Document and Entity Information (USD $) In Billions, except Share data in Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2010	Jan. 31, 2011	Jun. 30, 2010
Document and Entity Information
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2010
Document Fiscal Year Focus	2010
Document Fiscal Period Focus	FY
Trading Symbol	nwl
Entity Registrant Name	NEWELL RUBBERMAID INC
Entity Central Index Key	0000814453
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		290.6
Entity Public Float			$ 4.1
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2010	Dec. 31, 2009	Dec. 31, 2008
CONSOLIDATED STATEMENTS OF OPERATIONS
Net sales	$ 5,759.2	$ 5,577.6	$ 6,470.6
Cost of products sold	3,588.4	3,528.1	4,347.4
Gross margin	2,170.8	2,049.5	2,123.2
Selling, general and administrative expenses	1,463.4	1,374.6	1,502.7
Impairment charges	0	0	299.4
Restructuring costs	77.5	100.0	120.3
Operating income	629.9	574.9	200.8
Nonoperating expenses:
Interest expense, net of interest income of $3.5, $6.3 and $8.9 in 2010, 2009 and 2008, respectively	118.4	140.0	137.9
Losses related to extinguishments of debt	218.6	4.7	52.2
Other (income) expense, net	(7.4)	2.0	6.9
Net nonoperating expenses	329.6	146.7	197.0
Income before income taxes	300.3	428.2	3.8
Income taxes	7.5	142.7	53.6
Income (loss) from continuing operations	292.8	285.5	(49.8)
Loss from discontinued operations, net of tax	0	0	(0.5)
Net income (loss)	292.8	285.5	(50.3)
Net income noncontrolling interests	0	0	2.0
Net income (loss) controlling interests	$ 292.8	$ 285.5	$ (52.3)
Weighted-average shares outstanding:
Basic	282.4	280.8	279.9
Diluted	305.4	294.4	279.9
Basic:
Income (loss) from continuing operations	$ 1.04	$ 1.02	$ (0.18)
Loss from discontinued operations	$ 0	$ 0	$ 0
Net income (loss) controlling interests	$ 1.04	$ 1.02	$ (0.18)
Diluted:
Income (loss) from continuing operations	$ 0.96	$ 0.97	$ (0.18)
Loss from discontinued operations	$ 0	$ 0	$ 0
Net income (loss) controlling interests	$ 0.96	$ 0.97	$ (0.18)
Dividends per share	$ 0.2	$ 0.26	$ 0.84

CONSOLIDATED BALANCE SHEETS (USD $) In Millions, unless otherwise specified	Dec. 31, 2010	Dec. 31, 2009
Current Assets:
Cash and cash equivalents	$ 139.6	$ 278.3
Accounts receivable, net of allowances of $43.0 for 2010 and $42.2 for 2009	997.9	894.1
Inventories, net	701.6	688.2
Deferred income taxes	179.2	183.8
Prepaid expenses and other	113.7	137.7
Total Current Assets	2,132.0	2,182.1
Property, plant and equipment, net	529.3	578.1
Goodwill	2,749.5	2,754.3
Other intangible assets, net	648.3	646.2
Other assets	346.2	263.2
Total Assets	6,405.3	6,423.9
Current Liabilities:
Accounts payable	472.5	433.6
Accrued compensation	190.2	176.4
Other accrued liabilities	698.2	656.0
Short-term debt	135.0	0.6
Current portion of long-term debt	170.0	492.9
Total Current Liabilities	1,665.9	1,759.5
Long-term debt	2,063.9	2,015.3
Other noncurrent liabilities	770.0	866.9
Stockholders' Equity:
Preferred stock, authorized shares, 10.0 at $1.00 par value None issued and outstanding	0	0
Common stock, authorized shares, 800.0 at $1.00 par value Outstanding shares, before treasury: 2010 - 307.2 2009 - 294.0	307.2	294.0
Treasury stock, at cost: Shares held: 2010 - 16.7 2009 - 16.2	(425.7)	(420.6)
Additional paid-in capital	568.2	669.8
Retained earnings	2,057.3	1,820.7
Accumulated other comprehensive loss	(605.0)	(585.2)
Stockholders' Equity Attributable to Parent	1,902.0	1,778.7
Stockholders' Equity Attributable to Noncontrolling Interests	3.5	3.5
Total Stockholders' Equity	1,905.5	1,782.2
Total Liabilities and Stockholders' Equity	$ 6,405.3	$ 6,423.9

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) In Millions, except Per Share data, unless otherwise specified	Dec. 31, 2010	Dec. 31, 2009
CONSOLIDATED BALANCE SHEETS
Accounts receivable, allowance	$ 43.0	$ 42.2
Preferred stock, shares authorized	10.0	10.0
Preferred stock, par value	$ 1.00	$ 1.00
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	800.0	800.0
Common stock, par value	$ 1.00	$ 1.00
Common stock, shares outstanding, before treasury	307.2	294.0
Treasury stock, shares	16.7	16.2

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
In Millions, unless otherwise specified

12 Months Ended

Dec. 31, 2010

Dec. 31, 2009

Dec. 31, 2008

Operating Activities:

Net income (loss)

$ 292.8

$ 285.5

$ (50.3)

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation and amortization

172.3

175.1

183.3

218.6

4.7

52.2

Non-cash restructuring costs

6.3

32.4

46.2

Deferred income taxes

(6.1)

14.9

8.7

Impairment charges

299.4

Loss on disposal of discontinued operations

0.5

Stock-based compensation expense

36.5

35.1

35.6

Other, net

21.9

16.4

(27.0)

Changes in operating assets and liabilities, excluding the effects of acquisitions:

Accounts receivable

(103.6)

98.0

168.3

Inventories

(14.5)

243.1

30.9

Accounts payable

39.1

(103.6)

(105.5)

Accrued liabilities and other

(80.7)

(198.8)

(185.2)

Discontinued operations

(2.2)

Net Cash Provided by Operating Activities

582.6

602.8

454.9

Investing Activities:

Acquisitions and acquisition-related activity

(1.5)

(13.7)

(655.7)

Capital expenditures

(164.7)

(153.3)

(157.8)

Proceeds from sales of noncurrent assets

16.8

17.6

9.4

Other

(4.0)

Net Cash Used in Investing Activities

(153.4)

(149.4)

(804.1)

Financing Activities

Proceeds from issuance of debt, net of debt issuance costs

547.3

634.8

1,318.0

Short-term borrowings, net

133.6

192.5

Proceeds from issuance of warrants

32.7

Purchase of call options

(69.0)

Payments for settlement of warrants

(298.4)

Proceeds from settlement of call options

369.5

Payments on and for the settlement of notes payable and debt

(710.8)

(1,113.0)

(772.5)

Cash consideration paid for exchange of convertible notes (1)

(53.0)

^[1]

Repurchase of shares of common stock

(500.1)

Cash dividends

(55.4)

(71.4)

(234.5)

Purchases of noncontrolling interests in consolidated subsidiaries

(29.2)

Other, net

(4.6)

(4.4)

(5.0)

Net Cash (Used in) Provided by Financing Activities

(571.9)

(427.0)

306.0

Currency rate effect on cash and cash equivalents

4.0

(23.5)

(10.6)

(Decrease) Increase in Cash and Cash Equivalents

(138.7)

2.9

(53.8)

Cash and Cash Equivalents at Beginning of Year

278.3

275.4

329.2

Cash and Cash Equivalents at End of Year

139.6

278.3

275.4

Supplemental cash flow disclosures - cash paid during the year for:

Income taxes, net of refunds

80.0

111.7

96.9

Interest

$ 109.4

$ 120.6

$ 144.2

[1]

Consideration provided in connection with the convertible note exchange consisted of cash as well as issuance of shares of the Company’s common stock, which issuance is not included in the Consolidated Statement of Cash Flows for the year ended December 31, 2010. See Footnote 9 of the Notes to Consolidated Financial Statements for further information.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND COMPREHENSIVE INCOME (LOSS) (USD $) In Millions	Total	Common Stock [Member]	Treasury Stock [Member]	Add'l Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]	Stockholders' Equity Attributable to Parent [Member]	Noncontrolling interests [Member]
Balance at Dec. 31, 2007	$ 2,222.1	$ 292.6	$ (415.1)	$ 570.3	$ 1,894.5	$ (123.2)	$ 2,219.1	$ 3.0
Net (loss) income	(50.3)	0	0	0	(52.3)	0	(52.3)	2.0
Foreign currency translation	(312.0)	0	0	0	0	(312.0)	(312.0)	0
Unrecognized pension and other postretirement costs, net of tax benefits	(107.4)	0	0	0	0	(107.4)	(107.4)	0
Gain (loss) on derivative instruments, including tax (benefits) expense	39.5	0	0	0	0	39.5	39.5	0
Total comprehensive income (loss)	(430.2)						(432.2)	2.0
Cash dividends on common stock	(234.5)	0	0	0	(234.5)	0	(234.5)	0
Cash dividends for noncontrolling interests	(3.0)	0	0	0	0	0	0	(3.0)
Exercise of stock options	2.4	0.1	0	2.3	0	0	2.4	0
Pension adjustment, net of $0.2 of tax benefits	(0.4)	0	0	0	(1.1)	0.7	(0.4)	0
Stock-based compensation and other	32.2	0.4	(2.9)	34.1	0	0	31.6	0.6
Balance at Dec. 31, 2008	1,588.6	293.1	(418.0)	606.7	1,606.6	(502.4)	1,586.0	2.6
Net (loss) income	285.5	0	0	0	285.5	0	285.5	0
Foreign currency translation	75.9	0	0	0	0	75.9	75.9	0
Unrecognized pension and other postretirement costs, net of tax benefits	(109.3)	0	0	0	0	(109.3)	(109.3)	0
Gain (loss) on derivative instruments, including tax (benefits) expense	(49.4)	0	0	0	0	(49.4)	(49.4)	0
Total comprehensive income (loss)	202.7						202.7	0
Cash dividends on common stock	(71.4)	0	0	0	(71.4)	0	(71.4)	0
Cash dividends for noncontrolling interests	(1.9)	0	0	0	0	0	0	(1.9)
Stock-based compensation and other	36.5	0.9	(2.6)	34.7	0	0	33.0	3.5
Purchase of call options, net of tax	(43.0)	0	0	(43.0)	0	0	(43.0)	0
Issuance and sale of warrants	32.7	0	0	32.7	0	0	32.7	0
Discount on convertible notes, net of issuance costs and tax	41.0	0	0	41.0	0	0	41.0	0
Purchase of noncontrolling interests	(3.0)	0	0	(2.3)	0	0	(2.3)	(0.7)
Balance at Dec. 31, 2009	1,782.2	294.0	(420.6)	669.8	1,820.7	(585.2)	1,778.7	3.5
Net (loss) income	292.8	0	0	0	292.8	0	292.8	0
Foreign currency translation	(13.1)	0	0	0	0	(13.1)	(13.1)	0
Unrecognized pension and other postretirement costs, net of tax benefits	(7.0)	0	0	0	0	(7.0)	(7.0)	0
Gain (loss) on derivative instruments, including tax (benefits) expense	0.3	0	0	0	0	0.3	0.3	0
Total comprehensive income (loss)	273.0						273.0	0
Cash dividends on common stock	(55.4)	0	0	0	(55.4)	0	(55.4)	0
Stock-based compensation and other	31.1	1.3	(5.1)	35.7	(0.8)	0	31.1	0
Settlement of call options	369.5	0	0	369.5	0	0	369.5	0
Settlement of warrants	(298.4)	0	0	(298.4)	0	0	(298.4)	0
Common stock issued for convertible notes exchange	638.0	37.7	0	600.3	0	0	638.0	0
Retirement of common stock purchased under the ASB	(500.1)	(25.8)	0	(474.3)	0	0	(500.1)	0
Extinguishment of equity component of convertible notes	(334.4)	0	0	(334.4)	0	0	(334.4)	0
Balance at Dec. 31, 2010	$ 1,905.5	$ 307.2	$ (425.7)	$ 568.2	$ 2,057.3	$ (605.0)	$ 1,902.0	$ 3.5

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND COMPREHENSIVE INCOME (LOSS) (Parenthetical) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2010	Dec. 31, 2009	Dec. 31, 2008
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND COMPREHENSIVE INCOME (LOSS)
Foreign currency translation, including tax benefits		$ 10.2
Unrecognized pension and other postretirement costs, tax benefits	30.3	17.4	87.0
Gain (loss) on derivative instruments, including tax benefits (expense)	0	(46.3)	22.1
Pension adjustment, tax benefits			$ 0.2

Description of Business and Significant Accounting Policies

12 Months Ended

Dec. 31, 2010

Description of Business and Significant Accounting Policies

Description of Business and Significant Accounting Policies

FOOTNOTE 1

Description of Business and Significant Accounting Policies

Description of Business

Newell Rubbermaid (the "Company") is a global marketer of consumer and commercial products that touch the lives of people where they work, live and play. The Company's products are marketed under a strong portfolio of brands, including Rubbermaid^®, Graco^®, Aprica^®, Levolor^®, Calphalon^®, Goody^®, Sharpie^®, Paper Mate^®, Dymo^®, Parker^®, Waterman^®, Irwin^®, Lenox^® and Technical Concepts™. The Company's multi-product offering consists of well-known name-brand consumer and commercial products in three business segments: Home & Family; Office Products; and Tools, Hardware & Commercial Products.

Principles of Consolidation

The Consolidated Financial Statements include the accounts of the Company, its majority owned subsidiaries and variable interest entities where the Company is the primary beneficiary, after elimination of intercompany transactions.

Use of Estimates

The preparation of these financial statements requires the use of certain estimates by management in determining the Company's assets, liabilities, revenues and expenses and related disclosures. Actual results could differ from those estimates.

Reclassifications

Certain 2009 and 2008 amounts have been reclassified to conform to the 2010 presentation.

Concentration of Credit Risk

The Company sells products to customers in diversified industries and geographic regions and, therefore, has no significant concentrations of credit risk. The Company continuously evaluates the creditworthiness of its customers and generally does not require collateral.

The Company evaluates the collectibility of accounts receivable based on a combination of factors. When aware of a specific customer's inability to meet its financial obligations, such as in the case of bankruptcy filings or deterioration in the customer's operating results or financial position, the Company records a specific reserve for bad debt to reduce the related receivable to the amount the Company reasonably believes is collectible. The Company also records reserves for bad debt for all other customers based on a variety of factors, including the length of time the receivables are past due and historical collection experience. Accounts are also reviewed for potential write-off on a case-by-case basis. Accounts deemed uncollectible are written off, net of expected recoveries. If circumstances related to specific customers change, the Company's estimates of the recoverability of receivables could be further adjusted.

The Company's forward exchange contracts, cross-currency interest rate swaps and option contracts do not subject the Company to risk due to foreign exchange rate movement, because gains and losses on these instruments generally offset gains and losses on the assets, liabilities, and other transactions being hedged. The Company is exposed to credit-related losses in the event of non-performance by counterparties to certain derivative financial instruments. The Company does not obtain collateral or other security to support derivative financial instruments subject to credit risk, but monitors the credit standing of the counterparties.

The credit exposure that results from commodity, interest rate, foreign exchange and other derivatives is the fair value of contracts with a positive fair value as of the reporting date. The credit exposure on the Company's interest rate and foreign currency derivatives at December 31, 2010 was $42.3 million and $2.6 million, respectively. The credit exposure on the Company's commodity derivatives at December 31, 2010 was immaterial.

Sales Recognition

Sales of merchandise and freight billed to customers are recognized when title passes and all substantial risks of ownership change, which generally occurs either upon shipment or upon delivery based upon contractual terms. Sales are net of provisions for cash discounts, returns, customer discounts (such as volume or trade discounts), cooperative advertising and other sales-related discounts.

Cash and Cash Equivalents

Cash and cash equivalents include cash on hand and highly liquid investments that have a maturity of three months or less when purchased.

Inventories

Inventories are stated at the lower of cost or market value using the last-in, first-out (LIFO) or first-in, first-out (FIFO) methods (see Footnote 5 for additional information). The Company reduces its inventory value for estimated obsolete and slow-moving inventory in an amount equal to the difference between the cost of inventory and the net realizable value based upon estimates about future demand and market conditions. As of December 31, 2010 and 2009, the Company's reserves for excess and obsolete inventory and shrink reserves totaled $70.7 million and $102.1 million, respectively. If actual market conditions are less favorable than those projected by management, additional inventory write-downs may be required.

Property, Plant and Equipment

Property, plant and equipment are stated at cost. Expenditures for maintenance and repairs are expensed as incurred. Depreciation expense is calculated principally on the straight-line basis. Useful lives determined by the Company are as follows: buildings and improvements (20-40 years) and machinery and equipment (3-12 years).

Goodwill and Other Indefinite-Lived Intangible Assets

The Company conducts its annual test for impairment of goodwill and indefinite-lived intangible assets in the third quarter because it coincides with its annual strategic planning process.

The Company evaluates goodwill for impairment annually at the reporting unit level, which is one level below the operating segment level. The Company also tests for impairment if events and circumstances indicate that it is more likely than not that the fair value of a reporting unit is below its carrying amount. If the carrying amount of the reporting unit is greater than the fair value, impairment may be present. The Company assesses the fair value of each reporting unit for its goodwill impairment test based on a discounted cash flow model, an earnings multiple or an actual sales offer received from a prospective buyer, if available. Estimates critical to the Company's fair value estimates using earnings multiples include the projected financial performance of the reporting unit and the applicable earnings multiple. Estimates critical to the Company's fair value estimates under the discounted cash flow model include the discount rate, projected average revenue growth, projected long-term growth rates in the determination of terminal values and product costs.

The Company measures the amount of any goodwill impairment based upon the estimated fair value of the underlying assets and liabilities of the reporting unit, including any unrecognized intangible assets, and estimates the implied fair value of goodwill. An impairment charge is recognized to the extent the recorded goodwill exceeds the implied fair value of goodwill.

