Supplemental Guarantor Condensed Consolidating Financial Statements (Tables)

9 Months Ended

Sep. 30, 2011

Supplemental Guarantor Condensed Consolidating Financial Statements [Abstract]

STATEMENT OF INCOME (LOSS)


	For the Three Months Ended September 30, 2011
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass &
	Subsidiaries			Subsidiaries			Company)			Elims			Consolidated
							(Millions)

Revenues
Net sales and operating revenues —
External	$	761		$	1,012		$	—		$	—		$	1,773
Affiliated companies		40			126			—			(166	)		—

		801			1,138			—			(166	)		1,773

Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)		568			1,090			—			(166	)		1,492
Goodwill impairment charge		—			11			—			—			11
Engineering, research, and development		14			18			—			—			32
Selling, general, and administrative		34			65			2			—			101
Depreciation and amortization of other intangibles		18			33			—			—			51

		634			1,217			2			(166	)		1,687

Other income (expense)
Loss on sale of receivables		—			(1	)		—			—			(1	)
Other income (expense)		(3	)		2			—			—			(1	)

		(3	)		1			—			—			(2	)

Earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies		164			(78	)		(2	)		—			84

Interest expense —
External (net of interest capitalized)		—			2			25			—			27
Affiliated companies (net of interest income)		54			(18	)		(36	)		—			—
Income tax expense		3			18			—			—			21
Equity in net income (loss) from affiliated companies		(89	)		—			21			68			—

Net income (loss)		18			(80	)		30			68			36

Less: Net income attributable to noncontrolling interests		—			6			—			—			6

Net income (loss) attributable to Tenneco Inc.	$	18		$	(86	)	$	30		$	68		$	30


	For the Three Months Ended September 30, 2010
						Tenneco Inc.
	Guarantor		Nonguarantor			(Parent			Reclass &
	Subsidiaries		Subsidiaries			Company)			Elims			Consolidated
						(Millions)

Revenues
Net sales and operating revenues —
External	$	699	$	843		$	—		$	—		$	1,542
Affiliated companies		33		125			—			(158	)		—

		732		968			—			(158	)		1,542

Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)		655		783			—			(158	)		1,280
Engineering, research, and development		14		16			—			—			30
Selling, general, and administrative		42		66			1			—			109
Depreciation and amortization of other intangibles		23		32			—			—			55

		734		897			1			(158	)		1,474

Other income (expense)
Loss on sale of receivables		—		(1	)		—			—			(1	)
Other income (expense)		5		(4	)		—			(1	)		—

		5		(5	)		—			(1	)		(1	)

Earnings (loss) before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies		3		66			(1	)		(1	)		67

Interest expense —
External (net of interest capitalized)		—		2			34			—			36
Affiliated companies (net of interest income)		49		(17	)		(32	)		—			—
Income tax expense (benefit)		1		14			—			—			15
Equity in net income (loss) from affiliated companies		57		—			13			(70	)		—

Net income (loss)		10		67			10			(71	)		16

Less: Net income attributable to noncontrolling interests		—		6			—			—			6

Net income (loss) attributable to Tenneco Inc.	$	10	$	61		$	10		$	(71	)	$	10


	For the Nine Months Ended September 30, 2011
						Tenneco Inc.
	Guarantor		Nonguarantor			(Parent			Reclass &
	Subsidiaries		Subsidiaries			Company)			Elims			Consolidated
	(Millions)

Revenues
Net sales and operating revenues —
External	$	2,331	$	3,090		$	—		$	—		$	5,421
Affiliated companies		121		383			—			(504	)		—

		2,452		3,473			—			(504	)		5,421

Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)		2,013		3,014			—			(504	)		4,523
Goodwill impairment charge		—		11			—			—			11
Engineering, research, and development		42		60			—			—			102
Selling, general, and administrative		106		219			3			—			328
Depreciation and amortization of other intangibles		55		101			—			—			156

		2,216		3,405			3			(504	)		5,120

Other income (expense)
Loss on sale of receivables		—		(4	)		—			—			(4	)
Other income (expense)		29		—			—			(35	)		(6	)

		29		(4	)		—			(35	)		(10	)

Earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies		265		64			(3	)		(35	)		291

Interest expense —
External (net of interest capitalized)		—		4			77			—			81
Affiliated companies (net of interest income)		156		(52	)		(104	)		—			—
Income tax expense		8		57			—			—			65
Equity in net income (loss) from affiliated companies		29		—			103			(132	)		—

