expense decreased $ 6. 2 million 50. 0%. 2004 2003.
 due disposal transfer facility closure $ 3. million reduced legal charges $ 1. 5 million expenses $ 1. 4 million.
 decreased 2004 $ 92. 2 million 75. 7%. from 2003.
 $ 73. 3 million expenses debt refinancing 2003.
. $ 55. million premiums notes $ 17. 4 million non-cash charge deferred financing fees credit facility.
. interest expense $ 18. 9 million lower 2003 lower interest rates refinancing lower debt levels.
 effective tax rate 38. 0%. 2004 42. 3%. 2003.
 higher tax rate 2003 due stable permanent items lower book income.
 2004 2003 tax rates higher 35. state income taxes.
 2003 historical results operations.

 sales $ 1735. 5 $ 1735. 9. 4.
 before interest taxes $ 96. 9 $ 145. 3 -48. 4 48.
 -121. 8 121. -67. 7. -54. 54.
 before taxes -24. 9. 77. 6 -102. 5.
 taxes 10. 4 29. 39. 9
. 4 14. $ 48. 2 -62. 6 62.
 sales decreased $. 4 million. 2003.
 increased improved volumes offset lower prices.
 corrugated products volume increased 2. 1%. 28. billion square feet 2003. 2002.
 increased. 7%. 2003.
.
 2003 more workday 252.
 containerboard sales volume decreased 6. 7%. 445000 tons 31 2003 477000 tons.
 before decreased $ 48.4 million 33. 3%. year 2003 2002.
 taxes twelve


valuation techniques 2013 cash equivalents short-term-market instruments valued at cost fair value.
.
 level 1 traded exchanges valued closing prices last trading day year.
.
 trustee obtains quotes pricing vendor broker investment manager.
 categorized level 2 quotes level 3 quotes.
 equity funds level 1 traded exchanges valued closing prices last trading day year.
 obtains quotes pricing vendor broker investment.
 2.
 investments level 2 valued models market data. interest rates yield curves bids quoted prices.
 level 3.
 trustee obtains pricing indicative quotes bid evaluations vendors brokers investment.
 investments level 3 valued discounted cash flow approach.
 inputs projected annuity payments discount rate.
commingled equity funds valued using nav.
 based on underlying investments redeemable 90 days.
 private equity funds partnership co-investment.
 based on valuation underlying securities unobservable inputs.
 redemption periods eight 12 years.
 real estate funds partnerships closed-end funds nav based on valuation models appraisals.
 redemption periods eight 10 years.
 hedge funds based on underlying investments.
 redemptions based specific terms month to months.
 funding benefit pension plans determined erisa code.
 $ 5. 0 billion 2018.
 2019.
 estimated future benefit payments december 31 2018.
 defined benefit pension plans $ 2350 2390 2470 2610 13670
 retiree medical life insurance plans 170
401 k ) employees.
 match 2019 contributions.
 contributions $ 658 million 2018 $ 613 million 2017 617 million 2016 funded common stock.
 33. 3 million 35. 5 million shares common stock 2017.


foods sales increased $ 303 million 5% to $ 6. 8 billion.
 increase three points improved net pricing product mix two higher volumes.
 priority investment brands.
 product recalls offset improvements.
 implemented price increases foods products fourth quarter 2008.
 sales improvements expected into 2009.
 sales brands chef david egg beaters healthy choice hebrew grew 2008.
 sales act ii andy capp banquet kid cuisine parkay pemmican reddi-wip slim jim declined 2008.
 sales.
 initiated peanut butter recall reintroduced peter pan 2007.
 sales 2008 $ 14 million lower than 2007.
 impacted by recall banquet ae private label pot pies 2008.
sales pot pies lower $ 22 million 2008 due returns lost sales.
 sales alexia foods lincoln snacks $ 66 million.
 divested refrigerated pizza business.
 sales $ 17 million food ingredients sales $ 4. 1 billion increase $ 706 million 21% 21 %.
 sales higher prices increases potato vegetable operations.
 2007 divestiture oat milling sales $ 27 million offset increased sales $ 18 million acquisition watts brothers.
 international foods sales increased $ 65 million $ 678 million.
 strengthening foreign currencies.
 $ 36 million.
 5% ( 5 % increase sales volume increased sales canada mexico increases net pricing.
.
 foods 1802 1923
 ingredients 23% 23 %
 international foods 6%
 2716 1%
 gross profit 2008 $ 2.7 billion $ 23 million 1%.
 driven food ingredients higher margins offset reduced profits consumer foods.
 restructuring reduced profit $ 4 million $ 46 million 2008 2007.


entergy corporation subsidiaries financial plants assets.
 note 14 financial statements.
 entergy louisiana gulf business combination 2015 deferred tax asset increase $ million regulatory liability $ 107 million $ 66 million net-of-tax customer credits settlement.
 note 2 financial statements.
 sale 583 mw rhode island energy center gain $ 154 million $ 100 million net-of-tax $ 77 million $ 47 million net-tax write-off regulatory charges waterford 3 steam generator project.
 note 14 center sale.
 2 waterford 3.
 revenue 2016 2015.
.
 2015 net revenue $ 5829
 retail electric price
 louisiana customer credits
 financing savings obligation
 2016 net revenue $ 6179
 price variance base rates entergy arkansas.
new rates effective february 24 2016 first cycle.
 increase interim base rate adjustment surcharge incremental revenue requirement february 24 march 31 2016.
 purchase power block 2 union increase power capacity acquisition cost recovery entergy new orleans power block 1 increase formula rate plan revenues entergy louisiana first-year revenue power blocks 3 4 increase entergy mississippi cycle july 2016 storm damage rider.
 note 2 financial statements rate proceedings.
 note 14 union power station purchase.
 louisiana business regulatory liability $ 107 million october 2015


contents ii item 8 schlumberger. netherlands antilles subsidiary companies common stock treasury.
 balance january 1 2001 667085793 -94361099
 stock purchase plan 1752833
 shares directors 4800
 optionees
 december 31 2001 667094178 -91203780 575890398
 2677842
 shares directors 3500
 optionees
 acquisition technoguide 1347485
 december 31 2002 -84931553 582173115
 2464088
 shares directors
 optionees
 balance december 31 2003 -81157660
 consolidated financial statements 2003


management financial condition results investment portfolio december 31 2014 2013 note 3 consolidated financial statements.
 loans leases averaged $. 91 billion 2014 $. 78 billion 2013.
 increase related mutual fund lending senior secured bank loans.
 averaged $ 9. 12 billion $ 1. 40 billion 2014 $. 16 billion $ 170 million 2013.
 loans leases include short duration advances.
 table 13.
.
 advances.
 2014 2013 2012
. $ 2355 2356
.
 3867 3749
 loans leases 24% 24 % 27% 27 % 29% 29 %
.
.
 loans leases 24% 24 % 27% 29 % decline due growth loan lease portfolio.
short-duration advances provide liquidity investment.
 2014 increased low higher liquidity.
 interest-earning assets increased $ 15. 94 billion from $. 16 billion 2013.
 higher cash collateral enhanced custody business.
 interest-bearing deposits increased $ 130. 30 billion from $ 109. 25 billion 2013.
.
.
 accounts time deposits.
 influenced by asset servicing business market conditions.
.
.
 short-term borrowings increased $ 4. 18 billion 2014 from $ 3. 79 billion 2013.
 higher client demand commercial paper.
 decline rates. to. reclassification derivative contracts reduced revenue expense.
 long-term debt increased $ 9. 31 billion from $ 8. 42 billion 2013.
 increase issuance $ 1. 5 billion 2013.
offset by maturities $ 500 million senior debt may 2014 $ 250 million march 2014.
 average interest liabilities increased $ 7. 35 billion december 31 2014 from $ 6. 46 billion 2013 higher cash collateral enhanced custody business.
 factors affect future net interest revenue margin client liabilities central banks.
.
 interest rates yield curves revised regulatory capital liquidity standards discount accretion securities yields earned purchased.
 proceeds pay-downs maturities highly-rated securities.
 treasury municipal federal.
.
.
 market conditions.
 global interest rates influence net interest revenue margin.


.
 retirement defined contribution pension plan full-time shoreside employees minimum service.
 annual contributions based 2019 salaries years service not maximums.
 pension cost $ 13. 9 million $ 12. 8 million $ 12. 2 million years 2006 2005 2004.
.
 subsidiaries exempt states corporate tax international opera ships 883.
 tax expense not significant 2006 2005 2004.
 regulations 883 published august 26 2003 effective 31 2005.
 exemption narrowed scope activities international operation.
 sale air transportation transfers excursions cruise tours.
 subject.
 regulations reduced net income 2006 2005 $ 6. 3 million $ 14. million.
.
 estimated fair values.
 cash equivalents $ 104520 $ 125385
 long-term debt -5474988 -4368874
currency contracts net loss gain 104159 -115415
 interest rate swap agreements net receivable 8456
 fuel swap net payable
 long-term debt 5474988 4368874 net loss gain 104159 115415 rate net receivable 8456 fuel payable 20456 fair values factors assumptions.
 represent values instruments include expenses sale settlement.
 instruments not trading speculative.
 exposure currency contracts limited cost replacing contracts non-performance counterparties.
 select counterparties credit risks limit exposure.
 foreign currency contracts denominated primary currencies.
 cash equivalents approximate fair values short maturity.
 long-term values senior notes debentures esti mated quoted market prices.
 values other debt estimated discounted cash flow analyses market rates.
 currency current market prices.
market risk for fluctuations foreign currency exchange rates relates six ship construction contracts transactions.
 use foreign currency forward contracts mitigate.
 2006 foreign currency forward contracts $ 3. 8 billion maturing through 2009.
 contracts six ship contracts net unrealized gain $ 106. 3 mil lion.
 three ship contracts net loss $ 103. 4 million.
 other contract loss $ 7. 8 million.
 11% aggregate cost ships exposed to fluctuations euro exchange rate.
.
 notes consolidated financial statements_financials. 6/7/07 pm page


leveraged performance units may 31 2015 executives granted. market condition stock price growth three-year period.
 minimum threshold performance not no payout.
 maximum award opportunity fixed dollar number shares.
 three-year concluded october 2017 one-third earned units converted unrestricted common stock.
 two-thirds converted restricted stock installments first two anniversaries conversion.
 share-based compensation expense grant date fair value monte carlo model.
 table summarizes changes unvested restricted stock performance awards year december 31 2017 2016 fiscal transition period may 31 2016 2015 weighted-average grant-date fair value.
 may 31 2014.
 granted.
.
 forfeited.
 2015.
 granted.
.
 forfeited.
.
.
-639 31. 38
 forfeited 52 45. 27
 unvested december 31 2016 1263 49. 55
 granted 899 79.
 -858 858 39. 26
 forfeited -78 59. 56
 unvested 31 2017 1226 78.
 restricted stock awards $ 33. 7 million 2017 20. million 2016 17. 15. 2016 2015.
 compensation expense $ 35. 2 million 2017 17. 2 million 2016 28. 8 19. million 2016 2015.
 $ 46. 1 million unrecognized compensation expense. 8 years.
 accelerated vesting.
 price 100% fair market value common stock ten years.
 31 2015 equal installments four anniversaries.
.
 accelerated vesting.
.
 10-k annual report 2013


entergy louisiana financial analysis 2007 2006 net revenue operating fuel expenses gas power expenses regulatory charges.
 analysis change net revenue 2007 2006.
.
 2006 net revenue $ 942.
 base revenues.
 volume/weather.
 transmission revenue.
 purchased power capacity.
.
 2007 net revenue $ 991.
 base revenues due increases 2006 2005 formula rate plan deferred capacity costs.
.
 volume/weather variance increased electricity usage unbilled service period.
 usage increased gwh sectors 2006.
 accounting estimates.
 transmission revenue variance higher rates.
 purchased power capacity higher charges amortization 2006.
 purchased power capacity costs offset base revenues rate increase.
 local rate regulation.
operating revenues fuel power expenses regulatory charges $ 143. 1 million fuel cost recovery higher rates $ 78. 4 million base $ 37. 5 million volume/weather.
 power expenses net area demand deferred fuel expense higher rates.
 regulatory credits decreased deferral capacity charges 2006 amortization 2007 2006 formula rate plan.
 note 2 statements plan storm cost recovery.


