Investment in Kronos Worldwide, Inc.

9 Months Ended

Sep. 30, 2017

Equity Method Investments And Joint Ventures [Abstract]

Note 5 – Investment in Kronos Worldwide, Inc.:

At December 31, 2016 and September 30, 2017, we owned approximately 35.2 million shares of Kronos common stock. At September 30, 2017, the quoted market price of Kronos’ common stock was $22.83 per share, or an aggregate market value of $804.1 million. At December 31, 2016, the quoted market price was $11.94 per share, or an aggregate market value of $420.5 million.

The change in the carrying value of our investment in Kronos during the first nine months of 2017 is summarized below.

	Amount
	(In millions)
Balance at the beginning of the period	$	120.3
Equity in earnings of Kronos		93.4
Dividends received from Kronos		(15.8	)
Equity in Kronos' other comprehensive income (loss):
Marketable securities		(.4	)
Currency translation		16.3
Interest rate swap		.6
Defined benefit pension plans		1.9

Balance at the end of the period	$	216.3

Selected financial information of Kronos is summarized below:

	December 31,		September 30,
	2016		2017
	(In millions)
Current assets	$	650.4	$	1,021.2
Property and equipment, net		434.0		486.2
Investment in TiO₂ joint venture		78.9		75.1
Deferred income taxes		8.1		120.0
Other noncurrent assets		8.2		7.9

Total assets	$	1,179.6	$	1,710.4

Current liabilities	$	182.1	$	240.0
Long-term debt		335.4		467.5
Accrued pension and postretirement benefits		234.2		261.6
Other noncurrent liabilities		32.9		30.6
Stockholders' equity		395.0		710.7

Total liabilities and stockholders' equity	$	1,179.6	$	1,710.4

	Three months ended				Nine months ended
	September 30,				September 30,
	2016		2017		2016		2017
	(In millions)
Net sales	$	356.1	$	464.5	$	1,030.6	$	1,275.7
Cost of sales		280.6		312.3		859.2		890.3
Income from operations		28.0		91.6		38.2		214.0
Income tax expense (benefit)		0.7		6.1		3.2		(114.0	)
Net income		22.2		73.8		20.1		307.1