The Company also evaluates indefinite-lived intangible assets (primarily trademarks and trade names) for impairment annually. The Company also tests for impairment if events and circumstances indicate that it is more likely than not that the fair value of an indefinite-lived intangible asset is below its carrying amount. Estimates critical to the Company's evaluation of indefinite-lived intangible assets for impairment include the discount rate, royalty rates used in its evaluation of trade names, projected average revenue growth and projected long-term growth rates in the determination of terminal values. An impairment charge is recorded if the carrying amount of an indefinite-lived intangible asset exceeds the estimated fair value on the measurement date.

See Footnote 7 for additional detail on goodwill and other intangible assets.

Other Long-Lived Assets

The Company tests its other long-lived assets for impairment in accordance with relevant authoritative guidance. The Company evaluates if impairment indicators related to its property, plant and equipment and other long-lived assets are present. These impairment indicators may include a significant decrease in the market price of a long-lived asset or asset group, a significant adverse change in the extent or manner in which a long-lived asset or asset group is being used or in its physical condition, or a current-period operating or cash flow loss combined with a history of operating or cash flow losses or a forecast that demonstrates continuing losses associated with the use of a long-lived asset or asset group. If impairment indicators are present, the Company estimates the future cash flows for the asset or group of assets. The sum of the undiscounted future cash flows attributable to the asset or group of assets is compared to their carrying amount. The cash flows are estimated utilizing various projections of revenues and expenses, working capital and proceeds from asset disposals on a basis consistent with the strategic plan. If the carrying amount exceeds the sum of the undiscounted future cash flows, the Company determines the assets' fair value by discounting the future cash flows using a discount rate required for a similar investment of like risk and records an impairment charge as the difference between the fair value and the carrying value of the asset group. Generally, the Company performs its testing of the asset group at the product-line level, as this is the lowest level for which identifiable cash flows are available.

Shipping and Handling Costs

The Company records shipping and handling costs as a component of cost of products sold.

Product Liability Reserves

The Company has a self-insurance program for product liability that includes reserves for self-retained losses and certain excess and aggregate risk transfer insurance. The Company uses historical loss experience combined with actuarial evaluation methods, review of significant individual files and the application of risk transfer programs in determining required product liability reserves. The Company's actuarial evaluation methods take into account claims incurred but not reported when determining the Company's product liability reserve. While the Company believes that it has adequately reserved for these claims, the ultimate outcome of these matters may exceed the amounts recorded by the Company, and such additional losses may be material to the Company's Consolidated Financial Statements.

Product Warranties

In the normal course of business, the Company offers warranties for a variety of its products. The specific terms and conditions of the warranties vary depending upon the specific product and markets in which the products were sold. The Company accrues for the estimated cost of product warranty at the time of sale based on historical experience.

Advertising Costs

The Company expenses advertising costs as incurred. Cooperative advertising with customers is recorded in the Consolidated Financial Statements as a reduction of net sales and totaled $107.6 million, $112.6 million and $143.2 million for 2010, 2009 and 2008, respectively. All other advertising costs are recorded in selling, general and administrative expenses and totaled $152.9 million, $139.8 million and $201.2 million in 2010, 2009 and 2008, respectively.

Research and Development Costs

Research and development costs relating to both future and current products are charged to selling, general and administrative expenses as incurred. These costs totaled $128.8 million, $118.4 million and $119.5 million in 2010, 2009 and 2008, respectively.

Derivative Financial Instruments

Derivative financial instruments are generally used to manage certain commodity, interest rate and foreign currency risks. These instruments primarily include interest rate swaps, cross-currency interest rate swaps, forward exchange contracts and options. The Company's forward exchange contracts, options and cross-currency interest rate swaps do not subject the Company to exchange rate risk because gains and losses on these instruments generally offset gains and losses on the assets, liabilities, and other transactions being hedged. However, these instruments, when settled, impact the Company's cash flows from operations to the extent the underlying transaction being hedged is not simultaneously settled due to an extension, a renewal or otherwise.

On the date when the Company enters into a derivative, the derivative is designated as a hedge of the identified exposure. The Company measures effectiveness of its hedging relationships both at hedge inception and on an ongoing basis. No material ineffectiveness was recorded on designated hedges in 2010, 2009 and 2008.

Interest Rate Risk Management

Gains and losses on interest rate swaps designated as cash flow hedges, to the extent that the hedge relationship has been effective, are deferred in other comprehensive income (loss) and recognized in interest expense over the period in which the Company recognizes interest expense on the related debt instrument. Any ineffectiveness on these instruments is immediately recognized in interest expense in the period that the ineffectiveness occurs.

Interest rate swaps designated as fair value hedges include interest rate swaps on long-term debt, cross-currency interest rate swaps and forward exchange contracts. The Company records the fair value of interest rate swaps on long-term debt as an asset or liability with a corresponding adjustment to the carrying value of the debt. Any ineffectiveness on these instruments is immediately recognized in interest expense in the period that the ineffectiveness occurs. See foreign currency management below for discussion of cross-currency interest rate swaps and forward exchange contracts.

Gains or losses resulting from the early termination of interest rate swaps are deferred as an increase or decrease to the carrying value of the related debt and amortized as an adjustment to the yield of the related debt instrument over the remaining period originally covered by the swap. The cash received or paid relating to the termination of interest rate swaps is included in other as an operating activity in the Consolidated Statements of Cash Flows.

Foreign Currency Management

The Company utilizes forward exchange contracts and options to manage foreign exchange risk related to both known and anticipated intercompany transactions and third-party commercial transaction exposures of approximately one year in duration or less. For instruments designated as cash flow hedges, the effective portion of the changes in fair value of these instruments is reported in other comprehensive income (loss) and reclassified into earnings in the same period or periods in which the hedged transactions affect earnings. Any ineffective portion is immediately recognized in earnings. For instruments designated as fair value hedges, the changes in fair value are reported in earnings, generally offsetting the change in value of the underlying instrument being hedged.

The Company has historically utilized cross-currency interest rate swaps to hedge long-term intercompany financing transactions. Gains and losses related to qualifying forward exchange contracts, which hedge certain anticipated transactions, are recognized in other comprehensive income (loss) until the underlying transaction occurs.

The fair values of foreign currency hedging instruments are recorded in the captions Prepaid expenses and other, Other assets, Other accrued liabilities or Other noncurrent liabilities in the Consolidated Balance Sheets depending on the maturity of the Company's cross-currency interest rate swaps and forward contracts at December 31, 2010 and 2009. The earnings impact of cash flow hedges relating to forecasted purchases of inventory is generally reported in cost of products sold to match the underlying transaction being hedged. For hedged forecasted transactions, hedge accounting is discontinued if the forecasted transaction is no longer probable of occurring, in which case previously deferred hedging gains or losses would be recorded to earnings immediately.

Foreign Currency Translation

Assets and liabilities of foreign subsidiaries are translated into U.S. dollars at the rates of exchange in effect at year-end. The related translation adjustments are made directly to accumulated other comprehensive income (loss). Income and expenses are translated at the average monthly rates of exchange in effect during the year. Gains and losses from foreign currency transactions of these subsidiaries are included in net income (loss). International subsidiaries operating in highly inflationary economies remeasure nonmonetary assets at historical rates, while net monetary assets are remeasured at current rates, with the resulting remeasurememt adjustment included in net income (loss) as other expense, net.

The Company designates certain foreign currency denominated, long-term intercompany financing transactions as economic hedges of net investments in foreign operations and records the gain or loss on the transaction arising from changes in exchange rates as a translation adjustment to the extent the intercompany financing arrangement is effective as a hedge.

In December 2009, the Company ceased the use of the official exchange rate to translate assets, liabilities and income (loss) for its operations in Venezuela and instead began using the parallel exchange rate. Effective January 1, 2010, the Company accounted for Venezuela as a highly inflationary economy as the three-year cumulative inflation rate for Venezuela, using a blend of the Consumer Price Index associated with the city of Caracas and the National Consumer Price Index (developed commencing in 2008 and covering the entire country of Venezuela), exceeded 100%. Accounting standards require the functional currency of the foreign operations operating in highly inflationary economies to be the same as the reporting currency of the Company. Accordingly, the Company's Venezuelan subsidiary began using the U.S. Dollar as its functional currency on January 1, 2010. As a result of the change to a U.S. Dollar functional currency, monetary assets and liabilities denominated in Bolivar Fuertes generate income or expense for changes in value associated with parallel exchange rate fluctuations against the U.S. Dollar. From January 2010 to May 2010, the Company used the parallel market rate to determine the U.S. Dollar equivalent values of its Venezuelan subsidiary's transactions and balances. In May 2010, the Venezuelan government enacted reforms to its foreign currency exchange control regulations to close down the parallel exchange market. In early June 2010, the Venezuelan government introduced a newly regulated foreign currency exchange system, Transaction System for Foreign Currency Denominated Securities ("SITME"). Foreign currency exchange through SITME is allowed within a specified band of 4.5 to 5.3 Bolivar Fuerte to U.S. Dollar, but most of the exchanges have been executed at the rate of 5.3 Bolivar Fuerte to U.S. Dollar. The Company began applying the SITME rate of 5.3 Bolivar Fuerte to U.S. Dollar in May 2010. The transition to the SITME rate resulted in a foreign exchange gain of $5.6 million, which is recognized in other income for the year ended December 31, 2010.

The Company transitioned to the parallel market rate in December 2009 and has used the parallel market rate and SITME rate in 2010 because of indications that the Venezuelan government is not likely to provide substantial currency exchange at the official rate for companies importing nonessential products, as well as difficulties in obtaining approval for the conversion of local currency to U.S. Dollars at the official exchange rate (for imported products, royalties and distributions). The Company's Venezuelan subsidiary had approximately $29.5 million of net monetary assets denominated in Bolivar Fuertes as of December 31, 2010, which are subject to changes in value based on changes in the SITME rate.

Using predominantly the official rate for translation in 2009, the company's Venezuelan operations generated net sales of approximately $65.0 million and operating income of approximately $25.0 million in 2009. Net sales and operating income in 2010 declined approximately $49.0 million and $16.0 million, respectively, compared to 2009 due solely to the change in the exchange rate used to convert the Company's Venezuela results to U.S. Dollars from predominately the official exchange rate in 2009 to the parallel market rate and SITME rate in 2010.

Income Taxes

The Company accounts for deferred income taxes using the asset and liability approach. Under this approach, deferred income taxes are recognized based on the tax effects of temporary differences between the financial statement and tax bases of assets and liabilities, as measured by current enacted tax rates. Valuation allowances are recorded to reduce the deferred tax assets to an amount that will more likely than not be realized. No provision is made for the U.S. income taxes on the undistributed earnings of non-U.S. subsidiaries that are considered to be permanently invested.

The Company's income tax provisions are based on calculations and assumptions that are subject to examination by the Internal Revenue Service and other tax authorities. Although the Company believes that the positions taken on previously filed tax returns are reasonable, it has established tax and interest reserves in recognition that various taxing authorities may challenge the positions taken, which could result in additional liabilities for taxes and interest. The Company regularly reviews its deferred tax assets for recoverability considering historical profitability, projected future taxable income, the expected timing of the reversals of existing temporary differences and tax planning strategies.

The authoritative guidance requires application of a "more likely than not" threshold to the recognition and derecognition of tax positions. The Company's ongoing assessments of the more likely than not outcomes of tax authority examinations and related tax positions require significant judgment and can increase or decrease the Company's effective tax rate, as well as impact operating results.

Stock-Based Compensation

Stock-based compensation expense is adjusted for estimated forfeitures and is recognized on a straight-line basis over the requisite service period of the award, which is generally three to five years for stock options and three years for restricted stock, restricted stock units and performance share awards. The Company estimates future forfeiture rates based on its historical experience. See Footnote 15 for additional information.

Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss is recorded within stockholders' equity and encompasses foreign currency translation adjustments, gains (losses) on derivative instruments and unrecognized pension and other postretirement costs. The following table displays the components of accumulated other comprehensive loss as of and for the year ended December 31, 2010 (in millions):


	Foreign Currency Translation Loss			Unrecognized Pension & Other Postretirement Costs, net of tax			After-tax Derivative Hedging Gain (Loss)			Accumulated Other Comprehensive Loss

Balance at December 31, 2009	$	(166.3	)	$	(418.4	)	$	(0.5	)	$	(585.2)
Current year change		(13.1	)		(7.0	)		0.3			(19.8)

Balance at December 31, 2010	$	(179.4	)	$	(425.4	)	$	(0.2	)	$	(605.0)

Noncontrolling Interests

In 2009, in conjunction with its adoption of the Financial Accounting Standards Board's ("FASB") accounting and disclosure guidance for noncontrolling interests, the Company also adopted certain authoritative guidance applicable for all noncontrolling interests where the Company is required to purchase noncontrolling interests in a consolidated subsidiary from the noncontrolling interest holder at a specified future date, and the purchase is outside the Company's control. The Company was required to purchase the noncontrolling interest in an international subsidiary at fair value, $28.2 million, in 2009. In connection with the adoption of this guidance, the stockholders' equity as of December 31, 2008 and 2007 has been adjusted to reflect the estimated fair value of the noncontrolling interest the Company was required to purchase, $28.2 million, as a decrease in retained earnings. The following table summarizes the impact of the retrospective adoption of the accounting guidance on the Company's retained earnings as of December 31, (in millions):


	2008				2007

	Retained Earnings		Stockholders' Equity Attributable to Noncontrolling Interests		Retained Earnings		Stockholders' Equity Attributable to Noncontrolling Interests

As previously reported	$	1,634.8	$	—	$	1,922.7	$	—
Minority interest (noncontrolling interests) in consolidated subsidiaries		—		2.6		—		3.0
Fair value of noncontrolling interest the Company is required to purchase		(28.2)		—		(28.2)		—

As adjusted	$	1,606.6	$	2.6	$	1,894.5	$	3.0

Subsequent Events

No significant events occurred subsequent to the balance sheet date but prior to the issuance of the financial statements that would have a material impact on the Consolidated Financial Statements.

Recent Accounting Pronouncements

In January 2010, the FASB issued new accounting guidance related to the disclosure requirements for fair value measurements and clarified existing disclosure requirements. More specifically, this update requires (a) an entity to disclose separately the amounts of significant transfers in and out of Level 1 and Level 2 fair value measurements and to describe the reasons for the transfers, and (b) information about purchases, sales, issuances and settlements to be presented separately, on a gross basis rather than net, in the reconciliation for fair value measurements using significant unobservable inputs (Level 3 inputs). This guidance clarifies existing disclosure requirements for the level of disaggregation used for classes of assets and liabilities measured at fair value and requires disclosures about the valuation techniques and inputs used to measure fair value for both recurring and nonrecurring fair value measurements using Level 2 and Level 3 inputs. The new disclosures and clarifications of existing disclosure were effective beginning January 1, 2010, except for the disclosure requirements related to the purchases, sales, issuances and settlements in the rollforward activity of Level 3 fair value measurements, which are effective for the Company on January 1, 2011. The adoption of this guidance is not expected to have a material impact on the Company's financial statements.

- Definition

Description containing the entire organization, consolidation and basis of presentation of financial statements disclosure. May be provided in more than one note to the financial statements, as long as users are provided with an understanding of (1) the significant judgments and assumptions made by an enterprise in determining whether it must consolidate a VIE and/or disclose information about its involvement with a VIE, (2) the nature of restrictions on a consolidated VIE's assets reported by an enterprise in its statement of financial position, including the carrying amounts of such assets, (3) the nature of, and changes in, the risks associated with an enterprise's involvement with the VIE, and (4) how an enterprise's involvement with the VIE affects the enterprise's financial position, financial performance, and cash flows. Describes procedure if disclosures are provided in more than one note to the financial statements.

+ References+ Details

Acquisitions	12 Months Ended
Acquisitions	Dec. 31, 2010
Acquisitions
Acquisitions	FOOTNOTE 2 Acquisitions Technical Concepts On April 1, 2008, the Company acquired 100% of the outstanding limited liability company interests of Technical Concepts Holdings, LLC ("Technical Concepts") for $452.7 million, which includes transaction costs and the repayment of Technical Concepts' outstanding debt obligations at closing. Technical Concepts provides touch-free and automated restroom hygiene systems in the away-from-home washroom category. The Technical Concepts acquisition gives the Company's Rubbermaid Commercial Products business an entry into the away-from-home washroom market and fits within the Company's strategy of leveraging its existing sales and marketing capabilities across additional product categories. In addition, with approximately 40% of its sales outside the U.S., Technical Concepts increased the global footprint of the Company's Rubbermaid Commercial Products business. This acquisition was accounted for using the purchase method of accounting and accordingly, the Company allocated the total purchase price to the identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the date of acquisition. Based on the purchase price allocation, the Company allocated $48.1 million of the purchase price to identified tangible net assets and $93.5 million of the purchase price to identified intangible assets. The Company recorded the excess of the purchase price over the aggregate fair values of $311.1 million as goodwill. Technical Concepts' results of operations are included in the Company's Consolidated Financial Statements since the acquisition date. Pro forma results of operations for historical periods would not be materially different and therefore are not presented. Aprica On April 1, 2008, the Company acquired substantially all of the assets of Aprica Childcare Institute Aprica Kassai, Inc. ("Aprica"), a maker of strollers, car seats and other children's products, headquartered in Osaka, Japan. The Company acquired Aprica's assets for $145.7 million, which includes transaction costs and the repayment of Aprica's outstanding debt obligations at closing. Aprica is a Japanese brand of premium strollers, car seats and other related juvenile products. The acquisition provides the opportunity for the Company's Baby & Parenting Essentials business to broaden its presence worldwide, including expanding the scope of Aprica's sales outside Asia. The closing of the purchase of Aprica's operations in China occurred in October 2008, and the assets acquired and liabilities assumed are included in the amount of net liabilities acquired and goodwill recorded in the Aprica acquisition; however, the impact of the acquisition of Aprica's China operations did not significantly impact the overall Aprica purchase price allocation. This acquisition was accounted for using the purchase method of accounting and accordingly, the Company allocated the total purchase price to the identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the date of acquisition. Based on the purchase price allocation, the Company allocated $(34.7) million of the purchase price to identified tangible net liabilities and $57.0 million of the purchase price to identified intangible assets. The Company recorded the excess of the purchase price over the aggregate fair values of $123.4 million as goodwill. Aprica's results of operations are included in the Company's Consolidated Financial Statements since the acquisition date. Pro forma results of operations for historical periods would not be materially different and therefore are not presented. Endicia On July 1, 2007, the Company acquired all of the outstanding equity interests of PSI Systems, Inc. ("Endicia"), provider of Endicia Internet Postage, for $51.2 million plus related acquisition costs and contingent payments of up to $25.0 million based on future revenues. In 2009 and 2010, the Company paid $10.0 million and $1.5 million, respectively, of the contingent payments based on Endicia's revenues, and an additional $12.5 million may be paid in periods subsequent to December 31, 2010 based on Endicia's future revenues. This acquisition was accounted for using the purchase method of accounting. Endicia is party to a lawsuit filed against it alleging patent infringement which was filed on November 22, 2006 in the U.S. District Court for the Central District of California. In this case, Stamps.com seeks unspecified damages, attorneys' fees and injunctive relief in order to prevent Endicia from continuing to engage in activities that are alleged to infringe on Stamps.com's patents. The court granted Endicia's motion for summary judgment, and the matter is on appeal to the U.S. Federal Circuit Court of Appeals. An unfavorable outcome in this litigation could materially adversely affect the Endicia business.

