Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Jan. 30, 2020 | Jun. 30, 2019 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 001-32410 | ||
Entity Registrant Name | CELANESE CORPORATION | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 98-0420726 | ||
Entity Address, Address Line One | 222 W. Las Colinas Blvd., Suite 900N | ||
Entity Address, City or Town | Irving | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 75039-5421 | ||
City Area Code | 972 | ||
Local Phone Number | 443-4000 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Small Reporting Company | false | ||
Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 11,747,066,605 | ||
Entity Common Stock, Shares Outstanding | 119,555,928 | ||
Entity Central Index Key | 0001306830 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Common Stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock, par value $0.0001 per share | ||
Trading Symbol | CE | ||
Security Exchange Name | NYSE | ||
Senior Unsecured Notes Due 2023 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.125% Senior Notes due 2023 | ||
Trading Symbol | CE /23 | ||
Security Exchange Name | NYSE | ||
Senior Unsecured Notes Due 2025 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.250% Senior Notes due 2025 | ||
Trading Symbol | CE /25 | ||
Security Exchange Name | NYSE | ||
Senior Unsecured Notes Due 2027 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 2.125% Senior Notes due 2027 | ||
Trading Symbol | CE /27 | ||
Security Exchange Name | NYSE |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | |||
Net sales | $ 6,297 | $ 7,155 | $ 6,140 |
Cost of sales | (4,691) | (5,183) | (4,629) |
Gross profit | 1,606 | 1,972 | 1,511 |
Selling, general and administrative expenses | (483) | (546) | (496) |
Amortization of intangible assets | (24) | (24) | (20) |
Research and development expenses | (67) | (72) | (73) |
Other (charges) gains, net | (203) | 9 | (59) |
Foreign exchange gain (loss), net | 7 | 0 | (1) |
Gain (loss) on disposition of businesses and assets, net | (2) | (5) | (5) |
Operating profit (loss) | 834 | 1,334 | 857 |
Equity in net earnings (loss) of affiliates | 182 | 233 | 183 |
Non-operating pension and other postretirement employee benefit (expense) income | (20) | (62) | 44 |
Interest expense | (115) | (125) | (122) |
Refinancing expense | (4) | (1) | 0 |
Interest income | 6 | 6 | 2 |
Dividend income - equity investments | 113 | 117 | 108 |
Other income (expense), net | (8) | 8 | 3 |
Earnings (loss) from continuing operations before tax | 988 | 1,510 | 1,075 |
Income tax (provision) benefit | (124) | (292) | (213) |
Earnings (loss) from continuing operations | 864 | 1,218 | 862 |
Earnings (loss) from operation of discontinued operations | (8) | (5) | (16) |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 2 | 0 | 3 |
Earnings (loss) from discontinued operations | (6) | (5) | (13) |
Net earnings (loss) | 858 | 1,213 | 849 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 6 | 6 | 6 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Net earnings (loss) attributable to Celanese Corporation | 852 | 1,207 | 843 |
Amounts attributable to Celanese Corporation | |||
Earnings (loss) from continuing operations | 858 | 1,212 | 856 |
Earnings (loss) from discontinued operations | (6) | (5) | (13) |
Net earnings (loss) attributable to Celanese Corporation | $ 852 | $ 1,207 | $ 843 |
Earnings (loss) per common share - basic | |||
Continuing operations | $ 6.93 | $ 9.03 | $ 6.21 |
Discontinued operations | (0.05) | (0.04) | (0.10) |
Net earnings (loss) - basic | 6.88 | 8.99 | 6.11 |
Earnings (loss) per common share - diluted | |||
Continuing operations | 6.89 | 8.95 | 6.19 |
Discontinued operations | (0.05) | (0.04) | (0.10) |
Net earnings (loss) - diluted | $ 6.84 | $ 8.91 | $ 6.09 |
Weighted average shares - basic | 123,925,697 | 134,305,269 | 137,902,667 |
Weighted average shares - diluted | 124,651,759 | 135,416,858 | 138,317,395 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings (loss) | $ 858 | $ 1,213 | $ 849 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 0 | 0 | (1) |
Foreign currency translation | (16) | (60) | 174 |
Gain (loss) on cash flow hedges | (30) | (10) | (1) |
Pension and postretirement benefits | (7) | 0 | 9 |
Total other comprehensive income (loss), net of tax | (53) | (70) | 181 |
Total comprehensive income (loss), net of tax | 805 | 1,143 | 1,030 |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Comprehensive income (loss) attributable to Celanese Corporation | $ 799 | $ 1,137 | $ 1,024 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | |
Current Assets | |||
Cash and cash equivalents (variable interest entity restricted - 2019: $57; 2018: $24) | $ 463 | $ 439 | |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2019: $9; 2018: $10; variable interest entity restricted - 2019: $6; 2018: $6) | 850 | 1,017 | |
Non-trade receivables, net | 331 | 301 | |
Inventories | 1,038 | 1,046 | |
Marketable securities | 40 | 31 | |
Other assets | 43 | 40 | |
Total current assets | 2,765 | 2,874 | |
Investments in affiliates | 975 | 979 | |
Property, plant and equipment (net of accumulated depreciation - 2019: $2,957; 2018: $2,803; variable interest entity restricted - 2019: $622; 2018: $659) | 3,713 | 3,719 | |
Operating lease right-of-use assets | 203 | 0 | |
Deferred income taxes | 96 | 84 | |
Other assets (variable interest entity restricted - 2019: $9; 2018: $5) | 338 | 290 | |
Goodwill | 1,074 | [1] | 1,057 |
Intangible assets, net (variable interest entity restricted - 2019: $22; 2018: $23) | 312 | 310 | |
Total assets | 9,476 | 9,313 | |
Current Liabilities | |||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 496 | 561 | |
Trade payables - third party and affiliates | 780 | 819 | |
Other liabilities | 461 | 343 | |
Income taxes payable | 17 | 56 | |
Total current liabilities | 1,754 | 1,779 | |
Long-term debt, net of unamortized deferred financing costs | 3,409 | 2,970 | |
Deferred income taxes | 257 | 255 | |
Uncertain tax positions | 165 | 158 | |
Operating Lease, Liability, Noncurrent | 181 | 0 | |
Benefit obligations | 589 | 564 | |
Other liabilities | 223 | 208 | |
Commitments and Contingencies | |||
Stockholders' Equity | |||
Preferred stock, $0.01 par value, 100,000,000 shares authorized (2019 and 2018: 0 issued and outstanding) | 0 | 0 | |
Common stock, $0.0001 par value, 400,000,000 shares authorized (2019: 168,973,172 issued and 119,555,207 outstanding; 2018: 168,418,954 issued and 128,095,849 outstanding) | 0 | 0 | |
Treasury stock, at cost (2019: 49,417,965 shares; 2018: 40,323,105 shares) | (3,846) | (2,849) | |
Additional paid-in capital | 254 | 233 | |
Retained earnings | 6,399 | 5,847 | |
Accumulated other comprehensive income (loss), net | (300) | (247) | |
Total Celanese Corporation stockholders' equity | 2,507 | 2,984 | |
Noncontrolling interests | 391 | 395 | |
Total equity | 2,898 | 3,379 | |
Total liabilities and equity | $ 9,476 | $ 9,313 | |
[1] | There were $0 million of accumulated impairment losses as of December 31, 2019 . |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Current Assets | ||
Allowance for doubtful accounts - trade receivables | $ 9 | $ 10 |
Accumulated depreciation | 2,957 | 2,803 |
Cash and cash equivalents (variable interest entity restricted - 2019: $57; 2018: $24) | 463 | 439 |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2019: $9; 2018: $10; variable interest entity restricted - 2019: $6; 2018: $6) | 850 | 1,017 |
Property, plant and equipment (net of accumulated depreciation - 2019: $2,957; 2018: $2,803; variable interest entity restricted - 2019: $622; 2018: $659) | 3,713 | 3,719 |
Intangible assets, net (variable interest entity restricted - 2019: $22; 2018: $23) | 312 | 310 |
Other assets (variable interest entity restricted - 2019: $9; 2018: $5) | $ 338 | $ 290 |
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 | 49,417,265 | 40,323,105 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 168,973,172 | 168,418,954 |
Common stock, shares outstanding | 119,555,207 | 128,095,849 |
Variable Interest Entity, Primary Beneficiary [Member] | ||
Current Assets | ||
Cash and cash equivalents (variable interest entity restricted - 2019: $57; 2018: $24) | $ 57 | $ 24 |
Trade receivables - third party and affiliates (net of allowance for doubtful accounts - 2019: $9; 2018: $10; variable interest entity restricted - 2019: $6; 2018: $6) | 6 | 6 |
Property, plant and equipment (net of accumulated depreciation - 2019: $2,957; 2018: $2,803; variable interest entity restricted - 2019: $622; 2018: $659) | 622 | 659 |
Intangible assets, net (variable interest entity restricted - 2019: $22; 2018: $23) | 22 | 23 |
Other assets (variable interest entity restricted - 2019: $9; 2018: $5) | $ 9 | $ 5 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | 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 | $ (1) | ||||||||
Balance as of the beginning of the period, shares at Dec. 31, 2016 | 140,660,447 | 26,950,910 | |||||||
Balance as of the beginning of the period at Dec. 31, 2016 | $ 433 | ||||||||
Balance as of the beginning of the year at Dec. 31, 2016 | $ 0 | $ (1,531) | $ 157 | 4,320 | $ (358) | ||||
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 | 0 | 23 | |||||||
Net earnings (loss) attributable to Celanese Corporation | 843 | 843 | |||||||
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 | ||||||||
Total equity at Dec. 31, 2017 | $ 3,299 | ||||||||
Dividend, Share-based Payment Arrangement, Paid-in-Kind | (1) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ (6) | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 0 | ||||||||
Cumulative Effect on Retained Earnings, Net of Tax | 0 | ||||||||
Stock option exercises, net of tax | $ 0 | 0 | |||||||
Stock option exercises, shares | 0 | ||||||||
Purchases of treasury stock, shares | (7,935,392) | ||||||||
Purchases of treasury stock | $ 0 | ||||||||
Stock awards, shares | 261,985 | ||||||||
Stock awards | $ 0 | ||||||||
Purchases of treasury stock, shares | 7,933,692 | [1] | 7,935,392 | ||||||
Purchases of treasury stock, including related fees | $ (817) | $ (818) | |||||||
Stock-based compensation, net of tax | 0 | 58 | |||||||
Net earnings (loss) attributable to Celanese Corporation | 1,207 | 1,207 | |||||||
Common stock dividends | (280) | ||||||||
Other comprehensive income (loss), net of tax | (70) | (70) | |||||||
Balance as of the end of the year at Dec. 31, 2018 | 2,984 | $ 0 | $ (2,849) | 233 | 5,847 | (247) | |||
Balance as of the end of the period, shares at Dec. 31, 2018 | 128,095,849 | 40,323,105 | |||||||
Net earnings (loss) attributable to noncontrolling interests | (6) | 6 | |||||||
(Distributions to) contributions from noncontrolling interests | (23) | ||||||||
Balance as of the end of the period at Dec. 31, 2018 | 395 | 395 | |||||||
Total equity at Dec. 31, 2018 | $ 3,379 | ||||||||
Dividend, Share-based Payment Arrangement, Paid-in-Kind | 0 | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 0 | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 0 | ||||||||
Cumulative Effect on Retained Earnings, Net of Tax | 0 | ||||||||
Stock option exercises, net of tax | $ 0 | (1) | |||||||
Stock option exercises, shares | 14,045 | ||||||||
Purchases of treasury stock, shares | (9,166,267) | ||||||||
Purchases of treasury stock | $ 0 | ||||||||
Stock awards, shares | 611,580 | ||||||||
Stock awards | $ 0 | ||||||||
Purchases of treasury stock, shares | 9,166,267 | 9,166,267 | |||||||
Purchases of treasury stock, including related fees | $ (1,000) | $ (1,000) | |||||||
Stock-based compensation, net of tax | 3 | 22 | |||||||
Net earnings (loss) attributable to Celanese Corporation | 852 | 852 | |||||||
Common stock dividends | (300) | ||||||||
Other comprehensive income (loss), net of tax | (53) | (53) | |||||||
Balance as of the end of the year at Dec. 31, 2019 | 2,507 | $ 0 | $ (3,846) | $ 254 | 6,399 | $ (300) | |||
Balance as of the end of the period, shares at Dec. 31, 2019 | 119,555,207 | 49,417,965 | |||||||
Net earnings (loss) attributable to noncontrolling interests | (6) | 6 | |||||||
(Distributions to) contributions from noncontrolling interests | (10) | ||||||||
Balance as of the end of the period at Dec. 31, 2019 | 391 | $ 391 | |||||||
Total equity at Dec. 31, 2019 | $ 2,898 | ||||||||
Dividend, Share-based Payment Arrangement, Paid-in-Kind | $ 0 | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ 0 | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | (71,407) | ||||||||
[1] | Excludes 1,700 common shares reacquired pursuant to an employee clawback agreement. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Cash Flows [Abstract] | |||
Net earnings (loss) | $ 858 | $ 1,213 | $ 849 |
Adjustments to reconcile net earnings (loss) to net cash provided by (used in) operating activities | |||
Asset impairments | 83 | 0 | 0 |
Depreciation, amortization and accretion | 356 | 349 | 310 |
Pension and postretirement net periodic benefit cost | (58) | (92) | (80) |
Pension and postretirement contributions | (47) | (47) | (363) |
Actuarial (gain) loss on pension and postretirement plans | 87 | 165 | 46 |
Pension curtailments and settlements, net | 0 | (1) | 0 |
Deferred income taxes, net | (31) | 137 | (152) |
(Gain) loss on disposition of businesses and assets, net | 3 | 7 | 5 |
Stock-based compensation | 48 | 71 | 47 |
Undistributed earnings in unconsolidated affiliates | (14) | (12) | (52) |
Other, net | 18 | 26 | 12 |
Operating cash provided by (used in) discontinued operations | 0 | (10) | 8 |
Changes in operating assets and liabilities | |||
Trade receivables - third party and affiliates, net | 165 | (48) | (110) |
Inventories | 6 | (158) | (97) |
Other assets | (9) | (113) | (7) |
Trade payables - third party and affiliates | (59) | 15 | 126 |
Other liabilities | 48 | 56 | 261 |
Net cash provided by (used in) operating activities | 1,454 | 1,558 | 803 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (370) | (337) | (267) |
Acquisitions, net of cash acquired | (91) | (144) | (269) |
Proceeds from sale of businesses and assets, net | 1 | 13 | 1 |
Purchases of marketable securities | (16) | 0 | 0 |
Other, net | (17) | (39) | (14) |
Net cash provided by (used in) investing activities | (493) | (507) | (549) |
Financing Activities | |||
Net change in short-term borrowings with maturities of 3 months or less | 247 | (38) | 111 |
Proceeds from short-term borrowings | 117 | 51 | 182 |
Repayments of short-term borrowings | (91) | (78) | (124) |
Proceeds from long-term debt | 499 | 561 | 351 |
Repayments of long-term debt | (360) | (536) | (77) |
Purchases of treasury stock, including related fees | (996) | (805) | (500) |
Stock option exercises | (1) | 0 | 1 |
Common stock dividends | (300) | (280) | (241) |
(Distributions to) contributions from noncontrolling interests | (10) | (23) | (27) |
Other, net | (40) | (17) | (27) |
Net cash provided by (used in) financing activities | (935) | (1,165) | (351) |
Exchange rate effects on cash and cash equivalents | (2) | (23) | 35 |
Net increase (decrease) in cash and cash equivalents | 24 | (137) | (62) |
Cash and cash equivalents as of beginning of period | 439 | 576 | 638 |
Cash and cash equivalents as of end of period | $ 463 | $ 439 | $ 576 |
Description of the Company and
Description of the Company and Basis of Presentation | 12 Months Ended |
Dec. 31, 2019 | |
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 chemical and specialty materials company. The Company produces high performance engineered polymers that are used in a variety of high-value applications, as well as acetyl products, which are intermediate chemicals for nearly all major industries. The Company also engineers and manufactures a wide variety of products essential to everyday living. The Company's broad product portfolio serves a diverse set of end-use applications including automotive, chemical additives, construction, consumer and industrial adhesives, consumer and medical, energy storage, filtration, food and beverage, paints and coatings, paper and packaging, performance industrial and textiles. 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, 2019 | |
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. The qualitative evaluation is an assessment of multiple factors, including the current operating environment, financial performance and market considerations, to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company may elect to bypass this qualitative assessment for some or all of its reporting units and perform a quantitative test, based on management's judgment. 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 liability related to cleanup of a contaminated site might include, for example, a provision for one or more of the following types of costs: site investigation and testing costs, cleanup costs, costs related to soil and water contamination resulting from tank ruptures and post-remediation monitoring costs. These undiscounted liabilities 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. • 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 20-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 and fixed income markets, and to manage the risks and returns of the plans through the use of multiple managers and strategies. The fixed income strategies are 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. Loss Contingencies When determinable, the Company accrues contingent losses for matters that are probable of occurring for which a loss amount can be reasonably estimated. For certain potentially material loss contingency matters, the Company is sometimes unable to estimate and accrue a loss deemed probable of occurring. For such matters, the Company discloses an estimate of the possible loss, range of loss or a statement that such estimate cannot be made. Because the Company's evaluation and assessment of critical facts and circumstances surrounding a contingent loss matter is in advance of the matter's final determination, there is an inherent subjectivity and unpredictability involved in estimating, accounting for and reporting contingent losses. Generally, the less progress made in the resolution of a contingent loss matter or the broader the range of potential outcomes, the more difficult it is for the Company to estimate, accrue and report a loss. For example, the Company may disclose certain information about a plaintiff's legal claim against the Company that is alleged in the plaintiff's pleadings or otherwise publicly available. While information of this type may provide more insight into the potential magnitude of a matter, it might not necessarily be indicative of the Company's estimate of probable or possible loss. In addition, some of the Company's contingent loss exposures may be eligible for reimbursement under the provisions of its insurance coverage. The Company does not consider the potential availability of insurance coverage in determining its probable or possible loss estimates. As a result of these factors among others, the Company's ultimate contingent loss exposure may be higher or lower, and possibly materially so, than the Company's recorded probable loss accruals and disclosures of possible losses. 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, remaining carryforward periods, 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. 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 Affiliates Investments in equity securities 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 in equity securities where the Company does not exercise significant influence are accounted for at fair value or, if such investments do not have a readily determinable fair value, an election may be made to measure them at cost after considering observable price changes for similar instruments, minus impairment, if any. 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. Further, these investments were determined not to have a readily determinable fair value. Accordingly, these investments are accounted for using the alternative measure described above. 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 finance 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. • Interest Rate Risk Management The Company entered into a forward-starting interest rate swap to mitigate the risk of variability in the benchmark interest rate for an expected debt issuance in 2021. The interest rate swap agreement is designated as a cash flow hedge. Accordingly, to the extent the cash flow hedge is effective, changes in the fair value of the interest rate swap are included in gain (loss) from cash flow hedges within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Hedge accounting is discontinued when the interest rate swap is no longer effective in offsetting cash flows attributable to the hedged risk, the interest rate swap expires or the cash flow hedge is dedesignated because it is no longer probable that the forecasted transaction will occur according to the original strategy. • 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. The Company entered into a cross-currency swap to synthetically convert its USD borrowing to EUR borrowing in 2019. The cross-currency swap agreement is designated as a net investment hedge. Accordingly, to the extent the net investment hedge is effective, changes in the fair value of the cross-currency swap are 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 Liabilities 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 liabilities are established when sufficient information is available to indicate a specific policy is involved and the Company can reasonably estimate its liability. These liabilities are based on management estimates and periodic actuarial valuations. In addition, liabilities 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 Com |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following table provides a brief description of recent ASUs issued by the Financial Accounting Standards Board ("FASB"): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes. The new guidance simplifies the accounting for income taxes by removing certain exceptions to the general principles in FASB Accounting Standards Codification ("ASC") Topic 740, Income Taxes ("Topic 740"). The guidance also clarifies and amends existing guidance under Topic 740. January 1, 2021. Early adoption is permitted. The Company has completed its assessment and will adopt the new guidance effective January 1, 2021. The adoption of the new guidance will not have a material impact to the Company. In August 2018, the FASB issued ASU 2018-14, Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans. The new guidance modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans by removing disclosures that no longer are considered cost beneficial, clarifying the specific requirements of disclosures and adding disclosure requirements identified as relevant. January 1, 2020. Early adoption is permitted. The Company adopted the new guidance effective January 1, 2019. The adoption of the new guidance did not have a material impact to the Company's disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and will improve the usefulness of information reported to financial statement users. January 1, 2019. The Company adopted the new guidance effective January 1, 2019. The adoption of the new guidance did not have a material impact to the Company. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments. The new guidance requires financial instruments measured at amortized cost basis to be presented at the net amount expected to be collected through application of the current expected credit losses model. The model requires an estimate of the credit losses expected over the life of an exposure or pool of exposures. The income statement will reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. January 1, 2020. Early adoption is permitted. The Company has completed its assessment and will adopt the new guidance effective January 1, 2020. The adoption of the new guidance will not have a material impact to the Company. In February 2016, the FASB issued ASU 2016-02, Leases. Since that date, the FASB has issued additional ASUs clarifying certain aspects of ASU 2016-02. The new guidance supersedes the lease guidance under FASB 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. Subsequent guidance issued after February 2016 did not change the core principle of ASU 2016-02. January 1, 2019. The Company adopted the new guidance effective January 1, 2019, using the modified retrospective transition method, which did not require the Company to adjust comparative periods. See the Adoption of ASU 2016-02 section below for additional information. Adoption of ASU 2016-02, Leases The Company adopted ASU 2016-02 as of January 1, 2019, using the modified retrospective approach. Prior period amounts have not been adjusted. In addition, the Company elected the following practical expedients: • the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to carry forward the historical lease classification; • the land easements practical expedient, which allowed the Company to carry forward the accounting treatment for land easements on existing agreements; • the short-term lease practical expedient, which allowed the Company to exclude short-term leases from recognition in the consolidated balance sheets; and • the bifurcation of lease and non-lease components practical expedient, which did not require the Company to bifurcate lease and non-lease components for all classes of assets. The adoption of this accounting standard resulted in the recording of Operating lease ROU assets and Operating lease liabilities of $223 million and $240 million , respectively, as of January 1, 2019. The difference between the operating lease assets and liabilities was recorded as an adjustment to Other liabilities, primarily related to deferred rent (lease incentives). The adoption of ASU 2016-02 had no impact on Retained earnings. See Note 2 and Note 21 for additional information. |
Acquisitions, Dispositions and
Acquisitions, Dispositions and Plant Closures | 12 Months Ended |
Dec. 31, 2019 | |
Acquisitions, Dispositions and Plant Closures [Abstract] | |
Acquisitions, Dispositions and Plant Closures | Acquisitions, Dispositions and Plant Closures Plant Closures • Ocotlán, Mexico On June 28, 2019, the Company announced it was consolidating its global acetate manufacturing capabilities with the closure of its acetate flake manufacturing operations in Ocotlán, Mexico. In June 2018, the Company initiated the closure of its acetate tow manufacturing unit at the same location. The Ocotlán, Mexico operations are included in the Company's Acetate Tow segment. The exit and shutdown costs related to the Ocotlán, Mexico closure were as follows: Year Ended December 31, 2019 2018 (In $ millions) Asset impairments (1) 83 — Restructuring (1) 4 2 Accelerated depreciation expense 9 15 Loss on disposition of assets, net 1 1 Other 7 (2) 1 Total 104 19 ______________________________ (1) Included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). (2) Primarily related to inventory write-offs. The Company expects to incur additional exit and shutdown costs related to Ocotlán, Mexico of approximately $12 million through the first quarter of 2021. |
Ventures and Variable Interest
Ventures and Variable Interest Entities | 12 Months Ended |
Dec. 31, 2019 | |
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. 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 Chain 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, 2019 2018 (In $ millions) Cash and cash equivalents 57 24 Trade receivables, net - third party and affiliates 12 11 Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) 622 659 Intangible assets (net of accumulated amortization - 2019: $4; 2018: $3) 22 23 Other assets 9 5 Total assets (1) 722 722 Trade payables 24 16 Other liabilities (2) 5 4 Total debt 4 5 Deferred income taxes 4 3 Total liabilities 37 28 ______________________________ (1) Joint venture 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 finance 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, 2019 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, 2019 2018 (In $ millions) Property, plant and equipment, net 31 42 Trade payables 30 27 Current installments of long-term debt 16 14 Long-term debt 41 58 Total liabilities 87 99 Maximum exposure to loss 113 134 The difference between the total liabilities associated with obligations to nonconsolidated 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
Marketable Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | Marketable Securities The Company holds securities as of December 31, 2019 and 2018 of $40 million and $31 million , respectively, that were recorded at fair value. |
Receivables, Net
Receivables, Net | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Receivables, Net | Receivables, Net As of December 31, 2019 2018 (In $ millions) Trade receivables - third party and affiliates 859 1,027 Allowance for doubtful accounts - third party and affiliates (9 ) (10 ) Trade receivables - third party and affiliates, net 850 1,017 As of December 31, 2019 2018 (In $ millions) Non-income taxes receivable 203 176 Reinsurance receivables 16 14 Income taxes receivable 27 26 Other 85 85 Non-trade receivables, net 331 301 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories As of December 31, 2019 2018 (In $ millions) Finished goods 718 697 Work-in-process 76 70 Raw materials and supplies 244 279 Total 1,038 1,046 |
Investments in Affiliates
Investments in Affiliates | 12 Months Ended |
Dec. 31, 2019 | |
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 equity method of accounting or equity investments without readily determinable fair values 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, 2019 2018 2019 2018 2019 2018 2017 2019 2018 2017 (In percentages) (In $ millions) Engineered Materials Ibn Sina 25 25 164 164 68 96 58 (69 ) (112 ) (1 ) InfraServ GmbH & Co. Hoechst KG (1)(3) 32 32 116 129 14 20 19 (17 ) (25 ) (26 ) Fortron Industries LLC 50 50 133 122 18 14 17 (7 ) (3 ) (6 ) Korea Engineering Plastics Co., Ltd. 50 50 146 150 27 29 25 (28 ) (27 ) (25 ) Polyplastics Co., Ltd. 45 45 192 196 44 64 57 (39 ) (45 ) (64 ) Sherbrooke Capital Health and (2) — 10 — 2 — — 1 — — — Other Activities (3) InfraServ GmbH & Co. Gendorf KG (4) 30 30 38 36 8 7 4 (5 ) (5 ) (5 ) YNCORIS GmbH & Co. KG (4)(5) 22 22 16 16 3 3 2 (3 ) (4 ) (4 ) Total 805 815 182 233 183 (168 ) (221 ) (131 ) ______________________________ (1) InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Engineered Materials segment. The Company's Acetyl Chain segment also holds an ownership percentage. (2) The Company accounted for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. ("Sherbrooke") under the equity method of accounting because the Company was able to exercise significant influence. (3) 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. (4) See Note 18 for further information. (5) Formerly known as InfraServ GmbH & Co. Knapsack KG. Because financial information for Ibn Sina is not available to the Company on a timely basis, the Company's proportional share is reported on a one quarter lag. Accordingly, summarized financial information for Ibn Sina is as follows: As of September 30, 2019 2018 (In $ millions) Current assets 253 448 Noncurrent assets 871 825 Current liabilities 148 200 Noncurrent liabilities 433 450 Twelve Months Ended September 30, 2019 2018 2017 (In $ millions) Revenues 726 913 759 Gross profit 299 396 306 Net income 227 322 256 Equity Investments Without Readily Determinable Fair Values Equity investments without readily determinable fair values and ownership interests by business segment are as follows: Ownership December 31, Carrying as of December 31, Dividend December 31, 2019 2018 2019 2018 2019 2018 2017 (In percentages) (In $ millions) Acetate Tow Kunming Cellulose Fibers Co. Ltd. 30 30 14 14 11 12 12 Nantong Cellulose Fibers Co. Ltd. 31 31 121 115 79 87 81 Zhuhai Cellulose Fibers Co. Ltd. 30 30 30 30 22 13 14 Other Activities InfraServ GmbH & Co. Wiesbaden KG 8 8 5 5 1 1 1 Other — — — 4 — Total 170 164 113 117 108 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 at cost less impairment, adjusted for observable price changes for an identical or similar investment of the same issuer. 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, 2019 2018 2017 (In $ millions) Purchases 291 305 250 Sales and other credits 102 117 77 Interest expense 1 1 — As of December 31, 2019 2018 (In $ millions) Trade receivables 1 — Non-trade receivables 35 29 Total due from affiliates 36 29 Short-term borrowings (1) 67 50 Trade payables 43 46 Current Other liabilities 10 11 Total due to affiliates 120 107 ______________________________ (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, 2019 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, Plant and Equipment, Net | Property, Plant and Equipment, Net As of December 31, 2019 2018 (In $ millions) Land 46 46 Land improvements 78 77 Buildings and building improvements 775 760 Machinery and equipment 5,316 5,223 Construction in progress 455 416 Gross asset value 6,670 6,522 Accumulated depreciation (2,957 ) (2,803 ) Net book value 3,713 3,719 Assets under finance leases, net, included in the amounts above are as follows: As of December 31, 2019 2018 (In $ millions) Buildings 13 14 Machinery and equipment 272 279 Accumulated depreciation (202 ) (188 ) Net book value 83 105 Capitalized interest costs and depreciation expense are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Capitalized interest 8 10 6 Depreciation expense 327 319 285 During 2019 and 2017 , certain long-lived assets were impaired ( Note 18 ). No long-lived assets were impaired during 2018 . |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Net | Goodwill and Intangible Assets, Net Goodwill Engineered Acetate Tow Acetyl Total (In $ millions) As of December 31, 2017 643 149 211 1,003 Acquisitions 84 (1) — — 84 Exchange rate changes (20 ) (1 ) (9 ) (30 ) As of December 31, 2018 707 148 202 1,057 Acquisitions 29 (2) — — 29 Exchange rate changes (9 ) — (3 ) (12 ) As of December 31, 2019 (3) 727 148 199 1,074 ______________________________ (1) Represents goodwill related to the acquisition of Omni Plastics, L.L.C. ("Omni Plastics"). (2) Represents goodwill related to the acquisition of Next Polymers Ltd. ("Next Polymers"). (3) There were $0 million of accumulated impairment losses as of December 31, 2019 . 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, 2019 , 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, 2019 that indicated 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, 2017 38 640 45 54 777 Acquisitions — 32 — 3 35 (1) Renewals 6 (2) — — — 6 Exchange rate changes (2 ) (21 ) (1 ) (1 ) (25 ) As of December 31, 2018 42 651 44 56 793 Acquisitions — 25 — — 25 (3) Exchange rate changes — (9 ) — — (9 ) As of December 31, 2019 42 667 44 56 809 Accumulated Amortization As of December 31, 2017 (33 ) (496 ) (30 ) (32 ) (591 ) Amortization (2 ) (16 ) (3 ) (3 ) (24 ) Exchange rate changes 2 17 1 — 20 As of December 31, 2018 (33 ) (495 ) (32 ) (35 ) (595 ) Amortization (2 ) (16 ) (3 ) (3 ) (24 ) Exchange rate changes — 7 — — 7 As of December 31, 2019 (35 ) (504 ) (35 ) (38 ) (612 ) Net book value 7 163 9 18 197 ______________________________ (1) Primarily related to intangible assets acquired from Omni Plastics during the year ended December 31, 2018, with a weighted average amortization period of 11 years . (2) During the year ended December 31, 2018, the Company extended a research and development technology agreement license, which is being amortized over a period of 5 years. (3) Related to intangible assets acquired from Next Polymers during the year ended December 31, 2019, with a weighted average amortization period of 13 years . Indefinite-lived intangible assets are as follows: Trademarks and Trade Names (In $ millions) As of December 31, 2017 115 Acquisitions — Exchange rate changes (3 ) As of December 31, 2018 112 Acquisitions 4 (1) Impairment loss ( Note 2 ) — Exchange rate changes (1 ) As of December 31, 2019 115 ______________________________ (1) Related to indefinite-lived intangible assets acquired from Next Polymers. 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, 2019 , 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, 2019 that indicated the carrying amount of the assets may not be fully recoverable. Accordingly, no additional impairment analysis was performed during that period. During the year ended December 31, 2019 , the Company did not renew or extend any intangible assets. Estimated amortization expense for the succeeding five fiscal years is as follows: (In $ millions) 2020 21 2021 21 2022 19 2023 17 2024 16 |
Current Other Liabilities
Current Other Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities, Current [Abstract] | |
Current Other Liabilities | Current Other Liabilities As of December 31, 2019 2018 (In $ millions) Asset retirement obligations 6 3 Benefit obligations ( Note 15 ) 28 30 Customer rebates 63 76 Derivatives ( Note 22 ) 8 7 Environmental ( Note 16 ) 12 20 Insurance 6 4 Interest 29 21 Legal ( Note 24 ) 105 4 Operating leases ( Note 21 ) 29 — Restructuring ( Note 18 ) 13 4 Salaries and benefits 89 119 Sales and use tax/foreign withholding tax payable 35 22 Other 38 33 Total 461 343 |
Noncurrent Other Liabilities
Noncurrent Other Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities, Noncurrent [Abstract] | |
