2019 Q4 Form 10-K Financial Statement

#000143774921002772 Filed on February 12, 2021

View on sec.gov

Income Statement

Concept 2019 Q4 2018 Q4 2018
Revenue $1.657B $1.821B $7.604B
YoY Change -9.01% 163.91% 11.09%
Cost Of Revenue $1.347B $1.469B $5.840B
YoY Change -8.3% 335.91% 12.44%
Gross Profit $310.0M $352.0M $1.764B
YoY Change -11.93% -0.28% 6.84%
Gross Profit Margin 18.71% 19.33% 23.2%
Selling, General & Admin $201.0M $211.0M $789.0M
YoY Change -4.74% 19.89% 3.95%
% of Gross Profit 64.84% 59.94% 44.73%
Research & Development $28.00M $37.00M $145.0M
YoY Change -24.32% 27.59% 9.85%
% of Gross Profit 9.03% 10.51% 8.22%
Depreciation & Amortization $69.00M $156.0M $255.0M
YoY Change -55.77% 85.71% 8.05%
% of Gross Profit 22.26% 44.32% 14.46%
Operating Expenses $259.0M $231.0M $937.0M
YoY Change 12.12% 16.67% 1.63%
Operating Profit $51.00M $121.0M $827.0M
YoY Change -57.85% -21.94% 13.44%
Interest Expense $60.00M -$81.00M -$115.0M
YoY Change -174.07% 268.18% -30.3%
% of Operating Profit 117.65% -66.94% -13.91%
Other Income/Expense, Net $4.000M $10.00M $32.00M
YoY Change -60.0% 900.0% 300.0%
Pretax Income $114.0M $65.00M $734.0M
YoY Change 75.38% -35.0% 38.23%
Income Tax -$147.0M $21.00M $45.00M
% Of Pretax Income -128.95% 32.31% 6.13%
Net Earnings $303.0M -$340.0M $337.0M
YoY Change -189.12% -238.21% -47.01%
Net Earnings / Revenue 18.29% -18.67% 4.43%
Basic Earnings Per Share $1.35 -$1.45 $1.42
Diluted Earnings Per Share $1.34 -$1.43 $1.39
COMMON SHARES
Basic Shares Outstanding 225.5M 238.1M
Diluted Shares Outstanding 241.6M

Balance Sheet

Concept 2019 Q4 2018 Q4 2018
SHORT-TERM ASSETS
Cash & Short-Term Investments $525.0M $340.0M $340.0M
YoY Change 54.41% -27.66% -27.66%
Cash & Equivalents $525.0M $340.0M $340.0M
Short-Term Investments
Other Short-Term Assets $155.0M $145.0M $435.0M
YoY Change 6.9% -95.4% -86.2%
Inventory $914.0M $1.000B $1.000B
Prepaid Expenses $83.00M $58.00M
Receivables $940.0M $1.165B $1.165B
Other Receivables $13.00M $18.00M $18.00M
Total Short-Term Assets $3.755B $2.958B $2.958B
YoY Change 26.94% -50.53% -50.53%
LONG-TERM ASSETS
Property, Plant & Equipment $2.383B $2.353B $2.353B
YoY Change 1.27% -24.05% -24.05%
Goodwill $276.0M $275.0M
YoY Change 0.36%
Intangibles $197.0M $213.0M
YoY Change -7.51%
Long-Term Investments $535.0M $526.0M $526.0M
YoY Change 1.71% 97.74% 97.74%
Other Assets $452.0M $393.0M $1.594B
YoY Change 15.01% -44.26% 126.1%
Total Long-Term Assets $4.565B $4.995B $4.995B
YoY Change -8.61% 17.12% 17.12%
TOTAL ASSETS
Total Short-Term Assets $3.755B $2.958B $2.958B
Total Long-Term Assets $4.565B $4.995B $4.995B
Total Assets $8.320B $7.953B $7.953B
YoY Change 4.61% -22.36% -22.36%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $765.0M $761.0M $793.0M
YoY Change 0.53% -21.06% -17.74%
Accrued Expenses $420.0M $497.0M $497.0M
YoY Change -15.49% -12.65% 2.47%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $212.0M $96.00M $96.00M
YoY Change 120.83% 140.0% 140.0%
Total Short-Term Liabilities $2.008B $1.611B $1.611B
YoY Change 24.64% -50.66% -50.66%
LONG-TERM LIABILITIES
Long-Term Debt $2.177B $2.224B $2.224B
YoY Change -2.11% -1.51% -1.51%
Other Long-Term Liabilities $898.0M $949.0M $1.232B
YoY Change -5.37% -12.62% 13.44%
Total Long-Term Liabilities $3.075B $3.173B $3.456B
YoY Change -3.09% -5.11% 3.35%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.008B $1.611B $1.611B
Total Long-Term Liabilities $3.075B $3.173B $3.456B
Total Liabilities $5.496B $5.204B $5.469B
YoY Change 5.61% -33.0% -29.59%
SHAREHOLDERS EQUITY
Retained Earnings $690.0M $292.0M
YoY Change 136.3%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $2.687B $2.520B $2.484B
YoY Change
Total Liabilities & Shareholders Equity $8.320B $7.953B $7.953B
YoY Change 4.61% -22.36% -22.36%

Cashflow Statement

Concept 2019 Q4 2018 Q4 2018
OPERATING ACTIVITIES
Net Income $303.0M -$340.0M $337.0M
YoY Change -189.12% -238.21% -47.01%
Depreciation, Depletion And Amortization $69.00M $156.0M $255.0M
YoY Change -55.77% 85.71% 8.05%
Cash From Operating Activities $241.0M $119.0M $1.207B
YoY Change 102.52% -75.0% -0.98%
INVESTING ACTIVITIES
Capital Expenditures -$93.00M -$165.0M $251.0M
YoY Change -43.64% 34.15% 7.26%
Acquisitions $366.0M
YoY Change 2514.29%
Other Investing Activities -$25.00M $3.000M $1.000M
YoY Change -933.33% -102.8% 0.0%
Cash From Investing Activities -$118.0M -$162.0M -$973.0M
YoY Change -27.16% -29.57% 129.48%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $260.0M
YoY Change 642.86%
Debt Paid & Issued, Net $68.00M
YoY Change -96.7%
Cash From Financing Activities -19.00M -307.0M -$424.0M
YoY Change -93.81% 80.59% -18.3%
NET CHANGE
Cash From Operating Activities 241.0M 119.0M $1.207B
