Hexion (HXOH) 10-Q 14 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	9 Months Ended
	Sep. 30, 2016	Nov. 01, 2016
Document Information [Line Items]
Entity Registrant Name	Hexion Inc.
Entity Central Index Key	13,239
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		82,556,847

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Current assets
Cash and cash equivalents (including restricted cash of $19 and $8, respectively)	$ 145	$ 236
Accounts receivable (net of allowance for doubtful accounts of $14 and $15, respectively)	498	450
Inventories:
Finished and in-process goods	221	218
Raw materials and supplies	98	90
Other current assets	80	53
Total current assets	1,042	1,047
Investment in unconsolidated entities	17	36
Deferred income taxes	10	13
Other assets, net	43	48
Property and equipment
Land	80	84
Buildings	277	296
Machinery and equipment	2,368	2,406
Property, plant and equipment, gross	2,725	2,786
Less accumulated depreciation	(1,833)	(1,735)
Property, plant and equipment, net	892	1,051
Goodwill	124	122
Other intangible assets, net	56	65
Total assets	2,184	2,382
Current liabilities
Accounts and drafts payable	311	386
Debt payable within one year	69	80
Interest payable	96	82
Income taxes payable	24	15
Accrued payroll and incentive compensation	58	78
Other current liabilities	160	123
Total current liabilities	718	764
Long-term liabilities
Long-term debt	3,475	3,698
Long-term pension and post employment benefit obligations	224	224
Deferred income taxes	14	12
Other long-term liabilities	164	161
Total liabilities	4,595	4,859
Commitments and contingencies (see Note 7)
Deficit
Common stock—$0.01 par value; 300,000,000 shares authorized, 170,605,906 issued and 82,556,847 outstanding at September 30, 2016 and December 31, 2015	1	1
Paid-in capital	526	526
Treasury stock, at cost—88,049,059 shares	(296)	(296)
Accumulated other comprehensive income	(8)	(15)
Accumulated deficit	(2,633)	(2,692)
Total Hexion Inc. shareholder’s deficit	(2,410)	(2,476)
Noncontrolling interest	(1)	(1)
Total deficit	(2,411)	(2,477)
Total liabilities and deficit	$ 2,184	$ 2,382

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Cash and Cash Equivalents
restricted cash	$ 19	$ 8
Accounts Receivable
net allowance for doubtful accounts	$ 14	$ 15
Common Stock
par value	$ 0.01	$ 0.01
shares authorized	300,000,000	300,000,000
shares issued	170,605,906	170,605,906
shares outstanding	82,556,847	82,556,847
Treasury stock, shares	88,049,059	88,049,059

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net sales	$ 819	$ 1,065	$ 2,680	$ 3,231
Cost of sales	701	905	2,357	2,753
Gross profit	118	160	323	478
Selling, general and administrative expense	69	71	235	229
Gain (Loss) on Disposition of Business	0	0	(240)	0
Business realignment costs	(3)	3	42	11
Other operating expense (income), net	7	12	6	22
Operating income	45	74	280	216
Interest expense, net	76	84	235	245
Gain on extinguishment of debt	(3)	(14)	(47)	(14)
Other non-operating expense (income), net	2	0	1	(1)
(Loss) income before income tax and (losses) earnings from unconsolidated entities	(30)	4	91	(14)
Income tax expense	16	1	40	28
(Loss) income before (losses) earnings from unconsolidated entities	(46)	3	51	(42)
(Losses) earnings from unconsolidated entities, net of taxes	(1)	4	8	13
Net (loss) income	$ (47)	$ 7	$ 59	$ (29)

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net (loss) income	$ (47)	$ 7	$ 59	$ (29)
Other comprehensive (loss) income, net of tax:
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	7	(24)	8	(73)
Gain recognized from pension and postretirement benefits	0	0	(1)	0
Other comprehensive income (loss)	7	(24)	7	(73)
Comprehensive income (loss)	$ (40)	$ (17)	$ 66	$ (102)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows provided by (used in) operating activities
Net (loss) income	$ 59	$ (29)
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	101	102
Accelerated depreciation	127	0
Deferred tax benefit	3	2
Gain on step acquisition	0	5
Gain on dispositions (see Notes 12 and 13)	(240)	0
Gain on extinguishment of debt (see Note 6)	(47)	(14)
Unrealized foreign currency losses	40	19
Other non-cash adjustments	3	3
Net change in assets and liabilities:
Accounts receivable	88	(30)
Inventories	32	14
Accounts and drafts payable	(35)	(25)
Income taxes payable	26	10
Other assets, current and non-current	27	13
Other liabilities, current and long-term	59	6
Net cash provided by (used in) operating activities	(131)	66
Cash flows provided by (used in) investing activities
Net cash (used in) provided by investing activities	223	(114)
Capital expenditures	(91)	(122)
Capitalized interest	(1)	0
Purchase of business, net of cash acquired	0	(7)
Proceeds from dispositions, net	281	0
Cash received on buyer’s note (see Note 12)	45	0
Proceeds from sale of assets	1	1
Proceeds from sale of investments, net	0	6
Change in restricted cash	(11)	8
Investment in affiliate	(1)	0
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	(13)	(1)
Borrowings of long-term debt	461	492
Repayments of long-term debt	(643)	(393)
Long-term debt and credit facility financing fees	0	(10)
Net cash provided by financing activities	195	(88)
Effect of exchange rates on cash and cash equivalents	1	(9)
(Decrease) increase in cash and cash equivalents	(102)	31
Cash and cash equivalents (unrestricted) at beginning of period	228	156
Cash and cash equivalents (unrestricted) at end of period	126	187
Supplemental disclosures of cash flow information
Interest, net	210	214
Income taxes, net of cash refunds	20	12
Non-cash assumption of debt on step acquisition	0	18
Acceptance of buyer’s note (see Note 12)	$ 75	$ 0

Condensed Consolidated Stateme7

Condensed Consolidated Statement of Equity (Deficit) - 9 months ended Sep. 30, 2016 - USD ($) $ in Millions	Total	Common Stock [Member]	Paid-in Capital [Member]	Treasury Stock [Member]	Accumulated Other Comprehensive Income [Member]	Accumulated Deficit [Member]	Parent [Member]	Noncontrolling Interest [Member]
Balance at Dec. 31, 2015	$ (2,477)	$ 1	$ 526	$ (296)	$ (15)	$ (2,692)	$ (2,476)	$ (1)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	59	0	0	0	0	59	59	0
Other comprehensive income	7	0	0	0	7	0	7	0
Balance at Sep. 30, 2016	$ (2,411)	$ 1	$ 526	$ (296)	$ (8)	$ (2,633)	$ (2,410)	$ (1)

Background and Basis of Present

Background and Basis of Presentation	9 Months Ended
	Sep. 30, 2016
Background and Basis of Presentation [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	Background and Basis of Presentation Based in Columbus, Ohio, Hexion Inc. (“Hexion” or the “Company”) serves global industrial markets through a broad range of thermoset technologies, specialty products and technical support for customers in a diverse range of applications and industries. The Company’s business is organized based on the products offered and the markets served. At September 30, 2016 , the Company had two reportable segments: Epoxy, Phenolic and Coating Resins and Forest Products Resins. The Company’s direct parent is Hexion LLC, a holding company and wholly owned subsidiary of Hexion Holdings LLC (“Hexion Holdings”), the ultimate parent entity of Hexion. Hexion Holdings is controlled by investment funds managed by affiliates of Apollo Management Holdings, L.P. (together with Apollo Global Management, LLC and its subsidiaries, “Apollo”). Apollo may also be referred to as the Company’s owner. The unaudited Condensed Consolidated Financial Statements include the accounts of the Company, its majority-owned subsidiaries in which minority shareholders hold no substantive participating rights and variable interest entities in which the Company is the primary beneficiary. Intercompany accounts and transactions are eliminated in consolidation. In the opinion of management, all adjustments consisting of normal, recurring adjustments considered necessary for a fair statement have been included. Results for the interim periods are not necessarily indicative of results for the entire year. Year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America (“U.S. GAAP”). Pursuant to the rules and regulations of the Securities and Exchange Commission, certain information and disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and the accompanying notes included in the Company’s most recent Annual Report on Form 10-K.

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	Summary of Significant Accounting Policies Use of Estimates —The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and also requires the disclosure of contingent assets and liabilities at the date of the financial statements. In addition, it requires management to make estimates and assumptions that affect the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Subsequent Events —The Company has evaluated events and transactions subsequent to September 30, 2016 through the date of issuance of its unaudited Condensed Consolidated Financial Statements. Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Board Update No. 2014-09: Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 supersedes the existing revenue recognition guidance and most industry-specific guidance applicable to revenue recognition. According to the new guidance, an entity will apply a principles-based five step model to recognize revenue upon the transfer of promised goods or services to customers and in an amount that reflects the consideration for which the entity expects to be entitled in exchange for those goods or services. The effective date for ASU 2014-09 is for annual and interim periods beginning on or after December 15, 2017, and early adoption will be permitted for annual and interim periods beginning on or after December 15, 2016. Entities will have the option of using either a full retrospective approach or a modified approach to adopt the guidance in ASU 2014-09. The Company is currently assessing the potential impact of ASU 2014-09 on its financial statements. In July 2015, the FASB issued Accounting Standards Board Update No. 2015-11: Simplifying the Measurement of Inventory (Topic 330) (“ASU 2015-11”) as part of the FASB simplification initiative. ASU 2015-11 replaces the existing concept of market value of inventory (where market was defined as replacement cost, with a ceiling of net realizable value and floor of net realizable value less a normal profit margin) with the single measurement of net realizable value. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period. The requirements of ASU 2015-11 are not expected to have a significant impact on the Company’s financial statements. In February 2016, the FASB issued Accounting Standards Board Update No. 2016-02: Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 supersedes the existing lease guidance in Topic 840. According to the new guidance, all leases, with limited scope exceptions, will be recorded on the balance sheet in the form of a liability to make lease payments (lease liability) and a right-of-use asset representing the right to use the underlying asset for the lease term. The guidance is effective for annual and interim periods beginning on or after December 15, 2018, and early adoption is permitted. Entities will be required to adopt ASU 2016-02 using a modified retrospective approach, whereby leases will be recognized and measured at the beginning of the earliest period presented. The Company is currently assessing the potential impact of ASU 2016-02 on its financial statements. In March 2016, the FASB issued Accounting Standards Board Update No. 2016-07: Simplifying the Transition to the Equity Method of Accounting (Topic 323) (“ASU 2016-07”) as part of the FASB simplification initiative. ASU 2016-07 eliminates the requirement that when an existing investment qualifies for use of the equity method, an investor adjust the investment, results of operations and retained earnings retroactively as if the equity method has been in effect in all previous periods that the investment had been held. Under the new guidance, the equity method investor is only required to adopt the equity method as of the date the investment qualifies for the equity method, with no retrospective adjustment required. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, and early adoption is permitted. The requirements of ASU 2016-07 are not expected to have a significant impact on the Company’s financial statements. In March 2016, the FASB issued Accounting Standards Board Update No. 2016-09: Improvements to Employee Share-Based Payment Accounting (Topic 718) (“ASU 2016-09”) as part of the FASB simplification initiative. ASU 2016-09 simplifies various aspects of share-based payment accounting, including the income tax consequences, classification of equity awards as either equity or liabilities and classification on the statement of cash flows. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, and early adoption is permitted. The requirements of ASU 2016-09 are not expected to have a significant impact on the Company’s financial statements. In August 2016, the FASB issued Accounting Standards Board Update No. 2016-15: Statement of Cash Flows (Topic 230) (“ASU 2016-15”) as part of the FASB simplification initiative. ASU 2016-15 provides guidance on treatment in the statement of cash flows for eight specific cash flow topics, with the objective of reducing existing diversity in practice. Of the eight cash flow topics addressed in the new guidance, the topics expected to have an impact on the Company include debt prepayment or debt extinguishment costs, proceeds from the settlement of insurance claims, treatment of restricted cash and distributions received from equity method investees. The guidance is effective for annual periods beginning after December 15, 2017, including interim periods within that reporting period, and early adoption is permitted. The Company is currently assessing the potential impact of ASU 2016-15 on its financial statements.

Restructuring (Notes)

