Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Oct. 31, 2019 | |
Cover [Abstract] | ||
Entity Registrant Name | Chemours Co | |
Entity Central Index Key | 0001627223 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Document Type | 10-Q | |
Trading Symbol | CC | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 163,501,112 | |
Entity Shell Company | false | |
Entity File Number | 001-36794 | |
Entity Tax Identification Number | 46-4845564 | |
Entity Address, Address Line One | 1007 Market Street | |
Entity Address, City or Town | Wilmington | |
Entity Address, State or Province | DE | |
Entity Address, Postal Zip Code | 19801 | |
City Area Code | 302 | |
Local Phone Number | 773-1000 | |
Title of 12(b) Security | Common Stock ($.01 par value) | |
Security Exchange Name | NYSE | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
Interim Consolidated Statements
Interim Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,390 | $ 1,628 | $ 4,173 | $ 5,174 |
Cost of goods sold | 1,096 | 1,151 | 3,260 | 3,603 |
Gross profit | 294 | 477 | 913 | 1,571 |
Selling, general, and administrative expense | 130 | 163 | 423 | 466 |
Research and development expense | 20 | 20 | 61 | 61 |
Restructuring, asset-related, and other charges | 34 | 12 | 49 | 32 |
Total other operating expenses | 184 | 195 | 533 | 559 |
Equity in earnings of affiliates | 9 | 10 | 25 | 32 |
Interest expense, net | (53) | (47) | (156) | (148) |
Loss on extinguishment of debt | 0 | 0 | 0 | (38) |
Other income, net | 25 | 24 | 81 | 115 |
Income before income taxes | 91 | 269 | 330 | 973 |
Provision for (benefit from) income taxes | 15 | (6) | 65 | 119 |
Net income | 76 | 275 | 265 | 854 |
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | 1 |
Net income attributable to Chemours | $ 76 | $ 275 | $ 265 | $ 853 |
Per share data | ||||
Basic earnings per share of common stock | $ 0.46 | $ 1.56 | $ 1.60 | $ 4.77 |
Diluted earnings per share of common stock | $ 0.46 | $ 1.51 | $ 1.58 | $ 4.62 |
Interim Consolidated Statemen_2
Interim Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income, pre-tax | $ 91 | $ 269 | $ 330 | $ 973 |
Net Income, tax | (15) | 6 | (65) | (119) |
Net income | 76 | 275 | 265 | 854 |
Hedging activities: | ||||
Unrealized gain (loss) on net investment hedge, pre-tax | 33 | (11) | 36 | 2 |
Unrealized gain (loss) on net investment hedge, tax | (8) | 3 | (9) | (1) |
Unrealized gain (loss) on net investment hedge, after tax | 25 | (8) | 27 | 1 |
Unrealized gain (loss) on cash flow hedge, pre-tax | 5 | (1) | 7 | 6 |
Unrealized gain (loss) on cash flow hedge, tax | (1) | 0 | (1) | 0 |
Unrealized gain (loss) on cash flow hedge, after-tax | 4 | (1) | 6 | 6 |
Reclassifications to net income - cash flow hedge, pre-tax | (2) | (1) | (8) | (1) |
Reclassifications to net income - cash flow hedge, tax | 0 | 0 | 1 | 0 |
Reclassifications to net income - cash flow hedge, after-tax | (2) | (1) | (7) | (1) |
Hedging activities, net, pre-tax | 36 | (13) | 35 | 7 |
Hedging activities, net, tax | (9) | 3 | (9) | (1) |
Hedging activities, net, after-tax | 27 | (10) | 26 | 6 |
Cumulative translation adjustment, pre-tax | (68) | 36 | (45) | (17) |
Cumulative translation adjustment, tax | 0 | 0 | 0 | 0 |
Cumulative translation adjustment, after-tax | (68) | 36 | (45) | (17) |
Defined benefit plans: | ||||
Net loss, pre-tax | (3) | 0 | ||
Net loss, tax | 0 | 0 | ||
Net loss, after-tax | (3) | 0 | ||
Prior service benefit, pre-tax | 5 | 0 | ||
Prior service benefit, tax | 0 | 0 | ||
Prior service benefit, after-tax | 5 | 0 | ||
Effect of foreign exchange rates, pre-tax | 9 | (2) | 10 | 3 |
Effect of foreign exchange rates, tax | 0 | 0 | 0 | 0 |
Effect of foreign exchange rates, after-tax | 9 | (2) | 10 | 3 |
Amortization of prior service gain, pre- tax | (1) | 0 | (2) | (1) |
Amortization of prior service gain, tax | 0 | 0 | 0 | 0 |
Amortization of prior service gain, after-tax | (1) | 0 | (2) | (1) |
Amortization of actuarial loss, pre-tax | 6 | 4 | 18 | 11 |
Amortization of actuarial loss, tax | (1) | (1) | (4) | (2) |
Amortization of actuarial loss, after-tax | 5 | 3 | 14 | 9 |
Settlement loss, pre-tax | 3 | 2 | 4 | 2 |
Settlement loss, tax | 0 | 0 | (1) | 0 |
Settlement loss, after-tax | 3 | 2 | 3 | 2 |
Defined benefit plans, net, pre-tax | 17 | 4 | 32 | 15 |
Defined benefit plans, net, tax | (1) | (1) | (5) | (2) |
Defined benefit plans, net, after-tax | 16 | 3 | 27 | 13 |
Other comprehensive (loss) income, pre-tax | (15) | 27 | 22 | 5 |
Other comprehensive (loss) income, tax | (10) | 2 | (14) | (3) |
Other comprehensive (loss) income, after-tax | (25) | 29 | 8 | 2 |
Comprehensive income, pre-tax | 76 | 296 | 352 | 978 |
Comprehensive income, tax | (25) | 8 | (79) | (122) |
Comprehensive income, after-tax | 51 | 304 | 273 | 856 |
Less: Comprehensive income attributable to non-controlling interests, pre-tax | 0 | 0 | 0 | 1 |
Less: Comprehensive income attributable to non-controlling interests, tax | 0 | 0 | 0 | 0 |
Less: Comprehensive income attributable to non-controlling interests, after-tax | 0 | 0 | 0 | 1 |
Comprehensive income attributable to Chemours, pre-tax | 76 | 296 | 352 | 977 |
Comprehensive income attributable to Chemours, tax | (25) | 8 | (79) | (122) |
Comprehensive income attributable to Chemours, after-tax | $ 51 | $ 304 | $ 273 | $ 855 |
Interim Consolidated Balance Sh
Interim Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 694 | $ 1,201 |
Accounts and notes receivable, net | 832 | 861 |
Inventories | 1,223 | 1,147 |
Prepaid expenses and other | 78 | 84 |
Total current assets | 2,827 | 3,293 |
Property, plant, and equipment | 9,274 | 8,992 |
Less: Accumulated depreciation | (5,754) | (5,701) |
Property, plant, and equipment, net | 3,520 | 3,291 |
Operating lease right-of-use assets | 307 | |
Goodwill and other intangible assets, net | 176 | 181 |
Investments in affiliates | 184 | 160 |
Other assets | 442 | 437 |
Total assets | 7,456 | 7,362 |
Current liabilities: | ||
Accounts payable | 948 | 1,137 |
Short-term and current maturities of long-term debt | 149 | 13 |
Other accrued liabilities | 546 | 559 |
Total current liabilities | 1,643 | 1,709 |
Long-term debt, net | 4,007 | 3,959 |
Operating lease liabilities | 254 | |
Deferred income taxes | 208 | 217 |
Other liabilities | 501 | 457 |
Total liabilities | 6,613 | 6,342 |
Commitments and contingent liabilities | ||
Equity | ||
Common stock (par value $0.01 per share; 810,000,000 shares authorized; 188,811,686 shares issued and 163,492,451 shares outstanding at September 30, 2019; 187,204,567 shares issued and 170,780,474 shares outstanding at December 31, 2018) | 2 | 2 |
Treasury stock, at cost (25,319,235 shares at September 30, 2019; 16,424,093 shares at December 31, 2018) | (1,072) | (750) |
Additional paid-in capital | 857 | 860 |
Retained earnings | 1,606 | 1,466 |
Accumulated other comprehensive loss | (556) | (564) |
Total Chemours stockholders’ equity | 837 | 1,014 |
Non-controlling interests | 6 | 6 |
Total equity | 843 | 1,020 |
Total liabilities and equity | $ 7,456 | $ 7,362 |
Interim Consolidated Balance _2
Interim Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Common stock, shares authorized (in shares) | 810,000,000 | 810,000,000 |
Common stock , par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares Issued (in shares) | 188,811,686 | 187,204,567 |
Common stock, shares outstanding (in shares) | 163,492,451 | 170,780,474 |
Treasury stock (in shares) | 25,319,235 | 16,424,093 |
Interim Consolidated Statemen_3
Interim Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Millions | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Non-controlling Interests [Member] |
Total stockholders' equity, beginning balance at Dec. 31, 2017 | $ 865 | $ 2 | $ (116) | $ 837 | $ 579 | $ (442) | $ 5 |
Shares, beginning balance at Dec. 31, 2017 | 185,343,034 | 2,386,406 | |||||
Common stock issued - compensation plans (in shares) | 787,451 | ||||||
Exercise of stock options, net | 15 | 15 | |||||
Exercise of stock options, net (in shares) | 1,018,962 | ||||||
Purchases of treasury stock, at cost | (520) | $ (520) | |||||
Purchases of treasury stock at cost (in shares) | 10,926,065 | ||||||
Shares issued under employee stock purchase plan (in shares) | (12,411) | ||||||
Stock-based compensation expense | 20 | 20 | |||||
Cancellation of unissued stock awards withheld to cover taxes | (16) | (16) | |||||
Net income | 854 | 853 | 1 | ||||
Dividends | (74) | (74) | |||||
Other comprehensive income (loss) | 2 | 2 | |||||
Total stockholders' equity, ending balance at Sep. 30, 2018 | 1,146 | $ 2 | $ (636) | 856 | 1,358 | (440) | 6 |
Shares, ending balance at Sep. 30, 2018 | 187,149,447 | 13,300,060 | |||||
Total stockholders' equity, beginning balance at Jun. 30, 2018 | 1,025 | $ 2 | $ (500) | 859 | 1,127 | (469) | 6 |
Shares, beginning balance at Jun. 30, 2018 | 186,594,368 | 10,073,236 | |||||
Common stock issued - compensation plans (in shares) | 431,744 | ||||||
Exercise of stock options, net | 2 | 2 | |||||
Exercise of stock options, net (in shares) | 123,335 | ||||||
Purchases of treasury stock, at cost | (136) | $ (136) | |||||
Purchases of treasury stock at cost (in shares) | 3,226,824 | ||||||
Stock-based compensation expense | 5 | 5 | |||||
Cancellation of unissued stock awards withheld to cover taxes | (10) | (10) | |||||
Net income | 275 | 275 | |||||
Dividends | (44) | (44) | |||||
Other comprehensive income (loss) | 29 | 29 | |||||
Total stockholders' equity, ending balance at Sep. 30, 2018 | 1,146 | $ 2 | $ (636) | 856 | 1,358 | (440) | 6 |
Shares, ending balance at Sep. 30, 2018 | 187,149,447 | 13,300,060 | |||||
Total stockholders' equity, beginning balance at Dec. 31, 2018 | 1,020 | $ 2 | $ (750) | 860 | 1,466 | (564) | 6 |
Shares, beginning balance at Dec. 31, 2018 | 187,204,567 | 16,424,093 | |||||
Common stock issued - compensation plans | 1 | (1) | |||||
Common stock issued - compensation plans (in shares) | 1,098,346 | ||||||
Exercise of stock options, net | 8 | 8 | |||||
Exercise of stock options, net (in shares) | 508,773 | ||||||
Purchases of treasury stock, at cost | (322) | $ (322) | |||||
Purchases of treasury stock at cost (in shares) | 8,895,142 | ||||||
Stock-based compensation expense | 18 | 18 | |||||
Cancellation of unissued stock awards withheld to cover taxes | (30) | (30) | |||||
Net income | 265 | 265 | |||||
Dividends | (124) | (124) | |||||
Other comprehensive income (loss) | 8 | 8 | |||||
Total stockholders' equity, ending balance at Sep. 30, 2019 | 843 | $ 2 | $ (1,072) | 857 | 1,606 | (556) | 6 |
Shares, ending balance at Sep. 30, 2019 | 188,811,686 | 25,319,235 | |||||
Total stockholders' equity, beginning balance at Jun. 30, 2019 | 829 | $ 2 | $ (1,072) | 853 | 1,571 | (531) | 6 |
Shares, beginning balance at Jun. 30, 2019 | 188,801,201 | 25,319,235 | |||||
Common stock issued - compensation plans (in shares) | 6,807 | ||||||
Exercise of stock options, net (in shares) | 3,678 | ||||||
Stock-based compensation expense | 4 | 4 | |||||
Net income | 76 | 76 | |||||
Dividends | (41) | (41) | |||||
Other comprehensive income (loss) | (25) | (25) | |||||
Total stockholders' equity, ending balance at Sep. 30, 2019 | $ 843 | $ 2 | $ (1,072) | $ 857 | $ 1,606 | $ (556) | $ 6 |
Shares, ending balance at Sep. 30, 2019 | 188,811,686 | 25,319,235 |
Interim Consolidated Statemen_4
Interim Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Stockholders Equity [Abstract] | ||||
Dividends per share declared during period | $ 0.25 | $ 0.25 | $ 0.75 | $ 0.42 |
Interim Consolidated Statemen_5
Interim Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash flows from operating activities | ||
Net income | $ 265 | $ 854 |
Adjustments to reconcile net income to cash provided by (used for) operating activities: | ||
Depreciation and amortization | 232 | 213 |
Gain on sales of assets and businesses | (11) | (45) |
Equity in earnings of affiliates, net | (24) | (4) |
Loss on extinguishment of debt | 0 | 38 |
Amortization of debt issuance costs and issue discounts | 7 | 9 |
Deferred tax (benefit) provision | (17) | 3 |
Asset-related charges | 12 | 0 |
Stock-based compensation expense | 18 | 20 |
Net periodic pension cost (income) | 4 | (7) |
Defined benefit plan contributions | (15) | (12) |
Other operating charges and credits, net | (2) | (11) |
Decrease (increase) in operating assets: | ||
Accounts and notes receivable, net | 32 | (87) |
Inventories and other operating assets | (46) | (154) |
(Decrease) increase in operating liabilities: | ||
Accounts payable and other operating liabilities | (205) | 64 |
Cash provided by operating activities | 250 | 881 |
Cash flows from investing activities | ||
Purchases of property, plant, and equipment | (385) | (344) |
Acquisition of business, net | (10) | (37) |
Proceeds from sales of assets and businesses, net | 7 | 46 |
Proceeds from life insurance policies | 1 | 0 |
Foreign exchange contract settlements, net | 0 | 8 |
Cash used for investing activities | (387) | (327) |
Cash flows from financing activities | ||
Proceeds from issuance of debt, net | 0 | 520 |
Proceeds from revolving loan | 150 | 0 |
Repayments on revolving loan | (150) | 0 |
Proceeds from accounts receivable securitization facility | 125 | 0 |
Debt repayments | (15) | (675) |
Payments related to extinguishment of debt | 0 | (29) |
Payments of debt issuance costs | 0 | (12) |
Payments on finance leases | (2) | 0 |
Purchases of treasury stock, at cost | (322) | (520) |
Proceeds from exercised stock options, net | 8 | 15 |
Payments related to tax withholdings on vested stock awards | (30) | (16) |
Payments of dividends | (124) | (106) |
Cash used for financing activities | (360) | (823) |
Effect of exchange rate changes on cash and cash equivalents | (10) | (12) |
Decrease in cash and cash equivalents | (507) | (281) |
Cash and cash equivalents at January 1, | 1,201 | 1,556 |
Cash and cash equivalents at September 30, | 694 | 1,275 |
Non-cash investing and financing activities: | ||
Changes in property, plant, and equipment included in accounts payable | 68 | 12 |
Obligations incurred under build-to-suit lease arrangement | 35 | 41 |
Purchases of treasury stock not settled by period-end | 0 | 10 |
Non-cash financing arrangements | 11 | 0 |
Deferred payments related to acquisition of business | $ 15 | $ 0 |
Background, Description of the
Background, Description of the Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Background, Description of the Business, and Basis of Presentation | Note 1. Background, Description of the Business, and Basis of Presentation The Chemours Company (“Chemours,” or “the Company”) is a leading, global provider of performance chemicals that are key inputs in end-products and processes in a variety of industries. The Company delivers customized solutions with a wide range of industrial and specialty chemical products for markets, including plastics and coatings, refrigeration and air conditioning, general industrial, electronics, mining, and oil refining. The Company’s principal products include refrigerants, industrial fluoropolymer resins, sodium cyanide, performance chemicals and intermediates, and titanium dioxide (“TiO 2 2 Chemours separated from E. I. du Pont de Nemours and Company (“DuPont”) on July 1, 2015. On August 31, 2017, DuPont completed a merger with The Dow Chemical Company (“Dow”). Following their merger, DuPont and Dow engaged in a series of reorganization steps and in 2019 have now separated into three publicly-traded companies named Dow Inc., DuPont de Nemours, Inc., and Corteva, Inc. (“Corteva”). Unless the context otherwise requires, references herein to “The Chemours Company,” “Chemours,” “the Company,” “our Company,” “we,” “us,” and “our” refer to The Chemours Company and its consolidated subsidiaries. References to “DuPont” refer to E. I. du Pont de Nemours and Company, which is now a subsidiary of Corteva. The accompanying interim consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). In the opinion of management, all adjustments (consisting of normal, recurring adjustments) considered necessary for a fair statement of the Company’s results for interim periods have been included. The notes that follow are an integral part of the Company’s interim consolidated financial statements. The Company’s results for interim periods should not be considered indicative of its results for a full year, and the year-end consolidated balance sheet does not include all of the disclosures required by GAAP. As such, these interim consolidated financial statements should be read in conjunction with the Consolidated Financial Statements Certain prior period amounts have been reclassified to conform to the current period presentation, the effect of which, was not material to the Company’s interim consolidated financial statements. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Recent Accounting Pronouncements | Note 2. Recent Accounting Pronouncements Accounting Guidance Issued and Not Yet Adopted Measurement of Credit Losses on Financial Instruments In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments Changes to Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued ASU No. 2018-14, Compensation –Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans Recently Adopted Accounting Guidance Leases In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) The Company adopted ASU No. 2016-02 on January 1, 2019 using the modified retrospective transition method, which did not require the Company to adjust comparative periods. Operating leases are included in operating lease right-of-use assets, other accrued liabilities, and operating lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant, and equipment, net, short-term and current maturities of long-term debt, and long-term debt, net, on the consolidated balance sheets. The Company’s lease assets and lease liabilities are recognized on the lease commencement date in an amount that represents the present value of future lease payments. The Company’s incremental borrowing rate, which is based on information available at the adoption date for existing leases and the commencement date for leases commencing after the adoption date, is used to determine the present value of lease payments. The most significant impact of the Company’s adoption of ASU No. 2016-02 was the recognition of $333 of operating lease right-of-use assets and $349 of operating lease liabilities on its consolidated balance sheets at January 1, 2019. Operating lease right-of-use assets were reduced by $16 due to a tenant improvement allowance on a lease of office space. The Company’s adoption of ASU No. 2016-02 did not have any impact to the Company’s consolidated statements of operations, or its consolidated statements of cash flows. Further, there was no impact on the Company’s covenant compliance under its current debt agreements as a result of the adoption of ASU No. 2016-02. The Company elected the package of practical expedients included in this guidance, which allowed it to not reassess: (i) whether any expired or existing contracts contain leases; (ii) the lease classification for any expired or existing leases; and, (iii) the initial direct costs for existing leases. The Company combines lease components with non-lease components for all classes of assets, except for certain manufacturing facilities. The Company also elected the practical expedient to not assess whether existing or expired land easements contain a lease. The Company does not recognize short-term leases on its consolidated balance sheets, and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. Leases with the options to extend their term or terminate early are reflected in the lease term when it is reasonably certain that the Company will exercise such options. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU No. 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract |
Acquisitions and Divestitures
Acquisitions and Divestitures | 9 Months Ended |
Sep. 30, 2019 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Note 3. Acquisitions and Divestitures Acquisition of Southern Ionics Minerals, LLC. On August 1, 2019, the Company, through its wholly-owned subsidiary, The Chemours Company FC, LLC, entered into a Membership Interest Purchase Agreement to acquire all of the outstanding stock of Southern Ionics Minerals, LLC (“SIM”), for an estimated total consideration of approximately $25, which included customary working capital and other adjustments made within a specified time period. SIM is a privately-held minerals exploration, mining, and manufacturing company headquartered in Jacksonville, Florida SIM mines and processes titanium and zirconium mineral sands, and this acquisition expands Chemours’ flexibility and scalability to internally source ore in the Company’s Titanium Technologies segment. The purchase consideration has been primarily assigned to the property, plant, and equipment of the acquired business, and there is no goodwill associated with the transaction. These amounts are subject to further adjustment as additional information is obtained during the applicable measurement period, which includes the finalization of a third-party appraisal. The Company expects to complete its assessment by the end of 2019. The Company’s consolidated financial statements include SIM’s results of operations from August 1, 2019, the date of acquisition, through September 30, 2019. Net sales and net income attributable to Chemours contributed by SIM during this period were not material to the Company’s or its Titanium Technologies segment’s results of operations. Acquisition-related expenses amounted to less than $1 during the three and nine months ended September 30, 2019 and are included as a component of selling, general, and administrative expense in the consolidated statements of operations. Sale of Land in Linden, New Jersey In March 2016, the Company entered into an agreement to sell a 210-acre plot of land that formerly housed a DuPont manufacturing site in Linden, New Jersey. The land was assigned to Chemours in connection with its separation from DuPont, and the Company completed the sale in March 2018 for a gain of $42 and net cash proceeds of $39. As part of the sales agreement, the buyer agreed to assume certain costs associated with ongoing environmental remediation activities at the site amounting to $3, which have been reflected as a component of prepaid expenses and other on the consolidated balance sheets. Chemours remains responsible for certain other ongoing environmental remediation activities at the site, which were previously accrued as a component of other liabilities on the consolidated balance sheets. |
Net Sales
Net Sales | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Net Sales | Note 4. Net Sales Disaggregation of Net Sales The following table sets forth a disaggregation of the Company’s net sales by geographic region and product group for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net sales by geographic region (1) North America: Fluoroproducts $ 260 $ 273 $ 851 $ 888 Chemical Solutions 87 87 246 259 Titanium Technologies 178 228 550 700 Total North America 525 588 1,647 1,847 Asia Pacific: Fluoroproducts 173 168 511 505 Chemical Solutions 16 21 47 63 Titanium Technologies 225 251 587 754 Total Asia Pacific 414 440 1,145 1,322 Europe, the Middle East, and Africa: Fluoroproducts 151 188 515 657 Chemical Solutions 6 5 15 14 Titanium Technologies 122 189 358 682 Total Europe, the Middle East, and Africa 279 382 888 1,353 Latin America (2): Fluoroproducts 52 53 157 163 Chemical Solutions 31 42 96 117 Titanium Technologies 89 123 240 372 Total Latin America 172 218 493 652 Total net sales $ 1,390 $ 1,628 $ 4,173 $ 5,174 Net sales by product group Fluorochemicals $ 304 $ 345 $ 1,028 $ 1,183 Fluoropolymers 332 337 1,006 1,030 Mining solutions 70 74 200 212 Performance chemicals and intermediates 70 81 204 241 Titanium dioxide and other minerals 614 791 1,735 2,508 Total net sales $ 1,390 $ 1,628 $ 4,173 $ 5,174 (1) Net sales are attributed to countries based on customer location. (2) Latin America includes Mexico. Substantially all of the Company’s net sales are derived from goods and services transferred at a point in time. Contract Balances The Company’s assets and liabilities from contracts with customers constitute accounts receivable - trade, deferred revenue, and customer rebates. An amount for accounts receivable - trade is recorded when the right to consideration under a contract becomes unconditional. An amount for deferred revenue is recorded when consideration is received prior to the conclusion that a contract exists, or when a customer transfers consideration prior to the Company satisfying its performance obligations under a contract. Customer rebates represent an expected refund liability to a customer based on a contract. In contracts with customers where a rebate is offered, it is generally applied retroactively based on the achievement of a certain sales threshold. As revenue is recognized, the Company estimates whether or not the sales threshold will be achieved to determine the amount of variable consideration to include in the transaction price. The following table sets forth the Company’s contract balances from contracts with customers at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Accounts receivable - trade, net (1) $ 758 $ 790 Customer rebates 66 79 (1) Accounts receivable - trade, net includes trade notes receivable of $2 and is net of allowances for doubtful accounts of The Company’s deferred revenue balances at September 30, 2019 and December 31, 2018 were not significant. Additionally, changes in the Company’s deferred revenue balances resulting from additions for advance payments and deductions for amounts recognized in net sales during the three and nine months ended September 30, 2019 were not significant. For the three and nine months ended September 30, 2019, the amount of net sales recognized from performance obligations satisfied in prior periods (e.g., due to changes in transaction price) was not significant. There were no other contract asset balances or capitalized costs associated with obtaining or fulfilling customer contracts as of September 30, 2019 or December 31, 2018. Remaining Performance Obligations Certain of the Company’s master services agreements or other arrangements contain take-or-pay clauses, whereby customers are required to purchase a fixed minimum quantity of product during a specified period, or pay the Company for such orders, even if not requested by the customer. The Company considers these take-or-pay clauses to be an enforceable contract, and as such, the legally-enforceable minimum amounts under such an arrangement are considered to be outstanding performance obligations on contracts with an original expected duration greater than one year. At September 30, 2019, Chemours had $100 of remaining performance obligations. The Company expects to recognize approximately 20% of its remaining performance obligations as revenue in 2019, an approximate additional 60% in 2020, and the balance thereafter. The Company applies the allowable practical expedient and does not include remaining performance obligations that have original expected durations of one year or less, or amounts for variable consideration allocated to wholly-unsatisfied performance obligations or wholly-unsatisfied distinct goods that form part of a single performance obligation, if any. Amounts for contract renewals that are not yet exercised by September 30, 2019 are also excluded. |
Restructuring, Asset-Related, a
Restructuring, Asset-Related, and Other Charges | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring And Related Activities [Abstract] | |