Cash From Investing Activities -118.0M -162.0M -$973.0M
Cash From Financing Activities -19.00M -307.0M -$424.0M
Net Change In Cash 104.0M -350.0M -$225.0M
YoY Change -129.71% -560.53% -176.53%
FREE CASH FLOW
Cash From Operating Activities $241.0M $119.0M $1.207B
Capital Expenditures -$93.00M -$165.0M $251.0M
Free Cash Flow $334.0M $284.0M $956.0M
YoY Change 17.61% -52.59% -2.94%

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<p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;"><b><a href="#" id="notes" title="notes"/><em style="font: inherit;">1.</em> </b><b>GENERAL</b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"><span style="text-transform:uppercase;"><b>D<span style="font-family:Times New Roman;font-size:7pt;">efinitions</span></b></span></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">For convenience in this report, the terms “Company,” “our” or “we” <em style="font: inherit;"> may </em>be used to refer to Huntsman Corporation and, unless the context otherwise requires, its subsidiaries and predecessors. In this report, “Huntsman International” refers to Huntsman International LLC (our wholly-owned subsidiary) and, unless the context otherwise requires, its subsidiaries; “AAC” refers to Arabian Amines Company, our consolidated manufacturing joint venture with the Zamil Group; “HPS” refers to Huntsman Polyurethanes Shanghai Ltd. (our consolidated splitting joint venture with Shanghai Chlor-Alkali Chemical Company, Ltd); and “SLIC” refers to Shanghai Liengheng Isocyanate Company (our unconsolidated manufacturing joint venture with BASF and <span style="-sec-ix-hidden:c68566896">three</span> Chinese chemical companies).</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">In this report, we <em style="font: inherit;"> may </em>use, without definition, the common names of competitors or other industry participants. We <em style="font: inherit;"> may </em>also use the common names or abbreviations for certain chemicals or products.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"><span style="text-transform:uppercase;"><b>D<span style="font-family:Times New Roman;font-size:7pt;">escription of</span> B<span style="font-family:Times New Roman;font-size:7pt;">usiness</span></b></span></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">We are a global manufacturer of differentiated organic chemical products. We operate in <span style="-sec-ix-hidden:c68566897">four</span> segments: Polyurethanes, Performance Products, Advanced Materials and Textile Effects. Our products comprise a broad range of chemicals and formulations, which we market globally to a diversified group of consumer and industrial customers. Our products are used in a wide range of applications, including those in the adhesives, aerospace, automotive, construction products, durable and non-durable consumer products, electronics, insulation, medical, packaging, coatings and construction, power generation, refining, synthetic fiber, textile chemicals and dye industries. We are a leading global producer in many of our key product lines, including MDI, amines, maleic anhydride, epoxy-based polymer formulations, textile chemicals and dyes.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"><span style="text-transform:uppercase;"><b>C<span style="font-family:Times New Roman;font-size:7pt;">ompany</span></b></span></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">Our Company, a Delaware corporation, was formed in <em style="font: inherit;">2004</em> to hold the Huntsman businesses, which were founded by Jon M. Huntsman. Mr. Huntsman founded the predecessor to our Company in <em style="font: inherit;">1970</em> as a small polystyrene plastics packaging company. Since then, we have grown through a series of acquisitions and now own a global portfolio of businesses.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">Currently, we operate all of our businesses through Huntsman International, our wholly-owned subsidiary. Huntsman International is a Delaware limited liability company and was formed in <em style="font: inherit;">1999.