Usg (USG) 10-Q 25 Oct 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	9 Months Ended
	Sep. 30, 2016shares
Document and Entity Information [Abstract]
Entity Registrant Name	USG CORP
Entity Central Index Key	757,011
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	146,079,429

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Income Statement [Abstract]
Net sales	$ 767	$ 747	$ 2,283	$ 2,195
Cost of products sold	586	578	1,728	1,710
Gross profit	181	169	555	485
Selling and administrative expenses	74	75	213	225
Long-lived asset impairment charges	10	0	10	0
Recovery of receivable	0	0	(3)	0
Gain on disposal of shipping operations, net	0	0	0	(1)
Operating profit	97	94	335	261
Income from equity method investments	14	13	37	35
Interest expense	(37)	(40)	(115)	(123)
Interest income	0	0	3	1
Loss on extinguishment of debt	(1)	0	(5)	(19)
Other income (expense), net	1	0	6	0
Income from continuing operations before income taxes	74	67	261	155
Income tax (expense) benefit	(18)	1	(78)	2
Income from continuing operations	56	68	183	157
Income from discontinued operations, net of tax	6	8	20	22
Net income	$ 62	$ 76	$ 203	$ 179
Earnings per average common share - basic:
Income from continuing operations (in dollars per share)	$ 0.39	$ 0.46	$ 1.26	$ 1.08
Income from discontinued operations (in dollars per share)	0.04	0.06	0.13	0.15
Net income (in dollars per share)	0.43	0.52	1.39	1.23
Earnings per average common share - diluted:
Income from continuing operations (in dollars per share)	0.38	0.46	1.25	1.07
Income from discontinued operations (in dollars per share)	0.04	0.06	0.13	0.14
Net income (in dollars per share)	$ 0.42	$ 0.52	$ 1.38	$ 1.21
Average common shares	146,043,791	145,569,692	145,892,390	145,421,798
Average diluted common shares	148,387,637	147,534,779	147,520,891	147,223,897

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Statement of Comprehensive Income [Abstract]
Net income	$ 62	$ 76	$ 203	$ 179
Derivatives qualifying as cash flow hedges:
Loss on derivatives qualifying as cash flow hedges, net of tax expense (benefit) of ($1), $1, ($1), and $1, respectively	(2)	0	(6)	(1)
Less: Reclassification adjustment for loss on derivatives included in net income, net of tax benefit of ($1), $0, ($3), and $0, respectively	(2)	(2)	(6)	(7)
Net derivatives qualifying as cash flow hedges	0	2	0	6
Pension and postretirement benefits:
Changes in pension and postretirement benefits, net of tax expense (benefit) of ($4), $1, ($7), and $2, respectively	(3)	4	(9)	2
Less: Amortization of prior service cost included in net periodic pension cost, net of tax benefit of ($1), $0, ($2), and ($1), respectively	0	(3)	(1)	(6)
Net pension and postretirement benefits	(3)	7	(8)	8
Foreign currency translation:
Changes in foreign currency translation, net of tax expense of $0 in all periods	3	(52)	(9)	(91)
Other comprehensive income (loss), net of tax	0	(43)	(17)	(77)
Comprehensive income	$ 62	$ 33	$ 186	$ 102

Consolidated Statements of Com4

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parentheticals) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Derivatives Qualifying as Hedges, Tax:
Loss on derivatives qualifying as cash flow hedges, tax expense (benefit)	$ (1)	$ 1	$ (1)	$ 1
Less: Reclassification adjustment for loss on derivatives included in net income, tax expense (benefit)	(1)	0	(3)	0
Pension and Other Postretirement Benefit Plans, Tax:
Changes in pension and postretirement benefits, tax expense (benefit)	(4)	1	(7)	2
Less: Amortization of prior service benefit (cost) included in net periodic pension cost, tax expense (benefit)	1	0	2	(1)
Foreign Currency Translation Adjustment, Tax:
Changes in foreign currency translation, tax expense (benefit)	0	0	0	0
Less: Translation gains realized upon sale of foreign entities, tax expense (benefit)	$ 0	$ 0	$ 0	$ 0

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets
Cash and cash equivalents	$ 634	$ 442
Short-term marketable securities	102	194
Restricted cash	0	9
Receivables (net of reserves - $13 and $9)	197	184
Inventories	228	219
Income taxes receivable	4	5
Other current assets	37	41
Current assets related to discontinued operations	385	306
Total current assets	1,587	1,400
Long-term marketable securities	0	36
Property, plant and equipment (net of accumulated depreciation and depletion - $1,938 and $1,881)	1,700	1,771
Deferred income taxes	636	728
Equity method investments	674	682
Other assets	64	68
Long-term assets related to discontinued operations	0	51
Total assets	4,661	4,736
Liabilities and Stockholders’ Equity
Accounts payable	222	208
Accrued expenses	165	186
Current portion of long-term debt	300	500
Income taxes payable	7	9
Litigation settlement accrual	0	9
Current liabilities related to discontinued operations	118	80
Total current liabilities	812	992
Long-term debt	1,677	1,675
Deferred income taxes	3	5
Pension and other postretirement benefits	357	392
Other liabilities	183	216
Disposal Group, Including Discontinued Operation, Liabilities, Noncurrent	0	20
Total liabilities	3,032	3,300
Preferred stock – $1 par value, authorized 36,000,000 shares; outstanding - none	0	0
Common stock – $0.10 par value; authorized 200,000,000 shares; issued: 2016 - 146,079,000 shares; 2015 - 145,667,000 shares	15	15
Additional paid-in capital	3,034	3,027
Accumulated other comprehensive loss	(331)	(314)
Retained earnings (accumulated deficit)	(1,089)	(1,292)
Total stockholders’ equity	1,629	1,436
Total liabilities and stockholders’ equity	$ 4,661	$ 4,736

Consolidated Balance Sheets (U6

Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Reserves on receivables	$ 13	$ 9
Accumulated depreciation	$ 1,938	$ 1,881
Preferred stock - par value	$ 1	$ 1
Preferred stock - authorized shares	36,000,000	36,000,000
Preferred stock - outstanding shares	0	0
Common stock - par value	$ 0.1	$ 0.1
Common stock - authorized shares	200,000,000	200,000,000
Common stock - issued shares	146,079,000	145,667,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Operating Activities
Net income	$ 203	$ 179
Income from discontinued operations, net of tax	20	22
Income from continuing operations	183	157
Adjustments to reconcile net income to net cash:
Depreciation, depletion and amortization	100	99
Loss on extinguishment of debt	5	19
Long-lived asset impairment charges	10	0
Recovery of receivable	(3)	0
Share-based compensation expense	14	9
Deferred income taxes	85	1
Gain on asset dispositions	(10)	(6)
Income from equity method investments	(37)	(35)
Dividends received from equity method investments	18	18
Pension settlement	3	(1)
(Increase) decrease in working capital:
Receivables	(10)	(7)
Income taxes receivable	2	(4)
Inventories	(9)	(9)
Other current assets	0	1
Payables	10	(29)
Accrued expenses	(34)	(65)
Decrease in other assets	2	4
Decrease in pension and other postretirement benefits	(47)	(33)
Decrease in other liabilities	(9)	(7)
Other, net	12	15
Net cash provided by operating activities of continuing operations	285	127
Cash provided by operating activities of discontinued operations	12	26
Net cash provided by operating activities of continuing operations	297	153
Investing Activities
Purchases of marketable securities	(183)	(96)
Sales or maturities of marketable securities	310	132
Capital expenditures	(44)	(67)
Net proceeds from asset dispositions	12	42
Return of capital	1	0
Release (deposit) of restricted cash	9	(8)
Net cash provided by investing activities of continuing operations	105	3
Cash used in investing activities, discontinued operations	(1)	0
Net cash provided by investing activities of continuing operations	104	3
Financing Activities
Issuance of debt	0	350
Repayment of debt	(205)	(386)
Payment of debt issuance fees	0	(6)
Issuance of common stock	3	6
Repurchases of common stock to satisfy employee tax withholding obligations	(2)	(8)
Net cash used in financing activities of continuing operations	(204)	(44)
Effect of exchange rate changes on cash from continuing operations	(3)	(7)
Net increase in cash and cash equivalents from continuing operations	183	79
Net increase in cash and cash equivalents from discontinued operations	11	26
Change in cash balance included in discontinued operations	(2)	(1)
Net increase in cash and cash equivalents from continuing operations	192	104
Cash and cash equivalents at beginning of period	442	231
Cash and cash equivalents at end of period	634	335
Supplemental Cash Flow Disclosures:
Interest paid, net of capitalized interest	124	128
Income taxes paid, net of refunds received	6	2
Noncash Investing and Financing Activities:
Amount in accounts payable for capital expenditures	8	$ 6
Noncash reversal of equity method investment contingent consideration	$ (24)

