Supplemental Guarantor Condensed Consolidating Financial Statements (Tables)

6 Months Ended

Jun. 30, 2018

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Statement of Comprehensive Income (Loss)

STATEMENT OF COMPREHENSIVE INCOME (LOSS)

	Three Months Ended June 30, 2018
	Guarantor Subsidiaries			Nonguarantor Subsidiaries		Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Revenues
Net sales and operating revenues —
External	$	1,028		$	1,509	$	—		$	—		$	2,537
Affiliated companies	134			156		—			(290		)	—
	1,162			1,665		—			(290		)	2,537
Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)	986			1,463		—			(290		)	2,159
Engineering, research, and development	19			23		—			—			42
Selling, general, and administrative	81			75		—			—			156
Depreciation and amortization of other intangibles	22			37		—			—			59
	1,108			1,598		—			(290		)	2,416
Other (expense) income
Loss on sale of receivables	(2		)	—		—			—			(2		)
Other (expense) income	(18		)	22		—			(10		)	(6		)
	(20		)	22		—			(10		)	(8		)
Earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies	34			89		—			(10		)	113
Interest expense —
External (net of interest capitalized)	8			3		9			—			20
Affiliated companies (net of interest income)	(4		)	—		4			—			—
Earnings (loss) before income taxes, noncontrolling interests, and equity in net income from affiliated companies	30			86		(13		)	(10		)	93
Income tax (benefit) expense	(2		)	29		—			—			27
Equity in net income from affiliated companies	39			—		63			(102		)	—
Net income	71			57		50			(112		)	66
Less: Net income attributable to noncontrolling interests	—			16		—			—			16
Net income attributable to Tenneco Inc.	$	71		$	41	$	50		$	(112	)	$	50
Comprehensive income (loss) attributable to Tenneco Inc.	$	71		$	41	$	(39	)	$	(112	)	$	(39	)

STATEMENT OF COMPREHENSIVE INCOME (LOSS)

	Three Months Ended June 30, 2017
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Revenues
Net sales and operating revenues —
External	$	1,023		$	1,294		$	—		$	—		$	2,317
Affiliated companies	141			172			—			(313		)	—
	1,164			1,466			—			(313		)	2,317
Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)	986			1,276			—			(313		)	1,949
Engineering, research, and development	19			17			—			—			36
Selling, general, and administrative	183			69			—			—			252
Depreciation and amortization of other intangibles	21			34			—			—			55
	1,209			1,396			—			(313		)	2,292
Other income (expense)
Loss on sale of receivables	(1		)	—			—			—			(1		)
Other income	5			13			—			(15		)	3
	4			13			—			(15		)	2
(Loss) earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies	(41		)	83			—			(15		)	27
Interest expense —
External (net of interest capitalized)	3			2			15			—			20
Affiliated companies (net of interest income)	(4		)	2			2			—			—
(Loss) earnings before income taxes, noncontrolling interests, and equity in net income from affiliated companies	(40		)	79			(17		)	(15		)	7
Income tax expense (benefit)	3			(11		)	—			—			(8		)
Equity in net income from affiliated companies	60			—			14			(74		)	—
Net income (loss)	17			90			(3		)	(89		)	15
Less: Net income attributable to noncontrolling interests	—			18			—			—			18
Net income (loss) attributable to Tenneco Inc.	$	17		$	72		$	(3	)	$	(89	)	$	(3	)
Comprehensive income attributable to Tenneco Inc.	$	17		$	72		$	33		$	(89	)	$	33

STATEMENT OF COMPREHENSIVE INCOME (LOSS)

