Business Combinations

12 Months Ended

Dec. 31, 2019

Business Combination Disclosure [Text Block]

COMMON CONTROL BUSINESS COMBINATIONS

DAS Common Control Combination

Based on an evaluation of the provisions of ASC 805 (Business Combinations), Corteva and DAS represent entities under common control, as both shared DowDuPont as their parent company. As a result, the assets, liabilities and operations of Corteva and DAS are combined at their historical carrying amounts, and all historical periods are adjusted as if Corteva and DAS had been combined since the Merger Effectiveness Time, when the entities were first under common control. Accordingly, the accompanying Consolidated Financial Statements and Notes thereto have been retrospectively revised to include the transferred net assets and results of operations of DAS beginning on September 1, 2017. Refer to Note 1 - Background and Basis of Presentation, for additional information on the common control combination.

The following table summarizes the final recording of assets and liabilities of DAS at their respective carrying values as of September 1, 2017:



(In millions)	September 1, 2017
Cash and cash equivalents	$	98
Accounts and notes receivable - net	1,377
Inventories	2,133
Other current assets	130
Investments in nonconsolidated affiliates	50
Property, plant and equipment - net	1,555
Goodwill	1,472
Other intangible assets	130
Deferred income taxes	230
Other assets	97
Short-term borrowings and finance lease obligations	6
Accounts payable	1,414
Income taxes payable	103
Accrued and other current liabilities	482
Long-term debt	27
Deferred income tax liabilities	66
Pension and other post employment benefits - noncurrent	126
Other noncurrent obligations	170

The following tables provide supplemental results of EID and DAS, as previously reported, for the year ended December 31, 2018 and the period September 1 through December 31, 2017:



For the Year Ended December 31, 2018
(In millions)	Historical EID			Discontinued Operations and Other Adjustments¹			DAS			Corteva
Net Sales	$	26,279		$	(17,638	)	$	5,646		$	14,287
(Loss) income from continuing operations before income taxes	$	(4,793	)	$	(2,128	)	$	115		$	(6,806	)
Loss from continuing operations after income taxes	$	(5,013	)	$	(1,753	)	$	(9	)	$	(6,775	)



For the Period September 1 through December 31, 2017
(In millions)	Historical EID			Discontinued Operations and Other Adjustments¹			DAS		Corteva
Net Sales	$	7,053		$	(5,477	)	$	2,214	$	3,790
(Loss) income from continuing operations before income taxes	$	(1,586	)	$	480		$	645	$	(461	)
Income from continuing operations after income taxes	$	1,087		$	485		$	188	$	1,760


1.	Reflects discontinued operations of EID's ECP and Specialty Products Entities and adjustments primarily related to the elimination of intercompany transactions between EID and DAS for periods subsequent to the Merger, as if they were combined affiliates, and adjustments made to align historical financial statement presentation of DAS and Corteva.

Intercompany balances and transactions with Historical EID and DAS have been eliminated.