<SEC-DOCUMENT>0000915389-16-000133.txt : 20160705
<SEC-HEADER>0000915389-16-000133.hdr.sgml : 20160705
<ACCEPTANCE-DATETIME>20160524151317
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0000915389-16-000133
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20160524

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			EASTMAN CHEMICAL CO
		CENTRAL INDEX KEY:			0000915389
		STANDARD INDUSTRIAL CLASSIFICATION:	PLASTICS, MATERIALS, SYNTH RESINS & NONVULCAN ELASTOMERS [2821]
		IRS NUMBER:				621539359
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		PO BOX 511
		STREET 2:		200 SOUTH WILCOX DRIVE
		CITY:			KINGSPORT
		STATE:			TN
		ZIP:			37660
		BUSINESS PHONE:		4232292000

	MAIL ADDRESS:	
		STREET 1:		P O BOX 511 B-54D
		CITY:			KINGSPORT
		STATE:			TN
		ZIP:			37662
</SEC-HEADER>
<DOCUMENT>
<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
<TEXT>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd">
<html>
	<head>
		<!-- Document created using Wdesk 1 -->
		<!-- Copyright 2016 Workiva -->
		<title>Document</title>
	</head>
	<body style="font-family:Times New Roman;font-size:10pt;">
<div><a name="sC39AF234E4B050A58F69232EE70AE777"></a></div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Eastman Chemical Company</font></div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">P.O. Box 431</font></div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Kingsport, TN 37660</font></div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Phone: (423) 229-8321</font></div><div style="line-height:120%;text-align:right;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">sking@eastman.com</font></div><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">May 24, 2016</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">VIA Electronic (EDGAR correspondence file) Supplemental Transmission</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Securities and Exchange Commission</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Division of Corporation Finance</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">100 F Street, N.E.</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Washington, D.C. 20549</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Attn:</font><font style="font-family:inherit;font-size:10pt;">&#160;&#160;&#160;&#160;</font><font style="font-family:inherit;font-size:12pt;">Terence O&#8217;Brien, Branch Chief, Office of Manufacturing and Construction </font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:0px;"><font style="font-family:inherit;font-size:12pt;">Re:</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Eastman Chemical Company</font></div></td></tr></table><div style="line-height:120%;text-align:left;padding-left:48px;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Form 10-K for Fiscal Year Ended December 31, 2015</font></div><div style="line-height:120%;text-align:left;padding-left:48px;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;"></font><font style="font-family:inherit;font-size:12pt;">Filed February 25, 2016</font></div><div style="line-height:120%;text-align:left;padding-left:48px;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;"></font><font style="font-family:inherit;font-size:12pt;">File No. 1-12626</font></div><div style="line-height:120%;text-align:left;padding-left:156px;text-indent:-156px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Dear Mr. O&#8217;Brien:</font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">On behalf of Eastman Chemical Company (&#8220;Eastman&#8221; or the &#8220;Company&#8221;), I submit our responses to the comments of the staff of the Division of Corporation Finance (the &#8220;Staff&#8221;), contained in the letter of the Staff addressed to Curtis E. Espeland dated May 11, 2016, with respect to the above-referenced filing (the &#8220;Form 10-K&#8221;).  Each of the Company&#8217;s responses to the Staff&#8217;s comments is preceded by the text of the comment in your letter.  All terms not defined in our responses have the meanings ascribed to those terms in the Form 10-K.</font></div><div style="line-height:120%;padding-bottom:16px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-style:italic;font-weight:bold;">Text of Staff Comment:</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Form 10-K For Fiscal Year Ended December 31, 2015 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Management&#8217;s Discussion and Analysis of Financial Condition and Results of Operations, 35 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Critical Accounting Estimates, page 35 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Pension and Other Postretirement Benefits, page 38 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:24px;"><font style="font-family:inherit;font-size:10pt;">1.</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">We note your disclosure that, in 2016, you will change the approach used to calculate service and interest cost components of net periodic benefit costs for your significant defined benefit pension and other postretirement benefit plans by applying the specific spot rates along the yield curve to the plans&#8217; projected cash flows. </font></div></td></tr></table><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><hr style="page-break-after:always"><div><a name="sA16D023216E15644AEBBE5B0A8167312"></a></div><div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Securities and Exchange Commission</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">May 24, 2016</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Page </font><font style="font-family:inherit;font-size:12pt;">2</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">We note you will account for this change as a change in accounting estimate and, accordingly, will account for it prospectively beginning in 2016.  