INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of components of income taxes expense (benefit) from continuing operations



							(In Millions)
	2016			2015			2014
Income from continuing operations before income taxes:
U.S.	$	614		$	496		$	270
Foreign	216			193			237
	$	830		$	689		$	507
Income tax expense (benefit) on income from continuing operations:
Currently payable:
U.S. Federal	$	73		$	10		$	3
State and local	24			27			1
Foreign	69			56			67
Deferred:
U.S. Federal	140			192			(401		)
State and local	2			3			(21		)
Foreign	(12		)	5			(10		)
	$	296		$	293		$	(361	)
Deferred tax assets at December 31:
Receivables	$	10		$	9
Inventories	17			17
Other assets, including stock-based compensation	58			78
Accrued liabilities	53			77
Long-term liabilities	280			266
Net operating loss carryforward	51			39
Tax credit carryforward	9			55
	478			541
Valuation allowance	(45		)	(49		)
	433			492
Deferred tax liabilities at December 31:
Property and equipment	127			104
Intangibles	222			212
Investment in foreign subsidiaries	15			8
Other	21			1
	385			325
Net deferred tax asset at December 31	$	48		$	167

Schedule of reconciliation of the U.S. Federal statutory tax rate to the income tax expense (benefit) on income (loss) from continuing operations

A reconciliation of the U.S. Federal statutory tax rate to the income tax expense (benefit) on income from continuing operations was as follows:



	2016		2015		2014
U.S. Federal statutory tax rate – expense	35	%	35	%	35	%
State and local taxes, net of U.S. Federal tax benefit	2		3		(2	)
Lower taxes on foreign earnings	(2	)	(1	)	(5	)
U.S. and foreign taxes on distributed and undistributed foreign earnings	1		3		—
Domestic production deduction	(1	)	—		—
U.S. Federal valuation allowance	—		3		(98	)
Other, net	1		—		(1	)
Effective tax rate – expense (benefit)	36	%	43	%	(71	)%

Schedule of reconciliation of the beginning and ending liability for uncertain tax positions, including related interest and penalties

A reconciliation of the beginning and ending liability for uncertain tax positions, including related interest and penalties, is as follows, in millions:



	Uncertain Tax Positions			Interest and Penalties			Total
Balance at January 1, 2015	$	39		$	9		$	48
Current year tax positions:
Additions	10			—			10
Prior year tax positions:
Additions	1			—			1
Reductions	(1		)	—			(1		)
Lapse of applicable statute of limitations	(6		)	—			(6		)
Interest and penalties recognized in income tax expense	—			1			1
Balance at December 31, 2015	$	43		$	10		$	53
Current year tax positions:
Additions	11			—			11
Reductions	(1		)	—			(1		)
Prior year tax positions:
Additions	1			—			1
Reductions	(2		)	—			(2		)
Lapse of applicable statute of limitations	(6		)	—			(6		)
Interest and penalties recognized in income tax expense	—			(1		)	(1		)
Balance at December 31, 2016	$	46		$	9		$	55