| _id | dd4c3cc86 |
| title |  |
| text | 2015 compared to 2014 mfc 2019s net sales in 2015 decreased $ 322 million , or 5% ( 5 % ) , compared to the same period in 2014 .

the decrease was attributable to lower net sales of approximately $ 345 million for air and missile defense programs due to fewer deliveries ( primarily pac-3 ) and lower volume ( primarily thaad ) ; and approximately $ 85 million for tactical missile programs due to fewer deliveries ( primarily guided multiple launch rocket system ( gmlrs ) ) and joint air-to-surface standoff missile , partially offset by increased deliveries for hellfire .

these decreases were partially offset by higher net sales of approximately $ 55 million for energy solutions programs due to increased volume .
mfc 2019s operating profit in 2015 decreased $ 62 million , or 5% ( 5 % ) , compared to 2014 .

the decrease was attributable to lower operating profit of approximately $ 100 million for fire control programs due primarily to lower risk retirements ( primarily lantirn and sniper ) ; and approximately $ 65 million for tactical missile programs due to lower risk retirements ( primarily hellfire and gmlrs ) and fewer deliveries .

these decreases were partially offset by higher operating profit of approximately $ 75 million for air and missile defense programs due to increased risk retirements ( primarily thaad ) .
adjustments not related to volume , including net profit booking rate adjustments and other matters , were approximately $ 60 million lower in 2015 compared to 2014 .
backlog backlog decreased in 2016 compared to 2015 primarily due to lower orders on pac-3 , hellfire , and jassm .

backlog increased in 2015 compared to 2014 primarily due to higher orders on pac-3 , lantirn/sniper and certain tactical missile programs , partially offset by lower orders on thaad .
trends we expect mfc 2019s net sales to increase in the mid-single digit percentage range in 2017 as compared to 2016 driven primarily by our air and missile defense programs .
operating profit is expected to be flat or increase slightly .

accordingly , operating profit margin is expected to decline from 2016 levels as a result of contract mix and fewer risk retirements in 2017 compared to 2016 .
rotary and mission systems as previously described , on november 6 , 2015 , we acquired sikorsky and aligned the sikorsky business under our rms business segment .
the 2015 results of the acquired sikorsky business have been included in our financial results from the november 6 , 2015 acquisition date through december 31 , 2015 .

as a result , our consolidated operating results and rms business segment operating results for the year ended december 31 , 2015 do not reflect a full year of sikorsky operations .

our rms business segment provides design , manufacture , service and support for a variety of military and civil helicopters , ship and submarine mission and combat systems ; mission systems and sensors for rotary and fixed-wing aircraft ; sea and land-based missile defense systems ; radar systems ; the littoral combat ship ( lcs ) ; simulation and training services ; and unmanned systems and technologies .

in addition , rms supports the needs of government customers in cybersecurity and delivers communication and command and control capabilities through complex mission solutions for defense applications .
rms 2019 major programs include black hawk and seahawk helicopters , aegis combat system ( aegis ) , lcs , space fence , advanced hawkeye radar system , tpq-53 radar system , ch-53k development helicopter , and vh-92a helicopter program .
rms 2019 operating results included the following ( in millions ) : .

2016 compared to 2015 rms 2019 net sales in 2016 increased $ 4.4 billion , or 48% ( 48 % ) , compared to 2015 .
the increase was primarily attributable to higher net sales of approximately $ 4.6 billion from sikorsky , which was acquired on november 6 , 2015 .
net sales for 2015 include sikorsky 2019s results subsequent to the acquisition date , net of certain revenue adjustments required to account for the acquisition of this business .

this increase was partially offset by lower net sales of approximately $ 70 million for training

 |
| table | | 2016           | 2015           | 2014
------------------ | -------------- | -------------- | ----------------
net sales          | $ 13462        | $ 9091         | $ 8732
operating profit   | 906            | 844            | 936
operating margin   | 6.7% ( 6.7 % ) | 9.3% ( 9.3 % ) | 10.7% ( 10.7 % )
backlog atyear-end | $ 28400        | $ 30100        | $ 13300 |


| _id | dd4bcfc62 |
| title |  |
| text | dividends for a summary of the cash dividends paid on citi 2019s outstanding common stock during 2009 and 2010 , see note 33 to the consolidated financial statements .
for so long as the u.s .
government holds any citigroup trust preferred securities acquired pursuant to the exchange offers consummated in 2009 , citigroup has agreed not to pay a quarterly common stock dividend exceeding $ 0.01 per quarter , subject to certain customary exceptions .

further , any dividend on citi 2019s outstanding common stock would need to be made in compliance with citi 2019s obligations to any remaining outstanding citigroup preferred stock .
performance graph comparison of five-year cumulative total return the following graph and table compare the cumulative total return on citigroup 2019s common stock with the cumulative total return of the s&p 500 index and the s&p financial index over the five-year period extending through december 31 , 2010 .

the graph and table assume that $ 100 was invested on december 31 , 2005 in citigroup 2019s common stock , the s&p 500 index and the s&p financial index and that all dividends were reinvested .
citigroup s&p 500 index s&p financial index comparison of five-year cumulative total return for the years ended 2006 2007 2008 2009 2010 .

 |
| table | december 31, | citigroup | s&p 500 index | s&p financial index
------------ | --------- | ------------- | -------------------
2006         | 119.55    | 115.79        | 119.19
2007         | 66.10     | 122.15        | 96.98
2008         | 15.88     | 76.96         | 43.34
2009         | 7.85      | 97.33         | 50.80
2010         | 11.22     | 111.99        | 56.96 |


| _id | dd4c0f18c |
| title |  |
| text | table of contents adobe inc .
notes to consolidated financial statements ( continued ) stock options the 2003 plan allows us to grant options to all employees , including executive officers , outside consultants and non- employee directors .
this plan will continue until the earlier of ( i ) termination by the board or ( ii ) the date on which all of the shares available for issuance under the plan have been issued and restrictions on issued shares have lapsed .

option vesting periods used in the past were generally four years and expire seven years from the effective date of grant .
we eliminated the use of stock option grants for all employees and non-employee directors but may choose to issue stock options in the future .

performance share programs our 2018 , 2017 and 2016 performance share programs aim to help focus key employees on building stockholder value , provide significant award potential for achieving outstanding company performance and enhance the ability of the company to attract and retain highly talented and competent individuals .

the executive compensation committee of our board of directors approves the terms of each of our performance share programs , including the award calculation methodology , under the terms of our 2003 plan .
shares may be earned based on the achievement of an objective relative total stockholder return measured over a three-year performance period .

performance share awards will be awarded and fully vest upon the later of the executive compensation committee's certification of the level of achievement or the three-year anniversary of each grant .
program participants generally have the ability to receive up to 200% ( 200 % ) of the target number of shares originally granted .

on january 24 , 2018 , the executive compensation committee approved the 2018 performance share program , the terms of which are similar to prior year performance share programs as discussed above .
as of november 30 , 2018 , the shares awarded under our 2018 , 2017 and 2016 performance share programs are yet to be achieved .
issuance of shares upon exercise of stock options , vesting of restricted stock units and performance shares , and purchases of shares under the espp , we will issue treasury stock .

if treasury stock is not available , common stock will be issued .
in order to minimize the impact of on-going dilution from exercises of stock options and vesting of restricted stock units and performance shares , we instituted a stock repurchase program .
see note 12 for information regarding our stock repurchase programs .
valuation of stock-based compensation stock-based compensation cost is measured at the grant date based on the fair value of the award .

our performance share awards are valued using a monte carlo simulation model .
the fair value of the awards are fixed at grant date and amortized over the longer of the remaining performance or service period .
we use the black-scholes option pricing model to determine the fair value of espp shares .

the determination of the fair value of stock-based payment awards on the date of grant using an option pricing model is affected by our stock price as well as assumptions regarding a number of complex and subjective variables .
these variables include our expected stock price volatility over the expected term of the awards , actual and projected employee stock option exercise behaviors , a risk-free interest rate and any expected dividends .

the expected term of espp shares is the average of the remaining purchase periods under each offering period .
the assumptions used to value employee stock purchase rights were as follows: .

 |
| table | | 2018                                | 2017                                | 2016
-------------------------- | ----------------------------------- | ----------------------------------- | -----------------------
expected life ( in years ) | 0.5 - 2.0                           | 0.5 - 2.0                           | 0.5 - 2.0
volatility                 | 26% ( 26 % ) - 29% ( 29 % )         | 22% ( 22 % ) - 27% ( 27 % )         | 26 - 29% ( 29 % )
risk free interest rate    | 1.54% ( 1.54 % ) - 2.52% ( 2.52 % ) | 0.62% ( 0.62 % ) - 1.41% ( 1.41 % ) | 0.37 - 1.06% ( 1.06 % ) |


| _id | dd4bd4078 |
| title |  |
| text | the goldman sachs group , inc .
and subsidiaries notes to consolidated financial statements lending commitments the firm 2019s lending commitments are agreements to lend with fixed termination dates and depend on the satisfaction of all contractual conditions to borrowing .
these commitments are presented net of amounts syndicated to third parties .

the total commitment amount does not necessarily reflect actual future cash flows because the firm may syndicate all or substantial additional portions of these commitments .
in addition , commitments can expire unused or be reduced or cancelled at the counterparty 2019s request .
the table below presents information about lending commitments. .

in the table above : 2030 held for investment lending commitments are accounted for on an accrual basis .
see note 9 for further information about such commitments .
2030 held for sale lending commitments are accounted for at the lower of cost or fair value .
2030 gains or losses related to lending commitments at fair value , if any , are generally recorded , net of any fees in other principal transactions .

