Eaton (ETN) 10-Q 1 Aug 17 2017 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document and Entity Information shares in Millions	6 Months Ended
	Jun. 30, 2017shares
Document and Entity Information [Abstract]
Entity Registrant Name	Eaton Corp plc
Trading Symbol	ETN
Entity Central Index Key	1,551,182
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding (in shares)	444.8

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Statement [Abstract]
Net sales	$ 5,132	$ 5,080	$ 9,980	$ 9,893
Cost of products sold	3,450	3,419	6,760	6,710
Selling and administrative expense	902	897	1,787	1,789
Research and development expense	150	149	293	298
Interest expense - net	60	57	121	114
Other expense (income) - net	0	5	(15)	(13)
Income before income taxes	570	553	1,034	995
Income tax expense	54	61	86	100
Net income	516	492	948	895
Less net income for noncontrolling interests	(1)	(1)	(1)	0
Net income attributable to Eaton ordinary shareholders	$ 515	$ 491	$ 947	$ 895
Net income per share attributable to Eaton ordinary shareholders
Diluted (usd per share)	$ 1.15	$ 1.07	$ 2.10	$ 1.95
Basic (usd per share)	$ 1.15	$ 1.08	$ 2.12	$ 1.96
Weighted-average number of ordinary shares outstanding
Diluted (shares)	448.6	458.3	449.8	459
Basic (shares)	446.3	457	447.5	457.8
Cash dividends declared per ordinary share (usd per share)	$ 0.6	$ 0.57	$ 1.20	$ 1.14

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Statement of Comprehensive Income [Abstract]
Net income	$ 516	$ 492	$ 948	$ 895
Less net income for noncontrolling interests	(1)	(1)	(1)	0
Net income attributable to Eaton ordinary shareholders	515	491	947	895
Other comprehensive income (loss), net of tax
Currency translation and related hedging instruments	320	(296)	548	(35)
Pensions and other postretirement benefits	4	53	37	87
Cash flow hedges	(1)	(12)	1	(34)
Other comprehensive income (loss) attributable to Eaton ordinary shareholders	323	(255)	586	18
Total comprehensive income attributable to Eaton ordinary shareholders	$ 838	$ 236	$ 1,533	$ 913

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016
Current assets
Cash	$ 312	$ 543
Short-term investments	525	203
Accounts receivable - net	3,813	3,560
Inventory	2,393	2,254
Prepaid expenses and other current assets	444	381
Total current assets	7,487	6,941
Land and buildings	2,455	2,369
Machinery and equipment	5,934	5,670
Gross property, plant and equipment	8,389	8,039
Accumulated depreciation	(4,859)	(4,596)
Net property, plant and equipment	3,530	3,443
Other noncurrent assets
Goodwill	13,478	13,201
Other intangible assets	5,410	5,514
Deferred income taxes	443	360
Other assets	1,007	960
Total assets	31,355	30,419
Current liabilities
Short-term debt	846	14
Current portion of long-term debt	1,495	1,552
Accounts payable	1,885	1,718
Accrued compensation	338	379
Other current liabilities	1,745	1,822
Total current liabilities	6,309	5,485
Noncurrent liabilities
Long-term debt	6,264	6,711
Pension liabilities	1,578	1,659
Other postretirement benefits liabilities	364	368
Deferred income taxes	316	321
Other noncurrent liabilities	930	934
Total noncurrent liabilities	9,452	9,993
Shareholders’ equity
Eaton shareholders’ equity	15,552	14,897
Noncontrolling interests	42	44
Total equity	15,594	14,941
Total liabilities and equity	$ 31,355	$ 30,419

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Operating activities
Net income	$ 948	$ 895
Adjustments to reconcile to net cash provided by operating activities
Depreciation and amortization	453	467
Deferred income taxes	(107)	(74)
Pension and other postretirement benefits expense	104	116
Contributions to pension plans	(160)	(74)
Contributions to other postretirement benefits plans	(11)	(18)
Changes in working capital	(376)	(256)
Other - net	186	77
Net cash provided by operating activities	1,037	1,133
Investing activities
Capital expenditures for property, plant and equipment	(246)	(246)
Cash received from acquisitions of businesses, net of cash acquired	0	1
Sale (purchases) of short-term investments - net	(309)	38
Other - net	(31)	3
Net cash used in investing activities	(586)	(204)
Financing activities
Proceeds from borrowings	832	151
Payments on borrowings	(543)	(240)
Cash dividends paid	(537)	(521)
Exercise of employee stock options	49	37
Repurchase of shares	(465)	(295)
Payments Related to Tax Withholding for Share-based Compensation	(21)	(17)
Other - net	(4)	3
Net cash used in financing activities	(689)	(882)
Effect of currency on cash	7	8
Total (decrease) increase in cash	(231)	55
Cash at the beginning of the period	543	268
Cash at the end of the period	$ 312	$ 323

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements of Eaton Corporation plc (Eaton or the Company) have been prepared in accordance with generally accepted accounting principles for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by United States generally accepted accounting principles (US GAAP) for complete financial statements. However, in the opinion of management, all adjustments (consisting of normal recurring accruals) have been made that are necessary for a fair presentation of the condensed consolidated financial statements for the interim periods. This Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in Eaton’s 2016 Form 10-K. The interim period results are not necessarily indicative of the results to be expected for the full year. Management has evaluated subsequent events through the date this Form 10-Q was filed with the Securities and Exchange Commission. During the first quarter of 2017, the Company adopted Accounting Standards Update 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, (ASU 2016-09). Upon adoption, the Company recorded deferred tax assets of $48 for all excess tax benefits that had not been previously recognized. This was accomplished through a cumulative-effect adjustment to retained earnings. ASU 2016-09 also requires that all excess tax benefits and deficiencies generated in the current and future periods be recorded as income tax benefit or expense in the reporting period in which they occur. These excess tax benefits and deficiencies, which were previously required to be presented as financing activities on the Company’s Condensed Consolidated Statements of Cash Flows, are now classified as operating activities prospectively. The Company also reclassified $21 and $17 for the first six months of 2017 and 2016, respectively, from operating activities to financing activities on the Company’s Condensed Consolidated Statements of Cash Flows for withholding payments made to taxing authorities from shares withheld from employees. The Company will continue to estimate forfeitures as part of recording equity-based compensation expense. Certain prior year amounts have been reclassified to conform to the current year presentation. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (ASU 2014-09). This accounting standard supersedes all existing US GAAP revenue recognition guidance. Under ASU 2014-09, a company will recognize revenue when it transfers the control of promised goods or services to customers in an amount that reflects the consideration which the company expects to collect in exchange for those goods or services. ASU 2014-09 will require additional disclosures in the notes to the consolidated financial statements and is effective for annual and interim reporting periods beginning after December 15, 2016. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date (ASU 2015-14). This accounting standard defers the effective date of ASU 2014-09 for one year and permits early adoption as of the original effective date. A cross-functional implementation team has been established consisting of representatives from all of our business segments to review current accounting policies and practices to identify potential differences that would result from applying the requirements of the new standard to revenue contracts. The implementation team performed a review of samples of customer contracts across the Company’s significant revenue streams. Based on this evaluation, most of the revenue streams will be recorded consistently under both the current and new standards. Certain revenue streams will move from point-in-time or multiple elements to over time because of the continuous transfer of control to customers. The Company is also in the process of identifying and implementing the appropriate changes to business processes and controls to support recognition and disclosure under the new standard, including evaluating new qualitative and quantitative disclosures that will include information on the nature, amount, timing and significant judgments impacting revenue from contracts with customers. Eaton plans to adopt the standard as of the first quarter of 2018 using the modified retrospective approach and will record a cumulative adjustment to equity for open contracts as of January 1, 2018. Eaton is continuing to evaluate the impact of ASU 2014-09 and an estimate of the impact to the consolidated financial statements cannot be made at this time. In February 2016, the Financial Accounting Standards Board issued Accounting Standards Update 2016-02, Leases (Topic 842), (ASU 2016-02). This accounting standard requires that a lessee recognize a lease asset and a lease liability on its balance sheet for all leases, including operating leases, with a term greater than 12 months. ASU 2016-02 will require additional disclosures in the notes to the consolidated financial statements and is effective for annual and interim reporting periods beginning after December 15, 2018. Eaton is evaluating the impact of ASU 2016-02 and an estimate of the impact to the consolidated financial statements cannot be made at this time.

FORMATION OF A JOINT VENTURE

FORMATION OF A JOINT VENTURE	6 Months Ended
	Jun. 30, 2017
FORMATION OF A JOINT VENTURE [Abstract]
Equity Method Investments and Joint Ventures Disclosure [Text Block]	FORMATION OF A JOINT VENTURE On July 31, 2017, Eaton and Cummins, Inc. formed a joint venture for automated transmissions for heavy-duty and medium-duty commercial vehicles. The joint venture is named Eaton Cummins Automated Transmission Technologies. Cummins, Inc. and Eaton each own 50% of the new joint venture. Eaton will account for the joint venture on the equity method of accounting. Eaton received $600 in cash from Cummins, Inc. for a 50% interest in the joint venture. The Company is currently assessing the impact of the transaction to the consolidated financial statements.

ACQUISITION INTEGRATION CHARGES

ACQUISITION INTEGRATION CHARGES	6 Months Ended
	Jun. 30, 2017
Acquisitions Integration Charges [Abstract]
ACQUISITION INTEGRATION CHARGES	ACQUISITION INTEGRATION CHARGES Eaton incurs integration charges related to acquired businesses. A summary of these charges follows: Three months ended Six months ended 2017 2016 2017 2016 Electrical Products $ 1 $ 1 $ 2 $ 1 Electrical Systems and Services — — — 1 Total acquisition integration charges before income taxes 1 1 2 2 Income taxes 1 — 1 1 Total after income taxes $ — $ 1 $ 1 $ 1 Per ordinary share - diluted $ — $ — $ — $ — Business segment acquisition integration charges in 2017 related to the integration of Ephesus Lighting, Inc. (Ephesus), which was acquired in 2015. The charges associated with Ephesus were included in Selling and administrative expense. Business segment acquisition integration charges in 2016 related to the integration of Ephesus and Oxalis Group Ltd. (Oxalis), which was acquired in 2015. The charges associated with Ephesus and Oxalis were included in Selling and administrative expense and Cost of products sold, respectively. In Business Segment Information, the charges reduced Operating profit of the related business segment. See Note 13 for additional information about business segments.

RESTRUCTURING CHARGES

RESTRUCTURING CHARGES	6 Months Ended
	Jun. 30, 2017
Restructuring and Related Activities [Abstract]
RESTRUCTURING CHARGES	RESTRUCTURING CHARGES During 2015, Eaton announced its commitment to undertake actions to reduce its cost structure in all business segments and at corporate. Restructuring charges incurred for the three and six months ended June 30, 2017 , were $33 and $53 , respectively, and were $35 and $98 for the three and six months ended June 30, 2016 , respectively. The charges associated with restructuring activities are anticipated to be $100 in 2017 . A summary of restructuring charges by type follows: Three months ended Six months ended 2017 2016 2017 2016 Workforce reductions $ 17 $ 20 $ 25 $ 77 Plant closings and other 16 15 28 21 Total $ 33 $ 35 $ 53 $ 98 A summary of restructuring charges by segment follows: Three months ended Six months ended 2017 2016 2017 2016 Electrical Products $ 11 $ 9 $ 14 $ 26 Electrical Systems & Services 5 3 7 13 Hydraulics 8 18 17 34 Aerospace — — 1 4 Vehicle 3 5 5 17 Corporate 6 — 9 4 Total $ 33 $ 35 $ 53 $ 98 A summary of liabilities related to workforce reductions, plant closings and other associated costs announced in 2015 follows: Workforce reductions Plant closings and other Total Balance at December 31, 2015 $ 54 $ — $ 54 Liability recognized 177 34 211 Payments (116 ) (13 ) (129 ) Other adjustments (2 ) (20 ) (22 ) Balance at December 31, 2016 113 1 114 Liability recognized 25 28 53 Payments (56 ) (15 ) (71 ) Other adjustments (3 ) (9 ) (12 ) Balance at June 30, 2017 $ 79 $ 5 $ 84 These charges were included in Cost of products sold, Selling and administrative expenses or Other income-net, as appropriate. In Business Segment Information, the charges reduced Operating profit of the related business segment. See Note 13 for additional information about business segments.

GOODWILL

GOODWILL	6 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL	GOODWILL Change in the carrying amount of goodwill by segment follows: Electrical Products Electrical Systems and Services Hydraulics Aerospace Vehicle Total December 31, 2016 $ 6,497 $ 4,203 $ 1,221 $ 938 $ 342 $ 13,201 Translation 166 79 24 5 3 277 June 30, 2017 $ 6,663 $ 4,282 $ 1,245 $ 943 $ 345 $ 13,478

RETIREMENT BENEFITS PLANS

RETIREMENT BENEFITS PLANS	6 Months Ended
	Jun. 30, 2017
Retirement Benefits [Abstract]
RETIREMENT BENEFITS PLANS	RETIREMENT BENEFITS PLANS The components of retirement benefits expense follow: United States Non-United States Other postretirement Three months ended June 30 2017 2016 2017 2016 2017 2016 Service cost $ 24 $ 27 $ 18 $ 17 $ — $ 1 Interest cost 31 32 14 16 4 5 Expected return on plan assets (61 ) (62 ) (23 ) (24 ) (1 ) (2 ) Amortization 21 23 12 8 (3 ) (2 ) 15 20 21 17 — 2 Settlements and special termination benefits 17 18 — — — — Total expense $ 32 $ 38 $ 21 $ 17 $ — $ 2 United States Non-United States Other postretirement Six months ended June 30 2017 2016 2017 2016 2017 2016 Service cost $ 48 $ 55 $ 35 $ 33 $ 1 $ 2 Interest cost 62 63 27 32 7 9 Expected return on plan assets (122 ) (125 ) (46 ) (48 ) (2 ) (3 ) Amortization 41 46 25 17 (6 ) (4 ) 29 39 41 34 — 4 Settlements and special termination benefits 34 39 — — — — Total expense $ 63 $ 78 $ 41 $ 34 $ — $ 4

