Discontinued Operations (Notes)

12 Months Ended

Sep. 30, 2021

Assets and Liabilities Held for Sale [Abstract]

Discontinued Operations

DISCONTINUED OPERATIONS

Power Solutions

On April 30, 2019, the Company completed the sale of its Power Solutions business, which met the criteria to be classified as a discontinued operation, to BCP Acquisitions LLC for a purchase price of $13.2 billion. The net cash proceeds after tax and transaction-related expenses were $11.6 billion. In connection with the sale, the Company recorded a gain, net of transaction and other costs, of $5.2 billion ($4.0 billion after tax), subject to post-closing working capital and net debt adjustments, within income from discontinued operations, net of tax, in the consolidated statements of income. In December 2020, the favorable resolution of certain post-closing working capital and net debt adjustments resulted in income from discontinued operations, net of tax, of $124 million due to a reversal of a reserve established in connection with the sale of Power Solutions.

The following table summarizes the results of Power Solutions which are classified as discontinued operations for the fiscal years ended September 30, 2021, 2020 and 2019 (in millions).

	Year Ended September 30,
	2021		2020		2019
Net sales	$	—	$	—	$	5,001
Income from discontinued operations before income taxes	150		—		6,039
Provision for income taxes on discontinued operations	(26)		—		(1,441)
Income from discontinued operations attributable to noncontrolling interests, net of tax	—		—		(24)
Income from discontinued operations	$	124	$	—	$	4,574

For the fiscal year ended September 30, 2019, income from discontinued operations before income taxes included a gain on sale of the Power Solutions business, net of transaction and other costs, of $5.2 billion and a favorable impact of $117 million for ceasing depreciation and amortization expense as the business was held for sale.

For the fiscal year ended September 30, 2019, the effective tax rate was more than the Irish statutory rate of 12.5% primarily due to the tax impacts of the divestiture of the Power Solutions business and tax rate differentials.

Assets and Liabilities Held for Sale During the third quarter of fiscal 2020, the Company determined that certain assets of the Building Solutions Asia Pacific segment met the criteria to be classified as held for sale. The estimated fair value, less costs to sell, of these assets was $156 million at September 30, 2021 and $147 million at September 30, 2020.