</em></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"><span style="text-transform:uppercase;"><b>R<span style="font-family:Times New Roman;font-size:7pt;">ecent</span> D<span style="font-family:Times New Roman;font-size:7pt;">evelopments</span></b></span></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt; text-align: left;"><b>COVID-<em style="font: inherit;">19</em> Update </b></p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt 7.2pt;text-align:left;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 7.2pt; text-align: left; text-indent: 36pt;">The outbreak of the COVID-<em style="font: inherit;">19</em> has spread from China to many other countries, including the U.S. In <em style="font: inherit;"> March 2020, </em>the World Health Organization characterized COVID-<em style="font: inherit;">19</em> as a pandemic. As of <em style="font: inherit;"> December 31, </em><em style="font: inherit;">2020,</em> there have <em style="font: inherit;">not</em> been any significant interruptions in our ability to provide our products and support to our customers. However, the COVID-<em style="font: inherit;">19</em> pandemic has significantly impacted economic conditions throughout the U.S. and the world, including the markets in which we operate. Demand for our products declined at a rapid pace in the <span style="-sec-ix-hidden:c68566907">second</span> quarter <em style="font: inherit;">2020,</em> which led to a meaningful adverse impact on our revenues and financial results. Although we have experienced improved conditions in most of our core markets in the <em style="font: inherit;">second</em> half of <em style="font: inherit;">2020,</em> there continues to be many uncertainties regarding the impact of the COVID-<em style="font: inherit;">19</em> pandemic, including the scope of scientific and health issues, the anticipated duration of the pandemic and the extent of local, regional and worldwide economic, social and political disruption. Given such uncertainties, it is difficult to estimate the magnitude COVID-<em style="font: inherit;">19</em> <em style="font: inherit;"> may </em>impact our future business, but we expect any adverse impact to continue for some time.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt 21.45pt;text-align:left;text-indent:35.1pt;">In response to the impact of COVID-<em style="font: inherit;">19,</em> we have implemented, and <em style="font: inherit;"> may </em>continue to implement, cost saving initiatives, including:</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">suspended merit and general wage increases that customarily would have occurred at the end of the <em style="font: inherit;">first</em> quarter of <em style="font: inherit;">2020;</em></p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">implemented a temporary hiring freeze for all non-business critical positions;</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">accelerated integration efforts related to the Icynene-Lapolla and CVC Thermoset Specialties acquisitions in order to more expeditiously capture related synergies;</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">implemented restructuring programs in our Polyurethanes segment to reorganize our spray polyurethane foam business to better position this business for efficiencies and growth in coming years and to optimize our downstream footprint;</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">implemented a restructuring program in our Performance Products segment, primarily related to workforce reductions, in response to the sale of our Chemical Intermediates Businesses to Indorama;</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">implemented restructuring programs in our Advanced Materials segment, primarily related to workforce reductions in connection with the CVC Thermoset Specialties Acquisition and the alignment of the segment’s commercial organization and optimization of the segment’s manufacturing processes; and</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px;"><tbody><tr style="vertical-align: top;"><td style="width: 54pt;"> </td><td style="width: 18pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">implemented restructuring programs in our Textile Effects segment to rationalize and realign structurally across various functions and certain locations within the segment.</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt 7.2pt;text-align:left;text-indent:36pt;">For more information regarding our <em style="font: inherit;">2020</em> restructuring activities, see “Note <em style="font: inherit;">13.</em> Restructuring, Impairment and Plant Closing Costs (Credits).”</p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 21.45pt; text-align: left; text-indent: 17.1pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 14.7pt; text-align: left; text-indent: -9pt;"><b>Redemption of the <em style="font: inherit;">2021</em> Senior Notes</b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt; text-align: left; text-indent: 36pt;">On <em style="font: inherit;"> January 15, 2021, </em>we redeemed in full <em style="font: inherit;">€<span style="-sec-ix-hidden:c68567985">445</span></em> million (approximately $541 million) in aggregate principal amount of our <em style="font: inherit;">2021</em> Senior Notes at the redemption price equal to 100% of the principal amount of the notes, plus accrued and unpaid interest to, but <em style="font: inherit;">not</em> including, the redemption date.