westrock company financial statements 2014.
 stockholders 2019 equity capitalization common stock.
 holders one vote per share.
 certificate incorporation authorizes preferred stock.
 terms determined board directors.
 repurchase 2015 authorized repurchase 40. million shares 15% outstanding stock.
 repurchased indefinite management.
 2019 repurchased 2. 1 million cost $ 88. 6 million.
 2018 repurchased 3. 4 million $ 195. 1 million.
 2017 repurchased 1. 8 million cost $ 93. million.
 september 30 2019 authorization 19. 1 million shares.
.
 compensation annual meeting 2016 approved westrock company 2016 incentive stock plan.
 amended restated 2 2018.
 options restricted stock units employees directors.
table shows number shares issuance future grant restricted awards performance maximum new grants expected adjusted for corporate actions millions.
 future if performance maximum awards amended 2016 incentive stock plan. 2004 incentive stock. 2005 performance incentive plan. rocktenn equity inventive plan. separation equity-based incentive awards adjusted maintain intrinsic value.
 unvested restricted stock awards unexercised stock options increased exchange factor 1.
 exercise price options 1.
 westrock assumed rocktenn mwv equity incentive plans.
 issued awards to employees directors 2004.
 awards converted into westrock awards combination agreement.
 smurfit-stone acquisition assumed equity incentive plan renamed rock-tenn company equity incentive plan.
awards converted into shares rocktenn common stock options restricted stock units merger agreement.
 shares issuance future grant issued if performance achieved maximum new awards
 2016 incentive stock plan 11.
 2004 incentive stock plan.
 2005 performance incentive plan 12.
 rocktenn equity plan 7.
 westrock company financial statements 2014.
 stockholders 2019 equity capitalization common stock.
 one vote per share.
 certificate incorporation authorizes preferred stock.
 determined board directors issuance.
 repurchase authorized repurchase 40. million shares common stock 15% outstanding common stock.
 repurchased indefinite management.
 2019 repurchased 2. million shares cost $ 88. 6 million.
 2018 repurchased 3.4 million shares common stock cost $ 195.
 fiscal 2017 repurchased 1. 8 million shares cost $ 93. million.
 september 30 2019 remaining authorization repurchase program july 2015 purchase 19. 1 million shares.
.
 share-based compensation annual meeting february 2 2016 approved westrock company 2016 incentive stock plan.
 amended restated february 2 2018.
 granting options restricted stock sars units employees directors.
 table number shares issuance future grant performance maximum new grants adjusted corporate actions millions.
 performance maximum 2016 incentive stock plan. 2004. 2005. equity plan. equity-based incentive awards adjusted maintain intrinsic value.
 unvested restricted stock awards unexercised stock options sars separation increased exchange factor 1. 12.
stock options sars 1.
 westrock assumed rocktenn mwv equity incentive plans.
 issued awards employees directors.
 awards converted westrock awards agreement.
 smurfit-stone acquisition assumed equity incentive plan renamed rock-tenn equity incentive plan.
 awards converted into shares rocktenn common stock options restricted stock units merger agreement.


.
 2017 two business combinations cash $ 142. 8 million acquired $ 4. 2 million.
 purchase allocated assets acquired liabilities values.
 $ 76. 4 million assets $ 71. 5 million in-process technology $ 90. 2 million goodwill $ 19. 6 million net liabilities deferred tax.
 payments employees fourth quarter 2020.
 2016 business combinations cash $ 42. 4 million acquired $ 1. 8 million.
 allocated assets liabilities values.
 $ 23. 6 million goodwill $ 23. 2 million intangible assets $ 2. 6 million net liabilities deferred revenue.
 payments employees quarter children less 3% nusemi inc less 2% rocketick technologies.
.
 co-trustees.
 board directors transactions proceed.
.
recused board directors 2019 valuation nusemi rocketick technologies.
.
 no 2018.
 $ 0. 6 million $ 1. million 2017 2016.
 professional fees administrative costs expensed consolidated income statements.
.
 changes carrying 2018 2017 carrying amount.
 balance december 31 2016 $
 acquisitions 90218
 foreign currency translation
 december 30 2017
 balance december 29 2018 $ 662272
 goodwill impairment test fair value unit exceeded assets no impairment.


consolidated financial statements 2014 reconciliation unrecognized tax benefits.
 balance october 1 2010 $ 19900
 increases prior years 935
 increases current 11334
 decreases settlements taxing
 decreases lapses statutes limitations -33
 balance september 30 2011 $ 32136
 major tax jurisdictions united states california iowa singapore canada.
 united states tax years 1998.
 california iowa 2002.
 singapore 2011.
 canada 2004.
 unrecognized tax benefits expiration statute limitations.
 accrued interest penalties.
 recognized $ 0. 5 million accrued interest penalties unrecognized tax benefits 2011.
.
 authorized issue 525000000 shares $ 0. 25 per share 195407396 shares issued 186386197 outstanding.
 holders entitled dividends.
dividends paid common stock unless paid declared set aside.
 liquidation dissolution holders stock entitled share rata assets after payment plus unpaid dividends.
 each holder one vote each share.
 no votes.
 certificate no holder preemptive right purchase stock.
 august 3 2010 board approved stock repurchase program repurchase $ 200. 0 million common stock market privately securities laws requirements.
 fiscal year 2011 paid $ 70. 0 million repurchase 2768045 shares common stock average $ 25. 30 per share.
 $ 130. 0 million remained repurchase program.
 page 110 skyworks annual report 2011


devon energy subsidiaries financial statements 2013 december 31 2014 2013.
 geosouthern debt 2013 geosouthern acquisition issued $ 2. 25 billion fixed floating rate notes cash proceeds $ 2. billion net discounts issuance costs.
 notes 2015 three-month libor. 45 percent quarterly.
 2016 three-month libor. 54 percent quarterly.
 schedule terms.
 floating rate december 15 2015 $ 500
 2016
. 20%.
. 25%.
 proceeds $ 2248
. $ 650 million note 2016 redeemed november 13 2014.
 short-term debt balance sheet december 31 2013 redemption geosouthern acquisition 30 2014.
 geosouthern acquisition notes long-term debt.
 2013 devon term loan agreement financial institutions $ 2.geosouthern acquisition costs.
 devon drew $ 2. billion loans geosouthern repaid june 30 canadian divestiture proceeds.
 loan.


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


design-to-silicon flow semiconductor manufacturing.
 integrating hpl yield management test chip technologies productivity profitability semiconductor devices.
.
 paid $ 11. million shares hpl.
 prior investment $ 1. 9 million.
.
 11001 prior investment 1872
 acquisition costs 2831
 purchase price
 costs $ 2. 8 million legal tax accounting fees. million. million facilities closure costs. 9 million employee termination costs.
 paid. million. professional services. facilities closure. employee termination.
. million balance fees closure costs.
.
 $ 8. 5 million intangible assets $ 5. million technology $ 3. 2 million customer relationships. million backlog amortized.
. million value-process research development projects.
 expensed statement operations first quarter fiscal year 2006.
company acquired assets $ 14. million assumed liabilities $ 10. million.
 excess purchase price $ 3. 4 million.
 hpl.
.
 2006 asset acquisition $ 1. 5 million.
 not material balance sheet results.
 acquired nassda may 11 2005.
.
 full-chip circuit simulation software mixed-signal memory design.
.
 acquired outstanding shares cash $ 200. 2 million $ 7. per share.
 nassda officers directors employees defendants preexisting litigation


2013 earnings per share calculated net earnings allegion plc weighted-average ordinary shares.
 diluted eps calculated adjusting denominator potentially dilutive shares share-based compensation plans.
 table summarizes weighted-average ordinary shares basic diluted earnings.
 millions 2017 2016 2015
-average shares 95.
 shares incentive stock plans.
 diluted shares 96.
 december 31 2017. million stock options excluded diluted shares anti-dilutive.
 19 2013 commitments contingencies involved litigations claims proceedings environmental product warranty matters.
 contingent liabilities estimates reviewed adjusted additional information.
 financial condition operations liquidity cash flows.
 dedicated program hazardous materials remediate environmental concerns.
company engaged in investigations remediation production facilities.
 evaluates remediation programs considers alternative methods.
 may increased expenses environmental reserves.
 party to environmental lawsuits received notices violations.
 environmental protection agency state authorities.
 potentially responsible party for cleanup costs off-site waste disposal at federal superfund state remediation sites.
 involvement minimal.
 not bear entire cost remediation.
.
 additional lawsuits claims likely arise.
 incurred $ 3. 2 million $ 23. 3 million $ 4. 4 million expenses 2017 2016 2015 for environmental remediation at sites owned leased.
 2016 launched alternative approach to two sites states.
 environmental conditions impact regulatory requirements.
 recorded $ 15 million charge for environmental remediation fourth quarter 2016.
remediation costs goods.
 reserves $ 28. 9 million $ 30. 6 million.
 total reserve $ 8. 9 million $ 9. 6 million.
 reserves accrued expenses.
 total reserve $ 12. 6 million $ 6. 1 million remainder noncurrent.
 evolving laws cost future compliance uncertain.


