| _id | dd4b9e7a2 |
| title |  |
| text | westrock company notes to consolidated financial statements 2014 ( continued ) note 20 .
stockholders 2019 equity capitalization our capital stock consists solely of common stock .
holders of our common stock are entitled to one vote per share .
our amended and restated certificate of incorporation also authorizes preferred stock , of which no shares have been issued .

the terms and provisions of such shares will be determined by our board of directors upon any issuance of such shares in accordance with our certificate of incorporation .
stock repurchase plan in july 2015 , our board of directors authorized a repurchase program of up to 40.0 million shares of our common stock , representing approximately 15% ( 15 % ) of our outstanding common stock as of july 1 , 2015 .

the shares of our common stock may be repurchased over an indefinite period of time at the discretion of management .
in fiscal 2019 , we repurchased approximately 2.1 million shares of our common stock for an aggregate cost of $ 88.6 million .
in fiscal 2018 , we repurchased approximately 3.4 million shares of our common stock for an aggregate cost of $ 195.1 million .
in fiscal 2017 , we repurchased approximately 1.8 million shares of our common stock for an aggregate cost of $ 93.0 million .

as of september 30 , 2019 , we had remaining authorization under the repurchase program authorized in july 2015 to purchase approximately 19.1 million shares of our common stock .
note 21 .
share-based compensation share-based compensation plans at our annual meeting of stockholders held on february 2 , 2016 , our stockholders approved the westrock company 2016 incentive stock plan .

the 2016 incentive stock plan was amended and restated on february 2 , 2018 ( the 201camended and restated 2016 incentive stock plan 201d ) .
the amended and restated 2016 incentive stock plan allows for the granting of options , restricted stock , sars and restricted stock units to certain key employees and directors .

the table below shows the approximate number of shares : available for issuance , available for future grant , to be issued if restricted awards granted with a performance condition recorded at target achieve the maximum award , and if new grants pursuant to the plan are expected to be issued , each as adjusted as necessary for corporate actions ( in millions ) .

shares available issuance shares available for future shares to be issued if performance is achieved at maximum expect to awards amended and restated 2016 incentive stock plan ( 1 ) 11.7 5.1 2.3 yes 2004 incentive stock plan ( 1 ) ( 2 ) 15.8 3.1 0.0 no 2005 performance incentive plan ( 1 ) ( 2 ) 12.8 9.0 0.0 no rocktenn ( sscc ) equity inventive plan ( 1 ) ( 3 ) 7.9 5.9 0.0 no ( 1 ) as part of the separation , equity-based incentive awards were generally adjusted to maintain the intrinsic value of awards

to maintain the intrinsic value of awards immediately prior to the separation .

the number of unvested restricted stock awards and unexercised stock options and sars at the time of the separation were increased by an exchange factor of approximately 1.12 .
in addition , the exercise price of unexercised stock options and sars at the time of the separation was converted to decrease the exercise price by an exchange factor of approximately 1.12 .
( 2 ) in connection with the combination , westrock assumed all rocktenn and mwv equity incentive plans .

we issued awards to certain key employees and our directors pursuant to our rocktenn 2004 incentive stock plan , as amended , and our mwv 2005 performance incentive plan , as amended .
the awards were converted into westrock awards using the conversion factor as described in the business combination agreement .
( 3 ) in connection with the smurfit-stone acquisition , we assumed the smurfit-stone equity incentive plan , which was renamed the rock-tenn company ( sscc ) equity incentive plan .

the awards were converted into shares of rocktenn common stock , options and restricted stock units , as applicable , using the conversion factor as described in the merger agreement. .

westrock company notes to consolidated financial statements 2014 ( continued ) note 20 .
stockholders 2019 equity capitalization our capital stock consists solely of common stock .
holders of our common stock are entitled to one vote per share .
our amended and restated certificate of incorporation also authorizes preferred stock , of which no shares have been issued .

the terms and provisions of such shares will be determined by our board of directors upon any issuance of such shares in accordance with our certificate of incorporation .
stock repurchase plan in july 2015 , our board of directors authorized a repurchase program of up to 40.0 million shares of our common stock , representing approximately 15% ( 15 % ) of our outstanding common stock as of july 1 , 2015 .

the shares of our common stock may be repurchased over an indefinite period of time at the discretion of management .
in fiscal 2019 , we repurchased approximately 2.1 million shares of our common stock for an aggregate cost of $ 88.6 million .
in fiscal 2018 , we repurchased approximately 3.4 million shares of our common stock for an aggregate cost of $ 195.1 million .
in fiscal 2017 , we repurchased approximately 1.8 million shares of our common stock for an aggregate cost of $ 93.0 million .

as of september 30 , 2019 , we had remaining authorization under the repurchase program authorized in july 2015 to purchase approximately 19.1 million shares of our common stock .
note 21 .
share-based compensation share-based compensation plans at our annual meeting of stockholders held on february 2 , 2016 , our stockholders approved the westrock company 2016 incentive stock plan .

the 2016 incentive stock plan was amended and restated on february 2 , 2018 ( the 201camended and restated 2016 incentive stock plan 201d ) .
the amended and restated 2016 incentive stock plan allows for the granting of options , restricted stock , sars and restricted stock units to certain key employees and directors .

the table below shows the approximate number of shares : available for issuance , available for future grant , to be issued if restricted awards granted with a performance condition recorded at target achieve the maximum award , and if new grants pursuant to the plan are expected to be issued , each as adjusted as necessary for corporate actions ( in millions ) .

shares available issuance shares available for future shares to be issued if performance is achieved at maximum expect to awards amended and restated 2016 incentive stock plan ( 1 ) 11.7 5.1 2.3 yes 2004 incentive stock plan ( 1 ) ( 2 ) 15.8 3.1 0.0 no 2005 performance incentive plan ( 1 ) ( 2 ) 12.8 9.0 0.0 no rocktenn ( sscc ) equity inventive plan ( 1 ) ( 3 ) 7.9 5.9 0.0 no ( 1 ) as part of the separation , equity-based incentive awards were generally adjusted to maintain the intrinsic value of awards

to maintain the intrinsic value of awards immediately prior to the separation .

the number of unvested restricted stock awards and unexercised stock options and sars at the time of the separation were increased by an exchange factor of approximately 1.12 .
in addition , the exercise price of unexercised stock options and sars at the time of the separation was converted to decrease the exercise price by an exchange factor of approximately 1.12 .
( 2 ) in connection with the combination , westrock assumed all rocktenn and mwv equity incentive plans .

we issued awards to certain key employees and our directors pursuant to our rocktenn 2004 incentive stock plan , as amended , and our mwv 2005 performance incentive plan , as amended .
the awards were converted into westrock awards using the conversion factor as described in the business combination agreement .
( 3 ) in connection with the smurfit-stone acquisition , we assumed the smurfit-stone equity incentive plan , which was renamed the rock-tenn company ( sscc ) equity incentive plan .

the awards were converted into shares of rocktenn common stock , options and restricted stock units , as applicable , using the conversion factor as described in the merger agreement.

 |
| table | | shares available for issuance | shares available for future grant | shares to be issued if performance is achieved at maximum | expect to make new awards
---------------------------------------------------- | ----------------------------- | --------------------------------- | --------------------------------------------------------- | -------------------------
amended and restated 2016 incentive stock plan ( 1 ) | 11.7                          | 5.1                               | 2.3                                                       | yes
2004 incentive stock plan ( 1 ) ( 2 )                | 15.8                          | 3.1                               | 0.0                                                       | no
2005 performance incentive plan ( 1 ) ( 2 )          | 12.8                          | 9.0                               | 0.0                                                       | no
rocktenn ( sscc ) equity inventive plan ( 1 ) ( 3 )  | 7.9                           | 5.9                               | 0.0                                                       | no |


| _id | dd4b8c7be |
| title |  |
| text | note 8 .
acquisitions during fiscal 2017 , cadence completed two business combinations for total cash consideration of $ 142.8 million , after taking into account cash acquired of $ 4.2 million .
the total purchase consideration was allocated to the assets acquired and liabilities assumed based on their respective estimated fair values on the acquisition dates .

cadence recorded a total of $ 76.4 million of acquired intangible assets ( of which $ 71.5 million represents in-process technology ) , $ 90.2 million of goodwill and $ 19.6 million of net liabilities consisting primarily of deferred tax liabilities .
cadence will also make payments to certain employees , subject to continued employment and other performance-based conditions , through the fourth quarter of fiscal 2020 .

during fiscal 2016 , cadence completed two business combinations for total cash consideration of $ 42.4 million , after taking into account cash acquired of $ 1.8 million .
the total purchase consideration was allocated to the assets acquired and liabilities assumed based on their respective estimated fair values on the acquisition dates .

cadence recorded a total of $ 23.6 million of goodwill , $ 23.2 million of acquired intangible assets and $ 2.6 million of net liabilities consisting primarily of deferred revenue .

cadence will also make payments to certain employees , subject to continued employment and other conditions , through the second quarter of fiscal a trust for the benefit of the children of lip-bu tan , cadence 2019s chief executive officer ( 201cceo 201d ) and director , owned less than 3% ( 3 % ) of nusemi inc , one of the companies acquired in 2017 , and less than 2% ( 2 % ) of rocketick technologies ltd. , one of the companies acquired in 2016 .
mr .

mr .
tan and his wife serve as co-trustees of the trust and disclaim pecuniary and economic interest in the trust .
the board of directors of cadence reviewed the transactions and concluded that it was in the best interests of cadence to proceed with the transactions .
mr .
tan recused himself from the board of directors 2019 discussion of the valuation of nusemi inc and rocketick technologies ltd .
and on whether to proceed with the transactions .

and on whether to proceed with the transactions .
acquisition-related transaction costs there were no direct transaction costs associated with acquisitions during fiscal 2018 .
transaction costs associated with acquisitions were $ 0.6 million and $ 1.1 million during fiscal 2017 and 2016 , respectively .
these costs consist of professional fees and administrative costs and were expensed as incurred in cadence 2019s consolidated income statements .
note 9 .

