Exhibit 99.2

 

CHEMTURA CORPORATION 

 Index of Financial Schedules 

 

		Page
GAAP and Managed Basis Consolidated Statements of Operations (Unaudited):
Years ended December 31, 2009 and 2010			1
Quarters ended March 31, 2011 and June 30, 2011			2
Quarters ended September 30, 2011 and December 31, 2011			3
Year ended December 31, 2011			4
Quarters ended March 31, 2012 and June 30, 2012			5
Quarters ended September 30, 2012 and December 31, 2012			6
Year ended December 31, 2012			7
Quarters ended March 31, 2013 and June 30, 2013			8
Six months ended June 30, 2013			9
GAAP and Managed Basis Segment Net Sales and Operating Profit (Loss) (Unaudited):
Years ended December 31, 2009 and 2010			10
Quarters ended March 31, 2011 and June 30, 2011			11
Quarters ended September 30, 2011 and December 31, 2011			12
Year ended December 31, 2011			13
Quarters ended March 31, 2012 and June 30, 2012			14
Quarters ended September 30, 2012 and December 31, 2012			15
Year ended December 31, 2012			16
Quarters ended March 31, 2013 and June 30, 2013			17
Six months ended June 30, 2013			18
Corporate Stranded Costs			19

  

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Year ended December 31, 2009												Year ended December 31, 2010
		GAAP				Managed Basis Adjustments				Managed Basis				GAAP				Managed Basis Adjustments				Managed Basis
Net sales		$	1,536			$	-			$	1,536			$	1,914			$	-			$	1,914
Cost of goods sold			1,150				(1	)			1,149				1,454				(3	)			1,451
Gross profit			386				1				387				460				3				463
Gross profit %			25	%							25	%			24	%							24	%
Selling, general and administrative			219				(1	)			218				249				(5	)			244
Depreciation and amortization			121				(2	)			119				136				(28	)			108
Research and development			29				-				29				36				-				36
Facility closures, severance and related costs			3				(3	)			-				1				(1	)			-
Antitrust costs			10				(10	)			-				-				-				-
Gain on sale of business			-				-				-				(2	)			2				-
Impairment charges			2				(2	)			-				57				(57	)			-
Changes in estimates related to expected allowable claims			73				(73	)			-				35				(35	)			-
Equity loss (income)			2				-				2				(2	)			-				(2	)
Operating (loss) income			(73	)			92				19				(50	)			127				77
Interest expense			(70	)			-				(70	)			(191	)			137				(54	)
Loss on early extinguishment of debt			-				-				-				(88	)			88				-
Other expense, net			(10	)			-				(10	)			(7	)			-				(7	)
Reorganization items, net			(97	)			97				-				(303	)			303				-
(Loss) earnings from continuing operations before income taxes			(250	)			189				(61	)			(639	)			655				16
Income tax (expense) benefit			(14	)			35				21				(15	)			9				(6	)
(Loss) earnings from continuing operations			(264	)			224				(40	)			(654	)			664				10
(Loss) earnings from discontinued operations, net of tax			(25	)			25				-				81				(81	)			-
Loss on sale of discontinued operations, net of tax			(3	)			3				-				(12	)			12				-
Net (loss) earnings			(292	)			252				(40	)			(585	)			595				10
Less: Net earnings attributable to non-controlling interests			(1	)			1				-				(1	)			1				-
Net (loss) earnings attributable to Chemtura		$	(293	)		$	253			$	(40	)		$	(586	)		$	596			$	10
Basic and diluted per share information - attributable to Chemtura:
(Loss) earnings from continuing operations, net of tax		$	(1.08	)						$	(0.16	)		$	(2.94	)						$	0.04
(Loss) earnings from discontinued operations, net of tax			(0.11	)							-				0.36								-
Loss on sale of discontinued operations, net of tax			(0.01	)							-				(0.05	)							-
Net (loss) earnings		$	(1.20	)							(0.16	)		$	(2.63	)						$	0.04
Weighted average shares outstanding - Basic			242.9								242.9				223.0								223.0
Weighted average shares outstanding - Diluted			242.9								242.9				223.0								223.0
Managed Basis Adjustments consist of the following:
Other operational adjustments						$	2											$	8
Accelerated depreciation of property, plant and equipment							2												28
Facility closures, severance and related costs							3												1
Antitrust costs							10												-
Gain on sale of business							-												(2	)
Impairment charges							2												57
Changes in estimates related to expected allowable claims							73												35
Post-petition interest expense on allowable claims							-												137
Loss on early extinguishment of debt							-												88
Reorganization items, net							97												303
Pre-tax							189												655
Adjustment to apply a Managed Basis effective tax rate							35												9
Earnings from discontinued operations, net of tax							25												(81	)
Loss on sale of discontinued operations, net of tax							3												12
Non-controlling interests - Discontinued Operations							1												1
After-tax						$	253											$	596
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	(73	)										$	(50	)
Other operational adjustments											2												8
Accelerated depreciation of property, plant and equipment											2												28
Facility closures, severance and related costs											3												1
Antitrust costs											10												-
Gain on sale of business											-												(2	)
Impairment charges											2												57
Changes in estimates related to expected allowable claims											73												35
Operating income - Managed Basis											19												77
Depreciation and amortization - Managed Basis											119												108
Non-cash stock-based compensation expense											2												8
Adjusted EBITDA										$	140											$	193

