.
 employee retirement plans 2013 continued ) of equities fixed-income investments less liquid than financial instruments trade on public markets.
 potential events circumstances negative effect on estimated fair value include risks of inadequate diversification other operating risks.
 to mitigate risks investments are diversified across within asset classes in support of investment objectives.
 policies practices to address operating risks include ongoing manager oversight  plan asset class investment guidelines instructions to managers periodic compliance audit reviews to ensure adherence to policies.
 company seeks input of independent advisor to ensure investment policy appropriate.
 company sponsors post-retirement benefit plans provide medical  dental life insurance coverage for eligible retirees dependents in united states based upon age length of service.
 aggregate present value of unfunded accumulated post-retirement benefit obligation was $ 13 million at december 31 , 2010 and 2009.
 december 31 , 2010 company expected to contribute approximately $ 30 million to $ 35 million to qualified defined-benefit pension plans to meet erisa requirements in 2011.
 company also expected to pay benefits of $ 3 million and $ 10 million to participants of unfunded foreign and non-qualified ( domestic ) defined-benefit pension plans respectively in 2011.
 at december 31 , 2010 benefits expected to be paid in each next five years in aggregate for five years thereafter relating to company 2019s defined-benefit pension plans were as follows in millions : qualified non-qualified.
.
 shareholders 2019 equity in july 2007 company 2019s board of directors authorized repurchase for retirement of up to 50 million shares of company 2019s common stock in open-market transactions.
 at december 31 , 2010 company had remaining authorization to repurchase up to 27 million shares.
2010 company repurchased retired three million shares company common stock cash aggregating $ 45 million to offset dilutive impact 2010 grant three million shares long-term stock awards.
 company repurchased retired two million common shares 2009 nine million common shares in 2008 cash aggregating $ 11 million and $ 160 million in 2009 2008 respectively.
 basis amounts paid declared cash dividends per common share were $. 30 ( $. 30 ) in 2010 , $. 46 ( $. 30 ) in 2009 $. 925 ( $. 93 ) in 2008 respectively.
 2009 company decreased quarterly cash dividend to $. 075 per common share from $. 235 per common share.
 masco corporation notes to consolidated financial statements 2014

| qualified plans | non-qualified plans
--------- | --------------- | -------------------
2011      | $ 38            | $ 10
2012      | $ 40            | $ 11
2013      | $ 41            | $ 11
2014      | $ 41            | $ 12
2015      | $ 43            | $ 12
2016-2020 | $ 235           | $ 59


part ii item 5.
 market for registrant 2019s common equity  related stockholder matters issuer purchases of equity securities class a common stock trades on new york stock exchange under symbol 201cma 201d.
 at february 8 , 2019  73 stockholders of record for class a common stock.
 believe number of beneficial owners greater than record holders large portion of class a common stock held in 201cstreet name 201d by brokers.
 no established public trading market for class b common stock.
 approximately 287 holders of record of non-voting class b common stock as of february 8, 2019  approximately 1. 1% ( 1. 1 % ) of total outstanding equity.
 stock performance graph graph table below compare cumulative total stockholder return of mastercard 2019s class a common stock  s&p 500 financials s&p 500 index for five-year period ended december 31 , 2018.
 graph assumes $ 100 investment in class a common stock indices reinvestment of dividends.
 mastercard 2019s class b common stock not publicly traded or listed on any exchange or dealer quotation system.
 total returns to stockholders for each years presented : indexed returns base period for years ended december 31.

company/index      | base period 2013 | base period 2014 | base period 2015 | base period 2016 | base period 2017 | 2018
------------------ | ---------------- | ---------------- | ---------------- | ---------------- | ---------------- | --------
mastercard         | $ 100.00         | $ 103.73         | $ 118.05         | $ 126.20         | $ 186.37         | $ 233.56
s&p 500 financials | 100.00           | 115.20           | 113.44           | 139.31           | 170.21           | 148.03
s&p 500 index      | 100.00           | 113.69           | 115.26           | 129.05           | 157.22           | 150.33


notes to consolidated financial statements 2014 ( continued ) fiscal years ended may 27 , 2007 , may 28 , 2006  may 29 , 2005 columnar amounts in millions except per share amounts due to purchase price of cattle feeding business entirely financed by company legal divestiture of cattle feeding operation not recognized as divestiture for accounting purposes assets  liabilities results of operations cattle feeding business reflected in continuing operations in company 2019s financial statements prior to october 15 , 2004.
 september 24 , 2004  company reached agreement with affiliates swift foods took control and ownership of approximately $ 300 million of net assets of cattle feeding business including feedlots live cattle.
 on october 15 , 2004  company sold feedlots to smithfield foods for approximately $ 70 million.
 transactions resulted in gain of approximately $ 19 million ( net of taxes of $ 11. 6 million ).
 company retained live cattle inventory related derivative instruments liquidated assets orderly manner over succeeding several months.
 beginning september 24 , 2004  assets liabilities results of operations including gain on sale  of cattle feeding business classified as discontinued operations.
 business during first quarter of fiscal 2007  company completed divestiture of nutritional supplement business for proceeds of approximately $ 8. 2 million in pre-tax gain of approximately $ 6. 2 million ( $ 3. 5 million after tax ).
 company reflects gain within discontinued operations.
 results of businesses divested included within discontinued operations.
 summary comparative financial results of discontinued operations.
 effective tax rate for discontinued operations significantly higher than statutory rate due to nondeductibility of certain goodwill of divested businesses.
assets held for sale third quarter of fiscal 2006  company initiated plan to dispose of refrigerated pizza business with annual revenues less than $ 70 million.
 second quarter of fiscal 2007  company disposed this business for proceeds approximately $ 22. 0 million  resulting in no significant gain or loss.
 due to company 2019s expected significant continuing cash flows associated with this business  results of operations business included in continuing operations for all periods presented.
 assets and liabilities business classified as assets liabilities held for sale in consolidated balance sheets for all periods prior to sale.
 second quarter of fiscal 2007 company completed disposal of oat milling business for proceeds approximately $ 35. 8 million  after final working capital adjustments made third quarter

| 2007           | 2006             | 2005
--------------------------------------------------------------------- | -------------- | ---------------- | --------------
net sales                                                             | $ 727.6        | $ 2690.0         | $ 4131.7
long-lived asset impairment charge                                    | -21.1 ( 21.1 ) | -240.9 ( 240.9 ) | -59.4 ( 59.4 )
income from operations of discontinued operations before income taxes | 92.5           | 179.7            | 157.7
net gain from disposal of businesses                                  | 64.3           | 115.5            | 26.3
income before income taxes                                            | 135.7          | 54.3             | 124.6
income tax expense                                                    | -54.9 ( 54.9 ) | -109.8 ( 109.8 ) | -41.8 ( 41.8 )
income ( loss ) from discontinued operations net of tax               | $ 80.8         | $ -55.5 ( 55.5 ) | $ 82.8


goldman sachs group , inc.
 subsidiaries management 2019s discussion and analysis scenario analyses.
 conduct various scenario analyses including comprehensive capital analysis and review ( ccar ) dodd-frank act stress tests ( dfast ) resolution and recovery planning.
 see 201cequity capital management and regulatory capital 2014 equity capital management 201d below for further information.
 scenarios cover short-term and long- term time horizons using macroeconomic and firm- specific assumptions based on range of economic scenarios.
 use analyses to assist in developing longer-term balance sheet management strategy including level and composition of assets , funding equity capital.
 analyses help develop approaches for maintaining appropriate funding , liquidity capital across variety of situations including severely stressed environment.
 balance sheet allocation in addition preparing consolidated statements of financial condition in accordance with.
 gaap prepare balance sheet allocates assets to businesses non-gaap presentation may not be comparable to similar non-gaap presentations other companies.
 believe presenting assets on this basis meaningful consistent with management views manages risks associated with firm 2019s assets better enables investors to assess liquidity of firm 2019s assets.
 table below presents balance sheet allocation.
 1.
 includes $ 17. 29 billion and $ 18. 24 billion as of december 2015 and december 2014  respectively of direct loans primarily extended to corporate and private wealth management clients accounted for at fair value.
.
 see note 9 to consolidated financial statements for further information about loans receivable.
 description of captions in table above : 2030 global core liquid assets and cash.
 maintain liquidity to meet broad range of potential cash outflows and collateral needs in stressed environment.
 see 201cliquidity risk management 201d below for details on composition and sizing of 201cglobal core liquid assets 201d ( gcla ).
in addition to our gcla  we maintain other operating cash balances primarily for use in specific currencies, entities or jurisdictions where not immediate access to parent company liquidity.
 2030 secured client financing.
 we provide collateralized financing for client positions including margin loans secured by client collateral  securities borrowed resale agreements primarily collateralized by government obligations.
 client activities we required to segregate cash and securities to satisfy regulatory requirements.
 our secured client financing arrangements  generally short-term accounted for at fair value or approximate fair value include daily margin requirements to mitigate counterparty credit risk.
 2030 institutional client services.
 maintain inventory positions to facilitate market making in fixed income  equity currency commodity products.
 market we enter into resale or securities borrowing arrangements to obtain securities to cover transactions in we or clients sold securities not yet purchased.
 receivables in institutional client services primarily relate to securities transactions.
 2030 investing & lending.
 in we make investments and originate loans to provide financing to clients.
 these investments and loans are typically longer- term in.
 make investments directly and indirectly through funds separate accounts manage in debt securities, loans  public and private equity securities  real estate entities other investments.
 2030 other assets.
 assets generally less liquid  non- financial assets  including property  leasehold improvements and equipment  goodwill identifiable intangible assets  income tax-related receivables  equity- method investments  assets classified as held for sale miscellaneous receivables.
 68 goldman sachs 2015 form 10-k

