AutoNation 2000 Annual Report Download - page 57

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4. INCOME TAXES -- (Continued)
Over the past four years, the Company has engaged in certain transactions
that are of a type that the Internal Revenue Service has recently indicated it
intends to challenge. The Company believes that its tax returns appropriately
reflect such transactions. At the present time, it is impossible to predict the
outcome of any challenge if the IRS determines to challenge the tax reporting
of such transactions.
5. OTHER COMPREHENSIVE INCOME
The changes in the components of other comprehensive income (loss), net of
income taxes, are as follows for the years ended December 31:
2000 1999 1998
------------------------------- ------------------------------- -----------------------------
Pre-Tax Tax Net Pre-Tax Tax Net Pre-Tax Tax Net
Amount Effect Amount Amount Effect Amount Amount Effect Amount
----------- -------- ---------- --------- ---------- ---------- --------- -------- ----------
Foreign currency
translation
adjustments(1) ............... $ 6.4 $ -- $ 6.4 $ (1.9) $ -- $ (1.9) $ (1.6) $ -- $ (1.6)
Unrealized gain (loss) on
marketable securities and
interest-only strips ......... (14.2) 5.3 (8.9) 23.1 (8.3) 14.8 .7 (.2) .5
Reclassification of realized
losses (gains) ............... (7.1) 4.0 (3.1) (3.0) 1.0 (2.0) (.4) .1 (.3)
------- ---- ------ ------- ------ ------- ------ ----- ------
Other comprehensive
income (loss) ................ $ (14.9) $ 9.3 $ (5.6) $ 18.2 $ (7.3) $ 10.9 $ (1.3) $ (.1) $ (1.4)
======= ===== ====== ======= ====== ======= ====== ===== ======
----------
(1) Foreign currency translation adjustments relate to the Company's former
automotive rental businesses.
Accumulated other comprehensive income (loss) consists of the following at
December 31:
2000 1999
-------- ---------
Foreign currency translation adjustments .............................. $ -- (6.4)
Unrealized gain on marketable securities and interest-only strips ..... 1.0 13.0
---- ----
$ 1.0 $ 6.6
===== ======
6. SHAREHOLDERS' EQUITY
During the year ended December 31, 2000, the Company repurchased 27.6
million shares of its common stock, par value $.01 per share, under its Board
authorized share repurchase program for an aggregate purchase price of $188.9
million. The Company repurchased 91.0 million shares of common stock during
1999 for an aggregate purchase price of $1.16 billion. The Company repurchased
9.1 million shares of common stock during 1998 for an aggregate purchase price
of $136.0 million. Through December 31, 2000, an aggregate of 127.7 million
shares of common stock have been repurchased under the Company's share
repurchase programs, authorized by the Company's Board of Directors in 1998 and
1999, for an aggregate purchase price of $1.48 billion. As of March 26, 2001,
the Company repurchased an additional 10.9 million shares of common stock for