Restructuring (Notes)	9 Months Ended
	Sep. 30, 2016
Restructuring and Related Activities [Abstract]
Restructuring and Related Activities Disclosure [Text Block]	Business Realignment Costs Norco In the first quarter of 2016, the Company announced a planned rationalization at its Norco, LA manufacturing facility within its Epoxy, Phenolic and Coating Resins segment, and production was ceased at this facility during the second quarter of 2016. During the three months ended June 30, 2016, Company recorded costs of $25 related to the early termination of certain contracts for utilities, site services, raw materials and other items related to this facility rationalization. During the three months ended September 30, 2016, these costs were reduced by $2 based on updated cost estimates and negotiations with vendors, resulting in total costs of $23 for these items during the nine months ended September 30, 2016. These costs are included in “Business realignment (income) costs” in the unaudited Condensed Consolidated Statements of Operations. As of September 30, 2016, $19 of these costs were included in “Other current liabilities” in the unaudited Condensed Consolidated Balance Sheets and $2 were included in “Other long-term liabilities.” As a result of the Norco, LA facility rationalization, the estimated useful lives of certain long-lived assets related to this facility were shortened, and consequently, during the nine months ended September 30, 2016, the Company incurred $76 of accelerated depreciation related to these assets, which is included in “Cost of sales” in the unaudited Condensed Consolidated Statements of Operations. In addition, at June 30, 2016 the Company recorded a conditional asset retirement obligation (“ARO”) of $30 related to certain contractually obligated future demolition, decontamination and repair costs associated with this facility rationalization. During the nine months ended September 30, 2016, the Company recorded an additional $30 of accelerated depreciation related to this ARO, which is also included in “Cost of sales” in the unaudited Condensed Consolidated Statements of Operations. During the three months ended September 30, 2016, this ARO liability was reduced by $11 as a result of revised cost estimates, primarily due to a reduction in the scope of expected future demolition. This $11 reduction in costs is included in “Business realignment (income) costs” in the unaudited Condensed Consolidated Statements of Operations for both the three and nine months ended September 30, 2016. As of September 30, 2016, $14 of the ARO liability was included in “Other current liabilities” in the unaudited Condensed Consolidated Balance Sheets and $2 was included in “Other long-term liabilities.” Lastly, during the three and nine months ended September 30, 2016, the Company incurred additional costs of $3 and $13 , respectively, related to abnormal production overhead, severance and other expenses to the facility closure. These costs are included in “Business realignment (income) costs” in the unaudited Condensed Consolidated Statements of Operations. Oilfield In addition, during the third quarter of 2016, the Company indefinitely idled two oilfield manufacturing facilities within its Epoxy, Phenolic and Coating Resins segment, and production was ceased at these facilities. As a result, the estimated useful lives of certain long-lived assets related to these facilities were shortened, and consequently, during the three months ended September 30, 2016, the Company incurred $21 of accelerated depreciation related to these assets, which is included in “Cost of sales” in the unaudited Condensed Consolidated Statements of Operations. Other Also included within “Business realignment (income) costs” in the unaudited Condensed Consolidated Statements of Operations for both the three and nine months ended September 30, 2016 are miscellaneous severance, environmental and other costs related to certain in-process cost reduction programs.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2016
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	Related Party Transactions Administrative Service, Management and Consulting Arrangement The Company is subject to a Management Consulting Agreement with Apollo (the “Management Consulting Agreement”) that renews on an annual basis, unless notice to the contrary is given by either party. Under the Management Consulting Agreement, the Company receives certain structuring and advisory services from Apollo and its affiliates. The Management Consulting Agreement provides indemnification to Apollo, its affiliates and their directors, officers and representatives for potential losses arising from these services. Apollo is entitled to an annual fee equal to the greater of $3 or 2% of the Company’s Adjusted EBITDA. Apollo elected to waive charges of any portion of the annual management fee due in excess of $3 for the calendar year 2016 . During the three months ended September 30, 2016 and 2015 and during the nine months ended September 30, 2016 and 2015 , the Company recognized expense under the Management Consulting Agreement of $1 and $2 , respectively. This amount is included in “Other operating expense, net” in the unaudited Condensed Consolidated Statements of Operations. Transactions with MPM Shared Services Agreement On October 1, 2010, the Company entered into a shared services agreement with Momentive Performance Materials Inc. (“MPM”) (which, from October 1, 2010 through October 24, 2014, was a subsidiary of Hexion Holdings) (the “Shared Services Agreement”). Under this agreement, the Company provides to MPM, and MPM provides to the Company, certain services. The Shared Services Agreement establishes certain criteria upon which the costs of such services are allocated between the Company and MPM. The Shared Services Agreement was renewed for one year starting October 2016 and is subject to termination by either the Company or MPM, without cause, on not less than 30 days’ written notice, and expires in October 2017 (subject to one-year renewals every year thereafter; absent contrary notice from either party). On October 24, 2014, the Shared Services Agreement was amended to, among other things, (i) exclude the services of certain executive officers, (ii) provide for a transition assistance period at the election of the recipient following termination of the Shared Services Agreement of up to 12 months, subject to one successive renewal period of an additional 60 days and (iii) provide for the use of an independent third-party firm to assist the Shared Services Steering Committee with its annual review of billings and allocations. Pursuant to the Shared Services Agreement, during the nine months ended September 30, 2016 and 2015 , the Company incurred approximately $50 and $58 , respectively, of net costs for shared services and MPM incurred approximately $38 and $49 , respectively, of net costs for shared services. Included in the net costs incurred during the nine months ended September 30, 2016 and 2015 , were net billings from the Company to MPM of $23 and $ 30 , respectively, to bring the percentage of total net incurred costs for shared services under the Shared Services Agreement to the applicable agreed upon allocation percentage. The Company had accounts receivable from MPM of $5 and $7 as of September 30, 2016 and December 31, 2015 , respectively, and no accounts payable to MPM. Sales and Purchases of Products with MPM The Company also sells products to, and purchases products from, MPM. During the three months ended September 30, 2016 and 2015, the Company sold less than $1 of products to MPM and purchased less than $1 of products from MPM. During the nine months ended September 30, 2016 and 2015 , the Company sold less than $1 of products to MPM and purchased $1 and $3 , respectively. A s of both September 30, 2016 and December 31, 2015 , the Company had less than $1 of accounts receivable from MPM and less than $1 of accounts payable to MPM. Other Transactions with MPM In April 2014, the Company purchased 100% of the interests in MPM’s Canadian subsidiary for a purchase price of approximately $12. As a part of the transaction the Company also entered into a non-exclusive distribution agreement with a subsidiary of MPM, whereby the Company acts as a distributor of certain MPM products in Canada. The agreement has a term of 10 years, and is cancelable by either party with 180 days’ notice. The Company is compensated for acting as distributor at a rate of 2% of the net selling price of the related products sold. During both the three months ended September 30, 2016 and 2015 , the Company purchased approximately $7 of products from MPM under this distribution agreement, and earned less than $1 from MPM as compensation for acting as distributor of the products. During both the nine months ended September 30, 2016 and 2015 , the Company purchased approximately $21 of products from MPM under this distribution agreement, and earned less than $1 from MPM as compensation for acting as distributor of the products. As of both September 30, 2016 and December 31, 2015 , the Company had $2 of accounts payable to MPM related to the distribution agreement. Purchases and Sales of Products and Services with Apollo Affiliates Other than MPM The Company sells products to various Apollo affiliates other than MPM. These sales were less than $1 and $8 for the three months ended September 30, 2016 and 2015 , respectively, and $6 and $55 for the nine months ended September 30, 2016 and 2015 , respectively. Accounts receivable from these affiliates were less than $1 at both September 30, 2016 and December 31, 2015 . The Company also purchases raw materials and services from various Apollo affiliates other than MPM. These purchases were less than $1 and $1 for the three months ended September 30, 2016 and 2015, respectively, and less than $1 and $2 for the nine months ended September 30, 2016 and 2015 , respectively. The Company had accounts payable to these affiliates of less than $1 at December 31, 2015 . Other Transactions and Arrangements The Company sells finished goods to, and purchases raw materials from, a former foundry joint venture between the Company and HA-USA Inc. (“HAI”). The Company also provides toll-manufacturing and other services to HAI. On May 31, 2016, the Company sold its 50% investment in HAI to HA-USA Inc. (see Note 12), and as of June 1, 2016, HAI is no longer a related party. Previous to this sale, the Company’s investment in HAI was recorded under the equity method of accounting, and the related sales and purchases were not eliminated from the unaudited Condensed Consolidated Financial Statements. However, any profit on these transactions was eliminated in the unaudited Condensed Consolidated Financial Statements to the extent of the Company’s 50% interest in HAI. Through the date of the sale of the Company’s investment in HAI to HA-USA Inc., sales and services provided to HAI were $26 and $56 for the nine months ended September 30, 2016 and 2015 , respectively, and $17 for the three months ended September 30, 2015. There was $ 1 of accounts receivable from HAI at December 31, 2015 . Purchases from HAI were $4 and $12 for the nine months ended September 30, 2016 and 2015, respectively, and $3 for the three months ended September 30, 2015. The Company had accounts payable to HAI of $1 at December 31, 2015 . Additionally, HAI declared dividends to the Company of $4 and $14 for the nine months ended September 30, 2016 and 2015 , respectively, and $5 for the three months ended September 30, 2015. No amounts remained outstanding related to these previously declared dividends at September 30, 2016 . The Company sells products and provides services to, and purchases products from, its other joint ventures which are recorded under the equity method of accounting. These sales were $ 4 and $ 9 for the three months ended September 30, 2016 and 2015 , respectively, and $12 and $31 for the nine months ended September 30, 2016 and 2015 , respectively. Accounts receivable from these joint ventures were $ 5 and $ 10 at September 30, 2016 and December 31, 2015 , respectively. These purchases were $4 and less than $1 for the three months ended September 30, 2016 and 2015 , respectively, and $10 and $25 for the nine months ended September 30, 2016 and 2015 , respectively. The Company had accounts payable to these joint ventures of $ 1 and $ 2 at September 30, 2016 and December 31, 2015 , respectively. The Company had a loan receivable of $6 and royalties receivable of $2 as of both September 30, 2016 and December 31, 2015 from its unconsolidated forest products joint venture in Russia.

Fair Value

Fair Value	9 Months Ended
	Sep. 30, 2016
Fair Value and Financial Instruments [Abstract]
Fair Value Disclosures [Text Block]	Fair Value Fair value is 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. Fair value measurement provisions establish a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. This guidance describes three levels of inputs that may be used to measure fair value: • Level 1: Inputs are quoted prices (unadjusted) for identical assets or liabilities in active markets. • Level 2: Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. • Level 3: Unobservable inputs that are supported by little or no market activity and are developed based on the best information available in the circumstances. For example, inputs derived through extrapolation or interpolation that cannot be corroborated by observable market data. Recurring Fair Value Measurements As of September 30, 2016 , the Company had derivative liabilities related to electricity, natural gas and foreign exchange contracts of $1 , which were measured using Level 2 inputs, and consist of derivative instruments transacted primarily in over-the-counter markets. There were no transfers between Level 1, Level 2 or Level 3 measurements during the nine months ended September 30, 2016 or 2015 . The Company calculates the fair value of its Level 2 derivative liabilities using standard pricing models with market-based inputs, adjusted for nonperformance risk. When its financial instruments are in a liability position, the Company evaluates its credit risk as a component of fair value. At both September 30, 2016 and December 31, 2015 , no adjustment was made by the Company to reduce its derivative liabilities for nonperformance risk. When its financial instruments are in an asset position, the Company is exposed to credit loss in the event of nonperformance by other parties to these contracts and evaluates their credit risk as a component of fair value. Non-derivative Financial Instruments The following table summarizes the carrying amount and fair value of the Company’s non-derivative financial instruments: Carrying Amount Fair Value Level 1 Level 2 Level 3 Total September 30, 2016 Debt $ 3,585 $ — $ 3,089 $ 9 $ 3,098 December 31, 2015 Debt $ 3,829 $ — $ 2,560 $ 10 $ 2,570 Fair values of debt classified as Level 2 are determined based on other similar financial instruments, or based upon interest rates that are currently available to the Company for the issuance of debt with similar terms and maturities. Level 3 amounts represent capital leases whose fair value is determined through the use of present value and specific contract terms. The carrying amount and fair value of the Company’s debt is exclusive of unamortized deferred financing fees. The carrying amounts of cash and cash equivalents, short term investments, accounts receivable, accounts payable and other accrued liabilities are considered reasonable estimates of their fair values due to the short-term maturity of these financial instruments.

Debt Obligations

Debt Obligations	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	Debt Obligations Debt outstanding at September 30, 2016 and December 31, 2015 is as follows: September 30, 2016 December 31, 2015 Long-Term Due Within One Year Long-Term Due Within One Year ABL Facility $ — $ — $ — $ — Senior Secured Notes: 6.625% First-Priority Senior Secured Notes due 2020 (includes $4 of unamortized debt premium) 1,554 — 1,554 — 10.00% First-Priority Senior Secured Notes due 2020 315 — 315 — 8.875% Senior Secured Notes due 2018 (includes $1 and $2 of unamortized debt discount at September 30, 2016 and December 31, 2015, respectively) 760 — 995 — 9.00% Second-Priority Senior Secured Notes due 2020 574 — 574 — Debentures: 9.2% debentures due 2021 74 — 74 — 7.875% debentures due 2023 189 — 189 — Other Borrowings: Australia Facility due 2017 27 4 29 3 Brazilian bank loans 15 30 5 42 Capital leases 8 1 9 1 Other — 34 5 34 Unamortized debt issuance costs (41 ) — (51 ) — Total $ 3,475 $ 69 $ 3,698 $ 80 2016 Debt Transactions During the three and nine months ended September 30, 2016, the Company repurchased $36 and $235 , respectively, in face value of its 8.875% Senior Secured Notes due 2018 on the open market for cash of $33 and $187 , respectively. These transactions resulted in gains of $3 and $47 for the three and nine months ended September 30, 2016, respectively, which represents the difference between the carrying value of the repurchased debt and the cash paid for the repurchases, less the proportionate amount of unamortized deferred financing fees and debt discounts that were written off in conjunction with the repurchases. These amounts are recorded in “Gain on debt extinguishment” in the unaudited Condensed Consolidated Statements of Operations. Debt Maturities The Company’s 8.875% Senior Secured Notes come due in full in February 2018. If the outstanding balance of these notes is greater than $50 as of November 2, 2017, the Company’s ABL Facility, which matures in March 2018, will accelerate and become immediately due and payable. While there can be no certainty with respect to timing, the Company expects to address the term of the ABL Facility and the remaining outstanding balance of the 8.875% Senior Secured Notes in advance of the maturity date of these notes and any potential acceleration of the ABL Facility and the Company expects that certain of such actions will be taken prior to the filing of its 2016 Form 10-K. The timing and amount of these transactions is dependent upon the Company’s ability to access the credit markets, conditions in the credit markets, cash generated from operations and the potential execution of additional alternatives the Company has available including the possible sales of certain non-core assets to raise additional funds. While the Company has been successful in accessing the credit markets on terms and in amounts adequate to meet its objectives in the past, and management is confident in its ability to execute these alternatives successfully, there can be no assurance that any of these outcomes will materialize on acceptable terms or at all. If the Company is unable to successfully address the remaining balance of its 8.875% Senior Secured Notes or extend the ABL, the maturing of these obligations could have a material adverse impact.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	Commitments and Contingencies Environmental Matters The Company’s operations involve the use, handling, processing, storage, transportation and disposal of hazardous materials. The Company is subject to extensive environmental regulation at the federal, state and local levels as well as foreign laws and regulations, and is therefore exposed to the risk of claims for environmental remediation or restoration. In addition, violations of environmental laws or permits may result in restrictions being imposed on operating activities, substantial fines, penalties, damages or other costs, any of which could have a material adverse effect on the Company’s business, financial condition, results of operations or cash flows. Environmental Institution of Paraná IAP— On August 10, 2005, the Environmental Institute of Paraná (IAP), an environmental agency in the State of Paraná, provided Hexion Quimica Industria, the Company’s Brazilian subsidiary, with notice of an environmental assessment in the amount of 12 Brazilian reais. The assessment related to alleged environmental damages to the Paranagua Bay caused in November 2004 from an explosion on a shipping vessel carrying methanol purchased by the Company. The investigations performed by the public authorities have not identified any actions of the Company that contributed to or caused the accident. The Company responded to the assessment by filing a request to have it cancelled and by obtaining an injunction precluding execution of the assessment pending adjudication of the issue. In November 2010, the Court denied the Company’s request to cancel the assessment and lifted the injunction that had been issued. The Company responded to the ruling by filing an appeal in the State of Paraná Court of Appeals. In March 2012, the Company was informed that the Court of Appeals had denied the Company’s appeal, and on June 4, 2012 the Company filed appeals to the Superior Court of Justice and the Supreme Court of Brazil. In September 2016, the Superior Court of Justice decided that strict liability does not apply to administrative fines issued by environmental agencies and reversed the decision of the State of Paraná Court of Appeals. The Superior Court of Justice remanded the case back to the Court of Appeals to determine if the IAP met its burden of proving negligence by the Company. The Company continues to believe it has strong defenses against the validity of the assessment, and does not believe that a loss is probable. At September 30, 2016 , the amount of the assessment, including tax, penalties, monetary correction and interest, is 50 Brazilian reais, or approximately $15 . The following table summarizes all probable environmental remediation, indemnification and restoration liabilities, including related legal expenses, at September 30, 2016 and December 31, 2015 : Liability Range of Reasonably Possible Costs at September 30, 2016 Site Description September 30, 2016 December 31, 2015 Low High Geismar, LA $ 14 $ 15 $ 9 $ 22 Superfund and offsite landfills – allocated share: Less than 1% — 1 — 2 Equal to or greater than 1% 7 7 5 13 Currently-owned 4 5 4 9 Formerly-owned: Remediation 28 33 25 42 Monitoring only 1 — — 1 Total $ 54 $ 61 $ 43 $ 89 These amounts include estimates for unasserted claims that the Company believes are probable of loss and reasonably estimable. The estimate of the range of reasonably possible costs is less certain than the estimates upon which the liabilities are based. To establish the upper end of a range, assumptions less favorable to the Company among the range of reasonably possible outcomes were used. As with any estimate, if facts or circumstances change, the final outcome could differ materially from these estimates. At September 30, 2016 and December 31, 2015 , $11 and $ 13 , respectively, have been included in “Other current liabilities” in the unaudited Condensed Consolidated Balance Sheets, with the remaining amount included in “Other long-term liabilities.” Following is a discussion of the Company’s environmental liabilities and the related assumptions at September 30, 2016 : Geismar, LA Site —The Company formerly owned a basic chemicals and polyvinyl chloride business that was taken public as Borden Chemicals and Plastics Operating Limited Partnership (“BCPOLP”) in 1987. The Company retained a 1% interest, the general partner interest and the liability for certain environmental matters after BCPOLP’s formation. Under a Settlement Agreement approved by the United States Bankruptcy Court for the District of Delaware among the Company, BCPOLP, the United States Environmental Protection Agency and the Louisiana Department of Environmental Quality, the Company agreed to perform certain of BCPOLP’s obligations for soil and groundwater contamination at BCPOLP’s Geismar, Louisiana site. The Company bears the sole responsibility for these obligations because there are no other potentially responsible parties (“PRP”) or third parties from whom the Company could seek reimbursement. A groundwater pump and treat system to remove contaminants is operational, and natural attenuation studies are proceeding. If closure procedures and remediation systems prove to be inadequate, or if additional contamination is discovered, costs that would approach the higher end of the range of possible outcomes could result. Due to the long-term nature of the project, the reliability of timing and the ability to estimate remediation payments, a portion of this liability was recorded at its net present value, assuming a 3% discount rate and a time period of 22 years. The range of possible outcomes is discounted in a similar manner. The undiscounted liability, which is expected to be paid over the next 22 years , is approximately $20 . Over the next five years, the Company expects to make ratable payments totaling $6 . Superfund Sites and Offsite Landfills —The Company is currently involved in environmental remediation activities at a number of sites for which it has been notified that it is, or may be, a PRP under the United States Comprehensive Environmental Response, Compensation and Liability Act or similar state “superfund” laws. The Company anticipates approximately 50% of the estimated liability for these sites will be paid within the next five years, with the remainder over the next twenty-five years. The Company generally does not bear a significant level of responsibility for these sites, and as a result, has little control over the costs and timing of cash flows. The Company’s ultimate liability will depend on many factors including its share of waste volume, the financial viability of other PRPs, the remediation methods and technology used, the amount of time necessary to accomplish remediation and the availability of insurance coverage. The range of possible outcomes takes into account the maturity of each project, resulting in a more narrow range as the project progresses. To estimate both its current reserves for environmental remediation at these sites and the possible range of additional costs, the Company has not assumed that it will bear the entire cost of remediation of every site to the exclusion of other known PRPs who may be jointly and severally liable. The Company has limited information to assess the viability of other PRPs and their probable contribution on a per site basis. The Company’s insurance provides very limited, if any, coverage for these environmental matters. Sites Under Current Ownership —The Company is conducting environmental remediation at a number of locations that it currently owns, of which ten sites are no longer in operation. As the Company is performing a portion of the remediation on a voluntary basis, it has some control over the costs to be incurred and the timing of cash flows. The Company expects to pay approximately $5 of these liabilities within the next five years, with the remainder over the next ten years. The factors influencing the ultimate outcome include the methods of remediation elected, the conclusions and assessment of site studies remaining to be completed, and the time period required to complete the work. No other parties are responsible for remediation at these sites. Formerly-Owned Sites —The Company is conducting, or has been identified as a PRP in connection with, environmental remediation at a number of locations that it formerly owned and/or operated. Remediation costs at these former sites, such as those associated with our former phosphate mining and processing operations, could be material. The Company has accrued those costs for formerly-owned sites which are currently probable and reasonably estimable. One such site is the Coronet Industries, Inc. Superfund Alternative Site in Plant City, Florida. The Company entered into a settlement agreement effective February 1, 2016 with Coronet Industries and another former site owner. Pursuant to the agreement, the Company agreed to pay $10 in fulfillment of the contribution claim against the Company for past remediation costs, payable in three annual installments, of which the first was paid during the nine months ended September 30, 2016. Additionally, the Company accepted a 40% allocable share of specified future remediation costs at this site. The Company estimates its allocable share of future remediation costs to be approximately $11 . The final costs to the Company will depend on the method of remediation chosen, the amount of time necessary to accomplish remediation and the ongoing financial viability of the other PRPs. Currently, the Company has insufficient information to estimate the range of reasonably possible costs related to this site. Monitoring Only Sites —The Company is responsible for a number of sites that require monitoring where no additional remediation is expected. The Company has established reserves for costs related to these sites. Payment of these liabilities is anticipated to occur over the next ten or more years. The ultimate cost to the Company will be influenced by fluctuations in projected monitoring periods or by findings that are different than anticipated. Indemnifications —In connection with the acquisition of certain of the Company’s operating businesses, the Company has been indemnified by the sellers against certain liabilities of the acquired businesses, including liabilities relating to both known and unknown environmental contamination arising prior to the date of the purchase. The indemnifications may be subject to certain exceptions and limitations, deductibles and indemnity caps. While it is reasonably possible that some costs could be incurred, except for those sites identified above, the Company has inadequate information to allow it to estimate a potential range of liability, if any. Non-Environmental Legal Matters The Company is involved in various legal proceedings in the ordinary course of business and had reserves of $2 and $4 at September 30, 2016 and December 31, 2015 , respectively, for all non-environmental legal defense costs incurred and settlement costs that it believes are probable and estimable. At September 30, 2016 and December 31, 2015 , $1 and $3 , respectively, has been included in “Other current liabilities” in the unaudited Condensed Consolidated Balance Sheets, with the remaining amount included in “Other long-term liabilities.” The Company is also involved in various product liability, commercial and employment litigation, personal injury, property damage and other legal proceedings, including actions that allege harm caused by products the Company has allegedly made or used, containing silica, vinyl chloride monomer and asbestos. The Company believes it has adequate reserves and that it is not reasonably possible that a loss exceeding amounts already reserved would be material. Furthermore, the Company has insurance to cover claims of these types.

