exit cost liabilities pmi millions.
 balance january 1 2014 $ 308
 391
 cash spent -360
 -69
 december 31 2014 $ 270
 68
 cash spent -232
 -52
 december 31 2015 $ 54
 cash payments exit costs $ million $ 360 million $ 21 million 2015 2014 2013.
 future cash payments $ 54 million paid end 2017.
-tax costs 2014 philip.
 discontinue cigarette production.
 trade unions ceased production september 1 2014.
 pre-tax asset costs $ 489 million.
 employee separation $ 343 million asset impairment $ 139 million $ 7 million.
 $ 68 million $ 41 million $ 51 million 2015 2014 2013.
 organizational restructuring.
2014-tax charges factory closures australia canada restructuring.
 leaf purchasing model.
 2013 restructuring functions switzerland australia.
 costs $ 258 million distribution agreements eastern europe east africa asia.
 $ 5 million factory closure canada.


jpmorgan chase co. annual report table reflects firm capital line business.
 equity capital.
 billions january december 31 2017 31 2016
 consumer community banking 51.
 corporate investment bank 70. 64.
 commercial banking 20. 16.
 asset wealth management 9.
 79. 88.
 common stockholders 2019 equity $ 229. 228.
 federal reserve bank companies submit capital plan annual.
 dodd-frank stress test processes sufficient capital economic stress capital assessment planning processes risks losses.
 evaluates capital adequacy capital distributions dividend payments stock repurchases.
 june 28 2017 federal reserve informed firm object 2017 capital plan.
 2017 results capital actions pages 89-90.
firm 2019s ccar process methodologies icaap process.
 semiannually completes icaap impact events on earnings balance sheet positions reserves capital.
 integrates stress testing capital planning.
 assesses impact economic business scenarios earnings capital.
 defined.
 macroeconomic factors global market shocks operational risk events.
 vulnerabilities risks.
 events.
 management considers additional stresses outside.
 results reviewed by management audit committee.
 stock dividends $ 1. 7 billion year december 31 2017.
 issued $ 1. billion fixed- to-floating rate non preferred stock initial dividend rate 4. 625%.
 december 1 redeemed all $. billion. 50%. non-cumulative preferred stock.
.
 december 18 liquidated.6 billion trust $ 56 million common securities cancelled junior debentures distributed holders.
 redeemed $ 1. 6 billion 2016.
 reflects jpmorgan chase earnings outlook payout capital objectives investment opportunities.
 2017 increased quarterly dividend $ 0. 56 per share october 31 2017.
 approval quarterly.
 note 20 25.


ii issued $ 500 million 2. 25%. fixed annual interest rate mature may 1 2023.
 2043 senior notes issued $ 500 million 3. 625%. interest rate mature may 1 2043.
 payable semi-annually may 1 november 1.
 gross proceeds $ 998 million.
 november 1 2011 credit facility agreement banks $ 1 billion borrowings option increase $ 1. 5 billion.
 facility matures november 1  2017.
 may 31 2015 2014 no outstanding.
 long-term debt ratings aa- a1.
 ratings decline facility fee interest rate.
 fee interest rate.
 maturity.
 covenants.
 limits disposal fixed assets debt secured liens minimum capitalization ratio.
 borrowings waiver immediately due payable.
may 31 2015 compliance covenants unlikely.
 liquidity $ 1 billion commercial paper program.
 issue paper no outstanding borrowings.
 may issue commercial paper 2016.
 short-term debt ratings a1+ p1 investor services.
 cash equivalents short-term investments $ 5. 9 billion $ 4. 2 billion foreign subsidiaries.
 $ 968 million cash collateral hedging.
 deposits banks money market funds commercial paper corporate notes.
 treasury obligations.
 government obligations investment grade fixed income securities.
 credit interest rate risk.
.
 average duration 79 days.
 difficulty accessing credit markets higher interest costs.
 future volatility may increase costs commercial paper affect.
believe existing cash equivalents short investments operations access external sources funds meet domestic foreign capital needs.
 utilize tax planning financing strategies manage worldwide cash deploy funds.
 repatriate foreign earnings.
 taxes provided.
 indefinitely reinvest portion earnings current plans need repatriate.
 require additional capital repatriate reinvested funds raise capital debt.
 pay additional.
 taxes less tax credits.
 raise capital debt incur additional interest expense.
 provide indemnification intellectual property rights legal issues.
 agreements.
 experience loss fair value indemnification not material financial position results operations.
 obligations long-term obligations as may 31 2015 endorsement contracts marketing commitments.
 description commitment 2016 2017 2018 2019 2020

 operating leases $ 447 $ 423 $ 371 $ 311 $ 268 $ 1154 $ 2974
 capital leases 2014
 long-term debt 142  77  55  36 1451 1797
 endorsement contracts 1009  919  882  706  533  2143 6192
 product purchase obligations 3735
 343  152  75  72  36  92  770
 $ 5678  $ 1573 $ 1384 $ 1125 873 4840 15473
 cash payments long-term debt estimated interest payments.
 principal amounts term debt obligations.
 endorsement contracts base compensation royalty fees.
 payments achievements.
 performance.
cash payments obligated furnish endorsers nike product.
 not possible determine contracts stipulate specific cash.
 product on factors playing conditions sporting events decisions product marketing initiatives.
 costs to design develop source purchase products incurred over not tracked separately from.


.
 1996 new corporate office facility occupied 1997.
 2004 amendment january 1 2004.
 lease extended 10 years 18 years.
 incurred rental expense $ 1. 3 million 2008 2007 2006.
 future lease payments $ 1. 4 million per annum january 2009 2014.
 2015 2019 market rental rates.
 amended lease lessor $ 550000 building refurbishments march 31 2006.
 reduction lease expense.
 noncancellable leases equipment office space.
 $ 9. 3 million 6. million 4. 7 million 2008 2007 2006.
 future lease payments $ 8. million 2009 6. 2010 3. 2011 1. million 2012 1. million 2013.
.
 license agreements access technology sell product line.
royalties payable developers software rates based sales.
 fees goods $ 6. 3 million $ 5. 2 million $ 3. 9 million years 2008 2007 2006.
.
 geographic revenue attributed countries location.
 area.
 united states 151688 131777 94282
 germany 68390
 japan 66960
 canada
 european 127246 108971
 international
 revenue $ 478339 385340 263640


operations 31 2006 2005 historical results 2006.
 sales $ 2187. $ 1993. $ 193. 4
 operations $ 225. 9 $ 116. $ 109. 8
 expense -31. 2 31. 28 -3.
 before taxes 194. 7 88. 106.
 taxes -69. 7 69. 4 35. 3 34.
 income $ 125. $ 52. 6 $ 72. 4
 sales increased $ 193. 4 million 9. 7%. 7 % 31 2006 2005.
 sales increased prices volumes corrugated products 2005.
 corrugated products volume increased. 4%. % 31. 3 billion square feet 2006. 2005.
 shipment-per-workday sales volume increased. 8%. 2006 2005.
.
 increase 2006 less workday 249 days 2005 250.
containerboard sales volume increased 15. 6%. to 482000 tons 2006 from 417000 tons 2005.
 income operations increased $ 109. 8 million 94. 6%. 2005.
 $ 14. million net expenses two dividends southern timber venture.
 increased $ 123. 8 million 2006 2005.
. increase to higher sales prices volume improved mix business. increased costs transportation. energy. wage increases. medical pension benefit costs. incentive compensation.
 gross profit increased $ 137. 1 million 44. 7%. 2006 2005.
 profit increased from 15. 4%. 2005 to 20. 3%. due to increased sales prices.
 selling administrative expenses increased $ 12. 3 million 8. 4%. 2006 2005.
 increase increased salary


hlikk has four credit facilities.
 two no amounts drawn december 31 2013 borrowing limits a55 billion $ 48 each expiration dates january 5 2015 september 30  2014.
 december 2013 entered two new agreements with japanese banks finance withholding taxes mutual fund gains credited 2019 income tax returns.
 2013 borrowing limits a55 billion $ 48 a520 billion  $ 190.
 a55 billion accrues interest variable rate plus 3 bps 15 a520 billion variable tibor plus 3 bps interest rate 20 bps.
 expire september 30 , 2014.
 agreements tied to financial strength ratings.
 below counterparties demand collateralization settlement derivative positions.
 settlement amount determined by positions.
 costs.
aggregate value derivative instruments credit-risk net liability december 31 2013 was $ 1. 2 billion.
. legal entities posted collateral $ 1. 4 billion.
 company posted collateral $ 44 customized gmwb derivative.
 downgrade level below financial strength ratings additional $ 12 collateral.
 downgrade two levels below ratings additional $ 33 collateral.
 collateral amounts change market values hedging activities contractual terms.
 collateral.
 treasury bills.
 notes government agency securities.
 aggregate amount fair value derivative relationships immediate termination rating downgrades to bbb+ or baa1 was $ 536 and $ 17 ) .
 claim frequency severity change within historical norms liquidity position sufficient demands next twelve months.
 obligations capital resources liquidity section.
sources operating funds premiums fees investment income investing cash flows maturities sales.
 primary uses claims commissions purchase investments dividend payments hfsg.
 insurance operations property casualty life annuity.
 holds fixed maturity securities short-term investment position liquidity.
 31 2013 maturities short-term investments cash.
 fixed maturities $ 24704
 short-term investments 984
 cash
 derivative collateral 241
 $ 25636


operating expenses millions 2013.
 compensation benefits $ 4807 $ 4685 $ 4681 3 %
 fuel 3534 3608
 services materials 2315 2143
 depreciation 1777 1760 1617
 equipment rents 1235 1197 1167
 849 788 782
 $ 14517  $ 14181 $ 13833 2 % 3% 3 %
 expenses increased $ 336 million 2013 2012.
 inflation logistics fees container costs overhauls property taxes repairs.
 fuel prices.
 expenses increased 348 million 2012.
 fuel prices trucking services.
 efficiency gains fuel savings 38 million weather expenses.
 compensation benefits wages payroll taxes health welfare pension costs postretirement benefits incentive costs.
wages inflation higher work force increased pension postretirement benefits drove increases 2013.
 productivity initiatives offset.
 expenses 2012 flat 2011 operational improvements cost reductions offset inflation benefits.
 weather costs increased expenses.
 2013 locomotive gasoline.
 lower locomotive diesel fuel prices $ 3. 15 per gallon. decreased expenses $ 75 million.
 decreased 1% fuel consumption increased 2%.
 fuel-efficient coal shipments.
 higher locomotive diesel fuel prices $ 3. 22 per gallon. 2011 increased expenses $ 105 million.
 volume decreased 2% 2 %.
 fuel consumption rate flat-over-year.
 contractors maintenance lines facilities transportation lodging crew contracting costs intermodal leased automobile maintenance operating expenses


sale equity securities.
 raise funds public offerings.
 proceeds.
 2004 received $ 40. 6 million sales common stock atc mexico.
 financial flexibility reduce interest costs.
.
 2004 refinanced previous $ 1. 1 billion senior secured credit facility.
 received $ 685. 5 million net proceeds borrowings $ 670. million principal interest.
 remaining proceeds $ 15. 5 million corporate purposes repurchase debt securities.
 new credit facility $ 400. million undrawn revolving loan commitments $ 19. 3 million undrawn letters credit december 2004 2011 $ 300. million term loan $ 398. august 31 2011.
 extends previous maturity dates 2007 to 2011 borrowings repurchase indebtedness without lender approval.
 guaranteed secured pledge assets.
maturity date loan a revolving loans accelerated august 15 2008 b october 31 2008 20448% % senior notes not refinanced parent company indebtedness maturity february 28 2012 new credit facility repaid prepaid redeemed repurchased retired consolidated leverage ratio debt operating cash flow june 30 2008 greater 4. 50 to 1.
 payments due 2008 a b $ 225. million $ 386. million.
.
 2004 raised $ 1. billion net proceeds sale debt securities private placements date proceeds.
 7. 50%. 50 % 2004 $ 225. $ 221.
.
. 125%. 125 %.
.
 $ 1070. 1050.
 7. 50%. 50 %.
 2004 sold $ 225. million 7. 50%.% senior notes 2012 placement.
. may 1 interest payable semiannually may november 1.