Noncurrent Other Liabilities | Noncurrent Other Liabilities As of December 31, 2019 2018 (In $ millions) Asset retirement obligations 13 13 Deferred proceeds 43 44 Deferred revenue 6 7 Derivatives ( Note 22 ) 50 11 Environmental ( Note 16 ) 49 49 Insurance 34 37 Other 28 47 Total 223 208 Changes in asset retirement obligations are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Balance at beginning of year 16 26 29 Additions (1) 5 2 — Accretion — — 1 Payments (3 ) (4 ) (5 ) Revisions to cash flow estimates (2) 1 (8 ) 1 Balance at end of year 19 16 26 ______________________________ (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 year ended December 31, 2017 was $10 million related to indemnifications received for a business acquired in 2005. The asset retirement obligation related to the indemnifications was completed during 2018. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt As of December 31, 2019 2018 (In $ millions) Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates Current installments of long-term debt 28 367 Short-term borrowings, including amounts due to affiliates (1) 81 77 Revolving credit facility (2) 272 40 Accounts receivable securitization facility (3) 115 77 Total 496 561 ______________________________ (1) The weighted average interest rate was 2.3% and 3.2% as of December 31, 2019 and 2018 , respectively. (2) The weighted average interest rate was 1.6% and 6.0% as of December 31, 2019 and 2018 , respectively. (3) The weighted average interest rate was 2.4% and 3.1% as of December 31, 2019 and 2018 , respectively. As of December 31, 2019 2018 (In $ millions) Long-Term Debt Senior unsecured notes due 2019, interest rate of 3.250% — 343 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% 841 857 Senior unsecured notes due 2024, interest rate of 3.500% 499 — Senior unsecured notes due 2025, interest rate of 1.250% 337 343 Senior unsecured notes due 2027, interest rate of 2.125% 558 568 Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% 167 167 Nilit Group ("Nilit") bank loans due at various dates through 2026 (1) 9 10 Obligations under finance leases due at various dates through 2054 144 167 Subtotal 3,455 3,355 Unamortized debt issuance costs (2) (18 ) (18 ) Current installments of long-term debt (28 ) (367 ) Total 3,409 2,970 ______________________________ (1) The weighted average interest rate was 1.3% and 1.3% as of December 31, 2019 and 2018 , respectively. (2) Related to the Company's long-term debt, excluding obligations under finance leases. Senior Credit Facilities On January 7, 2019, Celanese, Celanese US and certain subsidiary borrowers entered into a new senior credit agreement (the "Credit Agreement") consisting of a $1.25 billion senior unsecured revolving credit facility (with a letter of credit sublimit), maturing in 2024. 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, 2019 (In $ millions) Revolving Credit Facility Borrowings outstanding (1) 272 Letters of credit issued — Available for borrowing (2) 978 ______________________________ (1) The Company borrowed $1.3 billion and repaid $1.1 billion under its senior unsecured revolving credit facility during the year ended December 31, 2019 . (2) The margin for borrowings under the senior unsecured revolving credit facility was 1.25% above LIBOR or EURIBOR 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 May 8, 2019, Celanese US completed an offering of $500 million in principal amount of 3.500% senior unsecured notes due May 8, 2024 (the " 3.500% Notes") in a public offering registered under the Securities Act. The 3.500% Notes were issued at a discount to par at a price of 99.895% , which is being amortized to Interest expense in the consolidated statement of operations over the term of the 3.500% Notes. Net proceeds from the sale of the 3.500% Notes were used to redeem in full the 3.250% senior unsecured notes due October 15, 2019 (the "3.250 Notes"), to repay $156 million of outstanding borrowings under the senior unsecured revolving credit facility and for general corporate purposes. In connection with the issuance of the 3.500% Notes, the Company entered into a cross-currency swap to effectively convert its fixed-rate US dollar denominated debt under the 3.500% Notes, including annual interest payments and the payment of principal at maturity, to fixed-rate Euro denominated debt. See Note 22 for additional information. In November 2018, Celanese US completed an offering of €500 million in principal amount of 2.125% senior unsecured notes due March 1, 2027 (the " 2.125% Notes") in a public offering registered under the Securities Act. The 2.125% Notes were issued under a base indenture dated May 6, 2011. The 2.125% Notes were issued at a discount to par at a price of 99.231% , which is being amortized to Interest expense in the consolidated statements of operations over the term of the 2.125% Notes. Net proceeds from the sale of the 2.125% Notes were used to repay $463 million of the senior unsecured term loan and for general corporate purposes. Principal payments scheduled to be made on the Company's debt, including short-term borrowings, are as follows: (In $ millions) 2020 496 2021 429 2022 525 2023 859 2024 533 Thereafter 1,081 Total 3,923 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 facility, which permits cash borrowings and letters of credit, was amended on July 8, 2019 to extend the maturity date to July 6, 2020 and modify certain events of default, limitations on concentrations of obligors and certain of the components used to calculate the SPE reserves. 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, 2019 (In $ millions) Accounts Receivable Securitization Facility Borrowings outstanding (1) 115 Letters of credit issued — Available for borrowing 5 Total borrowing base 120 Maximum borrowing base (2) 120 ______________________________ (1) The Company borrowed $112 million and repaid $74 million under this facility during the year ended December 31, 2019 . (2) Outstanding accounts receivable transferred to the SPE was $161 million . Other Financing Arrangements In June 2018, the Company entered into a factoring agreement with a global financial institution to sell certain accounts receivable on a non-recourse basis. These transactions are treated as a sale and are accounted for as a reduction in accounts receivable because the agreement transfers effective control over and risk related to the receivables to the buyer. The Company has no continuing involvement in the transferred receivables, other than collection and administrative responsibilities and, once sold, the accounts receivable are no longer available to satisfy creditors in the event of bankruptcy. The Company de-recognized $257 million and $117 million of accounts receivable under this factoring agreement as of December 31, 2019 and 2018 , respectively. 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, 2019 . |
Benefit Obligations
Benefit Obligations | 12 Months Ended |
Dec. 31, 2019 | |
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. 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 2019 unaudited and 2018 audited multiemployer defined benefit plan's financial statements, the plan is 100% funded in 2019 , 2018 and 2017 . The number of employees covered by the Company's multiemployer defined benefit plan remained relatively stable year over year from 2017 to 2019 , 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, 2019 2018 2017 (In $ millions) Multiemployer defined benefit plan 8 8 7 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, 2019 2018 (In $ millions) Postemployment benefits 7 8 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. The amount of costs recognized for the Company's defined contribution plans are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Defined contribution plans 42 40 40 Summarized information on the Company's pension and postretirement benefit plans is as follows: Pension Benefits Postretirement Benefits 2019 2018 2019 2018 (In $ millions) Change in Projected Benefit Obligation Projected benefit obligation as of beginning of period 3,412 3,728 59 66 Service cost 9 9 — 1 Interest cost 115 104 2 2 Net actuarial (gain) loss (1) 377 (163 ) 8 (4 ) Settlements (3 ) — — — Benefits paid (230 ) (235 ) (5 ) (4 ) Curtailments — (1 ) — — Special termination benefits 1 2 — — Exchange rate changes (3 ) (32 ) — (2 ) Other (2) (68 ) — — — Projected benefit obligation as of end of period 3,610 3,412 64 59 Change in Plan Assets Fair value of plan assets as of beginning of period 2,915 3,251 — — Actual return on plan assets 467 (124 ) — — Employer contributions 42 43 5 4 Settlements (3 ) — — — Benefits paid (3) (230 ) (235 ) (5 ) (4 ) Other (2) (52 ) — — — Exchange rate changes 2 (20 ) — — Fair value of plan assets as of end of period 3,141 2,915 — — Funded status as of end of period (469 ) (497 ) (64 ) (59 ) Amounts Recognized in the Consolidated Balance Sheets Consist of: Noncurrent Other assets 77 30 — — Current Other liabilities (23 ) (24 ) (4 ) (5 ) Benefit obligations (523 ) (503 ) (60 ) (54 ) Net amount recognized (469 ) (497 ) (64 ) (59 ) Amounts Recognized in Accumulated Other Comprehensive Income Consist of: Net actuarial (gain) loss (4) 15 8 — — Prior service (benefit) cost — — (1 ) — Net amount recognized (5) 15 8 (1 ) — ______________________________ (1) Primarily relates to changes in discount rates. (2) Primarily relates to lump sum offers for certain participants of the US qualified defined benefit pension plan. (3) Includes benefit payments to nonqualified pension plans of $21 million and $22 million as of December 31, 2019 and 2018 , respectively. (4) Relates to the pension plans of the Company's equity method investments. (5) Amount shown net of an income tax benefit of $4 million and $5 million as of December 31, 2019 and 2018 , 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 2019 2018 2019 2018 (In percentages) US plans 81 82 55 57 International plans 19 18 45 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 2019 2018 (In percentages) US plans 87 88 International plans 13 12 Total 100 100 Pension plans with projected benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Projected benefit obligation 881 840 Fair value of plan assets 337 314 Pension plans with accumulated benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Accumulated benefit obligation 776 749 Fair value of plan assets 255 243 Other postretirement plans with accumulated postretirement benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Accumulated postretirement benefit obligation 64 58 Fair value of plan assets — — The accumulated benefit obligation for all defined benefit pension plans is as follows: As of December 31, 2019 2018 (In $ millions) Accumulated benefit obligation 3,584 3,390 The components of net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2019 2018 2017 2019 2018 2017 (In $ millions) Service cost 9 9 9 — 1 1 Interest cost 115 104 107 2 2 1 Expected return on plan assets (185 ) (210 ) (198 ) — — — Amortization of prior service cost / (credit) — — — — — (1 ) Recognized actuarial (gain) loss 79 169 48 8 (4 ) (2 ) Curtailment (gain) loss — (1 ) — — — — Special termination benefit 1 2 1 — — — Total 19 73 (33 ) 10 (1 ) (1 ) The Company maintains nonqualified pension plans funded with nonqualified trusts for certain US employees as follows: As of December 31, 2019 2018 (In $ millions) Nonqualified Trust Assets Marketable securities 24 31 Noncurrent Other assets, consisting of insurance contracts 35 37 Nonqualified Pension Obligations Current Other liabilities 20 21 Benefit obligations 219 213 (Income) 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, 2019 2018 2017 (In $ millions) Total 26 (3 ) 18 Valuation The principal weighted average assumptions used to determine benefit obligation are as follows: Pension Benefits Postretirement Benefits 2019 2018 2019 2018 (In percentages) Discount Rate Obligations US plans 3.2 4.2 3.1 4.1 International plans 1.4 2.1 2.7 3.4 Combined 2.8 3.8 2.9 3.8 Rate of Compensation Increase US plans N/A N/A International plans 2.6 2.8 Combined 2.6 2.8 The principal weighted average assumptions used to determine net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2019 2018 2017 2019 2018 2017 (In percentages) Discount Rate Obligations US plans 4.2 3.5 3.9 4.1 3.4 3.8 International plans 2.1 2.1 2.1 3.4 3.2 3.3 Combined 3.8 3.3 3.7 3.8 3.2 3.4 Discount Rate Service Cost US plans 3.1 1.9 1.2 4.6 3.7 4.0 International plans 2.5 2.3 2.5 3.4 3.3 3.4 Combined 2.5 2.2 2.5 3.4 2.9 2.9 Discount Rate Interest Cost US plans 3.9 3.1 3.3 3.8 3.0 3.1 International plans 1.8 1.7 1.7 3.2 2.9 2.9 Combined 3.5 2.9 3.1 3.5 2.9 2.9 Expected Return on Plan Assets US plans 6.7 6.8 7.5 International plans 5.6 5.9 5.9 Combined 6.5 6.7 7.3 Rate of Compensation Increase US plans N/A N/A N/A International plans 2.8 2.8 2.8 Combined 2.8 2.8 2.8 Interest Crediting Rate US plans 3.0 2.8 2.3 International plans N/A N/A N/A Combined 3.0 2.8 2.3 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, 2019 2018 2017 (In percentages, except year) Health care cost trend rate assumed for next year 8.0 8.5 9.0 Health care cost trend ultimate rate 5.0 5.0 5.0 Health care cost trend ultimate rate year 2026 2026 2026 Plan Assets The weighted average target asset allocations for the Company's pension plans in 2019 are as follows: US Plans International Plans (In percentages) Bonds - domestic to plans 80 58 Equities - domestic to plans 10 15 Equities - international to plans 10 — Other — 27 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, 2019 was 16.6% versus an expected long-term rate of asset return assumption of 6.7% . The expected long-term rate of asset return assumption used to determine 2020 net periodic benefit cost is 6.7% 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, 2019 2018 2019 2018 2019 2018 (In $ millions) Assets Cash and cash equivalents 8 2 — — 8 2 Derivatives Swaps — — 7 3 7 3 Equity securities International companies 77 59 — — 77 59 Fixed income Corporate debt — — 762 691 762 691 Treasuries, other debt 35 127 1,403 1,293 1,438 1,420 Mortgage backed securities — — 15 8 15 8 Insurance contracts — — 47 35 47 35 Other 4 4 1 1 5 5 Total investments, at fair value (1) 124 192 2,235 2,031 2,359 2,223 Liabilities Derivatives Swaps — — 7 3 7 3 Total liabilities — — 7 3 7 3 Total net assets (2) 124 192 2,228 2,028 2,352 2,220 ______________________________ (1) 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, 2019 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $689 million , $62 million and $35 million , respectively. Total investments, at fair value, for the year ended December 31, 2018 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $595 million , $54 million and $29 million , respectively. (2) Total net assets excludes non-financial plan receivables and payables of $29 million and $26 million , respectively, as of December 31, 2019 and $36 million and $19 million , respectively, as of December 31, 2018 . Non-financial items include due to/from broker, interest receivables and accrued expenses. Benefit obligation funding is as follows: Total Expected 2020 (In $ millions) Cash contributions to defined benefit pension plans 23 Benefit payments to nonqualified pension plans 20 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) 2020 238 5 2021 228 4 2022 225 4 2023 223 4 2024 219 4 2025-2029 1,038 17 ______________________________ (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, 2019 | |
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 ongoing 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 liabilities are as follows: As of December 31, 2019 2018 (In $ millions) Demerger obligations ( Note 24 ) 23 26 Divestiture obligations ( Note 24 ) 12 16 Active sites 13 14 US Superfund sites 11 11 Other environmental remediation liabilities 2 2 Total 61 69 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 2019 or have any receivables for insurance recoveries related to these matters as of December 31, 2019 . 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, 2019 Ownership Liability Reserves (1) (In percentages) (In $ millions) InfraServ GmbH & Co. Gendorf KG 30 10 9 InfraServ GmbH & Co. Hoechst KG 32 40 68 YNCORIS GmbH & Co. KG (2) 22 22 1 ______________________________ (1) Gross reserves maintained by the respective entity. (2) Formerly known as InfraServ GmbH & Co. Knapsack KG. 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 any probable and reasonably estimable liabilities. In establishing these liabilities, the Company considers the contaminants of concern, the potential impact thereof, the relationship of the 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 ("LPRSA"), 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. In March 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 contaminants of concern to the Passaic River. On June 30, 2018, Occidental Chemical Corporation ("OCC"), the successor to the Diamond Alkali Company, sued a subsidiary of the Company and 119 other parties alleging claims for joint and several damages, contribution and declaratory relief under Section 107 and 113 of Superfund for costs to clean up the LPRSA portion of the Diamond Alkali Superfund Site, Occidental Chemical Corporation v. 21st Century Fox America, Inc., et al , No. 2:18-CV-11273-JLL-JAD (U.S. District Court New Jersey), alleging that each of the defendants owned or operated a facility that contributed contamination to the LPRSA. With respect to the Company, the OCC lawsuit is limited to the former Celanese facility that Essex County, New Jersey has agreed to indemnify the Company for and does not change the Company's estimated liability for LPRSA cleanup costs. The Company is vigorously defending these matters 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, 2019 | |
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 amount available to the Company to pay cash dividends is not currently restricted by its existing senior credit facility and its indentures governing its senior unsecured notes. Any decision to declare and pay dividends in the future will be made at the discretion of the Company's Board of Directors and will depend on, among other things, the results of operations, cash requirements, financial condition, contractual restrictions and other factors that the Company's Board of Directors may deem relevant. 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 2017 28 0.46 1.84 May 2017 April 2018 17 0.54 2.16 May 2018 April 2019 15 0.62 2.48 May 2019 On February 5, 2020 , the Company declared a quarterly cash dividend of $0.62 per share on its Common Stock amounting to $74 million . The cash dividend will be paid on February 28, 2020 to holders of record as of February 18, 2020 . 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 2019 2018 2017 Shares repurchased 9,166,267 7,933,692 (1) 5,436,803 56,878,978 Average purchase price per share $ 109.10 $ 103.01 $ 91.97 $ 73.01 Amount spent on repurchased shares (in millions) $ 1,000 $ 817 $ 500 $ 4,153 Aggregate Board of Directors repurchase authorizations during the period (in millions) $ 1,500 $ — $ 1,500 $ 5,366 ______________________________ (1) Excludes 1,700 common shares reacquired pursuant to an employee clawback agreement. 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, 2019 2018 2017 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 (10 ) (6 ) (16 ) (65 ) 5 (60 ) 162 12 174 Gain (loss) on cash flow hedges (38 ) 8 (30 ) (12 ) 2 (10 ) — (1 ) (1 ) Pension and postretirement benefits (6 ) (1 ) (7 ) 1 (1 ) — 7 2 9 Total (54 ) 1 (53 ) (76 ) 6 (70 ) 169 12 181 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, 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 comprehensive income (loss) before reclassifications — (65 ) (11 ) 1 (75 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (1 ) — (1 ) Income tax (provision) benefit — 5 2 (1 ) 6 As of December 31, 2018 — (236 ) (8 ) (3 ) (247 ) Other comprehensive income (loss) before reclassifications — (10 ) (36 ) (6 ) (52 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (2 ) — (2 ) Income tax (provision) benefit — (6 ) 8 (1 ) 1 As of December 31, 2019 — (252 ) (38 ) (10 ) (300 ) |
Other (Charges) Gains, Net
Other (Charges) Gains, Net | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Other (Charges) Gains, Net | Other (Charges) Gains, Net Year Ended December 31, 2019 2018 2017 (In $ millions) Restructuring ( Note 4 ) (23 ) (4 ) (3 ) InfraServ ownership change — — (4 ) Asset impairments ( Note 4 ) (83 ) — — Plant/office closures (4 ) 13 (52 ) Commercial disputes (4 ) — — European Commission investigation (89 ) — — Total (203 ) 9 (59 ) 2019 During the year ended December 31, 2019 , the Company recorded an $83 million long-lived asset impairment loss related to the closure of its acetate flake manufacturing operations in Ocotlán, Mexico ( Note 4 ). The long-lived asset impairment loss was measured at the date of impairment to write-off the related property, plant and equipment and was included in the Company's Acetate Tow segment. During the year ended December 31, 2019 , the Company recorded a $4 million loss within commercial disputes, which included $19 million in losses related to settlements with former third-party customers that were included within the Other Activities segment, partially offset by a $15 million gain related to a settlement from a previous acquisition that was included within the Engineered Materials segment. In May 2017, the Company learned that the European Commission opened a competition law investigation involving certain subsidiaries of the Company with respect to certain past ethylene purchases. During the year ended December 31, 2019 , the Company recorded a reserve of $89 million as a result of information learned from the European Commission's investigation, which was included within the Other Activities segment. During the year ended December 31, 2019 , the Company recorded $23 million of employee termination benefits primarily related to Company-wide business optimization projects. 2018 During the year ended December 31, 2018 , the Company recorded a $13 million gain within plant/office closures related to a non-income tax receivable refund from Nanjing, China, in its Acetyl Chain segment. During the year ended December 31, 2018 , 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. 2017 During the year ended December 31, 2017 , the Company recorded $3 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 to purchase additional ownership interests in the InfraServ entities from the Company. The purchase of these interests reduced the Company's ownership interests in InfraServ GmbH & Co. Gendorf KG and YNCORIS GmbH & Co. KG (formerly known as 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 . These InfraServ investments are primarily owned by entities included in the Other Activities segment. 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 $52 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 Chain segment. The changes in the restructuring liabilities by business segment are as follows: Engineered Materials Acetate Tow Acetyl Chain Other Total (In $ millions) Employee Termination Benefits As of December 31, 2017 1 — 1 1 3 Additions — 2 2 — 4 Cash payments (1 ) — (1 ) (1 ) (3 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2018 — 2 2 — 4 Additions 10 4 1 9 24 Cash payments (5 ) (3 ) (2 ) (4 ) (14 ) Other changes — — (1 ) — (1 ) Exchange rate changes — — — — — As of December 31, 2019 5 3 — 5 13 Other Plant/Office Closures As of December 31, 2017 — — 2 — 2 Additions — — — — — Cash payments — — (2 ) — (2 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2018 — — — — — Additions — 1 — — 1 Cash payments — (1 ) — — (1 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2019 — — — — — Total 5 3 — 5 13 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On December 31, 2017, the Tax Cuts and Jobs Act (the "TCJA") was enacted and was effective January 1, 2018. In accordance with ASC 740, Accounting for Income Taxes , which requires companies to recognize the effects of tax law changes in the period of enactment, the Company recorded the initial impacts of the TCJA in 2017. 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 accumulated approximately $3.0 billion as of December 31, 2017, was taxed at 8% to the extent those earnings were reinvested in non-cash foreign assets, while previously unremitted earnings that had not been reinvested, computed based upon a two-year historical average of foreign cash and cash equivalents balances, were taxed at 15.5% . The Company recorded a net charge of $197 million for this deemed repatriation in 2017, for which it does not expect a material cash outlay due to available foreign tax credit carryforwards. 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. At the time the TCJA was enacted, the global minimum income tax and base erosion provisions would not be effective until the tax years beginning after December 31, 2017. Based on available elections, the Company chose to not record deferred taxes related to the estimated future income tax effects of the global minimum income tax provision. The US Treasury issued proposed regulations in 2018 that sought to clarify the application of the TCJA provisions for the limitation of interest expense, including treatment of depreciation and other deductions in arriving at adjusted taxable income and application of the rules to controlled foreign affiliates. In 2019, the US Treasury issued additional final and proposed regulations supplementing the TCJA provisions around base erosion payments, expense and foreign tax apportionment for foreign tax credit purposes and dividends received deductions at the foreign affiliate level. These proposed regulations are generally effective for years ending after the date they are published in the federal register. For guidance provided in both 2018 and 2019, the Company does not expect the final or proposed regulations, in current form, to have a material impact on current or future income tax expense. As a result, the Company will continue to monitor their expected impacts on the Company's filing positions and will record the impacts as discrete income tax expense adjustments in the period that the guidance is finalized. Income Tax Provision Earnings (loss) from continuing operations before tax by jurisdiction are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) US 252 480 262 International 736 1,030 813 Total 988 1,510 1,075 The income tax provision (benefit) consists of the following: Year Ended December 31, 2019 2018 2017 (In $ millions) Current US (8 ) (184 ) 201 International 149 143 158 Total 141 (41 ) 359 Deferred US 1 314 (110 ) International (18 ) 19 (36 ) Total (17 ) 333 (146 ) Total 124 292 213 A reconciliation of the significant differences between the US federal statutory tax rate of 21% ( 35% for 2017) and the effective income tax rate on income from continuing operations is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions, except percentages) Income tax provision computed at US federal statutory tax rate 208 317 376 Change in valuation allowance (47 ) 94 218 Equity income and dividends (38 ) (48 ) (87 ) (Income) expense not resulting in tax impact, net (9 ) (51 ) (157 ) US tax effect of foreign earnings and dividends 85 25 521 Foreign tax credits (76 ) (20 ) (759 ) Other foreign tax rate differentials 4 17 (38 ) Legislative changes (3 ) (59 ) 116 State income taxes, net of federal benefit 6 4 12 Other, net (6 ) 13 11 Income tax provision (benefit) 124 292 213 Effective income tax rate 13 % 19 % 20 % 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 offshore cash balances. The Company has not recorded a deferred tax liability for foreign withholding or other foreign local tax that would be due when cash is actually repatriated to the US because those 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 effective income tax rate for the year ended December 31, 2019 was significantly lower than the effective income tax rate for the year ended December 31, 2018 . This variation was primarily due to a valuation allowance provided against Luxembourg net operating loss carryforwards in 2018. In addition, the 2019 effective income tax rate benefited from the favorable impact of a 2019 release of valuation allowances due to higher projected utilization of foreign tax credit carryforwards. The higher projected utilization resulted from (1) a shift in the expected sourcing of forecasted US taxable income (domestic vs. foreign sourced) and (2) new regulatory guidance issued in 2019. The effective tax rate for the year ended December 31, 2018 was comparable to the effective tax rate for the year ended December 31, 2017. The effective tax rate for 2018 was slightly less than the statutory US tax rate primarily due to the positive impact from the jurisdictional mix of earnings, largely offset by increased valuation allowances established on certain deferred tax assets, particularly related to increases in provisionally recorded estimates of valuation allowances on foreign tax credits in the US and net operating loss carryforwards in Luxembourg, due to certain restructuring transactions completed to facilitate future repatriation of cash to the US. During 2017, the Company undertook various reorganization transactions to separate certain Acetate Tow assets to reorganize the holdings of its various foreign subsidiaries. As a result, the Company generated additional net foreign tax credit carryforwards of approximately $240 million , the gross impacts of which were reflected in the Foreign tax credits line and the US tax effect of foreign earnings lines above, that will be carried forward to future tax periods. These new credit carryforwards, as well as other credits carried forward 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 was reflected in the Change in valuation allowance line in the effective tax rate reconciliation above. 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, 2019 2018 (In $ millions) Deferred Tax Assets Pension and postretirement obligations 140 138 Accrued expenses 57 61 Inventory 11 13 Net operating loss carryforwards 506 616 Tax credit carryforwards 273 330 Other 227 195 Subtotal 1,214 1,353 Valuation allowance (1) (714 ) (899 ) Total 500 454 Deferred Tax Liabilities Depreciation and amortization 411 375 Investments in affiliates 192 203 Other 58 47 Total 661 625 Net deferred tax assets (liabilities) (161 ) (171 ) ______________________________ (1) Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, the United Kingdom, Mexico, 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. Tax Carryforwards • Net Operating Loss Carryforwards As of December 31, 2019 , the Company had available US federal net operating loss carryforwards of $31 million that are subject to limitation. These net operating loss carryforwards begin to expire in 2022 . As of December 31, 2019 , the Company also had available state net operating loss carryforwards, net of federal tax impact, of $35 million , $28 million of which are offset by a valuation allowance due to uncertain recoverability. The Company also has foreign net operating loss carryforwards available as of December 31, 2019 of $1.8 billion primarily for Luxembourg, China, Mexico and Spain, with various expiration dates. Net operating loss carryforwards of $167 million in China are scheduled to expire beginning in 2020 through 2024 . Net operating losses in most other foreign jurisdictions do not have an expiration date. • Tax Credit Carryforwards The Company had available $243 million of foreign tax credit carryforwards, which are mostly offset by a valuation allowance of $207 million due to uncertain recoverability and $18 million of alternative minimum tax credit carryforwards in the US. The foreign tax credit carryforwards are subject to a ten-year carryforward period and expire beginning in 2027 . The alternative minimum tax credits are subject to annual limitation due to prior ownership changes, but have an unlimited carryforward period and can be used to offset federal tax liability in future years. The Company also has $8 million of research and development tax credit carryforwards as of December 31, 2019 , which it expects to utilize prior to expiration beginning in 2037 . The Company evaluates its deferred tax assets on a quarterly basis to determine whether a valuation allowance is necessary. Realization of deferred tax assets ultimately depends on the existence of sufficient taxable income in the applicable carryback or carryforward periods. Changes in the Company's estimates of future taxable income and prudent and feasible tax planning strategies will affect the estimate of the realization of the tax benefits of these foreign tax credit carryforwards. As such, the Company is currently evaluating tax planning strategies to enable use of the foreign tax credit carryforwards that may decrease the Company's effective tax rate in future periods as the valuation allowance is reversed. Uncertain Tax Positions Activity related to uncertain tax positions is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) As of the beginning of the year 162 119 114 Increases in tax positions for the current year 1 61 14 Increases in tax positions for prior years (1) 37 4 4 Decreases in tax positions for prior years (41 ) (21 ) (7 ) Decreases due to settlements (25 ) (1 ) (6 ) As of the end of the year 134 162 119 Total uncertain tax positions that if recognized would impact the effective tax rate 132 154 100 Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations (2) 5 1 6 Total amount of interest expense and penalties recognized in the consolidated balance sheets 45 38 38 ______________________________ (1) Includes the impact on uncertain tax positions for the year ended December 31, 2019 due to the closure of federal income tax audits for the years 2009 through 2012 and uncertain tax positions related to the Nilit acquisition 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 an audit closure that was reflected in the consolidated statements of operations. The Company primarily operates in the US, Germany, Belgium, Canada, China, Italy, Mexico and Singapore. Examinations are ongoing in a number of these jurisdictions. The Company's US tax returns for the years 2013 through 2015 are currently under audit by the US Internal Revenue Service ("IRS"). 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, 2019 was primarily due to progress of tax examinations. 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. During the year ended December 31, 2019 , the IRS concluded federal income tax audits of the Company's tax returns for the years 2009 through 2012. The examinations did not result in a material impact to income tax expense. The Company's 2013 through 2015 tax years are under joint examination by the US, German and Dutch taxing authorities. The examinations are in the preliminary data gathering phase. |
Management Compensation Plans
Management Compensation Plans | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Management Compensation Plans | Management Compensation Plans General Plan Description The 2018 GIP enables the compensation committee of the Board of Directors (and the Board of Directors as to non-management 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, 2019 Shares Available for Awards Shares Subject to Outstanding Awards 2018 GIP 6,244,945 473,903 2009 GIP — 959,696 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, 2018 812 75.25 Granted 259 92.61 Additional performance-based RSUs granted (1) 330 56.14 Vested (663 ) 56.14 Forfeited (88 ) 90.70 As of December 31, 2019 650 89.86 ______________________________ (1) Represents additional 2016 performance-based RSU grants that were awarded in 2019 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, 2019 2018 2017 (In $ millions) Total 66 8 42 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, 2018 386 86.69 Granted 228 96.22 Vested (188 ) 80.95 Forfeited (25 ) 90.42 As of December 31, 2019 401 94.56 The fair value of shares vested for time-based RSUs is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Total 20 21 12 The weighted average grant date fair value of RSUs granted is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Total 46 48 59 As of December 31, 2019 , there was $42 million of unrecognized compensation cost related to RSUs, excluding actual forfeitures, which is expected to be recognized over a weighted average period of 2 years. The Company realized income tax benefits from RSU vestings as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Income tax benefit realized 6 7 9 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases The components of lease expense are as follows: Year Ended Statement of Operations Classification (In $ millions) Lease Cost Operating lease cost 39 Cost of sales / Selling, general and administrative expenses Short-term lease cost 23 Cost of sales / Selling, general and administrative expenses Variable lease cost 8 Cost of sales / Selling, general and administrative expenses Finance lease cost Amortization of leased assets 19 Cost of sales Interest on lease liabilities 18 Interest expense Total net lease cost 107 Supplemental consolidated balance sheet information related to leases is as follows: As of Balance Sheet Classification (In $ millions) Leases Assets Operating lease assets 203 Operating lease ROU assets Finance lease assets 83 Property, plant and equipment, net Total leased assets 286 Liabilities Current Operating 29 Current Other liabilities Finance 26 Short-term borrowings and current installments of long-term debt Noncurrent Operating 181 Operating lease liabilities Finance 118 Long-term debt Total lease liabilities 354 As of Weighted-Average Remaining Lease Term (years) Operating leases 15.0 Finance leases 6.9 Weighted-Average Discount Rate Operating leases 2.7 % Finance leases 11.5 % Supplemental consolidated cash flow information related to leases is as follows: Year Ended (In $ millions) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases 36 Operating cash flows from finance leases 19 Financing cash flows from finance leases 23 ROU assets obtained in exchange for finance lease liabilities — ROU assets obtained in exchange for operating lease liabilities 11 Maturities of lease liabilities are as follows: As of December 31, 2019 Operating Leases Finance Leases (In $ millions) 2020 35 42 2021 27 40 2022 23 31 2023 21 23 2024 18 18 Later years 132 70 Total lease payments 256 224 Less amounts representing interest (46 ) (80 ) Total lease obligations 210 144 See Note 3 for additional information regarding the adoption of ASU 2016-02, Leases. Disclosures related to periods prior to adoption of ASU 2016-02 Operating lease rent expense was approximately $96 million for the year ended December 31, 2018 . Future minimum lease payments under non-cancelable rental and lease agreements which had initial or remaining terms in excess of one year are as follows: As of December 31, 2018 Operating Leases Capital Leases (In $ millions) 2019 43 42 2020 34 42 2021 25 40 2022 23 32 2023 21 23 Later years 130 88 Minimum lease commitments 276 267 Less amounts representing interest (100 ) Present value of net minimum lease obligations 167 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Derivatives Designated As Hedges Cash Flow Hedges The total notional amount of the forward-starting interest rate swap designated as a cash flow hedge is as follows: As of December 31, 2019 2018 (In $ millions) Total 400 400 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, 2019 2018 (In € millions) Total 1,578 1,550 Derivatives Not Designated As Hedges 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: 2020 Maturity (In $ millions) Currency Brazilian real (10 ) British pound sterling (88 ) Canadian dollar (8 ) Chinese yuan (46 ) Euro (170 ) Hungarian forint 13 Indonesian rupiah (11 ) Korean won 16 Mexican peso (27 ) Singapore dollar 30 Swedish krona (4 ) Total (305 ) Gross notional values of the foreign currency forwards and swaps are as follows: As of December 31, 2019 2018 (In $ millions) Total 692 1,071 Hedging activity for foreign currency forwards, commodity swaps and interest rate swaps is as follows: Year Ended December 31, Statement of Operations Classification 2019 2018 2017 (In $ millions) Hedging activities 2 1 4 Cost of sales; Interest expense 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, 2019 2018 2017 2019 2018 2017 (In $ millions) Designated as Cash Flow Hedges Commodity swaps (5 ) (2 ) 4 2 1 5 Cost of sales Interest rate swaps (30 ) (10 ) — — — — Interest expense Foreign currency forwards — 1 (1 ) — — (1 ) Cost of sales Total (35 ) (11 ) 3 2 1 4 Designated as Net Investment Hedges Foreign currency denominated debt ( Note 14 ) 37 51 (119 ) — — — N/A Cross-currency swaps ( Note 14 ) 3 — — — — — N/A Foreign currency forwards — — 2 — — — N/A Total 40 51 (117 ) — — — Not Designated as Hedges Foreign currency forwards and swaps — — — (3 ) 13 2 Foreign exchange gain (loss), net; Other income (expense), net Total — — — (3 ) 13 2 See Note 23 for additional information regarding the fair value of the Company's derivative instruments. Certain of the Company's commodity swaps, interest rate swaps, cross-currency 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, 2019 2018 (In $ millions) Derivative Assets Gross amount recognized 16 11 Gross amount offset in the consolidated balance sheets 1 2 Net amount presented in the consolidated balance sheets 15 9 Gross amount not offset in the consolidated balance sheets 8 3 Net amount 7 6 As of December 31, 2019 2018 (In $ millions) Derivative Liabilities Gross amount recognized 59 20 Gross amount offset in the consolidated balance sheets 1 2 Net amount presented in the consolidated balance sheets 58 18 Gross amount not offset in the consolidated balance sheets 8 3 Net amount 50 15 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