Organization, Consolidation and

Organization, Consolidation and Presentation of Financial Statements	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Consolidation and Presentation of Financial Statements	Organization, Consolidation and Presentation of Financial Statements PREPARATION OF FINANCIAL STATEMENTS We prepared the accompanying unaudited consolidated financial statements of USG Corporation in accordance with applicable United States Securities and Exchange Commission, or SEC, guidelines pertaining to interim financial information. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Actual results could differ materially from those estimates. In the opinion of our management, the financial statements reflect all adjustments, which are of a normal recurring nature, necessary for a fair presentation of our financial results for the interim periods. The results of operations for the three and nine months ended September 30, 2016 are not necessarily indicative of the results of operations to be expected for the entire year. Certain reclassifications have been made to prior year amounts in order to conform with current year presentation. On August 29, 2016, we announced the signing of a definitive agreement to sell L&W Supply Corporation, or L&W, our distribution business, to American Builders & Contractors Supply Co., Inc., or ABC Supply, at which time L&W met the criteria to be classified as held for sale and presented as a discontinued operation. L&W's results of operations have been reclassified to "Income from discontinued operations, net of tax" in our consolidated statements of income for all periods presented. The assets and liabilities of L&W have been reclassified to "Assets related to discontinued operations" and "Liabilities related to discontinued operations", respectively, in our consolidated balance sheets as of September 30, 2016 and December 31, 2015 . The cash flows associated with L&W have been reclassified to "Net cash provided by operating activities of discontinued operations" and "Net cash used for investing activities of discontinued operations" for all periods presented. The results of L&W, which consists of our Distribution segment, have been excluded from segment results. Additionally, results of our Gypsum and Ceilings segments have been revised to reflect intercompany transactions as a result of L&W's classification as a discontinued operation. See Note 2 for further discussion. Our segments are structured around our key products and business units: Gypsum, Ceilings and USG Boral Building Products, or UBBP. Our Gypsum reportable segment is an aggregation of the operating segments of the gypsum businesses in the United States, Canada, Mexico, and Latin America, our mining operation in Canada, which we indefinitely idled in the third quarter of 2016, and our shipping operations, which we exited in the second quarter of 2015. Gypsum manufactures products throughout the United States, Canada, Mexico and Latin America. These products include USG Sheetrock ® brand gypsum wallboard, Sheetrock ® brand joint compound, Durock ® brand cement board, Levelrock ® brand gypsum underlayment, Fiberock ® brand backerboard, Securock ® brand glass mat sheathing used for building exteriors, Securock ® brand gypsum fiber and glass mat panels used as roof cover board and structural panel concrete roofing. Our Ceilings reportable segment is an aggregation of the operating segments of the ceilings businesses in the United States, Canada, Mexico, and Latin America. Ceilings manufactures ceiling tile in the United States and ceiling grid in the United States and Canada. UBBP is our 50/50 joint ventures with Boral Limited. UBBP manufactures, distributes and sells certain building products, mines raw gypsum and sells natural and synthetic gypsum throughout Asia, Australasia and the Middle East. These financial statements and notes are to be read in conjunction with the financial statements and notes included in USG’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015 , which we filed with the SEC on February 10, 2016 . RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS In August 2016, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments,” which addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. The standard will be effective for us in the first quarter of 2018 and we will adopt the new standard using the retrospective approach. The significant components of this standard are as follows: • Debt prepayments or extinguishment costs are to be classified as cash outflows for financing activities. Upon adoption we will reclassify these costs to financing activities. • Equity method investments that are a return on investment should be classified as an operating activity where a return of investment should be classified as an investing activity. As we currently apply this methodology to our cash flow statement, there will be no impact. • Insurance claims are to be classified based on the nature of the loss. As we currently apply this methodology to our cash flow statement, there will be no impact. In March 2016, the FASB issued ASU 2016-09, “Improvements to Employee Share-Based Payment Accounting,” which simplifies certain aspects of accounting for employee share-based payments. The standard will be effective for us in the first quarter of 2017 and will be applied in part prospectively and in part using a modified retrospective transition approach. The components of this standard that will impact our financial statements are as follows: • Excess tax benefits and deficiencies related to stock compensation will be prospectively recognized in income tax expense instead of in equity when the awards vest or are settled. For the nine months ended September 30, 2016 and 2015, we recorded a reduction to tax benefits to equity of $9 million and $0 , respectively, that would have been recognized as $8 million net tax expense in 2016 and $4 million net tax benefit in 2015 under the new standard. • Excess tax benefits that were previously unrecognized because the related tax deduction had not been realized through a reduction in taxes payable will be recorded on a modified retrospective basis. If we had early adopted this standard, we would have recorded a cumulative-effect adjustment to opening retained earnings of $25 million on our September 30, 2016 consolidated balance sheet. • An accounting policy will be elected to either estimate forfeitures on awards, as previously required, or to recognize forfeitures as they occur. Upon adoption, we will recognize forfeitures as they occur and will record a cumulative-effect change to retained earnings in accordance with the modified retrospective adoption requirements. If we had early adopted this standard, we would have recorded an immaterial cumulative-effect adjustment to opening retained earnings on our September 30, 2016 consolidated balance sheet. In February 2016, the FASB issued ASU 2016-02, “Leases,” which supersedes existing lease guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. The standard will be effective for us in the first quarter of 2019, and we will adopt the new standard using the modified retrospective approach. While we continue to evaluate the impact of the new standard, we believe the standard will require us to implement a new lease accounting system and related processes. Further, we anticipate the adoption of ASU 2016-02 will have a significant impact to our consolidated balance sheets, consolidated statements of income and disclosures. In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities,” which requires that most equity instruments be measured at fair value, with subsequent changes in fair value recognized in net income. The pronouncement also impacts the financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. The ASU does not apply to equity method investments or investments in consolidated subsidiaries. The standard will be effective for us in the first quarter of 2018 and will be applied as a cumulative-effect adjustment to the balance sheet in the year of adoption. We do not expect the adoption of ASU 2016-01 will have a significant impact to our consolidated financial statements or disclosures. In July 2015, the FASB issued ASU 2015-11, "Simplifying the Measurement of Inventory," which changes the measurement principle for inventory from the lower of cost or market to the lower of cost or net realizable value for entities that measure inventory using the first-in, first-out (FIFO) or average cost method. The ASU defines net realizable value as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The standard will be effective for us in the first quarter of 2017 and will be applied prospectively. We do not expect the adoption of ASU 2015-11 will have a significant impact to our consolidated financial statements or disclosures. In May 2015, the FASB issued ASU 2015-07, "Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)," which updates the disclosure requirements for investments that are measured at net asset value using the practical expedient. These investments are to be removed from the fair value hierarchy and shown as a reconciling item. The standard was effective for us in the first quarter of 2016 and will be applied retrospectively. The update will be reflected in our disclosure for our December 31, 2016 Annual Report on Form 10-K. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which supersedes the revenue recognition requirements in “Revenue Recognition (Topic 605),” and requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In March 2016, the FASB issued ASU 2016-08, “Revenue from Contracts with Customers - Principal versus Agent Considerations (Reporting revenue gross versus net),” which clarifies gross versus net revenue reporting when another party is involved in the transaction. In April 2016, the FASB issued ASU 2016-10, “Identifying Performance Obligations and Licensing,” and in May 2016, ASU 2016-12, “Revenues from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients” both of which provide supplemental adoption guidance and clarification to ASU 2014-09. The standard will be effective for us in the first quarter of 2018, and we will adopt the new standard using the retrospective approach with practical expedients. We do not expect that the adoption of ASU 2014-09, ASU 2016-08, ASU 2016-10 or ASU 2016-12 will have a significant impact to our consolidated financial statements or disclosures.

DIscontinued Operations

DIscontinued Operations	9 Months Ended
	Sep. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]	Discontinued Operations On August 29, 2016, we announced the signing of a definitive agreement to sell our L&W business to ABC Supply for total cash consideration of $670 million , subject to a working capital adjustment. The sale is expected to close on October 31, 2016. For the quarter ended September 30, 2016 , L&W met the criteria to be classified as held for sale and to be presented as a discontinued operation. Accordingly, we reclassified the results of operations and the cash flows of L&W to discontinued operations in our consolidated statements of income and consolidated statements of cash flows for all periods presented. Additionally, we reclassified the assets and liabilities of L&W to discontinued operations in our consolidated balance sheets. The summarized financial information related to L&W that has been excluded from continuing operations and reported as a discontinued operation is as follows: (millions) Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 Net sales $ 388 $ 378 $ 1,131 $ 1,076 Cost of products sold 370 364 1,080 1,043 Gross profit 18 14 51 33 Selling and administrative expenses (a) 7 6 18 11 Operating profit 11 8 33 22 Income tax expense (5 ) — (13 ) — Income from discontinued operations $ 6 $ 8 $ 20 $ 22 (a) The three and nine months ended September 30, 2016 include transaction costs of $3 million and $8 million , respectively. Prior to the third quarter of 2016, these costs were reported in Corporate selling and administrative expenses. The assets and liabilities related to discontinued operations are as follows: (millions) September 30, 2016 December 31, 2015 Cash $ 2 $ — Accounts receivable, net 231 207 Inventories 104 95 Other current assets 3 4 Property, plant and equipment, net (a) 17 17 Intangible assets (a) 25 31 Other assets (a) 3 3 Total assets related to discontinued operations $ 385 $ 357 Accounts payable $ 71 $ 51 Accrued expenses 29 29 Other liabilities (a) 18 20 Total liabilities related to discontinued operations $ 118 $ 100 (a) As of December 31, 2015, these balances are reflected as long-term in our consolidated balance sheet. After the completion of the sale of L&W to ABC Supply, we will retain responsibility for the benefits payable to employees of L&W from the USG pension and postretirement plans for the benefits accrued while employed by USG. As such, these liabilities are not reflected in liabilities related to discontinued operations. See Note 17 for discussion of the liability associated with the pricing lawsuit. Additionally, upon closing of the sale of L&W, we will enter into a supply agreement with L&W and a transition services agreement with ABC Supply to provide certain transition services.

Long-Lived Asset Impairment Cha

Long-Lived Asset Impairment Charges	9 Months Ended
	Sep. 30, 2016
Long-Lived Asset Impairment Charges [Abstract]
Impaired Assets to be Disposed of by Method Other than Sale [Table Text Block]	Long-Lived Asset Impairment Charges In the third quarter of 2016, we indefinitely idled our mining operations in Little Narrows, Nova Scotia, Canada after completing a review of our gypsum sourcing needs. As a result, we recorded impairment charges of $10 million , which are included in our consolidated statements of income in "Long-lived asset impairment charges" for the three and nine months ended September 30, 2016. We recorded severance and other charges of $2 million for the termination of employees at the Little Narrows location, which are included in "Costs of products sold". Both the impairment and severance charges relate to our Gypsum segment.

Equity Method Investments

Equity Method Investments	9 Months Ended
	Sep. 30, 2016
Equity Method Investments and Joint Ventures [Abstract]
Equity Method Investments	Equity Method Investments Equity method investments as of September 30, 2016 and December 31, 2015 , were as follows: September 30, 2016 December 31, 2015 (dollars in millions) Carrying Value Ownership Percentage Carrying Value Ownership Percentage USG Boral Building Products $ 667 50% $ 675 50% Other equity method investments 7 33% - 50% 7 33% - 50% Total equity method investments $ 674 $ 682 Investment in USG Boral Building Products UBBP is our 50 / 50 joint ventures with Boral Limited, or Boral, and consists of USG Boral Building Products Pte. Limited, a company organized under the laws of Singapore, and USG Boral Building Products Pty Limited, a company organized under the laws of Australia. It manufactures, distributes and sells certain building products, mines raw gypsum and sells natural and synthetic gypsum throughout Asia, Australasia and the Middle East (the Territory). The products that UBBP manufactures and distributes include products for wall, ceiling, floor lining and exterior systems that utilize gypsum, gypsum wallboard, referred to as plasterboard in the Territory, mineral fiber ceiling tiles, steel grid and joint compound. We account for our investment in UBBP using the equity method of accounting. Through the first nine months of 2016, UBBP paid cash dividends on earnings through March 2016 of which our 50% share totaled $18 million . We recorded the cash dividend in operating activities on our statements of cash flows. As of September 30, 2016 , the amount of our consolidated retained earnings which represents undistributed earnings from UBBP is $60 million . We formed the joint ventures with Boral on February 27, 2014. In the second quarter of 2016, we received $1 million from Boral for final customary working capital adjustments which resulted in a reduction of our investment. We recorded the working capital payment in investing activities on our statement of cash flows. In the event certain U.S. Dollar denominated performance targets are satisfied by UBBP, we will be obligated to pay Boral scheduled earnout payments in an aggregate amount up to $75 million , comprised first of $25 million based on performance during the first three years after closing and then up to $50 million based on performance during the first five years after closing. Upon inception of the joint ventures, we recorded a liability representing the present value of the first earnout payment which was reversed in the second quarter of 2016 as we concluded that it was no longer probable that the three-year performance target will be achieved. We have not recorded a liability for the second earnout payment as we have concluded that it is currently not probable that the five-year performance target will be achieved. If our conclusion on the probability of achievement was to change, we will record a liability representing the present value of the earnout payments with a corresponding increase to our investment. As of September 30, 2016 and December 31, 2015 , our liability for the earnout payments was $0 and $24 million , respectively. As of December 31, 2015 , the liability is included in "Other liabilities" on our accompanying consolidated balance sheet. All of our investments accounted for under the equity method of accounting are initially recorded at cost, and subsequently adjusted for our share of the net income or loss and cash contributions and distributions to or from these entities. Because the underlying net assets in our investments are denominated in a foreign currency, translation gains or losses will impact the recorded value of our investments. Translation gains or losses recorded in other comprehensive income were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Translation gain (loss) $ 13 $ (35 ) $ — $ (54 ) Summarized financial information for our equity method investments is as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 USG Boral Building Products: Net sales $ 276 $ 250 $ 778 $ 742 Gross profit (a) 90 69 241 200 Operating profit 41 30 105 87 Income from continuing operations before income taxes 42 32 112 94 Net income 29 25 78 71 Net income attributable to USG Boral Building Products 28 24 74 66 USG share of income from investment accounted for using the equity method 14 12 37 33 Other equity method investments: USG share of income from investments accounted for using the equity method — 1 — 2 Total income from equity method investments $ 14 $ 13 $ 37 $ 35 (a) The results for the three and nine months ended September 30, 2016 include impairment charges of $8 million , net of tax of $0 , for certain assets in China. Transactions with UBBP Our Gypsum segment sells products to UBBP. Total sales to UBBP for the three and nine months ended September 30, 2016 and September 30, 2015 were immaterial. In 2014, in connection with the formation of UBBP, we contributed our ownership interest in a joint venture in China to UBBP, but retained our loan receivable from this joint venture. As of September 30, 2016 and December 31, 2015 , the loan receivable, including interest, totaled $15 million and $14 million , respectively, and is included in "Other assets" on our accompanying consolidated balance sheets.

