18. Subsidiary Guarantor Information for Shelf Registration

Under a registration statement on Form S-3, Koppers Holdings may sell a combination of securities, including common stock, debt securities, preferred stock, depository shares, warrants and units, from time to time in one or more offerings. In addition, Koppers Inc. may sell debt securities from time to time under the registration statement. Debt securities may be fully and unconditionally guaranteed, on a joint and several basis, by Koppers Holdings, Koppers Inc. and/or other guarantor subsidiaries which will correspond to certain subsidiaries in the United States, Europe and Australia which are 100 percent owned by either Koppers Holdings or Koppers Inc. The non-guarantor subsidiaries consist of certain subsidiaries in the United States, China, India and Mauritius. The guarantor subsidiaries that issue guarantees, if any, will be determined when a debt offering actually occurs under the registration statement and accordingly, the condensed consolidated financial information for subsidiary guarantors will be revised to identify the subsidiaries that actually provided guarantees.

Separate condensed consolidating financial statement information for the parent, Koppers Inc., domestic guarantor subsidiaries, foreign guarantor subsidiaries and non-guarantor subsidiaries as of September 30, 2013 and December 31, 2012 and for the three and nine months ended September 30, 2013 and 2012 is as follows. Certain amounts have been reclassified in the Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2012 to reflect affiliated dividends and affiliated interest income.

Condensed Consolidating Statement of Comprehensive Income

For the Three Months Ended September 30, 2013


	Parent			Koppers Inc.		Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
(Dollars in millions)
Net sales	$	0.0		$	230.1	$	11.9	$	120.7		$	43.4	$	(10.9	)	$	395.2
Cost of sales including depreciation and amortization		0.0			197.5		7.2		103.6			40.5		(11.0	)		337.8
Selling, general and administrative		0.5			10.8		0.1		5.5			1.4		0.0			18.3

Operating profit (loss)		(0.5	)		21.8		4.6		11.6			1.5		0.1			39.1
Other income (expense)		19.4			0.4		1.1		0.7			0.1		(20.4	)		1.3
Interest expense (income)		0.0			6.7		0.2		0.6			0.2		(1.0	)		6.7
Income taxes		(0.2	)		10.2		0.0		3.8			0.3		0.0			14.1

Income from continuing operations		19.1			5.3		5.5		7.9			1.1		(19.3	)		19.6
Discontinued operations		0.0			0.0		0.0		(0.1	)		0.0		0.0			(0.1	)
Noncontrolling interests		0.0			0.0		0.0		0.0			0.4		0.0			0.4

Net income attributable to Koppers	$	19.1		$	5.3	$	5.5	$	7.8		$	0.7	$	(19.3	)	$	19.1

Comprehensive income attributable to Koppers	$	25.8		$	6.4	$	5.7	$	13.2		$	1.3	$	(26.6	)	$	25.8

Condensed Consolidating Statement of Comprehensive Income

For the Three Months Ended September 30, 2012


	Parent			Koppers Inc.		Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
(Dollars in millions)
Net sales	$	0.0		$	238.2	$	15.1	$	118.6	$	29.2		$	(13.2	)	$	387.9
Cost of sales including depreciation and amortization					211.0		9.3		102.3		27.4			(11.9	)		338.1
Selling, general and administrative		0.4			11.6		0.4		5.6		1.0			0.0			19.0

Operating profit (loss)		(0.4	)		15.6		5.4		10.7		0.8			(1.3	)		30.8
Other income (expense)		16.3			0.4		0.3		0.1		(0.2	)		(16.3	)		0.6
Interest expense (income)		0.1			6.9		0.0		1.0		0.2			(1.3	)		6.9
Income taxes		(0.2	)		7.0		0.1		1.4		0.0			0.0			8.3

Income from continuing operations		16.0			2.1		5.6		8.4		0.4			(16.3	)		16.2
Discontinued operations		0.0			0.0		0.0		0.0		0.0			0.0			0.0
Noncontrolling interests		0.0			0.0		0.0		0.0		0.2			0.0			0.2

