long term.
 focused relationships with multinational carriers airtel.
 vodafone.
 investments revenue growth.
 emerging markets ghana india nigeria uganda wireless networks less advanced initial voice networks deployed underdeveloped areas.
 consumers utilize basic wireless services feature phones advanced device penetration low.
 early-stage data network deployments underway.
 carriers voice network build-outs investing data networks.
 south africa latin america initial voice networks built out carriers focused 3g investments 4g.
 consumers adopting smartphones advanced devices usage bandwidth-intensive mobile applications growing.
 spectrum auctions carriers data deployments entrants investments.
 smartphone penetration wireless data usage quality.
 germany carriers deploying 4g data networks usage.
higher smartphone advanced device penetration higher per capita data usage carrier investment focused on 4g coverage capacity.
 network technology migration united states denser networks business commencements replicated advanced international markets.
 expect leverage international portfolio 60190 communications sites relationships customers sustainable long-term growth.
 holistic master lease agreements tenants long revenue reduction churn.
 partnerships collocation cycle times equipment.
 revenue growth.
 2015 grew portfolio communications real estate acquisition construction 25370 sites.
 asia emea latin america markets tenant pass- through revenues expenses.
 evaluate opportunities acquire communications real estate portfolios domestically internationally risk-adjusted existing portfolio.
 new sites 2015 2014 2013
.
 latin
 property operations expenses.
operating expenses property segments include site level ground rent power fuel costs passed to tenants property taxes repairs maintenance.
 exclude selling administrative development expenses aggregated consolidated statements operations.
 expenses increase adding tenants modestly year-over-year.
 leasing additional space new tenants provides cash flow.
 incur additional


rating below investment grade value undivided interest discontinue facility.
 railroad collected $ 20. 1 billion $ 18. 8 billion receivables 2012 2011.
 new receivables.
 costs securitization include interest commercial paper rates fees costs fees.
 $ 3 million $ 4 million $ 6 million 2012 2011 2010.
 investors no recourse railroad assets warranty indemnity claims.
 creditors recourse assets.
 receivables securitization facility renewed 364-day period.
 transferred $ 300 million interest value $ 100 million to $ 400 million.
 commercial commitments affect financial condition.
assessment contractual obligations commercial commitments off-balance sheet structured finance capital markets no trend uncertainty results financial condition liquidity.
 commercial obligations financings commitments similar transportation industry.
 tables obligations commitments december 31 2012 payments due obligations millions 2013.
 2017
 debt $ 12637  $ 507  $ 904  $ 632 $ 769 900 8925
 operating leases 4241 | 525 | 466 | 410 | 375  339  2126
 capital lease obligations 2441  282  265  253  232  243  1166
 purchase obligations 5877  3004  1238  372  334  213  684  32
retirement benefits 452 43 44 46
 income tax contingencies
 contractualobligations $ 25763 4361
 capital lease $ 1848 million unamortized discount 365 million.
 interest $ 5123 million.
 leases locomotives freight cars equipment real estate.
 obligations $ 593 million.
 purchase obligations locomotive maintenance fuel ballast.
.
 retirement medical life insurance payments unfunded pension plan ten years.
 future cash flows tax liabilities unrecognized tax benefits penalties december 31 2012.
 year settlement uncertain column.


jpmorgan chase. annual report advisory fees-wide.
 increase equity issuance.
 debt lower bond underwriting fees loan syndication fees.
 principal transactions revenue increased $ 1. 5 billion loss funding valuation adjustment derivatives.
 private equity gains increased higher net gains.
 offset lower fixed income markets revenue credit simplification.
 lending deposit fees decreased.
 asset management administration commissions revenue increased.
 offset lower commissions revenue exit non-core product.
 securities gains decreased repositioning.
 mortgage fees income decreased lower net production revenue higher mortgage interest rates margins.
 offset lower loss risk management mortgage servicing rights.
 income flat higher interchange income credit debit card sales volume higher new account origination costs.
income decreased two items 2013 gains $ 1. 3 billion $ 493 million sales visa shares chase manhattan plaza.
 lower valuations seed capital investments losses exit non-core portfolios contributed.
 offset higher auto lease income tax settlement.
 net interest income increased higher yields investment securities lower interest expense rates higher loan balances.
 increase offset lower yields higher-yielding lower interest-earning trading asset balances.
 average interest-earning assets $ 2. trillion net interest yield 2. 18%. decrease 5 points.
 provision credit losses year december 31.
 2015 2014 2013
 $ -81 419
 increased increase wholesale provision downgrades oil & gas portfolio.
increase offset decrease consumer provision lower charge-offs credit underwriting home prices unemployment.
 increase offset lower allowance loan losses.
 pages 85 201393 99 2013101 130.
 losses increased $ 2. 9 billion lower benefit allowance loan losses lower charge-offs.
 consumer allowance reduction related portfolio home prices delinquencies residential real estate.
 wholesale provision favorable credit environment.


.
 options 100962 options 1993 plan union pacific corporation.
 7140 restricted shares 1992 non-employee directors.
 no longer grant options retention shares units.
 april 2000 approved 2000 directors plan 1100000 shares reserved non-employee directors.
 receives 2000 shares retention.
 2007 option purchase stock not 10000 dividing 60000 1/3 fair market value 50 shares.
 december 31 2009 18000 restricted shares 292000 options.
 2001 stock incentive plan 2001.
 reserved 24000000 shares employees non-qualified options incentive stock options retention shares stock units bonus awards.
 non-employee directors not eligible.
 december 31 2009 3366230 options.
 no longer grant stock options awards.
 2004 stock incentive plan approved april 2004.
2004 plan reserved 42000000 shares common stock 2001 1993 outstanding april 16 2004.
 non options stock appreciation rights retention shares stock units incentive bonus awards employees.
 non-employee directors not eligible.
 2009 8939710 options 3778997 retention shares stock units outstanding 2004.
 33559150 36961123 38601728 shares stock authorized grant december 31 2009 2008 2007.
 value stock option awards black-scholes option pricing model.
.
 annual-average assumptions.
 risk-free interest rate. 9%. 9 %. 8%. 9%.
 dividend yield. 3%. 3 %. 4%. 4 4
 life.
 31. 3 %. 2% 2. 9%. 9
 grant-date fair value options $ 11.11.


performance graph compares five-year performance alcoa 2019s common stock standard 500 materials index 27 companies 201cmaterials market sector.
. five-year return initial investment $ 100 december 31 2010 dividends reinvested alcoa.
 s&p 500.
 2010 2011 2012 2014 2015
 alcoainc. $ 100 $ 57 $ 58 $ 72 $ 107 $ 68
 s&p 500 aeindex 102 118 157 178
 s&p 500 aematerials index 130
 2019s division mcgraw-hill companies.
.
 research data group.
.


15 100 shareholder return performance compares annual change corporation return common stock dow jones containers packaging index s&p composite 500 stock index five-year period december 31 2010.
 $ 100 invested december 31 2005 dividends reinvested.
 dow jones containers packaging index return weighted market capitalization.
.
 corporation $ 100. $ 110. $ 115. 107. $ 134. $ 178.
 containers packaging index $ 100. 112. 119. 75. 105. 123.
 s&p 500 index $ 100. $ 115. $ 122. $ 76 $ 97. $ 111.
 mcgraw-hill companies.copyright a9 2011 standard poor 2019s division mcgraw-hill companies. rights reserved. researchdatagroup. copyright a9 2011 standard 2019s division mcgraw-hill companies. rights researchdatagroup. copyright a9 2011 standard poor 2019s division mcgraw-hill companies. rights reserved researchdatagroup. copyright a9 2011 standard 2019s-hill. researchdatagroup.&p
 copyright a9 2011 dow jones company. rights reserved.


maturity values bonds.
 yield curve developed universe majority. aa-graded corporate bonds non callable.
 discount rate developed present value rates projected benefit payments.
 expected long-term return assets based historical projected rates prior administrative investment management fees current planned 2019 portfolios.
 rates selected historical experience future expectations returns volatility.
 target asset allocation overall expected rate return adjusted management results effect expenses assets.
 pension expense increases return decreases.
 health care cost trend rates postretirement benefit plans.
 based historical rates market conditions.
 one-percentage-point change increase decrease.
 service interest cost components
 postretirement benefit obligation


goldman sachs group.
 subsidiaries financial statements debt instruments secured financings fair value option exceeded $ 361 million $ 362 million december 2016 2015.
 unsecured-term borrowings exceeded $ 1. 56 billion $ 1. 12 billion.
 principal non-principal-protected borrowings.
 credit spreads loans estimated net gain credit spreads $ 281 million 2016 $ 751 million 2015 $ 1. 83 billion 2014.
 firm calculates fair value future cash flows.
 floating-rate loans changes attributable credit spreads fixed-rate loans interest rates.
 fair value future cash flows.
 net loss $ 844 million $ 544 million tax 2016 valuation adjustment.
 gains losses reclassified earnings extinguishment liabilities 2016.
.
receivable investment amortized cost losses.
 interest recognized recorded accrual.
 table details.
 millions 2016 2015
 corporate loans $ 24837 $ 20740
 private wealth management 13828
 commercial real estate
 residential real estate
 loans 2890
 loans receivable 50181 45821
 losses
 $ 49672 $ 45407
 2016 2015 fair value $ 49. 80 billion $ 45. 19 billion.
 28. 40 $ 21. 40 billion level 2 3.
 $ 23. 91 billion $ 21. 28 billion 2 3.
 lending commitments investment.
 commitments $ 98. 05 billion $ 93. 92 billion.
 extended corporate borrowers related relationship lending activities.
estimated lending commitments $ 327 million $ 2. 55 billion 2016 $ 291 million $ 3. 32 billion 2015.
 $ 1. 10 billion $ 1. 45 billion level 2 3.
 2015 $ 1. 35 billion $ 1. 97 billion 2 3.


equity instruments.
.
 123r eliminates share-based compensation transactions intrinsic value method accounting.
 fair-value-based method.
 stock-based compensation expense modified prospective method.
 2005 issued.
 107 guidance.
.
.
 effective first quarter fiscal 2006.
 adoption.
 reduction diluted earnings per common share $ 0. first quarter 2006.
 2005 fasb issued.
 47 conditional asset retirement obligations record liabilities obligation.
 adopt 47 first quarter 2006 results operations cash flows financial position.
 2005 fasb issued.
 154 accounting changes corrections replaces apb opinion.
.
 amendment.
.
.
 retrospective application prior periods voluntary change accounting.
.
 effective accounting changes corrections years 15 2005 first quarter fiscal 2007.
company sfas.
 adoption results financial position.
 liquidity capital resources table presents financial information statistics three fiscal years 2005 2004 2003.
 cash equivalents short-term investments $ 8261 $ 5464 $ 4566
 receivable net $ 895 $ 774 $ 766
 inventory $ 165  $ 101 $
 working capital $ 6816 $ 4404  $ 3530
 sales
 days
 days payables 62
 operating cash flow $ 2535 $ 934  $ 289
 receivables sales.
.
.
 september 24 2005 $. 261 billion cash equivalents short-term investments increase $ 2. 797 billion 2004.
 operating activities $ 2. 535 billion proceeds $ 543 million issuance common stock


