ADT 2006 Annual Report Download - page 228

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TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
28. Subsequent Events
On October 27, 2006, the Company completed the sale of its PCG business, which was part of the
Electronics segment, for $226 million and expects to record a gain on the sale of approximately
$45 million.
On October 27, 2006, Mark H. Swartz, former Chief Financial Officer and Director, paid
restitution to the Company in the amount of $38 million. In addition, on November 17, 2006, the
Supreme Court of the State of New York ordered $98 million to be released from an escrow account
under the supervision of the Manhattan District Attorney to Tyco on January 2, 2007 in relation to the
restitution owed by L. Dennis Kozlowski, former Chairman and Chief Executive Officer.
On October 31, 2006, the Company exercised its right to buy five cable laying sea vessels that were
previously included under an off-balance sheet leasing arrangement for $280 million.
In November 2006, the Company announced that it has launched a restructuring program across
all segments including the corporate organization which will streamline some of the businesses and
reduce Tyco’s operational footprint. The Company obtained approval from the Board of Directors for
up to $600 million over the next two years for related costs.
Through December 8, 2006, the Company repurchased an additional 9.2 million of its common
shares for $279 million under the $2.0 billion share repurchase program approved by the Board of
Directors in May 2006.
166 2006 Financials