Restructuring, Asset-Related, and Other Charges | Note 5. Restructuring, Asset-related, and Other Charges The following table sets forth the components of the Company’s restructuring, asset-related, and other charges for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Restructuring and other charges: Employee separation charges $ 17 $ 2 $ 15 $ 8 Decommissioning and other charges 5 10 22 24 Total restructuring and other charges 22 12 37 32 Asset-related and other charges 12 — 12 — Total restructuring, asset-related, and other charges $ 34 $ 12 $ 49 $ 32 The following table sets forth the impacts of the Company’s restructuring programs to segment earnings for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Restructuring and other charges: Plant and product line closures: Chemical Solutions $ 12 $ 1 $ 12 $ 4 Corporate and Other 5 4 18 6 Total plant and product line closures 17 5 30 10 2017 Restructuring Program: Fluoroproducts 1 2 2 7 Chemical Solutions — — — 1 Titanium Technologies — — 1 — Corporate and Other — 5 — 14 Total 2017 Restructuring Program 1 7 3 22 2018 Restructuring Program: Corporate and Other (1 ) — (1 ) — Total 2018 Restructuring Program (1 ) — (1 ) — 2019 Restructuring Program: Fluoroproducts 7 — 7 — Chemical Solutions 2 — 2 — Titanium Technologies 5 — 5 — Corporate and Other 3 — 3 — Total 2019 Restructuring Program 17 — 17 — Total restructuring, asset-related, and other charges $ 34 $ 12 $ 49 $ 32 Plant and Product Line Closures In the fourth quarter of 2015, the Company announced its completion of the strategic review of its Reactive Metals Solutions business and the decision to stop production at its Niagara Falls, New York manufacturing plant. The Company recorded additional decommissioning and dismantling-related charges of less than $1 and $1 for the three and nine months ended September 30, 2019, respectively, and $1 and $4 for the three and nine months ended September 30, 2018, respectively. The Company expects to incur approximately $10 in additional restructuring charges for similar activities through 2021, all of which relates to Chemical Solutions. As of September 30, 2019, the Company incurred, in the aggregate, $36 in restructuring charges related to these activities, excluding asset-related charges. In the first quarter of 2018, the Company began a project to demolish and remove several dormant, unused buildings at its Chambers Works site in Deepwater, New Jersey, which were assigned to Chemours in connection with its separation from DuPont and never used in Chemours’ operations. The Company recorded additional decommissioning and dismantling-related charges of $4 and $18 for the three and nine months ended September 30, 2019, respectively, and $4 and $6 for the three and nine months ended September 30, 2018, respectively. The Company expects to incur approximately $6 in additional restructuring charges related to its Chambers Works site through the end of 2021, all of which relates to Corporate and Other. As of September 30, 2019, the Company incurred, in the aggregate, $27 in restructuring charges related to these activities. In the third quarter of 2019, the Company announced plans to exit its Methylamines and Methylamides business at its Belle, West Virginia manufacturing plant. As a result, the Company recorded charges of approximately $10 for property, plant, and equipment and $2 for other asset impairment charges for the three and nine months ended September 30, 2019. The Company expects to incur additional charges of $22 for property, plant, and equipment and other assets through the remainder of 2019, and additional restructuring charges, including decommissioning and dismantling, of approximately $11 through 2020, all of which relates to Chemical Solutions. 2017 Restructuring Program In 2017, the Company announced certain restructuring activities designed to further the cost savings and productivity improvements outlined under management’s transformation plan. These activities include, among other efforts: (i) outsourcing and further centralizing certain business process activities; (ii) consolidating existing, outsourced third-party information technology (“IT”) providers; and, (iii) implementing various upgrades to the Company’s current IT infrastructure. In connection with these corporate function efforts, the Company recorded $1 and $3 in restructuring-related charges for the three and nine months ended September 30, 2019, respectively, and $5 and $13 for the three and nine months ended September 30, 2018, respectively. In 2017, the Company also announced a voluntary separation program (“VSP”) for certain eligible U.S. employees in an effort to better manage the anticipated future changes to its workforce. Employees who volunteered for and were accepted under the VSP received certain financial incentives above the Company’s customary involuntary termination benefits to end their employment with Chemours after providing a mutually agreed-upon service period. Approximately 300 employees separated from the Company through the end of 2018. An accrual representing the majority of these termination benefits, amounting to $18, was recognized in the fourth quarter of 2017. The remaining incremental, one-time financial incentives under the VSP were recognized over the period that each participating employee continued to provide service to Chemours, and amounted to $2 and $9 for the three and nine months ended September 30, 2018, respectively. The Company recorded charges for its 2017 program of $1 and $3 during the three and nine months ended September 30, 2019, respectively, and $7 and $22 during the three and nine months ended September 30, 2018, respectively. The cumulative amount incurred, in the aggregate, for the Company’s 2017 program amounted to $62 at September 30, 2019. The Company has substantially completed all actions related to this program. 2018 Restructuring Program In the fourth quarter of 2018, management initiated a restructuring program of the Company’s corporate functions and recorded the related estimated severance costs of $5. The Company has substantially completed all actions related to this program. 2019 Restructuring Program In the third quarter of 2019, management initiated a severance program of the Company’s corporate functions and businesses and recorded the related estimated severance costs of $17. This charge includes $2 for severance related to the exit of the Methylamines and Methylamides business, as described above. The following table sets forth the change in the Company’s employee separation-related liabilities associated with its restructuring programs for the nine months ended September 30, 2019. 2015 Global Restructuring Program 2017 Restructuring Program 2018 Restructuring Program 2019 Restructuring Program Total Balance at December 31, 2018 $ 1 $ 10 $ 5 $ — $ 16 Charges (credits) to income (1 ) — (1 ) 17 15 Payments — (9 ) (4 ) — (13 ) Balance at September 30, 2019 $ — $ 1 $ — $ 17 $ 18 At September 30, 2019, there were no significant outstanding liabilities related to the Company’s decommissioning and other restructuring-related charges. |
Other Income, Net
Other Income, Net | 9 Months Ended |
Sep. 30, 2019 | |
Other Income And Expenses [Abstract] | |
Other Income, Net | Note 6. Other Income, Net The following table sets forth the components of the Company’s other income, net for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Leasing, contract services, and miscellaneous income (1) $ 6 $ 24 $ 47 $ 47 Royalty income (2) 6 2 16 9 Gain on sales of assets and businesses (3) 9 — 11 45 Exchange gains (losses), net (4) 5 (6 ) 2 (4 ) Non-operating pension and other post-retirement employee benefit (cost) income (1 ) 4 5 18 Total other income, net $ 25 $ 24 $ 81 $ 115 (1) Leasing, contract services, and miscellaneous income includes European Union fluorinated greenhouse gas quota authorization sales of $2 and $38 for the three and nine months ended September 30, 2019, respectively, and $18 and $38 for the three and nine months ended September 30, 2018, respectively. (2) Royalty income includes technology licensing in the Chemical Solutions segment of $6 and $13 for the three and nine months ended September 30, 2019, respectively, and $3 for the nine months ended September 30, 2018. (3) F or the three and nine months ended September 30, 2019, the Company recognized a non-cash gain of $9 related to the sale of the Company’s Repauno, New Jersey site. For the nine months ended September 30, 2018, gain on sales of assets and businesses included a $42 gain associated with the sale of the Company’s Linden, New Jersey site. (4) Exchange gains (losses), net includes gains and losses on foreign currency forward contracts. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 7. Income Taxes For the three months ended September 30, 2019, Chemours recorded a provision for income taxes of $15, resulting in an effective income tax rate of approximately 16%. For the three months ended September 30, 2018, Chemours recorded a benefit from income taxes of $6, resulting in an effective income tax rate of approximately negative 2%. The change in the Company’s effective tax rate for the three months ended September 30, 2019 was primarily attributable to $5 of additional income tax expense on the revaluation of certain deferred tax assets and liabilities as a result of the increased corporate tax rate for a certain foreign subsidiary, $3 of lower income tax benefits related to windfalls on its share-based payments, reduced profitability, and the geographic mix of earnings. For the nine months ended September 30, 2019 and 2018, Chemours recorded provisions for income taxes of $65 and $119, respectively, resulting in effective income tax rates of approximately 20% and 12%, respectively. The change in the Company’s effective tax rate for the nine months ended September 30, 2019 was primarily attributable to $5 of additional income tax expense on the revaluation of certain deferred tax assets and liabilities as a result of the increased corporate tax rate for a certain foreign subsidiary, $8 of additional income tax expense associated with the recognition of a valuation allowance on the deferred tax assets of a certain foreign subsidiary, $8 of lower income tax benefits related to windfalls on its share-based payments, reduced profitability, and the geographic mix of its earnings. With respect to U.S. tax reform, while management has completed its analysis within the applicable measurement period, pursuant to the U.S. Securities and Exchange Commission’s Staff Accounting Bulletin No. 118, the Company is accounting for the tax impact of new provisions based on an interpretation of existing statutory law, including proposed regulations issued by the U.S. Treasury and the Internal Revenue Service. While there can be no assurances as to the effect of any final regulations on the Company’s provision for income taxes, management will continue to evaluate the impact as any regulations issued become final during 2019. |
Earnings Per Share of Common St
Earnings Per Share of Common Stock | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share of Common Stock | Note 8. Earnings Per Share of Common Stock The following table sets forth the reconciliations of the numerators and denominators for the Company’s basic and diluted earnings per share (“EPS”) calculations for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator: Net income attributable to Chemours $ 76 $ 275 $ 265 $ 853 Denominator: Weighted-average number of common shares outstanding - basic 163,815,483 176,489,881 165,254,084 178,765,676 Dilutive effect of the Company’s employee compensation plans 1,325,380 5,387,244 2,780,874 5,891,072 Weighted-average number of common shares outstanding - diluted 165,140,863 181,877,125 168,034,958 184,656,748 Basic earnings per share of common stock $ 0.46 $ 1.56 $ 1.60 $ 4.77 Diluted earnings per share of common stock 0.46 1.51 1.58 4.62 The following table sets forth the average number of stock options that were anti-dilutive and, therefore, were not included in the Company’s diluted EPS calculations for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Average number of stock options 3,195,601 480,123 1,893,011 160,041 |
Accounts and Notes Receivable,
Accounts and Notes Receivable, Net | 9 Months Ended |
Sep. 30, 2019 | |
Receivables [Abstract] | |
Accounts and Notes Receivable, Net | Note 9. Accounts and Notes Receivable, Net The following table sets forth the components of the Company’s accounts and notes receivable, net at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Accounts receivable - trade, net (1) $ 758 $ 790 VAT, GST, and other taxes (2) 57 56 Other receivables (3) 17 15 Total accounts and notes receivable, net $ 832 $ 861 (1) Accounts receivable - trade, net includes trade notes receivable of $2 and is net of allowances for doubtful accounts of $5 at September 30, 2019 and December 31, 2018. Such allowances are equal to the estimated uncollectible amounts. (2) Value added tax (“VAT”) and goods and services tax (“GST”) for various jurisdictions. (3) Other receivables consist of derivative instruments, advances, and other deposits. Accounts and notes receivable are carried at amounts that approximate fair value. Bad debt expense amounted to less than $1 and $1 for the three and nine months ended September 30, 2019, respectively, and less than $1 for the three and nine months ended September 30, 2018, respectively |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Net [Abstract] | |
Inventories | Note 10. Inventories The following table sets forth the components of the Company’s inventories at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Finished products $ 664 $ 701 Semi-finished products 201 195 Raw materials, stores, and supplies 596 476 Inventories before LIFO adjustment 1,461 1,372 Less: Adjustment of inventories to LIFO basis (238 ) (225 ) Total inventories $ 1,223 $ 1,147 Inventory values, before last-in, first-out (“LIFO”) adjustment are generally determined by the average cost method, which approximates current cost. Inventories are valued under the LIFO method at substantially all of the Company’s U.S. locations, which comprised $770 and $622 (or 53% and 45%) of inventories before the LIFO adjustments at September 30, 2019 and December 31, 2018, respectively. The remainder of the Company’s inventory held in international locations and certain U.S. locations is valued under the average cost method. |
Property, Plant, and Equipment,
Property, Plant, and Equipment, Net | 9 Months Ended |
Sep. 30, 2019 | |
Property Plant And Equipment [Abstract] | |
Property, Plant, and Equipment, Net | Note 11. Property, Plant, and Equipment, Net The following table sets forth the components of the Company’s property, plant, and equipment, net at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Equipment $ 7,474 $ 7,344 Buildings 915 914 Construction-in-progress 735 579 Land 115 119 Mineral rights 35 36 Property, plant, and equipment 9,274 8,992 Less: Accumulated depreciation (5,754 ) (5,701 ) Total property, plant, and equipment, net $ 3,520 $ 3,291 Depreciation expense amounted to $76 and $226 for the three and nine months ended September 30, 2019 and $68 and $207 for the three and nine months ended September 30, 2018, respectively. Property, plant, and equipment, net includes a build-to-suit lease asset of $90 and $55 at September 30, 2019 and December 31, 2018, respectively. The Company’s gross finance lease assets amounted to $66 and $7 at September 30, 2019 and December 31, 2018, respectively. In the second quarter of 2019, a subsidiary of the Company renegotiated the terms of an existing Fluoroproducts supply contract with Changshu 3F Zhonghao New Chemical Materials Co., Ltd., a related party and equity method investee, to improve the long-term supply security and competitiveness relative to not-in-kind competition of its low global warming potential foam offering. The renegotiated supply contract resulted in the recognition of a finance lease asset and a corresponding finance lease liability, which amounted to $62 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases | Note 12. Leases The Company leases certain office space, equipment, railcars, tanks, barges, tow boats, and warehouses. Leases with an initial term of 12 months or less are not recorded on the consolidated balance sheets and lease expense is recognized over the term of these leases on a straight-line basis. The Company’s leases have remaining terms of up to 18 years. Some leases of equipment contain immaterial amounts of residual value guarantees. The following table sets forth the Company’s lease assets and lease liabilities and their balance sheet location at September 30, 2019. Balance Sheet Location September 30, 2019 Lease assets: Operating lease right-of-use assets Operating lease right-of-use assets $ 307 Finance lease assets Property, plant, and equipment, net (Note 11) 59 Total lease assets $ 366 Lease liabilities: Current: Operating lease liabilities Other accrued liabilities (Note 16) $ 73 Finance lease liabilities Short-term and current maturities of long-term debt (Note 17) 5 Total current lease liabilities 78 Non-current: Operating lease liabilities Operating lease liabilities 254 Finance lease liabilities Long-term debt, net (Note 17) 54 Total non-current lease liabilities 308 Total lease liabilities $ 386 The following table sets forth the components of the Company’s lease cost for the three and nine months ended September 30, 2019. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost $ 25 $ 74 Short-term lease cost 1 3 Variable lease cost 4 12 Finance lease cost: Amortization of lease assets 2 3 Interest on lease liabilities 1 1 Total lease cost $ 33 $ 93 The following table sets forth the cash flows related to the Company’s leases for the nine months ended September 30, 2019. Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 74 Operating cash flows from finance leases 1 Financing cash flows from finance leases 2 Non-cash lease liabilities activity: Leased assets obtained in exchange for new operating lease liabilities $ 42 Leased assets obtained in exchange for new finance lease liabilities 62 The following table sets forth the weighted-average term and weighted-average discount rate for the Company’s leases at September 30, 2019. September 30, 2019 Weighted-average remaining lease term (years): Operating leases 8.4 Finance leases 9.4 Weighted-average discount rate: Operating leases 5.10 % Finance leases 5.90 % The following table sets forth the Company’s lease liabilities’ maturities for the next five years and thereafter. As of September 30, 2019 Operating Leases Finance Leases Total Remainder of 2019 $ 26 $ 2 $ 28 2020 80 9 89 2021 67 8 75 2022 49 8 57 2023 32 8 40 Thereafter 144 42 186 Total lease payments 398 77 475 Less: Imputed interest 71 18 89 Present value of lease liabilities $ 327 $ 59 $ 386 The following table sets forth the Company’s lease liabilities’ maturities for the next five years and thereafter under the previous lease accounting standard. As of December 31, 2018 Operating Leases Finance Leases Total 2019 $ 92 $ — $ 92 2020 70 2 72 2021 59 — 59 2022 42 — 42 2023 27 — 27 Thereafter 134 — 134 Total lease payments $ 424 $ 2 $ 426 Build-to-suit Lease Obligation In October 2017, Chemours executed a build-to-suit lease agreement to construct a new 312,000-square-foot research and development facility on the Science, Technology, and Advanced Research campus of the University of Delaware (“UD”) in Newark, Delaware (“The Chemours Discovery Hub”). The land on which The Chemours Discovery Hub will be located is leased to a third-party owner-lessor by UD, and Chemours will act as the construction agent and ultimate lessee of the facility based on the Company’s agreement with the owner-lessor. Project costs paid by the owner-lessor are reflected on the Company’s consolidated balance sheets as construction-in-progress within property, plant, and equipment, net, and a corresponding build-to-suit lease liability within long-term debt, net. Through September 30, 2019 and December 31, 2018, project costs paid by the owner-lessor amounted to $90 and $55, respectively. Construction of The Chemours Discovery Hub is expected to be completed by the end of 2019. |
Investments in Affiliates
Investments in Affiliates | 9 Months Ended |
Sep. 30, 2019 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Affiliates | Note 13. Investments in Affiliates The Company engages in transactions with its equity method investees in the ordinary course of business. Net sales to the Company’s equity method investees amounted to $ 40 equity 48 |
Other Assets
Other Assets | 9 Months Ended |
Sep. 30, 2019 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Other Assets | Note 14. Other Assets The following table sets forth the components of the Company’s other assets at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Capitalized repair and maintenance costs $ 156 $ 178 Pension assets (1) 193 174 Deferred income taxes 43 46 Miscellaneous 50 39 Total other assets $ 442 $ 437 (1) Pension assets represent the funded status of certain of the Company's long-term employee benefit plans. |
Accounts Payable
Accounts Payable | 9 Months Ended |
Sep. 30, 2019 | |
Payables And Accruals [Abstract] | |
Accounts Payable | Note 15. Accounts Payable The following table sets forth the components of the Company’s accounts payable at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Trade payables $ 929 $ 1,111 VAT and other payables 19 26 Total accounts payable $ 948 $ 1,137 |
Other Accrued Liabilities
Other Accrued Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Payables And Accruals [Abstract] | |
Other Accrued Liabilities | Note 16 . Other Accrued Liabilities The following table sets forth the components of the Company’s other accrued liabilities at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Compensation and other employee-related costs $ 61 $ 108 Employee separation costs (1) 18 16 Accrued litigation (2) 27 76 Environmental remediation (2) 74 74 Income taxes 62 87 Customer rebates 66 79 Deferred income 8 6 Accrued interest 61 21 Operating lease liabilities (3) 73 — Miscellaneous (4) 96 92 Total other accrued liabilities $ 546 $ 559 (1) Represents the current portion of accrued employee separation costs related to the Company’s restructuring activities. (2) Represents the current portions of accrued litigation and environmental remediation, which are discussed further in “Note 19 – Commitments and Contingent Liabilities.” (3) Represents the current portion of the Company’s operating lease liabilities, which is discussed further in “Note 2 – Recent Accounting Pronouncements” and “Note 12 – Leases.” (4) Miscellaneous primarily includes accrued utility expenses, property taxes, an accrued indemnification liability, the current portion of the Company’s asset retirement obligations, and other miscellaneous expenses. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Note 17. Debt The following table sets forth the components of the Company’s debt at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Senior secured term loans: Tranche B-2 U.S. dollar term loan due May 2025 $ 887 $ 893 Tranche B-2 euro term loan due May 2025 (€345 at September 30, 2019 and €347 at December 31, 2018) 377 396 Senior unsecured notes: 6.625% due May 2023 908 908 7.000% due May 2025 750 750 4.000% due May 2026 (€450 at September 30, 2019 and December 31, 2018) 493 513 5.375% due May 2027 500 500 Securitization Facility 122 — Finance lease liabilities 59 2 Build-to-suit lease obligation 90 55 Other 9 — Total debt 4,195 4,017 Less: Unamortized issue discounts (9 ) (10 ) Less: Unamortized debt issuance costs (30 ) (35 ) Less: Short-term and current maturities of long-term debt (149 ) (13 ) Total long-term debt, net $ 4,007 $ 3,959 Senior Secured Credit Facilities The Company’s credit agreement, as amended, provides for seven-year, senior secured term loans and a five-year No Accounts Receivable Securitization Facility On July 12, 2019, the Company, through a wholly-owned special purpose entity (“SPE”), executed an agreement with a bank for an accounts receivable securitization facility (“Securitization Facility”) for the purpose of enhancing the Company’s liquidity. Under the Securitization Facility, certain of the Company’s subsidiaries will sell their accounts receivable to the SPE, which is a non-guarantor subsidiary. In turn, the SPE may transfer undivided ownership interests in such receivables to the bank in exchange for cash. The Securitization Facility permits the SPE to borrow up to a total of $125, with an option to increase to $200. The bank has a first priority security interest in all receivables held by the SPE, and the SPE has not granted a security interest to anyone else . At September 30, 2019, receivables held by the SPE totaled $225. Because the SPE maintains effective control over the accounts receivable, transfers of the ownership interests to the bank do not meet the criteria to account for the transfers as true sales. As a result, the Company accounted for the transfers under the Securitization Facility as collateralized borrowings. Cash received from the bank will become a short-term obligation of the Company, which will be fully-collateralized by all receivables held by the SPE. The Securitization Facility is subject to interest charges against both the amount of outstanding borrowings and the amount of available but undrawn commitments. The Securitization Facility bears a variable interest rate on outstanding borrowings and a fixed commitment fee on the average daily undrawn amount. Borrowings under the Securitization Facility are classified in its consolidated balance sheets as a component of its current liabilities due to the short-term nature of the obligation. The net borrowings under the Securitization Facility since July 2019 amounted to $122, which remained outstanding as of September 30, 2019. Other During the quarter, the Company entered into a financing arrangement, by which an external financing company funded certain of the Company’s annual insurance premiums for $11. During the three months ended September 30, 2019, the Company made payments of $2 to the financing company, and the remaining $9 is to be repaid within the next twelve months. Maturities The Company has required quarterly principal payments related to its senior secured term loans equivalent to 1.00% per annum through December 2024, with the balance due at maturity. Also, following the end of each fiscal year commencing on the year ended December 31, 2019, on an annual basis, the Company is required to make additional principal payments depending on leverage levels, as defined in the amended and restated credit agreement, equivalent to up to 50% of excess cash flows based on certain leverage targets with step-downs to 25% and 0% as actual leverage decreases to below a 3.50 to 1.00 leverage target. The following table sets forth the Company’s contractual debt principal maturities for the next five years and thereafter. Year Ended December 31, Remainder of 2019 $ 3 2020 135 2021 13 2022 13 2023 921 Thereafter 2,952 Total principal maturities on debt $ 4,037 The Company’s senior secured credit facilities are also subject to a springing maturity in the event that its 6.625% senior unsecured notes due May 2023 are not redeemed, repaid, modified, and/or refinanced within the 91-day period prior to their maturity date. Debt Fair Value The following table sets forth the estimated fair values of the Company’s senior debt issues, which are based on quotes received from third-party brokers, and are classified as Level 2 financial instruments in the fair value hierarchy. The carrying value of the Securitization Facility and financed insurance premiums approximate their fair value based on their short-term nature and maturity. September 30, 2019 December 31, 2018 Carrying Value Fair Value Carrying Value Fair Value Senior secured term loans: Tranche B-2 U.S. dollar term loan due May 2025 $ 887 $ 855 $ 893 $ 862 Tranche B-2 euro term loan due May 2025 (€345 at September 30, 2019 and €347 December 31, 2018) 377 371 396 394 Senior unsecured notes: 6.625% due May 2023 908 900 908 918 7.000% due May 2025 750 714 750 761 4.000% due May 2026 (€450 at September 30, 2019 and December 31, 2018) 493 452 513 487 5.375% due May 2027 500 433 500 454 Securitization Facility 122 122 — — Other 9 9 — — Total senior debt 4,046 $ 3,856 3,960 $ 3,876 Less: Unamortized issue discounts (9 ) (10 ) Less: Unamortized debt issuance costs (30 ) (35 ) Total senior debt, net $ 4,007 $ 3,915 |
Other Liabilities
Other Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | Note 18. Other Liabilities The following table sets forth the components of the Company’s other liabilities at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Environmental remediation (1) $ 165 $ 152 Employee-related costs (2) 111 130 Accrued litigation (1) 90 53 Asset retirement obligations 55 51 Deferred revenue 5 7 Miscellaneous (3) 75 64 Total other liabilities $ 501 $ 457 (1) The Company’s accrued environmental remediation and accrued litigation liabilities are discussed further in “Note 19 – Commitments and Contingent Liabilities.” (2) Employee-related costs primarily represent liabilities associated with the Company’s long-term employee benefits plans. (3) Miscellaneous primarily includes an accrued indemnification liability of |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | Note 19. Commitments and Contingent Liabilities Litigation In addition to the matters discussed below, the Company and certain of its subsidiaries, from time to time, are subject to various lawsuits, claims, assessments, and proceedings with respect to product liability, intellectual property, personal injury, commercial, contractual, employment, governmental, environmental, anti-trust, and other such matters that arise in the ordinary course of business. In addition, Chemours, by virtue of its status as a subsidiary of DuPont prior to the separation, is subject to or required under the separation-related agreements executed prior to the separation to indemnify DuPont against various pending legal proceedings. It is not possible to predict the outcomes of these various lawsuits, claims, assessments, or proceedings. Except as noted below, while management believes it is reasonably possible that Chemours could incur losses in excess of the amounts accrued, if any, for the aforementioned proceedings, it does not believe any such loss would have a material impact on the Company’s consolidated financial position, results of operations, or cash flows. Additional disputes between Chemours and DuPont may also arise with respect to indemnification matters, including disputes based on matters of law or contract interpretation. If and to the extent these disputes arise, they could materially adversely affect Chemours. The Company accrues for litigation matters when it is probable that a liability has been incurred, and the amount of the liability can be reasonably estimated. Legal costs such as outside counsel fees and expenses are recognized in the period in which the expense was incurred. Management believes the Company’s litigation accruals are appropriate based on the facts and circumstances for each matter, which are discussed in further detail below. The following table sets forth the components of the Company’s accrued litigation at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Asbestos $ 37 $ 37 Perfluorooctanoic acids and its salts, including the ammonium salt 21 22 GenX and other perfluorinated and polyfluorinated compounds (1) 54 65 All other matters (2) 5 5 Total accrued litigation $ 117 $ 129 (1) Total accruals related to this matter amounted to $83 and $75 at September 30, 2019 and December 31, 2018, respectively. These amounts included $29 and $10, which are reflected as a component of the Company’s environmental remediation liabilities at September 30, 2019 and December 31, 2018, respectively. (2) Includes liabilities related to miscellaneous litigation matters, including Benzene. The Company had accruals related to Benzene of less than $1 at September 30, 2019. The Company had no accruals related to Benzene at December 31, 2018. The following table sets forth the current and long-term components of the Company’s accrued litigation and their balance sheet locations at September 30, 2019 and December 31, 2018. Balance Sheet Location September 30, 2019 December 31, 2018 Accrued Litigation: Current accrued litigation Other accrued liabilities (Note 16) $ 27 $ 76 Long-term accrued litigation Other liabilities (Note 18) 90 53 Total accrued litigation $ 117 $ 129 Asbestos In the separation, DuPont assigned its asbestos docket to Chemours. At September 30, 2019 and December 31, 2018, there were approximately 1,300 lawsuits pending against DuPont alleging personal injury from exposure to asbestos. These cases are pending in state and federal court in numerous jurisdictions in the U.S. and are individually set for trial. A small number of cases are pending outside of the U.S. Most of the actions were brought by contractors who worked at sites between the 1950s and the 1990s. A small number of cases involve similar allegations by DuPont employees or household members of contractors or DuPont employees. Finally, certain lawsuits allege personal injury as a result of