Kodak 2002 Annual Report Download - page 77

Download and view the complete annual report

Please find page 77 of the 2002 Kodak 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.

Page out of 124

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124

Financials
77
NOTE 23: QUARTERLY SALES AND
EARNINGS DATA - UNAUDITED
(in millions, except per share data)
4th 3rd 2nd 1st
Quarter Quarter Quarter Quarter
2002
Net sales from
continuing operations $ 3,441 $ 3,352 $ 3,336 $ 2,706
Gross profit from
continuing operations 1,206 1,290 1,254 860
Earnings from
continuing operations 130(3) 336(2) 286(1) 41
Loss from discontinued
operations(4) (17) (2) (2) (2)
Net earnings 113 334 284 39
Basic and diluted
net earnings per share(9)
Continuing operations .45 1.16 .98 .14
Discontinued operations (.06) (.01) (.01) (.01)
Total .39 1.15 .97 .13
2001
Net sales from
continuing operations $ 3,358 $ 3,305 $ 3,591 $ 2,975
Gross profit from
continuing operations 1,028 1,134 1,339 1,067
(Loss) earnings from
continuing operations (204)(8) 97(7) 38(5)(6) 150(5)
Loss from discontinued
operations(4) (2) (1) (2) —
Net earnings (206) 96 36 150
Basic and diluted
net earnings per share(9)
Continuing operations (.70) .33 .13 .52
Discontinued operations (.01) — (.01) —
Total (.71) .33 .12 .52
(1) Includes $13 million ($10 million included in SG&A and $3 million included in
other charges) for a charge related to asset impairments, which reduced net
earnings by $9 million; and a $45 million (included in provision for income
taxes) tax benefit related to the closure of the Company’s PictureVision
subsidiary.
(2) Includes $29 million (included in restructuring costs (credits) and other)
reversal of restructuring charges related to costs originally recorded as part
of the Company’s 2001 restructuring programs, which increased net earnings
by $18 million; $20 million (included in restructuring costs (credits) and
other) of restructuring costs, which reduced net earnings by $20 million; $21
million ($13 million included in SG&A and $8 million included in other
charges) for a charge related to asset impairments, which reduced net
earnings by $13 million; and a $46 million (included in provision for income
taxes) tax benefit related to the consolidation of its photofinishing operations
in Japan.
(3) Includes $123 million ($16 million included in cost of goods sold and $107
million included in restructuring costs (credits) and other) of restructuring
charges, which reduced net earnings by $78 million; $16 million ($9 million
included in SG&A and $7 million included in other charges) for a charge
related to asset impairments and other asset write-offs, which reduced net
earnings by $12 million; and a $30 million (included in provision for income
taxes) tax benefit related to changes in the corporate tax rate and asset
write-offs.
(4) Refer to Note 21, “Discontinued Operations” for a discussion regarding loss
from discontinued operations.
(5) Includes relocation charges (included in cost of goods sold) related to the sale
and exit of a manufacturing facility of $10 million and $8 million, which
reduced net earnings by $7 million and $5 million in the first and second
quarters, respectively. First quarter also includes amortization expense on
goodwill of $42 million, which reduced net earnings by $36 million.
(6) Includes $316 million ($57 million included in cost of goods sold and $259
million included in restructuring costs (credits) and other) of restructuring
costs, which reduced net earnings by $232 million; $77 million (included in
restructuring costs (credits) and other) for the Wolf bankruptcy charge, which
reduced net earnings by $52 million; and $37 million of amortization expense
on goodwill, which reduced net earnings by $31 million.
(7) Includes $53 million ($41 million included in cost of goods sold and $12
million included in restructuring costs (credits) and other) of restructuring
costs, which reduced net earnings by $41 million; $42 million ($23 million
included in restructuring costs (credits) and other and $19 million included in
cost of goods sold) for a charge related to asset impairments associated with
certain of the Company’s photofinishing operations, which reduced net
earnings by $26 million; $37 million of amortization expense on goodwill,
which reduced net earnings by $31 million; and an $11 million (included in
provision for income taxes) tax benefit related to favorable tax settlements
reached during the quarter.
(8) Includes $309 million ($21 million included in cost of goods sold and $288
million included in restructuring costs (credits) and other) of restructuring
costs, which reduced net earnings by $210 million; $15 million ($12 million
included in SG&A and $3 million included in other (charges) income for asset
impairments related to venture investments, which reduced net earnings by
$10 million; a $41 million (included in SG&A) charge for environmental
reserves, which reduced net earnings by $28 million; a $20 million (included
in SG&A) Kmart bankruptcy charge, which reduced net earnings by
$14 million; $37 million of amortization expense on goodwill, which reduced
net earnings by $31 million; and a $20 million (included in provision for
income taxes) tax benefit related to a decline in the year-over-year effective
tax rate.
(9) Each quarter is calculated as a discrete period and the sum of the four
quarters may not equal the full year amount.