Document Entity Information
Document Entity Information - Jun. 30, 2015 - shares | Total |
Document And Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | Q3 |
Current Fiscal Year End Date | --09-30 |
Entity Registrant Name | AIR PRODUCTS & CHEMICALS INC /DE/ |
Entity Central Index Key | 2,969 |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 214,982,451 |
Consolidated Income Statements
Consolidated Income Statements - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Consolidated Income Statements [Abstract] | ||||
Sales | $ 2,470.2 | $ 2,634.6 | $ 7,445.5 | $ 7,762 |
Cost of sales | 1,716.4 | 1,918.7 | 5,247 | 5,702.2 |
Selling and administrative | 242.2 | 272 | 741.3 | 816.3 |
Research and development | 33.8 | 33.8 | 105.5 | 100.5 |
Business restructuring and cost reduction actions | 58.2 | 0 | 146 | 0 |
Pension settlement loss | 1.6 | 0 | 14.2 | 0 |
Gain on previously held equity interest | 0 | 0 | 17.9 | 0 |
Other income (expense), net | 4.5 | 3.7 | 17.5 | 41.1 |
Operating Income | 422.5 | 413.8 | 1,226.9 | 1,184.1 |
Equity affiliates' income | 42.4 | 43.1 | 118.5 | 111.7 |
Interest expense | 28.2 | 31.3 | 80.7 | 96.1 |
Income from Continuing Operations before Taxes | 436.7 | 425.6 | 1,264.7 | 1,199.7 |
Income tax provision | 103.5 | 102.1 | 297.1 | 288.7 |
Income from Continuing Operations | 333.2 | 323.5 | 967.6 | 911 |
Income (loss) from Discontinued Operations, net of tax | 0 | 0 | 0 | 3.1 |
Net Income | 333.2 | 323.5 | 967.6 | 914.1 |
Less: Net Income Attributable to Noncontrolling Interests | 14.4 | 9.5 | 34.2 | 26.4 |
Net Income Attributable to Air Products | 318.8 | 314 | 933.4 | 887.7 |
Net Income Attributable to Air Products | ||||
Income from continuing operations | 318.8 | 314 | 933.4 | 884.6 |
Income (loss) from discontinued operations | 0 | 0 | 0 | 3.1 |
Net Income Attributable to Air Products | $ 318.8 | $ 314 | $ 933.4 | $ 887.7 |
Basic Earnings Per Common Share Attributable to Air Products | ||||
Income from continuing operations | $ 1.48 | $ 1.47 | $ 4.35 | $ 4.17 |
Income (loss) from discontinued operations | 0 | 0 | 0 | 0.01 |
Net Income Attributable to Air Products | 1.48 | 1.47 | 4.35 | 4.18 |
Diluted Earnings Per Common Share Attributable to Air Products | ||||
Income from continuing operations | 1.47 | 1.46 | 4.3 | 4.12 |
Income (loss) from discontinued operations | 0 | 0 | 0 | 0.01 |
Net Income Attributable to Air Products | $ 1.47 | $ 1.46 | $ 4.3 | $ 4.13 |
Weighted Average Common Shares - Basic (in millions) | 215.2 | 212.9 | 214.8 | 212.4 |
Weighted Average Common Shares - Diluted (in millions) | 217.4 | 215.4 | 217.2 | 214.9 |
Dividends Declared Per Common Share - Cash | $ 0.81 | $ 0.77 | $ 2.39 | $ 2.25 |
Consolidated Comprehensive Inco
Consolidated Comprehensive Income Statement - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Other Comprehensive Income (Loss), net of tax [Abstract] | ||||
Net Income | $ 333.2 | $ 323.5 | $ 967.6 | $ 914.1 |
Translation adjustments, net of tax | 73 | 108 | (403.5) | 53.8 |
Net gain (loss) on derivatives, net of tax | (13.6) | (16.9) | (37.8) | 0.8 |
Pension and postretirement benefits, net of tax | 2 | 0 | (2.6) | 0 |
Reclassification Adjustments [Abstract] | ||||
Derivatives, net of tax | 1.6 | 0.9 | 32.7 | (21.8) |
Pension and postretirement benefits, net of tax | 22.2 | 20.3 | 71.7 | 60.9 |
Total Other Comprehensive Income (Loss) | 85.2 | 112.3 | (339.5) | 93.7 |
Comprehensive Income | 418.4 | 435.8 | 628.1 | 1,007.8 |
Net income attributable to noncontrolling interests | 14.4 | 9.5 | 34.2 | 26.4 |
Other Comprehensive Income (Loss) Attributable to Noncontrolling Interests | 1.5 | 2.2 | (3) | (2.4) |
Comprehensive Income Attributable to Air Products | $ 402.5 | $ 424.1 | $ 596.9 | $ 983.8 |
Consolidated Comprehensive Inc4
Consolidated Comprehensive Income Statements (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Consolidated Comprehensive Income Statements [Abstract] | ||||
Tax effect on translation adjustments | $ (30.8) | $ 4 | $ 46.7 | $ (17.7) |
Tax effect on net gain (loss) on derivatives | (4.5) | (8.2) | (17.3) | (2.9) |
Tax effect on pension and postretirement benefits | 1.2 | 0 | (1.5) | 0 |
Tax effect on derivatives reclassification adjustments | 0.5 | 0.2 | 12.1 | (7.8) |
Tax effect on pension and post retirement benefits reclassification adjustments | $ 10.7 | $ 9.5 | $ 35.5 | $ 28.7 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2015 | Sep. 30, 2014 |
Current Assets | ||
Cash and cash items | $ 215.3 | $ 336.6 |
Trade receivables, net | 1,440.8 | 1,486 |
Inventories | 681.9 | 706 |
Contracts in progress, less progress billings | 149 | 155.4 |
Prepaid expenses | 63.4 | 87.8 |
Other receivables and current assets | 551.9 | 523 |
Total Current Assets | 3,102.3 | 3,294.8 |
Investment in net assets of and advances to equity affiliates | 1,244.2 | 1,257.9 |
Plant and equipment, at cost | 20,472.4 | 20,223.5 |
Less: accumulated depreciation | 10,751.6 | 10,691.4 |
Plant and equipment, net | 9,720.8 | 9,532.1 |
Goodwill, net | 1,163.8 | 1,237.3 |
Intangible assets, net | 541.5 | 615.8 |
Noncurrent capital lease receivables | 1,375.1 | 1,414.9 |
Other noncurrent assets | 523.8 | 426.3 |
Total Noncurrent Assets | 14,569.2 | 14,484.3 |
Total Assets | 17,671.5 | 17,779.1 |
Current Liabilities | ||
Payables and accrued liabilities | 1,700.6 | 1,591 |
Accrued income taxes | 45.6 | 78 |
Short-term borrowings | 1,087.8 | 1,228.7 |
Current portion of long-term debt | 84.9 | 65.3 |
Total Current Liabilities | 2,918.9 | 2,963 |
Long-term debt | 4,690.5 | 4,824.5 |
Other noncurrent liabilities | 1,022.5 | 1,187.5 |
Deferred income taxes | 1,030.4 | 995.5 |
Total Noncurrent Liabilities | 6,743.4 | 7,007.5 |
Total Liabilities | $ 9,662.3 | $ 9,970.5 |
Commitments and Contingencies - See Note 12 | ||
Redeemable Noncontrolling Interest | $ 277.9 | $ 287.2 |
Air Products Shareholders' Equity | ||
Common stock (par value $1 per share; issued 2015 and 2014 - 249,455,584 shares) | 249.4 | 249.4 |
Capital in excess of par value | 889.3 | 842 |
Retained earnings | 10,411.1 | 9,993.2 |
Accumulated other comprehensive loss | (1,578.4) | (1,241.9) |
Treasury stock, at cost (2015 - 34,473,133 shares; 2014 - 35,917,440 shares) | (2,385.4) | (2,476.9) |
Total Air Products Shareholders' Equity | 7,586 | 7,365.8 |
Noncontrolling Interests | 145.3 | 155.6 |
Total Equity | 7,731.3 | 7,521.4 |
Total Liabilities and Equity | $ 17,671.5 | $ 17,779.1 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2015 | Sep. 30, 2014 |
Air Products Shareholder's Equity [Abstract] | ||
Common stock, par value | $ 1 | $ 1 |
Common stock, issued shares | 249,455,584 | 249,455,584 |
Treasury stock, shares | 34,473,133 | 35,917,440 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Operating Activities | ||
Net Income | $ 967.6 | $ 914.1 |
Less: Net income attributable to noncontrolling interests | 34.2 | 26.4 |
Net Income Attributable to Air Products | 933.4 | 887.7 |
(Income) loss from discontinued operations | 0 | (3.1) |
Income from continuing operations attributable to Air Products | 933.4 | 884.6 |
Adjustments to reconcile income to cash provided by operating activities: | ||
Depreciation and amortization | 701.8 | 702.3 |
Deferred income taxes | 18.5 | 69.8 |
Gain on previously held equity interest | (17.9) | 0 |
Undistributed earnings of unconsolidated affiliates | (74.6) | (36.7) |
Share-based compensation | 37.3 | 32.5 |
Noncurrent capital lease receivables | (3.9) | 11.8 |
Write-down of long-lived assets associated with restructuring | 27.8 | 0 |
Other adjustments | (62.9) | 102.8 |
Working capital changes that provided (used) cash, excluding effects of acquisitions and divestitures: | ||
Trade receivables | (25.6) | (77.1) |
Inventories | 2.4 | 12.6 |
Contracts in progress, less progress billings | 0.9 | (1.1) |
Other receivables | (52.3) | (3.1) |
Payables and accrued liabilities | 178.9 | (125.6) |
Other working capital | (5.9) | 11.2 |
Cash Provided by Operating Activities | 1,657.9 | 1,584 |
Investing Activities | ||
Additions to plant and equipment | (1,214.7) | (1,264.9) |
Acquisitions, less cash acquired | (34.5) | 0 |
Investment in and advances to unconsolidated affiliates | (4.3) | |
Proceeds from collection of advance to affiliate | 2.3 | |
Proceeds from sale of assets and investments | 15.1 | 34 |
Other investing activities | (0.6) | (1.5) |
Cash Used for Investing Activities | (1,239) | (1,230.1) |
Financing Activities | ||
Long-term debt proceeds | 338 | 57.3 |
Payments on long-term debt | (559.2) | (591.7) |
Net increase (decrease) in commercial paper and short-term borrowings | 122 | 422.7 |
Dividends paid to shareholders | (503.4) | (463.7) |
Proceeds from stock option exercises | 92.5 | 106.5 |
Excess tax benefit from share-based compensation | 26.7 | 22.5 |
Other financing activities | (45.3) | (36.3) |
Cash Provided By (Used for) Financing Activities | (528.7) | (482.7) |
Discontinued Operations | ||
Cash provided by operating activities | 0 | 0.7 |
Cash provided by (used for) investing activities | 0 | 9.8 |
Cash provided by (used for) financing activities | 0 | 0 |
Cash Provided by (Used for) Discontinued Operations | 0 | 10.5 |
Effect of Exchange Rate Changes on Cash | (11.5) | 5.5 |
Increase (Decrease) in Cash and Cash Items | (121.3) | (112.8) |
Cash and Cash Items - Beginning of Year | 336.6 | 450.4 |
Cash and Cash Items - End of Period | 215.3 | 337.6 |
Less: Cash and Cash Items - Discontinued Operations | 0 | 0 |
Cash and Cash Items - Continuing Operations | 215.3 | 337.6 |
Supplemental Cash Flow Information | ||
Cash paid for taxes (net of cash refunds) | $ 261.9 | $ 118.3 |
Major Accounting Policies
Major Accounting Policies | 9 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Major Accounting Policies | 1. BASIS OF PRESENTATION AND MAJOR ACCOUNTING POLICIES Refer to our 2014 Form 10-K for a description of major accounting policies. T here have been no significant changes to these accounting policies during the first nine months of fiscal year 2015 . The Company realigned its businesses in new r eporting segments and began operating under the new structure effective 1 October 2014. Prior year segment information presented has been restated to conform with the fiscal year 2015 presentation. See Note 19 , Business Segment Information, for furth er details. The consolidated financial statements of Air Products and Chemicals, Inc. and its subsidiaries (“we , ” “our , ” “us , ” the “Company , ” “Air Products , ” or “registrant”) included herein have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (U.S. GA AP) have been condensed or omitted pursuant to such rules and regulations. In our opinion, the accompanying statements reflect adjustments necessary to present fairly the financial position, results of operations, and cash flows for those periods indicated , and contain adequate disclosure to make the information presented not misleading. Adjustments included herein are of a normal, recurring nature unless otherwise disclosed in the Notes. The interim results for the periods indicated herein, however, do not reflect certain adjustments, such as the valuation of inventories on the last-in, first-out (LIFO) cost basis, which are only finally determined on an annual basis. The consolidated financial statements and related Notes included herein should be read in conjunction with the financial statements and Notes ther eto included in our latest Form 10-K in order to fully understand the basis of presentation. Results of operations for interim periods are not necessarily indicative of the results of operations for a full year . |
New Accounting Guidance
New Accounting Guidance | 9 Months Ended |
Jun. 30, 2015 | |
New Accounting Guidance [Abstract] | |
New Accounting Guidance | 2. NEW ACCOUNTING GUIDANCE Accounting Guidance Implemented in 2015 Unrecognized Tax Benefits In July 2013, the Financial Accounting Standards Board (FASB) issued guidance to require standard presentation of an unrecognized tax benefit when a carryforward related to net operating losses or tax credits exists. We adopted this guidance prospectively beginning in the first quarter of fiscal year 2015. This guidance did not have a significant impact on our consolidated financial statements. New Accounting Guidance to be Implemented Discontinued Operations In April 2014, the FASB issued an update to change the criteria for determining which disposals qualify as a discontinued operation and to expand related disclosure requirements. Under the n ew guidance, a disposal is required to be reported in discontinued operations if the disposal represents a strategic shift that has or will have a major effect on operations and financial results. This guidance will be effective prospectively for new dispo sals and new disposal groups classified as held for sale beginning in fiscal year 2016, with early adoption permitted. Revenue Recognition In May 2014, the FASB issued guidance based on the principle that revenue is recognized in an amount expected to be collected and to which the entity expects to be entitled in exchange for the transfer of goods or services. As currently issued, this guidance is effective for us beginning in fiscal year 2018 and can be adopted either retrospectively or as a cumulative - ef fect adjustment as of the date of adoption. In July 2015, the FASB approved a one-year deferral of the effective date as well as providing the option to early adopt the standard on the original effective date. Accordingly, we would have the option to adopt the standard in either fiscal year 2018 or 2019. W e are currently evaluating the adoption alter natives and impact that this update will have on our consolidated financial statements. Share-Based Compensation In June 2014, the FASB issued guidance clarifying that share-based compensation performance targets that could be achieved after the requisit e service period should be treated as a performance condition that affects vesting, rather than a condition that affects the grant - date fair value of the award. This guidance is effective for us beginning in fiscal year 2017, with early adoption permitted. We do not expect this guidance to have a significant impact on our consolidated financial statements. Consolidation Analysis In February 2015, the FASB issued an update to amend current consolidation guidance. The guidance impacts the analysis an ent ity must perform in determining if it should consolidate certain legal entities such as limited partnerships, limited liability corporations, and securitization structures. The guidance is effective beginning fiscal year 2017, with early adoption permitted . The guidance may be applied retrospectively or using a modified retrospective approach, by recording a cumulative-effect adjustment to equity as of the beginning of the fiscal year of adoption. We are currently evaluating the impact this update will hav e on our consolidated financial statements. Debt Issuance Costs In April 2015, the FASB issued guidance requiring that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the debt instead of as a separate deferred asset. This change in accounting principle will be effective beginning in fiscal year 2017 with early adoption permitted and must be applied retrospectively. This guidance only affects the presentation o f debt issuance costs and will not have a significant impact on our consolidated financial statements. Defined Benefit Measurement Date In April 2015, the FASB issued an update to provide a practical expedient on the measurement date of defined benefit plan assets and obligations including interim remeasurements related to significant events. The guidance is effective prospectively beginning in fiscal year 2 017, with early adoption permitted. The guidance will not have a significant impact on our consolidated financial statements . |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Jun. 30, 2015 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | 3. DISCONTINUED OPERATIONS During the second quarter of 2012, the Board of Directors authorized the sale of our Homecare business which has been accounted for as a discontinued operation. In the third quarter of 2012, we sold the majority of our Homecare business to The Linde Group for sa le proceeds of € 590 million ($ 777 ) and recognized a gain of $ 207.4 ($ 150.3 after-tax, or $ .70 per share). Additionally, d uring the third quarter of 2012, an impairment charge of $ 33.5 ($ 29 .5 after-tax, or $ .14 per share) was recorded to write down the remaining business, which was primarily in the United Kingdom and Ireland, to its estimated net realizable value. In the fourth quarter of 2013, an additional charge of $ 18.7 ($ 13.6 after-tax, or $ .06 per share) was recorded to update our estimate of the net realizable value. In the first quarter of 2014, we sold the remaining portion of the Homecare business for £ 6.1 million ($ 9.8 ) and recorded a gain on sale of $ 2.4 . We entered into an operat ions guarantee related to the obligations under certain homecare contracts assigned in connection with the transaction. Our maximum potential payment under the guarantee is £ 20 million (approximately $ 31 at 30 June 2015 ), and our exposure will be extingui shed by 2020 . The fair value of the guarantee is not material . |
Business Restructuring and Cost
Business Restructuring and Cost Reduction Actions | 9 Months Ended |
Jun. 30, 2015 | |
Business Restructuring and Cost Reduction Actions [Abstract] | |