Stockholders' Equity	12 Months Ended
Stockholders' Equity	Dec. 31, 2010
Stockholders' Equity
Stockholders' Equity	FOOTNOTE 3 Stockholders' Equity During 2010, the Company executed a series of transactions pursuant to a Capital Structure Optimization Plan (the "Plan") in order to simplify the Company's capital structure, lower interest costs and reduce potential future dilution from the convertible notes due 2014 (the "Convertible Notes") and the associated hedge and warrant transactions (see Footnotes 9 and 10 of the Notes to Consolidated Financial Statements). The Plan included the issuance of $550.0 million of 4.70% senior notes due 2020. The Company used the proceeds from the sale of the notes, cash on hand and short-term borrowings to fund the repurchase of $500.0 million of shares of its common stock through an accelerated stock buyback program; to complete a cash tender offer for any and all of the $300.0 million principal amount of outstanding 10.60% notes due 2019; and to exchange common stock and cash for any and all of the $345.0 million principal amount of outstanding Convertible Notes. In addition, the Plan contemplated the settlement of the convertible note hedge and warrant transactions entered into in connection with the issuance of the Convertible Notes in March 2009. On August 2, 2010, the Company entered into an accelerated stock buyback program (the "ASB") with Goldman, Sachs & Co. ("Goldman Sachs"). Under the ASB, on August 10, 2010, the Company paid Goldman Sachs an initial purchase price of $500.0 million, and Goldman Sachs delivered to the Company approximately 25.8 million shares of common stock, representing approximately 80% of the shares expected to be purchased under the program at the time the program was announced. Goldman Sachs delivered the initial amount of shares on August 10, 2010, based on a per share amount of $15.50. The Company retired the 25.8 million shares received under the ASB, and since the Company's additional paid-in capital attributable to common stock was greater than $500.0 million at the time such shares were retired, the repurchase and retirement of shares was recorded as a reduction to common stock and additional paid-in capital. The number of shares that the Company ultimately purchases under the ASB will be determined based on the average of the daily volume-weighted average share prices of the common stock over the course of a calculation period and is subject to certain adjustments. Upon settlement following the end of the calculation period, Goldman Sachs will deliver additional shares to the Company so that the aggregate value of the shares initially delivered plus such additional shares, based on the final price, is $500.0 million. Alternatively, if the value of the shares initially delivered, based on the final price, exceeds $500.0 million, the Company will deliver cash or shares of common stock (at the Company's election) to Goldman Sachs for the excess. The calculation period is scheduled to run from August 11, 2010 until March 21, 2011 and is subject to suspension. On August 17, 2010, the Company commenced an exchange offer for its $345.0 million outstanding principal amount of Convertible Notes (the "Exchange Offer"). The Company offered to exchange 116.198 shares of its common stock and a cash payment of $160 for each $1,000 principal amount of Convertible Notes tendered in the Exchange Offer. Holders of the Convertible Notes exchanged $324.7 million principal amount of Convertible Notes in the Exchange Offer. The Company issued approximately 37.7 million shares of its common stock valued at $638.0 million and paid approximately $52.0 million of cash in exchange for the $324.7 million principal amount of Convertible Notes and retired the Convertible Notes received in the Exchange Offer. The value of the shares issued in connection with the Exchange Offer, $638.0 million, increased stockholders' equity, and the value of the equity component of the Convertible Notes received and extinguished in the Exchange Offer, $334.4 million, reduced stockholders' equity during 2010. See Footnote 9 of the Notes to Consolidated Financial Statements for further information. The Company settled the convertible note hedge and warrant transactions with the counterparties and received $369.5 million from the counterparties for the value of the convertible note hedge and paid the counterparties $298.4 million for the warrants. See Footnote 10 of the Notes to Consolidated Financial Statements for further information.

- Definition

Disclosures related to accounts comprising shareholders' equity, including other comprehensive income. Includes: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables; effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References+ Details

Restructuring Costs

12 Months Ended

Dec. 31, 2010

Restructuring Costs

Restructuring Costs

FOOTNOTE 4

Restructuring Costs

European Transformation Plan

In June 2010, the Company announced a program to simplify and centralize its European business (the "European Transformation Plan"). The European Transformation Plan includes initiatives designed to transform the European organizational structure and processes to centralize certain operating activities, improve performance, leverage the benefits of scale and to contribute to a more efficient and cost-effective implementation of an enterprise resource planning system in Europe, all with the aim of increasing operating margin in the European region to at least ten percent.

The European Transformation Plan is expected to be completed in 2012 and is expected to result in cumulative restructuring charges totaling between $40 and $45 million, substantially all of which are employee-related cash costs, including severance, retirement, and other termination benefits and relocation costs. The Company also expects to incur an additional $70 to $75 million of selling, general and administrative expenses to implement the European Transformation Plan. During 2010, restructuring-related charges incurred in connection with the European Transformation Plan were $15.2 million, and these charges are included in selling, general and administrative expenses in the Consolidated Statements of Operations and are reflected in the Europe, Middle East and Africa operating income (loss) for 2010 in Footnote 19 of the Notes to Consolidated Financial Statements. Restructuring charges incurred during 2010 were not material. The Company expects all restructuring and restructuring-related costs under the European Transformation Plan to be substantially incurred by the end of the year ending December 31, 2011.

Project Acceleration

In 2005, the Company announced a global initiative referred to as Project Acceleration aimed at strengthening and transforming the Company's portfolio. Project Acceleration is designed to reduce manufacturing overhead, better align the Company's distribution and transportation processes to achieve logistical excellence, and reorganize the Company's overall business structure to align with the Company's core organizing concept, the global business unit, to achieve best total cost. In July 2008, the Company expanded Project Acceleration to include initiatives to exit certain product categories to create a more focused and more profitable platform for growth by eliminating selected low-margin, commodity-like, mostly resin-intensive product categories and reduce the Company's exposure to volatile commodity markets, particularly resin. The implementation of Project Acceleration was complete as of December 31, 2010, with cumulative restructuring costs over the life of the initiative totaling $498.4 million.

The table below summarizes the restructuring costs recognized for Project Acceleration restructuring activities for continuing operations for the years ended December 31, (in millions):


	2010		2009		2008			Since inception through December 31, 2010

Facility and other exit costs	$	6.0	$	32.4	$	46.1		$	178.4
Employee severance, termination benefits and relocation costs		53.6		48.8		57.5			241.0
Exited contractual commitments and other		17.9		18.8		13.6			79.0

	$	77.5	$	100.0	$	117.2	*	$	498.4

* During 2008, the Company recorded $3.1 million of restructuring charges relating to its 2001 Restructuring Plan, which is not included in the table above but is included in total restructuring costs for the year ended December 31, 2008.

Restructuring provisions were determined based on estimates prepared at the time the restructuring actions were approved by management, are periodically updated for changes and also include amounts recognized as incurred. Costs incurred include cash payments and the impairment of assets associated with vacated facilities. Impairments included in restructuring charges totaled $6.0 million, $32.4 million and $46.1 million for the years ended December 31, 2010, 2009 and 2008, respectively. The impaired assets include vacated land and buildings, land and buildings for which a plan exists to vacate and dispose of the facility, and machinery and equipment to be sold or otherwise disposed of prior to the end of its original estimated useful life. The impairments primarily result from the consolidation of manufacturing activities as well as the increased use of sourcing partners.

A summary of the Company's accrued restructuring reserves for continuing operations as of and for the years ended December 31, 2010 and 2009, respectively, is as follows (in millions):


	December 31, 2009 Balance		Provision		Costs Incurred			December 31, 2010 Balance

Facility exit costs, including impairments	$	—	$	6.0	$	(6.0	)	$	—
Employee severance, termination benefits and relocation costs		23.3		53.6		(54.7	)		22.2
Exited contractual commitments and other		11.8		17.9		(18.4	)		11.3

	$	35.1	$	77.5	$	(79.1	)	$	33.5


	December 31, 2008 Balance		Provision		Costs Incurred			December 31, 2009 Balance

Facility exit costs, including impairments	$	—	$	32.4	$	(32.4	)	$	—
Employee severance, termination benefits and relocation costs		30.7		48.8		(56.2	)		23.3
Exited contractual commitments and other		20.3		18.8		(27.3	)		11.8

	$	51.0	$	100.0	$	(115.9	)	$	35.1

The table below shows restructuring costs recognized for Project Acceleration restructuring activities for the years ended December 31, aggregated by reportable business segment (in millions):


Segment	2010		2009		2008		Since inception through December 31, 2010
Home & Family	$	13.7	$	24.0	$	43.5	$	144.8
Office Products		24.2		34.8		35.6		186.9
Tools, Hardware & Commercial Products		9.5		16.6		20.4		88.4
Corporate		30.1		24.6		17.7		78.3

	$	77.5	$	100.0	$	117.2	$	498.4

The following table depicts the changes in accrued restructuring reserves for Project Acceleration for the years ended December 31, 2010 and 2009, respectively, aggregated by reportable business segment (in millions):


Segment	December 31, 2009 Balance		Provision		Costs Incurred			December 31, 2010 Balance

Home & Family	$	8.0	$	13.7	$	(17.7	)	$	4.0
Office Products		15.7		24.2		(28.8	)		11.1
Tools, Hardware & Commercial Products		3.9		9.5		(8.6	)		4.8
Corporate		7.5		30.1		(24.0	)		13.6

	$	35.1	$	77.5	$	(79.1	)	$	33.5


Segment	December 31, 2008 Balance		Provision		Costs Incurred			December 31, 2009 Balance

Home & Family	$	6.1	$	24.0	$	(22.1	)	$	8.0
Office Products		17.5		34.8		(36.6	)		15.7
Tools, Hardware & Commercial Products		16.5		16.6		(29.2	)		3.9
Corporate		10.9		24.6		(28.0	)		7.5

	$	51.0	$	100.0	$	(115.9	)	$	35.1

Cash paid for all restructuring activities was $72.8 million, $84.0 million and $60.9 million for 2010, 2009 and 2008, respectively.

Inventories, Net

12 Months Ended

Dec. 31, 2010

Inventories, Net

Inventories, Net

FOOTNOTE 5

Inventories, Net

The components of net inventories were as follows as of December 31, (in millions):


	2010		2009

Materials and supplies	$	116.8	$	118.5
Work in process		101.0		141.6
Finished products		483.8		428.1

	$	701.6	$	688.2

Inventory costs include direct materials, direct labor and manufacturing overhead, or when finished goods are sourced, the cost is the amount paid to the third party. Cost of certain domestic inventories (approximately 52.0% and 51.7% of gross inventory costs at December 31, 2010 and 2009, respectively) was determined by the LIFO method; for the balance, cost was determined using the FIFO method. As of December 31, 2010 and 2009, LIFO reserves were $30.1 million and $24.2 million, respectively. The net income recognized by the Company related to the liquidation of LIFO-based inventories in 2010 and 2009 was $8.7 million and $16.9 million, respectively, and the income recognized by the Company related to the liquidation of LIFO-based inventories in 2008 was not material.

Property, Plant & Equipment, Net

12 Months Ended

Dec. 31, 2010

Property, Plant & Equipment, Net

Property, Plant & Equipment, Net

FOOTNOTE 6

Property, Plant & Equipment, Net

Property, plant and equipment, net consisted of the following as of December 31, (in millions):


	2010		2009

Land	$	32.4	$	39.4
Buildings and improvements		370.0		414.7
Machinery and equipment		1,709.8		1,723.5

		2,112.2		2,177.6
Accumulated depreciation		(1,582.9)		(1,599.5)

	$	529.3	$	578.1

Depreciation expense was $118.0 million, $122.1 million and $131.1 million in 2010, 2009 and 2008, respectively.

Goodwill and Other Intangible Assets, Net

12 Months Ended

Dec. 31, 2010

Goodwill and Other Intangible Assets, Net

Goodwill and Other Intangible Assets, Net

FOOTNOTE 7

Goodwill and Other Intangible Assets, Net

A summary of changes in the Company's goodwill by reportable business segment is as follows for the year ended December 31, (in millions):


Segment	December 31, 2009 Balance		Acquisitions		Impairment Charges		Foreign Currency and Other ⁽¹⁾			December 31, 2010 Balance

Home & Family	$	648.7	$	—	$	—	$	13.9		$	662.6
Office Products		1,149.5		—		—		(13.8	)		1,135.7
Tools, Hardware & Commercial Products		956.1		—		—		(4.9	)		951.2

	$	2,754.3	$	—	$	—	$	(4.8	)	$	2,749.5


Segment	December 31, 2008 Balance		Acquisitions		Impairment Charges		Foreign Currency and Other ⁽¹⁾			December 31, 2009 Balance

Home & Family	$	652.0	$	—	$	—	$	(3.3	)	$	648.7
Office Products		1,088.4		—		—		61.1			1,149.5
Tools, Hardware & Commercial Products		958.5		—		—		(2.4	)		956.1

	$	2,698.9	$	—	$	—	$	55.4		$	2,754.3

(1)	Office Products includes $1.5 million and $10.0 million of contingent payments in 2010 and 2009, respectively, based on Endicia's revenues.

Other intangible assets, net consisted of the following as of December 31, (in millions):


	2010						2009

	Gross Carrying Amount		Accumulated Amortization		Net Book Value		Gross Carrying Amount		Accumulated Amortization		Net Book Value

Trade names — indefinite life	$	317.7	$	N/A	$	317.7	$	320.5	$	N/A	$	320.5
Trade names — other		46.2		(23.2)		23.0		41.6		(18.9)		22.7
Capitalized software		317.2		(100.8)		216.4		262.9		(77.0)		185.9
Other (2)		207.6		(116.4)		91.2		206.7		(89.6)		117.1

	$	888.7	$	(240.4)	$	648.3	$	831.7	$	(185.5)	$	646.2

The table below summarizes the Company's amortization periods for other intangible assets, including capitalized software, as of December 31, 2010:


	Weighted-Average Amortization Period	Amortization Periods

Trade names — indefinite life	N/A	N/A
Trade names — other	11 years	5—20 years
Capitalized software	10 years	3—12 years
Other (2)	8 years	3—14 years

	9 years

(2)	Other consists primarily of patents and customer lists with net book values of $32.8 million and $58.4 million, respectively, as of December 31, 2010.

Amortization expense for intangible assets, including capitalized software, was $54.3 million, $53.0 million and $52.2 million in 2010, 2009 and 2008, respectively.

As of December 31, 2010, the aggregate estimated intangible amortization amounts for the succeeding five years are as follows (in millions):


2011	2012	2013	2014	2015
$ 47.5	$ 44.3	$ 37.9	$ 36.4	$ 30.4

Actual amortization expense to be reported in future periods could differ materially from these estimates as a result of acquisitions, changes in useful lives and other relevant factors.

- Definition

Discloses the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain or loss on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss. This element may be used as a single block of text to include the entire intangible asset disclosure including data and tables.

+ References+ Details

Other Accrued Liabilities

12 Months Ended

Dec. 31, 2010

Other Accrued Liabilities

Other Accrued Liabilities

FOOTNOTE 8

Other Accrued Liabilities

Accrued liabilities included the following as of December 31, (in millions):


	2010		2009

Customer accruals	$	280.9	$	237.5
Accruals for manufacturing, marketing and freight expenses		108.9		99.9
Accrued self-insurance liability		73.1		82.5
Accrued pension, defined contribution and other postretirement benefits		45.3		49.8
Accrued contingencies, primarily legal, environmental and warranty		39.1		44.9
Accrued restructuring (See Footnote 4)		33.5		33.3
Other		117.4		108.1

Other accrued liabilities	$	698.2	$	656.0

Customer accruals are promotional allowances and rebates, including cooperative advertising, given to customers in exchange for their selling efforts and volume purchased. The self-insurance accrual is primarily casualty liabilities such as workers' compensation, general and product liability and auto liability, and is estimated based upon historical loss experience combined with actuarial evaluation methods, review of significant individual files and the application of risk transfer programs.