2030 substantially all lending commitments relates to the firm 2019s investing & lending segment .
commercial lending .
the firm 2019s commercial lending commitments were primarily extended to investment-grade corporate borrowers .

such commitments included $ 93.99 billion as of december 2018 and $ 85.98 billion as of december 2017 , related to relationship lending activities ( principally used for operating and general corporate purposes ) and $ 27.92 billion as of december 2018 and $ 42.41 billion as of december 2017 , related to other investment banking activities ( generally extended for contingent acquisition financing and are often intended to be short-term in nature , as borrowers often seek to replace them with other funding

often seek to replace them with other funding sources ) .

the firm also extends lending commitments in connection with other types of corporate lending , as well as commercial real estate financing .
see note 9 for further information about funded loans .
sumitomo mitsui financial group , inc .
( smfg ) provides the firm with credit loss protection on certain approved loan commitments ( primarily investment-grade commercial lending commitments ) .

the notional amount of such loan commitments was $ 15.52 billion as of december 2018 and $ 25.70 billion as of december 2017 .
the credit loss protection on loan commitments provided by smfg is generally limited to 95% ( 95 % ) of the first loss the firm realizes on such commitments , up to a maximum of approximately $ 950 million .

in addition , subject to the satisfaction of certain conditions , upon the firm 2019s request , smfg will provide protection for 70% ( 70 % ) of additional losses on such commitments , up to a maximum of $ 1.0 billion , of which $ 550 million of protection had been provided as of both december 2018 and december 2017 .
the firm also uses other financial instruments to mitigate credit risks related to certain commitments not covered by smfg .

these instruments primarily include credit default swaps that reference the same or similar underlying instrument or entity , or credit default swaps that reference a market index .
warehouse financing .
the firm provides financing to clients who warehouse financial assets .
these arrangements are secured by the warehoused assets , primarily consisting of consumer and corporate loans .

contingent and forward starting collateralized agreements / forward starting collateralized financings forward starting collateralized agreements includes resale and securities borrowing agreements , and forward starting collateralized financings includes repurchase and secured lending agreements that settle at a future date , generally within three business days .
the firm also enters into commitments to provide contingent financing to its clients and counterparties through resale agreements .

the firm 2019s funding of these commitments depends on the satisfaction of all contractual conditions to the resale agreement and these commitments can expire unused .
letters of credit the firm has commitments under letters of credit issued by various banks which the firm provides to counterparties in lieu of securities or cash to satisfy various collateral and margin deposit requirements .

investment commitments investment commitments includes commitments to invest in private equity , real estate and other assets directly and through funds that the firm raises and manages .
investment commitments included $ 2.42 billion as of december 2018 and $ 2.09 billion as of december 2017 , related to commitments to invest in funds managed by the firm .
if these commitments are called , they would be funded at market value on the date of investment .
goldman sachs 2018 form 10-k 159

 |
| table | $ in millions       | as of december 2018 | as of december 2017
------------------- | ------------------- | -------------------
held for investment | $ 120997            | $ 124504
held for sale       | 8602                | 9838
at fair value       | 7983                | 9404
total               | $ 137582            | $ 143746 |


| _id | dd4b98b36 |
| title |  |
| text | jpmorgan chase & co./2016 annual report 49 net interest income excluding cib 2019s markets businesses in addition to reviewing net interest income on a managed basis , management also reviews net interest income excluding net interest income arising from cib 2019s markets businesses to assess the performance of the firm 2019s lending , investing ( including asset-liability management ) and deposit-raising activities .
cib 2019s markets businesses represent both fixed income markets and equity markets .

the data presented below are non-gaap financial measures due to the exclusion of net interest income from cib 2019s markets businesses ( 201ccib markets 201d ) .
management believes this exclusion provides investors and analysts with another measure by which to analyze the non- markets-related business trends of the firm and provides a comparable measure to other financial institutions that are primarily focused on lending , investing and deposit-raising activities .

year ended december 31 , ( in millions , except rates ) 2016 2015 2014 net interest income 2013 managed basis ( a ) ( b ) $ 47292 $ 44620 $ 44619 less : cib markets net interest income ( c ) 6334 5298 6032 net interest income excluding cib markets ( a ) $ 40958 $ 39322 $ 38587 average interest-earning assets $ 2101604 $ 2088242 $ 2049093 less : average cib markets interest-earning assets ( c ) 520307 510292 522989 average interest-earning assets excluding cib markets $ 1581297 $ 1577950 $ 1526104 net

cib markets $ 1581297 $ 1577950 $ 1526104 net interest yield on average interest-earning assets 2013 managed basis 2.25% ( 2.25 % ) 2.14% ( 2.14 % ) 2.18% ( 2.18 % ) net interest yield on average cib markets interest- earning assets ( c ) 1.22 1.04 1.15 net interest yield on average interest-earning assets excluding cib markets 2.59% ( 2.59 % ) 2.49% ( 2.49 % ) 2.53% ( 2.53 % ) ( a ) interest includes the effect of related hedges .

taxable-equivalent amounts are used where applicable .
( b ) for a reconciliation of net interest income on a reported and managed basis , see reconciliation from the firm 2019s reported u.s .
gaap results to managed basis on page 48 .
( c ) prior period amounts were revised to align with cib 2019s markets businesses .
for further information on cib 2019s markets businesses , see page 61 .
calculation of certain u.s .
gaap and non-gaap financial measures certain u.s .

gaap and non-gaap financial measures are calculated as follows : book value per share ( 201cbvps 201d ) common stockholders 2019 equity at period-end / common shares at period-end overhead ratio total noninterest expense / total net revenue return on assets ( 201croa 201d ) reported net income / total average assets return on common equity ( 201croe 201d ) net income* / average common stockholders 2019 equity return on tangible common equity ( 201crotce 201d ) net income* / average tangible common equity

) net income* / average tangible common equity tangible book value per share ( 201ctbvps 201d ) tangible common equity at period-end / common shares at period-end * represents net income applicable to common equity .

jpmorgan chase & co./2016 annual report 49 net interest income excluding cib 2019s markets businesses in addition to reviewing net interest income on a managed basis , management also reviews net interest income excluding net interest income arising from cib 2019s markets businesses to assess the performance of the firm 2019s lending , investing ( including asset-liability management ) and deposit-raising activities .
cib 2019s markets businesses represent both fixed income markets and equity markets .

the data presented below are non-gaap financial measures due to the exclusion of net interest income from cib 2019s markets businesses ( 201ccib markets 201d ) .
management believes this exclusion provides investors and analysts with another measure by which to analyze the non- markets-related business trends of the firm and provides a comparable measure to other financial institutions that are primarily focused on lending , investing and deposit-raising activities .

year ended december 31 , ( in millions , except rates ) 2016 2015 2014 net interest income 2013 managed basis ( a ) ( b ) $ 47292 $ 44620 $ 44619 less : cib markets net interest income ( c ) 6334 5298 6032 net interest income excluding cib markets ( a ) $ 40958 $ 39322 $ 38587 average interest-earning assets $ 2101604 $ 2088242 $ 2049093 less : average cib markets interest-earning assets ( c ) 520307 510292 522989 average interest-earning assets excluding cib markets $ 1581297 $ 1577950 $ 1526104 net

cib markets $ 1581297 $ 1577950 $ 1526104 net interest yield on average interest-earning assets 2013 managed basis 2.25% ( 2.25 % ) 2.14% ( 2.14 % ) 2.18% ( 2.18 % ) net interest yield on average cib markets interest- earning assets ( c ) 1.22 1.04 1.15 net interest yield on average interest-earning assets excluding cib markets 2.59% ( 2.59 % ) 2.49% ( 2.49 % ) 2.53% ( 2.53 % ) ( a ) interest includes the effect of related hedges .

taxable-equivalent amounts are used where applicable .
( b ) for a reconciliation of net interest income on a reported and managed basis , see reconciliation from the firm 2019s reported u.s .
gaap results to managed basis on page 48 .
( c ) prior period amounts were revised to align with cib 2019s markets businesses .
for further information on cib 2019s markets businesses , see page 61 .
calculation of certain u.s .
gaap and non-gaap financial measures certain u.s .

gaap and non-gaap financial measures are calculated as follows : book value per share ( 201cbvps 201d ) common stockholders 2019 equity at period-end / common shares at period-end overhead ratio total noninterest expense / total net revenue return on assets ( 201croa 201d ) reported net income / total average assets return on common equity ( 201croe 201d ) net income* / average common stockholders 2019 equity return on tangible common equity ( 201crotce 201d ) net income* / average tangible common equity

) net income* / average tangible common equity tangible book value per share ( 201ctbvps 201d ) tangible common equity at period-end / common shares at period-end * represents net income applicable to common equity

 |
| table | year ended december 31 ( in millions except rates )                         | 2016             | 2015             | 2014
--------------------------------------------------------------------------- | ---------------- | ---------------- | ----------------
net interest income 2013 managed basis ( a ) ( b )                          | $ 47292          | $ 44620          | $ 44619
less : cib markets net interest income ( c )                                | 6334             | 5298             | 6032
net interest income excluding cib markets ( a )                             | $ 40958          | $ 39322          | $ 38587
average interest-earning assets                                             | $ 2101604        | $ 2088242        | $ 2049093
less : average cib markets interest-earning assets ( c )                    | 520307           | 510292           | 522989
average interest-earning assets excluding cib markets                       | $ 1581297        | $ 1577950        | $ 1526104
net interest yield on average interest-earning assets 2013 managed basis    | 2.25% ( 2.25 % ) | 2.14% ( 2.14 % ) | 2.18% ( 2.18 % )
net interest yield on average cib markets interest-earning assets ( c )     | 1.22             | 1.04             | 1.15
net interest yield on average interest-earning assets excluding cib markets | 2.59% ( 2.59 % ) | 2.49% ( 2.49 % ) | 2.53% ( 2.53 % ) |


| _id | dd4c30d0a |
| title |  |
| text | 12 .
brokerage receivables and brokerage payables citi has receivables and payables for financial instruments sold to and purchased from brokers , dealers and customers , which arise in the ordinary course of business .
citi is exposed to risk of loss from the inability of brokers , dealers or customers to pay for purchases or to deliver the financial instruments sold , in which case citi would have to sell or purchase the financial instruments at prevailing market prices .