Pension and Postretirement Expe

Pension and Postretirement Expense	9 Months Ended
	Sep. 30, 2016
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]
Pension and Other Postretirement Benefits Disclosure [Text Block]	Pension and Postretirement Benefit Plans Following are the components of net pension and postretirement (benefit) expense recognized by the Company for the three and nine months ended September 30, 2016 and 2015 : Pension Benefits Non-Pension Postretirement Benefits Three Months Ended September 30, Three Months Ended September 30, 2016 2015 2016 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Service cost $ 1 $ 4 $ 1 $ 4 $ — $ — $ — $ — Interest cost on projected benefit obligation 2 3 2 3 — — — — Expected return on assets (4 ) (3 ) (4 ) (3 ) — — — — Net (benefit) expense $ (1 ) $ 4 $ (1 ) $ 4 $ — $ — $ — $ — Pension Benefits Non-Pension Postretirement Benefits Nine Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Service cost $ 3 $ 11 $ 3 $ 12 $ — $ — $ — $ — Interest cost on projected benefit obligation 6 8 7 8 — 1 — 1 Expected return on assets (11 ) (8 ) (12 ) (9 ) — — — — Amortization of prior service benefit — — — — (1 ) — — — Net (benefit) expense $ (2 ) $ 11 $ (2 ) $ 11 $ (1 ) $ 1 $ — $ 1

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Segment Reporting Disclosure [Text Block]	Segment Information The Company’s business segments are based on the products that the Company offers and the markets that it serves. At September 30, 2016 , the Company had two reportable segments: Epoxy, Phenolic and Coating Resins and Forest Products Resins. A summary of the major products of the Company’s reportable segments follows: • Epoxy, Phenolic and Coating Resins: epoxy specialty resins, phenolic encapsulated substrates, versatic acids and derivatives, basic epoxy resins and intermediates and phenolic specialty resins and molding compounds • Forest Products Resins: forest products resins and formaldehyde applications Reportable Segments Following are net sales and Segment EBITDA (earnings before interest, income taxes, depreciation and amortization) by reportable segment. Segment EBITDA is defined as EBITDA adjusted for certain non-cash items and other income and expenses. Segment EBITDA is the primary performance measure used by the Company’s senior management, the chief operating decision-maker and the board of directors to evaluate operating results and allocate capital resources among segments. Segment EBITDA is also the profitability measure used to set management and executive incentive compensation goals. Corporate and Other is primarily corporate general and administrative expenses that are not allocated to the segments, such as shared service and administrative functions, foreign exchange gains and losses and legacy company costs not allocated to continuing segments. Net Sales (1) : Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Epoxy, Phenolic and Coating Resins $ 476 $ 669 $ 1,664 $ 2,026 Forest Products Resins 343 396 1,016 1,205 Total $ 819 $ 1,065 $ 2,680 $ 3,231 (1) Intersegment sales are not significant and, as such, are eliminated within the selling segment. Segment EBITDA: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Epoxy, Phenolic and Coating Resins $ 64 $ 92 $ 230 $ 265 Forest Products Resins 65 59 184 182 Corporate and Other (17 ) (18 ) (50 ) (54 ) Total $ 112 $ 133 $ 364 $ 393 Reconciliation of Segment EBITDA to Net (Loss) Income: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Segment EBITDA: Epoxy, Phenolic and Coating Resins $ 64 $ 92 $ 230 $ 265 Forest Products Resins 65 59 184 182 Corporate and Other (17 ) (18 ) (50 ) (54 ) Total $ 112 $ 133 $ 364 $ 393 Reconciliation: Items not included in Segment EBITDA: Business realignment income (costs) $ 3 $ (3 ) $ (42 ) $ (11 ) Gain on dispositions — — 240 — Gain on extinguishment of debt 3 14 47 14 Realized and unrealized foreign currency (losses) gains (6 ) (14 ) 3 (17 ) Other (16 ) (4 ) (50 ) (33 ) Total adjustments (16 ) (7 ) 198 (47 ) Interest expense, net (76 ) (84 ) (235 ) (245 ) Income tax expense (16 ) (1 ) (40 ) (28 ) Depreciation and amortization (30 ) (34 ) (101 ) (102 ) Accelerated depreciation (21 ) — (127 ) — Net (loss) income $ (47 ) $ 7 $ 59 $ (29 ) Items Not Included in Segment EBITDA Not included in Segment EBITDA are certain non-cash items and other income and expenses. For the three and nine months ended September 30, 2016 , these items primarily include certain professional fees related to strategic projects and expenses from retention programs. For the three and nine months ended September 30, 2015, these items primarily include expenses from retention programs, losses on the disposal of assets, certain professional fees related to strategic projects and a gain on a step acquisition. Business realignment costs for the three and nine months ended September 30, 2016 primarily include costs related to the planned facility rationalizations within the Epoxy, Phenolic and Coating Resins segment and costs related to certain in-process cost reduction programs. Business realignment costs for the three and nine months ended September 30, 2015 include costs related to certain in-process cost reduction programs.

Summarized Financial Informatio

Summarized Financial Information of Unconsolidated Affiliate	9 Months Ended
	Sep. 30, 2016
Summarized Financial Information of Unconsolidated Affiliate [Abstract]
Significant Subsidiary Financial Information [Text Block]	Summarized Financial Information of Unconsolidated Affiliate Summarized financial information of the unconsolidated affiliate HAI for the nine months ended September 30, 2016 and 2015 is as follows: Nine Months Ended September 30, 2016 (1) 2015 Net sales $ 59 $ 120 Gross profit 25 47 Pre-tax income 14 26 Net income 14 25 (1) Amounts for the nine months ended September 30, 2016 represent activity through May 31, 2016, the date on which the Company sold its 50% interest in HAI (see Note 12).

Changes in Accumulated Other Co

Changes in Accumulated Other Comprehensive Income Level 1 (Notes)	9 Months Ended
	Sep. 30, 2016
Changes of Accumulated Other Comprehensive Income [Abstract]
Changes in Accumulated Other Comprehensive Income [Text Block]	Changes in Accumulated Other Comprehensive Loss Following is a summary of changes in “Accumulated other comprehensive loss” for the three and nine months ended September 30, 2016 and 2015 : Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Beginning balance $ 3 $ (18 ) $ (15 ) $ 4 $ 20 $ 24 Other comprehensive income (loss) before reclassifications, net of tax — 7 7 — (24 ) (24 ) Ending balance $ 3 $ (11 ) $ (8 ) $ 4 $ (4 ) $ — Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Beginning balance $ 4 $ (19 ) $ (15 ) $ 4 $ 69 $ 73 Other comprehensive (loss) income before reclassifications, net of tax (1 ) 8 7 — (73 ) (73 ) Ending balance $ 3 $ (11 ) $ (8 ) $ 4 $ (4 ) $ —

HAI Disposition (Notes)

HAI Disposition (Notes)	9 Months Ended
	Sep. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
HAI Disposition	HAI Disposition On May 31, 2016, the Company sold its 50% interest in HA-International, LLC (“HAI”), a joint venture within the Epoxy, Phenolic and Coating Resins segment serving the North American foundry industry, to its joint venture partner HA-USA, Inc., for a purchase price of $136 , which includes $2 representing the Company’s 50% share of HAI’s cash balance at closing. Sale proceeds consisted of $61 in cash and a $75 buyer’s note issued by HA-USA, Inc. to the Company. As of September 30, 2016, $45 of cash has been received on the buyer’s note and $30 remains outstanding, which is recorded in “Other current assets” in the unaudited Condensed Consolidated Balance Sheets. The Company recognized a gain on this disposition of $120 , which is recorded as a component of “Gain on dispositions” in the unaudited Condensed Consolidated Statements of Operations.

PAC Disposition (Notes)

PAC Disposition (Notes)	9 Months Ended
	Sep. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
HAI Disposition	PAC Disposition On June 30, 2016, the Company completed the sale of its Performance Adhesives, Powder Coatings, Additives & Acrylic Coatings and Monomers (“PAC”) businesses pursuant to the terms of a Purchase Agreement with Synthomer plc (the “Buyer”) dated March 18, 2016. The PAC business includes manufacturing sites in Sokolov, Czech Republic; Sant’Albano, Italy; Leuna, Germany; Ribecourt, France; Asua, Spain; Roebuck, South Carolina; and Chonburi, Thailand. PAC produces resins, polymers, monomers and additives that provide enhanced performance for adhesives, sealants, paints, coatings, mortars and cements used primarily in consumer, industrial and building and construction applications. The employment relationships with the employees at these facilities, the PAC management team and other employees affiliated with PAC have been transferred to the Buyer in connection with the sale. Neither the Company nor any of its officers and directors, or associates of such persons, have any material relationship with the Buyer. The Company received gross cash consideration for the PAC business in the amount of $226 , less approximately $6 relating to liabilities, net of cash and estimated working capital, that transferred to the Buyer as part of the Purchase Agreement. A subsequent post-closing adjustment to the purchase price of less than $1 was made in accordance with the Purchase Agreement. The Company recorded a gain on this disposition of $120 , which is recorded in “Gain on dispositions” in the unaudited Condensed Consolidated Statements of Operations. The PAC Business generated annual sales of approximately $370 in 2015, and was reported within the Epoxy, Phenolic and Coating Resins segment. The PAC Business had pre-tax income of $14 for the nine months ended September 30, 2016, which is reported as a component of “(Loss) income before income tax and earnings from unconsolidated entities” in the unaudited Condensed Consolidated Statements of Operations. As part of this transaction, the Company is currently providing certain transitional services to the Buyer for an initial period of up to six months pursuant to a Transitional Services Agreement, which may be extended an additional three months by the Buyer, and potentially longer by mutual agreement of the parties. The purpose of these services is to provide short-term assistance to the Buyer in assuming the operations of the PAC business. These services do not confer to the Company the ability to influence the operating or financial policies of the PAC business under its new ownership.

