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Document and Company Information - USD ($) $ in Billions	12 Months Ended
Document and Company Information - USD ($) $ in Billions	Sep. 30, 2009	Nov. 20, 2009	Mar. 31, 2009
Document and Company Information [Abstract]
Entity Registrant Name	AIR PRODUCTS & CHEMICALS INC /DE/
Entity Central Index Key	0000002969
Document Type	10-K
Document Period End Date	Sep. 30, 2009
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 11.8
Entity Common Stock, Shares Outstanding		211,705,911

Consolidated Income Statements - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Sep. 30, 2009	Sep. 30, 2008	Sep. 30, 2007
Statement [Line Items]
Sales	$ 8,256.2	$ 10,414.5	$ 9,148.2
Cost of sales	6,042.1	7,693.1	6,698.9
Selling and administrative	943.4	1,090.4	999.8
Research and development	116.3	130.7	129.0
Global cost reduction plan	298.2	0.0	13.7
Customer contract settlement	0.0	0.0	(36.8)
Customer bankruptcy	22.2	0.0	0.0
Pension settlement	10.7	30.3	10.3
Other income, net	23.0	25.8	42.3
Operating Income	846.3	1,495.8	1,375.6
Equity affiliates' income	112.2	145.0	114.4
Interest expense	121.9	162.0	162.4
Income from Continuing Operations before Taxes and Minority Interest	836.6	1,478.8	1,327.6
Income tax provision	185.3	365.3	287.2
Minority interest in earnings of subsidiary companies	11.4	23.0	20.8
Income from Continuing Operations	639.9	1,090.5	1,019.6
Income (Loss) from Discontinued Operations, net of tax	(8.6)	(180.8)	16.0
Net Income	$ 631.3	$ 909.7	$ 1,035.6
Weighted Average of Common Shares Outstanding (in millions)	209.9	212.2	216.2
Weighted Average of Common Shares Outstanding Assuming Dilution (in millions)	213.5	219.2	223.2
Basic Earnings per Common Share
Income from continuing operations	$ 3.05	$ 5.14	$ 4.72
Income (loss) from discontinued operations	(0.04)	(0.85)	0.07
Net Income	3.01	4.29	4.79
Diluted Earnings per Common Share
Income from continuing operations	3	4.97	4.57
Income (loss) from discontinued operations	(0.04)	(0.82)	0.07
Net Income	$ 2.96	$ 4.15	$ 4.64

Consolidated Balance Sheets - USD ($) $ in Millions	12 Months Ended
Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2009	Sep. 30, 2008
Current Assets
Cash and cash items	$ 488.2	$ 103.5
Trade receivables, less allowances for doubtful accounts of $65.0 in 2009 and $36.1 in 2008	1,363.2	1,575.2
Inventories	509.6	503.7
Contracts in progress, less progress billings	132.3	152.0
Prepaid expenses	99.7	107.7
Other receivables and current assets	399.8	349.4
Current assets of discontinued operations	5.0	56.6
Total Current Assets	2,997.8	2,848.1
Investment in Net Assets of and Advances to Equity Affiliates	868.1	822.6
Plant and Equipment, at cost	15,751.3	14,988.6
Less: Accumulated depreciation	8,891.7	8,373.8
Plant and Equipment, net	6,859.6	6,614.8
Goodwill	916.0	928.1
Intangible Assets, net	262.6	289.6
Noncurrent Capital Lease Receivables	687.0	505.3
Other Noncurrent Assets	438.0	504.1
Noncurrent Assets of Discontinued Operations	0.0	58.7
Total Noncurrent Assets	10,031.3	9,723.2
Total Assets	13,029.1	12,571.3
Current Liabilities
Payables and accrued liabilities	1,660.4	1,665.6
Accrued income taxes	42.9	87.0
Short-term borrowings	333.8	419.3
Current portion of long-term debt	452.1	32.1
Current liabilities of discontinued operations	14.4	8.0
Total Current Liabilities	2,503.6	2,212.0
Long-Term Debt	3,715.6	3,515.4
Deferred Income and Other Noncurrent Liabilities	1,522.0	1,049.2
Deferred Income Taxes	357.9	626.6
Noncurrent Liabilities of Discontinued Operations	0.0	1.2
Total Noncurrent Liabilities	5,595.5	5,192.4
Total Liabilities	8,099.1	7,404.4
Minority Interest in Subsidiary Companies	$ 138.1	$ 136.2
Commitments and Contingencies
Shareholders' Equity
Common stock (par value $1 per share; issued 2009 and 2008 - 249,455,584 shares)	$ 249.4	$ 249.4
Capital in excess of par value	822.9	811.7
Retained earnings	7,234.6	6,990.2
Accumulated other comprehensive income (loss)	(1,161.8)	(549.3)
Treasury stock, at cost (2009-38,195,320 shares; 2008-40,120,957 shares)	(2,353.2)	(2,471.3)
Total Shareholders' Equity	4,791.9	5,030.7
Total Liabilities and Shareholders' Equity	$ 13,029.1	$ 12,571.3

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Sep. 30, 2009	Sep. 30, 2008	Sep. 30, 2007
Operating Activities
Net income	$ 631.3	$ 909.7	$ 1,035.6
Adjustments to reconcile income to cash provided by operating activities:
Depreciation and amortization	840.3	869.0	789.8
Impairment of assets of continuing operations	69.2	0.0	0.0
Impairment of assets of discontinued operations	49.5	314.8	0.0
(Gain) loss on sale of discontinued operations	(2.1)	(105.9)	15.3
Deferred income taxes	(52.3)	36.9	13.7
Customer bankruptcy	22.2	0.0	0.0
Undistributed earnings of unconsolidated affiliates	(58.0)	(77.8)	(59.5)
Loss (gain) on sale of assets and investments	3.6	0.3	(27.6)
Share-based compensation	60.4	61.4	70.9
Noncurrent capital lease receivables	(186.7)	(192.6)	(70.8)
Other adjustments	(7.8)	2.9	89.7
Working capital changes that provided (used) cash, excluding effects of acquisitions and divestitures:
Trade receivables	159.0	(97.4)	(0.2)
Inventories	(17.7)	(34.9)	(6.0)
Contracts in progress	12.5	95.2	(61.3)
Other receivables	(11.9)	(120.6)	(43.1)
Payables and accrued liabilities	(282.8)	36.2	(219.5)
Other working capital	94.2	(17.6)	(27.1)
Cash Provided by Operating Activities	1,322.9	1,679.6	1,499.9
Investing Activities
Additions to plant and equipment	(1,179.1)	(1,085.1)	(1,013.2)
Acquisitions, less cash acquired	(32.7)	(72.0)	(539.1)
Investment in and advances to unconsolidated affiliates	(24.5)	(2.2)	(0.2)
Proceeds from sale of assets and investments	57.9	19.6	97.2
Proceeds from sale of discontinued operations	51.0	423.0	0.0
Proceeds from insurance settlements	0.0	0.0	14.9
Change in restricted cash	87.0	(183.6)	0.0
Other investing activities	0.0	(19.5)	(42.7)
Cash Used for Investing Activities	(1,040.4)	(919.8)	(1,483.1)
Financing Activities
Long-term debt proceeds	610.5	580.1	855.9
Payments on long-term debt	(82.9)	(95.7)	(429.4)
Net (decrease) increase in commercial paper and short-term borrowings	(122.7)	(178.9)	178.5
Dividends paid to shareholders	(373.3)	(349.3)	(312.0)
Purchase of treasury stock	0.0	(793.4)	(575.2)
Proceeds from stock option exercises	54.4	87.4	202.8
Excess tax benefit from share-based compensation/other	15.5	51.3	64.5
Cash Provided by (Used for) Financing Activities	101.5	(698.5)	(14.9)
Effect of Exchange Rate Changes on Cash	0.7	1.7	7.6
Increase in Cash and Cash Items	384.7	63.0	9.5
Cash and Cash Items-Beginning of Year	103.5	40.5	31.0
Cash and Cash Items-End of Year	$ 488.2	$ 103.5	$ 40.5

Consolidated Statements of Equity (Parenthetical) - USD ($) $ in Millions	12 Months Ended
	Sep. 30, 2009	Sep. 30, 2008	Sep. 30, 2007
Retained Earnings
Statement [Line Items]
Per share dividends on common stock	$ 1.79	$ 1.7	$ 1.48
Accumulated Other Comprehensive Income (Loss)
Statement [Line Items]
Tax effect on defined benefit plans measurement date change	$ 14.0	$ 0.0	$ 0.0
Tax effect on translation adjustment	(35.2)	7.9	(45.8)
Tax effect on adjustment for initial recognition of funded status of benefit plans	0.0	0.0	(169.6)
Tax effect on net loss on derivatives	(1.8)	(30.2)	(3.3)
Tax effect on net unrealized holding gain (loss) on available-for-sale securities	1.4	(2.4)	4.2
Tax effect on pension and postretirement benefits	(287.4)	(92.0)	0.0
Tax effect on minimum pension liability adjustment	0.0	0.0	83.4
Reclassification adjustments:
Tax effect on derivatives	(0.8)	19.2	7.0
Tax effect on realized holding gains	0.0	0.0	20.1
Tax effect on pension and postretirement benefits	$ 9.8	$ 24.5	$ 0.0

Major Accounting Policies

12 Months Ended

Sep. 30, 2009

Major Accounting Policies [Abstract]

Major Accounting Policies

1. Major Accounting Policies

Consolidation Principles

The consolidated financial statements include the accounts of Air Products and Chemicals, Inc. and those of its controlled subsidiaries (the Company), which are generally majority owned. Intercompany transactions and balances are eliminated in consolidation.

The Company consolidates all entities that it controls. The general condition for control is ownership of a majority of the voting interests of an entity. Control may also exist in arrangements where the Company is the primary beneficiary of a variable interest entity. An entity that will absorb the majority of a variable interest entity’s expected losses or expected residual returns is considered a primary beneficiary of that entity. The Company has determined that it is not a primary beneficiary in any material variable interest entity.

Estimates and Assumptions

The preparation of the financial statements in accordance with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Revenue Recognition

Revenue from product sales is recognized as risk and title to the product transfers to the customer (which generally occurs at the time shipment is made), the sales price is fixed or determinable, and collectibility is reasonably assured. Sales returns and allowances are not a business practice in the industry.

Revenues from equipment sale contracts are recorded primarily using the percentage-of-completion method. Under this method, revenues from the sale of major equipment, such as liquefied natural gas (LNG) heat exchangers and large air separation units, are recognized primarily based on labor hours incurred to date compared with total estimated labor hours. Changes to total estimated labor hours and anticipated losses, if any, are recognized in the period determined.

Amounts billed for shipping and handling fees are classified as sales in the Consolidated Income Statements.

Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue-producing transactions are presented on a net basis and excluded from sales in the Consolidated Income Statements. The Company records a liability until remitted to the respective taxing authority.

Certain contracts associated with facilities that are built to provide product to a specific customer are required to be accounted for as leases. In cases where operating lease treatment is necessary, there is no difference in revenue recognition over the life of the contract as compared to accounting for the contract as product sales. In cases where capital lease treatment is necessary, the timing of revenue and expense recognition is impacted. Revenue and expense are recognized up front for the sale of equipment component of the contract as compared to revenue recognition over the life of the arrangement under contracts not qualifying as capital leases. Additionally, a portion of the revenue representing interest income from the financing component of the lease receivable is reflected as sales over the life of the contract.

If an arrangement involves multiple deliverables, the delivered items are considered separate units of accounting if the items have value on a stand-alone basis and there is objective and reliable evidence of their fair values. Revenues from the arrangement are allocated to the separate units of accounting based on their relative fair values.

Cost of Sales

Cost of sales predominantly represents the cost of tangible products sold. These costs include labor, raw materials, plant engineering, power, depreciation, production supplies and materials packaging costs, and maintenance costs. Costs incurred for shipping and handling are also included in cost of sales.

Depreciation

Depreciation is recorded using the straight-line method, which deducts equal amounts of the cost of each asset from earnings every year over its expected economic useful life. The principal lives for major classes of plant and equipment are summarized in the table below:


		Principal Estimated Useful Lives

Buildings		30 years
Production facilities ^(A)
Merchant Gases		15 years
Tonnage Gases		15 to 20 years
Electronics and Performance Materials		10 to 15 years
Distribution equipment ^(B)		5 to 25 years
Other machinery and equipment		10 to 25 years


^(A)		Depreciable lives of production facilities related to long-term customer supply contracts associated with the gases tonnage business are matched to the contract lives.

^(B)		The depreciable lives for various types of distribution equipment are 10 to 25 years for cylinders, depending on the nature and properties of the product; 20 years for tanks; 7.5 years for customer stations; 5 to 15 years for tractors and trailers.

Selling and Administrative

The principal components of selling and administrative expenses are salaries, advertising, and promotional costs.

Postemployment Benefits

The Company has substantive ongoing severance arrangements. Termination benefits provided to employees as part of the global cost reduction plan (discussed in Note 3) are consistent with termination benefits in previous, similar arrangements. Because the Company’s plan met the definition of an ongoing benefit arrangement, a liability was recognized for termination benefits when probable and estimable. These criteria are met when management, with the appropriate level of authority, approves and commits to its plan of action for termination; the plan identifies the employees to be terminated and their related benefits; and the plan is to be completed within one year. During periods of operations where terminations are made on an as-needed basis, absent a detailed committed plan, terminations are accounted for on an individual basis and a liability is recognized when probable and estimable.

Financial Instruments

The Company addresses certain financial exposures through a controlled program of risk management that includes the use of derivative financial instruments. Refer to Note 12 for further detail on the types and use of derivative instruments that the Company enters into. The types of derivative financial instruments permitted for such risk management programs are specified in policies set by management.

Major financial institutions are counterparties to all of these derivative contracts. The Company has established counterparty credit guidelines and only enters into transactions with financial institutions of investment grade or better. Management believes the risk of incurring losses related to credit risk is remote, and any losses would be immaterial to the consolidated financial results, financial condition, or liquidity.

The Company recognizes these derivatives on the balance sheet at fair value. On the date the derivative instrument is entered into, the Company generally designates the derivative as either (1) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (cash flow hedge), (2) a hedge of a net investment in a foreign operation (net investment hedge), or (3) a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge).

The following details the accounting treatment of the Company’s cash flow, fair value, net investment, and non-designated hedges:

•		Changes in the fair value of a derivative that is designated as and meets all the required criteria for a cash flow hedge are recorded in Accumulated Other Comprehensive Income (AOCI) and then recognized in earnings when the hedged items affect earnings.

•		Changes in the fair value of a derivative that is designated as and meets all the required criteria for a fair value hedge, along with the gain or loss on the hedged asset or liability that is attributable to the hedged risk, are recorded in current period earnings.

•		Changes in the fair value of a derivative and foreign currency debt that are designated as and meet all the required criteria for a hedge of a net investment are recorded as translation adjustments in AOCI.

•		Changes in the fair value of a derivative that is not designated as a hedge are recorded immediately in earnings.

The Company formally documents the relationships between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking various hedge transactions. This process includes relating derivatives that are designated as fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. The Company also formally assesses, at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. If it is determined that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, the Company will discontinue hedge accounting with respect to that derivative prospectively.

Foreign Currency

Since the Company does business in many foreign countries, fluctuations in currency exchange rates affect the Company’s financial position and results of operations.

In most of the Company’s foreign operations, local currency is considered the functional currency. Generally, foreign subsidiaries translate their assets and liabilities into U.S. dollars at current exchange rates—that is, the rates in effect at the end of the fiscal period. The gains or losses that result from this process are shown in AOCI in the shareholders’ equity section of the balance sheet.

