facility due 2013 relates to leverage ( ratio of debt to operating income before depreciation and amortization ) .
as of december 31 , 2008 , we met this financial covenant by a significant margin .
our ability to comply with this financial covenant in the future does not depend on further debt reduction or on improved operating results .
share repurchase and dividends as of december 31 , 2008 , we had approximately $ 4.1 billion of availability remaining under our share repurchase authorization .
we have previously indicated our plan to fully use our remaining share repurchase authorization by the end of 2009 , subject to market conditions .
however , as previously disclosed , due to difficult economic conditions and instability in the capital markets , it is unlikely that we will complete our share repurchase authorization by the end of 2009 as previously planned .
share repurchases ( in billions ) 20072006 our board of directors declared a dividend of $ 0.0625 per share for each quarter in 2008 totaling approximately $ 727 million .
we paid approximately $ 547 million of dividends in 2008 .
we expect to continue to pay quarterly dividends , though each subsequent dividend is subject to approval by our board of directors .
we did not declare or pay any cash dividends in 2007 or 2006 .
investing activities net cash used in investing activities consists primarily of cash paid for capital expenditures , acquisitions and investments , partially offset by proceeds from sales of investments .
capital expenditures our most significant recurring investing activity has been capital expenditures in our cable segment and we expect that this will con- tinue in the future .
a significant portion of our capital expenditures is based on the level of customer growth and the technology being deployed .
the table below summarizes the capital expenditures we incurred in our cable segment from 2006 through 2008. .[['year ended december 31 ( in millions )', '2008', '2007', '2006'], ['customer premises equipment ( a )', '$ 3147', '$ 3164', '$ 2321'], ['scalable infrastructure ( b )', '1024', '1014', '906'], ['line extensions ( c )', '212', '352', '275'], ['support capital ( d )', '522', '792', '435'], ['upgrades ( capacity expansion ) ( e )', '407', '520', '307'], ['business services ( f )', '233', '151', '2014'], ['total', '$ 5545', '$ 5993', '$ 4244']]( a ) customer premises equipment ( 201ccpe 201d ) includes costs incurred to connect our services at the customer 2019s home .
the equipment deployed typically includes stan- dard digital set-top boxes , hd set-top boxes , digital video recorders , remote controls and modems .
cpe also includes the cost of installing this equipment for new customers as well as the material and labor cost incurred to install the cable that connects a customer 2019s dwelling to the network .
( b ) scalable infrastructure includes costs incurred to secure growth in customers or revenue units or to provide service enhancements , other than those related to cpe .
scalable infrastructure includes equipment that controls signal reception , processing and transmission throughout our distribution network , as well as equipment that controls and communicates with the cpe residing within a customer 2019s home .
also included in scalable infrastructure is certain equipment necessary for content aggregation and distribution ( video on demand equipment ) and equipment necessary to provide certain video , high-speed internet and digital phone service features ( e.g. , voice mail and e-mail ) .
( c ) line extensions include the costs of extending our distribution network into new service areas .
these costs typically include network design , the purchase and installation of fiber-optic and coaxial cable , and certain electronic equipment .
( d ) support capital includes costs associated with the replacement or enhancement of non-network assets due to technical or physical obsolescence and wear-out .
these costs typically include vehicles , computer and office equipment , furniture and fixtures , tools , and test equipment .
( e ) upgrades include costs to enhance or replace existing portions of our cable net- work , including recurring betterments .
( f ) business services include the costs incurred related to the rollout of our services to small and medium-sized businesses .
the equipment typically includes high-speed internet modems and phone modems and the cost of installing this equipment for new customers as well as materials and labor incurred to install the cable that connects a customer 2019s business to the closest point of the main distribution net- comcast 2008 annual report on form 10-k 32 .


amerisourcebergen corporation 2005 closed four distribution facilities and eliminated duplicative administrative functions ( 201cthe fiscal 2004 initiatives 201d ) .
during the fiscal year ended september 30 , 2004 , the company recorded $ 5.4 million of employee severance costs in connection with the fiscal 2004 initiatives .
during the fiscal year ended september 30 , 2005 , the company announced plans to continue to consolidate and eliminate certain administrative functions , and to outsource a significant portion of the company 2019s information technology activities ( the 201cfiscal 2005 initiatives 201d ) .
the company plans to have successfully completed the outsourcing of such information technology activities by the end of fiscal 2006 .
during the fiscal year ended september 30 , 2005 , the company recorded $ 13.3 million of employee severance and lease cancellation costs primarily related to the 2005 initiatives and $ 9.4 million of transition costs associated with the outsourcing of information technology activities .
as of september 30 , 2005 , approximately 700 employees had received termination notices as a result of the 2004 and 2005 initiatives , of which approximately 630 have been terminated .
additional amounts for integration initiatives will be recognized in subsequent periods as facilities to be consolidated are identified and specific plans are approved and announced .
most employees receive their severance benefits over a period of time , generally not to exceed 12 months , while others may receive a lump-sum payment .
the following table displays the activity in accrued expenses and other from september 30 , 2003 to september 30 , 2005 related to the integration plan discussed above ( in thousands ) : employee lease cancellation severance costs and other total .[['', 'employee severance', 'lease cancellation costs and other', 'total'], ['balance as of september 30 2003', '$ 4935', '$ 81', '$ 5016'], ['expense recorded during the period', '6324', '1193', '7517'], ['payments made during the period', '-8275 ( 8275 )', '-1206 ( 1206 )', '-9481 ( 9481 )'], ['balance as of september 30 2004', '2984', '68', '3052'], ['expense recorded during the period', '10580', '12143', '22723'], ['payments made during the period', '-8328 ( 8328 )', '-5128 ( 5128 )', '-13456 ( 13456 )'], ['balance as of september 30 2005', '$ 5236', '$ 7083', '$ 12319']]note 12 .
legal matters and contingencies in the ordinary course of its business , the company becomes involved in lawsuits , administrative proceedings and governmental investigations , including antitrust , environmental , product liability , regulatory and other matters .
significant damages or penalties may be sought from the company in some matters , and some matters may require years for the company to resolve .
the company establishes reserves based on its periodic assessment of estimates of probable losses .
there can be no assurance that an adverse resolution of one or more matters during any subsequent reporting period will not have a material adverse effect on the company 2019s results of operations for that period .
however , on the basis of information furnished by counsel and others and taking into consideration the reserves established for pending matters , the company does not believe that the resolution of currently pending matters ( including those matters specifically described below ) , individually or in the aggregate , will have a material adverse effect on the company 2019s financial condition .
stockholder derivative lawsuit the company has been named as a nominal defendant in a stockholder derivative action on behalf of the company under delaware law that was filed in march 2004 in the u.s .
district court for the eastern district of pennsylvania .
also named as defendants in the action are all of the individuals who were serving as directors of the company prior to the date of filing of the action and certain current and former officers of the company and its predecessors .
the derivative action alleged , among other things , breach of fiduciary duty , abuse of control and gross mismanagement against all the individual defendants .
it further alleged , among other things , waste of corporate assets , unjust enrichment and usurpation of corporate opportunity against certain of the individual defendants .
the derivative action sought compensatory and punitive damages in favor of the company , attorneys 2019 fees and costs , and further relief as may be determined by the court .
the defendants believe that this derivative action is wholly without merit .
in may 2004 , the defendants filed a motion to dismiss the action on both procedural and substantive grounds .
in february 2005 , the district court granted the defendants 2019 motion to dismiss the entire action .
following the dismissal of the action , the derivative plaintiff made demand upon the company to inspect the company 2019s books and records .
the company believes that the demand is improper under delaware law and has refused to allow the inspection .
the derivative plaintiff obtained the right from the district court to file an amended complaint within 30 days after resolution of the inspection demand and , thereafter , filed a complaint in the delaware chancery court seeking to compel inspection of certain of the company 2019s books and records .
on november 30 , 2005 , the delaware chancery court denied the plaintiff 2019s request to inspect the company 2019s books and records .
new york attorney general subpoena in april 2005 , the company received a subpoena from the office of the attorney general of the state of new york ( the 201cnyag 201d ) requesting documents and responses to interrogatories concerning the manner and degree to which the company purchases pharmaceuticals from other wholesalers , often referred to as the alternate source market , rather than directly from manufacturers .
similar subpoenas have been issued by the nyag to other pharmaceutical distributors .
the company has not been advised of any allegations of misconduct by the company .
the company has engaged in discussions with the nyag , initially to clarify the scope of the subpoena and subsequently to provide background information requested by the nyag .
the company continues to produce responsive information and documents and to cooperate with the nyag .
the company believes that it has not engaged in any wrongdoing , but cannot predict the outcome of this matter. .


