Balance Sheet p&g 2009
Content
The Procter & Gamble Company 49
Consolidated Statements of Earnings
Amounts in millions except per share amounts; Years ended June 30
2009
2008
2007
NET SALES
Cost of products sold Selling, general and administrative expense
OPERATING INCOME
$79,029 38,898 24,008 16,123 1,358 560 15,325 4,032 11,293 2,143 $13,436
$81,748 39,536 25,575 16,637 1,467 462 15,632 3,834 11,798 277 $12,075
$74,832 35,659 24,170 15,003 1,304 565 14,264 4,201 10,063 277 $10,340
Interest expense Other non-operating income, net
EARNINGS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
Income taxes on continuing operations
NET EARNINGS FROM CONTINUING OPERATIONS NET EARNINGS FROM DISCONTINUED OPERATIONS NET EARNINGS BASIC NET EARNINGS PER COMMON SHARE:
Earnings from continuing operations Earnings from discontinued operations
BASIC NET EARNINGS PER COMMON SHARE DILUTED NET EARNINGS PER COMMON SHARE:
$
3.76 0.73 4.49 3.58 0.68
$
3.77 0.09 3.86 3.56 0.08
$
3.13 0.09 3.22 2.96 0.08
Earnings from continuing operations Earnings from discontinued operations
DILUTED NET EARNINGS PER COMMON SHARE DIVIDENDS PER COMMON SHARE
$
4.26 1.64
$
3.64 1.45
$
3.04 1.28
See accompanying Notes to Consolidated Financial Statements.
50
The Procter & Gamble Company
Consolidated Balance Sheets
Assets
Amounts in millions; June 30 2009 2008
CURRENT ASSETS
Cash and cash equivalents Accounts receivable Inventories Materials and supplies Work in process Finished goods Total inventories Deferred income taxes Prepaid expenses and other current assets
TOTAL CURRENT ASSETS PROPERTY, PLANT AND EQUIPMENT
$
4,781 5,836 1,557 672 4,651 6,880 1,209 3,199 21,905 6,724 29,042 885 36,651 (17,189) 19,462 56,512 32,606
$
3,313 6,761 2,262 765 5,389 8,416 2,012 4,013 24,515 7,052 30,145 889 38,086 (17,446) 20,640 59,767 34,233
Buildings Machinery and equipment Land Total property, plant and equipment Accumulated depreciation
NET PROPERTY, PLANT AND EQUIPMENT GOODWILL AND OTHER INTANGIBLE ASSETS
Goodwill Trademarks and other intangible assets, net
NET GOODWILL AND OTHER INTANGIBLE ASSETS OTHER NONCURRENT ASSETS TOTAL ASSETS
89,118 4,348 $134,833
94,000 4,837 $143,992
See accompanying Notes to Consolidated Financial Statements.
The Procter & Gamble Company 51
Consolidated Balance Sheets
Liabilities and Shareholders’ Equity
Amounts in millions; June 30 2009 2008
CURRENT LIABILITIES
Accounts payable Accrued and other liabilities Debt due within one year
TOTAL CURRENT LIABILITIES LONG-TERM DEBT DEFERRED INCOME TAXES OTHER NONCURRENT LIABILITIES TOTAL LIABILITIES SHAREHOLDERS’ EQUITY
$
5,980 8,601 16,320 30,901 20,652 10,752 9,429 71,734 1,324
—
$
6,775 11,099 13,084 30,958 23,581 11,805 8,154 74,498 1,366
—
Convertible Class A preferred stock, stated value $1 per share (600 shares authorized) Non-Voting Class B preferred stock, stated value $1 per share (200 shares authorized) Common stock, stated value $1 per share (10,000 shares authorized; shares issued: 2009—4,007.3, 2008—4,001.8) Additional paid-in capital Reserve for ESOP debt retirement Accumulated other comprehensive income (loss) Treasury stock, at cost (shares held: 2009—1,090.3, 2008—969.1) Retained earnings
TOTAL SHAREHOLDERS’ EQUITY TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
4,007 61,118 (1,340) (3,358) (55,961) 57,309 63,099 $134,833
4,002 60,307 (1,325) 3,746 (47,588) 48,986 69,494 $143,992
See accompanying Notes to Consolidated Financial Statements.
