2021 Q4 Form 10-K Financial Statement

#000143774922003430 Filed on February 15, 2022

View on sec.gov

Income Statement

Concept 2021 Q4 2021 2020 Q4
Revenue $2.307B $8.453B $1.668B
YoY Change 38.31% 40.46% 0.66%
Cost Of Revenue $1.838B $6.678B $1.306B
YoY Change 40.74% 35.79% -3.04%
Gross Profit $469.0M $1.775B $362.0M
YoY Change 29.56% 61.36% 16.77%
Gross Profit Margin 20.33% 21.0% 21.7%
Selling, General & Admin $231.0M $851.0M $212.0M
YoY Change 8.96% 9.81% 5.47%
% of Gross Profit 49.25% 47.94% 58.56%
Research & Development $37.00M $150.0M $34.00M
YoY Change 8.82% 11.11% 21.43%
% of Gross Profit 7.89% 8.45% 9.39%
Depreciation & Amortization $77.00M $296.0M $77.00M
YoY Change 0.0% 4.59% 11.59%
% of Gross Profit 16.42% 16.68% 21.27%
Operating Expenses $248.0M $980.0M $205.0M
YoY Change 20.98% 46.93% -20.85%
Operating Profit $221.0M $795.0M $157.0M
YoY Change 40.76% 83.6% 207.84%
Interest Expense $10.00M -$67.00M $6.000M
YoY Change 66.67% -22.09% -90.0%
% of Operating Profit 4.52% -8.43% 3.82%
Other Income/Expense, Net $9.000M $32.00M $9.000M
YoY Change 0.0% -11.11% 125.0%
Pretax Income $699.0M $1.313B $404.0M
YoY Change 73.02% 289.61% 254.39%
Income Tax $95.00M $209.0M $37.00M
% Of Pretax Income 13.59% 15.92% 9.16%
Net Earnings $597.0M $1.045B $343.0M
YoY Change 74.05% 1.06% 13.2%
Net Earnings / Revenue 25.88% 12.36% 20.56%
Basic Earnings Per Share $4.77
Diluted Earnings Per Share $2.726M $4.72 $1.523M
COMMON SHARES
Basic Shares Outstanding 218.0M 219.2M 220.8M
Diluted Shares Outstanding 221.4M

Balance Sheet

Concept 2021 Q4 2021 2020 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $1.041B $1.041B $1.593B
YoY Change -34.65% -34.65% 203.43%
Cash & Equivalents $1.041B $1.041B $1.593B
Short-Term Investments
Other Short-Term Assets $167.0M $167.0M $217.0M
YoY Change -23.04% -23.04% 40.0%
Inventory $1.201B $1.201B $848.0M
Prepaid Expenses
Receivables $1.159B $1.159B $902.0M
Other Receivables $360.0M $360.0M $8.000M
Total Short-Term Assets $3.928B $3.928B $3.568B
YoY Change 10.09% 10.09% -4.98%
LONG-TERM ASSETS
Property, Plant & Equipment $2.576B $2.979B $2.505B
YoY Change 2.83% 0.98% 5.12%
Goodwill $650.0M $533.0M
YoY Change 21.95% 93.12%
Intangibles $469.0M $453.0M
YoY Change 3.53% 129.95%
Long-Term Investments $470.0M $470.0M $373.0M
YoY Change 26.01% 26.01% -30.28%
Other Assets $690.0M $896.0M $548.0M
YoY Change 25.91% 7.18% 21.24%
Total Long-Term Assets $5.464B $5.464B $5.145B
YoY Change 6.2% 6.2% 12.71%
TOTAL ASSETS
Total Short-Term Assets $3.928B $3.928B $3.568B
Total Long-Term Assets $5.464B $5.464B $5.145B
Total Assets $9.392B $9.392B $8.713B
YoY Change 7.79% 7.79% 4.72%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.148B $1.208B $842.0M
YoY Change 36.34% 37.9% 10.07%
Accrued Expenses $780.0M $696.0M $458.0M
YoY Change 70.31% 59.27% 9.05%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $12.00M $12.00M $593.0M
YoY Change -97.98% -97.98% 179.72%
Total Short-Term Liabilities $2.051B $2.051B $1.979B
YoY Change 3.64% 3.64% -1.44%
LONG-TERM LIABILITIES
Long-Term Debt $1.538B $1.538B $1.528B
YoY Change 0.65% 0.65% -29.81%
Other Long-Term Liabilities $713.0M $1.083B $910.0M
YoY Change -21.65% -18.02% 1.34%
Total Long-Term Liabilities $2.251B $2.621B $2.438B
YoY Change -7.67% -8.0% -20.72%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.051B $2.051B $1.979B
Total Long-Term Liabilities $2.251B $2.621B $2.438B
Total Liabilities $4.833B $5.026B $5.040B
YoY Change -4.11% -3.61% -8.3%
SHAREHOLDERS EQUITY
Retained Earnings $2.435B $1.564B
YoY Change 55.69% 126.67%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $4.378B $4.366B $3.519B
YoY Change
Total Liabilities & Shareholders Equity $9.392B $9.392B $8.713B
YoY Change 7.79% 7.79% 4.72%

