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ACQUISITIONS AND DIVESTITURES OF BUSINESSES (Tables) | 12 Months Ended
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Dec. 31, 2021
Business Combination and Asset Acquisition [Abstract] |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The final allocation as of the date of acquisition follows:
(In millions) |  |  |  |  | Final Allocation
Accounts receivable - net |  |  |  |  | $ | 60 |
Inventory |  |  |  |  | 125 |
Prepaid expenses and other current assets |  |  |  |  | 4 |
Property, plant and equipment |  |  |  |  | 103 |
Other intangible assets |  |  |  |  | 370 |
Other assets |  |  |  |  | 8 |
Accounts payable |  |  |  |  | (33) |
Other current liabilities |  |  |  |  | (58) |
Other noncurrent liabilities |  |  |  |  | (126) |
Total identifiable net assets |  |  |  |  | 453 |
Noncontrolling interests |  |  |  |  | (3) |
Goodwill |  |  |  |  | 457 |
Total consideration, net of cash received |  |  |  |  | $ | 907 |
The table below summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed on the acquisition date, as well as measurement period adjustments recorded as of December 31, 2021. These preliminary estimates will continue to be revised during the measurement period as further information becomes available and additional analyses are performed. The third-party valuations for Other intangible assets and Property, plant and equipment have been received. The current measurement period adjustments did not have a material impact to the Consolidated Statements of Income.
(In millions) |  |  |  | Preliminary Allocation |  | Measurement Period Adjustments |  | Adjusted Preliminary Allocation
Short-term investments |  |  |  | $ | 5 |  |  | $ | — |  |  | $ | 5 |
Accounts receivable |  |  |  | 94 |  |  | — |  |  | 94 |
Inventory |  |  |  | 184 |  |  | (7) |  |  | 177 |
Prepaid expenses and other current assets |  |  |  | 6 |  |  | (1) |  |  | 5 |
Property, plant and equipment |  |  |  | 6 |  |  | (5) |  |  | 1 |
Other intangible assets |  |  |  | 630 |  |  | (26) |  |  | 604 |
Other assets |  |  |  | — |  |  | 2 |  |  | 2 |
Accounts payable |  |  |  | (13) |  |  | — |  |  | (13) |
Other current liabilities |  |  |  | (32) |  |  | (3) |  |  | (35) |
Other noncurrent liabilities |  |  |  | (157) |  |  | (3) |  |  | (160) |
Total identifiable net assets |  |  |  | 723 |  |  | (43) |  |  | 680 |
Goodwill |  |  |  | 928 |  |  | 43 |  |  | 971 |
Total consideration, net of cash received |  |  |  | $ | 1,651 |  |  | $ | — |  |  | $ | 1,651 |
The table below summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed on the acquisition date, as well as measurement period adjustments recorded as of December 31, 2021. These preliminary estimates will continue to be revised during the measurement period as third-party valuations are received and finalized, further information becomes available and additional analyses are performed, and these differences could have a material impact on Eaton's preliminary purchase price allocation. The current measurement period adjustments did not have a material impact to the Consolidated Statements of Income.
(In millions) |  |  |  | Preliminary Allocation |  | Measurement Period Adjustments |  | Adjusted Preliminary Allocation
Accounts receivable |  |  |  | $ | 84 |  |  | $ | — |  |  | $ | 84 |
Inventory |  |  |  | 179 |  |  | (1) |  |  | 178 |
Prepaid expenses and other current assets |  |  |  | 45 |  |  | 7 |  |  | 52 |
Property, plant and equipment |  |  |  | 86 |  |  | — |  |  | 86 |
Other intangible assets |  |  |  | 1,575 |  |  | — |  |  | 1,575 |
Other assets |  |  |  | 19 |  |  | (9) |  |  | 10 |
Accounts payable |  |  |  | (40) |  |  | — |  |  | (40) |
Other current liabilities |  |  |  | (159) |  |  | 3 |  |  | (156) |
Other noncurrent liabilities |  |  |  | (77) |  |  | (3) |  |  | (80) |
Total identifiable net assets |  |  |  | 1,712 |  |  | (3) |  |  | 1,709 |
Goodwill |  |  |  | 1,088 |  |  | 3 |  |  | 1,091 |
Total consideration, net of cash received |  |  |  | $ | 2,800 |  |  | $ | — |  |  | $ | 2,800 |
Schedule of Assets and Liabilities Classified as Held-for-Sale | The assets and liabilities classified as held for sale for the Hydraulics business on the December 31, 2020 Consolidated Balance Sheet are as follows:
(In millions) | December 31, 2020 |  |
Accounts receivable - net | $ | 345 |  |  |
Inventory | 369 |  |  |
Prepaid expenses and other current assets | 18 |  |  |
Net property, plant and equipment | 504 |  |  |
Goodwill | 920 |  |  |
Other intangible assets | 248 |  |  |
Operating lease assets | 61 |  |  |
Deferred income taxes | 6 |  |  |
Other noncurrent assets | 16 |  |  |
Assets held for sale - current | $ | 2,487 |  |  |
Accounts payable | $ | 241 |  |  |
Accrued compensation | 26 |  |  |
Other current liabilities | 101 |  |  |
Pension liabilities | 60 |  |  |
Operating lease liabilities | 35 |  |  |
Deferred income taxes | 3 |  |  |
Other noncurrent liabilities | 2 |  |  |
Liabilities held for sale - current | $ | 468 |  |  |

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- Definition Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=109226691&loc=SL51724579-110230 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=109222650&loc=d3e1474-107760 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5D -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721677-107760 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=109222160&loc=SL51721533-107759 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3A -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721659-107760 Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4B -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721665-107760 Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=109226691&loc=d3e2941-110230 Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5C -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721675-107760 Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721683-107760 Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=109222650&loc=d3e1361-107760 Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5A -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721671-107760 Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 5B -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721673-107760 Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 4A -URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721663-107760 + Details
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- Definition Tabular disclosure of the amounts recognized as of the acquisition date for each major class of assets acquired and liabilities assumed. May include but not limited to the following: (a) acquired receivables; (b) contingencies recognized at the acquisition date; and (c) the fair value of noncontrolling interests in the acquiree. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=123413009&loc=d3e4845-128472 + Details
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