$ in millions                      | as of december 2015 | as of december 2014
---------------------------------- | ------------------- | -------------------
global core liquid assets ( gcla ) | $ 199120            | $ 182947
other cash                         | 9180                | 7805
gcla and cash                      | 208300              | 190752
secured client financing           | 221325              | 210641
inventory                          | 208836              | 230667
secured financing agreements       | 63495               | 74767
receivables                        | 39976               | 47317
institutional client services      | 312307              | 352751
public equity                      | 3991                | 4041
private equity                     | 16985               | 17979
debt1                              | 23216               | 24768
loans receivable2                  | 45407               | 28938
other                              | 4646                | 3771
investing & lending                | 94245               | 79497
total inventory and related assets | 406552              | 432248
other assets                       | 25218               | 22201
total assets                       | $ 861395            | $ 855842


part ii item 5.
 market for registrant 2019s common equity  related stockholder matters issuer purchases of equity securities.
 company 2019s common stock listed on new york stock exchange.
 prior to separation of alcoa corporation from company company 2019s common stock traded under symbol 201caa. 201d connection with separation november 1, 2016  company changed stock symbol common stock began trading under symbol 201carnc. 201d on october 5 , 2016 company 2019s common shareholders approved 1-for-3 reverse stock split of company 2019s outstanding authorized shares common stock ( 201creverse stock split 201d ).
 result reverse stock split every three shares of issued and outstanding common stock combined into one issued outstanding share common stock without change in par value per share.
 reverse stock split reduced shares common stock outstanding from approximately 1. 3 billion shares to approximately 0. 4 billion shares decreased number authorized shares common stock from 1. 8 billion to 0. 6 billion shares.
 company 2019s common stock began trading on reverse stock split-adjusted basis on october 6 , 2016.
 november 1 , 2016  company completed separation business into two independent publicly traded companies : company and alcoa corporation.
 separation effected by pro rata distribution company of 80. 1% (. % ) of outstanding shares of alcoa corporation common stock to company 2019s shareholders.
 company 2019s shareholders of record as of close of business on october 20 , 2016 ( 201crecord date 201d ) received one share of alcoa corporation common stock for every three shares of company 2019s common stock held as of record date.
 company retained 19. 9% (. % ) of outstanding common stock of alcoa corporation following separation.
disposition of retained shares in note c to consolidated financial statements in part ii item 8 of form 10-k.
 following table sets forth periods indicated high and low sales prices quarterly dividend amounts per share of company 2019s common stock reported on new york stock exchange adjusted to account reverse stock split effected october 6 , 2016.
 prices listed below for dates prior to november 1 , 2016 reflect stock trading prices of alcoa inc.
 prior to separation of alcoa corporation from company november 1, 2016 not comparable to company 2019s post-separation prices.
 number of holders of record common stock was approximately 12271 as of february 16 , 2018.

quarter                                           | 2017 high | 2017 low | 2017 dividend | 2017 high | 2017 low | dividend
------------------------------------------------- | --------- | -------- | ------------- | --------- | -------- | --------
first                                             | $ 30.69   | $ 18.64  | $ 0.06        | $ 30.66   | $ 18.42  | $ 0.09
second                                            | 28.65     | 21.76    | 0.06          | 34.50     | 26.34    | 0.09
third                                             | 26.84     | 22.67    | 0.06          | 32.91     | 27.09    | 0.09
fourth ( separation occurred on november 1 2016 ) | 27.85     | 22.74    | 0.06          | 32.10     | 16.75    | 0.09
year                                              | $ 30.69   | $ 18.64  | $ 0.24        | $ 34.50   | $ 16.75  | $ 0.36


april 19, 2018  took delivery of norwegian bliss.
 finance payment due upon delivery had export financing in place for 80% ( 80 % ) contract price.
 associated $ 850. 0 million term loan bears interest at fixed rate of 3. 92% ( 3. 92 % ) maturity date april 19 , 2030.
 principal and interest payments payable semiannually.
 april 4 , 2018  redeemed $ 135. 0 million principal amount of $ 700. 0 million aggregate principal amount of outstanding 4. 75% ( 4. 75 % ) senior notes due 2021 ( 201cnotes 201d ) price equal to 100% ( 100 % ) of principal amount notes redeemed paid premium of $ 5. 1 million accrued interest of $ 1. 9 million.
 redemption resulted in write off of $ 1. 2 million of certain fees.
 following partial redemption $ 565. 0 million aggregate principal amount notes remained outstanding.
 interest expense , net for year ended december 31 , 2018 $ 270. 4 million included $ 31. 4 million amortization of deferred financing fees $ 6. 3 million loss on extinguishment of debt.
 interest expense , net for year ended december 31 , 2017 $ 267. 8 million included $ 32. 5 million amortization of deferred financing fees $ 23. 9 million loss on extinguishment of debt.
 interest expense , net for year ended december 31 , 2016 was $ 276. 9 million included $ 34. 7 million amortization of deferred financing fees $ 27. 7 million loss on extinguishment of debt.
 debt agreements contain covenants require to maintain minimum level liquidity limit net funded debt-to-capital ratio maintain certain other ratios restrict ability to pay dividends.
 ships other property equipment pledged as collateral for certain debt.
believe in compliance with covenants as of december 31 , 2018.
 following scheduled principal repayments on long-term debt including capital lease obligations as of december 31 , 2018 for each next five years ( in thousands ) :.
 accrued interest liability of $ 37. 2 million and $ 31. 9 million as of december 31 , 2018 and 2017  respectively.
 8.
 related party disclosures transactions with genting hk and apollo in december 2018  public equity offering of nclh 2019s ordinary shares owned by apollo genting hk nclh repurchased 1683168 ordinary shares sold offering for approximately $ 85. 0 million new repurchase program.
 in march 2018  public equity offering of nclh 2019s ordinary shares apollo genting hk nclh repurchased 4722312 of ordinary shares sold offering for approximately $ 263. 5 million existing share repurchase program.
 in june 2012  exercised option with genting hk to purchase norwegian sky.
 paid total amount of $ 259. 3 million to genting hk connection norwegian sky purchase agreement as of december 31 , 2016 no further payments due.

year       | amount
---------- | ---------
2019       | $ 681218
2020       | 682556
2021       | 2549621
2022       | 494186
2023       | 434902
thereafter | 1767383
total      | $ 6609866


special purpose entity ( 201cspe 201d ).
 spe obtained term loan and revolving loan commitment from third party lender  secured by liens on assets spe , to finance purchase of accounts receivable , included $ 275 million term loan and $ 25 million revolving loan commitment.
 revolving loan commitment may be increased by additional $ 35 million as amounts repaid under term loan.
 quintilesims guaranteed performance of obligations of existing and future subsidiaries sell and service accounts receivable under receivables financing facility.
 assets spe not available to satisfy our obligations or obligations of subsidiaries.
 as of december 31 , 2016 , full $ 25 million of revolving loan commitment available under receivables financing facility.
 used proceeds from term loan under receivables financing facility to repay in full amount outstanding on then outstanding revolving credit facility under then outstanding senior secured credit agreement ( $ 150 million ), to repay $ 25 million of then outstanding term loan b-3 , pay related fees and expenses remainder used for general working capital purposes.
 restrictive covenants debt agreements provide for certain covenants events of default customary for similar instruments  including covenant not to exceed specified ratio of consolidated senior secured net indebtedness to consolidated ebitda  defined in senior secured credit facility covenant to maintain specified minimum interest coverage ratio.
 if event of default occurs under company 2019s or company 2019s subsidiaries 2019 financing arrangements  creditors under financing arrangements entitled to take various actions  including acceleration of amounts due under arrangements in case of lenders under revolving credit facility new term loans  other actions permitted to be taken by secured creditor.
 long-term debt arrangements contain usual restrictive covenants place limitations on ability to declare dividends.
additional information restrictive covenants see part ii  item 5 201cmarket for registrant 2019s common equity  related stockholder matters issuer purchases of equity securities 2014dividend policy 201d note 11 to audited consolidated financial statements annual report on form 10-k.
 december 31 , 2016  company in compliance with financial covenants under company 2019s financing arrangements.
 years ended december 31 , 2016 , 2015 2014 cash flow from operating activities.
 2016 compared to 2015 cash operating activities increased $ 384 million in 2016 compared 2015.
 increase cash operating activities reflects increase net income adjusted for non-cash items reconcile net income cash operating activities.
 contributing to increase lower payments for income taxes ( $ 15 million ) lower cash used in days sales outstanding ( 201cdso 201d ) accounts payable accrued expenses.
 lower cash used in dso reflects two-day increase in dso in 2016 compared to seven-day increase in dso in 2015.
 dso can shift significantly each reporting period depending on timing of cash receipts under contractual payment terms recognition of revenue over project lifecycle.

( in millions )                           | year ended december 31 , 2016 | year ended december 31 , 2015 | year ended december 31 , 2014
----------------------------------------- | ----------------------------- | ----------------------------- | -----------------------------
net cash provided by operating activities | $ 860                         | $ 476                         | $ 433


notes to consolidated financial statements note 11.
 income taxes 2013 ( continued ) federal income tax return for 2006 subject to examination by irs.
 in addition for 2007 and 2008 , irs invited company to participate in compliance assurance process ( 201ccap 201d )  voluntary program for limited number large corporations.
 cap irs conducts real-time audit works with company to resolve issues prior to filing tax return.
 company agreed to participate.
 company believes this approach should reduce tax-related uncertainties.
 company and/or subsidiaries file income tax returns in various state , local and foreign jurisdictions.
 these returns  with few exceptions no longer subject to examination by taxing authorities discussed note 1 company adopted provisions of fin no.
 48 , 201caccounting for uncertainty in income taxes , 201d on january 1 , 2007.
 result of implementation of fin no.
 48  company recognized decrease to beginning retained earnings on january 1 , 2007 of $ 37 million.
 total amount of unrecognized tax benefits as of date of adoption was approximately $ 70 million.
 included in balance at january 1 , 2007  were $ 51 million of tax positions that if recognized would affect effective tax rate.
 reconciliation of beginning and ending amount of unrecognized tax benefits as follows : ( in millions ).
 company anticipates possible payments of approximately $ 2 million be made primarily due to conclusion of state income tax examinations within next 12 months.
 certain state and foreign income tax returns no longer subject to examination reasonable possibility that amount of unrecognized tax benefits will decrease by $ 7 million.
 at december 31 , 2007 , were $ 42 million of tax benefits that if recognized would affect effective rate.
company recognizes interest accrued related to 1 unrecognized tax benefits in interest expense 2 tax refund claims in other revenues on consolidated statements of income.
 company recognizes penalties in income tax expense ( benefit ) on consolidated statements income.
 during 2007  company recorded charges of approximately $ 4 million for interest expense $ 2 million for penalties.
 provision made for expected.
 federal income tax liabilities applicable to undistributed earnings of subsidiaries except for certain subsidiaries for company intends to invest undistributed earnings indefinitely or recover undistributed earnings tax-free.
 at december 31 , 2007 company not provided deferred taxes of $ 126 million  if sold through taxable sale , on $ 361 million of undistributed earnings related to domestic affiliate.
 determination of amount unrecognized deferred tax liability related to undistributed earnings of foreign subsidiaries not practicable.
 connection with non-recurring distribution of $ 850 million to diamond offshore from foreign subsidiary portion of earnings subsidiary not previously subjected to.
 federal income tax  diamond offshore recognized $ 59 million of.
 federal income tax expense result of distribution.
 remains diamond offshore intention to indefinitely reinvest future earnings subsidiary to finance foreign activities.
 total income tax expense for years ended december 31 , 2007 , 2006 2005  different than amounts of $ 1601 million , $ 1557 million and $ 639 million , computed by applying statutory.
 federal income tax rate of 35% ( 35 % ) to income before income taxes and minority interest for each years.