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 interest rate swaps, commodity swaps, cross-currency 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 interest rate swaps, commodity swaps, cross-currency 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, 2019 2018 2019 2018 2019 2018 (In $ millions) Derivatives Designated as Cash Flow Hedges Commodity swaps — — — 1 — 1 Current Other assets Designated as Net Investment Hedges Cross-currency swaps — — 13 — 13 — Current Other assets Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — 2 8 2 8 Current Other assets Total assets — — 15 9 15 9 Derivatives Designated as Cash Flow Hedges Commodity swaps — — (4 ) — (4 ) — Current Other liabilities Commodity swaps — — (3 ) (1 ) (3 ) (1 ) Noncurrent Other liabilities Interest rate swaps — — (40 ) (10 ) (40 ) (10 ) Noncurrent Other liabilities Derivatives Designated as a Net Investment Hedges Cross-currency swaps — — (1 ) — (1 ) — Current Other liabilities Cross-currency swaps — — (7 ) — (7 ) — Noncurrent Other liabilities Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — (3 ) (7 ) (3 ) (7 ) Current Other liabilities Total liabilities — — (58 ) (18 ) (58 ) (18 ) 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, 2019 2018 2019 2018 2019 2018 2019 2018 (In $ millions) Equity investments without readily determinable fair values 170 164 — — — — — — Insurance contracts in nonqualified trusts 35 37 35 37 — — 35 37 Long-term debt, including current installments of long-term debt 3,455 3,355 3,456 3,204 143 168 3,599 3,372 In general, the equity investments included in the table above are not publicly traded and their fair values are not readily determinable. The Company believes the carrying values approximate fair value. 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 finance 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, 2019 and 2018 , 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, 2019 | |
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, 2019 are $92 million . Though the Company is significantly under its obligation cap under Category B, 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 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 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 $116 million as of December 31, 2019 . 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 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, 2019 , the Company had unconditional purchase obligations of $1.2 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, insurance coverage 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 Investigation In May 2017, the Company learned that the European Commission opened a competition law investigation involving certain subsidiaries of the Company with respect to certain past ethylene purchases. Based on information learned from the European Commission regarding its investigation, Celanese recorded a reserve of $89 million during the year ended December 31, 2019 . The Company is continuing to cooperate with the European Commission. See Note 18 for additional information. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Year Ended December 31, 2019 2018 2017 (In $ millions) Interest paid, net of amounts capitalized 118 133 130 Taxes paid, net of refunds 157 100 123 Noncash Investing and Financing Activities Accrued treasury stock repurchases 4 13 — Accrued capital expenditures 20 (4 ) 14 Asset retirement obligations 6 (7 ) 2 Fair value adjustment to securities available for sale, net of tax — — (1 ) |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2019 | |
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: • Engineered Materials The Company's Engineered Materials segment includes the engineered materials business, our food ingredients 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 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. It is also 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. • Acetate Tow The Company's Acetate Tow segment serves consumer-driven applications and is a leading global producer and supplier of acetate tow and acetate flake, primarily used in filter products applications. • Acetyl Chain The Company's Acetyl Chain segment includes the integrated chain of intermediate chemistry, emulsion polymers and ethylene vinyl acetate ("EVA") polymers businesses. The Company's intermediate chemistry business 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. It also produces organic solvents and intermediates for pharmaceutical, agricultural and chemical products. 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 EVA 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. • 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. Engineered Materials Acetate Tow Acetyl Chain Other Activities Eliminations Consolidated (In $ millions) Year Ended December 31, 2019 Net sales 2,386 636 (1) 3,392 (2) — (117 ) 6,297 Other (charges) gains, net ( Note 18 ) 5 (88 ) (3 ) (117 ) — (203 ) Operating profit (loss) 446 52 678 (342 ) — 834 Equity in net earnings (loss) of affiliates 168 — 4 10 — 182 Depreciation and amortization 131 45 161 15 — 352 Capital expenditures 104 43 208 35 — 390 (3) As of December 31, 2019 Goodwill and intangible assets, net 999 153 234 — — 1,386 Total assets 4,125 977 3,489 885 — 9,476 Year Ended December 31, 2018 Net sales 2,593 649 (1) 4,042 (2) — (129 ) 7,155 Other (charges) gains, net ( Note 18 ) — (2 ) 11 — — 9 Operating profit (loss) 460 130 1,024 (280 ) — 1,334 Equity in net earnings (loss) of affiliates 218 — 6 9 — 233 Depreciation and amortization 126 58 148 11 — 343 Capital expenditures 105 29 182 17 — 333 (3) As of December 31, 2018 Goodwill and intangible assets, net 974 153 240 — — 1,367 Total assets 4,012 1,032 3,471 798 — 9,313 Year Ended December 31, 2017 Net sales 2,213 668 (1) 3,371 (2) — (112 ) 6,140 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) (52 ) (3 ) — (59 ) Operating profit (loss) 412 189 509 (253 ) — 857 Equity in net earnings (loss) of affiliates 171 — 6 6 — 183 Depreciation and amortization 111 41 143 10 — 305 Capital expenditures 78 39 150 14 — 281 (3) ______________________________ (1) Includes intersegment sales of $0 million , $0 million , $2 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. (2) Includes intersegment sales of $117 million , $129 million and $110 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. (3) Includes an increase in accrued capital expenditures of $20 million , a decrease in accrued capital expenditures of $4 million and an increase in accrued capital expenditures of $14 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. Geographical Area Information The net sales to external customers based on geographic location are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Belgium 259 261 295 Canada 75 115 92 China 859 1,070 833 Germany 2,132 2,335 1,776 Mexico 244 307 257 Singapore 787 997 867 US 1,713 1,769 1,572 Other 228 301 448 Total 6,297 7,155 6,140 Property, plant and equipment, net based on the geographic location of the Company's facilities is as follows: As of December 31, 2019 2018 (In $ millions) Belgium 55 54 Canada 105 114 China 316 331 Germany 866 903 Mexico 57 144 Singapore 80 83 US 2,095 1,961 Other 139 129 Total 3,713 3,719 |
Revenue Recognition (Notes)
Revenue Recognition (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Recognition Disaggregated Revenue In general, the Company's business segmentation is aligned according to the nature and economic characteristics of its products and customer relationships and provides meaningful disaggregation of each business segment's results of operations. The Company manages its Engineered Materials business segment through its project management pipeline, which is comprised of a broad range of projects which are solutions-based and are tailored to each customers' unique needs. Projects are identified and selected based on success rate and may involve a number of different polymers per project for use in multiple end-use applications. Therefore, the Company is agnostic toward products and end-use markets for the Engineered Materials business segment. Within the Acetate Tow business segment, the Company's primary product is acetate tow, which is managed through contracts with a few major tobacco companies and accounts for a significant amount of filters used in cigarette production worldwide. The Company manages its Acetyl Chain business segment by leveraging its ability to sell chemicals externally to end-use markets or downstream to its emulsion polymers business. Decisions to sell externally and geographically or downstream and along the Acetyl Chain are based on market demand, trade flows and maximizing the value of its chemicals. Therefore, the Company's strategic focus is on executing within this integrated chain model and less on driving product-specific revenue. Further disaggregation of Net sales by business segment and geographic destination is as follows: Year Ended December 31, 2019 2018 (In $ millions) Engineered Materials North America 735 770 Europe and Africa 1,047 1,216 Asia-Pacific 533 532 South America 71 75 Total 2,386 2,593 Acetate Tow North America 125 133 Europe and Africa 258 260 Asia-Pacific 224 217 South America 29 39 Total 636 649 Acetyl Chain North America 1,079 1,145 Europe and Africa 1,098 1,236 Asia-Pacific 1,013 1,411 South America 85 121 Total (1) 3,275 3,913 ______________________________ (1) Excludes intersegment sales of $117 million and $129 million for the years ended December 31, 2019 and 2018 , respectively. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Year Ended December 31, 2019 2018 2017 (In $ millions, except share data) Amounts attributable to Celanese Corporation Earnings (loss) from continuing operations 858 1,212 856 Earnings (loss) from discontinued operations (6 ) (5 ) (13 ) Net earnings (loss) 852 1,207 843 Weighted average shares - basic 123,925,697 134,305,269 137,902,667 Incremental shares attributable to equity awards (1) 726,062 1,111,589 414,728 Weighted average shares - diluted 124,651,759 135,416,858 138,317,395 ______________________________ (1) Excludes 45 , 0 and 29 equity award shares for the years ended December 31, 2019 , 2018 and 2017 , respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Financi
Consolidating Guarantor Financial Information | 12 Months Ended |
Dec. 31, 2019 | |
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 flows 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. The consolidating financial statements 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, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,298 5,137 (1,138 ) 6,297 Cost of sales — — (1,795 ) (4,036 ) 1,140 (4,691 ) Gross profit — — 503 1,101 2 1,606 Selling, general and administrative expenses — — (179 ) (304 ) — (483 ) Amortization of intangible assets — — (8 ) (16 ) — (24 ) Research and development expenses — — (27 ) (40 ) — (67 ) Other (charges) gains, net — — (8 ) (195 ) — (203 ) Foreign exchange gain (loss), net — — — 7 — 7 Gain (loss) on disposition of businesses and assets, net — — (9 ) 7 — (2 ) Operating profit (loss) — — 272 560 2 834 Equity in net earnings (loss) of affiliates 881 856 551 165 (2,271 ) 182 Non-operating pension and other postretirement employee benefit (expense) income — — 13 (33 ) — (20 ) Interest expense (29 ) (39 ) (127 ) (37 ) 117 (115 ) Refinancing expense — (4 ) — — — (4 ) Interest income — 63 49 11 (117 ) 6 Dividend income - equity investments — — — 113 — 113 Other income (expense), net — (7 ) 1 (2 ) — (8 ) Earnings (loss) from continuing operations before tax 852 869 759 777 (2,269 ) 988 Income tax (provision) benefit — 12 23 (158 ) (1 ) (124 ) Earnings (loss) from continuing operations 852 881 782 619 (2,270 ) 864 Earnings (loss) from operation of discontinued operations — — (8 ) — — (8 ) Income tax (provision) benefit from discontinued operations — — 2 — — 2 Earnings (loss) from discontinued operations — — (6 ) — — (6 ) Net earnings (loss) 852 881 776 619 (2,270 ) 858 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 852 881 776 613 (2,270 ) 852 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,387 5,954 (1,186 ) 7,155 Cost of sales — — (1,898 ) (4,471 ) 1,186 (5,183 ) Gross profit — — 489 1,483 — 1,972 Selling, general and administrative expenses — — (213 ) (333 ) — (546 ) Amortization of intangible assets — — (8 ) (16 ) — (24 ) Research and development expenses — — (30 ) (42 ) — (72 ) Other (charges) gains, net — — — 9 — 9 Foreign exchange gain (loss), net — (3 ) — 3 — — Gain (loss) on disposition of businesses and assets, net — — (10 ) 5 — (5 ) Operating profit (loss) — (3 ) 228 1,109 — 1,334 Equity in net earnings (loss) of affiliates 1,207 1,202 1,033 220 (3,429 ) 233 Non-operating pension and other postretirement employee benefit (expense) income — — (28 ) (34 ) — (62 ) Interest expense — (30 ) (118 ) (33 ) 56 (125 ) Refinancing expense — (1 ) — — — (1 ) Interest income — 45 7 10 (56 ) 6 Dividend income - equity investments — — — 113 4 117 Other income (expense), net — 5 1 3 (1 ) 8 Earnings (loss) from continuing operations before tax 1,207 1,218 1,123 1,388 (3,426 ) 1,510 Income tax (provision) benefit — (11 ) (106 ) (176 ) 1 (292 ) Earnings (loss) from continuing operations 1,207 1,207 1,017 1,212 (3,425 ) 1,218 Earnings (loss) from operation of discontinued operations — — 3 (8 ) — (5 ) Income tax (provision) benefit from discontinued operations — — (1 ) 1 — — Earnings (loss) from discontinued operations — — 2 (7 ) — (5 ) Net earnings (loss) 1,207 1,207 1,019 1,205 (3,425 ) 1,213 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 1,207 1,207 1,019 1,199 (3,425 ) 1,207 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 — — (1,723 ) (4,014 ) 1,108 (4,629 ) Gross profit — — 517 999 (5 ) 1,511 Selling, general and administrative expenses — — (189 ) (307 ) — (496 ) Amortization of intangible assets — — (4 ) (16 ) — (20 ) Research and development expenses — — (32 ) (41 ) — (73 ) Other (charges) gains, net — — (6 ) (53 ) — (59 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 3 — (5 ) Operating profit (loss) — — 278 584 (5 ) 857 Equity in net earnings (loss) of affiliates 843 867 591 166 (2,284 ) 183 Non-operating pension and other postretirement employee benefit (expense) income — — 60 (16 ) — 44 Interest expense — (20 ) (104 ) (30 ) 32 (122 ) Interest income — 25 4 5 (32 ) 2 Dividend income - equity 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 ) 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 COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 852 881 776 619 (2,270 ) 858 Other comprehensive income (loss), net of tax Foreign currency translation (16 ) (16 ) (39 ) (48 ) 103 (16 ) Gain (loss) from cash flow hedges (30 ) (30 ) (6 ) (4 ) 40 (30 ) Pension and postretirement benefits (7 ) (7 ) (6 ) (7 ) 20 (7 ) Total other comprehensive income (loss), net of tax (53 ) (53 ) (51 ) (59 ) 163 (53 ) Total comprehensive income (loss), net of tax 799 828 725 560 (2,107 ) 805 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 799 828 725 554 (2,107 ) 799 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 1,207 1,207 1,019 1,205 (3,425 ) 1,213 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — 6 13 (19 ) — Foreign currency translation (60 ) (60 ) (90 ) (109 ) 259 (60 ) Gain (loss) from cash flow hedges (10 ) (10 ) (2 ) (1 ) 13 (10 ) Total other comprehensive income (loss), net of tax (70 ) (70 ) (86 ) (97 ) 253 (70 ) Total comprehensive income (loss), net of tax 1,137 1,137 933 1,108 (3,172 ) 1,143 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 1,137 1,137 933 1,102 (3,172 ) 1,137 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 BALANCE SHEET As of December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 16 447 — 463 Trade receivables - third party and affiliates — — 122 851 (123 ) 850 Non-trade receivables, net 56 1,188 1,925 743 (3,581 ) 331 Inventories, net — — 360 725 (47 ) 1,038 Marketable securities — — 24 16 — 40 Other assets — 36 11 38 (42 ) 43 Total current assets 56 1,224 2,458 2,820 (3,793 ) 2,765 Investments in affiliates 4,064 5,217 4,206 841 (13,353 ) 975 Property, plant and equipment, net — — 1,461 2,252 — 3,713 Operating lease right-of-use assets — — 50 153 — 203 Deferred income taxes — — — 101 (5 ) 96 Other assets — 1,661 195 445 (1,963 ) 338 Goodwill — — 399 675 — 1,074 Intangible assets, net — — 125 187 — 312 Total assets 4,120 8,102 8,894 7,474 (19,114 ) 9,476 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates 1,596 374 1,089 385 (2,948 ) 496 Trade payables - third party and affiliates 17 — 333 553 (123 ) 780 Other liabilities — 49 188 397 (173 ) 461 Income taxes payable — — 439 80 (502 ) 17 Total current liabilities 1,613 423 2,049 1,415 (3,746 ) 1,754 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,565 1,677 101 (1,934 ) 3,409 Deferred income taxes — 3 101 158 (5 ) 257 Uncertain tax positions — — — 169 (4 ) 165 Benefit obligations — — 257 332 — 589 Operating lease liabilities — — 40 140 1 181 Other liabilities — 47 93 118 (35 ) 223 Total noncurrent liabilities — 3,615 2,168 1,018 (1,977 ) 4,824 Total Celanese Corporation stockholders' equity 2,507 4,064 4,677 4,650 (13,391 ) 2,507 Noncontrolling interests — — — 391 — 391 Total equity 2,507 4,064 4,677 5,041 (13,391 ) 2,898 Total liabilities and equity 4,120 8,102 8,894 7,474 (19,114 ) 9,476 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 30 409 — 439 Trade receivables - third party and affiliates — — 96 1,040 (119 ) 1,017 Non-trade receivables, net 40 551 797 697 (1,784 ) 301 Inventories, net — — 329 765 (48 ) 1,046 Marketable securities — — 31 — — 31 Other assets — 24 10 37 (31 ) 40 Total current assets 40 575 1,293 2,948 (1,982 ) 2,874 Investments in affiliates 3,503 4,820 4,678 855 (12,877 ) 979 Property, plant and equipment, net — — 1,289 2,430 — 3,719 Deferred income taxes — — — 86 (2 ) 84 Other assets — 1,658 142 461 (1,971 ) 290 Goodwill — — 399 658 — 1,057 Intangible assets, net — — 132 178 — 310 Total assets 3,543 7,053 7,933 7,616 (16,832 ) 9,313 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates 544 333 465 258 (1,039 ) 561 Trade payables - third party and affiliates 13 1 342 583 (120 ) 819 Other liabilities 1 87 267 258 (270 ) 343 Income taxes payable — — 475 88 (507 ) 56 Total current liabilities 558 421 1,549 1,187 (1,936 ) 1,779 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,104 1,679 127 (1,940 ) 2,970 Deferred income taxes — 15 85 157 (2 ) 255 Uncertain tax positions — — 6 152 — 158 Benefit obligations — — 250 314 — 564 Other liabilities 1 10 99 138 (40 ) 208 Total noncurrent liabilities 1 3,129 2,119 888 (1,982 ) 4,155 Total Celanese Corporation stockholders' equity 2,984 3,503 4,265 5,146 (12,914 ) 2,984 Noncontrolling interests — — — 395 — 395 Total equity 2,984 3,503 4,265 5,541 (12,914 ) 3,379 Total liabilities and equity 3,543 7,053 7,933 7,616 (16,832 ) 9,313 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 1,297 (42 ) 1,044 716 (1,561 ) 1,454 Investing Activities Capital expenditures on property, plant and equipment — — (246 ) (124 ) — (370 ) Acquisitions, net of cash acquired — — (31 ) (60 ) — (91 ) Proceeds from sale of businesses and assets, net — — 9 — (8 ) 1 Return of capital from subsidiary — — 10 — (10 ) — Contributions to subsidiary — — (222 ) (218 ) 440 — Intercompany loan receipts (disbursements) — — (536 ) — 536 — Purchases of marketable securities — — — (16 ) — (16 ) Other, net — — — (25 ) 8 (17 ) Net cash provided by (used in) investing activities — — (1,016 ) (443 ) 966 (493 ) Financing Activities Net change in short-term borrowings with maturities of 3 months or less — 160 17 (4 ) 74 247 Proceeds from short-term borrowings — — — 727 (610 ) 117 Repayments of short-term borrowings — — — (91 ) — (91 ) Proceeds from long-term debt — 499 — — — 499 Repayments of long-term debt — (335 ) (1 ) (24 ) — (360 ) Purchases of treasury stock, including related fees (996 ) — — — — (996 ) Dividends to parent — (272 ) (251 ) (1,038 ) 1,561 — Contributions from parent — — 218 222 (440 ) — Stock option exercises (1 ) — — — — (1 ) Common stock dividends (300 ) — — — — (300 ) Return of capital to parent — — — (10 ) 10 — (Distributions to) contributions from noncontrolling interests — — — (10 ) — (10 ) Other, net — (10 ) (25 ) (5 ) — (40 ) Net cash provided by (used in) financing activities (1,297 ) 42 (42 ) (233 ) 595 (935 ) Exchange rate effects on cash and cash equivalents — — — (2 ) — (2 ) Net increase (decrease) in cash and cash equivalents — — (14 ) 38 — 24 Cash and cash equivalents as of beginning of period — — 30 409 — 439 Cash and cash equivalents as of end of period — — 16 447 — 463 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 1,085 560 259 833 (1,179 ) 1,558 Investing Activities Capital expenditures on property, plant and equipment — — (225 ) (112 ) — (337 ) Acquisitions, net of cash acquired — — (144 ) — — (144 ) Proceeds from sale of businesses and assets, net — — — 13 — 13 Return of capital from subsidiary — — 233 — (233 ) — Contributions to subsidiary — — (25 ) — 25 — Intercompany loan receipts (disbursements) — (427 ) (66 ) (285 ) 778 — Other, net — — (8 ) (31 ) — (39 ) Net cash provided by (used in) investing activities — (427 ) (235 ) (415 ) 570 (507 ) Financing Activities Net change in short-term borrowings with maturities of 3 months or less — 61 18 (51 ) (66 ) (38 ) Proceeds from short-term borrowings — — — 51 — 51 Repayments of short-term borrowings — — — (78 ) — (78 ) Proceeds from long-term debt — 846 427 — (712 ) 561 Repayments of long-term debt — (494 ) (26 ) (16 ) — (536 ) Purchases of treasury stock, including related fees (805 ) — — — — (805 ) Dividends to parent — (541 ) (633 ) (5 ) 1,179 — Contributions from parent — — — 25 (25 ) — Common stock dividends (280 ) — — — — (280 ) Return of capital to parent — — — (233 ) 233 — (Distributions to) contributions from noncontrolling interests — — — (23 ) — (23 ) Other, net — (5 ) (10 ) (2 ) — (17 ) Net cash provided by (used in) financing activities (1,085 ) (133 ) (224 ) (332 ) 609 (1,165 ) Exchange rate effects on cash and cash equivalents — — — (23 ) — (23 ) Net increase (decrease) in cash and cash equivalents — — (200 ) 63 — (137 ) Cash and cash equivalents as of beginning of period — — 230 346 — 576 Cash and cash equivalents as of end of period — — 30 409 — 439 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 Return of capital from subsidiary — 16 241 — (257 ) — 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 Net change in short-term borrowings with maturities of 3 months or less — 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 — Stock option exercises 1 — — — — 1 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 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On January 30, 2020, the Company signed a definitive agreement to acquire Nouryon's redispersible polymer powders business offered under the Elotex ® brand, subject to regulatory approval. As part of the acquisition, the Company will acquire all of Nouryon's global production facilities for redispersible polymer powders across Europe and Asia, all products under the Elotex ® portfolio, as well as all customer agreements, technology and commercial facilities globally. The acquisition will be funded from cash on hand or from borrowings under the Company's senior unsecured revolving credit facility. The acquired operations will be included in the Acetyl Chain segment. The Company expects the acquisition to close in the second quarter of 2020 and does not expect the acquisition to be material to the Company's 2020 financial position or results of operations. |
Summary of Accounting Policies
Summary of Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Lessee, Leases [Policy Text Block] | Leases The Company leases certain real estate, fleet assets, warehouses and equipment. Leases with an initial term of 12 months or less ("short-term leases") are not recorded on the consolidated balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. The Company determines if an arrangement is a lease at inception. Operating lease right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of lease payments over the lease term at commencement date. Because most of the Company's leases do not provide an implicit rate of return, the Company uses its imputed collateralized rate based on the information available at commencement date in determining the present value of lease payments. The estimated rate is based on a risk-free rate plus a risk-adjusted margin. Operating lease ROU assets are comprised of the lease liability plus prepaid rents and are reduced by lease incentives or deferred rents. The Company has lease agreements with non-lease components which are not bifurcated. Most leases include one or more options to renew, with renewal terms that can extend the lease term from one to 30 years. The exercise of a lease renewal option typically occurs at the discretion of both parties. Certain leases also include options to purchase the leased property. For purposes of calculating operating lease liabilities, lease terms are deemed not to include options to extend the lease termination until it is reasonably certain that the Company will exercise that option. Certain of the Company's lease agreements include payments adjusted periodically for inflation based on the consumer price index. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. |
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. The qualitative evaluation is an assessment of multiple factors, including the current operating environment, financial performance and market considerations, to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company may elect to bypass this qualitative assessment for some or all of its reporting units and perform a quantitative test, based on management's judgment. 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 liability related to cleanup of a contaminated site might include, for example, a provision for one or more of the following types of costs: site investigation and testing costs, cleanup costs, costs related to soil and water contamination resulting from tank ruptures and post-remediation monitoring costs. These undiscounted liabilities 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. • 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 20-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 and fixed income markets, and to manage the risks and returns of the plans through the use of multiple managers and strategies. The fixed income strategies are 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 | Loss Contingencies When determinable, the Company accrues contingent losses for matters that are probable of occurring for which a loss amount can be reasonably estimated. For certain potentially material loss contingency matters, the Company is sometimes unable to estimate and accrue a loss deemed probable of occurring. For such matters, the Company discloses an estimate of the possible loss, range of loss or a statement that such estimate cannot be made. Because the Company's evaluation and assessment of critical facts and circumstances surrounding a contingent loss matter is in advance of the matter's final determination, there is an inherent subjectivity and unpredictability involved in estimating, accounting for and reporting contingent losses. Generally, the less progress made in the resolution of a contingent loss matter or the broader the range of potential outcomes, the more difficult it is for the Company to estimate, accrue and report a loss. For example, the Company may disclose certain information about a plaintiff's legal claim against the Company that is alleged in the plaintiff's pleadings or otherwise publicly available. While information of this type may provide more insight into the potential magnitude of a matter, it might not necessarily be indicative of the Company's estimate of probable or possible loss. In addition, some of the Company's contingent loss exposures may be eligible for reimbursement under the provisions of its insurance coverage. The Company does not consider the potential availability of insurance coverage in determining its probable or possible loss estimates. As a result of these factors among others, the Company's ultimate contingent loss exposure may be higher or lower, and possibly materially so, than the Company's recorded probable loss accruals and disclosures of possible losses. |
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, remaining carryforward periods, 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. |
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 affiliates | Investments in Affiliates Investments in equity securities 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 in equity securities where the Company does not exercise significant influence are accounted for at fair value or, if such investments do not have a readily determinable fair value, an election may be made to measure them at cost after considering observable price changes for similar instruments, minus impairment, if any. 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. Further, these investments were determined not to have a readily determinable fair value. Accordingly, these investments are accounted for using the alternative measure described above. 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 finance 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. • Interest Rate Risk Management The Company entered into a forward-starting interest rate swap to mitigate the risk of variability in the benchmark interest rate for an expected debt issuance in 2021. The interest rate swap agreement is designated as a cash flow hedge. Accordingly, to the extent the cash flow hedge is effective, changes in the fair value of the interest rate swap are included in gain (loss) from cash flow hedges within Accumulated other comprehensive income (loss), net in the consolidated balance sheets. Hedge accounting is discontinued when the interest rate swap is no longer effective in offsetting cash flows attributable to the hedged risk, the interest rate swap expires or the cash flow hedge is dedesignated because it is no longer probable that the forecasted transaction will occur according to the original strategy. • 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. The Company entered into a cross-currency swap to synthetically convert its USD borrowing to EUR borrowing in 2019. The cross-currency swap agreement is designated as a net investment hedge. Accordingly, to the extent the net investment hedge is effective, changes in the fair value of the cross-currency swap are 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 | Insurance Loss Liabilities 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 liabilities are established when sufficient information is available to indicate a specific policy is involved and the Company can reasonably estimate its liability. These liabilities are based on management estimates and periodic actuarial valuations. In addition, liabilities 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 generally expensed and included in Refinancing expense in the consolidated statements of operations. |
Revenue recognition | Revenue Recognition Revenue is recognized when performance obligations under the terms of a contract with a customer are satisfied. The majority of the Company's contracts have a single performance obligation to transfer products. Accordingly, the Company recognizes revenue when title and risk of loss have been transferred to the customer, generally at the time of shipment of products. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products and is generally based upon a negotiated, formula, list or fixed price. The Company sells its products both directly to customers and through distributors generally under agreements with payment terms typically less than 90 days. The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the good. As such, 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. The Company has elected to exclude from Net sales any value add, sales and other taxes which it collects concurrent with revenue-producing activities. • Contract Estimates The nature of certain of the Company's contracts gives rise to variable consideration, which may be constrained, including retrospective volume-based rebates to certain customers. The Company issues retrospective volume-based rebates to customers when they purchase a certain volume level, and the rebates are applied retroactively to prior purchases. The Company also issues prospective volume-based rebates to customers when they purchase a certain volume level, and the rebates are applied to future purchases. Prospective volume-based rebates represent a material right within the contract and therefore are considered to be separate performance obligations. For both retrospective and prospective volume-based rebates, the Company estimates the level of volumes based on anticipated purchases at the beginning of the period and records a rebate accrual for each purchase toward the requisite rebate volume. These estimated rebates are included in the transaction price of the Company's contracts with customers as a reduction to Net sales and are included in Current Other liabilities in the consolidated balance sheets ( Note 12 ). This methodology is consistent with the manner in which the Company historically estimated and recorded volume-based rebates. The majority of the Company's revenue is derived from contracts (i) with an original expected length of one year or less and (ii) contracts for which it recognizes revenue at the amount in which it has the right to invoice as product is delivered. The Company has elected the practical expedient not to disclose the value of remaining performance obligations associated with these types of contracts. However, the Company has certain contracts that represent take-or-pay revenue arrangements in which the Company's performance obligations extend over multiple years. As of December 31, 2019 , the Company had $585 million of remaining performance obligations related to take-or-pay contracts. The Company expects to recognize approximately $167 million of its remaining performance obligations as Net sales in 2020, $160 million in 2021, $88 million in 2022 and the balance thereafter. The Company has certain contracts which contain performance obligations which are immaterial in the context of the contract with the customer. The Company has elected the practical expedient not to assess whether these promised goods or services are performance obligations. • Contract Balances Contract liabilities primarily relate to advances or deposits received from the Company's customers before revenue is recognized. These amounts are recorded as deferred revenue and are included in Noncurrent Other liabilities in the consolidated balance sheets ( Note 13 ). The Company does not have any material contract assets as of December 31, 2019 . |
