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Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING, IMPAIRMENT AND PLANT CLOSING COSTS (Tables)

v2.4.0.8
RESTRUCTURING, IMPAIRMENT AND PLANT CLOSING COSTS (Tables)
9 Months Ended
Sep. 30, 2014
RESTRUCTURING, IMPAIRMENT AND PLANT CLOSING COSTS Ìý
Accrued restructuring costs by type of cost and initiative

As of SeptemberÌý30, 2014 and DecemberÌý31, 2013, accrued restructuring costs by type of cost and initiative consisted of the following (dollars in millions):

Ìý
Ìý Workforce
reductions(1)
Ìý Demolition and
decommissioning
Ìý Non-cancelable
lease and
contract
termination
costs
Ìý Other
restructuring
costs
Ìý Total(2) Ìý

Accrued liabilities as of JanuaryÌý1, 2014

Ìý $ 52 Ìý $ â€� Ìý $ 60 Ìý $ 1 Ìý $ 113 Ìý

2014 charges for 2013 and prior initiatives

Ìý Ìý 40 Ìý Ìý 5 Ìý Ìý 4 Ìý Ìý 11 Ìý Ìý 60 Ìý

2014 charges for 2014 initiatives

Ìý Ìý 6 Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý 6 Ìý

Reversal of reserves no longer required

Ìý Ìý (7 ) Ìý â€� Ìý Ìý â€� Ìý Ìý (1 ) Ìý (8 )

2014 payments for 2013 and prior initiatives

Ìý Ìý (39 ) Ìý (5 ) Ìý (6 ) Ìý (10 ) Ìý (60 )

Net activity of discontinued operations

Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý (1 ) Ìý â€� Ìý Ìý (1 )

Foreign currency effect on liability balance

Ìý Ìý (3 ) Ìý â€� Ìý Ìý (4 ) Ìý 1 Ìý Ìý (6 )
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � � � � � � � � � � �

Accrued liabilities as of SeptemberÌý30, 2014

Ìý $ 49 Ìý $ â€� Ìý $ 53 Ìý $ 2 Ìý $ 104 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � � � � � � � � � � �
� � � � � � � � � � � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý

(1)
The workforce reduction reserves relate to the termination of 635 positions, of which 496 positions had not been terminated as of SeptemberÌý30, 2014.

(2)
Accrued liabilities by initiatives were as follows (dollars in millions):

Ìý
Ìý SeptemberÌý30,
2014
Ìý DecemberÌý31,
2013
Ìý

2012 and prior initiatives

Ìý $ 68 Ìý $ 95 Ìý

2013 initiatives

Ìý Ìý 30 Ìý Ìý 18 Ìý

2014 initiatives

Ìý Ìý 6 Ìý Ìý â€� Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �

Total

Ìý $ 104 Ìý $ 113 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �
� � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý
Accrued liabilities by initiative
Accrued liabilities by initiatives were as follows (dollars in millions):

Ìý
Ìý SeptemberÌý30,
2014
Ìý DecemberÌý31,
2013
Ìý

2012 and prior initiatives

Ìý $ 68 Ìý $ 95 Ìý

2013 initiatives

Ìý Ìý 30 Ìý Ìý 18 Ìý

2014 initiatives

Ìý Ìý 6 Ìý Ìý â€� Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �

Total

Ìý $ 104 Ìý $ 113 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �
� � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý
Details with respect to reserves for restructuring, impairment and plant closing costs, provided by segment and initiative

Details with respect to our reserves for restructuring, impairment and plant closing costs are provided below by segment and initiative (dollars in millions):

Ìý
Ìý Polyurethanes Ìý Performance
Products
Ìý Advanced
Materials
Ìý Textile
Effects
Ìý Pigments Ìý Discontinued
Operations
Ìý Corporate
and
Other
Ìý Total Ìý