visa inc.
 financial statements 2014 september 30 2008 millions table net proceeds $ 19. 1 billion ipo march 2008.
 net ipo proceeds $ 19.
 march 2008 redemptions class b c common stock -13.
 escrow account -3.
 balance september 30 2008.
 october 2008 redemptions c common stock -2.
 proceeds
 redemptions b 2008 redemption b.
 used $ 13. 4 billion proceeds ipo redeem 154738487 shares b 159657751 c redemption price $ 42. 77 per share.
 certificate incorporation shares b convertible 175367482 shares a 152009651 shares c convertible.
 escrow account conversion rate class b common stock reduced 0.71 shares class a each share b 245513385 shares convertible into 175367482 shares a.
 class c excludes class c iii shares redeemed october 2008.
 used $ 1. 508 billion net proceeds redemption 35263585 shares c iii stock price $ 42. 77 per share.
 remaining 27499203 shares converted into c i.
 used $ 1. 146 billion net proceeds redemption c common stock.
 redemption price $ 1. 146 billion adjusted for dividends interest par value shares redeemed return visa europe cash payment $ 1. 136 billion.
 visa europe option


exercise stock options price.
 company issued new shares.
 recorded $ 43 million $ 34 million $ 44 million stock awards 2015 2014 2013.
 $ 17 million $ 13 million $ 17 million tax benefit stock awards options.
 recognized tax benefits $ 41 million $ 53 million $ 32 million issuance settlement awards $ 4 million $ 5 million $ 4 million exercise stock options.
 unrecognized compensation less than $ 1 million 2014. $ 25 million 2015 2014 2013. years.
 no unrecognized compensation expense stock options.
 expense recognized december 31 2013.
.
 quarterly financial results years december 2015 2014 tables.
millions share 2015 1st 2nd 3rd 4th qtr
 sales service revenues $ 1570 1745 1800 1905
 operating income 156 269 200
 taxes 133 244 175
 net earnings 87
 dividends share.
 earnings loss share $ 1. 80 3.
 diluted earnings loss share $ 1. 79.
 second quarter 2015 $ 59 million goodwill impairment.
 $ 136 million operating income.
 fourth quarter $ 16 million goodwill impairment $ 27 million intangible asset impairment.


ace limited subsidiaries compensation expense for stock options shares employee stock purchase plan $ 24 million $ 22 million $ 0. 07 per $ 23 million 21 $. 06 $ 20 million 18 $ 0. 05 years december 31 2008 2007 2006.
 expense restricted stock $ 101 million $ 71 million after tax $ 77 million $ 57 million after $ 65 million $ 49 million after tax.
 established ace limited 2004 long-term incentive plan.
 effective february 25 2004.
.
 replaced 1995 1998 1999.
 2008 annual general meeting shareholders common shares authorized 2004 ltip from 15000000 to 19000000.
 19000000 authorized issued stock options stock appreciation rights performance shares units restricted stock.
maximum delivered to participants beneficiaries under 2004 ltip equal 19000000 shares represented by prior plans forfeited expired canceled after 2004 ltip.
 december 31 2008 10591090 shares available for future issuance.
 2004 ltip 3000000 shares authorized issued.
 989812 shares available issuance.
 2004 ltip incentive non-qualified stock options option price per share 100 percent fair value common shares.
 options granted 3-year vesting 10-year term.
 installments.
 share-based compensation expense cost unvested portion 2005-2008 stock option grants.
 fair value options estimated using black-scholes option-pricing model.
 risk-free rate based on.
 treasury yield curve.
 expected life estimated historical exercise behavior.
volatility calculated historical volatility long- term volatility implied volatility traded options.
 value estimated grant black-scholes option-pricing model weighted-average assumptions.
 dividend yield. 80%. 80 %. 78%. 78 %. 64%. 64 %
 volatility 32. 20%. 20 % 27. 43%. 43 % 31. 29%. 29 %
 risk-free interest rate 3. 15%. 15 %. 51%. 51 %. 60%. 60 %
 7. 5%
 life 5. 7 years. 6 years


entergy corporation utility system energy new orleans provides electric gas service orleans city ordinances except service entergy louisiana.
 ordinances option orleans purchase electric gas utility properties.
 entergy texas certificate convenience necessity electric service 27 counties eastern texas franchises 68 municipalities.
 50-year franchises 25-year franchises.
 franchises expire 2013-2058.
 wholesale power sales.
 no distribution franchises.
 capability stations december 31 2011.
 total gas/oil nuclear
 entergy arkansas 4774 1668 1823 1209
 gulf states louisiana 3317 1980 974 363
 louisiana 5424 4265 1159
 mississippi 3229 2809
entergy new orleans 764 764
 texas 2538 2269 269
 system energy 1071
 total 21117 13755 5027 2261 74
 201cowned leased capability dependable load carrying capability operating conditions primary fuel.
 entergy system load capacity projections reviewed additional generating capacity interconnections.
 demand availability location economy.
 summer peak load averaged 21246 mw 2002-2011.
 long-term capacity resources 3000 mw less total peak.
 met capacity shortages short-term power purchases wholesale spot market.
 fall 2002 new resources requests proposals resources.
 long-term resource strategy capacity long-term resources owned contracted.
 "portfolio transformation strategy.
 nine years 4500 mw new long-term resources.
 transactions summer 2009.
summer 2009 transactions deactivations 500 mw short 2012 peak load reserve margin.
 remaining need nuclear uprate gulf limited-term resources.
 spot power


entergy louisiana subsidiaries income decreased $ 305. 7 million tax cuts jobs act $ 182. 6 million income settlement 2010-2011 $ 136. million reduction tax.
 higher operation maintenance expenses.
 offset higher net revenue income.
 note 3.
 2016 2015 income increased $ 175. 4 million settlement $ 136. 1 million reduction tax expense.
 lower operation expenses higher net revenue higher income.
 offset depreciation amortization expenses interest expense nuclear refueling outage expenses.
.
 revenue 2017 fuel gas power expenses regulatory charges.
 analysis change net revenue 2017 2016.
.
 net revenue $ 2438.
 regulatory credit reduction corporate income tax rate.
 retail electric price.
 louisiana act financing savings obligation.
.
.
 2017 revenue $ 2560.
 federal corporate income tax rate vidalia power agreement $ 30. 5 million louisiana act 55 liabilities 25 million tax cuts jobs act income tax rate 35% 21%.
 note 3 financial statements.


reed city michigan chanhassen minnesota hannibal missouri joplin vineland jersey albuquerque mexico buffalo york martel wellston murfreesboro tennessee milwaukee wisconsin own flour mills eight locations vallejo vernon avon iowa minneapolis kansas great falls montana.
 operate six terminal grain elevators minnesota wisconsin two leased country grain elevators seven seasonal elevators.
 own lease warehouse space 12. 2 million square feet 9. 6 million square feet leased.
 lease sales administrative offices united states canada 2. 8 million square feet.
 legal actions.
.
 no claims litigation financial.
item 4 submission vote security holders 5 market common equity stockholder matters issuer purchases common stock listed new york stock exchange.
 july 14  2006 34675 holders.
 market prices dividend payments two years note eighteen financial statements page 53.
 restrictions dividends note eight pages 43 44.
 table shares common stock purchased three months may 28 2006 issuer purchases equity securities number shares purchased average price paid share total program maximum february 27 2006 april 2 111772 $ 49. 2013 445466 $ 49. 1182100 $ 49.
 averageprice paidper share
 february 27 april 111772 $ 49.
 445466 $ 49.
 may 1 2006 1182100 $ 49.
 1739338 $ 49.2013
 shares purchased 231500 esop fund 401 k savings 8338 shares restricted stock withheld taxes 1499500 shares open market.
 february 21 2000 board directors autho rized repurchase 170 million shares common stock.
 expiration date.


american tower corporation subsidiaries financial statements 2014.
 long-term obligations financing arrangements december 31.
 mortgage pass-through certificates 2007-1 $ 1750000
 revolving credit facility 750000
 7. 25%. 25 %
. 50%. %
. 125%. %
. 500000
 5. 0%. 0 % 59683
 3. 25%. 25 % )
.%. 161893
 41
 capital leases
 4333146 4285284
 long-term obligations
 $ 4331309 4283467
 mortgage pass-through certificates 2007-1 31 securitization 5295 broadcast communications towers subsidiaries private offering $ 1. 75 billion commercial mortgage pass-through certificates 2007-1.
certificates issued by american tower trust i established by depositor subsidiary.
 assets recourse loan to tower asset ii loan security agreement may 4 2007.
 borrowers special purpose entities holding secured towers.
 certificates issued in seven classes a-fx-fl b c d e.
 subordinated payment to.
 with terms identical to loan except a-fl floating rate fixed.
 average interest rate 5. 61%.
 life seven years final repayment april 2037.
 company used net proceeds from securitization to repay amounts under spectrasite credit facilities $ 765. million in principal accrued interest costs expenses $ 250. million revolving loan tower.
 additional $ 349. 5 million company 2019s tender offer consent solicitation


allocated bases.
 expense repairs maintenance $ 2. billion 2011 $ 2. billion 2010 $ 1. 9 billion 2009.
 capital leases recorded lower net value minimum lease payments leased asset.
 amortization expense computed straight-line method shorter estimated lives.
.
 accounts payable current liabilities.
.
.
.
 accounts payable $ 819 $
 income taxes
 wages
 dividends
 casualty costs
 interest
 equipment rents
 accounts payable liabilities $ 3108 $ 2713
.
 instruments derivative instruments interest rates fuel prices.
 not party leveraged derivatives speculative purposes.
 hedge accounting effectiveness.
 relationships instruments items risk- management objectives strategies transactions assessing hedge effectiveness.
market value derivative instruments hedge charged to earnings.
 use swaps collars futures forward contracts mitigate risk adverse interest rates fuel prices limit benefits favorable interest rate fuel price movements.
 credit risk risk selecting value hedged item.
 manage credit risk high credit standards counterparties settlements.
 december 31 required collateral.
 determination fair value current values future cash flows.
 rate hedges exposure adjusting fixed floating rate debt instruments.
 manage mix rate debt targeted amounts.
 employ derivatives swaps mix.
 flexibility interest costs rate mix evaluating fixed-rate debt securities.
 swaps convert debt from to variable rates hedge risk.
 account swaps as fair value


note 18.
 contingencies tobacco-related litigation pending against us subsidiaries indemnitees in jurisdictions.
 indemnitees include distributors licensees others parties agreed to defend pay costs judgments.
 distribution agreement between altria group.
 pmi pmi indemnify altria philip morris usa.
.
 subsidiary for tobacco product claims products pmi.
 adverse developments in cases against us subsidiaries.
 unfavorable outcome encourage additional litigation.
 damages significant into billions.
.
 variability in pleadings jurisdictions experience management litigating monetary relief little to ultimate outcome.
 litigation early stages subject to uncertainty.
 successful in defending tobacco-related litigation.
subsidiaries record provisions financial statements for litigation when unfavorable outcome probable loss estimated.
 unfavorable outcome management not concluded probable loss in tobacco cases unable to estimate possible loss no estimated loss accrued in financial statements for unfavorable outcomes.
 legal defense costs expensed.
 possible results operations cash flows financial position affected by unfavorable outcome settlement litigation.
 litigation subject to uncertainty subsidiaries believe valid defenses bases for appeal of adverse verdicts.
 cases vigorously defended.
 may enter settlement discussions.
 no tobacco-related case resolved in favor of plaintiff against.
table lists tobacco-related cases against us subsidiaries indemnitees february 4 2019 9 2018 december 31 2016 type case 2019 31 2016.
 smoking health cases 55 57 64
 class actions 10 11
 health care cost recovery actions 16
 label-related class actions
 7 3
 public civil actions 2
 since 1995 first tobacco-related litigation 491 smoking health label-related cost recovery public civil actions terminated favor.
 thirteen cases decisions favor plaintiffs.
 nine final resolution four on appeal.


