Kraton (KRA) 10-Q 29 Apr 21 2021 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Mar. 31, 2021	Apr. 26, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2021
Document Transition Report	false
Entity File Number	001-34581
Entity Registrant Name	Kraton Corp
Entity Central Index Key	0001321646
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-0411521
Entity Address, Address Line One	15710 John F. Kennedy Blvd.
Entity Address, Address Line Two	Suite 300
Entity Address, City or Town	Houston,
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	77032
City Area Code	281
Local Phone Number	504-4700
Title of 12(b) Security	Common Stock, par value $0.01
Trading Symbol	KRA
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		32,144,047

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 60,781	$ 85,901
Receivables, net of allowance for doubtful accounts of $681 and $598	220,830	180,258
Inventories of products, net	340,616	318,885
Inventories of materials and supplies, net	33,885	34,164
Prepaid expenses	10,414	11,844
Other current assets	17,167	15,338
Total current assets	683,693	646,390
Property, plant, and equipment, net of accumulated depreciation of $739,987 and $732,279	928,081	942,703
Goodwill	373,828	375,061
Intangible assets, net of accumulated amortization of $339,236 and $330,070	284,144	294,734
Investment in unconsolidated joint venture	11,978	12,723
Deferred income taxes	80,783	83,534
Long-term operating lease assets, net	82,119	84,042
Other long-term assets	21,451	21,770
Total assets	2,466,077	2,460,957
Current liabilities:
Current portion of long-term debt	84,488	72,347
Accounts payable-trade	178,362	176,229
Other payables and accruals	163,653	167,364
Due to related party	16,274	17,147
Total current liabilities	442,777	433,087
Long-term debt, net of current portion	847,125	865,516
Deferred income taxes	131,469	125,559
Long-term operating lease liabilities	66,424	67,898
Deferred income	141,291	151,329
Other long-term liabilities	160,669	168,566
Total liabilities	1,789,755	1,811,955
Commitments and contingencies (Note 11)
Kraton stockholders' equity:
Preferred stock, $0.01 par value; 100,000 shares authorized; none issued	0	0
Common stock, $0.01 par value; 500,000 shares authorized; 32,144 shares issued and outstanding at March 31, 2021; 31,873 shares issued and outstanding at December 31, 2020	321	319
Additional paid in capital	404,644	401,445
Retained earnings	272,646	240,464
Accumulated other comprehensive loss	(46,640)	(37,865)
Total Kraton stockholders' equity	630,971	604,363
Noncontrolling interest	45,351	44,639
Total equity	676,322	649,002
Total liabilities and equity	$ 2,466,077	$ 2,460,957

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Receivables, allowances	$ 681	$ 598
Accumulated depreciation	739,987	732,279
Total accumulated amortization	$ 339,236	$ 330,070
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	32,144,000	31,873,000
Common stock, shares outstanding (in shares)	32,144,000	31,873,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Income Statement [Abstract]
Revenue	$ 437,271	$ 427,269
Cost of goods sold	301,238	308,069
Gross profit	136,033	119,200
Operating expenses:
Research and development	9,520	10,792
Selling, general, and administrative	41,279	49,058
Depreciation and amortization	31,557	31,173
(Gain) loss on disposal of fixed assets	304	(64)
Operating income	53,373	28,241
Other income	808	327
Disposition and exit of business activities	0	175,214
Loss on extinguishment of debt	0	(13,954)
Earnings of unconsolidated joint venture	120	101
Interest expense, net	(10,947)	(17,461)
Income before income taxes	43,354	172,468
Income tax benefit (expense)	(8,761)	36,552
Consolidated net income	34,593	209,020
Net income attributable to noncontrolling interest	(1,364)	(934)
Net income attributable to Kraton	$ 33,229	$ 208,086
Earnings per common share:
Basic (in dollars per share)	$ 1.04	$ 6.55
Diluted (in dollars per share)	$ 1.02	$ 6.47
Weighted average common shares outstanding:
Basic (in shares)	31,928	31,587
Diluted (in share)	32,458	31,949

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income attributable to Kraton	$ 33,229	$ 208,086
Other comprehensive income:
Foreign currency translation adjustments, net of tax of $0	(20,112)	(15,557)
Reclassification of foreign currency translation adjustments from disposition and exit of business activities, net of tax of $0	0
Unrealized gain on cash flow hedges, net of tax expense of $458	0	1,387
Reclassification of loss on cash flow hedge, net of tax benefit of $293	0	1,002
Unrealized gain (loss) on net investment hedge, net of tax expense of $3,334, $3,192, $3,353, and $3,482, respectively	11,337	12,322
Reclassification of gain on net investment hedge, net of tax of $0	0
Other comprehensive income (loss), net of tax	(8,775)	64,788
Comprehensive income attributable to Kraton	24,454	272,874
Comprehensive income attributable to noncontrolling interest	712	527
Consolidated comprehensive income	$ 25,166	$ 273,401

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustments, tax effect	$ 0	$ 0
Reclassification of foreign currency translation adjustments from disposition and exit of business activities, tax effect	0	0
Unrealized gain (loss) on cash flow hedges, tax effect		458,000
Reclassification of (gain) loss on cash flow hedge, tax effect		(293,000)
Unrealized gain (loss) on net investment hedge, tax effect	(3,366,000)	4,412,000
Reclassification of gain on net investment hedge, tax effect	$ 0	$ 0

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - USD ($) $ in Thousands	Total	Total Kraton Stockholders' Equity	Common Stock	Additional Paid in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Noncontrolling Interest
Beginning balance at Dec. 31, 2019	$ 789,428	$ 751,443	$ 318	$ 392,208	$ 464,712	$ (105,795)	$ 37,985
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income	209,020	208,086			208,086		934
Other comprehensive income (loss)	64,381	64,788				64,788	(407)
Retired treasury stock from employee tax withholdings	(678)	(678)		(1,927)	1,249
Non-cash compensation related to equity awards	2,848	2,848	1	2,847
Ending balance at Mar. 31, 2020	1,064,999	1,026,487	319	393,128	674,047	(41,007)	38,512
Beginning balance at Dec. 31, 2020	649,002	604,363	319	401,445	240,464	(37,865)	44,639
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income	34,593	33,229			33,229		1,364
Other comprehensive income (loss)	(9,427)	(8,775)				(8,775)	(652)
Retired treasury stock from employee tax withholdings	(4,862)	(4,862)	1	(3,816)	(1,047)
Exercise of stock options	4,092	4,092	1	4,091
Non-cash compensation related to equity awards	2,924	2,924		2,924
Ending balance at Mar. 31, 2021	$ 676,322	$ 630,971	$ 321	$ 404,644	$ 272,646	$ (46,640)	$ 45,351

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
CASH FLOWS FROM OPERATING ACTIVITIES
Consolidated net income (loss)	$ 34,593	$ 209,020
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation and amortization	31,557	31,173
Lease amortization	6,029	6,164
Amortization of debt original issue discount	0	148
Amortization of debt issuance costs	809	1,031
Amortization of deferred income	(7,653)	(3,497)
(Gain) loss on disposal of property, plant, and equipment	304	(64)
Loss on extinguishment of debt	0	13,954
Earnings from unconsolidated joint venture, net of dividends received	347	406
Deferred income tax (benefit) provision	3,542	(64,319)
Gain on disposition and exit of business activities	0	(175,214)
Share-based compensation	2,924	2,848
Decrease (increase) in:
Accounts receivable	(45,140)	(32,359)
Inventories of products, materials, and supplies	(28,163)	(18,914)
Other assets	(2,154)	2,808
Increase (decrease) in:
Accounts payable-trade	7,086	5,023
Other payables and accruals	(6,870)	24,561
Other long-term liabilities	(4,655)	(4,206)
Due to related party	351	2,619
Net cash provided by (used in) operating activities	(7,093)	1,182
CASH FLOWS FROM INVESTING ACTIVITIES
Kraton purchase of property, plant, and equipment	(22,425)	(17,446)
KFPC purchase of property, plant, and equipment	(217)	(52)
Purchase of software and other intangibles	(2,079)	(2,089)
Cash proceeds from disposition and exit of business activities	0	510,500
Net cash provided by (used in) investing activities	(24,721)	490,913
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from debt	21,000	76,000
Repayments of debt	(6,000)	(436,174)
KFPC proceeds from debt	16,065	34,873
KFPC repayments of debt	(20,819)	(40,990)
Finance lease payments	(578)	(44)
Purchase of treasury stock	(4,862)	(678)
Proceeds from the exercise of stock options	4,092	0
Settlement of interest rate swap	0	(1,295)
Net cash provided by (used in) financing activities	8,898	(368,308)
Effect of exchange rate differences on cash	(2,204)	(7,318)
Net increase (decrease) in cash and cash equivalents	(25,120)	116,469
Cash and cash equivalents, beginning of period	85,901	35,033
Cash and cash equivalents, end of period	60,781	151,502
Supplemental disclosures during the period:
Cash paid for income taxes, net of refunds received	(217)	1,987
Cash paid for interest, net of capitalized interest	846	19,699
Capitalized interest	706	404
Supplemental non-cash disclosures: increase (decrease) during the period
Property, plant, and equipment accruals	(6,575)	(2,110)
Operating leases	$ 3,694	$ 6,870

General

General	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
General	General Description of our Business. We are a leading global specialty chemicals company that manufactures styrenic block copolymers (“SBCs”), specialty polymers, and high-value performance products primarily derived from pine wood pulping co-products. Our operations are managed through two operating segments: (i) Polymer segment and (ii) Chemical segment. SBCs are highly-engineered synthetic elastomers, which we originally invented and commercialized. Our SBCs enhance the performance of numerous products by imparting greater flexibility, resilience, strength, durability, and processability, and are used in a wide range of applications, including adhesives, coatings, consumer and personal care products, sealants, lubricants, medical, packaging, automotive, and paving and roofing products. We manufacture and sell isoprene rubber through a multi-year Isoprene Rubber Supply Agreement (“IRSA”) with Daelim Industrial Co, Ltd. (“Daelim”). We refine and further upgrade crude tall oil and crude sulfate turpentine, into value-added specialty chemicals. These pine-based specialty products are sold into adhesive and tire markets, and we produce and sell a broad range of performance chemicals into markets that include fuel additives, oilfield chemicals, coatings, metalworking fluids and lubricants, inks, flavors and fragrances, and mining. Basis of Presentation. The accompanying unaudited condensed consolidated financial statements presented in this report are for us and our consolidated subsidiaries, each of which is a wholly-owned subsidiary, except our 50% investment in our joint venture, Kraton Formosa Polymers Corporation (“KFPC”), located in Mailiao, Taiwan. KFPC is a variable interest entity for which we have determined that we are the primary beneficiary and, therefore, have consolidated into our financial statements. Our 50% investment in our joint venture located in Kashima, Japan, is accounted for under the equity method of accounting. All significant intercompany transactions have been eliminated. These interim financial statements should be read in conjunction with the consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2020 and reflect all normal recurring adjustments that are, in the opinion of management, necessary to present fairly our results of operations and financial position. Amounts reported in our Condensed Consolidated Statements of Operations are not necessarily indicative of amounts expected for the respective annual periods or any other interim period, in particular due to the effect of seasonal changes and weather conditions that typically affect our sales into paving, roadmarking, roofing, and construction applications. In particular, sales volumes into these applications are generally higher in the second and third quarter of the calendar year as warm and dry weather is more conducive to paving and roofing activity. Reclassifications. Certain amounts reported in the condensed consolidated financial statements and notes to the condensed consolidated financial statements for the prior periods may have been reclassified to conform to the current reporting presentation. Significant Accounting Policies. Our significant accounting policies have been disclosed in Note 1 Description of Business, Basis of Presentation, and Significant Accounting Policies in our most recent Annual Report on Form 10-K. There have been no changes to the accounting policies, which are disclosed in our most recent Annual Report on Form 10-K. The accompanying unaudited condensed consolidated financial statements we present in this report have been prepared in accordance with our policies. Use of Estimates. The preparation of these condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include: • the useful lives of long-lived assets; • allowances for doubtful accounts and sales returns; • valuation of goodwill; • the valuation of derivatives, deferred taxes, property, plant and equipment, inventory, share-based compensation, and deferred income; and • liabilities for employee benefit obligations, environmental matters, asset retirement obligations, income tax uncertainties, and other contingencies. Income Tax in Interim Periods. We conduct operations in separate legal entities in different jurisdictions. As a result, income tax amounts are reflected in these condensed consolidated financial statements for each of those jurisdictions. Tax laws and tax rates vary substantially in these jurisdictions and are subject to change based on the political and economic climate in those countries. We file our tax returns in accordance with our interpretations of each jurisdiction’s tax laws. Overall effective tax rate may therefore vary considerably from quarter to quarter and from year to year based on the actual or projected location of operations, levels of income, intercompany gains or losses, and other factors. In accordance with U.S. GAAP for interim reporting, we have historically estimated our full-year effective tax rate and applied this rate to ordinary income or loss for the reporting period. We have determined that since small changes in estimated ordinary income would result in significant changes in the estimated annual effective tax rate this historical method would not provide reliable results for the quarter ended March 31, 2021. Therefore, a discrete year-to-date method of reporting was used for the quarter ended March 31, 2021. We will continue to evaluate income tax estimates under the historical method in subsequent quarters and employ a discrete effective tax rate method if warranted. We have established valuation allowances against a variety of deferred tax assets, including net operating loss carryforwards, foreign tax credits and other income tax credits. Valuation allowances take into consideration our expected ability to realize these deferred tax assets and reduce the value of such assets to the amount that is deemed more likely than not to be recoverable. Our ability to realize these deferred tax assets is dependent on achieving our forecast of future taxable operating income over an extended period of time. We review our forecast in relation to actual results and expected trends on a quarterly basis. If we fail to achieve our operating income targets, we may change our assessment regarding the recoverability of our net deferred tax assets and such change could result in a valuation allowance being recorded against some or all of our net deferred tax assets. A change in our valuation allowance would impact our income tax benefit (expense) and our stockholders’ equity and could have a significant impact on our results of operations or financial condition in future periods.