goodwill assigned reporting segments acquisition.
 evaluate impairment fair value carrying value.
 market approach income approach future cash flows.
 consider revenue operating costs factors.
 amortize intangible assets finite over estimated useful lives review for impairment.
 monitor events-lived.
 assess recoverability future cash flows.
 less than carrying amount recognize impairment loss excess carrying amount over fair value.
 intangible asset impairment charges 2012 2011 2010.
 assets amortized over estimated useful lives 1 to 13 years.
 amortization economic benefits.
 weighted average useful lives.
 purchased technology
 customer contracts relationships
 trademarks
 acquired rights technology
 localization
development costs capitalization begins technological feasibility completion prototype no critical bugs release candidate.
 amortization begins software ready use economic benefits.
 costs between prototype availability.
 internal software capitalize costs customized systems development stage.
 include costs payroll expenses employees.
 capitalization begins preliminary project stage ceases complete ready.
 asset liability method accounting.
 expense recognized payable current year.
 deferred tax assets liabilities recognized future tax consequences differences financial reporting tax operating losses tax credit carryforwards.
 valuation allowance reduce deferred tax assets realization likely.
 systems consolidated financial statements


long-term debt five years 2005 millions.
 2006 2007 2008 2009 2010
 $ 492 $ 622 1801
 long-term debt payments 2006 $ 350 million remarketable securities 2010 $ 62 million medium-term notes 2044.
 long-term debt.
 repurchase notes 2007 due 2007 final maturity 2032.
 debt serviced dividends company contributions.
 employee benefit expense.
 companies floating rate notes long-term.
 floating rate debt.
 december 31 2005 short-term lines credit $ 618 million $ 101 million utilized.
 covenants restrict dividends.
 3m medium-term notes program shelf registration $. 438 billion december 31 2005.
 2003 debt $ 1. 5 billion.
 2003.
 medium-term notes program $ 1. 5 billion.
3m proceeds debt purposes repayment debt investments extensions financing acquisitions business expansion.
 2004 $ 62 million medium-term notes issued.
 no debt issued 2005.
 3m redeem 30-year notes beginning november 21 2007 conversion price bondholders convert into. 4602 shares 3m common stock.
 holders require purchase accreted value 2005 2007 2012 2017 2022 2027.
 22506 of 639000 bonds redeemed payout 3m $ 20 million.
 convertible notes value maturity $ 616 million book value $ 539 million december 31 2005.
 3m amended cash. 40%. per annum principal amount maturity.
 cash interest payments made may 22 2006 2007 15th day.
3m sold $ 639 million 201cconvertible notes 15 2002 convertible into shares common stock.
 proceeds $ 550 million issuance costs.
 amortized three-year period 2002.
 february 14 2003 registered convertible notes securities exchange commission.
 yield to maturity. 50%. initial conversion premium 40% over $ 65. 00 closing price 3m common stock 2002.
 conditions conversion convert 30-year notes 9. 4602 shares 3m common stock march 31 2003.
 conversion trigger price fourth quarter 2005 $ 120. 00 per share.
 5. 8 million shares 3m common stock.
 redemption purchase price cash common stock cash.
 no impact 3m diluted earnings per share.
 financial statements.
 effect convertible debt diluted earnings per share.
201cearnings.


determine probability adverse claim estimate liability exposure indemnification arrangements.
 payments indemnity provisions.
 irs completed examinations issued notices deficiency years 1995 2004 stages appeals process.
 examining tax returns 2005 2006.
 reached agreement resolve issues 1995 1998 dispute donations.
 anticipate closing agreement 2008.
 current liability $ 140 million tax payments 2008 tax examinations.
 resolution effect consolidated financial statements.
.
 other income 31 2007 2006 2005.
 rental income $ 68 $
 net gain non-operating asset dispositions
 interest income
 sale receivables fees
 non-operating environmental costs
 $ 116 $ 118
.
 share repurchase program authorized repurchase 20 million shares union pacific corporation common stock end 2009.
guide repurchases.
 fund stock repurchases sale lease debt issuances cash december 31 2007.
 repurchased 13 million shares price $ 1. 5 billion.
 recorded treasury stock commissions fees.


december 31 2013 investment grade loans $ 6. 5 billion non-investment loans $ 7. 9 billion.
 company hedges $ 9. 0 billion total corporate lending exposure $ 93. 0 billion.
 201cevent-driven 201d loans lending commitments.
 $ 9. 5 billion funded loans $ 2. 0 billion lending commitments $ 7. 5 billion.
 $ 7. 3 billion loans lending commitments non-investment grade borrowers.
 maturity profile 33% less than 1 year 17% 1 to 3 years 32% 3 to 5 years 18% 18 % over 5 years.
.
 monitors credit exposure industries.
 credit exposure industry 2013 lending exposure.
 energy utilities
 healthcare
 discretionary
 industrials
exchanges financial services 7190
 consumer staples 6788
 technology 6526
 telecommunications 5658
 materials 4867
 real estate 4171
 5593
 total 93033
 mutual funds pension funds private equity real estate funds exchanges clearinghouses financial services.
.
.
 corporate commercial residential mortgage loans-backed loans financing.
. 6%. less. 4%. non- accrual due 90 principal.


abiomed.
 subsidiaries financial statements 2014.
 stock award plans compensation $. 1 million years 31 2009 2008 2007.
 fair value shares employee stock purchase plan estimated black-scholes option-pricing model.
 risk-free interest rate 1. 01%. 61%. 84%. 84 %
 life.
 67. 2%. 2 %. 2%. 2 % 39. 8%. 8 %
.
 2008 issued 2419932 shares common stock $ 17. 3788 net proceeds $ 42. million.
 2007 issued 5000000 shares april 2007 additional 80068 shares 2019 over-allotment option.
 authorized 1000000 shares class b preferred stock $. value.
 shares issued.
.
 taxes deferred tax assets liabilities future tax consequences carryforwards tax.
deferred tax assets liabilities measured tax rates.
 valuation reserve established.
 stock option compensation deductions credited equity.
 march 2009 federal state net operating loss carryforwards $ 145. 1 million $ 97. 1 million fiscal 2010.
 research development credit carryforwards $ 8. 1 million $ 4. 2 million 2010.
 acquired impella german 2005.
 pre-acquisition net operating losses $ 18. 2 million denominated subject exchange remeasurement incurred net losses.
 2008 $ 1. 2 million pre-acquisition losses.
 subject statutory approvals requirements.
 full valuation allowance established offset deferred tax assets liabilities.
 utilization credit carry forwards limitation section 382 ownership changes.
ownership changes section 382 internal revenue code limit net operating loss research development credit future income.
 believes federal state nol 2019s available carryforward future tax periods maximum carryforward limitation.
 future limitation gross deferred tax assets.
 ownership changes limitations.


management december 2013 assets $ 911. 51 billion decrease $ 27. 05 billion 2012.
 financial instruments $ 67. 89 billion.
 obligations non.
 obligations derivatives commodities assets $ 17. 11 billion sale majority stake reinsurance april 2013.
 offset increase collateralized agreements $ 48. 07 billion.
 liabilities $ 833. 04 billion decrease $ 29. 80 billion 2012.
 other liabilities expenses $ 26. 35 billion sale majority stake americas reinsurance insurance decrease collateralized financings $ 9. 24 billion.
 offset increase payables customers counterparties $ 10. 21 billion.
 2013 securities sold $ 164. 78 billion 5% higher 4% 4 % higher average.
 increase client activity.
 securities sold $.81 billion unchanged 3% higher average repurchase agreements december 2012.
 increase due firm financing.
 repurchase fluctuates liquid collateral.
 sovereign obligations collateralized.
 table assets unsecured long-term borrowings shareholders equity leverage ratios.
 december 2013 2012
 assets $ 911507 $ 938555
 unsecured long-term borrowings $ 160965 $ 167305
 shareholders 2019 equity $ 78467 $ 75716
 leverage ratio.
 debt to equity ratio 2.
.
 assets shareholders.
 different 1 leverage ratio.
 debt to equity ratio.
 equals unsecured long-term borrowings shareholders equity.


jpmorgan chase. annual report results comparative results three-year period december 31 2014.
 business segment.
 accounting estimates pages 161.
 revenue.
 millions 2014 2013 2012
 investment banking fees $ 6542 $ 6354 $ 5808
 transactions 10531
 lending deposit fees
 asset management administration commissions 15931
 securities gains
 mortgage fees
 income
 income
 noninterest revenue 50571
 net interest income
 revenue $ 94205 $ 96606 $ 97031
 funding valuation adjustments debit valuation adjustments-counter derivatives notes.
 gains losses $ 468 million $. 9 billion years 2014 2013.
 losses $ 930 million 2012.
 operating lease income $ 1. 7 billion.5 billion $ 1. 3 billion years 2014 2013 2012.
 net revenue down $ 2. 4 billion 2% lower mortgage fees other income.
 offset higher asset management administration commissions revenue.
 investment banking fees increased higher advisory equity underwriting fees lower debt underwriting.
 industry-wide fee levels.
 equity higher issuance.
 decrease debt lower bond underwriting lower loan syndication fees.
 data dealogic.
 92 201396 201399.
 principal transactions revenue equity investing increased $ 1. 5 billion loss fva framework otc derivatives.
 higher private equity gains net gains.
 offset lower fixed income markets revenue business simplification initiatives.
 results pages 92 201396 103 2013104.
deposit fees decreased business simplification lower trade finance revenue.
 results pages 81 92 97.
 asset management administration commissions revenue increased higher fees inflows higher market levels.
 offset lower commissions exit non-core product 2013.
 pages 81 201391 100 2013102.
 securities gains decreased lower repositioning activity.
 segment pages 103 2013104.
 mortgage fees income decreased.
 lower net production revenue volumes mortgage interest rates tighter margins.
 offset lower loss risk management mortgage servicing rights.
 pages 85 201387.
 card income higher income sales volume offset higher amortization new account origination costs.
 results pages 81 201391.


management financial condition results operations 2008 asp flat 2007.
 decreased 9% 9 2007 11% 11 % 2006.
 segment large customers.
 2008 sales five largest customers 41% 41 % net sales.
 sells third-party distributors retailers 24% ( 24 % net sales 2008.
.
 largest market 56% 56 % 2008 net sales outside.
 largest international markets brazil china mexico.
 impacted weakening.
.
 international markets latin america impacted 2008.
 home networks mobility segment designs manufactures sells installs services digital video internet protocol video broadcast network set-tops video distribution systems broadband access infrastructure platforms data voice equipment cable television telecom providers wireless access systems.
2009 segment 2019s net sales 36% 36 % consolidated net sales compared 33% 33 % 2008 27% 27 % 2007.
 31 change.
 segment net sales $ 7963 $ 10086 21 % 1% 1 %
 operating earnings 558 709 39 29% 29 % )
 segment results 20142009 2019s net sales $ 8. 0 billion decrease 21% 21 % $ 10. 1 billion 2008.
 22% 22 % decrease networks 21% 21 % home business.
 lower sales gsm cdma umts iden offset higher wimax.
 21% 21 24% ( 24 % ) decrease digital entertainment devices 18% decrease lower shipments lower unfavorable product mix.
 segment shipped 14. 7 million digital entertainment devices 2009 18. million 2008.
21% decrease sales driven lower sales regions.
 decrease north america due to lower home business cdma iden offset higher wimax.
 decrease emea due to lower gsm offset higher wimax home business.
 decrease asia driven by lower sales gsm umts cdma higher home business.
 decrease latin america due to lower home business iden offset higher wimax.
 sales north america 51% segment total net sales 2009 50% 2008.


