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Other Assets
 12 Months Ended
Dec. 31, 2016
Other Assets [Abstract]  
Other Assets
Other Assets
Other assets consist of the following at December 31:
 
 
2016
 
2015
 
Weighted
Average
Life
 
 
Cost
 
Accumulated
Amortization
 
Net
 
Cost
 
Accumulated
Amortization
 
Net
 
Goodwill
 
$
946,553

 
$
—

 
$
946,553

 
$
62,016

 
$
—

 
$
62,016

 
 
Customer relationships
 
662,080

 
(50,465
)
 
611,615

 
75,249

 
(22,572
)
 
52,677

 
10
Other intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Licenses and intellectual
   property
 
120,992

 
(44,035
)
 
76,957

 
79,699

 
(38,643
)
 
41,056

 
13
Trademarks
 
87,927

 
(6,841
)
 
81,086

 
39,085

 
(2,602
)
 
36,483

 
12
Other
 
31,038

 
(13,242
)
 
17,796

 
29,320

 
(8,148
)
 
21,172

 
11
   Total other intangible assets
 
239,957

 
(64,118
)
 
175,839

 
148,104

 
(49,393
)
 
98,711

 
 
Deferred charges and
   other assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost-method investments
 
108,938

 
—

 
108,938

 
51,334

 
—

 
51,334

 
 
Equity-method
   investments
 
21,522

 
—

 
21,522

 
9,208

 
—

 
9,208

 
 
Restricted cash
 
25,689

 
—

 
25,689

 
—

 
—

 
—

 
 
Turnaround costs
 
168,501

 
(74,671
)
 
93,830

 
111,078

 
(74,943
)
 
36,135

 
5
Deferred Taxes
 
12,526

 
—

 
12,526

 
—

 
—

 
—

 
 
Debt issuance costs
 
3,055

 
(210
)
 
2,845

 
11,915

 
(10,762
)
 
1,153

 
5
Other
 
82,287

 
(19,769
)
 
62,518

 
99,763

 
(20,968
)
 
78,795

 
8
   Total deferred charges and
      other assets
 
422,518

 
(94,650
)
 
327,868

 
283,298

 
(106,673
)
 
176,625

 
 
Other assets, net
 
$
2,271,108

 
$
(209,233
)
 
$
2,061,875

 
$
568,667

 
$
(178,638
)
 
$
390,029

 
 

Amortization expense on other assets of $73,757, $37,998 and $35,496 is included in the consolidated statements of operations for the years ended December 31, 2016, 2015 and 2014, respectively.
Scheduled amortization of intangible assets for the next five years is as follows: $99,011, $98,669, $97,648, $95,717 and $94,214 in 2017, 2018, 2019, 2020 and 2021, respectively.
Goodwill
Goodwill is tested for impairment at least annually, or when events or changes in circumstances indicate the fair value of a reporting unit with goodwill has been reduced below its carrying value. The Company performed its annual impairment tests for the Olefins and Vinyls segments' goodwill in October 2016 and April 2016, respectively, and the impairment tests indicated that the recorded goodwill was not impaired. There has been no impairment of the Olefins or Vinyls segments' goodwill since the goodwill was initially recorded. The gross carrying amounts of goodwill for the years ended December 31, 2016 and 2015 are as follows:
 
 
Olefins Segment
 
Vinyls Segment
 
Total
Balance at December 31, 2014
 
$
29,990

 
$
32,026

 
$
62,016

Balance at December 31, 2015
 
29,990

 
32,026

 
62,016

Goodwill acquired during the year
 
—

 
887,491

 
887,491

Effects of changes in foreign exchange rates
 
—

 
(2,954
)
 
(2,954
)
Balance at December 31, 2016
 
$
29,990

 
$
916,563

 
$
946,553


Olefins Segment Goodwill
The fair value of the Olefins segment, the reporting unit assessed, was calculated using both a discounted cash flow methodology and a market value methodology. The discounted cash flow projections were based on a nine-year forecast, from 2017 to 2025, to reflect the cyclicality of the Company's olefins business. The forecast was based on (1) prices and spreads projected by IHS Chemical, a chemical industry organization offering market and business advisory services for the chemical market, for the same period, and (2) estimates by management, including its strategic and operational plans. Other significant assumptions used in the discounted cash flow projection included sales volumes based on current capacities. The future cash flows were discounted to present value using a discount rate of 8.8%.
The significant assumptions used in determining the fair value of the reporting unit using the market value methodology include the determination of appropriate market comparables and the estimated multiples of EBITDA a willing buyer is likely to pay.
Even if the fair value of the Olefins segment decreased by 10%, the carrying value of the Olefins segment would not exceed its fair value.
Vinyls Segment Goodwill
The fair value of the pipe and foundation building products business, the reporting unit assessed during the April 2016 impairment test, was calculated using both a discounted cash flow methodology and a market value methodology. The discounted cash flow projections were based on a nine-year forecast, from 2016 to 2024, to reflect the cyclicality of the North American housing and construction markets as the Company's North American Vinyls business is significantly influenced by said markets. The forecast was based on historical results and estimates by management, including its strategic and operational plans, and assumed a gradual increase in financial performance based on a housing market recovery in the United States. The future cash flows were discounted to present value using a discount rate of 11.5%.
The significant assumptions used in determining the fair value of the reporting unit using the market value methodology include the determination of appropriate market comparables and the estimated multiples of EBITDA a willing buyer is likely to pay.
Even if the fair value of the reporting unit decreased by 10%, the carrying value of the reporting unit would not have exceeded its fair value.