Annual report pursuant to Section 13 and 15(d)

CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL

v3.6.0.2
CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL
12 Months Ended
Dec. 31, 2016
Huntsman International  
CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL  
CONDENSED CONSOLIDATING FINANCIAL INFORMATION - HUNTSMAN INTERNATIONAL

27. CONDENSED CONSOLIDATING FINANCIAL INFORMATION—HUNTSMAN INTERNATIONAL

        The following 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 December 31, 2016 and 2015 and for the years ended December 31, 2016, 2015 and 2014. There are no contractual restrictions limiting transfers of cash from Guarantor subsidiaries to Huntsman International. Each of the Guarantors is 100% owned by Huntsman International and has fully and unconditionally guaranteed Huntsman International's outstanding notes on a joint and several basis. In connection with the financing of the Rockwood Acquisition, we added four new guarantor entities.

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING BALANCE SHEETS
AS OF DECEMBER 31, 2016
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

37

 

$

 

$

376

 

$

 

$

413

 

Restricted cash

 

 

 

 

 

 

11

 

 

 

 

11

 

Accounts and notes receivable, net

 

 

22

 

 

106

 

 

1,269

 

 

5

 

 

1,402

 

Accounts receivable from affiliates

 

 

1,351

 

 

4,672

 

 

315

 

 

(5,991

)

 

347

 

Inventories

 

 

85

 

 

285

 

 

976

 

 

(2

)

 

1,344

 

Prepaid expenses

 

 

68

 

 

144

 

 

43

 

 

(195

)

 

60

 

Other current assets

 

 

820

 

 

5

 

 

185

 

 

(724

)

 

286

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current assets

 

 

2,383

 

 

5,212

 

 

3,175

 

 

(6,907

)

 

3,863

 

Property, plant and equipment, net

 

 

463

 

 

1,422

 

 

2,305

 

 

 

 

4,190

 

Investment in unconsolidated affiliates

 

 

5,870

 

 

1,533

 

 

248

 

 

(7,319

)

 

332

 

Intangible assets, net

 

 

28

 

 

3

 

 

35

 

 

 

 

66

 

Goodwill

 

 

(12

)

 

82

 

 

51

 

 

 

 

121

 

Deferred income taxes

 

 

515

 

 

 

 

408

 

 

(527

)

 

396

 

Notes receivable from affiliates

 

 

37

 

 

530

 

 

 

 

(567

)

 

 

Other noncurrent assets

 

 

74

 

 

188

 

 

245

 

 

 

 

507

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total assets

 

$

9,358

 

$

8,970

 

$

6,467

 

$

(15,320

)

$

9,475

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

63

 

$

186

 

$

816

 

$

5

 

$

1,070

 

Accounts payable to affiliates

 

 

3,667

 

 

912

 

 

1,478

 

 

(5,991

)

 

66

 

Accrued liabilities

 

 

87

 

 

807

 

 

640

 

 

(921

)

 

613

 

Note payable to affiliate

 

 

100

 

 

 

 

 

 

 

 

100

 

Current portion of debt

 

 

30

 

 

 

 

30

 

 

 

 

60

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total current liabilities

 

 

3,947

 

 

1,905

 

 

2,964

 

 

(6,907

)

 

1,909

 

Long-term debt

 

 

3,763

 

 

 

 

372

 

 

 

 

4,135

 

Notes payable to affiliates

 

 

696

 

 

 

 

568

 

 

(567

)

 

697

 

Deferred income taxes

 

 

22

 

 

311

 

 

21

 

 

69

 

 

423

 

Other noncurrent liabilities

 

 

174

 

 

314

 

 

887

 

 

 

 

1,375

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities

 

 

8,602

 

 

2,530

 

 

4,812

 

 

(7,405

)

 

8,539

 

Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Huntsman International LLC members' equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Members' equity

 

 

3,226

 

 

4,568

 

 

3,390

 

 

(7,958

)

 

3,226

 

Accumulated (deficit) income

 

 

(779

)

 

872

 

 

(239

)

 

(633

)

 

(779

)

Accumulated other comprehensive (loss) income

 

 

(1,691

)

 

1,000

 

 

(1,654

)

 

654

 

 

(1,691

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total Huntsman International LLC members' equity

 

 

756

 

 

6,440

 

 

1,497

 

 

(7,937

)

 

756

 

