Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 21, 2017 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | DAN | |
Entity Registrant Name | DANA INC | |
Entity Central Index Key | 26,780 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 144,559,475 |
Consolidated Statement Of Opera
Consolidated Statement Of Operations (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net sales | $ 1,701 | $ 1,449 |
Costs and expenses | ||
Cost of sales | 1,438 | 1,250 |
Selling, general and administrative expenses | 121 | 98 |
Amortization of intangibles | 2 | 2 |
Restructuring charges, net | 2 | 1 |
Other expense, net | (9) | (2) |
Income before interest and income taxes | 129 | 96 |
Interest income | 3 | 3 |
Interest expense | 27 | 27 |
Income before income taxes | 105 | 72 |
Income tax expense | 30 | 24 |
Equity in earnings of affiliates | 5 | |
Net income | 80 | 48 |
Less: Noncontrolling interests net income | 5 | 3 |
Less: Redeemable noncontrolling interest net income | ||
Net income attributable to the parent company | $ 75 | $ 45 |
Net income per share attributable to the parent company | ||
Basic | $ 0.52 | $ 0.30 |
Diluted | $ 0.51 | $ 0.30 |
Weighted-average common shares outstanding - Basic | 144.6 | 149.4 |
Weighted-average common shares outstanding - Diluted | 145.9 | 149.9 |
Cash dividends declared per share | $ 0.06 | $ 0.06 |
Consolidated Statement Of Compr
Consolidated Statement Of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net income | $ 80 | $ 48 |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||
Currency translation adjustments | 30 | 30 |
Hedging gains and losses | (4) | 3 |
Investment and other gains and losses | 2 | |
Defined benefit plans | 5 | 7 |
Other comprehensive income | 31 | 42 |
Total comprehensive income | 111 | 90 |
Less: Comprehensive income attributable to noncontrolling interests | (7) | (4) |
Less: Comprehensive loss attributable to redeemable noncontrolling interest | 1 | |
Comprehensive income attributable to the parent company | $ 105 | $ 86 |
Consolidated Balance Sheet (Una
Consolidated Balance Sheet (Unaudited) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Current assets [Abstract] | ||
Cash and cash equivalents | $ 423,000,000 | $ 707,000,000 |
Marketable securities | 31,000,000 | 30,000,000 |
Accounts receivable [Abstract] | ||
Trade, less allowance for doubtful accounts of $7 in 2017 and $6 in 2016 | 1,009,000,000 | 721,000,000 |
Other | 129,000,000 | 110,000,000 |
Inventories [Abstract] | ||
Raw materials | 376,000,000 | 321,000,000 |
Work in process and finished goods | 438,000,000 | 317,000,000 |
Other current assets | 98,000,000 | 78,000,000 |
Total current assets | 2,504,000,000 | 2,284,000,000 |
Goodwill | 134,000,000 | 90,000,000 |
Intangibles | 180,000,000 | 109,000,000 |
Deferred tax assets | 578,000,000 | 588,000,000 |
Other noncurrent assets | 60,000,000 | 226,000,000 |
Investments in affiliates | 158,000,000 | 150,000,000 |
Property, plant and equipment, net | 1,676,000,000 | 1,413,000,000 |
Total assets | 5,290,000,000 | 4,860,000,000 |
Current liabilities [Abstract] | ||
Notes payable, including current portion of long-term debt | 213,000,000 | 69,000,000 |
Accounts payable | 1,028,000,000 | 819,000,000 |
Accrued payroll and employee benefits | 150,000,000 | 149,000,000 |
Taxes on income | 22,000,000 | 15,000,000 |
Other accrued liabilities | 203,000,000 | 201,000,000 |
Total current liabilities | 1,616,000,000 | 1,253,000,000 |
Long-term debt, less debt issuance costs of $20 in 2017 and $21 in 2016 | 1,623,000,000 | 1,595,000,000 |
Pension and postretirement obligations | 569,000,000 | 565,000,000 |
Other noncurrent liabilities | 255,000,000 | 205,000,000 |
Total liabilities | 4,063,000,000 | 3,618,000,000 |
Commitments and contingencies (Note 14) | ||
Redeemable noncontrolling interest | 44,000,000 | |
Parent company stockholders' equity | ||
Preferred stock, 50,000,000 shares authorized, $0.01 par value, no shares outstanding | 0 | 0 |
Common stock, 450,000,000 shares authorized, $0.01 par value, 144,541,593 and 143,938,280 shares outstanding | 2,000,000 | 2,000,000 |
Additional paid-in capital | 2,334,000,000 | 2,327,000,000 |
Retained earnings | 82,000,000 | 195,000,000 |
Treasury stock, at cost (6,957,065 and 6,812,784 shares) | (86,000,000) | (83,000,000) |
Accumulated other comprehensive loss | (1,254,000,000) | (1,284,000,000) |
Total parent company stockholders' equity | 1,078,000,000 | 1,157,000,000 |
Noncontrolling interests | 105,000,000 | 85,000,000 |
Total equity | 1,183,000,000 | 1,242,000,000 |
Total liabilities and equity | $ 5,290,000,000 | $ 4,860,000,000 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) (Unaudited) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Trade, allowance for doubtful accounts | $ 7 | $ 6 |
Deferred debt issuance costs | $ 20 | $ 21 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, shares authorized | 450,000,000 | 450,000,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, outstanding | 144,541,593 | 143,938,280 |
Treasury stock, shares | 6,957,065 | 6,812,784 |
Consolidated Statement Of Cash
Consolidated Statement Of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating activities [Abstract] | ||
Net income | $ 80 | $ 48 |
Depreciation | 49 | 41 |
Amortization of intangibles | 3 | 2 |
Amortization of deferred financing charges | 1 | 1 |
Earnings of affiliates, net of dividends received | (5) | 2 |
Stock compensation expense | 4 | 2 |
Deferred income taxes | 10 | 4 |
Pension contributions, net | (2) | (7) |
Change in working capital | (133) | (128) |
Other, net | 4 | 8 |
Net cash provided by (used in) operating activities | 11 | (27) |
Investing activities [Abstract] | ||
Purchases of property, plant and equipment | (96) | (71) |
Acquisition of businesses, net of cash acquired | (184) | (18) |
Purchases of marketable securities | (11) | (12) |
Proceeds from sales of marketable securities | 3 | |
Proceeds from maturities of marketable securities | 13 | 8 |
Other | (4) | (2) |
Net cash used in investing activities | (282) | (92) |
Financing activities [Abstract] | ||
Net change in short-term debt | (1) | 11 |
Proceeds from long-term debt | 32 | |
Repayment of long-term debt | (17) | (24) |
Dividends paid to common stockholders | (9) | (9) |
Distributions to noncontrolling interests | (1) | (1) |
Repurchases of common stock | (28) | |
Other | 2 | (1) |
Net cash used in financing activities | (26) | (20) |
Net decrease in cash and cash equivalents | (297) | (139) |
Cash and cash equivalents - beginning of period | 707 | 791 |
Effect of exchange rate changes on cash balances | 13 | 17 |
Cash and cash equivalents – end of period | 423 | 669 |
Non-cash investing activity [Abstract] | ||
Purchases of property, plant and equipment held in accounts payable | $ 106 | $ 45 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Summary of Significant Accounting Policies [Text Block] | Organization and Summary of Significant Accounting Policies General Dana Incorporated (Dana) is headquartered in Maumee, Ohio and was incorporated in Delaware in 2007. As a global provider of high technology driveline (axles, driveshafts and transmissions), sealing and thermal-management products our customer base includes virtually every major vehicle manufacturer in the global light vehicle, medium/heavy vehicle and off-highway markets. The terms "Dana," "we," "our" and "us," when used in this report, are references to Dana. These references include the subsidiaries of Dana unless otherwise indicated or the context requires otherwise. Summary of significant accounting policies Basis of presentation — Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information. These statements are unaudited, but in the opinion of management include all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of the results for the interim periods. The results reported in these consolidated financial statements should not necessarily be taken as indicative of results that may be expected for the entire year. The financial information included herein should be read in conjunction with the consolidated financial statements in Item 8 of our 2016 Form 10-K. We have added the subtotal "Income before interest and income taxes" to our consolidated statement of operations. Interest income, interest expense and loss on extinguishment of debt are presented below the new subtotal but above the subtotal "Income before income taxes." Interest income was previously included in Other expense, net. Prior year amounts have been reclassified to conform to the 2017 presentation. Recently adopted accounting pronouncements In October 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2016-16, Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory, guidance that simplifies the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. GAAP had prohibited the recognition in earnings of current and deferred income taxes for an intra-entity transfer until the asset was sold to an outside party or recovered through use. This amendment simplifies the accounting by requiring entities to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The new guidance, which requires modified retrospective application, becomes effective January 1, 2018 with early adoption permitted in 2017 prior to the issuance of interim financial statements. We adopted this guidance effective January 1, 2017. The adoption of the new guidance resulted in a decrease in Other current assets of $10 , a decrease in Other noncurrent assets of $169 and a decrease in Retained earnings at January 1, 2017 of $179 . We also adopted the following standards during the first quarter of 2017, none of which had a material impact on our financial statements or financial statement disclosures: Standard Effective Date 2016-07 Investments – Equity Method and Joint Ventures – Simplifying the Transition to the Equity Method of Accounting January 1, 2017 2016-06 Derivatives and Hedging – Contingent Put and Call Options in Debt Instruments January 1, 2017 2016-05 Derivatives and Hedging – Effect of Derivative Contract Novations on Existing Hedge Accounting Relationships January 1, 2017 2015-11 Inventory – Simplifying the Measurement of Inventory January 1, 2017 Recently issued accounting pronouncements In March 2017, the FASB issued ASU 2017-07, Retirement Benefits – Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, guidance that requires entities to present the service cost component of net periodic pension cost and net periodic postretirement benefit cost in the income statement line items where they report compensation cost. Entities will present all other components of net benefit cost outside operating income, if this subtotal is presented. The rules related to the timing of when costs are recognized or how they are measured have not changed. This amendment only impacts where those costs are reflected within the income statement. In addition, only the service cost component will be eligible for capitalization in inventory and other assets. This guidance becomes effective January 1, 2018. Early adoption is permitted. We do not expect this guidance to have a material impact on our consolidated financial statements in the near term as the service components and related net periodic benefit costs are not significantly different. In January 2017, the FASB issued ASU 2017-04, Goodwill – Simplifying the Test for Goodwill Impairment, guidance that simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 of the goodwill impairment test. The new guidance quantifies goodwill impairment as the amount by which the carrying amount of a reporting unit, including goodwill, exceeds its fair value, with the impairment loss limited to the total amount of goodwill allocated to that reporting unit. This guidance becomes effective January 1, 2020 and will be applied on a prospective basis. Early adoption is permitted for impairment tests performed after January 1, 2017. We do not expect the adoption of this guidance to impact our consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations – Clarifying the Definition of a Business, guidance that revises the definition of a business. The definition of a business affects many areas of accounting, including acquisitions, disposals, goodwill impairment and consolidation. When substantially all of the fair value of gross assets acquired is concentrated in a single asset (or a group of similar assets), the asset acquired would not represent a business. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to create outputs. The new guidance provides a framework to evaluate when an input and a substantive process are present. This guidance becomes effective January 1, 2018. Early adoption is permitted. In November 2016, the FASB released ASU 2016-18, Statement of Cash Flows – Restricted Cash, guidance that addresses the diversity in practice in the classification and presentation of changes in restricted cash on the statement of cash flows. Amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance becomes effective January 1, 2018 and must be applied on a retrospective basis. This guidance is not expected to have a material impact on our consolidated statement of cash flows. In August 2016, the FASB released ASU 2016-15, Statement of Cash Flows – Classification of Certain Cash Receipts and Cash Payments, guidance intended to reduce diversity in practice in how certain cash receipts and cash payments are classified in the statement of cash flows. This guidance becomes effective January 1, 2018 and must be applied on a retrospective basis. This guidance is not expected to have a material impact on our consolidated statement of cash flows. In June 2016, the FASB issued ASU 2016-13, Credit Losses – Measurement of Credit Losses on Financial Instruments, new guidance for the accounting for credit losses on certain financial instruments. This guidance introduces a new approach to estimating credit losses on certain types of financial instruments and modifies the impairment model for available-for-sale debt securities. This guidance, which becomes effective January 1, 2020, is not expected to have a material impact on our consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases, its new lease accounting standard. The primary focus of the standard is on the accounting by lessees. This standard requires lessees to recognize a right-of-use asset and a lease liability for virtually all leases (other than leases that meet the definition of a short-term lease) on the balance sheet. The recognition, measurement and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed from current GAAP. Operating leases will result in straight-line expense while finance leases will result in a front-loaded expense pattern in the income statement. Quantitative and qualitative disclosures are required to provide insight into the extent of revenue and expense recognized and expected to be recognized from leasing arrangements. Approximately three-fourths of our global lease portfolio represents leases of real estate, including manufacturing, assembly and office facilities, while the remainder represents leases of personal property, including manufacturing, material handling and IT equipment. Many factors will impact the ultimate measurement of the lease obligation to be recognized upon adoption, including our assessment of the likelihood of renewal of leases that provide such an option. We continue to evaluate the impact this guidance will have on our consolidated financial statements. This guidance becomes effective January 1, 2019 with early adoption permitted. In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Recognition and Measurement of Financial Assets and Financial Liabilities, an amendment that addresses the recognition, measurement, presentation and disclosure of certain financial instruments. Investments in equity securities currently classified as available-for-sale and carried at fair value, with changes in fair value reported in other comprehensive income (OCI), will be carried at fair value determined on an exit price notion and changes in fair value will be reported in net income. The new guidance also affects the assessment of deferred tax assets related to available-for-sale securities, the accounting for liabilities for which the fair value option is elected and the disclosures of financial assets and financial liabilities in the notes to the financial statements. This guidance, which becomes effective January 1, 2018, is not expected to have a material impact on our consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue – Revenue from Contracts with Customers, guidance that requires companies to recognize revenue in a manner that depicts the transfer of promised goods or services to customers in amounts that reflect the consideration a company expects to be entitled to in exchange for those goods or services. The new guidance will also require new disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. This guidance will be effective January 1, 2018 for Dana. The guidance allows for either a full retrospective or a modified retrospective transition method. We are in the process of assessing our customer contracts, identifying contractual provisions that may result in a change in the timing or the amount of revenue recognized in comparison with current guidance, as well as assessing the enhanced disclosure requirements of the new guidance. Under current guidance we generally recognize revenue when products are shipped and risk of loss has transferred to the customer. Under the proposed requirements, the customized nature of some of our products and contractual provisions in many of our customer contracts that provide us with an enforceable right to payment, may require us to recognize revenue prior to the product being shipped to the customer. We are also assessing pricing provisions contained in certain of our customer contracts. Pricing provisions contained in some of our customer contracts represent variable consideration or may provide the customer with a material right, potentially resulting in a different allocation of the transaction price than under current guidance. In addition, we are evaluating how the new guidance may impact our accounting for customer tooling, engineering and design services and pre-production costs. We continue to evaluate the impact this guidance will have on our financial statements. |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisitions USM – Warren — On March 1, 2017, we acquired certain assets and liabilities relating to the Warren, Michigan production unit of U.S. Manufacturing Corporation (USM). The production unit acquired is in the business of manufacturing axle housings, extruded tubular products and machined components for the automotive industry. The acquisition will increase Dana's revenue from light and commercial vehicle manufacturers and will vertically integrate a significant element of Dana's supply chain. It also provides Dana with new lightweight product and process technologies. USM contributed certain assets and liabilities relating to its Warren, Michigan production unit to Warren Manufacturing LLC (USM – Warren), a newly created legal entity, and Dana acquired all of the company units of USM – Warren. The company units were acquired by Dana free and clear of any liens. We paid $104 at closing, including $25 to effectively settle trade payable obligations originating from product purchases Dana made from USM prior to the acquisition, and have recorded a receivable of $1 to reflect purchase price adjustments determined under the terms of the agreement. The acquisition has been accounted for as a business combination. The purchase consideration and the preliminary allocation to the acquisition date fair values of the assets acquired are presented in the following table: Total purchase consideration $ 78 Accounts receivable - Trade 17 Inventories 9 Other current assets 4 Goodwill 4 Intangibles 33 Property, plant and equipment 50 Accounts payable (35 ) Accrued payroll and employee