Question: What will Balance of Derivatives be like in 2009 if it develops with the same increasing rate as current? (in dollars in millions)

def solution():
    # Define variables name and value
    balance_2008 = -3458
    balance_2007 = -4402

    # Do math calculation to get the answer
    change = balance_2008 - balance_2007
    growth_rate = change / balance_2007
    balance_2009 = balance_2008 * (1 + growth_rate)

    return balance_2009

The calculation of earnings per common share and diluted earnings per common share for 2004, 2003 and 2002 is presented below.

See Note 1 of the Consolidated Financial Statements for a discussion on the calculation of earnings per common share.

| (Dollars in millions, except per share information; shares in thousands)|2004|2003|2002|
| Earnings per common share||||
|Net income|$14,143|$10,810|$9,249|
|Preferred stock dividends|-16|-4|-5|
|Net income available to common shareholders|$14,127|$10,806|$9,244|
|Average common shares issued and outstanding|3,758,507|2,973,407|3,040,085|
| Earnings per common share|$3.76|$3.63|$3.04|
| Diluted earnings per common share||||
|Net income available to common shareholders|$14,127|$10,806|$9,244|
|Convertible preferred stock dividends|2|4|5|
|Net income available to common shareholders and assumed conversions|$14,129|$10,810|$9,249|
|Average common shares issued and outstanding|3,758,507|2,973,407|3,040,085|
|Dilutive potential common shares-1, 2|65,436|56,949|90,850|
|Total diluted average common shares issued and outstanding|3,823,943|3,030,356|3,130,935|
| Diluted earnings per common share|$3.69|$3.57|$2.95|

(1) For 2004, 2003 and 2002, average options to purchase 10 million, 19 million and 45 million shares, respectively, were outstanding but not included in the computation of earnings per common share because they were antidilutive.

(2) Includes incremental shares from assumed conversions of convertible preferred stock, restricted stock units, restricted stock shares and stock options.

Note 14 Regulatory Requirements and Restrictions The Board of Governors of the Federal Reserve System (FRB) requires the Corporation’s banking subsidiaries to maintain reserve balances based on a percentage of certain deposits.

Average daily reserve balances required by the FRB were $6.9 billion and $4.1 billion for 2004 and 2003, respectively.

Currency and coin residing in branches and cash vaults (vault cash) are used to partially satisfy the reserve requirement.

The average daily reserve balances, in excess of vault cash, held with the Federal Reserve Bank amounted to $70 million and $317 million for 2004 and 2003, respectively.

The primary source of funds for cash distributions by the Corporation to its shareholders is dividends received from its banking subsidiaries.

Bank of America, N. A.  and Fleet National Bank declared and paid dividends of $5.9 billion and $1.3 billion, respectively, for 2004 to the parent.

In 2005, Bank of America, N. A.  and Fleet National Bank can declare and pay dividends to the parent of $4.7 billion and $790 million plus an additional amount equal to their net profits for 2005, as defined by statute, up to the date of any such dividend declaration.

The other subsidiary national banks can initiate aggregate dividend payments in 2005 of $2.6 billion plus an additional amount equal to their net profits for 2005, as defined by statute, up to the date of any such dividend declaration.

The amount of dividends that each subsidiary bank may declare in a calendar year without approval by the OCC is the subsidiary bank’s net profits for that year combined with its net retained profits, as defined, for the preceding two years.

The FRB, the OCC and the Federal Deposit Insurance Corporation (collectively, the Agencies) have issued regulatory capital guidelines for U. S.  banking organizations.

Failure to meet the capital requirements can initiate certain mandatory and discretionary actions by regulators that could have a material effect on the Corporation’s financial statements.

At December 31, 2004 and 2003, the Corporation and Bank of America, N. A.  were classified as well-capitalized under this regulatory framework.

At December 31, 2004, Fleet National Bank was classified as well-capitalized under this regulatory framework.

There have been no conditions or events since December 31, 2004 that management believes have changed the Corporation’s, Bank of America, N. A.

’s or Fleet National Bank’s capital classifications.

The strategy for GCSBB is to attract, retain and deepen customer relationships.

We achieve this strategy through our ability to offer a wide range of products and services through a franchise that stretches coast to coast through 32 states and the District of Columbia.

We also provide credit card products to customers in Canada, Ireland, Spain and the United Kingdom.

In the U. S. , we serve approximately 59 million consumer and small business relationships utilizing our network of 6,149 banking centers, 18,753 domestic branded ATMs, and telephone and Internet channels.

Within GCSBB, there are three primary businesses: Deposits, Card Services, and Consumer Real Estate.

In addition, ALM/Other includes the results of ALM activities and other consumer-related businesses (e. g. , insurance).

GCSBB, specifically Card Services, is presented on a managed basis.

For a reconciliation of managed GCSBB to held GCSBB, see Note 22 – Business Segment Information to the Consolidated Financial Statements.

During 2007, Visa Inc.  filed a registration statement with the SEC with respect to a proposed IPO.

Subject to market conditions and other factors, Visa Inc.  expects the IPO to occur in the first half of 2008.

We expect to record a gain associated with the IPO.

In addition, we expect that a portion of the proceeds from the IPO will be used by Visa Inc.  to fund liabilities arising from litigation which would allow us to record an offset to the litigation liabilities that we recorded in the fourth quarter of 2007 as discussed below.

Net income decreased $1.9 billion, or 17 percent, to $9.4 billion compared to 2006 as increases in noninterest income and net interest income were more than offset by increases in provision for credit losses and noninterest expense.

Net interest income increased $612 million, or two percent, to $28.8 billion due to the impacts of organic growth and the LaSalle acquisition on average loans and leases, and deposits compared to 2006.

Noninterest income increased $2.1 billion, or 13 percent, to $18.9 billion compared to the same period in 2006, mainly due to increases in card income, service charges and mortgage banking income.

Provision for credit losses increased $4.4 billion, or 51 percent, to $12.9 billion compared to 2006.

This increase primarily resulted from a $3.2 billion increase in Card Services and a $978 million increase in Consumer Real Estate.

For further discussion of the increase in provision for credit losses related to Card Services and Consumer Real Estate, see their respective discussions.

Noninterest expense increased $1.7 billion, or nine percent, to $20.1 billion largely due to increases in personnel-related expenses, Visarelated litigation costs, equally allocated to Card Services and Treasury Services on a management accounting basis, and technology related costs.

For additional information on Visa-related litigation, see Note 13 – Commitments and Contingencies to the Consolidated Financial Statements.

Deposits Deposits provides a comprehensive range of products to consumers and small businesses.

Our products include traditional savings accounts, money market savings accounts, CDs and IRAs, and noninterest and interest-bearing checking accounts.

Debit card results are also included in Deposits.

Deposit products provide a relatively stable source of funding and liquidity.

We earn net interest spread revenues from investing this liquidity in earning assets through client-facing lending activity and our ALM activities.

The revenue is allocated to the deposit products using our funds transfer pricing process which takes into account the interest rates and maturity characteristics of the deposits.

Deposits also generate fees such as account service fees, non-sufficient fund fees, overdraft charges and ATM fees, while debit cards generate merchant interchange fees based on purchase volume.

Excluding accounts obtained through acquisitions, we added approximately 2.3 million net new retail checking accounts in 2007.

These additions resulted from continued improvement in sales and service results in the Banking Center Channel and Online, and the success of such products as Keep the ChangeTM, Risk Free CDs, Balance Rewards and Affinity.

We continue to migrate qualifying affluent customers and their related deposit balances from GCSBB to GWIM.

In 2007, a total of $11.4 billion of deposits were migrated from GCSBB to GWIM compared to $10.7 billion in 2006.

After migration, the associated net interest income, service charges and noninterest expense are recorded in GWIM.

Net income increased $364 million, or seven percent, to $5.2 billion compared to 2006 as an increase in noninterest income was partially offset by an increase in noninterest expense.

Net interest income remained relatively flat at $9.4 billion compared to 2006 as the addition of LaSalle and higher deposit spreads resulting from disciplined pricing were offset by the impact of lower balances.

Average deposits decreased $3.2 billion, or one percent, largely due to the migration of customer relationships and related balances to GWIM, partially offset by the acquisition of LaSalle.

The increase in noninterest income was driven by higher service charges of $665 million, or 12 percent, primarily as a result of new demand deposit account growth and the addition of LaSalle.

Additionally, debit card revenue growth of $248 million, or 13 percent, was due to a higher number of checking accounts, increased usage, the addition of LaSalle and market penetration (i. e. , increase in the number of existing account holders with debit cards).

Noninterest expense increased $323 million, or four percent, to $9.1 billion compared to 2006, primarily due to the addition of LaSalle, and to higher account and transaction volumes.

Card Services Card Services, which excludes the results of debit cards (included in Deposits), provides a broad offering of products, including U. S.  Consumer and Business Card, Unsecured Lending, and International Card.

We offer a variety of co-branded and affinity credit card products and have become the leading issuer of credit cards through endorsed marketing in the U. S.  and Europe.

During 2007, Merchant Services was transferred to Treasury Services within GCIB.

Previously their results were reported in Card Services.

Prior period amounts have been reclassified.

The shares of the series of preferred stock previously discussed are not subject to the operation of a sinking fund and have no participation rights.

With the exception of the Series L Preferred Stock, the shares of the series of preferred stock in the previous table are not convertible.

The holders of these series have no general voting rights.

If any dividend payable on these series is in arrears for three or more semi-annual or six or more quarterly dividend periods, as applicable (whether consecutive or not), the holders of these series and any other class or series of preferred stock ranking equally as to payment of dividends and upon which equivalent voting rights have been conferred and are exercisable (voting as a single class) will be entitled to vote for the election of two additional directors.

These voting rights terminate when the Corporation has paid in full dividends on these series for at least two semi-annual or four quarterly dividend periods, as applicable, following the dividend arrearage (or, in the case of the Series N Preferred Stock, upon payment of all accrued and unpaid dividends).

