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

Quarterly report pursuant to Section 13 or 15(d)

OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

9 Months Ended

Sep. 30, 2018

The components of other comprehensive (loss) income and changes in accumulated other comprehensive loss by component were as follows (dollars in millions):

Huntsman Corporation


			Pension and		Other
	Foreign		other		comprehensive						Amounts		Amounts
	currency		postretirement		income of						attributable to		attributable to
	translation		benefits		unconsolidated						noncontrolling		Huntsman
	adjustment(a)		adjustments(b)		affiliates		Other, net		Total		interests		Corporation
Beginning balance, January 1, 2018	$	(249)	$	(1,189)	$	3	$	24	$	(1,411)	$	143	$	(1,268)
Cumulative effect of changes in fair value of equity investments		—		—		—		(10)		(10)		—		(10)
Revised beginning balance, January 1, 2018		(249)		(1,189)		3		14		(1,421)		143		(1,278)
Other comprehensive (loss) income before reclassifications, gross		(155)		2		1		—		(152)		32		(120)
Tax expense		(1)		—		—		(3)		(4)		—		(4)
Amounts reclassified from accumulated other comprehensive loss, gross(c)		—		60		—		—		60		—		60
Tax expense		—		(1)		—		(6)		(7)		—		(7)
Net current-period other comprehensive (loss) income		(156)		61		1		(9)		(103)		32		(71)
Disposition of a portion of P&A Business		—		—		—		—		—		(5)		(5)
Ending balance, September 30, 2018	$	(405)	$	(1,128)	$	4	$	5	$	(1,524)	$	170	$	(1,354)

(a)

Amounts are net of tax of $66 and $65 as of September 30, 2018 and January 1, 2018, respectively.

(b)

Amounts are net of tax of $171 and $172 as of September 30, 2018 and January 1, 2018, respectively.

(c)

See table below for details about these reclassifications.


			Pension and		Other
	Foreign		other		comprehensive						Amounts		Amounts
	currency		postretirement		income of						attributable to		attributable to
	translation		benefits		unconsolidated						noncontrolling		Huntsman
	adjustment(a)		adjustments(b)		affiliates		Other, net		Total		interests		Corporation
Beginning balance, January 1, 2017	$	(459)	$	(1,275)	$	4	$	23	$	(1,707)	$	36	$	(1,671)
Other comprehensive income (loss) before reclassifications, gross		170		—		(1)		7		176		(12)		164
Tax benefit		31		—		—		(1)		30		—		30
Amounts reclassified from accumulated other comprehensive loss, gross(c)		—		60		—		(8)		52		—		52
Tax expense		—		(5)		—		—		(5)		—		(5)
Net current-period other comprehensive income (loss)		201		55		(1)		(2)		253		(12)		241
Disposition of a portion of P&A Business		—		—		—		—		—		72		72
Ending balance, September 30, 2017	$	(258)	$	(1,220)	$	3	$	21	$	(1,454)	$	96	$	(1,358)

(a)Amounts are net of tax of $69 and $100 as of September 30, 2017 and January 1, 2017, respectively.

(b)Amounts are net of tax of $172 and $177 as of September 30, 2017 and January 1, 2017, respectively.

(c)See table below for details about these reclassifications.

Schedule of details about reclassifications from other comprehensive loss


	Three months		Nine months
	ended		ended
	September 30, 2018		September 30, 2018
	Amounts reclassified		Amounts reclassified		Affected line item in
	from accumulated		from accumulated		the statement
Details about Accumulated Other	other		other		where net income
Comprehensive Loss Components(a):	comprehensive loss		comprehensive loss		is presented
Amortization of pension and other postretirement benefits:
Prior service credit	$	(2)	$	(9)	(b)
Settlement loss		—		2	(b)
Actuarial loss		21		67	(b)(c)
		19		60	Total before tax
		(3)		(1)	Income tax (expense) benefit
Total reclassifications for the period	$	16	$	59	Net of tax


	Three months		Nine months
	ended		ended
	September 30, 2017		September 30, 2017
	Amounts reclassified		Amounts reclassified		Affected line item in
	from accumulated		from accumulated		the statement
Details about Accumulated Other	other		other		where net income
Comprehensive Loss Components(a):	comprehensive loss		comprehensive loss		is presented
Amortization of pension and other postretirement benefits:
Prior service credit	$	(4)	$	(11)	(b)
Actuarial loss		25		71	(b)(c)
		21		60	Total before tax
		(3)		(5)	Income tax expense
Total reclassifications for the period	$	18	$	55	Net of tax

(a)

Pension and other postretirement benefits amounts in parentheses indicate credits on our condensed consolidated statements of operations.

(b)

These accumulated other comprehensive loss components are included in the computation of net periodic pension costs. See “Note 12. Employee Benefit Plans.”

(c)

Amounts contain approximately $8 and $6 of actuarial losses related to discontinued operations for the three months ended September 30, 2018 and 2017 and $13 and $18 of actuarial losses related to discontinued operations for the nine months ended September 30, 2018 and 2017, respectively.

