Huntsman Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL (Tables)

CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL (Tables)

6 Months Ended

Jun. 30, 2017

CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL

AS OF JUNE 30, 2017
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
ASSETS
Current assets:
Cash and cash equivalents	$	158	$	1	$	347	$	—	$	506
Restricted cash		—		—		11		—		11
Accounts and notes receivable, net		29		138		1,412		5		1,584
Accounts receivable from affiliates		1,293		4,767		256		(5,947)		369
Inventories		86		309		1,130		(5)		1,520
Prepaid expenses		37		59		35		(74)		57
Other current assets		766		6		237		(759)		250
Total current assets		2,369		5,280		3,428		(6,780)		4,297
Property, plant and equipment, net		461		1,376		2,374		—		4,211
Investment in unconsolidated affiliates		6,358		1,913		253		(8,199)		325
Intangible assets, net		27		2		51		—		80
Goodwill		(13)		82		68		—		137
Deferred income taxes		509		—		444		(522)		431
Notes receivable from affiliates		38		554		—		(592)		—
Other noncurrent assets		64		166		279		—		509
Total assets	$	9,813	$	9,373	$	6,897	$	(16,093)	$	9,990
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	55	$	205	$	872	$	6	$	1,138
Accounts payable to affiliates		3,827		754		1,440		(5,946)		75
Accrued liabilities		69		846		587		(835)		667
Note payable to affiliate		100		—		—		—		100
Current portion of debt		17		—		27		—		44
Total current liabilities		4,068		1,805		2,926		(6,775)		2,024
Long-term debt		3,729		—		343		—		4,072
Notes payable to affiliates		714		—		594		(594)		714
Deferred income taxes		—		325		51		74		450
Other noncurrent liabilities		181		310		907		—		1,398
Total liabilities		8,692		2,440		4,821		(7,295)		8,658
Equity
Huntsman International LLC members’ equity
Members’ equity		3,244		4,554		3,336		(7,890)		3,244
Accumulated (deficit) income		(598)		1,229		36		(1,265)		(598)
Accumulated other comprehensive (loss) income		(1,525)		1,150		(1,486)		336		(1,525)
Total Huntsman International LLC members’ equity		1,121		6,933		1,886		(8,819)		1,121
Noncontrolling interests in subsidiaries		—		—		190		21		211
Total equity		1,121		6,933		2,076		(8,798)		1,332
Total liabilities and equity	$	9,813	$	9,373	$	6,897	$	(16,093)	$	9,990

AS OF JUNE 30, 2016
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
ASSETS
Current assets:
Cash and cash equivalents	$	37	$	—	$	376	$	—	$	413
Restricted cash		—		—		11		—		11
Accounts and notes receivable, net		22		106		1,269		5		1,402
Accounts receivable from affiliates		1,351		4,672		315		(5,991)		347
Inventories		85		285		976		(2)		1,344
Prepaid expenses		68		144		43		(195)		60
Other current assets		820		5		185		(724)		286
Total current assets		2,383		5,212		3,175		(6,907)		3,863
Property, plant and equipment, net		463		1,422		2,305		—		4,190
Investment in unconsolidated affiliates		5,870		1,533		248		(7,319)		332
Intangible assets, net		28		3		35		—		66
Goodwill		(12)		82		51		—		121
Deferred income taxes		515		—		408		(527)		396
Notes receivable from affiliates		37		530		—		(567)		—
Other noncurrent assets		74		188		245		—		507
Total assets	$	9,358	$	8,970	$	6,467	$	(15,320)	$	9,475
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	63	$	186	$	816	$	5	$	1,070
Accounts payable to affiliates		3,667		912		1,478		(5,991)		66
Accrued liabilities		87		807		640		(921)		613
Note payable to affiliate		100		—		—		—		100
Current portion of debt		30		—		30		—		60
Total current liabilities		3,947		1,905		2,964		(6,907)		1,909
Long-term debt		3,763		—		372		—		4,135
Notes payable to affiliates		696		—		568		(567)		697
Deferred income taxes		22		311		21		69		423
Other noncurrent liabilities		174		314		887		—		1,375
Total liabilities		8,602		2,530		4,812		(7,405)		8,539
Equity
Huntsman International LLC members’ equity
Members’ equity		3,226		4,568		3,390		(7,958)		3,226
Accumulated (deficit) income		(779)		872		(239)		(633)		(779)
Accumulated other comprehensive (loss) income		(1,691)		1,000		(1,654)		654		(1,691)
Total Huntsman International LLC members' equity		756		6,440		1,497		(7,937)		756
Noncontrolling interests in subsidiaries		—		—		158		22		180
Total equity		756		6,440		1,655		(7,915)		936
Total liabilities and equity	$	9,358	$	8,970	$	6,467	$	(15,320)	$	9,475