Income Taxes (Notes)

Income Taxes (Notes)	9 Months Ended
	Sep. 30, 2016
Income Taxes [Abstract]
Income Tax Disclosure [Text Block]	Income Taxes The effective tax rate was (53)% and 25% for the three months ended September 30, 2016 and 2015 , respectively. The effective tax rate was 44% and (200)% for the nine months ended September 30, 2016 and 2015 , respectively. The change in the effective tax rate was primarily attributable to the amount and distribution of income and losses among the various jurisdictions in which we operate, as well as the recording of an income tax contingency liability related to ongoing foreign jurisdictional matters. The effective tax rates were also impacted by operating gains and losses generated in jurisdictions where no tax expense or benefit was recognized due to the maintenance of a full valuation allowance. For the three and nine months ended September 30, 2016 and 2015 , income tax expense relates primarily to income from certain foreign operations. In the third quarter of 2016, the Company recorded an income tax contingency liability related to ongoing foreign jurisdictional matters. In 2016, the income tax expense related to the gain on dispositions was substantially reduced by net operating loss utilization which was offset by a decrease to the respective valuation allowances. In 2015, losses in the United States and certain foreign jurisdictions had no impact on income tax expense as no tax benefit was recognized due to the maintenance of a full valuation allowance.

Guarantor Non-Guarantor Subsidi

Guarantor Non-Guarantor Subsidiary Financial Information	9 Months Ended
	Sep. 30, 2016
Guarantor Non Guarantor Subsidary Financial Information [Abstract]
Guarantees [Text Block]	Guarantor/Non-Guarantor Subsidiary Financial Information The Company’s 6.625% First-Priority Senior Secured Notes due 2020, 10.00% First-Priority Senior Secured Notes due 2020, 8.875% Senior Secured Notes due 2018 and 9.00% Second-Priority Senior Secured Notes due 2020 are guaranteed by certain of its U.S. subsidiaries. The following information contains the condensed consolidating financial information for Hexion Inc. (the parent), the combined subsidiary guarantors (Hexion Investments Inc.; Borden Chemical Foundry, LLC; Lawter International, Inc.; HSC Capital Corporation; Hexion International Inc.; Hexion CI Holding Company (China) LLC; NL COOP Holdings LLC and Oilfield Technology Group, Inc.) and the combined non-guarantor subsidiaries, which includes all of the Company’s foreign subsidiaries. All of the subsidiary guarantors are 100% owned by Hexion Inc. All guarantees are full and unconditional, and are joint and several. There are no significant restrictions on the ability of the Company to obtain funds from its domestic subsidiaries by dividend or loan. While the Company’s Australian, New Zealand and Brazilian subsidiaries are restricted in the payment of dividends and intercompany loans due to the terms of their credit facilities, there are no material restrictions on the Company’s ability to obtain cash from the remaining non-guarantor subsidiaries. These financial statements are prepared on the same basis as the consolidated financial statements of the Company except that investments in subsidiaries are accounted for using the equity method for purposes of the consolidating presentation. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. This information includes allocations of corporate overhead to the combined non-guarantor subsidiaries based on net sales. Income tax expense has been provided on the combined non-guarantor subsidiaries based on actual effective tax rates. HEXION INC. SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING BALANCE SHEET (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents (including restricted cash of $0 and $19, respectively) $ 49 $ — $ 96 $ — $ 145 Accounts receivable, net 140 1 357 — 498 Intercompany accounts receivable 115 — 38 (153 ) — Intercompany loans receivable - current portion 27 — 144 (171 ) — Inventories: Finished and in-process goods 90 — 131 — 221 Raw materials and supplies 35 — 63 — 98 Other current assets 42 — 38 — 80 Total current assets 498 1 867 (324 ) 1,042 Investment in unconsolidated entities 79 6 18 (86 ) 17 Deferred income taxes — — 10 — 10 Other assets, net 15 6 22 — 43 Intercompany loans receivable 1,080 — 214 (1,294 ) — Property and equipment, net 444 — 448 — 892 Goodwill 66 — 58 — 124 Other intangible assets, net 43 — 13 — 56 Total assets $ 2,225 $ 13 $ 1,650 $ (1,704 ) $ 2,184 Liabilities and Deficit Current liabilities: Accounts payable $ 106 $ — $ 205 $ — $ 311 Intercompany accounts payable 38 — 115 (153 ) — Debt payable within one year 8 — 61 — 69 Intercompany loans payable within one year 144 — 27 (171 ) — Interest payable 95 — 1 — 96 Income taxes payable 22 — 2 — 24 Accrued payroll and incentive compensation 23 — 35 — 58 Other current liabilities 104 — 56 — 160 Total current liabilities 540 — 502 (324 ) 718 Long-term liabilities: Long-term debt 3,430 — 45 — 3,475 Intercompany loans payable 210 6 1,078 (1,294 ) — Accumulated losses of unconsolidated subsidiaries in excess of investment 313 86 — (399 ) — Long-term pension and post employment benefit obligations 41 — 183 — 224 Deferred income taxes (3 ) — 17 — 14 Other long-term liabilities 104 — 60 — 164 Advance from affiliates — — — — — Total liabilities 4,635 92 1,885 (2,017 ) 4,595 Total Hexion Inc. shareholder’s deficit (2,410 ) (79 ) (234 ) 313 (2,410 ) Noncontrolling interest — — (1 ) — (1 ) Total deficit (2,410 ) (79 ) (235 ) 313 (2,411 ) Total liabilities and deficit $ 2,225 $ 13 $ 1,650 $ (1,704 ) $ 2,184 HEXION INC. DECEMBER 31, 2015 CONDENSED CONSOLIDATING BALANCE SHEET Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents (including restricted cash of $0 and $8, respectively) $ 62 $ — $ 174 $ — $ 236 Accounts receivable, net 115 1 334 — 450 Intercompany accounts receivable 132 — 154 (286 ) — Intercompany loans receivable — — 174 (174 ) — Inventories: Finished and in-process goods 97 — 121 — 218 Raw materials and supplies 34 — 56 — 90 Other current assets 29 — 24 — 53 Total current assets 469 1 1,037 (460 ) 1,047 Investment in unconsolidated entities 117 28 21 (130 ) 36 Deferred income taxes — — 13 — 13 Other long-term assets 21 6 21 — 48 Intercompany loans receivable 1,269 6 108 (1,383 ) — Property and equipment, net 559 — 492 — 1,051 Goodwill 65 — 57 — 122 Other intangible assets, net 49 — 16 — 65 Total assets $ 2,549 $ 41 $ 1,765 $ (1,973 ) $ 2,382 Liabilities and Deficit Current liabilities: Accounts payable $ 148 $ — $ 238 $ — $ 386 Intercompany accounts payable 154 — 132 (286 ) — Debt payable within one year 6 — 74 — 80 Intercompany loans payable within one year 174 — — (174 ) — Interest payable 80 — 2 — 82 Income taxes payable 7 — 8 — 15 Accrued payroll and incentive compensation 43 — 35 — 78 Other current liabilities 73 — 50 — 123 Total current liabilities 685 — 539 (460 ) 764 Long term liabilities: Long-term debt 3,656 — 42 — 3,698 Intercompany loans payable 93 6 1,284 (1,383 ) — Accumulated losses of unconsolidated subsidiaries in excess of investment 429 130 — (559 ) — Long-term pension and post employment benefit obligations 45 — 179 — 224 Deferred income taxes 6 — 6 — 12 Other long-term liabilities 111 — 50 — 161 Total liabilities 5,025 136 2,100 (2,402 ) 4,859 Total Hexion Inc. shareholder’s deficit (2,476 ) (95 ) (334 ) 429 (2,476 ) Noncontrolling interest — — (1 ) — (1 ) Total deficit (2,476 ) (95 ) (335 ) 429 (2,477 ) Total liabilities and deficit $ 2,549 $ 41 $ 1,765 $ (1,973 ) $ 2,382 HEXION INC. THREE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 356 $ — $ 507 $ (44 ) $ 819 Cost of sales 325 — 420 (44 ) 701 Gross profit 31 — 87 — 118 Selling, general and administrative expense 30 — 39 — 69 Business realignment (income) costs (7 ) — 4 — (3 ) Other operating expense (income), net 10 6 (9 ) — 7 Operating (loss) income (2 ) (6 ) 53 — 45 Interest expense, net 74 — 2 — 76 Intercompany interest (income) expense, net (18 ) — 18 — — Gain on extinguishment of debt (3 ) — — — (3 ) Other non-operating (income) expense, net (5 ) — 7 — 2 (Loss) income before income tax and earnings (losses) from unconsolidated entities (50 ) (6 ) 26 — (30 ) Income tax expense 9 — 7 — 16 (Loss) income before earnings (losses) from unconsolidated entities (59 ) (6 ) 19 — (46 ) Earnings (losses) from unconsolidated entities, net of taxes 12 (1 ) — (12 ) (1 ) Net (loss) income $ (47 ) $ (7 ) $ 19 $ (12 ) $ (47 ) Comprehensive (loss) income $ (40 ) $ (7 ) $ 26 $ (19 ) $ (40 ) HEXION INC. THREE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 433 $ — $ 675 $ (43 ) $ 1,065 Cost of sales 384 — 564 (43 ) 905 Gross profit 49 — 111 — 160 Selling, general and administrative expense 29 — 42 — 71 Business realignment costs 1 — 2 — 3 Other operating expense, net 5 — 7 — 12 Operating income 14 — 60 — 74 Interest expense, net 81 — 3 — 84 Intercompany interest (income) expense, net (20 ) (1 ) 21 — — Gain on extinguishment of debt (14 ) — — — (14 ) Other non-operating (income) expense, net (1 ) — 1 — — (Loss) income before income tax and earnings from unconsolidated entities (32 ) 1 35 — 4 Income tax expense 1 — — — 1 (Loss) income before earnings from unconsolidated entities (33 ) 1 35 — 3 Earnings from unconsolidated entities, net of taxes 40 17 — (53 ) 4 Net income $ 7 $ 18 $ 35 $ (53 ) $ 7 Comprehensive (loss) income $ (17 ) $ 17 $ 20 $ (37 ) $ (17 ) HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 1,119 $ — $ 1,701 $ (140 ) $ 2,680 Cost of sales 1,080 — 1,417 (140 ) 2,357 Gross profit 39 — 284 — 323 Selling, general and administrative expense 109 — 126 — 235 Gain on dispositions (188 ) — (52 ) — (240 ) Business realignment costs 31 — 11 — 42 Other operating expense (income), net 14 6 (14 ) — 6 Operating income (loss) 73 (6 ) 213 — 280 Interest expense, net 227 — 8 — 235 Intercompany interest (income) expense, net (55 ) — 55 — — Gain on extinguishment of debt (47 ) — — — (47 ) Other non-operating (income) expense, net (16 ) — 17 — 1 (Loss) income before income tax and earnings from unconsolidated entities (36 ) (6 ) 133 — 91 Income tax expense 5 — 35 — 40 (Loss) income before earnings from unconsolidated entities (41 ) (6 ) 98 — 51 Earnings from unconsolidated entities, net of taxes 100 45 2 (139 ) 8 Net income $ 59 $ 39 $ 100 $ (139 ) $ 59 Comprehensive income $ 66 $ 39 $ 100 $ (139 ) $ 66 HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 1,341 $ — $ 2,030 $ (140 ) $ 3,231 Cost of sales 1,187 — 1,706 (140 ) 2,753 Gross profit 154 — 324 — 478 Selling, general and administrative expense 89 — 140 — 229 Business realignment costs 4 — 7 — 11 Other operating expense, net 9 — 13 — 22 Operating income 52 — 164 — 216 Interest expense, net 239 — 6 — 245 Intercompany interest (income) expense, net (60 ) (1 ) 61 — — Gain on extinguishment of debt (14 ) — — — (14 ) Other non-operating expense (income), net 68 — (69 ) — (1 ) (Loss) income before income tax and earnings from unconsolidated entities (181 ) 1 166 — (14 ) Income tax (benefit) expense (1 ) — 29 — 28 (Loss) income before earnings from unconsolidated entities (180 ) 1 137 — (42 ) Earnings from unconsolidated entities, net of taxes 151 95 — (233 ) 13 Net (loss) income $ (29 ) $ 96 $ 137 $ (233 ) $ (29 ) Comprehensive (loss) income $ (102 ) $ 96 $ 102 $ (198 ) $ (102 ) HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Cash flows (used in) provided by operating activities $ (198 ) $ 4 $ 67 $ (4 ) $ (131 ) Cash flows provided by (used in) investing activities Capital expenditures (47 ) — (44 ) — (91 ) Capitalized interest (1 ) — — — (1 ) Proceeds from dispositions, net 146 — 135 — 281 Cash received on buyer’s note 45 — — — 45 Proceeds from sale of assets, net — — 1 — 1 Change in restricted cash — — (11 ) — (11 ) Capital contribution to subsidiary (13 ) (9 ) — 22 — Investment in unconsolidated affiliates, net (1 ) — — — (1 ) Return of capital from subsidiary from sales of accounts receivable 70 (a) — — (70 ) — 199 (9 ) 81 (48 ) 223 Cash flows (used in) provided by financing activities Net short-term debt borrowings (repayments) 2 — (15 ) — (13 ) Borrowings of long-term debt 280 — 181 — 461 Repayments of long-term debt (467 ) — (176 ) — (643 ) Net intercompany loan borrowings (repayments) 171 — (171 ) — — Capital contributions — 9 13 (22 ) — Common stock dividends paid — (4 ) — 4 — Return of capital to parent from sales of accounts receivable — — (70 ) (a) 70 — (14 ) 5 (238 ) 52 (195 ) Effect of exchange rates on cash and cash equivalents — — 1 — 1 Decrease in cash and cash equivalents (13 ) — (89 ) — (102 ) Cash and cash equivalents (unrestricted) at beginning of period 62 — 166 — 228 Cash and cash equivalents (unrestricted) at end of period $ 49 $ — $ 77 $ — $ 126 (a) During the nine months ended September 30, 2016 , Hexion Inc. contributed receivables of $70 to a non-guarantor subsidiary as capital contributions, resulting in a non-cash transaction. During the nine months ended September 30, 2016 , the non-guarantor subsidiary sold the contributed receivables to certain banks under various supplier financing agreements. The cash proceeds were returned to Hexion Inc. by the non-guarantor subsidiary as a return of capital. The sale of receivables has been included within cash flows from operating activities on the Combined non-guarantor subsidiaries. The return of the cash proceeds from the sale of receivables has been included as a financing outflow and an investing inflow on the Combined Non-Guarantor Subsidiaries and Hexion Inc., respectively. HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Cash flows (used in) provided by operating activities $ (255 ) $ 14 $ 321 $ (14 ) $ 66 Cash flows provided by (used in) investing activities Capital expenditures (63 ) — (59 ) — (122 ) Purchase of business, net of cash acquired — — (7 ) — (7 ) Proceeds from sale of investments, net — — 6 — 6 Proceeds from sale of assets — — 1 — 1 Change in restricted cash — — 8 — 8 Capital contribution to subsidiary (13 ) (8 ) — 21 — Return of capital from subsidiary from sales of accounts receivable 227 (a) — — (227 ) — 151 (8 ) (51 ) (206 ) (114 ) Cash flows provided by (used in) financing activities Net short-term debt borrowings (repayments) 3 — (4 ) — (1 ) Borrowings of long-term debt 470 — 22 — 492 Repayments of long-term debt (354 ) — (39 ) — (393 ) Net intercompany loan borrowings (repayments) 17 — (17 ) — — Capital contributions — 8 13 (21 ) — Long-term debt and credit facility financing fees (10 ) — — — (10 ) Common stock dividends paid — (14 ) — 14 — Return of capital to parent from sales of accounts receivable — — (227 ) (a) 227 — 126 (6 ) (252 ) 220 88 Effect of exchange rates on cash and cash equivalents — — (9 ) — (9 ) Increase in cash and cash equivalents 22 — 9 — 31 Cash and cash equivalents (unrestricted) at beginning of period 23 — 133 — 156 Cash and cash equivalents (unrestricted) at end of period $ 45 $ — $ 142 $ — $ 187 (a) During the nine months ended September 30, 2015 , Hexion Inc. contributed receivables of $227 to a non-guarantor subsidiary as capital contributions, resulting in a non-cash transaction. During the nine months ended September 30, 2015 , the non-guarantor subsidiary sold the contributed receivables to certain banks under various supplier financing agreements. The cash proceeds were returned to Hexion Inc. by the non-guarantor subsidiary as a return of capital. The sale of receivables has been included within cash flows from operating activities on the Combined non-guarantor subsidiaries. The return of the cash proceeds from the sale of receivables has been included as a financing outflow and an investing inflow on the Combined Non-Guarantor Subsidiaries and Hexion Inc., respectively.

