Supplemental Data

Supplemental Income Statement Data



	Year Ended December 31
	2018		2017		2016
Advertising expense	$	655	$	648	$	665
Research expense	317		309		326

Equity Companies' Data



	Net Sales		Gross Profit		Operating Profit		Net Income		Corporation's Share of Net Income
2018	$	2,264	$	635	$	388	$	215	$	103
2017	2,191		627		378		214		104
2016	2,138		720		454		276		132
	Current Assets		Non-Current Assets		Current Liabilities		Non-Current Liabilities		Stockholders' Equity
2018	$	921	$	1,247	$	578	$	1,237	$	353
2017	828		1,232		415		1,125		520
2016	963		1,168		531		1,046		554

Equity companies are principally engaged in operations in the personal care and consumer tissue businesses. At December 31, 2018, our ownership interest in KCM and subsidiaries was 47.9 percent. KCM is partially owned by the public, and its stock is publicly traded in Mexico. At December 31, 2018, our investment in this equity company was $163, and the estimated fair value of the investment was $2.3 billion based on the market price of publicly traded shares. Our other equity ownership interests are not significant to our consolidated balance sheet or financial results.

At December 31, 2018, undistributed net income of equity companies included in consolidated retained earnings was $1.0 billion.

Supplemental Balance Sheet Data



	December 31
Summary of Accounts Receivable, Net	2018			2017
From customers	$	2,050		$	2,203
Other	167			168
Less allowance for doubtful accounts and sales discounts	(53		)	(56		)
Total	$	2,164		$	2,315



	December 31
	2018								2017
Summary of Inventories by Major Class	LIFO			Non- LIFO		Total			LIFO			Non- LIFO		Total
Raw materials	$	99		$	263	$	362		$	87		$	258	$	345
Work in process	120			94		214			110			103		213
Finished goods	461			692		1,153			421			684		1,105
Supplies and other	—			275		275			—			303		303
	680			1,324		2,004			618			1,348		1,966
Excess of FIFO or weighted-average cost over LIFO cost	(191		)	—		(191		)	(176		)	—		(176		)
Total	$	489		$	1,324	$	1,813		$	442		$	1,348	$	1,790

Inventories are valued at the lower of cost or net realizable value, determined on the FIFO or weighted-average cost methods, and at the lower of cost or market, determined on the LIFO cost method.



	December 31
Summary of Property, Plant and Equipment, Net	2018			2017
Land	$	169		$	173
Buildings	2,787			2,830
Machinery and equipment	14,059			14,612
Construction in progress	699			300
	17,714			17,915
Less accumulated depreciation	(10,555		)	(10,479		)
Total	$	7,159		$	7,436

Property, plant and equipment, net in the U.S. as of December 31, 2018 and 2017 was $3,625 and $3,591, respectively.



	December 31
Summary of Accrued Expenses	2018		2017
Accrued advertising and promotion	$	399	$	394
Accrued salaries and wages	369		449
Accrued rebates	239		227
Accrued taxes - income and other	260		249
Accrued restructuring	118		—
Accrued interest	75		68
Derivatives	14		45
Other	319		298
Total	$	1,793	$	1,730

Supplemental Cash Flow Statement Data



Summary of Cash Flow Effects of Operating Working Capital	Year Ended December 31
Summary of Cash Flow Effects of Operating Working Capital	2018			2017			2016
Accounts receivable	$	33		$	(44	)	$	(23	)
Inventories	(127		)	(33		)	230
Trade accounts payable	392			174			(61		)
Accrued expenses	115			(102		)	26
Accrued income taxes	64			(176		)	121
Derivatives	30			(47		)	43
Currency and other	(118		)	80			(2		)
Total	$	389		$	(148	)	$	334



	Year Ended December 31
Other Cash Flow Data	2018		2017		2016
Interest paid	$	264	$	354	$	315
Income taxes paid	395		961		744