GE 2013 Annual Report Download - page 119

GE 2013 ANNUAL REPORT 117
    
RECLASSIFICATION OUT OF AOCI
Components of AOCI 2013 2012 2011 Statement of Earnings Caption
AVAILABLE-FOR-SALE SECURITIES
Realized gains (losses) on sale/impairment of securities $ (540) $ (35) $ (32) Other income
222 13 1 Tax (expense) or benefit
$ (318) $ (22) $ (31) Net of tax
CURRENCY TRANSLATION ADJUSTMENTS
Gains (losses) on dispositions $ 25 $ 120 $ (738) Costs and expenses
793 54 357 Tax (expense) or benefit
$ 818 $ 174 $ (381) Net of tax
CASH FLOW HEDGES
Gains (losses) on interest rate derivatives $ (364) $ (499) $ (820) Interest and other financial charges
Foreign exchange contracts 564 792 (510) (a)
Other 248 (116) 150 (b)
448 177 (1,180) Total before tax
(177) (245) 202 Tax (expense) or benefit
$ 271 $ (68) $ (978) Net of tax
BENEFIT PLAN ITEMS
Amortization of prior service costs $ (664) $ (823) $ (855) (c)
Amortization of actuarial gains (losses) (3,983) (3,768) (2,389) (c)
(4,647) (4,591) (3,244) Total before tax
1,610 1,604 1,152 Tax (expense) or benefit
$ (3,037) $ (2,987) $ (2,092) Net of tax
TOTAL RECLASSIFICATION ADJUSTMENTS $ (2,266) $ (2,903) $ (3,482) Net of tax
(a) Includes $608 million, $894 million and $(310) million in GECC revenues from services and $(44) million, $(102) million and $(200) million in interest and other financial
charges for the years ended December 31, 2013, 2012 and 2011, respectively.
(b) Primarily included in costs and expenses.
(c) Amortization of prior service costs and actuarial gains and losses out of AOCI are included in the computation of net periodic pension costs. See Note 12 for
further information.
NONCONTROLLING INTERESTS
Noncontrolling interests in equity of consolidated affi liates
includes common shares in consolidated affi liates and preferred
stock issued by GECC. The balance is summarized as follows.
December 31 (In millions) 2013 2012
GECC preferred stock $ 4,950 $ 3,960
Other noncontrolling interests in
consolidated affiliates (a) 1,267 1,484
Total $ 6,217 $ 5,444
(a) Consisted of a number of individually insignificant noncontrolling interests in
partnerships and consolidated affiliates.
Changes to noncontrolling interests are as follows.
Years ended December 31
(In millions) 2013 2012 2011
Beginning balance $ 5,444 $ 1,696 $ 5,262
Net earnings 298 223 292
GECC issuance of preferred stock 990 3,960 —
GECC preferred stock dividend (298) (123) —
Repurchase of NBCU shares (a) — — (3,070)
Dispositions (b) (175) — (609)
Dividends (80) (42) (34)
Other (including AOCI) (c) 38 (270) (145)
Ending balance $ 6,217 $ 5,444 $ 1,696
(a) In January 2011 and prior to the transaction with Comcast, we acquired 12.3%
of NBCU’s outstanding shares from Vivendi for $3,673 million and made an
additional payment of $222 million related to previously purchased shares. Of
these amounts, $3,070 million reflects a reduction in carrying value of
noncontrolling interests. The remaining amount of $825 million represents the
amount paid in excess of our carrying value, which was recorded as an increase
in our basis in NBCU.
(b) Includes noncontrolling interests related to the sale of GE SeaCo of $311 million
and the redemption of Heller Financial preferred stock of $275 million in 2011.
(c) Primarily acquisitions and eliminations.
During the second quarter of 2013, GECC issued 10,000 shares of
non-cumulative perpetual preferred stock with a $0.01 par value
for proceeds of $990 million. The preferred shares bear an initial
fi xed interest rate of 5.25% through June 15, 2023, bear a fl oating
rate equal to three-month LIBOR plus 2.967% thereafter and are
callable on June 15, 2023. Dividends on the GECC preferred stock
are payable semi-annually, in June and December, with the fi rst
payment on this issuance made in December 2013.
During 2012, GECC issued 40,000 shares of non-cumulative
perpetual preferred stock with a $0.01 par value for proceeds of
$3,960 million. Of these shares, 22,500 bear an initial fi xed inter-
est rate of 7.125% through June 15, 2022, bear a fl oating rate
equal to three-month LIBOR plus 5.296% thereafter and are
callable on June 15, 2022, and 17,500 shares bear an initial fi xed
interest rate of 6.25% through December 15, 2022, bear a fl oating
rate equal to three-month LIBOR plus 4.704% thereafter and are
callable on December 15, 2022. Dividends on the GECC preferred
stock are payable semi-annually, in June and December, with the
fi rst payment on these issuances made in December 2012. GECC
preferred stock is presented as noncontrolling interests in the GE
Consolidated Statement of Financial Position.
During 2013 and 2012, GECC paid quarterly dividends of
$1,930 million and $1,926 million, respectively, and special
dividends of $4,055 million and $4,500 million, respectively, to
GE. No dividends were paid during 2011.