ADT 2007 Annual Report Download - page 252

TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
20. Comprehensive Income
The components of accumulated other comprehensive income are as follows ($ in millions):
Unrealized
(Loss) Gain Accumulated
Unrealized on Derivative Minimum Other
Currency (Loss) Gain on Financial Pension Comprehensive
Translation(1) Securities(2) Instruments Liability(3) Income
Balance at September 30, 2004 . . . $ 1,255 $— $(2) $(734) $ 519
Pretax current period change . . . (56) (4) 1 (279) (338)
Income tax benefit (expense) . . . — 1 (1) 79 79
Balance at September 30, 2005 . . . 1,199 (3) (2) (934) 260
Pretax current period change . . . 606 1 1 211 819
Income tax expense ......... — — — (62) (62)
Balance at September 29, 2006 . . . 1,805 (2) (1) (785) 1,017
Pretax current period change . . . 883 3 1 215 1,102
Income tax expense ......... — (1) — (77) (78)
Distribution of Covidien and
Tyco Electronics .......... (1,797) — — 321 (1,476)
Balance at September 28, 2007 . . . $ 891 $— $— $(326) $ 565
(1) During the year ended September 28, 2007, $6 million was transferred from currency translation adjustments as a result of
the sale of foreign entities. This amount is included in income from discontinued operations. During the year ended
September 29, 2006, $34 million was transferred from currency translation adjustments as a result of the sale of foreign
entities. This amount is included in income from discontinued operations. During the year ended September 30, 2005, $48
million was transferred from currency translation adjustments and included in income from discontinued operations.
(2) The years ended September 29, 2006 and September 30, 2005 include a reclassification of unrealized gains of $1 million and
$2 million, respectively, related to the sale of certain investments which is included in income from discontinued operations.
(3) The year ended September 28, 2007 reflects the adoption of SFAS No. 158 of $181 million (pre-tax) and $70 million of
income tax expense.
21. Consolidated Segment and Geographic Data
Segment information is consistent with how management reviews the businesses, makes investing
and resource allocation decisions and assesses operating performance. In connection with the
Separation, the Company has realigned its management and segment reporting structure effective
March 31, 2007. The segment data presented reflects this new segment structure. The Company reports
financial and operating information in the following five segments:
•ADT Worldwide designs, sells, installs, services and monitors electronic security systems to
residential, commercial, industrial and governmental customers.
•Fire Protection Services designs, sells, installs and services fire detection and fire suppression
systems to commercial, industrial and governmental customers.
•Flow Control designs, manufactures, sells and services valves, pipes, fittings, valve automation
and heat tracing products for the water and wastewater markets, the oil, gas and other energy
markets along with general process industries.
160 2007 Financials