Income Taxes

9 Months Ended

Sep. 29, 2012

Income Taxes [Abstract]

Income Taxes [Text Block]

Note 8 Income taxes

The consolidated effective tax rate for the quarterended September 29, 2012 of 29% was higher than the prior year's rate of 27%. The consolidatedeffective tax rate for the year-to-date periods ended September 29, 2012and October 1, 2011 was28%. The effective rate for the third quarter of 2011 benefited from the write-off of an investment in a Latin America subsidiary.

As of September 29, 2012, the Company classified $9 million related to uncertain tax positions as a net current liability, representing several income tax positions under examination in various jurisdictions. Management's estimate of reasonably possible changes in unrecognized tax benefits during the next twelve months consists of the current liability balance, expected to be settled within one year, offset by $9million of projected additions. Management is currently unaware of any issues under review that could result in significant additional payments, accruals or other material deviation in this estimate.

Following is a reconciliation of the Company's total gross unrecognized tax benefits for the year-to-date period ended September 29, 2012; $58 million of this total represents the amount that, if recognized, would affect the Company's effective income tax rate in future periods.

(millions)
December 31, 2011		$	66
Tax positions related to current year:
	Additions		7
	Reductions		-
Tax positions related to prior years:
	Additions		8
	Reductions		(2)
Settlements			(1)
September 29, 2012		$	78

For the year-to-date period ended September 29, 2012, the Company recognized an increase of $3 million of tax-related interest and penalties and had $18 million accrued at September 29, 2012.