KGMembersrt:AffiliatedEntityMember2020-12-310001262823wlk:YNCORISGmbHCo. KGMembersrt:AffiliatedEntityMember2019-12-310001262823wlk:YNCORISGmbHCo. The operations of Westlake Partners are consolidated in our financial statements. We use this ethylene in the production processes of both our Vinyls and Olefins segments. During the third quarter of 2019, the LACC ethylene plant began commercial operations. The remainder of our PVC is sold to downstream fabricators and the international markets. The majority of our VCM is used internally in our PVC operations. We are the second-largest manufacturer of PVC pipe by capacity in North America. In addition, we rely on distributors to market products to smaller customers. We sell polyethylene to external customers as a final product in pellet form. We and OpCo sell ethylene and ethylene co-products to external customers. In some cases, compliance can be achieved only by incurring capital expenditures. We have manufacturing sites in North America, Europe and Asia. The first periodic reporting deadline under the mercury reporting rule was July 1, 2019. In this context, concepts such as the "best available technique" are being explored. These liabilities and costs may be material. In addition, we are exposed to volatility in interest rates. From May 1996 to July 2004, he served as our Vice Chairman. Mr. Chao has over 40 years of global experience in the chemical industry. Mr. Buesinger has been our Executive Vice President, Vinyl Products since July 2017. He began his career with Arthur Andersen LLP in 1998. In addition, we utilize EBITDA in evaluating acquisition targets. As a result, all of our idled plants recommenced production. As stated by IHS, "the caustic soda price listing represents the USGC-CSLi values. It is intended to serve only as a benchmark. Selling, General and Administrative Expenses. This decrease was mainly due to lower employee compensation and selling expenses. Sales volumes increased by 5% in 2019 as compared to 2018.Gross Profit. Income from operations decreased by $752 million in 2019, as compared to 2018. Capital expenditures were $787 million in 2019 compared to $702 million in 2018. As of December 31, 2020, we had no borrowings outstanding under the Credit Agreement. The Company received approximately $779 million of net proceeds from the offering. The excess of the purchase price over the estimated fair value is recorded as goodwill. Upon settlement of the liability, a gain or loss is recorded. The arrangement is scheduled to mature in 2026. The future cash flows were discounted to present value using a discount rate. The allowance for credit losses is reviewed quarterly. Cost is determined using the first-in, first-out ("FIFO") or average method. Repair and maintenance costs are charged to operations as incurred. Deferred turnaround costs are presented as a component of other assets, net. The Company elected to record GILTI tax as a period cost. Statement of operations items are translated at the average exchange rate for the year. These costs are recorded within selling, general and administrative expenses. 2014-09, Revenue from Contracts with Customers ("ASC 606"), effective January 1, 2018. Certain of the Company\'s leases provide for renewal and purchase options. Early adoption of this guidance is permitted. The acquisition is being accounted for under the acquisition method of accounting. Therefore, goodwill of $40 was recorded. The 4.375% 2047 Senior Notes are unse