Business Restructuring and Cost Reduction Actions | 4. BUSINESS RESTRUCTURING AND COST REDUCTION ACTIONS The charges we record for business restructuring and cost reduction actions have been excluded from segment operating income and are reflected on the consolidated income statements as “Business Restructuring and Cost Reduction Actions.” Business Realignment and Reorganization On 18 September 2014, we announced plans to reorganize the Company, including realignment of our businesses in new reporting segments and other organizational changes, effective as of 1 October 2014. Refer to Note 19 , Business Segment Information, for additional details. As a result of this reorganization, we will incur ongoing severance and other charges. For the three and nine months ended 30 June 2015 , we recognized an expense of $ 58.2 ($ 38.8 after-tax, or $ .18 per share) and $ 146.0 ($ 98.7 after-tax, or $ .45 per share), respectively. Severance and other benefits totaled $ 22.5 and $ 110.3 for the three and nine months ended 30 June 2015 , respectively. During the first nine months of fiscal year 2015 , the reorganization has resulted in the elimination of approximately 1,500 positions. The third quarter expense also included $ 35.7 for asset and associated contract actions related to the exit of product lines within the Industrial Gases – Global and Materials Technologies segments. The 2015 cha rge s related to the segment s as follows: $ 19.9 in Industrial Gases – Americas , $ 40.0 in Industrial Gases – EMEA , $ 8.1 in Industrial Gases – Asia , $ 31.4 in Industrial Gases – Global , $ 19.3 in Materials Technologies , and $ 27.3 in Corporate and other . During the fourth quar ter of 2014, an expense of $ 12.7 ($ 8.2 after-tax, or $ .04 per share) was incurred relating to the elimination of approximately 50 position s. The 2014 charge related to the segments as follows: $ 2.9 in Industrial Gases – Americas , $ 3.1 in Industrial Gases – EMEA , $ 1.5 in Industrial Gases – Asia , $ 1.5 in Industrial Gases – Global , $ 1.6 in Materials Technologies , and $ 2.1 in Corporate and other . The following table summarizes the carrying amount of the accrual for the business realignment and reorganization at 30 June 2015: Severance and Asset Other Benefits Actions/Other Total 2014 Charge $ 12.7 $ - $ 12.7 Cash expenditures (2.2) - (2.2) 30 September 2014 $ 10.5 $ - $ 10.5 2015 Charge 110.3 35.7 146.0 Amount reflected in pension liability (11.3) - (11.3) Noncash expenses - (27.8) (27.8) Cash expenditures (88.6) (.6) (89.2) Currency translation adjustment (.3) - (.3) 30 June 2015 $ 20.6 $ 7.3 $ 27.9 2013 Plan During the fourth quarter of 2013, we recorded an expense of $ 231.6 ($ 157.9 after-tax, or $ .74 per share) reflecting actions to better align our cost structure with current market conditions. The asset and contract actions primarily im pacted the Electronics Materials business due to continued weakness in the photovoltaic (PV) and light-emitting diode (LED) markets. The severance and other contractual benefits primarily impacted our Industrial Gases business es and corporate functions in response t o weaker than expected business conditions in Europe and Asia, reorganization of our operations and functional areas, and previously announced senior executive changes. The following table summarizes the carrying amount of the accrual for the 2013 Plan at 30 June 2015: Severance and Asset Contract Other Benefits Actions Actions/Other Total 2013 Charge $ 71.9 $ 100.4 $ 59.3 $ 231.6 Amount reflected in pension liability (6.9) - - (6.9) Noncash expenses - (100.4) - (100.4) Cash expenditures (3.0) - (58.5) (61.5) Currency translation adjustment .4 - - .4 30 September 2013 $ 62.4 $ - $ .8 $ 63.2 Cash expenditures (51.7) - (.8) (52.5) Currency translation adjustment (.6) - - (.6) 30 September 2014 $ 10.1 $ - $ - $ 10.1 Cash expenditures (9.8) - - (9.8) Currency translation adjustment (.3) - - (.3) 30 June 2015 $ - $ - $ - $ - |
Business Combinations
Business Combinations | 9 Months Ended |
Jun. 30, 2015 | |
Business Combinations | |
Business Combinations | 5. BUSINESS COMBINATIONS On 30 December 2014, we acquired our partner’s equity ownership interest in a liquefied industrial gases production joint venture in North America for $ 22.6 , which increased our ownership from 50 % to 100 %. The transaction was accounted for as a business combination, and subsequent to the acquisition, the results are consolidated within our Industrial Gases – Americas segment. The assets acquired, primarily plant and equipment, were recorded at their fair market values as of the acquisition date. The acquisition date fair value of the previously held equity interest was determined using a discounted cash flow analysis under the income approach. The nine months ended 30 June 2015 include a gain of $ 17.9 ($ 11.2 after-tax, or $ .05 per share) as a result of revaluing our previously held equity interest to fair value as of the acquisition date. This gain is reflected on the consolidated income statements as “Gain on previously held equity interest.” |
Inventories
Inventories | 9 Months Ended |
Jun. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | 6. INVENTORIES The components of inventories are as follows: 30 June 30 September 2015 2014 Finished goods $ 514.7 $ 493.9 Work in process 32.2 34.1 Raw materials, supplies and other 248.2 283.4 $ 795.1 $ 811.4 Less: Excess of FIFO cost over LIFO cost (113.2) (105.4) Inventories $ 681.9 $ 706.0 First-in, first-out (FIFO) cost approximates replacement cost. |
Equity Affiliates
Equity Affiliates | 9 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 7. EQUITY AFFILIATES In 2012, we entered into an agreement with ACWA Holding to pursue industrial gas supply projects in Saudi Arabia. On 19 April 2015, a joint venture between Air Products and ACWA Holding entered into a 20-year oxygen and nitrogen supply agreement to supply Saudi Aramco’s oil refinery and power plant being built in Jazan , Saudi Arabia. Air Products will own 25 % of the joint venture, invest approximately $ 100 , and guarantee the repayment of its share of an equity bridge loan. ACWA also guarantees their share o f the loan. Air Products has also entered into a sale of equipment contract with the joint venture to engineer, procure, and construct the industrial gas facilities that will supply the gases to Saudi Aramco . We provided bank guarantees to the joint ventur e to support our performance under the contract. For further detail s on the guarantees, see Note 12 , Commitments and Contingencies. We determined that the joint venture is a variable interest entity, for which we are not the primary beneficiary. Ther e have been no other significant changes to our investments in equity affiliates during fiscal year 2015. |
Goodwill
Goodwill | 9 Months Ended |
Jun. 30, 2015 | |
Goodwill Disclosure [Abstract] | |
Goodwill | 8. GOODWILL Changes to the carrying amount of consolidated goodwill by segment fo r the nine months ended 30 June 2015 are as follows: Industrial Industrial Industrial Industrial Gases– Gases– Gases– Gases– Materials Americas EMEA Asia Global Technologies Total Balance at 30 September 2014 $ 327.2 $ 433.3 $ 140.0 $ 21.4 $ 315.4 $ 1,237.3 Acquisitions and adjustments 2.2 3.2 - - - 5.4 Currency translation and other (14.5) (47.3) (3.7) (1.1) (12.3) (78.9) Balance at 30 June 2015 $ 314.9 $ 389.2 $ 136.3 $ 20.3 $ 303.1 $ 1,163.8 30 June 30 September 2015 2014 Goodwill, gross $ 1,430.0 $ 1,522.1 Accumulated impairment losses (A) (266.2) (284.8) Goodwill, net $ 1,163.8 $ 1,237.3 (A) Amount is attributable to the Industrial Gases – Americas segment and includes currency translation of $39.0 and $20.4 as of 30 June 2015 and 30 September 2014, respectively. Due to the reorganization of our business effective as of 1 October 2014, we conducted a goodwill impairment test in the first quarter of 2015 on our thirteen reporting units. We determined that the fair value of all of our reporting units , except Latin Ame rica within the Industrial Gases – Americas segment , substantially exceeded their carrying value. The Latin America reporting unit is composed predominately of our Indura business acquired by the Company in 2012, with business units in Chile, Colombia , and other Latin Am e rica countries. In the fourth quarter of 2014, we recorded an impairment of goodwill of $ 305.2 related to this reporting unit. As of 1 October 2014, t he fair value of our Latin America reporting unit exceeded its carrying value by approximately 10 % primar ily due to depreciation, amortization, and the impact of a Chilean tax rate change which had previously been reflected in the determination of the fair value of the reporting unit but not reflected in the carrying value until the enactment date . The fair v alue of the Latin America reporting unit at 1 October 2014 was estimated based on a similar outlook and assumptions as those used in the 2014 impairm ent testing. As of 30 June 2015 , the carrying value of Latin America goodwill was $ 218.3 , or approximately 1.2 % of consolidated total assets. Management judg ment is required in the determination of each assumption utilized in the valuation model, and actual results could differ from the estimates. Revenue growth and EBITDA margin assumptions are two primary drivers of the fair value of our Latin America reporting unit, and these assumptions are underpinned by our expectations for long-term manufacturing growth in the region. We will continue to evaluate goodwill on an annual basis as of the beginning of our f ourth fiscal quarter and whenever there are indicators of potential impairmen t. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Jun. 30, 2015 | |
Financial Instruments [Abstract] | |
Financial Instruments | 9. FINANCIAL INSTRUMENTS Currency Price Risk Management Our earnings, cash flows, and financial position are exposed to foreign currency risk from foreign currency-denominated transactions and net investments in foreign operations. It is our policy to minimize our cash flow volatility from changes in currency exchange rates. This is accomplished by identifying and evaluating the risk that our cash flows will change in value due to changes in exchange rates and by executing the appropriate strategies necessary to manage such exposures. Our objective is to maintain economically balanced currency risk management strategies that provide adequate downside protection. Forward Exchange Contracts We enter into forward exchange contracts to reduce the cash flo w exposure to foreign currency fluctuations associated with highly anticipated cash flows and certain firm commitments, such as the purchase of plant and equipment. We also enter into forward exchange contracts to hedge the cash flow exposure on intercompa ny loans. The portfolio of forward exchange contracts consists primarily of Euros and U.S. dollars as well as Euros and British Pound Sterling. The maximum remaining term of any forward exchange contract currently outstanding and designated as a cash flow hedge at 30 June 2015 is 3.5 years . Forward exchange contracts are also used to hedge the value of investments in certain foreign subsidiaries and affiliates by creating a liability in a currency in which we have a net equity position. The p rimary currency pair in this portfolio of forward exchange contracts is Euros and U.S. dollars. In addition to the forward exchange contracts that are designated as hedges, we utilize forward exchange contracts that are not designated as hedges. These contracts are used to economically hedge foreign currency-denominated monetary assets and liabilities, primarily working capital. The primary objective of these forward exchange contracts is to protect the value of foreign currency - denominated monetary ass ets and liabilities from the effects of volatility in foreign exchange rates that might occur prior to their receipt or settlement. This portfolio of forward exchange contracts comprises many different foreign currency pairs, with a profile that changes fr om time to time depending on business activity and sourcing decisions. The table below summarizes our outstanding currency price risk management instruments: 30 June 2015 30 September 2014 Years Years US$ Average US$ Average Notional Maturity Notional Maturity Forward Exchange Contracts: Cash flow hedges $ 4,375.9 .5 $ 2,965.5 .7 Net investment hedges 515.6 4.1 685.9 2.9 Not designated 1,298.9 .4 381.5 .1 Total Forward Exchange Contracts $ 6,190.4 .8 $ 4,032.9 1.0 In addition to the above, we use foreign currency - denominated debt to hedge the foreign currency exposures of our net investment in certain foreign subsidiaries. The designated foreign currency - denominated deb t and related accrued interest include d € 757.6 million ($ 844.3 ) and Chinese Renminbi 1,108.6 million ($ 178.8 ) at 30 June 2015 and € 879.3 million ($ 1,110.6 ) and Chinese Renminbi 900.9 million ($ 146.8 ) at 30 September 2014 . The designated foreign currency - denominated debt is located on the balance sheet in the long - term debt and short-term borrowings line items. Debt Portfolio Management It is our policy to identify on a continuing basis the need for debt capital and evaluate the financial risks inherent in funding the Company with debt capi tal. Reflecting the result of this ongoing review, the debt portfolio and hedging program are managed with the objectives and intent to (1) reduce funding risk with respect to borrowings made by us to preserve our access to debt capital and provide debt ca pital as required for funding and liquidity purposes, and (2) manage the aggregate interest rate risk and the debt portfolio in accordance with certain debt management parameters . Interest Rate Management Contracts We enter into interest rate swaps to change the fixed/variable interest rate mix of our debt portfolio in order to maintain the percentage of fixed- and variable-rate debt within the parameters set by management. In accordance with these parameters, the agreements are used to manage interest rate risks and costs inherent in our debt portfolio. Our interest rate management portfolio generally consists of fixed-to-floating interest rate swaps (which are designated as fair value hedges), pre-issuance interest rate swaps and treasury locks (which hedge the interest rate risk associated with anticipated fixed-rate debt issuances and are designated as cash flow hedges), and floating-to-fixed interest rate swaps (which are designated as cash flow hedges ) . At 30 June 2015 , the outstanding interest rat e swaps were denominated in U.S. dollars. The notional amount of the interest rate swap agreements is equal to or less than the designated debt being hedged. When interest rate swaps are used to hedge variable-rate debt, the indices of the swaps and the de bt to which they are designated are the same. It is our policy not to enter into any interest rate management contracts that lever a move in interest rates on a greater than one-to-one basis. Cross Currency Interest Rate Swap Contracts We enter into cross currency interest rate swap contracts when our risk management function deems necessary. These contracts may entail both the exchange of fixed- and floating-rate interest payments periodically over the life of the agreement and the exchange of one currency for another currency at inception and at a specified future date. These contracts effectively convert the currency denomination of a debt instrument into another currency in which we have a net equity position while changing the interest rate characterist ics of the instrument. The contracts are used to hedge either certain net investments in foreign operations or nonfunctional currency cash flows related to intercompany loans. The current cross currency interest rate swap portfolio primarily consists of fixed -to - fixed swaps between U.S. dollars and offshore Chinese Renminbi , U.S. dollars and British Pound Sterling, U.S. dollars and Chilean Pesos, as well as U.S. dollars and Euros. The following table summarizes our outstanding interest rate management contr acts and cross currency interest rate swaps: 30 June 2015 30 September 2014 Average Years Average Years US$ Average Receive Average US$ Average Receive Average Notional Pay % % Maturity Notional Pay % % Maturity Interest rate swaps (fair value hedge) $ 600.0 LIBOR 2.77 % 3.5 $ 600.0 LIBOR 2.77 % 4.3 Cross currency interest rate swaps (net investment hedge) $ 767.5 3.43 % 2.02 % 3.0 $ 404.5 3.70 % 1.15 % 2.7 Interest rate swaps (cash flow hedge) $ - - % - % - $ 431.7 2.36 % .71 % .4 Cross currency interest rate swaps (cash flow hedge) $ 637.7 4.26 % 3.00 % 3.7 $ 446.3 3.39 % 2.86 % 4.2 Cross currency interest rate swaps (not designated) $ 5.6 3.62 % .05 % .1 $ 15.4 3.62 % .05 % .8 The table below summarizes the fair value and balance sheet location of our outstanding derivatives: Balance Sheet 30 June 30 September Balance Sheet 30 June 30 September Location 2015 2014 Location 2015 2014 Derivatives Designated as Hedging Instruments: Forward exchange contracts Other receivables $ 65.3 $ 78.9 Accrued liabilities $ 145.2 $ 61.8 Interest rate management contracts Other receivables 29.5 21.1 Accrued liabilities - 18.8 Other noncurrent Other noncurrent Forward exchange contracts assets 67.0 10.5 liabilities 3.3 3.1 Other noncurrent Other noncurrent Interest rate management contracts assets 98.7 54.6 liabilities .8 .3 Total Derivatives Designated as Hedging Instruments $ 260.5 $ 165.1 $ 149.3 $ 84.0 Derivatives Not Designated as Hedging Instruments: Forward exchange contracts Other receivables $ 37.3 $ 4.0 Accrued liabilities $ 44.7 $ 1.9 Interest rate management contracts Other receivables 2.6 2.6 Accrued liabilities - - Other noncurrent Other noncurrent Forward exchange contracts assets 17.7 - liabilities .3 - Total Derivatives Not Designated as Hedging Instruments $ 57.6 $ 6.6 $ 45.0 $ 1.9 Total Derivatives $ 318.1 $ 171.7 $ 194.3 $ 85.9 The table below summarizes the gain or loss related to our cash flow hedges, fair value hedges, net investment hedges, and derivatives not designated as hedging instrument s: Three Months Ended 30 June Forward Foreign Currency Exchange Contracts Debt Other (A) Total 2015 2014 2015 2014 2015 2014 2015 2014 Cash Flow Hedges, net of tax: Net gain (loss) recognized in OCI (effective portion) $ 1.8 $ (8.7) $ - $ - $ (15.4) $ (8.2) $ (13.6) $ (16.9) Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) - (1.2) - - - - - (1.2) Net (gain) loss reclassified from OCI to other income (expense), net (effective portion) (2.0) 3.0 - - 2.2 (.5) .2 2.5 Net (gain) loss reclassified from OCI to interest expense (effective portion) .3 (.6) - - 1.1 - 1.4 (.6) Net (gain) loss reclassified from OCI to other income (expense), net (ineffective portion) - .2 - - - - - .2 Fair Value Hedges: Net gain (loss) recognized in interest expense (B) $ - $ - $ - $ - $ (4.5) $ 2.8 $ (4.5) $ 2.8 Net Investment Hedges, net of tax: Net gain (loss) recognized in OCI $ (13.6) $ 1.5 $ (20.0) $ 4.6 $ (20.3) $ (.9) $ (53.9) $ 5.2 Derivatives Not Designated as Hedging Instruments: Net gain (loss) recognized in other income (expense), net (C) $ (4.3) $ (4.7) $ - $ - $ - $ - $ (4.3) $ (4.7) Nine Months Ended 30 June Forward Foreign Currency Exchange Contracts Debt Other (A) Total 2015 2014 2015 2014 2015 2014 2015 2014 Cash Flow Hedges, net of tax: Net gain (loss) recognized in OCI (effective portion) $ (44.2) $ 10.7 $ - $ - $ 6.4 $ (9.9) $ (37.8) $ .8 Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) .3 (.2) - - - - .3 (.2) Net (gain) loss reclassified from OCI to other income (expense), net (effective portion) 40.7 (15.6) - - (11.0) (4.2) 29.7 (19.8) Net (gain)loss reclassified from OCI to interest expense (effective portion) .1 (1.4) - - 2.0 .1 2.1 (1.3) Net (gain) loss reclassified from OCI to other income (expense), net (ineffective portion) .6 (.5) - - - - .6 (.5) Fair Value Hedges: Net gain (loss) recognized in interest expense (B) $ - $ - $ - $ - $ 3.5 $ (.6) $ 3.5 $ (.6) Net Investment Hedges, net of tax: Net gain (loss) recognized in OCI $ 56.5 $ (15.1) $ 87.8 $ (7.1) $ 17.1 $ 6.7 $ 161.4 $ (15.5) Derivatives Not Designated as Hedging Instruments: Net gain (loss) recognized in other income (expense), net (C) $ (11.5) $ (4.9) $ - $ - $ - $ .2 $ (11.5) $ (4.7) (A) Other includes the impact on other comprehensive income (OCI) and earnings primarily related to interest rate and cross currency interest rate swaps. (B) The impact of fair value hedges noted above was largely offset by gains and losses resulting from the impact of changes in related interest rates on recognized outstanding debt. (C) The impact of the non-designated hedges noted above was largely offset by gains and losses resulting from the impact of changes in exchange rates on recognized assets and liabilities denominated in nonfunctional currencies. The amount of cash flow hedges’ unrealized gains and losses at 30 June 2015 that are expected to be reclassified to earnings in the next twelve months is not material. The cash flows related to all derivative contracts are reported in the operating activities section of the consolidated statements of cash flows . Credit Risk-Related Contingent Features Certain derivative instruments are executed under agreements that require us to maintain a minimum credit rating with both Standard & Poor’s and Moody’ s. If our credit rating falls below this threshold, the counterparty to the derivative instruments has the right to request full collateralization on the derivatives’ net liability position. The net liability position of derivatives with credit risk-relate d contingent features was $ 1.2 as of 30 June 2015 and $ 2.1 as of 30 September 2014 . Because our current credit rating is above the various pre-established thresholds, no collateral has been posted on these liability positions . Counterparty Cre dit Risk Management We execute financial derivative transactions with counterparties that are highly rated financial institutions, all of which are investment grade at this time. Some of our underlying derivative agreements give us the right to require the institution to post collateral if its credit rating falls below the pre-established thresholds with Standard & Poor’s or Moody’s. These are the same agreements referenced in Credit Risk-Related Contingent Features above. The collateral that the counterpar ties would be required to post was $ 189.4 as of 30 June 2015 and $ 107.8 as of 30 September 2014 . No financial institution is required to post collateral at this time, as all have credit ratings at or above the threshold . |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Jun. 30, 2015 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | 10 . FAIR VALUE MEASUREMENTS Fair value is defined as an exit price, i.e., the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows: Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — Inputs that are o bservable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the asset or liability. Level 3 — Inputs that are unobservable for the asset or liability based on our own assumptions (a b out the assumptions market participants would use in pricing the asset or liability). The methods and assumptions used to measure the fair value of financial instruments are as follows : Derivatives The fair value of our interest rate management contracts and forward exchange contracts are quantified using the income approach and are based on estimates using standard pricing models. These models take into account the value of future cash flows as of the balance sheet date, discounted to a present value usin g discount factors that match both the time to maturity and currency of the underlying instruments. The computation of the fair values of these instruments is generally performed by the Company. These standard pricing models utilize inputs which are derive d from or corroborated by observable market data such as interest rate yield curves and currency spot and forward rates. Therefore, the fair value of our derivatives is classified as a level 2 measurement. On an ongoing basis, we randomly test a subset of our valuations against valuations received from the transaction’s counterparty to validate the accuracy of our standard pricing models. Counterparties to these derivative contracts are highly rated financial institutions. Refer to Note 9, Financial I nstruments, for a description of derivative instruments, including details on the balance sheet line classifications. Long-term Debt The fair value of our debt is based on estimates using standard pricing models that take into account the value of future c ash flows as of the balance sheet date, discounted to a present value using discount factors that match both the time to maturity and currency of the underlying instruments. These standard valuation models utilize observable market data such as interest ra te yield curves and currency spot rates. Therefore, the fair value of our debt is classified as a level 2 measurement. We generally perform the computation of the fair value of these instruments. The carrying values and fair values of financial instruments were as follows: 30 June 2015 30 September 2014 Carrying Value Fair Value Carrying Value Fair Value Assets Derivatives Forward exchange contracts $ 187.3 $ 187.3 $ 93.4 $ 93.4 Interest rate management contracts 130.8 130.8 78.3 78.3 Liabilities Derivatives Forward exchange contracts $ 193.5 $ 193.5 $ 66.8 $ 66.8 Interest rate management contracts .8 .8 19.1 19.1 Long-term debt, including current portion 4,775.4 4,992.2 4,889.8 5,130.7 The carrying amounts reported in the balance sheet for cash and cash items, trade receivables, payables and accrued liabilities, accrued income taxes, and short-term borrowings approximate fair value due to the short-term nature of these instruments. According ly, these items have been excluded from the above table. The following table summarizes assets and liabilities measured at fair value on a recurring basis in the consolidated balance sheets: 30 June 2015 30 September 2014 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Assets at Fair Value Derivatives Forward exchange contracts $ 187.3 $ - $ 187.3 $ - $ 93.4 $ - $ 93.4 $ - Interest rate management contracts 130.8 - 130.8 - 78.3 - 78.3 - Total Assets at Fair Value $ 318.1 $ - $ 318.1 $ - $ 171.7 $ - $ 171.7 $ - Liabilities at Fair Value Derivatives Forward exchange contracts $ 193.5 $ - $ 193.5 $ - $ 66.8 $ - $ 66.8 $ - Interest rate management contracts .8 - .8 - 19.1 - 19.1 - Total Liabilities at Fair Value $ 194.3 $ - $ 194.3 $ - $ 85.9 $ - $ 85.9 $ - |
Retirement Benefits
Retirement Benefits | 9 Months Ended |
Jun. 30, 2015 | |
Retirement Benefits [Abstract] | |
Retirement Benefits | 11. RETIREMENT BENEFITS The components of net periodic benefit cos t for the defined benefit pension and other postretirement benefit plans for the three and nine months ended 30 June 2015 and 2014 were as follows: Pension Benefits Other Benefits 2015 2014 2015 2014 Three Months Ended 30 June U.S. International U.S. International Service cost $ 10.6 $ 7.8 $ 10.6 $ 9.2 $ .7 $ .9 Interest cost 31.1 14.2 32.7 16.9 .6 .5 Expected return on plan assets (50.5) (20.0) (47.0) (19.7) - - Prior service cost amortization .7 (.1) .7 - - - Actuarial loss amortization 19.9 10.6 19.6 9.1 .2 .4 Settlements and curtailments 3.3 - - - - - Special termination benefits .8 - - - - - Other .2 .4 - .6 - - Net periodic benefit cost $ 16.1 $ 12.9 $ 16.6 $ 16.1 $ 1.5 $ 1.8 Pension Benefits Other Benefits 2015 2014 2015 2014 Nine Months Ended 30 June U.S. International U.S. International Service cost $ 31.8 $ 23.9 $ 31.9 $ 27.0 $ 2.1 $ 2.5 Interest cost 93.6 43.4 98.1 50.4 1.7 1.7 Expected return on plan assets (151.5) (60.2) (140.9) (58.5) - - Prior service cost amortization 2.1 - 2.1 .1 - - Actuarial loss amortization 59.3 31.2 58.8 26.8 .6 1.3 Settlements and curtailments 18.9 (.1) - .5 - - Special termination benefits 5.6 .9 .2 - - - Other 1.3 1.4 - 1.6 - - Net periodic benefit cost $ 61.1 $ 40.5 $ 50.2 $ 47.9 $ 4.4 $ 5.5 Net periodic benefit cost is primarily included in cost of sales, selling and administrative expense, and pension settlement loss on our consolidated income statements. The amount of net periodic benefit cost capitalized in 2015 and 2014 was not material. Our U.S. supplemental pension plan provides for a lump sum benefit payment option at the time of retirement, or for corporate officers, six months after their retirement date. Pension settlements are immediately recognized when cash pay ments exceed the sum of the service and interest cost components of net periodic pension cost of the plan for the fiscal year. The participant’s vested benefit is considered settled upon cash payment of the lump sum. For the three and nine months ended 30 June 2015 , we recognized a pension settlement charge of $1.6 and $14.2, respectively, to accelerate recognition of a portion of actuarial losses deferred in accumulated other comprehensive loss associated with the U.S. supplemental pension plan. Special termination benefits for the three and nine months ended 30 June 2015 are $ .8 and $ 6.5 , respectively, related to the business restructuring and cost reduction actions . In addition, curtailment losses for the three and nine months ended 30 June 2015 of $ 1.7 and $ 4 . 8 , respectively, are also reflected in the business restructuring and cost reduction actions charge . For the nine months ended 30 June 2015 and 2014 , our cash contributions to funded pension plans and benefit payments under unfunde d pension plans were $ 119.2 and $ 64.7 , respectively. Total contributions for fiscal 2015 are expected to be approximately $ 130.0 to $ 150.0 . During fiscal 2014 , total contributions were $ 78.2 . |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jun. 30, 2015 | |
Commitments And Contingencies [Abstract] | |
Commitments and Contingencies | 12. COMMITMENTS AND CONTINGENCIES Litigation We are involved in various legal proceedings, including competition, environmental, health, safety, product liability, and insurance matters. In September 2010, the Brazilian Administrative Council for Economic Defense (CADE) issued a decision against our Brazilian subsidiary, Air Products Brasil Ltda., and several other Brazilian industrial gas companies for alleged anticompetitive activities. CADE imposed a civil fine of R$ 179.2 million (approxima t ely $ 58 at 30 June 2015 ) on Air Products Brasil Ltda. This fine was based on a recommendation by a unit of the Brazilian Ministry of Justice , whose investigation began in 2003 , alleging violation of competition laws with respect to the sale of i ndustrial and medical gases. The fines are based on a percentage of our total revenue in Brazil in 2003. We have denied the allegations made by the authorities and filed an appeal in October 2010 with the Brazilian courts. On 6 May 2014, our appeal was gra nted and the fine against Air Products Brasil Ltda. was dismissed. CADE has appealed that ruling and the matter remains pending. We, with advice of our outside legal counsel, have assessed the status of this matter and have concluded that , although an adve rse final judgment a fter exhausting all appeals is possible, such a judgment is not probable. As a result , no provision has been made in the consolidated financial statements. We estimate the maximum possible loss to be the full amount of the fine of R$179 .2 million ( approximately $ 58 at 30 June 2015 ) plus interest accrued thereon until final disposition of the proceedings. While we do not expect that any sums we may have to pay in connection with this or any other legal p roceeding would have a m aterial adverse effect on our consolidated financial position or net cash flows, a future charge for regulatory fines or damage awards could have a significant impact on our net income in the period in which it is recorded. Environmental In the normal cour se of business, we are involved in legal proceedings under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA: the federal Superfund law); Resource Conservation and Recovery Act (RCRA); and similar state and foreign environme ntal laws relating to the designation of certain sites for investigation or remediation. Presently, there are approximately 37 sites on which a final settlement has not been reached where we, along with others, have been designated a potentially re sponsible party by the Environmental Protection Agency or are otherwise engaged in investigation or remediation, including cleanup activity at certain of our current and former manufacturing sites. We continually monitor these sites for which we have envir onmental exposure. Accruals for environmental loss contingencies are recorded when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated . The consolidated balance sheets at 30 June 2015 and 30 September 2014 included an accrual of $ 82.5 and $ 86.2 , respectively, primarily as part of other noncurrent liabilities. The environmental liabilities will be paid over a period of up to 3 0 years . We estimate the exposure for environmental loss conting encies to range from $ 82 to a reasonably possible upper exposure of $ 95 as of 30 June 2015 . Actual costs to be incurred at identified sites in future periods may vary from the estimates, given inherent uncertainties in eval uating environmental exposures. Using reasonably possible alternative assumptions of the exposure level could result in an increase to the environmental accrual. Due to the inherent uncertainties related to environmental exposures, a significant increase t o the reasonably possible upper exposure level could occur if a new site is designated, the scope of remediation is increased, a different remediation alternative is identified, or a significant increase in our proportionate share occurs. We do not expect that any sum we may have to pay in connection with environmental matters in excess of the amounts recorded or disclosed above would have a material adverse impact on our financial position or results of operations in any one year. PACE At 30 June 2015 , $ 31.4 of the environmental accrual was related to the Pace facility. In 2006, we sold our Amines business, which included operations at Pace, Florida , and recognized a liability for retained environmental obligations associated with remediation a ctivities at Pace. We are required by the Florida Department of Environmental Protection (FDEP) and the United States Environmental Protection Agency (USEPA) to continue our remediation efforts. We estimated that it would take 20 years to complete the grou ndwater remediation, and the costs through completio n were estimated to range from $ 42 to $ 52 . As no amount within the range was a better estimate than another, we recognized a pretax expense in fiscal 2006 of $ 42 as a component of income from discontinued operations and recorded an environmental accrual of $ 42 in continuing operations on the consolidated balance sheets. There has been no change to the estimated exposure range related to the Pace facility. We have implemented many of the remedial correcti ve measures at the Pace facility required under 1995 Consent Orders issued by the FDEP and the USEPA. Contaminated soils have been bioremediated , and the treated soils have been secured in a lined on-site disposal cell. Several ground water recovery systems have been installed to contain and remove contamination from groundwater. We completed an extensive assessment of the site to determine how well existing measures are working, what additional corrective measures may be needed, and wh ether newer remediation technologies that were not available in the 1990s might be suitable to more quickly and effectively remove groundwater contaminants. Based on assessment results, we completed a focused feasibility study that has identified alternati ve approaches that may more effectively remove contaminants . We continue to review alternative remedial approaches with the FDEP. In the first quarter of 2015, we entered into a new Consent Order with the FDEP requiring us to continue our remediation effor ts at the Pace facility. We expect the costs we will incur under the new Consent Order to be consistent with our previous estimates. PIEDMONT At 30 June 2015 , $ 18.3 of the environmental accrual was related to the Piedmont site. On 30 June 2008, we sold our Elkton, Maryland , and Piedmont, South Carolina , production facilities and the related North American atmospheric emulsions and global pressure sensitive adhesives businesses. In connection with the sale, we recognized a liabili ty for retained environmental obligations associated with remediation activities at the Piedmont site. This site is under active remediation for contamination caused by an insolvent prior owner. We are required by the South