AXIALL CORPORATION | ||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||
(Unaudited) | ||||||||||
June 30, | December 31, | |||||||||
(In millions, except share data) |
2015 | 2014 | ||||||||
Assets: | ||||||||||
Cash and cash equivalents | $ | 131.4 | $ | 166.8 | ||||||
Receivables, net of allowance for doubtful accounts of $6.7 million at June 30, 2015 and $5.6 million at December 31, 2014 | 542.5 | 467.0 | ||||||||
Inventories | 383.2 | 353.7 | ||||||||
Prepaid expenses and other | 39.2 | 89.7 | ||||||||
Deferred income taxes | 32.0 | 28.0 | ||||||||
Total current assets | 1,128.3 | 1,105.2 | ||||||||
Property, plant and equipment, net | 1,641.4 | 1,665.7 | ||||||||
Goodwill | 1,735.2 | 1,741.0 | ||||||||
Customer relationships, net | 992.6 | 1,024.5 | ||||||||
Other intangible assets, net | 65.8 | 68.1 | ||||||||
Other assets, net | 70.7 | 69.8 | ||||||||
Total assets | $ | 5,634.0 | $ | 5,674.3 | ||||||
Liabilities and Equity: | ||||||||||
Current portion of long-term debt | $ | 2.5 | $ | 2.8 | ||||||
Accounts payable | 302.6 | 295.5 | ||||||||
Interest payable | 15.2 | 15.2 | ||||||||
Income taxes payable | 4.6 | 3.1 | ||||||||
Accrued compensation | 38.4 | 33.6 | ||||||||
Other accrued liabilities | 109.9 | 133.9 | ||||||||
Total current liabilities | 473.2 | 484.1 | ||||||||
Long-term debt, excluding the current portion of long-term debt | 1,381.5 | 1,327.8 | ||||||||
Lease financing obligation | 88.2 | 94.2 | ||||||||
Deferred income taxes | 742.5 | 767.5 | ||||||||
Pensions and other postretirement benefits | 242.4 | 250.5 | ||||||||
Other non-current liabilities | 151.6 | 161.2 | ||||||||
Total liabilities | 3,079.4 | 3,085.3 | ||||||||
Commitments and contingencies | ||||||||||
Equity: | ||||||||||
Preferred stock—$0.01 par value; 75,000,000 shares authorized; no shares issued | - | - | ||||||||
Common stock—$0.01 par value; shares authorized: 200,000,000 at June 30, 2015 and December 31, 2014; issued and outstanding: 70,557,719 at June 30, 2015 and 70,196,116 at December 31, 2014 |
0.7 | 0.7 | ||||||||
Additional paid-in capital | 2,284.5 | 2,284.3 | ||||||||
Retained earnings | 257.0 | 269.8 | ||||||||
Accumulated other comprehensive loss, net of tax | (93.1 | ) | (73.7 | ) | ||||||
Total Axiall stockholders’ equity | 2,449.1 | 2,481.1 | ||||||||
Noncontrolling interest | 105.5 | 107.9 | ||||||||
Total equity | 2,554.6 | 2,589.0 | ||||||||
Total liabilities and equity | $ | 5,634.0 | $ | 5,674.3 | ||||||
AXIALL CORPORATION | ||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
(In millions, except per share data) |
2015 | 2014 | 2015 | 2014 | ||||||||||||
Net sales | $ | 1,058.4 | $ | 1,236.9 | $ | 2,006.0 | $ | 2,230.6 | ||||||||
Operating costs and expenses: | ||||||||||||||||
Cost of sales | 929.8 | 1,090.0 | 1,774.4 | 2,003.3 | ||||||||||||
Selling, general and administrative expenses | 81.2 | 79.0 | 162.5 | 152.6 | ||||||||||||
Transaction-related costs and other, net | 4.6 | 9.4 | 10.4 | 16.0 | ||||||||||||
Long-lived asset impairment charges, net | - | 0.1 | 0.3 | 0.7 | ||||||||||||
Total operating costs and expenses | 1,015.6 | 1,178.5 | 1,947.6 | 2,172.6 | ||||||||||||
Operating income | 42.8 | 58.4 | 58.4 | 58.0 | ||||||||||||
Interest expense, net | (19.5) | (19.1) | (38.3) | (37.4) | ||||||||||||
Debt refinancing costs | - | - | (3.2) | - | ||||||||||||
Foreign exchange gain (loss) | (0.3) | (0.3) | (0.5) | 0.1 | ||||||||||||
Consolidated income before income taxes | 23.0 | 39.0 | 16.4 | 20.7 | ||||||||||||
Provision for income taxes | 1.1 | 10.9 | 3.3 | 3.2 | ||||||||||||
Consolidated net income | 21.9 | 28.1 | 13.1 | 17.5 | ||||||||||||
Less: net income attributable to noncontrolling interest | 1.3 | 0.9 | 3.1 | 1.9 | ||||||||||||
