Table of Contents HEXION INC. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 2017 94 Hexion Inc. Combined Subsidiary Guarantors Combined Non-Guarantor Subsidiaries Eliminations Consolidated Net sales $ 1,586 $ — $ 2,203 $ (198 ) $ 3,591 Cost of sales 1,374 — 1,912 (198) 3,088 Gross profit 212 — 291 — 503 Selling, general and administrative expense 148 — 173 — 321 Asset impairments 13 — — — 13 Business realignment costs 24 — 28 — 52 Other operating expense (income), net 3 (1 ) 15 — 17 Operating income 24 1 75 — 100 Interest expense, net 315 — 14 — 329 Intercompany interest (income) expense, net (75) — 75 — — Loss on extinguishment of debt 3 — — — 3 Other non-operating (income) expense, net (79) — 67 — (12) (Loss) income before income tax, (losses) earnings from unconsolidated entities (140 ) 1 (81 ) — (220 ) Income tax (benefit) expense (7) — 25 — 18 (Loss) income before (losses) earnings from unconsolidated entities (133 ) 1 (106 ) — (238 ) (Losses) earnings from unconsolidated entities, net of taxes (101) (64) 4 165 4 Net loss (234 ) (63 ) (102 ) 165 (234 ) Comprehensive loss attributable to Hexion Inc. $ (203) $ (63) $ (108) $ 171 $ (203)