Tyco International Finance S.A.

Tyco International Finance S.A. ("TIFSA"), a 100% owned subsidiary of the Company, has public debt securities outstanding which, as of September 30, 2016, were fully and unconditionally guaranteed by Johnson Controls and by Tyco Fire & Security Finance S.C.A. ("TIFSCA"), a wholly owned subsidiary of the Company and parent company of TIFSA. During the first quarter of fiscal 2017, the guarantees were removed. The following tables present condensed consolidating financial information for Johnson Controls, TIFSCA, TIFSA and all other subsidiaries. Condensed financial information for the Company, TIFSCA and TIFSA on a stand-alone basis is presented using the equity method of accounting for subsidiaries.

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS

For the Three Months Ended December 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net sales	$	—		$	—	$	—		$	7,435		$	—		$	7,435
Cost of sales	—			—		—			5,266			—			5,266

Gross profit	—			—		—			2,169			—			2,169

Selling, general and administrative expenses	(3		)	—		—			(1,414		)	—			(1,417		)
Restructuring and impairment costs	—			—		—			(158		)	—			(158		)
Net financing charges	(50		)	1		(2		)	(65		)	—			(116		)
Equity income	285			188		142			60			(615		)	60
Intercompany interest and fees	(2		)	85		(29		)	(54		)	—			—

Income from continuing operations before income taxes	230			274		111			538			(615		)	538

Income tax provision	—			—		—			267			—			267

Net income	230			274		111			271			(615		)	271

Income from continuing operations attributable to noncontrolling interests	—			—		—			41			—			41

Net income attributable to Johnson Controls	$	230		$	274	$	111		$	230		$	(615	)	$	230

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended December 31, 2017



(in millions)	Johnson Controls International plc		Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Net income	$	230	$	274		$	111		$	271		$	(615	)	$	271
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	58		(7		)	(1		)	53			(24		)	79
Realized and unrealized gains (losses) on derivatives	1		—			—			(1		)	(1		)	(1		)
Realized and unrealized gains (losses) on marketable securities	—		—			(4		)	4			—			—

Other comprehensive income (loss)	59		(7		)	(5		)	56			(25		)	78

Total comprehensive income	289		267			106			327			(640		)	349

Comprehensive income attributable to noncontrolling interests	—		—			—			60			—			60

Comprehensive income attributable to Johnson Controls	$	289	$	267		$	106		$	267		$	(640	)	$	289

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS

For the Three Months Ended December 31, 2016



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments		Total

Net sales	$	—		$	—		$	—		$	7,086		$	—	$	7,086
Cost of sales	—			—			—			4,972			—		4,972

Gross profit	—			—			—			2,114			—		2,114

Selling, general and administrative expenses	(2		)	—			1			(1,569		)	—		(1,570		)
Restructuring and impairment costs	—			—			—			(78		)	—		(78		)
Net financing charges	(19		)	—			(19		)	(98		)	—		(136		)
Equity income (loss)	318			(286		)	(110		)	55			78		55
Intercompany interest and fees	32			—			17			(49		)	—		—

Income (loss) from continuing operations before income taxes	329			(286		)	(111		)	375			78		385

Income tax benefit	—			—			—			(27		)	—		(27		)

Income (loss) from continuing operations	329			(286		)	(111		)	402			78		412

Income (loss) from sale of intercompany investment, net of tax	—			—			(935		)	—			935		—

Loss from discontinued operations, net of tax	—			—			—			(34		)	—		(34		)

Net income (loss)	329			(286		)	(1,046		)	368			1,013		378

Income from continuing operations attributable to noncontrolling interests	—			—			—			40			—		40
Income from discontinued operations attributable to noncontrolling interests	—			—			—			9			—		9

Net income (loss) attributable to Johnson Controls	$	329		$	(286	)	$	(1,046	)	$	319		$	1,013	$	329

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended December 31, 2016



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA			Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments		Total

Net income (loss)	$	329		$	(286	)	$	(1,046	)	$	368		$	1,013	$	378
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	(659		)	—			27			(730		)	659		(703		)
Realized and unrealized gains on derivatives	—			—			—			4			—		4
Realized and unrealized gains (losses) on marketable securities	(2		)	—			—			(2		)	2		(2		)

Other comprehensive income (loss)	(661		)	—			27			(728		)	661		(701		)

Total comprehensive income (loss)	(332		)	(286		)	(1,019		)	(360		)	1,674		(323		)

Comprehensive income attributable to noncontrolling interests	—			—			—			9			—		9

Comprehensive income (loss) attributable to Johnson Controls	$	(332	)	$	(286	)	$	(1,019	)	$	(369	)	$	1,674	$	(332	)

CONDENSED CONSOLIDATING STATEMENT OF FINANCIAL POSITION

As of December 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.		Other Subsidiaries		Consolidating Adjustments			Total