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(s). 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 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 generally cliff-vest three years from the date of grant. Compensation expense for performance-based RSUs 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. 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 typically defined as 200% of target. 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 is recognized over the vesting period of the respective grant on a straight-line basis. Upon the vesting of RSUs, the Company withholds a portion of the earned units to cover minimum statutory income and employment taxes and remits the net shares to an individual brokerage account. Authorized shares of the Company's Common Stock, or shares held in treasury from repurchases, are used to settle the RSUs. Under the 2009 Global Incentive Plan, as amended ("2009 GIP") and the 2018 Global Incentive Plan ("2018 GIP"), the Company may not grant RSUs with the right to participate in dividends or dividend equivalents prior to vesting. |
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. |
Shipping and Handling Cost, Policy [Policy Text Block] | The Company has elected to account for shipping and handling as activities to fulfill the promise to transfer the good. As such, 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. |
Revenue, Transaction Price Measurement, Tax Exclusion [Policy Text Block] | The Company has elected to exclude from Net sales any value add, sales and other taxes which it collects concurrent with revenue-producing activities. |
Summary of Accounting Policie_2
Summary of Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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. |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | The following table provides a brief description of recent ASUs issued by the Financial Accounting Standards Board ("FASB"): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes. The new guidance simplifies the accounting for income taxes by removing certain exceptions to the general principles in FASB Accounting Standards Codification ("ASC") Topic 740, Income Taxes ("Topic 740"). The guidance also clarifies and amends existing guidance under Topic 740. January 1, 2021. Early adoption is permitted. The Company has completed its assessment and will adopt the new guidance effective January 1, 2021. The adoption of the new guidance will not have a material impact to the Company. In August 2018, the FASB issued ASU 2018-14, Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans. The new guidance modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans by removing disclosures that no longer are considered cost beneficial, clarifying the specific requirements of disclosures and adding disclosure requirements identified as relevant. January 1, 2020. Early adoption is permitted. The Company adopted the new guidance effective January 1, 2019. The adoption of the new guidance did not have a material impact to the Company's disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and will improve the usefulness of information reported to financial statement users. January 1, 2019. The Company adopted the new guidance effective January 1, 2019. The adoption of the new guidance did not have a material impact to the Company. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments. The new guidance requires financial instruments measured at amortized cost basis to be presented at the net amount expected to be collected through application of the current expected credit losses model. The model requires an estimate of the credit losses expected over the life of an exposure or pool of exposures. The income statement will reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. January 1, 2020. Early adoption is permitted. The Company has completed its assessment and will adopt the new guidance effective January 1, 2020. The adoption of the new guidance will not have a material impact to the Company. In February 2016, the FASB issued ASU 2016-02, Leases. Since that date, the FASB has issued additional ASUs clarifying certain aspects of ASU 2016-02. The new guidance supersedes the lease guidance under FASB 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. Subsequent guidance issued after February 2016 did not change the core principle of ASU 2016-02. January 1, 2019. The Company adopted the new guidance effective January 1, 2019, using the modified retrospective transition method, which did not require the Company to adjust comparative periods. See the Adoption of ASU 2016-02 section below for additional information. |
Acquisitions, Dispositions an_2
Acquisitions, Dispositions and Plant Closures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Acquisitions, Dispositions and Plant Closures [Abstract] | |
Schedule of Restructuring and Related Costs | The exit and shutdown costs related to the Ocotlán, Mexico closure were as follows: Year Ended December 31, 2019 2018 (In $ millions) Asset impairments (1) 83 — Restructuring (1) 4 2 Accelerated depreciation expense 9 15 Loss on disposition of assets, net 1 1 Other 7 (2) 1 Total 104 19 ______________________________ (1) Included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). (2) Primarily related to inventory write-offs. |
Ventures and Variable Interes_2
Ventures and Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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, 2019 2018 (In $ millions) Cash and cash equivalents 57 24 Trade receivables, net - third party and affiliates 12 11 Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) 622 659 Intangible assets (net of accumulated amortization - 2019: $4; 2018: $3) 22 23 Other assets 9 5 Total assets (1) 722 722 Trade payables 24 16 Other liabilities (2) 5 4 Total debt 4 5 Deferred income taxes 4 3 Total liabilities 37 28 ______________________________ (1) Joint venture 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. 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, 2019 2018 (In $ millions) Property, plant and equipment, net 31 42 Trade payables 30 27 Current installments of long-term debt 16 14 Long-term debt 41 58 Total liabilities 87 99 Maximum exposure to loss 113 134 |
Receivables, Net Receivables, N
Receivables, Net Receivables, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Schedule of Trade Receivables - Third Party and Affiliates, Net | As of December 31, 2019 2018 (In $ millions) Trade receivables - third party and affiliates 859 1,027 Allowance for doubtful accounts - third party and affiliates (9 ) (10 ) Trade receivables - third party and affiliates, net 850 1,017 |
Schedule of Non-trade Receivables, Net | As of December 31, 2019 2018 (In $ millions) Non-income taxes receivable 203 176 Reinsurance receivables 16 14 Income taxes receivable 27 26 Other 85 85 Non-trade receivables, net 331 301 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | As of December 31, 2019 2018 (In $ millions) Finished goods 718 697 Work-in-process 76 70 Raw materials and supplies 244 279 Total 1,038 1,046 |
Investments in Affiliates (Tabl
Investments in Affiliates (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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, 2019 2018 2019 2018 2019 2018 2017 2019 2018 2017 (In percentages) (In $ millions) Engineered Materials Ibn Sina 25 25 164 164 68 96 58 (69 ) (112 ) (1 ) InfraServ GmbH & Co. Hoechst KG (1)(3) 32 32 116 129 14 20 19 (17 ) (25 ) (26 ) Fortron Industries LLC 50 50 133 122 18 14 17 (7 ) (3 ) (6 ) Korea Engineering Plastics Co., Ltd. 50 50 146 150 27 29 25 (28 ) (27 ) (25 ) Polyplastics Co., Ltd. 45 45 192 196 44 64 57 (39 ) (45 ) (64 ) Sherbrooke Capital Health and (2) — 10 — 2 — — 1 — — — Other Activities (3) InfraServ GmbH & Co. Gendorf KG (4) 30 30 38 36 8 7 4 (5 ) (5 ) (5 ) YNCORIS GmbH & Co. KG (4)(5) 22 22 16 16 3 3 2 (3 ) (4 ) (4 ) Total 805 815 182 233 183 (168 ) (221 ) (131 ) ______________________________ (1) InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Engineered Materials segment. The Company's Acetyl Chain segment also holds an ownership percentage. (2) The Company accounted for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. ("Sherbrooke") under the equity method of accounting because the Company was able to exercise significant influence. (3) 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. (4) See Note 18 for further information. (5) |
Schedule of summarized balance sheet information for Ibn Sina (National Methanol) [Table Text Block] | As of September 30, 2019 2018 (In $ millions) Current assets 253 448 Noncurrent assets 871 825 Current liabilities 148 200 Noncurrent liabilities 433 450 |
Schedule of Summarized Income Statement Financial Information for Ibn Sina (National Methanol) [Table Text Block] | Twelve Months Ended September 30, 2019 2018 2017 (In $ millions) Revenues 726 913 759 Gross profit 299 396 306 Net income 227 322 256 |
Schedule of equity securities without readily determinable fair value | Equity investments without readily determinable fair values and ownership interests by business segment are as follows: Ownership December 31, Carrying as of December 31, Dividend December 31, 2019 2018 2019 2018 2019 2018 2017 (In percentages) (In $ millions) Acetate Tow Kunming Cellulose Fibers Co. Ltd. 30 30 14 14 11 12 12 Nantong Cellulose Fibers Co. Ltd. 31 31 121 115 79 87 81 Zhuhai Cellulose Fibers Co. Ltd. 30 30 30 30 22 13 14 Other Activities InfraServ GmbH & Co. Wiesbaden KG 8 8 5 5 1 1 1 Other — — — 4 — Total 170 164 113 117 108 |
Schedule of Transactions with Affiliates | Transactions and balances with affiliates are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Purchases 291 305 250 Sales and other credits 102 117 77 Interest expense 1 1 — |
Schedule of Balances with Affiliates | As of December 31, 2019 2018 (In $ millions) Trade receivables 1 — Non-trade receivables 35 29 Total due from affiliates 36 29 Short-term borrowings (1) 67 50 Trade payables 43 46 Current Other liabilities 10 11 Total due to affiliates 120 107 ______________________________ (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_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of Property, Plant and Equipment, Net | As of December 31, 2019 2018 (In $ millions) Land 46 46 Land improvements 78 77 Buildings and building improvements 775 760 Machinery and equipment 5,316 5,223 Construction in progress 455 416 Gross asset value 6,670 6,522 Accumulated depreciation (2,957 ) (2,803 ) Net book value 3,713 3,719 |
Schedule of Assets Under Capital Leases | Assets under finance leases, net, included in the amounts above are as follows: As of December 31, 2019 2018 (In $ millions) Buildings 13 14 Machinery and equipment 272 279 Accumulated depreciation (202 ) (188 ) Net book value 83 105 |
Schedule of Capitalized Interest and Depreciation Expense | Capitalized interest costs and depreciation expense are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Capitalized interest 8 10 6 Depreciation expense 327 319 285 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill Engineered Acetate Tow Acetyl Total (In $ millions) As of December 31, 2017 643 149 211 1,003 Acquisitions 84 (1) — — 84 Exchange rate changes (20 ) (1 ) (9 ) (30 ) As of December 31, 2018 707 148 202 1,057 Acquisitions 29 (2) — — 29 Exchange rate changes (9 ) — (3 ) (12 ) As of December 31, 2019 (3) 727 148 199 1,074 ______________________________ (1) Represents goodwill related to the acquisition of Omni Plastics, L.L.C. ("Omni Plastics"). (2) Represents goodwill related to the acquisition of Next Polymers Ltd. ("Next Polymers"). (3) There were $0 million of accumulated impairment losses as of December 31, 2019 . |
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, 2017 38 640 45 54 777 Acquisitions — 32 — 3 35 (1) Renewals 6 (2) — — — 6 Exchange rate changes (2 ) (21 ) (1 ) (1 ) (25 ) As of December 31, 2018 42 651 44 56 793 Acquisitions — 25 — — 25 (3) Exchange rate changes — (9 ) — — (9 ) As of December 31, 2019 42 667 44 56 809 Accumulated Amortization As of December 31, 2017 (33 ) (496 ) (30 ) (32 ) (591 ) Amortization (2 ) (16 ) (3 ) (3 ) (24 ) Exchange rate changes 2 17 1 — 20 As of December 31, 2018 (33 ) (495 ) (32 ) (35 ) (595 ) Amortization (2 ) (16 ) (3 ) (3 ) (24 ) Exchange rate changes — 7 — — 7 As of December 31, 2019 (35 ) (504 ) (35 ) (38 ) (612 ) Net book value 7 163 9 18 197 ______________________________ (1) Primarily related to intangible assets acquired from Omni Plastics during the year ended December 31, 2018, with a weighted average amortization period of 11 years . (2) During the year ended December 31, 2018, the Company extended a research and development technology agreement license, which is being amortized over a period of 5 years. (3) Related to intangible assets acquired from Next Polymers during the year ended December 31, 2019, with a weighted average amortization period of 13 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, 2017 115 Acquisitions — Exchange rate changes (3 ) As of December 31, 2018 112 Acquisitions 4 (1) Impairment loss ( Note 2 ) — Exchange rate changes (1 ) As of December 31, 2019 115 ______________________________ (1) Related to indefinite-lived intangible assets acquired from Next Polymers. |
Schedule of Estimated Amortization Expense | Estimated amortization expense for the succeeding five fiscal years is as follows: (In $ millions) 2020 21 2021 21 2022 19 2023 17 2024 16 |
Current Other Liabilities (Tabl
Current Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities, Current [Abstract] | |
Schedule of Current Other Liabilities | As of December 31, 2019 2018 (In $ millions) Asset retirement obligations 6 3 Benefit obligations ( Note 15 ) 28 30 Customer rebates 63 76 Derivatives ( Note 22 ) 8 7 Environmental ( Note 16 ) 12 20 Insurance 6 4 Interest 29 21 Legal ( Note 24 ) 105 4 Operating leases ( Note 21 ) 29 — Restructuring ( Note 18 ) 13 4 Salaries and benefits 89 119 Sales and use tax/foreign withholding tax payable 35 22 Other 38 33 Total 461 343 |
Noncurrent Other Liabilities (T
Noncurrent Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities, Noncurrent [Abstract] | |
Schedule of Noncurrent Other Liabilities | As of December 31, 2019 2018 (In $ millions) Asset retirement obligations 13 13 Deferred proceeds 43 44 Deferred revenue 6 7 Derivatives ( Note 22 ) 50 11 Environmental ( Note 16 ) 49 49 Insurance 34 37 Other 28 47 Total 223 208 |
Schedule of Changes in Asset Retirement Obligations | Changes in asset retirement obligations are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Balance at beginning of year 16 26 29 Additions (1) 5 2 — Accretion — — 1 Payments (3 ) (4 ) (5 ) Revisions to cash flow estimates (2) 1 (8 ) 1 Balance at end of year 19 16 26 ______________________________ (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, 2019 | |
Line of Credit Facility [Line Items] | |
Schedule of Short-term Debt | As of December 31, 2019 2018 (In $ millions) Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates Current installments of long-term debt 28 367 Short-term borrowings, including amounts due to affiliates (1) 81 77 Revolving credit facility (2) 272 40 Accounts receivable securitization facility (3) 115 77 Total 496 561 ______________________________ (1) The weighted average interest rate was 2.3% and 3.2% as of December 31, 2019 and 2018 , respectively. (2) The weighted average interest rate was 1.6% and 6.0% as of December 31, 2019 and 2018 , respectively. (3) The weighted average interest rate was 2.4% and 3.1% as of December 31, 2019 and 2018 , respectively. |
Schedule of Long-term Debt | As of December 31, 2019 2018 (In $ millions) Long-Term Debt Senior unsecured notes due 2019, interest rate of 3.250% — 343 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% 841 857 Senior unsecured notes due 2024, interest rate of 3.500% 499 — Senior unsecured notes due 2025, interest rate of 1.250% 337 343 Senior unsecured notes due 2027, interest rate of 2.125% 558 568 Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% 167 167 Nilit Group ("Nilit") bank loans due at various dates through 2026 (1) 9 10 Obligations under finance leases due at various dates through 2054 144 167 Subtotal 3,455 3,355 Unamortized debt issuance costs (2) (18 ) (18 ) Current installments of long-term debt (28 ) (367 ) Total 3,409 2,970 ______________________________ (1) The weighted average interest rate was 1.3% and 1.3% as of December 31, 2019 and 2018 , respectively. (2) Related to the Company's long-term debt, excluding obligations under finance leases. |
Schedule of Principle Payments | Principal payments scheduled to be made on the Company's debt, including short-term borrowings, are as follows: (In $ millions) 2020 496 2021 429 2022 525 2023 859 2024 533 Thereafter 1,081 Total 3,923 |
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, 2019 (In $ millions) Accounts Receivable Securitization Facility Borrowings outstanding (1) 115 Letters of credit issued — Available for borrowing 5 Total borrowing base 120 Maximum borrowing base (2) 120 ______________________________ (1) The Company borrowed $112 million and repaid $74 million under this facility during the year ended December 31, 2019 . (2) Outstanding accounts receivable transferred to the SPE was $161 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, 2019 (In $ millions) Revolving Credit Facility Borrowings outstanding (1) 272 Letters of credit issued — Available for borrowing (2) 978 ______________________________ (1) The Company borrowed $1.3 billion and repaid $1.1 billion under its senior unsecured revolving credit facility during the year ended December 31, 2019 . (2) The margin for borrowings under the senior unsecured revolving credit facility was 1.25% above LIBOR or EURIBOR at current Company credit ratings. |
Benefit Obligations (Tables)
Benefit Obligations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |
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, 2019 2018 2017 (In $ millions) Multiemployer defined benefit plan 8 8 7 |
Schedule of Postemployment Obligations | Postemployment obligations are as follows: As of December 31, 2019 2018 (In $ millions) Postemployment benefits 7 8 |
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, 2019 2018 2017 (In $ millions) Defined contribution plans 42 40 40 |
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 2019 2018 2019 2018 (In $ millions) Change in Projected Benefit Obligation Projected benefit obligation as of beginning of period 3,412 3,728 59 66 Service cost 9 9 — 1 Interest cost 115 104 2 2 Net actuarial (gain) loss (1) 377 (163 ) 8 (4 ) Settlements (3 ) — — — Benefits paid (230 ) (235 ) (5 ) (4 ) Curtailments — (1 ) — — Special termination benefits 1 2 — — Exchange rate changes (3 ) (32 ) — (2 ) Other (2) (68 ) — — — Projected benefit obligation as of end of period 3,610 3,412 64 59 Change in Plan Assets Fair value of plan assets as of beginning of period 2,915 3,251 — — Actual return on plan assets 467 (124 ) — — Employer contributions 42 43 5 4 Settlements (3 ) — — — Benefits paid (3) (230 ) (235 ) (5 ) (4 ) Other (2) (52 ) — — — Exchange rate changes 2 (20 ) — — Fair value of plan assets as of end of period 3,141 2,915 — — Funded status as of end of period (469 ) (497 ) (64 ) (59 ) Amounts Recognized in the Consolidated Balance Sheets Consist of: Noncurrent Other assets 77 30 — — Current Other liabilities (23 ) (24 ) (4 ) (5 ) Benefit obligations (523 ) (503 ) (60 ) (54 ) Net amount recognized (469 ) (497 ) (64 ) (59 ) Amounts Recognized in Accumulated Other Comprehensive Income Consist of: Net actuarial (gain) loss (4) 15 8 — — Prior service (benefit) cost — — (1 ) — Net amount recognized (5) 15 8 (1 ) — ______________________________ (1) Primarily relates to changes in discount rates. (2) Primarily relates to lump sum offers for certain participants of the US qualified defined benefit pension plan. (3) Includes benefit payments to nonqualified pension plans of $21 million and $22 million as of December 31, 2019 and 2018 , respectively. (4) Relates to the pension plans of the Company's equity method investments. (5) Amount shown net of an income tax benefit of $4 million and $5 million as of December 31, 2019 and 2018 , 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 2019 2018 2019 2018 (In percentages) US plans 81 82 55 57 International plans 19 18 45 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 2019 2018 (In percentages) US plans 87 88 International plans 13 12 Total 100 100 |
Schedule of Pension Plans with Projected Benefit Obligations in Excess of Plan Assets | Other postretirement plans with accumulated postretirement benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Accumulated postretirement benefit obligation 64 58 Fair value of plan assets — — Pension plans with projected benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Projected benefit obligation 881 840 Fair value of plan assets 337 314 |
Schedule of Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets | Pension plans with accumulated benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Accumulated benefit obligation 776 749 Fair value of plan assets 255 243 |
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, 2019 2018 (In $ millions) Accumulated benefit obligation 3,584 3,390 |
Schedule of Net Periodic Benefit Costs | The components of net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2019 2018 2017 2019 2018 2017 (In $ millions) Service cost 9 9 9 — 1 1 Interest cost 115 104 107 2 2 1 Expected return on plan assets (185 ) (210 ) (198 ) — — — Amortization of prior service cost / (credit) — — — — — (1 ) Recognized actuarial (gain) loss 79 169 48 8 (4 ) (2 ) Curtailment (gain) loss — (1 ) — — — — Special termination benefit 1 2 1 — — — Total 19 73 (33 ) 10 (1 ) (1 ) |
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, 2019 2018 (In $ millions) Nonqualified Trust Assets Marketable securities 24 31 Noncurrent Other assets, consisting of insurance contracts 35 37 Nonqualified Pension Obligations Current Other liabilities 20 21 Benefit obligations 219 213 |
Schedule of Expense Related to Nonqualified Pension Plans Included in Net Periodic Benefit Cost, Excluding Returns on Assets | (Income) 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, 2019 2018 2017 (In $ millions) Total 26 (3 ) 18 |
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 2019 2018 2019 2018 (In percentages) Discount Rate Obligations US plans 3.2 4.2 3.1 4.1 International plans 1.4 2.1 2.7 3.4 Combined 2.8 3.8 2.9 3.8 Rate of Compensation Increase US plans N/A N/A International plans 2.6 2.8 Combined 2.6 2.8 The principal weighted average assumptions used to determine net periodic benefit cost are as follows: Pension Benefits Postretirement Benefits 2019 2018 2017 2019 2018 2017 (In percentages) Discount Rate Obligations US plans 4.2 3.5 3.9 4.1 3.4 3.8 International plans 2.1 2.1 2.1 3.4 3.2 3.3 Combined 3.8 3.3 3.7 3.8 3.2 3.4 Discount Rate Service Cost US plans 3.1 1.9 1.2 4.6 3.7 4.0 International plans 2.5 2.3 2.5 3.4 3.3 3.4 Combined 2.5 2.2 2.5 3.4 2.9 2.9 Discount Rate Interest Cost US plans 3.9 3.1 3.3 3.8 3.0 3.1 International plans 1.8 1.7 1.7 3.2 2.9 2.9 Combined 3.5 2.9 3.1 3.5 2.9 2.9 Expected Return on Plan Assets US plans 6.7 6.8 7.5 International plans 5.6 5.9 5.9 Combined 6.5 6.7 7.3 Rate of Compensation Increase US plans N/A N/A N/A International plans 2.8 2.8 2.8 Combined 2.8 2.8 2.8 Interest Crediting Rate US plans 3.0 2.8 2.3 International plans N/A N/A N/A Combined 3.0 2.8 2.3 |
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, 2019 2018 2017 (In percentages, except year) Health care cost trend rate assumed for next year 8.0 8.5 9.0 Health care cost trend ultimate rate 5.0 5.0 5.0 Health care cost trend ultimate rate year 2026 2026 2026 |
Schedule of Weighted Average Target Asset Allocations | The weighted average target asset allocations for the Company's pension plans in 2019 are as follows: US Plans International Plans (In percentages) Bonds - domestic to plans 80 58 Equities - domestic to plans 10 15 Equities - international to plans 10 — Other — 27 Total 100 100 |
Schedule of Fair Values of Pension Plan Assets | Fair Value Measurement Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Total As of December 31, 2019 2018 2019 2018 2019 2018 (In $ millions) Assets Cash and cash equivalents 8 2 — — 8 2 Derivatives Swaps — — 7 3 7 3 Equity securities International companies 77 59 — — 77 59 Fixed income Corporate debt — — 762 691 762 691 Treasuries, other debt 35 127 1,403 1,293 1,438 1,420 Mortgage backed securities — — 15 8 15 8 Insurance contracts — — 47 35 47 35 Other 4 4 1 1 5 5 Total investments, at fair value (1) 124 192 2,235 2,031 2,359 2,223 Liabilities Derivatives Swaps — — 7 3 7 3 Total liabilities — — 7 3 7 3 Total net assets (2) 124 192 2,228 2,028 2,352 2,220 ______________________________ (1) 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, 2019 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $689 million , $62 million and $35 million , respectively. Total investments, at fair value, for the year ended December 31, 2018 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $595 million , $54 million and $29 million , respectively. (2) Total net assets excludes non-financial plan receivables and payables of $29 million and $26 million , respectively, as of December 31, 2019 and $36 million and $19 million , respectively, as of December 31, 2018 . Non-financial items include due to/from broker, interest receivables and accrued expenses. |
Schedule of Company Commitments to Fund Benefit Obligations | Benefit obligation funding is as follows: Total Expected 2020 (In $ millions) Cash contributions to defined benefit pension plans 23 Benefit payments to nonqualified pension plans 20 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) 2020 238 5 2021 228 4 2022 225 4 2023 223 4 2024 219 4 2025-2029 1,038 17 ______________________________ (1) Payments are expected to be made primarily from plan assets. (2) Payments are expected to be made primarily from Company assets. |
Other Postretirement Benefits Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets | Other postretirement plans with accumulated postretirement benefit obligations in excess of plan assets are as follows: As of December 31, 2019 2018 (In $ millions) Accumulated postretirement benefit obligation 64 58 Fair value of plan assets — — |
Environmental (Tables)
Environmental (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of Environmental Remediation Reserves | The components of environmental remediation liabilities are as follows: As of December 31, 2019 2018 (In $ millions) Demerger obligations ( Note 24 ) 23 26 Divestiture obligations ( Note 24 ) 12 16 Active sites 13 14 US Superfund sites 11 11 Other environmental remediation liabilities 2 2 Total 61 69 |
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, 2019 Ownership Liability Reserves (1) (In percentages) (In $ millions) InfraServ GmbH & Co. Gendorf KG 30 10 9 InfraServ GmbH & Co. Hoechst KG 32 40 68 YNCORIS GmbH & Co. KG (2) 22 22 1 ______________________________ (1) Gross reserves maintained by the respective entity. (2) Formerly known as InfraServ GmbH & Co. Knapsack KG. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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 2017 28 0.46 1.84 May 2017 April 2018 17 0.54 2.16 May 2018 April 2019 15 0.62 2.48 May 2019 |
Schedule of Treasury Stock | The share repurchase activity pursuant to this authorization is as follows: Year Ended December 31, Total From 2019 2018 2017 Shares repurchased 9,166,267 7,933,692 (1) 5,436,803 56,878,978 Average purchase price per share $ 109.10 $ 103.01 $ 91.97 $ 73.01 Amount spent on repurchased shares (in millions) $ 1,000 $ 817 $ 500 $ 4,153 Aggregate Board of Directors repurchase authorizations during the period (in millions) $ 1,500 $ — $ 1,500 $ 5,366 ______________________________ (1) Excludes 1,700 common shares reacquired pursuant to an employee clawback agreement. |
Schedule of Components of Other Comprehensive Income (Loss), Net | Year Ended December 31, 2019 2018 2017 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 (10 ) (6 ) (16 ) (65 ) 5 (60 ) 162 12 174 Gain (loss) on cash flow hedges (38 ) 8 (30 ) (12 ) 2 (10 ) — (1 ) (1 ) Pension and postretirement benefits (6 ) (1 ) (7 ) 1 (1 ) — 7 2 9 Total (54 ) 1 (53 ) (76 ) 6 (70 ) 169 12 181 |
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, 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 comprehensive income (loss) before reclassifications — (65 ) (11 ) 1 (75 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (1 ) — (1 ) Income tax (provision) benefit — 5 2 (1 ) 6 As of December 31, 2018 — (236 ) (8 ) (3 ) (247 ) Other comprehensive income (loss) before reclassifications — (10 ) (36 ) (6 ) (52 ) Amounts reclassified from accumulated other comprehensive income (loss) — — (2 ) — (2 ) Income tax (provision) benefit — (6 ) 8 (1 ) 1 As of December 31, 2019 — (252 ) (38 ) (10 ) (300 ) |
Other (Charges) Gains, Net (Tab
Other (Charges) Gains, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Other (Charges) Gains, Net | Year Ended December 31, 2019 2018 2017 (In $ millions) Restructuring ( Note 4 ) (23 ) (4 ) (3 ) InfraServ ownership change — — (4 ) Asset impairments ( Note 4 ) (83 ) — — Plant/office closures (4 ) 13 (52 ) Commercial disputes (4 ) — — European Commission investigation (89 ) — — Total (203 ) 9 (59 ) |
Schedule of Restructuring Reserve | The changes in the restructuring liabilities by business segment are as follows: Engineered Materials Acetate Tow Acetyl Chain Other Total (In $ millions) Employee Termination Benefits As of December 31, 2017 1 — 1 1 3 Additions — 2 2 — 4 Cash payments (1 ) — (1 ) (1 ) (3 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2018 — 2 2 — 4 Additions 10 4 1 9 24 Cash payments (5 ) (3 ) (2 ) (4 ) (14 ) Other changes — — (1 ) — (1 ) Exchange rate changes — — — — — As of December 31, 2019 5 3 — 5 13 Other Plant/Office Closures As of December 31, 2017 — — 2 — 2 Additions — — — — — Cash payments — — (2 ) — (2 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2018 — — — — — Additions — 1 — — 1 Cash payments — (1 ) — — (1 ) Other changes — — — — — Exchange rate changes — — — — — As of December 31, 2019 — — — — — Total 5 3 — 5 13 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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, 2019 2018 2017 (In $ millions) US 252 480 262 International 736 1,030 813 Total 988 1,510 1,075 |
Schedule of Income Tax Provision (Benefit) | The income tax provision (benefit) consists of the following: Year Ended December 31, 2019 2018 2017 (In $ millions) Current US (8 ) (184 ) 201 International 149 143 158 Total 141 (41 ) 359 Deferred US 1 314 (110 ) International (18 ) 19 (36 ) Total (17 ) 333 (146 ) Total 124 292 213 |
Schedule of Effective Tax Rate Reconciliation | A reconciliation of the significant differences between the US federal statutory tax rate of 21% ( 35% for 2017) and the effective income tax rate on income from continuing operations is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions, except percentages) Income tax provision computed at US federal statutory tax rate 208 317 376 Change in valuation allowance (47 ) 94 218 Equity income and dividends (38 ) (48 ) (87 ) (Income) expense not resulting in tax impact, net (9 ) (51 ) (157 ) US tax effect of foreign earnings and dividends 85 25 521 Foreign tax credits (76 ) (20 ) (759 ) Other foreign tax rate differentials 4 17 (38 ) Legislative changes (3 ) (59 ) 116 State income taxes, net of federal benefit 6 4 12 Other, net (6 ) 13 11 Income tax provision (benefit) 124 292 213 Effective income tax rate 13 % 19 % 20 % |
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, 2019 2018 (In $ millions) Deferred Tax Assets Pension and postretirement obligations 140 138 Accrued expenses 57 61 Inventory 11 13 Net operating loss carryforwards 506 616 Tax credit carryforwards 273 330 Other 227 195 Subtotal 1,214 1,353 Valuation allowance (1) (714 ) (899 ) Total 500 454 Deferred Tax Liabilities Depreciation and amortization 411 375 Investments in affiliates 192 203 Other 58 47 Total 661 625 Net deferred tax assets (liabilities) (161 ) (171 ) ______________________________ (1) Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, the United Kingdom, Mexico, Canada and France |
Schedule of Activity Related to Uncertain Tax Positions | Activity related to uncertain tax positions is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) As of the beginning of the year 162 119 114 Increases in tax positions for the current year 1 61 14 Increases in tax positions for prior years (1) 37 4 4 Decreases in tax positions for prior years (41 ) (21 ) (7 ) Decreases due to settlements (25 ) (1 ) (6 ) As of the end of the year 134 162 119 Total uncertain tax positions that if recognized would impact the effective tax rate 132 154 100 Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations (2) 5 1 6 Total amount of interest expense and penalties recognized in the consolidated balance sheets 45 38 38 ______________________________ (1) Includes the impact on uncertain tax positions for the year ended December 31, 2019 due to the closure of federal income tax audits for the years 2009 through 2012 and uncertain tax positions related to the Nilit acquisition 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 an audit closure that was reflected in the consolidated statements of operations. |
Management Compensation Plans (
Management Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
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, 2019 Shares Available for Awards Shares Subject to Outstanding Awards 2018 GIP 6,244,945 473,903 2009 GIP — 959,696 |
Schedule of Realized Income Tax Benefits from Stock Option Exercises and RSU Vestings | The Company realized income tax benefits from RSU vestings as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Income tax benefit realized 6 7 9 |
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, 2018 812 75.25 Granted 259 92.61 Additional performance-based RSUs granted (1) 330 56.14 Vested (663 ) 56.14 Forfeited (88 ) 90.70 As of December 31, 2019 650 89.86 ______________________________ (1) Represents additional 2016 performance-based RSU grants that were awarded in 2019 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, 2018 386 86.69 Granted 228 96.22 Vested (188 ) 80.95 Forfeited (25 ) 90.42 As of December 31, 2019 401 94.56 |
Schedule of Share-based Compensation, Restricted Stock Units, Weighted Average Grant Date Fair Value Activity | The weighted average grant date fair value of RSUs granted is as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Total 46 48 59 |
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, 2019 2018 2017 (In $ millions) Total 66 8 42 |
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, 2019 2018 2017 (In $ millions) Total 20 21 12 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | The components of lease expense are as follows: Year Ended Statement of Operations Classification (In $ millions) Lease Cost Operating lease cost 39 Cost of sales / Selling, general and administrative expenses Short-term lease cost 23 Cost of sales / Selling, general and administrative expenses Variable lease cost 8 Cost of sales / Selling, general and administrative expenses Finance lease cost Amortization of leased assets 19 Cost of sales Interest on lease liabilities 18 Interest expense Total net lease cost 107 |
Assets and liabilities, lessee [Table Text Block] | Supplemental consolidated balance sheet information related to leases is as follows: As of Balance Sheet Classification (In $ millions) Leases Assets Operating lease assets 203 Operating lease ROU assets Finance lease assets 83 Property, plant and equipment, net Total leased assets 286 Liabilities Current Operating 29 Current Other liabilities Finance 26 Short-term borrowings and current installments of long-term debt Noncurrent Operating 181 Operating lease liabilities Finance 118 Long-term debt Total lease liabilities 354 |
Supplemental lease information [Table Text Block] | As of Weighted-Average Remaining Lease Term (years) Operating leases 15.0 Finance leases 6.9 Weighted-Average Discount Rate Operating leases 2.7 % Finance leases 11.5 % |
CashFlowLessee [Table Text Block] | Supplemental consolidated cash flow information related to leases is as follows: Year Ended (In $ millions) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases 36 Operating cash flows from finance leases 19 Financing cash flows from finance leases 23 ROU assets obtained in exchange for finance lease liabilities — ROU assets obtained in exchange for operating lease liabilities 11 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Maturities of lease liabilities are as follows: As of December 31, 2019 Operating Leases Finance Leases (In $ millions) 2020 35 42 2021 27 40 2022 23 31 2023 21 23 2024 18 18 Later years 132 70 Total lease payments 256 224 Less amounts representing interest (46 ) (80 ) Total lease obligations 210 144 |
Finance Lease, Liability, Maturity [Table Text Block] | Maturities of lease liabilities are as follows: As of December 31, 2019 Operating Leases Finance Leases (In $ millions) 2020 35 42 2021 27 40 2022 23 31 2023 21 23 2024 18 18 Later years 132 70 Total lease payments 256 224 Less amounts representing interest (46 ) (80 ) Total lease obligations 210 144 |