part a0iii item a010 .
directors , executive officers and corporate governance for the information required by this item a010 with respect to our executive officers , see part a0i , item 1 .
of this report .
for the other information required by this item a010 , see 201celection of directors , 201d 201cnominees for election to the board of directors , 201d 201ccorporate governance 201d and 201csection a016 ( a ) beneficial ownership reporting compliance , 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
the proxy statement for our 2018 annual meeting will be filed within 120 a0days after the end of the fiscal year covered by this annual report on form 10-k .
item a011 .
executive compensation for the information required by this item a011 , see 201ccompensation discussion and analysis , 201d 201ccompensation committee report , 201d and 201cexecutive compensation 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
item a012 .
security ownership of certain beneficial owners and management and related stockholder matters for the information required by this item a012 with respect to beneficial ownership of our common stock , see 201csecurity ownership of certain beneficial owners and management 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
the following table sets forth certain information as of december a031 , 2017 regarding our equity plans : plan category number of securities to be issued upon exercise of outstanding options , warrants and rights weighted-average exercise price of outstanding options , warrants and rights number of securities remaining available for future issuance under equity compensation plans ( excluding securities reflected in column ( a ) ( b ) ( c ) equity compensation plans approved by security holders 1708928 $ 113.49 3629455 item a013 .
certain relationships and related transactions , and director independence for the information required by this item a013 , see 201ccertain transactions 201d and 201ccorporate governance 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
item a014 .
principal accounting fees and services for the information required by this item a014 , see 201caudit and non-audit fees 201d and 201caudit committee pre-approval procedures 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference. .[['plan category', 'number of securitiesto be issued uponexercise ofoutstanding options warrants and rights ( a ) ( b )', 'weighted-averageexercise price ofoutstanding options warrants and rights', 'number of securitiesremaining available forfuture issuance underequity compensationplans ( excludingsecurities reflected in column ( a ) ) ( c )'], ['equity compensation plans approved by security holders', '1708928', '$ 113.49', '3629455']]part a0iii item a010 .
directors , executive officers and corporate governance for the information required by this item a010 with respect to our executive officers , see part a0i , item 1 .
of this report .
for the other information required by this item a010 , see 201celection of directors , 201d 201cnominees for election to the board of directors , 201d 201ccorporate governance 201d and 201csection a016 ( a ) beneficial ownership reporting compliance , 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
the proxy statement for our 2018 annual meeting will be filed within 120 a0days after the end of the fiscal year covered by this annual report on form 10-k .
item a011 .
executive compensation for the information required by this item a011 , see 201ccompensation discussion and analysis , 201d 201ccompensation committee report , 201d and 201cexecutive compensation 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
item a012 .
security ownership of certain beneficial owners and management and related stockholder matters for the information required by this item a012 with respect to beneficial ownership of our common stock , see 201csecurity ownership of certain beneficial owners and management 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
the following table sets forth certain information as of december a031 , 2017 regarding our equity plans : plan category number of securities to be issued upon exercise of outstanding options , warrants and rights weighted-average exercise price of outstanding options , warrants and rights number of securities remaining available for future issuance under equity compensation plans ( excluding securities reflected in column ( a ) ( b ) ( c ) equity compensation plans approved by security holders 1708928 $ 113.49 3629455 item a013 .
certain relationships and related transactions , and director independence for the information required by this item a013 , see 201ccertain transactions 201d and 201ccorporate governance 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference .
item a014 .
principal accounting fees and services for the information required by this item a014 , see 201caudit and non-audit fees 201d and 201caudit committee pre-approval procedures 201d in the proxy statement for our 2018 annual meeting , which information is incorporated herein by reference. .


february 2018 which had no remaining authority .
at december 31 , 2018 , we had remaining authority to issue up to $ 6.0 billion of debt securities under our shelf registration .
receivables securitization facility 2013 as of december 31 , 2018 , and 2017 , we recorded $ 400 million and $ 500 million , respectively , of borrowings under our receivables facility , as secured debt .
( see further discussion of our receivables securitization facility in note 11 ) .
16 .
variable interest entities we have entered into various lease transactions in which the structure of the leases contain variable interest entities ( vies ) .
these vies were created solely for the purpose of doing lease transactions ( principally involving railroad equipment and facilities ) and have no other activities , assets or liabilities outside of the lease transactions .
within these lease arrangements , we have the right to purchase some or all of the assets at fixed prices .
depending on market conditions , fixed-price purchase options available in the leases could potentially provide benefits to us ; however , these benefits are not expected to be significant .
we maintain and operate the assets based on contractual obligations within the lease arrangements , which set specific guidelines consistent within the railroad industry .
as such , we have no control over activities that could materially impact the fair value of the leased assets .
we do not hold the power to direct the activities of the vies and , therefore , do not control the ongoing activities that have a significant impact on the economic performance of the vies .
additionally , we do not have the obligation to absorb losses of the vies or the right to receive benefits of the vies that could potentially be significant to the vies .
we are not considered to be the primary beneficiary and do not consolidate these vies because our actions and decisions do not have the most significant effect on the vie 2019s performance and our fixed-price purchase options are not considered to be potentially significant to the vies .
the future minimum lease payments associated with the vie leases totaled $ 1.7 billion as of december 31 , 2018 .
17 .
leases we lease certain locomotives , freight cars , and other property .
the consolidated statements of financial position as of december 31 , 2018 , and 2017 included $ 1454 million , net of $ 912 million of accumulated depreciation , and $ 1635 million , net of $ 953 million of accumulated depreciation , respectively , for properties held under capital leases .
a charge to income resulting from the depreciation for assets held under capital leases is included within depreciation expense in our consolidated statements of income .
future minimum lease payments for operating and capital leases with initial or remaining non-cancelable lease terms in excess of one year as of december 31 , 2018 , were as follows : millions operating leases capital leases .[['millions', 'operatingleases', 'capitalleases'], ['2019', '$ 419', '$ 148'], ['2020', '378', '155'], ['2021', '303', '159'], ['2022', '272', '142'], ['2023', '234', '94'], ['later years', '1040', '200'], ['total minimum lease payments', '$ 2646', '$ 898'], ['amount representing interest', 'n/a', '-144 ( 144 )'], ['present value of minimum lease payments', 'n/a', '$ 754']]approximately 97% ( 97 % ) of capital lease payments relate to locomotives .
rent expense for operating leases with terms exceeding one month was $ 397 million in 2018 , $ 480 million in 2017 , and $ 535 million in 2016 .
when cash rental payments are not made on a straight-line basis , we recognize variable rental expense on a straight-line basis over the lease term .
contingent rentals and sub-rentals are not significant .
18 .
commitments and contingencies asserted and unasserted claims 2013 various claims and lawsuits are pending against us and certain of our subsidiaries .
we cannot fully determine the effect of all asserted and unasserted claims on our consolidated results of operations , financial condition , or liquidity .
to the extent possible , we have recorded .


action commenced by the california attorney general , we are providing customers with greater transparency into the pricing of this product and other alternatives offered by us for addressing their foreign exchange requirements .
although we believe such disclosures will address customer interests for increased transparency , over time such action may result in pressure on our pricing of this product or result in clients electing other foreign exchange execution options , which would have an adverse impact on the revenue from , and profitability of , this product for us .
we may be exposed to customer claims , financial loss , reputational damage and regulatory scrutiny as a result of transacting purchases and redemptions relating to the unregistered cash collateral pools underlying our securities lending program at a net asset value of $ 1.00 per unit rather than a lower net asset value based upon market value of the underlying portfolios .
a portion of the cash collateral received by customers under our securities lending program is invested in cash collateral pools that we manage .
interests in these cash collateral pools are held by unaffiliated customers and by registered and unregistered investment funds that we manage .
our cash collateral pools that are money market funds registered under the investment company act of 1940 are required to maintain , and have maintained , a constant net asset value of $ 1.00 per unit .
the remainder of our cash collateral pools are collective investment funds that are not required to be registered under the investment company act .
these unregistered cash collateral pools seek , but are not required , to maintain , and transact purchases and redemptions at , a constant net asset value of $ 1.00 per unit .
our securities lending operations consist of two components ; a direct lending program for third-party investment managers and asset owners , the collateral pools for which we refer to as direct lending collateral pools ; and investment funds with a broad range of investment objectives that are managed by ssga and engage in securities lending , which we refer to as ssga lending funds .
the following table shows the aggregate net asset values of the unregistered direct lending collateral pools and the aggregate net asset value of the unregistered collateral pools underlying the ssga lending funds , in each case based on a constant net asset value of $ 1.00 per ( in billions ) december 31 , 2009 december 31 , 2008 december 31 , 2007 ( 1 ) .[['( in billions )', 'december 31 2009', 'december 31 2008', 'december 31 2007 ( 1 )'], ['direct lending collateral pools', '$ 85', '$ 85', '$ 150'], ['collateral pools underlying ssga lending funds', '24', '31', '44']]( 1 ) certain of the ssga lending funds were participants in the direct lending collateral pools until october 2008 .
the direct lending collateral pool balances at december 31 , 2007 related to ssga lending funds have been included within the ssga lending fund balances and excluded from the direct lending collateral pool balances presented above. .


table of contents cdw corporation and subsidiaries notes to consolidated financial statements which the company realized the benefits of the deductions .
this arrangement has been accounted for as contingent consideration .
pre-2009 business combinations were accounted for under a former accounting standard which , among other aspects , precluded the recognition of certain contingent consideration as of the business combination date .
instead , under the former accounting standard , contingent consideration is accounted for as additional purchase price ( goodwill ) at the time the contingency is resolved .
as of december 31 , 2013 , the company accrued $ 20.9 million related to this arrangement within other current liabilities , as the company realized the tax benefit of the compensation deductions during the 2013 tax year .
the company made the related cash contribution during the first quarter of 2014 .
12 .
earnings per share the numerator for both basic and diluted earnings per share is net income .
the denominator for basic earnings per share is the weighted-average shares outstanding during the period .
a reconciliation of basic weighted-average shares outstanding to diluted weighted-average shares outstanding is as follows: .[['( in millions )', 'years ended december 31 , 2015', 'years ended december 31 , 2014', 'years ended december 31 , 2013 ( 1 )'], ['basic weighted-average shares outstanding', '170.3', '170.6', '156.6'], ['effect of dilutive securities ( 2 )', '1.5', '2.2', '2.1'], ['diluted weighted-average shares outstanding ( 3 )', '171.8', '172.8', '158.7']]effect of dilutive securities ( 2 ) 1.5 2.2 2.1 diluted weighted-average shares outstanding ( 3 ) 171.8 172.8 158.7 ( 1 ) the 2013 basic weighted-average shares outstanding was impacted by common stock issued during the ipo and the underwriters 2019 exercise in full of the overallotment option granted to them in connection with the ipo .
as the common stock was issued on july 2 , 2013 and july 31 , 2013 , respectively , the shares are only partially reflected in the 2013 basic weighted-average shares outstanding .
such shares are fully reflected in the 2015 and 2014 basic weighted-average shares outstanding .
for additional discussion of the ipo , see note 10 ( stockholders 2019 equity ) .
( 2 ) the dilutive effect of outstanding stock options , restricted stock units , restricted stock , coworker stock purchase plan units and mpk plan units is reflected in the diluted weighted-average shares outstanding using the treasury stock method .
( 3 ) there were 0.4 million potential common shares excluded from the diluted weighted-average shares outstanding for the year ended december 31 , 2015 , and there was an insignificant amount of potential common shares excluded from the diluted weighted-average shares outstanding for the years ended december 31 , 2014 and 2013 , as their inclusion would have had an anti-dilutive effect .
13 .
coworker retirement and other compensation benefits profit sharing plan and other savings plans the company has a profit sharing plan that includes a salary reduction feature established under the internal revenue code section 401 ( k ) covering substantially all coworkers in the united states .
in addition , coworkers outside the u.s .
participate in other savings plans .
company contributions to the profit sharing and other savings plans are made in cash and determined at the discretion of the board of directors .
for the years ended december 31 , 2015 , 2014 and 2013 , the amounts expensed for these plans were $ 19.8 million , $ 21.9 million and $ 17.3 million , respectively .
coworker stock purchase plan on january 1 , 2014 , the first offering period under the company 2019s coworker stock purchase plan ( the 201ccspp 201d ) commenced .
the cspp provides the opportunity for eligible coworkers to acquire shares of the company 2019s common stock at a 5% ( 5 % ) discount from the closing market price on the final day of the offering period .
there is no compensation expense associated with the cspp .
restricted debt unit plan on march 10 , 2010 , the company established the restricted debt unit plan ( the 201crdu plan 201d ) , an unfunded nonqualified deferred compensation plan. .


