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STOCKHOLDERS' EQUITY
 9 Months Ended
Sep. 30, 2016
Stockholders' Equity Note [Abstract]  
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY

A reconciliation of the changes in stockholders' equity for first nine months 2016 is provided below:
(Dollars in millions)
Common Stock at Par Value
 
Paid-in Capital
 
Retained Earnings
 
Accumulated Other Comprehensive Income (Loss)
 
Treasury Stock at Cost
 
Total Stockholders' Equity Attributed to Eastman
 
Noncontrolling Interest
 
Total Stockholders' Equity
Balance at December 31, 2015
$
2

 
$
1,863

 
$
5,146

 
$
(390
)
 
$
(2,680
)
 
$
3,941

 
$
80

 
$
4,021

Net Earnings
—

 
—

 
738

 
—

 
—

 
738

 
3

 
741

Cash Dividends Declared (1)
($1.38 per share)
—

 
—

 
(204
)
 
—

 
—

 
(204
)
 
—

 
(204
)
Other Comprehensive Income (2)
—

 
—

 
—

 
42

 
—

 
42

 
—

 
42

Share-Based Compensation Expense (3)
—

 
27

 
—

 
—

 
—

 
27

 
—

 
27

Stock Option Exercises
—

 
17

 
—

 
—

 
—

 
17

 
—

 
17

Share Repurchase
—

 
—

 
—

 
—

 
(120
)
 
(120
)
 
—

 
(120
)
Distributions to Noncontrolling Interest
—

 
—

 
—

 
—

 
—

 
—

 
(8
)
 
(8
)
Balance at September 30, 2016
$
2

 
$
1,907

 
$
5,680

 
$
(348
)
 
$
(2,800
)
 
$
4,441

 
$
75

 
$
4,516



(1) 
Cash dividends declared includes cash dividends paid and dividends declared, but unpaid.
(2) 
See Note 1, "Basis of Presentation" regarding correction of prior period foreign currency translation.
(3) 
Share-based compensation expense is the fair value of share-based awards.

Accumulated Other Comprehensive Income (Loss), Net of Tax
 
 
 
 
(Dollars in millions)
Cumulative Translation Adjustment
 
Benefit Plans Unrecognized Prior Service Credits
 
Unrealized Gains (Losses) on Derivative Instruments
 
Unrealized Losses on Investments
 
Accumulated Other Comprehensive Income (Loss)
Balance at December 31, 2014
$
(68
)
 
$
61

 
$
(269
)
 
$
(1
)
 
$
(277
)
Period change
(216
)
 
68

 
35

 
—

 
(113
)
Balance at December 31, 2015
(284
)
 
129

 
(234
)
 
(1
)
 
(390
)
Period change (1)
(6
)
 
(21
)
 
69

 
—

 
42

Balance at September 30, 2016
$
(290
)
 
$
108

 
$
(165
)
 
$
(1
)
 
$
(348
)


(1) 
See Note 1, "Basis of Presentation" regarding correction of prior period foreign currency translation.

Amounts of other comprehensive income (loss) are presented net of applicable taxes. The Company recognizes deferred income taxes on the cumulative translation adjustment related to branch operations and income from other entities included in the Company's consolidated U.S. tax return. No deferred income taxes are provided on the cumulative translation adjustment of other subsidiaries outside the United States, as such cumulative translation adjustment is considered to be a component of indefinitely invested, unremitted earnings of these foreign subsidiaries.

Components of other comprehensive income recognized in the Unaudited Consolidated Statements of Earnings, Comprehensive Income and Retained Earnings are presented below, before tax and net of tax effects:
 
Third Quarter
 
2016
 
2015
(Dollars in millions)
Before Tax
 
Net of Tax
 
Before Tax
 
Net of Tax
Other comprehensive income (loss)
 
 
 
 
 
 
 
Change in cumulative translation adjustment (1)
$
(42
)
 
$
(42
)
 
$
(47
)
 
$
(47
)
Defined benefit pension and other postretirement benefit plans:
 
 
 
 
 
 
 

Amortization of unrecognized prior service credits included in net periodic costs (2)
(12
)
 
(7
)
 
(7
)
 
(4
)
Derivatives and hedging: (3)
 
 
 
 
 
 
 

Unrealized loss during period
(11
)
 
(7
)
 
(107
)
 
(66
)
Reclassification adjustment for losses included in net income, net
30

 
19

 
55

 
34

Total other comprehensive income (loss)
$
(35
)
 
$
(37
)
 
$
(106
)
 
$
(83
)
 
 
 
 
 
 
 
 
 
First Nine Months
 
2016
 
2015
(Dollars in millions)
Before Tax
 
Net of Tax
 
Before Tax
 
Net of Tax
Other comprehensive income (loss)
 
 
 
 
 
 
 
Change in cumulative translation adjustment (1)
$
(6
)
 
$
(6
)
 
$
(183
)
 
$
(183
)
Defined benefit pension and other postretirement benefit plans:
 
 
 
 
 
 
 

Amortization of unrecognized prior service credits included in net periodic costs (2)
(34
)
 
(21
)
 
(24
)
 
(15
)
Derivatives and hedging:(3)
 
 
 
 
 
 
 

Unrealized gain (loss) during period
21

 
13

 
(44
)
 
(27
)
Reclassification adjustment for losses included in net income, net
90

 
56

 
90

 
56

Total other comprehensive income (loss)
$
71

 
$
42

 
$
(161
)
 
$
(169
)


(1) 
See Note 1, "Basis of Presentation" regarding correction of prior period foreign currency translation.
(2) 
Included in the calculation of net periodic benefit costs for pension and other postretirement benefit plans. See Note 9, "Retirement Plans".
(3) 
For additional information regarding the impact of reclassifications into earnings, see Note 8, "Derivative and Non-Derivative Financial Instruments".