Carolina Department of Health an d Environmental Control to address both contaminated soil and groundwater. Numerous areas of soil contamination have been addressed, and contaminated groundwater is being recovered and treated. We estimat e that it will take until 2017 to complete source ar ea remediation and another 15 years thereafter to complete groundwater recovery, with costs through completion estimated to be $ 24 . We recognized a pretax expense in 2008 of $ 24 as a component of income from discontinued operations and recorded an environm ental liability of $ 24 in continuing operations on the consolidated balance sheets. There has been no change to the estimated exposure. PA SADENA At 30 June 2015 , $ 11.7 of the environmental accrual was related to the Pasadena site. During the fourth quarter of 2012, management committed to permanently shutting down our polyurethane intermediates (PUI) production facility in Pasadena, Texas. In shutting down and dismantling the facility, we have undertaken certain obligations related to soil and groundwater contaminants. We have been pumping and treating groundwater to control off -site contaminant migration in compliance with regulatory requirements and under the approval of the Texas Commission on Environmental Quality (TCEQ). We estimate th at the pump and treat system will continue to operate until 2042. We plan to perform additional work to address other environmental obligations at the site. This additional work includes remediating as required impacted soils, investigating groundwater wes t of the former PUI facility, performing post closure care for two closed RCRA surface impoundment units and establishing engineering controls. In 2012, we estimated the total exposure at this site to be $13. There has been no change to the estimated expos ure. Guarantees During the third quarter of 2015, we entered into a 25 % owned joint venture to supply oxygen and nitrogen to Saudi Aramco’s Jazan oil refinery and power plant in Saudi Arabia. Until 2020, an equity bridge loan has been provided to the joint venture to fund equity commitments, and we guaranteed the repayment of our 25 % share of this loan. Our venture partner guaranteed repayment of their share. Our maximum exposure under the guarantee is approximately $ 100 . Air Products has also entered into a sale of equipment contract with the joint venture to engineer, procure , and construct the industrial gas facilities that will supply gases to Saudi Aramco . We will provide bank guarantees to the joint venture of up to $ 326 to support our performance unde r the contract. The fair value of the guarantees is not material. |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Jun. 30, 2015 | |
Share-Based Compensation [Abstract] | |
Share-Based Compensation | 13. SHARE-BASED COMPENSATION We have various share-based compensation programs, which include de ferred stock units, stock options, and restricted stock. Under all programs, the terms of the awards are fixed at the grant date. We issue shares from treasury stock upon the payout of deferred stock units, the exercise of stock options, and the issuance of restricted stock awards. As of 30 June 2015 , there wer e 5,115,244 shares available for future grant under our Long-Term Incentive Plan, which is shareholder approved. Share-based compensation cost recognized in the consolidated income statements is summarized below: Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 Before-Tax Share-Based Compensation Cost $ 12.5 $ 9.1 $ 37.3 $ 32.5 Income Tax Benefit (4.4) (3.2) (13.1) (11.4) After-Tax Share-Based Compensation Cost $ 8.1 $ 5.9 $ 24.2 $ 21.1 Before-tax s hare-based compensation cost is primarily included in selling and administrative expense on our consolidated income statement s . T he amount of share-based compensation cost capitalized in 2015 and 2014 was not material. Deferred Stock Units During the nine months ended 30 June 2015 , we granted 119,272 market-based deferred stock units. The market-based deferred stock units vest as long as the employee continues to be employed by the Company and upon the achievement of the performance target. The performance target, which is approved by the Compensation Committee, is the Company’s relative total shareholder return in relation to a defined peer group over the three - year performance period beginning 1 October 2014 and ending 30 September 2017. The market-based deferred stock units had an estimated grant-da te fair value of $ 194.51 per unit. The grant-date fair value was estimated using a Monte Carlo simulation model as these equity awards were tied to a market condition. The model utilizes multiple input variables that determine the pro bability of satisfying the market condition stipulated in the grant and calculates the fair value of the awards. We generally expense the grant-date fair value of these awards on a straight line basis over the vesting period. The calculation of the fair va lue of market-based deferred stock units used the following assumptions: Expected volatility 19.6 % Risk-free interest rate .9 % Expected dividend yield 2.5 % In addition, during the nine months ended 30 June 2015 , we granted 138,010 time - based deferred stock units at a weighted-a verage grant-date fair value of $ 144.30 . Stock Options During the nine months ended 30 June 2015 , we granted 180,619 stock options at a weighted-average exercise price of $ 144.19 and an estimated fair value of $ 37.19 per option. The fair value of these opti ons was estimated using a Black- Scholes option valuation model that used the following assumption s: Expected volatility 30.3 % Risk-free interest rate 2.2 % Expected dividend yield 2.6 % Expected life (in years) 7.5 Restricted Stock During the nine mont hs ended 30 June 2015 , we issu ed 19,691 restricted shares at a weighted-average grant-date fair value of $ 144.09 . |
Equity
Equity | 9 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Equity | 14 . EQUITY The following is a summary of the changes in total equity: Three Months Ended 30 June 2015 2014 Non- Non- Air controlling Total Air controlling Total Products Interests Equity Products Interests Equity Balance at 31 March $ 7,332.5 $ 143.8 $ 7,476.3 $ 7,370.9 $ 156.9 $ 7,527.8 Net income (A) 318.8 8.3 327.1 314.0 8.4 322.4 Other comprehensive income 83.7 1.5 85.2 110.1 2.2 112.3 Dividends on common stock (per share $.81, $.77) (174.2) - (174.2) (164.1) - (164.1) Dividends to noncontrolling interests - (8.8) (8.8) - (8.0) (8.0) Share-based compensation 10.5 - 10.5 9.1 - 9.1 Issuance of treasury shares for stock option and award plans 11.6 - 11.6 48.5 - 48.5 Tax benefit of stock option and award plans 3.9 - 3.9 9.1 - 9.1 Other equity transactions (.8) .5 (.3) (.9) - (.9) Balance at 30 June $ 7,586.0 $ 145.3 $ 7,731.3 $ 7,696.7 $ 159.5 $ 7,856.2 Nine Months Ended 30 June 2015 2014 Non- Non- Air controlling Total Air controlling Total Products Interests Equity Products Interests Equity Balance at 30 September $ 7,365.8 $ 155.6 $ 7,521.4 $ 7,042.1 $ 156.8 $ 7,198.9 Net income (A) 933.4 22.7 956.1 887.7 23.3 911.0 Other comprehensive income (loss) (336.5) (3.0) (339.5) 96.1 (2.4) 93.7 Dividends on common stock (per share $2.39, $2.25) (513.5) - (513.5) (477.8) - (477.8) Dividends to noncontrolling interests - (28.1) (28.1) - (18.2) (18.2) Share-based compensation 35.3 - 35.3 32.5 - 32.5 Issuance of treasury shares for stock option and award plans 74.5 - 74.5 96.4 - 96.4 Tax benefit of stock option and award plans 26.8 - 26.8 23.1 - 23.1 Purchase of noncontrolling interests - - - (.5) - (.5) Other equity transactions .2 (1.9) (1.7) (2.9) - (2.9) Balance at 30 June $ 7,586.0 $ 145.3 $ 7,731.3 $ 7,696.7 $ 159.5 $ 7,856.2 (A) Net income attributable to noncontrolling interests excludes net income related to redeemable noncontrolling interests, which is not included in total equity. Refer to Note 16, Noncontrolling Interests, for additional information. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Jun. 30, 2015 | |
Accumulated Other Comprehensive Loss Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | 15. ACCUMULATED OTHER COMPREHENSIVE LOSS The table below summarizes changes in accumulated other comprehensive loss (AOCL), net of tax, attributable to Air Products for the three and nine months ended 30 June 2015: Net loss on derivatives qualifying as hedges Foreign currency translation adjustments Pension and postretirement benefits Total Balance at 31 March 2015 $ (21.7) $ (740.6) $ (899.8) $ (1,662.1) Other comprehensive income (loss) before reclassifications (13.6) 73.0 2.0 61.4 Amounts reclassified from AOCL 1.6 - 22.2 23.8 Net current period other comprehensive income (loss) $ (12.0) $ 73.0 $ 24.2 $ 85.2 Amount attributable to noncontrolling interests (.1) 1.6 - 1.5 Balance at 30 June 2015 $ (33.6) $ (669.2) $ (875.6) $ (1,578.4) Net loss on derivatives qualifying as hedges Foreign currency translation adjustments Pension and postretirement benefits Total Balance at 30 September 2014 $ (28.5) $ (268.7) $ (944.7) $ (1,241.9) Other comprehensive loss before reclassifications (37.8) (403.5) (2.6) (443.9) Amounts reclassified from AOCL 32.7 - 71.7 104.4 Net current period other comprehensive income (loss) $ (5.1) $ (403.5) $ 69.1 $ (339.5) Amount attributable to noncontrolling interests - (3.0) - (3.0) Balance at 30 June 2015 $ (33.6) $ (669.2) $ (875.6) $ (1,578.4) The table below summarizes the reclassifications out of accumulated other comprehensive loss and the affected line item on the consolidated income statements: Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 (Gain) Loss on Cash Flow Hedges, net of tax Sales/Cost of sales $ ― $ (1.2) $ .3 $ (.2) Other income (expense), net .2 2.7 30.3 (20.3) Interest expense 1.4 (.6) 2.1 (1.3) Total (Gain) Loss on Cash Flow Hedges, net of tax $ 1.6 $ .9 $ 32.7 $ (21.8) Pension and Postretirement Benefits, net of tax (A) $ 22.2 $ 20.3 $ 71.7 $ 60.9 (A) The components include items such as prior service cost amortization, actuarial loss amortization, and settlements and are reflected in net periodic benefit cost. Refer to Note 11, Retirement Benefits. |
Noncontrolling Interests
Noncontrolling Interests | 9 Months Ended |
Jun. 30, 2015 | |
Noncontrolling Interests | |
Noncontrolling Interests | 16. NONCONTROLLING INTERESTS INDURA S.A. Redeemable Noncontrolling Interest In 2012, we purchased a 64.8 % controlling equity interest in the outstanding shares of Indura S.A. As part of the purchase agreement, the largest minority shareholder in Indura S.A. has the right to exercise a put option to require us to purchase up to a 30.5 % equity interest during the two-year period beginning on 1 July 2015, at a redemption value equal to the greater of fair market value or the acquisition date value es calated by an inflation factor (the “floor value”). The put option is not accounted for separate from the minority interest shares that are subject to the put option. The redemption feature of the put option requires classification of the minority sharehol der’s interest in the consolidated balance sheet outside of equity under the caption “Redeemable Noncontrolling Interest.” Adjustments to the value of the redeemable noncontrolling interest due to the redemption feature are recognized as they occur. Curr ently, the floor value of the redemption fe ature is in excess of the fair value of the minority interest shares. Because the value of the redeemable noncontrolling interest cannot be less than the floor value, the attribution of net income between Air Prod ucts and the minority shareholders is adjusted so that the value of the redeemable noncontrolling interest is not less than the floor value. The following is a summary of the changes in redeemable noncontrolling interest for the three and nine months ende d 30 June : Three Months Ended 30 June 2015 2014 Balance at 31 March $ 280.0 $ 343.6 Net income 6.1 1.1 Dividends (2.0) (1.2) Currency translation adjustment (6.2) (2.1) Balance at 30 June $ 277.9 $ 341.4 Nine Months Ended 30 June 2015 2014 Balance at 30 September $ 287.2 $ 375.8 Net income 11.5 3.1 Dividends (2.0) (4.7) Currency translation adjustment (18.8) (32.8) Balance at 30 June $ 277.9 $ 341.4 As of 30 June 2015 , we have a 67.3 % controlling equity interest in Indura S.A. In July 2015, we completed the purchase of the 30.5 % equity interest in our Indura S.A. subsidiary from the largest minority shareholder for $ 278 based on terms substantially consistent with the original purchase agreement. The purchase was funded by the issuance of commercial paper and will eliminate the redeemable noncontrolling interest balance on the statement of financial position. |
Earnings per Share
Earnings per Share | 9 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share | |
Earnings per Share | 17. EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share (EPS): Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 Numerator Income from continuing operations $ 318.8 $ 314.0 $ 933.4 $ 884.6 Income from discontinued operations - - - 3.1 Net Income Attributable to Air Products $ 318.8 $ 314.0 $ 933.4 $ 887.7 Denominator (in millions) Weighted average number of common shares — Basic 215.2 212.9 214.8 212.4 Effect of dilutive securities Employee stock option and other award plans 2.2 2.5 2.4 2.5 Weighted average number of common shares — Diluted 217.4 215.4 217.2 214.9 Basic EPS Attributable to Air Products Income from continuing operations $ 1.48 $ 1.47 $ 4.35 $ 4.17 Income from discontinued operations - - - .01 Net Income Attributable to Air Products $ 1.48 $ 1.47 $ 4.35 $ 4.18 Diluted EPS Attributable to Air Products Income from continuing operations $ 1.47 $ 1.46 $ 4.30 $ 4.12 Income from discontinued operations - - - .01 Net Income Attributable to Air Products $ 1.47 $ 1.46 $ 4.30 $ 4.13 Outstanding share-based awards of .2 million shares were antidilutive and therefore excluded from the computation of diluted earnings per share for the three and nine months ended 30 June 2015 . Outstanding share-based awards of .7 and .8 million shares were antidilutive and therefore excluded from the computation of diluted earnings per share for the three and nine months ended 30 June 2014 , respectively . |
Supplemental Information
Supplemental Information | 9 Months Ended |
Jun. 30, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Supplemental Information | 18. SUPPLEMENTAL INFORMATION Credit Agreement During fiscal 2013, we entered into a five-year $ 2,500.0 revolving credit agreement maturing 30 April 2018 with a syndicate of banks (the “2013 Credit Agreement”), under which senior unsecured debt is available to both the Company and certain of its subsidiaries. Effective 30 June 2014, the 2013 Credit Agreement was amended to increase the facility to $ 2,595.0 . Effective 30 April 2015, the 2013 Credit Agreement was amended to decrease the facility to $ 2 ,405.0 . The 2013 Credit Agreement provides a source of liquidity for the Company and supports its commercial paper program. The Company’s only financial covenant is a maximum ratio of total debt to total capitalization no greater than 70 %. No borrowings we re outstanding under the 2013 Credit Agreement as of 30 June 2015. Debt As of 30 June 2015, we have classified $ 250.0 of commercial paper as long-term debt because we have the ability to refinance the debt on a long-term basis under the 2013 Credit Agreeme nt. Our current intent is to refinance this debt via the U.S. public debt market. On 12 February 2015, we issued a 1.0 % Eurobond for € 300 million ($ 335.3 ) that matures on 12 February 2025. The proceeds were used to repay a 3.875 % Eurobond of € 300 million ($ 335.9 ) that matured on 10 March 2015 . |
Business Segment Information
Business Segment Information | 9 Months Ended |