Segments

Segments	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Segments	Segments Our operations are organized into three reportable segments: Gypsum, Ceilings and UBBP. As discussed in Note 2 , the results of our Distribution segment have been reclassified to discontinued operations. Additionally, as a result of the presentation of L&W as a discontinued operation, the results of our Gypsum and Ceilings segments have been revised to reflect only the sales of USG products from Gypsum and Ceilings to L&W that have been sold by L&W outside the consolidated group. See Note 4 for segment results for UBBP. Segment results for our Gypsum and Ceilings segments were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Net Sales : Gypsum $ 635 $ 617 $ 1,899 $ 1,818 Ceilings 135 132 391 384 Eliminations (3 ) (2 ) (7 ) (7 ) Total $ 767 $ 747 $ 2,283 $ 2,195 Operating Profit (Loss) : Gypsum $ 89 $ 93 $ 310 $ 262 Ceilings 33 25 93 70 Corporate (a) (25 ) (24 ) (68 ) (71 ) Total $ 97 $ 94 $ 335 $ 261 (a) Transaction costs of $3 million and $8 million associated with the sale of L&W have been reclassified to discontinued operations for the three and nine months ended September 30, 2016, respectively.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Basic earnings per share is based on the weighted average number of common shares outstanding. Diluted earnings per share is based on the weighted average number of common shares outstanding plus the dilutive effect, if any, of market share units, or MSUs, performance shares, restricted stock units, or RSUs, stock options, and deferred shares associated with our deferred compensation program for non-employee directors. The reconciliation of basic earnings per share to diluted earnings per share is shown in the following table. Three months ended September 30, Nine months ended September 30, (millions, except per-share data) 2016 2015 2016 2015 Income from continuing operations $ 56 $ 68 $ 183 $ 157 Income from discontinued operations, net of tax 6 8 20 22 Net income $ 62 $ 76 $ 203 $ 179 Average common shares 146.0 145.6 145.9 145.4 Dilutive RSUs, MSUs, performance shares and stock options 2.2 1.8 1.6 1.6 Deferred shares associated with a deferred compensation program for non-employee directors 0.2 0.1 — 0.2 Average diluted common shares 148.4 147.5 147.5 147.2 Basic earnings per average common share: Income from continuing operations $ 0.39 $ 0.46 $ 1.26 $ 1.08 Income from discontinued operations 0.04 0.06 0.13 0.15 Net income $ 0.43 $ 0.52 $ 1.39 $ 1.23 Diluted earnings per average common share: Income from continuing operations $ 0.38 $ 0.46 $ 1.25 $ 1.07 Income from discontinued operations 0.04 0.06 0.13 0.14 Net income $ 0.42 $ 0.52 $ 1.38 $ 1.21 MSUs, performance shares, RSUs, and stock options and deferred shares associated with our deferred compensation program for non-employee directors that were not included in the computation of diluted earnings per share for those periods because their inclusion would be anti-dilutive were as follows: Three months ended September 30, Nine months ended September 30, (millions, common shares) 2016 2015 2016 2015 MSUs, performance shares, RSUs and stock options 1.0 1.8 1.6 1.9 Deferred shares associated with a deferred compensation program for non-employee directors — — 0.2 —

Marketable Securities

Marketable Securities	9 Months Ended
	Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]
Marketable Securities	Marketable Securities Marketable securities are classified as available-for-sale securities and reported at fair value, with unrealized gains and losses excluded from earnings and reported in "Accumulated other comprehensive loss" on our accompanying consolidated balance sheets. Proceeds received from sales or maturities of marketable securities were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Proceeds received $ 123 $ 29 $ 310 $ 132 Our investments in marketable securities consisted of the following: As of September 30, 2016 As of December 31, 2015 (millions) Amortized Cost Fair Value Amortized Cost Fair Value Corporate debt securities $ 65 $ 65 $ 134 $ 134 U.S. government and agency debt securities 32 32 57 57 Asset-backed debt securities — — 21 21 Certificates of deposit 5 5 15 15 Municipal debt securities — — 3 3 Total marketable securities $ 102 $ 102 $ 230 $ 230 The realized and unrealized gains and losses for the three and nine months ended September 30, 2016 and 2015 were immaterial. Cost basis for securities sold are determined on a first-in-first-out basis. Contractual maturities of marketable securities as of September 30, 2016 were as follows: (millions) Amortized Cost Fair Value Due in 1 year or less $ 102 $ 102 Due in 1-5 years — — Total marketable securities $ 102 $ 102 Actual maturities may differ from the contractual maturities because issuers of the securities may have the right to prepay them.

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	Intangible Assets Intangible assets are included in "Other assets" on our accompanying consolidated balance sheets. As discussed in Note 2, we signed a definitive agreement to sell our L&W business and reclassified its results to discontinued operations and reclassified assets and liabilities to discontinued operations on our consolidated balance sheets. The intangible assets attributable to L&W are excluded from the tables below. Intangible assets with definite lives are amortized. These assets are summarized as follows: As of September 30, 2016 As of December 31, 2015 (millions) Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Intangible assets with definite lives $ 7 $ (6 ) $ 1 $ 7 $ (6 ) $ 1 Total amortization expense was immaterial for all periods presented. Estimated amortization expense for the remainder of 2016 and for future years is as follows: (millions) 2016 2017 2018 and thereafter Estimated future amortization expense $ — $ — $ 1 Intangible assets with indefinite lives are not amortized. The gross carrying amount of these assets was $8 million as of both September 30, 2016 and December 31, 2015.

Debt

Debt	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Debt	Debt Total debt, including the current portion of long-term debt, consisted of the following: (millions) September 30, December 31, 5.5% senior notes due 2025 $ 350 $ 350 5.875% senior notes due 2021 350 350 6.3% senior notes due 2016 300 500 7.75% senior notes due 2018 500 500 7.875% senior notes due 2020, net of discount 249 249 Industrial revenue bonds (due 2028 through 2034) 239 239 Total $ 1,988 $ 2,188 Less: Unamortized debt issuance costs 11 13 Total $ 1,977 $ 2,175 REPURCHASE OF SENIOR NOTES In the first nine months of 2016, we repurchased $200 million of our 6.3% Senior Notes due in 2016, referred to as the 6.3% Notes, on the open market. The transaction included premiums of $5 million and accrued interest of $4 million for aggregate consideration of $209 million . As a result of the repurchases, we recorded a loss on early extinguishment of debt, before tax, of $5 million including premiums, write-off of deferred financing fees and broker fees, of which $1 million occurred in the third quarter. In the first quarter of 2015, we repurchased $350 million of our 8.375% Senior Notes due in 2018, referred to as the 8.375% Notes, through both a cash tender offer and a subsequent notice of redemption of the remaining 8.375% Notes. We completed a cash tender offer pursuant to which we repurchased $126 million of the 8.375% Notes for aggregate consideration, including tender offer premium and accrued and unpaid interest, of $135 million . We repurchased the remaining $224 million of the 8.375% Notes for aggregate consideration, including premiums and accrued and unpaid interest, of $242 million . As a result of the repurchases, we recorded a loss on early extinguishment of debt of $19 million including premiums and write-off of deferred financing fees. Also in the first quarter of 2015, we issued $350 million of 5.5% Senior Notes due March 1, 2025. The net proceeds from the issuance of these notes and cash on hand were used to fund the repurchases of the 8.375% Notes and all related costs and expenses. We deferred approximately $6 million of debt issuance costs that are being amortized to interest expense over the term of the notes. As of September 30, 2016 and December 31, 2015, these notes, net of unamortized debt issuances costs, were recorded on our accompanying consolidated balance sheets at $345 million and $344 million , respectively. CREDIT FACILITY Taking into account the most recent borrowing base calculation delivered under the credit facility, which reflects trade receivables and inventory as of September 30, 2016 , and outstanding letters of credit, borrowings available under the credit facility were approximately $337 million , including $50 million for CGC. As of September 30, 2016 and during the quarter then-ended, there were no borrowings under the facility. Had there been any borrowings as of that date, the applicable interest rate would have been 2.10% for loans in the US and 2.15% for loans in Canada. Outstanding letters of credit totaled $46 million as of September 30, 2016 . The fair value of our debt was approximately $2.091 billion as of September 30, 2016 and $2.295 billion as of December 31, 2015 . The fair values were based on quoted prices for identical or similar liabilities in markets that are not active or valuation models in which all significant inputs are observable and, as a result, are classified as Level 2 inputs. See Note 11 for further discussion on fair value measurements and classifications. As of September 30, 2016 , we were in compliance with the covenants contained in our credit facilities.

Derivative Instruments

Derivative Instruments	9 Months Ended
	Sep. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments	Derivative Instruments We use derivative instruments to manage selected commodity price and foreign currency exposures as described below. We do not use derivative instruments for speculative trading purposes, and we typically do not hedge beyond four years. Cash flows from derivative instruments are included in net cash provided by operating activities in the consolidated statements of cash flows. COMMODITY DERIVATIVE INSTRUMENTS As of September 30, 2016 , we had outstanding natural gas swap contracts to hedge forecasted purchases with an aggregate notional amount of 31 million mmBTUs (millions of British Thermal Units). All of these contracts mature by December 31, 2020 . For contracts designated as cash flow hedges, the pre-tax net unrealized loss that remained in accumulated other comprehensive income (loss), or AOCI, as of September 30, 2016 was $7 million and as of December 31, 2015 was $19 million . No ineffectiveness was recorded on contracts designated as cash flow hedges in the first nine months of both 2016 and 2015 . Gains and losses on contracts designated as cash flow hedges are reclassified into earnings when the underlying forecasted transactions affect earnings. For contracts designated as cash flow hedges, we reassess the probability of the underlying forecasted transactions occurring on a quarterly basis. Changes in fair value on contracts not designated as cash flow hedges are recorded to earnings. The fair value of those contracts not designated as cash flow hedges was immaterial as of September 30, 2016 and a $2 million unrealized loss as of December 31, 2015 . FOREIGN EXCHANGE DERIVATIVE INSTRUMENTS We have foreign exchange forward contracts to hedge forecasted purchases of products and services denominated in foreign currencies. The notional amount of these contracts was $101 million as of September 30, 2016 , and they mature by December 31, 2017 . These forward contracts are designated as cash flow hedges and no ineffectiveness was recorded in the first nine months of both 2016 and 2015 . Gains and losses on the contracts are reclassified into earnings when the underlying forecasted transactions affect earnings. The fair value of these contracts that remained in AOCI was an unrealized net pre-tax loss of $1 million as of September 30, 2016 and an unrealized net pre-tax gain of $8 million as of December 31, 2015 . In the third quarter of 2015, we entered into foreign exchange forward contracts to hedge a portion of our net investment in our Knauf-USG joint venture which we sold in the fourth quarter of 2015. The notional amount of these contracts was $35 million as of September 30, 2015, and they matured on November 16, 2015. These forward contracts were designated as net investment hedges and no ineffectiveness was recorded in the third quarter of 2015. Gains and losses on derivatives designated as net investment hedges, to the extent they are effective as hedges, remain in AOCI until such point when the investment is either sold or liquidated. The fair value of these contracts that remained in AOCI was an immaterial gain as of September 30, 2015. COUNTERPARTY RISK, MASTER NETTING ARRANGEMENTS AND BALANCE SHEET OFFSETTING We are exposed to credit losses in the event of nonperformance by the counterparties to our derivative instruments. As of September 30, 2016 , our derivatives were in a $8 million net liability position. All of our counterparties have investment grade credit ratings; accordingly, we anticipate that they will be able to fully satisfy their obligations under the contracts. All of our derivative contracts are governed by master netting agreements negotiated between us and the counterparties that reduce our counterparty credit exposure. The agreements outline the conditions (such as credit ratings and net derivative fair values) upon which we, or the counterparties, are required to post collateral. As required by certain of our agreements, we had $8 million of collateral posted with our counterparties related to our derivatives as of September 30, 2016 . Amounts paid as cash collateral are included in "Receivables" on our accompanying consolidated balance sheets. We have not adopted an accounting policy to offset fair value amounts related to derivative contracts under our master netting arrangements; therefore, individual derivative contracts are reflected on a gross basis, as either assets or liabilities, on our accompanying consolidated balance sheets, based on their fair value as of the balance sheet date. FINANCIAL STATEMENT INFORMATION The following are the pretax effects of derivative instruments on the consolidated statements of income for the three months ended September 30, 2016 and 2015 . Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion) Location of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) (millions) 2016 2015 2016 2015 Derivatives in Cash Flow Hedging Relationships Commodity contracts $ (4 ) $ (5 ) Cost of products sold $ (3 ) $ (4 ) Foreign exchange contracts 1 6 Cost of products sold — 2 Derivatives in Net Investment Hedging Relationships Foreign exchange contracts — — Other income, net — — Total $ (3 ) $ 1 $ (3 ) $ (2 ) Location of Gain or (Loss) Amount of Gain or (Loss) Recognized in Income (millions) 2016 2015 Derivatives Not Designated as Hedging Instruments Commodity contracts Cost of products sold $ — $ (1 ) Total $ — $ (1 ) The following are the pretax effects of derivative instruments on the consolidated statements of income for the nine months ended September 30, 2016 and 2015 . Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion) Location of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) (millions) 2016 2015 2016 2015 Derivatives in Cash Flow Hedging Relationships Commodity contracts $ (2 ) $ (9 ) Cost of products sold $ (13 ) $ (11 ) Foreign exchange contracts (5 ) 9 Cost of products sold 4 4 Derivatives in Net Investment Hedging Relationships Foreign exchange contracts — — Other income, net — — Total $ (7 ) $ — $ (9 ) $ (7 ) Location of Gain or (Loss) Recognized in Income on Derivatives Amount of Gain or (Loss) Recognized in Income on Derivatives (millions) 2016 2015 Derivatives Not Designated as Hedging Instruments Commodity contracts Cost of products sold $ — $ (1 ) Total $ — $ (1 ) The following are the fair values of derivative instruments and the location on our accompanying consolidated balance sheets as of September 30, 2016 and December 31, 2015 . Balance Sheet Location Fair Value Balance Sheet Location Fair Value (millions) 9/30/16 12/31/15 9/30/16 12/31/15 Derivatives in Cash Flow Hedging Relationships Commodity contracts Other current assets $ 2 $ 1 Accrued expenses $ 6 $ 15 Commodity contracts Other assets 2 — Other liabilities 5 5 Foreign exchange contracts Other current assets 1 8 Accrued expenses 2 — Foreign exchange contracts Other assets — — Other liabilities — — Total derivatives in cash flow hedging relationships $ 5 $ 9 $ 13 $ 20 Derivatives Not Designated as Hedging Instruments Commodity contracts Other current assets $ — $ — Accrued expenses $ — $ 2 Total derivatives not designated as hedging instruments $ — $ — $ — $ 2 Total derivatives Total assets $ 5 $ 9 Total liabilities $ 13 $ 22 As of September 30, 2016 , we had no derivatives designated as fair value hedges or net investment hedges.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Certain assets and liabilities are required to be recorded at fair value. There are three levels of inputs that may be used to measure fair value. Level 1 is defined as observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities that a company has the ability to access. Level 2 is defined as inputs, other than the quoted prices included in Level 1, which are observable for the asset or liability, either directly or indirectly. Level 3 is defined as unobservable inputs for the asset or liability which is typically based on a company's own assumptions where there is little, if any, related market data available. The cash equivalents and equity mutual funds shown in the table below primarily consist of money market funds that are valued based on quoted prices in active markets and, as a result, are classified as Level 1. We use quoted prices, other readily observable market data and internally developed valuation models when valuing our marketable securities and derivatives and have classified them as Level 2. Marketable securities are valued using income and market value approaches and values are based on quoted prices or other observable market inputs received from data providers. The valuation process may include pricing matrices, or prices based upon yields, credit spreads or prices of securities of comparable quality, coupon, maturity and type. Derivatives are valued using the income approach including discounted-cash-flow models or a Black-Scholes option pricing model and readily observable market data. The inputs for the valuation models are obtained from data providers and include end-of-period spot and forward natural gas prices, foreign currency exchange rates, natural gas price volatility and LIBOR and swap rates for discounting the cash flows implied from the derivative contracts. Our assets and liabilities measured at fair value on a recurring basis were as follows: Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (millions) 9/30/16 12/31/15 9/30/16 12/31/15 9/30/16 12/31/15 9/30/16 12/31/15 Cash equivalents $ 153 $ 223 $ 134 $ 25 $ — $ — $ 287 $ 248 Equity mutual funds 5 4 — — — — 5 4 Marketable securities: Corporate debt securities — — 65 134 — — 65 134 U.S. government and agency debt securities — — 32 57 — — 32 57 Asset-backed debt securities — — — 21 — — — 21 Certificates of deposit — — 5 15 — — 5 15 Municipal debt securities — — — 3 — — — 3 Derivative assets — — 5 9 — — 5 9 Derivative liabilities — — (13 ) (22 ) — — (13 ) (22 ) Certain assets and liabilities are measured at fair value on a nonrecurring basis rather than on an ongoing basis, but are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment or when a new liability is being established that requires fair value measurement. During the third quarter of 2016, we indefinitely idled our mining operations in Little Narrows, Nova Scotia, Canada. We reviewed the property, plant and equipment at Little Narrows for potential impairment by comparing the carrying values of those assets with their fair values as estimated using the future undiscounted cash flows for their remaining useful lives. We measured the fair value of the machinery, equipment and buildings using measurements classified as Level 3, and, as disclosed in Note 3, we recorded long-lived asset impairment charges of $10 million .

