BUSINESS SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2017

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker, or decision making group, in deciding how to allocate resources to an individual segment and in assessing performance. Eaton’s operating segments are Electrical Products, Electrical Systems and Services, Hydraulics, Aerospace and Vehicle. Operating profit includes the operating profit from intersegment sales. For additional information regarding Eaton’s business segments, see Note 15 to the Consolidated Financial Statements contained in the 2016 Form 10-K.



	Three months ended September 30						Nine months ended September 30
	2017			2016			2017			2016
Net sales
Electrical Products	$	1,857		$	1,767		$	5,371		$	5,231
Electrical Systems and Services	1,421			1,436			4,168			4,207
Hydraulics	634			562			1,854			1,702
Aerospace	438			436			1,303			1,328
Vehicle	861			786			2,495			2,412
Total net sales	$	5,211		$	4,987		$	15,191		$	14,880

Segment operating profit
Electrical Products	$	346		$	331		$	957		$	924
Electrical Systems and Services	196			197			545			534
Hydraulics	80			61			214			161
Aerospace	84			88			244			251
Vehicle	150			122			397			377
Total segment operating profit	856			799			2,357			2,247

Corporate
Amortization of intangible assets	(98		)	(99		)	(288		)	(297		)
Interest expense - net	(60		)	(59		)	(181		)	(173		)
Pension and other postretirement benefits expense	(16		)	(18		)	(38		)	(45		)
Gain on sale of business	1,077			—			1,077			—
Other corporate expense - net	(68		)	(50		)	(202		)	(164		)
Income before income taxes	1,691			573			2,725			1,568
Income tax expense	292			51			378			151
Net income	1,399			522			2,347			1,417
Less net (income) loss for noncontrolling interests	—			1			(1		)	1
Net income attributable to Eaton ordinary shareholders	$	1,399		$	523		$	2,346		$	1,418