benefits (3 ) Other accrued liabilities (1 ) Total purchase consideration allocation $ 78 The purchase consideration and fair value of the assets acquired and liabilities assumed are preliminary and could be revised as a result of adjustments made to the purchase price, additional information obtained regarding liabilities assumed and revisions of provisional estimates of fair values, including but not limited to, the completion of independent appraisals and valuations related to property, plant and equipment and intangibles. Goodwill recognized in this transaction is primarily attributable to synergies expected to arise after the acquisition and the assembled workforce and is deductible for tax purposes. Intangibles includes $30 allocated to customer relationships and $3 allocated to developed technology. We used the relief from royalty method, an income approach, to value developed technology. We used the multi-period excess earnings method, an income approach, to value customer relationships. We used a replacement cost method to value fixed assets. The developed technology and customer relationship intangible assets are being amortized on a straight-line basis over eighteen and eleven years, respectively, and property, plant and equipment is being depreciated on a straight-line basis over useful lives ranging from one to twelve years. The results of operations of the business are reported in our Light Vehicle operating segment from the date of acquisition. As a result of the acquisition, we incurred transaction related expenses totaling $1 , which were charged to Other expense, net. The pro forma effects of this acquisition would not materially impact our reported results for any period presented, and as a result no pro forma financial statements are presented. During the first quarter of 2017, the business contributed sales of $11 and a de minimis net loss. BFP and BPT — On February 1, 2017, we acquired 80% ownership interests in Brevini Fluid Power S.p.A. (BFP) and Brevini Power Transmission S.p.A. (BPT) from Brevini Group S.p.A. (Brevini). The acquisition expands our Off-Highway operating segment product portfolio to include technologies for tracked vehicles, doubling our addressable market for off-highway driveline systems and establishing Dana as the only off-highway solutions provider that can manage the power to both move the equipment and perform its critical work functions. This acquisition also brings a platform of technologies that can be leveraged in our light and commercial-vehicle end markets, helping to accelerate our hybridization and electrification initiatives. We paid $181 at closing, using cash on hand, and intend to refinance debt assumed in the transaction during the first half of 2017. The purchase price is subject to adjustment upon determination of the net indebtedness and net working capital levels of BFP and BPT as of the closing date. The terms of the agreement provide Dana the right to call half of Brevini’s noncontrolling interests in BFP and BPT, and Brevini the right to put half of its noncontrolling interests in BFP and BPT to Dana, assuming Dana does not exercise its call right, after the 2017 BFP and BPT financial statements have been approved by the board of directors. Further, Dana has the right to call Brevini’s remaining noncontrolling interests in BFP and BPT, and Brevini the right to put its remaining noncontrolling interests in BFP and BPT to Dana, assuming Dana does not exercise its call right, after the 2019 BFP and BPT financial statements have been approved by the board of directors. The call and put prices are based on the amount Dana paid to acquire its initial 80% interest in BFP and BPT subject to adjustment based on the actual EBITDA and free cash flows, as defined in the agreement, of BFP and BPT. Total purchase consideration $ 181 Cash and cash equivalents $ 75 Accounts receivable - Trade 74 Accounts receivable - Other 10 Inventories 137 Other current assets 6 Goodwill 39 Intangibles 41 Deferred tax assets 1 Other noncurrent assets 4 Property, plant and equipment 146 Notes payable, including current portion of long-term debt (131 ) Accounts payable (51 ) Accrued payroll and employee benefits (14 ) Other accrued liabilities (19 ) Long-term debt (51 ) Pension and postretirement obligations (12 ) Other noncurrent liabilities (15 ) Redeemable noncontrolling interest (45 ) Noncontrolling interests (14 ) Total purchase consideration allocation $ 181 The purchase consideration and fair value of the assets acquired and liabilities assumed are preliminary and could be revised as a result of adjustments made to the purchase price, additional information obtained regarding liabilities assumed and revisions of provisional estimates of fair values, including but not limited to, the completion of independent appraisals and valuations related to property, plant and equipment and intangibles. Goodwill recognized in this transaction is primarily attributable to synergies expected to arise after the acquisition and the assembled workforce, is not deductible for tax purposes and will be assigned to and evaluated for impairment at the operating segment level. Intangibles includes $29 allocated to customer relationships and $12 allocated to trademarks and trade names. We used the multi-period excess earnings method, an income approach, to value the customer relationships. We used the relief from royalty method, an income approach, to value customer trademarks and trade names. We used a replacement cost method to value fixed assets. We used a discounted cash flow approach to value the redeemable noncontrolling interests, inclusive of the put and call provisions. We used both discounted cash flow and cost approaches to value the noncontrolling interests. The customer relationships and trademarks and trade names intangible assets are being amortized on a straight-line basis over 17 years, and property, plant and equipment is being depreciated on a straight-line basis over useful lives ranging from three to 30 years. The results of operations of the businesses are reported in our Off-Highway operating segment from the date of acquisition. As a result of the acquisition, we incurred transaction related expenses totaling $6 , which were charged to Other expense, net. The pro forma effects of this acquisition would not materially impact our reported results for any period presented, and as a result no pro forma financial statements are presented. During the first quarter of 2017, the businesses contributed sales of $69 and a net loss of $2 . SIFCO — On December 23, 2016, we acquired strategic assets of SIFCO S.A.'s (SIFCO) commercial vehicle steer axle systems and related forged components businesses. The acquisition enables us to enhance our vertically integrated supply chain, which will further improve our cost structure and customer satisfaction by leveraging SIFCO's extensive experience and knowledge of sophisticated forged components. In addition to strengthening our position as a central source for products that use forged and machined parts throughout the region, this acquisition enables us to better accommodate the local content requirements of our customers, which reduces their import and other region-specific costs. SIFCO contributed the strategic assets to SJT Forjaria Ltda., a newly created legal entity, and Dana acquired all of the issued and outstanding quotas of SJT Forjaria Ltda. The strategic assets were acquired by Dana free and clear of any liens, claims or encumbrances. The acquisition was funded using cash on hand and has been accounted for as a business combination. The purchase consideration and the related allocation to the acquisition date fair values of the assets acquired are presented in the following table: Purchase price, cash consideration $ 60 Purchase price, deferred consideration 9 Total purchase consideration $ 69 Accounts receivable - Trade $ 1 Accounts receivable - Other 1 Inventories 10 Goodwill 6 Intangibles 3 Property, plant and equipment 59 Accounts payable (2 ) Accrued payroll and employee benefits (9 ) Total purchase consideration allocation $ 69 The purchase consideration and fair value of the assets acquired and liabilities assumed are preliminary and could be revised as a result of adjustments made to the purchase price, additional information obtained regarding liabilities assumed and revisions of provisional estimates of fair values, including but not limited to, the completion of independent appraisals and valuations related to property, plant and equipment and intangibles. The deferred consideration, less any claims for indemnification made by Dana, is to be paid on December 23, 2017. Goodwill recognized in this transaction is primarily attributable to synergies expected to arise after the acquisition and the assembled workforce, and is deductible for tax purposes. Intangibles includes $2 allocated to developed technology and $1 allocated to trade names. We used the relief from royalty method, an income approach, to value developed technology and trade names. We used a replacement cost method to value fixed assets. The developed technology and trade name intangible assets are being amortized on a straight-line basis over seven and five years respectively, and property, plant and equipment is being depreciated on a straight-line basis over useful lives ranging from three to ten years. The results of operations of the business are reported in our Commercial Vehicle operating segment from the date of acquisition. As a result of the acquisition, we incurred transaction related expenses totaling $5 during 2016, which were charged to Other expense, net. The pro forma effects of this acquisition would not materially impact our reported results for any period presented, and as a result no pro forma financial statements are presented. Magnum — On January 29, 2016, we acquired the aftermarket distribution business of Magnum ® Gaskets (Magnum), a U.S.-based supplier of gaskets and sealing products for automotive and commercial-vehicle applications, for a purchase price of $18 at closing and additional cash payments of up to $2 contingent upon the achievement of certain sales metrics over a future two -year period. As of the closing date of the acquisition, the contingent consideration was assigned a fair value of approximately $1 . Assets acquired included trademarks and trade names, customer relationships and goodwill. The results of operations of Magnum are reported within our Power Technologies operating segment. We acquired Magnum using cash on hand. The pro forma effects of this acquisition would not materially impact our reported results for any period presented, and as a result no pro forma financial statements are presented. |
Disposal Groups
Disposal Groups | 3 Months Ended |
Mar. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Discontinued Operations and Impairment of Long-Lived Assets [Text Block] | Disposal Groups Divestiture of Dana Companies — On December 30, 2016, we completed the divestiture of Dana Companies, LLC (DCLLC), a consolidated wholly-owned limited liability company that was established as part of our reorganization in 2008 to hold and manage personal injury asbestos claims retained by the reorganized Dana Corporation which was merged into DCLLC. DCLLC had net assets of $165 at the time of sale including cash and cash equivalents, marketable securities and rights to insurance coverage in place to satisfy a significant portion of its liabilities. We received cash proceeds of $88 – $29 net of cash divested – with $3 retained by the purchaser subject to the satisfaction of certain future conditions that we expect will be achieved in 2017. We recognized a pre-tax loss of $77 in 2016 upon completion of the transaction. In the event the conditions associated with the retained purchase price of $3 are satisfied in the future, income of $3 will be recognized at such time. Following completion of the sale, Dana has no obligation with respect to current or future asbestos claims. Divestiture of Nippon Reinz — On November 30, 2016, we sold our 53.7% interest in Nippon Reinz Co. Ltd. (Nippon Reinz) to Nichias Corporation. Dana received net cash proceeds of $5 and recognized a pre-tax loss of $3 on the divestiture of Nippon Reinz, inclusive of the $12 gain on derecognition of the noncontrolling interest. Nippon Reinz had sales of $42 in 2016 through the transaction date. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets [Text Block] | Goodwill and Other Intangible Assets Goodwill — The change in the carrying amount of goodwill in 2017 is due to currency fluctuation and the acquisitions of USM – Warren and 80% interests in BFP and BPT. See Note 2 for additional information. Changes in the carrying amount of goodwill by segment — Light Vehicle Commercial Vehicle Off-Highway Power Technologies Total Balance, December 31, 2016 $ — $ 6 $ 78 $ 6 $ 90 Acquisitions 4 39 43 Currency impact 1 1 Balance, March 31, 2017 $ 4 $ 7 $ 117 $ 6 $ 134 Components of other intangible assets — March 31, 2017 December 31, 2016 Weighted Average Useful Life (years) Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Amortizable intangible assets Core technology 7 $ 92 $ (84 ) $ 8 $ 88 $ (83 ) $ 5 Trademarks and trade names 15 18 (2 ) 16 6 (2 ) 4 Customer relationships 8 449 (378 ) 71 389 (374 ) 15 Non-amortizable intangible assets Trademarks and trade names 65 65 65 65 Used in research and development activities 20 20 20 20 $ 644 $ (464 ) $ 180 $ 568 $ (459 ) $ 109 The net carrying amounts of intangible assets, other than goodwill, attributable to each of our operating segments at March 31, 2017 were as follows: Light Vehicle — $55 , Commercial Vehicle — $36 , Off-Highway — $76 and Power Technologies — $13 . Amortization expense related to amortizable intangible assets — Three Months Ended 2017 2016 Charged to cost of sales $ 1 $ — Charged to amortization of intangibles 2 2 Total amortization $ 3 $ 2 The following table provides the estimated aggregate pre-tax amortization expense related to intangible assets for each of the next five years based on March 31, 2017 exchange rates. Actual amounts may differ from these estimates due to such factors as currency translation, customer turnover, impairments, additional intangible asset acquisitions and other events. Remainder of 2017 2018 2019 2020 2021 Amortization expense $ 9 $ 9 $ 8 $ 7 $ 7 |
Restructuring of Operations
Restructuring of Operations | 3 Months Ended |
Mar. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring of Operations [Text Block] | Restructuring of Operations Our restructuring activities have historically included rationalizing our operating footprint by consolidating facilities, positioning operations in lower cost locations and reducing overhead costs. In recent years, however, in response to lower demand and other market conditions in certain businesses, our focus has primarily been headcount reduction initiatives to reduce operating costs. Restructuring expense includes costs associated with current and previously announced actions and is comprised of contractual and noncontractual separation costs and exit costs, including costs associated with lease continuation obligations and certain operating costs of facilities that we are in the process of closing. During the first quarter of 2017, we continued to execute our previously announced actions. Restructuring expense during the first quarter of 2017 was $2 and primarily represented continuing exit costs. During the first quarter of 2016, restructuring expense of $1 also primarily represented continuing exit costs associated with previously announced actions. Accrued restructuring costs and activity, including noncurrent portion — Employee Termination Benefits Exit Costs Total Balance at December 31, 2016 $ 32 $ 6 $ 38 Charges to restructuring — 2 2 Cash payments (12 ) (2 ) (14 ) Balance at March 31, 2017 $ 20 $ 6 $ 26 At March 31, 2017 , the accrued employee termination benefits include costs to reduce approximately 400 employees to be completed over the next year. The exit costs relate primarily to lease continuation obligations. Cost to complete — The following table provides project-to-date and estimated future restructuring expenses for completion of our approved restructuring initiatives for our business segments at March 31, 2017. Expense Recognized Future Cost to Complete Prior to 2017 2017 Total to Date Light Vehicle $ 10 $ 1 $ 11 $ 1 Commercial Vehicle 41 1 42 14 Off-Highway 6 6 Total $ 57 $ 2 $ 59 $ 15 The future cost to complete includes estimated separation costs, primarily those associated with one-time benefit programs, and exit costs through 2021, including lease continuation costs, equipment transfers and other costs which are required to be recognized as closures are finalized or as incurred during the closure. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Stockholders' Equity [Text Block] | Stockholders’ Equity Common stock — Our Board of Directors declared a quarterly cash dividend of six cents per share of common stock in the first quarter of 2017. Dividends accrue on restricted stock units (RSUs) granted under our stock compensation program and will be paid in cash or additional units when the underlying units vest. Share repurchase program — Our Board of Directors approved a common stock share repurchase program up to $1,700 on January 11, 2016. The program expires on December 31, 2017. Approximately $219 remained available under the program for future share repurchases as of March 31, 2017 . Changes in equity — 2017 2016 Three Months Ended March 31, Attributable to Parent Attributable Total Equity Attributable to Parent Attributable Total Equity Balance, December 31 $ 1,157 $ 85 $ 1,242 $ 728 $ 103 $ 831 Adoption of ASU 2016-16 tax adjustment, January 1, 2017 (179 ) (179 ) — Net income 75 5 80 45 3 48 Other comprehensive income 30 2 32 41 1 42 Common stock dividends (9 ) (9 ) (9 ) (9 ) Distributions to noncontrolling interests (1 ) (1 ) (1 ) (1 ) Common stock share repurchases — (28 ) (28 ) Increase from business combination 14 14 — Stock compensation 7 7 2 2 Stock withheld for employee taxes (3 ) (3 ) (1 ) (1 ) Balance, March 31 $ 1,078 $ 105 $ 1,183 $ 778 $ 106 $ 884 See Note 1 for additional information about adoption of new accounting guidance on January 1, 2017. Changes in each component of accumulated other comprehensive income (AOCI) of the parent — Parent Company Stockholders Foreign Currency Translation Hedging Investments Defined Benefit Plans Total Balance, December 31, 2016 $ (646 ) $ (34 ) $ — $ (604 ) $ (1,284 ) Other comprehensive income (loss): Currency translation adjustments 34 34 Holding loss on net investment hedge (5 ) (5 ) Holding gains and losses (12 ) (12 ) Reclassification of amount to net income (a) 6 6 Reclassification adjustment for net actuarial losses included in net periodic benefit cost (b) 8 8 Tax (expense) benefit 2 (3 ) (1 ) Other comprehensive income (loss) 29 (4 ) — 5 30 Balance, March 31, 2017 $ (617 ) $ (38 ) $ — $ (599 ) $ (1,254 ) Balance, December 31, 2015 $ (608 ) $ (4 ) $ 2 $ (564 ) $ (1,174 ) Other comprehensive income (loss): Currency translation adjustments 29 29 Holding gains and losses 1 2 3 Reclassification of amount to net income (a) 2 2 Reclassification adjustment for net actuarial losses included in net periodic benefit cost (b) 7 7 Other comprehensive income 29 3 2 7 41 Balance, March 31, 2016 $ (579 ) $ (1 ) $ 4 $ (557 ) $ (1,133 ) (a) Foreign currency contract and investment reclassifications are included in Other expense, net. (b) See Note 10 for additional details. |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interest | 3 Months Ended |
Mar. 31, 2017 | |
Temporary Equity Disclosure [Abstract] | |