Employee Retirement Plans

Employee Retirement Plans	9 Months Ended
	Sep. 30, 2016
Compensation and Retirement Disclosure [Abstract]
Employee Retirement Plans	Employee Retirement Plans The components of net pension and postretirement benefit costs are summarized in the following table: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Pension: Service cost of benefits earned $ 11 $ 12 $ 34 $ 37 Interest cost on projected benefit obligation 17 16 51 50 Expected return on plan assets (22 ) (20 ) (66 ) (62 ) Settlement 1 1 3 1 Net amortization 5 10 14 29 Net pension cost $ 12 $ 19 $ 36 $ 55 Postretirement: Service cost of benefits earned $ 1 $ 1 $ 2 $ 2 Interest cost on projected benefit obligation 1 1 4 4 Net amortization (7 ) (8 ) (21 ) (24 ) Net postretirement benefit \ $ (5 ) $ (6 ) $ (15 ) $ (18 ) The amounts in the table above include the costs associated with the employees of L&W that are presented in discontinued operations. After the completion of the sale of L&W to ABC Supply, we will retain responsibility for the benefits payable to employees of L&W for the benefits accrued while employed by USG from the USG pension and postretirement plans. During the first nine months of 2016 , we made cash contributions of $50 million to the USG Corporation Retirement Plan Trust, $6 million to our pension plan in Canada, and $8 million , in aggregate, to certain other domestic pension plans. We expect to make total contributions to our pension plans in 2016 of approximately $65 million . Subsequent to the sale of L&W, we may make an incremental contribution to the USG Corporation Retirement Plan. In the third quarter of 2016, management approved an amendment to the USG Corporation Retirement Plan to allow retirees and terminated vested participants to take a lump-sum payment at any time without restriction upon departure from USG. The amendment is effective on November 1, 2016 and is expected to reduce the projected benefit obligation and pension costs.

Share-Based Compensation

Share-Based Compensation	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	Share-Based Compensation During the first nine months of 2016 , we granted share-based compensation in the form of market share units, or MSUs, performance shares, and restricted stock units, or RSUs, to eligible participants under our Long-Term Incentive Plan and 2016 Long-Term Incentive Plan that was approved at our 2016 annual meeting of stockholders. We recognize expense on all share-based grants over the service period, which is the shorter of the period until the employees’ retirement eligibility dates and the service period of the award for awards expected to vest. Expense is generally reduced for estimated forfeitures. Awards granted during the first nine months of 2016 , weighted average fair value, and assumptions used to determine fair value were as follows: MSUs Performance Shares RSUs Awards granted 800,834 213,626 66,000 Weighted average fair value $ 19.59 $ 21.10 $ 23.47 Expected volatility 34.02 % 34.02 % N/A Risk-free rate (a) 0.86 % 0.86 % N/A Expected term (in years) (b) 2.95 2.95 N/A Expected dividends — — N/A (a) The risk-free rate was based on zero coupon U.S. government issues at the time of grant. (b) The expected term represents the period from the valuation date to the end of the performance period. MARKET SHARE UNITS The MSUs granted during the first nine months of 2016 generally vest after a three -year period based on our actual stock price performance during such period. The number of MSUs earned will vary from zero to 150% of the number of MSUs awarded depending on the actual performance of our stock price. In the case of termination of employment due to death, disability or retirement during the performance period, vesting will be pro-rated based on the number of full months employed in 2016 . Each MSU earned will be settled in common stock at the end of the three -year period. MSUs may vest earlier in the case of a change in control in most circumstances only if there is also a related loss of employment or diminution of duties. We estimated the fair value of each MSU granted on the date of grant using a Monte Carlo simulation that used the assumptions noted in the table above. Volatility was based on stock price history immediately prior to grant for a period commensurate with the expected term. PERFORMANCE SHARES The performance shares granted during the first nine months of 2016 generally vest after a three -year period based on our total stockholder return relative to the performance of the Dow Jones U.S. Construction and Materials Index, with adjustments to that index in certain circumstances, for the three-year period. The number of performance shares earned will vary from zero to 200% of the number of performance shares granted depending on that relative performance. Generally, vesting will be pro-rated based on the number of full months employed during the performance period in the case of death, disability, or retirement. Each performance share earned will be settled in common stock at the end of the three-year period. We estimated the fair value of each performance share granted on the date of grant using a Monte Carlo simulation that used the assumptions noted in the table above. Volatility was based on stock price history immediately prior to grant for a period commensurate with the expected term. RESTRICTED STOCK UNITS The RSUs granted during the first nine months of 2016 vest after a specified number of years from the date of grant or at a specified date, subject to cliff vesting. Generally, RSUs may vest earlier in the case of death, disability, or a change in control, provided that RSUs will vest upon a change in control in most circumstances only if there is also a related loss of employment or diminution of duties. Each RSU is settled in a share of our common stock after the vesting period. The fair value of each RSU granted is equal to the closing price of our common stock on the date of grant. OTHER Expense for share-based arrangements on grants to employees of L&W has been included in discontinued operations. Upon the close of the sale of L&W to ABC Supply, all unvested awards granted to L&W employees will be forfeited.