Noncontrolling interests in subsidiaries

 

 

 

 

 

 

158

 

 

22

 

 

180

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total equity

 

 

756

 

 

6,440

 

 

1,655

 

 

(7,915

)

 

936

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total liabilities and equity

 

$

9,358

 

$

8,970

 

$

6,467

 

$

(15,320

)

$

9,475

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

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 LOSS
YEAR ENDED DECEMBER 31, 2016
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

1,048

 

$

2,272

 

$

6,206

 

$

 

$

9,526

 

Related party sales

 

 

201

 

 

386

 

 

1,094

 

 

(1,550

)

 

131

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

1,249

 

 

2,658

 

 

7,300

 

 

(1,550

)

 

9,657

 

Cost of goods sold

 

 

984

 

 

2,292

 

 

6,251

 

 

(1,552

)

 

7,975

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

265

 

 

366

 

 

1,049

 

 

2

 

 

1,682

 

Selling, general and administrative

 

 

156

 

 

163

 

 

597

 

 

 

 

916

 

Research and development

 

 

48

 

 

43

 

 

61

 

 

 

 

152

 

Restructuring, impairment and plant closing costs

 

 

6

 

 

33

 

 

42

 

 

 

 

81

 

Spin-off separation expenses

 

 

16

 

 

 

 

2

 

 

 

 

18

 

Other operating income, net

 

 

(24

)

 

(28

)

 

(88

)

 

 

 

(140

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income

 

 

63

 

 

155

 

 

435

 

 

2

 

 

655

 

Interest (expense) income

 

 

(218

)

 

29

 

 

(25

)

 

 

 

(214

)

Equity in income of investment in affiliates and subsidiaries

 

 

183

 

 

321

 

 

5

 

 

(504

)

 

5

 

Loss on early extinguishment of debt

 

 

(4

)

 

 

 

1

 

 

 

 

(3

)

Dividend income

 

 

217

 

 

 

 

 

 

(217

)

 

 

Other income (loss), net

 

 

 

 

8

 

 

(7

)

 

 

 

1

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations before income taxes

 

 

241

 

 

513

 

 

409

 

 

(719

)

 

444

 

Income tax benefit (expense)

 

 

81

 

 

(70

)

 

(69

)

 

(28

)

 

(86

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations

 

 

322

 

 

443

 

 

340

 

 

(747

)

 

358

 

Income (loss) from discontinued operations, net of tax

 

 

1

 

 

(2

)

 

(3

)

 

 

 

(4

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

 

323

 

 

441

 

 

337

 

 

(747

)

 

354

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(17

)

 

(14

)

 

(31

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income attributable to Huntsman International LLC

 

$

323

 

$

441

 

$

320

 

$

(761

)

$

323

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income

 

$

323

 

$

441

 

$

337

 

$

(747

)

$

354

 

Other comprehensive loss

 

 

(374

)

 

(366

)

 

(347

)

 

704

 

 

(383

)

Comprehensive income attributable to noncontrolling interests

 

 

 

 

 

 

(11

)

 

(12

)

 

(23

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Comprehensive (loss) income attributable to Huntsman International LLC

 

$

(51

)

$

75

 

$

(21

)

$

(55

)

$

(52

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS
AND COMPREHENSIVE LOSS
YEAR ENDED DECEMBER 31, 2015
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

1,054

 

$

2,478

 

$

6,636

 

$

 

$

10,168

 

Related party sales

 

 

238

 

 

470

 

 

1,062

 

 

(1,639

)

 

131

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

1,292

 

 

2,948

 

 

7,698

 

 

(1,639

)

 

10,299

 

Cost of goods sold

 

 

1,026

 

 

2,341

 

 

6,717

 

 

(1,637

)

 

8,447

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

266

 

 

607

 

 

981

 

 

(2

)

 

1,852

 

Selling, general and administrative

 

 

172

 

 

174

 

 

631

 

 

 

 

977

 

Research and development

 

 

54

 

 

45

 

 

61

 

 

 

 

160

 

Restructuring, impairment and plant closing costs

 

 

7

 

 

12

 

 

283

 

 

 

 

302

 

Other operating (income) expense, net

 

 

(27

)

 

(29

)

 

56

 

 

 

 

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income (loss)

 

 

60

 

 

405

 

 

(50

)

 

(2

)

 

413

 

Interest (expense) income

 