credit risk is reduced to the extent that an exchange or clearing organization acts as a counterparty to the transaction and replaces the broker , dealer or customer in question .
citi seeks to protect itself from the risks associated with customer activities by requiring customers to maintain margin collateral in compliance with regulatory and internal guidelines .
margin levels are monitored daily , and customers deposit additional collateral as required .

where customers cannot meet collateral requirements , citi may liquidate sufficient underlying financial instruments to bring the customer into compliance with the required margin level .
exposure to credit risk is impacted by market volatility , which may impair the ability of clients to satisfy their obligations to citi .
credit limits are established and closely monitored for customers and for brokers and dealers engaged in forwards , futures and other transactions deemed to be credit sensitive .

brokerage receivables and brokerage payables consisted of the following: .

payables to brokers , dealers , and clearing organizations 19915 18069 total brokerage payables ( 1 ) $ 57152 $ 53722 ( 1 ) includes brokerage receivables and payables recorded by citi broker- dealer entities that are accounted for in accordance with the aicpa accounting guide for brokers and dealers in securities as codified in asc 940-320.

 |
| table | in millions of dollars                                      | december 31 , 2016 | december 31 , 2015
----------------------------------------------------------- | ------------------ | ------------------
receivables from customers                                  | $ 10374            | $ 10435
receivables from brokers dealers and clearing organizations | 18513              | 17248
total brokerage receivables ( 1 )                           | $ 28887            | $ 27683
payables to customers                                       | $ 37237            | $ 35653
payables to brokers dealers and clearing organizations      | 19915              | 18069
total brokerage payables ( 1 )                              | $ 57152            | $ 53722 |


| _id | dd4bff430 |
| title |  |
| text | as of december 31 , 2006 , we also leased an office and laboratory facility in connecticut , additional office , distribution and storage facilities in san diego , and four foreign facilities located in japan , singapore , china and the netherlands under non-cancelable operating leases that expire at various times through july 2011 .
these leases contain renewal options ranging from one to five years .

as of december 31 , 2006 , our contractual obligations were ( in thousands ) : contractual obligation total less than 1 year 1 2013 3 years 1 2013 5 years more than 5 years .

the above table does not include orders for goods and services entered into in the normal course of business that are not enforceable or legally binding .
item 7a .
quantitative and qualitative disclosures about market risk .
interest rate sensitivity our exposure to market risk for changes in interest rates relates primarily to our investment portfolio .

the fair market value of fixed rate securities may be adversely impacted by fluctuations in interest rates while income earned on floating rate securities may decline as a result of decreases in interest rates .
under our current policies , we do not use interest rate derivative instruments to manage exposure to interest rate changes .
we attempt to ensure the safety and preservation of our invested principal funds by limiting default risk , market risk and reinvestment risk .

we mitigate default risk by investing in investment grade securities .
we have historically maintained a relatively short average maturity for our investment portfolio , and we believe a hypothetical 100 basis point adverse move in interest rates along the entire interest rate yield curve would not materially affect the fair value of our interest sensitive financial instruments .
foreign currency exchange risk although most of our revenue is realized in u.s .

dollars , some portions of our revenue are realized in foreign currencies .
as a result , our financial results could be affected by factors such as changes in foreign currency exchange rates or weak economic conditions in foreign markets .
the functional currencies of our subsidiaries are their respective local currencies .
accordingly , the accounts of these operations are translated from the local currency to the u.s .

dollar using the current exchange rate in effect at the balance sheet date for the balance sheet accounts , and using the average exchange rate during the period for revenue and expense accounts .
the effects of translation are recorded in accumulated other comprehensive income as a separate component of stockholders 2019 equity.

 |
| table | contractual obligation | payments due by period total | payments due by period less than 1 year | payments due by period 1 2013 3 years | payments due by period 1 2013 5 years | payments due by period more than 5 years
---------------------- | ---------------------------- | --------------------------------------- | ------------------------------------- | ------------------------------------- | ----------------------------------------
operating leases       | $ 37899                      | $ 5320                                  | $ 10410                               | $ 9371                                | $ 12798
total                  | $ 37899                      | $ 5320                                  | $ 10410                               | $ 9371                                | $ 12798 |


| _id | dd4c5d0f8 |
| title |  |
| text | note 12 .
shareholders 2019 equity accumulated other comprehensive loss : accumulated other comprehensive loss included the following components as of december 31: .

the net after-tax unrealized loss on available-for-sale securities of $ 1.64 billion and $ 5.21 billion as of december 31 , 2009 and december 31 , 2008 , respectively , included $ 635 million and $ 1.39 billion , respectively , of net after-tax unrealized losses related to securities reclassified from securities available for sale to securities held to maturity .

the decrease in the losses related to transfers compared to december 31 , 2008 resulted from amortization and from the recognition of losses from other-than-temporary impairment on certain of the securities .
additional information is provided in note 3 .
for the year ended december 31 , 2009 , we realized net gains of $ 368 million from sales of available-for-sale securities .

unrealized pre-tax gains of $ 46 million were included in other comprehensive income at december 31 , 2008 , net of deferred taxes of $ 18 million , related to these sales .
for the year ended december 31 , 2008 , we realized net gains of $ 68 million from sales of available-for-sale securities .
unrealized pre-tax gains of $ 71 million were included in other comprehensive income at december 31 , 2007 , net of deferred taxes of $ 28 million , related to these sales .

for the year ended december 31 , 2007 , we realized net gains of $ 7 million on sales of available-for-sale securities .
unrealized pre-tax losses of $ 32 million were included in other comprehensive income at december 31 , 2006 , net of deferred taxes of $ 13 million , related to these sales .
preferred stock : in october 2008 , in connection with the u.s .

treasury 2019s capital purchase program , we issued 20000 shares of our series b fixed-rate cumulative perpetual preferred stock , $ 100000 liquidation preference per share , and a warrant to purchase 5576208 shares of our common stock at an exercise price of $ 53.80 per share , to treasury , and received aggregate proceeds of $ 2 billion .
the aggregate proceeds were allocated to the preferred stock and the warrant based on their relative fair values on the date of issuance .

as a result , approximately $ 1.88 billion and $ 121 million , respectively , were allocated to the preferred stock and the warrant .
the difference between the initial value of $ 1.88 billion allocated to the preferred stock and the liquidation amount of $ 2 billion was intended to be charged to retained earnings and credited to the preferred stock over the period that the preferred stock was outstanding , using the effective yield method .

for 2008 and 2009 , these charges to retained earnings reduced net income available to common shareholders by $ 4 million and $ 11 million , respectively , and reduced basic and diluted earnings per common share for those periods .
these calculations are presented in note 22 .
the preferred shares qualified as tier 1 regulatory capital , and paid cumulative quarterly dividends at a rate of 5% ( 5 % ) per year .

for 2008 and 2009 , the accrual of dividends on the preferred shares reduced net income available to common shareholders by $ 18 million and $ 46 million , respectively , and reduced basic and diluted earnings per common share for those periods .
these calculations are presented in note 22 .
the warrant was immediately

 |
| table | ( in millions )                                                                                | 2009             | 2008             | 2007
----------------------------------------------------------------------------------------------------------------- | ---------------- | ---------------- | --------------
foreign currency translation                                                                                | $ 281            | $ 68             | $ 331
net unrealized loss on hedges of net investments in non-u.s . subsidiaries                                        | -14 ( 14 )       | -14 ( 14 )       | -15 ( 15 )
net unrealized loss on available-for-sale securities                                                              | -1636 ( 1636 )   | -5205 ( 5205 )   | -678 ( 678 )
net unrealized loss on fair value hedges of available-for-sale securities                                         | -113 ( 113 )     | -242 ( 242 )     | -55 ( 55 )
losses from other-than-temporary impairment on available-for-sale securities related to factors other than credit | -159 ( 159 )     | 2014             | 2014
losses from other-than-temporary impairment on held-to-maturity securities related to factors other than credit   | -387 ( 387 )     | 2014             | 2014
minimum pension liability                                                                                | -192 ( 192 )     | -229 ( 229 )     | -146 ( 146 )
net unrealized loss on cash flow hedges                                                                           | -18 ( 18 )       | -28 ( 28 )       | -12 ( 12 )
total                                                                                | $ -2238 ( 2238 ) | $ -5650 ( 5650 ) | $ -575 ( 575 ) |


| _id | dd4c013de |
| title |  |
| text | notes to consolidated financial statements level 3 rollforward if a derivative was transferred to level 3 during a reporting period , its entire gain or loss for the period is included in level 3 .
transfers between levels are reported at the beginning of the reporting period in which they occur .
in the tables below , negative amounts for transfers into level 3 and positive amounts for transfers out of level 3 represent net transfers of derivative liabilities .

gains and losses on level 3 derivatives should be considered in the context of the following : 2030 a derivative with level 1 and/or level 2 inputs is classified in level 3 in its entirety if it has at least one significant level 3 input .
2030 if there is one significant level 3 input , the entire gain or loss from adjusting only observable inputs ( i.e. , level 1 and level 2 inputs ) is classified as level 3 .

