IBM 2014 Annual Report Download - page 122

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Notes to Consolidated Financial Statements
International Business Machines Corporation and Subsidiary Companies
121
($ in millions)
For the year ended December 31, 2012:
Before Tax
Amount
Tax (Ex pense)/
Benefit
Net of Tax
Amount
Other comprehensive income/(loss)
Foreign currency translation adjustments $ (44) $ 10 $ (34)
Net changes related to available-for-sale securities
Unrealized gains/(losses) arising during the period $ 8 $ (4) $ 4
Reclassification of (gains)/losses to other (income) and expense (42)17 (25)
Subsequent changes in previously impaired securities arising during the period 20 (8) 12
Total net changes related to available-for-sale securities $ (14) $ 5 $ (9)
Unrealized gains/(losses) on cash flow hedges
Unrealized gains/(losses) arising during the period $ 32 $ (27) $ 5
Reclassification of (gains)/losses to:
Cost of sales (7) (6) (13)
SG&A expense (16) 4 (12)
Other (income) and expense (237) 91 (146)
Interest expense 6 (3) 3
Total unrealized gains/(losses) on cash flow hedges $ (220) $ 59 $ (161)
Retirement-related benefit plans
(1)
Net (losses)/gains arising during the period $(7,489) $2,327 $(5,162)
Curtailments and settlements (2) 0 (2)
Amortization of prior service (credits)/cost (148) 59 (89)
Amortization of net (gains)/losses 2,457 (874) 1,583
Total retirement-related benefit plans $(5,182) $1,513 $(3,669)
Other comprehensive income/(loss) $(5,460) $1,587 $(3,874)
(1) These AOCI components are included in the computation of net periodic pension cost. (See noteS, “Retirement-Related Benefits,” on pages 131 to 145 for additional information.)
Accumulated Other Comprehensive Income/(Loss) (net of tax)
($ in millions)
Net Unrealized
Gains/(Losses)
on Cash Flow
Hedges
Foreign
Currency
Translation
Adjustments*
Net Change
Retirement-
Related
Benefit
Plans
Net Unrealized
Gains/(Losses)
on Available-
For-Sale
Securities
Accumulated
Other
Comprehensive
Income/(Loss)
December 31, 2011 $ 71 $ 1,767 $(23,737) $ 13 $(21,885)
Other comprehensive income before reclassifications 5 (34) (5,164) 16 (5,177)
Amount reclassified from accumulated other comprehensive income (167) 0 1,495 (25) 1,303
Total change for the period (161) (34) (3,669) (9) (3,874)
December 31, 2012 (90) 1,733 (27,406) 4 (25,759)
Other comprehensive income before reclassifications 28 (1,401) 3,409 0 2,036
Amount reclassified from accumulated other comprehensive income (103) 0 2,229 (5) 2,121
Total change for the period (76) (1,401) 5,639 (5) 4,157
December 31, 2013 (165) 332 (21,767) (1) (21,602)
Other comprehensive income before reclassifications 618 (2,074) (6,348) (18) (7,822)
Amount reclassified from accumulated other comprehensive income (60) 0 1,605 3 1,548
Total change for the period 557 (2,074) (4,742) (15) (6,274)
December 31, 2014 $ 392 $(1,742) $(26,509) $(15 ) $(27,875)
* Foreign currency translation adjustments are presented gross except for any associated hedges which are presented net of tax.