Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Schedule of Components of Income Tax Expense (Benefit)

Income tax (benefit) expense detail for continuing operations for the years ended December 31, is as follows:

	2012			2011			2010
Current
Federal	$	—		$	—		$	—
State and local		(2	)		—			2
Foreign		12			30			45
Total current		10			30			47
Deferred
Federal		(365	)		(2	)		1
State and local		(8	)		—			—
Foreign		(2	)		(25	)		(13	)
Total deferred		(375	)		(27	)		(12	)
Income tax (benefit) expense	$	(365	)	$	3		$	35

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the differences between income taxes for continuing operations that were computed at the federal statutory tax rate of 35% and provisions for income taxes for the years ended December 31 follows:

	2012			2011			2010
Income tax (benefit) expense computed at federal statutory tax rate	$	(21	)	$	36		$	85
State tax provision, net of federal benefits		—			1			—
Foreign tax rate differential		8			(4	)		23
Foreign source (loss) income subject to U.S. taxation		(6	)		(15	)		25
Other income not deductible for tax		(14	)		(6	)		(69	)
Decrease in the taxes due to changes in valuation allowance		(302	)		(7	)		(55	)
Additional (benefit) tax on foreign unrepatriated earnings		(30	)		(2	)		1
Additional expense for uncertain tax positions		—			—			25
Changes in enacted tax rates		—			—			(1	)
Adjustments of prior year estimates and other		—			—			1
Income tax (benefit) expense	$	(365	)	$	3		$	35

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of the (loss) income from continuing operations before income taxes for the years ended December 31, is as follows:

	2012			2011		2010
Domestic	$	64		$	101	$	297
Foreign		(124	)		2		(53	)
Total	$	(60	)	$	103	$	244

Schedule of Deferred Tax Assets and Liabilities

The tax effects of significant temporary differences and net operating loss and credit carryforwards, which comprise the deferred tax assets and liabilities at December 31, is as follows:

	2012			2011
Assets
Non-pension post-employment	$	9		$	8
Accrued and other expenses		72			77
Property, plant and equipment		4			3
Loss and credit carryforwards		595			522
Pension liabilities		66			35
Gross deferred tax assets		746			645
Valuation allowance		(141	)		(432	)
Net deferred tax asset		605			213
Liabilities
Property, plant and equipment		(163	)		(168	)
Unrepatriated earnings of foreign subsidiaries		(57	)		(78	)
Intangibles		(34	)		(25	)
Gross deferred tax liabilities		(254	)		(271	)
Net deferred tax asset (liability)	$	351		$	(58	)

The following table summarizes the presentation of the net deferred tax asset (liability) in the Consolidated Balance Sheets at December 31:

	2012			2011
Assets
Current deferred income taxes (Other current assets)	$	21		$	10
Long-term deferred income taxes		348			4
Liabilities
Current deferred income taxes (Other current liabilities)		—			—
Long-term deferred income taxes		(18	)		(72	)
Net deferred tax asset (liability)	$	351		$	(58	)

Summary of Valuation Allowance

The following table summarizes the changes in the valuation allowance for the years ended December 31, 2012, 2011 and 2010:

	Balance at Beginning of Period		Changes in Related  Gross Deferred Tax Assets/Liabilities			Charge/Release			Balance at End  of Period
Valuation allowance on Deferred tax assets:
Year ended December 31, 2010	$	579	$	(45	)	$	(55	)	$	479
Year ended December 31, 2011		479		(40	)		(7	)		432
Year ended December 31, 2012		432		11			(302	)		141

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2012			2011
Balance at beginning of year	$	80		$	85
Additions based on tax positions related to the current year		8			2
Additions for tax positions of prior years		5			1
Reductions for tax positions of prior years		(2	)		(1	)
Settlements		—			(2	)
Foreign currency translation		1			(5	)
Balance at end of year	$	92		$	80