Supplemental Balance Sheet Info

Supplemental Balance Sheet Information	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplemental Balance Sheet Information	Supplemental Balance Sheet Information INVENTORIES Total inventories consisted of the following: (millions) September 30, 2016 December 31, 2015 Finished goods $ 124 $ 115 Work in progress 35 36 Raw materials 69 68 Total $ 228 $ 219 ASSET RETIREMENT OBLIGATIONS Changes in the liability for asset retirement obligations consisted of the following: Nine months ended September 30, (millions) 2016 2015 Balance as of January 1 $ 119 $ 123 Accretion expense 6 6 Liabilities incurred — 1 Changes in estimated cash flows (a) (11 ) (4 ) Liabilities settled (b) (2 ) (2 ) Foreign currency translation 1 (4 ) Balance as of September 30 $ 113 $ 120 (a) Changes in estimated cash flows for the nine months ended September 30, 2016 includes a $8 million reduction related to one of our quarries. (b) Liabilities settled for the nine months ended September 30, 2016 includes a $2 million liability that was relieved in conjunction with the sale of a surplus property. ACCRUED INTEREST Interest accrued on our debt as of September 30, 2016 and December 31, 2015 was $31 million and $45 million , respectively, and is included in "Accrued expenses" on our accompanying consolidated balance sheets. ASSET DISPOSITIONS In the second quarter of 2016, we recorded a gain of $11 million , or $7 million net of tax, on the sale of a surplus property. The sale relieved the Company of an asset retirement obligation, as noted in the above table, and included the sale of raw material inventory on hand at the surplus location. The pre-tax gain was recorded in cost of products sold within our Gypsum segment.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) Changes in the balances of each component of AOCI for the nine months ended September 30, 2016 and 2015 were as follows: Derivatives Defined Benefit Plans Foreign Currency Translation AOCI (millions) 2016 2015 2016 2015 2016 2015 2016 2015 Balance as of January 1 $ 20 $ 16 $ (221 ) $ (302 ) $ (113 ) $ (52 ) $ (314 ) $ (338 ) Other comprehensive income (loss) before reclassifications, net of tax (6 ) (1 ) (9 ) 2 (9 ) (91 ) (24 ) (90 ) Less: Amounts reclassified from AOCI, net of tax (6 ) (7 ) (1 ) (6 ) — — (7 ) (13 ) Net other comprehensive income (loss) — 6 (8 ) 8 (9 ) (91 ) (17 ) (77 ) Balance as of September 30 $ 20 $ 22 $ (229 ) $ (294 ) $ (122 ) $ (143 ) $ (331 ) $ (415 ) Amounts reclassified from AOCI, net of tax, for the three and nine months ended September 30, 2016 and 2015 , were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Derivatives Net reclassification from AOCI for cash flow hedges included in cost of products sold $ (3 ) $ (2 ) $ (9 ) $ (7 ) Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit (1 ) — (3 ) — Net amount reclassified from AOCI $ (2 ) $ (2 ) $ (6 ) $ (7 ) Defined Benefit Plans Net reclassification from AOCI for amortization of prior service benefit included in cost of products sold (a) $ (2 ) $ (1 ) $ (5 ) $ (3 ) Net reclassification from AOCI for amortization of prior service cost included in selling and administrative expenses (a) 1 (2 ) 2 (4 ) Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit (1 ) — (2 ) (1 ) Net amount reclassified from AOCI $ — $ (3 ) $ (1 ) $ (6 ) (a) Includes immaterial amounts related to L&W employees that are recorded to "Income from discontinued operations". We estimate that we will reclassify a net $3 million after-tax loss on derivatives from AOCI to earnings within the next 12 months.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes In the third quarter of 2016 , we recorded income tax expense of approximately $18 million . The income tax expense for the three months reflects taxes from federal, foreign, state and local jurisdictions. Our effective tax rate was 24.3% . Our effective tax rate was lower than the U.S. statutory rate primarily because of earnings realized in countries that had lower statutory tax rates, because of our equity method income, which is recorded net of tax, and because of our allocation of income taxes to discontinued operations. Our effective tax rate in the future will depend on the portion of our profits earned within and outside the United States. In the nine months ended September 30, 2016 , we recorded income tax expense of $78 million reflecting taxes from federal, foreign, state and local jurisdictions. Our effective tax rate for the first nine months was 29.9% . As of September 30, 2016 , we had federal net operating loss, or NOL, carryforwards of approximately $1.525 billion that are available to offset future federal taxable income and will expire in the years 2026 through 2032 , none of which are subject to Internal Revenue Code limitations under Section 382. In addition, as of that date, we had federal AMT credit carryforwards of approximately $40 million that are available to reduce future regular federal income taxes over an indefinite period. In order to fully realize these U.S. federal net deferred tax assets, taxable income of approximately $1.64 billion would need to be generated during the period before their expiration. As of September 30, 2016 , we had a gross deferred tax asset related to our state NOLs and tax credit carryforwards of $220 million , of which $27 million will expire in 2016 . The remainder will expire if unused in years 2017 through 2035 . We also had NOL and tax credit carryforwards in various foreign jurisdictions in the amount of $1 million as of September 30, 2016 , against which we have maintained a valuation allowance. A reduction of the carrying amounts of deferred tax assets by a valuation allowance is required if, based on all available evidence, it is more likely than not that such assets will not be realized. The need to establish valuation allowances for deferred tax assets is assessed at each reporting date. In assessing the requirement for, and amount of, a valuation allowance in accordance with the more-likely-than-not standard, we give appropriate consideration to all positive and negative evidence related to the realization of the deferred tax assets. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the duration of statutory carryforward periods, our experience with operating loss and tax credit carryforwards not expiring unused and tax planning strategies. Based on our evaluation, during the first nine months of 2016 , we made no adjustments to the valuation allowance against our deferred tax assets of $75 million , which relates to certain NOLs that we anticipate will not be used prior to their expiration. The Internal Revenue Code imposes limitations on a corporation’s ability to utilize NOLs if it experiences an “ownership change” which can result from transactions increasing the ownership of certain stockholders in the stock of a corporation by more than 50 percentage points over a three -year period. If we were to experience an ownership change, utilization of our NOLs would be subject to an annual limitation that may be carried over to later years within the allowed NOL carryforward period. Over the entire carryforward period, we may not be able to use all our NOLs due to the aforementioned annual limitation. If an ownership change had occurred as of September 30, 2016 , our annual U.S. federal NOL utilization would have been limited to approximately $79 million per year.

Litigation

Litigation	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Litigation	Litigation WALLBOARD PRICING LAWSUITS In the first quarter of 2015, USG, United States Gypsum Company, L&W Supply Corporation, and seven other wallboard manufacturers were named as defendants in a lawsuit filed in federal court in California by twelve homebuilders alleging that since at least September 2011, U.S. wallboard manufacturers conspired to fix and raise the price of gypsum wallboard sold in the United States and to effectuate the alleged conspiracy by ending the practice of providing job quotes on wallboard. The lawsuit was transferred to the United States District Court for the Eastern District of Pennsylvania under the title In re: Domestic Drywall Antitrust Litigation, MDL No. 2437. In the second quarter of 2016, the Court dismissed with prejudice the portions of the homebuilders’ complaint alleging a conspiracy in 2014 and 2015, ruling that there were insufficient factual allegations to allow such a claim to go forward. The homebuilders' claims alleging a conspiracy prior to 2014 have not been dismissed, and the case proceeds as to those claims. USG is retaining the liability with respect to L&W Supply Corporation. Beginning in the third quarter of 2013, class action lawsuits making similar allegations with regard to Canada were filed in Quebec, Ontario and British Columbia courts on behalf of purchasers of wallboard in Canada and naming USG Corporation, United States Gypsum Company, CGC Inc., and other wallboard manufacturers as defendants. We believe that the cost, if any, of resolving the homebuilders’ lawsuit and Canadian class action litigation will not have a material effect on our results of operations, financial position or cash flows. ENVIRONMENTAL LITIGATION We have been notified by state and federal environmental protection agencies of possible involvement as one of numerous “potentially responsible parties” in a number of Superfund sites in the United States. As a potentially responsible party, we may be responsible to pay for some part of the cleanup of hazardous waste at those sites. In most of these sites, our involvement is expected to be minimal. In addition, we are involved in environmental cleanups of other property that we own or owned. As of both September 30, 2016 and December 31, 2015 , we had an accrual of $16 million for our probable and reasonably estimable liability in connection with these matters. Our accruals take into account all known or estimated undiscounted costs associated with these sites, including site investigations and feasibility costs, site cleanup and remediation, certain legal costs, and fines and penalties, if any. However, we continue to review these accruals as additional information becomes available and revise them as appropriate. Based on the information known to us, we believe these environmental matters will not have a material effect on our results of operations, financial position or cash flows. OTHER LITIGATION We are named as defendants in other claims and lawsuits arising from our operations, including claims and lawsuits arising from the operation of our vehicles, product performance or warranties, personal injury and commercial disputes. We believe that we have properly accrued for our probable liability in connection with these claims and suits, taking into account the probability of liability, whether our exposure can be reasonably estimated and, if so, our estimate of our liability or the range of our liability. We do not expect these or any other litigation matters involving USG to have a material effect on our results of operations, financial position or cash flows.

Gypsum Transportation Limited

Gypsum Transportation Limited	9 Months Ended
	Sep. 30, 2016
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment Disclosure [Text Block]	Gypsum Transportation Limited We exited our shipping operations in the second quarter of 2015. In November 2015, we entered into a release and debt settlement agreement (Settlement Agreement) to recover a portion of our loss incurred when our former trading partner ceased performing under the contract in the fourth quarter of 2014. The Settlement Agreement required payments totaling $14 million beginning in December 2015. The payments received to settle a $9 million loss on the outstanding trade receivable was recorded as a benefit to our consolidated statements of income when we determined the payments to be probable. We recorded a recovery of $6 million in the fourth quarter of 2015 and $8 million in the first quarter of 2016. With the payments received in the first quarter, the total recovery under the Settlement Agreement is complete. For the nine months ended September 30, 2016 , the recovery is presented as $3 million within "Recovery of receivable", $1 million within "Interest income" and $4 million within "Other income, net" on our consolidated statement of income. GTL recorded operating profit of $0 million and $3 million for the three and nine months ended September 30, 2016 , respectively, compared with operating profit of $0 million and $1 million for the three and nine months ended September 30, 2015 , respectively.

Discontinued Operations (Tables

Discontinued Operations (Tables)	9 Months Ended
	Sep. 30, 2016
Discontinued Operations and Disposal Groups [Abstract]
Disposal Groups, Including Discontinued Operations [Table Text Block]	The summarized financial information related to L&W that has been excluded from continuing operations and reported as a discontinued operation is as follows: (millions) Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 Net sales $ 388 $ 378 $ 1,131 $ 1,076 Cost of products sold 370 364 1,080 1,043 Gross profit 18 14 51 33 Selling and administrative expenses (a) 7 6 18 11 Operating profit 11 8 33 22 Income tax expense (5 ) — (13 ) — Income from discontinued operations $ 6 $ 8 $ 20 $ 22 (a) The three and nine months ended September 30, 2016 include transaction costs of $3 million and $8 million , respectively. Prior to the third quarter of 2016, these costs were reported in Corporate selling and administrative expenses. The assets and liabilities related to discontinued operations are as follows: (millions) September 30, 2016 December 31, 2015 Cash $ 2 $ — Accounts receivable, net 231 207 Inventories 104 95 Other current assets 3 4 Property, plant and equipment, net (a) 17 17 Intangible assets (a) 25 31 Other assets (a) 3 3 Total assets related to discontinued operations $ 385 $ 357 Accounts payable $ 71 $ 51 Accrued expenses 29 29 Other liabilities (a) 18 20 Total liabilities related to discontinued operations $ 118 $ 100 (a) As of December 31, 2015, these balances are reflected as long-term in our consolidated balance sheet.

Equity Method Investments (Tabl

Equity Method Investments (Tables)	9 Months Ended
	Sep. 30, 2016
Equity Method Investments and Joint Ventures [Abstract]
Equity Method Investments	Translation gains or losses recorded in other comprehensive income were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Translation gain (loss) $ 13 $ (35 ) $ — $ (54 ) Summarized financial information for our equity method investments is as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 USG Boral Building Products: Net sales $ 276 $ 250 $ 778 $ 742 Gross profit (a) 90 69 241 200 Operating profit 41 30 105 87 Income from continuing operations before income taxes 42 32 112 94 Net income 29 25 78 71 Net income attributable to USG Boral Building Products 28 24 74 66 USG share of income from investment accounted for using the equity method 14 12 37 33 Other equity method investments: USG share of income from investments accounted for using the equity method — 1 — 2 Total income from equity method investments $ 14 $ 13 $ 37 $ 35 (a) The results for the three and nine months ended September 30, 2016 include impairment charges of $8 million , net of tax of $0 , for certain assets in China. Equity method investments as of September 30, 2016 and December 31, 2015 , were as follows: September 30, 2016 December 31, 2015 (dollars in millions) Carrying Value Ownership Percentage Carrying Value Ownership Percentage USG Boral Building Products $ 667 50% $ 675 50% Other equity method investments 7 33% - 50% 7 33% - 50% Total equity method investments $ 674 $ 682

Segments (Tables)

Segments (Tables)	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Net sales and operating profit (loss) by segment	Segment results for our Gypsum and Ceilings segments were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Net Sales : Gypsum $ 635 $ 617 $ 1,899 $ 1,818 Ceilings 135 132 391 384 Eliminations (3 ) (2 ) (7 ) (7 ) Total $ 767 $ 747 $ 2,283 $ 2,195 Operating Profit (Loss) : Gypsum $ 89 $ 93 $ 310 $ 262 Ceilings 33 25 93 70 Corporate (a) (25 ) (24 ) (68 ) (71 ) Total $ 97 $ 94 $ 335 $ 261 (a) Transaction costs of $3 million and $8 million associated with the sale of L&W have been reclassified to discontinued operations for the three and nine months ended September 30, 2016, respectively.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Reconciliation of basic earnings per share to diluted earnings per share	The reconciliation of basic earnings per share to diluted earnings per share is shown in the following table. Three months ended September 30, Nine months ended September 30, (millions, except per-share data) 2016 2015 2016 2015 Income from continuing operations $ 56 $ 68 $ 183 $ 157 Income from discontinued operations, net of tax 6 8 20 22 Net income $ 62 $ 76 $ 203 $ 179 Average common shares 146.0 145.6 145.9 145.4 Dilutive RSUs, MSUs, performance shares and stock options 2.2 1.8 1.6 1.6 Deferred shares associated with a deferred compensation program for non-employee directors 0.2 0.1 — 0.2 Average diluted common shares 148.4 147.5 147.5 147.2 Basic earnings per average common share: Income from continuing operations $ 0.39 $ 0.46 $ 1.26 $ 1.08 Income from discontinued operations 0.04 0.06 0.13 0.15 Net income $ 0.43 $ 0.52 $ 1.39 $ 1.23 Diluted earnings per average common share: Income from continuing operations $ 0.38 $ 0.46 $ 1.25 $ 1.07 Income from discontinued operations 0.04 0.06 0.13 0.14 Net income $ 0.42 $ 0.52 $ 1.38 $ 1.21
Schedule of anti-dilutive securities excluded from computation of earnings per share	MSUs, performance shares, RSUs, and stock options and deferred shares associated with our deferred compensation program for non-employee directors that were not included in the computation of diluted earnings per share for those periods because their inclusion would be anti-dilutive were as follows: Three months ended September 30, Nine months ended September 30, (millions, common shares) 2016 2015 2016 2015 MSUs, performance shares, RSUs and stock options 1.0 1.8 1.6 1.9 Deferred shares associated with a deferred compensation program for non-employee directors — — 0.2 —