balance january 1 2007                                       | $ 70
------------------------------------------------------------ | ----------
additions based on tax positions related to the current year | 12
additions for tax positions of prior years                   | 3
reductions for tax positions related to the current year     | -23 ( 23 )
settlements                                                  | -6 ( 6 )
expiration of statute of limitations                         | -3 ( 3 )
balance december 31 2007                                     | $ 53


unconditional purchase obligations entered in ordinary business prin cipally for capital projects purchase of pulpwood  logs wood chips raw materials energy services including fiber supply agree- ments to purchase pulpwood entered concurrently with 2006 transformation plan for- estland sales ( see note 7 ).
 at december 31 , 2006  total future minimum commitments under existing non-cancelable leases purchase obligations were : in millions 2007 2008 2009 2010 2011 thereafter.
 ( a ) included are $ 76 million of lease obligations related to discontinued operations businesses for sale due : 2007 2013 $ 23 million ; 2008 2013 $ 19 million ; 2009 2013 $ 15 million ; 2010 2013 $ 7 million ; 2011 2013 $ 5 million ; thereafter 2013 $ 7 million.
 ( b ) included $ 1. 3 billion of purchase obliga- tions related to discontinued operations businesses for sale due : 2007 2013 $ 335 million ; 2008 2013 $ 199 million ; 2009 2013 $ 157 million ; 2010 2013 $ 143 million ; 2011 2013 $ 141 million ; thereafter 2013 $ 331 million.
 ( c ) includes $ 2. 2 billion to fiber supply agreements entered at time transformation plan forestland sales.
 rent expense was $ 217 million , $ 216 million $ 225 million for 2006 , 2005 2004 .
 international paper entered agreement in 2000 to guarantee for fee unsecured con- tractual credit agreement between financial institution unrelated third-party customer.
 in fourth quarter of 2006  customer cancelled agreement paid company fee of $ 11 million included in cost of products sold in accompanying consolidated statement of oper- ations.
 company has no future obligations under this agreement.
in connection with sales of businesses , property  equipment  forestlands other assets , interna- tional paper makes representations and warranties relating to such businesses or assets  may agree to indemnify buyers with tax environmental liabilities  breaches of repre- sentations warranties  other matters.
 where liabilities for such matters are determined to probable subject to reasonable estimation , accrued liabilities are recorded at time of sale as cost of transaction.
 under terms of sale agreement for bever- age packaging business , purchase price received by company is subject to post-closing adjust- ment if adjusted annualized earnings of beverage packaging business for first six months of 2007 are less than targeted amount.
 adjustment , if, would equal five times shortfall from targeted amount.
 management not believe such adjustment is probable based current projections, reasonably possible that adjustment could be required in international paper does not believe possible future unrecorded liabilities for other such matters  if would have material adverse effect on its consolidated financial statements.
 exterior siding and roofing settlements three nationwide class action lawsuits against company and masonite corp. , formerly wholly- owned subsidiary of company relating to exterior siding and roofing products manufactured by masonite settled in 1998 and 1999.
 masonite sold to premdor inc.
 in 2001.
 liability for these settlements corresponding insurance recoveries ( ) retained by company.
 first suit  entitled judy naef v.
 masonite and international paper , filed in december 1994 settled on january 15 , 1998 ( hardboard settlement ).
 plaintiffs alleged hardboard siding manufactured by masonite failed prematurely , allowing moisture intrusion caused damage to structure underneath siding.
class consisted of all.
 property owners having masonite hardboard siding installed on incorporated into buildings between january 1 , 1980 and january 15 , 1998.
 for siding installed between january 1  1980 and december 31 , 1989 deadline for filing claims expired january 18 , 2005 for siding installed between january 1, 1990 through january 15 , 1998 claims must be made by january 15 , 2008.
 second suit  entitled cosby , et al.
.
 masonite corporation  al. filed in 1997 settled january 6, 1999 ( omniwood settlement ).
 plaintiffs made allegations omniwood

in millions                 | 2007   | 2008  | 2009  | 2010  | 2011  | thereafter
--------------------------- | ------ | ----- | ----- | ----- | ----- | ----------
lease obligations ( a )     | $ 144  | $ 117 | $ 94  | $ 74  | $ 60  | $ 110
purchase obligations ( bc ) | 2329   | 462   | 362   | 352   | 323   | 1794
total                       | $ 2473 | $ 579 | $ 456 | $ 426 | $ 383 | $ 1904


item 5.
 market for registrant 2019s common equity  related stockholder matters issuer purchases of equity securities graph compares annual total return of our common stock , standard & poor 2019s 500 composite stock index ( 201cs&p 500 index 201d ) our peer group ( 201cloews peer group 201d ) for five years ended december 31 , 2015.
 graph assumes value of investment in common stock  s&p 500 index loews peer group was $ 100 on december 31, 2010 all dividends reinvested.
 loews peer group consists of companies industry competitors of principal operating subsidiaries : ace limited ,.
 berkley corporation  chubb corporation  energy transfer partners. ensco plc  hartford financial services group , inc. kinder morgan energy partners ,.
 ( included through november 26 , 2014 acquired by kinder morgan inc. noble corporation  spectra energy corp  transocean ltd.
 travelers companies , inc.
 dividend information paid quarterly cash dividends on loews common stock each year since 1967.
 regular dividends of $ 0. 0625 per share of loews common stock paid in each calendar quarter of 2015 and 2014.

| 2010  | 2011   | 2012   | 2013   | 2014   | 2015
---------------------- | ----- | ------ | ------ | ------ | ------ | ------
loews common stock     | 100.0 | 97.37  | 106.04 | 126.23 | 110.59 | 101.72
s&p 500 index          | 100.0 | 102.11 | 118.45 | 156.82 | 178.29 | 180.75
loews peer group ( a ) | 100.0 | 101.59 | 115.19 | 145.12 | 152.84 | 144.70


2010 , granted 3. 8 million rsus 1. 1 million employee sars.
 see footnote no.
 4 , 201cshare-based compensation , 201d notes to financial statements for additional information.
 new accounting standards see footnote no.
 1 , 201csummary of significant accounting policies , 201d notes to financial statements for information related to adoption of new accounting standards in 2010 information anticipated adoption of recently issued accounting standards.
 liquidity and capital resources cash requirements credit facilities credit facility , expires may 14, 2012  associated letters of credit  provide for $ 2. 4 billion of aggregate effective borrowings.
 borrowings under credit facility bear interest at london interbank offered rate ( libor ) plus fixed spread based on credit ratings for public debt.
 pay quarterly fees on credit facility rate based on public debt rating.
 additional information on credit facility including participating financial institutions , see exhibit 10 , 201camended and restated credit agreement , 201d to current report on form 8-k filed with sec on may 16 , 2007.
 credit facility not expire until 2012  expect may extend or replace during 2011.
 credit facility contains certain covenants  including single financial covenant limits maximum leverage ( adjusted total debt to consolidated ebitda  each defined in credit facility ) to not more than 4 to 1.
 outstanding public debt not contain corresponding financial covenant or requirement maintain certain financial ratios.
 currently satisfy covenants in credit facility and public debt instruments  including leverage covenant under credit facility do not expect covenants to restrict ability to meet anticipated borrowing and guarantee levels or increase levels need in future.
believe credit facility , together with cash expect generate from operations ability to raise capital remains adequate to meet short-term and long-term liquidity requirements finance long-term growth plans meet debt service  fulfill other cash requirements.
 at year-end 2010  available borrowing capacity amounted to $ 2. 831 billion reflected borrowing capacity of $ 2. 326 billion under credit facility cash balance of $ 505 million.
 calculate borrowing capacity by taking $ 2. 404 billion of effective aggregate bank commitments under credit facility subtracting $ 78 million of outstanding letters of credit under credit facility.
 during 2010  repaid outstanding credit facility borrowings had no outstanding balance at year-end.
 anticipate available capacity will be adequate to fund liquidity needs.
 continue ample flexibility under credit facility 2019s covenants expect undrawn bank commitments under credit facility will remain available even if business conditions deteriorate markedly.
 cash from operations cash from operations , depreciation expense  amortization expense for last three fiscal years are as follows : ( $ in millions ) 2010 2009 2008.
 ratio of current assets to current liabilities was roughly 1. 4 to 1. 0 at year-end 2010 1. 2 to 1. 0 at year-end 2009.
 minimize working capital through cash management  strict credit-granting policies  aggressive collection efforts.
 have significant borrowing capacity under credit facility should need additional working capital.

