v3.25.2
Fair Value Measurements (Tables)
 9 Months Ended
Jun. 30, 2025
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items]  
Summary of Financial Instruments Subject to Recurring Fair Value Measurements

The following table summarizes financial instruments subject to recurring fair value measurements as of June 30, 2025:

 

(In millions)

 

Carrying value

 

 

Total
fair value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

207

 

 

$

207

 

 

$

207

 

 

$

—

 

 

$

—

 

Restricted investments(a)(b)

 

 

350

 

 

 

350

 

 

 

350

 

 

 

—

 

 

 

—

 

Investment of captive insurance company(c)

 

 

3

 

 

 

3

 

 

 

3

 

 

 

—

 

 

 

—

 

Foreign currency derivatives(d)

 

 

2

 

 

 

2

 

 

 

—

 

 

 

2

 

 

 

—

 

Commodity derivatives(d)

 

 

1

 

 

 

1

 

 

 

—

 

 

 

1

 

 

 

—

 

Total assets at fair value

 

$

563

 

 

$

563

 

 

$

560

 

 

$

3

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency derivatives(e)

 

$

1

 

 

$

1

 

 

$

—

 

 

$

1

 

 

$

—

 

Total liabilities at fair value

 

$

1

 

 

$

1

 

 

$

—

 

 

$

1

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
(a)
Includes $283 million within restricted investments and $67 million within other current assets in the Condensed Consolidated Balance Sheet.
(b)
Includes $228 million related to the Asbestos trust and $122 million related to the Environmental trust.
(c)
Included in other noncurrent assets in the Condensed Consolidated Balance Sheet.
(d)
Included in accounts receivable, net in the Condensed Consolidated Balance Sheet.
(e)
Included in accrued expenses and other liabilities in the Condensed Consolidated Balance Sheet.

The following table summarizes financial instruments subject to recurring fair value measurements as of September 30, 2024:

 

(In millions)

 

Carrying value

 

 

Total
fair value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

300

 

 

$

300

 

 

$

300

 

 

$

—

 

 

$

—

 

Restricted investments(a)(b)

 

 

368

 

 

 

368

 

 

 

368

 

 

 

—

 

 

 

—

 

Investment of captive insurance company(c)

 

 

7

 

 

 

7

 

 

 

7

 

 

 

—

 

 

 

—

 

Foreign currency derivatives(d)

 

 

1

 

 

 

1

 

 

 

—

 

 

 

1

 

 

 

—

 

Total assets at fair value

 

$

676

 

 

$

676

 

 

$

675

 

 

$

1

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency derivatives(e)

 

$

1

 

 

$

1

 

 

$

—

 

 

$

1

 

 

$

—

 

Commodity derivatives(e)

 

 

2

 

 

 

2

 

 

 

—

 

 

 

2

 

 

 

—

 

Total liabilities at fair value

 

$

3

 

 

$

3

 

 

$

—

 

 

$

3

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
(a)
Includes $295 million within restricted investments and $73 million within other current assets in the Condensed Consolidated Balance Sheet.
(b)
Includes $248 million related to the Asbestos trust and $120 million related to the Environmental trust.
(c)
Included in other noncurrent assets in the Condensed Consolidated Balance Sheet.
(d)
Included in accounts receivable, net in the Condensed Consolidated Balance Sheet.
(e)
Included in accrued expenses and other liabilities in the Condensed Consolidated Balance Sheet.
Summary of Restricted Investment Portfolio

The following table presents gross unrealized gains and losses for the restricted investments as of:

 

 

 

 

 

 

Gross

 

 

Gross

 

 

 

 

(In millions)

 

Adjusted Cost

 

 

Unrealized Gain

 

 

Unrealized Loss

 

 

Fair Value

 

June 30, 2025

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposit

 

$

2

 

 

$

—

 

 

$

—

 

 

$

2

 

Equity mutual fund

 

 

113

 

 

 

61

 

 

 

—

 