The revenue and expense accounts of foreign subsidiaries are translated into U.S. dollars at the average exchange rates that prevailed during the period. Therefore, the U.S. dollar value of these items on the income statement fluctuates from period to period, depending on the value of the dollar against foreign currencies. Some transactions are made in currencies different from an entity’s functional currency. Gains and losses from these foreign currency transactions are generally included in earnings as they occur.

Environmental Expenditures

Accruals for environmental loss contingencies are recorded when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Remediation costs are capitalized if the costs improve the Company’s property as compared with the condition of the property when originally constructed or acquired, or if the costs prevent environmental contamination from future operations. The Company expenses environmental costs related to existing conditions resulting from past or current operations and from which no current or future benefit is discernible.

The measurement of environmental liabilities is based on an evaluation of currently available information with respect to each individual site and considers factors such as existing technology, presently enacted laws and regulations, and prior experience in remediation of contaminated sites. An environmental liability related to cleanup of a contaminated site might include, for example, a provision for one or more of the following types of costs: site investigation and testing costs, cleanup costs, costs related to soil and water contamination resulting from tank ruptures, post-remediation monitoring costs, and outside legal fees. These liabilities include costs related to other potentially responsible parties to the extent that the Company has reason to believe such parties will not fully pay their proportionate share. They do not take into account any claims for recoveries from insurance or other parties and are not discounted.

As assessments and remediation progress at individual sites, the amount of projected cost is reviewed periodically, and the liability is adjusted to reflect additional technical and legal information that becomes available. Management has a well-established process in place to identify and monitor the Company’s environmental exposures. An environmental accrual analysis is prepared and maintained that lists all environmental loss contingencies, even where an accrual has not been established. This analysis assists in monitoring the Company’s overall environmental exposure and serves as a tool to facilitate ongoing communication among the Company’s technical experts, environmental managers, environmental lawyers, and financial management to ensure that required accruals are recorded and potential exposures disclosed.

Actual costs to be incurred at identified sites in future periods may vary from the estimates, given inherent uncertainties in evaluating environmental exposures. Refer to Note 16 for additional information on the Company’s environmental loss contingencies.

The accruals for environmental liabilities are reflected in the Consolidated Balance Sheets, primarily as part of other noncurrent liabilities, and will be paid over a period of up to 30 years.

Litigation

In the normal course of business, the Company is involved in legal proceedings. The Company accrues a liability for such matters when it is probable that a liability has been incurred and the amount can be reasonably estimated. When only a range of possible loss can be established, the most probable amount in the range is accrued. If no amount within this range is a better estimate than any other amount within the range, the minimum amount in the range is accrued. The accrual for a litigation loss contingency includes estimates of potential damages and other directly related costs expected to be incurred.

Share-Based Compensation

The Company has various share-based compensation programs, which include stock options, deferred stock units, and restricted stock. Refer to Note 18. The Company expenses the grant-date fair value of these awards over the vesting period during which employees perform related services.

Income Taxes

The Company accounts for income taxes under the liability method. Under this method, deferred tax assets and liabilities are recognized for the tax effects of temporary differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates. A principal temporary difference results from the excess of tax depreciation over book depreciation because accelerated methods of depreciation and shorter useful lives are used for income tax purposes. The cumulative impact of a change in tax rates or regulations is included in income tax expense in the period that includes the enactment date.

Effective 1 October 2007, the Company adopted the guidance on the accounting for uncertainty in income taxes. Based on this guidance, a tax benefit for an uncertain tax position is recognized when it is more likely than not that the position will be sustained upon examination based on its technical merits. This position is measured as the largest amount of tax benefit that is greater than 50% likely of being realized. Interest and penalties related to unrecognized tax benefits are recognized as a component of income tax expense.

Cash and Cash Items

Cash and cash items include cash, time deposits, and certificates of deposit acquired with an original maturity of three months or less.

Allowances for Doubtful Accounts

The allowances for doubtful accounts represent estimated uncollectible receivables associated with potential customer defaults on contractual obligations. A provision for customer defaults is made on a general formula basis when it is determined that the risk of some default is probable and estimable but cannot yet be associated with specific customers. The assessment of the likelihood of customer defaults is based on various factors, including the length of time the receivables are past due, historical experience, and existing economic conditions. The allowances also include amounts for certain customers where a risk of default has been specifically identified considering factors such as the financial condition of the customer and customer disputes over contractual terms and conditions. Provisions to the allowances for doubtful accounts charged against income were $37.8, $14.4, and $11.0 in 2009, 2008, and 2007, respectively.

Inventories

Inventories are stated at the lower of cost or market. The Company writes down its inventories for estimated obsolescence or unmarketable inventory based upon assumptions about future demand and market conditions.

The Company utilizes the last-in, first-out (LIFO) method for determining the cost of inventories in the Merchant Gases, Tonnage Gases, and Electronics and Performance Materials segments in the United States. Inventories for these segments outside of the United States are accounted for on the first-in, first-out (FIFO) method, as the LIFO method is not generally permitted in the foreign jurisdictions where these segments operate. The inventories of the Equipment and Energy segment on a worldwide basis, as well as all other inventories, are accounted for on the FIFO basis.

At the business segment level, inventories are recorded at FIFO and the LIFO pool adjustments are not allocated to the business segments.

Equity Investments

The equity method of accounting is used when the Company has a 20% or greater interest in other companies and exercises significant influence but does not have operating control. Under the equity method, original investments are recorded at cost and adjusted by the Company’s share of undistributed earnings or losses of these companies. Equity investments are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment may not be recoverable.

Plant and Equipment

Plant and equipment is stated at cost less accumulated depreciation. Construction costs, labor, and applicable overhead related to installations are capitalized. Expenditures for additions and improvements that extend the lives or increase the capacity of plant assets are capitalized. The costs of maintenance and repairs of plant and equipment are charged to expense as incurred.

Fully depreciated assets are retained in the gross plant and equipment and accumulated depreciation accounts until they are removed from service. In the case of disposals, assets and related depreciation are removed from the accounts, and the net amounts, less proceeds from disposal, are included in income.

Capitalized Interest

As the Company builds new plant and equipment, it includes in the cost of these assets a portion of the interest payments it makes during the year. The amount of capitalized interest was $21.9, $22.1, and $12.9 in 2009, 2008, and 2007, respectively.

Asset Retirement Obligations

The fair value of a liability for an asset retirement obligation is recognized in the period in which it is incurred. The liability is measured at discounted fair value and is adjusted to its present value in subsequent periods as accretion expense is recorded. The corresponding asset retirement costs are capitalized as part of the carrying amount of the related long-lived asset and depreciated over the asset’s useful life. The Company’s asset retirement obligations are primarily associated with Tonnage Gases on-site long-term supply contracts, under which the Company has built a facility on land leased from the customer and is obligated to remove the facility at the end of the contract term. The Company’s asset retirement obligations totaled $43.5 and $41.3 at 30 September 2009 and 2008, respectively.

Computer Software

The Company capitalizes costs incurred to purchase or develop software for internal use. Capitalized costs include purchased computer software packages, payments to vendors/consultants for development and implementation or modification to a purchased package to meet Company requirements, payroll and related costs for employees directly involved in development, and interest incurred while software is being developed. Capitalized computer software costs are included in the balance sheet classification plant and equipment and depreciated over the estimated useful life of the software, generally a period of three to ten years. The Company’s SAP system is being depreciated over a ten-year life.

Impairment of Long-Lived Assets

Long-lived assets are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company assesses recoverability by comparing the carrying amount of the asset to estimated undiscounted future cash flows expected to be generated by the asset. If an asset is considered impaired, the impairment loss to be recognized is measured as the amount by which the asset’s carrying amount exceeds its fair value. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less cost to sell.

Goodwill

Acquisitions are accounted for using the purchase method. The purchase price is allocated to the assets acquired and liabilities assumed based on their estimated fair market values. Any excess purchase price over the fair market value of the net assets acquired, including identified intangibles, is recorded as goodwill. Preliminary purchase price allocations are made at the date of acquisition and finalized when information needed to affirm underlying estimates is obtained, within a maximum allocation period of one year.

Goodwill is subject to impairment testing at least annually. In addition, goodwill is tested more frequently if a change in circumstances or the occurrence of events indicates that potential impairment exists.

Intangible Assets

Intangible assets with determinable lives primarily consist of customer relationships, purchased patents, and technology. The Company has no acquired intangible assets with indefinite lives. The cost of intangible assets with determinable lives is amortized on a straight-line basis over the estimated period of economic benefit. No residual value is estimated for these intangible assets.

Customer relationships are generally amortized over periods of five to twenty-five years. Purchased patents and technology and other intangibles are amortized based on contractual terms, ranging generally from five to twenty years. Amortizable lives are adjusted whenever there is a change in the estimated period of economic benefit.

Retirement Benefits

The cost of retiree benefits is recognized over the employees’ service period. The Company is required to use actuarial methods and assumptions in the valuation of defined benefit obligations and the determination of expense. Differences between actual and expected results or changes in the value of obligations and plan assets are not recognized in earnings as they occur but, rather, systematically and gradually over subsequent periods. Refer to Note 15 for disclosures related to the Company’s pension and other postretirement benefits.

New Accounting Guidance	12 Months Ended
New Accounting Guidance	Sep. 30, 2009
New Accounting Guidance [Abstract]
New Accounting Guidance	2. New Accounting Guidance New Accounting Guidance to Be Implemented Consolidation of Variable Interest Entities In June 2009, the Financial Accounting Standards Board (FASB) issued authoritative guidance that amends previous guidance for determining whether an entity is a variable interest entity (VIE). It requires an enterprise to perform an analysis to determine whether the Company’s variable interests give it a controlling financial interest in a VIE. A company would be required to assess whether it has an implicit financial responsibility to ensure that a VIE operates as designed when determining whether it has the power to direct the activities of the VIE that most significantly impact the entity’s economic performance. In addition, ongoing reassessments of whether an enterprise is the primary beneficiary of a VIE are required. This guidance is effective for the Company for fiscal year 2011. The Company is currently evaluating the impact of this guidance. Business Combinations In December 2007, the FASB issued authoritative guidance to affirm that the acquisition method of accounting (previously referred to as the purchase method) be used for all business combinations and for an acquirer to be identified for each business combination. This guidance defines the acquirer as the entity that obtains control of one or more businesses in the business combination and establishes the acquisition date as the date that the acquirer achieves control. Among other requirements, the guidance requires the acquiring entity in a business combination to recognize at full fair value all the assets acquired and liabilities assumed in the transaction. If a business combination is achieved in stages, the previously-held ownership interest is adjusted to fair value at the acquisition date, and any resulting gain or loss is recognized in earnings. Contingent consideration is recognized at fair value at the acquisition date, and restructuring and acquisition-related costs are expensed as incurred. The fair value of assets and liabilities acquired, including uncertain tax positions, can be adjusted during the measurement period. Any adjustments after the measurement period, which cannot exceed one year, will be recognized in earnings. This guidance is effective for the Company in fiscal year 2010 and will be applied prospectively to any business combinations on or after 1 October 2009. Noncontrolling Interests In December 2007, the FASB issued authoritative guidance that establishes the accounting and reporting standards for the noncontrolling interest in a subsidiary and for the deconsolidation of a subsidiary. It requires entities to report noncontrolling interests in subsidiaries separately within equity in the consolidated financial statements. It also requires disclosure, on the face of the consolidated statement of income, of the amounts of consolidated net income attributable to the parent and noncontrolling interests. Changes in a parent’s ownership interests while the parent retains control are treated as equity transactions. If a parent loses control of a subsidiary, any retained noncontrolling interest would be measured at fair value with any gain or loss recognized in earnings. This guidance is effective for the Company in fiscal year 2010 and will be applied prospectively, except for the presentation and disclosure requirements related to noncontrolling interests, which are applied retrospectively for all periods presented. The Company’s financial statements issued after 1 October 2009 will reflect the new presentation. Employers’ Disclosures about Postretirement Benefit Plan Assets In December 2008, the FASB issued authoritative guidance to require employers to provide additional disclosures about plan assets of a defined benefit or other postretirement plan. Disclosures include information about investment policies and strategies, major categories of plan assets, the inputs and valuation techniques used to measure the fair value of plan assets, and significant concentrations of risk. This guidance is effective for the Company beginning with its fiscal year-end 2010. Upon initial application, this guidance is not required to be applied to earlier periods that are presented for comparative purposes. This guidance only requires additional disclosure and will not have an impact on the Company’s consolidated financial statements upon adoption. Accounting Guidance Implemented The FASB Accounting Standards Codification In June 2009, the FASB issued authoritative guidance that establishes the Accounting Standards Codification (Codification) as the source of authoritative U.S. generally accepted accounting principles (GAAP). The Codification is effective for financial statements issued for interim and annual periods ending after 15 September 2009. The Codification does not change current U.S. GAAP but reorganizes all authoritative literature in one place. On 1 July 2009, the Company adopted the Codification and changed the way it references U.S. GAAP. Accordingly, the Company’s Notes to the Consolidated Financial Statements will explain accounting concepts rather than cite the topics of specific U.S. GAAP. There was no impact on the consolidated financial statements. Disclosures about Subsequent Events In May 2009, the FASB established the authoritative guidance on accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued. Entities are also required to disclose the date through which subsequent events have been evaluated. The Company adopted this guidance beginning in the third quarter of 2009. Adoption of this guidance did not have a material impact on the Company’s consolidated financial statements. Refer to Note 21, Supplemental Information, for the required disclosure. Disclosures about Derivative Instruments and Hedging Activities In March 2008, the FASB issued authoritative guidance that expands the disclosure requirements for derivative instruments and hedging activities including: how and why an entity uses derivative instruments; how derivative instruments and related hedged items are accounted for; and how they affect an entity’s financial position, financial performance, and cash flows. This guidance, which became effective for the Company as of 1 January 2009, only requires additional disclosure and did not have an impact on the Company’s consolidated financial statements upon adoption. Refer to Note 12, Financial Instruments, for the required disclosures. Fair Value Option for Financial Assets and Financial Liabilities In February 2007, the FASB issued authoritative guidance that permits companies to elect to measure certain financial instruments at fair value on an instrument-by-instrument basis, with changes in fair value recognized in earnings each reporting period. It also establishes financial statement presentation and disclosure requirements for assets and liabilities reported at fair value under the election. The Company adopted this guidance as of 1 October 2008 and elected not to fair value any items under this guidance. Employers’ Accounting for Defined Benefit Pension and Other Postretirement Plans In September 2006, the FASB issued authoritative guidance surrounding employers’ accounting for defined benefit pension and other postretirement plans. Among other requirements, the guidance requires recognition of the funded status of benefit plans in the balance sheet, with changes in the funded status recognized in comprehensive income within shareholders’ equity in the year in which the changes occur and requires plan assets and obligations to be measured as of the balance sheet date. The requirement to recognize the funded status of benefit plans and the related disclosure requirements were effective for the Company as of 30 September 2007. The requirement to measure plan assets and benefit obligations as of fiscal year end is effective for fiscal years ending after 15 December 2008. Accordingly, as of 1 October 2008, the Company adopted the measurement date change for its U.K. and Belgium pension plans and changed the measurement date for these plans from 30 June to 30 September. As a result of this change, pension expense and actuarial gains/losses for the three-month period ended 30 September 2008 were recognized as adjustments to the beginning balances of retained earnings and AOCI, respectively. The after-tax charge to retained earnings was $8.1. AOCI was credited $35.8 for net actuarial gains on an after-tax basis. These adjustments only affected the balance sheet. Fair Value Measurements In September 2006, the FASB issued authoritative guidance that defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. Effective 1 October 2008, the Company adopted this guidance for financial assets and liabilities and any other assets and liabilities that are recognized and disclosed at fair value on a recurring basis. The adoption of this guidance did not impact the Company’s consolidated financial statements. Refer to Note 13, Fair Value Measurements, for the required disclosure. The requirement for other nonfinancial assets and liabilities was effective on 1 October 2009 for the Company. The Company does not expect the adoption of this guidance to have a material impact on the consolidated financial statements. Uncertainty in Income Taxes In June 2006, the FASB issued authoritative guidance that clarifies the accounting for uncertainty in income taxes. The guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. This guidance also provides requirements for derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The Company adopted this guidance on 1 October 2007. Upon adoption, the Company recognized a $25.1 increase to its liability for uncertain tax positions. This increase was recorded as an adjustment to beginning retained earnings for $13.3 and goodwill for $11.8.