( $ in millions )    | 2010   | 2009  | 2008
-------------------- | ------ | ----- | -----
cash from operations | $ 1151 | $ 868 | $ 641
depreciation expense | 138    | 151   | 155
amortization expense | 40     | 34    | 35


year ended december 31 , 2010 compared to 2009 net revenues increased $ 207. 5 million  or 24. 2% ( 24. 2 % ) to $ 1063. 9 million in 2010 from $ 856. 4 million in 2009.
 net revenues by product category summarized.
 net sales increased $ 201. 5 million  or 24. 5% ( 24. 5 % ) to $ 1024. 6 million in 2010 from $ 823. 1 million in 2009.
 increase sales reflects 2022 $ 88. 9 million  or 56. 8% ( 56. 8 % ) increase in direct to consumer sales includes 19 additional stores in 2010 ; 2022 unit growth by increased distribution new offerings in multiple product categories training, base layer  mountain  golf underwear categories offset by 2022 $ 9. 0 million decrease in footwear sales decline in running and training footwear sales.
 license revenues increased $ 6. 1 million  or 18. 1% ( 18. 1 % ) to $ 39. 4 million in 2010 from $ 33. 3 million in 2009.
 increase in license revenues result of increased sales by licensees due to increased distribution unit volume growth.
 developed our own headwear and bags  beginning 2011 products sold by us licensees.
 gross profit increased $ 120. 4 million to $ 530. 5 million in 2010 from $ 410. 1 million in 2009.
 gross profit as percentage of net revenues increased 200 basis points to 49. 9% ( 49. 9 % ) in 2010 compared to 47. 9% ( 47. 9 % ) in 2009.
increase in gross margin percentage driven by : 2022 100 basis point increase by increased direct to consumer higher margin sales ; 2022 50 basis point increase driven by decreased sales markdowns returns due to improved sell-through rates at retail ; 2022 50 basis point increase driven by liquidation sales related inventory reserve reversals.
 current year period benefited from reversals of inventory reserves prior year to certain cleated footwear sport specific apparel gloves.
 products difficult to liquidate at favorable prices.
 selling  general administrative expenses increased $ 93. 3 million to $ 418. 2 million in 2010 from $ 324. 9 million in 2009.
 percentage of net revenues selling  general administrative expenses increased to 39. 3% ( 39. 3 % ) in 2010 from 37. 9% ( 37. 9 % ) in 2009.
 changes attributable to 2022 marketing costs increased $ 19. 3 million to $ 128. 2 million in 2010 from $ 108. 9 million in 2009 due to increase in sponsorship of events collegiate professional teams athletes increased television digital campaign costs media campaigns for specific customers additional personnel costs.
 incurred increased expenses for performance incentive plan to prior year.
 percentage of net revenues marketing costs decreased to 12. 0% ( 12. 0 % ) in 2010 from 12. 7% ( 12. 7 % ) in 2009 due to decreased marketing costs for specific customers.

( in thousands )   | year ended december 31 , 2010 | year ended december 31 , 2009 | year ended december 31 , $ change | year ended december 31 , % (  % ) change
------------------ | ----------------------------- | ----------------------------- | --------------------------------- | ----------------------------------------
apparel            | $ 853493                      | $ 651779                      | $ 201714                          | 30.9% ( 30.9 % )
footwear           | 127175                        | 136224                        | -9049 ( 9049 )                    | -6.6 ( 6.6 )
accessories        | 43882                         | 35077                         | 8805                              | 25.1
total net sales    | 1024550                       | 823080                        | 201470                            | 24.5
license revenues   | 39377                         | 33331                         | 6046                              | 18.1
total net revenues | $ 1063927                     | $ 856411                      | $ 207516                          | 24.2% ( 24.2 % )


performance graph comparison of five-year cumulative total return graph table compare cumulative total return citi 2019s common stock , listed on nyse under ticker symbol 201cc 201d held by 81805 common stockholders record as of january 31 , 2016 , with cumulative total return s&p 500 index s&p financial index over five-year period through december 31 , 2015.
 graph table assume $ 100 invested on december 31 , 2010 in citi 2019s common stock  s&p 500 index s&p financial index  all dividends reinvested.
 comparison of five-year cumulative total return for years ended date citi s&p 500 financials.

date        | citi   | s&p 500 | s&p financials
----------- | ------ | ------- | --------------
31-dec-2010 | 100.00 | 100.00  | 100.00
30-dec-2011 | 55.67  | 102.11  | 82.94
31-dec-2012 | 83.81  | 118.45  | 106.84
31-dec-2013 | 110.49 | 156.82  | 144.90
31-dec-2014 | 114.83 | 178.28  | 166.93
31-dec-2015 | 110.14 | 180.75  | 164.39


jpmorgan chase & co. /2016 annual report 35 five-year stock performance table and graph compare five-year cumulative total return for jpmorgan chase & co.
 ( 201cjpmorgan chase 201d or 201cfirm 201d ) common stock with cumulative return of s&p 500 index , kbw bank index s&p financial index.
 s&p 500 index is referenced united states of america ( 201cu. 201d ) equity benchmark leading companies from different economic sectors.
 kbw bank index performance of banks and thrifts publicly traded in u. s.
 composed of leading national money center regional banks and thrifts.
 s&p financial index index of financial companies all components of s&p 500.
 firm component of all three industry indices.
 table and graph assume simultaneous investments of $ 100 on december 31, 2011, in jpmorgan chase common stock in each above indices.
 comparison assumes all dividends are reinvested.
 december 31 , ( in dollars ) 2011 2012 2013 2014 2015 2016.
 december 31 , ( in dollars )

december 31 ( in dollars ) | 2011     | 2012     | 2013     | 2014     | 2015     | 2016
-------------------------- | -------- | -------- | -------- | -------- | -------- | --------
jpmorgan chase             | $ 100.00 | $ 136.18 | $ 186.17 | $ 204.57 | $ 221.68 | $ 298.31
kbw bank index             | 100.00   | 133.03   | 183.26   | 200.42   | 201.40   | 258.82
s&p financial index        | 100.00   | 128.75   | 174.57   | 201.06   | 197.92   | 242.94
s&p 500 index              | 100.00   | 115.99   | 153.55   | 174.55   | 176.95   | 198.10


annual goodwill impairment test from first quarter to second quarter.
 change made to align impairment testing date with long-range planning and forecasting process.
 determined this change in accounting principle was preferable under circumstances believe change in annual impairment testing date did not delay , accelerate or avoid impairment charge.
 company has option to perform qualitative assessment for both goodwill and non-amortizable intangible assets to determine if likely not impairment exists , company elects to perform quantitative assessment for annual impairment analysis.
 impairment analysis involves comparing fair value of each reporting unit or non-amortizable intangible asset to carrying value.
 if carrying value exceeds fair value , goodwill or non-amortizable intangible asset is considered impaired.
 to determine fair value of goodwill  primarily use discounted cash flow model  supported by market approach using earnings multiples of comparable global and local companies within tobacco industry.
 at december 31 , 2017  carrying value of goodwill was $ 7. 7 billion  related to ten reporting units  each of group of markets with similar economic characteristics.
 estimated fair value of each of ten reporting units exceeded carrying value as of december 31 , 2017.
 to determine fair value of non-amortizable intangible assets  primarily use discounted cash flow model applying relief-from-royalty method.
 concluded fair value of non-amortizable intangible assets exceeded carrying value.
 discounted cash flow models include management assumptions relevant for forecasting operating cash flows  subject to changes in business conditions volumes prices  costs to produce  discount rates and estimated capital needs.
management considers historical experience available information at time fair values estimated believe assumptions consistent with assumptions hypothetical marketplace participant would use.
 since march 28 , 2008 , spin-off from altria group , inc. not recorded charge to earnings for impairment of goodwill or non-amortizable intangible assets.
 marketing and advertising costs - we incur certain costs to support our products through programs include advertising , marketing  consumer engagement trade promotions.
 costs of advertising and marketing programs expensed in accordance with u. s.
 gaap.
 recognition of cost related to consumer engagement trade promotion programs contain uncertainties due to judgment required in estimating potential performance and compliance for each program.
 for volume-based incentives provided to customers management assesses estimates by customer likelihood of customer's achieving specified targets records reduction of revenue as sales are made.
 for other trade promotions management relies on estimated utilization rates developed from historical experience.
 changes in assumptions in estimating cost of individual marketing program not result in material change in financial position results of operations or operating cash flows.
 employee benefit plans - as discussed in item 8 , note 13.
 benefit plans to consolidated financial statements provide range of benefits to employees retired employees including pensions  postretirement health care postemployment benefits ( primarily severance ).
 record annual amounts relating to these plans based on calculations specified by u. s.
.
 calculations include various actuarial assumptions discount rates  assumed rates of return on plan assets  compensation increases  mortality  turnover rates health care cost trend rates.
 review actuarial assumptions annual basis make modifications to assumptions based on current rates trends when deemed appropriate.
 as permitted by u. s.
effect of modifications generally amortized over future periods.
 believe assumptions in calculating obligations under plans are reasonable based historical experience advice from actuaries.
 weighted-average discount rate assumptions for pensions postretirement plans follows:.
 anticipate assumption changes will decrease 2018 pre-tax pension and postretirement expense to approximately $ 164 million compared with approximately $ 199 million in 2017  excluding amounts related early retirement programs.
 anticipated decrease primarily due to higher expected return on assets of $ 21 million  lower amortization other comprehensive earnings for prior service cost of $ 12 million unrecognized actuarial gains/losses of $ 10 million partially offset by other movements of $ 8 million.
 weighted-average expected rate of return and discount rate assumptions significant effect on expense reported for employee benefit plans.
 fifty-basis-point decrease in discount rate increase 2018 pension and postretirement expense by approximately $ 38 million  fifty-basis-point increase in discount rate decrease 2018 pension and postretirement expense by approximately $ 54 million.
 fifty-basis-point decrease ( increase ) in expected return on plan assets increase decrease 2018 pension expense by approximately $ 45 million.
 see item 8 , note 13.
 benefit plans to consolidated financial statements for sensitivity discussion of assumed health care cost trend rates.