consolidated financial statements 2013 millions guaranteed obligations subsidiaries leases credit facilities.
 parent company guarantees lease obligations $ 857. $ 619. december 2016 2015 credit facilities $ 395. $ 336.
 non-payment pay.
 no material assets pledged guarantees.
 obligations estimated future contingent acquisition obligations payable cash december 31.
 2021
 deferred acquisition payments $ 76. $ 31. 25. 11. $ 180.
 redeemable noncontrolling interests call options.
 contingent acquisition payments $ 111. $ 108. 58. 12. 30. 15. $ 336.
 acquisitions redeemable noncontrolling interests call options similar terms conditions.
 estimated amounts paid earliest date.
redeemable noncontrolling interests exercisable at discretion owners as of december 31 2016.
 estimated payments of $ 25. 9 included within total payments 2017 into 2018 until exercised or expired.
 at current exercise price payable cash not redemption value.
 majority payments contingent upon operating performance targets conditions agreements subject to revision.
 see note 4 for information payment structure acquisitions.
 involved in legal proceedings subject to investigations inspections audits inquiries governmental authorities.
 allegations vary contract employment tax intellectual property.
 evaluate cases record liabilities for losses from proceedings.
 certain cases loss early stages.
 management believes on financial condition operations cash.
april 10 2015 federal judge brazil authorized search agency offices e3o paulo brasilia investigation payments government contracts.
 company investigated remedial disciplinary actions.
 concluding settlement government.
 contacted justice antitrust video production practices cooperating.


accounts receivable 2006 2005 dollar.
 millions 122.
 increase accounts receivable increased billings 2006.
 sales 39 36 2005.
 driven billing collections.
 working capital current assets less liabilities.
 2006 $ 23. 4 million $ 130. 6 million 2005.
 decrease net working capital $ 107. 2 million $ 73. million cash deferred tax assets $ 83. 2 million accounting method change income taxes receivable $ 5. million income taxes payable $ 21. 5 million deferred revenue $ 29. 9 million increase $ 2. 8 million accounts payable liabilities reclassification debt $ 7. million short.
 offset increase short-term investments $ 59. million prepaid assets $ 27. 4 million.4 million reclassified property plant asset sale increase accounts receivable $ 22. 4 million.
 five-year $ 300. million unsecured facility loans synopsys foreign subsidiaries.
 replaces previous $ 250. million terminated october 20 2006.
 $ 150. million fourth year.
 financial covenants minimum leverage cash non-financial covenants.
 terminates october 20 2011.
 borrowings interest administrative agent prime rate federal funds rate plus. option pay interest amount eurodollar rates spread. 70%.
 commitment fees payable. 125%. 175%.
 october 31 2006 no outstanding borrowings compliance covenants.
 current cash equivalents short-term investments credit satisfy business requirements next twelve months.


morgan stanley financial statements 2014 corporate reorganization increase investment msci recorded paid-in capital financial condition changes shareholders equity november 30 2007.
 maintains 81% ownership msci consolidates financial reporting.
.
 2007 dissolved india joint ventures.
 purchased equities 49% interest sold investment banking retail operation.
.
 december 21 2006 acquired moscow securitizing residential mortgage loans.
 results institutional securities business.
 petroleum group.
 december 15 2006 acquired 60% equity stake olco petroleum.
 petroleum products marketer distributor eastern canada.
 results institutional securities business.
.
 december 4 2006 acquired.
 servicer originator residential mortgages.
 results institutional securities business.
.
4 2006 acquired frontpoint partners return investment strategies.
 asset management.
.
.
 17 2006 acquired goldfish credit card business.
 discontinued operations.
 acquisition price $ 1676 million paid cash february 2006.
 goodwill intangible assets $ 370 million.
 assets acquired liabilities assumed february 17 2006.
 consumer loans 1316
 goodwill 247
 amortizable intangible assets 123
 20
 acquired 1706
 liabilities assumed 30
 assets
 customer relationships $ 54 million trademarks 69 million.


effective january 1 2011.
 employees including.
 legacy bgi participate brsp.
 assets two bgi plans 401k retirement plan merged into brsp.
 employee contributions to 8% eligible compensation matched company 50%.
 annual retirement contribution 3-5% 3-5 % ) compensation.
 blackrock institutional trust company 401 k savings plan assumed 401 plan former bgi.
 employee contributions one year service matched 200% pre-tax contributions to 2% 2 % base salary overtime 100% next 2% base salary overtime.
 maximum matching contribution 6% base salary.
 bgi plan expense $ 12 million december 31 2010.
 january 1 2011 assets merged into brsp.
 blackrock institutional retirement plan assumed contribution money pension plan.
employees former bgi affiliates.
.
 payroll eligible participate.
 earning less than $ 100000 company contributed 6% 6 % compensation up to $ 100000.
 earning $ 100000 or more contributed 6% salary overtime up to $ 245000 2010.
 contributions 25% vested two years service 25% additional year.
 employees five or more years service retirement 100% vested.
 retirement plan expense $ 13 million december 2010.
 2011 assets merged into.
 blackrock group personal pension plan subsidiary contributes.
 contributes 6% 15% eligible compensation.
 expense $ 22 million $ 13 million $ 16 million years 2010 2009 2008.
 japan germany luxembourg.
 benefits frozen closed new participants.
 2008 transferred into new contribution plan future.
benefits change salary increases years service.
 company assumed defined benefit pension plans japan germany closed new participants.
 plans merged into blackrock plans japan germany.
 2010 2009 assets $ 19 million $ 10 million unfunded obligations less than $ 6 million $ 3 million recorded accrued compensation consolidated statements.
 benefit payments next five years.
 assets $ 16 million invested total return investment approach mix equity debt preserve values diversify risk return.
 strategies asset allocations based liabilities funded status.
.
 target allocations 45-50%.
 equity securities 50-55%.
 fixed income securities 0-5% cash equivalents.
 table fair value defined benefit japan plan assets december 31 2010 by asset category.
 inputs.
.

 cash equivalents $ 9 2014
 equity securities 4
 fixed income securities
 plan assets $ 13
 assets unfunded obligation defined benefit pension plan germany jersey immaterial financial statements december 31 2010.
 united kingdom assumed benefit plan former bgi employees.
 2010 2009 2008 expenses unfunded obligations immaterial financial statements.
 assumed requirement medical benefits


regulated subsidiaries discontinued operations.
 amounts statistics tables on-going operations.
 table regulated businesses revenue 2012 customers estimate population served december 31 2012 revenues estimated population.
 jersey revenues 639. 24. 9%. 9 % customers 639838 20. 3%. 3 % estimated population served 2. 5 21. 9%. 9 %
 pennsylvania 557. 21. 7%. 7 %. 8%. 8 %. 19. 3%. 3 %
 279. 10. 9%. 9 %. 4%. 4 %. 13 2%. 2 %
. 0%. 0 %. 8%. 8 %. 5%. 5 %
. 8%. 8 %. 2%. 2 %. 5%. 5 %
 california 193. 7 5%.174188. 5%. 5 %. 3%. 3 %
 west virginia. 4 9%. 9 % 172159. 4%. 4 %. 3%. 3 %
 seven states 2249. 87. 7%. 7 % 2697150 85. 4%. 4 %. 0 %
 314. 12 3%. 3 % 461076 14. 6%. 6 %. 0% 0 %
 2564. 100. 0%. 0 % 3158226. 11. %
 illinois-american water company.
 west virginia-american.
 subsidiaries georgia hawaii iowa kentucky maryland michigan new tennessee virginia.
 87. 7%. 7 % operating revenue. 7 million customers seven states.
 no customer 10% annual revenue.
 1500 communities 16 states.
assets include 80 surface water plants 500 groundwater plants 1000 wells 100 wastewater facilities 1200 treated water storage facilities 1300 pumping stations 90 dams 46000 miles mains pipes.
 regulated utilities own assets.
 land assets water.
 water in public trust allocated through contracts rights federal rights.
 maintaining reliability networks key.
 infrastructure renewal programs in states.
 rehabilitation replacement.
 water demands depends on adequate supply water.
 drought restrictions overuse.
 measures ensure adequate water.
 geographic diversity service areas weather extremes


westrock company financial statements 2018 2017 net losses $ 698. 4 million $ 673. 7 million carryforward.
 majority expire 2020 2038 portion indefinite.
 tax values losses $ 185. 8 million $ 182. 6 million 2018 2017 valuation allowances $ 161. 5 million $ 149. 6 million.
 state tax credit carryforwards $ 64. 8 million $ 54. 4 million.
 expire 5 10 years credits carried forward indefinitely.
 valuation allowances $ 56. 1 million $ 47. 3 million.
 uncertainty taxable income.
 valuation allowances deferred tax assets 2018 2017 2016.
 balance $ 219. $ 177. 100.
 50. 24
.
.
 end fiscal $ 229. $ 219. $ 177.
fiscal 2018 2017 mps acquisition.
 adjustments 2016 sp fiber acquisition.
 earnings foreign subsidiaries repatriation provide taxes.
 unremitted earnings differences subsidiaries indefinitely reinvested.
 taxes.
 september 30 2018 estimate outside difference subsidiaries approximately $ 1. 5 billion.
 purchase accounting adjustments undistributed earnings equity components.
 taxes reversal differences.
 distribution dividends dispositions incremental.
 income taxes adjustment foreign tax credits withholding taxes jurisdictions.
 determination unrecognized deferred tax liability remaining undistributed foreign earnings practicable.