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Quarter ended March 31, 2011												Quarter ended June 30, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	519			$	-			$	519			$	606			$	-			$	606
Cost of goods sold			388				-				388				442				1				443
Gross profit			131				-				131				164				(1	)			163
Gross profit %			25	%							25	%			27	%							27	%
Selling, general and administrative			63				-				63				72				-				72
Depreciation and amortization			28				(1	)			27				25				-				25
Research and development			9				-				9				9				-				9
Facility closures, severance and related costs			-				-				-				-				-				-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			2				(2	)			-				1				(1	)			-
Changes in estimates related to expected allowable claims			-				-				-				1				(1	)			-
Equity loss (income)			1				-				1				(1	)			-				(1	)
Operating income			28				3				31				57				1				58
Interest expense			(16	)			-				(16	)			(16	)			-				(16	)
Loss on early extinguishment of debt			-				-				-				-				-				-
Other income, net			1				-				1				-				-				-
Reorganization items, net			(7	)			7				-				(6	)			6				-
Earnings from continuing operations before income taxes			6				10				16				35				7				42
Income tax expense			(1	)			(3	)			(4	)			8				(20	)			(12	)
Earnings from continuing operations			5				7				12				43				(13	)			30
Earnings from discontinued operations, net of tax			2				(2	)			-				27				(27	)			-
Net earnings			7				5				12				70				(40	)			30
Less: Net earnings attributable to non-controlling interests			-				-				-				(1	)			1				-
Net earnings attributable to Chemtura		$	7			$	5			$	12			$	69			$	(39	)		$	30
Basic and diluted per share information - attributable to Chemtura:
Earnings from continuing operations, net of tax		$	0.05							$	0.12			$	0.43							$	0.30
Earnings from discontinued operations, net of tax			0.02								-				0.26								-
Net earnings		$	0.07							$	0.12			$	0.69							$	0.30
Weighted average shares outstanding - Basic			100.1								100.1				100.3								100.3
Weighted average shares outstanding - Diluted			100.1								100.1				100.5								100.5
Managed Basis Adjustments consist of the following:
Accelerated recognition of asset retirement obligations						$	-											$	(1	)
UK pension benefit matter							-												-
Loss on disposal of assets							-												-
Accelerated depreciation of property, plant and equipment							1												-
Facility closures, severance and related costs							-												-
Gain on sale of business							-												-
Impairment charges							2												1
Changes in estimates related to expected allowable claims							-												1
Loss on early extinguishment of debt							-												-
Release of translation adjustments from liquidation of entities							-												-
Reorganization items, net							7												6
Pre-tax							10												7
Adjustment to apply a Managed Basis effective tax rate							(3	)											(20	)
Earnings from discontinued operations, net of tax							(2	)											(27	)
Non-controlling interests - Discontinued Operations							-												1
After-tax						$	5											$	(39	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	28											$	57
Accelerated recognition of asset retirement obligations											-												(1	)
UK pension benefit matter											-												-
Loss on disposal of assets											-												-
Accelerated depreciation of property, plant and equipment											1												-
Facility closures, severance and related costs											-												-
Gain on sale of business											-												-
Impairment charges											2												1
Changes in estimates related to expected allowable claims											-												1
Operating income - Managed Basis											31												58
Depreciation and amortization - Managed Basis											27												25
Non-cash stock-based compensation expense											8												6
Adjusted EBITDA										$	66											$	89

 

  

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Quarter ended September 30, 2011												Quarter ended December 31, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	568			$	-			$	568			$	491			$	-			$	491
Cost of goods sold			435				-				435				361				(1	)			360
Gross profit			133				-				133				130				1				131
Gross profit %			23	%							23	%			26	%							27	%
Selling, general and administrative			67				(1	)			66				67				(8	)			59
Depreciation and amortization			26				-				26				24				(1	)			23
Research and development			9				-				9				9				-				9
Facility closures, severance and related costs			-				-				-				3				(3	)			-
Gain on sale of business			-				-				-				(27	)			27				-
Impairment charges			-				-				-				1				(1	)			-
Changes in estimates related to expected allowable claims			-				-				-				2				(2	)			-
Equity loss			-				-				-				1				-				1
Operating income			31				1				32				50				(11	)			39
Interest expense			(16	)			-				(16	)			(15	)			-				(15	)
Loss on early extinguishment of debt			-				-				-				-				-				-
Other (expense) income, net			(1	)			-				(1	)			1				-				1
Reorganization items, net			(6	)			6				-				-				-				-
Earnings from continuing operations before income taxes			8				7				15				36				(11	)			25
Income tax expense			(11	)			7				(4	)			(13	)			5				(8	)
(Loss) earnings from continuing operations			(3	)			14				11				23				(6	)			17
Earnings from discontinued operations, net of tax			12				(12	)			-				11				(11	)			-
Net earnings			9				2				11				34				(17	)			17
Less: Net loss attributable to non-controlling interests			-				-				-				-				-				-
Net earnings attributable to Chemtura		$	9			$	2			$	11			$	34			$	(17	)		$	17
Basic and diluted per share information - attributable to Chemtura:
(Loss) earnings from continuing operations, net of tax		$	(0.03	)						$	0.11			$	0.23							$	0.17
Earnings from discontinued operations, net of tax			0.12								-				0.11								-
Net earnings		$	0.09							$	0.11			$	0.34							$	0.17
Weighted average shares outstanding - Basic			100.3								100.3				99.6								99.6
Weighted average shares outstanding - Diluted			100.5								100.5				100.1								100.1
Managed Basis Adjustments consist of the following:
Accelerated recognition of asset retirement obligations						$	-											$	1
UK pension benefit matter							-												8
Loss on disposal of assets							1												-
Accelerated depreciation of property, plant and equipment							-												1
Facility closures, severance and related costs							-												3
Gain on sale of business							-												(27	)
Impairment charges							-												1
Changes in estimates related to expected allowable claims							-												2
Loss on early extinguishment of debt							-												-
Release of translation adjustments from liquidation of entities							-												-
Reorganization items, net							6												-
Pre-tax							7												(11	)
Adjustment to apply a Managed Basis effective tax rate							7												5
Earnings from discontinued operations, net of tax							(12	)											(11	)
Non-controlling interests - Discontinued Operations							-												-
After-tax						$	2											$	(17	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	31											$	50
Accelerated recognition of asset retirement obligations											-												1
UK pension benefit matter											-												8
Loss on disposal of assets											1												-
Accelerated depreciation of property, plant and equipment											-												1
Facility closures, severance and related costs											-												3
Gain on sale of business											-												(27	)
Impairment charges											-												1
Changes in estimates related to expected allowable claims											-												2
Operating income - Managed Basis											32												39
Depreciation and amortization - Managed Basis											26												23
Non-cash stock-based compensation expense											6												4
Adjusted EBITDA										$	64											$	66