Noncontrolling Interest Disclosure [Text Block] | Redeemable Noncontrolling Interest In connection with the acquisition of a controlling interest in Brevini Fluid Power S.p.A. (BFP) and Brevini Power Transmission S.p.A. (BPT) from Brevini Group S.p.A. (Brevini) on February 1, 2017, we recognized $45 for Brevini's 20% redeemable noncontrolling interest. The terms of the agreement provide Dana the right to call Brevini's noncontrolling interests in BFP and BPT, and Brevini the right to put its noncontrolling interests in BFP and BPT to Dana, assuming Dana does not exercise its call rights, at dates and prices defined in the agreement. The call and put prices are based on the amount Dana paid to acquire its initial ownership interest in BFP and BPT subject to adjustment based on the actual EBITDA and free cash flows, as defined in the agreement, of BFP and BPT. See Note 2 for additional information. Redeemable noncontrolling interests reflected as of the balance sheet date are the greater of the redeemable noncontrolling interest balances adjusted for comprehensive income items and distributions or the redemption values (i.e., the "floor"). Redeemable noncontrolling interest adjustments of redemption value to the floor are reflected in retained earnings and are included as an adjustment to net income available to parent company stockholders in the calculation of earnings per share. There were no current period adjustments to reflect a redemption value in excess of carrying value. See Note 8. Reconciliation of changes in redeemable noncontrolling interest — Three months ended March 31, 2017 Balance, December 31 $ — Initial fair value of redeemable noncontrolling interest of acquired business 45 Comprehensive income (loss) adjustments: Other comprehensive income (loss) attributable to redeemable noncontrolling interest (1 ) Retained earnings adjustments: Adjustments to redemption value — Balance, March 31 $ 44 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Earnings per Share Reconciliation of the numerators and denominators of the earnings per share calculations — Three Months Ended 2017 2016 Net income attributable to the parent company - Numerator basic $ 75 $ 45 Less: Redeemable noncontrolling interest adjustment to redemption value — Net income available to common stockholders - Numerator diluted $ 75 $ 45 Denominator: Weighted-average shares outstanding - Basic 144.6 149.4 Employee compensation-related shares, including stock options 1.3 0.5 Weighted-average shares outstanding - Diluted 145.9 149.9 The share count for diluted earnings per share is computed on the basis of the weighted-average number of common shares outstanding plus the effects of dilutive common stock equivalents (CSEs) outstanding during the period. We excluded 0.5 million and 1.9 million CSEs from the calculations of diluted earnings per share in 2017 and 2016 as the effect of including them would have been anti-dilutive. |
Stock Compensation
Stock Compensation | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Compensation [Text Block] | Stock Compensation The Compensation Committee of our Board of Directors approved the grant of RSUs and performance share units (PSUs) shown in the table below during 2017. Granted (In millions) Grant Date Fair Value* RSUs 0.7 $ 19.51 PSUs 0.3 $ 18.63 * Weighted-average per share We calculated the fair value of the RSUs at grant date based on the closing market price of our common stock at the date of grant. The number of PSUs that ultimately vest is contingent on achieving specified return on invested capital targets and specified margin targets, with an even distribution between the two targets. We estimated the fair value of the PSUs at grant date based on the closing market price of our common stock at the date of grant adjusted for the value of assumed dividends over the period because the awards are not dividend protected. We received $4 of cash from the exercise of stock options related to 0.3 million shares. We paid $1 of cash to settle RSUs and issued 0.4 million shares of common stock based on the vesting of RSUs during 2017. We recognized stock compensation expense of $4 and $2 during the first quarter of 2017 and 2016 . At March 31, 2017 , the total unrecognized compensation cost related to the nonvested awards granted and expected to vest was $36 . This cost is expected to be recognized over a weighted-average period of 2.2 years. |
Pension and Postretirement Bene
Pension and Postretirement Benefit Plans | 3 Months Ended |
Mar. 31, 2017 | |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Pension and Postretirement Benefit Plans [Text Block] | Pension and Postretirement Benefit Plans We have a number of defined contribution and defined benefit, qualified and nonqualified, pension plans covering eligible employees. Other postretirement benefits (OPEB), including medical and life insurance, are provided for certain employees upon retirement. Components of net periodic benefit cost (credit) — Pension 2017 2016 OPEB - Non-U.S. Three Months Ended March 31, U.S. Non-U.S. U.S. Non-U.S. 2017 2016 Interest cost $ 13 $ 2 $ 13 $ 2 $ 1 $ 1 Expected return on plan assets (21 ) (1 ) (23 ) (1 ) Service cost 1 1 Amortization of net actuarial loss 6 2 5 2 Net periodic benefit cost (credit) $ (2 ) $ 4 $ (5 ) $ 4 $ 1 $ 1 Pension expense for 2017 increased modestly versus the same period in 2016 as a result of a lower assumed return on plan assets and an increase in amortization of the net actuarial loss in the U.S. |
Marketable Securities
Marketable Securities | 3 Months Ended |
Mar. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities [Text Block] | Marketable Securities March 31, 2017 December 31, 2016 Cost Unrealized Fair Cost Unrealized Fair U.S. government securities $ 2 $ — $ 2 $ 2 $ — $ 2 Corporate securities 3 3 2 2 Certificates of deposit 22 22 22 22 Other 4 4 4 4 Total marketable securities $ 31 $ — $ 31 $ 30 $ — $ 30 U.S. government securities include bonds issued by government-sponsored agencies and Treasury notes. Corporate securities are primarily debt securities. Other consists of investments in mutual and index funds. U.S. government securities, corporate debt and certificates of deposit maturing in one year or less and after one year through five years totals $22 and $5 at March 31, 2017 . |
Financing Agreements
Financing Agreements | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Financing Agreements [Text Block] | Financing Agreements Long-term debt at — March 31, 2017 December 31, 2016 Interest Principal Unamortized Debt Issue Costs Principal Unamortized Debt Issue Costs Senior Notes due September 15, 2021 5.375% $ 450 $ (5 ) $ 450 $ (5 ) Senior Notes due September 15, 2023 6.000% 300 (4 ) 300 (4 ) Senior Notes due December 15, 2024 5.500% 425 (5 ) 425 (6 ) Senior Notes due June 1, 2026 6.500% * 375 (6 ) 375 (6 ) Other indebtedness 202 120 Total $ 1,752 $ (20 ) $ 1,670 $ (21 ) * In conjunction with the issuance of the June 2026 Notes we entered into two 10-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the June 2026 Notes to euro-denominated debt at a fixed rate of 5.140% . See Note 13 for additional information. Interest on the senior notes is payable semi-annually. Other indebtedness includes borrowings from various financial institutions, capital lease obligations, the unamortized fair value adjustment related to a terminated interest rate swap and the financial liability related to a build-to-suit lease. The increase in other indebtedness during the first quarter of 2017 is primarily due to our acquisition of BPT and BFP. See Note 2 for additional information regarding the acquisition and Note 13 for additional information on the terminated interest rate swap. Senior notes — On April 4, 2017, Dana Financing Luxembourg S.à r.l., a wholly-owned subsidiary of Dana, issued $400 in senior notes (April 2025 Notes) at 5.750% . The April 2025 Notes were issued through a private placement and will not be registered under the U.S. Securities Act of 1933, as amended (the Securities Act). The April 2025 Notes were offered only to qualified institutional buyers in reliance on Rule 144A under the Securities Act and, outside the United States, only to non-U.S. investors in reliance on Regulation S under the Securities Act. The April 2025 Notes rank equally with Dana's other unsecured senior notes. Interest on the notes is payable on April 15 and October 15 of each year, beginning on October 15, 2017. The April 2025 Notes will mature on April 15, 2025. Net proceeds of the offering totaled $394 . Financing costs of $6 will be recorded as deferred costs and amortized to interest expense over the life of the notes. The proceeds from the offering will be used to repay indebtedness of our BPT and BFP subsidiaries and indebtedness of a wholly-owned subsidiary in Brazil and to redeem $100 of our September 2021 Notes. In conjunction with the issuance of the April 2025 Notes, we entered into eight-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the April 2025 Notes to euro-denominated debt at a fixed rate of 3.850% . See Note 13 for additional information. At any time prior to April 15, 2020, we may redeem up to 35% of the aggregate principal amount of the April 2025 Notes in an amount not to exceed the amount of proceeds of one or more equity offerings, at a price equal to 105.750% of the principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date, provided that at least 50% of the original aggregate principal amount of the April 2025 Notes remains outstanding after the redemption. Prior to April 15, 2020, we may redeem some or all of the April 2025 Notes at a redemption price of 100.000% of the aggregate principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date plus a “make-whole” premium. We have not separated the make-whole premium from the underlying debt instrument to account for it as a derivative instrument as the economic characteristics and the risks of this embedded derivative are clearly and closely related to the economic characteristics and risks of the underlying debt. We may redeem some or all of the April 2025 Notes at the following redemption prices (expressed as percentages of principal amount), plus accrued and unpaid interest to the redemption date, if redeemed during the 12-month period commencing on April 15 in the years set forth below: Year Redemption Price 2020 104.313% 2021 102.875% 2022 101.438% 2023 100.000% 2024 100.000% During April 2017, we redeemed $100 of our September 2021 Notes pursuant to a tender offer at a weighted average price equal to 104.031% plus accrued and unpaid interest. The $5 loss on extinguishment of debt to be recorded in April 2017 includes the redemption premium and transaction costs associated with the tender offer and the write-off of $1 of previously deferred financing costs associated with the September 2021 Notes. On June 23, 2016, we redeemed all of our February 2021 Notes at a price equal to 103.375% plus accrued and unpaid interest. The $16 loss on extinguishment of debt includes the $12 redemption premium and the $4 write-off of previously deferred financing costs associated with the February 2021 Notes. Revolving facility — On June 9, 2016, we entered into a new $500 revolving credit facility (the Revolving Facility) which matures on June 9, 2021. The Revolving Facility refinanced and replaced our previous revolving credit facility. In connection with the Revolving Facility, we paid $3 in deferred financing costs to be amortized to interest expense over the life of the facility. We wrote off $1 of previously deferred financing costs associated with our prior revolving credit facility to loss on extinguishment of debt. Deferred financing costs on our Revolving Facility are included in Other noncurrent assets. The Revolving Facility is guaranteed by all of our wholly-owned domestic subsidiaries, subject to certain exceptions, including exceptions for Dana Credit Corporation and its subsidiaries (the guarantors), and grants a first-priority lien on substantially all of the assets of Dana and the guarantors, subject to certain exceptions. Advances under the Revolving Facility bear interest at a floating rate based on, at our option, the base rate or Eurodollar rate (each as described in the revolving credit agreement) plus a margin as set forth below: Margin Total Net Leverage Ratio Base Rate Eurodollar Rate Less than or equal to 1.00:1.00 0.50 % 1.50 % Greater than 1.00:1.00 but less than or equal to 2.00:1.00 0.75 % 1.75 % Greater than 2.00:1.00 1.00 % 2.00 % Commitment fees are applied based on the average daily unused portion of the available amounts under the Revolving Facility as set forth below: Total Net Leverage Ratio Commitment Fee Less than or equal to 1.00:1.00 0.250 % Greater than 1.00:1.00 but less than or equal to 2.00:1.00 0.375 % Greater than 2.00:1.00 0.500 % Up to $275 of the Revolving Facility may be applied to letters of credit, which reduces availability. We pay a fee for issued and undrawn letters of credit in an amount per annum equal to the applicable margin for Eurodollar rate advances based on a quarterly average availability under issued and undrawn letters of credit under the Revolving Facility and a per annum fronting fee of 0.125% , payable quarterly. As of March 31, 2017, we had no outstanding borrowings under the Revolving Facility and we had utilized $23 for letters of credit. We had availability at March 31, 2017 under the Revolving Facility of $477 after deducting outstanding borrowings and letters of credit. Debt covenants — At March 31, 2017 , we were in compliance with the covenants of our financing agreements. Under the Revolving Facility and the senior notes, we are required to comply with certain incurrence-based covenants customary for facilities of these types and, in the case of the Revolving Facility, a maintenance covenant requiring us to maintain a first lien net leverage ratio not to exceed 2.00 to 1.00. |
Fair Value Measurements and Der
Fair Value Measurements and Derivatives | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Derivatives [Text Block] | Fair Value Measurements and Derivatives In measuring the fair value of our assets and liabilities, we use market data or assumptions that we believe market participants would use in pricing an asset or liability including assumptions about risk when appropriate. Our valuation techniques include a combination of observable and unobservable inputs. Fair value measurements on a recurring basis — Assets and liabilities that are carried in our balance sheet at fair value are as follows: Fair Value Category Balance Sheet Location Fair Value Level March 31, December 31, Available-for-sale securities Marketable securities 1 $ 4 $ 4 Available-for-sale securities Marketable securities 2 27 26 Currency forward contracts Cash flow hedges Accounts receivable other 2 3 2 Cash flow hedges Other accrued liabilities 2 — 4 Undesignated Accounts receivable other 2 2 1 Undesignated Other accrued liabilities 2 1 1 Currency swaps Cash flow hedges Other noncurrent liabilities 2 29 12 Undesignated Other accrued liabilities 2 2 3 Fair Value Level 1 assets and liabilities reflect quoted prices in active markets. Fair Value Level 2 assets and liabilities reflect the use of significant other observable inputs. Fair value of financial instruments — The financial instruments that are not carried in our balance sheet at fair value are as follows: March 31, 2017 December 31, 2016 Carrying Value Fair Value Carrying Value Fair Value Senior notes $ 1,550 $ 1,608 $ 1,550 $ 1,612 Other indebtedness* 202 185 120 101 Total $ 1,752 $ 1,793 $ 1,670 $ 1,713 * The carrying value includes the unamortized portion of a fair value adjustment related to a terminated interest rate swap at both dates. The carrying value and fair value also include a financial liability associated with a build-to-suit lease arrangement at both dates. The fair value of our senior notes is estimated based upon a market approach (Level 2) while the fair value of our other indebtedness is based upon an income approach (Level 2). See Note 12 for additional information about financing agreements. Fair value measurements on a nonrecurring basis — Certain assets are measured at fair value on a nonrecurring basis. These are long-lived assets that are subject to fair value adjustments only in certain circumstances. These assets include intangible assets and property, plant and equipment which may be written down to fair value when they are held for sale or as a result of impairment. Interest rate derivatives — Our portfolio of derivative financial instruments periodically includes interest rate swaps designed to mitigate our interest rate risk. As of March 31, 2017 , no fixed-to-floating interest rate swaps remain outstanding. However, a $7 fair value adjustment to the carrying amount of our December 2024 Notes, associated with a fixed-to-floating interest rate swap that had been executed but was subsequently terminated during 2015, remains deferred at March 31, 2017 . This amount is being amortized as a reduction of interest expense through the period ending December 2024, the scheduled maturity date of the December 2024 Notes. The amount amortized as a reduction of interest expense was not material during the quarter ended March 31, 2017. Foreign currency derivatives — Our foreign currency derivatives include forward contracts associated with forecasted transactions, primarily involving the purchases and sales of inventory through the next fifteen months, as well as currency swaps associated with certain recorded external notes payable and intercompany loans receivable and payable. Periodically, our foreign currency derivatives also include net investment hedges of certain of our investments in foreign operations. During February 2017, in conjunction with the issuance of an aggregate $15 of U.S. dollar-denominated short-term notes payable by one of our Brazilian subsidiaries (the "Brazilian Notes"), we executed fixed-to-fixed cross-currency swaps with the same critical terms as the Brazilian Notes. Additionally, in conjunction with the issuance of €281 of euro-denominated intercompany notes payable, issued by certain of our Luxembourg subsidiaries (the "Luxembourg Intercompany Notes") and payable to USD-functional Dana, Inc., we executed fixed-to-fixed cross-currency swaps with the same critical terms as the Luxembourg Intercompany Notes. The risk management objective of these swaps is to eliminate the variability in the functional-currency-equivalent cash flows due to changes in the U.S. dollar / Brazilian real and euro / U.S. dollar exchange rates associated with the forecasted principal and interest payments on the respective underlying instruments. During March 2017, in conjunction with the planned April 2017 issuance of the $400 of U.S. dollar-denominated April 2025 Notes by euro-functional Dana Financing Luxembourg S.à r.l., we executed fixed-to-fixed cross-currency swaps with the same critical terms as the April 2025 Notes to eliminate the variability in the functional-currency-equivalent cash flows due to changes in the U.S. dollar / euro exchange rates associated with the forecasted principal and interest payments. During May 2016, in conjunction with the issuance of the $375 of U.S. dollar-denominated June 2026 Notes by euro-functional Dana Financing Luxembourg S.