Honeywell 2005 Annual Report Download - page 120

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)
A reconciliation of segment profit to consolidated income from continuing operations before taxes is as follows:
Years Ended December 31,
2005 2004 2003
Segment profit $3,409 $2,974 $2,519
Gain on sale of non-strategic businesses 36 255 38
Asbestos related litigation charges, net of insurance (10) (76) —
Business impairment charges (23) (42) —
Repositioning and other charges(1) (367) (646) (276)
Pension and other postretirement benefits (expense)(1) (561) (628) (325)
Equity in income of affiliated companies 134 82 38
Other income (expense) 61 92 (19)
Interest and other financial charges (356) (331) (335)
Income from continuing operations before taxes $2,323 $1,680 $1,640
(1) Amounts included in cost of products and services sold and selling, general and administrative expenses.
Note 24—Geographic Areas—Financial Data
Net Sales(1) Long-lived Assets(2)
Years Ended December 31, Years Ended December 31,
2005 2004 2003 2005 2004 2003
United States $ 17,957 $ 16,633 $ 15,178 $ 11,645 $ 9,083 $ 8,963
Europe 6,552 6,097 5,433 1,958 2,044 1,833
Other International 3,144 2,871 2,492 691 458 386
$ 27,653 $ 25,601 $ 23,103 $ 14,294 $ 11,585 $ 11,182
(1) Sales between geographic areas approximate market and are not significant. Net sales are classified according to their country of
origin. Included in United States net sales are export sales of $2,780, $2,399 and $2,246 million in 2005, 2004 and 2003,
respectively.
(2) Long-lived assets are comprised of property, plant and equipment, goodwill and other intangible assets.
Note 25—Supplemental Cash Flow Information
Years Ended December 31,
2005 2004 2003
Interest paid, net of amounts capitalized $397 $330 $367
Income taxes paid, net of refunds 235 178 31
Non-cash investing and financing activities:
Common stock contributed to U.S. savings plans 153 151 173
Debt assumed in the purchase of leased assets — — 267