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SEGMENT INFORMATION
12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
SEGMENT INFORMATION
SEGMENT AND REGIONAL SALES 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 transportation, consumables, building and construction, animal nutrition, crop protection, energy, personal and home care, and other markets.

The products the Company manufactures in the coatings and inks additives product line can be broadly classified as polymers and additives and solvents and include specialty coalescents, specialty solvents, paint additives, and specialty polymers. The adhesives resins product line consists of hydrocarbon and rosin resins. The tire additives product line includes insoluble sulfur rubber additives, antidegradant rubber additives, and performance resins. The care chemicals 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 heat transfer and aviation fluids products. The animal nutrition business consists of organic acid-based solutions product lines. The crop protection business consists of metam-based soil fumigants, thiram and ziram-based fungicides, and plant growth regulator products.

 
Percentage of Total Segment Sales
Product Lines
2019
2018
2017
Coatings and Inks Additives
24%
23%
23%
Adhesives Resins
15%
16%
18%
Tire Additives
16%
17%
17%
Care Chemicals
18%
17%
17%
Specialty Fluids
14%
13%
13%
Animal Nutrition and Crop Protection
13%
14%
12%
Total
100%
100%
100%

 
Percentage of Total Segment Sales
Sales by Customer Location
2019
2018
2017
United States and Canada
37%
36%
35%
Asia Pacific
24%
24%
23%
Europe, Middle East, and Africa
33%
34%
36%
Latin America
6%
6%
6%
Total
100%
100%
100%

Advanced Materials Segment

In the AM segment, the Company produces and markets 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.

The specialty plastics product line consists of two primary products: copolyesters and cellulose esters. The advanced interlayers product line includes polyvinyl butyral sheet and specialty polyvinyl butyral intermediates. The performance films product line primarily consists of window film and protective film products for aftermarket applied films.
 
Percentage of Total Segment Sales
Product Lines
2019
2018
2017
Specialty Plastics
49%
49%
51%
Advanced Interlayers
32%
33%
33%
Performance Films
19%
18%
16%
Total
100%
100%
100%

 
Percentage of Total Segment Sales
Sales by Customer Location
2019
2018
2017
United States and Canada
34%
35%
36%
Asia Pacific
32%
33%
33%
Europe, Middle East, and Africa
28%
27%
26%
Latin America
6%
5%
5%
Total
100%
100%
100%

Chemical Intermediates Segment

The CI segment leverages large scale and vertical integration from the cellulose and acetyl, olefins, and alkylamines streams to support the Company's specialty operating segments with advantaged cost positions. The CI segment sells excess intermediates beyond the Company's internal specialty needs into markets such as industrial chemicals and processing, building and construction, health and wellness, and agrochemicals.

In the intermediates product line, the Company produces olefin derivatives, acetyl derivatives, ethylene, and commodity solvents. The plasticizers product line consists of a unique set of primary non-phthalate and phthalate plasticizers and a range of niche non-phthalate plasticizers. The functional amines product lines include methylamines and salts, and higher amines and solvents.
 
Percentage of Total Segment Sales
Product Lines
2019
2018
2017
Intermediates
59%
60%
64%
Plasticizers
21%
20%
19%
Functional Amines
20%
20%
17%
Total
100%
100%
100%

 
Percentage of Total Segment Sales
Sales by Customer Location
2019
2018
2017
United States and Canada
64%
64%
68%
Asia Pacific
14%
15%
14%
Europe, Middle East, and Africa
15%
15%
12%
Latin America
7%
6%
6%
Total
100%
100%
100%

Fibers Segment

In the Fibers segment, Eastman manufactures and sells cellulose acetate tow for use in filtration media, primarily cigarette filters. The acetyl chemicals product line consists of triacetin, cellulose acetate flake, and acetyl raw materials for other acetate fiber producers. The acetate yarn product line consists of natural (undyed) acetate and polyester yarn and solution-dyed acetate yarn for use in apparel, home furnishings, and industrial fabrics. The nonwovens product line consists primarily of the nonwovens innovation products previously reported in "Other".
 
