Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 02, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | CELANESE CORPORATION | ||
Entity Central Index Key | 1,306,830 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 135,817,634 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 13,017,711,601 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net sales | $ 6,140 | $ 5,389 | $ 5,674 |
Cost of sales | (4,625) | (3,984) | (4,356) |
Gross profit | 1,515 | 1,405 | 1,318 |
Selling, general and administrative expenses | (456) | (416) | (506) |
Amortization of intangible assets | (20) | (9) | (11) |
Research and development expenses | (72) | (78) | (119) |
Other (charges) gains, net | (60) | (11) | (351) |
Foreign exchange gain (loss), net | (1) | (1) | 4 |
Gain (loss) on disposition of businesses and assets, net | (5) | 3 | (9) |
Operating profit (loss) | 901 | 893 | 326 |
Equity in net earnings (loss) of affiliates | 183 | 155 | 181 |
Interest expense | (122) | (120) | (119) |
Refinancing expense | 0 | (6) | 0 |
Interest income | 2 | 2 | 1 |
Dividend income - cost investments | 108 | 108 | 107 |
Other income (expense), net | 3 | (2) | (8) |
Earnings (loss) from continuing operations before tax | 1,075 | 1,030 | 488 |
Income tax (provision) benefit | (213) | (122) | (201) |
Earnings (loss) from continuing operations | 862 | 908 | 287 |
Earnings (loss) from operation of discontinued operations | (16) | (3) | (3) |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 3 | 1 | 1 |
Earnings (loss) from discontinued operations | (13) | (2) | (2) |
Net earnings (loss) | 849 | 906 | 285 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Net earnings (loss) attributable to Celanese Corporation | 843 | 900 | 304 |
Amounts attributable to Celanese Corporation | |||
Earnings (loss) from continuing operations | 856 | 902 | 306 |
Earnings (loss) from discontinued operations | (13) | (2) | (2) |
Net earnings (loss) | $ 843 | $ 900 | $ 304 |
Earnings (loss) per common share - basic | |||
Continuing operations | $ 6.21 | $ 6.22 | $ 2.03 |
Discontinued operations | (0.10) | (0.01) | (0.01) |
Net earnings (loss) - basic | 6.11 | 6.21 | 2.02 |
Earnings (loss) per common share - diluted | |||
Continuing operations | 6.19 | 6.19 | 2.01 |
Discontinued operations | (0.10) | (0.01) | (0.01) |
Net earnings (loss) - diluted | $ 6.09 | $ 6.18 | $ 2 |
Weighted average shares - basic | 137,902,667 | 144,939,433 | 150,838,050 |
Weighted average shares - diluted | 138,317,395 | 145,668,181 | 152,287,955 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net earnings (loss) | $ 849 | $ 906 | $ 285 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 174 | (11) | (188) |
Gain (loss) on cash flow hedges | (1) | 5 | 2 |
Pension and postretirement benefits | 9 | (4) | 3 |
Total other comprehensive income (loss), net of tax | 181 | (10) | (183) |
Total comprehensive income (loss), net of tax | 1,030 | 896 | 102 |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Comprehensive income (loss) attributable to Celanese Corporation | $ 1,024 | $ 890 | $ 121 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Current Assets | |||
Cash and cash equivalents (variable interest entity restricted - 2017: $19; 2016: $18) | $ 576 | $ 638 | |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2017: $9; 2016: $6; variable interest entity restricted - 2017: $5; 2016: $4) | 986 | 801 | |
Non-trade receivables, net | 244 | 223 | |
Inventories | 900 | 720 | |
Marketable securities, at fair value | 32 | 30 | |
Other assets | 54 | 60 | |
Total current assets | 2,792 | 2,472 | |
Investments in affiliates | 976 | 852 | |
Property, plant and equipment (net of accumulated depreciation - 2017: $2,584; 2016: $2,239; variable interest entity restricted - 2017: $697; 2016: $734) | 3,762 | 3,577 | |
Deferred income taxes | 366 | 159 | |
Other assets (variable interest entity restricted - 2017: $6; 2016: $9) | 338 | 307 | |
Goodwill | 1,003 | [1] | 796 |
Intangible assets, net (variable interest entity restricted - 2017: $25; 2016: $26) | 301 | 194 | |
Total assets | 9,538 | 8,357 | |
Current Liabilities | |||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 326 | 118 | |
Trade payables - third party and affiliates | 807 | 625 | |
Other liabilities | 354 | 322 | |
Income taxes payable | 72 | 12 | |
Total current liabilities | 1,559 | 1,077 | |
Long-term debt, net of unamortized deferred financing costs | 3,315 | 2,890 | |
Deferred income taxes | 211 | 130 | |
Uncertain tax positions | 156 | 131 | |
Benefit obligations | 585 | 893 | |
Other liabilities | 413 | 215 | |
Commitments and Contingencies | |||
Stockholders' Equity | |||
Preferred stock, $0.01 par value, 100,000,000 shares authorized (2017 and 2016: 0 issued and outstanding) | 0 | 0 | |
Treasury stock, at cost (2017: 32,387,713 shares; 2016: 26,950,910 shares) | (2,031) | (1,531) | |
Additional paid-in capital | 175 | 157 | |
Retained earnings | 4,920 | 4,320 | |
Accumulated other comprehensive income (loss), net | (177) | (358) | |
Total Celanese Corporation stockholders' equity | 2,887 | 2,588 | |
Noncontrolling interests | 412 | 433 | |
Total equity | 3,299 | 3,021 | |
Total liabilities and equity | 9,538 | 8,357 | |
Series A common stock, $0.0001 par value, 400,000,000 shares authorized (2017: 168,156,969 issued and 135,769,256 outstanding; 2016: 167,611,357 issued and 140,660,447 outstanding) | |||
Stockholders' Equity | |||
Common stock | 0 | 0 | |
Series B common stock, $0.0001 par value, 100,000,000 shares authorized (2017 and 2016: 0 issued and outstanding) | |||
Stockholders' Equity | |||
Common stock | $ 0 | $ 0 | |
[1] | There were $0 million of accumulated impairment losses as of December 31, 2017. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Allowance for doubtful accounts - trade receivables | $ 9 | $ 6 |
Accumulated depreciation | 2,584 | 2,239 |
Cash and cash equivalents (variable interest entity restricted - 2017: $19; 2016: $18) | 576 | 638 |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2017: $9; 2016: $6; variable interest entity restricted - 2017: $5; 2016: $4) | 986 | 801 |
Property, plant and equipment (net of accumulated depreciation - 2017: $2,584; 2016: $2,239; variable interest entity restricted - 2017: $697; 2016: $734) | 3,762 | 3,577 |
Other assets (variable interest entity restricted - 2017: $6; 2016: $9) | 338 | 307 |
Intangible assets, net (variable interest entity restricted - 2017: $25; 2016: $26) | $ 301 | $ 194 |
Stockholders' Equity | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Treasury stock, shares | 32,387,713 | 26,950,910 |
Common stock, par value | $ 0.0001 | |
Series A common stock, $0.0001 par value, 400,000,000 shares authorized (2017: 168,156,969 issued and 135,769,256 outstanding; 2016: 167,611,357 issued and 140,660,447 outstanding) | ||
Stockholders' Equity | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 168,156,969 | 167,611,357 |
Common stock, shares outstanding | 135,769,256 | 140,660,447 |
Series B common stock, $0.0001 par value, 100,000,000 shares authorized (2017 and 2016: 0 issued and outstanding) | ||
Stockholders' Equity | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 0 | 0 |
Common stock, shares outstanding | 0 | 0 |
Variable Interest Entity, Primary Beneficiary [Member] | ||
Current Assets | ||
Cash and cash equivalents (variable interest entity restricted - 2017: $19; 2016: $18) | $ 19 | $ 18 |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2017: $9; 2016: $6; variable interest entity restricted - 2017: $5; 2016: $4) | 5 | 4 |
Property, plant and equipment (net of accumulated depreciation - 2017: $2,584; 2016: $2,239; variable interest entity restricted - 2017: $697; 2016: $734) | 697 | 734 |
Other assets (variable interest entity restricted - 2017: $6; 2016: $9) | 6 | 9 |
Intangible assets, net (variable interest entity restricted - 2017: $25; 2016: $26) | $ 25 | $ 26 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | Series A Common Stock [Member] | Treasury Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss), Net [Member] | Noncontrolling Interests [Member] | InfraServ Gmbh & Co. Hoechst KG [Member] | |
Cumulative Effect on Retained Earnings, Net of Tax | $ 0 | ||||||||
Balance as of the beginning of the period, shares at Dec. 31, 2014 | 152,902,710 | 13,266,625 | |||||||
Balance as of the beginning of the period at Dec. 31, 2014 | $ 260 | ||||||||
Balance as of the beginning of the year at Dec. 31, 2014 | $ 0 | $ (611) | $ 103 | 3,491 | $ (165) | ||||
Stock option exercises, net of tax | $ 0 | 5 | |||||||
Stock option exercises, shares | 94,147 | ||||||||
Purchases of treasury stock, shares | (6,649,865) | ||||||||
Purchases of treasury stock | $ 0 | ||||||||
Stock awards, shares | 435,305 | ||||||||
Stock awards | $ 0 | ||||||||
Purchases of treasury stock, shares | 6,640,601 | [1] | 6,649,865 | ||||||
Purchases of treasury stock, including related fees | $ (420) | $ (420) | |||||||
Stock-based compensation, net of tax | 28 | ||||||||
Net earnings (loss) attributable to Celanese Corporation | 304 | 304 | |||||||
Series A common stock dividends | (174) | ||||||||
Other comprehensive income (loss), net of tax | (183) | (183) | |||||||
Balance as of the end of the year at Dec. 31, 2015 | 2,378 | $ 0 | $ (1,031) | 136 | 3,621 | (348) | |||
Balance as of the end of the period, shares at Dec. 31, 2015 | 146,782,297 | 19,916,490 | |||||||
Net earnings (loss) attributable to noncontrolling interests | (19) | (19) | |||||||
(Distributions to) contributions from noncontrolling interests | 210 | ||||||||
Balance as of the end of the period at Dec. 31, 2015 | 451 | ||||||||
Total equity at Dec. 31, 2015 | $ 2,829 | ||||||||
Dividends, Share-based Compensation, Paid-in-kind | 0 | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ 0 | ||||||||
Cumulative Effect on Retained Earnings, Net of Tax | 0 | ||||||||
Stock option exercises, net of tax | $ 0 | 13 | |||||||
Stock option exercises, shares | 194,872 | ||||||||
Purchases of treasury stock, shares | (7,034,420) | ||||||||
Purchases of treasury stock | $ 0 | ||||||||
Stock awards, shares | 717,698 | ||||||||
Stock awards | $ 0 | ||||||||
Purchases of treasury stock, shares | 7,034,420 | 7,034,420 | |||||||
Purchases of treasury stock, including related fees | $ (500) | $ (500) | |||||||
Stock-based compensation, net of tax | 8 | ||||||||
Net earnings (loss) attributable to Celanese Corporation | 900 | 900 | |||||||
Series A common stock dividends | (201) | ||||||||
Other comprehensive income (loss), net of tax | (10) | (10) | |||||||
Balance as of the end of the year at Dec. 31, 2016 | 2,588 | $ 0 | $ (1,531) | 157 | 4,320 | (358) | |||
Balance as of the end of the period, shares at Dec. 31, 2016 | 140,660,447 | 26,950,910 | |||||||
Net earnings (loss) attributable to noncontrolling interests | 6 | 6 | |||||||
(Distributions to) contributions from noncontrolling interests | (24) | ||||||||
Balance as of the end of the period at Dec. 31, 2016 | 433 | 433 | |||||||
Total equity at Dec. 31, 2016 | $ 3,021 | ||||||||
Dividends, Share-based Compensation, Paid-in-kind | 0 | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 0 | ||||||||
Cumulative Effect on Retained Earnings, Net of Tax | (1) | ||||||||
Stock option exercises, net of tax | $ 0 | 1 | |||||||
Stock option exercises, shares | 20,151 | ||||||||
Purchases of treasury stock, shares | (5,436,803) | ||||||||
Purchases of treasury stock | $ 0 | ||||||||
Stock awards, shares | 525,461 | ||||||||
Stock awards | $ 0 | ||||||||
Purchases of treasury stock, shares | 5,436,803 | 5,436,803 | |||||||
Purchases of treasury stock, including related fees | $ (500) | $ (500) | |||||||
Stock-based compensation, net of tax | 23 | ||||||||
Net earnings (loss) attributable to Celanese Corporation | 843 | 843 | |||||||
Series A common stock dividends | (241) | ||||||||
Other comprehensive income (loss), net of tax | 181 | 181 | |||||||
Balance as of the end of the year at Dec. 31, 2017 | 2,887 | $ 0 | $ (2,031) | $ 175 | 4,920 | $ (177) | |||
Balance as of the end of the period, shares at Dec. 31, 2017 | 135,769,256 | 32,387,713 | |||||||
Net earnings (loss) attributable to noncontrolling interests | 6 | 6 | |||||||
(Distributions to) contributions from noncontrolling interests | (27) | ||||||||
Balance as of the end of the period at Dec. 31, 2017 | 412 | $ 412 | |||||||
Total equity at Dec. 31, 2017 | $ 3,299 | ||||||||
Dividends, Share-based Compensation, Paid-in-kind | $ (1) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ (6) | ||||||||
[1] | The year ended December 31, 2015 excludes 9,264 shares withheld from an executive officer to cover statutory minimum withholding requirements for personal income taxes related to the vesting of restricted stock. Restricted stock awards are considered outstanding at the time of issuance. Accordingly, the shares withheld are treated as treasury shares. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Operating Activities | |||
Net earnings (loss) | $ 849 | $ 906 | $ 285 |
Adjustments to reconcile net earnings (loss) to net cash provided by (used in) operating activities | |||
Asset impairments | 0 | 2 | 126 |
Depreciation, amortization and accretion | 310 | 295 | 363 |
Pension and postretirement net periodic benefit cost | (80) | (54) | (52) |
Pension and postretirement contributions | (363) | (350) | (63) |
Actuarial (gain) loss on pension and postretirement plans | 46 | 103 | 127 |
Pension curtailments and settlements, net | 0 | 0 | (3) |
Deferred income taxes, net | (152) | 83 | 42 |
(Gain) loss on disposition of businesses and assets, net | 5 | 2 | 8 |
Stock-based compensation | 47 | 31 | 40 |
Undistributed earnings in unconsolidated affiliates | (52) | (24) | (5) |
Other, net | 12 | 15 | 7 |
Operating cash provided by (used in) discontinued operations | 8 | 2 | (2) |
Changes in operating assets and liabilities | |||
Trade receivables - third party and affiliates, net | (110) | (59) | 61 |
Inventories | (97) | 8 | 62 |
Other assets | (7) | 39 | (17) |
Trade payables - third party and affiliates | 126 | 7 | (111) |
Other liabilities | 261 | (113) | (6) |
Net cash provided by (used in) operating activities | 803 | 893 | 862 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (267) | (246) | (232) |
Acquisitions, net of cash acquired | (269) | (178) | (6) |
Proceeds from sale of businesses and assets, net | 1 | 12 | 4 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | (288) |
Other, net | (14) | (27) | (36) |
Net cash provided by (used in) investing activities | (549) | (439) | (558) |
Financing Activities | |||
Net change in short-term borrowings with maturities of 3 months or less | 111 | (352) | 350 |
Proceeds from short-term borrowings | 182 | 53 | 80 |
Repayments of short-term borrowings | (124) | (90) | (83) |
Proceeds from long-term debt | 351 | 1,509 | 0 |
Repayments of long-term debt | (77) | (1,127) | (24) |
Purchases of treasury stock, including related fees | (500) | (500) | (420) |
Stock option exercises | 1 | 6 | 3 |
Series A common stock dividends | (241) | (201) | (174) |
(Distributions to) contributions from noncontrolling interests | (27) | (24) | 214 |
Other, net | (27) | (33) | (12) |
Net cash provided by (used in) financing activities | (351) | (759) | (66) |
Exchange rate effects on cash and cash equivalents | 35 | (24) | (51) |
Net increase (decrease) in cash and cash equivalents | (62) | (329) | 187 |
Cash and cash equivalents as of beginning of period | 638 | 967 | 780 |
Cash and cash equivalents as of end of period | $ 576 | $ 638 | $ 967 |
Description of the Company and
Description of the Company and Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of the Company and Basis of Presentation | Description of the Company and Basis of Presentation Description of the Company Celanese Corporation and its subsidiaries (collectively, the "Company") is a global technology and specialty materials company. The Company's business involves processing chemical raw materials, such as methanol, carbon monoxide and ethylene, and natural products, including wood pulp, into value-added chemicals, thermoplastic polymers and other chemical-based products. Definitions In this Annual Report on Form 10-K ("Annual Report"), the term "Celanese" refers to Celanese Corporation, a Delaware corporation, and not its subsidiaries. The term "Celanese US" refers to the Company's subsidiary, Celanese US Holdings LLC, a Delaware limited liability company, and not its subsidiaries. Basis of Presentation The consolidated financial statements contained in this Annual Report were prepared in accordance with accounting principles generally accepted in the United States of America ("US GAAP") for all periods presented and include the accounts of the Company, its majority owned subsidiaries over which the Company exercises control and, when applicable, variable interest entities in which the Company is the primary beneficiary. The consolidated financial statements and other financial information included in this Annual Report, unless otherwise specified, have been presented to separately show the effects of discontinued operations. In the ordinary course of business, the Company enters into contracts and agreements relative to a number of topics, including acquisitions, dispositions, joint ventures, supply agreements, product sales and other arrangements. The Company endeavors to describe those contracts or agreements that are material to its business, results of operations or financial position. The Company may also describe some arrangements that are not material but in which the Company believes investors may have an interest or which may have been included in a Form 8-K filing. Investors should not assume the Company has described all contracts and agreements relative to the Company's business in this Annual Report. For those consolidated ventures in which the Company owns or is exposed to less than 100% of the economics, the outside stockholders' interests are shown as noncontrolling interests. The Company has reclassified certain prior period amounts to conform to the current period's presentation. |
Summary of Accounting Policies
Summary of Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Accounting Policies | Summary of Accounting Policies Critical Accounting Policies Recoverability of Goodwill and Indefinite-Lived Assets The Company assesses the recoverability of the carrying amount of its reporting unit goodwill and indefinite-lived intangible assets either qualitatively or quantitatively annually during the third quarter of its fiscal year using June 30 balances or whenever events or changes in circumstances indicate that the carrying amount of the asset may not be fully recoverable. The Company assesses the recoverability of finite-lived intangible assets in the same manner as for property, plant and equipment. Impairment losses are generally recorded in Other (charges) gains, net in the consolidated statements of operations. Recoverability of the carrying amount of goodwill is measured at the reporting unit level. In performing a quantitative analysis, the Company measures the recoverability of goodwill for each reporting unit using a discounted cash flow model incorporating discount rates commensurate with the risks involved, which is classified as a Level 3 fair value measurement. The key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. Discount rates, growth rates and cash flow projections are the most sensitive and susceptible to change as they require significant management judgment. Discount rates used are similar to the rates estimated by the weighted average cost of capital ("WACC") considering any differences in company-specific risk factors. The Company may engage third-party valuation consultants to assist with this process. Management tests indefinite-lived intangible assets for impairment quantitatively utilizing the relief from royalty method under the income approach to determine the estimated fair value for each indefinite-lived intangible asset, which is classified as a Level 3 fair value measurement. The relief from royalty method estimates the Company's theoretical royalty savings from ownership of the intangible asset. The key assumptions used in this model include discount rates, royalty rates, growth rates, tax rates, sales projections and terminal value rates. Discount rates, royalty rates, growth rates and sales projections are the assumptions most sensitive and susceptible to change as they require significant management judgment. Discount rates used are similar to the rates estimated by the WACC considering any differences in company-specific risk factors. Royalty rates are established by management and are periodically substantiated by third-party valuation consultants. Environmental Liabilities The Company manufactures and sells a diverse line of chemical products throughout the world. Accordingly, the Company's operations are subject to various hazards incidental to the production of industrial chemicals including the use, handling, processing, storage and transportation of hazardous materials. The Company recognizes losses and accrues liabilities relating to environmental matters if available information indicates that it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Depending on the nature of the site, the Company accrues through 15 years , unless the Company has government orders or other agreements that extend beyond 15 years . The Company estimates environmental liabilities on a case-by-case basis using the most current status of available facts, existing technology, presently enacted laws and regulations and prior experience in remediation of contaminated sites. Recoveries of environmental costs from other parties are recorded as assets when their receipt is deemed probable. An environmental reserve 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 and post-remediation monitoring costs. These undiscounted reserves do not take into account any claims or recoveries from insurance. The measurement of environmental liabilities is based on the Company's periodic estimate of what it will cost to perform each of the elements of the remediation effort. The Company utilizes third parties to assist in the management and development of cost estimates for its sites. Changes to environmental regulations or other factors affecting environmental liabilities are reflected in the consolidated financial statements in the period in which they occur. Pension and Other Postretirement Obligations The Company recognizes a balance sheet asset or liability for each of its pension and other postretirement benefit plans equal to the plan's funded status as of a December 31 measurement date. The amounts recognized in the consolidated financial statements related to pension and other postretirement benefits are determined on an actuarial basis. Various assumptions are used in the calculation of the actuarial valuation of the employee benefit plans. These assumptions include the discount rate, compensation levels, expected long-term rates of return on plan assets and trends in health care costs. In addition, actuarial consultants use factors such as withdrawal and mortality rates to estimate the projected benefit obligation. The Company applies the long-term expected rate of return to the fair value of plan assets and immediately recognizes in operating results the change in fair value of plan assets and net actuarial gains and losses annually in the fourth quarter of each fiscal year and whenever a plan is required to be remeasured. Events requiring a plan remeasurement will be recognized in the quarter in which such remeasurement event occurs. The remaining components of pension and other postretirement plan net periodic benefit costs are recorded on a quarterly basis. The Company allocates the service cost and amortization of prior service cost (or credit) components of its pension and postretirement plans to its business segments. Interest cost, expected return on assets and net actuarial gains and losses are considered financing activities managed at the corporate level and are recorded to Other Activities. The Company believes the expense allocation appropriately matches the cost incurred for active employees to the respective business segment. Other postretirement benefit plans provide medical and life insurance benefits to retirees who meet minimum age and service requirements. The key determinants of the accumulated postretirement benefit obligation ("APBO") are the discount rate and the health care cost trend rate. • Discount Rate As of the measurement date, the Company determines the appropriate discount rate used to calculate the present value of future cash flows currently expected to be required to settle the pension and other postretirement benefit obligations. The discount rate is generally based on the yield on high-quality corporate fixed-income securities. In the US, the rate used to discount pension and other postretirement benefit plan liabilities is based on a yield curve developed from market data of over 300 Aa-grade non-callable bonds at the measurement date. This yield curve has discount rates that vary based on the duration of the obligations. The estimated future cash flows for the pension and other benefit obligations were matched to the corresponding rates on the yield curve to derive a weighted average discount rate. The Company determines its discount rates in the Euro zone using the iBoxx Euro Corporate AA Bond indices with appropriate adjustments for the duration of the plan obligations. In other international locations, the Company determines its discount rates based on the yields of high quality government bonds with a duration appropriate to the duration of the plan obligations. • Change in estimate regarding pension and other postretirement benefits Beginning in 2016, the Company elected to change the method used to estimate the service and interest cost components of net periodic benefit cost for its significant defined benefit pension plans and other postretirement benefit plans. Previously, the Company estimated the service and interest cost components utilizing a single weighted average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. The Company elected to use a full yield curve approach in the estimation of these components of net periodic benefit cost by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. This change improves the correlation between projected benefit cash flows and the corresponding yield curve spot rates and provides a more precise measurement of service and interest costs. This change did not affect the measurement of the Company's total benefit obligations as the change in service and interest cost was completely offset in the annual actuarial (gain) loss reported. The Company accounted for this change prospectively as a change in estimate beginning in 2016. • Expected Long-Term Rate of Return on Assets The Company determines the long-term expected rate of return on plan assets by considering the current target asset allocation, as well as the historical and expected rates of return on various asset categories in which the plans are invested. A single long-term expected rate of return on plan assets is then calculated for each plan as the weighted average of the target asset allocation and the long-term expected rate of return assumptions for each asset category within each plan. The expected rate of return is assessed annually and is based on long-term relationships among major asset classes and the level of incremental returns that can be earned by the successful implementation of different active investment management strategies. Equity returns are based on estimates of long-term inflation rate, real rate of return, 10-year Treasury bond premium over cash and historical equity risk premium. Fixed income returns are based on maturity, historical long-term inflation, real rate of return and credit spreads. • Investment Policies and Strategies The investment objectives for the Company's pension plans are to earn, over a moving twenty-year period, a long-term expected rate of return, net of investment fees and transaction costs, sufficient to satisfy the benefit obligations of the plan, while at the same time maintaining adequate liquidity to pay benefit obligations and proper expenses, and meet any other cash needs, in the short- to medium-term. The equity and debt securities objectives are to provide diversified exposure across the US and global equity markets and to manage the risks and returns of the plans through the use of multiple managers and strategies. The fixed income strategy is designed to reduce liability-related interest rate risk by investing in bonds that match the duration and credit quality of the plan liabilities. Derivatives-based strategies may be used to mitigate investment risks. The financial objectives of the qualified pension plans are established in conjunction with a comprehensive review of each plan's liability structure. The Company's asset allocation policy is based on detailed asset/liability analysis. In developing investment policy and financial goals, consideration is given to each plan's demographics, the returns and risks associated with current and alternative investment strategies and the current and projected cash, expense and funding ratios of each plan. Investment policies must also comply with local statutory requirements as determined by each country. A formal asset/liability study of each plan is undertaken every three to five years or whenever there has been a material change in plan demographics, benefit structure or funding status and investment market. The Company has adopted a long-term investment horizon such that the risk and duration of investment losses are weighed against the long-term potential for appreciation of assets. Although there cannot be complete assurance that these objectives will be realized, it is believed that the likelihood for their realization is reasonably high, based upon the asset allocation chosen and the historical and expected performance of the asset classes utilized by the plans. The intent is for investments to be broadly diversified across asset classes, investment styles, market sectors, investment managers, developed and emerging markets and securities in order to moderate portfolio volatility and risk. Investments may be in separate accounts, commingled trusts, mutual funds and other pooled asset portfolios provided they all conform to fiduciary standards. External investment managers are hired to manage pension assets. Investment consultants assist with the screening process for each new manager hired. Over the long-term, the investment portfolio is expected to earn returns that exceed a composite of market indices that are weighted to match each plan's target asset allocation. The portfolio return should also (over the long-term) meet or exceed the return used for actuarial calculations in order to meet the future needs of each plan. Commitments and Contingencies Due to the inherent subjectivity of assessments and unpredictability of outcomes of legal proceedings, the Company's litigation accruals and estimates of possible loss or range of possible loss ("Possible Loss") may not represent the ultimate loss to the Company from legal proceedings. For reasonably possible loss contingencies that may be material, the Company estimates its Possible Loss when determinable, considering that the Company could incur no loss in certain matters. For some matters, the Company is unable, at this time, to estimate its Possible Loss that is reasonably possible of occurring. Generally, the less progress that has been made in the proceedings or the broader the range of potential results, the more difficult it is for the Company to estimate the Possible Loss that is reasonably possible the Company could incur. The Company may disclose certain information related to a plaintiff's claim against the Company alleged in the plaintiff's pleadings or otherwise publicly available. While information of this type may provide insight into the potential magnitude of a matter, it does not necessarily represent the Company's estimate of reasonably possible or probable loss. Some of the Company's exposure in legal matters may be offset by applicable insurance coverage. The Company does not consider the possible availability of insurance coverage in determining the amounts of any accruals or any estimates of Possible Loss. Thus, the Company's exposure and ultimate losses may be higher or lower, and possibly materially so, than the Company's litigation accruals and estimates of Possible Loss. Income Taxes The provision for income taxes is determined using the asset and liability approach of accounting for income taxes. Under this approach, deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and net operating loss and tax credit carryforwards. The amount of deferred taxes on these temporary differences is determined using the tax rates that are expected to apply to the period when the asset is realized or the liability is settled, as applicable, based on tax rates and laws in the respective tax jurisdiction enacted as of the balance sheet date. The Company reviews its deferred tax assets for recoverability and establishes a valuation allowance based on historical taxable income, projected future taxable income, applicable tax strategies and the expected timing of the reversals of existing temporary differences. A valuation allowance is provided when it is more likely than not (likelihood of greater than 50%) that some portion or all of the deferred tax assets will not be realized. The Company considers many factors when evaluating and estimating its tax positions and tax benefits, which may require periodic adjustments and which may not accurately anticipate actual outcomes. Tax positions are recognized only when it is more likely than not (likelihood of greater than 50%), based on technical merits, that the positions will be sustained upon examination. Tax positions that meet the more-likely-than-not threshold are measured using a probability weighted approach as the largest amount of tax benefit that is greater than 50% likely of being realized upon settlement. Whether the more-likely-than-not recognition threshold is met for a tax position is a matter of judgment based on the individual facts and circumstances of that position evaluated in light of all available evidence. The Company recognizes interest and penalties related to uncertain tax positions in Income tax (provision) benefit in the consolidated statements of operations. Other Accounting Policies Consolidation Principles The consolidated financial statements have been prepared in accordance with US GAAP for all periods presented and include the accounts of the Company and its majority owned subsidiaries over which the Company exercises control. All intercompany accounts and transactions have been eliminated in consolidation. Estimates and Assumptions The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of net sales, expenses and allocated charges during the reporting period. Significant estimates pertain to impairments of goodwill, intangible assets and other long-lived assets, purchase price allocations, restructuring costs and other (charges) gains, net, income taxes, pension and other postretirement benefits, asset retirement obligations, environmental liabilities and loss contingencies, among others. Actual results could differ from those estimates. Purchase Accounting The Company recognizes the identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The excess of purchase price over the aggregate fair values is recorded as goodwill. Intangible assets are valued using the relief from royalty, multi-period excess earnings and discounted cash flow methodologies, which are considered Level 3 measurements. The relief from royalty method estimates the Company's theoretical royalty savings from ownership of the intangible asset. Key assumptions used in this method include discount rates, royalty rates, growth rates, sales projections and terminal value rates. Key assumptions used in the multi-period excess earnings method include discount rates, retention rates, growth rates, sales projections, expense projections and contributory asset charges. Key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. All of these methodologies require significant management judgment and, therefore, are susceptible to change. The Company calculates the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed to allocate the purchase price at the acquisition date. The Company may use the assistance of third-party valuation consultants. Fair Value Measurements The Company determines fair value based on the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at fair value, the Company considers assumptions that market participants would use when pricing the asset or liability. Market participant assumptions are categorized by a three-tiered fair value hierarchy which prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. If a financial instrument uses inputs that fall in different levels of the hierarchy, the instrument will be categorized based upon the lowest level of input that is significant to the fair value calculation. Valuations for fund investments, such as common/collective trusts, registered investment companies and short-term investment funds, which do not have readily determinable fair values, are typically estimated using a net asset value provided by a third party as a practical expedient. The levels of inputs used to measure fair value are as follows: Level 1 - unadjusted quoted prices for identical assets or liabilities in active markets accessible by the Company Level 2 - inputs that are observable in the marketplace other than those inputs classified as Level 1 Level 3 - inputs that are unobservable in the marketplace and significant to the valuation Cash and Cash Equivalents All highly liquid investments with original maturities of three months or less are considered cash equivalents. Allowance for Doubtful Accounts The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company believes, based on historical results, the likelihood of actual write-offs having a material impact on financial results is low. The allowance for doubtful accounts is estimated using factors such as customer credit ratings, past collection history and general risk profile. Receivables are charged against the allowance for doubtful accounts when it is probable that the receivable will not be recovered. Inventories Inventories, including stores and supplies, are stated at the lower of cost and net realizable value. Cost for inventories is determined using the first-in, first-out ("FIFO") method. Cost includes raw materials, direct labor and manufacturing overhead. Cost for stores and supplies is primarily determined by the average cost method. Investments • Marketable Securities The cost of available-for-sale securities sold is determined using the specific identification method. • Investments in Affiliates Investments where the Company can exercise significant influence over operating and financial policies of an investee, which is generally considered when an investor owns 20% or more of the voting stock of an investee, are accounted for under the equity method of accounting. Investments where the Company does not exercise significant influence are accounted for under the cost method of accounting. The Company determined it cannot exercise significant influence over certain investments where the Company owns greater than a 20% interest due to local government investment in and influence over these entities, limitations on the Company's involvement in the day-to-day operations and the present inability of the entities to provide timely financial information prepared in accordance with US GAAP. Accordingly, these investments are accounted for under the cost method of accounting. In certain instances, the financial information of the Company's equity investees is not available on a timely basis. Accordingly, the Company records its proportional share of the investee's earnings or losses on a consistent lag of no more than one quarter . When required to assess the recoverability of its investments in affiliates, the Company estimates fair value using a discounted cash flow model. The Company may engage third-party valuation consultants to assist with this process. Property, Plant and Equipment, Net Land is recorded at historical cost. Buildings, machinery and equipment, including capitalized interest, and property under capital lease agreements, are recorded at cost less accumulated depreciation. The Company records depreciation and amortization in its consolidated statements of operations as either Cost of sales, Selling, general and administrative expenses or Research and development expenses consistent with the utilization of the underlying assets. Depreciation is calculated on a straight-line basis over the following estimated useful lives of depreciable assets: Land improvements 20 years Buildings and improvements 30 years Machinery and equipment 20 years Leasehold improvements are amortized over 10 years or the remaining life of the respective lease, whichever is shorter. Accelerated depreciation is recorded when the estimated useful life is shortened. Ordinary repair and maintenance costs, including costs for planned maintenance turnarounds, that do not extend the useful life of the asset are charged to earnings as incurred. Fully depreciated assets are retained in property and depreciation accounts until sold or otherwise disposed. 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 earnings. The Company assesses the recoverability of the carrying amount of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. An impairment loss would be assessed when estimated undiscounted future cash flows from the operation and disposition of the asset group are less than the carrying amount of the asset group. Asset groups have identifiable cash flows and are largely independent of other asset groups. Measurement of an impairment loss is based on the excess of the carrying amount of the asset group over its fair value. The Company calculates the fair value using a discounted cash flow model incorporating discount rates commensurate with the risks involved for the asset group, which is classified as a Level 3 fair value measurement. The key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. Discount rates, growth rates and cash flow projections involve significant judgment and are based on management's estimate of current and forecasted market conditions and cost structure. Impairment losses are generally recorded in Other (charges) gains, net in the consolidated statements of operations. Definite-lived Intangible Assets Customer-related intangible assets and other intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives, which range from three to 30 years . Derivative and Hedging Instruments The Company manages its exposures to interest rates, foreign exchange rates and commodity prices through a risk management program that includes the use of derivative financial instruments. The Company does not use derivative financial instruments for speculative trading purposes. The fair value of derivative instruments other than foreign currency forwards and swaps is recorded as an asset or liability on a net basis at the balance sheet date. • Foreign Exchange Risk Management Certain subsidiaries of the Company have assets and liabilities denominated in currencies other than their respective functional currencies, which creates foreign exchange risk. The Company also is exposed to foreign currency fluctuations on transactions with third-party entities as well as intercompany transactions. The Company minimizes its exposure to foreign currency fluctuations by entering into foreign currency forwards and swaps. These foreign currency forwards and swaps are not designated as hedges. Gains and losses on foreign currency forwards and swaps entered into to offset foreign exchange impacts on intercompany balances are included in Other income (expense), net in the consolidated statements of operations. Gains and losses on foreign currency forwards and swaps entered into to offset foreign exchange impacts on all other assets and liabilities are included in Foreign exchange gain (loss), net in the consolidated statements of operations. The Company uses non-derivative financial instruments that may give rise to foreign currency transaction gains or losses to hedge the foreign currency exposure of net investments in foreign operations. Accordingly, the effective portion of gains and losses from remeasurement of the non-derivative financial instrument is included in foreign currency translation within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Gains and losses are reclassified to earnings in the period the hedged investment is sold or liquidated. • Commodity Risk Management The Company has exposure to the prices of commodities in its procurement of certain raw materials. The Company manages its exposure to commodity risk primarily through the use of long-term supply agreements, multi-year purchasing and sales agreements and forward purchase contracts. The Company regularly assesses its practice of using forward purchase contracts and other raw material hedging instruments in accordance with changes in economic conditions. Forward purchases and swap contracts for raw materials are principally settled through physical delivery of the commodity. For qualifying contracts, the Company has elected to apply the normal purchases and normal sales exception based on the probability at the inception and throughout the term of the contract that the Company would not net settle and the transaction would result in the physical delivery of the commodity. Accordingly, realized gains and losses on these contracts are included in the cost of the commodity upon the settlement of the contract. The Company also uses commodity swaps to hedge the risk of fluctuating price changes in certain raw materials and in which physical settlement does not occur. These commodity swaps fix the variable fee component of the price of certain commodities. All or a portion of these commodity swap agreements may be designated as cash flow hedges. Accordingly, to the extent the cash flow hedge was effective, changes in the fair value of commodity swaps are included in gain (loss) from cash flow hedges within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Gains and losses are reclassified to earnings in the period that the hedged item affected earnings. Insurance Loss Reserves The Company has two wholly-owned insurance companies (the "Captives") that are used as a form of self-insurance for liability and workers compensation risks. Capitalization of the Captives is determined by regulatory guidelines. Premiums written are recognized as revenue based on policy periods. One of the Captives also insures certain third-party risks. The Captives use reinsurance arrangements to reduce their risks, however these arrangements do not relieve the Captives from their obligations to policyholders. The financial condition of the Captives' reinsurers are monitored to minimize exposure to insolvencies. However, failure of the reinsurers to honor their obligations could result in losses to the Captives. Claim reserves are established when sufficient information is available to indicate a specific policy is involved and the Company can reasonably estimate its liability. These reserves are based on management estimates and periodic actuarial valuations. In addition, reserves have been established to cover exposures for both known and unreported claims. Estimates of these liabilities are reviewed and updated regularly, however it is possible that actual results could differ significantly from the recorded liabilities. Asset Retirement Obligations Periodically, the Company will conclude a site no longer has an indeterminate life based on long-lived asset impairment triggering events and decisions made by the Company. Accordingly, the Company will record asset retirement obligations associated with such sites. To measure the fair value of the asset retirement obligations, the Company will use the expected present value technique, which is classified as a Level 3 fair value measurement. The expected present value technique uses a set of cash flows that represent the probability-weighted average of all possible cash flows based on the Company's jud |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following table provides a brief description of recent Accounting Standard Updates ("ASU") issued by the Financial Accounting Standards Board ("FASB"): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities. The new guidance improves the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results. January 1, 2019. Early adoption is permitted. The Company plans to early adopt the new guidance during the three months ended March 31, 2018, but does not expect adoption will have a material impact on the Company's financial statements and related disclosures. In March 2017, the FASB issued ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The new guidance clarifies the presentation and classification of the components of net periodic benefit costs in the consolidated statement of operations. January 1, 2018. Early adoption is permitted. The adoption of the new guidance will result in the reclassification of ($44) million, $41 million and $59 million of non-operating pension cost (credit) into non-operating pension cost (credit) below Operating profit, primarily impacting the Other Activities segment, for the years ended December 31, 2017, 2016 and 2015, respectively. The reclassification will not impact Earnings from continuing operations before taxes. Further, the adoption will not have a material impact on the Company's financial statement disclosures. In January 2017, the FASB issued ASU 2017-04, Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment. The new guidance simplifies subsequent measurement of goodwill by eliminating Step 2 from the goodwill impairment test. January 1, 2020. Early adoption is permitted. The Company adopted the new guidance during the three months ended September 30, 2017, as part of the FASB's simplification initiative. The adoption of the new guidance did not have a material impact to the Company. In October 2016, the FASB issued ASU 2016-16, Intra-Entity Transfers of Assets Other Than Inventory. The new guidance requires the income tax consequences of an intra-entity transfer of assets other than inventory to be recognized when the transfer occurs rather than deferring until an outside sale has occurred. January 1, 2018. Early adoption is permitted. The adoption of the new guidance will not have a material impact on the Company's financial statements and related disclosures. In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments. The new guidance clarifies the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. January 1, 2018. Early adoption is permitted. The adoption of the new guidance will not have a material impact on the Company's financial statements and related disclosures. In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. The new guidance simplifies several aspects of the accounting for share-based payment transactions, including the timing of recognizing income tax consequences, classification of awards as either equity or liabilities, calculation of compensation expense and classification on the statement of cash flows. January 1, 2017. Early adoption is permitted. The Company adopted the new guidance effective January 1, 2017, as part of the FASB's simplification initiative. The adoption of the new guidance did not have a material impact to the Company. Note 2 ). Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In February 2016, the FASB issued ASU 2016-02, Leases. The new guidance supersedes the lease guidance under FASB Accounting Standards Codification ("ASC") Topic 840, Leases, resulting in the creation of FASB ASC Topic 842, Leases. The guidance requires a lessee to recognize in the statement of financial position a liability to make lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for both finance and operating leases. January 1, 2019. Early adoption is permitted. The Company is currently evaluating its population of leases, and is continuing to assess all potential impacts of the standard, but currently believes the most significant impact relates to its accounting for manufacturing and logistics equipment, and real estate operating leases. The Company anticipates recognition of additional assets and corresponding liabilities related to leases upon adoption, but cannot quantify these at this time. The Company plans to adopt the standard effective January 1, 2019. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities. The new guidance updates certain aspects of recognition, measurement, presentation and disclosure of financial instruments. January 1, 2018. Early adoption is permitted. The Company plans to adopt the guidance effective January 1, 2018, and will apply the modified retrospective approach with a cumulative-effect adjustment of less than $1 million to Retained earnings. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers . Since that date, the FASB has issued additional ASUs clarifying certain aspects of ASU 2014-09. The new guidance requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. The new guidance provides alternative methods of adoption. Subsequent guidance issued after May 2014 did not change the core principle of ASU 2014-09. January 1, 2018. Earlier adoption was permitted, but not before December 15, 2016. The Company will adopt the revenue guidance effective January 1, 2018, using the modified retrospective approach. The Company has completed its assessment, and the impact from adoption is less than $1 million to the consolidated financial statements and related disclosures. Further, the Company does not expect a significant change to the manner or timing of recognizing revenue as a majority of its revenue transactions are recognized when product is delivered. |