Marketable Securities (Tables)

Marketable Securities (Tables)	9 Months Ended
	Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]
Investments in marketable securities	Our investments in marketable securities consisted of the following: As of September 30, 2016 As of December 31, 2015 (millions) Amortized Cost Fair Value Amortized Cost Fair Value Corporate debt securities $ 65 $ 65 $ 134 $ 134 U.S. government and agency debt securities 32 32 57 57 Asset-backed debt securities — — 21 21 Certificates of deposit 5 5 15 15 Municipal debt securities — — 3 3 Total marketable securities $ 102 $ 102 $ 230 $ 230 Proceeds received from sales or maturities of marketable securities were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Proceeds received $ 123 $ 29 $ 310 $ 132
Contractual maturities of marketable securities	Contractual maturities of marketable securities as of September 30, 2016 were as follows: (millions) Amortized Cost Fair Value Due in 1 year or less $ 102 $ 102 Due in 1-5 years — — Total marketable securities $ 102 $ 102

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible assets with definitive lives	Intangible assets with definite lives are amortized. These assets are summarized as follows: As of September 30, 2016 As of December 31, 2015 (millions) Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Intangible assets with definite lives $ 7 $ (6 ) $ 1 $ 7 $ (6 ) $ 1
Estimated annual amortization expense intangible assets	Estimated amortization expense for the remainder of 2016 and for future years is as follows: (millions) 2016 2017 2018 and thereafter Estimated future amortization expense $ — $ — $ 1

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of long-term debt instruments	Total debt, including the current portion of long-term debt, consisted of the following: (millions) September 30, December 31, 5.5% senior notes due 2025 $ 350 $ 350 5.875% senior notes due 2021 350 350 6.3% senior notes due 2016 300 500 7.75% senior notes due 2018 500 500 7.875% senior notes due 2020, net of discount 249 249 Industrial revenue bonds (due 2028 through 2034) 239 239 Total $ 1,988 $ 2,188 Less: Unamortized debt issuance costs 11 13 Total $ 1,977 $ 2,175

Derivative Instruments (Tables)

Derivative Instruments (Tables)	9 Months Ended
	Sep. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Pretax effects of derivative instruments on consolidated statements of operations	The following are the pretax effects of derivative instruments on the consolidated statements of income for the three months ended September 30, 2016 and 2015 . Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion) Location of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) (millions) 2016 2015 2016 2015 Derivatives in Cash Flow Hedging Relationships Commodity contracts $ (4 ) $ (5 ) Cost of products sold $ (3 ) $ (4 ) Foreign exchange contracts 1 6 Cost of products sold — 2 Derivatives in Net Investment Hedging Relationships Foreign exchange contracts — — Other income, net — — Total $ (3 ) $ 1 $ (3 ) $ (2 ) Location of Gain or (Loss) Amount of Gain or (Loss) Recognized in Income (millions) 2016 2015 Derivatives Not Designated as Hedging Instruments Commodity contracts Cost of products sold $ — $ (1 ) Total $ — $ (1 ) The following are the pretax effects of derivative instruments on the consolidated statements of income for the nine months ended September 30, 2016 and 2015 . Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion) Location of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) (millions) 2016 2015 2016 2015 Derivatives in Cash Flow Hedging Relationships Commodity contracts $ (2 ) $ (9 ) Cost of products sold $ (13 ) $ (11 ) Foreign exchange contracts (5 ) 9 Cost of products sold 4 4 Derivatives in Net Investment Hedging Relationships Foreign exchange contracts — — Other income, net — — Total $ (7 ) $ — $ (9 ) $ (7 ) Location of Gain or (Loss) Recognized in Income on Derivatives Amount of Gain or (Loss) Recognized in Income on Derivatives (millions) 2016 2015 Derivatives Not Designated as Hedging Instruments Commodity contracts Cost of products sold $ — $ (1 ) Total $ — $ (1 )
Fair values of derivative instruments and the location on the consolidated balance sheets	he following are the fair values of derivative instruments and the location on our accompanying consolidated balance sheets as of September 30, 2016 and December 31, 2015 . Balance Sheet Location Fair Value Balance Sheet Location Fair Value (millions) 9/30/16 12/31/15 9/30/16 12/31/15 Derivatives in Cash Flow Hedging Relationships Commodity contracts Other current assets $ 2 $ 1 Accrued expenses $ 6 $ 15 Commodity contracts Other assets 2 — Other liabilities 5 5 Foreign exchange contracts Other current assets 1 8 Accrued expenses 2 — Foreign exchange contracts Other assets — — Other liabilities — — Total derivatives in cash flow hedging relationships $ 5 $ 9 $ 13 $ 20 Derivatives Not Designated as Hedging Instruments Commodity contracts Other current assets $ — $ — Accrued expenses $ — $ 2 Total derivatives not designated as hedging instruments $ — $ — $ — $ 2 Total derivatives Total assets $ 5 $ 9 Total liabilities $ 13 $ 22

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Assets and liabilities measured at fair value on a recurring basis	Our assets and liabilities measured at fair value on a recurring basis were as follows: Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (millions) 9/30/16 12/31/15 9/30/16 12/31/15 9/30/16 12/31/15 9/30/16 12/31/15 Cash equivalents $ 153 $ 223 $ 134 $ 25 $ — $ — $ 287 $ 248 Equity mutual funds 5 4 — — — — 5 4 Marketable securities: Corporate debt securities — — 65 134 — — 65 134 U.S. government and agency debt securities — — 32 57 — — 32 57 Asset-backed debt securities — — — 21 — — — 21 Certificates of deposit — — 5 15 — — 5 15 Municipal debt securities — — — 3 — — — 3 Derivative assets — — 5 9 — — 5 9 Derivative liabilities — — (13 ) (22 ) — — (13 ) (22 )

Employee Retirement Plans (Tabl

Employee Retirement Plans (Tables)	9 Months Ended
	Sep. 30, 2016
Compensation and Retirement Disclosure [Abstract]
Components of net pension and postretirement benefits costs	The components of net pension and postretirement benefit costs are summarized in the following table: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Pension: Service cost of benefits earned $ 11 $ 12 $ 34 $ 37 Interest cost on projected benefit obligation 17 16 51 50 Expected return on plan assets (22 ) (20 ) (66 ) (62 ) Settlement 1 1 3 1 Net amortization 5 10 14 29 Net pension cost $ 12 $ 19 $ 36 $ 55 Postretirement: Service cost of benefits earned $ 1 $ 1 $ 2 $ 2 Interest cost on projected benefit obligation 1 1 4 4 Net amortization (7 ) (8 ) (21 ) (24 ) Net postretirement benefit \ $ (5 ) $ (6 ) $ (15 ) $ (18 )

Share-Based Compensation (Table

Share-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Awards granted during the period and assumptions used to determine fair value	Awards granted during the first nine months of 2016 , weighted average fair value, and assumptions used to determine fair value were as follows: MSUs Performance Shares RSUs Awards granted 800,834 213,626 66,000 Weighted average fair value $ 19.59 $ 21.10 $ 23.47 Expected volatility 34.02 % 34.02 % N/A Risk-free rate (a) 0.86 % 0.86 % N/A Expected term (in years) (b) 2.95 2.95 N/A Expected dividends — — N/A (a) The risk-free rate was based on zero coupon U.S. government issues at the time of grant. (b) The expected term represents the period from the valuation date to the end of the performance period.

Supplemental Balance Sheet In37

Supplemental Balance Sheet Information (Tables)	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of inventories	Total inventories consisted of the following: (millions) September 30, 2016 December 31, 2015 Finished goods $ 124 $ 115 Work in progress 35 36 Raw materials 69 68 Total $ 228 $ 219
Changes in the liability for asset retirement obligations	Changes in the liability for asset retirement obligations consisted of the following: Nine months ended September 30, (millions) 2016 2015 Balance as of January 1 $ 119 $ 123 Accretion expense 6 6 Liabilities incurred — 1 Changes in estimated cash flows (a) (11 ) (4 ) Liabilities settled (b) (2 ) (2 ) Foreign currency translation 1 (4 ) Balance as of September 30 $ 113 $ 120 (a) Changes in estimated cash flows for the nine months ended September 30, 2016 includes a $8 million reduction related to one of our quarries. (b) Liabilities settled for the nine months ended September 30, 2016 includes a $2 million liability that was relieved in conjunction with the sale of a surplus property.

Accumulated Other Comprehensi38

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Changes in the balances of each component of AOCI	Changes in the balances of each component of AOCI for the nine months ended September 30, 2016 and 2015 were as follows: Derivatives Defined Benefit Plans Foreign Currency Translation AOCI (millions) 2016 2015 2016 2015 2016 2015 2016 2015 Balance as of January 1 $ 20 $ 16 $ (221 ) $ (302 ) $ (113 ) $ (52 ) $ (314 ) $ (338 ) Other comprehensive income (loss) before reclassifications, net of tax (6 ) (1 ) (9 ) 2 (9 ) (91 ) (24 ) (90 ) Less: Amounts reclassified from AOCI, net of tax (6 ) (7 ) (1 ) (6 ) — — (7 ) (13 ) Net other comprehensive income (loss) — 6 (8 ) 8 (9 ) (91 ) (17 ) (77 ) Balance as of September 30 $ 20 $ 22 $ (229 ) $ (294 ) $ (122 ) $ (143 ) $ (331 ) $ (415 )
Amounts reclassified from AOCI, net of tax	Amounts reclassified from AOCI, net of tax, for the three and nine months ended September 30, 2016 and 2015 , were as follows: Three months ended September 30, Nine months ended September 30, (millions) 2016 2015 2016 2015 Derivatives Net reclassification from AOCI for cash flow hedges included in cost of products sold $ (3 ) $ (2 ) $ (9 ) $ (7 ) Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit (1 ) — (3 ) — Net amount reclassified from AOCI $ (2 ) $ (2 ) $ (6 ) $ (7 ) Defined Benefit Plans Net reclassification from AOCI for amortization of prior service benefit included in cost of products sold (a) $ (2 ) $ (1 ) $ (5 ) $ (3 ) Net reclassification from AOCI for amortization of prior service cost included in selling and administrative expenses (a) 1 (2 ) 2 (4 ) Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit (1 ) — (2 ) (1 ) Net amount reclassified from AOCI $ — $ (3 ) $ (1 ) $ (6 ) (a) Includes immaterial amounts related to L&W employees that are recorded to "Income from discontinued operations".

Presentation of Financial State

Presentation of Financial Statements (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Income tax benefits on share based arrangements	$ 9	$ 0
Accounting Standards Update 2016-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Income tax benefits on share based arrangements	8	$ 4
Unrecognized tax benefits	$ 25

Discontinued Operations (Detail

Discontinued Operations (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016		Sep. 30, 2015	Sep. 30, 2016		Sep. 30, 2015
Discontinued Operations and Disposal Groups [Abstract]
Net sales	$ 388		$ 378	$ 1,131		$ 1,076
Cost of products sold	370		364	1,080		1,043
Gross profit	18		14	51		33
Selling and administrative expenses (a)	7	[1]	6	18	[1]	11
Operating profit	11		8	33		22
Income tax expense	(5)		0	(13)		0
Income from discontinued operations	6		$ 8	20		$ 22
Transaction costs related to sale	$ 3			$ 8
[1]	(a) The three and nine months ended September 30, 2016 include transaction costs of $3 million and $8 million, respectively. Prior to the third quarter of 2016, these costs were reported in Corporate selling and administrative expenses.

Discontinued Operations (Deta41

Discontinued Operations (Details 1) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Discontinued Operations and Disposal Groups [Abstract]
Cash	$ 2	$ 0
Accounts receivable, net	231	207
Inventories	104	95
Other current assets	3	4
Property, plant and equipment, net (a)	17	17	[1]
Intangible assets (a)	25	31	[1]
Other assets (a)	3	3	[1]
Total assets related to discontinued operations	385	357
Accounts payable	71	51
Accrued expenses	29	29
Other liabilities (a)	18	20	[1]
Total liabilities related to discontinued operations	$ 118	$ 100
[1]	(a) As of December 31, 2015, these balances are reflected as long-term in our consolidated balance sheet.