Significant Accounting Polici23

Significant Accounting Policies Level 2 (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates —The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and also requires the disclosure of contingent assets and liabilities at the date of the financial statements. In addition, it requires management to make estimates and assumptions that affect the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
Subsequent Events, Policy [Policy Text Block]	Subsequent Events —The Company has evaluated events and transactions subsequent to September 30, 2016 through the date of issuance of its unaudited Condensed Consolidated Financial Statements.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Board Update No. 2014-09: Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 supersedes the existing revenue recognition guidance and most industry-specific guidance applicable to revenue recognition. According to the new guidance, an entity will apply a principles-based five step model to recognize revenue upon the transfer of promised goods or services to customers and in an amount that reflects the consideration for which the entity expects to be entitled in exchange for those goods or services. The effective date for ASU 2014-09 is for annual and interim periods beginning on or after December 15, 2017, and early adoption will be permitted for annual and interim periods beginning on or after December 15, 2016. Entities will have the option of using either a full retrospective approach or a modified approach to adopt the guidance in ASU 2014-09. The Company is currently assessing the potential impact of ASU 2014-09 on its financial statements. In July 2015, the FASB issued Accounting Standards Board Update No. 2015-11: Simplifying the Measurement of Inventory (Topic 330) (“ASU 2015-11”) as part of the FASB simplification initiative. ASU 2015-11 replaces the existing concept of market value of inventory (where market was defined as replacement cost, with a ceiling of net realizable value and floor of net realizable value less a normal profit margin) with the single measurement of net realizable value. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period. The requirements of ASU 2015-11 are not expected to have a significant impact on the Company’s financial statements. In February 2016, the FASB issued Accounting Standards Board Update No. 2016-02: Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 supersedes the existing lease guidance in Topic 840. According to the new guidance, all leases, with limited scope exceptions, will be recorded on the balance sheet in the form of a liability to make lease payments (lease liability) and a right-of-use asset representing the right to use the underlying asset for the lease term. The guidance is effective for annual and interim periods beginning on or after December 15, 2018, and early adoption is permitted. Entities will be required to adopt ASU 2016-02 using a modified retrospective approach, whereby leases will be recognized and measured at the beginning of the earliest period presented. The Company is currently assessing the potential impact of ASU 2016-02 on its financial statements. In March 2016, the FASB issued Accounting Standards Board Update No. 2016-07: Simplifying the Transition to the Equity Method of Accounting (Topic 323) (“ASU 2016-07”) as part of the FASB simplification initiative. ASU 2016-07 eliminates the requirement that when an existing investment qualifies for use of the equity method, an investor adjust the investment, results of operations and retained earnings retroactively as if the equity method has been in effect in all previous periods that the investment had been held. Under the new guidance, the equity method investor is only required to adopt the equity method as of the date the investment qualifies for the equity method, with no retrospective adjustment required. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, and early adoption is permitted. The requirements of ASU 2016-07 are not expected to have a significant impact on the Company’s financial statements. In March 2016, the FASB issued Accounting Standards Board Update No. 2016-09: Improvements to Employee Share-Based Payment Accounting (Topic 718) (“ASU 2016-09”) as part of the FASB simplification initiative. ASU 2016-09 simplifies various aspects of share-based payment accounting, including the income tax consequences, classification of equity awards as either equity or liabilities and classification on the statement of cash flows. The guidance is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, and early adoption is permitted. The requirements of ASU 2016-09 are not expected to have a significant impact on the Company’s financial statements. In August 2016, the FASB issued Accounting Standards Board Update No. 2016-15: Statement of Cash Flows (Topic 230) (“ASU 2016-15”) as part of the FASB simplification initiative. ASU 2016-15 provides guidance on treatment in the statement of cash flows for eight specific cash flow topics, with the objective of reducing existing diversity in practice. Of the eight cash flow topics addressed in the new guidance, the topics expected to have an impact on the Company include debt prepayment or debt extinguishment costs, proceeds from the settlement of insurance claims, treatment of restricted cash and distributions received from equity method investees. The guidance is effective for annual periods beginning after December 15, 2017, including interim periods within that reporting period, and early adoption is permitted. The Company is currently assessing the potential impact of ASU 2016-15 on its financial statements.

Fair Value Level 3 (Tables)

Fair Value Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value, by Balance Sheet Grouping [Table Text Block]	The following table summarizes the carrying amount and fair value of the Company’s non-derivative financial instruments: Carrying Amount Fair Value Level 1 Level 2 Level 3 Total September 30, 2016 Debt $ 3,585 $ — $ 3,089 $ 9 $ 3,098 December 31, 2015 Debt $ 3,829 $ — $ 2,560 $ 10 $ 2,570

Debt Obligations Level 3 (Table

Debt Obligations Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of Debt [Table Text Block]	Debt outstanding at September 30, 2016 and December 31, 2015 is as follows: September 30, 2016 December 31, 2015 Long-Term Due Within One Year Long-Term Due Within One Year ABL Facility $ — $ — $ — $ — Senior Secured Notes: 6.625% First-Priority Senior Secured Notes due 2020 (includes $4 of unamortized debt premium) 1,554 — 1,554 — 10.00% First-Priority Senior Secured Notes due 2020 315 — 315 — 8.875% Senior Secured Notes due 2018 (includes $1 and $2 of unamortized debt discount at September 30, 2016 and December 31, 2015, respectively) 760 — 995 — 9.00% Second-Priority Senior Secured Notes due 2020 574 — 574 — Debentures: 9.2% debentures due 2021 74 — 74 — 7.875% debentures due 2023 189 — 189 — Other Borrowings: Australia Facility due 2017 27 4 29 3 Brazilian bank loans 15 30 5 42 Capital leases 8 1 9 1 Other — 34 5 34 Unamortized debt issuance costs (41 ) — (51 ) — Total $ 3,475 $ 69 $ 3,698 $ 80

Commitments and Contingencies L

Commitments and Contingencies Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Schedule of Environmental Loss Contingencies by Site [Table Text Block]	$15 Liability Range of Reasonably Possible Costs at September 30, 2016 Site Description September 30, 2016 December 31, 2015 Low High Geismar, LA $ 14 $ 15 $ 9 $ 22 Superfund and offsite landfills – allocated share: Less than 1% — 1 — 2 Equal to or greater than 1% 7 7 5 13 Currently-owned 4 5 4 9 Formerly-owned: Remediation 28 33 25 42 Monitoring only 1 — — 1 Total $ 54 $ 61 $ 43 $ 89

Pension and Postretirement Ex27

Pension and Postretirement Expense Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]
Schedule of Changes in Projected Benefit Obligations [Table Text Block]	Following are the components of net pension and postretirement (benefit) expense recognized by the Company for the three and nine months ended September 30, 2016 and 2015 : Pension Benefits Non-Pension Postretirement Benefits Three Months Ended September 30, Three Months Ended September 30, 2016 2015 2016 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Service cost $ 1 $ 4 $ 1 $ 4 $ — $ — $ — $ — Interest cost on projected benefit obligation 2 3 2 3 — — — — Expected return on assets (4 ) (3 ) (4 ) (3 ) — — — — Net (benefit) expense $ (1 ) $ 4 $ (1 ) $ 4 $ — $ — $ — $ — Pension Benefits Non-Pension Postretirement Benefits Nine Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Service cost $ 3 $ 11 $ 3 $ 12 $ — $ — $ — $ — Interest cost on projected benefit obligation 6 8 7 8 — 1 — 1 Expected return on assets (11 ) (8 ) (12 ) (9 ) — — — — Amortization of prior service benefit — — — — (1 ) — — — Net (benefit) expense $ (2 ) $ 11 $ (2 ) $ 11 $ (1 ) $ 1 $ — $ 1

Segment Information Level 3 (Ta

Segment Information Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]	Net Sales (1) : Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Epoxy, Phenolic and Coating Resins $ 476 $ 669 $ 1,664 $ 2,026 Forest Products Resins 343 396 1,016 1,205 Total $ 819 $ 1,065 $ 2,680 $ 3,231 (1) Intersegment sales are not significant and, as such, are eliminated within the selling segment.
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Segment EBITDA: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Epoxy, Phenolic and Coating Resins $ 64 $ 92 $ 230 $ 265 Forest Products Resins 65 59 184 182 Corporate and Other (17 ) (18 ) (50 ) (54 ) Total $ 112 $ 133 $ 364 $ 393
Reconciliation of Segment EBITDA to Net Income [Table Text Block]	Reconciliation of Segment EBITDA to Net (Loss) Income: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Segment EBITDA: Epoxy, Phenolic and Coating Resins $ 64 $ 92 $ 230 $ 265 Forest Products Resins 65 59 184 182 Corporate and Other (17 ) (18 ) (50 ) (54 ) Total $ 112 $ 133 $ 364 $ 393 Reconciliation: Items not included in Segment EBITDA: Business realignment income (costs) $ 3 $ (3 ) $ (42 ) $ (11 ) Gain on dispositions — — 240 — Gain on extinguishment of debt 3 14 47 14 Realized and unrealized foreign currency (losses) gains (6 ) (14 ) 3 (17 ) Other (16 ) (4 ) (50 ) (33 ) Total adjustments (16 ) (7 ) 198 (47 ) Interest expense, net (76 ) (84 ) (235 ) (245 ) Income tax expense (16 ) (1 ) (40 ) (28 ) Depreciation and amortization (30 ) (34 ) (101 ) (102 ) Accelerated depreciation (21 ) — (127 ) — Net (loss) income $ (47 ) $ 7 $ 59 $ (29 )

Summarized Financial Informat29

Summarized Financial Information of Unconsolidated Affiliate Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Summarized Financial Information of Unconsolidated Affiliate [Abstract]
Schedule of Variable Interest Entities [Table Text Block]	Summarized financial information of the unconsolidated affiliate HAI for the nine months ended September 30, 2016 and 2015 is as follows: Nine Months Ended September 30, 2016 (1) 2015 Net sales $ 59 $ 120 Gross profit 25 47 Pre-tax income 14 26 Net income 14 25 (1) Amounts for the nine months ended September 30, 2016 represent activity through May 31, 2016, the date on which the Company sold its 50% interest in HAI (see Note 12).

Changes in Accumulated Other 30

Changes in Accumulated Other Comprehensive Income Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Changes of Accumulated Other Comprehensive Income [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]	Following is a summary of changes in “Accumulated other comprehensive loss” for the three and nine months ended September 30, 2016 and 2015 : Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Beginning balance $ 3 $ (18 ) $ (15 ) $ 4 $ 20 $ 24 Other comprehensive income (loss) before reclassifications, net of tax — 7 7 — (24 ) (24 ) Ending balance $ 3 $ (11 ) $ (8 ) $ 4 $ (4 ) $ — Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Defined Benefit Pension and Postretirement Plans Foreign Currency Translation Adjustments Total Beginning balance $ 4 $ (19 ) $ (15 ) $ 4 $ 69 $ 73 Other comprehensive (loss) income before reclassifications, net of tax (1 ) 8 7 — (73 ) (73 ) Ending balance $ 3 $ (11 ) $ (8 ) $ 4 $ (4 ) $ —