Assets
Cash and cash equivalents	$	285		$	108	$	81	$	991	$	(913	)	$	552
Accounts receivable - net	—			—		—		6,731		—			6,731
Inventories	—			—		—		3,459		—			3,459
Intercompany receivables	323			1,824		397		22,957		(25,501		)	—
Assets held for sale	—			—		—		40		—			40
Other current assets	46			—		1		1,600		—			1,647
Current assets	654			1,932		479		35,778		(26,414		)	12,429

Property, plant and equipment - net	—			—		—		6,105		—			6,105
Goodwill	243			—		32		19,442		—			19,717
Other intangible assets - net	—			—		—		6,657		—			6,657
Investments in partially-owned affiliates	—			—		—		1,219		—			1,219
Investments in affiliates	38,975			32,053		21,422		—		(92,450		)	—
Intercompany loans receivable	—			4,140		2,836		9,004		(15,980		)	—
Other noncurrent assets	68			—		2		3,570		—			3,640
Total assets	$	39,940		$	38,125	$	24,771	$	81,775	$	(134,844	)	$	49,767

Liabilities and Equity
Short-term debt	$	1,820		$	—	$	—	$	607	$	(913	)	$	1,514
Current portion of long-term debt	49			—		18		24		—			91
Accounts payable	1			—		—		4,019		—			4,020
Accrued compensation and benefits	1			—		—		882		—			883
Deferred revenue	—			—		—		1,368		—			1,368
Intercompany payables	3,753			18,978		1,958		812		(25,501		)	—
Other current liabilities	376			1		24		2,969		—			3,370
Current liabilities	6,000			18,979		2,000		10,681		(26,414		)	11,246

Long-term debt	8,717			—		153		2,025		—			10,895
Pension and postretirement benefits	—			—		—		896		—			896
Intercompany loans payable	4,688			—		4,316		6,976		(15,980		)	—
Other noncurrent liabilities	—			—		23		4,981		—			5,004
Long-term liabilities	13,405			—		4,492		14,878		(15,980		)	16,795

Redeemable noncontrolling interests	—			—		—		226		—			226
Ordinary shares	9			—		—		—		—			9
Ordinary shares held in treasury	(885		)	—		—		—		—			(885		)
Other shareholders' equity	21,411			19,146		18,279		55,025		(92,450		)	21,411
Shareholders’ equity attributable to Johnson Controls	20,535			19,146		18,279		55,025		(92,450		)	20,535
Noncontrolling interests	—			—		—		965		—			965
Total equity	20,535			19,146		18,279		55,990		(92,450		)	21,500
Total liabilities and equity	$	39,940		$	38,125	$	24,771	$	81,775	$	(134,844	)	$	49,767

CONDENSED CONSOLIDATING STATEMENT OF FINANCIAL POSITION

As of September 30, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.		Other Subsidiaries		Consolidating Adjustments			Total

Assets
Cash and cash equivalents	$	—		$	107	$	382	$	718	$	(886	)	$	321
Accounts receivable - net	—			—		—		6,666		—			6,666
Inventories	—			—		—		3,209		—			3,209
Intercompany receivables	1,580			1,732		55		4,470		(7,837		)	—
Assets held for sale	—			—		—		189		—			189
Other current assets	14			—		1		1,892		—			1,907
Current assets	$	1,594		$	1,839	$	438	$	17,144	$	(8,723	)	$	12,292

Property, plant and equipment - net	—			—		—		6,121		—			6,121
Goodwill	243			—		32		19,413		—			19,688
Other intangible assets - net	—			—		—		6,741		—			6,741
Investments in partially-owned affiliates	—			—		—		1,191		—			1,191
Investments in affiliates	19,487			31,594		21,132		—		(72,213		)	—
Intercompany loans receivable	17,908			4,140		2,836		9,004		(33,888		)	—
Noncurrent assets held for sale	—			—		—		1,920		—			1,920
Other noncurrent assets	56			—		7		3,868		—			3,931
Total assets	$	39,288		$	37,573	$	24,445	$	65,402	$	(114,824	)	$	51,884

Liabilities and Equity
Short-term debt	$	1,476		$	—	$	—	$	624	$	(886	)	$	1,214
Current portion of long-term debt	307			—		18		69		—			394
Accounts payable	—			—		—		4,271		—			4,271
Accrued compensation and benefits	4			—		—		1,067		—			1,071
Deferred revenue	—			—		—		1,279		—			1,279
Liabilities held for sale	—			—		—		72		—			72
Intercompany payables	4,236			1,055		1,886		660		(7,837		)	—
Other current liabilities	324			2		24		3,203		—			3,553
Current liabilities	6,347			1,057		1,928		11,245		(8,723		)	11,854

Long-term debt	7,806			—		152		4,006		—			11,964
Pension and postretirement benefits	—			—		—		947		—			947
Intercompany loans payable	4,688			17,908		4,316		6,976		(33,888		)	—
Noncurrent liabilities held for sale	—			—		—		173		—			173
Other noncurrent liabilities	—			—		24		5,344		—			5,368
Long-term liabilities	12,494			17,908		4,492		17,446		(33,888		)	18,452