In October 2008, in connection with the TARP Capital Purchase Program, established as part of the Emergency Economic Stabilization Act of 2008, the Corporation issued to the U. S.  Treasury 600 thousand shares of Series N Preferred Stock as presented in the previous table.

The Series N Preferred Stock has a call feature after three years.

In connection with this investment, the Corporation also issued to the U. S.  Treasury 10-year warrants to purchase approximately 73.1 million shares of Bank of America Corporation common stock at an exercise price of $30.79 per share.

Upon the request of the U. S.  Treasury, at any time, the Corporation has agreed to enter into a deposit arrangement pursuant to which the Series N Preferred Stock may be deposited and depositary shares, representing 1/25th of a share of Series N Preferred Stock, may be issued.

The Corporation has agreed to register the Series N Preferred Stock, the warrants, the shares of common stock underlying the warrants and the depositary shares, if any, for resale under the Securities Act of 1933.

As required under the TARP Capital Purchase Program in connection with the sale of the Series N Preferred Stock to the U. S.  Treasury, dividend payments on, and repurchases of, the Corporation’s outstanding preferred and common stock are subject to certain restrictions.

For as long as any Series N Preferred Stock is outstanding, no dividends may be declared or paid on the Corporation’s outstanding preferred and common stock until all accrued and unpaid dividends on Series N Preferred Stock are fully paid.

In addition, the U. S.  Treasury’s consent is required for any increase in dividends declared on shares of common stock before the third anniversary of the issuance of the Series N Preferred Stock unless the Series N Preferred Stock is redeemed by the Corporation or transferred in whole by the U. S.  Treasury.

Further, the U. S.  Treasury’s consent is required for any repurchase of any equity securities or trust preferred securities except for repurchases of Series N Preferred Stock or repurchases of common shares in connection with benefit plans consistent with past practice before the third anniversary of the issuance of the Series N Preferred Stock unless redeemed by the Corporation or transferred in whole by the U. S.  Treasury.

On July 14, 2006, the Corporation redeemed its 6.75% Perpetual Preferred Stock with a stated value of $250 per share.

The 382.5 thousand shares, or $96 million, outstanding of preferred stock were redeemed at the stated value of $250 per share, plus accrued and unpaid dividends.

On July 3, 2006, the Corporation redeemed its Fixed/Adjustable Rate Cumulative Preferred Stock with a stated value of $250 per share.

The 700 thousand shares, or $175 million, outstanding of preferred stock were redeemed at the stated value of $250 per share, plus accrued and unpaid dividends.

All preferred stock outstanding has preference over the Corporation’s common stock with respect to the payment of dividends and distribution of the Corporation’s assets in the event of a liquidation or dissolution.

Except in certain circumstances, the holders of preferred stock have no voting rights.

During 2008, 2007 and 2006 the aggregate dividends declared on preferred stock were $1.3 billion, $182 million and $22 million respectively.

In addition, in January 2009, the Corporation declared aggregate dividends on preferred stock of $909 million, including $145 million related to preferred stock exchanged in connection with the Merrill Lynch acquisition.

Accumulated OCI The following table presents the changes in accumulated OCI for 2008, 2007 and 2006, net-of-tax.

(1) In 2008, 2007 and 2006, the Corporation reclassified net realized losses into earnings on the sales and other-than-temporary impairments of AFS debt securities of $1.4 billion, $137 million and $279 million, net-of-tax, respectively, and net realized (gains) losses on the sales and other-than-temporary impairments of AFS marketable equity securities of $377 million, $(284) million, and $(499) million, net-of-tax, respectively.

(2) The amounts included in accumulated OCI for terminated interest rate derivative contracts were losses of $3.4 billion, $3.8 billion and $3.2 billion, net-of-tax, at December 31, 2008, 2007 and 2006, respectively.

(3) For more information, see Note 16 – Employee Benefit Plans to the Consolidated Financial Statements.

(4) For 2008, the net change in fair value recorded in accumulated OCI represented $3.8 billion in losses associated with the Corporation’s foreign currency translation adjustments on its net investment in consolidated foreign operations partially offset by gains of $2.8 billion on the related foreign currency exchange hedging results.

(5) Securities include the fair value adjustment of $4.8 billion and $8.4 billion, net-of-tax, related to the Corporation’s investment in CCB at December 31, 2008 and 2007.

(6) Included in this line item are amounts related to derivatives used in cash flow hedge relationships.

These amounts are reclassified into earnings in the same period or periods during which the hedged forecasted transactions affect earnings.

This line item also includes (gains) losses on AFS debt and marketable equity securities and impairment charges.

These amounts are reclassified into earnings upon sale of the related security or when the other-than-temporary impairment charge is recognized.

Entering 2006, earnings in the first quarter are expected to improve compared with the 2005 fourth quarter due principally to higher average price realizations, reflecting announced price increases.

Product demand for the first quarter should be seasonally slow, but is expected to strengthen as the year progresses, supported by continued economic growth in North America, Asia and Eastern Europe.

Average prices should also improve in 2006 as price increases announced in late 2005 and early 2006 for uncoated freesheet paper and pulp continue to be realized.

Operating rates are expected to improve as a result of industry-wide capacity reductions in 2005.

Although energy and raw material costs remain high, there has been some decline in both natural gas and delivered wood costs, with further moderation expected later in 2006.

We will continue to focus on further improvements in our global manufacturing operations, implementation of supply chain enhancements and reductions in overhead costs during 2006.

Industrial Packaging Demand for Industrial Packaging products is closely correlated with non-durable industrial goods production in the United States, as well as with demand for processed foods, poultry, meat and agricultural products.

In addition to prices and volumes, major factors affecting the profitability of Industrial Packaging are raw material and energy costs, manufacturing efficiency and product mix.

Industrial Packaging’s net sales for 2005 increased 2% compared with 2004, and were 18% higher than in 2003, reflecting the inclusion of International Paper Distribution Limited (formerly International Paper Pacific Millennium Limited) beginning in August 2005.

Operating profits in 2005 were 39% lower than in 2004 and 13% lower than in 2003.

Sales volume increases ($24 million), improved price realizations ($66 million), and strong mill operating performance ($27 million) were not enough to offset the effects of increased raw material costs ($103 million), higher market related downtime costs ($50 million), higher converting operating costs ($22 million), and unfavorable mix and other costs ($67 million).

Additionally, the May 2005 sale of our Industrial Papers business resulted in a $25 million lower earnings contribution from this business in 2005.

The segment took 370,000 tons of downtime in 2005, including 230,000 tons of lack-of-order downtime to balance internal supply with customer demand, compared to a total of 170,000 tons in 2004, which included 5,000 tons of lack-of-order downtime.

Containerboard’s net sales totaled $895 million in 2005, $951 million in 2004 and $815 million in 2003.

Soft market conditions and declining customer demand at the end of the first quarter led to lower average sales prices during the second and third quarters.

Beginning in the fourth quarter, prices recovered as a result of increased customer demand and a rationalization of supply.

Full year sales volumes trailed 2004 levels early in the year, reflecting the weak market conditions in the first half of 2005.

However, volumes rebounded in the second half of the year, and finished the year ahead of 2004 levels.

Operating profits decreased 38% from 2004, but were flat with 2003.

The favorable impacts of increased sales volumes, higher average sales prices and improved mill operating performance were not enough to offset the impact of higher wood, energy and other raw material costs and increased lack-of-order downtime.

Implementation of the new supply chain operating model in our containerboard mills during 2005 resulted in increased operating efficiency and cost savings.

Specialty Papers in 2005 included the Kraft Paper business for the full year and the Industrial Papers business for five months prior to its sale in May 2005.

Net sales totaled $468 million in 2005, $723 million in 2004 and $690 million in 2003.

Operating profits in 2005 were down 23% compared with 2004 and 54% compared with 2003, reflecting the lower contribution from Industrial Papers.

U. S.  Converting Operations net sales for 2005 were $2.6 billion compared with $2.3 billion in 2004 and $1.9 billion in 2003.

Sales volumes were up 10% in 2005 compared with 2004, mainly due to the acquisition of Box USA in July 2004.

Average sales prices in 2005 began the year above 2004 levels, but softened in the second half of the year.

Operating profits in 2005 decreased 46% and 4% from 2004 and 2003 levels, respectively, primarily due to increased linerboard, freight and energy costs.

European Container sales for 2005 were $883 million compared with $865 million in 2004 and $801 million in 2003.

Operating profits declined 19% and 13% compared with 2004 and 2003, respectively.

The increase in sales in 2005 reflected a slight increase in demand over 2004, but this was not sufficient to offset the negative earnings effect of increased operating costs, unfavorable foreign exchange rates and a reduction in average sales prices.

The Moroccan box plant acquisition, which was completed in October 2005, favorably impacted fourth-quarter results.

Industrial Packaging’s sales in 2005 included $104 million from International Paper Distribution Limited, our Asian box and containerboard business, subsequent to the acquisition of an additional 50% interest in August 2005.

Answer: -2716.438891412994


Question: What's the average of the Private equity/venture capital in the years where SVB Capital Partners II, LP for Carrying value(as reported) for December 31, is positive? (in thousand)

def solution():
    # Define variables name and value
    private_equity_venture_capital = [4582906, 2386054, 1732699]

    # Do math calculation to get the answer
    answer = sum(private_equity_venture_capital) / len(private_equity_venture_capital)

    return answer

As of December 31, 2017, we had $1.238 billion of gross unrecognized tax benefits, of which a net $1.150 billion, if recognized, would affect our effective tax rate.

As of December 31, 2016, we had $1.095 billion of gross unrecognized tax benefits, of which a net $1.006 billion, if recognized, would affect our effective tax rate.

As of December 31, 2015, we had $1.056 billion of gross unrecognized tax benefits, of which a net $900 million, if recognized, would affect our effective tax rate.

