XML 64 R48.htm IDEA: XBRL DOCUMENT v3.10.0.1
STOCKHOLDERS' EQUITY (Tables)
 12 Months Ended
Dec. 31, 2018
Stockholders' Equity Note [Abstract]  
Schedule of Other Share-based Compensation, Activity
The number of treasury shares issued to employees and non-employee directors under the Company’s stock-based compensation programs are summarized in the following table. See Note 20 for additional information on changes to Dow equity awards in connection with the Merger.

Treasury Shares Issued Under Stock-Based Compensation Programs
 
 
 
In thousands
2018
2017 1
2016
To employees and non-employee directors
N/A
14,195

14,494

1.
Reflects activity prior to the Merger.
Schedule of Common Stock and Treasury Stock Outstanding Roll Forward
The following table provides a reconciliation of Dow Common Stock activity, prior to the Merger, for the years ended December 31, 2017 and 2016:

Shares of Dow Common Stock
Issued
Held in Treasury
In thousands
Balance at Jan 1, 2016
1,242,795

125,853

Issued 1
—

(14,494
)
Repurchased
—

17,107

Preferred stock converted to common stock
—

(96,804
)
Balance at Dec 31, 2016
1,242,795

31,662

Issued 1
—

(14,195
)
Converted to DowDuPont shares or canceled on Aug 31, 2017 2
(1,242,795
)
(17,467
)
Balance at Aug 31, 2017
—

—

1.
Shares issued to employees and non-employee directors under the Company's equity compensation plans.
2.
Each share of Dow Common Stock issued and outstanding immediately prior to the Merger was converted into one share of DowDuPont Common Stock; treasury shares were canceled as a result of the Merger.
Comprehensive Income (Loss)
The following table summarizes the changes and after-tax balances of each component of AOCL for the years ended December 31, 2018, 2017 and 2016:

Accumulated Other Comprehensive Loss
Unrealized Gains (Losses) on Investments
Cumulative Translation Adj
Pension and Other Postretire Benefits
Derivative Instruments
Total Accum Other Comp Loss
In millions
2016
 
 
 
 
 
Balance at Jan 1, 2016
$
47

$
(1,737
)
$
(6,769
)
$
(208
)
$
(8,667
)
Other comprehensive income (loss) before reclassifications
32

(644
)
(1,354
)
84

(1,882
)
Amounts reclassified from accumulated other comprehensive income (loss)
(36
)
—

734

29

727

Net other comprehensive income (loss)
$
(4
)
$
(644
)
$
(620
)
$
113

$
(1,155
)
Balance at Dec 31, 2016
$
43

$
(2,381
)
$
(7,389
)
$
(95
)
$
(9,822
)
2017
 
 
 
 
 
Other comprehensive income (loss) before reclassifications
25

908

(23
)
1

911

Amounts reclassified from accumulated other comprehensive income (loss)
(71
)
(8
)
414

(15
)
320

Net other comprehensive income (loss)
$
(46
)
$
900

$
391

$
(14
)
$
1,231

Balance at Dec 31, 2017
$
(3
)
$
(1,481
)
$
(6,998
)
$
(109
)
$
(8,591
)
2018
 
 
 
 
 
Balance at Jan 1, 2018 1
$
17

$
(1,481
)
$
(6,998
)
$
(109
)
$
(8,571
)
Other comprehensive income (loss) before reclassifications
(74
)
(221
)
(495
)
4

(786
)
Amounts reclassified from accumulated other comprehensive income (loss)
7

(4
)
455

71

529

Net other comprehensive income (loss)
$
(67
)
$
(225
)
$
(40
)
$
75

$
(257
)
Reclassification of stranded tax effects 2
$
(1
)
$
(107
)
$
(927
)
$
(22
)
$
(1,057
)
Balance at Dec 31, 2018
$
(51
)
$
(1,813
)
$
(7,965
)
$
(56
)
$
(9,885
)
1.
The beginning balance of "Unrealized gains (losses) on investments" was increased by $20 million to reflect the impact of adoption of ASU 2016-01. See Notes 1 and 2 for additional information.
2.
Amounts reclassified to retained earnings as a result of the adoption of ASU 2018-02. See Notes 1 and 2 for additional information.

The tax effects on the net activity related to each component of other comprehensive income (loss) for the years ended December 31, 2018, 2017 and 2016 were as follows:

Tax Benefit (Expense) 1
2018
2017
2016
In millions
Unrealized gains (losses) on investments
$
17

$
26

$
(2
)
Cumulative translation adjustments
(6
)
(98
)
(171
)
Pension and other postretirement benefit plans
(9
)
(213
)
438

Derivative instruments
(20
)
(3
)
(32
)
Tax benefit (expense) from income taxes related to other comprehensive income
(loss) items
$
(18
)
$
(288
)
$
233
Reclassification out of Accumulated Other Comprehensive Income
A summary of the reclassifications out of AOCL for the years ended December 31, 2018, 2017 and 2016 is provided as follows:

 
Reclassifications Out of Accumulated Other Comprehensive Loss
In millions
2018
2017
2016
Consolidated Statements of Income Classification
 
 
Unrealized (gains) losses on investments
$
9

$
(110
)
$
(56
)
See (1) below
 
   Tax (benefit) expense
(2
)
39

20

See (2) below
 
   After tax
$
7

$
(71
)
$
(36
)
 
 
Cumulative translation adjustments
$
(4
)
$
(8
)
$
—

See (3) below
 
Pension and other postretirement benefit plans
$
594

$
607

$
913

See (4) below
 
   Tax benefit
(139
)
(193
)
(179
)
See (2) below
 
   After tax
$
455

$
414

$
734

 
 
Derivative instruments
$
89

$
(13
)
$
34

See (5) below
 
   Tax benefit
(18
)
(2
)
(5
)
See (2) below
 
   After tax
$
71

$
(15
)
$
29

 
 
Total reclassifications for the period, after tax
$
529

$
320

$
727

 
1.
"Net sales" and "Sundry income (expense) - net."
2.
"Provision for income taxes."
3.
"Sundry income (expense) - net."
4.
These AOCL components are included in the computation of net periodic benefit cost of the Company's defined benefit pension and other postretirement benefit plans. See Note 19 for additional information. In the year ended December 31, 2016, $360 million was included in “Sundry income (expense) - net” (zero impact to "Provision for income taxes") related to the Dow Silicones ownership restructure. See Note 5 for additional information.
5.
"Cost of sales," "Sundry income (expense) - net" and "Interest expense and amortization of debt discount."