note 9 .
goodwill and acquired intangibles goodwill the changes in the carrying amount of goodwill during fiscal 2018 and 2017 were as follows : gross carrying amount ( in thousands ) .

cadence completed its annual goodwill impairment test during the third quarter of fiscal 2018 and determined that the fair value of cadence 2019s single reporting unit substantially exceeded the carrying amount of its net assets and that no impairment existed.

 |
| table | | gross carryingamount ( in thousands )
-------------------------------------- | -------------------------------------
balance as of december 31 2016         | $ 572764
goodwill resulting from acquisitions   | 90218
effect of foreign currency translation | 3027
balance as of december 30 2017         | 666009
effect of foreign currency translation | -3737 ( 3737 )
balance as of december 29 2018         | $ 662272 |


| _id | dd4be6fe8 |
| title |  |
| text | notes to consolidated financial statements 2014 ( continued ) a reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows ( in thousands ) : .

the company 2019s major tax jurisdictions as of september 30 , 2011 are the united states , california , iowa , singapore and canada .
for the united states , the company has open tax years dating back to fiscal year 1998 due to the carry forward of tax attributes .
for california and iowa , the company has open tax years dating back to fiscal year 2002 due to the carry forward of tax attributes .
for singapore , the company has open tax years dating back to fiscal year 2011 .

for canada , the company has open tax years dating back to fiscal year 2004 .
during the year ended september 30 , 2011 , the company did not recognize any significant amount of previously unrecognized tax benefits related to the expiration of the statute of limitations .
the company 2019s policy is to recognize accrued interest and penalties , if incurred , on any unrecognized tax benefits as a component of income tax expense .

the company recognized $ 0.5 million of accrued interest or penalties related to unrecognized tax benefits during fiscal year 2011 .
11 .
stockholders 2019 equity common stock at september 30 , 2011 , the company is authorized to issue 525000000 shares of common stock , par value $ 0.25 per share of which 195407396 shares are issued and 186386197 shares outstanding .

holders of the company 2019s common stock are entitled to such dividends as may be declared by the company 2019s board of directors out of funds legally available for such purpose .
dividends may not be paid on common stock unless all accrued dividends on preferred stock , if any , have been paid or declared and set aside .

in the event of the company 2019s liquidation , dissolution or winding up , the holders of common stock will be entitled to share pro rata in the assets remaining after payment to creditors and after payment of the liquidation preference plus any unpaid dividends to holders of any outstanding preferred stock .
each holder of the company 2019s common stock is entitled to one vote for each such share outstanding in the holder 2019s name .

no holder of common stock is entitled to cumulate votes in voting for directors .
the company 2019s second amended and restated certificate of incorporation provides that , unless otherwise determined by the company 2019s board of directors , no holder of common stock has any preemptive right to purchase or subscribe for any stock of any class which the company may issue or sell .

on august 3 , 2010 , the board of directors approved a stock repurchase program , pursuant to which the company is authorized to repurchase up to $ 200.0 million of the company 2019s common stock from time to time on the open market or in privately negotiated transactions as permitted by securities laws and other legal requirements .

during the fiscal year ended september 30 , 2011 , the company paid approximately $ 70.0 million ( including commissions ) in connection with the repurchase of 2768045 shares of its common stock ( paying an average price of $ 25.30 per share ) .
as of september 30 , 2011 , $ 130.0 million remained available under the existing share repurchase program .
page 110 skyworks / annual report 2011

 |
| table | balance at october 1 2010                                          | $ 19900
------------------------------------------------------------------ | ----------
increases based on positions related to prior years                | 935
increases based on positions related to current year               | 11334
decreases relating to settlements with taxing authorities          | 2014
decreases relating to lapses of applicable statutes of limitations | -33 ( 33 )
balance at september 30 2011                                       | $ 32136 |


| _id | dd4be38b6 |
| title |  |
| text | devon energy corporation and subsidiaries notes to consolidated financial statements 2013 ( continued ) other debentures and notes following are descriptions of the various other debentures and notes outstanding at december 31 , 2014 and 2013 , as listed in the table presented at the beginning of this note .

geosouthern debt in december 2013 , in conjunction with the planned geosouthern acquisition , devon issued $ 2.25 billion aggregate principal amount of fixed and floating rate senior notes resulting in cash proceeds of approximately $ 2.2 billion , net of discounts and issuance costs .
the floating rate senior notes due in 2015 bear interest at a rate equal to three-month libor plus 0.45 percent , which rate will be reset quarterly .

the floating rate senior notes due in 2016 bears interest at a rate equal to three-month libor plus 0.54 percent , which rate will be reset quarterly .
the schedule below summarizes the key terms of these notes ( in millions ) . .

( 1 ) the 1.20% ( 1.20 % ) $ 650 million note due december 15 , 2016 was redeemed on november 13 , 2014 .
the senior notes were classified as short-term debt on devon 2019s consolidated balance sheet as of december 31 , 2013 due to certain redemption features in the event that the geosouthern acquisition was not completed on or prior to june 30 , 2014 .
on february 28 , 2014 , the geosouthern acquisition closed and thus the senior notes were subsequently classified as long-term debt .

additionally , during december 2013 , devon entered into a term loan agreement with a group of major financial institutions pursuant to which devon could draw up to $ 2.0 billion to finance , in part , the geosouthern acquisition and to pay transaction costs .
in february 2014 , devon drew the $ 2.0 billion of term loans for the geosouthern transaction , and the amount was subsequently repaid on june 30 , 2014 with the canadian divestiture proceeds that were repatriated to the u.s .

in june 2014 , at which point the term loan was terminated.

 |
| table | floating rate due december 15 2015          | $ 500
------------------------------------------- | --------
floating rate due december 15 2016          | 350
1.20% ( 1.20 % ) due december 15 2016 ( 1 ) | 650
2.25% ( 2.25 % ) due december 15 2018       | 750
discount and issuance costs                 | -2 ( 2 )
net proceeds                                | $ 2248 |


| _id | dd4c628b4 |
| title |  |
| text | borrowings under the credit facility bear interest based on the daily balance outstanding at libor ( with no rate floor ) plus an applicable margin ( varying from 1.25% ( 1.25 % ) to 1.75% ( 1.75 % ) ) or , in certain cases a base rate ( based on a certain lending institution 2019s prime rate or as otherwise specified in the credit agreement , with no rate floor ) plus an applicable margin ( varying from 0.25% ( 0.25 % ) to 0.75% ( 0.75 % ) ) .

the credit facility also carries a commitment fee equal to the unused borrowings multiplied by an applicable margin ( varying from 0.25% ( 0.25 % ) to 0.35% ( 0.35 % ) ) .
the applicable margins are calculated quarterly and vary based on the company 2019s leverage ratio as set forth in the credit agreement .
upon entering into the credit facility in march 2011 , the company terminated its prior $ 200.0 million revolving credit facility .

the prior revolving credit facility was collateralized by substantially all of the company 2019s assets , other than trademarks , and included covenants , conditions and other terms similar to the company 2019s new credit facility .
in may 2011 , the company borrowed $ 25.0 million under the term loan facility to finance a portion of the acquisition of the company 2019s corporate headquarters .
the interest rate on the term loan was 1.5% ( 1.5 % ) during the year ended december 31 , 2011 .

the maturity date of the term loan is march 2015 , which is the end of the credit facility term .
the company expects to refinance the term loan in early 2013 with the loan assumed in the acquisition of the company 2019s corporate headquarters .
during the three months ended september 30 , 2011 , the company borrowed $ 30.0 million under the revolving credit facility to fund seasonal working capital requirements and repaid it during the three months ended december 31 , 2011 .

the interest rate under the revolving credit facility was 1.5% ( 1.5 % ) during the year ended december 31 , 2011 , and no balance was outstanding as of december 31 , 2011 .
no balances were outstanding under the prior revolving credit facility during the year ended december 31 , 2010 .
long term debt the company has long term debt agreements with various lenders to finance the acquisition or lease of qualifying capital investments .

loans under these agreements are collateralized by a first lien on the related assets acquired .
as these agreements are not committed facilities , each advance is subject to approval by the lenders .
additionally , these agreements include a cross default provision whereby an event of default under other debt obligations , including the company 2019s credit facility , will be considered an event of default under these agreements .

these agreements require a prepayment fee if the company pays outstanding amounts ahead of the scheduled terms .
the terms of the credit facility limit the total amount of additional financing under these agreements to $ 40.0 million , of which $ 21.5 million was available for additional financing as of december 31 , 2011 .
at december 31 , 2011 and 2010 , the outstanding principal balance under these agreements was $ 14.5 million and $ 15.9 million , respectively .

currently , advances under these agreements bear interest rates which are fixed at the time of each advance .
the weighted average interest rates on outstanding borrowings were 3.5% ( 3.5 % ) , 5.3% ( 5.3 % ) and 5.9% ( 5.9 % ) for the years ended december 31 , 2011 , 2010 and 2009 , respectively .
the following are the scheduled maturities of long term debt as of december 31 , 2011 : ( in thousands ) .

