Honeywell 2006 Annual Report Download - page 60

Item 8. Financial Statements and Supplementary Data
HONEYWELL INTERNATIONAL INC.
CONSOLIDATED STATEMENT OF OPERATIONS
Years Ended December 31,
2006 2005 2004
(Dollars in millions,
except per share amounts)
Product sales $25,165 $22,257 $20,400
Service sales 6,202 5,395 5,193
Net sales 31,367 27,652 25,593
Costs, expenses and other
Cost of products sold 19,649 17,681 17,071
Cost of services sold 4,447 3,843 3,681
24,096 21,524 20,752
Selling, general and administrative expenses 4,210 3,707 3,316
Other (income)/expense (111) (231) (429)
Interest and other financial charges 374 356 331
28,569 25,356 23,970
Income from continuing operations before taxes 2,798 2,296 1,623
Tax expense 720 732 377
Income from continuing operations 2,078 1,564 1,246
Income from discontinued operations, net of taxes 5 95 —
Cumulative effect of accounting change, net of taxes — (21) —
Net income $ 2,083 $ 1,638 $ 1,246
Earnings (loss) per share of common stock—basic:
Income from continuing operations $ 2.53 $ 1.85 $ 1.45
Income from discontinued operations 0.01 0.11 —
Cumulative effect of accounting change — (0.03) —
Net income $ 2.54 $ 1.93 $ 1.45
Earnings (loss) per share of common stock—assuming dilution:
Income from continuing operations $ 2.51 $ 1.84 $ 1.45
Income from discontinued operations 0.01 0.11 —
Cumulative effect of accounting change — (0.03) —
Net income $ 2.52 $ 1.92 $ 1.45
The Notes to Financial Statements are an integral part of this statement.
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