Credit Losses

3 Months Ended

Jun. 30, 2020

Credit Loss [Abstract]

Allowance for Credit Losses

Allowance for Credit Losses

All trade receivables are reported on the condensed consolidated balance sheet at the outstanding principal amount adjusted for any allowance for credit losses and any charge offs. PPG provides an allowance for credit losses to reduce trade receivables to their estimated net realizable value equal to the amount that is expected to be collected. This allowance is estimated based on historical collection experience, current regional economic and market conditions, the aging of accounts receivable, assessments of current creditworthiness of customers, and forward-looking information. The use of forward-looking information is based on certain macroeconomic and microeconomic indicators including, but not limited to, regional business environment risk, political risk, and commercial and financing risks.

PPG reviews its reserves for credit losses on a quarterly basis to ensure its reserves for credit losses reflect regional risk trends as well as current and future global operating conditions.

The following table summarizes the activity for the allowance for credit losses for the nine months ended September 30, 2020:

($ in millions)	Trade Receivables Allowance for Credit Losses
January 1, 2020	$22
Current-period provision for credit losses	41
Trade receivables written off as uncollectible, net of recoveries	(15)
Foreign currency impact	(1)
September 30, 2020	$47