Duke Energy 2006 Annual Report Download - page 35

CONSOLIDATED STATEMENTS OF COMMON STOCKHOLDERS’ EQUITY AND COMPREHENSIVE INCOME
Accumulated Other Comprehensive Income (Loss)
Net Gains Minimum
Common Additional Foreign (Losses) on Pension SFAS
Stock Common Paid-in Retained Currency Cash Flow Liability No. 158
(In millions) Shares Stock Capital Earnings Adjustments Hedges Adjustment Adjustment Other Total
Balance December 31, 2003 911 $ 9,513 $ — $ 4,066 $315 $ 298 $(444) $ — $ — $ 13,748
Net income — — — 1,490 — — — — — 1,490
Other Comprehensive Income
Foreign currency translation adjustments — — — — 279 — — — — 279
Foreign currency translation adjustments
reclassified into earnings as a result of
the sale of Asia-Pacific Business — — — — (54) — — — — (54)
Net unrealized gains on cash flow hedges b — — — — — 311 — — — 311
Reclassification into earnings from
cash flow hedges c — — — — — (83) — — — (83)
Minimum pension liability adjustment d — — — — — — 28 — — 28
Total comprehensive income 1,971
Dividend reinvestment and employee benefits 5 128 — — — — — — — 128
Equity offering 41 1,625 — — — — — — — 1,625
Common stock dividends — — — (1,018) — — — — — (1,018)
Preferred and preference stock dividends — — — (9) — — — — — (9)
Other capital stock transactions, net — — — (4) — — — — — (4)
Balance December 31, 2004 957 $11,266 $ — $ 4,525 $540 $ 526 $(416) $ — $ — $ 16,441
Net income — — — 1,824 — — — — — 1,824
Other Comprehensive Income
Foreign currency translation adjustments a — — — — 306 — — — — 306
Net unrealized gains on cash flow hedges b — — — — — 413 — — — 413
Reclassification into earnings from
cash flow hedges c — — — — — (1,026) — — — (1,026)
Minimum pension liability adjustment d — — — — — — 356 — — 356
Other f — — — — — — — — 17 17
Total comprehensive income 1,890
Dividend reinvestment and employee benefits 3 85 — — — — — — — 85
Stock repurchase (33) (933) — — — — — — — (933)
Conversion of debt 1 28 — — — — — — — 28
Common stock dividends — — — (1,093) — — — — — (1,093)
Preferred and preference stock dividends — — — (12) — — — — — (12)
Other capital stock transactions, net — — — 33 — — — — — 33
Balance December 31, 2005 928 $10,446 $ — $ 5,277 $846 $ (87) $ (60) $ — $ 17 $ 16,439
Net income — — — 1,863 — — — — — 1,863
Other Comprehensive Income
Foreign currency translation adjustments — — — — 103 — — — — 103
Net unrealized gains on cash flow hedges b — — — — — 6 — — — 6
Reclassification into earnings from
cash flow hedges c — — — — — 36 — — — 36
Minimum pension liability adjustment d — — — — — — (1) — — (1)
Other f — — — — — — — — (15) (15)
Total comprehensive income 1,992
Retirement of old Duke Energy shares (927) (10,399) — — — — — — — (10,399)
Issuance of new Duke Energy shares 927 1 10,398 — — — — — — 10,399
Common stock issued in connection
with Cinergy merger 313 — 8,993 — — — — — — 8,993
Conversion of Cinergy options to
Duke Energy options — — 59 — — — — — — 59
Dividend reinvestment and employee benefits 6 22 172 — — — — — — 194
Stock repurchase (17) (69) (431) — — — — — — (500)
Common stock dividends — — — (1,488) — — — — — (1,488)
Conversion of debt to equity 27 — 632 — — — — — — 632
Tax benefit due to conversion of debt to equity — — 34 — — — — — — 34
Adjustment due to SFAS No. 158 adoption e — — — — — — 61 (311) — (250)
Other capital stock transactions, net — — (3) — — — — — — (3)
Balance December 31, 2006 1,257 $ 1 $19,854 $ 5,652 $949 $ (45) $ — $(311) $ 2 $ 26,102
a Foreign currency translation adjustments, net of $62 tax benefit in 2005. The 2005 tax benefit related to the settled net investment hedges (see Note 8 to the Consolidated Financial Statements in
Duke Energy’s 2006 Form 10-K). Substantially all of the 2005 tax benefit is a correction of an immaterial accounting error related to prior periods.
b Net unrealized gains on cash flow hedges, net of $3 tax expense in 2006, $233 tax expense in 2005, and $170 tax expense in 2004.
c Reclassification into earnings from cash flow hedges, net of $19 tax expense in 2006, $583 tax benefit in 2005, and $45 tax benefit in 2004. Reclassification into earnings from cash flow hedges
in 2006, is due primarily to the recognition of Duke Energy North America’s (DENA) unrealized net gains related to hedges on forecasted transactions which will no longer occur as a result of the sale
to LS Power of substantially all of DENA’s assets and contracts outside of the Midwestern United States and certain contractual positions related to the Midwestern assets (see Notes 8 and 13 to the
Consolidated Financial Statements in Duke Energy’s 2006 Form 10-K).
d Minimum pension liability adjustment, net of $0 tax benefit in 2006, $228 tax expense in 2005, and $18 tax expense in 2004.
e Adjustment due to SFAS No. 158 adoption, net of $144 tax benefit in 2006. Excludes $595 recorded as a regulatory asset (see Note 22 to the Consolidated Financial Statements in Duke Energy’s
2006 Form 10-K).
f Net of $9 tax benefit in 2006, and $10 tax expense in 2005.
See Notes to Consolidated Financial Statements in Duke Energy’s 2006 Form 10-K.
DUKE ENERGY 2006 SUMMARY ANNUAL REPORT 33