| 2017             | 2016
-------------------- | ---------------- | ----------------
pension plans        | 1.51% ( 1.51 % ) | 1.52% ( 1.52 % )
postretirement plans | 3.79% ( 3.79 % ) | 3.68% ( 3.68 % )


guaranteed by company with guarantees from joint venture partners for proportionate amounts of guaranty payment company obligated to make ( see guarantee table above ).
 non-recourse mortgage debt defined as debt lenders 2019 sole recourse to borrower defaults limited to value of property collateralized by mortgage.
 lender recourse against other assets owned by borrower or constituent members borrower  except for certain specified exceptions listed in loan documents ( see footnote 7 of notes to consolidated financial statements form 10-k ).
 investments include joint ventures : venture ownership interest number of properties total gla thousands ) recourse mortgage payable ( in millions ) number of encumbered properties average interest weighted average ( months ).
 ( a ) represents company 2019s joint ventures with prudential real estate investors.
 b ) company joint ventures with riocan real estate investment trust.
 ( c ) represents company joint ventures with certain institutional investors.
 ( d ) represents company remaining joint venture with big shopping centers ( ), israeli public company ( see footnote 7 notes to consolidated financial statements form 10-k ).
 ( e ) represents company joint ventures with blackstone.
 ( f ) company joint ventures with canadian pension plan investment board.
 g ) on february 2 , 2015  company purchased remaining 66. 7% (. 7 % ) interest in 39-property kimstone portfolio for gross purchase price of $ 1. 4 billion  including assumption of $ 638. 0 million in mortgage debt ( see footnote 26 of notes to consolidated financial statements form 10-k ).
 company has various other unconsolidated real estate joint ventures with varying structures.
 as of december 31 , 2014  these other unconsolidated joint ventures had individual non-recourse mortgage loans aggregating $ 1.2 billion.
 aggregate debt as of december 31 , 2014  company 2019s unconsolidated real estate joint ventures is $ 4. 6 billion  company 2019s proportionate share debt is $ 1. 8 billion.
 of december 31 2014 loans had scheduled maturities one month to 19 years bear interest at rates from 1. 92% (. 92 % ) to 8. 39% ( 8. 39 % ).
 approximately $ 525. 7 million of aggregate outstanding loan balance matures in 2015 company 2019s proportionate share is $ 206. 0 million.
 maturing loans anticipated to be repaid with operating cash flows debt refinancing partner capital contributions  as appropriate ( see footnote 7 of notes to consolidated financial statements form 10-k ).

venture                    | kimco ownership interest | number of properties | total gla ( in thousands ) | non- recourse mortgage payable ( in millions ) | number of encumbered properties | average interest rate | weighted average term ( months )
-------------------------- | ------------------------ | -------------------- | -------------------------- | ---------------------------------------------- | ------------------------------- | --------------------- | --------------------------------
kimpru ( a )               | 15.0% ( 15.0 % )         | 60                   | 10573                      | $ 920.4                                        | 39                              | 5.53% ( 5.53 % )      | 23.0
riocan venture ( b )       | 50.0% ( 50.0 % )         | 45                   | 9307                       | $ 642.6                                        | 28                              | 4.29% ( 4.29 % )      | 39.9
kir ( c )                  | 48.6% ( 48.6 % )         | 54                   | 11519                      | $ 866.4                                        | 46                              | 5.04% ( 5.04 % )      | 61.9
big shopping centers ( d ) | 50.1% ( 50.1 % )         | 6                    | 1029                       | $ 144.6                                        | 6                               | 5.52% ( 5.52 % )      | 22.0
kimstone ( e ) ( g )       | 33.3% ( 33.3 % )         | 39                   | 5595                       | $ 704.4                                        | 38                              | 4.45% ( 4.45 % )      | 28.7
cpp ( f )                  | 55.0% ( 55.0 % )         | 7                    | 2425                       | $ 112.1                                        | 2                               | 5.05% ( 5.05 % )      | 10.1


westrock company notes to consolidated financial statements 2014 continued consistent with prior years consider portion of earnings from certain foreign subsidiaries subject to repatriation provide for taxes accordingly.
 consider unremitted earnings and all other outside basis differences from other foreign subsidiaries to indefinitely reinvested.
 not provided for any taxes due.
 as of september 30 , 2019 estimate outside basis difference in foreign subsidiaries considered indefinitely reinvested to approximately $ 1. 6 billion.
 components of outside basis difference comprised of purchase accounting adjustments, undistributed earnings  equity components.
 except for portion of earnings from certain foreign subsidiaries where provided for taxes not provided for any taxes due upon reversal of outside basis differences.
 event distribution in form of dividends or dispositions of subsidiaries may be subject to incremental.
 income taxes , adjustment for foreign tax credits withholding taxes or income taxes payable to foreign jurisdictions.
 as of september 30 , 2019  determination of amount of unrecognized deferred tax liability related to remaining undistributed foreign earnings not subject to transition tax and additional outside basis differences not practicable.
 reconciliation of beginning and ending amount of gross unrecognized tax benefits is as follows ( in millions ) :.
 1 ) amounts in fiscal 2019 relate to kapstone acquisition.
 amounts in fiscal 2018 and 2017 relate to mps acquisition.
 2 ) additions for tax positions taken in current fiscal year includes primarily positions taken related to foreign subsidiaries.
 3 ) amounts in fiscal 2019 relate to settlements of state and foreign audit examinations.
 amounts in fiscal 2018 relate to settlement of state audit examinations and federal and state amended returns filed related to affirmative adjustments for reserve.
amounts in fiscal 2017 relate to settlement of federal state audit examinations with taxing authorities.
 as of september 30 , 2019 and 2018  total unrecognized tax benefits was approximately $ 224. 3 million and $ 127. 1 million , exclusive of interest and penalties.
 if prevail on all unrecognized tax benefits  approximately $ 207. 5 million and $ 108. 7 million  would benefit effective tax rate.
 regularly evaluate  assess adjust related liabilities in changing facts circumstances could cause effective tax rate to fluctuate period.
 resolution of uncertain tax positions could have adverse effect on cash flows or benefit results of operations in future periods depending ultimate resolution.
 see 201cnote 18.
 commitments contingencies 2014 brazil tax liability 201d recognize estimated interest penalties related to unrecognized tax benefits in income tax expense in consolidated statements of income.
 as of september 30 , 2019  had liabilities of $ 80. 0 million related to estimated interest and penalties for unrecognized tax benefits.
 as of september 30 , 2018 , had liabilities of $ 70. 4 million  related to estimated interest and penalties for unrecognized tax benefits.
 results of operations for fiscal year ended september 30 , 2019 , 2018 2017 include expense of $ 9. 7 million , $ 5. 8 million and $ 7. 4 million , net of indirect benefits related to estimated interest penalties liability for unrecognized tax benefits.
 as of september 30 , 2019  possible unrecognized tax benefits will decrease by up to $ 8. 7 million in next twelve months due to expiration of statues of limitations and settlement of issues.

| 2019         | 2018         | 2017
------------------------------------------------------------------------- | ------------ | ------------ | --------
balance at beginning of fiscal year                                       | $ 127.1      | $ 148.9      | $ 166.8
additions related to purchase accounting ( 1 )                            | 1.0          | 3.4          | 7.7
additions for tax positions taken in current year ( 2 )                   | 103.8        | 3.1          | 5.0
additions for tax positions taken in prior fiscal years                   | 1.8          | 18.0         | 15.2
reductions for tax positions taken in prior fiscal years                  | ( 0.5 )      | ( 5.3 )      | ( 25.6 )
reductions due to settlement ( 3 )                                        | ( 4.0 )      | ( 29.4 )     | ( 14.1 )
( reductions ) additions for currency translation adjustments             | -1.7 ( 1.7 ) | -9.6 ( 9.6 ) | 2.0
reductions as a result of a lapse of the applicable statute oflimitations | ( 3.2 )      | ( 2.0 )      | ( 8.1 )
balance at end of fiscal year                                             | $ 224.3      | $ 127.1      | $ 148.9


united parcel service , inc.
 subsidiaries notes to consolidated financial statements 2014 ( continued ) table summarizes activity related to unrecognized tax benefits ( in millions ) :.
 as of december 31 , 2007  total amount gross unrecognized tax benefits if recognized affect effective tax rate was $ 134 million.
 had gross recognized tax benefits of $ 567 million recorded as of december 31 , 2007 associated with outstanding refund claims for prior tax years.
 had net receivable recorded with respect to prior year income tax matters in accompanying balance sheets.
 continuing practice to recognize interest and penalties associated with income tax matters as component of income tax expense.
 to uncertain tax benefits accrued penalties of $ 5 million interest of $ 36 million during 2007.
 as of december 31 , 2007 recognized liability for penalties of $ 6 million interest of $ 75 million.
 recognized receivable for interest of $ 116 million for recognized tax benefits associated with outstanding refund claims.
 file income tax returns in u.
 federal jurisdiction .
 state and local jurisdictions many non-u. s.
 jurisdictions.
 as of december 31 , 2007  substantially resolved all u. s.
 federal income tax matters for tax years prior to 1999.
 in third quarter of 2007  entered into joint stipulation to dismiss case with department of justice  withdrawing refund claim related to 1994 disposition of subsidiary in france.
 write-off of previously recognized tax receivable balances associated with 1994 french matter resulted in $ 37 million increase in income tax expense for quarter.
 increase offset by impact of favorable developments with other.
 federal ,.
 state  non-u. s.
 contingency matters.
in february 2008 , irs completed audit of tax years 1999 through 2002 with limited number of issues considered by irs appeals office by 2009.
 irs in final stages of completing audit of tax years 2003 through 2004.
 anticipate irs will conclude audit of 2003 and 2004 tax years by 2009.
 with few exceptions no longer subject to u. s.
 state and local and non-u. s.
 income tax examinations by tax authorities for tax years prior to 1999  but certain u. s.
 state and local matters subject to ongoing litigation.
 number of years may elapse before uncertain tax position is audited and ultimately settled.
 difficult to predict ultimate outcome or timing of resolution for uncertain tax positions.
 reasonably possible amount unrecognized tax benefits could significantly increase or decrease within next twelve months.
 items may cause changes to unrecognized tax benefits include timing of interest deductions  deductibility of acquisition costs  consideration of filing requirements in various states allocation of income and expense between tax jurisdictions effects of terminating election to have foreign subsidiary join in filing consolidated return.
 changes could result from settlement of ongoing litigation , completion of ongoing examinations expiration of statute of limitations or other unforeseen circumstances.
 estimate of range of reasonably possible change cannot be

balance at january 1 2007                        | $ 373
------------------------------------------------ | ----------
additions for tax positions of the current year  | 13
additions for tax positions of prior years       | 34
reductions for tax positions of prior years for: |
changes in judgment or facts                     | -12 ( 12 )
settlements during the period                    | -49 ( 49 )
lapses of applicable statute of limitations      | -4 ( 4 )
balance at december 31 2007                      | $ 355


five-year performance comparison 2013 graph indicator of cumulative total shareholder returns for corporation compared to peer group index , dj trans  s&p 500.
 graph assumes $ 100 invested in common stock of union pacific corporation and each index on december 31 , 2007 all dividends reinvested.
 purchases of equity securities 2013 during 2012  repurchased 13804709 shares of common stock average price $ 115. 33.
 table presents common stock repurchases during each month for fourth quarter of 2012 : period total number of shares purchased average price paid per share total number of shares purchased part of publicly announced plan or program maximum number of shares yet be purchased under plan or program.
 total number of shares purchased during quarter includes approximately 105978 shares delivered or attested to upc by employees to pay stock option exercise prices  satisfy excess tax withholding obligations for stock option exercises or vesting of retention units pay withholding obligations for vesting of retention shares.
 on april 1 , 2011  board of directors authorized repurchase of up to 40 million shares of common stock by march 31 , 2014.
 repurchases may be made on open market or through other transactions.
 management has sole discretion determining timing and amount of transactions.