New Accounting Pronouncements

New Accounting Pronouncements	3 Months Ended
	Mar. 31, 2021
Accounting Changes and Error Corrections [Abstract]
New Accounting Pronouncements	New Accounting Pronouncements Accounting Standards Adopted in the Current Period We have implemented all new accounting pronouncements that are in effect and that management believes would materially affect our financial statements. In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . This standard is effective for fiscal years beginning after December 15, 2020. Adoption of this standard did not materially impact our financial position, results of operations, and cash flows. We adopted ASU 2019-12 effective January 1, 2021. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This standard provides practical expedients and exception for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. This standard is applicable to our contracts and hedging relationships that reference LIBOR. The amendments may be applied through December 31, 2022. We will apply this guidance to transactions and modifications of these arrangements as appropriate. In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848): Scope . This standard is effective beginning on January 7, 2021. Our analysis of ASU 2021-01 was completed during 2021, and there is no material change to our financial position, results of operations, and cash flows. We adopted ASU 2021-01 effective January 7, 2021. New Accounting Standards to be Adopted in Future Periods In August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity's Own Equity (Subtopic 815-40) . This standard is effective for fiscal years beginning after December 15, 2021. Early adoption is permitted for any interim period after issuance of the ASU. Our evaluation of this standard is currently ongoing, and we expect to adopt ASU 2020-06 effective on January 1, 2022.

Revenue Recognition

Revenue Recognition	3 Months Ended
	Mar. 31, 2021
Revenue from Contract with Customer [Abstract]
Revenue Recognition	Revenue Recognition Revenue is recognized when obligations under the terms of a contract with our customers are satisfied; generally, this occurs at a point in time when the risk of loss and title to the product transfers to the customer. Our standard terms of delivery are included in our contracts of sale, order confirmation documents, and invoices. As such, all revenue is considered revenue recognized from contracts with customers, and we do not have other sources of revenue. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. Revenue is recognized net of sales tax, value-added taxes, and other taxes. Shipping and other transportation costs charged to customers are recorded in both revenue and cost of goods sold. We do not have any material significant payment terms as payment is received at or shortly after the point of sale. Certain customers may receive cash-based incentives (including rebates, price supports, and sales commission), which are accounted for as variable consideration. We estimate rebates and price supports based on the expected amount to be provided to customers and reduce revenues recognized once the performance obligation has been met. Sales commissions are recorded as an increase in cost of goods sold once the performance obligation has been met. We do not expect to have significant changes in our estimates for variable considerations. We have deferred revenue of $167.5 million related to contractual commitments with customers for which the performance obligation will be satisfied over time, which currently ranges from one Occasionally, we enter into bill-and-hold contracts, where we invoice the customer for products even though we retain possession of the products until a point in time in the future when the products are shipped to the customer. In these contracts, the primary performance obligation is satisfied at a point in time when the product is segregated from our general inventory, it is ready for shipment to customer, and we do not have the ability to use the product or direct it to another customer. Additionally, we have a secondary performance obligation related to custodial costs, including storage and freight, which is satisfied over time once the product has been delivered to the customer. During the three months ended March 31, 2021 and 2020, we recognized $1.7 million and $4.1 million of revenue related to these bill-and-hold arrangements, respectively. We disaggregate our revenue by segment product lines, which is how we market our products and review results of operations. The following tables disaggregate our segment revenue by major product lines: Three Months Ended March 31, 2021 2020 Polymer Segment (In thousands) Performance Products $ 127,945 $ 118,760 Specialty Polymers 96,739 77,917 Cariflex (1) — 36,930 Isoprene Rubber 15,956 6,859 Other 510 (86) Polymer Product Line Revenue $ 241,150 $ 240,380 ____________________________________________________ (1) Cariflex is included in the results of operations through March 6, 2020. See Note 4 Disposition and Exit of Business Activities for further information on the divestiture of our Cariflex business. Three Months Ended March 31, 2021 2020 Chemical Segment (In thousands) Adhesives $ 71,726 $ 64,895 Performance Chemicals 111,175 110,742 Tires 13,220 11,252 Chemical Product Line Revenue $ 196,121 $ 186,889 March 31, 2021 December 31, 2020 (In thousands) Contract receivables (1) $ 221,272 $ 179,805 Contract liabilities (2) $ 167,515 $ 175,511 ____________________________________________________ (1) Contract receivables are recorded within receivables, net of allowances on our Condensed Consolidated Balance Sheets.

Disposition and Exit of Busines

Disposition and Exit of Business Activities	3 Months Ended
	Mar. 31, 2021
Discontinued Operations and Disposal Groups [Abstract]
Disposition and Exit of Business Activities	Disposition and Exit of Business Activities On March 6, 2020, we completed the sale of our Cariflex business to Daelim for gross proceeds of $530.0 million, adjusted for incremental working capital of $5.8 million, less contractual capital contributions of $25.3 million. The sale closed and is subject to a customary post-closing working capital adjustment and a contractual capital contribution post-closing adjustment. Upon closing, we recognized a gain of $175.2 million, and as part of the consideration received, entered into a multi-year IRSA with Daelim. As the IRSA product sales are at cost, we deferred approximately $180.6 million, of which $158.2 million and $22.4 million were recorded within deferred income and other payables and accruals, respectively, on the Condensed Consolidated Balance Sheet as of March 31, 2020. The deferred income will be amortized into revenue as a non-cash transaction when the products are sold. In accordance with the IRSA, we will supply Isoprene Rubber to Daelim for a period of five years from the sale closing date, with an optional extension for an additional five years. We used the $510.5 million net proceeds from the sale of our Cariflex business principally for repayment of the full outstanding balance of $290.0 million under the U.S. dollar denominated tranche (the “USD Tranche”) of the Company’s senior secured term loan facility (the “Term Loan Facility”) and repayment in the amount of €145.0 million, or approximately $166.8 million, of borrowings under the Euro dollar denominated tranche (the “Euro Tranche”) of the Term Loan Facility. We used the remaining proceeds in accordance with the terms of the Term Loan Facility to make additional repayments of debt and invested in strategic assets of the Company. For further discussion on assets held for sale, see Note 5 Assets Held for Sale to the consolidated financial statements set forth in our most recently filed Annual Report on Form 10-K.

Share-Based Compensation

Share-Based Compensation	3 Months Ended
	Mar. 31, 2021
Share-based Payment Arrangement [Abstract]
Share-Based Compensation	Share-Based Compensation We account for share-based awards under the provisions of ASC 718, Compensation—Stock Compensation . Accordingly, share-based compensation cost is measured at the grant date based on the fair value of the award, and we expense these costs using the straight-line method over the requisite service period, generally three years. Share-based compensation expense was $2.9 million and $2.8 million for the three months ended March 31, 2021 and 2020, respectively. The Company’s annual grant of share-based awards generally occurs in the first quarter under our Kraton Corporation Amended and Restated 2016 Equity and Cash Incentive Plan (the “2016 Plan”).

Detail of Certain Balance Sheet

Detail of Certain Balance Sheet Accounts	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Detail of Certain Balance Sheet Accounts	Detail of Certain Balance Sheet Accounts March 31, 2021 December 31, 2020 (In thousands) Inventories of products: Finished products $ 261,496 $ 240,021 Work in progress 4,203 3,074 Raw materials 82,875 84,039 Inventories of products, gross 348,574 327,134 Inventory reserves (7,958) (8,249) Total inventories of products, net $ 340,616 $ 318,885 Intangible assets: Contractual agreements $ 263,682 $ 265,375 Technology 146,350 147,011 Customer relationships 60,460 60,623 Tradenames/trademarks 83,614 83,519 Software 69,274 68,276 Intangible assets 623,380 624,804 Less accumulated amortization: Contractual agreements 115,589 110,811 Technology 76,071 74,693 Customer relationships 40,525 40,205 Tradenames/trademarks 55,204 53,951 Software 51,847 50,410 Total accumulated amortization 339,236 330,070 Intangible assets, net of accumulated amortization $ 284,144 $ 294,734 Other payables and accruals: Employee related $ 34,387 $ 52,145 Short-term operating lease liabilities 17,810 18,299 Interest payable 12,797 3,873 Capital project accruals 893 1,149 Customer related 9,654 10,484 Short-term deferred income 26,793 24,182 Income tax payable 30,734 26,367 Utilities payable 3,084 2,886 Property and other taxes 1,643 1,303 Other 25,858 26,676 Total other payables and accruals $ 163,653 $ 167,364 Other long-term liabilities: Pension and other post-retirement benefits $ 125,429 $ 133,634 Long-term tax liability 19,369 19,530 Other 15,871 15,402 Total other long-term liabilities $ 160,669 $ 168,566 Changes in accumulated other comprehensive income (loss) by component were as follows: Cumulative Foreign Currency Translation Cash Flow Hedges, Net of Tax Net Investment Hedges, Net of Tax Benefit Plans Liability, Net of Tax Total (In thousands) December 31, 2019 $ (29,389) $ (2,389) $ 13,624 $ (87,641) $ (105,795) Other comprehensive income (loss) before reclassifications (15,557) 1,387 12,322 — (1,848) Amounts reclassified to (income) expense from accumulated other comprehensive loss (1) 66,533 1,002 (899) — 66,636 Net other comprehensive income (loss) for the year 50,976 2,389 11,423 — 64,788 March 31, 2020 $ 21,587 $ — $ 25,047 $ (87,641) $ (41,007) December 31, 2020 $ 73,575 $ — $ (13,156) $ (98,284) $ (37,865) Other comprehensive income (loss) before reclassifications (20,112) — 11,337 — (8,775) Net other comprehensive income (loss) for the year (20,112) — 11,337 — (8,775) March 31, 2021 $ 53,463 $ — $ (1,819) $ (98,284) $ (46,640) ____________________________________________________ (1) Amounts reclassified to (income) expense from accumulated other comprehensive income (loss) are related to cumulative foreign currency translation and settlement of a net investment hedge, which are recorded in disposition and exit of business activities in the Condensed Consolidated Statement of Operations. Additionally, the settlement of interest rate swaps are recorded in loss on extinguishment of debt in the Condensed Consolidated Statement of Operations. All these costs are in connection with the divestiture of our Cariflex business and subsequent repayments of debt.

Earnings Per Share ("EPS")

Earnings Per Share ("EPS")	3 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Earnings Per Share ("EPS")	Earnings Per Share (“EPS”) Basic EPS is computed by dividing net income attributable to Kraton by the weighted-average number of shares outstanding, excluding non-vested restricted stock awards during the period. Diluted EPS is computed by dividing net income attributable to Kraton by the diluted weighted-average number of shares outstanding during the period and, accordingly, reflects the potential dilution that could occur if securities or other agreements to issue common stock, such as stock options, were exercised, settled, or converted into common stock and were dilutive. The diluted weighted-average number of shares used in our diluted EPS calculation is determined using the treasury stock method. The calculations of basic and diluted EPS are as follows: Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Net Income Attributable to Kraton Weighted Average Shares Outstanding Earnings Per Share Net Income Attributable to Kraton Weighted Average Shares Outstanding Earnings Per Share (In thousands, except per share data) Basic: As reported $ 33,229 31,970 $ 208,086 31,783 Amounts allocated to unvested restricted shares (44) (42) (1,283) (196) Amounts available to common stockholders 33,185 31,928 $ 1.04 206,803 31,587 $ 6.55 Diluted: Amounts allocated to unvested restricted shares 44 42 1,283 196 Non participating share units — 475 — 362 Stock options added under the treasury stock method — 55 — — Amounts reallocated to unvested restricted shares (43) (42) (1,269) (196) Amounts available to stockholders and assumed conversions $ 33,186 32,458 $ 1.02 $ 206,817 31,949 $ 6.47 Share Repurchase Program. In February 2019, we announced a repurchase program for up to $50.0 million of the Company’s common stock by February 2021. Repurchases could have been made at management’s discretion from time to time through privately-negotiated transactions, in the open market, or through broker-negotiated purchases in compliance with applicable securities law, including through a 10b5-1 Plan. The repurchase program could have been suspended for periods or discontinued at any time, and the amount and timing of the repurchases were subject to a number of factors, including Kraton’s stock price. During the three months ended March 31, 2021, we did not repurchase any shares of our common stock under this program. From the inception of the program through March 31, 2021, we repurchased 311,152 shares of our common stock at an average price of $32.14 per share and a total cost of $10.0 million. The share repurchase program ended on February 7, 2021.