2030 gains or losses that have been reported in level 3 resulting from changes in level 1 or level 2 inputs are frequently offset by gains or losses attributable to level 1 or level 2 derivatives and/or level 1 , level 2 and level 3 cash instruments .
as a result , gains/ ( losses ) included in the level 3 rollforward below do not necessarily represent the overall impact on the firm 2019s results of operations , liquidity or capital resources .

the tables below present changes in fair value for all derivatives categorized as level 3 as of the end of the year. .

1 .
the aggregate amounts include losses of approximately $ 1.29 billion and $ 324 million reported in 201cmarket making 201d and 201cother principal transactions , 201d respectively .

the net unrealized loss on level 3 derivatives of $ 1.37 billion for 2013 principally resulted from changes in level 2 inputs and was primarily attributable to losses on certain credit derivatives , principally due to the impact of tighter credit spreads , and losses on certain currency derivatives , primarily due to changes in foreign exchange rates .

transfers into level 3 derivatives during 2013 primarily reflected transfers of credit derivative assets from level 2 , principally due to reduced transparency of upfront credit points and correlation inputs used to value these derivatives .

transfers out of level 3 derivatives during 2013 primarily reflected transfers of certain credit derivatives to level 2 , principally due to unobservable credit spread and correlation inputs no longer being significant to the valuation of these derivatives and unobservable inputs not being significant to the net risk of certain portfolios .
goldman sachs 2013 annual report 143

 |
| table | in millions                | level 3 derivative assets and liabilities at fair value for the year ended december 2013 asset/ ( liability ) balance beginning of year | level 3 derivative assets and liabilities at fair value for the year ended december 2013 net realized gains/ ( losses ) | level 3 derivative assets and liabilities at fair value for the year ended december 2013 net unrealized gains/ ( losses ) relating to instruments still held at year-end | level 3 derivative assets and liabilities at fair value for the year ended december 2013 purchases | level 3 derivative assets and liabilities at fair value for the year ended december 2013 sales | level 3 derivative assets and liabilities at fair value for the year ended december 2013 settlements | level 3 derivative assets and liabilities at fair value for the year ended december 2013 transfers into level 3 | level 3 derivative assets and liabilities at fair value for the year ended december 2013 transfers out of level 3 | level 3 derivative assets and liabilities at fair value for the year ended december 2013 asset/ ( liability ) balance endof year
-------------------------- | --------------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | -------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------
interest rates 2014 net    | $ -355 ( 355 )                                                                                | $ -78 ( 78 )                                                                                | $ 168                                                                                | $ 1                                                                                | $ -8 ( 8 )                                                                                | $ 196                                                                                | $ -9 ( 9 )                                                                                | $ -1 ( 1 )                                                                                | $ -86 ( 86 )
credit 2014 net            | 6228                                                                                | -1 ( 1 )                                                                                | -977 ( 977 )                                                                                | 201                                                                                | -315 ( 315 )                                                                                | -1508 ( 1508 )                                                                                | 695                                                                                | -147 ( 147 )                                                                                | 4176
currencies 2014 net        | 35                                                                                | -93 ( 93 )                                                                                | -419 ( 419 )                                                                                | 22                                                                                | -6 ( 6 )                                                                                | 169                                                                                | 139                                                                                | -47 ( 47 )                                                                                | -200 ( 200 )
commodities 2014 net       | -304 ( 304 )                                                                                | -6 ( 6 )                                                                                | 58                                                                                | 21                                                                                | -48 ( 48 )                                                                                | 281                                                                                | 50                                                                                | 8                                                                                | 60
equities 2014 net          | -1248 ( 1248 )                                                                                | -67 ( 67 )                                                                                | -202 ( 202 )                                                                                | 77                                                                                | -472 ( 472 )                                                                                | 1020                                                                                | -15 ( 15 )                                                                                | -52 ( 52 )                                                                                | -959 ( 959 )
total derivatives 2014 net | $ 4356                                                                                | $ ( 245 ) 1                                                                                | $ ( 1372 ) 1                                                                                | $ 322                                                                                | $ -849 ( 849 )                                                                                | $ 158                                                                                | $ 860                                                                                | $ -239 ( 239 )                                                                                | $ 2991 |


| _id | dd4bb957a |
| title |  |
| text | american tower corporation and subsidiaries notes to consolidated financial statements 2014 ( continued ) pro forma disclosure 2014the company has adopted the disclosure-only provisions of sfas no .
123 , as amended by sfas no .
148 , and has presented such disclosure in note 1 .
the 201cfair value 201d of each option grant is estimated on the date of grant using the black-scholes option pricing model .

the weighted average fair values of the company 2019s options granted during 2004 , 2003 and 2002 were $ 7.05 , $ 6.32 , and $ 2.23 per share , respectively .
key assumptions used to apply this pricing model are as follows: .

voluntary option exchanges 2014in february 2004 , the company issued to eligible employees 1032717 options with an exercise price of $ 11.19 per share , the fair market value of the class a common stock on the date of grant .

these options were issued in connection with a voluntary option exchange program entered into by the company in august 2003 , where the company accepted for surrender and cancelled options ( having an exercise price of $ 10.25 or greater ) to purchase 1831981 shares of its class a common stock .

the program , which was offered to both full and part-time employees , excluding the company 2019s executive officers and its directors , called for the grant ( at least six months and one day from the surrender date to employees still employed on that date ) of new options exercisable for two shares of class a common stock for every three shares of class a common stock issuable upon exercise of a surrendered option .

no options were granted to any employees who participated in the exchange offer between the cancellation date and the new grant date .
in may 2002 , the company issued to eligible employees 2027612 options with an exercise price of $ 3.84 per share , the fair market value of the class a common stock on the date of grant .

these options were issued in connection with a voluntary option exchange program entered into by the company in october 2001 , where the company accepted for surrender and cancelled options to purchase 3471211 shares of its class a common stock .

the program , which was offered to both full and part-time employees , excluding most of the company 2019s executive officers , called for the grant ( at least six months and one day from the surrender date to employees still employed on that date ) of new options exercisable for two shares of class a common stock for every three shares of class a common stock issuable upon exercise of a surrendered option .

no options were granted to any employees who participated in the exchange offer between the cancellation date and the new grant date .
atc mexico holding stock option plan 2014the company maintains a stock option plan in its atc mexico subsidiary ( atc mexico plan ) .
the atc mexico plan provides for the issuance of options to officers , employees , directors and consultants of atc mexico .

the atc mexico plan limits the number of shares of common stock which may be granted to an aggregate of 360 shares , subject to adjustment based on changes in atc mexico 2019s capital structure .
during 2002 , atc mexico granted options to purchase 318 shares of atc mexico common stock to officers and employees .
such options were issued at one time with an exercise price of $ 10000 per share .

the exercise price per share was at fair market value as determined by the board of directors with the assistance of an independent appraisal performed at the company 2019s request .
the fair value of atc mexico plan options granted during 2002 were $ 3611 per share as determined by using the black-scholes option pricing model .
as described in note 10 , all outstanding options were exercised in march 2004 .

no options under the atc mexico plan were granted in 2004 or 2003 , or exercised or cancelled in 2003 or 2002 , and no options were exercisable as of december 31 , 2003 or 2002 .
( see note 10. )

 |
| table | | 2004             | 2003             | 2002
---------------------------------------------------------------------------------- | ---------------- | ---------------- | ----------------
approximate risk-free interest rate                                                | 4.23% ( 4.23 % ) | 4.00% ( 4.00 % ) | 4.53% ( 4.53 % )
expected life of option grants                                                     | 4 years          | 4 years          | 5 years
expected volatility of underlying stock ( the company plan )                       | 80.6% ( 80.6 % ) | 86.6% ( 86.6 % ) | 92.3% ( 92.3 % )
expected volatility of underlying stock ( atc mexico and atc south america plans ) | n/a              | n/a              | n/a
expected dividends                                                                 | n/a              | n/a              | n/a |


| _id | dd4c4a3cc |
| title |  |
| text | 2022 fuel prices 2013 crude oil prices increased at a steady rate in 2007 , rising from a low of $ 56.58 per barrel in january to close at nearly $ 96.00 per barrel at the end of december .
our 2007 average fuel price increased by 9% ( 9 % ) and added $ 242 million of operating expenses compared to 2006 .
our fuel surcharge programs are designed to help offset the impact of higher fuel prices .
in addition , our fuel conservation efforts allowed us to improve our consumption rate by 2% ( 2 % ) .

locomotive simulator training , operating practices , and technology all contributed to this improvement , saving approximately 21 million gallons of fuel in 2007 .
2022 free cash flow 2013 cash generated by operating activities totaled a record $ 3.3 billion , yielding free cash flow of $ 487 million in 2007 .
free cash flow is defined as cash provided by operating activities , less cash used in investing activities and dividends paid .

free cash flow is not considered a financial measure under accounting principles generally accepted in the united states ( gaap ) by sec regulation g and item 10 of sec regulation s-k .
we believe free cash flow is important in evaluating our financial performance and measures our ability to generate cash without additional external financings .
free cash flow should be considered in addition to , rather than as a substitute for , cash provided by operating activities .

the following table reconciles cash provided by operating activities ( gaap measure ) to free cash flow ( non-gaap measure ) : millions of dollars 2007 2006 2005 .

