Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATING FINANCIAL INFORMATION OF HUNTSMAN INTERNATIONAL LLC

v3.5.0.2
CONDENSED CONSOLIDATING FINANCIAL INFORMATION OF HUNTSMAN INTERNATIONAL LLC
6 Months Ended
Jun. 30, 2016
CONDENSED CONSOLIDATING FINANCIAL INFORMATION OF HUNTSMAN INTERNATIONAL LLC  
CONDENSED CONSOLIDATING FINANCIAL INFORMATION OF HUNTSMAN INTERNATIONAL LLC

 

18. CONDENSED CONSOLIDATING FINANCIAL INFORMATION OF HUNTSMAN INTERNATIONAL LLC

        The following unaudited condensed consolidating financial statements present, in separate columns, financial information for the following: Huntsman International (on a parent only basis), with its investment in subsidiaries recorded under the equity method; the Guarantors on a combined, and where appropriate, consolidated basis; and the Nonguarantors on a combined, and where appropriate, consolidated basis. Additional columns present eliminating adjustments and consolidated totals as of June 30, 2016 and December 31, 2015 and for the three and six months ended June 30, 2016 and 2015. There are no contractual restrictions limiting transfers of cash from the Guarantors to Huntsman International. Each of the Guarantors is 100% owned by Huntsman International and has fully and unconditionally guaranteed, subject to certain customary release provisions, Huntsman International's outstanding notes on a joint and several basis.

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING BALANCE SHEETS
AS OF JUNE 30, 2016
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

111

 

$

1

 

$

261

 

$

 

$

373

 

Restricted cash

 

 

 

 

 

 

10

 

 

 

 

10

 

Accounts and notes receivable, net

 

 

31

 

 

114

 

 

1,383

 

 

4

 

 

1,532

 

Accounts receivable from affiliates

 

 

1,709

 

 

4,595

 

 

160

 

 

(6,135

)

 

329

 

Inventories

 

 

97

 

 

286

 

 

1,143

 

 

(4

)

 

1,522

 

Prepaid expenses

 

 

21

 

 

8

 

 

36

 

 

(11

)

 

54

 

Other current assets

 

 

822

 

 

5

 

 

183

 

 

(731

)

 

279

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current assets

 

 

2,791

 

 

5,009

 

 

3,176

 

 

(6,877

)

 

4,099

 

Property, plant and equipment, net

 

 

454

 

 

1,433

 

 

2,459

 

 

1

 

 

4,347

 

Investment in unconsolidated affiliates

 

 

6,044

 

 

1,714

 

 

255

 

 

(7,678

)

 

335

 

Intangible assets, net

 

 

30

 

 

3

 

 

65

 

 

 

 

98

 

Goodwill

 

 

(13

)

 

82

 

 

54

 

 

 

 

123

 

Deferred income taxes

 

 

473

 

 

 

 

419

 

 

(485

)

 

407

 

Notes receivable from affiliates

 

 

37

 

 

548

 

 

 

 

(585

)

 

 

Other noncurrent assets

 

 

71

 

 

215

 

 

311

 

 

(1

)

 

596

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total assets

 

$

9,887

 

$

9,004

 

$

6,739

 

$

(15,625

)

$

10,005

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

44

 

$

167

 

$

748

 

$

4

 

$

963

 

Accounts payable to affiliates

 

 

3,507

 

 

871

 

 

1,814

 

 

(6,135

)

 

57

 

Accrued liabilities

 

 

71

 

 

803

 

 

467

 

 

(742

)

 

599

 

Note payable to affiliate

 

 

100

 

 

 

 

 

 

 

 

100

 

Current portion of debt

 

 

26

 

 

 

 

70

 

 

 

 

96

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current liabilities

 

 

3,748

 

 

1,841

 

 

3,099

 

 

(6,873

)

 

1,815

 

Long-term debt

 

 

4,272

 

 

 

 

381

 

 

 

 

4,653

 

Notes payable to affiliates

 

 

696

 

 

 

 

586

 

 

(585

)

 

697

 

Deferred income taxes

 

 

24

 

 

307

 

 

49

 

 

82

 

 

462

 

Other noncurrent liabilities

 

 

160

 

 

267

 

 

785

 

 