Long-Term Debt

Long-Term Debt	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt Long-term debt consists of the following: March 31, 2021 December 31, 2020 Principal Debt Issuance Costs Total Principal Debt Issuance Costs Total (In thousands) Euro Tranche $ 99,850 $ (900) $ 98,950 $ 104,159 $ (996) $ 103,163 4.25% Senior Notes 400,000 (6,531) 393,469 400,000 (6,995) 393,005 5.25% Senior Notes 340,663 (4,048) 336,615 355,366 (4,221) 351,145 ABL Facility 15,000 — 15,000 — — — KFPC Loan Agreement 34,659 (13) 34,646 52,730 (18) 52,712 KFPC Revolving Facilities 49,112 — 49,112 37,003 — 37,003 Finance lease obligations 3,821 — 3,821 835 — 835 Total debt 943,105 (11,492) 931,613 950,093 (12,230) 937,863 Less current portion of total debt 84,488 — 84,488 72,347 — 72,347 Long-term debt $ 858,617 $ (11,492) $ 847,125 $ 877,746 $ (12,230) $ 865,516 Senior Secured Term Loan Facility. The Euro Tranche interest rate applicable margin is 2.0%. Our Term Loan Facility will mature on March 8, 2025. For a summary of additional terms of the Term Loan Facility, see Note 9 Long-Term Debt to the consolidated financial statements set forth in our most recently filed Annual Report on Form 10-K. As of the date of this filing, the effective interest rate for the Euro Tranche is 2.79%. The Term Loan Facility contains a number of customary affirmative and negative covenants, and we were in compliance with those covenants as of the date of this filing. 4.25% Senior Notes due 2025. Kraton Polymers LLC and its wholly-owned financing subsidiary Kraton Polymers Capital Corporation issued $400.0 million aggregate principal amount of 4.25% Senior Notes due 2025 (the “4.25% Senior Notes”) in December 2020, which mature on December 15, 2025. The 4.25% Senior Notes are general unsecured, senior obligations, and are unconditionally guaranteed on a senior unsecured basis by each of Kraton Corporation and certain of our wholly-owned domestic subsidiaries. We pay interest on the Senior Notes at 4.25% per annum, semi-annually in arrears on June 15 and December 15 of each year. 5.25% Senior Notes due 2026. Kraton Polymers LLC and its wholly-owned financing subsidiary Kraton Polymers Capital Corporation issued €290.0 million (or approximately $340.7 million) aggregate principal amount of 5.25% Senior Notes due 2026 (the “5.25% Senior Notes”) in May 2018, which mature on May 15, 2026. The 5.25% Senior Notes are general unsecured, senior obligations, and are unconditionally guaranteed on a senior unsecured basis by each of Kraton Corporation and certain of our wholly-owned domestic subsidiaries. We pay interest on the senior notes at 5.25% per annum, semi-annually in arrears on May 15 and November 15 of each year. ABL Facility. Our asset-based revolving credit facility provides financing of up to $300.0 million (the “ABL Facility”). The ABL Facility also provides that we have the right at any time to request up to $100.0 million of additional commitments, provided that we satisfy certain additional conditions. Our outstanding borrowings under the ABL Facility were $15.0 million as of March 31, 2021. The termination date of the ABL Facility is December 3, 2025 (subject to earlier termination if certain outstanding indebtedness under the Term Loan Facility or our senior unsecured notes is not previously refinanced). Borrowing availability under the ABL Facility is subject to borrowing base limitations based on the level of receivables and inventory available for security. Revolver commitments under the ABL Facility consist of U.S. and Dutch revolving credit facility commitments, which may be reallocated subject to certain conditions, provided the Dutch revolver commitments may not exceed $100.0 million. The ABL Facility contains a number of customary affirmative and negative covenants, and we were in compliance with those covenants as of the date of this filing. For a summary of additional terms of the ABL Facility, see Note 9 Long-Term Debt to the consolidated financial statements set forth in our most recently filed Annual Report on Form 10-K. KFPC Loan Agreement. As of March 31, 2021, approximately NTD 1.0 billion (or approximately $34.7 million) was outstanding on KFPC's syndicated loan agreement (the “KFPC Loan Agreement”). For the three months ended March 31, 2021, the effective interest rate for borrowings on the KFPC Loan Agreement was 1.8%. The KFPC Loan Agreement contains certain financial covenants that change during the term of the KFPC Loan Agreement. KFPC was in compliance with those covenants as of the date of this filing. In each case, these covenants are calculated and tested on an annual basis at December 31 st each year. The KFPC Loan Agreement will mature on January 17, 2022. For a summary of additional terms of the KFPC Loan Agreement, see Note 9 Long-Term Debt to the consolidated financial statements set forth in our most recently filed Annual Report on Form 10-K. KFPC Revolving Facilities. KFPC also has four revolving credit facilities (the “KFPC Revolving Facilities”) to provide funding for working capital requirements and/or general corporate purposes, which allow for total borrowings of up to NTD 2.5 billion (or approximately $87.6 million). All of the KFPC Revolving Facilities are subject to variable interest rates. As of March 31, 2021, NTD 1.4 billion (or approximately $49.1 million) was drawn on the KFPC Revolving Facilities. Debt Issuance Costs. We had debt issuance cost of $13.6 million as of March 31, 2021, of which $2.1 million related to the ABL Facility, which is recorded as an asset (of which $0.5 million was included in other current assets) and $11.5 million is recorded as a reduction to long-term debt. We amortized $0.8 million and $1.0 million during the three months ended March 31, 2021 and 2020, respectively. Debt Maturities . The remaining principal payments on our outstanding total debt, including finance leases, as of March 31, 2021, are as follows: Principal Payments (In thousands) April 1, 2021 through March 31, 2022 $ 84,488 April 1, 2022 through March 31, 2023 878 April 1, 2023 through March 31, 2024 1,109 April 1, 2024 through March 31, 2025 1,102 April 1, 2025 through March 31, 2026 514,865 Thereafter 340,663 Total debt $ 943,105 See Note 9 Fair Value Measurements, Financial Instruments, and Credit Risk for fair value information related to our long-term debt.

Fair Value Measurements, Financ

Fair Value Measurements, Financial Instruments, and Credit Risk	3 Months Ended
	Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair Value Measurements, Financial Instruments, and Credit Risk	Fair Value Measurements, Financial Instruments, and Credit Risk ASC 820, Fair Value Measurements and Disclosures defines fair value, establishes a consistent framework for measuring fair value and expands disclosure requirements about fair value measurements. ASC 820 requires entities to, among other things, maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our market assumptions. In accordance with ASC 820, these two types of inputs have created the following fair value hierarchy: • Level 1—Inputs that are quoted prices (unadjusted) for identical assets or liabilities in active markets; • Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability, including: • Quoted prices for similar assets or liabilities in active markets; • Quoted prices for identical or similar assets or liabilities in markets that are not active; • Inputs other than quoted prices that are observable for the asset or liability; and • Inputs that are derived principally from or corroborated by observable market data by correlation or other means; and • Level 3—Inputs that are unobservable and reflect our assumptions used in pricing the asset or liability based on the best information available under the circumstances (e.g., internally derived assumptions surrounding the timing and amount of expected cash flows). Recurring Fair Value Measurements . The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2021 and December 31, 2020. These financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, which judgment may affect the valuation of their fair value and placement within the fair value hierarchy levels. As of March 31, 2021 and December 31, 2020, the Company has no assets or liabilities utilizing significant unobservable inputs (or Level 3) to derive its estimated fair values. Fair Value Measurements at Reporting Date Using Balance Sheet Location March 31, 2021 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (In thousands) Retirement plan asset – noncurrent Other long-term asset $ 2,691 $ 2,691 $ — Derivative liability – current Other payables and accruals (1,049) — (1,049) Total $ 1,642 $ 2,691 $ (1,049) Fair Value Measurements at Reporting Date Using Balance Sheet Location December 31, 2020 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (In thousands) Retirement plan asset – noncurrent Other long-term assets $ 2,454 $ 2,454 $ — Derivative liability – current Other payables and accruals (219) — (219) Total $ 2,235 $ 2,454 $ (219) The following table presents the carrying values and approximate fair values of our long-term debt. March 31, 2021 December 31, 2020 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Euro Tranche (significant other observable inputs – level 2) $ 99,850 $ 99,913 $ 104,159 $ 103,574 4.25% Senior Notes (quoted prices in active market for identical assets – level 1) $ 400,000 $ 401,532 $ 400,000 $ 409,880 5.25% Senior Notes (quoted prices in active market for identical assets – level 1) $ 340,663 $ 352,113 $ 355,366 $ 367,886 ABL Facility $ 15,000 $ 15,000 $ — $ — Finance lease obligations $ 3,821 $ 3,821 $ 835 $ 835 KFPC Loan Agreement $ 34,659 $ 34,659 $ 52,730 $ 52,730 KFPC Revolving Facilities $ 49,112 $ 49,112 $ 37,003 $ 37,003 The ABL Facility, Finance lease obligations, KFPC Loan Agreement, and KFPC Revolving Facilities are variable rate instruments, and as such, the fair value approximates the carrying value. Financial Instruments Interest Rate Swap Agreements. Periodically, we enter into interest rate swap agreements to hedge or otherwise protect against interest rate fluctuation on a portion of our variable rate debt. These interest rate swap agreements are designated as cash flow hedges on our exposure to the variability of future cash flows. In an effort to convert a substantial portion of our future interest payments pursuant to the USD Tranche to a fixed interest rate, in February and March 2016, we entered into a series of interest rate swap agreements with an aggregate notional value of $925.4 million, effective dates of January 3, 2017, and maturity dates of December 31, 2020. Based on debt repayments, we have exited all of the interest rate swap agreements originally entered into in 2017. We reclassified out of other comprehensive income (loss) the settlement of our interest rate swaps that amounted to a $1.3 million loss on extinguishment of debt for the three months ended March 31, 2020. Foreign Currency Hedges. Periodically, we enter into foreign currency agreements to hedge or otherwise protect against fluctuations in foreign currency exchange rates. These agreements do not qualify for hedge accounting, and gains/losses resulting from both the up-front premiums and/or settlement of the hedges at expiration of the agreements are recognized in the period in which they are incurred. We settled these hedges and recorded a loss of $1.6 million and a gain of $0.2 million for the three months ended March 31, 2021 and 2020, respectively, which are recorded in cost of goods sold in the Condensed Consolidated Statements of Operations. These contracts are structured such that these gains/losses from the mark-to-market impact of the hedging instruments materially offset the underlying foreign currency exchange gains/losses to reduce the overall impact of foreign currency exchange movements throughout the period. Net Investment Hedge. During the year ended December 31, 2018, we designated €290.0 million of euro-denominated borrowing as a hedge against a portion of our net investment in the Company's European operations. The mark to market of this instrument was a gain of $14.7 million and a gain of $6.5 million for the three months ended March 31, 2021 and 2020, respectively, which is recorded within accumulated other comprehensive income (loss) in the Condensed Consolidated Balance Sheets. Credit Risk The use of derivatives creates exposure to credit risk in the event that the counterparties to these instruments fail to perform their obligations under the contracts, which we seek to minimize by limiting our counterparties to major financial institutions with acceptable credit ratings and by monitoring the total value of positions with individual counterparties. We analyze our counterparties’ financial condition prior to extending credit, and we establish credit limits and monitor the appropriateness of those limits on an ongoing basis. We also obtain cash, letters of credit, or other acceptable forms of security from customers to provide credit support, where appropriate, based on our financial analysis of the customer and the contractual terms and conditions applicable to each transaction.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Our income tax provision was an expense of $8.8 million and a benefit of $36.6 million for the three months ended March 31, 2021 and 2020, respectively. During the three months ended March 31, 2021, our effective tax rate differed from the U.S. corporate statutory tax rate of 21.0% primarily due to the change in valuation allowance, certain tax credits generated, and return to provision adjustments, partially offset by the mix of our pretax income or loss generated in various local and foreign jurisdictions. During the three months ended March 31, 2020, our effective tax rate differed from the U.S. corporate statutory tax rate of 21.0% primarily due to the intercompany transfer of certain intellectual property rights to our Dutch subsidiary, the tax impact of the sale of our Cariflex business, and the mix of our pretax income or loss generated in various foreign jurisdictions. The provision for income taxes differs from the amount computed by applying the U.S. corporate statutory income tax rate to income (loss) before income taxes for the reasons set forth below. Three Months Ended March 31, 2021 2020 (In thousands) Income taxes at the statutory rate $ (9,104) $ (36,218) State taxes, net of federal benefit (646) (84) Foreign tax rate differential (190) (7,592) Permanent differences (835) (1,240) Cariflex disposition — 13,663 Dutch transfer of assets — 62,785 Tax credits 800 — Uncertain tax positions (136) 2,682 Valuation allowance 892 136 Return to provision adjustments 458 2,420 Income tax benefit (expense) $ (8,761) $ 36,552 Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a deferred tax benefit will not be realized. We consider all available material evidence, both positive and negative, in assessing the appropriateness of a valuation allowance for our deferred tax assets. As of March 31, 2021 and December 31, 2020, we recorded a valuation allowance of $38.6 million and $39.5 million, respectively, against our net operating loss carryforwards and other deferred tax assets. We currently believe that certain unremitted foreign earnings of our subsidiaries will permanently reinvest for an infinite period of time. Accordingly, we have not provided deferred taxes for the differences between these subsidiaries' book basis and underlying tax basis or on related foreign currency translation adjustment amounts. We file income tax returns in the U.S. federal jurisdiction and in various state and foreign jurisdictions. Our U.S. federal income tax returns, for 2005 remain open to examination, as a result of the utilization of net operating loss carryforwards from 2005. In addition, open tax years for state and foreign jurisdictions remain subject to examination. Although the outcome of tax audits is always uncertain, we believe that adequate amounts of tax, interest, and penalties have been provided for in the accompanying condensed consolidated financial statements for any adjustments that might be incurred due to federal, state, or foreign audits. We recognize the effect of income tax positions only when it is more likely than not of being sustainable. The taxes are recorded in accordance with ASC 740-10, Accounting for Uncertainty in Income Taxes . Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. We record interest and penalties related to unrecognized tax benefits in income tax expense. As of March 31, 2021 and December 31, 2020, we had total unrecognized tax benefits of $8.7 million and $8.8 million, respectively, if recognized, would impact our effective tax rate. During the three months ended March 31, 2021 and 2020, we had a decrease of $0.1 million and $2.9 million, respectively, primarily related to our uncertain tax positions in the U.S. and Europe. We recorded interest and penalties related to unrecognized tax benefits within the provision for income taxes. It is reasonable that the existing liabilities for the unrecognized tax benefits may increase or decrease over the next 12 months as a result of audit closures and statute expirations; however, the ultimate timing of the resolution and/or closure of audits is highly uncertain.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies (a) Lease Commitments - accounted for under ASC 842, Leases All of our lease right-of-use (“ROU”) assets and lease liabilities are related to operating and finance leases, where the lease term exceeds one year. Our operating leases are generally for railcars, office space, and equipment and our finance leases are generally related to equipment and buildings used to conduct our operations. These operating and finance leases were discounted using a weighted-average rate of 3.66% and 4.59%, respectively, which is based on a weighted average borrowing rate of specific debt. Non-variable lease costs include the amortization of the asset recorded on a straight-line basis. Variable lease components are non-index based payments based on performance or usage of the underlying asset. We have no material lessor or sublease income. Operating Leases The components of lease cost for operating leases are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Lease cost $ 6,029 $ 6,164 Variable lease cost 256 88 Operating lease expense $ 6,285 $ 6,252 The operating lease liabilities on a discounted basis arising from obtaining ROU assets as of March 31, 2021 were comprised as follows: Leased Asset Class Polymer Chemical Percentage Average Months Remaining on the Lease Weighted Average in Months (In thousands) Railcars $ 2,513 $ 25,249 33.0 % 62 20.3 Buildings 25,861 10,378 43.0 % 30 13.0 Equipment 1,520 5,789 8.7 % 33 2.9 Land 6,946 41 8.3 % 353 29.3 Other 684 5,253 7.0 % 28 2.0 Total $ 37,524 $ 46,710 67.5 The following tables show the undiscounted cash flows for the operating lease liabilities. March 31, 2021 (In thousands) April 1, 2021 through December 31, 2021 $ 16,232 2022 17,259 2023 14,916 2024 11,069 2025 8,840 Thereafter 26,936 Total undiscounted operating lease liabilities 95,252 Present value discount (11,010) Foreign currency and other (8) Total discounted operating lease liabilities $ 84,234 December 31, 2020 (In thousands) 2021 $ 21,098 2022 15,992 2023 14,309 2024 10,668 2025 8,605 Thereafter 26,988 Total undiscounted operating lease liabilities 97,660 Present value discount (11,474) Foreign currency and other 11 Total discounted operating lease liabilities $ 86,197 Finance Leases The components of lease cost for finance leases are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Lease amortization $ 311 $ 178 Lease interest 42 14 Finance lease expense $ 353 $ 192 The finance lease liabilities on a discounted basis arising from obtaining ROU assets as of March 31, 2021 were comprised as follows: Leased Asset Class Polymer Chemical Percentage Average Months Remaining on the Lease Weighted Average in Months (In thousands) Buildings $ — $ 2,952 77.3 % 46 35.5 Equipment 789 80 22.7 % 53 12.1 Total $ 789 $ 3,032 47.6 The following tables show the undiscounted cash flows for the finance lease liabilities. March 31, 2021 (In thousands) April 1, 2021 through December 31, 2021 $ 250 2022 820 2023 1,010 2024 1,200 2025 968 Thereafter 3 Total undiscounted finance lease liabilities 4,251 Present value discount (429) Foreign currency and other (1) Total discounted finance lease liabilities $ 3,821 December 31, 2020 (In thousands) 2021 $ 232 2022 232 2023 232 2024 232 2025 — Thereafter — Total undiscounted finance lease liabilities 928 Present value discount (92) Foreign currency and other (1) Total discounted finance lease liabilities $ 835 These finance lease liabilities are included within current and long-term debt on the Condensed Consolidated Balance Sheets. See Note 8 Long-Term Debt for additional information. (b) Legal Proceedings We received an initial notice from the tax authorities in Brazil during the fourth quarter of 2012 in connection with tax credits that were generated from the purchase of certain goods that were subsequently applied by us against taxes owed. The tax authorities are currently assessing R$10.2 million, or approximately $1.8 million, including penalties and interest. We have appealed the assertion by the tax authorities in Brazil that the goods purchased were not eligible to earn the credits. While the outcome of this proceeding cannot be predicted with certainty, we do not expect this matter to have a material adverse effect upon our financial position, results of operations or cash flows. We and certain of our subsidiaries, from time to time, are parties to various other legal proceedings, claims and disputes that have arisen in the ordinary course of business. These claims may involve significant amounts, some of which would not be covered by insurance. A substantial settlement payment or judgment in excess of our accruals could have a material adverse effect on our financial position, results of operations or cash flows. While the outcome of these proceedings cannot be predicted with certainty, we do not expect any of these existing matters, individually or in the aggregate, to have a material adverse effect upon our financial position, results of operations or cash flows. (c) Asset Retirement Obligations The changes in the aggregate carrying amount of our asset retirement obligations (“ARO”) are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Beginning balance $ 6,332 $ 6,523 Additional accruals 316 — Accretion expense 106 78 Obligations settled (382) (302) Foreign currency translation (232) (102) Ending balance $ 6,140 $ 6,197 In the first quarter of 2021, the Company recorded an ARO of $0.3 million related to the office rebuild of our research facility in Europe.