Debt

12 Months Ended

Dec. 31, 2010

Debt

Debt

FOOTNOTE 9

Debt

The following is a summary of outstanding debt as of December 31, (in millions):


	2010			2009

Medium-term notes (original maturities generally ranging from 5 to 10 years, average stated interest rate of 5.62% as of December 31, 2010)	$	1,623.0		$	1,426.6
Term loan		150.0			350.0
Convertible notes		17.5			284.3
Junior convertible subordinated debentures		436.7			436.7
Commercial paper		34.0			—
Receivables facility		100.0			—
Other debt		7.7			11.2

Total debt		2,368.9			2,508.8
Short-term debt		(135.0	)		(0.6)
Current portion of long-term debt		(170.0	)		(492.9)

Long-term debt	$	2,063.9		$	2,015.3

During 2010, the Company's average commercial paper obligations outstanding were $24.9 million at an average interest rate of 1.6%, which includes fees and commissions. The Company had no commercial paper obligations outstanding during 2009.

The aggregate maturities of debt outstanding, based on the earliest date the obligation may become due, are as follows as of December 31, 2010 (in millions):


2011	2012	2013	2014	2015	Thereafter	Total
$ 305.0	$ 260.5	$ 517.5	$ —	$ —	$ 1,285.9	$ 2,368.9

Medium-Term Notes

The Company's outstanding medium-term notes consisted of the following principal amounts and interest rate swap values as of December 31, (in millions):


	2010		2009

6.75% senior notes due 2012	$	250.0	$	250.0
5.50% senior notes due 2013		500.0		500.0
6.25% senior notes due 2018		250.0		250.0
10.60% senior notes due 2019		20.7		293.1
4.70% senior notes due 2020		550.0		—
6.11% senior notes due 2028		10.0		10.0
4.00% senior notes due 2010		—		105.1
Interest rate swaps		42.3		18.4

Total medium-term notes	$	1,623.0	$	1,426.6

As of December 31, 2010, the Company had entered into fixed-for-floating interest rate swaps designated as fair value hedges. The interest rate swaps relate to $1.0 billion of the principal amount of the medium-term notes and result in the Company effectively paying a floating rate of interest on the medium-term notes subject to the interest rate swaps. The medium-term note balances at December 31, 2010 and 2009 include mark-to-market adjustments of $42.3 million and $18.4 million, respectively, to record the fair value of the hedges of the fixed-rate debt, and the mark-to-market adjustments had the effect of increasing the reported value of the medium-term notes. The interest rate swaps had the effect of reducing interest expense by $30.3 million and $26.1 million for the years ended December 31, 2010 and 2009, respectively, compared to the stated rates of the underlying medium-term notes.

In connection with the Capital Structure Optimization Plan (the "Plan"), the Company completed the offering and sale of $550.0 million aggregate principal amount of 4.70% senior unsecured notes with a maturity of August 2020 (the "Notes") in August 2010. The net proceeds from this offering were $544.9 million, which together with cash on hand and short-term borrowings were used to fund the repurchase of $500.0 million of shares of the Company's common stock through the ASB and to complete a cash tender offer for any and all of the $300.0 million principal amount of outstanding 10.60% notes due 2019. The Notes are unsecured and unsubordinated obligations of the Company and equally rank with all of its existing and future senior unsecured debt. The Notes may be redeemed by the Company at any time, in whole or in part, at a redemption price plus accrued and unpaid interest to the date of redemption. The redemption price is equal to the greater of (1) 100% of the principal amount of the Notes being redeemed on the redemption date and (2) the sum of the present values of the remaining scheduled payments of principal and interest thereon (not including any portion of any payments of interest accrued through the date of the redemption), discounted to the date of redemption on a semi-annual basis at a specified rate. The Notes also contain a provision that allows holders of the Notes to require the Company to repurchase all or any part of the Notes if a change of control triggering event occurs. Under this provision, the repurchase of the Notes will occur at a purchase price of 101% of the outstanding principal amount, plus accrued and unpaid interest, if any, on such Notes to the date of repurchase. The Notes are classified as long-term debt in the Company's Consolidated Balance Sheet at December 31, 2010 based on their 2020 maturity date.

In March 2009, the Company completed the offering and sale of $300.0 million aggregate principal amount of 10.60% senior unsecured notes with a maturity of April 2019 (the "10.60% Notes"). Interest on the Notes is payable semi-annually on April 15 and October 15. The Company realized net proceeds from the offering of the 10.60% Notes of $290.2 million, which were used to complete the 2009 Tender Offers (as such term is defined below) and for general corporate purposes. In connection with the Plan, the Company conducted and completed a cash tender offer (the "Tender Offer") in August 2010 through which it repurchased $279.3 million of the $300.0 million aggregate principal amount outstanding of 10.60% Notes. The Company repurchased the 10.60% Notes at a fixed cash purchase price of $1,437.50 per $1,000 principal amount of the Notes and also paid all accrued and unpaid interest on the Notes repurchased pursuant to the Tender Offer. As a result of premiums paid and fees incurred associated with the Tender Offer and the write-off of unamortized issuance costs, the Company recorded a pretax loss of $131.4 million, which is reflected in losses related to extinguishments of debt in the Consolidated Statements of Operations for the year ended December 31, 2010. The $402.2 million cash paid to complete the Tender Offer is included as payments on and for the settlement of notes payable and debt in the Consolidated Statement of Cash Flows for the year ended December 31, 2010. The remaining $20.7 million principal amount outstanding of the 10.60% Notes is classified as long-term debt due to its maturity in 2019.

In 2009, the Company conducted and completed tender offers through which it repurchased $180.1 million of the $250.0 million aggregate principal amount outstanding of 4.625% notes due December 2009 and $144.9 million of the $250.0 million aggregate principal amount outstanding of 4.000% notes due May 2010 (the "2009 Tender Offers"). As a result of premiums paid and fees incurred associated with the 2009 Tender Offers, the Company recorded a pretax loss of $4.7 million, which is included in losses related to extinguishments of debt in the Consolidated Statements of Operations for the year ended December 31, 2009. The $329.7 million paid to complete the 2009 Tender Offers is included as payments on and for the settlement of notes payable and debt in the Consolidated Statement of Cash Flows for the year ended December 31, 2009. The Company repaid the remaining $69.9 million principal amount outstanding of the $250.0 million 4.625% notes in December 2009 and the remaining $105.1 million principal amount outstanding of the $250.0 million 4.000% notes in May 2010.

In March 2008, the Company completed the offering and sale of senior unsecured notes, consisting of $500.0 million in 5.50% senior unsecured notes with a maturity of April 15, 2013 and $250.0 million in 6.25% senior unsecured notes with a maturity of April 15, 2018 (collectively, the "Senior Unsecured Notes"). Interest on the Senior Unsecured Notes is payable semi-annually on April 15 and October 15. Net proceeds from this offering were used to fund acquisitions, repay debt and for general corporate purposes. The Senior Unsecured Notes are unsecured and unsubordinated obligations of the Company and equally ranked with all of its existing and future senior unsecured debt. The Senior Unsecured Notes may be redeemed by the Company at any time, in whole or in part, at a redemption price plus accrued interest to the date of redemption. The redemption price is equal to the greater of (i) 100% of the principal amount of the Senior Unsecured Notes being redeemed or (ii) the sum of the present values of the remaining scheduled payments of principal and interest thereon (not including any portion of any payments of interest accrued through the date of the redemption), discounted to the date of redemption on a semi-annual basis at a specified rate. The Senior Unsecured Notes also contain a provision that allows holders of the Senior Unsecured Notes to require the Company to repurchase all or any part of the Senior Unsecured Notes if a change of control triggering event occurs. Under this provision, the repurchase of the Senior Unsecured Notes will occur at a purchase price of 101% of the outstanding principal amount, plus accrued and unpaid interest, if any, on such Senior Unsecured Notes to the date of purchase. The Senior Unsecured Notes are classified as long-term debt in the Company's Consolidated Balance Sheet at December 31, 2010 and 2009 based on their April 2013 and April 2018 maturity dates.

In July 2008, note holders owning $65.0 million of the Company's $75.0 million of outstanding medium-term notes, issued in July 1998 and due July 2028, exercised their put option, which entitled the holders of the notes to require the Company to repay the notes at par. As a result, the Company repaid $65.0 million of the outstanding notes in July 2008. The remaining $10.0 million were not put to the Company and continue to bear interest at 6.11% through maturity in July 2028. The Company utilized its commercial paper program to fund the redemption of the notes. The $10.0 million of outstanding notes are classified as long-term debt in the Company's Consolidated Balance Sheet at December 31, 2010 and 2009 based on their July 2028 maturity date.

In July 2008, the Company redeemed its $250.0 million of Reset notes due July 2028, and recorded a loss on the extinguishment of the Reset notes of $52.2 million associated with the purchase of the remarketing option embedded in the Reset notes. The Company utilized its commercial paper program to fund the redemption of the Reset notes and the purchase of the remarketing option. The loss on extinguishment of $52.2 million is included in losses related to extinguishments of debt in the Consolidated Statement of Operations for the year ended December 31, 2008. The $302.2 million aggregate amount paid to redeem the Reset notes is included as payments on and for the settlement of notes payable and debt in the Consolidated Statement of Cash Flows for the year ended December 31, 2008. The Company did not have any Reset notes outstanding as of December 31, 2010 or 2009.

As of December 31, 2010, the Company has one additional series of medium-term notes with aggregate principal amount of $250.0 million outstanding with a coupon rate of 6.75% that matures in March 2012.

Term Loan

In September 2008, the Company entered into a $400.0 million credit agreement (the "Agreement"), under which the Company received an unsecured three-year term loan in the amount of $400.0 million (the "Term Loan"). The Company repaid $100.0 million of the principal amount of the Term Loan in September 2010 and made a $100.0 million prepayment of the principal amount in December 2010. As of December 31, 2010, the Company is required to repay the remaining outstanding principal amount of $150.0 million in September 2011, the maturity date. Borrowings under the Agreement bear interest at a rate of LIBOR plus a spread that is determined based on the credit rating of the Company, and interest is payable no less frequently than monthly. The $150.0 million of outstanding borrowings under the Agreement at December 31, 2010 bear interest at the rate of 2.3%. The Agreement has covenants similar to those in the Company's syndicated revolving credit facility, including, among other things, the maintenance of interest coverage and total indebtedness to total capital ratios and a limitation on the amount of indebtedness subsidiaries may incur, and the Company was in compliance with such covenants as of December 31, 2010. Net proceeds from the Term Loan were used to repay outstanding commercial paper and for general corporate purposes.

Convertible Notes

In March 2009, the Company issued $345.0 million of Convertible Notes. The Convertible Notes bear interest at a rate of 5.5% per year, which is payable semi-annually, and the Convertible Notes mature on March 15, 2014. The Convertible Notes are convertible at an initial conversion rate of 116.198 shares of the Company's common stock per $1,000 principal amount of Convertible Notes (representing an initial conversion price of approximately $8.61 per share of common stock), subject to adjustment in certain circumstances. Upon conversion, a holder will receive cash up to the aggregate principal amount of the Convertible Notes converted, and cash, shares of common stock or a combination thereof (at the Company's election) in respect of the conversion value above the Convertible Notes' principal amount, if any. The Company entered into convertible note hedge transactions upon issuance to reduce the Company's cost of the conversion option (see Footnote 10). Net proceeds from this offering were used to complete the convertible note hedge transactions and the 2009 Tender Offers and to repay debt and for general corporate purposes.

Accounting standards require the Company, as issuer of the Convertible Notes, to separately account for the liability and equity components of the Convertible Notes in a manner that reflects the Company's nonconvertible debt borrowing rate at the date of issuance when interest cost is recognized in subsequent periods. The Company allocated $69.0 million of the $345.0 million principal amount of the Convertible Notes to the equity component, which represents a discount to the debt to be amortized into interest expense using the effective interest method through the maturity of the Convertible Notes. Accordingly, the Company's effective interest rate on the Convertible Notes was 10.8%.

In August 2010, in connection with the Plan, the Company commenced an exchange offer for its $345.0 million outstanding principal amount of the Convertible Notes, for newly issued shares of its common stock and cash (the "Exchange Offer"). In accordance with the terms of the Exchange Offer, for each $1,000 principal amount of the Convertible Notes offered for exchange, a holder received 116.198 shares of the Company's common stock, a cash payment of $160, and accrued and unpaid interest up to the settlement date. In the aggregate, the holders of Convertible Notes offered to exchange $324.7 million principal amount of the Convertible Notes. The Company paid approximately $52.0 million in cash and also issued approximately 37.7 million shares of the Company's common stock for all the Convertible Notes validly offered for exchange pursuant to the Exchange Offer. The Company determined that the fair value of total consideration (including cash) paid to the holders of Convertible Notes, using the fair market value of common stock at settlement, was $690.0 million. In accordance with the applicable authoritative accounting guidance, the Company determined the fair value of the liability component of the Convertible Notes received in the Exchange Offer, with the residual value representing the equity component. The excess of the fair value of the liability component, or $356.0 million, over the carrying value of the Convertible Notes exchanged, $275.5 million, was recognized as a loss related to the extinguishment of debt. Including fees incurred associated with the Exchange Offer and the write-off of unamortized issuance costs, the Company recorded a pretax loss of $87.2 million upon the settlement of the Exchange Offer, which is included in losses related to extinguishments of debt in the Consolidated Statements of Operations for the year ended December 31, 2010.

Because the last reported sale price of the Company's common stock exceeded $11.19 for at least 20 of the last 30 consecutive trading days in the three months ended December 31, 2009 and in the three months ended December 31, 2010, the Convertibles Notes are convertible at the election of the holders of the Convertible Notes at any time during the three months immediately succeeding December 31, 2010. Since conversion of the Convertible Notes is outside the control of the Company at both December 31, 2010 and 2009, the discounted value of the outstanding Convertible Notes ($20.3 million and $345.0 million principal amount at December 31, 2010 and 2009, respectively) are classified as current portion of long-term debt in the Consolidated Balance Sheets at December 31, 2010 and 2009.

Receivables-Related Borrowings

In September 2009, the Company completed a 364-day receivables facility that provides for borrowings of up to $200.0 million (the "Receivables Facility"), and the maturity date of the Receivables Facility was extended in 2010 such that it expires in September 2011. Under the Receivables Facility, the Company and certain operating subsidiaries (collectively, "the Originators") sell their receivables to a financing subsidiary as the receivables are originated. The financing subsidiary is wholly owned by the Company and is the owner of the purchased receivables and the borrower under the facility. The assets of the financing subsidiary are restricted as collateral for the payment of debt or other obligations arising under the facility, and the financing subsidiary's assets and credit are not available to satisfy the debts and obligations owed to the Company's or any other Originator's creditors. The Company includes the financing subsidiary's assets, liabilities and results of operations in its consolidated financial statements. The Receivables Facility requires, among other things, that the Company maintain certain interest coverage and total indebtedness to total capital ratios, and the Company was in compliance with such requirements as of December 31, 2010. As of December 31, 2010, $642.1 million of outstanding accounts receivable were owned by the financing subsidiary, and these amounts are included in accounts receivable, net in the Company's Consolidated Balance Sheet at December 31, 2010. The amount that may be borrowed under the Receivables Facility is subject to various limitations based on the character of the receivables owned by the financing subsidiary. As of December 31, 2010, the Company had outstanding borrowings under the Receivables Facility of $100.0 million, which are classified as short-term debt, and the Company had $100.0 million available for borrowing under the Receivables Facility. The $100.0 million of outstanding borrowings under the Receivables Facility at December 31, 2010 bear interest at a weighted-average rate of 1.3%.

Under a 2001 receivables facility with a financial institution, the Company created a financing entity that is consolidated in the Company's financial statements. Under this facility, the Company regularly entered into transactions with the financing entity to sell an undivided interest in substantially all of the Company's U.S. trade receivables to the financing entity. In September 2006, in accordance with the terms of the facility, the financing entity caused its outstanding preferred debt securities which were owned by the Company to be exchanged for a two-year floating rate note in an aggregate principal amount of $448.0 million (the "Note") and other consideration. In 2008 the maturity date of the Note was extended from September 2008 to September 2009, and the Note was repaid in September 2009, at which time the Company was able to access the financing entity's receivables that secured the Note.

Revolving Credit Facility and Commercial Paper

On November 14, 2005, the Company entered into a syndicated revolving credit facility (the "Revolver"). The Company currently has $665.0 million available for borrowing under the Revolver, which expires in November 2012. At December 31, 2010 and 2009, there were no borrowings under the Revolver. The Revolver permits the Company to borrow funds on a variety of interest rate terms. The Revolver requires, among other things, that the Company maintain certain interest coverage and total indebtedness to total capital ratios, as defined in the agreement. The Revolver also limits the amount of indebtedness subsidiaries may incur. As of December 31, 2010, the Company was in compliance with the provisions of the agreement governing the Revolver.

In lieu of borrowings under the Revolver, the Company may issue up to $665.0 million of commercial paper. The Revolver provides the committed backup liquidity required to issue commercial paper; however, access to the commercial paper markets is dependent on the Company's short-term debt credit ratings. Accordingly, commercial paper may be issued only up to the amount available for borrowing under the Revolver. As of December 31, 2010, the Company had outstanding commercial paper obligations of $34.0 million, and there was no commercial paper outstanding as of December 31, 2009. The Revolver also provides for the issuance of up to $100.0 million of standby letters of credit so long as there is a sufficient amount available for borrowing under the Revolver. There were no standby letters of credit issued or outstanding under the Revolver as of December 31, 2010 and 2009.