realignment expenses.
 years 31 2009 2008 2007 millions.
 adjustment impairment acquired assets obligations $ -1. 5. -10 4.
 consulting professional fees 11. 13.
 employee severance retention share compensation acceleration 19.
 information technology integration.
 research development 38.
 vacated facilities.
 facility employee relocation 5. 7
 distributor acquisitions.
 litigation matters 23.
 contract terminations 9.
.
 acquisition integration realignment $ 75. 3 $ 68. 5 $ 25.
 adjustment impairment acquired assets obligations liabilities.
 consulting professional fees third-party integration consulting tax compliance logistics human resources severance termination benefits.
 legal fees acquired businesses acquisition.
2009 commenced global realignment initiative business opportunities strategic priorities.
 initiated changes work force eliminating positions increasing.
 300 employees affected.
 recorded $ 19. million severance employee termination costs.
 benefits provided policies ongoing.
 costs accrued recorded current liabilities.
 majority paid 2009.
 information technology integration non- capitalizable costs acquired businesses.
 in-process research development charges 2008 abbott spine.
 2007 endius orthosoft.
 2009 ceased using leased facilities recorded expense remaining lease payments sublease recoveries wrote-off assets.
 relocation.
 consolidated european distribution centers new center eschbach.
 acquired.
 foreign-based distributors.
 incurred costs acquisition integration.
 litigation matters.
 recognize expense potential settlement legal matter loss.
2009 matters avoid litigation costs.
 contract termination costs agreements acquired companies.
 sales distribution agreements.
 cash equivalents investments maturity three months less equivalents.
 carrying amounts valued cost fair value.
 certificates deposit cash deposits maturities three months certificates.
 amounts valued cost.
 inventories lower cost market first-in first-out.
 property plant equipment cost less accumulated depreciation.
 lives ten to forty years buildings three to eight years machinery equipment.
 maintenance repairs expensed.
 review property equipment impairment carrying value recoverable.
 impairment loss future cash flows less carrying amount.
 impairment loss carrying amount fair value.
.
2 0 0 9 consolidated financial statements c55340 043000000|02/24/2010 01:32 valid no graphics color d|


system electric delivery purposes franchises.
 terms expiration range 30 to 50 years.
 natural gas distribution. regulated intrastate gas sales transportation 3. million residential commercial industrial customers louisiana minnesota mississippi oklahoma texas.
 largest metropolitan areas houston minneapolis little rock shreveport biloxi lawton.
 2010 42% gas operations throughput residential 58% 58 % commercial industrial customers.
 table natural gas distribution customers state december 31 2010 residential industrial.
 arkansas
 louisiana
 minnesota
 mississippi
 oklahoma
 texas
 provides unregulated services heating ventilating repair sales equipment minnesota.
 demand intrastate gas sales transportation commercial industrial seasonal.
2010 71% throughput gas operations 2019 first fourth quarters.
 higher demand natural gas heating.
.
 2010 operations purchased natural gas supply four years.
 suppliers bp canada energy marketing.
 25. 6%. 6 % conocophillips. 3%. 3 tenaska marketing. 8%. kinder morgan. 3%. 3 % oneok energy 4. 7%. 7 % cargill.
 4. 6%. 6 %.
 suppliers 43. 7%. 7 % 2019 natural gas supply.
 transports gas intrastate interstate pipelines contracts one to twelve years.
 contracts expiration.
 commodity price stabilization.
 storage gas fixed prices financial derivative instruments.
 plans 25-50% winter supplies hedged.
regulations gas operations allow changes cost natural gas financial derivatives customers purchased gas adjustment provisions tariffs.
 adjustment factors updated monthly semi-annually estimated costs.
 changes regulatory bodies.


2018 annual report 10-k foreign currency translation offset cost reclassifications new revenue recognition standard.
 recognition 10-k cost management restructuring cost savings 2017.
 2016 administrative expenses decreased $ 1 million lower pension postretirement benefit costs selling advertising costs savings offset wage cost inflation expenses acquired businesses foreign currency translation charges income.
 2017.
 expense income $ 95 $ 85 $ 11. 8%.
 business restructuring $ 66 2014 $ 191.
 pension settlement charges $ 2014 $ 60 $ 968.
 charges $ 122 $ 74 $ 242.
 income $ 114.
 increased $ 10 million 2018 2017 long- term debt.
 income decreased $ 14 million 2017 lower interest rate debt.
pretax $ 83 million second quarter 2018 offset changes estimates $ 17 million.
 pretax charge $ 191 million 2016.
 note 8 restructuring.
 lump-sum payments retirees.
 pension plans $ 127 million.
 costs remeasured benefit obligation settlement charges $ 60 million 38 million after-tax.
 transferred $ 1. 8 billion.
 pension obligations insurance companies.
 remeasurement settlement pension plans.
 $ 968 million pre-tax settlement charge.
 note 13 benefit plans.
 2018 2016 higher environmental remediation.
 former chromium manufacturing plant.
 note 14 contingent liabilities.
 lower 2018 2016 gain sale mexican plaka business $ 25 million legal settlement $ 18 million.
 note 3 divestitures.


.
 discontinued operations second quarter 2012 authorized sale homecare business merchant gases.
.
 third quarter 2012 sold majority linde group proceeds 20ac590 million $ 777 gain $ 207. 70 per share.
 proceeds 20ac110 million $ 144 contingent retender arrangements.
 reflected payables accrued liabilities consolidated balance sheet 30 2013.
 return proceeds linde.
 fourth quarter 2014 payment liability gain $ 1.
 third quarter impairment charge $ 33. per share remaining business net realizable value.
 fourth quarter 2013 additional charge $ 18. per share net realizable value.
 first quarter 2014 sold remaining homecare business. million $. gain sale $ 2.
 operations guarantee contracts.
.
 results discontinued operations.
.$ 52. $ 258.
 before taxes. 3. 68.
 tax. 20.
 discontinued operations. 47.
 sale business tax. 120.
 discontinued operations tax $ 4. 168.
 assets liabilities discontinued operations homecare 2013 $ 2. 5 receivables $ 2. 4 payables liabilities.
 30 2014 no discontinued.


eastman notes financial statements income translation adjustment unfunded pension liability unrecognized loss service cost unrealized gains cash flow hedges losses investments balance december 31 2004 155 248 8 2 103.
 adjustment pension liability unrecognized loss service cost taxes unrealized gains cash flow hedges losses investments
 balance december 31 2004 -248 -8 -2 2 -103
 change -94 94 -7 -97
 balance december 31 2005 -255 255 ) -5 -1 -200 (
 change
. balance december 31 2006 207 -1 -93 ( )
 adjustments. -288 -81 81
 balance december 31 2006 -288 -6 -1 -174
.
balance december 31  2006 121 ( 207 ) 6 ) 1 ) 93 ) adjustments.
 207 288 ) 81 6 ) 1 174 cumulative translation adjustment income net taxes.
 adjustment earnings subsidiaries no taxes.
.
 compensation plans 2002 long-term compensation plan grants nonqualified stock options incentive stock options appreciation rights performance shares.
 options granted may 2 2007 purchase eastman common stock option price 100 percent per share fair market value.
 maximum 7. 5 million shares stock grants.
 compensation grants nonqualified stock options restricted shares nonemployee members board.
 first day directors initial term service annual meeting.
 options may 1 2007 purchase eastman common stock option price fair market value.


&gs 2019 operating profit decreased $ 60 million 8% 2014.
 attributable lower risk retirements reserves international offset severance recoveries restructuring 2013 $ 20 million.
 adjustments net profit $ 30 million lower.
 net sales decreased $ 479 million 5%.
 lower net sales $ 495 million decreased volume $ 320 million completion.
 offset higher net sales $ 340 million start-up programs.
 2019 operating profit decreased $ 49 million 6% 6 % 2013.
 lower operating profit $ 55 million programs offset higher operating profit $ 15 million start-up.
 adjustments comparable.
 backlog increased 2014 due international awards.
 extensions.
 offset declining activities warfighter support command control programs defense budget reductions.
backlog decreased 2013 lower orders eram higher sales declining activities smaller programs downturn federal technology budgets.
 expect 2019 net sales decline 2015 low competitive environment disaggregation delays offset increased sales acquisitions.
 operating profit decline 2015 driven volume intangible amortization 2014 acquisition activity margins lower 2014.
 provides air defense systems tactical missiles air-to-ground weapon systems logistics technical services fire control mission operations engineering manned unmanned ground vehicles.
 programs pac-3 thaad launch rocket system hellfire jassm javelin apache sniper ae low altitude navigation.
 operating results.
 net sales $ 7680
 operating profit
 margins 17. 7%. 4%. 8%.
 backlog year-end $ 13600
sales decreased $ 77 million.
 sales $ 385 million technical services volume $ 115 million tactical missile fewer deliveries high artillery


entergy corporation subsidiaries financial statements 12 month.
 31 2008 louisiana provisions.
 future minimum lease payments 7. 45%. waterford 3 sale leaseback transactions long-term debt.
 32452
 2010 35138
 2011 50421
 2012 39067
 2013 26301
 137858
 321237
 73512
 net minimum lease payments $ 247725
 grand gulf lease obligations 1988 system energy sold leased interests gulf $ 500 million.
 11. 5%. grand gulf.
 leases expire 2015.
 repurchase interests.
 repurchase fair market value renew leases market value fixed rate.
 2004 bonds.
 lower interest rate lease payments reduced lower costs.
 sale-leaseback financing transaction financial statements.
system energy expenses interest lease plant depreciation.
 operating revenues include recovery lease payments sale leaseback.
 audit report energy recorded difference recovery lease interest depreciation zero net balance end lease term.
 asset $ 19. 2 million $ 36. 6 million december 31 2008 2007.


entergy gulf states louisiana.
 management financial capital include internally generated funds cash debt membership interest issuances bank financing.
 refinance redeem debt equity interests maturity market conditions dividend rates.
 debt require regulatory approval.
 subject tests corporate charter bond agreements.
 capacity capital needs.
.
 filed application authority issue $ 200 million short- term debt $ 500 million tax-exempt bonds $ 750 million long-term securities.
 november 8 2007 issued orders authority two-year period ending november 8 2009.
 receivables money pool december 31 years.
 2008 2007 2006 2005
 11589 55509 64011
 note 4 financial statements.
 credit facility $ 100 million august 2012.
borrowings outstanding credit facility december 31 2008.
 may 2008 entergy gulf states louisiana issued $ 375 million 6. first mortgage bonds due may 2018.
 proceeds pay $ 325 million. bonds june 2008 not assumed entergy texas redeem $ 189. 7 million $ 350 million bonds december 2008 purposes.
 $ 325 million. paid maturity no longer outstanding.
 paid.
 rita katrina 2005 gulf states. louisiana texas.
 power outages damage electric infrastructure loss sales customers evacuations.
 entergy pursuing initiatives recover storm restoration business continuity costs losses.
 reimbursement costs insurance recovery mechanisms securitization.


.
 leases locomotives freight cars property.
 2017 2016 $ 1635 million $ 953 million depreciation $ 1997 million $ 1121 million.
 charge income depreciation depreciation.
 future minimum lease payments leases non 2017 capital.
 2018 $ 398 173
 2019
 2020
 2021
 2022
 minimum lease payments $ 2649 $ 1079
 interest
 payments $ 892
 97% 97 % capital lease payments locomotives.
 rent expense leases one month $ 480 million 2017 $ 535 million 2016 $ 590 million 2015.
 variable rental expense term.
 contingent rentals sub-rentals not significant.
.
 lawsuits subsidiaries.
 effect results operations financial condition liquidity.
 recorded liability asserted unasserted probable reasonably estimated.
 lawsuits claims environmental costs commitments contingent liabilities guarantees results financial condition liquidity.
 cost incidents.
 actuarial analysis expense liability unasserted.
 federal employers 2019 liability act compensation work-related accidents.
 damages assessed fault litigation-court settlements.
 services rehabilitation programs employees injured.
 personal injury liability not discounted uncertainty timing future payments.
 95% liability asserted 5% unasserted claims december 31 2017.
 uncertainty future costs $ 285 million to $ 310 million.
 record low end range loss probable.
 estimates vary.


kimco realty corporation subsidiaries financial statements uncertain tax positions subject income tax jurisdictions outside. canada mexico.
 statute limitations three to seven years jurisdiction tax issue.
 tax returns local tax authorities.
 under audit canadian revenue agency mexican tax authority.
 internal revenue service.
 2011 issued notice adjustment capital loss krs disposition shares valad property ltd. australian listed company.
 assert 100 percent 201d tax disallow capital loss deduction.
 impose 100 percent tax $ 40. 9 million capital loss.
 documentation business purpose transfer.
 disagrees irs 2019 section 482 disposition 100 percent penalty tax capital loss deduction.
 notice protest requested appeals office conference.
appeals hearing attended by management attorneys irs compliance group officer november 2014 compliance.
 management attorneys.
 consideration appeals officer.
 company believes.
 resolutions financial statements.
 adopted asu 2013-11 reclassified reserve for uncertain tax positions.
 canadian operations.
 unrecognized tax benefits deferred tax assets.
 reduced reserve $ 12. 3 million reduced deferred tax assets.
 total unrecognized tax benefits increase 12 months.
 uncertain tax positions deferred tax assets aggregated $ 10. 4 million.
 liability estimated foreign federal state income tax liabilities statute limitations.
 2008 through 2014.
 aggregate changes balance unrecognized tax benefits december 31 2014 2013.
 $ 4590 $ 16890
 increases tax positions 59 15
adoption 2013-11
 balance year $ 4649 $ 4590
 reclassified deferred tax asset adoption 2013-11.


