Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | Apr. 29, 2020 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-34726 | |
Entity Registrant Name | LYONDELLBASELL INDUSTRIES N.V. | |
Entity Incorporation, State or Country Code | P7 | |
Entity Tax Identification Number | 98-0646235 | |
Title of 12(b) Security | Ordinary Shares, €0.04 Par Value | |
Trading Symbol | LYB | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 333,706,244 | |
Entity Central Index Key | 0001489393 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Addresses [Line Items] | ||
Entity Address, Address Line One | 1221 McKinney St., | |
Entity Address, Address Line Two | Suite 300 | |
Entity Address, City or Town | Houston, | |
Entity Address, State or Province | TX | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 77010 | |
City Area Code | (713) | |
Local Phone Number | 309-7200 | |
United Kingdom [Member] | ||
Entity Addresses [Line Items] | ||
Entity Address, Address Line One | 4th Floor, One Vine Street | |
Entity Address, City or Town | London | |
Entity Address, Country | GB | |
Entity Address, Postal Zip Code | W1J0AH | |
Country Region | +44 (0) | |
City Area Code | 207 | |
Local Phone Number | 220 2600 | |
Netherlands [Member] | ||
Entity Addresses [Line Items] | ||
Entity Address, Address Line One | Delftseplein 27E | |
Entity Address, City or Town | Rotterdam | |
Entity Address, Country | NL | |
Entity Address, Postal Zip Code | 3013AA | |
Country Region | +31 (0) | |
City Area Code | 10 | |
Local Phone Number | 2755 500 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Sales and other operating revenues: | ||
Trade | $ 7,303 | $ 8,565 |
Related parties | 191 | 213 |
Sales revenue, net | 7,494 | 8,778 |
Operating costs and expenses: | ||
Cost of sales | 6,868 | 7,446 |
Selling, general and administrative expenses | 295 | 287 |
Research and development expenses | 27 | 28 |
Costs and expenses | 7,190 | 7,761 |
Operating income | 304 | 1,017 |
Interest expense | (89) | (92) |
Interest income | 3 | 6 |
Other income, net | 0 | 25 |
Income from continuing operations before equity investments and income taxes | 218 | 956 |
Income from equity investments | 0 | 64 |
Income from continuing operations before income taxes | 218 | 1,020 |
Provision for income taxes | 75 | 203 |
Income from continuing operations | 143 | 817 |
Income from discontinued operations, net of tax | 1 | 0 |
Net income | 144 | 817 |
Dividends on redeemable non-controlling interests | (2) | (2) |
Net income attributable to the Company shareholders | $ 142 | $ 815 |
Net income attributable to the Company shareholders - Basic: | ||
Continuing operations (in dollars per share) | $ 0.42 | $ 2.19 |
Discontinued operations (in dollars per share) | 0 | 0 |
Basic (in dollars per share) | 0.42 | 2.19 |
Net income attributable to the Company shareholders - Diluted: | ||
Continuing operations (in dollars per share) | 0.42 | 2.19 |
Discontinued operations (in dollars per share) | 0 | 0 |
Diluted (in dollars per share) | $ 0.42 | $ 2.19 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Net income | $ 144 | $ 817 |
Other comprehensive income (loss), net of tax – | ||
Financial derivatives | (338) | (50) |
Unrealized losses on available-for-sale debt securities | (2) | 0 |
Defined benefit pension and other postretirement benefit plans | 10 | 5 |
Foreign currency translations | (199) | (10) |
Total other comprehensive loss, net of tax | (529) | (55) |
Comprehensive income (loss) | (385) | 762 |
Dividends on redeemable non-controlling interests | (2) | (2) |
Comprehensive income (loss) attributable to the Company shareholders | $ (387) | $ 760 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 1,596 | $ 858 |
Restricted cash | 37 | 30 |
Short-term investments | 199 | 196 |
Accounts receivable: | ||
Trade, net | 2,885 | 2,981 |
Related parties | 158 | 121 |
Inventories | 3,973 | 4,588 |
Prepaid expenses and other current assets | 844 | 736 |
Total current assets | 9,692 | 9,510 |
Operating lease assets | 1,453 | 1,468 |
Property, plant and equipment, at cost | 21,664 | 21,260 |
Less: Accumulated depreciation | (7,277) | (7,130) |
Property, plant and equipment, net | 14,387 | 14,130 |
Investments and long-term receivables: | ||
Investment in PO joint ventures | 497 | 504 |
Equity investments | 1,539 | 1,602 |
Other investments and long-term receivables | 22 | 22 |
Goodwill | 1,800 | 1,891 |
Intangible assets, net | 808 | 869 |
Other assets | 902 | 439 |
Total assets | 31,100 | 30,435 |
Current liabilities: | ||
Current maturities of long-term debt | 3 | 3 |
Short-term debt | 1,493 | 445 |
Accounts payable: | ||
Trade | 2,217 | 2,516 |
Related parties | 421 | 412 |
Accrued liabilities | 1,387 | 1,822 |
Total current liabilities | 5,521 | 5,198 |
Long-term debt | 12,159 | 11,614 |
Operating lease liabilities | 1,192 | 1,216 |
Other liabilities | 2,808 | 2,213 |
Deferred income taxes | 1,961 | 2,015 |
Commitments and contingencies | ||
Redeemable non-controlling interests | 116 | 116 |
Shareholders’ equity: | ||
Ordinary shares, €0.04 par value, 1,275 million shares authorized, 333,703,450 and 333,476,883 shares outstanding, respectively | 19 | 19 |
Additional paid-in capital | 5,950 | 5,954 |
Retained earnings | 4,227 | 4,435 |
Accumulated other comprehensive loss | (2,313) | (1,784) |
Treasury stock, at cost, 6,342,178 and 6,568,745 ordinary shares, respectively | (559) | (580) |
Total Company share of shareholders’ equity | 7,324 | 8,044 |
Non-controlling interests | 19 | 19 |
Total equity | 7,343 | 8,063 |
Total liabilities, redeemable non-controlling interests and equity | $ 31,100 | $ 30,435 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - € / shares | Mar. 31, 2020 | Dec. 31, 2019 |
Shareholders’ equity: | ||
Ordinary shares par value (in euros per share) | € 0.04 | € 0.04 |
Ordinary shares, shares authorized (in shares) | 1,275,000,000 | 1,275,000,000 |
Ordinary shares, shares outstanding (in shares) | 333,703,450 | 333,476,883 |
Treasury stock, shares (in shares) | 6,342,178 | 6,568,745 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 144 | $ 817 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 342 | 322 |
Amortization of debt-related costs | 4 | 1 |
Share-based compensation | 16 | 12 |
LCM inventory valuation charge | 419 | 0 |
Equity investments - | ||
Equity income | 0 | (64) |
Distributions of earnings, net of tax | 15 | 25 |
Deferred income taxes | 68 | 46 |
Changes in assets and liabilities that provided (used) cash: | ||
Accounts receivable | 4 | (206) |
Inventories | 121 | (3) |
Accounts payable | (235) | 105 |
Other, net | (356) | (398) |
Net cash provided by operating activities | 542 | 657 |
Cash flows from investing activities: | ||
Expenditures for property, plant and equipment | (660) | (599) |
Proceeds from maturities of available-for-sale debt securities | 0 | 308 |
Proceeds from sales of equity securities | 1 | 162 |
Other, net | (4) | (49) |
Net cash used in investing activities | (663) | (178) |
Cash flows from financing activities: | ||
Repurchases of Company ordinary shares | (4) | (512) |
Dividends paid - common stock | (351) | (372) |
Purchase of non-controlling interest | (30) | (63) |
Issuance of long-term debt | 500 | 0 |
Repayments of long-term debt | 0 | (1,000) |
Issuance of short-term debt | 500 | 2,000 |
Net proceeds from (repayments of) commercial paper | 516 | (559) |
Payments on forward-starting interest rate swaps that include financing elements | (238) | |
Other, net | (9) | (15) |
Net cash provided by (used in) financing activities | 884 | (521) |
Effect of exchange rate changes on cash | (18) | (1) |
Increase (decrease) in cash and cash equivalents and restricted cash | 745 | (43) |
Cash and cash equivalents and restricted cash at beginning of period | 888 | 401 |
Cash and cash equivalents and restricted cash at end of period | $ 1,633 | $ 358 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Millions | Total | Ordinary Shares | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Company Share of Shareholders' Equity | Non-Controlling Interests |
Beginning balance at Dec. 31, 2018 | $ 22 | $ (2,206) | $ 7,041 | $ 6,763 | $ (1,363) | $ 10,257 | $ 23 | |
Net income | $ 817 | 0 | 0 | 0 | 817 | 0 | 817 | 0 |
Other comprehensive loss | (55) | 0 | 0 | 0 | 0 | (55) | (55) | 0 |
Share-based compensation | 0 | 26 | 2 | 0 | 0 | 28 | 0 | |
Dividends - common stock | 0 | 0 | 0 | (372) | 0 | (372) | 0 | |
Dividends - redeemable non-controlling interests | (2) | 0 | 0 | 0 | (2) | 0 | (2) | 0 |
Repurchases of Company ordinary shares | 0 | (488) | 0 | 0 | 0 | (488) | 0 | |
Purchase of non-controlling interest | 0 | 0 | (47) | 0 | 0 | (47) | (1) | |
Ending balance at Mar. 31, 2019 | 22 | (2,668) | 6,996 | 7,206 | (1,418) | 10,138 | 22 | |
Beginning balance at Dec. 31, 2019 | 8,063 | 19 | (580) | 5,954 | 4,435 | (1,784) | 8,044 | 19 |
Net income | 144 | 0 | 0 | 0 | 144 | 0 | 144 | 0 |
Other comprehensive loss | (529) | 0 | 0 | 0 | 0 | (529) | (529) | 0 |
Share-based compensation | 0 | 25 | (11) | 1 | 0 | 15 | 0 | |
Dividends - common stock | 0 | 0 | 0 | (351) | 0 | (351) | 0 | |
Dividends - redeemable non-controlling interests | (2) | 0 | 0 | 0 | (2) | 0 | (2) | 0 |
Repurchases of Company ordinary shares | 0 | (4) | 0 | 0 | 0 | (4) | 0 | |
Purchase of non-controlling interest | 0 | 0 | 7 | 0 | 0 | 7 | 0 | |
Ending balance at Mar. 31, 2020 | $ 7,343 | $ 19 | $ (559) | $ 5,950 | $ 4,227 | $ (2,313) | $ 7,324 | $ 19 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parentheticals) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Common stock, dividends per share (in dollars per share) | $ 1.05 | $ 1 |
Redeemable non-controlling interests, dividends per share (in dollars per share) | $ 15 | $ 15 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block [Abstract] | |
Basis of Presentation [Text Block] | 1. Basis of Presentation LyondellBasell Industries N.V. is a limited liability company (Naamloze Vennootschap) incorporated under Dutch law by deed of incorporation dated October 15, 2009. Unless otherwise indicated, the “Company,” “we,” “us,” “our” or similar words are used to refer to LyondellBasell Industries N.V. together with its consolidated subsidiaries (“LyondellBasell N.V.”). LyondellBasell N.V. is a worldwide manufacturer of chemicals and polymers, a refiner of crude oil, a significant producer of gasoline blending components and a developer and licensor of technologies for the production of polymers. The accompanying unaudited Consolidated Financial Statements have been prepared from the books and records of LyondellBasell N.V. in accordance with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X for interim financial information. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States (“U.S. GAAP”) for complete financial statements. In our opinion, all adjustments, including normal recurring adjustments, considered necessary for a fair statement have been included. The results for interim periods are not necessarily indicative of results for the entire year. These Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. Events surrounding the ongoing novel strain of coronavirus, causing a pandemic referred to as COVID-19, and the significant drop in the price of oil continue to evolve and impact global markets for our products. During the first quarter of 2020, we recognized a lower of cost or market (“LCM”) inventory valuation charge of $419 million, see Note 5 to our Consolidated Financial Statements. Further, we assessed accounting matters that generally require consideration of forecasted financial information based on the information reasonably available to us and the uncertain future impacts of COVID-19 and volatility in commodity prices. Accounting matters assessed included, but were not limited to, the carrying value of our goodwill and other long-lived assets, inventory, valuation allowances for tax assets and expected credit losses. Other than the inventory valuation charges noted above, there were no other impacts to our consolidated financial statements for the first quarter of 2020 resulting from our assessments. We will continue to assess the potential financial statement impacts of COVID-19 and commodity price volatility throughout the duration of the pandemic in accordance with our corporate accounting policies. The extent of the impact of the pandemic and the decline in commodity prices on our operational and financial performance will depend on future developments which are uncertain and cannot be predicted. An extended period of economic disruption could have a material adverse impact on our business, results of operations, access to sources of liquidity and financial condition. |
Accounting and Reporting Change
Accounting and Reporting Changes | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting and Reporting Changes [Text Block] | 2. Accounting and Reporting Changes Recently Adopted Guidance The following table provides a brief description of recently adopted Accounting Standard Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”). The adoption of the new standards listed below in the first quarter of 2020 did not have a material impact on our Consolidated Financial Statements. Standard Description ASU 2020-04, Facilitation of the Effects of Relief of Reference Rate Reform on Financial Reporting This guidance provides optional expedients and exceptions for applying generally accepted accounting principles to contracts, hedging relationships, and other transactions that reference London Inter-Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued because of reference rate reform, if certain criteria are met. The expedients and exceptions provided by this guidance are available from January 1, 2020, prospectively, and do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship. The adoption of the guidance will enable us to continue hedge accounting for the relevant designated hedges and is expected to ease the accounting burden associated with transitioning away from reference rates that are expected to be discontinued. ASU 2020-03, Codification Improvements to Financial Instruments This guidance makes narrow-scope changes that are intended to improve the guidance on financial instruments and current expected credit loss (“CECL”). We adopted the guidance related to CECL and other amendments on a modified retrospective basis. ASU 2019-12, Simplifying the Accounting for Income Taxes This guidance enhances and simplifies various aspects of income tax accounting by removing exceptions for recognizing deferred taxes for changes from a subsidiary to an equity method investment and vice versa, performing intraperiod allocation and calculating income taxes in interim periods. The new guidance also reduces complexity in certain areas, including the tax basis step-up in goodwill in a transaction that is not a business combination and interim period accounting for enacted changes in tax law. We early adopted the amendments applicable to us on a prospective basis. ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract This guidance requires a customer in a hosted, cloud computing arrangement that is a service contract to follow the internal-use software guidance to determine which implementation costs to capitalize as assets or expense as incurred. Capitalized costs are amortized over the term of the hosting arrangement when the recognized asset is ready for its intended use. ASU 2018-13, Disclosure Framework - Change to the Disclosure Requirements for Fair Value Measurement This guidance eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. It removes transfer disclosures between Level 1 and Level 2 of the fair value hierarchy, and adds disclosures for the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. Accounting Guidance Issued But Not Adopted as of March 31, 2020 We are currently assessing the impact of the standard listed below on our Consolidated Financial Statements. Standard Description ASU 2018-14, Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans This guidance changes disclosure requirements for employers that sponsor defined benefit pension and/or other postretirement benefit plans. It eliminates the requirement of certain disclosures that are no longer considered cost beneficial and adds more pertinent disclosures. |
