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Segment and Geographic Information
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment and Geographic Information Segment and Geographic Information
Segment Information
The Company has two principal operating segments, Performance and Essential Materials and Housing and Infrastructure Products. These segments are strategic business units that offer a variety of different materials and products. The Company manages each segment separately as each business requires different technology and marketing strategies. The Company had historically operated in two principal operating segments, Vinyls and Olefins. In conjunction with the acquisitions in 2021 discussed in Note 2, and a resulting significant increase in the size of the Company's housing and infrastructure products operations, the Company reorganized its business into two principal operating segments, Performance and Essential Materials and Housing and Infrastructure Products, during the fourth quarter of 2021. These reporting changes have been retrospectively reflected in the segment results for all periods presented.
The Company's Performance and Essential Materials segment manufactures and markets polyethylene, styrene monomer, ethylene co-products, PVC, VCM, ethylene dichloride ("EDC"), chlor-alkali (chlorine and caustic soda), chlorinated derivative products and epoxy resins. The Company's ethylene production is used in the Company's polyethylene, styrene and VCM operations. In addition, the Company sells ethylene and ethylene co-products, primarily propylene, crude butadiene, pyrolysis gasoline and hydrogen, to external customers. The Company's primary North American manufacturing facilities are located in its Calvert City, Kentucky; Lake Charles, Plaquemine and Geismar, Louisiana; Longview and Deer Park, Texas; Lakeland, Florida and Argo, Illinois sites. The Company's primary European facilities are located in Germany and the Netherlands. The Company produces ethylene and polyethylene at its facilities in Lake Charles, Louisiana; Calvert City, Kentucky and Longview, Texas. The Company produces chlorine, caustic soda, VCM, EDC, PVC, hydrogen and chlorinated derivative materials at its facilities in Lake Charles, Plaquemine and Geismar, Louisiana; Calvert City, Kentucky; Natrium, West Virginia; Longview, Washington; Beauharnois, Quebec; Aberdeen, Mississippi and in Germany. Epoxy resins primarily comprise of Epoxy Specialty Resins and Base Epoxy Resins and Intermediaries. Epoxy Specialty Resins are produced at manufacturing facilities in Duisburg and Esslingen in Germany; Argo and Lakeland in the United States; one plant in Spain and one plant in South Korea. Base Epoxy Resins and Intermediaries are produced at Company's facilities plants in Pernis, the Netherlands and Deer Park, United States. In addition, the Company also has other manufacturing facilities and product development facilities in North America, Europe and Asia.
No single customer accounted for more than 10% of sales in the Performance and Essential Materials segment for the years ended December 31, 2022, 2021 or 2020.
The Housing and Infrastructure Products segment manufactures and markets products including residential siding, trim and mouldings, stone, roofing, windows, outdoor living products, PVC pipe and fittings and PVC compounds. As of December 31, 2022, the Company owned or leased 73 manufacturing facilities in North America, Europe and Asia. The Company's North American PVC facilities within the Performance and Essential Materials segment supply most of the PVC required for the building products and pipes and fittings plants. The raw materials for stone, roofing and accessories, windows, shutters and specialty tool products are externally purchased. PVC required for the PVC compounds plants is either internally sourced from Company's North American or Asian facilities or externally purchased at market prices based on the location of the plants.
No single customer accounted for more than 10% of sales in the Housing and Infrastructure Products segment for the years ended December 31, 2022, 2021 or 2020.
The accounting policies of the individual segments are the same as those described in Note 1.
Year Ended December 31,
202220212020
Net external sales
Performance and Essential Materials
Performance Materials$6,964 $5,997 $3,428 
Essential Materials4,044 2,673 2,037 
Total Performance and Essential Materials11,008 8,670 5,465 
Housing and Infrastructure Products
Housing Products3,864 2,334 1,497 
Infrastructure Products922 774 542 
Total Housing and Infrastructure Products4,786 3,108 2,039 
$15,794 $11,778 $7,504 
Intersegment sales
Performance and Essential Materials$908 $798 $432 
Housing and Infrastructure Products— — — 
$908 $798 $432 
Income (loss) from operations
Performance and Essential Materials$2,416 $2,549 $231 
Housing and Infrastructure Products675 356 256 
Corporate and other(41)(105)(58)
$3,050 $2,800 $429 
Depreciation and amortization
Performance and Essential Materials$784 $665 $637 
Housing and Infrastructure Products263 168 128 
Corporate and other9 7 8 
$1,056 $840 $773 
Other income, net
Performance and Essential Materials$37 $33 $30 
Housing and Infrastructure Products17 10 4 
Corporate and other19 10 10 
$73 $53 $44 
Provision for (benefit from) income taxes
Performance and Essential Materials$435 $542 $(122)
Housing and Infrastructure Products185 80 71 
Corporate and other29 (15)9 
$649 $607 $(42)
Capital expenditures
Performance and Essential Materials$913 $567 $462 
Housing and Infrastructure Products187 88 55 
Corporate and other8 3 8 
$1,108 $658 $525 
A reconciliation of total segment income from operations to consolidated income before income taxes is as follows:
Year Ended December 31,
202220212020
Income from operations for reportable segments$3,050 $2,800 $429 
Interest expense(177)(176)(142)
Other income, net73 53 44 
Income before income taxes$2,946 $2,677 $331 

December 31, 2022December 31, 2021
Total assets
Performance and Essential Materials$13,978 $11,938 
Housing and Infrastructure Products5,022 5,021 
Corporate and other1,550 1,500 
$20,550 $18,459 
Geographic Information
Year Ended December 31,
202220212020
Net sales to external customers (1)
United States$10,899 $8,157 $5,100 
Foreign
Canada1,051 980 601 
Germany875 628 458 
China262 216 173 
Italy200 181 103 
Taiwan126 95 74 
Other2,381 1,521 995 
$15,794 $11,778 $7,504 

December 31, 2022December 31, 2021
Long-lived assets
United States$7,203 $6,633 
Foreign
Germany749 634 
Other573 339 
$8,525 $7,606 

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(1)Net sales are attributed to countries based on location of customer.