E-Z-GO 2009 Annual Report Download - page 98

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Textron Inc.
89
Schedule II — Valuation and Qualifying Accounts
(In millions) 2009 2008 2007
Manufacturing Group
Allowance for doubtful accounts
Balance at beginning of year $ 24 $ 29 $ 29
Charged to costs and expenses 8 5 3
Deductions from reserves* (9) (10) (3)
Balance at end of year $ 23 $ 24 $ 29
Reserves for recourse liability to Finance group
Balance at beginning of year $ 21 $ 22 $ 39
Charged to costs and expenses 6 5 2
Cash paid (9) (1) (20)
Net deductions from reserves* (1) (5) 1
Balance at end of year $ 17 $ 21 $ 22
Inventory FIFO reserves
Balance at beginning of year $ 114 $ 81 $ 68
Charged to costs and expenses 126 65 33
Deductions from reserves* (82) (32) (20)
Balance at end of year $ 158 $ 114 $ 81
Finance Group
Allowance for losses on finance receivables held for investment
Balance at beginning of year $ 191 $ 89 $ 93
Provision for losses 267 234 33
Transfer to valuation allowance for finance receivables held for sale (2) (44) —
Deductions from reserves* (115) (88) (37)
Balance at end of year $ 341 $ 191 $ 89
* Deductions primarily include uncollectible accounts written off (less recoveries), inventory disposals and currency translation adjustments.
Item 9. Changes In and Disagreements With Accountants on Accounting and
Financial Disclosure
None.
Item 9A. Controls and Procedures
Disclosure Controls and Procedures — We have carried out an evaluation, under the supervision and with the participation of our management,
including our President and Chief Executive Officer (CEO) and our Executive Vice President and Chief Financial Officer (CFO), of the effectiveness
of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities
Exchange Act of 1934, as amended (the “Act”)) as of the end of the fiscal year covered by this report. Based upon that evaluation, our CEO and
CFO concluded that our disclosure controls and procedures are effective in providing reasonable assurance that (a) the information required to be
disclosed by us in the reports that we file or submit under the Act is recorded, processed, summarized and reported within the time periods
specified in the Securities and Exchange Commission’s rules and forms, and (b) such information is accumulated and communicated to our
management, including our CEO and CFO, as appropriate to allow timely decisions regarding required disclosure.
Report of Management — See page 41.
Report of Independent Registered Public Accounting Firm on Internal Control over Financial Reporting — See page 42.