Revenues
Revenues | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenues [Text Block] | 3. Revenues Contract Balances— Contract liabilities were $151 million and $124 million at March 31, 2020 and December 31, 2019, respectively. Revenue recognized in each reporting period, included in the contract liability balance at the beginning of the period, was immaterial. Disaggregation of Revenues— The following table presents our revenues disaggregated by key products: Three Months Ended Millions of dollars 2020 2019 Sales and other operating revenues: Olefins and co-products $ 667 $ 748 Polyethylene 1,459 1,666 Polypropylene 1,101 1,315 Propylene oxide and derivatives 464 528 Oxyfuels and related products 707 664 Intermediate chemicals 544 640 Compounding and solutions 912 1,140 Advanced polymers 181 198 Refined products 1,336 1,743 Other 123 136 Total $ 7,494 $ 8,778 The following table presents our revenues disaggregated by geography, based upon the location of the customer: Three Months Ended Millions of dollars 2020 2019 Sales and other operating revenues: United States $ 3,187 $ 3,893 Germany 641 731 Mexico 380 528 Italy 335 387 France 270 362 China 243 298 The Netherlands 212 252 Japan 335 203 Other 1,891 2,124 Total $ 7,494 $ 8,778 |
Accounts Receivable
Accounts Receivable | 3 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
Accounts Receivable [Text Block] | 4. Accounts Receivable Our accounts receivable are reflected in the Consolidated Balance Sheets net of allowance for credit losses of $14 million and $16 million at March 31, 2020 and December 31, 2019, respectively. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories [Text Block] | 5. Inventories Inventories consisted of the following components: Millions of dollars March 31, 2020 December 31, 2019 Finished goods $ 2,691 $ 3,083 Work-in-process 124 130 Raw materials and supplies 1,158 1,375 Total inventories $ 3,973 $ 4,588 Our inventories are stated at the lower of cost or market (“LCM”). Cost is determined using the last-in, first-out ("LIFO") inventory valuation methodology, which means that the most recently incurred costs are charged to cost of sales and inventories are valued at the earliest acquisition costs. Market is determined based on an assessment of the current estimated replacement cost and selling price of the inventory. In periods where the market price of our inventory declines substantially, cost values of inventory may be higher than the market value, which reduces the value of inventory to market value. This adjustment is related to the recent decline in pricing for many of our raw material and finished goods inventories. Fluctuation in the prices of crude oil, natural gas and correlated products from period to period may result in the recognition of charges to adjust the value of inventory to the lower of cost or market in periods of falling prices and the reversal of those charges in subsequent interim periods as market prices recover. During the first quarter of 2020, we recognized an LCM inventory charge of $419 million. This charge is related to the recent decline in pricing for many of our raw material and finished goods inventories |
Debt
Debt | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt [Text Block] | 6. Debt Long-term loans, notes and other debt, net of unamortized discount and debt issuance cost, consisted of the following: Millions of dollars March 31, 2020 December 31, 2019 Senior Notes due 2021, $1,000 million, 6.0% ($3 million of debt issuance cost) $ 1,014 $ 998 Senior Notes due 2024, $1,000 million, 5.75% ($5 million of debt issuance cost) 995 995 Senior Notes due 2055, $1,000 million, 4.625% ($16 million of discount; $11 million of debt issuance cost) 973 973 Term Loan due 2022, $4,000 million ($2 million of debt issuance costs) 1,948 1,950 Senior Revolving Credit Facility due 2022, $2,500 million 500 — Guaranteed Notes due 2022, €750 million, 1.875% ($1 million of discount; $2 million of debt issuance cost) 819 841 Guaranteed Notes due 2023, $750 million, 4.0% ($4 million of discount; $2 million of debt issuance cost) 744 744 Guaranteed Notes due 2026, €500 million, 0.875% ($2 million of discount; $3 million of debt issuance cost) 542 555 Guaranteed Notes due 2027, $1,000 million, 3.5% ($8 million of discount; $6 million of debt issuance cost) 1,103 1,023 Guaranteed Notes due 2027, $300 million, 8.1% 300 300 Guaranteed Notes due 2031, €500 million, 1.625% ($6 million of discount; $3 million of debt issuance cost) 538 552 Guaranteed Notes due 2043, $750 million, 5.25% ($20 million of discount; $7 million of debt issuance cost) 723 723 Guaranteed Notes due 2044, $1,000 million, 4.875% ($10 million of discount; $9 million of debt issuance cost) 981 980 Guaranteed Notes due 2049, $1,000 million, 4.2% ($15 million of discount; $10 million of debt issuance cost) 975 975 Other 7 8 Total 12,162 11,617 Less current maturities (3) (3) Long-term debt $ 12,159 $ 11,614 Fair value hedging adjustments associated with the fair value hedge accounting of our fixed-for-floating interest rate swaps for the applicable periods are as follows: Gains (Losses) Cumulative Fair Value Inception Three Months Ended March 31, December 31, Millions of dollars 2020 2019 2020 2019 Senior Notes due 2019, 5.0% 2014 $ — $ (11) $ — $ — Senior Notes due 2021, 6.0% 2016 (16) (7) (17) (1) Guaranteed Notes due 2027, 3.5% 2017 (80) (22) (117) (37) Guaranteed Notes due 2022, 1.875% 2018 1 — (1) (2) Total $ (95) $ (40) $ (135) $ (40) Fair value adjustments are recognized in Interest expense in the Consolidated Statements of Income. Short-term loans, notes and other debt consisted of the following: Millions of dollars March 31, 2020 December 31, 2019 U.S. Receivables Facility $ 500 $ — Commercial paper 778 262 Precious metal financings 211 181 Other 4 2 Total Short-term debt $ 1,493 $ 445 Long-Term Debt Senior Revolving Credit Facility —Our $2,500 million Senior Revolving Credit Facility which expires in June 2022 may be used for dollar and euro denominated borrowings, has a $500 million sublimit for dollar and euro denominated letters of credit, a $1,000 million uncommitted accordion feature, and supports our commercial paper program. Borrowings under the facility bear interest at either a base rate or LIBOR rate, plus an applicable margin. Additional fees are incurred for the average daily unused commitments. As of March 31, 2020, the interest rate under this facility was 1.74%. During the three months ended March 31, 2020, we borrowed $500 million from this facility. At March 31, 2020, we had $500 million of outstanding borrowings, no outstanding letters of credit and $1,206 million of unused availability under this facility. In April 2020, we repaid $500 million outstanding under our Senior Revolving Credit Facility. Guaranteed Notes due 2025, 2030 and 2050 —In April 2020, LYB International Finance III, LLC (“LYB Finance III”), a wholly owned finance subsidiary of LyondellBasell Industries N.V., as defined in Rule 3-10(b) of Regulation S-X, issued $500 million of 2.875% guaranteed notes due 2025 (the “2025 Notes”) at a discounted price of 99.911%, $500 million of 3.375% guaranteed notes due 2030 (the “2030 Notes”) at a discounted price of 99.813% and $1,000 million of 4.2% guaranteed notes due 2050 (the “2050 Notes”) at a discounted price of 99.373%. Net proceeds from the sale of the notes totaled $1,974 million. We used the net proceeds from the sale of the notes for general corporate purposes, including to increase our liquidity and manage short-term debt maturities. These unsecured notes, which are fully and unconditionally guaranteed by LyondellBasell Industries N.V., will rank equally in right of payment to all of LYB Finance III’s and LyondellBasell Industries N.V.’s existing and future senior unsecured indebtedness and will rank senior in right of payment to any future subordinated indebtedness that LYB Finance III or LyondellBasell Industries N.V. incurs. There are no significant restrictions that would impede LyondellBasell Industries N.V., as guarantor, from obtaining funds by dividend or loan from its subsidiaries. The indenture governing these notes contains limited covenants, including those restricting our ability and the ability of our subsidiaries to incur indebtedness secured by significant property or by capital stock of subsidiaries that own significant property, enter into certain sale and lease-back transactions with respect to any significant property or enter into consolidations, mergers or sales of all or substantially all of our assets. The 2025 Notes, 2030 Notes and 2050 Notes may be redeemed before the date that is one month, three months, or six months, respectively, prior to the scheduled maturity date at a redemption price equal to the greater of 100% of the principal amount of the notes redeemed and the sum of the present values of the remaining scheduled payments of principal and interest (discounted at the applicable treasury yield plus 40 basis points in the case of the 2025 Notes or 45 basis points in the case of the 2030 Notes and 2050 Notes) on the notes to be redeemed. The 2025 Notes, 2030 Notes and 2050 Notes may also be redeemed on or after the date that is one month, three months, or six months, respectively, prior to the scheduled maturity date of the notes at a redemption price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. The notes are also redeemable upon certain tax events. Short-Term Debt Commercial Paper Program —We have a commercial paper program under which we may issue up to $2,500 million of privately placed, unsecured, short-term promissory notes (“commercial paper”). Interest rates on the commercial paper outstanding at March 31, 2020 are based on the terms of the notes and range from 1.45% to 2.45%. At March 31, 2020, we had $778 million of outstanding commercial paper. U.S. Receivables Facility —Our U.S. Receivables Facility, which expires in July 2021, has a purchase limit of $900 million in addition to a $300 million uncommitted accordion feature. This facility is secured by $1,041 million of accounts receivable as of March 31, 2020. This facility provides liquidity through the sale or contribution of trade receivables by certain of our U.S. subsidiaries to a wholly owned, bankruptcy-remote subsidiary on an ongoing basis and without recourse. The bankruptcy-remote subsidiary may then, at its option and subject to a borrowing base of eligible receivables, sell undivided interests in the pool of trade receivables to financial institutions participating in the facility (“Purchasers”). The sale of the undivided interest in the pool of trade receivables is accounted for as a secured borrowing in the Consolidated Balance Sheets. We are responsible for servicing the receivables. We pay variable interest rates on our secured borrowings. As of March 31, 2020, the interest rate under this facility was 1.62%. In the event of liquidation, the bankruptcy-remote subsidiary’s assets will be used to satisfy the claims of the Purchasers prior to any assets or value in the bankruptcy-remote subsidiary becoming available to us. This facility also provides for the issuance of letters of credit up to $200 million. The term of the facility may be extended in accordance with the terms of the agreement. The facility is also subject to customary warranties and covenants, including limits and reserves and the maintenance of specified financial ratios. We are required to maintain a leverage ratio at the end of every fiscal quarter of 3.50 to 1.00, or less, for the period covering the most recent four quarters. Performance obligations under the facility are guaranteed by LyondellBasell Industries N.V. Additional fees are incurred for the average daily unused commitments. During the three months ended March 31, 2020, we borrowed $500 million from this facility. At March 31, 2020, we had $500 million of outstanding borrowings, no outstanding letters of credit and $151 million unused availability under this facility. In April 2020, we repaid $500 million outstanding under our U.S. Receivables Facility. Weighted Average Interest Rate —At March 31, 2020 and December 31, 2019, our weighted average interest rates on outstanding Short-term debt were 2.4% and 3.3%, respectively. Additional Information Debt Discount and Issuance Costs —Amortization of debt discounts and debt issuance costs resulted in amortization expense of $4 million and $1 million for the three months ended March 31, 2020 and 2019, respectively, which is included in Interest expense in the Consolidated Statements of Income. Other Information —LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC are direct, 100% owned finance subsidiaries of LyondellBasell Industries N.V., as defined in Rule 3-10(b) of Regulation S-X. Any debt securities issued by LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC will be fully and unconditionally guaranteed by LyondellBasell Industries N.V. As of March 31, 2020, we are in compliance with our debt covenants. In April 2020, we entered into amendments and related documents (collectively, the “Amendments”) to our (i) Senior Revolving Credit Facility, (ii) Term Loan due 2022, and (iii) U.S. Receivables Facility (collectively, as amended, the “Credit Agreements”). The Amendments amended each Credit Agreement’s gross leverage ratio covenant of 3.50 to 1.0 to permit netting of unrestricted cash and cash equivalents in excess of $300 million (with certain restrictions on non-US cash) and, in respect of the Senior Revolving Credit Facility and Term Loan due 2022, restrict certain dividends and other specified restricted payments. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Fair Value Measurements [Text Block] | 7. Financial Instruments and Fair Value Measurements We are exposed to market risks, such as changes in commodity pricing, interest rates and currency exchange rates. To manage the volatility related to these exposures, we selectively enter into derivative contracts pursuant to our risk management policies. A summary of our financial instruments, risk management policies, derivative instruments, hedging activities and fair value measurement can be found in Notes 2 and 15 to our Consolidated Financial Statements included in our Annual Report on Form 10-K for the year ended December 31, 2019. If applicable, updates have been included in the respective sections below. Cash and Cash Equivalents —At March 31, 2020 and December 31, 2019, we had marketable securities classified as Cash and cash equivalents of $885 million and $389 million, respectively. Foreign Currency Gain (Loss) —Other income, net, in the Consolidated Statements of Income reflected foreign currency losses of $7 million, and gains of $11 million for the three months ended March 31, 2020 and 2019, respectively. Financial Instruments Measured at Fair Value on a Recurring Basis —The following table summarizes financial instruments outstanding as of March 31, 2020 and December 31, 2019 that are measured at fair value on a recurring basis: March 31, 2020 December 31, 2019 Millions of dollars Notional Amount Fair Value Notional Amount Fair Value Balance Sheet Classification Assets– Derivatives designated as hedges: Foreign currency $ — $ 51 $ — $ 27 Prepaid expenses and other current assets Foreign currency 2,300 351 2,000 214 Other assets Interest rates — 26 — 22 Prepaid expenses and other current assets Interest rates 2,246 135 1,940 41 Other assets Derivatives not designated as hedges: Commodities 138 9 3 — Prepaid expenses and other current assets Foreign currency 355 13 580 5 Prepaid expenses and other current assets Non-derivatives: Available-for-sale debt securities 159 157 162 162 Short-term investments Equity securities 43 43 34 34 Short-term investments Total $ 5,241 $ 785 $ 4,719 $ 505 Liabilities– Derivatives designated as hedges: Foreign currency $ — $ 33 $ — $ 16 Accrued liabilities Foreign currency 650 27 950 53 Other liabilities Interest rates — 5 1,000 154 Accrued liabilities Interest rates 1,500 760 700 77 Other liabilities Derivatives not designated as hedges: Commodities 156 37 224 34 Accrued liabilities Foreign currency 604 15 200 1 Accrued liabilities Total $ 2,910 $ 877 $ 3,074 $ 335 All financial instruments in the table above are classified as Level 2. We present the gross assets and liabilities of our derivative financial instruments on the Consolidated Balance Sheets. At March 31, 2020, our outstanding foreign currency contracts, not designated as hedges, mature from April 2020 to September 2020. Our commodity contracts, not designated as hedges, mature from April 2020 to June 2020. Financial Instruments Not Measured at Fair Value on a Recurring Basis —The following table presents the carrying value and estimated fair value of our financial instruments that are not measured at fair value on a recurring basis as of March 31, 2020 and December 31, 2019. Due to the short maturity, the fair value of all non-derivative financial instruments included in Current assets and Current liabilities for which the carrying value approximates fair value are excluded from the table below. Short-term and long-term debt are recorded at amortized cost in the Consolidated Balance Sheets. The carrying and fair values of short-term and of long-term debt exclude commercial paper and other miscellaneous short-term debt. March 31, 2020 December 31, 2019 Millions of dollars Carrying Fair Carrying Fair Non-derivatives: Liabilities: Short-term debt $ 711 $ 731 $ 181 $ 215 Long-term debt 12,155 12,222 11,609 12,561 Total $ 12,866 $ 12,953 $ 11,790 $ 12,776 All financial instruments in the table above are classified as Level 2. Net Investment Hedges— The following table summarizes our net investment hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of euro/dollars Notional Value Notional Value Expiration Date Equivalent Equivalent Foreign currency € 617 $ 650 € 617 $ 650 2027 Foreign-currency denominated debt € 750 $ 821 € 750 $ 842 2022 Cash Flow Hedges— The following table summarizes our cash flow hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of dollars Notional Value Notional Value Expiration Date Foreign currency $ 2,300 $ 2,300 2021 to 2027 Interest rates 1,500 1,500 2021 to 2024 In January 2020, we amended previously existing forward-starting interest rate swaps with a total notional amount of $1,000 million (the “Swaps”) to extend their maturities to July 2023 and April 2024. As of March 31, 2020, the Swaps were designated as cash flow hedges to mitigate the risk of variability in interest rates of future expected debt issuance by July 2023 and April 2024. Other assets as of March 31, 2020 includes $238 million of collateral held with our counterparties related to our forward-starting interest rate swaps; this amount represents the maximum amount of collateral required in accordance with the Swap agreements. Related cash flows are included in financing activities in the Consolidated Statements of Cash Flows. As of March 31, 2020, on a pre-tax basis, $3 million is scheduled to be reclassified from Accumulated other comprehensive loss as an increase to interest expense over the next twelve months. Fair Value Hedges— The following table summarizes our fair value hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of dollars Notional Value Notional Value Expiration Date Interest rates $ 2,246 $ 2,140 2021 to 2027 In January 2020, we entered into an euro fixed-for-floating interest rate swap to mitigate the change in the fair value of €100 million of our €500 million guaranteed notes due 2026 associated with the risk of variability in the 6-month EURIBOR rate (the benchmark interest rate). The fixed-rate and variable-rate are settled annually and semi-annually, respectively. In April 2020, we terminated $2,000 million in notional value of our fixed-for-floating interest rate swaps which were designated as fair value hedges originally set to expire in 2021 and 2027. Upon termination of the fixed-for-floating interest rate swaps, we received $147 million from our counterparties. Impact on Earnings and Other Comprehensive Income —The following table summarizes the pre-tax effect of derivative and non-derivative instruments recorded in Accumulated other comprehensive loss (“AOCI”), the gains (losses) reclassified from AOCI to earnings and additional gains (losses) recognized directly in earnings: Effects of Financial Instruments Three Months Ended March 31, Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified from AOCI to Income Gain (Loss) Recognized in Income Income Statement Millions of dollars 2020 2019 2020 2019 2020 2019 Classification Derivatives designated as hedges: Commodities $ — $ (50) $ — $ (5) $ — $ — Sales and other operating revenues Commodities — 46 — 4 — — Cost of sales Foreign currency 164 70 (53) (39) 16 17 Other income, net; Interest expense Interest rates (535) (74) — (4) 96 (34) Interest expense Derivatives not designated as hedges: Commodities — — — — (9) 2 Sales and other operating revenues Commodities — — — — (3) 3 Cost of sales Foreign currency — — — — (4) 19 Other income, net Non-derivatives designated as hedges: Long-term debt 22 16 — — — — Other income, net Total $ (349) $ 8 $ (53) $ (44) $ 96 $ 7 The derivative amounts excluded from the assessment of effectiveness for foreign currency contracts designated as net investment hedges recognized in other comprehensive income for the three months ended March 31, 2020 and 2019 were gains of less than $1 million and $2 million, respectively. The derivative amounts excluded from effectiveness testing for foreign currency contracts designated as net investment hedges recognized in interest expense for the three months ended March 31, 2020 and 2019 were gains of $4 million and $5 million, respectively. The pre-tax effect of the periodic receipt of fixed interest and payment of variable interest associated with our fixed-for-floating interest rate swaps resulted in a $2 million decrease in interest expense during the three months ended March 31, 2020 and $3 million increase in interest expense during the three months ended March 31, 2019. Investments in Available-for-Sale Debt Securities —The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of our outstanding available-for-sale debt securities: Millions of dollars Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale debt securities: Bonds at March 31, 2020 $ 159 $ 1 $ (3) $ 157 Bonds at December 31, 2019 162 — — 162 No allowance for credit losses related to our available-for-sale debt securities was recorded for the three months ended March 31, 2020 and for the year ended December 31, 2019. As of March 31, 2020, bonds classified as available-for-sale debt securities had maturities between 10 months and 42 months. The proceeds from maturities of our available-for-sale-debt securities during the three months ended March 31, 2020 and 2019 are summarized in the following table: Three Months Ended Millions of dollars 2020 2019 Proceeds from maturities of available-for-sale debt securities $ — $ 308 No proceeds were received and no gain or loss was realized in connection with the sales of our available-for-sale debt securities during the three months ended March 31, 2020 and 2019. We had no available-for-sale debt securities which were in a continuous unrealized loss position for less than or greater than twelve months as of March 31, 2020 and December 31, 2019. Investments in Equity Securities —Our equity securities primarily consist of limited partnership investments. At March 31, 2020 and December 31, 2019, we had investments in equity securities with a notional amount of $43 million and $34 million, respectively, and a fair value of $43 million and $34 million , respectively. These investments may be redeemed on a weekly basis. We received proceeds of $1 million and $162 million related to the sale of our investments in equity securities during the three months ended March 31, 2020 and 2019, respectively. The following table summarizes the portion of unrealized gains and losses for the equity securities that are outstanding as of March 31, 2020 and 2019: Three Months Ended Millions of dollars 2020 2019 Net gains recognized during the period $ — $ 7 Less: Net gains recognized during the period on securities sold — 1 Unrealized gains recognized during the period $ — $ 6 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes [Text Block] | 8. Income Taxes Our effective income tax rate for the three months ended March 31, 2020 was 34.4% compared with 19.9% for the three months ended March 31, 2019. Our effective income tax rate fluctuates based on, among other factors, changes in pretax income in countries with varying statutory tax rates, changes in valuation allowances, changes in foreign exchange gains/losses, the amount of exempt income, changes in unrecognized tax benefits associated with uncertain tax positions, and changes in tax laws. On March 27, 2020, the U.S. enacted the Coronavirus Aid, Relief, and Economic Security Act, also known as the “CARES Act”. As a result of the CARES Act, we remeasured our U.S. deferred tax liabilities resulting in an increase to our effective tax rate for the three months ended March 31, 2020 compared to the three months ended March 31, 2019. This increase was partially offset by the increased relative impact of exempt income due to decreased pretax income. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies [Text Block] | 9. Commitments and Contingencies Commitments —We have various purchase commitments for materials, supplies and services incidental to the ordinary conduct of business, generally for quantities required for our businesses and at prevailing market prices. These commitments are designed to assure sources of supply and are not expected to be in excess of normal requirements. As of March 31, 2020 , we had capital expenditure commitments, which we incurred in our normal course of business , including commitments of approximately $783 million related to building our new PO/TBA plant in Houston, Texas. Financial Assurance Instruments —We have obtained letters of credit, performance and surety bonds and have issued financial and performance guarantees to support trade payables, potential liabilities and other obligations. Considering the frequency of claims made against the financial instruments we use to support our obligations, and the magnitude of those financial instruments in light of our current financial position, management does not expect that any claims against or draws on these instruments would have a material adverse effect on our Consolidated Financial Statements. We have not experienced any unmanageable difficulty in obtaining the required financial assurance instruments for our current operations. Environmental Remediation —Our accrued liability for future environmental remediation costs at current and former plant sites and other remediation sites totaled $130 million and $132 million as of March 31, 2020 and December 31, 2019, respectively. At March 31, 2020, the accrued liabilities for individual sites range from less than $1 million to $15 million. The remediation expenditures are expected to occur over a number of years, and not concentrated in any single year. In our opinion, it is reasonably possible that losses in excess of the liabilities recorded may have been incurred. However, we cannot estimate any amount or range of such possible additional losses. New information about sites, new technology or future developments such as involvement in investigations by regulatory agencies, could require us to reassess our potential exposure related to environmental matters. Indemnification —We are parties to various indemnification arrangements, including arrangements entered into in connection with acquisitions, divestitures and the formation and dissolution of joint ventures. Pursuant to these arrangements, we provide indemnification to and/or receive indemnification from other parties in connection with liabilities that may arise in connection with the transactions and in connection with activities prior to completion of the transactions. These indemnification arrangements typically include provisions pertaining to third party claims relating to environmental and tax matters and various types of litigation. As of March 31, 2020, we had not accrued any significant amounts for our indemnification obligations, and we are not aware of other circumstances that would likely lead to significant future indemnification obligations. We cannot determine with certainty the potential amount of future payments under the indemnification arrangements until events arise that would trigger a liability under the arrangements. As part of our technology licensing contracts, we give indemnifications to our licensees for liabilities arising from possible patent infringement claims with respect to certain proprietary licensed technologies. Such indemnifications have a stated maximum amount and generally cover a period of 5 to 10 years. Legal Proceedings— We are subject to various lawsuits and claims, including but not limited to, matters involving contract disputes, environmental damages, personal injury and property damage. We vigorously defend ourselves and prosecute these matters as appropriate. Our legal organization applies its knowledge, experience and professional judgment to the specific characteristics of our cases, employing a litigation management process to manage and monitor legal proceedings in which we are a party. Our process facilitates the early evaluation and quantification of potential exposures in individual cases. This process also enables us to track those cases that have been scheduled for trial, mediation or other resolution. We regularly assesses the adequacy of legal accruals based on our professional judgment, experience and the information available regarding our cases. |
Shareholders' Equity and Redeem
Shareholders' Equity and Redeemable Non-controlling Interests | 3 Months Ended |
Mar. 31, 2020 | |
Shareholders Equity and Redeemable Non-controlling Interests Abstract [Abstract] | |