( 1 ) includes the repayment of $ 25.0 million borrowed under the term loan facility , which is due in march 2015 , but is planned to be refinanced in early 2013 with the loan assumed in the acquisition of the company 2019s corporate headquarters.

 |
| table | 2012                                         | $ 6882
-------------------------------------------- | --------------
2013 ( 1 )                                   | 65919
2014                                         | 2972
2015                                         | 1951
2016                                         | 2014
total scheduled maturities of long term debt | 77724
less current maturities of long term debt    | -6882 ( 6882 )
long term debt obligations                   | $ 70842 |


| _id | dd497b164 |
| title |  |
| text | software and will give the company a comprehensive design-to-silicon flow that links directly into the semiconductor manufacturing process .
integrating hpl 2019s yield management and test chip technologies into the company 2019s industry-leading dfm portfolio is also expected to enable customers to increase their productivity and improve profitability in the design and manufacture of advanced semiconductor devices .
purchase price .

purchase price .
the company paid $ 11.0 million in cash for all outstanding shares of hpl .
in addition , the company had a prior investment in hpl of approximately $ 1.9 million .
the total purchase consideration consisted of: .

acquisition-related costs of $ 2.8 million consist primarily of legal , tax and accounting fees of $ 1.6 million , $ 0.3 million of estimated facilities closure costs and other directly related charges , and $ 0.9 million in employee termination costs .

as of october 31 , 2006 , the company had paid $ 2.2 million of the acquisition related costs , of which $ 1.1 million were for professional services costs , $ 0.2 million were for facilities closure costs and $ 0.9 million were for employee termination costs .
the $ 0.6 million balance remaining at october 31 , 2006 consists of professional and tax-related service fees and facilities closure costs .
assets acquired .

assets acquired .
the company acquired $ 8.5 million of intangible assets consisting of $ 5.1 million in core developed technology , $ 3.2 million in customer relationships and $ 0.2 million in backlog to be amortized over two to four years .
approximately $ 0.8 million of the purchase price represents the fair value of acquired in-process research and development projects that have not yet reached technological feasibility and have no alternative future use .

accordingly , the amount was immediately expensed and included in the company 2019s condensed consolidated statement of operations for the first quarter of fiscal year 2006 .
additionally , the company acquired tangible assets of $ 14.0 million and assumed liabilities of $ 10.9 million .
goodwill , representing the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in the merger was $ 3.4 million .

goodwill resulted primarily from the company 2019s expectation of synergies from the integration of hpl 2019s technology with the company 2019s technology and operations .
other .
during the fiscal year 2006 , the company completed an asset acquisition for cash consideration of $ 1.5 million .
this acquisition is not considered material to the company 2019s consolidated balance sheet and results of operations .

fiscal 2005 acquisitions nassda corporation ( nassda ) the company acquired nassda on may 11 , 2005 .
reasons for the acquisition .
the company believes nassda 2019s full-chip circuit simulation and analysis software will broaden its offerings of transistor-level circuit simulation tools , particularly in the area of mixed-signal and memory design .
purchase price .
the company acquired all the outstanding shares of nassda for total cash consideration of $ 200.2 million , or $ 7.00 per share .

in addition , as required by the merger agreement , certain nassda officers , directors and employees who were defendants in certain preexisting litigation

 |
| table | | ( in thousands )
------------------------- | ----------------
cash paid                 | $ 11001
prior investment in hpl   | 1872
acquisition-related costs | 2831
total purchase price      | $ 15704 |


| _id | dd4bd2822 |
| title |  |
| text | note 18 2013 earnings per share ( eps ) basic eps is calculated by dividing net earnings attributable to allegion plc by the weighted-average number of ordinary shares outstanding for the applicable period .
diluted eps is calculated after adjusting the denominator of the basic eps calculation for the effect of all potentially dilutive ordinary shares , which in the company 2019s case , includes shares issuable under share-based compensation plans .

the following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations. .

at december 31 , 2017 , 0.1 million stock options were excluded from the computation of weighted average diluted shares outstanding because the effect of including these shares would have been anti-dilutive .
note 19 2013 commitments and contingencies the company is involved in various litigations , claims and administrative proceedings , including those related to environmental and product warranty matters .

amounts recorded for identified contingent liabilities are estimates , which are reviewed periodically and adjusted to reflect additional information when it becomes available .

subject to the uncertainties inherent in estimating future costs for contingent liabilities , except as expressly set forth in this note , management believes that any liability which may result from these legal matters would not have a material adverse effect on the financial condition , results of operations , liquidity or cash flows of the company .

environmental matters the company is dedicated to an environmental program to reduce the utilization and generation of hazardous materials during the manufacturing process and to remediate identified environmental concerns .
as to the latter , the company is currently engaged in site investigations and remediation activities to address environmental cleanup from past operations at current and former production facilities .

the company regularly evaluates its remediation programs and considers alternative remediation methods that are in addition to , or in replacement of , those currently utilized by the company based upon enhanced technology and regulatory changes .
changes to the company's remediation programs may result in increased expenses and increased environmental reserves .

the company is sometimes a party to environmental lawsuits and claims and has received notices of potential violations of environmental laws and regulations from the u.s .
environmental protection agency and similar state authorities .
it has also been identified as a potentially responsible party ( "prp" ) for cleanup costs associated with off-site waste disposal at federal superfund and state remediation sites .

for all such sites , there are other prps and , in most instances , the company 2019s involvement is minimal .
in estimating its liability , the company has assumed it will not bear the entire cost of remediation of any site to the exclusion of other prps who may be jointly and severally liable .
the ability of other prps to participate has been taken into account , based on our understanding of the parties 2019 financial condition and probable contributions on a per site basis .

additional lawsuits and claims involving environmental matters are likely to arise from time to time in the future .
the company incurred $ 3.2 million , $ 23.3 million , and $ 4.4 million of expenses during the years ended december 31 , 2017 , 2016 and 2015 , respectively , for environmental remediation at sites presently or formerly owned or leased by the company .

in the fourth-quarter of 2016 , with the collaboration and approval of state regulators , the company launched a proactive , alternative approach to remediate two sites in the united states .
this approach will allow the company to more aggressively address environmental conditions at these sites and reduce the impact of potential changes in regulatory requirements .
as a result , the company recorded a $ 15 million charge for environmental remediation in the fourth quarter of 2016 .

environmental remediation costs are recorded in costs of goods sold within the consolidated statements of comprehensive income .
as of december 31 , 2017 and 2016 , the company has recorded reserves for environmental matters of $ 28.9 million and $ 30.6 million .
the total reserve at december 31 , 2017 and 2016 included $ 8.9 million and $ 9.6 million related to remediation of sites previously disposed by the company .

environmental reserves are classified as accrued expenses and other current liabilities or other noncurrent liabilities based on their expected term .
the company's total current environmental reserve at december 31 , 2017 and 2016 was $ 12.6 million and $ 6.1 million and the remainder is classified as noncurrent .
given the evolving nature of environmental laws , regulations and technology , the ultimate cost of future compliance is uncertain.

 |
| table | in millions                                 | 2017 | 2016 | 2015
------------------------------------------- | ---- | ---- | ----
weighted-average number of basic shares     | 95.1 | 95.8 | 95.9
shares issuable under incentive stock plans | 0.9  | 1.1  | 1.0
weighted-average number of diluted shares   | 96.0 | 96.9 | 96.9 |


| _id | dd4c3b106 |
| title |  |
| text | years 2002 , 2003 , 2004 , and the first two quarters of fiscal 2005 .
the restatement related to tax matters .
the company provided information to the sec staff relating to the facts and circumstances surrounding the restatement .
on july 28 , 2006 , the company filed an amendment to its annual report on form 10-k for the fiscal year ended may 29 , 2005 .
the filing amended item 6 .

the filing amended item 6 .
selected financial data and exhibit 12 , computation of ratios of earnings to fixed charges , for fiscal year 2001 , and certain restated financial information for fiscal years 1999 and 2000 , all related to the application of certain of the company 2019s reserves for the three years and fiscal year 1999 income tax expense .
the company provided information to the sec staff relating to the facts and circumstances surrounding the amended filing .

the company reached an agreement with the sec staff concerning matters associated with these amended filings .
that proposed settlement was approved by the securities and exchange commission on july 17 , 2007 .

on july 24 , 2007 , the sec filed its complaint against the company in the united states district court for the district of colorado , followed by an executed consent , which without the company admitting or denying the allegations of the complaint , reflects the terms of the settlement , including payment by the company of a civil penalty of $ 45 million and the company 2019s agreement to be permanently enjoined from violating certain provisions of the federal securities laws .

additionally , the company made approximately $ 2 million in indemnity payments on behalf of former employees concluding separate settlements with the sec .
the company recorded charges of $ 25 million in fiscal 2004 , $ 21.5 million in the third quarter of fiscal 2005 , and $ 1.2 million in the first quarter of fiscal 2007 in connection with the expected settlement of these matters .
three purported class actions were filed in united states district court for nebraska , rantala v .

conagra foods , inc. , et .
al. , case no .
805cv349 , and bright v .
conagra foods , inc. , et .
al. , case no .
805cv348 on july 18 , 2005 , and boyd v .
conagra foods , inc. , et .
al. , case no .
805cv386 on august 8 , 2005 .
the lawsuits are against the company , its directors and its employee benefits committee on behalf of participants in the company 2019s employee retirement income savings plans .

the lawsuits allege violations of the employee retirement income security act ( erisa ) in connection with the events resulting in the company 2019s april 2005 restatement of its financial statements and related matters .
the company has reached a settlement with the plaintiffs in these actions subject to court approval .
the settlement includes a $ 4 million payment , most of which will be paid by an insurer .

the company has also agreed to make certain prospective changes to its benefit plans as part of the settlement .
2006 vs .
2005 net sales ( $ in millions ) reporting segment fiscal 2006 net sales fiscal 2005 net sales % (  % ) increase/ ( decrease ) .

overall , company net sales increased $ 98 million to $ 11.5 billion in fiscal 2006 , primarily reflecting favorable results in the food and ingredients and international foods segments .
price increases driven by higher input costs for potatoes , wheat milling and dehydrated vegetables within the food and ingredients segment , coupled with the strength of foreign currencies within the international foods segment enhanced net sales .

these increases were partially offset by volume declines in the consumer foods segment , principally related to certain shelf stable brands and declines in the trading and merchandising segment related to decreased volumes and certain divestitures and closures.

