Kodak 2007 Annual Report Download - page 56

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FASB Statement No. 141R
In December 2007, the FASB issued SFAS No. 141R, “Business Combinations,” a revision to SFAS No. 141, “Business Combinations.” SFAS No. 141R
provides revised guidance for recognition and measurement of identifiable assets and goodwill acquired, liabilities assumed, and any noncontrolling
interest in the acquiree at fair value. The Statement also establishes disclosure requirements to enable the evaluation of the nature and financial effects
of a business combination. SFAS No. 141R is required to be applied prospectively to business combinations for which the acquisition date is on or after
the beginning of the first annual reporting period beginning on or after December 15, 2008 (January 1, 2009 for the Company). The Company is currently
evaluating the potential impact, if any, of the adoption of SFAS No. 141R on its Consolidated Financial Statements.
FASB Statement No. 160
In December 2007, the FASB issued SFAS No. 160, “Noncontrolling Interests in Consolidated Financial Statements – an amendment of ARB No. 51.” This
Statement establishes accounting and reporting standards for ownership interests in subsidiaries held by parties other than the parent. Specifically, SFAS
No. 160 requires the presentation of noncontrolling interests as equity in the Consolidated Statement of Financial Position, and separate identification
and presentation in the Consolidated Statement of Operations of net income attributable to the entity and the noncontrolling interest. It also establishes
accounting and reporting standards regarding deconsolidation and changes in a parent’s ownership interest. SFAS No. 160 is effective for fiscal years,
and interim periods within those fiscal years, beginning on or after December 15, 2008 (January 1, 2009 for the Company). The provisions of SFAS No.
160 are generally required to be applied prospectively, except for the presentation and disclosure requirements, which must be applied retrospectively.
The Company is currently evaluating the potential impact, if any, of the adoption of SFAS No. 160 on its Consolidated Financial Statements.
NOTE 2: RECEIVABLES, NET
As of December 31,
(in millions) 2007 2006
Trade receivables $ 1,697 $ 1,737
Miscellaneous receivables 242 335
Total (net of allowances of $114 and $134 as of December 31, 2007 and 2006, respectively) $ 1,939 $ 2,072
Of the total trade receivable amounts of $1,697 million and $1,737 million as of December 31, 2007 and 2006, respectively, approximately $266 million
and $272 million, respectively, are expected to be settled through customer deductions in lieu of cash payments. Such deductions represent rebates owed
to the customer and are included in accounts payable and other current liabilities in the accompanying Consolidated Statement of Financial Position at
each respective balance sheet date.
NOTE 3: INVENTORIES, NET
As of December 31,
(in millions) 2007 2006
Finished goods $ 537 $ 606
Work in process 235 192
Raw materials 171 203
Total $ 943 $ 1,001