Johnson Controls 2013 Annual Report Download - page 19

19
of liability at additional sites in the future. Where potential liabilities are alleged, the Company pursues a course of action intended
to mitigate them.
The Company accrues for potential environmental liabilities in a manner consistent with accounting principles generally accepted
in the United States; that is, when it is probable a liability has been incurred and the amount of the liability is reasonably estimable.
Reserves for environmental liabilities totaled $25 million at September 30, 2013 and 2012. The Company reviews the status of its
environmental sites on a quarterly basis and adjusts its reserves accordingly. Such potential liabilities accrued by the Company do
not take into consideration possible recoveries of future insurance proceeds. They do, however, take into account the likely share
other parties will bear at remediation sites. It is difficult to estimate the Company’s ultimate level of liability at many remediation
sites due to the large number of other parties that may be involved, the complexity of determining the relative liability among
those parties, the uncertainty as to the nature and scope of the investigations and remediation to be conducted, the uncertainty in
the application of law and risk assessment, the various choices and costs associated with diverse technologies that may be used in
corrective actions at the sites, and the often quite lengthy periods over which eventual remediation may occur. Nevertheless, the
Company does not currently believe that any claims, penalties or costs in connection with known environmental matters will have
a material adverse effect on the Company’s financial position, results of operations or cash flows. In addition, the Company has
identified asset retirement obligations for environmental matters that are expected to be addressed at the retirement, disposal,
removal or abandonment of existing owned facilities, primarily in the Power Solutions business. At September 30, 2013 and 2012,
the Company recorded conditional asset retirement obligations of $56 million and $76 million, respectively.
The Company is involved in a number of product liability and various other casualty lawsuits incident to the operation of its
businesses. The Company maintains insurance coverages and records estimated costs for claims and suits of this nature. It is
management’s opinion that none of these will have a material adverse effect on the Company’s financial position, results of
operations or cash flows. Costs related to such matters were not material to the periods presented.
ITEM 4 MINE SAFETY DISCLOSURES
Not applicable.
EXECUTIVE OFFICERS OF THE REGISTRANT
Pursuant to General Instruction G(3) of Form 10-K, the following list of executive officers of the Company as of November 20,
2013 is included as an unnumbered Item in Part I of this report in lieu of being included in the Company’s Proxy Statement relating
to the Annual Meeting of Shareholders to be held on January 29, 2014.
Beda Bolzenius, 57, was elected a Corporate Vice President in November 2005 and has served as President - Automotive
Seating since October 2012. He previously served as President of the Automotive Experience business from November 2006
to October 2012 and as Executive Vice President and General Manager Europe, Africa and South America for Automotive
Experience from November 2004 to November 2006. Dr. Bolzenius joined the Company in November 2004 from Robert
Bosch GmbH, a global manufacturer of automotive and industrial technology, consumer goods and building technology, where
he most recently served as the president of Bosch’s Body Electronics division.
Colin Boyd, 54, was elected Vice President, Information Technology and Chief Information Officer in October 2008. Mr.
Boyd previously served as Chief Information Officer and Corporate Vice President of Sony Ericsson from 2002 to 2008.
Susan F. Davis, 60, was elected Executive Vice President of Human Resources in September 2006. She previously served
as Vice President of Human Resources from May 1994 to September 2006 and as Vice President of Organizational Development
for the Automotive Experience business from August 1993 to April 1994. Ms. Davis joined the Company in 1983. Ms. Davis
is a Director of Quanex Building Products Corporation, where she is the Chairwoman of the Compensation and Management
Development Committee and serves on the Nominating and Corporate Governance Committee.
Charles A. Harvey, 61, was elected Corporate Vice President of Diversity and Public Affairs in November 2005. He
previously served as Vice President of Human Resources for the Automotive Experience business and in other human resources
leadership positions. Mr. Harvey joined the Company in 1991.
William C. Jackson, 53, was named Executive Vice President, Corporate Development, in September 2013 and has served
as President - Automotive Electronics & Interiors since March 2012. Mr. Jackson also served as Executive Vice President -
Operations and Innovation, from May 2011 to September 2013. Prior to joining Johnson Controls, Mr. Jackson was Vice
President and President of Automotive at Sears Holdings Corporation from 2009 to 2010. Prior to that, he served as Senior