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Year ended December 31, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	2,184			$	-			$	2,184
Cost of goods sold			1,626				-				1,626
Gross profit			558				-				558
Gross profit %			26	%							26	%
Selling, general and administrative			269				(9	)			260
Depreciation and amortization			103				(2	)			101
Research and development			36				-				36
Facility closures, severance and related costs			3				(3	)			-
Gain on sale of business			(27	)			27				-
Impairment charges			4				(4	)			-
Changes in estimates related to expected allowable claims			3				(3	)			-
Equity loss			1				-				1
Operating income			166				(6	)			160
Interest expense			(63	)			-				(63	)
Loss on early extinguishment of debt			-				-				-
Other expense, net			1				-				1
Reorganization items, net			(19	)			19				-
Earnings from continuing operations before income taxes			85				13				98
Income tax expense			(17	)			(11	)			(28	)
Earnings from continuing operations			68				2				70
Earnings from discontinued operations, net of tax			52				(52	)			-
Net earnings			120				(50	)			70
Less: Net earnings attributable to non-controlling interests			(1	)			1				-
Net earnings attributable to Chemtura		$	119			$	(49	)		$	70
Basic and diluted per share information - attributable to Chemtura:
Earnings from continuing operations, net of tax		$	0.68							$	0.70
Earnings from discontinued operations, net of tax			0.51								-
Net earnings		$	1.19							$	0.70
Weighted average shares outstanding - Basic			100.1								100.1
Weighted average shares outstanding - Diluted			100.3								100.3
Managed Basis Adjustments consist of the following:
Accelerated recognition of asset retirement obligations						$	-
UK pension benefit matter							8
Loss on disposal of assets							1
Accelerated depreciation of property, plant and equipment							2
Facility closures, severance and related costs							3
Gain on sale of business							(27	)
Impairment charges							4
Changes in estimates related to expected allowable claims							3
Loss on early extinguishment of debt							-
Release of translation adjustments from liquidation of entities							-
Reorganization items, net							19
Pre-tax							13
Adjustment to apply a Managed Basis effective tax rate							(11	)
Earnings from discontinued operations, net of tax							(52	)
Non-controlling interests - Discontinued Operations							1
After-tax						$	(49	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	166
Accelerated recognition of asset retirement obligations											-
UK pension benefit matter											8
Loss on disposal of assets											1
Accelerated depreciation of property, plant and equipment											2
Facility closures, severance and related costs											3
Gain on sale of business											(27	)
Impairment charges											4
Changes in estimates related to expected allowable claims											3
Operating income - Managed Basis											160
Depreciation and amortization - Managed Basis											101
Non-cash stock-based compensation expense											24
Adjusted EBITDA										$	285

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Quarter ended March 31, 2012												Quarter ended June 30, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	534			$	-			$	534			$	583			$	-			$	583
Cost of goods sold			386				-				386				425				-				425
Gross profit			148				-				148				158				-				158
Gross profit %			28	%							28	%			27	%							27	%
Selling, general and administrative			64				-				64				58				-				58
Depreciation and amortization			24				-				24				25				-				25
Research and development			11				-				11				10				-				10
Facility closures, severance and related costs			-				-				-				6				(6	)			-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			2				(2	)			-				-				-				-
Equity loss			1				-				1				1				-				1
Operating income			46				2				48				58				6				64
Interest expense			(14	)			-				(14	)			(16	)			-				(16	)
Loss on early extinguishment of debt			-				-				-				-				-				-
Other (expense) income, net			(3	)			-				(3	)			5								5
Reorganization items, net			(2	)			2				-				(1	)			1				-
Earnings from continuing operations before income taxes			27				4				31				46				7				53
Income tax benefit (expense)			1				(10	)			(9	)			(12	)			(3	)			(15	)
Earnings from continuing operations			28				(6	)			22				34				4				38
(Loss) earnings from discontinued operations, net of tax			(6	)			6				-				17				(17	)			-
Net earnings			22				-				22				51				(13	)			38
Less: Net earnings attributable to non-controlling interests			-				-				-				(1	)			1				-
Net earnings attributable to Chemtura		$	22			$	-			$	22			$	50			$	(12	)		$	38
Basic and diluted per share information - attributable to Chemtura:
Earnings from continuing operations, net of tax		$	0.28							$	0.22			$	0.34							$	0.38
(Loss) earnings from discontinued operations, net of tax			(0.06	)							-				0.16								-
Net earnings		$	0.22							$	0.22			$	0.50							$	0.38
Weighted average shares outstanding - Basic			98.3								98.3				98.9								98.9
Weighted average shares outstanding - Diluted			99.1								99.1				99.1								99.1
Managed Basis Adjustments consist of the following:
Accelerated recognition of asset retirement obligations						$	-											$	-
UK pension benefit matter							-												-
Accelerated depreciation of property, plant and equipment							-												-
Facility closures, severance and related costs							-												6
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							2												-
Loss on early extinguishment of debt							-												-
Release of translation adjustments from liquidation of entities							-												-
Reorganization items, net							2												1
Pre-tax							4												7
Adjustment to apply a Managed Basis effective tax rate							(10	)											(3	)
Loss (earnings) from discontinued operations, net of tax							6												(17	)
Non-controlling interests - Discontinued Operations							-												1
After-tax						$	-											$	(12	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	46											$	58
Accelerated recognition of asset retirement obligations											-												-
UK pension benefit matter											-												-
Accelerated depreciation of property, plant and equipment											-												-
Facility closures, severance and related costs											-												6
Gain on sale of business											-												-
Impairment charges											-												-
Changes in estimates related to expected allowable claims											2												-
Operating income - Managed Basis											48												64
Depreciation and amortization - Managed Basis											24												25
Non-cash stock-based compensation expense											7												3
Adjusted EBITDA										$	79											$	92

