Visa 2013 Annual Report Download - page 86

Download and view the complete annual report

Please find page 86 of the 2013 Visa 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 150

  • 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
  • 147
  • 148
  • 149
  • 150

VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2013
incremental common stock equivalents is reflected in diluted earnings per share by application of the
treasury stock method. See Note 15 —Earnings Per Share.
Recently Issued Accounting Pronouncements
In June 2011, the FASB issued ASU 2011-05, which impacts the presentation of comprehensive
income. The guidance requires components of other comprehensive income to be presented with net
income to arrive at total comprehensive income. This ASU impacts presentation only and does not
impact the underlying components of other comprehensive income or net income. In December 2011,
the FASB issued an amendment to ASU 2011-05, which deferred the requirement to report the effect
of significant reclassifications out of other comprehensive income on the respective line items in net
income. All other components of ASU 2011-05 became effective October 1, 2012. Adoption did not
have a material impact on the consolidated financial statements.
In February 2013, the FASB issued ASU 2013-02, which established the effective date for the
requirement to report the effect of significant reclassifications out of accumulated other comprehensive
income on the respective line items in net income. The standard impacts presentation only and does
not impact the underlying components of other comprehensive income or net income. The Company
will adopt the standard effective October 1, 2013. The adoption is not expected to have a material
impact on the consolidated financial statements.
In January 2013, the FASB issued ASU 2013-01, which clarifies the scope of ASU 2011-11. As
amended, ASU 2011-11 requires disclosure of the effect or potential effect of offsetting arrangements
on a Company’s financial position as well as enhanced disclosure of the rights of offset associated with
a Company’s recognized derivative instruments, including bifurcated embedded derivatives,
repurchase agreements and reverse repurchase agreements, and securities borrowing and lending
transactions. The amended standard impacts presentation only and is not expected to have a material
impact on the consolidated financial statements. The Company will adopt the standard effective
October 1, 2013.
In February 2013, the FASB issued ASU 2013-04, which provides guidance for the recognition,
measurement and disclosure of obligations resulting from joint and several liability arrangements for
which the total amount of the obligation is fixed at the reporting date. The Company will adopt the
standard effective October 1, 2014. The adoption is not expected to have a material impact on the
consolidated financial statements.
In March 2013, the FASB issued ASU 2013-05, which clarifies the applicable guidance for the
release of the cumulative translation adjustment into net income when a parent either sells a part or all
of its investment in a foreign entity, or no longer holds a controlling financial interest in a subsidiary or
group of assets that is a nonprofit activity or a business within a foreign entity. The Company will adopt
the standard effective October 1, 2014. The adoption is not expected to have a material impact on the
consolidated financial statements.
In July 2013, the FASB issued ASU 2013-11, which provides guidance for the financial statement
presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss
or a tax credit carryforward exists. The Company will adopt the standard effective October 1, 2014. The
adoption is not expected to have a material impact on the consolidated financial statements.
78