period                   | total number ofsharespurchased [a] | averageprice paidper share | total number of sharespurchased as part of apublicly announced planor program [b] | maximum number ofshares that may yetbe purchased under the planor program [b]
------------------------ | ---------------------------------- | -------------------------- | --------------------------------------------------------------------------------- | -----------------------------------------------------------------------------
oct . 1 through oct . 31 | 1068414                            | 121.70                     | 1028300                                                                           | 16041399
nov . 1 through nov . 30 | 659631                             | 120.84                     | 655000                                                                            | 15386399
dec . 1 through dec . 31 | 411683                             | 124.58                     | 350450                                                                            | 15035949
total                    | 2139728                            | $ 121.99                   | 2033750                                                                           | n/a


table contents interest expense  net capitalized interest increased $ 64 million or 9. 8% (. ) to $ 710 million in 2013 from $ 646 million in 2012 due to special charges of $ 92 million to recognize post-petition interest expense on unsecured obligations plan and penalty interest related to 10. 5% (. 5 % ) secured notes and 7. 50% (. % ) senior secured notes.
 other nonoperating expense  net of $ 84 million in 2013 principally of net foreign currency losses of $ 55 million and early debt extinguishment charges of $ 48 million.
 other nonoperating income in 2012 of $ 280 million special credit related to settlement of commercial dispute partially offset by net foreign currency losses.
 reorganization items  net reorganization items refer to revenues  expenses ( including professional fees ) realized gains and losses provisions for losses realized direct result of chapter 11 cases.
 table summarizes components in reorganization items  net on american 2019s consolidated statements of operations for years ended december 31 , 2013 and 2012 ( in millions ) :.
 exchange for employees 2019 contributions to successful reorganization including reductions in pay and benefits american agreed to provide each employee group a deemed claim  distribution of portion of equity of reorganized entity to employees.
 each employee group received deemed claim amount based upon portion of value of cost savings provided by group through reductions to pay and benefits certain work rule changes.
 total value of deemed claim was approximately $ 1. 7 billion.
 amounts include allowed claims ( claims approved by bankruptcy court ) and estimated allowed claims relating to rejection or modification of financings related to aircraft and entry of orders treated as unsecured claims with facility agreements supporting certain issuances of special facility revenue bonds.
debtors recorded estimated claim associated with rejection or modification of financing or facility agreement when applicable motion filed with bankruptcy court to reject or modify financing agreement debtors believed probable motion would be approved sufficient information to estimate claim.
 see note 2 to american 2019s consolidated financial statements in part ii , item 8b for further information.
 ( 3 ) pursuant to plan debtors agreed to allow post-petition unsecured claims on obligations.
 during year ended december 31 , 2013 , american recorded reorganization charges to adjust estimated allowed claim amounts recorded on rejected special facility revenue bonds of $ 180 million , allowed general unsecured claims related to 1990 and 1994 series of special facility revenue bonds that financed improvements at jfk , and rejected bonds financed certain improvements at ord , included in table above.
 4 plan allowed unsecured creditors receiving aag series a preferred stock conversion discount of 3. 5% ( 3. 5 % ).
 american recorded fair value of discount upon confirmation of plan by bankruptcy court.

| 2013   | 2012
------------------------------------------------------------------------- | ------ | ------------
pension and postretirement benefits                                       | $ 2014 | $ -66 ( 66 )
labor-related deemed claim ( 1 )                                          | 1733   | 2014
aircraft and facility financing renegotiations and rejections ( 2 ) ( 3 ) | 320    | 1951
fair value of conversion discount ( 4 )                                   | 218    | 2014
professional fees                                                         | 199    | 227
other                                                                     | 170    | 67
total reorganization items net                                            | $ 2640 | $ 2179


december 31 , 2006  company leased office laboratory facility in connecticut , additional office  distribution storage facilities in san diego  four foreign facilities in japan  singapore china netherlands under non-cancelable operating leases expire through june 2011.
 leases contain renewal options from one to five years.
 december 31 , 2006  annual future minimum payments under operating leases were ( in thousands ) :.
 rent expense , net of amortization of deferred gain on sale of property, was $ 4723041 , $ 4737218 , $ 1794234 for years ended december 31 , 2006 , january 1 , 2006 january 2, 2005 , respectively.
 6.
 stockholders 2019 equity common stock as of december 31 , 2006  company had 46857512 shares of common stock outstanding 4814744 shares sold to employees consultants subject to restricted stock agreements.
 restricted common shares vest agreements over five years.
 all unvested shares subject to repurchase by company at original purchase price.
 as of december 31 , 2006  36000 shares of common stock were subject to repurchase.
 company issued 12000 shares for restricted stock award to employee under company 2019s new 2005 stock and incentive plan based on service performance.
 shares vest monthly over three-year period.
 stock options 2005 stock and incentive plan in june 2005 stockholders company approved 2005 stock and incentive plan ( 2005 stock plan ).
 upon adoption of 2005 stock plan issuance of options under company 2019s existing 2000 stock plan ceased.
 2005 stock plan provides aggregate of up to 11542358 shares of company 2019s common stock be reserved and available to be issued.
2005 stock plan provides for automatic annual increase in shares reserved for issuance by lesser of 5% ) of outstanding shares company 2019s common stock on last day of preceding fiscal year , 1200000 shares or lesser amount as determined by company 2019s board of directors.
 illumina , inc.
 notes to consolidated financial statements 2014 ( continued )

2007                | 5320
------------------- | -------
2008                | 5335
2009                | 5075
2010                | 4659
2011                | 4712
2012 and thereafter | 12798
total               | $ 37899


management 2019s discussion analysis of financial condition results of operations ( continued ) npr consistent with basel committee 2019s lcr.
  includes stringent requirements , including accelerated implementation time line modifications to definition of high-quality liquid assets expected outflow assumptions.
 we continue to analyze proposed rules analyze their impact develop strategies for compliance.
 principles of lcr consistent with our liquidity management framework ; specific calibrations of elements within final lcr rule , eligibility of assets as hqla , operational deposit requirements net outflow requirements could effect on our liquidity , funding business activities, including management composition of investment securities portfolio ability to extend committed contingent credit facilities to clients.
 in january 2014  basel committee released revised proposal with respect to net stable funding ratio , or nsfr , establish one-year liquidity standard representing proportion of long-term assets funded by long-term stable funding , scheduled for global implementation in 2018.
 revised nsfr has made favorable changes regarding treatment of operationally linked deposits reduction in funding required for certain securities.
 we continue to review specifics of basel committee's release evaluating u. s.
 implementation of this standard to analyze impact develop strategies for compliance.
.
 banking regulators not yet issued proposal to implement nsfr.
 contractual cash obligations and other commitments following table presents our long-term contractual cash obligations , in total and by period due as of december 31 , 2013.
 these obligations recorded in our consolidated statement of condition as of that date , except for operating leases and interest portions of long-term debt and capital leases.
 contractual cash obligations.
 ) long-term debt excludes capital lease obligations ( as separate line item ) and effect of interest-rate swaps.
interest payments calculated at stated rate exception of floating-rate debt  for payments calculated using indexed rate in effect as of december 31 , 2013.
 table above not include obligations settled in cash  primarily in less than one year , such as client deposits , federal funds purchased  securities sold under repurchase agreements other short-term borrowings.
 additional information about deposits  federal funds purchased securities sold under repurchase agreements short-term borrowings in notes 8 and 9 to consolidated financial statements under item 8 of form 10-k.
 table not include obligations related to derivative instruments because derivative-related amounts recorded in consolidated statement of condition as of december 31, 2013 not represent amounts may ultimately be paid under contracts upon settlement.
 additional information about derivative instruments in note 16 to consolidated financial statements under item 8 form 10-k.
 have obligations under pension other post-retirement benefit plans  described in note 19 to consolidated financial statements under item 8 form 10-k  not included in above table.
 additional information about contractual cash obligations related to long-term debt operating and capital leases in notes 10 and 20 to consolidated financial statements under item 8 form 10-k.
 consolidated statement of cash flows , included under item 8 10-k provides additional liquidity information.
 following table presents commitments , other than contractual cash obligations above, in total and by duration as of december 31 , 2013.
 these commitments not recorded in consolidated statement of condition as of that date.

