3. Revisions to Previously Issued Financial Statements

The Company is revising its previously issued financial statements to update for: (1) accounting adjustments due to the internal review at its Aerospace Systems segment, (2) accounting related to a sales-type lease transaction for flight simulator systems within its Electronic Systems segment, and (3) previously identified immaterial errors already recognized in its financial statements but not recorded in the appropriate periods. The accounting errors related to the sales-type lease transaction and immaterial out of period amounts are not related to the internal review at its Aerospace Systems segment.

Internal Review of Aerospace Systems Segment: The Company conducted an internal review related to instances of misconduct and accounting errors at its Aerospace Systems segment. This review was conducted with the assistance of outside legal and accounting advisors, and has been completed. As a result of the internal review, the Company identified and recorded aggregate pre-tax charges as follows: (1) $60 million for 2013, (2) $25 million for 2012, (3) $5 million for 2011, and (4) $4 million for periods prior to 2011.

The adjustments related to the internal review only affected the Logistics Solutions and Platform Systems sectors of the Aerospace Systems segment. The cumulative aggregate adjustments attributable to the Logistics Solutions sector are approximately $82 million, and at the Platform Systems sector are approximately $12 million through 2013. The Logistics Solutions sector adjustments relate to: (1) losses of $54 million through 2013 with respect to the U.S. Army C-12 fixed-price maintenance and logistics support contract due to cost overruns inappropriately deferred, sales invoices inappropriately prepared, and the failure to timely and accurately perform contract estimates at completion and valuation assessments of inventories and receivables at the Army Sustainment Division, and (2) accounting errors of $28 million through 2013 in connection with the valuation of inventories and receivables, as well as the correction for certain accruals on other logistics support contracts. The Platform Systems sector adjustments are primarily due to: (1) losses of $2 million on two aircraft modification contracts and two contracts for rotary wing sub-assemblies and parts, and (2) write-offs of deferred costs of $10 million to design and test aerostructures for a new commercial aircraft.

Sales-Type Lease Transaction: The Company routinely performs on-site accounting and internal control review procedures on a rotational basis. As part of a previously planned review of the Simulation & Training business in its Electronic Systems segment and unrelated to the internal review at its Aerospace Systems segment, the Company evaluated the accounting treatment related to a sales-type lease transaction with the U.S. Army for rotary wing flight simulator systems. The period of performance under this contract began in 2004 and ends in 2023. Based on the results of this evaluation, the Company has adjusted its previously issued financial statements to: (1) increase interest income accretion on the net investment related to this sales-type lease transaction by an estimated aggregate amount of approximately $5 million for 2013, $3 million for each of 2012 and 2011 and $12 million for periods prior to 2011, and (2) decrease sales by approximately $7 million for 2013 and decrease cost of sales by approximately $7 million for 2013 and $5 million for periods prior to 2011.

Out of Period Amounts: The Company has identified various out of period amounts included in its previously issued financial statements that were deemed to be immaterial individually and in the aggregate. In prior periods, in accordance with Accounting Standards Codification (“ASC”) 650-10-S99 and S55 (formerly Staff Accounting Bulletins (“SAB”) No. 99 and No. 108), Accounting Changes and Error Corrections, the Company concluded that these errors were, individually, and in the aggregate, not material, quantitatively or qualitatively, to the financial statements in the period recorded or to the relevant prior periods. Accordingly, the Company recorded these errors in its financial statements in the period that the error was identified. The Company is, on a voluntary basis, revising its previously issued financial statements to correct for these errors already recognized in its financial statements but not recorded in the appropriate periods to reflect them in the appropriate period. These out of period amounts were not discovered as part of the internal review of the Aerospace Systems segment discussed above, but rather represent previously identified errors “resulting from mathematical mistakes, mistakes in application of generally accepted accounting principles, or oversight or misuse of facts that existed at the time the financial statements were prepared,” as defined in ASC 250-10-20 Accounting Changes and Error Corrections. The Company, therefore, is not treating these amounts as changes in estimates. These errors consist of: (1) increases in development and material costs related to Broadband Communication Systems that were recorded in the first quarter of 2013 but should have been recorded in the fourth quarter of 2012, (2) a sub-contractor subscription deposit that was recorded as sales and income in the fourth quarter of 2012 but should have been amortized to sales and income during 2013, (3) costs accrued in the fourth quarter of 2012 for goods or services received in the first quarter of 2013, (4) several unrecorded liabilities that were recorded in the first quarter of 2013 but should have been recorded in the fourth quarter of 2012, (5) a correction of accrued vacation that was recorded in the fourth quarter of 2013 but should have been recorded in the fourth quarter of 2012 and the first, second and third quarters of 2013, and (6) a warranty reserve reduction recorded in the third quarter of 2012 that should have been recorded in the fourth quarter of 2011.