Net income attributable to Axiall | $ | 20.6 | $ | 27.2 | $ | 10.0 | $ | 15.6 | ||||||||
Earnings per share attributable to Axiall: | ||||||||||||||||
Basic | $ | 0.29 | $ | 0.39 | $ | 0.14 | $ | 0.22 | ||||||||
Diluted | $ | 0.29 | $ | 0.38 | $ | 0.14 | $ | 0.22 | ||||||||
Weighted average common shares outstanding: | ||||||||||||||||
Basic | 70.4 | 70.0 | 70.3 | 70.0 | ||||||||||||
Diluted | 70.9 | 70.6 | 70.9 | 70.6 | ||||||||||||
Dividends per common share | $ | 0.16 | $ | 0.16 | $ | 0.32 | $ | 0.32 | ||||||||
AXIALL CORPORATION | |||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||||||
(Unaudited) | |||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||
(In millions) |
2015 | 2014 |
2015 |
2014 | |||||||||||||
Cash flows from operating activities: | |||||||||||||||||
Consolidated net income | $ | 21.9 | $ | 28.1 | $ | 13.1 | $ | 17.5 | |||||||||
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | |||||||||||||||||
Depreciation | 44.6 | 44.6 | 89.8 | 86.8 | |||||||||||||
Amortization | 18.4 | 18.9 | 36.8 | 37.4 | |||||||||||||
Deferred income taxes | (16.5) | (15.4) | (30.0) | (24.8) | |||||||||||||
Long-lived asset impairment charges, net | - | 0.1 | 0.3 | 0.7 | |||||||||||||
Other | 0.6 | 6.0 | 6.9 | 9.6 | |||||||||||||
Change in operating assets and liabilities | (14.0) | (44.3) | (80.7) | (111.0) | |||||||||||||
Net cash provided by operating activities | 55.0 | 38.0 | 36.2 | 16.2 | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||
Capital expenditures | (40.7) | (44.7) | (77.5) | (87.7) | |||||||||||||
Proceeds from sale of assets and other | 9.0 | 1.6 | 9.0 | 1.7 | |||||||||||||
Acquisitions, net of cash acquired | - | (5.8) | - | (5.8) | |||||||||||||
Net cash used in investing activities | (31.7) | (48.9) | (68.5) | (91.8) | |||||||||||||
Cash flows from financing activities: | |||||||||||||||||
Borrowings on ABL revolver | - | 148.9 | - | 148.9 | |||||||||||||
Repayments on ABL revolver | - | (135.2) | - | (135.2) | |||||||||||||
Issuance of long-term debt | - | - | 248.8 | - | |||||||||||||
Long-term debt payments | (0.9) | (1.0) | (196.1) | (1.7) | |||||||||||||
Fees paid relating to financing activities | (0.5) | (0.6) | (3.5) | (0.6) | |||||||||||||
Lease financing obligation payment | - | (2.3) | - | (2.3) | |||||||||||||
Deferred acquisition payments | - | - | (10.0) | - | |||||||||||||
Dividends paid | (11.9) | (11.4) | (23.1) | (22.6) | |||||||||||||
Distribution to noncontrolling interest | (8.4) | (7.7) | (8.4) | (7.7) | |||||||||||||
Stock compensation plan activity | (5.8) | (4.7) | (6.2) | (4.7) | |||||||||||||
Net cash provided by (used in) financing activities | (27.5) | (14.0) | 1.5 | (25.9) | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 0.9 | 1.1 | (4.6) | (2.3) | |||||||||||||
Net change in cash and cash equivalents | (3.3) | (23.8) | (35.4) | (103.8) | |||||||||||||
Cash and cash equivalents at beginning of period | 134.7 | 86.5 | 166.8 | 166.5 | |||||||||||||
Cash and cash equivalents at end of period | $ | 131.4 | $ | 62.7 | $ | 131.4 | $ | 62.7 | |||||||||
AXIALL CORPORATION | ||||||||||||||||||||
SEGMENT INFORMATION | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||||||
(In millions) |
2015 | 2014 | 2015 | 2014 | ||||||||||||||||
Sales | ||||||||||||||||||||
Chlorovinyls | $ | 666.1 | $ | 777.9 | $ | 1,314.5 | $ | 1,460.1 | ||||||||||||
Building products | 250.3 | 243.8 | 416.7 | 398.5 | ||||||||||||||||
Aromatics | 142.0 | 215.2 | 274.8 | 372.0 | ||||||||||||||||
Net sales | $ | 1,058.4 | $ | 1,236.9 | $ | 2,006.0 | $ | 2,230.6 | ||||||||||||
Operating income | ||||||||||||||||||||
Chlorovinyls | $ | 37.8 | $ | 66.6 | $ | 81.6 | $ | 89.9 | ||||||||||||