Acquisitions, Dispositions and
Acquisitions, Dispositions and Plant Closures | 12 Months Ended |
Dec. 31, 2017 | |
Acquisitions, Dispositions and Plant Closures [Abstract] | |
Acquisitions, Dispositions and Plant Closures [Text Block] | Acquisitions, Dispositions and Plant Closures Acquisitions • Acetate Tow Joint Venture On June 18, 2017, Celanese, through various subsidiaries, entered into an agreement with affiliates of The Blackstone Group L.P. (the "Blackstone Entities") to form a joint venture which combines substantially all of the operations of the Company's cellulose derivatives business and the operations of the Rhodia Acetow cellulose acetate business formerly operated by Solvay S.A. and acquired by the Blackstone Entities on June 1, 2017. The Company's cellulose derivatives operations are included in the Consumer Specialties segment. The combined business will operate under a common governance structure through two separate joint ventures, each of which will be owned ultimately 70% and 30% by Celanese and the Blackstone Entities, respectively. One venture will primarily be comprised of the US operations being contributed and the other will be comprised of the remaining international operations being contributed. Closing of the transaction is subject to customary closing conditions, including: (i) waiting periods, clearances and/or approvals of the European Union and other jurisdictions requiring antitrust or similar approvals, and (ii) completion of the internal reorganization of the Company's cellulose derivatives business to facilitate the closing and operation of the joint venture post-closing. The agreement may be terminated by Celanese and/or the Blackstone Entities under certain limited circumstances, including if the closing is not consummated within one year of signing, which date may be extended by an additional 90 days, under certain circumstances. Pursuant to the terms of the agreement, once approved and upon closing, the Company is expecting to consolidate the joint venture results, subject to the Blackstone Entities' noncontrolling interest. The Company has received regulatory approval in four out of six jurisdictions requiring approval, and the European Commission ("EC") has moved into its Phase II investigation of the ongoing merger review process. Under the standard review process of a Phase II investigation, the Company received a statement of objections from the EC. This statement of objections sets out the provisional position of the EC and does not prejudge the final outcome of the case. In connection with the agreement, the joint venture obtained commitments for credit facilities aggregating $2.4 billion to be entered into by the joint venture entities at the closing consisting of (i) senior secured ( $135 million ) and senior unsecured ( $65 million ) revolving credit facilities in an aggregate principal amount of $200 million , (ii) senior secured term loan facilities in an aggregate principal amount of $1.0 billion , (iii) a senior unsecured bridge facility in an aggregate principal amount of $800 million , which bridge facility will backstop the proposed issuance of $800 million senior unsecured notes by a joint venture subsidiary, and (iv) a senior unsecured term loan facility in an aggregate principal amount of $400 million . The credit facilities will be guaranteed by certain of the subsidiaries of the respective borrowers; however, only the $65 million senior unsecured revolving credit facility and the $400 million senior unsecured term loan credit facility will be guaranteed by Celanese. Approximately $2.2 billion of the proceeds of the debt financing are expected to be used, in part, to repay certain of the parties' existing indebtedness and a $1.6 billion dividend to the Company. • Nilit Plastics On May 3, 2017, using cash on hand and borrowings under the Company's senior unsecured revolving credit facility, the Company acquired the nylon compounding division of Nilit Group ("Nilit"), an independent producer of high performance nylon resins, fibers and compounds. Celanese acquired the nylon compounding product portfolio, customer agreements and manufacturing, technology and commercial facilities. The acquisition of Nilit increases the Company's global engineered materials product platforms, extends the operational model, technical and industry solutions capabilities and expands project pipelines. The acquisition was accounted for as a business combination and the acquired operations are included in the Advanced Engineered Materials segment. Pro forma financial information since the respective acquisition date has not been provided as the acquisition did not have a material impact on the Company's financial information. The Company allocated the purchase price of the acquisition to identifiable assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The excess of the purchase price over the aggregate fair values was recorded as goodwill. The Company calculated the fair value of the assets acquired using the income, market, or cost approach (or a combination thereof). Fair values were determined based on Level 3 inputs including estimated future cash flows, discount rates, royalty rates, growth rates, sales projections, retention rates and terminal values, all of which require significant management judgment and are susceptible to change. The purchase price allocation is based upon preliminary information and is subject to change if additional information about the facts and circumstances that existed at the acquisition date becomes available. The final fair value of the net assets acquired may result in adjustments to the assets and liabilities, including goodwill. During the year ended December 31, 2017 , the Company made certain adjustments to its purchase price allocation to adjust taxes and working capital, which resulted in a $2 million reduction to goodwill initially recorded. Any subsequent measurement period adjustments are not expected to have a material impact on the Company's results of operations. The preliminary purchase price allocation for the Nilit acquisition is as follows: As of (In $ millions) Cash and cash equivalents 4 Trade receivables - third party and affiliates 21 Inventories 37 Property, plant and equipment, net 36 Intangible assets ( Note 11 ) 104 Goodwill ( Note 11 ) (1) 136 Other assets 11 Total fair value of assets acquired 349 Trade payables - third party and affiliates (8 ) Total debt ( Note 14 ) (12 ) Deferred income taxes (26 ) Benefit obligations (15 ) Other liabilities (2) (45 ) Total fair value of liabilities assumed (106 ) Net assets acquired 243 ______________________________ (1) Goodwill consists of expected revenue and operating synergies resulting from the acquisition. None of the goodwill is deductible for income tax purposes. (2) Includes a $29 million acquisition payment to Nilit Group after the date of close, which was paid as of June 30, 2017. During the year ended December 31, 2017 , transaction related costs of $3 million were expensed as incurred to Selling, general and administrative expenses in the consolidated statements of operations. The amount of pro forma Net earnings (loss) of Nilit included in the Company's consolidated statement of operations was less than 1% (unaudited) of its consolidated Net earnings (loss) had the acquisition occurred as of the beginning of 2017. The amount of Nilit Net earnings (loss) consolidated by the Company since the acquisition date was not material. • SO.F.TER. S.r.l. In December 2016, the Company acquired 100% of the stock of the Forli, Italy based SO.F.TER. S.r.l. ("SOFTER"), a leading thermoplastic compounder. The acquisition of SOFTER increases the Company's global engineered materials product platforms, extends the operational model, technical and industry solutions capabilities and expands project pipelines. The acquisition was accounted for as a business combination and the acquired operations are included in the Advanced Engineered Materials segment. The Company allocated the purchase price of the acquisition to identifiable assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The purchase price allocation was based on preliminary information. During the year ended December 31, 2017 , the Company made certain adjustments to its purchase price allocation to adjust property, plant and equipment, inventory, accounts receivable and taxes, which resulted in a $6 million reduction to goodwill initially recorded. Plant Closures • Lanaken, Belgium In December 2015, the Company announced it had ceased 50% of its manufacturing operations at its acetate tow facility in Lanaken, Belgium. The exit costs related to the capacity reduction at its Lanaken facility are included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). The Lanaken, Belgium operations are included in the Company's Consumer Specialties segment. • Tarragona, Spain In December 2015, the Company announced the sale of its conventional emulsions production facility. The Company was unable to find a credible buyer for the vinyl acetate ethylene ("VAE") emulsions facility, resulting in its closure. The Company completed the information and consultation process with employee representatives pursuant to which the Company ceased all manufacturing operations at the VAE emulsions facility. The exit costs, including long-lived asset impairment losses, related to the closure of the Tarragona VAE facility and the sale of the conventional facility are included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). The Tarragona, Spain operations are included in the Company's Industrial Specialties segment. • Meredosia, Illinois In December 2015, the Company ceased operation of its VAE emulsions facility in Meredosia, Illinois. The exit costs, including long-lived asset impairment losses, related to the closure of the VAE facility are included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). The Meredosia, Illinois operations are included in the Company's Industrial Specialties segment. During the year ended December 31, 2015, the Company also recorded $39 million in accelerated depreciation expense related to property, plant and equipment no longer in use at the Company's ethanol technology development unit in Clear Lake, Texas. The accelerated depreciation is included in Research and development expenses in the consolidated statements of operations and is included in the Company's Acetyl Intermediates segment. |
Ventures and Variable Interest
Ventures and Variable Interest Entities | 12 Months Ended |
Dec. 31, 2017 | |
Ventures and Variable Interest Entities [Abstract] | |
Ventures and Variable Interest Entities | Ventures and Variable Interest Entities Consolidated Variable Interest Entities The Company has a joint venture, Fairway Methanol LLC ("Fairway"), with Mitsui & Co., Ltd., of Tokyo, Japan ("Mitsui"), in which the Company owns 50% of Fairway, for the production of methanol at the Company's integrated chemical plant in Clear Lake, Texas. The methanol unit utilizes natural gas in the US Gulf Coast region as a feedstock and benefits from the existing infrastructure at the Company's Clear Lake facility. Both Mitsui and the Company supply their own natural gas to Fairway in exchange for methanol tolling under a cost-plus off-take arrangement. The Company determined that Fairway is a variable interest entity ("VIE") in which the Company is the primary beneficiary. Under the terms of the joint venture agreements, the Company provides site services and day-to-day operations for the methanol facility. In addition, the joint venture agreements provide that the Company indemnifies Mitsui for environmental obligations that exceed a specified threshold, as well as an equity option between the partners. Accordingly, the Company consolidates the venture and records a noncontrolling interest for the share of the venture owned by Mitsui. Fairway is included in the Company's Acetyl Intermediates segment. The carrying amount of the assets and liabilities associated with Fairway included in the consolidated balance sheets are as follows: As of December 31, 2017 2016 (In $ millions) Cash and cash equivalents 19 18 Trade receivables, net - third party & affiliates 9 8 Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) 697 734 Intangible assets (net of accumulated amortization - 2017: $2; 2016: $1) 25 26 Other assets 6 9 Total assets (1) 756 795 Trade payables 16 15 Other liabilities (2) 4 2 Total debt 5 5 Deferred income taxes 3 2 Total liabilities 28 24 ______________________________ (1) Assets can only be used to settle the obligations of Fairway. (2) Primarily represents amounts owed by Fairway to the Company for reimbursement of expenditures. Nonconsolidated Variable Interest Entities The Company holds variable interests in entities that supply certain raw materials and services to the Company. The variable interests primarily relate to cost-plus contractual arrangements with the suppliers and recovery of capital expenditures for certain plant assets plus a rate of return on such assets. Liabilities for such supplier recoveries of capital expenditures have been recorded as capital lease obligations. The entities are not consolidated because the Company is not the primary beneficiary of the entities as it does not have the power to direct the activities of the entities that most significantly impact the entities' economic performance. The Company's maximum exposure to loss as a result of its involvement with these VIEs as of December 31, 2017 relates primarily to the recovery of capital expenditures for certain property, plant and equipment. The carrying amount of the assets and liabilities associated with the obligations to nonconsolidated VIEs, as well as the maximum exposure to loss relating to these nonconsolidated VIEs are as follows: As of December 31, 2017 2016 (In $ millions) Property, plant and equipment, net 53 60 Trade payables 25 53 Current installments of long-term debt 18 10 Long-term debt 76 91 Total liabilities 119 154 Maximum exposure to loss 164 240 The difference between the total liabilities associated with obligations to unconsolidated VIEs and the maximum exposure to loss primarily represents take-or-pay obligations for services included in the Company's unconditional purchase obligations ( Note 24 ). |
Marketable Securities, at Fair
Marketable Securities, at Fair Value | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities, at Fair Value | Marketable Securities, at Fair Value The Company's nonqualified trusts hold available-for-sale securities for funding requirements of the Company's nonqualified pension plans ( Note 15 ) as follows: As of December 31, 2017 2016 (In $ millions) Amortized cost 32 30 Gross unrealized gain — — Gross unrealized loss — — Fair value 32 30 |
Receivables, Net
Receivables, Net | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Receivables, Net | Receivables, Net As of December 31, 2017 2016 (In $ millions) Trade receivables - third party and affiliates 995 807 Allowance for doubtful accounts - third party and affiliates (9 ) (6 ) Trade receivables - third party and affiliates, net 986 801 As of December 31, 2017 2016 (In $ millions) Non-income taxes receivable 81 83 Reinsurance receivables 16 16 Income taxes receivable 64 43 Other 83 81 Non-trade receivables, net 244 223 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories As of December 31, 2017 2016 (In $ millions) Finished goods 591 506 Work-in-process 57 45 Raw materials and supplies 252 169 Total 900 720 |
Investments in Affiliates
Investments in Affiliates | 12 Months Ended |
Dec. 31, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Investments in Affiliates | Investments in Affiliates Entities in which the Company has an investment accounted for under the cost or equity method of accounting are considered affiliates; any transactions or balances with such companies are considered affiliate transactions. Equity Method Equity method investments and ownership interests by business segment are as follows: Ownership December 31, Carrying December 31, Share of December 31, Dividends and December 31, 2017 2016 2017 2016 2017 2016 2015 2017 2016 2015 (In percentages) (In $ millions) Advanced Engineered Materials Ibn Sina 25 25 178 113 58 38 88 (1 ) (18 ) (98 ) InfraServ GmbH & Co. Hoechst KG (1) 32 — 139 — 19 — — (26 ) — — Fortron Industries LLC 50 50 111 100 17 9 11 (6 ) (9 ) (8 ) Korea Engineering Plastics Co., Ltd. 50 50 155 137 25 25 16 (25 ) (11 ) (10 ) Polyplastics Co., Ltd. 45 45 170 156 57 50 35 (64 ) (54 ) (20 ) Other Activities (2) InfraServ GmbH & Co. Gendorf KG (3) 39 39 41 38 4 7 7 (5 ) (5 ) (5 ) InfraServ GmbH & Co. Hoechst KG (1) — 32 — 132 — 22 21 — (30 ) (32 ) InfraServ GmbH & Co. Knapsack KG (3) 27 27 20 18 2 4 4 (4 ) (4 ) (3 ) Consumer Specialties Sherbrooke Capital Health and Wellness, L.P. (4) 10 10 3 3 1 — (1 ) — — — Total 817 697 183 155 181 (131 ) (131 ) (176 ) ______________________________ (1) InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Advanced Engineered Materials segment. Prior to 2017, InfraServ GmbH & Co. Hoechst KG was owned primarily by an entity included in the Company's Other Activities segment. The Company's Consumer Specialties segment and Acetyl Intermediates segment also each hold an ownership percentage. (2) InfraServ real estate service companies ("InfraServ Entities") own and operate sites in Frankfurt am Main-Hoechst, Gendorf and Knapsack, Germany. The InfraServ Entities were created to own land and property and to provide various technical and administrative services at these manufacturing locations. (3) See Note 29 for further information. (4) The Company accounts for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. under the equity method of accounting because the Company is able to exercise significant influence. Cost Method Cost method investments and ownership interests by business segment are as follows: Ownership December 31, Carrying as of December 31, Dividend December 31, 2017 2016 2017 2016 2017 2016 2015 (In percentages) (In $ millions) Consumer Specialties Kunming Cellulose Fibers Co. Ltd. 30 30 14 14 12 14 14 Nantong Cellulose Fibers Co. Ltd. 31 31 109 106 81 80 79 Zhuhai Cellulose Fibers Co. Ltd. 30 30 30 30 14 13 13 Other Activities InfraServ GmbH & Co. Wiesbaden KG 8 8 5 5 1 1 1 Other 1 — — — — Total 159 155 108 108 107 Transactions with Affiliates The Company owns manufacturing facilities at the InfraServ location in Frankfurt am Main-Hoechst, Germany and has contractual agreements with the InfraServ Entities and certain other equity affiliates and investees accounted for under the cost method. These contractual agreements primarily relate to energy purchases, site services and purchases of product for consumption and resale. Transactions and balances with affiliates are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Purchases 250 203 195 Sales — 2 — As of December 31, 2017 2016 (In $ millions) Non-trade receivables 21 26 Total due from affiliates 21 26 Short-term borrowings (1) 32 17 Trade payables 36 45 Current Other liabilities 8 8 Total due to affiliates 76 70 ______________________________ (1) The Company has agreements with certain affiliates whereby excess affiliate cash is lent to and managed by the Company at variable interest rates governed by those agreements. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, Plant and Equipment, Net | Property, Plant and Equipment, Net As of December 31, 2017 2016 (In $ millions) Land 47 38 Land improvements 72 70 Buildings and building improvements 758 695 Machinery and equipment 5,101 4,753 Construction in progress 368 260 Gross asset value 6,346 5,816 Accumulated depreciation (2,584 ) (2,239 ) Net book value 3,762 3,577 Assets under capital leases, net, included in the amounts above are as follows: As of December 31, 2017 2016 (In $ millions) Buildings 14 13 Machinery and equipment 296 291 Accumulated depreciation (179 ) (149 ) Net book value 131 155 Capitalized interest costs and depreciation expense are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Capitalized interest 6 5 15 Depreciation expense 285 281 346 During 2017 and 2016 , certain long-lived assets were impaired ( Note 18 ). No long-lived assets were impaired during 2015 . |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Net | Goodwill and Intangible Assets, Net Goodwill Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Total (In $ millions) As of December 31, 2015 282 230 39 154 705 Acquisitions ( Note 4 ) 106 — — — 106 Exchange rate changes (3 ) (5 ) (1 ) (6 ) (15 ) As of December 31, 2016 385 225 38 148 796 Acquisitions ( Note 4 ) 128 — — — 128 Exchange rate changes 42 12 2 23 79 As of December 31, 2017 (1) 555 237 40 171 1,003 ______________________________ (1) There were $0 million of accumulated impairment losses as of December 31, 2017 . In connection with the Company's annual goodwill impairment assessment, the Company did not record an impairment loss to goodwill during the nine months ended September 30, 2017 as the estimated fair value for each of the Company's reporting units exceeded the carrying amount of the underlying assets by a substantial margin ( Note 2 ). No events or changes in circumstances occurred during the three months ended December 31, 2017 that would indicate that the carrying amount of the assets may not be fully recoverable. Accordingly, no additional impairment analysis was performed during that period. Intangible Assets, Net Finite-lived intangible assets are as follows: Licenses Customer- Related Intangible Assets Developed Technology Covenants Not to Compete and Other Total (In $ millions) Gross Asset Value As of December 31, 2015 38 456 35 50 579 Acquisitions ( Note 4 ) — 64 — 3 67 (1) Exchange rate changes (2 ) (11 ) — — (13 ) As of December 31, 2016 36 509 35 53 633 Acquisitions ( Note 4 ) — 73 9 — 82 (2) Exchange rate changes 2 58 1 1 62 As of December 31, 2017 38 640 45 54 777 Accumulated Amortization As of December 31, 2015 (25 ) (449 ) (25 ) (29 ) (528 ) Amortization (3 ) (2 ) (2 ) (2 ) (9 ) Exchange rate changes 1 11 1 — 13 As of December 31, 2016 (27 ) (440 ) (26 ) (31 ) (524 ) Amortization (4 ) (11 ) (3 ) (2 ) (20 ) Exchange rate changes (2 ) (45 ) (1 ) 1 (47 ) As of December 31, 2017 (33 ) (496 ) (30 ) (32 ) (591 ) Net book value 5 144 15 22 186 ______________________________ (1) Primarily related to intangible assets acquired from SOFTER ( Note 4 ) during the year ended December 31, 2016 , with a weighted average amortization period of 12 years . (2) Primarily related to intangible assets acquired from Nilit ( Note 4 ) during the year ended December 31, 2017 , with a weighted average amortization period of 14 years . Indefinite-lived intangible assets are as follows: Trademarks and Trade Names (In $ millions) As of December 31, 2015 74 Acquisitions ( Note 4 ) 12 Exchange rate changes (1 ) As of December 31, 2016 85 Acquisitions ( Note 4 ) 22 Exchange rate changes 8 As of December 31, 2017 115 In connection with the Company's annual indefinite-lived intangible assets impairment assessment, the Company did not record an impairment loss to indefinite-lived intangible assets during the nine months ended September 30, 2017 as the estimated fair value for each of the Company's indefinite-lived intangible assets exceeded the carrying amount of the underlying asset by a substantial margin ( Note 2 ). No events or changes in circumstances occurred during the three months ended December 31, 2017 that would indicate that the carrying amount of the assets may not be fully recoverable. Accordingly, no additional impairment analysis was performed during that period. The Company's trademarks and trade names have an indefinite life. For the year ended December 31, 2017 , the Company did not renew or extend any intangible assets. Estimated amortization expense for the succeeding five fiscal years is as follows: (In $ millions) 2018 19 2019 17 2020 15 2021 15 2022 14 |
Current Other Liabilities
Current Other Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities, Current [Abstract] | |
Current Other Liabilities | Current Other Liabilities As of December 31, 2017 2016 (In $ millions) Asset retirement obligations 19 9 Benefit obligations ( Note 15 ) 30 31 Customer rebates 65 51 Derivatives ( Note 22 ) 3 3 Environmental ( Note 16 ) 14 14 Insurance 5 6 Interest 17 15 Restructuring ( Note 18 ) 5 16 Salaries and benefits 113 97 Sales and use tax/foreign withholding tax payable 16 21 Other 67 59 Total 354 322 |
Noncurrent Other Liabilities
Noncurrent Other Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities, Noncurrent [Abstract] | |
Noncurrent Other Liabilities | Noncurrent Other Liabilities As of December 31, 2017 2016 (In $ millions) Asset retirement obligations 7 20 Deferred proceeds 47 41 Deferred revenue 6 9 Environmental ( Note 16 ) 59 50 Income taxes payable ( Note 19 ) 197 6 Insurance 43 46 Other 54 43 Total 413 215 Changes in asset retirement obligations are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Balance at beginning of year 29 36 37 Additions (1) — 2 — Accretion 1 1 1 Payments (5 ) (10 ) (4 ) Revisions to cash flow estimates (2) 1 — 2 Balance at end of year 26 29 36 ______________________________ (1) Primarily relates to sites which management no longer considers to have an indeterminate life. (2) Primarily relates to revisions to the estimated cost and timing of future obligations. Included in the asset retirement obligations for the years ended December 31, 2017 and 2016 is $10 million and $10 million , respectively, related to indemnifications received for a business acquired in 2005. The corresponding $10 million receivable is included in Non-trade receivables, net in the consolidated balance sheet as of December 31, 2017 . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt As of December 31, 2017 2016 (In $ millions) Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates Current installments of long-term debt 63 27 Short-term borrowings, including amounts due to affiliates (1) 86 68 Short-term SOFTER bank loans ( Note 4 ) (2) — 23 Revolving credit facility (3) 97 — Accounts receivable securitization facility (4) 80 — Total 326 118 ______________________________ (1) The weighted average interest rate was 2.8% and 3.1% as of December 31, 2017 and 2016 , respectively. (2) The weighted average interest rate was 1.2% as of December 31, 2016 . (3) The weighted average interest rate was 4.1% as of December 31, 2017 . (4) The weighted average interest rate was 2.1% as of December 31, 2017 . As of December 31, 2017 2016 (In $ millions) Long-Term Debt Senior unsecured term loan due 2021 (1) 494 500 Senior unsecured notes due 2019, interest rate of 3.250% 360 316 Senior unsecured notes due 2021, interest rate of 5.875% 400 400 Senior unsecured notes due 2022, interest rate of 4.625% 500 500 Senior unsecured notes due 2023, interest rate of 1.125% 897 788 Senior unsecured notes due 2025, interest rate of 1.250% 359 — Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% 169 170 SOFTER bank loans due at various dates through 2021 ( Note 4 ) (2) — 47 Nilit bank loans due at various dates through 2026 ( Note 4 ) (3) 11 — Obligations under capital leases due at various dates through 2054 208 217 Subtotal 3,398 2,938 Unamortized debt issuance costs (4) (20 ) (21 ) Current installments of long-term debt (63 ) (27 ) Total 3,315 2,890 ______________________________ (1) The margin for borrowings under the senior unsecured term loan due 2021 was 1.5% above LIBOR at current Celanese credit ratings. (2) The weighted average interest rate was 1.6% as of December 31, 2016 . (3) The weighted average interest rate was 1.3% as of December 31, 2017 . (4) Related to the Company's long-term debt, excluding obligations under capital leases. Senior Credit Facilities In July 2016, Celanese, Celanese US and certain subsidiaries entered into a new senior credit agreement (the "Credit Agreement") consisting of a $500 million senior unsecured term loan and a $1.0 billion senior unsecured revolving credit facility (with a letter of credit sublimit), each maturing in 2021. The Credit Agreement is guaranteed by Celanese, Celanese US and substantially all of its domestic subsidiaries ("the Subsidiary Guarantors"). The Company's debt balances and amounts available for borrowing under its senior unsecured revolving credit facility are as follows: As of December 31, 2017 (In $ millions) Revolving Credit Facility Borrowings outstanding (1) 97 Letters of credit issued — Available for borrowing (2) 903 ______________________________ (1) The Company borrowed $528 million and repaid $431 million under its senior unsecured revolving credit facility during the year ended December 31, 2017 . (2) The margin for borrowings under the senior unsecured revolving credit facility were 1.5% above LIBOR at current Company credit ratings. Senior Notes The Company has outstanding senior unsecured notes, issued in public offerings registered under the Securities Act of 1933 ("Securities Act"), as amended (collectively, the "Senior Notes"). The Senior Notes were issued by Celanese US and are guaranteed on a senior unsecured basis by Celanese and the Subsidiary Guarantors. Celanese US may redeem some or all of each of the Senior Notes, prior to their respective maturity dates, at a redemption price of 100% of the principal amount, plus a "make-whole" premium as specified in the applicable indenture, plus accrued and unpaid interest, if any, to the redemption date. On December 11, 2017, Celanese US completed an offering of €300 million in principal amount of 1.250% senior unsecured notes due February 11, 2025 (the " 1.250% Notes") in a public offering registered under the Securities Act. The 1.250% Notes were issued under a base indenture dated May 6, 2011. The 1.250% Notes were issued at a discount to par at a price of 99.810% , which is being amortized to Interest expense in the consolidated statements of operations over the term of the 1.250% Notes. Commencing November 11, 2024 through the redemption date, February 11, 2025, Celanese US may redeem some or all of the 1.250% Notes at any time and from time to time at a redemption price of 100% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date. In September 2016, Celanese US completed an offering of €750 million in principal amount of 1.125% senior unsecured notes due September 26, 2023 (the "1.125% Notes") in a public offering registered under the Securities Act. The 1.125% Notes were issued under a base indenture dated May 6, 2011. The 1.125% Notes were issued at a discount to par at a price of 99.713% , which is being amortized to Interest expense in the consolidated statements of operations over the term of the 1.125% Notes. Net proceeds from the sale of the 1.125% Notes were used to repay $411 million of outstanding borrowings under the new senior unsecured revolving credit facility and for general corporate purposes. Commencing June 26, 2023 through the redemption date, September 26, 2023, Celanese US may redeem some or all of the 1.125% Notes at any time and from time to time at a redemption price of 100% of the principal amount, plus accrued and unpaid interest, if any, to the redemption date. SOFTER Bank Loans In January 2017, the Company repaid $69 million of the $70 million SOFTER bank loans outstanding at December 31, 2016 with cash on hand. Accounts Receivable Securitization Facility The Company has a US accounts receivable securitization facility involving receivables of certain of its domestic subsidiaries of the Company transferred to a wholly-owned, "bankruptcy remote" special purpose subsidiary of the Company ("SPE"). The securitization facility, which permits cash borrowings and letters of credit, expires in July 2019. All of the SPE's assets have been pledged to the administrative agent in support of the SPE's obligations under the facility. The Company's debt balances and amounts available for borrowing under its securitization facility are as follows: As of December 31, 2017 (In $ millions) Accounts Receivable Securitization Facility Borrowings outstanding (1) 80 Letters of credit issued 29 Available for borrowing 11 Total borrowing base 120 Maximum borrowing base (2) 120 ______________________________ (1) The Company borrowed $85 million and repaid $5 million during the year ended December 31, 2017 . (2) Outstanding accounts receivable transferred to the SPE was $158 million . Principal payments scheduled to be made on the Company's debt, including short-term borrowings, are as follows: (In $ millions) 2018 326 2019 437 2020 80 2021 794 2022 526 Thereafter 1,498 Total 3,661 Net deferred financing costs are as follows: (In $ millions) As of December 31, 2014 27 Financing costs deferred — Accelerated amortization due to refinancing activity — Amortization (5 ) As of December 31, 2015 (1) 22 Financing costs deferred (2) 13 Accelerated amortization due to refinancing activity (3) (3 ) Amortization (5 ) As of December 31, 2016 (1) 27 Financing costs deferred (4) 1 Accelerated amortization due to refinancing activity — Amortization (4 ) As of December 31, 2017 (1) 24 ____________________________ (1) Includes $4 million , $6 million and $4 million as of December 31, 2017 , 2016 and 2015 , respectively, related to the Company's revolving credit facility and accounts receivables securitization facility, which are included in noncurrent Other assets in the consolidated balance sheets. (2) Includes $5 million , $6 million and $2 million related to the Credit Agreement, the 1.125% Notes and the pollution control and industrial revenue bonds, respectively, all of which are being amortized through the term of the respective financing arrangement. (3) Includes $2 million and $1 million related to the senior secured credit facilities and the pollution control and industrial revenue bonds, respectively, which are included in Refinancing expense in the consolidated statement of operations during the year ended December 31, 2016. (4) Related to the 1.250% Notes, which are being amortized through the term of the 1.250% Notes. Covenants The Company's material financing arrangements contain customary covenants, including the maintenance of certain financial ratios, events of default and change of control provisions. Failure to comply with these covenants, or the occurrence of any other event of default, could result in acceleration of the borrowings and other financial obligations. The Company is in compliance with all of the covenants related to its debt agreements as of December 31, 2017 . |
Benefit Obligations
Benefit Obligations | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Benefit Obligations | Benefit Obligations Pension Obligations The Company sponsors defined benefit pension plans in North America, Europe and Asia. Independent trusts or insurance companies administer the majority of these plans. Pension obligations are established for benefits payable in the form of retirement, disability and surviving dependent pensions. The commitments result from participation in defined contribution and defined benefit plans, primarily in the US. Benefits are dependent on years of service and the employee's compensation. Supplemental retirement benefits provided to certain employees are nonqualified for US tax purposes. Separate nonqualified trusts have been established for certain US nonqualified plan obligations. Pension costs under the Company's retirement plans are actuarially determined. In October 2014, the Company offered a limited-time, voluntary program to certain participants of the Company's US qualified defined benefit pension plan with a vested benefit who terminated from the Company on or before May 31, 2014. The limited-time opportunity ended in November 2014 and included an offer of a single lump sum payment in December 2014 or to begin monthly annuity payments, regardless of age, or to continue to defer benefits until retirement age. If an election was not made by the eligible participant, the participant will begin receiving payments when otherwise eligible under the terms of the US qualified defined benefit pension plan. Effective June 2014, the Company's US qualified defined benefit plan was amended and benefits offered to all current union participants of the Cash Balance Plan (hired on or after January 1, 2001) at the Company's Narrows, Virginia facility have been frozen and the US qualified defined benefit plan was closed to future union participants at the facility. Accumulated benefits earned and service rendered through May 2014 under the Plan provisions for the Cash Balance Plan Participants will continue to be considered for purposes of determining retirement benefits. Effective May 2014, the Company's US qualified defined benefit plan was amended and benefits offered to all current union participants of the Flat Rate Plan at the Company's Narrows, Virginia facility have been frozen and the US qualified defined benefit plan was closed to future union participants at the facility. Accumulated benefits earned and service rendered through December 2014 under the Plan provisions for the Flat Rate Plan Participants will continue to be considered for purposes of determining retirement benefits and eligibility for early retirement. These actions did not result in a curtailment gain or loss as the projected benefit obligation does not rely on salary assumptions. Effective December 2013, benefits offered to all US non-union eligible employees in the Company's US qualified defined benefit pension plan have been frozen and the US qualified defined benefit pension plan was closed to new participants. Accumulated benefits earned and service rendered through December 31, 2013 under the US qualified defined benefit pension plan provisions will continue to be considered for purposes of determining retirement benefits and eligibility for early retirement. The Company participates in a multiemployer defined benefit plan and a multiemployer defined contribution plan in Germany covering certain employees. The Company's contributions to the multiemployer defined benefit plan are based on specified percentages of employee contributions as outlined in a works council agreement, covering all German entity employees hired prior to January 1, 2012. As of January 1, 2012, the multiemployer defined benefit pension plan described above was closed to new employees. Qualifying employees hired in Germany after December 31, 2011 are covered by a multiemployer defined contribution plan. The Company's contributions to the multiemployer defined contribution plan are based on specified percentages of employee contributions, similar to the multiemployer defined benefit plan, but at a lower rate. Statutory regulations and the works council agreement require the contributions to fully fund the multiemployer plans. The risks of participating in the multiemployer plans are different from single-employer plans in the following aspects: • Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. • If a participating employer stops contributing to the plan, any underfunding may be borne by the remaining participants, especially since regulations strictly enforce funding requirements. • If the Company chooses to stop participating in the multiemployer plan, the Company may be required to pay the plan an amount based on the underfunded status of the plan, referred to as the withdrawal liability. Based on the 2017 unaudited and 2016 audited multiemployer defined benefit plan's financial statements, the plan is 100% funded in 2017 , 2016 and 2015 . The number of employees covered by the Company's multiemployer defined benefit plan remained relatively stable year over year from 2015 to 2017 , resulting in minimal changes to employer contributions. Participation in the German multiemployer defined benefit plan is not considered individually significant to the Company. Contributions made by the Company to the German multiemployer plan are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Multiemployer defined benefit plan 7 7 6 Other Postretirement Obligations Certain retired employees receive postretirement health care and life insurance benefits under plans sponsored by the Company, which has the right to modify or terminate these plans at any time. The cost for coverage is shared between the Company and the retiree. The cost of providing retiree health care and life insurance benefits is actuarially determined and accrued over the service period of the active employee group. The Company's policy is to fund benefits as claims and premiums are paid. The US postretirement health care plan was closed to new participants effective January 1, 2006. Postemployment Obligations The Company provides benefits to certain employees after employment but prior to retirement, including severance and disability-related benefits offered pursuant to ongoing benefit arrangements. The cost of providing postemployment benefits is actuarially determined and recorded when the obligation is probable of occurring and can be reasonably estimated. Postemployment obligations are as follows: As of December 31, 2017 2016 (In $ millions) Postemployment benefits 8 9 Defined Contribution Plans The Company sponsors various defined contribution plans in North America, Europe and Asia covering certain employees. Employees may contribute to these plans and the Company will match these contributions in varying amounts. The Company's matching contribution to the defined contribution plans are based on specified percentages of employee contributions. Beginning in 2014, the Company took the following actions as it relates to the US defined contribution plan: • Increased its employer match for those employees participating in the US defined contribution plan; • Added an annual retirement contribution for US employees who are employed as of December 31st each year (or have died during that year), regardless of whether the employee contributes to the US defined contribution plan; and • For certain eligible US employees, provides an incremental retirement contribution through 2017, based on years of service and specified percentages of eligible compensation. The amount of costs recognized for the Company's defined contribution plans are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Defined contribution plans 40 43 44 Summarized information on the Company's pension and postretirement benefit plans is as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In $ millions) Change in Projected Benefit Obligation Projected benefit obligation as of beginning of period 3,610 3,635 67 66 Service cost 9 8 1 — Interest cost 107 113 1 2 Participant contributions — — — — Plan amendments — — — — Net actuarial (gain) loss (1) 151 102 (2 ) 3 Divestitures — — — — Settlements (1 ) (1 ) — — Benefits paid (233 ) (232 ) (4 ) (4 ) Federal subsidy on Medicare Part D — — — — Curtailments — — — — Special termination benefits 1 3 — — Exchange rate changes 69 (18 ) 3 — Other (2) 15 — — — Projected benefit obligation as of end of period 3,728 3,610 66 67 Change in Plan Assets Fair value of plan assets as of beginning of period 2,784 2,508 — — Actual return on plan assets 302 177 — — Employer contributions 359 346 4 4 Participant contributions — — — — Settlements (1 ) (1 ) — — Benefits paid (3) (233 ) (232 ) (4 ) (4 ) Exchange rate changes 40 (14 ) — — Fair value of plan assets as of end of period 3,251 2,784 — — Funded status as of end of period (477 ) (826 ) (66 ) (67 ) Amounts Recognized in the Consolidated Balance Sheets Consist of: Noncurrent Other assets 64 22 — — Current Other liabilities (24 ) (25 ) (5 ) (5 ) Benefit obligations (517 ) (823 ) (61 ) (62 ) Net amount recognized (477 ) (826 ) (66 ) (67 ) Amounts Recognized in Accumulated Other Comprehensive Income Consist of: Net actuarial (gain) loss (4) 9 18 — — Prior service (benefit) cost (1 ) (1 ) 1 (1 ) Net amount recognized (5) 8 17 1 (1 ) ______________________________ (1) Primarily relates to change in discount rates. (2) Primarily relates to the acquisition of Nilit ( Note 4 ). (3) Includes benefit payments to nonqualified pension plans of $22 million and $22 million as of December 31, 2017 and 2016 , respectively. (4) Relates to the pension plans of the Company's equity method investments. (5) Amount shown net of an income tax benefit of $6 million and $4 million as of December 31, 2017 and 2016 , respectively, in the consolidated statements of equity ( Note 17 ). The percentage of US and international projected benefit obligation at the end of the period is as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In percentages) US plans 83 85 54 57 International plans 17 15 46 43 Total 100 100 100 100 The percentage of US and international fair value of plan assets at the end of the period is as follows: Pension Benefits 2017 2016 (In percentages) US plans 88 88 International plans 12 12 Total 100 100 Pension plans with projected benefit obligations in excess of plan assets are as follows: As of December 31, 2017 2016 (In $ millions) Projected benefit obligation 882 3,559 Fair value of plan assets 341 2,711 Pension plans with accumulated benefit obligations in excess of plan assets are as follows: As of December 31, 2017 2016 (In $ millions) Accumulated benefit obligation 861 3,538 Fair value of plan assets 338 2,708 The accumulated benefit obligation for all defined benefit pension plans is as follows: As of December 31, 2017 2016 (In $ millions) Accumulated benefit obligation 3,710 3,591 Beginning in 2016, the Company adopted a full yield curve approach to estimate the service and interest cost components of net periodic benefit cost ( Note 2 ). The Company's adoption of the full yield curve approach reduced 2016 service and interest cost by $29 million as compared to the previous single weighted average discount rate method. The components of net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2017 2016 2015 2017 2016 2015 (In $ millions) Service cost 9 8 12 1 — 1 Interest cost 107 113 139 1 2 3 Expected return on plan assets (198 ) (177 ) (209 ) — — — Amortization of prior service cost / (credit) — — — (1 ) (3 ) — Recognized actuarial (gain) loss 48 101 134 (2 ) 2 (7 ) Curtailment (gain) loss — — (3 ) — — — Settlement (gain) loss — — — — — — Special termination benefit 1 3 2 — — — Total (33 ) 48 75 (1 ) 1 (3 ) Amortization of Accumulated other comprehensive income (loss), net into net periodic benefit cost in 2018 is expected to be as follows: Pension Benefits Postretirement Benefits (In $ millions) Prior service cost — — The Company maintains nonqualified pension plans funded with nonqualified trusts for certain US employees as follows: As of December 31, 2017 2016 (In $ millions) Nonqualified Trust Assets Marketable securities, at fair value 32 30 Noncurrent Other assets, consisting of insurance contracts 42 49 Nonqualified Pension Obligations Current Other liabilities 22 22 Benefit obligations 237 241 Expense relating to the nonqualified pension plans included in net periodic benefit cost, excluding returns on the assets held by the nonqualified trusts, is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 18 18 — (1) ______________________________ (1) Actuarial gain offset interest cost. Valuation The principal weighted average assumptions used to determine benefit obligation are as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In percentages) Discount Rate Obligations US plans 3.5 3.9 3.4 3.8 International plans 2.1 2.1 3.2 3.3 Combined 3.3 3.7 3.2 3.4 Rate of Compensation Increase US plans N/A N/A International plans 2.8 2.8 Combined 2.8 2.8 The principal weighted average assumptions used to determine net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2017 2016 2015 2017 2016 2015 (In percentages) Discount Rate Obligations US plans 3.9 4.2 3.9 3.8 4.0 3.7 International plans 2.1 2.6 2.4 3.3 3.6 3.5 Combined 3.7 4.0 3.7 3.4 3.9 3.6 Discount Rate Service Cost (1) US plans 1.2 4.5 3.9 4.0 4.2 3.7 International plans 2.5 3.1 2.4 3.4 3.8 3.5 Combined 2.5 3.1 3.7 2.9 3.8 3.6 Discount Rate Interest Cost (1) US plans 3.3 3.4 3.9 3.1 3.1 3.7 International plans 1.7 2.2 2.4 2.9 3.1 3.5 Combined 3.1 3.2 3.7 2.9 3.1 3.6 Expected Return on Plan Assets US plans 7.5 7.5 8.0 International plans 5.9 6.1 6.0 Combined 7.3 7.3 7.8 Rate of Compensation Increase US plans N/A N/A N/A International plans 2.8 2.7 2.8 Combined 2.8 2.7 2.8 ______________________________ (1) Beginning in 2016, weighted-average discount rates reflect the adoption of the full yield curve approach. The Company's health care cost trend assumptions for US postretirement medical plan's net periodic benefit cost are as follows: As of December 31, 2017 2016 2015 (In percentages, except year) Health care cost trend rate assumed for next year 9.0 9.5 10.0 Health care cost trend ultimate rate 5.0 5.0 5.0 Health care cost trend ultimate rate year 2026 2026 2026 Assumed health care cost trend rates for US postretirement medical plans have a significant effect on the amounts reported for the health care plans. The impact of a one percentage point change in the assumed health care cost trend is as follows: Trend Rate Change Decreases 1% Increases 1% (In $ millions) Postretirement obligations 2 2 Service and interest cost — — Plan Assets The weighted average target asset allocations for the Company's pension plans in 2017 are as follows: US Plans International Plans (In percentages) Bonds - domestic to plans 75 59 Equities - domestic to plans 8 16 Equities - international to plans 7 — Other 10 25 Total 100 100 On average, the actual return on the US qualified defined pension plans' assets over the long-term (20 years) has exceeded the expected long-term rate of asset return assumption. The US qualified defined benefit plans' actual return on assets for the year ended December 31, 2017 was 11.4% versus an expected long-term rate of asset return assumption of 7.5% . The expected long-term rate of asset return assumption used to determine 2018 net periodic benefit cost is 6.8% for the US qualified defined benefit plans. The Company's defined benefit plan assets are measured at fair value on a recurring basis ( Note 2 ) as follows: Cash and Cash Equivalents: Foreign and domestic currencies as well as short term securities are valued at cost plus accrued interest, which approximates fair value. Equity securities, treasuries and corporate debt: Valued at the closing price reported on the active market in which the individual securities are traded. Automated quotes are provided by multiple pricing services and validated by the plan custodian. These securities are traded on exchanges as well as in the over the counter market. Registered Investment Companies: Composed of various mutual funds and other investment companies whose diversified portfolio is comprised of foreign and domestic equities, fixed income securities, and short-term investments. Investments are valued at the net asset value of units held by the plan at year-end. Common/Collective Trusts: Composed of various funds whose diversified portfolio is comprised of foreign and domestic equities, fixed income securities, and short-term investments. Investments are valued at the net asset value of units held by the plan at year-end. Derivatives: Derivative financial instruments are valued in the market using discounted cash flow techniques. These techniques incorporate Level 1 and Level 2 fair value measurement inputs such as interest rates and foreign currency exchange rates. These market inputs are utilized in the discounted cash flow calculation considering the instrument's term, notional amount, discount rate and credit risk. Significant inputs to the derivative valuation for interest rate swaps, foreign currency forwards and swaps, and options are observable in the active markets and are classified as Level 2 in the fair value measurement hierarchy. Mortgage backed securities: Fair value is estimated based on valuations obtained from third-party pricing services for identical or comparable assets. Mortgage Backed Securities are traded in the over the counter broker/dealer market. Insurance contracts: Valued at contributions made, plus earnings, less participant withdrawals and administrative expenses, which approximates fair value. Short-term investment funds: Composed of various funds whose portfolio is comprised of foreign and domestic currencies as well as short-term securities. Investments are valued at the net asset value of units held by the plan at year-end. Other: Composed of real estate investment trust common stock valued at closing price as reported on the active market in which the individual securities are traded. Fair Value Measurement Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Total As of December 31, 2017 2016 2017 2016 2017 2016 (In $ millions) Assets Cash and cash equivalents 5 2 — — 5 2 Derivatives Swaps — — 8 2 8 2 Equity securities US companies — 260 — — — 260 International companies 72 345 — — 72 345 Fixed income Corporate debt — — 776 798 776 798 Treasuries, other debt 48 37 1,411 793 1,459 830 Mortgage backed securities — — 7 7 7 7 Insurance contracts — — 36 31 36 31 Other 4 24 1 — 5 24 Total investments, at fair value (1) 129 668 2,239 1,631 2,368 2,299 Liabilities Derivatives Swaps — — 7 2 7 2 Other — — — 1 — 1 Total liabilities — — 7 3 7 3 Total net assets (2) 129 668 2,232 1,628 2,361 2,296 ______________________________ (1) In accordance with ASU 2015-07 ( Note 2 ), certain investments that are measured at fair value using the NAV per share practical expedient have not been classified in the fair value hierarchy. Total investments, at fair value, for the year ended December 31, 2017 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $727 million , $60 million and $96 million , respectively. Total investments, at fair value, for the year ended December 31, 2016 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $195 million , $134 million and $149 million , respectively. (2) Total net assets excludes non-financial plan receivables and payables of $25 million and $18 million , respectively, as of December 31, 2017 and $20 million and $10 million , respectively, as of December 31, 2016 . Non-financial items include due to/from broker, interest receivables and accrued expenses. Benefit obligation funding is as follows: Total Expected 2018 (In $ millions) Cash contributions to defined benefit pension plans 23 Benefit payments to nonqualified pension plans 21 Benefit payments to other postretirement benefit plans 5 The Company's estimates of its US defined benefit pension plan contributions reflect the provisions of the Pension Protection Act of 2006. Pension and postretirement benefits expected to be paid are as follows: Pension Benefit Payments (1) Company Portion of Postretirement Benefit Cost (2) (In $ millions) 2018 235 5 2019 233 5 2020 231 4 2021 227 4 2022 224 4 2023-2027 1,090 18 ______________________________ (1) Payments are expected to be made primarily from plan assets. (2) Payments are expected to be made primarily from Company assets. |