Jun. 30, 2015 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Business Segment Information | 19. BUSINESS SEGMENT INFORMATION The Company began operating under a new structure effective 1 October 2014 . Our new reporting segments reflect the manner in which our chief operating decision maker reviews results and allocates resources. Except in the Corporate and other segment, each reporting segment meets the definition of an operating segment and does not include the aggregation o f multiple operating segments. Our liquefied natural gas ( LNG ) and helium storage and distribution sale of equipme nt businesses are aggregat ed within the Corporate and other segment. The prior year information presented has been restated to conform with the fiscal year 2015 presentation. The new reporting segments are: Industrial Gases – Americas Industrial Gases – EMEA (Europe, Middle East , and A frica) Industrial Gases – Asia Industrial Gases – Global Materials Technologies Energy-from-Waste Corporate and other Industrial Gases – Regional The regional Industrial Gases (Americas, EMEA, Asia) segments include the results of our reg ional industrial gas businesses, which produce and sell atmospheric gases such as oxygen, nitrogen, and argon (primarily recovered by the cryogenic distillation of air) and process gases such as hydrogen, carbon monoxide, helium, syngas , and specialty gases. We supply gases to customers in many industries, including those in met als, glass, chemical processing, energy production and refining, food processing, metallurgical industries, medical, and general manufacturing. We distribute gases to our customers through a variety of supply modes including liquid or gaseous bulk supply d eli vered by tanker or tube trailer and, for smaller customers, packaged gases delivered in cylinders and dewars or small on-sites (cryogeni c or noncryogenic generators). For large-volume customers, we construct an on-site plant adjacent to or near the cust omer’s facility or deliver product from one of our pipelines. We are the world’s largest provider of hydrogen, which is used by refiners to facilitate the conversion of heavy crude feedstock and lower the sulfur content of gasoline and diesel fuels. Elect ricity is the largest cost component in the production of atmospheric gases, and natural gas is the principal raw material for hydrogen, carbon monoxide, and syngas production. We mitigate energy and natural gas prices contractually through pricing formula s, surcharges , and cost pass-through arrangements. The regional Industrial Gases segments also include our share of the results of several joint ventures accounted for by the equity method. The largest of these joint ventures operate in Mexico, Italy, Sout h Africa, India, Saudi Arabia, and Thailand. Each of the regional Industrial Gases segments competes against global industrial ga s companies as well as regional competitors. Competition is based primarily on price, reliability of supply, and the developmen t of industrial gas applications. We derive a competitive advantage in locations where we have pipeline networks, which enable us to provide reliable and economic supply of products to larger customers. Industrial Gases – Global The Industrial Gases – Glob al segment includes cryogenic and gas processing equipment sales for air separation . T he equipment is sold worldwide to customers in a variety of industries, including chemical and petrochemical manufacturing, oil and gas recovery and processing, and steel and primary metals processing. The Industrial Gases – Global segment also includes centralized global costs associated with management of all the Industrial Gases segments. These costs include Industrial Gases global administrative costs, p roduct developm ent costs, and research and development costs. We compete with a large number of firms for all the offerings included in the Industrial Gases – Global segment. Competition in the equipment businesses is based primarily on technological performance, service , technical know-how, price, and performance guarantees. Materials Technologies The Materials Technologies segment includes applications technology to make products that provide solutions to a broad range of global industries through chemical synthesis, an alytical technology, process engineering, and surface science. This segment provides specialty gases, specialty chemicals, services, and equipment to the electronics industry primarily for the manufacture of silicon and compound semiconductors as well as l iquid crystal (LCD) and other displays. The Materials Technologies segment also provides performance chemical solutions for the coatings, inks, adhesives, civil engineering, personal care, institutional and industrial cleaning, mining, oil field, polyureth ane, and other industries. We compete in the businesses included in the Materials Technologies segment on a product-by-product basis against companies ranging from niche suppliers with a single product to large, vertically integrated companies. Competition is principally conducted on the basis of product performance, price, quality, reliability of product supply, technical innovation, service, and global infrastructure. Energy-from-Waste The Energy-from-Waste segment consists of two projects that are under construction in Tees Valley, United Kingdom. Once operational, these projects will process municipal solid waste to generate renewable power for customers under long-term contracts. Corporate and other The Corporate and other segment includes two on-going global businesses (our LNG sale of equipment business and our helium storage and distribution vessel sale of equipment business), the polyurethane intermediates business that was exited in early fiscal year 2014, and corporate support functions that benefi t all the segments. Competition for the two sale of equipment businesses is based primarily on technological performance, service, technical know-how, price, and performance guarantees. Business Segment Industrial Industrial Industrial Industrial Energy- Gases– Gases– Gases– Gases– Materials from- Corporate Segment Americas EMEA Asia Global Technologies Waste and other Total Three Months Ended 30 June 2015 Sales $ 898.2 $ 455.2 $ 417.6 $ 71.3 $ 539.8 $ - $ 88.1 $ 2,470.2 Operating income (loss) 206.5 87.6 100.9 (24.1) 131.5 (2.5) (17.6) 482.3 Depreciation and amortization 103.9 47.0 51.9 4.2 22.7 - 3.3 233.0 Equity affiliates' income 17.3 12.1 12.7 - .3 - - 42.4 Three Months Ended 30 June 2014 Sales $ 1,064.0 $ 537.4 $ 366.2 $ 70.8 $ 524.7 $ - $ 71.5 $ 2,634.6 Operating income (loss) 188.9 85.7 83.8 (14.4) 96.6 (3.2) (23.6) 413.8 Depreciation and amortization 105.6 54.9 50.0 1.7 24.5 - 2.3 239.0 Equity affiliates' income 14.7 13.5 13.4 .7 .8 - - 43.1 Nine Months Ended 30 June 2015 Sales $ 2,791.6 $ 1,404.8 $ 1,209.3 $ 197.4 $ 1,597.1 $ - $ 245.3 $ 7,445.5 Operating income (loss) 599.7 239.9 276.1 (49.9) 360.3 (7.8) (49.1) 1,369.2 Depreciation and amortization 310.8 145.7 151.8 14.0 70.0 - 9.5 701.8 Equity affiliates' income 49.6 30.4 36.7 .2 1.6 - - 118.5 Nine Months Ended 30 June 2014 Sales $ 3,040.8 $ 1,630.0 $ 1,127.2 $ 206.4 $ 1,503.8 $ - $ 253.8 $ 7,762.0 Operating income (loss) 543.0 258.4 237.7 (39.3) 254.7 (9.6) (60.8) 1,184.1 Depreciation and amortization 309.0 164.8 144.5 5.0 71.7 - 7.3 702.3 Equity affiliates' income 44.9 32.5 30.6 1.7 2.0 - - 111.7 Total Assets 30 June 2015 $ 6,092.4 $ 3,268.4 $ 4,207.1 $ 291.2 $ 1,826.8 $ 846.0 $ 1,139.6 $ 17,671.5 30 September 2014 6,240.7 3,521.0 4,045.6 389.4 1,835.7 591.9 1,154.8 17,779.1 The sales information noted above relates to external customers only. All intersegment sales are eliminated in consolidation. For the three and nine months ended 30 June 2015 , the Industrial Gases – Global segment had intersegment sales of $ 66.3 and $ 180.0 , respectively. For the three and nine months ended 30 June 2014 , the Industrial Gases – Global segment had intersegment sales of $ 51.7 and $ 141.4 , respectively. Th ese sales are generally transacted at market pricing. For all other segments, intersegment sales are not material for all periods presented. Equipment manufactured for our industrial gases segments are generally transferred at cost and not reflected as an intersegment sale. Below is a reconciliation of segment total operating income to consolidated operating income: Three Months Ended Nine Months Ended 30 June 30 June Operating Income 2015 2014 2015 2014 Segment total $ 482.3 $ 413.8 $ 1,369.2 $ 1,184.1 Business restructuring and cost reduction actions (58.2) - (146.0) - Pension settlement loss (1.6) - (14.2) - Gain on previously held equity interest - - 17.9 - Consolidated Total $ 422.5 $ 413.8 $ 1,226.9 $ 1,184.1 |
Business Restructuring and Co27
Business Restructuring and Cost Reduction Actions (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Business Restructuring and Cost Reduction Actions [Abstract] | |
Summary of Carrying Amount of Accrual for Business Restructuring and Cost Reduction Plans [Table Text Block] | The following table summarizes the carrying amount of the accrual for the business realignment and reorganization at 30 June 2015: Severance and Asset Other Benefits Actions/Other Total 2014 Charge $ 12.7 $ - $ 12.7 Cash expenditures (2.2) - (2.2) 30 September 2014 $ 10.5 $ - $ 10.5 2015 Charge 110.3 35.7 146.0 Amount reflected in pension liability (11.3) - (11.3) Noncash expenses - (27.8) (27.8) Cash expenditures (88.6) (.6) (89.2) Currency translation adjustment (.3) - (.3) 30 June 2015 $ 20.6 $ 7.3 $ 27.9 The following table summarizes the carrying amount of the accrual for the 2013 Plan at 30 June 2015: Severance and Asset Contract Other Benefits Actions Actions/Other Total 2013 Charge $ 71.9 $ 100.4 $ 59.3 $ 231.6 Amount reflected in pension liability (6.9) - - (6.9) Noncash expenses - (100.4) - (100.4) Cash expenditures (3.0) - (58.5) (61.5) Currency translation adjustment .4 - - .4 30 September 2013 $ 62.4 $ - $ .8 $ 63.2 Cash expenditures (51.7) - (.8) (52.5) Currency translation adjustment (.6) - - (.6) 30 September 2014 $ 10.1 $ - $ - $ 10.1 Cash expenditures (9.8) - - (9.8) Currency translation adjustment (.3) - - (.3) 30 June 2015 $ - $ - $ - $ - |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Inventories [Abstract] | |
Schedule of Inventory | 30 June 30 September 2015 2014 Finished goods $ 514.7 $ 493.9 Work in process 32.2 34.1 Raw materials, supplies and other 248.2 283.4 $ 795.1 $ 811.4 Less: Excess of FIFO cost over LIFO cost (113.2) (105.4) Inventories $ 681.9 $ 706.0 |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Goodwill Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Industrial Industrial Industrial Industrial Gases– Gases– Gases– Gases– Materials Americas EMEA Asia Global Technologies Total Balance at 30 September 2014 $ 327.2 $ 433.3 $ 140.0 $ 21.4 $ 315.4 $ 1,237.3 Acquisitions and adjustments 2.2 3.2 - - - 5.4 Currency translation and other (14.5) (47.3) (3.7) (1.1) (12.3) (78.9) Balance at 30 June 2015 $ 314.9 $ 389.2 $ 136.3 $ 20.3 $ 303.1 $ 1,163.8 30 June 30 September 2015 2014 Goodwill, gross $ 1,430.0 $ 1,522.1 Accumulated impairment losses (A) (266.2) (284.8) Goodwill, net $ 1,163.8 $ 1,237.3 (A) Amount is attributable to the Industrial Gases – Americas segment and includes currency translation of $39.0 and $20.4 as of 30 June 2015 and 30 September 2014, respectively. |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Financial Instruments [Abstract] | |
Schedule of Outstanding Currency Price Risk Management Instruments | 30 June 2015 30 September 2014 Years Years US$ Average US$ Average Notional Maturity Notional Maturity Forward Exchange Contracts: Cash flow hedges $ 4,375.9 .5 $ 2,965.5 .7 Net investment hedges 515.6 4.1 685.9 2.9 Not designated 1,298.9 .4 381.5 .1 Total Forward Exchange Contracts $ 6,190.4 .8 $ 4,032.9 1.0 |
Schedule of Interest Rate Swaps and Cross Currency Interest Rate Swaps | 30 June 2015 30 September 2014 Average Years Average Years US$ Average Receive Average US$ Average Receive Average Notional Pay % % Maturity Notional Pay % % Maturity Interest rate swaps (fair value hedge) $ 600.0 LIBOR 2.77 % 3.5 $ 600.0 LIBOR 2.77 % 4.3 Cross currency interest rate swaps (net investment hedge) $ 767.5 3.43 % 2.02 % 3.0 $ 404.5 3.70 % 1.15 % 2.7 Interest rate swaps (cash flow hedge) $ - - % - % - $ 431.7 2.36 % .71 % .4 Cross currency interest rate swaps (cash flow hedge) $ 637.7 4.26 % 3.00 % 3.7 $ 446.3 3.39 % 2.86 % 4.2 Cross currency interest rate swaps (not designated) $ 5.6 3.62 % .05 % .1 $ 15.4 3.62 % .05 % .8 |
Fair Value of Derivative Instruments | Balance Sheet 30 June 30 September Balance Sheet 30 June 30 September Location 2015 2014 Location 2015 2014 Derivatives Designated as Hedging Instruments: Forward exchange contracts Other receivables $ 65.3 $ 78.9 Accrued liabilities $ 145.2 $ 61.8 Interest rate management contracts Other receivables 29.5 21.1 Accrued liabilities - 18.8 Other noncurrent Other noncurrent Forward exchange contracts assets 67.0 10.5 liabilities 3.3 3.1 Other noncurrent Other noncurrent Interest rate management contracts assets 98.7 54.6 liabilities .8 .3 Total Derivatives Designated as Hedging Instruments $ 260.5 $ 165.1 $ 149.3 $ 84.0 Derivatives Not Designated as Hedging Instruments: Forward exchange contracts Other receivables $ 37.3 $ 4.0 Accrued liabilities $ 44.7 $ 1.9 Interest rate management contracts Other receivables 2.6 2.6 Accrued liabilities - - Other noncurrent Other noncurrent Forward exchange contracts assets 17.7 - liabilities .3 - Total Derivatives Not Designated as Hedging Instruments $ 57.6 $ 6.6 $ 45.0 $ 1.9 Total Derivatives $ 318.1 $ 171.7 $ 194.3 $ 85.9 |
Schedule of Gain/Loss Related to Derivative Instruments | Three Months Ended 30 June Forward Foreign Currency Exchange Contracts Debt Other (A) Total 2015 2014 2015 2014 2015 2014 2015 2014 Cash Flow Hedges, net of tax: Net gain (loss) recognized in OCI (effective portion) $ 1.8 $ (8.7) $ - $ - $ (15.4) $ (8.2) $ (13.6) $ (16.9) Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) - (1.2) - - - - - (1.2) Net (gain) loss reclassified from OCI to other income (expense), net (effective portion) (2.0) 3.0 - - 2.2 (.5) .2 2.5 Net (gain) loss reclassified from OCI to interest expense (effective portion) .3 (.6) - - 1.1 - 1.4 (.6) Net (gain) loss reclassified from OCI to other income (expense), net (ineffective portion) - .2 - - - - - .2 Fair Value Hedges: Net gain (loss) recognized in interest expense (B) $ - $ - $ - $ - $ (4.5) $ 2.8 $ (4.5) $ 2.8 Net Investment Hedges, net of tax: Net gain (loss) recognized in OCI $ (13.6) $ 1.5 $ (20.0) $ 4.6 $ (20.3) $ (.9) $ (53.9) $ 5.2 Derivatives Not Designated as Hedging Instruments: Net gain (loss) recognized in other income (expense), net (C) $ (4.3) $ (4.7) $ - $ - $ - $ - $ (4.3) $ (4.7) Nine Months Ended 30 June Forward Foreign Currency Exchange Contracts Debt Other (A) Total 2015 2014 2015 2014 2015 2014 2015 2014 Cash Flow Hedges, net of tax: Net gain (loss) recognized in OCI (effective portion) $ (44.2) $ 10.7 $ - $ - $ 6.4 $ (9.9) $ (37.8) $ .8 Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) .3 (.2) - - - - .3 (.2) Net (gain) loss reclassified from OCI to other income (expense), net (effective portion) 40.7 (15.6) - - (11.0) (4.2) 29.7 (19.8) Net (gain)loss reclassified from OCI to interest expense (effective portion) .1 (1.4) - - 2.0 .1 2.1 (1.3) Net (gain) loss reclassified from OCI to other income (expense), net (ineffective portion) .6 (.5) - - - - .6 (.5) Fair Value Hedges: Net gain (loss) recognized in interest expense (B) $ - $ - $ - $ - $ 3.5 $ (.6) $ 3.5 $ (.6) Net Investment Hedges, net of tax: Net gain (loss) recognized in OCI $ 56.5 $ (15.1) $ 87.8 $ (7.1) $ 17.1 $ 6.7 $ 161.4 $ (15.5) Derivatives Not Designated as Hedging Instruments: Net gain (loss) recognized in other income (expense), net (C) $ (11.5) $ (4.9) $ - $ - $ - $ .2 $ (11.5) $ (4.7) (A) Other includes the impact on other comprehensive income (OCI) and earnings primarily related to interest rate and cross currency interest rate swaps. (B) The impact of fair value hedges noted above was largely offset by gains and losses resulting from the impact of changes in related interest rates on recognized outstanding debt. (C) The impact of the non-designated hedges noted above was largely offset by gains and losses resulting from the impact of changes in exchange rates on recognized assets and liabilities denominated in nonfunctional currencies. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Fair Value Measurements [Abstract] | |
Schedule of Carrying Value and Fair Values of Financial Instruments | 30 June 2015 30 September 2014 Carrying Value Fair Value Carrying Value Fair Value Assets Derivatives Forward exchange contracts $ 187.3 $ 187.3 $ 93.4 $ 93.4 Interest rate management contracts 130.8 130.8 78.3 78.3 Liabilities Derivatives Forward exchange contracts $ 193.5 $ 193.5 $ 66.8 $ 66.8 Interest rate management contracts .8 .8 19.1 19.1 Long-term debt, including current portion 4,775.4 4,992.2 4,889.8 5,130.7 |
Schedule of Fair Value of Assets and Liabilities | The following table summarizes assets and liabilities measured at fair value on a recurring basis in the consolidated balance sheets: 30 June 2015 30 September 2014 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Assets at Fair Value Derivatives Forward exchange contracts $ 187.3 $ - $ 187.3 $ - $ 93.4 $ - $ 93.4 $ - Interest rate management contracts 130.8 - 130.8 - 78.3 - 78.3 - Total Assets at Fair Value $ 318.1 $ - $ 318.1 $ - $ 171.7 $ - $ 171.7 $ - Liabilities at Fair Value Derivatives Forward exchange contracts $ 193.5 $ - $ 193.5 $ - $ 66.8 $ - $ 66.8 $ - Interest rate management contracts .8 - .8 - 19.1 - 19.1 - Total Liabilities at Fair Value $ 194.3 $ - $ 194.3 $ - $ 85.9 $ - $ 85.9 $ - |
Retirement Benefits (Tables)
Retirement Benefits (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Schedule of Net Periodic Benefit Cost | Pension Benefits Other Benefits 2015 2014 2015 2014 Three Months Ended 30 June U.S. International U.S. International Service cost $ 10.6 $ 7.8 $ 10.6 $ 9.2 $ .7 $ .9 Interest cost 31.1 14.2 32.7 16.9 .6 .5 Expected return on plan assets (50.5) (20.0) (47.0) (19.7) - - Prior service cost amortization .7 (.1) .7 - - - Actuarial loss amortization 19.9 10.6 19.6 9.1 .2 .4 Settlements and curtailments 3.3 - - - - - Special termination benefits .8 - - - - - Other .2 .4 - .6 - - Net periodic benefit cost $ 16.1 $ 12.9 $ 16.6 $ 16.1 $ 1.5 $ 1.8 Pension Benefits Other Benefits 2015 2014 2015 2014 Nine Months Ended 30 June U.S. International U.S. International Service cost $ 31.8 $ 23.9 $ 31.9 $ 27.0 $ 2.1 $ 2.5 Interest cost 93.6 43.4 98.1 50.4 1.7 1.7 Expected return on plan assets (151.5) (60.2) (140.9) (58.5) - - Prior service cost amortization 2.1 - 2.1 .1 - - Actuarial loss amortization 59.3 31.2 58.8 26.8 .6 1.3 Settlements and curtailments 18.9 (.1) - .5 - - Special termination benefits 5.6 .9 .2 - - - Other 1.3 1.4 - 1.6 - - Net periodic benefit cost $ 61.1 $ 40.5 $ 50.2 $ 47.9 $ 4.4 $ 5.5 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Share-Based Compensation [Abstract] | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | Share-based compensation cost recognized in the consolidated income statements is summarized below: Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 Before-Tax Share-Based Compensation Cost $ 12.5 $ 9.1 $ 37.3 $ 32.5 Income Tax Benefit (4.4) (3.2) (13.1) (11.4) After-Tax Share-Based Compensation Cost $ 8.1 $ 5.9 $ 24.2 $ 21.1 |
