Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Reconciliation of Statutory U.S. Corporate Federal Income Tax Rate to Effective Income Tax Rate

A reconciliation of the statutory U.S. corporate federal income tax rate to the Company's effective tax rate follows:

		2013		2012		2011
U.S. federal income tax rate		35.0	%	35.0	%	35.0	%
Changes in rate due to:
	U.S. State and local taxes	0.8		0.6		0.7
	U.S. tax benefit on foreign dividends	(2.7	)	(1.5	)	(1.0	)
	Taxes on foreign earnings	(7.8	)	(9.7	)	(10.9	)
	PPG dividends paid to the ESOP	(0.4	)	(0.2	)	(0.4	)
	U.S. tax incentives	(2.4	)	(1.9	)	(1.8	)
	Significant audit settlements	—		—		(1.4	)
	Other	(0.1	)	(1.4	)	1.1
	Effective income tax rate	22.4	%	20.9	%	21.3	%

Components of Income Tax Expense

The provision for income taxes by taxing jurisdiction and by significant components consisted of the following:

(Millions)		2013			2012			2011
Current income tax expense
	U.S. federal	153			228			107
	U.S. state and local	14			15			8
	Foreign	202			190			164
	Total current income tax	369			433			279
Deferred income tax expense
	U.S. federal	(29		)	(150		)	(3		)
	U.S. state and local	(6		)	(14		)	1
	Foreign	(1		)	(48		)	(17		)
	Total deferred income tax	(36		)	(212		)	(19		)
	Total	$	333		$	221		$	260

Net deferred income tax assets and liabilities

Net deferred income tax assets and liabilities as of December 31 were as follows:

(Millions)		2013			2012
Deferred income tax assets related to
	Employee benefits	$	706		$	1,000
	Contingent and accrued liabilities	613			598
	Operating loss and other carry-forwards	269			223
	Inventories	31			21
	Property	4			5
	Derivatives	—			38
	Other	47			41
	Valuation allowance	(136		)	(138		)
	Total	1,534			1,788
Deferred income tax liabilities related to
	Property	310			405
	Intangibles	450			452
	Employee benefits	55			69
	Derivatives	41			—
	Other	21			3
	Total	877			929
	Deferred income tax assets – net	$	657		$	859

Unrecognized Tax Benefits

A reconciliation of the total amounts of unrecognized tax benefits (excluding interest and penalties) as of December 31 follows:

(Millions)	2013			2012			2011
Balance at January 1	$	82		$	107		$	111
Additions based on tax positions related to the current year	12			12			15
Additions for tax positions of prior years	9			2			17
Reductions for tax positions of prior years	(10		)	(12		)	(19		)
Pre-acquisition unrecognized tax benefits	—			2			—
Reductions for expiration of the applicable statute of limitations	(10		)	(6		)	(7		)
Settlements	—			(23		)	(8		)
Foreign currency translation	2			—			(2		)
Balance at December 31	$	85		$	82		$	107