Good day, everyone, and welcome to the Eastman Chemical Company Fourth Quarter and Year-End 2012 Earnings Conference Call. Today's conference is being recorded. This call is being broadcast live on Eastman's website, www.eastman.com. We will now turn the call over to Mr. Greg Riddle of Eastman Chemical Company, Investor Relations. Please go ahead, sir.

Okay, thank you, Tiffany, and good morning, everyone, and thanks for joining us. On the call with me today are Jim Rogers, Chairman and CEO; Curt Espeland, Senior Vice President and Chief Financial Officer; and Josh Morgan, Manager, Investor Relations. Before we begin, I'll cover 4 items. First, during this presentation, you will hear certain forward-looking statements concerning our plans and expectations. Actual events or results could differ materially. Certain factors related to future expectations are or will be detailed in the company's fourth quarter and full year 2012 financial results news release and in our filings with the Securities and Exchange Commission, including our Form 10-Q, for the third quarter 2012 and our Form 10-K to be filed for 2012. Second, earnings per share and operating earnings referenced in this presentation exclude mark-to-market pension and OPEB losses and gains, Solutia acquisition-related costs and asset impairments and restructuring charges and gains. A reconciliation to the most directly comparable GAAP financial measures and other associated disclosures, including a description of the excluded items, are available in our fourth quarter full-year financial results news release, which can be found in the Investors section of our website, eastman.com. Third, this presentation includes revenues and operating earnings on a pro forma combined basis, assuming the acquisition of Solutia had been completed prior to first quarter 2011 that compare post-acquisition results to pre-acquisition pro forma combined results. More information on pro forma combined results is in our fourth quarter and full-year financial results news release. Lastly, we have posted slides that accompany our remarks for this morning's call on our website in the Presentations and Events section. And with that, I'll turn the call over to Jim.

Thanks, Greg. Good morning, everyone. Thanks for joining us. I'll begin on Page 3, and the numbers are in. We had another outstanding year in 2012, the latest in a series of outstanding years, reflecting the significant improvements we've made, which have resulted in Eastman becoming a portfolio of specialty businesses. There were numerous accomplishments throughout the year, with some of the more significant listed here. We began the year by announcing the Solutia acquisition, and with Solutia, we have broadened our global footprint, brought together complementary and adjacent technologies and diversified our end markets. We believe we're in the early stages of seeing the significant value that this acquisition will bring to Eastman. We also continue to add capacity in key markets where there's a secular trend driving growth and where we have a technology advantage. A couple of examples from 2012. As the market continues to switch from plasticizers with phthalates to non-phthalate plasticizers, we completed the retrofit of an asset we acquired from Sterling to our proprietary Eastman 168 non-phthalate plasticizer. Earlier in the year, we started our second line of Tritan copolyester, and Tritan volume increased almost 25% in 2012, as it penetrates markets, including medical and durable goods with a superior value proposition. And as passengers demand improved features in the cars they drive, including noise reduction, we increased capacity in Belgium of our advanced Saflex PVB sheet, which offers enhanced acoustics performance among other properties. Going forward, we'll continue to meet the needs of our customers with expansions in growing markets. Moving next to the earnings growth. With 2012 EPS of $5.38, we've delivered greater than 20% compounded annual growth for EPS over the past 2 years and nearly 40% over the past 3. And given the strength of our cash generation and the…

Okay. Jim, thank you. Good morning, everyone. I'll begin on Slide 15 by reviewing some financial highlights for 2012. Cash from operations in 2012 was $1.1 billion. This is well above our 2011 total of $625 million, and is built off of a solid base of earnings, good discipline with working capital and the expected use of NOLs acquired from Solutia of approximately $150 million in the year. Within these free cash flows, we spent $465 million in capital expenditures, which was slightly more than our guidance earlier of $450 million. We also paid dividends of $192 million, which includes the $45 million of accelerated dividend payments the board authorized to pay stockholders on December 31. With the strong free cash flow generation, we paid a total of $250 million on the $1.2 billion acquisition term loan, and ended the year with $249 million in cash. Thus, our net debt at the end of 2012 was $4.5 billion. Next, I'll mention several items that impacted our fourth quarter results and that are excluded from our non-GAAP results. During fourth quarter 2012, Eastman recognized a mark-to-market loss for pension and other postretirement benefit plans of $276 million. This was due to a reduction in the company's assumed weighted average discount rate versus prior year, partially offset by an increase in the pension asset values. In addition, we also had asset impairment and restructuring charges of $83 million primarily related to 4 items. First was termination of an operating agreement with a third-party site in Brazil and related facility closure costs. This site produces Santoflex anti-degradants and Saflex PVB resin. We will continue to meet customer demand with our other global manufacturing sites. Second was discontinuance of the company's project to modify existing coal-based utility assets in order to meet recently enacted…