LEGAL CONTINGENCIES

LEGAL CONTINGENCIES	6 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
LEGAL CONTINGENCIES	LEGAL CONTINGENCIES Eaton is subject to a broad range of claims, administrative and legal proceedings such as lawsuits that relate to contractual allegations, tax audits, patent infringement, personal injuries, antitrust matters and employment-related matters. Eaton is also subject to asbestos claims from historic products which may have contained asbestos. Insurance may cover some of the costs associated with these claims and proceedings. Although it is not possible to predict with certainty the outcome or cost of these matters, the Company believes they will not have a material adverse effect on the consolidated financial statements. In December 2010, a Brazilian court held that a judgment obtained by a Brazilian company, Raysul, against another Brazilian company, Saturnia, which was sold by Eaton in 2006, could be enforced against Eaton Ltda. The judgment was based on an alleged violation of an agency agreement between Raysul and Saturnia. At March 31, 2016, the Company had a total accrual of 100 Brazilian Reais related to this matter ( $31 based on June 2016 exchange rates). In June 2016, Eaton signed a settlement agreement and resolved the matter, which did not have a material impact on the consolidated financial statements.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The effective income tax rate for second quarter and first six months of 2017 was expense of 10% and 8% , respectively, compared to expense of 11% and 10% for the second quarter and first six months of 2016 . The decreases in the effective tax rate in the second quarter and the first six months of 2017 were due to the resolution of tax contingencies in lower tax jurisdictions and the excess tax benefits recognized for employee share-based payments pursuant to the adoption of ASU 2016-09 as discussed in Note 1. On July 26, 2017, the United States Tax Court issued a ruling in the previously-disclosed dispute between Eaton Corporation, a subsidiary of the Company ( “Eaton Corp”) and the Internal Revenue Service (the "IRS"). As the Company has previously disclosed, the IRS issued a Notice in 2011 for Eaton Corp’s 2005 and 2006 tax years proposing assessments of $75 million in additional taxes plus $52 million in penalties related primarily to transfer pricing adjustments for products manufactured in Eaton Corp’s facilities in Puerto Rico and the Dominican Republic and sold to affiliated companies located in the U.S. As previously disclosed, the IRS also proposed adjustments related to the same transfer pricing issue in another Notice issued in 2014 for the 2007 through 2010 tax years. Eaton Corp has set its transfer prices for products sold between these affiliates at the same prices that it sells such products to third parties as required by two successive Advance Pricing Agreements (APAs) Eaton Corp entered into with the IRS. The IRS cancelled the APAs and made the proposed adjustments in the 2011 and 2014 Notices, which Eaton Corp disputed in the Tax Court. The Tax Court case involved both whether the APAs should be enforced and, if not, the appropriate transfer pricing methodology. The Tax Court held a trial for the 2005 and 2006 tax years, the outcome of which also applies to the transfer pricing matter in the 2007 through 2010 tax years. The Tax Court agreed with Eaton Corp that the IRS must abide by the terms of the APAs for the tax years 2005-06, a finding that is also applicable to the 2007-2010 years. The Tax Court’s ruling on the APAs is not expected to have a material impact on Eaton’s consolidated financial statements.

EQUITY

EQUITY	6 Months Ended
	Jun. 30, 2017
Stockholders' Equity Note [Abstract]
EQUITY	EQUITY On October 22, 2013, Eaton's Board of Directors adopted a share repurchase program (the 2013 Program). Under the 2013 Program, the ordinary shares were expected to be repurchased over time, depending on market conditions, the market price of ordinary shares, capital levels, and other considerations. During the first quarter of 2016 , 1.5 million ordinary shares were repurchased under the 2013 Program in the open market at a total cost of $82 . On February 24, 2016, the Board of Directors approved a new share repurchase program for share repurchases up to $2,500 of ordinary shares (2016 Program). Under the 2016 Program, the ordinary shares are expected to be repurchased over time, depending on market conditions, the market price of ordinary shares, capital levels, and other considerations. During the three and six months ended June 30, 2017 , 2.7 million and 6.3 million ordinary shares, respectively, were repurchased under the 2016 Program in the open market at a total cost of $210 and $465 , respectively. During the three and six months ended June 30, 2016, 3.7 million and 4.0 million ordinary shares, respectively, were repurchased under the 2016 Program in the open market at a total cost of $224 and $242 , respectively. The changes in Shareholders’ equity follow: Eaton shareholders’ equity Noncontrolling interests Total equity Balance at December 31, 2016 $ 14,897 $ 44 $ 14,941 Cumulative-effect adjustment upon adoption of ASU 2016-09 48 — 48 Net income 947 1 948 Other comprehensive income 586 — 586 Cash dividends paid (537 ) (3 ) (540 ) Issuance of shares under equity-based compensation plans - net 76 — 76 Repurchase of shares (465 ) — (465 ) Balance at June 30, 2017 $ 15,552 $ 42 $ 15,594 The changes in Accumulated other comprehensive loss follow: Currency translation and related hedging instruments Pensions and other postretirement benefits Cash flow hedges Total Balance at December 31, 2016 $ (3,062 ) $ (1,380 ) $ (6 ) $ (4,448 ) Other comprehensive (loss) income before reclassifications 548 (27 ) (3 ) 518 Amounts reclassified from Accumulated other comprehensive loss (income) — 64 4 68 Net current-period Other comprehensive income (loss) 548 37 1 586 Balance at June 30, 2017 $ (2,514 ) $ (1,343 ) $ (5 ) $ (3,862 ) The reclassifications out of Accumulated other comprehensive loss follow: Six months ended June 30, 2017 Consolidated statements of income classification Amortization of defined benefit pensions and other postretirement benefits items Actuarial loss and prior service cost $ (94 ) 1 Tax benefit 30 Total, net of tax (64 ) Gains and (losses) on cash flow hedges Currency exchange contracts (5 ) Cost of products sold Tax benefit 1 Total, net of tax (4 ) Total reclassifications for the period $ (68 ) 1 These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 6 for additional information about pension and other postretirement benefits items. Net Income Per Share Attributable to Eaton Ordinary Shareholders A summary of the calculation of net income per share attributable to Eaton ordinary shareholders follows: Three months ended Six months ended (Shares in millions) 2017 2016 2017 2016 Net income attributable to Eaton ordinary shareholders $ 515 $ 491 $ 947 $ 895 Weighted-average number of ordinary shares outstanding - diluted 448.6 458.3 449.8 459.0 Less dilutive effect of equity-based compensation 2.3 1.3 2.3 1.2 Weighted-average number of ordinary shares outstanding - basic 446.3 457.0 447.5 457.8 Net income per share attributable to Eaton ordinary shareholders Diluted $ 1.15 $ 1.07 $ 2.10 $ 1.95 Basic 1.15 1.08 2.12 1.96 For the second quarter and first six months of 2017 , 0.2 million and 0.7 million stock options, respectively, were excluded from the calculation of diluted net income per share attributable to Eaton ordinary shareholders because the exercise price of the options exceeded the average market price of the ordinary shares during the period and their effect, accordingly, would have been antidilutive. For the second quarter and first six months of 2016, 1.5 million and 1.9 million stock options, respectively, were excluded from the calculation of diluted net income per share attributable to Eaton ordinary shareholders because the exercise price of the options exceeded the average market price of the ordinary shares during the period and their effect, accordingly, would have been antidilutive.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS Fair value is measured based on an exit price, representing the amount that would be received to sell an asset or paid to satisfy a liability in an orderly transaction between market participants. Fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, a fair value hierarchy is established, which categorizes the inputs used in measuring fair value as follows: (Level 1) observable inputs such as quoted prices in active markets; (Level 2) inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and (Level 3) unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. A summary of financial instruments recognized at fair value, and the fair value measurements used, follows: Total Level 1 Level 2 Level 3 June 30, 2017 Cash $ 312 $ 312 $ — $ — Short-term investments 525 525 — — Net derivative contracts 64 — 64 — December 31, 2016 Cash $ 543 $ 543 $ — $ — Short-term investments 203 203 — — Net derivative contracts (3 ) — (3 ) — Eaton values its financial instruments using an industry standard market approach, in which prices and other relevant information is generated by market transactions involving identical or comparable assets or liabilities. No financial instruments were measured using unobservable inputs. Other Fair Value Measurements Long-term debt and the current portion of long-term debt had a carrying value of $7,759 and fair value of $8,093 at June 30, 2017 compared to $8,263 and $8,477 , respectively, at December 31, 2016 . The fair value of Eaton's debt instruments were estimated using prevailing market interest rates on debt with similar creditworthiness, terms and maturities, and are considered a Level 2 fair value measurement.

DERIVATIVE FINANCIAL INSTRUMENT

DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES	6 Months Ended
	Jun. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES	DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES In the normal course of business, Eaton is exposed to certain risks related to fluctuations in interest rates, currency exchange rates and commodity prices. The Company uses various derivative and non-derivative financial instruments, primarily interest rate swaps, currency forward exchange contracts, currency swaps and, to a lesser extent, commodity contracts, to manage risks from these market fluctuations. The instruments used by Eaton are straightforward, non-leveraged instruments. The counterparties to these instruments are financial institutions with strong credit ratings. Eaton maintains control over the size of positions entered into with any one counterparty and regularly monitors the credit rating of these institutions. Such instruments are not purchased and sold for trading purposes. Derivative financial instruments are accounted for at fair value and recognized as assets or liabilities in the Condensed Consolidated Balance Sheets. Accounting for the gain or loss resulting from the change in the fair value of the derivative financial instrument depends on whether it has been designated, and is effective, as part of a hedging relationship and, if so, as to the nature of the hedging activity. Eaton formally documents all relationships between derivative financial instruments accounted for as designated hedges and the hedged item, as well as its risk-management objective and strategy for undertaking the hedge transaction. This process includes linking derivative financial instruments to a recognized asset or liability, specific firm commitment, forecasted transaction, or net investment in a foreign operation. These financial instruments can be designated as: • Hedges of the change in the fair value of a recognized fixed-rate asset or liability, or the firm commitment to acquire such an asset or liability (a fair value hedge); for these hedges, the gain or loss from the derivative financial instrument, as well as the offsetting loss or gain on the hedged item attributable to the hedged risk, are recognized in income during the period of change in fair value. • Hedges of the variable cash flows of a recognized variable-rate asset or liability, or the forecasted acquisition of such an asset or liability (a cash flow hedge); for these hedges, the effective portion of the gain or loss from the derivative financial instrument is recognized in Accumulated other comprehensive loss and reclassified to income in the same period when the gain or loss on the hedged item is included in income. • Hedges of the currency exposure related to a net investment in a foreign operation (a net investment hedge); for these hedges, the effective portion of the gain or loss from the derivative financial instrument is recognized in Accumulated other comprehensive loss and reclassified to income in the same period when the gain or loss related to the net investment in the foreign operation is included in income. The gain or loss from a derivative financial instrument designated as a hedge that is effective is classified in the same line of the Consolidated Statements of Income as the offsetting loss or gain on the hedged item. The change in fair value of a derivative financial instrument that is not effective as a hedge is immediately recognized in income. For derivatives that are not designated as a hedge, any gain or loss is immediately recognized in income. The majority of derivatives used in this manner relate to risks resulting from assets or liabilities denominated in a foreign currency and certain commodity contracts that arise in the normal course of business. Gains and losses associated with commodity hedge contracts are classified in Cost of products sold. Eaton uses certain of its debt denominated in foreign currency to hedge portions of its net investments in foreign operations against foreign currency exposure (net investment hedges). Foreign currency denominated debt designated as non-derivative net investment hedging instruments on an after-tax basis was $89 at June 30, 2017 and $86 at December 31, 2016 , and designated on a pre-tax basis was $620 at June 30, 2017 and $572 at December 31, 2016 . Derivative Financial Statement Impacts The fair value of derivative financial instruments recognized in the Condensed Consolidated Balance Sheets follows: Notional amount Other current assets Other noncurrent assets Other current liabilities Other noncurrent liabilities Type of hedge Term June 30, 2017 Derivatives designated as hedges Fixed-to-floating interest rate swaps $ 3,715 $ 3 $ 60 $ 1 $ 7 Fair value 4 months to 18 years Forward starting floating-to-fixed interest rate swaps 450 — 14 — 1 Cash flow 10 years Interest rate locks 350 — 1 — 1 Cash flow 10 to 30 years Currency exchange contracts 849 6 2 21 8 Cash flow 1 to 36 months Total $ 9 $ 77 $ 22 $ 17 Derivatives not designated as hedges Currency exchange contracts $ 2,626 $ 43 $ 26 1 to 12 months Commodity contracts 4 — — 1 to 12 months Total $ 43 $ 26 December 31, 2016 Derivatives designated as hedges Fixed-to-floating interest rate swaps $ 3,765 $ 1 $ 65 $ — $ 8 Fair value 3 months to 18 years Forward starting floating-to-fixed interest rate swaps 450 — 19 — 1 Cash flow 11 years Currency exchange contracts 802 11 1 22 17 Cash flow 1 to 36 months Total $ 12 $ 85 $ 22 $ 26 Derivatives not designated as hedges Currency exchange contracts $ 5,333 $ 31 $ 85 1 to 12 months Commodity contracts 10 2 — 1 to 12 months Total $ 33 $ 85 The currency exchange contracts shown in the table above as derivatives not designated as hedges are primarily contracts entered into to manage currency volatility or exposure on intercompany sales and loans. While Eaton does not elect hedge accounting treatment for these derivatives, Eaton targets managing 100% of the intercompany balance sheet exposure to minimize the effect of currency volatility related to the movement of goods and services in the normal course of its operations. This activity represents the great majority of these currency exchange contracts. The impact of derivative instruments to the Consolidated Statement of Income and Comprehensive Income follow: Gain (loss) recognized in other comprehensive (loss) income Location of gain (loss) reclassified from Accumulated other comprehensive loss Gain (loss) reclassified from Accumulated other comprehensive loss Three months ended Three months ended 2017 2016 2017 2016 Derivatives designated as cash flow hedges Forward starting floating-to-fixed interest rate swaps $ (5 ) $ (10 ) Interest expense - net $ — $ — Currency exchange contracts 2 (10 ) Cost of products sold (1 ) (2 ) Total $ (3 ) $ (20 ) $ (1 ) $ (2 ) Gain (loss) recognized in Location of gain (loss) Gain (loss) reclassified Six months ended Six months ended 2017 2016 2017 2016 Derivatives designated as cash Forward starting floating-to-fixed $ (5 ) $ (19 ) Interest expense - net $ — $ — Currency exchange contracts 1 (32 ) Cost of products sold (5 ) 1 Total $ (4 ) $ (51 ) $ (5 ) $ 1 Amounts recognized in net income follow: Three months ended Six months ended 2017 2016 2017 2016 Derivatives designated as fair value hedges Fixed-to-floating interest rate swaps $ 8 $ 30 $ (3 ) $ 106 Related long-term debt converted to floating interest rates by interest rate swaps (8 ) (30 ) 3 (106 ) $ — $ — $ — $ — Gains and losses described above were recognized in Interest expense - net.

