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Other (Charges) Gains, Net
12 Months Ended
Dec. 31, 2016
Restructuring and Related Activities [Abstract]  
Other (Charges) Gains, Net
Other (Charges) Gains, Net
 
Year Ended December 31,
 
2016
 
2015
 
2014
 
(In $ millions)
Employee termination benefits (Note 4)(1)
(11
)
 
(53
)
 
(7
)
Asset impairments
(2
)
 
(126
)
 

Other plant/office closures

 

 
2

Singapore contract termination

 
(174
)
 

Commercial disputes
2

 
2

 
11

Other

 

 
9

Total
(11
)
 
(351
)
 
15

______________________________
(1) 
Includes $3 million and $1 million of special termination benefits included in Benefit obligations in the consolidated balance sheet as of December 31, 2016 and 2015, respectively.
2016
During the year ended December 31, 2016, the Company recorded $11 million of employee termination benefits primarily related to the Company's ongoing efforts to align its businesses around its core value drivers.
2015
During the year ended December 31, 2015, the Company recorded $21 million of employee termination benefits related to the Company's ongoing efforts to align its businesses around its core value drivers. In addition, the Company recorded $24 million of employee termination benefits related to a 50% capacity reduction at its Lanaken, Belgium acetate tow facility (Note 4).
In addition, during the year ended December 31, 2015, the Company recorded $6 million of employee termination benefits and $1 million of long-lived asset impairment losses related to the closure of its VAE emulsions facility in Tarragona, Spain (Note 4). In addition, the Company recorded $1 million of employee termination benefits and $1 million of long-lived asset impairment losses related to the closure of its VAE emulsions facility in Meredosia, Illinois (Note 4). The long-lived asset impairment losses related to both VAE facilities were measured at the dates of impairment to write-off the related property, plant and equipment at each facility (Note 2 and Note 4).
During the three months ended December 31, 2015, the Company determined its ethanol production unit at its acetyl facility in Nanjing, China should be assessed for impairment based on market conditions affecting demand for ethanol and downstream products, the cost to operate the unit and contractual obligations. As a result, the Company concluded that certain long-lived ethanol related assets were fully impaired. Accordingly, the Company recorded long-lived asset impairment losses, measured at the date of impairment (Note 2), of $123 million to fully write-off certain ethanol related assets. The Nanjing, China asset impairment is included in the Company's Acetyl Intermediates segment.
In December 2015, the Company made a payment terminating an existing agreement with a raw materials supplier in Singapore and recognized a $174 million charge, which reflects a discounted amount previously owed under that contract. This termination payment was determined not to have future economic benefit, and the contract's original terms substantially contributed to cumulative losses which resulted in a full impairment of the production assets in 2013. This charge is recorded in Other (charges) gains net, which is included in the Company's Acetyl Intermediates segment.
2014
During the year ended December 31, 2014, the Company received consideration of $8 million in connection with the settlement of a claim against a bankrupt supplier. The Company also recorded $12 million of damages in connection with the settlement of a claim by a raw materials supplier. These commercial dispute resolutions are included in the Acetyl Intermediates segment. In addition, the Company recovered $15 million from an arbitration award against a former utility operator at its cellulose derivatives manufacturing facility in Narrows, Virginia, which is included in the Consumer Specialties segment.
During the year ended December 31, 2014 the Company recorded $4 million of employee termination benefits related to the closure of its acetic anhydride facility in Roussillon, France and its vinyl acetate monomer ("VAM") facility in Tarragona, Spain. In addition, the Company recorded $2 million of contract termination adjustments related to the closure of its VAM facility in Tarragona, Spain.
The changes in the restructuring reserves by business segment are as follows:
 
Advanced
Engineered
Materials
 
Consumer
Specialties
 
Industrial
Specialties
 
Acetyl
Intermediates
 
Other
 
Total
 
(In $ millions)
Employee Termination Benefits
 
 
 
 
 
 
 
 
 
 
 
As of December 31, 2014
4

 
1

 
1

 
5

 
3

 
14

Additions
7

 
25

 
9

 
2

 
9

 
52

Cash payments
(4
)
 
(12
)
 
(4
)
 
(5
)
 
(3
)
 
(28
)
Other changes
(3
)
 

 

 

 
(3
)
 
(6
)
Exchange rate changes
(1
)
 

 

 
(1
)
 

 
(2
)
As of December 31, 2015
3

 
14

 
6

 
1

 
6

 
30

Additions
2

 
2

 
2

 
1

 
3

 
10

Cash payments
(3
)
 
(6
)
 
(6
)
 
(1
)
 
(5
)
 
(21
)
Other changes
(1
)
 

 

 

 
(1
)
 
(2
)
Exchange rate changes

 
(1
)
 

 

 

 
(1
)
As of December 31, 2016
1

 
9

 
2

 
1

 
3

 
16

Other Plant/Office Closures
 
 
 
 
 
 
 
 
 
 
 
As of December 31, 2014

 

 

 
7

 

 
7

Additions

 

 

 

 

 

Cash payments

 

 

 
(6
)
 

 
(6
)
Other changes

 

 

 

 

 

Exchange rate changes

 

 

 
(1
)
 

 
(1
)
As of December 31, 2015

 

 

 

 

 

Additions

 

 

 

 

 

Cash payments

 

 

 

 

 

Other changes

 

 

 



 

Exchange rate changes

 

 

 

 

 

As of December 31, 2016

 

 

 

 

 

Total
1

 
9

 
2

 
1

 
3

 
16