Okay, thanks, Curt. Tiffany, this concludes our prepared remarks and we are now ready for questions.

[Operator Instructions] We'll take our first question from Duffy Fischer of Barclays.

The question I had, we've had pretty steep propylene pop in January, and people are thinking there's going to be another move in February. I guess, for you guys, can you talk about the key propylene derivatives and how you think those markets will pass on that price increase? I mean, where you will be able to get it quickest and how long that lag will be?

Sure, Duffy, and it's one of those things where, as we move to more of a specialty, I would have thought we'd be spending less and less time on this. On the other hand, I must admit, I'm enjoying the exposure we have at this time because you're right. Fourth quarter, we got helped with propane, particularly, staying down and then this quarter, it looks like we're going to get helped with the other end of the spread, with propylene moving up. And by the way, we're just in January. So I try not to get too carried away about what the spread's going to do this year. One of the key places you see it is in our solvents business, the propylene that shows up in the functional products, the Additives & Functional Products segment. I guess, as I look at it, there's a range. The other place would be in our intermediates business. But as I look at it, it's a range of how far downstream you are, how much transparency the customers have. Certainly, I think we're much better at pricing and moving things along quickly. It'll depend again by how much it's specialty, how much it's commodity, but we'll definitely see the effects of this move in propylene in those 2 segments in the first quarter. And some will then flow over into the second quarter because of the lag. But it's hard to break out, just do -- would you average in 1 month, 2 months, 3 months. In the past, it's been as long as 3 months. I think we're much faster than that now.

Okay. And then the changeover at Kingsport to gas, why half -- I mean, it seems like kind of half pregnant. If it made sense, why not go 100%? Or was it -- that was just enough to get you over the hurdle, what you needed to do, regulatory-wise?

So you're one of those poker players who always goes all-in on every hand?

Well, unfortunately, sometimes wrongly.

No, I mean, we try and be judicious. We -- one of the main drivers was the whole regulatory environment, not only what we're facing with Boiler MACT and something called BART, but just trying to look down the road a few years as to where do we think this country is going. In the past, we've always looked at it, and coal was always so advantaged that you just swallowed hard and paid all the regulatory changes you had to make, paid for all those changes. Now with the outlook for natural gas and as compared to Central Appalachian coal, it's really a push on the economics. So then you go to the capital cost, and Curt gave it to you, $90 million compared to something that was probably a couple of hundred million north of that for getting coal in compliance. So you knew you were going to do something. Then the issue is how much do you do. This amount allows us to avoid that capital, meets all our regulatory requirements and then some. Plus, frankly, we tend to like the idea of being -- for our energy needs here at our major site, half gas, half coal. We think that kind of plays to what we talk about so many other places, in terms of being diversified and trying to smooth out earnings. So net-net, a good result. It's a shame, in a way, we had to eat, I think, $17 million, but we couldn't just sit on our hands earlier. We had to get going on the engineering to be in compliance to meet the timeline. And then, of course, the world for shale gas just moved, gas prices moved, and we got a much better alternative so we had to scrap the plans to change our boilers over.

We'll take our next question from Bob Koort of Goldman Sachs.

I was wondering if you could give us a little more granularity on what's going on in 2 of the key markets from the Solutia acquisition, maybe on a regionalized basis for both auto and tires.