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:21.45pt;margin-top:0pt;text-align:left;"><b>Acquisition of Gabriel Performance Products</b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 7.2pt; text-align: left; text-indent: 36pt;">On <em style="font: inherit;"> January 15, 2021, </em>we completed the acquisition of Gabriel, a North American specialty chemical manufacturer of specialty additives and epoxy curing agents for the coatings, adhesives, sealants and composite end-markets, from funds affiliated with Audax Private Equity in an all-cash transaction of approximately $250 million, subject to customary closing adjustments, funded from available liquidity. The acquired business will be integrated into our Advanced Materials segment.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:14.7pt;margin-top:0pt;text-align:left;"><b>Sale of Assets at our Basel, Switzerland Site</b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:14.7pt;margin-top:0pt;text-align:left;text-indent:36pt;">In <em style="font: inherit;"> November 2020, </em>we entered into a sale and leaseback agreement to sell certain properties in Basel, Switzerland for approximately CHF 67 million (approximately $73 million) and to lease those properties back for <span style="-sec-ix-hidden:c68566928">five</span> years. This transaction resulted in a pretax gain of approximately CHF 30 million (approximately $33 million). </p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:21.45pt;margin-top:0pt;text-align:left;"><b>Sale of India-Based Do-It-Yourself Consumer Adhesives Business</b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:21.45pt;margin-top:0pt;text-align:left;text-indent:36pt;">On <em style="font: inherit;"> November 3, 2020, </em>we completed the sale of the India-based DIY business, previously part of our Advanced Materials segment, to Pidilite Industries Ltd. and received cash of approximately $257 million. Under the terms of the agreement, we <em style="font: inherit;"> may </em>receive up to approximately $28 million of additional cash under an earnout within 18 months if the business achieves certain sales revenue targets in line with the DIY business' <em style="font: inherit;">2019</em> performance. In connection with this sale, we recognized a pretax gain of $247 million in the <em style="font: inherit;">fourth</em> quarter of <em style="font: inherit;">2020,</em> which was recorded in gain on sale of India-based DIY business in our consolidated statements of operations.</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin-bottom:0pt;margin-left:7.2pt;margin-right:21.45pt;margin-top:0pt;text-align:left;"><b>Sale of Venator Interest </b></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 21.45pt 0pt 7.2pt; text-align: left; text-indent: 36pt;">On <em style="font: inherit;"> December 23, 2020, </em>we completed the sale of approximately 42.4 million ordinary shares of Venator to funds advised by SK Capital Partners, LP. We received approximately $99 million in cash, which included $8 million for a 30-month option as described below. In addition to the cash proceeds received from the sale, we achieved immediate cash tax savings of approximately $150 million by offsetting the capital loss on the sale of Venator shares against the capital gain realized on the sale of our Chemical Intermediates Businesses. See “Note <em style="font: inherit;">4.</em> Discontinued Operations and Business Dispositions—Separation and Deconsolidation of Venator.”</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 21.45pt 0pt 7.2pt; text-align: left; text-indent: 36pt;">Concurrently with the sale of Venator 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 <em style="font: inherit;"> June 23, 2023 </em>and will <em style="font: inherit;">not</em> be exercisable so long as such exercise would result in a default or an "Event of Default" under Venator’s Term Loan Credit Agreement and Revolving Credit Agreement. </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 21.45pt 0pt 7.2pt; text-align: left; text-indent: 36pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt 21.45pt 0pt 7.2pt; text-align: left; text-indent: 36pt;">In connection with the <em style="font: inherit;">2017</em> initial public offering of Venator, we recorded a receivable of approximately $34 million related to certain income tax benefits that was reduced upon completion of the sale of Venator shares to SK Capital Partners, LP due to a change of control limitation on specific Venator tax attributes. 