management 2019s discussion and analysis 120 jpmorgan chase & co./2010 annual report wholesale credit portfolio as of december 31 , 2010 , wholesale exposure ( ib , cb , tss and am ) increased by $ 36.9 billion from december 31 , 2009 .
the overall increase was primarily driven by increases of $ 23.5 billion in loans and $ 16.8 billion of receivables from customers , partially offset by decreases in interests in purchase receivables and lending-related commitments of $ 2.5 billion and $ 1.1 billion , respectively .
the de- crease in lending-related commitments and the increase in loans were primarily related to the january 1 , 2010 , adoption of the accounting guidance related to vies , which resulted in the elimination of a net $ 17.7 billion of lending-related commitments between the firm and its administrated multi-seller conduits upon consolidation .
assets of the consolidated conduits included $ 15.1 billion of wholesale loans at january 1 , 2010 .
excluding the effect of the accounting guidance , lending-related commitments and loans would have increased by $ 16.6 billion and $ 8.4 billion , respectively , mainly related to in- creased client activity .
the increase in loans also included the pur- chase of a $ 3.5 billion loan portfolio in cb during the third quarter of 2010 .
the increase of $ 16.8 billion in receivables from customers was due to increased client activity , predominantly in prime services .
wholesale .[['december 31 , ( in millions )', 'december 31 , 2010', 'december 31 , 2009', '2010', '2009'], ['loans retained', '$ 222510', '$ 200077', '$ 5510', '$ 6559'], ['loans held-for-sale', '3147', '2734', '341', '234'], ['loans at fair value', '1976', '1364', '155', '111'], ['loans 2013 reported', '227633', '204175', '6006', '6904'], ['derivative receivables', '80481', '80210', '34', '529'], ['receivables from customers ( a )', '32541', '15745', '2014', '2014'], ['interests in purchased receivables ( b )', '391', '2927', '2014', '2014'], ['total wholesale credit-related assets', '341046', '303057', '6040', '7433'], ['lending-related commitments ( c )', '346079', '347155', '1005', '1577'], ['total wholesale credit exposure', '$ 687125', '$ 650212', '$ 7045', '$ 9010'], ['net credit derivative hedges notional ( d )', '$ -23108 ( 23108 )', '$ -48376 ( 48376 )', '$ -55 ( 55 )', '$ -139 ( 139 )'], ['liquid securities and other cash collateral held against derivatives ( e )', '-16486 ( 16486 )', '-15519 ( 15519 )', 'na', 'na']]net credit derivative hedges notional ( d ) $ ( 23108 ) $ ( 48376 ) $ ( 55 ) $ ( 139 ) liquid securities and other cash collateral held against derivatives ( e ) ( 16486 ) ( 15519 ) na na ( a ) represents primarily margin loans to prime and retail brokerage customers , which are included in accrued interest and accounts receivable on the consolidated balance sheets .
( b ) represents an ownership interest in cash flows of a pool of receivables transferred by a third-party seller into a bankruptcy-remote entity , generally a trust .
( c ) the amounts in nonperforming represent unfunded commitments that are risk rated as nonaccrual .
( d ) represents the net notional amount of protection purchased and sold of single-name and portfolio credit derivatives used to manage both performing and nonperform- ing credit exposures ; these derivatives do not qualify for hedge accounting under u.s .
gaap .
for additional information , see credit derivatives on pages 126 2013128 , and note 6 on pages 191 2013199 of this annual report .
( e ) represents other liquid securities collateral and other cash collateral held by the firm .
( f ) excludes assets acquired in loan satisfactions .
the following table presents summaries of the maturity and ratings profiles of the wholesale portfolio as of december 31 , 2010 and 2009 .
the ratings scale is based on the firm 2019s internal risk ratings , which generally correspond to the ratings as defined by s&p and moody 2019s .
also included in this table is the notional value of net credit derivative hedges ; the counterparties to these hedges are predominantly investment grade banks and finance companies. .


adjusted for non-cash income and expense items and changes in working capital .
earnings from con- tinuing operations , adjusted for non-cash items and excluding the pension contribution , increased by $ 584 million in 2006 versus 2005 .
this compared with a decline of $ 63 million for 2005 over 2004 .
international paper 2019s investments in accounts receiv- able and inventory less accounts payable and accrued liabilities , totaled $ 997 million at december 31 , 2006 .
cash used for these working capital components increased by $ 354 million in 2006 , compared with a $ 558 million increase in 2005 and a $ 117 million increase in 2004 .
the increase in 2006 was principally due to decreases in accounts payable and accrued liabilities .
investment activities investment activities in 2006 included $ 1.8 billion of net cash proceeds received from divestitures , $ 1.6 billion of net cash proceeds received from the sale of u.s .
forestlands under the company 2019s trans- formation plan , and $ 1.1 billion of deposits made to pre-fund project development costs for a pulp mill project in brazil .
capital spending from continuing operations was $ 1.0 billion in 2006 , or 87% ( 87 % ) of depreciation and amortization , comparable to $ 992 million , or 78% ( 78 % ) of depreciation and amortization in 2005 , and $ 925 mil- lion , or 73% ( 73 % ) of depreciation and amortization in 2004 .
the following table presents capital spending from continuing operations by each of our business segments for the years ended december 31 , 2006 , 2005 and 2004 .
in millions 2006 2005 2004 .[['in millions', '2006', '2005', '2004'], ['printing papers', '$ 537', '$ 592', '$ 453'], ['industrial packaging', '257', '180', '161'], ['consumer packaging', '116', '126', '198'], ['distribution', '6', '9', '5'], ['forest products', '72', '66', '76'], ['subtotal', '988', '973', '893'], ['corporate and other', '21', '19', '32'], ['total from continuing operations', '$ 1009', '$ 992', '$ 925']]we expect capital expenditures in 2007 to be about $ 1.2 billion , or about equal to estimated depreciation and amortization .
we will continue to focus our future capital spending on improving our key platform businesses in north america and on investments in geographic areas with strong growth opportunities .
acquisitions in october and november 2006 , international paper paid approximately $ 82 million for a 50% ( 50 % ) interest in the international paper & sun cartonboard co. , ltd .
joint venture that currently operates two coated paperboard machines in yanzhou city , china .
in december 2006 , a 50% ( 50 % ) interest was acquired in a second joint venture , shandong international paper & sun coated paperboard co. , ltd. , for approximately $ 28 million .
this joint venture was formed to construct a third coated paperboard machine , expected to be completed in the first quar- ter of 2009 .
the operating results of these con- solidated joint ventures did not have a material effect on the company 2019s 2006 consolidated results of operations .
on july 1 , 2004 , international paper completed the acquisition of all of the outstanding common and preferred stock of box usa holdings , inc .
( box usa ) for approximately $ 189 million in cash and a $ 15 million 6% ( 6 % ) note payable issued to box usa 2019s controlling shareholders .
in addition , international paper assumed approximately $ 197 million of debt , approximately $ 193 million of which was repaid by july 31 , 2004 .
the operating results of box usa are included in the accompanying consolidated financial statements from that date .
other acquisitions in october 2005 , international paper acquired approx- imately 65% ( 65 % ) of compagnie marocaine des cartons et des papiers ( cmcp ) , a leading moroccan corrugated packaging company , for approximately $ 80 million in cash plus assumed debt of approximately $ 40 mil- in 2001 , international paper and carter holt harvey limited ( chh ) had each acquired a 25% ( 25 % ) interest in international paper pacific millennium limited ( ippm ) .
ippm is a hong kong-based distribution and packaging company with operations in china and other asian countries .
on august 1 , 2005 , pursuant to an existing agreement , international paper pur- chased a 50% ( 50 % ) third-party interest in ippm ( now renamed international paper distribution limited ) for $ 46 million to facilitate possible further growth in asia .
finally , in may 2006 , the company purchased the remaining 25% ( 25 % ) from chh interest for $ 21 million .
each of the above acquisitions was accounted for using the purchase method .
the operating results of these acquisitions have been included in the con- solidated statement of operations from the dates of acquisition. .