consolidated financial statements 161 bancorp december 31 2012 $ millions ranges financial valuation technique weighted-average commercial loans sale $ 9 appraised cost sell. 0%. commercial industrial loans 83 default rates mortgage loans 46 construction loans 4 discounted cash flow prepayment speed 0 - 100% 16. 1%. 26. 9%. 9 % discount rates. 18. 0%. % 10. 5%. 5 % 11. 7%. 7 %.
 valuation unobservableinputs-average
 commercial loans sale $ 9 sell. 0%. %
 commercial industrial loans
 mortgage loans
 construction loans
 discounted cash flow prepayment speeddiscount rates 0. 18. 0%. 16. 1%.1 % adjustable 26. 9%. 9 % fixed 10. 5%. 5 % adjustable 11. 7%. 7 %
 appraised value
 loans 2013 2012 bancorp transferred $ 5 million $ 16 million measured fair value inputs.
 fair value adjustments $ 4 million $ 1 million based collateral classified level 3 valuation hierarchy.
 fair value adjustments loans $ 3 million $ 12 million.
 level 3.
 adverse change value fair value.
 accounting department determines procedures valuation loans comparison.
 monthly review.
 appraisals updated real estate valuation group third party appraisals.
 finance department loan appraisal values values vintages.
 2013 2012 recorded nonrecurring impairment adjustments mortgage construction loans.
commercial loans $ 1 million credit weaknesses review impairment.
 bancorp considers collateral credit quality guarantor liquidity loan structure.
 collateral fair value based on collateral classified level 3 valuation.
 carrying value fair value impairment loss recognized.
 adverse change value collateral fair value.
 losses in table.
 commercial credit risk chief officer fair value estimates commercial loans.
 mortgage interest rates increased 2013 recognized recovery temporary impairment servicing rights.
 impairments portfolio carrying value adjusted to fair value.
 msrs trade.
.
 estimates fair value using discounted cash flow models prepayment speed assumptions discount rates weighted average lives classification level 3.
 note 11.
 secondary marketing department treasury department valuation methodology.
marketing treasury accounting risk management assumptions discounted cash flow model.
 two external valuations from third parties.
 bancorp participates peer surveys assumptions msr valuation.
 2013 2012 recorded nonrecurring adjustments commercial residential real estate properties oreo.
 losses due to declines real estate values.
 losses include $ 19 million $ 17 million charge-offs properties $ 26 million $ 57 million negative fair value adjustments.
 fair value amounts based on appraisals


minimum lease payments year ending 2015.
 2011 65.
 2012 47.
 2013 35.
 2014 27.
 2015 24.
 78.
 $ 278.
 lease commitments office equipment computer hardware payments $ 16. 3 million per year short-term.
 rent expense 2010 2009 2008 $ 116. 1 million $ 100. 2 million $ 117. million.
 rent expense $ 2. million $ 1. 8 million $ 17. million 2010 2009 2008.
 maintenance services.
 agreements vendors 2011 2017 computer data processing operations.
 obligation $ 554. 3 million december 31 2010.
 inflation rate foreign exchange rates new technologies data processing needs.
.
 purchase shares common stock.
 contribute 3% 15% base salary commissions.
shares purchased allocated employees contributions.
 company contributes amounts.
 recorded expense $ 14. 3 million $ 12. 4 million $ 14. 3 million years 2010 2009 2008.
 operations expense $ 0. 1 million $ 3. 0 million.
 employees covered 401.
 employees contribute 40% pretax annual compensation.
 matches 50% employee contribution 6% compensation.
 expense $ 23. 1 million $ 16. 6 million $ 18. 5 million years 2009 2008 participation 401 ( k ) plan.
 discontinued operations expense $ 0. 1 million $ 3. 9 million 2009 2008.
 national information services.
 financial statements 2014


management financial condition results operations millions operating income increased 2017 2016 decrease revenue $ 42. 1 decrease salaries expenses $ 28. 0 office general expenses $ 16. 9.
 decrease due lower bonuses incentive expense decrease base salaries benefits tax.
 expenses contingent acquisition obligations.
 operating income increased 2016 2015 increase revenue $ 58. 8 decrease office general expenses $ 3. 7 offset increase salaries expenses $ 38. 8.
 increase increases workforce.
 decrease office expenses lower production expenses pass-through costs.
 corporate charges separate office expenses shared service center managed expenses.
 expenses incentives bonuses benefits office employees.
 professional fees internal control compliance financial audits legal technology consulting services.
 rental expense depreciation leasehold improvements properties.
centrally managed expenses allocated divisions.
 charges technology projects.
 corporate expenses decreased 2017 $ 20. to $ 126. 2016 lower annual incentive expense.
 increased $ 5. to $ 147. 2015.
 liquidity capital resources cash flow data liquidity capital resources.
 2017 2016 2015
 net income adjusted operating $ 887. $ 1023. $ 848.
 working -29. -414. -99.
 non-current assets liabilities 24. -95.
 operating activities $ 881. $ 512. $ 688.
 investing -196. 263 -199.
 financing. 1004 -666. -490.
 net income adjusted for depreciation amortization fixed intangible restricted stock losses sales deferred income taxes.
reflects changes accounts receivable expenditures assets accounts payable accrued liabilities.
 seasonality use cash first nine months first quarter generate fourth quarter strong media spending.
 results impacted media budgets changing spending patterns.


redemptions early extinguishment charge $ 5 million.
 march 22 2010 redeemed $ 175 million 6. 5%. notes due april 15 2012.
 early extinguishment $ 16 million first quarter 2010.
 november 1 2010 redeemed $ 400 million 6. 65%. notes due january 15 2011.
 redemption $ 5 million early extinguishment charge.
 receivables securitization facility december 31 recorded $ 100 million secured debt facility.
.
.
 interest lease transactions.
 lease transactions equipment facilities headquarters building no other activities liabilities lease.
 right purchase assets fixed prices.
.
 maintain operate assets contractual obligations.
 no control value leased assets.
 direct performance.
obligation absorb losses right receive benefits primary beneficiary consolidate performance fixed-price purchase options not significant.
 future minimum lease payments totaled $ 3. 9 billion december 31 2011.
.
 leases locomotives freight cars.
 consolidated financial position included $ 2458 million $ 915 million depreciation $ 2520 million net $ 901 million depreciation.
 charge income depreciation included depreciation expense.
 future minimum lease payments capital leases-cancelable december 31 2011 capital.
 2012 525 297
 2013
 2014
 2015
 2016
 minimum leasepayments $ 4528 $ 2559
 $ 1874
 majority capital lease payments locomotives.
rent expense leases month million 2011 624 million 2010 686 million 2009.
 variable rental expense.
 contingent sub-rentals.


fourth quarter.
 635000 tons downtime 305000 lack-of-order.
.
 5680
 profit
 printing papers sales 2009 $ 2. 8 billion 3. 4 billion 2008. 5 billion 2007.
 earnings $ 746 million 405 million 2008 415 million 2007.
 sales volumes decreased weak demand reduced production capacity shutdown franklin mill conversion bastrop mill pulp.
 sales price lower declines freesheet paper export.
 shipments lower-margin export markets.
 input costs lower wood chemical costs energy costs.
 freight costs.
 maintenance downtime.
 operating costs.
 lack-of-order downtime increased 525000 tons 120000 tons shutdown paper franklin mill 135000.
earnings 2009 $ 671 million alternative fuel $ 223 million shutdown franklin mill $ 9 million 2008 $ 30 million shutdown paper machine.
 first-quarter sales volumes.
 price realizations higher.
 input costs wood energy chemicals.
 maintenance downtime lower operating costs favorable.
 papers net sales 2009 $ 960 mil increased $ 950 million 2008 $ 850 million 2007.
 profits $ 112 million $ 186 million 2008 $ 174 2007.
 volumes increased higher export shipments.
 sales price realizations lower lower export prices foreign exchange rates.
.
 costs energy.
 maintenance operating costs.
 foreign exchange.
 2010 sales volumes lower.
 profit margins higher geographic sales mix higher main costs.
 european papers net sales 2009 $ 1. bil lion. 2008. 2007.
profits 2009 $ 92 million 115 million inverurie mill $ 39 146 million 2008 $ 171 million 2007.
 sales volumes lower reduced freesheet paper inverurie mill.
 sales price decreased western margins increased poland russia currency devaluations.
 energy chemical costs.
 main tenance downtime costs higher manufacturing costs lower.
 profits foreign exchange impacts.
 2010 sales volumes decline demand.
 sales price realizations increase eastern europe


stock performance graph shareholder return $ 100 31 2012 reinvestment dividends 2019s common stock s&p 500 retail index.
 2012 2013 2014 2015 2016 2017
 2019reilly automotive inc. $ 100 $ 144  $ 215 $ 283 $ 311 $ 269
 s&p 500 retail index 144 158 197 206 265
 500 $ 100 130 157


fidelity national information services.
 subsidiaries consolidated financial statements summarizes aggregate maturities debt capital leases excluding unamortized non-cash bond premiums discounts $ 30 million december 31 2017 millions.
 2018 1045
 2019 44
 2020 1157
 2021 1546
 2022 705
 4349
 principal payments 8846
 debt issuance costs amortization -53
 long-term debt $ 8793
 no mandatory principal payments revolving loan balance due payable maturity date august 10  2021.
 redeem 2018 2020 2021 2022 2023 2024 2025 2026 2046 redemption price 100% principal amount make-whole amount accrued unpaid interest redemption no make-whole amount paid redemptions 2020 2021 six.
issuance costs $ 53 million amortization capitalized december 31 2017.
 monitor financial stability counterparties.
 lender commitments revolving loan diversified financial institutions.
 failure lender impact operations.
 2019s long-term debt $ 156 million higher carrying value december 31 2017.
 based quoted prices senior notes trades debt level.
 subjective involves uncertainties market.
 values not indicative.


share awards individual company performance conditions revenue generation pretax income earnings one five-year.
 performance conditions not considered grant date fair value.
 based market price common stock date grant.
 compensation expense recognized performance period additional vesting period units.
 adjusted shares issued.
 issuance range 0-200% target granted.
 dividend equivalents not paid psas.
 granted 31 2011 2010 2009.
 target granted 1715 1390 3754
 fair value $ 50 $ 39
 performance 1772
 unamortized expense $ 60 $ 18
 share fair value grant.
 2011 issued. million shares 2008 performance plan. million 2006 performance plan.
 2010 issued. 6 million shares 2007 cycle 84000 other plans.
 granted employees fair value date grant.
2010 company ceased granting stock options exception commitments.
 employees two years service before options 4-year employment options five years service.
 options lpp program vest 3 years six year term.
 maximum term ten years grant.
 lattice-binomial option-pricing model.
 expected term.
 volatilities based historical volatility implied volatility.
 stratifies employees lpp options special stock plan options option grants.
 option patterns.
 expected dividend yield based historical future dividend rate.
 risk-free rate based.
 treasury yield curve.
 expected life options weighted-average lattice-binomial model.