We can. Frankly, there's some other players out there who have been out ahead of us who have done a pretty good breakdown, guys who are directly in that market and almost totally dependent on that market, you might say, but I don't think you're going to get any new insights from us. But as we look at tires around the world, obviously, the States is coming back. Europe is still very much down, negative again this year in '13, and Asia seems to be improving. One distinction I'll draw, so that you don't just think about auto builds, is realize we're more dependent on, frankly, commercial activity because of the truck tires being more important to us than the car tires. So that's one comment I can probably make globally, is I think we're still at a lower level of commercial activity. And so when I think about a business like Crystex, to me, it just seems like such a great business, and we're not getting to see it shine. So I was trying to think of an analogy. It's like having this champion surfer, and right now, we just have 2- and 3-foot waves and we keep waiting for the big waves to come so we can see what this businesses can really do. Plus we've got a Kuantan expansion that we'll probably get going on later this year that's going to make some fairly dramatic changes in their cost position in terms of their fixed costs, their variable costs. We'll be able to go back and retrofit existing sites for that. So while I think we've got a fantastic business, the markets are not allowing us to show just how good that is. What was the other -- was there something else besides tires you wanted to hear about?

Just autos generally, but my suspicion is you'll give me the same response. So let me ask a different question, if I might, which is, in the context of your 2% global GDP, can you give us a sense of where you see volume growth across the division?

Yes, I mean, what you want to drive is volume growth in everything, except maybe Fibers. You won't see it until they get their JV on because they're running so hard right now. I mean, just volume, in general, Bob. I wish we'd had a little more this past year, frankly, but there was some things that slowed us down. And net-net, I can't complain too much. I mean, I think we had a really good year. We need to get the volume growth going in the future. Most of it will hinge upon capacity additions so getting more hydrogenated hydrocarbon resins, getting that thing going in China will be fairly significant for us, filling out the lines we've already built, like Tritan and CTA, and we'll get volume growth and mix change with the acoustic interlayers, because that's a great product and that ought to be growing nicely. Would you want to add anything, Greg?

[indiscernible]

Yes, that's -- we've been talking about that. That one, I think I can count on for some time to come is the switch on the plasticizer side. Realize, too, that we got a couple of competitors out there. We didn't put it in our prepared remarks, but SK came on with some copoly volume this past year. Kalama came on with some volume in the benzoate plasticizer arena, and so we're trying to be smart about how we make pricing volume choices this past year to preserve as much shareholder value as they go to fill up some of those expansions. But, for example, I think Specialty Plastics business, which we don't break out anymore, but they came under some pressure this year because of what I just said about SK, and they wanted to work down some inventories at year end. I expect that Specialty Plastics business to have -- get back to setting a record in 2013 again for earnings so -- and that will demand some volume growth, so things like Tritan will have to continue to grow, which it will.

We'll take our next call from David Begleiter from Deutsche Bank.

Jim, the entire -- was the entire guidance increase versus December, was that due -- just due to the propane-propylene spread being wider earlier in the year?

It was due to the fact that I didn't think you guys would let me stay where we were. I mean, I'm only 1 month into the year. So I got to tell you, we felt a little sheepish, having just stood in front of all of you in December, and then we come out 6 weeks later or whatever, and we said, "Hey, we're probably going to do a little better than we told you." But yes, that was the major change I could point to is just propylene moving up, and we're going to get it in price. I mean, we deserve it and that's what's going to happen and so...

And Jim, if I could add also, we're probably showing a little bit more decline in the corporate other spending because of the Perennial Wood adjustment than we were probably thinking back in December.

That's true and -- but a lot of times, people only want to add in the positives, and there's things going the other way. So I got benzene and paraxylene -- the same way propylene is really good, not as big an impact, but benzene and paraxylene hurting us. So we try to pull it all together, and give you our best thoughts just like we did back in December on how we're going to end the year.

And Jim, what were the Perennial Wood losses or costs in 2012?

