Quarterly report pursuant to Section 13 or 15(d)

Income Taxes (Tables)

v3.7.0.1
Income Taxes (Tables)
 6 Months Ended
Jun. 30, 2017
Income taxes  
Schedule of income tax expense (benefit) associated with significant operating and nonoperating items for the interim periods presented
The following table illustrates the income tax expense (benefit) associated with significant operating and nonoperating items for the interim periods presented (in millions):
 
Three Months Ended
 
Six Months Ended
 
 
June 30,
2017

 
July 1,
2016

 
June 30,
2017

 
July 1,
2016

 
Asset impairments
$
(164
)
1 
$
—


$
(164
)
1 
$
—


Productivity and reinvestment program
(31
)
2 
(24
)
8 
(83
)
2 
(45
)
8 
Other productivity, integration and restructuring initiatives
—


—

9 
—


—

9 
Transaction gains and losses
707

3 
26

10 
533

4 
(117
)
11 
Certain tax matters
(40
)
5 
83

12 
(70
)
5 
77

12 
Other — net
(12
)
6 
(45
)
13 
(29
)
7 
(46
)
14 
1 
Related to charges of $667 million and $771 million during the three and six months ended June 30, 2017, respectively, due to the impairment of certain assets. Refer to Note 10 and Note 14.
2 
Related to charges of $87 million and $226 million during the three and six months ended June 30, 2017, respectively. These charges were due to the Company's productivity and reinvestment program. Refer to Note 11.
3 
Related to a net gain of $82 million which primarily consisted of a $445 million gain related to the merger of CCW and CCEJ, a $25 million gain related to Coca-Cola FEMSA, an equity method investee, issuing additional shares of its stock and a $9 million gain related to refranchising a substantial portion of our China bottling operations. These gains were partially offset by a net charge of $214 million as a result of the refranchising of certain bottling territories in North America, charges of $109 million primarily related to payments made to convert the bottling agreements for certain North America bottling partners' territories to a single form of CBA with additional requirements, a charge of $44 million related to costs incurred to refranchise certain of our bottling operations and a charge of $26 million related to our former German bottling operations. Refer to Note 2 and Note 10.
4 
Related to charges of $583 million which primarily consisted of $711 million of net charges as a result of the refranchising of certain bottling territories in North America, charges of $215 million primarily related to payments made to convert the bottling agreements for certain North America bottling partners' territories to a single form of CBA with additional requirements, $101 million related to costs incurred to refranchise certain of our bottling operations and a charge of $26 million related to our former German bottling operations. These charges were partially offset by a $445 million gain related to the merger of CCW and CCEJ, a $25 million gain related to Coca-Cola FEMSA, an equity method investee, issuing additional shares of its stock and a $9 million gain related to refranchising a substantial portion of our China bottling operations. Refer to Note 2 and Note 10.
5 
Related to $29 million and $82 million of excess tax benefits associated with the Company's share-based compensation arrangements during the three and six months ended June 30, 2017, respectively, and the tax benefit associated with the reversal of valuation allowances in certain of the Company's foreign jurisdictions both of which were partially offset by changes to our uncertain tax positions, including interest and penalties. The components of the net change in uncertain tax positions were individually insignificant.
6 Related to charges of $22 million which primarily consisted of a $38 million net charge related to the extinguishment of long-term debt and $19 million due to tax litigation expense partially offset by a $37 million net gain due to our proportionate share of unusual or infrequent items recorded by certain of our equity method investees. Refer to Note 10.
7 Related to charges of $86 million which primarily consisted of a $38 million net charge related to the extinguishment of long-term debt, $25 million due to tax litigation expense and a $21 million net charge due to our proportionate share of unusual or infrequent items recorded by certain of our equity method investees. Refer to Note 10.
8 Related to charges of $65 million and $128 million during the three and six months ended July 1, 2016, respectively. These charges were due to the Company's productivity and reinvestment program. Refer to Note 11.
9 Related to charges of $41 million and $240 million during the three and six months ended July 1, 2016, respectively. These charges were due to the integration of our German bottling operations. Refer to Note 11.
10 Related to a net gain of $1,040 million which primarily consisted of a $1,292 million gain related to the deconsolidation of our German bottling operations, partially offset by $199 million of losses due to the refranchising of territories in North America and $52 million of costs incurred to refranchise our North America bottling territories. Refer to Note 2 and Note 10.
11 Related to a net gain of $643 million which primarily consisted of a $1,292 million gain related to the deconsolidation of our German bottling operations and an $18 million gain related to the disposal of our investment in Keurig. These gains were partially offset by charges of $665 million related to $568 million of losses due to the refranchising of territories in North America and $97 million related to costs incurred to refranchise our North America bottling territories. Refer to Note 2 and Note 10.
12 Primarily related to amounts required to be recorded for changes to our uncertain tax positions, including interest and penalties.
13 Related to charges of $125 million which included a $100 million cash contribution to The Coca-Cola Foundation, an $18 million charge due to our proportionate share of unusual or infrequent items recorded by certain of our equity method investees and a $7 million charge due to tax litigation expense. Refer to Note 10.
14 Related to charges of $131 million which included a $100 million cash contribution to The Coca-Cola Foundation, a $21 million charge due to our proportionate share of unusual or infrequent items recorded by certain of our equity method investees and a $10 million charge due to tax litigation expense. Refer to Note 10.