INVENTORY

INVENTORY	6 Months Ended
	Jun. 30, 2017
Inventory Disclosure [Abstract]
INVENTORY	INVENTORY Inventory accounted for using the first-in, first out (FIFO) method is carried at lower of cost or net realizable value. Inventory accounted for using the last-in, first-out (LIFO) method is carried at lower of cost or market. The components of inventory follow: June 30, December 31, Raw materials $ 924 $ 880 Work-in-process 432 396 Finished goods 1,137 1,074 Inventory at FIFO 2,493 2,350 Excess of FIFO over LIFO cost (100 ) (96 ) Total inventory $ 2,393 $ 2,254

BUSINESS SEGMENT INFORMATION

BUSINESS SEGMENT INFORMATION	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
BUSINESS SEGMENT INFORMATION	BUSINESS SEGMENT INFORMATION Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker, or decision making group, in deciding how to allocate resources to an individual segment and in assessing performance. Eaton’s operating segments are Electrical Products, Electrical Systems and Services, Hydraulics, Aerospace and Vehicle. Operating profit includes the operating profit from intersegment sales. For additional information regarding Eaton’s business segments, see Note 15 to the Consolidated Financial Statements contained in the 2016 Form 10-K. Three months ended Six months ended 2017 2016 2017 2016 Net sales Electrical Products $ 1,802 $ 1,784 $ 3,514 $ 3,464 Electrical Systems and Services 1,414 1,429 2,747 2,771 Hydraulics 633 589 1,220 1,140 Aerospace 437 447 865 892 Vehicle 846 831 1,634 1,626 Total net sales $ 5,132 $ 5,080 $ 9,980 $ 9,893 Segment operating profit Electrical Products $ 314 $ 322 $ 611 $ 593 Electrical Systems and Services 194 178 349 337 Hydraulics 74 59 134 100 Aerospace 81 83 160 163 Vehicle 139 137 247 255 Total segment operating profit 802 779 1,501 1,448 Corporate Amortization of intangible assets (96 ) (98 ) (190 ) (198 ) Interest expense - net (60 ) (57 ) (121 ) (114 ) Pension and other postretirement benefits expense (11 ) (13 ) (22 ) (27 ) Other corporate expense - net (65 ) (58 ) (134 ) (114 ) Income before income taxes 570 553 1,034 995 Income tax expense 54 61 86 100 Net income 516 492 948 895 Less net income for noncontrolling interests (1 ) (1 ) (1 ) — Net income attributable to Eaton ordinary shareholders $ 515 $ 491 $ 947 $ 895

CONDENSED CONSOLIDATING FINANCI

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS	6 Months Ended
	Jun. 30, 2017
Condensed Consolidating Financial Information [Abstract]
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS	CONDENSED CONSOLIDATING FINANCIAL STATEMENTS On November 14, 2013, Eaton Corporation registered senior notes under the Securities Act of 1933 (the Senior Notes). Eaton and certain other of Eaton's 100% owned direct and indirect subsidiaries (the Guarantors) fully and unconditionally guaranteed (subject, in the case of the Guarantors, other than Eaton, to customary release provisions as described below), on a joint and several basis, the Senior Notes. The following condensed consolidating financial statements are included so that separate financial statements of Eaton, Eaton Corporation and each of the Guarantors are not required to be filed with the Securities and Exchange Commission. The consolidating adjustments primarily relate to eliminations of investments in subsidiaries and intercompany balances and transactions. The condensed consolidating financial statements present investments in subsidiaries using the equity method of accounting. The guarantee of a Guarantor that is not a parent of the issuer will be automatically and unconditionally released and discharged in the event of any sale of the Guarantor or of all or substantially all of its assets, or in connection with the release or termination of the Guarantor as a guarantor under all other U.S. debt securities or U.S. syndicated credit facilities, subject to limitations set forth in the indenture. The guarantee of a Guarantor that is a direct or indirect parent of the issuer will only be automatically and unconditionally released and discharged in connection with the release or termination of such Guarantor as a guarantor under all other debt securities or syndicated credit facilities (in both cases, U.S. or otherwise), subject to limitations set forth in the indenture. During 2017 and 2016, the Company undertook certain steps to restructure ownership of various subsidiaries. The transactions were entirely among wholly-owned subsidiaries under the common control of Eaton. This restructuring has been reflected as of the beginning of the earliest period presented below. CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 1,696 $ 1,672 $ 3,164 $ (1,400 ) $ 5,132 Cost of products sold — 1,373 1,225 2,248 (1,396 ) 3,450 Selling and administrative expense 34 342 197 329 — 902 Research and development expense — 57 53 40 — 150 Interest expense (income) - net — 58 6 (4 ) — 60 Other expense (income) - net 41 7 (37 ) (11 ) — — Equity in loss (earnings) of subsidiaries, net of tax (704 ) (185 ) (853 ) (114 ) 1,856 — Intercompany expense (income) - net 114 (34 ) 339 (419 ) — — Income (loss) before income taxes 515 78 742 1,095 (1,860 ) 570 Income tax expense (benefit) — 3 3 51 (3 ) 54 Net income (loss) 515 75 739 1,044 (1,857 ) 516 Less net loss (income) for noncontrolling interests — — — (1 ) — (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 515 $ 75 $ 739 $ 1,043 $ (1,857 ) $ 515 Other comprehensive income (loss) $ 323 $ (10 ) $ 322 $ 408 $ (720 ) $ 323 Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 838 $ 65 $ 1,061 $ 1,451 $ (2,577 ) $ 838 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 1,644 $ 1,648 $ 3,057 $ (1,269 ) $ 5,080 Cost of products sold — 1,263 1,203 2,224 (1,271 ) 3,419 Selling and administrative expense 2 351 198 346 — 897 Research and development expense — 55 47 47 — 149 Interest expense (income) - net — 57 6 (7 ) 1 57 Other expense (income) - net — 3 6 (4 ) — 5 Equity in loss (earnings) of subsidiaries, net of tax (594 ) (154 ) (811 ) (132 ) 1,691 — Intercompany expense (income) - net 101 (34 ) 313 (380 ) — — Income (loss) before income taxes 491 103 686 963 (1,690 ) 553 Income tax expense (benefit) — 13 12 36 — 61 Net income (loss) 491 90 674 927 (1,690 ) 492 Less net loss (income) for noncontrolling interests — — — (2 ) 1 (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 491 $ 90 $ 674 $ 925 $ (1,689 ) $ 491 Other comprehensive income (loss) $ (255 ) $ — $ (248 ) $ (319 ) $ 567 $ (255 ) Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 236 $ 90 $ 426 $ 606 $ (1,122 ) $ 236 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 3,268 $ 3,267 $ 6,155 $ (2,710 ) $ 9,980 Cost of products sold — 2,626 2,413 4,429 (2,708 ) 6,760 Selling and administrative expense 66 668 391 662 — 1,787 Research and development expense — 111 100 82 — 293 Interest expense (income) - net — 118 11 (8 ) — 121 Other expense (income) - net 48 7 (38 ) (32 ) — (15 ) Equity in loss (earnings) of subsidiaries, net of tax (1,285 ) (375 ) (1,725 ) (225 ) 3,610 — Intercompany expense (income) - net 224 (73 ) 672 (823 ) — — Income (loss) before income taxes 947 186 1,443 2,070 (3,612 ) 1,034 Income tax expense (benefit) — — 19 68 (1 ) 86 Net income (loss) 947 186 1,424 2,002 (3,611 ) 948 Less net loss (income) for noncontrolling interests — — — (2 ) 1 (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 947 $ 186 $ 1,424 $ 2,000 $ (3,610 ) $ 947 Other comprehensive income (loss) $ 586 $ 50 $ 592 $ 731 $ (1,373 ) $ 586 Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 1,533 $ 236 $ 2,016 $ 2,731 $ (4,983 ) $ 1,533 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 3,182 $ 3,223 $ 5,930 $ (2,442 ) $ 9,893 Cost of products sold — 2,459 2,403 4,294 (2,446 ) 6,710 Selling and administrative expense 4 716 394 675 — 1,789 Research and development expense — 117 96 85 — 298 Interest expense (income) - net — 110 9 (10 ) 5 114 Other expense (income) - net — 1 4 (18 ) — (13 ) Equity in loss (earnings) of subsidiaries, net of tax (1,098 ) (322 ) (1,484 ) (229 ) 3,133 — Intercompany expense (income) - net 199 (70 ) 568 (697 ) — — Income (loss) before income taxes 895 171 1,233 1,830 (3,134 ) 995 Income tax expense (benefit) — 20 13 67 — 100 Net income (loss) 895 151 1,220 1,763 (3,134 ) 895 Less net loss (income) for noncontrolling interests — — — (2 ) 2 — Net income (loss) attributable to Eaton ordinary shareholders $ 895 $ 151 $ 1,220 $ 1,761 $ (3,132 ) $ 895 Other comprehensive income (loss) $ 18 $ 44 $ 30 $ (10 ) $ (64 ) $ 18 Total comprehensive income (loss) attributable to Eaton $ 913 $ 195 $ 1,250 $ 1,751 $ (3,196 ) $ 913 CONDENSED CONSOLIDATING BALANCE SHEETS JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Assets Current assets Cash $ — $ 19 $ 5 $ 288 $ — $ 312 Short-term investments — — — 525 — 525 Accounts receivable - net — 525 1,169 2,119 — 3,813 Intercompany accounts receivable 2 752 3,524 3,596 (7,874 ) — Inventory — 332 655 1,487 (81 ) 2,393 Prepaid expenses and other current assets — 108 48 261 27 444 Total current assets 2 1,736 5,401 8,276 (7,928 ) 7,487 Property, plant and equipment - net — 843 696 1,991 — 3,530 Other noncurrent assets Goodwill — 1,355 6,293 5,830 — 13,478 Other intangible assets — 162 3,351 1,897 — 5,410 Deferred income taxes — 927 — 243 (727 ) 443 Investment in subsidiaries 34,028 13,827 74,853 12,886 (135,594 ) — Intercompany loans receivable — 7,695 2,481 57,519 (67,695 ) — Other assets — 504 141 362 — 1,007 Total assets $ 34,030 $ 27,049 $ 93,216 $ 89,004 $ (211,944 ) $ 31,355 Liabilities and shareholders’ equity Current liabilities Short-term debt $ — $ 811 $ — $ 35 $ — $ 846 Current portion of long-term debt — 1,456 36 3 — 1,495 Accounts payable — 457 266 1,162 — 1,885 Intercompany accounts payable 216 3,232 3,213 1,213 (7,874 ) — Accrued compensation — 78 42 218 — 338 Other current liabilities 1 536 300 910 (2 ) 1,745 Total current liabilities 217 6,570 3,857 3,541 (7,876 ) 6,309 Noncurrent liabilities Long-term debt — 5,310 946 8 — 6,264 Pension liabilities — 531 137 910 — 1,578 Other postretirement benefits liabilities — 194 98 72 — 364 Deferred income taxes — — 680 363 (727 ) 316 Intercompany loans payable 18,261 2,374 45,618 1,442 (67,695 ) — Other noncurrent liabilities — 321 225 384 — 930 Total noncurrent liabilities 18,261 8,730 47,704 3,179 (68,422 ) 9,452 Shareholders’ equity Eaton shareholders' equity 15,552 11,749 41,655 82,247 (135,651 ) 15,552 Noncontrolling interests — — — 37 5 42 Total equity 15,552 11,749 41,655 82,284 (135,646 ) 15,594 Total liabilities and equity $ 34,030 $ 27,049 $ 93,216 $ 89,004 $ (211,944 ) $ 31,355 CONDENSED CONSOLIDATING BALANCE SHEETS DECEMBER 31, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Assets Current assets Cash $ 1 $ 92 $ 4 $ 446 $ — $ 543 Short-term investments — — — 203 — 203 Accounts receivable - net — 536 1,049 1,975 — 3,560 Intercompany accounts receivable 5 954 4,023 3,633 (8,615 ) — Inventory — 342 642 1,349 (79 ) 2,254 Prepaid expenses and other current assets — 77 42 237 25 381 Total current assets 6 2,001 5,760 7,843 (8,669 ) 6,941 Property, plant and equipment - net — 857 706 1,880 — 3,443 Other noncurrent assets Goodwill — 1,355 6,293 5,553 — 13,201 Other intangible assets — 169 3,442 1,903 — 5,514 Deferred income taxes — 904 — 228 (772 ) 360 Investment in subsidiaries 32,795 13,743 72,938 12,577 (132,053 ) — Intercompany loans receivable — 7,605 2,061 56,598 (66,264 ) — Other assets — 491 134 335 — 960 Total assets $ 32,801 $ 27,125 $ 91,334 $ 86,917 $ (207,758 ) $ 30,419 Liabilities and shareholders’ equity Current liabilities Short-term debt $ — $ — $ 8 $ 6 $ — $ 14 Current portion of long-term debt — 1,250 296 6 — 1,552 Accounts payable 1 372 252 1,093 — 1,718 Intercompany accounts payable 281 3,870 3,115 1,349 (8,615 ) — Accrued compensation — 98 58 223 — 379 Other current liabilities 1 591 291 941 (2 ) 1,822 Total current liabilities 283 6,181 4,020 3,618 (8,617 ) 5,485 Noncurrent liabilities Long-term debt — 5,767 936 8 — 6,711 Pension liabilities — 610 161 888 — 1,659 Other postretirement benefits liabilities — 198 99 71 — 368 Deferred income taxes — — 732 361 (772 ) 321 Intercompany loans payable 17,621 2,603 44,788 1,252 (66,264 ) — Other noncurrent liabilities — 327 211 396 — 934 Total noncurrent liabilities 17,621 9,505 46,927 2,976 (67,036 ) 9,993 Shareholders’ equity Eaton shareholders' equity 14,897 11,439 40,387 80,285 (132,111 ) 14,897 Noncontrolling interests — — — 38 6 44 Total equity 14,897 11,439 40,387 80,323 (132,105 ) 14,941 Total liabilities and equity $ 32,801 $ 27,125 $ 91,334 $ 86,917 $ (207,758 ) $ 30,419 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net cash provided by (used in) operating activities $ 573 $ (215 ) $ 697 $ 1,489 $ (1,507 ) $ 1,037 Investing activities Capital expenditures for property, plant and equipment — (46 ) (53 ) (147 ) — (246 ) Cash received from sales (paid for acquisitions) of affiliates — — (92 ) 92 — — Sales (purchases) of short-term investments - net — — — (309 ) — (309 ) Investments in affiliates (90 ) — — (90 ) 180 — Return of investments in affiliates — — 20 — (20 ) — Loans to affiliates — (17 ) — (3,853 ) 3,870 — Repayments of loans from affiliates — 290 47 3,276 (3,613 ) — Other - net — (26 ) 7 (12 ) — (31 ) Net cash provided by (used in) investing activities (90 ) 201 (71 ) (1,043 ) 417 (586 ) Financing activities Proceeds from borrowings — 811 — 21 — 832 Payments on borrowings — (250 ) (289 ) (4 ) — (543 ) Proceeds from borrowings from affiliates 1,288 1,873 694 15 (3,870 ) — Payments on borrowings from affiliates (819 ) (2,366 ) (353 ) (75 ) 3,613 — Capital contributions from affiliates — — 90 90 (180 ) — Return of capital to affiliates — — — (20 ) 20 — Other intercompany financing activities — (113 ) 38 75 — — Cash dividends paid (537 ) — — — — (537 ) Cash dividends paid to affiliates — — (800 ) (707 ) 1,507 — Exercise of employee stock options 49 — — — — 49 Repurchase of shares (465 ) — — — — (465 ) Employee taxes paid from shares withheld — (14 ) (4 ) (3 ) — (21 ) Other - net — — (1 ) (3 ) — (4 ) Net cash provided by (used in) financing activities (484 ) (59 ) (625 ) (611 ) 1,090 (689 ) Effect of currency on cash — — — 7 — 7 Total increase (decrease) in cash (1 ) (73 ) 1 (158 ) — (231 ) Cash at the beginning of the period 1 92 4 446 — 543 Cash at the end of the period $ — $ 19 $ 5 $ 288 $ — $ 312 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net cash provided by (used in) operating activities $ (156 ) $ 33 $ (298 ) $ 1,554 $ — $ 1,133 Investing activities Capital expenditures for property, plant and equipment — (40 ) (49 ) (157 ) — (246 ) Cash received from (paid for) acquisitions of businesses, net of cash acquired — — 1 — — 1 Sales (purchases) of short-term — — 2 36 — 38 Investments in affiliates (1,250 ) — (120 ) (1,370 ) 2,740 — Return of investments in affiliates — — 47 — (47 ) — Loans to affiliates — (284 ) (47 ) (4,236 ) 4,567 — Repayments of loans from affiliates — 1,280 — 2,922 (4,202 ) — Other - net — 2 25 (24 ) — 3 Net cash provided by (used in) investing activities (1,250 ) 958 (141 ) (2,829 ) 3,058 (204 ) Financing activities Proceeds from borrowings — 145 — 6 — 151 Payments on borrowings — — (240 ) — — (240 ) Proceeds from borrowings from affiliates 2,203 1,385 786 193 (4,567 ) — Payments on borrowings from affiliates (18 ) (2,493 ) (1,658 ) (33 ) 4,202 — Capital contributions from affiliates — — 1,370 1,370 (2,740 ) — Return of capital to affiliates — — — (47 ) 47 — Other intercompany financing activities — (43 ) 183 (140 ) — — Cash dividends paid (521 ) — — — — (521 ) Exercise of employee stock options 37 — — — — 37 Repurchase of shares (295 ) — — — — (295 ) Employee taxes paid from shares withheld — (10 ) (4 ) (3 ) — (17 ) Other - net — 3 — — — 3 Net cash provided by (used in) financing activities 1,406 (1,013 ) 437 1,346 (3,058 ) (882 ) Effect of currency on cash — — — 8 — 8 Total increase (decrease) in cash — (22 ) (2 ) 79 — 55 Cash at the beginning of the period — 26 7 235 — 268 Cash at the end of the period $ — $ 4 $ 5 $ 314 $ — $ 323