That was -- I'll let Curt give you the specifics, but just on Perennial Wood, I mean, this is still something I like. We just got to be smart about it, and we said our top priority was hitting the earnings goals, and so I'm not going to do anything that -- or say it another way, I'm going to give myself as many cushions as possible to have as high a probability as possible of hitting the earnings targets all the way out to 2015. So we like the product. We got to work on the economics of the product, which includes more than just decking. It gets to what else can you do with the wood, can you -- how do you approach porch flooring and, potentially, siding, furniture, trim, all the other things you can do with a good product like this, and make sure the economics work. But as for the actual change and write-down, Curt?

Yes, David, if you look at that $126 million of other corporate costs, which, as you know, is corporate R&D, programs, et cetera, Perennial Wood is roughly $50 million of that number.

And just lastly, Jim, just on Crystex, you mentioned some competitive intensity back in the meeting in December, so maybe some lost share. With the Kuantan expansion and lower variable costs, fixed costs, could you at least maintain, if not grow your share in Crystex this year and going forward?

Yes, we'll see. I mean, my top priority is in that business is the value preservation, the setting ourselves up nicely such that when Kuantan comes online and we have that lower cost, we're smart about our position in the marketplace because we're the big guy in the marketplace. And we'll have not only lower cost, but we're probably going to have some additional functionality with our product too, which will be another way of separating our products out from the also-ran guys. So when it comes to share, sometimes you're willing to make trade-offs to make sure you make the right pricing decisions. Long term, I feel like when this industry has to run hard, we'll probably pick up share during that time. So we'll just see. We need a little help though. We need a little help from the marketplace. We need a little more commercial activity, a little more truck tires being sold.

We'll take our next question from Mr. Andrew Cash of SunTrust.

I heard your favorable forecast for Advanced Materials for '13. So I'm just curious, if you look at the PVB business, are contract negotiations complete there for this year? And if so, in what quarter would you expect the PVB volume to start increasing?

Yes, it's a good question. I don't know. I mean, you identify the business that has the steepest hill to climb over the next year, as well they should. I was pleased with where we got to on the contracting for the interlayers business, I think Mark Costa and his team did a great job there. They told me upfront it was probably a 2-year process to get back to where you want to be in terms of having the right mix with your customers in regions, et cetera. I do think the acoustic product's going to be a big help in terms of improving the mix, which helps your margins, maybe also get you the -- get you back on the volume growth side. Biggest factor is probably outside of my control, and that probably gets back to just general economic activity. So I don't want to try and pick out a quarter, but I like the direction we're going. As you look at that segment though, don't forget about the copoly business, the Specialty Plastics business, and like I said, they took it in the -- how do I want to say this, they took a P&L hit. They took a bit of a P&L hit last year, purposely working down inventories, the right thing to do. The inventories had gotten a little high, and they did a lot of that in the fourth quarter. That can be a pretty powerful contributor as that business comes back strong this year.

Okay, understood. Just to follow up, going back to the propane, could you just put in ballpark figures for us the increase in Eastman's earnings in 2012 as related to the spread between propane and the price of the derivatives?

Yes, and you're picking propane, but I guess you mean propane ethane in general or do -- are you really...

Yes, the whole complex, yes.

Well, we're probably not going to give you the exact number. I can tell you it was significant, and what we say in our statements, Curt, is we try and cap it out for people...

Yes, it's less than 20% of our total EBIT.

EBIT, yes, less than 20% of EBIT, but it was significant. It was a nice move in our direction.

We'll take our next question from Nils Wallin with CLSA. Nils-Bertil Wallin - Credit Agricole Securities (USA) Inc., Research Division: Question on Advanced Materials again. I mean, when you look across the forecast you guys have for 2015 and in margin targets, it's certainly the one that has the longest bridge to get there, the 14%. So what really needs to happen to make sure you can meet this target? And how much relies on macro versus controllable factors and versus your 3 big products: PVB, Tritan and CTA?

