Coca Cola 2006 Annual Report Download - page 88

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THE COCA-COLA COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 3: BOTTLING INVESTMENTS (Continued)
Net Receivables and Dividends from Equity Method Investees
The total amount of net receivables due from equity method investees, including CCE, was approximately
$857 million and $644 million as of December 31, 2006 and 2005, respectively. The total amount of dividends
received from equity method investees, including CCE, was approximately $226 million, $234 million and
$145 million for the years ended December 31, 2006, 2005 and 2004, respectively.
NOTE 4: ISSUANCES OF STOCK BY EQUITY METHOD INVESTEES
In 2006, our equity method investees did not issue any additional shares to third parties that resulted in our
Company recording any noncash pretax gains.
In 2005, our Company recorded approximately $23 million of noncash pretax gains on issuances of stock by
equity method investees. We recorded deferred taxes of approximately $8 million on these gains. These gains
primarily related to an issuance of common stock by Coca-Cola Amatil, which was valued at an amount greater
than the book value per share of our investment in Coca-Cola Amatil. Coca-Cola Amatil issued approximately
34 million shares of common stock with a fair value of $5.78 each in connection with the acquisition of SPC
Ardmona Pty. Ltd., an Australian packaged fruit company. This issuance of common stock reduced our
ownership interest in the total outstanding shares of Coca-Cola Amatil from approximately 34 percent to
approximately 32 percent.
In 2004, our Company recorded approximately $24 million of noncash pretax gains on issuances of stock by
CCE. The issuances primarily related to the exercise of CCE stock options by CCE employees at amounts
greater than the book value per share of our investment in CCE. We recorded deferred taxes of approximately
$9 million on these gains. These issuances of stock reduced our ownership interest in the total outstanding
shares of CCE from approximately 37 percent to approximately 36 percent.
NOTE 5: PROPERTY, PLANT AND EQUIPMENT
The following table summarizes our property, plant and equipment (in millions):
December 31, 2006 2005
Land $ 495 $ 447
Buildings and improvements 3,020 2,692
Machinery and equipment 7,333 6,271
Containers 556 468
Construction in progress 507 306
$ 11,911 $ 10,184
Less accumulated depreciation 5,008 4,353
Property, plant and equipment — net $ 6,903 $ 5,831
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