2008 outlook 2022 safety 2013 operating a safe railroad benefits our employees , our customers , our shareholders , and the public .
we will continue using a multi-faceted approach to safety , utilizing technology , risk assessment , quality control , and training for , and engaging with our employees .
we plan to implement total safety culture ( tsc ) throughout our operations .

tsc , an employee-focused initiative that has helped improve safety , is a process designed to establish , maintain , and promote safety among co-workers .
with respect to public safety , we will continue our efforts to maintain , upgrade , and close crossings , install video cameras on locomotives , and educate the public about crossing safety through various internal and industry programs , along with other activities .
2022 commodity revenue 2013 despite uncertainty regarding the u.s .

economy , we expect record revenue in 2008 based on current economic indicators , forecasted demand , improved customer service , and additional opportunities to reprice certain of our business .
yield increases and fuel surcharges will be the primary drivers of commodity revenue growth in 2008 .
we expect that overall volume will fall within a range of 1% ( 1 % ) higher to 1% ( 1 % ) lower than 2007 , with continued softness in some market sectors .

2022 transportation plan 2013 in 2008 , we will continue to evaluate traffic flows and network logistic patterns to identify additional opportunities to simplify operations and improve network efficiency and asset utilization .
we plan to maintain adequate manpower and locomotives , improve productivity using industrial engineering techniques , and improve our operating margins .

2022 fuel prices 2013 fuel prices should remain volatile , with crude oil prices and conversion and regional spreads fluctuating throughout the year .
on average , we expect fuel prices to increase 15% ( 15 % ) to 20% ( 20 % ) above the average price in 2007 .
to reduce the impact of fuel price on earnings , we will continue to seek recovery from our customers through our fuel surcharge programs and expand our fuel conservation efforts.

 |
| table | millions of dollars                   | 2007           | 2006           | 2005
------------------------------------- | -------------- | -------------- | --------------
cash provided by operating activities | $ 3277         | $ 2880         | $ 2595
cash used in investing activities     | -2426 ( 2426 ) | -2042 ( 2042 ) | -2047 ( 2047 )
dividends paid                        | -364 ( 364 )   | -322 ( 322 )   | -314 ( 314 )
free cash flow                        | $ 487          | $ 516          | $ 234 |


| _id | dd4be206a |
| title |  |
| text | continue to be deployed as wireless service providers are beginning their investments in 3g data networks .
similarly , in ghana and uganda , wireless service providers continue to build out their voice and data networks in order to satisfy increasing demand for wireless services .
in south africa , where voice networks are in a more advanced stage of development , carriers are beginning to deploy 3g data networks across spectrum acquired in recent spectrum auctions .

in mexico and brazil , where nationwide voice networks have also been deployed , some incumbent wireless service providers continue to invest in their 3g data networks , and recent spectrum auctions have enabled other incumbent wireless service providers to begin their initial investments in 3g data networks .
in markets such as chile , peru and colombia , recent or anticipated spectrum auctions are expected to drive investment in nationwide voice and 3g data networks .

in germany , our most mature international wireless market , demand is currently being driven by a government-mandated rural fourth generation network build-out , as well as other tenant initiatives to deploy next generation wireless services .
we believe incremental demand for our tower sites will continue in our international markets as wireless service providers seek to remain competitive by increasing the coverage of their networks while also investing in next generation data networks .

rental and management operations new site revenue growth .
during the year ended december 31 , 2012 , we grew our portfolio of communications real estate through acquisitions and construction activities , including the acquisition and construction of approximately 8810 sites .
in a majority of our international markets , the acquisition or construction of new sites results in increased pass-through revenues and expenses .

we continue to evaluate opportunities to acquire larger communications real estate portfolios , both domestically and internationally , to determine whether they meet our risk adjusted hurdle rates and whether we believe we can effectively integrate them into our existing portfolio. .

( 1 ) the majority of sites acquired or constructed in 2012 were in brazil , germany , india and uganda ; in 2011 were in brazil , colombia , ghana , india , mexico and south africa ; and in 2010 were in chile , colombia , india and peru .
network development services segment revenue growth .
as we continue to focus on growing our rental and management operations , we anticipate that our network development services revenue will continue to represent a relatively small percentage of our total revenues .

through our network development services segment , we offer tower-related services , including site acquisition , zoning and permitting services and structural analysis services , which primarily support our site leasing business and the addition of new tenants and equipment on our sites , including in connection with provider network upgrades .
rental and management operations expenses .

rental and management operations expenses .
direct operating expenses incurred by our domestic and international rental and management segments include direct site level expenses and consist primarily of ground rent , property taxes , repairs and maintenance , security and power and fuel costs , some of which may be passed through to our tenants .

these segment direct operating expenses exclude all segment and corporate selling , general , administrative and development expenses , which are aggregated into one line item entitled selling , general , administrative and development expense in our consolidated statements of operations .

in general , our domestic and international rental and management segments selling , general , administrative and development expenses do not significantly increase as a result of adding incremental tenants to our legacy sites and typically increase only modestly year-over-year .
as a result , leasing additional space to new tenants on our legacy sites provides significant incremental cash flow .

we may incur additional segment selling , general , administrative and development expenses as we increase our presence in geographic areas where we have recently launched operations or are focused on expanding our portfolio .
our profit margin growth is therefore positively impacted by the addition of new tenants to our legacy sites and can be temporarily diluted by our development activities.

 |
| table | new sites ( acquired or constructed ) | 2012 | 2011  | 2010
------------------------------------- | ---- | ----- | ----
domestic                              | 960  | 470   | 950
international ( 1 )                   | 7850 | 10000 | 6870 |


| _id | dd4b8da4c |
| title |  |
| text | note 17 .

debt our debt as of december 2 , 2011 and december 3 , 2010 consisted of the following ( in thousands ) : capital lease obligations total debt and capital lease obligations less : current portion debt and capital lease obligations $ 1494627 19681 1514308 $ 1505096 $ 1493969 28492 1522461 $ 1513662 in february 2010 , we issued $ 600.0 million of 3.25% ( 3.25 % ) senior notes due february 1 , 2015 ( the 201c2015 notes 201d ) and $ 900.0 million of 4.75% ( 4.75 % ) senior notes due february 1 , 2020 ( the

4.75 % ) senior notes due february 1 , 2020 ( the 201c2020 notes 201d and , together with the 2015 notes , the 201cnotes 201d ) .

our proceeds were approximately $ 1.5 billion and were net of an issuance discount of $ 6.6 million .
the notes rank equally with our other unsecured and unsubordinated indebtedness .
in addition , we incurred issuance costs of approximately $ 10.7 million .
both the discount and issuance costs are being amortized to interest expense over the respective terms of the notes using the effective interest method .

the effective interest rate including the discount and issuance costs is 3.45% ( 3.45 % ) for the 2015 notes and 4.92% ( 4.92 % ) for the 2020 notes .
interest is payable semi-annually , in arrears , on february 1 and august 1 , commencing on august 1 , 2010 .
during fiscal 2011 interest payments totaled $ 62.3 million .
the proceeds from the notes are available for general corporate purposes , including repayment of any balance outstanding on our credit facility .

based on quoted market prices , the fair value of the notes was approximately $ 1.6 billion as of december 2 , 2011 .
we may redeem the notes at any time , subject to a make whole premium .
in addition , upon the occurrence of certain change of control triggering events , we may be required to repurchase the notes , at a price equal to 101% ( 101 % ) of their principal amount , plus accrued and unpaid interest to the date of repurchase .

the notes also include covenants that limit our ability to grant liens on assets and to enter into sale and leaseback transactions , subject to significant allowances .
as of december 2 , 2011 , we were in compliance with all of the covenants .
credit agreement in august 2007 , we entered into an amendment to our credit agreement dated february 2007 ( the 201camendment 201d ) , which increased the total senior unsecured revolving facility from $ 500.0 million to $ 1.0 billion .

the amendment also permits us to request one-year extensions effective on each anniversary of the closing date of the original agreement , subject to the majority consent of the lenders .
we also retain an option to request an additional $ 500.0 million in commitments , for a maximum aggregate facility of $ 1.5 billion .

in february 2008 , we entered into a second amendment to the credit agreement dated february 26 , 2008 , which extended the maturity date of the facility by one year to february 16 , 2013 .
the facility would terminate at this date if no additional extensions have been requested and granted .
all other terms and conditions remain the same .
the facility contains a financial covenant requiring us not to exceed a certain maximum leverage ratio .

at our option , borrowings under the facility accrue interest based on either the london interbank offered rate ( 201clibor 201d ) for one , two , three or six months , or longer periods with bank consent , plus a margin according to a pricing grid tied to this financial covenant , or a base rate .
the margin is set at rates between 0.20% ( 0.20 % ) and 0.475% ( 0.475 % ) .

commitment fees are payable on the facility at rates between 0.05% ( 0.05 % ) and 0.15% ( 0.15 % ) per year based on the same pricing grid .
the facility is available to provide loans to us and certain of our subsidiaries for general corporate purposes .
on february 1 , 2010 , we paid the outstanding balance on our credit facility and the entire $ 1.0 billion credit line under this facility remains available for borrowing .

capital lease obligation in june 2010 , we entered into a sale-leaseback agreement to sell equipment totaling $ 32.2 million and leaseback the same equipment over a period of 43 months .
this transaction was classified as a capital lease obligation and recorded at fair value .
as of december 2 , 2011 , our capital lease obligations of $ 19.7 million includes $ 9.2 million of current debt .
table of contents adobe systems incorporated notes to consolidated financial statements ( continued ) .

note 17 .

debt our debt as of december 2 , 2011 and december 3 , 2010 consisted of the following ( in thousands ) : capital lease obligations total debt and capital lease obligations less : current portion debt and capital lease obligations $ 1494627 19681 1514308 $ 1505096 $ 1493969 28492 1522461 $ 1513662 in february 2010 , we issued $ 600.0 million of 3.25% ( 3.25 % ) senior notes due february 1 , 2015 ( the 201c2015 notes 201d ) and $ 900.0 million of 4.75% ( 4.75 % ) senior notes due february 1 , 2020 ( the