Employee Benefits

Employee Benefits	3 Months Ended
	Mar. 31, 2021
Retirement Benefits [Abstract]
Employee Benefits	Employee Benefits The components of net periodic benefit cost related to pension benefits are as follows: Three Months Ended March 31, 2021 2020 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans (In thousands) Service cost $ — $ 512 $ 65 $ 442 Interest cost 1,397 311 1,648 420 Expected return on plan assets (2,485) (851) (2,328) (682) Amortization of prior service cost — 5 — 4 Amortization of net actuarial loss 605 262 388 253 Net periodic benefit (income) cost $ (483) $ 239 $ (227) $ 437 The components of net periodic benefit cost other than the service cost component are included in other income on our Condensed Consolidated Statements of Operations. We made contributions of $6.9 million and $3.3 million to our pension plans in the three months ended March 31, 2021 and 2020, respectively. The components of net periodic benefit cost related to other post-retirement benefits are as follows: Three Months Ended March 31, 2021 2020 U.S. Plans U.S. Plans (In thousands) Service cost $ 85 $ 85 Interest cost 163 195 Amortization of prior service cost (438) (438) Amortization of net actuarial loss 243 213 Net periodic benefit (income) cost $ 53 $ 55 The components of net periodic benefit cost other than the service cost component are included in other income on our Condensed Consolidated Statements of Operations. We made contributions of $0.4 million and $0.7 million to our other post-retirement plans in the three months ended March 31, 2021 and 2020, respectively.

Industry Segments and Foreign O

Industry Segments and Foreign Operations	3 Months Ended
	Mar. 31, 2021
Segment Reporting [Abstract]
Industry Segments and Foreign Operations	Industry Segments and Foreign Operations Our operations are managed through two operating segments: (i) Polymer segment; and (ii) Chemical segment. In accordance with the provisions of ASC 280, Segment Reporting , our chief operating decision maker has been identified as our President and Chief Executive Officer, who reviews operating results to make decisions about allocating resources and assessing performance for the entire company. • Polymer Segment is comprised of our SBCs and other engineered polymers business. • Chemical Segment is comprised of our pine-based specialty products business. Our chief operating decision maker uses operating income (loss) as the primary measure of each segment's operating results in order to allocate resources and in assessing the company's performance. In accordance with ASC 280, Segment Reporting , we have presented operating income for each segment. The following table summarizes our operating results by segment. We do not have sales between segments. Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) Revenue $ 241,150 $ 196,121 $ 437,271 $ 240,380 $ 186,889 $ 427,269 Cost of goods sold 159,165 142,073 301,238 171,649 136,420 308,069 Gross profit 81,985 54,048 136,033 68,731 50,469 119,200 Operating expenses: Research and development 6,912 2,608 9,520 7,725 3,067 10,792 Selling, general, and administrative 22,175 19,104 41,279 29,933 19,125 49,058 Depreciation and amortization 12,824 18,733 31,557 13,347 17,826 31,173 (Gain) loss on disposal of fixed assets 215 89 304 (199) 135 (64) Operating income $ 39,859 $ 13,514 53,373 $ 17,925 $ 10,316 28,241 Other income 808 327 Disposition and exit of business activities — 175,214 Loss on extinguishment of debt — (13,954) Earnings of unconsolidated joint venture 120 101 Interest expense, net (10,947) (17,461) Income before income taxes $ 43,354 $ 172,468 The following table presents long-lived assets including goodwill and total assets. March 31, 2021 December 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) Property, plant, and equipment, net $ 518,410 $ 409,671 $ 928,081 $ 523,067 $ 419,636 $ 942,703 Investment in unconsolidated joint venture $ 11,978 $ — $ 11,978 $ 12,723 $ — $ 12,723 Goodwill $ — $ 373,828 $ 373,828 $ — $ 375,061 $ 375,061 Total assets $ 1,129,458 $ 1,336,619 $ 2,466,077 $ 1,104,954 $ 1,356,003 $ 2,460,957 (a) Goodwill The Company conducts an annual impairment review of goodwill on October 1st of each year, unless events occur which trigger the need for an interim impairment review. Changes in goodwill from January 1, 2021 through March 31, 2021 were as follows: Chemical (In thousands) Balance at January 1, 2021 $ 375,061 Foreign currency translation (1,233) Balance at March 31, 2021 $ 373,828 (b) Revenue by Geography For geographic reporting, revenue is attributed to the geographic location in which the customers’ facilities are located. Long-lived assets consist primarily of property, plant, and equipment, which are attributed to the geographic location in which they are located and are presented at historical cost. Following is a summary of revenue by geographic region: Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) (In thousands) Revenue: United States $ 82,656 $ 73,494 $ 156,150 $ 85,394 $ 80,581 $ 165,975 Germany 26,728 14,686 41,414 24,433 12,668 37,101 All other countries 131,766 107,941 239,707 130,553 93,640 224,193 $ 241,150 $ 196,121 $ 437,271 $ 240,380 $ 186,889 $ 427,269 (c) Capital Expenditures Our capital expenditures for the Polymer segment, excluding capital expenditures by the KFPC joint venture, were $15.5 million and $10.3 million during the three months ended March 31, 2021 and 2020, respectively, and capital expenditures for our Chemical segment were $6.9 million and $7.2 million during the three months ended March 31, 2021 and 2020, respectively.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2021
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions We own a 50% equity investment in an SBC manufacturing joint venture in Kashima, Japan. Our outstanding payables were $15.7 million and $14.8 million as of March 31, 2021 and December 31, 2020, respectively, which were recorded in due to related party on the Condensed Consolidated Balance Sheets. Our total purchases from the joint venture were $8.0 million and $9.1 million for the three months ended March 31, 2021 and 2020, respectively. We own a 50% variable interest in KFPC, an HSBC manufacturing joint venture in Mailiao, Taiwan. The KFPC joint venture is fully consolidated in our financial statements, and our joint venture partner, Formosa Petrochemical Corporation (“FPCC”), is a related party affiliate. Under the terms of the joint venture agreement, FPCC is to provide certain site services and raw materials to KFPC. Additionally, we purchase certain raw materials from FPCC for our other manufacturing locations. Our outstanding payables were $0.6 million and $2.3 million as of March 31, 2021 and December 31, 2020, respectively, which were recorded in due to related party on the Condensed Consolidated Balance Sheets. Our total purchases from this joint venture were $11.3 million and $14.0 million for the three months ended March 31, 2021 and 2020, respectively. See Note 15 Variable Interest Entity, for further discussion related to the KFPC joint venture.

Variable Interest Entity

Variable Interest Entity	3 Months Ended
	Mar. 31, 2021
Noncontrolling Interest [Abstract]
Variable Interest Entity	Variable Interest Entity We hold a variable interest in a joint venture with FPCC to own and operate a 30 kiloton HSBC plant at FPCC’s petrochemical site in Mailiao, Taiwan. Included in the below assets and liabilities is a land lease with FPCC to support our operations at the HSBC plant. Kraton and FPCC are each 50% owners of the joint venture company, KFPC. Under the provisions of an offtake agreement with KFPC, we have exclusive rights to purchase all production from KFPC. Additionally, following a ramp-up period, the agreement requires us to purchase a minimum of 80% of the plant production capacity each year at a defined fixed margin. This offtake agreement represents a variable interest that provides us the power to direct the most significant activities of KFPC and exposes us to the economic variability of the joint venture. As such, we have determined that we are the primary beneficiary of this variable interest entity. As a result, we have consolidated KFPC in our financial statements and reflected FPCC’s 50% ownership as a noncontrolling interest. The following table summarizes the carrying amounts of assets and liabilities as of March 31, 2021 and December 31, 2020 for KFPC before intercompany eliminations. March 31, 2021 December 31, 2020 (In thousands) Cash and cash equivalents $ 1,561 $ 3,097 Other current assets 20,345 17,304 Property, plant, and equipment, net 146,325 150,838 Intangible assets 7,670 7,959 Long-term operating lease assets, net 6,994 7,178 Other long-term assets 5,647 5,187 Total assets $ 188,542 $ 191,563 Current portion of long-term debt $ 83,758 $ 72,156 Current liabilities 6,825 5,209 Long-term debt — 17,559 Deferred income taxes 652 661 Long-term operating lease liabilities 6,606 6,700 Total liabilities $ 97,841 $ 102,285

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2021
Subsequent Events [Abstract]
Subsequent Events	Subsequent EventsWe have evaluated events and transactions that occurred after the balance sheet date and determined that there were no other significant events or transactions that would require recognition or disclosure in our condensed consolidated financial statements for the period ended March 31, 2021.