exposure to DuPont products. At September 30, 2019 and December 31, 2018, Chemours had an accrual of $37 related to these matters. Benzene In the separation, DuPont assigned its benzene docket to Chemours. At September 30, 2019 and December 31, 2018, there were 16 and 19 cases pending against DuPont alleging benzene-related illnesses, respectively. These cases consist of premises matters involving contractors and deceased former employees who claim exposure to benzene while working at DuPont sites primarily in the 1960s through the 1980s, and product liability claims based on alleged exposure to benzene found in trace amounts in aromatic hydrocarbon solvents used to manufacture DuPont products such as paints, thinners, and reducers. Management believes that a loss is reasonably possible as to the docket as a whole; however, given that the evaluation of each benzene matter is highly fact-driven and impacted by disease, exposure, and other factors, a range of such losses cannot be reasonably estimated at this time. PFOA Prior to the fourth quarter of 2014, the performance chemicals segment of DuPont made “PFOA” (collectively, perfluorooctanoic acids and its salts, including the ammonium salt) at its Fayetteville, North Carolina plant and used PFOA as a processing aid in the manufacture of fluoropolymers and fluoroelastomers at certain sites, including: Washington Works, Parkersburg, West Virginia; Chambers Works, Deepwater, New Jersey; Dordrecht Works, Netherlands; Changshu Works, China; and, Shimizu, Japan. These sites are now owned and/or operated by Chemours. Chemours maintained accruals of $21 and $22 related to the PFOA matters discussed below at September 30, 2019 and December 31, 2018, respectively. These accruals relate to DuPont’s obligations under agreements with the U.S. Environmental Protection Agency (“EPA”) and voluntary commitments to the New Jersey Department of Environmental Protection (“NJ DEP”). These obligations and voluntary commitments include surveying, sampling, and testing drinking water in and around certain Company sites offering treatment or an alternative supply of drinking water if tests indicate the presence of PFOA in drinking water at or greater than the state or the national health advisory. The Company will continue to work with the EPA regarding the extent of work that may be required with respect to these matters. Leach Settlement In 2004, DuPont settled a class action captioned Leach v. DuPont The C8 Science Panel found probable links, as defined in the settlement agreement, between exposure to PFOA and pregnancy-induced hypertension, including preeclampsia, kidney cancer, testicular cancer, thyroid disease, ulcerative colitis, and diagnosed high cholesterol. Under the terms of the settlement, DuPont is obligated to fund up to $235 for a medical monitoring program for eligible class members and pay the administrative costs associated with the program, including class counsel fees. The court-appointed Director of Medical Monitoring implemented the program and testing is ongoing with associated payments to service providers disbursed from an escrow account which the Company replenishes pursuant to the settlement agreement. As of September 30, 2019, approximately $1.7 has been disbursed from escrow related to medical monitoring. While it is reasonably possible that the Company will incur additional costs related to the medical monitoring program, such costs cannot be reasonably estimated due to uncertainties surrounding the level of participation by eligible class members and the scope of testing. In addition, under the Leach settlement agreement, DuPont must continue to provide water treatment designed to reduce the level of PFOA in water to six area water districts and private well users. At separation, this obligation was assigned to Chemours and is included in the $21 and $22 accrued for these matters at September 30, 2019 and December 31, 2018, respectively. PFOA Leach Class Personal Injury Further, under the Leach settlement, class members may pursue personal injury claims against DuPont only for those diseases for which the C8 Science Panel determined a probable link exists. Approximately 3,500 lawsuits were subsequently filed in various federal and state courts in Ohio and West Virginia and consolidated in multi-district litigation (“MDL”) in Ohio federal court. These were resolved in March 2017 when DuPont entered into an agreement settling all MDL cases and claims, including all filed and unfiled personal injury cases and claims that were part of the plaintiffs’ counsel’s claims inventory, as well as cases tried to a jury verdict (“MDL Settlement”) for $670.7 in cash, with half paid by Chemours, and half paid by DuPont. Concurrently with the MDL Settlement, DuPont and Chemours agreed to a limited sharing of potential future PFOA costs (indemnifiable losses, as defined in the separation agreement between DuPont and Chemours) for a period of five years . During that five-year period, Chemours will annually pay future PFOA costs up to $25 and, if such amount is exceeded, DuPont will pay any excess amount up to the next $25 (which payment will not be subject to indemnification by Chemours), with Chemours annually bearing any further excess costs under the terms of the separation agreement. After the five-year period, this limited sharing agreement will expire, and Chemours’ indemnification obligations under the separation agreement will continue unchanged. Chemours has also agreed that it will not contest its indemnification obligations to DuPont under the separation agreement for PFOA costs on the basis of ostensible defenses generally applicable to the indemnification provisions under the separation agreement, including defenses relating to punitive damages, fines or penalties, or attorneys’ fees, and waives any such defenses with respect to PFOA costs. Chemours has, however, retained other defenses, including as to whether any particular PFOA claim is within the scope of the indemnification provisions of the separation agreement. While all MDL lawsuits were dismissed or resolved through the MDL Settlement, the MDL Settlement did not resolve PFOA personal injury claims of plaintiffs who did not have cases or claims in the MDL or personal injury claims based on diseases first diagnosed after February 11, 2017. Since the resolution of the MDL, approximately 61 personal injury cases have been filed and are pending in West Virginia or Ohio courts alleging status as a Leach class member. These cases are consolidated before the MDL court with trials for two plaintiffs scheduled in January 2020, and for six plaintiffs in June 2020. State of Ohio In February 2018, the State of Ohio initiated litigation against DuPont regarding historical PFOA emissions from the Washington Works site. Chemours is an additional named defendant. Ohio alleges damage to natural resources and fraudulent transfer in the spin-off that created Chemours and seeks damages including remediation and other costs and punitive damages. PFAS DuPont and Chemours have been named in other litigations, including class actions, brought by individuals, municipalities, businesses and water districts alleging exposure to and/or contamination from perfluorinated and polyfluorinated compounds (“PFAS”), including PFOA. Many matters include an allegation of fraudulent transfer in the spin-off that created Chemours. Aqueous Film Forming Foam Matters DuPont and Chemours have been named in 30 matters, involving aqueous film forming foam (“AFFF”), which is used to extinguish hydrocarbon-based (i.e., Class B) fires and subject to U.S. military specifications. Of these matters, 21 have been transferred to or filed directly into a multidistrict litigation (“AFFF MDL”) in South Carolina federal court. The matters pending in the AFFF MDL include three purported class actions and allege damages as a result of contamination or exposure to AFFF, in most cases due to migration from military installations or airports. Plaintiffs seek to recover damages for investigating, monitoring, remediating, treating, and otherwise responding to the contamination. Others have claims for personal injury, property diminution and punitive damages. A number of matters allege fraudulent transfer. There are nine AFFF lawsuits pending outside the AFFF MDL in state courts across the country. These matters are: Valero Refining (“Valero”) filed seven state court lawsuits commencing in June 2019 regarding its Tennessee, Texas, Oklahoma, California, Ohio and Louisiana facilities. These lawsuits allege that several defendants that designed, manufactured, marketed, and/or sold AFFF or PFAS incorporated into AFFF have caused Valero to incur damages and costs including remediation, AFFF disposal and replacement. Valero also alleges fraudulent transfer. In August 2019, a putative class action was filed in Alaska state court seeking class status for property owners whose groundwater has been contaminated by AFFF use at Fairbanks International Airport, a nearby fire training facility and other state operations. In September 2019, a lawsuit alleging personal injury resulting from exposure to AFFF in Long Island drinking water was filed by four individuals in New York state court. State Natural Resource Dama ges Matters In addition to the State of New Jersey actions (as detailed below) and the State of Ohio action (as detailed above), the states of Vermont and New Hampshire have each filed two lawsuits against defendants, including DuPont and Chemours, relating to the alleged contamination of state natural resources with PFAS compounds. These lawsuits seek damages including costs to investigate, clean up, restore, treat, monitor, or otherwise respond to contamination to natural resources. Each state has filed one lawsuit against 3M Company (“3M”), DuPont, and Chemours generally alleging widespread contamination of the state’s natural resources with PFAS and damaging the value and use of natural resources as well as injuring citizens of the states. The second lawsuit filed by each state, as well as the state of New York, is against alleged manufacturers of AFFF, including DuPont and Chemours. This second action generally demands that the defendants pay for all costs to respond to contamination of the state’s property and resources and other damages. All these lawsuits include counts for fraudulent transfer, either under state law or uniform acts. Other PFAS Matters DuPont has also been named in approximately 51 lawsuits pending in New York courts, which are not part of the Leach class, brought by individual plaintiffs alleging negligence and other claims in the release of PFAS, including PFOA, into drinking water, and seeking medical monitoring, compensatory, and punitive damages against current and former owners and suppliers of a manufacturing facility in Hoosick Falls, New York. The Company has been included as a named defendant in seven of these lawsuits. Two other lawsuits in New York have been filed by a business seeking to recover its losses and by nearby property owners and residents in a putative class action seeking medical monitoring, compensatory and punitive damages, and injunctive relief. In May 2017, the Water Works and Sewer Board of the Town of Centre, Alabama filed suit against numerous carpet manufacturers located in Dalton, Georgia and suppliers and former suppliers, including DuPont, in Alabama state court. The complaint alleges negligence, nuisance, and trespass in the release of PFAS, including PFOA, into a river leading to the town’s water source, and seeks compensatory and punitive damages. In February 2018, the New Jersey-American Water Company, Inc. (“NJAW”) filed suit against DuPont and Chemours in New Jersey federal court alleging that discharges in violation of the New Jersey Spill Compensation and Control Act (“Spill Act”), were made into groundwater utilized in the NJAW Penns Grove water system. NJAW alleges that damages include costs associated with remediating, operating, and maintaining its system, and attorney fees. In October 2018, a putative class action was filed in Ohio federal court against 3M, DuPont, Chemours, and other defendants seeking class action status for U.S. residents having a detectable level of PFAS in their blood serum. The complaint seeks declaratory and injunctive relief, including the establishment of a “PFAS Science Panel.” In December 2018, the owners of a dairy farm filed a lawsuit in Maine state court against numerous defendants including DuPont and Chemours alleging that their dairy farm was contaminated by PFAS, including PFOS and PFOA present in treated municipal sewer sludge used in agricultural spreading applications on their farm. The complaint asserts negligence, trespass, and other tort and state statutory claims and seeks damages. In January 2019, the Town of East Hampton, New York (“Town”) filed a lawsuit against DuPont, Chemours, and numerous other defendants in New York state court alleging that it has and will incur costs for assessment, remediation, and response to address PFAS contamination, including PFOA and PFOS in drinking water and the environment. As to DuPont and Chemours, the Town alleges that PFOA and/or PFOS washed from clothing or cleaning supplies to cesspools and then subsurface water. In addition to cost recovery, the Town seeks natural resource damages, compensatory and punitive damages, and injunctive relief. Other defendants, identified as manufacturers of AFFF, transferred the case to the AFFF MDL. In February 2019, the Ridgewood Water Department (“Ridgewood Water”), a public water supplier in Bergen County, New Jersey filed a lawsuit in New Jersey state court against DuPont, Chemours, and numerous other defendants. As to DuPont and Chemours, Ridgewood Water alleges that “PTFE” (polytetrafluoroethylene fluoropolymers) is one of the sources of alleged PFAS contamination, including PFOA and PFOS. Ridgewood Water seeks declaratory relief requiring defendants to pay for assessment, remediation, and response costs, as well as compensatory and punitive damages. In May 2019, a putative class action was filed in Delaware state court against two electroplating companies alleging that they are responsible for PFAS contamination, including PFOA and PFOS, in drinking water and the environment in the nearby community. The suit also names 3M, DuPont and Chemours, asserting they sold PFAS containing materials to the electroplating companies. The putative class of residents alleges negligence, nuisance, trespass and other claims and seeks medical monitoring, personal injury and property damages, and punitive damages. In August 2019, six Long Island water suppliers filed lawsuits in New York federal court against defendants including DuPont and Chemours regarding alleged PFAS, PFOA and PFOS contamination through releases from industrial and manufacturing facilities and business locations where PFAS-contaminated water was used for irrigation and New Jersey Department of Environmental Protection Directives and Litigation In March 2019, the NJ DEP issued two Directives and filed four lawsuits against Chemours and other defendants. The Directives are: (i) a state-wide PFAS Directive issued to DuPont, DowDuPont, DuPont Specialty Products USA (“DuPont SP USA”), Solvay S.A., 3M and Chemours seeking a meeting to discuss future costs for PFAS related costs incurred by the NJ DEP and establishing a funding source for such costs by the Directive recipients, and information relating to historic and current use of certain PFAS compounds; and, (ii) a Pompton Lakes Natural Resources Damages (“NRD”) Directive to DuPont and Chemours demanding $0.1 to cover the cost of preparation of a natural resource damage assessment plan and access to related documents. The lawsuits filed in New Jersey state courts by the NJ DEP are: (i) in Salem County, against DuPont, 3M, and Chemours primarily alleging clean-up and removal costs and damages and natural resource damages under the Spill Act, the Water Pollution Control Act (“WPCA”), the Industrial Site Recovery Act (“ISRA”), and common law regarding past and present operations at Chambers Works, a site assigned to Chemours at separation ; DuPont requested that Chemours defend and indemnify it in these matters. Chemours has accepted the defense while reserving rights and declining DuPont’s demand as to matters under ISRA, fraudulent transfer or involving other DuPont entities. PFOA and PFAS Summary Management believes that it is reasonably possible that the Company could incur losses related to PFOA and/or PFAS matters in excess of amounts accrued, but any such losses are not estimable at this time due to various reasons, including, among others, that such matters are in their early stages and have significant factual issues to be resolved. U.S. Smelter and Lead Refinery, Inc. There are six lawsuits, including one putative class action, pending against DuPont by area residents concerning the U.S. Smelter and Lead Refinery multi-party Superfund site in East Chicago, Indiana. Several of the lawsuits allege that Chemours is now responsible for DuPont environmental liabilities. The lawsuits include allegations for personal injury damages, property diminution, and damages under the Comprehensive Environmental Response Compensation and Liability Act (“CERCLA,” often referred to as “Superfund”). At separation, DuPont assigned Chemours its former plant site, which is located south of the residential portion of the Superfund area, and its responsibility for the environmental remediation at the Superfund site. Management believes a loss is reasonably possible, but not estimable at this time due to various reasons including, among others, that such matters are in their early stages and have significant factual issues to be resolved. GenX and Other Perfluorinated and Polyfluorinated Compounds At its Fayetteville, North Carolina facility, the Company continues to capture and separately dispose of process waste water containing the polymerization processing aid hexafluoropropylene oxide dimer acid (“HFPO Dimer Acid,” sometimes referred to as “GenX” or “C3 Dimer Acid”) and other perfluorinated and polyfluorinated compounds. The Company believes that discharges to the Cape Fear River, site surface water, groundwater, and air emissions have not impacted the safety of drinking water in North Carolina and is cooperating with a variety of ongoing inquiries and investigations from federal, state, and local authorities, regulators, and other governmental entities. Government inquiries include an investigation regarding PFAS chemicals (including GenX) initiated in July 2019 by the U.S. House of Representatives Committee on Oversight and Reform, Subcommittee on the Environment which held a hearing at which Chemours offered testimony. There is an ongoing investigation into releases from the Fayetteville site being conducted by the U.S. Attorney’s Office for the Eastern District of North Carolina and the Environment and Natural Resources Division of the U.S. Department of Justice. In September 2017, the North Carolina Department of Environmental Quality (“NC DEQ”) issued a 60-day notice of intent to suspend the permit for the Fayetteville facility and the State of North Carolina filed an action in North Carolina state court regarding the discharges seeking a temporary restraining order and preliminary injunction, as well as other relief, including abatement and site correction. A partial Consent Order was entered partially resolving the State’s action in return for the Company’s agreement to continue and supplement the voluntary waste water disposal measures it had previously commenced and to provide certain information. In November 2017, the NC DEQ informed the Company that it was suspending the process waste water discharge permit for the Fayetteville facility. The Company thereafter commenced the capture and separate disposal of all process waste water from the Fayetteville facility related to the Company’s own operations. In addition, in June 2018, the North Carolina Legislature enacted legislation (i) granting the governor the authority, in certain circumstances, to require a facility with unauthorized PFAS discharges to cease operations, and (ii) granting the governor the authority, in certain circumstances, to direct the NC DEQ secretary to order a PFAS discharger to establish permanent replacement water supplies for parties whose water was contaminated by the discharge. On July 13, 2018, Cape Fear River Watch (“CFRW”), a non-profit organization, sued the NC DEQ in North Carolina state court, seeking to require the NC DEQ to take additional actions as to the Fayetteville facility. On August 29, 2018, CFRW sued the Company in North Carolina federal court for alleged violations of the Clean Water Act (“CWA”) and the Toxic Substances Control Act (“TSCA”), seeking declaratory and injunctive relief and penalties. On February 25, 2019, the North Carolina Superior Court for Bladen County approved a Consent Order between NC DEQ and the Company resolving the State’s and CFRW’s lawsuits and other matters (including issues regarding the legislation referenced above and Notices of Violation (“NOVs”) issued by the State) and litigation brought by CFRW. Under its terms, Chemours paid $13 in March 2019 to cover a civil penalty and investigative costs and continues to take additional actions to address site surface water, groundwater, and air emissions, including installing technology to abate future emissions by specified dates and meeting specified emissions reductions (with stipulated penalties for failures to do so). The Company continues to have active dialogue with NC DEQ and CFRW regarding the additional actions to be taken under the Consent Order and will submit a Corrective Action Plan for onsite groundwater remediation to NC DEQ and CFRW in December 2019. The Company accrued an additional $2 during the third quarter of 2019 and had total accrued liabilities of $83 for this matter at September 30, 2019, of which, $54 is treated as accrued litigation costs. The Company’s estimated liability is based on management’s assessment of the current facts and circumstances for this matter, which are subject to various assumptions that include, but are not limited to, the type of water treatment systems required, the cost of proposed water treatment systems, the number of affected properties, and any related operation, maintenance, and monitoring (“OM&M”) requirements, assessed fines and penalties, and other charges contemplated by the Consent Order. As implementation of the Company’s obligations under the Consent Order proceed, an additional loss is considered probable but not estimable at this time. In February 2019, the Company received an NOV from the EPA alleging certain TSCA violations at its Fayetteville site. Matters raised in the NOV could have the potential to affect operations at the Fayetteville site. The Company responded to the EPA in March 2019 asserting that the Company has not violated environmental laws. At this time, management does not believe that a loss is probable related to the matters in this NOV. It is also possible that issues relating to site discharges could result in further litigation or regulatory demands with regard to the Fayetteville facility, including potential permit modifications. If such issues arise, or if the Consent Order is modified, an additional loss is reasonably possible but not estimable at this time. The Company has responded to grand jury subpoenas, produced witnesses before a grand jury and for interviews with government investigators and attorneys, and met with the U.S. Attorney’s Office for the Eastern District of North Carolina and the Environment and Natural Resources Division of the U.S. Department of Justice regarding their investigation into a potential violation of the CWA. Although the Company is not able at this point to predict the outcome of that investigation, it is reasonably possible that it could result in a criminal or civil proceeding, the imposition of fines and penalties, and/or other remedies. Civil actions have been filed against DuPont and Chemours in North Carolina federal court relating to discharges from the Fayetteville site. These actions include a consolidated action brought by public water suppliers seeking damages and injunctive relief, a consolidated purported class action seeking medical monitoring , and property damage and/or other monetary and injunctive relief on behalf of the putative classes of property owners and residents in areas near or that draw drinking water from the Cape Fear River, and an action by private well owners seeking compensatory and punitive damages . It is possible that additional litigation may be filed against the Company and/or DuPont concerning the discharges. Ruling on the Company’s motions in April 2019, the court dismissed the medical monitoring, injunctive demand, and many other alleged causes of actions in these lawsuits. It is not possible at this point to predict the timing, course, or outcome of all governmental and regulatory inquiries and notices and litigation, and it is possible that these matters could materially affect the Company’s financial results and operations. In addition, local communities, organizations, and federal and state regulatory agencies have raised questions concerning HFPO Dimer Acid and other perfluorinated and polyfluorinated compounds at certain other manufacturing sites operated by the Company, and it is possible that similar developments to those described above and centering on the Fayetteville site could arise in other locations. Securities Litigation In October 2019 the Electrical Workers Pension Fund, Local 103 (“IBEW”) filed a putative class action in Delaware federal court alleging that Chemours and certain of its officers violated the Securities Exchange Act of 1934 by making materially false and misleading statements and omissions in public disclosures regarding environmental liabilities assigned to Chemours in connection with its spin-off from DuPont. The IBEW seeks a class of purchasers of the Chemours stock between February 16, 2017 and August 1, 2019 and alleges compensatory damages and fees. The Company believes the suit is without merit and intends to vigorously defend against it. It is possible that additional actions may be filed concerning the same subject matter. Management believes that it is not possible at this time to reasonably assess the outcome of this litigation or to estimate the loss or range of loss as the matter is in the early stages with significant issues to be resolved. If the Company were not to prevail in the litigation, the impact could be material to the Company’s results of operations, financial position, and cash flows. Mining Solutions Facility Construction Stoppage In March 2018, a civil association in Mexico filed a complaint against the government authorities involved in the permitting process of the Company’s new Mining Solutions facility under construction in Gomez Palacio, Durango, Mexico. The claimant sought and obtained a suspension from the district judge to stop the Company’s construction work. The suspension was subsequently lifted on appeal and the matter is before the Supreme Court of Mexico. A second similar complaint was filed in September 2019 and, again, a suspension of construction was granted. Chemours will file an appeal. At September 30, 2019 the Company had $144 long-lived assets under construction at the facility, $6 of other related prepaid costs, and approximately $50 of the Company’s goodwill assigned to the Mining Solutions reporting unit. Management believes these amounts are recoverable as of September 30, 2019. Environmental Chemours, due to the terms of its separation-related agreements with DuPont, is subject to contingencies pursuant to environmental laws and regulations that in the future may require further action to correct the effects on the environment of prior disposal practices or releases of chemical substances by Chemours or other parties. Much of this liability results from CERCLA, the Resource Conservation and Recovery Act, and similar state and global laws. These laws require Chemours to undertake certain investigative, remediation, and restoration activities at sites where Chemours conducts or once conducted operations or at sites where Chemours-generated waste was disposed. The accrual also includes estimated costs related to a number of sites identified for which it is probable that environmental remediation will be required, but which are not currently the subject of enforcement activit |
Equity
Equity | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders Equity Note [Abstract] | |