Schedule of Future Minimum Lease Payments for Capital Leases | Future minimum lease payments under non-cancelable rental and lease agreements which had initial or remaining terms in excess of one year are as follows: As of December 31, 2018 Operating Leases Capital Leases (In $ millions) 2019 43 42 2020 34 42 2021 25 40 2022 23 32 2023 21 23 Later years 130 88 Minimum lease commitments 276 267 Less amounts representing interest (100 ) Present value of net minimum lease obligations 167 |
Schedule of Future Minimum Rental Payments for Operating Leases | Future minimum lease payments under non-cancelable rental and lease agreements which had initial or remaining terms in excess of one year are as follows: As of December 31, 2018 Operating Leases Capital Leases (In $ millions) 2019 43 42 2020 34 42 2021 25 40 2022 23 32 2023 21 23 Later years 130 88 Minimum lease commitments 276 267 Less amounts representing interest (100 ) Present value of net minimum lease obligations 167 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended | |||||
Dec. 31, 2019 | ||||||
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: 2020 Maturity (In $ millions) Currency Brazilian real (10 ) British pound sterling (88 ) Canadian dollar (8 ) Chinese yuan (46 ) Euro (170 ) Hungarian forint 13 Indonesian rupiah (11 ) Korean won 16 Mexican peso (27 ) Singapore dollar 30 Swedish krona (4 ) Total (305 ) | |||||
Schedule of Derivatives Instruments Activity | Hedging activity for foreign currency forwards, commodity swaps and interest rate swaps is as follows: Year Ended December 31, Statement of Operations Classification 2019 2018 2017 (In $ millions) Hedging activities 2 1 4 Cost of sales; Interest expense | |||||
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, 2019 2018 2017 2019 2018 2017 (In $ millions) Designated as Cash Flow Hedges Commodity swaps (5 ) (2 ) 4 2 1 5 Cost of sales Interest rate swaps (30 ) (10 ) — — — — Interest expense Foreign currency forwards — 1 (1 ) — — (1 ) Cost of sales Total (35 ) (11 ) 3 2 1 4 Designated as Net Investment Hedges Foreign currency denominated debt ( Note 14 ) 37 51 (119 ) — — — N/A Cross-currency swaps ( Note 14 ) 3 — — — — — N/A Foreign currency forwards — — 2 — — — N/A Total 40 51 (117 ) — — — Not Designated as Hedges Foreign currency forwards and swaps — — — (3 ) 13 2 Foreign exchange gain (loss), net; Other income (expense), net Total — — — (3 ) 13 2 | |||||
Offsetting Assets | <div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:14px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Information regarding the gross amounts of the Company's derivative instruments and the amounts offset in the consolidated balance sheets is as follows:</font><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="6" rowspan="1"></td></tr><tr><td style="width:75%;" rowspan="1" colspan="1"></td><td style="width:11%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td><td style="width:11%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="5" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">As of December 31,</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">2019</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="5" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(In $ millions)</font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Derivative Assets</font></div></td><td colspan="2" style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount recognized</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">16</font></div></td><td style="vertical-align:bottom;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">11</font></div></td><td style="vertical-align:bottom;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount offset in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">1</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">2</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:28px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Net amount presented in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">15</font></div></td><td style="vertical-align:bottom;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">9</font></div></td><td style="vertical-align:bottom;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount not offset in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">8</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">3</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:36px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Net amount</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">7</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">6</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr></table></div></div></div> | |||||
Offsetting Liabilities | <div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:14px;text-align:left;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="6" rowspan="1"></td></tr><tr><td style="width:75%;" rowspan="1" colspan="1"></td><td style="width:11%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td><td style="width:11%;" rowspan="1" colspan="1"></td><td style="width:1%;" rowspan="1" colspan="1"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="5" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">As of December 31,</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">2019</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="text-align:center;font-size:9pt;"><font style="font-family:inherit;font-size:9pt;font-weight:bold;">2018</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="5" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(In $ millions)</font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Derivative Liabilities</font></div></td><td colspan="2" style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount recognized</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">59</font></div></td><td style="vertical-align:bottom;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">20</font></div></td><td style="vertical-align:bottom;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount offset in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">1</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">2</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:28px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Net amount presented in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">58</font></div></td><td style="vertical-align:bottom;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">18</font></div></td><td style="vertical-align:bottom;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;background-color:#cceeff;padding-left:12px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Gross amount not offset in the consolidated balance sheets</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">8</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;padding-left:2px;padding-top:2px;padding-bottom:2px;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">3</font></div></td><td style="vertical-align:bottom;border-bottom:1px solid #000000;background-color:#cceeff;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr><tr><td style="vertical-align:bottom;padding-left:36px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Net amount</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">50</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;" rowspan="1" colspan="1"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">15</font></div></td><td style="vertical-align:bottom;border-bottom:3px double #000000;border-top:1px solid #000000;" rowspan="1" colspan="1"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></td></tr></table></div></div></div> | |||||
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, 2019 2018 (In $ millions) Total 692 1,071 | |||||
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, 2019 2018 (In € millions) Total 1,578 1,550 | |||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||||
Derivative [Line Items] | ||||||
Schedule of Notional Amounts of Foreign Currency Derivatives | The total notional amount of the forward-starting interest rate swap designated as a cash flow hedge is as follows: As of December 31, 2019 2018 (In $ millions) Total 400 400 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | 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, 2019 2018 2019 2018 2019 2018 (In $ millions) Derivatives Designated as Cash Flow Hedges Commodity swaps — — — 1 — 1 Current Other assets Designated as Net Investment Hedges Cross-currency swaps — — 13 — 13 — Current Other assets Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — 2 8 2 8 Current Other assets Total assets — — 15 9 15 9 Derivatives Designated as Cash Flow Hedges Commodity swaps — — (4 ) — (4 ) — Current Other liabilities Commodity swaps — — (3 ) (1 ) (3 ) (1 ) Noncurrent Other liabilities Interest rate swaps — — (40 ) (10 ) (40 ) (10 ) Noncurrent Other liabilities Derivatives Designated as a Net Investment Hedges Cross-currency swaps — — (1 ) — (1 ) — Current Other liabilities Cross-currency swaps — — (7 ) — (7 ) — Noncurrent Other liabilities Derivatives Not Designated as Hedges Foreign currency forwards and swaps — — (3 ) (7 ) (3 ) (7 ) Current Other liabilities Total liabilities — — (58 ) (18 ) (58 ) (18 ) |
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, 2019 2018 2019 2018 2019 2018 2019 2018 (In $ millions) Equity investments without readily determinable fair values 170 164 — — — — — — Insurance contracts in nonqualified trusts 35 37 35 37 — — 35 37 Long-term debt, including current installments of long-term debt 3,455 3,355 3,456 3,204 143 168 3,599 3,372 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
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, 2019 2018 (In $ millions) Cash and cash equivalents 57 24 Trade receivables, net - third party and affiliates 12 11 Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) 622 659 Intangible assets (net of accumulated amortization - 2019: $4; 2018: $3) 22 23 Other assets 9 5 Total assets (1) 722 722 Trade payables 24 16 Other liabilities (2) 5 4 Total debt 4 5 Deferred income taxes 4 3 Total liabilities 37 28 ______________________________ (1) Joint venture 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. 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, 2019 2018 (In $ millions) Property, plant and equipment, net 31 42 Trade payables 30 27 Current installments of long-term debt 16 14 Long-term debt 41 58 Total liabilities 87 99 Maximum exposure to loss 113 134 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Supplemental Cash Flow Information | Year Ended December 31, 2019 2018 2017 (In $ millions) Interest paid, net of amounts capitalized 118 133 130 Taxes paid, net of refunds 157 100 123 Noncash Investing and Financing Activities Accrued treasury stock repurchases 4 13 — Accrued capital expenditures 20 (4 ) 14 Asset retirement obligations 6 (7 ) 2 Fair value adjustment to securities available for sale, net of tax — — (1 ) |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Business Segments | Engineered Materials Acetate Tow Acetyl Chain Other Activities Eliminations Consolidated (In $ millions) Year Ended December 31, 2019 Net sales 2,386 636 (1) 3,392 (2) — (117 ) 6,297 Other (charges) gains, net ( Note 18 ) 5 (88 ) (3 ) (117 ) — (203 ) Operating profit (loss) 446 52 678 (342 ) — 834 Equity in net earnings (loss) of affiliates 168 — 4 10 — 182 Depreciation and amortization 131 45 161 15 — 352 Capital expenditures 104 43 208 35 — 390 (3) As of December 31, 2019 Goodwill and intangible assets, net 999 153 234 — — 1,386 Total assets 4,125 977 3,489 885 — 9,476 Year Ended December 31, 2018 Net sales 2,593 649 (1) 4,042 (2) — (129 ) 7,155 Other (charges) gains, net ( Note 18 ) — (2 ) 11 — — 9 Operating profit (loss) 460 130 1,024 (280 ) — 1,334 Equity in net earnings (loss) of affiliates 218 — 6 9 — 233 Depreciation and amortization 126 58 148 11 — 343 Capital expenditures 105 29 182 17 — 333 (3) As of December 31, 2018 Goodwill and intangible assets, net 974 153 240 — — 1,367 Total assets 4,012 1,032 3,471 798 — 9,313 Year Ended December 31, 2017 Net sales 2,213 668 (1) 3,371 (2) — (112 ) 6,140 Other (charges) gains, net ( Note 18 ) (2 ) (2 ) (52 ) (3 ) — (59 ) Operating profit (loss) 412 189 509 (253 ) — 857 Equity in net earnings (loss) of affiliates 171 — 6 6 — 183 Depreciation and amortization 111 41 143 10 — 305 Capital expenditures 78 39 150 14 — 281 (3) ______________________________ (1) Includes intersegment sales of $0 million , $0 million , $2 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. (2) Includes intersegment sales of $117 million , $129 million and $110 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. (3) Includes an increase in accrued capital expenditures of $20 million , a decrease in accrued capital expenditures of $4 million and an increase in accrued capital expenditures of $14 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. |
Schedule of Geographical Segments | The net sales to external customers based on geographic location are as follows: Year Ended December 31, 2019 2018 2017 (In $ millions) Belgium 259 261 295 Canada 75 115 92 China 859 1,070 833 Germany 2,132 2,335 1,776 Mexico 244 307 257 Singapore 787 997 867 US 1,713 1,769 1,572 Other 228 301 448 Total 6,297 7,155 6,140 Property, plant and equipment, net based on the geographic location of the Company's facilities is as follows: As of December 31, 2019 2018 (In $ millions) Belgium 55 54 Canada 105 114 China 316 331 Germany 866 903 Mexico 57 144 Singapore 80 83 US 2,095 1,961 Other 139 129 Total 3,713 3,719 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Further disaggregation of Net sales by business segment and geographic destination is as follows: Year Ended December 31, 2019 2018 (In $ millions) Engineered Materials North America 735 770 Europe and Africa 1,047 1,216 Asia-Pacific 533 532 South America 71 75 Total 2,386 2,593 Acetate Tow North America 125 133 Europe and Africa 258 260 Asia-Pacific 224 217 South America 29 39 Total 636 649 Acetyl Chain North America 1,079 1,145 Europe and Africa 1,098 1,236 Asia-Pacific 1,013 1,411 South America 85 121 Total (1) 3,275 3,913 ______________________________ (1) Excludes intersegment sales of $117 million and $129 million for the years ended December 31, 2019 and 2018 , respectively. |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings (Loss) Per Share | Year Ended December 31, 2019 2018 2017 (In $ millions, except share data) Amounts attributable to Celanese Corporation Earnings (loss) from continuing operations 858 1,212 856 Earnings (loss) from discontinued operations (6 ) (5 ) (13 ) Net earnings (loss) 852 1,207 843 Weighted average shares - basic 123,925,697 134,305,269 137,902,667 Incremental shares attributable to equity awards (1) 726,062 1,111,589 414,728 Weighted average shares - diluted 124,651,759 135,416,858 138,317,395 ______________________________ (1) Excludes 45 , 0 and 29 equity award shares for the years ended December 31, 2019 , 2018 and 2017 , respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Finan_2
Consolidating Guarantor Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Consolidating Guarantor Financial Information [Abstract] | |
Schedule of Consolidating Statements of Operations | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,298 5,137 (1,138 ) 6,297 Cost of sales — — (1,795 ) (4,036 ) 1,140 (4,691 ) Gross profit — — 503 1,101 2 1,606 Selling, general and administrative expenses — — (179 ) (304 ) — (483 ) Amortization of intangible assets — — (8 ) (16 ) — (24 ) Research and development expenses — — (27 ) (40 ) — (67 ) Other (charges) gains, net — — (8 ) (195 ) — (203 ) Foreign exchange gain (loss), net — — — 7 — 7 Gain (loss) on disposition of businesses and assets, net — — (9 ) 7 — (2 ) Operating profit (loss) — — 272 560 2 834 Equity in net earnings (loss) of affiliates 881 856 551 165 (2,271 ) 182 Non-operating pension and other postretirement employee benefit (expense) income — — 13 (33 ) — (20 ) Interest expense (29 ) (39 ) (127 ) (37 ) 117 (115 ) Refinancing expense — (4 ) — — — (4 ) Interest income — 63 49 11 (117 ) 6 Dividend income - equity investments — — — 113 — 113 Other income (expense), net — (7 ) 1 (2 ) — (8 ) Earnings (loss) from continuing operations before tax 852 869 759 777 (2,269 ) 988 Income tax (provision) benefit — 12 23 (158 ) (1 ) (124 ) Earnings (loss) from continuing operations 852 881 782 619 (2,270 ) 864 Earnings (loss) from operation of discontinued operations — — (8 ) — — (8 ) Income tax (provision) benefit from discontinued operations — — 2 — — 2 Earnings (loss) from discontinued operations — — (6 ) — — (6 ) Net earnings (loss) 852 881 776 619 (2,270 ) 858 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 852 881 776 613 (2,270 ) 852 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF OPERATIONS Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net sales — — 2,387 5,954 (1,186 ) 7,155 Cost of sales — — (1,898 ) (4,471 ) 1,186 (5,183 ) Gross profit — — 489 1,483 — 1,972 Selling, general and administrative expenses — — (213 ) (333 ) — (546 ) Amortization of intangible assets — — (8 ) (16 ) — (24 ) Research and development expenses — — (30 ) (42 ) — (72 ) Other (charges) gains, net — — — 9 — 9 Foreign exchange gain (loss), net — (3 ) — 3 — — Gain (loss) on disposition of businesses and assets, net — — (10 ) 5 — (5 ) Operating profit (loss) — (3 ) 228 1,109 — 1,334 Equity in net earnings (loss) of affiliates 1,207 1,202 1,033 220 (3,429 ) 233 Non-operating pension and other postretirement employee benefit (expense) income — — (28 ) (34 ) — (62 ) Interest expense — (30 ) (118 ) (33 ) 56 (125 ) Refinancing expense — (1 ) — — — (1 ) Interest income — 45 7 10 (56 ) 6 Dividend income - equity investments — — — 113 4 117 Other income (expense), net — 5 1 3 (1 ) 8 Earnings (loss) from continuing operations before tax 1,207 1,218 1,123 1,388 (3,426 ) 1,510 Income tax (provision) benefit — (11 ) (106 ) (176 ) 1 (292 ) Earnings (loss) from continuing operations 1,207 1,207 1,017 1,212 (3,425 ) 1,218 Earnings (loss) from operation of discontinued operations — — 3 (8 ) — (5 ) Income tax (provision) benefit from discontinued operations — — (1 ) 1 — — Earnings (loss) from discontinued operations — — 2 (7 ) — (5 ) Net earnings (loss) 1,207 1,207 1,019 1,205 (3,425 ) 1,213 Net (earnings) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Net earnings (loss) attributable to Celanese Corporation 1,207 1,207 1,019 1,199 (3,425 ) 1,207 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 — — (1,723 ) (4,014 ) 1,108 (4,629 ) Gross profit — — 517 999 (5 ) 1,511 Selling, general and administrative expenses — — (189 ) (307 ) — (496 ) Amortization of intangible assets — — (4 ) (16 ) — (20 ) Research and development expenses — — (32 ) (41 ) — (73 ) Other (charges) gains, net — — (6 ) (53 ) — (59 ) Foreign exchange gain (loss), net — — — (1 ) — (1 ) Gain (loss) on disposition of businesses and assets, net — — (8 ) 3 — (5 ) Operating profit (loss) — — 278 584 (5 ) 857 Equity in net earnings (loss) of affiliates 843 867 591 166 (2,284 ) 183 Non-operating pension and other postretirement employee benefit (expense) income — — 60 (16 ) — 44 Interest expense — (20 ) (104 ) (30 ) 32 (122 ) Interest income — 25 4 5 (32 ) 2 Dividend income - equity 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 ) 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 |
Schedule of Consolidating Statements of Comprehensive Income (Loss) | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 852 881 776 619 (2,270 ) 858 Other comprehensive income (loss), net of tax Foreign currency translation (16 ) (16 ) (39 ) (48 ) 103 (16 ) Gain (loss) from cash flow hedges (30 ) (30 ) (6 ) (4 ) 40 (30 ) Pension and postretirement benefits (7 ) (7 ) (6 ) (7 ) 20 (7 ) Total other comprehensive income (loss), net of tax (53 ) (53 ) (51 ) (59 ) 163 (53 ) Total comprehensive income (loss), net of tax 799 828 725 560 (2,107 ) 805 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 799 828 725 554 (2,107 ) 799 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net earnings (loss) 1,207 1,207 1,019 1,205 (3,425 ) 1,213 Other comprehensive income (loss), net of tax Unrealized gain (loss) on marketable securities — — 6 13 (19 ) — Foreign currency translation (60 ) (60 ) (90 ) (109 ) 259 (60 ) Gain (loss) from cash flow hedges (10 ) (10 ) (2 ) (1 ) 13 (10 ) Total other comprehensive income (loss), net of tax (70 ) (70 ) (86 ) (97 ) 253 (70 ) Total comprehensive income (loss), net of tax 1,137 1,137 933 1,108 (3,172 ) 1,143 Comprehensive (income) loss attributable to noncontrolling interests — — — (6 ) — (6 ) Comprehensive income (loss) attributable to Celanese Corporation 1,137 1,137 933 1,102 (3,172 ) 1,137 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 |
Schedule of Consolidating Balance Sheets | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 16 447 — 463 Trade receivables - third party and affiliates — — 122 851 (123 ) 850 Non-trade receivables, net 56 1,188 1,925 743 (3,581 ) 331 Inventories, net — — 360 725 (47 ) 1,038 Marketable securities — — 24 16 — 40 Other assets — 36 11 38 (42 ) 43 Total current assets 56 1,224 2,458 2,820 (3,793 ) 2,765 Investments in affiliates 4,064 5,217 4,206 841 (13,353 ) 975 Property, plant and equipment, net — — 1,461 2,252 — 3,713 Operating lease right-of-use assets — — 50 153 — 203 Deferred income taxes — — — 101 (5 ) 96 Other assets — 1,661 195 445 (1,963 ) 338 Goodwill — — 399 675 — 1,074 Intangible assets, net — — 125 187 — 312 Total assets 4,120 8,102 8,894 7,474 (19,114 ) 9,476 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates 1,596 374 1,089 385 (2,948 ) 496 Trade payables - third party and affiliates 17 — 333 553 (123 ) 780 Other liabilities — 49 188 397 (173 ) 461 Income taxes payable — — 439 80 (502 ) 17 Total current liabilities 1,613 423 2,049 1,415 (3,746 ) 1,754 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,565 1,677 101 (1,934 ) 3,409 Deferred income taxes — 3 101 158 (5 ) 257 Uncertain tax positions — — — 169 (4 ) 165 Benefit obligations — — 257 332 — 589 Operating lease liabilities — — 40 140 1 181 Other liabilities — 47 93 118 (35 ) 223 Total noncurrent liabilities — 3,615 2,168 1,018 (1,977 ) 4,824 Total Celanese Corporation stockholders' equity 2,507 4,064 4,677 4,650 (13,391 ) 2,507 Noncontrolling interests — — — 391 — 391 Total equity 2,507 4,064 4,677 5,041 (13,391 ) 2,898 Total liabilities and equity 4,120 8,102 8,894 7,474 (19,114 ) 9,476 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING BALANCE SHEET As of December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) ASSETS Current Assets Cash and cash equivalents — — 30 409 — 439 Trade receivables - third party and affiliates — — 96 1,040 (119 ) 1,017 Non-trade receivables, net 40 551 797 697 (1,784 ) 301 Inventories, net — — 329 765 (48 ) 1,046 Marketable securities — — 31 — — 31 Other assets — 24 10 37 (31 ) 40 Total current assets 40 575 1,293 2,948 (1,982 ) 2,874 Investments in affiliates 3,503 4,820 4,678 855 (12,877 ) 979 Property, plant and equipment, net — — 1,289 2,430 — 3,719 Deferred income taxes — — — 86 (2 ) 84 Other assets — 1,658 142 461 (1,971 ) 290 Goodwill — — 399 658 — 1,057 Intangible assets, net — — 132 178 — 310 Total assets 3,543 7,053 7,933 7,616 (16,832 ) 9,313 LIABILITIES AND EQUITY Current Liabilities Short-term borrowings and current installments of long-term debt - third party and affiliates 544 333 465 258 (1,039 ) 561 Trade payables - third party and affiliates 13 1 342 583 (120 ) 819 Other liabilities 1 87 267 258 (270 ) 343 Income taxes payable — — 475 88 (507 ) 56 Total current liabilities 558 421 1,549 1,187 (1,936 ) 1,779 Noncurrent Liabilities Long-term debt, net of unamortized deferred financing costs — 3,104 1,679 127 (1,940 ) 2,970 Deferred income taxes — 15 85 157 (2 ) 255 Uncertain tax positions — — 6 152 — 158 Benefit obligations — — 250 314 — 564 Other liabilities 1 10 99 138 (40 ) 208 Total noncurrent liabilities 1 3,129 2,119 888 (1,982 ) 4,155 Total Celanese Corporation stockholders' equity 2,984 3,503 4,265 5,146 (12,914 ) 2,984 Noncontrolling interests — — — 395 — 395 Total equity 2,984 3,503 4,265 5,541 (12,914 ) 3,379 Total liabilities and equity 3,543 7,053 7,933 7,616 (16,832 ) 9,313 |
Schedule of Consolidating Cash Flow Statements | CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2019 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 1,297 (42 ) 1,044 716 (1,561 ) 1,454 Investing Activities Capital expenditures on property, plant and equipment — — (246 ) (124 ) — (370 ) Acquisitions, net of cash acquired — — (31 ) (60 ) — (91 ) Proceeds from sale of businesses and assets, net — — 9 — (8 ) 1 Return of capital from subsidiary — — 10 — (10 ) — Contributions to subsidiary — — (222 ) (218 ) 440 — Intercompany loan receipts (disbursements) — — (536 ) — 536 — Purchases of marketable securities — — — (16 ) — (16 ) Other, net — — — (25 ) 8 (17 ) Net cash provided by (used in) investing activities — — (1,016 ) (443 ) 966 (493 ) Financing Activities Net change in short-term borrowings with maturities of 3 months or less — 160 17 (4 ) 74 247 Proceeds from short-term borrowings — — — 727 (610 ) 117 Repayments of short-term borrowings — — — (91 ) — (91 ) Proceeds from long-term debt — 499 — — — 499 Repayments of long-term debt — (335 ) (1 ) (24 ) — (360 ) Purchases of treasury stock, including related fees (996 ) — — — — (996 ) Dividends to parent — (272 ) (251 ) (1,038 ) 1,561 — Contributions from parent — — 218 222 (440 ) — Stock option exercises (1 ) — — — — (1 ) Common stock dividends (300 ) — — — — (300 ) Return of capital to parent — — — (10 ) 10 — (Distributions to) contributions from noncontrolling interests — — — (10 ) — (10 ) Other, net — (10 ) (25 ) (5 ) — (40 ) Net cash provided by (used in) financing activities (1,297 ) 42 (42 ) (233 ) 595 (935 ) Exchange rate effects on cash and cash equivalents — — — (2 ) — (2 ) Net increase (decrease) in cash and cash equivalents — — (14 ) 38 — 24 Cash and cash equivalents as of beginning of period — — 30 409 — 439 Cash and cash equivalents as of end of period — — 16 447 — 463 CELANESE CORPORATION AND SUBSIDIARIES CONSOLIDATING STATEMENT OF CASH FLOWS Year Ended December 31, 2018 Parent Guarantor Issuer Subsidiary Guarantors Non- Guarantors Eliminations Consolidated (In $ millions) Net cash provided by (used in) operating activities 1,085 560 259 833 (1,179 ) 1,558 Investing Activities Capital expenditures on property, plant and equipment — — (225 ) (112 ) — (337 ) Acquisitions, net of cash acquired — — (144 ) — — (144 ) Proceeds from sale of businesses and assets, net — — — 13 — 13 Return of capital from subsidiary — — 233 — (233 ) — Contributions to subsidiary — — (25 ) — 25 — Intercompany loan receipts (disbursements) — (427 ) (66 ) (285 ) 778 — Other, net — — (8 ) (31 ) — (39 ) Net cash provided by (used in) investing activities — (427 ) (235 ) (415 ) 570 (507 ) Financing Activities Net change in short-term borrowings with maturities of 3 months or less — 61 18 (51 ) (66 ) (38 ) Proceeds from short-term borrowings — — — 51 — 51 Repayments of short-term borrowings — — — (78 ) — (78 ) Proceeds from long-term debt — 846 427 — (712 ) 561 Repayments of long-term debt — (494 ) (26 ) (16 ) — (536 ) Purchases of treasury stock, including related fees (805 ) — — — — (805 ) Dividends to parent — (541 ) (633 ) (5 ) 1,179 — Contributions from parent — — — 25 (25 ) — Common stock dividends (280 ) — — — — (280 ) Return of capital to parent — — — (233 ) 233 — (Distributions to) contributions from noncontrolling interests — — — (23 ) — (23 ) Other, net — (5 ) (10 ) (2 ) — (17 ) Net cash provided by (used in) financing activities (1,085 ) (133 ) (224 ) (332 ) 609 (1,165 ) Exchange rate effects on cash and cash equivalents — — — (23 ) — (23 ) Net increase (decrease) in cash and cash equivalents — — (200 ) 63 — (137 ) Cash and cash equivalents as of beginning of period — — 230 346 — 576 Cash and cash equivalents as of end of period — — 30 409 — 439 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 Return of capital from subsidiary — 16 241 — (257 ) — 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 Net change in short-term borrowings with maturities of 3 months or less — 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 — Stock option exercises 1 — — — — 1 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 |
Description of the Company an_2
Description of the Company and Basis of Presentation (Narrative) (Details) | Dec. 31, 2019 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidated subsidiaries ownership percentage | 100.00% |
Summary of Accounting Policie_3
Summary of Accounting Policies (Investments in Affiliates Narrative) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Subsidiary reporting period lag | one quarter |
Summary of Accounting Policie_4
Summary of Accounting Policies (Schedule of Estimated Useful Lives of Depreciable Assets) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Land Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 20Â years |
Buildings and Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 30Â years |
Machinery and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 20Â years |
Maximum [Member] | Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | P10Y |
Summary of Accounting Policie_5
Summary of Accounting Policies (Goodwill and Other Intangible Assets Narrative) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
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 Policie_6
Summary of Accounting Policies (Insurance Loss Reserves Narrative) (Details) | Dec. 31, 2019 |
Accounting Policies [Abstract] | |
Number of wholly-owned insurance companies | 2 |
Summary of Accounting Policie_7
Summary of Accounting Policies (Environmental Liabilities Narrative) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Environmental liabilities accrual period | P15Y |
Summary of Accounting Policie_8
Summary of Accounting Policies (Pension and Other Postretirement Obligations) (Details) | Dec. 31, 2019 |
Accounting Policies [Abstract] | |
Number of Aa-grade non-callable bonds | 300 |
Summary of Accounting Policie_9
Summary of Accounting Policies Summary of Accounting Policies (Management Compensation Plans Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jan. 01, 2017 | Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Document Period End Date | Dec. 31, 2019 | ||||
Common stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||
Vesting period | 3 years | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 200.00% | ||||
Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
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 | ||||
Retained Earnings [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Cumulative Effect on Retained Earnings, Net of Tax | $ 1 | $ 0 | $ 0 | $ (1) |
Summary of Accounting Polici_10
Summary of Accounting Policies Summary of Accounting Policies (Revenue Recognition) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Accounting Policies [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 585 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Accounting Policies [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 167 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | |
Accounting Policies [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 160 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |
Accounting Policies [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 88 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Summary of Accounting Polici_11
Summary of Accounting Policies Summary of Accounting Policies (Leases) (Details) | Dec. 31, 2019 |
Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Lessee, Operating Lease, Renewal Term | 30 years |
Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Lessee, Operating Lease, Renewal Term | 1 year |
Accounting Pronouncements (Narr
Accounting Pronouncements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2019 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Cost of sales | $ (4,691) | $ (5,183) | $ (4,629) | |
Selling, General and Administrative Expense | (483) | (546) | (496) | |
Research and Development Expense | (67) | (72) | (73) | |
Other (charges) gains, net | (203) | 9 | (59) | |
Operating profit (loss) | 834 | 1,334 | 857 | |
Non-operating pension and other postretirement employee benefit (expense) income | (20) | (62) | $ 44 | |
Retained earnings | 6,399 | 5,847 | ||
Operating lease, liability | 210 | |||
Operating lease right-of-use assets | $ 203 | $ 0 | ||
Accounting Standards Update 2016-02 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating lease, liability | $ 240 | |||
Operating lease right-of-use assets | $ 223 |
Acquisitions, Dispositions an_3
Acquisitions, Dispositions and Plant Closures (Plant Closure Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |||
Restructuring Cost and Reserve [Line Items] | |||||
Asset impairments | $ 83 | $ 0 | $ 0 | ||
Restructuring | 23 | 4 | 3 | ||
Loss on disposition of assets, net | 2 | 5 | $ 5 | ||
Ocotlán, Mexico | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Asset impairments | [1] | 83 | 0 | ||
Restructuring | [1] | 4 | 2 | ||
Accelerated depreciation expense | 9 | 15 | |||
Loss on disposition of assets, net | 1 | 1 | |||
Other | 7 | [2] | 1 | ||
Plant Shutdown Costs | 104 | $ 19 | |||
Restructuring and Related Cost, Expected Cost | $ 12 | ||||
[1] | Included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). | ||||
[2] | Primarily related to inventory write-offs. |
Ventures and Variable Interes_3
Ventures and Variable Interest Entities (Schedule of Variable Interest Entities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | $ 463 | $ 439 | $ 576 | $ 638 | |
Trade receivables - third party and affiliates | 850 | 1,017 | |||
Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) | 3,713 | 3,719 | |||
Accumulated depreciation | 2,957 | 2,803 | |||
Intangible assets, net | 312 | 310 | |||
Accumulated amortization | 612 | 595 | $ 591 | ||
Other assets | 338 | 290 | |||
Total assets | 9,476 | 9,313 | |||
Trade payables | 780 | 819 | |||
Current installments of long-term debt | 28 | 367 | |||
Current liabilities | 1,754 | 1,779 | |||
Deferred income taxes | 257 | 255 | |||
Variable Interest Entity, Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | 57 | 24 | |||
Trade receivables - third party and affiliates | 6 | 6 | |||
Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) | 622 | 659 | |||
Intangible assets, net | 22 | 23 | |||
Other assets | 9 | 5 | |||
Variable Interest Entity, Not Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) | 31 | 42 | |||
Trade payables | 30 | 27 | |||
Current installments of long-term debt | 16 | 14 | |||
Long-term debt | 41 | 58 | |||
Total liabilities | 87 | 99 | |||
Maximum exposure to loss | 113 | 134 | |||
Fairway Methanol LLC [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | 57 | 24 | |||
Trade receivables - third party and affiliates | 12 | 11 | |||
Property, plant and equipment (net of accumulated depreciation - 2019: $174; 2018: $130) | 622 | 659 | |||
Accumulated depreciation | 174 | 130 | |||
Intangible assets, net | 22 | 23 | |||
Accumulated amortization | 4 | 3 | |||
Other assets | 9 | 5 | |||
Total assets | [1] | 722 | 722 | ||
Trade payables | 24 | 16 | |||
Current liabilities | [2] | 5 | 4 | ||
Long-term debt | 4 | 5 | |||
Deferred income taxes | 4 | 3 | |||
Total liabilities | $ 37 | $ 28 | |||
[1] | Joint venture 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 Interes_4
Ventures and Variable Interest Entities (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Variable Interest Entity, Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Ownership percentage | 50.00% |
Marketable Securities (Details)
Marketable Securities (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Investments, Debt and Equity Securities [Abstract] | ||
Marketable Securities | $ 40 | $ 31 |
Receivables, Net Receivables,_2
Receivables, Net Receivables, Net (Schedule of Trade Receivables - Third Party and Affiliates, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Trade receivables - third party and affiliates | $ 859 | $ 1,027 |
Allowance for doubtful accounts - third party and affiliates | (9) | (10) |
Trade receivables - third party and affiliates, net | $ 850 | $ 1,017 |
Receivables, Net Receivables,_3
Receivables, Net Receivables, Net (Schedule of Non-trade Receivables, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Non-income taxes receivable | $ 203 | $ 176 |
Reinsurance receivables | 16 | 14 |
Income taxes receivable | 27 | 26 |
Other | 85 | 85 |
Non-trade receivables, net | $ 331 | $ 301 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 718 | $ 697 |
Work-in-process | 76 | 70 |
Raw materials and supplies | 244 | 279 |
Total | $ 1,038 | $ 1,046 |
Investments in Affiliates (Sche
Investments in Affiliates (Schedule of Equity Method Investments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Schedule of Equity Method Investments [Line Items] | ||||
Carrying value | $ 805 | $ 815 | ||
Share of earnings (loss) | 182 | 233 | $ 183 | |
Dividends and other distributions | $ (168) | $ (221) | (131) | |
National Methanol Company (Ibn Sina) [Member] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 25.00% | 25.00% | ||
Carrying value | $ 164 | $ 164 | ||
Share of earnings (loss) | 68 | 96 | 58 | |
Dividends and other distributions | $ (69) | $ (112) | (1) | |
Fortron Industries LLC [Member] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | 50.00% | ||
Carrying value | $ 133 | $ 122 | ||
Share of earnings (loss) | 18 | 14 | 17 | |
Dividends and other distributions | $ (7) | $ (3) | (6) | |
Korea Engineering Plastics Co., Ltd. [Member] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | 50.00% | ||
Carrying value | $ 146 | $ 150 | ||
Share of earnings (loss) | 27 | 29 | 25 | |
Dividends and other distributions | $ (28) | $ (27) | (25) | |
Polyplastics Co., Ltd. [Member] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 45.00% | 45.00% | ||
Carrying value | $ 192 | $ 196 | ||
Share of earnings (loss) | 44 | 64 | 57 | |
Dividends and other distributions | $ (39) | $ (45) | (64) | |
InfraServ GmbH & Co. Gendorf KG [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 30.00% | |||