 |
| table | reporting segment         | fiscal 2006 net sales | fiscal 2005 net sales | % (  % ) increase/ ( decrease )
------------------------- | --------------------- | --------------------- | -------------------------------
consumer foods            | $ 6504                | $ 6598                | ( 1 ) % (  % )
food and ingredients      | 3189                  | 2986                  | 7% ( 7 % )
trading and merchandising | 1186                  | 1224                  | ( 3 ) % (  % )
international foods       | 603                   | 576                   | 5% ( 5 % )
total                     | $ 11482               | $ 11384               | 1% ( 1 % ) |


| _id | dd4bfda0e |
| title |  |
| text | insurance arrangement .

as a result of the adoption of this new guidance , the company recorded a liability representing the actuarial present value of the future death benefits as of the employees 2019 expected retirement date of $ 45 million with the offset reflected as a cumulative-effect adjustment to january 1 , 2008 retained earnings and accumulated other comprehensive income ( loss ) in the amounts of $ 4 million and $ 41 million , respectively , in the company 2019s consolidated statement of stockholders 2019 equity .

it is currently expected that minimal , if any , further cash payments will be required to fund these policies .
the net periodic cost for these split-dollar life insurance arrangements was $ 6 million in both the years ended december 31 , 2009 and 2008 .
the company has recorded a liability representing the actuarial present value of the future death benefits as of the employees 2019 expected retirement date of $ 48 million and $ 47 million as of december 31 , 2009 and december 31 , 2008 , respectively .

defined contribution plan the company and certain subsidiaries have various defined contribution plans , in which all eligible employees participate .
in the u.s. , the 401 ( k ) plan is a contributory plan .
matching contributions are based upon the amount of the employees 2019 contributions .

effective january 1 , 2005 , newly hired employees have a higher maximum matching contribution at 4% ( 4 % ) on the first 5% ( 5 % ) of employee contributions , compared to 3% ( 3 % ) on the first 6% ( 6 % ) of employee contributions for employees hired prior to january 2005 .
effective january 1 , 2009 , the company temporarily suspended all matching contributions to the motorola 401 ( k ) plan .

the company 2019s expenses , primarily relating to the employer match , for all defined contribution plans , for the years ended december 31 , 2009 , 2008 and 2007 were $ 8 million , $ 95 million and $ 116 million , respectively .
8 .

8 .
share-based compensation plans and other incentive plans stock options , stock appreciation rights and employee stock purchase plan the company grants options to acquire shares of common stock to certain employees , and existing option holders in connection with the merging of option plans following an acquisition .
each option granted and stock appreciation right has an exercise price of no less than 100% ( 100 % ) of the fair market value of the common stock on the date of the grant .

the awards have a contractual life of five to ten years and vest over two to four years .
stock options and stock appreciation rights assumed or replaced with comparable stock options or stock appreciation rights in conjunction with a change in control only become exercisable if the holder is also involuntarily terminated ( for a reason other than cause ) or quits for good reason within 24 months of a change in control .

the employee stock purchase plan allows eligible participants to purchase shares of the company 2019s common stock through payroll deductions of up to 10% ( 10 % ) of eligible compensation on an after-tax basis .
plan participants cannot purchase more than $ 25000 of stock in any calendar year .
the price an employee pays per share is 85% ( 85 % ) of the lower of the fair market value of the company 2019s stock on the close of the first trading day or last trading day of the purchase period .

the plan has two purchase periods , the first one from october 1 through march 31 and the second one from april 1 through september 30 .
for the years ended december 31 , 2009 , 2008 and 2007 , employees purchased 29.4 million , 18.9 million and 10.2 million shares , respectively , at purchase prices of $ 3.60 and $ 3.68 , $ 7.91 and $ 6.07 , and $ 14.93 and $ 15.02 , respectively .

the company calculates the value of each employee stock option , estimated on the date of grant , using the black-scholes option pricing model .
the weighted-average estimated fair value of employee stock options granted during 2009 , 2008 and 2007 was $ 2.78 , $ 3.47 and $ 5.95 , respectively , using the following weighted-average assumptions : 2009 2008 2007 .

 |
| table | | 2009             | 2008             | 2007
----------------------- | ---------------- | ---------------- | ----------------
expected volatility     | 57.1% ( 57.1 % ) | 56.4% ( 56.4 % ) | 28.3% ( 28.3 % )
risk-free interest rate | 1.9% ( 1.9 % )   | 2.4% ( 2.4 % )   | 4.5% ( 4.5 % )
dividend yield          | 0.0% ( 0.0 % )   | 2.7% ( 2.7 % )   | 1.1% ( 1.1 % )
expected life ( years ) | 3.9              | 5.5              | 6.5 |


| _id | dd4c3b9da |
| title |  |
| text | 12feb201521095992 performance graph the following graph compares the performance of our common stock with that of the s&p 500 index and the s&p 500 healthcare equipment index .
the cumulative total return listed below assumes an initial investment of $ 100 on december 31 , 2009 and reinvestment of dividends .
comparison of 5 year cumulative total return rs $ 200 2009 2010 2011 201420132012 edwards lifesciences corporation s&p 500 s&p 500 healthcare equipment december 31 .

 |
| table | total cumulative return            | 2010     | 2011     | 2012     | 2013     | 2014
---------------------------------- | -------- | -------- | -------- | -------- | --------
edwards lifesciences               | $ 186.16 | $ 162.81 | $ 207.65 | $ 151.43 | $ 293.33
s&p 500                            | 115.06   | 117.49   | 136.30   | 180.44   | 205.14
s&p 500 healthcare equipment index | 96.84    | 102.07   | 120.66   | 153.85   | 194.33 |


| _id | dd4c32178 |
| title |  |
| text | changes in the benchmark index component of the 10-year treasury yield .
the company def signated these derivatives as cash flow hedges .

on october 13 , 2015 , in conjunction with the pricing of the $ 4.5 billion senior notes , the companyr terminated these treasury lock contracts for a cash settlement payment of $ 16 million , which was recorded as a component of other comprehensive earnings and will be reclassified as an adjustment to interest expense over the ten years during which the related interest payments that were hedged will be recognized in income .

foreign currency risk we are exposed to foreign currency risks that arise from normal business operations .
these risks include the translation of local currency balances of foreign subsidiaries , transaction gains and losses associated with intercompany loans with foreign subsidiaries and transactions denominated in currencies other than a location's functional currency .

we manage the exposure to these risks through a combination of normal operating activities and the use of foreign currency forward contracts .
contracts are denominated in currtt encies of major industrial countries .
our exposure to foreign currency exchange risks generally arises from our non-u.s .
operations , to the extent they are conducted ind local currency .
changes in foreign currency exchange rates affect translations of revenues denominated in currencies other than the u.s .
dollar .

dollar .
during the years ended december 31 , 2016 , 2015 and 2014 , we generated approximately $ 1909 million , $ 1336 million and $ 1229 million , respectively , in revenues denominated in currencies other than the u.s .
dollar .
the major currencies to which our revenues are exposed are the brazilian real , the euro , the british pound sterling and the indian rupee .

a 10% ( 10 % ) move in average exchange rates for these currencies ( assuming a simultaneous and immediate 10% ( 10 % ) change in all of such rates for the relevant period ) would have resulted in the following increase or ( decrease ) in our reported revenues for the years ended december 31 , 2016 , 2015 and 2014 ( in millions ) : .

while our results of operations have been impacted by the effects of currency fluctuations , our international operations' revenues and expenses are generally denominated in local currency , which reduces our economic exposure to foreign exchange risk in those jurisdictions .
revenues included $ 100 million and $ 243 million and net earnings included $ 10 million , anrr d $ 31 million , respectively , of unfavorable foreign currency impact during 2016 and 2015 resulting from a stronger u.s .

dollar during these years compared to thet preceding year .
in 2017 , we expect continued unfavorable foreign currency impact on our operating income resulting from the continued strengthening of the u.s .
dollar vs .
other currencies .
our foreign exchange risk management policy permits the use of derivative instruments , such as forward contracts and options , to reduce volatility in our results of operations and/or cash flows resulting from foreign exchange rate fluctuations .

we do not enter into foreign currency derivative instruments for trading purposes or to engage in speculative activitr y .
we do periodically enter inttt o foreign currency forward exchange contracts to hedge foreign currency exposure to intercompany loans .
as of december 31 , 2016 , the notional amount of these derivatives was approximately $ 143 million and the fair value was nominal .

these derivatives are intended to hedge the foreign exchange risks related to intercompany loans but have not been designated as hedges for accounting purposes .
we also use currency forward contracts to manage our exposure to fluctuations in costs caused by variations in indian rupee ( "inr" ) exchange rates .
as of december 31 , 2016 , the notional amount of these derivatives was approximately $ 7 million and the fair value was ll less than $ 1 million .

these inr forward contracts are designated as cash flow hedges .
the fair value of these currency forward contracts is determined using currency exchange market rates , obtained from reliable , independent , third m party banks , at the balance sheet date .
the fair value of forward contracts is subject to changes in currency exchange rates .
the company has no ineffectiveness related to its use of currency forward contracts in connection with inr cash flow hedges .

in conjunction with entering into the definitive agreement to acquire clear2pay in september 2014 , we initiated a foreign currency forward contract to purchase euros and sell u.s .
dollars to manage the risk arising from fluctuations in exchange rates until the closing because the purchase price was stated in euros .
as this derivative did not qualify for hedge accounting , we recorded a charge of $ 16 million in other income ( expense ) , net during the third quarter of 2014 .

this forward contract was settled on october 1 , 2014.

 |
| table | currency       | 2016  | 2015  | 2014
-------------- | ----- | ----- | -----
pound sterling | $ 47  | $ 34  | $ 31
euro           | 38    | 33    | 30
real           | 32    | 29    | 38
indian rupee   | 12    | 10    | 8
total impact   | $ 129 | $ 106 | $ 107 |


| _id | dd4c4fa2a |
| title |  |
| text | notes to the consolidated financial statements note 1 .
general description of business we are a global cruise company .
we own royal caribbean international , celebrity cruises , pullmantur , azamara club cruises , cdf croisi e8res de france and a 50% ( 50 % ) joint venture interest in tui cruises .
together , these six brands operate a combined 41 ships as of december 31 , 2012 .
our ships operate on a selection of worldwide itineraries that call on approximately 455 destinations on all seven continents .