Equity | Note 20 . Equity On August 1, 2018, the Company’s board of directors approved a share repurchase program authorizing the purchase of shares of Chemours’ issued and outstanding common stock in an aggregate amount not to exceed $750, plus any associated fees or costs in connection with the Company’s share repurchase activity (“2018 Share Repurchase Program”). On February 13, 2019, the Company’s board of directors increased the authorization amount of the 2018 Share Repurchase Program from $750 to $1,000. Under the 2018 Share Repurchase Program, shares of Chemours’ common stock can be purchased on the open market from time to time, subject to management’s discretion, as well as general business and market conditions. The Company’s 2018 Share Repurchase Program became effective on August 1, 2018 and will continue through the earlier of its expiration on December 31, 2020, or the completion of repurchases up to the approved amount. The program may be suspended or discontinued at any time. All common shares purchased under the 2018 Share Repurchase Program are expected to be held as treasury stock and accounted for using the cost method. As of September 30, 2019, the Company has purchased a cumulative 15,245,999 shares of Chemours’ issued and outstanding common stock under the 2018 Share Repurchase Program, which amounted to $572 at an average share price of $37.52 per share. The aggregate amount of Chemours’ common stock that remained available for purchase under the 2018 Share Repurchase Program at September 30, 2019 was $428. |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-based Compensation | Note 21. Stock-based Compensation The Company’s total stock-based compensation expense was $4 and $18 for the three and nine months ended September 30, 2019, respectively, and $5 and $20 for the three and nine months ended September 30, 2018, respectively. Stock Options During the nine months ended September 30, 2019, Chemours granted approximately 840,000 non-qualified stock options to certain of its employees, of which 760,000 non-qualified stock options were granted in the first quarter of 2019. These awards will vest over a three-year period and expire 10 years from the date of grant. The fair value of the Company’s stock options are based on the Black-Scholes valuation model. The following table sets forth the assumptions used at grant date to determine the fair value of the Company’s stock option awards that were granted during the nine months ended September 30, 2019. Nine Months Ended September 30, 2019 Risk-free interest rate 2.53 % Expected term (years) 6.05 Volatility 48.05 % Dividend yield 2.81 % Fair value per stock option $ 13.66 The Company recorded $2 and $8 in stock-based compensation expense specific to its stock options for the three and nine months ended September 30, 2019, respectively, and $1 and $7 in stock-based compensation expense specific to its stock options for the three and nine months ended September 30, 2018, respectively. At September 30, 2019, approximately 6,190,000 stock options remained outstanding. Restricted Stock Units During the nine months ended September 30, 2019, Chemours granted approximately 190,000 restricted stock units (“RSUs”) to certain of its employees, of which 150,000 RSUs were granted in the first quarter of 2019. These awards will vest over a three-year period and, upon vesting, convert one-for-one to Chemours’ common stock. The fair value of the RSUs is based on the market price of the underlying common stock at the grant date. The Company recorded $1 and $5 in stock-based compensation expense specific to its RSUs for the three and nine months ended September 30, 2019, respectively, and $1 and $6 in stock-based compensation expense specific to its RSUs for the three and nine months ended September 30, 2018, respectively. At September 30, 2019, approximately 220,000 RSUs remained non-vested. Performance Share Units During the nine months ended September 30, 2019, Chemours granted approximately 240,000 performance share units (“PSUs”) to key senior management employees, of which 200,000 PSUs were granted in the first quarter of 2019. Upon vesting, these awards convert one-for-one to Chemours’ common stock if specified performance goals, including certain market-based conditions, are met over the three-year performance period specified in the grant, subject to exceptions through the respective vesting period of three years. Each grantee is granted a target award of PSUs, and may earn between 0% and 250% of the target amount depending on the Company’s performance against stated performance goals. During the nine months ended September 30, 2019, approximately 1,520,000 PSUs granted in 2016 to the Company’s key senior management employees vested, based on the attainment of certain performance and market-based conditions. Of the 1,520,000 PSUs that vested during the nine months ended September 30, 2019, approximately 680,000 non-issued shares were cancelled to cover the employee portion of income taxes related to this award. A portion of the fair value of PSUs was estimated at the grant date based on the probability of satisfying the market-based conditions associated with the PSUs using the Monte Carlo valuation method, which assesses probabilities of various outcomes of market conditions. The other portion of the fair value of the PSUs is based on the fair market value of the Company’s stock at the grant date, regardless of whether the market-based conditions are satisfied. The Company recorded less than $1 and $5 in stock-based compensation expense specific to its PSUs for the three and nine months ended September 30, 2019, respectively, and $3 and $7 in stock-based compensation expense specific to its PSUs for the three and nine months ended September 30, 2018, respectively. At September 30, 2019, approximately 570,000 PSUs at 100% of the target amount remained non-vested. Employee Stock Purchase Plan On January 26, 2017, the Company’s board of directors approved The Chemours Company Employee Stock Purchase Plan (“ESPP”), which was approved by Chemours’ stockholders on April 26, 2017. Under the ESPP, a total of 7,000,000 shares of Chemours’ common stock are reserved and authorized for issuance to participating employees, as defined by the ESPP, which excludes executive officers of the Company. The ESPP provides for consecutive 12-month offering periods, each with two purchase periods in March and September within those offering periods. The initial offering period under the ESPP began on October 2, 2017. Participating employees are eligible to purchase the Company’s common stock at a discounted rate equal to 95% of its fair value on the last trading day of each purchase period. During the first and third quarters of 2019, the Company executed open market transactions to purchase the Company’s common stock on behalf of its ESPP participants. The company purchased approximately 58,000 shares for $1 and approximately 83,000 shares for $2 for the three and nine months ended September 30, 2019, respectively. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Financial Instruments | Note 22. Financial Instruments Derivative Instruments Objectives and Strategies for Holding Derivative Instruments In the ordinary course of business, Chemours enters into contractual arrangements (i.e., derivatives) to reduce its exposure to foreign currency risks. The Company has established a derivative program to be utilized for financial risk management, which currently includes three distinct risk management strategies: (i) foreign currency forward contracts, which are used to minimize the volatility in the Company’s earnings related to foreign exchange gains and losses resulting from remeasuring its monetary assets and liabilities that are denominated in non-functional currencies; (ii) foreign currency forward contracts, which are also used to mitigate the risks associated with fluctuations in the euro against the U.S. dollar for forecasted U.S. dollar-denominated inventory purchases in certain of the Company’s international subsidiaries that use the euro as their functional currency; and, (iii) euro-denominated debt, which is used to reduce the volatility in stockholders’ equity caused by changes in foreign currency exchange rates of the euro with respect to the U.S. dollar for certain of its international subsidiaries that use the euro as their functional currency. The Company’s derivative program reflects varying levels of exposure coverage and time horizons based on an assessment of risk. The derivative program operates within Chemours’ financial risk management policies and guidelines, and the Company does not enter into derivative financial instruments for trading or speculative purposes. Net Monetary Assets and Liabilities Hedge – Foreign Currency Forward Contracts At September 30, 2019, the Company had 13 foreign currency forward contracts outstanding with an aggregate gross notional U.S. dollar equivalent of $399, and an average maturity of one month. At December 31, 2018, the Company had 20 foreign currency forward contracts outstanding with an aggregate gross notional U.S. dollar equivalent of $503, and an average maturity of one month. Chemours recognized net gains of $1 and less than $1 for the three and nine months ended September 30, 2019, respectively, and net gains of $14 and $8 for the three and nine months ended September 30, 2018, respectively, on its foreign currency forward contracts in other income, net. Cash Flow Hedge – Foreign Currency Forward Contracts At September 30, 2019, the Company had 142 foreign currency contracts outstanding under Chemours’ cash flow hedge program with an aggregate notional U.S. dollar equivalent of $128, and an average maturity of four months. At December 31, 2018, the Company had 75 foreign currency contracts outstanding under Chemours’ cash flow hedge program with an aggregate notional U.S. dollar equivalent of $143, and an average maturity of four months. The Company recognized pre-tax gains of $5 and $7 for the three and nine months ended September 30, 2019, and a pre-tax loss of $1 and a pre-tax gain of $6 for the three and nine months ended September 30, 2018 on its cash flow hedge within accumulated other comprehensive loss. For the three and nine months ended September 30, 2019, $2 and $8 of gain was reclassified to the cost of goods sold from accumulated other comprehensive loss. For the three and nine months ended September 30, 2018, $1 of gain was reclassified to the cost of goods sold from accumulated other comprehensive loss. The Company expects to reclassify an approximate $6 of net gain from accumulated other comprehensive loss to the cost of goods sold over the next 12 months, based on current foreign currency exchange rates. Net Investment Hedge – Foreign Currency Borrowings T he Company recognized pre-tax gains of $33 and $36 for the three and nine months ended September 30, 2019, respectively, and a pre-tax loss of $11 and a pre-tax gain of $2 for the three and nine months ended September 30, 2018, respectively, on its net investment hedges within accumulated other comprehensive loss. amounts were reclassified from accumulated other comprehensive loss for the Company’s net investment hedges during the three and nine months ended September 30, 2019 and 2018. Fair Value of Derivative Instruments The following table sets forth the fair value of the Company’s derivative assets and liabilities at September 30, 2019 and December 31, 2018. Fair Value Using Level 2 Inputs Balance Sheet Location September 30, 2019 December 31, 2018 Asset derivatives: Foreign currency forward contracts not designated as a hedging instrument Accounts and notes receivable, net (Note 9) $ 1 $ 1 Foreign currency forward contracts designated as a cash flow hedge Accounts and notes receivable, net (Note 9) 4 3 Total asset derivatives $ 5 $ 4 Liability derivatives: Foreign currency forward contracts not designated as a hedging instrument Other accrued liabilities (Note 16) $ 1 $ 1 Total liability derivatives $ 1 $ 1 The Company’s foreign currency forward contracts are classified as Level 2 financial instruments within the fair value hierarchy as the valuation inputs are based on the quoted prices and market observable data of similar instruments. For derivative assets and liabilities, standard industry models are used to calculate the fair value of the various financial instruments based on significant observable market inputs, such as foreign exchange rates and implied volatilities obtained from various market sources. Market inputs are obtained from well-established and recognized vendors of market data, and are subjected to tolerance and/or quality checks. Summary of Derivative Instruments The following table sets forth the pre-tax changes in fair value of the Company’s derivative assets and liabilities for the three and nine months ended September 30, 2019 and 2018. Gain (Loss) Recognized In Other Comprehensive Three months ended September 30, Cost of Goods Sold Other Income, Net Income 2019 Foreign currency forward contracts not designated as a hedging instrument $ — $ 1 $ — Foreign currency forward contracts designated as a cash flow hedge 2 — 5 Euro-denominated debt designated as a net investment hedge — — 33 2018 Foreign currency forward contracts not designated as a hedging instrument $ — $ 14 $ — Foreign currency forward contracts designated as a cash flow hedge 1 — (2 ) Euro-denominated debt designated as a net investment hedge — — (11 ) Gain (Loss) Recognized In Other Comprehensive Nine months ended September 30, Cost of Goods Sold Other Income, Net Income 2019 Foreign currency forward contracts not designated as a hedging instrument $ — $ — $ — Foreign currency forward contracts designated as a cash flow hedge 8 — 7 Euro-denominated debt designated as a net investment hedge — — 36 2018 Foreign currency forward contracts not designated as a hedging instrument $ — $ 8 $ — Foreign currency forward contracts designated as a cash flow hedge 1 — 5 Euro-denominated debt designated as a net investment hedge — — 2 |
Long-term Employee Benefits
Long-term Employee Benefits | 9 Months Ended |
Sep. 30, 2019 | |
General Discussion Of Pension And Other Postretirement Benefits [Abstract] | |
Long-term Employee Benefits | Note 23. Long-term Employee Benefits Chemours sponsors defined benefit pension plans for certain of its employees in various jurisdictions outside of the U.S. The Company’s net periodic pension (cost) income is based on estimated values and the use of assumptions about the discount rate, expected return on plan assets, and the rate of future compensation increases received by its employees. The following table sets forth the Company’s net periodic pension (cost) income and amounts recognized in other comprehensive income for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Service cost $ (3 ) $ (4 ) $ (9 ) $ (11 ) Interest cost (4 ) (4 ) (13 ) (13 ) Expected return on plan assets 12 14 38 43 Amortization of actuarial loss (6 ) (4 ) (18 ) (12 ) Amortization of prior service gain 1 — 2 2 Settlement loss (3 ) (2 ) (4 ) (2 ) Total net periodic pension (cost) income $ (3 ) $ — $ (4 ) $ 7 Net loss $ — $ — $ (3 ) $ — Prior service benefit — — 5 — Amortization of prior service gain (1 ) — (2 ) (1 ) Amortization of actuarial loss 6 4 18 11 Settlement loss 3 2 4 2 Effect of foreign exchange rates 9 (2 ) 10 3 Benefit recognized in other comprehensive income 17 4 32 15 Total changes in plan assets and benefit obligations recognized in other comprehensive income $ 14 $ 4 $ 28 $ 22 The Company made cash contributions of $2 and $15 to its defined benefit pension plans during the three and nine months ended September 30, 2019, respectively, and $4 and $12 for the three and nine months ended September 30, 2018, respectively, and expects to make additional cash contributions of $6 to its defined benefit pension plans during the remainder of 2019. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Note 24. Segment Information Chemours’ reportable segments are Fluoroproducts, Chemical Solutions, and Titanium Technologies. Corporate costs and certain legal and environmental expenses, stock-based compensation expenses, and foreign exchange gains and losses arising from the remeasurement of balances in currencies other than the functional currency of the Company’s legal entities are reflected in Corporate and Other. Segment net sales include transfers to another reportable segment. Certain products are transferred between segments on a basis intended to reflect, as nearly as practicable, the market value of the products. These product transfers were limited and were not significant for each of the periods presented. Depreciation and amortization includes depreciation on research and development facilities and the amortization of other intangible assets, excluding any write-downs of assets. Adjusted earnings before interest, taxes, depreciation, and amortization (“Adjusted EBITDA”) is the primary measure of segment profitability used by the Company’s Chief Operating Decision Maker and is defined as income (loss) before income taxes, excluding the following: • interest expense, depreciation, and amortization; • non-operating pension and other post-retirement employee benefit costs, which represents the components of net periodic pension (income) costs excluding the service cost component; • exchange (gains) losses included in other income (expense), net; • restructuring, asset-related, and other charges; • asset impairments; • (gains) losses on sales of assets and businesses; and, • other items not considered indicative of the Company’s ongoing operational performance and expected to occur infrequently. The following table sets forth certain summary financial information for the Company’s reportable segments for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Fluoroproducts Chemical Solutions Titanium Technologies Segment Total 2019 Net sales to external customers $ 636 $ 140 $ 614 $ 1,390 Adjusted EBITDA 122 23 137 282 Depreciation and amortization 34 5 30 69 2018 Net sales to external customers $ 682 $ 155 $ 791 $ 1,628 Adjusted EBITDA 182 24 268 474 Depreciation and amortization 28 5 30 63 Nine Months Ended September 30, Fluoroproducts Chemical Solutions Titanium Technologies Segment Total 2019 Net sales to external customers $ 2,034 $ 404 $ 1,735 $ 4,173 Adjusted EBITDA 461 55 390 906 Depreciation and amortization 100 18 90 208 2018 Net sales to external customers $ 2,213 $ 453 $ 2,508 $ 5,174 Adjusted EBITDA 619 50 856 1,525 Depreciation and amortization 87 15 90 192 Corporate and Other depreciation and amortization expense amounted to $8 and $24 for the three and nine months ended September 30, 2019, respectively, and $8 and $21 for the three and nine months ended September 30, 2018, respectively. The following table sets forth a reconciliation of segment Adjusted EBITDA to the Company’s consolidated net income before income taxes for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Segment Adjusted EBITDA $ 282 $ 474 $ 906 $ 1,525 Corporate and Other Adjusted EBITDA (34 ) (39 ) (113 ) (126 ) Interest expense, net (53 ) (47 ) (156 ) (148 ) Depreciation and amortization (78 ) (71 ) (232 ) (213 ) Non-operating pension and other post-retirement employee benefit (cost) income (1 ) 4 5 18 Exchange gains (losses), net 5 (6 ) 2 (4 ) Restructuring, asset-related, and other charges (1) (34 ) (12 ) (49 ) (32 ) Loss on extinguishment of debt — — — (38 ) Gain on sales of assets and businesses (2) 9 — 11 45 Transaction costs — — (1 ) (9 ) Legal charges (3) (5 ) (34 ) (43 ) (45 ) Income before income taxes $ 91 $ 269 $ 330 $ 973 (1) Includes restructuring, asset-related, and other charges, which are discussed in further detail in “Note 5 – Restructuring, Asset-related, and Other Charges.” (2) For the three and nine months ended September 30, 2019, the Company recognized a non-cash gain of $9 (3) Includes litigation settlements, PFOA drinking water treatment accruals, and other legal charges. For the three and nine months ended September 30, 2019, legal charges included $2 and $36 in additional charges for the approved final Consent Order associated with certain matters at the Company’s Fayetteville, North Carolina facility, which are discussed in further detail in “Note 19 – Commitments and Contingent Liabilities.” |
Guarantor Condensed Consolidati
Guarantor Condensed Consolidating Financial Information | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Guarantor Condensed Consolidating Financial Information | Note 25 . Guarantor Condensed Consolidating Financial Information The following guarantor condensed consolidating financial information is included in accordance with Rule 3-10 of Regulation S-X (“Rule 3-10”) in connection with the subsidiary guarantees of the “Notes” (collectively, the 6.625% senior unsecured notes due May 2023, the 7.000% senior unsecured notes due May 2025, the 4.000% senior unsecured notes due May 2026, which are denominated in euros, and the 5.375% senior unsecured notes due May 2027), in each case, issued by The Chemours Company (“Parent Issuer”). As of the dates indicated, each series of the Notes was fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis, subject to certain exceptions, by the same group of subsidiaries of the Parent Issuer (together, “Guarantor Subsidiaries”). Each of the Guarantor Subsidiaries is 100% owned by the Company. None of the other subsidiaries of the Company, either direct or indirect, guarantee the Notes (together, “Non-Guarantor Subsidiaries”). Pursuant to the indentures governing the Notes, the Guarantor Subsidiaries will be automatically released from those guarantees upon the occurrence of certain customary release provisions. The following condensed consolidating financial information is presented to comply with the Company’s requirements under Rule 3-10: • the condensed consolidating statements of comprehensive income for the three and nine months ended September 30, 2019 and 2018; • the condensed consolidating balance sheets at September 30, 2019 and December 31, 2018; and, • the condensed consolidating statements of cash flows for the nine months ended September 30, 2019 and 2018. The following guarantor condensed consolidating financial information is presented using the equity method of accounting for the Company’s investments in its wholly-owned subsidiaries. Under the equity method, the investments in subsidiaries are recorded at cost and adjusted for the Company’s share of its subsidiaries’ cumulative results of operations, capital contributions, distributions, and other equity changes. The elimination entries principally eliminate investments in subsidiaries and intercompany balances and transactions. The financial information included herein may not necessarily be indicative of the financial positions, results of operations, or cash flows of the Company’s subsidiaries had they operated as independent entities, and should be read in conjunction with the interim consolidated financial statements and the related notes thereto. Condensed Consolidating Statements of Comprehensive Income Three Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 810 $ 910 $ (330 ) $ 1,390 Cost of goods sold — 739 693 (336 ) 1,096 Gross profit — 71 217 6 294 Selling, general, and administrative expense 4 96 34 (4 ) 130 Research and development expense — 18 2 — 20 Restructuring, asset-related, and other charges — 22 12 — 34 Total other operating expenses 4 136 48 (4 ) 184 Equity in earnings of affiliates — — 9 — 9 Equity in earnings (loss) of subsidiaries 106 (1 ) — (105 ) — Interest expense, net (52 ) — (1 ) — (53 ) Intercompany interest income (expense), net 11 4 (15 ) — — Other income (expense), net 6 40 (17 ) (4 ) 25 Income before income taxes 67 (22 ) 145 (99 ) 91 (Benefit from) provision for income taxes (9 ) (6 ) 30 — 15 Net income (loss) 76 (16 ) 115 (99 ) 76 Net income (loss) attributable to Chemours $ 76 $ (16 ) $ 115 $ (99 ) $ 76 Comprehensive income attributable to Chemours $ 51 $ (16 ) $ 65 $ (49 ) $ 51 Nine Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 2,544 $ 2,718 $ (1,089 ) $ 4,173 Cost of goods sold — 2,215 2,138 (1,093 ) 3,260 Gross profit — 329 580 4 913 Selling, general, and administrative expense 19 314 108 (18 ) 423 Research and development expense — 56 5 — 61 Restructuring, asset-related, and other charges — 37 12 — 49 Total other operating expenses 19 407 125 (18 ) 533 Equity in earnings of affiliates — — 25 — 25 Equity in earnings (loss) of subsidiaries 364 (3 ) — (361 ) — Interest (expense) income, net (159 ) 1 2 — (156 ) Intercompany interest income (expense), net 28 13 (41 ) — — Other income (expense), net 20 108 (29 ) (18 ) 81 Income before income taxes 234 41 412 (357 ) 330 (Benefit from) provision for income taxes (31 ) 7 89 — 65 Net income 265 34 323 (357 ) 265 Net income attributable to Chemours $ 265 $ 34 $ 323 $ (357 ) $ 265 Comprehensive income attributable to Chemours $ 273 $ 34 $ 304 $ (338 ) $ 273 Condensed Consolidating Statement s of Comprehensive Income Three Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 987 $ 1,103 $ (462 ) $ 1,628 Cost of goods sold — 769 834 (452 ) 1,151 Gross profit — 218 269 (10 ) 477 Selling, general, and administrative expense 5 122 40 (4 ) 163 Research and development expense — 18 2 — 20 Restructuring, asset-related, and other charges — 12 — — 12 Total other operating expenses 5 152 42 (4 ) 195 Equity in earnings of affiliates — — 10 — 10 Equity in earnings (loss) of subsidiaries 308 (1 ) — (307 ) — Interest (expense) income, net (51 ) 1 3 — (47 ) Intercompany interest income (expense), net 13 3 (16 ) — — Loss on extinguishment of debt — — — — — Other income (expense), net 2 52 (26 ) (4 ) 24 Income before income taxes 267 121 198 (317 ) 269 (Benefit from) provision for income taxes (8 ) (31 ) 33 — (6 ) Net income 275 152 165 (317 ) 275 Less: Net income attributable to non-controlling interests — — — — — Net income attributable to Chemours $ 275 $ 152 $ 165 $ (317 ) $ 275 Comprehensive income attributable to Chemours $ 304 $ 152 $ 202 $ (354 ) $ 304 Nine Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 3,071 $ 3,493 $ (1,390 ) $ 5,174 Cost of goods sold — 2,403 2,590 (1,390 ) 3,603 Gross profit — 668 903 — 1,571 Selling, general, and administrative expense 28 339 119 (20 ) 466 Research and development expense — 56 5 — 61 Restructuring, asset-related, and other charges — 31 1 — 32 Total other operating expenses 28 426 125 (20 ) 559 Equity in earnings of affiliates — — 32 — 32 Equity in earnings of subsidiaries 983 2 — (985 ) — Interest (expense) income, net (159 ) 2 9 — (148 ) Intercompany interest income (expense), net 35 6 (41 ) — — Loss on extinguishment of debt (38 ) — — — (38 ) Other income (expense), net 22 146 (33 ) (20 ) 115 Income before income taxes 815 398 745 (985 ) 973 (Benefit from) provision for income taxes (39 ) 31 127 — 119 Net income 854 367 618 (985 ) 854 Less: Net income attributable to non-controlling interests — — 1 — 1 Net income attributable to Chemours $ 854 $ 367 $ 617 $ (985 ) $ 853 Comprehensive income attributable to Chemours $ 855 $ 367 $ 618 $ (985 ) $ 855 Condensed Consolidating Balance Sheets September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Assets Current assets: Cash and cash equivalents $ — $ 143 $ 551 $ — $ 694 Accounts and notes receivable, net — 70 762 — 832 Intercompany receivables 19 1,028 375 (1,422 ) — Inventories — 660 646 (83 ) 1,223 Prepaid expenses and other — 57 17 4 78 Total current assets 19 1,958 2,351 (1,501 ) 2,827 Property, plant, and equipment — 7,074 2,200 — 9,274 Less: Accumulated depreciation — (4,632 ) (1,122 ) — (5,754 ) Property, plant, and equipment, net — 2,442 1,078 — 3,520 Operating lease right-of-use assets — 284 23 — 307 Goodwill and other intangible assets, net — 162 14 — 176 Investments in affiliates — — 184 — 184 Investments in subsidiaries 4,339 149 — (4,488 ) — Intercompany notes receivable 1,250 — — (1,250 ) — Other assets 7 151 283 1 442 Total assets $ 5,615 $ 5,146 $ 3,933 $ (7,238 ) $ 7,456 Liabilities Current liabilities: Accounts payable $ — $ 598 $ 350 $ — $ 948 Short-term and current maturities of long-term debt 13 10 126 — 149 Intercompany payables 841 205 376 (1,422 ) — Other accrued liabilities 61 307 179 (1 ) 546 Total current liabilities 915 1,120 1,031 (1,423 ) 1,643 Long-term debt, net 3,862 92 53 — 4,007 Operating lease liabilities — 240 14 — 254 Intercompany notes payable — — 1,250 (1,250 ) — Deferred income taxes 1 119 88 — 208 Other liabilities — 421 80 — 501 Total liabilities 4,778 1,992 2,516 (2,673 ) 6,613 Commitments and contingent liabilities Equity Total Chemours stockholders’ equity 837 3,154 1,411 (4,565 ) 837 Non-controlling interests — — 6 — 6 Total equity 837 3,154 1,417 (4,565 ) 843 Total liabilities and equity $ 5,615 $ 5,146 $ 3,933 $ (7,238 ) $ 7,456 Condensed Consolidating Balance Sheets December 31, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Assets Current assets: Cash and cash equivalents $ — $ 239 $ 962 $ — $ 1,201 Accounts and notes receivable, net — 297 564 — 861 Intercompany receivables 2 1,057 91 (1,150 ) — Inventories — 483 749 (85 ) 1,147 Prepaid expenses and other — 58 26 — 84 Total current assets 2 2,134 2,392 (1,235 ) 3,293 Property, plant, and equipment — 6,870 2,122 — 8,992 Less: Accumulated depreciation — (4,591 ) (1,110 ) — (5,701 ) Property, plant, and equipment, net — 2,279 1,012 — 3,291 Goodwill and other intangible assets, net — 167 14 — 181 Investments in affiliates — — 160 — 160 Investments in subsidiaries 4,487 11 — (4,498 ) — Intercompany notes receivable 1,150 — — (1,150 ) — Other assets 17 154 274 (8 ) 437 Total assets $ 5,656 $ 4,745 $ 3,852 $ (6,891 ) $ 7,362 Liabilities Current liabilities: Accounts payable $ — $ 637 $ 500 $ — $ 1,137 Current maturities of long-term debt 13 — — — 13 Intercompany payables 698 92 360 (1,150 ) — Other accrued liabilities 21 341 198 (1 ) 559 Total current liabilities 732 1,070 1,058 (1,151 ) 1,709 Long-term debt, net 3,902 57 — — 3,959 Intercompany notes payable — — 1,150 (1,150 ) — Deferred income taxes 8 143 82 (16 ) 217 Other liabilities — 372 85 — 457 Total liabilities 4,642 1,642 2,375 (2,317 ) 6,342 Commitments and contingent liabilities Equity Total Chemours stockholders’ equity 1,014 3,103 1,471 (4,574 ) 1,014 Non-controlling interests — — 6 — 6 Total equity 1,014 3,103 1,477 (4,574 ) 1,020 Total liabilities and equity $ 5,656 $ 4,745 $ 3,852 $ (6,891 ) $ 7,362 Condensed Consolidating Statements of Cash Flows Nine Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Cash flows from operating activities Cash provided by (used for) operating activities (1) $ 163 $ (419 ) $ 745 $ (239 ) $ 250 Cash flows from investing activities Purchases of property, plant, and equipment — (324 ) (61 ) — (385 ) Intercompany investing activities — 37 (344 ) 307 — Acquisition of business, net — (10 ) — — (10 ) Proceeds from sales of assets and businesses, net — 5 2 — 7 Proceeds from life insurance policies — 1 — — 1 Cash used for investing activities — (291 ) (403 ) 307 (387 ) Cash flows from financing activities Proceeds from revolving loan 150 — — — 150 Repayments on revolving loan (150 ) — — — (150 ) Proceeds from accounts receivable securitization facility — — 125 125 Debt repayments (10 ) (2 ) (3 ) — (15 ) Payments on finance leases — — (2 ) — (2 ) Purchases of treasury stock, at cost (322 ) — — — (322 ) Intercompany financing activities (1) 315 616 (863 ) (68 ) — Proceeds from exercised stock options, net 8 — — — 8 Payments related to tax withholdings on vested stock awards (30 ) — — — (30 ) Payments of dividends (124 ) — — — (124 ) Cash (used for) provided by financing activities (163 ) 614 (743 ) (68 ) (360 ) Effect of exchange rate changes on cash and cash equivalents — — (10 ) — (10 ) Decrease in cash and cash equivalents — (96 ) (411 ) — (507 ) Cash and cash equivalents at January 1, — 239 962 — 1,201 Cash and cash equivalents at September 30, $ — $ 143 $ 551 $ — $ 694 (1) During the nine months ended September 30, 2019, the Company received $494 in collections on its accounts receivable sold into the SPE under the Securitization Facility, which, inclusive of net borrowings, led to a total of $616 received by the SPE and distributed to the Guarantor Subsidiaries during the period. Condensed Consolidating S tatements of Cash Flows Nine Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Cash flows from operating activities Cash provided by (used for) operating activities $ 2 $ (138 ) $ 1,017 $ — $ 881 Cash flows from investing activities Purchases of property, plant, and equipment — (259 ) (85 ) — (344 ) Intercompany investing activities — 76 (897 ) 821 — Acquisition of business, net — (37 ) — — (37 ) Proceeds from sales of assets and businesses, net — 46 — — 46 Foreign exchange contract settlements, net — 8 — — 8 Cash used for investing activities — (166 ) (982 ) 821 (327 ) Cash flows from financing activities Proceeds from issuance of debt, net 520 — — — 520 Debt repayments (675 ) — — — (675 ) Payments related to extinguishment of debt (29 ) — — — (29 ) Payments of debt issuance costs (12 ) — — — (12 ) Purchases of treasury stock, at cost (520 ) — — — (520 ) Intercompany financing activities 821 — — (821 ) — Proceeds from exercised stock options, net 15 — — — 15 Payments related to tax withholdings on vested stock awards (16 ) — — — (16 ) Payments of dividends (106 ) — — — (106 ) Cash used for financing activities (2 ) — — (821 ) (823 ) Effect of exchange rate changes on cash and cash equivalents — — (12 ) — (12 ) (Decrease) increase in cash and cash equivalents — (304 ) 23 — (281 ) Cash and cash equivalents at January 1, — 761 795 — 1,556 Cash and cash equivalents at September 30, $ — $ 457 $ 818 $ — $ 1,275 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Recent Accounting Pronouncements | Accounting Guidance Issued and Not Yet Adopted Measurement of Credit Losses on Financial Instruments In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments Changes to Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued ASU No. 2018-14, Compensation –Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans Recently Adopted Accounting Guidance Leases In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) The Company adopted ASU No. 2016-02 on January 1, 2019 using the modified retrospective transition method, which did not require the Company to adjust comparative periods. Operating leases are included in operating lease right-of-use assets, other accrued liabilities, and operating lease liabilities on the consolidated balance sheets. Finance leases are included in property, plant, and equipment, net, short-term and current maturities of long-term debt, and long-term debt, net, on the consolidated balance sheets. The Company’s lease assets and lease liabilities are recognized on the lease commencement date in an amount that represents the present value of future lease payments. The Company’s incremental borrowing rate, which is based on information available at the adoption date for existing leases and the commencement date for leases commencing after the adoption date, is used to determine the present value of lease payments. The most significant impact of the Company’s adoption of ASU No. 2016-02 was the recognition of $333 of operating lease right-of-use assets and $349 of operating lease liabilities on its consolidated balance sheets at January 1, 2019. Operating lease right-of-use assets were reduced by $16 due to a tenant improvement allowance on a lease of office space. The Company’s adoption of ASU No. 2016-02 did not have any impact to the Company’s consolidated statements of operations, or its consolidated statements of cash flows. Further, there was no impact on the Company’s covenant compliance under its current debt agreements as a result of the adoption of ASU No. 2016-02. The Company elected the package of practical expedients included in this guidance, which allowed it to not reassess: (i) whether any expired or existing contracts contain leases; (ii) the lease classification for any expired or existing leases; and, (iii) the initial direct costs for existing leases. The Company combines lease components with non-lease components for all classes of assets, except for certain manufacturing facilities. The Company also elected the practical expedient to not assess whether existing or expired land easements contain a lease. The Company does not recognize short-term leases on its consolidated balance sheets, and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. Leases with the options to extend their term or terminate early are reflected in the lease term when it is reasonably certain that the Company will exercise such options. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU No. 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract |
Net Sales (Tables)
Net Sales (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Disaggregation of Net Sales by Geographical Region and Product Group | The following table sets forth a disaggregation of the Company’s net sales by geographic region and product group for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net sales by geographic region (1) North America: Fluoroproducts $ 260 $ 273 $ 851 $ 888 Chemical Solutions 87 87 246 259 Titanium Technologies 178 228 550 700 Total North America 525 588 1,647 1,847 Asia Pacific: Fluoroproducts 173 168 511 505 Chemical Solutions 16 21 47 63 Titanium Technologies 225 251 587 754 Total Asia Pacific 414 440 1,145 1,322 Europe, the Middle East, and Africa: Fluoroproducts 151 188 515 657 Chemical Solutions 6 5 15 14 Titanium Technologies 122 189 358 682 Total Europe, the Middle East, and Africa 279 382 888 1,353 Latin America (2): Fluoroproducts 52 53 157 163 Chemical Solutions 31 42 96 117 Titanium Technologies 89 123 240 372 Total Latin America 172 218 493 652 Total net sales $ 1,390 $ 1,628 $ 4,173 $ 5,174 Net sales by product group Fluorochemicals $ 304 $ 345 $ 1,028 $ 1,183 Fluoropolymers 332 337 1,006 1,030 Mining solutions 70 74 200 212 Performance chemicals and intermediates 70 81 204 241 Titanium dioxide and other minerals 614 791 1,735 2,508 Total net sales $ 1,390 $ 1,628 $ 4,173 $ 5,174 (1) Net sales are attributed to countries based on customer location. (2) Latin America includes Mexico. |
Summary of Contract Balances from Contracts with Customers | The following table sets forth the Company’s contract balances from contracts with customers at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Accounts receivable - trade, net (1) $ 758 $ 790 Customer rebates 66 79 (1) Accounts receivable - trade, net includes trade notes receivable of $2 and is net of allowances for doubtful accounts of |
Restructuring, Asset-Related,_2
Restructuring, Asset-Related, and Other Charges (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring And Related Activities [Abstract] | |
Schedule of Restructuring Program | The following table sets forth the components of the Company’s restructuring, asset-related, and other charges for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Restructuring and other charges: Employee separation charges $ 17 $ 2 $ 15 $ 8 Decommissioning and other charges 5 10 22 24 Total restructuring and other charges 22 12 37 32 Asset-related and other charges 12 — 12 — Total restructuring, asset-related, and other charges $ 34 $ 12 $ 49 $ 32 The following table sets forth the impacts of the Company’s restructuring programs to segment earnings for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Restructuring and other charges: Plant and product line closures: Chemical Solutions $ 12 $ 1 $ 12 $ 4 Corporate and Other 5 4 18 6 Total plant and product line closures 17 5 30 10 2017 Restructuring Program: Fluoroproducts 1 2 2 7 Chemical Solutions — — — 1 Titanium Technologies — — 1 — Corporate and Other — 5 — 14 Total 2017 Restructuring Program 1 7 3 22 2018 Restructuring Program: Corporate and Other (1 ) — (1 ) — Total 2018 Restructuring Program (1 ) — (1 ) — 2019 Restructuring Program: Fluoroproducts 7 — 7 — Chemical Solutions 2 — 2 — Titanium Technologies 5 — 5 — Corporate and Other 3 — 3 — Total 2019 Restructuring Program 17 — 17 — Total restructuring, asset-related, and other charges $ 34 $ 12 $ 49 $ 32 |
Schedule of Restructuring Charges | The following table sets forth the change in the Company’s employee separation-related liabilities associated with its restructuring programs for the nine months ended September 30, 2019. 2015 Global Restructuring Program 2017 Restructuring Program 2018 Restructuring Program 2019 Restructuring Program Total Balance at December 31, 2018 $ 1 $ 10 $ 5 $ — $ 16 Charges (credits) to income (1 ) — (1 ) 17 15 Payments — (9 ) (4 ) — (13 ) Balance at September 30, 2019 $ — $ 1 $ — $ 17 $ 18 |
Other Income, Net (Tables)
Other Income, Net (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Other Income And Expenses [Abstract] | |
Components of Other Income | The following table sets forth the components of the Company’s other income, net for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Leasing, contract services, and miscellaneous income (1) $ 6 $ 24 $ 47 $ 47 Royalty income (2) 6 2 16 9 Gain on sales of assets and businesses (3) 9 — 11 45 Exchange gains (losses), net (4) 5 (6 ) 2 (4 ) Non-operating pension and other post-retirement employee benefit (cost) income (1 ) 4 5 18 Total other income, net $ 25 $ 24 $ 81 $ 115 (1) Leasing, contract services, and miscellaneous income includes European Union fluorinated greenhouse gas quota authorization sales of $2 and $38 for the three and nine months ended September 30, 2019, respectively, and $18 and $38 for the three and nine months ended September 30, 2018, respectively. (2) Royalty income includes technology licensing in the Chemical Solutions segment of $6 and $13 for the three and nine months ended September 30, 2019, respectively, and $3 for the nine months ended September 30, 2018. (3) F or the three and nine months ended September 30, 2019, the Company recognized a non-cash gain of $9 related to the sale of the Company’s Repauno, New Jersey site. For the nine months ended September 30, 2018, gain on sales of assets and businesses included a $42 gain associated with the sale of the Company’s Linden, New Jersey site. (4) Exchange gains (losses), net includes gains and losses on foreign currency forward contracts. |
Earnings Per Share of Common _2
Earnings Per Share of Common Stock (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the reconciliations of the numerators and denominators for the Company’s basic and diluted earnings per share (“EPS”) calculations for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator: Net income attributable to Chemours $ 76 $ 275 $ 265 $ 853 Denominator: Weighted-average number of common shares outstanding - basic 163,815,483 176,489,881 165,254,084 178,765,676 Dilutive effect of the Company’s employee compensation plans 1,325,380 5,387,244 2,780,874 5,891,072 Weighted-average number of common shares outstanding - diluted 165,140,863 181,877,125 168,034,958 184,656,748 Basic earnings per share of common stock $ 0.46 $ 1.56 $ 1.60 $ 4.77 Diluted earnings per share of common stock 0.46 1.51 1.58 4.62 |
Schedule of Anti-dilutive Securities Excluded from Computation of Earnings Per Share | The following table sets forth the average number of stock options that were anti-dilutive and, therefore, were not included in the Company’s diluted EPS calculations for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Average number of stock options 3,195,601 480,123 1,893,011 160,041 |
Accounts and Notes Receivable_2
Accounts and Notes Receivable, Net (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The following table sets forth the components of the Company’s accounts and notes receivable, net at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Accounts receivable - trade, net (1) $ 758 $ 790 VAT, GST, and other taxes (2) 57 56 Other receivables (3) 17 15 Total accounts and notes receivable, net $ 832 $ 861 (1) Accounts receivable - trade, net includes trade notes receivable of $2 and is net of allowances for doubtful accounts of $5 at September 30, 2019 and December 31, 2018. Such allowances are equal to the estimated uncollectible amounts. (2) Value added tax (“VAT”) and goods and services tax (“GST”) for various jurisdictions. (3) Other receivables consist of derivative instruments, advances, and other deposits. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Net [Abstract] | |
Schedule of Inventories | The following table sets forth the components of the Company’s inventories at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Finished products $ 664 $ 701 Semi-finished products 201 195 Raw materials, stores, and supplies 596 476 Inventories before LIFO adjustment 1,461 1,372 Less: Adjustment of inventories to LIFO basis (238 ) (225 ) Total inventories $ 1,223 $ 1,147 |
Property, Plant, and Equipmen_2
Property, Plant, and Equipment, Net (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Property Plant And Equipment [Abstract] | |
Summary of Property, Plant, and Equipment, Net | The following table sets forth the components of the Company’s property, plant, and equipment, net at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Equipment $ 7,474 $ 7,344 Buildings 915 914 Construction-in-progress 735 579 Land 115 119 Mineral rights 35 36 Property, plant, and equipment 9,274 8,992 Less: Accumulated depreciation (5,754 ) (5,701 ) Total property, plant, and equipment, net $ 3,520 $ 3,291 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Schedule of Lease Assets and Lease Liabilities and their Balance Sheet Location | The following table sets forth the Company’s lease assets and lease liabilities and their balance sheet location at September 30, 2019. Balance Sheet Location September 30, 2019 Lease assets: Operating lease right-of-use assets Operating lease right-of-use assets $ 307 Finance lease assets Property, plant, and equipment, net (Note 11) 59 Total lease assets $ 366 Lease liabilities: Current: Operating lease liabilities Other accrued liabilities (Note 16) $ 73 Finance lease liabilities Short-term and current maturities of long-term debt (Note 17) 5 Total current lease liabilities 78 Non-current: Operating lease liabilities Operating lease liabilities 254 Finance lease liabilities Long-term debt, net (Note 17) 54 Total non-current lease liabilities 308 Total lease liabilities $ 386 |
Schedule of Components of Company's Lease Cost | The following table sets forth the components of the Company’s lease cost for the three and nine months ended September 30, 2019. Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Operating lease cost $ 25 $ 74 Short-term lease cost 1 3 Variable lease cost 4 12 Finance lease cost: Amortization of lease assets 2 3 Interest on lease liabilities 1 1 Total lease cost $ 33 $ 93 |
Schedule of Cash Flows Related to Company's Leases | The following table sets forth the cash flows related to the Company’s leases for the nine months ended September 30, 2019. Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 74 Operating cash flows from finance leases 1 Financing cash flows from finance leases 2 Non-cash lease liabilities activity: Leased assets obtained in exchange for new operating lease liabilities $ 42 Leased assets obtained in exchange for new finance lease liabilities 62 |
Schedule of Weighted-Average Term and Weighted-Average Discount Rate For Company's Leases | The following table sets forth the weighted-average term and weighted-average discount rate for the Company’s leases at September 30, 2019. September 30, 2019 Weighted-average remaining lease term (years): Operating leases 8.4 Finance leases 9.4 Weighted-average discount rate: Operating leases 5.10 % Finance leases 5.90 % |
Schedule of Company's Lease Liabilities' Maturities for Next Five Years and Thereafter | The following table sets forth the Company’s lease liabilities’ maturities for the next five years and thereafter. As of September 30, 2019 Operating Leases Finance Leases Total Remainder of 2019 $ 26 $ 2 $ 28 2020 80 9 89 2021 67 8 75 2022 49 8 57 2023 32 8 40 Thereafter 144 42 186 Total lease payments 398 77 475 Less: Imputed interest 71 18 89 Present value of lease liabilities $ 327 $ 59 $ 386 |
Schedule of Company's Lease Liabilities' Maturities for Next Five Years and Thereafter under Previous Lease Accounting Standard | The following table sets forth the Company’s lease liabilities’ maturities for the next five years and thereafter under the previous lease accounting standard. As of December 31, 2018 Operating Leases Finance Leases Total 2019 $ 92 $ — $ 92 2020 70 2 72 2021 59 — 59 2022 42 — 42 2023 27 — 27 Thereafter 134 — 134 Total lease payments $ 424 $ 2 $ 426 |
Other Assets (Tables)
Other Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | The following table sets forth the components of the Company’s other assets at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Capitalized repair and maintenance costs $ 156 $ 178 Pension assets (1) 193 174 Deferred income taxes 43 46 Miscellaneous 50 39 Total other assets $ 442 $ 437 (1) Pension assets represent the funded status of certain of the Company's long-term employee benefit plans. |
Accounts Payable (Tables)
Accounts Payable (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Payables And Accruals [Abstract] | |
Schedule of Accounts Payable | The following table sets forth the components of the Company’s accounts payable at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Trade payables $ 929 $ 1,111 VAT and other payables 19 26 Total accounts payable $ 948 $ 1,137 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Payables And Accruals [Abstract] | |
Schedule of Other Accrued Liabilities | The following table sets forth the components of the Company’s other accrued liabilities at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Compensation and other employee-related costs $ 61 $ 108 Employee separation costs (1) 18 16 Accrued litigation (2) 27 76 Environmental remediation (2) 74 74 Income taxes 62 87 Customer rebates 66 79 Deferred income 8 6 Accrued interest 61 21 Operating lease liabilities (3) 73 — Miscellaneous (4) 96 92 Total other accrued liabilities $ 546 $ 559 (1) Represents the current portion of accrued employee separation costs related to the Company’s restructuring activities. (2) Represents the current portions of accrued litigation and environmental remediation, which are discussed further in “Note 19 – Commitments and Contingent Liabilities.” (3) Represents the current portion of the Company’s operating lease liabilities, which is discussed further in “Note 2 – Recent Accounting Pronouncements” and “Note 12 – Leases.” (4) Miscellaneous primarily includes accrued utility expenses, property taxes, an accrued indemnification liability, the current portion of the Company’s asset retirement obligations, and other miscellaneous expenses. |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Components of Debt | The following table sets forth the components of the Company’s debt at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Senior secured term loans: Tranche B-2 U.S. dollar term loan due May 2025 $ 887 $ 893 Tranche B-2 euro term loan due May 2025 (€345 at September 30, 2019 and €347 at December 31, 2018) 377 396 Senior unsecured notes: 6.625% due May 2023 908 908 7.000% due May 2025 750 750 4.000% due May 2026 (€450 at September 30, 2019 and December 31, 2018) 493 513 5.375% due May 2027 500 500 Securitization Facility 122 — Finance lease liabilities 59 2 Build-to-suit lease obligation 90 55 Other 9 — Total debt 4,195 4,017 Less: Unamortized issue discounts (9 ) (10 ) Less: Unamortized debt issuance costs (30 ) (35 ) Less: Short-term and current maturities of long-term debt (149 ) (13 ) Total long-term debt, net $ 4,007 $ 3,959 |
Schedule of Contractual Debt Principal Maturities | The following table sets forth the Company’s contractual debt principal maturities for the next five years and thereafter. Year Ended December 31, Remainder of 2019 $ 3 2020 135 2021 13 2022 13 2023 921 Thereafter 2,952 Total principal maturities on debt $ 4,037 |
Estimated Fair Values of Senior Debt Issues | The following table sets forth the estimated fair values of the Company’s senior debt issues, which are based on quotes received from third-party brokers, and are classified as Level 2 financial instruments in the fair value hierarchy. The carrying value of the Securitization Facility and financed insurance premiums approximate their fair value based on their short-term nature and maturity. September 30, 2019 December 31, 2018 Carrying Value Fair Value Carrying Value Fair Value Senior secured term loans: Tranche B-2 U.S. dollar term loan due May 2025 $ 887 $ 855 $ 893 $ 862 Tranche B-2 euro term loan due May 2025 (€345 at September 30, 2019 and €347 December 31, 2018) 377 371 396 394 Senior unsecured notes: 6.625% due May 2023 908 900 908 918 7.000% due May 2025 750 714 750 761 4.000% due May 2026 (€450 at September 30, 2019 and December 31, 2018) 493 452 513 487 5.375% due May 2027 500 433 500 454 Securitization Facility 122 122 — — Other 9 9 — — Total senior debt 4,046 $ 3,856 3,960 $ 3,876 Less: Unamortized issue discounts (9 ) (10 ) Less: Unamortized debt issuance costs (30 ) (35 ) Total senior debt, net $ 4,007 $ 3,915 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Liabilities | The following table sets forth the components of the Company’s other liabilities at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Environmental remediation (1) $ 165 $ 152 Employee-related costs (2) 111 130 Accrued litigation (1) 90 53 Asset retirement obligations 55 51 Deferred revenue 5 7 Miscellaneous (3) 75 64 Total other liabilities $ 501 $ 457 (1) The Company’s accrued environmental remediation and accrued litigation liabilities are discussed further in “Note 19 – Commitments and Contingent Liabilities.” (2) Employee-related costs primarily represent liabilities associated with the Company’s long-term employee benefits plans. (3) Miscellaneous primarily includes an accrued indemnification liability of |
Commitments and Contingent Li_2
Commitments and Contingent Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Components of Accrued Litigation | The following table sets forth the components of the Company’s accrued litigation at September 30, 2019 and December 31, 2018. September 30, 2019 December 31, 2018 Asbestos $ 37 $ 37 Perfluorooctanoic acids and its salts, including the ammonium salt 21 22 GenX and other perfluorinated and polyfluorinated compounds (1) 54 65 All other matters (2) 5 5 Total accrued litigation $ 117 $ 129 (1) Total accruals related to this matter amounted to $83 and $75 at September 30, 2019 and December 31, 2018, respectively. These amounts included $29 and $10, which are reflected as a component of the Company’s environmental remediation liabilities at September 30, 2019 and December 31, 2018, respectively. (2) Includes liabilities related to miscellaneous litigation matters, including Benzene. The Company had accruals related to Benzene of less than $1 at September 30, 2019. The Company had no accruals related to Benzene at December 31, 2018. |
Schedule of Current and Long-term Components of Accrued Litigation and Balance Sheet Locations | The following table sets forth the current and long-term components of the Company’s accrued litigation and their balance sheet locations at September 30, 2019 and December 31, 2018. Balance Sheet Location September 30, 2019 December 31, 2018 Accrued Litigation: Current accrued litigation Other accrued liabilities (Note 16) $ 27 $ 76 Long-term accrued litigation Other liabilities (Note 18) 90 53 Total accrued litigation $ 117 $ 129 |
Schedule of Components of Environmental Remediation Liabilities | The following table sets forth the components of the Company’s environmental remediation liabilities at September 30, 2019 and December 31, 2018, and illustrates the five sites that are deemed the most significant by management. September 30, 2019 December 31, 2018 Chambers Works, Deepwater, New Jersey $ 20 $ 18 East Chicago, Indiana 18 21 Fayetteville Works, Fayetteville, North Carolina (1) 29 10 Pompton Lakes, New Jersey 43 45 USS Lead, East Chicago, Indiana 14 15 All other sites 115 117 Total accrued environmental remediation $ 239 $ 226 (1) Total accruals related to this matter amounted to $83 and $75 at September 30, 2019 and December 31, 2018, respectively. These amounts included $54 and $65, which are reflected as a component of the Company’s accrued litigation at September 30, 2019 and December 31, 2018, respectively. |
Schedule of Current and Long-term Components of Environmental Remediation Accrual and Balance Sheet Locations | The following table sets forth the current and long-term components of the Company’s environmental remediation liabilities and their balance sheet locations at September 30, 2019 and December 31, 2018. Balance Sheet Location September 30, 2019 December 31, 2018 Environmental Remediation: Current environmental remediation Other accrued liabilities (Note 16) $ 74 $ 74 Long-term environmental remediation Other liabilities (Note 18) 165 152 Total environmental remediation $ 239 $ 226 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Stock Options Weighted Average Assumptions | The following table sets forth the assumptions used at grant date to determine the fair value of the Company’s stock option awards that were granted during the nine months ended September 30, 2019. Nine Months Ended September 30, 2019 Risk-free interest rate 2.53 % Expected term (years) 6.05 Volatility 48.05 % Dividend yield 2.81 % Fair value per stock option $ 13.66 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Assets and Liabilities At Fair Value | The following table sets forth the fair value of the Company’s derivative assets and liabilities at September 30, 2019 and December 31, 2018. Fair Value Using Level 2 Inputs Balance Sheet Location September 30, 2019 December 31, 2018 Asset derivatives: Foreign currency forward contracts not designated as a hedging instrument Accounts and notes receivable, net (Note 9) $ 1 $ 1 Foreign currency forward contracts designated as a cash flow hedge Accounts and notes receivable, net (Note 9) 4 3 Total asset derivatives $ 5 $ 4 Liability derivatives: Foreign currency forward contracts not designated as a hedging instrument Other accrued liabilities (Note 16) $ 1 $ 1 Total liability derivatives $ 1 $ 1 |
Schedule of Pre-tax Charge the Fair Value of Derivative Assets and Liabilities | The following table sets forth the pre-tax changes in fair value of the Company’s derivative assets and liabilities for the three and nine months ended September 30, 2019 and 2018. Gain (Loss) Recognized In Other Comprehensive Three months ended September 30, Cost of Goods Sold Other Income, Net Income 2019 Foreign currency forward contracts not designated as a hedging instrument $ — $ 1 $ — Foreign currency forward contracts designated as a cash flow hedge 2 — 5 Euro-denominated debt designated as a net investment hedge — — 33 2018 Foreign currency forward contracts not designated as a hedging instrument $ — $ 14 $ — Foreign currency forward contracts designated as a cash flow hedge 1 — (2 ) Euro-denominated debt designated as a net investment hedge — — (11 ) Gain (Loss) Recognized In Other Comprehensive Nine months ended September 30, Cost of Goods Sold Other Income, Net Income 2019 Foreign currency forward contracts not designated as a hedging instrument $ — $ — $ — Foreign currency forward contracts designated as a cash flow hedge 8 — 7 Euro-denominated debt designated as a net investment hedge — — 36 2018 Foreign currency forward contracts not designated as a hedging instrument $ — $ 8 $ — Foreign currency forward contracts designated as a cash flow hedge 1 — 5 Euro-denominated debt designated as a net investment hedge — — 2 |
Long-term Employee Benefits (Ta
Long-term Employee Benefits (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
General Discussion Of Pension And Other Postretirement Benefits [Abstract] | |
Schedules of Net Periodic Pension (Cost) Income | The following table sets forth the Company’s net periodic pension (cost) income and amounts recognized in other comprehensive income for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Service cost $ (3 ) $ (4 ) $ (9 ) $ (11 ) Interest cost (4 ) (4 ) (13 ) (13 ) Expected return on plan assets 12 14 38 43 Amortization of actuarial loss (6 ) (4 ) (18 ) (12 ) Amortization of prior service gain 1 — 2 2 Settlement loss (3 ) (2 ) (4 ) (2 ) Total net periodic pension (cost) income $ (3 ) $ — $ (4 ) $ 7 Net loss $ — $ — $ (3 ) $ — Prior service benefit — — 5 — Amortization of prior service gain (1 ) — (2 ) (1 ) Amortization of actuarial loss 6 4 18 11 Settlement loss 3 2 4 2 Effect of foreign exchange rates 9 (2 ) 10 3 Benefit recognized in other comprehensive income 17 4 32 15 Total changes in plan assets and benefit obligations recognized in other comprehensive income $ 14 $ 4 $ 28 $ 22 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Information | The following table sets forth certain summary financial information for the Company’s reportable segments for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Fluoroproducts Chemical Solutions Titanium Technologies Segment Total 2019 Net sales to external customers $ 636 $ 140 $ 614 $ 1,390 Adjusted EBITDA 122 23 137 282 Depreciation and amortization 34 5 30 69 2018 Net sales to external customers $ 682 $ 155 $ 791 $ 1,628 Adjusted EBITDA 182 24 268 474 Depreciation and amortization 28 5 30 63 Nine Months Ended September 30, Fluoroproducts Chemical Solutions Titanium Technologies Segment Total 2019 Net sales to external customers $ 2,034 $ 404 $ 1,735 $ 4,173 Adjusted EBITDA 461 55 390 906 Depreciation and amortization 100 18 90 208 2018 Net sales to external customers $ 2,213 $ 453 $ 2,508 $ 5,174 Adjusted EBITDA 619 50 856 1,525 Depreciation and amortization 87 15 90 192 |
Reconciliation of Segment Adjusted EBITDA from Segments to Consolidated Net Income Loss Before Income Taxes | The following table sets forth a reconciliation of segment Adjusted EBITDA to the Company’s consolidated net income before income taxes for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Segment Adjusted EBITDA $ 282 $ 474 $ 906 $ 1,525 Corporate and Other Adjusted EBITDA (34 ) (39 ) (113 ) (126 ) Interest expense, net (53 ) (47 ) (156 ) (148 ) Depreciation and amortization (78 ) (71 ) (232 ) (213 ) Non-operating pension and other post-retirement employee benefit (cost) income (1 ) 4 5 18 Exchange gains (losses), net 5 (6 ) 2 (4 ) Restructuring, asset-related, and other charges (1) (34 ) (12 ) (49 ) (32 ) Loss on extinguishment of debt — — — (38 ) Gain on sales of assets and businesses (2) 9 — 11 45 Transaction costs — — (1 ) (9 ) Legal charges (3) (5 ) (34 ) (43 ) (45 ) Income before income taxes $ 91 $ 269 $ 330 $ 973 (1) Includes restructuring, asset-related, and other charges, which are discussed in further detail in “Note 5 – Restructuring, Asset-related, and Other Charges.” (2) For the three and nine months ended September 30, 2019, the Company recognized a non-cash gain of $9 (3) Includes litigation settlements, PFOA drinking water treatment accruals, and other legal charges. For the three and nine months ended September 30, 2019, legal charges included $2 and $36 in additional charges for the approved final Consent Order associated with certain matters at the Company’s Fayetteville, North Carolina facility, which are discussed in further detail in “Note 19 – Commitments and Contingent Liabilities.” |