With respect to each of the immaterial out of period amounts included in the Company’s previously issued financial statements, the table below presents the: (1) nature of the adjustments, (2) applicable segment, (3) amount of increase (or decrease) to sales and operating income, (4) period recorded and (5) correct period.


		2013					2012						2011
Nature of Adjustment	Applicable Segment	Sales			Operating Income		Sales			Operating Income			Sales			Operating Income		Period Recorded	Correct Period
		($ in millions)
Higher development and material costs for networked communications systems	Communication Systems	$	10		$	10	$	(10	)	$	(10	)	$	—		$	—	1Q 2013	4Q 2012

Sub-contractor subscription deposit	Aerospace Systems		26			2		(26	)		(2	)		—			—	4Q 2012	1Q, 2Q, 3Q & Q4 2013

Costs accruals for goods/services received	Aerospace Systems		5			1		(5	)		(1	)		—			—	4Q 2012	1Q 2013

Unrecorded liabilities	Aerospace Systems		(2	)		—		2			—			—			—	1Q 2013	4Q 2012

Accrued vacation	Aerospace Systems		—			1		—			(1	)		—			—	4Q 2013	4Q 2012, 1Q, 2Q & 3Q 2013

Warranty reserve	Electronic Systems		—			—		3			(4	)		(3	)		4	3Q 2012	4Q 2011


Total		$	39		$	14	$	(36	)	$	(18	)	$	(3	)	$	4

The table below presents the impact of the matters discussed above on sales and pre-tax income for the years ended December 31, 2013, 2012 and 2011 and for the years ended prior to December 31, 2011.


	2013				2012				2011				Prior to 2011
	Sales		Pre-tax Income		Sales		Pre-tax Income		Sales		Pre-tax Income		Sales		Pre-tax Income
	(in millions)
Army C-12 Contract	$	(25)	$	(35)	$	(3)	$	(16)	$	(1)	$	(3)		—		—
Other Logistics Support Contracts		(2)		(11)		(2)		(11)		—		(2)		(1)		(4)

Logistics Solutions	$	(27)	$	(46)	$	(5)	$	(27)	$	(1)	$	(5)	$	(1)	$	(4)
Platform Systems		(12)		(14)		3		2		—		—		—		—

Total Internal Review of Aerospace Systems Segment	$	(39)	$	(60)	$	(2)	$	(25)	$	(1)	$	(5)	$	(1)	$	(4)
Sales-Type Lease Transaction		(7)		5		—		3		—		3		—		17
Out of Period Amounts		39		14		(36)		(18)		(3)		4		—		—

Total Revisions	$	(7)	$	(41)	$	(38)	$	(40)	$	(4)	$	2	$	(1)	$	13

In accordance with ASC 650-10-S99 and S55, the Company performed an analysis to determine if the impact of the amounts disclosed above were material to its previously issued financial statements. Based on that analysis, the Company believes that its previously issued financial statements are not materially misstated on either a quantitative or qualitative basis. However, as a result of completing the review, the Company believes that correcting these errors in the quarterly report on Form 10-Q for the second quarter of 2014 would, in the aggregate, cause a material misstatement to forecasted pre-tax income and net income for the fiscal year ending December 31, 2014. Accordingly, the Company is correcting these errors by revising its previously issued financial statements to record all the adjustments in the table above in the appropriate period.

The tables below present the Company’s: (1) As Previously Reported, (2) Adjustments, and (3) As Currently Reported Condensed Consolidated Balance Sheets as of December 31, 2013 and 2012, Statements of Operations and Operating Activities for the Statement of Cash Flows, for the fiscal years ended December 31, 2013, 2012 and 2011. The Adjustments correct for: (1) the results of the Aerospace Systems internal review, (2) the accounting related to a sales-type lease transaction within the Company’s Electronic Systems segment and (3) immaterial out of period amounts previously recorded in the Company’s financial statements but not recorded in the appropriate period to reflect them in the appropriate period.