basis for preparation of consolidated financial statements the consolidated financial statements are prepared in accordance with accounting principles generally accepted in the united states of america ( 201cgaap 201d ) .
estimates are required for the preparation of financial statements in accordance with these principles .
actual results could differ from these estimates .
all significant intercompany accounts and transactions are eliminated in consolidation .

we consolidate entities over which we have control , usually evidenced by a direct ownership interest of greater than 50% ( 50 % ) , and variable interest entities where we are determined to be the primary beneficiary .
see note 6 .
other assets for further information regarding our variable interest entities .

for affiliates we do not control but over which we have significant influence on financial and operat- ing policies , usually evidenced by a direct ownership interest from 20% ( 20 % ) to 50% ( 50 % ) , the investment is accounted for using the equity method .
we consolidate the operating results of pullmantur and its wholly-owned subsidiary , cdf croisi e8res de france , on a two-month lag to allow for more timely preparation of our con- solidated financial statements .

no material events or transactions affecting pullmantur or cdf croisi e8res de france have occurred during the two-month lag period of november 2012 and december 2012 that would require disclosure or adjustment to our con- solidated financial statements as of december 31 , 2012 , except for the impairment of pullmantur related assets , as described in note 3 .
goodwill , note 4 .
intangible assets , note 5 .
property and equipment and note 12 .
income taxes .
note 2 .

income taxes .
note 2 .
summary of significant accounting policies revenues and expenses deposits received on sales of passenger cruises are initially recorded as customer deposit liabilities on our balance sheet .

customer deposits are subsequently recognized as passenger ticket revenues , together with revenues from onboard and other goods and services and all associated direct costs of a voyage , upon completion of voyages with durations of ten days or less , and on a pro-rata basis for voyages in excess of ten days .
revenues and expenses include port costs that vary with guest head counts .

the amounts of such port costs included in passenger ticket revenues on a gross basis were $ 459.8 million , $ 442.9 million and $ 398.0 million for the years 2012 , 2011 and 2010 , respectively .
cash and cash equivalents cash and cash equivalents include cash and market- able securities with original maturities of less than 90 days .
inventories inventories consist of provisions , supplies and fuel carried at the lower of cost ( weighted-average ) or market .

property and equipment property and equipment are stated at cost less accu- mulated depreciation and amortization .
we capitalize interest as part of the cost of acquiring certain assets .
improvement costs that we believe add value to our ships are capitalized as additions to the ship and depreciated over the shorter of the improvements 2019 estimated useful lives or that of the associated ship .

the estimated cost and accumulated depreciation of replaced or refurbished ship components are written off and any resulting losses are recognized in cruise operating expenses .
liquidated damages received from shipyards as a result of the late delivery of a new ship are recorded as reductions to the cost basis of the ship .
depreciation of property and equipment is computed using the straight-line method over the estimated useful life of the asset .

the useful lives of our ships are generally 30 years , net of a 15% ( 15 % ) projected residual value .
the 30-year useful life of our newly constructed ships and 15% ( 15 % ) associated residual value are both based on the weighted-average of all major components of a ship .
depreciation for assets under capital leases is computed using the shorter of the lease term or related asset life .
( see note 5 .

( see note 5 .
property and equipment. ) depreciation of property and equipment is computed utilizing the following useful lives: .

computer hardware and software 3 20135 transportation equipment and other 3 201330 leasehold improvements shorter of remaining lease term or useful life 3 201330 0494.indd 71 3/27/13 12:53 pm

 |
| table | | years
---------------------------------- | ---------------------------------------------------
ships                              | 30
ship improvements                  | 3-20
buildings and improvements         | 10-40
computer hardware and software     | 3-5
transportation equipment and other | 3-30
leasehold improvements             | shorter of remaining lease term or useful life 3-30 |


| _id | dd4bbdfbc |
| title |  |
| text | application of specific accounting literature .
for the nonconsolidated proprietary tob trusts and qspe tob trusts , the company recognizes only its residual investment on its balance sheet at fair value and the third-party financing raised by the trusts is off-balance sheet .
the following table summarizes selected cash flow information related to municipal bond securitizations for the years 2008 , 2007 and 2006 : in billions of dollars 2008 2007 2006 .

cash flows received on retained interests and other net cash flows 0.5 2014 2014 municipal investments municipal investment transactions represent partnerships that finance the construction and rehabilitation of low-income affordable rental housing .
the company generally invests in these partnerships as a limited partner and earns a return primarily through the receipt of tax credits earned from the affordable housing investments made by the partnership .

client intermediation client intermediation transactions represent a range of transactions designed to provide investors with specified returns based on the returns of an underlying security , referenced asset or index .
these transactions include credit-linked notes and equity-linked notes .
in these transactions , the spe typically obtains exposure to the underlying security , referenced asset or index through a derivative instrument , such as a total-return swap or a credit-default swap .

in turn the spe issues notes to investors that pay a return based on the specified underlying security , referenced asset or index .
the spe invests the proceeds in a financial asset or a guaranteed insurance contract ( gic ) that serves as collateral for the derivative contract over the term of the transaction .
the company 2019s involvement in these transactions includes being the counterparty to the spe 2019s derivative instruments and investing in a portion of the notes issued by the spe .

in certain transactions , the investor 2019s maximum risk of loss is limited and the company absorbs risk of loss above a specified level .
the company 2019s maximum risk of loss in these transactions is defined as the amount invested in notes issued by the spe and the notional amount of any risk of loss absorbed by the company through a separate instrument issued by the spe .

the derivative instrument held by the company may generate a receivable from the spe ( for example , where the company purchases credit protection from the spe in connection with the spe 2019s issuance of a credit-linked note ) , which is collateralized by the assets owned by the spe .
these derivative instruments are not considered variable interests under fin 46 ( r ) and any associated receivables are not included in the calculation of maximum exposure to the spe .

structured investment vehicles structured investment vehicles ( sivs ) are spes that issue junior notes and senior debt ( medium-term notes and short-term commercial paper ) to fund the purchase of high quality assets .
the junior notes are subject to the 201cfirst loss 201d risk of the sivs .
the sivs provide a variable return to the junior note investors based on the net spread between the cost to issue the senior debt and the return realized by the high quality assets .

the company acts as manager for the sivs and , prior to december 13 , 2007 , was not contractually obligated to provide liquidity facilities or guarantees to the sivs .

in response to the ratings review of the outstanding senior debt of the sivs for a possible downgrade announced by two ratings agencies and the continued reduction of liquidity in the siv-related asset-backed commercial paper and medium-term note markets , on december 13 , 2007 , citigroup announced its commitment to provide support facilities that would support the sivs 2019 senior debt ratings .

as a result of this commitment , citigroup became the sivs 2019 primary beneficiary and began consolidating these entities .
on february 12 , 2008 , citigroup finalized the terms of the support facilities , which took the form of a commitment to provide $ 3.5 billion of mezzanine capital to the sivs in the event the market value of their junior notes approaches zero .

the mezzanine capital facility was increased by $ 1 billion to $ 4.5 billion , with the additional commitment funded during the fourth quarter of 2008 .
the facilities rank senior to the junior notes but junior to the commercial paper and medium-term notes .
the facilities were at arm 2019s-length terms .
interest was paid on the drawn amount of the facilities and a per annum fee was paid on the unused portion .
during the period to november 18 , 2008 , the company wrote down $ 3.3 billion on siv assets .

in order to complete the wind-down of the sivs , the company , in a nearly cashless transaction , purchased the remaining assets of the sivs at fair value , with a trade date of november 18 , 2008 .
the company funded the purchase of the siv assets by assuming the obligation to pay amounts due under the medium-term notes issued by the sivs , as the medium-term notes mature .
the net funding provided by the company to fund the purchase of the siv assets was $ 0.3 billion .

as of december 31 , 2008 , the carrying amount of the purchased siv assets was $ 16.6 billion , of which $ 16.5 billion is classified as htm assets .
investment funds the company is the investment manager for certain investment funds that invest in various asset classes including private equity , hedge funds , real estate , fixed income and infrastructure .
the company earns a management fee , which is a percentage of capital under management , and may earn performance fees .

in addition , for some of these funds the company has an ownership interest in the investment funds .
the company has also established a number of investment funds as opportunities for qualified employees to invest in private equity investments .
the company acts as investment manager to these funds and may provide employees with financing on both a recourse and non-recourse basis for a portion of the employees 2019 investment commitments.

 |
| table | in billions of dollars                                             | 2008  | 2007   | 2006
------------------------------------------------------------------ | ----- | ------ | ----
proceeds from new securitizations                                  | $ 1.2 | $ 10.5 | 2014
cash flows received on retained interests and other net cash flows | 0.5   | 2014   | 2014 |


| _id | dd4c25efa |
| title |  |
| text | skyworks solutions , inc .
notes to consolidated financial statements 2014 ( continued ) maintained a valuation allowance of $ 47.0 million .
this valuation allowance is comprised of $ 33.6 million related to u.s .
state tax credits , of which $ 3.6 million are state tax credits acquired from aati in fiscal year 2012 , and $ 13.4 million related to foreign deferred tax assets .

if these benefits are recognized in a future period the valuation allowance on deferred tax assets will be reversed and up to a $ 46.6 million income tax benefit , and up to a $ 0.4 million reduction to goodwill may be recognized .
the company will need to generate $ 209.0 million of future united states federal taxable income to utilize our united states deferred tax assets as of september 28 , 2012 .

deferred tax assets are recognized for foreign operations when management believes it is more likely than not that the deferred tax assets will be recovered during the carry forward period .
the company will continue to assess its valuation allowance in future periods .

as of september 28 , 2012 , the company has united states federal net operating loss carry forwards of approximately $ 74.3 million , including $ 29.5 million related to the acquisition of sige , which will expire at various dates through 2030 and $ 28.1 million related to the acquisition of aati , which will expire at various dates through 2031 .

