Discontinued Operations and Disposal Groups (Tables)

9 Months Ended

Sep. 30, 2020

Discontinued Operations and Disposal Groups [Abstract]

Disposal Groups, Including Discontinued Operations

The following table reconciles the carrying amounts of major classes of assets and liabilities of discontinued operations to total assets and liabilities of discontinued operations that are classified as held for sale in the Company’s unaudited Condensed Consolidated Balance Sheets:

	September 30, 2020		December 31, 2019
Carrying amounts of major classes of assets held for sale:
Accounts receivable	$	59	$	49
Finished and in-process goods	17		21
Raw materials and supplies	17		18
Other current assets	10		11
Total current assets	103		99
Investment in unconsolidated entities	5		3
Other long-term assets	7		11
Property, plant and equipment, net	293		297
Operating lease assets	13		12
Goodwill	14		14
Other intangible assets, net	61		63
Discontinued operations impairment	(75)		—
Total long-term assets	318		400
Total assets held for sale	$	421	$	499
Carrying amounts of major classes of liabilities held for sale:
Accounts payable	$	48	$	52
Income taxes payable	2		—
Accrued payroll	5		5
Current portion of operating lease liabilities	2		2
Other current liabilities	10		10
Total current liabilities	67		69
Long-term pension and post employment benefit obligations	30		29
Deferred income taxes	16		15
Operating lease liabilities	5		4
Other long-term liabilities	8		8
Total long-term liabilities	59		56
Total liabilities held for sale	$	126	$	125

The following table shows the financial results of discontinued operations for the periods presented:

	Successor				Predecessor		Successor				Predecessor
	Three Months Ended September 30, 2020		July 2, 2019 through September 30, 2019		July 1, 2019		Nine Months Ended September 30, 2020		July 2, 2019 through September 30, 2019		January 1, 2019 through July 1, 2019
Major line items constituting pretax income of discontinued operations:
Net sales	$	120	$	149	$	—	$	360	$	149	$	309
Cost of sales (exclusive of depreciation and amortization)	100		130		—		301		130		263
Selling, general and administrative expense	11		8		—		33		8		17
Depreciation and amortization	8		7		—		26		7		9
Asset impairments	75		—		—		75		—		—
Business realignment costs	—		1		—		1		1		1
Other operating expense (income), net	—		1		—		—		1		(1)
Operating (loss) income	(74)		2		—		(76)		2		20
Reorganization items, net	—		—		(135)		—		—		(135)
Other non-operating expense, net	1		—		—		1		—		—
(Loss) income from discontinued operations before income tax, earnings from unconsolidated entities	(75)		2		135		(77)		2		155
Income tax expense	2		1		16		3		1		21
(Loss) income from discontinued operations, net of tax	$	(77)	$	1	$	119	$	(80)	$	1	$	134
Earnings from unconsolidated entities, net of tax	1		—		—		1		—		1
Net (loss) income attributable to discontinued operations	$	(76)	$	1	$	119	$	(79)	$	1	$	135

Equity Method Investments

The Company's 50% ownership interest in the Russia JV, accounted for using the equity method of accounting, is included in the Held for Sale Business. Summarized financial data for the Russia JV are shown in the following tables:

	September 30, 2020		December 31, 2019
Current assets	$	7	$	9
Non-current assets	1		1
Current liabilities	2		11
Non-current liabilities	7		12

	Successor				Predecessor		Successor				Predecessor
	Three Months Ended September 30, 2020		July 2, 2019 through September 30, 2019		July 1, 2019		Nine Months Ended September 30, 2020		July 2, 2019 through September 30, 2019		January 1, 2019 through July 1, 2019
Net sales	$	8	$	10	$	—	$	25	$	10	$	18
Gross profit	3		2		—		9		2		4
Pre-tax income	1		—		—		3		—		2
Net income	—		—		—		2		—		2