General (Policies)

General (Policies)	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation. The accompanying unaudited condensed consolidated financial statements presented in this report are for us and our consolidated subsidiaries, each of which is a wholly-owned subsidiary, except our 50% investment in our joint venture, Kraton Formosa Polymers Corporation (“KFPC”), located in Mailiao, Taiwan. KFPC is a variable interest entity for which we have determined that we are the primary beneficiary and, therefore, have consolidated into our financial statements. Our 50% investment in our joint venture located in Kashima, Japan, is accounted for under the equity method of accounting. All significant intercompany transactions have been eliminated. These interim financial statements should be read in conjunction with the consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2020 and reflect all normal recurring adjustments that are, in the opinion of management, necessary to present fairly our results of operations and financial position. Amounts reported in our Condensed Consolidated Statements of Operations are not necessarily indicative of amounts expected for the respective annual periods or any other interim period, in particular due to the effect of seasonal changes and weather conditions that typically affect our sales into paving, roadmarking, roofing, and construction applications. In particular, sales volumes into these applications are generally higher in the second and third quarter of the calendar year as warm and dry weather is more conducive to paving and roofing activity.
Reclassifications	Reclassifications. Certain amounts reported in the condensed consolidated financial statements and notes to the condensed consolidated financial statements for the prior periods may have been reclassified to conform to the current reporting presentation.
Use of Estimates	Use of Estimates. The preparation of these condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include: • the useful lives of long-lived assets; • allowances for doubtful accounts and sales returns; • valuation of goodwill; • the valuation of derivatives, deferred taxes, property, plant and equipment, inventory, share-based compensation, and deferred income; and • liabilities for employee benefit obligations, environmental matters, asset retirement obligations, income tax uncertainties, and other contingencies.
Income Tax in Interim Periods	Income Tax in Interim Periods. We conduct operations in separate legal entities in different jurisdictions. As a result, income tax amounts are reflected in these condensed consolidated financial statements for each of those jurisdictions. Tax laws and tax rates vary substantially in these jurisdictions and are subject to change based on the political and economic climate in those countries. We file our tax returns in accordance with our interpretations of each jurisdiction’s tax laws. Overall effective tax rate may therefore vary considerably from quarter to quarter and from year to year based on the actual or projected location of operations, levels of income, intercompany gains or losses, and other factors. In accordance with U.S. GAAP for interim reporting, we have historically estimated our full-year effective tax rate and applied this rate to ordinary income or loss for the reporting period. We have determined that since small changes in estimated ordinary income would result in significant changes in the estimated annual effective tax rate this historical method would not provide reliable results for the quarter ended March 31, 2021. Therefore, a discrete year-to-date method of reporting was used for the quarter ended March 31, 2021. We will continue to evaluate income tax estimates under the historical method in subsequent quarters and employ a discrete effective tax rate method if warranted. We have established valuation allowances against a variety of deferred tax assets, including net operating loss carryforwards, foreign tax credits and other income tax credits. Valuation allowances take into consideration our expected ability to realize these deferred tax assets and reduce the value of such assets to the amount that is deemed more likely than not to be recoverable. Our ability to realize these deferred tax assets is dependent on achieving our forecast of future taxable operating income over an extended period of time. We review our forecast in relation to actual results and expected trends on a quarterly basis. If we fail to achieve our operating income targets, we may change our assessment regarding the recoverability of our net deferred tax assets and such change could result in a valuation allowance being recorded against some or all of our net deferred tax assets. A change in our valuation allowance would impact our income tax benefit (expense) and our stockholders’ equity and could have a significant impact on our results of operations or financial condition in future periods.
New Accounting Pronouncements	Accounting Standards Adopted in the Current Period We have implemented all new accounting pronouncements that are in effect and that management believes would materially affect our financial statements. In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes . This standard is effective for fiscal years beginning after December 15, 2020. Adoption of this standard did not materially impact our financial position, results of operations, and cash flows. We adopted ASU 2019-12 effective January 1, 2021. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This standard provides practical expedients and exception for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. This standard is applicable to our contracts and hedging relationships that reference LIBOR. The amendments may be applied through December 31, 2022. We will apply this guidance to transactions and modifications of these arrangements as appropriate. In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848): Scope . This standard is effective beginning on January 7, 2021. Our analysis of ASU 2021-01 was completed during 2021, and there is no material change to our financial position, results of operations, and cash flows. We adopted ASU 2021-01 effective January 7, 2021. New Accounting Standards to be Adopted in Future Periods In August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity's Own Equity (Subtopic 815-40) . This standard is effective for fiscal years beginning after December 15, 2021. Early adoption is permitted for any interim period after issuance of the ASU. Our evaluation of this standard is currently ongoing, and we expect to adopt ASU 2020-06 effective on January 1, 2022.
Revenue from Contract with Customers	Revenue is recognized when obligations under the terms of a contract with our customers are satisfied; generally, this occurs at a point in time when the risk of loss and title to the product transfers to the customer. Our standard terms of delivery are included in our contracts of sale, order confirmation documents, and invoices. As such, all revenue is considered revenue recognized from contracts with customers, and we do not have other sources of revenue. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. Revenue is recognized net of sales tax, value-added taxes, and other taxes. Shipping and other transportation costs charged to customers are recorded in both revenue and cost of goods sold. We do not have any material significant payment terms as payment is received at or shortly after the point of sale. Certain customers may receive cash-based incentives (including rebates, price supports, and sales commission), which are accounted for as variable consideration. We estimate rebates and price supports based on the expected amount to be provided to customers and reduce revenues recognized once the performance obligation has been met. Sales commissions are recorded as an increase in cost of goods sold once the performance obligation has been met. We do not expect to have significant changes in our estimates for variable considerations. We have deferred revenue of $167.5 million related to contractual commitments with customers for which the performance obligation will be satisfied over time, which currently ranges from one Occasionally, we enter into bill-and-hold contracts, where we invoice the customer for products even though we retain possession of the products until a point in time in the future when the products are shipped to the customer. In these contracts, the primary performance obligation is satisfied at a point in time when the product is segregated from our general inventory, it is ready for shipment to customer, and we do not have the ability to use the product or direct it to another customer. Additionally, we have a secondary performance obligation related to custodial costs, including storage and freight, which is satisfied over time once the product has been delivered to the customer. During the three months ended March 31, 2021 and 2020, we recognized $1.7 million and $4.1 million of revenue related to these bill-and-hold arrangements, respectively. We disaggregate our revenue by segment product lines, which is how we market our products and review results of operations. The following tables disaggregate our segment revenue by major product lines: Three Months Ended March 31, 2021 2020 Polymer Segment (In thousands) Performance Products $ 127,945 $ 118,760 Specialty Polymers 96,739 77,917 Cariflex (1) — 36,930 Isoprene Rubber 15,956 6,859 Other 510 (86) Polymer Product Line Revenue $ 241,150 $ 240,380 ____________________________________________________ (1) Cariflex is included in the results of operations through March 6, 2020. See Note 4 Disposition and Exit of Business Activities for further information on the divestiture of our Cariflex business. Three Months Ended March 31, 2021 2020 Chemical Segment (In thousands) Adhesives $ 71,726 $ 64,895 Performance Chemicals 111,175 110,742 Tires 13,220 11,252 Chemical Product Line Revenue $ 196,121 $ 186,889 March 31, 2021 December 31, 2020 (In thousands) Contract receivables (1) $ 221,272 $ 179,805 Contract liabilities (2) $ 167,515 $ 175,511 ____________________________________________________ (1) Contract receivables are recorded within receivables, net of allowances on our Condensed Consolidated Balance Sheets. (2) Our contract liability consists of $154.9 million of non-cash deferred income related to the IRSA and $10.6 million of non-cash deferred income related to a supply agreement with a significant lubricant additive customer. The impact from currency exchange rates is $2.0 million.

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
	Mar. 31, 2021
Revenue from Contract with Customer [Abstract]
Schedule of disaggregation of revenue	We disaggregate our revenue by segment product lines, which is how we market our products and review results of operations. The following tables disaggregate our segment revenue by major product lines: Three Months Ended March 31, 2021 2020 Polymer Segment (In thousands) Performance Products $ 127,945 $ 118,760 Specialty Polymers 96,739 77,917 Cariflex (1) — 36,930 Isoprene Rubber 15,956 6,859 Other 510 (86) Polymer Product Line Revenue $ 241,150 $ 240,380 ____________________________________________________ (1) Cariflex is included in the results of operations through March 6, 2020. See Note 4 Disposition and Exit of Business Activities for further information on the divestiture of our Cariflex business. Three Months Ended March 31, 2021 2020 Chemical Segment (In thousands) Adhesives $ 71,726 $ 64,895 Performance Chemicals 111,175 110,742 Tires 13,220 11,252 Chemical Product Line Revenue $ 196,121 $ 186,889
Schedule of contract with customer, asset and liability	March 31, 2021 December 31, 2020 (In thousands) Contract receivables (1) $ 221,272 $ 179,805 Contract liabilities (2) $ 167,515 $ 175,511 ____________________________________________________ (1) Contract receivables are recorded within receivables, net of allowances on our Condensed Consolidated Balance Sheets. (2) Our contract liability consists of $154.9 million of non-cash deferred income related to the IRSA and $10.6 million of non-cash deferred income related to a supply agreement with a significant lubricant additive customer. The impact from currency exchange rates is $2.0 million.

Detail of Certain Balance She_2

Detail of Certain Balance Sheet Accounts (Tables)	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Detail of certain balance sheet accounts	March 31, 2021 December 31, 2020 (In thousands) Inventories of products: Finished products $ 261,496 $ 240,021 Work in progress 4,203 3,074 Raw materials 82,875 84,039 Inventories of products, gross 348,574 327,134 Inventory reserves (7,958) (8,249) Total inventories of products, net $ 340,616 $ 318,885 Intangible assets: Contractual agreements $ 263,682 $ 265,375 Technology 146,350 147,011 Customer relationships 60,460 60,623 Tradenames/trademarks 83,614 83,519 Software 69,274 68,276 Intangible assets 623,380 624,804 Less accumulated amortization: Contractual agreements 115,589 110,811 Technology 76,071 74,693 Customer relationships 40,525 40,205 Tradenames/trademarks 55,204 53,951 Software 51,847 50,410 Total accumulated amortization 339,236 330,070 Intangible assets, net of accumulated amortization $ 284,144 $ 294,734 Other payables and accruals: Employee related $ 34,387 $ 52,145 Short-term operating lease liabilities 17,810 18,299 Interest payable 12,797 3,873 Capital project accruals 893 1,149 Customer related 9,654 10,484 Short-term deferred income 26,793 24,182 Income tax payable 30,734 26,367 Utilities payable 3,084 2,886 Property and other taxes 1,643 1,303 Other 25,858 26,676 Total other payables and accruals $ 163,653 $ 167,364 Other long-term liabilities: Pension and other post-retirement benefits $ 125,429 $ 133,634 Long-term tax liability 19,369 19,530 Other 15,871 15,402 Total other long-term liabilities $ 160,669 $ 168,566
Schedule of accumulated other comprehensive income (loss)	Changes in accumulated other comprehensive income (loss) by component were as follows: Cumulative Foreign Currency Translation Cash Flow Hedges, Net of Tax Net Investment Hedges, Net of Tax Benefit Plans Liability, Net of Tax Total (In thousands) December 31, 2019 $ (29,389) $ (2,389) $ 13,624 $ (87,641) $ (105,795) Other comprehensive income (loss) before reclassifications (15,557) 1,387 12,322 — (1,848) Amounts reclassified to (income) expense from accumulated other comprehensive loss (1) 66,533 1,002 (899) — 66,636 Net other comprehensive income (loss) for the year 50,976 2,389 11,423 — 64,788 March 31, 2020 $ 21,587 $ — $ 25,047 $ (87,641) $ (41,007) December 31, 2020 $ 73,575 $ — $ (13,156) $ (98,284) $ (37,865) Other comprehensive income (loss) before reclassifications (20,112) — 11,337 — (8,775) Net other comprehensive income (loss) for the year (20,112) — 11,337 — (8,775) March 31, 2021 $ 53,463 $ — $ (1,819) $ (98,284) $ (46,640) ____________________________________________________ (1) Amounts reclassified to (income) expense from accumulated other comprehensive income (loss) are related to cumulative foreign currency translation and settlement of a net investment hedge, which are recorded in disposition and exit of business activities in the Condensed Consolidated Statement of Operations. Additionally, the settlement of interest rate swaps are recorded in loss on extinguishment of debt in the Condensed Consolidated Statement of Operations. All these costs are in connection with the divestiture of our Cariflex business and subsequent repayments of debt.

Earnings Per Share ("EPS") (Tab

Earnings Per Share ("EPS") (Tables)	3 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Calculations of basic and diluted earnings per share	The calculations of basic and diluted EPS are as follows: Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Net Income Attributable to Kraton Weighted Average Shares Outstanding Earnings Per Share Net Income Attributable to Kraton Weighted Average Shares Outstanding Earnings Per Share (In thousands, except per share data) Basic: As reported $ 33,229 31,970 $ 208,086 31,783 Amounts allocated to unvested restricted shares (44) (42) (1,283) (196) Amounts available to common stockholders 33,185 31,928 $ 1.04 206,803 31,587 $ 6.55 Diluted: Amounts allocated to unvested restricted shares 44 42 1,283 196 Non participating share units — 475 — 362 Stock options added under the treasury stock method — 55 — — Amounts reallocated to unvested restricted shares (43) (42) (1,269) (196) Amounts available to stockholders and assumed conversions $ 33,186 32,458 $ 1.02 $ 206,817 31,949 $ 6.47

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Schedule of long-term debt	Long-term debt consists of the following: March 31, 2021 December 31, 2020 Principal Debt Issuance Costs Total Principal Debt Issuance Costs Total (In thousands) Euro Tranche $ 99,850 $ (900) $ 98,950 $ 104,159 $ (996) $ 103,163 4.25% Senior Notes 400,000 (6,531) 393,469 400,000 (6,995) 393,005 5.25% Senior Notes 340,663 (4,048) 336,615 355,366 (4,221) 351,145 ABL Facility 15,000 — 15,000 — — — KFPC Loan Agreement 34,659 (13) 34,646 52,730 (18) 52,712 KFPC Revolving Facilities 49,112 — 49,112 37,003 — 37,003 Finance lease obligations 3,821 — 3,821 835 — 835 Total debt 943,105 (11,492) 931,613 950,093 (12,230) 937,863 Less current portion of total debt 84,488 — 84,488 72,347 — 72,347 Long-term debt $ 858,617 $ (11,492) $ 847,125 $ 877,746 $ (12,230) $ 865,516
Remaining principal payments on outstanding total debt	The remaining principal payments on our outstanding total debt, including finance leases, as of March 31, 2021, are as follows: Principal Payments (In thousands) April 1, 2021 through March 31, 2022 $ 84,488 April 1, 2022 through March 31, 2023 878 April 1, 2023 through March 31, 2024 1,109 April 1, 2024 through March 31, 2025 1,102 April 1, 2025 through March 31, 2026 514,865 Thereafter 340,663 Total debt $ 943,105

