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Other Expense (Income)
 12 Months Ended
Dec. 31, 2019
Other Income and Expenses [Abstract]  
OTHER EXPENSE (INCOME) OTHER EXPENSE (INCOME)
Other General Expense - Net
Included in Other general expense - net were the following:
 
2019
 
2018
 
2017
Provisions for environmental matters - net
$
23.0

 
$
176.3

 
$
15.4

Loss on sale or disposition of assets
16.1

 
12.8

 
5.5

Total
$
39.1

 
$
189.1

 
$
20.9


Provisions for environmental matters–net represent initial provisions for site-specific estimated costs of environmental investigation or remediation and increases or decreases to environmental-related accruals as information becomes available upon which more accurate costs can be reasonably estimated and as additional accounting guidelines are issued. During 2018, the Company reached a series of agreements on remediation plans at one of the Company's four major sites, resulting in a significant
increase to provisions for environmental matters–net for 2018. See Note 10 for further details on the Company’s environmental-related activities.
The loss on sale or disposition of assets represents the net realized losses associated with the sale or disposal of property, plant and equipment and intangible assets previously used in the conduct of the primary business of the Company.
Other Expense (Income) - Net
Included in Other expense (income) - net were the following:
 
2019
 
2018
 
2017
Dividend and royalty income
$
(12.0
)
 
$
(4.3
)
 
$
(7.6
)
Loss on extinguishment of debt (see Note 7)
14.8

 
 
 
 
Net expense from banking activities
10.7

 
9.7

 
9.8

Foreign currency transaction related losses
19.7

 
7.5

 
0.5

Domestic pension plan settlement expense
32.4

 
37.6

 


Miscellaneous pension expense (income)
8.0

 
(10.8
)
 
(15.7
)
Indirect tax credits
(38.7
)
 
 
 
 
Other income
(32.8
)
 
(32.2
)
 
(32.6
)
Other expense
14.6

 
12.6

 
12.9

Total
$
16.7

 
$
20.1

 
$
(32.7
)

The Net expense from banking activities includes the net expense relating to changes in the Company’s financing fees.
Foreign currency transaction related losses include the impact from foreign currency transactions and net realized losses from foreign currency option and forward contracts. There were no material foreign currency option and forward contracts outstanding at December 31, 2019, 2018 and 2017.
See Note 8 for information on the Domestic pension plan settlement expense and Miscellaneous pension expense (income).
Indirect tax credits includes a gain of $33.5 million recognized by Sherwin-Williams do Brasil Industria e Comercio Ltda. (Sherwin-Williams Brazil) in the fourth quarter of 2019 related to the recovery of certain social contribution (PIS/COFINS) taxes paid over gross sales including ICMS receipts, a type of state level value-added tax in Brazil. In 2014, Sherwin-Williams Brazil filed a lawsuit against the Brazilian tax authorities to challenge the inclusion of ICMS on the PIS/COFINS tax base. During 2019, Sherwin-Williams Brazil received a favorable final, non-appealable decision against the Brazilian tax authorities. Upon clarification regarding monetization of the credits, the Company recognized the benefit. The Brazilian Office of the Attorney General of the National Treasury has sought clarification from the Brazilian Federal Supreme Court of certain matters, including the amount (i.e. gross or net credit amount) and timing of these credits. Clarification is expected to be provided in the first half of 2020. If the Brazilian tax authorities challenge the amount or timing of these credits, the Company may become subject to new litigation related to the indirect tax credits already monetized or it could affect the Company's ability to monetize future indirect tax credits.
Other income and Other expense included items of revenue, gains, expenses and losses that were unrelated to the primary business purpose of the Company. There were no items within Other income or Other expense that were individually significant at December 31, 2019, 2018 and 2017.