First Data 2009 Annual Report Download - page 139

FIRST DATA CORPORATION
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
As of December 31, 2009, the Company had aggregate federal net operating loss carryforwards of
approximately $1,130 million. If not utilized, these carryforwards will expire in years 2015 through 2029.
As of December 31, 2009, the Company had aggregate foreign net operating loss carryforwards of
approximately $231 million. Foreign net operating loss carryforwards of $149 million, if not utilized, will expire
in years 2010 through 2019. The remaining foreign net operating loss carryforwards of $82 million have an
indefinite life.
As of December 31, 2009, the Company had aggregate state net operating loss carryforwards of
approximately $2,302 million. If not utilized, these carryforwards will expire in years 2010 through 2029.
As of December 31, 2009, the Company had foreign tax credit carryforwards of approximately $54 million.
If not utilized, these carryforwards will expire in years 2017 through 2019.
A reconciliation of the unrecognized tax benefits for the predecessor period from January 1, 2007 through
September 24, 2007, the successor period from September 25, 2007 through December 31, 2007, the year ended
December 31, 2008 and the year ended December 31, 2009 is as follows (in millions):
Predecessor:
Balance as of January 1, 2007 .................................................. $303.5
Increases for tax positions of prior years ...................................... 28.6
Increases for tax positions related to the current period .......................... 7.8
Decreases due to the lapse of applicable statute of limitations ..................... (30.9)
Balance as of September 24, 2007 ............................................... 309.0
Successor:
Increases for tax positions of prior years ...................................... 5.4
Increases for tax positions related to the current period .......................... 58.4
Decreases for cash settlements with taxing authorities ........................... (0.6)
Decreases due to the lapse of applicable statute of limitations ..................... (4.1)
Balance as of December 31, 2007 ............................................... 368.1
Increases for tax positions of prior years ...................................... 23.1
Decreases for tax positions of prior years ..................................... (11.6)
Increases for tax positions related to the current period .......................... 4.9
Decreases for cash settlements with taxing authorities ........................... (3.3)
Decreases due to the lapse of applicable statute of limitations ..................... (9.7)
Balance as of December 31, 2008 ............................................... 371.5
Increases for tax positions of prior years ...................................... 21.6
Decreases for tax positions of prior years ..................................... (5.2)
Increases for tax positions related to the current period .......................... 35.4
Decreases for cash settlements with taxing authorities ........................... (2.9)
Decreases due to the lapse of applicable statute of limitations ..................... (5.4)
Balance as of December 31, 2009 ............................................... $415.0
Most of the unrecognized tax benefits are included in the “Other long-term liabilities” line of the
Consolidated Balance Sheets, net of the federal benefit on state income taxes (approximately $26 million at
December 31, 2009). However, those unrecognized tax benefits that affect the federal consolidated tax years
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