Fair Value Measurements, Fina_2

Fair Value Measurements, Financial Instruments, and Credit Risk (Tables)	3 Months Ended
	Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of financial assets and liabilities accounted for at fair value on a recurring basis	The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2021 and December 31, 2020. These financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, which judgment may affect the valuation of their fair value and placement within the fair value hierarchy levels. As of March 31, 2021 and December 31, 2020, the Company has no assets or liabilities utilizing significant unobservable inputs (or Level 3) to derive its estimated fair values. Fair Value Measurements at Reporting Date Using Balance Sheet Location March 31, 2021 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (In thousands) Retirement plan asset – noncurrent Other long-term asset $ 2,691 $ 2,691 $ — Derivative liability – current Other payables and accruals (1,049) — (1,049) Total $ 1,642 $ 2,691 $ (1,049) Fair Value Measurements at Reporting Date Using Balance Sheet Location December 31, 2020 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs (In thousands) Retirement plan asset – noncurrent Other long-term assets $ 2,454 $ 2,454 $ — Derivative liability – current Other payables and accruals (219) — (219) Total $ 2,235 $ 2,454 $ (219)
Schedule of carrying values and approximate fair values of long-term debt	The following table presents the carrying values and approximate fair values of our long-term debt. March 31, 2021 December 31, 2020 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Euro Tranche (significant other observable inputs – level 2) $ 99,850 $ 99,913 $ 104,159 $ 103,574 4.25% Senior Notes (quoted prices in active market for identical assets – level 1) $ 400,000 $ 401,532 $ 400,000 $ 409,880 5.25% Senior Notes (quoted prices in active market for identical assets – level 1) $ 340,663 $ 352,113 $ 355,366 $ 367,886 ABL Facility $ 15,000 $ 15,000 $ — $ — Finance lease obligations $ 3,821 $ 3,821 $ 835 $ 835 KFPC Loan Agreement $ 34,659 $ 34,659 $ 52,730 $ 52,730 KFPC Revolving Facilities $ 49,112 $ 49,112 $ 37,003 $ 37,003

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Reconciliation of effective tax rates	The provision for income taxes differs from the amount computed by applying the U.S. corporate statutory income tax rate to income (loss) before income taxes for the reasons set forth below. Three Months Ended March 31, 2021 2020 (In thousands) Income taxes at the statutory rate $ (9,104) $ (36,218) State taxes, net of federal benefit (646) (84) Foreign tax rate differential (190) (7,592) Permanent differences (835) (1,240) Cariflex disposition — 13,663 Dutch transfer of assets — 62,785 Tax credits 800 — Uncertain tax positions (136) 2,682 Valuation allowance 892 136 Return to provision adjustments 458 2,420 Income tax benefit (expense) $ (8,761) $ 36,552

Commitments and Contingencies (

Commitments and Contingencies (Tables)	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Schedule of lease, cost	The components of lease cost for operating leases are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Lease cost $ 6,029 $ 6,164 Variable lease cost 256 88 Operating lease expense $ 6,285 $ 6,252 The components of lease cost for finance leases are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Lease amortization $ 311 $ 178 Lease interest 42 14 Finance lease expense $ 353 $ 192
Schedule of lease by asset type	The operating lease liabilities on a discounted basis arising from obtaining ROU assets as of March 31, 2021 were comprised as follows: Leased Asset Class Polymer Chemical Percentage Average Months Remaining on the Lease Weighted Average in Months (In thousands) Railcars $ 2,513 $ 25,249 33.0 % 62 20.3 Buildings 25,861 10,378 43.0 % 30 13.0 Equipment 1,520 5,789 8.7 % 33 2.9 Land 6,946 41 8.3 % 353 29.3 Other 684 5,253 7.0 % 28 2.0 Total $ 37,524 $ 46,710 67.5 The finance lease liabilities on a discounted basis arising from obtaining ROU assets as of March 31, 2021 were comprised as follows: Leased Asset Class Polymer Chemical Percentage Average Months Remaining on the Lease Weighted Average in Months (In thousands) Buildings $ — $ 2,952 77.3 % 46 35.5 Equipment 789 80 22.7 % 53 12.1 Total $ 789 $ 3,032 47.6
Schedule of operating lease, liability, maturity	The following tables show the undiscounted cash flows for the operating lease liabilities. March 31, 2021 (In thousands) April 1, 2021 through December 31, 2021 $ 16,232 2022 17,259 2023 14,916 2024 11,069 2025 8,840 Thereafter 26,936 Total undiscounted operating lease liabilities 95,252 Present value discount (11,010) Foreign currency and other (8) Total discounted operating lease liabilities $ 84,234 December 31, 2020 (In thousands) 2021 $ 21,098 2022 15,992 2023 14,309 2024 10,668 2025 8,605 Thereafter 26,988 Total undiscounted operating lease liabilities 97,660 Present value discount (11,474) Foreign currency and other 11 Total discounted operating lease liabilities $ 86,197
Schedule of finance lease, liability, maturity	The following tables show the undiscounted cash flows for the finance lease liabilities. March 31, 2021 (In thousands) April 1, 2021 through December 31, 2021 $ 250 2022 820 2023 1,010 2024 1,200 2025 968 Thereafter 3 Total undiscounted finance lease liabilities 4,251 Present value discount (429) Foreign currency and other (1) Total discounted finance lease liabilities $ 3,821 December 31, 2020 (In thousands) 2021 $ 232 2022 232 2023 232 2024 232 2025 — Thereafter — Total undiscounted finance lease liabilities 928 Present value discount (92) Foreign currency and other (1) Total discounted finance lease liabilities $ 835
Changes in the aggregate carrying amount of ARO liability	The changes in the aggregate carrying amount of our asset retirement obligations (“ARO”) are as follows: Three Months Ended March 31, 2021 2020 (In thousands) Beginning balance $ 6,332 $ 6,523 Additional accruals 316 — Accretion expense 106 78 Obligations settled (382) (302) Foreign currency translation (232) (102) Ending balance $ 6,140 $ 6,197

Employee Benefits (Tables)

Employee Benefits (Tables)	3 Months Ended
	Mar. 31, 2021
Retirement Benefits [Abstract]
Components of net periodic benefit cost	The components of net periodic benefit cost related to pension benefits are as follows: Three Months Ended March 31, 2021 2020 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans (In thousands) Service cost $ — $ 512 $ 65 $ 442 Interest cost 1,397 311 1,648 420 Expected return on plan assets (2,485) (851) (2,328) (682) Amortization of prior service cost — 5 — 4 Amortization of net actuarial loss 605 262 388 253 Net periodic benefit (income) cost $ (483) $ 239 $ (227) $ 437 The components of net periodic benefit cost related to other post-retirement benefits are as follows: Three Months Ended March 31, 2021 2020 U.S. Plans U.S. Plans (In thousands) Service cost $ 85 $ 85 Interest cost 163 195 Amortization of prior service cost (438) (438) Amortization of net actuarial loss 243 213 Net periodic benefit (income) cost $ 53 $ 55

Industry Segments and Foreign_2

Industry Segments and Foreign Operations (Tables)	3 Months Ended
	Mar. 31, 2021
Segment Reporting [Abstract]
Sales revenue for primary product lines	The following table summarizes our operating results by segment. We do not have sales between segments. Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) Revenue $ 241,150 $ 196,121 $ 437,271 $ 240,380 $ 186,889 $ 427,269 Cost of goods sold 159,165 142,073 301,238 171,649 136,420 308,069 Gross profit 81,985 54,048 136,033 68,731 50,469 119,200 Operating expenses: Research and development 6,912 2,608 9,520 7,725 3,067 10,792 Selling, general, and administrative 22,175 19,104 41,279 29,933 19,125 49,058 Depreciation and amortization 12,824 18,733 31,557 13,347 17,826 31,173 (Gain) loss on disposal of fixed assets 215 89 304 (199) 135 (64) Operating income $ 39,859 $ 13,514 53,373 $ 17,925 $ 10,316 28,241 Other income 808 327 Disposition and exit of business activities — 175,214 Loss on extinguishment of debt — (13,954) Earnings of unconsolidated joint venture 120 101 Interest expense, net (10,947) (17,461) Income before income taxes $ 43,354 $ 172,468
Schedule of assets by segment	The following table presents long-lived assets including goodwill and total assets. March 31, 2021 December 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) Property, plant, and equipment, net $ 518,410 $ 409,671 $ 928,081 $ 523,067 $ 419,636 $ 942,703 Investment in unconsolidated joint venture $ 11,978 $ — $ 11,978 $ 12,723 $ — $ 12,723 Goodwill $ — $ 373,828 $ 373,828 $ — $ 375,061 $ 375,061 Total assets $ 1,129,458 $ 1,336,619 $ 2,466,077 $ 1,104,954 $ 1,356,003 $ 2,460,957
Schedule of goodwill	Changes in goodwill from January 1, 2021 through March 31, 2021 were as follows: Chemical (In thousands) Balance at January 1, 2021 $ 375,061 Foreign currency translation (1,233) Balance at March 31, 2021 $ 373,828 (b) Revenue by Geography
Summary of revenue by geographic region	Following is a summary of revenue by geographic region: Three Months Ended March 31, 2021 Three Months Ended March 31, 2020 Polymer Chemical Total Polymer Chemical Total (In thousands) (In thousands) Revenue: United States $ 82,656 $ 73,494 $ 156,150 $ 85,394 $ 80,581 $ 165,975 Germany 26,728 14,686 41,414 24,433 12,668 37,101 All other countries 131,766 107,941 239,707 130,553 93,640 224,193 $ 241,150 $ 196,121 $ 437,271 $ 240,380 $ 186,889 $ 427,269

Variable Interest Entity (Table

Variable Interest Entity (Tables)	3 Months Ended
	Mar. 31, 2021
Noncontrolling Interest [Abstract]
Summary of carrying amounts of assets and liabilities	The following table summarizes the carrying amounts of assets and liabilities as of March 31, 2021 and December 31, 2020 for KFPC before intercompany eliminations. March 31, 2021 December 31, 2020 (In thousands) Cash and cash equivalents $ 1,561 $ 3,097 Other current assets 20,345 17,304 Property, plant, and equipment, net 146,325 150,838 Intangible assets 7,670 7,959 Long-term operating lease assets, net 6,994 7,178 Other long-term assets 5,647 5,187 Total assets $ 188,542 $ 191,563 Current portion of long-term debt $ 83,758 $ 72,156 Current liabilities 6,825 5,209 Long-term debt — 17,559 Deferred income taxes 652 661 Long-term operating lease liabilities 6,606 6,700 Total liabilities $ 97,841 $ 102,285

General (Details)

General (Details)	3 Months Ended
	Mar. 31, 2021segment
Accounting Policies [Abstract]
Number of operating segments	2
KFPC
Schedule of Equity Method Investments [Line Items]
Percentage of investment in joint venture	50.00%
Styrenic Block Copolymer Joint Venture
Schedule of Equity Method Investments [Line Items]
Percentage of investment in joint venture	50.00%

New Accounting Pronouncements (

New Accounting Pronouncements (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Accounting Changes and Error Corrections [Abstract]
Operating lease, right-of-use asset	$ 82,119	$ 84,042
Total discounted operating lease liabilities	$ 84,234	$ 86,197

Revenue Recognition - Disaggreg

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Disaggregation of Revenue [Line Items]
Contract liabilities	$ 167,515		$ 175,511
Revenue	437,271	$ 427,269
Amortization of deferred income	7,653	3,497
Liability, revenue recognized	1,700	4,100
Contract receivables	221,272		$ 179,805
Polymer
Disaggregation of Revenue [Line Items]
Revenue	241,150	240,380
Polymer | Performance Products
Disaggregation of Revenue [Line Items]
Revenue	127,945	118,760
Polymer | Specialty Polymers
Disaggregation of Revenue [Line Items]
Revenue	96,739	77,917
Liability, revenue recognized	10,600
Effect of exchange rate differences on cash	2,000
Polymer | Specialty Polymers | Cariflex
Disaggregation of Revenue [Line Items]
Amortization of deferred income	7,600	3,400
Liability, revenue recognized	154,900
Polymer | Cariflex
Disaggregation of Revenue [Line Items]
Revenue	0	36,930
Polymer | Isoprene Rubber
Disaggregation of Revenue [Line Items]
Revenue	15,956	6,859
Polymer | Other
Disaggregation of Revenue [Line Items]
Revenue	510	(86)
Chemical
Disaggregation of Revenue [Line Items]
Revenue	196,121	186,889
Chemical | Adhesives
Disaggregation of Revenue [Line Items]
Revenue	71,726	64,895
Chemical | Performance Chemicals
Disaggregation of Revenue [Line Items]
Revenue	111,175	110,742
Chemical | Tires
Disaggregation of Revenue [Line Items]
Revenue	$ 13,220	$ 11,252

Revenue Recognition - Obligatio

Revenue Recognition - Obligation (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01	Mar. 31, 2021
Minimum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligation	1 year
Maximum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligation	9 years

Disposition and Exit of Busin_2

Disposition and Exit of Business Activities - Narrative (Details) $ in Thousands, € in Millions	Mar. 06, 2020USD ($)	Mar. 06, 2020EUR (€)	Mar. 31, 2021USD ($)	Mar. 31, 2020USD ($)	Dec. 31, 2020USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on disposition			$ 0	$ 175,214
Contract liabilities			167,515		$ 175,511
Cash proceeds from disposition and exit of business activities			0	$ 510,500
Secured Debt | Euro Tranche
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Extinguishment of debt	$ 166,800	€ 145
Term Loan | Secured Debt | USD Tranche
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Extinguishment of debt	290,000
Cariflex | Disposed of by Sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Consideration	530,000
Incremental working capital	5,800
Contractual capital contributions	25,300
Gain on disposition			$ 175,200
Contract liabilities	$ 180,600
Performance obligation, optional extension period	5 years	5 years
Cash proceeds from disposition and exit of business activities	$ 510,500
Cariflex | Disposed of by Sale | Other payables and accruals
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contract liabilities	22,400
Cariflex | Disposed of by Sale | Deferred Income
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Contract liabilities	$ 158,200

