XML 84 R9.htm IDEA: XBRL DOCUMENT v2.4.1.9
DISCONTINUED OPERATIONS
 12 Months Ended
Dec. 31, 2014
DISCONTINUED OPERATIONS [Abstract]  
DISCONTINUED OPERATIONS

NOTE 2: DISCONTINUED OPERATIONS

In 2005, we sold substantially all the assets of our Chemicals business to Basic Chemicals, a subsidiary of Occidental Chemical Corporation. In addition to the initial cash proceeds, Basic Chemicals was required to make payments under two earn-out agreements. During 2013, we received the final payment under the 5CP earn-out of $13,031,000. During 2012, we received an earn-out payment of $11,369,000. We were liable for a cash transaction bonus payable annually to certain former key Chemicals employees based on the prior year’s earn-out results. Payments for the transaction bonus were $1,303,000 in 2013 and $1,137,000 in 2012.

The financial results of the Chemicals business are classified as discontinued operations in the accompanying Consolidated Statements of Comprehensive Income for all periods presented. There were no revenues from discontinued operations for the years presented. Results from discontinued operations are as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

in thousands
2014 

 

 
2013 

 

 
2012 

 

Discontinued Operations

 

 

 

 

 

 

 

 

Pretax loss

$       (3,683)

 

 

$     (5,744)

 

 

$     (8,017)

 

Gain on disposal, net of transaction bonus
0 

 

 
11,728 

 

 
10,232 

 

Income tax (provision) benefit
1,460 

 

 
(2,358)

 

 
(882)

 

Earnings (loss) on discontinued operations,

 

 

 

 

 

 

 

 

 net of income taxes

$       (2,223)

 

 

$       3,626 

 

 

$       1,333 

 

 

The 2014, 2013 and 2012 pretax losses from discontinued operations of $3,683,000,  $5,744,000 and $8,017,000, respectively, were due primarily to general and product liability costs, including legal defense costs, and environmental remediation costs associated with our former Chemicals business.