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REPORTING SEGMENTS AND RELATED INFORMATION
 3 Months Ended
Mar. 31, 2021
Segment Reporting [Abstract]  
REPORTING SEGMENTS AND RELATED INFORMATION REPORTING SEGMENTS AND RELATED INFORMATION
The Company’s business is comprised of four reporting segments: Air Management, e-Propulsion & Drivetrain, Fuel Injection and Aftermarket. These segments are strategic business groups that are managed separately as each represents a specific grouping of related automotive components and systems.

The Company allocates resources to each segment based upon the projected after-tax return on invested capital (“ROIC”) of its business initiatives. ROIC is comprised of Segment Adjusted EBIT after deducting notional taxes compared to the projected average capital investment required. Segment Adjusted EBIT is comprised of earnings before interest, income taxes and noncontrolling interest (“EBIT”) adjusted for restructuring, merger, acquisition and divestiture expense, impairment charges, affiliates’ earnings and other items not reflective of ongoing operating income or loss.

Segment Adjusted EBIT is the measure of segment income or loss used by the Company. The Company believes Segment Adjusted EBIT is most reflective of the operational profitability or loss of our reporting segments. The following tables show segment information and Segment Adjusted EBIT for the Company’s reporting segments:

Net Sales by Reporting Segment
Three Months Ended March 31,
(in millions)20212020
Air Management$2,011 $1,434 
e-Propulsion & Drivetrain1,466 860 
Fuel Injection475 — 
Aftermarket197 — 
Inter-segment eliminations(140)(15)
Net sales$4,009 $2,279 
Segment Adjusted EBIT
Three Months Ended March 31,
(in millions)20212020
Air Management$322 $208 
e-Propulsion & Drivetrain137 63 
Fuel Injection33 — 
Aftermarket21 — 
Segment Adjusted EBIT513 271 
Corporate, including stock-based compensation69 37 
Restructuring expense30 15 
Merger, acquisition and divestiture expense13 21 
Net gain on insurance recovery for property damage(2)— 
Equity in affiliates’ earnings, net of tax(12)(5)
Unrealized loss on equity securities272 9 
Interest income(3)(2)
Interest expense21 12 
Other postretirement income(11)(2)
Earnings before income taxes and noncontrolling interest136 186 
Provision for income taxes42 49 
Net earnings94 137 
Net earnings attributable to noncontrolling interest, net of tax29 8 
Net earnings attributable to BorgWarner Inc. $65 $129