Environmental
Environmental | 12 Months Ended |
Dec. 31, 2017 | |
Environmental Remediation Obligations [Abstract] | |
Environmental | Environmental The Company is subject to environmental laws and regulations worldwide that impose limitations on the discharge of pollutants into the air and water, establish standards for the treatment, storage and disposal of solid and hazardous wastes, and impose record keeping and notification requirements. Failure to timely comply with these laws and regulations may expose the Company to penalties. The Company believes that it is in substantial compliance with all applicable environmental laws and regulations and engages in an on going process of updating its controls to mitigate compliance risks. The Company is also subject to retained environmental obligations specified in various contractual agreements arising from the divestiture of certain businesses by the Company or one of its predecessor companies. The components of environmental remediation reserves are as follows: As of December 31, 2017 2016 (In $ millions) Demerger obligations ( Note 24 ) 28 18 Divestiture obligations ( Note 24 ) 17 16 Active sites 15 16 US Superfund sites 11 11 Other environmental remediation reserves 2 3 Total 73 64 Remediation Due to its industrial history and through retained contractual and legal obligations, the Company has the obligation to remediate specific areas on its own sites as well as on divested, demerger, orphan or US Superfund sites (as defined below). In addition, as part of the demerger agreement between the Company and Hoechst AG ("Hoechst"), a specified portion of the responsibility for environmental liabilities from a number of Hoechst divestitures was transferred to the Company ( Note 24 ). Certain of these sites, at which the Company maintains continuing involvement, were and continue to be designated as discontinued operations when closed. The Company provides for such obligations when the event of loss is probable and reasonably estimable. The Company believes that environmental remediation costs will not have a material adverse effect on the financial position of the Company, but may have a material adverse effect on the results of operations or cash flows in any given period. The Company did not record any insurance recoveries during 2017 or have any receivables for insurance recoveries related to these matters as of December 31, 2017 . As of December 31, 2017 and 2016 , there were receivables of $3 million and $2 million , respectively, from the former owner of the Company's Spondon, Derby, United Kingdom acetate flake, tow and film business, which was acquired in 2007. German InfraServ Entities The Company's InfraServ Entities ( Note 9 ) are liable for any residual contamination and other pollution because they own the real estate on which the individual facilities operate. In addition, Hoechst, and its legal successors, as the responsible party under German public law, is liable to third parties for all environmental damage that occurred while it was still the owner of the plants and real estate ( Note 24 ). The contribution agreements entered into in 1997 between Hoechst and the respective operating companies, as part of the divestiture of these companies, provide that the operating companies will indemnify Hoechst, and its legal successors, against environmental liabilities resulting from the transferred businesses. Additionally, the InfraServ Entities have agreed to indemnify Hoechst, and its legal successors, against any environmental liability arising out of or in connection with environmental pollution of any site. The InfraServ partnership agreements provide that, as between the partners, each partner is responsible for any contamination caused predominantly by such partner. Any liability, which cannot be attributed to an InfraServ partner and for which no third party is responsible, is required to be borne by the InfraServ partnership. Also, under lease agreements entered into by an InfraServ partner as landlord, the tenants agreed to pay certain remediation costs on a pro rata basis. If an InfraServ partner defaults on its respective indemnification obligations to eliminate residual contamination, the owners of the remaining participation in the InfraServ companies have agreed to fund such liabilities, subject to a number of limitations. To the extent that any liabilities are not satisfied by either the InfraServ Entities or their owners, these liabilities are to be borne by the Company in accordance with the demerger agreement. However, Hoechst, and its legal successors, will reimburse the Company for two-thirds of any such costs. Likewise, in certain circumstances the Company could be responsible for the elimination of residual contamination on several sites that were not transferred to InfraServ companies, in which case Hoechst, and its legal successors, must also reimburse the Company for two-thirds of any costs so incurred. The Company's ownership interest and environmental liability participation percentages for such liabilities, which cannot be attributed to an InfraServ partner are as follows: As of December 31, 2017 Ownership Liability Reserves (1) (In percentages) (In $ millions) InfraServ GmbH & Co. Gendorf KG (2) 39 10 9 InfraServ GmbH & Co. Hoechst KG 32 40 71 InfraServ GmbH & Co. Knapsack KG (2) 27 22 1 ______________________________ (1) Gross reserves maintained by the respective InfraServ entity. (2) See Note 29 for further information. US Superfund Sites In the US, the Company may be subject to substantial claims brought by US federal or state regulatory agencies or private individuals pursuant to statutory authority or common law. In particular, the Company has a potential liability under the US Federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, and related state laws (collectively referred to as "Superfund") for investigation and cleanup costs at certain sites. At most of these sites, numerous companies, including the Company, or one of its predecessor companies, have been notified that the US Environmental Protection Agency ("EPA"), state governing bodies or private individuals consider such companies to be potentially responsible parties ("PRP") under Superfund or related laws. The proceedings relating to these sites are in various stages. The cleanup process has not been completed at most sites, and the status of the insurance coverage for some of these proceedings is uncertain. Consequently, the Company cannot accurately determine its ultimate liability for investigation or cleanup costs at these sites. As events progress at each site for which it has been named a PRP, the Company accrues, as appropriate, a liability for site cleanup. Such liabilities include all costs that are probable and can be reasonably estimated. In establishing these liabilities, the Company considers the contaminants of concern, the potential impact thereof, the relationship of contaminants of concern to its current and historic operations, its shipment of waste to a site, its percentage of total waste shipped to the site, the types of wastes involved, the conclusions of any studies, the magnitude of any remedial actions that may be necessary and the number and viability of other PRPs. Often the Company joins with other PRPs to sign joint defense agreements that settle, among PRPs, each party's percentage allocation of costs at the site. Although the ultimate liability may differ from the estimate, the Company routinely reviews the liabilities and revises the estimate, as appropriate, based on the most current information available. One such site is the Diamond Alkali Superfund Site, which is comprised of a number of sub-sites, including the Lower Passaic River Study Area, which is the lower 17-mile stretch of the Passaic River ("Lower Passaic River Site"), and the Newark Bay Area. The Company and 70 other companies are parties to a May 2007 Administrative Order on Consent with the EPA to perform a Remedial Investigation/Feasibility Study ("RI/FS") at the Lower Passaic River Site in order to identify the levels of contaminants and potential cleanup actions, including the potential migration of contaminants between the Lower Passaic River Site and the Newark Bay Area. Work on the RI/FS is ongoing, with a goal to complete it in 2018. On March 3, 2016, the EPA issued its final Record of Decision concerning the remediation of the lower 8.3 miles of the Lower Passaic River Site ("Lower 8.3 Miles"). Pursuant to the EPA's Record of Decision, the Lower 8.3 Miles must be dredged bank to bank and an engineered cap must be installed at an EPA estimated cost of approximately $1.4 billion . The Company owned and/or operated facilities in the vicinity of the Lower 8.3 Miles, but has found no evidence that it contributed any of the primary contaminants of concern to the Passaic River. The Company is vigorously defending this matter and currently believes that its ultimate allocable share of the cleanup costs with respect to the Lower Passaic River Site, estimated at less than 1% , will not be material to the Company's results of operations, cash flows or financial position. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders' Equity Common Stock The Company's Board of Directors follows a policy of declaring, subject to legally available funds, a quarterly cash dividend on each share of the Company's Common Stock, unless the Company's Board of Directors, in its sole discretion, determines otherwise. The Company's Board of Directors approved increases in the Company's Common Stock cash dividend rates as follows: Increase Quarterly Common Stock Cash Dividend Annual Common Stock Cash Dividend Effective Date (In percentages) (In $ per share) April 2015 20 0.30 1.20 May 2015 April 2016 20 0.36 1.44 May 2016 April 2017 28 0.46 1.84 May 2017 On February 8, 2018 , the Company declared a quarterly cash dividend of $0.46 per share on its Common Stock amounting to $62 million . The cash dividend will be paid on March 2, 2018 to holders of record as of February 20, 2018 . Treasury Stock The Company's Board of Directors authorizes repurchases of Common Stock from time to time. These authorizations give management discretion in determining the timing and conditions under which shares may be repurchased. This repurchase program does not have an expiration date. The share repurchase activity pursuant to this authorization is as follows: Year Ended December 31, Total From 2017 2016 2015 Shares repurchased 5,436,803 7,034,420 6,640,601 (1) 39,779,019 Average purchase price per share $ 91.97 $ 71.08 $ 63.31 $ 58.71 Amount spent on repurchased shares (in millions) $ 500 $ 500 $ 420 $ 2,335 Aggregate Board of Directors repurchase authorizations during the period (in millions) (2) $ 1,500 $ — $ 1,000 $ 3,866 ______________________________ (1) The year ended December 31, 2015 excludes 9,264 shares withheld from an executive officer to cover statutory minimum withholding requirements for personal income taxes related to the vesting of restricted stock. Restricted stock awards are considered outstanding at the time of issuance. Accordingly, the shares withheld are treated as treasury shares. (2) These authorizations give management discretion in determining the timing and conditions under which shares may be repurchased. This repurchase program began in February 2008 and does not have an expiration date. The purchase of treasury stock reduces the number of shares outstanding. The repurchased shares may be used by the Company for compensation programs utilizing the Company's stock and other corporate purposes. The Company accounts for treasury stock using the cost method and includes treasury stock as a component of stockholders' equity. Other Comprehensive Income (Loss), Net Year Ended December 31, 2017 2016 2015 Gross Amount Income Tax (Provision) Benefit Net Amount Gross Amount Income Tax (Provision) Benefit Net Amount Gross Amount Income Tax (Provision) Benefit Net Amount (In $ millions) Unrealized gain (loss) on marketable securities — (1 ) (1 ) — — — — — — Foreign currency translation 162 12 174 (22 ) 11 (11 ) (193 ) 5 (188 ) Gain (loss) on cash flow hedges — (1 ) (1 ) 5 — 5 3 (1 ) 2 Pension and postretirement benefits 7 2 9 (5 ) 1 (4 ) 4 (1 ) 3 Total 169 12 181 (22 ) 12 (10 ) (186 ) 3 (183 ) Adjustments to Accumulated other comprehensive income (loss), net, are as follows: Unrealized Gain (Loss) on Marketable Securities ( Note 6 ) Foreign Currency Translation Gain (Loss) from Cash Flow Hedges ( Note 22 ) Pension and Postretirement Benefits ( Note 15 ) Accumulated Other Comprehensive Income (Loss), Net (In $ millions) As of December 31, 2014 1 (151 ) (4 ) (11 ) (165 ) Other comprehensive income (loss) before reclassifications — (193 ) (2 ) 6 (189 ) Amounts reclassified from accumulated other comprehensive income (loss) — — 5 (2 ) 3 Income tax (provision) benefit — 5 (1 ) (1 ) 3 As of December 31, 2015 1 (339 ) (2 ) (8 ) (348 ) Other comprehensive income (loss) before reclassifications — (22 ) 7 (3 ) (18 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (2 ) (2 ) (4 ) Income tax (provision) benefit — 11 — 1 12 As of December 31, 2016 1 (350 ) 3 (12 ) (358 ) Other comprehensive income (loss) before reclassifications — 162 4 8 174 Amounts reclassified from accumulated other comprehensive income (loss) — — (4 ) (1 ) (5 ) Income tax (provision) benefit (1 ) 12 (1 ) 2 12 As of December 31, 2017 — (176 ) 2 (3 ) (177 ) |
Other (Charges) Gains, Net
Other (Charges) Gains, Net | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Other (Charges) Gains, Net | Other (Charges) Gains, Net Year Ended December 31, 2017 2016 2015 (In $ millions) Employee termination benefits ( Note 4 ) (1) (4 ) (11 ) (53 ) InfraServ ownership change (4 ) — — Asset impairments — (2 ) (126 ) Other plant/office closures (52 ) — — Singapore contract termination — — (174 ) Commercial disputes — 2 2 Total (60 ) (11 ) (351 ) ______________________________ (1) Includes $1 million and $3 million of special termination benefits included in Benefit obligations in the consolidated balance sheet as of December 31, 2017 and 2016 , respectively. 2017 During the year ended December 31, 2017 , the Company recorded $4 million of employee termination benefits primarily related to the Company's ongoing efforts to align its businesses around its core value drivers. A partner in the Company's InfraServ equity affiliate investments exercised an option right, which was disputed, to purchase additional ownership interests in the InfraServ entities from the Company. The purchase of these interests will reduce the Company's ownership interests in InfraServ GmbH & Co. Gendorf KG and InfraServ GmbH & Co. Knapsack KG from 39% and 27% , to 30% and 22% , respectively. Accordingly, during the year ended December 31, 2017 , the Company reduced the carrying value of these investments by $4 million . In addition, the Company has reserved certain amounts for dividends received from the investments since the exercise notification was received. These InfraServ investments are primarily owned by entities included in the Other Activities segment. See Note 29 for further information. During the year ended December 31, 2017 , the Company provided notice of termination of a contract with a key raw materials supplier at its ethanol production unit in Nanjing, China. As a result, the Company recorded an estimated $51 million of plant/office closure costs primarily consisting of a $22 million contract termination charge and a $21 million reduction to its non-income tax receivable. The Nanjing, China ethanol production unit is included in the Company's Acetyl Intermediates segment. 2016 During the year ended December 31, 2016, the Company recorded $11 million of employee termination benefits primarily related to the Company's ongoing efforts to align its businesses around its core value drivers. 2015 During the year ended December 31, 2015, the Company recorded $21 million of employee termination benefits related to the Company's ongoing efforts to align its businesses around its core value drivers. In addition, the Company recorded $24 million of employee termination benefits related to a 50% capacity reduction at its Lanaken, Belgium acetate tow facility ( Note 4 ). In addition, during the year ended December 31, 2015, the Company recorded $6 million of employee termination benefits and $1 million of long-lived asset impairment losses related to the closure of its VAE emulsions facility in Tarragona, Spain ( Note 4 ). In addition, the Company recorded $1 million of employee termination benefits and $1 million of long-lived asset impairment losses related to the closure of its VAE emulsions facility in Meredosia, Illinois ( Note 4 ). The long-lived asset impairment losses related to both VAE facilities were measured at the dates of impairment to write-off the related property, plant and equipment at each facility ( Note 2 and Note 4 ). During the three months ended December 31, 2015, the Company determined its ethanol production unit at its acetyl facility in Nanjing, China should be assessed for impairment based on market conditions affecting demand for ethanol and downstream products, the cost to operate the unit and contractual obligations. As a result, the Company concluded that certain long-lived ethanol related assets were fully impaired. Accordingly, the Company recorded long-lived asset impairment losses, measured at the date of impairment ( Note 2 ), of $123 million to fully write-off certain ethanol related assets. The Nanjing, China asset impairment is included in the Company's Acetyl Intermediates segment. In December 2015, the Company made a payment terminating an existing agreement with a raw materials supplier in Singapore and recognized a $174 million charge, which reflects a discounted amount previously owed under that contract. This termination payment was determined not to have future economic benefit, and the contract's original terms substantially contributed to cumulative losses which resulted in a full impairment of the production assets in 2013. This charge is recorded in Other (charges) gains net, which is included in the Company's Acetyl Intermediates segment. The changes in the restructuring reserves by business segment are as follows: Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Other Total (In $ millions) Employee Termination Benefits As of December 31, 2015 3 14 6 1 6 30 Additions 2 2 2 1 3 10 Cash payments (3 ) (6 ) (6 ) (1 ) (5 ) (21 ) Other changes (1 ) — — — (1 ) (2 ) Exchange rate changes — (1 ) — — — (1 ) As of December 31, 2016 1 9 2 1 3 16 Additions 1 2 — — 1 4 Cash payments (1 ) (3 ) (2 ) — (2 ) (8 ) Other changes — (8 ) — — (1 ) (9 ) Exchange rate changes — — — — — — As of December 31, 2017 1 — — 1 1 3 Other Plant/Office Closures As of December 31, 2015 — — — — — — Additions — — — — — — Cash payments — — — — — — Other changes — — — — — — Exchange rate changes — — — — — — As of December 31, 2016 — — — — — — Additions — — — 29 — 29 Cash payments — — — (24 ) — (24 ) Other changes — — — (3 ) — (3 ) Exchange rate changes — — — — — — As of December 31, 2017 — — — 2 — 2 Total 1 — — 3 1 5 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On December 22, 2017, the Tax Cuts and Jobs Act (the "TCJA") was enacted and is effective January 1, 2018. ASC 740, Accounting for Income Taxes , requires companies to recognize the effects of tax law changes in the period of enactment. This overhaul of the US tax law made a number of substantial changes, including the reduction of the corporate tax rate from 35% to 21%, establishing a dividends received deduction for dividends paid by foreign subsidiaries to the US, elimination or limitation of certain deductions (interest, domestic production activities and executive compensation), imposing a mandatory tax on previously unrepatriated earnings accumulated offshore since 1986 and establishing global minimum income tax and base erosion tax provisions related to offshore activities and affiliated party payments. The deemed repatriation of previously unremitted foreign earnings, of which the Company had approximately $3.0 billion as of December 31, 2017, will be taxed at 8% to the extent those earnings were reinvested in non-cash foreign assets, while previously unremitted earnings that have not been reinvested, computed based upon a two-year historical average of foreign cash and cash equivalents balances, will be taxed at 15.5% . The Company estimated its gross charge for the deemed repatriation of foreign earnings to be approximately $370 million . The deemed repatriation requires the recognition of both unrepatriated earnings, as well as various existing offshore foreign tax credits and attributes, resulting in an estimated net charge for the deemed repatriation of $197 million recorded in 2017. In addition to offshore foreign tax credits, existing foreign tax credit carryforwards in the US will be available to offset this tax charge. Due to the availability of foreign tax credit carryforwards, the Company does not expect a material cash impact from this repatriation provision and any remaining portion of the tax not covered by tax credits will be paid in installments over an eight year period. The Company was also required to adjust the recorded amounts of its US deferred tax assets and liabilities resulting from the reduction in the US corporate tax rate and the impact of the dividends received deduction provisions on its deferred tax liabilities related to outside basis differences in certain joint venture investments. As a result of these changes, the Company recognized a tax benefit of approximately $107 million in 2017. The global minimum income tax and base erosion provisions are effective for taxable years beginning after December 31, 2017. The Company does not currently expect these provisions to have a material impact on its tax rate. Based on initial guidance from the FASB, the Company has elected not to record deferred taxes related to future liabilities due to the minimum tax on global low taxed intangible income. Due to the timing of the new tax law and the substantial changes it brings, the Staff of the Securities and Exchange Commission (the "SEC") issued Staff Accounting Bulletin No. 118 ("SAB 118"), which provides registrants a measurement period to report the impact of the new US tax law. During the measurement period, provisional amounts for the effects of the law are recorded to the extent a reasonable estimate can be made. To the extent that all information necessary is not available, prepared or analyzed, companies may recognize provisional estimated amounts for a period of up to one year following enactment of the TCJA. The Company has recorded provisional amounts for several of the impacts of the new tax law including: the deemed repatriation tax on post-1986 accumulated earnings and profits, the deferred tax rate change effect of the new law, gross foreign tax credit carryforwards and related valuation allowances to offset foreign tax credit carryforwards. Certain items or estimates that result in impacts of the TCJA being provisional include: detailed foreign earnings calculations for the most recent period, projected foreign cash balances for certain foreign subsidiaries and finalized computations of foreign tax credit availability. In addition, the Company's 2017 US federal income tax return will not be finalized until later in 2018, and while historically this process has resulted in offsetting changes in estimates in current and deferred taxes for items which are timing related, the reduction of the US tax rate will result in adjustments to the Company's income tax (provision) benefit when recorded. Finally, the Company considers it likely that further technical guidance regarding certain of the new provisions included in the TCJA, as well as clarity regarding state income tax conformity to current federal tax code, may be issued. Income Tax Provision Earnings (loss) from continuing operations before tax by jurisdiction are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) US 262 326 231 International 813 704 257 Total 1,075 1,030 488 The income tax provision (benefit) consists of the following: Year Ended December 31, 2017 2016 2015 (In $ millions) Current US 201 (22 ) 28 International 158 60 152 Total 359 38 180 Deferred US (110 ) 108 54 International (36 ) (24 ) (33 ) Total (146 ) 84 21 Total 213 122 201 A reconciliation of the significant differences between the US federal statutory tax rate of 35% and the effective income tax rate on income from continuing operations is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions, except percentages) Income tax provision computed at US federal statutory tax rate 376 361 171 Change in valuation allowance 218 (18 ) 124 Equity income and dividends (87 ) (60 ) (33 ) (Income) expense not resulting in tax impact, net (157 ) (152 ) (32 ) US tax effect of foreign earnings and dividends 521 302 15 Foreign tax credits (759 ) (293 ) (4 ) Other foreign tax rate differentials (38 ) (48 ) (47 ) Legislative changes 116 4 9 State income taxes, net of federal benefit 12 8 6 Other, net 11 18 (8 ) Income tax provision (benefit) 213 122 201 Effective income tax rate 20 % 12 % 41 % As a result of the TCJA, US federal and state income taxes have been recorded on undistributed foreign earnings accumulated from 1986 through December 31, 2017. Based on the provisions of the law, the Company's previously taxed income for its foreign subsidiaries significantly exceeds its cash balances offshore. The Company has not recorded a deferred tax liability for foreign withholding or other foreign local tax that would be due when cash is repatriated to the US as such foreign earnings are considered permanently reinvested in the business or may be remitted substantially free of any additional local taxes. The determination of the amount of the unrecognized deferred tax liability related to the undistributed earnings is not practicable. The higher effective tax rate for the year ended December 31, 2017 is primarily due to the impact of the TCJA (which is recorded in the Change in valuation allowance and Legislative changes lines, in the effective tax rate reconciliation above), increased losses in jurisdictions with no tax benefit and current year taxes related to internal restructuring for the Company's proposed acetate tow joint venture with Blackstone ( Note 4 ) (which is recorded in the US tax effect of foreign earnings and dividends and the Foreign tax credits lines, above). The increases in losses without tax benefit primarily relate to $51 million of plant/office closure costs related to the Company's notice of termination of a contract with a key raw materials supplier at its ethanol production unit in Nanjing, China ( Note 18 ), which is recorded in the Change in valuation allowance line above. The lower effective tax rate for the year ended December 31, 2016 was primarily due to the settlement of uncertain tax positions and technical clarifications in Germany and the US of $55 million , which was recorded in the Other, net line above. The higher effective rate for the year ended December 31, 2015 was due to increased losses in jurisdictions with no tax benefit. The increased losses primarily related to a $123 million long-lived asset impairment recorded to fully write-off certain ethanol related assets at the Company's acetyl facility in Nanjing, China and a $174 million charge related to the termination of a raw materials contract with a supplier in Singapore ( Note 18 ), which was recorded in the Change in valuation allowance line above. These losses without tax benefit impacted 2015, but did not recur in 2016. The tax impact of these events was partially offset by decreases in uncertain tax positions of $29 million due to audit closures and technical jurisdictional clarifications, which was recorded in the Other, net line above. During 2017, the Company undertook various internal reorganization transactions to separate certain assets to reorganize the holdings of its various foreign subsidiaries in preparation for contribution of those assets to its proposed acetate tow joint venture with Blackstone ( Note 4 ). As a result, the Company generated additional net foreign tax credit carryforwards of approximately $240 million , the gross impacts of which are reflected in the Foreign tax credit line and the US tax effect of foreign earnings lines above in the effective tax rate reconciliation, that will be carried forward to future tax periods. These new credit carryforwards, as well as balances carried into 2017, were evaluated for realizability under the provisions of the TCJA. Due to the TCJA and uncertainty as to future sources of general limitation foreign source income to allow for utilization of these credits, the Company recorded a valuation allowance on these foreign tax credits in the amount of $164 million , which is recorded in the Change in valuation allowance line in the effective tax rate reconciliation. Deferred Income Taxes Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the consolidated deferred tax assets and liabilities are as follows: As of December 31, 2017 2016 (In $ millions) Deferred Tax Assets Pension and postretirement obligations (1) 143 313 Accrued expenses 50 61 Inventory 10 11 Net operating loss 703 661 Tax credit carryforwards (2) 478 136 Other 192 161 Subtotal 1,576 1,343 Valuation allowance (3) (618 ) (386 ) Total 958 957 Deferred Tax Liabilities Depreciation and amortization 307 366 Investments in affiliates 427 475 Other 69 87 Total 803 928 Net deferred tax assets (liabilities) 155 29 ______________________________ (1) For the year ended December 31, 2017 , the pension and postretirement obligations decreased primarily due to $316 million in employer contributions made to the US defined benefit plans ( Note 15 ). (2) For the year ended December 31, 2017 , the tax credit carryforwards increased primarily due to internal reorganization transactions made in preparation for the proposed acetate tow joint venture with Blackstone discussed herein and Note 4 . (3) Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, Singapore, the United Kingdom, Canada and France . These valuation allowances relate primarily to net operating loss carryforward benefits and other net deferred tax assets, all of which may not be realizable. For the year ended December 31, 2017 , the valuation allowance increased primarily due to the impact of the TCJA on excess foreign tax credits. Net Operating Loss Carryforwards and Tax Credit Carryforwards As of December 31, 2017 , the Company has US federal net operating loss carryforwards of $35 million that are subject to limitation. These net operating loss carryforwards begin to expire in 2021 . As of December 31, 2017 , the Company also had state net operating loss carryforwards, net of federal tax impact, of $42 million , $38 million of which are offset by a valuation allowance due to uncertain recoverability. The Company also has foreign net operating loss carryforwards as of December 31, 2017 of $2.6 billion primarily for Luxembourg, Spain, Canada, China, Singapore and the United Kingdom, with various expiration dates. Net operating loss carryforwards of $473 million in China are set to expire beginning in 2018 through 2022 . Net operating losses in most other foreign jurisdictions do not have an expiration date. The Company's tax credit carryforwards primarily consist of $452 million of foreign tax credit carryforwards, which are partially offset by a valuation allowance of $164 million due to uncertain recoverability and $21 million of alternative minimum tax credit carryforwards in the US. The foreign tax credit carryforwards are subject to a ten-year carryforward period and will begin to expire in 2027 if not utilized prior to that time. The alternative minimum tax credits are subject to annual limitation due to prior ownership changes, but have an unlimited carryforward period and will be used to offset federal tax liability in future years. Uncertain Tax Positions Activity related to uncertain tax positions is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) As of the beginning of the year 114 158 228 Increases in tax positions for the current year 14 9 13 Increases in tax positions for prior years (1) 4 11 76 Decreases in tax positions for prior years (7 ) (9 ) (126 ) Decreases due to settlements (6 ) (55 ) (33 ) As of the end of the year 119 114 158 Total uncertain tax positions that if recognized would impact the effective tax rate 100 87 144 Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations (2) 6 (16 ) (12 ) Total amount of interest expense and penalties recognized in the consolidated balance sheets 38 26 43 ______________________________ (1) Includes uncertain tax positions related to the Nilit acquisition ( Note 4 ) of $4 million for the year ended December 31, 2017 . (2) This amount reflects interest on uncertain tax positions and release of certain tax positions as a result of audit closure that was reflected in the consolidated statements of operations. In addition, for the years ended December 31, 2016 and 2015, the Company also paid an additional $1 million and $12 million , respectively, of previously accrued amounts due to settlements of tax examinations. The Company primarily operates in the US, Germany, Belgium, Canada, China, Mexico and Singapore. Examinations are ongoing in a number of these jurisdictions. The Company's US tax returns for the years 2009 through 2015 are currently under audit by the US Internal Revenue Service. Outside of the US, the Company's German tax returns for the years 2008 through 2015 are under audit as well as certain of the Company's other subsidiaries within their respective jurisdictions. The decrease in uncertain tax positions for the year ended December 31, 2016 is primarily due to audit closures and technical judicial clarifications. While it is reasonably possible that a further change in the unrecognized tax benefits may occur within the next twelve months related to the settlement of one or more of these audits, the Company is unable to estimate the amount of any such change. In connection with the Company's US federal income tax audit for 2009 and 2010, the Company has received $192 million of proposed pre-tax adjustments related to various intercompany charges. In January 2018, the Company received proposed pre-tax adjustments for its 2011 and 2012 audit cycle in the amount of $198 million . In the event the Company is wholly unsuccessful in its defense and absent expected off-setting adjustments from foreign tax authorities, the proposed adjustments would result in the consumption of approximately $136 million of prior foreign tax credit carryforwards. The Company believes these proposed adjustments to be without merit and is vigorously defending its position. |
Management Compensation Plans
Management Compensation Plans | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Management Compensation Plans | Management Compensation Plans General Plan Description The Company issues stock-based awards under its 2009 GIP, which enables the compensation committee of the Board of Directors to award incentive and nonqualified stock options, stock appreciation rights, shares of Common Stock, restricted stock awards, RSUs and incentive bonuses (which may be paid in cash or stock or a combination thereof), any of which may be performance-based, with vesting and other award provisions that provide effective incentive to Company employees (including officers), non-management directors and other service providers. Total shares available for awards and total shares subject to outstanding awards are as follows: As of December 31, 2017 Shares Available for Awards Shares Subject to Outstanding Awards 2009 GIP 5,663,628 1,701,713 The Company realized income tax benefits from stock option exercises and RSU vestings as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Income tax benefit realized 9 7 2 Restricted Stock Units A summary of changes in nonvested performance-based RSUs outstanding is as follows: Number of Units Weighted Average Grant Date Fair Value (In thousands) (In $) As of December 31, 2016 1,085 53.36 Granted 314 83.52 Additional performance-based RSUs granted (1) 225 48.70 Vested (527 ) 49.36 Canceled (150 ) 53.21 Forfeited (87 ) 62.36 As of December 31, 2017 860 64.71 ______________________________ (1) Represents additional performance-based RSU grants in 2014 that were awarded in 2017 as a result of achieving internal profitability targets. The fair value of shares vested for performance-based RSUs is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 42 64 27 A summary of changes in nonvested time-based RSUs outstanding is as follows: Number of Units Weighted Average Grant Date Fair Value (In thousands) (In $) As of December 31, 2016 344 67.42 Granted 159 86.20 Vested (123 ) 67.78 Forfeited (29 ) 68.29 As of December 31, 2017 351 75.75 The fair value of shares vested for time-based RSUs is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 12 4 6 As of December 31, 2017 , there was $52 million of unrecognized compensation cost related to RSUs, excluding actual forfeitures, which is expected to be recognized over a weighted average period of two years. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Leases | Leases Future minimum lease payments under non-cancelable rental and lease agreements, which have initial or remaining terms in excess of one year are as follows: As of December 31, 2017 Capital Leases (In $ millions) 2018 53 2019 46 2020 45 2021 44 2022 33 Later years 114 Sublease income — Minimum lease commitments 335 Less amounts representing interest (127 ) Present value of net minimum lease obligations 208 As of December 31, 2017 Operating Leases (In $ millions) 2018 54 2019 47 2020 37 2021 28 2022 22 Later years 155 Sublease income — Minimum lease commitments 343 The Company expects that, in the normal course of business, leases that expire will be renewed or replaced by other leases. Rent expense recorded under all operating leases is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 159 154 154 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Cash Flow Hedges Cross-currency Swaps In March 2015, the Company settled its cross-currency swap agreements with notional values of $250 million / €193 million , expiring on September 11, 2020, and $225 million / €162 million , expiring on April 17, 2019, in exchange for cash of $88 million . The Company classifies cash flows from derivative instruments designated as cash flow hedges in the same category of the consolidated statement of cash flows as the cash flows from the items being hedged. Accordingly, the settlement of the cross-currency swap agreements was included in Net cash provided by (used in) operating activities in the consolidated statement of cash flows for the year ended December 31, 2015. Net Investment Hedges The total notional amount of foreign currency denominated debt designated as a net investment hedge of net investments in foreign operations are as follows: As of December 31, 2017 2016 (In € millions) Total 1,050 850 Foreign Currency Forwards and Swaps Each of the contracts included in the table below will have approximately offsetting effects from actual underlying payables, receivables, intercompany loans or other assets or liabilities subject to foreign exchange remeasurement. The total US dollar equivalents of net foreign exchange exposure related to (short) long foreign exchange forward contracts outstanding by currency are as follows: 2017 Maturity (In $ millions) Currency Brazilian real (13 ) British pound sterling (93 ) Canadian dollar 36 Euro (6 ) Hungarian forint 10 Korean won 10 Singapore dollar 32 Swedish krona (4 ) Total (28 ) Gross notional values of the foreign currency forwards and swaps are as follows: As of December 31, 2017 2016 (In $ millions) Total 740 508 Hedging activity for foreign currency forwards and commodity swaps is as follows: Year Ended December 31, Statement of Operations Classification 2017 2016 2015 (In $ millions) Hedging activities 4 2 2 Cost of sales Ineffective portion of hedging activities — — — Other income (expense), net Information regarding changes in the fair value of the Company's derivative and non-derivative instruments is as follows: Gain (Loss) Recognized in Other Comprehensive Income (Loss) Gain (Loss) Recognized in Earnings (Loss) Statement of Operations Classification Year Ended December 31, Year Ended December 31, 2017 2016 2015 2017 2016 2015 (In $ millions) Designated as Cash Flow Hedges Commodity swaps 4 7 — 5 2 — Cost of sales Cross-currency swaps — — — — — 46 Other income (expense), net or Foreign exchange gain (loss) Foreign currency forwards (1 ) — — (1 ) — — Cost of sales Total 3 7 — 4 2 46 Designated as a Net Investment Hedge Foreign currency denominated debt ( Note 14 ) (119 ) 61 48 — — — N/A Foreign currency forwards 2 — — — — — N/A Total (117 ) 61 48 — — — Not Designated as Hedges Interest rate swaps — — — — — (1 ) Interest expense Foreign currency forwards and swaps — — — 2 14 (82 ) Foreign exchange gain (loss), net; Other income (expense), net Total — — — 2 14 (83 ) See Note 23 for additional information regarding the fair value of the Company's derivative instruments. Certain of the Company's commodity swaps and foreign currency forwards and swaps permit the Company to net settle all contracts with the counterparty through a single payment in an agreed upon currency in the event of default or early termination of the contract, similar to a master netting arrangement. Information regarding the gross amounts of the Company's derivative instruments and the amounts offset in the consolidated balance sheets is as follows: As of December 31, 2017 2016 (In $ millions) Derivative Assets Gross amount recognized 13 14 Gross amount offset in the consolidated balance sheets 4 4 Net amount presented in the consolidated balance sheets 9 10 Gross amount not offset in the consolidated balance sheets 3 2 Net amount 6 8 As of December 31, 2017 2016 (In $ millions) Derivative Liabilities Gross amount recognized 7 7 Gross amount offset in the consolidated balance sheets 4 4 Net amount presented in the consolidated balance sheets 3 3 Gross amount not offset in the consolidated balance sheets 3 2 Net amount — 1 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The Company's financial assets and liabilities are measured at fair value on a recurring basis ( Note 2 ) as follows: Derivatives. Derivative financial instruments include commodity swaps and foreign currency forwards and swaps and are valued in the market using discounted cash flow techniques. These techniques incorporate Level 1 and Level 2 fair value measurement inputs such as interest rates and foreign currency exchange rates. These market inputs are utilized in the discounted cash flow calculation considering the instrument's term, notional amount, discount rate and credit risk. Significant inputs to the derivative valuation for commodity swaps and foreign currency forwards and swaps are observable in the active markets and are classified as Level 2 in the fair value measurement hierarchy. Fair Value Measurement Balance Sheet Classification Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Total As of December 31, 2017 2016 2017 2016 2017 2016 (In $ millions) Derivatives Designated as Cash Flow Hedges Commodity swaps — — 2 5 2 5 Current Other assets Commodity swaps — — 2 — 2 — Noncurrent Other assets Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — 5 5 5 5 Current Other assets Total assets — — 9 10 9 10 Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — (3 ) (3 ) (3 ) (3 ) Current Other liabilities Total liabilities — — (3 ) (3 ) (3 ) (3 ) Carrying values and fair values of financial instruments that are not carried at fair value are as follows: Fair Value Measurement Carrying Amount Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Total As of December 31, 2017 2016 2017 2016 2017 2016 2017 2016 (In $ millions) Cost investments 159 155 — — — — — — Insurance contracts in nonqualified trusts 42 49 42 49 — — 42 49 Long-term debt, including current installments of long-term debt 3,398 2,938 3,299 2,826 208 217 3,507 3,043 In general, the cost investments included in the table above are not publicly traded and their fair values are not readily determinable; however, the Company believes the carrying values approximate or are less than the fair values. Insurance contracts in nonqualified trusts consist of long-term fixed income securities, which are valued using independent vendor pricing models with observable inputs in the active market and therefore represent a Level 2 fair value measurement. The fair value of long-term debt is based on valuations from third-party banks and market quotations and is classified as Level 2 in the fair value measurement hierarchy. The fair value of obligations under capital leases, which are included in long-term debt, is based on lease payments and discount rates, which are not observable in the market and therefore represents a Level 3 fair value measurement. As of December 31, 2017 and 2016 , the fair values of cash and cash equivalents, receivables, trade payables, short-term borrowings and the current installments of long-term debt approximate carrying values due to the short-term nature of these instruments. These items have been excluded from the table with the exception of the current installments of long-term debt. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments Guarantees The Company has agreed to guarantee or indemnify third parties for environmental and other liabilities pursuant to a variety of agreements, including asset and business divestiture agreements, leases, settlement agreements and various agreements with affiliated companies. Although many of these obligations contain monetary and/or time limitations, others do not provide such limitations. As indemnification obligations often depend on the occurrence of unpredictable future events, the future costs associated with them cannot be determined at this time. The Company has accrued for all probable and reasonably estimable losses associated with all known matters or claims. These known obligations include the following: • Demerger Obligations In connection with the Hoechst demerger, the Company agreed to indemnify Hoechst, and its legal successors, for various liabilities under the demerger agreement, including for environmental liabilities associated with contamination arising either from environmental damage in general ("Category A") or under 19 divestiture agreements entered into by Hoechst prior to the demerger ("Category B") ( Note 16 ). The Company's obligation to indemnify Hoechst, and its legal successors, is capped under Category B at €250 million . If and to the extent the environmental damage should exceed €750 million in aggregate, the Company's obligation to indemnify Hoechst and its legal successors applies, but is then limited to 33.33% of the remediation cost without further limitations. Cumulative payments under the divestiture agreements as of December 31, 2017 are $80 million . Most of the divestiture agreements have become time barred and/or any notified environmental damage claims have been partially settled. The Company has also undertaken in the demerger agreement to indemnify Hoechst and its legal successors for (i) 33.33% of any and all Category A liabilities that result from Hoechst being held as the responsible party pursuant to public law or current or future environmental law or by third parties pursuant to private or public law related to contamination and (ii) liabilities that Hoechst is required to discharge, including tax liabilities, which are associated with businesses that were included in the demerger but were not demerged due to legal restrictions on the transfers of such items. These indemnities do not provide for any monetary or time limitations. The Company has not been requested by Hoechst to make any payments in connection with this indemnification. Accordingly, the Company has not made any payments to Hoechst and its legal successors. Based on the Company's evaluation of currently available information, including the lack of requests for indemnification, the Company cannot estimate the Possible Loss for the remaining demerger obligations, if any, in excess of amounts accrued. • Divestiture Obligations The Company and its predecessor companies agreed to indemnify third-party purchasers of former businesses and assets for various pre-closing conditions, as well as for breaches of representations, warranties and covenants. Such liabilities also include environmental liability, product liability, antitrust and other liabilities. These indemnifications and guarantees represent standard contractual terms associated with typical divestiture agreements and, other than environmental liabilities, the Company does not believe that they expose the Company to any significant risk ( Note 16 ). The Company has divested numerous businesses, investments and facilities through agreements containing indemnifications or guarantees to the purchasers. Many of the obligations contain monetary and/or time limitations, which extend through 2037 . The aggregate amount of outstanding indemnifications and guarantees provided for under these agreements is $122 million as of December 31, 2017 . Other agreements do not provide for any monetary or time limitations. Based on the Company's evaluation of currently available information, including the number of requests for indemnification or other payment received by the Company, the Company cannot estimate the Possible Loss for the remaining divestiture obligations, if any, in excess of amounts accrued. Purchase Obligations In the normal course of business, the Company enters into various purchase commitments for goods and services. The Company maintains a number of "take-or-pay" contracts for purchases of raw materials, utilities and other services. Certain of the contracts contain a contract termination buy-out provision that allows for the Company to exit the contracts for amounts less than the remaining take-or-pay obligations. Additionally, the Company has other outstanding commitments representing maintenance and service agreements, energy and utility agreements, consulting contracts and software agreements. As of December 31, 2017 , the Company had unconditional purchase obligations of $1.8 billion , which extend through 2036 . Contingencies The Company is involved in legal and regulatory proceedings, lawsuits, claims and investigations incidental to the normal conduct of business, relating to such matters as product liability, land disputes, contracts, employment, antitrust or competition compliance, intellectual property, personal injury and other actions in tort, workers' compensation, chemical exposure, asbestos exposure, taxes, trade compliance, acquisitions and divestitures, claims of legacy stockholders, past waste disposal practices and release of chemicals into the environment. The Company is actively defending those matters where the Company is named as a defendant and, based on the current facts, does not believe the outcomes from these matters would be material to the Company's results of operations, cash flows or financial position. European Commission In May 2017, the Company learned that the European Commission has opened a competition law investigation involving certain subsidiaries of the Company with respect to certain ethylene purchases. The Company is cooperating with the European Commission. Because the investigation is on-going and the many uncertainties and variables involved, the Company is unable at this time to determine the outcome of this investigation and whether, and in what amount, any potential fines would be assessed. