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Appendix A
SUPPLEMENTAL INFORMATION
GAAP TO NON-GAAP RECONCILIATION
A reconciliation between our net income per diluted common share as reported under U. S. generally accepted
accounting principles (“GAAP”) and our net income per diluted common share, excluding adjustments for the
litigation charge (credit), net is as follows:
Years Ended March 31,
(In millions except per share data) 2010 2009
2008 2007 2006
Net income, as reported $ 1,263 $ 823 $ 990 $ 913 $ 751
Exclude:
Litigation charge (credit), net (20) 493 (5) (6) 45
Income tax expense (benefit),
net 8 (182) 2 2 (15)
Income tax reserve reversal — — — (83) —
Litigation charge (credit), net
of tax (12) 311 (3) (87) 30
Net income, excluding litigation
charge (credit), net $ 1,251 $ 1,134 $ 987 $ 826 $ 781
Diluted earnings per common
share, excluding litigation
charge (credit), net (1) $ 4.58 $ 4.07 $ 3.31 $ 2.71 $ 2.48
Shares on which diluted earnings
per common share, excluding
the litigation charge (credit),
net were based 273
279
298 305 316
(1) For 2006, interest expense, net of related income taxes, of $1 million has been added to net income, excluding the litigation
charges, for purpose of calculating diluted earnings per common share. This calculation also includes the impact of dilutive
securities (stock options, convertible junior subordinated debentures, and restricted stock).
These pro forma amounts are non-GAAP financial measures. We use these measures internally when assessing
the performance of the organization, our operating segments and our senior management team and consider these
results to be useful to investors as they provide relevant benchmarks of core operating performance.