Leases

12 Months Ended

Sep. 30, 2011

Leases [Abstract]

Leases

11.  LEASES

Lessee Accounting

Capital leases, primarily for the right to use machinery and equipment, are included with owned plant and equipment on the consolidated balance sheet in the amount of $20.3 and $18.2 at 30 September 2011 and 2010, respectively. Related amounts of accumulated depreciation are $12.0 and $12.1, respectively.

Operating leases principally relate to real estate and also include aircraft, distribution equipment, and vehicles. Certain leases include escalation clauses, renewal, and/or purchase options. Rent expense is recognized on a straight-line basis over the minimum lease term. Rent expense under operating leases, including month-to-month agreements, was $96.7 in 2011, $93.0 in 2010, and $89.9 in 2009.

At 30 September 2011, minimum payments due under leases are as follows:

	Capital Leases		Operating Leases
2012		$2.8		$53.3
2013		1.6		43.7
2014		1.3		34.6
2015		1.1		28.9
2016		1.0		24.4
Thereafter		1.3		35.4
		$9.1		$220.3

The present value of the above future capital lease payments totaled $7.5, of which $2.2 was classified as current and $5.3 as long-term in the liability section of the consolidated balance sheet. At 30 September 2010, the present value of the future capital lease payments was $9.8, of which $1.4 was classified as current and $8.4 as long-term. Refer to Note 14, Debt.

Lessor Accounting

As discussed under Revenue Recognition in Note 1, Major Accounting Policies, certain contracts associated with facilities that are built to provide product to a specific customer are required to be accounted for as leases. Lease receivables, net, were included principally in noncurrent capital lease receivables on our consolidated balance sheets with the remaining balance in current capital lease receivables. Refer to Note 22, Supplemental Information.

The components of lease receivables were as follows:

30 September	2011			2010
Gross minimum lease payments receivable		$1,663.2			$1,195.5
Unearned interest income		(573.3	)		(386.0	)
Lease Receivables, net		$1,089.9			$809.5

Lease payments collected in 2011, 2010, and 2009 were $84.6, $68.0, and $53.6, respectively.

At 30 September 2011, minimum lease payments to be collected are as follows:

2012	$120.9
2013	130.8
2014	129.2
2015	127.1
2016	125.2
Thereafter	1,030.0
	$1,663.2