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	6 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Accounting	The accompanying unaudited condensed consolidated financial statements of Eaton Corporation plc (Eaton or the Company) have been prepared in accordance with generally accepted accounting principles for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by United States generally accepted accounting principles (US GAAP) for complete financial statements. However, in the opinion of management, all adjustments (consisting of normal recurring accruals) have been made that are necessary for a fair presentation of the condensed consolidated financial statements for the interim periods. This Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in Eaton’s 2016 Form 10-K. The interim period results are not necessarily indicative of the results to be expected for the full year. Management has evaluated subsequent events through the date this Form 10-Q was filed with the Securities and Exchange Commission.
Share-based Compensation, Option and Incentive Plans Policy	During the first quarter of 2017, the Company adopted Accounting Standards Update 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, (ASU 2016-09). Upon adoption, the Company recorded deferred tax assets of $48 for all excess tax benefits that had not been previously recognized. This was accomplished through a cumulative-effect adjustment to retained earnings. ASU 2016-09 also requires that all excess tax benefits and deficiencies generated in the current and future periods be recorded as income tax benefit or expense in the reporting period in which they occur. These excess tax benefits and deficiencies, which were previously required to be presented as financing activities on the Company’s Condensed Consolidated Statements of Cash Flows, are now classified as operating activities prospectively. The Company also reclassified $21 and $17 for the first six months of 2017 and 2016, respectively, from operating activities to financing activities on the Company’s Condensed Consolidated Statements of Cash Flows for withholding payments made to taxing authorities from shares withheld from employees. The Company will continue to estimate forfeitures as part of recording equity-based compensation expense.
Reclassifications	Certain prior year amounts have been reclassified to conform to the current year presentation.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (ASU 2014-09). This accounting standard supersedes all existing US GAAP revenue recognition guidance. Under ASU 2014-09, a company will recognize revenue when it transfers the control of promised goods or services to customers in an amount that reflects the consideration which the company expects to collect in exchange for those goods or services. ASU 2014-09 will require additional disclosures in the notes to the consolidated financial statements and is effective for annual and interim reporting periods beginning after December 15, 2016. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date (ASU 2015-14). This accounting standard defers the effective date of ASU 2014-09 for one year and permits early adoption as of the original effective date. A cross-functional implementation team has been established consisting of representatives from all of our business segments to review current accounting policies and practices to identify potential differences that would result from applying the requirements of the new standard to revenue contracts. The implementation team performed a review of samples of customer contracts across the Company’s significant revenue streams. Based on this evaluation, most of the revenue streams will be recorded consistently under both the current and new standards. Certain revenue streams will move from point-in-time or multiple elements to over time because of the continuous transfer of control to customers. The Company is also in the process of identifying and implementing the appropriate changes to business processes and controls to support recognition and disclosure under the new standard, including evaluating new qualitative and quantitative disclosures that will include information on the nature, amount, timing and significant judgments impacting revenue from contracts with customers. Eaton plans to adopt the standard as of the first quarter of 2018 using the modified retrospective approach and will record a cumulative adjustment to equity for open contracts as of January 1, 2018. Eaton is continuing to evaluate the impact of ASU 2014-09 and an estimate of the impact to the consolidated financial statements cannot be made at this time. In February 2016, the Financial Accounting Standards Board issued Accounting Standards Update 2016-02, Leases (Topic 842), (ASU 2016-02). This accounting standard requires that a lessee recognize a lease asset and a lease liability on its balance sheet for all leases, including operating leases, with a term greater than 12 months. ASU 2016-02 will require additional disclosures in the notes to the consolidated financial statements and is effective for annual and interim reporting periods beginning after December 15, 2018. Eaton is evaluating the impact of ASU 2016-02 and an estimate of the impact to the consolidated financial statements cannot be made at this time.

ACQUISITION INTEGRATION CHARG21

ACQUISITION INTEGRATION CHARGES (Tables)	6 Months Ended
	Jun. 30, 2017
Acquisitions Integration Charges [Abstract]
Acquisition Integration Charges	Eaton incurs integration charges related to acquired businesses. A summary of these charges follows: Three months ended Six months ended 2017 2016 2017 2016 Electrical Products $ 1 $ 1 $ 2 $ 1 Electrical Systems and Services — — — 1 Total acquisition integration charges before income taxes 1 1 2 2 Income taxes 1 — 1 1 Total after income taxes $ — $ 1 $ 1 $ 1 Per ordinary share - diluted $ — $ — $ — $ —

RESTRUCTURING CHARGES (Tables)

RESTRUCTURING CHARGES (Tables)	6 Months Ended
	Jun. 30, 2017
Restructuring and Related Activities [Abstract]
Restructuring Charges by Type	A summary of restructuring charges by type follows: Three months ended Six months ended 2017 2016 2017 2016 Workforce reductions $ 17 $ 20 $ 25 $ 77 Plant closings and other 16 15 28 21 Total $ 33 $ 35 $ 53 $ 98
Restructuring Charges by Segment	A summary of restructuring charges by segment follows: Three months ended Six months ended 2017 2016 2017 2016 Electrical Products $ 11 $ 9 $ 14 $ 26 Electrical Systems & Services 5 3 7 13 Hydraulics 8 18 17 34 Aerospace — — 1 4 Vehicle 3 5 5 17 Corporate 6 — 9 4 Total $ 33 $ 35 $ 53 $ 98
Restructuring Liability Rollforward	A summary of liabilities related to workforce reductions, plant closings and other associated costs announced in 2015 follows: Workforce reductions Plant closings and other Total Balance at December 31, 2015 $ 54 $ — $ 54 Liability recognized 177 34 211 Payments (116 ) (13 ) (129 ) Other adjustments (2 ) (20 ) (22 ) Balance at December 31, 2016 113 1 114 Liability recognized 25 28 53 Payments (56 ) (15 ) (71 ) Other adjustments (3 ) (9 ) (12 ) Balance at June 30, 2017 $ 79 $ 5 $ 84

GOODWILL (Tables)

GOODWILL (Tables)	6 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	Change in the carrying amount of goodwill by segment follows: Electrical Products Electrical Systems and Services Hydraulics Aerospace Vehicle Total December 31, 2016 $ 6,497 $ 4,203 $ 1,221 $ 938 $ 342 $ 13,201 Translation 166 79 24 5 3 277 June 30, 2017 $ 6,663 $ 4,282 $ 1,245 $ 943 $ 345 $ 13,478

RETIREMENT BENEFIT PLANS (Table

RETIREMENT BENEFIT PLANS (Tables)	6 Months Ended
	Jun. 30, 2017
Retirement Benefits [Abstract]
Retirement Benefits Plans Expense	The components of retirement benefits expense follow: United States Non-United States Other postretirement Three months ended June 30 2017 2016 2017 2016 2017 2016 Service cost $ 24 $ 27 $ 18 $ 17 $ — $ 1 Interest cost 31 32 14 16 4 5 Expected return on plan assets (61 ) (62 ) (23 ) (24 ) (1 ) (2 ) Amortization 21 23 12 8 (3 ) (2 ) 15 20 21 17 — 2 Settlements and special termination benefits 17 18 — — — — Total expense $ 32 $ 38 $ 21 $ 17 $ — $ 2 United States Non-United States Other postretirement Six months ended June 30 2017 2016 2017 2016 2017 2016 Service cost $ 48 $ 55 $ 35 $ 33 $ 1 $ 2 Interest cost 62 63 27 32 7 9 Expected return on plan assets (122 ) (125 ) (46 ) (48 ) (2 ) (3 ) Amortization 41 46 25 17 (6 ) (4 ) 29 39 41 34 — 4 Settlements and special termination benefits 34 39 — — — — Total expense $ 63 $ 78 $ 41 $ 34 $ — $ 4

EQUITY (Tables)

EQUITY (Tables)	6 Months Ended
	Jun. 30, 2017
Stockholders' Equity Note [Abstract]
Changes in Shareholders' equity	The changes in Shareholders’ equity follow: Eaton shareholders’ equity Noncontrolling interests Total equity Balance at December 31, 2016 $ 14,897 $ 44 $ 14,941 Cumulative-effect adjustment upon adoption of ASU 2016-09 48 — 48 Net income 947 1 948 Other comprehensive income 586 — 586 Cash dividends paid (537 ) (3 ) (540 ) Issuance of shares under equity-based compensation plans - net 76 — 76 Repurchase of shares (465 ) — (465 ) Balance at June 30, 2017 $ 15,552 $ 42 $ 15,594
Schedule of Accumulated Other Comprehensive Loss	The changes in Accumulated other comprehensive loss follow: Currency translation and related hedging instruments Pensions and other postretirement benefits Cash flow hedges Total Balance at December 31, 2016 $ (3,062 ) $ (1,380 ) $ (6 ) $ (4,448 ) Other comprehensive (loss) income before reclassifications 548 (27 ) (3 ) 518 Amounts reclassified from Accumulated other comprehensive loss (income) — 64 4 68 Net current-period Other comprehensive income (loss) 548 37 1 586 Balance at June 30, 2017 $ (2,514 ) $ (1,343 ) $ (5 ) $ (3,862 )
Reclassification Out of Accumulated Other Comprehensive Loss	The reclassifications out of Accumulated other comprehensive loss follow: Six months ended June 30, 2017 Consolidated statements of income classification Amortization of defined benefit pensions and other postretirement benefits items Actuarial loss and prior service cost $ (94 ) 1 Tax benefit 30 Total, net of tax (64 ) Gains and (losses) on cash flow hedges Currency exchange contracts (5 ) Cost of products sold Tax benefit 1 Total, net of tax (4 ) Total reclassifications for the period $ (68 ) 1 These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 6 for additional information about pension and other postretirement benefits items.
Calculation of Net Income Per Ordinary Share Attributable to Shareholders	A summary of the calculation of net income per share attributable to Eaton ordinary shareholders follows: Three months ended Six months ended (Shares in millions) 2017 2016 2017 2016 Net income attributable to Eaton ordinary shareholders $ 515 $ 491 $ 947 $ 895 Weighted-average number of ordinary shares outstanding - diluted 448.6 458.3 449.8 459.0 Less dilutive effect of equity-based compensation 2.3 1.3 2.3 1.2 Weighted-average number of ordinary shares outstanding - basic 446.3 457.0 447.5 457.8 Net income per share attributable to Eaton ordinary shareholders Diluted $ 1.15 $ 1.07 $ 2.10 $ 1.95 Basic 1.15 1.08 2.12 1.96

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Summary of Financial Instruments Recognized at Fair Value and Fair Value Measurement Used	A summary of financial instruments recognized at fair value, and the fair value measurements used, follows: Total Level 1 Level 2 Level 3 June 30, 2017 Cash $ 312 $ 312 $ — $ — Short-term investments 525 525 — — Net derivative contracts 64 — 64 — December 31, 2016 Cash $ 543 $ 543 $ — $ — Short-term investments 203 203 — — Net derivative contracts (3 ) — (3 ) —

