Ashland determines its reportable segments based on how operations are managed internally for the products and services sold to customers, including how the results are reviewed by the chief operating decision maker, which includes determining resource allocation methodologies used for reportable segments. Operating income is the primary measure on the Statements of Consolidated Comprehensive Income (Loss) that is reviewed by the chief operating decision maker in assessing each reportable segment's financial performance. Ashland does not aggregate operating segments to arrive at these reportable segments.

Ashland’s reportable segments were impacted in the current year due to the disposal of the Composites reportable segment and Intermediates and Solvents Marl facility and reclassification to discontinued operations. As a result, Ashland's operations are managed by the chief operating decision maker within the following two reportable segments: Specialty Ingredients and Intermediates and Solvents.

Specialty Ingredients offers industry-leading products, technologies and resources for solving formulation and product-performance challenges. Using natural, synthetic and semisynthetic polymers derived from cellulose ethers, vinyl pyrrolidones, acrylic polymers, polyester and polyurethane-based adhesives, and plant and seed extract, Specialty Ingredients offers comprehensive and innovative solutions for consumer and industrial applications.

Key customers include pharmaceutical companies; makers of personal care products, food and beverages manufacturers; makers of nutraceuticals and supplements; manufacturers of paint, coatings and construction materials; packaging and converting; and oilfield service companies.

Intermediates and Solvents is a leading producer of 1,4 butanediol and related derivatives, including n-methylpyrrolidone. These products are used as chemical intermediates in the production of engineering polymers and polyurethanes, and as specialty process solvents in a wide array of applications including electronics, pharmaceuticals, water filtration membranes and more. Butanediol is also supplied to Ashland’s Specialty Ingredients business for use as a raw material at cost.

On August 30, 2019, Ashland completed the sale if its Composites segment (excluding the Maleic business) and Intermediates and Solvents Marl facility. As a result, the financial information for Intermediates and Solvents excludes the activity from the Marl facility due to the divestiture and have been restated in prior periods.

Unallocated and Other generally includes items such as certain significant company-wide restructuring activities, including internal separation costs, and legacy costs or adjustments that relate to divested businesses that are no longer operated by Ashland.

Results of Ashland’s reportable segments are presented based on its management and internal accounting structure. The structure is specific to Ashland; therefore, the financial results of Ashland’s reportable segments are not necessarily comparable with similar information for other comparable companies. Ashland allocates all significant costs to its reportable segments except for certain significant company-wide restructuring activities, including stranded costs, and other costs or adjustments that relate to former businesses that Ashland no longer operates. The service cost component of pension and other postretirement benefits costs is allocated to each reportable segment on a ratable basis; while the remaining components of pension and other postretirement benefits costs are recorded within the other net periodic benefit income caption on the Statements of Consolidated Comprehensive Income (Loss). Ashland refines its expense allocation methodologies to the reportable segments from time to time as internal accounting practices are improved, more refined information becomes available and the industry or market changes. Significant revisions to Ashland’s methodologies are adjusted for all segments on a retrospective basis.

Information about Ashland’s domestic and international operations follows. Ashland has no operations in any individual international country or single customer that represented more than 10% of sales in 2019, 2018 or 2017.

	Sales to external customers						Net assets (liabilities)				Property, plant and equipment - net
(In millions)	2019		2018		2017		2019		2018		2019		2018
United States	$	959	$	997	$	880	$	1,789	$	1,142	$	1,231	$	1,250
International		1,534		1,592		1,429		1,782		2,264		346		396
	$	2,493	$	2,589	$	2,309	$	3,571	$	3,406	$	1,577	$	1,646

The following tables present various financial information for each reportable segment for the years ended September 30, 2019, 2018 and 2017 and as of September 30, 2019, 2018 and 2017. Results of Ashland’s reportable segments are presented based on its management and internal accounting structure. The structure is specific to Ashland; therefore, the financial results of Ashland’s reportable segments are not necessarily comparable with similar information for other comparable companies. Ashland allocates all costs to its reportable segments except for certain significant company-wide restructuring activities and other costs or adjustments that relate to former businesses that Ashland no longer operates. The service cost component of pension and other postretirement benefits costs is allocated to each reportable segment on a ratable basis; while the remaining components of pension and other postretirement benefits costs are recorded to Unallocated and other. Ashland refines its expense allocation methodologies to the reportable segments from time to time as internal accounting practices are improved, more refined information becomes available and the industry or market changes. Significant revisions to Ashland’s methodologies are adjusted for all segments on a retrospective basis.

Ashland determined that disclosing sales by specific product was impracticable due to the highly customized and extensive portfolio of products offered to customers and since no one product or a small group of products could be aggregated together to represent a majority of revenue within a reportable segment. As such, see Note S for sales by product category for each reportable segment.

The following table presents various financial information for each reportable segment. The operating results of divested divisions and assets during 2019, 2018 and 2017 that did not qualify for discontinued operations accounting treatment are included in the financial information until the date of sale.

Ashland Global Holdings Inc. and Consolidated Subsidiaries
Reportable Segment Information
Years Ended September 30
(In millions)	2019			2018			2017
Sales
Specialty Ingredients	$	2,382		$	2,470		$	2,216
Intermediates and Solvents		111			119			93
	$	2,493		$	2,589		$	2,309
Equity income
Specialty Ingredients	$	—		$	1		$	—
Intermediates and Solvents		—			—			—
		—			1			—
Other income (expense)
Specialty Ingredients	$	(1	)	$	(5	)	$	(2	)
Intermediates and Solvents		—			—			—
Unallocated and other		5			8			5
		4			3			3
Equity and other income	$	4		$	4		$	3

Operating income (loss)
Specialty Ingredients	$	272		$	314		$	233
Intermediates and Solvents		16			17			(6	)
Unallocated and other		(122	)		(229	)		(178	)
	$	166		$	102		$	49
Assets
Specialty Ingredients	$	5,705		$	5,955		$	6,050
Intermediates and Solvents		185			192			188
Unallocated and other		1,361			2,112			2,380
	$	7,251		$	8,259		$	8,618
Depreciation and amortization
Specialty Ingredients	$	273		$	252		$	243
Intermediates and Solvents		13			14			14
Unallocated and other		3			11			8
	$	289		$	277		$	265
Property, plant and equipment - net
Specialty Ingredients	$	1,377		$	1,434		$	1,470
Intermediates and Solvents		78			83			90
Unallocated and other		122			129			157
	$	1,577		$	1,646		$	1,717
Additions to property, plant and equipment
Specialty Ingredients	$	137		$	138		$	148
Intermediates and Solvents		7			5			5
Unallocated and other		10			14			15
	$	154		$	157		$	168