2002 2003 2004 first quarters 2005.
 tax matters.
 company provided information.
 july 28 2006 filed amendment annual report form 10-k may 29 2005.
 amended item 6.
 financial data exhibit 12 ratios earnings fixed charges 2001 financial information 1999 2000 company reserves 1999 tax expense.
.
 agreement.
 approved securities exchange commission july 17 2007.
 july 24 2007 complaint colorado executed consent settlement civil penalty $ 45 million agreement federal securities laws.
 $ 2 million indemnity payments former employees settlements.
 charges $ 25 million 2004 $ 21. 5 million third quarter 2005 $ 1. 2 million first quarter 2007.
 three class actions filed district court nebraska.
 conagra foods.
.
.
.
. case.
 805cv348 july 18 2005.
 conagra foods.
.
 805cv386 august 8 2005.
 lawsuits against company directors employee benefits committee retirement income savings plans.
 violations retirement income security act april 2005 restatement financial statements.
 settlement plaintiffs.
 includes $ 4 million payment insurer.
 changes benefit plans.
 2006.
 2005 net sales 2006 2005.
 consumer foods $ 6504 $ 6598
 food ingredients 3189
 trading merchandising
 international foods 603
 11482 $ 11384
 net sales increased $ 98 million $ 11. 5 billion fiscal 2006 favorable results food ingredients international foods segments.
 price increases higher input costs strength foreign currencies enhanced net sales.
offset declines foods brands trading merchandising decreased volumes divestitures closures.


.
 new guidance company recorded liability future death benefits employees 2019 retirement $ 45 million adjustment january 1 2008 retained earnings income loss $ 4 million $ 41 million consolidated statement.
 minimal cash payments policies.
 net cost split-dollar life insurance $ 6 million 31 2009 2008.
 liability future death benefits $ 48 million $ 47 million december 31 2009 2008.
.
. 401 ( k ) plan contributory.
 matching contributions based.
 newly hired employees higher maximum matching contribution 4% first 3%.
 2009 company suspended matching contributions 401 ( k ) plan.
 expenses employer match years 2009 2008 2007 $ 8 million $ 95 million $ 116 million.
.
share compensation plans incentive plans stock options appreciation rights employee purchase plan grants options stock employees holders.
 option exercise price 100% fair market value stock.
 awards five ten years two four years.
 holder terminated quits 24 months.
 employee stock purchase plan payroll deductions 10% compensation.
 more $ 25000.
 price per share 85% fair market value stock.
 two purchase periods october 1 march 31 april 1 september 30.
 2009 2008 2007 employees purchased 29. 4 million 18. 9 million. 2 million shares prices $ 3. 60 $ 3. 68 $ 7. 91. $ 14. 93 $ 15. 02.
 calculates value option black-scholes pricing model.
 value 2009 2008 2007 $ 2. 78 $ 3. 47 $ 5. 95 .
 2009 2008 2007
 volatility 57. 1%. 1 % 56. 4%. 4 % 28. 3 %
 risk-free interest. 9%. % 2. 4%. %. 5%. 5 %
. 7% %. 1%
.


compares common stock s&p 500 healthcare equipment index.
 return investment $ 100 31 2009 reinvestment dividends.
 5 year return $ 200 lifesciences.
 lifesciences $ 186. $ 162. 207. 151. 293.
 s&p 500 115. 117. 136. 180. 205.
&p 500 healthcare equipment 96. 102. 120 153 194.


benchmark index 10-year treasury yield.
 company derivatives cash flow hedges.
 october 13 2015 $ 4. 5 billion senior notes terminated treasury lock contracts cash settlement $ 16 million recorded earnings adjustment interest expense ten years interest payments recognized income.
 business operations.
 translation local currency balances foreign subsidiaries transaction gains losses intercompany loans transactions currencies.
 manage operating activities foreign currency forward contracts.
.
 exchange risks non.
 operations.
 foreign currency exchange rates affect revenues.
.
 december 31 2016 2015 2014 generated $ 1909 million $ 1336 million $ 1229 million revenues.
.
 major currencies brazilian real euro british pound sterling indian rupee.
 10% move exchange rates revenues 2015 2014.

 pound sterling $ 47 $ 34 $ 31
 euro 38 33
 real 32 29
 indian rupee 12 10
 $ 129 $ 106 $ 107
 impacted currency fluctuations revenues expenses local currency foreign exchange risk.
 revenues $ 100 million $ 243 million net earnings $ 10 million $ 31 million unfavorable foreign currency impact 2016 2015 stronger.
 dollar.
 unfavorable currency impact strengthening.
 dollar.
.
 foreign exchange risk management policy permits derivative instruments forward contracts options reduce volatility.
 instruments.
 periodically enter contracts hedge intercompany loans.
 $ 143 million fair value.
 not.
 currency forward contracts manage.
 $ 7 million fair value less than $ 1 million.
 cash flow hedges.
fair value currency forward contracts determined exchange market rates banks.
 subject changes rates.
 ineffectiveness contracts.
 clear2pay initiated foreign currency forward contract purchase euros sell.
 dollars risk exchange rates purchase price euros.
 hedge accounting recorded $ 16 million income third quarter 2014.
 contract settled october 1 2014.


consolidated financial statements.
 global cruise company.
 own royal caribbean international celebrity cruises pullmantur azamara club cruises cdf croisi e8res de france 50% tui cruises.
 brands operate 41 ships december 31 2012.
 worldwide itineraries 455 destinations seven continents.
 consolidated financial statements accounting principles united states america.
 estimates.
 results differ.
 intercompany accounts transactions eliminated consolidation.
 entities control direct ownership 50% variable interest entities.
 6.
.
 investment accounted equity method.
 consolidate results pullmantur cdf croisi e8res de france two-month lag.
 no events transactions pullmantur cdf croisi e8res france disclosure adjustment pullmantur assets 3.
 goodwill 4.
 intangible assets 5.
 property equipment.
 income taxes.
 note 2.
 accounting policies revenues expenses deposits cruises customer deposit liabilities.
 ticket revenues goods services costs ten days less.
 port costs guest head counts.
 revenues $ 459. 8 million $ 442. 9 million $ 398. 0 million 2012 2011 2010.
 cash equivalents market securities maturities less 90 days.
 inventories provisions supplies fuel cost.
 property equipment cost less depreciation amortization.
 interest acquiring assets.
 improvement costs capitalized depreciated.
 depreciation components written off losses recognized operating expenses.
 damages late delivery reductions cost.
 depreciation property equipment computed useful life.
 30 years 15% projected residual value.
30-year life ships 15% residual value based-average components.
 depreciation capital leases computed shorter lease term asset life.
.
 property equipment.
 30
 improvements 3-20
 buildings improvements 10-40
 computer hardware software 3-5
 transportation equipment 3-30
 leasehold improvements lease term
 hardware equipment improvements.


accounting literature.
 nonconsolidated proprietary company recognizes residual investment fair value third-party financing off-balance sheet.
 table summarizes cash flow information municipal bond securitizations 2008 2007 2006 billions dollars.
 proceeds new securitizations $.
 cash flows retained interests net cash flows.
. municipal investments construction rehabilitation low-income affordable rental housing.
 company invests limited partner earns return tax credits.
 client intermediation transactions returns underlying security asset index.
 credit-linked equity-linked notes.
 spe obtains exposure security.
 spe issues notes investors return.
 invests proceeds financial asset guaranteed insurance contract collateral derivative contract.
 involvement counterparty spe derivative instruments investing notes issued spe.
transactions investor maximum risk loss limited company absorbs risk above level.
 risk defined as invested in notes spe risk loss absorbed separate instrument.
 derivative instrument receivable from spe credit protection collateralized by assets.
 derivative instruments not variable interests 46 receivables not included maximum exposure spe.
 structured investment vehicles issue junior notes senior debt purchase high quality assets.
 junior notes subject loss risk sivs.
 provide variable return investors based spread cost debt return.
 company manager sivs not obligated provide liquidity guarantees sivs.
 review reduction liquidity citigroup support facilities debt ratings.
 became primary beneficiary consolidating entities.
 february 12 2008 finalized support provide $ 3. 5 billion mezzanine capital sivs market value junior notes zero.
mezzanine capital facility increased $ 1 billion to $ 4. 5 billion additional commitment funded fourth quarter 2008.
 facilities senior junior medium-term.
-length terms.
 interest paid drawn per annum fee unused portion.
 november 18 2008 company wrote down $ 3. 3 billion siv assets.
 purchased remaining assets fair value trade date november 18  2008.
 funded medium-term notes.
 net funding $ 0. 3 billion.
 december 31  2008 purchased siv assets $ 16. 6 billion $ 16. 5 billion htm assets.
 investment manager.
 earns management fee performance fees.
 ownership interest.
 established investment funds employees private equity.
 financing.


skyworks solutions.
 valuation allowance $ 47. million.
 $ 33. 6 million.
 tax credits $ 3. million acquired aati 2012 $ 13. million foreign deferred tax assets.
 valuation allowance $ 46. 6 million income tax benefit $ 0. 4 million reduction goodwill.
 $ 209. million future federal taxable income tax assets.
.
 valuation allowance.
 federal net loss $ 74. 3 million $ 29. 5 million acquisition sige 2030 $ 28. million aati 2031.
 limitations revenue code section 382.
 federal income tax credit carry forwards $ 37. 8 million $ 30. 4 million.
 state income tax credit forwards $ 33. 6 million valuation allowance.
 credits expire 2032.
 california research tax credits indefinitely.
company operations investments international jurisdictions.
 earnings.
 2012 no provision income taxes $ 371. 5 million undistributed earnings foreign subsidiaries.
 federal income tax liability.
 unrecognized tax benefits $ 52. 4 million $ 32. 1 million september 28 2012 30 2011.
 $ 38. 8 million tax rate.
 remaining valuation allowance positions.
 no positions twelve months.
 reconciliation tax benefits.
 balance september 30 2011 $ 32136
 increases prior 9004
 increases current 11265
 decreases settlements taxing authorities 2014
 decreases lapses statutes limitations
 balance september 28 2012 $ 52380
 annual report


echostar communications corporation financial statements closing price common stock last day quarter sold.
 october 1 2007.
 2000 2001 2002 employees purchased 58000 80000 108000 shares stock.
 echostar sponsors.
 voluntary contributions matched 50% echostar maximum annual contribution $ 1000 per employee.
 contributions totaled $ 1. 6 million $ 2. 1 million $ 2. 4 million 2000 2001 2002.
 discretionary contribution deductible limit code.
 cash echostar stock.
 unvested balances matching discretionary contributions.
 discretionary contributions $ 7 million $ 225 thousand $ 17 million 2000 2001 2002.
.
 future lease payments leases december 31 2002.
 2003 17274
 2004 14424
 2005 11285
 2006 7698
2007 3668
 1650
 lease payments 55999
 rent expense leases $ 9 million $ 14 million $ 16 million 2000 2001 2002.
 december 31 echostar $ 359 million.
 majority echostar receiver systems components.
 purchases expected 2003.
 purchases cash balances future cash flows.
 patents intellectual property competitors obtain patents rights products.
 patents.
 damages patent infringement tripling damages.
 estimate licenses