nonoperating income excludes merger-over.
 decreased $ 249 million 2014 $ 149 million decrease special charges refinancing $ 100 million less interest expense.
 recognized $ 33 million charges non-cash interest bankruptcy settlement obligations.
 $ 138 million post-petition interest unsecured obligations.
 $ 44 million debt extinguishment costs repayment secured indebtedness cash interest charges non-cash write offs unamortized debt.
 2013 refinancing early extinguishment. $ 100 million less interest expense.
 $ 114 million foreign currency losses $ 43 million charge venezuelan foreign currency $ 56 million charges early debt extinguishment costs.
 foreign currency losses driven strengthening.
currencies 2014 latin american market 48% decrease venezuelan bolivar 14% 14 % decrease brazilian real.
 2013 foreign currency losses $ 56 million early debt extinguishment charges $ 29 million.
 reorganization items revenues expenses gains losses provisions chapter 11.
 reorganization items statement 31 2013 millions.
 labor-related claim $ 1733
 aircraft facility financing renegotiations rejections 325
 fair value conversion discount 218
 professional fees
 reorganization items $ 2655
 contributions reorganization reductions pay benefits employee deemed claim distribution equity reorganized entity.
 cost savings reductions pay work rule changes.
 total value approximately $ 1. 7 billion.
 modification financings aircraft unsecured claims facility agreements special facility revenue bonds.
debtors claim rejection financing


contents statutory surplus company insurance companies.
 december 31 2007 based on filings.
 2008 estimates approval connecticut insurance department two permitted practices financial statements life insurance subsidiaries.
 first practice accounting deferred income taxes.
 realization period to three years asset recognition limit 10% to 15% % adjusted statutory capital.
 surplus dividends.
 second practice reserving requirements variable annuities guaranteed living benefit riders.
 stand-alone asset analysis benefits.
 practice allows.
 life operations estimated statutory surplus of $ 987 as december 31  2008.
 included in 2008 life operations surplus.
 statutory capital stockholders equity.
 $ 9. 3 billion as of december 31  2008.
company 2019s estimated capital surplus national association insurance commissioners $ 13. billion as december 31 2008.
 differences between.
 stockholders equity capital surplus include.
 $ 6047 $ 5786
 property casualty operations
 $ 13777 $ 15915
 costs insurance policies deferred.
 expensed.
 differences book tax basis evaluated for recoverability.
 limitations.
 assumptions life benefit reserves conservative.
.
 methodologies life reserve amounts.
.
 annuity reserving cash-flow testing addressed by commissioners 2019 annuity reserving valuation methodology actuarial guidelines.
 future cash flows annuity business future fee revenues claim payments expenses reinsurance impacts hedging impacts.
december 31 2008 cash-flow impacts future hedging assumptions future decreases hedge benefits increases costs increased reserve requirements.
 reserves death living benefits.
 embedded derivatives recorded fair value or 03-1 reserves.
 difference amortized cost fair value fixed maturity investments recorded increase carrying value asset equity.
 stat records securities fair value lower rated bonds.
 market value adjusted fixed annuity products invested assets marked fair value credit spreads liabilities fair value credit spreads not reflected.
 life insurance reserve losses default equity risks reserve.
.
 gains losses interest rates defers amortizes gains losses income maturity asset interest maintenance reserve.
.
 goodwill acquisition business tested recoverability.
 goodwill amortized 10 years


. financial services group.
 consolidated financial statements.
 commitments contingencies future lease commitments december 31 2016 operating leases.
 42
 2018 35
 2019 28
 2020
 2021
 minimum lease payments $ 163
 future sublease income $ 2 2017 2018 2019 2020 2021.
 lease commitments office space automobiles office equipment.
 unfunded commitments december 31 2016 outstanding commitments $ 1. 6 billion $ 1. 2 billion partnership alternative investments investments expenses.
 $ 313 commitments private placement securities.
 $ 95 mortgage loans first half 2017.
 guaranty funds insurance assessments insurers guaranty fund.
 insolvency guaranty funds assess claims.
 assessments premiums.
 one two percent premiums.
states permit insurers recover assessments surcharges premium tax offsets permit recovery rate filing.
 liabilities guaranty insurance-related assessments accrued when probable estimated obligating occurred.
 not discounted included consolidated balance sheets.
 december 31 2016 2015 liability balance was $ 134 $ 138 .
 premium tax offsets $ 34 $ 44  included in assets.
 derivative commitments derivative agreements tied financial strength ratings legal entity.
 below counterparties demand collateralization settlement derivative positions.
 settlement amount determined by derivative positions.
 termination costs.
 aggregate fair value of derivative instruments-risk net liability december 31 2016 was $ 1. 4 billion.
. legal entities posted collateral $ 1. 7 billion.
company posted collateral $ 31 customized gmwb derivative.
 december 31 2016 downgrade one level below financial strength ratings s&p additional assets collateral.
 downgrade two levels below ratings additional $ 10 assets collateral.
 collateral amounts could change market values hedging activities contractual terms.
 collateral.
 treasury bills.
 treasury notes government agency securities.
 company agreed to indemnify purchasers for losses breaches representations warranties covenants obligations.
 obligations subject to time limitations.
 obligation subject contractual limitations not.
 company expect payments on guarantees not carrying liabilities.


2013 management financial earnings $ 35. 4 million $ 1. 18 share 2004 $ 52. 2 million $ 1. 76 2003 $ 51. 3 million. 2002.
 cost manufacturing inefficiencies.
 flat stock offering.
.
 working capital $ 339. 8 million 2004 $ 305. 9 million $ 225. 1 million.
 $ 33. 9 million increase 2004. million receivable balances longer payment terms higher sales.
 $ 13. 5 million lower inventory $ 14. 3 million higher accounts payable balances.
 $ 80. 8 million increase 2003 46. 6 million higher manufacturing repositioning product introductions.
 receivable balances $ 21. 2 million higher price increases international sales.
 $ 13. million increase offset $ 9. 4 million restructuring expenses 2003.
working capital 2005.
 cash $ 67. million $ 29. 2003 $ 116. million 2002.
 lower earnings 2004 smaller investment capital improvement cash flow.
 higher investment 2003 difference expenditures $ 48. million 2004 2003 $ 2. million higher 2002.
 increase product launches water systems.
 projecting 2005 capital expenditures $ 55 million.
 facilities capital expenditures.
 $ 265 million five-year revolving credit facility eight banks.
 expires 10 2009 replaced $ 250 million facility expired 2004.
 facility backs commercial credit line borrowings.
 long-term debt.
 december 31 2004 borrowing capacity $ 153. million.
 operations.
 issued $ 50. million senior notes insurance companies 2003.
 2016 interest rate less 4. percent.
 commercial paper borrowing.
leverage debt capitalization 32 percent 2004 2003.
 contractual obligations december 31 2004.
 less than 1 year 1 - 3 - 5
 long-term debt $ 275. $ 8. $ 13. $ 138. $ 114.
 capital leases 6.
 operating leases 62. 14. 20. 11. 16.
 purchase obligations 177. 176.
 $ 521. $ 199. $ 35. $ 155. $ 130.


2016.
 2015 sales $ 498. increased $ 212. 74%.
 increase driven jazan project decrease equipment air separation sales.
 2016 $ 300 sales jazan project.
 loss $ 21. decreased 59% 59 % $ 30. income jazan project cost reduction offset lower equipment activity gain cancellation contract 2015.
 businesses lng equipment liquid helium hydrogen transport storage support.
 foreign exchange gains losses stranded costs.
 support.
 reimbursed air products short-term transition services agreements.
 consolidated income statements.
 sales $ 82. $ 236. $ 315.
 loss -170. ( 170. -87. -86.
 -158. 158 -68. -66.
.
 2016 sales $ 82. decreased $ 153. due lower lng project activity.
expect weakness lng project orders due oversupply lng.
 operating loss $ 170. increased $ 83. due lower lng activity offset by productivity improvements income transition service agreements versum evonik.
 2016.
 2015 sales $ 236. decreased $ 79. 25% due lower lng equipment activity.
 operating loss $ 87. increased 1% $. due lower lng activity offset cost reduction lower foreign exchange losses.
 reconciliation non-gaap financial measures presented financial measures non-gaap reconciliation comparable measure.
 not.
 non-gaap measures provide supplemental information financial performance future results.
 non-gaap measures determined exclude disclosed items.
 air products core industrial gases business.
 resulted cost reduction asset actions.
 may incur similar expenses future.
tax impact non- gaap adjustments reflects current deferred income tax statutory tax rate taxability.
 consider limitations non-gaap measures comparability.


american tower corporation subsidiaries financial statements six-month.
 average value share espp purchase options 31 2012 $ 14. 83 $ 13. 42 $ 13. 64 .
. million shares future.
 black-scholes pricing model shares.
 risk-free interest rate. 06%. % 11% 11 %. 07% % % 12 %
 average risk-free interest rate. 09% 09 %. 10 %. %
 life shares 6 months
 volatility stock price option 11. 29%. 29 %. 59%. % 21 % 57%. % % 86%. 86 %
 average volatility stock price. 14%. %. 88%. 88 %. 54%. 54 %
 annual dividend yield. 50%. 50 %.
.
mandatory convertible preferred stock offering may 12 2014 company completed public offering 6000000 shares 5. 25%. value $ 0. 01 per share.
 net proceeds $ 582. 9 million commissions expenses.
 used acquisitions richland funded 2013 credit facility.
 each share may 15 2017 0. 9174 1. 1468 shares common stock market value anti-dilution adjustments.
 holders convert shares common stock minimum conversion rate.
 dividends shares payable cumulative board annual rate 5. 25%. liquidation preference $ 100. 00 per share february may 15 august 15 november 15 year 2014 2017.
 pay dividends cash shares common stock.
 unless full cumulative dividends paid no dividends paid common stock.
repurchase program 2011 approved repurchase program authorized purchase $ 1. 5 billion common stock.
 2013 suspended repurchases acquisition mipt.
 authorized purchase shares open market prevailing prices securities laws legal requirements subject market conditions.