Guarantor Condensed Consolida_2
Guarantor Condensed Consolidating Financial Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Condensed Consolidating Statements of Comprehensive Income | Condensed Consolidating Statements of Comprehensive Income Three Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 810 $ 910 $ (330 ) $ 1,390 Cost of goods sold — 739 693 (336 ) 1,096 Gross profit — 71 217 6 294 Selling, general, and administrative expense 4 96 34 (4 ) 130 Research and development expense — 18 2 — 20 Restructuring, asset-related, and other charges — 22 12 — 34 Total other operating expenses 4 136 48 (4 ) 184 Equity in earnings of affiliates — — 9 — 9 Equity in earnings (loss) of subsidiaries 106 (1 ) — (105 ) — Interest expense, net (52 ) — (1 ) — (53 ) Intercompany interest income (expense), net 11 4 (15 ) — — Other income (expense), net 6 40 (17 ) (4 ) 25 Income before income taxes 67 (22 ) 145 (99 ) 91 (Benefit from) provision for income taxes (9 ) (6 ) 30 — 15 Net income (loss) 76 (16 ) 115 (99 ) 76 Net income (loss) attributable to Chemours $ 76 $ (16 ) $ 115 $ (99 ) $ 76 Comprehensive income attributable to Chemours $ 51 $ (16 ) $ 65 $ (49 ) $ 51 Nine Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 2,544 $ 2,718 $ (1,089 ) $ 4,173 Cost of goods sold — 2,215 2,138 (1,093 ) 3,260 Gross profit — 329 580 4 913 Selling, general, and administrative expense 19 314 108 (18 ) 423 Research and development expense — 56 5 — 61 Restructuring, asset-related, and other charges — 37 12 — 49 Total other operating expenses 19 407 125 (18 ) 533 Equity in earnings of affiliates — — 25 — 25 Equity in earnings (loss) of subsidiaries 364 (3 ) — (361 ) — Interest (expense) income, net (159 ) 1 2 — (156 ) Intercompany interest income (expense), net 28 13 (41 ) — — Other income (expense), net 20 108 (29 ) (18 ) 81 Income before income taxes 234 41 412 (357 ) 330 (Benefit from) provision for income taxes (31 ) 7 89 — 65 Net income 265 34 323 (357 ) 265 Net income attributable to Chemours $ 265 $ 34 $ 323 $ (357 ) $ 265 Comprehensive income attributable to Chemours $ 273 $ 34 $ 304 $ (338 ) $ 273 Condensed Consolidating Statement s of Comprehensive Income Three Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 987 $ 1,103 $ (462 ) $ 1,628 Cost of goods sold — 769 834 (452 ) 1,151 Gross profit — 218 269 (10 ) 477 Selling, general, and administrative expense 5 122 40 (4 ) 163 Research and development expense — 18 2 — 20 Restructuring, asset-related, and other charges — 12 — — 12 Total other operating expenses 5 152 42 (4 ) 195 Equity in earnings of affiliates — — 10 — 10 Equity in earnings (loss) of subsidiaries 308 (1 ) — (307 ) — Interest (expense) income, net (51 ) 1 3 — (47 ) Intercompany interest income (expense), net 13 3 (16 ) — — Loss on extinguishment of debt — — — — — Other income (expense), net 2 52 (26 ) (4 ) 24 Income before income taxes 267 121 198 (317 ) 269 (Benefit from) provision for income taxes (8 ) (31 ) 33 — (6 ) Net income 275 152 165 (317 ) 275 Less: Net income attributable to non-controlling interests — — — — — Net income attributable to Chemours $ 275 $ 152 $ 165 $ (317 ) $ 275 Comprehensive income attributable to Chemours $ 304 $ 152 $ 202 $ (354 ) $ 304 Nine Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Net sales $ — $ 3,071 $ 3,493 $ (1,390 ) $ 5,174 Cost of goods sold — 2,403 2,590 (1,390 ) 3,603 Gross profit — 668 903 — 1,571 Selling, general, and administrative expense 28 339 119 (20 ) 466 Research and development expense — 56 5 — 61 Restructuring, asset-related, and other charges — 31 1 — 32 Total other operating expenses 28 426 125 (20 ) 559 Equity in earnings of affiliates — — 32 — 32 Equity in earnings of subsidiaries 983 2 — (985 ) — Interest (expense) income, net (159 ) 2 9 — (148 ) Intercompany interest income (expense), net 35 6 (41 ) — — Loss on extinguishment of debt (38 ) — — — (38 ) Other income (expense), net 22 146 (33 ) (20 ) 115 Income before income taxes 815 398 745 (985 ) 973 (Benefit from) provision for income taxes (39 ) 31 127 — 119 Net income 854 367 618 (985 ) 854 Less: Net income attributable to non-controlling interests — — 1 — 1 Net income attributable to Chemours $ 854 $ 367 $ 617 $ (985 ) $ 853 Comprehensive income attributable to Chemours $ 855 $ 367 $ 618 $ (985 ) $ 855 |
Condensed Consolidating Balance Sheets | Condensed Consolidating Balance Sheets September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Assets Current assets: Cash and cash equivalents $ — $ 143 $ 551 $ — $ 694 Accounts and notes receivable, net — 70 762 — 832 Intercompany receivables 19 1,028 375 (1,422 ) — Inventories — 660 646 (83 ) 1,223 Prepaid expenses and other — 57 17 4 78 Total current assets 19 1,958 2,351 (1,501 ) 2,827 Property, plant, and equipment — 7,074 2,200 — 9,274 Less: Accumulated depreciation — (4,632 ) (1,122 ) — (5,754 ) Property, plant, and equipment, net — 2,442 1,078 — 3,520 Operating lease right-of-use assets — 284 23 — 307 Goodwill and other intangible assets, net — 162 14 — 176 Investments in affiliates — — 184 — 184 Investments in subsidiaries 4,339 149 — (4,488 ) — Intercompany notes receivable 1,250 — — (1,250 ) — Other assets 7 151 283 1 442 Total assets $ 5,615 $ 5,146 $ 3,933 $ (7,238 ) $ 7,456 Liabilities Current liabilities: Accounts payable $ — $ 598 $ 350 $ — $ 948 Short-term and current maturities of long-term debt 13 10 126 — 149 Intercompany payables 841 205 376 (1,422 ) — Other accrued liabilities 61 307 179 (1 ) 546 Total current liabilities 915 1,120 1,031 (1,423 ) 1,643 Long-term debt, net 3,862 92 53 — 4,007 Operating lease liabilities — 240 14 — 254 Intercompany notes payable — — 1,250 (1,250 ) — Deferred income taxes 1 119 88 — 208 Other liabilities — 421 80 — 501 Total liabilities 4,778 1,992 2,516 (2,673 ) 6,613 Commitments and contingent liabilities Equity Total Chemours stockholders’ equity 837 3,154 1,411 (4,565 ) 837 Non-controlling interests — — 6 — 6 Total equity 837 3,154 1,417 (4,565 ) 843 Total liabilities and equity $ 5,615 $ 5,146 $ 3,933 $ (7,238 ) $ 7,456 Condensed Consolidating Balance Sheets December 31, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Assets Current assets: Cash and cash equivalents $ — $ 239 $ 962 $ — $ 1,201 Accounts and notes receivable, net — 297 564 — 861 Intercompany receivables 2 1,057 91 (1,150 ) — Inventories — 483 749 (85 ) 1,147 Prepaid expenses and other — 58 26 — 84 Total current assets 2 2,134 2,392 (1,235 ) 3,293 Property, plant, and equipment — 6,870 2,122 — 8,992 Less: Accumulated depreciation — (4,591 ) (1,110 ) — (5,701 ) Property, plant, and equipment, net — 2,279 1,012 — 3,291 Goodwill and other intangible assets, net — 167 14 — 181 Investments in affiliates — — 160 — 160 Investments in subsidiaries 4,487 11 — (4,498 ) — Intercompany notes receivable 1,150 — — (1,150 ) — Other assets 17 154 274 (8 ) 437 Total assets $ 5,656 $ 4,745 $ 3,852 $ (6,891 ) $ 7,362 Liabilities Current liabilities: Accounts payable $ — $ 637 $ 500 $ — $ 1,137 Current maturities of long-term debt 13 — — — 13 Intercompany payables 698 92 360 (1,150 ) — Other accrued liabilities 21 341 198 (1 ) 559 Total current liabilities 732 1,070 1,058 (1,151 ) 1,709 Long-term debt, net 3,902 57 — — 3,959 Intercompany notes payable — — 1,150 (1,150 ) — Deferred income taxes 8 143 82 (16 ) 217 Other liabilities — 372 85 — 457 Total liabilities 4,642 1,642 2,375 (2,317 ) 6,342 Commitments and contingent liabilities Equity Total Chemours stockholders’ equity 1,014 3,103 1,471 (4,574 ) 1,014 Non-controlling interests — — 6 — 6 Total equity 1,014 3,103 1,477 (4,574 ) 1,020 Total liabilities and equity $ 5,656 $ 4,745 $ 3,852 $ (6,891 ) $ 7,362 |
Condensed Consolidating Statements of Cash Flows | Condensed Consolidating Statements of Cash Flows Nine Months Ended September 30, 2019 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Cash flows from operating activities Cash provided by (used for) operating activities (1) $ 163 $ (419 ) $ 745 $ (239 ) $ 250 Cash flows from investing activities Purchases of property, plant, and equipment — (324 ) (61 ) — (385 ) Intercompany investing activities — 37 (344 ) 307 — Acquisition of business, net — (10 ) — — (10 ) Proceeds from sales of assets and businesses, net — 5 2 — 7 Proceeds from life insurance policies — 1 — — 1 Cash used for investing activities — (291 ) (403 ) 307 (387 ) Cash flows from financing activities Proceeds from revolving loan 150 — — — 150 Repayments on revolving loan (150 ) — — — (150 ) Proceeds from accounts receivable securitization facility — — 125 125 Debt repayments (10 ) (2 ) (3 ) — (15 ) Payments on finance leases — — (2 ) — (2 ) Purchases of treasury stock, at cost (322 ) — — — (322 ) Intercompany financing activities (1) 315 616 (863 ) (68 ) — Proceeds from exercised stock options, net 8 — — — 8 Payments related to tax withholdings on vested stock awards (30 ) — — — (30 ) Payments of dividends (124 ) — — — (124 ) Cash (used for) provided by financing activities (163 ) 614 (743 ) (68 ) (360 ) Effect of exchange rate changes on cash and cash equivalents — — (10 ) — (10 ) Decrease in cash and cash equivalents — (96 ) (411 ) — (507 ) Cash and cash equivalents at January 1, — 239 962 — 1,201 Cash and cash equivalents at September 30, $ — $ 143 $ 551 $ — $ 694 (1) During the nine months ended September 30, 2019, the Company received $494 in collections on its accounts receivable sold into the SPE under the Securitization Facility, which, inclusive of net borrowings, led to a total of $616 received by the SPE and distributed to the Guarantor Subsidiaries during the period. Condensed Consolidating S tatements of Cash Flows Nine Months Ended September 30, 2018 Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations and Adjustments Consolidated Cash flows from operating activities Cash provided by (used for) operating activities $ 2 $ (138 ) $ 1,017 $ — $ 881 Cash flows from investing activities Purchases of property, plant, and equipment — (259 ) (85 ) — (344 ) Intercompany investing activities — 76 (897 ) 821 — Acquisition of business, net — (37 ) — — (37 ) Proceeds from sales of assets and businesses, net — 46 — — 46 Foreign exchange contract settlements, net — 8 — — 8 Cash used for investing activities — (166 ) (982 ) 821 (327 ) Cash flows from financing activities Proceeds from issuance of debt, net 520 — — — 520 Debt repayments (675 ) — — — (675 ) Payments related to extinguishment of debt (29 ) — — — (29 ) Payments of debt issuance costs (12 ) — — — (12 ) Purchases of treasury stock, at cost (520 ) — — — (520 ) Intercompany financing activities 821 — — (821 ) — Proceeds from exercised stock options, net 15 — — — 15 Payments related to tax withholdings on vested stock awards (16 ) — — — (16 ) Payments of dividends (106 ) — — — (106 ) Cash used for financing activities (2 ) — — (821 ) (823 ) Effect of exchange rate changes on cash and cash equivalents — — (12 ) — (12 ) (Decrease) increase in cash and cash equivalents — (304 ) 23 — (281 ) Cash and cash equivalents at January 1, — 761 795 — 1,556 Cash and cash equivalents at September 30, $ — $ 457 $ 818 $ — $ 1,275 |
Background, Description of th_2
Background, Description of the Business, and Basis of Presentation - Narrative (Details) | 9 Months Ended |
Sep. 30, 2019segment | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Number of reportable segments | 3 |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Jan. 01, 2019 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Operating lease right-of-use assets | $ 307 | |
Operating lease liabilities | 327 | |
ASU 2016-02 [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Operating lease right-of-use assets | $ 333 | |
Operating lease liabilities | $ 349 | |
ASU 2016-02 [Member] | Office Space [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Operating lease right-of-use assets | $ (16) |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Narrative (Details) | Aug. 01, 2019USD ($) | Mar. 31, 2018USD ($) | Mar. 31, 2016a | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) |
Business Acquisition [Line Items] | |||||||
Recognized gain on sale of land | $ 42,000,000 | $ 11,000,000 | $ 45,000,000 | ||||
Net cash proceeds of transaction | 39,000,000 | 7,000,000 | 46,000,000 | ||||
Environmental remediation activities amount | $ 3,000,000 | $ 10,000,000 | $ 8,000,000 | 42,000,000 | $ 32,000,000 | ||
Linden, New Jersey [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Number of acre of land for sale | a | 210 | ||||||
Southern Ionics Minerals, LLC [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Estimated total consideration | $ 25,000,000 | ||||||
Upfront payment | 10,000,000 | ||||||
Installment payment | 10,000,000 | ||||||
Contingent considerations with estimated fair value | 5,000,000 | ||||||
Goodwill | $ 0 | ||||||
Southern Ionics Minerals, LLC [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition-related expenses | $ 1,000,000 | $ 1,000,000 |
Net Sales - Summary of Disaggre
Net Sales - Summary of Disaggregation of Net Sales by Geographical Region and Product Group (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | $ 1,390 | $ 1,628 | $ 4,173 | $ 5,174 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 1,390 | 1,628 | 4,173 | 5,174 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Fluorochemicals [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 304 | 345 | 1,028 | 1,183 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Fluoropolymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 332 | 337 | 1,006 | 1,030 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Mining Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 70 | 74 | 200 | 212 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Performance Chemicals and Intermediates [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 70 | 81 | 204 | 241 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Titanium Dioxide and Other Minerals [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 614 | 791 | 1,735 | 2,508 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | North America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 525 | 588 | 1,647 | 1,847 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | North America [Member] | Fluoroproducts [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 260 | 273 | 851 | 888 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | North America [Member] | Chemical Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 87 | 87 | 246 | 259 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | North America [Member] | Titanium Technologies [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 178 | 228 | 550 | 700 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Asia Pacific [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 414 | 440 | 1,145 | 1,322 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Asia Pacific [Member] | Fluoroproducts [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 173 | 168 | 511 | 505 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Asia Pacific [Member] | Chemical Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 16 | 21 | 47 | 63 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Asia Pacific [Member] | Titanium Technologies [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 225 | 251 | 587 | 754 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Europe, the Middle East, and Africa [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 279 | 382 | 888 | 1,353 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Europe, the Middle East, and Africa [Member] | Fluoroproducts [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 151 | 188 | 515 | 657 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Europe, the Middle East, and Africa [Member] | Chemical Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 6 | 5 | 15 | 14 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Europe, the Middle East, and Africa [Member] | Titanium Technologies [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 122 | 189 | 358 | 682 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Latin America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 172 | 218 | 493 | 652 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Latin America [Member] | Fluoroproducts [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 52 | 53 | 157 | 163 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Latin America [Member] | Chemical Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | 31 | 42 | 96 | 117 |
Topic 606 [Member] | Transferred at a Point in Time [Member] | Latin America [Member] | Titanium Technologies [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of Net Sales | $ 89 | $ 123 | $ 240 | $ 372 |
Net Sales - Summary of Contract
Net Sales - Summary of Contract Balances from Contracts with Customers (Details) - Topic 606 [Member] - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Disaggregation Of Revenue [Line Items] | ||
Accounts receivable - trade, net | $ 758 | $ 790 |
Customer rebates | $ 66 | $ 79 |
Net Sales - Summary of Contra_2
Net Sales - Summary of Contract Balances from Contracts with Customers (Parenthetical) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Disaggregation Of Revenue [Line Items] | ||
Trade notes receivable | $ 17 | $ 15 |
Allowance for doubtful accounts | 5 | 5 |
Topic 606 [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Trade notes receivable | 2 | 2 |
Allowance for doubtful accounts | $ 5 | $ 5 |
Net Sales - Narrative (Details)
Net Sales - Narrative (Details) - Topic 606 [Member] - USD ($) | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Disaggregation Of Revenue [Line Items] | ||
Contract asset balances | $ 0 | $ 0 |
Capitalized costs | 0 | $ 0 |
Remaining performance obligations | $ 100,000,000 | |
Revenue, practical expedient, financing component | true |
Net Sales - Narrative (Details1
Net Sales - Narrative (Details1) - Topic 606 [Member] | Sep. 30, 2019 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-01-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Percentage of remaining performance obligations as revenue | 20.00% |
Remaining performance obligations original expected period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Percentage of remaining performance obligations as revenue | 60.00% |
Remaining performance obligations original expected period | 1 year |
Restructuring, Asset-Related,_3
Restructuring, Asset-Related, and Other Charges - Schedule of Restructuring Program (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restructuring And Related Activities [Abstract] | ||||
Employee separation charges | $ 17 | $ 2 | $ 15 | $ 8 |
Decommissioning and other charges | 5 | 10 | 22 | 24 |
Total restructuring and other charges | 22 | 12 | 37 | 32 |
Asset-related and other charges | 12 | 0 | 12 | 0 |
Total restructuring, asset-related, and other charges | $ 34 | $ 12 | $ 49 | $ 32 |
Restructuring, Asset-Related,_4
Restructuring, Asset-Related, and Other Charges - Schedule of Restructuring Programs to Segment (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | $ 22 | $ 12 | $ 37 | $ 32 |
Restructuring, asset-related, and other charges | 34 | 12 | 49 | 32 |
2017 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 1 | 7 | 3 | 22 |
Restructuring, asset-related, and other charges | 1 | 7 | 3 | 22 |
2018 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | (1) | 0 | (1) | 0 |
2019 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 17 | 0 | 17 | 0 |
Plant and Product Line Closures [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 17 | 5 | 30 | 10 |
Operating Segments [Member] | Chemical Solutions [Member] | 2017 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 0 | 0 | 0 | 1 |
Operating Segments [Member] | Chemical Solutions [Member] | 2019 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 2 | 0 | 2 | 0 |
Operating Segments [Member] | Chemical Solutions [Member] | Plant and Product Line Closures [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 12 | 1 | 12 | 4 |
Operating Segments [Member] | Fluoroproducts [Member] | 2017 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 1 | 2 | 2 | 7 |
Operating Segments [Member] | Fluoroproducts [Member] | 2019 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 7 | 0 | 7 | 0 |
Operating Segments [Member] | Titanium Technologies [Member] | 2017 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 0 | 0 | 1 | 0 |
Operating Segments [Member] | Titanium Technologies [Member] | 2019 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 5 | 0 | 5 | 0 |
Corporate and Other [Member] | 2017 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 0 | 5 | 0 | 14 |
Corporate and Other [Member] | 2018 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | (1) | 0 | (1) | 0 |
Corporate and Other [Member] | 2019 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | 3 | 0 | 3 | 0 |
Corporate and Other [Member] | Plant and Product Line Closures [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and other charges | $ 5 | $ 4 | $ 18 | $ 6 |
Restructuring, Asset-Related,_5
Restructuring, Asset-Related, and Other Charges - Narrative (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2017Employee | |
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring, asset-related and other charges | $ 34,000,000 | $ 12,000,000 | $ 49,000,000 | $ 32,000,000 | |||
Employee separation charges | 17,000,000 | 2,000,000 | 15,000,000 | 8,000,000 | |||
2017 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring, asset-related and other charges | 1,000,000 | 7,000,000 | 3,000,000 | 22,000,000 | |||
Aggregate restructuring costs | 62,000,000 | ||||||
2018 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Employee separation charges | $ 5,000,000 | ||||||
2019 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Employee separation charges | 17,000,000 | ||||||
2019 Restructuring Program [Member] | Methylamines and Methylamides Business [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Employee separation charges | 2,000,000 | ||||||
Corporate Function Efforts [Member] | 2017 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Employee separation and asset related charges | 1,000,000 | 5,000,000 | 3,000,000 | 13,000,000 | |||
Voluntary Separation Program [Member] | 2017 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Number of employees to be separated by end of 2018 | Employee | 300 | ||||||
Accrual of termination benefits recognized | $ 18,000,000 | ||||||
Voluntary Separation Program One-Time Financial Incentives [Member] | 2017 Restructuring Program [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Accrual of termination benefits recognized | 2,000,000 | 9,000,000 | |||||
Operating Segments [Member] | Niagara Falls, NY [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring costs, excluding non-cash asset-related charges | 36,000,000 | ||||||
Operating Segments [Member] | Belle, West Virginia [Member] | Property, Plant and Equipment and Other Assets [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Additional restructuring charges expected to be incurred | 22,000,000 | 22,000,000 | |||||
Operating Segments [Member] | Belle, West Virginia [Member] | Property, Plant and Equipment [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges incurred | 10,000,000 | 10,000,000 | |||||
Operating Segments [Member] | Belle, West Virginia [Member] | Other Asset Impairment Charges [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges incurred | 2,000,000 | 2,000,000 | |||||
Operating Segments [Member] | Decommissioning Costs [Member] | Niagara Falls, NY [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring, asset-related and other charges | 1,000,000 | 1,000,000 | 4,000,000 | ||||
Operating Segments [Member] | Decommissioning Costs [Member] | Niagara Falls, NY [Member] | Maximum [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring, asset-related and other charges | 1,000,000 | ||||||
Operating Segments [Member] | Decommissioning Costs [Member] | Belle, West Virginia [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Additional restructuring charges expected to be incurred | 11,000,000 | 11,000,000 | |||||
Operating Segments [Member] | Additional Restructuring Charges [Member] | Niagara Falls, NY [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Additional restructuring charges expected to be incurred | 10,000,000 | 10,000,000 | |||||
Corporate and Other [Member] | Decommissioning Costs [Member] | Deepwater, New Jersey [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring, asset-related and other charges | 4,000,000 | $ 4,000,000 | 18,000,000 | $ 6,000,000 | |||
Corporate and Other [Member] | Additional Restructuring Charges [Member] | Deepwater, New Jersey [Member] | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Additional restructuring charges expected to be incurred | $ 6,000,000 | 6,000,000 | |||||
Restructuring charges incurred | $ 27,000,000 |
Restructuring, Asset-Related,_6
Restructuring, Asset-Related, and Other Charges - Restructuring Program Schedule (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Restructuring Reserve [Roll Forward] | |
Restructuring reserve, beginning | $ 16 |
Charges (credits) to income | 15 |
Payments | (13) |
Restructuring reserve, ending | 18 |
2018 Restructuring Program [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring reserve, beginning | 5 |
Charges (credits) to income | (1) |
Payments | (4) |
Restructuring reserve, ending | 0 |
2015 Global Restructuring Program [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring reserve, beginning | 1 |
Charges (credits) to income | (1) |
Payments | 0 |
Restructuring reserve, ending | 0 |
2019 Restructuring Program [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring reserve, beginning | 0 |
Charges (credits) to income | 17 |
Payments | 0 |
Restructuring reserve, ending | 17 |
2017 Restructuring Program [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring reserve, beginning | 10 |
Charges (credits) to income | 0 |
Payments | (9) |
Restructuring reserve, ending | $ 1 |
Other Income, Net - Components
Other Income, Net - Components of Other Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Other Income And Expenses [Abstract] | ||||
Leasing, contract services and miscellaneous income | $ 6 | $ 24 | $ 47 | $ 47 |
Royalty income | 6 | 2 | 16 | 9 |
Gain on sales of assets and businesses | 9 | 0 | 11 | 45 |
Exchange gains (losses), net | 5 | (6) | 2 | (4) |
Non-operating pension and other post-retirement employee benefit (cost) income | (1) | 4 | 5 | 18 |
Total other income, net | $ 25 | $ 24 | $ 81 | $ 115 |
Other Income, Net - Component_2
Other Income, Net - Components of Other Income (Parenthetical) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Component of Other Income [Line Items] | ||||
Leasing, contract services and miscellaneous income | $ 6 | $ 24 | $ 47 | $ 47 |
Royalty income | 6 | 2 | 16 | 9 |
Chemical Solutions [Member] | ||||
Component of Other Income [Line Items] | ||||
Royalty income | 6 | 13 | 3 | |
European Union [Member] | Fluorinated Greenhouse Gas [Member] | ||||
Component of Other Income [Line Items] | ||||
Leasing, contract services and miscellaneous income | 2 | $ 18 | 38 | 38 |
Repauno, New Jersey Sites [Member] | ||||
Component of Other Income [Line Items] | ||||
Gain on sale of asset | $ 9 | $ 9 | ||
Linden, New Jersey Sites [Member] | ||||
Component of Other Income [Line Items] | ||||
Gain on sale of asset | $ 42 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Tax Credit Carryforward [Line Items] | ||||
Provision for (benefit from) income taxes | $ 15 | $ (6) | $ 65 | $ 119 |
Effective income tax rate | 16.00% | (2.00%) | 20.00% | 12.00% |
Additional income tax expense related to valuation allowance on deferred tax assets | $ 5 | $ 5 | ||
Additional income tax expense related to recognition of valuation allowance on deferred tax assets | 8 | 8 | ||
Minimum [Member] | ||||
Tax Credit Carryforward [Line Items] | ||||
Income tax benefits related to windfalls on share-based payments | $ 3 | $ 8 |
Earnings Per Share of Common _3
Earnings Per Share of Common Stock - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Numerator: | ||||
Net income attributable to Chemours | $ 76 | $ 275 | $ 265 | $ 853 |
Denominator: | ||||
Weighted-average number of common shares outstanding - basic | 163,815,483 | 176,489,881 | 165,254,084 | 178,765,676 |
Dilutive effect of the Company’s employee compensation plans | 1,325,380 | 5,387,244 | 2,780,874 | 5,891,072 |
Weighted-average number of common shares outstanding - diluted | 165,140,863 | 181,877,125 | 168,034,958 | 184,656,748 |
Basic earnings per share of common stock | $ 0.46 | $ 1.56 | $ 1.60 | $ 4.77 |
Diluted earnings per share of common stock | $ 0.46 | $ 1.51 | $ 1.58 | $ 4.62 |
Earnings Per Share of Common _4
Earnings Per Share of Common Stock - Schedule of Anti-dilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Average number of stock options | 3,195,601 | 480,123 | 1,893,011 | 160,041 |
Accounts and Notes Receivable_3
Accounts and Notes Receivable, Net - Schedule of Accounts and Notes Receivable (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Accounts receivable - trade, net | $ 758 | $ 790 |
VAT, GST and other taxes | 57 | 56 |
Other receivables | 17 | 15 |
Total accounts and notes receivable, net | $ 832 | $ 861 |
Accounts and Notes Receivable_4
Accounts and Notes Receivable, Net - Schedule of Accounts and Notes Receivable (Parenthetical) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Accounts Notes And Loans Receivable [Line Items] | ||
Accounts receivable - trade, net | $ 758 | $ 790 |
Allowance for doubtful accounts receivable | 5 | 5 |
Trade Notes Receivable [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Accounts receivable - trade, net | $ 2 | $ 2 |
Accounts and Notes Receivable_5
Accounts and Notes Receivable, Net - (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Bad debt expense | $ 1,000,000 | |||
