Estee Lauder 2009 Annual Report Download - page 152

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THE EST{E LAUDER COMPANIES INC. 151
As of June 30, 2009, 2008 and 2007, outstanding options to purchase 18.7 million, 7.1 million and 6.0 million shares,
respectively, of Class A Common Stock were not included in the computation of diluted EPS because their inclusion
would be anti-dilutive. As of June 30, 2009, 2008 and 2007, 0.2 million of performance share units have been excluded
from the calculation of diluted EPS because the number of shares ultimately issued is contingent on the achievement of
certain performance targets of the Company, as discussed in Note 16.
NOTE 18
—
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
The components of Accumulated other comprehensive income (“AOCI”) included in the accompanying consolidated
balance sheets consist of the following:
YEAR ENDED JUNE 30 2009 2008 2007
(In millions)
Net unrealized investment gains, beginning of year $ 0.3 $ 0.8 $ 0.5
Unrealized investment gains (losses) (0.8) (0.9) 0.5
Benefi t (provision) for deferred income taxes 0.3 0.4 (0.2)
Net unrealized investment gains, end of year (0.2) 0.3 0.8
Net derivative instruments, beginning of year 7.9 8.2 10.3
Gain (loss) on derivative instruments 16.5 (4.7) (7.4)
Benefi t (provision) for deferred income taxes on derivative instruments (5.8) 1.6 2.5
Reclassifi cation to earnings during the year:
Foreign currency forward and option contracts (26.1) 4.4 4.5
Settled interest rate-related derivatives (0.3) (0.2) (0.3)
Benefi t (provision) for deferred income taxes on reclassifi cation 9.3 (1.4) (1.4)
Net derivative instruments, end of year 1.5 7.9 8.2
Net minimum pension liability adjustments, beginning of year — — (6.1)
Minimum pension liability adjustments — — (6.7)
Benefi t (provision) for deferred income taxes — — 2.7
Adjustment to initially apply new accounting standard, net of tax — — 10.1
Net minimum pension liability adjustments, end of year — — —
Net pension and post-retirement adjustments, beginning of year (108.8) (67.4) —
Adjustment to initially apply new accounting standard — — (98.7)
Changes in plan assets and benefi t obligations:
Net actuarial gains (losses) recognized (138.5) (38.2) —
Net prior service credit (cost) recognized (0.7) (34.0) —
Translation adjustments 8.7 (0.3) —
Amortization of amounts included in net periodic benefi t cost:
Net actuarial (gains) losses 4.1 8.4 —
Net prior service cost (credit) 3.0 1.0 —
Net transition asset (obligation) — 0.1 —
Benefi t (provision) for deferred income taxes 41.5 21.6 31.3
Net pension and post-retirement adjustments, end of year (190.7) (108.8) (67.4)
Cumulative translation adjustments, beginning of year 211.4 113.1 60.0
Translation adjustments (138.4) 103.7 53.1
Benefi t (provision) for deferred income taxes (0.7) (5.4) —
Cumulative translation adjustments, end of year 72.3 211.4 113.1
Accumulated other comprehensive income (loss) $(117.1) $110.8 $ 54.7