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Quarter ended September 30, 2012												Quarter ended December 31, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	546			$	-			$	546			$	533			$	-			$	533
Cost of goods sold			398				-				398				406				-				406
Gross profit			148				-				148				127				-				127
Gross profit %			27	%							27	%			24	%							24	%
Selling, general and administrative			60				-				60				63				-				63
Depreciation and amortization			26				-				26				25				-				25
Research and development			10				-				10				10				-				10
Facility closures, severance and related costs			2				(2	)			-				3				(3	)			-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			(1	)			1				-				-				-				-
Equity loss			1				-				1				1				-				1
Operating income			50				1				51				25				3				28
Interest expense			(17	)			-				(17	)			(17	)			-				(17	)
Loss on early extinguishment of debt			-				-				-				(1	)			1				-
Other (expense) income, net			(5	)			-				(5	)			23				(21	)			2
Reorganization items, net			(1	)			1				-				(1	)			1				-
Earnings from continuing operations before income taxes			27				2				29				29				(16	)			13
Income tax expense			(5	)			(3	)			(8	)			(10	)			7				(3	)
Earnings from continuing operations			22				(1	)			21				19				(9	)			10
(Loss) earnings from discontinued operations, net of tax			(15	)			15				-				1				(1	)			-
Net earnings			7				14				21				20				(10	)			10
Less: Net loss attributable to non-controlling interests			2				(2	)			-				-				-				-
Net earnings attributable to Chemtura		$	9			$	12			$	21			$	20			$	(10	)		$	10
Basic and diluted per share information - attributable to Chemtura:
Earnings from continuing operations, net of tax		$	0.22							$	0.21			$	0.19							$	0.10
(Loss) earnings from discontinued operations, net of tax			(0.13	)							-				0.01								-
Net earnings		$	0.09							$	0.21			$	0.20							$	0.10
Weighted average shares outstanding - Basic			97.9								97.9				97.9								97.9
Weighted average shares outstanding - Diluted			98.2								98.2				99.0								99.0
Managed Basis Adjustments consist of the following:
Accelerated recognition of asset retirement obligations						$	-											$	-
UK pension benefit matter							-												-
Accelerated depreciation of property, plant and equipment							-												-
Facility closures, severance and related costs							2												3
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							(1	)											-
Loss on early extinguishment of debt							-												1
Release of translation adjustments from liquidation of entities							-												(21	)
Reorganization items, net							1												1
Pre-tax							2												(16	)
Adjustment to apply a Managed Basis effective tax rate							(3	)											7
Loss (earnings) from discontinued operations, net of tax							15												(1	)
Non-controlling interests - Discontinued Operations							(2	)											-
After-tax						$	12											$	(10	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	50											$	25
Accelerated recognition of asset retirement obligations											-												-
UK pension benefit matter											-												-
Accelerated depreciation of property, plant and equipment											-												-
Facility closures, severance and related costs											2												3
Gain on sale of business											-												-
Impairment charges											-												-
Changes in estimates related to expected allowable claims											(1	)											-
Operating income - Managed Basis											51												28
Depreciation and amortization - Managed Basis											26												25
Non-cash stock-based compensation expense											2												10
Adjusted EBITDA										$	79											$	63

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Year ended December 31, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	2,196			$	-			$	2,196
Cost of goods sold			1,615				-				1,615
Gross profit			581				-				581
Gross profit %			26	%							26	%
Selling, general and administrative			245				-				245
Depreciation and amortization			100				-				100
Research and development			41				-				41
Facility closures, severance and related costs			11				(11	)			-
Gain on sale of business			-				-				-
Impairment charges			-				-				-
Changes in estimates related to expected allowable claims			1				(1	)			-
Equity loss			4				-				4
Operating income			179				12				191
Interest expense			(64	)			-				(64	)
Loss on early extinguishment of debt			(1	)			1				-
Other income (expense), net			20				(21	)			(1	)
Reorganization items, net			(5	)			5				-
Earnings (loss) from continuing operations before income taxes			129				(3	)			126
Income tax expense			(26	)			(9	)			(35	)
Earnings (loss) from continuing operations			103				(12	)			91
Loss from discontinued operations, net of tax			(3	)			3				-
Net earnings (loss)			100				(9	)			91
Less: Net loss attributable to non-controlling interests			1				(1	)			-
Net earnings (loss) attributable to Chemtura		$	101			$	(10	)		$	91
Basic and diluted per share information - attributable to Chemtura:
Earnings (loss) from continuing operations, net of tax		$	1.04							$	0.92
Loss from discontinued operations, net of tax			(0.02	)							-
Net earnings (loss)		$	1.02							$	0.92
Weighted average shares outstanding - Basic			98.2								98.2
Weighted average shares outstanding - Diluted			98.8								98.8
Managed Basis Adjustments consist of the following:
Environmental reserve						$	-
UK pension benefit matter							-
Accelerated depreciation of property, plant and equipment							-
Facility closures, severance and related costs							11
Gain on sale of business							-
Impairment charges							-
Changes in estimates related to expected allowable claims							1
Loss on early extinguishment of debt							1
Release of translation adjustments from liquidation of entities							(21	)
Reorganization items, net							5
Pre-tax							(3	)
Adjustment to apply a Managed Basis effective tax rate							(9	)
Loss (earnings) from discontinued operations, net of tax							3
Non-controlling interests - Discontinued Operations							(1	)
After-tax						$	(10	)
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	179
Environmental reserve											-
UK pension benefit matter											-
Accelerated depreciation of property, plant and equipment											-
Facility closures, severance and related costs											11
Gain on sale of business											-
Impairment charges											-
Changes in estimates related to expected allowable claims											1
Operating income - Managed Basis											191
Depreciation and amortization - Managed Basis											100
Non-cash stock-based compensation expense											22
Adjusted EBITDA										$	313

  