realty investment trust estate depreciation 2009 depreciation amortization.
 december 31 2006 $ 740507
 additions 96454
 deductions -80258
 december 31 2007 756703
 additions 101321
 deductions
 december 31 2008 846258
 additions.
 deductions
 balance december 31 2009 $ 938087


unfunded letters credit $ 1. 4 billion 2008 2007.
 amount funded insignificant no amounts 90 days past due non-accrual status 2008 2007.
 items classified trading assets liabilities consolidated balance sheet.
 changes fair value classified principal transactions consolidated statement income.
 fair-value option elected earnings credit products investments private equity real estate structured liabilities non liabilities mortgage loans elected fair-value loans unfunded products guarantees letters credit.
 highly leveraged financing.
 transactions loans unfunded products sold securitized economic risks hedged derivative instruments credit default swaps.
 fair-value option mitigate accounting mismatches operational simplifications.
 fair value not elected most lending transactions.
 table credit products fair value.
 trading assets
consolidated balance sheet $ 16254 $ 2315 26020 3038
 unpaid principal balance $ 6501 3 899 -5
 non-accrual loans 90 days $ 77 $ 1113 $ 186 1292
 unpaid $ 190 -4 68 2014
 $ 16254 2315 26020 3038 unpaid balance 6501 loans $ 77 1113 $ 186 1292 $ 190 68 2014 $ 72 million $ 141 million unfunded loan commitments december 31 2008 2007.
 changes value principal transactions consolidated statement income.
 interest revenue contractual interest rates trading assets.
 changes fair value december 31 2008 2007 instrument-specific credit risk loss $ 38 million $ 188 million.
 investments private equity real estate citigroup invests returns capital appreciation.
company elected fair-value option ventures similar to private equity hedge fund activities reported value.
 brings consistency accounting evaluation.
 investments private equity real estate accounted fair value.
 classified on citigroup 2019s balance sheet.
 holds non investments in leveraged buyout funds hedge funds equity.
 elected-value accounting accounting complexity.
 value equivalent to fair-value accounting.
 impact on retained earnings.
 investments classified other assets balance sheet.
 changes values classified revenue.
 elected fair-value option linked to interest rates inflation currency risks.
 trading-related positions managed-value.
 classified as debt deposits derivatives balance sheet.
structured liabilities long-term debt fair-value option elected unpaid principal balance exceeds fair value $ 277 million 2008 $ 7 million 2007.
 change fair value reported transactions statement.
 interest expense contractual interest rates.
 elected fair-value option.


borrowings under credit facility bear interest based daily balance at libor no rate floor margin. 25%. to. 75%. or base rate lending institution prime rate no margin. 25%. to. 75%.
 carries commitment fee equal to unused borrowings multiplied by margin. 25%. to. 35%.
 margins calculated quarterly vary company leverage ratio agreement.
 terminated prior $ 200. million revolving credit facility.
 collateralized by assets covenants similar.
 may 2011 borrowed $ 25. million acquisition corporate headquarters.
 interest rate 1. 5%. 31.
 maturity date march 2015 end of term.
 early 2013 with acquisition.
 three 2011 borrowed $ 30. million seasonal working capital repaid december 31 2011.
 interest rate 1. 5%. no balance outstanding 31.
balances outstanding prior revolving credit facility 31 2010.
 company agreements lenders acquisition lease capital investments.
 loans collateralized by lien assets.
 subject approval lenders.
 cross default provision.
 require prepayment fee outstanding amounts ahead terms.
 limit additional financing to $ 40. million $ 21. 5 million available additional financing december 31 2011.
 outstanding principal balance $ 14. 5 million $ 15. 9 million.
 advances bear interest rates fixed.
 average interest rates borrowings 3. 5%. 3%. 9%. years 2011 2010 2009.
 scheduled maturities long term debt as december 31 2011.
 6882
 2013 65919
 2014
 2016 $ 70842
 repayment $ 25.million borrowed term loan due march 2015 2013 acquisition headquarters.


is&gs 2019 net sales decreased $ 540 million 5%.
 lower volume $ 665 million absence dris program.
 decline jtrs program.
 offset increased net sales.
 operating profit increased $ 60 million 7%.
 $ 180 million volume retirement risks absence reserves programs odin.
 increases offset dris program decline jtrs program $ 120 million.
 $ 130 million higher 2011.
 decreased 2012 completion programs odin.
.
 decrease backlog declining activities jtrs program smaller programs.
 net sales decline 2013 downturn federal information technology budgets.
 operating profit 2013 margins comparable 2012.
 missiles fire control provides air missile defense systems tactical missiles air-to-ground weapon systems fire control systems mission operations logistics manned unmanned ground vehicles.
programs include pac-3 thaad multiple launch rocket system hellfire javelin air-surface standoff missile apache fire control system sniper ae altitude navigation infrared sof clss.
 operating results.
 2011
 net sales $ 7457 $ 6930
 profit
 operating margins. 8%. 3%.
 backlog year-end
 net sales.
 decreased $ 130 million lower volume risk retirements services $ 60 million.
 offset higher sales $ 95 million tactical missile $ 80 million missile defense.
 operating profit increased $ 187 million 17% compared 2011.
 higher risk retirements volume $ 95 million tactical missile $ 60 million defense 45 million contractual matters.
 lower risk retirements volume $ 25 million services.
net profit booking rate $ 145 million higher 2012.


entergy corporation subsidiaries liability $ 60 million $ 2. 7 million difference credit interest expense.
 $ 60 million liability eliminated cash purchase price.
 2016 entergy louisiana waterford 3 lease future minimum lease payment. $ 57. 5 million $ 2. 3 million interest due january 2017 long-term debt.
 february 2017 leases terminated assets conveyed entergy louisiana.
 gulf lease sold leased interests $ 500 million.
 leases expired july 2015.
 renewed leases july 2036.
 repurchase renew.
.
 sale-leaseback financing transaction.
 expenses interest lease plant depreciation.
 operating revenues recovery lease payments.
ferc audit report system energy recorded difference lease payments interest depreciation zero net balance end lease term.
 liability $ 55. 6 million $ 55. 6 million december 31 2016 2015.
 gulf sale leaseback future minimum lease payments 5. 13%. recorded long-term debt amount.
 17188
 2018
 2019
 2020
 2021
 257812
 343752
 interest 309393
 net minimum lease payments $ 34359


1b.
 unresolved staff comments.
.
.
 3m offices research laboratories division laboratories.
 minnesota.
 nine sales offices eight states 74 manufacturing facilities 27 states.
 148 sales offices.
 93 manufacturing facilities 32 countries outside.
 owns physical properties.
 facilities suitable.
 global enterprise intersegment cooperation multiple business segments.
.
 legal proceedings.
 part ii contingencies.
 submission vote security holders.
 quarter december 31 2007.
.
 common equity matters issuer purchases.
 compensation plans ownership.
 january 31 2008 121302 shareholders.
 3m 2019s stock new york exchange.
 chicago. swx.
 cash dividends $. 48 per share quarter 2007. 46 2006.
stock price comparisons composite transactions share amounts fourth.
 first second third fourth
 2007 $ 79. $ 89. 93. 97.
 2007 72. 75.
 2006 $ 79. $ 88. $ 81. $ 81.
 2006 70. 75. 67.
 purchases equity securities stock employee compensation plans.
 2006 board directors authorized purchase $ 2. billion common stock.
 2006 additional $ 1. billion authorization $ 3. billion 13 2006 28 2007.
 two- year share repurchase $ 7. billion february 12 2007 to 28 2009.


activities.
 table reconciles cash free cash flow non.
 millions 2015 2014 2013
 operating activities $ 7344 $ 7385 $ 6823
 investing -4476 -4249 -3405 (
 dividends -2344 ( 2344 -1632 -1333 ( 1333
 free cash flow $ 524 $ 1504 $ 2085
 2016 safe benefits employees customers shareholders communities.
 multi-faceted approach safety technology risk assessment quality control training employee engagement capital investments.
 safety culture.
 increase detection rail defects crossings educate safety.
 align resources customer demand improve network performance maintain surge capability.
 projections uncertain.
 volatile fuel prices sensitive global.
 demand refining capacity geopolitical events weather conditions.
prices fluctuate impact earnings fuel surcharge programs trail fluctuations two months.
 lower fuel prices spending demand products.
 coal sand crude oil shipments.
 capital plan 2013 $ 3. 75 billion ptc 230 locomotives 450 freight cars.
 revised business conditions laws affect.
 liquidity capital resources 2013. financial expectations 2013 conditions uncertainty volume levels.
 down slightly 2016 2015 economy market conditions.
 strong.
 dollar low commodity prices drive volatility.
 outlook energy markets challenges opportunities.
 margin improvement pricing opportunities productivity franchise.
.
 economy some markets outperforming.


increased hydrocarbon synthetic crude oil reserves 78 percent from 75 increased e&p sales volumes libya 7 percent recorded 96 percent operational availability e&p assets 94 percent 2010 debottlenecking crude oil production alvheim fpso 150000 non-operated discoveries iraqi kurdistan began drilling poland completed aosp expansion scotford upgrader synthetic crude oil sales 48 percent dispositions non-core assets $ 518 million repurchased 12 million shares common stock $ 300 million retired $ 2498 million long-term debt resumed production libya 2011.
 income 9 percent higher 2011 than due higher liquid hydrocarbon prices.
 offset increased income taxes.
 effective income tax rate operations 61 percent 2011 54 percent 2010.
 revenues summarized.
1588 833
 14710 11765
 intersegment -75
 $ 14663 11690
 e&p revenues increased $ 2247 million 2010 2011 higher liquid hydrocarbon realizations $ 99. 37 bbl 31 percent increase.
 pre-tax gains $ 95 million derivative instruments risk.
 supply optimization purchase commodities.
 volumes transportation commitments flexibility delivery.
.
 higher crude oil prices.
.
 liquid hydrocarbon natural gas price realizations sales volumes declined.


december 31 holdings s&p 500.
 holdings. s&p
 2013 100.
 2014 98. 114. 113 96.
 2015 109. 122. 115. 133.
 126. 133. 129. 140.
 149. 172. 157. 202.
 148. 165. 150. 201.


issuer purchases equity securities table repurchases common stock three-month period ended december 31 2006.
 total shares purchased average price paid maximum number shares.
 average pricepaid pershare
 october 447700.
 november 849200. 35259488
 december 929400. 74 34330088
 repurchased 2226300 shares common stock quarter ended december 31 2006.
 october 2002 board approved repurchase program 23 million shares common stock.
 additional 85 million shares authorized repurchase.
 management number price shares timing.
 december 31  2006 repurchased 73669912 shares.
 unregistered sales equity securities.


network corporation financial statements future lease payments present net payments december 31 2015 years 31.
 2016 76676
 2017 75874
 2018 75849
 2019 50320
 2020 48000
 64000
 lease payments 390719
 lease executory costs insurance maintenance profit
 payments 203977
 interest -37485
 lease payments 166492
 current -30849
 long-term capital lease obligations $ 135643
 future maturities long-term debt 2015 commitments table note 15.
.
 future tax effects differences tax assets liabilities operating loss tax credit carryforwards.
 deferred tax assets offset valuation allowances.
 valuation allowance.
 financial information future events taxable income tax planning opportunities.
 consolidated tax returns.
 subsidiaries.
financial statements separate.
 2015 no net loss carryforwards federal tax $ 39 million nol benefit state tax offset valuation allowance.
 2017.
 $ 61 million tax benefits credit carryforwards offset valuation.