Net income (loss)		130		55			127			(167	)		145

Less: Net income attributable to noncontrolling interests		—		18			—			—			18

Net income (loss) attributable to Tenneco Inc.	$	130	$	37		$	127		$	(167	)	$	127


	For the Nine Months Ended September 30, 2010
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass &
	Subsidiaries			Subsidiaries			Company)			Elims			Consolidated
	(Millions)

Revenues
Net sales and operating revenues —
External	$	1,919		$	2,441		$	—		$	—		$	4,360
Affiliated companies		95			360			—			(455	)		—

		2,014			2,801			—			(455	)		4,360

Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)		1,707			2,323			—			(455	)		3,575
Engineering, research, and development		40			50			—			—			90
Selling, general, and administrative		115			189			3			—			307
Depreciation and amortization of other intangibles		66			97			—			—			163

		1,928			2,659			3			(455	)		4,135

Other income (expense)
Loss on sale of receivables		—			(3	)		—			—			(3	)
Other income (expense)		14			(2	)		1			(16	)		(3	)

		14			(5	)		1			(16	)		(6	)

Earnings (loss) before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies		100			137			(2	)		(16	)		219

Interest expense —
External (net of interest capitalized)		(1	)		6			95			—			100
Affiliated companies (net of interest income)		136			(40	)		(96	)		—			—
Income tax expense (benefit)		5			40			—			—			45
Equity in net income (loss) from affiliated companies		104			—			58			(162	)		—

Net income (loss)		64			131			57			(178	)		74

Less: Net income attributable to noncontrolling interests		—			17			—			—			17

Net income (loss) attributable to Tenneco Inc.	$	64		$	114		$	57		$	(178	)	$	57

Balance Sheet

BALANCE SHEET


	September 30, 2011
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent		Reclass
	Subsidiaries			Subsidiaries			Company)		& Elims			Consolidated
	(Millions)

ASSETS
Current assets:
Cash and cash equivalents	$	2		$	161		$	—	$	—		$	163
Receivables, net		616			1,358			25		(882	)		1,117
Inventories		251			370			—		—			621
Deferred income taxes		77			—			—		(35	)		42
Prepayments and other		29			131			—		—			160

Total current assets		975			2,020			25		(917	)		2,103

Other assets:
Investment in affiliated companies		412			—			770		(1,182	)		—
Notes and advances receivable from affiliates		4,144			1,010			5,986		(11,140	)		—
Long-term receivables, net		1			12			—		—			13
Goodwill		22			53			—		—			75
Intangibles, net		13			20			—		—			33
Deferred income taxes		32			22			33		—			87
Other		25			45			29		—			99

		4,649			1,162			6,818		(12,322	)		307

Plant, property, and equipment, at cost		1,013			2,123			—		—			3,136
Less — Accumulated depreciation and amortization		(735	)		(1,375	)		—		—			(2,110	)

		278			748			—		—			1,026

Total assets	$	5,902		$	3,930		$	6,843	$	(13,239	)	$	3,436


LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt (including current maturities of long-term debt)
Short-term debt — non-affiliated	$	—		$	69		$	1	$	—		$	70
Short-term debt — affiliated		210			517			10		(737	)		—
Trade payables		483			813			—		(115	)		1,181
Accrued taxes		21			25			—		—			46
Other		126			213			51		(65	)		325

Total current liabilities		840			1,637			62		(917	)		1,622

Long-term debt — non-affiliated		—			11			1,223		—			1,234
Long-term debt — affiliated		4,678			1,024			5,438		(11,140	)		—
Deferred income taxes		—			50			—		—			50
Postretirement benefits and other liabilities		324			72			—		4			400
Commitments and contingencies

Total liabilities		5,842			2,794			6,723		(12,053	)		3,306

Redeemable noncontrolling interests		—			10			—		—			10

Tenneco Inc. Shareholders’ equity		60			1,089			120		(1,186	)		83

Noncontrolling interests		—			37			—		—			37

Total equity		60			1,126			120		(1,186	)		120

Total liabilities, redeemable noncontrolling interests and equity	$	5,902		$	3,930		$	6,843	$	(13,239	)	$	3,436


	December 31, 2010
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent		Reclass
	Subsidiaries			Subsidiaries			Company)		& Elims			Consolidated
							(Millions)

ASSETS
Current assets:
Cash and cash equivalents	$	—		$	233		$	—	$	—		$	233
Receivables, net		402			1,106			24		(706	)		826
Inventories		221			326			—		—			547
Deferred income taxes		103			—			—		(65	)		38
Prepayments and other		35			111			—		—			146

