Snapple 2008 Annual Report Download - page 53

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due to limits on the tax benefit provided against goodwill. The 2008 tax benefit also reflects expense of $19 million
related to items Cadbury is obligated to indemnify us for under the Tax Indemnity Agreement as well as additional
tax expense of $16 million driven by separation transactions.
Results of Operations by Segment
The following tables set forth net sales and UOP for our segments for 2008 and 2007, as well as the adjustments
necessary to reconcile our total segment results to our consolidated results presented in accordance with U.S. GAAP
and the elimination of intersegment transactions (dollars in millions).
2008 2007
For the Year Ended
December 31,
Net sales
Beverage Concentrates .......................................... $1,354 $1,342
Finished Goods ................................................ 1,624 1,562
Bottling Group ................................................ 3,102 3,143
Mexico and the Caribbean........................................ 427 418
Intersegment eliminations and impact of foreign currency(1) .............. (797) (770)
Net sales as reported .......................................... $5,710 $5,695
(1) Intersegment sales are eliminated in the Consolidated Statement of Operations. Total segment net sales include
Beverage Concentrates and Finished Goods sales to the Bottling Group segment and Bottling Group segment
sales to Beverage Concentrates and Finished Goods as detailed below. The impact of foreign currency totaled
$(2) million and $9 million for 2008 and 2007, respectively.
2008 2007
For the Year Ended
December 31,
Beverage Concentrates ............................................ $(388) $(386)
Finished Goods ................................................. (293) (289)
Bottling Group.................................................. (114) (104)
Total intersegment sales ......................................... $(795) $(779)
2008 2007
For the Year Ended
December 31,
UOP
Beverage Concentrates .......................................... $ 778 $ 731
Finished Goods(1) ............................................. 245 221
Bottling Group(1) ............................................. (36) 76
Mexico and the Caribbean ....................................... 86 100
LIFO inventory adjustment ...................................... (20) (6)
Intersegment eliminations and impact of foreign currency . ............... (2) 2
Adjustments(2) ............................................... (1,219) (120)
(Loss) income from operations .................................... (168) 1,004
Interest expense, net .......................................... (225) (189)
Other income (expense) ....................................... 18 2
(Loss) income before provision for income taxes and equity in earnings of
unconsolidated subsidiaries as reported............................ $ (375) $ 817
29