19. Supplementary Information

Cash paid for interest and income taxes was as follows:


(Stated in millions)
	2012		2011		2010
Interest	$	313	$	294	$	234
Income taxes	$	1,736	$	1,836	$	571

Accounts payable and accrued liabilities are summarized as follows:


(Stated in millions)
	2012		2011
Payroll, vacation and employee benefits	$	1,825	$	1,597
Trade		3,550		3,389
Other		3,078		2,593

	$	8,453	$	7,579

Interest and other income includes the following:


(Stated in millions)
	2012		2011		2010
Interest income	$	30	$	40	$	50
Equity in net earnings of affiliated companies:
M-I SWACO		–		–		78
Others		142		90		87

	$	172	$	130	$	215

Allowance for doubtful accounts is as follows:

(Stated in millions)


	2012			2011			2010
Balance at beginning of year	$	177		$	185		$	160
Provision		37			37			38
Amounts written off		(10	)		(45	)		(13	)
Divestiture of business		(2	)		–			–

Balance at end of year	$	202		$	177		$	185

Discontinued Operations

During the second quarter of 2012, Schlumberger sold its Wilson distribution business to National Oilwell Varco Inc. (“NOV”) for $906 million in cash. A pretax gain of $137 million ($16 million after-tax) was recognized in connection with this transaction.

During the third quarter of 2012, Schlumberger completed the sale of its 56% interest in CE Franklin Ltd. to NOV for $122 million in cash. A pretax gain of $30 million ($12 million after-tax) was recognized in connection with this transaction.

As Wilson and CE Franklin comprised Schlumberger’s previously reported Distribution segment, the results of this entire segment have been classified as discontinued operations in the Consolidated Statement of Income.

During the second quarter of 2011, Schlumberger completed the divestiture of its Global Connectivity Services business for $385 million in cash. An after-tax gain of $220 million was recognized in connection with this transaction, and is classified in Income from discontinued operations in the Consolidated Statement of Income. The historical results of this business were not significant to Schlumberger’s consolidated financial statements and, as such, have not been reclassified to discontinued operations.

The following table summarizes the results of these discontinued operations:


(Stated in millions)
	2012			2011			2010
Revenue	$	982		$	2,581		$	1,908

Income before taxes	$	43		$	99		$	24
Tax expense		(15	)		(36	)		(11	)
Net income attributable to noncontrolling interests		(5	)		(6	)		(1	)
Gain on divestitures, net of tax		28			220			–

Income from discontinued operations	$	51		$	277		$	12