Junior Convertible Subordinated Debentures

In 1997, a 100% owned finance subsidiary (the "Subsidiary") of the Company issued 10.0 million shares of 5.25% convertible preferred securities (the "Preferred Securities"). Holders of the Preferred Securities are entitled to cumulative cash dividends of 5.25% of the liquidation preference of $50 per Preferred Security, or $2.625 per year. Each of these Preferred Securities is convertible into 0.9865 of a share of the Company's common stock. During 2005 and 2004, the Company purchased an aggregate of 1.6 million shares of its Preferred Securities from holders at an average price of $45.27 per share ($71.3 million). As of December 31, 2010, the Company fully and unconditionally guarantees the 8.4 million shares of the Preferred Securities issued by the Subsidiary that were outstanding as of that date, which are callable at 100% of the liquidation preference of $421.2 million.

The proceeds received by the Subsidiary from the issuance of the Preferred Securities were invested in the Company's 5.25% Junior Convertible Subordinated Debentures (the "Debentures"). In addition, the Subsidiary received approximately $15.5 million of the Company's Debentures as payment for $15.5 million the Company borrowed from the Subsidiary to purchase 100% of the common equity interests in the Subsidiary. As a result, the Company issued an aggregate of $515.5 million of Debentures, and the Subsidiary is the sole holder of the Debentures. The Debentures are the sole assets of the Subsidiary, mature on December 1, 2027, bear interest at an annual rate of 5.25%, are payable quarterly and became redeemable by the Company beginning in December 2001. The Company may defer interest payments on the Debentures for a period of up to 20 consecutive quarters, during which period distribution payments on the Preferred Securities are also deferred. Under this circumstance, the Company may not declare or pay any cash distributions with respect to its common or preferred stock or debt securities that do not rank senior to the Debentures. The Preferred Securities are mandatorily redeemable upon the repayment of the Debentures at maturity or upon acceleration of the Debentures. As of December 31, 2010, the Company has not elected to defer interest payments. In connection with the Company's purchase of the Preferred Securities in 2005 and 2004, the Company negotiated the early retirement of the corresponding Debentures with the Subsidiary. The Company accounted for these transactions as extinguishments of debt, which resulted in $436.7 million of Debentures outstanding as of December 31, 2010.

Convertible Note Hedge and Warrant Transactions	12 Months Ended
Convertible Note Hedge and Warrant Transactions	Dec. 31, 2010
Convertible Note Hedge and Warrant Transactions
Convertible Note Hedge and Warrant Transactions	FOOTNOTE 10 Convertible Note Hedge and Warrant Transactions In connection with the issuance of the Convertible Notes in March 2009, the Company entered into separate convertible note hedge transactions and warrant transactions with respect to the Company's common stock to minimize the impact of the potential dilution upon conversion of the Convertible Notes. The Company purchased call options in private transactions to cover 40.1 million shares of the Company's common stock at a strike price of $8.61 per share, subject to adjustment in certain circumstances, for $69.0 million. The call options generally allowed the Company to receive shares of the Company's common stock from counterparties equal to the number of shares of common stock payable to the holders of the Convertible Notes upon conversion. The Company also sold warrants permitting the purchasers to acquire up to 40.1 million shares of the Company's common stock at an exercise price of $11.59 per share, subject to adjustment in certain circumstances, in private transactions for total proceeds of $32.7 million. For each warrant that is exercised, the Company would deliver to the counterparties a number of shares of the Company's common stock equal to the amount by which the Company's stock price exceeds the exercise price, divided by the stock price. As of December 31, 2009, the estimated fair value of the call options and warrants was $306.7 million and $238.9 million, respectively. The Company analyzed the convertible note hedge transactions and warrant transactions and determined that they met the criteria for classification as equity transactions. As a result, the Company recorded the purchase of the call options as a reduction in additional paid-in capital, net of tax, and the proceeds from the warrants as an increase to additional paid-in capital, and the Company did not recognize subsequent changes in the fair value of the instruments in its financial statements. In September 2010, in connection with the Plan, the Company negotiated settlement of the convertible note hedge and warrants with the Company receiving $369.5 million from the counterparties for the value of the convertible note hedge and paying the counterparties $298.4 million for the warrants. As of December 31, 2010, the Company had completely settled the convertible note hedge and warrant transactions and recorded a net increase in additional paid-in capital of $71.1 million representing the net value associated with the settlement of the convertible note hedge and warrant transactions.

- Definition

Description of derivative instrument that require the company to deliver shares as part of a physical settlement or a net-share settlement or contracts that give the company a choice of (a) net-cash settlement or settlement in shares including net-share settlement or physical settlement that requires the company to deliver shares), or (b) net-share settlement or physical settlement that requires the company to deliver cash. In the case of an option contract indexed to the issuer's equity, disclose the option strike price, the number of issuer's shares to which the contract is indexed, the settlement date or dates of the contract, and the issuer's accounting for the contract (i.e., asset, liability, or equity). Describe the settlement alternatives and who controls the settlement alternatives and the maximum number of shares that could be required to be issued to net-share settle the contract. If a contract does not have a fixed or determinable maximum number of shares that may be required to be issued. Describe the contract's current fair value of settlement alternatives (in monetary or quantities of shares) and how changes in the price of the issuer's equity instruments affect those settlement amounts.

+ References+ Details

Derivative Financial Instruments

12 Months Ended

Dec. 31, 2010

Derivative Financial Instruments

Derivative Financial Instruments

FOOTNOTE 11

Derivative Financial Instruments

The use of financial instruments, including derivatives, exposes the Company to market risk related to changes in interest rates, foreign currency exchange rates and commodity prices. The Company enters into interest rate swaps related to debt obligations with maturity dates ranging from five to ten years. The Company uses interest rate swap agreements to manage its interest rate exposure and to achieve a desired proportion of variable and fixed-rate debt. These derivatives are designated as fair value hedges based on the nature of the risk being hedged. The Company also uses derivative instruments, such as forward contracts, to manage the risk associated with the volatility of future cash flows denominated in foreign currencies and changes in fair value resulting from changes in foreign currency exchange rates. The Company's foreign exchange risk management policy generally emphasizes hedging transaction exposures of one-year duration or less and hedging foreign currency intercompany financing activities with derivatives with maturity dates of one year or less. The Company uses derivative instruments to hedge various foreign exchange exposures, including the following: (i) variability in foreign currency-denominated cash flows, such as the hedges of inventory purchases for products produced in one currency and sold in another currency and (ii) currency risk associated with foreign currency-denominated operating assets and liabilities, such as forward contracts and other instruments that hedge cash flows associated with intercompany financing activities. Additionally, the Company purchases certain raw materials which are subject to price volatility caused by unpredictable factors. Where practical, the Company uses derivatives as part of its commodity risk management process. The Company reports its derivative positions in the Consolidated Balance Sheets on a gross basis and does not net asset and liability derivative positions with the same counterparty. The Company monitors its positions with, and the credit quality of, the financial institutions that are parties to its financial transactions.

Derivative instruments are accounted for at fair value. The accounting for changes in the fair value of a derivative depends on the intended use and designation of the derivative instrument. For a derivative instrument that is designated and qualifies as a fair value hedge, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk is recognized in current earnings. For derivative instruments that are designated and qualify as cash flow hedges, the effective portion of the gain or loss on the derivative is initially reported as a component of accumulated other comprehensive income (loss) ("AOCI"), net of tax, and is subsequently reclassified into earnings when the hedged transaction affects earnings. The ineffective portion of the gain or loss is recognized in current earnings. For derivatives designated as qualifying hedges of net investments, the gain or loss on the instruments is recognized in AOCI. Gains and losses from changes in fair values of derivatives that are not designated as hedges for accounting purposes are recognized currently in earnings, and such amounts were not material for the years ended December 31, 2010, 2009 and 2008.

The following table summarizes the Company's outstanding derivative instruments and their effects on the Consolidated Balance Sheets as of December 31, 2010 and 2009 (in millions):


		Assets					Liabilities
Derivatives designated as hedging instruments	Balance Sheet Location	2010 Fair Value		2009 Fair Value		Balance Sheet Location	2010 Fair Value		2009 Fair Value
Interest rate swaps	Other assets		$42.3		$20.9	Other noncurrent liabilities		$—		$2.5
Foreign exchange contracts on inventory-related purchases	Prepaid expenses and other		1.4		0.6	Other accrued liabilities		2.0		1.5
Foreign exchange contracts on intercompany borrowings	Prepaid expenses and other		1.2		0.7	Other accrued liabilities		—		—

Total assets			$44.9		$22.2	Total liabilities		$2.0		$4.0

The fair values of outstanding derivatives that are not designated as hedges for accounting purposes were not material as of December 31, 2010 and 2009. The Company is a party to an interest rate swap in an asset position; in the event the interest rate swap is in a liability position, settlement could be accelerated if the Company's credit rating falls below investment-grade. The Company is not a party to any derivatives that require collateral to be posted prior to settlement.

Fair Value Hedges

The pretax effects of derivative instruments designated as fair value hedges on the Company's Consolidated Statements of Operations for the years ended December 31, 2010 and 2009 were as follows (in millions):


	Location of gain (loss) recognized in income	Amount of gain (loss) recognized in income
Derivatives in fair value relationships	Location of gain (loss) recognized in income	2010	2009
Interest rate swaps	Interest expense, net	$23.9	$(43.9)

Fixed-rate debt	Interest expense, net	$(23.9)	$43.9

The Company did not record any ineffectiveness related to fair value hedges during the years ended December 31, 2010 and 2009.

Cash Flow Hedges

The pretax effects of derivative instruments designated as cash flow hedges on the Company's Consolidated Statements of Operations and AOCI for the years ended December 31, 2010 and 2009 were as follows (in millions):


Derivatives in cash flow hedging relationships	Location of gain (loss) recognized in income	Amount of gain (loss) reclassified from AOCI into income		Amount of gain (loss) recognized in AOCI

		2010	2009	2010	2009
Foreign exchange contracts on inventory-related purchases	Cost of products sold	$(1.8)	$(2.6)	$(1.4)	$(9.5)
Foreign exchange contracts on intercompany borrowings	Interest expense, net	0.5	2.5	4.3	7.7

		$(1.3)	$(0.1)	$2.9	$(1.8)

The Company did not record any ineffectiveness related to cash flow hedges during the years ended December 31, 2010 and 2009.

The Company received approximately $3.8 million to settle foreign exchange contracts on intercompany borrowings during the year ended December 31, 2010 and paid approximately $109.0 million to settle foreign exchange contracts on intercompany borrowings during the year ended December 31, 2009. Such amounts are included in changes in accrued liabilities and other in the Consolidated Statements of Cash Flows for the years ended December 31, 2010 and 2009.

The Company estimates that during the next 12 months it will reclassify net losses of approximately $0.5 million included in the pretax amount recorded in AOCI as of December 31, 2010 into earnings, as the anticipated cash flows occur.

Net Investment Hedges

The Company enters into cross-currency interest rate swaps associated with investments and intercompany borrowings designated as investments in non-U.S. subsidiaries. Effective changes in the fair value of the currency agreements resulting from changes in the spot non-U.S. currency exchange rate are recognized in AOCI in the Consolidated Balance Sheets to offset the change in the carrying value of the investment being hedged. Any changes in the fair value of these hedges that are the result of ineffectiveness are recognized immediately in interest expense, net in the Consolidated Statements of Operations.

The following table summarizes the pre-tax effects of instruments outstanding during the years ended December 31, 2010 and 2009 designated as hedges of investments (in millions):


Derivatives in cash flow hedging relationships	Amount of gain (loss) reclassified from AOCI into income		Amount of gain (loss) recognized in AOCI

	2010	2009	2010	2009
Cross-currency interest rate swaps	$—	$—	$—	$(4.4)

The Company paid approximately $17.6 million to settle cross-currency interest rate swaps during the year ended December 31, 2009, and such amount is included in changes in accrued liabilities and other in the Consolidated Statements of Cash Flows for the year ended December 31, 2009. As of and during the year ended December 31, 2010 and as of December 31, 2009, the Company was not a party to any cross-currency interest rate swaps.

The Company did not record any ineffectiveness related to derivative and non-derivative instruments designated as hedges of investments during the years ended December 31, 2010 and 2009.

Commitments

12 Months Ended

Dec. 31, 2010

Commitments

Commitments

FOOTNOTE 12

Commitments

Lease Commitments

The Company leases manufacturing, warehouse and other facilities, real estate, transportation, and data processing and other equipment under leases that expire at various dates through the year 2020. Rent expense, which is recognized on a straight-line basis over the life of the lease term, was $122.7 million, $120.2 million and $129.2 million in 2010, 2009 and 2008, respectively.

Future minimum rental payments for operating leases with initial or remaining terms in excess of one year are as follows as of December 31, 2010 (in millions):


2011	2012	2013	2014	2015	Thereafter	Total
$ 97.2	$ 80.5	$ 59.6	$ 48.0	$ 41.4	$ 87.9	$ 414.6

Purchase Obligations

The Company enters into certain obligations to purchase finished goods, raw materials, components and services pursuant to legally enforceable and binding obligations, which include all significant terms.

As of December 31, 2010, the Company's future estimated total purchase obligations are as follows (in millions):


2011	2012	2013	Total
$ 511.0	$ 64.6	$ 66.6	$ 642.2

Employee Benefit and Retirement Plans

12 Months Ended

Dec. 31, 2010

Employee Benefit and Retirement Plans

Employee Benefit and Retirement Plans

FOOTNOTE 13

Employee Benefit and Retirement Plans

The Company and its subsidiaries have noncontributory pension, profit sharing and contributory 401(k) plans covering substantially all of their international and domestic employees. Plan benefits are generally based on years of service and/or compensation. The Company's funding policy is to contribute not less than the minimum amounts required by the Employee Retirement Income Security Act of 1974, as amended, the Internal Revenue Code of 1986, as amended, or foreign statutes to assure that plan assets will be adequate to provide retirement benefits.

Included in AOCI at December 31, 2010 is $662.5 million ($425.4 million net of tax) related to net unrecognized actuarial losses and unrecognized prior service credit that have not yet been recognized in net periodic pension cost. The Company expects to recognize $17.0 million ($10.4 million net of tax) of costs in 2011 associated with net actuarial losses and prior service credit.

Effective January 1, 2008, the Company prospectively adopted updated authoritative guidance applicable to the measurement date provisions for defined benefit plans, which requires the measurement date for defined benefit plan assets and obligations to coincide with the date of the employer's fiscal year-end balance sheets, which for the Company is December 31. The Company had historically measured defined benefit plan assets and liabilities for the majority of its plans on September 30 for its year-end Consolidated Balance Sheets. The impact on the Consolidated Financial Statements of the adoption of the change in measurement date for the Company's defined benefit and postretirement plans with September 30 plan year-ends resulted in an adjustment to decrease retained earnings at January 1, 2008 by $1.1 million and an after-tax benefit to AOCI of $0.7 million.

The Company's tax-qualified defined benefit pension plan is frozen for the entire non-union U.S. work force, and the Company has replaced the defined benefit pension plan with an additional defined contribution benefit. The defined contribution benefit has a three-year cliff-vesting schedule. The Company recorded $17.9 million, $17.3 million and $19.4 million in expense for the defined contribution benefit arrangement for 2010, 2009 and 2008, respectively. The liability associated with the defined contribution benefit arrangement as of December 31, 2010 and 2009 is $17.9 million and $17.3 million, respectively, and is included in other accrued liabilities in the Consolidated Balance Sheets.

As of December 31, 2010 and 2009, the Company maintained various non-qualified deferred compensation plans with varying terms. The total liability associated with these plans was $70.8 million and $69.8 million as of December 31, 2010 and 2009, respectively. These liabilities are included in other noncurrent liabilities in the Consolidated Balance Sheets. These plans are partially funded with asset balances of $51.8 million and $46.2 million as of December 31, 2010 and 2009, respectively. These assets are included in other assets in the Consolidated Balance Sheets.

The Company has a Supplemental Executive Retirement Plan ("SERP"), which is a nonqualified defined benefit plan pursuant to which the Company will pay supplemental pension benefits to certain key employees upon retirement based upon the employees' years of service and compensation. The SERP is partially funded through a trust agreement with the Northern Trust Company, as trustee, that owns life insurance policies on approximately 350 active and former key employees with aggregate net death benefits of $302.3 million. At December 31, 2010 and 2009, the life insurance contracts had a cash surrender value of $99.8 million and $97.1 million, respectively. The SERP is also partially funded through cash and mutual fund investments, which had a combined value of $15.3 million and $14.5 million at December 31, 2010 and 2009, respectively. These assets, as well as the cash surrender value of the life insurance contracts, are included in other assets in the Consolidated Balance Sheets. The projected benefit obligation was $110.5 million and $98.7 million at December 31, 2010 and 2009, respectively. The SERP liabilities are included in the pension table below; however, the value of the Company's investments in the life insurance contracts, cash and mutual funds are excluded from the table as they do not qualify as plan assets under the relevant authoritative guidance.

The Company's matching contributions to the contributory 401(k) plan were $12.9 million, $14.0 million and $15.9 million for 2010, 2009 and 2008, respectively.

