Honeywell 2014 Annual Report Download - page 56

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examinations may impact the valuation of certain deferred tax assets (such as net operating losses) in
future periods.
Unrecognized tax benefits for examinations in progress were $403 million, $431 million and
$443 million, as of December 31, 2014, 2013, and 2012, respectively. Estimated interest and penalties
related to the underpayment of income taxes are classified as a component of Tax Expense in the
Consolidated Statement of Operations and totaled $24 million, $17 million and $37 million for the years
ended December 31, 2014, 2013, and 2012, respectively. Accrued interest and penalties were
$325 million, $301 million and $284 million, as of December 31, 2014, 2013, and 2012, respectively.
Note 6. Earnings Per Share
The details of the earnings per share calculations for the years ended December 31, 2014, 2013
and 2012 are as follows:
Basic 2014 2013 2012
Years Ended December 31,
Net income attributable to Honeywell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,239 $3,924 $2,926
Weighted average shares outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 784.4 786.4 782.4
Earnings per share of common stock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5.40 $ 4.99 $ 3.74
Assuming Dilution 2014 2013 2012
Years Ended December 31,
Net income attributable to Honeywell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $4,239 $3,924 $2,926
Average Shares
Weighted average shares outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 784.4 786.4 782.4
Dilutive securities issuable—stock plans. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.8 10.9 9.5
Total weighted average diluted shares outstanding . . . . . . . . . . . . . . . . . . . . . 795.2 797.3 791.9
Earnings per share of common stock—assuming dilution . . . . . . . . . . . . . . . $ 5.33 $ 4.92 $ 3.69
The diluted earnings per share calculations exclude the effect of stock options when the options’
assumed proceeds exceed the average market price of the common shares during the period. In 2014,
2013, and 2012 the weighted number of stock options excluded from the computations were
4.7 million, 2.2 million, and 12.5 million, respectively. These stock options were outstanding at the end
of each of the respective periods.
Note 7. Accounts, Notes and Other Receivables
2014 2013
December 31,
Trade . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,788 $7,530
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 445 646
8,233 8,176
Less—Allowance for doubtful accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (273) (247)
$7,960 $7,929
Trade Receivables includes $1,636 million and $1,609 million of unbilled balances under long-term
contracts as of December 31, 2014 and December 31, 2013, respectively. These amounts are billed in
accordance with the terms of customer contracts to which they relate.
47
HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)