Johnson Controls 2013 Annual Report Download - page 71

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71
4. INVENTORIES
Inventories consisted of the following (in millions):
September 30,
2013 2012
Raw materials and supplies $ 1,086 $ 1,144
Work-in-process 459 397
Finished goods 780 802
Inventories $ 2,325 $ 2,343
In the fourth quarter of fiscal 2013, the Company changed its method of inventory costing for certain inventory in its Power
Solutions business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method. Refer to Note 1, “Summary of
Significant Accounting Policies,” of the notes to consolidated financial statements for discussion of the Company’s change in
accounting method.
5. PROPERTY, PLANT AND EQUIPMENT
Property, plant and equipment consisted of the following (in millions):
September 30,
2013 2012
Buildings and improvements $ 3,046 $ 2,716
Machinery and equipment 8,189 7,827
Construction in progress 1,441 1,722
Land 374 375
Total property, plant and equipment 13,050 12,640
Less: accumulated depreciation (6,465)(6,200)
Property, plant and equipment - net $ 6,585 $ 6,440
Interest costs capitalized during the fiscal years ended September 30, 2013, 2012 and 2011 were $42 million, $55 million and $34
million, respectively. Accumulated depreciation related to capital leases at September 30, 2013 and 2012 was $44 million and $56
million, respectively.