Huntsman Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Note 4 - Discontinued Operations

Note 4 - Discontinued Operations

12 Months Ended

Dec. 31, 2024

Notes to Financial Statements

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

4. DISCONTINUED OPERATIONS

SaLE of TeXTile EffeCTs Business

On February 28, 2023, we completed the sale of our Textile Effects Business to Archroma, and during the first quarter of 2024, we finalized the purchase price valued at $597 million, which includes adjustments to the purchase price for working capital, plus the assumption of underfunded pension liabilities. Additionally, during the year ended December 31, 2024, we recorded total net charges of approximately $38 million, primarily related to contingencies, for which we remain liable, and certain post-closing indemnification obligations of approximately $27 million and the release of foreign currency translation adjustments of approximately $9 million related to the liquidation of legal entities of the Textile Effects Business. During the year ended December 31, 2024, we paid cash taxes of approximately $11 million, and we expect to pay additional cash taxes of approximately $2 million in future periods related to the sale of our Textile Effects Business.

The following table reconciles major line items constituting pretax (loss) income from discontinued operations to after-tax (loss) income from discontinued operations, primarily related to our Textile Effects Business, as presented in our consolidated statements of operations (dollars in millions):

	*Year ended December 31,*
	*2024*			*2023*			*2022*
Major line items constituting pretax (loss) income from discontinued operations:
Trade sales, services and fees, net⁽¹⁾	$	—		$	88		$	692
Cost of goods sold⁽¹⁾		—			(69	)		(531	)
(Loss) gain on sale of the Textile Effects Business, net		(38	)		154			—
Other expense items, net		—			(38	)		(130	)
(Loss) income from discontinued operations before income taxes		(38	)		135			31
Income tax benefit (expense)		11			(17	)		(19	)
(Loss) income from discontinued operations, net of tax		(27	)		118			12
Net income attributable to noncontrolling interests		—			—			(3	)
Net (loss) income attributable to discontinued operations	$	(27	)	$	118		$	9

(1)	Includes eliminations of trade sales, services and fees, net and cost of goods sold between continuing operations and discontinued operations.