Maximum [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Bad debt expense | $ 1,000,000 | $ 1,000,000 | $ 1,000,000 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Inventory Net [Abstract] | ||
Finished products | $ 664 | $ 701 |
Semi-finished products | 201 | 195 |
Raw materials, stores, and supplies | 596 | 476 |
Inventories before LIFO adjustment | 1,461 | 1,372 |
Less: Adjustment of inventories to LIFO basis | (238) | (225) |
Total inventories | $ 1,223 | $ 1,147 |
Inventories - Narrative (Detail
Inventories - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Inventory Net [Abstract] | ||
LIFO inventory amount | $ 770 | $ 622 |
Percentage of LIFO inventory | 53.00% | 45.00% |
Property, Plant, and Equipmen_3
Property, Plant, and Equipment, Net - Summary of Property, Plant, and Equipment, Net (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 9,274 | $ 8,992 |
Less: Accumulated depreciation | (5,754) | (5,701) |
Property, plant, and equipment, net | 3,520 | 3,291 |
Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 7,474 | 7,344 |
Building [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 915 | 914 |
Construction-in-progress [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 735 | 579 |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 115 | 119 |
Mineral rights [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 35 | $ 36 |
Property, Plant, and Equipmen_4
Property, Plant, and Equipment, Net - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Property Plant And Equipment [Line Items] | |||||
Depreciation expense | $ 76 | $ 68 | $ 226 | $ 207 | |
Build to suit lease assets | 90 | 90 | $ 55 | ||
Finance leased assets, gross | 66 | 66 | 7 | ||
Finance lease, asset | 59 | 59 | |||
Finance lease, liability | 59 | 59 | $ 2 | ||
Fluoroproducts [Member] | |||||
Property Plant And Equipment [Line Items] | |||||
Finance lease, asset | 62 | 62 | |||
Finance lease, liability | $ 62 | $ 62 |
Leases - Narrative (Details)
Leases - Narrative (Details) | 9 Months Ended |
Sep. 30, 2019 | |
Lessee Lease Description [Line Items] | |
Lease agreements initial terms | 12 months |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Operating lease term of contract | 18 years |
Leases - Schedule of Lease Asse
Leases - Schedule of Lease Assets and Lease Liabilities and their Balance Sheet Location (Details) $ in Millions | Sep. 30, 2019USD ($) |
Lease assets: | |
Operating lease right-of-use assets | $ 307 |
Finance lease assets | $ 59 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PropertyPlantAndEquipmentNet |
Total lease assets | $ 366 |
Current: | |
Operating lease liabilities | $ 73 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccruedLiabilitiesCurrent |
Finance lease liabilities | $ 5 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:DebtCurrent |
Total current lease liabilities | $ 78 |
Non-current: | |
Operating lease liabilities | 254 |
Finance lease liabilities | $ 54 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:LongTermDebtNoncurrent |
Total non-current lease liabilities | $ 308 |
Total lease liabilities | $ 386 |
Leases - Schedule of Components
Leases - Schedule of Components of Company's Lease Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Operating lease cost | $ 25 | $ 74 |
Short-term lease cost | 1 | 3 |
Variable lease cost | 4 | 12 |
Amortization of lease assets | 2 | 3 |
Interest on lease liabilities | 1 | 1 |
Total lease cost | $ 33 | $ 93 |
Leases - Schedule of Cash Flows
Leases - Schedule of Cash Flows Related to Company's Leases (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | $ 74 | |
Operating cash flows from finance leases | 1 | |
Financing cash flows from finance leases | 2 | $ 0 |
Non-cash lease liabilities activity: | ||
Leased assets obtained in exchange for new operating lease liabilities | 42 | |
Leased assets obtained in exchange for new finance lease liabilities | $ 62 |
Leases - Schedule of Weighted-A
Leases - Schedule of Weighted-Average Term and Weighted-Average Discount Rate For Company's Leases (Details) | Sep. 30, 2019 |
Weighted-average remaining lease term (years): | |
Operating leases | 8 years 4 months 24 days |
Finance leases | 9 years 4 months 24 days |
Weighted-average discount rate: | |
Operating leases | 5.10% |
Finance leases | 5.90% |
Leases - Schedule of Company's
Leases - Schedule of Company's Lease Liabilities' Maturities For Next Five Years and Thereafter (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Operating Leases | ||
Remainder of 2019 | $ 26 | |
2020 | 80 | |
2021 | 67 | |
2022 | 49 | |
2023 | 32 | |
Thereafter | 144 | |
Total lease payments | 398 | |
Less: Imputed interest | 71 | |
Present value of lease liabilities | 327 | |
Finance Leases | ||
Remainder of 2019 | 2 | |
2020 | 9 | |
2021 | 8 | |
2022 | 8 | |
2023 | 8 | |
Thereafter | 42 | |
Total lease payments | 77 | |
Less: Imputed interest | 18 | |
Present value of lease liabilities | 59 | $ 2 |
Operating and Finance Leases, Total | ||
Remainder of 2019 | 28 | |
2020 | 89 | |
2021 | 75 | |
2022 | 57 | |
2023 | 40 | |
Thereafter | 186 | |
Total lease payments | 475 | |
Less: Imputed interest | 89 | |
Present value of lease liabilities | $ 386 |
Leases - Schedule of Company'_2
Leases - Schedule of Company's Lease Liabilities' Maturities For Next Five Years and Thereafter under Previous Lease Accounting Standard (Details) $ in Millions | Dec. 31, 2018USD ($) |
Operating Leases | |
2019 | $ 92 |
2020 | 70 |
2021 | 59 |
2022 | 42 |
2023 | 27 |
Thereafter | 134 |
Total lease payments | 424 |
Finance Leases | |
2020 | 2 |
Total lease payments | 2 |
Operating and Finance Leases, Total | |
2019 | 92 |
2020 | 72 |
2021 | 59 |
2022 | 42 |
2023 | 27 |
Thereafter | 134 |
Total lease payments | $ 426 |
Leases - Build-to-suit Lease Ob
Leases - Build-to-suit Lease Obligation - Narrative (Details) - Discovery Hub [Member] $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Oct. 31, 2017ft² | |
Lessee Lease Description [Line Items] | |||
Build to suit lease area of land | ft² | 312,000 | ||
Build to suit lease project costs paid by third party owner lessor | $ | $ 90 | $ 55 |
Investments in Affiliates - Nar
Investments in Affiliates - Narrative (Details) - Equity Method Investee [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Investments in Affiliates | ||||
Net sales | $ 40 | $ 38 | $ 104 | $ 101 |
Purchases | 48 | 30 | 215 | 98 |
Dividends | $ 1 | $ 4 | $ 30 | |
Maximum [Member] | ||||
Investments in Affiliates | ||||
Dividends | $ 1 |
Other Assets - Schedule of Othe
Other Assets - Schedule of Other Assets - (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ||
Capitalized repair and maintenance costs | $ 156 | $ 178 |
Pension assets | 193 | 174 |
Deferred income taxes | 43 | 46 |
Miscellaneous | 50 | 39 |
Total other assets | $ 442 | $ 437 |
Accounts Payable - Schedule of
Accounts Payable - Schedule of Accounts Payable (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Payables And Accruals [Abstract] | ||
Trade payables | $ 929 | $ 1,111 |
VAT and other payables | 19 | 26 |
Total accounts payable | $ 948 | $ 1,137 |
Other Accrued Liabilities - Sch
Other Accrued Liabilities - Schedule of Other Accrued Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Accrued Liabilities, Current [Abstract] | ||
Compensation and other employee-related costs | $ 61 | $ 108 |
Employee separation costs | 18 | 16 |
Accrued litigation | 27 | 76 |
Environmental remediation | 74 | 74 |
Income taxes | 62 | 87 |
Customer rebates | 66 | 79 |
Deferred income | 8 | 6 |
Accrued interest | 61 | 21 |
Operating lease liabilities | 73 | |
Miscellaneous | 96 | 92 |
Total other accrued liabilities | $ 546 | $ 559 |
Debt - Components of Debt (Deta
Debt - Components of Debt (Details) € in Millions, $ in Millions | Sep. 30, 2019USD ($) | Sep. 30, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) |
Debt Instrument [Line Items] | ||||
Finance lease liabilities | $ 59 | $ 2 | ||
Build-to-suit lease obligation | 90 | 55 | ||
Other | 9 | |||
Total debt | 4,195 | 4,017 | ||
Less: Unamortized issue discounts | (9) | (10) | ||
Less: Unamortized debt issuance costs | (30) | (35) | ||
Less: Short-term and current maturities of long-term debt | (149) | (13) | ||
Total long-term debt, net | 4,007 | 3,959 | ||
Senior Secured Tranche B-2 U.S Dollar Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 887 | 893 | ||
Senior Secured Tranche B-2 Euro Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 377 | € 345 | 396 | € 347 |
Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Short-term debt | 122 | |||
6.625% Senior Unsecured Notes Due May 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 908 | 908 | ||
7.000% Senior Unsecured Notes Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 750 | 750 | ||
4.000% Senior Unsecured Notes Due May 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 493 | € 450 | 513 | € 450 |
5.375% Senior Unsecured Notes Due May 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 500 | $ 500 |
Debt - Components of Debt (Pare
Debt - Components of Debt (Parenthetical) (Details) € in Millions, $ in Millions | Sep. 30, 2019USD ($) | Sep. 30, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) |
Senior Secured Tranche B-2 Euro Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 377 | € 345 | $ 396 | € 347 |
6.625% Senior Unsecured Notes Due May 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 908 | $ 908 | ||
Debt instrument interest rate | 6.625% | 6.625% | 6.625% | 6.625% |
7.000% Senior Unsecured Notes Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 750 | $ 750 | ||
Debt instrument interest rate | 7.00% | 7.00% | 7.00% | 7.00% |
4.000% Senior Unsecured Notes Due May 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 493 | € 450 | $ 513 | € 450 |
Debt instrument interest rate | 4.00% | 4.00% | 4.00% | 4.00% |
5.375% Senior Unsecured Notes Due May 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 500 | $ 500 | ||
Debt instrument interest rate | 5.375% | 5.375% | 5.375% | 5.375% |
Debt - Senior Secured Credit Fa
Debt - Senior Secured Credit Facilities - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Line of Credit Facility [Line Items] | ||||
Repayment of outstanding borrowings | $ 150,000,000 | $ 0 | ||
Senior Secured Term Loan Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Debt instrument term | 7 years | |||
Repayment of outstanding borrowings | $ 3,000,000 | $ 10,000,000 | ||
Senior Secured Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Debt instrument term | 5 years | |||
Line of credit facility, maximum borrowing capacity | 800,000,000 | $ 800,000,000 | ||
Long-term debt | 0 | 0 | $ 0 | |
Repayment of outstanding borrowings | 150,000,000 | |||
Letters of credit outstanding | $ 103,000,000 | $ 103,000,000 | $ 104,000,000 | |
Commitment fee percentage | 0.15% | |||
Dollar Term Loan [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Effective interest rates on senior secured term loan | 3.80% | 3.80% | ||
Euro Term Loan [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Effective interest rates on senior secured term loan | 2.50% | 2.50% |
Debt - Accounts Receivable Secu
Debt - Accounts Receivable Securitization Facility - Narrative (Details) - Securitization Facility [Member] - USD ($) | Jul. 12, 2019 | Sep. 30, 2019 |
Line of Credit Facility [Line Items] | ||
Short-term debt | $ 122,000,000 | |
Special Purpose Entity [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 125,000,000 | |
Increase in borrowing capacity | $ 200,000,000 | |
Receivable from securitization facility | 225,000,000 | |
Short-term debt | $ 122,000,000 |
Debt - Other - Narrative (Detai
Debt - Other - Narrative (Details) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019USD ($) | Sep. 30, 2019USD ($) | |
Line of Credit Facility [Line Items] | ||
Remaining other short-term borrowings payable | $ 9 | $ 9 |
Financing Arrangement [Member] | ||
Line of Credit Facility [Line Items] | ||
Funds borrowed for insurance premiums | 11 | |
Repayments to financing company | 2 | |
Remaining other short-term borrowings payable | $ 9 | $ 9 |
Debt - Maturities and Fair Valu
Debt - Maturities and Fair Value - Narrative (Details) | Apr. 03, 2018 | Sep. 30, 2019 | Dec. 31, 2018 |
6.625% Senior Unsecured Notes Due May 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument interest rate | 6.625% | 6.625% | |
Senior Secured Term Loan Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument interest rate | 1.00% | ||
Additional principal repayment, percentage of excess cash flows | 50.00% | ||
Additional principal repayment, percentage of excess cash flow, stepdown level one | 25.00% | ||
Additional principal repayment, percentage of excess cash flow, stepdown level two | 0.00% | ||
Target leverage ratio | 3.50% |
Debt - Schedule of Contractual
Debt - Schedule of Contractual Debt Principal Maturities (Details) - Senior Debt [Member] $ in Millions | Dec. 31, 2018USD ($) |
Debt Instrument [Line Items] | |
Remainder of 2019 | $ 3 |
2020 | 135 |
2021 | 13 |
2022 | 13 |
2023 | 921 |
Thereafter | 2,952 |
Total principal maturities on debt | $ 4,037 |
Debt - Estimated Fair Values of
Debt - Estimated Fair Values of Senior Debt Issues (Details) € in Millions, $ in Millions | Sep. 30, 2019USD ($) | Sep. 30, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) |
Debt Instrument [Line Items] | ||||
Less: Unamortized issue discounts | $ (9) | $ (10) | ||
Less: Unamortized debt issuance costs | (30) | (35) | ||
Senior Secured Tranche B-2 U.S Dollar Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 887 | 893 | ||
Senior Secured Tranche B-2 Euro Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 377 | € 345 | 396 | € 347 |
Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Short-term debt, Carrying Value | 122 | |||
6.625% Senior Unsecured Notes Due May 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 908 | 908 | ||
7.000% Senior Unsecured Notes Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 750 | 750 | ||
4.000% Senior Unsecured Notes Due May 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 493 | € 450 | 513 | € 450 |
5.375% Senior Unsecured Notes Due May 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 500 | 500 | ||
Level 2 [Member] | ||||
Debt Instrument [Line Items] | ||||
Total senior debt, Carrying Value | 4,046 | 3,960 | ||
Total senior debt, Fair Value | 3,856 | 3,876 | ||
Total senior debt, net | 4,007 | 3,915 | ||
Less: Unamortized issue discounts | (9) | (10) | ||
Less: Unamortized debt issuance costs | (30) | (35) | ||
Level 2 [Member] | Senior Secured Tranche B-2 U.S Dollar Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 887 | 893 | ||
Long-term debt, Fair Value | 855 | 862 | ||
Level 2 [Member] | Senior Secured Tranche B-2 Euro Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 377 | 396 | ||
Long-term debt, Fair Value | 371 | 394 | ||
Level 2 [Member] | Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Short-term debt, Carrying Value | 122 | |||
Short-term debt, Fair Value | 122 | |||
Level 2 [Member] | Other [Member] | ||||
Debt Instrument [Line Items] | ||||
Short-term debt, Carrying Value | 9 | |||
Short-term debt, Fair Value | 9 | |||
Level 2 [Member] | 6.625% Senior Unsecured Notes Due May 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 908 | 908 | ||
Long-term debt, Fair Value | 900 | 918 | ||
Level 2 [Member] | 7.000% Senior Unsecured Notes Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 750 | 750 | ||
Long-term debt, Fair Value | 714 | 761 | ||
Level 2 [Member] | 4.000% Senior Unsecured Notes Due May 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 493 | 513 | ||
Long-term debt, Fair Value | 452 | 487 | ||
Level 2 [Member] | 5.375% Senior Unsecured Notes Due May 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, Carrying Value | 500 | 500 | ||
Long-term debt, Fair Value | $ 433 | $ 454 |
Debt - Estimated Fair Values _2
Debt - Estimated Fair Values of Senior Debt Issues (Parenthetical) (Details) € in Millions, $ in Millions | Sep. 30, 2019USD ($) | Sep. 30, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) |
6.625% Senior Unsecured Notes Due May 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 908 | $ 908 | ||
Debt instrument interest rate | 6.625% | 6.625% | 6.625% | 6.625% |
7.000% Senior Unsecured Notes Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 750 | $ 750 | ||
Debt instrument interest rate | 7.00% | 7.00% | 7.00% | 7.00% |
4.000% Senior Unsecured Notes Due May 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 493 | € 450 | $ 513 | € 450 |
Debt instrument interest rate | 4.00% | 4.00% | 4.00% | 4.00% |
5.375% Senior Unsecured Notes Due May 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 500 | $ 500 | ||
Debt instrument interest rate | 5.375% | 5.375% | 5.375% | 5.375% |
Senior Secured Tranche B-2 Euro Term Loan Due May 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 377 | € 345 | $ 396 | € 347 |
Other Liabilities - Schedule of
Other Liabilities - Schedule of Other Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Other Liabilities Noncurrent [Abstract] | ||
Environmental remediation | $ 165 | $ 152 |
Employee-related costs | 111 | 130 |
Accrued litigation | 90 | 53 |
Asset retirement obligations | 55 | 51 |
Deferred revenue | 5 | 7 |
Miscellaneous | 75 | 64 |
Total other liabilities | $ 501 | $ 457 |
Other Liabilities - Schedule _2
Other Liabilities - Schedule of Other Liabilities (Parenthetical) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Other Liabilities Noncurrent [Abstract] | ||
Accrued indemnification liability | $ 42 | $ 46 |
Commitments and Contingent Li_3
Commitments and Contingent Liabilities - Schedule of Components of Accrued Litigation (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Loss Contingencies [Line Items] | ||
Accrued litigation | $ 117 | $ 129 |
Asbestos [Member] | ||
Loss Contingencies [Line Items] | ||
Accrued litigation | 37 | 37 |
Perfluorooctanoic Acids and its Salts, including the Ammonium Salt [Member] | ||
Loss Contingencies [Line Items] | ||
Accrued litigation | 21 | 22 |
GenX and Other Perfluorinated and Polyfluorinated Compounds [Member] | ||
Loss Contingencies [Line Items] | ||
Accrued litigation | 54 | 65 |
All Other Matters [Member] | ||
Loss Contingencies [Line Items] | ||
Accrued litigation | $ 5 | $ 5 |
Commitments and Contingent Li_4
Commitments and Contingent Liabilities - Schedule of Components of Accrued Litigation (Parenthetical) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Environmental Remediation [Line Items] | ||
Accrued litigation | $ 117 | $ 129 |
GenX and Other Perfluorinated and Polyfluorinated Compounds [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued litigation including environmental remediation liabilities | 83 | 75 |
Accrual environmental remediation liabilities | 29 | 10 |
Accrued litigation | 54 | 65 |
Benzene [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued litigation | $ 0 | |
Benzene [Member] | Maximum [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued litigation | $ 1 |
Commitments and Contingent Li_5
Commitments and Contingent Liabilities - Schedule of Current and Long-term Components of Accrued Litigation and Balance Sheet Locations (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Accrued Litigation: | ||
Current accrued litigation | $ 27 | $ 76 |
Long-term accrued litigation | 90 | 53 |
Total accrued litigation | 117 | 129 |
Other Accrued Liabilities [Member] | ||
Accrued Litigation: | ||
Current accrued litigation | 27 | 76 |
Other Liabilities [Member] | ||
Accrued Litigation: | ||
Long-term accrued litigation | $ 90 | $ 53 |
Commitments and Contingent Li_6
Commitments and Contingent Liabilities - Litigation - Narrative (Details) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Aug. 31, 2019Supplier | Mar. 31, 2019USD ($)lawsuit | Mar. 31, 2017USD ($) | Sep. 30, 2019USD ($)lawsuitwater_districtplaintiff | Dec. 31, 2004resident | Dec. 31, 2018USD ($)lawsuit | |
Loss Contingencies [Line Items] | ||||||
Accrual balance | $ 117,000,000 | $ 129,000,000 | ||||
Number of water suppliers filed lawsuits | Supplier | 6 | |||||
Accrued environmental liability | 239,000,000 | 226,000,000 | ||||
Accrued litigation | 90,000,000 | $ 53,000,000 | ||||
Mining Solutions [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Long-lived assets | 144,000,000 | |||||
Goodwill | 50,000,000 | |||||
Other related prepaid costs | 6,000,000 | |||||
Maximum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Loss contingency, potential additional loss | 570,000,000 | |||||
Funding for medical monitoring program [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Escrow deposit disbursements | $ 1,700,000 | |||||
MDL Settlement [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Date of agreement month and year | 2017-03 | |||||
Total settlement amount | $ 670,700,000 | |||||
PFOA MDL Settlement [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging personal injury - Filed | lawsuit | 61 | |||||
Benzene Related Illness [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging illness | lawsuit | 16 | 19 | ||||
PFOA Matters [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Accrual balance | $ 21,000,000 | $ 22,000,000 | ||||
Number of lawsuits filed | lawsuit | 4 | |||||
Cost of preparation of natural resource damage assessment plan and access to related documents | $ 100,000 | |||||
Civil penalty and investigative costs | $ 13,000,000 | |||||
Additional accrued environmental liability | 2,000,000 | |||||
Accrued environmental liability | 83,000,000 | |||||
Accrued litigation | 54,000,000 | |||||
PFOA Matters [Member] | Maximum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Settlement payments | $ 25,000,000 | |||||
Period of payments | 5 years | |||||
PFOA Matters: Drinking Water Actions [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Accrual balance | $ 21,000,000 | $ 22,000,000 | ||||
Binding settlement agreement, class size | resident | 80,000 | |||||
Number of water districts Company must provide treatment | water_district | 6 | |||||
PFOA Matters: Drinking Water Actions [Member] | Funding for medical monitoring program [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Loss contingency, potential additional loss | $ 235,000,000 | |||||
PFOA Matters: Additional Actions [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging personal injury - Filed | lawsuit | 3,500 | |||||
DuPont [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging illness | lawsuit | 51 | |||||
Number of lawsuit filed by each state | lawsuit | 1 | |||||
DuPont [Member] | Maximum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Settlement payments | $ 25,000,000 | |||||
DuPont [Member] | PFOA MDL Settlement [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging illness | lawsuit | 7 | |||||
DuPont [Member] | Business Seeking to Recover Losses [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging illness | lawsuit | 2 | |||||
Scheduled In June 2020 [Member] | PFOA MDL Settlement [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of individual plaintiffs | plaintiff | 6 | |||||
Scheduled In January 2020 [Member] | PFOA MDL Settlement [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of individual plaintiffs | plaintiff | 2 | |||||
AFFF [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of lawsuits pending | lawsuit | 9 | |||||
Number of lawsuits filed | lawsuit | 4 | |||||
State Natural Resource Damages Matters [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of lawsuits filed | lawsuit | 2 | |||||
Asbestos Issue [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Lawsuits alleging personal injury - Filed | lawsuit | 1,300 | 1,300 | ||||
Accrual balance | $ 37,000,000 | $ 37,000,000 |
Commitments and Contingent Li_7
Commitments and Contingent Liabilities - Schedule of Components of Environmental Remediation Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | $ 239 | $ 226 |
Chambers Works, Deepwater, New Jersey [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | 20 | 18 |
East Chicago, Indiana [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | 18 | 21 |
Fayetteville Works, Fayetteville, North Carolina [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | 29 | 10 |
Pompton Lakes, New Jersey [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | 43 | 45 |
USS Lead, East Chicago, Indiana [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | 14 | 15 |
All other sites [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued environmental remediation | $ 115 | $ 117 |
Commitments and Contingent Li_8
Commitments and Contingent Liabilities - Schedule of Components of Environmental Remediation Liabilities (Parenthetical) (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Environmental Remediation [Line Items] | ||
Accrued litigation | $ 117 | $ 129 |
Fayetteville Works, Fayetteville, North Carolina [Member] | ||
Environmental Remediation [Line Items] | ||
Accrued litigation including environmental remediation liabilities | 83 | 75 |
Accrued litigation | $ 54 | $ 65 |
Commitments and Contingent Li_9
Commitments and Contingent Liabilities - Schedule of Current and Long-term Components of Environmental Remediation Liabilites and Balance Sheet Locations (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Accrued Litigation: | ||
Current environmental remediation | $ 74 | $ 74 |
Long-term environmental remediation | 165 | 152 |
Total environmental remediation | 239 | 226 |
Other Accrued Liabilities [Member] | ||
Accrued Litigation: | ||
Current environmental remediation | 74 | 74 |
Other Liabilities [Member] | ||
Accrued Litigation: | ||
Long-term environmental remediation | $ 165 | $ 152 |
Commitments and Contingent L_10
Commitments and Contingent Liabilities - Environmental - Narrative (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Environmental Remediation [Line Items] | ||||||
Accrual for environmental remediation activities | $ 239 | $ 239 | $ 226 | |||
Environmental remediation activities amount | $ 3 | 10 | $ 8 | $ 42 | $ 32 | |
Minimum [Member] | ||||||
Environmental Remediation [Line Items] | ||||||
Average time frame of disbursements of environmental site remediation | 15 years | |||||
Maximum [Member] | ||||||
Environmental Remediation [Line Items] | ||||||
Average time frame of disbursements of environmental site remediation | 20 years | |||||
Loss contingency, potential additional loss | $ 570 | $ 570 |
Equity - Narrative (Details)
Equity - Narrative (Details) - USD ($) | 9 Months Ended | |||
Sep. 30, 2019 | Feb. 13, 2019 | Dec. 31, 2018 | Aug. 01, 2018 | |
Equity Class Of Treasury Stock [Line Items] | ||||
Purchase of common stock value under the share repurchase program | $ 1,072,000,000 | $ 750,000,000 | ||
Common Stock [Member] | 2018 Share Repurchase Program [Member] | ||||
Equity Class Of Treasury Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 1,000,000,000 | |||
Stock repurchase program effective date | Aug. 1, 2018 | |||
Stock repurchase program expiration date | Dec. 31, 2020 | |||
Purchase of common stock under the share repurchase program | 15,245,999 | |||
Purchase of common stock value under the share repurchase program | $ 572,000,000 | |||
Average share price | $ 37.52 | |||
Remaining available amount of common stock under the share repurchase program | $ 428,000,000 | |||
Common Stock [Member] | 2018 Share Repurchase Program [Member] | Maximum [Member] | ||||
Equity Class Of Treasury Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 750,000,000 |
Stock-based Compensation - Narr
Stock-based Compensation - Narrative (Details) | Jan. 26, 2017Periodshares | Sep. 30, 2019USD ($)shares | Mar. 31, 2019shares | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($) |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 4,000,000 | $ 5,000,000 | $ 18,000,000 | $ 20,000,000 | ||
Stock Option [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 2,000,000 | 1,000,000 | $ 8,000,000 | 7,000,000 | ||
Number of shares granted | 760,000 | 840,000 | ||||
Expiration period | 10 years | |||||
Stock-based compensation award vesting period | 3 years | |||||
Stock options outstanding | 6,190,000 | 6,190,000 | ||||
Restricted Stock Units (RSUs) [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 1,000,000 | 1,000,000 | $ 5,000,000 | 6,000,000 | ||
Stock-based compensation award vesting period | 3 years | |||||
Shares issued upon conversion of equity award | 1 | 1 | ||||
Number of shares non-vested | 220,000 | 220,000 | ||||
Restricted Stock Units (RSUs) [Member] | Employees and Non-Employee Directors [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Number of shares granted | 150,000 | 190,000 | ||||
Performance Share Units [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 3,000,000 | $ 5,000,000 | $ 7,000,000 | |||
Stock-based compensation award vesting period | 3 years | |||||
Number of shares granted | 200,000 | 240,000 | ||||
Shares issued upon conversion of equity award | 1 | 1 | ||||
Number of shares non-vested | 570,000 | 570,000 | ||||
Percentage of target award available for grant | 100.00% | |||||
Number of common stock shares reserved for issuance | 7,000,000 | |||||
Consecutive offering periods | 12 months | |||||
Number of purchase periods in offer period | Period | 2 | |||||
Percentage of common stock discount rate equal to the fair value | 95.00% | |||||
Stock purchased under employee stock purchase plan, Value | $ | $ 1,000,000 | $ 2,000,000 | ||||
Stock purchased under employee stock purchase plan, Share | 58,000 | 83,000 | ||||
Performance Share Units [Member] | Minimum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Percentage of target award available for grant | 0.00% | |||||
Performance Share Units [Member] | Maximum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 1,000,000 | |||||
Percentage of target award available for grant | 250.00% | |||||
Performance Share Units [Member] | Chemours Company Equity and Incentive Plan (the "Prior Plan") [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Number of shares granted | 1,520,000 | |||||
Number of non-issued shares cancelled | 680,000 |
Stock-based Compensation - Weig
Stock-based Compensation - Weighted Average Assumptions of Stock Option (Details) - Stock Option [Member] | 9 Months Ended |
Sep. 30, 2019$ / shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Risk-free interest rate | 2.53% |
Expected term (years) | 6 years 18 days |
Volatility | 48.05% |
Dividend yield | 2.81% |
Fair value per stock option | $ 13.66 |
Financial Instruments - Narrati
Financial Instruments - Narrative (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019USD ($)contract | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)contract | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($)contract | |