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Year Ended December 31, 2017 2016 2015 (In $ millions) Interest paid, net of amounts capitalized 130 130 120 Taxes paid, net of refunds 123 129 151 Noncash Investing and Financing Activities Accrued capital expenditures 14 1 (37 ) Asset retirement obligations 2 2 3 Capital lease obligations — — 6 Fair value adjustment to securities available for sale, net of tax (1 ) — — Distribution to noncontrolling interests ( Note 5 ) — — (4 ) |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information Business Segments The Company operates through business segments according to the nature and economic characteristics of its products and customer relationships, as well as the manner in which the information is used internally by the Company's key decision maker, who is the Company's Chief Executive Officer. The Company's business segments are as follows: • Advanced Engineered Materials The Company's Advanced Engineered Materials segment includes the engineered materials business and certain strategic affiliates. The engineered materials business develops, produces and supplies a broad portfolio of high performance specialty polymers for automotive and medical applications, as well as industrial products and consumer electronics. Together with its strategic affiliates, the Company's engineered materials business is a leading participant in the global specialty polymers industry. The primary products of Advanced Engineered Materials are used in a broad range of end-use products including fuel system components, automotive safety systems, medical applications, electronics, appliances, industrial products, battery separators, conveyor belts, filtration equipment, coatings, and electrical applications and products. • Consumer Specialties The Company's Consumer Specialties segment includes the cellulose derivatives and food ingredients businesses, which serve consumer-driven applications. These operating segments are aggregated by the Company into one reportable segment based on similar economic characteristics and similar production processes, classes of customers and selling and distribution practices. The Company's cellulose derivatives business is a leading global producer and supplier of acetate tow and acetate flake, primarily used in filter products applications. The Company's food ingredients business is a leading global supplier of acesulfame potassium for the food and beverage industry and is a leading producer of food protection ingredients, such as potassium sorbate and sorbic acid. The Company's food ingredients business produces and sells Sunett ® high intensity sweeteners. • Industrial Specialties The Company's Industrial Specialties segment includes the emulsion polymers and EVA polymers businesses, which are operating segments aggregated by the Company into one reportable segment based on similar products, production processes, classes of customers and selling and distribution practices as well as economic similarities over a normal business cycle. The Company's emulsion polymers business is a leading global producer of vinyl acetate-based emulsions and develops products and application technologies to improve performance, create value and drive innovation in applications such as paints and coatings, adhesives, construction, glass fiber, textiles and paper. The Company's EVA polymers business is a leading North American manufacturer of a full range of specialty ethylene vinyl acetate resins and compounds, as well as select grades of low-density polyethylene. The Company's EVA polymers' products are used in many applications, including flexible packaging films, lamination film products, hot melt adhesives, automotive parts and carpeting. • Acetyl Intermediates The Company's Acetyl Intermediates segment includes the intermediate chemistry business, which produces and supplies acetyl products, including acetic acid, vinyl acetate monomer, acetic anhydride and acetate esters. These products are generally used as starting materials for colorants, paints, adhesives, coatings and pharmaceuticals. The Acetyl Intermediates segment also produces organic solvents and intermediates for pharmaceutical, agricultural and chemical products. • Other Activities Other Activities primarily consists of corporate center costs, including administrative activities such as finance, information technology and human resource functions, interest income and expense associated with financing activities and results of the Company's captive insurance companies. Other Activities also includes the components of net periodic benefit cost (interest cost, expected return on assets and net actuarial gains and losses) for the Company's defined benefit pension plans and other postretirement plans not allocated to the Company's business segments. The business segment management reporting and controlling systems are based on the same accounting policies as those described in the summary of significant accounting policies ( Note 2 ). Sales transactions between business segments are generally recorded at values that approximate third-party selling prices. Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Other Activities Eliminations Consolidated (In $ millions) Year Ended December 31, 2017 Net sales 2,096 785 (1) 1,023 (2) 2,669 (3) — (433 ) 6,140 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) — (52 ) (4 ) — (60 ) Operating profit (loss) 383 218 87 424 (211 ) — 901 Equity in net earnings (loss) of affiliates 168 3 — 6 6 — 183 Depreciation and amortization 108 44 38 105 10 — 305 Capital expenditures 75 42 30 120 14 — 281 (4) As of December 31, 2017 Goodwill and intangible assets, net 798 258 46 202 — — 1,304 Total assets 3,672 1,357 861 2,657 991 — 9,538 Year Ended December 31, 2016 Net sales 1,444 929 (1) 979 (2) 2,441 (3) — (404 ) 5,389 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) (3 ) (3 ) (1 ) — (11 ) Operating profit (loss) 350 302 105 340 (205 ) 1 893 Equity in net earnings (loss) of affiliates 122 3 — 6 24 — 155 Depreciation and amortization 92 45 34 107 12 — 290 Capital expenditures 73 38 57 67 12 — 247 (4) As of December 31, 2016 Goodwill and intangible assets, net 517 244 46 183 — — 990 Total assets 2,792 1,324 758 2,440 1,043 — 8,357 Year Ended December 31, 2015 Net sales 1,326 969 (1) 1,082 (2) 2,744 (3) — (447 ) 5,674 Other (charges) gains, net ( Note 18 ) (7 ) (25 ) (10 ) (300 ) (9 ) — (351 ) Operating profit (loss) 235 262 72 (3 ) (240 ) — 326 Equity in net earnings (loss) of affiliates 150 2 — 6 23 — 181 Depreciation and amortization 99 60 64 123 11 — 357 Capital expenditures 73 65 56 282 7 — 483 (4) ______________________________ (1) Includes intersegment sales of $2 million , $0 million and $0 million for the year ended December 31, 2017 , 2016 and 2015 , respectively. (2) Includes intersegment sales of $4 million , $3 million and $0 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. (3) Includes intersegment sales of $427 million , $401 million and $447 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. (4) Includes an increase in accrued capital expenditures of $14 million , an increase of $1 million and a decrease of $37 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. Geographical Area Information The net sales based on the geographic location of the Company's facilities are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Belgium 295 408 417 Canada 92 123 162 China 833 745 800 Germany 1,776 1,540 1,779 Italy 259 13 — Mexico 257 214 204 Singapore 867 758 703 US 1,572 1,451 1,463 Other 189 137 146 Total 6,140 5,389 5,674 Property, plant and equipment, net based on the geographic location of the Company's facilities is as follows: As of December 31, 2017 2016 (In $ millions) Belgium 57 55 Canada 128 132 China 363 359 Germany 979 868 Italy 51 45 Mexico 162 159 Singapore 87 90 US 1,857 1,798 Other 78 71 Total 3,762 3,577 |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Year Ended December 31, 2017 2016 2015 (In $ millions, except share data) Amounts attributable to Celanese Corporation Earnings (loss) from continuing operations 856 902 306 Earnings (loss) from discontinued operations (13 ) (2 ) (2 ) Net earnings (loss) 843 900 304 Weighted average shares - basic 137,902,667 144,939,433 150,838,050 Incremental shares attributable to equity awards (1) 414,728 728,748 1,449,905 Weighted average shares - diluted 138,317,395 145,668,181 152,287,955 ______________________________ (1) Excludes 29 , 836 and 2,903 equity award shares for the years ended December 31, 2017 , 2016 and 2015 , respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Financi
Consolidating Guarantor Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Consolidating Guarantor Financial Information [Abstract] | |
Consolidating Guarantor Financial Information | Consolidating Guarantor Financial Information The Senior Notes were issued by Celanese US ("Issuer") and are guaranteed by Celanese Corporation ("Parent Guarantor") and the Subsidiary Guarantors ( Note 14 ). The Issuer and Subsidiary Guarantors are 100% owned subsidiaries of the Parent Guarantor. The Parent Guarantor and Subsidiary Guarantors have guaranteed the Notes fully and unconditionally and jointly and severally. For cash management purposes, the Company transfers cash between the Parent Guarantor, Issuer, Subsidiary Guarantors and non-guarantors through intercompany financing arrangements, contributions or declaration of dividends between the respective parent and its subsidiaries. The transfer of cash under these activities facilitates the ability of the recipient to make specified third-party payments for principal and interest on the Company's outstanding debt, Common Stock dividends and Common Stock repurchases. The consolidating statements of cash flow present such intercompany financing activities, contributions and dividends consistent with how such activity would be presented in a stand-alone statement of cash flows. The Company has not presented separate financial information and other disclosures for each of its Subsidiary Guarantors because it believes such financial information and other disclosures would not provide investors with any additional information that would be material in evaluating the sufficiency of the guarantees. For the year ended December 31, 2015, $54 million in interest expense was allocated from the Issuer to Subsidiary Guarantors. The consolidating financial information for the Parent Guarantor, the Issuer, the Subsidiary Guarantors and the non-guarantors are as follows: CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,240 5,013 (1,113 ) 6,140 Cost of sales — — (1,717 ) (4,016 ) 1,108 (4,625 ) Gross profit — — 523 997 (5 ) 1,515 Selling, general and administrative expenses — — (135 ) (321 ) — (456 ) Amortization of intangible assets — — (4 ) (16 ) — (20 ) Research and development expenses — — (31 ) (41 ) — (72 ) Other (charges) gains, net — — (7 ) (53 ) — (60 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 3 — (5 ) Operating profit (loss) — — 338 568 (5 ) 901 Equity in net earnings (loss) of affiliates 843 867 591 166 (2,284 ) 183 Interest expense — (20 ) (104 ) (30 ) 32 (122 ) Refinancing expense — — — — — — Interest income — 25 4 5 (32 ) 2 Dividend income - cost investments — — — 111 (3 ) 108 Other income (expense), net — (3 ) 2 4 — 3 Earnings (loss) from continuing operations before tax 843 869 831 824 (2,292 ) 1,075 Income tax (provision) benefit — (26 ) (62 ) (125 ) — (213 ) Earnings (loss) from continuing operations 843 843 769 699 (2,292 ) 862 Earnings (loss) from operation of discontinued operations — — (2 ) (14 ) — (16 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — 1 2 — 3 Earnings (loss) from discontinued operations — — (1 ) (12 ) — (13 ) Net earnings (loss) 843 843 768 687 (2,292 ) 849 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 843 843 768 681 (2,292 ) 843 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,162 4,322 (1,095 ) 5,389 Cost of sales — — (1,657 ) (3,428 ) 1,101 (3,984 ) Gross profit — — 505 894 6 1,405 Selling, general and administrative expenses — — (112 ) (304 ) — (416 ) Amortization of intangible assets — — (5 ) (4 ) — (9 ) Research and development expenses — — (32 ) (46 ) — (78 ) Other (charges) gains, net — — — (11 ) — (11 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 17 (6 ) 3 Operating profit (loss) — — 348 545 — 893 Equity in net earnings (loss) of affiliates 898 939 653 146 (2,481 ) 155 Interest expense — (16 ) (94 ) (29 ) 19 (120 ) Refinancing expense — (4 ) (2 ) — — (6 ) Interest income — 12 4 5 (19 ) 2 Dividend income - cost investments — — — 107 1 108 Other income (expense), net — (1 ) 1 (2 ) — (2 ) Earnings (loss) from continuing operations before tax 898 930 910 772 (2,480 ) 1,030 Income tax (provision) benefit 2 (32 ) (53 ) (36 ) (3 ) (122 ) Earnings (loss) from continuing operations 900 898 857 736 (2,483 ) 908 Earnings (loss) from operation of discontinued operations — — (2 ) (1 ) — (3 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — — 1 — 1 Earnings (loss) from discontinued operations — — (2 ) — — (2 ) Net earnings (loss) 900 898 855 736 (2,483 ) 906 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 900 898 855 730 (2,483 ) 900 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,410 4,485 (1,221 ) 5,674 Cost of sales — — (1,729 ) (3,897 ) 1,270 (4,356 ) Gross profit — — 681 588 49 1,318 Selling, general and administrative expenses — — (242 ) (264 ) — (506 ) Amortization of intangible assets — — (5 ) (6 ) — (11 ) Research and development expenses — — (78 ) (41 ) — (119 ) Other (charges) gains, net — — (5 ) (346 ) — (351 ) Foreign exchange gain (loss), net — — — 4 — 4 Gain (loss) on disposition of businesses and assets, net — — (6 ) (3 ) — (9 ) Operating profit (loss) — — 345 (68 ) 49 326 Equity in net earnings (loss) of affiliates 302 314 84 162 (681 ) 181 Interest expense — (77 ) (76 ) (36 ) 70 (119 ) Refinancing expense — — — — — — Interest income — 18 40 13 (70 ) 1 Dividend income - cost investments — — — 107 — 107 Other income (expense), net — (2 ) 2 (8 ) — (8 ) Earnings (loss) from continuing operations before tax 302 253 395 170 (632 ) 488 Income tax (provision) benefit 2 49 (133 ) (98 ) (21 ) (201 ) Earnings (loss) from continuing operations 304 302 262 72 (653 ) 287 Earnings (loss) from operation of discontinued operations — — (3 ) — — (3 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — 1 — — 1 Earnings (loss) from discontinued operations — — (2 ) — — (2 ) Net earnings (loss) 304 302 260 72 (653 ) 285 Net (earnings) loss attributable to noncontrolling interests — — — 19 — 19 Net earnings (loss) attributable to Celanese Corporation 304 302 260 91 (653 ) 304 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 843 843 768 687 (2,292 ) 849 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities (1 ) (1 ) (1 ) (1 ) 3 (1 ) Foreign currency translation 174 174 226 268 (668 ) 174 Gain (loss) from cash flow hedges (1 ) (1 ) (1 ) (1 ) 3 (1 ) Pension and postretirement benefits 9 9 7 10 (26 ) 9 Total other comprehensive income (loss), net of tax 181 181 231 276 (688 ) 181 Total comprehensive income (loss), net of tax 1,024 1,024 999 963 (2,980 ) 1,030 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 1,024 1,024 999 957 (2,980 ) 1,024 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 900 898 855 736 (2,483 ) 906 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — — — — — Foreign currency translation (11 ) (11 ) (65 ) (73 ) 149 (11 ) Gain (loss) from cash flow hedges 5 5 5 5 (15 ) 5 Pension and postretirement benefits (4 ) (4 ) (4 ) (2 ) 10 (4 ) Total other comprehensive income (loss), net of tax (10 ) (10 ) (64 ) (70 ) 144 (10 ) Total comprehensive income (loss), net of tax 890 888 791 666 (2,339 ) 896 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 890 888 791 660 (2,339 ) 890 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 304 302 260 72 (653 ) 285 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — — — — — Foreign currency translation (188 ) (188 ) (181 ) (231 ) 600 (188 ) Gain (loss) from cash flow hedges 2 2 5 1 (8 ) 2 Pension and postretirement benefits 3 3 3 2 (8 ) 3 Total other comprehensive income (loss), net of tax (183 ) (183 ) (173 ) (228 ) 584 (183 ) Total comprehensive income (loss), net of tax 121 119 87 (156 ) (69 ) 102 Comprehensive (income) loss attributable to noncontrolling interests — — — 19 — 19 Comprehensive income (loss) attributable to Celanese Corporation 121 119 87 (137 ) (69 ) 121 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 230 346 — 576 Trade receivables - third party and affiliates — — 89 988 (91 ) 986 Non-trade receivables, net 38 482 279 385 (940 ) 244 Inventories, net — — 277 672 (49 ) 900 Marketable securities, at fair value — — 32 — — 32 Other assets — 60 12 93 (111 ) 54 Total current assets 38 542 919 2,484 (1,191 ) 2,792 Investments in affiliates 2,850 4,283 3,916 861 (10,934 ) 976 Property, plant and equipment, net — — 1,145 2,617 — 3,762 Deferred income taxes — 6 206 158 (4 ) 366 Other assets — 1,295 171 165 (1,293 ) 338 Goodwill — — 314 689 — 1,003 Intangible assets, net — — 48 253 — 301 Total assets 2,888 6,126 6,719 7,227 (13,422 ) 9,538 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates — 76 148 369 (267 ) 326 Trade payables - third party and affiliates — 1 300 598 (92 ) 807 Other liabilities — 71 302 273 (292 ) 354 Deferred income taxes — — — — — — Income taxes payable — — 471 92 (491 ) 72 Total current liabilities — 148 1,221 1,332 (1,142 ) 1,559 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,128 1,254 233 (1,300 ) 3,315 Deferred income taxes — — — 215 (4 ) 211 Uncertain tax positions — — 1 157 (2 ) 156 Benefit obligations — — 277 308 — 585 Other liabilities — — 255 158 — 413 Total noncurrent liabilities — 3,128 1,787 1,071 (1,306 ) 4,680 Total Celanese Corporation stockholders' equity 2,888 2,850 3,711 4,412 (10,974 ) 2,887 Noncontrolling interests — — — 412 — 412 Total equity 2,888 2,850 3,711 4,824 (10,974 ) 3,299 Total liabilities and equity 2,888 6,126 6,719 7,227 (13,422 ) 9,538 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 51 587 — 638 Trade receivables - third party and affiliates — — 107 819 (125 ) 801 Non-trade receivables, net 40 499 249 308 (873 ) 223 Inventories, net — — 239 526 (45 ) 720 Marketable securities, at fair value — — 30 — — 30 Other assets — 42 25 76 (83 ) 60 Total current assets 40 541 701 2,316 (1,126 ) 2,472 Investments in affiliates 2,548 4,029 3,655 752 (10,132 ) 852 Property, plant and equipment, net — — 1,049 2,528 — 3,577 Deferred income taxes — — 91 86 (18 ) 159 Other assets — 705 133 156 (687 ) 307 Goodwill — — 314 482 — 796 Intangible assets, net — — 48 146 — 194 Total assets 2,588 5,275 5,991 6,466 (11,963 ) 8,357 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates — 6 133 250 (271 ) 118 Trade payables - third party and affiliates — — 226 524 (125 ) 625 Other liabilities — 58 167 262 (165 ) 322 Deferred income taxes — — — — — — Income taxes payable — — 454 75 (517 ) 12 Total current liabilities — 64 980 1,111 (1,078 ) 1,077 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 2,647 727 210 (694 ) 2,890 Deferred income taxes — 16 — 132 (18 ) 130 Uncertain tax positions — — 3 130 (2 ) 131 Benefit obligations — — 636 257 — 893 Other liabilities — — 74 142 (1 ) 215 Total noncurrent liabilities — 2,663 1,440 871 (715 ) 4,259 Total Celanese Corporation stockholders' equity 2,588 2,548 3,571 4,051 (10,170 ) 2,588 Noncontrolling interests — — — 433 — 433 Total equity 2,588 2,548 3,571 4,484 (10,170 ) 3,021 Total liabilities and equity 2,588 5,275 5,991 6,466 (11,963 ) 8,357 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 740 868 425 593 (1,823 ) 803 Investing Activities Capital expenditures on property, plant and equipment — — (176 ) (91 ) — (267 ) Acquisitions, net of cash acquired — (11 ) (12 ) (274 ) 28 (269 ) Proceeds from sale of businesses and assets, net — — 9 20 (28 ) 1 Capital expenditures related to Fairway Methanol LLC — — — — — — Return of capital from subsidiary — 16 241 — (257 ) — Contributions to subsidiary — — — — — — Intercompany loan receipts (disbursements) — (530 ) (25 ) — 555 — Other, net — — (2 ) (12 ) — (14 ) Net cash provided by (used in) investing activities — (525 ) 35 (357 ) 298 (549 ) Financing Activities Short-term borrowings (repayments), net — 56 15 51 (11 ) 111 Proceeds from short-term borrowings — — — 182 — 182 Repayments of short-term borrowings — — — (124 ) — (124 ) Proceeds from long-term debt — 351 530 14 (544 ) 351 Repayments of long-term debt — (6 ) (2 ) (69 ) — (77 ) Purchases of treasury stock, including related fees (500 ) — — — — (500 ) Dividends to parent — (741 ) (802 ) (280 ) 1,823 — Contributions from parent — — — — — — Stock option exercises 1 — — — — 1 Series A common stock dividends (241 ) — — — — (241 ) Return of capital to parent — — — (257 ) 257 — (Distributions to) contributions from noncontrolling interests — — — (27 ) — (27 ) Other, net — (3 ) (22 ) (2 ) — (27 ) Net cash provided by (used in) financing activities (740 ) (343 ) (281 ) (512 ) 1,525 (351 ) Exchange rate effects on cash and cash equivalents — — — 35 — 35 Net increase (decrease) in cash and cash equivalents — — 179 (241 ) — (62 ) Cash and cash equivalents as of beginning of period — — 51 587 — 638 Cash and cash equivalents as of end of period — — 230 346 — 576 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 695 711 (21 ) 872 (1,364 ) 893 Investing Activities Capital expenditures on property, plant and equipment — — (139 ) (107 ) — (246 ) Acquisitions, net of cash acquired — — — (178 ) — (178 ) Proceeds from sale of businesses and assets, net — — 1 11 — 12 Capital expenditures related to Fairway Methanol LLC — — — — — — Return of capital from subsidiary — 145 758 — (903 ) — Contributions to subsidiary — — — — — — Intercompany loan receipts (disbursements) — (283 ) 19 90 174 — Other, net — — (10 ) (17 ) — (27 ) Net cash provided by (used in) investing activities — (138 ) 629 (201 ) (729 ) (439 ) Financing Activities Short-term borrowings (repayments), net — (371 ) 1 (1 ) 19 (352 ) Proceeds from short-term borrowings — — — 53 — 53 Repayments of short-term borrowings — — — (90 ) — (90 ) Proceeds from long-term debt — 1,589 746 — (826 ) 1,509 Repayments of long-term debt — (1,083 ) (635 ) (42 ) 633 (1,127 ) Purchases of treasury stock, including related fees (500 ) — — — — (500 ) Dividends to parent — (695 ) (669 ) — 1,364 — Contributions from parent — — — — — — Stock option exercises 6 — — — — 6 Series A common stock dividends (201 ) — — — — (201 ) Return of capital to parent — — — (903 ) 903 — (Distributions to) contributions from noncontrolling interests — — — (24 ) — (24 ) Other, net — (13 ) (21 ) 1 — (33 ) Net cash provided by (used in) financing activities (695 ) (573 ) (578 ) (1,006 ) 2,093 (759 ) Exchange rate effects on cash and cash equivalents — — — (24 ) — (24 ) Net increase (decrease) in cash and cash equivalents — — 30 (359 ) — (329 ) Cash and cash equivalents as of beginning of period — — 21 946 — 967 Cash and cash equivalents as of end of period — — 51 587 — 638 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 591 536 529 422 (1,216 ) 862 Investing Activities Capital expenditures on property, plant and equipment — — (128 ) (104 ) — (232 ) Acquisitions, net of cash acquired — — (3 ) (3 ) — (6 ) Proceeds from sale of businesses and assets, net — — — 4 — 4 Capital expenditures related to Fairway Methanol LLC — — (20 ) (268 ) — (288 ) Return of capital from subsidiary — — — — — — Contributions to subsidiary — — (120 ) — 120 — Intercompany loan receipts (disbursements) — (333 ) (33 ) (15 ) 381 — Other, net — — (12 ) (24 ) — (36 ) Net cash provided by (used in) investing activities — (333 ) (316 ) (410 ) 501 (558 ) Financing Activities Short-term borrowings (repayments), net — 383 — — (33 ) 350 Proceeds from short-term borrowings — — — 80 — 80 Repayments of short-term borrowings — — — (83 ) — (83 ) Proceeds from long-term debt — 15 406 — (421 ) — Repayments of long-term debt — (9 ) (74 ) (14 ) 73 (24 ) Purchases of treasury stock, including related fees (420 ) — — — — (420 ) Dividends to parent — (592 ) (624 ) — 1,216 — Contributions from parent — — — 120 (120 ) — Stock option exercises 3 — — — — 3 Series A common stock dividends (174 ) — — — — (174 ) Return of capital to parent — — — — — — (Distributions to) contributions from noncontrolling interests — — — 214 — 214 Other, net — — (10 ) (2 ) — (12 ) Net cash provided by (used in) financing activities (591 ) (203 ) (302 ) 315 715 (66 ) Exchange rate effects on cash and cash equivalents — — — (51 ) — (51 ) Net increase (decrease) in cash and cash equivalents — — (89 ) 276 — 187 Cash and cash equivalents as of beginning of period — — 110 670 — 780 Cash and cash equivalents as of end of period — — 21 946 — 967 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On February 1, 2018, using $158 million of cash on hand and borrowings under the Company's senior unsecured revolving credit facility, the Company completed the acquisition of 100% of the ownership interests of Omni Plastics, L.L.C. and its subsidiaries ("Omni Plastics"). Omni Plastics specializes in custom compounding of various engineered thermoplastic materials. The acquisition further strengthens the Company's global asset base by adding compounding capacity in the Americas. The acquisition will be accounted for as a business combination, and the acquired operations will be included in the Advanced Engineered Materials segment beginning in the first quarter of 2018. The Company has not presented a purchase price allocation related to the fair values of assets acquired and liabilities assumed because the initial accounting for the acquisition was incomplete as of the issuance date of the financial statements. The acquisition is not expected to be material to the Company's 2018 financial position or results of operations. Subsequent to December 31, 2017, the Company settled its dispute concerning the exercise of an option right by a partner in two of the Company's InfraServ affiliate investments. As a result of the settlement, effective upon processing by the commercial register (estimated February 2018), the Company’s share of ownership in InfraServ GmbH & Co. Gendorf KG will be reduced from 39% to 30% and in Infraserv GmbH & Co. Knapsack KG from 27% to 22% . The shares will be transferred against net payment of approximately €4 million , after taking into account dividends received by the Company since option exercise. |
Summary of Accounting Policies
Summary of Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Purchase Accounting | Purchase Accounting The Company recognizes the identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The excess of purchase price over the aggregate fair values is recorded as goodwill. Intangible assets are valued using the relief from royalty, multi-period excess earnings and discounted cash flow methodologies, which are considered Level 3 measurements. The relief from royalty method estimates the Company's theoretical royalty savings from ownership of the intangible asset. Key assumptions used in this method include discount rates, royalty rates, growth rates, sales projections and terminal value rates. Key assumptions used in the multi-period excess earnings method include discount rates, retention rates, growth rates, sales projections, expense projections and contributory asset charges. Key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. All of these methodologies require significant management judgment and, therefore, are susceptible to change. The Company calculates the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed to allocate the purchase price at the acquisition date. The Company may use the assistance of third-party valuation consultants. |
Asset impairments goodwill and other intangible assets | Recoverability of Goodwill and Indefinite-Lived Assets The Company assesses the recoverability of the carrying amount of its reporting unit goodwill and indefinite-lived intangible assets either qualitatively or quantitatively annually during the third quarter of its fiscal year using June 30 balances or whenever events or changes in circumstances indicate that the carrying amount of the asset may not be fully recoverable. The Company assesses the recoverability of finite-lived intangible assets in the same manner as for property, plant and equipment. Impairment losses are generally recorded in Other (charges) gains, net in the consolidated statements of operations. Recoverability of the carrying amount of goodwill is measured at the reporting unit level. In performing a quantitative analysis, the Company measures the recoverability of goodwill for each reporting unit using a discounted cash flow model incorporating discount rates commensurate with the risks involved, which is classified as a Level 3 fair value measurement. The key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. Discount rates, growth rates and cash flow projections are the most sensitive and susceptible to change as they require significant management judgment. Discount rates used are similar to the rates estimated by the weighted average cost of capital ("WACC") considering any differences in company-specific risk factors. The Company may engage third-party valuation consultants to assist with this process. Management tests indefinite-lived intangible assets for impairment quantitatively utilizing the relief from royalty method under the income approach to determine the estimated fair value for each indefinite-lived intangible asset, which is classified as a Level 3 fair value measurement. The relief from royalty method estimates the Company's theoretical royalty savings from ownership of the intangible asset. The key assumptions used in this model include discount rates, royalty rates, growth rates, tax rates, sales projections and terminal value rates. Discount rates, royalty rates, growth rates and sales projections are the assumptions most sensitive and susceptible to change as they require significant management judgment. Discount rates used are similar to the rates estimated by the WACC considering any differences in company-specific risk factors. Royalty rates are established by management and are periodically substantiated by third-party valuation consultants. |
Asset Retirement Obligations | Asset Retirement Obligations Periodically, the Company will conclude a site no longer has an indeterminate life based on long-lived asset impairment triggering events and decisions made by the Company. Accordingly, the Company will record asset retirement obligations associated with such sites. To measure the fair value of the asset retirement obligations, the Company will use the expected present value technique, which is classified as a Level 3 fair value measurement. The expected present value technique uses a set of cash flows that represent the probability-weighted average of all possible cash flows based on the Company's judgment. The Company uses the following inputs to determine the fair value of the asset retirement obligations based on the Company's experience with fulfilling obligations of this type and the Company's knowledge of market conditions: (a) labor costs; (b) allocation of overhead costs; (c) profit on labor and overhead costs; (d) effect of inflation on estimated costs and profits; (e) risk premium for bearing the uncertainty inherent in cash flows, other than inflation; (f) time value of money represented by the risk-free interest rate commensurate with the timing of the associated cash flows; and (g) nonperformance risk relating to the liability, which includes the Company's own credit risk. The asset retirement obligations are accreted to their undiscounted values until the time at which they are expected to be settled. The Company has identified but not recognized asset retirement obligations related to certain of its existing operating facilities. Examples of these types of obligations include demolition, decommissioning, disposal and restoration activities. Legal obligations exist in connection with the retirement of these assets upon closure of the facilities or abandonment of the existing operations. However, the Company currently plans on continuing operations at these facilities indefinitely and therefore, a reasonable estimate of fair value cannot be determined at this time. In the event the Company considers plans to abandon or cease operations at these sites, an asset retirement obligation will be reassessed at that time. If certain operating facilities were to close, the related asset retirement obligations could significantly affect the Company's results of operations and cash flows. |
Environmental liabilities | Environmental Liabilities The Company manufactures and sells a diverse line of chemical products throughout the world. Accordingly, the Company's operations are subject to various hazards incidental to the production of industrial chemicals including the use, handling, processing, storage and transportation of hazardous materials. The Company recognizes losses and accrues liabilities relating to environmental matters if available information indicates that it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Depending on the nature of the site, the Company accrues through 15 years , unless the Company has government orders or other agreements that extend beyond 15 years . The Company estimates environmental liabilities on a case-by-case basis using the most current status of available facts, existing technology, presently enacted laws and regulations and prior experience in remediation of contaminated sites. Recoveries of environmental costs from other parties are recorded as assets when their receipt is deemed probable. An environmental reserve 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 and post-remediation monitoring costs. These undiscounted reserves do not take into account any claims or recoveries from insurance. The measurement of environmental liabilities is based on the Company's periodic estimate of what it will cost to perform each of the elements of the remediation effort. The Company utilizes third parties to assist in the management and development of cost estimates for its sites. Changes to environmental regulations or other factors affecting environmental liabilities are reflected in the consolidated financial statements in the period in which they occur. |
Pension and other postretirement obligations | Pension and Other Postretirement Obligations The Company recognizes a balance sheet asset or liability for each of its pension and other postretirement benefit plans equal to the plan's funded status as of a December 31 measurement date. The amounts recognized in the consolidated financial statements related to pension and other postretirement benefits are determined on an actuarial basis. Various assumptions are used in the calculation of the actuarial valuation of the employee benefit plans. These assumptions include the discount rate, compensation levels, expected long-term rates of return on plan assets and trends in health care costs. In addition, actuarial consultants use factors such as withdrawal and mortality rates to estimate the projected benefit obligation. The Company applies the long-term expected rate of return to the fair value of plan assets and immediately recognizes in operating results the change in fair value of plan assets and net actuarial gains and losses annually in the fourth quarter of each fiscal year and whenever a plan is required to be remeasured. Events requiring a plan remeasurement will be recognized in the quarter in which such remeasurement event occurs. The remaining components of pension and other postretirement plan net periodic benefit costs are recorded on a quarterly basis. The Company allocates the service cost and amortization of prior service cost (or credit) components of its pension and postretirement plans to its business segments. Interest cost, expected return on assets and net actuarial gains and losses are considered financing activities managed at the corporate level and are recorded to Other Activities. The Company believes the expense allocation appropriately matches the cost incurred for active employees to the respective business segment. Other postretirement benefit plans provide medical and life insurance benefits to retirees who meet minimum age and service requirements. The key determinants of the accumulated postretirement benefit obligation ("APBO") are the discount rate and the health care cost trend rate. • Discount Rate As of the measurement date, the Company determines the appropriate discount rate used to calculate the present value of future cash flows currently expected to be required to settle the pension and other postretirement benefit obligations. The discount rate is generally based on the yield on high-quality corporate fixed-income securities. In the US, the rate used to discount pension and other postretirement benefit plan liabilities is based on a yield curve developed from market data of over 300 Aa-grade non-callable bonds at the measurement date. This yield curve has discount rates that vary based on the duration of the obligations. The estimated future cash flows for the pension and other benefit obligations were matched to the corresponding rates on the yield curve to derive a weighted average discount rate. The Company determines its discount rates in the Euro zone using the iBoxx Euro Corporate AA Bond indices with appropriate adjustments for the duration of the plan obligations. In other international locations, the Company determines its discount rates based on the yields of high quality government bonds with a duration appropriate to the duration of the plan obligations. • Change in estimate regarding pension and other postretirement benefits Beginning in 2016, the Company elected to change the method used to estimate the service and interest cost components of net periodic benefit cost for its significant defined benefit pension plans and other postretirement benefit plans. Previously, the Company estimated the service and interest cost components utilizing a single weighted average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. The Company elected to use a full yield curve approach in the estimation of these components of net periodic benefit cost by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. This change improves the correlation between projected benefit cash flows and the corresponding yield curve spot rates and provides a more precise measurement of service and interest costs. This change did not affect the measurement of the Company's total benefit obligations as the change in service and interest cost was completely offset in the annual actuarial (gain) loss reported. The Company accounted for this change prospectively as a change in estimate beginning in 2016. • Expected Long-Term Rate of Return on Assets The Company determines the long-term expected rate of return on plan assets by considering the current target asset allocation, as well as the historical and expected rates of return on various asset categories in which the plans are invested. A single long-term expected rate of return on plan assets is then calculated for each plan as the weighted average of the target asset allocation and the long-term expected rate of return assumptions for each asset category within each plan. The expected rate of return is assessed annually and is based on long-term relationships among major asset classes and the level of incremental returns that can be earned by the successful implementation of different active investment management strategies. Equity returns are based on estimates of long-term inflation rate, real rate of return, 10-year Treasury bond premium over cash and historical equity risk premium. Fixed income returns are based on maturity, historical long-term inflation, real rate of return and credit spreads. • Investment Policies and Strategies The investment objectives for the Company's pension plans are to earn, over a moving twenty-year period, a long-term expected rate of return, net of investment fees and transaction costs, sufficient to satisfy the benefit obligations of the plan, while at the same time maintaining adequate liquidity to pay benefit obligations and proper expenses, and meet any other cash needs, in the short- to medium-term. The equity and debt securities objectives are to provide diversified exposure across the US and global equity markets and to manage the risks and returns of the plans through the use of multiple managers and strategies. The fixed income strategy is designed to reduce liability-related interest rate risk by investing in bonds that match the duration and credit quality of the plan liabilities. Derivatives-based strategies may be used to mitigate investment risks. The financial objectives of the qualified pension plans are established in conjunction with a comprehensive review of each plan's liability structure. The Company's asset allocation policy is based on detailed asset/liability analysis. In developing investment policy and financial goals, consideration is given to each plan's demographics, the returns and risks associated with current and alternative investment strategies and the current and projected cash, expense and funding ratios of each plan. Investment policies must also comply with local statutory requirements as determined by each country. A formal asset/liability study of each plan is undertaken every three to five years or whenever there has been a material change in plan demographics, benefit structure or funding status and investment market. The Company has adopted a long-term investment horizon such that the risk and duration of investment losses are weighed against the long-term potential for appreciation of assets. Although there cannot be complete assurance that these objectives will be realized, it is believed that the likelihood for their realization is reasonably high, based upon the asset allocation chosen and the historical and expected performance of the asset classes utilized by the plans. The intent is for investments to be broadly diversified across asset classes, investment styles, market sectors, investment managers, developed and emerging markets and securities in order to moderate portfolio volatility and risk. Investments may be in separate accounts, commingled trusts, mutual funds and other pooled asset portfolios provided they all conform to fiduciary standards. External investment managers are hired to manage pension assets. Investment consultants assist with the screening process for each new manager hired. Over the long-term, the investment portfolio is expected to earn returns that exceed a composite of market indices that are weighted to match each plan's target asset allocation. The portfolio return should also (over the long-term) meet or exceed the return used for actuarial calculations in order to meet the future needs of each plan. |
Commitments and contingencies | Commitments and Contingencies Due to the inherent subjectivity of assessments and unpredictability of outcomes of legal proceedings, the Company's litigation accruals and estimates of possible loss or range of possible loss ("Possible Loss") may not represent the ultimate loss to the Company from legal proceedings. For reasonably possible loss contingencies that may be material, the Company estimates its Possible Loss when determinable, considering that the Company could incur no loss in certain matters. For some matters, the Company is unable, at this time, to estimate its Possible Loss that is reasonably possible of occurring. Generally, the less progress that has been made in the proceedings or the broader the range of potential results, the more difficult it is for the Company to estimate the Possible Loss that is reasonably possible the Company could incur. The Company may disclose certain information related to a plaintiff's claim against the Company alleged in the plaintiff's pleadings or otherwise publicly available. While information of this type may provide insight into the potential magnitude of a matter, it does not necessarily represent the Company's estimate of reasonably possible or probable loss. Some of the Company's exposure in legal matters may be offset by applicable insurance coverage. The Company does not consider the possible availability of insurance coverage in determining the amounts of any accruals or any estimates of Possible Loss. Thus, the Company's exposure and ultimate losses may be higher or lower, and possibly materially so, than the Company's litigation accruals and estimates of Possible Loss. |
Income taxes | Income Taxes The provision for income taxes is determined using the asset and liability approach of accounting for income taxes. Under this approach, deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and net operating loss and tax credit carryforwards. The amount of deferred taxes on these temporary differences is determined using the tax rates that are expected to apply to the period when the asset is realized or the liability is settled, as applicable, based on tax rates and laws in the respective tax jurisdiction enacted as of the balance sheet date. The Company reviews its deferred tax assets for recoverability and establishes a valuation allowance based on historical taxable income, projected future taxable income, applicable tax strategies and the expected timing of the reversals of existing temporary differences. A valuation allowance is provided when it is more likely than not (likelihood of greater than 50%) that some portion or all of the deferred tax assets will not be realized. The Company considers many factors when evaluating and estimating its tax positions and tax benefits, which may require periodic adjustments and which may not accurately anticipate actual outcomes. Tax positions are recognized only when it is more likely than not (likelihood of greater than 50%), based on technical merits, that the positions will be sustained upon examination. Tax positions that meet the more-likely-than-not threshold are measured using a probability weighted approach as the largest amount of tax benefit that is greater than 50% likely of being realized upon settlement. Whether the more-likely-than-not recognition threshold is met for a tax position is a matter of judgment based on the individual facts and circumstances of that position evaluated in light of all available evidence. The Company recognizes interest and penalties related to uncertain tax positions in Income tax (provision) benefit in the consolidated statements of operations. |
Consolidation principles | Consolidation Principles The consolidated financial statements have been prepared in accordance with US GAAP for all periods presented and include the accounts of the Company and its majority owned subsidiaries over which the Company exercises control. All intercompany accounts and transactions have been eliminated in consolidation. |
Estimates and assumptions | Estimates and Assumptions The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of net sales, expenses and allocated charges during the reporting period. Significant estimates pertain to impairments of goodwill, intangible assets and other long-lived assets, purchase price allocations, restructuring costs and other (charges) gains, net, income taxes, pension and other postretirement benefits, asset retirement obligations, environmental liabilities and loss contingencies, among others. Actual results could differ from those estimates. |
Fair Value Measurement | Fair Value Measurements The Company determines fair value based on the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at fair value, the Company considers assumptions that market participants would use when pricing the asset or liability. Market participant assumptions are categorized by a three-tiered fair value hierarchy which prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. If a financial instrument uses inputs that fall in different levels of the hierarchy, the instrument will be categorized based upon the lowest level of input that is significant to the fair value calculation. Valuations for fund investments, such as common/collective trusts, registered investment companies and short-term investment funds, which do not have readily determinable fair values, are typically estimated using a net asset value provided by a third party as a practical expedient. The levels of inputs used to measure fair value are as follows: Level 1 - unadjusted quoted prices for identical assets or liabilities in active markets accessible by the Company Level 2 - inputs that are observable in the marketplace other than those inputs classified as Level 1 Level 3 - inputs that are unobservable in the marketplace and significant to the valuation |
Cash and Cash Equivalents | Cash and Cash Equivalents All highly liquid investments with original maturities of three months or less are considered cash equivalents. |
Allowance for doubtful accounts | Allowance for Doubtful Accounts The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company believes, based on historical results, the likelihood of actual write-offs having a material impact on financial results is low. The allowance for doubtful accounts is estimated using factors such as customer credit ratings, past collection history and general risk profile. Receivables are charged against the allowance for doubtful accounts when it is probable that the receivable will not be recovered. |
Inventories | Inventories Inventories, including stores and supplies, are stated at the lower of cost and net realizable value. Cost for inventories is determined using the first-in, first-out ("FIFO") method. Cost includes raw materials, direct labor and manufacturing overhead. Cost for stores and supplies is primarily determined by the average cost method. |
Investments in marketable securities | Investments • Marketable Securities The cost of available-for-sale securities sold is determined using the specific identification method. |
Investments in affiliates | Investments in Affiliates Investments where the Company can exercise significant influence over operating and financial policies of an investee, which is generally considered when an investor owns 20% or more of the voting stock of an investee, are accounted for under the equity method of accounting. Investments where the Company does not exercise significant influence are accounted for under the cost method of accounting. The Company determined it cannot exercise significant influence over certain investments where the Company owns greater than a 20% interest due to local government investment in and influence over these entities, limitations on the Company's involvement in the day-to-day operations and the present inability of the entities to provide timely financial information prepared in accordance with US GAAP. Accordingly, these investments are accounted for under the cost method of accounting. In certain instances, the financial information of the Company's equity investees is not available on a timely basis. Accordingly, the Company records its proportional share of the investee's earnings or losses on a consistent lag of no more than one quarter . When required to assess the recoverability of its investments in affiliates, the Company estimates fair value using a discounted cash flow model. The Company may engage third-party valuation consultants to assist with this process. |
Property, plant and equipment, net | Property, Plant and Equipment, Net Land is recorded at historical cost. Buildings, machinery and equipment, including capitalized interest, and property under capital lease agreements, are recorded at cost less accumulated depreciation. The Company records depreciation and amortization in its consolidated statements of operations as either Cost of sales, Selling, general and administrative expenses or Research and development expenses consistent with the utilization of the underlying assets. Depreciation is calculated on a straight-line basis over the following estimated useful lives of depreciable assets: Land improvements 20 years Buildings and improvements 30 years Machinery and equipment 20 years Leasehold improvements are amortized over 10 years or the remaining life of the respective lease, whichever is shorter. Accelerated depreciation is recorded when the estimated useful life is shortened. Ordinary repair and maintenance costs, including costs for planned maintenance turnarounds, that do not extend the useful life of the asset are charged to earnings as incurred. Fully depreciated assets are retained in property and depreciation accounts until sold or otherwise disposed. 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 earnings. The Company assesses the recoverability of the carrying amount of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. An impairment loss would be assessed when estimated undiscounted future cash flows from the operation and disposition of the asset group are less than the carrying amount of the asset group. Asset groups have identifiable cash flows and are largely independent of other asset groups. Measurement of an impairment loss is based on the excess of the carrying amount of the asset group over its fair value. The Company calculates the fair value using a discounted cash flow model incorporating discount rates commensurate with the risks involved for the asset group, which is classified as a Level 3 fair value measurement. The key assumptions used in the discounted cash flow valuation model include discount rates, growth rates, tax rates, cash flow projections and terminal value rates. Discount rates, growth rates and cash flow projections involve significant judgment and are based on management's estimate of current and forecasted market conditions and cost structure. Impairment losses are generally recorded in Other (charges) gains, net in the consolidated statements of operations. |