Cashflow Statement

Concept 2021 Q4 2021 2020 Q4
OPERATING ACTIVITIES
Net Income $597.0M $1.045B $343.0M
YoY Change 74.05% 1.06% 13.2%
Depreciation, Depletion And Amortization $77.00M $296.0M $77.00M
YoY Change 0.0% 4.59% 11.59%
Cash From Operating Activities $790.0M $952.0M $165.0M
YoY Change 378.79% 276.28% -31.54%
INVESTING ACTIVITIES
Capital Expenditures -$92.00M $342.0M -$79.00M
YoY Change 16.46% 37.35% -15.05%
Acquisitions $245.0M
YoY Change -62.31%
Other Investing Activities $7.000M -$12.00M $437.0M
YoY Change -98.4% 100.0% -1848.0%
Cash From Investing Activities -$85.00M -$524.0M $358.0M
YoY Change -123.74% -135.82% -403.39%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $190.0M
YoY Change 104.3%
Debt Paid & Issued, Net $990.0M
YoY Change 4614.29%
Cash From Financing Activities -168.0M -$977.0M -109.0M
YoY Change 54.13% 49.16% 473.68%
NET CHANGE
Cash From Operating Activities 790.0M $952.0M 165.0M
Cash From Investing Activities -85.00M -$524.0M 358.0M
Cash From Financing Activities -168.0M -$977.0M -109.0M
Net Change In Cash 537.0M -$552.0M 414.0M
YoY Change 29.71% -151.69% 298.08%
FREE CASH FLOW
Cash From Operating Activities $790.0M $952.0M $165.0M
Capital Expenditures -$92.00M $342.0M -$79.00M
Free Cash Flow $882.0M $610.0M $244.0M
YoY Change 261.48% 15150.0% -26.95%