 

 

1,212

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities

 

 

8,900

 

 

2,415

 

 

4,900

 

 

(7,376

)

 

8,839

 

Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Huntsman International LLC members' equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Members' equity

 

 

3,209

 

 

4,505

 

 

3,449

 

 

(7,954

)

 

3,209

 

Accumulated (deficit) income

 

 

(901

)

 

642

 

 

(455

)

 

(187

)

 

(901

)

Accumulated other comprehensive (loss) income

 

 

(1,321

)

 

1,442

 

 

(1,311

)

 

(131

)

 

(1,321

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total Huntsman International LLC members' equity

 

 

987

 

 

6,589

 

 

1,683

 

 

(8,272

)

 

987

 

Noncontrolling interests in subsidiaries

 

 

 

 

 

 

156

 

 

23

 

 

179

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total equity

 

 

987

 

 

6,589

 

 

1,839

 

 

(8,249

)

 

1,166

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities and equity

 

$

9,887

 

$

9,004

 

$

6,739

 

$

(15,625

)

$

10,005

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING BALANCE SHEETS
AS OF DECEMBER 31, 2015
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

44

 

$

1

 

$

212

 

$

 

$

257

 

Restricted cash

 

 

 

 

 

 

12

 

 

 

 

12

 

Accounts and notes receivable, net

 

 

21

 

 

96

 

 

1,298

 

 

5

 

 

1,420

 

Accounts receivable from affiliates

 

 

2,163

 

 

4,730

 

 

163

 

 

(6,716

)

 

340

 

Inventories

 

 

101

 

 

322

 

 

1,275

 

 

(6

)

 

1,692

 

Prepaid expenses

 

 

49

 

 

31

 

 

91

 

 

(60

)

 

111

 

Other current assets

 

 

790

 

 

8

 

 

212

 

 

(704

)

 

306

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current assets

 

 

3,168

 

 

5,188

 

 

3,263

 

 

(7,481

)

 

4,138

 

Property, plant and equipment, net

 

 

473

 

 

1,433

 

 

2,503

 

 

1

 

 

4,410

 

Investment in unconsolidated affiliates

 

 

5,991

 

 

1,558

 

 

263

 

 

(7,465

)

 

347

 

Intangible assets, net

 

 

32

 

 

3

 

 

51

 

 

 

 

86

 

Goodwill

 

 

(13

)

 

82

 

 

47

 

 

 

 

116

 

Deferred income taxes

 

 

473

 

 

 

 

430

 

 

(485

)

 

418

 

Notes receivable from affiliates

 

 

36

 

 

539

 

 

6

 

 

(581

)

 

 

Other noncurrent assets

 

 

71

 

 

223

 

 

279

 

 

 

 

573

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total assets

 

$

10,231

 

$

9,026

 

$

6,842

 

$

(16,011

)

$

10,088

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

50

 

$

207

 

$

772

 

$

5

 

$

1,034

 

Accounts payable to affiliates

 

 

3,905

 

 

973

 

 

1,891

 

 

(6,717

)

 

52

 

Accrued liabilities

 

 

74

 

 

793

 

 

581

 

 

(765

)

 

683

 

Note payable to affiliate

 

 

100

 

 

 

 

 

 

 

 

100

 

Current portion of debt

 

 

89

 

 

 

 

81

 

 

 

 

170

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current liabilities

 

 

4,218

 

 

1,973

 

 

3,325

 

 

(7,477

)

 

2,039

 

Long-term debt

 

 

4,229

 

 

 

 

396

 

 

 

 

4,625

 

Notes payable to affiliates

 

 

703

 

 

 

 

576

 

 

(581

)

 

698

 

Deferred income taxes

 

 

24

 

 

276

 

 

36

 

 

82

 

 

418

 

Other noncurrent liabilities

 

 

160

 

 

241

 

 

819

 

 

4

 

 

1,224

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities

 

 

9,334

 

 

2,490

 

 

5,152

 

 

(7,972

)

 

9,004

 

Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Huntsman International LLC members' equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Members' equity

 

 

3,196

 

 

4,517

 

 

3,394

 

 

(7,911

)

 

3,196

 

Accumulated (deficit) income

 

 

(983

)

 

652

 