Intangible Assets, Finite-Lived, Policy [Policy Text Block] | Definite-lived Intangible Assets Customer-related intangible assets and other intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives, which range from three to 30 years . |
Derivative and hedging instruments | Derivative and Hedging Instruments The Company manages its exposures to interest rates, foreign exchange rates and commodity prices through a risk management program that includes the use of derivative financial instruments. The Company does not use derivative financial instruments for speculative trading purposes. The fair value of derivative instruments other than foreign currency forwards and swaps is recorded as an asset or liability on a net basis at the balance sheet date. • Foreign Exchange Risk Management Certain subsidiaries of the Company have assets and liabilities denominated in currencies other than their respective functional currencies, which creates foreign exchange risk. The Company also is exposed to foreign currency fluctuations on transactions with third-party entities as well as intercompany transactions. The Company minimizes its exposure to foreign currency fluctuations by entering into foreign currency forwards and swaps. These foreign currency forwards and swaps are not designated as hedges. Gains and losses on foreign currency forwards and swaps entered into to offset foreign exchange impacts on intercompany balances are included in Other income (expense), net in the consolidated statements of operations. Gains and losses on foreign currency forwards and swaps entered into to offset foreign exchange impacts on all other assets and liabilities are included in Foreign exchange gain (loss), net in the consolidated statements of operations. The Company uses non-derivative financial instruments that may give rise to foreign currency transaction gains or losses to hedge the foreign currency exposure of net investments in foreign operations. Accordingly, the effective portion of gains and losses from remeasurement of the non-derivative financial instrument is included in foreign currency translation within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Gains and losses are reclassified to earnings in the period the hedged investment is sold or liquidated. • Commodity Risk Management The Company has exposure to the prices of commodities in its procurement of certain raw materials. The Company manages its exposure to commodity risk primarily through the use of long-term supply agreements, multi-year purchasing and sales agreements and forward purchase contracts. The Company regularly assesses its practice of using forward purchase contracts and other raw material hedging instruments in accordance with changes in economic conditions. Forward purchases and swap contracts for raw materials are principally settled through physical delivery of the commodity. For qualifying contracts, the Company has elected to apply the normal purchases and normal sales exception based on the probability at the inception and throughout the term of the contract that the Company would not net settle and the transaction would result in the physical delivery of the commodity. Accordingly, realized gains and losses on these contracts are included in the cost of the commodity upon the settlement of the contract. The Company also uses commodity swaps to hedge the risk of fluctuating price changes in certain raw materials and in which physical settlement does not occur. These commodity swaps fix the variable fee component of the price of certain commodities. All or a portion of these commodity swap agreements may be designated as cash flow hedges. Accordingly, to the extent the cash flow hedge was effective, changes in the fair value of commodity swaps are included in gain (loss) from cash flow hedges within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Gains and losses are reclassified to earnings in the period that the hedged item affected earnings. |
Insurance loss reserves | The Company also uses commodity swaps to hedge the risk of fluctuating price changes in certain raw materials and in which physical settlement does not occur. These commodity swaps fix the variable fee component of the price of certain commodities. All or a portion of these commodity swap agreements may be designated as cash flow hedges. Accordingly, to the extent the cash flow hedge was effective, changes in the fair value of commodity swaps are included in gain (loss) from cash flow hedges within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Gains and losses are reclassified to earnings in the period that the hedged item affected earnings. Insurance Loss Reserves The Company has two wholly-owned insurance companies (the "Captives") that are used as a form of self-insurance for liability and workers compensation risks. Capitalization of the Captives is determined by regulatory guidelines. Premiums written are recognized as revenue based on policy periods. One of the Captives also insures certain third-party risks. The Captives use reinsurance arrangements to reduce their risks, however these arrangements do not relieve the Captives from their obligations to policyholders. The financial condition of the Captives' reinsurers are monitored to minimize exposure to insolvencies. However, failure of the reinsurers to honor their obligations could result in losses to the Captives. Claim reserves are established when sufficient information is available to indicate a specific policy is involved and the Company can reasonably estimate its liability. These reserves are based on management estimates and periodic actuarial valuations. In addition, reserves have been established to cover exposures for both known and unreported claims. Estimates of these liabilities are reviewed and updated regularly, however it is possible that actual results could differ significantly from the recorded liabilities. |
Deferred Financing Costs | Deferred Financing Costs Deferred financing costs are amortized using a method that approximates the effective interest rate method over the term of the related debt into Interest expense in the consolidated statements of operations. Upon the extinguishment of the related debt, any unamortized deferred financing costs are immediately expensed and included in Refinancing expense in the consolidated statements of operations. Upon the modification of the related debt, a portion of unamortized deferred financing costs may be immediately expensed and included in Refinancing expense in the consolidated statements of operations. Direct costs of refinancing activities are immediately expensed and included in Refinancing expense in the consolidated statements of operations. |
Revenue recognition | Revenue Recognition The Company recognizes revenue when title and risk of loss have been transferred to the customer, generally at the time of shipment of products, and provided that four basic criteria are met: (a) persuasive evidence of an arrangement exists; (b) delivery has occurred or services have been rendered; (c) the fee is fixed or determinable; and (d) collectibility is reasonably assured. Shipping and handling fees billed to customers in a sales transaction are recorded in Net sales and shipping and handling costs incurred are recorded in Cost of sales. |
Research and development | Research and Development The costs of research and development are charged as an expense in the period in which they are incurred. |
Management compensation plans | Management Compensation Plans Share-based compensation expense is measured at the grant date, based on the fair value of the award, and is recognized over the participant's requisite service period. Upon termination of a participant's employment with the Company by reason of death or disability, retirement or by the Company without cause (as defined in the respective award agreements), a prorated award will generally vest on the original vesting date. The prorated award is calculated based on the time lapsed between the grant date and the date of termination, reduced by awards previously vested. Upon the termination of a Participant's employment with the Company for any other reason, any unvested portion of the award shall be forfeited and canceled without consideration. • Restricted Stock Units ("RSUs") Performance-based RSUs. The Company generally grants performance-based RSUs to the Company's executive officers and certain employees annually in February. The Company may also grant performance-based RSUs to certain new employees or to employees who assume positions of increasing responsibility at the time those events occur. The fair value of the Company's performance-based RSUs with a performance condition is equal to the average of the high and low price of the Company's Series A common stock, par value $0.0001 per share ("Common Stock"), on the grant date less the present value of the expected dividends not received during the vesting period. Outstanding performance-based RSUs granted prior to 2016 generally vest in two equal tranches with the final tranche vesting three years from the grant date. Outstanding performance-based RSUs granted in 2016 and thereafter generally cliff-vest three years from the date of grant. Compensation expense for performance-based RSUs granted prior to 2016 is recognized over the vesting period of the respective grant based on the accelerated attribution method, and compensation expense for performance-based RSUs granted in 2016 and thereafter is recognized over the vesting period of the respective grant on a straight-line basis. Historically, the Company recognized share-based compensation net of estimated forfeitures over the vesting period of the respective grant. Effective January 1, 2017, the Company elected to change its accounting policy to recognize forfeitures as they occur. The new forfeiture policy election was adopted using a modified retrospective approach with a cumulative effect adjustment of $1 million to Retained earnings as of January 1, 2017. See Note 3 for further information. The number of performance-based RSUs that ultimately vest is dependent on one or both of the following according to the terms of the specific award agreement: the achievement of (a) internal profitability targets (performance condition) and (b) market performance targets measured by the comparison of the Company's stock performance versus a defined peer group (market condition). Based on the achievement of internal profitability targets, the ultimate number of shares of the Company's Common Stock issued will range from zero to stretch , with stretch defined individually under each award, net of shares used to cover minimum statutory personal income taxes withheld. Performance-based RSUs are canceled to the extent actual results do not meet minimum internal profitability measures, as defined individually under each award. Time-based RSUs. The Company grants non-employee Directors time-based RSUs annually that generally vest one year from the grant date. The Company also grants time-based RSUs to the Company's executives and certain employees that generally vest ratably over three years . The fair value of the time-based RSUs is equal to the average of the high and low price of the Company's Common Stock on the grant date less the present value of the expected dividends not received during the vesting period. Compensation expense for time-based RSUs less estimated forfeitures is recognized over the vesting period of the respective grant on a straight-line basis. The Company's RSUs are net settled by withholding shares of the Company's Common Stock to cover minimum statutory income taxes and remitting the remaining shares of the Company's Common Stock to an individual brokerage account. Authorized shares of the Company's Common Stock are used to settle RSUs. Under the 2009 Global Incentive Plan ("2009 GIP"), the Company may not grant RSUs with the right to participate in dividends or dividend equivalents. |
Functional and reporting currencies | Functional and Reporting Currencies For the Company's international operations where the functional currency is other than the US dollar, assets and liabilities are translated using period-end exchange rates, while the statement of operations amounts are translated using the average exchange rates for the respective period. Differences arising from the translation of assets and liabilities in comparison with the translation of the previous periods or from initial recognition during the period are included as a separate component of Accumulated other comprehensive income (loss), net. |
Summary of Accounting Policie38
Summary of Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of Estimated Useful Lives of Depreciable Assets [Table Text Block] | Depreciation is calculated on a straight-line basis over the following estimated useful lives of depreciable assets: Land improvements 20 years Buildings and improvements 30 years Machinery and equipment 20 years Leasehold improvements are amortized over 10 years or the remaining life of the respective lease, whichever is shorter. |
Acquisitions, Dispositions an39
Acquisitions, Dispositions and Plant Closures Schedule of Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Acquisition [Line Items] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The preliminary purchase price allocation for the Nilit acquisition is as follows: As of (In $ millions) Cash and cash equivalents 4 Trade receivables - third party and affiliates 21 Inventories 37 Property, plant and equipment, net 36 Intangible assets ( Note 11 ) 104 Goodwill ( Note 11 ) (1) 136 Other assets 11 Total fair value of assets acquired 349 Trade payables - third party and affiliates (8 ) Total debt ( Note 14 ) (12 ) Deferred income taxes (26 ) Benefit obligations (15 ) Other liabilities (2) (45 ) Total fair value of liabilities assumed (106 ) Net assets acquired 243 ______________________________ (1) Goodwill consists of expected revenue and operating synergies resulting from the acquisition. None of the goodwill is deductible for income tax purposes. (2) Includes a $29 million acquisition payment to Nilit Group after the date of close, which was paid as of June 30, 2017. |
Ventures and Variable Interes40
Ventures and Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Variable Interest Entity, Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of Variable Interest Entities | The carrying amount of the assets and liabilities associated with Fairway included in the consolidated balance sheets are as follows: As of December 31, 2017 2016 (In $ millions) Cash and cash equivalents 19 18 Trade receivables, net - third party & affiliates 9 8 Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) 697 734 Intangible assets (net of accumulated amortization - 2017: $2; 2016: $1) 25 26 Other assets 6 9 Total assets (1) 756 795 Trade payables 16 15 Other liabilities (2) 4 2 Total debt 5 5 Deferred income taxes 3 2 Total liabilities 28 24 ______________________________ (1) Assets can only be used to settle the obligations of Fairway. (2) Primarily represents amounts owed by Fairway to the Company for reimbursement of expenditures. |
Variable Interest Entity, Not Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of Variable Interest Entities | The carrying amount of the assets and liabilities associated with the obligations to nonconsolidated VIEs, as well as the maximum exposure to loss relating to these nonconsolidated VIEs are as follows: As of December 31, 2017 2016 (In $ millions) Property, plant and equipment, net 53 60 Trade payables 25 53 Current installments of long-term debt 18 10 Long-term debt 76 91 Total liabilities 119 154 Maximum exposure to loss 164 240 |
Marketable Securities, at Fai41
Marketable Securities, at Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation | The Company's nonqualified trusts hold available-for-sale securities for funding requirements of the Company's nonqualified pension plans ( Note 15 ) as follows: As of December 31, 2017 2016 (In $ millions) Amortized cost 32 30 Gross unrealized gain — — Gross unrealized loss — — Fair value 32 30 |
Receivables, Net Receivables, N
Receivables, Net Receivables, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Schedule of Trade Receivables - Third Party and Affiliates, Net | As of December 31, 2017 2016 (In $ millions) Trade receivables - third party and affiliates 995 807 Allowance for doubtful accounts - third party and affiliates (9 ) (6 ) Trade receivables - third party and affiliates, net 986 801 |
Schedule of Non-trade Receivables, Net | As of December 31, 2017 2016 (In $ millions) Non-income taxes receivable 81 83 Reinsurance receivables 16 16 Income taxes receivable 64 43 Other 83 81 Non-trade receivables, net 244 223 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | As of December 31, 2017 2016 (In $ millions) Finished goods 591 506 Work-in-process 57 45 Raw materials and supplies 252 169 Total 900 720 |
Investments in Affiliates (Tabl
Investments in Affiliates (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Schedule of Equity Method Investments | Equity method investments and ownership interests by business segment are as follows: Ownership December 31, Carrying December 31, Share of December 31, Dividends and December 31, 2017 2016 2017 2016 2017 2016 2015 2017 2016 2015 (In percentages) (In $ millions) Advanced Engineered Materials Ibn Sina 25 25 178 113 58 38 88 (1 ) (18 ) (98 ) InfraServ GmbH & Co. Hoechst KG (1) 32 — 139 — 19 — — (26 ) — — Fortron Industries LLC 50 50 111 100 17 9 11 (6 ) (9 ) (8 ) Korea Engineering Plastics Co., Ltd. 50 50 155 137 25 25 16 (25 ) (11 ) (10 ) Polyplastics Co., Ltd. 45 45 170 156 57 50 35 (64 ) (54 ) (20 ) Other Activities (2) InfraServ GmbH & Co. Gendorf KG (3) 39 39 41 38 4 7 7 (5 ) (5 ) (5 ) InfraServ GmbH & Co. Hoechst KG (1) — 32 — 132 — 22 21 — (30 ) (32 ) InfraServ GmbH & Co. Knapsack KG (3) 27 27 20 18 2 4 4 (4 ) (4 ) (3 ) Consumer Specialties Sherbrooke Capital Health and Wellness, L.P. (4) 10 10 3 3 1 — (1 ) — — — Total 817 697 183 155 181 (131 ) (131 ) (176 ) ______________________________ (1) InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Advanced Engineered Materials segment. Prior to 2017, InfraServ GmbH & Co. Hoechst KG was owned primarily by an entity included in the Company's Other Activities segment. The Company's Consumer Specialties segment and Acetyl Intermediates segment also each hold an ownership percentage. (2) InfraServ real estate service companies ("InfraServ Entities") own and operate sites in Frankfurt am Main-Hoechst, Gendorf and Knapsack, Germany. The InfraServ Entities were created to own land and property and to provide various technical and administrative services at these manufacturing locations. (3) See Note 29 for further information. (4) The Company accounts for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. under the equity method of accounting because the Company is able to exercise significant influence. |
Schedule of Cost Method Investments | Cost method investments and ownership interests by business segment are as follows: Ownership December 31, Carrying as of December 31, Dividend December 31, 2017 2016 2017 2016 2017 2016 2015 (In percentages) (In $ millions) Consumer Specialties Kunming Cellulose Fibers Co. Ltd. 30 30 14 14 12 14 14 Nantong Cellulose Fibers Co. Ltd. 31 31 109 106 81 80 79 Zhuhai Cellulose Fibers Co. Ltd. 30 30 30 30 14 13 13 Other Activities InfraServ GmbH & Co. Wiesbaden KG 8 8 5 5 1 1 1 Other 1 — — — — Total 159 155 108 108 107 |
Schedule of Transactions with Affiliates | Transactions and balances with affiliates are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Purchases 250 203 195 Sales — 2 — |
Schedule of Balances with Affiliates | As of December 31, 2017 2016 (In $ millions) Non-trade receivables 21 26 Total due from affiliates 21 26 Short-term borrowings (1) 32 17 Trade payables 36 45 Current Other liabilities 8 8 Total due to affiliates 76 70 ______________________________ (1) The Company has agreements with certain affiliates whereby excess affiliate cash is lent to and managed by the Company at variable interest rates governed by those agreements. |
Property, Plant and Equipment45
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of Property, Plant and Equipment, Net | As of December 31, 2017 2016 (In $ millions) Land 47 38 Land improvements 72 70 Buildings and building improvements 758 695 Machinery and equipment 5,101 4,753 Construction in progress 368 260 Gross asset value 6,346 5,816 Accumulated depreciation (2,584 ) (2,239 ) Net book value 3,762 3,577 |
Schedule of Assets Under Capital Leases | Assets under capital leases, net, included in the amounts above are as follows: As of December 31, 2017 2016 (In $ millions) Buildings 14 13 Machinery and equipment 296 291 Accumulated depreciation (179 ) (149 ) Net book value 131 155 |
Schedule of Capitalized Interest and Depreciation Expense | Capitalized interest costs and depreciation expense are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Capitalized interest 6 5 15 Depreciation expense 285 281 346 |
Goodwill and Intangible Asset46
Goodwill and Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Total (In $ millions) As of December 31, 2015 282 230 39 154 705 Acquisitions ( Note 4 ) 106 — — — 106 Exchange rate changes (3 ) (5 ) (1 ) (6 ) (15 ) As of December 31, 2016 385 225 38 148 796 Acquisitions ( Note 4 ) 128 — — — 128 Exchange rate changes 42 12 2 23 79 As of December 31, 2017 (1) 555 237 40 171 1,003 ______________________________ (1) There were $0 million of accumulated impairment losses as of December 31, 2017 . |
Schedule of Finite-Lived Intangible Assets, Net | Finite-lived intangible assets are as follows: Licenses Customer- Related Intangible Assets Developed Technology Covenants Not to Compete and Other Total (In $ millions) Gross Asset Value As of December 31, 2015 38 456 35 50 579 Acquisitions ( Note 4 ) — 64 — 3 67 (1) Exchange rate changes (2 ) (11 ) — — (13 ) As of December 31, 2016 36 509 35 53 633 Acquisitions ( Note 4 ) — 73 9 — 82 (2) Exchange rate changes 2 58 1 1 62 As of December 31, 2017 38 640 45 54 777 Accumulated Amortization As of December 31, 2015 (25 ) (449 ) (25 ) (29 ) (528 ) Amortization (3 ) (2 ) (2 ) (2 ) (9 ) Exchange rate changes 1 11 1 — 13 As of December 31, 2016 (27 ) (440 ) (26 ) (31 ) (524 ) Amortization (4 ) (11 ) (3 ) (2 ) (20 ) Exchange rate changes (2 ) (45 ) (1 ) 1 (47 ) As of December 31, 2017 (33 ) (496 ) (30 ) (32 ) (591 ) Net book value 5 144 15 22 186 ______________________________ (1) Primarily related to intangible assets acquired from SOFTER ( Note 4 ) during the year ended December 31, 2016 , with a weighted average amortization period of 12 years . (2) Primarily related to intangible assets acquired from Nilit ( Note 4 ) during the year ended December 31, 2017 , with a weighted average amortization period of 14 years . |
Schedule of Indefinite-Lived Intangible Assets, Net | Indefinite-lived intangible assets are as follows: Trademarks and Trade Names (In $ millions) As of December 31, 2015 74 Acquisitions ( Note 4 ) 12 Exchange rate changes (1 ) As of December 31, 2016 85 Acquisitions ( Note 4 ) 22 Exchange rate changes 8 As of December 31, 2017 115 |
Schedule of Estimated Amortization Expense | Estimated amortization expense for the succeeding five fiscal years is as follows: (In $ millions) 2018 19 2019 17 2020 15 2021 15 2022 14 |
Current Other Liabilities (Tabl
Current Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities, Current [Abstract] | |
Schedule of Current Other Liabilities | As of December 31, 2017 2016 (In $ millions) Asset retirement obligations 19 9 Benefit obligations ( Note 15 ) 30 31 Customer rebates 65 51 Derivatives ( Note 22 ) 3 3 Environmental ( Note 16 ) 14 14 Insurance 5 6 Interest 17 15 Restructuring ( Note 18 ) 5 16 Salaries and benefits 113 97 Sales and use tax/foreign withholding tax payable 16 21 Other 67 59 Total 354 322 |
Noncurrent Other Liabilities (T
Noncurrent Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities, Noncurrent [Abstract] | |
Schedule of Noncurrent Other Liabilities | As of December 31, 2017 2016 (In $ millions) Asset retirement obligations 7 20 Deferred proceeds 47 41 Deferred revenue 6 9 Environmental ( Note 16 ) 59 50 Income taxes payable ( Note 19 ) 197 6 Insurance 43 46 Other 54 43 Total 413 215 |
Schedule of Changes in Asset Retirement Obligations | Changes in asset retirement obligations are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Balance at beginning of year 29 36 37 Additions (1) — 2 — Accretion 1 1 1 Payments (5 ) (10 ) (4 ) Revisions to cash flow estimates (2) 1 — 2 Balance at end of year 26 29 36 ______________________________ (1) Primarily relates to sites which management no longer considers to have an indeterminate life. (2) Primarily relates to revisions to the estimated cost and timing of future obligations. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Line of Credit Facility [Line Items] | |
Schedule of Short-term Debt | As of December 31, 2017 2016 (In $ millions) Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates Current installments of long-term debt 63 27 Short-term borrowings, including amounts due to affiliates (1) 86 68 Short-term SOFTER bank loans ( Note 4 ) (2) — 23 Revolving credit facility (3) 97 — Accounts receivable securitization facility (4) 80 — Total 326 118 ______________________________ (1) The weighted average interest rate was 2.8% and 3.1% as of December 31, 2017 and 2016 , respectively. (2) The weighted average interest rate was 1.2% as of December 31, 2016 . (3) The weighted average interest rate was 4.1% as of December 31, 2017 . (4) The weighted average interest rate was 2.1% as of December 31, 2017 . |
Schedule of Long-term Debt | As of December 31, 2017 2016 (In $ millions) Long-Term Debt Senior unsecured term loan due 2021 (1) 494 500 Senior unsecured notes due 2019, interest rate of 3.250% 360 316 Senior unsecured notes due 2021, interest rate of 5.875% 400 400 Senior unsecured notes due 2022, interest rate of 4.625% 500 500 Senior unsecured notes due 2023, interest rate of 1.125% 897 788 Senior unsecured notes due 2025, interest rate of 1.250% 359 — Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% 169 170 SOFTER bank loans due at various dates through 2021 ( Note 4 ) (2) — 47 Nilit bank loans due at various dates through 2026 ( Note 4 ) (3) 11 — Obligations under capital leases due at various dates through 2054 208 217 Subtotal 3,398 2,938 Unamortized debt issuance costs (4) (20 ) (21 ) Current installments of long-term debt (63 ) (27 ) Total 3,315 2,890 ______________________________ (1) The margin for borrowings under the senior unsecured term loan due 2021 was 1.5% above LIBOR at current Celanese credit ratings. (2) The weighted average interest rate was 1.6% as of December 31, 2016 . (3) The weighted average interest rate was 1.3% as of December 31, 2017 . (4) Related to the Company's long-term debt, excluding obligations under capital leases. |
Schedule of Net Deferred Financing Costs | Net deferred financing costs are as follows: (In $ millions) As of December 31, 2014 27 Financing costs deferred — Accelerated amortization due to refinancing activity — Amortization (5 ) As of December 31, 2015 (1) 22 Financing costs deferred (2) 13 Accelerated amortization due to refinancing activity (3) (3 ) Amortization (5 ) As of December 31, 2016 (1) 27 Financing costs deferred (4) 1 Accelerated amortization due to refinancing activity — Amortization (4 ) As of December 31, 2017 (1) 24 ____________________________ (1) Includes $4 million , $6 million and $4 million as of December 31, 2017 , 2016 and 2015 , respectively, related to the Company's revolving credit facility and accounts receivables securitization facility, which are included in noncurrent Other assets in the consolidated balance sheets. (2) Includes $5 million , $6 million and $2 million related to the Credit Agreement, the 1.125% Notes and the pollution control and industrial revenue bonds, respectively, all of which are being amortized through the term of the respective financing arrangement. (3) Includes $2 million and $1 million related to the senior secured credit facilities and the pollution control and industrial revenue bonds, respectively, which are included in Refinancing expense in the consolidated statement of operations during the year ended December 31, 2016. |
Schedule of Principle Payments | Principal payments scheduled to be made on the Company's debt, including short-term borrowings, are as follows: (In $ millions) 2018 326 2019 437 2020 80 2021 794 2022 526 Thereafter 1,498 Total 3,661 |
Accounts Receivable Securitization Facility [Member] | |
Line of Credit Facility [Line Items] | |
Schedule of Balances Available for Borrowing | The Company's debt balances and amounts available for borrowing under its securitization facility are as follows: As of December 31, 2017 (In $ millions) Accounts Receivable Securitization Facility Borrowings outstanding (1) 80 Letters of credit issued 29 Available for borrowing 11 Total borrowing base 120 Maximum borrowing base (2) 120 ______________________________ (1) The Company borrowed $85 million and repaid $5 million during the year ended December 31, 2017 . (2) Outstanding accounts receivable transferred to the SPE was $158 million . |
Senior Unsecured Revolving Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Schedule of Balances Available for Borrowing | The Company's debt balances and amounts available for borrowing under its senior unsecured revolving credit facility are as follows: As of December 31, 2017 (In $ millions) Revolving Credit Facility Borrowings outstanding (1) 97 Letters of credit issued — Available for borrowing (2) 903 ______________________________ (1) The Company borrowed $528 million and repaid $431 million under its senior unsecured revolving credit facility during the year ended December 31, 2017 . (2) The margin for borrowings under the senior unsecured revolving credit facility were 1.5% above LIBOR at current Company credit ratings. |
Benefit Obligations (Tables)
Benefit Obligations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |
Schedule of Contributions to Multiemployer Defined Benefit Pension Plans | Contributions made by the Company to the German multiemployer plan are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Multiemployer defined benefit plan 7 7 6 |
Schedule of Postemployment Obligations | Postemployment obligations are as follows: As of December 31, 2017 2016 (In $ millions) Postemployment benefits 8 9 |
Schedule of Contributions to Defined Contribution Plans | The amount of costs recognized for the Company's defined contribution plans are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Defined contribution plans 40 43 44 |
Schedule of Company's Pension and Post Retirement Benefit Plans | Summarized information on the Company's pension and postretirement benefit plans is as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In $ millions) Change in Projected Benefit Obligation Projected benefit obligation as of beginning of period 3,610 3,635 67 66 Service cost 9 8 1 — Interest cost 107 113 1 2 Participant contributions — — — — Plan amendments — — — — Net actuarial (gain) loss (1) 151 102 (2 ) 3 Divestitures — — — — Settlements (1 ) (1 ) — — Benefits paid (233 ) (232 ) (4 ) (4 ) Federal subsidy on Medicare Part D — — — — Curtailments — — — — Special termination benefits 1 3 — — Exchange rate changes 69 (18 ) 3 — Other (2) 15 — — — Projected benefit obligation as of end of period 3,728 3,610 66 67 Change in Plan Assets Fair value of plan assets as of beginning of period 2,784 2,508 — — Actual return on plan assets 302 177 — — Employer contributions 359 346 4 4 Participant contributions — — — — Settlements (1 ) (1 ) — — Benefits paid (3) (233 ) (232 ) (4 ) (4 ) Exchange rate changes 40 (14 ) — — Fair value of plan assets as of end of period 3,251 2,784 — — Funded status as of end of period (477 ) (826 ) (66 ) (67 ) Amounts Recognized in the Consolidated Balance Sheets Consist of: Noncurrent Other assets 64 22 — — Current Other liabilities (24 ) (25 ) (5 ) (5 ) Benefit obligations (517 ) (823 ) (61 ) (62 ) Net amount recognized (477 ) (826 ) (66 ) (67 ) Amounts Recognized in Accumulated Other Comprehensive Income Consist of: Net actuarial (gain) loss (4) 9 18 — — Prior service (benefit) cost (1 ) (1 ) 1 (1 ) Net amount recognized (5) 8 17 1 (1 ) ______________________________ (1) Primarily relates to change in discount rates. (2) Primarily relates to the acquisition of Nilit ( Note 4 ). (3) Includes benefit payments to nonqualified pension plans of $22 million and $22 million as of December 31, 2017 and 2016 , respectively. (4) Relates to the pension plans of the Company's equity method investments. (5) Amount shown net of an income tax benefit of $6 million and $4 million as of December 31, 2017 and 2016 , respectively, in the consolidated statements of equity ( Note 17 ). |
Schedule of Percentage of US and International Projected Benefit Obligation | The percentage of US and international projected benefit obligation at the end of the period is as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In percentages) US plans 83 85 54 57 International plans 17 15 46 43 Total 100 100 100 100 |
Schedule of Percentage of US and International Fair Value of Plan Assets | The percentage of US and international fair value of plan assets at the end of the period is as follows: Pension Benefits 2017 2016 (In percentages) US plans 88 88 International plans 12 12 Total 100 100 |
Schedule of Pension Plans with Projected Benefit Obligations in Excess of Plan Assets | Pension plans with projected benefit obligations in excess of plan assets are as follows: As of December 31, 2017 2016 (In $ millions) Projected benefit obligation 882 3,559 Fair value of plan assets 341 2,711 |
Schedule of Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets | ension plans with accumulated benefit obligations in excess of plan assets are as follows: As of December 31, 2017 2016 (In $ millions) Accumulated benefit obligation 861 3,538 Fair value of plan assets 338 2,708 |
Schedule of Accumulated Benefit Obligation for All Defined Benefit Pension Plans | The accumulated benefit obligation for all defined benefit pension plans is as follows: As of December 31, 2017 2016 (In $ millions) Accumulated benefit obligation 3,710 3,591 |
Schedule of Net Periodic Benefit Costs | The components of net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2017 2016 2015 2017 2016 2015 (In $ millions) Service cost 9 8 12 1 — 1 Interest cost 107 113 139 1 2 3 Expected return on plan assets (198 ) (177 ) (209 ) — — — Amortization of prior service cost / (credit) — — — (1 ) (3 ) — Recognized actuarial (gain) loss 48 101 134 (2 ) 2 (7 ) Curtailment (gain) loss — — (3 ) — — — Settlement (gain) loss — — — — — — Special termination benefit 1 3 2 — — — Total (33 ) 48 75 (1 ) 1 (3 ) |
Schedule of Amortization of Accumulated Other Comprehensive Income (Loss), Net Into Net Periodic Benefit Cost | Amortization of Accumulated other comprehensive income (loss), net into net periodic benefit cost in 2018 is expected to be as follows: Pension Benefits Postretirement Benefits (In $ millions) Prior service cost — — |
Schedule of Nonqualified Pension Plans Funded with Nonqualified Trusts | The Company maintains nonqualified pension plans funded with nonqualified trusts for certain US employees as follows: As of December 31, 2017 2016 (In $ millions) Nonqualified Trust Assets Marketable securities, at fair value 32 30 Noncurrent Other assets, consisting of insurance contracts 42 49 Nonqualified Pension Obligations Current Other liabilities 22 22 Benefit obligations 237 241 |
Schedule of Expense Related to Nonqualified Pension Plans Included in Net Periodic Benefit Cost, Excluding Returns on Assets | Expense relating to the nonqualified pension plans included in net periodic benefit cost, excluding returns on the assets held by the nonqualified trusts, is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 18 18 — (1) ______________________________ (1) Actuarial gain offset interest cost. |
Schedule of Principle Weighted Average Assumptions Used to Determine Benefit Obligations and Benefit Cost | The principal weighted average assumptions used to determine benefit obligation are as follows: Pension Benefits Postretirement Benefits 2017 2016 2017 2016 (In percentages) Discount Rate Obligations US plans 3.5 3.9 3.4 3.8 International plans 2.1 2.1 3.2 3.3 Combined 3.3 3.7 3.2 3.4 Rate of Compensation Increase US plans N/A N/A International plans 2.8 2.8 Combined 2.8 2.8 The principal weighted average assumptions used to determine net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2017 2016 2015 2017 2016 2015 (In percentages) Discount Rate Obligations US plans 3.9 4.2 3.9 3.8 4.0 3.7 International plans 2.1 2.6 2.4 3.3 3.6 3.5 Combined 3.7 4.0 3.7 3.4 3.9 3.6 Discount Rate Service Cost (1) US plans 1.2 4.5 3.9 4.0 4.2 3.7 International plans 2.5 3.1 2.4 3.4 3.8 3.5 Combined 2.5 3.1 3.7 2.9 3.8 3.6 Discount Rate Interest Cost (1) US plans 3.3 3.4 3.9 3.1 3.1 3.7 International plans 1.7 2.2 2.4 2.9 3.1 3.5 Combined 3.1 3.2 3.7 2.9 3.1 3.6 Expected Return on Plan Assets US plans 7.5 7.5 8.0 International plans 5.9 6.1 6.0 Combined 7.3 7.3 7.8 Rate of Compensation Increase US plans N/A N/A N/A International plans 2.8 2.7 2.8 Combined 2.8 2.7 2.8 ______________________________ (1) Beginning in 2016, weighted-average discount rates reflect the adoption of the full yield curve approach. |
Schedule of Health Care Cost Trend Rates | The Company's health care cost trend assumptions for US postretirement medical plan's net periodic benefit cost are as follows: As of December 31, 2017 2016 2015 (In percentages, except year) Health care cost trend rate assumed for next year 9.0 9.5 10.0 Health care cost trend ultimate rate 5.0 5.0 5.0 Health care cost trend ultimate rate year 2026 2026 2026 |
Schedule of Impact of One-Percentage-Point Change in Assumed Health Care Cost Trend | The impact of a one percentage point change in the assumed health care cost trend is as follows: Trend Rate Change Decreases 1% Increases 1% (In $ millions) Postretirement obligations 2 2 Service and interest cost — — |
Schedule of Weighted Average Target Asset Allocations | The weighted average target asset allocations for the Company's pension plans in 2017 are as follows: US Plans International Plans (In percentages) Bonds - domestic to plans 75 59 Equities - domestic to plans 8 16 Equities - international to plans 7 — Other 10 25 Total 100 100 |
Schedule of Fair Values of Pension Plan Assets | Other: Composed of real estate investment trust common stock valued at closing price as reported on the active market in which the individual securities are traded. Fair Value Measurement Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Total As of December 31, 2017 2016 2017 2016 2017 2016 (In $ millions) Assets Cash and cash equivalents 5 2 — — 5 2 Derivatives Swaps — — 8 2 8 2 Equity securities US companies — 260 — — — 260 International companies 72 345 — — 72 345 Fixed income Corporate debt — — 776 798 776 798 Treasuries, other debt 48 37 1,411 793 1,459 830 Mortgage backed securities — — 7 7 7 7 Insurance contracts — — 36 31 36 31 Other 4 24 1 — 5 24 Total investments, at fair value (1) 129 668 2,239 1,631 2,368 2,299 Liabilities Derivatives Swaps — — 7 2 7 2 Other — — — 1 — 1 Total liabilities — — 7 3 7 3 Total net assets (2) 129 668 2,232 1,628 2,361 2,296 ______________________________ (1) In accordance with ASU 2015-07 ( Note 2 ), certain investments that are measured at fair value using the NAV per share practical expedient have not been classified in the fair value hierarchy. Total investments, at fair value, for the year ended December 31, 2017 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $727 million , $60 million and $96 million , respectively. Total investments, at fair value, for the year ended December 31, 2016 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $195 million , $134 million and $149 million , respectively. (2) Total net assets excludes non-financial plan receivables and paya |
Schedule of Company Commitments to Fund Benefit Obligations | Benefit obligation funding is as follows: Total Expected 2018 (In $ millions) Cash contributions to defined benefit pension plans 23 Benefit payments to nonqualified pension plans 21 Benefit payments to other postretirement benefit plans 5 |
Schedule of Pension Benefits Expected to be Paid from the Plans or From the Company's Assets | Pension and postretirement benefits expected to be paid are as follows: Pension Benefit Payments (1) Company Portion of Postretirement Benefit Cost (2) (In $ millions) 2018 235 5 2019 233 5 2020 231 4 2021 227 4 2022 224 4 2023-2027 1,090 18 ______________________________ (1) Payments are expected to be made primarily from plan assets. (2) Payments are expected to be made primarily from Company assets. |
Environmental (Tables)
Environmental (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of Environmental Remediation Reserves | The components of environmental remediation reserves are as follows: As of December 31, 2017 2016 (In $ millions) Demerger obligations ( Note 24 ) 28 18 Divestiture obligations ( Note 24 ) 17 16 Active sites 15 16 US Superfund sites 11 11 Other environmental remediation reserves 2 3 Total 73 64 |
Schedule of Environmental Ownership and Liability Percentages | The Company's ownership interest and environmental liability participation percentages for such liabilities, which cannot be attributed to an InfraServ partner are as follows: As of December 31, 2017 Ownership Liability Reserves (1) (In percentages) (In $ millions) InfraServ GmbH & Co. Gendorf KG (2) 39 10 9 InfraServ GmbH & Co. Hoechst KG 32 40 71 InfraServ GmbH & Co. Knapsack KG (2) 27 22 1 ______________________________ (1) Gross reserves maintained by the respective InfraServ entity. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Dividend Increases | The Company's Board of Directors approved increases in the Company's Common Stock cash dividend rates as follows: Increase Quarterly Common Stock Cash Dividend Annual Common Stock Cash Dividend Effective Date (In percentages) (In $ per share) April 2015 20 0.30 1.20 May 2015 April 2016 20 0.36 1.44 May 2016 April 2017 28 0.46 1.84 May 2017 |
Schedule of Treasury Stock | These authorizations give management discretion in determining the timing and conditions under which shares may be repurchased. This repurchase program does not have an expiration date. The share repurchase activity pursuant to this authorization is as follows: Year Ended December 31, Total From 2017 2016 2015 Shares repurchased 5,436,803 7,034,420 6,640,601 (1) 39,779,019 Average purchase price per share $ 91.97 $ 71.08 $ 63.31 $ 58.71 Amount spent on repurchased shares (in millions) $ 500 $ 500 $ 420 $ 2,335 Aggregate Board of Directors repurchase authorizations during the period (in millions) (2) $ 1,500 $ — $ 1,000 $ 3,866 ______________________________ (1) The year ended December 31, 2015 excludes 9,264 shares withheld from an executive officer to cover statutory minimum withholding requirements for personal income taxes related to the vesting of restricted stock. Restricted stock awards are considered outstanding at the time of issuance. Accordingly, the shares withheld are treated as treasury shares. (2) These authorizations give management discretion in determining the timing and conditions under which shares may be repurchased. This repurchase program began in February 2008 and does not have an expiration date. |
Schedule of Components of Other Comprehensive Income (Loss), Net | Year Ended December 31, 2017 2016 2015 Gross Amount Income Tax (Provision) Benefit Net Amount Gross Amount Income Tax (Provision) Benefit Net Amount Gross Amount Income Tax (Provision) Benefit Net Amount (In $ millions) Unrealized gain (loss) on marketable securities — (1 ) (1 ) — — — — — — Foreign currency translation 162 12 174 (22 ) 11 (11 ) (193 ) 5 (188 ) Gain (loss) on cash flow hedges — (1 ) (1 ) 5 — 5 3 (1 ) 2 Pension and postretirement benefits 7 2 9 (5 ) 1 (4 ) 4 (1 ) 3 Total 169 12 181 (22 ) 12 (10 ) (186 ) 3 (183 ) |
Schedule of Adjustments to Accumulated Other Comprehensive Income (Loss), Net | Adjustments to Accumulated other comprehensive income (loss), net, are as follows: Unrealized Gain (Loss) on Marketable Securities ( Note 6 ) Foreign Currency Translation Gain (Loss) from Cash Flow Hedges ( Note 22 ) Pension and Postretirement Benefits ( Note 15 ) Accumulated Other Comprehensive Income (Loss), Net (In $ millions) As of December 31, 2014 1 (151 ) (4 ) (11 ) (165 ) Other comprehensive income (loss) before reclassifications — (193 ) (2 ) 6 (189 ) Amounts reclassified from accumulated other comprehensive income (loss) — — 5 (2 ) 3 Income tax (provision) benefit — 5 (1 ) (1 ) 3 As of December 31, 2015 1 (339 ) (2 ) (8 ) (348 ) Other comprehensive income (loss) before reclassifications — (22 ) 7 (3 ) (18 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (2 ) (2 ) (4 ) Income tax (provision) benefit — 11 — 1 12 As of December 31, 2016 1 (350 ) 3 (12 ) (358 ) Other comprehensive income (loss) before reclassifications — 162 4 8 174 Amounts reclassified from accumulated other comprehensive income (loss) — — (4 ) (1 ) (5 ) Income tax (provision) benefit (1 ) 12 (1 ) 2 12 As of December 31, 2017 — (176 ) 2 (3 ) (177 ) |
Other (Charges) Gains, Net (Tab
Other (Charges) Gains, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Other (Charges) Gains, Net | Year Ended December 31, 2017 2016 2015 (In $ millions) Employee termination benefits ( Note 4 ) (1) (4 ) (11 ) (53 ) InfraServ ownership change (4 ) — — Asset impairments — (2 ) (126 ) Other plant/office closures (52 ) — — Singapore contract termination — — (174 ) Commercial disputes — 2 2 Total (60 ) (11 ) (351 ) ______________________________ (1) Includes $1 million and $3 million of special termination benefits included in Benefit obligations in the consolidated balance sheet as of December 31, 2017 and 2016 , respectively. |
Schedule of Restructuring Reserve | The changes in the restructuring reserves by business segment are as follows: Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Other Total (In $ millions) Employee Termination Benefits As of December 31, 2015 3 14 6 1 6 30 Additions 2 2 2 1 3 10 Cash payments (3 ) (6 ) (6 ) (1 ) (5 ) (21 ) Other changes (1 ) — — — (1 ) (2 ) Exchange rate changes — (1 ) — — — (1 ) As of December 31, 2016 1 9 2 1 3 16 Additions 1 2 — — 1 4 Cash payments (1 ) (3 ) (2 ) — (2 ) (8 ) Other changes — (8 ) — — (1 ) (9 ) Exchange rate changes — — — — — — As of December 31, 2017 1 — — 1 1 3 Other Plant/Office Closures As of December 31, 2015 — — — — — — Additions — — — — — — Cash payments — — — — — — Other changes — — — — — — Exchange rate changes — — — — — — As of December 31, 2016 — — — — — — Additions — — — 29 — 29 Cash payments — — — (24 ) — (24 ) Other changes — — — (3 ) — (3 ) Exchange rate changes — — — — — — As of December 31, 2017 — — — 2 — 2 Total 1 — — 3 1 5 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Earnings (Loss) from Continuing Operations Before Tax by Jurisdiction | Earnings (loss) from continuing operations before tax by jurisdiction are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) US 262 326 231 International 813 704 257 Total 1,075 1,030 488 |
Schedule of Income Tax Provision (Benefit) | The income tax provision (benefit) consists of the following: Year Ended December 31, 2017 2016 2015 (In $ millions) Current US 201 (22 ) 28 International 158 60 152 Total 359 38 180 Deferred US (110 ) 108 54 International (36 ) (24 ) (33 ) Total (146 ) 84 21 Total 213 122 201 |
Schedule of Effective Tax Rate Reconciliation | A reconciliation of the significant differences between the US federal statutory tax rate of 35% and the effective income tax rate on income from continuing operations is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions, except percentages) Income tax provision computed at US federal statutory tax rate 376 361 171 Change in valuation allowance 218 (18 ) 124 Equity income and dividends (87 ) (60 ) (33 ) (Income) expense not resulting in tax impact, net (157 ) (152 ) (32 ) US tax effect of foreign earnings and dividends 521 302 15 Foreign tax credits (759 ) (293 ) (4 ) Other foreign tax rate differentials (38 ) (48 ) (47 ) Legislative changes 116 4 9 State income taxes, net of federal benefit 12 8 6 Other, net 11 18 (8 ) Income tax provision (benefit) 213 122 201 Effective income tax rate 20 % 12 % 41 % |
Schedule of Consolidated Deferred Tax Assets and Liabilities | Significant components of the consolidated deferred tax assets and liabilities are as follows: As of December 31, 2017 2016 (In $ millions) Deferred Tax Assets Pension and postretirement obligations (1) 143 313 Accrued expenses 50 61 Inventory 10 11 Net operating loss 703 661 Tax credit carryforwards (2) 478 136 Other 192 161 Subtotal 1,576 1,343 Valuation allowance (3) (618 ) (386 ) Total 958 957 Deferred Tax Liabilities Depreciation and amortization 307 366 Investments in affiliates 427 475 Other 69 87 Total 803 928 Net deferred tax assets (liabilities) 155 29 ______________________________ (1) For the year ended December 31, 2017 , the pension and postretirement obligations decreased primarily due to $316 million in employer contributions made to the US defined benefit plans ( Note 15 ). (2) For the year ended December 31, 2017 , the tax credit carryforwards increased primarily due to internal reorganization transactions made in preparation for the proposed acetate tow joint venture with Blackstone discussed herein and Note 4 . (3) Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, Singapore, the United Kingdom, Canada and France . These valuation allowances relate primarily to net operating loss carryforward benefits and other net deferred tax assets, all of which may not be realizable. |
Schedule of Activity Related to Uncertain Tax Positions | Activity related to uncertain tax positions is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) As of the beginning of the year 114 158 228 Increases in tax positions for the current year 14 9 13 Increases in tax positions for prior years (1) 4 11 76 Decreases in tax positions for prior years (7 ) (9 ) (126 ) Decreases due to settlements (6 ) (55 ) (33 ) As of the end of the year 119 114 158 Total uncertain tax positions that if recognized would impact the effective tax rate 100 87 144 Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations (2) 6 (16 ) (12 ) Total amount of interest expense and penalties recognized in the consolidated balance sheets 38 26 43 ______________________________ (1) Includes uncertain tax positions related to the Nilit acquisition ( Note 4 ) of $4 million for the year ended December 31, 2017 . (2) This amount reflects interest on uncertain tax positions and release of certain tax positions as a result of audit closure that was reflected in the consolidated statements of operations. In addition, for the years ended December 31, 2016 and 2015, the Company also paid an additional $1 million and $12 million , respectively, of previously accrued amounts due to settlements of tax examinations. |
Management Compensation Plans (
Management Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Total Shares Available for and Subject to Awards | Total shares available for awards and total shares subject to outstanding awards are as follows: As of December 31, 2017 Shares Available for Awards Shares Subject to Outstanding Awards 2009 GIP 5,663,628 1,701,713 |
Schedule of Realized Income Tax Benefits from Stock Option Exercises and RSU Vestings | The Company realized income tax benefits from stock option exercises and RSU vestings as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Income tax benefit realized 9 7 2 |
Schedule of Summary of Changes in Performance-based RSUs Outstanding | A summary of changes in nonvested performance-based RSUs outstanding is as follows: Number of Units Weighted Average Grant Date Fair Value (In thousands) (In $) As of December 31, 2016 1,085 53.36 Granted 314 83.52 Additional performance-based RSUs granted (1) 225 48.70 Vested (527 ) 49.36 Canceled (150 ) 53.21 Forfeited (87 ) 62.36 As of December 31, 2017 860 64.71 ______________________________ (1) Represents additional performance-based RSU grants in 2014 that were awarded in 2017 as a result of achieving internal profitability targets. |
Schedule of Summary of Changes in Time-based RSUs Outstanding | A summary of changes in nonvested time-based RSUs outstanding is as follows: Number of Units Weighted Average Grant Date Fair Value (In thousands) (In $) As of December 31, 2016 344 67.42 Granted 159 86.20 Vested (123 ) 67.78 Forfeited (29 ) 68.29 As of December 31, 2017 351 75.75 |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Fair Value of Shares Vested | The fair value of shares vested for performance-based RSUs is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 42 64 27 |