.
 federal tax carryovers expire 16 to 17 years state five to 10 years majority international six years expiring year indefinite carryover period.
 tax attributes jurisdictions losses income.
 december 31 2013 company provided $ 23 million valuation allowance deferred tax assets tax benefits.
 valuation allowance reduced 2013 due expiration tax attributes.
 contributed $ million.
 pension plans $ 6 million postretirement plans.
 2012 contributed $ 1. 079 billion.
 $ 67 million postretirement.
 2011 contributed $ 517 million.
 pension $ 65 million postretirement.
 current income tax includes benefit pension contributions deferred tax cost temporary difference.
 income tax rate.
. tax
 state income taxes federal benefit.
.
.
tax contingencies 1. 2 -1. 9. 2
 manufacturer deduction -1. 6. 2. 5.
. 4. 1
 worldwide tax rate 28. 1% 28. 1 % 29. 0% 29. 27. 8%. 8 %
 effective tax rate 2013 28. 1 percent 29. 2012. 9 points impacted.
 international taxes reinstatement.
 research development credit domestic manufacturer deduction benefit restoration tax basis assets.
 decreased tax rate 4.
 offset tax rate 3. 1 points adjustments income tax reserves.
 tax rate 29. 27 2011 increase. 2 percentage points.
 tax international taxes reorganization subsidiary state income taxes lower domestic manufacturer deduction.
 research development credit.
 increased 2012 effective tax rate 2. 1 percentage points.
company effective tax rate-on include international taxes geographic mix adjustments tax reserves.
 compared to 2011 decreased effective tax rate. percentage points.
 company files income tax returns.
 federal states foreign jurisdictions.
 no longer subject to.
 federal state local non.
 income tax examinations before 2004.
 irs completed examination.
 tax returns 2005 through 2007 2009.
 protested positions entered administrative appeals process first quarter 2010.
 completed examination.
 2008.
 protested positions entered appeals process second.
.
 2009.
 protested positions entered administrative appeals process.
 examination.
 2010.
 protested positions entered administrative appeals process


citigroup common stock.
 cse award value divided fair market value.
 50% shares delivered april 2010 sale transfer until january 20 2011.
 retirement-eligible employees awarded cses april 2010 shares delivered april 2010 restrictions sale four installments january 20 2011.
 cse awards accrued compensation expenses 2009 recorded liability until settlement april 2010.
 stockholders approve paid new issues common stock liability reclassified equity.
 2009 management committee received 30% incentive awards 2008 performance vesting-equity awards.
 vest 50% if citigroup common stock meets target $ 10. 61  50% $ 17. 85  2013.
 target closing price equals exceeds 20 days 30 january 14 2013.
 shares not vested vest price delivery price target unvested.
dividend equivalents paid unvested awards.
 value recognized as compensation expense.
 july 17 2007 committee approved long-term incentive plan participants received equity award citigroup performance peer companies return targets.
 final expense three adjusted roe tests.
 no awards earned 2009 2008 2007 shares issued performance targets.
 new awards since 2007.
 participants 2008 2006 2005 elect receive award stock options.
 option program tables options awards.
 status citigroup 2019s unvested stock awards december 31 2009 changes 12 months weighted-average grant.
 january 1 2009 226210859 $ 36.
 new 162193923 $.
 cancelled awards -51873773.
 deleted awards -568377 $ 13.
 -148011884 $ 25.
unvested 31 2009.
 value vestings $ 3. 64 share.
 $. billion unrecognized compensation cost unvested stock awards forfeiture.
. years.


fidelity national information services.
 subsidiaries financial statements contingent liabilities business acquisitions adjusted fair value.
 note 3 capital markets company liability.
 derivative financial instruments accounts hedging.
 2016 2014 variable rate debt interest rate swaps.
 cash flow hedges.
 estimated fair values level 2 measurements.
 recorded asset liability included balance sheets prepaid expenses current non-current assets accounts payable accrued liabilities long liabilities accumulated earnings.
 recorded interest expense yield adjustment loans.
 cash flow hedge effective no impact 2016 earnings ineffectiveness.
 execute instruments credit-worthy banks not speculative.
 interest rate swap counterparty obligations.
 foreign exchange risk management policy permits derivative instruments reduce volatility foreign exchange rate fluctuations.
2016 2015 company entered foreign currency contracts intercompany loans.
 notional $ 143 million $ 81 million fair value nominal.
 not hedges.
 currency forward contracts manage indian exchange rates.
 december 31 2016 notional $ 7 million fair value less than $ 1 million included prepaid expenses current assets balance sheets.
 contracts cash flow hedges.
 fair value determined exchange market rates.
 subject changes.
 no ineffectiveness currency forward contracts.
 2015 entered treasury lock hedges $ 1. 0 billion reducing risk 10-year treasury yield.
 derivatives cash flow hedges.
 october 13 2015. terminated treasury lock contracts cash settlement payment $ 16 million earnings adjustment interest expense ten years.
 trade receivables december 31 2016 2015.

 receivables 2014 $ 1452 1546
 unbilled 228
 1680 1747
 doubtful accounts
 $ 1639 1731


7.
 management 2019s discussion analysis financial condition results operations global energy company operations north america africa europe.
 operations organized four segments 2022 exploration production explores produces markets liquid hydrocarbons natural gas.
 oil sands mining mines extracts transports bitumen alberta canada synthetic crude oil vacuum gas integrated gas markets transports products natural gas liquefied methanol.
 refining  marketing transportation refines markets transports crude oil petroleum products midwest upper great plains gulf coast southeastern regions united states.
 include forward-looking statements trends affecting business.
 future outcomes uncertain.
 cautionary language factors future outcomes differ.
hold 60 percent interest equatorial guinea holdings.
 4 financial statements may 1 2007 ceased consolidating.
 investment equity method.
 gas segment minority interests.
 financial condition results.
.
 risk factors.
.
.
 exploration production prices crude oil natural gas impact revenues cash flows.
 prices volatile 2009 not.
 lower annual averages benchmark prices.
 crude oil per barrel $ 62. 09 $ 99. 75 72.
 brent crude oil $ 61. 67 $ 97. 26 72.
 henry hub natural gas mcf $ 3. $ 6
.
 crude oil prices rose 2008 global demand declining dollar concerns geopolitical risk.
 2008 crude oil prices declined.
 dollar demand decreased economic recession.
price decrease 2009 reversed $ 33. 98 february $ 79. 36.
 domestic oil production 62 percent sour more sulfur.
 heavier costs.
 international oil sweet brent.
 $ 0. 42 2009 $ 2. 49 2008 $ 0. 02 2007.


incentive compensation expense $ 8. 2 million fringe benefit costs $ 1. 4 million higher warehousing costs $ 2. million.
 corporate overhead increased $ 3. 1 million 6. 5%. 2005.
 incentive compensation expense $ 2. million costs.
 decreased $ 2. 1 million. 1%
 due $ 3. 1 million decrease disposals property plant equipment.
 higher legal expenses $. 5 million increased losses disposals storeroom items $. 4 million.
 increased $ 3. 1 million 11. 1%. higher interest expense variable rate debt.
 tax rate 35. 8%. 2%. 2005.
 lower tax rate domestic manufacturer deduction texas state tax rate.
 rates higher federal rate.
31 2005 2004 historical results operations pca 2004 2004.
 2004
 sales $ 1993. 7 $ 1890. $ 103. 6
 income operations $ 116. $ 140. 5 4 24.
 expense. 1 28. 6 29.
 before taxes 88. 110. 9.
 taxes. 4 35. 2 42. 6.
 income $ 52. 6 $ 68. 7.
 sales increased $ 103. 6 million 5. 5%. 31 2005 2004.
 sales increased prices volumes corrugated products 2004.
 volume increased 4. 2%. % 31. billion square feet 2005. 2004.
 corrugated sales volume increased 4. 6%. 6 % 2005.
 3. 0%. higher 2005 2004. 4%.
shipments-per-workday calculated corrugated products volume workdays.
 increase 2005 less workday 250 2004 251.
 containerboard sales decreased. 2%. 417000 tons 2005 475000 tons 2004.


company recorded earnings $ 290 million 2018 $ 183 million 2017 $ 199 million 2016.
-tax loss $ 82 million $ 15 million 2017 $ 25 million 2016 remeasurement.
 debt.
 performance 2018 higher price realization strong demand.
 sales volumes increased softwood pulp linerboard offset decreased hardwood pulp.
 increased decreased linerboard.
 higher.
.
 input costs higher wood fuel chemicals.
 distribution costs impacted tariffs inflation.
 dividends $ 128 million 2018 $ 133 million 2017 $ 58 million 2019 sales volumes lower seasonal slowdown fewer trading days.
 sales prices decrease pulp linerboard.
 input costs flat distribution costs increase.
 $ 46 million. 5%. ownership.
 received dividends $ 25 million.
liquidity capital resources factor operating cash flow sensitive to pricing demand.
 focus pricing cost controls improved cash flow.
 cash uses 2018 focused on working capital capital spending debt reductions returning dividends share repurchases.
 totaled $ 3. 2 billion 2018 $ 1. 8 billion 2017 $ 2. 5 billion 2016.
 capital $ 439 million 2018 $ 402 million 2017 $ 71 million 2016.
 2018 increased capital spending.
 purchase weyerhaeuser's pulp $ 2. billion holmen business $ 57 million sale asia packaging $ 108 million.
 maintains average capital spending target depreciation amortization.
 capital spending $ 1. 6 billion 2018 118% depreciation amortization compared $ 1. 4 billion 2017.billion 110% depreciation amortization 2016.
 spending 69. 8%. to 132. 1%. 2018.
 capital spending 2016 excluding discontinued operations $ 111 million 2017 107 million 2016.
 industrial packaging 1061
 cellulose fibers
 printing papers
 subtotal 1547 1259
 spending $ 1572
 expenditures 2019 $ 1. 4 billion 104% depreciation amortization $ 400 million strategic investments.


