Dow Chemical 2013 Annual Report Download - page 157

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Performance Plastics
The Performance Plastics segment is a solutions-oriented portfolio comprised of Dow Elastomers, Dow Electrical and
Telecommunications, and Dow Packaging and Specialty Plastics. These businesses serve high-growth, high-value sectors
where Dow's world-class technology and rich innovation pipeline create new competitive advantages for customers and the
entire value chain. These businesses also have complementary market reach, asset capabilities and technology platforms
that provide immediate and long-term growth synergies. The Performance Plastics segment also includes the results of
Univation Technologies, LLC, as well as a portion of the results of EQUATE Petrochemical Company K.S.C., The Kuwait
Olefins Company K.S.C., The SCG-Dow Group and Sadara Chemical Company, all joint ventures of the Company.
Divestitures:
On December 2, 2013, the Company sold its Polypropylene Licensing and Catalysts business to W. R. Grace & Co.
On September 30, 2011, the Company sold its global Polypropylene business to Braskem SA. These businesses were
reported in the Performance Plastics segment through the date of the divestiture. See Note 5 for additional information
on these divestitures.
Feedstocks and Energy
The Feedstocks and Energy segment includes the following businesses: Chlor-Alkali/Chlor-Vinyl; Energy; Ethylene
Oxide/Ethylene Glycol ("EO/EG"); and Hydrocarbons. The Chlor-Alkali/Chlor-Vinyl business focuses on the production
of chlorine for consumption by downstream Dow derivatives, as well as production, marketing and supply of ethylene
dichloride, vinyl chloride monomer and caustic soda. These products are used for applications such as alumina production,
pulp and paper manufacturing, soaps and detergents, and building and construction. The Energy business supplies power,
steam and other utilities, principally for use in Dow’s global operations. The EO/EG business is the world’s largest
producer of purified ethylene oxide, principally used in Dow’s downstream performance derivatives. Dow is also a key
supplier of ethylene glycol to MEGlobal, a 50:50 joint venture and world leader in the manufacture and marketing of
merchant monoethylene glycol and diethylene glycol. Ethylene glycol is used in polyester fiber, polyethylene terephthalate
for food and beverage container applications, polyester film, and aircraft and runway deicers. The Hydrocarbons business
encompasses the procurement of natural gas liquids and crude oil-based raw materials, as well as the supply of monomers,
principally for use in Dow's global operations. The business regularly sells its by-products and buys and sells products in
order to balance regional production capabilities and derivative requirements. The business also sells products to certain
Dow joint ventures. Also included in the Feedstocks and Energy segment are the results of MEGlobal and a portion of the
results of EQUATE Petrochemical Company K.S.C., The Kuwait Olefins Company K.S.C., and The SCG-Dow Group, all
joint ventures of the Company.
Corporate
Corporate includes the results of insurance company operations; results of Ventures (which includes new business
incubation platforms focused on identifying and pursuing new commercial opportunities); Venture Capital; gains and
losses on sales of financial assets; stock-based compensation expense and severance costs; asbestos-related defense and
resolution costs; foreign exchange results; non-business aligned technology licensing and catalyst activities; environmental
operations; enterprise level mega project activities; and certain corporate overhead costs and cost recovery variances not
allocated to the operating segments.