 

(220

)

 

35

 

 

(29

)

 

 

 

(214

)

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

 

 

169

 

 

(57

)

 

5

 

 

(111

)

 

6

 

Loss on early extinguishment of debt

 

 

(31

)

 

 

 

 

 

 

 

(31

)

Other income (loss), net

 

 

2

 

 

(12

)

 

13

 

 

(1

)

 

2

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

(Loss) income from continuing operations before income taxes

 

 

(20

)

 

371

 

 

(61

)

 

(114

)

 

176

 

Income tax benefit (expense)

 

 

113

 

 

(123

)

 

24

 

 

(59

)

 

(45

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income (loss) from continuing operations

 

 

93

 

 

248

 

 

(37

)

 

(173

)

 

131

 

Income (loss) from discontinued operations, net of tax

 

 

1

 

 

(2

)

 

(3

)

 

 

 

(4

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss)

 

 

94

 

 

246

 

 

(40

)

 

(173

)

 

127

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(22

)

 

(11

)

 

(33

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss) attributable to Huntsman International LLC

 

$

94

 

$

246

 

$

(62

)

$

(184

)

$

94

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss)

 

$

94

 

$

246

 

$

(40

)

$

(173

)

$

127

 

Other comprehensive loss

 

 

(229

)

 

(35

)

 

(248

)

 

278

 

 

(234

)

Comprehensive income attributable to noncontrolling interests

 

 

 

 

 

 

(13

)

 

(15

)

 

(28

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Comprehensive (loss) income attributable to Huntsman International LLC

 

$

(135

)

$

211

 

$

(301

)

$

90

 

$

(135

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

HUNTSMAN INTERNATIONAL LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS
AND COMPREHENSIVE LOSS
YEAR ENDED DECEMBER 31, 2014
(In Millions)

                                                                                                                                                                                    

 

 

Parent
Company

 

Guarantors

 

Nonguarantors

 

Eliminations

 

Consolidated
Huntsman
International
LLC

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade sales, services and fees, net

 

$

1,194

 

$

3,164

 

$

6,959

 

$

 

$

11,317

 

Related party sales

 

 

299

 

 

511

 

 

1,377

 

 

(1,926

)

 

261

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Total revenues

 

 

1,493

 

 

3,675

 

 

8,336

 

 

(1,926

)

 

11,578

 

Cost of goods sold

 

 

1,222

 

 

2,909

 

 

7,451

 

 

(1,931

)

 

9,651

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Gross profit

 

 

271

 

 

766

 

 

885

 

 

5

 

 

1,927

 

Selling, general and administrative

 

 

164

 

 

163

 

 

642

 

 

 

 

969

 

Research and development

 

 

48

 

 

40

 

 

70

 

 

 

 

158

 

Restructuring, impairment and plant closing costs

 

 

7

 

 

5

 

 

146

 

 

 

 

158

 

Other operating (income) expense, net

 

 

(7

)

 

(8

)

 

11

 

 

 

 

(4

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Operating income

 

 

59

 

 

566

 

 

16

 

 

5

 

 

646

 

Interest (expense) income

 

 

(204

)

 

37

 

 

(47

)

 

 

 

(214

)

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

 

 

186

 

 

(51

)

 

6

 

 

(135

)

 

6

 

Loss on early extinguishment of debt

 

 

(28

)

 

 

 

 

 

 

 

(28

)

Other income (loss), net

 

 

3

 

 

(5

)

 

3

 

 

(2

)

 

(1

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income (loss) from continuing operations before income taxes

 

 

16

 

 

547

 

 

(22

)

 

(132

)

 

409

 

Income tax benefit (expense)

 

 

318

 

 

(202

)

 

(2

)

 

(157

)

 

(43

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Income from continuing operations

 

 

334

 

 

345

 

 

(24

)

 

(289

)

 

366

 

Income (loss) from discontinued operations, net of tax

 

 

1

 

 

 

 

(10

)

 

 

 

(9

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss)

 

 

335

 

 

345

 

 

(34

)

 

(289

)

 

357

 

Net income attributable to noncontrolling interests

 

 

 

 

 

 

(18

)

 

(4

)

 

(22

)

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

Net income (loss) attributable to Huntsman International LLC

 

$

335

 

$

345

 

$

(52

)

$

(293

)

$

335

 

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​  

​