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

||Year Ended December 31,|
|(in millions)|2017|2016|2015|
|Beginning Balance|$1,095|$1,056|$1,047|
|Additions based on positions related to the current year|134|47|32|
|Additions based on positions related to prior years|16|14|38|
|Reductions for tax positions of prior years|-3|-17|-36|
|Settlements with taxing authorities|-2|-3|-18|
|Statute of limitation expirations|-2|-2|-7|
|Ending Balance|$1,238|$1,095|$1,056|

We are subject to U. S.  Federal income tax as well as income tax of multiple state and foreign jurisdictions.

We have concluded all U. S.  federal income tax matters through 2000, all foreign income tax matters through 2002 and substantially all material state and local income tax matters through 2005.

We have received Notices of Deficiency from the Internal Revenue Service (IRS) reflecting proposed audit adjustments for Guidant Corporation for its 2001 through 2006 tax years and Boston Scientific Corporation for its 2006 and 2007 tax years.

The total incremental tax liability asserted by the IRS for the applicable periods is $1.162 billion plus interest.

The primary issue in dispute for all years is the transfer pricing associated with the technology license agreements between domestic and foreign subsidiaries of Guidant.

In addition, the IRS has proposed adjustments in connection with the financial terms of our Transaction Agreement with Abbott Laboratories pertaining to the sale of Guidant's vascular intervention business to Abbott Laboratories in April 2006.

During 2014, we received a Revenue Agent Report from the IRS reflecting significant proposed audit adjustments to our 2008, 2009 and 2010 tax years based upon the same transfer pricing methodologies that the IRS applied to our 2001 through 2007 tax years.

We do not agree with the transfer pricing methodologies applied by the IRS or its resulting assessment.

We have filed petitions with the U. S.  Tax Court contesting the Notices of Deficiency for the 2001 through 2007 tax years in challenge and submitted a letter to the IRS Office of Appeals protesting the Revenue Agent Report for the 2008 through 2010 tax years and requesting an administrative appeal hearing.

The issues in dispute were scheduled to be heard in U. S.  Tax Court in July 2016.

On July 19, 2016, we entered into a Stipulation of Settled Issues with the IRS intended to resolve all of the aforementioned transfer pricing issues, as well as the issues related to our transaction with Abbott Laboratories, for the 2001 through 2007 tax years.

The Stipulation of Settled Issues is contingent upon the IRS Office of Appeals applying the same basis of settlement to all transfer pricing issues for the Company’s 2008, 2009 and 2010 tax years as well as review by the United States Congress Joint Committee on Taxation.

In October 2016, we reached an agreement in principle with IRS Office of Appeals as to the resolution of transfer pricing issues in 2008, 2009 and 2010 tax years, subject to additional calculations of tax as well as documentation to memorialize our agreement.

In the event that the conditions in the Stipulation of Settled Items are satisfied, we expect to make net tax payments of approximately $275 million, plus interest through the date of payment with respect to the settled issues.

If finalized, payments related to the resolution are expected in the next six months.

We believe that our income tax reserves associated with these matters are adequate as of December 31, 2017 and we do not expect to recognize any additional charges related to resolution of this controversy.

However, the final resolution of these issues is contingent and if the Stipulation of Settled Issues is not finalized, it could have a material impact on our financial condition, results of operations, or cash flows.

We recognize interest and penalties related to income taxes as a component of income tax expense.

We had $655 million accrued for gross interest and penalties as of December 31, 2017 and $572 million as of December 31, 2016.

The increase in gross interest and penalties of $83 million was recognized in our consolidated statements of operations.

We recognized net tax expense related to interest and penalties of $154 million in 2017, $46 million in 2016 and $37 million in 2015.

The increase in our net tax expense related to interest and penalties as of December 31, 2017, as compared to December 31, 2016, is primarily attributable to remeasuring the future tax benefit of our accrued interest as a result of the TCJA.

segment includes AWE and our share of earnings for our investment in ULA, which provides expendable launch services to the U. S.  Government.

Space Systems’ operating results included the following (in millions):

2016 compared to 2015 Space Systems’ net sales in 2016 increased $304 million, or 3%, compared to 2015.

The increase was attributable to net sales of approximately $410 million from AWE following the consolidation of this business in the third quarter of 2016; and approximately $150 million for commercial space transportation programs due to increased launch-related activities; and approximately $70 million of higher net sales for various programs (primarily Fleet Ballistic Missiles) due to increased volume.

These increases were partially offset by a decrease in net sales of approximately $340 million for government satellite programs due to decreased volume (primarily SBIRS and MUOS) and the wind-down or completion of mission solutions programs.

Space Systems’ operating profit in 2016 increased $118 million, or 10%, compared to 2015.

The increase was primarily attributable to a non-cash, pre-tax gain of approximately $127 million related to the consolidation of AWE; and approximately $80 million of increased equity earnings from joint ventures (primarily ULA).

These increases were partially offset by a decrease of approximately $105 million for government satellite programs due to lower risk retirements (primarily SBIRS, MUOS and mission solutions programs) and decreased volume.

Adjustments not related to volume, including net profit booking rate adjustments, were approximately $185 million lower in 2016 compared to 2015.2015 compared to 2014 Space Systems’ net sales in 2015 decreased $97 million, or 1%, compared to 2014.

The decrease was attributable to approximately $335 million lower net sales for government satellite programs due to decreased volume (primarily AEHF) and the wind-down or completion of mission solutions programs; and approximately $55 million for strategic missile and defense systems due to lower volume.

These decreases were partially offset by higher net sales of approximately $235 million for businesses acquired in 2014; and approximately $75 million for the Orion program due to increased volume.

Space Systems’ operating profit in 2015 decreased $16 million, or 1%, compared to 2014.

Operating profit increased approximately $85 million for government satellite programs due primarily to increased risk retirements.

This increase was offset by lower operating profit of approximately $65 million for commercial satellite programs due to performance matters on certain programs; and approximately $35 million due to decreased equity earnings in joint ventures.

Adjustments not related to volume, including net profit booking rate adjustments and other matters, were approximately $105 million higher in 2015 compared to 2014.

Equity earnings Total equity earnings recognized by Space Systems (primarily ULA) represented approximately $325 million, $245 million and $280 million, or 25%, 21% and 24% of this business segment’s operating profit during 2016, 2015 and 2014.

Backlog Backlog increased in 2016 compared to 2015 primarily due to the addition of AWE’s backlog.

Backlog decreased in 2015 compared to 2014 primarily due to lower orders for government satellite programs and the Orion program and higher sales on the Orion program.

Trends We expect Space Systems’ 2017 net sales to decrease in the mid-single digit percentage range as compared to 2016, driven by program lifecycles on government satellite programs, partially offset by the recognition of AWE net sales for a full year in 2017 versus a partial year in 2016 following the consolidation of AWE in the third quarter of 2016.

(2) The following table shows the amounts of other venture capital investments held by the following consolidated funds and amounts attributable to SVBFG for each fund at December 31, 2014 , 2013 and 2012 :

||December 31,|
||2014|2013|2012|
|(Dollars in thousands)|Carrying value(as reported)|Amount attributableto SVBFG|Carrying value(as reported)|Amount attributableto SVBFG|Carrying value(as reported)|Amount attributableto SVBFG|
|Silicon Valley BancVentures, LP|$3,291|$352|$6,564|$702|$43,493|$4,652|
|SVB Capital Partners II, LP|20,481|1,040|22,684|1,152|79,761|4,051|
|Capital Partners III, LP|41,055|—|—|—|—|—|
|SVB Capital Shanghai Yangpu Venture Capital Fund|6,377|431|3,591|243|3,837|259|
|Total other venture capital investments|$71,204|$1,823|$32,839|$2,097|$127,091|$8,962|

(3) Investments classified as other securities (fair value accounting) represent direct equity investments in public companies held by our consolidated funds.

At December 31, 2014 , the amount primarily includes total unrealized gains of $75 million in one public company, FireEye.

The extent to which any unrealized gains (or losses) will become realized is subject to a variety of factors, including, among other things, changes in prevailing market prices and the timing of any sales or distribution of securities and may also be constrained by lock-up agreements.

None of the FireEye related investments currently are subject to a lock-up agreement.

Loans The following table details the composition of the loan portfolio, net of unearned income, as of the five most recent year-ends:

(1) Because of the diverse nature of energy and resource innovation products and services, for our loan-related reporting purposes, ERI-related loans are reported under our hardware, software and internet, life science & healthcare and other commercial loan categories, as applicable.

(2) Included in our premium wine portfolio are gross construction loans of $112 million , $112 million , $148 million , $111 million and $119 million at December 31, 2014 , 2013 , 2012 , 2011 and 2010 , respectively.

