Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2015

Schedules of major classes of line items constituting pre-tax profit (loss) of discontinued operations, carrying amount of major classes of assets and liabilities, and other selected financial information during the period owned

The major classes of line items constituting pre-tax (loss) profit of discontinued operations, in millions:

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2015			2014			2015			2014
Net sales	$	—		$	398		$	762		$	1,117
Cost of sales	—			309			603			877

Gross profit	—			89			159			240
Selling, general and administrative expenses	—			68			148			201

Income from discontinued operations	$	—		$	21		$	11		$	39
(Loss) gain on disposal of discontinued operations, net (1)	(1		)	1			(1		)	(2		)

(Loss) income before income tax	(1		)	22			10			37
Income tax benefit (expense) (2)	1			(12		)	(11		)	(16		)

Income (loss) from discontinued operations, net	$	—		$	10		$	(1	)	$	21

(1)

Included in (loss) gain on disposal of discontinued operations, net in 2014 are additional costs and charges related to the 2013 sale of Tvilum.

(2)

The unusual relationship between income tax expense and income before income tax for the nine months ended September 30, 2015 resulted primarily from certain non-deductible transaction costs related to the spin off of TopBuild.

The carrying amount of major classes of assets and liabilities included as part of the TopBuild discontinued operations, in millions:

	December 31,
	2014
Cash	$	4
Receivables	220
Inventories	107
Deferred income taxes	38
Prepaid expenses and other	4
Property and equipment, net	93
Goodwill	1,044
Other intangible assets, net	3
Other assets	1

Total assets classified as held for sale	$	1,514

Accounts payable	$	229
Accrued liabilities	71
Other liabilities	40
Deferred income taxes	167

Total liabilities classified as held for sale	$	507

Other selected financial information for TopBuild during the period owned by us, were as follows, in millions:

	Nine Months Ended
	Sep. 30,		Sep. 30,
	2015		2014

Depreciation and amortization	$	6	$	19
Capital expenditures	$	7	$	9

- Definition

Tabular disclosure of disposal groups, which may include the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the classification and carrying value of the assets and liabilities comprising the disposal group, and the segment in which the disposal group was reported. Also may include the amount of adjustments to amounts previously reported in discontinued operations such as resolution of contingencies arising from the disposal transaction or the operations of the component prior to disposal.

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