Discontinued Operations

12 Months Ended

Sep. 30, 2009

Discontinued Operations [Abstract]

Discontinued Operations

4. Discontinued Operations

The U.S. Healthcare business, Polymer Emulsions business, and High Purity Process Chemicals (HPPC) business have been accounted for as discontinued operations. The results of operations of these businesses have been removed from the results of continuing operations for all periods presented. The assets and liabilities of discontinued operations have been reclassified and are segregated in the Consolidated Balance Sheets.

U.S. Healthcare

In 2007, the Company implemented several changes to improve performance in its U.S. Healthcare business, including management changes, product and service offering simplification, and other measures. However, market and competitive conditions were more challenging than anticipated and financial results did not meet expectations. In response to the disappointing financial results, during the third quarter of 2008, management conducted an evaluation of the strategic alternatives for the business. In July 2008, the Board of Directors authorized management to pursue the sale of this business. Accordingly, beginning in the fourth quarter of 2008, the U.S. Healthcare business was accounted for as discontinued operations.

In 2008, the Company recorded a total charge of $329.2 ($246.2 after-tax, or $1.12 per share) related to the impairment/write-down of the net carrying value of this business as follows:

•

In the third quarter of 2008, the Company determined that an interim test for goodwill impairment and other long-lived assets was required for its U.S. Healthcare reporting unit. The Company reforecast its cash flows and utilized the expected present value of the future cash flows to calculate fair value of the U.S. Healthcare reporting unit in completing its impairment test. A charge of $314.8 ($237.0 after-tax, or $1.09 per share) consisted of the impairment of goodwill for $294.3, intangible assets for $11.7, plant and equipment for $7.8, and other assets for $1.0. The impairment reduced the carrying amount of the U.S. Healthcare reporting unit goodwill and intangible assets to zero.

•

In the fourth quarter of 2008, the Company recorded a charge of $14.4 ($9.2 after-tax, or $.04 per share), reflecting an estimate of net realizable value.

In the first quarter of 2009, based on additional facts, the Company recorded an impairment charge of $48.7 ($30.9 after-tax, or $.15 per share), reflecting a revision in the estimated net realizable value of the U.S. Healthcare business. Also, a tax benefit of $8.8, or $.04 per share, was recorded to revise the estimated tax benefit related to previously recognized impairment charges.

As a result of events that occurred during the second quarter of 2009, which increased the Company’s ability to realize tax benefits associated with the impairment charges recorded in 2008, the Company recognized a one-time tax benefit of $16.7, or $.08 per share.

During the third quarter of 2009, the Company sold more than half of its remaining U.S. Healthcare business to OptionCare Enterprises, Inc., a subsidiary of Walgreen Co., and Landauer-Metropolitan, Inc. (LMI) for combined cash proceeds of $38.1. The Company recognized an after-tax gain of $.3 resulting from these sales combined with adjustments to the net realizable value of the remaining businesses.

During the fourth quarter of 2009, through a series of transactions with Rotech Healthcare, Inc. and with LMI, the Company sold its remaining U.S. Healthcare business for cash proceeds of $12.1. A net after-tax loss of $.7 was recognized. These transactions completed the disposal of the U.S. Healthcare business.

The operating results of the U.S. Healthcare business classified as discontinued operations are summarized below:


	2009			2008			2007

Sales	$	125.2		$	239.8		$	271.1

Loss before taxes	$	(5.5	)	$	(350.6	)	$	(24.4	)
Income tax benefit		(2.1	)		(91.2	)		(9.2	)

Loss from operations of discontinued operations		(3.4	)		(259.4	)		(15.2	)
Loss on sale of businesses and impairment/write-down to estimated net realizable value, net of tax		(5.5	)		(8.7	)		—

Loss from Discontinued Operations, net of tax	$	(8.9	)	$	(268.1	)	$	(15.2	)

Details of balance sheet items for the U.S. Healthcare business are summarized below:


30 September	2009		2008

Trade receivables, less allowances	$	.5	$	47.7
Inventories		—		7.2
Prepaid expenses		—		1.4
Other receivables		4.5		.2

Total Current Assets	$	5.0	$	56.5


Plant and equipment, net		—	$	58.7

Total Noncurrent Assets	$	—	$	58.7


Payables and accrued liabilities	$	14.4	$	6.8
Current portion long-term debt		—		1.0

Total Current Liabilities	$	14.4	$	7.8


Long-term debt	$	—	$	1.2

Total Noncurrent Liabilities	$	—	$	1.2

Polymer Emulsions Business

On 31 January 2008, the Company closed on the sale of its interest in its vinyl acetate ethylene (VAE) polymers joint ventures to Wacker Chemie AG, its long-time joint venture partner. As part of that agreement, the Company received Wacker Chemie AG’s interest in the Elkton, Md. and Piedmont, S.C. production facilities and their related businesses plus cash proceeds of $258.2. The Company recognized a gain of $89.5 ($57.7 after-tax, or $.26 per share) in the second quarter of 2008 for this sale, which consisted of the global VAE polymers operations, including production facilities located in Calvert City, Ky.; South Brunswick, N.J.; Cologne, Germany; and Ulsan, Korea, and commercial and research capabilities in Allentown, Pa. and Burghausen, Germany. The business produces VAE for use in adhesives, paints and coatings, paper, and carpet applications.

On 30 June 2008, the Company sold its Elkton, Md. and Piedmont, S.C. production facilities and the related North American atmospheric emulsions and global pressure sensitive adhesives businesses to Ashland, Inc. for $92.0. The Company recorded a gain of $30.5 ($18.5 after-tax, or $.08 per share) in connection with the sale, which included the recording of a retained environmental obligation associated with the Piedmont site. The expense to record the environmental obligation was $24.0 ($14.5 after-tax, or $.07 per share). The Piedmont site is under active remediation for contamination caused by an insolvent prior owner. Before the sale, which triggered expense recognition, remediation costs had been capitalized since they improved the property as compared to its condition when originally acquired. The sale of the Elkton and Piedmont facilities completed the disposal of the Company’s Polymer Emulsions business.

The operating results of the Polymer Emulsions business classified as discontinued operations are summarized below:


	2009		2008		2007

Sales	$	—	$	261.4	$	618.6

Income before taxes	$	—	$	17.7	$	61.4
Income tax provision		—		6.4		23.1

Income from operations of discontinued operations		—		11.3		38.3
Gain on sale of business, net of tax		.3		76.2		—

Income from Discontinued Operations, net of tax	$	.3	$	87.5	$	38.3

There were no assets and liabilities classified as discontinued operations for the Polymer Emulsions business at 30 September 2009 and 2008.

HPPC Business

In September 2007, the Company’s Board of Directors approved the sale of its HPPC business, which had previously been reported as part of the Electronics and Performance Materials operating segment. The Company’s HPPC business consisted of the development, manufacture, and supply of high-purity process chemicals used in the fabrication of integrated circuits in the United States and Europe. The Company wrote down the assets of the HPPC business to net realizable value as of 30 September 2007, resulting in a loss of $15.3 ($9.3 after-tax, or $.04 per share) in the fourth quarter of 2007.

In October 2007, the Company executed an agreement of sale with KMG Chemicals, Inc. The sale closed on 31 December 2007 for cash proceeds of $69.3 and included manufacturing facilities in the United States and Europe.

The operating results of the HPPC business classified as discontinued operations are summarized below:


	2009		2008			2007

Sales	$	—	$	22.9		$	87.2

Income before taxes	$	—	$	.1		$	3.7
Income tax provision		—		—			1.5

Income from operations of discontinued operations		—		.1			2.2
Loss on sale of business, net of tax		—		(.3	)		(9.3	)

Loss from Discontinued Operations, net of tax	$	—	$	(.2	)	$	(7.1	)

There were no assets and liabilities classified as discontinued operations for the HPPC business at 30 September 2009. Assets and liabilities were not material at 30 September 2008.

Total Discontinued Operations

The operating results on a combined basis of the U.S. Healthcare, Polymers Emulsions, and HPPC businesses classified as discontinued operations are summarized below:


	2009			2008			2007

Sales	$	125.2		$	524.1		$	976.9

Income (loss) before taxes	$	(5.5	)	$	(332.8	)	$	40.7
Income tax (benefit) provision		(2.1	)		(84.8	)		15.4

Income (loss) from operations of discontinued operations		(3.4	)		(248.0	)		25.3
Gain (loss) on sale of businesses and impairment/write-down to estimated net realizable value, net of tax		(5.2	)		67.2			(9.3	)

Income (Loss) from Discontinued Operations, net of tax	$	(8.6	)	$	(180.8	)	$	16.0

Financial Instruments

12 Months Ended

Sep. 30, 2009

Financial Instruments [Abstract]

Financial Instruments

12. Financial Instruments

Currency Price Risk Management

The Company’s earnings, cash flows, and financial position are exposed to foreign currency risk from foreign currency denominated transactions and net investments in foreign operations. It is the policy of the Company to minimize its cash flow volatility to changes in currency exchange rates. This is accomplished by identifying and evaluating the risk that the Company’s cash flows will change in value due to changes in exchange rates and by determining the appropriate strategies necessary to manage such exposures. The Company’s objective is to maintain economically balanced currency risk management strategies that provide adequate downside protection.

Forward Exchange Contracts

The Company enters into forward exchange contracts to reduce the cash flow exposure to foreign currency fluctuations associated with highly anticipated cash flows and certain firm commitments such as the purchase of plant and equipment. Forward exchange contracts are also used to hedge the value of investments in certain foreign subsidiaries and affiliates by creating a liability in a currency in which the Company has a net equity position.

In addition to the foreign exchange contracts that are designated as hedges, the Company also hedges foreign currency exposures utilizing forward exchange contracts that are not designated as hedges. These contracts are used to hedge foreign currency-denominated monetary assets and liabilities, primarily working capital. The primary objective of these forward contracts is to protect the value of foreign currency-denominated monetary assets and liabilities from the effects of volatility in foreign exchange rates that might occur prior to their receipt or settlement.

Option Contracts

In certain limited situations, the Company enters into option contracts to manage cash flow exposures to foreign currency fluctuations. Similar to forward contracts, these instruments are evaluated for hedge accounting treatment and are recognized on the balance sheet at fair value.

The table below summarizes the Company’s outstanding currency price risk management instruments:


	2009				2008
			Years				Years
	US$		Average		US$		Average
30 September	Notional		Maturity		Notional		Maturity

Forward exchange contracts:
Cash flow hedges	$	1,799.3		.8	$	1,839.9		.5
Net investment hedges		873.6		3.5		749.5		4.0
Fair value hedges		2.7		.4		10.3		.3
Hedges not designated		330.3		.6		267.4		.1

Total Forward Exchange Contracts	$	3,005.9		1.6	$	2,867.1		1.3

Options:
Cash flow hedges	$	—		—	$	26.0		.3

Total Options	$	—		—	$	26.0		.3

In addition to the above, the Company uses foreign currency denominated debt and qualifying intercompany loans to hedge the foreign currency exposures of the Company’s net investment in certain foreign affiliates. The designated foreign currency denominated debt includes €1,013.0 at 30 September 2009 and €1,450.0 at 30 September 2008. The designated intercompany loans include €437.0 at 30 September 2009. There were no designated intercompany loans as of 30 September 2008.

Debt Portfolio Management

It is the policy of the Company to identify on a continuing basis the need for debt capital and evaluate the financial risks inherent in funding the Company with debt capital. Reflecting the result of this ongoing review, the debt portfolio and hedging program of the Company are managed with the objectives and intent to (1) reduce funding risk with respect to borrowings made by the Company to preserve the Company’s access to debt capital and provide debt capital as required for funding and liquidity purposes, and (2) manage the aggregate interest rate risk and the debt portfolio in accordance with certain debt management parameters.

Interest Rate Swap Contracts

The Company enters into interest rate swap contracts to change the fixed/variable interest rate mix of its debt portfolio in order to maintain the percentage of fixed- and variable-rate debt within the parameters set by management. In accordance with these parameters, the agreements are used to optimize interest rate risks and costs inherent in the Company’s debt portfolio. In addition, the Company also uses interest rate swap agreements to hedge the interest rate on anticipated fixed-rate debt issuance. The notional amount of the interest rate swap agreements are equal to or less than the designated debt instrument being hedged. When variable-rate debt is hedged, the variable-rate indices of the swap instruments and the debt to which they are designated are the same. It is the Company’s policy not to enter into any interest rate swap contracts which lever a move in interest rates on a greater than one-to-one basis.

Cross Currency Interest Rate Swap Contracts

The Company also enters into cross currency interest rate swap contracts. These contracts may entail both the exchange of fixed- and floating-rate interest payments periodically over the life of the agreement and the exchange of one currency for another currency at inception and at a specified future date. These contracts effectively convert the currency denomination of a debt instrument into another currency in which the Company has a net equity position while changing the interest rate characteristics of the instrument. The contracts are used to hedge intercompany and third-party borrowing transactions and certain net investments in foreign operations.

The following table summarizes the Company’s outstanding interest rate swaps and cross currency interest rate swaps:


	2009								2008
	US$					Average			US$					Average
30 September	Notional		Pay %			Receive %			Notional		Pay %			Receive %

Interest rate swaps (fair value hedge)	$	327.2	6 month LIBOR				4.47	%	$	321.9	6 month LIBOR				4.49	%

Cross currency interest rate swaps (net investment hedge)	$	32.2		5.54	%		5.48	%	$	40.3		5.55	%		3.89	%

Commodity Price Risk Management

The Company has entered into a limited number of commodity swap contracts in order to reduce the cash flow exposure to changes in the price of natural gas relative to certain oil-based feedstocks. The Company has also entered into forward contracts, hedging the cash flow exposure of changes in the market price of certain metals which are raw materials used in the fabrication of certain industrial gas equipment, with the overall intent of locking in or minimizing its price exposure to these base metals. As of 30 September 2009, there were no outstanding contracts hedging the changes in the market price of metals.

The table below summarizes the Company’s outstanding commodity contracts:


	2009				2008
			Years				Years
	US$		Average		US$		Average
30 September	Notional		Maturity		Notional		Maturity

Energy	$	18.5		.2	$	72.6		.8
Metals		—		—		4.2		.2

Total Commodity Contracts	$	18.5		.2	$	76.8		.8

The table below summarizes the fair value and balance sheet location of the Company’s outstanding derivatives:


		2009		2008			2009		2008

	Balance Sheet	Fair		Fair		Balance Sheet	Fair		Fair
30 September	Location	Value		Value		Location	Value		Value

Derivatives Designated as Hedging Instruments:
Foreign exchange contracts	Other receivables	$	48.8	$	34.1	Accrued liabilities	$	55.1	$	78.5
Interest rate swap contracts	Other receivables		—		1.2	Accrued liabilities		.4		—
Commodity swap contracts	Other receivables		4.3		5.9	Accrued liabilities		2.4		2.5
Foreign exchange contracts	Other noncurrent assets		10.0		19.6	Other noncurrent liabilities		45.4		29.8
Interest rate swap contracts	Other noncurrent assets		15.1		4.4	Other noncurrent liabilities		3.0		3.5
Commodity swap contracts	Other noncurrent assets		—		1.8	Other noncurrent liabilities		—		.4

Total Derivatives Designated as Hedging Instruments		$	78.2	$	67.0		$	106.3	$	114.7

Derivatives Not Designated as Hedging Instruments:
Foreign exchange contracts	Other receivables	$	1.0	$	1.2	Accrued liabilities	$	3.4	$	.9

Total Derivatives		$	79.2	$	68.2		$	109.7	$	115.6

Refer to Note 13, Fair Value Measurements, which defines fair value, describes the method for measuring fair value, provides additional disclosures regarding fair value measurements, and discusses the Company’s counterparty risk.