Shareholders' Equity and Redeemable Non-controlling Interests Disclosure [Text Block] | 10. Shareholders’ Equity and Redeemable Non-controlling Interests Shareholders’ Equity Dividend Distributions —In March 2020, we paid a cash dividend of $1.05 per share for an aggregate of $351 million to shareholders of record on March 2, 2020. Share Repurchase Authorization —In September 2019, our shareholders approved a proposal to authorize us to repurchase up to 33.3 million ordinary shares, through March 12, 2021 (“September 2019 Share Repurchase Authorization”), which superseded any prior repurchase authorizations. The timing and amount of these repurchases, which are determined based on our evaluation of market conditions and other factors, may be executed from time to time through open market or privately negotiated transactions. The repurchased shares, which are recorded at cost, are classified as Treasury stock and may be retired or used for general corporate purposes, including for various employee benefit and compensation plans. The following table summarizes our share repurchase activity for the periods presented: Millions of dollars, except shares and per share amounts Shares Average Total Purchase Price, Including For three months ended March 31, 2020: September 2019 Share Repurchase Authorization 50,685 $ 78.93 $ 4 For three months ended March 31, 2019: June 2018 Share Repurchase Authorization 5,648,900 $ 86.38 $ 488 Due to the timing of settlements, total cash paid for share repurchases for the three months ended March 31, 2020 and 2019 was $4 million and $512 million, respectively. Ordinary Shares —The changes in the outstanding amounts of ordinary shares are as follows: Three Months Ended 2020 2019 Ordinary shares outstanding: Beginning balance 333,476,883 375,696,661 Share-based compensation 196,037 235,550 Employee stock purchase plan 81,215 42,792 Purchase of ordinary shares (50,685) (5,648,900) Ending balance 333,703,450 370,326,103 Treasury Shares— The changes in the amounts of treasury shares held by the Company are as follows: Three Months Ended 2020 2019 Ordinary shares held as treasury shares: Beginning balance 6,568,745 24,513,619 Share-based compensation (196,037) (235,550) Employee stock purchase plan (81,215) (42,792) Purchase of ordinary shares 50,685 5,648,900 Ending balance 6,342,178 29,884,177 Accumulated Other Comprehensive Income (Loss) —The components of, and after-tax changes in, Accumulated other comprehensive loss as of and for the three months ended March 31, 2020 and 2019 are presented in the following tables: Millions of dollars Financial Unrealized Defined Benefit Foreign Total Balance – January 1, 2020 $ (200) $ — $ (711) $ (873) $ (1,784) Other comprehensive loss before reclassifications (388) (3) — (195) (586) Tax (expense) benefit before reclassifications 88 1 — (4) 85 Amounts reclassified from accumulated other comprehensive loss (53) — 14 — (39) Tax (expense) benefit 15 — (4) — 11 Net other comprehensive income (loss) (338) (2) 10 (199) (529) Balance – March 31, 2020 $ (538) $ (2) $ (701) $ (1,072) $ (2,313) Millions of dollars Financial Defined Benefit Foreign Total Balance – January 1, 2019 $ (68) $ (442) $ (853) $ (1,363) Other comprehensive loss before reclassifications (19) — (7) (26) Tax (expense) benefit before reclassifications 4 — (3) 1 Amounts reclassified from accumulated other comprehensive loss (45) 7 — (38) Tax (expense) benefit 10 (2) — 8 Net other comprehensive income (loss) (50) 5 (10) (55) Balance – March 31, 2019 $ (118) $ (437) $ (863) $ (1,418) The amounts reclassified out of each component of Accumulated other comprehensive loss are as follows: Three Months Ended Affected Line Item on Millions of dollars 2020 2019 Reclassification adjustments for: Financial derivatives: Foreign currency $ (53) $ (39) Other income, net Commodities — (6) Sales and other operating revenue Commodities — 4 Cost of sales Interest rates — (4) Interest expense Income tax benefit (15) (10) Provision for income taxes Financial derivatives, net of tax (38) (35) Amortization of defined pension items: Prior service cost 1 — Other income, net Actuarial loss 13 7 Other income, net Income tax expense 4 2 Provision for income taxes Defined pension items, net of tax 10 5 Total reclassifications, before tax (39) (38) Income tax benefit (11) (8) Provision for income taxes Total reclassifications, after tax $ (28) $ (30) Amount included in net income Non-controlling Interest— In February 2019, we increased our interest in our subsidiary La Porte Methanol Company, L.P., from 85% to 100%, for cash consideration of $63 million. Redeemable Non-controlling Interests Our redeemable non-controlling interests relate to shares of cumulative perpetual special stock (“redeemable non-controlling interest stock”) issued by our consolidated subsidiary, formerly known as A. Schulman. As of March 31, 2020 and December 31, 2019, we had 115,374 shares of redeemable non-controlling interest stock outstanding. In February 2020, we paid a cash dividend of $15.00 per share to our redeemable non-controlling interest shareholders of record as of January 15, 2020. These dividends totaled $2 million for both the three months ended March 31, 2020 and 2019, respectively. |
Per Share Data
Per Share Data | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Per Share Data [Text Block] | 11. Per Share Data Basic earnings per share are based upon the weighted average number of shares of common stock outstanding during the periods. Diluted earnings per share includes the effect of certain stock option awards and other equity-based compensation awards. We have unvested restricted stock units that are considered participating securities for earnings per share. Earnings per share data and dividends declared per share of common stock are as follows: Three Months Ended March 31, 2020 2019 Millions of dollars Continuing Discontinued Continuing Discontinued Net income $ 143 $ 1 $ 817 $ — Dividends on redeemable non-controlling interest stock (2) — (2) — Net income attributable to participating securities — — (1) — Net income attributable to ordinary shareholders – basic and diluted $ 141 $ 1 $ 814 $ — Millions of shares, except per share amounts Basic weighted average common stock outstanding 334 334 372 372 Effect of dilutive securities — — — — Potential dilutive shares 334 334 372 372 Earnings per share: Basic $ 0.42 $ — $ 2.19 $ — Diluted $ 0.42 $ — $ 2.19 $ — |
Segment and Related Information
Segment and Related Information | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment and Related Information [Text Block] | 12. Segment and Related Information Our operations are managed by senior executives who report to our Chief Executive Officer, the chief operating decision maker. Discrete financial information is available for each of the segments, and our Chief Executive Officer uses the operating results of each of the operating segments for performance evaluation and resource allocation. The activities of each of our segments from which they earn revenues and incur expenses are described below: • Olefins and Polyolefins—Americas (“O&P—Americas”). Our O&P—Americas segment produces and markets olefins and co-products, polyethylene and polypropylene. • Olefins and Polyolefins—Europe, Asia, International (“O&P—EAI”). Our O&P—EAI segment produces and markets olefins and co-products, polyethylene, and polypropylene. • Intermediates and Derivatives (“I&D”). Our I&D segment produces and markets propylene oxide and its derivatives, oxyfuels and related products, and intermediate chemicals such as styrene monomer, acetyls, ethylene oxide and ethylene glycol. • Advanced Polymer Solutions (“APS”) . Our APS segment produces and markets compounding and solutions, such as polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors and powders, and advanced polymers, which includes Catalloy and polybutene-1. • Refining . Our Refining segment refines heavy, high-sulfur crude oil and other crude oils of varied types and sources available on the U.S. Gulf Coast into refined products, including gasoline and distillates. • Technology . Our Technology segment develops and licenses chemical and polyolefin process technologies and manufactures and sells polyolefin catalysts. Our chief operating decision maker uses EBITDA as the primary measure for reviewing profitability of our segments, and therefore, we have presented EBITDA for all segments. We define EBITDA as earnings before interest, income taxes, and depreciation and amortization. “Other” includes intersegment eliminations and items that are not directly related or allocated to business operations, such as foreign exchange gains or losses and components of pension and other postretirement benefit costs other than service costs. Sales between segments are made primarily at prices approximating prevailing market prices. Summarized financial information concerning reportable segments is shown in the following tables for the periods presented: Three Months Ended March 31, 2020 Millions of dollars O&P– O&P– I&D APS Refining Technology Other Total Sales and other operating revenues: Customers $ 1,173 $ 2,064 $ 1,732 $ 1,093 $ 1,336 $ 96 $ — $ 7,494 Intersegment 619 160 38 3 112 26 (958) — 1,792 2,224 1,770 1,096 1,448 122 (958) 7,494 Income (loss) from equity investments 2 (3) 2 (1) — — — — EBITDA 366 189 203 113 (272) 56 (9) 646 Three Months Ended March 31, 2019 Millions of dollars O&P– O&P– I&D APS Refining Technology Other Total Sales and other operating revenues: Customers $ 1,393 $ 2,343 $ 1,852 $ 1,338 $ 1,743 $ 109 $ — $ 8,778 Intersegment 718 192 42 1 139 32 (1,124) — 2,111 2,535 1,894 1,339 1,882 141 (1,124) 8,778 Income from equity investments 11 51 2 — — — — 64 EBITDA 516 296 390 148 (15) 83 10 1,428 Operating results for our O&P–Americas segment include charges of $111 million in the first quarter of 2020, primarily related to LCM inventory valuation charges driven primarily by declines in the prices of heavy liquids and ethylene. Our O&P–EAI segment results for the first quarter of 2020 were negatively impacted by a $36 million LCM inventory valuation charge largely due to a decline in the price of naphtha. Operating results for our I&D segment in the first quarter of 2020 reflect a $78 million LCM charge driven by declines in the prices of various gasoline blending components and butane. Our APS segment results for the first quarter of 2020 were negatively impacted by a $2 million LCM charge mainly due to a decline in the price of polymers. In our Refining segment, operating results were reduced by a $192 million LCM inventory charge in the first quarter of 2020, primarily driven by a decline in the prices of crude oil and refined products. Our APS segment results for the first quarters of 2020 and 2019 included $14 million and $16 million of integration costs associated with our 2018 acquisition of A. Schulman, respectively. A reconciliation of EBITDA to Income from continuing operations before income taxes is shown in the following table for each of the periods presented: Three Months Ended Millions of dollars 2020 2019 EBITDA: Total segment EBITDA $ 655 $ 1,418 Other EBITDA (9) 10 Less: Depreciation and amortization expense (342) (322) Interest expense (89) (92) Add: Interest income 3 6 Income from continuing operations before income taxes $ 218 $ 1,020 |
Accounting and Reporting Chan_2
Accounting and Reporting Changes (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of accounting and reporting changes [Table Text Block] | The following table provides a brief description of recently adopted Accounting Standard Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”). The adoption of the new standards listed below in the first quarter of 2020 did not have a material impact on our Consolidated Financial Statements. Standard Description ASU 2020-04, Facilitation of the Effects of Relief of Reference Rate Reform on Financial Reporting This guidance provides optional expedients and exceptions for applying generally accepted accounting principles to contracts, hedging relationships, and other transactions that reference London Inter-Bank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued because of reference rate reform, if certain criteria are met. The expedients and exceptions provided by this guidance are available from January 1, 2020, prospectively, and do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship. The adoption of the guidance will enable us to continue hedge accounting for the relevant designated hedges and is expected to ease the accounting burden associated with transitioning away from reference rates that are expected to be discontinued. ASU 2020-03, Codification Improvements to Financial Instruments This guidance makes narrow-scope changes that are intended to improve the guidance on financial instruments and current expected credit loss (“CECL”). We adopted the guidance related to CECL and other amendments on a modified retrospective basis. ASU 2019-12, Simplifying the Accounting for Income Taxes This guidance enhances and simplifies various aspects of income tax accounting by removing exceptions for recognizing deferred taxes for changes from a subsidiary to an equity method investment and vice versa, performing intraperiod allocation and calculating income taxes in interim periods. The new guidance also reduces complexity in certain areas, including the tax basis step-up in goodwill in a transaction that is not a business combination and interim period accounting for enacted changes in tax law. We early adopted the amendments applicable to us on a prospective basis. ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract This guidance requires a customer in a hosted, cloud computing arrangement that is a service contract to follow the internal-use software guidance to determine which implementation costs to capitalize as assets or expense as incurred. Capitalized costs are amortized over the term of the hosting arrangement when the recognized asset is ready for its intended use. ASU 2018-13, Disclosure Framework - Change to the Disclosure Requirements for Fair Value Measurement This guidance eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. It removes transfer disclosures between Level 1 and Level 2 of the fair value hierarchy, and adds disclosures for the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. Accounting Guidance Issued But Not Adopted as of March 31, 2020 We are currently assessing the impact of the standard listed below on our Consolidated Financial Statements. Standard Description ASU 2018-14, Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans This guidance changes disclosure requirements for employers that sponsor defined benefit pension and/or other postretirement benefit plans. It eliminates the requirement of certain disclosures that are no longer considered cost beneficial and adds more pertinent disclosures. |
Revenues (Tables)
