E-Z-GO 2011 Annual Report Download - page 89

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(In millions)
2012
2013
2014
2015
2016
2017-2012
Pension benefits
$ 340
$ 347
$ 352
$ 358
$ 365
$ 1,957
Post-retirement benefits other than pensions
58
55
54
52
50
214
Expected Medicare Part D Subsidy
(2)
(1)
—
—
—
(1)
Note 14. Income Taxes
We conduct business globally and, as a result, file numerous consolidated and separate income tax returns within and outside the
U.S. For all of our U.S. subsidiaries, we file a consolidated federal income tax return. Income (loss) from continuing operations
before income taxes is as follows:
(In millions)
2011
2010
2009
U.S.
$ 137
$ (63)
$ (229)
Non-U.S.
200
149
80
Total income (loss) from continuing operations before income taxes
$ 337
$ 86
$ (149)
Income tax expense (benefit) for continuing operations is summarized as follows:
(In millions)
2011
2010
2009
Current:
Federal
$ (23)
$ (79)
$ 160
State
15
3
17
Non-U.S.
29
19
(8)
21
(57)
169
Deferred:
Federal
67
59
(238)
State
1
(5)
(22)
Non-U.S.
6
(3)
15
74
51
(245)
Income tax expense (benefit)
$ 95
$ (6)
$ (76)
The current federal and state provisions for 2011 and 2009 include $37 million and $85 million, respectively, of tax related to the
sale of certain leverage leases in the Finance segment for which we had previously recorded significant deferred tax liabilities. A
substantial portion of the $85 million was paid in 2010.
78
Estimated Future Cash Flow Impact
Defined benefits under salaried plans are based on salary and years of service. Hourly plans generally provide benefits based on
stated amounts for each year of service. Our funding policy is consistent with applicable laws and regulations. In 2012, we expect
to contribute approximately $175 million to fund our qualified pension plans, non-qualified plans and foreign plans. Additionally,
we expect to contribute $25 million to the RAP. We do not expect to contribute to our other postretirement benefit plans. Benefit
payments provided below reflect expected future employee service, as appropriate, are expected to be paid, net of estimated
participant contributions, and do not include the Medicare Part D subsidy we expect to receive. These payments are based on the
same assumptions used to measure our benefit obligation at the end of fiscal 2011. While pension benefit payments primarily will
be paid out of qualified pension trusts, we will pay postretirement benefits other than pensions out of our general corporate assets.
Benefit payments that we expect to pay are as follows:
78 Textron Inc. Annual Report • 2011