The table below summarizes the gain or loss related to the Company’s cash flow, net investment, and non-designated hedges. The amounts of gain or loss associated with the outstanding fair value hedges are not material.


	Year Ended 30 September
	Forward						Foreign
	Exchange Contract						Currency Debt					Other ^(A)						Total
	2009			2008			2009		2008			2009			2008			2009			2008

Cash Flow Hedges:
Net (gain) loss recognized in OCI (effective portion)	$	7.2		$	74.0		$	—	$	—		$	(2.7	)	$	.4		$	4.5		$	74.4
Net gain (loss) reclassified from OCI to sales/cost of sales (effective portion)		(4.1	)		4.6			—		—			5.3			(1.1	)		1.2			3.5
Net gain (loss) reclassified from OCI to other (income) expense (effective portion)		(1.0	)		(53.5	)		—		—			—			—			(1.0	)		(53.5	)
Net gain (loss) reclassified from OCI to other (income) expense (ineffective portion)		.5			(.7	)		—		—			—			—			.5			(.7	)

Net Investment Hedges:
Net (gain) loss recognized in OCI	$	27.1		$	(15.4	)	$	31.3	$	(5.1	)	$	(2.4	)	$	(3.5	)	$	56.0		$	(24.0	)

Derivatives Not Designated as Hedging Instruments:
Net loss recognized in other (income) expense ^(B)	$	14.5		$	19.0		$	—	$	—		$	—		$	—		$	14.5		$	19.0


^(A)		Other includes the impact on Other Comprehensive Income (OCI) and earnings related to commodity swap contracts, interest rate swaps, and currency option contracts.

^(B)		The impact of the non-designated hedges noted above was largely offset by gains and losses, respectively, resulting from the impact of changes in exchange rates on recognized assets and liabilities denominated in nonfunctional currencies.

Credit Risk-Related Contingent Features

Certain derivative instruments are executed under agreements that require the Company to maintain a credit rating of at least A- from Standard & Poor’s and A3 from Moody’s. If the Company’s credit rating falls below these levels, the counterparty to the derivative instruments has the right to request full collateralization on the derivatives’ net liability position. The net liability position of derivatives with credit risk-related contingent features was $35.0 and $21.5 as of 30 September 2009 and 2008, respectively. Because of the Company’s current credit rating of A from Standard & Poor’s and A2 from Moody’s, no collateral has been posted on these liability positions.

Counterparty Credit Risk Management

The Company executes all derivative transactions with counterparties that are highly rated financial institutions and all of which are investment grade at this time. Some of the Company’s underlying derivative agreements give the Company the right to require the institution to post collateral if its credit rating falls below A- from Standard & Poor’s or A3 from Moody’s. These are the same agreements referenced in Credit Risk-Related Contingent Features above. The collateral that the counterparties would be required to post is $14.7 as of 30 September 2009 and $14.1 as of 30 September 2008. No financial institution is required to post collateral at this time, as all have credit ratings at or above the threshold.

Fair Value Measurements

12 Months Ended

Sep. 30, 2009

Fair Value Measurements [Abstract]

Fair Value Measurements

13. Fair Value Measurements

Fair value is defined as an exit price (i.e., the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date). The methods and assumptions used to measure the fair value of financial instruments are as follows:

Derivatives

The fair value of the Company’s interest rate swap agreements and foreign exchange contracts are based on estimates using standard pricing models that take into account the present value of future cash flows as of the balance sheet date. The computation of the fair values of these instruments is generally performed by the Company. These standard pricing models utilize inputs which are derived from or corroborated by observable market data such as interest rate yield curves and currency spot and forward rates. In addition, on an ongoing basis, the Company randomly tests a subset of its valuations against valuations received from the counterparty to the transaction to validate the accuracy of its standard pricing models. The fair value of commodity swaps is based on current market price as provided by the financial institutions with which the commodity swaps have been executed. Counterparties to these derivative contracts are highly rated financial institutions.

Other Investments

The fair value of other investments is based on quoted market prices in publicly traded companies from the New York and Tokyo Stock Exchanges. Other investments are reported within other noncurrent assets on the balance sheet.

Long-term Debt

The fair value of the Company’s debt is based on estimates using standard pricing models that take into account the present value of future cash flows as of the balance sheet date, and these standard valuation models utilize observable market data such as interest rate yield curves and currency spot rates. The computation of the fair value of these instruments is generally performed by the Company.

The carrying values and fair values of financial instruments were as follows:


30 September	2009				2008
	Carrying Value		Fair Value		Carrying Value		Fair Value

Assets
Derivatives
Foreign exchange contracts	$	59.8	$	59.8	$	54.9	$	54.9
Interest rate swap contracts		15.1		15.1		5.6		5.6
Commodity swap contracts		4.3		4.3		7.7		7.7
Other investments		19.4		19.4		15.6		15.6

Liabilities
Derivatives
Foreign exchange contracts	$	103.9	$	103.9	$	109.2	$	109.2
Interest rate swap contracts		3.4		3.4		3.5		3.5
Commodity swap contracts		2.4		2.4		2.9		2.9
Long-term debt, including current portion		4,167.7		4,479.5		3,547.5		3,581.5

The carrying amounts reported in the balance sheet for cash and cash items, trade receivables, payables and accrued liabilities, accrued income taxes, and short-term borrowings approximate fair value due to the short-term nature of these instruments. Accordingly, these items have been excluded from the above table.

The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows:

Level 1—Quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2—Inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the asset or liability.

Level 3—Inputs that are unobservable for the asset or liability based on the Company’s own assumptions (about the assumptions market participants would use in pricing the asset or liability).

The following table summarizes assets and liabilities measured at fair value on a recurring basis in the Consolidated Balance Sheets:

30 September 2009

Total

Level 1

Level 2

Level 3

Assets at Fair Value

Derivatives

Foreign exchange contracts

59.8

—

59.8

—

Interest rate swap contracts

15.1

—

15.1

—

Commodity swap contracts

4.3

—

4.3

—

Other investments

19.4

—

Total Assets at Fair Value

98.6

19.4

79.2

—

Liabilities at Fair Value

Derivatives

Foreign exchange contracts

103.9

—

103.9

—

Interest rate swap contracts

3.4

—

3.4

—

Commodity swap contracts

2.4

—

2.4

—

Total Liabilities at Fair Value

109.7

—

109.7

—

Retirement Benefits

12 Months Ended

Sep. 30, 2009

Retirement Benefits [Abstract]

Retirement Benefits

15. Retirement Benefits

The Company and certain of its subsidiaries sponsor defined benefit pension plans and defined contribution plans that cover a substantial portion of its worldwide employees. The principal defined benefit pension plans are the U.S. Salaried Pension Plan and the U.K. Pension Plan. These plans were closed to new participants in 2005 and were replaced with defined contribution plans. The principal defined contribution plan is the Retirement Savings Plan, in which a substantial portion of the U.S. employees participate; a similar plan is offered to U.K. employees. The Company also provides other postretirement benefits consisting primarily of healthcare benefits to U.S. retirees who meet age and service requirements.

Defined Benefit Pension Plans

Pension benefits earned are generally based on years of service and compensation during active employment. The cost of the Company’s defined benefit pension plans included the following components:


	2009						2008						2007
	U.S.			International			U.S.			International			U.S.			International

Service cost	$	33.9		$	26.6		$	42.3		$	35.4		$	45.8		$	35.8
Interest cost		124.0			60.9			117.6			63.3			112.0			56.3
Expected return on plan assets		(146.5	)		(55.3	)		(143.2	)		(63.6	)		(131.2	)		(56.9	)
Amortization:
Prior service cost		2.6			1.3			1.9			1.3			2.2			2.0
Transition		—			—			—			.1			—			.1
Actuarial loss		6.2			10.8			19.6			18.3			33.6			23.9
Settlements and curtailments		9.7			4.8			29.9			.4			10.3			—
Special termination benefits		7.2			22.1			.1			1.1			.7			1.3
Other		—			1.7			—			2.5			—			2.6

Net Periodic Pension Cost	$	37.1		$	72.9		$	68.2		$	58.8		$	73.4		$	65.1

The Company calculated net periodic pension cost for a given fiscal year based on assumptions developed at the end of the previous fiscal year. The following table sets forth the weighted average assumptions used in the calculation of net periodic pension cost:


	2009						2008						2007
	U.S.			International			U.S.			International			U.S.			International

Discount rate		7.6	%		6.5	%		6.4	%		5.7	%		6.0	%		5.1	%
Expected return on plan assets		8.8	%		7.4	%		9.5	%		7.5	%		9.5	%		7.4	%
Rate of compensation increase		4.3	%		4.4	%		4.5	%		3.8	%		4.5	%		3.6	%

The Company’s supplemental pension plan provides for a lump sum benefit payment option at the time of retirement, or for corporate officers, six months after the participant’s retirement date. The Company recognizes pension settlements when payments exceed the sum of service and interest cost components of net periodic pension cost of the plan for the fiscal year. A settlement loss is recognized when the pension obligation is settled. Based on the timing of when cash payments were made, the Company recognized $10.7, $30.3, and $10.3 of settlement charges in 2009, 2008, and 2007, respectively.

Special termination benefits for fiscal year 2009 included $28.5 for the global cost reduction plan. The global cost reduction charge also included $3.8 for curtailment losses related to the U.K. pension plans.

The projected benefit obligation (PBO) is the actuarial present value of benefits attributable to employee service rendered to date, including the effects of estimated future salary increases. The following table sets forth the weighted average assumptions used in the calculation of the PBO:


	2009						2008
	U.S.			International			U.S.			International

Discount rate		5.7	%		5.5	%		7.6	%		6.5	%
Rate of compensation increase		4.3	%		3.7	%		4.3	%		4.4	%

The following table reflects the change in the PBO and the change in the fair value of plan assets based on the plan year measurement date, as well as the amounts recognized in the Consolidated Balance Sheets. In 2009, the Company used a measurement date of 30 September for all plans. In 2008, the U.K. and Belgium plans were measured as of 30 June.


	2009						2008
	U.S.			International			U.S.			International

Change in Pension Benefit Obligation
Obligation at beginning of year	$	1,638.7		$	1,093.0		$	1,894.9		$	1,138.2
Measurement date change		—			(78.5	)		—			—
Service cost		33.9			26.6			42.3			35.4
Interest cost		124.0			60.9			117.6			63.3
Amendments		.9			.6			1.1			.2
Actuarial loss (gain)		498.0			173.4			(291.8	)		16.0
Special termination benefits, settlements, and curtailments		12.8			23.5			13.8			1.7
Participant contributions		—			4.6			—			4.6
Benefits paid		(97.8	)		(60.9	)		(132.7	)		(42.1	)
Currency translation/other		—			(67.7	)		(6.5	)		(124.3	)

Obligation at End of Year	$	2,210.5		$	1,175.5		$	1,638.7		$	1,093.0


Change in Plan Assets
Fair value at beginning of year	$	1,424.7		$	793.5		$	1,673.8		$	926.3
Actual return on plan assets		9.4			41.6			(279.8	)		(53.2	)
Company contributions		121.4			63.4			168.9			62.5
Participant contributions		—			4.6			—			4.6
Benefits paid		(97.8	)		(60.9	)		(132.7	)		(42.1	)
Currency translation/other		—			(48.9	)		(5.5	)		(104.6	)

Fair Value at End of Year	$	1,457.7		$	793.3		$	1,424.7		$	793.5


Funded Status at End of Year	$	(752.8	)	$	(382.2	)	$	(214.0	)	$	(299.5	)
Employer contributions for U.K. and Belgium after the measurement date		—			—			—			2.6

Net Amount Recognized	$	(752.8	)	$	(382.2	)	$	(214.0	)	$	(296.9	)


Amounts Recognized
Noncurrent assets	$	—		$	8.4		$	—		$	26.6
Accrued liabilities		(210.5	)		(137.4	)		(90.9	)		(32.6	)
Noncurrent liabilities		(542.3	)		(253.2	)		(123.1	)		(290.9	)

Net Amount Recognized	$	(752.8	)	$	(382.2	)	$	(214.0	)	$	(296.9	)

The changes in plan assets and benefit obligation that have been recognized in AOCI on a pretax basis during 2009 and 2008 consist of the following:


	2009						2008
	U.S.			International			U.S.			International

Net actuarial loss arising during the period	$	640.8		$	148.2		$	145.4		$	131.8
Measurement date change		—			(49.8	)		—			—
Amortization of net actuarial loss		(15.9	)		(15.6	)		(49.5	)		(18.7	)
Prior service cost arising during the period		.8			.6			.9			.2
Amortization of prior service cost		(2.6	)		(1.3	)		(1.9	)		(1.3	)
Amortization of net transition liability		—			—			—			(.1	)

Total Recognized in AOCI	$	623.1		$	82.1		$	94.9		$	111.9

The net actuarial loss represents the actual changes in the estimated obligation and plan assets that have not yet been recognized in the income statement and are included in AOCI. Actuarial losses arising during 2009 are primarily attributable to lower discount rates and actual asset returns below expected returns. Actuarial gains and losses are not recognized immediately, but instead are accumulated as a part of the unrecognized net loss balance and amortized into net periodic pension cost over the average remaining service period of participating employees as certain thresholds are met.

The components recognized in AOCI on a pretax basis at 30 September consisted of:


	2009				2008
	U.S.		International		U.S.		International

Net actuarial loss	$	976.9	$	450.9	$	352.0	$	368.1
Prior service cost		18.3		6.8		20.1		7.5
Net transition liability		—		.4		—		.4

Total Recognized in AOCI	$	995.2	$	458.1	$	372.1	$	376.0

The amount of AOCI at 30 September 2009 that is expected to be recognized as a component of net periodic pension cost during fiscal year 2010 is as follows:


	U.S.		International

Net actuarial loss	$	46.4	$	17.7
Prior service cost		2.6		.7

The assets of the Company’s defined benefit pension plans consist primarily of equity and fixed-income securities. Except where the Company’s equity is a component of an index fund, the defined benefit plans are prohibited by Company policy from holding shares of Company stock.

Asset allocation targets are established based on the long-term return and volatility characteristics of the investment classes and recognize the benefit of diversification and the profiles of the plans’ liabilities. The actual and target allocations at the measurement date are as follows:


	2009 Target Allocation						2009 Actual Allocation						2008 Actual Allocation
Asset Category	U.S.			International			U.S.			International			U.S.			International

Equity securities		60–80	%		50–60	%		68	%		56	%		65	%		61	%
Debt securities		20–30	%		34–47	%		26	%		39	%		26	%		34	%
Real estate/other		0-10	%		2-4	%		5	%		3	%		8	%		2	%
Cash		—			—			1	%		2	%		1	%		3	%

Total								100	%		100	%		100	%		100	%

The Company employs a mix of active and passive investment strategies. Over a full market cycle, the total return on plan assets is expected to exceed that of a passive strategy tracking index returns in each asset category.

