Operating Segment Information

12 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

Operating Segment Information

Note 25. Operating Segment Information

We derive our revenues, earnings and cash flows from the manufacture and sale of a wide variety of chemical products. We have reported our operations through our two segments, Titanium Dioxide and Performance Additives, and organized our business and derived our operating segments around differences in product lines.

The major product groups of each reportable operating segment are as follows:

Segment	Product Group
Titanium Dioxide	titanium dioxide
Performance Additives	functional additives, color pigments, and timber treatment

Sales between segments are generally recognized at external market prices and are eliminated in consolidation. Adjusted EBITDA is presented as a measure of the financial performance of our global business units and for reporting the results of our operating segments. The revenues and adjusted EBITDA for each of the two reportable operating segments are as follows:

	Year ended December 31,
	2022		2021		2020
Revenues:
Titanium Dioxide	$	1,597	$	1,665	$	1,431
Performance Additives	576		547		507
Total	$	2,173	$	2,212	$	1,938
Adjusted EBITDA(1):
Titanium Dioxide	$	43	$	165	$	127
Performance Additives	53		65		55
	96		230		182
Corporate and other	(43)		(50)		(46)
Total	$	53	$	180	$	136
Reconciliation of adjusted EBITDA to net loss:
Interest expense	(76)		(71)		(64)
Interest income	15		12		12
Income tax benefit (expense)	(63)		31		(12)
Depreciation and amortization	(107)		(119)		(114)
Net income attributable to noncontrolling interests	7		3		7
Other adjustments:
Business acquisition and integration expense	(1)		(1)		(1)
Separation (expense) gain, net	(2)		(3)		10
Gain (loss) on disposition of businesses/assets	40		(9)		5
Certain legal expenses/ settlements	81		(5)		(6)
Amortization of pension and postretirement actuarial losses	(2)		(11)		(13)
Net plant incident costs, net	16		(13)		(7)
Restructuring, impairment and plant closing and transition costs	(142)		(68)		(58)
Net loss	$	(181)	$	(74)	$	(105)
Depreciation and Amortization:
Titanium Dioxide	$	83	$	89	$	85
Performance Additives	24		29		26
Corporate and other	—		1		3
Total	$	107	$	119	$	114

	Year ended December 31,
	2022		2021		2020
Capital Expenditures:
Titanium Dioxide	$	52	$	61	$	60
Performance Additives	17		12		9
Total	$	69	$	73	$	69
Total Assets:
Titanium Dioxide	$	1,480	$	1,614
Performance Additives	195		481
Assets held for sale	198		—
Corporate and other	196		269
Total	$	2,069	$	2,364

(1)Our management uses adjusted EBITDA to assess financial performance. Adjusted EBITDA is defined as net income/loss before interest income/expense, net, income tax expense/benefit, depreciation and amortization, and net income attributable to noncontrolling interests, as well as eliminating the following adjustments: (a) business acquisition and integration expense/credits; (b) separation gain/expense, net; (c) loss/gain on disposition of businesses/assets; (d) certain legal expenses/settlements; (e) amortization of pension and postretirement actuarial losses/gains; (f) net plant incident costs/credits; and (g) restructuring, impairment, and plant closing and transition costs/credits. We believe that net income is the performance measure calculated and presented in accordance with GAAP that is most directly comparable to adjusted EBITDA.

	Year ended December 31,
By Geographic Area	2022		2021		2020
Revenues(1):
United States	$	622	$	511	$	476
Germany	189		227		214
Italy	133		129		101
United Kingdom	97		117		105
India	92		76		54
China	91		108		103
Spain	86		92		76
France	79		83		76
Other nations	784		869		733
Total	$	2,173	$	2,212	$	1,938
Long Lived Assets:
Germany	$	221	$	242
United Kingdom	145		174
Italy	87		147
United States	27		91
Malaysia	68		79
Other nations	92		115
Total	$	640	$	848

(1)Geographic information for revenues is based upon countries into which product is sold.