NONCONSOLIDATED AFFILIATES NONCONSOLIDATED AFFILIATES

3 Months Ended

Mar. 31, 2019

Equity Method Investments and Joint Ventures [Abstract]

NONCONSOLIDATED AFFILIATES

NONCONSOLIDATED AFFILIATES

TDCC's investments in companies accounted for using the equity method ("nonconsolidated affiliates"), by classification in the consolidated balance sheets, are shown in the following table:

Investments in Nonconsolidated Affiliates	Mar 31, 2019			Dec 31, 2018
In millions
Investment in nonconsolidated affiliates	$	3,321		$	3,823
Other noncurrent obligations	(870		)	(495		)
Net investment in nonconsolidated affiliates	$	2,451		$	3,328

HSC Group

The carrying value of TDCC's investments in the HSC Group, which includes Hemlock Semiconductor L.L.C. and DC HSC Holdings LLC, was adjusted as a result of the HSC Group's adoption of Topic 606. The resulting impact to TDCC's investments in the HSC Group was a reduction to "Investment in nonconsolidated affiliates" of $71 million and an increase to "Other noncurrent obligations" of $168 million, as well as an increase to "Deferred income tax assets" of $56 million and a reduction to "Retained earnings" of $183 million in the consolidated balance sheet at January 1, 2019. The following table reflects the carrying value of the HSC Group investments at March 31, 2019 and December 31, 2018:

Investment in the HSC Group		Investment
In millions	Balance Sheet Classification	Mar 31, 2019			Dec 31, 2018
Hemlock Semiconductor L.L.C.	Other noncurrent obligations	$	(658	)	$	(495	)
DC HSC Holdings LLC	Investment in nonconsolidated affiliates	$	485		$	535

EQUATE

In the first quarter of 2019, EQUATE Petrochemical Company K.S.C.C. ("EQUATE") paid a dividend of $440 million, reflected in "Earnings of nonconsolidated affiliates less than dividends received" in the consolidated statements of cash flows. As a result, TDCC had a negative investment balance in EQUATE of $212 million at March 31, 2019, classified as "Other noncurrent obligations" in the consolidated balance sheets. At December 31, 2018, TDCC had an investment balance in EQUATE of $131 million, classified as "Investment in nonconsolidated affiliates" in the consolidated balance sheets.