Supplemental Cash Flow Information

6 Months Ended

Jun. 30, 2012

Supplemental Cash Flow Information [Abstract]

SUPPLEMENTAL CASH FLOW INFORMATION

11. SUPPLEMENTAL CASH FLOW INFORMATION

In order to determine net cash provided by operating activities, net income is adjusted by, among other things, changes in current assets and current liabilities as follows (in millions):

	Six Months Ended June 30,
	2012			2011
Decrease (increase) in current assets:
Receivables, net	$	2,087		$	(1,422	)
Inventories	198			978
Income taxes receivable	(79		)	175
Prepaid expenses and other	(15		)	(3		)
Increase (decrease) in current liabilities:
Accounts payable	(1,413		)	1,147
Accrued expenses	(60		)	202
Taxes other than income taxes	67			(52		)
Income taxes payable	(60		)	122
Changes in current assets and current liabilities	$	725		$	1,147

The above changes in current assets and current liabilities differ from changes between amounts reflected in the applicable balance sheets for the respective periods for the following reasons:

• the amounts shown above exclude changes in cash and temporary cash investments, deferred income taxes, and current portion of debt and capital lease obligations, as well as the effect of certain noncash investing and financing activities discussed below;

• amounts accrued for capital expenditures and deferred turnaround and catalyst costs are reflected in investing activities when such amounts are paid;

• amounts accrued for common stock purchases in the open market that are not settled as of the balance sheet date are reflected in financing activities when the purchases are settled and paid; and

• certain differences between balance sheet changes and the changes reflected above result from translating foreign currency denominated balances at the applicable exchange rates as of each balance sheet date.

There were no significant noncash investing or financing activities for the six months ended June 30, 2012 or 2011.

Cash flows related to interest and income taxes were as follows (in millions):

	Six Months Ended June 30,
	2012		2011
Interest paid in excess of amount capitalized	$	164	$	221
Income taxes paid, net	204		10