as of december 31 2013 ( in millions ) | payments due by period total | payments due by period less than 1year | payments due by period 1-3years | payments due by period 4-5years | payments due by period over 5years
-------------------------------------- | ---------------------------- | -------------------------------------- | ------------------------------- | ------------------------------- | ----------------------------------
long-term debt ( 1 )                   | $ 10630                      | $ 1015                                 | $ 2979                          | $ 2260                          | $ 4376
operating leases                       | 923                          | 208                                    | 286                             | 209                             | 220
capital lease obligations              | 1051                         | 99                                     | 185                             | 169                             | 598
total contractual cash obligations     | $ 12604                      | $ 1322                                 | $ 3450                          | $ 2638                          | $ 5194


financial statements.
 as of december 31 , 2016  had cash and cash equivalents of $ 683 million debt of $ 10478 million including current portion  net of capitalized debt issuance costs.
 of $ 683 million cash cash equivalents  approximately $ 470 million held by foreign entities subject to u. s.
 income taxation upon repatriation u.
 majority of domestic cash and cash equivalents represents net deposits-in-transit at balance sheet dates relates to daily settlement activity.
 expect cash cash equivalents plus cash flows from operations over next twelve months sufficient to fund operating cash requirements capital expenditures mandatory debt service.
 expect to continue to pay quarterly dividends.
 amount  declaration payment of future dividends at discretion of board of directors depends on investment opportunities  results of operationtt s  financial condition  cash requirements  future prospects  other factors relevant by board of directors including legal and contractual restrictions.
 payment of cash dividends may be limited by covenants in certain debt agreements.
 regular quarterly dividend of $ 0. 29 per common share payable on march 31 , 2017 to shareholders of record as of close of business on march 17 , 2017.
 cash flows from operations were $ 1925 million, $ 1131 million and $ 1165 million in 2016 , 2015 2014 respectively.
 net cash provided by operating activities consists primarily of net earnings adjusted to add backr depreciation and amortization.
 ash flows from operations increased $ 794 million in 2016 decreased $ 34 million in 2015.
 2016 increase in cash flows from operations primarily due to increased net earnings after add back of non-cash depreciation and amortization result of sungard operations included for full year.
2015 decrease in cash flows from operations due to tax payment of $ 88 million income taxes to sale of check warranty contracts other assets in gaming industry lower net earnings offset by changes in working capital.
 capital expenditures investing activities principal capital expenditures are for computer software ( purchased internally developed ) addrr itions to property equipment.
 invested approximately $ 616 million  $ 415 million $ 372 million in capital expenditures during 2016  2015 2014 .
 expect to invest approximately 6%-7% ( 6%-7 % ) of 2017 revenue in capital expenditures.
 used $ 0 million , $ 1720 million $ 595 million of cash during 2016  2015 2014 for acquisitions other equity investments.
 see note 3 of notes consolidated financial statements for discussion significant items.
 cash provided by net proceeds from sale of assets in 2015 relates principally to sale of check warranty contracts other assets in gaming industry discussed in note 15 of notes consolidated financial statements.
 financing for information company long-term debt financing activity see note 10 notes to consolidated financial statements.
 contractual obligations fis 2019 long-term contractual obligations include long-term debt  interest on long-term debt  lease payments on property equipment payments for data processing maintenance.
 for information company long-term aa debt see note 10 of notes consolidated financial statements.
 table summarizes fis 2019 significant contractual obligations commitments as of december 31 , 2016 ( in millions ) :.

type of obligations                 | total   | payments due in less than 1 year | payments due in 1-3 years | payments due in 3-5 years | payments due in more than 5 years
----------------------------------- | ------- | -------------------------------- | ------------------------- | ------------------------- | ---------------------------------
long-term debt ( 1 )                | $ 10591 | $ 332                            | $ 1573                    | $ 2536                    | $ 6150
interest ( 2 )                      | 2829    | 381                              | 706                       | 595                       | 1147
operating leases                    | 401     | 96                               | 158                       | 82                        | 65
data processing and maintenance     | 557     | 242                              | 258                       | 35                        | 22
other contractual obligations ( 3 ) | 51      | 17                               | 17                        | 16                        | 1
total                               | $ 14429 | $ 1068                           | $ 2712                    | $ 3264                    | $ 7385


stock performance graph : graph shows cumulative total shareholder return assuming investment $ 100  on december 31 , 2012 reinvestment of dividends thereafter in company 2019s common stock versus standard and poor 2019s s&p 500 retail index ( 201cs&p 500 retail index 201d ) standard and poor 2019s s&p 500 index ( 201cs&p 500 201d ).

company/index                 | december 31 , 2012 | december 31 , 2013 | december 31 , 2014 | december 31 , 2015 | december 31 , 2016 | december 31 , 2017
----------------------------- | ------------------ | ------------------ | ------------------ | ------------------ | ------------------ | ------------------
o 2019reilly automotive inc . | $ 100              | $ 144              | $ 215              | $ 283              | $ 311              | $ 269
s&p 500 retail index          | 100                | 144                | 158                | 197                | 206                | 265
s&p 500                       | $ 100              | $ 130              | $ 144              | $ 143              | $ 157              | $ 187


alexion pharmaceuticals , inc.
 notes to consolidated financial statements 2014 continued ) for years ended december 31 , 2007 2006 , five month period ended december 31 , 2005  year ended july 31 , 2005 ( amounts in thousands  except share and per share amounts ) in 2006  completed final phase iii trial of pexelizumab.
 after reviewing results trial along with p&g  determined not to pursue further development of pexelizumab.
 effective march 30 , 2007  we p&g agreed to terminate collaboration agreement.
 relevant agreement terminated in march 2007  remaining portion of $ 10000 non-refundable up-front license fee  or $ 5343 , recognized as revenue in year ended december 31 , 2007 included in contract research revenues.
 license and research and development agreements entered into number of license , research and development manufacturing development agreements since inception.
 agreements made with research institutions , universities  contractors  collaborators  government agencies to advance obtain technologies services related to business.
 license agreements provide for initial fee annual minimum royalty payments.
 certain agreements call for future payments upon attainment of agreed upon milestones investigational new drug  application approval of biologics license application.
 agreements require minimum royalty payments based on sales of products developed from applicable technologies.
 clinical and manufacturing development agreements provide for fund manufacturing development on-going clinical trials.
 clinical trial development agreements include contract services outside contractor services including contracted clinical site services related to patient enrolment for clinical trials.
 manufacturing development agreements include clinical manufacturing manufacturing development and scale-up.
 executed large-scale product supply agreement with lonza sales ag for long-term commercial manufacture of soliris ( see note 9 ).
to maintain rights under agreements , we may be required to provide minimum level funding or support.
 may elect to terminate arrangements.
 accordingly recognize expense related obligation related to arrangements over period of performance.
 minimum fixed payments ( assuming non-termination of agreements ) as of december 31 , 2007 , for each next five years are follows : years ending december 31 , license agreements clinical and manufacturing development agreements.

years ending december 31, | license agreements | clinical and manufacturing development agreements
------------------------- | ------------------ | -------------------------------------------------
2008                      | $ 707              | $ 2860
2009                      | 552                | 3750
2010                      | 322                | 7500
2011                      | 300                | 7500
2012                      | 300                | 7500


special asset pool ( sap )  constituted 28% ( 28 % ) of citi holdings assets as of december 31 , 2009 portfolio of securities loans other assets citigroup intends to reduce over time through asset sales portfolio run-off.
 at december 31  2009 sap had $ 154 billion of assets.
 assets declined by $ 197 billion or 56% ( 56 % ) from peak levels 2007 reflecting cumulative write-downs asset sales portfolio run-off.
 assets reduced by $ 87 billion from year-ago levels.
 approximately 60% ( 60 % ) of sap assets now accounted for on accrual basis reduce income volatility.
 in millions of dollars 2009 2008 2007 % ( % ) change 2009 vs.
 2008 change 2008 vs.
 2007.
 2009 vs.
 2008 revenues net of interest expense increased $ 35. 9 billion in 2009 due to absence of significant negative revenue marks prior year.
 total negative marks were $ 1. 9 billion in 2009 compared to $ 38. 1 billion in 2008.
 revenue current year included positive $ 1. 3 billion cva on derivative positions excluding monoline insurers positive marks of $ 0. 8 billion on subprime-related direct exposures.
 positive revenues offset by negative revenues of $ 1. 5 billion on alt-a mortgages $ 1. 3 billion of write-downs on commercial real estate negative $ 1. 6 billion cva on monoline insurers and fair value option liabilities.
 revenue affected by negative marks on private equity positions write-downs on highly leveraged finance commitments.
 operating expenses decreased 9% ( 9 % ) in 2009 driven by lower compensation lower volumes transaction expenses partially offset by costs associated with.
 government loss-sharing agreement  citi exited in fourth quarter of 2009.
provisions for credit losses benefits claims increased $ 1. 5 billion driven by $ 4. 5 billion increased net credit losses offset by lower reserve build of $ 3. 0 billion.
 assets declined 36% ( 36 % ) versus prior year driven by amortization prepayments sales marks charge-offs.
 asset sales during fourth quarter of 2009 ( $ 10 billion ) executed at or above citi 2019s marks generating $ 800 million pretax gains for quarter.
 2008 vs.
 2007 revenues net interest expense decreased $ 21. 7 billion due to negative net revenue marks.
 revenue included $ 14. 3 billion write- downs on subprime-related direct exposures negative $ 6. 8 billion cva related to monoline insurers derivative positions.
 revenue negatively affected by write-downs on highly leveraged finance commitments alt-a mortgage revenue  write-downs on structured investment vehicles commercial real estate mark-to-market on auction rate securities.
 total negative marks were $ 38. 1 billion in 2008 compared to $ 20. 2 billion in 2007.
 operating expenses decreased 8% ( 8 % ) driven by lower compensation transaction expenses.
 provisions for credit losses benefits claims increased $ 2. 7 billion due to $ 2. 2 billion increase in reserve build increase in net credit losses of $ 0. 5 billion.
 assets declined 31% ( 31 % ) versus prior year driven by amortization prepayments sales marks charge-offs.