(3) Consumer loans secured by real estate at December 31, 2014 , 2013 , 2012 , 2011 and 2010 were comprised of the following:

Answer: 2900553.0


Question: what is the growth rate in operating profit for space systems in 2011?

def solution():
    # Define variables name and value
    operating_profit_2011 = 1063
    operating_profit_2010 = 1030

    # Do math calculation to get the answer
    difference = operating_profit_2011 - operating_profit_2010
    growth_rate = (difference / operating_profit_2010) * 100

    return growth_rate

SELECTED FINANCIAL DATA The Coca-Cola Company and Subsidiaries

| |Compound Growth Rates |Year Ended December 31,|
|(In millions except per share data, ratios and growth rates) |5 Years |10 Years |2003 2|2002 3,4|
| SUMMARY OF OPERATIONS|||||
|Net operating revenues|5.2 %|5.3%|$ 21,044|$ 19,564|
|Cost of goods sold|6.9 %|4.2%|7,762|7,105|
|Gross profit|4.3 %|6.1%|13,282|12,459|
|Selling, general and administrative expenses|5.6 %|5.9%|7,488|7,001|
|Other operating charges|||573|—|
|Operating income|1.0 %|5.4%|5,221|5,458|
|Interest income|||176|209|
|Interest expense|||178|199|
|Equity income (loss)—net|||406|384|
|Other income (loss)—net|||-138|-353|
|Gains on issuances of stock by equity investees|||8|—|
|Income before income taxes and changes in accounting principles|1.1 %|5.6%|5,495|5,499|
|Income taxes|-7.2%|1.4%|1,148|1,523|
|Net income before changes in accounting principles|4.2 %|7.1%|$ 4,347|$ 3,976|
|Net income|4.2 %|7.2%|$ 4,347|$ 3,050|
|Average shares outstanding|||2,459|2,478|
|Average shares outstanding assuming dilution|||2,462|2,483|
| PER SHARE DATA|||||
|Income before changes in accounting principles—basic|4.4 %|7.7%|$ 1.77|$ 1.60|
|Income before changes in accounting principles—diluted|4.5 %|7.9%|1.77|1.60|
|Basic net income|4.4 %|7.7%|1.77|1.23|
|Diluted net income|4.5 %|7.9%|1.77|1.23|
|Cash dividends|8.0 %|10.0%|0.88|0.80|
|Market price on December 31,|-5.4%|8.6%|50.75|43.84|
| TOTAL MARKET VALUE OF COMMON STOCK1|-5.6%|7.9%|$ 123,908|$ 108,328|
| BALANCE SHEET AND OTHER DATA|||||
|Cash, cash equivalents and current marketable securities|||$ 3,482|$ 2,345|
|Property, plant and equipment—net|||6,097|5,911|
|Depreciation|||667|614|
|Capital expenditures|||812|851|
|Total assets|||27,342|24,406|
|Long-term debt|||2,517|2,701|
|Total debt|||5,423|5,356|
|Share-owners' equity|||14,090|11,800|
|Total capital1|||19,513|17,156|
| OTHER KEY FINANCIAL MEASURES1|||||
|Total debt-to-total capital|||27.8%|31.2%|
|Net debt-to-net capital|||12.1%|20.3%|
|Return on common equity|||33.6%|34.3%|
|Return on capital|||24.5%|24.5%|
|Dividend payout ratio|||49.8%|65.1%|
|Net cash provided by operations|||$ 5,456|$ 4,742|

1 Refer to Glossary on pages 103 and 104.2 In 2003, we adopted SFAS No.146, ‘‘Accounting for Costs Associated with Exit or Disposal Activities.

’’ 3 In 2002, we adopted SFAS No.142, ‘‘Goodwill and Other Intangible Assets.

’’ 4 In 2002, we adopted the fair value method provisions of SFAS No.123, ‘‘Accounting for Stock-Based Compensation,’’ and we adopted SFAS No.148, ‘‘Accounting for Stock-Based Compensation—Transition and Disclosure.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Coca-Cola Company and Subsidiaries NOTE 12: NET CHANGE IN OPERATING ASSETS AND LIABILITIES Net cash provided by operating activities attributable to the net change in operating assets and liabilities is composed of the following (in millions):

||2003|2002|2001|
|Decrease (increase) in trade accounts receivable|$ 80|$ -83|$ -73|
|Decrease (increase) in inventories|111|-49|-17|
|Decrease (increase) in prepaid expenses and other assets|-276|74|-349|
|Decrease in accounts payable and accrued expenses|-164|-442|-179|
|Increase in accrued taxes|53|20|247|
|Increase (decrease) in other liabilities|28|73|-91|
||$ -168|$ -407|$ -462|

NOTE 13: RESTRICTED STOCK, STOCK OPTIONS AND OTHER STOCK PLANS Prior to 2002, our Company accounted for our stock option plans and restricted stock plans under the recognition and measurement provisions of APB No.25 and related interpretations.

Effective January 1, 2002, our Company adopted the preferable fair value recognition provisions of SFAS No.123.

Our Company selected the modified prospective method of adoption described in SFAS No.148.

Compensation cost recognized in 2002 was the same as that which would have been recognized had the fair value method of SFAS No.123 been applied from its original effective date.

In accordance with the provisions of SFAS No.123 and SFAS No.148, $422 million and $365 million, respectively, were recorded for total stock-based compensation expense in 2003 and 2002.

Of the $422 million recorded in 2003, $407 million was recorded in selling, general and administrative expenses and $15 million was recorded in other operating charges (refer to Note 17).

In accordance with APB No.25, total stock-based compensation expense was $41 million for the year ended December 31, 2001.

Stock Option Plans Under our 1991 Stock Option Plan (the ‘‘1991 Option Plan’’), a maximum of 120 million shares of our common stock was approved to be issued or transferred to certain officers and employees pursuant to stock options and stock appreciation rights granted under the 1991 Option Plan.

The stock appreciation rights permit the holder, upon surrendering all or part of the related stock option, to receive cash, common stock or a combination thereof, in an amount up to 100 percent of the difference between the market price and the option price.

Options to purchase common stock under the 1991 Option Plan have been granted to Company employees at fair market value at the date of grant.

The 1999 Stock Option Plan (the ‘‘1999 Option Plan’’) was approved by share owners in April of 1999.

Following the approval of the 1999 Option Plan, no grants were made from the 1991 Option Plan, and shares available under the 1991 Option Plan were no longer available to be granted.

Under the 1999 Option Plan, a maximum of 120 million shares of our common stock was approved to be issued or transferred to certain officers and employees pursuant to stock options granted under the 1999 Option Plan.

Options to purchase common stock under the 1999 Option Plan have been granted to Company employees at fair market value at the date of grant.

The 2002 Stock Option Plan (the ‘‘2002 Option Plan’’) was approved by share owners in April of 2002.

Under the 2002 Option Plan, a maximum of 120 million shares of our common stock was approved to be issued or transferred to certain officers and employees pursuant to stock options granted under the 2002 Option Plan.

2011 compared to 2010 MST’s net sales for 2011 decreased $311 million, or 4%, compared to 2010.

The decrease was attributable to decreased volume of approximately $390 million for certain ship and aviation system programs (primarily Maritime Patrol Aircraft and PTDS) and approximately $75 million for training and logistics solutions programs.

Partially offsetting these decreases was higher sales of about $165 million from production on the LCS program.

MST’s operating profit for 2011 decreased $68 million, or 10%, compared to 2010.

The decrease was attributable to decreased operating profit of approximately $55 million as a result of increased reserves for contract cost matters on various ship and aviation system programs (including the terminated presidential helicopter program) and approximately $40 million due to lower volume and increased reserves on training and logistics solutions.

Partially offsetting these decreases was higher operating profit of approximately $30 million in 2011 primarily due to the recognition of reserves on certain undersea systems programs in 2010.

Adjustments not related to volume, including net profit rate adjustments described above, were approximately $55 million lower in 2011 compared to 2010.

Backlog Backlog increased in 2012 compared to 2011 mainly due to increased orders on ship and aviation system programs (primarily MH-60 and LCS), partially offset decreased orders and higher sales volume on integrated warfare systems and sensors programs (primarily Aegis).

Backlog decreased slightly in 2011 compared to 2010 primarily due to higher sales volume on various integrated warfare systems and sensors programs.

Trends We expect MST’s net sales to decline in 2013 in the low single digit percentage range as compared to 2012 due to the completion of PTDS deliveries in 2012 and expected lower volume on training services programs.

Operating profit and margin are expected to increase slightly from 2012 levels primarily due to anticipated improved contract performance.

Space Systems Our Space Systems business segment is engaged in the research and development, design, engineering, and production of satellites, strategic and defensive missile systems, and space transportation systems.

Space Systems is also responsible for various classified systems and services in support of vital national security systems.

Space Systems’ major programs include the Space-Based Infrared System (SBIRS), Advanced Extremely High Frequency (AEHF) system, Mobile User Objective System (MUOS), Global Positioning Satellite (GPS) III system, Geostationary Operational Environmental Satellite R-Series (GOES-R), Trident II D5 Fleet Ballistic Missile, and Orion.

Operating results for our Space Systems business segment include our equity interests in United Launch Alliance (ULA), which provides expendable launch services for the U. S.  Government, United Space Alliance (USA), which provided processing activities for the Space Shuttle program and is winding down following the completion of the last Space Shuttle mission in 2011, and a joint venture that manages the U. K. ’s Atomic Weapons Establishment program.

Space Systems’ operating results included the following (in millions):

2012 compared to 2011 Space Systems’ net sales for 2012 increased $186 million, or 2%, compared to 2011.

The increase was attributable to higher net sales of approximately $150 million due to increased commercial satellite deliveries (two commercial satellites delivered in 2012 compared to one during 2011); about $125 million from the Orion program due to higher volume and an increase in risk retirements; and approximately $70 million from increased volume on various strategic and defensive missile programs.

Partially offsetting the increases were lower net sales of approximately $105 million from certain government satellite programs (primarily SBIRS and MUOS) as a result of decreased volume and a decline in risk retirements; and about $55 million from the NASA External Tank program, which ended in connection with the completion of the Space Shuttle program in 2011.

Answer: 3.203883495145631


Question: what is the total amount amortized to revenue in the last three years , ( in millions ) ?

def solution():
    # Define variables
    amortized_2009 = 53
    amortized_2008 = 76
    amortized_2007 = 50

    # Calculate the total amount amortized to revenue
    answer = amortized_2009 + amortized_2008 + amortized_2007

    return answer

Entergy Corporation and Subsidiaries Notes to Financial Statements

||Amount (In Millions)|
|Plant (including nuclear fuel)|$727|
|Decommissioning trust funds|252|
|Other assets|41|
|Total assets acquired|1,020|
|Purchased power agreement (below market)|420|
|Decommissioning liability|220|
|Other liabilities|44|
|Total liabilities assumed|684|
|Net assets acquired|$336|

Subsequent to the closing, Entergy received approximately $6 million from Consumers Energy Company as part of the Post-Closing Adjustment defined in the Asset Sale Agreement.