4.75 % ) senior notes due february 1 , 2020 ( the 201c2020 notes 201d and , together with the 2015 notes , the 201cnotes 201d ) .

our proceeds were approximately $ 1.5 billion and were net of an issuance discount of $ 6.6 million .
the notes rank equally with our other unsecured and unsubordinated indebtedness .
in addition , we incurred issuance costs of approximately $ 10.7 million .
both the discount and issuance costs are being amortized to interest expense over the respective terms of the notes using the effective interest method .

the effective interest rate including the discount and issuance costs is 3.45% ( 3.45 % ) for the 2015 notes and 4.92% ( 4.92 % ) for the 2020 notes .
interest is payable semi-annually , in arrears , on february 1 and august 1 , commencing on august 1 , 2010 .
during fiscal 2011 interest payments totaled $ 62.3 million .
the proceeds from the notes are available for general corporate purposes , including repayment of any balance outstanding on our credit facility .

based on quoted market prices , the fair value of the notes was approximately $ 1.6 billion as of december 2 , 2011 .
we may redeem the notes at any time , subject to a make whole premium .
in addition , upon the occurrence of certain change of control triggering events , we may be required to repurchase the notes , at a price equal to 101% ( 101 % ) of their principal amount , plus accrued and unpaid interest to the date of repurchase .

the notes also include covenants that limit our ability to grant liens on assets and to enter into sale and leaseback transactions , subject to significant allowances .
as of december 2 , 2011 , we were in compliance with all of the covenants .
credit agreement in august 2007 , we entered into an amendment to our credit agreement dated february 2007 ( the 201camendment 201d ) , which increased the total senior unsecured revolving facility from $ 500.0 million to $ 1.0 billion .

the amendment also permits us to request one-year extensions effective on each anniversary of the closing date of the original agreement , subject to the majority consent of the lenders .
we also retain an option to request an additional $ 500.0 million in commitments , for a maximum aggregate facility of $ 1.5 billion .

in february 2008 , we entered into a second amendment to the credit agreement dated february 26 , 2008 , which extended the maturity date of the facility by one year to february 16 , 2013 .
the facility would terminate at this date if no additional extensions have been requested and granted .
all other terms and conditions remain the same .
the facility contains a financial covenant requiring us not to exceed a certain maximum leverage ratio .

at our option , borrowings under the facility accrue interest based on either the london interbank offered rate ( 201clibor 201d ) for one , two , three or six months , or longer periods with bank consent , plus a margin according to a pricing grid tied to this financial covenant , or a base rate .
the margin is set at rates between 0.20% ( 0.20 % ) and 0.475% ( 0.475 % ) .

commitment fees are payable on the facility at rates between 0.05% ( 0.05 % ) and 0.15% ( 0.15 % ) per year based on the same pricing grid .
the facility is available to provide loans to us and certain of our subsidiaries for general corporate purposes .
on february 1 , 2010 , we paid the outstanding balance on our credit facility and the entire $ 1.0 billion credit line under this facility remains available for borrowing .

capital lease obligation in june 2010 , we entered into a sale-leaseback agreement to sell equipment totaling $ 32.2 million and leaseback the same equipment over a period of 43 months .
this transaction was classified as a capital lease obligation and recorded at fair value .
as of december 2 , 2011 , our capital lease obligations of $ 19.7 million includes $ 9.2 million of current debt .
table of contents adobe systems incorporated notes to consolidated financial statements ( continued )

 |
| table | | 2011      | 2010
---------------------------------------- | --------- | ---------
notes                                    | $ 1494627 | $ 1493969
capital lease obligations                | 19681     | 28492
total debt and capital lease obligations | 1514308   | 1522461
less : current portion                   | 9212      | 8799
debt and capital lease obligations       | $ 1505096 | $ 1513662 |


| _id | dd4c5141a |
| title |  |
| text | notes to consolidated financial statements see notes 6 and 7 for further information about fair value measurements of cash instruments and derivatives , respectively , included in 201cfinancial instruments owned , at fair value 201d and 201cfinancial instruments sold , but not yet purchased , at fair value , 201d and note 8 for further information about fair value measurements of other financial assets and financial liabilities accounted for at fair value under the fair value option .

the table below presents financial assets and financial liabilities accounted for at fair value under the fair value option or in accordance with other u.s .
gaap .
in the table below , cash collateral and counterparty netting represents the impact on derivatives of netting across levels of the fair value hierarchy .
netting among positions classified in the same level is included in that level. .

1 .
includes approximately $ 890 billion and $ 915 billion as of december 2013 and december 2012 , respectively , that is carried at fair value or at amounts that generally approximate fair value .
level 3 financial assets as of december 2013 decreased compared with december 2012 , primarily reflecting a decrease in derivative assets , bank loans and bridge loans , and loans and securities backed by commercial real estate .

the decrease in derivative assets primarily reflected a decline in credit derivative assets , principally due to settlements and unrealized losses .
the decrease in bank loans and bridge loans , and loans and securities backed by commercial real estate primarily reflected settlements and sales , partially offset by purchases and transfers into level 3 .

level 3 financial liabilities as of december 2013 decreased compared with december 2012 , primarily reflecting a decrease in other liabilities and accrued expenses , principally due to the sale of a majority stake in the firm 2019s european insurance business in december 2013 .

see notes 6 , 7 and 8 for further information about level 3 cash instruments , derivatives and other financial assets and financial liabilities accounted for at fair value under the fair value option , respectively , including information about significant unrealized gains and losses , and transfers in and out of level 3 .
124 goldman sachs 2013 annual report

 |
| table | $ in millions                                                                                | as of december 2013 | as of december 2012
----------------------------------------------------------------------------------------------- | ------------------- | -------------------
total level 1 financial assets                                                                  | $ 156030            | $ 190737
total level 2 financial assets                                                                  | 499480              | 502293
total level 3 financial assets                                                                  | 40013               | 47095
cash collateral and counterparty netting                                                        | -95350 ( 95350 )    | -101612 ( 101612 )
total financial assets at fair value                                                            | $ 600173            | $ 638513
total assets1                                                                                | $ 911507            | $ 938555
total level 3 financial assets as a percentage of total assets                                  | 4.4% ( 4.4 % )      | 5.0% ( 5.0 % )
total level 3 financial assets as a percentage of total financial assets at fair value          | 6.7% ( 6.7 % )      | 7.4% ( 7.4 % )
total level 1 financialliabilities                                                              | $ 68412             | $ 65994
total level 2 financial liabilities                                                             | 300583              | 318764
total level 3 financial liabilities                                                             | 12046               | 25679
cash collateral and counterparty netting                                                        | -25868 ( 25868 )    | -32760 ( 32760 )
total financial liabilities at fair value                                                       | $ 355173            | $ 377677
total level 3 financial liabilities as a percentage of total financial liabilities at fairvalue | 3.4% ( 3.4 % )      | 6.8% ( 6.8 % ) |


| _id | dd4bc67a2 |
| title |  |
| text | humana inc .
notes to consolidated financial statements 2014 ( continued ) 15 .
stockholders 2019 equity dividends the following table provides details of dividend payments , excluding dividend equivalent rights , in 2016 , 2017 , and 2018 under our board approved quarterly cash dividend policy : payment amount per share amount ( in millions ) .

on november 2 , 2018 , the board declared a cash dividend of $ 0.50 per share that was paid on january 25 , 2019 to stockholders of record on december 31 , 2018 , for an aggregate amount of $ 68 million .
declaration and payment of future quarterly dividends is at the discretion of our board and may be adjusted as business needs or market conditions change .
in february 2019 , the board declared a cash dividend of $ 0.55 per share payable on april 26 , 2019 to stockholders of record on march 29 , 2019 .

stock repurchases our board of directors may authorize the purchase of our common shares .

under our share repurchase authorization , shares may have been purchased from time to time at prevailing prices in the open market , by block purchases , through plans designed to comply with rule 10b5-1 under the securities exchange act of 1934 , as amended , or in privately-negotiated transactions ( including pursuant to accelerated share repurchase agreements with investment banks ) , subject to certain regulatory restrictions on volume , pricing , and timing .

on february 14 , 2017 , our board of directors authorized the repurchase of up to $ 2.25 billion of our common shares expiring on december 31 , 2017 , exclusive of shares repurchased in connection with employee stock plans .
on february 16 , 2017 , we entered into an accelerated share repurchase agreement , the february 2017 asr , with goldman , sachs & co .

llc , or goldman sachs , to repurchase $ 1.5 billion of our common stock as part of the $ 2.25 billion share repurchase authorized on february 14 , 2017 .
on february 22 , 2017 , we made a payment of $ 1.5 billion to goldman sachs from available cash on hand and received an initial delivery of 5.83 million shares of our common stock from goldman sachs based on the then current market price of humana common stock .

the payment to goldman sachs was recorded as a reduction to stockholders 2019 equity , consisting of a $ 1.2 billion increase in treasury stock , which reflected the value of the initial 5.83 million shares received upon initial settlement , and a $ 300 million decrease in capital in excess of par value , which reflected the value of stock held back by goldman sachs pending final settlement of the february 2017 asr .

upon settlement of the february 2017 asr on august 28 , 2017 , we received an additional 0.84 million shares as determined by the average daily volume weighted-average share price of our common stock during the term of the agreement of $ 224.81 , less a discount and subject to adjustments pursuant to the terms and conditions of the february 2017 asr , bringing the total shares received under this program to 6.67 million .