packaging corporation of america notes to consolidated financial statements ( continued ) december 31 , 2005 10 .
commitments and contingencies ( continued ) purchase commitments the company has entered into various purchase agreements to buy minimum amounts of energy over periods ranging from one to two years at fixed prices .
total purchase commitments over the next two years are as follows : ( in thousands ) .[['2006', '$ 2408'], ['2007', '1364'], ['total', '$ 3772']]these purchase agreements are not marked to market .
the company purchased $ 12.8 million during the year ended december 31 , 2005 , $ 17.6 million during the year ended december 31 , 2004 , and $ 19.3 million during the year ended december 31 , 2003 under these purchase agreements .
litigation on may 14 , 1999 , pca was named as a defendant in two consolidated class action complaints which alleged a civil violation of section 1 of the sherman act .
the suits , then captioned winoff industries , inc .
v .
stone container corporation , mdl no .
1261 ( e.d .
pa. ) and general refractories co .
v .
gaylord container corporation , mdl no .
1261 ( e.d .
pa. ) , name pca as a defendant based solely on the allegation that pca is successor to the interests of tenneco packaging inc .
and tenneco inc. , both of which were also named as defendants in the suits , along with nine other linerboard and corrugated sheet manufacturers .
the complaints allege that the defendants , during the period october 1 , 1993 through november 30 , 1995 , conspired to limit the supply of linerboard , and that the purpose and effect of the alleged conspiracy was to artificially increase prices of corrugated containers and corrugated sheets , respectively .
on november 3 , 2003 , pactiv ( formerly known as tenneco packaging ) , tenneco and pca entered into an agreement to settle the class action lawsuits .
the settlement agreement provided for a full release of all claims against pca as a result of the class action lawsuits and was approved by the court in an opinion issued on april 21 , 2004 .
approximately 160 plaintiffs opted out of the class and together filed about ten direct action complaints in various federal courts across the country .
all of the opt-out complaints make allegations against the defendants , including pca , substantially similar to those made in the class actions .
the settlement agreement does not cover these direct action cases .
these actions have almost all been consolidated as in re linerboard , mdl 1261 ( e.d .
pa. ) for pretrial purposes .
pactiv , tenneco and pca have reached an agreement to settle all of the opt-out cases .
these agreements provide for a full release of all claims against pca as a result of litigation .
pca has made no payments to the plaintiffs as a result of the settlement of any of the opt-out suits .
as of the date of this filing , we believe it is not reasonably possible that the outcome of any pending litigation related to these matters will have a material adverse effect on our financial position , results of operations or cash flows .
pca is also party to various legal actions arising in the ordinary course of business .
these legal actions cover a broad variety of claims spanning our entire business .
as of the date of this filing , we believe it is .


( a ) consists of pollution control revenue bonds and environmental revenue bonds , some of which are secured by collateral mortgage bonds .
( b ) pursuant to the nuclear waste policy act of 1982 , entergy 2019s nuclear owner/licensee subsidiaries have contracts with the doe for spent nuclear fuel disposal service . a0 a0the contracts include a one-time fee for generation prior to april 7 , 1983 . a0 a0entergy arkansas is the only entergy company that generated electric power with nuclear fuel prior to that date and includes the one-time fee , plus accrued interest , in long-term debt .
( c ) see note 10 to the financial statements for further discussion of the waterford 3 lease obligation and entergy louisiana 2019s acquisition of the equity participant 2019s beneficial interest in the waterford 3 leased assets and for further discussion of the grand gulf lease obligation .
( d ) this note did not have a stated interest rate , but had an implicit interest rate of 7.458% ( 7.458 % ) .
( e ) the fair value excludes lease obligations of $ 34 million at system energy and long-term doe obligations of $ 183 million at entergy arkansas , and includes debt due within one year . a0 a0fair values are classified as level 2 in the fair value hierarchy discussed in note 15 to the financial statements and are based on prices derived from inputs such as benchmark yields and reported trades .
the annual long-term debt maturities ( excluding lease obligations and long-term doe obligations ) for debt outstanding as of december a031 , 2017 , for the next five years are as follows : amount ( in thousands ) .[['', 'amount ( in thousands )'], ['2018', '$ 760000'], ['2019', '$ 857679'], ['2020', '$ 898500'], ['2021', '$ 960764'], ['2022', '$ 1304431']]in november 2000 , entergy 2019s non-utility nuclear business purchased the fitzpatrick and indian point 3 power plants in a seller-financed transaction .
as part of the purchase agreement with nypa , entergy recorded a liability representing the net present value of the payments entergy would be liable to nypa for each year that the fitzpatrick and indian point 3 power plants would run beyond their respective original nrc license expiration date .
in october 2015 , entergy announced a planned shutdown of fitzpatrick at the end of its fuel cycle .
as a result of the announcement , entergy reduced this liability by $ 26.4 million pursuant to the terms of the purchase agreement .
in august 2016 , entergy entered into a trust transfer agreement with nypa to transfer the decommissioning trust funds and decommissioning liabilities for the indian point 3 and fitzpatrick plants to entergy .
as part of the trust transfer agreement , the original decommissioning agreements were amended , and the entergy subsidiaries 2019 obligation to make additional license extension payments to nypa was eliminated .
in the third quarter 2016 , entergy removed the note payable of $ 35.1 million from the consolidated balance sheet .
entergy louisiana , entergy mississippi , entergy new orleans , entergy texas , and system energy have obtained long-term financing authorizations from the ferc that extend through october 2019 . a0 a0entergy arkansas has obtained long-term financing authorization from the apsc that extends through december 2018 .
entergy new orleans has also obtained long-term financing authorization from the city council that extends through june 2018 , as the city council has concurrent jurisdiction with the ferc over such issuances .
capital funds agreement pursuant to an agreement with certain creditors , entergy corporation has agreed to supply system energy with sufficient capital to : 2022 maintain system energy 2019s equity capital at a minimum of 35% ( 35 % ) of its total capitalization ( excluding short- term debt ) ; entergy corporation and subsidiaries notes to financial statements .


on a geographic basis , the 1% ( 1 % ) increase in net sales reflects higher net sales in north america and emea , partially offset by lower net sales in asia .
the increase in net sales in north america was driven primarily by higher sales of digital entertainment devices , partially offset by lower demand for iden infrastructure equipment driven by customer expenditures returning to historic trends compared to an exceptionally strong 2005 .
the increase in net sales in emea was driven primarily by higher sales of digital entertainment devices .
the decrease in net sales in asia was due , in part , to delays in the granting of 3g licenses in china that led service providers to slow their near-term capital investment , as well as competitive pricing pressure .
net sales in north america continued to comprise a significant portion of the segment 2019s business , accounting for approximately 56% ( 56 % ) of the segment 2019s total net sales in 2006 , compared to approximately 55% ( 55 % ) of the segment 2019s total net sales in 2005 .
the segment reported operating earnings of $ 787 million in 2006 , compared to operating earnings of $ 1.2 billion in 2005 .
the 36% ( 36 % ) decrease in operating earnings was primarily due to : ( i ) a decrease in gross margin , due to an unfavorable product/regional mix and competitive pricing in the wireless networks market , and ( ii ) an increase in other charges ( income ) from an increase in reorganization of business charges , primarily related to employee severance , and from a legal reserve .
as a percentage of net sales in 2006 as compared to 2005 , gross margin , sg&a expenses , r&d expenditures and operating margin all decreased .
in 2006 , net sales to the segment 2019s top five customers , which included sprint nextel , comcast corporation , verizon , kddi and china mobile , represented 45% ( 45 % ) of the segment 2019s total net sales .
the segment 2019s backlog was $ 3.2 billion at december 31 , 2006 , compared to $ 2.4 billion at december 31 , 2005 .
the increase in backlog is primarily due to strong orders for our digital and hd/dvr set-tops .
in the market for digital entertainment devices , demand for the segment 2019s products depends primarily on the level of capital spending by broadband operators for constructing , rebuilding or upgrading their communications systems , and for offering advanced services .
in 2006 , our digital video customers significantly increased their purchases of the segment 2019s products and services , primarily due to increased demand for digital video set-tops , particularly hd/dvr set-tops .
during 2006 , the segment completed a number of significant acquisitions , including : ( i ) kreatel communications ab , a leading developer of innovative ip-based digital set-tops and software , ( ii ) nextnet wireless , inc. , a former clearwire corporation subsidiary and a leading provider of ofdm-based non-line-of-sight ( 201cnlos 201d ) wireless broadband infrastructure equipment , ( iii ) broadbus technologies , inc. , a provider of technology solutions for television on demand , and ( iv ) vertasent llc , a software developer for managing technology elements for switched digital video networks .
these acquisitions did not have a material impact on the segment results in 2006 .
enterprise mobility solutions segment the enterprise mobility solutions segment designs , manufactures , sells , installs and services analog and digital two-way radio , voice and data communications products and systems for private networks , wireless broadband systems and end-to-end enterprise mobility solutions to a wide range of enterprise markets , including government and public safety agencies ( which , together with all sales to distributors of two-way communications products , are referred to as the 201cgovernment and public safety market 201d ) , as well as retail , utility , transportation , manufacturing , healthcare and other commercial customers ( which , collectively , are referred to as the 201ccommercial enterprise market 201d ) .
in 2007 , the segment 2019s net sales represented 21% ( 21 % ) of the company 2019s consolidated net sales , compared to 13% ( 13 % ) in 2006 and 14% ( 14 % ) in 2005 .
( dollars in millions ) 2007 2006 2005 2007 20142006 2006 20142005 years ended december 31 percent change .[['( dollars in millions )', 'years ended december 31 2007', 'years ended december 31 2006', 'years ended december 31 2005', 'years ended december 31 2007 20142006', '2006 20142005'], ['segment net sales', '$ 7729', '$ 5400', '$ 5038', '43% ( 43 % )', '7% ( 7 % )'], ['operating earnings', '1213', '958', '860', '27% ( 27 % )', '11% ( 11 % )']]segment results 20142007 compared to 2006 in 2007 , the segment 2019s net sales increased 43% ( 43 % ) to $ 7.7 billion , compared to $ 5.4 billion in 2006 .
the 43% ( 43 % ) increase in net sales was primarily due to increased net sales in the commercial enterprise market , driven by the net sales from the symbol business acquired in january 2007 .
net sales in the government and public safety market increased 6% ( 6 % ) , primarily due to strong demand in north america .
on a geographic basis , net sales increased in all regions .
62 management 2019s discussion and analysis of financial condition and results of operations .


