Other Operating Income (Expense)

9 Months Ended

Oct. 01, 2011

Other Operating Income (Expense) [Abstract]

Other Operating Income (Expense)

Note 6 - Other Operating Income (Expense)

		Third Quarter						First Nine Months
		2011			2010			2011			2010
		(In millions)
Equity in earnings of joint ventures	$	0		$	1		$	0		$		3
Gain (loss) on sale or retirement of operating property and equipment		(1	)		(2	)		(2	)			(4	)
Costs and asset impairments, primarily related to box plant transformation		(10	)		(5	)		(26	)			(17	)
Bogalusa Incident (See Note 14)		(5	)		0			(5	)			0
Litigation (See Note 14)		0			0			3				0
Merger Agreement (See Note 3)		(8	)		0			(10	)			0
Alternative fuel mixture tax credits, net of costs		0			0			0				10
Other operating income (expense)	$	(24	)	$	(6	)	$	(40	)	$		(8	)

In connection with the second phase of our box plant transformation initiative, in first nine months 2011, we closed our box plants in Tampa, Florida, and Carol Stream and Northlake, Illinois, and began production at our new box plant in Aurora, Illinois.  Costs related to box plant transformation in first nine months 2011, included a multi-employer pension plan withdrawal liability of $4 million associated with our 2010 closure of our Phoenix, Arizona box plant, asset impairment charges of $6 million, severance costs of $2 million, and other transformation related costs of $16 million, primarily related to duplicate and incremental costs associated with production affected by box plant transformation.  We also recognized a $2 million gain from the sale of closed facilities.  In first nine months 2010, costs related to box plant transformation included asset impairment charges of $9 million, severance and other employee costs of $2 million, and other closure costs of $6 million.

Activity within our accruals for box plant transformation activities follows:

		First Nine Months 2011
		(In millions)
Beginning of year	$	0
Additions		2
Cash payments		(2	)
End of period	$	0

In first quarter 2010, the Internal Revenue Service clarified an uncertainty regarding whether a portion of the alternative fuel we claimed in 2009 would qualify for the alternative fuel mixture tax credit.  As a result, in first nine months 2010 we reversed a related reserve of $10 million.