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Quarter ended March 31, 2013												Quarter ended June 30, 2013
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	528			$	-			$	528			$	590			$	-			$	590
Cost of goods sold			418				(21	)			397				444				-				444
Gross profit			110				21				131				146				-				146
Gross profit %			21	%							25	%			25	%							25	%
Selling, general and administrative			58				-				58				53				2				55
Depreciation and amortization			26				-				26				26				-				26
Research and development			8				-				8				10				-				10
Facility closures, severance and related costs			14				(14	)			-				11				(11	)			-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			-				-				-				-				-				-
Equity loss			2				-				2				1				-				1
Operating income			2				35				37				45				9				54
Interest expense			(16	)			-				(16	)			(15	)			-				(15	)
Loss on early extinguishment of debt			-				-				-				-				-				-
Other income (expense), net			3				-				3				12				(15	)			(3	)
Reorganization items, net			-				-				-				(1	)			1				-
Earnings (loss) from continuing operations before income taxes			(11	)			35				24				41				(5	)			36
Income tax expense			(7	)			-				(7	)			(14	)			3				(11	)
Earnings (loss) from continuing operations			(18	)			35				17				27				(2	)			25
Earnings (loss) from discontinued operations, net of tax			(5	)			5				-				26				(26	)			-
Loss on sale of discontinued operations, net of tax			-				-				-				(146	)			146				-
Net earnings (loss)			(23	)			40				17				(93	)			118				25
Less: Net loss attributable to non-controlling interests			-				-				-				-				-				-
Net earnings (loss) attributable to Chemtura			(23	)			40				17				(93	)			118			$	25
Basic per share information - attributable to Chemtura:
Earnings (loss) from continuing operations, net of tax		$	(0.18	)						$	0.17			$	0.27							$	0.25
Earnings (loss) from discontinued operations, net of tax			(0.05	)							-				0.26								-
Loss from discontinued operations, net of tax			-								-				(1.48	)							-
Net earnings (loss)		$	(0.23	)						$	0.17			$	(0.95	)						$	0.25
Diluted per share information - attributable to Chemtura:
Earnings (loss) from continuing operations, net of tax		$	(0.18	)						$	0.17			$	0.27							$	0.25
Earnings (loss) from discontinued operations, net of tax			(0.05	)							-				0.26								-
Loss from discontinued operations, net of tax			-								-				(1.46	)							-
Net earnings (loss)		$	(0.23	)						$	0.17			$	(0.93	)						$	0.25
Weighted average shares outstanding - Basic			98.2								98.2				98.6								98.6
Weighted average shares outstanding - Diluted			98.2								99.6				99.7								99.7
Managed Basis Adjustments consist of the following:
Environmental reserve						$	21											$	-
UK pension benefit matter							-												(2	)
Accelerated depreciation of property, plant and equipment							-												-
Facility closures, severance and related costs							14												11
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							-												-
Loss on early extinguishment of debt							-												-
Release of translation adjustments from liquidation of entities							-												(15	)
Reorganization items, net							-												1
Pre-tax							35												(5	)
Adjustment to apply a Managed Basis effective tax rate							-												3
(Earnings) loss from discontinued operations, net of tax							5												(26	)
Loss on sale of discontinued operations, net of tax							-												146
Non-controlling interests - Discontinued Operations							-												-
After-tax						$	40											$	118
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	2											$	45
Environmental reserve											21												-
UK pension benefit matter											-												(2	)
Accelerated depreciation of property, plant and equipment											-												-
Facility closures, severance and related costs											14												11
Gain on sale of business											-												-
Impairment charges											-												-
Changes in estimates related to expected allowable claims											-												-
Operating income - Managed Basis											37												54
Depreciation and amortization - Managed Basis											26												26
Non-cash stock-based compensation expense											5												3
Adjusted EBITDA										$	68											$	83

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Consolidated Statements of Operations (Unaudited)

(In millions, except per share data)

 

		Six months ended June 30, 2013
			GAAP				Managed Basis  Adjustments				Managed Basis
Net sales		$	1,118			$	-			$	1,118
Cost of goods sold			862				(21	)			841
Gross profit			256				21				277
Gross profit %			23	%							25	%
Selling, general and administrative			111				2				113
Depreciation and amortization			52				-				52
Research and development			18				-				18
Facility closures, severance and related costs			25				(25	)			-
Gain on sale of business			-				-				-
Impairment charges			-				-				-
Changes in estimates related to expected allowable claims			-				-				-
Equity loss			3				-				3
Operating income			47				44				91
Interest expense			(31	)			-				(31	)
Loss on early extinguishment of debt			-				-				-
Other income (expense), net			15				(15	)			-
Reorganization items, net			(1	)			1				-
Earnings (loss) from continuing operations before income taxes			30				30				60
Income tax expense			(21	)			3				(18	)
Earnings (loss) from continuing operations			9				33				42
Earnings from discontinued operations, net of tax			21				(21	)			-
Loss on sale of discontinued operations, net of tax			(146	)			146				-
Net earnings (loss)			(116	)			158				42
Less: Net loss attributable to non-controlling interests			-				-				-
Net earnings (loss) attributable to Chemtura		$	(116	)		$	158			$	42
Basic and diluted per share information - attributable to Chemtura:
Earnings (loss) from continuing operations, net of tax		$	0.09							$	0.43
Loss from discontinued operations, net of tax			0.21								-
Loss from discontinued operations, net of tax			(1.48	)							-
Net earnings (loss)		$	(1.18	)						$	0.43
Basic and diluted per share information - attributable to Chemtura:
Earnings (loss) from continuing operations, net of tax		$	0.09							$	0.42
Loss from discontinued operations, net of tax			0.21								-
Loss from discontinued operations, net of tax			(1.47	)							-
Net earnings (loss)		$	(1.17	)						$	0.42
Weighted average shares outstanding - Basic			98.4								98.4
Weighted average shares outstanding - Diluted			99.6								99.6
Managed Basis Adjustments consist of the following:
Environmental reserve						$	21
UK pension benefit matter							(2	)
Accelerated depreciation of property, plant and equipment							-
Facility closures, severance and related costs							25
Gain on sale of business							-
Impairment charges							-
Changes in estimates related to expected allowable claims							-
Loss on early extinguishment of debt							-
Release of translation adjustments from liquidation of entities							(15	)
Reorganization items, net							1
Pre-tax							30
Adjustment to apply a Managed Basis effective tax rate							3
Loss (earnings) from discontinued operations, net of tax							(21	)
(Earnings) loss from discontinued operations, net of tax							146
Non-controlling interests - Discontinued Operations							-
After-tax						$	158
Adjusted EBITDA consists of the following:
Operating income - GAAP										$	47
Environmental reserve											21
UK pension benefit matter											(2	)
Accelerated depreciation of property, plant and equipment											-
Facility closures, severance and related costs											25
Gain on sale of business											-
Impairment charges											-
Changes in estimates related to expected allowable claims											-
Operating income - Managed Basis											91
Depreciation and amortization - Managed Basis											52
Non-cash stock-based compensation expense											8
Adjusted EBITDA										$	151