Percentage of Total Segment Sales
Product Lines
2019
2018
2017
Acetate Tow
68%
69%
77%
Acetyl Chemical Products
15%
15%
15%
Acetate Yarn
12%
10%
8%
Nonwovens
5%
6%
—%
Total
100%
100%
100%

 
Percentage of Total Segment Sales
Sales by Customer Location
2019
2018
2017
United States and Canada
25%
26%
22%
Asia Pacific
32%
33%
37%
Europe, Middle East, and Africa
39%
37%
37%
Latin America
4%
4%
4%
Total
100%
100%
100%

Other

Sales revenue in the table below for "Other" in 2017 is primarily sales from the nonwovens innovation products. Beginning first quarter 2018, sales revenue and innovation costs from the nonwovens and textiles innovation products previously reported in "Other" are reported in the Fibers segment due to accelerating commercial progress of growth initiatives.
 
For years ended December 31,
(Dollars in millions)
2019
 
2018
 
2017
Sales by Segment
 
 
 
 
 
Additives & Functional Products
$
3,273

 
$
3,647

 
$
3,343

Advanced Materials
2,688

 
2,755

 
2,572

Chemical Intermediates
2,443

 
2,831

 
2,728

Fibers
869

 
918

 
852

Total Sales by Operating Segment
9,273

 
10,151

 
9,495

Other

 

 
54

Total Sales
$
9,273

 
$
10,151

 
$
9,549


 
For years ended December 31,
(Dollars in millions)
2019
 
2018
 
2017
Earnings Before Interest and Taxes by Segment
 
 
 
 
 
Additives & Functional Products
$
496

 
$
639

 
$
653

Advanced Materials
517

 
509

 
483

Chemical Intermediates
170

 
308

 
255

Fibers
194

 
257

 
181

Total EBIT by Operating Segment
1,377

 
1,713

 
1,572

Other
 
 
 
 
 
Growth initiatives and businesses not allocated to operating segments
(102
)
 
(114
)
 
(114
)
Pension and other postretirement benefit plans income (expense), net not allocated to operating segments
(97
)
 
(17
)
 
93

Asset impairments and restructuring charges, net
(49
)
 
(6
)
 
(5
)
Other income (charges), net not allocated to operating segments
(9
)
 
(24
)
 
(16
)
Total EBIT
$
1,120

 
$
1,552

 
$
1,530


 
December 31,
(Dollars in millions)
2019
 
2018
Assets by Segment (1)
 
 
 
Additives & Functional Products
$
6,387

 
$
6,545

Advanced Materials
4,415

 
4,456

Chemical Intermediates
2,775

 
2,934

Fibers
1,014

 
978

Total Assets by Operating Segment
14,591

 
14,913

Corporate Assets
1,417

 
1,082

Total Assets
$
16,008

 
$
15,995



(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)
2019
 
2018
 
2017
Depreciation and Amortization Expense by Segment
 
 
 
 
 
Additives & Functional Products
$
218

 
$
219

 
$
213

Advanced Materials
172

 
169

 
164

Chemical Intermediates
150

 
151

 
148

Fibers
64

 
64

 
58

Total Depreciation and Amortization Expense by Operating Segment
604

 
603

 
583

Other
7

 
1

 
4

Total Depreciation and Amortization Expense
$
611

 
$
604

 
$
587

 
For years ended December 31,
(Dollars in millions)
2019
 
2018
 
2017
Capital Expenditures by Segment
 
 
 
 
 
Additives & Functional Products
$
152

 
$
150

 
$
229

Advanced Materials
130

 
187

 
248

Chemical Intermediates
98

 
137

 
116

Fibers
42

 
50

 
52

Total Capital Expenditures by Operating Segment
422

 
524

 
645

Other
3

 
4

 
4

Total Capital Expenditures
$
425

 
$
528

 
$
649


Sales are attributed to geographic areas based on customer location and long-lived assets are attributed to geographic areas based on asset location.
(Dollars in millions)
For years ended December 31,
Geographic Information
2019
 
2018
 
2017
Sales
 
 
 
 
 
United States
$
3,720

 
$
4,118

 
$
3,999

All foreign countries
5,553

 
6,033

 
5,550

Total
$
9,273

 
$
10,151

 
$
9,549

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31,
 
2019
 
2018
 
2017
Net properties
 
 
 
 
 
United States
$
4,178

 
$
4,228

 
$
4,203

All foreign countries
1,393

 
1,372

 
1,404

Total
$
5,571

 
$
5,600

 
$
5,607