revenue includes scrap bulk sales remanufacturers aluminum ingots sows.
 foreign currency local currency functional.
 assets liabilities translated into.
 dollars period-ending exchange rate.
 income translated to.
 dollars average exchange rates.
 gains losses income.
 gains losses foreign currency transactions included earnings.
 financial accounting update 2010-29 information.
 prior annual reporting period.
 description adjustments required.
 disclosure impact financial position results.
.
 discontinued operations october 1 2009 sold schnitzer steel industries.
 four service retail facilities oregon washington business assets for $ 17. million.
 gain sale $ 2. million net tax fourth quarter 2009 results.
 goodwill $ 9. million included net assets gain sale.
fourth quarter 2009 closed two facilities northern california converted wholesale recycling.
 january 15 2010 sold facilities dallas texas $ 12. 0 million.
 gain $ 1. 7 million net tax first quarter 2010.
 goodwill $ 6. 7 million net assets facilities sold closed discontinued.
 cash flows eliminated.
 assets liabilities discontinued operations consolidated balance sheets december 31 2010 2009.
 $ 1152
 assets 307
 property equipment 1553
 goodwill 6708
 assets $ 9720
 accounts payable accrued liabilities 3832


management liquidity risk financial institutions.
 failures insufficient liquidity.
 liquidity funding policies firm-specific industry market liquidity events.
 objective fund firm businesses generate revenues adverse.
 manage liquidity risk global core liquid assets.
 maintain substantial liquidity cash outflows collateral needs.
 asset-liability management.
 holding periods liquidity.
 manage maturities diversity funding markets products maintain liabilities asset base.
 contingency funding plan.
 liquidity crisis stress.
 business activity.
.
 pre-fund cash collateral needs liquidity crisis hold liquidity unencumbered liquid securities cash.
 securities convertible to cash meet obligations without assets funding credit-sensitive markets.
 december 2014 2013 fair value securities overnight cash deposits totaled $ 182. 95 billion $ 184. 07 billion.
internal liquidity risk models potential intraday liquidity needs financial markets firm liquidity position december 2014 2013 appropriate.
 table fair value securities overnight cash deposits.
. dollar-denominated $ 134223 $ 136824
. dollar-denominated 45826
 $ 179633 $ 182650
.
 dollar-denominated unencumbered.
 government federal agency obligations.
 reserve overnight.
 cash deposits.
.
 dollar-denominated unencumbered german french japanese united kingdom government obligations overnight cash deposits liquid currencies.
 limit list securities cash.
 include other sources excess liquidity less liquid unencumbered securities credit facilities.
 2014 annual report


consolidated financial statements accounting policies value accreted over lease operating expense.
 company asset retirement obligations commitments return property original condition lease termination.
 table reconciles asset retirement liabilities 2006 2005 millions.
 liability september 25 2004 $ 8.
 obligations.
 accretion.
 liability september 24 2005 $ 11.
.
.
 liability september 30 2006 $ 14.
 long-lived assets reviews property plant equipment intangibles impairment.
.
 reviewed impairment.
 recoverability measured carrying amount future undiscounted cash flows.
 carrying value fair market value.
 three fiscal years september 30 2006 no material impairment long-lived assets except impairment restructuring actions note 6.
.
goodwill intangible assets not tested impairment annually.
 company performs goodwill impairment tests august 30.
 impairment charges 2006 2005 2004.
 established reporting units.
 testing goodwill impairment allocated.
 requires intangible assets definite amortized estimated lives reviewed impairment.
.
 amortizing acquired intangible assets 3 to 10 years.
 translates assets liabilities.
 subsidiaries.
 dollars exchange rates.
 revenue expenses translated.
 gains losses translations credited charged foreign currency translation


company recognizes income tax positions sustaining likely.
 changes reflected judgment.
 records penalties unrecognized tax benefits statements.
 changes accounting principles business combinations noncontrolling interests january 2009 adopted principles business combinations noncontrolling interests.
 applies control.
 requires acquirer assets liabilities noncontrolling interest acquisition date fair values.
 business combinations require recognition assets liabilities noncontrolling interest full control obtained.
 revision changes requirements recognizing assets liabilities requires acquisition costs expensed.
 provides changes income tax accounting business combinations.
 april 2009 guidance revised guidance contingent liabilities.
 adopted revised principles.
 financial statements.
 establishes accounting reporting standards deconsolidation.
revised principle noncontrolling interest subsidiary reported separate equity.
 requires retrospective adjustments stockholders equity net income noncontrolling interests.
 provides changes accounting ownership noncontrolling interests.
 changes loss control accounted equity transactions.
 change ownership loss control deconsolidation retained interests remeasured at fair value gain loss net income.
 noncontrolling interests reported general expenses.
 prior amounts restated.
 effect prior balance sheets new guidance noncontrolling interests summarized.
 december 31
 equity $
 increase reclassification non-controlling interests
 revised principle requires net income noncontrolling interests separate caption.
 increased net income by $ 16 million $ 13 million for 2008 2007.


part iii item 10.
 directors executive officers.
 section 406 sarbanes-oxley act 2002 adopted code ethics senior financial officers principal executive officer financial officer accounting officer controller.
 available website. hologic satisfy disclosure requirement item 5. report form 8-k amendment waiver website.
 additional information proxy statement annual meeting stockholders exchange commission 120 days fiscal year.
 11.
 compensation.
.
 item 12.
 security ownership owners management.
 equity compensation plans employees officers directors.
 table fiscal year 25 2004 shares common stock stock option plans approved.
 equity compensation plan category number securities issued outstanding options warrants rights weighted-average exercise price securities future issuance holders.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
 2560530. 523390 equity compensation plans approved holders.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
 865212.
 securities issued options warrants price securities future equitycompensation plans
 equity compensation plans approved holders 2560530. 523390
 not 865212. 321436
 3425742. 844826
 1986 stock option plan 1990 non-employee 1995 2000 employee stock purchase plan.
 fluoroscan imaging systems.
.
.
 description footnote 5 consolidated financial statements.


management financial condition results operations 2013 amounts millions cash investing capital expenditures acquisitions.
 expenditures $ 173. computer hardware software leasehold improvements.
 payments $ 61. acquisitions cash.
 financing purchase long-term debt repurchase common stock payment dividends.
 redeemed $ 350. repurchased 14. shares common stock cost $ 275. dividend payments $ 159.
 offset issuance $ 500. 4 20% notes.
 financing purchase long-term debt repurchase common stock payment dividends.
 redeemed $ 600.
 repurchased 31. shares common stock cost $ 481. dividend payments $ 126. common stock.
 foreign exchange rate changes decrease $ 101. 2014.
.
 dollar stronger foreign currencies december 31 2014.
foreign exchange rate changes cash equivalents $ 94. 2013.
.
 dollar stronger foreign currencies december 31 2013 compared 2012.
 balance sheet data 2014 2013
 cash equivalents marketable securities $ 1667. $ 1642.
 short-term borrowings $ 107. $ 179.
 long-term debt. 353.
 1623. 1129.
 total debt $ 1732. $ 1662.
 cash flow equivalents operating requirements next twelve months.
 corporate credit facility uncommitted facilities.
 disciplined approach liquidity flexibility cash capital expenditures acquisitions stock repurchase dividends.
 evaluate market conditions financing alternatives funds improve liquidity risk.
 capital markets depends factors credit rating credit.
 no guarantee new sources liquidity.


return.
 pension plans 7. 8 percent 6. 9 percent.
 2015 net mark-to-market loss $ 179 million due to difference.
 pension plans 2. 0 percent 7. 4 percent offset by higher discount rates 2015 2014.
 net losses operations line items.
 millions years 2017 2016 2015
 cost goods sold $ -29 29 $ 476  $ 122
 administrative expenses 244 382
 research development expenses 86 127
 total $ 301  $ 985  $ 179
 january 1 2018 adopted new accounting guidance net pension opeb costs.
 service cost.
.
.
 pension costs reclassified from operating costs income.
 change applied prior years.
 fourth quarter 2017 company reviewed changes mortality assumptions.
 pension plans life expectancy.
december 31 2017 liability postemployment benefits $ 290 million.
 fourth quarter 2016 adopted mortality improvement scales.
 pension opeb plans.
 liability postemployment benefits $ 200 million.
 first quarter 2017 closure facility.
 impacted employees defined benefit pension plan curtailment termination benefits.
 march 2017 net loss $ 20 million curtailment termination benefits.
 phase production aurora facility termination benefits $ 9 million employees.
.
 2016 full yield curve approach service interest costs.
 costs 2017 2016 $ 140 million $ 180 million.
 impact year-end defined benefit pension opeb obligations net benefit cost lower offset loss.
 total defined benefit pension opeb expense decrease $ 80 million 2018.
 higher return assets.
.
.
investments liabilities risk.
.
 2017 asset allocation 34 equities 62 fixed income 4 other.
 current.
 target 30 percent equities 70 percent fixed income.
 revisited objectives.
.
 rebalanced 5 points.
 2017.
 40 equities 53 fixed income 4 real estate 3 other.
.
 38 equities 54 fixed income 5 real estate 3 other.
 vary requirements demographics status.
 frequency rebalancing.
.
 contributions pension $ 1. 6 billion $ 329 million 2017 2016.
 $ 1. billion discretionary contribution.
.
 expect $ 365 million 2018.
 resources fund.


consolidated financial statements 2014 millions sales investments 2013 includes gains losses balances liquidation sales securities investments companies.
 2009 gain $ 15. 2 investment offset losses sale businesses.
 losses 2007 sale businesses loss $ 9. 3 charges $ 7. 8 balances liquidation.
 vendor discounts credit adjustments settling liabilities vendor discounts credits 2004 annual report.
 reversal liabilities settlements statute limitations lapsed.
 litigation settlement 2008 settlement charge $ 12. 0.
 investment impairments 2007 other-than-temporary charge $ 5. 8 $ 12. 5 investment auction rate securities total investment.
.
 intangible assets goodwill excess purchase price acquisition liabilities estimated fair values.
 changes carrying value goodwill years december 31 2009 2008.

 balance december 31 2007 $ 2789. 7 $ 441. $ 3231.
 acquisitions 99. 5. 101.
 28. 9 30.
 foreign currency -128. 142
 december 31 2008 $ 2790. $ 430. 9 $ 3220.
 5.
 14.
 foreign currency 76. 4. 5 80. 7
 december 31 2009 $ 2885. 6 $. 4 $ 3321.
 goodwill impairment charge.
 acquisitions after january 1 2009 contingent deferred payments recorded fair value acquisition date.
.
.
 indefinite.
 lists trade names.
 7 15 years.
 amortization expense 31 2009 2008 2007 $ 19. 3 $ 14. 4 $ 8. 5.
table intangible assets consolidated balance sheets.


credit commitments lines table summarizes citigroup commitments millions.
.
 31.
.
 commercial letters credit $ 823  $ 4638 $ 5461 5000
 one- four-family residential mortgages 1056 2671
 open-end loans 10019 1355 11374 12323
 commercial real estate construction development 9565 1728 11293 11151
 credit card lines 605857 90150 696007 678300
 commercial consumer loan commitments 185849 102918 272655
 commitments contingencies 2560 761 3321 3071
 $ 815729 $ 203165 $ 1018894 985174
 credit standards.
 commitments floating interest rates fixed expiration dates fees.
 deferred amortized.
 commercial letters credit citigroup substitutes credit customer finance.
 evidence.
letter of credit drawn customer reimburse citigroup.
 one- to four-family residential mortgages confirmation citigroup seller sums purchase.
 revolving open-end loans secured one- four-family properties home equity lines credit.
 secured primary second home excess fair market value over debt first.
 commercial real estate construction land development commercial multifamily residential properties land development projects.
 secured-by-real-estate unsecured commitments undistributed loan proceeds construction progress payments.
 extensions credit funded total loans.
 credit cards.
 cancelable.
 commercial consumer loan commitments overdraft liquidity purchase loans third-party receivables note issuance revolving underwriting equity.
 other commitments contingencies regular-way reverse repurchase agreements transactions.
repurchase citigroup future.
 december 31 2018 2017 citigroup $ 36. 1 billion $ 35. billion unsettled reverse repurchase $ 30. 7 billion $ 19. 1 billion unsettled repurchase agreements.
 securities purchased borrowed sold repurchase loaned offsetting agreements note 11 consolidated financial statements.


