Ingersoll-Rand 8-K Filing Released

On July 17, 2015, Ingersoll-Rand plc and certain of its U.S. subsidiaries (the "Company") entered into an agreement with the Internal Revenue Service (the "IRS") to resolve all disputes previously described in the Company's periodic filings related to intercompany debt incurred in connection with the Company's 2001 reorganization (the "2001 Debt"), any similar issues related to other intercompany debt outstanding during the 2002-2011 period and all related issues including the issue of the recharacterized distributions. The resolution must be reported to the Congressional Joint Committee on Taxation (the "JCT") for review and cannot be finalized until the IRS considers the views, if any, expressed by the JCT about the matter. This resolution covers the intercompany debt and related issues described above for the entire period from 2002-2011 and includes all aspects of the controversy before the U.S. Tax Court, the Appeals Division and the Examination Division of the IRS. Pursuant to the agreement with the IRS, no penalties will apply with regard to any of the tax years 2002-2011, the Company will pay $230 million in withholding tax, plus interest with respect to the 2002-2006 years and no additional tax will be owed with respect to these intercompany debt and related matters for the years 2007-2011. As the Company previously disclosed, the IRS had asserted the Company owed approximately $774 million in taxes plus additional amounts for penalties and interest for the 2002-2006 tax years, and the Company expected the IRS to raise similar claims for the 2007-2011 period. In connection with this resolution, the Company will recognize a charge of approximately $227 million to income tax expense in the second quarter of 2015 and expects to have a net cash outflow in the second half of 2015 of approximately $375 million (consisting of the $230 million in tax and $145 million of net interest).