Texas Instruments 2008 Annual Report Download - page 32

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[ 30 ] TEXAS INSTRUMENTS 2008 ANNUAL REPORT
16. Supplemental financial information
Other income (expense) net
2008 2007 2006
Interest income ......................................................... $ 76 $ 157 $ 196
Interest on loans ........................................................ —(1) (7)
Settlement of Italian grants (a) ............................................. ——28
Sales tax refunds (b) .................................................... 3—20
Other (c ) ............................................................. (35) 39 21
Total ................................................................. $ 44 $ 195 $ 258
(a) Consists of benefits recognized due to the resolution of matters relating to grants from the government of Italy to a former
business.
(b) Consists of refunds of overpayments attributable to former businesses and interest on refunds relating to settlements of audits of
Texas sales and use taxes.
(c) Includes lease income of approximately $20 million per year, primarily from the purchaser of a former business. As of
December 31, 2008, the aggregate amount of non-cancellable future lease payments to be received from these leases is
$57 million. These leases contain renewal options. Other also includes miscellaneous non-operational items such as: interest
income and expense related to non-investment items such as taxes; gains and losses for our proportionate share of the net
income or loss of our limited partnerships accounted for under the equity method; realized gains and losses associated with
former equity investments; gains and losses related to former businesses; and, gains and losses from currency exchange
rate changes.
Inventories
December 31,
2008 2007
Raw materials and purchased parts ...................................................... $99 $105
Work in process ..................................................................... 837 876
Finished goods ...................................................................... 439 437
Total .............................................................................. $1,375 $1,418
Property, plant and equipment at cost
December 31,
Depreciable Lives 2008 2007
Land ............................................................... —$83 $82
Buildings and improvements ............................................. 5–40 years 2,948 2,895
Machinery and equipment .............................................. 3–10 years 4,290 4,591
Total ............................................................... $7,321 $7,568
Authorizations for property, plant and equipment expenditures in future years were $136 million at December 31, 2008.
Accrued expenses and other liabilities
December 31,
2008 2007
Accrued salaries, wages and vacation pay ................................................. $ 302 $386
Restructuring ....................................................................... 218 20
Customer incentive programs and allowances .............................................. 135 206
Property and other non-income taxes ..................................................... 91 113
Other ............................................................................. 288 392
Total .............................................................................. $ 1,034 $1,117