Reportable Segments (Tables)

12 Months Ended

Dec. 31, 2019



	Display ‎Technologies		Optical ‎Communications		Specialty ‎Materials		Environmental ‎Technologies		Life ‎Sciences		All ‎Other		Total

For the year ended December 31, 2019
Segment net sales	$	3,254	$	4,064	$	1,594	$	1,499	$	1,015	$	230	$	11,656
Depreciation (1)	$	583	$	237	$	145	$	128	$	49	$	50	$	1,192
Research, development ‎ and engineering expenses (2)	$	119	$	218	$	154	$	118	$	21	$	237	$	867
Income tax (provision) benefit	$	(206)	$	(134)	$	(81)	$	(70)	$	(40)	$	80	$	(451)
Net income (loss) (3)	$	786	$	489	$	302	$	263	$	150	$	(289)	$	1,701
Investment in affiliated companies, at equity	$	145	$	3	$	3			$	3			$	154
Segment assets (4)	$	9,022	$	3,004	$	2,433	$	1,912	$	627	$	891	$	17,889
Capital expenditures	$	872	$	329	$	176	$	287	$	80	$	155	$	1,899

For the year ended December 31, 2018
Segment net sales	$	3,276	$	4,192	$	1,479	$	1,289	$	946	$	216	$	11,398
Depreciation (1)	$	585	$	218	$	136	$	119	$	50	$	38	$	1,146
Research, development ‎ and engineering expenses (2)	$	106	$	212	$	163	$	118	$	20	$	231	$	850
Income tax (provision) benefit	$	(221)	$	(163)	$	(83)	$	(55)	$	(31)	$	76	$	(477)
Net income (loss) (3)	$	835	$	592	$	313	$	208	$	117	$	(281)	$	1,784
Investment in affiliated companies, at equity	$	131	$	3	$	6			$	1	$	171	$	312
Segment assets (4)	$	8,794	$	3,042	$	2,176	$	1,633	$	585	$	1,018	$	17,248
Capital expenditures	$	755	$	417	$	242	$	273	$	55	$	329	$	2,071

For the year ended December 31, 2017
Segment net sales	$	3,137	$	3,545	$	1,403	$	1,106	$	879	$	188	$	10,258
Depreciation (1)	$	534	$	193	$	129	$	124	$	52	$	45	$	1,077
Research, development ‎ and engineering expenses (2)	$	88	$	174	$	152	$	113	$	22	$	211	$	760
Income tax (provision) benefit	$	(234)	$	(129)	$	(79)	$	(44)	$	(25)	$	69	$	(442)
Net income (loss) (3)	$	888	$	469	$	301	$	165	$	95	$	(259)	$	1,659
Investment in affiliated companies, at equity	$	134	$	2	$	3					$	140	$	279
Segment assets (4)	$	8,662	$	2,599	$	2,155	$	1,402	$	538	$	824	$	16,180
Capital expenditures	$	795	$	505	$	223	$	157	$	42	$	156	$	1,878

(1)Depreciation expense for Corning’s reportable segments includes an allocation of depreciation of corporate property not specifically identifiable to a segment.

(2)Research, development and engineering expenses include direct project spending that is identifiable to a segment.

(3)Many of Corning’s administrative and staff functions are performed on a centralized basis. Where practicable, Corning charges these expenses to segments based upon the extent to which each business uses a centralized function. Other staff functions, such as corporate finance, human resources and legal are allocated to segments, primarily as a percentage of sales.

(4)Segment assets include inventory, accounts receivable, property, plant and equipment, net of accumulated depreciation, and associated equity companies and cost investments.

Reconciliation of Reportable Segment and All Other Net Sales to Consolidated Net Sales



	Years ended December 31,
	2019		2018		2017
Net sales of reportable segments and All Other	$	11,656	$	11,398	$	10,258
Constant-currency adjustment (1)		(153)		(108)		(142)
Consolidated net sales	$	11,503	$	11,290	$	10,116

(1)This amount primarily represents the impact of foreign currency adjustments in the Display Technologies and Environmental Technologies segments.

