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Related Party And Affiliate Transactions
12 Months Ended
Dec. 31, 2017
Related Party Transactions [Abstract]  
Related Party And Affiliate Transactions
Related Party and Affiliate Transactions
The Company leases office space for management and administrative services from an affiliate of the Company's principal stockholder. For the years ended December 31, 2017, 2016 and 2015, the Company incurred lease payments of approximately $3, $3 and $2, respectively.
Cypress Interstate Pipeline L.L.C., a natural gas liquids pipeline joint venture company in which the Company owns a 50% equity stake, transports natural gas liquid feedstocks to the Company's Lake Charles complex through its pipeline. The Company accounts for its investments in Cypress Interstate Pipeline L.L.C. under the equity method of accounting. The investment in Cypress Interstate Pipeline L.L.C. at December 31, 2017 and 2016 was $9 and $9, respectively. For the years ended December 31, 2017, 2016 and 2015, the Company incurred pipeline fees of approximately $15, $14 and $14, respectively, payable to this joint venture for usage of the pipeline. The amounts due to this joint venture were $1 and $1 at December 31, 2017 and 2016, respectively.
EPS Ethylene Pipeline Süd GmbH & Co. KG, an ethylene pipeline company in which the Company owns a 10% equity stake, transports ethylene feedstocks to the Company's Gendorf, Germany production facility through its pipeline. For the years ended December 31, 2017, 2016 and 2015, the Company incurred pipeline fees of approximately $0, $1 and $1, respectively, for usage of the pipeline. There were no outstanding amounts due to this related party at December 31, 2017 and 2016.
The Company owns a 15% and an 11% equity stake in InfraServ Knapsack GmbH & Co. KG and InfraServ Gendorf GmbH & Co. KG, respectively. The Company has service agreements with these entities, including contracts to provide electricity and technical services to certain of the Company's production facilities in Germany. The investment in Infraserv was $56 and $50 at December 31, 2017 and 2016, respectively. For the years ended December 31, 2017, 2016 and 2015, the Company incurred charges aggregating approximately $133, $131 and $116, respectively, for these services. The amounts accrued for these related parties were approximately $33 and $25 at December 31, 2017 and 2016, respectively.
The Company owns a 50% interest in Shriram Axiall Private Limited ("SAPL"), which the Company acquired as a result of the Merger. SAPL is a joint venture formed in April 2014 to facilitate the manufacture and sale of certain compound products in India. The Company accounts for its investments in SAPL under the equity method of accounting. The investment in SAPL at December 31, 2017 and 2016 was $0 and $2, respectively.
The Company owns a 50% interest in RS Cogen LLC ("RS Cogen"), which the Company acquired as a result of the Merger. RS Cogen operates a process steam, natural gas-fired cogeneration facility adjacent to the Lake Charles South Facility. The Company accounts for its investment in RS Cogen under the equity method of accounting. The investment in RS Cogen at December 31, 2017 and 2016 was $10 and $10, respectively. For the year ended December 31, 2017 and for the period from August 31, 2016 to December 31, 2016, the Company recorded purchases of approximately $26 and $9 from RS Cogen, respectively. The amount payable to this related party was approximately $2 and $1 at December 31, 2017 and 2016, respectively.
The Company owns a 50% interest in Vinyl Solutions, LLC ("Vinyl Solutions"), which the Company acquired as a result of the Merger. The Company accounts for its investments in Vinyl Solutions under the equity method of accounting. Vinyl Solutions is a compounding manufacturer of specialty compounds. For the year ended December 31, 2017 and for the period from August 31, 2016 to December 31, 2016, the Company recorded sales of $17 and $6, respectively, to Vinyl Solutions. The amount receivable from this related party was $7 and $5 at December 31, 2017 and 2016, respectively.
On June 17, 2015, Eagle US 2 LLC ("Eagle"), a wholly-owned subsidiary of Axiall, entered into an amended and restated limited liability company agreement with Lotte Chemical USA Corporation ("Lotte") related to the formation of LACC, LLC ("LACC"), which was formed by Eagle and Lotte to design, build and operate a 1 billion ton per year ethylene plant. Pursuant to a contribution and subscription agreement, dated as of June 17, 2015, between Eagle and LACC, Eagle has agreed to make a maximum capital commitment to LACC of up to $225 to fund the construction costs of the plant, representing a 10% interest in LACC. Eagle and Lotte also entered into a call option agreement, dated as of June 17, 2015, pursuant to which Eagle has the right, but not the obligation, until the third anniversary of the substantial completion of the plant, to acquire up to a 50% ownership interest in LACC from Lotte. The construction of the plant commenced in January 2016. The plant is being built adjacent to the Company's largest chlor-alkali chemical facility, located in Lake Charles, to take advantage of the Company's existing infrastructure, access to competitive feedstock resources and ethylene distribution infrastructure. The anticipated start-up for the plant is expected to be in the first quarter of 2019. The Company acquired this investment as a result of the Merger. As of December 31, 2017 and 2016, the Company's investment in LACC was $125 and $59, respectively. Total funding by the Company in LACC for the year ended December 31, 2017 and for the period from August 31, 2016 to December 31, 2016 amounted to $66 and $17, respectively. The amount receivable from LACC at December 31, 2017 and 2016 was approximately $0 and $1, respectively. The Company's investment in LACC is accounted for under the cost method.
Dividends received from equity method investments were $6, $5 and $6 for the years ended December 31, 2017, 2016 and 2015, respectively.
One of the Company's directors serves as Chairman and Chief Executive Officer of American Air Liquide Holdings, Inc. and as a Senior Vice President of the Air Liquide Group ("Air Liquide"). The Company purchased oxygen, nitrogen and utilities and leased cylinders from various affiliates of American Air Liquide Holdings, Inc. including Airgas and subsidiaries that were acquired in 2016 by Air Liquide aggregating approximately $30, $22 and $10 for the years ended December 31, 2017, 2016 and 2015, respectively. The Company also sold certain utilities to Air Liquide aggregating approximately $7 and $4 during the years ended December 31, 2017 and 2016, respectively. The amount payable to Air Liquide was $2 and $4 at December 31, 2017 and 2016, respectively, and the amount receivable from Air Liquide was $1 and $1 at December 31, 2017 and 2016, respectively.