ilim holding s.
 shareholder 2019s agreement october 2007.
 joint venture international paper agreement provisions reconciliation disputes partners.
 agreement company or partners commence procedures deadlock agreement.
 company may purchase partners' 50% interest ilim.
 transaction review approval russian anti-trust authorities.
 company estimates purchase price 50% interests approximately $ 1. 5 billion satisfied cash international paper common stock.
 purchase interest ilim's financial position results operations.
 parties no intention commence procedures deadlock provisions.
 critical accounting policies estimates financial statements requires international paper accounting policies estimates assets liabilities revenues expenses.
 estimates judgments.
 accounting for contingencies impairment disposal long-lived assets goodwill pensions postretirement benefit obligations stock options income taxes.
company discussed accounting policies estimates with audit finance committee board directors.
 contingent liabilities recorded when probable incurred asset impaired loss estimated.
 legal require judgments projected outcomes loss based experience recommendations legal counsel.
 environmental require evaluations regulations estimates future remediation alternatives costs.
 impairment long-lived assets goodwill carrying amount exceeds fair value not recoverable.
 goodwill exceeds.
 assessments impairments future operations.
 testing for impairment goodwill asset balances required annually.
 require estimation future cash flows fair market value estimates future selling prices costs.
 impairment analyses reflect estimates projections.
 accounting standards testing goodwill for impairment two-step process.
 fair value reporting units compared with carrying value.
fair value exceeds carrying value goodwill not impaired.
 fair value below step two goodwill impairment loss.
 value assets liabilities unrecognized assets.
 implied fair value calculated excess value over.
 carrying value reduced to implied value or zero exceeds impairment charge.
 analysis requires judgments management.
 debt-to-capital ratio less than 60%.
 net worth common stock paid-in capital earnings treasury stock goodwill impairment charges.
 excludes income/loss nonrecourse liabilities.
 total debt-to-capital ratio debt divided by plus net worth.
 debt covenants at 31 2016 below thresholds.
 upon debt capital markets long-term funding.
 funding decisions guided by capital structure planning objectives.
 maximize financial flexibility liquidity interest expense.
international paper 2019s debt accessed capital markets.
 investment grade credit rating important financing strategy.
 credit ratings bbb baa2 s&p 2019s.
 obligations future.
 2020 2021
 maturities long-term debt $ 239  $ 690 $ 433 $ 179 $ 612 $ 9161
 lease
 purchase obligations 3165  635  525  460 2332
 $ 3523  $ 1416 $ 1027 $ 725 $ 1110 11618
 scheduled principal payments.
 $ 2 billion fiber supply agreements 2006 2008.
 $ 1. billion agreements 2016 acquisition weyerhaeuser pulp business.
 unrecognized tax benefits $ 77 million.
 undistributed earnings foreign subsidiaries indefinitely reinvested.
taxes provided.
 december 31 2016 cash reinvested foreign earnings $ 620 million.
 repatriate funds domestic liquidity debt service.
 pension obligations projected benefit obligation.
 benefit plans.
 $ 3. 4 billion higher than fair value plan assets.
 $ 3. billion relates plans minimum funding requirements.
 differs from present value benefits.
 2008 worker retiree employer recovery act passed.
 pension funding relief technical corrections.
 funding contributions depend funding method timing demographic data targeted funding level.
 contributions $ 750 million 31 2016 2015.
 required contributions 2017 future voluntary contributions.
 factors earnings assets interest rates.
 international paper opportunity employees retirement plan request early payment pension plan benefit.
 total payments approximately $ 1.2 billion june 30 2016.
 remeasurement.
 unamortized loss $ 439 million non-cash charge earnings second quarter 2016.
 additional payments $ 8 million $ 9 million third fourth quarters mandatory cash sum pension plan remeasured september 30 december 31 2016.
 non-cash charges $ 3 million third fourth quarters.


company concluded acquisition sentinelle medical business combination no financial information provided.
 2019s results include sentinelle medical breast health reporting segment.
 sentinelle medical acquisition purchase under asc 805.
 purchase price $ 84. 8 million cash payment net adjustments three contingent payments $ 250. 0 million.
 payments based incremental revenue growth two-year period six 12 24 months.
 recorded fair value contingent consideration liability future revenue projections medical assumptions.
 projections discounted 16. 5%.
 based-average cost capital credit risk premium-performance.
 resulted initial contingent consideration liability $ 29. 5 million adjusted periodically based changes fair value revenue growth.
 measurement level 3 measurement re-evaluated assumptions updated revenue probability assumptions future lowered projections.
adjustments offset accretion liability discount rate 17. reversal expense $ 14. million 2011 contingent consideration liability fair value.
 second quarter 2011 first earn-out period adjusted value results.
 payment $ 4. 3 million third quarter 2011.
 fair value $ 10. 9 million.
 equity awards.
 incurred third-party transaction costs $ 1. 2 million expensed general expenses 2010.
 purchase price.
 cash $ 84751
 contingent consideration 29500
 purchase price $ 114251
 hologic not not warranted.
 assumes risks damages losses.
 guarantee future.


entergy texas.
 revenue 2008 2007 operating revenues fuel expenses gas power expenses regulatory charges.
 analysis change net revenue 2008 2007.
.
 2007 net revenue $ 442.
 volume/weather -4.
 reserve equalization.
 securitization transition charge.
 fuel recovery.
.
 2008 net revenue $ 440.
 volume/weather variance due decreased usage unbilled sales period.
 estimates.
 reserve equalization variance lower entergy system generation mix.
 securitization transition charge variance due issuance bonds.
 entergy gulf states reconstruction funding issued securitization bonds.
.
 fuel recovery variance due reserve potential rate refunds first quarter 2007.
 variance operational effects jurisdictional separation revenues fuel purchased power expenses.
operating revenues fuel power expenses regulatory charges increased $ 229. 3 million increase $ 157 million fuel cost recovery revenues higher rates usage offset interim fuel refunds november 2007.
 two 2008.
 increase $ 37. 1 million wholesale revenue cost energy transition charge securitization bonds.
 interim surcharge $ 10. 3 million under-recovered capacity costs july 2007.
 two-month 2008.
.


simplify deferred income taxes complexity.
 financial position results cash flows.
.
 acquisitions 2015 acquired 100% equity endomondo.
 purchase price $ 85. million adjusted working capital.
 recognized $ 0. 6 million $. 8 million acquisition costs expensed march 2015 december 31 2014.
 costs included consolidated statements income.
 march 2015 acquired 100% equity.
 transaction value $ 474. million.
 $ 463. 9 million accelerated vesting share awards costs shareholders.
 funded $ 400. million increased loan borrowings revolving credit facility remaining funded cash recognized $ 5. 7 million acquisition costs expensed months march 31 2015.
 included consolidated statement income.represents consolidated income statement mfp included results december 2015 2014.
 2015
 net revenues $ 3967008 $ 3098341
 net income 231277 189659
 calculated accounting policies adjusting results mfp acquisition closed january 1 2014.
 net income 2014 includes $ 5. 7 million transaction expenses included 2015 excluded.


corporation subsidiaries statements 31 2008 lease payments. 13%. long-term debt.
 2009 47760
 2010 48569
 2011 49437
 2012 49959
 2013 50546
 103890
 350161
 lease payments $ 295304


holdings.
 2013 10-k annual report financial statements unrealized gains losses cash flow hedges available-sale securities amortization service costs actuarial assumptions.
 repurchases common stock reduction stockholders.
 reissue common stock treasury limited purposes.
 2011 investment controlling interest not 100 percent equity.
 purchased additional shares minority shareholders.
 financial statements.
 adopted accounting standard updates income balance sheet offsetting derivative assets liabilities.
 financial statement disclosure requirements impact financial position operations cash flows.
.
.
 accounting pronouncements financial position cash flows.
.
 share-based compensation stock options restricted stock units employee stock purchase plan.
 expense.
 years december 31, 2013 2012 2011
 options $ 24. $.$ 41.
 23. 22. 18.
 expense pre-tax 48. 55. 60.
 tax. 6 15. 17.
 expense tax $ 32. $ 38. 42.
 share-based compensation cost 2013 2012 2011 $ 4. 1 million $ 6. 1 million $ 8. 8 million.
 $ 2. 4 million $ 3. 3 million costs goods inventory.
 two equity compensation plans 2009 stock incentive non-employee.
.
 awards granted 2006 2009 shares merged 2009 plan.
 unvested options restricted stock 2001 december 31 2013.
 reserved maximum shares common stock.
 registered 57. 9 million shares.
 2009 plan nonqualified stock options incentive long-term performance awards restricted stock appreciation rights.
 committee determines grant date annual grants.
annual grants 2009 plan executive officers first quarter earnings announcements.
 stock plan non-employee directors stock options restricted stock rsus.
 issue common stock unissued shares except.
 total awards limited.
 december 31 2013 10. 4 million shares available future grants awards.
 stock options vest four years maximum life 10 years.
 vesting accelerate retirement first anniversary criteria.
 expense stock options period estimated forfeiture rates.
 requisite service period one to four years.
 granted exercise price equal market price common stock grant except local law.


agreements pulpwood processing energy one to twenty years fixed prices.
 commitments.
 2010 $ 6951
 2011 5942
 2012 3659
 2013 1486
 2014
 25048
 $ 44572
 agreements not marked.
 purchased $ 37. 3 million $ 29. 4 million $ 14. 5 million 2009 2008 2007.
 legal actions.
 claims.
 believes financial position cash flows.
 environmental liabilities costs uncertain cleanup costs governmental laws regulations alternative cleanup technologies.
 1994 2009 remediation costs mills plants $ 3. 2 million.
 2009 environmental reserve $ 9. 1 million landfills surface impoundments remedial projects.
 contingencies estimates costs.
 estimates may change.
company believes future environmental expenditures asset retirement obligations above $ 9. 1 million december 31 2009 financial condition results cash flows.
 sale pca containerboard corrugated products business liability facilities waste disposal environmental liabilities closed landfill city mill.
.
 retirement obligations landfill capping post-closure costs.
 pca required perform capping closure landfills.
 recognizes liabilities financial statements december 31 2009


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.
 disclosure requirement item 5. report form 8-k amendment waiver information website.
 additional information proxy statement annual meeting stockholders securities exchange commission 120 days fiscal year.
 item 11.
 executive compensation.
.
 item 12.
 security ownership.
 equity compensation plans employees officers directors.
 table information fiscal year 30 2006 shares common stock stock option plans equity incentives approved.
 number securities exercise price adjusted two-for-one stock split november 30 2005.
equity compensation plan securities issued options warrants rights future approved security holders.
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. equity compensation plans approved security holders
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 securities issued options warrants rights-average price warrants future issuance equity compensation plans equity compensation plans approved security holders.
 not approved security holders.
.
 1997 employee equity incentive 2000.
.
1997 employee equity incentive plan adopted board 1997 attract retain employees consultants advisors incentive assist performance goals enable participate long-term growth.