InfraServ GmbH & Co. Gendorf KG [Member] | Other Activities [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[2] | 30.00% | 30.00% | |
Carrying value | [1],[2] | $ 38 | $ 36 | |
Share of earnings (loss) | [1],[2] | 8 | 7 | 4 |
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] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[3] | 32.00% | 32.00% | |
Carrying value | [1],[3] | $ 116 | $ 129 | |
Share of earnings (loss) | [1],[3] | 14 | 20 | 19 |
Dividends and other distributions | [1],[3] | $ (17) | $ (25) | (26) |
YNCORIS GmbH & Co. KG [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [4] | 22.00% | ||
YNCORIS GmbH & Co. KG [Member] | Other Activities [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [1],[2],[5] | 22.00% | 22.00% | |
Carrying value | [1],[2],[5] | $ 16 | $ 16 | |
Share of earnings (loss) | [1],[2],[5] | 3 | 3 | 2 |
Dividends and other distributions | [1],[2],[5] | $ (3) | $ (4) | (4) |
Sherbrooke Capital Health and Wellness, L.P. [Member] | Engineered Materials [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | [6] | 0.00% | 10.00% | |
Carrying value | [6] | $ 0 | $ 2 | |
Share of earnings (loss) | [6] | 0 | 0 | 1 |
Dividends and other distributions | [6] | $ 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 18 for further information. | |||
[3] | InfraServ GmbH & Co. Hoechst KG is owned primarily by an entity included in the Company's Engineered Materials segment. The Company's Acetyl Chain segment also holds an ownership percentage. | |||
[4] | Formerly known as InfraServ GmbH & Co. Knapsack KG. | |||
[5] | Formerly known as InfraServ GmbH & Co. Knapsack KG. | |||
[6] | The Company accounted for its ownership interest in Sherbrooke Capital Health and Wellness, L.P. ("Sherbrooke") under the equity method of accounting because the Company was able to exercise significant influence. |
Investments in Affiliates (Sc_2
Investments in Affiliates (Schedule of Summarized Balance Sheet Information for Ibn Sina (National Methanol)) (Details) - National Methanol Company (Ibn Sina) [Member] - USD ($) $ in Millions | Sep. 30, 2019 | Sep. 30, 2018 |
Schedule of summarized balance sheet information for Ibn Sina (National Methanol) [Line Items] | ||
Current assets | $ 253 | $ 448 |
Noncurrent assets | 871 | 825 |
Current liabilities | 148 | 200 |
Noncurrent liabilities | $ 433 | $ 450 |
Investments in Affiliates (Sc_3
Investments in Affiliates (Schedule of Summarized Income Statement Information for Ibn Sina (National Methanol)) (Details) - National Methanol Company (Ibn Sina) [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Summarized Income Statement Financial Information for Ibn Sina (National Methanol) [Line Items] | |||
Revenues | $ 726 | $ 913 | $ 759 |
Gross profit | 299 | 396 | 306 |
Net income | $ 227 | $ 322 | $ 256 |
Investments in Affiliates (Sc_4
Investments in Affiliates (Schedule of Equity Securities Without Readily Determinable Fair Value) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Investments [Line Items] | |||
Carrying Value | $ 170 | $ 164 | |
Dividend income | 113 | 117 | $ 108 |
Other equity securities without readily determinable fair value investee [Member] | |||
Schedule of Investments [Line Items] | |||
Carrying Value | 0 | 0 | |
Dividend income | $ 0 | $ 4 | 0 |
Acetate Tow [Member] | Kunming Cellulose Fibers Co. Ltd. [Member] | |||
Schedule of Investments [Line Items] | |||
Ownership percentage | 30.00% | 30.00% | |
Carrying Value | $ 14 | $ 14 | |
Dividend income | $ 11 | $ 12 | 12 |
Acetate Tow [Member] | Nantong Cellulose Fibers Co. Ltd. [Member] | |||
Schedule of Investments [Line Items] | |||
Ownership percentage | 31.00% | 31.00% | |
Carrying Value | $ 121 | $ 115 | |
Dividend income | $ 79 | $ 87 | 81 |
Acetate Tow [Member] | Zhuhai Cellulose Fibers Co. Ltd. [Member] | |||
Schedule of Investments [Line Items] | |||
Ownership percentage | 30.00% | 30.00% | |
Carrying Value | $ 30 | $ 30 | |
Dividend income | $ 22 | $ 13 | 14 |
Other Activities [Member] | InfraServ GmbH & Co. Wiesbaden KG [Member] | |||
Schedule of Investments [Line Items] | |||
Ownership percentage | 8.00% | 8.00% | |
Carrying Value | $ 5 | $ 5 | |
Dividend income | $ 1 | $ 1 | $ 1 |
Investments in Affiliates (Sc_5
Investments in Affiliates (Schedule of Transactions with Affiliates) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Purchases | $ 291 | $ 305 | $ 250 |
Sales and other credits | 102 | 117 | 77 |
Interest expense | $ 1 | $ 1 | $ 0 |
Investments in Affiliates (Sc_6
Investments in Affiliates (Schedule of Balances with Affiliates) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Trade receivables | $ 1 | $ 0 | |
Non-trade receivables | 35 | 29 | |
Total due from affiliates | 36 | 29 | |
Short-term borrowings | [1] | 67 | 50 |
Trade payables | 43 | 46 | |
Current Other liabilities | 10 | 11 | |
Total due to affiliates | $ 120 | $ 107 | |
[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_3
Property, Plant and Equipment, Net (Schedule of Property, Plant and Equipment, Net) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Gross asset value | $ 6,670 | $ 6,522 |
Accumulated depreciation | (2,957) | (2,803) |
Net book value | 3,713 | 3,719 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 46 | 46 |
Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 78 | 77 |
Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 775 | 760 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | 5,316 | 5,223 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross asset value | $ 455 | $ 416 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net (Schedule of Assets Under Capital Leases) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Capital Leased Assets [Line Items] | ||
Accumulated depreciation | $ (202) | $ (188) |
Net book value | 83 | 105 |
Buildings [Member] | ||
Capital Leased Assets [Line Items] | ||
Gross capital leased asset value | 13 | 14 |
Machinery and Equipment [Member] | ||
Capital Leased Assets [Line Items] | ||
Gross capital leased asset value | $ 272 | $ 279 |
Property, Plant and Equipment_5
Property, Plant and Equipment, Net (Schedule of Capitalized Interest and Depreciation Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment, Net [Abstract] | |||
Capitalized interest | $ 8 | $ 10 | $ 6 |
Depreciation expense | $ 327 | $ 319 | $ 285 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, Net (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | |||
Goodwill | ||||
Goodwill, beginning balance | $ 1,057 | $ 1,003 | ||
Acquisitions | 29 | 84 | ||
Exchange rate changes | (12) | (30) | ||
Goodwill, ending balance | 1,074 | [1] | 1,057 | |
Accumulated impairment losses | 0 | |||
Engineered Materials [Member] | ||||
Goodwill | ||||
Goodwill, beginning balance | 707 | 643 | ||
Acquisitions | 29 | [2] | 84 | [3] |
Exchange rate changes | (9) | (20) | ||
Goodwill, ending balance | 727 | [1] | 707 | |
Acetate Tow [Member] | ||||
Goodwill | ||||
Goodwill, beginning balance | 148 | 149 | ||
Acquisitions | 0 | 0 | ||
Exchange rate changes | 0 | (1) | ||
Goodwill, ending balance | 148 | [1] | 148 | |
Acetyl Chain [Member] | ||||
Goodwill | ||||
Goodwill, beginning balance | 202 | 211 | ||
Acquisitions | 0 | 0 | ||
Exchange rate changes | (3) | (9) | ||
Goodwill, ending balance | $ 199 | [1] | $ 202 | |
[1] | There were $0 million of accumulated impairment losses as of December 31, 2019 . | |||
[2] | Represents goodwill related to the acquisition of Next Polymers Ltd. ("Next Polymers"). | |||
[3] | Represents goodwill related to the acquisition of Omni Plastics, L.L.C. ("Omni Plastics"). |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||||
Finite-Lived intangible Assets Rollforward | ||||||
Gross asset value | $ 793 | $ 777 | ||||
Acquisitions | 25 | [1] | 35 | [2] | ||
Renewals | 6 | |||||
Exchange rate changes | (9) | (25) | ||||
Gross asset value | 809 | 793 | $ 777 | |||
Accumulated amortization | (595) | (591) | ||||
Amortization | (24) | (24) | (20) | |||
Exchange rate changes | (7) | 20 | ||||
Accumulated amortization | (612) | (595) | (591) | |||
Net book value | 197 | |||||
Licenses [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Gross asset value | 42 | 38 | ||||
Acquisitions | 0 | 0 | ||||
Renewals | [3] | 6 | ||||
Exchange rate changes | 0 | (2) | ||||
Gross asset value | 42 | 42 | 38 | |||
Accumulated amortization | (33) | (33) | ||||
Amortization | (2) | (2) | ||||
Exchange rate changes | 0 | 2 | ||||
Accumulated amortization | (35) | $ (33) | (33) | |||
Net book value | 7 | |||||
Finite-lived intangible assets, estimated useful lives | 5 years | |||||
Customer-Related Intangible Assets [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Gross asset value | 651 | $ 640 | ||||
Acquisitions | 25 | 32 | ||||
Renewals | 0 | |||||
Exchange rate changes | (9) | (21) | ||||
Gross asset value | 667 | 651 | 640 | |||
Accumulated amortization | (495) | (496) | ||||
Amortization | (16) | (16) | ||||
Exchange rate changes | (7) | 17 | ||||
Accumulated amortization | (504) | (495) | (496) | |||
Net book value | 163 | |||||
Developed Technology [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Gross asset value | 44 | 45 | ||||
Acquisitions | 0 | 0 | ||||
Renewals | 0 | |||||
Exchange rate changes | 0 | (1) | ||||
Gross asset value | 44 | 44 | 45 | |||
Accumulated amortization | (32) | (30) | ||||
Amortization | (3) | (3) | ||||
Exchange rate changes | 0 | 1 | ||||
Accumulated amortization | (35) | (32) | (30) | |||
Net book value | 9 | |||||
Covenants Not to Compete and Other [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Gross asset value | 56 | 54 | ||||
Acquisitions | 0 | 3 | ||||
Renewals | 0 | |||||
Exchange rate changes | 0 | (1) | ||||
Gross asset value | 56 | 56 | 54 | |||
Accumulated amortization | (35) | (32) | ||||
Amortization | (3) | (3) | ||||
Exchange rate changes | 0 | 0 | ||||
Accumulated amortization | (38) | $ (35) | $ (32) | |||
Net book value | $ 18 | |||||
Omni Plastics [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Weighted average life of intangible assets acquired | 11 years | |||||
Next Polymers [Member] | ||||||
Finite-Lived intangible Assets Rollforward | ||||||
Weighted average life of intangible assets acquired | 13 years | |||||
[1] | Related to intangible assets acquired from Next Polymers during the year ended December 31, 2019, with a weighted average amortization period of 13 years . | |||||
[2] | Primarily related to intangible assets acquired from Omni Plastics during the year ended December 31, 2018, with a weighted average amortization period of 11 years . | |||||
[3] | During the year ended December 31, 2018, the Company extended a research and development technology agreement license, which is being amortized over a period of 5 years. |
Goodwill and Intangible Asset_5
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, 2019 | Dec. 31, 2018 | ||
Gross Asset Value | |||
Gross asset value | $ 112 | $ 115 | |
Acquisitions (Note 4) | 4 | [1] | 0 |
Impairment loss (Note 2) | 0 | ||
Exchange rate changes | 1 | (3) | |
Gross asset value | $ 115 | $ 112 | |
[1] | Related to indefinite-lived intangible assets acquired from Next Polymers. |
Goodwill and Intangible Asset_6
Goodwill and Intangible Assets, Net (Schedule of Estimated Amortization Expense) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2020 | $ 21 |
2021 | 21 |
2022 | 19 |
2023 | 17 |
2024 | $ 16 |
Current Other Liabilities (Deta
Current Other Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities, Current [Abstract] | ||
Asset retirement obligations | $ 6 | $ 3 |
Benefit obligations (Note 15) | 28 | 30 |
Customer rebates | 63 | 76 |
Derivatives (Note 22) | 8 | 7 |
Environmental (Note 16) | 12 | 20 |
Insurance | 6 | 4 |
Interest | 29 | 21 |
Legal (Note 24) | 105 | 4 |
Operating leases (Note 21) | 29 | 0 |
Restructuring (Note 18) | 13 | 4 |
Salaries and benefits | 89 | 119 |
Sales and use tax/foreign withholding tax payable | 35 | 22 |
Other | 38 | 33 |
Total | $ 461 | $ 343 |
Noncurrent Other Liabilities (S
Noncurrent Other Liabilities (Schedule of Noncurrent Other Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities, Noncurrent [Abstract] | ||
Asset retirement obligations | $ 13 | $ 13 |
Deferred proceeds | 43 | 44 |
Deferred revenue | 6 | 7 |
Derivatives (Note 22) | 50 | 11 |
Environmental (Note 16) | 49 | 49 |
Insurance | 34 | 37 |
Other | 28 | 47 |
Total | $ 223 | $ 208 |
Noncurrent Other Liabilities _2
Noncurrent Other Liabilities (Schedule of Changes in Asset Retirement Obligations) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Other Liabilities, Noncurrent [Roll Forward] | ||||
Balance at beginning of year | $ 16 | $ 26 | $ 29 | |
Additions | [1] | 5 | 2 | 0 |
Accretion | 0 | 0 | 1 | |
Payments | (3) | (4) | (5) | |
Revisions to cash flow estimates | [2] | 1 | (8) | 1 |
Balance at end of year | $ 19 | $ 16 | $ 26 | |
[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 _3
Noncurrent Other Liabilities (Schedule of Changes in Asset Retirement Obligations Narrative) (Details) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Other Liabilities, Noncurrent [Abstract] | |
Asset retirement obligation, liability for assets or businesses acquired | $ 10 |
Debt (Schedule of Short-term De
Debt (Schedule of Short-term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | ||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Current installments of long-term debt | $ 28 | $ 367 | ||
Short-term borrowings, including amounts due to affiliates | [1] | 81 | 77 | |
Total | $ 496 | $ 561 | ||
Weighted average interest rate, short-term borrowings | 2.30% | 3.20% | ||
Revolving Credit Facility [Member] | ||||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Line of Credit, Current | [2] | $ 272 | [3] | $ 40 |
Weighted average interest rate, short-term borrowings | 1.60% | 6.00% | ||
Accounts Receivable Securitization Facility [Member] | ||||
Short-Term Borrowings and Current Installments of Long-Term Debt - Third Party and Affiliates | ||||
Line of Credit, Current | [4] | $ 115 | [5] | $ 77 |
Weighted average interest rate, short-term borrowings | 2.40% | 3.10% | ||
[1] | The weighted average interest rate was 2.3% and 3.2% as of December 31, 2019 and 2018 , respectively. | |||
[2] | The weighted average interest rate was 1.6% and 6.0% as of December 31, 2019 and 2018 , respectively. | |||
[3] | The Company borrowed $1.3 billion and repaid $1.1 billion under its senior unsecured revolving credit facility during the year ended December 31, 2019 . | |||
[4] | The weighted average interest rate was 2.4% and 3.1% as of December 31, 2019 and 2018 , respectively. | |||
[5] | The Company borrowed $112 million and repaid $74 million under this facility during the year ended December 31, 2019 |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt) (Details) € in Millions, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2019USD ($) | May 08, 2019USD ($) | Dec. 31, 2018USD ($) | Nov. 05, 2018EUR (€) | ||
Long-Term Debt | |||||
Finance Lease, Liability | $ 144 | $ 167 | |||
Subtotal | 3,455 | 3,355 | |||
Current installments of long-term debt | (28) | (367) | |||
Total | $ 3,409 | 2,970 | |||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||
Senior Unsecured Notes Due 2024 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 841 | 857 | |||
Maturity Date | May 8, 2024 | ||||
Interest Rate | 3.50% | ||||
Long-term Debt, Gross | $ 500 | ||||
Percentage of Face | 99.895% | ||||
Senior Unsecured Term Loan Due 2021 [Member] | |||||
Long-Term Debt | |||||
Maturity Date | Jul. 15, 2021 | ||||
Senior Unsecured Notes Due 2019 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 0 | 343 | |||
Maturity Date | Oct. 15, 2019 | ||||
Interest Rate | 3.25% | ||||
Senior Unsecured Notes Due 2021 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 400 | 400 | |||
Maturity Date | Jun. 15, 2021 | ||||
Interest Rate | 5.875% | ||||
Senior Unsecured Notes Due 2022 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 500 | 500 | |||
Maturity Date | Nov. 15, 2022 | ||||
Interest Rate | 4.625% | ||||
Senior Unsecured Notes Due 2023 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 499 | 0 | |||
Maturity Date | Sep. 26, 2023 | ||||
Interest Rate | 1.125% | ||||
Senior Unsecured Notes Due 2025 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 337 | 343 | |||
Maturity Date | Dec. 11, 2025 | ||||
Interest Rate | 1.25% | ||||
Senior Unsecured Notes Due 2027 [Member] | |||||
Long-Term Debt | |||||
Senior unsecured notes | $ 558 | 568 | |||
Maturity Date | Mar. 1, 2027 | ||||
Interest Rate | 2.125% | ||||
Long-term Debt, Gross | € | € 500 | ||||
Percentage of Face | 99.231% | ||||
Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% [Member] | |||||
Long-Term Debt | |||||
Other Long-term debt | $ 167 | $ 167 | |||
Year of maturity, range end | Nov. 1, 2030 | ||||
Refunding loan for pollution control and industrial revenue bonds [Member] | |||||
Long-Term Debt | |||||
Year of maturity, range end | Dec. 31, 2030 | ||||
Nilit bank loans due at various dates through 2026 (Note 4) [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 1.30% | 1.30% | |||
Long-Term Debt | |||||
Other Long-term debt | [1] | $ 9 | $ 10 | ||
Year of maturity, range end | Dec. 31, 2026 | ||||
Obligations Under Capital Leases [Member] | |||||
Long-Term Debt | |||||
Year of maturity, range end | Mar. 31, 2054 | ||||
Long-term Debt [Member] | |||||
Long-Term Debt | |||||
Unamortized debt issuance costs | [2] | $ (18) | $ (18) | ||
Minimum [Member] | Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% [Member] | |||||
Long-Term Debt | |||||
Interest Rate | 5.70% | ||||
Minimum [Member] | Refunding loan for pollution control and industrial revenue bonds [Member] | |||||
Long-Term Debt | |||||
Interest Rate | 4.05% | ||||
Maximum [Member] | Pollution control and industrial revenue bonds due at various dates through 2030, interest rates ranging from 4.05% to 5.00% [Member] | |||||
Long-Term Debt | |||||
Interest Rate | 6.70% | ||||
Maximum [Member] | Refunding loan for pollution control and industrial revenue bonds [Member] | |||||
Long-Term Debt | |||||
Interest Rate | 5.00% | ||||
[1] | The weighted average interest rate was 1.3% and 1.3% as of December 31, 2019 and 2018 , respectively. | ||||
[2] | Related to the Company's long-term debt, excluding obligations under finance leases. |
Debt (Senior Credit Facilities
Debt (Senior Credit Facilities Narrative) (Details) - Revolving Credit Facility [Member] - USD ($) $ in Millions | May 08, 2019 | Dec. 31, 2019 | Jan. 07, 2019 |
Debt Instrument [Line Items] | |||
Repayments of Lines of Credit | $ 156 | ||
Senior Unsecured Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,250 | ||
Proceeds from Lines of Credit | $ 1,300 | ||
Repayments of Lines of Credit | $ 1,100 |
Debt (Schedule of Balances Avai
Debt (Schedule of Balances Available for Borrowing) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | May 08, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Borrowings outstanding | [1] | $ 272 | [2] | $ 272 | [2] | $ 40 | |
Letters of credit issued | 0 | 0 | |||||
Available for borrowing | [3] | $ 978 | 978 | ||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of Lines of Credit | $ 156 | ||||||
Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Proceeds from Lines of Credit | 1,300 | ||||||
Repayments of Lines of Credit | $ 1,100 | ||||||
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 | 1.25% | ||||||
[1] | The weighted average interest rate was 1.6% and 6.0% as of December 31, 2019 and 2018 , respectively. | ||||||
[2] | The Company borrowed $1.3 billion and repaid $1.1 billion under its senior unsecured revolving credit facility during the year ended December 31, 2019 . | ||||||
[3] | The margin for borrowings under the senior unsecured revolving credit facility was 1.25% above LIBOR or EURIBOR at current Company credit ratings. |
Debt Debt (Senior Notes Narrati
Debt Debt (Senior Notes Narrative) (Details) € in Millions, $ in Millions | May 08, 2019USD ($) | Nov. 05, 2018USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Nov. 05, 2018EUR (€) |
Debt Instrument [Line Items] | |||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||
Senior Unsecured Notes Due 2024 [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 841 | $ 857 | |||
Long-term Debt, Gross | $ 500 | ||||
Percentage of Face | 99.895% | ||||
Interest Rate | 3.50% | ||||
Maturity Date | May 8, 2024 | ||||
Senior Unsecured Notes Due 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 499 | 0 | |||
Interest Rate | 1.125% | ||||
Maturity Date | Sep. 26, 2023 | ||||
Senior Unsecured Notes Due 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 0 | 343 | |||
Interest Rate | 3.25% | ||||
Maturity Date | Oct. 15, 2019 | ||||
Senior Unsecured Notes Due 2025 [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 337 | 343 | |||
Interest Rate | 1.25% | ||||
Maturity Date | Dec. 11, 2025 | ||||
Senior Unsecured Notes Due 2027 [Member] | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured notes | $ 558 | $ 568 | |||
Long-term Debt, Gross | € | € 500 | ||||
Percentage of Face | 99.231% | ||||
Interest Rate | 2.125% | ||||
Maturity Date | Mar. 1, 2027 | ||||
Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Repayments of Lines of Credit | $ 156 | ||||
Revolving Credit Facility [Member] | Senior Unsecured Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Repayments of Lines of Credit | $ 1,100 | ||||
Senior Unsecured Term Loan Due 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Repayments of Lines of Credit | $ 463 |
Debt Debt (Accounts Receivable
Debt Debt (Accounts Receivable Securitization Facility) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | |||
Debt Instrument [Line Items] | ||||
Cash Flows Between Transferor and Transferee, Proceeds from New Transfers | $ 161 | |||
Accounts Receivable Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit, Current | [1] | 115 | [2] | $ 77 |
Letters of credit issued | 0 | |||
Available for borrowing | 5 | |||
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 | 112 | |||
Repayments of Lines of Credit | $ 74 | |||
[1] | The weighted average interest rate was 2.4% and 3.1% as of December 31, 2019 and 2018 , respectively. | |||
[2] | The Company borrowed $112 million and repaid $74 million under this facility during the year ended December 31, 2019 | |||
[3] | Outstanding accounts receivable transferred to the SPE was $161 million . |
Debt (Schedule of Principle Pay
Debt (Schedule of Principle Payments) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Debt Disclosure [Abstract] | |
2019 | $ 496 |
2020 | 429 |
2021 | 525 |
2022 | 859 |
2023 | 533 |
Thereafter | 1,081 |
Total | $ 3,923 |
Debt Debt (Other Financing Arra
Debt Debt (Other Financing Arrangements) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Other Financing Arrangements [Abstract] | ||
Transfer of Financial Assets Accounted for as Sales, Amount Derecognized | $ 257 | $ 117 |
Benefit Obligations (Schedule o
Benefit Obligations (Schedule of Contributions to Multiemployer Defined Benefit Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |||
Multiemployer plans, funded status | At least 80 percent | At least 80 percent | At least 80 percent |
Multiemployer defined benefit plan | $ 8 | $ 8 | $ 7 |
Benefit Obligations (Schedule_2
Benefit Obligations (Schedule of Other Postemployment Obligations) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Postemployment benefits | $ 7 | $ 8 |
Benefit Obligations Benefit Obl
Benefit Obligations Benefit Obligations (Schedule of Contributions to Defined Contribution Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |||
Defined contribution plans | $ 42 | $ 40 | $ 40 |
Benefit Obligations (Schedule_3
Benefit Obligations (Schedule of Company's Pension and Post Retirement Benefit Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net amount recognized | $ 7 | $ 0 | $ (9) | |
Other comprehensive (income) loss, tax effect | 4 | 5 | ||
Pension Plan [Member] | ||||
Change in Projected Benefit Obligation | ||||
Projected benefit obligation as of beginning of period | 3,412 | 3,728 | ||
Service cost | 9 | 9 | 9 | |
Interest cost | 115 | 104 | 107 | |
Net actuarial (gain) loss | [1] | 377 | (163) | |
Settlements | (3) | 0 | ||
Benefits paid | (230) | (235) | ||
Curtailments | 0 | (1) | ||
Special termination benefits | 1 | 2 | ||
Exchange rate changes | (3) | (32) | ||
Other | [2] | (68) | 0 | |
Projected benefit obligation as of end of period | 3,610 | 3,412 | 3,728 | |
Change in Plan Assets | ||||
Fair value of plan assets as of beginning of period | 2,915 | 3,251 | ||
Actual return on plan assets | 467 | (124) | ||
Employer contributions | 42 | 43 | ||
Settlements | (3) | 0 | ||
Benefits paid | [3] | (230) | (235) | |
Defined Benefit Plan, Plan Assets, Increase (Decrease) for Other Change | [2] | (52) | 0 | |
Exchange rate changes | 2 | (20) | ||
Fair value of plan assets as of end of period | 3,141 | 2,915 | 3,251 | |
Funded status as of end of period | (469) | (497) | ||
Amounts Recognized in the Consolidated Balance Sheets Consist of: | ||||
Noncurrent Other assets | 77 | 30 | ||
Current Other liabilities | (23) | (24) | ||
Benefit obligations | (523) | (503) | ||
Funded status as of end of period | (469) | (497) | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net actuarial (gain) loss | [4] | 15 | 8 | |
Prior service (benefit) cost | 0 | 0 | ||
Net amount recognized | [5] | 15 | 8 | |
Other Postretirement Benefits Plan [Member] | ||||
Change in Projected Benefit Obligation | ||||
Projected benefit obligation as of beginning of period | 59 | 66 | ||
Service cost | 0 | 1 | 1 | |
Interest cost | 2 | 2 | 1 | |
Net actuarial (gain) loss | [1] | 8 | (4) | |
Settlements | 0 | 0 | ||
Benefits paid | (5) | (4) | ||
Curtailments | 0 | 0 | ||
Special termination benefits | 0 | 0 | ||
Exchange rate changes | 0 | (2) | ||
Other | [2] | 0 | 0 | |
Projected benefit obligation as of end of period | 64 | 59 | 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 | 5 | 4 | ||
Settlements | 0 | 0 | ||
Benefits paid | [3] | (5) | (4) | |
Defined Benefit Plan, Plan Assets, Increase (Decrease) for Other Change | [2] | 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 | (64) | (59) | ||
Amounts Recognized in the Consolidated Balance Sheets Consist of: | ||||
Noncurrent Other assets | 0 | 0 | ||
Current Other liabilities | (4) | (5) | ||
Benefit obligations | (60) | (54) | ||
Funded status as of end of period | (64) | (59) | ||
Amounts Recognized in Accumulated Other Comprehensive Income Consist of: | ||||
Net actuarial (gain) loss | [4] | 0 | 0 | |
Prior service (benefit) cost | (1) | 0 | ||
Net amount recognized | [5] | (1) | 0 | |
Supplemental Employee Retirement Plan [Member] | ||||
Change in Plan Assets | ||||
Benefits paid | $ (21) | $ (22) | ||
[1] | Primarily relates to changes in discount rates. | |||
[2] | Primarily relates to lump sum offers for certain participants of the US qualified defined benefit pension plan | |||
[3] | Includes benefit payments to nonqualified pension plans of $21 million and $22 million as of December 31, 2019 and 2018 , respectively. | |||
[4] | Relates to the pension plans of the Company's equity method investments. | |||
[5] | Amount shown net of an income tax benefit of $4 million and $5 million as of December 31, 2019 and 2018 , respectively, in the consolidated statements of equity ( Note 17 ). |
Benefit Obligations (Schedule_4
Benefit Obligations (Schedule of Percentage of US and International Projected Benefit Obligation) (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 100.00% | 100.00% |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 100.00% | 100.00% |
UNITED STATES | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 81.00% | 82.00% |
UNITED STATES | Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 55.00% | 57.00% |
Foreign Plan [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 19.00% | 18.00% |
Foreign Plan [Member] | Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of projected benefit obligation | 45.00% | 43.00% |
Benefit Obligations (Schedule_5
Benefit Obligations (Schedule of Percentage of US and International Fair Value of Plan Assets) (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of US and international fair value of plan assets | 100.00% | 100.00% |
UNITED STATES | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of US and international fair value of plan assets | 87.00% | 88.00% |
Foreign Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of US and international fair value of plan assets | 13.00% | 12.00% |
Benefit Obligations (Schedule_6
Benefit Obligations (Schedule of Pension Plans with Projected Benefit Obligations in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Projected benefit obligation | $ 881 | $ 840 |
Fair value of plan assets | $ 337 | $ 314 |
Benefit Obligations (Schedule_7
Benefit Obligations (Schedule of Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Accumulated benefit obligation | $ 776 | $ 749 |
Fair value of plan assets | 255 | 243 |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Accumulated benefit obligation | 64 | 58 |
Fair value of plan assets | $ 0 | $ 0 |
Benefit Obligations (Schedule_8
Benefit Obligations (Schedule of Accumulated Benefit Obligation for All Defined Benefit Pension Plans) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Accumulated benefit obligation | $ 3,584 | $ 3,390 |
Benefit Obligations (Schedule_9
Benefit Obligations (Schedule of Net Periodic Benefit Costs Recognized) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Actuarial (gain) loss on pension and postretirement plans | $ 87 | $ 165 | $ 46 |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 2.80% | 3.80% | |
Service cost | $ 9 | $ 9 | 9 |
Interest cost | 115 | 104 | 107 |
Expected return on plan assets | (185) | (210) | (198) |
Amortization of prior service cost / (credit) | 0 | 0 | 0 |
Actuarial (gain) loss on pension and postretirement plans | 79 | 169 | 48 |
Curtailment (gain) loss | 0 | (1) | 0 |
Special termination benefit | 1 | 2 | 1 |
Total | $ 19 | $ 73 | (33) |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 2.90% | 3.80% | |
Service cost | $ 0 | $ 1 | 1 |
Interest cost | 2 | 2 | 1 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost / (credit) | 0 | 0 | (1) |
Actuarial (gain) loss on pension and postretirement plans | 8 | (4) | (2) |
Curtailment (gain) loss | 0 | 0 | 0 |
Special termination benefit | 0 | 0 | 0 |
Total | $ 10 | $ (1) | $ (1) |
Benefit Obligations (Schedul_10
Benefit Obligations (Schedule of Nonqualified Pension Plans Funded with Nonqualified Trusts) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plan Disclosure [Line Items] | ||
Noncurrent Other assets, consisting of insurance contracts | $ 35 | $ 37 |
Supplemental Employee Retirement Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Noncurrent Other assets, consisting of insurance contracts | 35 | 37 |
Current Other liabilities | 20 | 21 |
Benefit obligations | 219 | 213 |
Supplemental Employee Retirement Plan [Member] | Money Market Funds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Marketable securities, at fair value | $ 24 | $ 31 |
Benefit Obligations (Schedul_11
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, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Supplemental Employee Retirement Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 26 | $ (3) | $ 18 |
Benefit Obligations (Pension an
Benefit Obligations (Pension and Other Postretirement Obligations Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
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] | |||
Curtailment gain (loss) | $ 0 | $ 1 | $ 0 |
Amortization of prior service cost (credit) | 0 | 0 | 0 |
Lump-sum buyout payments | 3 | 0 | |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Curtailment gain (loss) | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 0 | 0 | $ (1) |
Lump-sum buyout payments | $ 0 | $ 0 |
Benefit Obligations (Schedul_12
Benefit Obligations (Schedule of Principle Weighted Average Assumptions Used to Determine Benefit Obligations and Benefit Cost) (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 2.80% | 3.80% | |
Rate of compensation increase | 2.60% | 2.80% | |
Discount rate NPBC | 3.80% | 3.30% | 3.70% |
Discount rate NPBC - service cost | 2.50% | 2.20% | 2.50% |
Discount rate NPBC - interest cost | 3.50% | 2.90% | 3.10% |
Expected return on plan assets | 6.50% | 6.70% | 7.30% |
Rate of compensation increase NPBC | 2.80% | 2.80% | 2.80% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Weighted-Average Interest Crediting Rate | 3.00% | 2.80% | 2.30% |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 2.90% | 3.80% | |
Discount rate NPBC | 3.80% | 3.20% | 3.40% |
Discount rate NPBC - service cost | 3.40% | 2.90% | 2.90% |
Discount rate NPBC - interest cost | 3.50% | 2.90% | 2.90% |
UNITED STATES | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 6.70% | 6.80% | 7.50% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Weighted-Average Interest Crediting Rate | 3.00% | 2.80% | 2.30% |
UNITED STATES | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 3.20% | 4.20% | |
Discount rate NPBC | 4.20% | 3.50% | 3.90% |
Discount rate NPBC - service cost | 3.10% | 1.90% | 1.20% |
Discount rate NPBC - interest cost | 3.90% | 3.10% | 3.30% |
UNITED STATES | Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 3.10% | 4.10% | |
Discount rate NPBC | 4.10% | 3.40% | 3.80% |
Discount rate NPBC - service cost | 4.60% | 3.70% | 4.00% |
Discount rate NPBC - interest cost | 3.80% | 3.00% | 3.10% |
Foreign Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Rate of compensation increase | 2.60% | 2.80% | |
Expected return on plan assets | 5.60% | 5.90% | 5.90% |
Rate of compensation increase NPBC | 2.80% | 2.80% | 2.80% |
Foreign Plan [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 1.40% | 2.10% | |
Discount rate NPBC | 2.10% | 2.10% | 2.10% |
Discount rate NPBC - service cost | 2.50% | 2.30% | 2.50% |
Discount rate NPBC - interest cost | 1.80% | 1.70% | 1.70% |
Foreign Plan [Member] | Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate obligations | 2.70% | 3.40% | |
Discount rate NPBC | 3.40% | 3.20% | 3.30% |
Discount rate NPBC - service cost | 3.40% | 3.30% | 3.40% |
Discount rate NPBC - interest cost | 3.20% | 2.90% | 2.90% |
Benefit Obligations Benefit O_2
Benefit Obligations Benefit Obligations (Schedule of US Health Care Cost Trend Rates) (Details) - UNITED STATES - Postretirement Health Coverage [Member] | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
ScheduleofHealthCareCostTrend [Line Items] | |||
Health care cost trend rate assumed for next year | 8.00% | 8.50% | 9.00% |
Health care cost trend ultimate rate | 5.00% | 5.00% | 5.00% |
Health care cost trend ultimate rate year | 2026 | 2026 | 2026 |
Benefit Obligations (Valuation
Benefit Obligations (Valuation Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 6.50% | 6.70% | 7.30% |
Benefit Obligations (Schedul_13
Benefit Obligations (Schedule of Weighted Average Target Asset Allocations) (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
UNITED STATES | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Actual return on plan assets | 16.60% | ||
Expected return on plan assets | 6.70% | 6.80% | 7.50% |
Weighted average target asset allocations | 100.00% | ||
UNITED STATES | Debt Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 80.00% | ||
UNITED STATES | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 10.00% | ||
UNITED STATES | Equity Securities International To Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 10.00% | ||
UNITED STATES | Other Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 0.00% | ||
Foreign Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 5.60% | 5.90% | 5.90% |
Weighted average target asset allocations | 100.00% | ||
Foreign Plan [Member] | Debt Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 58.00% | ||
Foreign Plan [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted average target asset allocations | 15.00% | ||
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 | 27.00% |
Benefit Obligations (Schedul_14
Benefit Obligations (Schedule of Fair Values of Pension Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plan assets, fair value non-financial receivables | $ 29 | $ 36 | |
Pension plan assets, fair value non-financial payables | 26 | 19 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | 2,352 | 2,220 |
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) | (3) | |
Defined Benefit Plan, Equity Securities, Non-US [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 77 | 59 | |
Defined Benefit Plan, Cash and Cash Equivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 8 | 2 | |
Total plan assets [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [2] | 2,359 | 2,223 |
Equities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 689 | 595 | |
Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 3 | |
Corporate Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 762 | 691 | |
Treasuries, Other Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 1,438 | 1,420 | |
Mortgage Backed Securities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 15 | 8 | |
Registered Investment Companies [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 62 | 54 | |
Short-term Investments [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 35 | 29 | |
Insurance Contracts [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 47 | 35 | |
Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 5 | 5 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | 124 | 192 |
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] | Defined Benefit Plan, Equity Securities, Non-US [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 77 | 59 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Defined Benefit Plan, Cash and Cash Equivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 8 | 2 | |
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] | 124 | 192 |
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] | 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 | 35 | 127 | |
