Visa 2009 Annual Report Download - page 78

Download and view the complete annual report

Please find page 78 of the 2009 Visa annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 172

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172

Table of Contents
VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2009
(in millions, except as noted)
Net income per share—The Company calculates net income per share using the two-class method to reflect the different rights of each class and series
of outstanding common stock. See Note 16—Net Income Per Share. In fiscal 2010, the Company will include unvested instruments granted in share-based
payment transactions that have non-forfeitable rights to dividends or dividend equivalents in the calculation of net income per share as a separate class of
security. This change will not result in any impact to fiscal 2009 and 2008 full year diluted class A net income per share.
Recently Issued Accounting Pronouncements
In December 2007, FASB ASC 805 was issued which changes the accounting for business combinations including the measurement of acquirer shares
issued in consideration for a business combination, the recognition of contingent consideration, the treatment of acquisition related transaction costs, the
accounting for pre-acquisition gain and loss contingencies, the accounting for acquisition-related restructuring cost accruals, and the recognition of changes in
the acquirer's income tax valuation allowance. In April 2009, FASB ASC 805-20 was issued with regard to the initial recognition and measurement,
subsequent measurement and accounting, and disclosure of assets and liabilities arising from contingencies in a business combination. The Company will
adopt these standards on October 1, 2009. The adoption is not expected to have a material impact on the consolidated financial statements.
In December 2008, FASB ASC 715-20 was issued which provides guidance on an employer's disclosures about plan assets of a defined benefit pension
or other postretirement plan. The disclosures about plan assets required by this standard are effective for fiscal years ending after December 15, 2009 and are
not required for earlier periods presented for comparative purposes. Earlier application is permitted. This standard impacts disclosures only and will not have
an effect on the consolidated financial position or results of operations upon adoption. The Company will adopt this standard in fiscal 2010.
In May 2009, FASB ASC 855 was issued and established standards of accounting for and disclosure of events that occur after the balance sheet date but
before financial statements are issued or are available to be issued. The standard requires entities to disclose the date through which they have evaluated
subsequent events and whether the date corresponds to the release of their financial statements. The Company has since adopted the standard and subsequent
events have been evaluated through November 19, 2009.
In June 2009, FASB ASC 810-10 was issued. ASC 810-10 changes how a company determines when an entity that is insufficiently capitalized or is not
controlled through voting (or similar rights) should be consolidated. The determination of whether a company is required to consolidate an entity is based on,
among other things, an entity's purpose and design and a company's ability to direct the activities of the entity that most significantly impact the entity's
economic performance. The Company will adopt ASC 810-10 effective October 1, 2010. Early adoption is prohibited. The Company is evaluating the impact
of adopting ASC 810-10 on its consolidated financial statements.
77