The expected return on plan assets assumption is based on an estimated weighted average of long-term returns of major asset classes. In determining asset class returns, the Company takes into account long-term returns of major asset classes, historical performance of plan assets, and related value of active management, as well as the current interest rate environment.

The Company anticipates contributing approximately $360 to the defined benefit pension plans in 2010.

Projected benefit payments, which reflect expected future service, are as follows:


	U.S.		International

2010	$	89.0	$	41.5
2011		94.8		42.5
2012		102.0		46.0
2013		110.9		46.6
2014		118.4		48.4
2015–2019		724.4		267.2

These estimated benefit payments are based on assumptions about future events. Actual benefit payments may vary significantly from these estimates.

The accumulated benefit obligation (ABO) is the actuarial present value of benefits attributed to employee service rendered to a particular date, based on current salaries. The ABO for all defined benefit pension plans was $2,970.8 and $2,268.3 at the end of 2009 and 2008, respectively.

The following table provides information on pension plans where the ABO exceeds the value of plan assets:


	2009				2008
	U.S.		International		U.S.		International

PBO	$	2,210.5	$	1,008.0	$	244.2	$	941.8
ABO		1,885.0		955.5		204.1		776.2
Plan assets		1,457.7		620.2		106.8		625.0

Included in the table above are several pension arrangements that are not funded because of jurisdictional practice. The ABO and PBO related to these plans for 2009 were $130.5 and $176.3, respectively.

Defined Contribution Plans

The Company maintains a nonleveraged employee stock ownership plan (ESOP) which forms part of the Air Products and Chemicals, Inc. Retirement Savings Plan (RSP). The ESOP was established in May of 2002. The balance of the RSP is a qualified defined contribution plan including a 401(k) elective deferral component. A substantial portion of U.S. employees are eligible and participate.

Dividends paid on ESOP shares are treated as ordinary dividends by the Company. Under existing tax law, the Company may deduct dividends which are paid with respect to shares held by the plan. Shares of the Company’s common stock in the ESOP totaled 5,601,191 as of 30 September 2009.

The Company matches a portion of the participants’ contributions to the RSP and other various worldwide defined contribution plans. The Company’s contributions to the RSP include a Company core contribution for eligible employees (not participating in the defined benefit pension plans), with the core contribution based on a percentage of pay, and the percentage is based on years of service. For the RSP, the Company also makes matching contributions on overall employee contributions as a percentage of the employee contribution and includes an enhanced contribution for eligible employees (not participating in the defined benefit pension plans). Worldwide contributions expensed to income in 2009, 2008, and 2007 were $30.6, $30.1, and $28.6, respectively.

Other Postretirement Benefits

The Company provides other postretirement benefits consisting primarily of healthcare benefits to certain U.S. retirees who meet age and service requirements. The healthcare benefit is a continued medical benefit until the retiree reaches age 65. Healthcare benefits are contributory, with contribution percentages adjusted periodically. The retiree medical costs are capped at a specified dollar amount, with the retiree contributing the remainder.

The cost of the Company’s other postretirement benefit plans included the following components:


	2009			2008			2007

Service cost	$	4.0		$	5.9		$	5.9
Interest cost		6.5			5.8			5.4
Amortization:
Prior service credit		(1.4	)		(1.4	)		(1.8	)
Actuarial loss		.1			1.7			2.3

Net Periodic Postretirement Cost	$	9.2		$	12.0		$	11.8

The Company calculates net periodic postretirement cost for a given fiscal year based on assumptions developed at the end of the previous fiscal year. The discount rate assumption used in the calculation of net periodic postretirement cost for 2009, 2008, and 2007 was 7.4%, 5.7%, and 5.3%, respectively.

The Company measures the other postretirement benefits as of 30 September. The discount rate assumption used in the calculation of the accumulated postretirement benefit obligation was 4.2% and 7.4% for 2009 and 2008, respectively.

The following table reflects the change in the accumulated postretirement benefit obligation and the amounts recognized in the Consolidated Balance Sheets:


	2009			2008

Obligation at Beginning of Year	$	98.8		$	107.2
Service cost		4.0			5.9
Interest cost		6.5			5.8
Actuarial loss (gain)		18.7			(10.1	)
Benefits paid		(12.0	)		(10.0	)

Obligation at End of Year	$	116.0		$	98.8


Amounts Recognized
Accrued liabilities	$	13.5		$	11.3
Noncurrent liabilities		102.5			87.5

The changes in benefit obligation that have been recognized in AOCI on a pre-tax basis during 2009 and 2008 for the Company’s other postretirement benefit plans consist of the following:


	2009			2008

Net actuarial loss (gain) arising during the period	$	18.7		$	(10.1	)
Amortization of net actuarial loss		(.1	)		(1.7	)
Amortization of prior service credit		1.4			1.4

Total Recognized in AOCI	$	20.0		$	(10.4	)

The components recognized in AOCI on a pretax basis at 30 September consisted of:


	2009			2008

Net actuarial loss	$	30.6		$	12.0
Prior service credit		(.1	)		(1.5	)

Amount Recognized in AOCI	$	30.5		$	10.5

Of the 30 September 2009 actuarial loss and prior service credit, it is estimated that $2.7 and $(.2), respectively, will be amortized into net periodic postretirement cost over fiscal year 2010.

The assumed healthcare trend rates are as follows:


	2009			2008

Healthcare trend rate		9.5	%		10.0	%
Ultimate trend rate		5.0	%		5.0	%
Year the ultimate trend rate is reached		2014			2013

The effect of a change in the healthcare trend rate is slightly tempered by a cap on the average retiree medical cost. The impact of a one percentage point change in the assumed healthcare cost trend rate on net periodic postretirement cost and the obligation is not material.

Projected benefit payments are as follows:


2010	$	13.8
2011		13.9
2012		13.6
2013		13.1
2014		12.8
2015–2019		58.5

These estimated benefit payments are based on assumptions about future events. Actual benefit payments may vary significantly from these estimates.

Commitments and Contingencies

12 Months Ended

Sep. 30, 2009

Commitments and Contingencies [Abstract]

Commitments and Contingencies

16. Commitments and Contingencies

Litigation

The Company is involved in various legal proceedings, including competition, environmental, health, safety, product liability, and insurance matters. During the third quarter of 2008, a unit of the Brazilian Ministry of Justice issued a report (previously issued in January 2007, and then withdrawn) on its investigation of the Company’s Brazilian subsidiary, Air Products Brazil Ltda., and several other Brazilian industrial gas companies. The report recommended that the Brazilian Administrative Council for Economic Defense impose sanctions on Air Products Brazil Ltda. and the other industrial gas companies for alleged anticompetitive activities. The Company is actively defending this action and cannot, at this time, reasonably predict the ultimate outcome of the proceedings or sanctions, if any, that will be imposed. While the Company does not expect that any sums it may have to pay in connection with this or any other legal proceeding would have a materially adverse effect on its consolidated financial position or net cash flows, a future charge for regulatory fines or damage awards could have a significant impact on the Company’s net income in the period in which it is recorded.

Environmental

In the normal course of business, the Company is involved in legal proceedings under the federal Superfund law, similar state environmental laws, and RCRA relating to the designation of certain sites for investigation or remediation. Presently, there are approximately 28 sites on which a final settlement has not been reached where the Company, along with others, has been designated a potentially responsible party by the Environmental Protection Agency or is otherwise engaged in investigation or remediation. In addition, the Company is also involved in cleanup activities at certain of its manufacturing sites. The Company continually monitors these sites for which it has environmental exposure.

Accruals for environmental loss contingencies are recorded when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated consistent with the policy set forth in Note 1. The Consolidated Balance Sheets at 30 September 2009 and 2008 included an accrual of $95.0 and $82.9, respectively, primarily as part of other noncurrent liabilities. The environmental liabilities will be paid over a period of up to 30 years. The Company estimates the exposure for environmental loss contingencies to range from $95 to a reasonably possible upper exposure of $109 as of 30 September 2009.

Actual costs to be incurred at identified sites in future periods may vary from the estimates, given inherent uncertainties in evaluating environmental exposures. Using reasonably possible alternative assumptions of the exposure level could result in an increase to the environmental accrual. Due to the inherent uncertainties related to environmental exposures, a significant increase to the reasonably possible upper exposure level could occur if a new site is designated, the scope of remediation is increased, a different remediation alternative is identified, or a significant increase in the Company’s proportionate share occurs. While the Company does not expect that any sums it may have to pay in connection with environmental exposures would have a materially adverse effect on its consolidated financial position or net cash flows, a future charge for any damage award could have a significant impact on the Company’s net income in the period in which it is recorded.

Pace

At 30 September 2009, $38.3 of the environmental accrual was related to the Pace facility.

In 2006, the Company sold its Amines business, which included operations at Pace, Florida and recognized a liability for retained environmental obligations associated with remediation activities at Pace. The Company is required by the Florida Department of Environmental Protection (FDEP) and the United States Environmental Protection Agency (USEPA) to continue its remediation efforts. The Company estimated that it would take about 20 years to complete the groundwater remediation, and the costs through completion were estimated to range from $42 to $50. As no amount within the range was a better estimate than another, the Company recognized a pretax expense of $42.0 as a component of income from discontinued operations and recorded an environmental accrual of $42.0 in continuing operations on the Consolidated Balance Sheets. There has been no change to the estimated exposure range related to the Pace facility.

The Company has implemented many of the remedial corrective measures at the Pace, Florida facility required under 1995 Consent Orders issued by the FDEP and the USEPA. Contaminated soils have been bioremediated, and the treated soils have been secured in a lined on-site disposal cell. Several groundwater recovery systems have been installed to contain and remove contamination from groundwater. The Company completed an extensive assessment of the site to determine how well existing measures are working, what additional corrective measures may be needed, and whether newer remediation technologies that were not available in the 1990’s might be suitable to more quickly and effectively remove groundwater contaminants. Based on assessment results, the Company completed a focused feasibility study to identify new approaches to more effectively remove contaminants and is seeking the necessary approvals from the FDEP to implement those new approaches.

Piedmont

At 30 September 2009, $22.4 of the environmental accrual was related to the Piedmont site.

On 30 June 2008, the Company sold its Elkton, Maryland and Piedmont, South Carolina production facilities and the related North American atmospheric emulsions and global pressure sensitive adhesives businesses. In connection with the sale, the Company recognized a liability for retained environmental obligations associated with remediation activities at the Piedmont site. This site is under active remediation for contamination caused by an insolvent prior owner. Before the sale, which triggered expense recognition, remediation costs had been capitalized since they improved the property as compared to its condition when originally acquired. The Company is required by the South Carolina Department of Health and Environmental Control to address both contaminated soil and groundwater. Numerous areas of soil contamination have been addressed, and contaminated groundwater is being recovered and treated. The Company estimated that it would take until 2015 to complete source area remediation and another 15 years thereafter to complete groundwater recovery, with costs through completion estimated to be $24.0. The Company recognized a pretax expense in 2008 of $24.0 as a component of income from discontinued operations and recorded an environmental liability of $24.0 in continuing operations on the Consolidated Balance Sheets. There has been no change to the estimated exposure.

Paulsboro

At 30 September 2009, $16.0 of the environmental accrual was related to the Paulsboro site.

During the first quarter of 2009, management committed to a plan to sell the production facility in Paulsboro, New Jersey and recognized a $16.0 environmental liability associated with this site. The Company is required by the New Jersey state law to investigate and, if contaminated, remediate a site upon its sale. The Company estimates that it will take at least several years to complete the investigation/remediation efforts at this site.

Guarantees and Warranties

The Company is a party to certain guarantee agreements, including debt guarantees of equity affiliates and equity support agreements. These guarantees are contingent commitments that are related to activities of the Company’s primary businesses.

The Company has guaranteed repayment of some additional borrowings of certain unconsolidated equity affiliates. At 30 September 2009, these guarantees have terms in the range of one to nine years, with maximum potential payments of $34.3.

The Company has entered into an equity support agreement and operations guarantee related to an air separation facility constructed in Trinidad for a venture in which the Company owns 50%. At 30 September 2009, maximum potential payments under joint and several guarantees were $73.0. Exposures under the guarantee decline over time and are completely extinguished by 2024.

To date, no equity contributions or payments have been required since the inception of these guarantees. The fair value of the above guarantees is not material.

The Company, in the normal course of business operations, has issued product warranties in its Equipment business. Also, contracts often contain standard terms and conditions which typically include a warranty and indemnification to the buyer that the goods and services purchased do not infringe on third-party intellectual property rights. The provision for estimated future costs relating to warranties is not material to the consolidated financial statements.

The Company does not expect that any sum it may have to pay in connection with guarantees and warranties will have a materially adverse effect on its consolidated financial condition, liquidity, or results of operations.

Put Option Agreements

The Company has entered into put option agreements with certain affiliated companies as discussed below. The Company accounts for the put options as contingent liabilities to purchase an asset. Since the inception of these agreements and through 30 September 2009, the Company determined that it was not certain that these options would be exercised by the other shareholders.

In 2008, the Company entered into a put option agreement as part of the purchase of an additional interest in CryoService Limited, a cryogenic and specialty gases company in the U.K. The Company increased its ownership from 25% to 72%. Put options were issued which gave the other shareholders the right to require the Company to purchase their shares of CryoService Limited. The options are effective beginning January 2010 and are exercisable only within a 20-day option period each year. The option price is based on a multiple of earnings formula. The estimated U.S. dollar price of purchasing the remaining stock based on the exchange rate at 30 September 2009 would be approximately $41.

In 1999, the Company made an investment in INOX, an Indian industrial gases company. As part of that transaction, put options were issued which gave the other (joint 50%) shareholders the right to require the Company to purchase their shares (approximately 5.1 million) of INOX (renamed INOXAP) at a predefined price. The other shareholders may give notice to exercise the put option between October and December 2010. The option, if exercised, would be effective on 31 July 2011. The option may also be exercised within six months of the death or permanent incapacity of the current Managing Director of INOXAP. The option price is based on a multiple of earnings formula, but not less than 630 Rupees per share. The U.S. dollar price of purchasing all 5.1 million shares based on the multiple of earnings formula at the 30 September 2009 exchange rate would be approximately $115.

In 2002, the Company entered into a put option agreement as part of the purchase of an additional interest in San Fu Gas Company, Ltd., renamed Air Products San Fu Company, Ltd. (San Fu), an industrial gas company in Taiwan. Currently, the Company has an ownership interest of 74% in San Fu. Put options were issued which give other shareholders the right to sell San Fu stock to the Company at market price when exercised. The options are effective through January 2015 and allow for the sale of all stock owned by other shareholders to the Company. The estimated U.S. dollar price of purchasing the stock owned by other shareholders based on the exchange rate at 30 September 2009 would be approximately $215.

Purchase Obligations

The Company is obligated to make future payments under unconditional purchase obligations as summarized below:


2010	$	611.2
2011		119.5
2012		112.3
2013		114.8
2014		120.2
Thereafter		707.2

Total	$	1,785.2

Most of the Company’s long-term unconditional purchase obligations relate to feedstock supply for numerous HyCO (hydrogen, carbon monoxide, and syngas) facilities. The price of feedstock supply is principally related to the price of natural gas. However, long-term take-or-pay sales contracts to HyCO customers are generally matched to the term of the feedstock supply obligations and provide recovery of price increases in the feedstock supply. Due to the matching of most feedstock supply obligations to customer sales contracts, the Company does not believe these purchase obligations would have a material effect on its financial condition or results of operations.

