XML 90 R13.htm IDEA: XBRL DOCUMENT v2.4.0.8
Equity Investments
 12 Months Ended
Dec. 31, 2013
Equity Investments  
Equity Investments

5. Equity Investments

        Summarized information pertaining to the Company's equity associates follows:

 
   2013   2012   2011  

For the year:

                    

Equity in earnings:

                    

Non-U.S. 

   $ 27   $ 20   $ 24  

U.S. 

     40     44     42  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Total

   $ 67   $ 64   $ 66  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
               

Dividends received

  
$
67		  
$
50		  
$
50		  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
               

        Summarized combined financial information for equity associates is as follows (unaudited):

 
   2013   2012    
  

At end of year:

                    

Current assets

   $ 419   $ 327        

Non-current assets

     528     496        
                 
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Total assets

     947     823        

Current liabilities

     224     195        

Other liabilities and deferred items

     193     158        
                 
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Total liabilities and deferred items

     417     353        
                 
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​

Net assets

   $ 530   $ 470        
                 
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                 


 

 
   2013   2012   2011  

For the year:

                    

Net sales

   $ 699   $ 658   $ 689  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
               

Gross profit

   $ 185   $ 191   $ 215  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
               

Net earnings

   $ 149   $ 143   $ 174  
               
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
               

        The Company's significant equity method investments include: (1) 50% of the common shares of Vetri Speciali SpA, a specialty glass manufacturer; (2) a 25% partnership interest in Tata Chemical (Soda Ash) Partners, a soda ash supplier; (3) a 50% partnership interest in Rocky Mountain Bottle Company, a glass container manufacturer; (4) a 50% partnership interest in BJC O-I Glass Pte. Ltd., a glass container manufacturer; and (5) 50% of the common shares of Vetrerie Meridionali SpA ("VeMe"), a glass container manufacturer. During the fourth quarter of 2013, changes were made to the VeMe joint venture agreement that resulted in the Company relinquishing control of the joint venture and, therefore, deconsolidating the entity. No gain or loss was recognized related to the deconsolidation as the fair value of the entity was equal to the carrying amount of the entity's assets and liabilities. The fair value, which the Company classified as Level 3 in the fair value hierarchy, was computed using a discounted cash flow analysis based on projected future cash flows of the joint venture.

        There is a difference of approximately $13 million as of December 31, 2013 between the amount at which certain investments are carried and the amount of underlying equity in net assets. The portion of the difference related to inventory or amortizable assets is amortized as a reduction of the equity earnings. The remaining difference is considered goodwill.