commitments table summarizes citigroup commitments 2008 2007.
 millions.
.
. 2008 2007
 commercial letters credit $ 2187 $ 6028 $ 8215 $ 9175
 one- four-family residential mortgages 628 4587
 open-end loans 22591 2621 25212 35187
 commercial real estate construction development 2084 618 2702 4834
 credit card lines 867261 135176 1002437 1103535
 commercial loan commitments 217818 92179 309997 473631
 $ 1112569 $ 236931 $ 1349500 $ 1630949
 commitments contingent credit standards.
 commitments floating interest rates fixed expiration dates fees.
 deferred amortized loan.
 commercial letters credit citigroup substitutes credit finance.
 evidence.
 citigroup.
one- to four-family residential mortgages confirmation citigroup seller sums purchase.
 revolving open-end loans secured by home equity lines of credit.
 secured by primary second home excess fair market value over debt first.
 commercial real estate construction land development credit commercial multifamily residential properties land development projects.
 secured-by-real-estate unsecured commitments.
 undistributed loan proceeds payments.
 extensions credit loans.
 credit.
 cancellable issuer.
 commercial consumer loan commitments purchase loans third-party receivables note issuance revolving underwriting.
 $ 140 billion $ 259 billion maturity less than one year at december 31 2008 31 2007.
 highly leveraged financing commitments borrower higher debt.
 in corporate acquisitions management buy-outs.


visa inc.
 financial statements 2014 2009 shares issued june 15 2007 relied comparable companies.
 multiples revenue earnings interest depreciation amortization net income.
 forward net income multiple acquired regions changes financial profile.
 forward net income.
 comparable mastercard.
 input forward net income multiple 27 times net income.
.
 received 62762788 shares class c series iii iv common stock valued $ 3. 1 billion.
 received 27904464 shares class c ii common stock $ 1. 104 billion redemption price risk-free rate 4. 9%. 2008.
 issued additional 51844393 class c common stock $ 44 per share subscription receivable.
 temporary equity september 30 2008.
triggered redemption march 2008 reclassified shares class c $ 1. 125 billion temporary equity reduction paid-in-capital $ 1. 104 billion accumulated income $ 21 million.
 march 2008 to october 10 recorded accretion redemption price.
 purchase consideration allocated assets liabilities.
 excess purchase recorded goodwill.
 table summarizes allocation.
 1733
 non-current assets 1122
 -4426 intangible 10883
 goodwill 10295
 net assets acquired


investment earnings affiliates.
 ardent mills joint venture potato products.
 earnings $ 122. 1 million. commercial. consumer $ 32. 5 million. 2015 2014.
 increase earnings ardent mills joint venture higher profits international potato venture.
 11 months-month.
 $ 3. 4 million charge losses 10% pension liability international potato venture.
 discontinued operations after-tax income $ 366. 6 million $ 141. 4 million 2015 2014.
 pre-tax gain $ 625. 6 million $ 379. million after-tax ardent mills.
 2014 pre-tax gain $ 90. million $ 55. 7 million after-tax flour milling facilities.
 sale small snack business medallion foods $ 32. million.
 after-tax loss $ 3. 5 million.
fiscal 2014 recognized impairment charge goodwill intangible assets totaling $ 15. 2 million after-tax.
 completed sale lightlife business $ 54. 7 million.
 recognized after-tax gain $ 19. 8 million sale.
 2015 $ 0. 60 $ 1. 46 share continuing operations $. 86 discontinued operations.
 earnings 2014 $. 70. 37 continuing. 33 discontinued operations.
 year-over-year results.
 2013 sales.
 consumer foods 7315. 7551
 commercial foods 4332.
 private brands.
. 13469
 net sales increased $ 2. 37 billion $ 15. 84 billion 2014 acquisition ralcorp.
 consumer foods net sales $ 7. 32 billion decrease $ 235. 7 million 3% 3 % compared 2013.
3% decrease volume 1% decrease foreign exchange rates offset 1% increase price/mix.
 volume performance impacted competitor promotional activity.
 slotting promotion investments new product launches net sales.
 shipments fourth quarter shifted first quarter 2015 impacted volume.


table assumptions black-scholes option-pricing model value stock options 31.
 2016
 value $ 9 $ 10 $ 18
 proceeds 15
 income tax benefit
 stock units 2018 2016 granted rsus employees 2007 2017 plan.
 employment one three years.


45 100 ball corporation subsidiaries financial statements.
 acquisitions latapack-ball embalagens.
 2010 paid $ 46. 2 million 10. 1 percent interest brazilian beverage packaging joint venture.
 increased interest 60. 1 percent brazilian market.
 variable interest entity consolidation primary beneficiary.
 operates plants tres jacarei salvador brazil asia.
 gain $ 81. 8 million equity investment.
 table values assets acquired liabilities assumed non controlling interest investment.
 based market income.
 cash $ 69.
 assets 84.
 property plant equipment 265.
 goodwill 100.
 intangible asset 52.
 liabilities.
 long-term liabilities.
 assets acquired $ 345.
 noncontrolling interests.
. intangible asset life 13. 4 years.
intangible asset amortized.
 acquired $ 62 million.
 sales $ 128 million 2009 leading north american manufacturer aluminum slugs cans bottles tubes extrusions.
 operates two plants canada 180 people.
 acquisition not material food household products packaging.
 guangdong jianlibao group. 2010 acquired 65 percent interest metal beverage can plant.
 35 percent plant since 1992.
 acquired 65 percent interest $ 86. 9 million debt long-term supply agreement jianlibao.
 equity earnings $ 24. 1 million 35 percent equity investment.
.
 acquisition not material metal beverage packaging.


increased 2014 due increased debt $ 10. 8 billion from $ 9. 6 billion 2013 lower interest rate 5. 3%. 3 % 2014 versus. 7%. 7 2013.
 expense decreased 2013 2012 lower interest rate 5. 7%. 7 6. 0%. 2012.
 increase weighted-average debt $ 9. 6 billion 2013 $ 9. 1 billion 2012 impact lower interest rate.
 taxes increased 2014.
 effective tax rate 37. 9%. 9 % ) 37. 7%. 7 % 2013.
.
 37. 7%. 7 % ). 6%. 6 % 2012.
 performance measures weekly association american.
 data.
 2012 % % change.
 average train speed miles per hour 24. 26.
 terminal dwell time hours 30.
ton-miles billions 1014. 9 949. 959. 7 %
 revenue ton-miles billions 549. 6 514. 521. 7 %
 operating ratio 63. 5 66. 67. 8 2. 6. 7
 employees 47201 45928 2 % 1
 train speed calculated miles hours main lines.
 decreased 8% 2014.
 driven 7% 7 % volume increase infrastructure project inclement weather flooding severe.
.
 speed decreased 2% 2 % 2013.
 severe weather shifts traffic higher utilization.
 dwell time.
 utilization.
 increased 12% higher volumes inclement weather.
 increased 3% 3 % manifest traffic more time switching.
 gross revenue ton-miles calculated weight loaded empty freight cars miles hauled.
revenue ton-miles freight tariff miles.
 gross revenue carloadings increased 7% 2014.
 declined 1% 2013 carloads flat declines coal agricultural chemical industrial.
 commodity mix variances carloads.


aes corporation financial statements 2014 31 2012 2011 2010.
 subsidiary defined benefit obligation $ 764 million $ 679 million december 31 2012 2011 uses salary bands future benefit costs rates compensation increases.
 include defined benefit plan.
 inflation factor benefit cost not benefit obligation.
 company establishes estimated long-term return plan assets.
 pension obligations costs liabilities assumptions.
 future pension payments salary increases demographic experience.
 contributions.
 discount rates salary growth retirement rates inflation expected return mortality rates.
 affect expense.
 sensitivity pension funded status discount rate long-term return plan assets assumptions.
 sensitivities asymmetric specific base conditions year-end 2012.
 impact changing factors.
 funded status december 31  2012 affected assumptions.
pension expense 2012 affected december 31 2011 assumptions.
 point table.
 increase 1% 1 % discount rate
 decrease 1% 1 % discount
 increase 1% 1 % long-term rate return
 decrease 1% 1 %


republic services.
 financial statements 2014 monitor credit worthiness financial institutions.
 credit risk limited variety customers markets dispersion operations.
 commercial industrial municipal residential united states puerto rico.
 credit evaluations require collateral receivables.
 establish allowance doubtful accounts credit risk age historical trends economic conditions.
 collection transfer recycling disposal.
 recorded billed revenue earned claims parties settled cash.
 estimated realizable value.
 provisions evaluated monthly collection experience age information economic conditions.
 review balances.
 reserves accounts 90 days outstanding.
 past due receivable balances written-off collection unsuccessful.
 table activity allowance doubtful accounts years december 31.
 balance beginning year $ 38. $ 45. $ 48.
 22. 29.
accounts written-off. 0 22. 1 23. -32. 5 32. 5
 balance end year $ 38. 9 $ 38. 3 $ 45. 3
 restricted cash securities december 31 2014 $ 115. million.
 obtain funds tax-exempt bonds financing expenditures landfills transfer stations collection recycling centers.
 deposited trust accounts.
 restricted consolidated balance sheets.
 financial assurance agencies collection contracts landfills environmental remediation permits business licenses.
 cash trust funds escrow accounts.
 cost.
 expenditures additions improvements capitalized maintenance repairs charged.
 cost depreciation removed gain loss reflected consolidated statements.


corporation 2005 year recorded impairment charge $ 5. 3 million intangible assets.
 amortization expense $ 10. 3 million. 7. million years 2005 2004 2003.
 $ 10. 1 million 2006 8. 2007 5. million 2008 3. million 2009 3. 2 million 2010 15. 9 million.
.
.
 september 30 2005
 revolving credit facility 4. 53%. 3. 34%. 2006
 amerisourcebergen securitization financing 2007
 revolving credit facility 2009
 400000 55/8% notes 2012
 57/8%
 term loan facility 3. 02%.
 71/4% 2005
 81 2008
 71 2012
 5% convertible subordinated notes 2007
 debt
 current portion
 951479 1157111
2005 company issued $ 400 million 5. 625%. notes 2012 $ 500 million. 875%. 875 % 2015.
 sold 99. 5%. principal amount interest yield 5. 71%. 94%.
 interest 2012 payable semiannually march 15 2006.
 redeemable option price 100% principal amount discounted value remaining scheduled payments.
 15 2008 redeem 35% % principal amount 2012 2015 notes redemption prices equal. 625%. 875%. accrued unpaid interest liquidated damages cash proceeds.
 incurred $ 6. 3 million $ 7. 9 million costs deferred amortized.
 proceeds sale 2012 early retirement $ 500 million 81 20448% 20448 % notes 2008 $ 300 million 71 20444% 20444 % notes 2012 2005 $ 102. 3 million premiums costs.
company expensed $ 8. 5 million deferred financing retirement 71 20444% 81 20448%.
 december 2004 entered $ 700 million five-year senior unsecured revolving credit facility lenders.
 replaced senior credit agreement.
 no borrowings outstanding september 30  2005.
 interest accrues debt rating.
 april 2005 raised 80 points over libor or prime rate.
 availability reduced by outstanding letters of credit $ 12. million.
 pays quarterly fees.
 april 2005 reduced 20 points per annum improved debt rating.
 incurred $ 2. 5 million costs deferred amortized.
 repay reduce commitments.
 covenants indebtedness distributions dividends invest.
 compliance financial tests leverage earnings to fixed charges ratios.
august 2001 company senior credit agreement lenders.
 $ 1. billion revolving credit $ 300 million term loan mature august 2006.
 quarterly maturities 2002 $ 60 million 2003 2004 80 million 2005 100 million 2006.
 $ 60 million 2004.