the utilization of these net operating losses is subject to certain annual limitations as required under internal revenue code section 382 and similar state income tax provisions .
the company also has united states federal income tax credit carry forwards of $ 37.8 million , of which $ 30.4 million of federal income tax credit carry forwards have not been recorded as a deferred tax asset .

the company also has state income tax credit carry forwards of $ 33.6 million , for which the company has provided a valuation allowance .
the united states federal tax credits expire at various dates through 2032 .
the state tax credits relate primarily to california research tax credits which can be carried forward indefinitely .
the company has continued to expand its operations and increase its investments in numerous international jurisdictions .

these activities will increase the company 2019s earnings attributable to foreign jurisdictions .
as of september 28 , 2012 , no provision has been made for united states federal , state , or additional foreign income taxes related to approximately $ 371.5 million of undistributed earnings of foreign subsidiaries which have been or are intended to be permanently reinvested .

it is not practicable to determine the united states federal income tax liability , if any , which would be payable if such earnings were not permanently reinvested .
the company 2019s gross unrecognized tax benefits totaled $ 52.4 million and $ 32.1 million as of september 28 , 2012 and september 30 , 2011 , respectively .
of the total unrecognized tax benefits at september 28 , 2012 , $ 38.8 million would impact the effective tax rate , if recognized .

the remaining unrecognized tax benefits would not impact the effective tax rate , if recognized , due to the company 2019s valuation allowance and certain positions which were required to be capitalized .
there are no positions which the company anticipates could change within the next twelve months .
a reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows ( in thousands ) : unrecognized tax benefits .

page 114 annual report

 |
| table | | unrecognized tax benefits
------------------------------------------------------------------ | -------------------------
balance at september 30 2011                                       | $ 32136
increases based on positions related to prior years                | 9004
increases based on positions related to current year               | 11265
decreases relating to settlements with taxing authorities          | 2014
decreases relating to lapses of applicable statutes of limitations | -25 ( 25 )
balance at september 28 2012                                       | $ 52380 |


| _id | dd4c0c518 |
| title |  |
| text | echostar communications corporation notes to consolidated financial statements - continued closing price of the class a common stock on the last business day of each calendar quarter in which such shares of class a common stock are deemed sold to an employee under the espp .
the espp shall terminate upon the first to occur of ( i ) october 1 , 2007 or ( ii ) the date on which the espp is terminated by the board of directors .

during 2000 , 2001 and 2002 employees purchased approximately 58000 ; 80000 and 108000 shares of class a common stock through the espp , respectively .
401 ( k ) employee savings plan echostar sponsors a 401 ( k ) employee savings plan ( the 201c401 ( k ) plan 201d ) for eligible employees .
voluntary employee contributions to the 401 ( k ) plan may be matched 50% ( 50 % ) by echostar , subject to a maximum annual contribution by echostar of $ 1000 per employee .

matching 401 ( k ) contributions totaled approximately $ 1.6 million , $ 2.1 million and $ 2.4 million during the years ended december 31 , 2000 , 2001 and 2002 , respectively .
echostar also may make an annual discretionary contribution to the plan with approval by echostar 2019s board of directors , subject to the maximum deductible limit provided by the internal revenue code of 1986 , as amended .
these contributions may be made in cash or in echostar stock .

forfeitures of unvested participant balances which are retained by the 401 ( k ) plan may be used to fund matching and discretionary contributions .
expense recognized relating to discretionary contributions was approximately $ 7 million , $ 225 thousand and $ 17 million during the years ended december 31 , 2000 , 2001 and 2002 , respectively .
9 .

9 .
commitments and contingencies leases future minimum lease payments under noncancelable operating leases as of december 31 , 2002 , are as follows ( in thousands ) : year ending december 31 .

total rent expense for operating leases approximated $ 9 million , $ 14 million and $ 16 million in 2000 , 2001 and 2002 , respectively .
purchase commitments as of december 31 , 2002 , echostar 2019s purchase commitments totaled approximately $ 359 million .
the majority of these commitments relate to echostar receiver systems and related components .
all of the purchases related to these commitments are expected to be made during 2003 .

echostar expects to finance these purchases from existing unrestricted cash balances and future cash flows generated from operations .
patents and intellectual property many entities , including some of echostar 2019s competitors , now have and may in the future obtain patents and other intellectual property rights that cover or affect products or services directly or indirectly related to those that echostar offers .

echostar may not be aware of all patents and other intellectual property rights that its products may potentially infringe .
damages in patent infringement cases can include a tripling of actual damages in certain cases .
further , echostar cannot estimate the extent to which it may be required in the future to obtain licenses with respect to

 |
| table | 2003                         | $ 17274
---------------------------- | -------
2004                         | 14424
2005                         | 11285
2006                         | 7698
2007                         | 3668
thereafter                   | 1650
total minimum lease payments | 55999 |


| _id | dd4c53f26 |
| title |  |
| text | respectively .
the federal tax attribute carryovers will expire after 16 to 17 years , the state after five to 10 years , and the majority of international after six years with the remaining international expiring in one year or with an indefinite carryover period .
the tax attributes being carried over arise as certain jurisdictions may have tax losses or may have inabilities to utilize certain losses without the same type of taxable income .

as of december 31 , 2013 , the company has provided $ 23 million of valuation allowance against certain of these deferred tax assets based on management's determination that it is more-likely-than-not that the tax benefits related to these assets will not be realized .
the valuation allowance was reduced in 2013 mainly due to the expiration of the tax attributes .
during 2013 , the company contributed $ 476 million to its u.s .
and international pension plans and $ 6 million to its postretirement plans .

during 2012 , the company contributed $ 1.079 billion to its u.s .
and international pension plans and $ 67 million to its postretirement plans .
during 2011 , the company contributed $ 517 million to its u.s .
and international pension plans and $ 65 million to its postretirement plans .
the current income tax provision includes a benefit for the pension contributions ; the deferred tax provision includes a cost for the related temporary difference .
reconciliation of effective income tax rate .

the effective tax rate for 2013 was 28.1 percent , compared to 29.0 percent in 2012 , a decrease of 0.9 percentage points , impacted by many factors .
factors that decreased the company 2019s effective tax rate included international taxes as a result of changes to the geographic mix of income before taxes , the reinstatement of the u.s .

research and development credit in 2013 , an increase in the domestic manufacturer 2019s deduction benefit , the restoration of tax basis on certain assets for which depreciation deductions were previously limited , and other items .
combined , these factors decreased the company 2019s effective tax rate by 4.0 percentage points .

this benefit was partially offset by factors that increased the effective tax rate by 3.1 percentage points , which largely related to adjustments to 3m 2019s income tax reserves for 2013 when compared to 2012 .
the effective tax rate for 2012 was 29.0 percent , compared to 27.8 percent in 2011 , an increase of 1.2 percentage points , impacted by many factors .

the primary factors that increased the company 2019s effective tax rate year-on-year include international taxes , specifically with respect to the corporate reorganization of a wholly owned international subsidiary ( which benefited 2011 ) , state income taxes , lower domestic manufacturer 2019s deduction , and the lapse of the u.s .
research and development credit .
these and other factors , when compared to 2011 , increased the 2012 effective tax rate by 2.1 percentage points .

factors that decreased the company 2019s effective tax rate year-on-year include international taxes as a result of changes to the geographic mix of income before taxes and adjustments to its income tax reserves .
these factors , when compared to 2011 , decreased the effective tax rate 0.9 percentage points .
the company files income tax returns in the u.s .
federal jurisdiction , and various states and foreign jurisdictions .
with few exceptions , the company is no longer subject to u.s .

federal , state and local , or non-u.s .
income tax examinations by tax authorities for years before 2004 .
the irs completed its field examination of the company 2019s u.s .
federal income tax returns for the years 2005 through 2007 in the fourth quarter of 2009 .
the company protested certain irs positions within these tax years and entered into the administrative appeals process with the irs during the first quarter of 2010 .

during the first quarter of 2010 , the irs completed its field examination of the company 2019s u.s .
federal income tax return for the 2008 year .
the company protested certain irs positions for 2008 and entered into the administrative appeals process with the irs during the second quarter of 2010 .
during the first quarter of 2011 , the irs completed its field examination of the company 2019s u.s .
federal income tax return for the 2009 year .

federal income tax return for the 2009 year .
the company protested certain irs positions for 2009 and entered into the administrative appeals process with the irs during the second quarter of 2011 .
during the first quarter of 2012 , the irs completed its field examination of the company 2019s u.s .
federal income tax return for the 2010 year .
the company protested certain irs positions for 2010 and entered into the administrative appeals process with the irs during the

 |
| table | | 2013             | 2012             | 2011
------------------------------------------- | ---------------- | ---------------- | ----------------
statutory u.s . tax rate                    | 35.0% ( 35.0 % ) | 35.0% ( 35.0 % ) | 35.0% ( 35.0 % )
state income taxes - net of federal benefit | 0.9              | 0.9              | 0.7
international income taxes - net            | -6.3 ( 6.3 )     | -4.2 ( 4.2 )     | -4.6 ( 4.6 )
u.s . research and development credit       | -0.7 ( 0.7 )     | 2014             | -0.5 ( 0.5 )
reserves for tax contingencies              | 1.2              | -1.9 ( 1.9 )     | -1.2 ( 1.2 )
domestic manufacturer 2019s deduction       | -1.6 ( 1.6 )     | -1.2 ( 1.2 )     | -1.5 ( 1.5 )
all other - net                             | -0.4 ( 0.4 )     | 0.4              | -0.1 ( 0.1 )
effective worldwide tax rate                | 28.1% ( 28.1 % ) | 29.0% ( 29.0 % ) | 27.8% ( 27.8 % ) |


| _id | dd4c2f5a4 |
| title |  |
| text | shares of citigroup common stock .
the number of shares to be delivered will equal the cse award value divided by the then fair market value of the common stock .
for cses awarded to certain employees whose compensation structure was approved by the special master , 50% ( 50 % ) of the shares to be delivered in april 2010 will be subject to restrictions on sale and transfer until january 20 , 2011 .