			Adjustments for:
	As Previously Reported		Aerospace Systems Segment Internal Review		Sales-Type Lease Transaction		Out of Period Amounts		As Revised
	(in millions)
Condensed Consolidated Balance Sheet as of December 31, 2013:
ASSETS
Current Assets:
Cash and cash equivalents	$	500	$	—	$	—	$	—	$	500
Billed receivables, net of allowances of $26 in 2013		1,015		(24)		—		—		991
Contracts in process		2,524		(67)		(26)		—		2,431
Inventories		359		—		—		—		359
Deferred income taxes		122		25		—		—		147
Other current assets		129		9		28		—		166

Total current assets		4,649		(57)		2		—		4,594

Property, plant and equipment, net		1,039		3		—		—		1,042
Goodwill		7,796		—		—		—		7,796
Identifiable intangible assets		285		—		—		—		285
Deferred debt issue costs		24		—		—		—		24
Other assets		216		—		31		—		247

Total assets	$	14,009	$	(54)	$	33	$	—	$	13,988

LIABILITIES AND EQUITY
Current Liabilities:
Accounts payable, trade	$	541	$	—	$	—	$	—	$	541
Accrued employment costs		543		2		—		—		545
Accrued expenses		455		3		—		—		458
Advance payments and billings in excess of costs incurred		570		1		5		—		576
Income taxes		31		—		—		—		31
Other current liabilities		383		—		—		—		383

Total current liabilities		2,523		6		5		—		2,534

Pension and postretirement benefits		727		—		—		—		727
Deferred income taxes		635		—		—		—		635
Other liabilities		396		—		10		—		406
Long-term debt		3,630		—		—		—		3,630

Total liabilities		7,911		6		15		—		7,932

Equity:
L-3 shareholders’ equity:
L-3 Communications Holdings, Inc.’s common stock		5,653		—		—		—		5,653
L-3 Communications Holdings, Inc.’s treasury stock at cost		(5,288)		—		—		—		(5,288)
Retained earnings		5,768		(60)		17		1		5,726
Accumulated other comprehensive loss		(110)		—		—		—		(110)

Total L-3 shareholders’ equity		6,023		(60)		17		1		5,981
Noncontrolling interests		75		—		—		—		75

Total equity		6,098		(60)		17		1		6,056

Total liabilities and equity	$	14,009	$	(54)	$	32	$	1	$	13,988

Condensed Consolidated Balance Sheet as of December 31, 2012:
ASSETS
Current Assets:
Cash and cash equivalents	$	349	$	—	$	—	$	—	$	349
Billed receivables, net of allowances of $33 in 2012		968		—		—		—		968
Contracts in process		2,597		(30)		(45)		(12)		2,510
Inventories		358		—		—		—		358
Deferred income taxes		95		12		—		6		113
Other current assets		138		—		45		3		186

Total current assets		4,505		(18)		—		(3)		4,484

Property, plant and equipment, net		1,016		1		—		6		1,023
Goodwill		7,776		—		—		—		7,776
Identifiable intangible assets		314		—		—		—		314
Deferred debt issue costs		29		—		—		—		29
Other assets		151		—		23		—		174

Total assets	$	13,791	$	(17)	$	23	$	3	$	13,800

LIABILITIES AND EQUITY
Current Liabilities:
Accounts payable, trade	$	494	$	—	$	—	$	11	$	505
Accrued employment costs		551		2		—		2		555
Accrued expenses		469		1		—		(1)		469
Advance payments and billings in excess of costs incurred		620		1		—		—		621
Income taxes		21		—		—		—		21
Other current liabilities		392		—		—		—		392

Total current liabilities		2,547		4		—		12		2,563

Pension and postretirement benefits		1,360		—		—		—		1,360
Deferred income taxes		328		—		—		—		328
Other liabilities		384		—		9		—		393
Long-term debt		3,629		—		—		—		3,629

