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REPORTING SEGMENTS AND RELATED INFORMATION | 3 Months Ended
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Mar. 31, 2022
Segment Reporting [Abstract] |
REPORTING SEGMENTS AND RELATED INFORMATION | REPORTING SEGMENTS AND RELATED INFORMATION The Company’s business is aggregated 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. In the first quarter of 2022, the Company announced that the starter and alternator business previously reported in its e-Propulsion & Drivetrain segment will transition to the Aftermarket segment. This transition is in process, and as of March 31, 2022, management continued to assess the performance of reporting segments using the structure that was in place in 2021. The Company has also announced that the canisters and fuel delivery modules product lines currently reported in its Air Management segment will transition to the Fuel Injection segment later in 2022. When these transitions are completed, and performance is assessed using the new structures, the reporting segment disclosures will be updated accordingly. Additionally, during the first quarter of 2022, the Company updated the definition of its measure of segment income or loss to exclude the impact of intangible asset amortization expense. The Company believes this change improves comparability of ongoing operations, given the increasing operating margin impact of intangible asset amortization arising from the Company’s merger and acquisition activity. The prior period information disclosed below has been recast to reflect this change. Further, the Company renamed its measure of segment income or loss from Segment Adjusted EBIT to Segment Adjusted Operating Income. Segment Adjusted Operating Income is comprised of operating income adjusted for restructuring, merger, acquisition and divestiture expense, intangible asset amortization expense, impairment charges and other items not reflective of ongoing operating income or loss. Segment Adjusted Operating Income is the measure of segment income or loss used by the Company. The Company believes Segment Adjusted Operating Income is most reflective of the operational profitability or loss of our reporting segments. The following tables show segment information and Segment Adjusted Operating Income for the Company’s reporting segments: Net Sales by Reporting Segment
| Three Months Ended March 31, 2022 |  | Three Months Ended March 31, 2021
(in millions) | Customers |  | Inter-segment |  | Net |  | Customers |  | Inter-segment |  | Net
Air Management | $ | 1,895 |  |  | $ | 36 |  |  | $ | 1,931 |  |  | $ | 1,968 |  |  | $ | 43 |  |  | $ | 2,011 |
e-Propulsion & Drivetrain | 1,346 |  |  | 44 |  |  | 1,390 |  |  | 1,419 |  |  | 47 |  |  | 1,466 |
Fuel Injection | 430 |  |  | 42 |  |  | 472 |  |  | 427 |  |  | 48 |  |  | 475 |
Aftermarket | 203 |  |  | 2 |  |  | 205 |  |  | 195 |  |  | 2 |  |  | 197 |
Inter-segment eliminations | — |  |  | (124) |  |  | (124) |  |  | — |  |  | (140) |  |  | (140) |
Net sales | $ | 3,874 |  |  | $ | — |  |  | $ | 3,874 |  |  | $ | 4,009 |  |  | $ | — |  |  | $ | 4,009 |
Segment Adjusted Operating Income
| Three Months Ended March 31, |  |
(in millions) | 2022 |  | 2021 |  |  |  |
Air Management | $ | 257 |  |  | $ | 329 |  |  |  |  |
e-Propulsion & Drivetrain | 119 |  |  | 149 |  |  |  |  |
Fuel Injection | 52 |  |  | 34 |  |  |  |  |
Aftermarket | 24 |  |  | 21 |  |  |  |  |
Segment Adjusted Operating Income | 452 |  |  | 533 |  |  |  |  |
Corporate, including stock-based compensation | 63 |  |  | 69 |  |  |  |  |
Merger, acquisition and divestiture expense | 23 |  |  | 13 |  |  |  |  |
Intangible asset amortization expense | 23 |  |  | 20 |  |  |  |  |
Restructuring expense (Note 5) | 15 |  |  | 30 |  |  |  |  |
Gain on sale of business (Note 3) | (24) |  |  | — |  |  |  |  |
Net gain on insurance recovery for property damage | — |  |  | (2) |  |  |  |  |
Equity in affiliates’ earnings, net of tax | (8) |  |  | (12) |  |  |  |  |
Unrealized loss on equity securities | 39 |  |  | 272 |  |  |  |  |
Interest expense, net | 15 |  |  | 18 |  |  |  |  |
Other postretirement income | (9) |  |  | (11) |  |  |  |  |
Earnings before income taxes and noncontrolling interest | 315 |  |  | 136 |  |  |  |  |
Provision for income taxes | 91 |  |  | 42 |  |  |  |  |
Net earnings | 224 |  |  | 94 |  |  |  |  |
Net earnings attributable to noncontrolling interest, net of tax | 24 |  |  | 29 |  |  |  |  |
Net earnings attributable to BorgWarner Inc. | $ | 200 |  |  | $ | 65 |  |  |  |  |

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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