changes december 31.
 january 42 -39 39 27 december 31 -45 42 40.
.
 december 31.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
san clemente dam costs 2019s utility subsidiary earthquake flood.
 june 2012 utilities commission reroute carmel river remove san clemente dam.
 utility subsidiary state conservancy national marine fisheries services.
 recovery


costs $ 76 recovered surcharge-year 2012.
 surcharges collected 2015 2014 $ 4 $ 5 .
 costs $ 34  recovered contributions california state coastal conservancy.
 contributions collected 2014 $ 8 $ 5.
 regulatory balancing accounts accumulate differences.
 low income programs purchased power water accounts.
 debt expense amortized.
 redemption long- term debt unamortized debt deferred amortized future service rates.
 purchase premium recoverable acquisition premiums 2007 jersey.
 amortized depreciation 2048.
 tank painting costs deferred amortized operations maintenance expense five fifteen years regulatory authorities.
 deferred business transformation costs construction property tax stabilization employee coastal water environmental remediation costs.
 deferred.
regulatory liabilities represent future reductions revenues credited rate-making.
 table summarizes liabilities december 31.
 removal costs recovered rates $ 311 $ 301
 pension postretirement accounts 59 54
 32 37
 regulatory liabilities $ 402 $ 392
 costs assets.
 december 2008 subsidiary jersey $ 48 balance depreciation amortization expense through november 2048.
 accounts difference costs incurred authorized refunded.


option purchase class interests equal current capital account value plus unpaid preferred return prescribed make-whole amount.
 change third-party holder capital account charged to retained earnings net earnings eps.
 issued guarantees $ 505 million consolidated subsidiaries $ 165 million non-consolidated affiliates.
 off-balance sheet arrangements limited future payments non-cancelable operating leases $ 501 million.
 invested five variable interest entities.
 material to results operations financial condition liquidity.
 defined benefit plans subject pension protection act.
 require additional contributions.
 fiscal 2017.
 table summarizes future estimated cash payments contractual obligations payments due by period.
 2018 2019 2021 2023
 long-term debt $ 8290. 604. 2647. 1559. 3479.
interest 83. 2014
 operating leases 500. 118. 182. 110. 89.
 capital leases.
 purchase obligations 3191. 2304. 606. 264. 15.
 contractual obligations 12067. 3112. 3437. 1934. 3583.
 long-term obligations 1372.
 long-term obligations 13440. 3112. 3437. 1934. 3583.
 12067. 3112. 3437. 1934. 3583.-term obligations 13440. 3112. 3437. 1934 3583. cash payments-term debt. million capital leases. million unamortized debt costs premiums discounts fair value adjustments.
 minimum rental commitments non-cancelable.
 purchase obligations raw material packaging consumer marketing.
 terms quantities pricing timing.
 cancelable penalty short notice 30 days.
balance sheets accrued liabilities excluded.
 value foreign exchange equity commodity grain derivative contracts $ 24 million may 28 2017.
 impact cash.
 long-term obligations liabilities accrued compensation bene fits underfunded defined benefit pen.
 pay $ 21 million benefits unfunded postemployment benefit plans $ 14. 6 million deferred com pensation 2018.
 estimate beyond.
 liability uncertain tax positions accrued interest penalties $ 158. 6 million.
 accounting estimates note 2 financial statements page 51.
.
 promotional expenditures valuation assets intangible assets redeemable interest stock-based compensation income taxes defined benefit pension plans.
.
activities include payments discounts distribution new products coupons contests incentives media advertising expenditures.
 recognition costs requires participa performance.
 annual report 29


december 31 2014 2013 liabilities unrecognized tax benefits material.
 subsidiaries tax returns.
 federal foreign jurisdictions.
 statute limitations open.
 non.
 income tax examinations 2011.
.
 foreign earnings $ 291 million $ 222 million $ 211 million distributed non.
 companies.
 reinvest earnings remittance.
 additional income taxes $ 55 million 2014 $ 50 million 2013 $ 45 million 2012.
 federal foreign income tax payments $. billion 2014 787 million 2013 890 million 2012.
 2014 2013 payments $ 200 million $ 550 million refund tax-deductible pension contributions $ 153 million refund 2011 capital loss carryback.
 long-term debt.
 rates. 13%. 15% 2016 to 2042
. 75%. 2036
long-term debt 7041 7034
 unamortized discounts -872 ( 872 ) -882 ( 882 )
 $ 6169 $ 6152
 august 2014 entered new $ 1. 5 billion credit facility terminated existing $ 1. 5 billion august 2016.
 expires august 2019 $ 500 million.
 includes $ 300 million letters of credit.
 no borrowings december 31 2014.
 unsecured interest eurodollar base.
 compliance representations warranties covenants exceed maximum leverage ratio.
 adjustments postretirement.
 december 31 2014 compliance covenants credit facility debt agreements.
 commercial paper.
 no commercial borrowings 2014 2013.
 supported credit facility.
 april 2013 repaid $ 150 million long-term notes fixed interest rate 7. 38%.
five debt maturities $ 952 million 2016 $ 900 million 2019.
 interest payments 326 million 2014 340 million 2013 378 million 2012.
 unsecured unsubordinated indebtedness payment.
 postretirement life insurance employees covered health care life insurance benefits.
 sponsor nonqualified plans limits.
 non-union employees 2005 eligible


asset positions totaled $ 41. 2 million at june 30 2009.
 established counterparty credit guidelines monitored reported management.
 believes risk loss hedging contracts remote.
 derivative instruments credit-risk features.
 june 30 2009 compliance no net liability.
 companies.
 value-at-risk model risk.
 potential losses adverse changes market.
 historical volatilities correlations 250-day.
 high low average value-at-risk twelve months june 30 2009 2008 foreign exchange interest rate contracts.
 foreign exchange contracts $ 28. $ 14. $ 21. $ 18. 5. $ 11.
 interest rate contracts 34. 23. 29 28 20
 change value-at-risk measures increase volatilities different portfolio mix.
change in value-at-risk measures interest rate contracts higher volatilities.
 model esti mates normal market conditions 95 percent confi dence level.
 used statistical simulation model valued derivative fi nancial instruments against thousand market price paths.
 calculated value-at-risk exposure represents possible net losses portfolio hypothetical future not indicative of actual results.
 maximum loss loss future gains losses differ market rates operating exposures timing changes portfolio.
 loss offset by market rate movements transactions.
 arrangements with unconsolidated entities nancial results operations.
 adopted accounting standards 2009 financial accounting standards board.
.
.
.
 disclosure date evaluated events for potential recognition fi nan cial statements.
standard provides after balance sheet date nancial statements.
 effective interim annual periods june 30 2009.
 adoption fi nancial statements.
 march 2008 fasb issued.
 derivative instruments hedging activities 2014 amendment fasb statement.
 133.
.
.
 requires disclosures objectives strategies derivative instruments quantitative fair values gains losses liquidity derivative contract credit-risk contingent


tower corporation subsidiaries december 31 2010 unrecognized compensation expense unvested stock units 2007 plan $ 57. 5 million recognized two years.
 employees.
 common stock purchased bi-annual 85% fair market value first.
 not 15% gross compensation more $ 25000 year.
 periods june 1 november 30 december 1 may 31.
 2010 2009 2008 employees purchased 75354 77509 55764 shares prices per share $ 34. $ 23. $ 30. .
 fair value offerings estimated commencement date black-scholes pricing model expense recognized expected life.
 average fair value shares 2010 $ 9. 43 $ 6. 65 $ 7. 89 .
 december 31. million shares reserved future issuance.
 assumptions.
 risk-free interest rate.22 %. 23%. 23 %. 29%. 29 %. 44%. 44 %. 99%. 99 %. 28%. 28 %
 average risk-free interest rate. 22%. 22 %. 38%. 38 %. 58%. 58 %
 life shares 6 months
 volatility 35. 26%. 26 %. 27%. 27 %. 31%. 31 %. 63%. 63 % 27. 85%. 85 % 28. 51%. 51 %
 volatility 35. 26%. 26 % 35. 83%. 83 % 28. 51% 28. 51 %
 annual dividends
.
 stockholders equity warrants 2005 merger spectrasite.
 warrants.
.
 two shares.
 price $ 32 per warrant.
.
 3. 575 shares common.
.
.warrants 6. 8 million shares common stock.
 1. 7 million outstanding december 31.
 expired february 10 2010.
 repurchase repurchased 9. 3 million shares $ 420. 8 million commissions $ 418. 6 million paid cash $ 2. 2 million accounts payable accrued expenses balance sheet.


29 tax returns 2000 2004 proposed disallow deductions interest loans life insurance plan 20 years.
 interest deductions sustained no provision loss.
 potential liability 1999 2004 impact $ 31 million.
 withdrawn adjustments.
 note 13 financial statements 8.
 2006 50 percent ownership packaging investments.
.
 2004 minority-owned aerospace business sold 2005 $ 15. 2 million loss doubtful accounts 35 percent interest sanshui.
 earnings $ 14. 7 million 2006 $ 15. 5 million 2005 $ 15. 8 million 2004.
 note 1 consolidated financial statements 8.
 cash flows expenditures $ 401. 4 million 2006 $ 558. 8 million 2005 $ 535. 9 million 2004.
uses free cash flow operating results planning strategic investments debt.
 cash flow not defined.
 accounting principles entire discretionary expenditures.
 defines operating activities less additions property plant equipment.
 derived from cash statements adjusted for comparability.
 property insurance proceeds replacement fire-damaged assets.
 consolidated free cash flow summarized.
 millions 2006 2005 2004
 cash flows operating activities $ 401. $ 558. $ 535.
 capital spending -279. -291
 proceeds replacement fire-damaged assets.
 free cash flow $ 183. $ 267. $ 339.
 flows 2006 affected by higher cash pension funding working capital levels.
 income tax accounts receivable balances accounts receivable securitization program late payments.
expects increase working capital temporary return normal half 2007.


.
 management financial condition results operations international energy company operations. canada africa middle east europe.
 operations three segments 2022 e&p explores produces markets liquid hydrocarbons natural gas.
 2022 osm mines extracts transports bitumen oil sands alberta canada upgrades synthetic crude oil vacuum gas oil.
 2022 ig produces markets products natural gas.
 forward- looking statements trends business.
 future outcomes.
 cautionary language factors outcomes.
 additional risk factors item 1a.
 risk factors annual report form 10-k.
 financial condition 1.
.
 8.
 financial statements data.
 spin-off downstream business june 30 2011 two independent energy companies marathon oil mpc.
stockholders june 27 2011 received one mpc common stock two shares.
 tax ruling june 2011 tax-free spin-off.
 downstream business discontinued 2011 2010.
 2013 note 3.
 2013 market conditions exploration production prices crude oil natural gas impact revenues cash flows.
 table lists crude oil natural gas price averages past three years.
 2012 2011 2010
 crude oil bbl $ 94. $ 95. $.
 crude oil $ 111. $
 natural gas $.
.
 prices crude oil volatile averages 2012 2011.
 crude prices increased 2010 averages.
 quality hydrocarbon production mix.
.
 2012 2011 2010.
 crude oil condensate production averaged 37 58 percent 68 percent.
sour crude sulfur heavier refining costly lower value lower quality sells discount wti.
.
 crude production onshore gulf mexico.
 crude oil.
 gulf coast priced premium wti louisiana light sweet benchmark inland areas discount wti.
 10 7 percent 6 percent.
 hydrocarbon sales 2011.
 sales increased.
 unconventional liquids-rich plays.