Revenues (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of revenue [Table Text Block] | Disaggregation of Revenues— The following table presents our revenues disaggregated by key products: Three Months Ended Millions of dollars 2020 2019 Sales and other operating revenues: Olefins and co-products $ 667 $ 748 Polyethylene 1,459 1,666 Polypropylene 1,101 1,315 Propylene oxide and derivatives 464 528 Oxyfuels and related products 707 664 Intermediate chemicals 544 640 Compounding and solutions 912 1,140 Advanced polymers 181 198 Refined products 1,336 1,743 Other 123 136 Total $ 7,494 $ 8,778 The following table presents our revenues disaggregated by geography, based upon the location of the customer: Three Months Ended Millions of dollars 2020 2019 Sales and other operating revenues: United States $ 3,187 $ 3,893 Germany 641 731 Mexico 380 528 Italy 335 387 France 270 362 China 243 298 The Netherlands 212 252 Japan 335 203 Other 1,891 2,124 Total $ 7,494 $ 8,778 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory [Table Text Block] | Inventories consisted of the following components: Millions of dollars March 31, 2020 December 31, 2019 Finished goods $ 2,691 $ 3,083 Work-in-process 124 130 Raw materials and supplies 1,158 1,375 Total inventories $ 3,973 $ 4,588 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt [Table Text Block] | Long-term loans, notes and other debt, net of unamortized discount and debt issuance cost, consisted of the following: Millions of dollars March 31, 2020 December 31, 2019 Senior Notes due 2021, $1,000 million, 6.0% ($3 million of debt issuance cost) $ 1,014 $ 998 Senior Notes due 2024, $1,000 million, 5.75% ($5 million of debt issuance cost) 995 995 Senior Notes due 2055, $1,000 million, 4.625% ($16 million of discount; $11 million of debt issuance cost) 973 973 Term Loan due 2022, $4,000 million ($2 million of debt issuance costs) 1,948 1,950 Senior Revolving Credit Facility due 2022, $2,500 million 500 — Guaranteed Notes due 2022, €750 million, 1.875% ($1 million of discount; $2 million of debt issuance cost) 819 841 Guaranteed Notes due 2023, $750 million, 4.0% ($4 million of discount; $2 million of debt issuance cost) 744 744 Guaranteed Notes due 2026, €500 million, 0.875% ($2 million of discount; $3 million of debt issuance cost) 542 555 Guaranteed Notes due 2027, $1,000 million, 3.5% ($8 million of discount; $6 million of debt issuance cost) 1,103 1,023 Guaranteed Notes due 2027, $300 million, 8.1% 300 300 Guaranteed Notes due 2031, €500 million, 1.625% ($6 million of discount; $3 million of debt issuance cost) 538 552 Guaranteed Notes due 2043, $750 million, 5.25% ($20 million of discount; $7 million of debt issuance cost) 723 723 Guaranteed Notes due 2044, $1,000 million, 4.875% ($10 million of discount; $9 million of debt issuance cost) 981 980 Guaranteed Notes due 2049, $1,000 million, 4.2% ($15 million of discount; $10 million of debt issuance cost) 975 975 Other 7 8 Total 12,162 11,617 Less current maturities (3) (3) Long-term debt $ 12,159 $ 11,614 Fair value hedging adjustments associated with the fair value hedge accounting of our fixed-for-floating interest rate swaps for the applicable periods are as follows: Gains (Losses) Cumulative Fair Value Inception Three Months Ended March 31, December 31, Millions of dollars 2020 2019 2020 2019 Senior Notes due 2019, 5.0% 2014 $ — $ (11) $ — $ — Senior Notes due 2021, 6.0% 2016 (16) (7) (17) (1) Guaranteed Notes due 2027, 3.5% 2017 (80) (22) (117) (37) Guaranteed Notes due 2022, 1.875% 2018 1 — (1) (2) Total $ (95) $ (40) $ (135) $ (40) Fair value adjustments are recognized in Interest expense in the Consolidated Statements of Income. |
Schedule of short-term debt [Table Text Block] | Short-term loans, notes and other debt consisted of the following: Millions of dollars March 31, 2020 December 31, 2019 U.S. Receivables Facility $ 500 $ — Commercial paper 778 262 Precious metal financings 211 181 Other 4 2 Total Short-term debt $ 1,493 $ 445 |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of fair value of outstanding financial instruments [Table Text Block] | Financial Instruments Measured at Fair Value on a Recurring Basis —The following table summarizes financial instruments outstanding as of March 31, 2020 and December 31, 2019 that are measured at fair value on a recurring basis: March 31, 2020 December 31, 2019 Millions of dollars Notional Amount Fair Value Notional Amount Fair Value Balance Sheet Classification Assets– Derivatives designated as hedges: Foreign currency $ — $ 51 $ — $ 27 Prepaid expenses and other current assets Foreign currency 2,300 351 2,000 214 Other assets Interest rates — 26 — 22 Prepaid expenses and other current assets Interest rates 2,246 135 1,940 41 Other assets Derivatives not designated as hedges: Commodities 138 9 3 — Prepaid expenses and other current assets Foreign currency 355 13 580 5 Prepaid expenses and other current assets Non-derivatives: Available-for-sale debt securities 159 157 162 162 Short-term investments Equity securities 43 43 34 34 Short-term investments Total $ 5,241 $ 785 $ 4,719 $ 505 Liabilities– Derivatives designated as hedges: Foreign currency $ — $ 33 $ — $ 16 Accrued liabilities Foreign currency 650 27 950 53 Other liabilities Interest rates — 5 1,000 154 Accrued liabilities Interest rates 1,500 760 700 77 Other liabilities Derivatives not designated as hedges: Commodities 156 37 224 34 Accrued liabilities Foreign currency 604 15 200 1 Accrued liabilities Total $ 2,910 $ 877 $ 3,074 $ 335 All financial instruments in the table above are classified as Level 2. We present the gross assets and liabilities of our derivative financial instruments on the Consolidated Balance Sheets. |
Schedule of the carrying value and estimated fair value of non-derivative financial instruments [Table Text Block] | Financial Instruments Not Measured at Fair Value on a Recurring Basis —The following table presents the carrying value and estimated fair value of our financial instruments that are not measured at fair value on a recurring basis as of March 31, 2020 and December 31, 2019. Due to the short maturity, the fair value of all non-derivative financial instruments included in Current assets and Current liabilities for which the carrying value approximates fair value are excluded from the table below. Short-term and long-term debt are recorded at amortized cost in the Consolidated Balance Sheets. The carrying and fair values of short-term and of long-term debt exclude commercial paper and other miscellaneous short-term debt. March 31, 2020 December 31, 2019 Millions of dollars Carrying Fair Carrying Fair Non-derivatives: Liabilities: Short-term debt $ 711 $ 731 $ 181 $ 215 Long-term debt 12,155 12,222 11,609 12,561 Total $ 12,866 $ 12,953 $ 11,790 $ 12,776 |
Summary of net investment hedges [Table Text Block] | Net Investment Hedges— The following table summarizes our net investment hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of euro/dollars Notional Value Notional Value Expiration Date Equivalent Equivalent Foreign currency € 617 $ 650 € 617 $ 650 2027 Foreign-currency denominated debt € 750 $ 821 € 750 $ 842 2022 |
Summary of cash flow hedges [Table Text Block] | Cash Flow Hedges— The following table summarizes our cash flow hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of dollars Notional Value Notional Value Expiration Date Foreign currency $ 2,300 $ 2,300 2021 to 2027 Interest rates 1,500 1,500 2021 to 2024 |
Summary of fair value hedges [Table Text Block] | Fair Value Hedges— The following table summarizes our fair value hedges outstanding at March 31, 2020 and December 31, 2019: March 31, 2020 December 31, 2019 Millions of dollars Notional Value Notional Value Expiration Date Interest rates $ 2,246 $ 2,140 2021 to 2027 |
Summary of the impact of financial instruments on earnings and other comprehensive income [Table Text Block] | Impact on Earnings and Other Comprehensive Income —The following table summarizes the pre-tax effect of derivative and non-derivative instruments recorded in Accumulated other comprehensive loss (“AOCI”), the gains (losses) reclassified from AOCI to earnings and additional gains (losses) recognized directly in earnings: Effects of Financial Instruments Three Months Ended March 31, Gain (Loss) Recognized in AOCI Gain (Loss) Reclassified from AOCI to Income Gain (Loss) Recognized in Income Income Statement Millions of dollars 2020 2019 2020 2019 2020 2019 Classification Derivatives designated as hedges: Commodities $ — $ (50) $ — $ (5) $ — $ — Sales and other operating revenues Commodities — 46 — 4 — — Cost of sales Foreign currency 164 70 (53) (39) 16 17 Other income, net; Interest expense Interest rates (535) (74) — (4) 96 (34) Interest expense Derivatives not designated as hedges: Commodities — — — — (9) 2 Sales and other operating revenues Commodities — — — — (3) 3 Cost of sales Foreign currency — — — — (4) 19 Other income, net Non-derivatives designated as hedges: Long-term debt 22 16 — — — — Other income, net Total $ (349) $ 8 $ (53) $ (44) $ 96 $ 7 |
Schedule of available-for-sale debt securities reconciliation [Table Text Block] | Investments in Available-for-Sale Debt Securities —The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of our outstanding available-for-sale debt securities: Millions of dollars Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale debt securities: Bonds at March 31, 2020 $ 159 $ 1 $ (3) $ 157 Bonds at December 31, 2019 162 — — 162 |
Summary of proceeds from maturities and sales of available-for-sale debt securities [Table Text Block] | The proceeds from maturities of our available-for-sale-debt securities during the three months ended March 31, 2020 and 2019 are summarized in the following table: Three Months Ended Millions of dollars 2020 2019 Proceeds from maturities of available-for-sale debt securities $ — $ 308 |
Summary of the portion of unrealized gains and losses for equity securities outstanding [Table Text Block] | The following table summarizes the portion of unrealized gains and losses for the equity securities that are outstanding as of March 31, 2020 and 2019: Three Months Ended Millions of dollars 2020 2019 Net gains recognized during the period $ — $ 7 Less: Net gains recognized during the period on securities sold — 1 Unrealized gains recognized during the period $ — $ 6 |
Shareholders' Equity and Rede_2
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Shareholders Equity and Redeemable Non-controlling Interests Abstract [Abstract] | |
Schedule of share repurchase authorization [Table Text Block] | The following table summarizes our share repurchase activity for the periods presented: Millions of dollars, except shares and per share amounts Shares Average Total Purchase Price, Including For three months ended March 31, 2020: September 2019 Share Repurchase Authorization 50,685 $ 78.93 $ 4 For three months ended March 31, 2019: June 2018 Share Repurchase Authorization 5,648,900 $ 86.38 $ 488 Due to the timing of settlements, total cash paid for share repurchases for the three months ended March 31, 2020 and 2019 was $4 million and $512 million, respectively. |
Schedule of changes in ordinary and treasury shares outstanding during the period [Table Text Block] | Ordinary Shares —The changes in the outstanding amounts of ordinary shares are as follows: Three Months Ended 2020 2019 Ordinary shares outstanding: Beginning balance 333,476,883 375,696,661 Share-based compensation 196,037 235,550 Employee stock purchase plan 81,215 42,792 Purchase of ordinary shares (50,685) (5,648,900) Ending balance 333,703,450 370,326,103 Treasury Shares— The changes in the amounts of treasury shares held by the Company are as follows: Three Months Ended 2020 2019 Ordinary shares held as treasury shares: Beginning balance 6,568,745 24,513,619 Share-based compensation (196,037) (235,550) Employee stock purchase plan (81,215) (42,792) Purchase of ordinary shares 50,685 5,648,900 Ending balance 6,342,178 29,884,177 |
Schedule of accumulated other comprehensive income (loss) [Table Text Block] | Accumulated Other Comprehensive Income (Loss) —The components of, and after-tax changes in, Accumulated other comprehensive loss as of and for the three months ended March 31, 2020 and 2019 are presented in the following tables: Millions of dollars Financial Unrealized Defined Benefit Foreign Total Balance – January 1, 2020 $ (200) $ — $ (711) $ (873) $ (1,784) Other comprehensive loss before reclassifications (388) (3) — (195) (586) Tax (expense) benefit before reclassifications 88 1 — (4) 85 Amounts reclassified from accumulated other comprehensive loss (53) — 14 — (39) Tax (expense) benefit 15 — (4) — 11 Net other comprehensive income (loss) (338) (2) 10 (199) (529) Balance – March 31, 2020 $ (538) $ (2) $ (701) $ (1,072) $ (2,313) Millions of dollars Financial Defined Benefit Foreign Total Balance – January 1, 2019 $ (68) $ (442) $ (853) $ (1,363) Other comprehensive loss before reclassifications (19) — (7) (26) Tax (expense) benefit before reclassifications 4 — (3) 1 Amounts reclassified from accumulated other comprehensive loss (45) 7 — (38) Tax (expense) benefit 10 (2) — 8 Net other comprehensive income (loss) (50) 5 (10) (55) Balance – March 31, 2019 $ (118) $ (437) $ (863) $ (1,418) |
Reclassification out of accumulated other comprehensive income (loss) [Table Text Block] | The amounts reclassified out of each component of Accumulated other comprehensive loss are as follows: Three Months Ended Affected Line Item on Millions of dollars 2020 2019 Reclassification adjustments for: Financial derivatives: Foreign currency $ (53) $ (39) Other income, net Commodities — (6) Sales and other operating revenue Commodities — 4 Cost of sales Interest rates — (4) Interest expense Income tax benefit (15) (10) Provision for income taxes Financial derivatives, net of tax (38) (35) Amortization of defined pension items: Prior service cost 1 — Other income, net Actuarial loss 13 7 Other income, net Income tax expense 4 2 Provision for income taxes Defined pension items, net of tax 10 5 Total reclassifications, before tax (39) (38) Income tax benefit (11) (8) Provision for income taxes Total reclassifications, after tax $ (28) $ (30) Amount included in net income |
Per Share Data (Tables)
Per Share Data (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share, basic and diluted [Table Text Block] | Earnings per share data and dividends declared per share of common stock are as follows: Three Months Ended March 31, 2020 2019 Millions of dollars Continuing Discontinued Continuing Discontinued Net income $ 143 $ 1 $ 817 $ — Dividends on redeemable non-controlling interest stock (2) — (2) — Net income attributable to participating securities — — (1) — Net income attributable to ordinary shareholders – basic and diluted $ 141 $ 1 $ 814 $ — Millions of shares, except per share amounts Basic weighted average common stock outstanding 334 334 372 372 Effect of dilutive securities — — — — Potential dilutive shares 334 334 372 372 Earnings per share: Basic $ 0.42 $ — $ 2.19 $ — Diluted $ 0.42 $ — $ 2.19 $ — |
Segment and Related Informati_2
Segment and Related Information (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting information, by segment [Table Text Block] | Summarized financial information concerning reportable segments is shown in the following tables for the periods presented: Three Months Ended March 31, 2020 Millions of dollars O&P– O&P– I&D APS Refining Technology Other Total Sales and other operating revenues: Customers $ 1,173 $ 2,064 $ 1,732 $ 1,093 $ 1,336 $ 96 $ — $ 7,494 Intersegment 619 160 38 3 112 26 (958) — 1,792 2,224 1,770 1,096 1,448 122 (958) 7,494 Income (loss) from equity investments 2 (3) 2 (1) — — — — EBITDA 366 189 203 113 (272) 56 (9) 646 Three Months Ended March 31, 2019 Millions of dollars O&P– O&P– I&D APS Refining Technology Other Total Sales and other operating revenues: Customers $ 1,393 $ 2,343 $ 1,852 $ 1,338 $ 1,743 $ 109 $ — $ 8,778 Intersegment 718 192 42 1 139 32 (1,124) — 2,111 2,535 1,894 1,339 1,882 141 (1,124) 8,778 Income from equity investments 11 51 2 — — — — 64 EBITDA 516 296 390 148 (15) 83 10 1,428 |
Reconciliation of EBITDA to income (loss) from continuing operations before income taxes [Table Text Block] | A reconciliation of EBITDA to Income from continuing operations before income taxes is shown in the following table for each of the periods presented: Three Months Ended Millions of dollars 2020 2019 EBITDA: Total segment EBITDA $ 655 $ 1,418 Other EBITDA (9) 10 Less: Depreciation and amortization expense (342) (322) Interest expense (89) (92) Add: Interest income 3 6 Income from continuing operations before income taxes $ 218 $ 1,020 |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disclosure Text Block [Abstract] | ||
LCM inventory valuation charge | $ 419 | $ 0 |
Revenues (Details)
Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Contract with customer, liability [Abstract] | |||
Contract with customer liability | $ 151 | $ 124 | |
Revenue recognized included in beginning contract liability | Revenue recognized in each reporting period, included in the contract liability balance at the beginning of the period, was immaterial. | Revenue recognized in each reporting period included in the contract liability balance at the beginning of the period was immaterial. |
