Guarantor Financial Information (Tables)

3 Months Ended

Dec. 31, 2017

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Statements of Comprehensive Income

Condensed Consolidating Statements of Comprehensive Income
For the three months ended December 31, 2017
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
Sales	$	—		$	422		$	134	$	(11	)	$	545
Cost of sales	—			263			98		(11		)	350
Gross profit	—			159			36		—			195
Selling, general and administrative expense	9			83			22		—			114
Separation costs	1			1			—		—			2
Equity and other (income) expenses	—			(12		)	3		—			(9		)
Operating (loss) income	(10		)	87			11		—			88
Net pension and other postretirement plan non-service income and remeasurement adjustments	—			(10		)	—		—			(10		)
Net interest and other financing expense	12			1			1		—			14
(Loss) income before income taxes	(22		)	96			10		—			84
Income tax expense	21			70			3		—			94
Equity in net income of subsidiaries	33			7			—		(40		)	—
Net (loss) income	$	(10	)	$	33		$	7	$	(40	)	$	(10	)
Total comprehensive (loss) income	$	(11	)	$	32		$	8	$	(40	)	$	(11	)

Condensed Consolidating Statements of Comprehensive Income
For the three months ended December 31, 2016
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Sales	$	—		$	377		$	124		$	(12	)	$	489
Cost of sales	—			224			92			(12		)	304
Gross profit	—			153			32			—			185
Selling, general and administrative expense	2			69			24			—			95
Separation costs	—			6			—			—			6
Equity and other (income) expenses	—			(13		)	3			—			(10		)
Operating (loss) income	(2		)	91			5			—			94
Net pension and other postretirement plan non-service income and remeasurement adjustments	—			(26		)	—			—			(26		)
Net interest and other financing expense	9			1			—			—			10
(Loss) income before income taxes	(11		)	116			5			—			110
Income tax (benefit) expense	(4		)	38			4			—			38
Equity in net income of subsidiaries	79			1			—			(80		)	—
Net income (loss)	$	72		$	79		$	1		$	(80	)	$	72
Total comprehensive income (loss)	$	61		$	68		$	(7	)	$	(61	)	$	61

Condensed Income Statement

Condensed Consolidating Statements of Comprehensive Income
For the three months ended December 31, 2017
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
Sales	$	—		$	422		$	134	$	(11	)	$	545
Cost of sales	—			263			98		(11		)	350
Gross profit	—			159			36		—			195
Selling, general and administrative expense	9			83			22		—			114
Separation costs	1			1			—		—			2
Equity and other (income) expenses	—			(12		)	3		—			(9		)
Operating (loss) income	(10		)	87			11		—			88
Net pension and other postretirement plan non-service income and remeasurement adjustments	—			(10		)	—		—			(10		)
Net interest and other financing expense	12			1			1		—			14
(Loss) income before income taxes	(22		)	96			10		—			84
Income tax expense	21			70			3		—			94
Equity in net income of subsidiaries	33			7			—		(40		)	—
Net (loss) income	$	(10	)	$	33		$	7	$	(40	)	$	(10	)
Total comprehensive (loss) income	$	(11	)	$	32		$	8	$	(40	)	$	(11	)

Condensed Consolidating Statements of Comprehensive Income
For the three months ended December 31, 2016
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Sales	$	—		$	377		$	124		$	(12	)	$	489
Cost of sales	—			224			92			(12		)	304
Gross profit	—			153			32			—			185
Selling, general and administrative expense	2			69			24			—			95
Separation costs	—			6			—			—			6
Equity and other (income) expenses	—			(13		)	3			—			(10		)
Operating (loss) income	(2		)	91			5			—			94
Net pension and other postretirement plan non-service income and remeasurement adjustments	—			(26		)	—			—			(26		)
Net interest and other financing expense	9			1			—			—			10
(Loss) income before income taxes	(11		)	116			5			—			110
Income tax (benefit) expense	(4		)	38			4			—			38
Equity in net income of subsidiaries	79			1			—			(80		)	—
Net income (loss)	$	72		$	79		$	1		$	(80	)	$	72
Total comprehensive income (loss)	$	61		$	68		$	(7	)	$	(61	)	$	61

Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheets
As of December 31, 2017
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	—		$	18	$	97	$	—		$	115
Accounts receivable, net	—			84		435		(101		)	418
Inventories, net	—			94		76		—			170
Other current assets	—			29		3		—			32
Total current assets	—			225		611		(101		)	735
Noncurrent assets
Property, plant and equipment, net	—			346		38		—			384
Goodwill and intangibles, net	—			391		2		—			393
Equity method investments	—			33		—		—			33
Investment in subsidiaries	622			444		—		(1,066		)	—
Deferred income taxes	127			55		14		—			196
Other noncurrent assets	254			78		6		(252		)	86
Total noncurrent assets	1,003			1,347		60		(1,318		)	1,092
Total assets	$	1,003		$	1,572	$	671	$	(1,419	)	$	1,827
Liabilities and Stockholders' Deficit
Current Liabilities
Current portion of long-term debt	$	19		$	—	$	—	$	—		$	19
Trade and other payables	—			192		50		(101		)	141
Accrued expenses and other liabilities	119			55		34		—			208
Total current liabilities	138			247		84		(101		)	368
Noncurrent liabilities
Long-term debt	1,025			2		120		—			1,147
Employee benefit obligations	—			309		22		—			331
Other noncurrent liabilities	34			392		1		(252		)	175
Total noncurrent liabilities	1,059			703		143		(252		)	1,653
Commitments and contingencies
Stockholders' (deficit) equity	(194		)	622		444		(1,066		)	(194		)
Total liabilities and stockholders' deficit/equity	$	1,003		$	1,572	$	671	$	(1,419	)	$	1,827