in lieu of 2010 cap awards , certain retirement-eligible employees were instead awarded cses payable in april 2010 , but any shares that are to be delivered in april 2010 ( subject to stockholder approval ) will be subject to restrictions on sale or transfer that will lapse in four equal annual installments beginning january 20 , 2011 .

cse awards have generally been accrued as compensation expenses in the year 2009 and will be recorded as a liability from the january 2010 grant date until the settlement date in april 2010 .
if stockholders approve delivery of citigroup stock for the cse awards , cse awards will likely be paid as new issues of common stock as an exception to the company 2019s practice of delivering shares from treasury stock , and the recorded liability will be reclassified as equity at that time .

in january 2009 , members of the management executive committee ( except the ceo and cfo ) received 30% ( 30 % ) of their incentive awards for 2008 as performance vesting-equity awards .
these awards vest 50% ( 50 % ) if the price of citigroup common stock meets a price target of $ 10.61 , and 50% ( 50 % ) for a price target of $ 17.85 , in each case on or prior to january 14 , 2013 .

the price target will be met only if the nyse closing price equals or exceeds the applicable price target for at least 20 nyse trading days within any period of 30 consecutive nyse trading days ending on or before january 14 , 2013 .
any shares that have not vested by such date will vest according to a fraction , the numerator of which is the share price on the delivery date and the denominator of which is the price target of the unvested shares .
no dividend equivalents are paid on unvested awards .

fair value of the awards is recognized as compensation expense ratably over the vesting period .

on july 17 , 2007 , the committee approved the management committee long-term incentive plan ( mc ltip ) ( pursuant to the terms of the shareholder-approved 1999 stock incentive plan ) under which participants received an equity award that could be earned based on citigroup 2019s performance against various metrics relative to peer companies and publicly- stated return on equity ( roe ) targets measured at the end of each calendar year beginning with 2007 .

the final expense for each of the three consecutive calendar years was adjusted based on the results of the roe tests .
no awards were earned for 2009 , 2008 or 2007 and no shares were issued because performance targets were not met .
no new awards were made under the mc ltip since the initial award in july 2007 .
cap participants in 2008 , 2007 , 2006 and 2005 , and fa cap participants in those years and in 2009 , could elect to receive all or part of their award in stock options .

the figures presented in the stock option program tables ( see 201cstock option programs 201d below ) include options granted in lieu of cap and fa cap stock awards in those years .
a summary of the status of citigroup 2019s unvested stock awards at december 31 , 2009 and changes during the 12 months ended december 31 , 2009 are presented below : unvested stock awards shares weighted-average grant date fair value .

( 1 ) the weighted-average market value of the vestings during 2009 was approximately $ 3.64 per share .
at december 31 , 2009 , there was $ 1.6 billion of total unrecognized compensation cost related to unvested stock awards net of the forfeiture provision .
that cost is expected to be recognized over a weighted-average period of 1.3 years.

 |
| table | unvested stock awards        | shares                   | weighted-average grant date fair value
---------------------------- | ------------------------ | --------------------------------------
unvested at january 1 2009   | 226210859                | $ 36.23
new awards                   | 162193923                | $ 4.35
cancelled awards             | -51873773 ( 51873773 )   | $ 26.59
deleted awards               | -568377 ( 568377 )       | $ 13.91
vested awards ( 1 )          | -148011884 ( 148011884 ) | $ 25.96
unvested at december 31 2009 | 187950748                | $ 19.53 |


| _id | dd4bb4796 |
| title |  |
| text | fidelity national information services , inc .
and subsidiaries notes to consolidated financial statements - ( continued ) contingent consideration liabilities recorded in connection with business acquisitions must also be adjusted for changes in fair value until settled .
see note 3 for discussion of the capital markets company bvba ( "capco" ) contingent consideration liability .

( d ) derivative financial instruments the company accounts for derivative financial instruments in accordance with financial accounting standards board accounting standards codification ( 201cfasb asc 201d ) topic 815 , derivatives and hedging .
during 2016 , 2015 and 2014 , the company engaged in g hedging activities relating to its variable rate debt through the use of interest rate swaps .
the company designates these interest rate swaps as cash flow hedges .

the estimated fair values of the cash flow hedges are determined using level 2 type measurements .
thh ey are recorded as an asset or liability of the company and are included in the accompanying consolidated balance sheets in prepaid expenses and other current assets , other non-current assets , accounts payable and accrued liabilities or other long-term liabilities , as appropriate , and as a component of accumulated other comprehensive earnings , net of deferred taxes .

a portion of the amount included in accumulated other comprehensive earnings is recorded in interest expense as a yield adjustment as interest payments are made on then company 2019s term and revolving loans ( note 10 ) .
the company 2019s existing cash flow hedge is highly effective and there was no impact on 2016 earnings due to hedge ineffectiveness .
it is our policy to execute such instruments with credit-worthy banks and not to enter into derivative financial instruments for speculative purposes .

as of december 31 , 2016 , we believe that our interest rate swap counterparty will be able to fulfill its obligations under our agreement .
the company's foreign exchange risk management policy permits the use of derivative instruments , such as forward contracts and options , to reduce volatility in the company's results of operations and/or cash flows resulting from foreign exchange rate fluctuations .

during 2016 and 2015 , the company entered into foreign currency forward exchange contracts to hedge foreign currency exposure to intercompany loans .
as of december 31 , 2016 and 2015 , the notional amount of these derivatives was approximately $ 143 million and aa $ 81 million , respectively , and the fair value was nominal .
these derivatives have not been designated as hedges for accounting purposes .

we also use currency forward contracts to manage our exposure to fluctuations in costs caused by variations in indian rupee ( "inr" ) ii exchange rates .
as of december 31 , 2016 , the notional amount of these derivatives was approximately $ 7 million and the fair value was l less than $ 1 million , which is included in prepaid expenses and other current assets in the consolidated balance sheets .
these inr forward contracts are designated as cash flow hedges .

the fair value of these currency forward contracts is determined using currency uu exchange market rates , obtained from reliable , independent , third party banks , at the balance sheet date .
the fair value of forward rr contracts is subject to changes in currency exchange rates .
the company has no ineffectiveness related to its use of currency forward ff contracts in connection with inr cash flow hedges .

in september 2015 , the company entered into treasury lock hedges with a total notional amount of $ 1.0 billion , reducing the risk of changes in the benchmark index component of the 10-year treasury yield .
the company def signated these derivatives as cash flow hedges .

on october 13 , 2015 , in conjunction with the pricing of the $ 4.5 billion senior notes , the companyr terminated these treasury lock contracts for a cash settlement payment of $ 16 million , which was recorded as a component of other comprehensive earnings and will be reclassified as an adjustment to interest expense over the ten years during which the related interest payments that were hedged will be recognized in income .

( e ) trade receivables a summary of trade receivables , net , as of december 31 , 2016 and 2015 is as follows ( in millions ) : .

 |
| table | | 2016       | 2015
------------------------------- | ---------- | ----------
trade receivables 2014 billed   | $ 1452     | $ 1546
trade receivables 2014 unbilled | 228        | 201
total trade receivables         | 1680       | 1747
allowance for doubtful accounts | -41 ( 41 ) | -16 ( 16 )
total trade receivables net     | $ 1639     | $ 1731 |


| _id | dd497e602 |
| title |  |
| text | item 7 .
management 2019s discussion and analysis of financial condition and results of operations we are a global integrated energy company with significant operations in the north america , africa and europe .
our operations are organized into four reportable segments : 2022 exploration and production ( 201ce&p 201d ) which explores for , produces and markets liquid hydrocarbons and natural gas on a worldwide basis .

2022 oil sands mining ( 201cosm 201d ) which mines , extracts and transports bitumen from oil sands deposits in alberta , canada , and upgrades the bitumen to produce and market synthetic crude oil and vacuum gas 2022 integrated gas ( 201cig 201d ) which markets and transports products manufactured from natural gas , such as liquefied natural gas ( 201clng 201d ) and methanol , on a worldwide basis .

2022 refining , marketing & transportation ( 201crm&t 201d ) which refines , markets and transports crude oil and petroleum products , primarily in the midwest , upper great plains , gulf coast and southeastern regions of the united states .
certain sections of management 2019s discussion and analysis of financial condition and results of operations include forward-looking statements concerning trends or events potentially affecting our business .

these statements typically contain words such as 201canticipates , 201d 201cbelieves , 201d 201cestimates , 201d 201cexpects , 201d 201ctargets , 201d 201cplans , 201d 201cprojects , 201d 201ccould , 201d 201cmay , 201d 201cshould , 201d 201cwould 201d or similar words indicating that future outcomes are uncertain .

in accordance with 201csafe harbor 201d provisions of the private securities litigation reform act of 1995 , these statements are accompanied by cautionary language identifying important factors , though not necessarily all such factors , which could cause future outcomes to differ materially from those set forth in the forward-looking statements .
we hold a 60 percent interest in equatorial guinea lng holdings limited ( 201cegholdings 201d ) .

as discussed in note 4 to the consolidated financial statements , effective may 1 , 2007 , we ceased consolidating egholdings .
our investment is accounted for using the equity method of accounting .
unless specifically noted , amounts presented for the integrated gas segment for periods prior to may 1 , 2007 , include amounts related to the minority interests .

management 2019s discussion and analysis of financial condition and results of operations should be read in conjunction with the information under item 1 .
business , item 1a .
risk factors , item 6 .
selected financial data and item 8 .
financial statements and supplementary data .
overview exploration and production prevailing prices for the various grades of crude oil and natural gas that we produce significantly impact our revenues and cash flows .

prices were volatile in 2009 , but not as much as in the previous year .
prices in 2009 were also lower than in recent years as illustrated by the annual averages for key benchmark prices below. .