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Year Ended December 31, 2009												Year Ended December 31, 2010
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	692			$	-			$	692			$	835			$	-			$	835
Industrial Engineered Products			512				-				512				728				-				728
Chemtura AgroSolutions			332				-				332				351				-				351
Total net sales		$	1,536			$	-			$	1,536			$	1,914			$	-			$	1,914
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	87			$	3			$	90			$	110			$	-			$	110
Industrial Engineered Products			3				-				3				25				29				54
Chemtura AgroSolutions			42				-				42				21				3				24
Segment operating profit			132				3				135				156				32				188
General corporate expense, including
amortization			(117	)			1				(116	)			(115	)			4				(111	)
Facility closures, severance and related costs			(3	)			3				-				(1	)			1				-
Antitrust costs			(10	)			10				-				-				-				-
Gain on sale of business			-				-				-				2				(2	)			-
Impairment charges			(2	)			2				-				(57	)			57				-
Changes in estimates related to expected allowable claims			(73	)			73				-				(35	)			35				-
Total operating (loss) profit		$	(73	)		$	92			$	19			$	(50	)		$	127			$	77
Managed Basis Adjustments consist of the following:
Other operational adjustments						$	2											$	8
Accelerated depreciation of property, plant and equipment							2												28
Facility closures, severance and related costs							3												1
Antitrust costs							10												-
Gain on sale of business							-												(2	)
Impairment charges							2												57
Changes in estimates related to expected allowable claims							73												35
						$	92											$	127
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	28			$	(2	)		$	26			$	23			$	-			$	23
Industrial Engineered Products			57				-				57				79				(27	)			52
Chemtura AgroSolutions			8				-				8				9				-				9
General corporate expense			28				-				28				25				(1	)			24
Total depreciation and amortization		$	121			$	(2	)		$	119			$	136			$	(28	)		$	108
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	-											$	1
Industrial Engineered Products											1												1
Chemtura AgroSolutions											-												-
General corporate expense											1												6
Total non-cash stock-based compensation expense										$	2											$	8
Adjusted EBITDA by Segment:
Industrial Performance Products										$	116											$	134
Industrial Engineered Products											61												107
Chemtura AgroSolutions											50												33
General corporate expense											(87	)											(81	)
Adjusted EBITDA										$	140											$	193

$

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Quarter Ended March 31, 2011												Quarter Ended June 30, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	235			$	-			$	235			$	252			$	-			$	252
Industrial Engineered Products			209				-				209				244				-				244
Chemtura AgroSolutions			75				-				75				110				-				110
Total net sales		$	519			$	-			$	519			$	606			$	-			$	606
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	27			$	-			$	27			$	34			$	-			$	34
Industrial Engineered Products			33				1				34				42				(1	)			41
Chemtura AgroSolutions			2				-				2				12				-				12
Segment operating profit			62				1				63				88				(1	)			87
General corporate expense, including
amortization			(32	)			-				(32	)			(29	)			-				(29	)
Facility closures, severance and related costs			-				-				-				-				-				-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			(2	)			2				-				(1	)			1				-
Changes in estimates related to expected allowable claims			-				-				-				(1	)			1				-
Total operating (loss) profit		$	28			$	3			$	31			$	57			$	1			$	58
Managed Basis Adjustments consist of the following:
UK pension benefit matter						$	-											$	-
Accelerated recognition of asset retirement obligations							-												(1	)
Loss on disposal of assets							-												-
Accelerated depreciation of property, plant and equipment							1												-
Facility closures, severance and related costs							-												-
Gain on sale of business							-												-
Impairment charges							2												1
Changes in estimates related to expected allowable claims							-												1
						$	3											$	1
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	7			$	-			$	7			$	5			$	-			$	5
Industrial Engineered Products			11				(1	)			10				11				-				11
Chemtura AgroSolutions			2				-				2				3				-				3
General corporate expense			8				-				8				6				-				6
Total depreciation and amortization		$	28			$	(1	)		$	27			$	25			$	-			$	25
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	1											$	-
Industrial Engineered Products											1												-
Chemtura AgroSolutions											-												1
General corporate expense											6												5
Total non-cash stock-based compensation expense										$	8											$	6
Adjusted EBITDA by Segment:
Industrial Performance Products										$	35											$	39
Industrial Engineered Products											45												52
Chemtura AgroSolutions											4												16
General corporate expense											(18	)											(18	)
Adjusted EBITDA										$	66											$	89

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Quarter Ended September 30, 2011												Quarter Ended December 31, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	241			$	-			$	241			$	211			$	-			$	211
Industrial Engineered Products			222				-				222				194				-				194
Chemtura AgroSolutions			105				-				105				86				-				86
Total net sales		$	568			$	-			$	568			$	491			$	-			$	491
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	27			$	-			$	27			$	28			$	1			$	29
Industrial Engineered Products			25				-				25				30				-				30
Chemtura AgroSolutions			11				-				11				5				1				6
Segment operating profit			63				-				63				63				2				65
General corporate expense, including
amortization			(32	)			1				(31	)			(34	)			8				(26	)
Facility closures, severance and related costs			-				-				-				(3	)			3				-
Gain on sale of business			-				-				-				27				(27	)			-
Impairment charges			-				-				-				(1	)			1				-
Changes in estimates related to expected allowable claims			-				-				-				(2	)			2				-
Total operating profit (loss)		$	31			$	1			$	32			$	50			$	(11	)		$	39
Managed Basis Adjustments consist of the following:
UK pension benefit matter						$	-											$	8
Accelerated recognition of asset retirement obligations							-												1
Loss on disposal of assets							1												-
Accelerated depreciation of property, plant and equipment							-												1
Facility closures, severance and related costs							-												3
Gain on sale of business							-												(27	)
Impairment charges							-												1
Changes in estimates related to expected allowable claims							-												2
						$	1											$	(11	)
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	7			$	-			$	7			$	7			$	-			$	7
Industrial Engineered Products			10				-				10				10				-				10
Chemtura AgroSolutions			2				-				2				3				(1	)			2
General corporate expense			7				-				7				4				-				4
Total depreciation and amortization		$	26			$	-			$	26			$	24			$	(1	)		$	23
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	1											$	-
Industrial Engineered Products											1												-
Chemtura AgroSolutions											-												1
General corporate expense											4												3
Total non-cash stock-based compensation expense										$	6											$	4
Adjusted EBITDA by Segment:
Industrial Performance Products										$	35											$	36
Industrial Engineered Products											36												40
Chemtura AgroSolutions											13												9
General corporate expense											(20	)											(19	)
Adjusted EBITDA										$	64											$	66