2000 non-employee director stock option plan global payments.
 2011 incentive plan.
 no grants 2000 after 2005 director stock option plan expired february 1 2011.
 no future grants 2000 2005.
 2011 plan permits grants equity employees officers directors consultants.
 14. million shares common stock reserved.
 table share compensation expense income tax benefit 2016 2015 2014.
 compensation expense $ 30809 21056
 income tax benefit $ 9879 6907
 awards 201clong-term incentive plan. awards held escrow released grantee satisfaction conditions.
 awards vest grantee not employed vesting shares forfeited.
 transferred.
 before 2015 equal installments first four anniversaries.
 during 2015 three-year service period.
grant date fair value restricted stock based on market value common closing award date recognized share-based compensation expense over vesting period.
 executives granted long-term incentive plan.
 performance-based restricted stock after convert into common shares.
 performance measures.
 target measures set by compensation committee.
 units converted after performance.
 units granted 2014 one-year performance period.
 25% converted to unrestricted shares.
 75% converted restricted shares anniversaries.
 units granted 2015 2016 three-year performance period.
 convert into unrestricted common stock.
 performance-based outcomes.
 grantee earn up to 200% target shares.
 awards performance conditions compensation expense over performance period grant date fair value based on shares earned performance goals.
shares performance cumulative adjustment compensation expense revised.
 global payments inc.
 10-k annual report 2013


factor formula.
 consolidated financial statements include northrop grumman management support services $ 32 million 31 2011.
 shared services infrastructure costs information technology support systems maintenance telecommunications procurement subsidiary northrop grumman.
 allocated formula usage.
 $ 80 million.
 northrop grumman-provided benefits medical dental vision insurance 401 k savings plan pension postretirement benefits incentive compensation.
 allocated.
 northrop grumman benefits $ 169 million.
 methods allocating costs reasonable consistent practices cost allocation requirements.
 purchased sold products services northrop grumman entities.
 purchases $ 44 million.
 sales $ 1 million.
 former parent's equity transactions northrop grumman included statements settled cash.
 net effect settlement reflected parent's equity.
.
quarterly financial results 2013 2012 tables.
 millions share amounts 1st 2nd 3rd 4th qtr
 sales service revenues $ 1562 $ 1683 1938
 operating income loss 95 116 127 174
 before taxes 65 87 99
 net earnings loss 44 57 69
 dividends per share $ 0.
 basic earnings loss share $. 88.
 diluted earnings loss share $. 87. 12.


2019s profit 2013 increased $ 175 million 14%.
 higher profit $ 85 million air missile defense programs increased $ 85 million fire control programs $ 75 million tactical missile programs.
 offset lower operating profit $ 45 million contractual matters $ 15 million technical services programs risk retirements.
 $ 100 million higher 2013 2012.
 net sales.
 decreased $ 130 million lower volume risk retirements $ 60 million volume control.
 offset higher net sales $ 95 million tactical missile $ 80 million.
 operating profit 2012 increased $ 187 million 17% 2011.
 higher risk retirements volume $ 95 million tactical missile $ 60 million missile defense $ 45 million contractual matters.
 lower risk retirements volume $ 25 million services programs.
adjustments net profit rate $ 145 million higher 2012.
 increased 2013 due higher orders thaad program lower sales volume fire control systems offset lower orders technical services tactical missile.
 backlog increased increased orders lower sales fire control systems offset lower orders higher sales tactical missiles.
 net sales slightly down 2014 decrease sales technical services offset increase sales missiles fire control.
 operating profit decrease reduction risk retirements.
 operating profit margin decline 2013.
 systems missile defense systems radar littoral combat ships simulation training services unmanned systems.
 programs aegis combat system mh-60 tpq-53 radar-41 vertical launching system.
 operating results.
 net sales $ 7153
 operating profit
 margins 12. 7%.
year-end 10800 10700 10500
 2013 sales decreased $ 426 million 6%.
 lower $ 275 million ship aviation


gulf states.
 financial discussion analysis.
 2003 net revenue $ 1110.
.
 wholesale revenue.
 summer capacity charges.
 unbilled sales.
 fuel recovery revenues.
.
 2004 net revenue $ 1149.
/weather 1179 gwh electricity usage industrial.
 291 gwh residential commercial governmental sectors.
 wholesale revenue sales volume municipal co-op.
 capacity charges amortization deferred capacity charges.
 2002 2003.
 sales variance fuel price.
 recovery revenues under-recovery charges.
 $ 22. million provisions 2004 rate refunds.
.
 $ 187. million fuel cost recovery revenues higher fuel rates louisiana texas jurisdictions.
 increases volume/weather wholesale revenue.
fuel power expenses recovery deferred fuel costs prices natural gas coal power electricity usage.
 regulatory credits amortization 2003 deferred capacity charges 2001 2004.
 began june 2002 ended may 2003.
 net revenue revenues fuel power expenses regulatory credits.
 analysis net revenue 2003 2002.


increased 34% $ 449 million $ 1. 8 billion 2010.
 due headcount expenses.
 software development costs $ 71 million mac os x snow leopard.
 increased 34% declined net sales 52% ( 52 % year-over-year increase sales.
 investments critical growth products.
 expects.
 expense increased 20% $ 224 million $ 1. 3 billion 2009.
 headcount stock-based compensation expenses.
 $ 71 million software capitalized mac os x snow leopard excluded r&d expense $ 11 million.
 r expense increased 20% flat net sales 14% increase revenue.
 increased $ 1. 4 billion 33% % $ 5. 5 billion 2010.
 due expansion retail segment marketing advertising increased stock-based compensation expenses variable costs.
 increased $ 388 million 10% to $ 4.billion 2009 2008.
 increase due expansion retail segment higher stock-based compensation expense spending marketing advertising.
 income expense three years 2010 decreased $ 171 million 52% $ 155 million 2010 $ 326 million $ 620 million 2009 2008.
 decrease declines interest rates offset higher cash securities balances.
 weighted average interest rate 0. 75%. 43%. 3. 44%. 2010 2009 2008.
 higher premium expenses foreign exchange option contracts reduced income expense.
 no debt interest expense.
 effective tax rates 24% ( 24 32%.
 statutory federal income tax rate 35% ( 35 %.
 interest income $ 311 $ 407 $ 653
 other income -156
 income expense $ 155 $ 326 $


item 5 2019s common equity.
 stock traded new york stock exchange 2018. tables high low sale prices.
.
 2002 first quarter high $ 17. 84 low $ 4. 11 2001 quarter high $ 60. 15 low $ 41. 30
 second quarter 9. 17 3. 55 52. 25.
 quarter 4. 61. 56 44. 50.
 fourth quarter. 57. 17. 80.
.
 march 3 2003 9663 holders common stock par value $ 0. 01 per share.
.
 pay cash dividends.
 precluded cash dividends guaranty utility customer net worth liquidity tests.
 subsidiaries pay cash dividends limitations loans governmental provisions agreements.
 equity compensation plans.
 annual meeting stockholders may 1 2003.


provide to governmental agencies entities under environmental regulations landfill operations for capping closure post-closure costs performance under collection landfill transfer station contracts.
 surety bonds letters of credit insurance policies trust deposits included in cash marketable securities assets consolidated balance sheets.
 determined by state environmental regulations.
.
 states require third-party engineering specialist determine costs.
 from obligation.
.
 contract performance varies by contract.
 provide assurance for insurance program collateral for performance obligations.
 increase in assurance requirements during 2015 change.
 issued not considered indebtedness.
 not reflected in consolidated balance sheets record capping closure post-closure liabilities insurance liabilities as incurred.
 underlying obligations recorded if fulfill.
.
no debt obligations operating leases financial assurances.
 transactions obligations not disclosed financial position results.
 guaranteed third-party debt.
.
 operating activities less purchases property equipment proceeds sales consolidated statements cash.
 table calculates free cash flow years 31 2014 2013 2012 millions dollars.
 operating activities $ 1529. 8 $ 1548. $ 1513.
 purchases property -862. 862. -880. 880 903.
 proceeds sales 35. 23. 28.
 free cash flow $ 703. $ 691. 3 $ 639.
 free cash flow investing activities condition.


mastercard incorporated financial statements 2014 table summarizes expected benefit payments through 2018 company assets.
-sum distributions may differ.
 2009 19766
 2010 18182
 2011 25518
 2012 21029
 24578
 2018 118709
.
 employees participate defined contribution savings plan.
 contribute base compensation pre-tax after-tax.
 company matches contributions limits.
 discretionary profit sharing performance.
 paid short-term cash incentive bonus.
 company defined contribution plans outside united states.
 contribution expense $ 35341 $ 26996 $ 43594 2008 2007 2006.
 value appreciation program incentive compensation plan 1995.
 annual awards participants 1998 net appreciation securities mastercard.
 1999 replaced executive incentive plan senior executive incentive plan note 16 share based payments benefits.
contributions vap discontinued assets disbursed no liability 2008.
 liability 2007 $ 986.
 expense benefit $ 6 267 $ 3406 years 2008 2007 2006.
.
 health life insurance.
 employees retirees hired before 1 2007.
 amended life insurance benefits january 1 2007.
 $ 1715 income 2007.


graph shows five-year stockholder return common stock october 25 2009 26 2014.
 compared standard poor 2019s 500 stock index rdg semiconductor composite index.
 assumes $ 100 invested october 25 2009 common stock reinvestment dividends.
 dollar amounts rounded nearest dollar.
 represents past not future performance.
 5 return. s&p 500 index trademark standard 2019s financial services subsidiary mcgraw-hill companies.
 10/25/2009/31/2010 10/30/2011/28/2012/27/2013/26/2014
.
 s&p 500 index.
 semiconductor composite index. 207
 2014 four quarterly dividends $. per share.
 2013 three dividends $. one $. share
2012 declared dividends $ 0. 09 $ 0. 08.
 2014 2013 2012 $ 487 million $ 469 million $ 438 million.
 dividends financial capital business conditions stockholders.
 $ 100 invested 10/25/09 stock 10/31/09 index reinvestment dividends.
.
 semiconductor composite index 10/25/09 10/30/11/28/12/27/13 10/26/14.
 s&p 500 rdg semiconductor composite


recourse repurchase obligations note 3 loans sale servicing pnc sold commercial residential loans securitizations whole-loan sale transactions continuing involvement.
 recourse repurchase obligations transferred assets.
 originate service multi-family loans sold fnma.
 similar program fhlmc.
 assume one-third risk loss unpaid principal balances.
 2011 2010 unpaid principal balance $ 13. billion $ 13. 2 billion.
 potential maximum exposure $ 4. billion.
 reserve estimated losses.
 $ 47 million $ 54 million liabilities consolidated balance sheet.
 payment contractual interest collateral loans losses value losses.
 exposure activity recourse obligations corporate institutional banking.
 mortgage recourse obligations.
 reserve adjustments
 losses 2013 loan repurchases settlements
 loan sales
december 31 $ 47 $ 54
 residential mortgage repurchase obligations non-recourse repurchase obligations sold.
 pnc origination covenants warranties.
 first second-lien agency non-agency securitizations whole-loan sale transactions.
 agency securitizations fhlmc gnma non-agency whole-loan private investors.
 obligations related fhlmc repurchase losses fha va-insured uninsured loans gnma securitizations minimal.
 repurchase obligation activity banking segment.
 repurchase obligations include brokered home equity loans sold private investors.
 pnc no longer brokered home equity lending exposure repurchase obligations limited repurchases whole-loans.
 non-strategic assets portfolio.
loan covenants representations warranties established loan sale agreements investors pnc sold loans investment quality.
 include compliance with loan criteria underwriting standards delivery loan documents collateral valuation validity lien securing loan.
 breaches investors request pnc indemnify against losses repurchase loans.
 claims settled through make- whole payments repurchases negotiate pooled settlements.
 indemnifications loss repurchases insufficient evidence breach covenant value transferred loan.
 respond indemnification repurchase requests within 60 days final resolution longer.
 pnc financial services group.
 2013 form 10-k 199


no goodwill units balance sheet management segment.
 table shows goodwill allocated fair value book value trading investing segment.
 december 31 2012 goodwill % fair value book value
 retail brokerage $ 1791. 190% ( 190 %
 market. 115% ( 115 %
 goodwill $ 1934.
 evaluate remaining useful lives intangible assets.
 average life 13 years.
 impairment.
 estimates change impairment charge.
 estimates fair value future cash flows company comparisons.
 less goodwill tested for impairment.
 estimated fair value book value 115% ( 115 % ) cash flows less goodwill impairment could occur.
 cash flows monitored further evaluation impairment.
review order handling pricing between e*trade securities gi execution services regulators initiate investigations penalties cease-and-desist orders prompt claims.
 actions affect market trade execution businesses impact cash flows goodwill impairment.
 intangible assets amortized over lives.
 changes revenue impairment.
 tax rates deferred taxes valuation calculate income tax expense tax laws jurisdictions.
 estimate tax obligations uncertain tax positions assess differences between financial statement amounts tax basis assets liabilities.
 result in deferred tax assets liabilities.
 assess likelihood.
 establish valuation allowance.
 record corresponding tax expense in statement.
 reduces income tax expense.
 december 31 , 2012 net deferred tax assets $ 1416. 2 million valuation allowance $ 97. 8 million.