Schedule Of Share Based Payment Award, Market-Based Deferred Stock Units, Valuation Assumptions [Table Text Block] | Expected volatility 19.6 % Risk-free interest rate .9 % Expected dividend yield 2.5 % |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Expected volatility 30.3 % Risk-free interest rate 2.2 % Expected dividend yield 2.6 % Expected life (in years) 7.5 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Equity [Table Text Block] | Three Months Ended 30 June 2015 2014 Non- Non- Air controlling Total Air controlling Total Products Interests Equity Products Interests Equity Balance at 31 March $ 7,332.5 $ 143.8 $ 7,476.3 $ 7,370.9 $ 156.9 $ 7,527.8 Net income (A) 318.8 8.3 327.1 314.0 8.4 322.4 Other comprehensive income 83.7 1.5 85.2 110.1 2.2 112.3 Dividends on common stock (per share $.81, $.77) (174.2) - (174.2) (164.1) - (164.1) Dividends to noncontrolling interests - (8.8) (8.8) - (8.0) (8.0) Share-based compensation 10.5 - 10.5 9.1 - 9.1 Issuance of treasury shares for stock option and award plans 11.6 - 11.6 48.5 - 48.5 Tax benefit of stock option and award plans 3.9 - 3.9 9.1 - 9.1 Other equity transactions (.8) .5 (.3) (.9) - (.9) Balance at 30 June $ 7,586.0 $ 145.3 $ 7,731.3 $ 7,696.7 $ 159.5 $ 7,856.2 Nine Months Ended 30 June 2015 2014 Non- Non- Air controlling Total Air controlling Total Products Interests Equity Products Interests Equity Balance at 30 September $ 7,365.8 $ 155.6 $ 7,521.4 $ 7,042.1 $ 156.8 $ 7,198.9 Net income (A) 933.4 22.7 956.1 887.7 23.3 911.0 Other comprehensive income (loss) (336.5) (3.0) (339.5) 96.1 (2.4) 93.7 Dividends on common stock (per share $2.39, $2.25) (513.5) - (513.5) (477.8) - (477.8) Dividends to noncontrolling interests - (28.1) (28.1) - (18.2) (18.2) Share-based compensation 35.3 - 35.3 32.5 - 32.5 Issuance of treasury shares for stock option and award plans 74.5 - 74.5 96.4 - 96.4 Tax benefit of stock option and award plans 26.8 - 26.8 23.1 - 23.1 Purchase of noncontrolling interests - - - (.5) - (.5) Other equity transactions .2 (1.9) (1.7) (2.9) - (2.9) Balance at 30 June $ 7,586.0 $ 145.3 $ 7,731.3 $ 7,696.7 $ 159.5 $ 7,856.2 (A) Net income attributable to noncontrolling interests excludes net income related to redeemable noncontrolling interests, which is not included in total equity. Refer to Note 16, Noncontrolling Interests, for additional information. |
Accumulated Other Comprehensi35
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Accumulated Other Comprehensive Loss Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The table below summarizes changes in accumulated other comprehensive loss (AOCL), net of tax, attributable to Air Products for the three and nine months ended 30 June 2015: Net loss on derivatives qualifying as hedges Foreign currency translation adjustments Pension and postretirement benefits Total Balance at 31 March 2015 $ (21.7) $ (740.6) $ (899.8) $ (1,662.1) Other comprehensive income (loss) before reclassifications (13.6) 73.0 2.0 61.4 Amounts reclassified from AOCL 1.6 - 22.2 23.8 Net current period other comprehensive income (loss) $ (12.0) $ 73.0 $ 24.2 $ 85.2 Amount attributable to noncontrolling interests (.1) 1.6 - 1.5 Balance at 30 June 2015 $ (33.6) $ (669.2) $ (875.6) $ (1,578.4) Net loss on derivatives qualifying as hedges Foreign currency translation adjustments Pension and postretirement benefits Total Balance at 30 September 2014 $ (28.5) $ (268.7) $ (944.7) $ (1,241.9) Other comprehensive loss before reclassifications (37.8) (403.5) (2.6) (443.9) Amounts reclassified from AOCL 32.7 - 71.7 104.4 Net current period other comprehensive income (loss) $ (5.1) $ (403.5) $ 69.1 $ (339.5) Amount attributable to noncontrolling interests - (3.0) - (3.0) Balance at 30 June 2015 $ (33.6) $ (669.2) $ (875.6) $ (1,578.4) |
Schedule Of Reclassification Out Of Accumulated Other Comprehensive Income [Table Text Block] | The table below summarizes the reclassifications out of accumulated other comprehensive loss and the affected line item on the consolidated income statements: Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 (Gain) Loss on Cash Flow Hedges, net of tax Sales/Cost of sales $ ― $ (1.2) $ .3 $ (.2) Other income (expense), net .2 2.7 30.3 (20.3) Interest expense 1.4 (.6) 2.1 (1.3) Total (Gain) Loss on Cash Flow Hedges, net of tax $ 1.6 $ .9 $ 32.7 $ (21.8) Pension and Postretirement Benefits, net of tax (A) $ 22.2 $ 20.3 $ 71.7 $ 60.9 (A) The components include items such as prior service cost amortization, actuarial loss amortization, and settlements and are reflected in net periodic benefit cost. Refer to Note 11, Retirement Benefits. |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Noncontrolling Interests | |
Redeemable Noncontrolling Interest Rollforward | Three Months Ended 30 June 2015 2014 Balance at 31 March $ 280.0 $ 343.6 Net income 6.1 1.1 Dividends (2.0) (1.2) Currency translation adjustment (6.2) (2.1) Balance at 30 June $ 277.9 $ 341.4 Nine Months Ended 30 June 2015 2014 Balance at 30 September $ 287.2 $ 375.8 Net income 11.5 3.1 Dividends (2.0) (4.7) Currency translation adjustment (18.8) (32.8) Balance at 30 June $ 277.9 $ 341.4 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share | |
Schedule of Earnings Per Share, Basic and Diluted | Three Months Ended Nine Months Ended 30 June 30 June 2015 2014 2015 2014 Numerator Income from continuing operations $ 318.8 $ 314.0 $ 933.4 $ 884.6 Income from discontinued operations - - - 3.1 Net Income Attributable to Air Products $ 318.8 $ 314.0 $ 933.4 $ 887.7 Denominator (in millions) Weighted average number of common shares — Basic 215.2 212.9 214.8 212.4 Effect of dilutive securities Employee stock option and other award plans 2.2 2.5 2.4 2.5 Weighted average number of common shares — Diluted 217.4 215.4 217.2 214.9 Basic EPS Attributable to Air Products Income from continuing operations $ 1.48 $ 1.47 $ 4.35 $ 4.17 Income from discontinued operations - - - .01 Net Income Attributable to Air Products $ 1.48 $ 1.47 $ 4.35 $ 4.18 Diluted EPS Attributable to Air Products Income from continuing operations $ 1.47 $ 1.46 $ 4.30 $ 4.12 Income from discontinued operations - - - .01 Net Income Attributable to Air Products $ 1.47 $ 1.46 $ 4.30 $ 4.13 |
Business Segment Information (T
Business Segment Information (Tables) | 9 Months Ended |
Jun. 30, 2015 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Business Segment Industrial Industrial Industrial Industrial Energy- Gases– Gases– Gases– Gases– Materials from- Corporate Segment Americas EMEA Asia Global Technologies Waste and other Total Three Months Ended 30 June 2015 Sales $ 898.2 $ 455.2 $ 417.6 $ 71.3 $ 539.8 $ - $ 88.1 $ 2,470.2 Operating income (loss) 206.5 87.6 100.9 (24.1) 131.5 (2.5) (17.6) 482.3 Depreciation and amortization 103.9 47.0 51.9 4.2 22.7 - 3.3 233.0 Equity affiliates' income 17.3 12.1 12.7 - .3 - - 42.4 Three Months Ended 30 June 2014 Sales $ 1,064.0 $ 537.4 $ 366.2 $ 70.8 $ 524.7 $ - $ 71.5 $ 2,634.6 Operating income (loss) 188.9 85.7 83.8 (14.4) 96.6 (3.2) (23.6) 413.8 Depreciation and amortization 105.6 54.9 50.0 1.7 24.5 - 2.3 239.0 Equity affiliates' income 14.7 13.5 13.4 .7 .8 - - 43.1 Nine Months Ended 30 June 2015 Sales $ 2,791.6 $ 1,404.8 $ 1,209.3 $ 197.4 $ 1,597.1 $ - $ 245.3 $ 7,445.5 Operating income (loss) 599.7 239.9 276.1 (49.9) 360.3 (7.8) (49.1) 1,369.2 Depreciation and amortization 310.8 145.7 151.8 14.0 70.0 - 9.5 701.8 Equity affiliates' income 49.6 30.4 36.7 .2 1.6 - - 118.5 Nine Months Ended 30 June 2014 Sales $ 3,040.8 $ 1,630.0 $ 1,127.2 $ 206.4 $ 1,503.8 $ - $ 253.8 $ 7,762.0 Operating income (loss) 543.0 258.4 237.7 (39.3) 254.7 (9.6) (60.8) 1,184.1 Depreciation and amortization 309.0 164.8 144.5 5.0 71.7 - 7.3 702.3 Equity affiliates' income 44.9 32.5 30.6 1.7 2.0 - - 111.7 Total Assets 30 June 2015 $ 6,092.4 $ 3,268.4 $ 4,207.1 $ 291.2 $ 1,826.8 $ 846.0 $ 1,139.6 $ 17,671.5 30 September 2014 6,240.7 3,521.0 4,045.6 389.4 1,835.7 591.9 1,154.8 17,779.1 |
Reconciliation of Segment to Consolidated Operating Income [Table Text Block] | Below is a reconciliation of segment total operating income to consolidated operating income: Three Months Ended Nine Months Ended 30 June 30 June Operating Income 2015 2014 2015 2014 Segment total $ 482.3 $ 413.8 $ 1,369.2 $ 1,184.1 Business restructuring and cost reduction actions (58.2) - (146.0) - Pension settlement loss (1.6) - (14.2) - Gain on previously held equity interest - - 17.9 - Consolidated Total $ 422.5 $ 413.8 $ 1,226.9 $ 1,184.1 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) $ / shares in Units, € in Millions, £ in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |||||
Dec. 31, 2013GBP (£) | Dec. 31, 2013USD ($) | Sep. 30, 2013USD ($)$ / shares | Jun. 30, 2012EUR (€) | Jun. 30, 2012USD ($)$ / shares | Jun. 30, 2015GBP (£) | Jun. 30, 2015USD ($) | |
European Homecare Business [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Proceeds from sale of business | € 590 | $ 777 | |||||
Gain on sale of business, before tax | 207.4 | ||||||
Gain on sale of business, after-tax | $ 150.3 | ||||||
Gain on sale of business, per share | $ / shares | $ 0.7 | ||||||
U K and Ireland Homecare Business [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Proceeds from sale of business | £ 6.1 | $ 9.8 | |||||
Gain on sale of business, after-tax | $ 2.4 | ||||||
Impairment charge, before tax | $ 18.7 | $ 33.5 | |||||
Impairment charge, after-tax | $ 13.6 | $ 29.5 | |||||
Impairment charge, per share | $ / shares | $ 0.06 | $ 0.14 | |||||
Maximum potential payment under guarantees | £ 20 | $ 31 | |||||
Exposures under the guarantee completion year | 2,020 |
Discontinued Operations (Schedu
Discontinued Operations (Schedule of Operating Results) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Income (loss) from Discontinued Operations, net of tax | $ 0 | $ 0 | $ 0 | $ 3.1 |
Discontinued Operations (Sche41
Discontinued Operations (Schedule of Assets and Liabilities) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Jun. 30, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash items | $ 0 | $ 0 |
Business Restructuring and Co42
Business Restructuring and Cost Reduction Actions (Narrative) (Details) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Jun. 30, 2015USD ($)$ / shares | Sep. 30, 2014USD ($)Employees$ / shares | Jun. 30, 2014USD ($) | Sep. 30, 2013USD ($)$ / shares | Jun. 30, 2015USD ($)Employees$ / shares | Jun. 30, 2014USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | |
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 58.2 | $ 0 | $ 146 | $ 0 | ||||
Business Realignment and Reorganization [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 58.2 | $ 12.7 | 146 | $ 12.7 | ||||
Business restructuring and cost reduction actions, after-tax | $ 38.8 | $ 8.2 | $ 98.7 | |||||
Business restructuring and cost reduction actions, per share | $ / shares | $ 0.18 | $ 0.04 | $ 0.45 | |||||
Number of positions to be eliminated | Employees | 50 | 1,500 | ||||||
Business Realignment and Reorganization [Member] | Industrial Gases - Americas [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 2.9 | $ 19.9 | ||||||
Business Realignment and Reorganization [Member] | Industrial Gases - EMEA [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 3.1 | 40 | ||||||
Business Realignment and Reorganization [Member] | Industrial Gases - Asia [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 1.5 | 8.1 | ||||||
Business Realignment and Reorganization [Member] | Industrial Gases - Global [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 1.5 | 31.4 | ||||||
Business Realignment and Reorganization [Member] | Materials Technologies [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 1.6 | 19.3 | ||||||
Business Realignment and Reorganization [Member] | Energy From Waste [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 0 | 0 | ||||||
Business Realignment and Reorganization [Member] | Corporate and Other [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 2.1 | 27.3 | ||||||
Business Realignment and Reorganization [Member] | Asset Actions [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 35.7 | 35.7 | 0 | |||||
Business Realignment and Reorganization [Member] | Severance And Other Benefits [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 22.5 | $ 110.3 | $ 12.7 | |||||
Plan 2013 [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 231.6 | $ 231.6 | ||||||
Business restructuring and cost reduction actions, after-tax | $ 157.9 | |||||||
Business restructuring and cost reduction actions, per share | $ / shares | $ 0.74 | |||||||
Plan 2013 [Member] | Asset Actions [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 100.4 | |||||||
Plan 2013 [Member] | Severance And Other Benefits [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | 71.9 | |||||||
Plan 2013 [Member] | Contract Actions [Member] | ||||||||
Restructuring and Related Cost [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 59.3 |
Business Restructuring and Co43
Business Restructuring and Cost Reduction Actions (Carrying Amount of Accrual) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Jun. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2015 | Jun. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 58.2 | $ 0 | $ 146 | $ 0 | ||||
Business Realignment and Reorganization [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 58.2 | $ 12.7 | 146 | $ 12.7 | ||||
Amount reflected in pension liability | (11.3) | |||||||
Noncash expenses | (27.8) | |||||||
Cash expenditures | (89.2) | (2.2) | ||||||
Currency translation adjustment | (0.3) | |||||||
Accrued Balance | 27.9 | 10.5 | 27.9 | 10.5 | ||||
Business Realignment and Reorganization [Member] | Severance And Other Benefits [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 22.5 | 110.3 | 12.7 | |||||
Amount reflected in pension liability | (11.3) | |||||||
Noncash expenses | 0 | |||||||
Cash expenditures | (88.6) | (2.2) | ||||||
Currency translation adjustment | (0.3) | |||||||
Accrued Balance | 20.6 | 10.5 | 20.6 | 10.5 | ||||
Business Realignment and Reorganization [Member] | Asset Actions [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 35.7 | 35.7 | 0 | |||||
Amount reflected in pension liability | 0 | |||||||
Noncash expenses | (27.8) | |||||||
Cash expenditures | (0.6) | 0 | ||||||
Currency translation adjustment | 0 | |||||||
Accrued Balance | 7.3 | 0 | 7.3 | 0 | ||||
Plan 2013 [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | $ 231.6 | $ 231.6 | ||||||
Amount reflected in pension liability | (6.9) | |||||||
Noncash expenses | (100.4) | |||||||
Cash expenditures | (9.8) | (52.5) | (61.5) | |||||
Currency translation adjustment | (0.3) | (0.6) | 0.4 | |||||
Accrued Balance | 0 | 10.1 | 63.2 | 0 | 10.1 | 63.2 | ||
Plan 2013 [Member] | Severance And Other Benefits [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 71.9 | |||||||
Amount reflected in pension liability | (6.9) | |||||||
Noncash expenses | 0 | |||||||
Cash expenditures | (9.8) | (51.7) | (3) | |||||
Currency translation adjustment | (0.3) | (0.6) | 0.4 | |||||
Accrued Balance | 0 | 10.1 | 62.4 | 0 | 10.1 | 62.4 | ||
Plan 2013 [Member] | Asset Actions [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 100.4 | |||||||
Amount reflected in pension liability | 0 | |||||||
Noncash expenses | (100.4) | |||||||
Cash expenditures | 0 | 0 | 0 | |||||
Currency translation adjustment | 0 | 0 | 0 | |||||
Accrued Balance | 0 | 0 | 0 | 0 | 0 | 0 | ||
Plan 2013 [Member] | Contract Actions [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Business restructuring and cost reduction actions | 59.3 | |||||||
Amount reflected in pension liability | 0 | |||||||
Noncash expenses | 0 | |||||||
Cash expenditures | 0 | (0.8) | (58.5) | |||||
Currency translation adjustment | 0 | 0 | 0 | |||||
Accrued Balance | $ 0 | $ 0 | $ 0.8 | $ 0 | $ 0 | $ 0.8 |
Business Combinations (Narrativ
Business Combinations (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2015 | Dec. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Business Acquisition [Line Items] | |||||
Acquisitions, less cash acquired | $ 34.5 | $ 0 | |||
Gain on previously held equity interest | $ 0 | $ 0 | 17.9 | $ 0 | |
Production Joint Venture [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquisitions, less cash acquired | $ 22.6 | ||||
Percent ownership before acquisition | 50.00% | ||||
Percent ownership after acquisition | 100.00% | ||||
Gain on previously held equity interest | 17.9 | ||||
Gain on previously held equity interest, after tax | $ 11.2 | ||||
Gain on previously held equity interest, per share | $ 0.05 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventory) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Sep. 30, 2014 |
Inventories [Abstract] | ||
Finished goods | $ 514.7 | $ 493.9 |
Work in process | 32.2 | 34.1 |
Raw materials, supplies and other | 248.2 | 283.4 |
Total FIFO value | 795.1 | 811.4 |
Less: Excess of FIFO cost over LIFO cost | (113.2) | (105.4) |
Inventories | $ 681.9 | $ 706 |
Equity Affiliates (Narrative) (
Equity Affiliates (Narrative) (Details) - Jun. 30, 2015 - Jazan [Member] - USD ($) $ in Millions | Total |
Schedule of Equity Method Investment [Line Items] | |
Ownership interest percentage acquired | 25.00% |
Future payments to acquire equity method investments | $ 100 |
Goodwill (Schedule of Goodwill
Goodwill (Schedule of Goodwill by Segment) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | ||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | $ 1,237.3 | |||
Goodwill, Acquisitions and Adjustments | 5.4 | |||
Goodwill, Currency Translation and Other | (78.9) | |||
Goodwill, net, Ending Balance | 1,163.8 | $ 1,237.3 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, gross | 1,522.1 | $ 1,430 | ||
Goodwill, Accumulated impairment losses | [1] | (284.8) | (266.2) | |
Goodwill, net | 1,237.3 | 1,237.3 | 1,163.8 | |
Industrial Gases - Americas [Member] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | 327.2 | |||
Goodwill, Acquisitions and Adjustments | 2.2 | |||
Goodwill, Currency Translation and Other | (14.5) | |||
Goodwill, net, Ending Balance | 314.9 | 327.2 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, Accumulated impairment losses | [1] | (284.8) | (266.2) | |
Goodwill, net | 314.9 | 327.2 | 314.9 | |
Goodwill, Accumulated impairment losses currency translation | 39 | 20.4 | ||
Industrial Gases - EMEA [Member] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | 433.3 | |||
Goodwill, Acquisitions and Adjustments | 3.2 | |||
Goodwill, Currency Translation and Other | (47.3) | |||
Goodwill, net, Ending Balance | 389.2 | 433.3 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, net | 433.3 | 433.3 | 389.2 | |
Industrial Gases - Asia [Member] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | 140 | |||
Goodwill, Acquisitions and Adjustments | 0 | |||
Goodwill, Currency Translation and Other | (3.7) | |||
Goodwill, net, Ending Balance | 136.3 | 140 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, net | 136.3 | 140 | 136.3 | |