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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:c80507867">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:c80507868">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;">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;font-variant:small-caps;margin:0pt;text-align:left;"> </p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"> </p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt; text-align: left;"><b>Dividend Increase</b></p> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; margin: 0pt; text-align: left;"> </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;"> February 14, 2022, </em>our Board of Directors declared a $0.2125 per share cash dividend on our common stock. This represents a 13% increase from the previous dividend.</p> <p style="font-family:'Times New Roman', Times, serif;font-size:10pt;font-variant:small-caps;margin:0pt;text-align:left;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left;"><b>Strategic Review of Textile Effects</b></p> <p style="margin: 0pt; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left; text-indent: 36pt;">In <em style="font: inherit;"> December 2021, </em>we initiated a strategic review of our Textile Effects segment, which is headquartered in Singapore, including a possible sale of the segment. We have <em style="font: inherit;">not</em> set a timetable or a deadline for the conclusion of this evaluation of strategic alternatives.</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;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left;"><b>Albemarle Settlement</b></p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;">On <em style="font: inherit;"> October 28, 2021, </em>we won an arbitration award in excess of $600 million against Albemarle for fraud and breach of contract. On <em style="font: inherit;"> November 4, 2021, </em>Albemarle agreed to waive any appeal and pay $665 million, of which we received $332.5 million on <em style="font: inherit;"> December 2, 2021 </em>and expect to receive a final payment of $332.5 million by early <em style="font: inherit;"> May 2022. </em>We agreed to terminate all proceedings relating to the dispute after receipt of the final payment. We expect to receive, on a pretax basis, a total of approximately $465 million after related legal fees, which was recognized as income associated with the Albemarle Settlement, net in our consolidated statements of operations.</p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left;"><b>Share Repurchase Program</b></p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;">On <em style="font: inherit;"> October 26, 2021, </em>our Board of Directors approved a new share repurchase program of $1 billion. In conjunction with the inception of this new share repurchase program, we retired our prior share repurchase program. See “Note <em style="font: inherit;">22.</em> Huntsman Corporation Stockholders’ Equity—Share Repurchase Program.”</p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left; text-indent: 36pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-align: left;"><b>Other Significant Developments During <em style="font: inherit;">2021</em></b></p> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <p style="font-family: &quot;Times New Roman&quot;; font-size: 10pt; font-variant: normal; margin: 0pt; text-indent: 36pt; text-align: left;">Other significant developments that occurred during <em style="font: inherit;">2021</em> were as follows:</p> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="vertical-align: top; width: 5%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">●</p> </td><td style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">On <em style="font: inherit;"> July 1, 2021, </em>we entered into amendments to our A/R Programs that, among other things, extended the scheduled termination dates of our A/R Programs from <em style="font: inherit;"> April 2022 </em>to <em style="font: inherit;"> July 2024. </em>For additional information, see “Note <em style="font: inherit;">14.</em> Debt—Direct and Subsidiary Debt—A/R Programs.”</p> </td></tr> </tbody></table> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="vertical-align: top; width: 5%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">●</p> </td><td style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">On <em style="font: inherit;"> May 26, 2021, </em>Huntsman International completed a $400 million offering of its <em style="font: inherit;">2031</em> Senior Notes. On <em style="font: inherit;"> June 23, 2021, </em>Huntsman International applied the net proceeds from the offering, along with cash on hand, to redeem in full $400 million in aggregate principal amount of its <em style="font: inherit;">2022</em> Senior Notes and to pay accrued but unpaid interest of approximately $2 million. In addition, we paid redemption premiums and related fees and expenses of approximately $25 million and recognized a corresponding loss on early extinguishment of debt of $26 million in the <em style="font: inherit;">second</em> quarter of <em style="font: inherit;">2021.</em> For additional information, see “Note <em style="font: inherit;">14.</em> Debt—Direct and Subsidiary Debt—Senior Notes.”</p> </td></tr> </tbody></table> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="vertical-align: top; width: 5%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">●</p> </td><td style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">On <em style="font: inherit;"> November 3, 2020, </em>we completed the sale of the DIY business, part of our Advanced Materials segment to Pidilite Industries Ltd. and received cash of approximately $257 million. In the <em style="font: inherit;">second</em> quarter of <em style="font: inherit;">2021,</em> we received a full payment of $28 million pursuant to an earnout provision based on the DIY business’s achievement, within <em style="font: inherit;">18</em> months, of certain sales revenue targets in line with its <em style="font: inherit;">2019</em> performance. As a result, we recognized an additional pretax gain of $28 million in the <em style="font: inherit;">second</em> quarter of <em style="font: inherit;">2021,</em> which was recorded in gain on sale of India-based DIY business in our consolidated statements of operations.</p> </td></tr> </tbody></table> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="vertical-align: top; width: 5%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">●</p> </td><td style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">On <em style="font: inherit;"> January 15, 2021, </em>we completed the Gabriel Acquisition from funds affiliated with Audax Private Equity in an all-cash transaction of approximately $249 million, subject to customary closing adjustments, funded from available liquidity. The acquired business is being integrated into our Advanced Materials segment. See “Note <em style="font: inherit;">3.</em> Business Combinations and Acquisitions—Acquisition of Gabriel Performance Products.”</p> </td></tr> </tbody></table> <p style="font-family:'Times New Roman';font-size:10pt;font-variant:normal;margin:0pt;"> </p> <table cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="vertical-align: top; width: 5%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">●</p> </td><td style="vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <p style="font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; font-variant: normal; margin: 0pt;">On <em style="font: inherit;"> January 15, 2021, </em>we redeemed in full <span style="-sec-ix-hidden:c80507905">€445</span> 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. In connection with this redemption, we incurred an incremental cash tax liability of approximately $15 million in the <em style="font: inherit;">first</em> quarter of <em style="font: inherit;">2021</em> related to foreign currency exchange gains. See “Note <em style="font: inherit;">14.</em> Debt—Direct and Subsidiary Debt—Senior Notes.”</p> </td></tr> </tbody></table> <p style="font-family: &quot;Times New Roman&quot;, 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 cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="width: 5%; vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <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; width: 89%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <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> 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 cellpadding="0" cellspacing="0" style="width: 100%; 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: 6%; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> </td><td style="width: 5%; vertical-align: top; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt;"> <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; font-family: &quot;Times New Roman&quot;, Times, serif; font-size: 10pt; width: 89%;"> <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.</p> </td></tr> </tbody></table> <p style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0pt; margin-bottom: 0pt;"> </p>
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