à r.l., we executed fixed-to-fixed cross-currency swaps with the same critical terms as the June 2026 Notes to eliminate the variability in the functional-currency-equivalent cash flows due to changes in the U.S. dollar / euro exchange rates associated with the forecasted principal and interest payments. All of the underlying designated financial instruments, and any subsequent replacement debt, have been designated as the hedged items in each respective cash flow hedge relationship, as shown in the table below. Designated as cash flow hedges of the forecasted principal and interest payments of the underlying designated financial instruments, or subsequent replacement debt, all of the swaps economically convert the underlying designated financial instruments into the functional currency of each respective holder. The impact of the interest rate differential between the inflow and outflow rates on all fixed-to-fixed cross-currency swaps is recognized during each period as a component of interest expense. Summary of Fixed-to-Fixed Cross-Currency Swaps — Underlying Financial Instrument Derivative Financial Instrument Description Type Face Amount Rate Designated Notional Amount Traded Amount Inflow Rate Outflow Rate Outstanding at March 31, 2017 June 2026 Notes Payable $ 375 6.50 % $ 375 € 338 6.50 % 5.14 % Brazilian Notes Payable $ 15 3.80 % $ 15 R$ 47 3.80 % 13.58 % Luxembourg Intercompany Notes Receivable € 281 3.91 % € 281 $ 300 6.00 % 3.91 % Issued during April 2017 April 2025 Notes Payable $ 400 5.75 % $ 400 € 371 5.75 % 3.85 % All of the swaps are expected to be highly effective in offsetting the corresponding currency-based changes in cash outflows related to the underlying designated financial instruments. Based on our qualitative assessment that the critical terms of all of the underlying designated financial instruments and all of the associated swaps match and that all other required criteria have been met, we do not expect to incur any ineffectiveness. As effective cash flow hedges, changes in the fair value of the swaps will be recorded in OCI during each period. Additionally, to the extent the swaps remain effective, the appropriate portion of AOCI will be reclassified to earnings each period as an offset to the foreign exchange gain or loss resulting from the remeasurement of the underlying designated financial instruments. See Note 12 for additional information about the June 2026 Notes and the April 2025 Notes. In the event our ongoing assessment demonstrates that the critical terms of either the swaps or the underlying designated financial instruments have changed, or that there have been adverse developments regarding counterparty risk, we will use the long haul method to assess ineffectiveness of the hedging relationship. To the extent the swaps are no longer effective, changes in their fair values will be recorded in earnings. During the first quarter of 2017, deferred losses of $11 associated with all of the fixed-to-fixed cross-currency swaps were recorded in OCI and reflect the net impact of a $17 unfavorable change in the fair value of the swaps and a $6 reclassification from AOCI to earnings. The reclassification from AOCI to earnings represents an offset to a foreign exchange remeasurement gain on all of the designated debt instruments outstanding during the quarter ended March 31, 2017. The total notional amount of outstanding foreign currency forward contracts, involving the exchange of various currencies, was $200 at March 31, 2017 and $143 at December 31, 2016 . The total notional amount of outstanding foreign currency swaps, including but not limited to the fixed-to-fixed cross-currency swaps, was $1,129 at March 31, 2017 and $571 at December 31, 2016 . The following currency derivatives were outstanding at March 31, 2017 : Notional Amount (U.S. Dollar Equivalent) Functional Currency Traded Currency Designated as Undesignated Total Maturity U.S. dollar Mexican peso, euro $ 91 $ — $ 91 Jun-18 Euro U.S. dollar, Canadian dollar, Hungarian forint, British pound, Swiss franc, Indian rupee, Russian ruble 26 4 30 Jun-18 British pound U.S. dollar, Euro 3 3 May-18 Swedish krona Euro 19 19 May-18 South African rand U.S. dollar, Euro, Thai baht 9 9 Sep-17 Thai baht U.S. dollar, Australian dollar 4 4 Jun-17 Canadian dollar U.S. dollar 15 15 Jun-18 Brazilian real Euro 2 2 Mar-18 Indian rupee U.S. dollar, British pound, Euro 27 27 Jun-18 Total forward contracts 139 61 200 U.S. dollar Euro, Canadian dollar 300 20 320 Sep-23 Euro U.S. dollar, British pound 775 18 793 Jun-26 Brazilian real U.S. dollar 15 15 Feb-18 South African rand U.S. dollar 1 1 Sep-17 Total currency swaps 1,090 39 1,129 Total currency derivatives $ 1,229 $ 100 $ 1,329 Cash flow hedges — With respect to contracts designated as cash flow hedges, changes in fair value during the period in which the contracts remain outstanding are reported in OCI to the extent such contracts remain effective. Effectiveness is measured by using regression analysis to determine the degree of correlation between the change in the fair value of the derivative instrument and the change in the associated foreign currency exchange rates. Changes in fair value of contracts not designated as cash flow hedges or as net investment hedges are recognized in Other expense, net in the period in which the changes occur. Realized gains and losses from currency-related forward contracts, including those that have been designated as cash flow hedges and those that have not been designated, are recognized in Other expense, net. Net investment hedges — We periodically designate derivative contracts or underlying non-derivative financial instruments as net investment hedges. With respect to contracts designated as net investment hedges, we apply the forward method, but for non-derivative financial instruments designated as net investment hedges, we apply the spot method. Under both methods, we report changes in fair value in the cumulative translation adjustment (CTA) component of OCI during the period in which the contracts remain outstanding to the extent such contracts and non-derivative financial instruments remain effective. During the first quarter of 2017, we designated the principal amount of an existing non-derivative Mexican peso-denominated intercompany note payable (the "MXN-denominated intercompany note") by Dana European Holdings Luxembourg S.à r.l. to Dana de Mexico Corporacion S. de R.L. de C.V., one of our Mexican subsidiaries, as a net investment hedge of the equivalent portion of the investment in the associated Mexican operations. At March 31, 2017, the principal amount of the MXN-denominated intercompany note is 1,465 Mexican pesos, or approximately $78 . During the first quarter of 2017, we recorded a deferred loss of $5 in the CTA component of OCI associated with the MXN-denominated intercompany note. Amounts recorded in CTA remain deferred in AOCI until such time as the investments in the associated subsidiaries are substantially liquidated. See also Note 6. Amounts to be reclassified to earnings — Deferred gains or losses associated with effective cash flow hedges of forecasted transactions are reported in AOCI and are reclassified to earnings in the same periods in which the underlying transactions affect earnings. Amounts expected to be reclassified to earnings assume no change in the current hedge relationships or to March 31, 2017 exchange rates. Deferred gains of $3 at March 31, 2017 are expected to be reclassified to earnings during the next twelve months, compared to deferred losses of $2 at December 31, 2016 . Amounts reclassified from AOCI to earnings arising from the discontinuation of cash flow hedge accounting treatment were not material during the first quarter of 2017. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies [Text Block] | Commitments and Contingencies Product liabilities — We had accrued $4 and $5 for product liability costs at March 31, 2017 and December 31, 2016 and $4 for an expected recovery from third parties at both dates. We estimate these liabilities based on assumptions about the value of the claims and about the likelihood of recoveries against us derived from our historical experience and current information. Environmental liabilities — Accrued environmental liabilities were $7 at March 31, 2017 and $8 at December 31, 2016 . We consider the most probable method of remediation, current laws and regulations and existing technology in estimating our environmental liabilities. Guarantee of lease obligations — In connection with the divestiture of our Structural Products business in 2010, leases covering three U.S. facilities were assigned to a U.S. affiliate of Metalsa. Under the terms of the sale agreement, we will guarantee the affiliate’s performance under the leases, which run through June 2025, including approximately $6 of annual payments. In the event of a required payment by Dana as guarantor, we are entitled to pursue full recovery from Metalsa of the amounts paid under the guarantee and to take possession of the leased property. Other legal matters — We are subject to various pending or threatened legal proceedings arising out of the normal course of business or operations. In view of the inherent difficulty of predicting the outcome of such matters, we cannot state what the eventual outcome of these matters will be. However, based on current knowledge and after consultation with legal counsel, we believe that any liabilities that may result from these proceedings will not have a material adverse effect on our liquidity, financial condition or results of operations. |
Warranty Obligations
Warranty Obligations | 3 Months Ended |
Mar. 31, 2017 | |
Product Warranties Disclosures [Abstract] | |
Warranty Obligations [Text Block] | Warranty Obligations We record a liability for estimated warranty obligations at the dates our products are sold. We record the liability based on our estimate of costs to settle future claims. Adjustments to our estimated costs at time of sale are made as claim experience and other new information becomes available. Obligations for service campaigns and other occurrences are recognized as adjustments to prior estimates when the obligation is probable and can be reasonably estimated. Changes in warranty liabilities — Three Months Ended 2017 2016 Balance, beginning of period $ 66 $ 56 Acquisitions 8 Amounts accrued for current period sales 7 7 Adjustments of prior estimates 3 5 Settlements of warranty claims (12 ) (10 ) Currency impact 1 1 Balance, end of period $ 73 $ 59 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes [Text Block] | Income Taxes We estimate the effective tax rate expected to be applicable for the full fiscal year and use that rate to provide for income taxes in interim reporting periods. We also recognize the tax impact of certain unusual or infrequently occurring items, including changes in judgment about valuation allowances and effects of changes in tax laws or rates, in the interim period in which they occur. We have generally not recognized tax benefits on losses generated in several entities where the recent history of operating losses does not allow us to satisfy the “more likely than not” criterion for the recognition of deferred tax assets. Consequently, there is no income tax expense or benefit recognized on the pre-tax income or losses in these jurisdictions as valuation allowances are adjusted to offset the associated tax expense or benefit. We record interest and penalties related to uncertain tax positions as a component of income tax expense. Net interest expense for the periods presented herein is not significant. We reported income tax expense related to operations of $30 and $24 for the quarters ended March 31, 2017 and 2016. Our effective tax rates were 29% and 33% in 2017 and 2016, respectively, with $3 from the amortization of the prepaid tax asset increasing the rate in 2016. Our effective income tax rates vary from the U.S. federal statutory rate of 35% due to establishment, release and adjustment of valuation allowances in several countries, nondeductible expenses, local tax incentives in several countries outside the U.S., different statutory tax rates outside the U.S. and withholding taxes related to repatriations of international earnings. We provide for U.S. federal income and non-U.S. withholding taxes on the earnings of our non-U.S. operations that are not considered to be permanently reinvested. Accordingly, we continue to analyze and adjust the estimated tax impact of the income and non-U.S. withholding tax liabilities based on the amount and source of these earnings. As part of the annual effective tax rate, we recognized net expense of $2 and $1 in 2017 and 2016 related to future income taxes and non-U.S. withholding taxes on repatriations from operations that are not permanently reinvested. We also paid withholding taxes of $2 and $1 during 2017 and 2016 related to the actual transfer of funds to the U.S. and transfers of funds between foreign subsidiaries. The adoption of new accounting guidance at the beginning of 2017 resulted in the $179 write-off of certain tax assets, primarily a prepaid tax recorded in conjunction with the intercompany sale of certain operating assets to a non-U.S. affiliate in 2015. See Note 1 for additional information. |
Other Expense, Net
Other Expense, Net | 3 Months Ended |
Mar. 31, 2017 | |
Other Income and Expenses [Abstract] | |
Other Income and Other Expense, Net [Text Block] | Other Expense, Net Three Months Ended 2017 2016 Government grants and incentives $ 2 $ 1 Foreign exchange loss (2 ) (2 ) Strategic transaction expenses (11 ) (2 ) Insurance and other recoveries 1 Other, net 2 Other expense, net $ (9 ) $ (2 ) Foreign exchange gains and losses on cross-currency intercompany loan balances that are not of a long-term investment nature are included above. Foreign exchange gains and losses on intercompany loans that are permanently invested are reported in OCI. Strategic transaction expenses relate primarily to costs incurred in connection with acquisition and divestiture related activities, including integration costs. The increase in strategic transaction expenses in 2017 is primarily attributable to our acquisitions of BFP and BPT from Brevini and USM – Warren from USM. See Note 2 for additional information. |
Segments
Segments | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segments [Text Block] | Segments We are a global provider of high-technology products to virtually every major vehicle and engine manufacturer in the world. We also serve the stationary industrial market. Our technologies include drive and motion products (axles, driveshafts, planetary hub drives, power-transmission products, tire-management products, and transmissions); sealing solutions (gaskets, seals, heat shields, and fuel-cell plates); thermal-management technologies (transmission and engine oil cooling, battery and electronics cooling, and exhaust-gas heat recovery); and fluid-power products (pumps, valves, motors, and controls). We serve our global light vehicle, medium/heavy vehicle and off-highway markets through four operating segments – Light Vehicle Driveline Technologies (Light Vehicle), Commercial Vehicle Driveline Technologies (Commercial Vehicle), Off-Highway Drive and Motion Technologies (Off-Highway) and Power Technologies, which is the center of excellence for sealing and thermal-management technologies that span all customers in our on-highway and off-highway markets. These operating segments have global responsibility and accountability for business commercial activities and financial performance. Dana evaluates the performance of its operating segments based on external sales and segment EBITDA. Segment EBITDA is a primary driver of cash flows from operations and a measure of our ability to maintain and continue to invest in our operations and provide shareholder returns. Our segments are charged for corporate and other shared administrative costs. Segment EBITDA may not be comparable to similarly titled measures reported by other companies. Segment information — 2017 2016 Three Months Ended March 31, External Sales Inter-Segment Sales Segment EBITDA External Sales Inter-Segment Sales Segment EBITDA Light Vehicle $ 761 $ 29 $ 89 $ 613 $ 32 $ 58 Commercial Vehicle 329 23 28 333 22 26 Off-Highway 328 8 45 241 9 32 Power Technologies 283 4 50 262 3 35 Eliminations and other (64 ) (66 ) Total $ 1,701 $ — $ 212 $ 1,449 $ — $ 151 Reconciliation of segment EBITDA to consolidated net income — Three Months Ended 2017 2016 Segment EBITDA $ 212 $ 151 Corporate expense and other items, net (7 ) (3 ) Depreciation (49 ) (41 ) Amortization of intangibles (3 ) (2 ) Restructuring (2 ) (1 ) Stock compensation expense (4 ) (2 ) Strategic transaction expenses (11 ) (2 ) Acquisition related inventory adjustments (6 ) Other items (1 ) (4 ) Distressed supplier costs (1 ) Amounts attributable to previously divested/closed operations 1 Interest expense (27 ) (27 ) Interest income 3 3 Income before income taxes 105 72 Income tax expense 30 24 Equity in earnings of affiliates 5 Net income $ 80 $ 48 |
Equity Affiliates
Equity Affiliates | 3 Months Ended |
Mar. 31, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Affiliates [Text Block] | Equity Affiliates We have a number of investments in entities that engage in the manufacture of vehicular parts – primarily axles, driveshafts and wheel-end braking systems – supplied to OEMs. Equity method investments exceeding $5 at March 31, 2017 — Ownership Percentage Investment Dongfeng Dana Axle Co., Ltd. (DDAC) 50% $ 88 Bendix Spicer Foundation Brake, LLC 20% 49 Axles India Limited 48% 8 Taiway Ltd. 14% 5 All others as a group 6 Investments in equity affiliates 156 Investments in affiliates carried at cost 2 Investments in affiliates $ 158 Summarized financial information for DDAC — Three Months Ended 2017 2016 Sales $ 190 $ 120 Gross profit $ 24 $ 10 Income (loss) before income taxes $ 8 $ (3 ) Net income (loss) $ 7 $ (2 ) Dana's equity in earnings (loss) of affiliate $ 3 $ (2 ) |
Organization and Summary of S26
Organization and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation [Policy Text Block] | Basis of presentation — Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information. These statements are unaudited, but in the opinion of management include all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of the results for the interim periods. The results reported in these consolidated financial statements should not necessarily be taken as indicative of results that may be expected for the entire year. The financial information included herein should be read in conjunction with the consolidated financial statements in Item 8 of our 2016 Form 10-K. We have added the subtotal "Income before interest and income taxes" to our consolidated statement of operations. Interest income, interest expense and loss on extinguishment of debt are presented below the new subtotal but above the subtotal "Income before income taxes." Interest income was previously included in Other expense, net. Prior year amounts have been reclassified to conform to the 2017 presentation. |
Recently Adopted Accounting Pronouncements [Policy Text Block] | Recently adopted accounting pronouncements In October 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2016-16, Income Taxes – Intra-Entity Transfers of Assets Other Than Inventory, guidance that simplifies the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. GAAP had prohibited the recognition in earnings of current and deferred income taxes for an intra-entity transfer until the asset was sold to an outside party or recovered through use. This amendment simplifies the accounting by requiring entities to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The new guidance, which requires modified retrospective application, becomes effective January 1, 2018 with early adoption permitted in 2017 prior to the issuance of interim financial statements. We adopted this guidance effective January 1, 2017. The adoption of the new guidance resulted in a decrease in Other current assets of $10 , a decrease in Other noncurrent assets of $169 and a decrease in Retained earnings at January 1, 2017 of $179 . We also adopted the following standards during the first quarter of 2017, none of which had a material impact on our financial statements or financial statement disclosures: Standard Effective Date 2016-07 Investments – Equity Method and Joint Ventures – Simplifying the Transition to the Equity Method of Accounting January 1, 2017 2016-06 Derivatives and Hedging – Contingent Put and Call Options in Debt Instruments January 1, 2017 2016-05 Derivatives and Hedging – Effect of Derivative Contract Novations on Existing Hedge Accounting Relationships January 1, 2017 2015-11 Inventory – Simplifying the Measurement of Inventory January 1, 2017 |
