Subsequent Events

9 Months Ended

Sep. 30, 2016

Subsequent Events [Abstract]

Subsequent Events

SUBSEQUENT EVENTS

Since 2014, the year Norwegian tax capitalization laws and related caps on interest deductibility were changed, FMC Technologies has provided valuation allowances on its deferred tax assets related to interest on certain intercompany debt structures in Norway. On October 18, 2016, the Norwegian Supreme Court rendered its decision in the IKEA case, which has circumstances similar to our position regarding interest on intercompany debt structures. The court used the substance-over-form doctrine to conclude that the IKEA transaction was materially tax driven. As a result, we are evaluating the outcome of the IKEA case and its effect on our tax positions, including those tax positions prior to 2014, related to our intercompany debt structures in Norway. Should our tax positions be determined to be nondeductible, the maximum potential exposure to FMC Technologies is approximately $51 million.