Kimberly-Clark 2015 Annual Report Download - page 60
Download and view the complete annual report
Please find page 60 of the 2015 Kimberly-Clark annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Werecognizeaccruedinterestandpenaltiesrelatedtounrecognizedtaxbenefitsinincometaxexpense.DuringeachofthethreeyearsendedDecember31,2015,
the net cost in interest and penalties was not significant. Total accrued penalties and net accrued interest was $40and$28atDecember 31,2015and2014,
respectively.
Itisreasonablypossiblethatanumberofuncertaintiescouldberesolvedwithinthenext12months.Theaggregateresolutionoftheuncertaintiescouldbeupto
$170,whilenoneoftheuncertaintiesisindividuallysignificant.Resolutionofthesemattersisnotexpectedtohaveamaterialeffectonourfinancialcondition,
resultsofoperationsorliquidity.
AsofDecember31,2015,thefollowingtaxyearsremainsubjecttoexaminationforthemajorjurisdictionswhereweconductbusiness:
Jurisdiction Years
UnitedStates 2012to2015
UnitedKingdom 2012to2015
Brazil 2010to2015
Korea 2014to2015
China 2006to2015
OurU.S.federalincome taxreturnshavebeenauditedthrough2011. Wehavevariousfederal incometaxreturnpositions inadministrativeappeals for2004,
2005,2007,2010and2011.
Stateincometaxreturnsaregenerallysubjecttoexaminationforaperiodof3to5yearsafterfilingoftherespectivereturn.Thestateeffectofanychangestofiled
federalpositions remainssubject toexamination byvariousstates fora periodofuptotwoyears afterformalnotification tothe states.Wehave variousstate
incometaxreturnpositionsintheprocessofexamination,administrativeappealsorlitigation.
Note 15 . Earnings Per Share ("EPS")
TherearenoadjustmentsrequiredtobemadetonetincomeforpurposesofcomputingbasicanddilutedEPS.Theaveragenumberofcommonsharesoutstanding
isreconciledtothoseusedinthebasicanddilutedEPScomputationsasfollows:
(Millions of shares)
2015
2014
2013
Basic
363.8
374.5
384.0
Dilutiveeffectofstockoptionsandrestrictedshareunitawards
2.5
2.9
3.3
Diluted
366.3
377.4
387.3
Options outstanding that were not included in the computation of diluted EPS because their exercise price was greater than the average market price of the
commonshareswereinsignificant.ThenumberofcommonsharesoutstandingasofDecember31,2015,2014and2013was360.9million,365.3millionand
380.8million,respectively.
Note 16 . Business Segment Information
We are organized into operating segments based on product groupings. These operating segments have been aggregated into three reportable global business
segments: Personal Care, Consumer Tissue and KCP.The reportable segments were determined in accordance with how our executive managers developand
executeglobalstrategies todrivegrowth andprofitability.These strategiesincludeglobal plansforbrandingand productpositioning,technology, researchand
development programs, cost reductions including supply chain management, and capacity and capital investments for each of these businesses. Segment
managementisevaluatedonseveralfactors,includingoperatingprofit.Segmentoperatingprofitexcludesother(income)andexpense,netandincomeandexpense
notassociatedwiththebusinesssegments,includingthechargesrelatedtothe2014OrganizationRestructuringandtheEuropeanstrategicchangesdescribedin
Notes2and4,respectively.
56 KIMBERLY-CLARKCORPORATION - 2015 Annual Report