selection disclosure critical accounting estimates discussed with audit committee.
 discussion significant assumptions estimates accounting policies methods consolidated financial statements 2022 revenue recognition recognize revenue when evidence arrangement delivery sales price fixed collectability assured.
 revenue recognized title risk loss transferred to customers.
 shipment receipt sales terms.
 estimates cost sales returns experience immaterial.
 2022 goodwill non-amortizable intangible assets valuation test impairment annually.
 annual impairment analysis first quarter year.
 quantitative assessment.
 fair value carrying value.
 exceeds impaired.
 discounted cash flow model market approach earnings multiples.
 december 31  2015 carrying value goodwill $ 7. 4 billion related to ten reporting units.
estimated fair value ten units exceeded carrying value december 31  2015.
 non-amortizable assets discounted cash flow model relief-from-royalty method.
 concluded fair value exceeded carrying value movement assumptions impairment.
 cash flow models include assumptions operating cash flows.
 experience consistent with marketplace participant.
 recorded charge to earnings for impairment goodwill non-amortizable intangible assets.
 2022 marketing advertising costs costs advertising marketing engagement trade promotions.
 expensed.
.
 programs uncertainties performance compliance.
 volume-based incentives assesses likelihood achieving targets records reduction revenue.
 promotions relies on estimated utilization rates historical experience.
 changes assumptions change financial position cash flows.
 material changes in accounting methodology marketing programs.
 employee benefit plans.
plans benefits retired pensions postretirement health care postemployment benefits.
 record annual amounts calculations.
.
 actuarial assumptions discount rates return compensation increases mortality turnover health care cost.
 review.
.
 amortized future periods.
 assumptions historical experience.
 weighted-average discount rate assumptions pensions postretirement plans.
. pension plans 30%. 30 %. 95%. %
. 68%. % 92%. 92 %
 postretirement. 45%. 45 %. %
 assumption changes decreased amortization deferred losses decrease 2016 pre-tax.
.
 pension postretirement expense $ 209 million $ 240 million 2015


hologic inc.
 financial statements acquisition adjustments financial position results.
 no changes purchase price allocation form 10-k 30 2006.
 intangible assets identified valued.
 customer relationship trade name developed technology know how in-process research development identifiable values.
 customer relationship base dominant market position partnership large companies.
 trade name product.
 order backlog.
 developed technology know how marketable products.
 estimated $ 10200 purchase price in-process research development projects digital cad products.
 digital algorithm new platform breast density measurement.
 completed 2007.
 deferred income tax net operating loss acquired intangible assets fair value adjustments inventory not deductible.
 acquisition suros surgical systems.
 2006.
 merger april 17.
suros financial statements mammography care.
 indianapolis develops manufactures sells invasive breast biopsy technology.
 purchase price $ 248100 2300 shares hologic common stock $ 106500 cash $ 139000 $ 2600 acquisition fees expenses.
 fair value eitf issue.
 market price securities.
.
 assets july 27 2006 $ 11800
 research development 4900
 technology
 customer relationship 17900
 trade name 5800
 deferred income taxes
 goodwill 202000
 purchase price $ 267100
 acquisition two-year earn out.
 installments revenue growth.


recorded liabilities litigation settlements.
 changed december 31 2006 millions.
 balance 31 2006 $ 477
 litigation settlements 3
 interest. merchant lawsuit 38
 payments -114
 balance december 31 2007 $ 404
 discover settlement 863
 american express settlement 1649
 other settlements 6
. lawsuit 33
 american express settlement 44
 payments -300
 settlement -863
. lawsuit -100
 payments -1
 balance december 31 2008 $ 1736
.
 2006 issued 13496933 shares common stock donation controlled.
 charitable programs children youth access education technology skills work force.
 vision economy programs microfinance youth education.
 recorded expense $ 395 million equal value shares donated.
2007 2006 $ 20 million cash donations donate $ 40 million operating expenses charitable disbursements first four years.
 additional cash contributions.
 cash stock donations not deductible mastercard tax.
 income tax rate 31 2006 higher 2007 2008.
 expenses increased $ 14 million 2008 decreased $ 2 million 2007.
 due investments leasehold building improvements data center equipment capitalized software.
 decrease 2007 assets depreciated.
 increase leasehold improvements.


management 2019s discussion analysis jpmorgan chase. 10-k net income yield excluding yield reviews metrics excluding non-gaap financial measures.
 lending investing deposit-raising.
 metrics non-markets-related interest income yield.
 fixed income equity.
 disclosure income yield provides business trends comparable institutions lending investing deposit-raising.
 year ended december 31 millions 2018 2017 2016 net interest income 2013 $ 55687 $ 51410 $ 47292 markets excluding cib markets $ 52600 $ 46780 $ 40958 interest-earning assets $ 2229188 $ 2180592 $ 2101604 assets 609635 $ 1619553 $ 1639757 $ 1581297 net interest yield 2013. yield cib markets assets. excluding cib markets 3. 25%.25 %. 85%. 85 %. 59%. 59 % interest includes hedges.
 taxable-equivalent amounts applicable.
 reconciliation net interest income reconciliation.
 results page 57.
 information page 69.
 calculation.
 non-gaap financial measures.
 book value per share stockholders equity period-end overhead ratio noninterest expense net revenue return assets average assets return equity return equity book value per share income reviews adjusted expense noninterest legal expense non-gaap financial measure.
 credit metrics ratios exclude pci loans non-gaap.
 understand effect results performance.
 information credit metrics ratios loans credit investment risk management pages 102-123.
 year ended december 31 millions 2018 2017 2016
interest income 2013 $ 55687 $ 51410 $ 47292
 cib markets 3087 4630 6334
 excluding cib markets $ 52600 $ 46780 $ 40958
 interest-earning assets $ 2229188 $ 2180592 $ 2101604
 cib markets 540835 520307
 $ 1619553 $ 1639757 $ 1581297
 interest yield assets 2013 2. 50%. 50 %. 36%. %. 25%. %
 markets. 51. 86. 22
 3. 25%. 25 % 2. 85%. 85 %. 59%. 59 %
. interest income yield excluding metrics non financial measures.
 lending investing deposit-raising.
 non-markets-related net income yield.
 fixed income equity markets.
believes disclosure non-related income yield provides investors trends institutions lending investing deposit-raising.
 year december 31 millions 2018 2016 net interest income 2013 $ 55687 $ 51410 $ 47292 less cib markets 6334 excluding markets $ 52600 $ 46780 $ 40958-earning assets $ 2229188 $ 2180592 $ 2101604 less 540835 520307 $ 1619553 $ 1639757 $ 1581297 interest yield 2013. 50%. 36%. 25%. markets. excluding 25%. 85%. % 59%. includes effect hedges.
 taxable-equivalent amounts applicable.
 reconciliation net interest income.
 results page.
 information page 69.
 calculation.
 measures.
non-gaap measures calculated book value per share stockholders 2019 equity-end overhead ratio noninterest expense net revenue return assets average assets return common equity stockholders 2019 equity return common equity book value per share 201d-end net income reviews adjusted expense noninterest legal expense non-gaap.
 credit metrics ratios exclude pci loans non-gaap.
 help effect results performance.
 credit investment risk management pages 102-123.


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


2017 form 10-k.
 long term economics positive outlook supply demand.
 2022 refinery petrochemical industrial projects refineries oversupplied landscape 2018 industry globalizes refiners local demand export potential.
 petrochemicals healthy demand cost-advantaged supply projects 2018.
 industrial market infrastructure policy changes power decentralized.
 growing demand 2018.
 industrial metrics digital solutions.
 portfolio positioned compete deliver unique solutions.
 optimistic long-term economics flexibility volatility assumptions.
 2016 solar wind additions exceeded coal gas.
 renewable energy.
 renewables cost decline fossil capacity significant impacts.
 long-term outlook strong.
 demand energy supply service intensity advanced technology.
 focused innovative cost-efficient solutions operating economic performance.
environment discussion analysis summarizes factors affecting results operations financial condition liquidity position december 31 2017 2016 2015 read with consolidated financial statements notes.
 amounts millions computed based hundreds.
 may not equal total.
 operate in 120 countries find evaluate drill produce transport process hydrocarbon resources.
 revenue generated from sale products services to independent oil natural gas companies dependent on spending customers for gas exploration field development production.
 spending driven by factors customers forecasts future energy demand supply access resources ability capital programs impact new government regulations expectations for oil natural gas prices cash.
 summarized averages daily closing prices periods.
 2016 2015
 oil prices /bbl 54. $ 43. 64 $ 52.
.
.
.natural gas prices. 99 52. 62 energy brent price barrel


7.
 management analysis financial condition results operations international energy company operations. canada africa middle east europe.
 operations three segments 2022 e&p explores produces markets liquid hydrocarbons natural gas.
 2022 osm mines extracts transports bitumen oil sands alberta canada upgrades synthetic crude oil vacuum gas oil.
 2022 ig produces markets products natural gas.
 forward-looking statements trends affecting business.
 future outcomes uncertain.
 cautionary language factors future outcomes differ.
 additional risk factors see item 1a.
 risk factors annual report form 10-k.
 financial item 1.
.
 8.
 financial statements supplementary data annual report form 10-k.
june 30 2011 marathon two energy companies marathon oil mpc.
 shareholders june 27 received one share mpc stock two shares.
 fractional shares not distributed sold market received cash payment.
 tax ruling june 2011 tax-free nature spin-off.
 discontinued operations annual report form 10-k.
 financial.
 2013 market conditions production prices crude oil natural gas impact revenues cash flows.
 crude oil volatile.
 2011 increased 2010 brent wti.
 brent prices $ 75 to $ 85 per barrel.
 low $ 33. 98 february 2009 recovered 2009 $ 79. 36.
 crude oil natural gas price averages three years.
 wti crude oil bbl $ 95. 79. 62
 brent crude oil 111. 79
henry hub natural gas mmbtu $ 4.
 crude oil bbl 95. 79. 61 62 brent crude oil bbl. hub natural gas mmbtu 4.
.
 crude oil production 58 percent sour 2011 68 percent 2010.
 sulfur.
 heavier higher refining costs lower refined product values.
 crude oil production brent.
 differential brent prices 2011 $ 16. 15 $ 1. 2010.