Yes, so I'll make a couple of comments. Greg may want to chime in, too, because he's sitting over here, looking at me like he's got a better answer than I do. But I mean, like I said on the last question, I mean, they got a steep hill to climb. They're very confident, by the way, though. I mean, when you look at the EBITDA percentage that they have to grow, it's nowhere near the same. Because they got a pretty big installed base and they got capacity they can fill out that we've added. And so you ought to see a faster ramp-up as they fill up something like the CTA line, et cetera, the interlayer capacity we had. And it's also a place where, in particular, the interlayers, where Europe has held them down below what I would say is a normal -- kind of normally how that business should look. So partly, you're looking for Europe to come back out of the doldrums and partly, you're looking to fill up capacity you've already built, and so they should be levered to faster growth in the EBIT line than perhaps some of the other businesses. Nils-Bertil Wallin - Credit Agricole Securities (USA) Inc., Research Division: Okay, great. And back on the Specialty Plastics, I know that you mentioned the SK expansion, but it seems like there has been lower utilization and weak demand all year. Is there any type of share shifts? I mean, in the past, copolyester was kind of the tween-er between acrylics and polycarbonate. Has any -- has there been any kind of end product share shift between those two that might also be affecting demand on the copolyester side?

Well, I'd say -- we said we thought demand was off some. So I had a little bit of double -- really, a triple whammy. I had a competitor filling up some capacity. We had probably soft end-market demand, although I wouldn't say really losing anything to polycarbonate, for sure, because polycarbonate, of course, is struggling with that headwind of high benzene costs. And then we had intentional working down the inventories, which that was not insignificant. That had a pretty good P&L impact. So I think copoly with Tritan, in particular, Tritan's taking share from other competitors, other plastics. I don't know, Greg, what would you -- anything you want to add to that?

Nope, nope. I think that's it. I mean, the packaging...

Did I scare you off from saying something?

I'd say the packaging market has been soft for a while.

Yes, that's true.

That's affecting, not just copolyester, but a lot of different products. Nils-Bertil Wallin - Credit Agricole Securities (USA) Inc., Research Division: Okay, and then just finally, is -- acetate yarn has had some issues in the past year. Obviously, your tow is doing fantastic and you've got expansions there. Is there a point when acetate yarn is no longer core for you? Or is there anything there that in terms of the integration of your facilities that even if you might not want to be in the business anymore it's going to be hard to disaggregate it?

Well, others have clearly exited. So it's a logical question. I wouldn't necessarily use the word core, but it sure helps us run our stream better. I mean, so could we move from yarn to just tow? Yes, we could. But right now, the economics are in favor of us staying in the yarn market. I mean, it's a positive cash contributor even -- in fact, it's never been a negative cash. It's always been positive cash and absorbs cost, helps us run the lines full, and even when the EFO on that business is negative. The other thing I'd say is it's really just not that big anymore. So if I was sitting outside the company, I wouldn't spend a lot of time on yarn. We feel compelled to talk about it because it can move things at the margins but, of course, the big horse is the tow and then the acetyl intermediates, the flake that we sell.

We'll take our next question from Mr. Vincent Andrews with Morgan Stanley.

Two questions. First, could you just give us a little bit of update on the contracts with Saflex and Crystex? I know, in particular, you were talking back in December about trying to get some improvements in the structure of that going into '13. So just first on that. And then, secondly -- why don't we go with that first?

Yes. Yes, and I'll only give you, oh, so much color other than to say I'm pleased, which hopefully, that carries some weight. It is, I realize, a 2-year process. I would say we've done a better job than has been done in the past of segmenting out the really key customers, the ones that are important to us, working with them, where do they see value added, where should be thinking multi-year, how should we be thinking about pricing structure with those customers, and I can tell you I'm pleased. I mean, Mark Costa has been personally involved out there with some of this, and we're building relationships quickly. We're approaching it differently perhaps than they did in the past in terms of not just working with the purchasing department, but really wanting to be in there with technology and the whole gestalt, if I could, so -- and we try and make smart trade-offs between volume and price, and you don't chase volume in Asia just because you want to say you're growing in Asia. You take volume in Asia when you can make money there. And we respect all our customers, all regions of the world, but we know where our bread is buttered. And that's what this past contracting strategy reflects, and that's true for -- I guess, I mainly had Saflex in mind once I was talking, but Crystex would be something similar.

Okay. And just as a sort of separate follow-up, you mentioned SAP integration in the prepared remarks, and you might have talked about this in the past, I just don't remember. But can you remind us, which -- either you had SAP or Solutia had it or neither of you had it or what's the process that you're doing?

