Income Taxes	6 Months Ended
Jun. 30, 2011
Income Taxes [Abstract]
Income Taxes	Note 14 ― Income Taxes A. Income Tax Expense Except for its South Korea and Hong Kong operations, the Company accrues U.S. income taxes on the undistributed earnings of its foreign subsidiaries. The Company computes income taxes attributable to the South Korea and Hong Kong operations using the foreign jurisdiction tax rate, as compared to the higher U.S. statutory tax rate, based upon a determination that the prospective earnings of these operations would be permanently invested overseas. The Company is currently in the process of evaluating the permanent investment of foreign earnings for additional jurisdictions. As a result, shareholders' net income for the six months ended June 30, 2011 increased by $15 million, that included $12 million relative to South Korea and $3 million relative to Hong Kong. Shareholders' net income for the six months ended June 30, 2010 increased by $20 million, that included $11 million relative to South Korea and $9 million related to Hong Kong (which included $6 million related to the first quarter 2010 implementation). Permanent investment of foreign operation earnings has resulted in cumulative unrecognized deferred tax liabilities of $69 million through June 30, 2011. B. Unrecognized Tax Benefits During the first quarter of 2011, the IRS completed its examination of the Company's 2007 and 2008 consolidated federal income tax returns, resulting in an increase to shareholders' net income of $24 million ($33 million reported in income tax expense, partially offset by a $9 million pre-tax charge). The increase in shareholders' net income included a reduction in net unrecognized tax benefits of $11 million and a reduction of interest expense of $11 million (reported in income tax expense). Gross unrecognized tax benefits declined for the six months ended June 30, 2011 by $94 million due primarily to the completion of the 2007 and 2008 IRS examinations. The effect of this change on shareholders' net income was $9 million, resulting primarily from completion of the IRS examination. Within the next twelve months, it is at least reasonably possible there could be a significant increase in the level of unrecognized tax benefits should there be adverse developments relative to certain IRS specific matters, including the tax litigation described below. Any changes are not expected to have a material impact on shareholder's net income. C. Other Tax Matters One disputed matter remains unresolved related to the IRS examination of the 2003 and 2004 consolidated federal income tax returns and on June 4, 2009, the Company initiated litigation of this matter by filing a petition in the United States Tax Court. Due to the nature of the litigation process, timing of the resolution of this matter is uncertain, though the Court has now set a trial date for mid-September 2011. This same issue also remains unresolved in the IRS examinations of the 2005 through 2008 consolidated federal income tax returns. Though the Company expects to prevail, an unfavorable resolution of this litigation could result in a significant cash outlay and a charge to shareholders' net income of up to $25 million, representing net interest on the cumulative incremental tax for all affected years. However, because this dispute relates to the timing of recognition of tax deductions, the Company would expect to recover the cash outlay (except for interest) in future periods. The Patient Protection & Affordable Care Act, including the Reconciliation Act of 2010, included provisions limiting the tax deductibility of certain future retiree benefit and compensation related payments. The effect of these provisions reduced shareholders' net income by $4 million for the six months ended June 30, 2011 and $6 million for the six months ended June 30, 2010. The Company will continue to evaluate guidance as issued relative to these provisions.

Income Taxes

6 Months Ended

Jun. 30, 2011

Note 14 ― Income Taxes

A. Income Tax Expense

Except for its South Korea and Hong Kong operations, the Company accrues U.S. income taxes on the undistributed earnings of its foreign subsidiaries. The Company computes income taxes attributable to the South Korea and Hong Kong operations using the foreign jurisdiction tax rate, as compared to the higher U.S. statutory tax rate, based upon a determination that the prospective earnings of these operations would be permanently invested overseas. The Company is currently in the process of evaluating the permanent investment of foreign earnings for additional jurisdictions.

As a result, shareholders' net income for the six months ended June 30, 2011 increased by $15 million, that included $12 million relative to South Korea and $3 million relative to Hong Kong. Shareholders' net income for the six months ended June 30, 2010 increased by $20 million, that included $11 million relative to South Korea and $9 million related to Hong Kong (which included $6 million related to the first quarter 2010 implementation). Permanent investment of foreign operation earnings has resulted in cumulative unrecognized deferred tax liabilities of $69 million through June 30, 2011.

B. Unrecognized Tax Benefits

During the first quarter of 2011, the IRS completed its examination of the Company's 2007 and 2008 consolidated federal income tax returns, resulting in an increase to shareholders' net income of $24 million ($33 million reported in income tax expense, partially offset by a $9 million pre-tax charge). The increase in shareholders' net income included a reduction in net unrecognized tax benefits of $11 million and a reduction of interest expense of $11 million (reported in income tax expense).

Gross unrecognized tax benefits declined for the six months ended June 30, 2011 by $94 million due primarily to the completion of the 2007 and 2008 IRS examinations. The effect of this change on shareholders' net income was $9 million, resulting primarily from completion of the IRS examination.

Within the next twelve months, it is at least reasonably possible there could be a significant increase in the level of unrecognized tax benefits should there be adverse developments relative to certain IRS specific matters, including the tax litigation described below. Any changes are not expected to have a material impact on shareholder's net income.

C. Other Tax Matters

One disputed matter remains unresolved related to the IRS examination of the 2003 and 2004 consolidated federal income tax returns and on June 4, 2009, the Company initiated litigation of this matter by filing a petition in the United States Tax Court. Due to the nature of the litigation process, timing of the resolution of this matter is uncertain, though the Court has now set a trial date for mid-September 2011. This same issue also remains unresolved in the IRS examinations of the 2005 through 2008 consolidated federal income tax returns. Though the Company expects to prevail, an unfavorable resolution of this litigation could result in a significant cash outlay and a charge to shareholders' net income of up to $25 million, representing net interest on the cumulative incremental tax for all affected years. However, because this dispute relates to the timing of recognition of tax deductions, the Company would expect to recover the cash outlay (except for interest) in future periods.

The Patient Protection & Affordable Care Act, including the Reconciliation Act of 2010, included provisions limiting the tax deductibility of certain future retiree benefit and compensation related payments. The effect of these provisions reduced shareholders' net income by $4 million for the six months ended June 30, 2011 and $6 million for the six months ended June 30, 2010. The Company will continue to evaluate guidance as issued relative to these provisions.