乐天堂fun88(中国区)官方网站 Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Note 20 - Commitments and Contingencies

Note 20 - Commitments and Contingencies	12 Months Ended
Dec. 31, 2024
Notes to Financial Statements	听
Commitments and Contingencies Disclosure [Text Block]	20. COMMITMENTS AND CONTINGENCIES 听 Purchase Commitments 听 We have various purchase commitments extending through 2043听for materials, supplies and services entered into in the ordinary course of business. Included in these purchase commitments are contracts which require minimum volume purchases that extend beyond one year or are renewable annually and have been renewed in听2024. Certain contracts allow for changes in minimum required purchase volumes in the event of a temporary or permanent shutdown of a facility. The contractual purchase prices for substantially all of these contracts are variable based upon market prices, subject to annual negotiations. We have estimated our contractual obligations by using the terms of our current pricing for each contract. As of听 December 31,听2024,听we had unconditional purchase commitments of approximately $11.3听billion, of which $2,273听million will be paid in 2025, $1,881听million in 2026, $1,602听million in 2027, $1,335听million in 2028 and $1,235听million in 2029. 听 We also have a limited number of contracts which require a minimum payment even if no volume is purchased. We believe that all of our purchase obligations will be utilized in our normal operations. We made minimum payments of $4听million, $4听million听and $3听million听for the years ended December 31, 2024, 2023 and 2022, respectively, under such take or pay contracts without taking the product. 听 Legal Matters 听 On February 6, 2025, the Louisiana Supreme Court affirmed the jury verdict and district court judgment in our favor听in our long-running court battle against Praxair/Linde, one of the industrial gas suppliers to our Geismar, Louisiana MDI manufacturing site, and entered a damages award consistent with 乐天堂fun88(中国区)官方网站鈥檚 expert witness testimony at trial.听The case was filed after Praxair refused to maintain properly its own Geismar facility and then听repeatedly failed to supply our requirements for industrial gases needed to manufacture MDI under long-term supply contracts that expired in 2013. We are evaluating our options with respect to this latest ruling which would result in a final award of approximately $42.5 million or, after adding mandatory pre-judgment and post-judgment interest approximately $65 million. Taking into account taxes and legal fees, we would expect to receive net proceeds of approximately $25 million听to $30 million.听We have not yet recognized the award in our consolidated statements of operations, and the timing of the resolution of this matter is uncertain. 听 We are a party to various other proceedings instituted by private plaintiffs, governmental authorities and others arising under provisions of applicable laws, including various environmental, products liability and other laws. We do not believe that the outcome of any of these matters will have a material effect on our financial condition, results of operations or liquidity. 听

Note 20 - Commitments and Contingencies

12 Months Ended

Dec. 31, 2024

Notes to Financial Statements

听

Commitments and Contingencies Disclosure [Text Block]

20. COMMITMENTS AND CONTINGENCIES

听

Purchase Commitments

听

We have various purchase commitments extending through 2043听for materials, supplies and services entered into in the ordinary course of business. Included in these purchase commitments are contracts which require minimum volume purchases that extend beyond one year or are renewable annually and have been renewed in听2024. Certain contracts allow for changes in minimum required purchase volumes in the event of a temporary or permanent shutdown of a facility. The contractual purchase prices for substantially all of these contracts are variable based upon market prices, subject to annual negotiations. We have estimated our contractual obligations by using the terms of our current pricing for each contract. As of听 December 31,听2024,听we had unconditional purchase commitments of approximately $11.3听billion, of which $2,273听million will be paid in 2025, $1,881听million in 2026, $1,602听million in 2027, $1,335听million in 2028 and $1,235听million in 2029.

听

We also have a limited number of contracts which require a minimum payment even if no volume is purchased. We believe that all of our purchase obligations will be utilized in our normal operations. We made minimum payments of $4听million, $4听million听and $3听million听for the years ended December 31, 2024, 2023 and 2022, respectively, under such take or pay contracts without taking the product.

听

Legal Matters

听

On February 6, 2025, the Louisiana Supreme Court affirmed the jury verdict and district court judgment in our favor听in our long-running court battle against Praxair/Linde, one of the industrial gas suppliers to our Geismar, Louisiana MDI manufacturing site, and entered a damages award consistent with 乐天堂fun88(中国区)官方网站鈥檚 expert witness testimony at trial.听The case was filed after Praxair refused to maintain properly its own Geismar facility and then听repeatedly failed to supply our requirements for industrial gases needed to manufacture MDI under long-term supply contracts that expired in 2013. We are evaluating our options with respect to this latest ruling which would result in a final award of approximately $42.5 million or, after adding mandatory pre-judgment and post-judgment interest approximately $65 million. Taking into account taxes and legal fees, we would expect to receive net proceeds of approximately $25 million听to $30 million.听We have not yet recognized the award in our consolidated statements of operations, and the timing of the resolution of this matter is uncertain.

听

We are a party to various other proceedings instituted by private plaintiffs, governmental authorities and others arising under provisions of applicable laws, including various environmental, products liability and other laws. We do not believe that the outcome of any of these matters will have a material effect on our financial condition, results of operations or liquidity.

听