Recently Issued Accounting Pronouncements [Policy Text Block] | Recently issued accounting pronouncements In March 2017, the FASB issued ASU 2017-07, Retirement Benefits – Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, guidance that requires entities to present the service cost component of net periodic pension cost and net periodic postretirement benefit cost in the income statement line items where they report compensation cost. Entities will present all other components of net benefit cost outside operating income, if this subtotal is presented. The rules related to the timing of when costs are recognized or how they are measured have not changed. This amendment only impacts where those costs are reflected within the income statement. In addition, only the service cost component will be eligible for capitalization in inventory and other assets. This guidance becomes effective January 1, 2018. Early adoption is permitted. We do not expect this guidance to have a material impact on our consolidated financial statements in the near term as the service components and related net periodic benefit costs are not significantly different. In January 2017, the FASB issued ASU 2017-04, Goodwill – Simplifying the Test for Goodwill Impairment, guidance that simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 of the goodwill impairment test. The new guidance quantifies goodwill impairment as the amount by which the carrying amount of a reporting unit, including goodwill, exceeds its fair value, with the impairment loss limited to the total amount of goodwill allocated to that reporting unit. This guidance becomes effective January 1, 2020 and will be applied on a prospective basis. Early adoption is permitted for impairment tests performed after January 1, 2017. We do not expect the adoption of this guidance to impact our consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations – Clarifying the Definition of a Business, guidance that revises the definition of a business. The definition of a business affects many areas of accounting, including acquisitions, disposals, goodwill impairment and consolidation. When substantially all of the fair value of gross assets acquired is concentrated in a single asset (or a group of similar assets), the asset acquired would not represent a business. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to create outputs. The new guidance provides a framework to evaluate when an input and a substantive process are present. This guidance becomes effective January 1, 2018. Early adoption is permitted. In November 2016, the FASB released ASU 2016-18, Statement of Cash Flows – Restricted Cash, guidance that addresses the diversity in practice in the classification and presentation of changes in restricted cash on the statement of cash flows. Amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance becomes effective January 1, 2018 and must be applied on a retrospective basis. This guidance is not expected to have a material impact on our consolidated statement of cash flows. In August 2016, the FASB released ASU 2016-15, Statement of Cash Flows – Classification of Certain Cash Receipts and Cash Payments, guidance intended to reduce diversity in practice in how certain cash receipts and cash payments are classified in the statement of cash flows. This guidance becomes effective January 1, 2018 and must be applied on a retrospective basis. This guidance is not expected to have a material impact on our consolidated statement of cash flows. In June 2016, the FASB issued ASU 2016-13, Credit Losses – Measurement of Credit Losses on Financial Instruments, new guidance for the accounting for credit losses on certain financial instruments. This guidance introduces a new approach to estimating credit losses on certain types of financial instruments and modifies the impairment model for available-for-sale debt securities. This guidance, which becomes effective January 1, 2020, is not expected to have a material impact on our consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases, its new lease accounting standard. The primary focus of the standard is on the accounting by lessees. This standard requires lessees to recognize a right-of-use asset and a lease liability for virtually all leases (other than leases that meet the definition of a short-term lease) on the balance sheet. The recognition, measurement and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed from current GAAP. Operating leases will result in straight-line expense while finance leases will result in a front-loaded expense pattern in the income statement. Quantitative and qualitative disclosures are required to provide insight into the extent of revenue and expense recognized and expected to be recognized from leasing arrangements. Approximately three-fourths of our global lease portfolio represents leases of real estate, including manufacturing, assembly and office facilities, while the remainder represents leases of personal property, including manufacturing, material handling and IT equipment. Many factors will impact the ultimate measurement of the lease obligation to be recognized upon adoption, including our assessment of the likelihood of renewal of leases that provide such an option. We continue to evaluate the impact this guidance will have on our consolidated financial statements. This guidance becomes effective January 1, 2019 with early adoption permitted. In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Recognition and Measurement of Financial Assets and Financial Liabilities, an amendment that addresses the recognition, measurement, presentation and disclosure of certain financial instruments. Investments in equity securities currently classified as available-for-sale and carried at fair value, with changes in fair value reported in other comprehensive income (OCI), will be carried at fair value determined on an exit price notion and changes in fair value will be reported in net income. The new guidance also affects the assessment of deferred tax assets related to available-for-sale securities, the accounting for liabilities for which the fair value option is elected and the disclosures of financial assets and financial liabilities in the notes to the financial statements. This guidance, which becomes effective January 1, 2018, is not expected to have a material impact on our consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue – Revenue from Contracts with Customers, guidance that requires companies to recognize revenue in a manner that depicts the transfer of promised goods or services to customers in amounts that reflect the consideration a company expects to be entitled to in exchange for those goods or services. The new guidance will also require new disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. This guidance will be effective January 1, 2018 for Dana. The guidance allows for either a full retrospective or a modified retrospective transition method. We are in the process of assessing our customer contracts, identifying contractual provisions that may result in a change in the timing or the amount of revenue recognized in comparison with current guidance, as well as assessing the enhanced disclosure requirements of the new guidance. Under current guidance we generally recognize revenue when products are shipped and risk of loss has transferred to the customer. Under the proposed requirements, the customized nature of some of our products and contractual provisions in many of our customer contracts that provide us with an enforceable right to payment, may require us to recognize revenue prior to the product being shipped to the customer. We are also assessing pricing provisions contained in certain of our customer contracts. Pricing provisions contained in some of our customer contracts represent variable consideration or may provide the customer with a material right, potentially resulting in a different allocation of the transaction price than under current guidance. In addition, we are evaluating how the new guidance may impact our accounting for customer tooling, engineering and design services and pre-production costs. We continue to evaluate the impact this guidance will have on our financial statements. |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The purchase consideration and the related allocation to the acquisition date fair values of the assets acquired are presented in the following table: Purchase price, cash consideration $ 60 Purchase price, deferred consideration 9 Total purchase consideration $ 69 Accounts receivable - Trade $ 1 Accounts receivable - Other 1 Inventories 10 Goodwill 6 Intangibles 3 Property, plant and equipment 59 Accounts payable (2 ) Accrued payroll and employee benefits (9 ) Total purchase consideration allocation $ 69 The purchase consideration and the preliminary allocation to the acquisition date fair values of the assets acquired are presented in the following table: Total purchase consideration $ 78 Accounts receivable - Trade 17 Inventories 9 Other current assets 4 Goodwill 4 Intangibles 33 Property, plant and equipment 50 Accounts payable (35 ) Accrued payroll and employee benefits (3 ) Other accrued liabilities (1 ) Total purchase consideration allocation $ 78 The purchase price is subject to adjustment upon determination of the net indebtedness and net working capital levels of BFP and BPT as of the closing date. The terms of the agreement provide Dana the right to call half of Brevini’s noncontrolling interests in BFP and BPT, and Brevini the right to put half of its noncontrolling interests in BFP and BPT to Dana, assuming Dana does not exercise its call right, after the 2017 BFP and BPT financial statements have been approved by the board of directors. Further, Dana has the right to call Brevini’s remaining noncontrolling interests in BFP and BPT, and Brevini the right to put its remaining noncontrolling interests in BFP and BPT to Dana, assuming Dana does not exercise its call right, after the 2019 BFP and BPT financial statements have been approved by the board of directors. The call and put prices are based on the amount Dana paid to acquire its initial 80% interest in BFP and BPT subject to adjustment based on the actual EBITDA and free cash flows, as defined in the agreement, of BFP and BPT. Total purchase consideration $ 181 Cash and cash equivalents $ 75 Accounts receivable - Trade 74 Accounts receivable - Other 10 Inventories 137 Other current assets 6 Goodwill 39 Intangibles 41 Deferred tax assets 1 Other noncurrent assets 4 Property, plant and equipment 146 Notes payable, including current portion of long-term debt (131 ) Accounts payable (51 ) Accrued payroll and employee benefits (14 ) Other accrued liabilities (19 ) Long-term debt (51 ) Pension and postretirement obligations (12 ) Other noncurrent liabilities (15 ) Redeemable noncontrolling interest (45 ) Noncontrolling interests (14 ) Total purchase consideration allocation $ 181 |
Goodwill and Other Intangible28
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in the Carrying Amount of Goodwill by Segment [Table Text Block] | Changes in the carrying amount of goodwill by segment — Light Vehicle Commercial Vehicle Off-Highway Power Technologies Total Balance, December 31, 2016 $ — $ 6 $ 78 $ 6 $ 90 Acquisitions 4 39 43 Currency impact 1 1 Balance, March 31, 2017 $ 4 $ 7 $ 117 $ 6 $ 134 |
Components of Other (Finite-Lived) Intangible Assets [Table Text Block] | Components of other intangible assets — March 31, 2017 December 31, 2016 Weighted Average Useful Life (years) Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Amortizable intangible assets Core technology 7 $ 92 $ (84 ) $ 8 $ 88 $ (83 ) $ 5 Trademarks and trade names 15 18 (2 ) 16 6 (2 ) 4 Customer relationships 8 449 (378 ) 71 389 (374 ) 15 Non-amortizable intangible assets Trademarks and trade names 65 65 65 65 Used in research and development activities 20 20 20 20 $ 644 $ (464 ) $ 180 $ 568 $ (459 ) $ 109 |
Components of Other (Indefinite-Lived) Intangible Assets [Table Text Block] | Components of other intangible assets — March 31, 2017 December 31, 2016 Weighted Average Useful Life (years) Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Gross Carrying Amount Accumulated Impairment and Amortization Net Carrying Amount Amortizable intangible assets Core technology 7 $ 92 $ (84 ) $ 8 $ 88 $ (83 ) $ 5 Trademarks and trade names 15 18 (2 ) 16 6 (2 ) 4 Customer relationships 8 449 (378 ) 71 389 (374 ) 15 Non-amortizable intangible assets Trademarks and trade names 65 65 65 65 Used in research and development activities 20 20 20 20 $ 644 $ (464 ) $ 180 $ 568 $ (459 ) $ 109 |
Amortization Expense Related to Amortizable Intangible Assets [Table Text Block] | Amortization expense related to amortizable intangible assets — Three Months Ended 2017 2016 Charged to cost of sales $ 1 $ — Charged to amortization of intangibles 2 2 Total amortization $ 3 $ 2 |
Estimated Aggregate Pre-tax Amortization Expense Related to Intangible Assets [Table Text Block] | The following table provides the estimated aggregate pre-tax amortization expense related to intangible assets for each of the next five years based on March 31, 2017 exchange rates. Actual amounts may differ from these estimates due to such factors as currency translation, customer turnover, impairments, additional intangible asset acquisitions and other events. Remainder of 2017 2018 2019 2020 2021 Amortization expense $ 9 $ 9 $ 8 $ 7 $ 7 |
Restructuring of Operations (Ta
Restructuring of Operations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Accrued Restructuring Costs and Activity [Table Text Block] | Accrued restructuring costs and activity, including noncurrent portion — Employee Termination Benefits Exit Costs Total Balance at December 31, 2016 $ 32 $ 6 $ 38 Charges to restructuring — 2 2 Cash payments (12 ) (2 ) (14 ) Balance at March 31, 2017 $ 20 $ 6 $ 26 |
Cost to Complete [Table Text Block] | Cost to complete — The following table provides project-to-date and estimated future restructuring expenses for completion of our approved restructuring initiatives for our business segments at March 31, 2017. Expense Recognized Future Cost to Complete Prior to 2017 2017 Total to Date Light Vehicle $ 10 $ 1 $ 11 $ 1 Commercial Vehicle 41 1 42 14 Off-Highway 6 6 Total $ 57 $ 2 $ 59 $ 15 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Changes in Equity [Table Text Block] | Changes in equity — 2017 2016 Three Months Ended March 31, Attributable to Parent Attributable Total Equity Attributable to Parent Attributable Total Equity Balance, December 31 $ 1,157 $ 85 $ 1,242 $ 728 $ 103 $ 831 Adoption of ASU 2016-16 tax adjustment, January 1, 2017 (179 ) (179 ) — Net income 75 5 80 45 3 48 Other comprehensive income 30 2 32 41 1 42 Common stock dividends (9 ) (9 ) (9 ) (9 ) Distributions to noncontrolling interests (1 ) (1 ) (1 ) (1 ) Common stock share repurchases — (28 ) (28 ) Increase from business combination 14 14 — Stock compensation 7 7 2 2 Stock withheld for employee taxes (3 ) (3 ) (1 ) (1 ) Balance, March 31 $ 1,078 $ 105 $ 1,183 $ 778 $ 106 $ 884 |
Changes in Each Component of Accumulated Other Comprehensive Income of the Parent [Table Text Block] | Changes in each component of accumulated other comprehensive income (AOCI) of the parent — Parent Company Stockholders Foreign Currency Translation Hedging Investments Defined Benefit Plans Total Balance, December 31, 2016 $ (646 ) $ (34 ) $ — $ (604 ) $ (1,284 ) Other comprehensive income (loss): Currency translation adjustments 34 34 Holding loss on net investment hedge (5 ) (5 ) Holding gains and losses (12 ) (12 ) Reclassification of amount to net income (a) 6 6 Reclassification adjustment for net actuarial losses included in net periodic benefit cost (b) 8 8 Tax (expense) benefit 2 (3 ) (1 ) Other comprehensive income (loss) 29 (4 ) — 5 30 Balance, March 31, 2017 $ (617 ) $ (38 ) $ — $ (599 ) $ (1,254 ) Balance, December 31, 2015 $ (608 ) $ (4 ) $ 2 $ (564 ) $ (1,174 ) Other comprehensive income (loss): Currency translation adjustments 29 29 Holding gains and losses 1 2 3 Reclassification of amount to net income (a) 2 2 Reclassification adjustment for net actuarial losses included in net periodic benefit cost (b) 7 7 Other comprehensive income 29 3 2 7 41 Balance, March 31, 2016 $ (579 ) $ (1 ) $ 4 $ (557 ) $ (1,133 ) (a) Foreign currency contract and investment reclassifications are included in Other expense, net. (b) See Note 10 for additional details. |
Redeemable Noncontrolling Int31
Redeemable Noncontrolling Interest (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Temporary Equity Disclosure [Abstract] | |
Redeemable Noncontrolling Interest [Table Text Block] | Reconciliation of changes in redeemable noncontrolling interest — Three months ended March 31, 2017 Balance, December 31 $ — Initial fair value of redeemable noncontrolling interest of acquired business 45 Comprehensive income (loss) adjustments: Other comprehensive income (loss) attributable to redeemable noncontrolling interest (1 ) Retained earnings adjustments: Adjustments to redemption value — Balance, March 31 $ 44 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Reconciliation of Numerators and Denominators of Earnings Per Share Calculations [Table Text Block] | Reconciliation of the numerators and denominators of the earnings per share calculations — Three Months Ended 2017 2016 Net income attributable to the parent company - Numerator basic $ 75 $ 45 Less: Redeemable noncontrolling interest adjustment to redemption value — Net income available to common stockholders - Numerator diluted $ 75 $ 45 Denominator: Weighted-average shares outstanding - Basic 144.6 149.4 Employee compensation-related shares, including stock options 1.3 0.5 Weighted-average shares outstanding - Diluted 145.9 149.9 |
Stock Compensation (Tables)
Stock Compensation (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Granted Awards Activity [Table Text Block] | The Compensation Committee of our Board of Directors approved the grant of RSUs and performance share units (PSUs) shown in the table below during 2017. Granted (In millions) Grant Date Fair Value* RSUs 0.7 $ 19.51 PSUs 0.3 $ 18.63 * Weighted-average per share |
Pension and Postretirement Be34
Pension and Postretirement Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Components of Net Periodic Benefit Cost (Credit) [Table Text Block] | Components of net periodic benefit cost (credit) — Pension 2017 2016 OPEB - Non-U.S. Three Months Ended March 31, U.S. Non-U.S. U.S. Non-U.S. 2017 2016 Interest cost $ 13 $ 2 $ 13 $ 2 $ 1 $ 1 Expected return on plan assets (21 ) (1 ) (23 ) (1 ) Service cost 1 1 Amortization of net actuarial loss 6 2 5 2 Net periodic benefit cost (credit) $ (2 ) $ 4 $ (5 ) $ 4 $ 1 $ 1 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Marketable Securities [Table Text Block] | March 31, 2017 December 31, 2016 Cost Unrealized Fair Cost Unrealized Fair U.S. government securities $ 2 $ — $ 2 $ 2 $ — $ 2 Corporate securities 3 3 2 2 Certificates of deposit 22 22 22 22 Other 4 4 4 4 Total marketable securities $ 31 $ — $ 31 $ 30 $ — $ 30 |
Financing Agreements (Tables)
Financing Agreements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Long-term Debt [Table Text Block] | Long-term debt at — March 31, 2017 December 31, 2016 Interest Principal Unamortized Debt Issue Costs Principal Unamortized Debt Issue Costs Senior Notes due September 15, 2021 5.375% $ 450 $ (5 ) $ 450 $ (5 ) Senior Notes due September 15, 2023 6.000% 300 (4 ) 300 (4 ) Senior Notes due December 15, 2024 5.500% 425 (5 ) 425 (6 ) Senior Notes due June 1, 2026 6.500% * 375 (6 ) 375 (6 ) Other indebtedness 202 120 Total $ 1,752 $ (20 ) $ 1,670 $ (21 ) * In conjunction with the issuance of the June 2026 Notes we entered into two 10-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the June 2026 Notes to euro-denominated debt at a fixed rate of 5.140% . See Note 13 for additional information. |
Debt Instrument Redemption [Table Text Block] | We may redeem some or all of the April 2025 Notes at the following redemption prices (expressed as percentages of principal amount), plus accrued and unpaid interest to the redemption date, if redeemed during the 12-month period commencing on April 15 in the years set forth below: Year Redemption Price 2020 104.313% 2021 102.875% 2022 101.438% 2023 100.000% 2024 100.000% |