Time Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Fair Value of Shares Vested | The fair value of shares vested for time-based RSUs is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 12 4 6 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Schedule of Future Minimum Lease Payments for Capital Leases | Future minimum lease payments under non-cancelable rental and lease agreements, which have initial or remaining terms in excess of one year are as follows: As of December 31, 2017 Capital Leases (In $ millions) 2018 53 2019 46 2020 45 2021 44 2022 33 Later years 114 Sublease income — Minimum lease commitments 335 Less amounts representing interest (127 ) Present value of net minimum lease obligations 208 |
Schedule of Future Minimum Rental Payments for Operating Leases | As of December 31, 2017 Operating Leases (In $ millions) 2018 54 2019 47 2020 37 2021 28 2022 22 Later years 155 Sublease income — Minimum lease commitments 343 |
Schedule of Rent Expense | Rent expense recorded under all operating leases is as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Total 159 154 154 |
Derivative Financial Instrume57
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Net Foreign Exchange Exposure by Currency | The total US dollar equivalents of net foreign exchange exposure related to (short) long foreign exchange forward contracts outstanding by currency are as follows: 2017 Maturity (In $ millions) Currency Brazilian real (13 ) British pound sterling (93 ) Canadian dollar 36 Euro (6 ) Hungarian forint 10 Korean won 10 Singapore dollar 32 Swedish krona (4 ) Total (28 ) |
Schedule of Derivatives Instruments Activity | Hedging activity for foreign currency forwards and commodity swaps is as follows: Year Ended December 31, Statement of Operations Classification 2017 2016 2015 (In $ millions) Hedging activities 4 2 2 Cost of sales Ineffective portion of hedging activities — — — Other income (expense), net |
Schedule of Changes in Fair Value of Derivatives | Information regarding changes in the fair value of the Company's derivative and non-derivative instruments is as follows: Gain (Loss) Recognized in Other Comprehensive Income (Loss) Gain (Loss) Recognized in Earnings (Loss) Statement of Operations Classification Year Ended December 31, Year Ended December 31, 2017 2016 2015 2017 2016 2015 (In $ millions) Designated as Cash Flow Hedges Commodity swaps 4 7 — 5 2 — Cost of sales Cross-currency swaps — — — — — 46 Other income (expense), net or Foreign exchange gain (loss) Foreign currency forwards (1 ) — — (1 ) — — Cost of sales Total 3 7 — 4 2 46 Designated as a Net Investment Hedge Foreign currency denominated debt ( Note 14 ) (119 ) 61 48 — — — N/A Foreign currency forwards 2 — — — — — N/A Total (117 ) 61 48 — — — Not Designated as Hedges Interest rate swaps — — — — — (1 ) Interest expense Foreign currency forwards and swaps — — — 2 14 (82 ) Foreign exchange gain (loss), net; Other income (expense), net Total — — — 2 14 (83 ) |
Offsetting Assets | Information regarding the gross amounts of the Company's derivative instruments and the amounts offset in the consolidated balance sheets is as follows: As of December 31, 2017 2016 (In $ millions) Derivative Assets Gross amount recognized 13 14 Gross amount offset in the consolidated balance sheets 4 4 Net amount presented in the consolidated balance sheets 9 10 Gross amount not offset in the consolidated balance sheets 3 2 Net amount 6 8 |
Offsetting Liabilities | As of December 31, 2017 2016 (In $ millions) Derivative Liabilities Gross amount recognized 7 7 Gross amount offset in the consolidated balance sheets 4 4 Net amount presented in the consolidated balance sheets 3 3 Gross amount not offset in the consolidated balance sheets 3 2 Net amount — 1 |
Foreign Exchange Forward [Member] | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Foreign Currency Derivatives | Gross notional values of the foreign currency forwards and swaps are as follows: As of December 31, 2017 2016 (In $ millions) Total 740 508 |
Foreign Currency Denominated Debt [Member] | Net Investment Hedging [Member] | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Foreign Currency Derivatives | The total notional amount of foreign currency denominated debt designated as a net investment hedge of net investments in foreign operations are as follows: As of December 31, 2017 2016 (In € millions) Total 1,050 850 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | De |
Schedule of Carrying Values and Fair Values of Financial Instruments | Carrying values and fair values of financial instruments that are not carried at fair value are as follows: Fair Value Measurement Carrying Amount Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Total As of December 31, 2017 2016 2017 2016 2017 2016 2017 2016 (In $ millions) Cost investments 159 155 — — — — — — Insurance contracts in nonqualified trusts 42 49 42 49 — — 42 49 Long-term debt, including current installments of long-term debt 3,398 2,938 3,299 2,826 208 217 3,507 3,043 |
Supplemental Cash Flow Inform59
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Supplemental Cash Flow Information | Year Ended December 31, 2017 2016 2015 (In $ millions) Interest paid, net of amounts capitalized 130 130 120 Taxes paid, net of refunds 123 129 151 Noncash Investing and Financing Activities Accrued capital expenditures 14 1 (37 ) Asset retirement obligations 2 2 3 Capital lease obligations — — 6 Fair value adjustment to securities available for sale, net of tax (1 ) — — Distribution to noncontrolling interests ( Note 5 ) — — (4 ) |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Business Segments | Advanced Engineered Materials Consumer Specialties Industrial Specialties Acetyl Intermediates Other Activities Eliminations Consolidated (In $ millions) Year Ended December 31, 2017 Net sales 2,096 785 (1) 1,023 (2) 2,669 (3) — (433 ) 6,140 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) — (52 ) (4 ) — (60 ) Operating profit (loss) 383 218 87 424 (211 ) — 901 Equity in net earnings (loss) of affiliates 168 3 — 6 6 — 183 Depreciation and amortization 108 44 38 105 10 — 305 Capital expenditures 75 42 30 120 14 — 281 (4) As of December 31, 2017 Goodwill and intangible assets, net 798 258 46 202 — — 1,304 Total assets 3,672 1,357 861 2,657 991 — 9,538 Year Ended December 31, 2016 Net sales 1,444 929 (1) 979 (2) 2,441 (3) — (404 ) 5,389 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) (3 ) (3 ) (1 ) — (11 ) Operating profit (loss) 350 302 105 340 (205 ) 1 893 Equity in net earnings (loss) of affiliates 122 3 — 6 24 — 155 Depreciation and amortization 92 45 34 107 12 — 290 Capital expenditures 73 38 57 67 12 — 247 (4) As of December 31, 2016 Goodwill and intangible assets, net 517 244 46 183 — — 990 Total assets 2,792 1,324 758 2,440 1,043 — 8,357 Year Ended December 31, 2015 Net sales 1,326 969 (1) 1,082 (2) 2,744 (3) — (447 ) 5,674 Other (charges) gains, net ( Note 18 ) (7 ) (25 ) (10 ) (300 ) (9 ) — (351 ) Operating profit (loss) 235 262 72 (3 ) (240 ) — 326 Equity in net earnings (loss) of affiliates 150 2 — 6 23 — 181 Depreciation and amortization 99 60 64 123 11 — 357 Capital expenditures 73 65 56 282 7 — 483 (4) ______________________________ (1) Includes intersegment sales of $2 million , $0 million and $0 million for the year ended December 31, 2017 , 2016 and 2015 , respectively. (2) Includes intersegment sales of $4 million , $3 million and $0 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. (3) Includes intersegment sales of $427 million , $401 million and $447 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. (4) Includes an increase in accrued capital expenditures of $14 million , an increase of $1 million and a decrease of $37 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. |
Schedule of Geographical Segments | mation The net sales based on the geographic location of the Company's facilities are as follows: Year Ended December 31, 2017 2016 2015 (In $ millions) Belgium 295 408 417 Canada 92 123 162 China 833 745 800 Germany 1,776 1,540 1,779 Italy 259 13 — Mexico 257 214 204 Singapore 867 758 703 US 1,572 1,451 1,463 Other 189 137 146 Total 6,140 5,389 5,674 Property, plant and equipment, net based on the geographic location of the Company's facilities is as follows: As of December 31, 2017 2016 (In $ millions) Belgium 57 55 Canada 128 132 China 363 359 Germany 979 868 Italy 51 45 Mexico 162 159 Singapore 87 90 US 1,857 1,798 Other 78 71 Total 3,762 3,577 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings (Loss) Per Share | Year Ended December 31, 2017 2016 2015 (In $ millions, except share data) Amounts attributable to Celanese Corporation Earnings (loss) from continuing operations 856 902 306 Earnings (loss) from discontinued operations (13 ) (2 ) (2 ) Net earnings (loss) 843 900 304 Weighted average shares - basic 137,902,667 144,939,433 150,838,050 Incremental shares attributable to equity awards (1) 414,728 728,748 1,449,905 Weighted average shares - diluted 138,317,395 145,668,181 152,287,955 ______________________________ (1) Excludes 29 , 836 and 2,903 equity award shares for the years ended December 31, 2017 , 2016 and 2015 , respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Finan62
Consolidating Guarantor Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Consolidating Guarantor Financial Information [Abstract] | |
Schedule of Consolidating Statements of Operations | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,240 5,013 (1,113 ) 6,140 Cost of sales — — (1,717 ) (4,016 ) 1,108 (4,625 ) Gross profit — — 523 997 (5 ) 1,515 Selling, general and administrative expenses — — (135 ) (321 ) — (456 ) Amortization of intangible assets — — (4 ) (16 ) — (20 ) Research and development expenses — — (31 ) (41 ) — (72 ) Other (charges) gains, net — — (7 ) (53 ) — (60 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 3 — (5 ) Operating profit (loss) — — 338 568 (5 ) 901 Equity in net earnings (loss) of affiliates 843 867 591 166 (2,284 ) 183 Interest expense — (20 ) (104 ) (30 ) 32 (122 ) Refinancing expense — — — — — — Interest income — 25 4 5 (32 ) 2 Dividend income - cost investments — — — 111 (3 ) 108 Other income (expense), net — (3 ) 2 4 — 3 Earnings (loss) from continuing operations before tax 843 869 831 824 (2,292 ) 1,075 Income tax (provision) benefit — (26 ) (62 ) (125 ) — (213 ) Earnings (loss) from continuing operations 843 843 769 699 (2,292 ) 862 Earnings (loss) from operation of discontinued operations — — (2 ) (14 ) — (16 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — 1 2 — 3 Earnings (loss) from discontinued operations — — (1 ) (12 ) — (13 ) Net earnings (loss) 843 843 768 687 (2,292 ) 849 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 843 843 768 681 (2,292 ) 843 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,162 4,322 (1,095 ) 5,389 Cost of sales — — (1,657 ) (3,428 ) 1,101 (3,984 ) Gross profit — — 505 894 6 1,405 Selling, general and administrative expenses — — (112 ) (304 ) — (416 ) Amortization of intangible assets — — (5 ) (4 ) — (9 ) Research and development expenses — — (32 ) (46 ) — (78 ) Other (charges) gains, net — — — (11 ) — (11 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 17 (6 ) 3 Operating profit (loss) — — 348 545 — 893 Equity in net earnings (loss) of affiliates 898 939 653 146 (2,481 ) 155 Interest expense — (16 ) (94 ) (29 ) 19 (120 ) Refinancing expense — (4 ) (2 ) — — (6 ) Interest income — 12 4 5 (19 ) 2 Dividend income - cost investments — — — 107 1 108 Other income (expense), net — (1 ) 1 (2 ) — (2 ) Earnings (loss) from continuing operations before tax 898 930 910 772 (2,480 ) 1,030 Income tax (provision) benefit 2 (32 ) (53 ) (36 ) (3 ) (122 ) Earnings (loss) from continuing operations 900 898 857 736 (2,483 ) 908 Earnings (loss) from operation of discontinued operations — — (2 ) (1 ) — (3 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — — 1 — 1 Earnings (loss) from discontinued operations — — (2 ) — — (2 ) Net earnings (loss) 900 898 855 736 (2,483 ) 906 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 900 898 855 730 (2,483 ) 900 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,410 4,485 (1,221 ) 5,674 Cost of sales — — (1,729 ) (3,897 ) 1,270 (4,356 ) Gross profit — — 681 588 49 1,318 Selling, general and administrative expenses — — (242 ) (264 ) — (506 ) Amortization of intangible assets — — (5 ) (6 ) — (11 ) Research and development expenses — — (78 ) (41 ) — (119 ) Other (charges) gains, net — — (5 ) (346 ) — (351 ) Foreign exchange gain (loss), net — — — 4 — 4 Gain (loss) on disposition of businesses and assets, net — — (6 ) (3 ) — (9 ) Operating profit (loss) — — 345 (68 ) 49 326 Equity in net earnings (loss) of affiliates 302 314 84 162 (681 ) 181 Interest expense — (77 ) (76 ) (36 ) 70 (119 ) Refinancing expense — — — — — — Interest income — 18 40 13 (70 ) 1 Dividend income - cost investments — — — 107 — 107 Other income (expense), net — (2 ) 2 (8 ) — (8 ) Earnings (loss) from continuing operations before tax 302 253 395 170 (632 ) 488 Income tax (provision) benefit 2 49 (133 ) (98 ) (21 ) (201 ) Earnings (loss) from continuing operations 304 302 262 72 (653 ) 287 Earnings (loss) from operation of discontinued operations — — (3 ) — — (3 ) Gain (loss) on disposition of discontinued operations — — — — — — Income tax (provision) benefit from discontinued operations — — 1 — — 1 Earnings (loss) from discontinued operations — — (2 ) — — (2 ) Net earnings (loss) 304 302 260 72 (653 ) 285 Net (earnings) loss attributable to noncontrolling interests — — — 19 — 19 Net earnings (loss) attributable to Celanese Corporation 304 302 260 91 (653 ) 304 |
Schedule of Consolidating Statements of Comprehensive Income (Loss) | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 843 843 768 687 (2,292 ) 849 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities (1 ) (1 ) (1 ) (1 ) 3 (1 ) Foreign currency translation 174 174 226 268 (668 ) 174 Gain (loss) from cash flow hedges (1 ) (1 ) (1 ) (1 ) 3 (1 ) Pension and postretirement benefits 9 9 7 10 (26 ) 9 Total other comprehensive income (loss), net of tax 181 181 231 276 (688 ) 181 Total comprehensive income (loss), net of tax 1,024 1,024 999 963 (2,980 ) 1,030 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 1,024 1,024 999 957 (2,980 ) 1,024 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 900 898 855 736 (2,483 ) 906 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — — — — — Foreign currency translation (11 ) (11 ) (65 ) (73 ) 149 (11 ) Gain (loss) from cash flow hedges 5 5 5 5 (15 ) 5 Pension and postretirement benefits (4 ) (4 ) (4 ) (2 ) 10 (4 ) Total other comprehensive income (loss), net of tax (10 ) (10 ) (64 ) (70 ) 144 (10 ) Total comprehensive income (loss), net of tax 890 888 791 666 (2,339 ) 896 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 890 888 791 660 (2,339 ) 890 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 304 302 260 72 (653 ) 285 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — — — — — Foreign currency translation (188 ) (188 ) (181 ) (231 ) 600 (188 ) Gain (loss) from cash flow hedges 2 2 5 1 (8 ) 2 Pension and postretirement benefits 3 3 3 2 (8 ) 3 Total other comprehensive income (loss), net of tax (183 ) (183 ) (173 ) (228 ) 584 (183 ) Total comprehensive income (loss), net of tax 121 119 87 (156 ) (69 ) 102 Comprehensive (income) loss attributable to noncontrolling interests — — — 19 — 19 Comprehensive income (loss) attributable to Celanese Corporation 121 119 87 (137 ) (69 ) 121 |
Schedule of Consolidating Balance Sheets | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 230 346 — 576 Trade receivables - third party and affiliates — — 89 988 (91 ) 986 Non-trade receivables, net 38 482 279 385 (940 ) 244 Inventories, net — — 277 672 (49 ) 900 Marketable securities, at fair value — — 32 — — 32 Other assets — 60 12 93 (111 ) 54 Total current assets 38 542 919 2,484 (1,191 ) 2,792 Investments in affiliates 2,850 4,283 3,916 861 (10,934 ) 976 Property, plant and equipment, net — — 1,145 2,617 — 3,762 Deferred income taxes — 6 206 158 (4 ) 366 Other assets — 1,295 171 165 (1,293 ) 338 Goodwill — — 314 689 — 1,003 Intangible assets, net — — 48 253 — 301 Total assets 2,888 6,126 6,719 7,227 (13,422 ) 9,538 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates — 76 148 369 (267 ) 326 Trade payables - third party and affiliates — 1 300 598 (92 ) 807 Other liabilities — 71 302 273 (292 ) 354 Deferred income taxes — — — — — — Income taxes payable — — 471 92 (491 ) 72 Total current liabilities — 148 1,221 1,332 (1,142 ) 1,559 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,128 1,254 233 (1,300 ) 3,315 Deferred income taxes — — — 215 (4 ) 211 Uncertain tax positions — — 1 157 (2 ) 156 Benefit obligations — — 277 308 — 585 Other liabilities — — 255 158 — 413 Total noncurrent liabilities — 3,128 1,787 1,071 (1,306 ) 4,680 Total Celanese Corporation stockholders' equity 2,888 2,850 3,711 4,412 (10,974 ) 2,887 Noncontrolling interests — — — 412 — 412 Total equity 2,888 2,850 3,711 4,824 (10,974 ) 3,299 Total liabilities and equity 2,888 6,126 6,719 7,227 (13,422 ) 9,538 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 51 587 — 638 Trade receivables - third party and affiliates — — 107 819 (125 ) 801 Non-trade receivables, net 40 499 249 308 (873 ) 223 Inventories, net — — 239 526 (45 ) 720 Marketable securities, at fair value — — 30 — — 30 Other assets — 42 25 76 (83 ) 60 Total current assets 40 541 701 2,316 (1,126 ) 2,472 Investments in affiliates 2,548 4,029 3,655 752 (10,132 ) 852 Property, plant and equipment, net — — 1,049 2,528 — 3,577 Deferred income taxes — — 91 86 (18 ) 159 Other assets — 705 133 156 (687 ) 307 Goodwill — — 314 482 — 796 Intangible assets, net — — 48 146 — 194 Total assets 2,588 5,275 5,991 6,466 (11,963 ) 8,357 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates — 6 133 250 (271 ) 118 Trade payables - third party and affiliates — — 226 524 (125 ) 625 Other liabilities — 58 167 262 (165 ) 322 Deferred income taxes — — — — — — Income taxes payable — — 454 75 (517 ) 12 Total current liabilities — 64 980 1,111 (1,078 ) 1,077 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 2,647 727 210 (694 ) 2,890 Deferred income taxes — 16 — 132 (18 ) 130 Uncertain tax positions — — 3 130 (2 ) 131 Benefit obligations — — 636 257 — 893 Other liabilities — — 74 142 (1 ) 215 Total noncurrent liabilities — 2,663 1,440 871 (715 ) 4,259 Total Celanese Corporation stockholders' equity 2,588 2,548 3,571 4,051 (10,170 ) 2,588 Noncontrolling interests — — — 433 — 433 Total equity 2,588 2,548 3,571 4,484 (10,170 ) 3,021 Total liabilities and equity 2,588 5,275 5,991 6,466 (11,963 ) 8,357 |
Schedule of Consolidating Cash Flow Statements | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2017 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 740 868 425 593 (1,823 ) 803 Investing Activities Capital expenditures on property, plant and equipment — — (176 ) (91 ) — (267 ) Acquisitions, net of cash acquired — (11 ) (12 ) (274 ) 28 (269 ) Proceeds from sale of businesses and assets, net — — 9 20 (28 ) 1 Capital expenditures related to Fairway Methanol LLC — — — — — — Return of capital from subsidiary — 16 241 — (257 ) — Contributions to subsidiary — — — — — — Intercompany loan receipts (disbursements) — (530 ) (25 ) — 555 — Other, net — — (2 ) (12 ) — (14 ) Net cash provided by (used in) investing activities — (525 ) 35 (357 ) 298 (549 ) Financing Activities Short-term borrowings (repayments), net — 56 15 51 (11 ) 111 Proceeds from short-term borrowings — — — 182 — 182 Repayments of short-term borrowings — — — (124 ) — (124 ) Proceeds from long-term debt — 351 530 14 (544 ) 351 Repayments of long-term debt — (6 ) (2 ) (69 ) — (77 ) Purchases of treasury stock, including related fees (500 ) — — — — (500 ) Dividends to parent — (741 ) (802 ) (280 ) 1,823 — Contributions from parent — — — — — — Stock option exercises 1 — — — — 1 Series A common stock dividends (241 ) — — — — (241 ) Return of capital to parent — — — (257 ) 257 — (Distributions to) contributions from noncontrolling interests — — — (27 ) — (27 ) Other, net — (3 ) (22 ) (2 ) — (27 ) Net cash provided by (used in) financing activities (740 ) (343 ) (281 ) (512 ) 1,525 (351 ) Exchange rate effects on cash and cash equivalents — — — 35 — 35 Net increase (decrease) in cash and cash equivalents — — 179 (241 ) — (62 ) Cash and cash equivalents as of beginning of period — — 51 587 — 638 Cash and cash equivalents as of end of period — — 230 346 — 576 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2016 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 695 711 (21 ) 872 (1,364 ) 893 Investing Activities Capital expenditures on property, plant and equipment — — (139 ) (107 ) — (246 ) Acquisitions, net of cash acquired — — — (178 ) — (178 ) Proceeds from sale of businesses and assets, net — — 1 11 — 12 Capital expenditures related to Fairway Methanol LLC — — — — — — Return of capital from subsidiary — 145 758 — (903 ) — Contributions to subsidiary — — — — — — Intercompany loan receipts (disbursements) — (283 ) 19 90 174 — Other, net — — (10 ) (17 ) — (27 ) Net cash provided by (used in) investing activities — (138 ) 629 (201 ) (729 ) (439 ) Financing Activities Short-term borrowings (repayments), net — (371 ) 1 (1 ) 19 (352 ) Proceeds from short-term borrowings — — — 53 — 53 Repayments of short-term borrowings — — — (90 ) — (90 ) Proceeds from long-term debt — 1,589 746 — (826 ) 1,509 Repayments of long-term debt — (1,083 ) (635 ) (42 ) 633 (1,127 ) Purchases of treasury stock, including related fees (500 ) — — — — (500 ) Dividends to parent — (695 ) (669 ) — 1,364 — Contributions from parent — — — — — — Stock option exercises 6 — — — — 6 Series A common stock dividends (201 ) — — — — (201 ) Return of capital to parent — — — (903 ) 903 — (Distributions to) contributions from noncontrolling interests — — — (24 ) — (24 ) Other, net — (13 ) (21 ) 1 — (33 ) Net cash provided by (used in) financing activities (695 ) (573 ) (578 ) (1,006 ) 2,093 (759 ) Exchange rate effects on cash and cash equivalents — — — (24 ) — (24 ) Net increase (decrease) in cash and cash equivalents — — 30 (359 ) — (329 ) Cash and cash equivalents as of beginning of period — — 21 946 — 967 Cash and cash equivalents as of end of period — — 51 587 — 638 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2015 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 591 536 529 422 (1,216 ) 862 Investing Activities Capital expenditures on property, plant and equipment — — (128 ) (104 ) — (232 ) Acquisitions, net of cash acquired — — (3 ) (3 ) — (6 ) Proceeds from sale of businesses and assets, net — — — 4 — 4 Capital expenditures related to Fairway Methanol LLC — — (20 ) (268 ) — (288 ) Return of capital from subsidiary — — — — — — Contributions to subsidiary — — (120 ) — 120 — Intercompany loan receipts (disbursements) — (333 ) (33 ) (15 ) 381 — Other, net — — (12 ) (24 ) — (36 ) Net cash provided by (used in) investing activities — (333 ) (316 ) (410 ) 501 (558 ) Financing Activities Short-term borrowings (repayments), net — 383 — — (33 ) 350 Proceeds from short-term borrowings — — — 80 — 80 Repayments of short-term borrowings — — — (83 ) — (83 ) Proceeds from long-term debt — 15 406 — (421 ) — Repayments of long-term debt — (9 ) (74 ) (14 ) 73 (24 ) Purchases of treasury stock, including related fees (420 ) — — — — (420 ) Dividends to parent — (592 ) (624 ) — 1,216 — Contributions from parent — — — 120 (120 ) — Stock option exercises 3 — — — — 3 Series A common stock dividends (174 ) — — — — (174 ) Return of capital to parent — — — — — — (Distributions to) contributions from noncontrolling interests — — — 214 — 214 Other, net — — (10 ) (2 ) — (12 ) Net cash provided by (used in) financing activities (591 ) (203 ) (302 ) 315 715 (66 ) Exchange rate effects on cash and cash equivalents — — — (51 ) — (51 ) Net increase (decrease) in cash and cash equivalents — — (89 ) 276 — 187 Cash and cash equivalents as of beginning of period — — 110 670 — 780 Cash and cash equivalents as of end of period — — 21 946 — 967 |
Description of the Company an63
Description of the Company and Basis of Presentation (Narrative) (Details) | Dec. 31, 2017 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidated subsidiaries ownership percentage | 100.00% |
Summary of Accounting Policie64
Summary of Accounting Policies (Investments in Affiliates Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Subsidiary reporting period lag | one quarter |
Summary of Accounting Policie65
Summary of Accounting Policies (Schedule of Estimated Useful Lives of Depreciable Assets) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Land Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 20 years |
Buildings and Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 30 years |
Machinery and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 20 years |
Maximum [Member] | Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 10 years |
Summary of Accounting Policie66
Summary of Accounting Policies (Goodwill and Other Intangible Assets Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible assets, estimated useful lives | 3 years |
Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible assets, estimated useful lives | 30 years |
Summary of Accounting Policie67
Summary of Accounting Policies (Insurance Loss Reserves Narrative) (Details) | Dec. 31, 2017 |
Accounting Policies [Abstract] | |
Number of wholly-owned insurance companies | 2 |
Summary of Accounting Policie68
Summary of Accounting Policies (Environmental Liabilities Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Environmental liabilities accrual period | 15 years |
Summary of Accounting Policie69
Summary of Accounting Policies (Pension and Other Postretirement Obligations) (Details) | Dec. 31, 2017 |
Accounting Policies [Abstract] | |
Number of Aa-grade non-callable bonds | 300 |
Summary of Accounting Policie70
Summary of Accounting Policies Summary of Accounting Policies (Management Compensation Plans Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jan. 01, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock, par value | $ 0.0001 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Range of number of shares that will vest | zero to stretch | |||
Director [Member] | RSUs [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Employee [Member] | RSUs [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Series A common stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock, par value | $ 0.0001 | $ 0.0001 | ||
Retained Earnings [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Cumulative Effect on Retained Earnings, Net of Tax | $ 1 | $ (1) | $ 0 | $ 0 |
Summary of Accounting Policie71
Summary of Accounting Policies (Income Taxes Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Valuation Allowance, Methodologies and Assumptions | A valuation allowance is provided when it is more likely than not (likelihood of greater than 50%) that some portion or all of the deferred tax assets will not be realized. Tax positions that meet the more-likely-than-not threshold are measured using a probability weighted approach as the largest amount of tax benefit that is greater than 50% likely of being realized upon settlement. |
Accounting Pronouncements (Narr
Accounting Pronouncements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 01, 2018 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ (44) | $ 41 | $ 59 | |
Subsequent Event [Member] | Accounting Standards Update 2016-01 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 1 | |||
Subsequent Event [Member] | Accounting Standards Update 2014-09 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 1 |
Acquisitions, Dispositions an73
Acquisitions, Dispositions and Plant Closures (Schedule of Business Acquisitions, by Acquisition) (Details) - USD ($) | May 03, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Business Acquisition [Line Items] | ||||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | $ 0 | |||||
Goodwill | $ 1,003,000,000 | [1] | $ 796,000,000 | $ 705,000,000 | ||
Advanced Engineered Materials [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill | 555,000,000 | [1] | $ 385,000,000 | $ 282,000,000 | ||
Nilit [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Post-acquisition payment | 29,000,000 | |||||
Cash and cash equivalents | 4,000,000 | |||||
Trade receivables - third party and affiliates | 21,000,000 | |||||
Inventories | 37,000,000 | |||||
Property, plant and equipment, net | 36,000,000 | |||||
Intangible assets (Note 11) | 104,000,000 | |||||
Goodwill | [2] | 136,000,000 | ||||
Other assets(2) | 11,000,000 | |||||
Total fair value of assets acquired | 349,000,000 | |||||
Trade payables - third party and affiliates | (8,000,000) | |||||
Total debt (Note 14) | (12,000,000) | |||||
Deferred income taxes | (26,000,000) | |||||
Benefit obligations | (15,000,000) | |||||
Other liabilities(2) | [3] | (45,000,000) | ||||
Total fair value of liabilities assumed | (106,000,000) | |||||
Net assets acquired | $ 243,000,000 | |||||
Business Combination, Acquisition Related Costs | 3,000,000 | |||||
Business Combination, Net Earnings as a Percent of Acquirer's Net earnings | 1.00% | |||||
Nilit [Member] | Advanced Engineered Materials [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill, Purchase Accounting Adjustments | (2,000,000) | |||||
SO.F.TER. S.p.A. [Member] | Advanced Engineered Materials [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill, Purchase Accounting Adjustments | $ (6,000,000) | |||||
[1] | There were $0 million of accumulated impairment losses as of December 31, 2017. | |||||
[2] | Goodwill consists of expected revenue and operating synergies resulting from the acquisition. None of the goodwill is deductible for income tax purposes. | |||||
[3] | Includes a $29 million acquisition payment to Nilit Group after the date of close, which was paid as of June 30, 2017. |
Acquisitions, Dispositions an74
Acquisitions, Dispositions and Plant Closures Acquisition Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 18, 2017 | May 03, 2017 | Dec. 01, 2016 | |
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | $ 3,661 | ||||||
Cash Dividends Paid to Parent Company | 0 | $ 0 | $ 0 | ||||
Nilit [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Business Combination, Acquisition Related Costs | 3 | ||||||
Business Combination, Net Earnings as a Percent of Acquirer's Net earnings | 1.00% | ||||||
Advanced Engineered Materials [Member] | Nilit [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill, Purchase Accounting Adjustments | (2) | ||||||
Advanced Engineered Materials [Member] | SO.F.TER. S.p.A. [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||||||
Goodwill, Purchase Accounting Adjustments | $ (6) | ||||||
Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | $ 2,400 | ||||||
Proceeds from (Repayments of) Debt | $ 2,200 | ||||||
Scenario, Plan [Member] | Celanese [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acetate Tow JV Ownership Percentages | 70.00% | ||||||
Cash Dividends Paid to Parent Company | $ 1,600 | ||||||
Scenario, Plan [Member] | Blackstone [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acetate Tow JV Ownership Percentages | 30.00% | ||||||
Senior Secured JV Revolving Credit Facility [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | 135 | ||||||
Senior Unsecured JV Revolving Credit Facility [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | 65 | ||||||
Revolving Credit Facility [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | 200 | ||||||
Senior Unsecured JV bridge facility [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | 800 | ||||||
Senior Secured JV term loan [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | 1,000 | ||||||
Senior Unsecured JV term loan facility [Member] | Scenario, Plan [Member] | AcetateTowJointVenture [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Debt, Long-term and Short-term, Combined Amount | $ 400 |
Acquisitions, Dispositions an75
Acquisitions, Dispositions and Plant Closures (Plant Closure Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 01, 2015 | |
Consumer Specialties [Member] | Lanaken, Belgium | ||
Restructuring Cost and Reserve [Line Items] | ||
Capacity Reduction Percentage | 50.00% | 50.00% |
Research and Development Expense [Member] | Acetyl Intermediates [Member] | Clear Lake, TX [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Other Depreciation and Amortization | $ 39 |
Ventures and Variable Interes76
Ventures and Variable Interest Entities (Schedule of Variable Interest Entities) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | $ 576 | $ 638 | $ 967 | $ 780 | |
Trade receivables - third party and affiliates | 986 | 801 | |||
Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) | 3,762 | 3,577 | |||
Accumulated depreciation | 2,584 | 2,239 | |||
Intangible assets, net | 301 | 194 | |||
Accumulated amortization | 591 | 524 | $ 528 | ||
Other assets | 338 | 307 | |||
Total assets | 9,538 | 8,357 | |||
Trade payables | 807 | 625 | |||
Current liabilities | 1,559 | 1,077 | |||
Deferred income taxes | 211 | 130 | |||
Variable Interest Entity, Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | 19 | 18 | |||
Trade receivables - third party and affiliates | 5 | 4 | |||
Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) | 697 | 734 | |||
Intangible assets, net | 25 | 26 | |||
Other assets | 6 | 9 | |||
Variable Interest Entity, Not Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) | 53 | 60 | |||
Trade payables | 25 | 53 | |||
Current installments of long-term debt | 18 | 10 | |||
Long-term debt | 76 | 91 | |||
Total liabilities | 119 | 154 | |||
Maximum exposure to loss | 164 | 240 | |||
Fairway Methanol LLC [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | 19 | 18 | |||
Trade receivables - third party and affiliates | 9 | 8 | |||
Property, plant and equipment (net of accumulated depreciation - 2017: $90; 2016: $50) | 697 | 734 | |||
Accumulated depreciation | 90 | 50 | |||
Intangible assets, net | 25 | 26 | |||
Accumulated amortization | 2 | 1 | |||
Other assets | 6 | 9 | |||
Total assets | [1] | 756 | 795 | ||
Trade payables | 16 | 15 | |||
Current liabilities | [2] | 4 | 2 | ||
Long-term debt | 5 | 5 | |||
Deferred income taxes | 3 | 2 | |||
Total liabilities | $ 28 | $ 24 | |||
[1] | Assets can only be used to settle the obligations of Fairway. | ||||
[2] | Primarily represents amounts owed by Fairway to the Company for reimbursement of expenditures. |
Ventures and Variable Interes77
Ventures and Variable Interest Entities (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Variable Interest Entity, Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 50.00% |
Marketable Securities, at Fai78
Marketable Securities, at Fair Value (Schedule of Available-for-sale Securities) (Details) - Mutual Funds [Member] - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | $ 32 | $ 30 |
Gross unrealized gain | 0 | 0 |
Gross unrealized loss | 0 | 0 |
Fair value | $ 32 | $ 30 |
Receivables, Net Receivables,79
Receivables, Net Receivables, Net (Schedule of Trade Receivables - Third Party and Affiliates, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Receivables [Abstract] | ||
Trade receivables - third party and affiliates | $ 995 | $ 807 |
Allowance for doubtful accounts - third party and affiliates | (9) | (6) |
Trade receivables - third party and affiliates, net | $ 986 | $ 801 |
Receivables, Net Receivables,80
Receivables, Net Receivables, Net (Schedule of Non-trade Receivables, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Receivables [Abstract] | ||
Non-income taxes receivable | $ 81 | $ 83 |
Reinsurance receivables | 16 | 16 |
Income taxes receivable | 64 | 43 |
Other | 83 | 81 |
Non-trade receivables, net | $ 244 | $ 223 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 591 | $ 506 |
Work-in-process | 57 | 45 |
Raw materials and supplies | 252 | 169 |
Total | $ 900 | $ 720 |
Investments in Affiliates (Sche
Investments in Affiliates (Schedule of Equity Method Investments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Schedule of Equity Method Investments [Line Items] | ||||
Carrying value | $ 817 | $ 697 | ||
Share of earnings (loss) | 183 | 155 | $ 181 | |
Dividends and other distributions | $ (131) | $ (131) | (176) | |
National Methonal Company (Ibn Sina) [Member] | Advanced Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 25.00% | 25.00% | ||
Carrying value | $ 178 | $ 113 | ||
Share of earnings (loss) | 58 | 38 | 88 | |
Dividends and other distributions | $ (1) | $ (18) | (98) | |
Fortron Industries LLC [Member] | Advanced Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | 50.00% | ||
Carrying value | $ 111 | $ 100 | ||
Share of earnings (loss) | 17 | 9 | 11 | |
Dividends and other distributions | $ (6) | $ (9) | (8) | |
Korea Engineering Plastics Co., Ltd. [Member] | Advanced Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | 50.00% | ||
Carrying value | $ 155 | $ 137 | ||
Share of earnings (loss) | 25 | 25 | 16 | |
Dividends and other distributions | $ (25) | $ (11) | (10) | |
Polyplastics Co., Ltd. [Member] | Advanced Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 45.00% | 45.00% | ||
Carrying value | $ 170 | $ 156 | ||
Share of earnings (loss) | 57 | 50 | 35 | |
Dividends and other distributions | $ (64) | $ (54) | (20) | |
InfraServ GmbH & Co. Gendorf KG [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 39.00% | |||
InfraServ GmbH & Co. Gendorf KG [Member] | Other Activities [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[2] | 39.00% | 39.00% | |
Carrying value | [1],[2] | $ 41 | $ 38 | |
Share of earnings (loss) | [1],[2] | 4 | 7 | 7 |
Dividends and other distributions | [1],[2] | $ (5) | $ (5) | (5) |
InfraServ Gmbh & Co. Hoechst KG [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 32.00% | |||
InfraServ Gmbh & Co. Hoechst KG [Member] | Advanced Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [3] | 32.00% | 0.00% | |
Carrying value | [3] | $ 139 | $ 0 | |
Share of earnings (loss) | [3] | 19 | 0 | 0 |
Dividends and other distributions | [3] | $ (26) | $ 0 | 0 |
InfraServ Gmbh & Co. Hoechst KG [Member] | Other Activities [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[3] | 0.00% | 32.00% | |
Carrying value | [1],[3] | $ 0 | $ 132 | |
Share of earnings (loss) | [1],[3] | 0 | 22 | 21 |
Dividends and other distributions | [1],[3] | $ 0 | $ (30) | (32) |
InfraServ GmbH & Co. Knapsack KG [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 27.00% | |||
InfraServ GmbH & Co. Knapsack KG [Member] | Other Activities [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[2] | 27.00% | 27.00% | |
Carrying value | [1],[2] | $ 20 | $ 18 | |
Share of earnings (loss) | [1],[2] | 2 | 4 | 4 |
Dividends and other distributions | [1],[2] | $ (4) | $ (4) | (3) |
Sherbrooke Capital Health and Wellness, L.P. [Member] | Consumer Specialties [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [4] | 10.00% | 10.00% | |
Carrying value | [4] | $ 3 | $ 3 | |
Share of earnings (loss) | [4] | 1 | 0 | (1) |
Dividends and other distributions | [4] | $ 0 | $ 0 | $ 0 |
[1] | InfraServ real estate service companies ("InfraServ Entities") own and operate sites in Frankfurt am Main-Hoechst, Gendorf and Knapsack, Germany. The InfraServ Entities were created to own land and property and to provide various technical and administrative services at these manufacturing locations. | |||
[2] | See Note 29 for further information. | |||
[3] | InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Advanced Engineered Materials segment. Prior to 2017, InfraServ GmbH & Co. Hoechst KG was owned primarily by an entity included in the Company's Other Activities segment. The Company's Consumer Specialties segment and Acetyl Intermediates segment also each hold an ownership percentage. | |||
[4] | The Company accounts for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. under the equity method of accounting because the Company is able to exercise significant influence. |
Investments in Affiliates (Sc83
Investments in Affiliates (Schedule of Cost Method Investments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Cost-method Investments [Line Items] | |||
Carrrying value | $ 159 | $ 155 | |
Dividend income | $ 108 | $ 108 | $ 107 |
Kunming Cellulose Fibers Co. Ltd. [Member] | Consumer Specialties [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Ownership percentage | 30.00% | 30.00% | |
Carrrying value | $ 14 | $ 14 | |
Dividend income | $ 12 | $ 14 | 14 |
Nantong Cellulose Fibers Co. Ltd. [Member] | Consumer Specialties [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Ownership percentage | 31.00% | 31.00% | |
Carrrying value | $ 109 | $ 106 | |
Dividend income | $ 81 | $ 80 | 79 |
Zhuhai Cellulose Fibers Co. Ltd. [Member] | Consumer Specialties [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Ownership percentage | 30.00% | 30.00% | |
Carrrying value | $ 30 | $ 30 | |
Dividend income | $ 14 | $ 13 | 13 |
InfraServ GmbH & Co. Wiesbaden KG [Member] | Other Activities [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Ownership percentage | 8.00% | 8.00% | |
Carrrying value | $ 5 | $ 5 | |
Dividend income | 1 | 1 | 1 |
Other Cost Method Investee [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Carrrying value | 1 | 0 | |
Dividend income | $ 0 | $ 0 | $ 0 |
Investments in Affiliates (Sc84
Investments in Affiliates (Schedule of Transactions with Affiliates) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Purchases | $ 250 | $ 203 | $ 195 |
Sales | $ 0 | $ 2 | $ 0 |
Investments in Affiliates (Sc85
Investments in Affiliates (Schedule of Balances with Affiliates) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Non-trade receivables | $ 21 | $ 26 | |
Total due from affiliates | 21 | 26 | |
Short-term borrowings | [1] | 32 | 17 |
Trade payables | 36 | 45 | |
Current Other liabilities | 8 | 8 | |
Total due to affiliates | $ 76 | $ 70 | |
[1] | The Company has agreements with certain affiliates whereby excess affiliate cash is lent to and managed by the Company at variable interest rates governed by those agreements. |
Property, Plant and Equipment86
Property, Plant and Equipment, Net (Schedule of Property, Plant and Equipment, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Gross asset value | $ 6,346 | $ 5,816 |
Accumulated depreciation | (2,584) | (2,239) |
Net book value | 3,762 | 3,577 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 47 | 38 |
Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 72 | 70 |
Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 758 | 695 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 5,101 | 4,753 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | $ 368 | $ 260 |
Property, Plant and Equipment87
Property, Plant and Equipment, Net (Schedule of Assets Under Capital Leases) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Capital Leased Assets [Line Items] | ||
Accumulated depreciation | $ (179) | $ (149) |
Net book value | 131 | 155 |
Buildings [Member] | ||
Capital Leased Assets [Line Items] | ||
Gross capital leased asset value | 14 | 13 |
Machinery and Equipment [Member] | ||
Capital Leased Assets [Line Items] | ||
Gross capital leased asset value | $ 296 | $ 291 |
Property, Plant and Equipment88
Property, Plant and Equipment, Net (Schedule of Capitalized Interest and Depreciation Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment, Net [Abstract] | |||
Capitalized interest | $ 6 | $ 5 | $ 15 |
Depreciation expense | $ 285 | $ 281 | $ 346 |
Goodwill and Intangible Asset89
Goodwill and Intangible Assets, Net (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Goodwill | ||||
Acquisitions (Note 4) | $ 128 | $ 106 | ||
Exchange rate changes | 79 | (15) | ||
Accumulated impairment losses | 0 | |||
Net book value | 1,003 | [1] | 796 | $ 705 |
Advanced Engineered Materials [Member] | ||||
Goodwill | ||||
Acquisitions (Note 4) | 128 | 106 | ||
Exchange rate changes | 42 | (3) | ||
Net book value | 555 | [1] | 385 | 282 |
Consumer Specialties [Member] | ||||
Goodwill | ||||
Acquisitions (Note 4) | 0 | 0 | ||
Exchange rate changes | 12 | (5) | ||
Net book value | 237 | [1] | 225 | 230 |
Industrial Specialties [Member] | ||||
Goodwill | ||||
Acquisitions (Note 4) | 0 | 0 | ||
Exchange rate changes | 2 | (1) | ||
Net book value | 40 | [1] | 38 | 39 |
Acetyl Intermediates [Member] | ||||
Goodwill | ||||
Acquisitions (Note 4) | 0 | 0 | ||
Exchange rate changes | 23 | (6) | ||
Net book value | $ 171 | [1] | $ 148 | $ 154 |
[1] | There were $0 million of accumulated impairment losses as of December 31, 2017. |
Goodwill and Intangible Asset90
Goodwill and Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Finite-Lived intangible Assets Rollforward | |||||
Acquisitions (Note 4) | $ 82 | [1] | $ 67 | [2] | |
Acquisitions (Note 5) | 82 | [1] | 67 | [2] | |
Exchange rate changes | 62 | (13) | |||
Gross asset value | 777 | 633 | $ 579 | ||
Amortization | (20) | (9) | (11) | ||
Exchange rate changes | (47) | 13 | |||
Accumulated amortization | (591) | (524) | (528) | ||
Net book value | 186 | ||||
Licenses [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Acquisitions (Note 4) | 0 | 0 | |||
Acquisitions (Note 5) | 0 | 0 | |||
Exchange rate changes | 2 | (2) | |||
Gross asset value | 38 | 36 | 38 | ||
Amortization | (4) | (3) | |||
Exchange rate changes | (2) | 1 | |||
Accumulated amortization | (33) | (27) | (25) | ||
Net book value | 5 | ||||
Customer-Related Intangible Assets [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Acquisitions (Note 4) | 73 | 64 | |||
Acquisitions (Note 5) | 73 | 64 | |||
Exchange rate changes | 58 | (11) | |||
Gross asset value | 640 | 509 | 456 | ||
Amortization | (11) | (2) | |||
Exchange rate changes | (45) | 11 | |||
Accumulated amortization | (496) | (440) | (449) | ||
Net book value | 144 | ||||
Developed Technology [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Acquisitions (Note 4) | 9 | 0 | |||
Acquisitions (Note 5) | 9 | 0 | |||
Exchange rate changes | 1 | 0 | |||
Gross asset value | 45 | 35 | 35 | ||
Amortization | (3) | (2) | |||
Exchange rate changes | (1) | 1 | |||
Accumulated amortization | (30) | (26) | (25) | ||
Net book value | 15 | ||||
Covenants Not to Compete and Other [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Acquisitions (Note 4) | 0 | 3 | |||
Acquisitions (Note 5) | 0 | 3 | |||
Exchange rate changes | 1 | 0 | |||
Gross asset value | 54 | 53 | 50 | ||
Amortization | (2) | (2) | |||
Exchange rate changes | 1 | 0 | |||
Accumulated amortization | (32) | $ (31) | $ (29) | ||
Net book value | $ 22 | ||||
SO.F.TER. S.p.A. [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Weighted average life of intangible assets acquired | 12 years | ||||
Nilit [Member] | |||||
Finite-Lived intangible Assets Rollforward | |||||
Weighted average life of intangible assets acquired | 14 years | ||||
[1] | Primarily related to intangible assets acquired from Nilit (Note 4) during the year ended December 31, 2017, with a weighted average amortization period of 14 years. | ||||
[2] | Primarily related to intangible assets acquired from SOFTER (Note 4) during the year ended December 31, 2016, with a weighted average amortization period of 12 years. |
Goodwill and Intangible Asset91
Goodwill and Intangible Assets, Net (Schedule of Indefinite-Lived Intangible Assets, Net) (Details) - Trademarks and Trade Names [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Gross Asset Value | ||
Gross asset value | $ 85 | $ 74 |
Acquisitions (Note 4) | 22 | 12 |
Exchange rate changes | 8 | (1) |
Gross asset value | $ 115 | $ 85 |
Goodwill and Intangible Asset92
Goodwill and Intangible Assets, Net (Schedule of Estimated Amortization Expense) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,018 | $ 19 |
2,019 | 17 |
2,020 | 15 |
2,021 | 15 |
2,022 | $ 14 |
Current Other Liabilities (Deta
Current Other Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Other Liabilities, Current [Abstract] | ||
Asset retirement obligations | $ 19 | $ 9 |
Benefit obligations (Note 15) | 30 | 31 |
Customer rebates | 65 | 51 |
Derivatives (Note 22) | 3 | 3 |
Environmental (Note 16) | 14 | 14 |
Insurance | 5 | 6 |
Interest | 17 | 15 |
Restructuring (Note 18) | 5 | 16 |
Salaries and benefits | 113 | 97 |
Sales and use tax/foreign withholding tax payable | 16 | 21 |
Other | 67 | 59 |
Total | $ 354 | $ 322 |
Noncurrent Other Liabilities (S
Noncurrent Other Liabilities (Schedule of Noncurrent Other Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Other Liabilities, Noncurrent [Abstract] | ||
Asset retirement obligations | $ 7 | $ 20 |
Deferred proceeds | 47 | 41 |
Deferred revenue | 6 | 9 |
Environmental (Note 16) | 59 | 50 |
Income taxes payable (Note 19) | 197 | 6 |
Insurance | 43 | 46 |
Other | 54 | 43 |
Total | $ 413 | $ 215 |
Noncurrent Other Liabilities 95
Noncurrent Other Liabilities (Schedule of Changes in Asset Retirement Obligations) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Other Liabilities, Noncurrent [Abstract] | ||||
Balance at beginning of year | $ 29 | $ 36 | $ 37 | |
Additions | [1] | 0 | 2 | 0 |
Accretion | 1 | 1 | 1 | |
Payments | (5) | (10) | (4) | |
Revisions to cash flow estimates | [2] | 1 | 0 | 2 |
Balance at end of year | $ 26 | $ 29 | $ 36 | |
[1] | Primarily relates to sites which management no longer considers to have an indeterminate life. | |||
[2] | Primarily relates to revisions to the estimated cost and timing of future obligations. |
Noncurrent Other Liabilities 96
Noncurrent Other Liabilities (Schedule of Changes in Asset Retirement Obligations Narrative) (Details) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Other Liabilities, Noncurrent [Abstract] | ||
Asset retirement obligation, liability for assets or businesses acquired | $ 10 | $ 10 |
Asset retirement obligation, recoveries long-term receivable noncurrent other assets | $ 10 |
Debt (Schedule of Short-term De
Debt (Schedule of Short-term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | ||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Current installments of long-term debt | $ 63 | $ 27 | ||
Short-term borrowings, including amounts due to affiliates | [1] | 86 | 68 | |
Total | $ 326 | $ 118 | ||
Weighted average interest rate, short-term borrowings | 2.80% | 3.10% | ||
Bank Loans Acquired from SOFTER [Member] | ||||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Short-term SOFTER bank loans (Note 4) | [2] | $ 0 | $ 23 | |
Weighted average interest rate, short-term borrowings | 1.20% | |||
Revolving Credit Facility [Member] | ||||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Line of Credit, Current | [4] | $ 97 | [3] | $ 0 |
Weighted average interest rate, short-term borrowings | 4.10% | |||
Accounts Receivable Securitization Facility [Member] | ||||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Line of Credit, Current | [6] | $ 80 | [5] | $ 0 |
Weighted average interest rate, short-term borrowings | 2.10% | |||
[1] | The weighted average interest rate was 2.8% and 3.1% as of December 31, 2017 and 2016, respectively. | |||
[2] | The weighted average interest rate was 1.2% as of December 31, 2016. | |||
[3] | The Company borrowed $528 million and repaid $431 million under its senior unsecured revolving credit facility during the year ended December 31, 2017 | |||
[4] | The weighted average interest rate was 4.1% as of December 31, 2017. | |||
[5] | The Company borrowed $85 million and repaid $5 million during the year ended December 31, 2017. | |||
[6] | The weighted average interest rate was 2.1% as of December 31, 2017. |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt) (Details) € in Millions, $ in Millions | Dec. 31, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 11, 2017EUR (€) | Dec. 31, 2016USD ($) | Sep. 26, 2016EUR (€) | Jul. 15, 2016USD ($) | Dec. 31, 2015USD ($) | [1] | Dec. 31, 2014USD ($) | ||||
Long-Term Debt | |||||||||||||
Subtotal | $ 3,398 | $ 3,398 | $ 2,938 | ||||||||||
Unamortized debt issuance costs | (24) | [1] | (24) | [1] | (27) | [1] | $ (22) | $ (27) | |||||
Current installments of long-term debt | (63) | (63) | (27) | ||||||||||
Total | 3,315 | $ 3,315 | 2,890 | ||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||||||
Senior Unsecured Term Loan Due 2021 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Secured Debt | [2] | $ 500 | |||||||||||
Senior unsecured notes | [2] | 494 | $ 494 | 500 | |||||||||
Maturity Date | Jul. 15, 2021 | ||||||||||||
Senior Unsecured Notes Due 2019 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Senior unsecured notes | $ 360 | $ 360 | 316 | ||||||||||
Maturity Date | Oct. 15, 2019 | ||||||||||||
Interest Rate | 3.25% | 3.25% | |||||||||||
Senior Unsecured Notes Due 2021 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Senior unsecured notes | $ 400 | $ 400 | 400 | ||||||||||
Maturity Date | Jun. 15, 2021 | ||||||||||||
Interest Rate | 5.875% | 5.875% | |||||||||||
Senior Unsecured Notes Due 2022 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Senior unsecured notes | $ 500 | $ 500 | 500 | ||||||||||
Maturity Date | Nov. 15, 2022 | ||||||||||||
Interest Rate | 4.625% | 4.625% | |||||||||||
Senior Unsecured Notes Due 2023 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Senior unsecured notes | $ 897 | $ 897 | 788 | ||||||||||
Maturity Date | Sep. 26, 2023 | ||||||||||||
Interest Rate | 1.125% | 1.125% | |||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||||||
Long-term Debt, Gross | € | € 750 | ||||||||||||
Percentage of Face | 99.713% | ||||||||||||
Senior Unsecured Notes Due 2025 [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Senior unsecured notes | $ 359 | $ 359 | 0 | ||||||||||
Maturity Date | Dec. 11, 2025 | ||||||||||||
Interest Rate | 1.25% | 1.25% | |||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||||||
Long-term Debt, Gross | € | € 300 | ||||||||||||