Please tell us and disclose, to the extent material, the quantitative impact you expect the change to have on your fiscal year 2016 components of net periodic benefit costs.  Also, include in your response the impact the change had on your non-GAAP measures for the first quarter of 2016.  </font></div><div style="line-height:120%;text-align:left;padding-left:29px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;padding-left:29px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-style:italic;font-weight:bold;">Management Response</font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">The change in the approach used to calculate the service and interest cost components of net periodic benefit costs for the Company&#8217;s significant defined benefit pension and other postretirement benefit plans is expected to impact full-year 2016 pre-tax expense by increasing the service cost approximately $2 million and reducing interest cost approximately $22 million.  This net reduction would be offset by a mark-to-market loss of the same net amount to be recognized as part of the annual remeasurement of defined benefit pension and other postretirement benefit plans in the fourth quarter of 2016.  Since the net effect would be no change in total periodic benefit credit or cost for full year 2016, we concluded that the quantitative impact of the change in accounting on each component of net periodic benefit costs is not material to understanding the expected effect of the change in accounting on 2016 financial results and accordingly did not include these projected quantitative impacts in our disclosure of the change in the approach used to calculate the service and interest cost components of net periodic benefit costs in the Management&#8217;s Discussion &amp; Analysis in the Annual Report on Form 10-K for the year ended December 31, 2015. </font></div><div style="line-height:120%;text-align:left;padding-left:29px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Under the changed calculation of service and interest cost components of net periodic benefit costs, some of the costs that were included in reported interest costs in prior periods (expected to be approximately $22 million for full year 2016 as noted above) will instead be included as a loss in the annual mark-to-market net gain or loss, and some costs that will be included in service cost (expected to be approximately $2 million for full year 2016 as noted above) would in prior periods have been included in mark-to-market loss.  Accordingly, the difference in these two amounts (approximately $5 million in first quarter 2016 and expected to be approximately $20 million for full year 2016) will be included in the mark-to-market pension and other postretirement benefit plans net gain or loss that is excluded from GAAP earnings for 2016 in the alternative non-GAAP earnings measures.  </font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">We will include the actual amounts of service and interest cost components of net periodic benefit costs that are excluded from non-GAAP earnings for 2016 as a result of the changed calculation of service and interest cost components of net periodic benefit costs in our disclosure concerning the exclusion of the non-core item &#8220;MTM pension and other postretirement benefit plans gains and losses, net&#8221; from non-GAAP financial measures in the Management&#8217;s Discussion &amp; Analysis of the Annual Report on Form 10-K for the year ending December 31, 2016.  </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Securities and Exchange Commission</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">May 24, 2016</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Page </font><font style="font-family:inherit;font-size:12pt;">3</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Non-GAAP Financial Measures, page 41 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Non-GAAP Measures in this Annual Report, page 41 </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:24px;"><font style="font-family:inherit;font-size:12pt;">2.</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">We note your disclosure of non-core items which are excluded in your evaluation of certain results in your annual report.  Please expand your disclosure, as it relates to the item &#8220;mark-to-market pension and other postretirement gains and losses, net,&#8221; to quantify the amounts of actual and expected asset returns and the amount of net periodic pension cost that is included in the non-GAAP measure. </font></div></td></tr></table><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:center;padding-left:29px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-style:italic;font-weight:bold;">Management Response</font></div><div style="line-height:120%;text-align:left;padding-left:29px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">The Company disclosed for the year ended December 31, 2015 actual and expected asset returns related to mark-to-market accounting for pension and other post-retirement benefit plans gains and losses in &#8220;Management&#8217;s Discussion and Analysis of Financial Condition and Results of Operations, Critical Accounting Estimates, Pension and Other Postretirement Benefits&#8221;.  In future filings, the Company will enhance this disclosure to include three years of actual and expected return on assets and the amount of the net periodic credit or cost that is included in the non-GAAP measures in &#8220;Management&#8217;s Discussion and Analysis of Financial Condition and Results of Operations, Non-GAAP Financial Measures, Non-GAAP Financial Measures - Excluded Non-Core Items&#8221; in addition to such information elsewhere in MD&amp;A and the notes to the financial statements.  