3M 2009 Annual Report Download - page 18

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12
Item 6. Selected Financial Data.
(Dollars in millions, except per share amounts) 2009 2008 2007 2006 2005
Years ended December 31:
Net sales................................................................. $ 23,123 $ 25,269 $ 24,462 $ 22,923 $ 21,167
Net income before cumulative effect of accounting
change attributable to 3M ................................... 3,193 3,460 4,096 3,851 3,139
Per share of 3M common stock:
Net income before cumulative effect of
accounting change attributable to 3M —
basic ................................................................ 4.56 4.95 5.70 5.15 4.10
Net income before cumulative effect of
accounting change attributable to 3M —
diluted .............................................................. 4.52 4.89 5.60 5.06 4.02
Cash dividends declared and paid per 3M
common share................................................. 2.04 2.00 1.92 1.84 1.68
At December 31:
Total assets ............................................................ $ 27,250 $ 25,793 $ 24,699 $ 21,294 $ 20,541
Long-term debt (excluding portion due within one
year) and long-term capital lease obligations ..... 5,204 5,224 4,088 1,112 1,368
The above income and earnings per share information exclude a cumulative effect of accounting change in 2005
($35 million, or 5 cents per diluted share). New accounting guidance for asset retirement obligations was effective
December 31, 2005, and its adoption resulted in the recognition of an asset retirement obligation liability of $59
million at December 31, 2005, and an after-tax charge of $35 million for 2005, which was reflected as a cumulative
effect of change in accounting principle in the Consolidated Statement of Income.
Items included in the preceding table which had a significant impact on results are summarized as follows. 2009
results included net losses that decreased operating income by $194 million and net income attributable to 3M by
$119 million. 2009 included restructuring actions ($209 million pre-tax, $128 million after tax and noncontrolling
interest), which was partially offset by a gain on sale of real estate ($15 million pre-tax, $9 million after tax). 2008
results included net losses that decreased operating income by $269 million and net income attributable to 3M by
$194 million. 2008 included restructuring actions ($229 million pre-tax, $147 million after-tax and noncontrolling
interest), exit activities ($58 million pre-tax, $43 million after-tax) and losses related to the sale of businesses ($23
million pre-tax, $32 million after-tax), which were partially offset by a gain on sale of real estate ($41 million pre-tax,
$28 million after-tax). 2007 results included net gains that increased operating income by $681 million and net
income attributable to 3M by $448 million. 2007 included gains related to the sale of businesses ($849 million pre-
tax, $550 million after-tax) and a gain on sale of real estate ($52 million pre-tax, $37 million after-tax), which were
partially offset by increases in environmental liabilities ($134 million pre-tax, $83 million after-tax), restructuring
actions ($41 million pre-tax, $27 million after-tax), and exit activities ($45 million pre-tax, $29 million after-tax). 2006
results included net gains that increased operating income by $523 million and net income attributable to 3M by $438
million. 2006 included net benefits from gains related to the sale of certain portions of 3M’s branded pharmaceuticals
business ($1.074 billion pre-tax, $674 million after-tax) and favorable income tax adjustments ($149 million), which
were partially offset by restructuring actions ($403 million pre-tax, $257 million after-tax), acquired in-process
research and development expenses ($95 million pre-tax and after-tax), settlement costs of an antitrust class action
($40 million pre-tax, $25 million after-tax), and environmental obligations related to the pharmaceuticals business
($13 million pre-tax, $8 million after-tax). 2005 results included charges that reduced net income attributable to 3M
before cumulative effect of accounting change by $75 million. This related to a tax liability resulting from 3M’s
reinvestment of approximately $1.7 billion of foreign earnings in the United States pursuant to the repatriation
provisions of the American Jobs Creation Act of 2004.