	Six Months Ended June 30, 2018
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Revenues
Net sales and operating revenues —
External	$	2,060		$	3,051		$	—		$	—		$	5,111
Affiliated companies	257			312			—			(569		)	—
	2,317			3,363			—			(569		)	5,111
Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)	1,994			2,932			—			(569		)	4,357
Engineering, research, and development	37			46			—			—			83
Selling, general, and administrative	155			154			—			—			309
Depreciation and amortization of other intangibles	44			74			—			—			118
	2,230			3,206			—			(569		)	4,867
Other (expense) income
Loss on sale of receivables	(4		)	(1		)	—			—			(5		)
Other (expense) income	(30		)	31			—			(10		)	(9		)
	(34		)	30			—			(10		)	(14		)
Earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies	53			187			—			(10		)	230
Interest expense —
External (net of interest capitalized)	16			5			19			—			40
Affiliated companies (net of interest income)	(7		)	—			7			—			—
Earnings (loss) before income taxes, noncontrolling interests, and equity in net income from affiliated companies	44			182			(26		)	(10		)	190
Income tax (benefit) expense	(1		)	53			—			—			52
Equity in net income from affiliated companies	84			—			134			(218		)	—
Net income	129			129			108			(228		)	138
Less: Net income attributable to noncontrolling interests	—			30			—			—			30
Net income attributable to Tenneco Inc.	$	129		$	99		$	108		$	(228	)	$	108
Comprehensive income attributable to Tenneco Inc.	$	129		$	99		$	41		$	(228	)	$	41

STATEMENT OF COMPREHENSIVE INCOME (LOSS)

	Six Months Ended June 30, 2017
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Revenues
Net sales and operating revenues —
External	$	2,041		$	2,568		$	—		$	—		$	4,609
Affiliated companies	285			354			—			(639		)	—
	2,326			2,922			—			(639		)	4,609
Costs and expenses
Cost of sales (exclusive of depreciation and amortization shown below)	1,978			2,539			—			(639		)	3,878
Engineering, research, and development	39			36			—			—			75
Selling, general, and administrative	251			142			—			—			393
Depreciation and amortization of other intangibles	42			65			—			—			107
	2,310			2,782			—			(639		)	4,453
Other (expense) income
Loss on sale of receivables	(1		)	(1		)	—			—			(2		)
Other (expense) income	(12		)	21			—			(15		)	(6		)
	(13		)	20			—			(15		)	(8		)
Earnings before interest expense, income taxes, noncontrolling interests, and equity in net income from affiliated companies	3			160			—			(15		)	148
Interest expense —
External (net of interest capitalized)	3			2			30			—			35
Affiliated companies (net of interest income)	(7		)	3			4			—			—
Earnings (loss) before income taxes, noncontrolling interests, and equity in net income from affiliated companies	7			155			(34		)	(15		)	113
Income tax expense	11			14			—			—			25
Equity in net income from affiliated companies	88			—			90			(178		)	—
Net income	84			141			56			(193		)	88
Less: Net income attributable to noncontrolling interests	—			32			—			—			32
Net income attributable to Tenneco Inc.	$	84		$	109		$	56		$	(193	)	$	56
Comprehensive income attributable to Tenneco Inc.	$	84		$	109		$	120		$	(193	)	$	120