Reconciliation of Reportable Segment Net Income to Consolidated Net Income (Loss)



	Years ended December 31,
	2019		2018		2017
Net income of reportable segments	$	1,990	$	2,065	$	1,918
Net loss of All Other		(289)		(281)		(259)
Unallocated amounts:
Impact of foreign currency movements not ‎ included in segment net income (loss)		(115)		(157)		(168)
Gain (loss) on foreign currency hedges ‎ related to translated earnings		245		(78)		(121)
Translation loss on Japanese yen-denominated debt		(3)		(18)		(14)
Litigation, regulatory and other legal matters		17		(124)		12
Research, development, and engineering expense		(164)		(134)		(106)
Equity in earnings of affiliated companies (1)		9		390		352
Amortization of intangibles		(113)		(93)		(75)
Interest expense, net		(200)		(149)		(110)
Pension mark to market		(95)		(145)		(22)
Income tax benefit (provision)		195		42		(1,709)
Other corporate items		(517)		(252)		(195)
Net income (loss)	$	960	$	1,066	$	(497)

(1)Refer to Note 6 (Investments) to the consolidated financial statements for additional detail.

Reconciliation of Reportable Segment Assets to Consolidated Total Assets



	December 31,
	2019		2018		2017
Total assets of reportable segments	$	16,998	$	16,230	$	15,356
Non-reportable segments		891		1,018		824
Unallocated amounts:
Current assets (1)		3,301		3,065		5,315
Investments (2)		180		64		61
Property, plant and equipment, net (3)		1,764		1,928		1,628
Other non-current assets (4)		5,764		5,200		4,310
Total assets	$	28,898	$	27,505	$	27,494

(1)Includes current corporate assets, including cash, other receivables, prepaid expenses and current portion of long-term derivative assets.

(2)Represents corporate equity and cost basis investments. Asset balance does not include equity method affiliate liability balance of $270 million and $105 million for HSG in 2019 and 2017.

(3)Represents corporate property not specifically identifiable to an operating segment.

(4)Includes non-current corporate assets, including goodwill, other intangible assets, pension assets, long-term derivative assets, operating leases and deferred income taxes.

Selected Financial Information On Product Lines and Reportable Segments



	Years ended December 31,
Revenues from External Customers	2019		2018		2017

Display Technologies	$	3,254	$	3,276	$	3,137

Optical Communications
Carrier network		2,885		3,084		2,720
Enterprise network		1,179		1,108		825
Total Optical Communications		4,064		4,192		3,545

Specialty Materials
Corning® Gorilla® Glass		1,180		1,069		1,044
Advanced optics and other specialty glass		414		410		359
Total Specialty Materials		1,594		1,479		1,403

Environmental Technologies
Automotive and other		907		719		627
Diesel		592		570		479
Total Environmental Technologies		1,499		1,289		1,106

Life Sciences
Labware		550		536		524
Cell culture products		465		410		355
Total Life Science		1,015		946		879

All Other		230		216		188

Net sales of reportable segments and All Other		11,656		11,398		10,258
Constant-currency adjustment (1)		(153)		(108)		(142)
Consolidated net sales	$	11,503	$	11,290	$	10,116

Information Concerning Principal Geographic Areas



	2019				2018				2017
	Net ‎sales (2)		Long-lived ‎assets (1)		Net ‎sales (2)		Long-lived ‎assets (1)		Net ‎sales (2)		Long-lived ‎assets (1)

North America
United States	$	3,760	$	7,654	$	3,569	$	7,538	$	3,146	$	6,605
Canada		277		126		296		127		287		144
Mexico		55		267		53		200		27		174
Total North America		4,092		8,047		3,918		7,865		3,460		6,923

Asia Pacific
Japan		441		893		415		1,148		476		1,119
Taiwan		880		2,280		921		2,326		900		2,357
China		3,096		3,816		2,716		2,644		2,247		2,125
Korea		1,051		3,625		1,259		3,736		1,337		3,869
Other		401		86		436		85		378		71
Total Asia Pacific		5,869		10,700		5,747		9,939		5,338		9,541

Europe
Germany		435		546		451		508		426		236
Other		886		947		905		1,167		701		1,108
Total Europe		1,321		1,493		1,356		1,675		1,127		1,344

All Other		374		38		377		41		333		46
Total	$	11,656	$	20,278	$	11,398	$	19,520	$	10,258	$	17,854

(1)Long-lived assets primarily include investments, plant and equipment, goodwill and other intangible assets.

(2)Net sales are attributed to countries based on location of customer.