EQUITY

Eaton has an ordinary share repurchase program (2013 Program) that authorizes the repurchase of 40 million ordinary shares. During the first quarter of 2015, 2.4 million ordinary shares were repurchased under the 2013 Program in the open market at a total cost of $170. No ordinary shares were repurchased during the second quarter of 2015. During the first six months and second quarter of 2014, 1.4 million ordinary shares were repurchased under the 2013 Program in the open market at a total cost of $99.

The changes in Shareholders’ equity follow:



	Eaton shareholders’ equity			Noncontrolling interests			Total equity
Balance at December 31, 2014	$	15,786		$	53		$	15,839
Net income	1,001			1			1,002
Other comprehensive loss	(404		)	—			(404		)
Cash dividends paid and accrued	(514		)	(4		)	(518		)
Issuance of shares under equity-based compensation plans - net	54			—			54
Repurchase of shares	(170		)	—			(170		)
Balance at June 30, 2015	$	15,753		$	50		$	15,803

The changes in Accumulated other comprehensive loss follow:



	Currency translation and related hedging instruments			Pensions and other postretirement benefits			Cash flow hedges			Total
Balance at December 31, 2014	$	(1,414	)	$	(1,485	)	$	—		$	(2,899	)
Other comprehensive (loss) income before reclassifications	(511		)	30			7			(474		)
Amounts reclassified from Accumulated other comprehensive loss	—			74			(4		)	70
Net current-period Other comprehensive (loss) income	(511		)	104			3			(404		)
Balance at June 30, 2015	$	(1,925	)	$	(1,381	)	$	3		$	(3,303	)

The reclassifications out of Accumulated other comprehensive loss follow:



	Six months ended June 30, 2015				Consolidated statements of income classification
Amortization of pensions and other postretirement benefits items
Actuarial loss and prior service cost	$	(114	)	¹
Tax benefit	40
Total, net of tax	(74		)

Gains and (losses) on cash flow hedges
Currency exchange contracts	6				Cost of products sold
Tax expense	(2		)
Total, net of tax	4

Total reclassifications for the period	$	(70	)

¹ These components of Accumulated other comprehensive loss are included in the computation of net periodic benefit cost. See Note 6 for additional information about pension and other post retirement benefits items.

Net Income per Ordinary Share

A summary of the calculation of net income per ordinary share attributable to shareholders follows:



	Three months ended June 30				Six months ended June 30
(Shares in millions)	2015		2014		2015		2014
Net income attributable to Eaton ordinary shareholders	$	535	$	171	$	1,001	$	610

Weighted-average number of ordinary shares outstanding - diluted	469.2		478.5		469.6		478.7
Less dilutive effect of equity-based compensation	1.6		2.6		1.9		2.8
Weighted-average number of ordinary shares outstanding - basic	467.6		475.9		467.7		475.9

Net income per ordinary share
Diluted	$	1.14	$	0.36	$	2.13	$	1.27
Basic	1.14		0.36		2.14		1.28

For the second quarter and first six months of 2015, 1.3 million and 1.1 million stock options, respectively, 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. For the second quarter and first six months of 2014, 0.5 million and 0.3 million stock options, respectively, 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.