EQUITY The changes in Shareholders’ equity follow: | | | | | | | | | | | | | | Eaton shareholders’ equity | | Noncontrolling interests | | Total equity | Balance at December 31, 2013 | $ | 16,791 |
| | $ | 72 |
| | $ | 16,863 |
| Net income | 439 |
| | 2 |
| | 441 |
| Other comprehensive income | 3 |
| | — |
| | 3 |
| Cash dividends paid and accrued | (234 | ) | | — |
| | (234 | ) | Issuance of shares under equity-based compensation plans - net | 38 |
| | — |
| | 38 |
| Balance at March 31, 2014 | $ | 17,037 |
| | $ | 74 |
| | $ | 17,111 |
|
The changes in Accumulated other comprehensive (loss) income follow: | | | | | | | | | | | | | | | | | | Currency translation and related hedging instruments | | Pensions and other postretirement benefits | | Cash flow hedges | | Total | Balance at December 31, 2013 | $ | (395 | ) | | $ | (1,170 | ) | | $ | 5 |
| | $ | (1,560 | ) | Other comprehensive (loss) income before reclassifications | (47 | ) | | 9 |
| | 1 |
| | (37 | ) | Amounts reclassified from Accumulated other comprehensive (loss) income | — |
| | 41 |
| | (1 | ) | | 40 |
| Net current-period other comprehensive (loss) income | (47 | ) | | 50 |
| | — |
| | 3 |
| Balance at March 31, 2014 | $ | (442 | ) | | $ | (1,120 | ) | | $ | 5 |
| | $ | (1,557 | ) |
The reclassifications out of Accumulated other comprehensive loss follow: | | | | | | | | | | Three months ended
March 31, 2014 | | Consolidated Statements of Income classification | Amortization of defined benefit pension items | | | | | Actuarial loss | | $ | (66 | ) | | 1 | Tax benefit | | 25 |
| | | Total, net of tax | | (41 | ) | | | | | | | | Loss on cash flow hedges | | | | | Currency exchange contracts | | 2 |
| | Cost of products sold | Tax expense | | (1 | ) | | | Total, net of tax | | 1 |
| | | | | | | | Total reclassifications for the period | | $ | (40 | ) | | |
1 These components of Accumulated other comprehensive loss are included in the computation of net periodic pension cost. See Note 5 for additional information about defined benefit pension items. Net Income per Ordinary Share A summary of the calculation of net income per ordinary share attributable to shareholders follows: | | | | | | | | | | Three months ended
March 31 | (Shares in millions) | 2014 | | 2013 | Net income attributable to Eaton ordinary shareholders | $ | 439 |
| | $ | 378 |
| | | | | Weighted-average number of ordinary shares outstanding - diluted | 478.8 |
| | 475.1 |
| Less dilutive effect of equity-based compensation | 3.0 |
| | 3.2 |
| Weighted-average number of ordinary shares outstanding - basic | 475.8 |
| | 471.9 |
| | | | | Net income per ordinary share | | | | Diluted | $ | 0.92 |
| | $ | 0.79 |
| Basic | 0.92 |
| | 0.80 |
|
For the first quarter 2014 and 2013, 0.1 million stock options were excluded from the calculation of diluted net income per ordinary share because the exercise price of the options exceeded the average market price of the ordinary shares during the period and their effect, accordingly, would have been antidilutive. |