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME

THREE MONTHS ENDED JUNE 30, 2017
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Revenues:
Trade sales, services and fees, net	$	281	$	628	$	1,673	$	—	$	2,582
Related party sales		57		119		293		(435)		34
Total revenues		338		747		1,966		(435)		2,616
Cost of goods sold		270		633		1,626		(435)		2,094
Gross profit		68		114		340		—		522
Selling, general and administrative		46		43		137		—		226
Research and development		12		11		15		—		38
Restructuring, impairment and plant closing costs		3		3		4		—		10
Business separation expenses		12		—		—		—		12
Merger costs		6		—		—		—		6
Other operating expense (income), net		13		(10)		(51)		—		(48)
Operating (expense) income		(24)		67		235		—		278
Interest (expense) income		(50)		4		(5)		—		(51)
Equity in income of investment in affiliates and subsidiaries		223		179		3		(402)		3
Loss on early extinguishment of debt		(1)		—		—		—		(1)
Other (loss) income, net		(1)		2		(2)		(1)		(2)
Income from continuing operations before income taxes		147		252		231		(403)		227
Income tax benefit (expense)		19		(26)		(37)		—		(44)
Income from continuing operations		166		226		194		(403)		183
Loss from discontinued operations, net of tax		—		(1)		—		—		(1)
Net income		166		225		194		(403)		182
Net income attributable to noncontrolling interests		—		—		(14)		(2)		(16)
Net income attributable to Huntsman International LLC	$	166	$	225	$	180	$	(405)	$	166
Net income	$	166	$	225	$	194	$	(403)	$	182
Other comprehensive income		69		30		79		(104)		74
Comprehensive income attributable to noncontrolling interests		—		—		(19)		(2)		(21)
Comprehensive income attributable to Huntsman International LLC	$	235	$	255	$	254	$	(509)	$	235

THREE MONTHS ENDED JUNE 30, 2016
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Revenues:
Trade sales, services and fees, net	$	272	$	623	$	1,617	$	—	$	2,512
Related party sales		41		106		279		(394)		32
Total revenues		313		729		1,896		(394)		2,544
Cost of goods sold		237		610		1,634		(395)		2,086
Gross profit		76		119		262		1		458
Selling, general and administrative		44		36		154		—		234
Research and development		11		11		17		—		39
Restructuring, impairment and plant closing costs		3		15		11		—		29
Other operating income, net		(4)		(10)		(7)		—		(21)
Operating income		22		67		87		1		177
Interest (expense) income		(57)		9		(5)		—		(53)
Equity in (loss) income of investment in affiliates and subsidiaries		(107)		59		2		48		2
Loss on early extinguishment of debt		(2)		—		—		—		(2)
Dividend income		216		—		—		(216)		—
Other (loss) income, net		(1)		8		(6)		—		1
Income from continuing operations before income taxes		71		143		78		(167)		125
Income tax benefit (expense)		15		(30)		(16)		—		(31)
Income from continuing operations		86		113		62		(167)		94
Loss from discontinued operations, net of tax		—		(1)		—		—		(1)
Net income		86		112		62		(167)		93
Net income attributable to noncontrolling interests		—		—		(3)		(4)		(7)
Net income attributable to Huntsman International LLC	$	86	$	112	$	59	$	(171)	$	86
Net income	$	86	$	112	$	62	$	(167)	$	93
Other comprehensive (loss) income		(35)		21		(47)		24		(37)
Comprehensive income attributable to noncontrolling interests		—		—		(1)		(4)		(5)
Comprehensive income attributable to Huntsman International LLC	$	51	$	133	$	14	$	(147)	$	51