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For more information, see “Note <em style="font: inherit;">3.</em> Business Combinations and Acquisitions—Acquisition of CVC Thermoset Specialties."</p> </td></tr> </tbody></table> <p style="margin: 0; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin-left: 0pt; margin-right: 0pt;"><tbody><tr style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"><td style="width: 54pt; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="width: 18pt; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; vertical-align: top;">●</td><td style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;">In <em style="font: inherit;"> February 2020, </em>we completed the Icynene-Lapolla Acquisition. For more information, see “Note <em style="font: inherit;">3.</em> Business Combinations and Acquisitions—Acquisition of Icynene-Lapolla.” </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; text-indent: 0px; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin-left: 0pt; margin-right: 0pt;"><tbody><tr style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"><td style="width: 54pt; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="width: 18pt; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:7.2pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;">In <em style="font: inherit;"> January 2020, </em>we completed the sale of our Chemical Intermediates Businesses to Indorama in 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. For more information, see “Note <em style="font: inherit;">4.</em> Discontinued Operations and Business Dispositions—Sale of Chemical Intermediates Businesses.”</td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin: 0pt; text-align: left"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;"><span style="text-transform:uppercase;"><b>H<span style="font-family:Times New Roman;font-size:7pt;">untsman</span> C<span style="font-family:Times New Roman;font-size:7pt;">orporation</span> <span style="font-family:Times New Roman;font-size:7pt;">and</span> H<span style="font-family:Times New Roman;font-size:7pt;">untsman</span> I<span style="font-family:Times New Roman;font-size:7pt;">nternational</span> F<span style="font-family:Times New Roman;font-size:7pt;">inancial</span> S<span style="font-family:Times New Roman;font-size:7pt;">tatements</span></b></span></p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;margin:0pt;text-align:left;text-indent:36pt;">Except where otherwise indicated, these notes relate to the consolidated financial statements for both our Company and Huntsman International. The differences between our consolidated financial statements and Huntsman International’s consolidated financial statements relate primarily to the following:</p> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width:100%;font-family:'Times New Roman', Times, serif;font-size:10pt;"><tbody><tr><td style="width:36pt;"> </td><td style="width:18pt;vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td style="vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">purchase accounting recorded at our Company for the <em style="font: inherit;">2003</em> step-acquisition of Huntsman International Holdings LLC, the former parent company of Huntsman International that was merged into Huntsman International in <em style="font: inherit;">2005;</em></p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width:100%;font-family:'Times New Roman', Times, serif;font-size:10pt;"><tbody><tr><td style="width:36pt;"> </td><td style="width:18pt;vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td style="vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">the different capital structures; and</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p> <table border="0" cellpadding="0" cellspacing="0" style="width:100%;font-family:'Times New Roman', Times, serif;font-size:10pt;"><tbody><tr><td style="width:36pt;"> </td><td style="width:18pt;vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">●</p> </td><td style="vertical-align:top;"> <p style="font-family:'Times New Roman', Times, serif;margin-right:0pt;margin-top:0pt;text-align:left;margin-bottom:0pt;font-size:10pt;">a note payable from Huntsman International to us, which was repaid in full during the <em style="font: inherit;">first</em> quarter of <em style="font: inherit;">2020.</em></p> </td></tr> </tbody></table>
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391000000 USD
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CY2020 hun Maximum Period For Payment Of Remediation Liabilities
