ADP 2008 Annual Report Download - page 43

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In September 2006, the FASB issued SFAS No. 157, “Fair Value Measurements” (“SFAS No. 157”). This statement clarifies the definition of
fair value, establishes a framework for measuring fair value, and expands the disclosures on fair value measurements. SFAS No. 157 is
effective for fiscal years beginning after November 15, 2007. The Company does not expect the adoption of SFAS No. 157 to have a material
impact on its consolidated results of operations, cash flows or financial condition.
NOTE 2. RECLASSIFICATIONS WITHIN CONSOLIDATED BALANCE SHEETS AND STATEMENTS OF CONSOLIDATED
CASH FLOWS
The Company has reclassified funds held for clients and client funds obligations that had been previously presented outside of current assets
and current liabilities, respectively, within the Consolidated Balance Sheets, to current assets and current liabilities, respectively for all periods
presented. Previously presented amounts reclassified were as follows:
This reclassification had no impact on total assets or liabilities for any period presented.
Additionally, the Company has reclassified the net increase (decrease) in client funds obligations in the Statements of Consolidated Cash Flows
from investing activities to financing activities for all periods presented. The impacts of the reclassifications were as follows:
This reclassification had no impact on the net change in cash and cash equivalents or cash flows from operating activities for any period
presented.
Refer to Note 6 “Corporate Investments and Funds Held for Clients” for additional disclosures related to funds held for clients and client funds
obligations.
43
Year ended June 30, 2007
Funds held for clients $
18,489.2
Client funds obligations $18,673.0
Years ended June 30, 2007 2006
N
et cash flows provided by (used in) investing
activities - as previously reported $430.8 $452.2
Impact of reclassification $ (707.7) $ 174.3
N
et cash flows (used in) provided by investing
activities - as reclassified $(276.9) $ 626.5
N
et cash flows used in financing activities - as
previously reported $ (1,884.4) $ (1,348.8)
Impact of reclassification $ 707.7 $ (174.3)
N
et cash flows (used in) provided by financing
activities - as reclassified $(1,176.7) $ (1,523.1)