Rogers 2010 Annual Report Download - page 112

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
116 ROGERS COMMUNICATIONS INC. 2010 ANNUAL REPORT
The consolidated financial statements of the Company have been
prepared in accordance with GAAP as applied in Canada. In the
following respects, GAAP, as applied in the United States, differs from
that applied in Canada.
If United States GAAP were employed, net income for the years ended
December 31, 2010 and 2009 would be adjusted as follows:
25. CANADIAN AND UNITED STATES ACCOUNTING POLICY DIFFERENCES:
2010 2009
Net income for the year based on Canadian GAAP $ 1,528 $ 1,478
Gain on sale of cable systems (b) –(4)
Capitalized interest, net of related depreciation (c) 11 6
Financial instruments (d) 124 145
Stock-based compensation (e) (29) 13
Net periodic pension cost (f) (5) 3
Income taxes (g) (24) (28)
Installation revenues and costs, net (h) (3) 4
Net income for the year based on United States GAAP $ 1,602 $ 1,617
Net income per share based on United States GAAP:
Basic $ 2.78 $ 2.60
Diluted 2.78 2.60
If United States GAAP were employed, comprehensive income for the
years ended December 31, 2010 and 2009 would be adjusted as follows:
2010 2009
Comprehensive income for the year based on Canadian GAAP $ 1,729 $ 1,616
Impact of United States GAAP differences on net income 74 139
Reclassification to net income of change in fair value of derivative instruments not accounted for
as hedges under United States GAAP, net of income taxes of $27 (2009– $26) (d) (97) (113)
Change in funded status of pension plans for unrecognized amounts, net of income taxes of $19 (2009 – $16) (f) (55) (45)
Comprehensive income for the year based on United States GAAP $ 1,651 $ 1,597
The cumulative effect of these adjustments on the consolidated
shareholders’ equity of the Company is as follows:
2010 2009
Shareholders’ equity based on Canadian GAAP $ 3,959 $ 4,273
Cumulative impact of differences in business combinations and consolidation accounting (a) (8) (8)
Gain on sale of cable systems (b) 101 101
Capitalized interest (c) 96 85
Financial instruments (d) 49 49
Stock-based compensation (e) (14) 13
Pension liability (f), (k) (244) (165)
Income taxes (g) 9(14)
Installation revenues and costs, net (h) 13 16
Other (7) (7)
Shareholders’ equity based on United States GAAP $ 3,954 $ 4,343