Following is how such enhanced disclosure would have been presented in the Form 10-K for the year ended December 31, 2015, with added text in </font><font style="font-family:inherit;font-size:12pt;font-style:italic;">italics</font><font style="font-family:inherit;font-size:12pt;">:</font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-style:italic;">The non-core item &#8220;mark-to-market pension and other postretirement benefits (gain) loss, net&#8221; does not include $4 million credit, $22 million cost, and $31 million cost for defined benefit pension and other postretirement benefit plans credits or costs for the years ended December 31, 2015, 2014, and 2013, respectively.  The calculated MTM gains and losses included expected amounts of and percentage returns on assets of approximately of $190 million (7%), $185 million (7.08%), and $170 million (7.13%) for the years ended December 31, 2015, 2014 and 2013, respectively, compared with actual amounts of and percentage returns on assets of approximately $15 million loss (-1%), $255 million (9%), and $275 million (11%) for the years ended December 31, 2015, 2014, and 2013, respectively.  </font><font style="font-family:inherit;font-size:12pt;">For more detail about MTM pension and other postretirement benefit plans net gains</font><font style="font-family:inherit;font-size:12pt;font-style:italic;">&#32;</font><font style="font-family:inherit;font-size:12pt;">and losses, including actual and expected return on plan assets and the components of the net gain or loss, see &#8220;Critical Accounting Estimates -- Pension and Other Postretirement Benefits&#8221; above and Note 11, &#8220;Retirement Plans - Summary of Changes -- </font><font style="font-family:inherit;font-size:12pt;font-style:italic;">Actuarial (gain) loss, Curtailment gain, Actual return on plan assets, and Reserve for third party contributions</font><font style="font-family:inherit;font-size:12pt;">&#8221; and - &#8220;Summary of Benefit Costs and Other Amounts Recognized in Other Comprehensive Income -- </font><font style="font-family:inherit;font-size:12pt;font-style:italic;">Curtailment gain and Mark-to-market pension and other postretirement benefits (gain) loss</font><font style="font-family:inherit;font-size:12pt;">&#8221; to the Company&#8217;s consolidated financial statements in Part II, Item 8 of this Annual Report.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Securities and Exchange Commission</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">May 24, 2016</font></div><div style="line-height:120%;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Page </font><font style="font-family:inherit;font-size:12pt;">4</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-bottom:16px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">*        *        *        *</font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;text-decoration:underline;">Management Acknowledgement</font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">The Company acknowledges that:</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:24px;"><font style="font-family:inherit;font-size:12pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">it is responsible for the adequacy and accuracy of the disclosure in its filings;</font></div></td></tr></table><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:24px;"><font style="font-family:inherit;font-size:12pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Staff comments or changes to disclosure in response to Staff comments do not foreclose the Securities and Exchange Commission from taking any action with respect to the filing; and</font></div></td></tr></table><div style="line-height:120%;text-align:left;padding-left:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:24px;"><font style="font-family:inherit;font-size:12pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">it may not assert Staff comments as a defense in any proceeding initiated by the Securities and Exchange Commission or any person under the federal securities laws of the United States. </font></div></td></tr></table><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;padding-bottom:16px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">*        *        *        *</font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">If you have additional questions or comments, please contact me at the above telephone number or e-mail address, or Brian L. Henry, the Company&#8217;s in-house attorney responsible for securities and disclosure matters, at 423-229-1295 (telephone) or blhenry@eastman.com (e-mail).  </font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Sincerely,</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">/s/ Scott V. King                                              </font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Scott V. King</font></div><div style="line-height:120%;padding-bottom:16px;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">VP, Corporate Controller &amp; Chief Accounting Officer</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">cc:       Tracie Mariner, Staff Accountant, SEC Division of Corporation Finance</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;"></font><font style="font-family:inherit;font-size:12pt;">Alfred Pavot, Staff Accountant, SEC Division of Corporation Finance</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;"></font><font style="font-family:inherit;font-size:12pt;">Curtis E. Espeland, Chief Financial Officer, Eastman Chemical Company</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">David A. Golden, Chief Legal Officer, Eastman Chemical Company</font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Brian L. Henry, Senior Securities-Governance Counsel, Eastman Chemical Company</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div><br></div><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div>	</body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