And I'm going to let Curt comment on that. I just want to make a general comment about integration, and then I'll let Curt talk about it because Curt's one of the guys driving it. I would have guessed that by now, I would have had some kind of disappointment in the integration. I mean, I've been around a while, and to do an acquisition this size, usually something doesn't go the way you want. So I knock on wood as I say it, but it's -- this has been a good one. This one's going the right way. We're hitting our milestones. We're hitting -- we're exceeding our costs and revenue synergy goals, and so I like what we see. On SAP, Curt?

Yes, if you look at just briefly on SAP, they had -- part of their shop was on SAP so we're migrating that over. That would be in Advanced Interlayers. Another part of their portfolio, which are the Tech Specialties was -- Solutia was even under a path of getting ready to convert that over to SAP, and that is one we will continue. Those are the 2 big horses we convert in 2013.

And we're an SAP house...

And we're an SAP house.

Single-instance, global SAP house. Everything's on SAP.

A lot of good talent on both sides of the house on SAP, and we know how to get this done.

We'll take our next call from Mr. Chris Nocella, RBC Capital Markets.

Oxo alcohol prices have been strong in Asia recently, and I saw you guys put an announcement out as well. Is this just a push-through of propylene? Or are you guys seeing particular strength here?

No. There is strength in the markets that picked up in the fourth quarter. And of course, we got an operation in Singapore, and that's been doing better. That had one of its better fourth quarters in some time the way I remember it. So there's definitely strength in that market, as well as you have the wind of -- tailwind this time of what's going on with propylene.

Okay, and there's also been some talk amongst your peers over the last couple of days about improvement in China. You guys had a nice 6% to 7% growth in that region the last couple of quarters. Are you seeing a pickup kind of as we're sitting here today in that business? Or is it just trending along the same trajectory?

No, I think you'd have to say it's picked up. I mean, I don't have January results. What I've got so far, as I've looked at kind of how the year's kicking off with volumes. And one, there's pretty much an uptick everywhere, except maybe the adhesives business; but two, I'd say Asia is definitely picking up.

We will take our next question from P.J. Juvekar with Citi.

Jim, Curt, your margins in Additives & Functional Products have held up quite well despite the weak tire demand that you talked about. So are Crystex margins holding up? Or are coatings margins coming in to help out with the raw material benefit that they have?

Both, but more the latter. This is where we talk about the solvents, as well as some of the old pieces of CASPI, some of the additives from CASPI, and it's quite, quite strong right now. You know our North American presence is good, and what you're going to see more of, not just us, you're going to see more of is with this -- with what's going on with natural gas in this country, you're going to see products being globally competitive that in the past logistics might have held you back, and now you're going to be shipping some of the stuff around the world.

Okay, and can you just make a comment on the Crystex margins, please?

I guess I would say more holding their own, holding steady is probably the best way to think about that.

Okay. And then a couple of things on ethylene. You mentioned about the restart of the cracker and the derivative unit at Longview. At today's raw material prices, can you just ballpark the impact?

Of if you restarted the cracker?

Yes.

Yes, hard to do because what we're talking to people about is that you wouldn't just the run the cracker and then sell the output. You would probably -- I think I had it in my prepared remarks, you can probably put something additional on our site and take it to a derivative. But look at it this way, we're running now on 3 crackers. Cracker 4 is the larger of the 2. This would be equivalent to 1 of the 2 smaller crackers. I don't know, we can --- you can probably back into the volume impact of a cracker.

It's about 300 million pounds.

300 million pounds and so then you can do your math, P.J.

Okay, and then, Curt, did you say that you locked in ethylene sales at 2012 margins and the margins...

We have. Well, let me just make sure we break it -- if you think about our total ethylene that we produce, about half of which we consume and put down into our derivatives, that remaining half is what we call bulk ethylene, and about 50% of that, we have locked in at 2012 spreads.

No, my point was 2012 margins were great, but in 2013 here, margins have gone up even higher, so you wouldn't see that benefit?

