Related Party Disclosures (Tables)

3 Months Ended

Mar. 31, 2024

The following table summarizes UCC’s transactions with TDCC and a TDCC subsidiary related to product and services agreements for the three months ended March 31, 2024 and 2023:


Product and Services Agreements Transactions	Three Months Ended
	Mar 31, 2024		Mar 31, 2023		Income Statement Classification
In millions
Commodity and raw material purchases 1	$	260	$	319	Cost of sales
Commission expense	$	5	$	5	Sundry income (expense) - net
General administrative and overhead type services and service fee 2	$	15	$	17	Sundry income (expense) - net
Activity-based costs 3	$	148	$	26	Cost of sales

1.Period-end balances on hand are included in inventory. The decrease in purchase costs was primarily due to lower feedstock costs and the changes in cost flows resulting from UCC's divestiture of certain non-product producing infrastructure assets to another TDCC subsidiary in the fourth quarter of 2023 ("Infrastructure Divestment").

2.The decrease in services and fees resulted from TDCC's periodic review of its cost allocation for global services, partially offset by increases due to changes in cost flows and cost of site infrastructure services resulting from the Infrastructure Divestment.

3.The increase in activity-based costs was primarily due to the impact of the Infrastructure Divestment, as certain site infrastructure-related costs previously administered independently by the Corporation are now performed by another TDCC subsidiary and billed to the Corporation, and certain changes in other cost flows, also resulting from the Infrastructure Divestment. These costs include short-term lease cost of $3 million related to pipeline and site services for the three months ended March 31, 2024, included in Lease Cost in Note 8.

Dividends Declared

The following table summarizes cash dividends declared and paid to TDCC for the three months ended March 31, 2024 and 2023:


Cash Dividends Declared and Paid	Three Months Ended
	Mar 31, 2024		Mar 31, 2023
In millions

Cash dividends declared and paid	$	43	$	135