Waste Management 2013 Annual Report Download - page 188

WASTE MANAGEMENT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
For the years ended December 31, 2013 and 2011, non-cash activities included proceeds from tax-exempt
borrowings, net of principal payments made directly from trust funds, of $99 million and $100 million,
respectively. During 2012, we did not have any significant non-cash activities. Non-cash investing and financing
activities are excluded from the Consolidated Statements of Cash Flows.
4. Landfill and Environmental Remediation Liabilities
Liabilities for landfill and environmental remediation costs are presented in the table below (in millions):
December 31, 2013 December 31, 2012
Landfill
Environmental
Remediation Total Landfill
Environmental
Remediation Total
Current (in accrued
liabilities) ............ $ 95 $ 35 $ 130 $ 104 $ 28 $ 132
Long-term .............. 1,326 192 1,518 1,234 225 1,459
$1,421 $227 $1,648 $1,338 $253 $1,591
The changes to landfill and environmental remediation liabilities for the years ended December 31, 2012
and 2013 are reflected in the table below (in millions):
Landfill
Environmental
Remediation
December 31, 2011 ............................................. $1,292 $273
Obligations incurred and capitalized .............................. 58 —
Obligations settled ............................................ (87) (30)
Interest accretion ............................................. 84 4
Revisions in estimates and interest rate assumptions(a)(b) ............. (8) 5
Acquisitions, divestitures and other adjustments .................... (1) 1
December 31, 2012 ............................................. $1,338 $253
Obligations incurred and capitalized .............................. 59 —
Obligations settled ............................................ (71) (20)
Interest accretion ............................................. 87 4
Revisions in estimates and interest rate assumptions(a)(b) ............. 6 (6)
Acquisitions, divestitures and other adjustments .................... 2 (4)
December 31, 2013 ............................................. $1,421 $227
(a) The amounts reported for our landfill liabilities include reductions of approximately $15 million and $20
million for 2012 and 2013, respectively, related to our year-end annual review of landfill final capping,
closure and post-closure obligations. The amount reported in 2013 also includes an increase of
approximately $23 million due to the acceleration of the timing of closure and post-closure activities at two
of our landfills related to landfill asset impairments, discussed further in Note 13.
(b) The amount reported in 2012 for our environmental remediation liabilities includes the impact of a decrease
in the risk-free discount rate used to measure our liabilities from 2.0% at December 31, 2011 to 1.75% at
December 31, 2012, resulting in an increase of $3 million to our environmental remediation liabilities and a
corresponding increase to “Operating” expenses.
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