in addition , upon settlement we reclassified the $ 300 million value of stock initially held back by goldman sachs from capital in excess of par value to treasury stock .
subsequent to settlement of the february 2017 asr , we repurchased an additional 3.04 million shares in the open market , utilizing the remaining $ 750 million of the $ 2.25 billion authorization prior to expiration .

on december 14 , 2017 , our board of directors authorized the repurchase of up to $ 3.0 billion of our common shares expiring on december 31 , 2020 , exclusive of shares repurchased in connection with employee stock plans.

 |
| table | paymentdate | amountper share | totalamount ( in millions )
----------- | --------------- | ---------------------------
2016        | $ 1.16          | $ 172
2017        | $ 1.49          | $ 216
2018        | $ 1.90          | $ 262 |


| _id | dd4b9bda4 |
| title |  |
| text | a lump sum buyout cost of approximately $ 1.1 million .
total rent expense under these leases , included in the accompanying consolidated statements of operations , was approximately $ 893000 , $ 856000 and $ 823000 for the fiscal years ended march 31 , 2001 , 2002 and 2003 , respectively .
during the fiscal year ended march 31 , 2000 , the company entered into 36-month operating leases totaling approximately $ 644000 for the lease of office furniture .

these leases ended in fiscal year 2003 and at the company 2019s option the furniture was purchased at its fair market value .
rental expense recorded for these leases during the fiscal years ended march 31 , 2001 , 2002 and 2003 was approximately $ 215000 , $ 215000 and $ 127000 respectively .
during fiscal 2000 , the company entered into a 36-month capital lease for computer equipment and software for approximately $ 221000 .

this lease ended in fiscal year 2003 and at the company 2019s option these assets were purchased at the stipulated buyout price .
future minimum lease payments under all non-cancelable operating leases as of march 31 , 2003 are approximately as follows ( in thousands ) : .

from time to time , the company is involved in legal and administrative proceedings and claims of various types .
while any litigation contains an element of uncertainty , management , in consultation with the company 2019s general counsel , presently believes that the outcome of each such other proceedings or claims which are pending or known to be threatened , or all of them combined , will not have a material adverse effect on the company .
7 .

7 .
stock option and purchase plans all stock options granted by the company under the below-described plans were granted at the fair value of the underlying common stock at the date of grant .
outstanding stock options , if not exercised , expire 10 years from the date of grant .

the 1992 combination stock option plan ( the combination plan ) , as amended , was adopted in september 1992 as a combination and restatement of the company 2019s then outstanding incentive stock option plan and nonqualified plan .
a total of 2670859 options were awarded from the combination plan during its ten-year restatement term that ended on may 1 , 2002 .
as of march 31 , 2003 , 1286042 of these options remain outstanding and eligible for future exercise .

these options are held by company employees and generally become exercisable ratably over five years .
the 1998 equity incentive plan , ( the equity incentive plan ) , was adopted by the company in august 1998 .
the equity incentive plan provides for grants of options to key employees , directors , advisors and consultants as either incentive stock options or nonqualified stock options as determined by the company 2019s board of directors .

a maximum of 1000000 shares of common stock may be awarded under this plan .
options granted under the equity incentive plan are exercisable at such times and subject to such terms as the board of directors may specify at the time of each stock option grant .
options outstanding under the equity incentive plan have vesting periods of 3 to 5 years from the date of grant .
the 2000 stock incentive plan , ( the 2000 plan ) , was adopted by the company in august 2000 .

the 2000 plan provides for grants of options to key employees , directors , advisors and consultants to the company or its subsidiaries as either incentive or nonqualified stock options as determined by the company 2019s board of directors .
up to 1400000 shares of common stock may be awarded under the 2000 plan and are exercisable at such times and subject to such terms as the board of directors may specify at the time of each stock option grant .

options outstanding under the 2000 plan generally vested 4 years from the date of grant .
the company has a nonqualified stock option plan for non-employee directors ( the directors 2019 plan ) .
the directors 2019 plan , as amended , was adopted in july 1989 and provides for grants of options to purchase shares of the company 2019s common stock to non-employee directors of the company .
up to 400000 shares of common stock may be awarded under the directors 2019 plan .

options outstanding under the directors 2019 plan have vesting periods of 1 to 5 years from the date of grant .
notes to consolidated financial statements ( continued ) march 31 , 2003 page 25

 |
| table | year ending march 31,               | operating leases
----------------------------------- | ----------------
2004                                | $ 781
2005                                | 776
2006                                | 776
2007                                | 769
2008                                | 772
thereafter                          | 1480
total future minimum lease payments | $ 5354 |


| _id | dd4b8de70 |
| title |  |
| text | all highly liquid securities with a maturity of three months or less at the date of purchase are considered to be cash equivalents .
securities with maturities greater than three months are classified as available-for-sale and are considered to be short-term investments .
the carrying value of our interest-bearing instruments approximated fair value as of december 29 , 2012 .

interest rates under our revolving credit facility are variable , so interest expense for periods when the credit facility is utilized could be adversely affected by changes in interest rates .
interest rates under our revolving credit facility can fluctuate based on changes in market interest rates and in an interest rate margin that varies based on our consolidated leverage ratio .
as of december 29 , 2012 , we had no outstanding balance on the credit facility .

see note 3 in the notes to consolidated financial statements for an additional description of our credit facility .
equity price risk convertible notes our 2015 notes and 2013 notes include conversion and settlement provisions that are based on the price of our common stock at conversion or at maturity of the notes .
in addition , the hedges and warrants associated with these convertible notes also include settlement provisions that are based on the price of our common stock .

the amount of cash we may be required to pay , or the number of shares we may be required to provide to note holders at conversion or maturity of these notes , is determined by the price of our common stock .
the amount of cash or number of shares that we may receive from hedge counterparties in connection with the related hedges and the number of shares that we may be required to provide warrant counterparties in connection with the related warrants are also determined by the price of our common stock .

upon the expiration of our 2015 warrants , cadence will issue shares of common stock to the purchasers of the warrants to the extent our stock price exceeds the warrant strike price of $ 10.78 at that time .
the following table shows the number of shares that cadence would issue to 2015 warrant counterparties at expiration of the warrants , assuming various cadence closing stock prices on the dates of warrant expiration : shares ( in millions ) .

prior to the expiration of the 2015 warrants , for purposes of calculating diluted earnings per share , our diluted weighted-average shares outstanding will increase when our average closing stock price for a quarter exceeds $ 10.78 .

for an additional description of our 2015 notes and 2013 notes , see note 3 in the notes to consolidated financial statements and 201cliquidity and capital resources 2014 other factors affecting liquidity and capital resources , 201d under item 7 , 201cmanagement 2019s discussion and analysis of financial condition and results of operations . 201d

 |
| table | | shares ( in millions )
------- | ----------------------
$ 11.00 | 0.9
$ 12.00 | 4.7
$ 13.00 | 7.9
$ 14.00 | 10.7
$ 15.00 | 13.0
$ 16.00 | 15.1
$ 17.00 | 17.0
$ 18.00 | 18.6
$ 19.00 | 20.1
$ 20.00 | 21.4 |


| _id | dd4c5e9a8 |
| title |  |
| text | 4 .
acquisitions and dispositions acquisitions the company makes acquisitions that align with its strategic business objectives .
the assets and liabilities of the acquired entities have been recorded as of the acquisition date , at their respective fair values , and are included in the consolidated balance sheet .
the purchase price allocation is based on estimates of the fair value of assets acquired and liabilities assumed .

the aggregate purchase price of acquisitions has been reduced for any cash or cash equivalents acquired with the acquisition .
acquisitions during 2017 , 2016 and 2015 were not significant to the company 2019s consolidated financial statements ; therefore , pro forma financial information is not presented .
anios acquisition on february 1 , 2017 , the company acquired anios for total consideration of $ 798.3 million , including satisfaction of outstanding debt .

anios had annualized pre-acquisition sales of approximately $ 245 million and is a leading european manufacturer and marketer of hygiene and disinfection products for the healthcare , food service , and food and beverage processing industries .
anios provides an innovative product line that expands the solutions the company is able to offer , while also providing a complementary geographic footprint within the healthcare market .

during 2016 , the company deposited 20ac50 million in an escrow account that was released back to the company upon closing of the transaction in february 2017 .
as shown within note 5 , this was recorded as restricted cash within other assets on the consolidated balance sheet as of december 31 , 2016 .
the company incurred certain acquisition and integration costs associated with the transaction that were expensed and are reflected in the consolidated statement of income .

see note 3 for additional information related to the company 2019s special ( gains ) and charges related to such activities .
the components of the cash paid for anios are shown in the following table. .

tangible assets are primarily comprised of accounts receivable of $ 64.8 million , property , plant and equipment of $ 24.7 million and inventory of $ 29.1 million .
liabilities primarily consist of deferred tax liabilities of $ 102.3 million and current liabilities of $ 62.5 million .
customer relationships , trademarks and other technology are being amortized over weighted average lives of 20 , 17 , and 11 years , respectively .

goodwill of $ 511.7 million arising from the acquisition consists largely of the synergies and economies of scale expected through adding complementary geographies and innovative products to the company 2019s healthcare portfolio .
the goodwill was allocated to the institutional , healthcare , and specialty operating segments within the global institutional reportable segment and the food & beverage and life sciences operating segments within the global industrial reportable segment .

none of the goodwill recognized is expected to be deductible for income tax purposes.

