		1.5
UNITED STATES | Pension Plans [Member] | Prior Service Cost [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	0	(2.3)
Balance at December 31, 2011	(4.2)	(2.0)
Balance at December 31, 2012	(3.5)	(4.2)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	0.7	0.6
Defined Benefit Plan, Plan Amendments		0
Defined Benefit Plan, Other Costs		(0.5)
UNITED STATES | Pension Plans [Member] | Net Actuarial Losses [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	(39.0)	30.8
Balance at December 31, 2011	(46.2)	(81.1)
Balance at December 31, 2012	(82.9)	(46.2)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	2.3	3.8
Defined Benefit Plan, Plan Amendments		(1.7)
Defined Benefit Plan, Other Costs		2.0
UNITED STATES | Pension Plans [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	28.4	(0.3)
Balance at December 31, 2011	(109.5)	(69.5)
Balance at December 31, 2012	(73.4)	(109.5)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	2.9	1.9
Defined Benefit Plan, Plan Amendments		(39.6)
Defined Benefit Plan, Other Costs	4.8	(1.9)
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings		(0.1)
UNITED STATES | Pension Plans [Member] | Prior Service Cost [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	0.3	0
Balance at December 31, 2011	(0.3)	(0.5)
Balance at December 31, 2012	0.1	(0.3)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	0.1	0.1
Defined Benefit Plan, Plan Amendments		0
Defined Benefit Plan, Other Costs	0	0.1
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings		0
UNITED STATES | Pension Plans [Member] | Net Actuarial Losses [Member]
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax	28.1	(0.3)
Balance at December 31, 2011	(109.2)	(69.0)
Balance at December 31, 2012	(73.5)	(109.2)
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	2.8	1.8
Defined Benefit Plan, Plan Amendments		(39.6)
Defined Benefit Plan, Other Costs	4.8	(2.0)
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings		$ (0.1)

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Uncategorized Items
[us-gaap_DefinedBenefitPlanPensionPlansWithAccumulatedBenefitObligationsInExcessOfPlanAssetsAggregateProjectedBenefitObligation]	397,900,000	231,300,000	35,400,000	282,900,000

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Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2014

Financial Instruments Abstract

Schedule of the Fair Values of Derivative Instruments

The fair values of derivative instruments included within the Consolidated Balance Sheets as of December 31 were as follows:

	Asset derivatives				Liability derivatives
In millions	2014		2013		2014		2013
Derivatives designated as hedges:
Currency derivatives	$	2.1	$	0.7	$	—	$	—
Interest rate swaps	—		—		0.9		—
Derivatives not designated as hedges:
Currency derivatives	2.2		—		13.9		2.7
Total derivatives	$	4.3	$	0.7	$	14.8	$	2.7

Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block]

The amounts associated with derivatives designated as hedges affecting Net earnings and AOCI for the years ended December 31 were as follows:

	Amount of gain (loss) recognized in AOCI								Location of gain (loss) reclassified from AOCI and recognized into Net earnings	Amount of gain (loss) reclassified from AOCI and recognized into Net earnings
In millions	2014			2013		2012				2014		2013		2012
Currency derivatives	$	1.6		$	1.1	$	(1.1	)	Cost of goods sold	$	2.5	$	0.9	$	(0.2	)
Interest rate swaps	(0.9		)	—		—			Interest expense	—		—		—
Total	$	0.7		$	1.1	$	(1.1	)		$	2.5	$	0.9	$	(0.2	)

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Other, Net

12 Months Ended

Dec. 31, 2014

Other Net [Abstract]

Other, Net

OTHER EXPENSE, NET

At December 31, the components of Other expense, net were as follows:

In millions	2014			2013			2012
Interest income	$	(1.1	)	$	(0.8	)	$	(0.1	)
Exchange loss	7.6			8.0			3.2
Other	(1.9		)	—			—
Other expense, net	$	4.6		$	7.2		$	3.1

In March 2014, the Venezuelan government launched a SICAD II rate to provide a greater supply of U.S. dollars from sources other than the Venezuelan government. Given accelerated deterioration in economic conditions driven by a significant drop in the price of oil and no expectation of improvement for the foreseeable future, the Company concluded that the SICAD II exchange rate was the most appropriate rate at which to value bolivar denominated assets and liabilities. As a result, on December 31, 2014, the Company moved the exchange rate applied to bolivars from the official rate to the SICAD II rate. The Company recorded a charge of $12.1 million in order to remeasurement net monetary assets to the SICAD II rate.

Included within Exchange loss for the year ended December 31, 2013 is a $6.2 million realized foreign currency loss related to the devaluation of the Venezuelan bolivar from the pre-existing exchange rate of 4.3 bolivars per U.S. dollar to 6.3 bolivars per U.S. dollar.

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Restructuring Activities (Restructuring Charges) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Restructuring and related cost, incurred cost	$ 7.1	$ 5.8	$ 7.5
EMEIA 2014 Restructuring Plan [Member]
Restructuring and related cost, incurred cost	6.1
EMEIA 2014 Restructuring Plan [Member] | EMEIA [Member]
Restructuring and related cost, incurred cost	6.1
EMEIA 2014 Restructuring Plan [Member] | Cost of goods sold [Member]
Restructuring and related cost, incurred cost	1.2
EMEIA 2014 Restructuring Plan [Member] | selling and administrative expenses [Member]
Restructuring and related cost, incurred cost	4.9
Other Restructuring Plans [Member]
Restructuring and related cost, incurred cost	1.0	5.8	7.5
Other Restructuring Plans [Member] | Americas [Member]
Restructuring and related cost, incurred cost	0.1	0.1	1.7
Other Restructuring Plans [Member] | EMEIA [Member]
Restructuring and related cost, incurred cost	0.9	5.7	5.8
Other Restructuring Plans [Member] | Cost of goods sold [Member]
Restructuring and related cost, incurred cost	0.2	3.1	3.0
Other Restructuring Plans [Member] | selling and administrative expenses [Member]
Restructuring and related cost, incurred cost	$ 0.8	$ 2.7	$ 4.5