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 | 4 | |
Significant Other Observable Inputs (Level 2) [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [1] | 2,228 | 2,028 |
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) | (3) | |
Significant Other Observable Inputs (Level 2) [Member] | Defined Benefit Plan, Equity Securities, Non-US [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | Defined Benefit Plan, Cash and Cash Equivalents [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 0 | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | Total plan assets [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | [2] | 2,235 | 2,031 |
Significant Other Observable Inputs (Level 2) [Member] | Swaps [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 7 | 3 | |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 762 | 691 | |
Significant Other Observable Inputs (Level 2) [Member] | Treasuries, Other Debt [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 1,403 | 1,293 | |
Significant Other Observable Inputs (Level 2) [Member] | Mortgage Backed Securities [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 15 | 8 | |
Significant Other Observable Inputs (Level 2) [Member] | Insurance Contracts [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | 47 | 35 | |
Significant Other Observable Inputs (Level 2) [Member] | Other [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total net assets | $ 1 | $ 1 | |
[1] | Total net assets excludes non-financial plan receivables and payables of $29 million and $26 million , respectively, as of December 31, 2019 and $36 million and $19 million , respectively, as of December 31, 2018 . Non-financial items include due to/from broker, interest receivables and accrued expenses. | ||
[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, 2019 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $689 million , $62 million and $35 million , respectively. Total investments, at fair value, for the year ended December 31, 2018 excludes investments in common/collective trusts, registered investment companies and short-term investment funds with fair values of $595 million , $54 million and $29 million , respectively. |
Benefit Obligations Benefit O_3
Benefit Obligations Benefit Obligations (Schedule of Pension Contributions Expected to be Contributed to the Plans) (Details) $ in Millions | Dec. 31, 2019USD ($) |
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 | $ 20 |
Benefit Obligations (Schedul_15
Benefit Obligations (Schedule of Pension Benefits Expected to be Paid from the Plans or From the Company's Assets) (Details) $ in Millions | Dec. 31, 2019USD ($) | |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2020 | $ 238 | [1] |
2021 | 228 | [1] |
2022 | 225 | [1] |
2023 | 223 | [1] |
2024 | 219 | [1] |
2025-2029 | 1,038 | [1] |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2020 | 5 | [2] |
2021 | 4 | [2] |
2022 | 4 | [2] |
2023 | 4 | [2] |
2024 | 4 | [2] |
2025-2029 | $ 17 | [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, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 6.50% | 6.70% | 7.30% | |
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 | |||
UNITED STATES | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual return on plan assets | 16.60% | |||
Expected return on plan assets | 6.70% | 6.80% | 7.50% | |
Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 5.60% | 5.90% | 5.90% | |
Forecast [Member] | UNITED STATES | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 6.70% |
Environmental (Schedule of Envi
Environmental (Schedule of Environmental Remediation Reserves) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Environmental Remediation Obligations [Abstract] | ||
Document Period End Date | Dec. 31, 2019 | |
Demerger obligations (Note 24) | $ 23 | $ 26 |
Divestiture obligations (Note 24) | 12 | 16 |
Active sites | 13 | 14 |
US Superfund sites | 11 | 11 |
Other environmental remediation liabilities | 2 | 2 |
Total | $ 61 | $ 69 |
Environmental (Schedule of En_2
Environmental (Schedule of Environmental Ownership and Liability Percentages) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | |
Environmental Disclosure [Line Items] | |||
Reserves | $ 61 | $ 69 | |
InfraServ GmbH & Co. Gendorf KG [Member] | |||
Environmental Disclosure [Line Items] | |||
Ownership percentage | 30.00% | ||
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] | $ 68 | |
YNCORIS GmbH & Co. KG [Member] | |||
Environmental Disclosure [Line Items] | |||
Ownership percentage | [2] | 22.00% | |
Liability percentage | [2] | 22.00% | |
Reserves | [1],[2] | $ 1 | |
[1] | Gross reserves maintained by the respective entity. | ||
[2] | Formerly known as InfraServ GmbH & Co. Knapsack KG. |
Environmental Environmental (US
Environmental Environmental (US Superfund Sites Narrative) (Details) $ in Billions | Mar. 03, 2016USD ($) | Dec. 31, 2019 |
Site Contingency [Line Items] | ||
Document Period End Date | Dec. 31, 2019 | |
Passaic River, New Jersey [Member] | ||
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, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |||
Percent increase in common stock dividend | 15.00% | 17.00% | 28.00% |
Quarterly Common Stock Cash Dividend | $ 0.62 | $ 0.54 | $ 0.46 |
Annual Common Stock Cash Dividend | $ 2.48 | $ 2.16 | $ 1.84 |
Stockholders' Equity (Schedul_2
Stockholders' Equity (Schedule of Treasury Stock) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | 143 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | ||
Stockholders' Equity Note [Abstract] | |||||
Shares reacquired under clawback agreement | 1,700 | ||||
Shares repurchased | 9,166,267 | 7,933,692 | [1] | 5,436,803 | 56,878,978 |
Average purchase price per share | $ 109.10 | $ 103.01 | $ 91.97 | $ 73.01 | |
Amount spent on repurchased shares (in millions) | $ 1,000 | $ 817 | $ 500 | $ 4,153 | |
Aggregate Board of Directors repurchase authorizations during the period | 1,500 | $ 0 | $ 1,500 | ||
Share repurchase plan, authorized repurchase amount | $ 5,366 | $ 5,366 | |||
[1] | Excludes 1,700 common shares reacquired pursuant to an employee clawback agreement. |
Stockholders' Equity (Schedul_3
Stockholders' Equity (Schedule of Components of Other Comprehensive Income (Loss), Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
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 | 0 | 0 | (1) |
Unrealized gain (loss) on marketable securities, net amount | 0 | 0 | (1) |
Foreign currency translation, gross amount | (10) | (65) | 162 |
Foreign currency translation, income tax (provision) benefit | (6) | 5 | 12 |
Foreign currency translation, net amount | (16) | (60) | 174 |
Gain (loss) on cash flow hedges, gross amount | (38) | (12) | 0 |
Gain (loss) on cash flow hedges, income tax (provision) benefit | 8 | 2 | (1) |
Gain (loss) on cash flow hedges, net amount | (30) | (10) | (1) |
Pension and postretirement benefits, gross amount | (6) | 1 | 7 |
Pension and postretirement benefits, income tax (provision) benefit | (1) | (1) | 2 |
Pension and postretirement benefits, net amount | (7) | 0 | 9 |
Total other comprehensive income (loss), gross amount | (54) | (76) | 169 |
Total other comprehensive income (loss), income tax (provision) benefit | 1 | 6 | 12 |
Total other comprehensive income (loss), net of tax | $ (53) | $ (70) | $ 181 |
Stockholders' Equity (Schedul_4
Stockholders' Equity (Schedule of Adjustments to Accumulated Other Comprehensive Income (Loss), Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | $ (247) | $ (177) | $ (358) |
Other comprehensive income (loss) before reclassifications | (52) | (75) | 174 |
Amounts reclassified from accumulated other comprehensive income (loss) | (2) | (1) | (5) |
Income tax (provision) benefit | 1 | 6 | 12 |
Balance as of the end of the period | (300) | (247) | (177) |
Unrealized Gain (Loss) on Marketable Securities [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | 0 | 0 | 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 | 0 | 0 | (1) |
Balance as of the end of the period | 0 | 0 | 0 |
Foreign Currency Translation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | (236) | (176) | (350) |
Other comprehensive income (loss) before reclassifications | (10) | (65) | 162 |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 |
Income tax (provision) benefit | (6) | 5 | 12 |
Balance as of the end of the period | (252) | (236) | (176) |
Gain (Loss) from Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | (8) | 2 | 3 |
Other comprehensive income (loss) before reclassifications | (36) | (11) | 4 |
Amounts reclassified from accumulated other comprehensive income (loss) | (2) | (1) | (4) |
Income tax (provision) benefit | 8 | 2 | (1) |
Balance as of the end of the period | (38) | (8) | 2 |
Pension and Postretirement Benefits [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance as of the beginning of the period | (3) | (3) | (12) |
Other comprehensive income (loss) before reclassifications | (6) | 1 | 8 |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | (1) |
Income tax (provision) benefit | (1) | (1) | 2 |
Balance as of the end of the period | $ (10) | $ (3) | $ (3) |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 05, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Equity, Class of Treasury Stock [Line Items] | |||
Common stock, par value | $ 0.0001 | $ 0.0001 | |
Subsequent Event [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Quarterly cash dividend per share | $ 0.62 | ||
Cash dividend | $ 74 |
Other (Charges) Gains, Net (Sch
Other (Charges) Gains, Net (Schedule of Other (Charges) Gains, Net) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Feb. 28, 2018 | ||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring | $ (23) | $ (4) | $ (3) | ||
Impairment of equity method investment | 0 | 0 | (4) | ||
Asset impairments | (83) | 0 | 0 | ||
Plant/office closures | (4) | 13 | (52) | ||
European Commission investigation | (89) | 0 | 0 | ||
Commercial disputes | (4) | 0 | 0 | ||
Other (charges) gains, net | (203) | $ 9 | (59) | ||
Engineered Materials [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Commercial disputes | 15 | ||||
Other Activities [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Commercial disputes | $ 19 | ||||
Acetyl Intermediates [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Plant/office closures | (52) | ||||
Acetyl Intermediates [Member] | Contract Termination [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Plant/office closures | (22) | ||||
Acetyl Intermediates [Member] | Non-income tax receivable adjustment [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Plant/office closures | (21) | ||||
InfraServ GmbH & Co. Gendorf KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | 30.00% | ||||
InfraServ GmbH & Co. Gendorf KG [Member] | Other Activities [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | [1],[2] | 30.00% | 30.00% | ||
YNCORIS GmbH & Co. KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | [3] | 22.00% | |||
YNCORIS GmbH & Co. KG [Member] | Other Activities [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | [1],[2],[4] | 22.00% | 22.00% | ||
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) | ||||
Maximum [Member] | InfraServ GmbH & Co. Gendorf KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | 39.00% | ||||
Maximum [Member] | YNCORIS GmbH & Co. KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | 27.00% | ||||
Minimum [Member] | InfraServ GmbH & Co. Gendorf KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | 30.00% | ||||
Minimum [Member] | YNCORIS GmbH & Co. KG [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Ownership percentage | 22.00% | ||||
[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 18 for further information. | ||||
[3] | Formerly known as InfraServ GmbH & Co. Knapsack KG. | ||||
[4] | Formerly known as InfraServ GmbH & Co. Knapsack KG. |
Other (Charges) Gains, Net (S_2
Other (Charges) Gains, Net (Schedule of Restructuring Reserves) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Reserve [Roll Forward] | ||
Reserve as of the end of the period | $ 13 | |
Total | 13 | |
Employee Termination Benefits [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 4 | $ 3 |
Additions | 24 | 4 |
Cash payments | (14) | (3) |
Other changes | (1) | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 13 | 4 |
Total | 13 | 4 |
Plant/Office Closures [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 0 | 2 |
Additions | 1 | 0 |
Cash payments | (1) | (2) |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | 0 | 0 |
Other [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the end of the period | 5 | |
Total | 5 | |
Other [Member] | Employee Termination Benefits [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 0 | 1 |
Additions | 9 | 0 |
Cash payments | (4) | (1) |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 5 | 0 |
Total | 5 | 0 |
Other [Member] | Plant/Office Closures [Member] | ||
Restructuring Reserve [Roll Forward] | ||
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 |
Engineered Materials [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the end of the period | 5 | |
Total | 5 | |
Engineered Materials [Member] | Employee Termination Benefits [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 0 | 1 |
Additions | 10 | 0 |
Cash payments | (5) | (1) |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 5 | 0 |
Total | 5 | 0 |
Engineered Materials [Member] | Plant/Office Closures [Member] | ||
Restructuring Reserve [Roll Forward] | ||
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 |
Acetate Tow [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the end of the period | 3 | |
Total | 3 | |
Acetate Tow [Member] | Employee Termination Benefits [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 2 | 0 |
Additions | 4 | 2 |
Cash payments | (3) | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 3 | 2 |
Total | 3 | 2 |
Acetate Tow [Member] | Plant/Office Closures [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 0 | 0 |
Additions | 1 | 0 |
Cash payments | (1) | 0 |
Other changes | 0 | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 0 |
Total | 0 | 0 |
Acetyl Chain [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the end of the period | 0 | |
Total | 0 | |
Acetyl Chain [Member] | Employee Termination Benefits [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 2 | 1 |
Additions | 1 | 2 |
Cash payments | (2) | (1) |
Other changes | (1) | 0 |
Exchange rate changes | 0 | 0 |
Reserve as of the end of the period | 0 | 2 |
Total | 0 | 2 |
Acetyl Chain [Member] | Plant/Office Closures [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Reserve as of the beginning of the period | 0 | 2 |
Additions | 0 | 0 |
Cash payments | 0 | (2) |
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 | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Other (Charges) Gains, Net [Line Items] | ||||
Commercial disputes | $ (4) | $ 0 | $ 0 | |
Restructuring | 23 | 4 | 3 | |
Asset impairments | 83 | 0 | $ 0 | |
Other Activities [Member] | ||||
Other (Charges) Gains, Net [Line Items] | ||||
Commercial disputes | 19 | |||
Engineered Materials [Member] | ||||
Other (Charges) Gains, Net [Line Items] | ||||
Commercial disputes | 15 | |||
Ocotlán, Mexico [Member] | ||||
Other (Charges) Gains, Net [Line Items] | ||||
Restructuring | [1] | 4 | 2 | |
Asset impairments | [1] | $ 83 | $ 0 | |
[1] | Included in Other (charges) gains, net in the consolidated statements of operations ( Note 18 ). |
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, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
US | $ 252 | $ 480 | $ 262 |
International | 736 | 1,030 | 813 |
Earnings (loss) from continuing operations before tax | $ 988 | $ 1,510 | $ 1,075 |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax Provision (Benefit)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current | |||
US | $ (8) | $ (184) | $ 201 |
International | 149 | 143 | 158 |
Total | 141 | (41) | 359 |
Deferred | |||
US | 1 | 314 | (110) |
International | (18) | 19 | (36) |
Total | (17) | 333 | (146) |
Income tax provision (benefit) | $ 124 | $ 292 | $ 213 |
Income Taxes Income Taxes (Sche
Income Taxes Income Taxes (Schedule of Effective Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Income tax provision computed at US federal statutory tax rate | $ 208 | $ 317 | $ 376 |
Change in valuation allowance | (47) | 94 | 218 |
Equity income and dividends | (38) | (48) | (87) |
(Income) expense not resulting in tax impact, net | (9) | (51) | (157) |
US tax effect of foreign earnings and dividends | 85 | 25 | 521 |
Foreign tax credits | (76) | (20) | (759) |
Other foreign tax rate differentials | 4 | 17 | (38) |
Legislative changes | (3) | (59) | 116 |
State income taxes, net of federal benefit | 6 | 4 | 12 |
Other, net | (6) | 13 | 11 |
Income tax provision (benefit) | $ 124 | $ 292 | $ 213 |
Effective income tax rate | 13.00% | 19.00% | 20.00% |
Income Taxes (Income Tax Provis
Income Taxes (Income Tax Provision Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Tax Credit Carryforward [Line Items] | |||
Plant Office Closures | $ 4 | $ (13) | $ 52 |
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 25 | 1 | 6 |
Asset impairments | (83) | 0 | 0 |
Tax Credit Carryforward, Amount | 240 | ||
Tax Credit Carryforward, Valuation Allowance | $ 207 | ||
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 | 13.00% | 19.00% | 20.00% |
Foreign Tax Authority | |||
Tax Credit Carryforward [Line Items] | |||
Tax Credit Carryforward, Valuation Allowance | $ 164 | ||
Acetyl Intermediates [Member] | |||
Tax Credit Carryforward [Line Items] | |||
Plant Office Closures | $ 52 |
Income Taxes (Schedule of Conso
Income Taxes (Schedule of Consolidated Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | |
Deferred Tax Assets | |||
Pension and postretirement obligations | $ 140 | $ 138 | |
Accrued expenses | 57 | 61 | |
Inventory | 11 | 13 | |
Net operating loss carryforwards | 506 | 616 | |
Tax credit carryforwards | 273 | 330 | |
Other | 227 | 195 | |
Subtotal | 1,214 | 1,353 | |
Valuation allowance | [1] | (714) | (899) |
Total | 500 | 454 | |
Deferred Tax Liabilities | |||
Depreciation and amortization | 411 | 375 | |
Investments in affiliates | 192 | 203 | |
Other | 58 | 47 | |
Total | 661 | 625 | |
Net deferred tax assets (liabilities) | $ (161) | $ (171) | |
[1] | Includes deferred tax asset valuation allowances for the Company's deferred tax assets in the US, Luxembourg, Spain, China, the United Kingdom, Mexico, Canada and France |
Income Taxes (Net Operating Los
Income Taxes (Net Operating Loss Carryforwards and Tax Credit Carryforwards Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2017 | |
Operating Loss Carryforwards [Line Items] | ||
Tax Credit Carryforward, Amount | $ 243 | |
Tax Credit Carryforward, Valuation Allowance | 207 | |
Alternative Minimum Tax Credit Carryforwards, Before Tax | $ 18 | |
Tax Credit Carryforward, Expiration Date | Dec. 31, 2027 | |
US Federal [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 31 | |
State [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | 35 | |
Valuation allowance offset for State net operating loss carryforwards due to uncertain recoverability | 28 | |
Foreign Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | 1,800 | |
Tax Credit Carryforward, Valuation Allowance | $ 164 | |
CHINA | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 167 | |
Minimum [Member] | US Federal [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforward expiration | Dec. 31, 2022 | |
Minimum [Member] | CHINA | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforward expiration | Dec. 31, 2020 | |
Maximum [Member] | CHINA | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforward expiration | Dec. 31, 2024 | |
Research Tax Credit Carryforward [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Tax Credit Carryforward, Amount | $ 8 | |
Tax Credit Carryforward, Expiration Date | Dec. 31, 2037 |
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, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Activity Related To Uncertain Tax Positions [Roll Forward] | |||||||
As of the beginning of the year | $ 162 | $ 119 | $ 114 | ||||
Increases in tax positions for the current year | 1 | 61 | 14 | ||||
Increases in tax positions for prior years(1) | [1] | 37 | 4 | 4 | |||
Decreases in tax positions for prior years | (41) | (21) | (7) | ||||
Decreases due to settlements | (25) | (1) | (6) | ||||
As of the end of the year | 134 | 162 | 119 | ||||
Total uncertain tax positions that if recognized would impact the effective tax rate | $ 132 | $ 154 | $ 100 | ||||
Total amount of interest expense (benefit) and penalties recognized in the consolidated statements of operations(2) | [2] | 5 | 1 | 6 | |||
Total amount of interest expense and penalties recognized in the consolidated balance sheets | 45 | 38 | 38 | ||||
Uncertain tax positions | 162 | $ 119 | $ 119 | 134 | $ 162 | $ 119 | |
Nilit [Member] | |||||||
Activity Related To Uncertain Tax Positions [Roll Forward] | |||||||
As of the end of the year | 4 | ||||||
Uncertain tax positions | $ 4 | $ 4 | |||||
[1] | Includes the impact on uncertain tax positions for the year ended December 31, 2019 due to the closure of federal income tax audits for the years 2009 through 2012 and uncertain tax positions related to the Nilit acquisition of $4 million | ||||||
[2] | This amount reflects interest on uncertain tax positions and release of certain tax positions as a result of an audit closure that was reflected in the consolidated statements of operations. |
Management Compensation Plans_2
Management Compensation Plans (Schedule of Total Shares Available for and Subject to Awards) (Details) | Dec. 31, 2019shares |
Global Incentive Plan 2018 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Available for Awards | 6,244,945 |
Shares Subject to Outstanding Awards | 473,903 |
Global Incentive Plan 2009 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Available for Awards | 0 |
Shares Subject to Outstanding Awards | 959,696 |
Management Compensation Plans_3
Management Compensation Plans (Schedule of Realized Income Tax Benefits from Stock Option Exercises and RSU Vestings) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Payment Arrangement [Abstract] | |||
Share-based Payment Arrangement, Exercise of Option, Tax Benefit | $ 6 | $ 7 | $ 9 |
Management Compensation Plans_4
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, 2019$ / sharesshares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
As of beginning of period, number of units | shares | 812 | |
Vested, number of units | shares | (663) | |
Forfeited, number of units | shares | (88) | |
As of end of period, number of units | shares | 650 | |
As of beginning of period, weighted average fair value | $ / shares | $ 75.25 | |
Vested, weighted average fair value | $ / shares | 56.14 | |
Forfeited, weighted average fair value | $ / shares | 90.70 | |
As of end of period, weighted average fair value | $ / shares | $ 89.86 | |
2015 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of units | shares | 259 | |
Granted, weighted average fair value | $ / shares | $ 92.61 | |
2013 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of units | shares | 330 | [1] |
Granted, weighted average fair value | $ / shares | $ 56.14 | [1] |
[1] | Represents additional 2016 performance-based RSU grants that were awarded in 2019 as a result of achieving internal profitability targets. |
Management Compensation Plans_5
Management Compensation Plans (Schedule of Fair Value of Shares Vested for Performance-based RSUs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total | $ 66 | $ 8 | $ 42 |
Management Compensation Plans_6
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, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
As of beginning of period, number of units | shares | 386 |
Granted, number of units | shares | 228 |
Vested, number of units | shares | (188) |
Forfeited, number of units | shares | (25) |
As of end of period, number of units | shares | 401 |
As of beginning of period, weighted average fair value | $ / shares | $ 86.69 |
Granted, weighted average fair value | $ / shares | 96.22 |
Vested, weighted average fair value | $ / shares | 80.95 |
Forfeited, weighted average fair value | $ / shares | 90.42 |
As of end of period, weighted average fair value | $ / shares | $ 94.56 |
Management Compensation Plans_7
Management Compensation Plans (Schedule of Fair Value of Shares Vested for Time-based RSUs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Time Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total | $ 20 | $ 21 | $ 12 |
Management Compensation Plans_8
Management Compensation Plans (Schedule of Weighted Average Grant Date Fair Values of Stock Options) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
RSUs [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of RSUs granted | $ 46 | $ 48 | $ 59 |
Management Compensation Plans_9
Management Compensation Plans (Restricted Stock Units Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Performance Restricted and Time Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized compensation expense | $ 42 |
Weighted average term to recognize compensation expense | 2 years |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
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 |
Management Compensation Plans M
Management Compensation Plans Management Compensation Plans (Weighted average grant date fair value of RSUs granted) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
RSUs [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of RSUs granted | $ 46 | $ 48 | $ 59 |
Leases Lease costs (Details)
Leases Lease costs (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease cost | $ 39 |
Short-term lease cost | 23 |
Variable lease cost | 8 |
Amortization of leased assets | 19 |
Interest on lease liabilities | 18 |
Total net lease cost | $ 107 |
Leases Supplemental balance she
Leases Supplemental balance sheet information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 203 | $ 0 |
Finance Lease, Right-of-Use Asset | 83 | |
Lease, Right-of-Use Asset | 286 | |
Operating lease, liability, current | 29 | 0 |
Finance Lease, Liability, Current | 26 | |
Operating Lease, Liability, Noncurrent | 181 | $ 0 |
Finance Lease, Liability, Noncurrent | 118 | |
Lease Liability | $ 354 |
Leases Supplemental lease infor
Leases Supplemental lease information (Details) | Dec. 31, 2019 |
Leases [Abstract] | |
Weighted-average remaining operating leases term | 15 years |
Weighted-average remaining finance leases term | 6 years 10 months 24 days |
Weighted-average operating leases discount rate | 2.70% |
Weighted-average finance leases discount rate | 11.50% |
Leases Supplemental cash flow i
Leases Supplemental cash flow information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ 36 |
Operating cash flows from finance leases | 19 |
Financing cash flows from finance leases | 23 |
ROU assets obtained in exchange for finance lease liabilities | 0 |
ROU assets obtained in exchange for operating lease liabilities | $ 11 |
Leases Maturities of lease liab
Leases Maturities of lease liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | ||
2020 | $ 35 | |
2021 | 27 | |
2022 | 23 | |
2023 | 21 | |
2024 | 18 | |
Later years | 132 | |
Total lease payments | 256 | |
Less amounts representing interest | (46) | |
Total lease obligations | 210 | |
Finance Lease, Liability, Payment, Due [Abstract] | ||
2020 | 42 | |
2021 | 40 | |
2022 | 31 | |
2023 | 23 | |
2024 | 18 | |
Later years | 70 | |
Total lease payments | 224 | |
Less amounts representing interest | (80) | |
Total lease obligations | $ 144 | $ 167 |
Leases Narrative (Details)
Leases Narrative (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Leases [Abstract] | |
Operating Leases, Rent Expense, Net | $ 96 |
Leases Future minimum lease pay
Leases Future minimum lease payments (Details) $ in Millions | Dec. 31, 2018USD ($) |
Leases, Operating [Abstract] | |
2019 | $ 43 |
2020 | 34 |
2021 | 25 |
2022 | 23 |
2023 | 21 |
Later years | 130 |
Minimum lease commitments | 276 |
Leases, Capital [Abstract] | |
2019 | 42 |
2020 | 42 |
2021 | 40 |
2022 | 32 |
2023 | 23 |
Later years | 88 |
Minimum lease commitments | 267 |
Less amounts representing interest | (100) |
Present value of net minimum lease obligations | $ 167 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Schedule of Interest Rate Swap Derivatives) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 400 | $ 400 |
Derivative Financial Instrume_4
Derivative Financial Instruments (Schedule of Notional Amounts of Net Foreign Exchange Exposure by Currency) (Details) - Foreign Exchange Contract [Member] $ in Millions | Dec. 31, 2019USD ($) |
Derivative [Line Items] | |
Total | $ (305) |
Brazilian Real [Member] | |
Derivative [Line Items] | |
Total | (10) |
British Pound Sterling [Member] | |
Derivative [Line Items] | |
Total | (88) |
Canadian Dollar [Member] | |
Derivative [Line Items] | |
Total | (8) |
China, Yuan Renminbi | |
Derivative [Line Items] | |
Total | (46) |
Euro [Member] | |
Derivative [Line Items] | |
Total | (170) |
Hungarian Forint [Member] | |
Derivative [Line Items] | |
Total | 13 |
Indonesia, Rupiahs | |
Derivative [Line Items] | |
Total | (11) |
Korea (South), Won | |
Derivative [Line Items] | |
Total | 16 |
Mexico, Pesos | |
Derivative [Line Items] | |
Total | (27) |
Singapore Dollar [Member] | |
Derivative [Line Items] | |
Total | 30 |
Swedish Krona [Member] | |
Derivative [Line Items] | |
Total | $ (4) |
Derivative Financial Instrume_5
Derivative Financial Instruments (Schedule of Notional Amounts of Foreign Currency Derivatives) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 692 | $ 1,071 |
Derivative Financial Instrume_6
Derivative Financial Instruments (Schedule of Interest Rate Swap Activity Recorded in the Consolidated Financial Statements) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Designated as Hedging Instrument [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | $ 2 | $ 1 | $ 4 |
Derivative Financial Instrume_7
Derivative Financial Instruments (Schedule of Changes in Fair Value of Derivatives) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | $ (38) | $ (12) | $ 0 |
Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 2 | 1 | 4 |
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) | (3) | 13 | 2 |
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | (30) | (10) | 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 |
Interest Expense [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 0 | 0 | 0 |
Foreign Currency Gain (Loss) [Member] | Foreign currency forwards and swaps | Derivatives Not Designated as Hedges [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | (3) | 13 | 2 |
Cash Flow Hedging [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | (35) | (11) | 3 |
Gain (loss) recognized in Earnings (loss) | 2 | 1 | 4 |
Cash Flow Hedging [Member] | Commodity Contract [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | (5) | (2) | 4 |
Cash Flow Hedging [Member] | Foreign currency forwards and swaps | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 1 | (1) |
Cash Flow Hedging [Member] | Cost of Sales [Member] | Commodity Contract [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 2 | 1 | 5 |
Cash Flow Hedging [Member] | Cost of Sales [Member] | Foreign currency forwards and swaps | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 0 | 0 | (1) |
Net Investment Hedging [Member] | Foreign currency forwards and swaps | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Other comprehensive income (loss) | 0 | 0 | 2 |
Amount of Ineffectiveness on Net Investment Hedges | 0 | 0 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in Earnings (loss) | 0 | 0 | 0 |
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax | 3 | 0 | 0 |
Foreign Currency Denominated Debt [Member] | Net Investment Hedging [Member] | |||
Derivative [Line Items] | |||
Gain (Loss) On Non-Derivative Used In Net Investment Hedge | 37 | 51 | (119) |
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 | $ 40 | $ 51 | $ (117) |
Derivative Financial Instrume_8
Derivative Financial Instruments (Schedule of Offsetting Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative Asset [Abstract] | ||
Gross amount recognized | $ 16 | $ 11 |
Gross amount offset in the consolidated balance sheets | 1 | 2 |
Net amount presented in the consolidated balance sheets | 15 | 9 |
Gross amount not offset in the consolidated balance sheets | 8 | 3 |
Net amount | $ 7 | $ 6 |
Derivative Financial Instrume_9
Derivative Financial Instruments (Schedule of Offsetting Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative Liability [Abstract] | ||
Gross amount recognized | $ 59 | $ 20 |
Gross amount offset in the consolidated balance sheets | 1 | 2 |
Net amount presented in the consolidated balance sheets | 58 | 18 |
Gross amount not offset in the consolidated balance sheets | 8 | 3 |
Net amount | $ 50 | $ 15 |
Derivative Financial Instrum_10
Derivative Financial Instruments Schedule of Notional Amounts of Net Investment Hedges (Details) - EUR (€) € in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Net Investment Hedging [Member] | Foreign Currency Denominated Debt [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional amount of nonderivative instruments | € 1,578 | € 1,550 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Document Period End Date | Dec. 31, 2019 | |
Derivative Asset | $ 7 | $ 6 |
Derivative liability | (50) | (15) |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 15 | 9 |
Total liabilities | (58) | (18) |
Fair Value, 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, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 15 | 9 |
Total liabilities | (58) | (18) |
Other Current Assets [Member] | Fair Value, 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 | 2 | 8 |
Other Current Assets [Member] | Fair Value, 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, 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 | 2 | 8 |
Other Noncurrent Liabilities [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | (40) | (10) |
Other Noncurrent Liabilities [Member] | Fair Value, 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] | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | 0 | 0 |
Other Noncurrent Liabilities [Member] | Fair Value, 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] | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | (40) | (10) |
Other Current Liabilities [Member] | Fair Value, 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) | (7) |
Other Current Liabilities [Member] | Fair Value, 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, 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) | (7) |
Commodity Contract [Member] | Other Current Assets [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset | 0 | 1 |
Commodity Contract [Member] | Other Current Assets [Member] | Fair Value, 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 |
Commodity Contract [Member] | Other Current Assets [Member] | Fair Value, 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 | 0 | 1 |
Commodity Contract [Member] | Other Noncurrent Liabilities [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | (3) | (1) |
Commodity Contract [Member] | Other Noncurrent Liabilities [Member] | Fair Value, 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 liability | 0 | 0 |
Commodity Contract [Member] | Other Noncurrent Liabilities [Member] | Fair Value, 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 liability | (3) | (1) |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Assets [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | 13 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Assets [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | 0 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Assets [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | 13 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Noncurrent Liabilities [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | (7) | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Noncurrent Liabilities [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | 0 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Noncurrent Liabilities [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | (7) | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forwards and swaps | (1) | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Liabilities [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | 0 | 0 |
Net Investment Hedging [Member] | Currency Swap [Member] | Other Current Liabilities [Member] | Fair Value, 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] | ||
Foreign currency forwards and swaps | (1) | 0 |
Cash Flow Hedging [Member] | Commodity Contract [Member] | Other Current Liabilities [Member] | Fair Value, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | (4) | 0 |
Cash Flow Hedging [Member] | Commodity Contract [Member] | Other Current Liabilities [Member] | Fair Value, 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 liability | 0 | 0 |
Cash Flow Hedging [Member] | Commodity Contract [Member] | Other Current Liabilities [Member] | Fair Value, 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 liability | $ (4) | $ 0 |
Fair Value Measurements (Sche_2
Fair Value Measurements (Schedule of Carrying Values and Fair Values of Financial Instruments) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Document Period End Date | Dec. 31, 2019 | |
Carrying Value | $ 170 | $ 164 |
Equity Securities, FV-NI and without Readily Determinable Fair Value | 0 | 0 |
Insurance contracts in nonqualified pension trusts, carrying amount | 35 | 37 |
Insurance contracts in nonqualified pension trusts, fair value | 35 | 37 |
Long-term debt, including current installments of long-term debt, carrying amount | 3,455 | 3,355 |
