Avnet 2012 Annual Report Download - page 49

Download and view the complete annual report

Please find page 49 of the 2012 Avnet 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 140

  • 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

Table of Contents
AVNET, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Adoption of accounting standard — The Financial Accounting Standards Board (“FASB”)
issued authoritative guidance that requires the
issuer of certain convertible debt instruments that may be settled in cash (or other assets) on conversion to separately account for the debt and
equity (conversion option) components of the instrument. The Company adopted this standard during the first quarter of fiscal 2010; however,
there was no impact to the fiscal 2010 consolidated financial statements because the Company’s 2%
Convertible Senior Debentures (the
“Debentures”),
to which this standard applied, were extinguished in March 2009. Due to the required retrospective application of this standard,
the Company adjusted the prior period comparative consolidated financial statements. The cumulative effect of the change was recorded in
certain components of equity as of the beginning of the earliest fiscal year presented in the consolidated statements of shareholders’
equity,
which resulted in an increase of $43,190,000
to the previously reported June 27, 2009 additional paid in capital and a decrease of the same
amount in the previously reported June 27, 2009 retained earnings.
Recently issued accounting pronouncements —
In June 2011, the FASB amended its guidance on the presentation of comprehensive
income in financial statements. The amended guidance eliminates the option to present components of other comprehensive income (“OCI”)
as
part of the statement of changes in equity. Instead, entities can elect to present items of net income and OCI in one continuous statement (a
“statement of comprehensive income”),
or can elect to present these items in two separate but consecutive statements. The guidance, which is
effective beginning the Company’s fiscal year 2013, will not have an impact on the Company’
s consolidated financial statements as the guidance
only relates to changes in financial statement presentation.
47