Building products | 22.6 | 14.2 | 12.3 | 3.4 | ||||||||||||||||
Aromatics | 0.4 | (7.4 | ) | 0.7 | (2.9 | ) | ||||||||||||||
Unallocated corporate | (18.0 | ) | (15.0 | ) | (36.2 | ) | (32.4 | ) | ||||||||||||
Total operating income | $ | 42.8 | $ | 58.4 | $ | 58.4 | $ | 58.0 | ||||||||||||
Reconciliation of Non-GAAP Financial Measures
Axiall supplements its financial statements prepared in accordance with GAAP with four non-GAAP financial measures: (i) Adjusted Net Income; (ii) Adjusted Earnings Per Share; (iii) Adjusted EBITDA; and (iv) building products net sales on a constant currency basis.
Adjusted Net Income (Loss) is defined as net income (loss) attributable to Axiall excluding adjustments for tax effected restructuring and certain other charges, if any, related to financial restructuring and business improvement initiatives, gains or losses on sales of certain assets, debt refinancing costs, certain acquisition accounting and non-income tax reserve adjustments, certain professional fees associated with various potential and completed mergers and acquisitions, divestitures, joint ventures and other transactions, costs to attain synergies related to the integration of the former chemicals business of PPG Industries (the "Merged Business"), impairment charges for goodwill, intangible assets, and other long-lived assets.
Adjusted Earnings (Loss) Per Share is calculated using Adjusted Net Income (Loss) rather than consolidated net income (loss) attributable to Axiall calculated in accordance with GAAP.
Adjusted EBITDA is defined as Earnings (Loss) Before Interest, Taxes, Depreciation and Amortization, restructuring and certain other charges, if any, related to financial restructuring and business improvement initiatives, gains or losses on sales of certain assets, debt refinancing costs, certain acquisition accounting and non-income tax reserve adjustments, certain professional fees associated with various potential and completed mergers and acquisitions, divestitures, joint ventures and other transactions, costs to attain synergies related to the integration of the Merged Business, impairment charges for goodwill, intangible assets, and other long-lived assets, certain pension and other post-retirement plan curtailment gains and settlement losses and interest expense related to the lease-financing transaction discussed in our Form 10-K for the year ended December 31, 2014.
Axiall supplements its financial statements with Adjusted Net Income (Loss) and Adjusted Earnings (Loss) Per Share because investors commonly use financial measures such as Adjusted Net Income (Loss) and Adjusted Earnings (Loss) Per Share as a component of performance and valuation analysis for companies, such as Axiall, that recently have engaged in transactions and have incurred expenses such as professional fees related to potential transactions, that result in non-recurring pre-tax charges or benefits that have a significant impact on the calculation of consolidated net income (loss) attributable to Axiall pursuant to GAAP, in order to approximate the amount of net income (loss) that such a company would have achieved absent those non-recurring, transaction-related charges or benefits. In addition, Axiall supplements the financial statements with Adjusted Net Income (Loss) and Adjusted Earnings (Loss) Per Share because we believe these financial measures will be helpful to investors in approximating what our net income (loss) would have been absent the impact of certain non-recurring, pre-tax charges and benefits. We have supplemented the financial statements with Adjusted EBITDA because investors commonly use Adjusted EBITDA as a main component of valuation analysis of cyclical companies such as Axiall.
