Business Segments

6 Months Ended

Jun. 30, 2014

Segment Reporting [Abstract]

BUSINESS SEGMENTS

BUSINESS SEGMENTS

	Three Months Ended						Six Months Ended
	June 30,						June 30,
(In millions)	2014			2013			2014		2013
Sales:
North America	$	2,044		$	2,201		$	3,923	$	4,367
Europe, Middle East and Africa	1,580			1,577			3,256		3,184
Latin America	489			531			911		1,044
Asia Pacific	543			585			1,035		1,152
Net Sales	$	4,656		$	4,894		$	9,125	$	9,747
Segment Operating Income:
North America	$	208		$	204		$	364	$	331
Europe, Middle East and Africa	117			51			227		82
Latin America	59			82			101		142
Asia Pacific	76			91			141		175
Total Segment Operating Income	460			428			833		730
Less:
Rationalizations	24			13			65		20
Interest expense	102			102			207		187
Other (income) expense	8			(14		)	176		112
Asset write-offs and accelerated depreciation	2			5			3		10
Corporate incentive compensation plans	19			35			46		45
Pension curtailments/settlements	—			—			33		—
Intercompany profit elimination	(4		)	(3		)	9		—
Retained expenses of divested operations	3			6			7		10
Other (1)	14			28			25		40
Income before Income Taxes	$	292		$	256		$	262	$	306

(1) For the three and six months ended June 30, 2014, Other includes the elimination of $5 million and $12 million, respectively, of royalty income attributable to the strategic business units, compared to $16 million and $23 million, respectively, for the three and six months ended June 30, 2013.

Substantially all of the pension curtailment charges of $33 million for the six months ended June 30, 2014 noted above related to our North America strategic business unit ("SBU"); however, such costs were not included in North America segment operating income for purposes of management's assessment of SBU operating performance. In addition, rationalizations, as described in Note 2, Costs Associated with Rationalization Programs; net (gains) losses on asset sales, as described in Note 3, Other (Income) Expense; and asset write-offs and accelerated depreciation are not (credited) charged to the SBUs for performance evaluation purposes, but were attributable to the SBUs as follows:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
(In millions)	2014			2013			2014			2013
Rationalizations:
North America	$	—		$	5		$	(1	)	$	7
Europe, Middle East and Africa	20			3			58			6
Latin America	1			2			1			2
Asia Pacific	3			3			7			5
Total Segment Rationalizations	$	24		$	13		$	65		$	20
Net (Gains) Losses on Asset Sales:
North America	$	(1	)	$	(3	)	$	(1	)	$	(2	)
Europe, Middle East and Africa	(2		)	—			—			2
Latin America	—			1			—			—
Asia Pacific	—			(3		)	—			(3		)
Total Segment Asset Sales	$	(3	)	$	(5	)	$	(1	)	$	(3	)
Corporate	(2		)	—			(2		)	—
	$	(5	)	$	(5	)	$	(3	)	$	(3	)

Asset Write-offs and Accelerated Depreciation:
Europe, Middle East and Africa	$	2	$	5	$	3	$	10
Total Segment Asset Write-offs and Accelerated Depreciation	$	2	$	5	$	3	$	10