Waste Management 2011 Annual Report Download - page 195

WASTE MANAGEMENT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
result of a change in our expectations for the future operations of the landfill. The remaining impairment charges
were primarily attributable to a charge required to write down certain of our investments in portable self-storage
operations to their fair value as a result of our acquisition of a controlling financial interest in those operations.
Other — We filed a lawsuit in March 2008 related to the revenue management software implementation that
was suspended in 2007 and abandoned in 2009. In April 2010, we settled the lawsuit and received a one-time
cash payment. The settlement increased our “Income from operations” for the year ended December 31, 2010 by
$77 million.
14. Accumulated Other Comprehensive Income
The components of accumulated other comprehensive income, which is included as a component of Waste
Management, Inc. stockholders’ equity, were as follows (in millions):
December 31,
2011 2010 2009
Accumulated unrealized loss on derivative instruments, net of taxes of $39
for 2011, $20 for 2010 and $4 for 2009 ............................ $(62) $ (33) $ (8)
Accumulated unrealized gain on available-for-sale securities, net of taxes of
$1 for 2011, $3 for 2010 and $1 for 2009 ...........................252
Foreign currency translation adjustments ............................. 243 261 212
Funded status of post-retirement benefit obligations, net of taxes of $9 for
2011, $4 for 2010 and $1 for 2009 ................................ (11) (3) 2
$172 $230 $208
15. Capital Stock, Dividends and Share Repurchases
Capital Stock
We have 1.5 billion shares of authorized common stock with a par value of $0.01 per common share. As of
December 31, 2011, we had 460.5 million shares of common stock issued and outstanding. The Board of
Directors is authorized to issue preferred stock in series, and with respect to each series, to fix its designation,
relative rights (including voting, dividend, conversion, sinking fund, and redemption rights), preferences
(including dividends and liquidation) and limitations. We have ten million shares of authorized preferred stock,
$0.01 par value, none of which is currently outstanding.
Dividends
Our quarterly dividends have been declared by our Board of Directors and paid in accordance with our
capital allocation programs. Cash dividends declared and paid were $637 million in 2011, or $1.36 per common
share, $604 million in 2010, or $1.26 per common share and $569 million in 2009, or $1.16 per common share.
In December 2011, we announced that our Board of Directors expects to increase the per share quarterly
dividend from $0.34 to $0.355 for dividends declared in 2012. However, all future dividend declarations are at
the discretion of the Board of Directors, and depend on various factors, including our net earnings, financial
condition, cash required for future business plans and other factors the Board may deem relevant.
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