Discontinued Operations

3 Months Ended

Mar. 31, 2014

Discontinued Operations

Discontinued Operations

B. In the first quarter of 2013, the Company determined that Tvilum, its Danish ready-to-assemble cabinet business, was no longer core to its long-term growth strategy and, accordingly, the Company embarked on a plan for disposition.  The disposition of Tvilum was completed in the fourth quarter of 2013.  The Company has accounted for this business as a discontinued operation.

Selected financial information for the discontinued operations, during the period owned by the Company, was as follows, in millions:

	Three Months Ended
	March 31, 2013
Net Sales	$	59
Operating loss from discontinued operations	$	(3	)
Impairment of assets	(10		)
Loss on disposal of discontinued operations, net	—
Loss before income tax	(13		)
Income tax benefit	(4		)
Loss from discontinued operations	$	(9	)

In the first quarter of 2014, the Company recognized $2 million of additional expenses related to prior discontinued operations.

During the first quarter of 2013, the Company estimated the fair value of the business held for sale, using unobservable inputs (Level 3).  After considering the deferred gains reported in Accumulated Other Comprehensive Income, the Company recorded an impairment of $10 million in the first quarter of 2013.