 |
| table | ( millions )                             | 2017
---------------------------------------- | -------
tangible assets                          | $ 139.8
identifiable intangible assets           |
customer relationships                   | 252.0
trademarks                               | 65.7
other technology                         | 16.1
total assets acquired                    | 473.6
goodwill                                 | 511.7
total liabilities                        | 187.0
total consideration transferred          | 798.3
long-term debt repaid upon close         | 192.8
net consideration transferred to sellers | $ 605.5 |


| _id | dd4bb3742 |
| title |  |
| text | the weighted average grant date fair value of performance-based restricted stock units granted during the years 2008 and 2007 was $ 84.33 and $ 71.72 , respectively .
the total fair value of performance-based restricted stock units vested during 2009 , 2008 and 2007 was $ 33712 , $ 49387 and $ 9181 , respectively .
at september 30 , 2009 , the weighted average remaining vesting term of performance-based restricted stock units is 1.28 years .

time-vested restricted stock units time-vested restricted stock units generally cliff vest three years after the date of grant , except for certain key executives of the company , including the executive officers , for which such units generally vest one year following the employee 2019s retirement .
the related share-based compensation expense is recorded over the requisite service period , which is the vesting period or in the case of certain key executives is based on retirement eligibility .

the fair value of all time-vested restricted stock units is based on the market value of the company 2019s stock on the date of grant .
a summary of time-vested restricted stock units outstanding as of september 30 , 2009 , and changes during the year then ended is as follows : weighted average grant date fair value .

the weighted average grant date fair value of time-vested restricted stock units granted during the years 2008 and 2007 was $ 84.42 and $ 72.20 , respectively .
the total fair value of time-vested restricted stock units vested during 2009 , 2008 and 2007 was $ 29535 , $ 26674 and $ 3392 , respectively .
at september 30 , 2009 , the weighted average remaining vesting term of the time-vested restricted stock units is 1.71 years .

the amount of unrecognized compensation expense for all non-vested share-based awards as of september 30 , 2009 , is approximately $ 97034 , which is expected to be recognized over a weighted-average remaining life of approximately 2.02 years .
at september 30 , 2009 , 4295402 shares were authorized for future grants under the 2004 plan .
the company has a policy of satisfying share-based payments through either open market purchases or shares held in treasury .

at september 30 , 2009 , the company has sufficient shares held in treasury to satisfy these payments in 2010 .
other stock plans the company has a stock award plan , which allows for grants of common shares to certain key employees .
distribution of 25% ( 25 % ) or more of each award is deferred until after retirement or involuntary termination , upon which the deferred portion of the award is distributable in five equal annual installments .

the balance of the award is distributable over five years from the grant date , subject to certain conditions .
in february 2004 , this plan was terminated with respect to future grants upon the adoption of the 2004 plan .
at september 30 , 2009 and 2008 , awards for 114197 and 161145 shares , respectively , were outstanding .
becton , dickinson and company notes to consolidated financial statements 2014 ( continued )

 |
| table | | stock units        | weighted average grant date fair value
-------------------------------- | ------------------ | --------------------------------------
balance at october 1             | 1570329            | $ 69.35
granted                          | 618679             | 62.96
distributed                      | -316839 ( 316839 ) | 60.32
forfeited or canceled            | -165211 ( 165211 ) | 62.58
balance at september 30          | 1706958            | $ 69.36
expected to vest at september 30 | 1536262            | $ 69.36 |


| _id | dd4bb59ac |
| title |  |
| text | sources of liquidity primary sources of liquidity for citigroup and its principal subsidiaries include : 2022 deposits ; 2022 collateralized financing transactions ; 2022 senior and subordinated debt ; 2022 commercial paper ; 2022 trust preferred and preferred securities ; and 2022 purchased/wholesale funds .
citigroup 2019s funding sources are diversified across funding types and geography , a benefit of its global franchise .

funding for citigroup and its major operating subsidiaries includes a geographically diverse retail and corporate deposit base of $ 774.2 billion .
these deposits are diversified across products and regions , with approximately two-thirds of them outside of the u.s .
this diversification provides the company with an important , stable and low-cost source of funding .
a significant portion of these deposits has been , and is expected to be , long-term and stable , and are considered to be core .

there are qualitative as well as quantitative assessments that determine the company 2019s calculation of core deposits .
the first step in this process is a qualitative assessment of the deposits .
for example , as a result of the company 2019s qualitative analysis certain deposits with wholesale funding characteristics are excluded from consideration as core .
deposits that qualify under the company 2019s qualitative assessments are then subjected to quantitative analysis .

excluding the impact of changes in foreign exchange rates and the sale of our retail banking operations in germany during the year ending december 31 , 2008 , the company 2019s deposit base remained stable .
on a volume basis , deposit increases were noted in transaction services , u.s .
retail banking and smith barney .

retail banking and smith barney .
this was partially offset by the company 2019s decision to reduce deposits considered wholesale funding , consistent with the company 2019s de-leveraging efforts , and declines in international consumer banking and the private bank .
citigroup and its subsidiaries have historically had a significant presence in the global capital markets .

the company 2019s capital markets funding activities have been primarily undertaken by two legal entities : ( i ) citigroup inc. , which issues long-term debt , medium-term notes , trust preferred securities , and preferred and common stock ; and ( ii ) citigroup funding inc .
( cfi ) , a first-tier subsidiary of citigroup , which issues commercial paper , medium-term notes and structured equity-linked and credit-linked notes , all of which are guaranteed by citigroup .

other significant elements of long- term debt on the consolidated balance sheet include collateralized advances from the federal home loan bank system , long-term debt related to the consolidation of icg 2019s structured investment vehicles , asset-backed outstandings , and certain borrowings of foreign subsidiaries .
each of citigroup 2019s major operating subsidiaries finances its operations on a basis consistent with its capitalization , regulatory structure and the environment in which it operates .

particular attention is paid to those businesses that for tax , sovereign risk , or regulatory reasons cannot be freely and readily funded in the international markets .
citigroup 2019s borrowings have historically been diversified by geography , investor , instrument and currency .
decisions regarding the ultimate currency and interest rate profile of liquidity generated through these borrowings can be separated from the actual issuance through the use of derivative instruments .

citigroup is a provider of liquidity facilities to the commercial paper programs of the two primary credit card securitization trusts with which it transacts .
citigroup may also provide other types of support to the trusts .

as a result of the recent economic downturn , its impact on the cashflows of the trusts , and in response to credit rating agency reviews of the trusts , the company increased the credit enhancement in the omni trust , and plans to provide additional enhancement to the master trust ( see note 23 to consolidated financial statements on page 175 for a further discussion ) .
this support preserves investor sponsorship of our card securitization franchise , an important source of liquidity .

banking subsidiaries there are various legal limitations on the ability of citigroup 2019s subsidiary depository institutions to extend credit , pay dividends or otherwise supply funds to citigroup and its non-bank subsidiaries .

the approval of the office of the comptroller of the currency , in the case of national banks , or the office of thrift supervision , in the case of federal savings banks , is required if total dividends declared in any calendar year exceed amounts specified by the applicable agency 2019s regulations .
state-chartered depository institutions are subject to dividend limitations imposed by applicable state law .

in determining the declaration of dividends , each depository institution must also consider its effect on applicable risk-based capital and leverage ratio requirements , as well as policy statements of the federal regulatory agencies that indicate that banking organizations should generally pay dividends out of current operating earnings .
non-banking subsidiaries citigroup also receives dividends from its non-bank subsidiaries .

these non-bank subsidiaries are generally not subject to regulatory restrictions on dividends .
however , as discussed in 201ccapital resources and liquidity 201d on page 94 , the ability of cgmhi to declare dividends can be restricted by capital considerations of its broker-dealer subsidiaries .
cgmhi 2019s consolidated balance sheet is liquid , with the vast majority of its assets consisting of marketable securities and collateralized short-term financing agreements arising from securities transactions .

cgmhi monitors and evaluates the adequacy of its capital and borrowing base on a daily basis to maintain liquidity and to ensure that its capital base supports the regulatory capital requirements of its subsidiaries .
some of citigroup 2019s non-bank subsidiaries , including cgmhi , have credit facilities with citigroup 2019s subsidiary depository institutions , including citibank , n.a .
borrowings under these facilities must be secured in accordance with section 23a of the federal reserve act .

there are various legal restrictions on the extent to which a bank holding company and certain of its non-bank subsidiaries can borrow or obtain credit from citigroup 2019s subsidiary depository institutions or engage in certain other transactions with them .
in general , these restrictions require that transactions be on arm 2019s length terms and be secured by designated amounts of specified collateral .
see note 20 to the consolidated financial statements on page 169 .

at december 31 , 2008 , long-term debt and commercial paper outstanding for citigroup , cgmhi , cfi and citigroup 2019s subsidiaries were as follows : in billions of dollars citigroup parent company cgmhi ( 2 ) citigroup funding inc .
( 2 ) citigroup subsidiaries long-term debt $ 192.3 $ 20.6 $ 37.4 $ 109.3 ( 1 ) .

( 1 ) at december 31 , 2008 , approximately $ 67.4 billion relates to collateralized advances from the federal home loan bank .
( 2 ) citigroup inc .
guarantees all of cfi 2019s debt and cgmhi 2019s publicly issued securities.

 |
| table | in billions of dollars | citigroup parent company | cgmhi ( 2 ) | citigroup funding inc. ( 2 ) | other citigroup subsidiaries |
---------------------- | ------------------------ | ----------- | ---------------------------- | ---------------------------- | --------
long-term debt         | $ 192.3                  | $ 20.6      | $ 37.4                       | $ 109.3                      | -1 ( 1 )
commercial paper       | $ 2014                   | $ 2014      | $ 28.6                       | $ 0.5                        | |