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Year ended December 31, 2011
			GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	939			$	-			$	939
Industrial Engineered Products			869				-				869
Chemtura AgroSolutions			376				-				376
Total net sales		$	2,184			$	-			$	2,184
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	116			$	1			$	117
Industrial Engineered Products			130				-				130
Chemtura AgroSolutions			30				1				31
Segment operating profit			276				2				278
General corporate expense, including
amortization			(127	)			9				(118	)
Facility closures, severance and related costs			(3	)			3				-
Gain on sale of business			27				(27	)			-
Impairment charges			(4	)			4				-
Changes in estimates related to expected allowable claims			(3	)			3				-
Total operating (loss) profit		$	166			$	(6	)		$	160
Managed Basis Adjustments consist of the following:
UK pension benefit matter						$	8
Loss on disposal of assets							1
Accelerated depreciation of property, plant and equipment							2
Facility closures, severance and related costs							3
Gain on sale of business							(27	)
Impairment charges							4
Changes in estimates related to expected allowable claims							3
						$	(6	)
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	26			$	-			$	26
Industrial Engineered Products			42				(1	)			41
Chemtura AgroSolutions			10				(1	)			9
General corporate expense			25				-				25
Total depreciation and amortization		$	103			$	(2	)		$	101
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	2
Industrial Engineered Products											2
Chemtura AgroSolutions											2
General corporate expense											18
Total non-cash stock-based compensation expense										$	24
Adjusted EBITDA by Segment:
Industrial Performance Products										$	145
Industrial Engineered Products											173
Chemtura AgroSolutions											42
General corporate expense											(75	)
Adjusted EBITDA										$	285

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Quarter Ended March 31, 2012												Quarter Ended June 30, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	223			$	-			$	223			$	235			$	-			$	235
Industrial Engineered Products			226				-				226				236				-				236
Chemtura AgroSolutions			85				-				85				112				-				112
Total net sales		$	534			$	-			$	534			$	583			$	-			$	583
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	26			$	-			$	26			$	28			$	-			$	28
Industrial Engineered Products			44				-				44				38				-				38
Chemtura AgroSolutions			10				-				10				23				-				23
Segment operating profit			80				-				80				89				-				89
General corporate expense, including
amortization			(32	)			-				(32	)			(25	)			-				(25	)
Facility closures, severance and related costs			-				-				-				(6	)			6				-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			(2	)			2				-				-				-				-
Total operating (loss) profit		$	46			$	2			$	48			$	58			$	6			$	64
Managed Basis Adjustments consist of the following:
Accelerated depreciation of property, plant and equipment						$	-											$	-
Facility closures, severance and related costs							-												6
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							2												-
						$	2											$	6
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	6			$	-			$	6			$	6			$	-			$	6
Industrial Engineered Products			10				-				10				10				-				10
Chemtura AgroSolutions			2				-				2				5				-				5
General corporate expense			6				-				6				4				-				4
Total depreciation and amortization		$	24			$	-			$	24			$	25			$	-			$	25
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	1											$	-
Industrial Engineered Products											1												-
Chemtura AgroSolutions											-												1
General corporate expense											5												2
Total non-cash stock-based compensation expense										$	7											$	3
Adjusted EBITDA by Segment:
Industrial Performance Products										$	33											$	34
Industrial Engineered Products											55												48
Chemtura AgroSolutions											12												29
General corporate expense											(21	)											(19	)
Adjusted EBITDA										$	79											$	92

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Loss) (Unaudited) 

(In millions of dollars)

 

		Quarter Ended September 30, 2012												Quarter Ended December 31, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	219			$	-			$	219			$	214			$	-			$	214
Industrial Engineered Products			213				-				213				221				-				221
Chemtura AgroSolutions			114				-				114				98				-				98
Total net sales		$	546			$	-			$	546			$	533			$	-			$	533
OPERATING PROFIT (LOSS)
Industrial Performance Products		$	28			$	-			$	28			$	20			$	-			$	20
Industrial Engineered Products			30				-				30				28				-				28
Chemtura AgroSolutions			21				-				21				11				-				11
Segment operating profit			79				-				79				59				-				59
General corporate expense, including
amortization			(28	)			-				(28	)			(31	)			-				(31	)
Facility closures, severance and related costs			(2	)			2				-				(3	)			3				-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			1				(1	)			-				-				-				-
Total operating profit (loss)		$	50			$	1			$	51			$	25			$	3			$	28
Managed Basis Adjustments consist of the following:
Accelerated depreciation of property, plant and equipment						$	-											$	-
Facility closures, severance and related costs							2												3
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							(1	)											-
						$	1											$	3
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	6			$	-			$	6			$	7			$	-			$	7
Industrial Engineered Products			12				-				12				11				-				11
Chemtura AgroSolutions			3				-				3				3				-				3
General corporate expense			5				-				5				4				-				4
Total depreciation and amortization		$	26			$	-			$	26			$	25			$	-			$	25
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	-											$	1
Industrial Engineered Products											-												1
Chemtura AgroSolutions											-												-
General corporate expense											2												8
Total non-cash stock-based compensation expense										$	2											$	10
Adjusted EBITDA by Segment:
Industrial Performance Products										$	34											$	28
Industrial Engineered Products											42												40
Chemtura AgroSolutions											24												14
General corporate expense											(21	)											(19	)
Adjusted EBITDA										$	79											$	63

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Unaudited)

(In millions of dollars)

 

		Year ended December 31, 2012
			GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES		$				$
Industrial Performance Products			891				-			$	891
Industrial Engineered Products			896				-				896
Chemtura AgroSolutions			409				-				409
Total net sales		$	2,196			$	-			$	2,196
OPERATING PROFIT
Industrial Performance Products		$	102			$	-			$	102
Industrial Engineered Products			140				-				140
Chemtura AgroSolutions			65				-				65
Segment operating profit			307				-				307
General corporate expense, including
amortization			(116	)			-				(116	)
Facility closures, severance and related costs			(11	)			11				-
Gain on sale of business			-				-				-
Impairment charges			-				-				-
Changes in estimates related to expected allowable claims			(1	)			1				-
Total operating profit		$	179			$	12			$	191
Managed Basis Adjustments consist of the following:
Environmental reserve						$	-
Facility closures, severance and related costs							11
Gain on sale of business							-
Impairment charges							-
Changes in estimates related to expected allowable claims							1
						$	12
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	25			$	-			$	25
Industrial Engineered Products			43				-				43
Chemtura AgroSolutions			13				-				13
General corporate expense			19				-				19
Total depreciation and amortization		$	100			$	-			$	100
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	2
Industrial Engineered Products											2
Chemtura AgroSolutions											1
General corporate expense											17
Total non-cash stock-based compensation expense										$	22
Adjusted EBITDA by Segment:
Industrial Performance Products										$	129
Industrial Engineered Products											185
Chemtura AgroSolutions											79
General corporate expense											(80	)
Adjusted EBITDA										$	313