Balance Sheet

BALANCE SHEET

	June 30, 2018
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)		Reclass & Elims			Consolidated
	(Millions)
ASSETS
Current assets:
Cash and cash equivalents	$	2		$	233		$	—	$	—		$	235
Restricted cash	—			2			—		—			2
Receivables, net	456			1,664			—		(678		)	1,442
Inventories	391			507			—		—			898
Prepayments and other	128			220			—		—			348
Total current assets	977			2,626			—		(678		)	2,925
Other assets:
Investment in affiliated companies	1,403			—			1,318		(2,721		)	—
Notes and advances receivable from affiliates	801			20,311			3,944		(25,056		)	—
Long-term receivables, net	11			1			—		—			12
Goodwill	21			26			—		—			47
Intangibles, net	5			16			—		—			21
Deferred income taxes	170			45			—		—			215
Other	70			88			—		—			158
	2,481			20,487			5,262		(27,777		)	453
Plant, property, and equipment, at cost	1,534			2,493			—		—			4,027
Less — Accumulated depreciation and amortization	(959		)	(1,443		)	—		—			(2,402		)
	575			1,050			—		—			1,625
Total assets	$	4,033		$	24,163		$	5,262	$	(28,455	)	$	5,003
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt (including current maturities of long-term debt)
Short-term debt — non-affiliated	$	—		$	63		$	15	$	—		$	78
Short-term debt — affiliated	396			155			—		(551		)	—
Accounts payable	689			1,245			—		(121		)	1,813
Accrued taxes	5			37			—		—			42
Other	217			242			12		(6		)	465
Total current liabilities	1,307			1,742			27		(678		)	2,398
Long-term debt — non-affiliated	657			9			715		—			1,381
Long-term debt — affiliated	1,082			20,171			3,803		(25,056		)	—
Deferred income taxes	—			11			—		—			11
Pension and postretirement benefits and other liabilities	290			124			—		—			414
Total liabilities	3,336			22,057			4,545		(25,734		)	4,204
Redeemable noncontrolling interests	—			38			—		—			38
Tenneco Inc. shareholders’ equity	697			2,024			717		(2,721		)	717
Noncontrolling interests	—			44			—		—			44
Total equity	697			2,068			717		(2,721		)	761
Total liabilities, redeemable noncontrolling interests and equity	$	4,033		$	24,163		$	5,262	$	(28,455	)	$	5,003

BALANCE SHEET

	December 31, 2017
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)		Reclass & Elims			Consolidated
	(Millions)
ASSETS
Current assets:
Cash and cash equivalents	$	7		$	308		$	—	$	—		$	315
Restricted cash	—			3			—		—			3
Receivables, net	402			1,567			—		(648		)	1,321
Inventories	383			486			—		—			869
Prepayments and other	99			192			—		—			291
Total current assets	891			2,556			—		(648		)	2,799
Other assets:
Investment in affiliated companies	1,389			—			1,258		(2,647		)	—
Notes and advances receivable from affiliates	791			19,119			3,967		(23,877		)	—
Long-term receivables, net	8			1			—		—			9
Goodwill	22			27			—		—			49
Intangibles, net	5			17			—		—			22
Deferred income taxes	161			43			—		—			204
Other	66			78			—		—			144
	2,442			19,285			5,225		(26,524		)	428
Plant, property, and equipment, at cost	1,478			2,530			—		—			4,008
Less — Accumulated depreciation and amortization	(934		)	(1,459		)	—		—			(2,393		)
	544			1,071			—		—			1,615
Total assets	$	3,877		$	22,912		$	5,225	$	(27,172	)	$	4,842
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debt (including current maturities of long-term debt)
Short-term debt — non-affiliated	$	—		$	83		$	—	$	—		$	83
Short-term debt — affiliated	408			148			—		(556		)	—
Accounts payable	562			1,232			—		(89		)	1,705
Accrued taxes	8			37			—		—			45
Other	203			221			12		(3		)	433
Total current liabilities	1,181			1,721			12		(648		)	2,266
Long-term debt — non-affiliated	632			12			714		—			1,358
Long-term debt — affiliated	1,093			18,981			3,803		(23,877		)	—
Deferred income taxes	—			11			—		—			11
Pension and postretirement benefits and other liabilities	296			127			—		—			423
Total liabilities	3,202			20,852			4,529		(24,525		)	4,058
Redeemable noncontrolling interests	—			42			—		—			42
Tenneco Inc. shareholders’ equity	675			1,972			696		(2,647		)	696
Noncontrolling interests	—			46			—		—			46
Total equity	675			2,018			696		(2,647		)	742
Total liabilities, redeemable noncontrolling interests and equity	$	3,877		$	22,912		$	5,225	$	(27,172	)	$	4,842