52
The Procter & Gamble Company
Consolidated Statements of Shareholders’ Equity
Common Shares Outstanding Common Stock Preferred Stock Additional Paid-In Capital Accumulated Reserve for Other ESOP Debt Comprehensive Retirement Income Treasury Stock Retained Earnings
Dollars in millions/Shares in thousands
Total
BALANCE JUNE 30, 2006
3,178,841
$3,976
$1,451
$57,856
$(1,288)
$ (518)
$(34,235)
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $459 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions ESOP debt impacts
BALANCE JUNE 30, 2007
$35,666 10,340
$ 62,908 10,340 2,419 (951) $ 11,808 (333)
2,419 (951)
(333) (4,048) (161) (89,829) 37,824 5,110 3,131,946 14 (45) 3,990 1,406 1,167 7 59,030 (20) (1,308) 617 (5,578) 1,003 38 (38,772) 41,797 12,075
(4,048) (161) (5,578) 2,184
—
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $1,664 tax Defined benefit retirement plans, net of $120 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions ESOP debt impacts
BALANCE JUNE 30, 2008
(20) 66,760 12,075 6,543 (2,906) (508) $ 15,204
6,543 (2,906) (508)
(232) (4,479) (176) (148,121) 43,910 4,982 3,032,717 12 (40) 4,002 1,366 1,272 5 60,307 (17) (1,325) 3,746 (10,047) 1,196 35 (47,588) 1 48,986 13,436
(232) (4,479) (176) (10,047) 2,480
—
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $452 tax Defined benefit retirement plans, net of $879 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions Shares tendered for Folgers coffee subsidiary ESOP debt impacts
BALANCE JUNE 30, 2009
(16) 69,494 13,436 (6,151) 748 (1,701) $ 6,332
(6,151) 748 (1,701)
(84) (4,852) (192) (98,862) 16,841 4,992 (38,653) 2,917,035 $4,007 $1,324 $61,118 (15) $(1,340) $(3,358) 5 (42) 804 7 (6,370) 428 35 (2,466) $(55,961) 15 $57,309
(84) (4,852) (192) (6,370) 1,237
—
(2,466)
—
$ 63,099
(1) Cumulative impact of adopting new accounting guidance relates to: 2007 —defined benefit and post retirement plans; 2008uncertainty in income taxes; 2009 split-dollar life insurance arrangements. — — See accompanying Notes to Consolidated Financial Statements.
The Procter & Gamble Company 53
Consolidated Statements of Cash Flows
Amounts in millions; Years ended June 30
2009
2008
2007
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR OPERATING ACTIVITIES
$ 3,313 13,436 3,082 516 596 (2,377) 415 721 (742) (758) 30 14,919 (3,238) 1,087 (368) 166 (2,353) (5,044) (2,420) 4,926 (2,587) (6,370) 681 (10,814) (284) 1,468 $ 4,781
$ 5,354 12,075 3,166 555 1,214 (284) 432 (1,050) 297 (1,270) (127) 15,008 (3,046) 928 (381) (50) (2,549) (4,655) 2,650 7,088 (11,747) (10,047) 1,867 (14,844) 344 (2,041) $ 3,313
$ 6,693 10,340 3,130 668 253 (153) (729) (389) (278) (151) 719 13,410 (2,945) 281 (492) 673 (2,483) (4,209) 9,006 4,758 (17,929) (5,578) 1,499 (12,453) 187 (1,339) $ 5,354
Net earnings Depreciation and amortization Share-based compensation expense Deferred income taxes Gain on sale of businesses Change in accounts receivable Change in inventories Change in accounts payable, accrued and other liabilities Change in other operating assets and liabilities Other
TOTAL OPERATING ACTIVITIES INVESTING ACTIVITIES
Capital expenditures Proceeds from asset sales Acquisitions, net of cash acquired Change in investments
TOTAL INVESTING ACTIVITIES FINANCING ACTIVITIES
Dividends to shareholders Change in short-term debt Additions to long-term debt Reductions of long-term debt Treasury stock purchases Impact of stock options and other
TOTAL FINANCING ACTIVITIES EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS CHANGE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS, END OF YEAR SUPPLEMENTAL DISCLOSURE
Cash payments for: Interest Income Taxes Assets acquired through non-cash capital leases Divestiture of coffee business in exchange for shares of P&G stock
$ 1,226 3,248 8 2,466
$ 1,373 3,499 13
—
$ 1,330 4,116 41
—
See accompanying Notes to Consolidated Financial Statements.