Total liabilities		8,248		4		9		12		8,273

Equity:
L-3 shareholders’ equity:
L-3 Communications Holdings, Inc.’s common stock		5,314		—		—		—		5,314
L-3 Communications Holdings, Inc.’s treasury stock at cost		(4,488)		—		—		—		(4,488)
Retained earnings		5,191		(22)		14		(8)		5,175
Accumulated other comprehensive loss		(550)		—		—		—		(550)

Total L-3 shareholders’ equity		5,467		(22)		14		(8)		5,451
Noncontrolling interests		76		—		—		—		76

Total equity		5,543		(22)		14		(8)		5,527

Total liabilities and equity	$	13,791	$	(18)	$	23	$	4	$	13,800

Consolidated Statement of Operations for the year ended December 31, 2013:
Net sales:
Products	$	7,192	$	(11)	$	(7)	$	15	$	7,189
Services		5,437		(28)		—		24		5,433

Total net sales		12,629		(39)		(7)		39		12,622

Cost of sales:
Products		(6,409)		(3)		7		(4)		(6,409)
Services		(4,962)		(18)		—		(21)		(5,001)

Total cost of sales		(11,371)		(21)		7		(25)		(11,410)

Impairment charge		—		—		—		—		—

Operating income		1,258		(60)		—		14		1,212
Interest expense		(177)		—		—		—		(177)
Interest and other income, net		15		—		5		—		20
Debt retirement charge		—		—		—		—		—

Income from continuing operations before income taxes		1,096		(60)		5		14		1,055
Provision for income taxes		(309)		21		(2)		(5)		(295)

Income from continuing operations		787		(39)		3		9		760
Income from discontinued operations, net of income tax		—		—		—		—		—

Net income	$	787	$	(39)	$	3	$	9	$	760
Net income attributable to noncontrolling interests		(9)		—		—		—		(9)

Net income attributable to L-3	$	778	$	(39)	$	3	$	9	$	751
Net income allocable to participating securities		—		—		—		—		—

Net income allocable to L-3 Holdings’ common shareholders	$	778	$	(39)	$	3	$	9	$	751

Basic earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.70	$	(0.43)	$	0.03	$	0.10	$	8.40
Discontinued operations		—		—		—		—		—

Basic earnings per share	$	8.70	$	(0.43)	$	0.03	$	0.10	$	8.40

Diluted earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.54	$	(0.43)	$	0.03	$	0.10	$	8.24
Discontinued operations		—		—		—		—		—

Diluted earnings per share	$	8.54	$	(0.43)	$	0.03	$	0.10	$	8.24

Cash dividends paid per common share	$	2.20	$	—	$	—	$	—	$	2.20

L-3 Holdings’ weighted average common shares outstanding:
Basic		89.4		—		—		—		89.4

Diluted		91.1		—		—		—		91.1


			Adjustments for:
	As Previously Reported		Aerospace Systems Segment Internal Review		Sales-Type Lease Transaction		Out of Period Amounts			As Revised
	(in millions, except per share data)
Consolidated Statement of Operations for the year ended December 31, 2012:
Net sales:
Products	$	7,535	$	64	$	—	$	(13)		$	7,586
Services		5,611		(66)		—		(24)			5,521

Total net sales		13,146		(2)		—		(37)	⁽¹⁾		13,107

Cost of sales:
Products		(6,724)		(57)		—		(1)			(6,782)
Services		(5,071)		34		—		20			(5,017)

Total cost of sales		(11,795)		(23)		—		19			(11,799)

Impairment charge		—		—		—		—			—

Operating income		1,351		(25)		—		(18)			1,308
Interest expense		(184)		—		—		—			(184)
Interest and other income, net		8		—		3		—			11
Debt retirement charge		(13)		—		—		—			(13)

Income from continuing operations before income taxes		1,162		(25)		3		(18)			1,122
Provision for income taxes		(374)		9		(1)		6			(360)

Income from continuing operations		788		(16)		2		(12)			762
Income from discontinued operations, net of income tax		32		—		—		—			32

Net income	$	820	$	(16)	$	2	$	(12)		$	794
Net income attributable to noncontrolling interests		(10)		—		—		—			(10)

Net income attributable to L-3	$	810	$	(16)	$	2	$	(12)		$	784
Net income allocable to participating securities		—		—		—		—			—