Statement of Cash Flows

STATEMENT OF CASH FLOWS

	Three Months Ended June 30, 2018
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Operating Activities
Net cash provided (used) by operating activities	$	106		$	(19	)	$	—		$	(9	)	$	78
Investing Activities
Proceeds from sale of assets	1			2			—			—			3
Cash payments for plant, property, and equipment	(33		)	(47		)	—			—			(80		)
Cash payments for software related intangible assets	(4		)	(1		)	—			—			(5		)
Proceeds from deferred purchase price of factored receivables	—			32			—			—			32
Other	2			—			—			—			2
Net cash used by investing activities	(34		)	(14		)	—			—			(48		)
Financing Activities
Issuance of common shares	—			—			1			—			1
Cash dividends	—			—			(12		)	—			(12		)
Retirement of long-term debt - net	(4		)	(2		)	—			—			(6		)
Debt issuance cost for long-term debt	(2		)	—			—			—			(2		)
Net decrease in bank overdrafts	—			(3		)	—			—			(3		)
Net (decrease) increase in revolver borrowings and short-term debt excluding current maturities of long-term debt and short-term borrowings secured by accounts receivables	(43		)	15			(1		)	—			(29		)
Net increase in short-term borrowings secured by account receivables	10			—			—			—			10
Intercompany dividend payments and net (decrease) increase in intercompany obligations	(35		)	13			13			9			—
Distributions to noncontrolling interest partners	—			(28		)	—			—			(28		)
Net cash (used) provided by financing activities	(74		)	(5		)	1			9			(69		)
Effect of foreign exchange rate changes on cash and cash equivalents	—			(14		)	—			—			(14		)
(Decrease) increase in cash and cash equivalents and restricted cash	(2		)	(52		)	1			—			(53		)
Cash, cash equivalents and restricted cash, April 1	5			286			(1		)	—			290
Cash, cash equivalents and restricted cash, June 30 (Note)	$	3		$	234		$	—		$	—		$	237

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

STATEMENT OF CASH FLOWS

	Three Months Ended June 30, 2017
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Operating Activities
Net cash provided (used) by operating activities	$	104		$	2		$	(7	)	$	(7	)	$	92
Investing Activities
Proceeds from sale of assets	1			2			—			—			3
Proceeds from sale of equity interest	—			9			—			—			9
Cash payments for plant, property, and equipment	(39		)	(51		)	—			—			(90		)
Cash payments for software related intangible assets	(4		)	(2		)	—			—			(6		)
Proceeds from deferred purchase price of factored receivables	—			27			—			—			27
Other	(4		)	—			—			—			(4		)
Net cash used by investing activities	(46		)	(15		)	—			—			(61		)
Financing Activities
Cash dividends	—			—			(13		)	—			(13		)
Retirement of long-term debt - net	—			(2		)	—			—			(2		)
Issuance of long-term debt - net	400			—			(264		)	—			136
Debt issuance cost for long-term debt	(8		)	—			—			—			(8		)
Purchase of common stock under the share repurchase program	—			—			(44		)	—			(44		)
Net decrease in bank overdrafts	—			(12		)	—			—			(12		)
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt and short-term borrowings secured by accounts receivables	369			(6		)	(420		)	—			(57		)
Intercompany dividend payments and net (decrease) increase in intercompany obligations	(821		)	66			748			7			—
Distributions to noncontrolling interest partners	—			(33		)	—			—			(33		)
Net cash (used) provided by financing activities	(60		)	13			7			7			(33		)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash	—			(7		)	—			—			(7		)
Decrease in cash, cash equivalents and restricted cash	(2		)	(7		)	—			—			(9		)
Cash, cash equivalents and restricted cash, April 1	6			338			—			—			344
Cash, cash equivalents and restricted cash, June 30 (Note)	$	4		$	331		$	—		$	—		$	335