Discontinued Operations (Deta42

Discontinued Operations (Details Textual) $ in Millions	Sep. 30, 2016USD ($)
Discontinued Operations and Disposal Groups [Abstract]
Cash consideration	$ 670

Long-Lived Asset Impairment C43

Long-Lived Asset Impairment Charges (Details Textual) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Long-Lived Asset Impairment Charges [Abstract]
Long-lived asset impairment charges	$ 10	$ 0	$ 10	$ 0
Severance and other charges	$ 2		$ 2

Equity Method Investments (Deta

Equity Method Investments (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 674	$ 682
USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 667	$ 675
Ownership percentage	50.00%	50.00%
Other equity method investments
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 7	$ 7
Other equity method investments | Minimum
Schedule of Equity Method Investments [Line Items]
Ownership percentage	33.00%	33.00%
Other equity method investments | Maximum
Schedule of Equity Method Investments [Line Items]
Ownership percentage	50.00%	50.00%

Equity Method Investments (De45

Equity Method Investments (Details 1) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Schedule of Equity Method Investments [Line Items]
Translation loss	$ 3	$ (52)	$ (9)	$ (91)
USG Boral Building Products [Member]
Schedule of Equity Method Investments [Line Items]
Translation loss	$ 13	$ (35)	$ 0	$ (54)

Equity Method Investments (De46

Equity Method Investments (Details 2) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016		Sep. 30, 2015	Sep. 30, 2016		Sep. 30, 2015
Schedule of Equity Method Investments [Line Items]
USG share of income from investment accounted for using the equity method	$ 14		$ 13	$ 37		$ 35
Asset impairment charges	8
Tax on asset impairment charges	0
USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Gross profit (a)	90	[1]	69	241	[1]	200
Income from continuing operations before income taxes	42		32	112		94
Net income	29		25	78		71
Net income attributable to USG Boral Building Products	28		24	74		66
USG share of income from investment accounted for using the equity method	14		12	37		33
Other equity method investments
Schedule of Equity Method Investments [Line Items]
USG share of income from investment accounted for using the equity method	0		1	0		2
USG Boral Building Products | USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Net sales	276		250	778		742
Operating profit	$ 41		$ 30	$ 105		$ 87
[1]	(a)The results for the three and nine months ended September 30, 2016 include impairment charges of $8 million, net of tax of $0, for certain assets in China.

Equity Method Investments (De47

Equity Method Investments (Details Textual) - USD ($) $ in Millions	Feb. 27, 2014	Jun. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Schedule of Equity Method Investments [Line Items]
Dividends received from equity method investments			$ 18	$ 18
Return of capital			1	$ 0
Present value of contingent liability for contingent consideration for equity method investment			$ 0		$ 24
USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Ownership percentage			50.00%		50.00%
Dividends received from equity method investments			$ 18
Undistributed earnings			$ 60
Return of capital		$ 1
Range of outcomes in contingent consideration arrangements, value, high	$ 75
Contingent consideration for first performance period	$ 25
First performance period for contingent consideration	3 years
Contingent consideration for second performance period	$ 50
Second performance period for contingent consideration	5 years
Boral Limited | USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Ownership percentage by joint venture partner of equity method investment			50.00%
USG Boral Building Products
Schedule of Equity Method Investments [Line Items]
Loan receivable from related party			$ 15		$ 14

Segments (Details)

Segments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net Sales:
Net sales	$ 767	$ 747	$ 2,283	$ 2,195
Operating Profit (Loss):
Operating profit	97	94	335	261
Transaction costs related to sale	3		8
Operating segments | Gypsum
Net Sales:
Net sales	635	617	1,899	1,818
Operating Profit (Loss):
Operating profit	89	93	310	262
Operating segments | Ceilings
Net Sales:
Net sales	135	132	391	384
Operating Profit (Loss):
Operating profit	33	25	93	70
Corporate
Operating Profit (Loss):
Operating profit	(25)	(24)	(68)	(71)
Eliminations
Net Sales:
Net sales	$ (3)	$ (2)	$ (7)	$ (7)

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share [Abstract]
Income from continuing operations	$ 56	$ 68	$ 183	$ 157
Income from discontinued operations, net of tax	6	8	20	22
Net income	$ 62	$ 76	$ 203	$ 179
Average common shares	146,043,791	145,569,692	145,892,390	145,421,798
Dilutive RSUs, MSUs, performance shares and stock options	2,200,000	1,800,000	1,600,000	1,600,000
Deferred shares associated with a deferred compensation program for non-employee directors	200,000	100,000	0	200,000
Average diluted common shares	148,387,637	147,534,779	147,520,891	147,223,897
Income from continuing operations (in dollars per share)	$ 0.39	$ 0.46	$ 1.26	$ 1.08
Income from discontinued operations (in dollars per share)	0.04	0.06	0.13	0.15
Net income (in dollars per share)	0.43	0.52	1.39	1.23
Income from continuing operations (in dollars per share)	0.38	0.46	1.25	1.07
Income from discontinued operations (in dollars per share)	0.04	0.06	0.13	0.14
Net income (in dollars per share)	$ 0.42	$ 0.52	$ 1.38	$ 1.21

Earnings Per Share (Details 1)

Earnings Per Share (Details 1) - shares shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
MSUs, performance shares, RSUs and stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount	1	1.8	1.6	1.9
Deferred shares associated with a deferred compensation program for non-employee directors
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount	0	0	0.2	0

Marketable Securities (Details)

Marketable Securities (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Investments, Debt and Equity Securities [Abstract]
Sales or maturities of marketable securities	$ 123	$ 29	$ 310	$ 132

Marketable Securities (Details

Marketable Securities (Details 1) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Investments in marketable securities
Amortized Cost	$ 102	$ 230
Fair Value	102	230
Corporate debt securities
Investments in marketable securities
Amortized Cost	65	134
Fair Value	65	134
U.S. government and agency debt securities
Investments in marketable securities
Amortized Cost	32	57
Fair Value	32	57
Asset-backed debt securities
Investments in marketable securities
Amortized Cost	0	21
Fair Value	0	21
Certificates of deposit
Investments in marketable securities
Amortized Cost	5	15
Fair Value	5	15
Municipal debt securities
Investments in marketable securities
Amortized Cost	0	3
Fair Value	$ 0	$ 3

Marketable Securities (Detail53

Marketable Securities (Details 2) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Contractual maturities of marketable securities
Due in 1 year or less, amortized cost	$ 102
Due in 1-5 years, amortized cost	0
Marketable securities, amortized cost	102	$ 230
Due in 1 year or less, fair value	102
Due in 1-5 years, fair value	0
Marketable securities, fair value	$ 102	$ 230

Intangible Assets (Details)

Intangible Assets (Details) - Intangible assets with definite lives - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Intangible assets with definite lives
Gross Carrying Amount	$ 7	$ 7
Accumulated Amortization	(6)	(6)
Net	$ 1	$ 1

Intangible Assets (Details 1)

Intangible Assets (Details 1) $ in Millions	Sep. 30, 2016USD ($)
Estimated annual amortization expense intangible assets
Estimated future amortization expense, 2016	$ 0
Estimated future amortization expense, 2017	0
Estimated future amortization expense, 2018 and thereafter	$ 1

Intangible Assets (Details Text

Intangible Assets (Details Textual) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Indefinite-lived intangible assets	$ 8	$ 8

Debt (Details)

Debt (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015	Feb. 24, 2015
Debt Instrument [Line Items]
Total debt	$ 1,988	$ 2,188
Deferred financing fees	11	13
Long term debt net of unamortized debt issuance costs	$ 1,977	$ 2,175
5.5% senior notes due 2025
Debt Instrument [Line Items]
Debt instrument interest rate	5.50%	5.50%
Total debt	$ 350	$ 350
Deferred financing fees			$ 6
Long term debt net of unamortized debt issuance costs	$ 345	$ 344
5.875% senior notes due 2021
Debt Instrument [Line Items]
Debt instrument interest rate	5.875%	5.875%
Total debt	$ 350	$ 350
6.3% senior notes due 2016
Debt Instrument [Line Items]
Debt instrument interest rate	6.30%	6.30%
Total debt	$ 300	$ 500
7.75% senior notes due 2018
Debt Instrument [Line Items]
Debt instrument interest rate	7.75%	7.75%
Total debt	$ 500	$ 500
7.875% senior notes due 2020, net of discount
Debt Instrument [Line Items]
Debt instrument interest rate	7.875%	7.875%
Total debt	$ 249	$ 249
Industrial revenue bonds (due 2028 through 2034)
Debt Instrument [Line Items]
Total debt	$ 239	$ 239

Debt (Details Textual)

Debt (Details Textual) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015	Mar. 31, 2015	Mar. 26, 2015	Feb. 24, 2015
Debt Instrument [Line Items]
Loss on extinguishment of debt	$ (1)	$ 0	$ (5)	$ (19)
Deferred financing fees	11		11		$ 13
Long term debt net of unamortized debt issuance costs	1,977		1,977		2,175
Fair value of debt	2,091		2,091		$ 2,295
Credit facility
Debt Instrument [Line Items]
Borrowing available under credit facility	337		337
Outstanding lines of credit	$ 0		$ 0
Interest rate at period end for line of credit facility	2.10%		2.10%
Amount of letters of credit outstanding	$ 46		$ 46
CGC Credit Facility CAD
Debt Instrument [Line Items]
Interest rate at period end for line of credit facility	2.15%		2.15%
CGC credit facility USD
Debt Instrument [Line Items]
Borrowing available under credit facility	$ 50		$ 50
6.3% senior notes due 2016
Debt Instrument [Line Items]
Repurchase of outstanding debt	$ 200		$ 200
Debt instrument interest rate	6.30%		6.30%		6.30%
Premiums paid on repurchased debt	$ 5		$ 5
Accrued interest paid on repurchased debt	4		4
Amount paid in consideration of debt repurchase	$ 209		$ 209
8.375% senior notes due 2018
Debt Instrument [Line Items]
Repurchase of outstanding debt						$ 350	$ 224	$ 126
Debt instrument interest rate	8.375%		8.375%
Amount paid in consideration of debt repurchase							$ 242	135
5.5% senior notes due 2025
Debt Instrument [Line Items]
Debt instrument interest rate	5.50%		5.50%		5.50%
Face amount of debt								350
Deferred financing fees								$ 6
Long term debt net of unamortized debt issuance costs	$ 345		$ 345		$ 344

Derivative Instruments (Details

Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Derivatives in Cash Flow Hedging Relationships
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion)	$ (3)	$ 1	$ (7)	$ 0
Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)	(3)	(2)	(9)	(7)
Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion)	(4)	(5)	(2)	(9)
Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Cost of products sold | Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)	(3)	(4)	(13)	(11)
Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion)	1	6	(5)	9
Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Net investment hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion)	0	0	0	0
Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Cost of products sold | Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)	0	2	4	4
Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Other income | Net investment hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion)	0	0	0	0
Derivatives Not Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Income on Derivatives	0	(1)	0	(1)
Derivatives Not Designated as Hedging Instruments | Commodity contracts | Cost of products sold
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in Income on Derivatives	$ 0	$ (1)	$ 0	$ (1)

Derivative Instruments (Detai60

Derivative Instruments (Details 1) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Derivatives, Fair Value [Line Items]
Derivative assets	$ 5	$ 9
Derivative liabilities	13	22
Derivatives Not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Derivative assets	0	0
Derivative liabilities	0	2
Derivatives Not Designated as Hedging Instruments | Commodity contracts | Other current assets
Derivatives, Fair Value [Line Items]
Derivative assets	0	0
Derivatives Not Designated as Hedging Instruments | Commodity contracts | Accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liabilities	0	2
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships
Derivatives, Fair Value [Line Items]
Derivative assets	5	9
Derivative liabilities	13	20
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Other current assets
Derivatives, Fair Value [Line Items]
Derivative assets	2	1
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Other assets
Derivatives, Fair Value [Line Items]
Derivative assets	2	0
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liabilities	6	15
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Commodity contracts | Other liabilities
Derivatives, Fair Value [Line Items]
Derivative liabilities	5	5
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Other current assets
Derivatives, Fair Value [Line Items]
Derivative assets	1	8
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Other assets
Derivatives, Fair Value [Line Items]
Derivative assets	0	0
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liabilities	2	0
Cash flow hedging | Derivatives in Cash Flow Hedging Relationships | Foreign exchange contracts | Other liabilities
Derivatives, Fair Value [Line Items]
Derivative liabilities	$ 0	$ 0