access commercial paper reduce credit ratings below investment grade sale of receivables program increase cost issuing debt.
 dependent on two domestic suppliers locomotives high barriers entry new suppliers.
 if discontinues manufacturing cost increase reduced availability locomotives.
 affected by terrorism war risk lines facilities equipment casualties terrorist attacks.
 affect results operations financial condition liquidity.
 insurance premiums increase not available.
.
.
 operations in 23 states variety assets rail business.
 include real estate track structure equipment facilities.
 own lease real estate.
 equipment includes owned leased locomotives rail cars heavy maintenance equipment machinery tools vehicles for maintenance transportation.
operate facilities including terminals intermodal freight yards train-building switching storage-in-transit offices dispatch centers crew quarters shops facilities fueling maintenance repair locomotives rail cars equipment.
 spent $ 2. 2 billion cash capital 2006 building maintaining track structures infrastructure upgrading equipment implementing new technologies capital investments table.
 properties subject federal state local laws regulations environment environmental issues.
 operates 32339 main line branch line route miles 23 states western two-thirds states.
 own 26466 route miles remainder trackage rights leases.
 december 31 2006 2005.
 main line 27318
 branch line 5021 5125
 19257 20241
 total 51596 52667


visa payment services acquires credit debit card transactions.
.
 affiliates.
 october 2007 issued shares visa.
 members reorganization.
 received share class b visa.
 common stock.
 members.
.
 indemnify visa judgments settlements.
 acquisition judgment loss sharing agreements visa banks.
 financial responsibilities adverse judgment settlements.
 2014 visa funded $ 450 million escrow account reduced conversion rate visa shares.
 obligation indemnify visa judgments settlements.
 sold commercial residential home equity loans securitization sale continuing involvement.
 recourse loan repurchase obligations transferred assets.
 service multi-family commercial mortgage loans sold fnma underwriting program.
 similar program fhlmc.
 assume one-third risk loss unpaid principal balances share.
december 31 2014 2013 unpaid principal balance loans $ 12. 3 billion $ 11. 7 billion.
 potential maximum exposure loss share $ 3. billion $. billion.
 reserve losses.
 $ 35 million $ 33 million included liabilities consolidated balance sheet.
 payment contractual interest collateral losses value losses.
 exposure activity recourse obligations reported corporate institutional banking segment.
 table 150 commercial mortgage recourse obligations.
 january 1 $ $
 reserve adjustments
 losses 2013 loan repurchases settlements
 31 $
 residential mortgage credit repurchase obligations repurchase obligations.
 origination covenants warranties.
 activity banking.
 fourth quarter 2013 pnc agreements fnma fhlmc resolve repurchase claims loans sold 2000 2008.
pnc paid $ 191 million settlements.
 repurchase obligations include brokered home equity loans sold private investors.
 lending repurchase limited.
 repurchase activity non-strategic assets portfolio.
 pnc financial services group.
 2013 form 10-k


corporation financial statements.
 employee retirement plans.
 defined-benefit pension plan asset allocation based fair value.
 equity securities 34% 34 % 55% 55 %
 debt securities 49% 49 % 28% 28 %
 17% 17 %
 100% 100 %
-benefit pension plans adopted accounting guidance fair value.
 price sell asset transfer liability transaction. valuation methodologies value.
 no changes methodologies december 31 2018 2017.
 common stocks short-term investments valued closing price.
 net asset value fair value.
 assets.
 no unfunded commitments restrictions.
 private equity hedge funds valued estimated fair value market income approach.
 no active trading market illiquid.
 unobservable inputs measurements level 3.
 investments valued fair.
basis determined fund underlying assets.
 no unfunded commitments restrictions investments nav.
 corporate government debt securities valued closing price pricing models.
 includes yields.
 investments valued nav approximates fair value.
.
 unfunded commitments $ 1 million no restrictions.
 common collective trust fund valued amortized cost basis approximates fair value.
 cash equivalents.
 no unfunded commitments restrictions.
 buy-in annuity valued benefit obligation approximates fair value.
 determined assumptions discount rate long-term return mortality rate.
 methods not indicative value future values.
 methodologies different reporting date.
 defined-benefit pension plan assets fair value december 31  2018 2017 valued nav fair value millions.


consolidated financial statements apex 2012 trusts delaware statutory wholly-owned subsidiaries not consolidated accounting.
 covenanted holders group. 2019s. debt due 15 2034 redeem capital securities apex shares. 2022 maximum net cash proceeds sale qualifying securities.
.
 group.
 issued $ 2. 84 billion debt 2004 goldman sachs capital delaware.
 $ 2. 75 billion guaranteed interests $ 85 million common beneficial interests.
 debt.
 2014 purchased $ 1. 22 billion trust securities delivered $ 37. 6 million interests third quarter 2014 debt.
 extinguished recognized gain $ 289 million 270 million recorded extinguishment third quarter 2014 included consolidated statements earnings.
2014 firm purchased $ 214 million trust securities delivered $ 6. million beneficial interests february 2015 junior subordinated debt.
 trust wholly-owned subsidiary not consolidated accounting.
 pays interest semi-annually junior debt rate 6. 345%. matures february 15 2034.
 coupon rate payment dates same.
 defer payment interest ten semi-annual periods.
 deferral pay dividends repurchases common stock.
 distributions interests.
 dividends paid.
.
 liabilities expenses type.
 millions december 2014 2013
 compensation benefits $ 8368 $ 7874
 noncontrolling 404
 income tax-related liabilities 1533
 employee interests consolidated funds 176
 subordinated liabilities consolidated 477
 accrued expenses 4751 5183
16075
.
 consolidated funds.
 2014


december 31 2012 future commitments leases purchase obligations.
 millions 2013 2014 2015 2016 2017
 lease obligations $ 198 $ 136 $ 106 $ 70 50 141
 purchase obligations 3213 828 722 620 808 2654
 $ 3411 $ 964 $ $ $ 858 $ 2795
 $ 3. 6 billion fiber supply agreements 2006 forestland sales 2008 acquis weyerhaeuser containerboard.
 rent expense $ 231 million $ 205 million $ 210 million 2012 2011 2010.
 warranties indemnify buyers tax environmental liabilities breaches warranties.
 recorded cost transaction.
 responsible remediation laws.
 cleanup hazardous substances commercial landfills.
joint liability authorized under cercla state laws cleanups allocated among parties.
 remedial costs recorded in financial statements.
 international paper liability $ 92 million at december 31 2012.
 closed wood treating facility cass lake minneso ta.
 international paper submitted remediation feasi study.
 2011 proposed soil remedy estimated cost $ 46 million.
 remediation reserve $ 48 mil.
 october 2011 epa final remedy deci delayed.
 expensive remediation costs could higher than.
 october 2012 natural resource trustees resource damage assessment.
 premature to predict estimate loss.
 remediation costs hazardous substances facilities totaled approximately $ 46 million at december 31 2012.
 remedial actions not effect on consolidated financial statements.
company potentially responsible allied paper. kalamazoo river superfund site michigan.
 epa asserts contaminated by pcbs discharges paper mills including.
 regis.
 successor.
 regis.
 international paper received orders epa collecting information liability.
 pre- mature estimate loss.
 company defendant georgia-pacific consumer products fort james corporation georgia pacific llc cost recovery action pollution.
 suit seeks contribution $ 79 million costs expended plaintiffs future remediation costs.
 mill.
 discharged pcb contaminated solids paper residuals.
 defendants ncr corporation weyerhaeuser company.


2013 $ 50 million reduction indemnification asset.
.
 increased 362 million 6% $ 6518 million 2014 6156 million 2013.
 employee compensation benefits fund expense.
 charitable contribution excluded.
.
 expense increased 510 million revenue $ 124 million charitable contribution.
 compensation increased 273 million $ 3560 million 2013 3287 million 2012 headcount income performance fees.
 employees 11400.
 distribution servicing costs $ 353 million 364 million 2012.
 bank america/merrill lynch.
 $ 184 million $ 195 million bank america/merrill lynch.
 direct fund expense increased $ 66 million.
 increased $ 181 million $ 124 million charitable contribution marketing promotional costs lease exit costs.
 $ 30 million contribution.
adjusted.
 expense increased $ 393 million 7% to $ 6156 million 2013 from $ 5763 million 2012.
 increase attributable to higher employee compensation benefits direct fund administration expense.
 nonoperating results income less net income loss nci 2014 2013 2012 2013 2012 income 79 116 54 net income loss 30 19 18 ) 49 97 36 gain charitable contribution 2014 compensation expense deferred compensation plans nonoperating income losses $ 41 million $ 38 million consolidated variable interest entities 2014 2012.
 2013 record nonoperating income net income statements.
 net income loss.
 millions 2014 2013 2012
 nonoperating income $ -79 $ 116 -54 54
 net income loss
 income
 gain charitable contribution 2014
expense deferred compensation plans -7
 nonoperating income
 2013 foreign currency remeasurement $ 50 million reduction indemnification asset.
.
 increased $ 362 million $ 6518 million 2014 6156 million 2013.
 employee compensation benefits direct fund expense.
 reduction indemnification asset charitable contribution excluded.
.
 expense increased $ 510 million 9% revenue $ 124 million charitable contribution.
 compensation benefits increased 273 million $ 3560 million 2013 3287 million 2012 headcount income performance fees.
 employees 11400.
 distribution servicing costs $ million 2013 364 million 2012.
 bank of america/merrill lynch.
 2012 $ 184 million $ 195 million bank america/merrill lynch.
fund expense increased $ 66 million higher average aum related to ishares blackrock pays nonadvisory expense.
 administration expense increased $ 181 million driven by $ 124 million charitable contribution marketing costs lease exit costs.
 2012 $ 30 million contribution stifs.
.
 expense increased $ 393 million 7% to $ 6156 million 2013 from $ 5763 million 2012.
 increase to higher employee compensation benefits direct fund administration expense.
 nonoperating results less net income loss nci 2014 2013 2012 net income charitable contribution expense deferred compensation losses of $ 41 million $ 38 million consolidated variable interest entities 2014 2012.
 nonoperating income.
 loss nci.


deferred tax assets liabilities balance sheet.
 decrease 2009 assets pension liabilities minimum tax credit utilization valuation allowance.
 less tax depreciation 2019s assets purchased 2009.
 valuation allowance december 2008 $ 72 million.
 increase $ 274 million.
 $ 211 million french operations allowance $ 55 million deferred tax assets $ 156 million second quarter 2009 assets $ 10 million deferred tax assets united king dom operations $ 47 million reduction.
 state deferred tax assets $ 15 million fourth quarter 2009 louisiana recycling credits.
 tax rate $ 10 million line item 201ctax rate differences.
 earnings. guidance uncertain tax positions.
new guidance company recorded charge earnings $ 94 million reduction january 1 2007 balance.
 reconciliation unrecognized tax benefits december 31 2009 2008 millions.
 balance january 1 $ -435 $ -794 ( 794 -919
 additions tax positions current
 additions prior years -82 -66 -30
 reductions 72 74
 settlements
 expiration statutes limitations
 currency translation adjustment -11 -24
 balance december 31 $ -308 $ -435 $ -794 ( 794
 balance december 31 2009 2008 $ 56 million $ 9 million tax positions benefits uncertainty timing.
 timing affect annual tax rate payment cash.
 accrues interest unrecognized tax benefits expense.
 penal ties income tax expense.
company $ 95 million $ 74 million accrued interest penalties unrecognized tax benefits at december 31 2009 2008.
 major jurisdictions united states brazil france poland russia.
 tax years 2002 2009 open.
 tax examinations overseas.
.
 revenue service tax years 2006 2007.
 unrecognized tax benefits $ 125 million next twelve months.
 2009 tax benefits decreased $ 127 million.
 could.
 2009 income tax provision $ 469 million $ 279 million special items $ 534 million benefit restructuring $ 650 million alternative fuel mixture credit $ 163 million adjustments 156 million loss $ 26 million federal tax audits 15 million recycling $ 18 million other adjustments.