SIX MONTHS ENDED JUNE 30, 2017
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Revenues:
Trade sales, services and fees, net	$	528	$	1,263	$	3,219	$	—	$	5,010
Related party sales		114		231		589		(859)		75
Total revenues		642		1,494		3,808		(859)		5,085
Cost of goods sold		517		1,286		3,150		(857)		4,096
Gross profit		125		208		658		(2)		989
Selling, general and administrative		95		87		270		—		452
Research and development		23		21		31		—		75
Restructuring, impairment and plant closing costs		4		6		36		—		46
Business separation expenses		21		—		—		—		21
Merger costs		6		—		—		—		6
Other operating expense (income), net		16		(26)		(43)		—		(53)
Operating (expense) income		(40)		120		364		(2)		442
Interest (expense) income		(100)		8		(10)		—		(102)
Equity in income of investment in affiliates and subsidiaries		347		274		3		(621)		3
Loss on early extinguishment of debt		(1)		—		—		—		(1)
Other income (loss), net		—		2		(1)		(1)		—
Income from continuing operations before income taxes		206		404		356		(624)		342
Income tax benefit (expense)		35		(47)		(55)		—		(67)
Income from continuing operations		241		357		301		(624)		275
Loss from discontinued operations, net of tax		—		(1)		(1)		—		(2)
Net income		241		356		300		(624)		273
Net income attributable to noncontrolling interests		—		—		(26)		(6)		(32)
Net income attributable to Huntsman International LLC	$	241	$	356	$	274	$	(630)	$	241
Net income	$	241	$	356	$	300	$	(624)	$	273
Other comprehensive income		166		150		176		(319)		173
Comprehensive income attributable to noncontrolling interests		—		—		(33)		(6)		(39)
Comprehensive income attributable to Huntsman International LLC	$	407	$	506	$	443	$	(949)	$	407

SIX MONTHS ENDED JUNE 30, 2016
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Revenues:
Trade sales, services and fees, net	$	523	$	1,189	$	3,121	$	—	$	4,833
Related party sales		94		210		548		(786)		66
Total revenues		617		1,399		3,669		(786)		4,899
Cost of goods sold		477		1,158		3,177		(788)		4,024
Gross profit		140		241		492		2		875
Selling, general and administrative		84		82		289		—		455
Research and development		22		22		32		—		76
Restructuring, impairment and plant closing costs		3		19		20		—		42
Other operating expense (income), net		8		(17)		(7)		—		(16)
Operating income		23		135		158		2		318
Interest (expense) income		(111)		17		(12)		—		(106)
Equity in (loss) income of investment in affiliates and subsidiaries		(15)		103		3		(88)		3
Loss on early extinguishment of debt		(2)		—		—		—		(2)
Dividend income		216		—		—		(216)		—
Other income (loss), net		—		8		(6)		—		2
Income from continuing operations before income taxes		111		263		143		(302)		215
Income tax benefit (expense)		30		(56)		(32)		—		(58)
Income from continuing operations		141		207		111		(302)		157
Income (loss) from discontinued operations, net of tax		1		(1)		(2)		—		(2)
Net income		142		206		109		(302)		155
Net income attributable to noncontrolling interests		—		—		(6)		(7)		(13)
Net income attributable to Huntsman International LLC	$	142	$	206	$	103	$	(309)	$	142
Net income	$	142	$	206	$	109	$	(302)	$	155
Other comprehensive (loss) income		(5)		76		3		(79)		(5)
Comprehensive income attributable to noncontrolling interests		—		—		(6)		(7)		(13)
Comprehensive income attributable to Huntsman International LLC	$	137	$	282	$	106	$	(388)	$	137