Long-term debt, including current installments of long-term debt, fair value | 3,599 | 3,372 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Equity Securities, FV-NI and without Readily Determinable Fair Value | 0 | 0 |
Insurance contracts in nonqualified pension trusts, fair value | 35 | 37 |
Long-term debt, including current installments of long-term debt, fair value | 3,456 | 3,204 |
Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Equity Securities, FV-NI and without Readily Determinable 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 | $ 143 | $ 168 |
Commitments and Contingencies_2
Commitments and Contingencies (Guarantees - Demerger and Divesture Obligations Narrative) (Details) € in Millions, $ in Millions | 242 Months Ended | |
Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | |
Indemnification Agreements Hoechst [Member] | ||
Loss Contingencies [Line Items] | ||
Number of divestiture agreements | 19 | 19 |
Indemnification floor amount | € | € 250 | |
Indemnification ceiling amount | € | € 750 | |
Indemnification percentage exceeding ceiling amount | 33.33% | 33.33% |
Loss contingency accrual, carrying value, payments | $ | $ 92 | |
Indemnification percentage, other | 33.33% | 33.33% |
Divestiture Agreements [Member] | ||
Loss Contingencies [Line Items] | ||
Guarantee obligations, maximum exposure | $ | $ 116 |
Commitments and Contingencies_3
Commitments and Contingencies (Purchase Obligations Narrative) (Details) $ in Billions | Dec. 31, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Unrecorded unconditional purchase obligations | $ 1.2 |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (European Commission Investigation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Loss Contingency, Loss in Period | $ 89 | $ 0 | $ 0 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Supplemental Cash Flow Information [Abstract] | |||
Interest paid, net of amounts capitalized | $ 118 | $ 133 | $ 130 |
Taxes paid, net of refunds | 157 | 100 | 123 |
Noncash Investing and Financing Activities | |||
Accrued treasury stock repurchases | 4 | 13 | 0 |
Accrued capital expenditures | 20 | (4) | 14 |
Asset retirement obligations | (6) | (7) | (2) |
Fair value adjustment to securities available for sale, net of tax | $ 0 | $ 0 | $ (1) |
Segment Information (Schedule o
Segment Information (Schedule of Business Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 6,297 | $ 7,155 | $ 6,140 | |
Other (charges) gains, net | (203) | 9 | (59) | |
Operating profit (loss) | 834 | 1,334 | 857 | |
Equity in net earnings (loss) of affiliates | 182 | 233 | 183 | |
Depreciation and amortization | 352 | 343 | 305 | |
Capital expenditures | [1] | 390 | 333 | 281 |
Goodwill and intangible assets, net | 1,386 | 1,367 | ||
Total assets | 9,476 | 9,313 | ||
Increase (decrease) in accrued capital expenditures | 20 | (4) | 14 | |
Acetate Tow [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 636 | 649 | ||
Acetyl Chain [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [2] | 3,275 | 3,913 | |
Engineered Materials [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,386 | 2,593 | ||
Operating Segments [Member] | Acetate Tow [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [3] | 636 | 649 | 668 |
Other (charges) gains, net | (88) | (2) | (2) | |
Operating profit (loss) | 52 | 130 | 189 | |
Equity in net earnings (loss) of affiliates | 0 | 0 | 0 | |
Depreciation and amortization | 45 | 58 | 41 | |
Capital expenditures | 43 | 29 | 39 | |
Goodwill and intangible assets, net | 153 | 153 | ||
Total assets | 977 | 1,032 | ||
Operating Segments [Member] | Acetyl Chain [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | [4] | 3,392 | 4,042 | 3,371 |
Other (charges) gains, net | (3) | 11 | (52) | |
Operating profit (loss) | 678 | 1,024 | 509 | |
Equity in net earnings (loss) of affiliates | 4 | 6 | 6 | |
Depreciation and amortization | 161 | 148 | 143 | |
Capital expenditures | 208 | 182 | 150 | |
Goodwill and intangible assets, net | 234 | 240 | ||
Total assets | 3,489 | 3,471 | ||
Operating Segments [Member] | Engineered Materials [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,386 | 2,593 | 2,213 | |
Other (charges) gains, net | 5 | 0 | (2) | |
Operating profit (loss) | 446 | 460 | 412 | |
Equity in net earnings (loss) of affiliates | 168 | 218 | 171 | |
Depreciation and amortization | 131 | 126 | 111 | |
Capital expenditures | 104 | 105 | 78 | |
Goodwill and intangible assets, net | 999 | 974 | ||
Total assets | 4,125 | 4,012 | ||
Corporate, Non-Segment [Member] | Other Activities [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | 0 | 0 | |
Other (charges) gains, net | (117) | 0 | (3) | |
Operating profit (loss) | (342) | (280) | (253) | |
Equity in net earnings (loss) of affiliates | 10 | 9 | 6 | |
Depreciation and amortization | 15 | 11 | 10 | |
Capital expenditures | 35 | 17 | 14 | |
Goodwill and intangible assets, net | 0 | 0 | ||
Total assets | 885 | 798 | ||
Intersegment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (117) | (129) | (112) | |
Other (charges) gains, net | 0 | 0 | 0 | |
Operating profit (loss) | 0 | 0 | 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] | Acetate Tow [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | 0 | 2 | |
Intersegment [Member] | Acetyl Chain [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 117 | $ 129 | $ 110 | |
[1] | Includes an increase in accrued capital expenditures of $20 million , a decrease in accrued capital expenditures of $4 million and an increase in accrued capital expenditures of $14 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. | |||
[2] | Excludes intersegment sales of $117 million and $129 million for the years ended December 31, 2019 and 2018 , respectively. | |||
[3] | Includes intersegment sales of $0 million , $0 million , $2 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. | |||
[4] | Includes intersegment sales of $117 million , $129 million and $110 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. |
Segment Information (Schedule_2
Segment Information (Schedule of Geographical Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 6,297 | $ 7,155 | $ 6,140 |
Property, plant and equipment, net | 3,713 | 3,719 | |
BELGIUM | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 259 | 261 | 295 |
Property, plant and equipment, net | 55 | 54 | |
CANADA | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 75 | 115 | 92 |
Property, plant and equipment, net | 105 | 114 | |
CHINA | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 859 | 1,070 | 833 |
Property, plant and equipment, net | 316 | 331 | |
GERMANY | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 2,132 | 2,335 | 1,776 |
Property, plant and equipment, net | 866 | 903 | |
MEXICO | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 244 | 307 | 257 |
Property, plant and equipment, net | 57 | 144 | |
SINGAPORE | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 787 | 997 | 867 |
Property, plant and equipment, net | 80 | 83 | |
UNITED STATES | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,713 | 1,769 | 1,572 |
Property, plant and equipment, net | 2,095 | 1,961 | |
Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 228 | 301 | $ 448 |
Property, plant and equipment, net | $ 139 | $ 129 |
Revenue Recognition Disaggregat
Revenue Recognition Disaggregated Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 6,297 | $ 7,155 | $ 6,140 | |
Intersegment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | (117) | (129) | (112) | |
Engineered Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 2,386 | 2,593 | ||
Acetate Tow [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 636 | 649 | ||
Acetate Tow [Member] | Intersegment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 0 | 0 | 2 | |
Acetyl Chain [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | [1] | 3,275 | 3,913 | |
Acetyl Chain [Member] | Intersegment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 117 | 129 | $ 110 | |
North America [Member] | Engineered Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 735 | 770 | ||
North America [Member] | Acetate Tow [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 125 | 133 | ||
North America [Member] | Acetyl Chain [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,079 | 1,145 | ||
Europe and Africa | Engineered Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,047 | 1,216 | ||
Europe and Africa | Acetate Tow [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 258 | 260 | ||
Europe and Africa | Acetyl Chain [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,098 | 1,236 | ||
Asia Pacific [Member] | Engineered Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 533 | 532 | ||
Asia Pacific [Member] | Acetate Tow [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 224 | 217 | ||
Asia Pacific [Member] | Acetyl Chain [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,013 | 1,411 | ||
South America [Member] | Engineered Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 71 | 75 | ||
South America [Member] | Acetate Tow [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 29 | 39 | ||
South America [Member] | Acetyl Chain [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 85 | $ 121 | ||
[1] | Excludes intersegment sales of $117 million and $129 million for the years ended December 31, 2019 and 2018 , respectively. |
Earnings (Loss) Per Share (Sche
Earnings (Loss) Per Share (Schedule of Earnings (Loss) Per Share) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Amounts attributable to Celanese Corporation | ||||
Earnings (loss) from continuing operations | $ 858 | $ 1,212 | $ 856 | |
Earnings (loss) from discontinued operations | (6) | (5) | (13) | |
Net earnings (loss) attributable to Celanese Corporation | $ 852 | $ 1,207 | $ 843 | |
Weighted average shares - basic | 123,925,697 | 134,305,269 | 137,902,667 | |
Incremental shares attributable to equity awards | [1] | 726,062 | 1,111,589 | 414,728 |
Weighted average shares - diluted | 124,651,759 | 135,416,858 | 138,317,395 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 45 | 0 | 29 | |
[1] | Excludes 45 , 0 and 29 equity award shares for the years ended December 31, 2019 , 2018 and 2017 , respectively, as their effect would have been antidilutive. |
Consolidating Guarantor Finan_3
Consolidating Guarantor Financial Information (Schedule of Consolidating Statements of Operations) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | $ 6,297 | $ 7,155 | $ 6,140 |
Cost of sales | (4,691) | (5,183) | (4,629) |
Gross profit | 1,606 | 1,972 | 1,511 |
Selling, general and administrative expenses | (483) | (546) | (496) |
Amortization of intangible assets | (24) | (24) | (20) |
Research and development expenses | (67) | (72) | (73) |
Other (charges) gains, net | (203) | 9 | (59) |
Foreign exchange gain (loss), net | 7 | 0 | (1) |
Gain (loss) on disposition of businesses and assets, net | (2) | (5) | (5) |
Operating profit (loss) | 834 | 1,334 | 857 |
Equity in net earnings (loss) of affiliates | 182 | 233 | 183 |
Non-operating pension and other postretirement employee benefit (expense) income | (20) | (62) | 44 |
Interest expense | (115) | (125) | (122) |
Refinancing expense | (4) | (1) | 0 |
Interest income | 6 | 6 | 2 |
Dividend income - equity investments | 113 | 117 | 108 |
Other income (expense), net | (8) | 8 | 3 |
Earnings (loss) from continuing operations before tax | 988 | 1,510 | 1,075 |
Income tax (provision) benefit | (124) | (292) | (213) |
Earnings (loss) from continuing operations | 864 | 1,218 | 862 |
Earnings (loss) from operation of discontinued operations | (8) | (5) | (16) |
Gain (loss) on disposition of discontinued operations | 0 | 0 | 0 |
Income tax (provision) benefit from discontinued operations | 2 | 0 | 3 |
Earnings (loss) from discontinued operations | (6) | (5) | (13) |
Net earnings (loss) | 858 | 1,213 | 849 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Net earnings (loss) attributable to Celanese Corporation | 852 | 1,207 | 843 |
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 | 881 | 1,207 | 843 |
Non-operating pension and other postretirement employee benefit (expense) income | 0 | 0 | 0 |
Interest expense | (29) | 0 | 0 |
Refinancing expense | 0 | 0 | |
Interest income | 0 | 0 | 0 |
Dividend income - equity investments | 0 | 0 | 0 |
Other income (expense), net | 0 | 0 | 0 |
Earnings (loss) from continuing operations before tax | 852 | 1,207 | 843 |
Income tax (provision) benefit | 0 | 0 | 0 |
Earnings (loss) from continuing operations | 852 | 1,207 | 843 |
Earnings (loss) from operation 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) | 852 | 1,207 | 843 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 852 | 1,207 | 843 |
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 | (3) | 0 |
Gain (loss) on disposition of businesses and assets, net | 0 | 0 | 0 |
Operating profit (loss) | 0 | (3) | 0 |
Equity in net earnings (loss) of affiliates | 856 | 1,202 | 867 |
Non-operating pension and other postretirement employee benefit (expense) income | 0 | 0 | 0 |
Interest expense | (39) | (30) | (20) |
Refinancing expense | (4) | (1) | |
Interest income | 63 | 45 | 25 |
Dividend income - equity investments | 0 | 0 | 0 |
Other income (expense), net | (7) | 5 | (3) |
Earnings (loss) from continuing operations before tax | 869 | 1,218 | 869 |
Income tax (provision) benefit | 12 | (11) | (26) |
Earnings (loss) from continuing operations | 881 | 1,207 | 843 |
Earnings (loss) from operation 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) | 881 | 1,207 | 843 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 881 | 1,207 | 843 |
Subsidiary Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 2,298 | 2,387 | 2,240 |
Cost of sales | (1,795) | (1,898) | (1,723) |
Gross profit | 503 | 489 | 517 |
Selling, general and administrative expenses | (179) | (213) | (189) |
Amortization of intangible assets | (8) | (8) | (4) |
Research and development expenses | (27) | (30) | (32) |
Other (charges) gains, net | (8) | 0 | (6) |
Foreign exchange gain (loss), net | 0 | 0 | 0 |
Gain (loss) on disposition of businesses and assets, net | (9) | (10) | (8) |
Operating profit (loss) | 272 | 228 | 278 |
Equity in net earnings (loss) of affiliates | 551 | 1,033 | 591 |
Non-operating pension and other postretirement employee benefit (expense) income | 13 | (28) | 60 |
Interest expense | (127) | (118) | (104) |
Refinancing expense | 0 | 0 | |
Interest income | 49 | 7 | 4 |
Dividend income - equity investments | 0 | 0 | 0 |
Other income (expense), net | 1 | 1 | 2 |
Earnings (loss) from continuing operations before tax | 759 | 1,123 | 831 |
Income tax (provision) benefit | 23 | (106) | (62) |
Earnings (loss) from continuing operations | 782 | 1,017 | 769 |
Earnings (loss) from operation of discontinued operations | (8) | 3 | (2) |
Income tax (provision) benefit from discontinued operations | 2 | (1) | 1 |
Earnings (loss) from discontinued operations | (6) | 2 | (1) |
Net earnings (loss) | 776 | 1,019 | 768 |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | 776 | 1,019 | 768 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | 5,137 | 5,954 | 5,013 |
Cost of sales | (4,036) | (4,471) | (4,014) |
Gross profit | 1,101 | 1,483 | 999 |
Selling, general and administrative expenses | (304) | (333) | (307) |
Amortization of intangible assets | (16) | (16) | (16) |
Research and development expenses | (40) | (42) | (41) |
Other (charges) gains, net | (195) | 9 | (53) |
Foreign exchange gain (loss), net | 7 | 3 | (1) |
Gain (loss) on disposition of businesses and assets, net | 7 | 5 | 3 |
Operating profit (loss) | 560 | 1,109 | 584 |
Equity in net earnings (loss) of affiliates | 165 | 220 | 166 |
Non-operating pension and other postretirement employee benefit (expense) income | (33) | (34) | (16) |
Interest expense | (37) | (33) | (30) |
Refinancing expense | 0 | 0 | |
Interest income | 11 | 10 | 5 |
Dividend income - equity investments | 113 | 113 | 111 |
Other income (expense), net | (2) | 3 | 4 |
Earnings (loss) from continuing operations before tax | 777 | 1,388 | 824 |
Income tax (provision) benefit | (158) | (176) | (125) |
Earnings (loss) from continuing operations | 619 | 1,212 | 699 |
Earnings (loss) from operation of discontinued operations | 0 | (8) | (14) |
Income tax (provision) benefit from discontinued operations | 0 | 1 | 2 |
Earnings (loss) from discontinued operations | 0 | (7) | (12) |
Net earnings (loss) | 619 | 1,205 | 687 |
Net (earnings) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Net earnings (loss) attributable to Celanese Corporation | 613 | 1,199 | 681 |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net sales | (1,138) | (1,186) | (1,113) |
Cost of sales | 1,140 | 1,186 | 1,108 |
Gross profit | 2 | 0 | (5) |
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) | 2 | 0 | (5) |
Equity in net earnings (loss) of affiliates | (2,271) | (3,429) | (2,284) |
Non-operating pension and other postretirement employee benefit (expense) income | 0 | 0 | 0 |
Interest expense | 117 | 56 | 32 |
Refinancing expense | 0 | 0 | |
Interest income | (117) | (56) | (32) |
Dividend income - equity investments | 0 | 4 | (3) |
Other income (expense), net | 0 | (1) | 0 |
Earnings (loss) from continuing operations before tax | (2,269) | (3,426) | (2,292) |
Income tax (provision) benefit | (1) | 1 | 0 |
Earnings (loss) from continuing operations | (2,270) | (3,425) | (2,292) |
Earnings (loss) from operation 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) | (2,270) | (3,425) | (2,292) |
Net (earnings) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Celanese Corporation | $ (2,270) | $ (3,425) | $ (2,292) |
Consolidating Guarantor Finan_4
Consolidating Guarantor Financial Information (Schedule of Consolidating Statements of Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | $ 858 | $ 1,213 | $ 849 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 0 | 0 | (1) |
Foreign currency translation | (16) | (60) | 174 |
Gain (loss) on cash flow hedges | (30) | (10) | (1) |
Pension and postretirement benefits | (7) | 0 | 9 |
Total other comprehensive income (loss), net of tax | (53) | (70) | 181 |
Total comprehensive income (loss), net of tax | 805 | 1,143 | 1,030 |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Comprehensive income (loss) attributable to Celanese Corporation | 799 | 1,137 | 1,024 |
Parent Guarantor [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 852 | 1,207 | 843 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 0 | (1) | |
Foreign currency translation | (16) | (60) | 174 |
Gain (loss) on cash flow hedges | (30) | (10) | (1) |
Pension and postretirement benefits | (7) | 9 | |
Total other comprehensive income (loss), net of tax | (53) | (70) | 181 |
Total comprehensive income (loss), net of tax | 799 | 1,137 | 1,024 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 799 | 1,137 | 1,024 |
Issuer [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 881 | 1,207 | 843 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 0 | (1) | |
Foreign currency translation | (16) | (60) | 174 |
Gain (loss) on cash flow hedges | (30) | (10) | (1) |
Pension and postretirement benefits | (7) | 9 | |
Total other comprehensive income (loss), net of tax | (53) | (70) | 181 |
Total comprehensive income (loss), net of tax | 828 | 1,137 | 1,024 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 828 | 1,137 | 1,024 |
Subsidiary Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 776 | 1,019 | 768 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 6 | (1) | |
Foreign currency translation | (39) | (90) | 226 |
Gain (loss) on cash flow hedges | (6) | (2) | (1) |
Pension and postretirement benefits | (6) | 7 | |
Total other comprehensive income (loss), net of tax | (51) | (86) | 231 |
Total comprehensive income (loss), net of tax | 725 | 933 | 999 |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | 725 | 933 | 999 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | 619 | 1,205 | 687 |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | 13 | (1) | |
Foreign currency translation | (48) | (109) | 268 |
Gain (loss) on cash flow hedges | (4) | (1) | (1) |
Pension and postretirement benefits | (7) | 10 | |
Total other comprehensive income (loss), net of tax | (59) | (97) | 276 |
Total comprehensive income (loss), net of tax | 560 | 1,108 | 963 |
Comprehensive (income) loss attributable to noncontrolling interests | (6) | (6) | (6) |
Comprehensive income (loss) attributable to Celanese Corporation | 554 | 1,102 | 957 |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net earnings (loss) | (2,270) | (3,425) | (2,292) |
Other comprehensive income (loss), net of tax | |||
Unrealized gain (loss) on marketable securities | (19) | 3 | |
Foreign currency translation | 103 | 259 | (668) |
Gain (loss) on cash flow hedges | 40 | 13 | 3 |
Pension and postretirement benefits | 20 | (26) | |
Total other comprehensive income (loss), net of tax | 163 | 253 | (688) |
Total comprehensive income (loss), net of tax | (2,107) | (3,172) | (2,980) |
Comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Celanese Corporation | $ (2,107) | $ (3,172) | $ (2,980) |
Consolidating Guarantor Finan_5
Consolidating Guarantor Financial Information (Schedule of Consolidating Balance Sheets) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current Assets | |||||
Cash and cash equivalents | $ 463 | $ 439 | $ 576 | $ 638 | |
Trade receivables - third party and affiliates | 850 | 1,017 | |||
Non-trade receivables, net | 331 | 301 | |||
Inventories, net | 1,038 | 1,046 | |||
Marketable securities | 40 | 31 | |||
Other assets | 43 | 40 | |||
Total current assets | 2,765 | 2,874 | |||
Investments in affiliates | 975 | 979 | |||
Property, plant and equipment, net | 3,713 | 3,719 | |||
Operating lease right-of-use assets | 203 | 0 | |||
Deferred income taxes | 96 | 84 | |||
Other assets | 338 | 290 | |||
Goodwill | 1,074 | [1] | 1,057 | 1,003 | |
Intangible assets, net | 312 | 310 | |||
Total assets | 9,476 | 9,313 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 496 | 561 | |||
Trade payables - third party and affiliates | 780 | 819 | |||
Other liabilities | 461 | 343 | |||
Income taxes payable | 17 | 56 | |||
Total current liabilities | 1,754 | 1,779 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 3,409 | 2,970 | |||
Deferred income taxes | 257 | 255 | |||
Uncertain tax positions | 165 | 158 | |||
Benefit obligations | 589 | 564 | |||
Operating Lease, Liability, Noncurrent | 181 | 0 | |||
Other liabilities | 223 | 208 | |||
Total noncurrent liabilities | 4,824 | 4,155 | |||
Total Celanese Corporation stockholders' equity | 2,507 | 2,984 | 2,887 | ||
Noncontrolling interests | 391 | 395 | |||
Total equity | 2,898 | 3,379 | 3,299 | ||
Total liabilities and equity | 9,476 | 9,313 | |||
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 | 56 | 40 | |||
Inventories, net | 0 | 0 | |||
Marketable securities | 0 | 0 | |||
Other assets | 0 | 0 | |||
Total current assets | 56 | 40 | |||
Investments in affiliates | 4,064 | 3,503 | |||
Property, plant and equipment, net | 0 | 0 | |||
Operating lease right-of-use assets | 0 | ||||
Deferred income taxes | 0 | 0 | |||
Other assets | 0 | 0 | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | 4,120 | 3,543 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 1,596 | 544 | |||
Trade payables - third party and affiliates | 17 | 13 | |||
Other liabilities | 0 | 1 | |||
Income taxes payable | 0 | 0 | |||
Total current liabilities | 1,613 | 558 | |||
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 | |||
Operating Lease, Liability, Noncurrent | 0 | ||||
Other liabilities | 0 | 1 | |||
Total noncurrent liabilities | 0 | 1 | |||
Total Celanese Corporation stockholders' equity | 2,507 | 2,984 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 2,507 | 2,984 | |||
Total liabilities and equity | 4,120 | 3,543 | |||
Issuer [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | |
Trade receivables - third party and affiliates | 0 | 0 | |||
Non-trade receivables, net | 1,188 | 551 | |||
Inventories, net | 0 | 0 | |||
Marketable securities | 0 | 0 | |||
Other assets | 36 | 24 | |||
Total current assets | 1,224 | 575 | |||
Investments in affiliates | 5,217 | 4,820 | |||
Property, plant and equipment, net | 0 | 0 | |||
Operating lease right-of-use assets | 0 | ||||
Deferred income taxes | 0 | 0 | |||
Other assets | 1,661 | 1,658 | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | 8,102 | 7,053 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 374 | 333 | |||
Trade payables - third party and affiliates | 0 | 1 | |||
Other liabilities | 49 | 87 | |||
Income taxes payable | 0 | 0 | |||
Total current liabilities | 423 | 421 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 3,565 | 3,104 | |||
Deferred income taxes | 3 | 15 | |||
Uncertain tax positions | 0 | 0 | |||
Benefit obligations | 0 | 0 | |||
Operating Lease, Liability, Noncurrent | 0 | ||||
Other liabilities | 47 | 10 | |||
Total noncurrent liabilities | 3,615 | 3,129 | |||
Total Celanese Corporation stockholders' equity | 4,064 | 3,503 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 4,064 | 3,503 | |||
Total liabilities and equity | 8,102 | 7,053 | |||
Subsidiary Guarantors [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 16 | 30 | 230 | 51 | |
Trade receivables - third party and affiliates | 122 | 96 | |||
Non-trade receivables, net | 1,925 | 797 | |||
Inventories, net | 360 | 329 | |||
Marketable securities | 24 | 31 | |||
Other assets | 11 | 10 | |||
Total current assets | 2,458 | 1,293 | |||
Investments in affiliates | 4,206 | 4,678 | |||
Property, plant and equipment, net | 1,461 | 1,289 | |||
Operating lease right-of-use assets | 50 | ||||
Deferred income taxes | 0 | 0 | |||
Other assets | 195 | 142 | |||
Goodwill | 399 | 399 | |||
Intangible assets, net | 125 | 132 | |||
Total assets | 8,894 | 7,933 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 1,089 | 465 | |||
Trade payables - third party and affiliates | 333 | 342 | |||
Other liabilities | 188 | 267 | |||
Income taxes payable | 439 | 475 | |||
Total current liabilities | 2,049 | 1,549 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 1,677 | 1,679 | |||
Deferred income taxes | 101 | 85 | |||
Uncertain tax positions | 0 | 6 | |||
Benefit obligations | 257 | 250 | |||
Operating Lease, Liability, Noncurrent | 40 | ||||
Other liabilities | 93 | 99 | |||
Total noncurrent liabilities | 2,168 | 2,119 | |||
Total Celanese Corporation stockholders' equity | 4,677 | 4,265 | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | 4,677 | 4,265 | |||
Total liabilities and equity | 8,894 | 7,933 | |||
Non-Guarantors [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 447 | 409 | 346 | 587 | |
Trade receivables - third party and affiliates | 851 | 1,040 | |||
Non-trade receivables, net | 743 | 697 | |||
Inventories, net | 725 | 765 | |||
Marketable securities | 16 | 0 | |||
Other assets | 38 | 37 | |||
Total current assets | 2,820 | 2,948 | |||
Investments in affiliates | 841 | 855 | |||
Property, plant and equipment, net | 2,252 | 2,430 | |||
Operating lease right-of-use assets | 153 | ||||
Deferred income taxes | 101 | 86 | |||
Other assets | 445 | 461 | |||
Goodwill | 675 | 658 | |||
Intangible assets, net | 187 | 178 | |||
Total assets | 7,474 | 7,616 | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | 385 | 258 | |||
Trade payables - third party and affiliates | 553 | 583 | |||
Other liabilities | 397 | 258 | |||
Income taxes payable | 80 | 88 | |||
Total current liabilities | 1,415 | 1,187 | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | 101 | 127 | |||
Deferred income taxes | 158 | 157 | |||
Uncertain tax positions | 169 | 152 | |||
Benefit obligations | 332 | 314 | |||
Operating Lease, Liability, Noncurrent | 140 | ||||
Other liabilities | 118 | 138 | |||
Total noncurrent liabilities | 1,018 | 888 | |||
Total Celanese Corporation stockholders' equity | 4,650 | 5,146 | |||
Noncontrolling interests | 391 | 395 | |||
Total equity | 5,041 | 5,541 | |||
Total liabilities and equity | 7,474 | 7,616 | |||
Consolidation Eliminations [Member] | |||||
Current Assets | |||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 | |
Trade receivables - third party and affiliates | (123) | (119) | |||
Non-trade receivables, net | (3,581) | (1,784) | |||
Inventories, net | (47) | (48) | |||
Marketable securities | 0 | 0 | |||
Other assets | (42) | (31) | |||
Total current assets | (3,793) | (1,982) | |||
Investments in affiliates | (13,353) | (12,877) | |||
Property, plant and equipment, net | 0 | 0 | |||
Operating lease right-of-use assets | 0 | ||||
Deferred income taxes | (5) | (2) | |||
Other assets | (1,963) | (1,971) | |||
Goodwill | 0 | 0 | |||
Intangible assets, net | 0 | 0 | |||
Total assets | (19,114) | (16,832) | |||
Current Liabilities | |||||
Short-term borrowings and current installments of long-term debt - third party and affiliates | (2,948) | (1,039) | |||
Trade payables - third party and affiliates | (123) | (120) | |||
Other liabilities | (173) | (270) | |||
Income taxes payable | (502) | (507) | |||
Total current liabilities | (3,746) | (1,936) | |||
Noncurrent Liabilities | |||||
Long-term debt, net of unamortized deferred financing costs | (1,934) | (1,940) | |||
Deferred income taxes | (5) | (2) | |||
Uncertain tax positions | (4) | 0 | |||
Benefit obligations | 0 | 0 | |||
Operating Lease, Liability, Noncurrent | 1 | ||||
Other liabilities | (35) | (40) | |||
Total noncurrent liabilities | (1,977) | (1,982) | |||
Total Celanese Corporation stockholders' equity | (13,391) | (12,914) | |||
Noncontrolling interests | 0 | 0 | |||
Total equity | (13,391) | (12,914) | |||
Total liabilities and equity | $ (19,114) | $ (16,832) | |||
[1] | There were $0 million of accumulated impairment losses as of December 31, 2019 . |
Consolidating Guarantor Finan_6
Consolidating Guarantor Financial Information (Schedule of Consolidating Cash Flow Statements) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | $ 1,454 | $ 1,558 | $ 803 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (370) | (337) | (267) |
Acquisitions, net of cash acquired | (91) | (144) | (269) |
Proceeds from sale of businesses and assets, net | 1 | 13 | 1 |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | 0 | 0 | |
Intercompany loan receipts (disbursements) | 0 | 0 | 0 |
Purchases of marketable securities | (16) | 0 | 0 |
Other, net | (17) | (39) | (14) |
Net cash provided by (used in) investing activities | (493) | (507) | (549) |
Financing Activities | |||
Short-term borrowings (repayments), net | 247 | (38) | 111 |
Proceeds from short-term borrowings | 117 | 51 | 182 |
Repayments of short-term borrowings | (91) | (78) | (124) |
Proceeds from long-term debt | 499 | 561 | 351 |
Repayments of long-term debt | (360) | (536) | (77) |
Purchases of treasury stock, including related fees | (996) | (805) | (500) |
Dividends to parent | 0 | 0 | 0 |
Contributions from parent | 0 | 0 | |
Stock option exercises | (1) | 0 | 1 |
Common stock dividends | (300) | (280) | (241) |
Return of capital to parent | 0 | 0 | 0 |
(Distributions to) contributions from noncontrolling interests | (10) | (23) | (27) |
Other, net | (40) | (17) | (27) |
Net cash provided by (used in) financing activities | (935) | (1,165) | (351) |
Exchange rate effects on cash and cash equivalents | (2) | (23) | 35 |
Net increase (decrease) in cash and cash equivalents | 24 | (137) | (62) |
Cash and cash equivalents as of beginning of period | 439 | 576 | 638 |
Cash and cash equivalents as of end of period | 463 | 439 | 576 |
Parent Guarantor [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 1,297 | 1,085 | 740 |
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 |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | 0 | 0 | |
Intercompany loan receipts (disbursements) | 0 | 0 | 0 |
Purchases of marketable securities | 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 | (996) | (805) | (500) |
Dividends to parent | 0 | 0 | 0 |
Contributions from parent | 0 | 0 | |
Stock option exercises | (1) | 1 | |
Common stock dividends | (300) | (280) | (241) |
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 | (1,297) | (1,085) | (740) |
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 | (42) | 560 | 868 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | 0 | 0 | 0 |
Acquisitions, net of cash acquired | 0 | 0 | (11) |
Proceeds from sale of businesses and assets, net | 0 | 0 | 0 |
Return of capital from subsidiary | 0 | 0 | 16 |
Contributions to subsidiary | 0 | 0 | |
Intercompany loan receipts (disbursements) | 0 | (427) | (530) |
Purchases of marketable securities | 0 | ||
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 0 | (427) | (525) |
Financing Activities | |||
Short-term borrowings (repayments), net | 160 | 61 | 56 |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 499 | 846 | 351 |
Repayments of long-term debt | (335) | (494) | (6) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 272 | 541 | 741 |
Contributions from parent | 0 | 0 | |
Stock option exercises | 0 | 0 | |
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 | (10) | (5) | (3) |
Net cash provided by (used in) financing activities | 42 | (133) | (343) |
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 | 1,044 | 259 | 425 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (246) | (225) | (176) |
Acquisitions, net of cash acquired | (31) | (144) | (12) |
Proceeds from sale of businesses and assets, net | 9 | 0 | 9 |
Return of capital from subsidiary | 10 | 233 | 241 |
Contributions to subsidiary | (222) | (25) | |
Intercompany loan receipts (disbursements) | (536) | (66) | (25) |
Purchases of marketable securities | 0 | ||
Other, net | 0 | (8) | (2) |
Net cash provided by (used in) investing activities | (1,016) | (235) | 35 |
Financing Activities | |||
Short-term borrowings (repayments), net | 17 | 18 | 15 |
Proceeds from short-term borrowings | 0 | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 0 | 427 | 530 |
Repayments of long-term debt | (1) | (26) | (2) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 251 | 633 | 802 |
Contributions from parent | 218 | 0 | |
Stock option exercises | 0 | 0 | |
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 | (25) | (10) | (22) |
Net cash provided by (used in) financing activities | (42) | (224) | (281) |
Exchange rate effects on cash and cash equivalents | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | (14) | (200) | 179 |
Cash and cash equivalents as of beginning of period | 30 | 230 | 51 |
Cash and cash equivalents as of end of period | 16 | 30 | 230 |
Non-Guarantors [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 716 | 833 | 593 |
Investing Activities | |||
Capital expenditures on property, plant and equipment | (124) | (112) | (91) |
Acquisitions, net of cash acquired | (60) | 0 | (274) |
Proceeds from sale of businesses and assets, net | 0 | 13 | 20 |
Return of capital from subsidiary | 0 | 0 | 0 |
Contributions to subsidiary | (218) | 0 | |
Intercompany loan receipts (disbursements) | 0 | (285) | 0 |
Purchases of marketable securities | (16) | ||
Other, net | (25) | (31) | (12) |
Net cash provided by (used in) investing activities | (443) | (415) | (357) |
Financing Activities | |||
Short-term borrowings (repayments), net | (4) | (51) | 51 |
Proceeds from short-term borrowings | 727 | 51 | 182 |
Repayments of short-term borrowings | (91) | (78) | (124) |
Proceeds from long-term debt | 0 | 0 | 14 |
Repayments of long-term debt | (24) | (16) | (69) |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | 1,038 | 5 | 280 |
Contributions from parent | 222 | 25 | |
Stock option exercises | 0 | 0 | |
Common stock dividends | 0 | 0 | 0 |
Return of capital to parent | (10) | (233) | (257) |
(Distributions to) contributions from noncontrolling interests | (10) | (23) | (27) |
Other, net | (5) | (2) | (2) |
Net cash provided by (used in) financing activities | (233) | (332) | (512) |
Exchange rate effects on cash and cash equivalents | (2) | (23) | 35 |
Net increase (decrease) in cash and cash equivalents | 38 | 63 | (241) |
Cash and cash equivalents as of beginning of period | 409 | 346 | 587 |
Cash and cash equivalents as of end of period | 447 | 409 | 346 |
Consolidation Eliminations [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | (1,561) | (1,179) | (1,823) |
Investing Activities | |||
Capital expenditures on property, plant and equipment | 0 | 0 | 0 |
Acquisitions, net of cash acquired | 0 | 0 | 28 |
Proceeds from sale of businesses and assets, net | (8) | 0 | (28) |
Return of capital from subsidiary | (10) | (233) | (257) |
Contributions to subsidiary | 440 | 25 | |
Intercompany loan receipts (disbursements) | 536 | 778 | 555 |
Purchases of marketable securities | 0 | ||
Other, net | 8 | 0 | 0 |
Net cash provided by (used in) investing activities | 966 | 570 | 298 |
Financing Activities | |||
Short-term borrowings (repayments), net | 74 | (66) | (11) |
Proceeds from short-term borrowings | (610) | 0 | 0 |
Repayments of short-term borrowings | 0 | 0 | 0 |
Proceeds from long-term debt | 0 | (712) | (544) |
Repayments of long-term debt | 0 | 0 | 0 |
Purchases of treasury stock, including related fees | 0 | 0 | 0 |
Dividends to parent | (1,561) | (1,179) | (1,823) |
Contributions from parent | (440) | (25) | |
Stock option exercises | 0 | 0 | |
Common stock dividends | 0 | 0 | 0 |
Return of capital to parent | 10 | 233 | 257 |
(Distributions to) contributions from noncontrolling interests | 0 | 0 | 0 |
Other, net | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | 595 | 609 | 1,525 |
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 Finan_7
Consolidating Guarantor Financial Information (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Consolidating Guarantor Financial Information [Abstract] | |
Issuer and subsidiary guarantors, ownership percentage | 100.00% |
Subsequent Events (Details)
Subsequent Events (Details) $ in Millions | Jan. 07, 2019USD ($) |
Senior Unsecured Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | |
Subsequent Event [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,250 |