Schedule of Revolving Facility Arrangements [Table Text Block] | Advances under the Revolving Facility bear interest at a floating rate based on, at our option, the base rate or Eurodollar rate (each as described in the revolving credit agreement) plus a margin as set forth below: Margin Total Net Leverage Ratio Base Rate Eurodollar Rate Less than or equal to 1.00:1.00 0.50 % 1.50 % Greater than 1.00:1.00 but less than or equal to 2.00:1.00 0.75 % 1.75 % Greater than 2.00:1.00 1.00 % 2.00 % Commitment fees are applied based on the average daily unused portion of the available amounts under the Revolving Facility as set forth below: Total Net Leverage Ratio Commitment Fee Less than or equal to 1.00:1.00 0.250 % Greater than 1.00:1.00 but less than or equal to 2.00:1.00 0.375 % Greater than 2.00:1.00 0.500 % |
Fair Value Measurements and D37
Fair Value Measurements and Derivatives (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis [Table Text Block] | Fair value measurements on a recurring basis — Assets and liabilities that are carried in our balance sheet at fair value are as follows: Fair Value Category Balance Sheet Location Fair Value Level March 31, December 31, Available-for-sale securities Marketable securities 1 $ 4 $ 4 Available-for-sale securities Marketable securities 2 27 26 Currency forward contracts Cash flow hedges Accounts receivable other 2 3 2 Cash flow hedges Other accrued liabilities 2 — 4 Undesignated Accounts receivable other 2 2 1 Undesignated Other accrued liabilities 2 1 1 Currency swaps Cash flow hedges Other noncurrent liabilities 2 29 12 Undesignated Other accrued liabilities 2 2 3 |
Carrying Amounts and Fair Values of Financial Instruments [Table Text Block] | Fair value of financial instruments — The financial instruments that are not carried in our balance sheet at fair value are as follows: March 31, 2017 December 31, 2016 Carrying Value Fair Value Carrying Value Fair Value Senior notes $ 1,550 $ 1,608 $ 1,550 $ 1,612 Other indebtedness* 202 185 120 101 Total $ 1,752 $ 1,793 $ 1,670 $ 1,713 * The carrying value includes the unamortized portion of a fair value adjustment related to a terminated interest rate swap at both dates. The carrying value and fair value also include a financial liability associated with a build-to-suit lease arrangement at both dates. |
Summary of Fixed-to-Fixed Cross-Currency Swaps [Table Text Block] | Summary of Fixed-to-Fixed Cross-Currency Swaps — Underlying Financial Instrument Derivative Financial Instrument Description Type Face Amount Rate Designated Notional Amount Traded Amount Inflow Rate Outflow Rate Outstanding at March 31, 2017 June 2026 Notes Payable $ 375 6.50 % $ 375 € 338 6.50 % 5.14 % Brazilian Notes Payable $ 15 3.80 % $ 15 R$ 47 3.80 % 13.58 % Luxembourg Intercompany Notes Receivable € 281 3.91 % € 281 $ 300 6.00 % 3.91 % Issued during April 2017 April 2025 Notes Payable $ 400 5.75 % $ 400 € 371 5.75 % 3.85 % |
Notional Amount of Currency Derivatives [Table Text Block] | The following currency derivatives were outstanding at March 31, 2017 : Notional Amount (U.S. Dollar Equivalent) Functional Currency Traded Currency Designated as Undesignated Total Maturity U.S. dollar Mexican peso, euro $ 91 $ — $ 91 Jun-18 Euro U.S. dollar, Canadian dollar, Hungarian forint, British pound, Swiss franc, Indian rupee, Russian ruble 26 4 30 Jun-18 British pound U.S. dollar, Euro 3 3 May-18 Swedish krona Euro 19 19 May-18 South African rand U.S. dollar, Euro, Thai baht 9 9 Sep-17 Thai baht U.S. dollar, Australian dollar 4 4 Jun-17 Canadian dollar U.S. dollar 15 15 Jun-18 Brazilian real Euro 2 2 Mar-18 Indian rupee U.S. dollar, British pound, Euro 27 27 Jun-18 Total forward contracts 139 61 200 U.S. dollar Euro, Canadian dollar 300 20 320 Sep-23 Euro U.S. dollar, British pound 775 18 793 Jun-26 Brazilian real U.S. dollar 15 15 Feb-18 South African rand U.S. dollar 1 1 Sep-17 Total currency swaps 1,090 39 1,129 Total currency derivatives $ 1,229 $ 100 $ 1,329 |
Warranty Obligations (Tables)
Warranty Obligations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Product Warranties Disclosures [Abstract] | |
Changes in Warranty Liabilities [Table Text Block] | Changes in warranty liabilities — Three Months Ended 2017 2016 Balance, beginning of period $ 66 $ 56 Acquisitions 8 Amounts accrued for current period sales 7 7 Adjustments of prior estimates 3 5 Settlements of warranty claims (12 ) (10 ) Currency impact 1 1 Balance, end of period $ 73 $ 59 |
Other Expense, Net (Tables)
Other Expense, Net (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Income and Other Expenses, Net [Table Text Block] | Three Months Ended 2017 2016 Government grants and incentives $ 2 $ 1 Foreign exchange loss (2 ) (2 ) Strategic transaction expenses (11 ) (2 ) Insurance and other recoveries 1 Other, net 2 Other expense, net $ (9 ) $ (2 ) |
Segments (Tables)
Segments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information [Table Text Block] | Segment information — 2017 2016 Three Months Ended March 31, External Sales Inter-Segment Sales Segment EBITDA External Sales Inter-Segment Sales Segment EBITDA Light Vehicle $ 761 $ 29 $ 89 $ 613 $ 32 $ 58 Commercial Vehicle 329 23 28 333 22 26 Off-Highway 328 8 45 241 9 32 Power Technologies 283 4 50 262 3 35 Eliminations and other (64 ) (66 ) Total $ 1,701 $ — $ 212 $ 1,449 $ — $ 151 |
Reconciliation of Segment EBITDA to Consolidated Net Income [Table Text Block] | Reconciliation of segment EBITDA to consolidated net income — Three Months Ended 2017 2016 Segment EBITDA $ 212 $ 151 Corporate expense and other items, net (7 ) (3 ) Depreciation (49 ) (41 ) Amortization of intangibles (3 ) (2 ) Restructuring (2 ) (1 ) Stock compensation expense (4 ) (2 ) Strategic transaction expenses (11 ) (2 ) Acquisition related inventory adjustments (6 ) Other items (1 ) (4 ) Distressed supplier costs (1 ) Amounts attributable to previously divested/closed operations 1 Interest expense (27 ) (27 ) Interest income 3 3 Income before income taxes 105 72 Income tax expense 30 24 Equity in earnings of affiliates 5 Net income $ 80 $ 48 |
Equity Affiliates (Tables)
Equity Affiliates (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
All Affiliate Investments [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investments [Table Text Block] | Equity method investments exceeding $5 at March 31, 2017 — Ownership Percentage Investment Dongfeng Dana Axle Co., Ltd. (DDAC) 50% $ 88 Bendix Spicer Foundation Brake, LLC 20% 49 Axles India Limited 48% 8 Taiway Ltd. 14% 5 All others as a group 6 Investments in equity affiliates 156 Investments in affiliates carried at cost 2 Investments in affiliates $ 158 |
DDAC Affiliate [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity Method Investments [Table Text Block] | Summarized financial information for DDAC — Three Months Ended 2017 2016 Sales $ 190 $ 120 Gross profit $ 24 $ 10 Income (loss) before income taxes $ 8 $ (3 ) Net income (loss) $ 7 $ (2 ) Dana's equity in earnings (loss) of affiliate $ 3 $ (2 ) |
Organization and Summary of S42
Organization and Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Jan. 01, 2017 | Dec. 31, 2016 |
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Impact to Other current assets | $ 98 | $ 78 | |
Impact to Other noncurrent assets | $ 60 | $ 226 | |
Impact to Retained earnings | $ (179) | ||
New Accounting Pronouncement, Early Adoption, Effect [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Impact to Other current assets | (10) | ||
Impact to Other noncurrent assets | (169) | ||
Impact to Retained earnings | $ (179) |
Acquisitions - Additional Info
Acquisitions - Additional Information (Details) - USD ($) $ in Millions | Mar. 01, 2017 | Feb. 01, 2017 | Dec. 23, 2016 | Jan. 29, 2016 | Mar. 31, 2017 | Mar. 31, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Feb. 28, 2017 |
Business Acquisition [Line Items] | ||||||||||
Receivable | $ 129 | $ 129 | $ 129 | $ 110 | ||||||
Strategic Transaction Expenses | 11 | $ 2 | ||||||||
Net sales | 1,701 | 1,449 | ||||||||
Purchase price, cash consideration | 184 | 18 | ||||||||
Net income (loss) | 80 | 48 | ||||||||
Contingency period | 2 years | |||||||||
Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | 449 | 449 | 449 | 389 | ||||||
Core Technology [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | 92 | 92 | 92 | 88 | ||||||
Trademarks and Trade Names [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | 18 | 18 | 18 | 6 | ||||||
Light Vehicle Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Net sales | 761 | 613 | ||||||||
Off-Highway Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Net sales | 328 | $ 241 | ||||||||
USM - Warren [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Closing payment, including settlement of trade payables | $ 104 | |||||||||
Trade payables | $ 25 | |||||||||
Receivable | 1 | 1 | 1 | |||||||
Strategic Transaction Expenses | 1 | |||||||||
USM - Warren [Member] | Minimum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 1 year | |||||||||
USM - Warren [Member] | Maximum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 12 years | |||||||||
USM - Warren [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 30 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 11 years | |||||||||
USM - Warren [Member] | Core Technology [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 3 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 18 years | |||||||||
USM - Warren [Member] | Light Vehicle Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Net sales | $ 11 | |||||||||
BFP and BPT [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Strategic Transaction Expenses | $ 6 | |||||||||
Percent of ownership interest acquired | 80.00% | |||||||||
Purchase price, cash consideration | $ 181 | |||||||||
BFP and BPT [Member] | Minimum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 3 years | |||||||||
BFP and BPT [Member] | Maximum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 30 years | |||||||||
BFP and BPT [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 29 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 17 years | |||||||||
BFP and BPT [Member] | Trademarks and Trade Names [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 12 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 17 years | |||||||||
BFP and BPT [Member] | Off-Highway Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Net sales | 69 | |||||||||
Net income (loss) | $ (2) | |||||||||
SIFCO SJT [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Strategic Transaction Expenses | $ 5 | |||||||||
Purchase price, cash consideration | $ 60 | |||||||||
SIFCO SJT [Member] | Minimum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 3 years | |||||||||
SIFCO SJT [Member] | Maximum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Fixed asset, useful life | 10 years | |||||||||
SIFCO SJT [Member] | Core Technology [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 2 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 7 years | |||||||||
SIFCO SJT [Member] | Trademarks and Trade Names [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Finite-Lived Intangible Assets, Gross | $ 1 | |||||||||
Acquired finite-lived intangible assets, weighted average useful life | 5 years | |||||||||
Magnum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Purchase price, cash consideration | $ 18 | |||||||||
Additional cash contingent consideration | 2 | |||||||||
Fair value of contingent consideration | $ 1 |
Acquisitions - Purchase Price
Acquisitions - Purchase Price Allocation (Details) - USD ($) $ in Millions | Mar. 01, 2017 | Feb. 01, 2017 | Dec. 23, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||||
Purchase price, cash consideration | $ 184 | $ 18 | ||||
Business Combination, Goodwill | $ 134 | $ 90 | ||||
USM - Warren [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | $ 78 | |||||
Business Combination, Accounts receivable - Trade | 17 | |||||
Business Combination, Inventories | 9 | |||||
Business Combination, Other current assets | 4 | |||||
Business Combination, Goodwill | 4 | |||||
Business Combination, Intangibles | 33 | |||||
Business Combination, Property, plant and equipment | 50 | |||||
Business Combination, Accounts payable | (35) | |||||
Business Combination, Accrued payroll and employee benefits | (3) | |||||
Business Combination, Other accrued liabilities | (1) | |||||
Business Combination, Total purchase consideration allocation | $ 78 | |||||
BFP and BPT [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Purchase price, cash consideration | $ 181 | |||||
Total purchase consideration | 181 | |||||
Business Combination, Cash and cash equivalents | 75 | |||||
Business Combination, Accounts receivable - Trade | 74 | |||||
Business Combination, Accounts receivable - Other | 10 | |||||
Business Combination, Inventories | 137 | |||||
Business Combination, Other current assets | 6 | |||||
Business Combination, Goodwill | 39 | |||||
Business Combination, Intangibles | 41 | |||||
Business Combination, Deferred tax assets | 1 | |||||
Business Combination, Other noncurrent assets | 4 | |||||
Business Combination, Property, plant and equipment | 146 | |||||
Business Combination, Notes payable, including current portion of long-term debt | (131) | |||||
Business Combination, Accounts payable | (51) | |||||
Business Combination, Accrued payroll and employee benefits | (14) | |||||
Business Combination, Other accrued liabilities | (19) | |||||
Business Combination, Long-term debt | (51) | |||||
Business Combination, Pension and postretirement obligations | (12) | |||||
Business Combination, Other noncurrent liabilities | (15) | |||||
Business Combination, Redeemable noncontrolling interest | (45) | |||||
Business Combination, Noncontrolling interests | (14) | |||||
Business Combination, Total purchase consideration allocation | $ 181 | |||||
SIFCO SJT [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Purchase price, cash consideration | $ 60 | |||||
Purchase price, deferred consideration | 9 | |||||
Total purchase consideration | 69 | |||||
Business Combination, Accounts receivable - Trade | 1 | |||||
Business Combination, Accounts receivable - Other | 1 | |||||
Business Combination, Inventories | 10 | |||||
Business Combination, Goodwill | 6 | |||||
Business Combination, Intangibles | 3 | |||||
Business Combination, Property, plant and equipment | 59 | |||||
Business Combination, Accounts payable | (2) | |||||
Business Combination, Accrued payroll and employee benefits | (9) | |||||
Business Combination, Total purchase consideration allocation | $ 69 |
Disposal Groups - Additional I
Disposal Groups - Additional Information (Details) - USD ($) | Dec. 30, 2016 | Nov. 30, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Nov. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 |
Other income (expense) | $ (9,000,000) | $ (2,000,000) | |||||
Obligation for current or future asbestos claims | $ 0 | ||||||
Net sales | $ 1,701,000,000 | $ 1,449,000,000 | |||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Dana Companies LLC [Member] | |||||||
Net assets | $ 165,000,000 | ||||||
Consideration | 88,000,000 | ||||||
Proceeds from divestiture of business | 29,000,000 | ||||||
Pre-tax loss on divestiture of subsidiary | $ 77,000,000 | ||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Nippon Reinz Co Ltd [Member] | |||||||
Proceeds from divestiture of business | $ 5,000,000 | ||||||
Pre-tax loss on divestiture of subsidiary | $ 3,000,000 | ||||||
Noncontrolling Interest, Ownership Percentage by Parent | 53.70% | 53.70% | |||||
Gain on derecognition of noncontrolling interest | $ 12,000,000 | ||||||
Net sales | $ 42,000,000 | ||||||
Scenario, Forecast [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Dana Companies LLC [Member] | |||||||
Consideration | $ 3,000,000 | ||||||
Other income (expense) | $ 3,000,000 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Feb. 01, 2017 | Dec. 31, 2016 |
Net carrying amounts of intangible assets, other than goodwill | $ 180 | $ 109 | |
Light Vehicle Segment [Member] | |||
Net carrying amounts of intangible assets, other than goodwill | 55 | ||
Commercial Vehicle Segment [Member] | |||
Net carrying amounts of intangible assets, other than goodwill | 36 | ||
Off-Highway Segment [Member] | |||
Net carrying amounts of intangible assets, other than goodwill | 76 | ||
Power Technologies Segment [Member] | |||
Net carrying amounts of intangible assets, other than goodwill | $ 13 | ||
BFP and BPT [Member] | |||
Percent of ownership interest acquired | 80.00% |
Goodwill and Other Intangible47
Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill by Segment (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 90 |
Acquisitions | 43 |
Currency impact | 1 |
Ending balance | 134 |
Light Vehicle Segment [Member] | |
Goodwill [Roll Forward] | |
Beginning balance | 0 |
Acquisitions | 4 |
Currency impact | |
Ending balance | 4 |
Commercial Vehicle Segment [Member] | |
Goodwill [Roll Forward] | |
Beginning balance | 6 |
Acquisitions | |
Currency impact | 1 |
Ending balance | 7 |
Off-Highway Segment [Member] | |
Goodwill [Roll Forward] | |
Beginning balance | 78 |
Acquisitions | 39 |
Currency impact | |
Ending balance | 117 |
Power Technologies Segment [Member] | |
Goodwill [Roll Forward] | |
Beginning balance | 6 |
Acquisitions | |
Currency impact | |
Ending balance | $ 6 |
Goodwill and Other Intangible48
Goodwill and Other Intangible Assets - Components of Other Intangible Assets (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Accumulated Impairment and Amortization | $ (464) | $ (459) |
Intangible Assets, Gross (Excluding Goodwill) | 644 | 568 |
Intangible Assets, Net (Excluding Goodwill) | 180 | 109 |
Trademarks and Trade Names [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | 65 | 65 |
Used In Research And Development [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 20 | 20 |
Core Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, useful life | 7 years | |
Finite-Lived Intangible Assets, Gross | $ 92 | 88 |
Finite-Lived Intangible Assets, Accumulated Impairment and Amortization | (84) | (83) |
Finite-Lived Intangible Assets, Net Carrying Amount | $ 8 | 5 |
Trademarks and Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, useful life | 15 years | |
Finite-Lived Intangible Assets, Gross | $ 18 | 6 |
Finite-Lived Intangible Assets, Accumulated Impairment and Amortization | (2) | (2) |
Finite-Lived Intangible Assets, Net Carrying Amount | $ 16 | 4 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, useful life | 8 years | |
Finite-Lived Intangible Assets, Gross | $ 449 | 389 |
Finite-Lived Intangible Assets, Accumulated Impairment and Amortization | (378) | (374) |
Finite-Lived Intangible Assets, Net Carrying Amount | $ 71 | $ 15 |
Goodwill and Other Intangible49
Goodwill and Other Intangible Assets - Amortization Expense Related to Amortizable Intangible Assets (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Charged to cost of sales | $ 1 | $ 0 |
Charged to amortization of intangibles | 2 | 2 |
Total amortization | $ 3 | $ 2 |
Goodwill and Other Intangible50
Goodwill and Other Intangible Assets - Estimated Aggregate Pre-Tax Amortization Expense Related to Intangible Assets (Details) $ in Millions | Mar. 31, 2017USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Amortization expense remainder of 2017 | $ 9 |
Amortization expense 2018 | 9 |
Amortization expense 2019 | 8 |
Amortization expense 2020 | 7 |
Amortization expense 2021 | $ 7 |
Restructuring of Operations -
Restructuring of Operations - Additional Information (Details) $ in Millions | Mar. 31, 2017employee | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) |
Restructuring and Related Activities [Abstract] | |||
Restructuring expense | $ | $ 2 | $ 1 | |
Estimated reduction of employees | employee | 400 |
Restructuring of Operations 52
