LabCorp 2010 Annual Report Download - page 49

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47
The following table summarizes the effect of the interest
rate swap on other comprehensive income for the years
ended December 31, 2010 and 2009:
2010 2009
Effective portion of derivative gain $ 8.2 $ 2.9
19. Executive Retirement
In October 2008, the Company announced the retirement
of its Executive Vice President, Corporate Affairs (“EVP”),
Bradford T. Smith, effective December 31, 2008. During
the fourth quarter of 2008, the Company recorded charges
of approximately $3.7, which included $2.0 related to the
acceleration of the recognition of stock compensation and
$1.7 related to the acceleration of certain defined benefit
plan obligations.
Following the announcement of his retirement as EVP,
Mr. Smith entered into a consulting agreement with the Company
effective January 1, 2009. The agreement provided for additional
services to be provided by Mr. Smith following the termination
of his employment as EVP to assist the Company during a
transition period. Mr. Smith was Vice Chairman of the Board
through the annual meeting of shareholders in May 2009. For
purposes of calculating pension benefits, the agreement pro-
vided for an unreduced pension benefit, starting at age 55.
20. Supplemental Cash Flow Information
Years Ended December 31,
2010 2009 2008
Supplemental schedule of cash flow information:
Cash paid during period for:
Interest $ 55.5 $ 50.7 $ 56.1
Income taxes, net of refunds 355.0 304.1 211.8
Disclosure of non-cash financing and
investing activities:
Surrender of restricted stock awards and
performance shares 2.4 2.7 32.7
Accrued repurchases of common stock (0.5) 0.5 (3.0)
Purchase of equipment in accrued expenses – 2.8 –
LABORATORY CORPORATION OF AMERICA
Notes to Consolidated Financial Statements