In addition, we may compare certain financial information, including building products net sales on a constant currency basis. We present such information to provide a framework for investors to assess how our underlying businesses performed, excluding the effect of foreign currency rate fluctuations, primarily fluctuations in the Canadian dollar. To present this information, current and comparative prior period financial information for certain businesses reporting in currencies other than United States dollars are converted into United States dollars at the average exchange rate in effect during the base period, rather than the average exchange rates in effect during the respective periods.
Adjusted Earnings (Loss) Per Share, Adjusted Net Income (Loss), Adjusted EBITDA and building products net sales on a constant currency basis, are not measurements of financial performance under GAAP and should not be considered as an alternative to net income (loss), GAAP diluted earnings (loss) per share or net sales, as a measure of performance or to cash provided by (used in) operating activities as a measure of liquidity. In addition, our calculation of these various non-GAAP measurements may be different from the calculations used by other companies and, therefore, comparability may be limited.
Reconciliations of our non-GAAP financial measures to the most comparable GAAP measures are presented in the tables set forth below.
Adjusted Net Income Reconciliation
Three Months Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
(In millions, except per share data) |
2015 | 2014 | 2015 | 2014 | ||||||||||||
Net income attributable to Axiall | $ | 20.6 | $ | 27.2 | $ | 10.0 | $ | 15.6 | ||||||||
Pre-tax charges: | ||||||||||||||||
Transaction-related costs and other, net (1) | 4.6 | 9.4 | 11.0 | 18.6 | ||||||||||||
Long-lived asset impairment charges, net | - | 0.1 | 0.3 | 0.7 | ||||||||||||
Debt refinancing costs | - | - | 3.2 | - | ||||||||||||
Total pre-tax charges | 4.6 | 9.5 | 14.5 | 19.3 | ||||||||||||
Provision for taxes related to these items | 1.6 | 3.2 | 4.6 | 6.7 | ||||||||||||
After-tax effect of above items | 3.0 | 6.3 | 9.9 | 12.6 | ||||||||||||
Adjusted Net Income | $ | 23.6 | $ | 33.5 | $ | 19.9 | $ | 28.2 | ||||||||
Diluted earnings per share attributable to Axiall | $ | 0.29 | $ | 0.38 | $ | 0.14 | $ | 0.22 | ||||||||
Adjusted Earnings Per Share | $ | 0.33 | $ | 0.48 | $ | 0.28 | $ | 0.40 | ||||||||
Adjusted EBITDA | $ | 107.5 | $ | 128.1 | $ | 190.7 | $ | 195.8 |
(1) |
Includes $0.6 million and $2.5 million for the six months ended June 30, 2015 and 2014, respectively, of plant reliability improvement initiatives that are included in cost of sales in our consolidated statements of operations. |
Adjusted Earnings Per Share Reconciliation
Three Months Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
Diluted earnings per share attributable to Axiall |
$ | 0.29 | $ | 0.38 | $ | 0.14 | $ | 0.22 | ||||||||
Earnings per share related to adjustments between net income attributable to Axiall and Adjusted Net Income |
0.04 | 0.10 | 0.14 | 0.18 | ||||||||||||
Adjusted Earnings Per Share | $ | 0.33 | $ | 0.48 | $ | 0.28 | $ | 0.40 |
Building Products Constant Currency Net Sales Reconciliation
Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||||
(In millions) |
2015 | 2014 | 2015 | 2014 | |||||||||||||
Building products net sales | $ | 250.3 | $ | 243.8 | $ | 416.7 | $ | 398.5 | |||||||||