 

(557

)

 

(95

)

 

(983

)

Accumulated other comprehensive (loss) income

 

 

(1,316

)

 

1,367

 

 

(1,311

)

 

(56

)

 

(1,316

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total Huntsman International LLC members' equity

 

 

897

 

 

6,536

 

 

1,526

 

 

(8,062

)

 

897

 

Noncontrolling interests in subsidiaries

 

 

 

 

 

 

164

 

 

23

 

 

187

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total equity

 

 

897

 

 

6,536

 

 

1,690

 

 

(8,039

)

 

1,084

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities and equity

 

$

10,231

 

$

9,026

 

$

6,842

 

$

(16,011

)

$

10,088

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME (LOSS)
THREE MONTHS ENDED JUNE 30, 2016
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

272

 

$

623

 

$

1,617

 

$

 

$

2,512

 

Related party sales

 

 

41

 

 

106

 

 

279

 

 

(394

)

 

32

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

313

 

 

729

 

 

1,896

 

 

(394

)

 

2,544

 

Cost of goods sold

 

 

237

 

 

610

 

 

1,634

 

 

(395

)

 

2,086

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

76

 

 

119

 

 

262

 

 

1

 

 

458

 

Selling, general and administrative

 

 

44

 

 

36

 

 

154

 

 

 

 

234

 

Research and development

 

 

11

 

 

11

 

 

17

 

 

 

 

39

 

Other operating income

 

 

(4

)

 

(10

)

 

(7

)

 

 

 

(21

)

Restructuring, impairment and plant closing costs

 

 

3

 

 

15

 

 

11

 

 

 

 

29

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income

 

 

22

 

 

67

 

 

87

 

 

1

 

 

177

 

Interest (expense) income

 

 

(57

)

 

9

 

 

(5

)

 

 

 

(53

)

Equity in (loss) income of investment in affiliates and subsidiaries

 

 

(107

)

 

59

 

 

2

 

 

48

 

 

2

 

Loss on early extinguishment of debt

 

 

(2

)

 

 

 

 

 

 

 

(2

)

Dividend income

 

 

216

 

 

 

 

 

 

(216

)

 

 

 

Other (loss) income

 

 

(1

)

 

8

 

 

(6

)

 

 

 

1

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations before income taxes

 

 

71

 

 

143

 

 

78

 

 

(167

)

 

125

 

Income tax benefit (expense)

 

 

15

 

 

(30

)

 

(16

)

 

 

 

(31

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations

 

 

86

 

 

113

 

 

62

 

 

(167

)

 

94

 

Loss from discontinued operations, net of tax

 

 

 

 

(1

)

 

 

 

 

 

(1

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

 

86

 

 

112

 

 

62

 

 

(167

)

 

93

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(3

)

 

(4

)

 

(7

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income attributable to Huntsman International LLC

 

$

86

 

$

112

 

$

59

 

$

(171

)

$

86

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

$

86

 

$

112

 

$

62

 

$

(167

)

$

93

 

Other comprehensive (loss) income

 

 

(35

)

 

21

 

 

(47

)

 

24

 

 

(37

)

Comprehensive income attributable to noncontrolling interests

 

 

 

 

 

 

(1

)

 

(4

)

 

(5

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Comprehensive income attributable to Huntsman International LLC

 

$

51

 

$

133

 

$

14

 

$

(147

)

$

51

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME (LOSS)
THREE MONTHS ENDED JUNE 30, 2015
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

268

 

$

658

 

$

1,771

 

$

 

$

2,697

 

Related party sales

 

 

71

 

 

137

 

 

290

 

 

(455

)

 

43

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

339

 

 

795

 

 

2,061

 

 

(455

)

 

2,740

 

Cost of goods sold

 

 

258

 

 

594

 

 

1,796

 

 

(457

)

 

2,191

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

81

 

 

201

 

 

265

 

 

2

 

 

549

 

Selling, general and administrative

 

 

39

 

 

56

 

 

153

 

 

 

 

248

 

Research and development

 

 

11

 

 

12

 

 

18

 

 

 

 

41

 

Other operating (income) expense

 

 

(1

)

 

(11

)

 

10

 

 

 

 

(2

)

Restructuring, impairment and plant closing costs

 

