XML 30 R18.htm IDEA: XBRL DOCUMENT v3.5.0.2
Stockholders' Equity
 9 Months Ended
Sep. 30, 2016
Stockholders' Equity Note [Abstract]  
Stockholders' Equity
Stockholders’ Equity 
Share Repurchase Program
2015 Share Buyback Plan
In the first quarter 2015, DuPont announced its intention to buy back shares of about $4,000 using the distribution proceeds received from Chemours. In connection with the completion of the spin-off of Chemours, the Board of Directors authorized the use of the distribution proceeds to buy back shares of the company's common stock as follows: $2,000 to be purchased and retired by December 31, 2015, which was completed during 2015, with the remainder to be purchased and retired by December 31, 2016. There were no share repurchases under this plan in the first and second quarter 2016. As a result of the planned merger with Dow, the company’s opportunity to repurchase shares was restricted until after the shareholder vote on the merger. The shareholder vote occurred on July 20, 2016. During the third quarter 2016, the company purchased and retired 6 million shares in the open market for a total cost of $416. As of September 30, 2016, in aggregate, the company has paid $2,416 and received and retired 41 million shares. During the fourth quarter of 2016, the company will evaluate the opportunities to enter the market and plans to make additional repurchases; however, the company will not complete the remainder of the $2,000 stock buyback by year-end 2016.

2014 Share Buyback Plan
In January 2014, the company's Board of Directors authorized a $5,000 share buyback plan that replaced the 2011 plan. During the nine months ended September 30, 2015, the company purchased and retired 4.6 million shares in the open market for a total cost of $353, which offset the dilution from employee compensation plans in the first and second quarter of 2015. There were no share repurchases under this plan in the first, second and third quarter 2016. As of September 30, 2016, in aggregate, the company has purchased 34.7 million shares at a total cost of $2,353 under the plan. There is no required completion date for the remaining stock purchases under the 2014 plan.

Noncontrolling Interest
In September 2015, the company obtained a controlling interest in a joint venture included in the Performance Materials segment. Accordingly, the company consolidated the entity at September 30, 2015 and recorded the fair value of the noncontrolling interest in the amount of $157 in the Condensed Consolidated Balance Sheet.

Other Comprehensive Income (Loss)
A summary of the changes in other comprehensive income (loss) for the three and nine months ended September 30, 2016 and 2015 is provided as follows:
 
Three Months Ended
Three Months Ended
Affected Line Item in Consolidated Income Statements
 
September 30, 2016
September 30, 2015
 
Pre-Tax
Tax
After-Tax
Pre-Tax
Tax
After-Tax
 
Cumulative translation adjustment(1)
$
114

$
—

$
114

$
(125
)
$
—

$
(125
)
 
Additions and revaluations of derivatives designated as cash flow hedges
(3
)
1

(2
)
(22
)
9

(13
)
See (2) below
Pension benefit plans:
 
 
 
 
 
 
 
Net (loss) gain
(228
)
48

(180
)
634

(228
)
406

See (2) below
Effect of foreign exchange rates
4

—

4

54

(16
)
38

See (2) below
Reclassifications to net income:
 
 
 
 
 
 
 
Amortization of prior service benefit
(2
)
1

(1
)
(3
)
1

(2
)
See (3) below
Amortization of loss
229

(81
)
148

172

(61
)
111

See (3) below
Curtailment gain, net
(1
)
(1
)
(2
)
(7
)
3

(4
)
See (3) below
Settlement loss
22

(7
)
15

44

(16
)
28

See (3) below
Pension benefit plans, net
24

(40
)
(16
)
894

(317
)
577

 
Other benefit plans:
 
 
 
 
 
 
 
Net loss
—

—

—

(73
)
27

(46
)
See (2) below
Effect of foreign exchange rates
(2
)
—

(2
)
(1
)
1

—

See (2) below
Reclassifications to net income:
 
 
 
 
 
 
 
Amortization of prior service benefit
(36
)
14

(22
)
(39
)
13

(26
)
See (3) below
Amortization of loss
21

(8
)
13

20

(7
)
13

See (3) below
Curtailment gain, net
—

—

—

(274
)
98

(176
)
See (3) below
Other benefit plans, net
(17
)
6

(11
)
(367
)
132

(235
)
 
Net unrealized gain on securities:
 
 
 
 
 
 
 
Unrealized loss on securities arising during the period
(1
)
—

(1
)
—

—

—

See (4) below
Reclassification of loss realized in net income
6

—

6

—

—

—

Other (loss) income, net
Net unrealized gain on securities
5

—

5

—

—

—

 
Other comprehensive income
$
123

$
(33
)
$
90

$
380

$
(176
)
$
204

 


 
Nine Months Ended
Nine Months Ended
Affected Line Item in Consolidated Income Statements
 
September 30, 2016
September 30, 2015
 
Pre-Tax
Tax
After-Tax
Pre-Tax
Tax
After-Tax
 
Cumulative translation adjustment(1)
$
187

$
—

$
187

$
(1,405
)
$
—

$
(1,405
)
 
Net revaluation and clearance of cash flow hedges to earnings:
 
 
 