Industrial Gases - Global [Member] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | 21.4 | |||
Goodwill, Acquisitions and Adjustments | 0 | |||
Goodwill, Currency Translation and Other | (1.1) | |||
Goodwill, net, Ending Balance | 20.3 | 21.4 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, net | 21.4 | 21.4 | 20.3 | |
Materials Technologies [Member] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, net, Beginning Balance | 315.4 | |||
Goodwill, Acquisitions and Adjustments | 0 | |||
Goodwill, Currency Translation and Other | (12.3) | |||
Goodwill, net, Ending Balance | 303.1 | 315.4 | ||
Goodwill Impaired Accumulated Impairment Loss Abstract | ||||
Goodwill, net | $ 303.1 | $ 315.4 | $ 303.1 | |
[1] | Amount is attributable to the Industrial Gases – Americas segment and includes currency translation of $39.0 and $20.4 as of 30 June 2015 and 30 September 2014, respectively. |
Goodwill (Narrative) (Details)
Goodwill (Narrative) (Details) $ in Millions | Oct. 01, 2014ReportingUnit | Sep. 30, 2014USD ($) | Jun. 30, 2015USD ($) |
Goodwill [Line Items] | |||
Number of reporting units | ReportingUnit | 13 | ||
Goodwill, net | $ 1,237.3 | $ 1,163.8 | |
Latin America Reporting Unit [Member] | |||
Goodwill [Line Items] | |||
Goodwill impairment charge | $ 305.2 | ||
Reporting unit percentage of fair value in excess of carrying amount | 10.00% | ||
Goodwill, net | $ 218.3 | ||
Reporting unit goodwill as percent total assets | 1.20% |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) € in Millions, ¥ in Millions, $ in Millions | 9 Months Ended | 12 Months Ended | ||||
Jun. 30, 2015CNY (¥) | Jun. 30, 2015EUR (€) | Jun. 30, 2015USD ($) | Sep. 30, 2014CNY (¥) | Sep. 30, 2014EUR (€) | Sep. 30, 2014USD ($) | |
Derivative [Line Items] | ||||||
Net liability position of derivatives with credit risk-related contingent features | $ 1.2 | $ 2.1 | ||||
Collateral amount that counterparties would be required to post | 189.4 | 107.8 | ||||
Foreign Currency Debt [Member] | Euro Denominated Member [Member] | ||||||
Derivative [Line Items] | ||||||
Notional Amount included in designated foreign currency denominated debt | € 757.6 | 844.3 | € 879.3 | 1,110.6 | ||
Foreign Currency Debt [Member] | RMB Denominated Member [Member] | ||||||
Derivative [Line Items] | ||||||
Notional Amount included in designated foreign currency denominated debt | ¥ 1,108.6 | $ 178.8 | ¥ 900.9 | $ 146.8 | ||
Forward Exchange Contracts [Member] | ||||||
Derivative [Line Items] | ||||||
Maximum Remaining Maturity of Foreign Currency Derivatives | 3 years 6 months | 3 years 6 months | 3 years 6 months |
Financial Instruments (Schedule
Financial Instruments (Schedule of Outstanding Currency Price Risk Management Instruments) (Details) - Forward Exchange Contracts [Member] - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Sep. 30, 2014 | |
Derivative [Line Items] | ||
US$ Notional | $ 6,190.4 | $ 4,032.9 |
Years Average Maturity | 10 months | 1 year |
Cash Flow Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 4,375.9 | $ 2,965.5 |
Years Average Maturity | 6 months | 8 months |
Net Investment Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 515.6 | $ 685.9 |
Years Average Maturity | 4 years 1 month | 2 years 11 months |
Hedges Not Designated [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 1,298.9 | $ 381.5 |
Years Average Maturity | 5 months | 1 month |
Financial Instruments (Schedu51
Financial Instruments (Schedule of Interest Rate Swaps and Cross Currency Interest Rate Swaps) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Sep. 30, 2014 | |
Interest Rate Swaps Contracts [Member] | Fair Value Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 600 | $ 600 |
Pay % | LIBOR | LIBOR |
Average Receive % | 2.77% | 2.77% |
Years Average Maturity | 3 years 6 months | 4 years 4 months |
Interest Rate Swaps Contracts [Member] | Cash Flow Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 0 | $ 431.7 |
Pay % | 0.00% | 2.36% |
Average Receive % | 0.00% | 0.71% |
Years Average Maturity | 5 months | |
Cross Currency Interest Rate Swaps [Member] | Net Investment Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 767.5 | $ 404.5 |
Pay % | 3.43% | 3.70% |
Average Receive % | 2.02% | 1.15% |
Years Average Maturity | 3 years | 2 years 8 months |
Cross Currency Interest Rate Swaps [Member] | Cash Flow Hedges [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 637.7 | $ 446.3 |
Pay % | 4.26% | 3.39% |
Average Receive % | 3.00% | 2.86% |
Years Average Maturity | 3 years 8 months | 4 years 2 months |
Cross Currency Interest Rate Swaps [Member] | Hedges Not Designated [Member] | ||
Derivative [Line Items] | ||
US$ Notional | $ 5.6 | $ 15.4 |
Pay % | 3.62% | 3.62% |
Average Receive % | 0.05% | 0.05% |
Years Average Maturity | 1 month | 10 months |
Financial Instruments (Fair Val
Financial Instruments (Fair Value of Derivative Instruments) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Sep. 30, 2014 |
Derivative [Line Items] | ||
Total Derivatives, Assets | $ 318.1 | $ 171.7 |
Total Derivatives, Liabilities | 194.3 | 85.9 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 260.5 | 165.1 |
Total Derivatives, Liabilities | 149.3 | 84 |
Designated as Hedging Instrument [Member] | Other Receivables [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 29.5 | 21.1 |
Designated as Hedging Instrument [Member] | Other Receivables [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 65.3 | 78.9 |
Designated as Hedging Instrument [Member] | Other Noncurrent Assets [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 98.7 | 54.6 |
Designated as Hedging Instrument [Member] | Other Noncurrent Assets [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 67 | 10.5 |
Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 0 | 18.8 |
Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 145.2 | 61.8 |
Designated as Hedging Instrument [Member] | Other Noncurrent Liabilities [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 0.8 | 0.3 |
Designated as Hedging Instrument [Member] | Other Noncurrent Liabilities [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 3.3 | 3.1 |
Hedges Not Designated [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 57.6 | 6.6 |
Total Derivatives, Liabilities | 45 | 1.9 |
Hedges Not Designated [Member] | Other Receivables [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 2.6 | 2.6 |
Hedges Not Designated [Member] | Other Receivables [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 37.3 | 4 |
Hedges Not Designated [Member] | Other Noncurrent Assets [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Assets | 17.7 | 0 |
Hedges Not Designated [Member] | Accrued Liabilities [Member] | Interest rate management contract [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 0 | 0 |
Hedges Not Designated [Member] | Accrued Liabilities [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | 44.7 | 1.9 |
Hedges Not Designated [Member] | Other Noncurrent Liabilities [Member] | Forward Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Total Derivatives, Liabilities | $ 0.3 | $ 0 |
Financial Instruments (Schedu53
Financial Instruments (Schedule of Gain/Loss Related to Derivative Instruments) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Derivative [Line Items] | |||||
Interest expense | $ 28.2 | $ 31.3 | $ 80.7 | $ 96.1 | |
Other income/expense, net | (4.5) | (3.7) | (17.5) | (41.1) | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | |||||
Derivative [Line Items] | |||||
Interest expense | 1.4 | (0.6) | 2.1 | (1.3) | |
Other income/expense, net | 0.2 | 2.7 | 30.3 | (20.3) | |
Forward Exchange Contracts [Member] | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | |||||
Derivative [Line Items] | |||||
Interest expense | 0.3 | (0.6) | 0.1 | (1.4) | |
Other Contracts [Member] | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | |||||
Derivative [Line Items] | |||||
Interest expense | 1.1 | 0 | 2 | 0.1 | |
Cash Flow Hedges [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI (effective portion) | (13.6) | (16.9) | (37.8) | 0.8 | |
Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) | 0 | (1.2) | 0.3 | (0.2) | |
Net (gain) loss reclassified from OCI to other income, net (effective portion) | 0.2 | 2.5 | 29.7 | (19.8) | |
Net (gain) loss reclassified from OCI to interest expense (effective portion) | 1.4 | (0.6) | 2.1 | (1.3) | |
Net (gain) loss reclassified from OCI to other income, net (ineffective portion) | 0 | 0.2 | 0.6 | (0.5) | |
Cash Flow Hedges [Member] | Forward Exchange Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI (effective portion) | 1.8 | (8.7) | (44.2) | 10.7 | |
Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) | 0 | (1.2) | 0.3 | (0.2) | |
Net (gain) loss reclassified from OCI to other income, net (effective portion) | (2) | 3 | 40.7 | (15.6) | |
Net (gain) loss reclassified from OCI to interest expense (effective portion) | 0.3 | (0.6) | 0.1 | (1.4) | |
Net (gain) loss reclassified from OCI to other income, net (ineffective portion) | 0 | 0.2 | 0.6 | (0.5) | |
Cash Flow Hedges [Member] | Other Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI (effective portion) | [1] | (15.4) | (8.2) | 6.4 | (9.9) |
Net (gain) loss reclassified from OCI to sales/cost of sales (effective portion) | [1] | 0 | 0 | 0 | 0 |
Net (gain) loss reclassified from OCI to other income, net (effective portion) | [1] | 2.2 | (0.5) | (11) | (4.2) |
Net (gain) loss reclassified from OCI to interest expense (effective portion) | [1] | 1.1 | 0 | 2 | 0.1 |
Net (gain) loss reclassified from OCI to other income, net (ineffective portion) | [1] | 0 | 0 | 0 | 0 |
Fair Value Hedges [Member] | |||||
Derivative [Line Items] | |||||
Net (gain) loss recognized in interest expense | [2] | (4.5) | 2.8 | 3.5 | (0.6) |
Fair Value Hedges [Member] | Other Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net (gain) loss recognized in interest expense | [1],[2] | (4.5) | 2.8 | 3.5 | (0.6) |
Net Investment Hedges [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI | (53.9) | 5.2 | 161.4 | (15.5) | |
Net Investment Hedges [Member] | Forward Exchange Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI | (13.6) | 1.5 | 56.5 | (15.1) | |
Net Investment Hedges [Member] | Foreign Currency Debt [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI | (20) | 4.6 | 87.8 | (7.1) | |
Net Investment Hedges [Member] | Other Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in OCI | [1] | (20.3) | (0.9) | 17.1 | 6.7 |
Hedges Not Designated [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in net income (loss) | [3] | (4.3) | (4.7) | (11.5) | (4.7) |
Hedges Not Designated [Member] | Forward Exchange Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in net income (loss) | [3] | (4.3) | (4.7) | (11.5) | (4.9) |
Hedges Not Designated [Member] | Other Contracts [Member] | |||||
Derivative [Line Items] | |||||
Net gain (loss) recognized in net income (loss) | [1],[3] | $ 0 | $ 0 | $ 0 | $ 0.2 |
[1] | Other includes the impact on other comprehensive income (OCI) and earnings related to interest rate and cross currency interest rate swaps. | ||||
[2] | The impact of the fair value hedges noted above was largely offset by gains and losses resulting from the impact of changes in related interest rates on recognized outstanding debt. | ||||
[3] | The impact of the non-designated hedges noted above was largely offset by gains and losses resulting from the impact of changes in exchange rates on recognized assets and liabilities denominated in nonfunctional currencies. |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of the Carrying Values and Fair Values of Financial Instruments) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Sep. 30, 2014 |
Carrying Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion carrying value | $ 4,775.4 | $ 4,889.8 |
Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion fair value | 4,992.2 | 5,130.7 |
Interest rate management contract [Member] | Carrying Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 130.8 | 78.3 |
Derivative liabilities | 0.8 | 19.1 |
Interest rate management contract [Member] | Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 130.8 | 78.3 |
Derivative liabilities | 0.8 | 19.1 |
Forward Exchange Contracts [Member] | Carrying Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 187.3 | 93.4 |
Derivative liabilities | 193.5 | 66.8 |
Forward Exchange Contracts [Member] | Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 187.3 | 93.4 |
Derivative liabilities | $ 193.5 | $ 66.8 |
Fair Value Measurements (Sche55
Fair Value Measurements (Schedule of Fair Value of Assets and Liabilities) (Details) - Fair Value [Member] - USD ($) $ in Millions | Jun. 30, 2015 | Sep. 30, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total Assets at Fair Value | $ 318.1 | $ 171.7 |
Total Liabilities at Fair Value | 194.3 | 85.9 |
Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total Assets at Fair Value | 0 | 0 |
Total Liabilities at Fair Value | 0 | 0 |
Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total Assets at Fair Value | 318.1 | 171.7 |
Total Liabilities at Fair Value | 194.3 | 85.9 |
Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total Assets at Fair Value | 0 | 0 |
Total Liabilities at Fair Value | 0 | 0 |
Interest rate management contract [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 130.8 | 78.3 |
Derivative liabilities | 0.8 | 19.1 |
Interest rate management contract [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Interest rate management contract [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 130.8 | 78.3 |
Derivative liabilities | 0.8 | 19.1 |
Interest rate management contract [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Forward Exchange Contracts [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 187.3 | 93.4 |
Derivative liabilities | 193.5 | 66.8 |
Forward Exchange Contracts [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Forward Exchange Contracts [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 187.3 | 93.4 |
Derivative liabilities | 193.5 | 66.8 |
Forward Exchange Contracts [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |
Retirement Benefits (Narrative)
Retirement Benefits (Narrative) (Details) - Defined Benefit Plans and Other Postretirement Benefit Plans [Domain] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Sep. 30, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Settlement loss | $ 1.6 | $ 0 | $ 14.2 | $ 0 | |
Company contributions | 119.2 | $ 64.7 | $ 78.2 | ||
Business Realignment and Reorganization [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Special termination benefits | 0.8 | 6.5 | |||
Curtailment losses | $ 1.7 | 4.8 | |||
Minimum [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Total expected contributions for current fiscal year | 130 | ||||
Maximum [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Total expected contributions for current fiscal year | $ 150 |
Retirement Benefits (Schedule o
Retirement Benefits (Schedule of Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
US [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 10.6 | $ 10.6 | $ 31.8 | $ 31.9 |
Interest cost | 31.1 | 32.7 | 93.6 | 98.1 |
Expected return on plan assets | (50.5) | (47) | (151.5) | (140.9) |
Prior service cost amortization | 0.7 | 0.7 | 2.1 | 2.1 |
Actuarial loss amortization | 19.9 | 19.6 | 59.3 | 58.8 |
Settlement and curtailment charges | 3.3 | 0 | 18.9 | 0 |
Special termination benefits | 0.8 | 0 | 5.6 | 0.2 |
Other | 0.2 | 0 | 1.3 | 0 |
Net periodic benefit cost | 16.1 | 16.6 | 61.1 | 50.2 |
International [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 7.8 | 9.2 | 23.9 | 27 |
Interest cost | 14.2 | 16.9 | 43.4 | 50.4 |
Expected return on plan assets | (20) | (19.7) | (60.2) | (58.5) |
Prior service cost amortization | (0.1) | 0 | 0 | 0.1 |
Actuarial loss amortization | 10.6 | 9.1 | 31.2 | 26.8 |
Settlement and curtailment charges | 0 | 0 | (0.1) | 0.5 |
Special termination benefits | 0 | 0 | 0.9 | 0 |
Other | 0.4 | 0.6 | 1.4 | 1.6 |
Net periodic benefit cost | 12.9 | 16.1 | 40.5 | 47.9 |
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0.7 | 0.9 | 2.1 | 2.5 |
Interest cost | 0.6 | 0.5 | 1.7 | 1.7 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Prior service cost amortization | 0 | 0 | 0 | 0 |
Actuarial loss amortization | 0.2 | 0.4 | 0.6 | 1.3 |
Other | 0 | 0 | 0 | 0 |
Net periodic benefit cost | $ 1.5 | $ 1.8 | $ 4.4 | $ 5.5 |
Commitments and Contingencies (
Commitments and Contingencies (Litigation and Environmental) (Narrative) (Details) BRL in Millions, $ in Millions | 1 Months Ended | 9 Months Ended | |||
Sep. 30, 2010BRL | Jun. 30, 2015USD ($) | Jun. 30, 2015BRLSites | Jun. 30, 2015USD ($)Sites | Sep. 30, 2014USD ($) | |
Environmental [Member] | |||||
Loss Contingencies [Line Items] | |||||
Accrual for environmental loss contingencies | $ 82.5 | $ 86.2 | |||
Approximate number of sites on which settlement has not been reached | Sites | 37 | 37 | |||
Accrual for environmental loss contingencies, Minimum exposure | $ 82 | ||||
Accrual for environmental loss contingencies, Maximum exposure | 95 | ||||
Environmental [Member] | Maximum [Member] | |||||
Loss Contingencies [Line Items] | |||||
Accrual for environmental loss contingencies, Maximum payout period | 30 years | ||||
Alleged Anticompete Litigation [Member] | |||||
Loss Contingencies [Line Items] | |||||
Civil fines imposed | BRL 179.2 | $ 58 | |||
Provision for litigation | $ 0 | ||||
Maximum of loss contingency range subject to interest | BRL 179.2 | $ 58 |
Commitments and Contingencies59
Commitments and Contingencies (Pace) (Narrative) (Details) - Pace, Florida [Member] - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Sep. 30, 2006 | |
Loss Contingencies [Line Items] | ||
Accrual for environmental loss contingencies | $ 31.4 | $ 42 |
Years to complete environmental remediation | 20 years | |
Change in estimated exposure | $ 0 | |
Environmental loss contingencies estimated costs through completion, maximum | $ 52 | |
Environmental loss contingencies estimated costs through completion, minimum | 42 | |