Condensed Consolidating Balance Sheets
As of September 30, 2017
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current assets
Cash and cash equivalents	$	—		$	99	$	102	$	—		$	201
Accounts receivable, net	—			57		389		(61		)	385
Inventories, net	—			94		81		—			175
Other current assets	—			25		4		—			29
Total current assets	—			275		576		(61		)	790
Noncurrent assets
Property, plant and equipment, net	—			353		38		—			391
Goodwill and intangibles, net	—			333		2		—			335
Equity method investments	—			30		—		—			30
Investment in subsidiaries	606			447		—		(1,053		)	—
Deferred income taxes	145			122		14		—			281
Other noncurrent assets	314			80		6		(312		)	88
Total noncurrent assets	1,065			1,365		60		(1,365		)	1,125
Total assets	$	1,065		$	1,640	$	636	$	(1,426	)	$	1,915
Liabilities and Stockholders' Deficit
Current Liabilities
Short-term debt	$	—		$	—	$	75	$	—		$	75
Current portion of long-term debt	15			—		—		—			15
Trade and other payables	2			198		53		(61		)	192
Accrued expenses and other liabilities	103			60		33		—			196
Total current liabilities	120			258		161		(61		)	478
Noncurrent liabilities
Long-term debt	1,032			2		—		—			1,034
Employee benefit obligations	—			321		21		—			342
Other noncurrent liabilities	30			453		7		(312		)	178
Total noncurrent liabilities	1,062			776		28		(312		)	1,554
Commitments and contingencies
Stockholders' (deficit) equity	(117		)	606		447		(1,053		)	(117		)
Total liabilities and stockholders' deficit/equity	$	1,065		$	1,640	$	636	$	(1,426	)	$	1,915

Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows
For the three months ended December 31, 2017
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Cash flow provided by (used in) operating activities	$	(2	)	$	52		$	(30	)	$	—		$	20
Cash flows from investing activities
Additions to property, plant and equipment	—			(13		)	(1		)	—			(14		)
Acquisitions, net of cash required	—			(60		)	—			—			(60		)
Return of advance from subsidiary	60			—			—			(60		)	—
Total cash provided by (used in) investing activities	60			(73		)	(1		)	(60		)	(74		)
Cash flows from financing activities
Proceeds from borrowings, net of issuance costs of $1	—			—			44			—			44
Repayments on borrowings	(4		)	—			—			—			(4		)
Repurchase of common stock	(37		)	—			—			—			(37		)
Purchase of additional ownership in subsidiary	—			—			(15		)	—			(15		)
Cash dividends paid	(15		)	—			—			—			(15		)
Other financing activities	(2		)	—			(2		)	—			(4		)
Other intercompany activity, net	—			(60		)	—			60			—
Total cash (used in) provided by financing activities	(58		)	(60		)	27			60			(31		)
Effect of currency exchange rate changes on cash and cash equivalents	—			—			(1		)	—			(1		)
Decrease in cash and cash equivalents	—			(81		)	(5		)	—			(86		)
Cash and cash equivalents - beginning of year	—			99			102			—			201
Cash and cash equivalents - end of period	$	—		$	18		$	97		$	—		$	115

Condensed Consolidating Statements of Cash Flows
For the three months ended December 31, 2016
(In millions)	Valvoline Inc. (Parent Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Consolidated
Cash flows provided by (used in) operating activities	$	89		$	75		$	(76	)	$	—	$	88
Cash flows from investing activities
Additions to property, plant and equipment	—			(9		)	—			—		(9		)
Other investing activities, net	—			(1		)	—			—		(1		)
Total cash used in investing activities	—			(10		)	—			—		(10		)
Cash flows from financing activities
Net transfers to Ashland	(2		)	—			—			—		(2		)
Proceeds from borrowings	—			—			75			—		75
Repayments on borrowings	(79		)	—			—			—		(79		)
Cash dividends paid	(10		)	—			—			—		(10		)
Other intercompany activity, net	2			(2		)	—			—		—
Total cash (used in) provided by financing activities	(89		)	(2		)	75			—		(16		)
Effect of currency exchange rate changes on cash and cash equivalents	—			—			2			—		2
Increase in cash and cash equivalents	—			63			1			—		64
Cash and cash equivalents - beginning of year	—			94			78			—		172
Cash and cash equivalents - end of period	$	—		$	157		$	79		$	—	$	236