Net income allocable to L-3 Holdings’ common shareholders	$	810	$	(16)	$	2	$	(12)		$	784

Basic earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.12	$	(0.17)	$	0.02	$	(0.12)		$	7.85
Discontinued operations		0.29		—		—		—			0.29

Basic earnings per share	$	8.41	$	(0.17)	$	0.02	$	(0.12)		$	8.14

Diluted earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.01	$	(0.17)	$	0.02	$	(0.12)		$	7.74
Discontinued operations		0.29		—		—		—			0.29

Diluted earnings per share	$	8.30	$	(0.17)	$	0.02	$	(0.12)		$	8.03

Cash dividends paid per common share	$	2.00	$	—	$	—	$	—		$	2.00

L-3 Holdings’ weighted average common shares outstanding:
Basic		96.3		—		—		—			96.3

Diluted		97.6		—		—		—			97.6

⁽¹⁾

Includes rounding of $1 million.


			Adjustments for:
	As Previously Reported		Aerospace Systems Segment Internal Review		Sales-Type Lease Transaction		Out of Period Amounts		As Revised
	(in millions, except per share data)
Consolidated Statement of Operations for the year ended December 31, 2011:
Net sales:
Products	$	7,552	$	—	$	—	$	(3)	$	7,549
Services		5,606		(1)		—		—		5,605

Total net sales		13,158		(1)		—		(3)		13,154

Cost of sales:
Products		(6,673)		—		—		7		(6,666)
Services		(5,043)		(4)		—		—		(5,047)

Total cost of sales		(11,716)		(4)		—		7		(11,713)

Impairment charge		(43)		—		—		—		(43)

Operating income		1,399		(5)		—		4		1,398
Interest expense		(204)		—		—		—		(204)
Interest and other income, net		—		—		3		—		3
Debt retirement charge		(35)		—		—		—		(35)

Income from continuing operations before income taxes		1,160		(5)		3		4		1,162
Provision for income taxes		(296)		2		(1)		(1)		(296)

Income from continuing operations		864		(3)		2		3		866
Income from discontinued operations, net of income tax		104		—		—		—		104

Net income	$	968	$	(3)	$	2	$	3	$	970
Net income attributable to noncontrolling interests		(12)		—		—		—		(12)

Net income attributable to L-3	$	956	$	(3)	$	2	$	3	$	958
Net income allocable to participating securities		(2)		—		—		—		(2)

Net income allocable to L-3 Holdings’ common shareholders	$	954	$	(3)	$	2	$	3	$	956

Basic earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.17	$	(0.03)	$	0.02	$	0.03	$	8.19
Discontinued operations		0.97		—		—		—		0.97

Basic earnings per share	$	9.14	$	(0.03)	$	0.02	$	0.03	$	9.16

Diluted earnings per share allocable to L-3 Holdings’ common shareholders:
Continuing operations	$	8.08	$	(0.03)	$	0.02	$	0.03	$	8.10
Discontinued operations		0.95		—		—		—		0.95

Diluted earnings per share	$	9.03	$	(0.03)	$	0.02	$	0.03	$	9.05

Cash dividends paid per common share	$	1.80	$	—	$	—	$	—	$	1.80

L-3 Holdings’ weighted average common shares outstanding:
Basic		104.4		—		—		—		104.4

Diluted		105.6		—		—		—		105.6


	As Previously Reported		Net Adjustments		As Revised
	(in millions)
Consolidated Statement of Cash Flows for the year ended December 31, 2013:
Operating activities:
Net income	$	787	$	(27)	$	760
Income from discontinued operations, net of tax		—		—		—