The above unconditional purchase obligations include other product supply commitments and also electric power and natural gas supply purchase obligations. In addition, purchase commitments to spend approximately $369 for additional plant and equipment are included in the unconditional purchase obligations in 2010.

Share Based Compensation

12 Months Ended

Sep. 30, 2009

Share-based Compensation [Abstract]

Share-based Compensation

18. Share-Based Compensation

The Company has various share-based compensation programs, which include stock options, deferred stock units, and restricted stock. Under all programs, the terms of the awards are fixed at the grant date. The Company issues shares from treasury stock upon the exercise of stock options, the payout of deferred stock units, and the issuance of restricted stock awards. At 30 September 2009, there were 3,629,186 shares available for future grant under the Company’s Long-Term Incentive Plan, which is shareholder approved.

Share-based compensation cost recognized in the income statement is summarized below:


	2009			2008			2007

Cost of sales	$	7.9		$	8.7		$	9.5
Selling and administrative		46.9			47.0			57.0
Research and development		4.1			5.7			4.4
Global cost reduction plan		1.5			—			—

Before-Tax Share-Based Compensation Cost		60.4			61.4			70.9
Income tax benefit		(23.3	)		(23.6	)		(27.3	)

After-Tax Share-Based Compensation Cost	$	37.1		$	37.8		$	43.6

The amount of share-based compensation cost capitalized in 2009, 2008, and 2007 was not material.

Total before-tax share-based compensation cost by type of program was as follows:


	2009		2008		2007

Stock options	$	38.3	$	36.5	$	36.0
Deferred stock units		19.2		22.6		30.2
Restricted stock		2.9		2.3		4.7

Before-Tax Share-Based Compensation Cost	$	60.4	$	61.4	$	70.9

Stock Options

The Company has granted awards of options to purchase common stock to executives, selected employees, and outside directors. The exercise price of stock options equals the market price of the Company’s stock on the date of the grant. Options generally vest incrementally over three years, and remain exercisable for ten years from the date of grant. Options have not been issued to directors since 2005. Options outstanding with directors are exercisable six months after the grant date.

The fair value of options granted was estimated using a lattice-based option valuation model that used the assumptions noted in the table below. Expected volatility and expected dividend yield are based on actual historical experience of the Company’s stock and dividends over the historical period equal to the option term. The expected life represents the period of time that options granted are expected to be outstanding based on an analysis of Company-specific historical exercise data. The range given below results from certain groups of employees exhibiting different behavior. Separate groups of employees that have similar historical exercise behavior were considered separately for valuation purposes. The risk-free rate is based on the U.S. Treasury Strips with terms equal to the expected time of exercise as of the grant date.


	2009			2008			2007

Expected volatility		31.2	%		30.4	%		30.6	%
Expected dividend yield		2.1	%		2.1	%		2.1	%
Expected life (in years)		6.8-8.0			6.8-8.0			7.0-9.0
Risk-free interest rate		3.5%-3.9	%		4.5%-4.6	%		4.5%-4.7	%

The weighted average grant-date fair value of options granted during 2009, 2008, and 2007 was $20.86, $31.84, and $22.45 per option, respectively.

A summary of stock option activity is presented below:


				Weighted Average
Stock Options	Shares (000)			Exercise Price

Outstanding at 30 September 2008		17,537		$	49.48
Granted		2,029			66.90
Exercised		(1,672	)		32.95
Forfeited		(147	)		77.66

Outstanding at 30 September 2009		17,747		$	52.79

Exercisable at 30 September 2009		14,567		$	48.00


	Weighted Average
	Remaining Contractual		Aggregate Intrinsic
Stock Options	Terms (in years)		Value

Outstanding at 30 September 2009		4.6	$	465

Exercisable at 30 September 2009		3.8	$	439

The aggregate intrinsic value represents the amount by which the Company’s closing stock price of $77.58 as of 30 September 2009 exceeds the exercise price multiplied by the number of in-the-money options outstanding or exercisable as of that date.

The total intrinsic value of stock options exercised during 2009, 2008, and 2007 was $62.1, $138.0, and $218.8, respectively.

Compensation cost is generally recognized over the stated vesting period consistent with the terms of the arrangement (i.e., either on a straight-line or graded-vesting basis). Expense recognition is accelerated for retirement-eligible individuals who would meet the requirements for vesting of awards upon their retirement. As of 30 September 2009, there was $10.5 of unrecognized compensation cost related to nonvested stock options, which is expected to be recognized over a weighted average period of 1.2 years.

Cash received from option exercises during 2009 was $54.4, generating a total tax benefit of $21.9. The excess tax benefit was $13.9 in 2009.

Deferred Stock Units and Restricted Stock

The grant-date fair value of deferred stock units and restricted stock is estimated on the date of grant based on the market price of the stock, and compensation cost is generally amortized to expense on a straight-line basis over the vesting period during which employees perform related services. Expense recognition is accelerated for retirement-eligible individuals who would meet the requirements for vesting of awards upon their retirement.

Deferred Stock Units

The Company has granted deferred stock units to executives, selected employees, and outside directors. These deferred stock units entitle the recipient to one share of common stock upon vesting, which is conditioned on continued employment during the deferral period and may also be conditioned on earn-out against certain performance targets. The deferral period for some units ends after death, disability, or retirement. However, for a portion of the performance-based deferred stock units, the deferral period ends at the end of the performance period (one to three years) or up to two years thereafter. Certain of the performance-based deferred stock units provide for one-half of the earned shares to be paid in cash at the end of the performance period. Additionally, the Company has granted deferred stock units, subject to a three- or four-year deferral period, to selected employees. Deferred stock units issued to directors are paid after service on the Board of Directors ends at the time elected by the director (not to exceed 10 years after service ends).


				Weighted Average
Deferred Stock Units	Shares (000)			Grant-Date Fair Value

Outstanding at 30 September 2008		1,717		$	58.94
Granted		378			53.07
Paid out		(381	)		51.28
Forfeited/adjustments		(112	)		76.56

Outstanding at 30 September 2009		1,602		$	58.13

Cash payments made for performance-based deferred stock units were $5.2 in 2009. As of 30 September 2009, there was $23.2 of unrecognized compensation cost related to deferred stock units. The cost is expected to be recognized over a weighted average period of 2.3 years. The total fair value of deferred stock units paid out during 2009, 2008, and 2007, including shares vested in prior periods, was $22.1, $51.5, and $9.0, respectively.

Restricted Stock

The Company has issued shares of restricted stock to certain officers. Participants are entitled to cash dividends and to vote their respective shares. Shares granted prior to 2007 are subject to forfeiture if employment is terminated other than due to death, disability, or retirement. Shares granted since 2007 vest in four years or upon earlier retirement, death, or disability. The shares are nontransferable while subject to forfeiture.


			Weighted Average
Restricted Stock	Shares (000)		Grant-Date Fair Value

Outstanding at 30 September 2008		85	$	70.12
Granted		40		64.01
Vested		—		—
Forfeited		—		—

Outstanding at 30 September 2009		125	$	68.16

As of 30 September 2009, there was $1.5 of unrecognized compensation cost related to restricted stock awards. The cost is expected to be recognized over a weighted average period of 4.4 years. During 2009, no restricted stock vested. The total fair value of restricted stock vested during 2008 and 2007 was $10.8 and $2.7, respectively.

Income Taxes

12 Months Ended

Sep. 30, 2009

Income Taxes [Abstract]

Income Taxes

20. Income Taxes

The following table shows the components of the provision for income taxes:


	2009			2008		2007

Federal
Current	$	88.1		$	131.7	$	94.0
Deferred		18.1			3.1		(19.0	)

		106.2			134.8		75.0

State
Current		35.8			2.8		10.5
Deferred		(20.9	)		11.0		7.2

		14.9			13.8		17.7

Foreign
Current		113.7			193.9		169.0
Deferred		(49.5	)		22.8		25.5

		64.2			216.7		194.5

	$	185.3		$	365.3	$	287.2

The significant components of deferred tax assets and liabilities are as follows:


30 September	2009			2008

Gross Deferred Tax Assets
Pension and other compensation accruals	$	614.9		$	383.2
Tax loss carryforwards		78.7			91.1
Tax credits		74.5			65.2
Reserves and accruals		66.6			30.0
Unremitted earnings of foreign entities		—			6.9
Asset impairment		26.9			69.0
Currency losses		80.4			83.0
Other		167.1			110.6
Valuation allowance		(31.9	)		(60.7	)

Deferred Tax Assets		1,077.2			778.3

Gross Deferred Tax Liabilities
Plant and equipment		896.2			887.0
Employee benefit plans		106.0			89.2
Investment in partnerships		10.5			9.4
Unrealized gain on cost investment		5.8			4.6
Unremitted earnings of foreign entities		2.6			—
Intangible assets		26.1			30.0
Other		111.3			120.3

Deferred Tax Liabilities		1,158.5			1,140.5

Net Deferred Income Tax Liability	$	81.3		$	362.2

Net current deferred tax assets of $206.6 and net noncurrent deferred tax assets of $71.5 were included in other receivables and current assets and other noncurrent assets at 30 September 2009, respectively. Net current deferred tax assets of $193.3 and net noncurrent deferred tax assets of $71.1 were included in other receivables and current assets and other noncurrent assets at 30 September 2008, respectively.

Foreign and state loss carryforwards as of 30 September 2009 were $230.1 and $235.5, respectively. The foreign losses have expiration periods beginning in 2010. State operating loss carryforwards have expiration periods that range between 2010 and 2029.

The valuation allowance as of 30 September 2009 primarily relates to the tax loss carryforwards referenced above. If events warrant the reversal of the $31.9 valuation allowance, it would result in a reduction of tax expense. The Company believes it is more likely than not that future earnings will be sufficient to utilize the Company’s deferred tax asset, net of existing valuation allowance, at 30 September 2009.

Major differences between the United States federal statutory tax rate and the effective tax rate are:


(Percent of income before taxes)	2009			2008			2007

U.S. federal statutory tax rate		35.0	%		35.0	%		35.0	%
State taxes, net of federal benefit		1.1			.8			1.2
Income from equity affiliates		(4.7	)		(3.4	)		(2.8	)
Foreign taxes and credits		(7.5	)		(6.3	)		(4.4	)
Export tax benefit and domestic production		(1.1	)		(.6	)		(.8	)
Tax audit settlements and adjustments		(.8	)		—			(2.6	)
Donation of investments		—			—			(1.2	)
Other		.5			(.4	)		(2.4	)

Effective Tax Rate after Minority Interest		22.5	%		25.1	%		22.0	%
Minority interest		(.4	)		(.4	)		(.4	)

Effective Tax Rate		22.1	%		24.7	%		21.6	%

In the fourth quarter of 2007, the Company recorded a tax benefit of $11.3, primarily from tax audit settlements and adjustments and related interest income. In June 2007, the Company settled tax audits through fiscal year 2004 with the Internal Revenue Service. This audit settlement resulted in a tax benefit of $27.5 in the third quarter of 2007. For 2007, tax audit settlements and adjustments totaled $38.8.

In the fourth quarter of 2007, a charge related to the Company’s annual reconciliation and analysis of its current and deferred tax assets and liabilities was recorded and is included in tax audit settlements and adjustments in the above table.

The following table summarizes the income of U.S. and foreign operations, before taxes and minority interest:


	2009		2008		2007

Income from continuing operations:
United States	$	374.3	$	479.5	$	583.1
Foreign		350.1		854.3		630.1
Income from equity affiliates		112.2		145.0		114.4

	$	836.6	$	1,478.8	$	1,327.6

The Company does not pay or record U.S. income taxes on the undistributed earnings of its foreign subsidiaries and corporate joint ventures as long as those earnings are permanently reinvested in the companies that produced them. These cumulative undistributed earnings are included in retained earnings on the Consolidated Balance Sheets and amounted to $2,991.0 at the end of 2009. An estimated $697.3 in U.S. income and foreign withholding taxes would be due if these earnings were remitted as dividends after payment of all deferred taxes.

At 30 September 2009, the Company had $194.9 of unrecognized tax benefits, including $31.8 for the payment of interest and penalties. Interest and penalties of $2.5 were recognized in 2009. The Company classifies interest and penalties related to unrecognized tax benefits as a component of income tax expense. At 30 September 2009, $101.6 of the liability for unrecognized tax benefits, if recognized, would impact the effective tax rate.

The Company is currently under examination in a number of tax jurisdictions, some of which may be resolved in the next twelve months. As a result, it is reasonably possible that a change in the unrecognized tax benefits may occur during the next twelve months. However, quantification of an estimated range cannot be made at this time. A reconciliation of the beginning and ending amount of the unrecognized tax benefits is as follows:


Unrecognized Tax Benefits	2009			2008

Balance, Beginning of Year	$	184.1		$	116.5
Additions for tax positions of the current year		25.6			58.3
Additions for tax positions of prior years		39.0			20.1
Reductions for tax positions of prior years		(45.2	)		(5.2	)
Settlements		(5.4	)		(4.6	)
Statute of limitations expiration		(5.4	)		(3.4	)
Foreign currency translation		2.2			2.4

Balance, End of Year	$	194.9		$	184.1

The Company remains subject to examination in the following major tax jurisdictions for the years indicated below.


Major Tax Jurisdiction	Open Tax Fiscal Years

North America
United States		2007–2009
Canada		2006–2009
Europe
United Kingdom		2006–2009
Germany		2006–2009
Netherlands		2005–2009
Poland		2003–2009
Spain		2005–2009
Asia
Taiwan		2004–2009
Korea		2004–2009

Supplemental Information

12 Months Ended

Sep. 30, 2009

Supplemental Information [Abstract]

Supplemental Information

21. Supplemental Information


Other Receivables and Current Assets
30 September	2009		2008

Deferred tax assets	$	206.6	$	193.3
Derivative instruments		54.1		42.4
Other receivables		89.9		89.3
Current capital lease receivables		32.6		24.2
Other		16.6		.2

	$	399.8	$	349.4


Other Noncurrent Assets
30 September	2009		2008

Restricted cash	$	129.0	$	214.1
Derivative instruments		25.1		25.8
Other long-term receivables		72.6		10.8
Cost investments		19.4		15.6
Deferred tax assets		71.5		71.1
Prepaid pension benefit cost		8.4		26.6
Other deferred charges		112.0		140.1

	$	438.0	$	504.1


Payables and Accrued Liabilities
30 September	2009		2008

Trade creditors	$	620.3	$	755.2
Customer advances		72.6		122.0
Accrued payroll and employee benefits		137.9		203.7
Pension benefits		347.9		123.5
Dividends payable		95.1		92.1
Outstanding payments in excess of certain cash balances		25.2		56.1
Accrued interest expense		59.2		64.9
Derivative instruments		61.3		81.9
Global cost reduction plan accrual		110.4		—
Miscellaneous		130.5		166.2

	$	1,660.4	$	1,665.6


Deferred Income and Other Noncurrent Liabilities
30 September	2009		2008

Pension benefits	$	795.5	$	414.0
Postretirement benefits		102.5		87.5
Other employee benefits		105.1		91.9
Contingencies related to uncertain tax positions		193.5		152.8
Advance payments		90.5		99.0
Environmental liabilities		93.4		81.0
Derivative instruments		48.4		33.7
Miscellaneous		93.1		89.3

	$	1,522.0	$	1,049.2


Accumulated Other Comprehensive Income (Loss)
30 September	2009			2008

Net unrealized holding gain on investments	$	10.5		$	8.1
Net unrecognized (loss) on derivatives qualifying as hedges		(25.1	)		(19.9	)
Foreign currency translation adjustments		(179.8	)		(28.3	)
Pension and postretirement benefits		(967.4	)		(509.2	)

	$	(1,161.8	)	$	(549.3	)


Other Income (Expense), Net	2009			2008			2007

Technology and royalty income	$	19.5		$	18.6		$	15.9
Interest income		7.4			8.2			8.2
Foreign exchange		(3.8	)		3.6			(4.5	)
Sale of assets and investments		(10.8	)		6.5			23.7
Amortization of intangibles		(10.1	)		(9.8	)		(11.2	)
Property damage and related expenses, net of insurance recoveries		4.9			(13.5	)		.4
Miscellaneous		15.9			12.2			9.8

	$	23.0		$	25.8		$	42.3

Loss from Property Damage

In the fourth quarter of 2008, a fire at the Company’s Ulsan, Korea nitrogen trifluoride (NF₃) production facility required the plant to be shut down. Other income (expense) for fiscal 2008 included a net loss of $14.7 ($10.7 after-tax, or $.05 per share) related to property damage. The net book value of the damaged property was written off and a receivable was recorded for expected property damage insurance recoveries.

