Verizon Wireless 2010 Annual Report Download - page 57

Notes to Consolidated Financial Statements continued
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NOTE 5
PLANT, PROPERTY AND EQUIPMENT
The following table displays the details of Plant, property and equipment,
which is stated at cost:
(dollars in millions)
At December 31, 2010 2009
Land $ 865 $ 925
Buildings and equipment 21,064 21,492
Network equipment 170,086 184,547
Furniture, office and data processing equipment 8,301 9,083
Work in progress 4,375 4,194
Leasehold improvements 4,816 4,694
Vehicles and other 2,148 4,808
211,655 229,743
Less accumulated depreciation 123,944 137,758
Total $ 87,711 $ 91,985
NOTE 6
INVESTMENTS IN UNCONSOLIDATED BUSINESSES
Our investments in unconsolidated businesses are comprised of the
following:
(dollars in millions)
At December 31, Ownership 2010 2009
Equity Investees
Vodafone Omnitel 23.1% $ 2,002 $ 1,978
Other Various 1,471 1,130
Total equity investees 3,473 3,108
Cost Investees Various 24 10
Total investments in
unconsolidated businesses $ 3,497 $ 3,118
Dividends and repatriations of foreign earnings received from these
investees amounted to $0.5 billion in 2010, $0.9 billion in 2009 and $0.8
billion in 2008.
Equity Method Investments
Vodafone Omnitel
Vodafone Omnitel N.V. (Vodafone Omnitel) is the second largest wireless
communications company in Italy. At December 31, 2010 and 2009, our
investment in Vodafone Omnitel included goodwill of $1.1 billion.
Other Equity Investees
We have limited partnership investments in entities that invest in afford-
able housing projects, for which we provide funding as a limited partner
and receive tax deductions and tax credits based on our partnership
interests. At December 31, 2010 and 2009, we had equity investments in
these partnerships of $1.2 billion and $0.9 billion, respectively. We adjust
the carrying value of these investments for any losses incurred by the
limited partnerships through earnings.
The remaining investments include wireless partnerships in the U.S. and
other smaller domestic and international investments.
Cost Method Investments
Some of our cost investments are carried at their current market value.
Other cost investments are carried at their original cost if the current
market value is not readily determinable. We do however, adjust the car-
rying value of these securities in cases where we have determined that a
decline in their estimated market value is other-than-temporary.
Summarized Financial Information
Summarized financial information for our equity investees is as follows:
Balance Sheet
(dollars in millions)
At December 31, 2010 2009
Current assets $ 3,620 $ 3,588
Noncurrent assets 7,568 8,179
Total assets $ 11,188 $ 11,767
Current liabilities $ 5,509 $ 6,804
Noncurrent liabilities 8 49
Equity 5,671 4,914
Total liabilities and equity $ 11,188 $ 11,767
Income Statement
(dollars in millions)
Years Ended December 31, 2010 2009 2008
Net revenue $ 12,356 $ 12,903 $ 13,077
Operating income 4,156 4,313 3,820
Net income 2,563 2,717 2,634
NOTE 7
NONCONTROLLING INTEREST
Noncontrolling interests in equity of subsidiaries were as follows:
(dollars in millions)
At December 31, 2010 2009
Noncontrolling interests in consolidated subsidiaries:
Verizon Wireless $ 47,557 $ 41,950
Wireless partnerships 786 811
$ 48,343 $ 42,761
Wireless Joint Venture
Our Domestic Wireless segment, Cellco Partnership doing business
as Verizon Wireless (Verizon Wireless) is a joint venture formed in April
2000 by the combination of the U.S. wireless operations and interests of
Verizon and Vodafone. Verizon owns a controlling 55% interest in Verizon
Wireless and Vodafone owns the remaining 45%.