McKesson 2015 Annual Report Download - page 121

Download and view the complete annual report

Please find page 121 of the 2015 McKesson annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 146

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146

McKESSON CORPORATION
FINANCIAL NOTES (Continued)
In May 2015, the Board authorized the repurchase of up to $500 million of the Company’s common stock.
During the fourth quarter of 2013, we retired approximately 2 million shares that were repurchased for $217
million by the Company. The retired shares constitute authorized but unissued shares. We elected to allocate any
excess of share repurchase price over par value between additional paid-in capital and retained earnings. As such,
$195 million was recorded as a decrease to retained earnings.
Other Comprehensive Income (Loss)
Information regarding other comprehensive income (loss) including noncontrolling and redeemable
noncontrolling interests, net of tax, by component is as follows:
Years Ended March 31,
(In millions) 2015 2014 2013
Foreign currency translation adjustments
Foreign currency translation adjustments arising during period, net of
income tax expense (benefit) of nil, nil and ($2) (1) $(1,845) $ 9 $ (52)
Reclassified to income statement, net of income tax expense of nil, $24 and
nil (2) (10) 44 —
(1,855) 53 (52)
Unrealized losses on cash flow hedges
Unrealized losses on cash flow hedges arising during period, net of income
tax benefit of nil, nil and nil (13) (6) —
Reclassified to income statement, net of income tax expense of nil, nil and
nil 3 — —
(10) (6) —
Changes in retirement-related benefit plans
Net actuarial gain (loss) and prior service credit (cost) arising during
period, net of income tax (benefit) of ($66), $16 and ($22) (140) 17 (40)
Amortization of actuarial loss, prior service cost and transition obligation,
net of income tax expense of $6, $12 and $12 (3) 11 22 18
Foreign currency translation adjustments and other, net of income tax
expense of nil, nil and nil 4 (4) 4
Reclassified to income statement, net of income tax expense of nil, $1 and
nil 1 1 —
(124) 36 (18)
Other Comprehensive Income (Loss), net of tax $(1,989) $ 83 $ (70)
(1) 2015 includes net foreign currency translation losses of $267 million and 2014 includes net foreign currency
translations gains of $21 million attributable to noncontrolling and redeemable noncontrolling interests.
(2) 2014 includes net foreign currency translation losses of $44 million reclassified from accumulated other
comprehensive income to other income (loss), net, within our consolidated statement of operations due to
the sale of our 49% equity interest in Nadro. Such losses were previously considered in our impairment
evaluation of the investment when we committed to a plan to sell the investment during the fourth quarter of
2013 and, accordingly, did not impact earnings in 2014.
116