Derivative [Line Items] | |||||
Recognized gains (loss) on derivative cash flow hedge, pre-tax | $ 5,000,000 | $ (1,000,000) | $ 7,000,000 | $ 6,000,000 | |
Designated as Hedging Instrument [Member] | Net Investment Hedge [Member] | |||||
Derivative [Line Items] | |||||
Recognized gain (loss) on derivative net investment hedge, pre-tax | 33,000,000 | (11,000,000) | 36,000,000 | 2,000,000 | |
Reclassification on derivative net investment hedge, pre-tax | $ 0 | 0 | $ 0 | 0 | |
Foreign currency forward contracts [Member] | |||||
Derivative [Line Items] | |||||
Number of forward exchange currency contracts | contract | 13 | 13 | 20 | ||
Derivative notional value | $ 399,000,000 | $ 399,000,000 | $ 503,000,000 | ||
Foreign currency forward contracts [Member] | Not Designated as Hedging Instrument [Member] | Other Income (Expense), Net [Member] | |||||
Derivative [Line Items] | |||||
Derivative gains (losses) | 1,000,000 | 14,000,000 | 8,000,000 | ||
Gain reclassification to cost of goods sold on derivative cash flow hedge | $ 1,000,000 | 14,000,000 | 8,000,000 | ||
Foreign currency forward contracts [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedge [Member] | |||||
Derivative [Line Items] | |||||
Number of forward exchange currency contracts | contract | 142 | 142 | 75 | ||
Derivative notional value | $ 128,000,000 | $ 128,000,000 | $ 143,000,000 | ||
Recognized gains (loss) on derivative cash flow hedge, pre-tax | 5,000,000 | (1,000,000) | 7,000,000 | 6,000,000 | |
Derivative cash flow hedge gain from accumulated other comprehensive loss to cost of goods sold to be reclassified with in twelve months | 6,000,000 | ||||
Foreign currency forward contracts [Member] | Designated as Hedging Instrument [Member] | Cost of Goods Sold [Member] | Cash Flow Hedge [Member] | |||||
Derivative [Line Items] | |||||
Gain reclassification to cost of goods sold on derivative cash flow hedge | $ 2,000,000 | $ 1,000,000 | 8,000,000 | $ 1,000,000 | |
Foreign currency forward contracts [Member] | Maximum [Member] | Not Designated as Hedging Instrument [Member] | Other Income (Expense), Net [Member] | |||||
Derivative [Line Items] | |||||
Derivative gains (losses) | $ 1,000,000 |
Financial Instruments - Schedul
Financial Instruments - Schedule of Derivative Assets and Liabilities At Fair Value (Details) - Fair Value, Measurements, Recurring [Member] - Level 2 [Member] - Foreign currency forward contracts [Member] - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | $ 5 | $ 4 |
Liability derivatives | 1 | 1 |
Not Designated as Hedging Instrument [Member] | Accounts and notes receivable - trade, net [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 1 | 1 |
Not Designated as Hedging Instrument [Member] | Other accrued liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives | 1 | 1 |
Cash Flow Hedge [Member] | Designated as Hedging Instrument [Member] | Accounts and notes receivable - trade, net [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | $ 4 | $ 3 |
Financial Instruments - Sched_2
Financial Instruments - Schedule of Pre-tax Charge the Fair Value of Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Derivatives, Fair Value [Line Items] | ||||
Gain (Loss) Recognized In Other Comprehensive Income | $ 33 | $ (11) | $ 36 | $ 2 |
Foreign currency forward contracts [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedge [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gain (Loss) Recognized In Other Comprehensive Income | 5 | (2) | 7 | 5 |
Euro-denominated debt [Member] | Designated as Hedging Instrument [Member] | Net Investment Hedge [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gain (Loss) Recognized In Other Comprehensive Income | 33 | (11) | 36 | 2 |
Cost of Goods Sold [Member] | Foreign currency forward contracts [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedge [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gain (Loss) Recognized In Derivative Instruments | 2 | 1 | $ 8 | 1 |
Other Income (Expense), Net [Member] | Foreign currency forward contracts [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gain (Loss) Recognized In Derivative Instruments | $ 1 | $ 14 | $ 8 |
Long-term Employee Benefits (Sc
Long-term Employee Benefits (Schedule of Net Periodic Pension (Cost) Income and Amounts Recognized in Other Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Total net periodic pension (cost) income | $ (4) | $ 7 | ||
Net loss, pre-tax | (3) | 0 | ||
Prior service benefit | (5) | 0 | ||
Amortization of prior service gain, pre- tax | $ (1) | $ 0 | (2) | (1) |
Amortization of actuarial loss, pre-tax | 6 | 4 | 18 | 11 |
Effect of foreign exchange rates, pre-tax | 9 | (2) | 10 | 3 |
Benefit recognized in other comprehensive income | 17 | 4 | 32 | 15 |
Pension Plan [Member] | Foreign [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | (3) | (4) | (9) | (11) |
Interest cost | (4) | (4) | (13) | (13) |
Expected return on plan assets | 12 | 14 | 38 | 43 |
Amortization of actuarial loss | (6) | (4) | (18) | (12) |
Amortization of prior service gain | 1 | 2 | 2 | |
Settlement loss | (3) | (2) | (4) | (2) |
Total net periodic pension (cost) income | (3) | (4) | 7 | |
Net loss, pre-tax | (3) | |||
Prior service benefit | 5 | |||
Amortization of prior service gain, pre- tax | (1) | (2) | (1) | |
Amortization of actuarial loss, pre-tax | 6 | 4 | 18 | 11 |
Settlement loss | 3 | 2 | 4 | 2 |
Effect of foreign exchange rates, pre-tax | 9 | (2) | 10 | 3 |
Benefit recognized in other comprehensive income | 17 | 4 | 32 | 15 |
Total changes in plan assets and benefit obligations recognized in other comprehensive income | $ 14 | $ 4 | $ 28 | $ 22 |
Long-term Employee Benefits (Na
Long-term Employee Benefits (Narrative) (Details) - Defined Benefit Pension Plan [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Contributions by employer | $ 2 | $ 4 | $ 15 | $ 12 |
Estimated future employer contributions in current fiscal year | $ 6 | $ 6 |
Segment Information - Schedule
Segment Information - Schedule of Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 1,390 | $ 1,628 | $ 4,173 | $ 5,174 |
Adjusted EBITDA | 282 | 474 | 906 | 1,525 |
Depreciation and amortization | 78 | 71 | 232 | 213 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,390 | 1,628 | 4,173 | 5,174 |
Adjusted EBITDA | 282 | 474 | 906 | 1,525 |
Depreciation and amortization | 69 | 63 | 208 | 192 |
Operating Segments [Member] | Fluoroproducts [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 636 | 682 | 2,034 | 2,213 |
Adjusted EBITDA | 122 | 182 | 461 | 619 |
Depreciation and amortization | 34 | 28 | 100 | 87 |
Operating Segments [Member] | Chemical Solutions [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 140 | 155 | 404 | 453 |
Adjusted EBITDA | 23 | 24 | 55 | 50 |
Depreciation and amortization | 5 | 5 | 18 | 15 |
Operating Segments [Member] | Titanium Technologies [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 614 | 791 | 1,735 | 2,508 |
Adjusted EBITDA | 137 | 268 | 390 | 856 |
Depreciation and amortization | $ 30 | $ 30 | $ 90 | $ 90 |
Segment Information - Narrative
Segment Information - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | $ 78 | $ 71 | $ 232 | $ 213 |
Corporate and Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | $ 8 | $ 8 | $ 24 | $ 21 |
Segment Information - Reconcili
Segment Information - Reconciliation of Segment Adjusted EBITDA from Segments to Consolidated Net Income Before Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting [Abstract] | ||||
Adjusted EBITDA | $ 282 | $ 474 | $ 906 | $ 1,525 |
Corporate and Other Adjusted EBITDA | (34) | (39) | (113) | (126) |
Interest expense, net | (53) | (47) | (156) | (148) |
Depreciation and amortization | (78) | (71) | (232) | (213) |
Non-operating pension and other post-retirement employee benefit (cost) income | (1) | 4 | 5 | 18 |
Exchange gains (losses), net | 5 | (6) | 2 | (4) |
Restructuring, asset-related, and other charges | (34) | (12) | (49) | (32) |
Loss on extinguishment of debt | 0 | 0 | 0 | (38) |
Gain on sales of assets and businesses | 9 | 0 | 11 | 45 |
Transaction costs | (1) | (9) | ||
Legal charges | (5) | (34) | (43) | (45) |
Income before income taxes | $ 91 | $ 269 | $ 330 | $ 973 |
Segment Information - Reconci_2
Segment Information - Reconciliation of Segment Adjusted EBITDA from Segments to Consolidated Net Income Before Income Taxes (Parenthetical) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Legal charges | $ 5 | $ 34 | $ 43 | $ 45 |
GenX and Other Perfluorinated and Polyfluorinated Compounds [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Legal charges | 2 | 36 | ||
Linden, New Jersey Site [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of asset | $ 42 | |||
Repauno, New Jersey Sites [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of asset | $ 9 | $ 9 |
Guarantor Condensed Consolida_3
Guarantor Condensed Consolidating Financial Information - Narrative (Details) | Sep. 30, 2019 | Dec. 31, 2018 |
6.625% Senior Unsecured Notes Due May 2023 [Member] | ||
Condensed Financial Statements Captions [Line Items] | ||
Debt instrument interest rate | 6.625% | 6.625% |
7.000% Senior Unsecured Notes Due May 2025 [Member] | ||
Condensed Financial Statements Captions [Line Items] | ||
Debt instrument interest rate | 7.00% | 7.00% |
4.000% Senior Unsecured Notes Due May 2026 [Member] | ||
Condensed Financial Statements Captions [Line Items] | ||
Debt instrument interest rate | 4.00% | 4.00% |
5.375% Senior Unsecured Notes Due May 2027 [Member] | ||
Condensed Financial Statements Captions [Line Items] | ||
Debt instrument interest rate | 5.375% | 5.375% |
Guarantor Condensed Consolida_4
Guarantor Condensed Consolidating Financial Information - Condensed Consolidating Statements of Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | $ 1,390 | $ 1,628 | $ 4,173 | $ 5,174 |
Cost of goods sold | 1,096 | 1,151 | 3,260 | 3,603 |
Gross profit | 294 | 477 | 913 | 1,571 |
Selling, general, and administrative expense | 130 | 163 | 423 | 466 |
Research and development expense | 20 | 20 | 61 | 61 |
Restructuring, asset-related, and other charges | 34 | 12 | 49 | 32 |
Total other operating expenses | 184 | 195 | 533 | 559 |
Equity in earnings of affiliates | 9 | 10 | 25 | 32 |
Equity in earnings (loss) of subsidiaries | 0 | 0 | 0 | 0 |
Interest (expense) income, net | (53) | (47) | (156) | (148) |
Intercompany interest income (expense), net | 0 | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | 0 | 0 | (38) |
Other income (expense), net | 25 | 24 | 81 | 115 |
Income before income taxes | 91 | 269 | 330 | 973 |
(Benefit from) provision for income taxes | 15 | (6) | 65 | 119 |
Net income | 76 | 275 | 265 | 854 |
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | 1 |
Net income attributable to Chemours | 76 | 275 | 265 | 853 |
Comprehensive income attributable to Chemours | 51 | 304 | 273 | 855 |
Eliminations and Adjustments [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | (330) | (462) | (1,089) | (1,390) |
Cost of goods sold | (336) | (452) | (1,093) | (1,390) |
Gross profit | 6 | (10) | 4 | 0 |
Selling, general, and administrative expense | (4) | (4) | (18) | (20) |
Research and development expense | 0 | 0 | 0 | 0 |
Restructuring, asset-related, and other charges | 0 | 0 | 0 | 0 |
Total other operating expenses | (4) | (4) | (18) | (20) |
Equity in earnings of affiliates | 0 | 0 | 0 | 0 |
Equity in earnings (loss) of subsidiaries | (105) | (307) | (361) | (985) |
Interest (expense) income, net | 0 | 0 | 0 | 0 |
Intercompany interest income (expense), net | 0 | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | 0 | ||
Other income (expense), net | (4) | (4) | (18) | (20) |
Income before income taxes | (99) | (317) | (357) | (985) |
(Benefit from) provision for income taxes | 0 | 0 | 0 | 0 |
Net income | (99) | (317) | (357) | (985) |
Less: Net income attributable to non-controlling interests | 0 | 0 | ||
Net income attributable to Chemours | (99) | (317) | (357) | (985) |
Comprehensive income attributable to Chemours | (49) | (354) | (338) | (985) |
Parent Issuer [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 0 | 0 | 0 | 0 |
Cost of goods sold | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Selling, general, and administrative expense | 4 | 5 | 19 | 28 |
Research and development expense | 0 | 0 | 0 | 0 |
Restructuring, asset-related, and other charges | 0 | 0 | 0 | 0 |
Total other operating expenses | 4 | 5 | 19 | 28 |
Equity in earnings of affiliates | 0 | 0 | 0 | 0 |
Equity in earnings (loss) of subsidiaries | 106 | 308 | 364 | 983 |
Interest (expense) income, net | (52) | (51) | (159) | (159) |
Intercompany interest income (expense), net | 11 | 13 | 28 | 35 |
Loss on extinguishment of debt | 0 | (38) | ||
Other income (expense), net | 6 | 2 | 20 | 22 |
Income before income taxes | 67 | 267 | 234 | 815 |
(Benefit from) provision for income taxes | (9) | (8) | (31) | (39) |
Net income | 76 | 275 | 265 | 854 |
Less: Net income attributable to non-controlling interests | 0 | 0 | ||
Net income attributable to Chemours | 76 | 275 | 265 | 854 |
Comprehensive income attributable to Chemours | 51 | 304 | 273 | 855 |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 810 | 987 | 2,544 | 3,071 |
Cost of goods sold | 739 | 769 | 2,215 | 2,403 |
Gross profit | 71 | 218 | 329 | 668 |
Selling, general, and administrative expense | 96 | 122 | 314 | 339 |
Research and development expense | 18 | 18 | 56 | 56 |
Restructuring, asset-related, and other charges | 22 | 12 | 37 | 31 |
Total other operating expenses | 136 | 152 | 407 | 426 |
Equity in earnings of affiliates | 0 | 0 | 0 | 0 |
Equity in earnings (loss) of subsidiaries | (1) | (1) | (3) | 2 |
Interest (expense) income, net | 0 | 1 | 1 | 2 |
Intercompany interest income (expense), net | 4 | 3 | 13 | 6 |
Loss on extinguishment of debt | 0 | 0 | ||
Other income (expense), net | 40 | 52 | 108 | 146 |
Income before income taxes | (22) | 121 | 41 | 398 |
(Benefit from) provision for income taxes | (6) | (31) | 7 | 31 |
Net income | (16) | 152 | 34 | 367 |
Less: Net income attributable to non-controlling interests | 0 | 0 | ||
Net income attributable to Chemours | (16) | 152 | 34 | 367 |
Comprehensive income attributable to Chemours | (16) | 152 | 34 | 367 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 910 | 1,103 | 2,718 | 3,493 |
Cost of goods sold | 693 | 834 | 2,138 | 2,590 |
Gross profit | 217 | 269 | 580 | 903 |
Selling, general, and administrative expense | 34 | 40 | 108 | 119 |
Research and development expense | 2 | 2 | 5 | 5 |
Restructuring, asset-related, and other charges | 12 | 0 | 12 | 1 |
Total other operating expenses | 48 | 42 | 125 | 125 |
Equity in earnings of affiliates | 9 | 10 | 25 | 32 |
Equity in earnings (loss) of subsidiaries | 0 | 0 | 0 | 0 |
Interest (expense) income, net | (1) | 3 | 2 | 9 |
Intercompany interest income (expense), net | (15) | (16) | (41) | (41) |
Loss on extinguishment of debt | 0 | 0 | ||
Other income (expense), net | (17) | (26) | (29) | (33) |
Income before income taxes | 145 | 198 | 412 | 745 |
(Benefit from) provision for income taxes | 30 | 33 | 89 | 127 |
Net income | 115 | 165 | 323 | 618 |
Less: Net income attributable to non-controlling interests | 0 | 1 | ||
Net income attributable to Chemours | 115 | 165 | 323 | 617 |
Comprehensive income attributable to Chemours | $ 65 | $ 202 | $ 304 | $ 618 |
Guarantor Condensed Consolida_5
Guarantor Condensed Consolidating Financial Information - Condensed Consolidating Balance Sheets (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||||||
Cash and cash equivalents | $ 694 | $ 1,201 | $ 1,275 | $ 1,556 | ||
Accounts and notes receivable, net | 832 | 861 | ||||
Intercompany receivables | 0 | 0 | ||||
Inventories | 1,223 | 1,147 | ||||
Prepaid expenses and other | 78 | 84 | ||||
Total current assets | 2,827 | 3,293 | ||||
Property, plant, and equipment | 9,274 | 8,992 | ||||
Less: Accumulated depreciation | (5,754) | (5,701) | ||||
Property, plant, and equipment, net | 3,520 | 3,291 | ||||
Operating lease right-of-use assets | 307 | |||||
Goodwill and other intangible assets, net | 176 | 181 | ||||
Investments in affiliates | 184 | 160 | ||||
Investments in subsidiaries | 0 | 0 | ||||
Intercompany notes receivable | 0 | 0 | ||||
Other assets | 442 | 437 | ||||
Total assets | 7,456 | 7,362 | ||||
Current liabilities: | ||||||
Accounts payable | 948 | 1,137 | ||||
Short-term and current maturities of long-term debt | 149 | 13 | ||||
Intercompany payables | 0 | 0 | ||||
Other accrued liabilities | 546 | 559 | ||||
Total current liabilities | 1,643 | 1,709 | ||||
Long-term debt, net | 4,007 | 3,959 | ||||
Operating lease liabilities | 254 | |||||
Intercompany notes payable | 0 | 0 | ||||
Deferred income taxes | 208 | 217 | ||||
Other liabilities | 501 | 457 | ||||
Total liabilities | 6,613 | 6,342 | ||||
Commitments and contingent liabilities | ||||||
Equity | ||||||
Total Chemours stockholders’ equity | 837 | 1,014 | ||||
Non-controlling interests | 6 | 6 | ||||
Total equity | 843 | $ 829 | 1,020 | 1,146 | $ 1,025 | 865 |
Total liabilities and equity | 7,456 | 7,362 | ||||
Eliminations and Adjustments [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 0 | 0 | ||||
Accounts and notes receivable, net | 0 | 0 | ||||
Intercompany receivables | (1,422) | (1,150) | ||||
Inventories | (83) | (85) | ||||
Prepaid expenses and other | 4 | 0 | ||||
Total current assets | (1,501) | (1,235) | ||||
Property, plant, and equipment | 0 | 0 | ||||
Less: Accumulated depreciation | 0 | 0 | ||||
Property, plant, and equipment, net | 0 | 0 | ||||
Goodwill and other intangible assets, net | 0 | 0 | ||||
Investments in affiliates | 0 | 0 | ||||
Investments in subsidiaries | (4,488) | (4,498) | ||||
Intercompany notes receivable | (1,250) | (1,150) | ||||
Other assets | 1 | (8) | ||||
Total assets | (7,238) | (6,891) | ||||
Current liabilities: | ||||||
Accounts payable | 0 | 0 | ||||
Short-term and current maturities of long-term debt | 0 | 0 | ||||
Intercompany payables | (1,422) | (1,150) | ||||
Other accrued liabilities | (1) | (1) | ||||
Total current liabilities | (1,423) | (1,151) | ||||
Long-term debt, net | 0 | 0 | ||||
Operating lease liabilities | 0 | |||||
Intercompany notes payable | (1,250) | (1,150) | ||||
Deferred income taxes | 0 | (16) | ||||
Other liabilities | 0 | 0 | ||||
Total liabilities | (2,673) | (2,317) | ||||
Commitments and contingent liabilities | ||||||
Equity | ||||||
Total Chemours stockholders’ equity | (4,565) | (4,574) | ||||
Non-controlling interests | 0 | 0 | ||||
Total equity | (4,565) | (4,574) | ||||
Total liabilities and equity | (7,238) | (6,891) | ||||
Parent Issuer [Member] | Reportable Legal Entities [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 0 | 0 | ||||
Accounts and notes receivable, net | 0 | 0 | ||||
Intercompany receivables | 19 | 2 | ||||
Inventories | 0 | 0 | ||||
Prepaid expenses and other | 0 | 0 | ||||
Total current assets | 19 | 2 | ||||
Property, plant, and equipment | 0 | 0 | ||||
Less: Accumulated depreciation | 0 | 0 | ||||
Property, plant, and equipment, net | 0 | 0 | ||||
Goodwill and other intangible assets, net | 0 | 0 | ||||
Investments in affiliates | 0 | 0 | ||||
Investments in subsidiaries | 4,339 | 4,487 | ||||
Intercompany notes receivable | 1,250 | 1,150 | ||||
Other assets | 7 | 17 | ||||
Total assets | 5,615 | 5,656 | ||||
Current liabilities: | ||||||
Accounts payable | 0 | 0 | ||||
Short-term and current maturities of long-term debt | 13 | 13 | ||||
Intercompany payables | 841 | 698 | ||||
Other accrued liabilities | 61 | 21 | ||||
Total current liabilities | 915 | 732 | ||||
Long-term debt, net | 3,862 | 3,902 | ||||
Operating lease liabilities | 0 | |||||
Intercompany notes payable | 0 | 0 | ||||
Deferred income taxes | 1 | 8 | ||||
Other liabilities | 0 | 0 | ||||
Total liabilities | 4,778 | 4,642 | ||||
Commitments and contingent liabilities | ||||||
Equity | ||||||
Total Chemours stockholders’ equity | 837 | 1,014 | ||||
Non-controlling interests | 0 | 0 | ||||
Total equity | 837 | 1,014 | ||||
Total liabilities and equity | 5,615 | 5,656 | ||||
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 143 | 239 | 457 | 761 | ||
Accounts and notes receivable, net | 70 | 297 | ||||
Intercompany receivables | 1,028 | 1,057 | ||||
Inventories | 660 | 483 | ||||
Prepaid expenses and other | 57 | 58 | ||||
Total current assets | 1,958 | 2,134 | ||||
Property, plant, and equipment | 7,074 | 6,870 | ||||
Less: Accumulated depreciation | (4,632) | (4,591) | ||||
Property, plant, and equipment, net | 2,442 | 2,279 | ||||
Operating lease right-of-use assets | 284 | |||||
Goodwill and other intangible assets, net | 162 | 167 | ||||
Investments in affiliates | 0 | 0 | ||||
Investments in subsidiaries | 149 | 11 | ||||
Intercompany notes receivable | 0 | 0 | ||||
Other assets | 151 | 154 | ||||
Total assets | 5,146 | 4,745 | ||||
Current liabilities: | ||||||
Accounts payable | 598 | 637 | ||||
Short-term and current maturities of long-term debt | 10 | 0 | ||||
Intercompany payables | 205 | 92 | ||||
Other accrued liabilities | 307 | 341 | ||||
Total current liabilities | 1,120 | 1,070 | ||||
Long-term debt, net | 92 | 57 | ||||
Operating lease liabilities | 240 | |||||
Intercompany notes payable | 0 | 0 | ||||
Deferred income taxes | 119 | 143 | ||||
Other liabilities | 421 | 372 | ||||
Total liabilities | 1,992 | 1,642 | ||||
Commitments and contingent liabilities | ||||||
Equity | ||||||
Total Chemours stockholders’ equity | 3,154 | 3,103 | ||||
Non-controlling interests | 0 | 0 | ||||
Total equity | 3,154 | 3,103 | ||||
Total liabilities and equity | 5,146 | 4,745 | ||||
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 551 | 962 | $ 818 | $ 795 | ||
Accounts and notes receivable, net | 762 | 564 | ||||
Intercompany receivables | 375 | 91 | ||||
Inventories | 646 | 749 | ||||
Prepaid expenses and other | 17 | 26 | ||||
Total current assets | 2,351 | 2,392 | ||||
Property, plant, and equipment | 2,200 | 2,122 | ||||
Less: Accumulated depreciation | (1,122) | (1,110) | ||||
Property, plant, and equipment, net | 1,078 | 1,012 | ||||
Operating lease right-of-use assets | 23 | |||||
Goodwill and other intangible assets, net | 14 | 14 | ||||
Investments in affiliates | 184 | 160 | ||||
Investments in subsidiaries | 0 | 0 | ||||
Intercompany notes receivable | 0 | 0 | ||||
Other assets | 283 | 274 | ||||
Total assets | 3,933 | 3,852 | ||||
Current liabilities: | ||||||
Accounts payable | 350 | 500 | ||||
Short-term and current maturities of long-term debt | 126 | 0 | ||||
Intercompany payables | 376 | 360 | ||||
Other accrued liabilities | 179 | 198 | ||||
Total current liabilities | 1,031 | 1,058 | ||||
Long-term debt, net | 53 | 0 | ||||
Operating lease liabilities | 14 | |||||
Intercompany notes payable | 1,250 | 1,150 | ||||
Deferred income taxes | 88 | 82 | ||||
Other liabilities | 80 | 85 | ||||
Total liabilities | 2,516 | 2,375 | ||||
Commitments and contingent liabilities | ||||||
Equity | ||||||
Total Chemours stockholders’ equity | 1,411 | 1,471 | ||||
Non-controlling interests | 6 | 6 | ||||
Total equity | 1,417 | 1,477 | ||||
Total liabilities and equity | $ 3,933 | $ 3,852 |
Guarantor Condensed Consolida_6
Guarantor Condensed Consolidating Financial Information - Condensed Consolidating Statements of Cash Flows (Details) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | |
Mar. 31, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Cash flows from operating activities | |||
Cash provided by (used for) operating activities | $ 250 | $ 881 | |
Cash flows from investing activities | |||
Purchases of property, plant, and equipment | (385) | (344) | |
Intercompany investing activities | 0 | 0 | |
Acquisition of business, net | (10) | (37) | |
Proceeds from sales of assets and businesses, net | $ 39 | 7 | 46 |
Foreign exchange contract settlements, net | 0 | 8 | |
Proceeds from life insurance policies | 1 | 0 | |
Cash used for investing activities | (387) | (327) | |
Cash flows from financing activities | |||
Proceeds from issuance of debt, net | 0 | 520 | |
Proceeds from revolving loan | 150 | 0 | |
Repayments on revolving loan | (150) | 0 | |
Proceeds from accounts receivable securitization facility | 125 | 0 | |
Debt repayments | (15) | (675) | |
Payments related to extinguishment of debt | 0 | (29) | |
Payments of debt issuance costs | 0 | (12) | |
Payments on finance leases | (2) | 0 | |
Purchases of treasury stock, at cost | (322) | (520) | |
Intercompany financing activities | 0 | 0 | |
Proceeds from exercised stock options, net | 8 | 15 | |
Payments related to tax withholdings on vested stock awards | (30) | (16) | |
Payments of dividends | (124) | (106) | |
Cash used for financing activities | (360) | (823) | |
Effect of exchange rate changes on cash and cash equivalents | (10) | (12) | |
(Decrease) increase in cash and cash equivalents | (507) | (281) | |
Cash and cash equivalents at January 1, | 1,201 | 1,556 | |
Cash and cash equivalents at September 30, | 694 | 1,275 | |
Eliminations and Adjustments [Member] | |||
Cash flows from operating activities | |||
Cash provided by (used for) operating activities | (239) | ||
Cash flows from investing activities | |||
Purchases of property, plant, and equipment | 0 | 0 | |
Intercompany investing activities | 307 | 821 | |
Proceeds from sales of assets and businesses, net | 0 | ||
Foreign exchange contract settlements, net | 0 | ||
Cash used for investing activities | 307 | 821 | |
Cash flows from financing activities | |||
Debt repayments | 0 | 0 | |
Purchases of treasury stock, at cost | 0 | ||
Intercompany financing activities | (68) | (821) | |
Proceeds from exercised stock options, net | 0 | 0 | |
Payments related to tax withholdings on vested stock awards | 0 | 0 | |
Payments of dividends | 0 | 0 | |
Cash used for financing activities | (68) | (821) | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
(Decrease) increase in cash and cash equivalents | 0 | 0 | |
Cash and cash equivalents at January 1, | 0 | ||
Cash and cash equivalents at September 30, | 0 | ||
Parent Issuer [Member] | Reportable Legal Entities [Member] | |||
Cash flows from operating activities | |||
Cash provided by (used for) operating activities | 163 | 2 | |
Cash flows from investing activities | |||
Purchases of property, plant, and equipment | 0 | 0 | |
Intercompany investing activities | 0 | 0 | |
Proceeds from sales of assets and businesses, net | 0 | ||
Foreign exchange contract settlements, net | 0 | ||
Cash used for investing activities | 0 | ||
Cash flows from financing activities | |||
Proceeds from issuance of debt, net | 520 | ||
Proceeds from revolving loan | 150 | ||
Repayments on revolving loan | (150) | ||
Debt repayments | (10) | (675) | |
Payments related to extinguishment of debt | (29) | ||
Payments of debt issuance costs | (12) | ||
Purchases of treasury stock, at cost | (322) | (520) | |
Intercompany financing activities | 315 | 821 | |
Proceeds from exercised stock options, net | 8 | 15 | |
Payments related to tax withholdings on vested stock awards | (30) | (16) | |
Payments of dividends | (124) | (106) | |
Cash used for financing activities | (163) | (2) | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
(Decrease) increase in cash and cash equivalents | 0 | 0 | |
Cash and cash equivalents at January 1, | 0 | ||
Cash and cash equivalents at September 30, | 0 | ||
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||
Cash flows from operating activities | |||
Cash provided by (used for) operating activities | (419) | (138) | |
Cash flows from investing activities | |||
Purchases of property, plant, and equipment | (324) | (259) | |
Intercompany investing activities | 37 | 76 | |
Acquisition of business, net | (10) | (37) | |
Proceeds from sales of assets and businesses, net | 5 | 46 | |
Foreign exchange contract settlements, net | 8 | ||
Proceeds from life insurance policies | 1 | ||
Cash used for investing activities | (291) | (166) | |
Cash flows from financing activities | |||
Debt repayments | (2) | 0 | |
Purchases of treasury stock, at cost | 0 | ||
Intercompany financing activities | 616 | ||
Proceeds from exercised stock options, net | 0 | 0 | |
Payments related to tax withholdings on vested stock awards | 0 | 0 | |
Payments of dividends | 0 | 0 | |
Cash used for financing activities | 614 | ||
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | |
(Decrease) increase in cash and cash equivalents | (96) | (304) | |
Cash and cash equivalents at January 1, | 239 | 761 | |
Cash and cash equivalents at September 30, | 143 | 457 | |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||
Cash flows from operating activities | |||
Cash provided by (used for) operating activities | 745 | 1,017 | |
Cash flows from investing activities | |||
Purchases of property, plant, and equipment | (61) | (85) | |
Intercompany investing activities | (344) | (897) | |
Proceeds from sales of assets and businesses, net | 2 | 0 | |
Foreign exchange contract settlements, net | 0 | ||
Cash used for investing activities | (403) | (982) | |
Cash flows from financing activities | |||
Proceeds from accounts receivable securitization facility | 125 | ||
Debt repayments | (3) | 0 | |
Payments on finance leases | (2) | ||
Purchases of treasury stock, at cost | 0 | ||
Intercompany financing activities | (863) | ||
Proceeds from exercised stock options, net | 0 | 0 | |
Payments related to tax withholdings on vested stock awards | 0 | 0 | |
Payments of dividends | 0 | 0 | |
Cash used for financing activities | (743) | ||
Effect of exchange rate changes on cash and cash equivalents | (10) | (12) | |
(Decrease) increase in cash and cash equivalents | (411) | 23 | |
Cash and cash equivalents at January 1, | 962 | 795 | |
Cash and cash equivalents at September 30, | $ 551 | $ 818 |
Guarantor Condensed Consolida_7
Guarantor Condensed Consolidating Financial Information - Condensed Consolidating Statements of Cash Flows (Details) (Parenthetical) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Condensed Cash Flow Statements Captions [Line Items] | ||
Proceeds from accounts receivable securitization facility | $ 125 | $ 0 |
Securitization Facility [Member] | ||
Condensed Cash Flow Statements Captions [Line Items] | ||
Proceeds from accounts receivable securitization facility | 494 | |
Securitization Facility [Member] | Guarantor Subsidiaries [Member] | Special Purpose Entity [Member] | ||
Condensed Cash Flow Statements Captions [Line Items] | ||
Proceeds from accounts receivable securitization facility | $ 616 |