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

STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2018
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Operating Activities
Net cash provided (used) by operating activities	$	79		$	13		$	(5	)	$	(9	)	$	78
Investing Activities
Proceeds from sale of assets	1			4			—			—			5
Cash payments for plant, property, and equipment	(71		)	(93		)	—			—			(164		)
Cash payments for software related intangible assets	(6		)	(4		)	—			—			(10		)
Proceeds from deferred purchase price of factored receivables	—			66			—			—			66
Other	2			—			—			—			2
Net cash used by investing activities	(74		)	(27		)	—			—			(101		)
Financing Activities
Repurchase of common shares	—			—			(1		)	—			(1		)
Cash dividends	—			—			(25		)	—			(25		)
Retirement of long-term debt - net	(9		)	(3		)	—			—			(12		)
Debt issuance cost for long-term debt	(2		)	—			—			—			(2		)
Net decrease in bank overdrafts	—			(7		)	—			—			(7		)
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt and short-term borrowings secured by accounts receivables	54			(20		)	14			—			48
Net decrease in short-term borrowings secured by accounts receivables	(20		)	—			—			—			(20		)
Intercompany dividend payments and net (decrease) increase in intercompany obligations	(32		)	6			17			9			—
Distributions to noncontrolling interest partners	—			(28		)	—			—			(28		)
Net cash (used) provided by financing activities	(9		)	(52		)	5			9			(47		)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash	—			(11		)	—			—			(11		)
Decrease in cash, cash equivalents and restricted cash	(4		)	(77		)	—			—			(81		)
Cash, cash equivalents and restricted cash, January 1	7			311			—			—			318
Cash, cash equivalents and restricted cash, June 30 (Note)	$	3		$	234		$	—		$	—		$	237

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

STATEMENT OF CASH FLOWS

	Six Months Ended June 30, 2017
	Guarantor Subsidiaries			Nonguarantor Subsidiaries			Tenneco Inc. (Parent Company)			Reclass & Elims			Consolidated
	(Millions)
Operating Activities
Net cash provided (used) by operating activities	$	63		$	26		$	(21	)	$	(7	)	$	61
Investing Activities
Proceeds from sale of assets	3			3			—			—			6
Proceeds from sale of equity interest	—			9			—			—			9
Cash payments for plant, property, and equipment	(81		)	(112		)	—			—			(193		)
Cash payments for software related intangible assets	(6		)	(6		)	—			—			(12		)
Proceeds from deferred purchase price of factored receivables	—			49			—			—			49
Other	(4		)	—			—			—			(4		)
Net cash used by investing activities	(88		)	(57		)	—			—			(145		)
Financing Activities
Repurchase of common shares	—			—			(3		)	—			(3		)
Cash dividends	—			—			(26		)	—			(26		)
Retirement of long-term debt - net	—			(2		)	(6		)	—			(8		)
Issuance of long-term debt - net	400			—			(264		)	—			136
Debt issuance cost for long-term debt	(8		)	—			—			—			(8		)
Purchase of common stock under the share repurchase program	—			—			(60		)	—			(60		)
Net decrease in bank overdrafts	—			(9		)	—			—			(9		)
Net increase (decrease) in revolver borrowings and short-term debt excluding current maturities of long-term debt and short-term borrowings secured by accounts receivables	369			14			(323		)	—			60
Net increase in short-term borrowings secured by accounts receivables	—			—			20			—			20
Intercompany dividend payments and net (decrease) increase in intercompany obligations	(741		)	51			683			7			—
Distributions to noncontrolling interest partners	—			(33		)	—			—			(33		)
Net cash provided by financing activities	20			21			21			7			69
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash	—			1			—			—			1
Decrease in cash, cash equivalents and restricted cash	(5		)	(9		)	—			—			(14		)
Cash, cash equivalents and restricted cash, January 1	9			340			—			—			349
Cash, cash equivalents and restricted cash, June 30 (Note)	$	4		$	331		$	—		$	—		$	335

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