Percentage of Face | 99.81% | ||||||||||||
Pollution Control and Industrial Revenue Bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Year of maturity, range end | Nov. 1, 2030 | ||||||||||||
Refunding loan for pollution control and industrial revenue bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 5.70% to 6.70% | $ 169 | $ 169 | $ 170 | ||||||||||
Year of maturity, range end | Dec. 31, 2030 | ||||||||||||
Bank Loans Acquired from SOFTER [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 1.60% | ||||||||||||
Long-Term Debt | |||||||||||||
Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 5.70% to 6.70% | $ 0 | [3] | $ 0 | [3] | $ 47 | ||||||||
Year of maturity, range end | Dec. 31, 2021 | ||||||||||||
Nilit [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 1.30% | 1.30% | |||||||||||
Long-Term Debt | |||||||||||||
Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 5.70% to 6.70% | $ 11 | [4] | $ 11 | [4] | 0 | ||||||||
Obligations Under Capital Leases [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Year of maturity, range end | Mar. 31, 2054 | ||||||||||||
Obligations under capital leases due at various dates through 2054 | 208 | $ 208 | 217 | ||||||||||
Long-term Debt [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Unamortized debt issuance costs | [5] | $ (20) | $ (20) | $ (21) | |||||||||
Minimum [Member] | Pollution Control and Industrial Revenue Bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Interest Rate | 5.70% | 5.70% | |||||||||||
Minimum [Member] | Refunding loan for pollution control and industrial revenue bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Interest Rate | 4.05% | 4.05% | |||||||||||
Maximum [Member] | Pollution Control and Industrial Revenue Bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Interest Rate | 6.70% | 6.70% | |||||||||||
Maximum [Member] | Refunding loan for pollution control and industrial revenue bonds [Member] | |||||||||||||
Long-Term Debt | |||||||||||||
Interest Rate | 5.00% | 5.00% | |||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Senior Unsecured Term Loan Due 2021 [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | ||||||||||||
[1] | Includes $4 million, $6 million and $4 million as of December 31, 2017, 2016 and 2015, respectively, related to the Company's revolving credit facility and accounts receivables securitization facility, which are included in noncurrent Other assets in the consolidated balance sheets. | ||||||||||||
[2] | The margin for borrowings under the senior unsecured term loan due 2021 was 1.5% above LIBOR at current Celanese credit ratings. | ||||||||||||
[3] | The weighted average interest rate was 1.6% as of December 31, 2016. | ||||||||||||
[4] | The weighted average interest rate was 1.3% as of December 31, 2017. | ||||||||||||
[5] | Related to the Company's long-term debt, excluding obligations under capital leases. |
Debt (Senior Credit Facilities
Debt (Senior Credit Facilities Narrative) (Details) - USD ($) $ in Millions | Sep. 26, 2016 | Dec. 31, 2017 | Jul. 15, 2016 | |
Senior Unsecured Term Loan Due 2021 [Member] | ||||
Debt Instrument [Line Items] | ||||
Secured Debt | [1] | $ 500 | ||
Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000 | |||
Proceeds from Lines of Credit | $ 528 | |||
Repayments of Lines of Credit | $ 411 | $ 431 | ||
[1] | The margin for borrowings under the senior unsecured term loan due 2021 was 1.5% above LIBOR at current Celanese credit ratings. |
Debt (Schedule of Balances Avai
Debt (Schedule of Balances Available for Borrowing) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Sep. 26, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Borrowings outstanding | [2] | $ 97 | [1] | $ 97 | [1] | $ 0 | |
Letters of credit issued | 0 | 0 | |||||
Available for borrowing | [3] | $ 903 | 903 | ||||
Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Proceeds from Lines of Credit | 528 | ||||||
Repayments of Lines of Credit | $ 411 | $ 431 | |||||
London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | ||||||
[1] | The Company borrowed $528 million and repaid $431 million under its senior unsecured revolving credit facility during the year ended December 31, 2017 | ||||||
[2] | The weighted average interest rate was 4.1% as of December 31, 2017. | ||||||
[3] | The margin for borrowings under the senior unsecured revolving credit facility were 1.5% above LIBOR at current Company credit ratings. |
Debt Debt (Senior Notes Narrati
Debt Debt (Senior Notes Narrative) (Details) € in Millions, $ in Millions | Sep. 26, 2016USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 11, 2017EUR (€) | Sep. 26, 2016EUR (€) | |
Debt Instrument [Line Items] | |||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||
Write off of Deferred Debt Issuance Cost | $ 0 | $ 3 | [1] | $ 0 | |||
Senior Unsecured Notes Due 2023 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior unsecured notes | $ 897 | 788 | |||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||
Long-term Debt, Gross | € | € 750 | ||||||
Percentage of Face | 99.713% | ||||||
Interest Rate | 1.125% | ||||||
Senior Unsecured Notes Due 2019 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior unsecured notes | $ 360 | 316 | |||||
Interest Rate | 3.25% | ||||||
Senior Unsecured Notes Due 2025 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior unsecured notes | $ 359 | $ 0 | |||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||
Long-term Debt, Gross | € | € 300 | ||||||
Percentage of Face | 99.81% | ||||||
Interest Rate | 1.25% | ||||||
Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of Lines of Credit | $ 411 | $ 431 | |||||
[1] | Includes $2 million and $1 million related to the senior secured credit facilities and the pollution control and industrial revenue bonds, respectively, which are included in Refinancing expense in the consolidated statement of operations during the year ended December 31, 2016. |
Debt Debt (SOFTER Bank Loans Na
Debt Debt (SOFTER Bank Loans Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | |
Jan. 31, 2017 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||
Debt, Long-term and Short-term, Combined Amount | $ 3,661 | |
Bank Loans Acquired from SOFTER [Member] | ||
Debt Instrument [Line Items] | ||
Repayments of Debt | $ 69 | |
Debt, Long-term and Short-term, Combined Amount | $ 70 |
Debt Debt (Accounts Receivable
Debt Debt (Accounts Receivable Securitization Facility) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | |||
Debt Instrument [Line Items] | ||||
Cash Flows Between Transferor and Transferee, Proceeds from New Transfers | $ 158 | |||
Accounts Receivable Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit, Current | [2] | 80 | [1] | $ 0 |
Letters of credit issued | 29 | |||
Available for borrowing | 11 | |||
Line of Credit Facility, Current Borrowing Capacity | 120 | |||
Line of Credit Facility, Maximum Borrowing Capacity | [3] | 120 | ||
Secured Debt [Member] | Accounts Receivable Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Proceeds from Issuance of Debt | 85 | |||
Repayments of Lines of Credit | $ 5 | |||
[1] | The Company borrowed $85 million and repaid $5 million during the year ended December 31, 2017. | |||
[2] | The weighted average interest rate was 2.1% as of December 31, 2017. | |||
[3] | Outstanding accounts receivable transferred to the SPE was $158 million. |
Debt (Schedule of Principle Pay
Debt (Schedule of Principle Payments) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Debt Disclosure [Abstract] | |
2,018 | $ 326 |
2,019 | 437 |
2,020 | 80 |
2,021 | 794 |
2,022 | 526 |
Thereafter | 1,498 |
Total | $ 3,661 |
Debt (Schedule of Net Deferred
Debt (Schedule of Net Deferred Financing Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||||
Debt Instrument [Line Items] | ||||||
Deferred Finance Costs, Net | $ 27 | [1] | $ 22 | [1] | $ 27 | |
Financing costs deferred | 1 | [2] | 13 | [3] | 0 | |
Accelerated amortization due to refinancing activity | 0 | (3) | [4] | 0 | ||
Amortization | (4) | (5) | (5) | |||
Deferred Finance Costs, Net | [1] | 24 | 27 | 22 | ||
New Credit Agreement [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Financing costs deferred | [3] | 5 | ||||
Senior Unsecured Notes Due 2023 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Financing costs deferred | [3] | 6 | ||||
Refunding loan for pollution control and industrial revenue bonds [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Financing costs deferred | [3] | 2 | ||||
Amended Credit Agreement [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Accelerated amortization due to refinancing activity | [4] | (2) | ||||
Pollution Control and Industrial Revenue Bonds [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Accelerated amortization due to refinancing activity | [4] | (1) | ||||
Other Noncurrent Assets [Member] | RevolvingCreditandAccountsReceivableSecuritizationFacilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Deferred Finance Costs, Net | [1] | 6 | 4 | |||
Deferred Finance Costs, Net | [1] | $ 4 | $ 6 | $ 4 | ||
[1] | Includes $4 million, $6 million and $4 million as of December 31, 2017, 2016 and 2015, respectively, related to the Company's revolving credit facility and accounts receivables securitization facility, which are included in noncurrent Other assets in the consolidated balance sheets. | |||||
[2] | Related to the 1.250% Notes, which are being amortized through the term of the 1.250% Notes. | |||||
[3] | Includes $5 million, $6 million and $2 million related to the Credit Agreement, the 1.125% Notes and the pollution control and industrial revenue bonds, respectively, all of which are being amortized through the term of the respective financing arrangement. | |||||
[4] | Includes $2 million and $1 million related to the senior secured credit facilities and the pollution control and industrial revenue bonds, respectively, which are included in Refinancing expense in the consolidated statement of operations during the year ended December 31, 2016. |
Benefit Obligations (Schedule o
Benefit Obligations (Schedule of Contributions to Multiemployer Defined Benefit Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Benefits [Abstract] | |||
Multiemployer defined benefit plan | $ 7 | $ 7 | $ 6 |
Benefit Obligations (Schedul107
Benefit Obligations (Schedule of Other Postemployment Obligations) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Benefits [Abstract] | ||
Postemployment benefits | $ 8 | $ 9 |
Benefit Obligations Benefit Obl
Benefit Obligations Benefit Obligations (Schedule of Contributions to Defined Contribution Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Benefits [Abstract] | |||
Defined contribution plans | $ 40 | $ 43 | $ 44 |
Benefit Obligations (Schedul109
Benefit Obligations (Schedule of Company's Pension and Post Retirement Benefit Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net amount recognized | $ (9) | $ 4 | $ (3) | |
Other comprehensive (income) loss, tax effect | 6 | 4 | ||
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Plan Assets, Benefits Paid | [1] | (233) | (232) | |
Change in Projected Benefit Obligation | ||||
Projected benefit obligation as of beginning of period | 3,610 | 3,635 | ||
Service cost | 9 | 8 | 12 | |
Interest cost | 107 | 113 | 139 | |
Participant contributions | 0 | 0 | ||
Plan amendments | 0 | 0 | ||
Net actuarial (gain) loss | [2] | 151 | 102 | |
Defined Benefit Plan, Benefit Obligation, Divestiture | 0 | 0 | ||
Settlements | (1) | (1) | ||
Defined Benefit Plan, Benefit Obligation, Benefits Paid | (233) | (232) | ||
Federal subsidy on Medicare Part D | 0 | 0 | ||
Curtailments | 0 | 0 | ||
Special termination benefits | 1 | 3 | ||
Exchange rate changes | 69 | (18) | ||
Other | [3] | 15 | 0 | |
Projected benefit obligation as of end of period | 3,728 | 3,610 | 3,635 | |
Change in Plan Assets | ||||
Fair value of plan assets as of beginning of period | 2,784 | 2,508 | ||
Actual return on plan assets | 302 | 177 | ||
Employer contributions | 359 | 346 | ||
Defined Benefit Plan, Plan Assets, Contributions by Plan Participant | 0 | 0 | ||
Settlements | (1) | (1) | ||
Exchange rate changes | 40 | (14) | ||
Fair value of plan assets as of end of period | 3,251 | 2,784 | 2,508 | |
Funded status as of end of period | (477) | (826) | ||
Amounts Recognized in the Consolidated Balance Sheets Consist of: | ||||
Noncurrent Other assets | 64 | 22 | ||
Current Other liabilities | (24) | (25) | ||
Benefit obligations | (517) | (823) | ||
Net amount recognized | (477) | (826) | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net actuarial (gain) loss | [4] | 9 | 18 | |
Prior service (benefit) cost | (1) | (1) | ||
Net amount recognized | [5] | 8 | 17 | |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Plan Assets, Benefits Paid | [1] | (4) | (4) | |
Change in Projected Benefit Obligation | ||||
Projected benefit obligation as of beginning of period | 67 | 66 | ||
Service cost | 1 | 0 | 1 | |
Interest cost | 1 | 2 | 3 | |
Participant contributions | 0 | 0 | ||
Plan amendments | 0 | 0 | ||
Net actuarial (gain) loss | [2] | (2) | 3 | |
Defined Benefit Plan, Benefit Obligation, Divestiture | 0 | 0 | ||
Settlements | 0 | 0 | ||
Defined Benefit Plan, Benefit Obligation, Benefits Paid | (4) | (4) | ||
Federal subsidy on Medicare Part D | 0 | 0 | ||
Curtailments | 0 | 0 | ||
Special termination benefits | 0 | 0 | ||
Exchange rate changes | 3 | 0 | ||
Other | [3] | 0 | 0 | |
Projected benefit obligation as of end of period | 66 | 67 | 66 | |
Change in Plan Assets | ||||
Fair value of plan assets as of beginning of period | 0 | 0 | ||
Actual return on plan assets | 0 | 0 | ||
Employer contributions | 4 | 4 | ||
Defined Benefit Plan, Plan Assets, Contributions by Plan Participant | 0 | 0 | ||
Settlements | 0 | 0 | ||
Exchange rate changes | 0 | 0 | ||
Fair value of plan assets as of end of period | 0 | 0 | $ 0 | |
Funded status as of end of period | (66) | (67) | ||
Amounts Recognized in the Consolidated Balance Sheets Consist of: | ||||
Noncurrent Other assets | 0 | 0 | ||
Current Other liabilities | (5) | (5) | ||
Benefit obligations | (61) | (62) | ||
Net amount recognized | (66) | (67) | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net actuarial (gain) loss | [4] | 0 | 0 | |
Prior service (benefit) cost | 1 | (1) | ||
Net amount recognized | [5] | 1 | (1) | |
Supplemental Employee Retirement Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Plan Assets, Benefits Paid | $ (22) | $ (22) | ||
[1] | Includes benefit payments to nonqualified pension plans of $22 million and $22 million as of December 31, 2017 and 2016, respectively. | |||
[2] | Primarily relates to change in discount rates. | |||
[3] | Primarily relates to the acquisition of Nilit (Note 4). | |||
[4] | Relates to the pension plans of the Company's equity method investments. | |||
[5] | Amount shown net of an income tax benefit of $6 million and $4 million as of December 31, 2017 and 2016, respectively, in the consolidated statements of equity (Note 17). |
Benefit Obligations (Schedul110
Benefit Obligations (Schedule of Percentage of US and International Projected Benefit Obligation) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Benefit Obligation, Benefits Paid | $ 233 | $ 232 |
Percentage of projected benefit obligation | 100.00% | 100.00% |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Benefit Obligation, Benefits Paid | $ 4 | $ 4 |
Percentage of projected benefit obligation | 100.00% | 100.00% |
Domestic Plan [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 83.00% | 85.00% |
Domestic Plan [Member] | Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 54.00% | 57.00% |
Foreign Plan [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 17.00% | 15.00% |
Foreign Plan [Member] | Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 46.00% | 43.00% |
Benefit Obligations (Schedul111
Benefit Obligations (Schedule of Percentage of US and International Fair Value of Plan Assets) (Details) | Dec. 31, 2017 | Dec. 31, 2016 |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Assets Percentage | 100.00% | 100.00% |
Domestic Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Assets Percentage | 88.00% | 88.00% |
Foreign Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Assets Percentage | 12.00% | 12.00% |
Benefit Obligations (Schedul112
Benefit Obligations (Schedule of Pension Plans with Projected Benefit Obligations in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Benefits [Abstract] | ||
Projected benefit obligation | $ 882 | $ 3,559 |
Fair value of plan assets | $ 341 | $ 2,711 |
Benefit Obligations (Schedul113
Benefit Obligations (Schedule of Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Benefits [Abstract] | ||
Accumulated benefit obligation | $ 861 | $ 3,538 |
Fair value of plan assets | $ 338 | $ 2,708 |
Benefit Obligations (Schedul114
Benefit Obligations (Schedule of Accumulated Benefit Obligation for All Defined Benefit Pension Plans) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Benefits [Abstract] | ||
Accumulated benefit obligation | $ 3,710 | $ 3,591 |
Benefit Obligations (Schedul115
Benefit Obligations (Schedule of Net Periodic Benefit Costs Recognized) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Recognized actuarial (gain) loss | $ 46 | $ 103 | $ 127 |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 9 | 8 | 12 |
Interest cost | 107 | 113 | 139 |
Expected return on plan assets | (198) | (177) | (209) |
Amortization of prior service cost / (credit) | 0 | 0 | 0 |
Recognized actuarial (gain) loss | 48 | 101 | 134 |
Curtailment (gain) loss | 0 | 0 | (3) |
Settlement (gain) loss | 0 | 0 | 0 |
Special termination benefit | 1 | 3 | 2 |
Total | (33) | 48 | 75 |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 1 | 0 | 1 |
Interest cost | 1 | 2 | 3 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost / (credit) | (1) | (3) | 0 |
Recognized actuarial (gain) loss | (2) | 2 | (7) |
Curtailment (gain) loss | 0 | 0 | 0 |
Settlement (gain) loss | 0 | 0 | 0 |
Special termination benefit | 0 | 0 | 0 |
Total | $ (1) | $ 1 | $ (3) |
Benefit Obligations (Schedul116
Benefit Obligations (Schedule of Amortization of Accumulated Other Comprehensive Income (Loss), Net Into Net Periodic Benefit Cost) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost | $ 0 |
Other Postretirement Benefits Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost | $ 0 |
Benefit Obligations (Schedul117
Benefit Obligations (Schedule of Nonqualified Pension Plans Funded with Nonqualified Trusts) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Defined Benefit Plan Disclosure [Line Items] | ||
Noncurrent Other assets, consisting of insurance contracts | $ 42 | $ 49 |
Supplemental Employee Retirement Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Noncurrent Other assets, consisting of insurance contracts | 42 | 49 |
Current Other liabilities | 22 | 22 |
Benefit obligations | 237 | 241 |
Supplemental Employee Retirement Plan [Member] | Money Market Funds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Marketable securities, at fair value | $ 32 | $ 30 |
Benefit Obligations (Schedul118
Benefit Obligations (Schedule of Expense Related to Nonqualified Pension Plans Included in Net Periodic Benefit Cost, Excluding Returns on Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total | $ (33) | $ 48 | $ 75 | |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total | (1) | 1 | (3) | |
Supplemental Employee Retirement Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total | [1] | $ 18 | $ 18 | $ 0 |
[1] | Actuarial gain offset interest cost. |
Benefit Obligations (Pension an
Benefit Obligations (Pension and Other Postretirement Obligations Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension and postretirement net periodic benefit cost | $ (80) | $ (54) | $ (52) |
Multiemployer plans, funded status | At least 80 percent | At least 80 percent | At least 80 percent |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Settlement gain (loss) | $ 0 | $ 0 | $ 0 |
Curtailment gain (loss) | 0 | 0 | 3 |
Amortization of prior service cost (credit) | 0 | 0 | 0 |
Lump-sum buyout payments | 1 | 1 | |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Settlement gain (loss) | 0 | 0 | 0 |
Curtailment gain (loss) | 0 | 0 | 0 |
Amortization of prior service cost (credit) | (1) | (3) | $ 0 |
Lump-sum buyout payments | $ 0 | 0 | |
Change in Assumptions for Defined Benefit Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Pension and postretirement net periodic benefit cost | $ 29 |
Benefit Obligations (Schedul120
Benefit Obligations (Schedule of Principle Weighted Average Assumptions Used to Determine Benefit Obligations and Benefit Cost) (Details) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 3.30% | 3.70% | ||
Rate of compensation increase | 2.80% | 2.80% | ||
Discount rate NPBC | 3.70% | 4.00% | 3.70% | |
Discount rate NPBC - service cost | [1] | 2.50% | 3.10% | 3.70% |
Discount rate NPBC - interest cost | [1] | 3.10% | 3.20% | 3.70% |
Expected return on plan assets | 7.30% | 7.30% | 7.80% | |
Rate of compensation increase NPBC | 2.80% | 2.70% | 2.80% | |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 3.20% | 3.40% | ||
Discount rate NPBC | 3.40% | 3.90% | 3.60% | |
Discount rate NPBC - service cost | [1] | 2.90% | 3.80% | 3.60% |
Discount rate NPBC - interest cost | [1] | 2.90% | 3.10% | 3.60% |
Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Rate of compensation increase | 2.80% | 2.80% | ||
Expected return on plan assets | 5.90% | 6.10% | 6.00% | |
Rate of compensation increase NPBC | 2.80% | 2.70% | 2.80% | |
Foreign Plan [Member] | Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 2.10% | 2.10% | ||
Discount rate NPBC | 2.10% | 2.60% | 2.40% | |
Discount rate NPBC - service cost | [1] | 2.50% | 3.10% | 2.40% |
Discount rate NPBC - interest cost | [1] | 1.70% | 2.20% | 2.40% |
Foreign Plan [Member] | Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 3.20% | 3.30% | ||
Discount rate NPBC | 3.30% | 3.60% | 3.50% | |
Discount rate NPBC - service cost | [1] | 3.40% | 3.80% | 3.50% |
Discount rate NPBC - interest cost | [1] | 2.90% | 3.10% | 3.50% |
Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 7.50% | 7.50% | 8.00% | |
Domestic Plan [Member] | Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 3.50% | 3.90% | ||
Discount rate NPBC | 3.90% | 4.20% | 3.90% | |
Discount rate NPBC - service cost | [1] | 1.20% | 4.50% | 3.90% |
Discount rate NPBC - interest cost | [1] | 3.30% | 3.40% | 3.90% |
Domestic Plan [Member] | Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate obligations | 3.40% | 3.80% | ||
Discount rate NPBC | 3.80% | 4.00% | 3.70% | |
Discount rate NPBC - service cost | [1] | 4.00% | 4.20% | 3.70% |
Discount rate NPBC - interest cost | [1] | 3.10% | 3.10% | 3.70% |
[1] | eighted-average discount rates reflect the adoption of the full yield curve approach. |
Benefit Obligations Benefit 121
Benefit Obligations Benefit Obligations (Schedule of US Health Care Cost Trend Rates) (Details) - Domestic Plan [Member] - Postretirement Health Coverage [Member] | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
ScheduleofHealthCareCostTrend [Line Items] | |||
Health care cost trend rate assumed for next year | 9.00% | 9.50% | 10.00% |
Health care cost trend ultimate rate | 5.00% | 5.00% | 5.00% |
Health care cost trend ultimate rate year | 2,026 | 2,026 | 2,026 |
Benefit Obligations (Schedul122
Benefit Obligations (Schedule of Impact of One-Percentage-Point Change in Assumed Health Care Cost Trend) (Details) - Other Postretirement Benefits Plan [Member] - Domestic Plan [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |
Postretirement obligations, impact of 1% decrease | $ 2 |
Postretirement obligations, impact of 1% increase | 2 |
Service and interest cost, impact of 1% decrease | 0 |
Service and interest cost, impact of 1% increase | $ 0 |
Benefit Obligations (Valuation
Benefit Obligations (Valuation Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 7.30% | 7.30% | 7.80% |
Benefit Obligations (Schedul124
Benefit Obligations (Schedule of Weighted Average Target Asset Allocations) (Details) | Dec. 31, 2017 |
Domestic Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 100.00% |
Domestic Plan [Member] | Debt Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 75.00% |
Domestic Plan [Member] | Equity Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 8.00% |
Domestic Plan [Member] | Equity Securities International To Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 7.00% |
Domestic Plan [Member] | Other Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 10.00% |
Foreign Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 100.00% |
Foreign Plan [Member] | Debt Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 59.00% |
Foreign Plan [Member] | Equity Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 16.00% |
Foreign Plan [Member] | Equity Securities International To Plans [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 0.00% |
Foreign Plan [Member] | Other Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted average target asset allocations | 25.00% |
Benefit Obligations (Schedul125
Benefit Obligations (Schedule of Fair Values of Pension Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plan assets, fair value non-financial receivables | $ 25 | $ 20 | |
Pension plan assets, fair value non-financial payables | 18 | 10 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | (2,361) | (2,296) |
Total liabilities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 3 | |
Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 2 | |
Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 1 | |
Total plan assets [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [2] | (2,368) | (2,299) |
Cash and Cash quivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (5) | (2) | |
Equities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (727) | (195) | |
Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (8) | (2) | |
US Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | (260) | |
International Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (72) | (345) | |
Corporate Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (776) | (798) | |
Treasuries, Other Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (1,459) | (830) | |
Mortgage Backed Securities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (7) | (7) | |
Registered Investment Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (60) | (134) | |
Short-term Investments [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (96) | (149) | |
Insurance Contracts [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (36) | (31) | |
Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (5) | (24) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | (129) | (668) |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Total liabilities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Total plan assets [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [2] | (129) | (668) |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Cash and Cash quivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (5) | (2) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | US Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | (260) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | International Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (72) | (345) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Corporate Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Treasuries, Other Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (48) | (37) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Mortgage Backed Securities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Insurance Contracts [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (4) | (24) | |
Significant Other Observable Inputs (Level 2) [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | (2,232) | (1,628) |
Significant Other Observable Inputs (Level 2) [Member] | Total liabilities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 3 | |
Significant Other Observable Inputs (Level 2) [Member] | Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 2 | |
Significant Other Observable Inputs (Level 2) [Member] | Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 1 | |
Significant Other Observable Inputs (Level 2) [Member] | Total plan assets [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [2] | (2,239) | (1,631) |
Significant Other Observable Inputs (Level 2) [Member] | Cash and Cash quivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (8) | (2) | |
Significant Other Observable Inputs (Level 2) [Member] | US Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | International Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (776) | (798) | |
Significant Other Observable Inputs (Level 2) [Member] | Treasuries, Other Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (1,411) | (793) | |
Significant Other Observable Inputs (Level 2) [Member] | Mortgage Backed Securities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (7) | (7) | |
Significant Other Observable Inputs (Level 2) [Member] | Insurance Contracts [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | (36) | (31) | |
Significant Other Observable Inputs (Level 2) [Member] | Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | $ (1) | $ 0 | |
[1] | Total net assets excludes non-financial plan receivables and payables of $25 million and $18 million, respectively, as of December 31, 2017 and $20 million and $10 million, respectively, as of December 31, 2016. Non-financial items include due to/from broker, interest receivables and accrued expenses. | ||
[2] | In accordance with ASU 2015-07 (Note 2), certain investments that are measured at fair value using the NAV per share practical expedient have not been classified in the fair value hierarchy. Total investments, at fair value, for the year ended December 31, 2017 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $727 million, $60 million and $96 million, respectively. Total investments, at fair value, for the year ended December 31, 2016 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $195 million, $134 million and $149 million, respectively. |
Benefit Obligations Benefit 126
Benefit Obligations Benefit Obligations (Schedule of Pension Contributions Expected to be Contributed to the Plans) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 23 |
Other Postretirement Benefits Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | 5 |
Supplemental Employee Retirement Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 21 |
Benefit Obligations (Schedul127
Benefit Obligations (Schedule of Pension Benefits Expected to be Paid from the Plans or From the Company's Assets) (Details) $ in Millions | Dec. 31, 2017USD ($) | |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2,018 | $ 235 | [1] |
2,019 | 233 | [1] |
2,020 | 231 | [1] |
2,021 | 227 | [1] |
2,022 | 224 | [1] |
2023-2027 | 1,090 | [1] |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2,018 | 5 | [2] |
2,019 | 5 | [2] |
2,020 | 4 | [2] |
2,021 | 4 | [2] |
2,022 | 4 | [2] |
2023-2027 | $ 18 | [2] |
[1] | Payments are expected to be made primarily from plan assets. | |
[2] | Payments are expected to be made primarily from Company assets. |
Benefit Obligations (Plan Asset
Benefit Obligations (Plan Assets Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 7.30% | 7.30% | 7.80% | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 23 | |||
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 5 | |||
Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual return on plan assets | 11.40% | |||
Expected return on plan assets | 7.50% | 7.50% | 8.00% | |
Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 5.90% | 6.10% | 6.00% | |
Scenario, Forecast [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 6.80% |
Environmental (Schedule of Envi
Environmental (Schedule of Environmental Remediation Reserves) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Environmental Remediation Obligations [Abstract] | ||
Demerger obligations (Note 24) | $ 28 | $ 18 |
Divestiture obligations (Note 24) | 17 | 16 |
Active sites | 15 | 16 |
US Superfund sites | 11 | 11 |
Other environmental remediation reserves | 2 | 3 |
Total | $ 73 | $ 64 |
Environmental (Remediation Narr
Environmental (Remediation Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Spondon, UK, Former Owner [Member] | Consumer Specialties [Member] | ||
Environmental Disclosure [Line Items] | ||
Environmental insurance recoveries receivable | $ 3 | $ 2 |
Environmental (Schedule of E131
Environmental (Schedule of Environmental Ownership and Liability Percentages) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Environmental Disclosure [Line Items] | |||
Reserves | $ 73 | $ 64 | |
InfraServ GmbH & Co. Gendorf KG [Member] | |||
Environmental Disclosure [Line Items] | |||
Ownership percentage | 39.00% | ||
Liability percentage | 10.00% | ||
Reserves | [1] | $ 9 | |
InfraServ Gmbh & Co. Hoechst KG [Member] | |||
Environmental Disclosure [Line Items] | |||
Ownership percentage | 32.00% | ||
Liability percentage | 40.00% | ||
Reserves | [1] | $ 71 | |
InfraServ GmbH & Co. Knapsack KG [Member] | |||
Environmental Disclosure [Line Items] | |||
Ownership percentage | 27.00% | ||
Liability percentage | 22.00% | ||
Reserves | [1] | $ 1 | |
[1] | Gross reserves maintained by the respective InfraServ entity. |
Environmental (German Infraserv
Environmental (German Infraservs Narrative) (Details) | Dec. 31, 2017 |
Environmental Remediation Obligations [Abstract] | |
Demerger obligations indemnification percentage | 66.66% |
Other demerger obligations indemnification percentage | 66.66% |
Environmental Environmental (US
Environmental Environmental (US Superfund Sites Narrative) (Details) - Passaic River, New Jersey [Member] $ in Billions | Mar. 03, 2016USD ($) | Dec. 31, 2017 |
Site Contingency [Line Items] | ||
Number of Parties included in USEPA order | 70 | |
EPA Estimated Cost | $ 1.4 | |
Environmental Liability Percentage | 1.00% |
Stockholders' Equity (Schedule
Stockholders' Equity (Schedule of Dividend Increases) (Details) - $ / shares | 1 Months Ended | ||
Apr. 30, 2017 | Apr. 30, 2016 | Apr. 30, 2015 | |
Schedule of Dividend Increases [Line Items] | |||
Percent increase in common stock dividend | 28.00% | 20.00% | 20.00% |
Common Stock, Dividends, Per Share, Board Increase Announcement, Quarterly | $ 0.46 | $ 0.36 | $ 0.30 |
Common stock, Dividends, Per Share, Board Increase Announcement, Annual | $ 1.84 | $ 1.44 | $ 1.20 |
Stockholders' Equity (Schedu135
Stockholders' Equity (Schedule of Treasury Stock) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | 119 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | |||
Class of Stock [Line Items] | ||||||
Share repurchase plan, authorized repurchase amount | [1] | $ 3,866 | $ 3,866 | |||
Shares repurchased | 5,436,803 | 7,034,420 | 6,640,601 | [2] | 39,779,019 | |
Average purchase price per share | $ 91.97 | $ 71.08 | $ 63.31 | $ 58.71 | ||
Amount spent on repurchased shares (in millions) | $ 500 | $ 500 | $ 420 | $ 2,335 | ||
Aggregate Board of Directors repurchase authorizations during the period | [1] | $ 1,500 | $ 0 | $ 1,000 | ||
Restricted Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares withheld, tax withholding | 9,264 | |||||
[1] | These authorizations give management discretion in determining the timing and conditions under which shares may be repurchased. This repurchase program began in February 2008 and does not have an expiration date. | |||||
[2] | The year ended December 31, 2015 excludes 9,264 shares withheld from an executive officer to cover statutory minimum withholding requirements for personal income taxes related to the vesting of restricted stock. Restricted stock awards are considered outstanding at the time of issuance. Accordingly, the shares withheld are treated as treasury shares. |
Stockholders' Equity (Schedu136
Stockholders' Equity (Schedule of Components of Other Comprehensive Income (Loss), Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Comprehensive Income (Loss) [Line Items] | |||
Unrealized gain (loss) on marketable securities, gross amount | $ 0 | $ 0 | $ 0 |
Unrealized gain (loss) on marketable securities, income tax (provision) benefit | (1) | 0 | 0 |
Unrealized gain (loss) on marketable securities, net amount | (1) | 0 | 0 |
Foreign currency translation, gross amount | 162 | (22) | (193) |
Foreign currency translation, income tax (provision) benefit | 12 | 11 | 5 |
Foreign currency translation, net amount | 174 | (11) | (188) |
Gain (loss) on cash flow hedges, gross amount | 0 | 5 | 3 |
Gain (loss) on cash flow hedges, income tax (provision) benefit | (1) | 0 | (1) |
Gain (loss) on cash flow hedges, net amount | (1) | 5 | 2 |
Pension and postretirement benefits, gross amount | 7 | (5) | 4 |
Pension and postretirement benefits, income tax (provision) benefit | 2 | 1 | (1) |
Pension and postretirement benefits, net amount | 9 | (4) | 3 |
Total other comprehensive income (loss), gross amount | 169 | (22) | (186) |
Total other comprehensive income (loss), income tax (provision) benefit | 12 | 12 | 3 |
Total other comprehensive income (loss), net of tax | $ 181 | $ (10) | $ (183) |
Stockholders' Equity (Schedu137
Stockholders' Equity (Schedule of Adjustments to Accumulated Other Comprehensive Income (Loss), Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | $ (358) | $ (348) | $ (165) |
Other comprehensive income (loss) before reclassifications | 174 | (18) | (189) |
Amounts reclassified from accumulated other comprehensive income (loss) | (5) | (4) | 3 |
Income tax (provision) benefit | 12 | 12 | 3 |
Balance as of the end of the period | (177) | (358) | (348) |
Unrealized Gain (Loss) on Marketable Securities [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | 1 | 1 | 1 |
Other comprehensive income (loss) before reclassifications | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 |
Income tax (provision) benefit | (1) | 0 | 0 |
Balance as of the end of the period | 0 | 1 | 1 |
Foreign Currency Translation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | (350) | (339) | (151) |
Other comprehensive income (loss) before reclassifications | 162 | (22) | (193) |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 |
Income tax (provision) benefit | 12 | 11 | 5 |
Balance as of the end of the period | (176) | (350) | (339) |
Gain (Loss) from Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | 3 | (2) | (4) |
Other comprehensive income (loss) before reclassifications | 4 | 7 | (2) |
Amounts reclassified from accumulated other comprehensive income (loss) | (4) | (2) | 5 |
Income tax (provision) benefit | (1) | 0 | (1) |
Balance as of the end of the period | 2 | 3 | (2) |
Pension and Postretirement Benefits [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | (12) | (8) | (11) |
Other comprehensive income (loss) before reclassifications | 8 | (3) | 6 |
Amounts reclassified from accumulated other comprehensive income (loss) | (1) | (2) | (2) |
Income tax (provision) benefit | 2 | 1 | (1) |
Balance as of the end of the period | $ (3) | $ (12) | $ (8) |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - Subsequent Event [Member] $ / shares in Units, $ in Millions | Feb. 08, 2018USD ($)$ / shares |
Equity, Class of Treasury Stock [Line Items] | |
Quarterly cash dividend per share | $ / shares | $ 0.46 |
Cash dividend | $ | $ 62 |
Other (Charges) Gains, Net (Sch
Other (Charges) Gains, Net (Schedule of Other (Charges) Gains, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||||
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment of equity method investment | $ 4 | $ 0 | $ 0 | |||
Other plant/office closures | (52) | 0 | 0 | |||
Asset impairments | 0 | (2) | (126) | |||
Employee termination benefits (Note 4)(1) | (4) | [1] | (11) | [1] | (53) | |
Other (charges) gains, net | (60) | (11) | (351) | |||
Singapore contract termination | 0 | 0 | (174) | |||
Commercial disputes | 0 | 2 | $ 2 | |||
Acetyl Intermediates [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other plant/office closures | (51) | |||||
Acetyl Intermediates [Member] | Contract Termination [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other plant/office closures | (22) | |||||
Acetyl Intermediates [Member] | Non-income tax receivable adjustment [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other plant/office closures | (21) | |||||
Pension Plan [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Special Termination Benefits recorded in Benefit Obligations | $ 1 | $ 3 | ||||
InfraServ GmbH & Co. Knapsack KG [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Equity Method Investment, Ownership Percentage | 27.00% | |||||
InfraServ GmbH & Co. Knapsack KG [Member] | Other Activities [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Equity Method Investment, Ownership Percentage | [2],[3] | 27.00% | 27.00% | |||
InfraServ GmbH & Co. Gendorf KG [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Equity Method Investment, Ownership Percentage | 39.00% | |||||
InfraServ GmbH & Co. Gendorf KG [Member] | Other Activities [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Equity Method Investment, Ownership Percentage | [2],[3] | 39.00% | 39.00% | |||
InfraServ GmbH & Co. Knapsack KG and InfraServ GmbH & Co. Gendorf KG [Member] | Other Activities [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment of equity method investment | $ 4 | |||||
[1] | Includes $1 million and $3 million of special termination benefits included in Benefit obligations in the consolidated balance sheet as of December 31, 2017 and 2016, respectively. | |||||
[2] | InfraServ real estate service companies ("InfraServ Entities") own and operate sites in Frankfurt am Main-Hoechst, Gendorf and Knapsack, Germany. The InfraServ Entities were created to own land and property and to provide various technical and administrative services at these manufacturing locations. | |||||
[3] | See Note 29 for further information. |
Other (Charges) Gains, Net (140
Other (Charges) Gains, Net (Schedule of Restructuring Reserves) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | $ 5 | |
Total | 5 | |
Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 16 | $ 30 |
Additions | 4 | 10 |
Cash payments | (8) | (21) |
Other changes | (9) | (2) |
Exchange rate changes | 0 | (1) |
Reserve as of the end of the period | 3 | 16 |
Total | 16 | 30 |
Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 29 | 0 |
Cash payments | (24) | 0 |
Other changes | (3) | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 2 | 0 |
Total | 0 | 0 |
Advanced Engineered Materials [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | 1 | |
Total | 1 | |
Advanced Engineered Materials [Member] | Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 1 | 3 |
Additions | 1 | 2 |
Cash payments | (1) | (3) |
Other changes | 0 | (1) |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 1 | 1 |
Total | 1 | 3 |
Advanced Engineered Materials [Member] | Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 0 | 0 |
Cash payments | 0 | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | 0 | 0 |
Consumer Specialties [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | 0 | |
Total | 0 | |
Consumer Specialties [Member] | Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 9 | 14 |
Additions | 2 | 2 |
Cash payments | (3) | (6) |
Other changes | (8) | 0 |
Exchange rate changes | 0 | (1) |
Reserve as of the end of the period | 0 | 9 |
Total | 9 | 14 |
Consumer Specialties [Member] | Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 0 | 0 |
Cash payments | 0 | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | 0 | 0 |
Industrial Specialties [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | 0 | |
Total | 0 | |
Industrial Specialties [Member] | Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 2 | 6 |
Additions | 0 | 2 |
Cash payments | (2) | (6) |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 2 |
Total | 2 | 6 |
Industrial Specialties [Member] | Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 0 | 0 |
Cash payments | 0 | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | 0 | 0 |
Acetyl Intermediates [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | 3 | |
Total | 3 | |
Acetyl Intermediates [Member] | Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 1 | 1 |
Additions | 0 | 1 |
Cash payments | 0 | (1) |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 1 | 1 |
Total | 1 | 1 |
Acetyl Intermediates [Member] | Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 29 | 0 |
Cash payments | (24) | 0 |
Other changes | (3) | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 2 | 0 |
Total | 0 | 0 |
Other [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the end of the period | 1 | |
Total | 1 | |
Other [Member] | Employee Termination Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 3 | 6 |
Additions | 1 | 3 |
Cash payments | (2) | (5) |
Other changes | (1) | (1) |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 1 | 3 |
Total | 3 | 6 |
Other [Member] | Plant/Office Closures [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 0 | 0 |
Cash payments | 0 | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | $ 0 | $ 0 |
Other (Charges) Gains, Net (Nar
Other (Charges) Gains, Net (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 01, 2015 | |||
Other (Charges) Gains, Net [Line Items] | ||||||||
Commercial disputes | $ 0 | $ 2 | $ 2 | |||||
Employee termination benefits | (4) | [1] | (11) | [1] | (53) | |||
Asset impairments | 0 | (2) | (126) | |||||
Singapore contract termination | 0 | 0 | (174) | |||||
Employee Termination Benefits [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Employee termination benefits | (11) | (21) | ||||||
Lanaken, Belgium | Consumer Specialties [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Employee termination benefits | $ (24) | |||||||
Capacity Reduction Percentage | 50.00% | 50.00% | 50.00% | 50.00% | ||||
Meredosia, IL [Member] | Industrial Specialties [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Employee termination benefits | $ (1) | |||||||
Asset impairments | (1) | |||||||
Nanjing, China [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Asset impairments | (123) | |||||||
Nanjing, China [Member] | Acetyl Intermediates [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Asset impairments | $ (123) | |||||||
SINGAPORE | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Singapore contract termination | (174) | |||||||
SINGAPORE | Acetyl Intermediates [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Singapore contract termination | $ (174) | |||||||
Tarragona, Spain [Member] | Industrial Specialties [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Employee termination benefits | (6) | |||||||
Asset impairments | $ (1) | |||||||
Pension Plan [Member] | ||||||||
Other (Charges) Gains, Net [Line Items] | ||||||||
Special Termination Benefits recorded in Benefit Obligations | $ 1 | $ 3 | ||||||
[1] | Includes $1 million and $3 million of special termination benefits included in Benefit obligations in the consolidated balance sheet as of December 31, 2017 and 2016, respectively. |
Income Taxes (Schedule of Earni
Income Taxes (Schedule of Earnings (Loss) from Continuing Operations Before Tax by Jurisdiction) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
US | $ 262 | $ 326 | $ 231 |
International | 813 | 704 | 257 |
Earnings (loss) from continuing operations before tax | $ 1,075 | $ 1,030 | $ 488 |
Effective income tax rate | 20.00% | 12.00% | 41.00% |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax Provision (Benefit)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||
US | $ 201 | $ (22) | $ 28 |
International | 158 | 60 | 152 |
Total | 359 | 38 | 180 |
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||
US | (110) | 108 | 54 |
International | (36) | (24) | (33) |
Total | (146) | 84 | 21 |
Income tax provision (benefit) | $ 213 | $ 122 | $ 201 |
Income Taxes Income Taxes (Sche
Income Taxes Income Taxes (Schedule of Effective Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Line Items] | |||
Income tax provision computed at US federal statutory tax rate | $ 376 | $ 361 | $ 171 |
Change in valuation allowance | 218 | (18) | 124 |
Equity income and dividends | (87) | (60) | (33) |
(Income) expense not resulting in tax impact, net | (157) | (152) | (32) |
US tax effect of foreign earnings and dividends | 521 | 302 | 15 |
Foreign tax credits | (759) | (293) | (4) |
Other foreign tax rate differentials | (38) | (48) | (47) |
Legislative changes | 116 | 4 | 9 |
State income taxes, net of federal benefit | 12 | 8 | 6 |
Other, net | 11 | 18 | (8) |
Income tax provision (benefit) | $ 213 | $ 122 | $ 201 |
Effective income tax rate | 20.00% | 12.00% | 41.00% |
Income Taxes (Income Tax Provis
Income Taxes (Income Tax Provision Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Tax Credit Carryforward [Line Items] | |||||
Plant Office Closures | $ 52 | $ 0 | $ 0 | ||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 6 | 55 | 33 | ||
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | 29 | ||||
Asset impairments | 0 | (2) | (126) | ||
Singapore contract termination | 0 | $ 0 | $ (174) | ||
Tax Credit Carryforward, Amount | 240 | ||||
Tax Credit Carryforward, Valuation Allowance | 164 | ||||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Transition Tax for Accumulated Foreign Earnings, Provisional Income Tax Expense (Benefit) | 370 | ||||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Transition Tax for Accumulated Foreign Earnings, Provisional Income Tax Expense (Benefit) Net | 197 | ||||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Change in Tax Rate, Deferred Tax Liability, Provisional Income Tax (Expense) Benefit | 107 | ||||
Accumulated but undistributed earnings permanently reinvested in business | $ 3,000 | ||||
Effective income tax rate | 20.00% | 12.00% | 41.00% | ||
SINGAPORE | |||||
Tax Credit Carryforward [Line Items] | |||||
Singapore contract termination | $ (174) | ||||
Nanjing, China [Member] | |||||
Tax Credit Carryforward [Line Items] | |||||
Asset impairments | $ (123) | ||||
Acetyl Intermediates [Member] | |||||
Tax Credit Carryforward [Line Items] | |||||
Plant Office Closures | $ 51 | ||||
Acetyl Intermediates [Member] | SINGAPORE | |||||
Tax Credit Carryforward [Line Items] | |||||
Singapore contract termination | $ (174) | ||||
Acetyl Intermediates [Member] | Nanjing, China [Member] | |||||
Tax Credit Carryforward [Line Items] | |||||
Asset impairments | $ (123) |
Income Taxes (Schedule of Conso
Income Taxes (Schedule of Consolidated Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Income Tax Disclosure [Abstract] | |||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 316 | ||
Deferred Tax Assets | |||
Pension and postretirement obligations | [1] | 143 | $ 313 |
Accrued expenses | 50 | 61 | |
Inventory | 10 | 11 | |
Net operating loss | 703 | 661 | |
Tax credit carryforwards | [2] | 478 | 136 |
Other | 192 | 161 | |
Subtotal | 1,576 | 1,343 | |
Valuation allowance | [3] | (618) | (386) |
Total | 958 | 957 | |
Deferred Tax Liabilities | |||
Depreciation and amortization | 307 | 366 | |
Investments in affiliates | 427 | 475 | |
Other | 69 | 87 | |
Total | 803 | 928 | |
Net deferred tax assets (liabilities) | $ 155 | $ 29 | |
[1] | For the year ended December 31, 2017, the pension and postretirement obligations decreased primarily due to $316 million in employer contributions made to the US defined benefit plans (Note 15). | ||
[2] | For the year ended December 31, 2017, the tax credit carryforwards increased primarily due to internal reorganization transactions made in preparation for the proposed acetate tow joint venture with Blackstone discussed herein and Note 4. | ||
[3] | Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, Singapore, the United Kingdom, Canada and France. These valuation allowances relate primarily to net operating loss carryforward benefits and other net deferred tax assets, all of which may not be realizable. For the year ended December 31, 2017, the valuation allowance increased primarily due to the impact of the TCJA on excess foreign tax credits. |
Income Taxes (Net Operating Los
Income Taxes (Net Operating Loss Carryforwards and Tax Credit Carryforwards Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Operating Loss Carryforwards [Line Items] | |
Tax Credit Carryforward, Amount | $ 452 |
Tax Credit Carryforward, Valuation Allowance | 164 |
Alternative Minimum Tax Credit Carryforwards, Before Tax | $ 21 |
Tax Credit Carryforward, Expiration Date | Dec. 31, 2027 |
US Federal [Member] | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | $ 35 |
State [Member] | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | 42 |
Valuation allowance offset for State net operating loss carryforwards due to uncertain recoverability | 38 |
Foreign Tax Authority [Member] | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | 2,600 |
CHINA | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | $ 473 |
Minimum [Member] | US Federal [Member] | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforward expiration | Dec. 31, 2021 |
Minimum [Member] | CHINA | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforward expiration | Dec. 31, 2018 |
Maximum [Member] | CHINA | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforward expiration | Dec. 31, 2022 |
Income Taxes (Schedule of Recon
Income Taxes (Schedule of Reconciliation of Unrecognized Tax Benefits Included in Uncertain Tax Positions) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||||
Income Tax Contingency [Line Items] | |||||||||
