The Company leases manufacturing facilities, offices, land, equipment and vehicles. Such leases, some of which are noncancellable and, in many cases, include renewals, expire at various dates. Such options to renew are included in the lease term when it is reasonably certain that the option will be exercised. The Company’s lease agreements typically do not contain any significant residual value guarantees or restrictive covenants, and payments within certain lease agreements are adjusted periodically for changes in an index or rate.

The Company determines if an arrangement is a lease at inception. Lease assets and liabilities are recognized at the commencement date of the lease based on the present value of lease payments over the lease term. Lease assets represent the Company’s right to use an underlying asset for the lease term, and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. The discount rate implicit in the Company’s leases is generally not determinable, and therefore the Company uses its incremental borrowing rate, which is determined based on the lease term and the currency in which lease payments are made. The lease term includes options to extend or terminate the lease when it is reasonably certain that the Company will exercise those options.

Leases are classified as either operating or finance leases based on the criteria in ASC 842. Operating lease cost is recognized on a straight-line basis over the lease term. Finance lease right-of-use assets are amortized on a straight-line basis over the shorter of the lease term or the useful life of the underlying asset, and interest on finance lease liabilities is recognized using the effective interest method. Where the lease transfers ownership or the Company is reasonably certain to exercise a purchase option, the asset is amortized over its useful life. The Company has made an accounting policy election not to recognize lease assets or liabilities for leases with a term of twelve months or less. The Company has also elected, for all classes of underlying assets, not to separate non-lease components, such as related services, from lease components, and accounts for them as a single lease component.


		Fiscal Years Ended September 30,
	Classification	2026		2025		2024
Operating lease cost	Cost of sales or selling and administrative expenses	$	34	$	23	$	22
Finance lease cost:
Amortization of leased assets	Cost of sales	18		15		12
Interest on lease liabilities	Interest expense-net	22		19		16
Total lease cost		$	74	$	57	$	50


	Fiscal Years Ended September 30,
	2026		2025		2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases	$	33	$	23	$	21
Operating cash outflows from finance leases	17		16		14
Financing cash outflows from finance leases	8		7		6

Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	55	$	25	$	21
Finance leases	49		25		83


	Classification	September 30, 2026		September 30, 2025
Operating Leases
Operating lease right-of-use assets	Other non-current assets	$	92	$	65

Current operating lease liabilities	Accrued and other current liabilities	22		15
Long-term operating lease liabilities	Other non-current liabilities	74		51
Total operating lease liabilities		$	96	$	66

Finance Leases
Finance lease right-of-use assets, net	Property, plant and equipment-net	$	307	$	264

Current finance lease liabilities	Current portion of long-term debt	12		8
Long-term finance lease liabilities	Long-term debt	332		276
Total finance lease liabilities		$	344	$	284


	September 30, 2026	September 30, 2025
Weighted-average remaining lease term
Operating leases	5.2 years	6.4 years
Finance leases	20.0 years	19.8 years

Weighted-average discount rate
Operating leases	6.0%	5.7%
Finance leases	6.9%	7.0%


Fiscal Years Ended September 30,	Operating Leases		Finance Leases
2027	$	27	$	29
2028	21		30
2029	17		31
2030	12		31
2031	9		32
Thereafter	35		509
Total future minimum lease payments	121		662
Less: imputed interest	25		318
Total lease liabilities	$	96	$	344