Segment Discontinued Operations Member | ||
Loss Contingencies [Line Items] | ||
Pretax environmental expense | $ 42 |
Commitments and Contingencies60
Commitments and Contingencies (Piedmont) (Narrative) (Details) - Piedmont, Florida [Member] - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Sep. 30, 2008 | |
Loss Contingencies [Line Items] | ||
Accrual for environmental loss contingencies | $ 18.3 | $ 24 |
Years to complete environmental remediation (beginning in 2017) | 15 years | |
Change in estimated exposure | $ 0 | |
Total anticipated exposure at this site | $ 24 | |
Segment Discontinued Operations Member | ||
Loss Contingencies [Line Items] | ||
Pretax environmental expense | $ 24 |
Commitments and Contingencies61
Commitments and Contingencies (Pasadena) (Narrative) (Details) - Pasadena Texas Member [Member] - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Sep. 30, 2012 | |
Loss Contingencies [Line Items] | ||
Accrual for environmental loss contingencies | $ 11.7 | |
Estimated environmental remediation completion year | 2,042 | |
Total anticipated exposure at this site | $ 13 | |
Change in estimated exposure | $ 0 |
Commitments and Contingencies62
Commitments and Contingencies (Guarantees) (Narrative) (Details) - Jun. 30, 2015 - Jazan [Member] - USD ($) $ in Millions | Total |
Guarantor Obligations [Line Items] | |
Equity method investment, ownership percentage | 25.00% |
Percentage share of loan | 25.00% |
Parent Guarantee [Member] | |
Guarantor Obligations [Line Items] | |
Maximum potential payment under guarantees | $ 100 |
Bank Guarantee [Member] | |
Guarantor Obligations [Line Items] | |
Maximum potential payment under guarantees | $ 326 |
Share-Based Compensation (Narra
Share-Based Compensation (Narratives) (Details) - Jun. 30, 2015 - $ / shares | Total |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Shares available for future grant | 5,115,244 |
Market-Based Deferred Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Number of units/shares granted | 119,272 |
Performance Period | 3 years |
Weighted-average grant date fair value of shares/units | $ 194.51 |
Time-Based Deferred Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Number of units/shares granted | 138,010 |
Weighted-average grant date fair value of shares/units | $ 144.3 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Number of stock options granted | 180,619 |
Weighted-average exercise price of stock options granted, per option | $ 144.19 |
Estimated fair value of stock options granted, per option | $ 37.19 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Number of units/shares granted | 19,691 |
Weighted-average grant date fair value of shares/units | $ 144.09 |
Share-Based Compensation (Compe
Share-Based Compensation (Compensation Cost Recognized in Income Statement) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Before-Tax Share-Based Compensation | $ 12.5 | $ 9.1 | $ 37.3 | $ 32.5 |
Income Tax Benefit | (4.4) | (3.2) | (13.1) | (11.4) |
After-Tax Share-Based Compensation | $ 8.1 | $ 5.9 | $ 24.2 | $ 21.1 |
Share-Based Compensation (Marke
Share-Based Compensation (Market-Based Deferred Stock Units Valuation Assumptions) (Details) - Market-Based Deferred Stock Units [Member] | 9 Months Ended |
Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Expected volatility | 19.60% |
Risk-free interest rate | 0.90% |
Expected dividend yield | 2.50% |
Share-Based Compensation (Stock
Share-Based Compensation (Stock Option Valuation Assumptions) (Details) - 9 months ended Jun. 30, 2015 - Stock Options [Member] | Total |
Share-based Compensation Arrangement by Share-based Award [Line Items] | |
Expected volatility | 30.30% |
Risk-free interest rate | 2.20% |
Expected dividend yield | 2.60% |
Expected life (in years) | 7 years 6 months |
Equity (Changes in Equity) (Det
Equity (Changes in Equity) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Balance, beginning of period | $ 7,476.3 | $ 7,527.8 | $ 7,521.4 | $ 7,198.9 | |
Net Income | 327.1 | 322.4 | 956.1 | 911 | |
Other comprehensive income (loss) | 85.2 | 112.3 | (339.5) | 93.7 | |
Cash Dividends | (174.2) | (164.1) | (513.5) | (477.8) | |
Dividends to noncontrolling interests | (8.8) | (8) | (28.1) | (18.2) | |
Share-based compensation | 10.5 | 9.1 | 35.3 | 32.5 | |
Issuance of treasury shares for stock option and award plans | 11.6 | 48.5 | 74.5 | 96.4 | |
Tax benefit of stock option and award plans | 3.9 | 9.1 | 26.8 | 23.1 | |
Purchase of noncontrolling interests | 0 | 0 | 0 | (0.5) | |
Other | (0.3) | (0.9) | (1.7) | (2.9) | |
Balance, end of period | 7,731.3 | 7,856.2 | 7,731.3 | 7,856.2 | |
Air Products Shareholders' Equity [Member] | |||||
Balance, beginning of period | 7,332.5 | 7,370.9 | 7,365.8 | 7,042.1 | |
Net Income | 318.8 | 314 | 933.4 | 887.7 | |
Other comprehensive income (loss) | 83.7 | 110.1 | (336.5) | 96.1 | |
Cash Dividends | (174.2) | (164.1) | (513.5) | (477.8) | |
Dividends to noncontrolling interests | 0 | 0 | 0 | 0 | |
Share-based compensation | 10.5 | 9.1 | 35.3 | 32.5 | |
Issuance of treasury shares for stock option and award plans | 11.6 | 48.5 | 74.5 | 96.4 | |
Tax benefit of stock option and award plans | 3.9 | 9.1 | 26.8 | 23.1 | |
Purchase of noncontrolling interests | 0 | 0 | 0 | (0.5) | |
Other | (0.8) | (0.9) | 0.2 | (2.9) | |
Balance, end of period | 7,586 | 7,696.7 | 7,586 | 7,696.7 | |
Noncontrolling Interests [Member] | |||||
Balance, beginning of period | 143.8 | 156.9 | 155.6 | 156.8 | |
Net Income | [1] | 8.3 | 8.4 | 22.7 | 23.3 |
Other comprehensive income (loss) | 1.5 | 2.2 | (3) | (2.4) | |
Cash Dividends | 0 | 0 | 0 | 0 | |
Dividends to noncontrolling interests | (8.8) | (8) | (28.1) | (18.2) | |
Share-based compensation | 0 | 0 | 0 | 0 | |
Issuance of treasury shares for stock option and award plans | 0 | 0 | 0 | 0 | |
Tax benefit of stock option and award plans | 0 | 0 | 0 | 0 | |
Purchase of noncontrolling interests | 0 | 0 | 0 | 0 | |
Other | 0.5 | 0 | (1.9) | 0 | |
Balance, end of period | $ 145.3 | $ 159.5 | $ 145.3 | $ 159.5 | |
[1] | Net income attributable to noncontrolling interests excludes net income related to redeemable noncontrolling interests, which is not included in total equity. Refer to Note 16, Noncontrolling Interests, for additional information. |
Equity (Changes in Equity) (Par
Equity (Changes in Equity) (Parenthetical) (Details) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends per share | $ 0.81 | $ 0.77 | $ 2.39 | $ 2.25 |
Accumulated Other Comprehensi69
Accumulated Other Comprehensive Loss (Rollforward) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning balance | $ (1,662.1) | $ (1,241.9) | ||
Other comprehensive income (loss) before reclassifications | 61.4 | (443.9) | ||
Amounts reclassified from AOCL | 23.8 | 104.4 | ||
Net current period other comprehensive income (loss) | 85.2 | $ 112.3 | (339.5) | $ 93.7 |
Amount attributable to noncontrolling interests | 1.5 | $ 2.2 | (3) | $ (2.4) |
Ending Balance | (1,578.4) | (1,578.4) | ||
Net loss on derivatives qualifying as hedges [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning balance | (21.7) | (28.5) | ||
Other comprehensive income (loss) before reclassifications | (13.6) | (37.8) | ||
Amounts reclassified from AOCL | 1.6 | 32.7 | ||
Net current period other comprehensive income (loss) | (12) | (5.1) | ||
Amount attributable to noncontrolling interests | (0.1) | 0 | ||
Ending Balance | (33.6) | (33.6) | ||
Foreign currency translation adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning balance | (740.6) | (268.7) | ||
Other comprehensive income (loss) before reclassifications | 73 | (403.5) | ||
Amounts reclassified from AOCL | 0 | 0 | ||
Net current period other comprehensive income (loss) | 73 | (403.5) | ||
Amount attributable to noncontrolling interests | 1.6 | (3) | ||
Ending Balance | (669.2) | (669.2) | ||
Pension and postretirement benefits [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning balance | (899.8) | (944.7) | ||
Other comprehensive income (loss) before reclassifications | 2 | (2.6) | ||
Amounts reclassified from AOCL | 22.2 | 71.7 | ||
Net current period other comprehensive income (loss) | 24.2 | 69.1 | ||
Amount attributable to noncontrolling interests | 0 | 0 | ||
Ending Balance | $ (875.6) | $ (875.6) |
Accumulated Other Comprehensi70
Accumulated Other Comprehensive Loss (Reclassification) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Other income/expense, net | $ (4.5) | $ (3.7) | $ (17.5) | $ (41.1) | |
Interest expense | 28.2 | 31.3 | 80.7 | 96.1 | |
Net Income Attributable to Air Products | (318.8) | (314) | (933.4) | (887.7) | |
Income (Loss) from discontinued operations, net of tax | 0 | 0 | 0 | 3.1 | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | (Gain) Loss on Cash Flow Hedges [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Sales/Cost of sales | 0 | (1.2) | 0.3 | (0.2) | |
Other income/expense, net | 0.2 | 2.7 | 30.3 | (20.3) | |
Interest expense | 1.4 | (0.6) | 2.1 | (1.3) | |
Net Income Attributable to Air Products | 1.6 | 0.9 | 32.7 | (21.8) | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Pension and postretirement benefits [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Net Income Attributable to Air Products | [1] | $ 22.2 | $ 20.3 | $ 71.7 | $ 60.9 |
[1] | The components include items such as prior service cost amortization, actuarial loss amortization, and settlements and are reflected in net periodic benefit cost. Refer to Note 11, Retirement Benefits. |
Noncontrolling Interests (Narra
Noncontrolling Interests (Narrative) (Details) - Indura [Member] - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | |
Jul. 31, 2015 | Jun. 30, 2015 | Jul. 02, 2012 | |
Noncontrolling Interest [Line Items] | |||
Percentage equity interest purchased | 64.80% | ||
Minority interest ownership percentage under put option | 30.50% | ||
Put option exercise period start date | Jul. 1, 2015 | ||
Put option exercise period beginning 1 July 2015 | 2 years | ||
Current ownership percentage | 67.30% | ||
Subsequent Event [Member] | |||
Noncontrolling Interest [Line Items] | |||
Percentage equity interest purchased | 30.50% | ||
Payment for repurchase of redeemable noncontrolling interest | $ 278 |
Noncontrolling Interests (Rollf
Noncontrolling Interests (Rollforward Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Redeemable Noncontrolling Interest [Line Items] | ||||
Balance, beginning of period | $ 280 | $ 343.6 | $ 287.2 | $ 375.8 |
Net income (loss) | 6.1 | 1.1 | 11.5 | 3.1 |
Dividends | (2) | (1.2) | (2) | (4.7) |
Currency translation adjustment | (6.2) | (2.1) | (18.8) | (32.8) |
Balance, end of period | $ 277.9 | $ 341.4 | $ 277.9 | $ 341.4 |
Earnings per Share (Schedule of
Earnings per Share (Schedule of Earnings per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share | ||||
Income from continuing operations | $ 318.8 | $ 314 | $ 933.4 | $ 884.6 |
Income from discontinued operations | 0 | 0 | 0 | 3.1 |
Net Income Attributable to Air Products | $ 318.8 | $ 314 | $ 933.4 | $ 887.7 |
Weighted average number of common shares outstanding | 215.2 | 212.9 | 214.8 | 212.4 |
Employee stock option and other award plans | 2.2 | 2.5 | 2.4 | 2.5 |
Weighted average number of common shares outstanding assuming dilution | 217.4 | 215.4 | 217.2 | 214.9 |
Income from Continuing Operations, Basic | $ 1.48 | $ 1.47 | $ 4.35 | $ 4.17 |
Income (loss) from Discontinued Operations, Basic | 0 | 0 | 0 | 0.01 |
Net Income Attributable to Air Products | 1.48 | 1.47 | 4.35 | 4.18 |
Income from Continuing Operations, Diluted | 1.47 | 1.46 | 4.3 | 4.12 |
Income from Discontinued Operations, Diluted | 0 | 0 | 0 | 0.01 |
Net Income Attributable to Air Products | $ 1.47 | $ 1.46 | $ 4.3 | $ 4.13 |
Earnings per Share (Narrative)
Earnings per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share | ||||
Antidilutive share-based awards excluded from computation of diluted earnings per share | 0.2 | 0.7 | 0.2 | 0.8 |
Supplemental Information (Credi
Supplemental Information (Credit Agreement) (Narrative) (Details) - Revolving Credit Facility [Member] - 2013 Credit Agreement [Member] - USD ($) $ in Millions | 12 Months Ended | |||
Sep. 30, 2013 | Jun. 30, 2015 | Apr. 30, 2015 | Jun. 30, 2014 | |
Line of Credit Facility [Line Items] | ||||
Credit facility, length of credit agreement in years | 5 years | |||
Credit facility, maximum borrowing capacity | $ 2,500 | $ 2,405 | $ 2,405 | $ 2,595 |
Credit facility, expiration date | Apr. 30, 2018 | |||
Credit facility, amount borrowed and outstanding | $ 0 | |||
Covenant, ratio of total debt to total capitalization | 70.00% |
Supplemental Information (Debt)
Supplemental Information (Debt) (Narrative) (Details) € in Millions, $ in Millions | 5 Months Ended | 9 Months Ended | |||
Mar. 10, 2015EUR (€) | Jun. 30, 2015USD ($) | Jun. 30, 2015EUR (€) | Jun. 30, 2015USD ($) | Mar. 10, 2015USD ($) | |
Eurobond 1.0% [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, issuance date | Feb. 12, 2015 | ||||
Interest rate of debt, stated percentage | 1.00% | 1.00% | |||
Debt instrument, principal amount | € 300 | $ 335.3 | |||
Debt instrument, maturity date | Feb. 12, 2025 | ||||
Eurobond 3.875% [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate of debt, stated percentage | 3.875% | 3.875% | |||
Debt instrument, principal amount | € 300 | $ 335.9 | |||
Debt instrument, maturity date | Mar. 10, 2015 | ||||
Commercial Paper [Member] | |||||
Debt Instrument [Line Items] | |||||
Amount classified as long-term debt based on ability and intent to refinance | $ 250 |
Business Segment Information (N
Business Segment Information (Narratives) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Sales | $ 2,470.2 | $ 2,634.6 | $ 7,445.5 | $ 7,762 |
Industrial Gases Global [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Sales | 71.3 | 70.8 | 197.4 | 206.4 |
Industrial Gases Global [Member] | Intersegment Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Sales | $ 66.3 | $ 51.7 | $ 180 | $ 141.4 |
Business Segment Information (S
Business Segment Information (Schedule of Segment Reporting Information) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Sep. 30, 2014 | |
Segment Reporting Information [Line Items] | |||||
Sales | $ 2,470.2 | $ 2,634.6 | $ 7,445.5 | $ 7,762 | |
Operating income (loss) | 422.5 | 413.8 | 1,226.9 | 1,184.1 | |
Depreciation and amortization | 701.8 | 702.3 | |||
Equity affiliates' income (loss) | 42.4 | 43.1 | 118.5 | 111.7 | |
Total assets | 17,671.5 | 17,671.5 | $ 17,779.1 | ||
Segment Total [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 2,470.2 | 2,634.6 | 7,445.5 | 7,762 | |
Operating income (loss) | 482.3 | 413.8 | 1,369.2 | 1,184.1 | |
Depreciation and amortization | 233 | 239 | 701.8 | 702.3 | |
Equity affiliates' income (loss) | 42.4 | 43.1 | 118.5 | 111.7 | |
Total assets | 17,671.5 | 17,671.5 | 17,779.1 | ||
Industrial Gases - Americas [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 898.2 | 1,064 | 2,791.6 | 3,040.8 | |
Operating income (loss) | 206.5 | 188.9 | 599.7 | 543 | |
Depreciation and amortization | 103.9 | 105.6 | 310.8 | 309 | |
Equity affiliates' income (loss) | 17.3 | 14.7 | 49.6 | 44.9 | |
Total assets | 6,092.4 | 6,092.4 | 6,240.7 | ||
Industrial Gases - EMEA [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 455.2 | 537.4 | 1,404.8 | 1,630 | |
Operating income (loss) | 87.6 | 85.7 | 239.9 | 258.4 | |
Depreciation and amortization | 47 | 54.9 | 145.7 | 164.8 | |
Equity affiliates' income (loss) | 12.1 | 13.5 | 30.4 | 32.5 | |
Total assets | 3,268.4 | 3,268.4 | 3,521 | ||
Industrial Gases - Asia [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 417.6 | 366.2 | 1,209.3 | 1,127.2 | |
Operating income (loss) | 100.9 | 83.8 | 276.1 | 237.7 | |
Depreciation and amortization | 51.9 | 50 | 151.8 | 144.5 | |
Equity affiliates' income (loss) | 12.7 | 13.4 | 36.7 | 30.6 | |
Total assets | 4,207.1 | 4,207.1 | 4,045.6 | ||
Industrial Gases - Global [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 71.3 | 70.8 | 197.4 | 206.4 | |
Operating income (loss) | (24.1) | (14.4) | (49.9) | (39.3) | |
Depreciation and amortization | 4.2 | 1.7 | 14 | 5 | |
Equity affiliates' income (loss) | 0 | 0.7 | 0.2 | 1.7 | |
Total assets | 291.2 | 291.2 | 389.4 | ||
Materials Technologies [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 539.8 | 524.7 | 1,597.1 | 1,503.8 | |
Operating income (loss) | 131.5 | 96.6 | 360.3 | 254.7 | |
Depreciation and amortization | 22.7 | 24.5 | 70 | 71.7 | |
Equity affiliates' income (loss) | 0.3 | 0.8 | 1.6 | 2 | |
Total assets | 1,826.8 | 1,826.8 | 1,835.7 | ||
Energy-from-Waste [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 0 | 0 | 0 | 0 | |
Operating income (loss) | (2.5) | (3.2) | (7.8) | (9.6) | |
Depreciation and amortization | 0 | 0 | 0 | 0 | |
Equity affiliates' income (loss) | 0 | 0 | 0 | 0 | |
Total assets | 846 | 846 | 591.9 | ||
Corporate and Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 88.1 | 71.5 | 245.3 | 253.8 | |
Operating income (loss) | (17.6) | (23.6) | (49.1) | (60.8) | |
Depreciation and amortization | 3.3 | 2.3 | 9.5 | 7.3 | |
Equity affiliates' income (loss) | 0 | $ 0 | 0 | $ 0 | |
Total assets | $ 1,139.6 | $ 1,139.6 | $ 1,154.8 |
Business Segment Information (R
Business Segment Information (Reconciliation of Operating Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Business restructuring and cost reduction actions | $ (58.2) | $ 0 | $ (146) | $ 0 |
Pension settlement loss | (1.6) | 0 | (14.2) | 0 |
Gain on previously held equity interest | 0 | 0 | 17.9 | 0 |
Operating Income | 422.5 | 413.8 | 1,226.9 | 1,184.1 |
Segment Total [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating Income | $ 482.3 | $ 413.8 | $ 1,369.2 | $ 1,184.1 |
Uncategorized Items - apd-20150
Label | Element | Value |
Less: Net Income Attributable to Noncontrolling Interests | us-gaap_NetIncomeLossAttributableToNoncontrollingInterest | $ 14.4 |
Less: Net Income Attributable to Noncontrolling Interests | us-gaap_NetIncomeLossAttributableToNoncontrollingInterest | 9.5 |
Net Income | us-gaap_ProfitLoss | 323.5 |
Net Income | us-gaap_ProfitLoss | $ 333.2 |