The Post-Closing Adjustment amount resulted in an approximately $6 million reduction in plant and a corresponding reduction in other liabilities.

For the PPA, which was at below-market prices at the time of the acquisition, Non-Utility Nuclear will amortize a liability to revenue over the life of the agreement.

The amount that will be amortized each period is based upon the difference between the present value calculated at the date of acquisition of each year's difference between revenue under the agreement and revenue based on estimated market prices.

Amounts amortized to revenue were $53 million in 2009, $76 million in 2008, and $50 million in 2007.

The amounts to be amortized to revenue for the next five years will be $46 million for 2010, $43 million for 2011, $17 million in 2012, $18 million for 2013, and $16 million for 2014.

NYPA Value Sharing Agreements Non-Utility Nuclear's purchase of the FitzPatrick and Indian Point 3 plants from NYPA included value sharing agreements with NYPA.

In October 2007, Non-Utility Nuclear and NYPA amended and restated the value sharing agreements to clarify and amend certain provisions of the original terms.

Under the amended value sharing agreements, Non-Utility Nuclear will make annual payments to NYPA based on the generation output of the Indian Point 3 and FitzPatrick plants from January 2007 through December 2014.

Non-Utility Nuclear will pay NYPA $6.59 per MWh for power sold from Indian Point 3, up to an annual cap of $48 million, and $3.91 per MWh for power sold from FitzPatrick, up to an annual cap of $24 million.

The annual payment for each year's output is due by January 15 of the following year.

Non-Utility Nuclear will record its liability for payments to NYPA as power is generated and sold by Indian Point 3 and FitzPatrick.

An amount equal to the liability will be recorded to the plant asset account as contingent purchase price consideration for the plants.

In 2009, 2008, and 2007, Non-Utility Nuclear recorded $72 million as plant for generation during each of those years.

This amount will be depreciated over the expected remaining useful life of the plants.

In August 2008, Non-Utility Nuclear entered into a resolution of a dispute with NYPA over the applicability of the value sharing agreements to its FitzPatrick and Indian Point 3 nuclear power plants after the planned spin-off of the Non-Utility Nuclear business.

Under the resolution, Non-Utility Nuclear agreed not to treat the separation as a "Cessation Event" that would terminate its obligation to make the payments under the value sharing agreements.

As a result, after the spin-off transaction, Enexus will continue to be obligated to make payments to NYPA under the amended and restated value sharing agreements.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued) (Dollar amounts in thousands except per share data) Note 11—Shareholders’ Equity Share Data: A summary of preferred and common share activity is as follows:

|| Preferred Stock |Common Stock|
|| Issued | Treasury Stock |Issued|Treasury Stock|
|2004:|||||
|Balance at January 1, 2004|-0-|-0-|113,783,658|-1,069,053|
|Issuance of common stock due to exercise of stock options||||763,592|
|Treasury stock acquired||||-5,534,276|
|Retirement of treasury stock|||-5,000,000|5,000,000|
|Balance at December 31, 2004|-0-|-0-|108,783,658|-839,737|
|2005:|||||
|Issuance of common stock due to exercise of stock options|||91,090|5,835,740|
|Treasury stock acquired||||-10,301,852|
|Retirement of treasury stock|||-4,000,000|4,000,000|
|Balance at December 31, 2005|-0-|-0-|104,874,748|-1,305,849|
|2006:|||||
|Grants of restricted stock||||28,000|
|Issuance of common stock due to exercise of stock options||||507,259|
|Treasury stock acquired||||-5,989,531|
|Retirement of treasury stock|||-5,000,000|5,000,000|
|Balance at December 31, 2006|-0-|-0-|99,874,748|-1,760,121|

Acquisition of Common Shares: Torchmark shares are acquired from time to time through open market purchases under the Torchmark stock repurchase program when it is believed to be the best use of Torchmark’s excess cash flows.

Share repurchases under this program were 5.6 million shares at a cost of $320 million in 2006, 5.6 million shares at a cost of $300 million in 2005, and 5.2 million shares at a cost of $268 million in 2004.

When stock options are exercised, proceeds from the exercises are generally used to repurchase approximately the number of shares available with those funds, in order to reduce dilution.

Shares repurchased for dilution purposes were 415 thousand shares at a cost of $24 million in 2006, 4.7 million shares costing $255 million in 2005, and 313 thousand shares at a cost of $17 million in 2004.

Retirement of Treasury Stock: Torchmark retired 5 million shares of treasury stock in December, 2006, 4 million in 2005, and 5 million in 2004.

Restrictions: Restrictions exist on the flow of funds to Torchmark from its insurance subsidiaries.

Statutory regulations require life insurance subsidiaries to maintain certain minimum amounts of capital and surplus.

Dividends from insurance subsidiaries of Torchmark are limited to the greater of statutory net gain from operations, excluding capital gains and losses, on an annual noncumulative basis, or 10% of surplus, in the absence of special regulatory approval.

Additionally, insurance company distributions are generally not permitted in excess of statutory surplus.

Subsidiaries are also subject to certain minimum capital requirements.

In 2006, subsidiaries of Torchmark paid $428 million in dividends to the parent company.

During 2007, a maximum amount of $434 million is expected to be available to Torchmark from subsidiaries without regulatory approval.

PART I ITEM 1.  BUSINESS General SL Green Realty Corp.  is a self-managed real estate investment trust, or REIT, with in-house capabilities in property management, acquisitions, financing, development, construction and leasing.

We were formed in June 1997 for the purpose of continuing the commercial real estate business of S. L.  Green Properties, Inc. , our predecessor entity.

S. L.  Green Properties, Inc. , which was founded in 1980 by Stephen L.  Green, the Company's Chairman, had been engaged in the business of owning, managing, leasing, acquiring and repositioning office properties in Manhattan, a borough of New York City.

Reckson Associates Realty Corp. , or Reckson, and Reckson Operating Partnership, L. P. , or ROP, are wholly-owned subsidiaries of SL Green Operating Partnership, L. P. , the Operating Partnership.

As of December 31, 2013, we owned the following interests in commercial office properties in the New York Metropolitan area, primarily in midtown Manhattan.

Our investments in the New York Metropolitan area also include investments in Brooklyn, Long Island, Westchester County, Connecticut and Northern New Jersey, which are collectively known as the Suburban properties:

|Location|Ownership|Number ofBuildings|Square Feet|Weighted AverageOccupancy-1|
|Manhattan|Consolidated properties|23|17,306,045|94.5%|
||Unconsolidated properties|9|5,934,434|96.6%|
|Suburban|Consolidated properties|26|4,087,400|79.8%|
||Unconsolidated properties|4|1,222,100|87.2%|
|||62|28,549,979|92.5%|

(1) The weighted average occupancy represents the total occupied square feet divided by total available rentable square feet.

As of December 31, 2013, our Manhattan office properties were comprised of 17 fee owned buildings, including ownership in commercial condominium units, and six leasehold owned buildings.

As of December 31, 2013, our Suburban office properties were comprised of 25 fee owned buildings and one leasehold building.

As of December 31, 2013, we also held fee owned interests in nine unconsolidated Manhattan office properties and four unconsolidated Suburban office properties.

We refer to our consolidated and unconsolidated Manhattan and Suburban office properties collectively as our Portfolio.

As of December 31, 2013, we also owned investments in 16 retail properties encompassing approximately 875,800 square feet, 20 development buildings encompassing approximately 3,230,800 square feet, four residential buildings encompassing 801 units (approximately 719,900 square feet) and two land interests encompassing approximately 961,400 square feet.

The Company also has ownership interests in 28 west coast office properties encompassing 52 buildings totaling approximately 3,654,300 square feet.

In addition, we manage two office buildings owned by third parties and affiliated companies encompassing approximately 626,400 square feet.

As of December 31, 2013, we also held debt and preferred equity investments with a book value of $1.3 billion.

Our corporate offices are located in midtown Manhattan at 420 Lexington Avenue, New York, New York 10170.

As of December 31, 2013, our corporate staff consisted of approximately 278 persons, including 182 professionals experienced in all aspects of commercial real estate.

On our website, you can obtain, free of charge, a copy of our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, as soon as reasonably practicable after we file such material electronically with, or furnish it to, the Securities and Exchange Commission, or the SEC.

We have also made available on our website our audit committee charter, compensation committee charter, nominating and corporate governance committee charter, code of business conduct and ethics and corporate governance principles.

We do not intend for information contained on our website to be part of this annual report on Form 10-K.  You can also read and copy any materials we file with the SEC at its Public Reference Room at 100 F Street, NE, Washington, DC 20549 (1-800-SEC-0330).

The SEC maintains an Internet site (http://www.

gov) that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC.

Operating Profit We consider operating profit to be an important measure for evaluating our operating performance and we evaluate operating profit for each of the reportable business segments in which we operate.

We internally manage our operations by reference to operating profit with economic resources allocated primarily based on each segment’s contribution to operating profit.

Segment operating profit is defined as operating profit before Corporate Unallocated.

Segment operating profit is not, however, a measure of financial performance under U. S.  GAAP, and may not be defined and calculated by other companies in the same manner.

The table below reconciles segment operating profit to total operating profit:

Answer: 179.0


Question: what will be the percentage increase in rent expense from 2013 to 2014?

def solution():
    # Define variables name and value
    rent_expense_2013 = 94
    rent_expense_2014 = 100

    # Do math calculation to get the answer
    increase_amount = rent_expense_2014 - rent_expense_2013
    answer = (increase_amount / rent_expense_2013) * 100

    return answer

The following table presents the incurred losses and LAE for the U. S.  Reinsurance segment for the periods indicated.

