Dow Chemical 2014 Annual Report Download - page 155

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Dow conducts its worldwide operations through global businesses, which are reported in five operating segments. Corporate
contains the reconciliation between the totals for the reportable segments and the Company’s totals and includes research and
other expenses related to new business development activities, and other corporate items not allocated to the reportable
operating segments.
The Company uses EBITDA (which Dow defines as earnings (i.e., "Net Income") before interest, income taxes, depreciation
and amortization) as its measure of profit/loss for segment reporting purposes. EBITDA by operating segment includes all
operating items relating to the businesses; items that principally apply to the Company as a whole are assigned to Corporate.
See table toward the end of this footnote for depreciation and amortization by segment, as well as a reconciliation of EBITDA
to “Income Before Income Taxes.”
Corporate Profile
Dow combines the power of science and technology to passionately innovate what is essential to human progress. The
Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help
address many of the world's most challenging problems such as the need for clean water, clean energy generation and
conservation, and increasing agricultural productivity. Dow's integrated, market-driven, industry-leading portfolio of specialty
chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and
solutions to customers in approximately 180 countries and in high growth sectors such as packaging, electronics, water,
coatings and agricultural. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people
worldwide. The Company's more than 6,000 products are manufactured at 201 sites in 35 countries across the globe. The
Company conducts its worldwide operations through global businesses, which are reported in five operating segments:
Agricultural Sciences, Consumer Solutions, Infrastructure Solutions, Performance Materials & Chemicals and Performance
Plastics.
Agricultural Sciences
The Agricultural Sciences segment is a global leader in providing crop protection and seed/plant biotechnology products
and technologies, urban pest management solutions and healthy oils. The business invents, develops, manufactures and
markets products for use in agricultural, industrial and commercial pest management, and food service. Agricultural
Sciences consists of two businesses - Crop Protection and Seeds.
Consumer Solutions
The Consumer Solutions segment consists of three global businesses: Consumer Care, Dow Automotive Systems and Dow
Electronic Materials. These global businesses develop and market customized materials using advanced technology and
unique chemistries for specialty applications - including semiconductors and organic light-emitting diodes, adhesives and
foams used by the transportation industry, and cellulosics for innovative pharmaceutical formulations and food solutions.
These businesses serve the needs of market segments as diverse as: automotive; electronics and entertainment; healthcare
and medical; and, personal and home care goods. The Consumer Solutions segment also includes a portion of the
Company's share of the results of Dow Corning Corporation, a joint venture that manufactures silicone and silicone
products, which is owned 50 percent by the Company.
Infrastructure Solutions
The Infrastructure Solutions segment is comprised of an industry-leading portfolio of businesses utilizing advanced
technology to deliver products such as architectural and industrial coating applications, building insulation, adhesives,
microbial protection for the oil and gas industry, and water technologies. Infrastructure Solutions consists of four global
businesses: Dow Building & Construction, Dow Coating Materials, Energy & Water Solutions and Performance
Monomers. The Infrastructure Solutions segment also includes a portion of the Company's share of the results of Dow
Corning Corporation, a joint venture that manufactures silicone and silicone products, which is owned 50 percent by the
Company.
Performance Materials & Chemicals
The Performance Materials & Chemicals segment is comprised of five technology-driven, customer-centric global
businesses that are advantaged through integration and driven by innovative technology and solutions: Chlor-Alkali and
Vinyl, Chlorinated Organics, Epoxy, Industrial Solutions and Polyurethanes. Products produced by this segment are back-
integrated into feedstocks, supporting a low-cost manufacturing base and consistent, reliable supply. Performance
Materials & Chemicals has a diverse product line that serves customers in a large number of industries including appliance,
construction and industrial. The Performance Materials & Chemicals segment also includes the results of MEGlobal and a
portion of the results of EQUATE Petrochemicals Company K.S.C., The Kuwait Olefins Company K.S.C., Map Ta Phut
Olefins Company Limited, and Sadara Chemical Company, all joint ventures of the Company.