Note 16: Segment Information

6 Months Ended

Jun. 30, 2012

Segment Reporting Disclosure [Text Block]

NOTE 16:  SEGMENT INFORMATION

Current Segment Reporting Structure

Effective January 1, 2012, the Company has two reportable segments: the Consumer Segment and the Commercial Segment.   Prior period segment results have been revised to conform to the current period segment reporting structure.  A description of the segments follows.

Commercial Segment:   The Commercial Segment encompasses Graphics, Entertainment & Commercial Film Businesses, Digital and Functional Printing, and Enterprise Services and Solutions.

Consumer Segment:  The Consumer Segment encompasses Intellectual Property licensing activities related to the Company's intellectual property in digital imaging products and the Consumer Business.  The Consumer Business encompasses Retail Systems Solutions, Consumer Inkjet Systems, Traditional Photofinishing, and Digital Capture and Devices.  As announced on February 9, 2012, the Company is exiting its dedicated capture devices business, including digital cameras, pocket video cameras, and digital picture frames.  The business is expected to cease operations in the third quarter of 2012.

New Reportable Segments

Effective for the third quarter of 2012, the Company will report financial information for three reportable segments:  the Consumer Businesses Segment, the Graphics, Entertainment and Commercial Films Segment, and the Digital Printing and Enterprise Segment.

The Consumer Businesses Segment will be comprised of the following: Intellectual Property and the Consumer Business, consisting of Consumer Printing and Personalized Imaging.

The Graphics, Entertainment and Commercial Films Segment will be comprised of the following: Entertainment Imaging & Commercial Films, and Graphics.

The Digital Printing and Enterprise Segment will be comprised of the following: Enterprise Services & Solutions, and Digital & Functional Printing.

Segment financial information is shown below:

(in millions)	Three Months Ended  June 30,				Six Months Ended  June 30,
	2012		2011		2012		2011
Net sales from continuing operations:
Commercial Segment	$	684	$	865	$	1,356	$	1,673
Consumer Segment		393		620	$	686	$	1,134
Consolidated total	$	1,077	$	1,485	$	2,042	$	2,807

(in millions)	Three Months Ended June 30,						Six Months Ended June 30,
	2012			2011			2012			2011
(Loss) earnings from continuing operations before interest expense, other income (charges), net and income taxes:
Commercial Segment	$	(26	)	$	(39	)	$	(90	)	$	(106	)
Consumer Segment		(27	)		(96	)		(191	)		(283	)
Total of reportable segments		(53	)		(135	)		(281	)		(389	)
Restructuring costs and other		(21	)		(36	)		(116	)		(71	)
Corporate components of pension and OPEB expense		(35	)		(4	)		(65	)		(12	)
Other operating (expenses) income, net		19			1			20			71
Legal contingencies, settlements and other		(5	)		-			(1	)		-
Loss on early extinguishment of debt, net		-			-			(7	)		-
Interest expense		(41	)		(38	)		(77	)		(76	)
Other income (charges), net		(4	)		17			(1	)		9
Reorganization items, net		(160	)		-			(248	)		-
Consolidated loss from continuing operations before income taxes	$	(300	)	$	(195	)	$	(776	)	$	(468	)

(in millions)	As of June 30, 2012		As of December 31, 2011
Segment total assets:
Commercial Segment	$	1,825	$	1,989
Consumer Segment		1,052		1,312
Total of reportable segments		2,877		3,301
Cash and marketable securities		1,262		867
Deferred income tax assets		479		510
Consolidated total assets	$	4,618	$	4,678