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169000
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20.37
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BusinessCombinationAcquisitionRelatedCosts
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us-gaap Revenue From Related Parties
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CY2019 us-gaap Depreciation And Amortization Discontinued Operations
DepreciationAndAmortizationDiscontinuedOperations
61000000 USD
CY2018 us-gaap Depreciation And Amortization Discontinued Operations
DepreciationAndAmortizationDiscontinuedOperations
88000000 USD
CY2020 us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
32000000 USD
CY2019 us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
36000000 USD
CY2018 us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
313000000 USD
CY2020 us-gaap Business Combination Integration Related Costs
BusinessCombinationIntegrationRelatedCosts
31000000 USD
CY2019 us-gaap Business Combination Integration Related Costs
BusinessCombinationIntegrationRelatedCosts
5000000 USD
CY2018 us-gaap Business Combination Integration Related Costs
BusinessCombinationIntegrationRelatedCosts
9000000 USD
CY2019 hun Litigation Settlements And Related Income
LitigationSettlementsAndRelatedIncome
6000000 USD
CY2018 hun Litigation Settlements And Related Income
LitigationSettlementsAndRelatedIncome
1000000 USD
CY2020 us-gaap Gain Loss On Disposition Of Assets1
GainLossOnDispositionOfAssets1
280000000 USD
CY2019 us-gaap Gain Loss On Disposition Of Assets1
GainLossOnDispositionOfAssets1
-21000000 USD
CY2018 us-gaap Gain Loss On Disposition Of Assets1
GainLossOnDispositionOfAssets1
0 USD
CY2020 hun Gain Loss Transition Services Arrangements
GainLossTransitionServicesArrangements
7000000 USD
CY2019 hun Gain Loss Transition Services Arrangements
GainLossTransitionServicesArrangements
0 USD
CY2018 hun Gain Loss Transition Services Arrangements
GainLossTransitionServicesArrangements
0 USD
CY2020 hun Information Technology Project Implementation Costs
InformationTechnologyProjectImplementationCosts
6000000 USD
CY2019 hun Information Technology Project Implementation Costs
InformationTechnologyProjectImplementationCosts
4000000 USD
CY2018 hun Information Technology Project Implementation Costs
InformationTechnologyProjectImplementationCosts
-0 USD
CY2020 us-gaap Defined Benefit Plan Amortization Of Gains Losses
DefinedBenefitPlanAmortizationOfGainsLosses
-76000000 USD
CY2019 us-gaap Defined Benefit Plan Amortization Of Gains Losses
DefinedBenefitPlanAmortizationOfGainsLosses
-66000000 USD
CY2018 us-gaap Defined Benefit Plan Amortization Of Gains Losses
DefinedBenefitPlanAmortizationOfGainsLosses
-67000000 USD
CY2020 hun Incident Remediation Costs Credits
IncidentRemediationCostsCredits
2000000 USD
CY2019 hun Incident Remediation Costs Credits
IncidentRemediationCostsCredits
8000000 USD
CY2018 hun Incident Remediation Costs Credits
IncidentRemediationCostsCredits
-0 USD
CY2020 hun Restructuring Impairment And Plant Closing And Transition Costs Credits
RestructuringImpairmentAndPlantClosingAndTransitionCostsCredits
52000000 USD
CY2019 hun Restructuring Impairment And Plant Closing And Transition Costs Credits
RestructuringImpairmentAndPlantClosingAndTransitionCostsCredits
-41000000 USD
CY2018 hun Restructuring Impairment And Plant Closing And Transition Costs Credits
RestructuringImpairmentAndPlantClosingAndTransitionCostsCredits
-6000000 USD
CY2020 us-gaap Profit Loss
ProfitLoss
1066000000 USD
CY2019 us-gaap Profit Loss
ProfitLoss
598000000 USD
CY2018 us-gaap Profit Loss
ProfitLoss
650000000 USD
CY2020 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
283000000 USD
CY2019 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
270000000 USD
CY2018 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
255000000 USD
CY2020 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
249000000 USD
CY2019 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
274000000 USD
CY2018 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
251000000 USD
CY2020Q4 hun Assets Excluding Held For Sale
AssetsExcludingHeldForSale
8713000000 USD
CY2019Q4 hun Assets Excluding Held For Sale
AssetsExcludingHeldForSale
7112000000 USD
CY2020Q4 us-gaap Goodwill
Goodwill
533000000 USD
CY2019Q4 us-gaap Goodwill
Goodwill
276000000 USD
CY2020 us-gaap Revenues
Revenues
6018000000 USD
CY2019 us-gaap Revenues
Revenues
6797000000 USD
CY2018 us-gaap Revenues
Revenues
7604000000 USD
CY2020Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
2505000000 USD
CY2019Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
2383000000 USD

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