consolidated financial statements union pacific corporation subsidiary companies references 201ccorporation subsidiaries railroad company.
.
 class i railroad.
 network 32236 route miles pacific gulf coast ports midwest eastern.
 gateways mexican gateways.
 own 26039 miles operate remainder trackage rights leases.
 serve western two-thirds country coordinated schedules rail carriers freight atlantic pacific coast southeast southwest canada mexico.
 export import traffic gulf coast pacific coast ports mexican canadian borders.
 railroad subsidiaries affiliates reportable operating segment.
 financial results segment.
 revenues contracts freight.
 reclassified six commodity groups agricultural energy industrial premium.
 disaggregation freight revenues.
agricultural 4469 4303 4209
 energy 4608 4498 3715
 industrial 5679 5204 4964
 premium 6628 5832 5713
 freight revenues $ 21384 $ 19837 18601
 subsidiary revenues 881
 accessorial revenues 502 458 455
 operating revenues $ 22832 $ 21240 $ 19941
 customers. origination outside.
 commodity mexico.
 freight revenues $ 2. 5 billion 2018 $. billion 2017 $. billion 2016.
 consolidated financial statements accounting principles.
.
.
 union pacific corporation subsidiaries.
 affiliated companies 50% % equity.
 intercompany transactions eliminated.
 majority-owned investments consolidation interest.
 maturities three months less.
.


operating expenses $ 2. billion increase 8% over 2000.
 adjusted citistreet grew 10%.
 growth 2001 lower than 20% growth 2000.
 reduced growth revenue slowed.
 growth reflects higher expenses salaries employee benefits information systems communications.
 1999.
 salaries employee benefits $ 1663  $ 1524 $ 1313 9 % 11% ( 11 %
 information systems communications 365 305 287
 processing services 247 268 237
 occupancy 229  201 188
 total operating expenses $ 2867  $ 2644  $ 2336
 employees 19753 17604 17213
 expenses salaries benefits increased $ 139million 2001 $.
 2100 additional staff new business.
 increase offset by lower incentive-based compensation.
systems communications expense $ 365 million 2001 up 20%.
 citistreet increased 22%.
 investment software hardware increased staffing.
 transaction processing services $ 247 million down $ 21 million 8%.
 contract services fees brokerage securities settlement.
.
 occupancy $ 229million up 15%.
 state street growth leasehold improvements operational costs.
 expenses $ 363 million up $ 17 million 5%.
 services advertising.
 increase $ 21 million increase amortization goodwill acquisitions.
 eliminated 2002.
 street $ 38 million. share amortization expense.
 cost containment discretionary spending.
 street corporation


2022.
 attorney 2019s office district maryland inspector general small business administration served subpoena on pnc documents relationship with sba-guaranteed loans jade capital investments  llc 201d other pnc sba guaranteed loans businesses maryland commonwealth virginia washington dc.
 jade loans identified indictment charging jade bank fraud violations federal bank fraud statute money laundering.
 pnc cooperating with.
 attorney 2019s office maryland.
 regulatory governmental investigations audits inquiries note 23.
 pnc persons indemnification obligations subject to pending legal proceedings claims monetary damages relief.
 anticipate liability financial position.
 determine claims results operations future reporting period loss claim income reported period.
note 24 commitments guarantees visa indemnification obligations officers directors employees agents companies.
 equity funding unfunded commitments december 31 2013 private equity investments $ 164 million.
 risk participations institutions support obligations third parties insurance requirements transactions capital markets.
 letters ratings table 151 letters billions $ 10. 5 $ 11. credit ratings portfolio.
 2013
 $. $ 11.
 credit ratings
 96% 95% 95 %
 4% 4 5% 5 %
 exclude participations $ 3. 3 billion $ 3. 2 billion financial institutions december 31 2013 2012.
 include $ 6. 6 billion $ 7. 5 billion remarketing programs.
 risk loss low.
 higher risk default.
customer fails financial obligation third party remarketing program beneficiary make payment.
 standby letters of credit outstanding december 31  2013 terms less 1 year to 6 years.
 assets $ 2. 0 billion secured standby letters credit.
 remaining secured by collateral guarantees.
 liability was $ 218 million december 31.
 standby bond support municipal bond obligations.
 commitments $ 1. 3 billion.
 liquidity facilities receivables.
 no commitments.
 pnc financial services group.
 2013 form 10-k


theme parks segment 2013 operating costs expenses operations repairs maintenance administrative expenses food beverage merchandise labor sales marketing.
 increased 2015 2014 additional costs orlando hollywood theme parks newer attractions fast fur food beverage merchandise costs attendance.
 increased 2015 $ 89 million universal studios japan $ 22 million transaction costs theme park china.
 nbcuniversal headquarters overhead personnel corporate initiatives.
 increased 2015 2014 higher employee-related costs severance costs % % change.
 revenue $ 766  $ 709  $ 600  8. 0%. 18. 1%.
 operating costs expenses 1664  1487 1089 11.
 operating loss before depreciation amortization $ -898 ( 898 $ -778 ( $ -489 ( 489.5 %.
 2013 revenue comcast spectacor owns philadelphia flyers wells fargo center arena operates arena management businesses.
 revenue increased 2015 2014 due food services new contracts.
 increase 2014 acquired businesses.
 2013 operating costs expenses overhead personnel initiatives branding.
 time warner cable merger divestiture $ 178 million $ 237 million 2015 2014 costs expenses increased 19% 19 % ) 2015.
 due $ 56 million contract settlement business initiatives new contracts.
 increased 2014 due $ 237 million time warner cable merger new contracts.
 2015 annual report form 10-k


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


new business model retail segment risky significant investment current economic climate fixed operating expenses.
 results dependent risks uncertainties future results financial condition. product backlog not future business prospects.
 increases new product introductions over- ordering.
 reduced sufficient supply.
 backlog reliable indicator revenue financial performance.
 information "factors future results financial condition. gross margin three fiscal years 2002 increased to 28% ( 28 % ) net sales 2002 from 23% ( 23 % 2001.
 2001 low negative gross margin 2% first quarter.
 quarterly gross margins declined 2002 from 31% 31 % first to 26% ( 26 % ) fourth quarter.
 decline component costs aggressive pricing.
 anticipates gross margin under pressure 2003 weak economic conditions flat demand pressure prices.
statements gross margin 2003 demand for computers forward- looking.
 could differ factors future results. no assurance current margins targeted levels.
 gross margins under downward pressure due to global pricing pressures increased competition compressed product life cycles cost raw material manufacturing services changes product mix higher sales lower prices lower gross margins.
 company expects pricing actions.
 gross margins affected quality warranty costs stimulate demand.
 operating strategy pricing changes foreign currency exchange rates results affected by fluctuations exchange rates.
 orders components builds inventory.
 markets volatile risk excess inventories.
 operating results financial condition affected by inventory levels purchase commitments demand.
 gross margin declined to 23% ( 23 % net sales 2001 from 27% 2000.
decline margin negative 2% 2 % first quarter 2001 26% 2000.
.
 2002
 net sales $ 5742 5363 7983
 cost 4139
 margin $ 1603 1235 2166
 28% 23% 27% 27 %


contracts purchase orders arrangement.
 shipping documents delivery.
 company assesses selling price payment terms sales refund adjustment.
 assesses collectibility creditworthiness payment history.
 accruals returns defective based experience.
 rebates incentives pricing agreements tied to sales volume.
 changes returns differ estimated.
 sales.
 compensated absences.
 changed vacation policy vacation pay earned year-end.
 accrual compensated reduced $ 1. million 2001.
 advertising.
 costs charged operations $ 18. $ 16. $. million 2003 2002 2001.
 research development.
 costs $ 34. $ 30. $ 27. million.
.
 warranties one to six years accepted market.
 records liability expected cost warranty-related claims sale.
 allocation warranty liability claims product failure rates.
.
accounting policies table presents 2019s product warranty liability activity 2003 2002 environmental costs.
 accrues losses obligations probable estimable.
 future expenditures not discounted present value.
 recoveries recorded assets.
 accruals adjusted facts circumstances change.
 compensation.
 stock-based employee compensation plan 11.
.
 record compensation cost.
 accounting principles.
.
 shares fixed price equals market price stock no compensation expense recognized.
 compensation cost determined fair value grant date.
 2019s earnings per share.
 years december 31 2003 2002
 balance beginning year $ 63. $ 69.
 29.
 claims settled.
 warranty waiver.
 end year $ 62. $ 63.
concessions customer agreed responsibility units purchased defective.
 warranty reserve units reclassified product warranty liability deferred revenue account.


accounting estimates consolidated financial statements include amounts.
 determined using estimates assumptions.
 amounts could differ.
 items subjective estimates unpaid loss expense reserves asbestos environmental future policy benefits reserves valuation value business acquired amortization deferred policy acquisition costs risk transfer insurance reinsurance contracts reinsurance recoverable uncollectible reinsurance investment portfolio impairments deferred tax assets derivative instruments benefits valuation goodwill.
 accounting policies.
 discussion information estimates assumptions with sections prior period development asbestos environmental liabilities reinsurance recoverable investments net realized gains losses income expense items.
 insurance reinsurance company required to establish loss expense reserves for unpaid liability under policies agreements with insured customers.
estimate liabilities includes provisions claims reported unpaid future obligations additional development.
 loss reserves include expenses processing settling unpaid claims.
 december 31 2009 gross unpaid reserves were $ 37. 8 billion net unpaid $ 25 billion.
 settlements loss reserves not discounted time value.
 net reserves $ 76 million.
 table roll-forward unpaid losses expenses years december 31 2009 2008.
. 2009 losses reinsurance
 balance year $ 37176 $ 12935 $ 24241 37112 $ 13520 $ 23592
 losses expenses incurred 11141 3719 7422 10944 3341 7603
 losses expenses paid -11093 -4145 -6948 -9899 -3572 -6327
exchange revaluation 559 236 323 -1367 -387
 losses expenses 2013 386 33
 $ 37783 12745 25038 37176 12935 24241
 uncollectible reinsurance


