VLO » Topics » 8. GOODWILL

This excerpt taken from the VLO 10-K filed Feb 26, 2007.

8. GOODWILL

The changes in the carrying amount of goodwill were as follows (in millions):

 

     Year Ended December 31,  
     2006     2005  

Balance as of beginning of year

   $ 4,926     $ 2,401  

Final (2006) and preliminary (2005) Premcor Acquisition purchase price allocation and adjustments

     (646 )     2,528  

Acquisition earn-out payments not previously accrued (see Note 23)

     26       35  

Settlements and adjustments related to acquisition tax contingencies, stock option exercises, and other

     (95 )     (38 )
                

Balance as of end of year

   $ 4,211     $ 4,926  
                

Settlements and adjustments related to acquisition tax contingencies, stock option exercises, and other reflected in the table above relate primarily to settlements of various income tax contingencies assumed in the UDS and Premcor Acquisitions and exercises of stock options assumed in those acquisitions, the effects of which were recorded as purchase price adjustments, and adjustments to the amount of goodwill attributable to our investment in Valero L.P. (see Note 9).

All of our goodwill has been allocated among four reporting units that comprise the refining segment. These reporting units are the Gulf Coast, Mid-Continent, Northeast, and West Coast refining regions. We completed our annual test for impairment of goodwill as of October 1, 2006 and 2005, confirming that no impairment of goodwill had occurred in any of our reporting units as of those dates.

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki