Coca Cola 2006 Annual Report Download - page 130

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Quarterly Data (Unaudited)
First Second Third Fourth
Year Ended December 31, Quarter Quarter Quarter Quarter Full Year
(In millions, except per share data)
2006
Net operating revenues $ 5,226 $ 6,476 $ 6,454 $ 5,932 $ 24,088
Gross profit 3,500 4,366 4,189 3,869 15,924
Net income 1,106 1,836 1,460 678 5,080
Basic net income per share $ 0.47 $ 0.78 $ 0.62 $ 0.29 $ 2.16
Diluted net income per share $ 0.47 $ 0.78 $ 0.62 $ 0.29 $ 2.16
2005
Net operating revenues $ 5,206 $ 6,310 $ 6,037 $ 5,551 $ 23,104
Gross profit 3,388 4,164 3,802 3,555 14,909
Net income 1,002 1,723 1,283 864 4,872
Basic net income per share $ 0.42 $ 0.72 $ 0.54 $ 0.36 $ 2.04
Diluted net income per share $ 0.42 $ 0.72 $ 0.54 $ 0.36 $ 2.04
Our reporting period ends on the Friday closest to the last day of the quarterly calendar period. Our fiscal
year ends on December 31 regardless of the day of the week on which December 31 falls.
The Company’s first quarter of 2006 results were impacted by one less shipping day as compared to the first
quarter of 2005. Additionally, the Company recorded the following transactions which impacted results:
• Impairment charges totaling approximately $42 million primarily related to the impairment of certain assets and
investments in certain bottling operations in Asia. Refer to Note 18.
• Approximately $3 million of charges primarily related to restructuring in East, South Asia and Pacific Rim. Refer to
Note 18.
• An approximate $9 million charge to equity income for our proportionate share of CCE’s restructuring costs. Refer
to Note 3.
• An income tax benefit of approximately $7 million primarily related to asset impairment and restructuring charges in
Asia. Refer to Note 17.
• Approximately $10 million of income tax expense primarily related to increases in tax reserves. Refer to Note 17.
In the second quarter of 2006, the Company recorded the following transactions which impacted results:
• An approximate $123 million net gain related to the sale of a portion of our investment in Coca-Cola Icecek in an
initial public offering. This gain was recorded in the line item other income (loss) — net. Refer to Note 18.
• Charges totaling approximately $31 million primarily related to costs associated with production capacity efficiencies
and other restructuring costs in Asia and the European Union. Refer to Note 18.
• An approximate $21 million benefit to equity income for our proportionate share of favorable changes in certain of
CCE’s state and Canadian federal and provincial tax rates. Refer to Note 3.
• Approximately $22 million of income tax expense related to the anticipated future resolution of certain tax matters.
Refer to Note 17.
• An income tax benefit of approximately $14 million related to the sale of a portion of our investment in Coca-Cola
Icecek. Refer to Note 17.
In the third quarter of 2006, the Company recorded the following transactions which impacted results:
• Approximately $39 million of charges primarily related to the impairment of certain intangible assets and
investments in certain bottling operations, costs to rationalize production and other restructuring costs in Africa, the
European Union and Asia. Refer to Note 18.
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