DERIVATIVE FINANCIAL INSTRUME27

DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Tables)	6 Months Ended
	Jun. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments Recognized in Condensed Consolidated Balance Sheet	The fair value of derivative financial instruments recognized in the Condensed Consolidated Balance Sheets follows: Notional amount Other current assets Other noncurrent assets Other current liabilities Other noncurrent liabilities Type of hedge Term June 30, 2017 Derivatives designated as hedges Fixed-to-floating interest rate swaps $ 3,715 $ 3 $ 60 $ 1 $ 7 Fair value 4 months to 18 years Forward starting floating-to-fixed interest rate swaps 450 — 14 — 1 Cash flow 10 years Interest rate locks 350 — 1 — 1 Cash flow 10 to 30 years Currency exchange contracts 849 6 2 21 8 Cash flow 1 to 36 months Total $ 9 $ 77 $ 22 $ 17 Derivatives not designated as hedges Currency exchange contracts $ 2,626 $ 43 $ 26 1 to 12 months Commodity contracts 4 — — 1 to 12 months Total $ 43 $ 26 December 31, 2016 Derivatives designated as hedges Fixed-to-floating interest rate swaps $ 3,765 $ 1 $ 65 $ — $ 8 Fair value 3 months to 18 years Forward starting floating-to-fixed interest rate swaps 450 — 19 — 1 Cash flow 11 years Currency exchange contracts 802 11 1 22 17 Cash flow 1 to 36 months Total $ 12 $ 85 $ 22 $ 26 Derivatives not designated as hedges Currency exchange contracts $ 5,333 $ 31 $ 85 1 to 12 months Commodity contracts 10 2 — 1 to 12 months Total $ 33 $ 85
Amounts Recognized in Accumulated Other Comprehensive Loss	The impact of derivative instruments to the Consolidated Statement of Income and Comprehensive Income follow: Gain (loss) recognized in other comprehensive (loss) income Location of gain (loss) reclassified from Accumulated other comprehensive loss Gain (loss) reclassified from Accumulated other comprehensive loss Three months ended Three months ended 2017 2016 2017 2016 Derivatives designated as cash flow hedges Forward starting floating-to-fixed interest rate swaps $ (5 ) $ (10 ) Interest expense - net $ — $ — Currency exchange contracts 2 (10 ) Cost of products sold (1 ) (2 ) Total $ (3 ) $ (20 ) $ (1 ) $ (2 ) Gain (loss) recognized in Location of gain (loss) Gain (loss) reclassified Six months ended Six months ended 2017 2016 2017 2016 Derivatives designated as cash Forward starting floating-to-fixed $ (5 ) $ (19 ) Interest expense - net $ — $ — Currency exchange contracts 1 (32 ) Cost of products sold (5 ) 1 Total $ (4 ) $ (51 ) $ (5 ) $ 1
Amounts recognized in Net Income	Amounts recognized in net income follow: Three months ended Six months ended 2017 2016 2017 2016 Derivatives designated as fair value hedges Fixed-to-floating interest rate swaps $ 8 $ 30 $ (3 ) $ 106 Related long-term debt converted to floating interest rates by interest rate swaps (8 ) (30 ) 3 (106 ) $ — $ — $ — $ —

INVENTORY (Tables)

INVENTORY (Tables)	6 Months Ended
	Jun. 30, 2017
Inventory Disclosure [Abstract]
Components of Inventory	The components of inventory follow: June 30, December 31, Raw materials $ 924 $ 880 Work-in-process 432 396 Finished goods 1,137 1,074 Inventory at FIFO 2,493 2,350 Excess of FIFO over LIFO cost (100 ) (96 ) Total inventory $ 2,393 $ 2,254

BUSINESS SEGMENT INFORMATION (T

BUSINESS SEGMENT INFORMATION (Tables)	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Business Segment Information	Three months ended Six months ended 2017 2016 2017 2016 Net sales Electrical Products $ 1,802 $ 1,784 $ 3,514 $ 3,464 Electrical Systems and Services 1,414 1,429 2,747 2,771 Hydraulics 633 589 1,220 1,140 Aerospace 437 447 865 892 Vehicle 846 831 1,634 1,626 Total net sales $ 5,132 $ 5,080 $ 9,980 $ 9,893 Segment operating profit Electrical Products $ 314 $ 322 $ 611 $ 593 Electrical Systems and Services 194 178 349 337 Hydraulics 74 59 134 100 Aerospace 81 83 160 163 Vehicle 139 137 247 255 Total segment operating profit 802 779 1,501 1,448 Corporate Amortization of intangible assets (96 ) (98 ) (190 ) (198 ) Interest expense - net (60 ) (57 ) (121 ) (114 ) Pension and other postretirement benefits expense (11 ) (13 ) (22 ) (27 ) Other corporate expense - net (65 ) (58 ) (134 ) (114 ) Income before income taxes 570 553 1,034 995 Income tax expense 54 61 86 100 Net income 516 492 948 895 Less net income for noncontrolling interests (1 ) (1 ) (1 ) — Net income attributable to Eaton ordinary shareholders $ 515 $ 491 $ 947 $ 895

CONDENSED CONSOLIDATING FINAN30

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables)	6 Months Ended
	Jun. 30, 2017
Condensed Consolidating Financial Information [Abstract]
Condensed Consolidating Financial Statements	CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 1,696 $ 1,672 $ 3,164 $ (1,400 ) $ 5,132 Cost of products sold — 1,373 1,225 2,248 (1,396 ) 3,450 Selling and administrative expense 34 342 197 329 — 902 Research and development expense — 57 53 40 — 150 Interest expense (income) - net — 58 6 (4 ) — 60 Other expense (income) - net 41 7 (37 ) (11 ) — — Equity in loss (earnings) of subsidiaries, net of tax (704 ) (185 ) (853 ) (114 ) 1,856 — Intercompany expense (income) - net 114 (34 ) 339 (419 ) — — Income (loss) before income taxes 515 78 742 1,095 (1,860 ) 570 Income tax expense (benefit) — 3 3 51 (3 ) 54 Net income (loss) 515 75 739 1,044 (1,857 ) 516 Less net loss (income) for noncontrolling interests — — — (1 ) — (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 515 $ 75 $ 739 $ 1,043 $ (1,857 ) $ 515 Other comprehensive income (loss) $ 323 $ (10 ) $ 322 $ 408 $ (720 ) $ 323 Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 838 $ 65 $ 1,061 $ 1,451 $ (2,577 ) $ 838 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 1,644 $ 1,648 $ 3,057 $ (1,269 ) $ 5,080 Cost of products sold — 1,263 1,203 2,224 (1,271 ) 3,419 Selling and administrative expense 2 351 198 346 — 897 Research and development expense — 55 47 47 — 149 Interest expense (income) - net — 57 6 (7 ) 1 57 Other expense (income) - net — 3 6 (4 ) — 5 Equity in loss (earnings) of subsidiaries, net of tax (594 ) (154 ) (811 ) (132 ) 1,691 — Intercompany expense (income) - net 101 (34 ) 313 (380 ) — — Income (loss) before income taxes 491 103 686 963 (1,690 ) 553 Income tax expense (benefit) — 13 12 36 — 61 Net income (loss) 491 90 674 927 (1,690 ) 492 Less net loss (income) for noncontrolling interests — — — (2 ) 1 (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 491 $ 90 $ 674 $ 925 $ (1,689 ) $ 491 Other comprehensive income (loss) $ (255 ) $ — $ (248 ) $ (319 ) $ 567 $ (255 ) Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 236 $ 90 $ 426 $ 606 $ (1,122 ) $ 236 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 3,268 $ 3,267 $ 6,155 $ (2,710 ) $ 9,980 Cost of products sold — 2,626 2,413 4,429 (2,708 ) 6,760 Selling and administrative expense 66 668 391 662 — 1,787 Research and development expense — 111 100 82 — 293 Interest expense (income) - net — 118 11 (8 ) — 121 Other expense (income) - net 48 7 (38 ) (32 ) — (15 ) Equity in loss (earnings) of subsidiaries, net of tax (1,285 ) (375 ) (1,725 ) (225 ) 3,610 — Intercompany expense (income) - net 224 (73 ) 672 (823 ) — — Income (loss) before income taxes 947 186 1,443 2,070 (3,612 ) 1,034 Income tax expense (benefit) — — 19 68 (1 ) 86 Net income (loss) 947 186 1,424 2,002 (3,611 ) 948 Less net loss (income) for noncontrolling interests — — — (2 ) 1 (1 ) Net income (loss) attributable to Eaton ordinary shareholders $ 947 $ 186 $ 1,424 $ 2,000 $ (3,610 ) $ 947 Other comprehensive income (loss) $ 586 $ 50 $ 592 $ 731 $ (1,373 ) $ 586 Total comprehensive income (loss) attributable to Eaton ordinary shareholders $ 1,533 $ 236 $ 2,016 $ 2,731 $ (4,983 ) $ 1,533 CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net sales $ — $ 3,182 $ 3,223 $ 5,930 $ (2,442 ) $ 9,893 Cost of products sold — 2,459 2,403 4,294 (2,446 ) 6,710 Selling and administrative expense 4 716 394 675 — 1,789 Research and development expense — 117 96 85 — 298 Interest expense (income) - net — 110 9 (10 ) 5 114 Other expense (income) - net — 1 4 (18 ) — (13 ) Equity in loss (earnings) of subsidiaries, net of tax (1,098 ) (322 ) (1,484 ) (229 ) 3,133 — Intercompany expense (income) - net 199 (70 ) 568 (697 ) — — Income (loss) before income taxes 895 171 1,233 1,830 (3,134 ) 995 Income tax expense (benefit) — 20 13 67 — 100 Net income (loss) 895 151 1,220 1,763 (3,134 ) 895 Less net loss (income) for noncontrolling interests — — — (2 ) 2 — Net income (loss) attributable to Eaton ordinary shareholders $ 895 $ 151 $ 1,220 $ 1,761 $ (3,132 ) $ 895 Other comprehensive income (loss) $ 18 $ 44 $ 30 $ (10 ) $ (64 ) $ 18 Total comprehensive income (loss) attributable to Eaton $ 913 $ 195 $ 1,250 $ 1,751 $ (3,196 ) $ 913 CONDENSED CONSOLIDATING BALANCE SHEETS JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Assets Current assets Cash $ — $ 19 $ 5 $ 288 $ — $ 312 Short-term investments — — — 525 — 525 Accounts receivable - net — 525 1,169 2,119 — 3,813 Intercompany accounts receivable 2 752 3,524 3,596 (7,874 ) — Inventory — 332 655 1,487 (81 ) 2,393 Prepaid expenses and other current assets — 108 48 261 27 444 Total current assets 2 1,736 5,401 8,276 (7,928 ) 7,487 Property, plant and equipment - net — 843 696 1,991 — 3,530 Other noncurrent assets Goodwill — 1,355 6,293 5,830 — 13,478 Other intangible assets — 162 3,351 1,897 — 5,410 Deferred income taxes — 927 — 243 (727 ) 443 Investment in subsidiaries 34,028 13,827 74,853 12,886 (135,594 ) — Intercompany loans receivable — 7,695 2,481 57,519 (67,695 ) — Other assets — 504 141 362 — 1,007 Total assets $ 34,030 $ 27,049 $ 93,216 $ 89,004 $ (211,944 ) $ 31,355 Liabilities and shareholders’ equity Current liabilities Short-term debt $ — $ 811 $ — $ 35 $ — $ 846 Current portion of long-term debt — 1,456 36 3 — 1,495 Accounts payable — 457 266 1,162 — 1,885 Intercompany accounts payable 216 3,232 3,213 1,213 (7,874 ) — Accrued compensation — 78 42 218 — 338 Other current liabilities 1 536 300 910 (2 ) 1,745 Total current liabilities 217 6,570 3,857 3,541 (7,876 ) 6,309 Noncurrent liabilities Long-term debt — 5,310 946 8 — 6,264 Pension liabilities — 531 137 910 — 1,578 Other postretirement benefits liabilities — 194 98 72 — 364 Deferred income taxes — — 680 363 (727 ) 316 Intercompany loans payable 18,261 2,374 45,618 1,442 (67,695 ) — Other noncurrent liabilities — 321 225 384 — 930 Total noncurrent liabilities 18,261 8,730 47,704 3,179 (68,422 ) 9,452 Shareholders’ equity Eaton shareholders' equity 15,552 11,749 41,655 82,247 (135,651 ) 15,552 Noncontrolling interests — — — 37 5 42 Total equity 15,552 11,749 41,655 82,284 (135,646 ) 15,594 Total liabilities and equity $ 34,030 $ 27,049 $ 93,216 $ 89,004 $ (211,944 ) $ 31,355 CONDENSED CONSOLIDATING BALANCE SHEETS DECEMBER 31, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Assets Current assets Cash $ 1 $ 92 $ 4 $ 446 $ — $ 543 Short-term investments — — — 203 — 203 Accounts receivable - net — 536 1,049 1,975 — 3,560 Intercompany accounts receivable 5 954 4,023 3,633 (8,615 ) — Inventory — 342 642 1,349 (79 ) 2,254 Prepaid expenses and other current assets — 77 42 237 25 381 Total current assets 6 2,001 5,760 7,843 (8,669 ) 6,941 Property, plant and equipment - net — 857 706 1,880 — 3,443 Other noncurrent assets Goodwill — 1,355 6,293 5,553 — 13,201 Other intangible assets — 169 3,442 1,903 — 5,514 Deferred income taxes — 904 — 228 (772 ) 360 Investment in subsidiaries 32,795 13,743 72,938 12,577 (132,053 ) — Intercompany loans receivable — 7,605 2,061 56,598 (66,264 ) — Other assets — 491 134 335 — 960 Total assets $ 32,801 $ 27,125 $ 91,334 $ 86,917 $ (207,758 ) $ 30,419 Liabilities and shareholders’ equity Current liabilities Short-term debt $ — $ — $ 8 $ 6 $ — $ 14 Current portion of long-term debt — 1,250 296 6 — 1,552 Accounts payable 1 372 252 1,093 — 1,718 Intercompany accounts payable 281 3,870 3,115 1,349 (8,615 ) — Accrued compensation — 98 58 223 — 379 Other current liabilities 1 591 291 941 (2 ) 1,822 Total current liabilities 283 6,181 4,020 3,618 (8,617 ) 5,485 Noncurrent liabilities Long-term debt — 5,767 936 8 — 6,711 Pension liabilities — 610 161 888 — 1,659 Other postretirement benefits liabilities — 198 99 71 — 368 Deferred income taxes — — 732 361 (772 ) 321 Intercompany loans payable 17,621 2,603 44,788 1,252 (66,264 ) — Other noncurrent liabilities — 327 211 396 — 934 Total noncurrent liabilities 17,621 9,505 46,927 2,976 (67,036 ) 9,993 Shareholders’ equity Eaton shareholders' equity 14,897 11,439 40,387 80,285 (132,111 ) 14,897 Noncontrolling interests — — — 38 6 44 Total equity 14,897 11,439 40,387 80,323 (132,105 ) 14,941 Total liabilities and equity $ 32,801 $ 27,125 $ 91,334 $ 86,917 $ (207,758 ) $ 30,419 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2017 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net cash provided by (used in) operating activities $ 573 $ (215 ) $ 697 $ 1,489 $ (1,507 ) $ 1,037 Investing activities Capital expenditures for property, plant and equipment — (46 ) (53 ) (147 ) — (246 ) Cash received from sales (paid for acquisitions) of affiliates — — (92 ) 92 — — Sales (purchases) of short-term investments - net — — — (309 ) — (309 ) Investments in affiliates (90 ) — — (90 ) 180 — Return of investments in affiliates — — 20 — (20 ) — Loans to affiliates — (17 ) — (3,853 ) 3,870 — Repayments of loans from affiliates — 290 47 3,276 (3,613 ) — Other - net — (26 ) 7 (12 ) — (31 ) Net cash provided by (used in) investing activities (90 ) 201 (71 ) (1,043 ) 417 (586 ) Financing activities Proceeds from borrowings — 811 — 21 — 832 Payments on borrowings — (250 ) (289 ) (4 ) — (543 ) Proceeds from borrowings from affiliates 1,288 1,873 694 15 (3,870 ) — Payments on borrowings from affiliates (819 ) (2,366 ) (353 ) (75 ) 3,613 — Capital contributions from affiliates — — 90 90 (180 ) — Return of capital to affiliates — — — (20 ) 20 — Other intercompany financing activities — (113 ) 38 75 — — Cash dividends paid (537 ) — — — — (537 ) Cash dividends paid to affiliates — — (800 ) (707 ) 1,507 — Exercise of employee stock options 49 — — — — 49 Repurchase of shares (465 ) — — — — (465 ) Employee taxes paid from shares withheld — (14 ) (4 ) (3 ) — (21 ) Other - net — — (1 ) (3 ) — (4 ) Net cash provided by (used in) financing activities (484 ) (59 ) (625 ) (611 ) 1,090 (689 ) Effect of currency on cash — — — 7 — 7 Total increase (decrease) in cash (1 ) (73 ) 1 (158 ) — (231 ) Cash at the beginning of the period 1 92 4 446 — 543 Cash at the end of the period $ — $ 19 $ 5 $ 288 $ — $ 312 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2016 Eaton Corporation plc Eaton Corporation Guarantors Other subsidiaries Consolidating adjustments Total Net cash provided by (used in) operating activities $ (156 ) $ 33 $ (298 ) $ 1,554 $ — $ 1,133 Investing activities Capital expenditures for property, plant and equipment — (40 ) (49 ) (157 ) — (246 ) Cash received from (paid for) acquisitions of businesses, net of cash acquired — — 1 — — 1 Sales (purchases) of short-term — — 2 36 — 38 Investments in affiliates (1,250 ) — (120 ) (1,370 ) 2,740 — Return of investments in affiliates — — 47 — (47 ) — Loans to affiliates — (284 ) (47 ) (4,236 ) 4,567 — Repayments of loans from affiliates — 1,280 — 2,922 (4,202 ) — Other - net — 2 25 (24 ) — 3 Net cash provided by (used in) investing activities (1,250 ) 958 (141 ) (2,829 ) 3,058 (204 ) Financing activities Proceeds from borrowings — 145 — 6 — 151 Payments on borrowings — — (240 ) — — (240 ) Proceeds from borrowings from affiliates 2,203 1,385 786 193 (4,567 ) — Payments on borrowings from affiliates (18 ) (2,493 ) (1,658 ) (33 ) 4,202 — Capital contributions from affiliates — — 1,370 1,370 (2,740 ) — Return of capital to affiliates — — — (47 ) 47 — Other intercompany financing activities — (43 ) 183 (140 ) — — Cash dividends paid (521 ) — — — — (521 ) Exercise of employee stock options 37 — — — — 37 Repurchase of shares (295 ) — — — — (295 ) Employee taxes paid from shares withheld — (10 ) (4 ) (3 ) — (17 ) Other - net — 3 — — — 3 Net cash provided by (used in) financing activities 1,406 (1,013 ) 437 1,346 (3,058 ) (882 ) Effect of currency on cash — — — 8 — 8 Total increase (decrease) in cash — (22 ) (2 ) 79 — 55 Cash at the beginning of the period — 26 7 235 — 268 Cash at the end of the period $ — $ 4 $ 5 $ 314 $ — $ 323