Guarantor Non-Guarantor Subsi31

Guarantor Non-Guarantor Subsidiary Financial Information Level 3 (Tables)	9 Months Ended
	Sep. 30, 2016
Guarantor Non Guarantor Subsidary Financial Information [Abstract]
Condensed Consolidating Balance Sheet [Table Text Block]	HEXION INC. SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING BALANCE SHEET (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents (including restricted cash of $0 and $19, respectively) $ 49 $ — $ 96 $ — $ 145 Accounts receivable, net 140 1 357 — 498 Intercompany accounts receivable 115 — 38 (153 ) — Intercompany loans receivable - current portion 27 — 144 (171 ) — Inventories: Finished and in-process goods 90 — 131 — 221 Raw materials and supplies 35 — 63 — 98 Other current assets 42 — 38 — 80 Total current assets 498 1 867 (324 ) 1,042 Investment in unconsolidated entities 79 6 18 (86 ) 17 Deferred income taxes — — 10 — 10 Other assets, net 15 6 22 — 43 Intercompany loans receivable 1,080 — 214 (1,294 ) — Property and equipment, net 444 — 448 — 892 Goodwill 66 — 58 — 124 Other intangible assets, net 43 — 13 — 56 Total assets $ 2,225 $ 13 $ 1,650 $ (1,704 ) $ 2,184 Liabilities and Deficit Current liabilities: Accounts payable $ 106 $ — $ 205 $ — $ 311 Intercompany accounts payable 38 — 115 (153 ) — Debt payable within one year 8 — 61 — 69 Intercompany loans payable within one year 144 — 27 (171 ) — Interest payable 95 — 1 — 96 Income taxes payable 22 — 2 — 24 Accrued payroll and incentive compensation 23 — 35 — 58 Other current liabilities 104 — 56 — 160 Total current liabilities 540 — 502 (324 ) 718 Long-term liabilities: Long-term debt 3,430 — 45 — 3,475 Intercompany loans payable 210 6 1,078 (1,294 ) — Accumulated losses of unconsolidated subsidiaries in excess of investment 313 86 — (399 ) — Long-term pension and post employment benefit obligations 41 — 183 — 224 Deferred income taxes (3 ) — 17 — 14 Other long-term liabilities 104 — 60 — 164 Advance from affiliates — — — — — Total liabilities 4,635 92 1,885 (2,017 ) 4,595 Total Hexion Inc. shareholder’s deficit (2,410 ) (79 ) (234 ) 313 (2,410 ) Noncontrolling interest — — (1 ) — (1 ) Total deficit (2,410 ) (79 ) (235 ) 313 (2,411 ) Total liabilities and deficit $ 2,225 $ 13 $ 1,650 $ (1,704 ) $ 2,184 HEXION INC. DECEMBER 31, 2015 CONDENSED CONSOLIDATING BALANCE SHEET Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents (including restricted cash of $0 and $8, respectively) $ 62 $ — $ 174 $ — $ 236 Accounts receivable, net 115 1 334 — 450 Intercompany accounts receivable 132 — 154 (286 ) — Intercompany loans receivable — — 174 (174 ) — Inventories: Finished and in-process goods 97 — 121 — 218 Raw materials and supplies 34 — 56 — 90 Other current assets 29 — 24 — 53 Total current assets 469 1 1,037 (460 ) 1,047 Investment in unconsolidated entities 117 28 21 (130 ) 36 Deferred income taxes — — 13 — 13 Other long-term assets 21 6 21 — 48 Intercompany loans receivable 1,269 6 108 (1,383 ) — Property and equipment, net 559 — 492 — 1,051 Goodwill 65 — 57 — 122 Other intangible assets, net 49 — 16 — 65 Total assets $ 2,549 $ 41 $ 1,765 $ (1,973 ) $ 2,382 Liabilities and Deficit Current liabilities: Accounts payable $ 148 $ — $ 238 $ — $ 386 Intercompany accounts payable 154 — 132 (286 ) — Debt payable within one year 6 — 74 — 80 Intercompany loans payable within one year 174 — — (174 ) — Interest payable 80 — 2 — 82 Income taxes payable 7 — 8 — 15 Accrued payroll and incentive compensation 43 — 35 — 78 Other current liabilities 73 — 50 — 123 Total current liabilities 685 — 539 (460 ) 764 Long term liabilities: Long-term debt 3,656 — 42 — 3,698 Intercompany loans payable 93 6 1,284 (1,383 ) — Accumulated losses of unconsolidated subsidiaries in excess of investment 429 130 — (559 ) — Long-term pension and post employment benefit obligations 45 — 179 — 224 Deferred income taxes 6 — 6 — 12 Other long-term liabilities 111 — 50 — 161 Total liabilities 5,025 136 2,100 (2,402 ) 4,859 Total Hexion Inc. shareholder’s deficit (2,476 ) (95 ) (334 ) 429 (2,476 ) Noncontrolling interest — — (1 ) — (1 ) Total deficit (2,476 ) (95 ) (335 ) 429 (2,477 ) Total liabilities and deficit $ 2,549 $ 41 $ 1,765 $ (1,973 ) $ 2,382
Condensed Consolidating Statement of Operations [Table Text Block]	HEXION INC. THREE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 356 $ — $ 507 $ (44 ) $ 819 Cost of sales 325 — 420 (44 ) 701 Gross profit 31 — 87 — 118 Selling, general and administrative expense 30 — 39 — 69 Business realignment (income) costs (7 ) — 4 — (3 ) Other operating expense (income), net 10 6 (9 ) — 7 Operating (loss) income (2 ) (6 ) 53 — 45 Interest expense, net 74 — 2 — 76 Intercompany interest (income) expense, net (18 ) — 18 — — Gain on extinguishment of debt (3 ) — — — (3 ) Other non-operating (income) expense, net (5 ) — 7 — 2 (Loss) income before income tax and earnings (losses) from unconsolidated entities (50 ) (6 ) 26 — (30 ) Income tax expense 9 — 7 — 16 (Loss) income before earnings (losses) from unconsolidated entities (59 ) (6 ) 19 — (46 ) Earnings (losses) from unconsolidated entities, net of taxes 12 (1 ) — (12 ) (1 ) Net (loss) income $ (47 ) $ (7 ) $ 19 $ (12 ) $ (47 ) Comprehensive (loss) income $ (40 ) $ (7 ) $ 26 $ (19 ) $ (40 ) HEXION INC. THREE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 433 $ — $ 675 $ (43 ) $ 1,065 Cost of sales 384 — 564 (43 ) 905 Gross profit 49 — 111 — 160 Selling, general and administrative expense 29 — 42 — 71 Business realignment costs 1 — 2 — 3 Other operating expense, net 5 — 7 — 12 Operating income 14 — 60 — 74 Interest expense, net 81 — 3 — 84 Intercompany interest (income) expense, net (20 ) (1 ) 21 — — Gain on extinguishment of debt (14 ) — — — (14 ) Other non-operating (income) expense, net (1 ) — 1 — — (Loss) income before income tax and earnings from unconsolidated entities (32 ) 1 35 — 4 Income tax expense 1 — — — 1 (Loss) income before earnings from unconsolidated entities (33 ) 1 35 — 3 Earnings from unconsolidated entities, net of taxes 40 17 — (53 ) 4 Net income $ 7 $ 18 $ 35 $ (53 ) $ 7 Comprehensive (loss) income $ (17 ) $ 17 $ 20 $ (37 ) $ (17 ) HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 1,119 $ — $ 1,701 $ (140 ) $ 2,680 Cost of sales 1,080 — 1,417 (140 ) 2,357 Gross profit 39 — 284 — 323 Selling, general and administrative expense 109 — 126 — 235 Gain on dispositions (188 ) — (52 ) — (240 ) Business realignment costs 31 — 11 — 42 Other operating expense (income), net 14 6 (14 ) — 6 Operating income (loss) 73 (6 ) 213 — 280 Interest expense, net 227 — 8 — 235 Intercompany interest (income) expense, net (55 ) — 55 — — Gain on extinguishment of debt (47 ) — — — (47 ) Other non-operating (income) expense, net (16 ) — 17 — 1 (Loss) income before income tax and earnings from unconsolidated entities (36 ) (6 ) 133 — 91 Income tax expense 5 — 35 — 40 (Loss) income before earnings from unconsolidated entities (41 ) (6 ) 98 — 51 Earnings from unconsolidated entities, net of taxes 100 45 2 (139 ) 8 Net income $ 59 $ 39 $ 100 $ (139 ) $ 59 Comprehensive income $ 66 $ 39 $ 100 $ (139 ) $ 66 HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 1,341 $ — $ 2,030 $ (140 ) $ 3,231 Cost of sales 1,187 — 1,706 (140 ) 2,753 Gross profit 154 — 324 — 478 Selling, general and administrative expense 89 — 140 — 229 Business realignment costs 4 — 7 — 11 Other operating expense, net 9 — 13 — 22 Operating income 52 — 164 — 216 Interest expense, net 239 — 6 — 245 Intercompany interest (income) expense, net (60 ) (1 ) 61 — — Gain on extinguishment of debt (14 ) — — — (14 ) Other non-operating expense (income), net 68 — (69 ) — (1 ) (Loss) income before income tax and earnings from unconsolidated entities (181 ) 1 166 — (14 ) Income tax (benefit) expense (1 ) — 29 — 28 (Loss) income before earnings from unconsolidated entities (180 ) 1 137 — (42 ) Earnings from unconsolidated entities, net of taxes 151 95 — (233 ) 13 Net (loss) income $ (29 ) $ 96 $ 137 $ (233 ) $ (29 ) Comprehensive (loss) income $ (102 ) $ 96 $ 102 $ (198 ) $ (102 )
Condensed Consolidating Statement of Cash Flows [Table Text Block]	HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2016 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Cash flows (used in) provided by operating activities $ (198 ) $ 4 $ 67 $ (4 ) $ (131 ) Cash flows provided by (used in) investing activities Capital expenditures (47 ) — (44 ) — (91 ) Capitalized interest (1 ) — — — (1 ) Proceeds from dispositions, net 146 — 135 — 281 Cash received on buyer’s note 45 — — — 45 Proceeds from sale of assets, net — — 1 — 1 Change in restricted cash — — (11 ) — (11 ) Capital contribution to subsidiary (13 ) (9 ) — 22 — Investment in unconsolidated affiliates, net (1 ) — — — (1 ) Return of capital from subsidiary from sales of accounts receivable 70 (a) — — (70 ) — 199 (9 ) 81 (48 ) 223 Cash flows (used in) provided by financing activities Net short-term debt borrowings (repayments) 2 — (15 ) — (13 ) Borrowings of long-term debt 280 — 181 — 461 Repayments of long-term debt (467 ) — (176 ) — (643 ) Net intercompany loan borrowings (repayments) 171 — (171 ) — — Capital contributions — 9 13 (22 ) — Common stock dividends paid — (4 ) — 4 — Return of capital to parent from sales of accounts receivable — — (70 ) (a) 70 — (14 ) 5 (238 ) 52 (195 ) Effect of exchange rates on cash and cash equivalents — — 1 — 1 Decrease in cash and cash equivalents (13 ) — (89 ) — (102 ) Cash and cash equivalents (unrestricted) at beginning of period 62 — 166 — 228 Cash and cash equivalents (unrestricted) at end of period $ 49 $ — $ 77 $ — $ 126 (a) During the nine months ended September 30, 2016 , Hexion Inc. contributed receivables of $70 to a non-guarantor subsidiary as capital contributions, resulting in a non-cash transaction. During the nine months ended September 30, 2016 , the non-guarantor subsidiary sold the contributed receivables to certain banks under various supplier financing agreements. The cash proceeds were returned to Hexion Inc. by the non-guarantor subsidiary as a return of capital. The sale of receivables has been included within cash flows from operating activities on the Combined non-guarantor subsidiaries. The return of the cash proceeds from the sale of receivables has been included as a financing outflow and an investing inflow on the Combined Non-Guarantor Subsidiaries and Hexion Inc., respectively. HEXION INC. NINE MONTHS ENDED SEPTEMBER 30, 2015 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Cash flows (used in) provided by operating activities $ (255 ) $ 14 $ 321 $ (14 ) $ 66 Cash flows provided by (used in) investing activities Capital expenditures (63 ) — (59 ) — (122 ) Purchase of business, net of cash acquired — — (7 ) — (7 ) Proceeds from sale of investments, net — — 6 — 6 Proceeds from sale of assets — — 1 — 1 Change in restricted cash — — 8 — 8 Capital contribution to subsidiary (13 ) (8 ) — 21 — Return of capital from subsidiary from sales of accounts receivable 227 (a) — — (227 ) — 151 (8 ) (51 ) (206 ) (114 ) Cash flows provided by (used in) financing activities Net short-term debt borrowings (repayments) 3 — (4 ) — (1 ) Borrowings of long-term debt 470 — 22 — 492 Repayments of long-term debt (354 ) — (39 ) — (393 ) Net intercompany loan borrowings (repayments) 17 — (17 ) — — Capital contributions — 8 13 (21 ) — Long-term debt and credit facility financing fees (10 ) — — — (10 ) Common stock dividends paid — (14 ) — 14 — Return of capital to parent from sales of accounts receivable — — (227 ) (a) 227 — 126 (6 ) (252 ) 220 88 Effect of exchange rates on cash and cash equivalents — — (9 ) — (9 ) Increase in cash and cash equivalents 22 — 9 — 31 Cash and cash equivalents (unrestricted) at beginning of period 23 — 133 — 156 Cash and cash equivalents (unrestricted) at end of period $ 45 $ — $ 142 $ — $ 187 (a) During the nine months ended September 30, 2015 , Hexion Inc. contributed receivables of $227 to a non-guarantor subsidiary as capital contributions, resulting in a non-cash transaction. During the nine months ended September 30, 2015 , the non-guarantor subsidiary sold the contributed receivables to certain banks under various supplier financing agreements. The cash proceeds were returned to Hexion Inc. by the non-guarantor subsidiary as a return of capital. The sale of receivables has been included within cash flows from operating activities on the Combined non-guarantor subsidiaries. The return of the cash proceeds from the sale of receivables has been included as a financing outflow and an investing inflow on the Combined Non-Guarantor Subsidiaries and Hexion Inc., respectively.

Background and Basis of Prese32

Background and Basis of Presentation Level 4 (Details) - Number of Reportable Segments	9 Months Ended
	Sep. 30, 2016Segments
Segment Reporting Information [Line Items]
Number of Reportable Segments	2

Restructuring (Details)

Restructuring (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Jun. 30, 2016	Sep. 30, 2016
OTG [Domain]
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Accelerated Depreciation	$ 21
Norco [Member]
Restructuring Cost and Reserve [Line Items]
Norco Restructuring and Related Cost, Accelerated Depreciation			$ 76
Loss on Contract Termination		$ 25	23
Restructuring Reserve, Accrual Adjustment	2
Other Liabilities	19		19
Norco related Other liabilities, Noncurrent	2		2
Costs Incurred, Asset Retirement Obligation Incurred		$ 30
Costs Incurred, Asset Retirement Obligation Incurred			30
Asset Retirement Obligation, Revision of Estimate	11
Norco ARO Liability	14		14
Norco ARO related Other liabilities, Noncurrent	2		2
Restructuring and Related Cost, Incurred Cost	$ 3		$ 13

Related Party Transactions Leve

Related Party Transactions Level 4 (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Apollo [Member]
Related Party Transaction [Line Items]
Annual management consulting fee			$ 3
Annual management consulting fee percentage			2.00%
Related Party Costs	$ 1	$ 1	$ 2	$ 2
Subsidiary of Common Parent [Member]
Related Party Transaction [Line Items]
Shared Services Costs Incurred by MPM			38	49
Apollo Affiliates and Other Related Parties [Member]
Related Party Transaction [Line Items]
Due to Related Parties	1		1		$ 1
Revenue from Related Parties	1	8	6	55
Due from Related Parties	1		1		1
Purchases From Related Parties	1	1	1	2
Momentive Performance Materials Inc. [Member]
Related Party Transaction [Line Items]
Accounts Receivable shared services costs	5		5		7
Purchases Related to Distribution Agreement	7	7	21	21
Revenues from distribution agreement	1		1	1
AP related to distribution agreement	$ 2		2		2
HAI [Member]
Related Party Transaction [Line Items]
Due to Related Parties					1
Revenue from Related Parties		17	$ 26	56
Equity Method Investment, Ownership Percentage	50.00%		50.00%
Due from Related Parties	$ 1		$ 1		1
Purchases From Related Parties		3	4	12
Cash Dividends Declared to Parent Company by Unconsolidated Subsidiaries		5	4	14
Russian Joint Venture [Member]
Related Party Transaction [Line Items]
Accounts Receivable, Related Parties, Current	2		2		2
Loans and Leases Receivable, Related Parties	6		6		6
Other joint ventures unconsolidated [Member]
Related Party Transaction [Line Items]
sales to joint venture	4	9	12	31
Due from Joint Ventures	5		5		10
Purchases from JV	4	1	10	25
due to joint ventures	1		1		2
Hexion Inc. [Member]
Related Party Transaction [Line Items]
Shared Services Costs Incurred by Hexion			50	58
Shared Services Billings - Hexion to MPM			23	30
Maximum [Member] | Apollo Affiliates and Other Related Parties [Member]
Related Party Transaction [Line Items]
Due to Related Parties	1		1		1
Maximum [Member] | Momentive Performance Materials Inc. [Member]
Related Party Transaction [Line Items]
Due to Related Parties	1		1		1
Revenue from Related Parties	1	1	1	1
Due from Related Parties	1		1		$ 1
Purchases From Related Parties	$ 1	$ 1	$ 1	$ 3

Fair Value Level 4 (Details) -

Fair Value Level 4 (Details) - Fair Value Hierarchy $ in Millions	Sep. 30, 2016USD ($)
Maximum [Member] | Fair Value Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Liabilities	$ 1

Fair Value Level 4 (Details) 36

Fair Value Level 4 (Details) - Fair Value of Debt - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term Debt	$ 3,585	$ 3,829
Long-term Debt, fair value	3,098	2,570
Fair Value Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term Debt, fair value	0	0
Fair Value Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term Debt, fair value	3,089	2,560
Fair Value Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term Debt, fair value	$ 9	$ 10