Revenues, Key product revenues
Revenues, Key product revenues (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | $ 7,494 | $ 8,778 |
Olefins & co-products [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 667 | 748 |
Polyethylene [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 1,459 | 1,666 |
Polypropylene [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 1,101 | 1,315 |
Propylene oxide and derivatives [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 464 | 528 |
Oxyfuels and related products [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 707 | 664 |
Intermediate chemicals [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 544 | 640 |
Compounding and solutions [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 912 | 1,140 |
Advanced polymers [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 181 | 198 |
Refined products [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 1,336 | 1,743 |
Other [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | $ 123 | $ 136 |
Revenues, Geographic location (
Revenues, Geographic location (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | $ 7,494 | $ 8,778 |
United States [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 3,187 | 3,893 |
Germany [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 641 | 731 |
Mexico [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 380 | 528 |
Italy [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 335 | 387 |
France [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 270 | 362 |
China [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 243 | 298 |
The Netherlands [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 212 | 252 |
Japan [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | 335 | 203 |
Other [Member] | ||
Disaggregation of revenue [Abstract] | ||
Sales and other operating revenues | $ 1,891 | $ 2,124 |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Receivables [Abstract] | ||
Allowance for credit losses, receivables | $ 14 | $ 16 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Inventory, finished goods, work-in-process, and raw materials and supplies [Abstract] | |||
Finished goods | $ 2,691 | $ 3,083 | |
Work-in-process | 124 | 130 | |
Raw materials and supplies | 1,158 | 1,375 | |
Total inventories | 3,973 | $ 4,588 | |
LCM inventory valuation charge | $ 419 | $ 0 |
Debt, Long-term debt (Details)
Debt, Long-term debt (Details) € in Millions, $ in Millions | 3 Months Ended | ||
Mar. 31, 2020EUR (€) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Long-term debt [Line Items] | |||
Long-term debt | $ 12,162 | $ 11,617 | |
Current maturities of long-term debt | (3) | (3) | |
Long-term debt, non-current portion | 12,159 | 11,614 | |
Senior Notes due 2021, $1,000 million, 6.0% ($3 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2021 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 6.00% | 6.00% | |
Unamortized debt issuance cost | $ 3 | ||
Long-term debt | 1,014 | 998 | |
Senior Notes due 2024, $1,000 million, 5.75% ($5 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2024 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 5.75% | 5.75% | |
Unamortized debt issuance cost | $ 5 | ||
Long-term debt | 995 | 995 | |
Senior Notes due 2055, $1,000 million, 4.625% ($16 million of discount; $11 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2055 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 4.625% | 4.625% | |
Unamortized discount | $ 16 | ||
Unamortized debt issuance cost | 11 | ||
Long-term debt | 973 | 973 | |
Term Loan due 2022, $4,000 million ($2 million of debt issuance costs) | |||
Long-term debt [Line Items] | |||
Maturity year | 2022 | ||
Maximum borrowing capacity | 4,000 | ||
Unamortized debt issuance cost | 2 | ||
Long-term debt | 1,948 | 1,950 | |
Senior Revolving Credit Facility due 2022, $2,500 million [Member] | |||
Long-term debt [Line Items] | |||
Maturity year | 2022 | ||
Maximum borrowing capacity | 2,500 | ||
Long-term debt | $ 500 | 0 | |
Guaranteed Notes due 2022, €750 million, 1.875% ($1 million of discount; $2 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2022 | ||
Face amount | € | € 750 | ||
Stated interest rate (in hundredths) | 1.875% | 1.875% | |
Unamortized discount | $ 1 | ||
Unamortized debt issuance cost | 2 | ||
Long-term debt | 819 | 841 | |
Guaranteed Notes due 2023, $750 million, 4.0% ($4 million of discount; $2 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2023 | ||
Face amount | $ 750 | ||
Stated interest rate (in hundredths) | 4.00% | 4.00% | |
Unamortized discount | $ 4 | ||
Unamortized debt issuance cost | 2 | ||
Long-term debt | $ 744 | 744 | |
Guaranteed Notes due 2026, €500 million, 0.875% ($2 million of discount; $3 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2026 | ||
Face amount | € | € 500 | ||
Stated interest rate (in hundredths) | 0.875% | 0.875% | |
Unamortized discount | $ 2 | ||
Unamortized debt issuance cost | 3 | ||
Long-term debt | 542 | 555 | |
Guaranteed Notes due 2027, $1,000 million, 3.5% ($8 million of discount; $6 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2027 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 3.50% | 3.50% | |
Unamortized discount | $ 8 | ||
Unamortized debt issuance cost | 6 | ||
Long-term debt | 1,103 | 1,023 | |
Guaranteed Notes due 2027, $300 million, 8.1% | |||
Long-term debt [Line Items] | |||
Maturity year | 2027 | ||
Face amount | $ 300 | ||
Stated interest rate (in hundredths) | 8.10% | 8.10% | |
Long-term debt | $ 300 | 300 | |
Guaranteed Notes due 2031, €500 million, 1.625% ($6 million of discount; $3 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2031 | ||
Face amount | € | € 500 | ||
Stated interest rate (in hundredths) | 1.625% | 1.625% | |
Unamortized discount | $ 6 | ||
Unamortized debt issuance cost | 3 | ||
Long-term debt | 538 | 552 | |
Guaranteed Notes due 2043, $750 million, 5.25% ($20 million of discount; $7 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2043 | ||
Face amount | $ 750 | ||
Stated interest rate (in hundredths) | 5.25% | 5.25% | |
Unamortized discount | $ 20 | ||
Unamortized debt issuance cost | 7 | ||
Long-term debt | 723 | 723 | |
Guaranteed Notes due 2044, $1,000 million, 4.875% ($10 million of discount; $9 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2044 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 4.875% | 4.875% | |
Unamortized discount | $ 10 | ||
Unamortized debt issuance cost | 9 | ||
Long-term debt | 981 | 980 | |
Guaranteed Notes due 2049, $1,000 million, 4.2% ($15 million of discount; $10 million of debt issuance cost) | |||
Long-term debt [Line Items] | |||
Maturity year | 2049 | ||
Face amount | $ 1,000 | ||
Stated interest rate (in hundredths) | 4.20% | 4.20% | |
Unamortized discount | $ 15 | ||
Unamortized debt issuance cost | 10 | ||
Long-term debt | 975 | 975 | |
Other long-term debt [Member] | |||
Long-term debt [Line Items] | |||
Long-term debt | $ 7 | $ 8 |
Debt, Description of fair value
Debt, Description of fair value adjustments for senior and guaranteed notes (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | 24 Months Ended | 27 Months Ended | 36 Months Ended | 39 Months Ended | 48 Months Ended | 51 Months Ended | 72 Months Ended | 75 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | |
Debt Instrument [Line Items] | |||||||||||
Gain (loss) on fair value adjustments of the hedged item related to interest rate swaps | $ (95) | $ (40) | $ (40) | $ (135) | |||||||
Senior Notes due 2019, $1,000 million, 5.0% [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Maturity year | 2019 | ||||||||||
Stated interest rate (in hundredths) | 5.00% | 5.00% | 5.00% | 5.00% | 5.00% | ||||||
Inception year | 2014 | ||||||||||
Gain (loss) on fair value adjustments of the hedged item related to interest rate swaps | $ 0 | (11) | $ 0 | $ 0 | |||||||
Senior Notes due 2021, $1,000 million, 6.0% [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Maturity year | 2021 | ||||||||||
Stated interest rate (in hundredths) | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | ||||||
Inception year | 2016 | ||||||||||
Gain (loss) on fair value adjustments of the hedged item related to interest rate swaps | $ (16) | (7) | $ (1) | $ (17) | |||||||
Guaranteed Notes due 2027, $1,000 million, 3.5% [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Maturity year | 2027 | ||||||||||
Stated interest rate (in hundredths) | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% | ||||||
Inception year | 2017 | ||||||||||
Gain (loss) on fair value adjustments of the hedged item related to interest rate swaps | $ (80) | (22) | $ (37) | $ (117) | |||||||
Guaranteed Notes due 2022, Euro 750 million, 1.875% [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Maturity year | 2022 | ||||||||||
Stated interest rate (in hundredths) | 1.875% | 1.875% | 1.875% | 1.875% | 1.875% | ||||||
Inception year | 2018 | ||||||||||
Gain (loss) on fair value adjustments of the hedged item related to interest rate swaps | $ 1 | $ 0 | $ (2) | $ (1) |
Debt, Short-term debt (Details)
Debt, Short-term debt (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Short-term debt [Line Items] | ||
Short-term debt | $ 1,493 | $ 445 |
U.S. Receivables Facility [Member] | ||
Short-term debt [Line Items] | ||
Short-term debt | 500 | 0 |
Commercial paper [Member] | ||
Short-term debt [Line Items] | ||
Short-term debt | 778 | 262 |
Precious metal financings [Member] | ||
Short-term debt [Line Items] | ||
Short-term debt | 211 | 181 |
Other short-term debt [Member] | ||
Short-term debt [Line Items] | ||
Short-term debt | $ 4 | $ 2 |
Debt, Description of long-term
Debt, Description of long-term debt (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||
Apr. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Long-term debt [Line Items] | ||||
Issuance of long-term debt | $ 500 | $ 0 | ||
Outstanding borrowings | 12,162 | $ 11,617 | ||
Repayments of long-term debt | 0 | $ 1,000 | ||
Senior Revolving Credit Facility due 2022, $2,500 million [Member] | ||||
Long-term debt [Line Items] | ||||
Maximum borrowing capacity | $ 2,500 | |||
Expiration date | June 2022 | |||
Maximum allowed letters of credit | $ 500 | |||
Additional borrowing capacity, uncommitted loans | $ 1,000 | |||
Description of interest rate | Borrowings under the facility bear interest at either a base rate or LIBOR rate, plus an applicable margin. Additional fees are incurred for the average daily unused commitments. | |||
Facility interest rate | 1.74% | |||
Issuance of long-term debt | $ 500 | |||
Outstanding borrowings | 500 | $ 0 | ||
Outstanding letters of credit | 0 | |||
Unused availability | $ 1,206 | |||
Maturity year | 2022 | |||
Senior Revolving Credit Facility due 2022, $2,500 million [Member] | Subsequent event [Member] | ||||
Long-term debt [Line Items] | ||||
Repayments of long-term debt | $ 500 | |||
Guaranteed notes due 2025, 2.875% [Member] | Subsequent event [Member] | ||||
Long-term debt [Line Items] | ||||
Face amount | $ 500 | |||
Interest rate | 2.875% | |||
Maturity year | 2025 | |||
Discounted prices at which long-term debt was issued (in thousandths) | 99.911% | |||
Guaranteed notes due 2030, 3.375% [Member] | Subsequent event [Member] | ||||
Long-term debt [Line Items] | ||||
Face amount | $ 500 | |||
Interest rate | 3.375% | |||
Maturity year | 2030 | |||
Discounted prices at which long-term debt was issued (in thousandths) | 99.813% | |||
Guaranteed notes due 2050, 4.2% [Member] | Subsequent event [Member] | ||||
Long-term debt [Line Items] | ||||
Face amount | $ 1,000 | |||
Interest rate | 4.20% | |||
Maturity year | 2050 | |||
Discounted prices at which long-term debt was issued (in thousandths) | 99.373% | |||
Guaranteed notes due 2025, 2030 and 2050 [Member] | Subsequent event [Member] | ||||
Long-term debt [Line Items] | ||||
Issuance of long-term debt | $ 1,974 | |||
Issuance date | April 2020 | |||
Description of debt redemption terms | The 2025 Notes, 2030 Notes and 2050 Notes may be redeemed before the date that is one month, three months, or six months, respectively, prior to the scheduled maturity date at a redemption price equal to the greater of 100% of the principal amount of the notes redeemed and the sum of the present values of the remaining scheduled payments of principal and interest (discounted at the applicable treasury yield plus 40 basis points in the case of the 2025 Notes or 45 basis points in the case of the 2030 Notes and 2050 Notes) on the notes to be redeemed. The 2025 Notes, 2030 Notes and 2050 Notes may also be redeemed on or after the date that is one month, three months, or six months, respectively, prior to the scheduled maturity date of the notes at a redemption price equal to 100% of the principal amount of the notes redeemed plus accrued and unpaid interest. The notes are also redeemable upon certain tax events. |
Debt, Description of short-term
Debt, Description of short-term debt (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||
Apr. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Description of short-term debt [Line Items] | ||||
Weighted average interest rate, short-term debt (in hundredths) | 2.40% | 3.30% | ||
Issuance of short-term debt | $ 500 | $ 2,000 | ||
Outstanding short-term borrowings | 1,493 | |||
Commercial paper [Member] | ||||
Description of short-term debt [Line Items] | ||||
Maximum borrowing capacity | $ 2,500 | |||
Description of interest rate | Interest rates on the commercial paper outstanding at March 31, 2020 are based on the terms of the notes and range from 1.45% to 2.45%. | |||
Outstanding short-term borrowings | $ 778 | |||
U.S. Receivables Facility [Member] | ||||
Description of short-term debt [Line Items] | ||||
Expiration date | July 2021 | |||
Maximum borrowing capacity | $ 900 | |||
Additional borrowing capacity, uncommitted loans | 300 | |||
Collateral amount | $ 1,041 | |||
Weighted average interest rate, short-term debt (in hundredths) | 1.62% | |||
Maximum allowed letters of credit | $ 200 | |||
Terms of debt covenants | We are required to maintain a leverage ratio at the end of every fiscal quarter of 3.50 to 1.00, or less, for the period covering the most recent four quarters. | |||
Issuance of short-term debt | $ 500 | |||
Outstanding short-term borrowings | 500 | |||
Outstanding letters of credit | 0 | |||
Unused availability | $ 151 | |||
U.S. Receivables Facility [Member] | Subsequent event [Member] | ||||
Description of short-term debt [Line Items] | ||||
Repayments of short-term debt | $ 500 |
Debt, Debt discount and issuanc
Debt, Debt discount and issuance costs included in interest expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Debt discount and issuance costs [Abstract] | ||
Amortization of debt discounts and debt issuance costs | $ 4 | $ 1 |
Debt, Formation of LYB Internat
Debt, Formation of LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC (Details) | 3 Months Ended |
Mar. 31, 2020 | |
Formation of direct, 100% owned finance subsidiary [Abstract] | |
LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC business activities and description | LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC are direct, 100% owned finance subsidiaries of LyondellBasell Industries N.V., as defined in Rule 3-10(b) of Regulation S-X. Any debt securities issued by LYB International Finance B.V., LYB International Finance II B.V. and LYB International Finance III, LLC will be fully and unconditionally guaranteed by LyondellBasell Industries N.V. |
Debt, Credit Facility Amendment
Debt, Credit Facility Amendment (Details) | 1 Months Ended |
Apr. 30, 2020 | |
Credit facility [Member] | Subsequent event [Member] | |
