NONCONSOLIDATED AFFILIATES AND RELATED COMPANY TRANSACTIONS (Tables)

12 Months Ended

Dec. 31, 2017

Equity Method Investments and Joint Ventures [Abstract]

Nonconsolidated Affiliates - Investments and Dividends [Table Text Block]

The Company’s investments in companies accounted for using the equity method (“nonconsolidated affiliates”), by classification in the consolidated balance sheets, and dividends received from nonconsolidated affiliates are shown in the following tables:



Investments in Nonconsolidated Affiliates at Dec 31	2017 ¹			2016 ¹
In millions	2017 ¹			2016 ¹
Investment in nonconsolidated affiliates	$	3,742		$	3,747
Other noncurrent obligations	(752		)	(1,030		)
Net investment in nonconsolidated affiliates	$	2,990		$	2,717

The carrying amount of the Company’s investments in nonconsolidated affiliates at December 31, 2017, was $32 million less than its share of the investees’ net assets, exclusive of additional differences for EQUATE and AFSI, which are discussed separately in the disclosures that follow. At December 31, 2016, the carrying amount of the Company’s investments in nonconsolidated affiliates was $62 million more than its share of the investees’ net assets, exclusive of additional differences relating to EQUATE and AFSI.



Dividends Received from Nonconsolidated Affiliates	2017 ¹		2016		2015
In millions	2017 ¹		2016		2015
Dividends from nonconsolidated affiliates	$	865	$	685	$	816

1. Includes a non-cash dividend of $8 million.

Balances Due To or Due From Nonconsolidated Affiliates [Table Text Block]

Balances due to or due from nonconsolidated affiliates at December 31, 2017 and 2016 are as follows:



Balances Due To or Due From Nonconsolidated Affiliates at Dec 31	2017		2016
In millions	2017		2016
Accounts and notes receivable - Other	$	474	$	388
Noncurrent receivables	283		267
Total assets	$	757	$	655
Notes payable	$	—	$	44
Accounts payable - Other ¹	1,260		400
Total current liabilities	$	1,260	$	444

1. Increase in "Accounts payable - Other" at December 31, 2017, compared with December 31, 2016, is primarily due to higher purchases from Sadara.

Equity Method Investment [Table Text Block]

The Company's principal nonconsolidated affiliates and its ownership interest (direct and indirect) for each at December 31, 2017, 2016 and 2015 are as follows:



Principal Nonconsolidated Affiliates at Dec 31	Ownership Interest
	2017		2016		2015
Dow Corning Corporation ¹	N/A		N/A		50	%
EQUATE Petrochemical Company K.S.C.	42.5	%	42.5	%	42.5	%
The HSC Group: ²
DC HSC Holdings LLC	50	%	50	%	N/A
Hemlock Semiconductor L.L.C.	50.1	%	50.1	%	N/A
The Kuwait Olefins Company K.S.C.	42.5	%	42.5	%	42.5	%
The Kuwait Styrene Company K.S.C.	42.5	%	42.5	%	42.5	%
Map Ta Phut Olefins Company Limited ³	32.77	%	32.77	%	32.77	%
Sadara Chemical Company	35	%	35	%	35	%
The SCG-Dow Group:
Siam Polyethylene Company Limited	50	%	50	%	50	%
Siam Polystyrene Company Limited	50	%	50	%	50	%
Siam Styrene Monomer Co., Ltd.	50	%	50	%	50	%
Siam Synthetic Latex Company Limited	50	%	50	%	50	%


1.	On June 1, 2016, Dow became the 100 percent owner of Dow Corning. See Note 4 for additional information.


2.	The HSC Group was previously part of the Dow Corning equity method investment and was added as principal nonconsolidated affiliates in the fourth quarter of 2016.


3.	The Company's effective ownership of Map Ta Phut Olefins Company Limited is 32.77 percent, of which the Company directly owns 20.27 percent and indirectly owns 12.5 percent through its equity interest in Siam Polyethylene Company Limited and Siam Synthetic Latex Company Limited.

The Company’s investment in and equity earnings from its principal nonconsolidated affiliates are shown in the tables below:



Investment in Principal Nonconsolidated Affiliates at Dec 31	2017			2016
In millions	2017			2016
Investment in nonconsolidated affiliates	$	3,323		$	3,029
Other noncurrent obligations	(752		)	(1,030		)
Net investment in principal nonconsolidated affiliates	$	2,571		$	1,999



Equity Earnings from Principal Nonconsolidated Affiliates	2017		2016 ¹		2015 ²
In millions	2017		2016 ¹		2015 ²
Equity in earnings of principal nonconsolidated affiliates	$	701	$	449	$	704


1.	Equity in earnings of principal nonconsolidated affiliates for 2016 includes the results of Dow Corning through May 31, 2016.


2.	Equity in earnings of principal nonconsolidated affiliates for 2015 includes the results of Univation through April 30, 2015.

Equity Method Investment Summarized Balance Sheet Information [Table Text Block]

The summarized financial information that follows represents the combined accounts (at 100 percent) of the principal nonconsolidated affiliates.



Summarized Balance Sheet Information at Dec 31	2017		2016 ¹
In millions	2017		2016 ¹
Current assets	$	8,039	$	6,092
Noncurrent assets	28,300		28,588
Total assets	$	36,339	$	34,680
Current liabilities	$	5,164	$	3,953
Noncurrent liabilities	22,240		23,223
Total liabilities	$	27,404	$	27,176
Noncontrolling interests	$	304	$	300


1.	The summarized balance sheet information for 2016 does not include Dow Corning.



Summarized Income Statement Information ¹	2017		2016 ²		2015 ³
In millions	2017		2016 ²		2015 ³
Sales	$	13,345	$	12,003	$	15,468
Gross profit	$	2,461	$	2,518	$	3,206
Net income	$	1,401	$	831	$	1,343

Equity Method Investment Summarized Income Statement Information [Table Text Block]



Summarized Income Statement Information ¹	2017		2016 ²		2015 ³
In millions	2017		2016 ²		2015 ³
Sales	$	13,345	$	12,003	$	15,468
Gross profit	$	2,461	$	2,518	$	3,206
Net income	$	1,401	$	831	$	1,343


1.	The results in this table reflect purchase and sale activity between certain principal nonconsolidated affiliates and the Company, as previously discussed in the "Transactions with Nonconsolidated Affiliates" section.


2.	The summarized income statement information for 2016 includes the results of Dow Corning through May 31, 2016.


3.	The summarized income statement information for 2015 includes the results of Univation through April 30, 2015 and MEGlobal through November 30, 2015.