10/27/13 10/26/14 10/25/15 10/30/16 10/29/17 10/28/18 applied materials , inc .
s&p 500 rdg semiconductor composite part ii item 5 : market for registrant 2019s common equity , related stockholder matters and issuer purchases of equity securities market information applied 2019s common stock is traded on the nasdaq global select market under the symbol amat .
as of december 7 , 2018 , there were 2854 registered holders of applied common stock .
performance graph the performance graph below shows the five-year cumulative total stockholder return on applied common stock during the period from october 27 , 2013 through october 28 , 2018 .
this is compared with the cumulative total return of the standard & poor 2019s 500 stock index and the rdg semiconductor composite index over the same period .
the comparison assumes $ 100 was invested on october 27 , 2013 in applied common stock and in each of the foregoing indices and assumes reinvestment of dividends , if any .
dollar amounts in the graph are rounded to the nearest whole dollar .
the performance shown in the graph represents past performance and should not be considered an indication of future performance .
comparison of 5 year cumulative total return* among applied materials , inc. , the s&p 500 index and the rdg semiconductor composite index *assumes $ 100 invested on 10/27/13 in stock or 10/31/13 in index , including reinvestment of dividends .
indexes calculated on month-end basis .
copyright a9 2018 standard & poor 2019s , a division of s&p global .
all rights reserved. .[['', '10/27/2013', '10/26/2014', '10/25/2015', '10/30/2016', '10/29/2017', '10/28/2018'], ['applied materials', '100.00', '121.04', '96.67', '171.69', '343.16', '198.27'], ['s&p 500 index', '100.00', '117.27', '123.37', '128.93', '159.40', '171.11'], ['rdg semiconductor composite index', '100.00', '128.42', '126.26', '154.41', '232.29', '221.61']].


rates are still low and that a significant portion of cruise guests carried are first-time cruisers .
we believe this presents an opportunity for long-term growth and a potential for increased profitability .
the following table details industry market penetration rates for north america , europe and asia/pacific computed based on the number of annual cruise guests as a percentage of the total population : year north america ( 1 ) ( 2 ) europe ( 1 ) ( 3 ) asia/pacific ( 1 ) ( 4 ) .[['year', 'north america ( 1 ) ( 2 )', 'europe ( 1 ) ( 3 )', 'asia/pacific ( 1 ) ( 4 )'], ['2012', '3.33% ( 3.33 % )', '1.21% ( 1.21 % )', '0.04% ( 0.04 % )'], ['2013', '3.32% ( 3.32 % )', '1.24% ( 1.24 % )', '0.05% ( 0.05 % )'], ['2014', '3.46% ( 3.46 % )', '1.23% ( 1.23 % )', '0.06% ( 0.06 % )'], ['2015', '3.36% ( 3.36 % )', '1.25% ( 1.25 % )', '0.08% ( 0.08 % )'], ['2016', '3.49% ( 3.49 % )', '1.24% ( 1.24 % )', '0.09% ( 0.09 % )']]( 1 ) source : our estimates are based on a combination of data obtained from publicly available sources including the international monetary fund , united nations , department of economic and social affairs , cruise lines international association ( "clia" ) and g.p .
wild .
( 2 ) our estimates include the united states and canada .
( 3 ) our estimates include european countries relevant to the industry ( e.g. , nordics , germany , france , italy , spain and the united kingdom ) .
( 4 ) our estimates include the southeast asia ( e.g. , singapore , thailand and the philippines ) , east asia ( e.g. , china and japan ) , south asia ( e.g .
india and pakistan ) and oceanian ( e.g. , australia and fiji islands ) regions .
we estimate that the global cruise fleet was served by approximately 503000 berths on approximately 298 ships at the end of 2016 .
there are approximately 60 ships with an estimated 173000 berths that are expected to be placed in service in the global cruise market between 2017 and 2021 , although it is also possible that additional ships could be ordered or taken out of service during these periods .
we estimate that the global cruise industry carried 24.0 million cruise guests in 2016 compared to 23.0 million cruise guests carried in 2015 and 22.0 million cruise guests carried in .


notes to the financial statements as a reduction of debt or accrued interest .
new esop shares that have been released are considered outstanding in computing earnings per common share .
unreleased new esop shares are not considered to be outstanding .
pensions and other postretirement benefits in september 2006 , the fasb issued sfas no .
158 , 201cemployers 2019 accounting for defined benefit pension and other postretirement plans , an amendment of fasb statements no .
87 , 88 , 106 , and 132 ( r ) . 201d under this new standard , a company must recognize a net liability or asset to report the funded status of its defined benefit pension and other postretirement benefit plans on its balance sheets as well as recognize changes in that funded status , in the year in which the changes occur , through charges or credits to comprehensive income .
sfas no .
158 does not change how pensions and other postretirement benefits are accounted for and reported in the income statement .
ppg adopted the recognition and disclosure provisions of sfas no .
158 as of dec .
31 , 2006 .
the following table presents the impact of applying sfas no .
158 on individual line items in the balance sheet as of dec .
31 , 2006 : ( millions ) balance sheet caption : before application of sfas no .
158 ( 1 ) adjustments application of sfas no .
158 .[['( millions ) balance sheet caption:', 'before application of sfas no . 158 ( 1 )', 'adjustments', 'after application of sfas no . 158'], ['other assets', '$ 494', '$ 105', '$ 599'], ['deferred income tax liability', '-193 ( 193 )', '57', '-136 ( 136 )'], ['accrued pensions', '-371 ( 371 )', '-258 ( 258 )', '-629 ( 629 )'], ['other postretirement benefits', '-619 ( 619 )', '-409 ( 409 )', '-1028 ( 1028 )'], ['accumulated other comprehensive loss', '480', '505', '985']]other postretirement benefits ( 619 ) ( 409 ) ( 1028 ) accumulated other comprehensive loss 480 505 985 ( 1 ) represents balances that would have been recorded under accounting standards prior to the adoption of sfas no .
158 .
see note 13 , 201cpensions and other postretirement benefits , 201d for additional information .
derivative financial instruments and hedge activities the company recognizes all derivative instruments as either assets or liabilities at fair value on the balance sheet .
the accounting for changes in the fair value of a derivative depends on the use of the derivative .
to the extent that a derivative is effective as a cash flow hedge of an exposure to future changes in value , the change in fair value of the derivative is deferred in accumulated other comprehensive ( loss ) income .
any portion considered to be ineffective is reported in earnings immediately .
to the extent that a derivative is effective as a hedge of an exposure to future changes in fair value , the change in the derivative 2019s fair value is offset in the statement of income by the change in fair value of the item being hedged .
to the extent that a derivative or a financial instrument is effective as a hedge of a net investment in a foreign operation , the change in the derivative 2019s fair value is deferred as an unrealized currency translation adjustment in accumulated other comprehensive ( loss ) income .
product warranties the company accrues for product warranties at the time the associated products are sold based on historical claims experience .
as of dec .
31 , 2006 and 2005 , the reserve for product warranties was $ 10 million and $ 4 million , respectively .
pretax charges against income for product warranties in 2006 , 2005 and 2004 totaled $ 4 million , $ 5 million and $ 4 million , respectively .
cash outlays related to product warranties were $ 5 million , $ 4 million and $ 4 million in 2006 , 2005 and 2004 , respectively .
in addition , $ 7 million of warranty obligations were assumed as part of the company 2019s 2006 business acquisitions .
asset retirement obligations an asset retirement obligation represents a legal obligation associated with the retirement of a tangible long-lived asset that is incurred upon the acquisition , construction , development or normal operation of that long-lived asset .
we recognize asset retirement obligations in the period in which they are incurred , if a reasonable estimate of fair value can be made .
the asset retirement obligation is subsequently adjusted for changes in fair value .
the associated estimated asset retirement costs are capitalized as part of the carrying amount of the long-lived asset and depreciated over its useful life .
ppg 2019s asset retirement obligations are primarily associated with closure of certain assets used in the chemicals manufacturing process .
as of dec .
31 , 2006 and 2005 the accrued asset retirement obligation was $ 10 million and as of dec .
31 , 2004 it was $ 9 million .
in march 2005 , the fasb issued fasb interpretation ( 201cfin 201d ) no .
47 , 201caccounting for conditional asset retirement obligations , an interpretation of fasb statement no .
143 201d .
fin no .
47 clarifies the term conditional asset retirement obligation as used in sfas no .
143 , 201caccounting for asset retirement obligations 201d , and provides further guidance as to when an entity would have sufficient information to reasonably estimate the fair value of an asset retirement obligation .
effective dec .
31 , 2005 , ppg adopted the provisions of fin no .
47 .
our only conditional asset retirement obligation relates to the possible future abatement of asbestos contained in certain ppg production facilities .
the asbestos in our production facilities arises from the application of normal and customary building practices in the past when the facilities were constructed .
this asbestos is encapsulated in place and , as a result , there is no current legal requirement to abate it .
inasmuch as there is no requirement to abate , we do not have any current plans or an intention to abate and therefore the timing , method and cost of future abatement , if any , are not 40 2006 ppg annual report and form 10-k 4282_txt .


entergy corporation and subsidiaries management 2019s financial discussion and analysis regulatory asset associated with new nuclear generation development costs as a result of a joint stipulation entered into with the mississippi public utilities staff , subsequently approved by the mpsc , in which entergy mississippi agreed not to pursue recovery of the costs deferred by an mpsc order in the new nuclear generation docket .
see note 2 to the financial statements for further discussion of the new nuclear generation development costs and the joint stipulation .
net revenue utility following is an analysis of the change in net revenue comparing 2015 to 2014 .
amount ( in millions ) .[['', 'amount ( in millions )'], ['2014 net revenue', '$ 5735'], ['retail electric price', '187'], ['volume/weather', '95'], ['louisiana business combination customer credits', '-107 ( 107 )'], ['miso deferral', '-35 ( 35 )'], ['waterford 3 replacement steam generator provision', '-32 ( 32 )'], ['other', '-14 ( 14 )'], ['2015 net revenue', '$ 5829']]the retail electric price variance is primarily due to : 2022 formula rate plan increases at entergy louisiana , as approved by the lpsc , effective december 2014 and january 2015 ; 2022 an increase in energy efficiency rider revenue primarily due to increases in the energy efficiency rider at entergy arkansas , as approved by the apsc , effective july 2015 and july 2014 , and new energy efficiency riders at entergy louisiana and entergy mississippi that began in the fourth quarter 2014 .
energy efficiency revenues are largely offset by costs included in other operation and maintenance expenses and have a minimal effect on net income ; and 2022 an annual net rate increase at entergy mississippi of $ 16 million , effective february 2015 , as a result of the mpsc order in the june 2014 rate case .
see note 2 to the financial statements for a discussion of rate and regulatory proceedings .
the volume/weather variance is primarily due to an increase of 1402 gwh , or 1% ( 1 % ) , in billed electricity usage , including an increase in industrial usage and the effect of more favorable weather .
the increase in industrial sales was primarily due to expansion in the chemicals industry and the addition of new customers , partially offset by decreased demand primarily due to extended maintenance outages for existing chemicals customers .
the louisiana business combination customer credits variance is due to a regulatory liability of $ 107 million recorded by entergy in october 2015 as a result of the entergy gulf states louisiana and entergy louisiana business combination .
consistent with the terms of an agreement with the lpsc , electric customers of entergy louisiana will realize customer credits associated with the business combination ; accordingly , in october 2015 , entergy recorded a regulatory liability of $ 107 million ( $ 66 million net-of-tax ) .
see note 2 to the financial statements for further discussion of the business combination and customer credits. .