During fiscal 2009, the Company received the expected insurance recoveries for property damage of $3.7. Additionally, the Company recorded other income of $4.9 ($3.1 after-tax, or $.01 per share), comprising $2.3 for the receipt of additional proceeds from a business interruption claim and a $2.6 adjustment to the book value of the damaged property.

Additional Income Statement Information

2009 Customer Bankruptcy and Asset Actions

As a result of events which occurred during the third quarter of 2009, the Company recognized a $22.2 charge primarily for the write-off of certain receivables due to a customer bankruptcy. This customer, who principally receives product from the Tonnage Gases segment, began operating under Chapter 11 bankruptcy protection on 6 January 2009. Sales and operating income associated with this customer are not material to the Tonnage Gases segment’s results. At 30 September 2009, the Company had remaining outstanding receivables with the customer of $16.3. At the present time, the Company does not expect to recognize additional charges related to this customer.

Additionally, during the third quarter of 2009, the Company recorded a charge of $9.9 for other asset actions which consisted of the closure of certain manufacturing facilities. This charge was reflected in cost of sales on the Consolidated Income Statements. The customer bankruptcy charge combined with this asset write-down resulted in a total charge of $32.1 ($21.0 after-tax, or $.10 per share).

2007 Customer Contract Settlement

In 2007, the Company entered into a settlement with a customer to resolve a dispute related to a dinitrotoluene (DNT) supply agreement. As part of the settlement agreement, the DNT supply agreement was terminated, and certain other agreements between the companies were amended. As a result, the Company recognized a before-tax gain of $36.8 ($23.6 after-tax, or $.11 per share) in 2007.

2007 Donation/Sale of Cost Investment

The Company has a cost-basis investment in a publicly traded foreign company which has been classified as an available-for-sale investment, with holding gains and losses recorded to other comprehensive income, net of income tax. On 19 September 2007, the Company donated 65% of its investment to a tax-exempt charitable organization and sold 15% of its investment for cash. The Company deducted the fair value of the donation in its fiscal 2007 income tax returns. As a result of the donation, the Company recognized a tax benefit of $18.3 in the fourth quarter of 2007 and pretax expense of $4.7 for the carrying value of the investment. As a result of the sale, the Company recognized a pretax gain of $9.7. In combination, the donation and sale had a favorable net impact of $5.0 on operating income, $19.8 on net income, and $.09 on earnings per share.

Additional Cash Flow Information

Cash paid for interest and taxes was as follows:


	2009		2008		2007

Interest (net of amounts capitalized)	$	127.6	$	159.5	$	141.3
Taxes (net of refunds)		124.5		237.2		248.7

Subsequent Events

The Company has evaluated subsequent events for potential recognition and/or disclosure through 25 November 2009, the date the consolidated financial statements included in this Annual Report on Form 10-K were issued. There were no subsequent events required to be recognized or disclosed in the financial statements.

Summary by Quarter (Unaudited)

12 Months Ended

Sep. 30, 2009

Summary by Quarter (Unaudited) [Abstract]

Summary by Quarter (Unaudited)

22. Summary by Quarter (Unaudited)

These tables summarize the unaudited results of operations for each quarter of 2009 and 2008:

2009

First

Second

Third

Fourth

Total

Sales

2,195.3

1,955.4

1,976.2

2,129.3

8,256.2

Global cost reduction plan ^(A)

174.2

—

124.0

—

298.2

Customer bankruptcy ^(B)

—

22.2

—

22.2

Pension settlement ^(C)

—

8.0

2.7

10.7

Operating income^(A)(B)(C)(D)

114.1

260.4

143.8

328.0

846.3

Income from continuing operations ^(A)(B)(C)(D)

90.0

189.3

114.6

246.0

639.9

Income (loss) from discontinued operations ^(E)

(21.4

)

16.3

(1.4

)

(2.1

)

(8.6

)

Net income ^{(A)(B)(C)(D)(E)}

68.6

205.6

113.2

243.9

631.3

Basic earnings per common share

Income from continuing operations

.43

.90

.55

1.17

3.05

Income (loss) from discontinued operations

(.10

)

.08

(.01

)

(.01

)

(.04

)

Net income

.33

.98

.54

1.16

3.01

Diluted earnings per common share

Income from continuing operations ^(A)(B)(C)(D)

.42

.89

.54

1.14

3.00

Income (loss) from discontinued operations ^(E)

(.10

)

.08

(.01

)

(.01

)

(.04

)

Net income ^{(A)(B)(C)(D)(E)}

.32

.97

.53

1.13

2.96

Dividends declared per common share

.44

.45

1.79

Market price per common share: High

68.51

60.20

69.93

80.60

Low

41.46

43.44

54.73

60.52


^(A)		First quarter after-tax impact of $116.1, or $.55 per share, third quarter after-tax impact of $84.2, or $.39 per share.

^(B)		After-tax impact of $14.5, or $.07 per share.

^(C)		Third quarter after-tax impact of $5.0, or $.02 per share.

^(D)		Third quarter included a charge of $9.9 ($6.5 after-tax, or $.03 per share) for other asset actions, which consisted of the closure of certain manufacturing facilities.

^(E)		First quarter included an impairment charge of $48.7 ($30.9 after-tax, or $.15 per share), reflecting a revision in the estimated net realizable value of the U.S. Healthcare business. Also, a tax benefit of $8.8, or $.04 per share, was recorded to revise the estimated tax benefit related to previously recognized impairment charges.

		Second quarter included an additional tax benefit of $16.7, or $.08 per share, associated with previously recognized impairment charges.


2008	First		Second		Third			Fourth			Total

Sales	$	2,407.4	$	2,542.7	$	2,749.7		$	2,714.7		$	10,414.5
Pension settlement ^(A)		1.4		26.3		1.0			1.6			30.3
Operating income ^(A)(B)		380.4		348.6		393.7			373.1			1,495.8
Income from continuing operations ^(A)(B)		262.3		259.8		295.0			273.4			1,090.5
Income (loss) from discontinued operations ^(C)		1.4		54.5		(224.9	)		(11.8	)		(180.8	)
Net income ^(A)(B)(C)		263.7		314.3		70.1			261.6			909.7
Basic earnings per common share
Income from continuing operations		1.22		1.22		1.40			1.30			5.14
Income (loss) from discontinued operations		.01		.26		(1.07	)		(.06	)		(.85	)

Net income		1.23		1.48		.33			1.24			4.29
Diluted earnings per common share
Income from continuing operations ^(A)(B)		1.18		1.18		1.35			1.26			4.97
Income (loss) from discontinued operations ^(C)		.01		.25		(1.03	)		(.05	)		(.82	)

Net income ^(A)(B)(C)		1.19		1.43		.32			1.21			4.15
Dividends declared per common share		.38		.44		.44			.44			1.70
Market price per common share: High		105.02		98.80		106.06			100.14
Low		92.05		80.73		92.20			65.05


^(A)		Second quarter after-tax impact of $16.5, or $.08 per share.

^(B)		Fourth quarter included a net loss of $14.7 ($10.7 after-tax, or $.05 per share) related to property damage at an NF₃ production facility in Korea.

^(C)		Second quarter included a gain of $89.5 ($57.7 after-tax, or $.26 per share) for the sale of the Company’s interest in its VAE polymers joint ventures to Wacker Chemie AG.

		Third quarter included an impairment charge of $314.8 ($237.0 after-tax, or $1.09 per share) related to the U.S. Healthcare business, and a gain of $30.5 ($18.5 after-tax, or $.08 per share) in connection with the sale of the Elkton and Piedmont facilities which completed the disposal of the Company’s Polymer Emulsions business.

		Fourth quarter included a charge of $14.4 ($9.2 after-tax, or $.04 per share) for the write-down of the U.S. Healthcare business to net realizable value.

Business Segment and Geographic Information

12 Months Ended

Sep. 30, 2009

Business Segment and Geographic Information [Abstract]

Business Segment and Geographic Information

23. Business Segment and Geographic Information

The Company’s segments are organized based on differences in product and/or type of customer. The Company has four business segments consisting of Merchant Gases, Tonnage Gases, Electronics and Performance Materials, and Equipment and Energy.

Merchant Gases

The Merchant Gases segment sells atmospheric gases such as oxygen, nitrogen, and argon (primarily recovered by the cryogenic distillation of air), process gases such as hydrogen and helium (purchased or refined from crude helium), and medical and specialty gases, along with certain services and equipment, throughout the world to customers in many industries, including those in metals, glass, chemical processing, food processing, healthcare, steel, general manufacturing, and petroleum and natural gas industries. There are four principal types of products: liquid bulk, packaged gases, small on-site plants, and healthcare products. Most merchant product is delivered via bulk supply, in liquid or gaseous form, by tanker or tube trailer. Smaller quantities of industrial, specialty, and medical gases are delivered in cylinders and dewars as “packaged gases,” or through small on-sites (cryogenic or noncryogenic generators). Through its healthcare business, the Company offers respiratory therapies, home medical equipment, and infusion services, primarily in Europe. Electricity is the largest cost component in the production of atmospheric gases. Natural gas is also an energy source at a number of the Company’s Merchant Gases facilities. The Company mitigates energy and natural gas prices through pricing formulas and surcharges. Merchant Gases competes worldwide against global industrial gas companies and several regional sellers. Competition in industrial gases is based primarily on price, reliability of supply, and the development of industrial gas applications. Competition in the healthcare business involves price, quality, service, and reliability of supply.

Tonnage Gases

Tonnage Gases provides hydrogen, carbon monoxide, nitrogen, oxygen, and syngas principally to the energy production and refining, chemical, and metallurgical industries worldwide. The Tonnage Gases segment also includes the Company’s Polyurethane Intermediates (PUI) business. The PUI business markets toluene diamine to customers under long-term contracts. For large-volume, or “tonnage” industrial gas users, the Company either constructs a gas plant adjacent to or near the customer’s facility—hence the term “on-site”—or delivers product through a pipeline from a nearby location. The Company is the world’s largest provider of hydrogen, which is used by refiners to lower the sulfur content of gasoline and diesel fuels to reduce smog and ozone depletion. Electricity is the largest cost component in the production of atmospheric gases, and natural gas is the principal raw material for hydrogen, carbon monoxide, and syngas production. The Company mitigates energy and natural gas price changes through its long-term cost pass-through type contracts. Tonnage Gases competes against global industrial gas companies, as well as regional competitors. Competition is based primarily on price, reliability of supply, the development of applications that use industrial gases and, in some cases, provision of other services or products such as power and steam generation. The Company also derives a competitive advantage from its pipeline networks which enable it to provide reliable and economic supply of products to customers.

Electronics and Performance Materials

The Electronics and Performance Materials segment employs applications technology to provide solutions to a broad range of global industries through expertise in chemical synthesis, analytical technology, process engineering, and surface science. This segment provides specialty and tonnage gases, specialty chemicals, services, and equipment to the electronics industry for the manufacture of silicon and compound semiconductors, LCD and other displays, and photovoltaic devices. The segment also provides performance chemical solutions for the coatings, inks, adhesives, civil engineering, personal care, institutional and industrial cleaning, mining, oil field, polyurethane, and other industries. The Electronics and Performance Materials segment faces competition on a product-by-product basis against competitors ranging from niche suppliers with a single product to larger and more vertically integrated companies. Competition is principally conducted on the basis of price, quality, product performance, reliability of product supply, technical innovation, service, and global infrastructure.

Equipment and Energy

The Equipment and Energy segment designs and manufactures cryogenic and gas processing equipment for air separation, hydrocarbon recovery and purification, natural gas liquefaction (LNG), and helium distribution, and serves energy markets in a variety of ways. Equipment is sold worldwide to customers in a variety of industries, including chemical and petrochemical manufacturing, oil and gas recovery and processing, and steel and primary metals processing. Energy markets are served through the Company’s operation and partial ownership of cogeneration and flue gas desulphurization facilities, its development of hydrogen as an energy carrier, and oxygen-based technologies to serve energy markets in the future. Equipment and Energy competes with a great number of firms for all of its offerings except LNG heat exchangers, for which there are fewer competitors due to the limited market size and proprietary technologies. Competition is based primarily on technological performance, service, technical know-how, price, and performance guarantees.

Other

Other operating income includes other expense and income which cannot be directly associated with the business segments, including foreign exchange gains and losses, interest income, and costs previously allocated to businesses now reported as discontinued operations. Also included are LIFO inventory adjustments, as the business segments use FIFO and the LIFO pool adjustments are not allocated to the business segments. Corporate general and administrative costs and research and development costs are fully allocated to the business segments.

Other assets include cash, restricted cash, deferred tax assets, pension assets, financial instruments, and corporate assets previously allocated to businesses now reported as discontinued operations.

Customers

The Company has a large number of customers, and no single customer accounts for a significant portion of annual sales.

Accounting Policies

The accounting policies of the segments are the same as those described in Note 1. The Company evaluates the performance of segments based upon reported segment operating income. Operating income of the business segments includes general corporate expenses. Intersegment sales are not material and are recorded at selling prices that approximate market prices. Equipment manufactured for the Company’s industrial gas business is generally transferred at cost and not reflected as an intersegment sale. Long-lived assets include investment in net assets of and advances to equity affiliates, net plant and equipment, goodwill, and net intangible assets.

Business Segments

Business segment information is shown below:


Revenue from External Customers	2009		2008		2007

Merchant Gases	$	3,610.6	$	4,192.7	$	3,556.9
Tonnage Gases		2,573.6		3,574.4		2,936.7
Electronics and Performance Materials		1,582.2		2,209.3		2,068.7
Equipment and Energy		489.8		438.1		585.9

Segment and Consolidated Totals	$	8,256.2	$	10,414.5	$	9,148.2


Operating Income	2009			2008			2007

Merchant Gases	$	661.2		$	789.5		$	656.4
Tonnage Gases		399.6			482.6			426.4
Electronics and Performance Materials		101.6			245.9			229.2
Equipment and Energy		42.2			38.9			76.8

Segment Total	$	1,204.6		$	1,556.9		$	1,388.8
Global cost reduction plan ^(A)		(298.2	)		—			(13.7	)
Customer bankruptcy and asset actions		(32.1	)		—			—
Customer contract settlement		—			—			36.8
Pension settlement		(10.7	)		(30.3	)		(10.3	)
Other		(17.3	)		(30.8	)		(26.0	)

Consolidated Total	$	846.3		$	1,495.8		$	1,375.6


^(A)		Information about how this charge related to the businesses at the segment level is discussed in Note 3.


