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SEGMENT INFORMATION
 12 Months Ended
Dec. 31, 2016
Segment Reporting [Abstract]  
SEGMENT INFORMATION
SEGMENT INFORMATION

The Company's products and operations are managed and reported in four operating segments: Additives & Functional Products ("AFP"), Advanced Materials ("AM"), Chemical Intermediates ("CI"), and Fibers.

Additives & Functional Products Segment

In the AFP segment, the Company manufactures chemicals for products in the coatings, tires, consumables, building and construction, industrial applications including solar energy markets, animal nutrition, care chemicals, crop protection, and energy markets.
 
Percentage of Total Segment Sales
Product Lines
2016
2015
2014
Coatings and Inks Additives
24%
24%
31%
Adhesives Resins
21%
21%
27%
Tire Additives
17%
17%
22%
Other
38%
38%
20%
Total
100%
100%
100%

The products Eastman manufactures in the coatings and inks additives product line can be broadly classified as polymers, which include cellulosics, Eastman Tetrashield™ performance polyester resins, and other polyester-based specialty polymers and paint additives; and solvents, which include specialty coalescents, ketones, esters, glycol ethers, and alcohol solvents. The adhesives resins product line consists of hydrocarbon resins such as Regalite® and Eastotac®; non-hydrogenated hydrocarbons resins such as Piccotac®; and polymers such as Eastoflex®. The tire additives product line include insoluble sulfur products, which are vulcanizing agents principally marketed under the Crystex® brand; antidegradants, principally marketed under the Santoflex® brand; and performance resins marketed under the ImperaTM brand. The care chemicals additives business consists of amine-derivative based building blocks for the production of flocculants and intermediates for surfactants. In the specialty fluids product line, the Company produces Therminol® heat transfer fluids, Eastman Turbo Oils, Eastman Skydrol® aviation hydraulic fluids, and Eastman SkyKleen® aviation solvents. The animal nutrition business consists of formic acid based solutions product lines. The crop protection business consists of alkylamine derivatives product lines.

Advanced Materials Segment

In the AM segment, the Company produces and markets its polymers, films, and plastics with differentiated performance properties for value-added end uses in transportation, consumables, building and construction, durable goods, and health and wellness markets.
 
Percentage of Total Segment Sales
Product Lines
2016
2015
2014
Specialty Plastics
50%
51%
54%
Advanced Interlayers
34%
33%
34%
Performance Films
16%
16%
12%
Total
100%
100%
100%

The specialty plastics product line consists of two primary products: copolyesters and cellulose esters. The advanced interlayers product line includes specialty intermediate polyvinyl butyral ("PVB") sheet and resins. PVB is a specialty resin used in the production of laminated safety glass sheet used in automotive and architectural applications. The performance films product line primarily consists of window film products, which are aftermarket applied films to enhance the characteristics and functional performance of automotive and architectural glass.

Chemical Intermediates Segment

The CI segment leverages large scale and vertical integration from the cellulose and acetyl, olefins, and alkylamines streams to support our specialty operating segments with advantaged cost positions. The CI segment sells excess intermediates beyond our specialty needs for use in markets such as industrial chemicals and processing, building and construction, health and wellness, and agrochemicals. Certain products are also used internally by other operating segments of the Company.
 
Percentage of Total Segment Sales
Product Lines
2016
2015
2014
Intermediates
65%
65%
78%
Plasticizers
20%
20%
21%
Functional Amines
15%
15%
1%
Total
100%
100%
100%

In the intermediates product line, the Company produces oxo alcohols and derivatives, acetic acid and derivatives, acetic anhydride, ethylene, glycol ethers, and esters. The plasticizers product line consists of a unique set of primary non-phthalate plasticizers such as Eastman 168®, and a range of niche non-phthalate plasticizers such as Benzoflex®, Eastman TXIB®, and Eastman Effusion™. The functional amines product lines include methylamines and salts, and higher amines and solvents.
Fibers Segment

In the Fibers segment, Eastman manufactures and sells Estron® acetate tow and Estrobond® triacetin plasticizers for use primarily in the manufacture of cigarette filters; Estron® natural (undyed) and Chromspun® solution-dyed acetate yarns for use in apparel, home furnishings, and industrial fabrics; and cellulose acetate flake and acetyl raw materials for other acetate fiber producers.
 