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES

OTHER COMPREHENSIVE INCOME

Schedule of other comprehensive loss

Huntsman International


	Foreign currency translation adjustment(a)		Pension and other postretirement benefits adjustments(b)		Other comprehensive income of unconsolidated affiliates		Other, net		Total		Amounts attributable to noncontrolling interests		Amounts attributable to Huntsman International
Beginning balance, January 1, 2018	$	(252)	$	(1,174)	$	3	$	17	$	(1,406)	$	143	$	(1,263)
Cumulative effect of changes in fair value of equity investments		—		—		—		(10)		(10)		—		(10)
Revised beginning balance, January 1, 2018		(252)		(1,174)		3		7		(1,416)		143		(1,273)
Other comprehensive (loss) income before reclassifications, gross		(156)		2		1		—		(153)		32		(121)
Tax expense		(1)		—		—		(1)		(2)		—		(2)
Amounts reclassified from accumulated other comprehensive loss, gross(c)		—		61		—		—		61		—		61
Tax expense		—		(1)		—		(5)		(6)		—		(6)
Net current-period other comprehensive (loss) income		(157)		62		1		(6)		(100)		32		(68)
Disposition of a portion of P&A Business		—		—		—		—		—		(5)		(5)
Ending balance, September 30, 2018	$	(409)	$	(1,112)	$	4	$	1	$	(1,516)	$	170	$	(1,346)

(a)

Amounts are net of tax of $52 and $51 as of September 30, 2018 and January 1, 2018, respectively.

(b)

Amounts are net of tax of $198 and $199 as of September 30, 2018 and January 1, 2018, respectively.

(c)

See table below for details about these reclassifications.


	Foreign currency translation adjustment(a)		Pension and other postretirement benefits adjustments(b)		Other comprehensive income of unconsolidated affiliates		Other, net		Total		Amounts attributable to noncontrolling interests		Amounts attributable to Huntsman International
Beginning balance, January 1, 2017	$	(462)	$	(1,286)	$	4	$	17	$	(1,727)	$	36	$	(1,691)
Other comprehensive income before reclassifications, gross		169		—		(1)		8		176		(12)		164
Tax benefit (expense)		30		—		—		(1)		29		—		29
Amounts reclassified from accumulated other comprehensive loss, gross(c)		—		65		—		(8)		57		—		57
Contribution of other comprehensive income from Parent		—		20		—		—		20		—		20
Tax expense		—		(5)		—		—		(5)		—		(5)
Net current-period other comprehensive income (loss)		199		80		(1)		(1)		277		(12)		265
Disposition of a portion of P&A Business		—		—		—		—		—		72		72
Ending balance, September 30, 2017	$	(263)	$	(1,206)	$	3	$	16	$	(1,450)	$	96	$	(1,354)

(a)

Amounts are net of tax of $56 and $86 as of September 30, 2017 and January 1, 2017, respectively.

(b)

Amounts are net of tax of $200 and $205 as of September 30, 2017 and January 1, 2017, respectively.

(c)

See table below for details about these reclassifications.

Schedule of details about reclassifications from other comprehensive loss

	Three months		Nine months
	ended		ended
	September 30, 2018		September 30, 2018
	Amounts reclassified		Amounts reclassified		Affected line item in
	from accumulated		from accumulated		the statement
Details about Accumulated Other	other		other		where net income
Comprehensive Loss Components(a):	comprehensive loss		comprehensive loss		is presented
Amortization of pension and other postretirement benefits:
Prior service credit	$	(3)	$	(9)	(b)
Settlement loss		—		2	(b)
Actuarial loss		22		68	(b)(c)
		19		61	Total before tax
		(2)		(1)	Income tax (expense) benefit
Total reclassifications for the period	$	17	$	60	Net of tax


	Three months		Nine months
	ended		ended
	September 30, 2017		September 30, 2017
	Amounts reclassified		Amounts reclassified		Affected line item in
	from accumulated		from accumulated		the statement
Details about Accumulated Other	other		other		where net income
Comprehensive Loss Components(a):	comprehensive loss		comprehensive loss		is presented
Amortization of pension and other postretirement benefits:
Prior service credit	$	(4)	$	(11)	(b)
Actuarial loss		26		76	(b)(c)
		22		65	Total before tax
		(3)		(5)	Income tax expense
Total reclassifications for the period	$	19	$	60	Net of tax

(a)

Pension and other postretirement benefits amounts in parentheses indicate credits on our condensed consolidated statements of operations.

(b)

These accumulated other comprehensive loss components are included in the computation of net periodic pension costs. See “Note 12. Employee Benefit Plans.”

(c)

Amounts contain approximately $8 and $6 of actuarial losses related to discontinued operations for the three months ended September 30, 2018 and 2017 and $13 and $18 for the nine months ended September 30, 2018 and 2017.