in millions of dollars                                       | 2009             | 2008               | 2007               | % (  % ) change 2009 vs . 2008 | % (  % ) change 2008 vs . 2007
------------------------------------------------------------ | ---------------- | ------------------ | ------------------ | ------------------------------ | ------------------------------
net interest revenue                                         | $ 3173           | $ 3332             | $ 2723             | ( 5 ) % (  % )                 | 22% ( 22 % )
non-interest revenue                                         | -6855 ( 6855 )   | -42906 ( 42906 )   | -20619 ( 20619 )   | 84                             | nm
revenues net of interest expense                             | $ -3682 ( 3682 ) | $ -39574 ( 39574 ) | $ -17896 ( 17896 ) | 91% ( 91 % )                   | nm
total operating expenses                                     | $ 896            | $ 988              | $ 1070             | ( 9 ) % (  % )                 | ( 8 ) % (  % )
net credit losses                                            | $ 5420           | $ 909              | $ 436              | nm                             | nm
provision for unfunded lending commitments                   | 111              | -172 ( 172 )       | 71                 | nm                             | nm
credit reserve builds/ ( release )                           | -483 ( 483 )     | 2844               | 378                | nm                             | nm
provisions for credit losses and for benefits and claims     | $ 5048           | $ 3581             | $ 885              | 41% ( 41 % )                   | nm
( loss ) from continuing operations before taxes             | $ -9626 ( 9626 ) | $ -44143 ( 44143 ) | $ -19851 ( 19851 ) | 78% ( 78 % )                   | nm
income taxes ( benefits )                                    | -4323 ( 4323 )   | -17149 ( 17149 )   | -7740 ( 7740 )     | 75                             | nm
( loss ) from continuing operations                          | $ -5303 ( 5303 ) | $ -26994 ( 26994 ) | $ -12111 ( 12111 ) | 80% ( 80 % )                   | nm
net income ( loss ) attributable to noncontrolling interests | -17 ( 17 )       | -205 ( 205 )       | 149                | 92                             | nm
net ( loss )                                                 | $ -5286 ( 5286 ) | $ -26789 ( 26789 ) | $ -12260 ( 12260 ) | 80% ( 80 % )                   | nm
eop assets ( in billions of dollars )                        | $ 154            | $ 241              | $ 351              | ( 36 ) % (  % )                | ( 31 ) % (  % )


notes to consolidated financial statements 2014 continued ) company 2019s financial statements establishes guidelines for recognition measurement of tax position taken or expected in tax return.
 result of adoption  recorded $ 1. 5 million increase in liability for unrecognized income tax benefits accounted for as $ 1. 0 million reduction to june 1, 2007 balance of retained earnings and $ 0. 5 million reduction to june 1 , 2007 balance of additional paid-in capital.
 adoption date other long-term liabilities included liabilities for unrecognized income tax benefits of $ 3. 8 million accrued interest and penalties of $ 0. 7 million.
 reconciliation of beginning and ending amount of unrecognized tax benefits ( in thousands ) :.
 as of may 31 , 2008  total amount gross unrecognized tax benefits if recognized affect effective tax rate is $ 3. 7 million.
 recognize accrued interest related to unrecognized income tax benefits in interest expense and accrued penalty expense related to unrecognized tax benefits in sales , general administrative expenses.
 during fiscal 2008  recorded $ 0. 3 million of accrued interest and penalty expense related to unrecognized income tax benefits.
 anticipate total amount of unrecognized income tax benefits will decrease by $ 1. 1 million net of interest and penalties from foreign operations within next 12 months expiration of statute of limitations.
 conduct business globally file income tax returns in united states federal jurisdiction various state and foreign jurisdictions.
 subject to examination by taxing authorities throughout world including major jurisdictions united states and canada.
 few exceptions no longer subject to income tax examinations for years ended may 31 , 2003 and prior.
 currently under audit by internal revenue service of united states for 2004 to 2005 tax years.
expect examination phase audit for years 2004 to 2005 conclude in fiscal 2009.
 note 8 2014shareholders 2019 equity april 5 , 2007 board of directors approved share repurchase program authorized purchase of up to $ 100 million of global payments 2019 stock in open market or otherwise determined by us subject to market conditions business opportunities other factors.
 under authorization repurchased 2. 3 million shares common stock during fiscal 2008 at cost of $ 87. 0 million  average $ 37. 85 per share including commissions.
 as of may 31 , 2008  had $ 13. 0 million remaining under current share repurchase authorization.
 no amounts repurchased during fiscal 2007.
 note 9 2014share-based awards and options as of may 31 , 2008 had four share-based employee compensation plans.
 for all share-based awards granted after june 1 , 2006 compensation expense recognized straight-line basis.
 fair value of share- based awards granted prior to june 1, 2006 amortized as compensation expense accelerated basis from date of grant.
 no share-based compensation capitalized during fiscal 2008 , 2007  2006.

balance at june 1 2007                                       | $ 3760
------------------------------------------------------------ | ------------
additions based on tax positions related to the current year | 93
additions for tax positions of prior years                   | 50
reductions for tax positions of prior years                  | 2014
settlements with taxing authorities                          | -190 ( 190 )
balance at may 31 2008                                       | $ 3713


system energy resources , inc.
 management's financial discussion analysis with syndicated bank letters of credit.
 in december 2004 system energy amended these letters of credit now expire in may 2009.
 system energy may refinance or redeem debt prior to maturity market conditions interest dividend rates favorable.
 all debt and common stock issuances by system energy require prior regulatory approval.
 debt issuances subject to issuance tests in bond indentures other agreements.
 system energy has sufficient capacity under tests to meet foreseeable capital needs.
 system energy obtained short-term borrowing authorization from ferc may borrow through march 31, 2010 up to aggregate amount of $ 200 million.
 see note 4 to financial statements for discussion of system energy's short-term borrowing limits.
 system energy obtained order from ferc authorizing long-term securities issuances.
 current long- term authorization extends through june 2009.
 system energy's receivables from money pool were as follows as of december 31 for each following years:.
 in may 2007  $ 22. 5 million of system energy's receivable from money pool replaced by note receivable from entergy new orleans.
 see note 4 to financial statements for description of money pool.
 nuclear matters system energy owns and operates grand gulf.
 system energy subject to risks related to owning operating nuclear plant.
 include risks from use  storage handling disposal of high-level and low-level radioactive materials  regulatory requirement changes including changes from events at other plants limitations on amounts types of insurance commercially available for losses connection with nuclear operations technological and financial uncertainties related to decommissioning nuclear plants at end of licensed lives including sufficiency of funds in decommissioning trusts.
unanticipated early shutdown of grand gulf , system energy may be required to provide additional funds or credit support to satisfy regulatory requirements for decommissioning.
 environmental risks system energy's facilities operations subject to regulation by governmental authorities jurisdiction over air quality water quality control of toxic substances hazardous solid wastes other environmental matters.
 management believes system energy in substantial compliance with environmental regulations applicable to facilities operations.
 environmental regulations subject to change , future compliance costs cannot be precisely estimated.
 critical accounting estimates preparation of system energy's financial statements with accepted accounting principles requires management to apply appropriate accounting policies make estimates judgments

2008             | 2007             | 2006             | 2005
---------------- | ---------------- | ---------------- | ----------------
( in thousands ) | ( in thousands ) | ( in thousands ) | ( in thousands )
$ 42915          | $ 53620          | $ 88231          | $ 277287


shareholder return performance presentation graph compares cumulative total shareholder return on state street's common stock to cumulative total return s&p 500 index , s&p financial index kbw bank index over five- year period.
 cumulative total shareholder return assumes investment of $ 100 in state street common stock and in each index on december 31 , 2008 at closing price last trading day of 2008 assumes reinvestment of common stock dividends.
 s&p financial index is publicly available measure of 81 of standard & poor's 500 companies  representing 17 diversified financial services companies  22 insurance companies 19 real estate companies 23 banking companies.
 kbw bank index performance of banks and thrifts publicly traded in u. s.  composed of 24 leading national money center and regional banks and thrifts.

| 2008  | 2009  | 2010  | 2011  | 2012  | 2013
------------------------ | ----- | ----- | ----- | ----- | ----- | -----
state street corporation | $ 100 | $ 111 | $ 118 | $ 105 | $ 125 | $ 198
s&p 500 index            | 100   | 126   | 146   | 149   | 172   | 228
s&p financial index      | 100   | 117   | 132   | 109   | 141   | 191
kbw bank index           | 100   | 98    | 121   | 93    | 122   | 168


14.
 leases we lease certain locomotives  freight cars  other property.
 consolidated statement of financial position as of december 31 , 2009 and 2008 included $ 2754 million , net of $ 927 million of accumulated depreciation  and $ 2024 million , net of $ 869 million of accumulated depreciation  for properties under capital leases.
 charge to income from depreciation for assets capital leases included within depreciation expense in consolidated statements of income.
 future minimum lease payments for operating and capital leases with initial or remaining non-cancelable lease terms in excess of one year as of december 31, 2009 were : millions of dollars operating leases capital leases.
 majority of capital lease payments relate to locomotives.
 rent expense for operating leases with terms exceeding one month was $ 686 million in 2009  $ 747 million in 2008  $ 810 million in 2007.
 when cash rental payments not made straight-line basis recognize variable rental expense on straight-line basis over lease term.
 contingent rentals and sub-rentals not significant.
 15.
 commitments contingencies asserted and unasserted claims 2013 various claims lawsuits pending against us and subsidiaries.
 cannot fully determine effect of all asserted unasserted claims on consolidated results of operations  financial condition liquidity ; where asserted claims considered probable reasonably estimated recorded liability.
 do not expect any known lawsuits , claims  environmental costs commitments contingent liabilities  or guarantees will have material adverse effect on consolidated results of operations  financial condition or liquidity after taking account liabilities insurance recoveries previously recorded for.
personal injury 2013 cost of personal injuries to employees others related to our activities charged to expense based on estimates ultimate cost number of incidents each year.
 use third-party actuaries to assist measuring expense liability including unasserted claims.
 federal employers 2019 liability act ( fela ) governs compensation for work-related accidents.
 under fela  damages assessed based on finding of fault through litigation or out-of-court settlements.
 offer comprehensive variety services rehabilitation programs for employees injured

millions of dollars                     | operatingleases | capital leases
--------------------------------------- | --------------- | --------------
2010                                    | $ 576           | $ 290
2011                                    | 570             | 292
2012                                    | 488             | 247
2013                                    | 425             | 256
2014                                    | 352             | 267
later years                             | 2901            | 1623
total minimum lease payments            | $ 5312          | $ 2975
amount representing interest            | n/a             | -914 ( 914 )
present value of minimum lease payments | n/a             | $ 2061