GE 2010 Annual Report Download - page 68

66 GE 2010 ANNUAL REPORT
audited financial statements
Statement of Earnings
General Electric Company
and consolidated affiliates
For the years ended December 31 (In millions; per-share amounts in dollars) 2010 2009 2008
REVENUES
Sales of goods $ 60,812 $ 65,067 $ 69,100
Sales of services 39,625 38,710 43,669
Other income (Note 17) 1,151 1,006 1,586
GECS earnings from continuing operations — — —
GECS revenues from services (Note 18) 48,623 50,495 67,226
Total revenues 150,211 155,278 181,581
COSTS AND EXPENSES (Note 19)
Cost of goods sold 46,005 50,580 54,602
Cost of services sold 25,708 25,341 29,170
Interest and other financial charges 15,983 18,309 25,758
Investment contracts, insurance losses and insurance annuity benefits 3,012 3,017 3,213
Provision for losses on financing receivables (Notes 6 and 23) 7,191 10,627 7,233
Other costs and expenses 38,104 37,409 41,835
Total costs and expenses 136,003 145,283 161,811
EARNINGS (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES 14,208 9,995 19,770
Benefit (provision) for income taxes (Note 14) (1,050) 1,148 (1,102)
EARNINGS FROM CONTINUING OPERATIONS 13,158 11,143 18,668
Earnings (loss) from discontinued operations, net of taxes (Note 2) (979) 82 (617)
NET EARNINGS 12,179 11,225 18,051
Less net earnings attributable to noncontrolling interests 535 200 641
NET EARNINGS ATTRIBUTABLE TO THE COMPANY 11,644 11,025 17,410
Preferred stock dividends declared (300) (300) (75)
NET EARNINGS ATTRIBUTABLE TO GE COMMON SHAREOWNERS $ 11,344 $ 10,725 $ 17,335
AMOUNTS ATTRIBUTABLE TO THE COMPANY
Earnings from continuing operations $ 12,623 $ 10,943 $ 18,027
Earnings (loss) from discontinued operations, net of taxes (979) 82 (617)
NET EARNINGS ATTRIBUTABLE TO THE COMPANY $ 11,644 $ 11,025 $ 17,410
PER-SHARE AMOUNTS (Note 20)
Earnings from continuing operations
Diluted earnings per share $ 1.15 $ 1.00 $ 1.78
Basic earnings per share 1.15 1.00 1.78
Net earnings
Diluted earnings per share 1.06 1.01 1.72
Basic earnings per share 1.06 1.01 1.72
DIVIDENDS DECLARED PER SHARE 0.46 0.61 1.24
See Note 3 for other-than-temporary impairment amounts.
Consolidated Statement of Changes in Shareowners’ Equity
(In millions) 2010 2009 2008
CHANGES IN SHAREOWNERS’ EQUITY (Note 15)
GE shareowners’ equity balance at January 1 $117,291 $104,665 $115,559
Dividends and other transactions with shareowners (5,701) (5,049) 1,873
Other comprehensive income (loss)
Investment securities—net 16 2,659 (3,218)
Currency translation adjustments—net (3,874) 4,135 (11,007)
Cash flow hedges—net 454 1,598 (2,664)
Benefit plans—net 1,079 (1,804) (13,288)
Total other comprehensive income (loss) (2,325) 6,588 (30,177)
Increases from net earnings attributable to the Company 11,644 11,025 17,410
Comprehensive income (loss) 9,319 17,613 (12,767)
Cumulative effect of changes in accounting principles(a) (1,973) 62 —
Balance at December 31 118,936 117,291 104,665
Noncontrolling interests(b) 5,262 7,845 8,947
Total equity balance at December 31 $124,198 $125,136 $113,612
On January 1, 2009, we adopted an amendment to Accounting Standards Codification (ASC) 810, Consolidation, that requires certain changes to the presentation of our
financial statements. This amendment requires us to classify noncontrolling interests (previously referred to as “minority interest”) as part of shareowners’ equity.
(a) On January 1, 2010, we adopted amendments to ASC 860, Transfers and Servicing and ASC 810, Consolidation, and recorded a cumulative effect adjustment. See Notes 15 and
24. We adopted amendments to ASC 320, Investments—Debt and Equity Securities, and recorded a cumulative effect adjustment to increase retained earnings as of April 1, 2009. See
Notes 3 and 15.
(b) See Note 15 for an explanation of the changes in noncontrolling interests for 2010 and 2009.
See accompanying notes.