Defined Benefit Pension Plans

The following provides a reconciliation of benefit obligations, plan assets and funded status of the Company's noncontributory defined benefit pension plans, including the SERP, as of December 31, (in millions, except percentages):


	U.S.						International

	2010			2009			2010			2009

Change in benefit obligation:
Benefit obligation at beginning of year	$	910.8		$	863.7		$	499.8		$	391.6
Service cost		4.0			4.8			4.8			4.9
Interest cost		50.6			52.1			26.6			24.5
Actuarial (gain) loss		67.2			49.3			(2.2	)		71.6
Currency translation		—			—			(19.9	)		35.0
Benefits paid		(63.0	)		(59.1	)		(31.7	)		(22.5)
Curtailments, settlement costs and other		—			—			5.2			(5.3)

Benefit obligation at end of year	$	969.6		$	910.8		$	482.6		$	499.8

	U.S.						International

	2010			2009			2010			2009

Change in plan assets:
Fair value of plan assets at beginning of year	$	576.9		$	492.4		$	410.6		$	362.9
Actual return on plan assets		59.0			60.9			33.9			11.2
Acquisitions		—			—			—			—
Contributions		62.1			82.7			21.3			21.0
Currency translation		—			—			(13.7	)		36.5
Benefits paid		(63.0	)		(59.1	)		(31.7	)		(22.5)
Settlement charges and other		—			—			5.9			1.5

Fair value of plan assets at end of year	$	635.0		$	576.9		$	426.3		$	410.6

Funded status at end of year	$	(334.6	)	$	(333.9	)	$	(56.3	)	$	(89.2)

Amounts recognized in the Consolidated Balance Sheets:
Prepaid benefit cost, included in other assets	$	—		$	—		$	19.4		$	3.5
Accrued current benefit cost, included in other accrued liabilities		(7.7	)		(11.7	)		(4.0	)		(4.0)
Accrued noncurrent benefit cost, included in other noncurrent liabilities		(326.9	)		(322.2	)		(71.7	)		(88.7)

Total	$	(334.6	)	$	(333.9	)	$	(56.3	)	$	(89.2)

Amounts recognized in AOCI:
Prior service cost	$	(10.2	)	$	(11.5	)	$	—		$	—
Net loss		(576.5	)		(522.0	)		(61.6	)		(81.2)

AOCI, pretax	$	(586.7	)	$	(533.5	)	$	(61.6	)	$	(81.2)

Accumulated benefit obligation	$	964.1		$	904.2		$	474.3		$	489.1


	U.S.						International

	2010			2009			2010			2009

Weighted-average assumptions used to determine benefit obligation:
Discount rate		5.25	%		5.75	%		5.37	%		5.68%
Long-term rate of compensation increase		2.70	%		3.00	%		4.16	%		4.20%

Net pension cost includes the following components for the years ended December 31, (in millions, except percentages):


	U.S.									International

	2010			2009			2008			2010			2009			2008

Service cost-benefits earned during the year	$	4.0		$	4.8		$	4.5		$	4.8		$	4.9		$	6.6
Interest cost on projected benefit obligation		50.6			52.1			52.2			26.6			24.5			29.2
Expected return on plan assets		(57.5	)		(57.2	)		(57.7	)		(24.8	)		(22.2	)		(28.5)
Amortization of:
Prior service cost		1.3			1.3			1.3			—			—			—
Actuarial loss		11.3			8.3			7.1			2.0			0.1			3.6
Curtailment, settlement and termination benefit costs		—			—			—			3.2			1.3			—

Net pension cost	$	9.7		$	9.3		$	7.4		$	11.8		$	8.6		$	10.9


	U.S.									International

	2010			2009			2008			2010			2009			2008

Weighted-average assumptions used to determine net periodic benefit cost:
Discount rate		5.75	%		6.25	%		6.25	%		5.70	%		6.08	%		5.52%
Long-term rate of return on plan assets		8.25	%		8.50	%		8.50	%		6.32	%		5.65	%		6.77%
Long-term rate of compensation increase		3.00	%		4.00	%		4.00	%		4.22	%		3.83	%		4.31%

In 2011, the Company is required to make approximately $20 million of contributions to its primary U.S. pension plan and expects to make cash contributions of approximately $20 million to its international defined benefit pension plans.

Plan Assets

Current Allocation

The fair value of each major category of pension plan assets as of December 31, 2010 and 2009 is as follows (in millions):


	U.S.														International
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		% of Total Assets as of December 31,						Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		% of Total Assets as of December 31,
2010			Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		2010			2009					Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		2010			2009
Equity (1)
U.S. large cap	$	—	$	155.0	$	—	$	155.0							$	—	$	19.1	$	—	$	19.1
U.S. small cap		—		30.6		—		30.6								5.8		—		—		5.8
International		—		130.0		—		130.0								55.6		47.5		—		103.1

Total equity		—		315.6		—		315.6		50	%		53	%		61.4		66.6		—		128.0		30	%		18	%
Fixed income (2)
U.S. Treasury		—		71.5		—		71.5								—		—		—		—
Other government		—		31.4		—		31.4								17.3		—		—		17.3
Asset-backed securities		—		10.0		—		10.0								—		—		—		—
Corporate bonds		—		110.8		—		110.8								6.0		65.5		—		71.5
Short-term investments		—		7.9		—		7.9								—		—		—		—

Total fixed income				231.6		—		231.6		36			33			23.3		65.5		—		88.8		21			20
Insurance contracts (3)		—		17.5		—		17.5		3			3			—		100.8		—		100.8		24			26
Venture capital and partnerships (4)		—		2.4		42.7		45.1		7			6			17.0		18.6		4.7		40.3		9			7
Real estate (5)		—		—		19.2		19.2		3			3			2.2		1.5		6.0		9.7		2			2
Cash and cash equivalents (6)		—		5.5		—		5.5		1			1			5.3		34.2		—		39.5		9			24
Other		—		—		0.5		0.5		—			1			—		19.2		—		19.2		5			3

Total	$	—	$	572.6	$	62.4	$	635.0		100	%		100	%	$	109.2	$	306.4	$	10.7	$	426.3		100	%		100	%


	U.S.														International
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		% of Total Assets as of December 31,						Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		% of Total Assets as of December 31,
2009			Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		2009			2008					Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		2009			2008
Equity (1)
U.S. large cap	$	—	$	146.1	$	—	$	146.1							$	7.2	$	19.2	$	—	$	26.4
U.S. small cap		—		18.3		—		18.3								—		—		—		—
International		—		140.2		—		140.2								—		45.7		—		45.7

Total equity		—		304.6		—		304.6		53	%		53	%		7.2		64.9		—		72.1		18	%		20	%
Fixed income (2)
U.S. Treasury		—		28.1		—		28.1								—		1.2		—		1.2
Other government		—		49.8		—		49.8								4.6		15.1		—		19.7
Asset-backed securities		—		33.9		—		33.9								—		7.4		—		7.4
Corporate bonds		—		48.2		—		48.2								—		52.9		—		52.9
Short-term investments		—		30.2		—		30.2								—		—		—		—

Total fixed income				190.2		—		190.2		33			25			4.6		76.6		—		81.2		20			12
Insurance contracts (3)		—		17.9		—		17.9		3			4			—		105.6		—		105.6		26			5
Venture capital and partnerships (4)		—		4.3		32.9		37.2		6			8			14.6		12.3		2.0		28.9		7			6
Real estate (5)		—		—		18.8		18.8		3			7			2.9		1.6		6.4		10.9		2			2
Cash and cash equivalents (6)		—		3.7		—		3.7		1			1			25.3		74.6		—		99.9		24			39
Other		—		—		4.5		4.5		1			2			—		10.4		1.6		12.0		3			16

Total	$	—	$	520.7	$	56.2	$	576.9		100	%		100	%	$	54.6	$	346.0	$	10.0	$	410.6		100	%		100	%

(1)

Equity securities are primarily comprised of mutual funds and common/collective trust funds. Investments in mutual funds and common/collective trust funds are valued at the net asset value per share or unit multiplied by the number of shares or units held as of the measurement date. The common/collective trust funds are generally actively managed investment vehicles.

(2)

Fixed income investments are primarily comprised of mutual funds and common/collective trust funds that invest in corporate and government bonds. Investments in mutual funds and common/collective trust funds are valued at the net asset value per share or unit multiplied by the number of shares or units held as of the measurement date. The investments in fixed income securities include both actively managed funds and index funds.

(3)	The fair values of insurance contracts are estimated based on the future cash flows to be received under the contracts discounted to the present using a discount rate that approximates the discount rate used to measure the associated pension plan liabilities.

(4)	Venture capital and partnerships are valued at net asset value, which is generally calculated using the most recent partnership financial reports.

(5)

Real estate investments are generally investments in limited partnerships, real estate investment trusts and similar vehicles that invest in real estate. The values of the investments are generally based on the most recent financial reports of the investment vehicles. The managers of each of the investment vehicles estimate the values of the real estate assets underlying the real estate investments using third-party appraisals and other valuation techniques and analysis.

(6)	Cash and equivalents include investments in stable value funds. Stable value funds are generally invested in common trust funds and interest-bearing accounts.

A reconciliation of the change in the fair value measurement of the defined benefit plans' consolidated assets using significant unobservable inputs (Level 3) for the years ended December 31, 2010 and 2009 is as follows (in millions):


	Venture Capital and Partnerships		Real Estate			Other			Total

Fair value as of January 1, 2010		$34.9	$	25.2		$	6.1		$	66.2
Realized gains (losses)		—		—			(1.1	)		(1.1)
Unrealized gains (losses)		6.1		0.2			(2.8	)		3.5
Purchases, sales and settlements, net		6.4		(0.2	)		(1.7	)		4.5

Fair value as of December 31, 2010		$47.4	$	25.2		$	0.5		$	73.1


	Venture Capital and Partnerships		Real Estate			Other			Total

Fair value as of January 1, 2009		$33.2	$	36.9		$	12.5		$	82.6
Realized gains (losses)		—		0.6			(1.8	)		(1.2)
Unrealized gains (losses)		(4.6)		(9.0	)		(0.4	)		(14.0)
Purchases, sales and settlements, net		6.3		(3.3	)		(4.2	)		(1.2)

Fair value as of December 31, 2009		$34.9	$	25.2		$	6.1		$	66.2

Investment Strategy

The Company has established formal investment policies for the assets associated with its pension plans. The objectives of the investment strategies generally include maximizing long-term return at acceptable risk levels, diversifying among asset classes, if appropriate, as well as establishing relevant risk parameters within each asset class. Investment policies reflect the unique circumstances of the respective plans, and risk tolerance is established through consideration of plan liabilities, plan funded status and corporate financial condition. Asset allocation targets are based on periodic asset liability and/or risk budgeting study results which help determine the appropriate investment strategies for acceptable risk levels. The investment policies permit variances from the targets within certain parameters.

The target asset allocations for the Company's U.S. pension plan and primary international pension plans are as follows as of December 31, 2010:


Asset Category	Target
Asset Category	U.S.			International
Equity		45	%		23	%
Fixed income		40			14
Insurance contracts		5			24
Cash and equivalents		—			21
Other investments (1)		10			18

Total		100	%		100	%

(1)	Other investments include private equity funds, hedge funds and real estate funds.

Expected Long-term Rate of Return on Plan Assets

The Company employs a building block approach in determining the long-term rate of return for plan assets. Historical markets are studied and long-term historical relationships between equities and fixed income are preserved consistent with the widely accepted capital market principle that assets with higher volatility generate a greater return over the long run. Current market factors, such as inflation and interest rates, are evaluated before long-term capital market assumptions are determined. The long-term portfolio return is established giving consideration to investment diversification and rebalancing. Peer data and historical returns are reviewed to assess for reasonableness and appropriateness. The weighted-average expected long-term rates of return are based on reviews of the target investment allocation and the historical and expected rates of return of the asset classes included in the pension plans' target asset allocations.

Other Postretirement Benefit Plans

Several of the Company's subsidiaries currently provide retiree health care and life insurance benefits for certain employee groups. The following provides a reconciliation of benefit obligations and funded status of the Company's other postretirement benefit plans as of December 31, (in millions, except percentages):


	2010			2009

Change in benefit obligation:
Benefit obligation at beginning of year	$	168.1		$	162.5
Service cost		1.5			1.5
Interest cost		9.2			9.6
Actuarial loss		2.3			10.3
Benefits paid, net		(14.6	)		(15.8)

Benefit obligation at end of year	$	166.5		$	168.1

Funded status and net liability recognized at December 31	$	(166.5	)	$	(168.1)

Amounts recognized in the Consolidated Balance Sheets:
Accrued current benefit cost, included in other accrued liabilities	$	(15.1	)	$	(16.0)
Accrued noncurrent benefit cost, included in other noncurrent liabilities		(151.4	)		(152.1)

Total	$	(166.5	)	$	(168.1)

Amounts recognized in AOCI:
Prior service credit	$	13.3		$	15.7
Net loss		(27.5	)		(26.1)

AOCI, pretax	$	(14.2	)	$	(10.4)


	2010		2009

Weighted-average assumptions used to determine benefit obligation:
Discount rate		5.25%		5.75%
Long-term health care cost trend rate		4.50%		4.50%

There are no plan assets associated with the Company's other postretirement benefit plans.

Other postretirement benefit costs include the following components for the years ended December 31, (in millions):


	2010			2009			2008

Service cost-benefits earned during the year	$	1.5		$	1.5		$	1.6
Interest cost on projected benefit obligation		9.2			9.6			9.6
Amortization of:
Prior service benefit		(2.4	)		(2.4	)		(2.4)
Actuarial loss		0.9			—			—

Net postretirement benefit costs	$	9.2		$	8.7		$	8.8

The weighted-average discount rate for the Company's other postretirement benefit plans is developed using a spot interest yield curve based on a broad population of corporate bonds rated AA or higher. The following are the weighted-average assumptions used to determine net periodic benefit cost for the other postretirement benefit plans for the years ended December 31,:


	2010			2009			2008

Weighted-average assumptions used to determine net periodic benefit cost:
Discount rate		5.75	%		6.25	%		6.25%
Long-term health care cost trend rate		4.50	%		5.00	%		5.00%

Assumed health care cost trends have been used in the valuation of the benefit obligations for postretirement benefits. The trend rate used to measure the benefit obligation was 7.6% for all retirees in 2010, declining to 4.5% in 2028 and thereafter.

The health care cost trend rate significantly affects the reported postretirement benefit costs and obligations. A one-percentage point change in the assumed rate would have the following effects (in millions):


	1% Increase	1% Decrease
Effect on total of service and interest cost components	$ 1.0	$ (0.9)
Effect on postretirement benefit obligations	$ 16.5	$ (12.8)

Estimated Future Benefit Payments

Estimated future benefit payments under the Company's defined benefit pension plans and other postretirement benefit plans are as follows as of December 31, 2010 (in millions):


	2011		2012		2013		2014		2015		2016-2020

Pension benefits (1)	$	77.4	$	85.2	$	79.7	$	97.2	$	83.7	$	453.7
Other postretirement benefits	$	15.1	$	14.4	$	14.0	$	13.5	$	13.1	$	63.2

(1)	Certain pension benefit payments will be funded by plan assets.

The estimated other postretirement benefit payments are net of annual Medicare Part D subsidies of approximately $2.1 million per year. The Company expects to make direct cash benefit payments of approximately $15.1 million for its other postretirement benefit plans in 2011.

- Definition

Description containing the entire pension and other postretirement benefits disclosure as a single block of text.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 158

-Paragraph 7, 21, 22

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 5, 6, 7, 8

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 8

-Subparagraph m

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 106

-Paragraph 518

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 87

-Paragraph 264

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 5

-Subparagraph b

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 5

-Subparagraph a

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 5

-Subparagraph h

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 132R

-Paragraph 5

-Subparagraph q

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name FASB Staff Position (FSP)

-Number FAS106-2

-Paragraph 20, 21, 22

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Emerging Issues Task Force (EITF)

-Number 03-2

-Paragraph 8

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher AICPA

-Name Accounting Principles Board Opinion (APB)

-Number 30

-Paragraph 26

Reference 13: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Implementation Guide (Q and A)

-Number FAS88

-Paragraph 63

+ Details

Earnings per Share

12 Months Ended

Dec. 31, 2010

Earnings per Share

Earnings per Share

FOOTNOTE 14

Earnings per Share

On January 1, 2009, the Company retrospectively adopted the authoritative guidance which provides that unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and should be included in the computation of earnings per share. The retrospective adoption of the authoritative guidance impacted basic and diluted earnings (loss) per share for 2008, as follows:


	Loss per share from continuing operations			Loss per share- Controlling Interests

Loss per share, as reported	$	(0.19	)	$	(0.19	)
Adjustment attributable to participating securities		0.01			0.01

Loss per share, as adjusted	$	(0.18	)	$	(0.18	)

Net income (loss) attributable to participating securities, which consisted of certain of the Company's outstanding restricted stock awards and restricted stock units, was $3.1 million, $3.0 million and $(1.2) million for 2010, 2009 and 2008, respectively. The impact of the adoption of the authoritative guidance is included in the below calculation and reconciliation of basic and diluted earnings (loss) per share for the years ended December 31, (in millions, except per share data):


Numerator for basic earnings (loss) per share:		2010		2009		2008

Net income (loss) controlling interests	$	292.8	$	285.5	$	(52.3)
Loss from discontinued operations		—		—		0.5
Dividends and equivalents for share-based awards expected to be forfeited		0.1		0.2		0.6

Income (loss) from continuing operations for basic earnings (loss) per share		292.9		285.7		(51.2)
Loss from discontinued operations		—		—		(0.5)

Net income (loss) controlling interests for basic earnings (loss) per share	$	292.9	$	285.7	$	(51.7)

Numerator for diluted earnings (loss) per share:
Income (loss) from continuing operations for basic earnings (loss) per share	$	292.9	$	285.7	$	(51.2)
Effect of Preferred Securities (1)		—		—		—

Income (loss) from continuing operations for diluted earnings (loss) per share		292.9		285.7		(51.2)
Loss from discontinued operations		—		—		(0.5)

Net income (loss) controlling interests for diluted earnings (loss) per share	$	292.9	$	285.7	$	(51.7)

Denominator for basic and diluted earnings (loss) per share:
Weighted-average shares outstanding		279.3		277.7		277.0
Share-based payment awards classified as participating securities		3.1		3.1		2.9

Denominator for basic earnings (loss) per share		282.4		280.8		279.9
Dilutive securities (2)		2.5		1.1		—
Convertible Notes (3)		13.1		9.0		—
Warrants (4)		7.4		3.5		—
Preferred Securities (1)		—		—		—

Denominator for diluted earnings (loss) per share		305.4		294.4		279.9

Basic earnings (loss) per share:
Income (loss) from continuing operations	$	1.04	$	1.02	$	(0.18)
Loss from discontinued operations		—		—		—
Net income (loss) controlling interests	$	1.04	$	1.02	$	(0.18)
Diluted earnings (loss) per share:
Income (loss) from continuing operations	$	0.96	$	0.97	$	(0.18)
Loss from discontinued operations		—		—		—
Net income (loss) controlling interests	$	0.96	$	0.97	$	(0.18)

(1)

The Preferred Securities are anti-dilutive for all years presented, and therefore have been excluded from diluted earnings per share. Had the convertible preferred securities been included in the diluted earnings per share calculation, $14.0 million of expenses would have been added back to the net income (loss) for 2010, 2009 and 2008. Weighted-average shares outstanding would have increased by 8.3 million shares for 2010, 2009 and 2008.