Consolidated Statements of Earnings
Amounts in millions except per share amounts; Years ended June 30
2009
2008
2007
NET SALES
Cost of products sold Selling, general and administrative expense
OPERATING INCOME
$79,029 38,898 24,008 16,123 1,358 560 15,325 4,032 11,293 2,143 $13,436
$81,748 39,536 25,575 16,637 1,467 462 15,632 3,834 11,798 277 $12,075
$74,832 35,659 24,170 15,003 1,304 565 14,264 4,201 10,063 277 $10,340
Interest expense Other non-operating income, net
EARNINGS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
Income taxes on continuing operations
NET EARNINGS FROM CONTINUING OPERATIONS NET EARNINGS FROM DISCONTINUED OPERATIONS NET EARNINGS BASIC NET EARNINGS PER COMMON SHARE:
Earnings from continuing operations Earnings from discontinued operations
BASIC NET EARNINGS PER COMMON SHARE DILUTED NET EARNINGS PER COMMON SHARE:
$
3.76 0.73 4.49 3.58 0.68
$
3.77 0.09 3.86 3.56 0.08
$
3.13 0.09 3.22 2.96 0.08
Earnings from continuing operations Earnings from discontinued operations
DILUTED NET EARNINGS PER COMMON SHARE DIVIDENDS PER COMMON SHARE
$
4.26 1.64
$
3.64 1.45
$
3.04 1.28
See accompanying Notes to Consolidated Financial Statements.
50
The Procter & Gamble Company
Consolidated Balance Sheets
Assets
Amounts in millions; June 30 2009 2008
CURRENT ASSETS
Cash and cash equivalents Accounts receivable Inventories Materials and supplies Work in process Finished goods Total inventories Deferred income taxes Prepaid expenses and other current assets
TOTAL CURRENT ASSETS PROPERTY, PLANT AND EQUIPMENT
$
4,781 5,836 1,557 672 4,651 6,880 1,209 3,199 21,905 6,724 29,042 885 36,651 (17,189) 19,462 56,512 32,606
$
3,313 6,761 2,262 765 5,389 8,416 2,012 4,013 24,515 7,052 30,145 889 38,086 (17,446) 20,640 59,767 34,233
Buildings Machinery and equipment Land Total property, plant and equipment Accumulated depreciation
NET PROPERTY, PLANT AND EQUIPMENT GOODWILL AND OTHER INTANGIBLE ASSETS
Goodwill Trademarks and other intangible assets, net
NET GOODWILL AND OTHER INTANGIBLE ASSETS OTHER NONCURRENT ASSETS TOTAL ASSETS
89,118 4,348 $134,833
94,000 4,837 $143,992
See accompanying Notes to Consolidated Financial Statements.
The Procter & Gamble Company 51
Consolidated Balance Sheets
Liabilities and Shareholders’ Equity
Amounts in millions; June 30 2009 2008
CURRENT LIABILITIES
Accounts payable Accrued and other liabilities Debt due within one year
TOTAL CURRENT LIABILITIES LONG-TERM DEBT DEFERRED INCOME TAXES OTHER NONCURRENT LIABILITIES TOTAL LIABILITIES SHAREHOLDERS’ EQUITY
$
5,980 8,601 16,320 30,901 20,652 10,752 9,429 71,734 1,324
—
$
6,775 11,099 13,084 30,958 23,581 11,805 8,154 74,498 1,366
—
Convertible Class A preferred stock, stated value $1 per share (600 shares authorized) Non-Voting Class B preferred stock, stated value $1 per share (200 shares authorized) Common stock, stated value $1 per share (10,000 shares authorized; shares issued: 2009—4,007.3, 2008—4,001.8) Additional paid-in capital Reserve for ESOP debt retirement Accumulated other comprehensive income (loss) Treasury stock, at cost (shares held: 2009—1,090.3, 2008—969.1) Retained earnings
TOTAL SHAREHOLDERS’ EQUITY TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
4,007 61,118 (1,340) (3,358) (55,961) 57,309 63,099 $134,833
4,002 60,307 (1,325) 3,746 (47,588) 48,986 69,494 $143,992
See accompanying Notes to Consolidated Financial Statements.