Net income attributable to Koppers	$	16.0		$	2.1	$	5.6	$	8.4	$	0.2		$	(16.3	)	$	16.0

Comprehensive income attributable to Koppers	$	25.0		$	3.3	$	8.1	$	14.3	$	0.4		$	(26.1	)	$	25.0

Condensed Consolidating Statement of Comprehensive Income

For the Nine Months Ended September 30, 2013


	Parent			Koppers Inc.		Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
(Dollars in millions)
Net sales	$	0.0		$	660.3	$	48.5	$	348.6		$	123.9	$	(44.8	)	$	1,136.5
Cost of sales including depreciation and amortization		0.0			580.6		34.3		305.7			116.1		(44.9	)		991.8
Selling, general and administrative		1.5			29.7		0.7		16.8			3.5		0.0			52.2

Operating profit (loss)		(1.5	)		50.0		13.5		26.1			4.3		0.1			92.5
Other income (expense)		45.4			1.3		6.3		0.8			0.7		(51.7	)		2.8
Interest expense (income)		0.0			20.2		0.1		2.5			0.6		(3.2	)		20.2
Income taxes		(0.6	)		21.3		0.2		7.4			1.0		0.0			29.3

Income from continuing operations		44.5			9.8		19.5		17.0			3.4		(48.4	)		45.8
Discontinued operations		0.0			0.0		0.0		(0.1	)		0.0		0.0			(0.1	)
Noncontrolling interests		0.0			0.0		0.0		0.0			1.2		0.0			1.2

Net income attributable to Koppers	$	44.5		$	9.8	$	19.5	$	16.9		$	2.2	$	(48.4	)	$	44.5

Comprehensive income attributable to Koppers	$	40.8		$	13.0	$	12.9	$	14.4		$	2.8	$	(43.1	)	$	40.8

Condensed Consolidating Statement of Comprehensive Income

For the Nine Months Ended September 30, 2012


	Parent			Koppers Inc.		Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
(Dollars in millions)
Net sales	$	0.0		$	689.1	$	73.0	$	355.4		$	111.3	$	(48.7	)	$	1,180.1
Cost of sales including depreciation and amortization		0.0			601.9		49.2		309.6			103.3		(39.7	)		1,024.3
Selling, general and administrative		1.3			33.0		1.6		16.7			2.5		0.0			55.1

Operating profit (loss)		(1.3	)		54.2		22.2		29.1			5.5		(9.0	)		100.7
Other income (expense)		52.9			0.4		0.8		0.1			0.4		(52.9	)		1.7
Interest expense (income)		0.1			20.7		0.0		3.0			0.9		(3.9	)		20.8
Income taxes		(0.5	)		20.5		0.3		7.5			0.7		0.0			28.5

Income from continuing operations		52.0			13.4		22.7		18.7			4.3		(58.0	)		53.1
Discontinued operations		0.0			0.0		0.0		(0.1	)		0.0		0.0			(0.1	)
Noncontrolling interests		0.0			0.0		0.0		0.0			1.0		0.0			1.0

Net income attributable to Koppers	$	52.0		$	13.4	$	22.7	$	18.6		$	3.3	$	(58.0	)	$	52.0

Comprehensive income attributable to Koppers	$	59.8		$	16.9	$	24.9	$	21.4		$	3.3	$	(66.5	)	$	59.8

Condensed Consolidating Balance Sheet

September 30, 2013


	Parent		Koppers Inc.			Domestic Guarantor Subsidiaries			Foreign Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
(Dollars in millions)
ASSETS
Cash and cash equivalents	$	0.0	$	8.0		$	0.0		$	48.3	$	16.1		$	0.0		$	72.4
Restricted cash		0.0		0.0			1.5			0.0		0.0			0.0			1.5
Accounts receivable, net		6.7		100.1			339.8			58.7		34.2			(357.4	)		182.1
Inventories, net		0.0		79.5			0.0			79.9		7.2			(0.2	)		166.4
Deferred tax assets		0.0		16.2			(1.5	)		0.0		0.0			0.0			14.7
Other current assets		0.0		6.5			1.8			10.6		16.2			0.0			35.1