Total current assets		761			1,776			24		(771	)		1,790

Other assets:
Investment in affiliated companies		391			—			707		(1,098	)		—
Notes and advances receivable from affiliates		4,119			788			5,853		(10,760	)		—
Long-term receivables, net		1			8			—		—			9
Goodwill		22			67			—		—			89
Intangibles, net		14			18			—		—			32
Deferred income taxes		37			21			34		—			92
Other		26			46			33		—			105

		4,610			948			6,627		(11,858	)		327

Plant, property, and equipment, at cost		997			2,112			—		—			3,109
Less — Accumulated depreciation and amortization		(713	)		(1,346	)		—		—			(2,059	)

		284			766			—		—			1,050

Total assets	$	5,655		$	3,490		$	6,651	$	(12,629	)	$	3,167


LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt (including current maturities of long-term debt)
Short-term debt — non-affiliated	$	—		$	62		$	1	$	—		$	63
Short-term debt — affiliated		214			371			10		(595	)		—
Trade payables		367			773			—		(92	)		1,048
Accrued taxes		20			31			—		—			51
Other		130			213			47		(84	)		306

Total current liabilities		731			1,450			58		(771	)		1,468

Long-term debt — non-affiliated		—			11			1,149		—			1,160
Long-term debt — affiliated		4,583			768			5,409		(10,760	)		—
Deferred income taxes		—			56			—		—			56
Postretirement benefits and other liabilities		347			85			—		4			436
Commitments and contingencies

Total liabilities		5,661			2,370			6,616		(11,527	)		3,120

Redeemable noncontrolling interests		—			12			—		—			12

Tenneco Inc. Shareholders’ equity		(6	)		1,069			35		(1,102	)		(4	)

Noncontrolling interests		—			39			—		—			39

Total equity		(6	)		1,108			35		(1,102	)		35

Total liabilities, redeemable noncontrolling interests and equity	$	5,655		$	3,490		$	6,651	$	(12,629	)	$	3,167

Statement of Cash Flows

STATEMENT OF CASH FLOWS


	Three Months Ended September 30, 2011
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass
	Subsidiaries			Subsidiaries			Company)			& Elims		Consolidated
	(Millions)

Operating Activities
Net cash provided (used) by operating activities	$	74		$	57		$	(51	)	$	—	$	80

Investing Activities
Cash payments for plant, property, and equipment		(14	)		(36	)		—			—		(50	)
Cash payments for software related intangible assets		(1	)		(3	)		—			—		(4	)

Net cash used by investing activities		(15	)		(39	)		—			—		(54	)

Financing Activities
Issuance of long-term debt		—			1			—			—		1
Increase (decrease) in bank overdrafts		—			(5	)		—			—		(5	)
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt		—			8			12			—		20
Intercompany dividends and net increase (decrease) in intercompany obligations		(57	)		13			44			—		—
Purchase of additional noncontrolling equity interest		—			(4	)		—			—		(4	)
Distributions to noncontrolling interest partners		—			(10	)		—			—		(10	)
Purchase of common stock under the share repurchase program		—			—			(5	)		—		(5	)

Net cash provided (used) by financing activities		(57	)		3			51			—		(3	)

Effect of foreign exchange rate changes on cash and cash equivalents		—			(21	)		—			—		(21	)

Increase (decrease) in cash and cash equivalents		2			—			—			—		2
Cash and cash equivalents, July 1		—			161			—			—		161

Cash and cash equivalents, September 30 (Note)	$	2		$	161		$	—		$	—	$	163


Note:	Cash and cash equivalents include highly liquid investments with a maturity of three months or less at the date of purchase.


	Three Months Ended September 30, 2010
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass
	Subsidiaries			Subsidiaries			Company)			& Elims		Consolidated
							(Millions)

Operating Activities
Net cash provided (used) by operating activities	$	(25	)	$	65		$	(23	)	$	—	$	17

Investing Activities
Proceeds from the sale of assets		1			1			—			—		2
Cash payments for plant, property, and equipment		(11	)		(22	)		—			—		(33	)
Cash payments for software related intangible assets		(2	)		(1	)		—			—		(3	)
Investments and other		—			(1	)		—			—		(1	)

Net cash used by investing activities		(12	)		(23	)		—			—		(35	)