52
The Procter & Gamble Company
Consolidated Statements of Shareholders’ Equity
Common Shares Outstanding Common Stock Preferred Stock Additional Paid-In Capital Accumulated Reserve for Other ESOP Debt Comprehensive Retirement Income Treasury Stock Retained Earnings
Dollars in millions/Shares in thousands
Total
BALANCE JUNE 30, 2006
3,178,841
$3,976
$1,451
$57,856
$(1,288)
$ (518)
$(34,235)
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $459 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions ESOP debt impacts
BALANCE JUNE 30, 2007
$35,666 10,340
$ 62,908 10,340 2,419 (951) $ 11,808 (333)
2,419 (951)
(333) (4,048) (161) (89,829) 37,824 5,110 3,131,946 14 (45) 3,990 1,406 1,167 7 59,030 (20) (1,308) 617 (5,578) 1,003 38 (38,772) 41,797 12,075
(4,048) (161) (5,578) 2,184
—
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $1,664 tax Defined benefit retirement plans, net of $120 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions ESOP debt impacts
BALANCE JUNE 30, 2008
(20) 66,760 12,075 6,543 (2,906) (508) $ 15,204
6,543 (2,906) (508)
(232) (4,479) (176) (148,121) 43,910 4,982 3,032,717 12 (40) 4,002 1,366 1,272 5 60,307 (17) (1,325) 3,746 (10,047) 1,196 35 (47,588) 1 48,986 13,436
(232) (4,479) (176) (10,047) 2,480
—
Net earnings Other comprehensive income: Financial statement translation Hedges and investment securities, net of $452 tax Defined benefit retirement plans, net of $879 tax Total comprehensive income Cumulative impact for adoption of new accounting guidance(1) Dividends to shareholders: Common Preferred, net of tax benefits Treasury purchases Employee plan issuances Preferred stock conversions Shares tendered for Folgers coffee subsidiary ESOP debt impacts
BALANCE JUNE 30, 2009
(16) 69,494 13,436 (6,151) 748 (1,701) $ 6,332
(6,151) 748 (1,701)
(84) (4,852) (192) (98,862) 16,841 4,992 (38,653) 2,917,035 $4,007 $1,324 $61,118 (15) $(1,340) $(3,358) 5 (42) 804 7 (6,370) 428 35 (2,466) $(55,961) 15 $57,309
(84) (4,852) (192) (6,370) 1,237
—
(2,466)
—
$ 63,099
(1) Cumulative impact of adopting new accounting guidance relates to: 2007 —defined benefit and post retirement plans; 2008uncertainty in income taxes; 2009 split-dollar life insurance arrangements. — — See accompanying Notes to Consolidated Financial Statements.
The Procter & Gamble Company 53
Consolidated Statements of Cash Flows
Amounts in millions; Years ended June 30
2009
2008
2007
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR OPERATING ACTIVITIES
$ 3,313 13,436 3,082 516 596 (2,377) 415 721 (742) (758) 30 14,919 (3,238) 1,087 (368) 166 (2,353) (5,044) (2,420) 4,926 (2,587) (6,370) 681 (10,814) (284) 1,468 $ 4,781
$ 5,354 12,075 3,166 555 1,214 (284) 432 (1,050) 297 (1,270) (127) 15,008 (3,046) 928 (381) (50) (2,549) (4,655) 2,650 7,088 (11,747) (10,047) 1,867 (14,844) 344 (2,041) $ 3,313
$ 6,693 10,340 3,130 668 253 (153) (729) (389) (278) (151) 719 13,410 (2,945) 281 (492) 673 (2,483) (4,209) 9,006 4,758 (17,929) (5,578) 1,499 (12,453) 187 (1,339) $ 5,354
Net earnings Depreciation and amortization Share-based compensation expense Deferred income taxes Gain on sale of businesses Change in accounts receivable Change in inventories Change in accounts payable, accrued and other liabilities Change in other operating assets and liabilities Other
TOTAL OPERATING ACTIVITIES INVESTING ACTIVITIES
Capital expenditures Proceeds from asset sales Acquisitions, net of cash acquired Change in investments
TOTAL INVESTING ACTIVITIES FINANCING ACTIVITIES
Dividends to shareholders Change in short-term debt Additions to long-term debt Reductions of long-term debt Treasury stock purchases Impact of stock options and other
TOTAL FINANCING ACTIVITIES EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS CHANGE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS, END OF YEAR SUPPLEMENTAL DISCLOSURE
Cash payments for: Interest Income Taxes Assets acquired through non-cash capital leases Divestiture of coffee business in exchange for shares of P&G stock
$ 1,226 3,248 8 2,466
$ 1,373 3,499 13
—
$ 1,330 4,116 41
—
See accompanying Notes to Consolidated Financial Statements.