Disposition and Exit of Busin_3

Disposition and Exit of Business Activities - Obligations (Details)	Mar. 06, 2020
Cariflex | Disposed of by Sale | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-04-01
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Performance obligation	5 years

Share-Based Compensation (Detai

Share-Based Compensation (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Share-based Payment Arrangement [Abstract]
Award requisite service period	3 years
Share-based compensation expense	$ 2.9	$ 2.8

Detail of Certain Balance She_3

Detail of Certain Balance Sheet Accounts - Balance Sheets (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Inventories of products:
Finished products	$ 261,496	$ 240,021
Work in progress	4,203	3,074
Raw materials	82,875	84,039
Inventories of products, gross	348,574	327,134
Inventory reserves	(7,958)	(8,249)
Total inventories of products, net	340,616	318,885
Other payables and accruals:
Employee related	34,387	52,145
Short-term operating lease liabilities	17,810	18,299
Interest payable	12,797	3,873
Capital project accruals	893	1,149
Customer related	9,654	10,484
Short-term deferred income	26,793	24,182
Income tax payable	30,734	26,367
Utilities payable	3,084	2,886
Property and other taxes	1,643	1,303
Other	25,858	26,676
Total other payables and accruals	163,653	167,364
Other long-term liabilities:
Pension and other post-retirement benefits	125,429	133,634
Long-term tax liability	19,369	19,530
Other	15,871	15,402
Total other long-term liabilities	160,669	168,566
Supplemental Balance Sheet Information [Line Items]
Intangible assets	623,380	624,804
Less accumulated amortization	339,236	330,070
Intangible assets, net of accumulated amortization	284,144	294,734
Contractual agreements
Supplemental Balance Sheet Information [Line Items]
Intangible assets	263,682	265,375
Less accumulated amortization	115,589	110,811
Technology
Supplemental Balance Sheet Information [Line Items]
Intangible assets	146,350	147,011
Less accumulated amortization	76,071	74,693
Customer relationships
Supplemental Balance Sheet Information [Line Items]
Intangible assets	60,460	60,623
Less accumulated amortization	40,525	40,205
Tradenames/trademarks
Supplemental Balance Sheet Information [Line Items]
Intangible assets	83,614	83,519
Less accumulated amortization	55,204	53,951
Software
Supplemental Balance Sheet Information [Line Items]
Intangible assets	69,274	68,276
Less accumulated amortization	$ 51,847	$ 50,410

Detail of Certain Balance She_4

Detail of Certain Balance Sheet Accounts - Changes in Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 649,002	$ 789,428
Other comprehensive income (loss) before reclassifications	(8,775)	(1,848)
Amounts reclassified to (income) expense from accumulated other comprehensive loss		66,636
Other comprehensive income (loss), net of tax	(8,775)	64,788
Ending balance	676,322	1,064,999
Cumulative Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	73,575	(29,389)
Other comprehensive income (loss) before reclassifications	(20,112)	(15,557)
Amounts reclassified to (income) expense from accumulated other comprehensive loss		66,533
Other comprehensive income (loss), net of tax	(20,112)	50,976
Ending balance	53,463	21,587
Cash Flow Hedges, Net of Tax
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	0	(2,389)
Other comprehensive income (loss) before reclassifications	0	1,387
Amounts reclassified to (income) expense from accumulated other comprehensive loss		1,002
Other comprehensive income (loss), net of tax	0	2,389
Ending balance	0	0
Net Investment Hedges, Net of Tax
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(13,156)	13,624
Other comprehensive income (loss) before reclassifications	11,337	12,322
Amounts reclassified to (income) expense from accumulated other comprehensive loss		(899)
Other comprehensive income (loss), net of tax	11,337	11,423
Ending balance	(1,819)	25,047
Benefit Plans Liability, Net of Tax
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(98,284)	(87,641)
Other comprehensive income (loss) before reclassifications	0	0
Amounts reclassified to (income) expense from accumulated other comprehensive loss		0
Other comprehensive income (loss), net of tax	0	0
Ending balance	(98,284)	(87,641)
Accumulated Other Comprehensive Income (Loss)
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(37,865)	(105,795)
Ending balance	$ (46,640)	$ (41,007)

Earnings Per Share ("EPS") (Det

Earnings Per Share ("EPS") (Details) - USD ($)	3 Months Ended		16 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Jun. 30, 2020	Feb. 28, 2019
Net Income (Loss) Attributable to Kraton, Basic:
As reported	$ 33,229,000	$ 208,086,000
Amounts allocated to unvested restricted shares	44,000	1,283,000
Amounts available to common stockholders	33,185,000	206,803,000
Net Income Attributable to Kraton, Diluted:
Amounts allocated to unvested restricted shares	44,000	1,283,000
Amounts reallocated to unvested restricted shares	(43,000)	(1,269,000)
Amounts available to stockholders and assumed conversions	$ 33,186,000	$ 206,817,000
Weighted Average Shares Outstanding, Basic:
As reported (in shares)	31,970,000	31,783,000
Amounts allocated to unvested restricted shares (in shares)	(42,000)	(196,000)
Amounts available to common stockholders (in shares)	31,928,000	31,587,000
Weighted Average Shares Outstanding, Diluted:
Amounts allocated to unvested restricted shares (in shares)	(42,000)	(196,000)
Non participating share units (in shares)	475,000	362,000
Stock options added under the treasury stock method (in shares)	55,000	0
Amounts available to stockholders and assumed conversions (in shares)	32,458,000	31,949,000
Earnings per share, basic (in dollars per share)	$ 1.04	$ 6.55
Earnings per share, diluted (in dollars per share)	$ 1.02	$ 6.47
Stock repurchase program, authorized amount				$ 50,000,000
Stock repurchased during period (in shares)	0		311,152
Stock repurchased during period (in dollars per share)	$ 0		$ 32.14
Stock repurchased during period	$ 0		$ 10,000,000

Long-Term Debt - Schedule of Lo

Long-Term Debt - Schedule of Long-Term Debt (Details) $ in Thousands, $ in Millions	Mar. 31, 2021USD ($)	Mar. 31, 2021TWD ($)	Dec. 31, 2020USD ($)	May 31, 2018
Debt Instrument [Line Items]
Total debt	$ 943,105		$ 950,093
Debt Issuance Costs	(11,492)		(12,230)
Total	931,613		937,863
Finance lease obligations	3,821		835
Less current portion of total debt	84,488		72,347
Long-term debt, noncurrent maturities	858,617		877,746
Long-term debt	847,125		865,516
KFPC Revolving Facilities
Debt Instrument [Line Items]
Total debt	49,112	$ 1,400	37,003
Debt Issuance Costs	0		0
Total	49,112		37,003
ABL Facility
Debt Instrument [Line Items]
Total debt	15,000		0
Debt Issuance Costs	0		0
Total	15,000		0
KFPC Loan Agreement
Debt Instrument [Line Items]
Total debt	34,659	$ 1,000	52,730
Debt Issuance Costs	(13)		(18)
Total	34,646		52,712
Term Loan | Euro Tranche
Debt Instrument [Line Items]
Total debt	99,850		104,159
Debt Issuance Costs	(900)		(996)
Total	$ 98,950		103,163
Senior Notes | 4.25% Senior Notes
Debt Instrument [Line Items]
Debt instrument interest rate	4.25%	4.25%
Total debt	$ 400,000		400,000
Debt Issuance Costs	(6,531)		(6,995)
Total	$ 393,469		393,005
Senior Notes | 5.25% Senior Notes
Debt Instrument [Line Items]
Debt instrument interest rate	5.25%	5.25%		5.25%
Total debt	$ 340,663		355,366
Debt Issuance Costs	(4,048)		(4,221)
Total	$ 336,615		$ 351,145

Long-Term Debt - Senior Secured

Long-Term Debt - Senior Secured Term Loan Facility (Details) - Term Loan - Secured Debt - Euro Tranche	Mar. 06, 2020
Debt Instrument [Line Items]
Line of credit facility, fixed interest rate	2.79%
EURIBOR
Debt Instrument [Line Items]
Percentage added to basis	2.00%

Long-Term Debt - Senior Notes (

Long-Term Debt - Senior Notes (Details) - Senior Notes	Mar. 31, 2021USD ($)	Dec. 31, 2020USD ($)	Dec. 31, 2019EUR (€)	May 31, 2018
Europe
Debt Instrument [Line Items]
Face amount | €			€ 290,000,000
4.25% Senior Notes
Debt Instrument [Line Items]
Debt instrument interest rate	4.25%
Face amount		$ 400,000,000
5.25% Senior Notes
Debt Instrument [Line Items]
Debt instrument interest rate	5.25%			5.25%
Face amount	$ 340,700,000

Long-Term Debt - ABL Facility (

Long-Term Debt - ABL Facility (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020	Jan. 31, 2016
Debt Instrument [Line Items]
Outstanding amount	$ 943,105,000	$ 950,093,000
ABL Facility
Debt Instrument [Line Items]
Outstanding amount	15,000,000	$ 0
Revolving Credit Facility | ABL Facility
Debt Instrument [Line Items]
Credit facility, borrowing capacity			$ 300,000,000
Right of maximum additional commitments			$ 100,000,000
Revolving Credit Facility | ABL Facility | Nederland
Debt Instrument [Line Items]
Right of maximum additional commitments	$ 100,000,000

Long-Term Debt - KFPC Debt (Det

Long-Term Debt - KFPC Debt (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)facility	Mar. 31, 2021TWD ($)facility	Dec. 31, 2020USD ($)
Debt Instrument [Line Items]
Outstanding amount | $	$ 943,105		$ 950,093
KFPC Revolving Facilities
Debt Instrument [Line Items]
Outstanding amount	49,112	$ 1,400,000,000	37,003
KFPC Loan Agreement
Debt Instrument [Line Items]
Outstanding amount	$ 34,659	$ 1,000,000,000	$ 52,730
Interest rate during period	1.80%
Number of debt instruments | facility	4	4
Credit facility, borrowing capacity	$ 87,600	$ 2,500,000,000

Long-Term Debt - Debt Issuance

Long-Term Debt - Debt Issuance Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Debt Instrument [Line Items]
Net debt issuance cost	$ 13,600
Debt issuance costs	11,500
Amortization of debt issuance costs	809	$ 1,031
ABL Facility
Debt Instrument [Line Items]
Debt issuance costs	2,100
ABL Facility | Other current assets
Debt Instrument [Line Items]
Debt issuance costs	$ 500

Long-Term Debt - Remaining Prin

Long-Term Debt - Remaining Principal Payments on Outstanding Total Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Debt Disclosure [Abstract]
April 1, 2021 through March 31, 2022	$ 84,488
April 1, 2022 through March 31, 2023	878
April 1, 2023 through March 31, 2024	1,109
April 1, 2024 through March 31, 2025	1,102
April 1, 2025 through March 31, 2026	514,865
Thereafter	340,663
Total debt	$ 943,105	$ 950,093

Fair Value Measurements, Fina_3

Fair Value Measurements, Financial Instruments, and Credit Risk - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value Measurements at Reporting Date Using - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total	$ 1,642	$ 2,235
Other long-term assets
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Retirement plan asset – noncurrent	2,691	2,454
Other payables and accruals
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Derivative liability – current	(1,049)	(219)
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total	2,691	2,454
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other long-term assets
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Retirement plan asset – noncurrent	2,691	2,454
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other payables and accruals
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Derivative liability – current	0	0
Significant Other Observable Inputs (Level 2)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total	(1,049)	(219)
Significant Other Observable Inputs (Level 2) | Other long-term assets
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Retirement plan asset – noncurrent	0	0
Significant Other Observable Inputs (Level 2) | Other payables and accruals
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Derivative liability – current	$ (1,049)	$ (219)

Fair Value Measurements, Fina_4

Fair Value Measurements, Financial Instruments, and Credit Risk - Carrying Values and Approximate Fair Values of Long-Term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Carrying Value | KFPC Revolving Facilities
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	$ 49,112	$ 37,003
Carrying Value | ABL Facility
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	15,000	0
Carrying Value | KFPC Loan Agreement
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	34,659	52,730
Carrying Value | Finance lease obligations
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	3,821	835
Carrying Value | Significant Other Observable Inputs (Level 2) | Term Loan | Euro Tranche
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	99,850	104,159
Carrying Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Notes | 4.25% Senior Notes
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	400,000	400,000
Carrying Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Notes | 5.25% Senior Notes
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	340,663	355,366
Fair Value | KFPC Revolving Facilities
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	49,112	37,003
Fair Value | ABL Facility
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	15,000	0
Fair Value | KFPC Loan Agreement
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	34,659	52,730
Fair Value | Finance lease obligations
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	3,821	835
Fair Value | Significant Other Observable Inputs (Level 2) | Term Loan | Euro Tranche
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	99,913	103,574
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Notes | 4.25% Senior Notes
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	401,532	409,880
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Notes | 5.25% Senior Notes
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Long-term debt	$ 352,113	$ 367,886

Fair Value Measurements, Fina_5

Fair Value Measurements, Financial Instruments, and Credit Risk - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Jan. 03, 2017
Derivative [Line Items]
Notional amount			$ 925.4
Europe
Derivative [Line Items]
Mark to market gain recorded in accumulated other comprehensive loss	$ 14.7	$ 6.5
Interest Rate Swap
Derivative [Line Items]
Loses on interest rate swaps		(1.3)
Foreign Currency Hedges
Derivative [Line Items]
Aggregate gain (loss) on settlement of hedges	$ (1.6)	$ 0.2

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ (8,761)	$ 36,552
Tax rate differed from U.S. corporate statutory tax rate	21.00%
Valuation allowance for deferred tax assets	$ 38,600		$ 39,500
Unrecognized tax benefits	8,700		$ 8,800
Decrease in unrecognized tax benefits	$ (100)	$ (2,900)