due to the adoption of sfas no .
123r , the company recognizes excess tax benefits associated with share-based compensation to stockholders 2019 equity only when realized .
when assessing whether excess tax benefits relating to share-based compensation have been realized , the company follows the with-and-without approach excluding any indirect effects of the excess tax deductions .
under this approach , excess tax benefits related to share-based compensation are not deemed to be realized until after the utilization of all other tax benefits available to the company .
during 2008 , the company realized $ 18.5 million of such excess tax benefits , and accordingly recorded a corresponding credit to additional paid in capital .
as of december 28 , 2008 , the company has $ 36.5 million of unrealized excess tax benefits associated with share-based compensation .
these tax benefits will be accounted for as a credit to additional paid-in capital , if and when realized , rather than a reduction of the tax provision .
the company 2019s manufacturing operations in singapore operate under various tax holidays and incentives that begin to expire in 2018 .
for the year ended december 28 , 2008 , these tax holidays and incentives resulted in an approximate $ 1.9 million decrease to the tax provision and an increase to net income per diluted share of $ 0.01 .
residual u.s .
income taxes have not been provided on $ 14.7 million of undistributed earnings of foreign subsidiaries as of december 28 , 2008 , since the earnings are considered to be indefinitely invested in the operations of such subsidiaries .
effective january 1 , 2007 , the company adopted fin no .
48 , accounting for uncertainty in income taxes 2014 an interpretation of fasb statement no .
109 , which clarifies the accounting for uncertainty in tax positions .
fin no .
48 requires recognition of the impact of a tax position in the company 2019s financial statements only if that position is more likely than not of being sustained upon examination by taxing authorities , based on the technical merits of the position .
the adoption of fin no .
48 did not result in an adjustment to the company 2019s opening stockholders 2019 equity since there was no cumulative effect from the change in accounting principle .
the following table summarizes the gross amount of the company 2019s uncertain tax positions ( in thousands ) : .[['balance at december 31 2007', '$ 21376'], ['increases related to current year tax positions', '2402'], ['balance at december 28 2008', '$ 23778']]as of december 28 , 2008 , $ 7.7 million of the company 2019s uncertain tax positions would reduce the company 2019s annual effective tax rate , if recognized .
the company does not expect its uncertain tax positions to change significantly over the next 12 months .
any interest and penalties related to uncertain tax positions will be reflected in income tax expense .
as of december 28 , 2008 , no interest or penalties have been accrued related to the company 2019s uncertain tax positions .
tax years 1992 to 2008 remain subject to future examination by the major tax jurisdictions in which the company is subject to tax .
13 .
employee benefit plans retirement plan the company has a 401 ( k ) savings plan covering substantially all of its employees .
company contributions to the plan are discretionary .
during the years ended december 28 , 2008 , december 30 , 2007 and december 31 , 2006 , the company made matching contributions of $ 2.6 million , $ 1.4 million and $ 0.4 million , respectively .
illumina , inc .
notes to consolidated financial statements 2014 ( continued ) .


management 2019s discussion and analysis 68 jpmorgan chase & co./2014 annual report consolidated results of operations the following section provides a comparative discussion of jpmorgan chase 2019s consolidated results of operations on a reported basis for the three-year period ended december 31 , 2014 .
factors that relate primarily to a single business segment are discussed in more detail within that business segment .
for a discussion of the critical accounting estimates used by the firm that affect the consolidated results of operations , see pages 161 2013165 .
revenue year ended december 31 .[['( in millions )', '2014', '2013', '2012'], ['investment banking fees', '$ 6542', '$ 6354', '$ 5808'], ['principal transactions ( a )', '10531', '10141', '5536'], ['lending- and deposit-related fees', '5801', '5945', '6196'], ['asset management administration and commissions', '15931', '15106', '13868'], ['securities gains', '77', '667', '2110'], ['mortgage fees and related income', '3563', '5205', '8687'], ['card income', '6020', '6022', '5658'], ['other income ( b )', '2106', '3847', '4258'], ['noninterest revenue', '50571', '53287', '52121'], ['net interest income', '43634', '43319', '44910'], ['total net revenue', '$ 94205', '$ 96606', '$ 97031']]( a ) included funding valuation adjustments ( ( 201cfva 201d ) effective 2013 ) ) and debit valuation adjustments ( 201cdva 201d ) on over-the-counter ( 201cotc 201d ) derivatives and structured notes , measured at fair value .
fva and dva gains/ ( losses ) were $ 468 million and $ ( 1.9 ) billion for the years ended december 31 , 2014 and 2013 , respectively .
dva losses were ( $ 930 ) million for the year ended december 31 , 2012 .
( b ) included operating lease income of $ 1.7 billion , $ 1.5 billion and $ 1.3 billion for the years ended december 31 , 2014 , 2013 and 2012 , respectively .
2014 compared with 2013 total net revenue for 2014 was down by $ 2.4 billion , or 2% ( 2 % ) , compared with the prior year , predominantly due to lower mortgage fees and related income , and lower other income .
the decrease was partially offset by higher asset management , administration and commissions revenue .
investment banking fees increased compared with the prior year , due to higher advisory and equity underwriting fees , largely offset by lower debt underwriting fees .
the increase in advisory fees was driven by the combined impact of a greater share of fees for completed transactions , and growth in industry-wide fee levels .
the increase in equity underwriting fees was driven by higher industry-wide issuance .
the decrease in debt underwriting fees was primarily related to lower bond underwriting compared with a stronger prior year , and lower loan syndication fees on lower industry-wide fee levels .
investment banking fee share and industry-wide data are sourced from dealogic , an external vendor .
for additional information on investment banking fees , see cib segment results on pages 92 201396 , cb segment results on pages 97 201399 , and note 7 .
principal transactions revenue , which consists of revenue primarily from the firm 2019s client-driven market-making and private equity investing activities , increased compared with the prior year as the prior year included a $ 1.5 billion loss related to the implementation of the fva framework for otc derivatives and structured notes .
the increase was also due to higher private equity gains as a result of higher net gains on sales .
the increase was partially offset by lower fixed income markets revenue in cib , primarily driven by credit- related and rates products , as well as the impact of business simplification initiatives .
for additional information on principal transactions revenue , see cib and corporate segment results on pages 92 201396 and pages 103 2013104 , respectively , and note 7 .
lending- and deposit-related fees decreased compared with the prior year , reflecting the impact of business simplification initiatives and lower trade finance revenue in cib .
for additional information on lending- and deposit- related fees , see the segment results for ccb on pages 81 2013 91 , cib on pages 92 201396 and cb on pages 97 201399 .
asset management , administration and commissions revenue increased compared with the prior year , reflecting higher asset management fees driven by net client inflows and the effect of higher market levels in am and ccb .
the increase was offset partially by lower commissions and other fee revenue in ccb as a result of the exit of a non-core product in the second half of 2013 .
for additional information on these fees and commissions , see the segment discussions of ccb on pages 81 201391 , am on pages 100 2013102 , and note 7 .
securities gains decreased compared with the prior year , reflecting lower repositioning activity related to the firm 2019s investment securities portfolio .
for additional information , see the corporate segment discussion on pages 103 2013104 and note 12 .
mortgage fees and related income decreased compared with the prior year .
the decrease was predominantly due to lower net production revenue driven by lower volumes due to higher levels of mortgage interest rates , and tighter margins .
the decline in net production revenue was partially offset by a lower loss on the risk management of mortgage servicing rights ( 201cmsrs 201d ) .
for additional information , see the segment discussion of ccb on pages 85 201387 and note 17 .
card income remained relatively flat but included higher net interchange income on credit and debit cards due to growth in sales volume , offset by higher amortization of new account origination costs .
for additional information on credit card income , see ccb segment results on pages 81 201391. .