henry hub natural gas ( dollars per mcf ) ( a ) $ 3.99 $ 9.04 $ 6.86 ( a ) first-of-month price index .
crude oil prices rose sharply through the first half of 2008 as a result of strong global demand , a declining dollar , ongoing concerns about supplies of crude oil , and geopolitical risk .
later in 2008 , crude oil prices sharply declined as the u.s .
dollar rebounded and global demand decreased as a result of economic recession .

the price decrease continued into 2009 , but reversed after dropping below $ 33.98 in february , ending the year at $ 79.36 .
our domestic crude oil production is about 62 percent sour , which means that it contains more sulfur than light sweet wti does .
sour crude oil also tends to be heavier than light sweet crude oil and sells at a discount to light sweet crude oil because of higher refining costs and lower refined product values .

our international crude oil production is relatively sweet and is generally sold in relation to the dated brent crude benchmark .
the differential between wti and dated brent average prices narrowed to $ 0.42 in 2009 compared to $ 2.49 in 2008 and $ 0.02 in 2007.

 |
| table | benchmark                                       | 2009    | 2008    | 2007
----------------------------------------------- | ------- | ------- | -------
wti crude oil ( dollars per barrel )            | $ 62.09 | $ 99.75 | $ 72.41
dated brent crude oil ( dollars per barrel )    | $ 61.67 | $ 97.26 | $ 72.39
henry hub natural gas ( dollars per mcf ) ( a ) | $ 3.99  | $ 9.04  | $ 6.86 |


| _id | dd4c07cfc |
| title |  |
| text | incentive compensation expense ( $ 8.2 million ) and related fringe benefit costs ( $ 1.4 million ) , and higher warehousing costs due to customer requirements ( $ 2.0 million ) .
corporate overhead for the year ended december 31 , 2006 , increased $ 3.1 million , or 6.5% ( 6.5 % ) , from the year ended december 31 , 2005 .
the increase was primarily attributable to higher incentive compensation expense ( $ 2.6 million ) and other increased costs which were not individually significant .

other expense , net , decreased $ 2.1 million , or 20.1% ( 20.1 % ) for the year ended december 31 , 2006 compared to the year ended december 31 , 2005 .
the decrease was primarily due to a $ 3.1 million decrease in expenses related to the disposals of property , plant and equipment as part of planned disposals in connection with capital projects .

partially offsetting the decrease in fixed asset disposal expense was higher legal expenses ( $ 0.5 million ) and increased losses on disposals of storeroom items ( $ 0.4 million ) .
interest expense , net and income taxes interest expense , net of interest income , increased by $ 3.1 million , or 11.1% ( 11.1 % ) , for the year ended december 31 , 2006 compared to the full year 2005 , primarily as a result of higher interest expense on our variable rate debt due to higher interest rates .

pca 2019s effective tax rate was 35.8% ( 35.8 % ) for the year ended december 31 , 2006 and 40.2% ( 40.2 % ) for the year ended december 31 , 2005 .
the lower tax rate in 2006 is primarily due to a larger domestic manufacturer 2019s deduction and a reduction in the texas state tax rate .
for both years 2006 and 2005 , tax rates were higher than the federal statutory rate of 35.0% ( 35.0 % ) due to state income taxes .

year ended december 31 , 2005 compared to year ended december 31 , 2004 the historical results of operations of pca for the years ended december 31 , 2005 and 2004 are set forth below : for the year ended december 31 , ( in millions ) 2005 2004 change .

net sales net sales increased by $ 103.6 million , or 5.5% ( 5.5 % ) , for the year ended december 31 , 2005 from the year ended december 31 , 2004 .
net sales increased primarily due to increased sales prices and volumes of corrugated products compared to 2004 .
total corrugated products volume sold increased 4.2% ( 4.2 % ) to 31.2 billion square feet in 2005 compared to 29.9 billion square feet in 2004 .

on a comparable shipment-per-workday basis , corrugated products sales volume increased 4.6% ( 4.6 % ) in 2005 from 2004 .
excluding pca 2019s acquisition of midland container in april 2005 , corrugated products volume was 3.0% ( 3.0 % ) higher in 2005 than 2004 and up 3.4% ( 3.4 % ) compared to 2004 on a shipment-per-workday basis .
shipments-per-workday is calculated by dividing our total corrugated products volume during the year by the number of workdays within the year .

the larger percentage increase was due to the fact that 2005 had one less workday ( 250 days ) , those days not falling on a weekend or holiday , than 2004 ( 251 days ) .
containerboard sales volume to external domestic and export customers decreased 12.2% ( 12.2 % ) to 417000 tons for the year ended december 31 , 2005 from 475000 tons in 2004.

 |
| table | ( in millions )            | for the year ended december 31 , 2005 | for the year ended december 31 , 2004 | change
-------------------------- | ------------------------------------- | ------------------------------------- | ----------------
net sales                  | $ 1993.7                              | $ 1890.1                              | $ 103.6
income from operations     | $ 116.1                               | $ 140.5                               | $ -24.4 ( 24.4 )
interest expense net       | -28.1 ( 28.1 )                        | -29.6 ( 29.6 )                        | 1.5
income before taxes        | 88.0                                  | 110.9                                 | -22.9 ( 22.9 )
provision for income taxes | -35.4 ( 35.4 )                        | -42.2 ( 42.2 )                        | 6.8
net income                 | $ 52.6                                | $ 68.7                                | $ -16.1 ( 16.1 ) |


| _id | dd4baf0de |
| title |  |
| text | the company recorded equity earnings , net of taxes , related to ilim of $ 290 million in 2018 , compared with earnings of $ 183 million in 2017 , and $ 199 million in 2016 .
operating results recorded in 2018 included an after-tax non-cash foreign exchange loss of $ 82 million , compared with an after-tax foreign exchange gain of $ 15 million in 2017 and an after-tax foreign exchange gain of $ 25 million in 2016 , primarily on the remeasurement of ilim's u.s .
dollar denominated net debt .

dollar denominated net debt .
ilim delivered outstanding performance in 2018 , driven largely by higher price realization and strong demand .
sales volumes for the joint venture increased year over year for shipments to china of softwood pulp and linerboard , but were offset by decreased sales of hardwood pulp to china .
sales volumes in the russian market increased for softwood pulp and hardwood pulp , but decreased for linerboard .

average sales price realizations were significantly higher in 2018 for sales of softwood pulp , hardwood pulp and linerboard to china and other export markets .
average sales price realizations in russian markets increased year over year for all products .
input costs were higher in 2018 , primarily for wood , fuel and chemicals .
distribution costs were negatively impacted by tariffs and inflation .

the company received cash dividends from the joint venture of $ 128 million in 2018 , $ 133 million in 2017 and $ 58 million in entering the first quarter of 2019 , sales volumes are expected to be lower than in the fourth quarter of 2018 , due to the seasonal slowdown in china and fewer trading days .
based on pricing to date in the current quarter , average sales prices are expected to decrease for hardwood pulp , softwood pulp and linerboard to china .

input costs are projected to be relatively flat , while distribution costs are expected to increase .
equity earnings - gpip international paper recorded equity earnings of $ 46 million on its 20.5% ( 20.5 % ) ownership position in gpip in 2018 .
the company received cash dividends from the investment of $ 25 million in 2018 .

liquidity and capital resources overview a major factor in international paper 2019s liquidity and capital resource planning is its generation of operating cash flow , which is highly sensitive to changes in the pricing and demand for our major products .

while changes in key cash operating costs , such as energy , raw material , mill outage and transportation costs , do have an effect on operating cash generation , we believe that our focus on pricing and cost controls has improved our cash flow generation over an operating cycle .

cash uses during 2018 were primarily focused on working capital requirements , capital spending , debt reductions and returning cash to shareholders through dividends and share repurchases under the company's share repurchase program .
cash provided by operating activities cash provided by operations , including discontinued operations , totaled $ 3.2 billion in 2018 , compared with $ 1.8 billion for 2017 , and $ 2.5 billion for 2016 .

cash used by working capital components ( accounts receivable , contract assets and inventory less accounts payable and accrued liabilities , interest payable and other ) totaled $ 439 million in 2018 , compared with cash used by working capital components of $ 402 million in 2017 , and cash provided by working capital components of $ 71 million in 2016 .
investment activities including discontinued operations , investment activities in 2018 increased from 2017 , as 2018 included higher capital spending .

in 2016 , investment activity included the purchase of weyerhaeuser's pulp business for $ 2.2 billion in cash , the purchase of the holmen business for $ 57 million in cash , net of cash acquired , and proceeds from the sale of the asia packaging business of $ 108 million , net of cash divested .
the company maintains an average capital spending target around depreciation and amortization levels , or modestly above , due to strategic plans over the course of an economic cycle .

capital spending was $ 1.6 billion in 2018 , or 118% ( 118 % ) of depreciation and amortization , compared with $ 1.4 billion in 2017 , or 98% ( 98 % ) of depreciation and amortization , and $ 1.3 billion , or 110% ( 110 % ) of depreciation and amortization in 2016 .
across our segments , capital spending as a percentage of depreciation and amortization ranged from 69.8% ( 69.8 % ) to 132.1% ( 132.1 % ) in 2018 .

the following table shows capital spending for operations by business segment for the years ended december 31 , 2018 , 2017 and 2016 , excluding amounts related to discontinued operations of $ 111 million in 2017 and $ 107 million in 2016. .

capital expenditures in 2019 are currently expected to be about $ 1.4 billion , or 104% ( 104 % ) of depreciation and amortization , including approximately $ 400 million of strategic investments.

 |
| table | in millions             | 2018   | 2017   | 2016
----------------------- | ------ | ------ | ------
industrial packaging    | $ 1061 | $ 836  | $ 832
global cellulose fibers | 183    | 188    | 174
printing papers         | 303    | 235    | 215
subtotal                | 1547   | 1259   | 1221
corporate and other     | 25     | 21     | 20
capital spending        | $ 1572 | $ 1280 | $ 1241 |