Income from continuing operations		787		(27)		760
Depreciation of property, plant and equipment		166		—		166
Amortization of intangibles and other assets		48		—		48
Deferred income tax provision		48		(6)		42
Stock-based employee compensation expense		59		—		59
Contributions to employee savings plans in L-3 Holdings’ common stock		114		—		114
Amortization of pension and postretirement benefit plans net loss and prior service cost		83		—		83
Amortization of bond discounts and deferred debt issue costs (included in interest expense)		6		—		6
Goodwill impairment charge		—		—		—
Equity in losses of unconsolidated subsidiaries		—		—		—
Other non-cash items		2		—		2
Changes in operating assets and liabilities, excluding amounts from acquisitions, divestitures, and discontinued operations:
Billed receivables		(42)		24		(18)
Contracts in process		94		10		104
Inventories		2		—		2
Other assets		(81)		(7)		(88)
Accounts payable, trade		45		(11)		34
Accrued employment costs		(5)		—		(5)
Accrued expenses		(6)		1		(5)
Advance payments and billings in excess of costs incurred		(50)		6		(44)
Income taxes		39		(8)		31
Excess income tax benefits related to share-based payment arrangements		(4)		—		(4)
Other current liabilities		(4)		—		(4)
Pension and postretirement benefits		14		—		14
All other operating activities		(52)		18		(34)

Net cash from operating activities from continuing operations	$	1,263	$	—	$	1,263


	As Previously Reported		Net Adjustments		As Revised
	(in millions)
Consolidated Statement of Cash Flows for the year ended December 31, 2012:
Operating activities:
Net income	$	820	$	(26)	$	794
Income from discontinued operations, net of tax		(32)		—		(32)

Income from continuing operations		788		(26)		762
Depreciation of property, plant and equipment		170		—		170
Amortization of intangibles and other assets		58		—		58
Deferred income tax provision		112		(15)		97
Stock-based employee compensation expense		59		—		59
Contributions to employee savings plans in L-3 Holdings’ common stock		125		—		125
Amortization of pension and postretirement benefit plans net loss and prior service cost		68		—		68
Amortization of bond discounts and deferred debt issue costs (included in interest expense)		7		—		7
Goodwill impairment charge		—		—		—
Equity in losses of unconsolidated subsidiaries		3		—		3
Other non-cash items		9		—		9
Changes in operating assets and liabilities, excluding amounts from acquisitions, divestitures, and discontinued operations:
Billed receivables		147		—		147
Contracts in process		(126)		59		(67)
Inventories		(35)		—		(35)
Other assets		11		(3)		8
Accounts payable, trade		81		11		92
Accrued employment costs		(13)		3		(10)
Accrued expenses		(100)		—		(100)
Advance payments and billings in excess of costs incurred		36		1		37
Income taxes		(48)		1		(47)
Excess income tax benefits related to share-based payment arrangements		(3)		—		(3)
Other current liabilities		(52)		6		(46)
Pension and postretirement benefits		(64)		—		(64)
All other operating activities		(2)		(37)		(39)

Net cash from operating activities from continuing operations	$	1,231	$	—	$	1,231


	As Previously Reported		Net Adjustments		As Revised
	(in millions)
Consolidated Statement of Cash Flows for the year ended December 31, 2011:
Operating activities:
Net income	$	968	$	2	$	970
Income from discontinued operations, net of tax		(104)		—		(104)

Income from continuing operations		864		2		866
Depreciation of property, plant and equipment		167		—		167
Amortization of intangibles and other assets		63		—		63
Deferred income tax provision		124		(1)		123
Stock-based employee compensation expense		57		—		57
Contributions to employee savings plans in L-3 Holdings’ common stock		113		—		113
Amortization of pension and postretirement benefit plans net loss and prior service cost		48		—		48
Amortization of bond discounts and deferred debt issue costs (included in interest expense)		13		—		13
Goodwill impairment charge		43		—		43
Equity in losses of unconsolidated subsidiaries		12		—		12
Other non-cash items		11		—		11
Changes in operating assets and liabilities, excluding amounts from acquisitions, divestitures, and discontinued operations:
Billed receivables		(13)		—		(13)
Contracts in process		(121)		11		(110)
Inventories		(14)		—		(14)
Other assets		(6)		(3)		(9)
Accounts payable, trade		(35)		—		(35)
Accrued employment costs		(23)		—		(23)
Accrued expenses		67		1		68
Advance payments and billings in excess of costs incurred		(39)		—		(39)
Income taxes		(18)		2		(16)
Excess income tax benefits related to share-based payment arrangements		(2)		—		(2)
Other current liabilities		4		(6)		(2)
Pension and postretirement benefits		(83)		—		(83)
All other operating activities		(1)		(6)		(7)

Net cash from operating activities from continuing operations	$	1,231	$	—	$	1,231