Coca Cola 2007 Annual Report Download - page 133

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Quarterly Data (Unaudited)
Year Ended December 31, First
Quarter Second
Quarter Third
Quarter Fourth
Quarter Full Year
(In millions except per share data)
2007
Net operating revenues $ 6,103 $ 7,733 $ 7,690 $ 7,331 $ 28,857
Gross profit 3,958 4,997 4,806 4,690 18,451
Net income 1,262 1,851 1,654 1,214 5,981
Basic net income per share $ 0.55 $ 0.80 $ 0.72 $ 0.52 $ 2.59
Diluted net income per share $ 0.54 $ 0.80 $ 0.71 $ 0.52 $ 2.57
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
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 2007 results were impacted by one less shipping day as compared to the first
quarter of 2006. Additionally, the Company recorded the following transactions which impacted results:
• Approximately $10 million of charges primarily related to restructuring and asset write-downs in Africa,
Bottling Investments and Corporate. Refer to Note 18 and Note 19.
• An approximate $73 million charge to equity income—net primarily related to our proportionate share of
asset write-downs by CCBPI. Refer to Note 19.
• An approximate $137 million net gain primarily due to the sale of real estate in Spain and the sale of
substantially all of our ownership interest in Vonpar. Refer to Note 19.
• Approximately $73 million of tax expense related to the gains on the sale of our ownership interest in Vonpar
and the sale of real estate in Spain, as mentioned above. Refer to Note 17.
• An approximate $11 million tax expense related to amounts required to be recorded for changes to our
uncertain tax positions under Interpretation No. 48, including interest and penalties. Refer to Note 17.
In the second quarter of 2007, the Company recorded the following transactions which impacted results:
• Approximately $48 million of charges primarily related to restructuring and asset write-downs in Africa,
European Union, Latin America, the Pacific, Bottling Investments and Corporate. Refer to Note 18 and Note
19.
• An approximate $89 million charge to equity income—net primarily related to our proportionate share of an
impairment recorded on investments by Coca-Cola Amatil in bottling operations in South Korea, along with
our proportionate share of an asset write-down recorded by CCBPI and our proportionate share of
restructuring charges recorded by CCE. Refer to Note 3 and Note 19.
• An approximate $38 million tax benefit related to restructuring and asset write-downs and our proportionate
share of charges recorded by equity investees, as mentioned above. Refer to Note 17.
• An approximate $30 million tax expense related to amounts required to be recorded for changes to our
uncertain tax positions under Interpretation No. 48. Refer to Note 17.
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