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WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Reclassifications
Certain amounts in prior years have been reclassified to conform to current year’s presentation.
Recent Accounting Pronouncements
Disclosures about Credit Derivatives and Certain Guarantees. In September 2008, the Financial
Accounting Standards Board (“FASB”) issued FASB Staff Position (“FSP”) No. FAS 133-1 and FASB
Interpretation (“FIN”) No. 45-4, “Disclosures about Credit Derivatives and Certain Guarantees: An Amendment
of FASB Statement No. 133 and FASB No. 45; and Clarification of the Effective Date of FASB Statement
No. 161.” FSP No. FAS 133-1 and FIN No. 45-4 amend FAS No. 133 by requiring disclosures by sellers of
credit derivatives, including credit derivatives embedded in hybrid instruments. Additionally, FIN No. 45-4 is
amended to require an additional disclosure about the current status of the payment/performance risk of a
guarantee. FSP No. FAS 133-1 clarifies that FASB’s intent with respect to FAS No. 161, “Disclosures about
Derivative Instruments and Hedging Activities,” was to require that it be effective for quarterly periods
beginning after November 15, 2008, and fiscal years that include those periods. The provisions of the FSP No.
FAS 133-1 and FIN No. 45-4 are effective for reporting periods ending after November 15, 2008. We are
currently evaluating the impact, if any, that FSP No. FAS 133-1 and FIN No. 45-4 will have on our consolidated
financial statements.
Determining Whether Instruments Granted in Share-Based Payment Transactions are Participating
Securities. In June 2008, the FASB issued FSP No. EITF 03-6-1, “Determining Whether Instruments Granted in
Share-Based Payment Transactions are Participating Securities,” which states that unvested share-based payment
awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are
participating securities and shall be included in the computation of earnings per share under the two-class
method. This FSP is effective for financial statements issued for fiscal years beginning after December 15, 2008,
and interim periods within those years. We are currently evaluating the impact, if any, that FSP No. EITF 03-6-1
will have on our consolidated financial statements.
Determination of the Useful Life of Intangible Assets. In April 2008, the FASB issued FSP No. FAS 142-3,
“Determination of the Useful Life of Intangible Assets,” which amends the factors that should be considered in
developing renewal or extension assumptions used to determine the useful life of a recognized intangible asset
under FAS No. 142, “Goodwill and Other Intangible Assets.” The intent of this FSP is to improve the
consistency between the useful life of a recognized intangible asset under FAS No. 142 and the period of
expected cash flows used to measure the fair value of the asset under FAS 141(R), “Business Combinations,” and
other generally accepted accounting principles in the United States. This FSP is effective for financial statements
issued for fiscal years beginning after December 15, 2008, and interim periods within those fiscal years, and
early adoption is prohibited. We are currently evaluating the impact, if any, that FSP No. FAS 142-3 will have on
our consolidated financial statements.
Disclosures about Derivative Instruments and Hedging Activities. In March 2008, the FASB issued FAS
No. 161, “Disclosures about Derivative Instruments and Hedging Activities.” FAS No. 161 requires companies
with derivative instruments to disclose information that should enable financial statement users to understand
how and why a company uses derivative instruments, how derivative instruments and related hedged items are
accounted for under FASB Statement No. 133 “Accounting for Derivative Instruments and Hedging Activities”
and how derivative instruments and related hedged items affect a company’s financial position, financial
performance and cash flows. FAS No. 161 is effective for financial statements issued for fiscal years and interim
periods beginning after November 15, 2008. We are currently evaluating the impact, if any, that FAS No. 161
will have on our consolidated financial statements.
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