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Balance Sheet Information | 12 Months Ended
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Dec. 31, 2018
Balance Sheet Related Disclosures [Abstract] |
Balance Sheet information | BALANCE SHEET INFORMATION Detailed balance sheet data is as follows:
| December 31,
(millions of dollars) | 2018 |  | 2017
Receivables, net: |  |  |  |  |
Customers | $ | 1,727.7 |  |  | $ | 1,735.7 |
Indirect taxes | 114.1 |  |  | 152.1 |
Other | 152.2 |  |  | 136.8 |
Gross receivables | 1,994.0 |  |  | 2,024.6 |
Bad debt allowance (a) | (6.6 | ) |  | (5.7 | )
Total receivables, net | $ | 1,987.4 |  |  | $ | 2,018.9 |
Inventories, net: |  |  |  |  |
Raw material and supplies | $ | 485.0 |  |  | $ | 469.7 |
Work in progress | 113.6 |  |  | 126.7 |
Finished goods | 198.9 |  |  | 183.0 |
FIFO inventories | 797.5 |  |  | 779.4 |
LIFO reserve | (16.7 | ) |  | (13.1 | )
Total inventories, net | $ | 780.8 |  |  | $ | 766.3 |
Prepayments and other current assets: |  |  |  |  |
Prepaid tooling | $ | 82.9 |  |  | $ | 81.9 |
Prepaid taxes | 84.4 |  |  | 5.3 |
Other | 82.7 |  |  | 58.2 |
Total prepayments and other current assets | $ | 250.0 |  |  | $ | 145.4 |
Property, plant and equipment, net: |  |  |  |  |
Land and land use rights | $ | 107.9 |  |  | $ | 115.7 |
Buildings | 762.6 |  |  | 783.5 |
Machinery and equipment | 2,851.2 |  |  | 2,734.4 |
Capital leases | 2.6 |  |  | 1.5 |
Construction in progress | 425.8 |  |  | 410.5 |
Property, plant and equipment, gross | 4,150.1 |  |  | 4,045.6 |
Accumulated depreciation | (1,473.5 | ) |  | (1,391.7 | )
Property, plant & equipment, net, excluding tooling | 2,676.6 |  |  | 2,653.9 |
Tooling, net of amortization | 227.2 |  |  | 209.9 |
Property, plant & equipment, net | $ | 2,903.8 |  |  | $ | 2,863.8 |
Investments and other long-term receivables: |  |  |  |  |
Investment in equity affiliates | $ | 243.5 |  |  | $ | 239.6 |
Other long-term asbestos-related insurance receivables | 303.3 |  |  | 258.7 |
Other long-term receivables | 44.9 |  |  | 49.1 |
Total investments and other long-term receivables | $ | 591.7 |  |  | $ | 547.4 |
Other non-current assets: |  |  |  |  |
Deferred income taxes | $ | 197.7 |  |  | $ | 121.2 |
Deferred asbestos-related insurance asset | 83.1 |  |  | 127.7 |
Other | 221.5 |  |  | 209.8 |
Total other non-current assets | $ | 502.3 |  |  | $ | 458.7 |
| December 31,
(millions of dollars) | 2018 |  | 2017
Accounts payable and accrued expenses: |  |  |  |  |
Trade payables | $ | 1,485.4 |  |  | $ | 1,545.6 |
Payroll and employee related | 232.6 |  |  | 239.7 |
Indirect taxes | 72.9 |  |  | 111.0 |
Product warranties | 56.2 |  |  | 69.0 |
Customer related | 49.2 |  |  | 75.7 |
Asbestos-related liability | 50.0 |  |  | 52.5 |
Severance | 25.0 |  |  | 5.8 |
Interest | 19.1 |  |  | 22.9 |
Dividends payable to noncontrolling shareholders | 17.2 |  |  | 17.7 |
Retirement related | 15.9 |  |  | 17.2 |
Insurance | 11.7 |  |  | 10.1 |
Derivatives | 1.8 |  |  | 5.0 |
Other | 107.3 |  |  | 98.1 |
Total accounts payable and accrued expenses | $ | 2,144.3 |  |  | $ | 2,270.3 |
Other non-current liabilities: |  |  |  |  |
Deferred income taxes | $ | 51.4 |  |  | $ | 61.4 |
Product warranties | 47.0 |  |  | 42.5 |
Other | 258.9 |  |  | 251.6 |
Total other non-current liabilities | $ | 357.3 |  |  | $ | 355.5 |
(a) Bad debt allowance: | 2018 |  | 2017 |  | 2016
Beginning balance, January 1 | $ | (5.7 | ) |  | $ | (2.9 | ) |  | $ | (1.9 | )
Provision | (5.3 | ) |  | (2.7 | ) |  | (3.2 | )
Write-offs | 4.2 |  |  | 0.1 |  |  | 0.2 |
Business divestiture | — |  |  | — |  |  | 2.0 |
Translation adjustment and other | 0.2 |  |  | (0.2 | ) |  | — |
Ending balance, December 31 | $ | (6.6 | ) |  | $ | (5.7 | ) |  | $ | (2.9 | )
As of December 31, 2018 and December 31, 2017, accounts payable of $103.7 million and $106.5 million, respectively, were related to property, plant and equipment purchases. Interest costs capitalized for the years ended December 31, 2018, 2017 and 2016 were $22.3 million, $19.7 million and $14.1 million, respectively. NSK-Warner KK ("NSK-Warner") The Company has two equity method investments, the largest is a 50% interest in NSK-Warner, a joint venture based in Japan that manufactures automatic transmission components. The Company's share of the earnings reported by NSK-Warner is accounted for using the equity method of accounting. NSK-Warner is the joint venture partner with a 40% interest in the Drivetrain Segment's South Korean subsidiary, BorgWarner Transmission Systems Korea Ltd. Dividends from NSK-Warner were $40.5 million, $20.2 million and $34.3 million in calendar years ended December 31, 2018, 2017 and 2016, respectively. NSK-Warner has a fiscal year-end of March 31. The Company's equity in the earnings of NSK-Warner consists of the 12 months ended November 30. Following is summarized financial data for NSK-Warner, translated using the ending or periodic rates, as of and for the years ended November 30, 2018, 2017 and 2016 (unaudited):
|  |  | November 30,
(millions of dollars) |  |  | 2018 |  | 2017
Balance sheets: |  |  |  |  |  |  |
Cash and securities |  |  | $ | 116.6 |  |  | $ | 104.6 |
Current assets, including cash and securities |  |  | 316.9 |  |  | 289.2 |
Non-current assets |  |  | 283.3 |  |  | 231.9 |
Current liabilities |  |  | 215.3 |  |  | 154.9 |
Non-current liabilities |  |  | 88.9 |  |  | 68.1 |
Total equity |  |  | 296.0 |  |  | 298.1 |
| Year Ended November 30,
(millions of dollars) | 2018 |  | 2017 |  | 2016
Statements of operations: |  |  |  |  |  |  |  |
Net sales | $ | 731.8 |  |  | $ | 669.6 |  |  | $ | 601.8 |
Gross profit | 152.3 |  |  | 149.2 |  |  | 134.1 |
Net earnings | 86.4 |  |  | 85.2 |  |  | 71.7 |
Purchases by the Company from NSK-Warner were $9.7 million, $12.3 million and $23.9 million for the years ended December 31, 2018, 2017 and 2016, respectively.

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- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -URI http://asc.fasb.org/topic&trid=2122208 + Details
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