Redeemable noncontrolling interest	—			—		—		211		—			211
Ordinary shares	9			—		—		—		—			9
Ordinary shares held in treasury	(710		)	—		—		—		—			(710		)
Other shareholders' equity	21,148			18,608		18,025		35,580		(72,213		)	21,148
Shareholders’ equity attributable to Johnson Controls	20,447			18,608		18,025		35,580		(72,213		)	20,447
Noncontrolling interests	—			—		—		920		—			920
Total equity	20,447			18,608		18,025		36,500		(72,213		)	21,367
Total liabilities and equity	$	39,288		$	37,573	$	24,445	$	65,402	$	(114,824	)	$	51,884

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

For the Three Months Ended December 31, 2017



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Operating Activities
Net cash provided (used) by operating activities	$	(135	)	$	1	$	33		$	(28	)	$	—		$	(129	)

Investing Activities
Capital expenditures	—			—		—			(230		)	—			(230		)
Sale of property, plant and equipment	—			—		—			5			—			5
Business divestitures	—			—		—			2,011			—			2,011
Changes in long-term investments	—			—		—			(12		)	—			(12		)
Net change in intercompany loans receivable	300			—		(334		)	480			(446		)	—
Net cash provided (used) by investing activities	300			—		(334		)	2,254			(446		)	1,774

Financing Activities
Increase (decrease) in short-term debt - net	344			—		—			(13		)	(27		)	304
Increase in long-term debt	885			—		—			—			—			885
Repayment of long-term debt	(259		)	—		—			(1,975		)	—			(2,234		)
Debt financing costs	(4		)	—		—			—			—			(4		)
Stock repurchases	(150		)	—		—			—			—			(150		)
Payment of cash dividends	(232		)	—		—			—			—			(232		)
Proceeds from the exercise of stock options	16			—		—			—			—			16
Employee equity-based compensation withholding taxes	—			—		—			(25		)	—			(25		)
Net change in intercompany loans payable	(480		)	—		—			34			446			—
Net cash provided (used) by financing activities	120			—		—			(1,979		)	419			(1,440		)
Effect of exchange rate changes on cash and cash equivalents	—			—		—			17			—			17
Change in cash held for sale	—			—		—			9			—			9
Increase (decrease) in cash and cash equivalents	285			1		(301		)	273			(27		)	231
Cash and cash equivalents at beginning of period	—			107		382			718			(886		)	321
Cash and cash equivalents at end of period	$	285		$	108	$	81		$	991		$	(913	)	$	552

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

For the Three Months Ended December 31, 2016



(in millions)	Johnson Controls International plc			Tyco Fire & Security Finance SCA		Tyco International Finance S.A.			Other Subsidiaries			Consolidating Adjustments			Total

Operating Activities
Net cash provided (used) by operating activities	$	211		$	—	$	32		$	(2,128	)	$	—		$	(1,885	)

Investing Activities
Capital expenditures	—			—		—			(371		)	—			(371		)
Sale of property, plant and equipment	—			—		—			2			—			2
Acquisition of businesses, net of cash acquired	—			—		(6		)	3			—			(3		)
Business divestitures	—			—		—			47			—			47
Changes in long-term investments	—			—		—			(6		)	—			(6		)
Net change in intercompany loans receivable	—			—		10			—			(10		)	—
Net cash provided (used) by investing activities	—			—		4			(325		)	(10		)	(331		)

Financing Activities
Increase in short-term debt - net	105			—		—			1,460			(253		)	1,312
Increase in long-term debt	—			—		—			7			—			7
Repayment of long-term debt	—			—		—			(763		)	—			(763		)
Debt financing costs	(6		)	—		—			—			—			(6		)
Proceeds from the exercise of stock options	29			—		—			—			—			29
Employee equity-based compensation withholding taxes	—			—		—			(25		)	—			(25		)
Net change in intercompany loans payable	—			—		—			(10		)	10			—
Dividends paid to noncontrolling interests	—			—		—			(31		)	—			(31		)
Dividend from Adient spin-off	—			—		—			2,050			—			2,050
Cash transferred to Adient related to spin-off	—			—		—			(564		)	—			(564		)
Cash paid related to prior acquisitions	—			—		—			(45		)	—			(45		)
Net cash provided (used) by financing activities	128			—		—			2,079			(243		)	1,964
Effect of exchange rate changes on cash and cash equivalents	—			—		—			(55		)	—			(55		)
Change in cash held for sale	—			—		—			105			—			105
Increase (decrease) in cash and cash equivalents	339			—		36			(324		)	(253		)	(202		)
Cash and cash equivalents at beginning of period	11			—		244			324			—			579
Cash and cash equivalents at end of period	$	350		$	—	$	280		$	—		$	(253	)	$	377