Incurred losses increased by 29.5% to $1,068.5 million in 2016 compared to $825.1 million in 2015, primarily due to an increase of $155.4 million in current year attritional losses, resulting mainly from the impact of the increase in premiums earned and the impact of the new crop reinsurance contract effective upon the sale of Heartland, and $117.4 million in current year catastrophe losses.

The $126.4 million of favorable prior years attritional loss development in 2016 is primarily due to U.

S property and marine business, partially offset by $47.1 million of adverse development on A&E reserves.

There was also an increase in favorable development of $26.1 million on prior years’ catastrophe losses in 2016 compared to 2015.

The $35.3 million of favorable development on prior years catastrophes in 2016 mainly related to the 2011 Japan earthquake ($15.5 million), the 2015 U. S.  storms ($11.6 million) and the 2013 U. S.  storms ($9.6 million).

The $134.1 million of current year catastrophe losses in 2016 related to Hurricane Matthew ($86.2 million), the 2016 U. S.  storms ($20.4 million), 2016 Tennessee wildfire ($14.7 million) and Hurricane Hermine ($13.5 million).

The $16.7 million of current year catastrophe losses in 2015 were mainly due to the US storms ($16.2 million).

Incurred losses decreased by 13.6% to $825.1 million in 2015 compared to $954.5 million in 2014, primarily due to an increase in favorable development of $147.6 million on prior year attritional losses in 2015 compared to 2014 related to treaty property, treaty casualty, marine lines of business and less year over year development on A&E reserves.

This favorable development was partially offset by the increase in current year attritional losses of $7.3 million resulting primarily from $14.2 million related to the explosion at the Chinese port of Tianjin.

Current year catastrophe losses for 2015 are outlined above.

The $12.5 million of current year catastrophe losses in 2014 related to the Japan snowstorm ($7.8 million) and Hurricane Odile ($4.7 million).

Commission and brokerage expenses decreased by 5.5% to $466.0 million in 2016 compared to $493.3 million in 2015.

The decrease is mainly due to the impact of the new crop reinsurance contract effective upon the sale of Heartland, the impact of quota share contracts and changes in the mix of business.

Segment other underwriting expenses increased to $54.1 million in 2016 from $50.1 million in 2015.

The increase was primarily due to the impact of changes in the mix of business and higher compensation costs

The following table displays the estimated components of net earned but not reported premiums by segment for the periods indicated.

Our fixed income investments are classified for accounting purposes as available for sale and are carried at market value or fair value in our consolidated balance sheets.

Our equity securities are all carried at fair value, as of January 1, 2018, due to the adoption of ASU 2016-01.

Most securities we own are traded on national exchanges where market values are readily available.

Some of our commercial mortgage-backed securities (“CMBS”) are valued using cash flow models and risk-adjusted discount rates.

We hold some privately placed securities, less than 2.9% of the portfolio, that are either valued by brokers or investment advisors.

In most instances, values provided by an investment advisor are supported with opinions from qualified independent third parties.

In limited circumstances when broker or investment advisor prices are not available for a private placement, we will value the securities using comparable market information.

At December 31, 2018 and 2017, our investment portfolio included $1,427.8 million and $1,074.6 million, respectively, of limited partnership investments whose values are reported pursuant to the equity method of accounting.

We carry these investments at values provided by the managements of the limited partnerships and due to inherent reporting lags, the carrying values are based on values with “as of” dates from one month to one quarter prior to our financial statement date.

At December 31, 2018, we had net unrealized losses, net of tax, of $179.4 million compared to unrealized gains, net of tax, of $50.0 million at December 31, 2017.

Gains and losses from market fluctuations for investments held at market value are reflected as comprehensive income (loss) in the consolidated balance sheets.

Gains and losses from market fluctuations for investments held at fair value are reflected as net realized capital gains and losses in the consolidated statements of operations and comprehensive income (loss).

Market value declines for the fixed income portfolio, which are considered credit other-thantemporary impairments, are reflected in our consolidated statements of operations and comprehensive income (loss), as realized capital losses.

We consider many factors when determining whether a market value decline is other-than-temporary, including: (1) we have no intent to sell and, more likely than not, will not be required to sell prior to recovery, (2) the length of time the market value has been below book value, (3) the credit strength of the issuer, (4) the issuer’s market sector, (5) the length of time to maturity and (6) for asset-backed securities, changes in prepayments, credit enhancements and underlying default rates.

If management’s assessments change in the future, we may ultimately record a realized loss after management originally concluded that the decline in value was temporary.

See also ITEM 8, “Financial Statements and Supplementary Data” - Note 1 of Notes to the Consolidated Financial Statements.

FINANCIAL CONDITION Cash and Invested Assets.

Aggregate invested assets, including cash and short-term investments, were $18,433.1 million at December 31, 2018, a decrease of $193.5 million compared to $18,626.5 million at December 31, 2017.

This decrease was primarily the result of $329.4 million in fair value remeasurements, $250.9 million of pre-tax unrealized depreciation, $216.2 million paid out in dividends to shareholders, $143.1 million due to fluctuations in foreign currencies, repurchases of 0.3 million common shares for $75.3 million and $8.1 million of other-than-temporary impairments, partially offset by $610.1 million of cash flows from operations, $102.1 million in equity adjustments of our limited partnership investments, $46.1 million of unsettled securities and $29.3 million of amortization bond premium.

Our principal investment objectives are to ensure funds are available to meet our insurance and reinsurance obligations and to maximize after-tax investment income while maintaining a high quality diversified investment portfolio.

Considering these objectives, we view our investment portfolio as having two components: 1) the investments needed to satisfy outstanding liabilities (our core fixed maturities portfolio) and 2) investments funded by our shareholders’ equity.

VISA INC.  NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) September 30, 2013 market condition is based on the Company’s total shareholder return ranked against that of other companies that are included in the Standard & Poor’s 500 Index.

The fair value of the performancebased shares, incorporating the market condition, is estimated on the grant date using a Monte Carlo simulation model.

The grant-date fair value of performance-based shares in fiscal 2013, 2012 and 2011 was $164.14, $97.84 and $85.05 per share, respectively.

Earned performance shares granted in fiscal 2013 and 2012 vest approximately three years from the initial grant date.

Earned performance shares granted in fiscal 2011 vest in two equal installments approximately two and three years from their respective grant dates.

All performance awards are subject to earlier vesting in full under certain conditions.

Compensation cost for performance-based shares is initially estimated based on target performance.

It is recorded net of estimated forfeitures and adjusted as appropriate throughout the performance period.

At September 30, 2013, there was $15 million of total unrecognized compensation cost related to unvested performance-based shares, which is expected to be recognized over a weighted-average period of approximately 1.0 years.

Note 17—Commitments and Contingencies Commitments.

The Company leases certain premises and equipment throughout the world with varying expiration dates.

The Company incurred total rent expense of $94 million, $89 million and $76 million in fiscal 2013, 2012 and 2011, respectively.

Future minimum payments on leases, and marketing and sponsorship agreements per fiscal year, at September 30, 2013, are as follows:

Select sponsorship agreements require the Company to spend certain minimum amounts for advertising and marketing promotion over the life of the contract.

For commitments where the individual years of spend are not specified in the contract, the Company has estimated the timing of when these amounts will be spent.

In addition to the fixed payments stated above, select sponsorship agreements require the Company to undertake marketing, promotional or other activities up to stated monetary values to support events which the Company is sponsoring.

The stated monetary value of these activities typically represents the value in the marketplace, which may be significantly in excess of the actual costs incurred by the Company.

The Company has agreements with financial institution clients and other business partners for various programs designed to build payments volume, increase Visa-branded card and product acceptance and win merchant routing transactions.

These agreements, with original terms ranging from one to thirteen years, can provide card issuance and/or conversion support, volume/growth targets and marketing and program support based on specific performance requirements.

These agreements are designed to encourage client business and to increase overall Visa-branded payment and transaction volume, thereby reducing per-unit transaction processing costs and increasing brand awareness for all Visa clients.

Payments made that qualify for capitalization, and obligations incurred under these programs are reflected on the consolidated balance sheet.

Client incentives are recognized primarily as a reduction

Answer: 6.382978723404255


Question: what percentage where north american consumer packaging net sales of total consumer packaging sales in 2012?

def solution():
    # Define variables name and value
    north_american_consumer_packaging_sales = 2000
    total_consumer_packaging_sales = 3170

    # Do math calculation to get the answer
    answer = (north_american_consumer_packaging_sales / total_consumer_packaging_sales) * 100

    return answer

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS OF AMERICAN AIRLINES GROUP INC.

|| Pension Benefits| Retiree Medical and Other Postretirement Benefits|
|| 2015| 2014| 2015| 2014|
|For plans with accumulated benefit obligations exceeding the fair value of plan assets:|||||
|Projected benefit obligation (PBO)|$16,369|$17,560|$—|$—|
|Accumulated benefit obligation (ABO)|16,357|17,548|—|—|
|Accumulated postretirement benefit obligation (APBO)|—|—|1,129|1,324|
|Fair value of plan assets|9,677|10,950|253|244|
|ABO less fair value of plan assets|6,680|6,598|—|—|

(1) At December 31, 2015, certain trust assets totaling approximately $24 million, were added to the retiree medical plan asset values that were previously offset against the benefit obligation.

(2) The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service costs.

The 2014 noncurrent liability does not include $18 million of other postretirement benefits or $2 million of prior service costs.

The following tables provide the components of net periodic benefit cost (income) for the years ended December 31, 2015, 2014 and 2013 (in millions):

||Pension Benefits|Retiree Medical and OtherPostretirement Benefits|
||2015|2014|2013|2015|2014|2013|
|Defined benefit plans:|||||||
|Service cost|$2|$3|$3|$3|$1|$—|
|Interest cost|737|746|654|50|61|50|
|Expected return on assets|-851|-786|-720|-19|-19|-16|
|Curtailments|—|—|2|—|—|—|
|Settlements|1|4|-1|—|—|—|
|Amortization of:|||||||
|Prior service cost (benefit) (1)|28|28|28|-243|-244|-251|
|Unrecognized net loss (gain)|112|43|90|-9|-8|-9|
|Net periodic benefit cost (income) for defined benefit plans|29|38|56|-218|-209|-226|
|Defined contribution plans|662|546|328|N/A|N/A|N/A|
||$691|$584|$384|$-218|$-209|$-226|

(1) The 2015 prior service cost does not include amortization of $3 million related to other postretirement benefits.