 
 
 
 
Additions and revaluations of derivatives designated as cash flow hedges
34

(13
)
21

(36
)
12

(24
)
See (2) below
Clearance of hedge results to earnings:
 
 
 
 
 
 
 
Foreign currency contracts
—

—

—

(10
)
4

(6
)
Net sales
Commodity contracts
18

(7
)
11

22

(9
)
13

Cost of goods sold
Net revaluation and clearance of cash flow hedges to earnings
52

(20
)
32

(24
)
7

(17
)
 
Pension benefit plans:
 
 
 
 
 
 
 
Net (loss) gain
(2,700
)
931

(1,769
)
628

(226
)
402

See (2) below
Effect of foreign exchange rates
36

(7
)
29

92

(25
)
67

See (2) below
Reclassifications to net income:
 
 
 
 
 
 
 
Amortization of prior service benefit
(5
)
2

(3
)
(6
)
2

(4
)
See (3) below
Amortization of loss
605

(213
)
392

591

(210
)
381

See (3) below
Curtailment loss (gain), net
65

(23
)
42

(7
)
3

(4
)
See (3) below
Settlement loss
60

(22
)
38

53

(19
)
34

See (3) below
Pension benefit plans, net
(1,939
)
668

(1,271
)
1,351

(475
)
876

 
Other benefit plans:
 
 
 
 
 
 
 
Net loss
(265
)
95

(170
)
(73
)
27

(46
)
See (2) below
Effect of foreign exchange rates
(2
)
—

(2
)
(1
)
1

—

See (2) below
Reclassifications to net income:
 
 
 
 
 
 
 
Amortization of prior service benefit
(111
)
39

(72
)
(143
)
50

(93
)
See (3) below
Amortization of loss
56

(20
)
36

58

(20
)
38

See (3) below
Curtailment gain, net
(33
)
11

(22
)
(274
)
98

(176
)
See (3) below
Other benefit plans, net
(355
)
125

(230
)
(433
)
156

(277
)
 
Net unrealized gain on securities:
 
 
 
 
 
 
 
Unrealized loss on securities arising during the period
(8
)
—

(8
)
—

—

—

See (4) below
Reclassification of loss realized in net income
19

—

19

—

—

—

Other (loss) income, net
Net unrealized gain on securities
11

—

11

—

—

—

 
Other comprehensive loss
$
(2,044
)
$
773

$
(1,271
)
$
(511
)
$
(312
)
$
(823
)
 


1. 
The currency translation gain for the three and nine months ended September 30, 2016 is primarily driven by the modest weakening of the U.S. dollar (USD) against the European Euro (EUR) and the Brazilian real (BRL). The currency translation loss for the three months ended September 30, 2015 was driven by the strengthening of the USD against the BRL partially offset by the USD weakening against the EUR. The currency translation loss for the nine months ended September 30, 2015 was driven by the strengthening of the USD against both the BRL and the EURO.
2. 
These amounts represent changes in accumulated other comprehensive loss excluding changes due to reclassifying amounts to the interim Consolidated Income Statements. See Notes 13 and 14 for additional information.
3. 
These accumulated other comprehensive loss components are included in the computation of net periodic benefit cost of the company's pension and other long-term employee benefit plans. See Note 14 for additional information.
4. 
The unrealized gain (loss) on securities during the three and nine months ended September 30, 2016 is due to the re-measurement of USD denominated marketable securities held by certain foreign entities at September 30, 2016 with a corresponding offset to cumulative translation adjustment.


The changes and after-tax balances of components comprising accumulated other comprehensive loss are summarized below:
 
Cumulative Translation Adjustment
Net Revaluation and Clearance of Cash Flow Hedges to Earnings
Pension Benefit Plans
Other Benefit Plans
Unrealized (Loss) Gain on Securities
Total
2016
 

 

 

 

 

 

Balance January 1, 2016
$
(2,333
)
$
(24
)
$
(7,043
)
$
22

$
(18
)
$
(9,396
)
Other comprehensive income (loss) before reclassifications
187

21

(1,740
)
(172
)
(8
)
(1,712
)
Amounts reclassified from accumulated other comprehensive income (loss)
—

11

469

(58
)
19

441

Balance September 30, 2016
$
(2,146
)
$
8

$
(8,314
)
$
(208
)
$
(7
)
$
(10,667
)

 
Cumulative Translation Adjustment
Net Revaluation and Clearance of Cash Flow Hedges to Earnings
Pension Benefit Plans
Other Benefit Plans
Unrealized (Loss) Gain on Securities
Total
2015
 

 

 

 

 

 

Balance January 1, 2015
$
(919
)
$
(6
)
$
(7,895
)
$
262

$
2

$
(8,556
)
Other comprehensive income (loss) before reclassifications
(1,405
)
(24
)
469

(46
)
—

(1,006
)
Amounts reclassified from accumulated other comprehensive income (loss)
—

7

407

(231
)
—

183

Spin-off of Chemours
191

—

278

—

(1
)
468

Balance September 30, 2015
$
(2,133
)
$
(23
)
$
(6,741
)
$
(15
)
$
1

$
(8,911
)