Accrued liabilities as of JanuaryÌý1, 2014

Ìý $ 9 Ìý $ 10 Ìý $ 12 Ìý $ 68 Ìý $ 2 Ìý $ 3 Ìý $ 9 Ìý $ 113 Ìý

2014 charges for 2013 and prior initiatives

Ìý Ìý â€� Ìý Ìý 23 Ìý Ìý 12 Ìý Ìý 11 Ìý Ìý 3 Ìý Ìý â€� Ìý Ìý 11 Ìý Ìý 60 Ìý

2014 charges for 2014 initiatives

Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý 6 Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý 6 Ìý

Reversal of reserves no longer required

Ìý Ìý â€� Ìý Ìý (1 ) Ìý (4 ) Ìý (2 ) Ìý â€� Ìý Ìý â€� Ìý Ìý (1 ) Ìý (8 )

2014 payments for 2013 and prior initiatives

Ìý Ìý (3 ) Ìý (7 ) Ìý (13 ) Ìý (21 ) Ìý (3 ) Ìý â€� Ìý Ìý (13 ) Ìý (60 )

Net activity of discontinued operations

Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý (1 ) Ìý â€� Ìý Ìý (1 )

Foreign currency effect on liability balance

Ìý Ìý â€� Ìý Ìý (1 ) Ìý â€� Ìý Ìý (4 ) Ìý (1 ) Ìý â€� Ìý Ìý â€� Ìý Ìý (6 )
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � � � � � � � � � � � � � � � � � � � �

Accrued liabilities as of SeptemberÌý30, 2014

Ìý $ 6 Ìý $ 24 Ìý $ 7 Ìý $ 58 Ìý $ 1 Ìý $ 2 Ìý $ 6 Ìý $ 104 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � � � � � � � � � � � � � � � � � � � �
� � � � � � � � � � � � � � � � � � � � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý Ìý

Current portion of restructuring reserves

Ìý $ 2 Ìý $ 24 Ìý $ 6 Ìý $ 7 Ìý $ 1 Ìý $ 2 Ìý $ 6 Ìý $ 48 Ìý

Long-term portion of restructuring reserves

Ìý Ìý 4 Ìý Ìý â€� Ìý Ìý 1 Ìý Ìý 51 Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý â€� Ìý Ìý 56 Ìý
Cash and noncash restructuring charges by initiative

Details with respect to cash and noncash restructuring charges for the three and nine months ended SeptemberÌý30, 2014 and 2013 by initiative are provided below (dollars in millions):

Ìý
Ìý Three months
ended
SeptemberÌý30, 2014
Ìý Nine months
ended
SeptemberÌý30, 2014
Ìý

Cash charges:

Ìý Ìý Ìý Ìý Ìý Ìý Ìý

2014 charges for 2013 and prior initiatives

Ìý $ 9 Ìý $ 60 Ìý

2014 charges for 2014 initiatives

Ìý Ìý â€� Ìý Ìý 6 Ìý

Pension related charges

Ìý Ìý â€� Ìý Ìý 2 Ìý

Reversal of reserves no longer required

Ìý Ìý â€� Ìý Ìý (8 )

Noncash charges

Ìý Ìý 30 Ìý Ìý 31 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �

Total 2014 Restructuring, Impairment and Plant Closing Costs

Ìý $ 39 Ìý $ 91 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �
� � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý


Ìý

Ìý
Ìý Three months
ended
SeptemberÌý30, 2013
Ìý Nine months
ended
SeptemberÌý30, 2013
Ìý

Cash charges:

Ìý Ìý Ìý Ìý Ìý Ìý Ìý

2013 charges for 2012 and prior initiatives

Ìý $ 25 Ìý $ 87 Ìý

2013 charges for 2013 initiatives

Ìý Ìý 14 Ìý Ìý 28 Ìý

Pension related charges

Ìý Ìý 2 Ìý Ìý 7 Ìý

Reversal of reserves no longer required

Ìý Ìý (10 ) Ìý (19 )

Non-cash charges

Ìý Ìý 6 Ìý Ìý 7 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �

Total 2013 Restructuring, Impairment and Plant Closing Costs

Ìý $ 37 Ìý $ 110 Ìý
Ìý Ìý Ìý Ìý Ìý Ìý
� � � � � � � �
� � � � � � � �
Ìý Ìý Ìý Ìý Ìý Ìý