The 2014 prior service cost does not include amortization of $14 million related to other postretirement benefits.

The estimated amount of unrecognized net loss for the defined benefit pension plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next fiscal year is $126 million.

The estimated amount of unrecognized net gain for the retiree medical and other postretirement plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next fiscal year is $16 million.

Table of Contents The components of total net special charges (credits) in our accompanying consolidated statements of operations are as follows (in millions):

||Year Ended December 31,|
|2015| 2014|2013|
|Other revenue special item, net -1|$—|$—|$-31|
|Mainline operating special items, net -2|1,051|800|559|
|Regional operating special items, net -3|29|24|8|
|Nonoperating special items, net -4|594|132|211|
|Reorganization items, net -5|—|—|2,655|
|Income tax special items, net -6|-3,015|346|-324|
|Total|$-1,341|$1,302|$3,078|

(1) In 2013, other revenue special item, net included a credit to other revenues related to a change in accounting method resulting from the modification of American’s AAdvantage miles agreement with Citibank.

(2) In 2015, mainline operating special items, net principally included $1.0 billion of merger integration expenses related to information technology, alignment of labor union contracts, professional fees, severance, share-based compensation, fleet restructuring, re-branding of aircraft and airport facilities, relocation and training.

In 2014, mainline operating special items, net principally included $810 million of merger integration expenses related to information technology, alignment of labor union contracts, professional fees, severance and retention, share-based compensation, divestiture of London Heathrow slots, fleet restructuring, re-branding of aircraft and airport facilities, relocation and training.

In addition, we recorded a net charge of $81 million for bankruptcy related items principally consisting of fair value adjustments for bankruptcy settlement obligations and an $81 million charge to revise prior estimates of certain aircraft residual values and other spare parts asset impairments.

These charges were offset in part by a $309 million gain on the sale of slots at DCA.

In 2013, mainline operating special items, net included $443 million of merger related expenses related to the alignment of labor union contracts, professional fees, severance, share-based compensation and fees for US Airways to exit the Star Alliance and its codeshare agreement with United Airlines.

In addition, we recorded a $107 million charge related to American’s pilot long-term disability obligation, a $43 million charge for workers’ compensation claims and a $33 million aircraft impairment charge.

These charges were offset in part by a $67 million gain on the sale of slots at LGA.

(3) The 2015 regional operating special items, net principally related to merger integration expenses.

The 2014 regional operating special items, net consisted primarily of a $24 million charge due to a new pilot labor contract at our Envoy regional subsidiary as well as $7 million of merger integration expenses, offset in part by an $8 million gain on the sale of certain spare parts.

(4) In 2015, nonoperating special items, net principally included a $592 million charge to write off all of the value of Venezuelan bolivars held by us due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

In 2014, nonoperating special items, net principally included a $43 million charge for Venezuelan foreign currency losses, $56 million of early debt extinguishment costs primarily related to the prepayment of 7.50% senior secured notes and other indebtedness and $33 million of non-cash interest accretion on bankruptcy settlement obligations.

In 2013, nonoperating special items, net consisted of interest charges of $138 million primarily to recognize post-petition interest expense on unsecured obligations pursuant to the Plan and penalty interest related to 10.5% secured notes and 7.50% senior secured notes, a $54 million charge related to the premium on tender for existing EETC financings and the write-off of debt issuance costs and $19 million in charges related to the repayment of existing EETC financings.

Table of Contents The components of American’s total net special charges (credits) included in American’s accompanying consolidated statements of operations are as follows (in millions):

||Year Ended December 31,|
||2015| 2014|2013|
|Other revenue special item, net -1|$—|$—|$-31|
|Mainline operating special items, net -2|1,051|783|559|
|Regional operating special items, net -3|18|5|—|
|Nonoperating special items, net -4|616|128|121|
|Reorganization items, net -5|—|—|2,640|
|Income tax special items, net -6|-3,468|344|-324|
|Total|$-1,783|$1,260|$2,965|

In 2014, mainline operating special items, net principally included $803 million of merger integration expenses related to information technology, alignment of labor union contracts, professional fees, severance and retention, share-based compensation, divestiture of London Heathrow slots, fleet restructuring, re-branding of aircraft and airport facilities, relocation and training.

In addition, American recorded a net charge of $60 million for bankruptcy related items principally consisting of fair value adjustments for bankruptcy settlement obligations and an $81 million charge to revise prior estimates of certain aircraft residual values and other spare parts asset impairments.

These charges were offset in part by a $309 million gain on the sale of slots at DCA.

In 2013, mainline operating special items, net principally included $443 million of merger related expenses related to the alignment of labor union contracts, professional fees, severance, share-based compensation and fees for US Airways to exit the Star Alliance and its codeshare agreement with United Airlines.

In addition,American recorded a $107 million charge related to American’s pilot long-term disability obligation, a $43 million charge for workers’ compensation claims and a $33 million aircraft impairment charge.

These charges were offset in part by a $67 million gain on the sale of slots at LGA.

(3) The 2015 and 2014 regional operating special items, net principally related to merger integration expenses.

(4) In 2015, nonoperating special items, net principally included a $592 million charge to write off all of the value of Venezuelan bolivars held by American due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

In 2014, nonoperating special items, net principally included a $43 million charge for Venezuelan foreign currency losses, $56 million of early debt extinguishment costs primarily related to the prepayment of 7.50% senior secured notes and other indebtedness and $29 million of non-cash interest accretion on bankruptcy settlement obligations.

In 2013, nonoperating special items, net consisted of interest charges of $48 million primarily to recognize post-petition interest expense on unsecured obligations pursuant to the Plan and penalty interest related to 10.5% secured notes and 7.50% senior secured notes, a $54 million charge related to the premium on tender for existing EETC financings and the write-off of debt issuance costs and $19 million in charges related to the repayment of existing EETC financings.

(5) In 2013, American recognized reorganization expenses as a result of the filing of voluntary petitions for relief under Chapter 11.

These amounts consisted primarily of estimated allowed claim amounts and professional fees.

freesheet paper were higher in Russia, but lower in Europe reflecting weak economic conditions and market demand.

Average sales price realizations for pulp decreased.

Lower input costs for wood and purchased fiber were partially offset by higher costs for energy, chemicals and packaging.

Planned maintenance downtime costs were higher due to executing a significant once-every-ten-years maintenance outage plus the regularly scheduled 18-month outage at the Saillat mill while outage costs in Russia and Poland were lower.

Manufacturing operating costs were favorable.

Entering 2013, sales volumes in the first quarter are expected to be seasonally weaker in Russia, but about flat in Europe.

Average sales price realizations for uncoated freesheet paper are expected to decrease in Europe, but increase in Russia.

Input costs should be higher in Russia, especially for wood and energy, but be slightly lower in Europe.

No maintenance outages are scheduled for the first quarter.

Indian Papers includes the results of Andhra Pradesh Paper Mills (APPM) of which a 75% interest was acquired on October 14, 2011.

Net sales were $185 million in 2012 and $35 million in 2011.

Operating profits were a loss of $16 million in 2012 and a loss of $3 million in 2011.

Asian Printing Papers net sales were $85 million in 2012, $75 million in 2011 and $80 million in 2010.

Operating profits were improved from breakeven in past years to $1 million in 2012.

U. S.  Pulp net sales were $725 million in 2012 compared with $725 million in 2011 and $715 million in 2010.

Operating profits were a loss of $59 million in 2012 compared with gains of $87 million in 2011 and $107 million in 2010.

Sales volumes in 2012 increased from 2011 primarily due to the start-up of pulp production at the Franklin mill in the third quarter of 2012.

Average sales price realizations were significantly lower for both fluff pulp and market pulp.

Input costs were lower, primarily for wood and energy.

Mill operating costs were unfavorable primarily due to costs associated with the start-up of the Franklin mill.

Planned maintenance downtime costs were lower.

In the first quarter of 2013, sales volumes are expected to be flat with the fourth quarter of 2012.

Average sales price realizations are expected to improve reflecting the realization of sales price increases for paper and tissue pulp that were announced in the fourth quarter of 2012.

Planned maintenance downtime costs should be about $9 million higher than in the fourth quarter of 2012.

Manufacturing costs related to the Franklin mill should be lower as we continue to improve operations.

Consumer Packaging Demand and pricing for Consumer Packaging products correlate closely with consumer spending and general economic activity.

In addition to prices and volumes, major factors affecting the profitability of Consumer Packaging are raw material and energy costs, freight costs, manufacturing efficiency and product mix.

Consumer Packaging net sales in 2012 decreased 15% from 2011 and 7% from 2010.

Operating profits increased 64% from 2011 and 29% from 2010.

Net sales and operating profits include the Shorewood business in 2011 and 2010.

Excluding asset impairment and other charges associated with the sale of the Shorewood business, and facility closure costs, 2012 operating profits were 27% lower than in 2011, but 23% higher than in 2010.

Benefits from lower raw material costs ($22 million), lower maintenance outage costs ($5 million) and other items ($2 million) were more than offset by lower sales price realizations and an unfavorable product mix ($66 million), lower sales volumes and increased market-related downtime ($22 million), and higher operating costs ($40 million).

In addition, operating profits in 2012 included a gain of $3 million related to the sale of the Shorewood business while operating profits in 2011 included a $129 million fixed asset impairment charge for the North American Shorewood business and $72 million for other charges associated with the sale of the Shorewood business.