Restructuring of Operations - Accrued Restructuring Costs and Activity (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Restructuring Reserve [Roll Forward] | |
Beginning balance | $ 38 |
Charges to restructuring | 2 |
Cash payments | (14) |
Ending Balance | 26 |
Employee Termination Benefits [Member] | |
Restructuring Reserve [Roll Forward] | |
Beginning balance | 32 |
Charges to restructuring | 0 |
Cash payments | (12) |
Ending Balance | 20 |
Exit Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Beginning balance | 6 |
Charges to restructuring | 2 |
Cash payments | (2) |
Ending Balance | $ 6 |
Restructuring of Operations 53
Restructuring of Operations - Cost to Complete (Details) - USD ($) $ in Millions | 3 Months Ended | 78 Months Ended | 81 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs incurred | $ 2 | $ 57 | $ 59 |
Future Cost to Complete | 15 | 15 | |
Light Vehicle Segment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs incurred | 1 | 10 | 11 |
Future Cost to Complete | 1 | 1 | |
Commercial Vehicle Segment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs incurred | 1 | 41 | 42 |
Future Cost to Complete | 14 | 14 | |
Off-Highway Segment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs incurred | $ 6 | 6 | |
Future Cost to Complete |
Stockholders' Equity - Additio
Stockholders' Equity - Additional Information (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Jan. 11, 2016 | |
Equity [Abstract] | |||
Cash dividends declared per share | $ 0.06 | $ 0.06 | |
Stock Repurchase Program, Authorized Amount | $ 1,700,000,000 | ||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 219,000,000 |
Stockholders' Equity - Changes
Stockholders' Equity - Changes in Equity (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Jan. 01, 2017 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning Balance | $ 1,242 | $ 831 | |
Adoption of ASU 2016-16 tax adjustment, January 1, 2017 | $ (179) | ||
Net income attributable to the parent | 75 | 45 | |
Net income attributable to noncontrolling interest | 5 | 3 | |
Net income, including portion attributable to noncontrolling interests | 80 | 48 | |
Other comprehensive income | 31 | 42 | |
Other Comprehensive Income Loss Net Of Tax Including Portion Attributable To Nonredeemable Noncontrolling Interest | 32 | 42 | |
Common stock dividends | (9) | (9) | |
Distributions to noncontrolling interests | (1) | (1) | |
Common stock share repurchases | 0 | (28) | |
Increase from business combination | 14 | 0 | |
Stock compensation | 7 | 2 | |
Stock withheld for employee taxes | (3) | (1) | |
Ending Balance | 1,183 | 884 | |
Attributable to Parent [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning Balance | 1,157 | 728 | |
Adoption of ASU 2016-16 tax adjustment, January 1, 2017 | (179) | ||
Other comprehensive income | 30 | 41 | |
Common stock dividends | (9) | (9) | |
Common stock share repurchases | (28) | ||
Stock compensation | 7 | 2 | |
Stock withheld for employee taxes | (3) | (1) | |
Ending Balance | 1,078 | 778 | |
Attributable to Non-Controlling Interests [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning Balance | 85 | 103 | |
Other comprehensive income | 2 | 1 | |
Distributions to noncontrolling interests | (1) | (1) | |
Increase from business combination | 14 | ||
Ending Balance | $ 105 | $ 106 | |
New Accounting Pronouncement, Early Adoption, Effect [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Adoption of ASU 2016-16 tax adjustment, January 1, 2017 | $ (179) |
Stockholders' Equity - Chang56
Stockholders' Equity - Changes in Each Component of AOCI of the Parent (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | $ (1,284) | ||
Other comprehensive income (loss): | |||
Holding loss on net investment hedge | (5) | ||
Balance | (1,254) | ||
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (646) | $ (608) | |
Other comprehensive income (loss): | |||
Currency translation adjustments | 34 | 29 | |
Holding loss on net investment hedge | (5) | ||
Tax (expense) benefit | |||
Other comprehensive income (loss) | 29 | 29 | |
Balance | (617) | (579) | |
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (34) | (4) | |
Other comprehensive income (loss): | |||
Holding gains and losses | (12) | 1 | |
Reclassification of amount to net income | [1] | 6 | 2 |
Tax (expense) benefit | 2 | ||
Other comprehensive income (loss) | (4) | 3 | |
Balance | (38) | (1) | |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | 0 | 2 | |
Other comprehensive income (loss): | |||
Holding gains and losses | 2 | ||
Reclassification of amount to net income | [1] | ||
Tax (expense) benefit | |||
Other comprehensive income (loss) | 0 | 2 | |
Balance | 0 | 4 | |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (604) | (564) | |
Other comprehensive income (loss): | |||
Reclassification adjustment for net actuarial losses included in net periodic benefit cost | [2] | 8 | 7 |
Tax (expense) benefit | (3) | ||
Other comprehensive income (loss) | 5 | 7 | |
Balance | (599) | (557) | |
AOCI Attributable to Parent [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (1,284) | (1,174) | |
Other comprehensive income (loss): | |||
Currency translation adjustments | 34 | 29 | |
Holding loss on net investment hedge | (5) | ||
Holding gains and losses | (12) | 3 | |
Reclassification of amount to net income | [1] | 6 | 2 |
Reclassification adjustment for net actuarial losses included in net periodic benefit cost | [2] | 8 | 7 |
Tax (expense) benefit | (1) | ||
Other comprehensive income (loss) | 30 | 41 | |
Balance | $ (1,254) | $ (1,133) | |
[1] | Foreign currency contract and investment reclassifications are included in Other expense, net. | ||
[2] | See Note 10 for additional details. |
Redeemable Noncontrolling Int57
Redeemable Noncontrolling Interest - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Temporary Equity Disclosure [Abstract] | |
Acquisition of noncontrolling interest | $ 45,000,000 |
Ownership percentage by noncontrolling owners | 20.00% |
Adjustment to redemption value | $ 0 |
Redeemable Noncontrolling Int58
Redeemable Noncontrolling Interest - Reconciliation of Changes in Redeemable Noncontrolling Interest (Details) | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Increase (Decrease) in Temporary Equity [Roll Forward] | |
Balance, beginning of period | $ 0 |
Initial fair value of redeemable noncontrolling interest of acquired business | 45,000,000 |
Other comprehensive income (loss) attributable to redeemable noncontrolling interest | (1,000,000) |
Adjustment to redemption value | 0 |
Balance, end of period | $ 44,000,000 |
Earnings Per Share - Reconcili
Earnings Per Share - Reconciliation of the Numerators and Denominators of the Earnings Per Share Calculations (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share [Abstract] | ||
Net income attributable to the parent company - Numerator basic | $ 75 | $ 45 |
Less: Redeemable noncontrolling interest adjustment to redemption value | 0 | |
Net income available to common stockholders - Numerator diluted | $ 75 | $ 45 |
Weighted-average shares outstanding - Basic | 144.6 | 149.4 |
Employee compensation-related shares, including stock options | 1.3 | 0.5 |
Weighted-average shares outstanding - Diluted | 145.9 | 149.9 |
Earnings Per Share - Additiona
Earnings Per Share - Additional Information (Details) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Common Stock Equivalents [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Shares excluded from the calculations of earnings per share as the effect of including them would have been anti-dilutive | 0.5 | 1.9 |
Stock Compensation - Granted A
Stock Compensation - Granted Awards Activity (Details) shares in Millions | 3 Months Ended |
Mar. 31, 2017$ / sharesshares | |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options - Granted | shares | 0.7 |
Other than options - Weighted Average Per Share Grant Date Fair Value | $ / shares | $ 19.51 |
Performance Share Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options - Granted | shares | 0.3 |
Other than options - Weighted Average Per Share Grant Date Fair Value | $ / shares | $ 18.63 |
Stock Compensation - Additiona
Stock Compensation - Additional Information (Details) - USD ($) shares in Millions, $ in Millions | Mar. 31, 2017 | Mar. 31, 2017 | Mar. 31, 2016 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Cash received from exercise of stock options | $ 4 | ||
Options exercised in the period | 0.3 | ||
Cash paid to settle RSUs | $ 1 | ||
Stock compensation expense | 4 | $ 2 | |
Total unrecognized compensation cost related to nonvested awards granted and expected to vest | $ 36 | $ 36 | |
Weighted-average period in which the total unrecognized compensation cost is expected to be recognized | 2 years 2 months 12 days | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued in period | 0.4 |
Pension and Postretirement Be63
Pension and Postretirement Benefit Plans - Components of Net Periodic Benefit Cost (Credit) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
United States Pension Plan of US Entity [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Interest cost | $ 13 | $ 13 |
Expected return on plan assets | (21) | (23) |
Service cost | ||
Amortization of net actuarial loss | 6 | 5 |
Net periodic benefit cost (credit) | (2) | (5) |
Foreign Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Interest cost | 2 | 2 |
Expected return on plan assets | (1) | (1) |
Service cost | 1 | 1 |
Amortization of net actuarial loss | 2 | 2 |
Net periodic benefit cost (credit) | 4 | 4 |
Foreign Postretirement Benefit Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Interest cost | 1 | 1 |
Expected return on plan assets | ||
Service cost | ||
Amortization of net actuarial loss | ||
Net periodic benefit cost (credit) | $ 1 | $ 1 |
Marketable Securities - Schedu
Marketable Securities - Schedule of Marketable Securities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Cost | $ 31 | $ 30 |
Unrealized Gain (Loss) | 0 | 0 |
Fair Value | 31 | 30 |
US Treasury and Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost | 2 | 2 |
Unrealized Gain (Loss) | 0 | 0 |
Fair Value | 2 | 2 |
Corporate Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost | 3 | 2 |
Unrealized Gain (Loss) | ||
Fair Value | 3 | 2 |
Certificates of Deposit [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost | 22 | 22 |
Unrealized Gain (Loss) | ||
Fair Value | 22 | 22 |
Other Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost | 4 | 4 |
Unrealized Gain (Loss) | ||
Fair Value | $ 4 | $ 4 |
Marketable Securities - Additi
Marketable Securities - Additional Information (Details) - United States Government Agencies Corporate Debt Securities And Certificates Of Deposit [Member] $ in Millions | Mar. 31, 2017USD ($) |
Schedule of Available-for-sale Securities [Line Items] | |
Marketable securities, maturing in one year or less | $ 22 |
Marketable securities, maturing after one year through five years | $ 5 |
Financing Agreements - Long-te
Financing Agreements - Long-term Debt (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||
Principal | $ 1,752 | $ 1,670 | |
Unamortized Debt Issue Costs | $ (20) | $ (21) | |
Cash Flow Hedging [Member] | |||
Debt Instrument [Line Items] | |||
Derivative, fixed interest rate | 5.14% | ||
Senior Notes Due September 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.375% | 5.375% | |
Principal | $ 450 | $ 450 | |
Unamortized Debt Issue Costs | $ (5) | $ (5) | |
Senior Notes Due September 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 6.00% | 6.00% | |
Principal | $ 300 | $ 300 | |
Unamortized Debt Issue Costs | $ (4) | $ (4) | |
Senior Notes Due December 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 5.50% | 5.50% | |
Principal | $ 425 | $ 425 | |
Unamortized Debt Issue Costs | $ (5) | $ (6) | |
Senior Notes Due June 2026 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 6.50% | [1] | 6.50% |
Principal | $ 375 | $ 375 | |
Unamortized Debt Issue Costs | $ (6) | (6) | |
Senior Notes Due June 2026 [Member] | Cash Flow Hedging [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate | 6.50% | ||
Other indebtedness [Member] | |||
Debt Instrument [Line Items] | |||
Principal | $ 202 | 120 | |
Unamortized Debt Issue Costs | |||
[1] | In conjunction with the issuance of the June 2026 Notes we entered into two 10-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the June 2026 Notes to euro-denominated debt at a fixed rate of 5.140%. See Note 13 for additional information. |
Financing Agreements - Additio
Financing Agreements - Additional Information (Details) - USD ($) | Apr. 04, 2017 | Apr. 30, 2017 | Mar. 31, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Revolving Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Write-off of deferred financing costs | $ 1,000,000 | |||||
Current aggregate facility | $ 500,000,000 | |||||
Deferred financing payments | 3,000,000 | |||||
Fronting fee rate | 0.125% | |||||
Line of credit facility, amount outstanding | $ 0 | |||||
Utilized for letters of credit | 23,000,000 | |||||
Available borrowing capacity | 477,000,000 | |||||
Maximum [Member] | Revolving Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility applied to letters of credit | $ 275,000,000 | |||||
Senior Notes Due June 2026 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 6.50% | [1] | 6.50% | |||
Senior Notes Due September 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 5.375% | 5.375% | ||||
Senior Notes Due February 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Loss on extinguishment of debt | 16,000,000 | |||||
Write-off of deferred financing costs | 4,000,000 | |||||
Redemption premium | $ 12,000,000 | |||||
Senior Notes Due February 2021 [Member] | Weighted Average [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt redemption price | 103.375% | |||||
Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes issued | $ 400,000,000 | |||||
Interest rate | 5.75% | |||||
Net proceeds of the offering | $ 394,000,000 | |||||
Financing costs | $ 6,000,000 | |||||
Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | Debt Instrument, Redemption, Period One [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt redemption price | 105.75% | |||||
Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | Debt Instrument, Redemption, Period One [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Percent of notes redeemable | 35.00% | |||||
Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | Debt Instrument, Redemption, Period One [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Percent of original principal amount that must remain outstanding after the redemption | 50.00% | |||||
Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | Debt Instrument, Redemption, Period Two [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt redemption price | 100.00% | |||||
Scenario, Forecast [Member] | Senior Notes Due September 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior notes redeemed | $ 100,000,000 | |||||
Loss on extinguishment of debt | 5,000,000 | |||||
Write-off of deferred financing costs | $ 1,000,000 | |||||
Scenario, Forecast [Member] | Senior Notes Due September 2021 [Member] | Weighted Average [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt redemption price | 104.031% | |||||
Cash Flow Hedging [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Derivative, fixed interest rate | 5.14% | |||||
Cash Flow Hedging [Member] | Senior Notes Due June 2026 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 6.50% | |||||
Cash Flow Hedging [Member] | Scenario, Forecast [Member] | Senior Notes Due April 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 5.75% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Derivative, fixed interest rate | 3.85% | |||||
[1] | In conjunction with the issuance of the June 2026 Notes we entered into two 10-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the June 2026 Notes to euro-denominated debt at a fixed rate of 5.140%. See Note 13 for additional information. |
Financing Agreements - Redempt
Financing Agreements - Redemption Price Expressed as Percentage of Principal Amount (Details) - Scenario, Forecast [Member] - Senior Notes Due April 2025 [Member] | Apr. 04, 2017 |
Debt Instrument, Redemption, Period Three [Member] | |
Debt Instrument [Line Items] | |
Debt redemption price | 104.313% |
Debt Instrument, Redemption, Period Four [Member] | |
Debt Instrument [Line Items] | |
Debt redemption price | 102.875% |
Debt Instrument, Redemption, Period Five [Member] | |
Debt Instrument [Line Items] | |
Debt redemption price | 101.438% |
Debt Instrument Redemption Period Six [Member] | |
Debt Instrument [Line Items] | |
Debt redemption price | 100.00% |
Debt Instrument Redemption Period Seven [Member] | |
Debt Instrument [Line Items] | |
Debt redemption price | 100.00% |
Financing Agreements - Schedul
Financing Agreements - Schedule of Revolving Facility Arrangements (Details) - Revolving Facility [Member] | 3 Months Ended |
Mar. 31, 2017 | |
Less than or equal to 1.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Unused capacity, Commitment fee rate | 0.25% |
Greater than 1.00:1.00 but less than or equal to 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Unused capacity, Commitment fee rate | 0.375% |
Greater than 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Unused capacity, Commitment fee rate | 0.50% |
Base Rate [Member] | Less than or equal to 1.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 0.50% |
Base Rate [Member] | Greater than 1.00:1.00 but less than or equal to 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 0.75% |
Base Rate [Member] | Greater than 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 1.00% |
Eurodollar Rate [Member] | Less than or equal to 1.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 1.50% |
Eurodollar Rate [Member] | Greater than 1.00:1.00 but less than or equal to 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 1.75% |
Eurodollar Rate [Member] | Greater than 2.00:1.00 [Member] | |
Debt Instrument [Line Items] | |
Margin rate | 2.00% |
Fair Value Measurements and D70
Fair Value Measurements and Derivatives - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Marketable securities | $ 31 | $ 30 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Marketable securities | 4 | 4 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Marketable securities | 27 | 26 |
Fair Value, Measurements, Recurring [Member] | Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Fair Value, Inputs, Level 2 [Member] | Accounts Receivable Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts asset value | 2 | 1 |
Fair Value, Measurements, Recurring [Member] | Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Fair Value, Inputs, Level 2 [Member] | Other Accrued Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts liability value | 1 | 1 |
Fair Value, Measurements, Recurring [Member] | Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | Fair Value, Inputs, Level 2 [Member] | Accounts Receivable Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts asset value | 3 | 2 |
Fair Value, Measurements, Recurring [Member] | Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | Fair Value, Inputs, Level 2 [Member] | Other Accrued Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts liability value | 4 | |
Fair Value, Measurements, Recurring [Member] | Currency Swap [Member] | Not Designated as Hedging Instrument [Member] | Fair Value, Inputs, Level 2 [Member] | Other Accrued Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts liability value | 2 | 3 |
Fair Value, Measurements, Recurring [Member] | Currency Swap [Member] | Cash Flow Hedging [Member] | Fair Value, Inputs, Level 2 [Member] | Other Noncurrent Liabilities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | ||
Currency contracts liability value | $ 29 | $ 12 |
Fair Value Measurements and D71
Fair Value Measurements and Derivatives - Fair Value of Financial Instruments (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | |||