Credit facility [Line Items] | |
Terms of debt covenants | The Amendments amended each Credit Agreement’s gross leverage ratio covenant of 3.50 to 1.0 to permit netting of unrestricted cash and cash equivalents in excess of $300 million (with certain restrictions on non-US cash) and, in respect of the Senior Revolving Credit Facility and Term Loan due 2022, restrict certain dividends and other specified restricted payments. |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Measurements, Market risks, commodity prices and foreign currency rates (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Amount of marketable securities classified as cash and cash equivalents | $ 885 | $ 389 | |
Foreign Currency [Abstract] | |||
Foreign currency gain (loss) | $ (7) | $ 11 |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Measurements, Summary of derivative and non-derivative financial instruments outstanding measured at fair value on a recurring basis (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | $ 5,241 | $ 4,719 |
Notional amount, derivative and non-derivative financial instruments liabilities | 2,910 | 3,074 |
Fair value, derivative and non-derivative financial instruments assets | 785 | 505 |
Fair value, derivative and non-derivative financial instruments liabilities | 877 | 335 |
Derivative [Member] | Designated as hedges: [Member] | Foreign currency [Member] | Prepaid expenses and other current assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 0 | 0 |
Fair value, derivative and non-derivative financial instruments assets | 51 | 27 |
Derivative [Member] | Designated as hedges: [Member] | Foreign currency [Member] | Other assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 2,300 | 2,000 |
Fair value, derivative and non-derivative financial instruments assets | 351 | 214 |
Derivative [Member] | Designated as hedges: [Member] | Foreign currency [Member] | Accrued liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 0 | 0 |
Fair value, derivative and non-derivative financial instruments liabilities | 33 | 16 |
Derivative [Member] | Designated as hedges: [Member] | Foreign currency [Member] | Other liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 650 | 950 |
Fair value, derivative and non-derivative financial instruments liabilities | 27 | 53 |
Derivative [Member] | Designated as hedges: [Member] | Interest rate contract [Member] | Prepaid expenses and other current assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 0 | 0 |
Fair value, derivative and non-derivative financial instruments assets | 26 | 22 |
Derivative [Member] | Designated as hedges: [Member] | Interest rate contract [Member] | Other assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 2,246 | 1,940 |
Fair value, derivative and non-derivative financial instruments assets | 135 | 41 |
Derivative [Member] | Designated as hedges: [Member] | Interest rate contract [Member] | Accrued liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 0 | 1,000 |
Fair value, derivative and non-derivative financial instruments liabilities | 5 | 154 |
Derivative [Member] | Designated as hedges: [Member] | Interest rate contract [Member] | Other liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 1,500 | 700 |
Fair value, derivative and non-derivative financial instruments liabilities | 760 | 77 |
Derivative [Member] | Not designated as hedges: [Member] | Commodities [Member] | Prepaid expenses and other current assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 138 | 3 |
Fair value, derivative and non-derivative financial instruments assets | 9 | 0 |
Derivative [Member] | Not designated as hedges: [Member] | Commodities [Member] | Accrued liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 156 | 224 |
Fair value, derivative and non-derivative financial instruments liabilities | 37 | 34 |
Derivative [Member] | Not designated as hedges: [Member] | Foreign currency [Member] | Prepaid expenses and other current assets [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 355 | 580 |
Fair value, derivative and non-derivative financial instruments assets | 13 | 5 |
Derivative [Member] | Not designated as hedges: [Member] | Foreign currency [Member] | Accrued liabilities [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments liabilities | 604 | 200 |
Fair value, derivative and non-derivative financial instruments liabilities | 15 | 1 |
Non-derivatives: [Member] | Available-for-sale debt securities [Member] | Short-term investments [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 159 | 162 |
Fair value, derivative and non-derivative financial instruments assets | 157 | 162 |
Non-derivatives: [Member] | Equity securities [Member] | Short-term investments [Member] | Fair value, inputs, level 2 [Member] | ||
Derivative and non-derivative assets and liabilities at fair value, net, by balance sheet classification [Abstract] | ||
Notional amount, derivative and non-derivative financial instruments assets | 43 | 34 |
Fair value, derivative and non-derivative financial instruments assets | $ 43 | $ 34 |
Financial Instruments and Fai_5
Financial Instruments and Fair Value Measurements, Outstanding foreign currency and commodity contracts (Details) - Not designated as hedges: [Member] | 3 Months Ended |
Mar. 31, 2020 | |
Foreign currency rates [Member] | Minimum [Member] | |
Derivative [Line Items] | |
Derivative, maturity date | April 2020 |
Foreign currency rates [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, maturity date | September 2020 |
Commodities [Member] | Minimum [Member] | |
Derivative [Line Items] | |
Derivative, maturity date | April 2020 |
Commodities [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, maturity date | June 2020 |
Financial Instruments and Fai_6
Financial Instruments and Fair Value Measurements, Carrying value and estimated fair value of non-derivative financial instruments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Liabilities: [Abstract] | ||
Short-term debt, carrying value | $ 1,493 | $ 445 |
Nonrecurring [Member] | Non-derivatives: [Member] | ||
Liabilities: [Abstract] | ||
Short-term debt, carrying value | 711 | 181 |
Long-term debt, carrying value | 12,155 | 11,609 |
Total liabilities, carrying value | 12,866 | 11,790 |
Short-term debt, fair value | 731 | 215 |
Long-term debt, fair value | 12,222 | 12,561 |
Total liabilities, fair value | $ 12,953 | $ 12,776 |
Non-derivative fair value level and transfers description | All financial instruments in the table above are classified as Level 2. |
Financial Instruments and Fai_7
Financial Instruments and Fair Value Measurements, Summary of net investment hedges (Details) - Net investment hedging [Member] € in Millions, $ in Millions | 3 Months Ended | |||
Mar. 31, 2020EUR (€) | Mar. 31, 2020USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2019USD ($) | |
Derivative [Member] | Foreign currency contract [Member] | ||||
Derivative [Line Items] | ||||
Notional value | € 617 | $ 650 | € 617 | $ 650 |
Expiration date | 2027 | |||
Non-derivatives: [Member] | Foreign-currency denominated debt [Member] | ||||
Derivative [Line Items] | ||||
Notional value | € 750 | $ 821 | € 750 | $ 842 |
Expiration date | 2022 |
Financial Instruments and Fai_8
Financial Instruments and Fair Value Measurements, Summary of cash flow hedges (Details) - Cash flow hedge [Member] - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |
Jan. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Interest expense [Member] | |||
Derivative [Line Items] | |||
Pre-tax unrealized gain (loss) to be reclassified to earnings over the next twelve months | $ 3 | ||
Foreign currency [Member] | |||
Derivative [Line Items] | |||
Notional value | $ 2,300 | $ 2,300 | |
Foreign currency [Member] | Minimum [Member] | |||
Derivative [Line Items] | |||
Expiration date | 2021 | ||
Foreign currency [Member] | Maximum [Member] | |||
Derivative [Line Items] | |||
Expiration date | 2027 | ||
Interest rates [Member] | |||
Derivative [Line Items] | |||
Notional value | $ 1,000 | $ 1,500 | $ 1,500 |
Description of interest rate cash flow hedge activity | In January 2020, we amended previously existing forward-starting interest rate swaps with a total notional amount of $1,000 million (the “Swaps”) to extend their maturities to July 2023 and April 2024. | ||
Interest rates [Member] | Other assets [Member] | |||
Derivative [Line Items] | |||
Derivative collateral related to the liability position held with counterparties | $ 238 | ||
Interest rates [Member] | Minimum [Member] | |||
Derivative [Line Items] | |||
Expiration date | 2021 | ||
Interest rates [Member] | Maximum [Member] | |||
Derivative [Line Items] | |||
Expiration date | 2024 |
Financial Instruments and Fai_9
Financial Instruments and Fair Value Measurements, Summary of fair value hedges (Details) € in Millions, $ in Millions | 1 Months Ended | 3 Months Ended | |||
Apr. 30, 2020USD ($) | Jan. 31, 2020EUR (€) | Mar. 31, 2020EUR (€) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Guaranteed Notes due 2026, €500 million, 0.875% ($2 million of discount; $3 million of debt issuance cost) | |||||
Derivative [Line Items] | |||||
Face amount | € | € 500 | ||||
Maturity year | 2026 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | |||||
Derivative [Line Items] | |||||
Notional value | $ | $ 2,246 | $ 2,140 | |||
Fair value hedge [Member] | Interest rate contract [Member] | Guaranteed Notes due 2026, €500 million, 0.875% ($2 million of discount; $3 million of debt issuance cost) | |||||
Derivative [Line Items] | |||||
Amount of hedged item | € | € 100 | ||||
Face amount | € | € 500 | ||||
Maturity year | 2026 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | Minimum [Member] | |||||
Derivative [Line Items] | |||||
Derivative, maturity date | 2021 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | Maximum [Member] | |||||
Derivative [Line Items] | |||||
Derivative, maturity date | 2027 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | Subsequent event [Member] | |||||
Derivative [Line Items] | |||||
Notional value | $ | $ 2,000 | ||||
Proceeds from termination of fair value hedges | $ | $ 147 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | Subsequent event [Member] | Minimum [Member] | |||||
Derivative [Line Items] | |||||
Derivative, maturity date | 2021 | ||||
Fair value hedge [Member] | Interest rate contract [Member] | Subsequent event [Member] | Maximum [Member] | |||||
Derivative [Line Items] | |||||
Derivative, maturity date | 2027 |
Financial Instruments and Fa_10
Financial Instruments and Fair Value Measurements, Pretax effect of derivative instruments charged directly to income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | $ (349) | $ 8 |
Gain (loss) reclassified from AOCI to income | (53) | (44) |
Gain (loss) recognized in income | 96 | 7 |
Amount of gain (loss) recognized in other comprehensive income on derivative amount excluded for effectiveness testing | 2 | |
Amount of gain (loss) recognized in earnings on derivative amount excluded for effectiveness testing | 4 | 5 |
Pretax effect of the periodic receipt of fixed interest and payment of variable interest | 2 | 3 |
Minimum [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Amount of gain (loss) recognized in other comprehensive income on derivative amount excluded for effectiveness testing | 0 | |
Maximum [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Amount of gain (loss) recognized in other comprehensive income on derivative amount excluded for effectiveness testing | 1 | |
Derivatives: [Member] | Designated as hedges: [Member] | Commodities [Member] | Sales and other operating revenues [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 0 | (50) |
Gain (loss) reclassified from AOCI to income | 0 | (5) |
Gain (loss) recognized in income | 0 | 0 |
Derivatives: [Member] | Designated as hedges: [Member] | Commodities [Member] | Cost of sales [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 0 | 46 |
Gain (loss) reclassified from AOCI to income | 0 | 4 |
Gain (loss) recognized in income | 0 | 0 |
Derivatives: [Member] | Designated as hedges: [Member] | Foreign currency [Member] | Other income (expense), net; Interest expense [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 164 | 70 |
Gain (loss) reclassified from AOCI to income | (53) | (39) |
Gain (loss) recognized in income | 16 | 17 |
Derivatives: [Member] | Designated as hedges: [Member] | Interest rate contract [Member] | Interest expense [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | (535) | (74) |
Gain (loss) reclassified from AOCI to income | 0 | (4) |
Gain (loss) recognized in income | 96 | (34) |
Derivatives: [Member] | Not designated as hedges: [Member] | Commodities [Member] | Sales and other operating revenues [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 0 | 0 |
Gain (loss) reclassified from AOCI to income | 0 | 0 |
Gain (loss) recognized in income | (9) | 2 |
Derivatives: [Member] | Not designated as hedges: [Member] | Commodities [Member] | Cost of sales [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 0 | 0 |
Gain (loss) reclassified from AOCI to income | 0 | 0 |
Gain (loss) recognized in income | (3) | 3 |
Derivatives: [Member] | Not designated as hedges: [Member] | Foreign currency [Member] | Other income (expense), net [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 0 | 0 |
Gain (loss) reclassified from AOCI to income | 0 | 0 |
Gain (loss) recognized in income | (4) | 19 |
Non-derivatives: [Member] | Designated as hedges: [Member] | Long-term debt [Member] | Other income (expense), net [Member] | ||
Derivative Instruments, gain (loss) [Line Items] | ||
Gain (loss) recognized in AOCI | 22 | 16 |
Gain (loss) reclassified from AOCI to income | 0 | 0 |
Gain (loss) recognized in income | $ 0 | $ 0 |
Financial Instruments and Fa_11
Financial Instruments and Fair Value Measurements, Summary of available-for-sale debt securities (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Available-for-sale debt securities, additional information [Abstract] | |||
Allowance for credit losses related to available-for-sale debt securities | $ 0 | $ 0 | |
Proceeds from maturities and sales of available-for-sale securities and the related gross realized gains and losses [Abstract] | |||
Proceeds from maturities of available-for-sale debt securities | 0 | $ 308 | |
Proceeds from sales of available-for-sale debt securities | 0 | 0 | |
Gross realized gains | 0 | 0 | |
Gross realized losses | 0 | $ 0 | |
Available-for-sale debt securities continuous unrealized loss position [Abstract] | |||
Unrealized loss on available-for-sale debt securities in continuous unrealized loss position for less than twelve months | 0 | 0 | |
Unrealized loss on available-for-sale debt securities in continuous unrealized loss position for greater than twelve months | 0 | 0 | |
Bonds [Member] | |||
Available-for-sale debt securities [Abstract] | |||
Cost | 159 | 162 | |
Gross unrealized gains | 1 | 0 | |
Gross unrealized losses | (3) | 0 | |
Fair value | $ 157 | $ 162 | |
Bonds [Member] | Minimum [Member] | |||
Available-for-sale debt securities, additional information [Abstract] | |||
Investment maturity period | 10 months | ||
Bonds [Member] | Maximum [Member] | |||
Available-for-sale debt securities, additional information [Abstract] | |||
Investment maturity period | 42 months |
Financial Instruments and Fa_12
Financial Instruments and Fair Value Measurements, Equity securities (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Equity Securities, FV-NI, Realized Gain (Loss) [Abstract] | |||
Net gains (losses) recognized during the period | $ 0 | $ 7 | |
Less: Net gains (losses) during the period on securities sold | 0 | 1 | |
