Visa 2008 Annual Report Download - page 160

Table of Contents
VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2008
(in millions, except as noted)
to reflect a reallocation of ownership among the regions participating in the reorganization (the "true-up"). The shares held by Visa Europe were
not subject to the true-up but were converted into class C (series II, III and IV) common stock on a one-for-one basis. See Note 3—The
Reorganization and Note 16—Stockholders' Equity and Redeemable Shares for additional information regarding the true-up and conversion of
shares.
• March 19, 2008 through March 27, 2008: Ownership reflects the impact of the following events, all of which were deemed to have occurred, for
the purpose of presenting earnings per share, on March 19, 2008, the date the Company's shares commenced trading on the New York Stock
Exchange:
a) The issuance of 446,600,000 shares of class A common stock in connection with the Company's IPO,
b) The reclassification of all class C (series II) common stock, at its then fair value of $1.125 billion, as temporary or mezzanine level equity
on the Company's consolidated balance sheet with an offset to accumulated income (deficit) to reflect its redemption in October 2008,
and
c) Redeemable shares of class C (series III) common stock totaling 35,263,585, which the Company was required to redeem in October
2008 (the "class C (series III) redemption shares") are classified as a current liability at their redemption price of $1.508 billion on the
Company's consolidated balance sheet.
• March 28, 2008 through September 30, 2008: Ownership reflects the redemption of 154,738,487 shares of class B common stock and
159,657,751 shares of class C (series I) common stock on March 28, 2008 as required by the Company's Charter.
See Note 16—Stockholders' Equity and Redeemable Shares and the consolidated statement of changes in stockholders' equity and accumulated income
(deficit) reflecting these ownership changes over the period and for additional information regarding redeemable common shares.
Calculation of the Numerator—Basic Earnings Per Share
The following tables calculate net income allocated to each series and class of common stock in the calculation of basic earnings per share for the year
ended September 30, 2008.
(in millions)
Net income attributable to common stock classified in stockholders' equity $ 742
Income and accretion allocated to class C (series II) common stock classified in temporary equity 44
Income allocated to class C (series III) common stock classified as a liability 18
Net income $ 804
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