RELATED PARTY TRANSACTIONS

Effective with the separation from DowDuPont on April 1, 2019, TDCC became a wholly owned subsidiary of Dow Inc. and reported transactions with Dow Inc. as related party transactions. From the Merger date through March 31, 2019, TDCC reported transactions with DowDuPont and Historical DuPont and its affiliates as related party transactions.

TDCC

TDCC committed to fund Dow Inc.'s dividends paid to common stockholders, share repurchases and certain governance expenses. Funding was accomplished through intercompany loans. At June 30, 2019, TDCC's outstanding intercompany loan balance with Dow Inc. was $1,147 million, included in "Notes payable" in the consolidated balance sheets.

DowDuPont

Pursuant to the Merger Agreement, TDCC committed to fund a portion of DowDuPont's dividends paid to common stockholders and certain governance expenses. In addition, share repurchases by DowDuPont were partially funded by TDCC through 2018. Funding was accomplished through intercompany loans. On a quarterly basis, TDCC's Board reviewed and determined a dividend distribution to DowDuPont to settle the intercompany loans. The dividend distribution considered the level of TDCC’s earnings and cash flows and the outstanding intercompany loan balances. For the three months ended March 31, 2019, TDCC declared and paid dividends to DowDuPont of $535 million ($1,053 million and $2,110 million for the three and six months ended June 30, 2018, respectively). In addition, at December 31, 2018, TDCC had a receivable related to a tax sharing agreement with DowDuPont of $89 million, included in "Accounts and notes receivable - Other" in the consolidated balance sheets.

Historical DuPont and its Affiliates

TDCC sold to and procured from Historical DuPont and its affiliates certain raw materials that were consumed in each company's manufacturing process. The following table presents amounts due to or due from Historical DuPont and its affiliates:



Balances Due To or Due From Historical DuPont and its Affiliates	Jun 30, 2019		Dec 31, 2018
In millions	Jun 30, 2019		Dec 31, 2018
Accounts and notes receivable - Other	$	—	$	89
Accounts payable - Other	$	—	$	19

The following table presents revenue earned and expenses incurred related to transactions with Historical DuPont and its affiliates:



Sales to Historical DuPont and its Affiliates	Three Months Ended				Six Months Ended
In millions	Jun 30, 2019		Jun 30, 2018		Jun 30, 2019		Jun 30, 2018
Net sales	$	—	$	13	$	12	$	25
Cost of sales	$	—	$	11	$	9	$	20

Purchases from Historical DuPont and its affiliates were insignificant for the three months ended March 31, 2019 and the three and six months ended June 30, 2018.