Pitney Bowes 2012 Annual Report Download - page 33

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15
Goodwill impairment
During 2012 and 2011, we recorded goodwill impairment charges of $18 million and $46 million, respectively, associated with our IMS
operations. These charges are included in discontinued operations in the Consolidated Statements of Income. In 2011, we also recorded
a goodwill impairment charge of $84 million associated with the international operations of our Management Services segment (PBMSi).
This charge was included as Goodwill impairment in the Consolidated Statements of Income. See Critical Accounting Estimates section
below for further details of these charges.
Other expense (income), net
Other expense, net in 2012 includes income of $11 million from insurance proceeds received in connection with the February 2011 fire
at our Dallas presort facility offset by a loss of $6 million on a forward rate swap agreement, a loss of $2 million on the early redemption
of debt and a pre-tax loss of $4 million on the sale of leveraged lease assets. We do not anticipate receiving any further insurance proceeds
relating to the Dallas fire.
Other income, net in 2011 includes income of $27 million from insurance proceeds received in connection with the fire at our Dallas
presort facility and a pre-tax loss of $7 million on the sale of leveraged lease assets.
Income taxes
See Note 8 to the Consolidated Financial Statements.
Discontinued operations
See Note 18 to the Consolidated Financial Statements.
Preferred stock dividends of subsidiaries attributable to noncontrolling interests
See Note 9 to the Consolidated Financial Statements.