Total current assets		6.7		210.3			341.6			197.5		73.7			(357.6	)		472.2
Equity investments		161.3		80.8			27.3			36.4		4.2			(303.8	)		6.2
Property, plant and equipment, net		0.0		105.1			0.0			41.0		23.3			0.0			169.4
Goodwill		0.0		39.8			0.0			32.3		1.3			0.0			73.4
Deferred tax assets		0.0		20.1			(12.4	)		6.5		(1.6	)		0.0			12.6
Other noncurrent assets		0.1		15.6			120.2			10.4		41.1			(160.1	)		27.3

Total assets	$	168.1	$	471.7		$	476.7		$	324.1	$	142.0		$	(821.5	)	$	761.1

LIABILITIES AND EQUITY
Accounts payable	$	0.1	$	384.3		$	14.7		$	32.9	$	20.3		$	(357.4	)	$	94.9
Accrued liabilities		4.6		17.1			10.5			30.3		9.6			0.0			72.1

Total current liabilities		4.7		401.4			25.2			63.2		29.9			(357.4	)		167.0
Long-term debt		0.0		398.5			0.0			57.9		0.0			(160.0	)		296.4
Other long-term liabilities		0.0		81.1			2.4			22.7		6.8			0.0			113.0

Total liabilities		4.7		881.0			27.6			143.8		36.7			(517.4	)		576.4
Koppers shareholders’ equity		163.4		(409.3	)		449.1			180.3		84.0			(304.1	)		163.4
Noncontrolling interests		0.0		0.0			0.0			0.0		21.3			0.0			21.3

Total liabilities and equity	$	168.1	$	471.7		$	476.7		$	324.1	$	142.0		$	(821.5	)	$	761.1

Condensed Consolidating Balance Sheet

December 31, 2012


	Parent		Koppers Inc.			Domestic Guarantor Subsidiaries			Foreign Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
(Dollars in millions)
ASSETS
Cash and cash equivalents	$	0.0	$	4.8		$	0.0		$	40.7	$	21.2		$	0.0		$	66.7
Receivables, net		6.9		89.9			324.9			65.9		21.2			(346.1	)		162.7
Inventories, net		0.0		102.2			0.0			86.7		7.2			(0.3	)		195.8
Deferred tax assets		0.0		16.4			(1.5	)		0.0		0.2			0.0			15.1
Other current assets		0.0		8.0			2.8			17.6		12.5			0.0			40.9

Total current assets		6.9		221.3			326.2			210.9		62.3			(346.4	)		481.2
Equity investments		148.7		77.1			27.3			30.2		3.8			(281.3	)		5.8
Property, plant and equipment, net		0.0		105.7			0.0			40.7		14.7			0.0			161.1
Goodwill		0.0		39.8			0.0			34.4		1.4			0.0			75.6
Deferred tax assets		0.0		33.5			(12.4	)		7.6		(1.5	)		0.0			27.2
Other noncurrent assets		0.0		15.8			126.7			12.1		40.3			(165.8	)		29.1

Total assets	$	155.6	$	493.2		$	467.8		$	335.9	$	121.0		$	(793.5	)	$	780.0

LIABILITIES AND EQUITY
Accounts payable	$	0.1	$	371.7		$	17.0		$	42.2	$	18.6		$	(346.1	)	$	103.5
Accrued liabilities		4.9		15.9			12.2			35.7		9.0			0.0			77.7

Total current liabilities		5.0		387.6			29.2			77.9		27.6			(346.1	)		181.2
Long-term debt		0.0		397.6			0.0			64.4		0.0			(165.9	)		296.1
Other long-term liabilities		0.0		101.2			2.4			24.5		6.5			0.0			134.6

Total liabilities		5.0		886.4			31.6			166.8		34.1			(512.0	)		611.9
Koppers shareholders’ equity		150.6		(393.2	)		436.2			169.1		69.4			(281.5	)		150.6
Noncontrolling interests		0.0		0.0			0.0			0.0		17.5			0.0			17.5

