Waste Management 2006 Annual Report Download - page 143

Download and view the complete annual report

Please find page 143 of the 2006 Waste Management 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 164

  • 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
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164

The table below shows the total revenues by principal line of business (in millions):
2006 2005 2004
Years Ended December 31,
Collection ........................................... $ 8,837 $ 8,633 $ 8,318
Landfill ............................................. 3,197 3,089 3,004
Transfer............................................. 1,802 1,756 1,680
Wheelabrator ......................................... 902 879 835
Recycling and other(a) .................................. 1,074 1,183 1,083
Intercompany(b) ...................................... (2,449) (2,466) (2,404)
Operating revenues .................................... $13,363 $13,074 $12,516
(a) In addition to the revenue generated by our Recycling Group, we have included revenues generated within our
four geographic operating Groups derived from recycling, methane gas operations, and Port-O-Let»services in
the “recycling and other” line of business.
(b) Intercompany revenues between lines of business are eliminated within the Consolidated Financial Statements
included herein.
Net operating revenues relating to operations in the United States and Puerto Rico, as well as Canada are as
follows (in millions):
2006 2005 2004
Years Ended December 31,
United States and Puerto Rico ............................ $12,674 $12,430 $11,924
Canada ............................................. 689 644 592
Total ............................................. $13,363 $13,074 $12,516
Property and equipment (net) relating to operations in the United States and Puerto Rico, as well as Canada are
as follows (in millions):
2006 2005 2004
December 31,
United States and Puerto Rico ............................ $10,163 $10,229 $10,481
Canada ............................................. 1,016 992 995
Total ............................................. $11,179 $11,221 $11,476
21. Quarterly Financial Data (Unaudited)
Fluctuations in our operating results between quarters may be caused by many factors, including peri-
od-to-period changes in the relative contribution of revenue by each line of business and operating segment and
general economic conditions. Our revenues and income from operations typically reflect seasonal patterns. Our
operating revenues tend to be somewhat higher in the summer months, primarily due to the higher volume of
construction and demolition waste. The volumes of industrial and residential waste in certain regions where we
operate also tend to increase during the summer months. Our second and third quarter revenues and results of
operations typically reflect these seasonal trends. Additionally, certain destructive weather conditions that tend to
occur during the second half of the year, such as the hurricanes experienced during 2004 and 2005, actually increase
our revenues in the areas affected. However, for several reasons, including significant start-up costs, such revenue
often generates comparatively lower margins. Certain weather conditions may result in the temporary suspension of
our operations, which can significantly affect the operating results of the affected regions. The operating results of
109
WASTE MANAGEMENT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)