v3.26.1
Leasing Arrangements
9 Months Ended
Jun. 30, 2026
Leases [Abstract]  
Leasing Arrangements

NOTE I – LEASING ARRANGEMENTS

The components of lease cost recognized within the Statements of Condensed Consolidated Comprehensive Income (Loss) are as follows:

 

 

 

 

Three months ended

 

 

Nine months ended

 

 

 

 

 

June 30

 

 

June 30

 

(In millions)

 

Location

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Lease cost:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating lease cost

 

Selling, general and administrative

 

$

3

 

 

$

3

 

 

$

9

 

 

$

9

 

Operating lease cost

 

Cost of sales

 

 

3

 

 

 

4

 

 

 

9

 

 

 

10

 

Variable lease cost

 

Selling, general and administrative

 

 

1

 

 

 

1

 

 

 

4

 

 

 

4

 

Variable lease cost

 

Cost of sales

 

 

1

 

 

 

1

 

 

 

3

 

 

 

5

 

Short-term leases(a)

 

Cost of sales

 

 

 

 

 

1

 

 

 

1

 

 

 

3

 

Total lease cost

 

 

 

$

8

 

 

$

10

 

 

$

26

 

 

$

31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(a)
Zero denotes less than $1 million of activity.

Right-of-use assets exchanged for new operating lease obligations were $1 million and $3 million for the three months ended June 30, 2026 and 2025, respectively, and $5 million for both the nine months ended June 30, 2026 and 2025.

The following table provides cash paid for amounts included in the measurement of lease liabilities:

 

 

 

 

Three months ended

 

 

Nine months ended

 

 

 

 

 

June 30

 

 

June 30

 

(In millions)

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Operating cash flows from operating leases

 

$

6

 

 

$

7

 

 

$

19

 

 

$

20