Total liabilities and equity	$	155.6	$	493.2		$	467.8		$	335.9	$	121.0		$	(793.5	)	$	780.0

Condensed Consolidating Statement of Cash Flows

For the Nine Months Ended September 30, 2013


	Parent			Koppers Inc.			Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
(Dollars in millions)
Cash provided by (used in) operating activities	$	32.6		$	39.7		$	0.0	$	14.9		$	1.9		$	(23.5	)	$	65.6
Cash provided by (used in) investing activities:
Capital expenditures and acquisitions		0.0			(13.3	)		0.0		(6.6	)		(9.5	)		0.0			(29.4	)
Net cash proceeds (payments) from divestitures and asset sales		0.0			1.4			0.0		1.1			(0.1	)		0.0			2.4

Net cash provided by (used in) investing activities		0.0			(11.9	)		0.0		(5.5	)		(9.6	)		0.0			(27.0	)
Cash provided by (used in) financing activities:
Deferred financing costs		0.0			(1.2	)		0.0		0.0			0.0			0.0			(1.2	)
Dividends paid		(15.3	)		(23.5	)		0.0		0.0			0.0			23.5			(15.3	)
Other financing activities		0.0			0.0			0.0		0.0			2.3			0.0			2.3
Stock issued (repurchased)		(17.3	)		0.0			0.0		0.0			0.0			0.0			(17.3	)

Net cash provided by (used in) financing activities		(32.6	)		(24.7	)		0.0		0.0			2.3			23.5			(31.5	)
Effect of exchange rates on cash		0.0			0.1			0.0		(1.8	)		0.3			0.0			(1.4	)

Net increase (decrease) in cash and cash equivalents		0.0			3.2			0.0		7.6			(5.1	)		0.0			5.7
Cash and cash equivalents at beginning of year		0.0			4.8			0.0		40.7			21.2			0.0			66.7

Cash and cash equivalents at end of period	$	0.0		$	8.0		$	0.0	$	48.3		$	16.1		$	0.0		$	72.4

Condensed Consolidating Statement of Cash Flows

For the Nine Months Ended September 30, 2012


	Parent			Koppers Inc.			Domestic Guarantor Subsidiaries		Foreign Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
(Dollars in millions)
Cash provided by (used in) operating activities	$	21.8		$	32.0		$	0.0	$	21.5		$	(6.0	)	$	(14.8	)	$	54.5
Cash provided by (used in) investing activities:
Capital expenditures and acquisitions		0.0			(12.2	)		0.0		(3.2	)		(0.4	)		0.0			(15.8	)
Net cash proceeds (payments) from divestitures and asset sales		0.0			0.3			0.0		0.3			0.1			0.0			0.7

Net cash provided by (used in) investing activities		0.0			(11.9	)		0.0		(2.9	)		(0.3	)		0.0			(15.1	)
Cash provided by (used in) financing activities:
Borrowings (repayments) of long-term debt		0.1			(5.0	)		0.0		0.0			(0.1	)		0.0			(5.0	)
Deferred financing costs		0.0			(0.1	)		0.0		0.0			0.0			0.0			(0.1	)
Stock issued (repurchased)		(7.4	)		0.0			0.0		0.0			0.0			0.0			(7.4	)
Dividends paid		(14.5	)		(14.8	)		0.0		0.0			0.0			14.8			(14.5	)

Net cash provided by (used in) financing activities		(21.8	)		(19.9	)		0.0		0.0			(0.1	)		14.8			(27.0	)
Effect of exchange rates on cash		0.0			(0.1	)		0.0		2.5			0.0			0.0			2.4

Net increase (decrease) in cash and cash equivalents		0.0			0.1			0.0		21.1			(6.4	)		0.0			14.8
Cash and cash equivalents at beginning of year		0.0			0.0			0.0		45.1			9.0			0.0			54.1

Cash and cash equivalents at end of period	$	0.0		$	0.1		$	0.0	$	66.2		$	2.6		$	0.0		$	68.9