BASIS OF PRESENTATION (Details)

BASIS OF PRESENTATION (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Deferred Tax Asset recognized adoption of ASU 2016-09	$ 48
Reclassifications due to adoption of ASU 2016-09	$ 21	$ 17

FORMATION OF A JOINT VENTURE (D

FORMATION OF A JOINT VENTURE (Details) $ in Millions	Jun. 30, 2017USD ($)
Business Acquisition [Line Items]
Interest in Joint Venture	50.00%
Proceeds from Joint Venture	$ 600

ACQUISITION AND INTEGRATION CHA

ACQUISITION AND INTEGRATION CHARGES (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Acquisition integration charges [Line Items]
Acquisition integration charges	$ 1	$ 1	$ 2	$ 2
Income taxes	1	0	1	1
Total after income taxes	$ 0	$ 1	$ 1	$ 1
Per ordinary share - diluted (dollars per share)	$ 0	$ 0	$ 0	$ 0
Electrical Products [Member]
Acquisition integration charges [Line Items]
Acquisition integration charges	$ 1	$ 1	$ 2	$ 1
Electrical Systems and Services [Member]
Acquisition integration charges [Line Items]
Acquisition integration charges	$ 0	$ 0	$ 0	$ 1

RESTRUCTURING CHARGES - Narrati

RESTRUCTURING CHARGES - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016	Dec. 31, 2017
Restructuring Cost and Reserve [Line Items]
Liability recognized	$ 33	$ 35	$ 53	$ 98	$ 211
Employee Severance [Member]
Restructuring Cost and Reserve [Line Items]
Liability recognized			$ 25		$ 177
Scenario, Forecast [Member] | Employee Severance [Member]
Restructuring Cost and Reserve [Line Items]
Charges associated with restructuring activities						$ 100

RESTRUCTURING CHARGES - Summary

RESTRUCTURING CHARGES - Summary of Restructuring Charges by Type (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Restructuring and Related Activities [Abstract]
Workforce reductions	$ 17	$ 20	$ 25	$ 77
Plant closings and other	16	15	28	21
Total	$ 33	$ 35	$ 53	$ 98	$ 211

RESTRUCTURING CHARGES - Summa36

RESTRUCTURING CHARGES - Summary of Restructuring Charges by Segment (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 33	$ 35	$ 53	$ 98	$ 211
Electrical Products [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	11	9	14	26
Electrical Systems and Services [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	5	3	7	13
Hydraulics [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	8	18	17	34
Aerospace [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	0	0	1	4
Vehicle [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	3	5	5	17
Corporate, Non-Segment [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 6	$ 0	$ 9	$ 4

RESTRUCTURING CHARGES - Restruc

RESTRUCTURING CHARGES - Restructuring Roll Forward (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Restructuring Reserve [Roll Forward]
Beginning balance			$ 114	$ 54	$ 54
Liability recognized	$ 33	$ 35	53	98	211
Payments			(71)		(129)
Other adjustments			(12)		(22)
Ending balance	84		84		114
Workforce reductions [Member]
Restructuring Reserve [Roll Forward]
Beginning balance			113	54	54
Liability recognized			25		177
Payments			(56)		(116)
Other adjustments			(3)		(2)
Ending balance	79		79		113
Plant closings and other [Member]
Restructuring Reserve [Roll Forward]
Beginning balance			1	$ 0	0
Liability recognized			28		34
Payments			(15)		(13)
Other adjustments			(9)		(20)
Ending balance	$ 5		$ 5		$ 1

GOODWILL (Details)

GOODWILL (Details) $ in Millions	6 Months Ended
	Jun. 30, 2017USD ($)
Goodwill [Roll Forward]
Beginning balance	$ 13,201
Translation	277
Ending balance	13,478
Electrical Products [Member]
Goodwill [Roll Forward]
Beginning balance	6,497
Translation	166
Ending balance	6,663
Electrical Systems and Services [Member]
Goodwill [Roll Forward]
Beginning balance	4,203
Translation	79
Ending balance	4,282
Hydraulics [Member]
Goodwill [Roll Forward]
Beginning balance	1,221
Translation	24
Ending balance	1,245
Aerospace [Member]
Goodwill [Roll Forward]
Beginning balance	938
Translation	5
Ending balance	943
Vehicle [Member]
Goodwill [Roll Forward]
Beginning balance	342
Translation	3
Ending balance	$ 345

RETIREMENT BENEFIT PLANS (Detai

RETIREMENT BENEFIT PLANS (Details) BRL in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017USD ($)	Jun. 30, 2016USD ($)	Jun. 30, 2017BRL	Jun. 30, 2017USD ($)	Jun. 30, 2016USD ($)
Pension plan | United States pension benefit expense
Retirement benefits plans expense
Service cost	$ 24	$ 27		$ 48	$ 55
Interest cost	31	32		62	63
Expected return on plan assets	(61)	(62)		(122)	(125)
Amortization	21	23		41	46
Defined Benefit Plan, Cost of Providing Special and Contractual Termination Benefits	17	18		34	39
Total	15	20		29	39
Total expense	32	38		63	78
Pension plan | Non-United States pension benefit expense
Retirement benefits plans expense
Service cost	18	17		35	33
Interest cost	14	16		27	32
Expected return on plan assets	(23)	(24)		(46)	(48)
Amortization	12	8		25	17
Defined Benefit Plan, Cost of Providing Special and Contractual Termination Benefits	0	0	BRL 0		0
Total	21	17		41	34
Total expense	21	17		41	34
Other postretirement benefits expense
Retirement benefits plans expense
Service cost	0	1		1	2
Interest cost	4	5		7	9
Expected return on plan assets	(1)	(2)		(2)	(3)
Amortization	(3)	(2)		(6)	(4)
Defined Benefit Plan, Cost of Providing Special and Contractual Termination Benefits	0	0		0	0
Total	0	2		0	4
Total expense	$ 0	$ 2		$ 0	$ 4

LEGAL CONTINGENCIES (Details)

LEGAL CONTINGENCIES (Details) BRL in Millions, $ in Millions	Jun. 30, 2016USD ($)	Mar. 31, 2016BRL
Raysul [Member]
Loss Contingencies [Line Items]
Loss contingency accrual	$ 31	BRL 100

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Tax Contingency [Line Items]
Effective tax rate	10.00%	11.00%	8.00%	10.00%
2011 Notice [Member]
Income Tax Contingency [Line Items]
IRS Statutory Notice of Deficiency proposed assessment of additional federal taxes	$ 75		$ 75
Penalties associated with IRS Statutory Notice of Deficiency proposed assessment	$ 52		$ 52

EQUITY - Changes in Shareholder

EQUITY - Changes in Shareholders's Equity (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0.2	1.5	0.7	1.9
Changes in Shareholders' equity
Beginning balance			$ 14,941
Cumulative Effect of New Accounting Principle in Period of Adoption	$ 48		48
Net income (loss)	516	$ 492	948	$ 895
Other comprehensive income	323	$ (255)	586	$ 18
Cash dividends paid			(540)
Issuance of shares under equity-based compensation plans - net			76
Repurchase of shares			(465)
Ending balance	15,594		15,594
Parent [Member]
Changes in Shareholders' equity
Beginning balance			14,897
Cumulative Effect of New Accounting Principle in Period of Adoption	48		48
Net income (loss)			947
Other comprehensive income			586
Cash dividends paid			(537)
Issuance of shares under equity-based compensation plans - net			76
Repurchase of shares			(465)
Ending balance	15,552		15,552
Noncontrolling Interest [Member]
Changes in Shareholders' equity
Beginning balance			44
Cumulative Effect of New Accounting Principle in Period of Adoption	0		0
Net income (loss)			1
Other comprehensive income			0
Cash dividends paid			(3)
Issuance of shares under equity-based compensation plans - net			0
Repurchase of shares			0
Ending balance	$ 42		$ 42
2013 Program [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Ordinary shares purchased (in shares)		1.5
Changes in Shareholders' equity
Repurchase of shares		$ (82)
2016 Program [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Ordinary shares purchased (in shares)	2.7	3.7	6.3	4
Amount of shares repurchased (up to)	$ 2,500		$ 2,500
Changes in Shareholders' equity
Repurchase of shares	$ (210)	$ (224)	$ (465)	$ (242)

EQUITY - Changes in Accumulated

EQUITY - Changes in Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Amounts reclassified from Accumulated other comprehensive loss (income)			$ 68
Net current-period Other comprehensive income (loss)	$ 323	$ (255)	586	$ 18
Currency translation and related hedging instruments [Member]
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance			(3,062)
Other comprehensive (loss) income before reclassifications			548
Amounts reclassified from Accumulated other comprehensive loss (income)			0
Net current-period Other comprehensive income (loss)			548
Ending balance	(2,514)		(2,514)
Pensions and other postretirement benefits [Member]
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance			(1,380)
Other comprehensive (loss) income before reclassifications			(27)
Amounts reclassified from Accumulated other comprehensive loss (income)			64
Net current-period Other comprehensive income (loss)			37
Ending balance	(1,343)		(1,343)
Cash flow hedges [Member]
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance			(6)
Other comprehensive (loss) income before reclassifications			(3)
Amounts reclassified from Accumulated other comprehensive loss (income)			4
Net current-period Other comprehensive income (loss)			1
Ending balance	(5)		(5)
Total AOCI Attributable to Parent [Member]
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance			(4,448)
Other comprehensive (loss) income before reclassifications			518
Amounts reclassified from Accumulated other comprehensive loss (income)			68
Net current-period Other comprehensive income (loss)			586
Ending balance	$ (3,862)		$ (3,862)

EQUITY - Reclassifications Out

EQUITY - Reclassifications Out of Accumulated Other Comprehensive Loss (Details) $ in Millions	6 Months Ended
	Jun. 30, 2017USD ($)
Stockholders' Equity Note [Abstract]
Actuarial loss and prior service cost	$ (94)	[1]
Tax benefit	30
Total, net of tax	(64)
Currency exchange contracts	(5)
Tax benefit	1
Total, net of tax	(4)
Total reclassifications for the period	$ (68)
[1]	These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 6 for additional information about pension and other postretirement benefits items.