2012 ppg annual report and form 10-k 27 operations in 2011 compared to 2010 , but the increase was reduced by cash used to fund an increase in working capital of $ 212 million driven by our sales growth in 2011 .
operating working capital is a subset of total working capital and represents ( 1 ) trade receivables-net of the allowance for doubtful accounts , plus ( 2 ) inventories on a first- in , first-out ( 201cfifo 201d ) basis , less ( 3 ) trade creditors 2019 liabilities .
see note 3 , 201cworking capital detail 201d under item 8 of this form 10-k for further information related to the components of the company 2019s operating working capital .
we believe operating working capital represents the key components of working capital under the operating control of our businesses .
operating working capital at december 31 , 2012 and 2011 was $ 2.9 billion and $ 2.7 billion , respectively .
a key metric we use to measure our working capital management is operating working capital as a percentage of sales ( fourth quarter sales annualized ) . .[['( millions except percentages )', '2012', '2011'], ['trade receivables net', '$ 2568', '$ 2512'], ['inventories fifo', '1930', '1839'], ["trade creditor's liabilities", '1620', '1612'], ['operating working capital', '$ 2878', '$ 2739'], ['operating working capital as % (  % ) of sales', '19.7% ( 19.7 % )', '19.5% ( 19.5 % )']]operating working capital at december 31 , 2012 increased $ 139 million compared with the prior year end level ; however , excluding the impact of currency and acquisitions , the change was a decrease of $ 21 million during the year ended december 31 , 2012 .
this decrease was the net result of decreases in all components of operating working capital .
trade receivables from customers , net , as a percentage of fourth quarter sales , annualized , for 2012 was 17.6% ( 17.6 % ) , down slightly from 17.9% ( 17.9 % ) for 2011 .
days sales outstanding was 61 days in 2012 , a one day improvement from 2011 .
inventories on a fifo basis as a percentage of fourth quarter sales , annualized , for 2012 was 13.2% ( 13.2 % ) up slightly from 13.1% ( 13.1 % ) in 2011 .
inventory turnover was 4.8 times in 2012 and 5.0 times in 2011 .
total capital spending , including acquisitions , was $ 533 million , $ 446 million and $ 341 million in 2012 , 2011 , and 2010 , respectively .
spending related to modernization and productivity improvements , expansion of existing businesses and environmental control projects was $ 411 million , $ 390 million and $ 307 million in 2012 , 2011 , and 2010 , respectively , and is expected to be in the range of $ 350-$ 450 million during 2013 .
capital spending , excluding acquisitions , as a percentage of sales was 2.7% ( 2.7 % ) , 2.6% ( 2.6 % ) and 2.3% ( 2.3 % ) in 2012 , 2011 and 2010 , respectively .
capital spending related to business acquisitions amounted to $ 122 million , $ 56 million , and $ 34 million in 2012 , 2011 and 2010 , respectively .
a primary focus for the corporation in 2013 will continue to be prudent cash deployment focused on profitable earnings growth including pursuing opportunities for additional strategic acquisitions .
in january 2013 , ppg received $ 900 million in cash proceeds in connection with the closing of the separation of its commodity chemicals business and subsequent merger of the subsidiary holding the ppg commodity chemicals business with a subsidiary of georgia gulf .
refer to note 25 , 201cseparation and merger transaction 201d for financial information regarding the separation of the commodity chemicals business .
in december 2012 , the company reached a definitive agreement to acquire the north american architectural coatings business of akzo nobel , n.v. , amsterdam , in a deal valued at $ 1.05 billion .
the transaction has been approved by the boards of directors of both companies and is expected to close in the first half of 2013 , subject to regulatory approvals .
in december 2012 , the company acquired spraylat corp. , a privately-owned industrial coatings company based in pelham , n.y .
in january 2012 , the company completed the previously announced acquisitions of colpisa , a colombian producer of automotive oem and refinish coatings , and dyrup , a european architectural coatings company .
the total cost of 2012 acquisitions , including assumed debt , was $ 288 million .
dividends paid to shareholders totaled $ 358 million , $ 355 million and $ 360 million in 2012 , 2011 and 2010 , respectively .
ppg has paid uninterrupted annual dividends since 1899 , and 2012 marked the 41st consecutive year of increased annual dividend payments to shareholders .
we did not have a mandatory contribution to our u.s .
defined benefit pension plans in 2012 and we did not make a voluntary contribution to these plans .
in 2011 and 2010 , we made voluntary contributions to our u.s .
defined benefit pension plans of $ 50 million and $ 250 million , respectively .
we do not expect to make a contribution to our u.s .
defined benefit pension plans in 2013 .
contributions were made to our non-u.s .
defined benefit pension plans of $ 81 million , $ 71 million and $ 87 million for 2012 , 2011 and 2010 , respectively , some of which were required by local funding requirements .
we expect to make mandatory contributions to our non-u.s .
plans in 2013 in the range of approximately $ 75 million to $ 100 million .
the company 2019s share repurchase activity in 2012 , 2011 and 2010 was 1 million shares at a cost of $ 92 million , 10.2 million shares at a cost of $ 858 million and 8.1 million shares at a cost of $ 586 million , respectively .
no ppg stock was purchased in the last nine months of 2012 during the completion of the separation of its commodity chemicals business and subsequent merger of the subsidiary holding the ppg commodity chemicals business with a subsidiary of georgia gulf .
the company reinitiated our share repurchase activity in the first quarter of 2013 .
we anticipate spending between $ 500 million and $ 750 million for share repurchases during 2013 .
we can repurchase nearly 8 million shares under the current authorization from the board of directors .
in september 2012 , ppg entered into a five-year credit agreement ( the "credit agreement" ) with several banks and financial institutions as further discussed in note 8 , "debt and bank credit agreements and leases" .
the credit agreement provides for a $ 1.2 billion unsecured revolving credit facility .
in connection with entering into this credit agreement , the table of contents .


notes to consolidated financial statements ( continued ) note 1 2014summary of significant accounting policies ( continued ) the following table reconciles changes in the company 2019s asset retirement liabilities for fiscal 2003 and 2004 ( in millions ) : .[['asset retirement liability as of september 29 2002', '$ 5.5'], ['additional asset retirement obligations recognized', '0.5'], ['accretion recognized', '1.2'], ['asset retirement liability as of september 27 2003', '$ 7.2'], ['additional asset retirement obligations recognized', '0.5'], ['accretion recognized', '0.5'], ['asset retirement liability as of september 25 2004', '$ 8.2']]long-lived assets including goodwill and other acquired intangible assets the company reviews property , plant , and equipment and certain identifiable intangibles , excluding goodwill , for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable .
recoverability of these assets is measured by comparison of its carrying amount to future undiscounted cash flows the assets are expected to generate .
if property , plant , and equipment and certain identifiable intangibles are considered to be impaired , the impairment to be recognized equals the amount by which the carrying value of the assets exceeds its fair market value .
for the three years ended september 25 , 2004 , september 27 , 2003 , and september 28 , 2002 the company had no material impairment of its long-lived assets , except for the impairment of certain assets in connection with the restructuring actions described in note 5 .
the company adopted sfas no .
142 , goodwill and other intangible assets , in the first quarter of fiscal 2002 .
sfas no .
142 requires that goodwill and intangible assets with indefinite useful lives no longer be amortized , but instead be tested for impairment at least annually or sooner whenever events or changes in circumstances indicate that they may be impaired .
prior to fiscal 2002 , goodwill was amortized using the straight-line method over its estimated useful life .
the company completed its transitional goodwill impairment test as of october 1 , 2001 , and its annual goodwill impairment tests on august 30 of each year thereafter and found no impairment .
the company established reporting units based on its current reporting structure .
for purposes of testing goodwill for impairment , goodwill has been allocated to these reporting units to the extent it relates to each reporting unit .
sfas no .
142 also requires that intangible assets with definite lives be amortized over their estimated useful lives and reviewed for impairment in accordance with sfas no .
144 , accounting for the impairment of long-lived assets and for long-lived assets to be disposed of .
the company is currently amortizing its acquired intangible assets with definite lives over periods ranging from 3 to 10 years .
foreign currency translation the company translates the assets and liabilities of its international non-u.s .
functional currency subsidiaries into u.s .
dollars using exchange rates in effect at the end of each period .
revenue and expenses for these subsidiaries are translated using rates that approximate those in effect during the period .
gains and losses from these translations are credited or charged to foreign currency translation included in 2018 2018accumulated other comprehensive income ( loss ) 2019 2019 in shareholders 2019 equity .
the company 2019s foreign manufacturing subsidiaries and certain other international subsidiaries that use the u.s .
dollar as their functional currency remeasure monetary assets and liabilities at exchange rates in effect at the end of each period , and inventories , property , and nonmonetary assets and liabilities at historical rates .
gains and .


entergy corporation and subsidiaries notes to financial statements rate of 2.04% ( 2.04 % ) .
although the principal amount is not due until the date given in the tables above , entergy louisiana investment recovery funding expects to make principal payments on the bonds over the next five years in the amounts of $ 21.7 million for 2017 , $ 22.3 million for 2018 , $ 22.7 million for 2019 , $ 23.2 million for 2020 , and $ 11 million for 2021 .
with the proceeds , entergy louisiana investment recovery funding purchased from entergy louisiana the investment recovery property , which is the right to recover from customers through an investment recovery charge amounts sufficient to service the bonds .
in accordance with the financing order , entergy louisiana will apply the proceeds it received from the sale of the investment recovery property as a reimbursement for previously-incurred investment recovery costs .
the investment recovery property is reflected as a regulatory asset on the consolidated entergy louisiana balance sheet .
the creditors of entergy louisiana do not have recourse to the assets or revenues of entergy louisiana investment recovery funding , including the investment recovery property , and the creditors of entergy louisiana investment recovery funding do not have recourse to the assets or revenues of entergy louisiana .
entergy louisiana has no payment obligations to entergy louisiana investment recovery funding except to remit investment recovery charge collections .
entergy new orleans securitization bonds - hurricane isaac in may 2015 the city council issued a financing order authorizing the issuance of securitization bonds to recover entergy new orleans 2019s hurricane isaac storm restoration costs of $ 31.8 million , including carrying costs , the costs of funding and replenishing the storm recovery reserve in the amount of $ 63.9 million , and approximately $ 3 million of up-front financing costs associated with the securitization .
in july 2015 , entergy new orleans storm recovery funding i , l.l.c. , a company wholly owned and consolidated by entergy new orleans , issued $ 98.7 million of storm cost recovery bonds .
the bonds have a coupon of 2.67% ( 2.67 % ) .
although the principal amount is not due until the date given in the tables above , entergy new orleans storm recovery funding expects to make principal payments on the bonds over the next five years in the amounts of $ 10.6 million for 2017 , $ 11 million for 2018 , $ 11.2 million for 2019 , $ 11.6 million for 2020 , and $ 11.9 million for 2021 .
with the proceeds , entergy new orleans storm recovery funding purchased from entergy new orleans the storm recovery property , which is the right to recover from customers through a storm recovery charge amounts sufficient to service the securitization bonds .
the storm recovery property is reflected as a regulatory asset on the consolidated entergy new orleans balance sheet .
the creditors of entergy new orleans do not have recourse to the assets or revenues of entergy new orleans storm recovery funding , including the storm recovery property , and the creditors of entergy new orleans storm recovery funding do not have recourse to the assets or revenues of entergy new orleans .
entergy new orleans has no payment obligations to entergy new orleans storm recovery funding except to remit storm recovery charge collections .
entergy texas securitization bonds - hurricane rita in april 2007 the puct issued a financing order authorizing the issuance of securitization bonds to recover $ 353 million of entergy texas 2019s hurricane rita reconstruction costs and up to $ 6 million of transaction costs , offset by $ 32 million of related deferred income tax benefits .
in june 2007 , entergy gulf states reconstruction funding i , llc , a company that is now wholly-owned and consolidated by entergy texas , issued $ 329.5 million of senior secured transition bonds ( securitization bonds ) as follows : amount ( in thousands ) .[['', 'amount ( in thousands )'], ['senior secured transition bonds series a:', ''], ['tranche a-1 ( 5.51% ( 5.51 % ) ) due october 2013', '$ 93500'], ['tranche a-2 ( 5.79% ( 5.79 % ) ) due october 2018', '121600'], ['tranche a-3 ( 5.93% ( 5.93 % ) ) due june 2022', '114400'], ['total senior secured transition bonds', '$ 329500']].


