XML 35 R22.htm IDEA: XBRL DOCUMENT v3.19.1
SEGMENT INFORMATION
3 Months Ended
Mar. 31, 2019
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION

Eastman's products and operations are managed and reported in four operating segments: Additives & Functional Products ("AFP"), Advanced Materials ("AM"), Chemical Intermediates ("CI"), and Fibers. The economic factors that impact the nature, amount, timing, and uncertainty of revenue and cash flows vary between the Company's business operating segments and the geographical regions in which they serve. For disaggregation of revenue by major product lines and regions for each business operating segment, see Note 19, "Segment Information", to the consolidated financial statements in Part II, Item 8 of the Company's 2018 Annual Report on Form 10-K. For additional financial information for each segment, see Part I, Item 1, "Business - Business Segments", in the Company's 2018 Annual Report on Form 10-K.

The timing of Eastman's customer billings does not always match the timing of revenue recognition. When the Company is entitled to bill a customer in advance of the recognition of revenue, a contract liability is recognized. When the Company is not entitled to bill a customer until a period after the related recognition of revenue, a contract asset is recognized. Contract assets represent the Company's right to consideration for the exchange of goods under a contract, but which are not yet billable to a customer for consignment inventory or pursuant to certain shipping terms. Contract liabilities were not material as of March 31, 2019 or December 31, 2018. Contract assets were $62 million as of March 31, 2019 and December 31, 2018 and are included as a component of "Miscellaneous receivables" in the Unaudited Consolidated Statements of Financial Position.

(Dollars in millions)
First Quarter
Sales by Segment
2019
 
2018
Additives & Functional Products
$
855

 
$
939

Advanced Materials
657

 
693

Chemical Intermediates
655

 
730

Fibers
213

 
245

Total Sales by Operating Segment
2,380

 
2,607

Other

 

Total Sales
$
2,380

 
$
2,607


(Dollars in millions)
First Quarter
Earnings Before Interest and Taxes by Segment
2019
 
2018
Additives & Functional Products
$
146

 
$
176

Advanced Materials
102

 
135

Chemical Intermediates
73

 
70

Fibers
42

 
43

Total Earnings Before Interest and Taxes by Operating Segment
363

 
424

Other
 

 
 

Growth initiatives and businesses not allocated to operating segments
(27
)
 
(26
)
Pension and other postretirement benefits income (expense), net not allocated to operating segments
12

 
21

Asset impairments and restructuring charges, net
(28
)
 
(2
)
Other income (charges), net not allocated to operating segments

 
(8
)
Total Earnings Before Interest and Taxes
$
320

 
$
409


(Dollars in millions)
March 31,
 
December 31,
Assets by Segment (1)
2019
 
2018
Additives & Functional Products
$
6,561

 
$
6,545

Advanced Materials
4,610

 
4,456

Chemical Intermediates
2,890

 
2,934

Fibers
1,050

 
978

Total Assets by Operating Segment
15,111

 
14,913

Corporate Assets
1,250

 
1,082

Total Assets
$
16,361

 
$
15,995


(1) 
Segment assets include accounts receivable, inventory, fixed assets, goodwill, and intangible assets.

(Dollars in millions)
First Quarter
Sales by Customer Location
2019
 
2018
United States and Canada
$
1,000

 
$
1,100

Asia Pacific
553

 
642

Europe, Middle East, and Africa
689

 
727

Latin America
138

 
138

Total Sales
$
2,380

 
$
2,607