Carrying Value | $ 1,752 | $ 1,670 | |
Fair Value | 1,793 | 1,713 | |
Other indebtedness [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | |||
Carrying Value | 202 | 120 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Market Approach Valuation Technique [Member] | Senior Notes Total [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | |||
Carrying Value | 1,550 | 1,550 | |
Fair Value | 1,608 | 1,612 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Income Approach Valuation Technique [Member] | Other indebtedness [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items] | |||
Carrying Value | 202 | [1] | 120 |
Fair Value | $ 185 | $ 101 | |
[1] | *The carrying value includes the unamortized portion of a fair value adjustment related to a terminated interest rate swap at both dates. The carrying value and fair value also include a financial liability associated with a build-to-suit lease arrangement at both dates. |
Fair Value Measurements and D72
Fair Value Measurements and Derivatives - Additional Information (Details) € in Millions, MXN in Millions, BRL in Millions | Mar. 31, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2017BRL | Mar. 31, 2017EUR (€) | Mar. 31, 2017MXN | Dec. 31, 2016USD ($) |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Deferred loss on net investment hedge | $ 5,000,000 | |||||
Cash flow hedge gain (loss) to be reclassified to earnings during next 12 months | $ 3,000,000 | 3,000,000 | $ (2,000,000) | |||
Interest Rate Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 0 | 0 | ||||
Fair value adjustment to the carrying amount of the December 2024 Notes | $ 7,000,000 | 7,000,000 | ||||
Forward Contracts [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Maximum remaining maturity of foreign currency derivatives | 15 months | |||||
Foreign Exchange Forward [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | $ 200,000,000 | 200,000,000 | 143,000,000 | |||
Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 1,129,000,000 | 1,129,000,000 | $ 571,000,000 | |||
Cash Flow Hedging [Member] | Foreign Exchange Forward [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 139,000,000 | 139,000,000 | ||||
Cash Flow Hedging [Member] | Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 1,090,000,000 | 1,090,000,000 | ||||
Deferred loss associated with currency swaps in OCI | 11,000,000 | |||||
Change in the fair value of the swaps in OCI | 17,000,000 | |||||
Reclassification from AOCI | 6,000,000 | |||||
Notes Payable to Banks [Member] | Cash Flow Hedging [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, amount of hedged item | 15,000,000 | 15,000,000 | ||||
Notes Payable to Banks [Member] | Cash Flow Hedging [Member] | Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 15,000,000 | 15,000,000 | BRL 47 | |||
Intercompany Notes [Member] | Cash Flow Hedging [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, amount of hedged item | € | € 281 | |||||
Intercompany Notes [Member] | Cash Flow Hedging [Member] | Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 300,000,000 | 300,000,000 | 281 | |||
Intercompany Notes [Member] | Net Investment Hedging [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 78,000,000 | 78,000,000 | MXN 1,465 | |||
Derivative, amount of hedged item | 78,000,000 | 78,000,000 | MXN 1,465 | |||
Senior Notes Due April 2025 [Member] | Cash Flow Hedging [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, amount of hedged item | 400,000,000 | 400,000,000 | ||||
Senior Notes Due April 2025 [Member] | Cash Flow Hedging [Member] | Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | 400,000,000 | 400,000,000 | 371 | |||
Senior Notes Due June 2026 [Member] | Cash Flow Hedging [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, amount of hedged item | 375,000,000 | 375,000,000 | ||||
Senior Notes Due June 2026 [Member] | Cash Flow Hedging [Member] | Currency Swap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Derivative, Notional Amount | $ 375,000,000 | $ 375,000,000 | € 338 |
Fair Value Measurements and D73
Fair Value Measurements and Derivatives - Summary of Fixed-to-Fixed Cross-Currency Swaps (Details) € in Millions, BRL in Millions, $ in Millions | Apr. 04, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2017BRL | Mar. 31, 2017EUR (€) | Dec. 31, 2016USD ($) | |||
Senior Notes Due June 2026 [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate | 6.50% | [1] | 6.50% | [1] | 6.50% | [1] | 6.50% | |
Senior Notes Due April 2025 [Member] | Scenario, Forecast [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate | 5.75% | |||||||
Cash Flow Hedging [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 5.14% | 5.14% | 5.14% | |||||
Cash Flow Hedging [Member] | Notes Payable to Banks [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, amount of hedged item | $ 15 | |||||||
Interest rate | 3.80% | 3.80% | 3.80% | |||||
Cash Flow Hedging [Member] | Senior Notes Due June 2026 [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, amount of hedged item | $ 375 | |||||||
Interest rate | 6.50% | 6.50% | 6.50% | |||||
Cash Flow Hedging [Member] | Intercompany Notes [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, amount of hedged item | € | € 281 | |||||||
Interest rate | 3.91% | 3.91% | 3.91% | |||||
Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, amount of hedged item | $ 400 | |||||||
Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | Scenario, Forecast [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, amount of hedged item | $ 400 | |||||||
Interest rate | 5.75% | |||||||
Currency Swap [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 1,129 | $ 571 | ||||||
Currency Swap [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 320 | |||||||
Currency Swap [Member] | Euro Member Countries, Euro [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 793 | |||||||
Currency Swap [Member] | Brazil, Brazil Real [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 15 | |||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 1,090 | |||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 300 | |||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Euro Member Countries, Euro [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 775 | |||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Brazil, Brazil Real [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | 15 | |||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Notes Payable to Banks [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | $ 15 | BRL 47 | ||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Notes Payable to Banks [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 3.80% | 3.80% | 3.80% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Notes Payable to Banks [Member] | Brazil, Brazil Real [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 13.58% | 13.58% | 13.58% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due June 2026 [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | $ 375 | € 338 | ||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due June 2026 [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 6.50% | 6.50% | 6.50% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due June 2026 [Member] | Euro Member Countries, Euro [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 5.14% | 5.14% | 5.14% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Intercompany Notes [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, Notional Amount | $ 300 | € 281 | ||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Intercompany Notes [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 6.00% | 6.00% | 6.00% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Intercompany Notes [Member] | Euro Member Countries, Euro [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 3.91% | 3.91% | 3.91% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 3.85% | 3.85% | 3.85% | |||||
Derivative, Notional Amount | $ 400 | € 371 | ||||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | United States of America, Dollars [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 5.75% | 5.75% | 5.75% | |||||
Currency Swap [Member] | Cash Flow Hedging [Member] | Senior Notes Due April 2025 [Member] | Euro Member Countries, Euro [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative, fixed interest rate | 3.85% | 3.85% | 3.85% | |||||
[1] | In conjunction with the issuance of the June 2026 Notes we entered into two 10-year fixed-to-fixed cross-currency swaps which have the effect of economically converting the June 2026 Notes to euro-denominated debt at a fixed rate of 5.140%. See Note 13 for additional information. |
Fair Value Measurements and D74
Fair Value Measurements and Derivatives - Notional Amount of Currency Derivatives (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
Foreign Exchange Forward [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | $ 200 | $ 143 |
Foreign Exchange Forward [Member] | United States of America, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | Mexican peso, euro | |
Derivative, Notional Amount | $ 91 | |
Foreign Exchange Forward [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, Canadian dollar, Hungarian forint, British pound, Swiss franc, Indian rupee, Russian ruble | |
Derivative, Notional Amount | $ 30 | |
Foreign Exchange Forward [Member] | United Kingdom, Pounds [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, Euro | |
Derivative, Notional Amount | $ 3 | |
Foreign Exchange Forward [Member] | Swedish krona [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | Euro | |
Derivative, Notional Amount | $ 19 | |
Foreign Exchange Forward [Member] | South Africa Rand [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, Euro, Thai baht | |
Derivative, Notional Amount | $ 9 | |
Foreign Exchange Forward [Member] | Thailand, Baht [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, Australian dollar | |
Derivative, Notional Amount | $ 4 | |
Foreign Exchange Forward [Member] | Canada, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar | |
Derivative, Notional Amount | $ 15 | |
Foreign Exchange Forward [Member] | Brazil, Brazil Real [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | Euro | |
Derivative, Notional Amount | $ 2 | |
Foreign Exchange Forward [Member] | Indian rupee [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, British pound, Euro | |
Derivative, Notional Amount | $ 27 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 61 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 4 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | South Africa Rand [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 9 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Thailand, Baht [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 4 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Canada, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 15 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Brazil, Brazil Real [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 2 | |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Indian rupee [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 27 | |
Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 139 | |
Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | United States of America, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 91 | |
Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 26 | |
Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | United Kingdom, Pounds [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 3 | |
Foreign Exchange Forward [Member] | Cash Flow Hedging [Member] | Swedish krona [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 19 | |
Currency Swap [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | $ 1,129 | $ 571 |
Currency Swap [Member] | United States of America, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | Euro, Canadian dollar | |
Derivative, Notional Amount | $ 320 | |
Currency Swap [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar, British pound | |
Derivative, Notional Amount | $ 793 | |
Currency Swap [Member] | South Africa Rand [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar | |
Derivative, Notional Amount | $ 1 | |
Currency Swap [Member] | Brazil, Brazil Real [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Traded Currency | U.S. dollar | |
Derivative, Notional Amount | $ 15 | |
Currency Swap [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 39 | |
Currency Swap [Member] | Not Designated as Hedging Instrument [Member] | United States of America, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 20 | |
Currency Swap [Member] | Not Designated as Hedging Instrument [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 18 | |
Currency Swap [Member] | Not Designated as Hedging Instrument [Member] | South Africa Rand [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 1 | |
Currency Swap [Member] | Cash Flow Hedging [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 1,090 | |
Currency Swap [Member] | Cash Flow Hedging [Member] | United States of America, Dollars [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 300 | |
Currency Swap [Member] | Cash Flow Hedging [Member] | Euro Member Countries, Euro [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 775 | |
Currency Swap [Member] | Cash Flow Hedging [Member] | Brazil, Brazil Real [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 15 | |
Foreign Exchange Contract [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 1,329 | |
Foreign Exchange Contract [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | 100 | |
Foreign Exchange Contract [Member] | Cash Flow Hedging [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Notional Amount | $ 1,229 |
Commitments and Contingencies
Commitments and Contingencies - Additional Information (Details) $ in Millions | Mar. 31, 2017USD ($)Lease | Dec. 31, 2016USD ($) |
Loss Contingencies [Line Items] | ||
Accrued environmental liabilities | $ 7 | $ 8 |
Damages from Product Defects [Member] | ||
Loss Contingencies [Line Items] | ||
Accrued product liabilities | 4 | 5 |
Probable recovery receivable | $ 4 | $ 4 |
Property Lease Guarantee [Member] | Structural Products [Member] | ||
Loss Contingencies [Line Items] | ||
Guarantee of lease obligations, number of leases assigned | Lease | 3 | |
Guaranteed annual lease payments through June 2025 related to divested business | $ 6 |
Warranty Obligations - Changes
Warranty Obligations - Changes in Warranty Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Balance, beginning of period | $ 66 | $ 56 |
Acquisitions | 8 | |
Amounts accrued for current period sales | 7 | 7 |
Adjustments of prior estimates | 3 | 5 |
Settlements of warranty claims | (12) | (10) |
Currency impact | 1 | 1 |
Balance, end of period | $ 73 | $ 59 |
Income Taxes - Additional Info
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Jan. 01, 2017 | |
Income tax expense | $ 30 | $ 24 | |
Effective income tax rate | 29.00% | 33.00% | |
Amortization of prepaid tax asset | $ 3 | ||
US federal statutory income tax rate | 35.00% | 35.00% | |
Expense related to future taxes on repatriations from operations | $ 2 | $ 1 | |
Withholding tax related to actual transfer of funds | $ 2 | $ 1 | |
Impact to Retained earnings | $ 179 | ||
New Accounting Pronouncement, Early Adoption, Effect [Member] | |||
Impact to Retained earnings | $ 179 |
Other Expense, Net - (Details)
Other Expense, Net - (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Other Income and Expenses [Abstract] | ||
Government grants and incentives | $ 2 | $ 1 |
Foreign exchange loss | (2) | (2) |
Strategic transaction expenses | (11) | (2) |
Insurance and other recoveries | 1 | |
Other, net | 2 | |
Other expense, net | $ (9) | $ (2) |
Segments - Additional Informat
Segments - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2017operating_segment | |
Segment Reporting [Abstract] | |
Number of Operating Segments | 4 |
Segments - Segment Information
Segments - Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Net sales | $ 1,701 | $ 1,449 |
Segment EBITDA | 212 | 151 |
Light Vehicle Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 761 | 613 |
Segment EBITDA | 89 | 58 |
Commercial Vehicle Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 329 | 333 |
Segment EBITDA | 28 | 26 |
Off-Highway Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 328 | 241 |
Segment EBITDA | 45 | 32 |
Power Technologies Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 283 | 262 |
Segment EBITDA | 50 | 35 |
Eliminations and other [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | ||
Segment EBITDA | ||
Intersegment Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 0 | 0 |
Intersegment Eliminations [Member] | Light Vehicle Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 29 | 32 |
Intersegment Eliminations [Member] | Commercial Vehicle Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 23 | 22 |
Intersegment Eliminations [Member] | Off-Highway Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 8 | 9 |
Intersegment Eliminations [Member] | Power Technologies Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | 4 | 3 |
Intersegment Eliminations [Member] | Eliminations and other [Member] | ||
Segment Reporting Information [Line Items] | ||
Net sales | $ (64) | $ (66) |
Segments - Reconciliation of S
Segments - Reconciliation of Segment EBITDA to Consolidated Net Income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting [Abstract] | ||
Segment EBITDA | $ 212 | $ 151 |
Corporate expense and other items, net | (7) | (3) |
Depreciation | (49) | (41) |
Amortization of intangibles | (3) | (2) |
Restructuring | (2) | (1) |
Stock compensation expense | (4) | (2) |
Strategic transaction expenses | (11) | (2) |
Acquisition related inventory adjustments | (6) | |
Other items | (1) | (4) |
Distressed supplier costs | (1) | |
Amounts attributable to previously divested/closed operations | 1 | |
Interest expense | (27) | (27) |
Interest income | 3 | 3 |
Income before income taxes | 105 | 72 |
Income tax expense | 30 | 24 |
Equity in earnings of affiliates | 5 | |
Net income | $ 80 | $ 48 |
Equity Affiliates - Additional
Equity Affiliates - Additional Information (Details) $ in Millions | Mar. 31, 2017USD ($) |
Schedule of Equity Method Investments [Line Items] | |
Equity method investments exceeding minimum value | $ 156 |
Minimum [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity method investments exceeding minimum value | $ 5 |
Equity Affiliates - Principal
Equity Affiliates - Principal Components of Investments in Equity Affiliates (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of Equity Method Investments [Line Items] | ||
Investments in equity affiliates | $ 156 | |
Investments in affiliates carried at cost | 2 | |
Investments in affiliates | $ 158 | $ 150 |
Dongfeng Dana Axle Co., Ltd. (DDAC) [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership Percentage | 50.00% | |
Investments in equity affiliates | $ 88 | |
Bendix Spicer Foundation Brake, LLC [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership Percentage | 20.00% | |
Investments in equity affiliates | $ 49 | |
Axles India Limited [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership Percentage | 48.00% | |
Investments in equity affiliates | $ 8 | |
Taiway Ltd. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership Percentage | 14.00% | |
Investments in equity affiliates | $ 5 | |
All others as a group [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Investments in equity affiliates | $ 6 |
Equity Affiliates - Summarized
Equity Affiliates - Summarized Financial Information for DDAC (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||
Dana's equity in earnings (loss) of affiliate | $ 5 | |
Dongfeng Dana Axle Co., Ltd. (DDAC) [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Sales | 190 | 120 |
Gross profit | 24 | 10 |
Income (loss) before income taxes | 8 | (3) |
Net income (loss) | 7 | (2) |
Dana's equity in earnings (loss) of affiliate | $ 3 | $ (2) |