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Unaudited)

(In millions of dollars)

 

		Quarter ended March 31, 2013												Quarter ended June 30, 2013
			GAAP				Managed Basis  Adjustments				Managed Basis				GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	241			$	-			$	241			$	254			$	-			$	254
Industrial Engineered Products			199				-				199				201				-				201
Chemtura AgroSolutions			88				-				88				135				-				135
Total net sales		$	528			$	-			$	528			$	590			$	-			$	590
OPERATING PROFIT
Industrial Performance Products		$	29			$	-			$	29			$	31			$	-			$	31
Industrial Engineered Products			20				-				20				13				-				13
Chemtura AgroSolutions			13				-				13				32				-				32
Segment operating profit			62				-				62				76				-				76
General corporate expense, including
amortization			(46	)			21				(25	)			(20	)			(2	)			(22	)
Facility closures, severance and related costs			(14	)			14				-				(11	)			11				-
Gain on sale of business			-				-				-				-				-				-
Impairment charges			-				-				-				-				-				-
Changes in estimates related to expected allowable claims			-				-				-				-				-				-
Total operating profit		$	2			$	35			$	37			$	45			$	9			$	54
Managed Basis Adjustments consist of the following:
Environmental reserve						$	21											$	-
UK pension benefit matter							-												(2	)
Facility closures, severance and related costs							14												11
Gain on sale of business							-												-
Impairment charges							-												-
Changes in estimates related to expected allowable claims							-												-
						$	35											$	9
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	7			$	-			$	7			$	6			$	-			$	6
Industrial Engineered Products			11				-				11				12				-				12
Chemtura AgroSolutions			3				-				3				3				-				3
General corporate expense			5				-				5				5				-				5
Total depreciation and amortization		$	26			$	-			$	26			$	26			$	-			$	26
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	-											$	1
Industrial Engineered Products											-												1
Chemtura AgroSolutions											-												-
General corporate expense											5												1
Total non-cash stock-based compensation expense										$	5											$	3
Adjusted EBITDA by Segment:
Industrial Performance Products										$	36											$	38
Industrial Engineered Products											31												26
Chemtura AgroSolutions											16												35
General corporate expense											(15	)											(16	)
Adjusted EBITDA										$	68											$	83

 

 

CHEMTURA CORPORATION

GAAP and Managed Basis Segment Sales and Operating Profit (Unaudited)

(In millions of dollars)

 

		Six months ended June 30, 2013
			GAAP				Managed Basis  Adjustments				Managed Basis
NET SALES
Industrial Performance Products		$	495			$	-			$	495
Industrial Engineered Products			400				-				400
Chemtura AgroSolutions			223				-				223
Total net sales		$	1,118			$	-			$	1,118
OPERATING PROFIT
Industrial Performance Products		$	60			$	-			$	60
Industrial Engineered Products			33				-				33
Chemtura AgroSolutions			45				-				45
Segment operating profit			138				-				138
General corporate expense, including
amortization			(66	)			19				(47	)
Facility closures, severance and related costs			(25	)			25				-
Gain on sale of business			-				-				-
Impairment charges			-				-				-
Changes in estimates related to expected allowable claims			-				-				-
Total operating profit		$	47			$	44			$	91
Managed Basis Adjustments consist of the following:
Environmental reserve						$	21
UK pension benefit matter							(2	)
Facility closures, severance and related costs							25
Gain on sale of business							-
Impairment charges							-
Changes in estimates related to expected allowable claims							-
						$	44
DEPRECIATION AND AMORTIZATION
Industrial Performance Products		$	13			$	-			$	13
Industrial Engineered Products			23				-				23
Chemtura AgroSolutions			6				-				6
General corporate expense			10				-				10
Total depreciation and amortization		$	52			$	-			$	52
NON-CASH STOCK-BASED COMPENSATION EXPENSE
Industrial Performance Products										$	1
Industrial Engineered Products											1
Chemtura AgroSolutions											-
General corporate expense											6
Total non-cash stock-based compensation expense										$	8
Adjusted EBITDA by Segment:
Industrial Performance Products										$	74
Industrial Engineered Products											57
Chemtura AgroSolutions											51
General corporate expense											(31	)
Adjusted EBITDA										$	151

 

 

CHEMTURA CORPORATION

Summary of Corporate Stranded Costs (Unaudited)

Resulting from Reporting Consumer Products and Antioxidants reported as Discontinued Operations

(In millions of dollars)

 

				Add:				Add:				Add:				Less:				Less:				Net
				PVC Additives				Antioxidant				Consumer				Antioxidant				Consumer				Increase in
				Stranded				Stranded				Stranded				Amortization				Amortization				Corporate
Period				Costs				Costs				Costs				Expense (a)				Expense (a)				Segment
	Year ended December 31, 2009				13				18				9				(5	)			(11	)			24
	Year ended December 31, 2010				2				14				14				(5	)			(11	)			14
	Quarter ended March 31, 2011				-				4				4				(1	)			(3	)			4
	Quarter ended June 30, 2011				-				4				2				(1	)			(2	)			3
	Quarter ended September 30, 2011				-				4				4				(1	)			(3	)			4
	Quarter ended December 31, 2011				-				3				5				(2	)			(3	)			3
	Year ended December 31, 2011				-				15				15				(5	)			(11	)			14
	Quarter ended March 31, 2012				-				4				2				(1	)			(3	)			2
	Quarter ended June 30, 2012				-				4				3				(1	)			(2	)			4
	Quarter ended September 30, 2012				-				3				4				(1	)			(3	)			3
	Quarter ended December 31, 2012				-				2				4				(1	)			(2	)			3
	Year ended December 31, 2012				-				13				13				(4	)			(10	)			12
	Quarter ended March 31, 2013				-				4				3				-				(3	)			4
	Quarter ended June 30, 2013				-				2				2				-				(2	)			2
	Six months ended June 30, 2013				-				6				5				-				(5	)			6

 

(a) Our Corporate segment included amortization expense which related directly to the Consumer Products segment and Antioxidant business which is now included in earnings (loss) from discontinued operations, net of tax.