Depreciation and Amortization	2009		2008		2007

Merchant Gases	$	372.3	$	370.2	$	332.0
Tonnage Gases		272.2		278.9		271.0
Electronics and Performance Materials		178.2		208.0		171.7
Equipment and Energy		15.9		11.8		14.1

Segment Total	$	838.6	$	868.9	$	788.8
Other		1.7		.1		1.0

Consolidated Total	$	840.3	$	869.0	$	789.8


Equity Affiliates’ Income	2009		2008		2007

Merchant Gases	$	98.3	$	131.8	$	97.8
Other segments		13.9		13.2		16.6

Segment and Consolidated Totals	$	112.2	$	145.0	$	114.4


Total Assets	2009		2008		2007

Merchant Gases	$	5,630.8	$	5,565.9	$	5,081.7
Tonnage Gases		3,672.0		3,397.8		3,387.7
Electronics and Performance Materials		2,299.1		2,388.8		2,481.2
Equipment and Energy		333.8		328.3		393.2

Segment Total	$	11,935.7	$	11,680.8	$	11,343.8
Other		1,088.4		775.2		402.5
Discontinued operations		5.0		115.3		913.2

Consolidated Total	$	13,029.1	$	12,571.3	$	12,659.5


Investment in and Advances to Equity Affiliates	2009		2008		2007

Merchant Gases	$	713.8	$	684.3	$	642.3
Other segments		154.3		138.3		135.8

Segment and Consolidated Totals	$	868.1	$	822.6	$	778.1


Identifiable Assets	2009		2008		2007

Merchant Gases	$	4,917.0	$	4,881.6	$	4,439.4
Tonnage Gases		3,597.8		3,335.4		3,328.4
Electronics and Performance Materials		2,249.5		2,341.0		2,435.3
Equipment and Energy		303.3		300.2		362.6

Segment Total	$	11,067.6	$	10,858.2	$	10,565.7
Other		1,088.4		775.2		402.5
Discontinued operations		5.0		115.3		845.3

Consolidated Total	$	12,161.0	$	11,748.7	$	11,813.5


Expenditures for Long-Lived Assets	2009		2008		2007

Merchant Gases	$	515.4	$	593.0	$	888.6
Tonnage Gases		556.5		387.9		435.9
Electronics and Performance Materials		165.2		198.8		210.5
Equipment and Energy		9.8		2.3		9.9

Segment Total	$	1,246.9	$	1,182.0	$	1,544.9
Other		1.1		1.7		1.6

Consolidated Total	$	1,248.0	$	1,183.7	$	1,546.5

Geographic Information

Geographic information is presented below:


Revenues from External Customers	2009		2008		2007

United States	$	3,779.8	$	4,845.1	$	4,487.6
Canada		238.6		241.2		185.1
Europe		2,765.1		3,448.0		2,873.5
Asia		1,294.2		1,661.3		1,436.9
Latin America		178.5		218.9		165.1

	$	8,256.2	$	10,414.5	$	9,148.2


Long-Lived Assets	2009		2008		2007

United States	$	3,180.7	$	3,017.0	$	3,007.4
Canada		535.2		441.9		442.5
Europe		2,873.3		3,048.6		2,949.5
Asia		1,973.0		1,815.3		1,769.7
Latin America		261.1		255.0		224.1
All other		83.0		77.3		81.0

	$	8,906.3	$	8,655.1	$	8,474.2

Geographic information is based on country of origin. Included in United States revenues are export sales to unconsolidated customers of $510.2 in 2009, $629.1 in 2008, and $677.3 in 2007. The Europe segment operates principally in Belgium, France, Germany, the Netherlands, Poland, the U.K., and Spain. The Asia segment operates principally in China, Japan, Korea, and Taiwan.

Label	Element	Value
Accumulated Other Comprehensive Income (Loss)
Other Comprehensive Income Pension And Postretirement Benefits Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsNetOfTax	$ 0
Other Comprehensive Income Pension And Postretirement Benefits Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsNetOfTax	(185,500,000)
Other Comprehensive Income Pension And Postretirement Benefits Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsNetOfTax	(518,300,000)
Other Comprehensive Income, Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedGainLossOnDerivativesArisingDuringPeriodNetOfTax	(7,700,000)
Other Comprehensive Income, Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedGainLossOnDerivativesArisingDuringPeriodNetOfTax	(74,400,000)
Other Comprehensive Income, Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedGainLossOnDerivativesArisingDuringPeriodNetOfTax	(4,500,000)
Other Comprehensive Income, Reclassification Adjustment on Derivatives Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentOnDerivativesIncludedInNetIncomeNetOfTax	(15,900,000)
Other Comprehensive Income, Reclassification Adjustment on Derivatives Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentOnDerivativesIncludedInNetIncomeNetOfTax	(50,700,000)
Other Comprehensive Income, Reclassification Adjustment on Derivatives Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentOnDerivativesIncludedInNetIncomeNetOfTax	700,000
Other Comprehensive Income, Minimum Pension Liability Net Adjustment, Net of Tax	us-gaap_OtherComprehensiveIncomeMinimumPensionLiabilityNetAdjustmentNetOfTax	(159,300,000)
Other Comprehensive Income, Minimum Pension Liability Net Adjustment, Net of Tax	us-gaap_OtherComprehensiveIncomeMinimumPensionLiabilityNetAdjustmentNetOfTax	0
Other Comprehensive Income, Minimum Pension Liability Net Adjustment, Net of Tax	us-gaap_OtherComprehensiveIncomeMinimumPensionLiabilityNetAdjustmentNetOfTax	0
Application of Recognition Provisions of FAS 158, Effect on Accumulated Other Comprehensive Income, Net of Tax	us-gaap_ApplicationOfRecognitionProvisionsOfSFAS158EffectOnAccumulatedOtherComprehensiveIncomeNetOfTax	(333,000,000)
Application of Recognition Provisions of FAS 158, Effect on Accumulated Other Comprehensive Income, Net of Tax	us-gaap_ApplicationOfRecognitionProvisionsOfSFAS158EffectOnAccumulatedOtherComprehensiveIncomeNetOfTax	0
Application of Recognition Provisions of FAS 158, Effect on Accumulated Other Comprehensive Income, Net of Tax	us-gaap_ApplicationOfRecognitionProvisionsOfSFAS158EffectOnAccumulatedOtherComprehensiveIncomeNetOfTax	0
Other Comprehensive Income, Foreign Currency Transaction and Translation Reclassification Adjustment Realized upon Sale or Liquidation, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationReclassificationAdjustmentRealizedUponSaleOrLiquidationNetOfTax	0
Other Comprehensive Income, Foreign Currency Transaction and Translation Reclassification Adjustment Realized upon Sale or Liquidation, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationReclassificationAdjustmentRealizedUponSaleOrLiquidationNetOfTax	53,700,000
Other Comprehensive Income, Foreign Currency Transaction and Translation Reclassification Adjustment Realized upon Sale or Liquidation, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationReclassificationAdjustmentRealizedUponSaleOrLiquidationNetOfTax	3,200,000
Other Comprehensive Income Pension And Postretirement Benefits Reclassification Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsReclassificationNetOfTax	0
Other Comprehensive Income Pension And Postretirement Benefits Reclassification Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsReclassificationNetOfTax	47,300,000
Other Comprehensive Income Pension And Postretirement Benefits Reclassification Net Of Tax	apd_OtherComprehensiveIncomePensionAndPostretirementBenefitsReclassificationNetOfTax	24,300,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(221,700,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(142,900,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(549,300,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(1,161,800,000)
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	411,800,000
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	(406,400,000)
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	(648,300,000)
Other Comprehensive Income, Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax	272,800,000
Other Comprehensive Income, Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax	(186,300,000)
Other Comprehensive Income, Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax	(148,300,000)
Other Comprehensive Income, Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax	8,100,000
Other Comprehensive Income, Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax	(4,500,000)
Other Comprehensive Income, Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax	us-gaap_OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax	2,400,000
Other Comprehensive Income, Reclassification Adjustment for Write-down of Securities Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentForWriteDownOfSecuritiesIncludedInNetIncomeNetOfTax	36,600,000
Other Comprehensive Income, Reclassification Adjustment for Write-down of Securities Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentForWriteDownOfSecuritiesIncludedInNetIncomeNetOfTax	0
Other Comprehensive Income, Reclassification Adjustment for Write-down of Securities Included in Net Income, Net of Tax	us-gaap_OtherComprehensiveIncomeReclassificationAdjustmentForWriteDownOfSecuritiesIncludedInNetIncomeNetOfTax	0
Total Comprehensive Income (Loss)
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	1,035,600,000
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	909,700,000
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	631,300,000
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	411,800,000
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	(406,400,000)
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent	us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent	(648,300,000)
Comprehensive Income, Net of Tax, Attributable to Parent	us-gaap_ComprehensiveIncomeNetOfTax	1,447,400,000
Comprehensive Income, Net of Tax, Attributable to Parent	us-gaap_ComprehensiveIncomeNetOfTax	503,300,000
Comprehensive Income, Net of Tax, Attributable to Parent	us-gaap_ComprehensiveIncomeNetOfTax	(17,000,000)
Treasury Stock
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(1,529,700,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(1,828,900,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(2,471,300,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	(2,353,200,000)
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	268,100,000
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	145,000,000
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	118,100,000
Treasury Stock, Value, Acquired, Cost Method	us-gaap_TreasuryStockValueAcquiredCostMethod	(567,300,000)
Treasury Stock, Value, Acquired, Cost Method	us-gaap_TreasuryStockValueAcquiredCostMethod	(787,400,000)
Treasury Stock, Value, Acquired, Cost Method	us-gaap_TreasuryStockValueAcquiredCostMethod	0
Common Stock
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	249,400,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	249,400,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	249,400,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	$ 249,400,000
Treasury Stock, Shares, Acquired	us-gaap_TreasuryStockSharesAcquired	(7,328,482)
Treasury Stock, Shares, Acquired	us-gaap_TreasuryStockSharesAcquired	(8,676,029)
Treasury Stock, Shares, Acquired	us-gaap_TreasuryStockSharesAcquired	0
Stock Issued During Period, Shares, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodSharesTreasuryStockReissued	5,433,595
Stock Issued During Period, Shares, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodSharesTreasuryStockReissued	2,654,971
Stock Issued During Period, Shares, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodSharesTreasuryStockReissued	1,925,637
Common Stock, Shares, Outstanding	us-gaap_CommonStockSharesOutstanding	217,250,572
Common Stock, Shares, Outstanding	us-gaap_CommonStockSharesOutstanding	215,355,685
Common Stock, Shares, Outstanding	us-gaap_CommonStockSharesOutstanding	209,334,627
Common Stock, Shares, Outstanding	us-gaap_CommonStockSharesOutstanding	211,260,264
Capital in Excess of Par Value
Adjustments to Additional Paid in Capital, Tax Effect from Share-based Compensation	us-gaap_AdjustmentsToAdditionalPaidInCapitalTaxEffectFromShareBasedCompensation	$ 80,700,000
Adjustments to Additional Paid in Capital, Tax Effect from Share-based Compensation	us-gaap_AdjustmentsToAdditionalPaidInCapitalTaxEffectFromShareBasedCompensation	63,900,000
Adjustments to Additional Paid in Capital, Tax Effect from Share-based Compensation	us-gaap_AdjustmentsToAdditionalPaidInCapitalTaxEffectFromShareBasedCompensation	23,800,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	682,500,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	759,500,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	811,700,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	822,900,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Value	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	66,600,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Value	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	62,500,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Value	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	59,300,000
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	(70,300,000)
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	(74,200,000)
Stock Issued During Period, Value, Treasury Stock Reissued	us-gaap_StockIssuedDuringPeriodValueTreasuryStockReissued	(71,900,000)
Retained Earnings
Dividends, Common Stock, Cash	us-gaap_DividendsCommonStockCash	(319,800,000)
Dividends, Common Stock, Cash	us-gaap_DividendsCommonStockCash	(359,600,000)
Dividends, Common Stock, Cash	us-gaap_DividendsCommonStockCash	(376,300,000)
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	1,035,600,000
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	909,700,000
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	631,300,000
Stockholders' Equity, Other	us-gaap_StockholdersEquityOther	(800,000)
Stockholders' Equity, Other	us-gaap_StockholdersEquityOther	(5,100,000)
Stockholders' Equity, Other	us-gaap_StockholdersEquityOther	(2,500,000)
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	5,743,500,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	6,458,500,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	6,990,200,000
Stockholders' Equity Attributable to Parent	us-gaap_StockholdersEquity	$ 7,234,600,000

Consolidated Statements of Equity - Adjustment - USD ($) $ in Millions	12 Months Ended
	Sep. 30, 2009	Sep. 30, 2008	Sep. 30, 2007
Retained Earnings
Statement [Line Items]
Balance, beginning of year	$ 6,982.1	$ 6,445.2	$ 5,743.5
Defined benefit plans measurement date change	(8.1)	0.0	0.0
Initial recording of accounting for uncertain tax positions	0.0	(13.3)	0.0
Balance, end of year		6,982.1	6,445.2
Accumulated Other Comprehensive Income (Loss)
Statement [Line Items]
Balance, beginning of year	(513.5)	(142.9)	(221.7)
Defined benefit plans measurement date change, net of tax of $14.0	$ 35.8	0.0	0.0
Balance, end of year		$ (513.5)	$ (142.9)

Acquisitions	12 Months Ended
Acquisitions	Sep. 30, 2009
Acquisitions [Abstract]
Acquisitions	5. Acquisitions Acquisitions in 2009, totaling $32.7, included principally the acquisition of S.I.Q. — Beteiligungs GmbH, a manufacturer of epoxy additives. In 2008, acquisitions totaled $72.0 and included the purchase of an additional interest in CryoService Limited, a cryogenic and specialty gases company in the U.K. See Note 16 for a discussion on a related put option agreement. Acquisitions in 2007, totaling $539.1, included principally BOC Gazy Sp z o.o. (BOC Gazy) as discussed below. BOC Gazy in 2007 On 30 April 2007, a Spanish affiliate of the Company acquired 98.1% of the Polish industrial gas business of BOC Gazy from The Linde Group. During the fourth quarter of 2007, this affiliate increased its ownership percentage to 99.9%. The total acquisition cost, less cash acquired, was €380 million or $518.4. The results of operations for BOC Gazy were included in the Company’s Consolidated Income Statement after the acquisition date. BOC Gazy had sales of $82.5 for the five months ended 30 September 2007. The purchase price allocation, including the recognition of deferred taxes, was completed in 2008 with assigned values for plant and equipment equal to $170.0, identified intangibles of $176.9, and goodwill of $190.7 (which is tax-deductible for Spanish tax reporting purposes). With this acquisition, the Company obtained a significant market position in Central Europe’s industrial gases market. The business had approximately 750 employees, five major industrial gas plants, and six cylinder transfills serving customers across a diverse range of industries, including chemicals, steel, and base metals, among others.

Capital Stock	12 Months Ended
Capital Stock	Sep. 30, 2009
Capital Stock [Abstract]
Capital Stock	17. Capital Stock Authorized capital stock consists of 25 million preferred shares with a par value of $1 per share, none of which was outstanding at 30 September 2009, and 300 million shares of common stock with a par value of $1 per share. On 20 September 2007, the Board of Directors authorized the repurchase of up to $1,000 of the Company’s outstanding common stock. The Company repurchases shares pursuant to Rules 10b5-1 and 10b-18 under the Securities Exchange Act of 1934, as amended, through a 10b5-1 written repurchase plan established with several brokers. An additional $649.2 in share repurchase authorization remained at 30 September 2009.

Consolidated Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2009	Sep. 30, 2008
Current Assets
Allowances for doubtful accounts	$ 65,000,000	$ 36,100,000
Shareholders' Equity
Common stock, par value	$ 1	$ 1
Common stock, issued shares	249,455,584	249,455,584
Treasury stock, shares	38,195,320	40,120,957