Impact of currency exchange rates | 13.3 | - | 21.1 | - | |||||||||||||
Building products constant currency sales | $ | 263.6 | $ | 243.8 | $ | 437.8 | $ | 398.5 |
Adjusted EBITDA Reconciliations
Three Months Ended June 30, 2015 | ||||||||||||||||||||||||||||
Unallocated | ||||||||||||||||||||||||||||
Corporate & | ||||||||||||||||||||||||||||
Non- | ||||||||||||||||||||||||||||
Building | operating | |||||||||||||||||||||||||||
(In millions) |
Chlorovinyls | Products | Aromatics | expenses, net | Total | |||||||||||||||||||||||
Adjusted EBITDA | $ | 89.0 | $ | 30.4 | $ | 1.1 | $ | (13.0 | ) | $ | 107.5 | |||||||||||||||||
Transaction-related costs and other, net | 0.4 | - | - | (5.0 | ) | (4.6 | ) | |||||||||||||||||||||
Depreciation and amortization | (51.6 | ) | (8.1 | ) | (0.7 | ) | (2.6 | ) | (63.0 | ) | ||||||||||||||||||
Interest expense, net | - | - | - | (19.5 | ) | (19.5 | ) | |||||||||||||||||||||
Provision for income taxes | - | - | - | (1.1 | ) | (1.1 | ) | |||||||||||||||||||||
Other(1) |
- | - | - | 2.6 | 2.6 | |||||||||||||||||||||||
Consolidated net income (2) | $ | 37.8 | $ | 22.3 | $ | 0.4 | $ | (38.6 | ) | $ | 21.9 | |||||||||||||||||
(1) |
Includes $1.5 million of lease financing obligations interest and $1.1 million for debt issuance cost amortization. | |||||||||||||||||||||||||||
(2) |
Earnings of our segments exclude interest income and expense, unallocated corporate expenses and general plant services, and provision for income taxes. |
|||||||||||||||||||||||||||
Three Months Ended June 30, 2014 | ||||||||||||||||||||||||||||
Unallocated | ||||||||||||||||||||||||||||
Corporate & | ||||||||||||||||||||||||||||
Non- | ||||||||||||||||||||||||||||
Building | operating | |||||||||||||||||||||||||||
(In millions) |
Chlorovinyls | Products | Aromatics | expenses, net | Total | |||||||||||||||||||||||
Adjusted EBITDA | $ | 121.6 | $ | 24.7 | $ | (7.0 | ) | $ | (11.2 | ) | $ | 128.1 | ||||||||||||||||
Transaction-related costs and other, net | (3.3 | ) | (1.8 | ) | - | (4.3 | ) | (9.4 | ) | |||||||||||||||||||
Long-lived asset impairment charges, net | - | (0.1 | ) | - | - | (0.1 | ) | |||||||||||||||||||||
Depreciation and amortization | (51.9 | ) | (8.7 | ) | (0.4 | ) | (2.5 | ) | (63.5 | ) | ||||||||||||||||||
Interest expense, net | - | - | - | (19.1 | ) | (19.1 | ) | |||||||||||||||||||||
Provision for income taxes | - | - | - | (10.9 | ) | (10.9 | ) | |||||||||||||||||||||
Other(1) | - | - | - | 3.0 | 3.0 | |||||||||||||||||||||||
|
Consolidated net income (loss) (2) |
$ | 66.4 | $ | 14.1 | $ | (7.4 | ) | $ | (45.0 | ) | $ | 28.1 | |||||||||||||||
(1) |
Includes $1.6 million of lease financing obligations interest and $1.4 million for debt issuance cost amortization. | |||||||||||||||||||||||||||
(2) |
Earnings of our segments exclude interest income and expense, unallocated corporate expenses and general plant services, and provision for income taxes. |
|||||||||||||||||||||||||||
Six Months Ended June 30, 2015 | ||||||||||||||||||||||||||||
Unallocated | ||||||||||||||||||||||||||||
Corporate & | ||||||||||||||||||||||||||||
Non- | ||||||||||||||||||||||||||||
Building | operating | |||||||||||||||||||||||||||
(In millions) |
Chlorovinyls | Products | Aromatics | expenses, net | Total | |||||||||||||||||||||||
Adjusted EBITDA | $ | 185.7 | $ | 29.6 | $ | 1.9 | $ | (26.5 | ) | $ | 190.7 | |||||||||||||||||
Transaction-related costs and other, net (1) | (0.7 | ) | (0.7 | ) | - | (9.6 | ) | (11.0 | ) | |||||||||||||||||||
