Cisco 2012 Annual Report Download - page 127

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(d) Preferred Stock
Under the terms of the Company’s Articles of Incorporation, the Board of Directors may determine the rights,
preferences, and terms of the Company’s authorized but unissued shares of preferred stock.
(e) Comprehensive Income
The components of comprehensive income, net of tax, are as follows (in millions):
Years Ended July 28, 2012 July 30, 2011 July 31, 2010
Net income ................................................. $8,041 $6,490 $7,767
Net change in unrealized gains/losses on available-for-sale investments:
Change in net unrealized (losses) gains, net of tax benefit (expense)
of $6, $(151), and $(199) for fiscal 2012, 2011, and 2010,
respectively .......................................... (31) 281 334
Net (gains) losses reclassified into earnings, net of tax effects of $36,
$68, and $17 for fiscal 2012, 2011, and 2010, respectively ...... (65) (112) (151)
(96) 169 183
Net change in unrealized gains/losses on derivative instruments:
Change in derivative instruments, net of tax benefit (expense) of
$0, $0 and $(9) for fiscal 2012, 2011, and 2010, respectively . . . (131) 87 46
Net losses (gains) reclassified into earnings ................... 72 (108) 2
(59) (21) 48
Net change in cumulative translation adjustment and other, net of tax
benefit (expense) of $36, $(34), and $(9) for fiscal 2012, 2011, and
2010, respectively ......................................... (496) 538 (55)
Comprehensive income ............................... 7,390 7,176 7,943
Comprehensive loss (income) attributable to noncontrolling interests . . . 18 (15) 12
Comprehensive income attributable to Cisco Systems, Inc. . . . $7,408 $7,161 $7,955
The components of AOCI, net of tax, are summarized as follows (in millions):
July 28, 2012 July 30, 2011 July 31, 2010
Net unrealized gains on investments ................................ $409 $ 487 $333
Net unrealized (losses) gains on derivative instruments ................. (53) 627
Cumulative translation adjustment and other .......................... 305 801 263
Total ..................................................... $661 $1,294 $623
14. Employee Benefit Plans
(a) Employee Stock Incentive Plans
Stock Incentive Plan Program Description As of July 28, 2012, the Company had five stock incentive plans: the
2005 Stock Incentive Plan (the “2005 Plan”); the 1996 Stock Incentive Plan (the “1996 Plan”); the 1997
Supplemental Stock Incentive Plan (the “Supplemental Plan”); the Cisco Systems, Inc. SA Acquisition Long-
Term Incentive Plan (the “SA Acquisition Plan”); and the Cisco Systems, Inc. WebEx Acquisition Long-Term
Incentive Plan (the “WebEx Acquisition Plan”). In addition, the Company has, in connection with the
acquisitions of various companies, assumed the share-based awards granted under stock incentive plans of the
acquired companies or issued share-based awards in replacement thereof. Share-based awards are designed to
reward employees for their long-term contributions to the Company and provide incentives for them to remain
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