(2)

Dilutive securities include "in the money" options, non-participating restricted stock units and performance share awards. The weighted-average shares outstanding for 2010, 2009 and 2008 exclude the effect of approximately 12.4 million, 13.2 million and 17.2 million stock options, respectively, because such options were anti-dilutive.

(3)

The Convertible Notes issued in March 2009 are dilutive to the extent the average price during the period is greater than $8.61, the conversion price of the Convertible Notes, and the Convertible Notes are only dilutive for the "in the money" portion of the Convertible Notes that could be settled with the Company's stock. The Convertible Notes were dilutive for 2010 and 2009, as the average price of the Company's common stock during the quarterly periods the Convertible Notes were outstanding was greater than $8.61. As disclosed in Footnote 9 of the Notes to Consolidated Financial Statements, $324.7 million of the $345.0 million principal amount of the Convertible Notes was extinguished in September 2010, and as such, dilution for 2010 takes into consideration the period of time the Convertible Notes were outstanding. The call options purchased in connection with the convertible note hedge transactions, which were settled in September 2010, had an equal and offsetting impact to the dilution associated with the Convertible Notes. However, because the impact of the purchased call options would reduce weighted-average shares outstanding by 13.1 million shares for 2010, the purchased call options are considered anti-dilutive securities. The authoritative accounting guidance does not permit anti-dilutive securities to be included in weighted-average shares outstanding despite their characteristics and economic impacts. In future periods, the remaining outstanding Convertible Notes could increase diluted average shares outstanding by a maximum of 2.4 million shares.

(4)

The warrants issued in March 2009 were dilutive for the period the warrants were outstanding during the years ended December 31, 2010 and 2009 because the average price of the Company's common stock during quarterly periods the warrants were outstanding was greater than $11.59, the exercise price of the warrants. As disclosed in Footnote 9 of the Notes to Consolidated Financial Statements, the warrants were settled during September 2010, and as such, dilution for 2010 takes into consideration the period of time the warrants were outstanding. Because the warrants have been settled, the warrants will not impact diluted average shares outstanding in future periods.

Stock-Based Compensation

12 Months Ended

Dec. 31, 2010

Stock-Based Compensation

Stock-Based Compensation

FOOTNOTE 15

Stock-Based Compensation

The Company offers stock-based compensation to its employees that includes stock options, restricted stock awards, and time-based and performance-based restricted stock units, as follows:

Stock Options

The Company has issued both nonqualified and incentive stock options at exercise prices equal to the Company's common stock price on the date of grant with contractual terms of ten years. Stock options issued by the Company generally vest and are expensed ratably over three to five years, except that in the case of termination due to death, disability or retirement at age 65 or older, options became fully vested and were exercisable for one year following termination. In 2008, the Company modified the retirement provisions applicable to future option grants so that in the case of retirement (as defined in the stock option agreement), options fully vest and are exercisable for a period of time depending on the employee's age and years of service. Stock option grants are generally subject to forfeiture if employment terminates prior to vesting, except upon retirement, in which case the options may remain outstanding and exercisable for the remaining contractual term of the option.

Restricted Stock and Time-Based Restricted Stock Units

Awards of restricted stock and restricted stock units are independent of stock option grants and are generally subject to forfeiture if employment terminates prior to vesting. The awards generally cliff-vest three years from the date of grant. In 2008, the Company modified the retirement provisions applicable to future restricted stock awards so that in the case of retirement at age 65 or older, the awards fully vest. With respect to future awards of restricted stock units, in the case of retirement (as defined in the award agreement), awards vest depending on the employee's age and years of service. Prior to vesting, ownership of restricted shares cannot be transferred. The restricted stock has the same dividend and voting rights as the common stock, and the time-based restricted stock units have rights to dividend equivalents payable in cash. The Company expenses the cost of restricted stock awards and restricted stock units ratably over the vesting period, which is generally three years.

Performance-Based Restricted Stock Units

Performance-based restricted stock unit awards represent the right to receive unrestricted shares of stock based on the achievement of Company performance objectives and/or individual performance goals established by the Organizational Development & Compensation Committee and the Board of Directors. In 2010 and 2009, the Company awarded approximately 0.9 million and 1.2 million performance-based restricted stock units, respectively, which entitle recipients to shares of the Company's stock at the end of a three-year vesting period if specified market conditions are achieved by the Company. The performance-based restricted stock units entitle recipients to shares of common stock equal to 0% up to 200% of the number of units granted at the vesting date, depending on the level of achievement of the specified conditions. Performance-based restricted stock units are not subject to the payment of dividend equivalents in the same manner as time-based restricted stock units. Rather, with respect to performance-based restricted stock units, dividend equivalents are credited to the recipient and are paid only to the extent the applicable performance criteria are met and the performance-based restricted stock units vest and the related stock is issued. In the case of retirement (as defined in the award agreement), awards vest depending on the employee's age and years of service.

Stock Plans

The Company's stock plans include plans adopted in 1993, 2003 and 2010. In 2010, a plan was approved by the Company's stockholders (the "2010 Plan"). Upon approval of the 2010 Plan, shares available for issuance of new awards under all plans other than the 2010 Plan were cancelled, and all future grants are required to be made from the 2010 Plan. The total number of shares of the Company's common stock that may be issued under the 2010 Plan may not exceed 21.0 million; however, stock awards and stock units for one share reduce availability under the 2010 Plan by 2¹/2 shares. The 2010 Plan generally provides for awards to vest over a minimum three-year period, except for performance-based grants, which may vest over a minimum of one year.

The following table depicts the number of shares authorized for issuance and availability under the 2010 Plan (shares in millions):


	2010 Plan
Authorized for issuance		21.0

Reserved for issuance of outstanding:
Options		—
Restricted stock awards/units		0.3
Performance-based restricted stock units		—

Shares available for issuance		20.2

As of December 31, 2010, the Company had 15.1 million and 1.2 million options outstanding under the 2003 plan and 1993 plan, respectively. In addition, the Company had 4.9 million restricted stock awards, restricted stock units and performance-based restricted stock units outstanding under the 2003 plan as of December 31, 2010.

The Company accounts for stock-based compensation pursuant to relevant authoritative guidance, which requires measurement of compensation cost for all stock awards at fair value on the date of grant and recognition of compensation, net of estimated forfeitures, over the requisite service period for awards expected to vest.

The table below summarizes the expense related to share-based payments for the years ended December 31, (in millions):


	2010		2009		2008

Stock options	$	13.9	$	14.4	$	16.9
Restricted stock		22.6		20.7		18.7

Stock-based compensation	$	36.5	$	35.1	$	35.6

Stock-based compensation, net of income tax benefit of $8.0 million, $5.3 million and $11.6 million in 2010, 2009 and 2008, respectively	$	28.5	$	29.8	$	24.0

The fair value of stock option awards granted during the years ended December 31, was estimated using the Black-Scholes option pricing model with the following weighted-average assumptions:


	2010		2009		2008
Risk-free interest rate		2.9%		2.2%		2.8%
Dividend yield		1.4%		5.2%		3.8%
Expected volatility		38%		35%		25%
Expected life (in years)		6.7		6.8		5.5

The Company considered the retirement and forfeiture provisions of the options and utilized its historical experience to estimate the expected life of the options and volatility.

The following summarizes the changes in the number of shares of common stock under option for the following periods (shares and aggregate intrinsic value in millions):


	Shares			Weighted- Average Exercise Price	Exercisable at End of Year		Weighted Average Exercise Price		Weighted- Average Fair Value of Options Granted During the Year		Aggregate Intrinsic Value

Outstanding at December 31, 2007		16.0		$ 27		7.3		$ 27			$	19.7
Granted		4.7		22						$ 4
Exercised		(0.1	)	23							$	0.1
Forfeited / expired		(4.2	)	27

Outstanding at December 31, 2008		16.4		$ 26		6.6		$ 27			$	—
Granted		3.2		8						$ 2
Forfeited / expired		(3.3	)	26

Outstanding at December 31, 2009		16.3		$ 22		7.6		$ 26			$	21.1
Granted		1.5		14						$ 5
Exercised		(0.1	)	9							$	0.5
Forfeited / expired		(1.4	)	23

Outstanding at December 31, 2010		16.3		$ 22		8.9		$ 26			$	35.4

Vested and expected to vest at December 31, 2010		15.9		$ 22

At December 31, 2010, the aggregate intrinsic value of exercisable options was $1.5 million.

The weighted-average remaining contractual life for options outstanding and options exercisable was six years and four years, respectively, as of December 31, 2010.

The following table summarizes the changes in the number of shares of restricted stock, restricted stock units and performance-based restricted stock units for the following periods (shares in millions):


	Shares		Weighted- average grant date fair value

Outstanding at December 31, 2007		2.6	$ 26
Granted		1.4	20
Vested		(0.4)	23
Forfeited		(0.4)	26

Outstanding at December 31, 2008		3.2	$ 24
Granted		2.8	8
Vested		(0.9)	24
Forfeited		(0.5)	22

Outstanding at December 31, 2009		4.6	$ 15
Granted		2.2	14
Vested		(1.1)	24
Forfeited		(0.5)	13

Outstanding at December 31, 2010		5.2	$ 13

Expected to vest at December 31, 2010		4.9	$ 13

During the years ended December 31, 2010 and 2009, the Company awarded approximately 0.9 million and 1.2 million performance-based restricted stock units, respectively, which entitle recipients to shares of the Company's common stock at the end of a three-year vesting period if specified market conditions are achieved. The performance-based restricted stock units entitle recipients to shares of common stock equal to 0% to 200% of the number of units granted at the vesting date depending on the level of achievement of the specified conditions. As of December 31, 2010, 1.8 million performance-based restricted stock units were outstanding, and based on performance through December 31, 2010, recipients of performance-based restricted stock units would be entitled to 2.7 million shares at the vesting date of the awards. The performance-based restricted stock units are included in the preceding table as if the participants earned shares equal to 100% of the units granted.

The following table summarizes the Company's total unrecognized compensation cost related to stock-based compensation as of December 31, 2010 (in millions):


	Unrecognized Compensation Cost	Weighted-Average Period of Expense Recognition (in years)

Stock options	$ 13.9	1
Restricted stock and time-based and performance-based restricted stock units	29.4	1

Total	$ 43.3

Income Taxes

12 Months Ended

Dec. 31, 2010

Income Taxes

Income Taxes

FOOTNOTE 16

Income Taxes

As of December 31, 2010 and 2009, the Company had unrecognized tax benefits of $96.8 million and $147.9 million, respectively. If recognized, $90.4 million and $141.4 million as of December 31, 2010 and 2009, respectively, would affect the effective tax rate. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits as a component of income tax expense. As of December 31, 2010 and 2009, the Company had recorded accrued interest and penalties related to the unrecognized tax benefits of $16.3 million and $43.7 million, respectively. During the years ended December 31, 2010 and 2009, the Company recognized income tax (benefit) expense of $(27.4) million and $8.7 million, respectively, due to the (reduction) increase in the reserves for interest and penalties.

The following table summarizes the changes in gross unrecognized tax benefits for the years ended December 31, (in millions):


	2010		2009

Unrecognized tax benefits balance at January 1,	$	147.9	$	135.0
Increase in tax positions for prior years		8.0		2.5
Decreases in tax positions for prior years		(41.9)		(0.1)
Increases in tax positions for current year		16.7		11.3
Settlements with taxing authorities		(31.1)		(0.8)
Lapse of statute of limitations		(2.8)		—

Unrecognized tax benefits balance at December 31,	$	96.8	$	147.9

The provision for income taxes consists of the following for the years ended December 31, (in millions):


	2010		2009		2008

Current:
Federal	$	(63.6)	$	56.4	$	(6.0)
State		(0.5)		8.1		4.7
Foreign		77.7		63.3		46.2

Total current		13.6		127.8		44.9
Deferred		(6.1)		14.9		8.7

Total provision	$	7.5	$	142.7	$	53.6

The non-U.S. component of income before income taxes was $246.9 million, $171.5 million and $208.4 million in 2010, 2009 and 2008, respectively.

A reconciliation of the U.S. statutory rate to the effective income tax rate is as follows for the years ended December 31,:


	2010			2009			2008

Statutory rate		35.0	%		35.0	%		35.0%
Add (deduct) effect of:
State income taxes, net of federal income tax effect		1.8			1.2			49.4
Foreign tax credit		(9.9	)		(7.3	)		(1,255.2)
Foreign rate differential and other		(4.0	)		2.5			620.8
Resolution of tax contingencies, net of increases		(19.8	)		(0.7	)		(570.7)
Tax basis differential on goodwill impairment		—			—			2,702.4
Valuation allowance reserve (decrease) increase		(2.4	)		0.9			(214.3)
Stock compensation		1.8			1.7			61.5

Effective rate		2.5	%		33.3	%		1,428.9%

The Company files numerous consolidated and separate income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The statute of limitations for the Company's U.S. federal income tax returns has expired for years prior to 2005. During the year ended December 31, 2010, the Company settled its 2005 and 2006 U.S. federal income tax return examinations, including all issues that were at the IRS Appeals Office, and as part of this settlement, entered into binding closing agreements relating to specific issues under examination, resulting in a reduction to the Company's unrecognized tax benefits in the amount of $63.6 million, including relevant penalties and interest. In addition, the Company's effective tax rate was favorably impacted by $8.2 million due to the reversal of certain tax reserves upon resolution of a tax examination and was adversely affected by $6.7 million due primarily to the write-off of deferred tax assets determined not to be realizable upon the vesting of equity-based compensation. The Company's Canadian income tax returns are subject to examination for years after 2003. With few exceptions, the Company is no longer subject to other income tax examinations for years before 2006.

It is reasonably possible that there could be a change in the amount of the Company's unrecognized tax benefits within the next 12 months due to activities of the IRS or other taxing authorities, including proposed assessments of additional tax, possible settlement of audit issues, or the expiration of applicable statutes of limitations. The range of the possible change in unrecognized tax benefits within the next 12 months cannot be reasonably estimated at December 31, 2010.

The components of net deferred tax assets are as follows as of December 31, (in millions):


	2010			2009

Deferred tax assets:
Accruals not currently deductible for tax purposes	$	187.2		$	180.9
Postretirement liabilities		69.2			60.3
Inventory reserves		—			3.7
Pension liabilities		97.2			88.4
Self-insurance liability		27.1			10.3
Foreign tax credit carryforward		139.6			97.1
Foreign net operating losses		321.5			275.8
Other		136.8			105.2

Total gross deferred tax assets		978.6			821.7
Less valuation allowance		(419.8	)		(320.2)

Net deferred tax assets after valuation allowance	$	558.8		$	501.5

Deferred tax liabilities:
Accelerated depreciation	$	(53.8	)	$	(89.9)
Amortizable intangibles		(283.3	)		(228.1)
Other		(3.9	)		—

Total gross deferred tax liabilities		(341.0	)		(318.0)

Net deferred tax assets	$	217.8		$	183.5

Current deferred income tax assets	$	179.2		$	183.8
Noncurrent deferred income tax assets (liabilities)		38.6			(0.3)

	$	217.8		$	183.5

The foreign tax credit carryforwards expire from 2014 to 2020, and a majority of the foreign net operating loss carryforwards do not expire except for $31.6 million expiring from 2016 to 2018. The increase in deferred tax asset valuation allowance relates predominantly to foreign jurisdictions where the Company maintains a full valuation allowance on all deferred tax assets. No U.S. deferred taxes have been provided on the undistributed non-U.S. subsidiary earnings that are considered to be indefinitely invested. At December 31, 2010, the estimated amount of total unremitted non-U.S. subsidiary earnings is $568.7 million. It is not practical to estimate the amount of U.S. tax that might be payable on the eventual remittance of such earnings.

Of the Company's $2.7 billion of goodwill at December 31, 2010, approximately $1.1 billion is deductible for tax purposes.

Other (Income) Expense, Net

12 Months Ended

Dec. 31, 2010

Other (Income) Expense, Net

Other (Income) Expense, Net

FOOTNOTE 17

Other (Income) Expense, Net

Other (income) expense, net consists of the following for the years ended December 31, (in millions):


	2010		2009		2008

Equity in earnings	$	(0.4)	$	(0.6)	$	(1.3)
Currency transaction (gain) loss		(7.0)		2.1		7.3
Other		—		0.5		0.9

	$	(7.4)	$	2.0	$	6.9

Fair Value

12 Months Ended

Dec. 31, 2010

Fair Value

Fair Value

FOOTNOTE 18

Fair Value

Accounting principles generally accepted in the U.S. define fair value as the price that would be received to sell an asset or transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The authoritative guidance discusses valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow), and the cost approach (cost to replace the service capacity of an asset or replacement cost). These valuation techniques are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's market assumptions. As the basis for evaluating such inputs, a three-tier value hierarchy prioritizes the inputs used in measuring fair value as follows:

•

Level 1: Observable inputs such as quoted prices for identical assets or liabilities in active markets.

•

Level 2: Observable inputs other than quoted prices that are directly or indirectly observable for the asset or liability, including quoted prices for similar assets or liabilities in active markets; quoted prices for similar or identical assets or liabilities in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable.