 

 

174

 

Fixed income mutual fund

 

 

209

 

 

 

—

 

 

 

(35

)

 

 

174

 

Fair value

 

$

324

 

 

$

61

 

 

$

(35

)

 

$

350

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposit

 

$

5

 

 

$

—

 

 

$

—

 

 

$

5

 

Equity mutual fund

 

 

124

 

 

 

56

 

 

 

—

 

 

 

180

 

Fixed income mutual fund

 

 

211

 

 

 

—

 

 

 

(28

)

 

 

183

 

Fair value

 

$

340

 

 

$

56

 

 

$

(28

)

 

$

368

 

 

 

 

 

 

 

 

 

 

 

 

 

 
Summary of Investment Income, Net Gains and Losses, Funds restricted for Specific Transactions and Disbursements Related to Investments

The following table presents the investment income, net gains and losses realized, funds restricted for specific transactions, and disbursements related to the investments within the restricted investments portfolio:

 

 

Three months ended

 

 

Nine months ended

 

 

 

June 30

 

 

June 30

 

(In millions)

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Investment income(a)

 

$

3

 

 

$

3

 

 

$

10

 

 

$

12

 

Net gains(a)

 

 

19

 

 

 

1

 

 

 

5

 

 

 

39

 

Funds restricted for specific transactions

 

 

—

 

 

 

—

 

 

 

8

 

 

 

5

 

Disbursements

 

 

(17

)

 

 

(23

)

 

 

(41

)

 

 

(60

)

 

 

 

 

 

 

 

 

 

 

 

 

 
(a)
Included in the net interest and other expense (income) caption within the Statements of Condensed Consolidated Comprehensive Income (Loss).
Summary of Net Gains on Foreign Currency Derivatives The following table summarizes the gains recognized within the Statements of Condensed Consolidated Comprehensive Income (Loss):

 

 

Three months ended

 

 

Nine months ended

 

 

 

June 30

 

 

June 30

 

(In millions)

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Foreign currency derivative gains

 

$

20

 

 

$

1

 

 

$

17

 

 

$

2

 

 

 

 

 

 

 

 

 

 

 

 

 

 
Summary of Fair Values of Outstanding Foreign Currency Derivatives

The following table summarizes the fair values of the outstanding foreign currency derivatives included in accounts receivable, net and accrued expenses and other liabilities of the Condensed Consolidated Balance Sheets as of:

 

 

 

June 30

 

 

September 30

 

(In millions)

 

2025

 

 

2024

 

Foreign currency derivative assets

 

$

2

 

 

$

1

 

Notional contract values

 

 

122

 

 

 

125

 

 

 

 

 

 

Foreign currency derivative liabilities

 

$

1

 

 

$

1

 

Notional contract values

 

 

80

 

 

 

184

 

 

 

 

 

 

 

 

 
Commodity Derivatives [Member]  
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items]  
Summary of Net Losses on Derivatives

The following table summarizes the net losses recognized within the cost of sales caption of the Statements of Condensed Consolidated Comprehensive Income (Loss):

 

 

Three months ended

 

 

Nine months ended

 

 

 

June 30

 

 

June 30

 

(In millions)

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Commodity derivative losses

 

$

(1

)

 

$

(2

)

 

$

(2

)

 

$

(5

)

 

 

 

 

 

 

 

 

 

 

 

 

 
Summary of Fair Values of Outstanding Derivatives

The following table summarizes the fair values of the outstanding commodity derivatives included in accounts receivable, net and accrued expenses and other liabilities of the Condensed Consolidated Balance Sheets as of:

 

 

June 30

 

 

September 30

 

(In millions)

 

2025

 

 

2024

 

Commodity derivative assets

 

$

1

 

 

$

—

 

Notional contract values

 

 

10

 

 

 

3

 

 

 

 

 

 

Commodity derivative liabilities

 

$

—

 

 

$

2

 

Notional contract values

 

 

4

 

 

 

13