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

Quarterly report pursuant to Section 13 or 15(d)

Note 6 - Variable Interest Entities

Note 6 - Variable Interest Entities

6 Months Ended

Jun. 30, 2024

Variable Interest Entity Disclosure [Text Block]

6. VARIABLE INTEREST ENTITIES

We evaluate our investments and transactions to identify variable interest entities for which we are the primary beneficiary. We hold a variable interest in the following joint ventures for which we are the primary beneficiary:

●

Rubicon LLC is our 50%-owned joint venture with Lanxess that manufactures products for our Polyurethanes and Performance Products segments.

●

Arabian Amines Company (“AAC”) is our 50%-owned joint venture with Zamil group that manufactures products for our Performance Products segment.

During the six months ended June 30, 2024, there were no changes in our variable interest entities.

Creditors of our variable interest entities have no recourse to our general credit. See “Note 8. Debt—Direct and Subsidiary Debt.” As the primary beneficiary of these variable interest entities at June 30, 2024, the joint ventures’ assets, liabilities and results of operations are included in our condensed consolidated financial statements.

The following table summarizes the carrying amounts of our variable interest entities’ assets and liabilities included in our condensed consolidated balance sheet as of June 30, 2024 and our consolidated balance sheet as of December 31, 2023 (dollars in millions):

	*June 30,*		*December 31,*
	*2024*		*2023*
Current assets	$	98	$	67
Property, plant and equipment, net		151		150
Operating lease right-of-use assets		24		29
Other noncurrent assets		130		125
Deferred income taxes		13		13
Total assets	$	416	$	384

Current liabilities	$	136	$	121
Long-term debt		12		17
Noncurrent operating lease liabilities		18		21
Other noncurrent liabilities		16		15
Deferred income taxes		1		1
Total liabilities	$	183	$	175

Certain operating activities for our variable interest entities for the three and six months ended June 30, 2024 and 2023 are as follows (dollars in millions):

	*Three months*				*Six months*
	*ended*				*ended*
	*June 30,*				*June 30,*
	*2024*		*2023*		*2024*		*2023*
Income from continuing operations before income taxes	$	17	$	15	$	35	$	30
Net cash provided by operating activities		22		23		41		48