Long-lived asset impairment charges, net | - | (0.3 | ) | - | - | (0.3 | ) | |||||||||||||||||||||
Depreciation and amortization | (104.2 | ) | (15.9 | ) | (1.2 | ) | (5.3 | ) | (126.6 | ) | ||||||||||||||||||
Interest expense, net | - | - | - | (38.3 | ) | (38.3 | ) | |||||||||||||||||||||
Debt refinancing costs | - | - | - | (3.2 | ) | (3.2 | ) | |||||||||||||||||||||
Provision for income taxes | - | - | - | (3.3 | ) | (3.3 | ) | |||||||||||||||||||||
Other(2) | - | - | - | 5.1 | 5.1 | |||||||||||||||||||||||
|
Consolidated net income (3) |
$ | 80.8 | $ | 12.7 | $ | 0.7 | $ | (81.1 | ) | $ | 13.1 | ||||||||||||||||
(1) |
Includes $0.6 million of plant reliability improvement initiatives that are included in cost of sales in our consolidated statements of operations. |
|||||||||||||||||||||||||||
(2) |
Includes $2.9 million of lease financing obligations interest and $2.2 million for debt issuance cost amortization. | |||||||||||||||||||||||||||
(3) |
Earnings of our segments exclude interest income and expense, unallocated corporate expenses and general plant services, and provision for income taxes. |
|||||||||||||||||||||||||||
Six Months Ended June 30, 2014 | ||||||||||||||||||||||||||||
Unallocated | ||||||||||||||||||||||||||||
Corporate & | ||||||||||||||||||||||||||||
Non- | ||||||||||||||||||||||||||||
Building | operating | |||||||||||||||||||||||||||
(In millions) |
Chlorovinyls | Products | Aromatics | expenses, net | Total | |||||||||||||||||||||||
Adjusted EBITDA | $ | 197.8 | $ | 24.7 | $ | (2.1 | ) | $ | (24.6 | ) | $ | 195.8 | ||||||||||||||||
Transaction-related costs and other, net (1) | (6.5 | ) | (3.0 | ) | - | (9.1 | ) | (18.6 | ) | |||||||||||||||||||
Long-lived asset impairment charges, net | - | (0.7 | ) | - | - | (0.7 | ) | |||||||||||||||||||||
Depreciation and amortization | (101.5 | ) | (17.4 | ) | (0.8 | ) | (4.5 | ) | (124.2 | ) | ||||||||||||||||||
Interest expense, net | - | - | - | (37.4 | ) | (37.4 | ) | |||||||||||||||||||||
Provision for income taxes | - | - | - | (3.2 | ) | (3.2 | ) | |||||||||||||||||||||
Other(2) | - | - | - | 5.8 | 5.8 | |||||||||||||||||||||||
|
Consolidated net income (loss) (3) |
$ | 89.8 | $ | 3.6 | $ | (2.9 | ) | $ | (73.0 | ) | $ | 17.5 | |||||||||||||||
(1) |
Includes $2.5 million of plant reliability improvement initiatives that are included in cost of sales in our condensed consolidated statements of operations. |
|||||||||||||||||||||||||||
(2) |
Includes $3.3 million of lease financing obligations interest and $2.5 million for debt issuance cost amortization expense. | |||||||||||||||||||||||||||
(3) |
Earnings of our segments exclude interest income and expense, unallocated corporate expenses and general plant services, and provision for income taxes. |
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Operating Statistical Data | ||||||||
Three Months Ended June 30, | ||||||||
2015 | 2014 | |||||||
Sales Volumes | ||||||||
External caustic soda (in thousands of tons) (1) | 564 | 558 | ||||||
PVC (in millions of pounds)(2) | 624 | 637 | ||||||
Raw Material costs | ||||||||
Natural gas (dollars per mmbtu) | $ | 2.77 | $ | 4.70 |
(1) |
External caustic soda includes purchased caustic soda volumes and excludes internally consumed caustic soda volumes, excludes sales volumes from our 60 percent interest in Taiwan Chlorine Industries, Ltd. |
|
(2) |
PVC includes intercompany sales volumes. |