westrock company notes to consolidated financial statements fffd ( continued ) a reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows ( in millions ) : .[['', '2018', '2017', '2016'], ['balance at beginning of fiscal year', '$ 148.9', '$ 166.8', '$ 106.6'], ['additions related to purchase accounting ( 1 )', '3.4', '7.7', '16.5'], ['additions for tax positions taken in current year', '3.1', '5.0', '30.3'], ['additions for tax positions taken in prior fiscal years', '18.0', '15.2', '20.6'], ['reductions for tax positions taken in prior fiscal years', '-5.3 ( 5.3 )', '-25.6 ( 25.6 )', '-9.7 ( 9.7 )'], ['reductions due to settlement ( 2 )', '-29.4 ( 29.4 )', '-14.1 ( 14.1 )', '-1.3 ( 1.3 )'], ['( reductions ) additions for currency translation adjustments', '-9.6 ( 9.6 )', '2.0', '7.0'], ['reductions as a result of a lapse of the applicable statute oflimitations', '-2.0 ( 2.0 )', '-8.1 ( 8.1 )', '-3.2 ( 3.2 )'], ['balance at end of fiscal year', '$ 127.1', '$ 148.9', '$ 166.8']]( 1 ) amounts in fiscal 2018 and 2017 relate to the mps acquisition .
adjustments in fiscal 2016 relate to the combination and the sp fiber acquisition .
( 2 ) amounts in fiscal 2018 relate to the settlement of state audit examinations and federal and state amended returns filed related to affirmative adjustments for which a there was a reserve .
amounts in fiscal 2017 relate to the settlement of federal and state audit examinations with taxing authorities .
as of september 30 , 2018 and 2017 , the total amount of unrecognized tax benefits was approximately $ 127.1 million and $ 148.9 million , respectively , exclusive of interest and penalties .
of these balances , as of september 30 , 2018 and 2017 , if we were to prevail on all unrecognized tax benefits recorded , approximately $ 108.7 million and $ 138.0 million , respectively , would benefit the effective tax rate .
we regularly evaluate , assess and adjust the related liabilities in light of changing facts and circumstances , which could cause the effective tax rate to fluctuate from period to period .
we recognize estimated interest and penalties related to unrecognized tax benefits in income tax expense in the consolidated statements of operations .
as of september 30 , 2018 , we had liabilities of $ 70.4 million related to estimated interest and penalties for unrecognized tax benefits .
as of september 30 , 2017 , we had liabilities of $ 81.7 million , net of indirect benefits , related to estimated interest and penalties for unrecognized tax benefits .
our results of operations for the fiscal year ended september 30 , 2018 , 2017 and 2016 include expense of $ 5.8 million , $ 7.4 million and $ 2.9 million , respectively , net of indirect benefits , related to estimated interest and penalties with respect to the liability for unrecognized tax benefits .
as of september 30 , 2018 , it is reasonably possible that our unrecognized tax benefits will decrease by up to $ 5.5 million in the next twelve months due to expiration of various statues of limitations and settlement of issues .
we file federal , state and local income tax returns in the u.s .
and various foreign jurisdictions .
with few exceptions , we are no longer subject to u.s .
federal and state and local income tax examinations by tax authorities for years prior to fiscal 2015 and fiscal 2008 , respectively .
we are no longer subject to non-u.s .
income tax examinations by tax authorities for years prior to fiscal 2011 , except for brazil for which we are not subject to tax examinations for years prior to 2005 .
while we believe our tax positions are appropriate , they are subject to audit or other modifications and there can be no assurance that any modifications will not materially and adversely affect our results of operations , financial condition or cash flows .
note 6 .
segment information we report our financial results of operations in the following three reportable segments : corrugated packaging , which consists of our containerboard mill and corrugated packaging operations , as well as our recycling operations ; consumer packaging , which consists of consumer mills , folding carton , beverage , merchandising displays and partition operations ; and land and development , which sells real estate primarily in the charleston , sc region .
following the combination and until the completion of the separation , our financial results of operations had a fourth reportable segment , specialty chemicals .
prior to the hh&b sale , our consumer packaging segment included hh&b .
certain income and expenses are not allocated to our segments and , thus , the information that .


the goldman sachs group , inc .
and subsidiaries management 2019s discussion and analysis commissions and fees in the consolidated statements of earnings were $ 3.20 billion for 2018 , 5% ( 5 % ) higher than 2017 , reflecting an increase in our listed cash equity and futures volumes , generally consistent with market volumes .
market making revenues in the consolidated statements of earnings were $ 9.45 billion for 2018 , 23% ( 23 % ) higher than 2017 , due to significantly higher revenues in equity products , interest rate products and commodities .
these increases were partially offset by significantly lower results in mortgages and lower revenues in credit products .
other principal transactions revenues in the consolidated statements of earnings were $ 5.82 billion for 2018 , 2% ( 2 % ) lower than 2017 , reflecting net losses from investments in public equities compared with net gains in the prior year , partially offset by significantly higher net gains from investments in private equities , driven by company-specific events , including sales , and corporate performance .
net interest income .
net interest income in the consolidated statements of earnings was $ 3.77 billion for 2018 , 28% ( 28 % ) higher than 2017 , reflecting an increase in interest income primarily due to the impact of higher interest rates on collateralized agreements , other interest-earning assets and deposits with banks , increases in total average loans receivable and financial instruments owned , and higher yields on financial instruments owned and loans receivable .
the increase in interest income was partially offset by higher interest expense primarily due to the impact of higher interest rates on other interest-bearing liabilities , collateralized financings , deposits and long-term borrowings , and increases in total average long-term borrowings and deposits .
see 201cstatistical disclosures 2014 distribution of assets , liabilities and shareholders 2019 equity 201d for further information about our sources of net interest income .
2017 versus 2016 net revenues in the consolidated statements of earnings were $ 32.73 billion for 2017 , 6% ( 6 % ) higher than 2016 , due to significantly higher other principal transactions revenues , and higher investment banking revenues , investment management revenues and net interest income .
these increases were partially offset by significantly lower market making revenues and lower commissions and fees .
non-interest revenues .
investment banking revenues in the consolidated statements of earnings were $ 7.37 billion for 2017 , 18% ( 18 % ) higher than 2016 .
revenues in financial advisory were higher compared with 2016 , reflecting an increase in completed mergers and acquisitions transactions .
revenues in underwriting were significantly higher compared with 2016 , due to significantly higher revenues in both debt underwriting , primarily reflecting an increase in industry-wide leveraged finance activity , and equity underwriting , reflecting an increase in industry-wide secondary offerings .
investment management revenues in the consolidated statements of earnings were $ 5.80 billion for 2017 , 7% ( 7 % ) higher than 2016 , due to higher management and other fees , reflecting higher average assets under supervision , and higher transaction revenues .
commissions and fees in the consolidated statements of earnings were $ 3.05 billion for 2017 , 5% ( 5 % ) lower than 2016 , reflecting a decline in our listed cash equity volumes in the u.s .
market volumes in the u.s .
also declined .
market making revenues in the consolidated statements of earnings were $ 7.66 billion for 2017 , 23% ( 23 % ) lower than 2016 , due to significantly lower revenues in commodities , currencies , credit products , interest rate products and equity derivative products .
these results were partially offset by significantly higher revenues in equity cash products and significantly improved results in mortgages .
other principal transactions revenues in the consolidated statements of earnings were $ 5.91 billion for 2017 , 75% ( 75 % ) higher than 2016 , primarily reflecting a significant increase in net gains from private equities , which were positively impacted by company-specific events and corporate performance .
in addition , net gains from public equities were significantly higher , as global equity prices increased during the year .
net interest income .
net interest income in the consolidated statements of earnings was $ 2.93 billion for 2017 , 13% ( 13 % ) higher than 2016 , reflecting an increase in interest income primarily due to the impact of higher interest rates on collateralized agreements , higher interest income from loans receivable due to higher yields and an increase in total average loans receivable , an increase in total average financial instruments owned , and the impact of higher interest rates on other interest-earning assets and deposits with banks .
the increase in interest income was partially offset by higher interest expense primarily due to the impact of higher interest rates on other interest-bearing liabilities , an increase in total average long-term borrowings , and the impact of higher interest rates on interest-bearing deposits , short-term borrowings and collateralized financings .
see 201cstatistical disclosures 2014 distribution of assets , liabilities and shareholders 2019 equity 201d for further information about our sources of net interest income .
provision for credit losses provision for credit losses consists of provision for credit losses on loans receivable and lending commitments held for investment .
see note 9 to the consolidated financial statements for further information about the provision for credit losses .
the table below presents the provision for credit losses. .[['$ in millions', 'year ended december 2018', 'year ended december 2017', 'year ended december 2016'], ['provision for credit losses', '$ 674', '$ 657', '$ 182']]goldman sachs 2018 form 10-k 53 .