For that -- well, a couple of comments, first of all, they've been -- they were great in December and early January, they've pulled back a little bit since. But yes, the comment's going to be, of that 50% of bulk ethylene sales, we've locked it in, and we won't see the upside or the downside [indiscernible].

And I'll take your guarantee that they're going to stay strong the rest of the year. I really appreciate that.

We'll take our next question from Frank Mitsch with Wells Fargo Securities.

Hey, Jim, I lost some money today. I bet my team that the CEO spotlight was going to feature Greg for running a successful Investor Day, and in fact, you stopped it altogether. Did anybody at Eastman deserve the CEO spotlight?

I thought about that, and then what I've been told is our prepared remarks already go long to the point that you guys don't always get all your questions in. So honestly, if I was going to do it today, I would have done it on the integration team. So I'll do a 3-second: Integration team doing an excellent job, by Curt and Mark, and seriously, I am pleased with that. That is just going about as good as you could expect.

Well, regardless, I lost money anyway since you didn't highlight Greg. Curt, I find it rather curious that you talked about on track to exceed $1 billion in free cash flow, yet, you're going to fall behind in terms of offsetting dilution on the share count and you're going to get to the share buybacks kind of later in the year. Can you expand upon that?

Yes, what I mean by that is just simply with some of the dilution that occurred in the fourth quarter, probably expect some additional dilution the start of the year, the timing is such that our buyback, as you've heard me talk before, is I got to make a little more progress on the deleveraging before we start fully doing all those purchases. So it's just a matter of timing, and how the math works on the '13 calculation. But by the end of the year, we'll be there and then some.

All right, okay, fine. And then you also talked about you think that there's upside in terms of Solutia revenue synergies. Can you expand upon that?

Yes, if I look at the synergies, the ballpark of $100 million off of their original revenue base is about 5% of revenues -- or 5% of revenue. So when we look at the project listing that this integration team is managing, there's different levels of probability. So when we talk about the 5% of revenue, the $100 million, we're highly confident in that number. As you go down the level of probability of success for the remainder, is it possible we can get to 6% of revenue? Yes. Is there a chance we can get to 7% of revenue? Possibly.

He was talking about revenue synergy, too, though.

Oh, you're talking about revenue synergy? I'm sorry, I thought he was percentage. The revenue side, I would say we're off to some good start on the commercial practices. I think we need a little more time on the longer-term aspects of the programs that we've talked about, the tires, et cetera. But if I look at commercial activities and practices, I think there's some real benefits we're already starting to see in our numbers and there's more to come.

Okay, fair enough. And then can you give us an update on your thinking regarding the photovoltaics business?

Yes, honestly, I haven't thought a whole lot about that one lately because, as you know, when we divvied up the businesses, I gave that one to Curt. So Curt, what's your...

Right now, photovoltaics is a tough marketplace. We're continuing to evaluate some options, and we're still working through those options, but either way, it's not a material item to Eastman, but we're working through the strategic alternatives.

And any thought on -- as to when we might get a go, no-go, keep or not keep type of decision?

I would say within the next quarter or 2, we're going to have some...

Yes, we're not going to be talking about this forever, Frank.

We'll take our final question from Laurence Alexander with Jefferies. Laurence Alexander - Jefferies & Company, Inc., Research Division: Just a very quick one then, are you seeing any areas or regions where they're -- you're seeing demand destruction in response to attempted price increases?

I would say, I review pricing every month, and I would say this is in most areas one of the better pricing environments finally than we've seen in a while. So part of that is just thinking about the things that are propylene-based. Part of it is some areas that are tight such that customers are more concerned about making sure they have surety of supply than they are the last penny. Anything doing with packaging is still tough so some of the adhesives. Parts of the adhesives is still tough. Other parts, the hydrogenated hydrocarbon resins, still a tight market. So if I had to make a general comment, it wouldn't be so much regionally. Europe would probably be the toughest region, and I would guess packaging would be the end market that would be the toughest.

Okay, thanks again, everyone, for joining us this morning. A web replay and a replay in downloadable MP3 format will be available on our website beginning at approximately 11:00 a.m. this morning. Thanks for your interest in Eastman. Have a great day.

That concludes today's conference. Thank you for your participation.