Percentage of Total Segment Sales
Product Lines
2016
2015
2014
Acetate Tow
80%
78%
79%
Acetate Yarn and Acetyl Chemical Products
20%
22%
21%
Total
100%
100%
100%

Other

The Company continues to explore and invest in R&D initiatives that are aligned with macro trends in sustainability, consumerism, and energy efficiency such as high performance materials and advanced cellulosics. An example of such an initiative is the Eastman microfiber technology platform which leverages the Company's core competency in polyesters, spinning capability, and in-house application expertise, for use in a wide range of applications including liquid and air filtration, high strength packaging in nonwovens, and performance apparel in textiles.

Sales revenue and expense for the Eastman microfiber technology platform growth initiative are shown in the tables below as "Other" sales revenue and operating loss. R&D, pension and other postretirement benefits, and other expenses and income not identifiable to an operating segment are shown in the tables below as "Other" operating earnings (loss).  

 
For years ended December 31,
(Dollars in millions)
2016
 
2015
 
2014
Sales by Segment
 
 
 
 
 
Additives & Functional Products
$
2,979

 
$
3,159

 
$
2,640

Advanced Materials
2,457

 
2,414

 
2,378

Chemical Intermediates
2,534

 
2,811

 
3,034

Fibers
992

 
1,219

 
1,457

Total Sales by Operating Segment
$
8,962

 
$
9,603

 
$
9,509

Other
46

 
45

 
18

Total Sales
$
9,008

 
$
9,648

 
$
9,527


 
For years ended December 31,
(Dollars in millions)
2016
 
2015
 
2014
Operating Earnings (Loss)
 
 
 
 
 
Additives & Functional Products
$
601

 
$
660

 
$
462

Advanced Materials
471

 
384

 
276

Chemical Intermediates
171

 
294

 
352

Fibers
310

 
292

 
474

Total Operating Earnings by Operating Segment
1,553

 
1,630

 
1,564

Other
 
 
 
 
 
Growth initiatives and businesses not allocated to operating segments
(82
)
 
(87
)
 
(58
)
Pension and other postretirement benefits expenses, net not allocated to operating segments
(44
)
 
(76
)
 
(293
)
Restructuring and acquisition integration and transaction costs
(44
)
 
(83
)
 
(51
)
Total Operating Earnings
$
1,383

 
$
1,384

 
$
1,162



 
December 31,
(Dollars in millions)
2016
 
2015
Assets by Segment (1)
 
 
 
Additives & Functional Products
$
6,255

 
$
6,370

Advanced Materials
4,247

 
4,227

Chemical Intermediates
3,084

 
2,930

Fibers
763

 
969

Total Assets by Operating Segment
14,349

 
14,496

Corporate Assets
1,108

 
1,084

Total Assets
$
15,457

 
$
15,580


(1) 
The chief operating decision maker holds operating segment management accountable for accounts receivable, inventory, fixed assets, goodwill, and intangible assets.
 
For years ended December 31,
(Dollars in millions)
2016
 
2015
 
2014
Depreciation and Amortization Expense by Segment
 
 
 
 
 
Additives & Functional Products
$
208

 
$
203

 
$
140

Advanced Materials
160

 
161

 
143

Chemical Intermediates
157

 
149

 
99

Fibers
51

 
55

 
66

Total Depreciation and Amortization Expense by Operating Segment
576

 
568

 
448

Other
4

 
3

 
2

Total Depreciation and Amortization Expense
$
580

 
$
571

 
$
450

 
For years ended December 31,
(Dollars in millions)
2016
 
2015
 
2014
Capital Expenditures by Segment
 
 
 
 
 
Additives & Functional Products
$
212

 
$
227

 
$
225

Advanced Materials
244

 
225

 
176

Chemical Intermediates
128

 
139

 
131

Fibers
38

 
57

 
53

Total Capital Expenditures by Operating Segment
622

 
648

 
585

Other
4

 
4

 
8

Total Capital Expenditures
$
626

 
$
652

 
$
593


Sales are attributed to geographic areas based on customer location; long-lived assets are attributed to geographic areas based on asset location.
(Dollars in millions)
For years ended December 31,
Geographic Information
2016
 
2015
 
2014
Sales
 
 
 
 
 
United States
$
3,803

 
$
4,096

 
$
4,162

All foreign countries
5,205

 
5,552

 
5,365

Total
$
9,008

 
$
9,648

 
$
9,527

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31,
 
2016
 
2015
 
2014
Net properties
 
 
 
 
 
United States
$
4,066

 
$
3,939

 
$
3,753

All foreign countries
1,210

 
1,191

 
1,334

Total
$
5,276

 
$
5,130

 
$
5,087