decrease 2016 tax rate due asset impairments.
 restructuring brazilian tax basis long-term.
 2015 rate impacted items.
.
.
 tax expense increased $ 101 million 27% ( 27 % ) to $ 472 million 2015.
 effective tax rates 41% ( 41 % ) 26% ( 26 % ) years 2015 2014.
 increase 2015 tax rate due nondeductible 2015 impairment goodwill.
 withholding taxes offset valuation allowance businesses brazil vietnam.
 2014 rate impacted sale 45% % interest masin aes pte ltd. sale.
 projects.
 income tax expense.
.
.
.
 tax rate reflects operations outside. taxed lower.
 rate 35% ( 35 % ).
 future change income could impact tax rate.
company benefits reduced tax rates commitments employment capital investment.
 note 21 2014income taxes.
 foreign currency transaction gains millions.
 years 2016 2015 2014
 aes corporation -50 -31 -34 34
 chile
 colombia -8
 mexico -6
 philippines
 united kingdom
 argentina
 -2
 -15 $ 107
 gains $ 17 million $ 247 million $ 172 million foreign currency derivative contracts 2016 2015 2014.
 net foreign currency transaction loss $ 15 million 2016 losses $ 50 million aes corporation losses intercompany notes swaps options.
 offset gains $ 37 million argentina foreign currency derivatives government.
company recognized net foreign currency gain $ 107 million year 2015 $ 124 million argentina foreign currency derivatives offset losses devaluation argentine peso.
 debt losses termoandes.
 subsidiary cash receivable balances $ 29 million colombia depreciation colombian peso.
 liabilities $ 11 million united kingdom depreciation pound sterling gains ballylumford holdings.
 notes


income statement income 2009 $ 2. billion 2008 $ 914 million.
 results national city fourth quarter $ 687 million after-tax gain blackrock acquisition.
 increases due results city.
 item 8.
 income margin.
 income $ 9083 $ 3854
 margin 3. 82%. 82 %. 37%. 37 %
 interest-earning assets yields liabilities rates noninterest-bearing sources funding.
 2013.
 net interest income 2009 interest-earning assets national city net interest margin.
 3. 82%. 82 % 2009. 37%. 37 2008.
 decrease rate accrued interest-bearing liabilities 97.
 deposits decreased 107 points.
 offset 45 point decrease yield interest-earning assets.
 loans decreased 30 points.
 noninterest-bearing sources funding decreased 7 points.
federal funds rate. 16%. 2009. 94%. 2008.
 net interest income 2010 lower cash recoveries impaired loans higher yielding assets rising interest rates.
.
 noninterest income $ 7. 1 billion 2009 $ 2. 4 billion 2008.
 gain blackrock/bgi transaction $ 1. 076 billion impairments debt securities $ million gains $ 550 million mortgage $ 355 million commercial mortgage loans $ 107 million gains $ 103 million blackrock losses private equity $ 93 million.
income 2008 debt $ 312 million gains $ 246 million blackrock ltip shares losses mortgage loans $ 197 million losses private equity $ 180 million income hilliard lyons $ 164 million $ 114 million gains $ 106 million gain $ 95 million redemption visa shares.
 asset management revenue increased 172 million $ 858 million 2009 686 million 2008.
 equity markets business higher equity investments.
 assets $ 103 billion.
.
 consumer services fees $ 1. 290 billion.
 charges deposits $ 950 million 372.
 national city acquisition.
 consumer spending


entergy louisiana subsidiaries management financial may refinance redeem retire debt prior maturity market conditions interest distribution rates favorable.
 debt membership interest issuances require regulatory approval.
 subject issuance tests bond.
 capacity capital needs.
 receivables money pool december 31 years.
 2016 2015 2014 2013
 thousands $ 22503 $ 6154 $ 2815 $ 19573
 note 4.
 credit facility $ 350 million august 2021.
 letters credit against 50% borrowing capacity.
 no cash borrowings $ 6. 4 million letter of credit outstanding.
 uncommitted letter of credit facility.
 $ 5. 7 million letter credit.
 note 4.
 fuel company entities two credit facilities $ 105 million $ 85 million may 2019.
.8 million letters credit commercial paper entergy louisiana waterford no cash borrowings river bend.
 4.
 entergy louisiana authorizations 2017 2022 short-term borrowings $ 450 million long-term borrowings security issuances long-term borrowings.
 4 borrowing limits.
 hurricane 2014 lpsc quantified $ 290. 8 million restoration costs determined $ 290 million storm reserves authorized entergy louisiana act 55 financing granted relief.
 louisiana $ 30. 8 million benefits annual credits $ 6. 2 million five years.
 approvals act 55 financings louisiana utilities restoration corporation louisiana state bond commission.
 note 2 statements 2014 issuance.


republic services.
 financial statements 2014 discount rate obligations benefit payments high quality bonds pension plan date.
 yield curve discount rate.
 yields.
 term obligation retirement dates ten years.
 evaluated historical performance long-term return projections assets asset mix timing pension plan outflows.
 total return investment approach equity fixed income investments long-term return prudent risk.
 plan expenses outperforming liabilities.
 risk tolerance plan liabilities funded status financial condition.
 investment portfolio diversified equity fixed income investments.
.
.
 capitalizations.
 derivatives market exposure leverage portfolio beyond market value.
 risk monitored annual liability measurements asset liability studies portfolio reviews.
 target asset allocation 2014 december 31 2013 defined benefit pension plan.
targetassetallocation
 debt securities 70% ( 70 % )
 equity securities 30
 100% ( 100 % )
 2015 investment strategy pension plan assets broadly diversified portfolio average long-term return 6. 35%.
. portfolio.
 assets allocated debt equity portfolios fluctuations returns.
 asset allocation target ranges strategies reviewed periodically independent consulting firm.


liabilities entities represent additional claims on assets.
 creditors have claims on assets variable interest entities.
 company future payments unconditional purchase obligations.
 unconditional purchase obligation arrangements entered product.
 capital lease debt obligations totaled $ 3. 5 billion at recognized liabilities in consolidated balance sheet.
 operating lease obligations unconditional purchase obligations totaled $ 1. 7 billion not recognized liabilities balance sheet.
 summary contractual obligations at end fiscal 2008.
 contractual obligations less than 1 year 1-3 years 3-5 years 5 years
 long-term debt $ 3531. 15. 521. 751. 2242.
 lease obligations 514. 89. 148. 106. 170.
 purchase obligations 1199. 1078. 104.16. 3. 7
 $ 5245. 9 $ 1183. $ 773. $ 875. $ 2414.
 purchase obligations reflect $ 374 million open purchase orders not legally binding.
 settlable less one year.
 company obligated pay interest long-term debt obligations.
 average interest rate 7. 2%.
 consolidates assets liabilities aircraft.
 variable interest primary beneficiary.
 include $ 54 million liabilities creditors.
 debt additional claims assets.
 creditors claims entities.
 obligated rental payments $ 67 million variable interest entities $ 7 million due less than one year $ 13 million one to three years $ 47 million three to five years.
 not reflected table.
 arrangements future cash payments.
 commercial commitments not recognized as liabilities


paper maintain investment-grade credit access capital markets.
 held credit ratings bbb baa3 investor services.
 $ 1. 5 billion 2005 compared $ 2. 1 billion 2004 $ 1. 5 billion 2003.
 major components earnings non-cash working capital.
 declined $ 83 million 2005 2004.
 increase $ 612 million 2004 2003.
 working capital receivable $ 2. 6 billion.
 increased $ 591 million 2005 $ 86 million increase 2004 $ 11 million increase 2003.
 increase due decline accrued liabilities.
 $ 1. 2 billion 2005 84% comparable $ 1. 2 billion 87% 2004 $ 1. billion 74% 2003.
 presents capital spending business segments 2005 2004 2003.
.
printing papers $ 658 590 482
 industrial packaging 187 179
 consumer packaging 131 205
 distribution
 forest products 121 126
 specialty businesses 31
 1137 1144 939
 corporate 18 54
 operations $ 1155 1176 993
 capital expenditures 2006 $ 1. 2 billion 80% depreciation amor tization.
 businesses north america growth.
 international paper acquired 65% $ 80 million debt $ 40 million.
 2005 purchased 50% interest $ 46 million.
 2001 25% interest.
 balance sheet 2005 assets liabilities $ 50 million goodwill.
 2004 acquired usa holdings.
 $ 400 million $ 197 million debt $ 193 mil repaid july 31 2004.
 purchase method.
results included statement.
 debt issuances $ 1. billion retirements $ 2. 7 billion net debt securities reduction $ 1. 7 billion.
 international paper investments. subsidiary issued $ 700 million long-term debt interest rate libor 40 maturity november 2010.
 borrowed $ 70 million interest rate libor maturity november 2006.
 borrowings sale $ 190 million notes coupon rates. 8%. 10% maturities 2008 to 2029.
 remaining proceeds debt reductions first quarter 2006.


consolidated financial statements 2013 millions estimated future benefit payments.
 domestic pension foreign pension postretirement benefit.
 2019 14. 21.
 2020.
 2021. 19
 2022.
 2023.
 2024 2028.
 future payments domestic postretirement benefit plan.
 federal subsidies medicare prescription modernization act 2003 $. 3 year.
 domestic employees.
 pre-tax after-tax investment alternatives.
 contributions years service.
 2018 2017 2016 $ 52. $ 47. 2 $ 47.
 company contribution $ 6. $ 3. 6 $ 6. offset forfeitures $ 5. $ 4. 6 $ 4. 2018 2016.
 contribution plans foreign countries contributed $ 51. $ 47. $ 44. 5
deferred compensation benefit arrangements defer salary contribute account.
 deferred plus interest conditions service age retirement termination.
 2018 2017 deferred compensation benefit liability balance was $ 196. 2 $ 213. 2.
 expensed 2018 2017 2016 $ 10. 0  $ 18. 5 $ 18. 5 .
 purchased life insurance policies.
 cash surrender value $ 177. 3 $ 177. 4.
 long-term disability plan income replacement benefits unable job.
 insured no obligation required.
 covered health life insurance benefits retirement recorded obligation of $ 5. 9 $ 8. 4 december 31 2018 2017.


payments billings revenues costs recorded liabilities.
 property equipment depreciable properties recorded depreciated over lives.
 major improvements capitalized maintenance repairs minor improvements expensed.
 costs computer software capitalized amortized over life not nine years.
 leasehold improvements amortized lives lease.
 remaining assets depreciated straight-line method.
 land improvements
 buildings improvements
 capitalized software costs
 machinery equipment
 evaluates recoverability property plant equipment.
 cash flows profitability factors fair value.
 impairment charges.
 incremental borrowing rate lease classification lease term renewal options.
 operating leases.
 lease agreements incentives tenant improvements rent holidays escalation.
 records deferred rent liability amortizes lease reduction rent expense.
rent holidays escalation clauses lease term company records rental expenses lease.
 lease incentives uses initial possession commencement date right access space improvements.
 goodwill intangible assets performs impairment tests goodwill november 30 each year carrying value net assets to fair value operations.
 less second step goodwill impaired estimated fair value carrying value.
 purchased intangible assets amortized straight-line pattern benefits useful lives carrying value reviewed for impairment.
 equity method investments majority accounted included consolidated.
 investments align integrated with operations share net earnings losses included in operating income.
 evaluates equity investments for temporary impairment.
 decline value loss recorded in earnings current period.
 self-insured group medical insurance company maintains plan.
coverage employees dependents.
 estimated liabilities


item 5.
 market common equity stockholder issuer purchases table presents quarterly high low share sale prices common stock new stock exchange 2008 2007.
 march 31 $ 42. $ 32.
 june 30 46. 38
 september 30 43.
 december 31 37. 19
 march 31 $ 41. $ 36.
 june 30 43. 84 37
 september 30 45. 36
 december 31 46. 53
 february 13 2009 closing price common stock $ 28. 85 per share.
 397097677 outstanding shares 499 registered holders.
 never paid dividend common stock.
 retain future earnings fund development growth business.
 indentures 7. 50% notes. prohibit dividends financial covenants.
. restrict pay dividends covenants.
spectrasite subsidiaries unrestricted 7. 50%. 125%. notes subsidiaries restrictions cash loan agreement securitization transaction.
 information restrictions revolving credit facility loan see item 7 annual report 201cmanagement financial condition results operations 2014liquidity capital resources liquidity 201d note 6 consolidated financial statements.