Unrecognized Tax Benefits | $ 114 | $ 158 | $ 228 | $ 119 | $ 114 | $ 158 | |||
As of the beginning of the year | 114 | 158 | 228 | ||||||
Increases in tax positions for the current year | 14 | 9 | 13 | ||||||
Increases in tax positions for prior years(1) | 4 | [1] | 11 | 76 | |||||
Decreases in tax positions for prior years | (7) | (9) | (126) | ||||||
Decreases due to settlements | (6) | (55) | (33) | ||||||
As of the end of the year | 119 | 114 | 158 | ||||||
Total uncertain tax positions that if recognized would impact the effective tax rate | 100 | 87 | 144 | ||||||
Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations(2) | 6 | (16) | [2] | (12) | [2] | ||||
Total amount of interest expense and penalties recognized in the consolidated balance sheets | 38 | $ 26 | $ 43 | ||||||
Decreases in interest and penalties due to settlements | $ (1) | $ (12) | |||||||
Nilit [Member] | |||||||||
Income Tax Contingency [Line Items] | |||||||||
Unrecognized Tax Benefits | 4 | $ 4 | |||||||
As of the end of the year | $ 4 | ||||||||
[1] | Includes uncertain tax positions related to the Nilit acquisition (Note 4) of $4 million for the year ended December 31, 2017. | ||||||||
[2] | This amount reflects interest on uncertain tax positions and release of certain tax positions as a result of audit closure that was reflected in the consolidated statements of operations. In addition, for the years ended December 31, 2016 and 2015, the Company also paid an additional $1 million and $12 million, respectively, of previously accrued amounts due to settlements of tax examinations. |
Income Taxes (Uncertain Tax Pos
Income Taxes (Uncertain Tax Positions Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Jan. 31, 2018 | |
Income Tax Examination [Line Items] | ||
Income Tax Examination, pre-tax adjustments proposed | $ 192 | |
Income Tax Examination, Estimate of Possible Loss | $ 136 | |
Subsequent Event [Member] | ||
Income Tax Examination [Line Items] | ||
Income Tax Examination, pre-tax adjustments proposed | $ 198 |
Management Compensation Plan150
Management Compensation Plans (Schedule of Total Shares Available for and Subject to Awards) (Details) - Global Incentive Plan 2009 [Member] | Dec. 31, 2017shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Available for Awards | 5,663,628 |
Shares Subject to Outstanding Awards | 1,701,713 |
Management Compensation Plan151
Management Compensation Plans (Schedule of Realized Income Tax Benefits from Stock Option Exercises and RSU Vestings) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Employee Service Share-based Compensation, Tax Benefit from Exercise of Stock Options | $ 9 | $ 7 | $ 2 |
Management Compensation Plan152
Management Compensation Plans (Schedule of Summary of Changes in Performance-based RSUs Outstanding) (Details) - Performance Shares [Member] shares in Thousands | 12 Months Ended | |
Dec. 31, 2017$ / sharesshares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
As of beginning of period, number of units | shares | 1,085 | |
Vested, number of units | shares | (527) | |
Canceled, number of units | shares | (150) | |
Forfeited, number of units | shares | (87) | |
As of end of period, number of units | shares | 860 | |
As of beginning of period, weighted average fair value | $ / shares | $ 53.36 | |
Vested, weighted average fair value | $ / shares | 49.36 | |
Canceled, weighted average fair value | $ / shares | 53.21 | |
Forfeited, weighted average fair value | $ / shares | 62.36 | |
As of end of period, weighted average fair value | $ / shares | $ 64.71 | |
2015 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of units | shares | 314 | |
Granted, weighted average fair value | $ / shares | $ 83.52 | |
2013 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of units | shares | 225 | [1] |
Granted, weighted average fair value | $ / shares | $ 48.70 | [1] |
[1] | Represents additional performance-based RSU grants in 2014 that were awarded in 2017 as a result of achieving internal profitability targets. |
Management Compensation Plan153
Management Compensation Plans (Schedule of Fair Value of Shares Vested for Performance-based RSUs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total | $ 42 | $ 64 | $ 27 |
Management Compensation Plan154
Management Compensation Plans (Schedule of Summary of Changes in Time-based RSUs Outstanding) (Details) - Employee [Member] - Time Restricted Stock Units (RSUs) [Member] shares in Thousands | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
As of beginning of period, number of units | shares | 344 |
Granted, number of units | shares | 159 |
Vested, number of units | shares | (123) |
Forfeited, number of units | shares | (29) |
As of end of period, number of units | shares | 351 |
As of beginning of period, weighted average fair value | $ / shares | $ 67.42 |
Granted, weighted average fair value | $ / shares | 86.20 |
Vested, weighted average fair value | $ / shares | 67.78 |
Forfeited, weighted average fair value | $ / shares | 68.29 |
As of end of period, weighted average fair value | $ / shares | $ 75.75 |
Management Compensation Plan155
Management Compensation Plans (Schedule of Fair Value of Shares Vested for Time-based RSUs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Time Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total | $ 12 | $ 4 | $ 6 |
Management Compensation Plan156
Management Compensation Plans (Restricted Stock Units Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Performance Restricted and Time Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized compensation expense | $ 52 |
Weighted average term to recognize compensation expense | 2 years |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Range of number of shares that will vest | zero to stretch |
Director [Member] | Time Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 1 year |
Employee [Member] | Time Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Leases (Schedule of Future Mini
Leases (Schedule of Future Minimum Lease Payments for Capital Leases) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Leases [Abstract] | |
2,018 | $ 53 |
2,019 | 46 |
2,020 | 45 |
2,021 | 44 |
2,022 | 33 |
Later years | 114 |
Sublease income | 0 |
Minimum lease commitments | 335 |
Less amounts representing interest | (127) |
Present value of net minimum lease obligations | $ 208 |
Leases (Schedule of Future M158
Leases (Schedule of Future Minimum Rental Payments for Operating Leases) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Leases [Abstract] | |
2,018 | $ 54 |
2,019 | 47 |
2,020 | 37 |
2,021 | 28 |
2,022 | 22 |
Later years | 155 |
Sublease income | 0 |
Minimum lease commitments | $ 343 |
Leases (Schedule of Rent Expens
Leases (Schedule of Rent Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Leases [Abstract] | |||
Total | $ 159 | $ 154 | $ 154 |
Derivative Financial Instrum160
Derivative Financial Instruments Derivative Financial Instruments (Schedule of Cross Currency Swaps) (Details) - 1 months ended Mar. 31, 2015 € in Millions, $ in Millions | USD ($) | EUR (€) |
Swap Derivative 4 Point 27 Percent Maturing September 11, 2020 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | $ 250 | |
Swap Derivative 2 Point 63 Percent Maturing September 11, 2020 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | € | € 193 | |
Swap Derivative 3 Point 62 Percent Maturing April 17, 2019 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | € | € 162 | |
Swap Derivative 2 Point 77 Percent Maturing April 17, 2019 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 225 | |
Cross-currency swaps | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Cash Received on Hedge | $ 88 |
Derivative Financial Instrum161
Derivative Financial Instruments (Schedule of Notional Amounts of Net Foreign Exchange Exposure by Currency) (Details) - Foreign Exchange Contract [Member] $ in Millions | Dec. 31, 2017USD ($) |
Derivative [Line Items] | |
Total | $ (28) |
Brazilian Real [Member] | |
Derivative [Line Items] | |
Total | (13) |
British Pound Sterling [Member] | |
Derivative [Line Items] | |
Total | (93) |
Canadian Dollar [Member] | |
Derivative [Line Items] | |
Total | 36 |
Euro [Member] | |
Derivative [Line Items] | |
Total | (6) |
Hungarian Forint [Member] | |
Derivative [Line Items] | |
Total | 10 |
Indonesia, Rupiahs | |
Derivative [Line Items] | |
Total | (4) |
Korea (South), Won | |
Derivative [Line Items] | |
Total | 10 |
Singapore Dollar [Member] | |
Derivative [Line Items] | |
Total | $ 32 |
Derivative Financial Instrum162
Derivative Financial Instruments (Schedule of Notional Amounts of Foreign Currency Derivatives) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Total | $ 740 | $ 508 |
Derivative Financial Instrum163
Derivative Financial Instruments (Schedule of Interest Rate Swap Activity Recorded in the Consolidated Financial Statements) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cost of Goods and Services Sold | $ 4,625 | $ 3,984 | $ 4,356 |
Designated as Hedging Instrument [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cost of Goods and Services Sold | 4 | 2 | 2 |
Ineffective portion - Other income (expense), net | $ 0 | $ 0 | $ 0 |
Derivative Financial Instrum164
Derivative Financial Instruments (Schedule of Changes in Fair Value of Derivatives) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Commodity [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | $ 4 | $ 7 | $ 0 |
Commodity [Member] | Cost of Sales [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 5 | 2 | 0 |
Foreign currency forwards and swaps | |||
Derivative [Line Items] | |||
Notional Value | 740 | 508 | |
Foreign currency forwards and swaps | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | (1) | 0 | |
Foreign currency forwards and swaps | Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 0 | 0 |
Foreign currency forwards and swaps | Cost of Sales [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | (1) | 0 | 0 |
Foreign currency forwards and swaps | Foreign Currency Gain (Loss) [Member] | Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 2 | 14 | (82) |
Foreign currency forwards and swaps | Net Investment Hedging [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 2 | 0 | 0 |
Amount of Ineffectiveness on Net Investment Hedges | 0 | 0 | 0 |
Interest rate swaps | Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 0 | 0 |
Interest rate swaps | Interest Expense [Member] | Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 0 | 0 | (1) |
Cross-currency swaps | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 0 | 0 |
Cross-currency swaps | Foreign Currency Gain (Loss) [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 0 | 0 | 46 |
Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 3 | 7 | 0 |
Gain (loss) recognized in Earnings (loss) | 4 | 2 | 46 |
Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 0 | 0 |
Gain (loss) recognized in Earnings (loss) | 2 | 14 | (83) |
Foreign Currency Denominated Debt [Member] | Net Investment Hedging [Member] | |||
Derivative [Line Items] | |||
Gain (Loss) On Non-Derivative Used In Net Investment Hedge | (119) | 61 | 48 |
Amount of Ineffectiveness on Net Investment Hedges | 0 | 0 | 0 |
Term C-2 and C-3 Loan Facilities [Member] | Net Investment Hedging [Member] | |||
Derivative [Line Items] | |||
Gain (Loss) On Non-Derivative Used In Net Investment Hedge | $ (117) | $ 61 | $ 48 |
Derivative Financial Instrum165
Derivative Financial Instruments (Schedule of Offsetting Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Asset [Abstract] | ||
Gross amount recognized | $ 13 | $ 14 |
Gross amount offset in the consolidated balance sheets | 4 | 4 |
Net amount presented in the consolidated balance sheets | 9 | 10 |
Gross amount not offset in the consolidated balance sheets | 3 | 2 |
Net amount | $ 6 | $ 8 |
Derivative Financial Instrum166
Derivative Financial Instruments (Schedule of Offsetting Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Liability [Abstract] | ||
Gross amount recognized | $ 7 | $ 7 |
Gross amount offset in the consolidated balance sheets | 4 | 4 |
Net amount presented in the consolidated balance sheets | 3 | 3 |
Gross amount not offset in the consolidated balance sheets | 3 | 2 |
Net amount | $ 0 | $ 1 |
Derivative Financial Instrum167
Derivative Financial Instruments (Narrative) (Details) - 1 months ended Mar. 31, 2015 € in Millions, $ in Millions | USD ($) | EUR (€) |
Swap Derivative 4 Point 27 Percent Maturing September 11, 2020 [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 250 | |
Swap Derivative 2 Point 63 Percent Maturing September 11, 2020 [Member] | ||
Derivative [Line Items] | ||
Notional Value | € | € 193 | |
Swap Derivative 2 Point 77 Percent Maturing April 17, 2019 [Member] | ||
Derivative [Line Items] | ||
Notional Value | 225 | |
Swap Derivative 3 Point 62 Percent Maturing April 17, 2019 [Member] | ||
Derivative [Line Items] | ||
Notional Value | € | € 162 | |
Cross-currency swaps | ||
Derivative [Line Items] | ||
Derivative, Cash Received on Hedge | $ 88 |
Derivative Financial Instrum168
Derivative Financial Instruments Schedule of Notional Amounts of Net Investment Hedges (Details) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Net Investment Hedging [Member] | Foreign Currency Denominated Debt [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Amount of Nonderivative Instruments | € 1,050 | € 850 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | $ 6 | $ 8 |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 9 | 10 |
Total liabilities | (3) | (3) |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 9 | 10 |
Total liabilities | (3) | (3) |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | (3) | (3) |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | 0 | 0 |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | (3) | (3) |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 2 | 5 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 0 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 2 | 5 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | 5 | 5 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | 0 | 0 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Derivatives Not Designated as Hedges [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | 5 | 5 |
Other Noncurrent Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 2 | 0 |
Other Noncurrent Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 0 |
Other Noncurrent Assets [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | $ 2 | $ 0 |
Fair Value Measurements (Sch170
Fair Value Measurements (Schedule of Carrying Values and Fair Values of Financial Instruments) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cost investments, carrying amount | $ 159 | $ 155 |
Cost investments, fair value | 0 | 0 |
Insurance contracts in nonqualified pension trusts, carrying amount | 42 | 49 |
Insurance contracts in nonqualified pension trusts, fair value | 42 | 49 |
Long-term debt, including current installments of long-term debt, carrying amount | 3,398 | 2,938 |
Long-term debt, including current installments of long-term debt, fair value | 3,507 | 3,043 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cost investments, fair value | 0 | 0 |
Insurance contracts in nonqualified pension trusts, fair value | 42 | 49 |
Long-term debt, including current installments of long-term debt, fair value | 3,299 | 2,826 |
Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cost investments, fair value | 0 | 0 |
Insurance contracts in nonqualified pension trusts, fair value | 0 | 0 |
Long-term debt, including current installments of long-term debt, fair value | $ 208 | $ 217 |
Commitments and Contingencies (
Commitments and Contingencies (Guarantees - Demerger and Divesture Obligations Narrative) (Details) € in Millions, $ in Millions | 12 Months Ended | 218 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2017EUR (€) | |
Indemnification Agreements Hoechst [Member] | |||
Loss Contingencies [Line Items] | |||
Number of divestiture agreements | 19 | 19 | 19 |
Indemnification floor amount | € | € 250 | ||
Indemnification ceiling amount | € | € 750 | ||
Indemnification percentage exceeding ceiling amount | 33.33% | 33.33% | 33.33% |
Loss contingency accrual, carrying value, payments | $ | $ 80 | ||
Indemnification percentage, other | 33.33% | 33.33% | 33.33% |
Divestiture Agreements [Member] | |||
Loss Contingencies [Line Items] | |||
Divestiture obligations range, years | 2,037 | ||
Guarantee obligations, maximum exposure | $ | $ 122 | $ 122 |
Commitments and Contingencie172
Commitments and Contingencies (Purchase Obligations Narrative) (Details) $ in Billions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Term of unrecorded unconditional purchase obligations | Dec. 31, 2036 |
Unrecorded unconditional purchase obligations | $ 1.8 |
Supplemental Cash Flow Infor173
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Supplemental Cash Flow Information [Abstract] | |||
Interest paid, net of amounts capitalized | $ 130 | $ 130 | $ 120 |
Taxes paid, net of refunds | 123 | 129 | 151 |
Noncash Investing and Financing Activities | |||
Accrued capital expenditures | 14 | 1 | (37) |
Asset retirement obligations | 2 | 2 | 3 |
Capital lease obligations | 0 | 0 | 6 |
Fair value adjustment to securities available for sale, net of tax | (1) | 0 | |
Distribution to noncontrolling interests (Note 5) | $ 0 | $ 0 | $ (4) |
Segment Information (Schedule o
Segment Information (Schedule of Business Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 6,140 | $ 5,389 | $ 5,674 | |
Other (charges) gains, net | (60) | (11) | (351) | |
Operating profit (loss) | 901 | 893 | 326 | |
Equity in net earnings (loss) of affiliates | 183 | 155 | 181 | |
Depreciation and amortization | 305 | 290 | 357 | |
Capital expenditures | [1] | 281 | 247 | 483 |
Goodwill and intangible assets, net | 1,304 | 990 | ||
Total assets | 9,538 | 8,357 | ||
Increase (decrease) in accrued capital expenditures | 14 | 1 | (37) | |
Operating Segments [Member] | Advanced Engineered Materials [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,096 | 1,444 | 1,326 | |
Other (charges) gains, net | (2) | (2) | (7) | |
Operating profit (loss) | 383 | 350 | 235 | |
Equity in net earnings (loss) of affiliates | 168 | 122 | 150 | |
Depreciation and amortization | 108 | 92 | 99 | |
Capital expenditures | 75 | 73 | 73 | |
Goodwill and intangible assets, net | 798 | 517 | ||
Total assets | 3,672 | 2,792 | ||
Operating Segments [Member] | Consumer Specialties [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [2] | 785 | 929 | 969 |
Other (charges) gains, net | (2) | (2) | (25) | |
Operating profit (loss) | 218 | 302 | 262 | |
Equity in net earnings (loss) of affiliates | 3 | 3 | 2 | |
Depreciation and amortization | 44 | 45 | 60 | |
Capital expenditures | 42 | 38 | 65 | |
Goodwill and intangible assets, net | 258 | 244 | ||
Total assets | 1,357 | 1,324 | ||
Operating Segments [Member] | Industrial Specialties [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [3] | 1,023 | 979 | 1,082 |
Other (charges) gains, net | 0 | (3) | (10) | |
Operating profit (loss) | 87 | 105 | 72 | |
Equity in net earnings (loss) of affiliates | 0 | 0 | 0 | |
Depreciation and amortization | 38 | 34 | 64 | |
Capital expenditures | 30 | 57 | 56 | |
Goodwill and intangible assets, net | 46 | 46 | ||
Total assets | 861 | 758 | ||
Operating Segments [Member] | Acetyl Intermediates [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [4] | 2,669 | 2,441 | 2,744 |
Other (charges) gains, net | (52) | (3) | (300) | |
Operating profit (loss) | 424 | 340 | (3) | |
Equity in net earnings (loss) of affiliates | 6 | 6 | 6 | |
Depreciation and amortization | 105 | 107 | 123 | |
Capital expenditures | 120 | 67 | 282 | |
Goodwill and intangible assets, net | 202 | 183 | ||
Total assets | 2,657 | 2,440 | ||
Corporate, Non-Segment [Member] | Other Activities [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | 0 | 0 | |
Other (charges) gains, net | (4) | (1) | (9) | |
Operating profit (loss) | (211) | (205) | (240) | |
Equity in net earnings (loss) of affiliates | 6 | 24 | 23 | |
Depreciation and amortization | 10 | 12 | 11 | |
Capital expenditures | 14 | 12 | 7 | |
Goodwill and intangible assets, net | 0 | 0 | ||
Total assets | 991 | 1,043 | ||
Intersegment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (433) | (404) | (447) | |
Other (charges) gains, net | 0 | 0 | 0 | |
Operating profit (loss) | 0 | 1 | 0 | |
Equity in net earnings (loss) of affiliates | 0 | 0 | 0 | |
Depreciation and amortization | 0 | 0 | 0 | |
Capital expenditures | 0 | 0 | 0 | |
Goodwill and intangible assets, net | 0 | 0 | ||
Total assets | 0 | 0 | ||
Intersegment [Member] | Consumer Specialties [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2 | 0 | 0 | |
Intersegment [Member] | Industrial Specialties [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 4 | 3 | 0 | |
Intersegment [Member] | Acetyl Intermediates [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 427 | $ 401 | $ 447 | |
[1] | Includes an increase in accrued capital expenditures of $14 million, an increase of $1 million and a decrease of $37 million for the years ended December 31, 2017, 2016 and 2015, respectively. | |||
[2] | Includes intersegment sales of $2 million, $0 million and $0 million for the year ended December 31, 2017, 2016 and 2015, respectively. | |||
[3] | Includes intersegment sales of $4 million, $3 million and $0 million for the years ended December 31, 2017, 2016 and 2015, respectively. | |||
[4] | Includes intersegment sales of $427 million, $401 million and $447 million for the years ended December 31, 2017, 2016 and 2015, respectively. |
Segment Information (Schedul175
Segment Information (Schedule of Geographical Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 6,140 | $ 5,389 | $ 5,674 |
Property, plant and equipment, net | 3,762 | 3,577 | |
BELGIUM | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 295 | 408 | 417 |
Property, plant and equipment, net | 57 | 55 | |
CANADA | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 92 | 123 | 162 |
Property, plant and equipment, net | 128 | 132 | |
CHINA | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 833 | 745 | 800 |
Property, plant and equipment, net | 363 | 359 | |
GERMANY | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,776 | 1,540 | 1,779 |
Property, plant and equipment, net | 979 | 868 | |
ITALY | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 259 | 13 | 0 |
Property, plant and equipment, net | 51 | 45 | |
MEXICO | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 257 | 214 | 204 |
Property, plant and equipment, net | 162 | 159 | |
SINGAPORE | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 867 | 758 | 703 |
Property, plant and equipment, net | 87 | 90 | |
UNITED STATES | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,572 | 1,451 | 1,463 |
Property, plant and equipment, net | 1,857 | 1,798 | |
Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 189 | 137 | $ 146 |
Property, plant and equipment, net | $ 78 | $ 71 |
Earnings (Loss) Per Share (Sche
Earnings (Loss) Per Share (Schedule of Earnings (Loss) Per Share) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Amounts attributable to Celanese Corporation | ||||
Earnings (loss) from continuing operations | $ 856 | $ 902 | $ 306 | |
Earnings (loss) from discontinued operations | (13) | (2) | (2) | |
Net earnings (loss) | $ 843 | $ 900 | $ 304 | |
Weighted average shares - basic | 137,902,667 | 144,939,433 | 150,838,050 | |
Incremental shares attributable to equity awards | [1] | 414,728 | 728,748 | 1,449,905 |
Weighted average shares - diluted | 138,317,395 | 145,668,181 | 152,287,955 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 29 | 836 | 2,903 | |
[1] | Excludes 29, 836 and 2,903 equity award shares for the years ended December 31, 2017, 2016 and 2015, respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Fina177
Consolidating Guarantor Financial Information (Schedule of Consolidating Statements of Operations) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | $ 6,140 | $ 5,389 | $ 5,674 |
Cost of sales | (4,625) | (3,984) | (4,356) |
Gross profit | 1,515 | 1,405 | 1,318 |
Selling, general and administrative expenses | (456) | (416) | (506) |
Amortization of intangible assets | (20) | (9) | (11) |
Research and development expenses | (72) | (78) | (119) |
Other (charges) gains, net | (60) | (11) | (351) |
Foreign exchange gain (loss), net | (1) | (1) | 4 |
Gain (loss) on disposition of businesses and assets, net | (5) | 3 | (9) |
Operating profit (loss) | 901 | 893 | 326 |
Equity in net earnings (loss) of affiliates | 183 | 155 | 181 |
Interest expense | (122) | (120) | (119) |
Refinancing expense | 0 | (6) | 0 |
Interest income | 2 | 2 | 1 |
Dividend income - cost investments | 108 | 108 | 107 |
Other income (expense), net | 3 | (2) | (8) |
Earnings (loss) from continuing operations before tax | 1,075 | 1,030 | 488 |
Income tax (provision) benefit | (213) | (122) | (201) |
Earnings (loss) from continuing operations | 862 | 908 | 287 |
Earnings (loss) from operation of discontinued operations | (16) | (3) | (3) |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 3 | 1 | 1 |
Earnings (loss) from discontinued operations | (13) | (2) | (2) |
Net earnings (loss) | 849 | 906 | 285 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Net earnings (loss) attributable to Celanese Corporation | 843 | 900 | 304 |
Parent Guarantor [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | 0 |
Amortization of intangible assets | 0 | 0 | 0 |
Research and development expenses | 0 | 0 | 0 |
Other (charges) gains, net | 0 | 0 | 0 |
Foreign exchange gain (loss), net | 0 | 0 | 0 |
Gain (loss) on disposition of businesses and assets, net | 0 | 0 | 0 |
Operating profit (loss) | 0 | 0 | 0 |
Equity in net earnings (loss) of affiliates | 843 | 898 | 302 |
Interest expense | 0 | 0 | 0 |
Refinancing expense | 0 | 0 | 0 |
Interest income | 0 | 0 | 0 |
Dividend income - cost investments | 0 | 0 | 0 |
Other income (expense), net | 0 | 0 | 0 |
Earnings (loss) from continuing operations before tax | 843 | 898 | 302 |
Income tax (provision) benefit | 0 | 2 | 2 |
Earnings (loss) from continuing operations | 843 | 900 | 304 |
Earnings (loss) from operation of discontinued operations | 0 | 0 | 0 |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 0 | 0 | 0 |
Earnings (loss) from discontinued operations | 0 | 0 | 0 |
Net earnings (loss) | 843 | 900 | 304 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 843 | 900 | 304 |
Issuer [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | 0 |
Amortization of intangible assets | 0 | 0 | 0 |
Research and development expenses | 0 | 0 | 0 |
Other (charges) gains, net | 0 | 0 | 0 |
Foreign exchange gain (loss), net | 0 | 0 | 0 |
Gain (loss) on disposition of businesses and assets, net | 0 | 0 | 0 |
Operating profit (loss) | 0 | 0 | 0 |
Equity in net earnings (loss) of affiliates | 867 | 939 | 314 |
Interest expense | (20) | (16) | (77) |
Refinancing expense | 0 | (4) | 0 |
Interest income | 25 | 12 | 18 |
Dividend income - cost investments | 0 | 0 | 0 |
Other income (expense), net | (3) | (1) | (2) |
Earnings (loss) from continuing operations before tax | 869 | 930 | 253 |
Income tax (provision) benefit | (26) | (32) | 49 |
Earnings (loss) from continuing operations | 843 | 898 | 302 |
Earnings (loss) from operation of discontinued operations | 0 | 0 | 0 |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 0 | 0 | 0 |
Earnings (loss) from discontinued operations | 0 | 0 | 0 |
Net earnings (loss) | 843 | 898 | 302 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 843 | 898 | 302 |
Subsidiary Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 2,240 | 2,162 | 2,410 |
Cost of sales | (1,717) | (1,657) | (1,729) |
Gross profit | 523 | 505 | 681 |
Selling, general and administrative expenses | (135) | (112) | (242) |
Amortization of intangible assets | (4) | (5) | (5) |
Research and development expenses | (31) | (32) | (78) |
Other (charges) gains, net | (7) | 0 | (5) |
Foreign exchange gain (loss), net | 0 | 0 | 0 |
Gain (loss) on disposition of businesses and assets, net | (8) | (8) | (6) |
Operating profit (loss) | 338 | 348 | 345 |
Equity in net earnings (loss) of affiliates | 591 | 653 | 84 |
Interest expense | (104) | (94) | (76) |
Refinancing expense | 0 | (2) | 0 |
Interest income | 4 | 4 | 40 |
Dividend income - cost investments | 0 | 0 | 0 |
Other income (expense), net | 2 | 1 | 2 |
Earnings (loss) from continuing operations before tax | 831 | 910 | 395 |
Income tax (provision) benefit | (62) | (53) | (133) |
Earnings (loss) from continuing operations | 769 | 857 | 262 |
Earnings (loss) from operation of discontinued operations | (2) | (2) | (3) |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 1 | 0 | 1 |
Earnings (loss) from discontinued operations | (1) | (2) | (2) |
Net earnings (loss) | 768 | 855 | 260 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 768 | 855 | 260 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 5,013 | 4,322 | 4,485 |
Cost of sales | (4,016) | (3,428) | (3,897) |
Gross profit | 997 | 894 | 588 |
Selling, general and administrative expenses | (321) | (304) | (264) |
Amortization of intangible assets | (16) | (4) | (6) |
Research and development expenses | (41) | (46) | (41) |
Other (charges) gains, net | (53) | (11) | (346) |
Foreign exchange gain (loss), net | (1) | (1) | 4 |
Gain (loss) on disposition of businesses and assets, net | 3 | 17 | (3) |
Operating profit (loss) | 568 | 545 | (68) |
Equity in net earnings (loss) of affiliates | 166 | 146 | 162 |
Interest expense | (30) | (29) | (36) |
Refinancing expense | 0 | 0 | 0 |
Interest income | 5 | 5 | 13 |
Dividend income - cost investments | 111 | 107 | 107 |
Other income (expense), net | 4 | (2) | (8) |
Earnings (loss) from continuing operations before tax | 824 | 772 | 170 |
Income tax (provision) benefit | (125) | (36) | (98) |
Earnings (loss) from continuing operations | 699 | 736 | 72 |
Earnings (loss) from operation of discontinued operations | (14) | (1) | 0 |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 2 | 1 | 0 |
Earnings (loss) from discontinued operations | (12) | 0 | 0 |
Net earnings (loss) | 687 | 736 | 72 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Net earnings (loss) attributable to Celanese Corporation | 681 | 730 | 91 |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | (1,113) | (1,095) | (1,221) |
Cost of sales | 1,108 | 1,101 | 1,270 |
Gross profit | (5) | 6 | 49 |
Selling, general and administrative expenses | 0 | 0 | 0 |
Amortization of intangible assets | 0 | 0 | 0 |
Research and development expenses | 0 | 0 | 0 |
Other (charges) gains, net | 0 | 0 | 0 |
Foreign exchange gain (loss), net | 0 | 0 | 0 |
Gain (loss) on disposition of businesses and assets, net | 0 | (6) | 0 |
Operating profit (loss) | (5) | 0 | 49 |
Equity in net earnings (loss) of affiliates | (2,284) | (2,481) | (681) |
Interest expense | 32 | 19 | 70 |
Refinancing expense | 0 | 0 | 0 |
Interest income | (32) | (19) | (70) |
Dividend income - cost investments | (3) | 1 | 0 |
Other income (expense), net | 0 | 0 | 0 |
Earnings (loss) from continuing operations before tax | (2,292) | (2,480) | (632) |
Income tax (provision) benefit | 0 | (3) | (21) |
Earnings (loss) from continuing operations | (2,292) | (2,483) | (653) |
Earnings (loss) from operation of discontinued operations | 0 | 0 | 0 |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 0 | 0 | 0 |
Earnings (loss) from discontinued operations | 0 | 0 | 0 |
Net earnings (loss) | (2,292) | (2,483) | (653) |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | $ (2,292) | $ (2,483) | $ (653) |
Consolidating Guarantor Fina178
Consolidating Guarantor Financial Information (Schedule of Consolidating Statements of Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | $ 849 | $ 906 | $ 285 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 174 | (11) | (188) |
Gain (loss) on cash flow hedges | (1) | 5 | 2 |
Pension and postretirement benefits | 9 | (4) | 3 |
Total other comprehensive income (loss), net of tax | 181 | (10) | (183) |
Total comprehensive income (loss), net of tax | 1,030 | 896 | 102 |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Comprehensive income (loss) attributable to Celanese Corporation | 1,024 | 890 | 121 |
Parent Guarantor [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 843 | 900 | 304 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 174 | (11) | (188) |
Gain (loss) on cash flow hedges | (1) | 5 | 2 |
Pension and postretirement benefits | 9 | (4) | 3 |
Total other comprehensive income (loss), net of tax | 181 | (10) | (183) |
Total comprehensive income (loss), net of tax | 1,024 | 890 | 121 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 1,024 | 890 | 121 |
Issuer [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 843 | 898 | 302 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 174 | (11) | (188) |
Gain (loss) on cash flow hedges | (1) | 5 | 2 |
Pension and postretirement benefits | 9 | (4) | 3 |
Total other comprehensive income (loss), net of tax | 181 | (10) | (183) |
Total comprehensive income (loss), net of tax | 1,024 | 888 | 119 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 1,024 | 888 | 119 |
Subsidiary Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 768 | 855 | 260 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 226 | (65) | (181) |
Gain (loss) on cash flow hedges | (1) | 5 | 5 |
Pension and postretirement benefits | 7 | (4) | 3 |
Total other comprehensive income (loss), net of tax | 231 | (64) | (173) |
Total comprehensive income (loss), net of tax | 999 | 791 | 87 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 999 | 791 | 87 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 687 | 736 | 72 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (1) | 0 | 0 |
Foreign currency translation | 268 | (73) | (231) |
Gain (loss) on cash flow hedges | (1) | 5 | 1 |
Pension and postretirement benefits | 10 | (2) | 2 |
Total other comprehensive income (loss), net of tax | 276 | (70) | (228) |
Total comprehensive income (loss), net of tax | 963 | 666 | (156) |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | 19 |
Comprehensive income (loss) attributable to Celanese Corporation | 957 | 660 | (137) |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | (2,292) | (2,483) | (653) |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 3 | 0 | 0 |
Foreign currency translation | (668) | 149 | 600 |
Gain (loss) on cash flow hedges | 3 | (15) | (8) |
Pension and postretirement benefits | (26) | 10 | (8) |
Total other comprehensive income (loss), net of tax | (688) | 144 | 584 |
Total comprehensive income (loss), net of tax | (2,980) | (2,339) | (69) |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | $ (2,980) | $ (2,339) | $ (69) |
Consolidating Guarantor Fina179
Consolidating Guarantor Financial Information (Schedule of Consolidating Balance Sheets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current Assets | |||||
Cash and cash equivalents | $ 576 | $ 638 | $ 967 | $ 780 | |
Trade receivables - third party and affiliates | 986 | 801 | |||
Non-trade receivables, net | 244 | 223 | |||
Inventories, net | 900 | 720 | |||
Marketable securities, at fair value | 32 | 30 | |||
Other assets | 54 | 60 | |||
Total current assets | 2,792 | 2,472 | |||
Investments in affiliates | 976 | 852 | |||
Property, plant and equipment, net | 3,762 | 3,577 | |||
Deferred income taxes | 366 | 159 | |||
Other assets | 338 | 307 | |||
Goodwill | 1,003 | [1] | 796 | 705 | |
Intangible assets, net | 301 | 194 | |||
Total assets | 9,538 | 8,357 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 326 | 118 | |||
Trade payables - third party and affiliates | 807 | 625 | |||
Other liabilities | 354 | 322 | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | 72 | 12 | |||
Total current liabilities | 1,559 | 1,077 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 3,315 | 2,890 | |||
Deferred income taxes | 211 | 130 | |||
Uncertain tax positions | 156 | 131 | |||
Benefit obligations | 585 | 893 | |||
Other liabilities | 413 | 215 | |||
Total noncurrent liabilities | 4,680 | 4,259 | |||
Total Celanese Corporation stockholders' equity | 2,887 | 2,588 | 2,378 | ||
Noncontrolling interests | 412 | 433 | |||
Total equity | 3,299 | 3,021 | 2,829 | ||
Total liabilities and equity | 9,538 | 8,357 | |||
Parent Guarantor [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | |
Trade receivables - third party and affiliates | 0 | 0 | |||
Non-trade receivables, net | 38 | 40 | |||
Inventories, net | 0 | 0 | |||
Marketable securities, at fair value | 0 | 0 | |||
Other assets | 0 | 0 | |||
Total current assets | 38 | 40 | |||
Investments in affiliates | 2,850 | 2,548 | |||
Property, plant and equipment, net | 0 | 0 | |||
Deferred income taxes | 0 | 0 | |||
Other assets | 0 | 0 | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | 2,888 | 2,588 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 0 | 0 | |||
Trade payables - third party and affiliates | 0 | 0 | |||
Other liabilities | 0 | 0 | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | 0 | 0 | |||
Total current liabilities | 0 | 0 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 0 | 0 | |||
Deferred income taxes | 0 | 0 | |||
Uncertain tax positions | 0 | 0 | |||
Benefit obligations | 0 | 0 | |||
Other liabilities | 0 | 0 | |||
Total noncurrent liabilities | 0 | 0 | |||
Total Celanese Corporation stockholders' equity | 2,888 | 2,588 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 2,888 | 2,588 | |||
Total liabilities and equity | 2,888 | 2,588 | |||
Issuer [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | |
Trade receivables - third party and affiliates | 0 | 0 | |||
Non-trade receivables, net | 482 | 499 | |||
Inventories, net | 0 | 0 | |||
Marketable securities, at fair value | 0 | 0 | |||
Other assets | 60 | 42 | |||
Total current assets | 542 | 541 | |||
Investments in affiliates | 4,283 | 4,029 | |||
Property, plant and equipment, net | 0 | 0 | |||
Deferred income taxes | 6 | 0 | |||
Other assets | 1,295 | 705 | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | 6,126 | 5,275 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 76 | 6 | |||
Trade payables - third party and affiliates | 1 | 0 | |||
Other liabilities | 71 | 58 | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | 0 | 0 | |||
Total current liabilities | 148 | 64 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 3,128 | 2,647 | |||
Deferred income taxes | 0 | 16 | |||
Uncertain tax positions | 0 | 0 | |||
Benefit obligations | 0 | 0 | |||
Other liabilities | 0 | 0 | |||
Total noncurrent liabilities | 3,128 | 2,663 | |||
Total Celanese Corporation stockholders' equity | 2,850 | 2,548 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 2,850 | 2,548 | |||
Total liabilities and equity | 6,126 | 5,275 | |||
Subsidiary Guarantors [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 230 | 51 | 21 | 110 | |
Trade receivables - third party and affiliates | 89 | 107 | |||
Non-trade receivables, net | 279 | 249 | |||
Inventories, net | 277 | 239 | |||
Marketable securities, at fair value | 32 | 30 | |||
Other assets | 12 | 25 | |||
Total current assets | 919 | 701 | |||
Investments in affiliates | 3,916 | 3,655 | |||
Property, plant and equipment, net | 1,145 | 1,049 | |||
Deferred income taxes | 206 | 91 | |||
Other assets | 171 | 133 | |||
Goodwill | 314 | 314 | |||
Intangible assets, net | 48 | 48 | |||
Total assets | 6,719 | 5,991 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 148 | 133 | |||
Trade payables - third party and affiliates | 300 | 226 | |||
Other liabilities | 302 | 167 | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | 471 | 454 | |||
Total current liabilities | 1,221 | 980 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 1,254 | 727 | |||
Deferred income taxes | 0 | 0 | |||
Uncertain tax positions | 1 | 3 | |||
Benefit obligations | 277 | 636 | |||
Other liabilities | 255 | 74 | |||
Total noncurrent liabilities | 1,787 | 1,440 | |||
Total Celanese Corporation stockholders' equity | 3,711 | 3,571 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 3,711 | 3,571 | |||
Total liabilities and equity | 6,719 | 5,991 | |||
Non-Guarantors [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 346 | 587 | 946 | 670 | |
Trade receivables - third party and affiliates | 988 | 819 | |||
Non-trade receivables, net | 385 | 308 | |||
Inventories, net | 672 | 526 | |||
Marketable securities, at fair value | 0 | 0 | |||
Other assets | 93 | 76 | |||
Total current assets | 2,484 | 2,316 | |||
Investments in affiliates | 861 | 752 | |||
Property, plant and equipment, net | 2,617 | 2,528 | |||
Deferred income taxes | 158 | 86 | |||
Other assets | 165 | 156 | |||
Goodwill | 689 | 482 | |||
Intangible assets, net | 253 | 146 | |||
Total assets | 7,227 | 6,466 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 369 | 250 | |||
Trade payables - third party and affiliates | 598 | 524 | |||
Other liabilities | 273 | 262 | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | 92 | 75 | |||
Total current liabilities | 1,332 | 1,111 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 233 | 210 | |||
Deferred income taxes | 215 | 132 | |||
Uncertain tax positions | 157 | 130 | |||
Benefit obligations | 308 | 257 | |||
Other liabilities | 158 | 142 | |||
Total noncurrent liabilities | 1,071 | 871 | |||
Total Celanese Corporation stockholders' equity | 4,412 | 4,051 | |||
Noncontrolling interests | 412 | 433 | |||
Total equity | 4,824 | 4,484 | |||
Total liabilities and equity | 7,227 | 6,466 | |||
Consolidation Eliminations [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 | |
Trade receivables - third party and affiliates | (91) | (125) | |||
Non-trade receivables, net | (940) | (873) | |||
Inventories, net | (49) | (45) | |||
Marketable securities, at fair value | 0 | 0 | |||
Other assets | (111) | (83) | |||
Total current assets | (1,191) | (1,126) | |||
Investments in affiliates | (10,934) | (10,132) | |||
Property, plant and equipment, net | 0 | 0 | |||
Deferred income taxes | (4) | (18) | |||
Other assets | (1,293) | (687) | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | (13,422) | (11,963) | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | (267) | (271) | |||
Trade payables - third party and affiliates | (92) | (125) | |||
Other liabilities | (292) | (165) | |||
Deferred income taxes | 0 | 0 | |||
Income taxes payable | (491) | (517) | |||
Total current liabilities | (1,142) | (1,078) | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | (1,300) | (694) | |||
Deferred income taxes | (4) | (18) | |||
Uncertain tax positions | (2) | (2) | |||
Benefit obligations | 0 | 0 | |||
Other liabilities | 0 | (1) | |||
Total noncurrent liabilities | (1,306) | (715) | |||
Total Celanese Corporation stockholders' equity | (10,974) | (10,170) | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | (10,974) | (10,170) | |||
Total liabilities and equity | $ (13,422) | $ (11,963) | |||
[1] | There were $0 million of accumulated impairment losses as of December 31, 2017. |
Consolidating Guarantor Fina180
Consolidating Guarantor Financial Information (Schedule of Consolidating Cash Flow Statements) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | $ 803 | $ 893 | $ 862 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (267) | (246) | (232) |
Acquisitions, net of cash acquired | (269) | (178) | (6) |
Proceeds from sale of businesses and assets, net | 1 | 12 | 4 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | (288) |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | 0 | 0 | 0 |
Intercompany loan receipts (disbursements) | 0 | 0 | 0 |
Other, net | (14) | (27) | (36) |
Net cash provided by (used in) investing activities | (549) | (439) | (558) |
Financing Activities | |||
Short-term borrowings (repayments), net | 111 | (352) | 350 |
Proceeds from short-term borrowings | 182 | 53 | 80 |
Repayments of short-term borrowings | (124) | (90) | (83) |
Proceeds from long-term debt | 351 | 1,509 | 0 |
Repayments of long-term debt | (77) | (1,127) | (24) |
Purchases of treasury stock, including related fees | (500) | (500) | (420) |
Dividends to parent | 0 | 0 | 0 |
Contributions from parent | 0 | 0 | 0 |
Stock option exercises | 1 | 6 | 3 |
Series A common stock dividends | (241) | (201) | (174) |
Return of capital to parent | 0 | 0 | 0 |
(Distributions to) contributions from noncontrolling interests | (27) | (24) | 214 |
Other, net | (27) | (33) | (12) |
Net cash provided by (used in) financing activities | (351) | (759) | (66) |
Exchange rate effects on cash and cash equivalents | 35 | (24) | (51) |
Net increase (decrease) in cash and cash equivalents | (62) | (329) | 187 |
Cash and cash equivalents as of beginning of period | 638 | 967 | 780 |
Cash and cash equivalents as of end of period | 576 | 638 | 967 |
Parent Guarantor [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 740 | 695 | 591 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | 0 | 0 | 0 |
Acquisitions, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of businesses and assets, net | 0 | 0 | 0 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | 0 |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | 0 | 0 | 0 |
Intercompany loan receipts (disbursements) | 0 | 0 | 0 |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 0 | 0 | 0 |
Financing Activities | |||
Short-term borrowings (repayments), net | 0 | 0 | 0 |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 0 | 0 | 0 |
Repayments of long-term debt | 0 | 0 | 0 |
Purchases of treasury stock, including related fees | (500) | (500) | (420) |
Dividends to parent | 0 | 0 | 0 |
Contributions from parent | 0 | 0 | 0 |
Stock option exercises | 1 | 6 | 3 |
Series A common stock dividends | (241) | (201) | (174) |
Return of capital to parent | 0 | 0 | 0 |
(Distributions to) contributions from noncontrolling interests | 0 | 0 | 0 |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | (740) | (695) | (591) |
Exchange rate effects on cash and cash equivalents | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents as of beginning of period | 0 | 0 | 0 |
Cash and cash equivalents as of end of period | 0 | 0 | 0 |
Issuer [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 868 | 711 | 536 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | 0 | 0 | 0 |
Acquisitions, net of cash acquired | (11) | 0 | 0 |
Proceeds from sale of businesses and assets, net | 0 | 0 | 0 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | 0 |
Return of capital from subsidiary | 16 | 145 | 0 |
Contributions to subsidiary | 0 | 0 | 0 |
Intercompany loan receipts (disbursements) | (530) | (283) | (333) |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | (525) | (138) | (333) |
Financing Activities | |||
Short-term borrowings (repayments), net | 56 | (371) | 383 |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 351 | 1,589 | 15 |
Repayments of long-term debt | (6) | (1,083) | (9) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 741 | 695 | 592 |
Contributions from parent | 0 | 0 | 0 |
Stock option exercises | 0 | 0 | 0 |
Series A common stock dividends | 0 | 0 | 0 |
Return of capital to parent | 0 | 0 | 0 |
(Distributions to) contributions from noncontrolling interests | 0 | 0 | 0 |
Other, net | (3) | (13) | 0 |
Net cash provided by (used in) financing activities | (343) | (573) | (203) |
Exchange rate effects on cash and cash equivalents | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents as of beginning of period | 0 | 0 | 0 |
Cash and cash equivalents as of end of period | 0 | 0 | 0 |
Subsidiary Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 425 | (21) | 529 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (176) | (139) | (128) |
Acquisitions, net of cash acquired | (12) | 0 | (3) |
Proceeds from sale of businesses and assets, net | 9 | 1 | 0 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | (20) |
Return of capital from subsidiary | 241 | 758 | 0 |
Contributions to subsidiary | 0 | 0 | (120) |
Intercompany loan receipts (disbursements) | (25) | 19 | (33) |
Other, net | (2) | (10) | (12) |
Net cash provided by (used in) investing activities | 35 | 629 | (316) |
Financing Activities | |||
Short-term borrowings (repayments), net | 15 | 1 | 0 |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 530 | 746 | 406 |
Repayments of long-term debt | (2) | (635) | (74) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 802 | 669 | 624 |
Contributions from parent | 0 | 0 | 0 |
Stock option exercises | 0 | 0 | 0 |
Series A common stock dividends | 0 | 0 | 0 |
Return of capital to parent | 0 | 0 | 0 |
(Distributions to) contributions from noncontrolling interests | 0 | 0 | 0 |
Other, net | (22) | (21) | (10) |
Net cash provided by (used in) financing activities | (281) | (578) | (302) |
Exchange rate effects on cash and cash equivalents | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 179 | 30 | (89) |
Cash and cash equivalents as of beginning of period | 51 | 21 | 110 |
Cash and cash equivalents as of end of period | 230 | 51 | 21 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 593 | 872 | 422 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (91) | (107) | (104) |
Acquisitions, net of cash acquired | (274) | (178) | (3) |
Proceeds from sale of businesses and assets, net | 20 | 11 | 4 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | (268) |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | 0 | 0 | 0 |
Intercompany loan receipts (disbursements) | 0 | 90 | (15) |
Other, net | (12) | (17) | (24) |
Net cash provided by (used in) investing activities | (357) | (201) | (410) |
Financing Activities | |||
Short-term borrowings (repayments), net | 51 | (1) | 0 |
Proceeds from short-term borrowings | 182 | 53 | 80 |
Repayments of short-term borrowings | (124) | (90) | (83) |
Proceeds from long-term debt | 14 | 0 | 0 |
Repayments of long-term debt | (69) | (42) | (14) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 280 | 0 | 0 |
Contributions from parent | 0 | 0 | 120 |
Stock option exercises | 0 | 0 | 0 |
Series A common stock dividends | 0 | 0 | 0 |
Return of capital to parent | (257) | (903) | 0 |
(Distributions to) contributions from noncontrolling interests | (27) | (24) | 214 |
Other, net | (2) | 1 | (2) |
Net cash provided by (used in) financing activities | (512) | (1,006) | 315 |
Exchange rate effects on cash and cash equivalents | 35 | (24) | (51) |
Net increase (decrease) in cash and cash equivalents | (241) | (359) | 276 |
Cash and cash equivalents as of beginning of period | 587 | 946 | 670 |
Cash and cash equivalents as of end of period | 346 | 587 | 946 |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | (1,823) | (1,364) | (1,216) |
Investing Activities | |||
Capital expenditures on property, plant and equipment | 0 | 0 | 0 |
Acquisitions, net of cash acquired | 28 | 0 | 0 |
Proceeds from sale of businesses and assets, net | (28) | 0 | 0 |
Capital expenditures related to Fairway Methanol LLC | 0 | 0 | 0 |
Return of capital from subsidiary | (257) | (903) | 0 |
Contributions to subsidiary | 0 | 0 | 120 |
Intercompany loan receipts (disbursements) | 555 | 174 | 381 |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 298 | (729) | 501 |
Financing Activities | |||
Short-term borrowings (repayments), net | (11) | 19 | (33) |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | (544) | (826) | (421) |
Repayments of long-term debt | 0 | 633 | 73 |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | (1,823) | (1,364) | (1,216) |
Contributions from parent | 0 | 0 | (120) |
Stock option exercises | 0 | 0 | 0 |
Series A common stock dividends | 0 | 0 | 0 |
Return of capital to parent | 257 | 903 | 0 |
(Distributions to) contributions from noncontrolling interests | 0 | 0 | 0 |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | 1,525 | 2,093 | 715 |
Exchange rate effects on cash and cash equivalents | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents as of beginning of period | 0 | 0 | 0 |
Cash and cash equivalents as of end of period | $ 0 | $ 0 | $ 0 |
Consolidating Guarantor Fina181
Consolidating Guarantor Financial Information (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2015 | |
Consolidating Guarantor Financial Information [Abstract] | ||
Issuer and subsidiary guarantors, ownership percentage | 100.00% | |
Interest Allocated To Subsidiary Guarantor | $ 54 |
Subsequent Events (Details)
Subsequent Events (Details) € in Millions, $ in Millions | Feb. 28, 2018EUR (€) | Feb. 01, 2018USD ($) | Dec. 31, 2017 |
Omni Plastics [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Payments to Acquire Businesses, Gross | $ | $ 158 | ||
Advanced Engineered Materials [Member] | Omni Plastics [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
InfraServ GmbH & Co. Knapsack KG [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 27.00% | ||
InfraServ GmbH & Co. Gendorf KG [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 39.00% | ||
InfraServ GmbH & Co. Knapsack KG and InfraServ GmbH & Co. Gendorf KG [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Proceeds from Legal Settlements | € | € 4 | ||
Maximum [Member] | InfraServ GmbH & Co. Knapsack KG [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 27.00% | ||
Maximum [Member] | InfraServ GmbH & Co. Gendorf KG [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 39.00% | ||
Minimum [Member] | InfraServ GmbH & Co. Knapsack KG [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 22.00% | ||
Minimum [Member] | InfraServ GmbH & Co. Gendorf KG [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Equity Method Investment, Ownership Percentage | 30.00% |