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4. DISCONTINUED OPERATIONS AND BUSINESS DISPOSITIONS

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DISCONTINUED OPERATIONS

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Sale of Textile Effects Business

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On August 9, 2022, we entered into a definitive agreement to sell our Textile Effects Business to ArchromaÌýfor a purchase price of $593 million in cash plus the assumption of underfunded pension liabilities, and we expect the net after tax cash proceeds to be approximately $540 million before fees andÌýsubject to certain customary purchase price adjustments as set forth in the purchase agreement.ÌýWe expect the transaction to close on February 28, 2023. Beginning in the third quarter of 2022, the results of our Textile Effects Business are reported as discontinued operations for all periods presented.Ìý

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Sale of Chemical Intermediates Businesses

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On January 3, 2020, we completed the sale of our Chemical Intermediates Businesses to IndoramaÌýin a transaction valued at approximately $2 billion, comprised of a cash purchase price of approximately $1.92 billion and the transfer of approximately $72 million in net underfunded pension and other post-employment benefit liabilities. In connection with this sale, we received proceeds of approximately $1.92 billion and recognized a net after-tax gain of $748 million in 2020. Additionally, in connection with this sale, we entered into long-term supply agreements with Indorama for certain raw materials at market prices supplied by our former Chemical Intermediates Businesses.ÌýIn connection with this sale, we recognized approximately $19 million of income as a result of a liquidation of LIFO inventory.

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During the year ended December 31, 2020, we paid $231Ìýmillion of income taxes with respect to the gain on the sale of our Chemical Intermediates Businesses. With the sale of approximately 42.4Ìýmillion ordinary shares we held in Venator to SK Capital Partners, LP completed on December 23, 2020, we offset the capital loss on the sale of the Venator shares against the capital gain realized on the sale of our Chemical Intermediates Businesses.Ìý

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Financial Information for Discontinued Operations

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The following table reconciles the carrying amounts of major classes of assets and liabilities of discontinued operations to total assets and liabilities of discontinued operations that are classified as held for sale in ourÌýconsolidated balance sheets (dollars in millions):

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The following table reconciles major line items constituting pretax income of discontinued operations to after-tax incomeÌýof discontinued operations as presented in our consolidated statements of operations (dollars in millions):

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Sale of India-Based Do-It-Yourself Consumer Adhesives Business

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On November 3, 2020, we completed the sale of the India-based DIY business to Pidilite Industries Ltd. and received cash of approximately $257 million. In the second quarter of 2021, we received the full payment of $28 million pursuant to an earnout provision based on the DIY business’s achievement of certain sales revenue targets in line with its 2019 performance. As a result, we recognized an additional pretax gain of $28 million in the second quarter of 2021, which was recorded in gain on sale of India-based DIY business in ourÌýconsolidated statements of operations.

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Separation and Deconsolidation of Venator

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On December 23, 2020, we completed the sale of approximately 42.4 million ordinary shares of Venator Materials PLC (“Venatorâ€�). Concurrent with the sale of ordinary shares, we entered into an option agreement, pursuant to which we granted an option to funds advised by SK Capital Partners, LP to purchase the remaining approximate 9.7 million ordinary shares we hold in Venator at $2.15 per share. The option will expire on June 23, 2023 and will not be exercisable so long as such exercise would result in a default or an “Event of Defaultâ€� under Venator’s Term Loan Credit Agreement and Revolving Credit Agreement. We record this option at fair value with changes in fair value reported in earnings. We account for our remaining ownership interest in Venator as an investment in equity securities that are marked to fair value with changes in fair value reported in earnings. For the years ended December 31, 2022 and 2021, we recorded net losses ofÌý$12 million andÌý$28Ìýmillion, respectively, to record our investment in Venator and related option at fair value. For the year ended December 31, 2020, we recorded a loss of $88 million, primarily consisting of a loss of $43 million to record our investment in Venator at fair value, a loss of $12 million related to the sale of approximately 42.4 million Venator ordinary shares and a loss of $31 million on the write off of a receivable related to certain income tax benefits that were reduced upon the completion of the sale of Venator shares to SK Capital Partners, LP. These net losses were recorded in “Fair value adjustments to Venator investment, netâ€� in our consolidated statements of operations.

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