Unrealized gains (losses) on equity securities | 0 | 6 | |
Proceeds from Sale, Maturity and Collection of Investments [Abstract] | |||
Proceeds from sale of equity securities | 1 | $ 162 | |
Equity securities [Member] | |||
Derivative [Line Items] | |||
Notional amount | 43 | $ 34 | |
Fair value | $ 43 | $ 34 |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Effective income tax rate reconciliation, percent [Abstract] | ||
Effective income tax rate (in hundredths) | 34.40% | 19.90% |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Capital purchase commitment | $ 783 | |
Site contingency [Line Items] | ||
Future environmental remediation costs | $ 130 | $ 132 |
Minimum [Member] | ||
Site contingency [Line Items] | ||
Minimum accrued liability for individual site range | less than $1 million | |
Maximum [Member] | ||
Site contingency [Line Items] | ||
Maximum accrued liability for individual site range | $ 15 |
Commitments and Contingencies,
Commitments and Contingencies, Indemnification (Details) | 3 Months Ended |
Mar. 31, 2020 | |
Minimum [Member] | |
Loss Contingencies [Line Items] | |
Technology licensing contracts indemnification period | 5 years |
Maximum [Member] | |
Loss Contingencies [Line Items] | |
Technology licensing contracts indemnification period | 10 years |
Shareholders' Equity and Rede_3
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Dividend distributions (Details) $ / shares in Units, $ in Millions | 1 Months Ended |
Mar. 31, 2020USD ($)$ / shares | |
Payments of Dividends [Abstract] | |
Dividend per ordinary share (per share) | $ / shares | $ 1.05 |
Aggregate dividends paid | $ | $ 351 |
Date of record common stock shareholders | Mar. 2, 2020 |
Shareholders' Equity and Rede_4
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Share repurchase authorization (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | |
Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Share repurchase authorization [Line Items] | |||
Cash paid for shares repurchased | $ 4 | $ 512 | |
Sept 2019 Share Repurchase Authorization [Member] | |||
Share repurchase authorization [Line Items] | |||
Stock repurchase authorization shares authorized to be repurchased | 33,300,000 | ||
Stock repurchase authorization expiration date | Mar. 12, 2021 | ||
Shares repurchased (in shares) | 50,685 | ||
Average purchase price (in dollars per share) | $ 78.93 | ||
Total purchase price, including commissions and fees | $ 4 | ||
June 2018 Share Repurchase Authorization [Member] | |||
Share repurchase authorization [Line Items] | |||
Shares repurchased (in shares) | 5,648,900 | ||
Average purchase price (in dollars per share) | $ 86.38 | ||
Total purchase price, including commissions and fees | $ 488 |
Shareholders' Equity and Rede_5
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Ordinary shares (Details) - shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Ordinary share outstanding [Abstract] | ||
Beginning balance (in shares) | 333,476,883 | |
Ending balance (in shares) | 333,703,450 | |
Ordinary shares [Member] | ||
Ordinary share outstanding [Abstract] | ||
Beginning balance (in shares) | 333,476,883 | 375,696,661 |
Share-based compensation (in shares) | 196,037 | 235,550 |
Employee stock purchase plan (in shares) | 81,215 | 42,792 |
Purchase of ordinary shares (in shares) | (50,685) | (5,648,900) |
Ending balance (in shares) | 333,703,450 | 370,326,103 |
Shareholders' Equity and Rede_6
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Treasury shares (Details) - shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Increase (Decrease) in Treasury Stock [Roll Forward] | ||
Beginning balance (in shares) | 6,568,745 | |
Ending balance (in shares) | 6,342,178 | |
Treasury shares [Member] | ||
Increase (Decrease) in Treasury Stock [Roll Forward] | ||
Beginning balance (in shares) | 6,568,745 | 24,513,619 |
Share-based compensation (in shares) | (196,037) | (235,550) |
Employee stock purchase plan (in shares) | (81,215) | (42,792) |
Purchase of ordinary shares (in shares) | 50,685 | 5,648,900 |
Ending balance (in shares) | 6,342,178 | 29,884,177 |
Shareholders' Equity and Rede_7
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Components of accumulated other comprehensive income (loss) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Accumulated other comprehensive income (loss) [Line Items] | ||
Accumulated other comprehensive income (loss), beginning of period | $ (1,784) | $ (1,363) |
Other comprehensive income (loss) before reclassifications | (586) | (26) |
Tax (expense) benefit before reclassifications | 85 | 1 |
Amounts reclassified from accumulated other comprehensive income (loss) | (39) | (38) |
Tax (expense) benefit | 11 | 8 |
Net other comprehensive income (loss) | (529) | (55) |
Accumulated other comprehensive income (loss), end of period | (2,313) | (1,418) |
Financial derivatives [Member] | ||
Accumulated other comprehensive income (loss) [Line Items] | ||
Accumulated other comprehensive income (loss), beginning of period | (200) | (68) |
Other comprehensive income (loss) before reclassifications | (388) | (19) |
Tax (expense) benefit before reclassifications | 88 | 4 |
Amounts reclassified from accumulated other comprehensive income (loss) | (53) | (45) |
Tax (expense) benefit | 15 | 10 |
Net other comprehensive income (loss) | (338) | (50) |
Accumulated other comprehensive income (loss), end of period | (538) | (118) |
Unrealized gains (losses) on available-for-sale debt securities [Member] | ||
Accumulated other comprehensive income (loss) [Line Items] | ||
Accumulated other comprehensive income (loss), beginning of period | 0 | |
Other comprehensive income (loss) before reclassifications | (3) | |
Tax (expense) benefit before reclassifications | 1 | |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | |
Tax (expense) benefit | 0 | |
Net other comprehensive income (loss) | (2) | |
Accumulated other comprehensive income (loss), end of period | (2) | |
Defined benefit pension and other postretirement benefit plans [Member] | ||
Accumulated other comprehensive income (loss) [Line Items] | ||
Accumulated other comprehensive income (loss), beginning of period | (711) | (442) |
Other comprehensive income (loss) before reclassifications | 0 | 0 |
Tax (expense) benefit before reclassifications | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss) | 14 | 7 |
Tax (expense) benefit | (4) | (2) |
Net other comprehensive income (loss) | 10 | 5 |
Accumulated other comprehensive income (loss), end of period | (701) | (437) |
Foreign currency translation adjustments [Member] | ||
Accumulated other comprehensive income (loss) [Line Items] | ||
Accumulated other comprehensive income (loss), beginning of period | (873) | (853) |
Other comprehensive income (loss) before reclassifications | (195) | (7) |
Tax (expense) benefit before reclassifications | (4) | (3) |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 |
Tax (expense) benefit | 0 | 0 |
Net other comprehensive income (loss) | (199) | (10) |
Accumulated other comprehensive income (loss), end of period | $ (1,072) | $ (863) |
Shareholders' Equity and Rede_8
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Reclassification out of accumulated other comprehensive income (loss) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Other income (expense), net | $ 0 | $ 25 |
Sales and other operating revenue | 7,494 | 8,778 |
Cost of sales | 6,868 | 7,446 |
Interest expense (income) | 89 | 92 |
Income (loss) before income taxes | 218 | 1,020 |
Provision for (benefit from) income taxes | 75 | 203 |
Net income | 144 | 817 |
Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Income (loss) before income taxes | (39) | (38) |
Provision for (benefit from) income taxes | (11) | (8) |
Net income | (28) | (30) |
Financial derivatives [Member] | Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Provision for (benefit from) income taxes | (15) | (10) |
Net income | (38) | (35) |
Financial derivatives [Member] | Foreign currency [Member] | Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Other income (expense), net | (53) | (39) |
Financial derivatives [Member] | Commodities [Member] | Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Sales and other operating revenue | 0 | (6) |
Cost of sales | 0 | 4 |
Financial derivatives [Member] | Interest rate contract [Member] | Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Interest expense (income) | 0 | (4) |
Amortization of defined pension items [Member] | Amounts reclassified out of accumulated other comprehensive income (loss) [Member] | ||
Reclassification adjustments out of accumulated other comprehensive income (loss) [Line Items] | ||
Amortization of prior service cost (benefit) | 1 | 0 |
Amortization of actuarial (gain) loss | 13 | 7 |
Provision for (benefit from) income taxes | 4 | 2 |
Net income | $ 10 | $ 5 |
Shareholders' Equity and Rede_9
Shareholders' Equity and Redeemable Non-controlling Interests, Shareholders' Equity, Purchase of non-controlling interest (Details) - Lyondell Basell N.V. [Member] - USD ($) $ in Millions | 1 Months Ended | |
Feb. 28, 2019 | Dec. 31, 2018 | |
Non-controlling interest, ownership percentage by parent | 100.00% | 85.00% |
Purchase of non-controlling interest in subsidiary La Porte Methanol Company, L.P. | $ 63 |
Shareholders' Equity and Red_10
Shareholders' Equity and Redeemable Non-controlling Interests, Redeemable non-controlling interests (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | ||
Feb. 29, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Temporary Equity [Abstract] | ||||
Cumulative perpetual special stock, shares outstanding | 115,374 | 115,374 | ||
Redeemable non-controlling interests, dividends per share (in dollars per share) | $ 15 | $ 15 | $ 15 | |
Date of record special stock of subsidiary shareholders | Jan. 15, 2020 | |||
Aggregate dividends on redeemable non-controlling interest stock | $ 2 | $ 2 |
Per Share Data (Details)
Per Share Data (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Earnings per share reconciliation [Abstract] | ||
Net income (loss) | $ 144 | $ 817 |
Dividends on redeemable non-controlling interests | $ (2) | $ (2) |
Earnings (loss) per share: [Abstract] | ||
Basic (in dollars per share) | $ 0.42 | $ 2.19 |
Diluted (in dollars per share) | $ 0.42 | $ 2.19 |
Continuing operations [Member] | ||
Earnings per share reconciliation [Abstract] | ||
Net income (loss) | $ 143 | $ 817 |
Dividends on redeemable non-controlling interests | (2) | (2) |
Net income attributable to participating securities | 0 | (1) |
Net income (loss) attributable to ordinary shareholders - Basic | 141 | 814 |
Net income (loss) attributable to ordinary shareholders - Diluted | $ 141 | $ 814 |
Weighted average number of shares outstanding reconciliation [Abstract] | ||
Basic weighted average common stock outstanding (in shares) | 334 | 372 |
Effect of dilutive securities: [Abstract] | ||
Effect of dilutive securities (in shares) | 0 | 0 |
Potential dilutive shares (in shares) | 334 | 372 |
Earnings (loss) per share: [Abstract] | ||
Basic (in dollars per share) | $ 0.42 | $ 2.19 |
Diluted (in dollars per share) | $ 0.42 | $ 2.19 |
Discontinued operations [Member] | ||
Earnings per share reconciliation [Abstract] | ||
Net income (loss) | $ 1 | $ 0 |
Dividends on redeemable non-controlling interests | 0 | 0 |
Net income attributable to participating securities | 0 | 0 |
Net income (loss) attributable to ordinary shareholders - Basic | 1 | 0 |
Net income (loss) attributable to ordinary shareholders - Diluted | $ 1 | $ 0 |
Weighted average number of shares outstanding reconciliation [Abstract] | ||
Basic weighted average common stock outstanding (in shares) | 334 | 372 |
Effect of dilutive securities: [Abstract] | ||
Effect of dilutive securities (in shares) | 0 | 0 |
Potential dilutive shares (in shares) | 334 | 372 |
Earnings (loss) per share: [Abstract] | ||
Basic (in dollars per share) | $ 0 | $ 0 |
Diluted (in dollars per share) | $ 0 | $ 0 |
Segment and Related Informati_3
Segment and Related Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | $ 7,494 | $ 8,778 |
Income (loss) from equity investments | 0 | 64 |
EBITDA | 646 | 1,428 |
LCM inventory valuation charge | 419 | 0 |
O&P - Americas [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,173 | 1,393 |
Income (loss) from equity investments | 2 | 11 |
EBITDA | 366 | 516 |
LCM inventory valuation charge | 111 | |
O&P - EAI [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 2,064 | 2,343 |
Income (loss) from equity investments | (3) | 51 |
EBITDA | 189 | 296 |
LCM inventory valuation charge | 36 | |
I&D [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,732 | 1,852 |
Income (loss) from equity investments | 2 | 2 |
EBITDA | 203 | 390 |
LCM inventory valuation charge | 78 | |
APS [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,093 | 1,338 |
Income (loss) from equity investments | (1) | 0 |
EBITDA | 113 | 148 |
LCM inventory valuation charge | 2 | |
A. Schulman combined transaction and integration costs | 14 | 16 |
Refining [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,336 | 1,743 |
Income (loss) from equity investments | 0 | 0 |
EBITDA | (272) | (15) |
LCM inventory valuation charge | 192 | |
Technology [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 96 | 109 |
Income (loss) from equity investments | 0 | 0 |
EBITDA | 56 | 83 |
Other [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 0 | 0 |
Income (loss) from equity investments | 0 | 0 |
EBITDA | (9) | 10 |
Intersegment elimination [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 0 | 0 |
Intersegment elimination [Member] | O&P - Americas [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 619 | 718 |
Intersegment elimination [Member] | O&P - EAI [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 160 | 192 |
Intersegment elimination [Member] | I&D [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 38 | 42 |
Intersegment elimination [Member] | APS [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 3 | 1 |
Intersegment elimination [Member] | Refining [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 112 | 139 |
Intersegment elimination [Member] | Technology [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 26 | 32 |
Intersegment elimination [Member] | Other [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | (958) | (1,124) |
Operating segments [Member] | O&P - Americas [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,792 | 2,111 |
Operating segments [Member] | O&P - EAI [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 2,224 | 2,535 |
Operating segments [Member] | I&D [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,770 | 1,894 |
Operating segments [Member] | APS [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,096 | 1,339 |
Operating segments [Member] | Refining [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 1,448 | 1,882 |
Operating segments [Member] | Technology [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | 122 | 141 |
Operating segments [Member] | Other [Member] | ||
Summarized financial information concerning reportable segments: [Abstract] | ||
Sales and other operating revenues | $ (958) | $ (1,124) |
Segment and Related Informati_4
Segment and Related Information, Reconciliation of EBITDA to income (loss) from continuing operations before income taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
EBITDA: [Abstract] | ||
Total segment EBITDA | $ 655 | $ 1,418 |
Other EBITDA | (9) | 10 |
Less: [Abstract] | ||
Depreciation and amortization expense | (342) | (322) |
Interest expense | (89) | (92) |
Add: [Abstract] | ||
Interest income | 3 | 6 |
Income from continuing operations before income taxes | $ 218 | $ 1,020 |