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ASSET IMPAIRMENTS AND RESTRUCTURING (Tables)

12 Months Ended

Dec. 31, 2020

Restructuring Costs and Asset Impairment Charges [Abstract]

Schedule of Restructuring and Related Charges

Components of asset impairments and restructuring charges, net, are presented below:

			For years ended December 31,
(Dollars in millions)			2020						2019						2018
Fixed Asset Impairments
CI & AFP - Singapore (1)			$	—					$	27					$	—
Site optimizations
AFP - Tire additives (2)			5						—						—
AM - Performance films (3)			5						—						—
AFP - Animal nutrition (4)			3						—						—
Discontinuation of growth initiatives (5)			8						—						—
			21						27						—
Intangible Asset Impairments
AFP - Tradenames (6)			123						—						—
AFP - Customer relationships (7)			2						—						—
AFP - Goodwill (8)			—						45						38
AM - Customer relationships (7)			—						—						1
			125						45						39
Severance Charges
Business improvement and cost reduction actions (9)			47						45						6
CI & AFP - Singapore (1)			6						—						—
Site optimizations
AM - Advanced interlayers (10)			5						—						—
AFP - Tire additives (2)			3						—						—
AM - Performance films (3)			3						—						—
AFP - Animal nutrition (4)			1						—						—
			65						45						6
Other Restructuring Costs
Cost reduction initiatives (9)			14						5						—
Discontinuation of growth initiatives contract termination fees (5)			4						—						—
AFP - Animal nutrition (4)			(2)						—						—
AFP - Discontinued capital project (11)			—						4						—
			16						9						—
Total			$	227					$	126					$	45

(1)Asset impairment charges of $22 million and $5 million in the CI segment and the AFP segment, respectively, and severance charges of $5 million and $1 million in the CI segment and the AFP segment, respectively, resulting from the previously disclosed plan to discontinue production of certain products at the Singapore manufacturing site. Total asset impairments and restructuring charges for this action are expected to be up to $50 million continuing through 2021.

(2)Fixed asset impairments and severance in the AFP segment from the closure of a tire additives manufacturing facility in Asia Pacific as part of ongoing site optimization.

(3)Fixed asset impairments and severance in the Advanced Materials ("AM") segment from the closure of a performance films manufacturing facility in North America as part of ongoing site optimization.

(4)Fixed asset impairments, severance, and other restructuring gains in the AFP segment from the closure of an animal nutrition manufacturing facility in Asia Pacific as part of ongoing site optimization.

(5)Fixed asset impairments and contract termination fees resulting from management's decision to discontinue growth initiatives for polyester based microfibers, including Avra™ performance fibers, the financial results of which were not allocated to an operating segment and reported in "Other".

(6)Intangible asset impairment charges in the AFP segment tire additives business to reduce the carrying values of the Crystex™ and Santoflex™ tradenames to the estimated fair values. The estimated fair values were determined using an income approach, specifically, the relief from royalty method, including some unobservable inputs. The impairments are primarily the result of weakened demand in transportation markets impacted by COVID-19 and increased competitive pricing pressure as a result of global capacity increases.

(7)Intangible asset impairment charge for customer relationships.

(8)Goodwill impairment charge in the crop protection reporting unit resulting from the annual impairment test. In first quarter 2020 the crop protection reporting unit combined with the care chemicals reporting unit as a result of business management realignment.

(9)Severance and related costs as part of business improvement and cost reduction initiatives which were reported in "Other".

(10)Severance in the AM segment due to the closure of an advanced interlayers manufacturing facility in North America as part of ongoing site optimization. In addition, accelerated depreciation of $8 million was recognized in "Cost of sales" in the Consolidated Statements of Earnings, Comprehensive Income and Retained Earnings in 2020 related to the closure of this facility. Management expects total charges of up to $30 million, mostly in "Cost of sales" and in "Asset impairments and restructuring charges, net" in the Consolidated Statements of Earnings, Comprehensive Income and Retained Earnings, continuing through 2021 for the closure of this facility.

(11)Additional restructuring charge related to a capital project in the AFP segment that was discontinued in 2016.

Schedule of Changes to Restructuring Reserve and Related Activities

(Dollars in millions)			Balance at January 1, 2020						Provision/ Adjustments						Non-cash Reductions/ Additions						Cash Reductions						Balance at December 31, 2020
Non-cash charges			$	—					$	145					$	(145)					$	—					$	—
Severance costs			17						65						1						(18)						65
Site closure & restructuring costs			11						17						—						(14)						14
Total			$	28					$	227					$	(144)					$	(32)					$	79

(Dollars in millions)			Balance at January 1, 2019						Provision/ Adjustments						Non-cash Reductions/ Additions						Cash Reductions						Balance at December 31, 2019
Non-cash charges			$	—					$	72					$	(72)					$	—					$	—
Severance costs			6						45						—						(34)						17
Site closure & restructuring costs			8						9						1						(7)						11
Total			$	14					$	126					$	(71)					$	(41)					$	28

(Dollars in millions)			Balance at January 1, 2018						Provision/ Adjustments						Non-cash Reductions/ Additions						Cash Reductions						Balance at December 31, 2018
Non-cash charges			$	—					$	39					$	(39)					$	—					$	—
Severance costs			19						6						1						(20)						6
Site closure & restructuring costs			10						—						—						(2)						8
Total			$	29					$	45					$	(38)					$	(22)					$	14

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Tabular disclosure of costs incurred for restructuring including, but not limited to, exit and disposal activities, remediation, implementation, integration, asset impairment, and charges against earnings from the write-down of assets.

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Tabular disclosure of an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost. This element may also include a description of any reversal and other adjustment made during the period to the amount of an accrued liability for restructuring activities. This element may be used to encapsulate the roll forward presentations of an entity's restructuring reserve by type of cost and in total, and explanation of changes that occurred in the period.

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