Debt Obligations Level 4 (Detai

Debt Obligations Level 4 (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 69	$ 80
Long-term debt	3,475	3,698
ABL Facility [Domain]
Non-Affiliated Debt [Abstract]
Due Within One Year	0	0
Long-term debt	0	0
6.625% First Priority Senior Notes Due 2020 [Member]
Debt Instrument [Line Items]
Debt Instrument, Unamortized Premium	4	4
Non-Affiliated Debt [Abstract]
Due Within One Year	0	0
Long-term debt	$ 1,554	$ 1,554
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage	6.625%	6.625%
Debt Instrument, Maturity Date	Apr. 15, 2020
10.00% First Priority Senior Notes Due 2020 [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 0	$ 0
Long-term debt	315	315
8.875% Senior Secured Notes Due 2018 [Member]
Debt Instrument [Line Items]
Debt Instrument, Unamortized Discount	1	2
Non-Affiliated Debt [Abstract]
Due Within One Year	0	0
Long-term debt	$ 760	$ 995
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage	8.875%	8.875%
Debt Instrument, Maturity Date	Feb. 15, 2018
9.00% Second-Priority Senior Secured Notes Due 2020 [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 0	$ 0
Long-term debt	$ 574	$ 574
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage	9.00%	9.00%
Debt Instrument, Maturity Date	Nov. 15, 2020
9.2% Debentures Due 2021 [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 0	$ 0
Long-term debt	$ 74	$ 74
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage	9.20%	9.20%
Debt Instrument, Maturity Date	Mar. 15, 2021
7.875% Debentures Due 2023 [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 0	$ 0
Long-term debt	$ 189	$ 189
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage	7.875%	7.875%
Debt Instrument, Maturity Date	Feb. 15, 2023
8.375% Sinking Fund Debentures Due 2016 [Member]
Affiliated Debt [Abstract]
Debt Instrument, Interest Rate, Stated Percentage
Debt Instrument, Maturity Date
Australia Facility Due 2017 [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 4	$ 3
Long-term debt	27	29
Brazilian Bank Loans [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	30	42
Long-term debt	15	5
Capital Leases [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	1	1
Long-term debt	8	9
Other [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	34	34
Long-term debt	$ 0	5
Australia Facility Due 2017 [Member]
Affiliated Debt [Abstract]
Debt Instrument, Maturity Date	Dec. 5, 2017
Unamortized debt issuance costs [Member]
Non-Affiliated Debt [Abstract]
Due Within One Year	$ 0	0
Debt Issuance Costs, Gross	$ (41)	$ (51)

Debt Obligations Level 4 (Det38

Debt Obligations Level 4 (Details) - Debt Transactions - 8.875% Senior Secured Notes Due 2018 [Member] - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Dec. 31, 2015
Extinguishment of Debt [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	8.875%	8.875%	8.875%
cash payment, debt extinguishment	$ 33	$ 187
Gain on Extinguishment of Debt	3	47
Extinguishment of Debt, Amount	$ 36	$ 235

Commitments and Contingencies39

Commitments and Contingencies Level 4 (Details) - Environmental Liabilities - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Accrued Environmental Loss Contingencies, Current	$ 11	$ 13
Estimated Litigation Liability, Current
Environmental Institution of Parana IAP [Member]
Liability	15
Geismar, LA [Member]
Accrual for Environmental Loss Contingencies	$ 14	15
Discount rate assumed to record at present value	3.00%
Undiscounted Liability Expected to be Paid	next 22 years
Accrual for Environmental Loss Contingencies, Gross	$ 20
Accrual for Environmental Loss Contingencies, Undiscounted, Due Ratably over the Next Five Years	6
Superfund and Offsite Landfills - allocated share: Less than 1% [Member]
Accrual for Environmental Loss Contingencies	0	1
Superfund and Offsite Landfills - allocated share: Equal to or Greater than 1% [Member]
Accrual for Environmental Loss Contingencies	7	7
Currently-Owned [Member]
Accrual for Environmental Loss Contingencies	4	5
Accrual for Environmental Loss Contingencies, Undiscounted, Due Ratably over the Next Five Years	5
Formerly-Owned - Remediation [Member]
Accrual for Environmental Loss Contingencies	28	33
Formerly-Owned - Monitoring Only [Member]
Accrual for Environmental Loss Contingencies	1	$ 0
Maximum [Member] | Geismar, LA [Member]
Liability	22
Maximum [Member] | Superfund and Offsite Landfills - allocated share: Less than 1% [Member]
Liability	2
Maximum [Member] | Superfund and Offsite Landfills - allocated share: Equal to or Greater than 1% [Member]
Liability	13
Maximum [Member] | Currently-Owned [Member]
Liability	9
Maximum [Member] | Formerly-Owned - Remediation [Member]
Liability	42
Maximum [Member] | Formerly-Owned - Monitoring Only [Member]
Liability	1
Minimum [Member] | Geismar, LA [Member]
Liability	9
Minimum [Member] | Superfund and Offsite Landfills - allocated share: Less than 1% [Member]
Liability	0
Minimum [Member] | Superfund and Offsite Landfills - allocated share: Equal to or Greater than 1% [Member]
Liability	5
Minimum [Member] | Currently-Owned [Member]
Liability	4
Minimum [Member] | Formerly-Owned - Remediation [Member]
Liability	25
Minimum [Member] | Formerly-Owned - Monitoring Only [Member]
Liability	$ 0

Commitments and Contingencies40

Commitments and Contingencies Level 4 (Details) - Non-Environmental Liabilities - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Loss Contingencies [Line Items]
Accrued Environmental Loss Contingencies, Current	$ 11	$ 13
Estimated Litigation Liability	2	4
Estimated Litigation Liability, Current

Pension and Postretirement Ex41

Pension and Postretirement Expense Level 4 (Details) - Components of net pension and postretirement expense benefit - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Pension Benefits - U.S. Plans [Member]
Pension Benefits and Non-Pension Postretirement Benefits Disclosures Table Text Block [Line Items]
Service cost	$ 1	$ 1	$ 3	$ 3
Interest cost on projected benefit obligation	2	2	6	7
Expected return on assets	(4)	(4)	(11)	(12)
Amortization of Prior Service benefit			0	0
Net expense (benefit)	(1)	(1)	(2)	(2)
Pension Benefits - Non-U.S. Plans [Member]
Pension Benefits and Non-Pension Postretirement Benefits Disclosures Table Text Block [Line Items]
Service cost	4	4	11	12
Interest cost on projected benefit obligation	3	3	8	8
Expected return on assets	(3)	(3)	(8)	(9)
Amortization of Prior Service benefit			0	0
Net expense (benefit)	(4)	(4)	(11)	(11)
Non-Pension Postretirement Benefits - U.S. Plans [Member]
Pension Benefits and Non-Pension Postretirement Benefits Disclosures Table Text Block [Line Items]
Service cost	0	0	0	0
Interest cost on projected benefit obligation	0	0	0	0
Expected return on assets	0	0	0	0
Amortization of Prior Service benefit			(1)	0
Net expense (benefit)	0	0	(1)	0
Non-Pension Postretirement Benefits - Non-U.S. Plans [Member]
Pension Benefits and Non-Pension Postretirement Benefits Disclosures Table Text Block [Line Items]
Service cost	0	0	0	0
Interest cost on projected benefit obligation	0	0	1	1
Expected return on assets	0	0	0	0
Amortization of Prior Service benefit			0	0
Net expense (benefit)	$ 0	$ 0	$ 1	$ 1

Segment Information Level 4 (De

Segment Information Level 4 (Details) - Revenues by Segment - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015		Sep. 30, 2016	Sep. 30, 2015
Segment Reporting Information [Line Items]
Net Sales to Unaffiliated Customers	$ 819	$ 1,065		$ 2,680	$ 3,231
Epoxy, Phenolic and Coating Resins [Member]
Segment Reporting Information [Line Items]
Net Sales to Unaffiliated Customers	476	669	[1]	1,664	2,026	[1]
Forest Products Resins [Member]
Segment Reporting Information [Line Items]
Net Sales to Unaffiliated Customers	$ 343	$ 396	[1]	$ 1,016	$ 1,205	[1]
[1]	Intersegment sales are not significant and, as such, are eliminated within the selling segment.

Segment Information Level 4 (43

Segment Information Level 4 (Details) - EBITDA by Segment - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	$ 112	$ 133	$ 364	$ 393
Epoxy, Phenolic and Coating Resins [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	64	92	230	265
Forest Products Resins [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	65	59	184	182
Corporate and Other [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	$ (17)	$ (18)	$ (50)	$ (54)

Segment Information Level 4 (44

Segment Information Level 4 (Details) - Reconciliation of Segment EBITDA to Net Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	$ 112	$ 133	$ 364	$ 393
Business realignment costs	3	(3)	(42)	(11)
Gain (Loss) on Disposition of Business	0	0	240	0
Integration costs	3	14	47	14
Foreign Currency Transaction Gain (Loss), before Tax	(6)	(14)	3	(17)
Other	(16)	(4)	(50)	(33)
Total adjustments	(16)	(7)	198	(47)
Interest expense, net	(76)	(84)	(235)	(245)
Income Tax Expense (Benefit)	(16)	(1)	(40)	(28)
Depreciation and amortization	(30)	(34)	(101)	(102)
Restructuring and Related Cost, Accelerated Depreciation	(21)	0	(127)	0
Net (loss) income	(47)	7	59	(29)
Epoxy, Phenolic and Coating Resins [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	64	92	230	265
Forest Products Resins [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	65	59	184	182
Corporate and Other [Member]
Segment Reporting Information [Line Items]
Segment EBITDA [Line Items]	$ (17)	$ (18)	$ (50)	$ (54)

Summarized Financial Informat45

Summarized Financial Information of Unconsolidated Affiliate Level 4 (Details) - HAI Results of Operation - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
HAI Summarized Financial Information [Line Items]
Net sales	$ 59	$ 120
Gross Profit	25	47
Pre-tax income	14	26
Net Income	$ 14	$ 25

Changes in Accumulated Other 46

Changes in Accumulated Other Comprehensive Income Level 4 (Details) - Summary of Changes in Accumulated Other Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Jun. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Dec. 31, 2014
Changes in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	$ (15)	$ 24	$ (15)	$ 73
Other comprehensive income before reclassifications, net of tax	7	(24)	7	(73)
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax		(24)		(73)
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax	3	4	3	4	$ 3	$ 4	$ 4	$ 4
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Reclassification Adjustments, Net of Tax		0		0
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax	0	0	1	0
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax	7	(24)	8	(73)
Other Comprehensive Income (Loss), Net of Tax	7	(24)	7	(73)
Ending Balance	(8)	0	(8)	0
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax	$ (11)	$ (4)	$ (11)	$ (4)	$ (18)	$ (19)	$ 20	$ 69

HAI Disposition (Details)

HAI Disposition (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
HAI JV [Line Items]
Disposition purchase price	$ 136
HAI Cash	2
HAI Gain on Disposition	120
Proceeds from Divestiture of Businesses, Net of Cash Divested	61
Notes Assumed	75	$ 0
Cash received on buyers note	45	$ 0
Buyers Note Outstanding	$ 30

PAC Disposition (Details)

PAC Disposition (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Dec. 31, 2015
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
gross cash consideration	$ 226	$ 226
Liabilities transferred, net of cash	6	6
PAC post closing adjustment to purchase price	1
Gain (Loss) on Disposition of Business	$ 120	120
PAC Business Annual Sales			$ 370
Pre-tax Income of Affiliate		$ 14

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Effective Income Tax Rate Reconciliation, Percent [Abstract]
Effective Income Tax Rate Reconciliation, Percent	(53.00%)	25.00%	44.00%	(200.00%)

Guarantor Non-Guarantor Subsi50

Guarantor Non-Guarantor Subsidiary Financial Information Level 4 (Details) - Additional Information	Sep. 30, 2016	Dec. 31, 2015
6.625% First Priority Senior Notes Due 2020 [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	6.625%	6.625%
8.875% Senior Secured Notes Due 2018 [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	8.875%	8.875%
9.00% Second-Priority Senior Secured Notes Due 2020 [Member]
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	9.00%	9.00%

