ADT 2000 Annual Report Download - page 38

THIRTY SIX
Selected Financial Data
The following table sets forth selected consolidated financial information of Tyco as at and for the fiscal years ended September 30, 2000,
1999 and 1998, the nine-month fiscal period ended September 30, 1997 and the year ended December 31, 1996. This selected financial
information should be read in conjunction with Tyco’s Consolidated Financial Statements and related notes. The selected financial data
reflect the combined results of operations and financial position of Tyco, Former Tyco, Keystone, Inbrand (from January 1, 1997), USSC
and AMP restated for all periods presented pursuant to the pooling of interests method of accounting. The selected financial data prior to
January 1, 1997 do not reflect the results of operations and financial position of Inbrand, which was acquired in 1997 and accounted for
under the pooling of interests method of accounting, due to immateriality. See Notes 1 and 2 to the Consolidated Financial Statements.
NINE MONTH S
YEAR ENDED ENDED YEAR ENDED
SEPTEMBER 3 0 , SEPTEMBER 3 0 , DECEMBER 3 1 ,
(I N MILLI ONS, EXCEPT PER SHARE DATA) 2 0 0 0 (1 ) 1 9 9 9 (2 ) 1 9 9 8 (3 ) 1 9 9 7 (4 )( 5 ) 1 9 9 6 (6 ) (7 )
Consolidated Statements of Operations Data:
Net sales $28,931.9 $22,496.5 $19,061.7 $12,742.5 $14,671.0
Operating income 5 ,4 7 4 .4 2,190.8 1,948.1 125.8 587.4
Income (loss) from continuing operations 4 ,5 2 0 .1 1,067.7 1,168.6 (348.5) 49.4
Income (loss) from continuing operations per common share:
Basic 2 .6 8 0.65 0.74 (0.24) 0.02
Diluted 2 .6 4 0.64 0.72 (0.24) 0.02
Cash dividends per common share(8) See (9) below.
Consolidated Balance Sheet Data (End of Period):
Total assets $40,404.3 $32,344.3 $23,440.7 $16,960.8 $14,686.2
Long-term debt 9 ,4 6 1 .8 9,109.4 5,424.7 2,785.9 2,202.4
Shareholders’ equity 1 7 ,0 3 3 .2 12,369.3 9,901.8 7,478.7 7,022.6
(1) Operating income in the fiscal year ended September 30, 2000 includes a net charge of $176.3 million, of which $1.0 million is included in cost of sales, for restructuring and other non-recurring
charges, and charges of $99.0 million for the impairment of long-lived assets. See Notes 12 and 16 to the Consolidated Financial Statements. Income from continuing operations for the fiscal year ended
September 30, 2000 includes a one-time pre-tax gain of $1,760.0 million related to the issuance of common shares by a subsidiary. See Note 15 to the Consolidated Financial Statements.
(2) Operating income in the fiscal year ended September 30, 1999 is net of charges of $1,035.2 million for merger, restructuring and other non-recurring charges, of which $106.4 million is included
in cost of sales, and charges of $507.5 million for the impairment of long-lived assets related to the mergers with USSC and AMP and AMP’s profit improvement plan. See Notes 12 and 16 to the
Consolidated Financial Statements.
(3) Operating income in the fiscal year ended September 30, 1998 is net of charges of $80.5 million primarily related to costs to exit certain businesses in USSC’s operations and restructuring charges
of $12.0 million related to the continuing operations of USSC. In addition, AMP recorded restructuring charges of $185.8 million in connection with its profit improvement plan and a credit of $21.4 million
to restructuring charges representing a revision of estimates related to its 1996 restructuring activities. See Note 16 to the Consolidated Financial Statements.
(4) In September 1997, Tyco changed its fiscal year end from December 31 to September 30. Accordingly, the nine-month transition period ended September 30, 1997 is presented.
(5) Operating income in the nine months ended September 30, 1997 is net of charges related to merger, restructuring and other non-recurring costs of $917.8 million and impairment of long-lived assets
of $148.4 million primarily related to the mergers and integration of ADT, Former Tyco, Keystone, and Inbrand, and charges of $24.3 million for litigation and other related costs and $5.8 million for
restructuring charges in USSC’s operations. The results for the nine months ended September 30, 1997 also include a charge of $361.0 million for the write-off of purchased in-process research and
development related to the acquisition of the submarine systems business of AT&T Corp.
(6) Prior to their respective mergers, ADT, Keystone, USSC and AMP had December 31 fiscal year ends and Former Tyco had a June 30 fiscal year end. The selected consolidated financial data have
been combined using a December 31 fiscal year end for ADT, Keystone, Former Tyco, USSC and AMP for the year ended December 31, 1996.
(7) Operating income in 1996 includes non-recurring charges of $744.7 million related to the adoption of Statement of Financial Accounting Standards No. 121 “Accounting for the Impairment of Long-
Lived Assets to Be Disposed Of,” $237.3 million related principally to the restructuring of ADT’s electronic security services business in the United States and United Kingdom, $98.0 million to exit var-
ious product lines and manufacturing operations associated with AMP’s operations and $8.8 million of fees and expenses related to ADT’s acquisition of Automated Security (Holdings) plc, a United
Kingdom company.
(8) Per share amounts have been retroactively restated to give effect to the mergers with Former Tyco, Keystone, Inbrand, USSC and AMP; a 0.48133 reverse stock split (1.92532 after giving effect to
the subsequent stock splits) effected on July 2, 1997; and two-for-one stock splits distributed on October 22, 1997 and October 21, 1999, both of which were effected in the form of a stock dividend.
(9) Tyco has paid a quarterly cash dividend of $0.0125 per common share since July 2, 1997, the date of the Former Tyco/ADT merger. Prior to the merger with ADT, Former Tyco had paid a quarterly cash
dividend of $0.0125 per share of common stock since Januar y 1992. ADT had not paid any dividends on its common shares since 1992. USSC paid quarterly dividends of $0.04 per share in the year
ended September 30, 1998 and the nine months ended September 30, 1997 and aggregate dividends of $0.08 per share in 1996. AMP paid dividends of $0.27 per share in the first two quarters of the
year ended September 30, 1999, $0.26 per share in the first quarter and $0.27 per share in the last three quarters of the year ended September 30, 1998, $0.26 per share in each of the three quarters
of the nine months ended September 30, 1997 and aggregate dividends of $1.00 per share in 1996. The payment of dividends by Tyco in the future will depend on business conditions, Tyco’s financial
condition and earnings and other factors.