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

SIX MONTHS ENDED JUNE 30, 2017
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Net cash provided by operating activities	$	255	$	24	$	110	$	—	$	389
Investing activities:
Capital expenditures		(18)		(22)		(107)		—		(147)
Insurance proceeds for recovery of property damage		—		—		50		—		50
Cash received from unconsolidated affiliates		—		27		—		—		27
Cash received from consolidated affiliates		55		5		2		(62)		—
Investment in unconsolidated affiliates		—		(19)		—		—		(19)
Acquisition of business, net of cash acquired		—		—		(14)		—		(14)
Proceeds from sale of businesses/assets		—		—		19		—		19
Decrease in receivable from affiliate		(4)		—		—		—		(4)
Other		—		—		2		—		2
Net cash provided by (used in) investing activities		33		(9)		(48)		(62)		(86)
Financing activities:
Net repayments under revolving loan facilities		—		—		(36)		—		(36)
Repayments of short-term debt		—		—		(8)		—		(8)
Borrowings on short-term debt		—		—		4		—		4
Repayments of long-term debt		(109)		—		(13)		—		(122)
Proceeds from issuance of long-term debt		—		—		10		—		10
Proceeds from issuance of notes payable from affiliate		18		—		—		—		18
Repayments of notes payable		(13)		—		—		—		(13)
Debt issuance costs paid		(3)		—		—		—		(3)
Dividends paid to noncontrolling interests		—		—		(4)		(6)		(10)
Contribution from noncontrolling interests		—		—		2		—		2
Contribution from parent		—		1		—		(1)		—
Distribution to parent		—		(14)		(55)		69		—
Dividends paid to parent		(60)		(1)		1		—		(60)
Net cash used in financing activities		(167)		(14)		(99)		62		(218)
Effect of exchange rate changes on cash		—		—		8		—		8
Increase (decrease) in cash and cash equivalents		121		1		(29)		—		93
Cash and cash equivalents at beginning of period		37		—		376		—		413
Cash and cash equivalents at end of period	$	158	$	1	$	347	$	—	$	506

SIX MONTHS ENDED JUNE 30, 2016
(In Millions)


									Consolidated
	Parent								Huntsman
	Company		Guarantors		Nonguarantors		Eliminations		International LLC
Net cash provided by (used in) operating activities	$	227	$	63	$	151	$	—	$	441
Investing activities:
Capital expenditures		(11)		(63)		(115)		—		(189)
Insurance proceeds for recovery of property damage		—		—		8		—		8
Cash received from unconsolidated affiliates		—		19		—		—		19
Investment in affiliate		(46)		5		—		41		—
Investment in unconsolidated affiliates		—		(13)		(1)		—		(14)
Change in restricted cash		—		—		2		—		2
Net cash used in investing activities		(57)		(52)		(106)		41		(174)
Financing activities:
Net borrowings on overdraft facilities	$	—	$	—	$	(1)	$	—	$	(1)
Repayments of short-term debt		—		—		(18)		—		(18)
Borrowings on short-term debt		—		—		6		—		6
Repayments of long-term debt		(569)		—		(13)		—		(582)
Proceeds from issuance of long-term debt		547		—		—		—		547
Repayments of notes payable to affiliate		(1)		—		—		—		(1)
Proceeds of notes payable to affiliate		—		—		6		(6)		—
Repayments of notes payable		(15)		—		(1)		—		(16)
Borrowings on notes payable		2		—		—		—		2
Debt issuance costs paid		(8)		—		—		—		(8)
Contribution from parent		—		3		53		(56)		—
Distribution to parent		—		(14)		(15)		29		—
Dividends paid to noncontrolling interests		—		—		(13)		(8)		(21)
Dividends paid to parent		(60)		—		—		—		(60)
Other, net		1		—		—		—		1
Net cash (used in) provided by financing activities		(103)		(11)		4		(41)		(151)
Effect of exchange rate changes on cash		—		—		—		—		—
Decrease in cash and cash equivalents		67		—		49		—		116
Cash and cash equivalents at beginning of period		44		1		212		—		257
Cash and cash equivalents at end of period	$	111	$	1	$	261	$	—	$	373