Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Component of Income Taxes Expenses

	Years ended December 31,
	2011			2012			2013
	(In millions)
Pre-tax income (loss) from continuing operations:
United States	$	51.6		$	89.0		$	(70.4	)
Non-U.S. subsidiaries		409.2			212.4			(147.5	)
Total	$	460.8		$	301.4		$	(217.9	)
Expected tax expense (benefit)  at U.S. federal statutory income tax rate of 35%	$	161.3		$	105.4		$	(76.3	)
Non-U.S. tax rates		(17.1	)		(11.9	)		4.3
Incremental U.S. tax on earnings of non-U.S. and non-tax group companies		28.8			1.0			(18.5	)
U.S. state income taxes, net		4.0			1.3			(3.4	)
Adjustment to the reserve for uncertain tax positions, net		(8.5	)		4.2			2.1
Nondeductible expenses		3.7			4.3			2.9
Tax rate changes		(.1	)		1.9			(.2	)
French dividend surtax		—			.3			—
Other, net		(2.2	)		(1.7	)		(1.9	)
Provision for income taxes (benefit)	$	169.9		$	104.8		$	(91.0	)

Components of income tax expense (benefit):
Currently payable (refundable):
U.S. federal and state	$	8.0	$	.9	$	9.1
Non-U.S.		78.7		42.6		(1.2	)
Total		86.7		43.5		7.9
Deferred income taxes (benefit):
U.S. federal and state		28.6		34.5		(57.9	)
Non-U.S.		54.6		26.8		(41.0	)
Total		83.2		61.3		(98.9	)
Provision for income taxes (benefit)	$	169.9	$	104.8	$	(91.0	)

Comprehensive provision for income taxes (benefit) allocable to:
Income (loss) from continuing operations	$	169.9		$	104.8		$	(91.0	)
Income from discontinued operations		5.0			5.4			—
Other comprehensive income (loss):
Marketable securities		7.7			(11.6	)		5.1
Currency translation		—			4.9			5.5
Pension plans		(6.5	)		(18.3	)		14.1
OPEB plans		(1.0	)		(.7	)		1.0
Total	$	175.1		$	84.5		$	(65.3	)

Components of Net Deferred Tax Liability

The components of the net deferred tax liability at December 31, 2012 and 2013 are summarized below.

	December 31,
	2012						2013
	Assets			Liabilities			Assets			Liabilities
	(In millions)
Tax effect of temporary differences related to:
Inventories	$	3.6		$	(10.3	)	$	4.4		$	(2.6	)
Marketable securities		—			(164.8	)		—			(145.8	)
Property and equipment		—			(104.5	)		—			(115.8	)
Accrued OPEB costs		6.9			—			4.6			—
Accrued pension costs		33.3			—			21.8			—
Accrued environmental liabilities		16.9			—			40.1			—
Other deductible differences		26.2			—			58.8			—
Other taxable differences		—			(30.3	)		—			(35.1	)
Investments in subsidiaries and affiliates		—			(258.3	)		—			(280.6	)
Tax on unremitted earnings of non-U.S. subsidiaries		—			(7.6	)		—			(2.6	)
Tax loss and tax credit carryforwards		153.0			—			191.8			—
Valuation allowance		(.2	)		—			(.1	)		—
Adjusted gross deferred tax assets (liabilities)		239.7			(575.8	)		321.4			(582.5	)
Netting of items by tax jurisdiction		(109.8	)		109.8			(149.2	)		149.2
		129.9			(466.0	)		172.2			(433.3	)
Less net current deferred tax asset (liability)		9.6			(11.2	)		23.0			(2.2	)
Net noncurrent deferred tax asset (liability)	$	120.3		$	(454.8	)	$	149.2		$	(431.1	)

Changes in Uncertain Tax Positions

The following table shows the changes in the amount of our uncertain tax positions (exclusive of the effect of interest and penalties) during 2011, 2012 and 2013:

	Years ended December 31,
	2011			2012			2013
	(In millions)
Unrecognized tax benefits:
Amount beginning of year	$	37.4		$	23.0		$	33.4
Net increase:
Tax positions taken in prior periods		.5			1.1			.5
Tax positions taken in current period		6.0			11.0			11.3
Settlements with taxing authorities—cash paid		—			(.1	)		—
Lapse due to applicable statute of limitations		(20.6	)		(1.8	)		3.4
Acquisition of BMI and Landwell		—			—			.1
Changes in currency exchange rates		(.3	)		.2			(.8	)
Amount at end of year	$	23.0		$	33.4		$	47.9