2012 company granted employees 139 thousand rsus performance measures market thresholds.
 awards vested january 2015.
 performance goals market thresholds rsus surpassed 175% awards distributed awards forfeited.
 2015 additional 93 thousand rsus granted performance thresholds exceeded.
 2015 2014 2013 granted rsus without performance conditions employees 2007 plan.
 without vest three year.
 distribution contingent performance measures market thresholds.
 2014 2013 granted rsus non-employee directors 2007 plan.
 vested date grant distribution 30 days 15 months after grant separation service.
 total grant date fair value recorded operation maintenance expense.
 vest one to three years.
 service-only conditions internal performance measures valued market value closing price company common stock date grant.
granted market valued monte carlo model.
 volatility historical stock.
 term years risk-free interest rate three-year.
 treasury rate.
 weighted-average assumptions monte carlo simulation grant date values december 31.
 volatility 14. 93%. 93 % 17. 78%. 19. 37%. 37 %
 risk-free interest rate. 07% % 75%. 75 %. 40%. 40 %
 life 3.
 grant fair value per share $ 62. $
 value restricted stock awards market conditions amortized expense-vesting.
 amortized operations expense.
 unrecognized compensation cost nonvested restricted stock units recognized. 4 years.
 grant date fair value $ 12 11 $ 9 years 2014 2013.


goldman sachs group.
 subsidiaries consolidated financial statements firm 2019s brokerage clearing businesses agrees to clear settle transactions with other brokerage firms.
 obligations secured by assets client 2019s account proceeds from transactions cleared settled.
 firm may issue loan guarantees fraud misappropriation environmental liabilities.
 maximum payout.
 management believes unlikely material payments no material liabilities recognized in statements financial december 2016 2015.
.
 firm provides counterparties indemnifies against losses breach.
 provide indemnifications against.
 tax laws.
 provide indemnifications counterparties additional taxes owed payments withheld.
 tax laws.
 indemnifications standard contractual terms business.
 no stated notional amounts contingencies triggering obligation not expected.
firm maximum payout under guarantees.
 management believes unlikely material payments no liabilities recognized in financial december 2016 2015.
.
 group.
 guarantees securities gs finance corp. subsidiary.
 guaranteed obligations goldman sachs co.
. gs bank exceptions.
.
 guarantees obligations subsidiaries transaction-by transaction.
.
 maximum payout subsidiary guarantees guaranteed obligations subsidiaries. liabilities not disclosed.
.
 dividends per share $ 2. 60 2016. 55 2015. 25 2014.
.
 dividend $ 0. 65 per common share paid march 30 2017.
 share repurchase program common equity.
 open-market purchases determined by current capital position market conditions price trading volumes common stock.
repurchasing common stock firm confirmation federal reserve board actions.
 table common stock repurchased program.
 2016 2015 2014
 share repurchases 36. 22.
 cost per share $ 165. $ 189. 171.
 cost $ 6069 4195 5469


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


costs board resin operating costs.
 european sales $ 380 million 375 2011.
 operating profits $ 100 million.
 sales volumes decreased european russian.
 price higher lower.
 input costs flat.
 maintenance downtime costs higher.
 quarter 2014 sales volumes flat.
 price higher russia.
 costs increase wood energy pulp.
 no maintenance outages costs rebuild coated board machine.
 packaging sales $ 1. billion 2013 830 million 2012 855 million 2011.
 profits $ 2 million 4 million 35.
 sales volumes increased coated paperboard machine.
 sales price realizations lower competitive pressure.
 freight costs.
 start-up profits.
 first quarter 2014 sales volumes increase.
 flat.
 costs higher pulp energy chemicals.
margin improvement operational excellence distribution north america leading manufacturers facility managers printers solutions efficiency reduce costs results.
 customer demand sensitive economic behavior corporate advertising government manufacturing.
 margins stable.
 best choice value.
 efficient customer service cost-effective logistics working capital management profitability.
.
 sales $ 5650
 profit
 2013 sales decreased 6% % 2012 15% 2011.
 profits $ million million 22 million 2012 34 million sales printing papers graphic arts supplies $ 3. 2 billion 2013. billion 2012 $ 4. billion 2011 declining demand discontinuation agreement manufacturer.
 margins printing papers down 2012 2011.
 revenue packaging flat $ 1. 6 billion decline.
 packaging margins flat 2012 2011.
revenue $ 845 million 2013 944 2012 981 2011.
 goodwill $ 400 million reorganization $ 32 million.
 2012 2011 49 million 52 million.
 2014 profits lower cost reduction initiatives.


yoplait license agreement.
 pre-tax gain $ 5. million.
 2018 acquired blue buffalo pet products.
 purchase price $ 8. billion $ 103. million net debt.
 subsidiary general mills merged blue wholly owned.
 equity holders received $ 40. per share cash.
 financed $ 6. billion debt $ 1. billion equity cash.
 2019 $ 25. million.
 2018 $ 34. million $ 49. million interest.
 consolidated buffalo goodwill $ 5. billion-lived intangible asset $ 2. billion finite-lived customer relationship asset $ 269. million.
 future growth.
 not deductible tax.
 2019 adjustments purchase accounting liabilities $ 5. million increase goodwill.
 consolidated results pet segment.
unaudited information blue 2017.
 net sales $ 17057. $ 16772.
 earnings general mills 2252. 1540.
 2017 amounts transaction integration costs $ 83. 9 million purchase accounting adjustment $ 52. 7 million.
 2018 interest expense $ 238. 7 million debt amortization expense $ 13. 5 million.
 increase cost sales $ 1. 6 million 2017 $ 5. 1 million 2018 impact inventory valuation blue results.
 tax effects $ 125. 1 million 2017 $ 14. 5 million 2018.
 not indicative future results.
.
 2019 $ 192. 6 million charge intangible assets.
.
 $ 14. 8 million charge restructuring manufacturing assets north america retail asia latin america segments.


.
 table summarizes cash securities.
 financing proceeds $ 39. 8 $ 93. 1
 capping closure post-closure obligations 61. 62. 4
 self-insurance 63. 65.
. 19
 restricted cash securities $ 172. 8 $ 240. 5
 own 19. 9%. interest company financial surety bonds obligations solid waste.
 cost.
 no.
 investee parent company surety bonds landfill operations $ 855. million $ 775. 2 million outstanding december 31.
 reimbursement obligations secured indemnity agreement investee letters credit $ 45. 0 million $ 67. 4 million.
 no debt obligations leases assurances.
 transactions obligations.
 third-party debt.
 contracts indemnification clauses.
 recorded financial statements.
 indemnifications relate to contingent events additional taxes adverse interpretation divestiture agreements liabilities activities.
 obligations financial position results operations cash flows.
 agreements with property owners guarantee value property adjacent to landfills.
 agreements varying terms.
 obligations financial position results operations cash flows.
 business activities statutory regulatory framework.
 regulation waste management requires retain permits.
 permits subject to revocation modification denial.
 costs capital expenditures permits significant.
 revocation denial.
 republic services.
 notes financial statements


31 2008 2007 2006 millions.
 gain disposition adjustment acquired assets obligations -9. 9. -1. 19.
 consulting professional fees 10. 8
 employee severance retention.
 technology integration.
-process research development 38. 6
.
 facility employee relocation 7.
 acquisitions 7. 4.
 sales lease contract terminations 8. 5.
 3. 5. 3
 acquisition integration 68. 5 25. 6.
 gain adjustment assets obligations 2008 adjustment liabilities.
 sale centerpulse land facilities gain $ 5. 1 million settlement pre acquisition contingent liabilities.
 offset $ 13. 4 million impairment charge centerpulse tradename trademark intangibles.
-process research development charges 2008 acquisition.
research development charges 2007 acquisitions endius orthosoft.
 fees third party integration consulting tax compliance logistics human resources legal fees acquired businesses.
 cash equivalents liquid investments maturity three months less cash equivalents.
 carrying amounts valued cost fair value.
 restricted cash escrow insurance coverage.
 inventories slow-moving lower cost first-in first-out.
 property plant equipment cost less accumulated depreciation.
 useful lives ten forty years buildings improvements three eight years machinery equipment.
 maintenance repairs expensed.
 financial accounting standards.
 property impairment value recoverable.
 impairment loss future cash flows less carrying amount.
 loss fair value.
 software costs capitalize development costs preliminary project stage.
software costs include materials services compensation benefits for employees.
 included in property plant equipment balance amortized when software ready over estimated useful lives three to seven years.
 hand-held orthopaedic surgeons joint replacement procedures.
 long-lived assets included in property plant equipment.
 undeployed instruments carried at cost excess obsolete.
 at cost less accumulated depreciation.
 depreciation computed based on estimated useful lives.
 instruments for impairment.
.
 depreciation recognized as selling administrative expense.
 for.
. not amortized subject to annual impairment tests.
.
 fair value to carrying potential impairment.
 determined based discounted cash flow analysis.
.
 quarter.
 if fair value less than carrying value impairment loss recorded.
assets 2013 account sfas.
 142.
 measured fair value.
 determined fair value r h o l d i n g s.
 2 0 0 8 consolidated financial statements job c48761 pcn|02/24/2009 06:10 valid color


december 31 2018 2017 2016
 statutory tax rate 19. 0%. 3%. 3 % 20. %
. income taxes. federal benefit. 4. -1 5.
 international operations -7. 3.
 nondeductible expenses 2. 3. 4
 adjustments prior year tax requirements. 9
 adjustments valuation 3. 8 -2
 tax positions.
 tax benefits compensation. 6. -8 2014
. tax reform 7. 2014
.
.
 tax 11. 7%. 7 % 36. 5%. 5 % 10. 6%. 6 %
 determines adjustment taxes international operations difference statutory tax rate foreign jurisdiction enacted rate 19. 0% 3%. 3 % 20. 0%. december 31 2018 2017 2016.
benefit company tax international operations global operations global funding tax holiday singapore.
 impact decreased 2017 2018.
 federal tax 2016-09 excess tax benefits deficiencies share transactions.
 tax reform act transition tax re-measurement.
 deferred tax assets liabilities 35% 21% withholding tax allocation tax benefit foreign tax credits.


operators open-loop closed-loop retail electronic payments networks visa mastercard american express discover jcb diners.
 exception discover united states other operators multi- national global providers payments.
 volume transactions cards visa largest retail electronic payments network.
 chart compares network competitors 2007 payments volume transactions cards billions.
.
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.
 2457 3822.
 payments volume transactions cards millions
. 2457 3822
 mastercard.
 american express.
.
.
 diners.
.
.
 report issue 902 2008 903.
.
exclude visa europe.
 competitors include european operations.
 include electron interlink brands.
 proprietary cash volume not.
 domestic china figures excluded.
 mastercard pin-based debit not maestro cirrus.
 china commercial funds transfers excluded.
 american express discover include third-party issuers.
 jcb figures april 2006 march 2007 outlets september 2007.
 transaction figures estimates.
 revenue transaction processing services.
 visa products payment services consumers merchants.
 payments network management core ensures safe efficient interoperable service cardholders merchants financial institutions.
 routing payment information authorization clearing settlement transactions issuers acquirers.
 value-added processing services visa programs network.
 authorization transaction.
 clearing data fees charges conversion amounts