EQUITY - Calculation of Net Inc

EQUITY - Calculation of Net Income per Ordinary Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Calculation of net income per ordinary share attributable to ordinary shareholders
Net income attributable to Eaton ordinary shareholders	$ 515	$ 491	$ 947	$ 895
Weighted-average number of ordinary shares outstanding - diluted (shares)	448.6	458.3	449.8	459
Less dilutive effect of equity-based compensation (shares)	2.3	1.3	2.3	1.2
Weighted-average number of ordinary shares outstanding - basic (shares)	446.3	457	447.5	457.8
Net income per share attributable to Eaton ordinary shareholders
Diluted (usd per share)	$ 1.15	$ 1.07	$ 2.10	$ 1.95
Basic (usd per share)	$ 1.15	$ 1.08	$ 2.12	$ 1.96
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0.2	1.5	0.7	1.9

FAIR VALUE MEASUREMENTS - Summa

FAIR VALUE MEASUREMENTS - Summary of Financial Instruments at Fair Value (Details) - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016	Jun. 30, 2016	Dec. 31, 2015
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]
Cash	$ 312	$ 543	$ 323	$ 268
Short-term investments	525	203
Net derivative contracts	64	(3)
Level 1 [Member]
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]
Cash	312	543
Short-term investments	525	203
Net derivative contracts	0	0
Level 2 [Member]
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]
Cash	0	0
Short-term investments	0	0
Net derivative contracts	64	(3)
Level 3 [Member]
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]
Cash	0	0
Short-term investments	0	0
Net derivative contracts	$ 0	$ 0

FAIR VALUE MEASUREMENTS - Other

FAIR VALUE MEASUREMENTS - Other Fair Value Measurements (Details) - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016
Other Fair Value Measurements [Line Items]
Carrying value of long-term debt and current portion of long-term debt	$ 7,759	$ 8,263
Level 2 [Member]
Other Fair Value Measurements [Line Items]
Fair value of long-term debt and current portion of long-term debt	$ 8,093	$ 8,477

DERIVATIVE FINANCIAL INSTRUME48

DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Derivative Financial Instrument Recognized in the Consolidated Balance sheet (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Derivatives, Fair Value [Line Items]
Foreign Currency Note Payable, Noncurrent, after-tax	$ 89	$ 86
Foreign Currency Note Payable, Noncurrent, pre-tax	$ 620	572
Derivatives not designated as hedges
Percentage of intercompany balance sheet exposure	100.00%
Other current assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	$ 9	12
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, asset, at fair value	43	33
Other noncurrent assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	77	85
Other current liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	22	22
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, liability, at fair value	26	85
Other noncurrent liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	17	26
Currency exchange contracts [Member] | Other current assets [Member]
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, asset, at fair value	43	31
Currency exchange contracts [Member] | Other current liabilities [Member]
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, liability, at fair value	26	85
Commodity contracts [Member] | Other current assets [Member]
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, asset, at fair value	0	2
Commodity contracts [Member] | Other current liabilities [Member]
Derivatives not designated as hedges
Derivative instruments not designated as hedging instruments, liability, at fair value	0	0
Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member]
Derivatives designated as hedges
Notional amount	3,715	3,765
Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member] | Other current assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	3	1
Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member] | Other noncurrent assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	60	65
Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member] | Other current liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	1	0
Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member] | Other noncurrent liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	7	8
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member]
Derivatives designated as hedges
Notional amount	450	450
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member] | Other current assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	0	0
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member] | Other noncurrent assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	14	19
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member] | Other current liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	0	0
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member] | Other noncurrent liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	1	1
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member]
Derivatives designated as hedges
Notional amount	350
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member] | Other current assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	0
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member] | Other noncurrent assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	1
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member] | Other current liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	0
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member] | Other noncurrent liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	1
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member]
Derivatives designated as hedges
Notional amount	849	802
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member] | Other current assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	6	11
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member] | Other noncurrent assets [Member]
Derivatives designated as hedges
Derivative asset designated as hedging instrument	2	1
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member] | Other current liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	21	22
Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member] | Other noncurrent liabilities [Member]
Derivatives designated as hedges
Derivative liability designated as hedging instrument	8	17
Derivatives not designated as hedges [Member] | Currency exchange contracts [Member]
Derivatives designated as hedges
Notional amount	2,626	5,333
Derivatives not designated as hedges [Member] | Commodity contracts [Member]
Derivatives designated as hedges
Notional amount	$ 4	$ 10
Minimum [Member] | Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	4 months	3 months
Minimum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	10 years	11 years
Minimum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	10 years
Minimum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	1 month	1 month
Minimum [Member] | Derivatives not designated as hedges [Member] | Currency exchange contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	1 month	1 month
Minimum [Member] | Derivatives not designated as hedges [Member] | Commodity contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	1 month	1 month
Maximum [Member] | Derivatives designated as hedges [Member] | Fair value hedging [Member] | Fixed-to-floating interest rate swaps [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	18 years	18 years
Maximum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	10 years	11 years
Maximum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Interest Rate Lock Commitments [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	30 years
Maximum [Member] | Derivatives designated as hedges [Member] | Cash Flow Hedging [Member] | Currency exchange contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	36 months	36 months
Maximum [Member] | Derivatives not designated as hedges [Member] | Currency exchange contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	12 months	12 months
Maximum [Member] | Derivatives not designated as hedges [Member] | Commodity contracts [Member]
Derivatives, Fair Value [Line Items]
Derivative, term of contract	12 months	12 months

DERIVATIVE FINANCIAL INSTRUME49

DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Amounts Recognized in Accumulated Other Comprehensive Income (Details) - Cash flow hedges [Member] - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Interest expense - net [Member] | Forward Starting Floating-to-Fixed Interest Rate Swap [Domain]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in other comprehensive (loss) income	$ (5)	$ (10)	$ (5)	$ (19)
Gain (loss) reclassified from Accumulated other comprehensive loss	0	0	0	0
Cost of products sold [Member] | Currency exchange contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in other comprehensive (loss) income	2	(10)	1	(32)
Gain (loss) reclassified from Accumulated other comprehensive loss	(1)	(2)	(5)	1
Cost of products sold or Interest expense - net [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in other comprehensive (loss) income	(3)	(20)	(4)	(51)
Gain (loss) reclassified from Accumulated other comprehensive loss	$ (1)	$ (2)	$ (5)	$ 1

DERIVATIVE FINANCIAL INSTRUME50

DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Amounts Recognized in Net Income (Details) - Interest expense - net [Member] - Fair value hedging [Member] - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Amounts recognized in net income	$ 0	$ 0	$ 0	$ 0
Fixed-to-floating interest rate swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amounts recognized in net income	8	30	(3)	106
Related long-term debt converted to floating interest rates by interest rate swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amounts recognized in net income	$ (8)	$ (30)	$ 3	$ (106)

INVENTORY (Details)

INVENTORY (Details) - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016
Inventory Disclosure [Abstract]
Raw materials	$ 924	$ 880
Work-in-process	432	396
Finished goods	1,137	1,074
Inventory at FIFO	2,493	2,350
Excess of FIFO over LIFO cost	(100)	(96)
Total inventory	$ 2,393	$ 2,254

BUSINESS SEGMENT INFORMATION (D

BUSINESS SEGMENT INFORMATION (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Business Segment Information
Net sales	$ 5,132	$ 5,080	$ 9,980	$ 9,893
Corporate
Interest expense - net	60	57	121	114
Pension and other postretirement benefits expense			(104)	(116)
Other corporate expense - net	0	5	(15)	(13)
Income before income taxes	570	553	1,034	995
Income tax expense	54	61	86	100
Net income	516	492	948	895
Less net income for noncontrolling interests	(1)	(1)	(1)	0
Net income attributable to Eaton ordinary shareholders	515	491	947	895
Total business segments [Member]
Business Segment Information
Net sales	5,132	5,080	9,980	9,893
Segment operating profit	802	779	1,501	1,448
Total business segments [Member] | Electrical Products [Member]
Business Segment Information
Net sales	1,802	1,784	3,514	3,464
Segment operating profit	314	322	611	593
Total business segments [Member] | Electrical Systems and Services [Member]
Business Segment Information
Net sales	1,414	1,429	2,747	2,771
Segment operating profit	194	178	349	337
Total business segments [Member] | Hydraulics [Member]
Business Segment Information
Net sales	633	589	1,220	1,140
Segment operating profit	74	59	134	100
Total business segments [Member] | Aerospace [Member]
Business Segment Information
Net sales	437	447	865	892
Segment operating profit	81	83	160	163
Total business segments [Member] | Vehicle [Member]
Business Segment Information
Net sales	846	831	1,634	1,626
Segment operating profit	139	137	247	255
Corporate [Member]
Corporate
Amortization of intangible assets	(96)	(98)	(190)	(198)
Interest expense - net	(60)	(57)	(121)	(114)
Pension and other postretirement benefits expense	(11)	(13)	(22)	(27)
Other corporate expense - net	$ (65)	$ (58)	$ (134)	$ (114)

CONDENSED CONSOLIDATING FINAN53

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Narrative (Details)	Nov. 14, 2013
Condensed Consolidating Financial Information [Abstract]
Eaton and certain other 100% owned subsidiaries guarantee of Senior Debt	100.00%

CONDENSED CONSOLIDATING FINAN54

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Consolidating Statements of Comprehensive Income (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	$ 5,132	$ 5,080	$ 9,980	$ 9,893
Cost of products sold	3,450	3,419	6,760	6,710
Selling and administrative expense	902	897	1,787	1,789
Research and development expense	150	149	293	298
Interest expense (income) - net	60	57	121	114
Other expense (income) - net	0	5	(15)	(13)
Equity in loss (earnings) of subsidiaries, net of tax	0	0	0	0
Intercompany expense (income) - net	0	0	0	0
Income before income taxes	570	553	1,034	995
Income tax expense (benefit)	54	61	86	100
Net income	516	492	948	895
Less net loss (income) for noncontrolling interests	(1)	(1)	(1)	0
Net income attributable to Eaton ordinary shareholders	515	491	947	895
Other comprehensive income	323	(255)	586	18
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	838	236	1,533	913
Other subsidiaries [Member]
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	3,164	3,057	6,155	5,930
Cost of products sold	2,248	2,224	4,429	4,294
Selling and administrative expense	329	346	662	675
Research and development expense	40	47	82	85
Interest expense (income) - net	(4)	(7)	(8)	(10)
Other expense (income) - net	(11)	(4)	32	(18)
Equity in loss (earnings) of subsidiaries, net of tax	(114)	(132)	(225)	(229)
Intercompany expense (income) - net	(419)	(380)	(823)	(697)
Income before income taxes	1,095	963	2,070	1,830
Income tax expense (benefit)	51	36	68	67
Net income	1,044	927	2,002	1,763
Less net loss (income) for noncontrolling interests	(1)	(2)	(2)	(2)
Net income attributable to Eaton ordinary shareholders	1,043	925	2,000	1,761
Other comprehensive income	408	(319)	731	(10)
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	1,451	606	2,731	1,751
Guarantors
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	1,672	1,648	3,267	3,223
Cost of products sold	1,225	1,203	2,413	2,403
Selling and administrative expense	197	198	391	394
Research and development expense	53	47	100	96
Interest expense (income) - net	6	6	11	9
Other expense (income) - net	(37)	6	(38)	4
Equity in loss (earnings) of subsidiaries, net of tax	(853)	(811)	(1,725)	(1,484)
Intercompany expense (income) - net	339	313	672	568
Income before income taxes	742	686	1,443	1,233
Income tax expense (benefit)	3	12	19	13
Net income	739	674	1,424	1,220
Less net loss (income) for noncontrolling interests	0	0	0	0
Net income attributable to Eaton ordinary shareholders	739	674	1,424	1,220
Other comprehensive income	322	(248)	592	30
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	1,061	426	2,016	1,250
Eaton Corporation plc [Member]
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	0	0	0	0
Cost of products sold	0	0	0	0
Selling and administrative expense	34	2	66	4
Research and development expense	0	0	0	0
Interest expense (income) - net	0	0	0	0
Other expense (income) - net	41	0	48	0
Equity in loss (earnings) of subsidiaries, net of tax	(704)	(594)	(1,285)	(1,098)
Intercompany expense (income) - net	114	101	224	199
Income before income taxes	515	491	947	895
Income tax expense (benefit)	0	0	0	0
Net income	515	491	947	895
Less net loss (income) for noncontrolling interests	0	0	0	0
Net income attributable to Eaton ordinary shareholders	515	491	947	895
Other comprehensive income	323	(255)	586	18
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	838	236	1,533	913
Eaton Corporation [Member]
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	1,696	1,644	3,268	3,182
Cost of products sold	1,373	1,263	2,626	2,459
Selling and administrative expense	342	351	668	716
Research and development expense	57	55	111	117
Interest expense (income) - net	58	57	118	110
Other expense (income) - net	7	3	7	1
Equity in loss (earnings) of subsidiaries, net of tax	(185)	(154)	(375)	(322)
Intercompany expense (income) - net	(34)	(34)	(73)	(70)
Income before income taxes	78	103	186	171
Income tax expense (benefit)	3	13	0	20
Net income	75	90	186	151
Less net loss (income) for noncontrolling interests	0	0	0	0
Net income attributable to Eaton ordinary shareholders	75	90	186	151
Other comprehensive income	(10)	0	50	44
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	65	90	236	195
Consolidating adjustments [Member]
Consolidating Statements of Comprehensive Income, Captions [Line Items]
Net sales	(1,400)	(1,269)	(2,710)	(2,442)
Cost of products sold	(1,396)	(1,271)	(2,708)	(2,446)
Selling and administrative expense	0	0	0	0
Research and development expense	0	0	0	0
Interest expense (income) - net	0	1	0	5
Other expense (income) - net	0	0	0	0
Equity in loss (earnings) of subsidiaries, net of tax	1,856	1,691	3,610	3,133
Intercompany expense (income) - net	0	0	0	0
Income before income taxes	(1,860)	(1,690)	(3,612)	(3,134)
Income tax expense (benefit)	(3)	0	(1)	0
Net income	(1,857)	(1,690)	(3,611)	(3,134)
Less net loss (income) for noncontrolling interests	0	1	1	2
Net income attributable to Eaton ordinary shareholders	(1,857)	(1,689)	(3,610)	(3,132)
Other comprehensive income	(720)	567	(1,373)	(64)
Total comprehensive income (loss) attributable to Eaton ordinary shareholders	$ (2,577)	$ (1,122)	$ (4,983)	$ (3,196)

