Income Taxes

6 Months Ended

Mar. 31, 2013

Income Tax Disclosure [Abstract]

Income Taxes

16.       INCOME TAXES

During the first quarter of 2012, we reached a settlement with the Spanish tax authorities for €41.3 million ($56) in resolution of tax deductions claimed by certain of our Spanish subsidiaries during fiscal years 2005-2011.  Of this settlement, $43.8($.20 per share) increased our income tax expense and had a6.7% impact on our effective tax rate for the six months ended 31 March 2012. The cash payment for the settlement was principally paid in January 2012.

During the second quarter of 2012, we received a favorable ruling by the Spanish Supreme Court over tax benefits related to certain transactions of a Spanish subsidiary for years 1991 and 1992, a period before we controlled this subsidiary. As a result, in the second quarter of 2012, we recorded a reduction in income tax expense of $58.3 ($.27 per share), including interest and penalties. This reduction in income tax expense had a 19.8% and 8.9% impact on our effective tax rate for the three and six months ended 31 March 2012, respectively.

On 2 January 2013, the American Taxpayer Relief Act of 2012 (Act) was signed into law which includes retroactive extensions of certain business tax provisions that had expired. This Act did not have a material impact on our consolidated financial statements.