Quarterly report pursuant to Section 13 or 15(d)

VARIABLE INTEREST ENTITIES (Notes)

v3.20.2
VARIABLE INTEREST ENTITIES (Notes)
 6 Months Ended
Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Variable Interest Entity Disclosure [Text Block]
SunCoke Middletown
We purchase all the coke and electrical power generated from SunCoke Middletown’s plant under long-term supply agreements. SunCoke Middletown is a VIE because we have committed to purchase all the expected production from the facility through 2032 and we are the primary beneficiary. Therefore, we consolidate SunCoke Middletown’s financial results with our financial results, even though we have no ownership interest in SunCoke Middletown. SunCoke Middletown had income before income taxes of $16.0 million and $19.5 million for the three and six months ended June 30, 2020, respectively, that was included in our consolidated income before income taxes.
The assets of the consolidated VIE can only be used to settle the obligations of the consolidated VIE and not obligations of the Company. The creditors of SunCoke Middletown do not have recourse to the assets or general credit of the Company to satisfy liabilities of the VIE. The consolidated balance sheet as of June 30, 2020 includes the following amounts for SunCoke Middletown:
 
(In Millions)
 
June 30,
2020
Cash and cash equivalents
$
1.0

Inventories
21.2

Property, plant and equipment, net
309.2

Accounts payable
(5.6
)
Other assets (liabilities), net
(1.2
)
Noncontrolling interests
(324.6
)