•

Level 3: Unobservable inputs that reflect the reporting entity's own assumptions.

Recurring Fair Value Measurements

The Company's financial assets and liabilities adjusted to fair value at least annually are its money market fund investments included in cash and cash equivalents, its mutual fund investments included in other assets, and its derivative instruments, which are primarily included in prepaid expenses and other, other assets, other accrued liabilities and other noncurrent liabilities.

The Company determines the fair value of its mutual fund investments based on quoted market prices (Level 1).

Level 2 fair value determinations are derived from directly or indirectly observable (market-based) information. Such inputs are the basis for the fair values of the Company's money market investments and derivative instruments. The money market investments held by the Company and included in cash and cash equivalents are not publicly traded, but the fair value is determined based on the values of the underlying investments in the money market fund (Level 2). The Company generally uses derivatives for hedging purposes pursuant to the relevant authoritative guidance, and the Company's derivatives are primarily foreign currency forward contracts and interest rate swaps. The Company determines the fair value of its derivative instruments based on Level 2 inputs in the fair value hierarchy.

The following tables present the Company's non-pension related financial assets and liabilities, which are measured at fair value on a recurring basis as of December 31, 2010 and 2009 (in millions):


Description	Fair Value as of December 31, 2010		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Money market fund investments (1)	$	10.5	$	—	$	10.5	$	—
Investment securities, including mutual funds (2)		22.7		7.4		15.3		—
Interest rate swaps		42.3		—		42.3		—
Foreign currency derivatives		2.6		—		2.6		—

Total	$	78.1	$	7.4	$	70.7	$	—

Liabilities
Foreign currency derivatives	$	2.0	$	—	$	2.0	$	—

Total	$	2.0	$	—	$	2.0	$	—


Description	Fair Value as of December 31, 2009		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Money market fund investments (1)	$	14.6	$	—	$	14.6	$	—
Investment securities, including mutual funds (2)		31.6		6.6		25.0		—
Interest rate swaps		20.9		—		20.9		—
Foreign currency derivatives		1.3		—		1.3		—

Total	$	68.4	$	6.6	$	61.8	$	—

Liabilities
Interest rate swaps	$	2.5	$	—	$	2.5	$	—
Foreign currency derivatives		1.5		—		1.5		—

Total	$	4.0	$	—	$	4.0	$	—

(1)

Investments in money market funds are classified as cash equivalents due to their short-term nature and the ability for them to be readily converted into cash. Investments in money market funds are valued at the net asset value per share or unit multiplied by the number of shares or units held as of the measurement date and, accordingly, have been classified as Level 2 investments.

(2)

The values of investment securities, including mutual funds, are classified as cash and cash equivalents ($7.4 million and $16.9 million at December 31, 2010 and 2009, respectively) and other assets ($15.3 million and $14.7 million at December 31, 2010 and 2009, respectively). For mutual funds that are publicly traded, fair value is determined on the basis of quoted market prices and, accordingly, these investments have been classified as Level 1. Other investment securities are valued at the net asset value per share or unit multiplied by the number of shares or units held as of the measurement date and have been classified as Level 2.

Nonrecurring Fair Value Measurements

The Company's nonfinancial assets, which are measured at fair value on a nonrecurring basis include property, plant and equipment, goodwill and other intangible assets. During the years ended December 31, 2010 and 2009, the Company recorded impairments of $6.0 million and $32.4 million, respectively, associated with plans to dispose of certain property, plant and equipment. The Company generally uses projected cash flows, discounted as necessary, to estimate the fair values of the impaired assets using key inputs such as management's projections of cash flows on a held-and-used basis (if applicable), management's projections of cash flows upon disposition and discount rates. Accordingly, these fair value measurements fall in Level 3 of the fair value hierarchy. These assets and certain liabilities are measured at fair value on a nonrecurring basis as part of the Company's impairment assessments and as circumstances require. During 2010 and 2009, no fair value measurements were recorded as a result of the Company's annual testing of impairment for goodwill and other indefinite-lived intangible assets.

Financial Instruments

The Company's financial instruments include cash and cash equivalents, accounts receivable, accounts payable, derivative instruments, convertible note hedge instruments, notes payable and short- and long-term debt. The carrying values for current financial assets and liabilities, including cash and cash equivalents, accounts receivable and accounts payable, approximate fair value due to the short maturity of such instruments. The fair values of the Company's derivative instruments are recorded in the Consolidated Balance Sheets and are disclosed in Footnote 11. The fair values of the Company's convertible note hedge instruments are disclosed in Footnote 10. The fair values of certain of the Company's short- and long-term debt are based on quoted market prices and are as follows (in millions):


	2010				2009
	Fair Value		Book Value		Fair Value		Book Value

Medium-term notes	$	1,650.7	$	1,623.0	$	1,520.7	$	1,426.6
Preferred securities underlying the junior convertible subordinated debentures		353.8		421.2		307.5		421.2
Convertible notes		45.5		17.5		660.3		284.3

The carrying amounts of all other significant debt, including the term loan, approximate fair value. The term loan is not publicly traded and accordingly, the fair value of this instrument was determined using a discounted cash flow model and market rates of interest as of December 31, 2010.

- Definition

This item represents the complete disclosure regarding the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments, assets, and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the Company is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risk is are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References+ Details

Industry Segment Information

12 Months Ended

Dec. 31, 2010

Industry Segment Information

Industry Segment Information

FOOTNOTE 19

Industry Segment Information

The Company's reportable segments are as follows:


Segment	Key Brands	Description of Primary Products
Home & Family	Rubbermaid^®, Graco^®, Aprica^®, Levolor^®, Calphalon^®, Goody^®	Indoor/outdoor organization, food storage and home storage products; infant and juvenile products such as car seats, strollers, highchairs and playards; drapery hardware, window treatments and cabinet hardware; gourmet cookware, bakeware, cutlery and small kitchen electrics; hair care accessories
Office Products	Sharpie^®, Expo^®, Dymo^®, Mimio^®, Paper Mate^®, Parker^®, Waterman^®	Writing instruments, including pens, pencils, markers and highlighters, and art products; fine writing instruments and leather goods; office technology solutions such as label makers and printers, interactive teaching solutions and on-line postage
Tools, Hardware & Commercial Products	Lenox^®, Rubbermaid^® Commercial Products, Technical Concepts™, Irwin^®, Shur-line^®, Bulldog^®, BernzOmatic^®	Industrial bandsaw blades and cutting tools for pipes and HVAC systems; hand tools and power tool accessories; manual paint applicators, window hardware, convenience hardware and propane torches; cleaning and refuse products, hygiene systems, material handling solutions and medical and computer carts and wall-mounted work stations

The Company's segment results are as follows as of and for the years ended December 31, (in millions):


	2010			2009			2008 (1)

Net Sales (2)
Home & Family	$	2,378.4		$	2,377.2		$	2,654.8
Office Products		1,708.9			1,674.7			1,990.8
Tools, Hardware & Commercial Products		1,671.9			1,525.7			1,825.0

	$	5,759.2		$	5,577.6		$	6,470.6


Operating Income (3)
Home & Family	$	281.8		$	274.7		$	218.3
Office Products		269.4			235.2			212.4
Tools, Hardware & Commercial Products		253.1			245.6			271.7
Corporate		(96.9	)		(80.6	)		(81.9)
Impairment charges		—			—			(299.4)
Restructuring costs		(77.5	)		(100.0	)		(120.3)

	$	629.9		$	574.9		$	200.8


Depreciation & Amortization (3)
Home & Family	$	51.4		$	51.3		$	52.1
Office Products		32.1			39.6			49.7
Tools, Hardware & Commercial Products		49.7			48.9			51.0
Corporate		39.1			35.3			30.5

	$	172.3		$	175.1		$	183.3


Capital Expenditures (4)
Home & Family	$	38.2		$	30.8		$	35.3
Office Products		35.5			35.2			20.9
Tools, Hardware & Commercial Products		28.5			26.2			33.4
Corporate		62.5			61.1			68.2

	$	164.7		$	153.3		$	157.8


Identifiable Assets
Home & Family	$	896.4		$	878.8
Office Products		972.0			970.3
Tools, Hardware & Commercial Products		931.5			892.2
Corporate (5)		3,605.4			3,682.6

	$	6,405.3		$	6,423.9

Geographic Area Information


	2010		2009		2008

Net Sales
United States	$	3,949.9	$	3,881.4	$	4,447.2
Canada		362.3		326.5		413.4

Total North America		4,312.2		4,207.9		4,860.6
Europe, Middle East and Africa		803.5		795.1		1,000.1
Latin America		269.8		262.9		275.4
Asia Pacific		373.7		311.7		334.5

Total International		1,447.0		1,369.7		1,610.0

	$	5,759.2	$	5,577.6	$	6,470.6


	2010			2009			2008

Operating Income (Loss) (3), (6)
United States	$	474.1		$	489.3		$	152.4
Canada		81.2			65.4			92.0

Total North America		555.3			554.7			244.4
Europe, Middle East and Africa		10.8			(20.1	)		(98.9)
Latin America		(0.9	)		23.0			8.9
Asia Pacific		64.7			17.3			46.4

Total International		74.6			20.2			(43.6)

	$	629.9		$	574.9		$	200.8

Property, Plant and Equipment, Net
United States	$	378.1		$	394.1
Canada		3.9			11.6

Total North America		382.0			405.7
Europe, Middle East and Africa		88.0			102.6
Latin America		23.9			24.9
Asia Pacific		35.4			44.9

Total International		147.3			172.4

	$	529.3		$	578.1

(1)	The 2008 financial information has been adjusted to reflect the segment structure as of December 31, 2010.

(2)

All intercompany transactions have been eliminated. Sales to Wal-Mart Stores, Inc. and subsidiaries amounted to approximately 12% of consolidated net sales for the years ended December 31, 2010 and 2009 and 13% of consolidated net sales for the year ended December 31, 2008, substantially across all segments.

(3)

Operating income (loss) is net sales less cost of products sold and selling, general and administrative expenses. Certain headquarters expenses of an operational nature are allocated to business segments and geographic areas primarily on a net sales basis. Corporate depreciation and amortization is allocated to the segments on a percentage of sales basis, and the allocated depreciation and amortization is included in segment operating income.

(4)	Corporate capital expenditures primarily relate to the SAP implementation.

(5)	Corporate assets primarily include goodwill, capitalized software, cash and cash equivalents and deferred tax assets.

(6)	The following table summarizes the restructuring costs and impairment charges by region included in operating income (loss) above:


	2010			2009			2008

Restructuring Costs:
United States	$	(18.2	)	$	(32.6	)	$	(80.9)
Canada		(7.9	)		(5.7	)		—

Total North America		(26.1	)		(38.3	)		(80.9)
Europe, Middle East and Africa		(30.4	)		(36.4	)		(38.7)
Latin America		(12.9	)		(6.3	)		—
Asia Pacific		(8.1	)		(19.0	)		(0.7)

Total International		(51.4	)		(61.7	)		(39.4)

	$	(77.5	)	$	(100.0	)	$	(120.3)


	2010			2009			2008

Impairment Charges:
United States	$	—		$	—		$	(129.9)
Canada		—			—			—

Total North America		—			—			(129.9)
Europe, Middle East and Africa		—			—			(169.5)
Latin America		—			—			—
Asia Pacific		—			—			—

Total International		—			—			(169.5)

	$	—		$	—		$	(299.4)

Litigation and Contingencies	12 Months Ended
Litigation and Contingencies	Dec. 31, 2010
Litigation and Contingencies
Litigation and Contingencies	FOOTNOTE 20 Litigation and Contingencies The Company is involved in legal proceedings in the ordinary course of its business. These proceedings include claims for damages arising out of use of the Company's products, allegations of infringement of intellectual property, commercial disputes and employment matters, as well as environmental matters. Some of the legal proceedings include claims for punitive as well as compensatory damages, and certain proceedings may purport to be class actions. The Company, using current product sales data and historical trends, actuarially calculates the estimate of its exposure for product liability. As a result of the most recent analysis, the Company has product liability reserves of $42.3 million as of December 31, 2010. The Company is insured for product liability claims for amounts in excess of established deductibles and accrues for the estimated liability as described up to the limits of the deductibles. All other claims and lawsuits are handled on a case-by-case basis. In July 2007, the Company acquired all of the outstanding equity interests of PSI Systems, Inc. ("Endicia"), provider of Endicia Internet Postage. Endicia is party to a lawsuit against it alleging patent infringement which was filed on November 22, 2006 in the U.S. District Court for the Central District of California. In this case, Stamps.com seeks unspecified damages, attorneys' fees and injunctive relief in order to prevent Endicia from continuing to engage in activities that are alleged to infringe on Stamps.com's patents. In 2010, the Court entered judgment in favor of the Company terminating the action on summary judgment, and Stamps.com has appealed that judgment. A separate case, in which Endicia and Stamps.com each claim infringement of different patents, remains pending in the same court. There can be no assurance the Company will prevail on appeal or otherwise be successful in defending itself in these matters. The Company (through two of its affiliates) has been involved in litigation originally filed in June 2008 in the U.S. District Court for the Western District of North Carolina with Worthington Cylinders (the "Supplier") over breach of a supply contract and price increases levied by the Supplier after having wrongfully terminated the contract prior to its expiration. In February 2010, a jury determined that the Supplier: (a) breached the supply agreement; (b) illegally traded upon the goodwill of the Company; and (c) committed deceptive trade practices in violation of relevant laws. The jury awarded damages of $13.0 million to the Company, and the Company was subsequently awarded an additional $2.8 million in pre-judgment interest and attorneys' fees. The Supplier has appealed the judgment. Under the relevant authoritative accounting guidance, the Company has not recorded any gains in 2010 related to the favorable jury verdict and intends to withhold such action until all contingencies relating to this matter have been resolved. As of December 31, 2010, the Company was involved in various matters concerning federal and state environmental laws and regulations, including matters in which the Company has been identified by the U.S. Environmental Protection Agency and certain state environmental agencies as a potentially responsible party ("PRP") at contaminated sites under the Federal Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA") and equivalent state laws. In assessing its environmental response costs, the Company has considered several factors, including the extent of the Company's volumetric contribution at each site relative to that of other PRPs; the kind of waste; the terms of existing cost sharing and other applicable agreements; the financial ability of other PRPs to share in the payment of requisite costs; the Company's prior experience with similar sites; environmental studies and cost estimates available to the Company; the effects of inflation on cost estimates; and the extent to which the Company's, and other parties', status as PRPs is disputed. The Company's estimate of environmental response costs associated with these matters as of December 31, 2010 ranged between $17.2 million and $29.6 million. As of December 31, 2010, the Company had a reserve of $19.3 million for such environmental remediation and response costs in the aggregate, which is included in other accrued liabilities and other noncurrent liabilities in the Consolidated Balance Sheets. No insurance recovery was taken into account in determining the Company's cost estimates or reserve, nor do the Company's cost estimates or reserves reflect any discounting for present value purposes, except with respect to certain long-term operations and maintenance CERCLA matters, which are estimated at their present value of $16.2 million by applying a 5% discount rate to undiscounted obligations of $24.5 million. Because of the uncertainties associated with environmental investigations and response activities, the possibility that the Company could be identified as a PRP at sites identified in the future that require the incurrence of environmental response costs and the possibility that sites acquired in business combinations may require environmental response costs, actual costs to be incurred by the Company may vary from the Company's estimates. The City of Sao Paulo's Green and Environmental Office (the "Sao Paulo G&E Office") is seeking fines of up to approximately $4.0 million related to alleged improper storage of hazardous materials at the Company's tool manufacturing facility located in Sao Paulo, Brazil. The Company has obtained a stay of enforcement of a notice of fine due October 1, 2009 issued by the Sao Paulo G&E Office. The Company plans to continue to contest the fines. Although management of the Company cannot predict the ultimate outcome of these legal proceedings with certainty, it believes that the ultimate resolution of the Company's legal proceedings, including any amounts it may be required to pay in excess of amounts reserved, will not have a material effect on the Company's consolidated financial statements. In the normal course of business and as part of its acquisition and divestiture strategy, the Company may provide certain representations and indemnifications related to legal, environmental, product liability, tax or other types of issues. Based on the nature of these representations and indemnifications, it is not possible to predict the maximum potential payments under all of these agreements due to the conditional nature of the Company's obligations and the unique facts and circumstances involved in each particular agreement. Historically, payments made by the Company under these agreements did not have a material effect on the Company's business, financial condition or results of operations. As of December 31, 2010, the Company had $61.6 million in standby letters of credit primarily related to the Company's self-insurance programs, including workers' compensation, product liability and medical.

Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2010

Valuation and Qualifying Accounts

Valuation and Qualifying Accounts

Schedule II

Newell Rubbermaid Inc. and subsidiaries

Valuation and Qualifying Accounts


*(in millions)*	Balance at Beginning of Period		Provision		Charges to Other Accounts		Write-offs (1)		Balance at End of Period
Reserve for Doubtful Accounts and Cash Discounts:
Year ended December 31, 2010		$ 42.2		$ 70.4		$(1.0)		$ (68.6)		$ 43.0
Year ended December 31, 2009		40.6		70.1		0.9		(69.4)		42.2
Year ended December 31, 2008		39.1		85.3		0.7		(84.5)		40.6

(1)	Represents accounts written off during the year and cash discounts taken by customers.


*(in millions)*	Balance at Beginning of Period		Net Provision		Other			Write-offs/ Dispositions			Balance at End of Period
Inventory Reserves (including excess, obsolescence and shrink reserves):
Year ended December 31, 2010	$	102.1	$	18.4	$	(0.9	)	$	(48.9	)	$	70.7
Year ended December 31, 2009		101.9		57.0		1.6			(58.4	)		102.1
Year ended December 31, 2008		68.0		79.0		2.6			(47.7	)		101.9