American Express 2008 Annual Report Download - page 90

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notes to consolidated financial statements
american express company
88
note 7
changes in accumulated other comprehensive income (loss)
Changes in each component of accumulated other comprehensive income (loss) for the three years ended December 31, were as
follows:
Three Years Ended December 31,
(Millions), net of tax(a)
Net
Unrealized
Gains (Losses)
on Securities
Net
Unrealized
Gains
(Losses)
on
Derivatives
Foreign
Currency
Translation
Adjustments
Net
Unrealized
Pension
and Other
Postretirement
Benefit Costs
Minimum
Pension
Liability
Adjustment
Accumulated
Other
Comprehensive
Income (Loss)
Balances at December 31, 2005 $137 $ 143 $(400) $ — $(19) $(139)
Investment securities
Net unrealized securities gains 8 8
Reclassification for net realized gains (54) (54)
Other gains(b) 44 44
Derivatives
Net unrealized gains on cash flow hedges 42 42
Cash flow hedge gains reclassified to earnings (158) (158)
Foreign currency translation adjustments
Reclassification to earnings due to sale of foreign entities 110 110
Translation gains 215 215
Net losses related to hedges of investment in foreign
operations (221) (221)
Pension and other postretirement benefit costs
Adjustment to initially apply SFAS No. 158 (415) 19 (396)
Discontinued operations(c) (43) 74 (2) 29
Net change in accumulated other comprehensive
(loss) income (45) (116) 178 (417) 19 (381)
Balances at December 31, 2006 92 27 (222) (417) — (520)
Investment securities
Net unrealized securities losses (80) (80)
Reclassification for net realized gains (5) (5)
Other losses(b) (47) (47)
Derivatives
Net unrealized losses on cash flow hedges (68) (68)
Cash flow hedge gains reclassified to earnings (30) (30)
Foreign currency translation adjustments
Reclassification to earnings due to sale of foreign
entities 3 3
Translation gains 347 347
Net losses related to hedges of investment in foreign
operations (380) (380)
Pension and other postretirement benefit costs
Annual valuation adjustment 239 239
Curtailment impact 18 18
Amortization of prior service cost and net actuarial loss 28 28
Discontinued operations(c) 52 (3) 4 53
Net change in accumulated other comprehensive
(loss) income (80) (98) (33) 289 — 78