Guarantor Non-Guarantor Subsi51

Guarantor Non-Guarantor Subsidiary Financial Information Level 4 (Details) - Consolidating Balance Sheets - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Current assets
Cash and cash equivalents (including restricted cash of $0 and $19, respectively)	$ 145	$ 236
Accounts receivable, net	498	450
Intercompany accounts receivable	0	0
Intercompany loans receivable - current portion	0	0
Finished and in-process goods	221	218
Raw materials and supplies	98	90
Other current assets	80	53
Total current assets	1,042	1,047
Investment in unconsolidated entities	17	36
Deferred income taxes	10	13
Other assets, net	43	48
Intercompany loans receivable	0	0
Property, Plant and Equipment, Net	892	1,051
Goodwill	124	122
Other intangible assets, net	56	65
Total assets	2,184	2,382
Current liabilities
Accounts and drafts payable	311	386
Intercompany accounts payable	0	0
Debt payable within one year	69	80
Intercompany loans payable within one year	0	0
Interest payable	96	82
Income taxes payable	24	15
Accrued payroll and incentive compensation	58	78
Other current liabilities	160	123
Total current liabilities	718	764
Long-term liabilities
Long-term debt	3,475	3,698
Intercompany loans payable	0	0
Accumulated losses of unconsolidated subsidiaries in excess of investment	0	0
Long-term pension and post employment benefit obligations	224	224
Deferred income taxes	14	12
Other long-term liabilities	164	161
Due to Affiliate	0
Total liabilities	4,595	4,859
Total Hexion Inc. shareholder’s deficit	(2,410)	(2,476)
Noncontrolling interest	(1)	(1)
Total deficit	(2,411)	(2,477)
Total liabilities and deficit	2,184	2,382
Hexion Inc. [Member]
Current assets
Cash and cash equivalents (including restricted cash of $0 and $19, respectively)	49	62
Accounts receivable, net	140	115
Intercompany accounts receivable	115	132
Intercompany loans receivable - current portion	27	0
Finished and in-process goods	90	97
Raw materials and supplies	35	34
Other current assets	42	29
Total current assets	498	469
Investment in unconsolidated entities	79	117
Deferred income taxes	0	0
Other assets, net	15	21
Intercompany loans receivable	1,080	1,269
Property, Plant and Equipment, Net	444	559
Goodwill	66	65
Other intangible assets, net	43	49
Total assets	2,225	2,549
Current liabilities
Accounts and drafts payable	106	148
Intercompany accounts payable	38	154
Debt payable within one year	8	6
Intercompany loans payable within one year	144	174
Interest payable	95	80
Income taxes payable	22	7
Accrued payroll and incentive compensation	23	43
Other current liabilities	104	73
Total current liabilities	540	685
Long-term liabilities
Long-term debt	3,430	3,656
Intercompany loans payable	210	93
Accumulated losses of unconsolidated subsidiaries in excess of investment	313	429
Long-term pension and post employment benefit obligations	41	45
Deferred income taxes	(3)	6
Other long-term liabilities	104	111
Due to Affiliate	0
Total liabilities	4,635	5,025
Total Hexion Inc. shareholder’s deficit	(2,410)	(2,476)
Noncontrolling interest	0	0
Total deficit	(2,410)	(2,476)
Total liabilities and deficit	2,225	2,549
Combined Subsidiary Guarantors [Member]
Current assets
Cash and cash equivalents (including restricted cash of $0 and $19, respectively)	0	0
Accounts receivable, net	1	1
Intercompany accounts receivable	0	0
Intercompany loans receivable - current portion	0	0
Finished and in-process goods	0	0
Raw materials and supplies	0	0
Other current assets	0	0
Total current assets	1	1
Investment in unconsolidated entities	6	28
Deferred income taxes	0	0
Other assets, net	6	6
Intercompany loans receivable	0	6
Property, Plant and Equipment, Net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Total assets	13	41
Current liabilities
Accounts and drafts payable	0	0
Intercompany accounts payable	0	0
Debt payable within one year	0	0
Intercompany loans payable within one year	0	0
Interest payable	0	0
Income taxes payable	0	0
Accrued payroll and incentive compensation	0	0
Other current liabilities	0	0
Total current liabilities	0	0
Long-term liabilities
Long-term debt	0	0
Intercompany loans payable	6	6
Accumulated losses of unconsolidated subsidiaries in excess of investment	86	130
Long-term pension and post employment benefit obligations	0	0
Deferred income taxes	0	0
Other long-term liabilities	0	0
Due to Affiliate	0
Total liabilities	92	136
Total Hexion Inc. shareholder’s deficit	(79)	(95)
Noncontrolling interest	0	0
Total deficit	(79)	(95)
Total liabilities and deficit	13	41
Combined Non-Guarantor Subsidiaries [Member]
Current assets
Cash and cash equivalents (including restricted cash of $0 and $19, respectively)	96	174
Accounts receivable, net	357	334
Intercompany accounts receivable	38	154
Intercompany loans receivable - current portion	144	174
Finished and in-process goods	131	121
Raw materials and supplies	63	56
Other current assets	38	24
Total current assets	867	1,037
Investment in unconsolidated entities	18	21
Deferred income taxes	10	13
Other assets, net	22	21
Intercompany loans receivable	214	108
Property, Plant and Equipment, Net	448	492
Goodwill	58	57
Other intangible assets, net	13	16
Total assets	1,650	1,765
Current liabilities
Accounts and drafts payable	205	238
Intercompany accounts payable	115	132
Debt payable within one year	61	74
Intercompany loans payable within one year	27	0
Interest payable	1	2
Income taxes payable	2	8
Accrued payroll and incentive compensation	35	35
Other current liabilities	56	50
Total current liabilities	502	539
Long-term liabilities
Long-term debt	45	42
Intercompany loans payable	1,078	1,284
Accumulated losses of unconsolidated subsidiaries in excess of investment	0	0
Long-term pension and post employment benefit obligations	183	179
Deferred income taxes	17	6
Other long-term liabilities	60	50
Due to Affiliate	0
Total liabilities	1,885	2,100
Total Hexion Inc. shareholder’s deficit	(234)	(334)
Noncontrolling interest	(1)	(1)
Total deficit	(235)	(335)
Total liabilities and deficit	1,650	1,765
Consolidation, Eliminations [Member]
Current assets
Cash and cash equivalents (including restricted cash of $0 and $19, respectively)	0	0
Accounts receivable, net	0	0
Intercompany accounts receivable	(153)	(286)
Intercompany loans receivable - current portion	(171)	(174)
Finished and in-process goods	0	0
Raw materials and supplies	0	0
Other current assets	0	0
Total current assets	(324)	(460)
Investment in unconsolidated entities	(86)	(130)
Deferred income taxes	0	0
Other assets, net	0	0
Intercompany loans receivable	(1,294)	(1,383)
Property, Plant and Equipment, Net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Total assets	(1,704)	(1,973)
Current liabilities
Accounts and drafts payable	0	0
Intercompany accounts payable	(153)	(286)
Debt payable within one year	0	0
Intercompany loans payable within one year	(171)	(174)
Interest payable	0	0
Income taxes payable	0	0
Accrued payroll and incentive compensation	0	0
Other current liabilities	0	0
Total current liabilities	(324)	(460)
Long-term liabilities
Long-term debt	0	0
Intercompany loans payable	(1,294)	(1,383)
Accumulated losses of unconsolidated subsidiaries in excess of investment	(399)	(559)
Long-term pension and post employment benefit obligations	0	0
Deferred income taxes	0	0
Other long-term liabilities	0	0
Due to Affiliate	0
Total liabilities	(2,017)	(2,402)
Total Hexion Inc. shareholder’s deficit	313	429
Noncontrolling interest	0	0
Total deficit	313	429
Total liabilities and deficit	$ (1,704)	$ (1,973)

Guarantor Non-Guarantor Subsi52

Guarantor Non-Guarantor Subsidiary Financial Information Level 4 (Details) - Consolidating Statement of Operations - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net sales	$ 819	$ 1,065	$ 2,680	$ 3,231
Cost of sales	701	905	2,357	2,753
Gross profit	118	160	323	478
Selling, general and administrative expense	69	71	235	229
Gain on Disposition of Assets			(240)
Business realignment costs	(3)	3	42	11
Other operating expense (income), net	7	12	6	22
Operating income	45	74	280	216
Interest expense, net	76	84	235	245
Intercompany interest expense (income)	0	0	0	0
Gain on extinguishment of debt	(3)	(14)	(47)	(14)
Other non-operating expense (income), net	2	0	1	(1)
Loss before income tax and earnings from unconsolidated entities	(30)	4	91	(14)
Income tax (benefit) expense	16	1	40	28
Loss before earnings from unconsolidated entities	(46)	3	51	(42)
(Losses) earnings from unconsolidated entities, net of taxes	(1)	4	8	13
Net income	(47)	7	59	(29)
Comprehensive income (loss)	(40)	(17)	66	(102)
Hexion Inc. [Member]
Net sales	356	433	1,119	1,341
Cost of sales	325	384	1,080	1,187
Gross profit	31	49	39	154
Selling, general and administrative expense	30	29	109	89
Gain on Disposition of Assets			(188)
Business realignment costs	(7)	1	31	4
Other operating expense (income), net	10	5	14	9
Operating income	(2)	14	73	52
Interest expense, net	74	81	227	239
Intercompany interest expense (income)	(18)	(20)	(55)	(60)
Gain on extinguishment of debt	(3)	(14)	(47)	(14)
Other non-operating expense (income), net	(5)	(1)	(16)	68
Loss before income tax and earnings from unconsolidated entities	(50)	(32)	(36)	(181)
Income tax (benefit) expense	9	1	5	(1)
Loss before earnings from unconsolidated entities	(59)	(33)	(41)	(180)
(Losses) earnings from unconsolidated entities, net of taxes	12	40	100	151
Net income	(47)	7	59	(29)
Comprehensive income (loss)	(40)	(17)	66	(102)
Combined Subsidiary Guarantors [Member]
Net sales	0	0	0	0
Cost of sales	0	0	0	0
Gross profit	0	0	0	0
Selling, general and administrative expense	0	0	0	0
Gain on Disposition of Assets			0
Business realignment costs	0	0	0	0
Other operating expense (income), net	6	0	6	0
Operating income	(6)	0	(6)	0
Interest expense, net	0	0	0	0
Intercompany interest expense (income)	0	(1)	0	(1)
Gain on extinguishment of debt	0	0	0	0
Other non-operating expense (income), net	0	0	0	0
Loss before income tax and earnings from unconsolidated entities	(6)	1	(6)	1
Income tax (benefit) expense	0	0	0	0
Loss before earnings from unconsolidated entities	(6)	1	(6)	1
(Losses) earnings from unconsolidated entities, net of taxes	(1)	17	45	95
Net income	(7)	18	39	96
Comprehensive income (loss)	(7)	17	39	96
Combined Non-Guarantor Subsidiaries [Member]
Net sales	507	675	1,701	2,030
Cost of sales	420	564	1,417	1,706
Gross profit	87	111	284	324
Selling, general and administrative expense	39	42	126	140
Gain on Disposition of Assets			(52)
Business realignment costs	4	2	11	7
Other operating expense (income), net	(9)	7	(14)	13
Operating income	53	60	213	164
Interest expense, net	2	3	8	6
Intercompany interest expense (income)	18	21	55	61
Gain on extinguishment of debt	0	0	0	0
Other non-operating expense (income), net	7	1	17	(69)
Loss before income tax and earnings from unconsolidated entities	26	35	133	166
Income tax (benefit) expense	7	0	35	29
Loss before earnings from unconsolidated entities	19	35	98	137
(Losses) earnings from unconsolidated entities, net of taxes	0	0	2	0
Net income	19	35	100	137
Comprehensive income (loss)	26	20	100	102
Consolidation, Eliminations [Member]
Net sales	(44)	(43)	(140)	(140)
Cost of sales	(44)	(43)	(140)	(140)
Gross profit	0	0	0	0
Selling, general and administrative expense	0	0	0	0
Gain on Disposition of Assets			0
Business realignment costs	0	0	0	0
Other operating expense (income), net	0	0	0	0
Operating income	0	0	0	0
Interest expense, net	0	0	0	0
Intercompany interest expense (income)	0	0	0	0
Gain on extinguishment of debt	0	0	0	0
Other non-operating expense (income), net	0	0	0	0
Loss before income tax and earnings from unconsolidated entities	0	0	0	0
Income tax (benefit) expense	0	0	0	0
Loss before earnings from unconsolidated entities	0	0	0	0
(Losses) earnings from unconsolidated entities, net of taxes	(12)	(53)	(139)	(233)
Net income	(12)	(53)	(139)	(233)
Comprehensive income (loss)	$ (19)	$ (37)	$ (139)	$ (198)

Guarantor Non-Guarantor Subsi53

Guarantor Non-Guarantor Subsidiary Financial Information Level 4 (Details) - Consolidating Statement of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Net Cash Provided by (Used in) Operating Activities	$ (131)	$ 66
Cash flows provided by (used in) investing activities
Capital expenditures	(91)	(122)
Capitalized interest	(1)	0
Payments to Acquire Businesses, Net of Cash Acquired	0	(7)
Proceeds from the sale of investments, net		6
Proceeds from dispositions, net	281	0
Cash received on buyers note	45	0
proceeds from sale of assets, net	1	1
Change in restricted cash	(11)	8
Capital contribution to subsidiary	0	0
Funds remitted to unconsolidated affiliates, net	(1)
Return of capital from subsidiary from sales of accounts receivable	0	0
Net cash (used in) provided by investing activities	223	(114)
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	(13)	(1)
Borrowings of long-term debt	461	492
Repayments of long-term debt	(643)	(393)
Net Intercompany Loan Borrowings (Repayments)	0	0
Capital contribution from parent	0	0
Long-term debt and credit facility financing fees	0	(10)
Common stock dividends paid	0	0
Return of capital to parent from sales of accounts receivable	0	0
Net cash used in financing activities	(195)	88
Effect of exchange rates on cash and cash equivalents	1	(9)
Increase (decrease) in cash and cash equivalents	(102)	31
Cash and cash equivalents (unrestricted) at beginning of period	228	156
Cash and cash equivalents (unrestricted) at end of period	126	187
Hexion Inc. [Member]
Net Cash Provided by (Used in) Operating Activities	(198)	(255)
Cash flows provided by (used in) investing activities
Capital expenditures	(47)	(63)
Capitalized interest	(1)
Payments to Acquire Businesses, Net of Cash Acquired		0
Proceeds from the sale of investments, net		0
Proceeds from dispositions, net	146
Cash received on buyers note	45
proceeds from sale of assets, net	0	0
Change in restricted cash	0	0
Capital contribution to subsidiary	(13)	(13)
Funds remitted to unconsolidated affiliates, net	(1)
Return of capital from subsidiary from sales of accounts receivable	70	227
Net cash (used in) provided by investing activities	199	151
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	2	3
Borrowings of long-term debt	280	470
Repayments of long-term debt	(467)	(354)
Net Intercompany Loan Borrowings (Repayments)	171	17
Capital contribution from parent	0	0
Long-term debt and credit facility financing fees		(10)
Common stock dividends paid	0	0
Return of capital to parent from sales of accounts receivable	0	0
Net cash used in financing activities	(14)	126
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	(13)	22
Cash and cash equivalents (unrestricted) at beginning of period	62	23
Cash and cash equivalents (unrestricted) at end of period	49	45
Combined Subsidiary Guarantors [Member]
Net Cash Provided by (Used in) Operating Activities	4	14
Cash flows provided by (used in) investing activities
Capital expenditures	0	0
Capitalized interest	0
Payments to Acquire Businesses, Net of Cash Acquired		0
Proceeds from the sale of investments, net		0
Proceeds from dispositions, net	0
Cash received on buyers note	0
proceeds from sale of assets, net	0	0
Change in restricted cash	0	0
Capital contribution to subsidiary	(9)	(8)
Funds remitted to unconsolidated affiliates, net	0
Return of capital from subsidiary from sales of accounts receivable	0	0
Net cash (used in) provided by investing activities	(9)	(8)
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	0	0
Borrowings of long-term debt	0	0
Repayments of long-term debt	0	0
Net Intercompany Loan Borrowings (Repayments)	0	0
Capital contribution from parent	9	8
Long-term debt and credit facility financing fees		0
Common stock dividends paid	(4)	(14)
Return of capital to parent from sales of accounts receivable	0	0
Net cash used in financing activities	5	(6)
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents (unrestricted) at beginning of period	0	0
Cash and cash equivalents (unrestricted) at end of period	0	0
Combined Non-Guarantor Subsidiaries [Member]
Net Cash Provided by (Used in) Operating Activities	67	321
Cash flows provided by (used in) investing activities
Capital expenditures	(44)	(59)
Capitalized interest	0
Payments to Acquire Businesses, Net of Cash Acquired		(7)
Proceeds from the sale of investments, net		6
Proceeds from dispositions, net	135
Cash received on buyers note	0
proceeds from sale of assets, net	1	1
Change in restricted cash	(11)	8
Capital contribution to subsidiary	0	0
Funds remitted to unconsolidated affiliates, net	0
Return of capital from subsidiary from sales of accounts receivable	0	0
Net cash (used in) provided by investing activities	81	(51)
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	(15)	(4)
Borrowings of long-term debt	181	22
Repayments of long-term debt	(176)	(39)
Net Intercompany Loan Borrowings (Repayments)	(171)	(17)
Capital contribution from parent	13	13
Long-term debt and credit facility financing fees		0
Common stock dividends paid	0	0
Return of capital to parent from sales of accounts receivable	(70)	(227)
Net cash used in financing activities	(238)	(252)
Effect of exchange rates on cash and cash equivalents	1	(9)
Increase (decrease) in cash and cash equivalents	(89)	9
Cash and cash equivalents (unrestricted) at beginning of period	166	133
Cash and cash equivalents (unrestricted) at end of period	77	142
Consolidation, Eliminations [Member]
Net Cash Provided by (Used in) Operating Activities	(4)	(14)
Cash flows provided by (used in) investing activities
Capital expenditures	0	0
Capitalized interest	0
Payments to Acquire Businesses, Net of Cash Acquired		0
Proceeds from the sale of investments, net		0
Proceeds from dispositions, net	0
Cash received on buyers note	0
proceeds from sale of assets, net	0	0
Change in restricted cash	0	0
Capital contribution to subsidiary	22	21
Funds remitted to unconsolidated affiliates, net	0
Return of capital from subsidiary from sales of accounts receivable	(70)	(227)
Net cash (used in) provided by investing activities	(48)	(206)
Cash flows (used in) provided by financing activities
Net short-term debt (repayments) borrowings	0	0
Borrowings of long-term debt	0	0
Repayments of long-term debt	0	0
Net Intercompany Loan Borrowings (Repayments)	0	0
Capital contribution from parent	(22)	(21)
Long-term debt and credit facility financing fees		0
Common stock dividends paid	4	14
Return of capital to parent from sales of accounts receivable	70	227
Net cash used in financing activities	52	220
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents (unrestricted) at beginning of period	0	0
Cash and cash equivalents (unrestricted) at end of period	$ 0	$ 0