 

1

 

 

4

 

 

109

 

 

 

 

114

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income (loss)

 

 

31

 

 

140

 

 

(25

)

 

2

 

 

148

 

Interest (expense) income

 

 

(56

)

 

8

 

 

(8

)

 

 

 

(56

)

Equity in income (loss) of investment in affiliates and subsidiaries

 

 

73

 

 

(23

)

 

3

 

 

(50

)

 

3

 

Loss on early extinguishment of debt

 

 

(20

)

 

 

 

 

 

 

 

(20

)

Other (loss) income

 

 

 

 

(1

)

 

2

 

 

(1

)

 

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income (loss) from continuing operations before income taxes

 

 

28

 

 

124

 

 

(28

)

 

(49

)

 

75

 

Income tax benefit (expense)

 

 

2

 

 

(49

)

 

13

 

 

 

 

(34

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income (loss) from continuing operations

 

 

30

 

 

75

 

 

(15

)

 

(49

)

 

41

 

Loss from discontinued operations, net of tax

 

 

(1

)

 

(1

)

 

 

 

 

 

(2

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss)

 

 

29

 

 

74

 

 

(15

)

 

(49

)

 

39

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(5

)

 

(5

)

 

(10

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss) attributable to Huntsman International LLC

 

$

29

 

$

74

 

$

(20

)

$

(54

)

$

29

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss)

 

$

29

 

$

74

 

$

(15

)

$

(49

)

$

39

 

Other comprehensive income

 

 

58

 

 

109

 

 

55

 

 

(162

)

 

60

 

Comprehensive income attributable to noncontrolling interests

 

 

 

 

 

 

(7

)

 

(5

)

 

(12

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Comprehensive income attributable to Huntsman International LLC

 

$

87

 

$

183

 

$

33

 

$

(216

)

$

87

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME (LOSS)
SIX MONTHS ENDED JUNE 30, 2016
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

523

 

$

1,189

 

$

3,121

 

$

 

$

4,833

 

Related party sales

 

 

94

 

 

210

 

 

548

 

 

(786

)

 

66

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

617

 

 

1,399

 

 

3,669

 

 

(786

)

 

4,899

 

Cost of goods sold

 

 

477

 

 

1,158

 

 

3,177

 

 

(788

)

 

4,024

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

140

 

 

241

 

 

492

 

 

2

 

 

875

 

Selling, general and administrative

 

 

84

 

 

82

 

 

289

 

 

 

 

455

 

Research and development

 

 

22

 

 

22

 

 

32

 

 

 

 

76

 

Other operating expense (income)

 

 

8

 

 

(17

)

 

(7

)

 

 

 

(16

)

Restructuring, impairment and plant closing costs

 

 

3

 

 

19

 

 

20

 

 

 

 

42

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income

 

 

23

 

 

135

 

 

158

 

 

2

 

 

318

 

Interest (expense) income

 

 

(111

)

 

17

 

 

(12

)

 

 

 

(106

)

Equity in (loss) income of investment in affiliates and subsidiaries

 

 

(15

)

 

103

 

 

3

 

 

(88

)

 

3

 

Loss on early extinguishment of debt

 

 

(2

)

 

 

 

 

 

 

 

(2

)

Dividend income

 

 

216

 

 

 

 

 

 

(216

)

 

 

Other income (loss)

 

 

 

 

8

 

 

(6

)

 

 

 

2

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations before income taxes

 

 

111

 

 

263

 

 

143

 

 

(302

)

 

215

 

Income tax benefit (expense)

 

 

30

 

 

(56

)

 

(32

)

 

 

 

(58

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations

 

 

141

 

 

207

 

 

111

 

 

(302

)

 

157

 

Income (loss) from discontinued operations, net of tax

 

 

1

 

 

(1

)

 

(2

)

 

 

 

(2

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

 

142

 

 

206

 

 

109

 

 

(302

)

 

155

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(6

)

 

(7

)

 

(13

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income attributable to Huntsman International LLC

 

$

142

 

$

206

 

$

103

 

$

(309

)

$

142

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

$

142

 

$

206

 

$

109

 

$

(302

)

$

155

 

Other comprehensive (loss) income

 

 

(5

)