1. 2001 Summary of Reconciling Items
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($ U.S. millions) Q1 01 Q2 01 Q3 01 Q4 01 FY 01
-
Reorganization costs (1) $ 41.4
$ 10.6
$ 19.1 $ 11.7
$
Other major-program costs included in:
- -
- -
-
Selling, general and administrative expenses
- -
Cost of sales - -
-
Special items (2) - 19.4 3.5 22.9
-
64.3
14.1
19.1
Operating income items - 31.1
- 4.2 - - 4.2
Loss on repurchase of debentures
- 23.3 31.1 14.1 68.5
Pre-tax items
Provisions for taxes:
Tax effect on pre-tax items - (8.7) (12.3) (5.4) (26.4)
$ 42.1
Total net of tax $ 8.7
14.6
$ $ 18.8
-
$
(1) Reorganization costs of $19.1 ($18.2 in North America and $0.9 in Europe) in Q2 01 represent employee termination benefits for workforce reductions, lease exit costs for facility
consolidations and other costs associated with the reorganization activities for both North America and Europe.
Reorganization costs of $11.7 ($6.7 in North America, $4.3 in Europe and $0.7 in Asia-Pacific) in Q3 01 represent employee termination benefits for workforce reductions in North
America, Europe and Asia-Pacific, lease exit costs for facility consolidations in North America and Europe and other costs associated with the reorganization activities in Europe.
Reorganization costs of $10.6 ($1.2 in North America, $8.4 in Europe $0.6 in Asia-Pacific and $0.4 in Latin America) in Q4 01 represent employee termination benefits for
workforce reductions worldwide and lease exit costs for facility consolidations and other costs associated with the reorganization activities primarily in Europe.
(2) Special items in Q3 01 include $10.2 for the write-off of capitalized software in North America and $9.2 write-off of insurance claims with an independent and unrelated former
credit insurer ($5.2 in North America and $4.0 in Latin America).
Special items in Q4 01 represent $3.5 impairment charge to reduce the Company’s minority equity investment in an Internet-related company in North America.
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