Financing Activities
Issuance of long-term debt		—			—			225			—		225
Debt issuance cost on long-term debt		—			—			(5	)		—		(5	)
Retirement of long-term debt		—			(1	)		(245	)		—		(246	)
Increase (decrease) in bank overdrafts		—			10			—			—		10
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt		—			2			61			—		63
Intercompany dividends and net increase (decrease) in intercompany obligations		35			(22	)		(13	)		—		—
Distribution to noncontrolling interests partners		—			(3	)		—			—		(3	)

Net cash provided (used) by financing activities		35			(14	)		23			—		44

Effect of foreign exchange rate changes on cash and cash equivalents		—			12			—			—		12

Increase (decrease) in cash and cash equivalents		(2	)		40			—			—		38
Cash and cash equivalents, July 1		2			144			—			—		146

Cash and cash equivalents, September 30 (Note)	$	—		$	184		$	—		$	—	$	184


Note:	Cash and cash equivalents include highly liquid investments with a maturity of three months or less at the date of purchase.


	Nine Months Ended September 30, 2011
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass
	Subsidiaries			Subsidiaries			Company)			& Elims		Consolidated
							(Millions)

Operating Activities
Net cash provided (used) by operating activities	$	226		$	(13	)	$	(169	)	$	—	$	44

Investing Activities
Proceeds from sale of assets		3			1			—			—		4
Cash payments for plant, property, and equipment		(44	)		(101	)		—			—		(145	)
Cash payments for software related intangible assets		(3	)		(7	)		—			—		(10	)

Net cash used by investing activities		(44	)		(107	)		—			—		(151	)

Financing Activities
Issuance of long-term debt		—			5			—			—		5
Debt issuance cost of long-term debt		—			—			(1	)		—		(1	)
Retirement of long-term debt		—			(1	)		(22	)		—		(23	)
Increase (decrease) in bank overdrafts		—			3			—			—		3
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt		—			11			97			—		108
Intercompany dividends and net increase (decrease) in intercompany obligations		(180	)		69			111			—		—
Capital contribution from noncontrolling interest partner		—			1			—			—		1
Purchase of additional noncontrolling equity interest		—			(4	)		—			—		(4	)
Distribution to noncontrolling interest partners		—			(20	)		—			—		(20	)
Purchase of common stock under the share repurchase program		—			—			(16	)		—		(16	)

Net cash provided (used) by financing activities		(180	)		64			169			—		53

Effect of foreign exchange rate changes on cash and cash equivalents		—			(16	)		—			—		(16	)

Increase (decrease) in cash and cash equivalents		2			(72	)		—			—		(70	)
Cash and cash equivalents, January 1		—			233			—			—		233

Cash and cash equivalents, September 30 (Note)	$	2		$	161		$	—		$	—	$	163


Note:	Cash and cash equivalents include highly liquid investments with a maturity of three months or less at the date of purchase.


	Nine Months Ended September 30, 2010
							Tenneco Inc.
	Guarantor			Nonguarantor			(Parent			Reclass
	Subsidiaries			Subsidiaries			Company)			& Elims		Consolidated
	(Millions)

Operating Activities
Net cash provided (used) by operating activities	$	(88	)	$	292		$	(140	)	$	—	$	64

Investing Activities
Proceeds from sale of assets		1			2			—			—		3
Cash payments for plant, property, and equipment		(40	)		(65	)		—			—		(105	)
Cash payments for software related intangible assets		(7	)		(4	)		—			—		(11	)
Investments and other		—			1			—			—		1

Net cash used by investing activities		(46	)		(66	)		—			—		(112	)

Financing Activities
Issuance of long-term debt		—			5			375			—		380
Debt issuance cost on long-term debt		—			—			(14	)		—		(14	)
Retirement of long-term debt		—			(3	)		(380	)		—		(383	)
Increase (decrease) in bank overdrafts		—			12			—			—		12
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt		—			(3	)		86			—		83
Intercompany dividends and net increase (decrease) in intercompany obligations		114			(187	)		73			—		—
Distribution to noncontrolling interests partners		—			(14	)		—			—		(14	)

Net cash provided (used) by financing activities		114			(190	)		140			—		64

Effect of foreign exchange rate changes on cash and cash equivalents		—			1			—			—		1

Increase (decrease) in cash and cash equivalents		(20	)		37			—			—		17
Cash and cash equivalents, January 1		20			147			—			—		167

Cash and cash equivalents, September 30 (Note)	$	—		$	184		$	—		$	—	$	184


Note:	Cash and cash equivalents include highly liquid investments with a maturity of three months or less at the date of purchase.