Income Taxes - Reconciliation o

Income Taxes - Reconciliation of Effective Tax Rate, Amount (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Effective Income Tax Rate Reconciliation, Amount [Abstract]
Income taxes at the statutory rate	$ (9,104)	$ (36,218)
State taxes, net of federal benefit	(646)	(84)
Foreign tax rate differential	(190)	(7,592)
Permanent differences	(835)	(1,240)
Cariflex disposition	0	13,663
Dutch transfer of assets	0	62,785
Tax credits	800	0
Uncertain tax positions	(136)	2,682
Valuation allowance	892	136
Return to provision adjustments	458	2,420
Income tax benefit (expense)	$ (8,761)	$ 36,552

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details) $ in Thousands, R$ in Millions	Mar. 31, 2021BRL (R$)	Mar. 31, 2021USD ($)	Dec. 31, 2020USD ($)	Mar. 31, 2020USD ($)	Dec. 31, 2019USD ($)
Loss Contingencies [Line Items]
Operating lease, discount rate, percent			3.66%
Finance lease, discount rate, percent			4.59%
Tax credits generated from purchase of certain goods	R$ 10.2	$ 1,800
Asset Retirement Obligation		6,140	$ 6,332	$ 6,197	$ 6,523
Europe
Loss Contingencies [Line Items]
Asset Retirement Obligation		$ 300

Commitments and Contingencies_2

Commitments and Contingencies - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Lease cost	$ 6,029	$ 6,164
Variable lease cost	256	88
Operating lease expense	6,285	6,252
Lease amortization	311	178
Lease interest	42	14
Finance lease expense	$ 353	$ 192

Commitments and Contingencies_3

Commitments and Contingencies - Leased Assets Class (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Operating Lease]
Operating Lease Liability	$ 84,234	$ 86,197
Weighted Average in Months	67 months 15 days
Finance Lease
Finance Lease Liability	$ 3,821	$ 835
Weighted Average in Months	47 months 18 days
Railcars
Operating Lease]
Average Months Remaining on the Lease	62 months
Weighted Average in Months	20 months 9 days
Buildings
Operating Lease]
Average Months Remaining on the Lease	30 months
Weighted Average in Months	13 months
Finance Lease
Average Months Remaining on the Lease	46 months
Weighted Average in Months	35 months 15 days
Equipment
Operating Lease]
Average Months Remaining on the Lease	33 months
Weighted Average in Months	2 months 27 days
Finance Lease
Average Months Remaining on the Lease	53 months
Weighted Average in Months	12 months 3 days
Land
Operating Lease]
Average Months Remaining on the Lease	353 months
Weighted Average in Months	29 months 9 days
Other
Operating Lease]
Average Months Remaining on the Lease	28 months
Weighted Average in Months	2 months
Operating Lease, Concentration Risk | Operating Lease Liability | Railcars
Operating Lease]
Percentage	33.00%
Operating Lease, Concentration Risk | Operating Lease Liability | Buildings
Operating Lease]
Percentage	43.00%
Operating Lease, Concentration Risk | Operating Lease Liability | Equipment
Operating Lease]
Percentage	8.70%
Operating Lease, Concentration Risk | Operating Lease Liability | Land
Operating Lease]
Percentage	8.30%
Operating Lease, Concentration Risk | Operating Lease Liability | Other
Operating Lease]
Percentage	7.00%
Finance Lease, Concentration Risk | Finance lease obligations | Buildings
Operating Lease]
Percentage	77.30%
Finance Lease, Concentration Risk | Finance lease obligations | Equipment
Operating Lease]
Percentage	22.70%
Polymer
Operating Lease]
Operating Lease Liability	$ 37,524
Finance Lease
Finance Lease Liability	789
Polymer | Railcars
Operating Lease]
Operating Lease Liability	2,513
Polymer | Buildings
Operating Lease]
Operating Lease Liability	25,861
Finance Lease
Finance Lease Liability	0
Polymer | Equipment
Operating Lease]
Operating Lease Liability	1,520
Finance Lease
Finance Lease Liability	789
Polymer | Land
Operating Lease]
Operating Lease Liability	6,946
Polymer | Other
Operating Lease]
Operating Lease Liability	684
Chemical
Operating Lease]
Operating Lease Liability	46,710
Finance Lease
Finance Lease Liability	3,032
Chemical | Railcars
Operating Lease]
Operating Lease Liability	25,249
Chemical | Buildings
Operating Lease]
Operating Lease Liability	10,378
Finance Lease
Finance Lease Liability	2,952
Chemical | Equipment
Operating Lease]
Operating Lease Liability	5,789
Finance Lease
Finance Lease Liability	80
Chemical | Land
Operating Lease]
Operating Lease Liability	41
Chemical | Other
Operating Lease]
Operating Lease Liability	$ 5,253

Commitments and Contingencies_4

Commitments and Contingencies - Operating Lease Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
April 1, 2021 through December 31, 2021	$ 16,232
2022	17,259	$ 21,098
2023	14,916	15,992
2024	11,069	14,309
2025	8,840	10,668
Thereafter	26,936
2025		8,605
Thereafter		26,988
Total undiscounted operating lease liabilities	95,252	97,660
Present value discount	(11,010)	(11,474)
Foreign currency and other	(8)	11
Total discounted operating lease liabilities	$ 84,234	$ 86,197

Commitments and Contingencies_5

Commitments and Contingencies - Finance Lease Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
April 1, 2021 through December 31, 2021	$ 250
2022	820	$ 232
2023	1,010	232
2024	1,200	232
2025	968	232
Thereafter	3
2025		0
Thereafter		0
Total undiscounted finance lease liabilities	4,251	928
Present value discount	(429)	(92)
Foreign currency and other	(1)	(1)
Total discounted finance lease liabilities	$ 3,821	$ 835

Commitments and Contingencies_6

Commitments and Contingencies - Changes in Aggregate Carrying Amount of Asset Retirement Obligation Liability (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Beginning balance	$ 6,332	$ 6,523
Additional accruals	316	0
Accretion expense	106	78
Obligations settled	(382)	(302)
Foreign currency translation	(232)	(102)
Ending balance	$ 6,140	$ 6,197

Employee Benefits - Components

Employee Benefits - Components of Net Periodic Benefit Cost Related to U.S Pension Benefits (Details) - Pension Plan - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
U.S. Plans
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 0	$ 65
Interest cost	1,397	1,648
Expected return on plan assets	(2,485)	(2,328)
Amortization of prior service cost	0	0
Amortization of net actuarial loss	605	388
Net periodic benefit (income) cost	(483)	(227)
Non-U.S. Plans
Defined Benefit Plan Disclosure [Line Items]
Service cost	512	442
Interest cost	311	420
Expected return on plan assets	(851)	(682)
Amortization of prior service cost	5	4
Amortization of net actuarial loss	262	253
Net periodic benefit (income) cost	$ 239	$ 437

Employee Benefits - Additional

Employee Benefits - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Pension Plan
Defined Benefit Plan Disclosure [Line Items]
Employer contributions	$ 6.9	$ 3.3
Other Postretirement Benefits Plan
Defined Benefit Plan Disclosure [Line Items]
Employer contributions	$ 0.4	$ 0.7

Employee Benefits - Component_2

Employee Benefits - Components of Net Periodic Cost Related to Other Post-Retirement Benefits (Details) - Other Postretirement Benefits Plan - U.S. Plans - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 85	$ 85
Interest cost	163	195
Amortization of prior service cost	(438)	(438)
Amortization of net actuarial loss	243	213
Net periodic benefit (income) cost	$ 53	$ 55

Industry Segments and Foreign_3

Industry Segments and Foreign Operations - Additional Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)segment	Mar. 31, 2020USD ($)
Segment Reporting [Abstract]
Number of operating segments | segment	2
Segment Reporting Information [Line Items]
Capital expenditures	$ 22,425	$ 17,446
Chemical
Segment Reporting Information [Line Items]
Capital expenditures	6,900	7,200
Polymer
Segment Reporting Information [Line Items]
Capital expenditures	$ 15,500	$ 10,300

Industry Segments and Foreign_4

Industry Segments and Foreign Operations - Sales Revenue by Product Groups (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Segment Reporting Information [Line Items]
Revenue	$ 437,271	$ 427,269
Cost of goods sold	301,238	308,069
Gross profit	136,033	119,200
Operating expenses:
Research and development	9,520	10,792
Selling, general, and administrative	41,279	49,058
Depreciation and amortization	31,557	31,173
(Gain) loss on disposal of fixed assets	304	(64)
Operating income	53,373	28,241
Other income	808	327
Disposition and exit of business activities	0	175,214
Loss on extinguishment of debt	0	(13,954)
Earnings of unconsolidated joint venture	120	101
Interest expense, net	(10,947)	(17,461)
Income before income taxes	43,354	172,468
Polymer
Segment Reporting Information [Line Items]
Revenue	241,150	240,380
Cost of goods sold	159,165	171,649
Gross profit	81,985	68,731
Operating expenses:
Research and development	6,912	7,725
Selling, general, and administrative	22,175	29,933
Depreciation and amortization	12,824	13,347
(Gain) loss on disposal of fixed assets	215	(199)
Operating income	39,859	17,925
Chemical
Segment Reporting Information [Line Items]
Revenue	196,121	186,889
Cost of goods sold	142,073	136,420
Gross profit	54,048	50,469
Operating expenses:
Research and development	2,608	3,067
Selling, general, and administrative	19,104	19,125
Depreciation and amortization	18,733	17,826
(Gain) loss on disposal of fixed assets	89	135
Operating income	$ 13,514	$ 10,316

Industry Segments and Foreign_5

Industry Segments and Foreign Operations - Long-lived Assets Including Goodwill and Total Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Segment Reporting Information [Line Items]
Property, plant, and equipment, net	$ 928,081	$ 942,703
Investment in unconsolidated joint venture	11,978	12,723
Goodwill	373,828	375,061
Total assets	2,466,077	2,460,957
Polymer
Segment Reporting Information [Line Items]
Property, plant, and equipment, net	518,410	523,067
Investment in unconsolidated joint venture	11,978	12,723
Goodwill	0	0
Total assets	1,129,458	1,104,954
Chemical
Segment Reporting Information [Line Items]
Property, plant, and equipment, net	409,671	419,636
Investment in unconsolidated joint venture	0	0
Goodwill	373,828	375,061
Total assets	$ 1,336,619	$ 1,356,003

Industry Segments and Foreign_6

Industry Segments and Foreign Operations - Goodwill (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)
Goodwill [Roll Forward]
Balance at January 1, 2021	$ 375,061
Balance at March 31, 2021	373,828
Polymer
Goodwill [Roll Forward]
Balance at January 1, 2021	0
Balance at March 31, 2021	0
Chemical
Goodwill [Roll Forward]
Balance at January 1, 2021	375,061
Foreign currency translation	(1,233)
Balance at March 31, 2021	$ 373,828

Industry Segments and Foreign_7

Industry Segments and Foreign Operations - Sales Revenue by Geographic Region (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	$ 437,271	$ 427,269
United States
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	156,150	165,975
Germany
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	41,414	37,101
All other countries
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	239,707	224,193
Polymer
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	241,150	240,380
Polymer | United States
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	82,656	85,394
Polymer | Germany
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	26,728	24,433
Polymer | All other countries
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	131,766	130,553
Chemical
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	196,121	186,889
Chemical | United States
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	73,494	80,581
Chemical | Germany
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	14,686	12,668
Chemical | All other countries
Segment Reporting Revenue Reconciling Item [Line Items]
Revenue	$ 107,941	$ 93,640

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Variable Interest Entity, Primary Beneficiary | KFPC
Related Party Transaction [Line Items]
Outstanding payables	$ 0.6		$ 2.3
Variable interest entity, ownership percentage	50.00%
Purchases from related party	$ 11.3	$ 14
Styrenic Block Copolymer Joint Venture
Related Party Transaction [Line Items]
Percentage of equity investment	50.00%
Outstanding payables	$ 15.7		$ 14.8
Related party liability	$ 8	$ 9.1

Variable Interest Entity - Addi

Variable Interest Entity - Additional Information (Details)	3 Months Ended
	Mar. 31, 2021kt
KFPC | Variable Interest Entity, Primary Beneficiary
Variable Interest Entity [Line Items]
Variable interest entity, ownership percentage	50.00%
Minimum purchase commitment of plant production (as a percent)	80.00%
Joint venture | Taiwan | Formosa Petrochemical Corporation
Variable Interest Entity [Line Items]
Capacity of HSBC plant	30

Variable Interest Entity - Summ

Variable Interest Entity - Summary of Carrying Amounts of Assets and Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Noncontrolling Interest [Line Items]
Cash and cash equivalents	$ 60,781	$ 85,901
Other current assets	17,167	15,338
Property, plant, and equipment, net	928,081	942,703
Intangible assets	284,144	294,734
Long-term operating lease assets, net	82,119	84,042
Other long-term assets	21,451	21,770
Total assets	2,466,077	2,460,957
Long-term debt, net of current portion	847,125	865,516
Current liabilities	442,777	433,087
Long-term debt	931,613	937,863
Deferred income taxes	131,469	125,559
Long-term operating lease liabilities	66,424	67,898
Total liabilities	1,789,755	1,811,955
KFPC
Noncontrolling Interest [Line Items]
Cash and cash equivalents	1,561	3,097
Other current assets	20,345	17,304
Property, plant, and equipment, net	146,325	150,838
Intangible assets	7,670	7,959
Long-term operating lease assets, net	6,994	7,178
Other long-term assets	5,647	5,187
Total assets	188,542	191,563
Long-term debt, net of current portion	83,758	72,156
Current liabilities	6,825	5,209
Long-term debt	0	17,559
Deferred income taxes	652	661
Long-term operating lease liabilities	6,606	6,700
Total liabilities	$ 97,841	$ 102,285