Derivative Instruments (Detai61

Derivative Instruments (Details Textual) MMBTU in Millions	9 Months Ended
	Sep. 30, 2016USD ($)MMBTU	Sep. 30, 2015USD ($)	Dec. 31, 2015USD ($)
Derivative Instruments, Gain (Loss) [Line Items]
Typical hedging period	4 years
Net liability aggregate fair value	$ (8,000,000)
Collateral provided to counterparties related to derivatives	$ 8,000,000
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Nonmonetary notional amount of derivatives | MMBTU	31
Fair value of contracts not designated as cash flow hedges			$ 2,000,000
Cash flow hedging | Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Loss on cash flow hedge ineffectiveness	$ 0	$ 0
Cash flow hedging | Foreign exchange contracts
Derivative Instruments, Gain (Loss) [Line Items]
Loss on cash flow hedge ineffectiveness	0	0
Notional amounts of foreign exchange forward contracts	101,000,000
Cash flow hedging | Fair value that remains in accumulated other comprehensive income | Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Unrealized gain (loss) that remained in AOCI from cash flow hedges, net of tax	(7,000,000)		(19,000,000)
Cash flow hedging | Fair value that remains in accumulated other comprehensive income | Foreign exchange contracts
Derivative Instruments, Gain (Loss) [Line Items]
Unrealized gain (loss) that remained in AOCI from cash flow hedges, net of tax	(1,000,000)		$ 8,000,000
Net investment hedging | Foreign exchange contracts
Derivative Instruments, Gain (Loss) [Line Items]
Loss on cash flow hedge ineffectiveness	$ 0
Notional amounts of foreign exchange forward contracts		$ 35,000,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	$ 287	$ 248
Equity mutual funds	5	4
Marketable securities	102	230
Derivative assets	5	9
Derivative liabilities	(13)	(22)
Corporate debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	65	134
U.S. government and agency debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	32	57
Asset-backed debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	21
Certificates of deposit
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	5	15
Municipal debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	3
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	153	223
Equity mutual funds	5	4
Derivative assets	0	0
Derivative liabilities	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government and agency debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Certificates of deposit
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Significant Other Observable Inputs (Level 2)
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	134	25
Equity mutual funds	0	0
Derivative assets	5	9
Derivative liabilities	(13)	(22)
Significant Other Observable Inputs (Level 2) | Corporate debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	65	134
Significant Other Observable Inputs (Level 2) | U.S. government and agency debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	32	57
Significant Other Observable Inputs (Level 2) | Asset-backed debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	21
Significant Other Observable Inputs (Level 2) | Certificates of deposit
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	5	15
Significant Other Observable Inputs (Level 2) | Municipal debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	3
Significant Unobservable Inputs (Level 3)
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	0	0
Equity mutual funds	0	0
Derivative assets	0	0
Derivative liabilities	0	0
Significant Unobservable Inputs (Level 3) | Corporate debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Significant Unobservable Inputs (Level 3) | U.S. government and agency debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Significant Unobservable Inputs (Level 3) | Asset-backed debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Significant Unobservable Inputs (Level 3) | Certificates of deposit
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	0	0
Significant Unobservable Inputs (Level 3) | Municipal debt securities
Assets and liabilities measured at fair value on a recurring basis
Marketable securities	$ 0	$ 0

Fair Value Measurements (Deta63

Fair Value Measurements (Details Textual) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Fair Value Disclosures [Abstract]
Long-lived asset impairment charges	$ 10	$ 0	$ 10	$ 0

Employee Retirement Plans (Deta

Employee Retirement Plans (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Pension
Components of net pension and postretirement benefits costs
Service cost of benefits earned	$ 11	$ 12	$ 34	$ 37
Interest cost on projected benefit obligation	17	16	51	50
Expected return on plan assets	(22)	(20)	(66)	(62)
Settlement	1	1	3	1
Net amortization	5	10	14	29
Net pension cost	12	19	36	55
Postretirement
Components of net pension and postretirement benefits costs
Service cost of benefits earned	1	1	2	2
Interest cost on projected benefit obligation	1	1	4	4
Net amortization	(7)	(8)	(21)	(24)
Net pension cost	$ (5)	$ (6)	$ (15)	$ (18)

Employee Retirement Plans (De65

Employee Retirement Plans (Details Textual) $ in Millions	9 Months Ended
	Sep. 30, 2016USD ($)
Defined Benefit Plan Disclosure [Line Items]
Estimated total contributions in current year	$ 65
United States pension plan
Defined Benefit Plan Disclosure [Line Items]
Contribution by employer	50
Canada pension plan
Defined Benefit Plan Disclosure [Line Items]
Contribution by employer	6
Other domestic pension plan
Defined Benefit Plan Disclosure [Line Items]
Contribution by employer	$ 8

Share-Based Compensation (Detai

Share-Based Compensation (Details)	9 Months Ended
	Sep. 30, 2016USD ($)$ / sharesshares
MSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted | shares	800,834
Weighted average fair value | $ / shares	$ 19.59
Expected volatility	34.02%
Risk-free rate	0.86%	[1]
Expected term (in years)	2 years 11 months 13 days	[2]
Expected dividends | $	$ 0
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted | shares	213,626
Weighted average fair value | $ / shares	$ 21.10
Expected volatility	34.02%
Risk-free rate	0.86%	[1]
Expected term (in years)	2 years 11 months 13 days	[2]
Expected dividends | $	$ 0
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted | shares	66,000
Weighted average fair value | $ / shares	$ 23.47
[1]	The risk-free rate was based on zero coupon U.S. government issues at the time of grant.
[2]	The expected term represents the period from the valuation date to the end of the performance period.

Share-Based Compensation (Det67

Share-Based Compensation (Details Textual)	9 Months Ended
	Sep. 30, 2016
MSUs
Share Based Compensation [Abstract]
Vesting period	3 years
Minimum of range for number of shares earned	0.00%
Maximum of range for number of shares earned	150.00%
Performance Shares
Share Based Compensation [Abstract]
Vesting period	3 years
Minimum of range for number of shares earned	0.00%
Maximum of range for number of shares earned	200.00%

Supplemental Balance Sheet In68

Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Inventories
Finished goods	$ 124	$ 115
Work in process	35	36
Raw materials	69	68
Total	$ 228	$ 219

Supplemental Balance Sheet In69

Supplemental Balance Sheet Information (Details 1) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016		Sep. 30, 2015
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Beginning balance	$ 119		$ 123
Accretion expense	6		6
Liabilities incurred	0		1
Changes in estimated cash flows	(11)	[1]	(4)
Liabilities settled	(2)	[2]	(2)
Foreign currency translation	1		(4)
Ending balance	113		$ 120
Change in estimated cash flows for a quarry	8
Liabilities settled on sale of surplus property	$ 2
[1]	(a) Changes in estimated cash flows for the nine months ended September 30, 2016 includes a $8 million reduction related to one of our quarries.
[2]	(b) Liabilities settled for the nine months ended September 30, 2016 includes a $2 million liability that was relieved in conjunction with the sale of a surplus property.

Supplemental Balance Sheet In70

Supplemental Balance Sheet Information (Details Textual) - USD ($) $ in Millions	3 Months Ended
	Jun. 30, 2016	Sep. 30, 2016	Dec. 31, 2015
Supplemental Balance Sheet Information [Abstract]
Interest accrued on debt		$ 31	$ 45
Pretax gain on surplus property	$ 11
Net gain on surplus property	$ 7

Accumulated Other Comprehensi71

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			$ (314)	$ (338)
Other comprehensive income (loss) before reclassifications, net of tax			(24)	(90)
Less: Amounts reclassified from AOCI, net of tax			(7)	(13)
Other comprehensive income (loss), net of tax	$ 0	$ (43)	(17)	(77)
Ending balance	(331)	(415)	(331)	(415)
Derivatives
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			20	16
Other comprehensive income (loss) before reclassifications, net of tax			(6)	(1)
Less: Amounts reclassified from AOCI, net of tax			(6)	(7)
Other comprehensive income (loss), net of tax			0	6
Ending balance	20	22	20	22
Defined Benefit Plans
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			(221)	(302)
Other comprehensive income (loss) before reclassifications, net of tax			(9)	2
Less: Amounts reclassified from AOCI, net of tax			(1)	(6)
Other comprehensive income (loss), net of tax			(8)	8
Ending balance	(229)	(294)	(229)	(294)
Foreign Currency Translation
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance			(113)	(52)
Other comprehensive income (loss) before reclassifications, net of tax			(9)	(91)
Less: Amounts reclassified from AOCI, net of tax			0	0
Other comprehensive income (loss), net of tax			(9)	(91)
Ending balance	$ (122)	$ (143)	$ (122)	$ (143)

Accumulated Other Comprehensi72

Accumulated Other Comprehensive Income (Loss) (Details 1) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net reclassification from AOCI included in cost of products sold	$ 586	$ 578	$ 1,728	$ 1,710
Net reclassification from AOCI included in selling and administrative expenses	74	75	213	225
Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit	(18)	1	(78)	2
Net amount reclassified from AOCI	62	76	203	179
Derivatives | Amounts reclassified from AOCI, net of tax
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net reclassification from AOCI included in cost of products sold	(3)	(2)	(9)	(7)
Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit	(1)	0	(3)	0
Net amount reclassified from AOCI	(2)	(2)	(6)	(7)
Defined Benefit Plans | Amounts reclassified from AOCI, net of tax
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net reclassification from AOCI included in cost of products sold	(2)	(1)	(5)	(3)
Net reclassification from AOCI included in selling and administrative expenses	1	(2)	2	(4)
Less: Income tax benefit on reclassification from AOCI included in income tax (expense) benefit	(1)	0	(2)	(1)
Net amount reclassified from AOCI	$ 0	$ (3)	$ (1)	$ (6)

Accumulated Other Comprehensi73

Accumulated Other Comprehensive Income (Loss) (Details Textual) $ in Millions	9 Months Ended
	Sep. 30, 2016USD ($)
Equity [Abstract]
Estimated after-tax loss on derivatives to be reclassified from AOCI to earnings within the next 12 months	$ (3)

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income tax (expense) benefit	$ (18,000,000)	$ 1,000,000	$ (78,000,000)	$ 2,000,000
Effective tax rate	24.30%		29.90%
Federal net operating loss carryforwards	$ 1,525,000,000		$ 1,525,000,000
Federal alternative minimum tax credit carryforwards	40,000,000		40,000,000
Minimum taxable income needed to fully realize the U.S. federal net deferred tax assets	1,640,000,000		1,640,000,000
Deferred tax assets related to state net operating loss and tax credit carryforwards	220,000,000		220,000,000
Gross deferred tax assets related to state net operating loss and tax credit carry forwards that will expire in current year	27,000,000		27,000,000
Net operating loss and tax credit carryforwards in various foreign jurisdictions	1,000,000		1,000,000
Increase (decrease) in valuation allowance against deferred tax asset			0
Valuation allowance on deferred tax assets	75,000,000		$ 75,000,000
Percentage of change in ownership			50.00%
Period of change in ownership			3 years
Approximate annual NOL utilization had an ownership change occurred	$ 79,000,000		$ 79,000,000

Litigation (Details Textual)

Litigation (Details Textual) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Accrual for probable and reasonably estimable liability for environmental cleanup	$ 16	$ 16

Gypsum Transportation Limited (

Gypsum Transportation Limited (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Long Lived Assets Held-for-sale [Line Items]
Receivable per release and debt settlement agreement		$ 14
Loss on trade receivable from release and debt settlement agreement		9
Recovered receivable per release and debt settlement agreement	$ 8	$ 6
Recovery of receivable	0		$ 0	$ (3)	$ 0
Recovered receivable recorded in interest income				1
Recovered receivable recorded in other income				4
Operating profit	97		94	335	261
Gypsum Transportation Limited
Long Lived Assets Held-for-sale [Line Items]
Operating profit	$ 0		$ 0	$ 3	$ 1