Revenue (Tables)

6 Months Ended

Jun. 30, 2018

Revenue from Contract with Customer [Abstract]

Schedule of New Accounting Pronouncements

The cumulative effect of the adoption was recognized as an increase to retained earnings (accumulated deficit) of $1 million and the changes made to our consolidated January 1, 2018 opening balance sheet for the adoption of ASC Topic 606 were as follows:

	Balance at December 31, 2017			Adjustments Due to ASU 2014-09			Adjustments Due to ASU 2016-16 (a)			Balance at January 1, 2018
	(Millions)
Balance Sheet
Assets
Inventory	$	869		$	(5	)	$	—		$	864
Prepayments and other (including contract assets)	291			6			—			297
Equity
Retained earnings (accumulated deficit)	(946		)	1			(2		)	(947		)

(a) Cumulative effect of adopting Accounting Standard Update 2016-16, Income Taxes - Intra Entity Transfers of Assets Other Than Inventory (Topic 740). See Note 12, New Accounting Pronouncements for further information.

The following tables summarize the impacts of adopting ASC Topic 606 on the Company’s consolidated financial statements for the three and six month periods ended June 30, 2018:

	For the Three Months Ended June 30, 2018
	As Reported		Balances Without Adoption of ASC Topic 606		Effect of Change Higher/(Lower)
			(Millions)
Income Statement
Revenues
Net sales and operating revenues	$	2,537	$	2,537	$	—
Cost and expenses
Cost of sales (exclusive of depreciation and amortization)	2,159		2,159		—

	For the Six Months Ended June 30, 2018
	As Reported		Balances Without Adoption of ASC Topic 606		Effect of Change Higher/(Lower)
			(Millions)
Income Statement
Revenues
Net sales and operating revenues	$	5,111	$	5,109	$	2
Cost and expenses
Cost of sales (exclusive of depreciation and amortization)	4,357		4,355		2

	June 30, 2018
	As Reported			Balances Without Adoption of ASC Topic 606			Effect of Change Higher/(Lower)
				(Millions)
Balance Sheet
Assets
Inventory	$	898		$	906		$	(8	)
Prepayments and other (including contract assets)	348			328			20
Liabilities
Accrued Liabilities	326			315			11
Equity
Retained earnings (accumulated deficit)	(864		)	(865		)	1

	For the Three Months Ended June 30, 2018
	As Reported		Balances Without Adoption of ASC Topic 606		Effect of Change Higher/(Lower)
			(Millions)
Cash Flows
Operating Activities
Increase in inventories	$	19	$	27	$	(8	)
Increase in prepayments and other current assets	25		5		20
Increase in other current liabilities	33		22		11

	For the Six Months Ended June 30, 2018
	As Reported		Balances Without Adoption of ASC Topic 606		Effect of Change Higher/(Lower)
			(Millions)
Cash Flows
Operating Activities
Increase in inventories	$	53	$	61	$	(8	)
Increase in prepayments and other current assets	70		50		20
Increase in other current liabilities	30		19		11

Disaggregation of Revenue

Revenue from contracts with customers is disaggregated by product lines, as it depicts the nature and amount of the Company’s revenue that is aligned with the Company's key growth strategies. In the following table, revenue is disaggregated accordingly:

	Three Months Ended June 30, 2018
			Substrate		Value-add
	Total Revenues		Sales		Revenues
	(Millions)
Clean Air	$	1,694	$	621	$	1,073
Ride Performance	506		—		506
Aftermarket	337		—		337
Total Tenneco Inc.	$	2,537	$	621	$	1,916

	Six Months Ended June 30, 2018
			Substrate		Value-add
	Total Revenues		Sales		Revenues
	(Millions)
Clean Air	$	3,450	$	1,273	$	2,177
Ride Performance	1,019		—		1,019
Aftermarket	642		—		642
Total Tenneco Inc.	$	5,111	$	1,273	$	3,838