CONDENSED CONSOLIDATING FINAN55

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Condensed Consolidating Balance Sheets (Details) - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016	Jun. 30, 2016	Dec. 31, 2015
Current assets
Cash	$ 312	$ 543	$ 323	$ 268
Short-term investments	525	203
Accounts receivable - net	3,813	3,560
Intercompany accounts receivable	0	0
Inventory	2,393	2,254
Prepaid expenses and other current assets	444	381
Total current assets	7,487	6,941
Property, plant and equipment - net	3,530	3,443
Other noncurrent assets
Goodwill	13,478	13,201
Other intangible assets	5,410	5,514
Deferred income taxes	443	360
Investment in subsidiaries	0	0
Intercompany loans receivables	0	0
Other assets	1,007	960
Total assets	31,355	30,419
Liabilities and shareholders’ equity
Short-term debt	846	14
Current portion of long-term debt	1,495	1,552
Accounts payable	1,885	1,718
Intercompany accounts payable	0	0
Accrued compensation	338	379
Other current liabilities	1,745	1,822
Total current liabilities	6,309	5,485
Noncurrent liabilities
Long-term debt	6,264	6,711
Pension liabilities	1,578	1,659
Other postretirement benefits liabilities	364	368
Deferred income taxes	316	321
Intercompany loans payable	0	0
Other noncurrent liabilities	930	934
Total noncurrent liabilities	9,452	9,993
Shareholders’ equity
Eaton shareholders' equity	15,552	14,897
Noncontrolling interests	42	44
Total equity	15,594	14,941
Total liabilities and equity	31,355	30,419
Consolidation, Eliminations [Member]
Current assets
Cash	0	0	0	0
Short-term investments	0	0
Accounts receivable - net	0	0
Intercompany accounts receivable	(7,874)	(8,615)
Inventory	(81)	(79)
Prepaid expenses and other current assets	27	25
Total current assets	(7,928)	(8,669)
Property, plant and equipment - net	0	0
Other noncurrent assets
Goodwill	0	0
Other intangible assets	0	0
Deferred income taxes	(727)	(772)
Investment in subsidiaries	(135,594)	(132,053)
Intercompany loans receivables	(67,695)	(66,264)
Other assets	0	0
Total assets	(211,944)	(207,758)
Liabilities and shareholders’ equity
Short-term debt	0	0
Current portion of long-term debt	0	0
Accounts payable	0	0
Intercompany accounts payable	(7,874)	(8,615)
Accrued compensation	0	0
Other current liabilities	(2)	(2)
Total current liabilities	(7,876)	(8,617)
Noncurrent liabilities
Long-term debt	0	0
Pension liabilities	0	0
Other postretirement benefits liabilities	0	0
Deferred income taxes	(727)	(772)
Intercompany loans payable	(67,695)	(66,264)
Other noncurrent liabilities	0	0
Total noncurrent liabilities	(68,422)	(67,036)
Shareholders’ equity
Eaton shareholders' equity	(135,651)	(132,111)
Noncontrolling interests	5	6
Total equity	(135,646)	(132,105)
Total liabilities and equity	(211,944)	(207,758)
Non-Guarantor Subsidiaries [Member]
Current assets
Cash	288	446	314	235
Short-term investments	525	203
Accounts receivable - net	2,119	1,975
Intercompany accounts receivable	3,596	3,633
Inventory	1,487	1,349
Prepaid expenses and other current assets	261	237
Total current assets	8,276	7,843
Property, plant and equipment - net	1,991	1,880
Other noncurrent assets
Goodwill	5,830	5,553
Other intangible assets	1,897	1,903
Deferred income taxes	243	228
Investment in subsidiaries	12,886	12,577
Intercompany loans receivables	57,519	56,598
Other assets	362	335
Total assets	89,004	86,917
Liabilities and shareholders’ equity
Short-term debt	35	6
Current portion of long-term debt	3	6
Accounts payable	1,162	1,093
Intercompany accounts payable	1,213	1,349
Accrued compensation	218	223
Other current liabilities	910	941
Total current liabilities	3,541	3,618
Noncurrent liabilities
Long-term debt	8	8
Pension liabilities	910	888
Other postretirement benefits liabilities	72	71
Deferred income taxes	363	361
Intercompany loans payable	1,442	1,252
Other noncurrent liabilities	384	396
Total noncurrent liabilities	3,179	2,976
Shareholders’ equity
Eaton shareholders' equity	82,247	80,285
Noncontrolling interests	37	38
Total equity	82,284	80,323
Total liabilities and equity	89,004	86,917
Guarantors [Member]
Current assets
Cash	5	4	5	7
Short-term investments	0	0
Accounts receivable - net	1,169	1,049
Intercompany accounts receivable	3,524	4,023
Inventory	655	642
Prepaid expenses and other current assets	48	42
Total current assets	5,401	5,760
Property, plant and equipment - net	696	706
Other noncurrent assets
Goodwill	6,293	6,293
Other intangible assets	3,351	3,442
Deferred income taxes	0	0
Investment in subsidiaries	74,853	72,938
Intercompany loans receivables	2,481	2,061
Other assets	141	134
Total assets	93,216	91,334
Liabilities and shareholders’ equity
Short-term debt	0	8
Current portion of long-term debt	36	296
Accounts payable	266	252
Intercompany accounts payable	3,213	3,115
Accrued compensation	42	58
Other current liabilities	300	291
Total current liabilities	3,857	4,020
Noncurrent liabilities
Long-term debt	946	936
Pension liabilities	137	161
Other postretirement benefits liabilities	98	99
Deferred income taxes	680	732
Intercompany loans payable	45,618	44,788
Other noncurrent liabilities	225	211
Total noncurrent liabilities	47,704	46,927
Shareholders’ equity
Eaton shareholders' equity	41,655	40,387
Noncontrolling interests	0	0
Total equity	41,655	40,387
Total liabilities and equity	93,216	91,334
Eaton Corporation [Member]
Current assets
Cash	19	92	4	26
Short-term investments	0	0
Accounts receivable - net	525	536
Intercompany accounts receivable	752	954
Inventory	332	342
Prepaid expenses and other current assets	108	77
Total current assets	1,736	2,001
Property, plant and equipment - net	843	857
Other noncurrent assets
Goodwill	1,355	1,355
Other intangible assets	162	169
Deferred income taxes	927	904
Investment in subsidiaries	13,827	13,743
Intercompany loans receivables	7,695	7,605
Other assets	504	491
Total assets	27,049	27,125
Liabilities and shareholders’ equity
Short-term debt	811	0
Current portion of long-term debt	1,456	1,250
Accounts payable	457	372
Intercompany accounts payable	3,232	3,870
Accrued compensation	78	98
Other current liabilities	536	591
Total current liabilities	6,570	6,181
Noncurrent liabilities
Long-term debt	5,310	5,767
Pension liabilities	531	610
Other postretirement benefits liabilities	194	198
Deferred income taxes	0	0
Intercompany loans payable	2,374	2,603
Other noncurrent liabilities	321	327
Total noncurrent liabilities	8,730	9,505
Shareholders’ equity
Eaton shareholders' equity	11,749	11,439
Noncontrolling interests	0	0
Total equity	11,749	11,439
Total liabilities and equity	27,049	27,125
Eaton Corporation plc [Member]
Current assets
Cash	0	1	$ 0	$ 0
Short-term investments	0	0
Accounts receivable - net	0	0
Intercompany accounts receivable	2	5
Inventory	0	0
Prepaid expenses and other current assets	0	0
Total current assets	2	6
Property, plant and equipment - net	0	0
Other noncurrent assets
Goodwill	0	0
Other intangible assets	0	0
Deferred income taxes	0	0
Investment in subsidiaries	34,028	32,795
Intercompany loans receivables	0	0
Other assets	0	0
Total assets	34,030	32,801
Liabilities and shareholders’ equity
Short-term debt	0	0
Current portion of long-term debt	0	0
Accounts payable	0	1
Intercompany accounts payable	216	281
Accrued compensation	0	0
Other current liabilities	1	1
Total current liabilities	217	283
Noncurrent liabilities
Long-term debt	0	0
Pension liabilities	0	0
Other postretirement benefits liabilities	0	0
Deferred income taxes	0	0
Intercompany loans payable	18,261	17,621
Other noncurrent liabilities	0	0
Total noncurrent liabilities	18,261	17,621
Shareholders’ equity
Eaton shareholders' equity	15,552	14,897
Noncontrolling interests	0	0
Total equity	15,552	14,897
Total liabilities and equity	$ 34,030	$ 32,801

CONDENSED CONSOLIDATING FINAN56

CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Condensed Consolidating Statements of Cash Flows (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	$ 1,037	$ 1,133
Investing activities
Capital expenditures for property, plant and equipment	(246)	(246)
Cash received from (paid for) acquisitions of businesses, net of cash acquired	0	1
Payments for (Proceeds from) Businesses and Interest in Affiliates	0
Sales (purchases) of short-term investments - net	(309)	38
Investments in affiliates	0	0
Return of capital contributions from affiliates	0	0
Loans to affiliates	0	0
Repayments of loans from affiliates	0	0
Other - net	(31)	3
Net cash used in investing activities	(586)	(204)
Financing activities
Proceeds from borrowings	832	151
Payments on borrowings	(543)	(240)
Proceeds from borrowings from affiliates	0	0
Payments on borrowings from affiliates	0	0
Capital contributions from affiliates	0	0
Return of capital contributions to affiliates	0	0
Other intercompany financing activities	0	0
Cash dividends paid	(537)	(521)
Payments of Distributions to Affiliates	0
Exercise of employee stock options	49	37
Repurchase of shares	(465)	(295)
Payments Related to Tax Withholding for Share-based Compensation	(21)	(17)
Other - net	(4)	3
Net cash used in financing activities	(689)	(882)
Effect of currency on cash	7	8
Total increase (decrease) in cash	(231)	55
Cash at the beginning of the period	543	268
Cash at the end of the period	312	323
Guarantors [Member]
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	697	(298)
Investing activities
Capital expenditures for property, plant and equipment	(53)	(49)
Cash received from (paid for) acquisitions of businesses, net of cash acquired		1
Payments for (Proceeds from) Businesses and Interest in Affiliates	(92)
Sales (purchases) of short-term investments - net	0	2
Investments in affiliates	0	(120)
Return of capital contributions from affiliates	20	47
Loans to affiliates	0	(47)
Repayments of loans from affiliates	47	0
Other - net	7	25
Net cash used in investing activities	(71)	(141)
Financing activities
Proceeds from borrowings	0	0
Payments on borrowings	(289)	(240)
Proceeds from borrowings from affiliates	694	786
Payments on borrowings from affiliates	(353)	(1,658)
Capital contributions from affiliates	90	1,370
Return of capital contributions to affiliates	0	0
Other intercompany financing activities	38	183
Cash dividends paid	0	0
Payments of Distributions to Affiliates	(800)
Exercise of employee stock options	0	0
Repurchase of shares	0	0
Payments Related to Tax Withholding for Share-based Compensation	(4)	(4)
Other - net	(1)	0
Net cash used in financing activities	(625)	437
Effect of currency on cash	0	0
Total increase (decrease) in cash	1	(2)
Cash at the beginning of the period	4	7
Cash at the end of the period	5	5
Other subsidiaries [Member]
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	1,489	1,554
Investing activities
Capital expenditures for property, plant and equipment	(147)	(157)
Cash received from (paid for) acquisitions of businesses, net of cash acquired		0
Payments for (Proceeds from) Businesses and Interest in Affiliates	92
Sales (purchases) of short-term investments - net	(309)	36
Investments in affiliates	(90)	(1,370)
Return of capital contributions from affiliates	0	0
Loans to affiliates	(3,853)	(4,236)
Repayments of loans from affiliates	3,276	2,922
Other - net	(12)	(24)
Net cash used in investing activities	(1,043)	(2,829)
Financing activities
Proceeds from borrowings	21	6
Payments on borrowings	(4)	0
Proceeds from borrowings from affiliates	15	193
Payments on borrowings from affiliates	(75)	(33)
Capital contributions from affiliates	90	1,370
Return of capital contributions to affiliates	(20)	(47)
Other intercompany financing activities	75	(140)
Cash dividends paid	0	0
Payments of Distributions to Affiliates	(707)
Exercise of employee stock options	0	0
Repurchase of shares	0	0
Payments Related to Tax Withholding for Share-based Compensation	(3)	(3)
Other - net	(3)	0
Net cash used in financing activities	(611)	1,346
Effect of currency on cash	7	8
Total increase (decrease) in cash	(158)	79
Cash at the beginning of the period	446	235
Cash at the end of the period	288	314
Eaton Corporation plc [Member]
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	573	(156)
Investing activities
Capital expenditures for property, plant and equipment	0	0
Cash received from (paid for) acquisitions of businesses, net of cash acquired		0
Payments for (Proceeds from) Businesses and Interest in Affiliates	0
Sales (purchases) of short-term investments - net	0	0
Investments in affiliates	(90)	(1,250)
Return of capital contributions from affiliates	0	0
Loans to affiliates	0	0
Repayments of loans from affiliates	0	0
Other - net	0	0
Net cash used in investing activities	(90)	(1,250)
Financing activities
Proceeds from borrowings	0	0
Payments on borrowings	0	0
Proceeds from borrowings from affiliates	1,288	2,203
Payments on borrowings from affiliates	(819)	(18)
Capital contributions from affiliates	0	0
Return of capital contributions to affiliates	0	0
Other intercompany financing activities	0	0
Cash dividends paid	(537)	(521)
Payments of Distributions to Affiliates	0
Exercise of employee stock options	49	37
Repurchase of shares	(465)	(295)
Payments Related to Tax Withholding for Share-based Compensation	0	0
Other - net	0	0
Net cash used in financing activities	(484)	1,406
Effect of currency on cash	0	0
Total increase (decrease) in cash	(1)	0
Cash at the beginning of the period	1	0
Cash at the end of the period	0	0
Eaton Corporation [Member]
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	(215)	33
Investing activities
Capital expenditures for property, plant and equipment	(46)	(40)
Cash received from (paid for) acquisitions of businesses, net of cash acquired		0
Payments for (Proceeds from) Businesses and Interest in Affiliates	0
Sales (purchases) of short-term investments - net	0	0
Investments in affiliates	0	0
Return of capital contributions from affiliates	0	0
Loans to affiliates	(17)	(284)
Repayments of loans from affiliates	290	1,280
Other - net	(26)	2
Net cash used in investing activities	201	958
Financing activities
Proceeds from borrowings	811	145
Payments on borrowings	(250)	0
Proceeds from borrowings from affiliates	1,873	1,385
Payments on borrowings from affiliates	(2,366)	(2,493)
Capital contributions from affiliates	0	0
Return of capital contributions to affiliates	0	0
Other intercompany financing activities	(113)	(43)
Cash dividends paid	0	0
Payments of Distributions to Affiliates	0
Exercise of employee stock options	0	0
Repurchase of shares	0	0
Payments Related to Tax Withholding for Share-based Compensation	(14)	(10)
Other - net	0	3
Net cash used in financing activities	(59)	(1,013)
Effect of currency on cash	0	0
Total increase (decrease) in cash	(73)	(22)
Cash at the beginning of the period	92	26
Cash at the end of the period	19	4
Consolidation, Eliminations [Member]
Condensed Consolidating Statements of Cash Flows, Captions [Line Items]
Net cash provided by (used in) operating activities	(1,507)	0
Investing activities
Capital expenditures for property, plant and equipment	0	0
Cash received from (paid for) acquisitions of businesses, net of cash acquired		0
Payments for (Proceeds from) Businesses and Interest in Affiliates	0
Sales (purchases) of short-term investments - net	0	0
Investments in affiliates	180	2,740
Return of capital contributions from affiliates	(20)	(47)
Loans to affiliates	3,870	4,567
Repayments of loans from affiliates	(3,613)	(4,202)
Other - net	0	0
Net cash used in investing activities	417	3,058
Financing activities
Proceeds from borrowings	0	0
Payments on borrowings	0	0
Proceeds from borrowings from affiliates	(3,870)	(4,567)
Payments on borrowings from affiliates	3,613	4,202
Capital contributions from affiliates	(180)	(2,740)
Return of capital contributions to affiliates	20	47
Other intercompany financing activities	0	0
Cash dividends paid	0	0
Payments of Distributions to Affiliates	1,507
Exercise of employee stock options	0	0
Repurchase of shares	0	0
Payments Related to Tax Withholding for Share-based Compensation	0	0
Other - net	0	0
Net cash used in financing activities	1,090	(3,058)
Effect of currency on cash	0	0
Total increase (decrease) in cash	0	0
Cash at the beginning of the period	0	0
Cash at the end of the period	$ 0	$ 0