tower cash flow adjusted consolidated non-tower non-gaap financial measures.
 required provide metrics 7. 50%. 125%. included material agreements covenants compliance financial results impact liquidity.
 table presents tower cash flow adjusted consolidated non-tower cash flow company restricted subsidiaries defined indentures.
 tower cash flow three months december 31 2008 $ 188449
 consolidated cash flow 726954
 tower cash flow -741565
 four times tower cash flow 753798
 adjusted consolidated cash flow 739187
 non-tower cash flow $ -14611


plan account invested shares pnc common stock.
 amendment participants 50 or older diversification option.
 employee benefits expense $ 52 million 2007 2006 $ 47 million 2005.
 fair value shares cash.
 hilliard lyons sponsors contribution plan employees.
 contributions cash base contribution matching contributions discretionary profit sharing contribution.
 benefits expense $ 6 million 2007 $ 5 million 2006 $ 6 million 2005.
.
 separate contribution plan covers pfpc employees not.
 401 ( k ) esop feature.
 contributions 6% compensation matched annually performance.
 employed december 31.
 matching contribution shares pnc common stock.
 mandatory contributions cash basic transitional contributions.
 invested investment options pnc common stock fund blackrock mutual funds.
november 22 2005 amended plan pnc stock investments.
 50 older.
 employee benefits expense $ 10 million 2007 $ 9 million 2006 $ 12 million 2005.
 measured fair value shares cash.
 nonqualified supplemental savings plan.
 long-term incentive award plans stock options nonqualified stock options stock appreciation rights incentive shares units restricted executives non-employee directors.
 awards paid stock cash.
 stock-based compensation awards first quarter.
 december 31 2007 no incentive stock options appreciation rights outstanding.
 options market value common stock.
 1999 exercisable.
 prior 1999 12 months after grant.
 after 10 years.
 cash shares market value.
 owned shares.
 options three-year period employee retires pnc.
options granted sfas 123r recognized compensation expense three-year vesting period.
 employee retired accelerated expensing unrecognized compensation costs retirement date.
 compensation expense options retirement-eligible employees after january 1 2006.
 summary stock option activity.
 options price
 $ 37. 2013 76. 59. 14950
 68. 76. 72. 2170
 37. 74. 54.
 38. 75. 69.
 37. 76. 62. 14326


revenue per car 2008.
 agricultural $ 3286  $ 3080  $ 3352 7% 7 % 8
 automotive 2082  1838
 chemicals 2874 2761 2818
 energy 1697  1543 1622
 industrial products 2461  2388  2620
 intermodal 974  896  955
 $ 1823  $ 1718  $ 1848  6% 6 % 7 ) %
 agricultural products volume fuel surcharges price improvements increased agricultural freight revenue.
 midwest demand mexico corn feed grain shipments.
 ethanol plants california idaho.
 ethanol plants ceased lower ethanol margins.
 export demand.
 increased.
 declines wheat.
 feed animal protein increased agricultural shipments.
volume fuel surcharges freight revenue.
 price improvements offset.
 lower demand fewer shipments corn feed grains 11%.
 weaker demand reduced shipments wheat grains.
 37% 24% increases finished vehicles automotive parts pricing gains fuel surcharges improved freight revenue.
 economic poor sales reduced production reduced shipments fuel surcharges reduced freight revenue.
 vehicle shipments down 35% 35 % parts 24% 24 %.
 pricing gains declines.
.
 automotive manufacturers bankruptcy production.
 federal car allowance rebate system sales production cuts demand offset.


devon energy corporation subsidiaries financial statements 2014 methods assumptions values tables.
 fixed-income securities.
 treasury obligations bonds asset-backed securities.
 actively traded redeemed demand.
 values based quoted market prices.
 commingled funds long-term bonds.
 treasury securities.
 not actively traded.
 based net values investment managers.
 equity securities commingled global equity fund large mid small stocks.
 redeemed not actively traded.
 based net values investment managers.
.
 large small international.
 actively traded redeemed demand.
 based quoted market prices.
 commingled fund large capitalization companies.
 redeemed not actively traded.
 values based net asset values investment managers.
 commingled short-term investment funds.
securities redeemed not actively traded.
 values based net values managers.
 devon 2019s hedge fund investments traded mutual fund long short.
 hedge fund not traded subject redemption restrictions.
 hedge fund manager.
 changes level 3 assets.
 31 2009 $ 51
 purchases 3
 returns
 2010
 purchases
 returns
 31 2011 $ 90


aes corporation financial statements 2014 december 31 2011 2010.
 impairment expense year december 31 2011 millions.
 wind turbines deposits $ 116
 52
 42
 15
 $ 225
 third quarter 2011 evaluated future use wind turbines storage.
 reduced turbine market pricing advances technology turbines sold before end useful lives.
 non-refundable deposits purchase not recoverable.
 purchase advanced lower cost turbines.
 impairment indicators $ 161 million not recoverable reduced estimated fair value $ 45 million.
 asset impairment expense $ 116 million.
.
 2012 forfeited deposits full impairment charge third quarter 2011 no obligation further payments turbine supply agreement.
 sold turbines storage fourth quarter 2011 future use turbines.
company determined likely sold not actively marketed sale reconsidering use turbines development activity.
 possible turbines incur loss market conditions technology.
 tisza ii fourth quarter 2011 900 mw negotiations offtaker.
 determined indicator impairment existed december 31 2011.
 performed asset impairment test ii asset group not recoverable.
.
 $ 94 million exceeded fair value $ 42 million asset impairment expense $ 52 million months december 31 2011.
 tisza ii reported europe generation segment.
 kelanitissa recognized asset impairment expense $ 42 million assets.
 recoverability assets government regulation


fair value recognize effective cash flow hedges.
 year december 31 2000 earnings $ 2371 preferred stock dividends $ 16266 redemption pca 20448% preferred stock.
 october 13 2003 pca quarterly cash dividend $ 0. 15 per share $. 60 annually common stock.
 first quarterly dividend $ 0. paid january 15 2004.
 dividends common stock 2000 - 2002.
 long-term obligations short-term current maturities.
.
 financial condition results operations audited financial statements notes.
 april 12 1999 pca acquired containerboard corrugated products business pactiv corporation tenneco packaging. subsidiary.
 division not entity.
 significant operations.
 accounted historical values assets.
 purchase accounting applied change control participating veto rights pactiv.
operations 2004 historical results 2003 millions 2003.
 $ 1890. $ 1735. 5 $ 154. 6
 before interest taxes $ 140. $ 96. 9 $ 43.
. 6 29. -121. 8 121. 92.
 before taxes 110. 9. 24 135.
 taxes -42. 2 42. 10. 5. 52.
 income loss $ 68. 7 4 14. $ 83.


contracts valued april 1 2002 gain $ 127 million net taxes accounting principle second quarter 2002.
 majority gain warrior run contract asset value deepwater contract less than $ 1 million.
 warrior run contract cash flow hedge sfas.
 133 hedge accounting.
 valuations electricity gas price quotes market data.
 curves assumptions future gas.
 fluctuations value.
 volatility results.
.
 commitments leases december 31 2002 obligated long-term non leases office rental site leases.
 rental expense $ 31 million 32 million $ 13 million 2002 2000 discontinued $ 6 million 2002 $ 16 million 2001 $ 6 million 2000.
 future minimum lease commitments.
 2004
 2005
 2006
 2007

 $ 169 14
 sale/leaseback 1999 subsidiary acquired six electric stations new york state electric gas.
 sold two plants $ million leasing.
 sale/leaseback.
 rental expense $ 54 million $ 58 million $ 54 million 2002 2001 2000.
 future minimum lease commitments subsidiary rent reserve account maximum semi-annual payment basic rent fixed charges three-year period.
 31 2000 rent reserve


republic services.
 financial statements 2014 quality financial institutions.
 balances fdic insured limits.
 monitor credit worthiness financial institutions deposits.
 credit risk trade accounts limited variety customers markets dispersion operations.
 small large industrial municipal residential united states puerto rico.
 credit evaluations require collateral.
 allowance doubtful accounts credit risk age historical trends economic conditions.
 collection transfer recycling disposal energy.
 recorded billed earned claims settled cash.
 estimated realizable value.
 provisions evaluated monthly collection experience age information economic conditions.
 review balances.
 reserves provided accounts 90 days.
 past due balances written-off unsuccessful.
 activity allowance doubtful accounts years december 31.
 2015 2014
 balance beginning year $ 46.$ 38. 9 $ 38. 3
 additions 20. 4 22. 7 22. 6
 accounts written-off. 1 23. 9. 22.
 balance end year $ 44. $ 46. 7 $ 38. 9
 restricted cash securities december 31 2016 $ 90. million $ 62. 6 million insurance workers compensation liability auto liability.
 obtain funds tax-exempt bonds expenditures landfills transfer stations collection recycling centers.
 deposited trust accounts.
 restricted cash securities balance sheets.
 financial assurance agencies collection contracts environmental remediation permits business licenses.
 cash restricted trust funds escrow accounts.
.
 expenditures additions improvements maintenance repairs.


.
 business restructuring cost reduction actions excluded income reflected consolidated income statements. reorganize company segments organizational changes 1 october 2014.
 note 25.
 severance charges.
 fourth quarter 2014 expense $ 12. $. $ per share elimination 50 positions.
 $ 4. merchant gases $ 4. tonnage gases $ 2. electronics performance materials $ 1. equipment energy.
 fourth quarter expense $ 231. $ 157. $. per share cost structure market conditions.
 electronics business photovoltaic light-emitting diode markets.
 merchant gases reorganization senior executive changes.
 actions completed first quarter 2015.
 2013 charges $ 61. merchant gases $ 28. tonnage gases $ 141. electronics performance materials $ 1. equipment energy.
table summarizes carrying amount 2013 plan 30 september 2014 severance benefits.
 2013 $ 71. 9 $ 100. 4 $ 59. 3 $ 231. 6
 pension liability -6. 9.
 noncash expenses. 4.
 expenditures -3. 0 -58. 5. -61. 5 61.
 adjustment.
 2013 $ 62. 4. 8 $ 63. 2
 expenditures -51. 7 51. 8. 5 52. 5
. 6. 6.
 2014 $ 10. 1.


.
 asset returns lower $ 471 million discount rates declined unfavorable mark-to-market adjustment fourth quarter.
 pension market adjustment inventoriable cost.
 first quarter 2012.
-to-market adjustments reflect value.
 gains/losses recognized.
 costs project k four-year efficiency program.
 businesses growth value-added innovation.
 optimized supply chain infrastructure global business services focus.
 gross margin operating margin non-gaap pension plans commodity contracts adjustments project k costs.
 transparency.
 gross margin declined 110 2013 inflation productivity savings lower operating leverage sales margin pringles.
 sg&a% improved 110 overhead leverage pringles acquisition reduced investment consumer promotions.
 gross margin declined 180 points 2012 cost inflation savings lower margin structure pringles.
sga% consistent 2011.
 gross profit sga operating profit gaap.
 2012
 gross profit $ 6103 $ 5434 5152
 mark-to-market -259 -377
 -174
 gross profit $ 5767 $ 5693 $ 5529
 $ 3266 $ 3872 3725
 mark-to-market 437 -305
 sga $ 3669 $ 3679 $
 operating profit $ 2837 $ 1562 $ 1427
 mark-to-market 947 -452 -682
 operating profit $ 2098 $ 2109
 profit equal net sales less cost goods sold.
 mark-to-market adjustments pension plans commodity contracts.
 gains/losses plans.
 asset returns $ 545 million discount rates 65 points favorable mark-to-market adjustment fourth quarter 2013.
mark-to-market adjustment capitalized inventoriable cost end 2013.
 2012 asset returns exceeded $ 211 million discount rates fell 100 points unfavorable adjustment fourth quarter.
 adjustment inventoriable cost.
 recorded first quarter 2013.
 2011 returns lower $ 471 million discount rates declined unfavorable adjustment fourth quarter.
 adjustment inventoriable cost.
.
 adjustments reflect fair value.
 gains/losses recognized quarter.
 costs project k four-year efficiency program.
 businesses growth value-added innovation.
 optimized supply chain infrastructure global business services focus.
 underlying gross profit operating profit non-gaap measures impact pension plans commodity contracts adjustments project k costs.
 transparency performance.
restructuring cost reduction-term profit growth targets.
 initiatives recover costs five-year.
 project cash savings reduced depreciation.
 commenced cogs sga cost reduction initiatives.
 cogs optimize manufacturing network reduce waste develop best practices.
 sga efficiency support functions.
 2013 recorded $ 42 million charges cost reduction initiatives.