North American Consumer Packaging net sales were $2.0 billion in 2012 compared with $2.5 billion in 2011 and $2.4 billion in 2010.

Operating profits were $165 million ($162 million excluding a gain related to the sale of the Shorewood business) in 2012 compared with $35 million ($236 million excluding asset impairment and other charges associated with the sale of the Shorewood business) in 2011 and $97 million ($105 million excluding facility closure costs) in 2010.

Coated Paperboard sales volumes in 2012 were lower than in 2011 reflecting weaker market demand.

Average sales price realizations were lower, primarily for folding carton board.

Input costs for wood increased, but were partially offset by lower costs for chemicals and energy.

Planned maintenance downtime costs were slightly lower.

Market-related downtime was about 113,000 tons in 2012 compared with about 38,000 tons in 2011.

Answer: 63.09148264984227


Question: What's the current growth rate of Projected benefit obligation at beginning of year of Con Edison?

def solution():
    # Define variables name and value
    con_edison_2015 = 15081
    con_edison_2014 = 12197

    # Do math calculation to get the answer
    increase = con_edison_2015 - con_edison_2014
    growth_rate = increase / con_edison_2014

    return growth_rate

(a) Relates to an increase in CECONY’s pension obligation of $45 million from a 1999 special retirement program.

Funded Status The funded status at December 31, 2015, 2014 and 2013 was as follows:

The decrease in the pension plan’s projected benefit obligation (due primarily to increased discount rates) was the primary cause of the decreased pension liability at Con Edison and CECONY of $968 million and $899 million, respectively, compared with December 31, 2014.

For Con Edison, this decrease in pension liability corresponds with a decrease to regulatory assets of $967 million for unrecognized net losses and unrecognized prior service costs associated with the Utilities consistent with the accounting rules for regulated operations, a credit to OCI of $10 million (net of taxes) for the unrecognized net losses, and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses and O&R’s New Jersey and Pennsylvania utility subsidiaries.

For CECONY, the decrease in pension liability corresponds with a decrease to regulatory assets of $911 million for unrecognized net losses and unrecognized prior service costs consistent with the accounting rules for regulated operations, a credit to OCI of $1 million (net of taxes) for unrecognized net losses, and an immaterial change to OCI (net of taxes) for the unrecognized prior service costs associated with the competitive energy businesses.

A portion of the unrecognized net loss and prior service cost for the pension plan, equal to $603 million and $4 million, respectively, will be recognized from accumulated OCI and the regulatory asset into net periodic benefit cost over the next year for Con Edison.

Included in these amounts are $570 million and $2 million, respectively, for CECONY.

At December 31, 2015 and 2014, Con Edison’s investments include $243 million and $225 million, respectively, held in external trust accounts for benefit payments pursuant to the supplemental retirement plans.

Included in these amounts for CECONY were $221 million and $208 million, respectively.

See Note P.  The accumulated benefit obligations for the supplemental retirement plans for Con Edison and CECONY were $285 million and $249 million as of December 31, 2015 and $289 million and $250 million as of December 31, 2014, respectively

Contract options in our defense businesses represent agreements to perform additional work beyond the products and services associated with firm contracts, if the customer exercises the option.

These options are negotiated in conjunction with a firm contract and provide the terms under which the customer may elect to procure additional units or services at a future date.

Contract options in the Aerospace group represent options to purchase new aircraft and long-term agreements with fleet customers.

We recognize options in backlog when the customer exercises the option and establishes a firm order.

On December 31, 2009, the estimated potential value associated with these IDIQ contracts and contract options was approximately $17.6 billion, up from $16.8 billion at the end of 2008.

This represents our estimate of the potential value we will receive.

The actual amount of funding received in the future may be higher or lower.

We expect to realize this value over the next 10 to 15 years.

REVIEW OF OPERATING SEGMENTS AEROSPACE Review of 2009 vs.  2008

The Aerospace group’s revenues decreased in 2009, the net result of a 24 percent decline in Gulfstream revenues that was offset in part by revenues from Jet Aviation, which we acquired in the fourth quarter of 2008.

The combination of the global economic deterioration and credit crisis along with negative business-jet rhetoric had a significant impact on the business-jet market in 2009.

To adjust to the economic conditions and weakened demand, we reduced Gulfstream’s 2009 aircraft production and delivery schedule, primarily in the group’s midsize models, to bridge the market downturn.

This included a five-week furlough at the group’s production center in Savannah, Georgia, in July and August.

As a result, aircraft-manufacturing revenues decreased 28 percent in 2009 compared with 2008.

The economic environment also impacted the group’s aircraft services business.

Organic aircraftservices revenues were down 15 percent in 2009 resulting from reduced flying hours and customer deferral of aircraft maintenance.

The decline in aircraft manufacturing and services revenues was slightly offset by higher pre-owned aircraft revenues in 2009.

The group sold six pre-owned aircraft for $124 in 2009 compared with two sales for $18 in 2008.

The group’s operating earnings declined in 2009 compared with 2008 due primarily to the factors noted above.

The components of the reduction in earnings were as follows:

|Aircraft manufacturing and completions|$-220|
|Pre-owned aircraft|-18|
|Aircraft services|1|
|Other|-77|
|Total decrease in operating earnings|$-314|

The net decrease in the group’s aircraft manufacturing and completions earnings in 2009 resulted from the reduction in Gulfstream aircraft deliveries offset in part by the addition of Jet Aviation’s aircraft completions and refurbishing business.

The earnings decline associated with the decreased Gulfstream volume was mitigated by cost-reduction initiatives, a shift in the mix of aircraft deliveries toward large-cabin aircraft, and liquidated damages collected on defaulted aircraft contracts.

As a result, aircraft manufacturing margins increased in 2009 over 2008 despite the decline in volume during the year.

The group continues to focus on reducing costs through production improvements and operational efficiencies to maintain aircraft-manufacturing margins.

In late 2008 and early 2009, the supply in the global pre-owned aircraft market increased significantly, putting considerable pressure on pricing.

As a result, the group wrote down the carrying value of its preowned aircraft inventory in 2009.

Pricing in the pre-owned market appears to have stabilized in the second half of 2009, particularly for large-cabin aircraft.

The group continues to work to minimize its preowned aircraft exposure, with four pre-owned aircraft valued at $60 remaining in inventory at the end of 2009.

Aircraft services earnings were steady in 2009 compared with 2008 as the addition of Jet Aviation’s maintenance and repair activities, fixedbase operations and aircraft management services offset a decrease in organic aircraft services earnings.

A significant reduction in flight hours in the business-jet market put competitive pressure on aircraft maintenance and repair earnings in 2009.

The group’s operating earnings also were impacted negatively in 2009 by severance costs associated with workforce reduction activities and intangible asset amortization related to the Jet Aviation acquisition.

The factors discussed above and the addition of lower-margin Jet Aviation business caused the group’s overall operating margins to decrease 480 basis points in 2009 compared with 2008.

Overview Vornado Realty Trust (“Vornado”) is a fully-integrated real estate investment trust (“REIT”) and conducts its business through, and substantially all of its interests in properties are held by, Vornado Realty L. P. , a Delaware limited partnership (the “Operating Partnership”).

Accordingly, Vornado’s cash flow and ability to pay dividends to its shareholders is dependent upon the cash flow of the Operating Partnership and the ability of its direct and indirect subsidiaries to first satisfy their obligations to creditors.

Vornado is the sole general partner of, and owned approximately 93.5% of the common limited partnership interest in the Operating Partnership at December 31, 2011.

All references to “we,” “us,” “our,” the “Company” and “Vornado” refer to Vornado Realty Trust and its consolidated subsidiaries, including the Operating Partnership.

We own and operate office, retail and showroom properties (our “core” operations) with large concentrations of office and retail properties in the New York City metropolitan area and in the Washington, DC / Northern Virginia area.

In addition, we have a 32.7% interest in Toys “R” Us, Inc.  (“Toys”) which has a significant real estate component, a 32.4% interest in Alexander’s, Inc.  (NYSE: ALX) (“Alexander’s”), which has seven properties in the greater New York metropolitan area, as well as interests in other real estate and related investments.

Our business objective is to maximize shareholder value, which we measure by the total return provided to our shareholders.

Below is a table comparing our performance to the Morgan Stanley REIT Index (“RMS”) and the SNL REIT Index (“SNL”) for the following periods ended December 31, 2011:

We intend to achieve our business objective by continuing to pursue our investment philosophy and executing our operating strategies through: ?

Maintaining a superior team of operating and investment professionals and an entrepreneurial spirit; ?

Investing in properties in select markets, such as New York City and Washington, DC, where we believe there is a high likelihood of capital appreciation; ?

Acquiring quality properties at a discount to replacement cost and where there is a significant potential for higher rents; ?

Investing in retail properties in select under-stored locations such as the New York City metropolitan area; ?

Developing and redeveloping existing properties to increase returns and maximize value; and ?

Investing in operating companies that have a significant real estate component.

We expect to finance our growth, acquisitions and investments using internally generated funds, proceeds from possible asset sales and by accessing the public and private capital markets.

We may also offer Vornado common or preferred shares or Operating Partnership units in exchange for property and may repurchase or otherwise reacquire these securities in the future.

We compete with a large number of real estate property owners and developers, some of which may be willing to accept lower returns on their investments than we are.

Principal factors of competition include rents charged, attractiveness of location, the quality of the property and the breadth and the quality of services provided.

Our success depends upon, among other factors, trends of the national, regional and local economies, the financial condition and operating results of current and prospective tenants and customers, availability and cost of capital, construction and renovation costs, taxes, governmental regulations, legislation and population trends.

See “Risk Factors” in Item 1A for additional information regarding these factors.

Costs under the Transformational Cost Management Program, which were primarily recorded in selling, general and administrative expenses and included in the fiscal year ended August 31, 2019 were as follows (in millions):

Answer: 0.2364515864556858