Shareholders' Equity

6 Months Ended

Jun. 30, 2011

Shareholders' Equity [Abstract]

Shareholders' Equity

12. Shareholders' Equity

Preferred Stock

In February 2010, the Company delivered notice to the holders of its 4.25% Convertible Perpetual Preferred Stock (the "Preferred Stock") that it was calling for the redemption of all 9,600,000 outstanding shares of Preferred Stock. Holders of the Preferred Stock were entitled to convert each share of Preferred Stock into 1.2600 shares of the Company's Series A Common Stock, par value $0.0001 per share ("Common Stock"). Holders of the Preferred Stock elected to convert 9,591,276 shares of Preferred Stock into an aggregate of 12,084,942 shares of Common Stock. The 8,724 shares of Preferred Stock that remained outstanding after such conversions were redeemed by the Company for 7,437 shares of Common Stock, in accordance with the terms of the Preferred Stock. In addition to the shares of Common Stock issued in respect of the shares of Preferred Stock converted and redeemed, the Company paid cash in lieu of fractional shares.

Common Stock

The Company's Board of Directors follows a policy of declaring, subject to legally available funds, a quarterly cash dividend on each share of the Company's Series A common stock unless the Company's Board of Directors, in its sole discretion, determines otherwise. The amount available to pay cash dividends is restricted by the Company's Amended Credit Agreement, the 6.625% Notes and the 5.875% Notes.

On April 25, 2011, the Company announced that its Board of Directors approved a 20% increase in the Company's quarterly Common Stock cash dividend. The Board of Directors increased the quarterly dividend rate from $0.05 to $0.06 per share of Common Stock on a quarterly basis and $0.20 to $0.24 per share of Common Stock on an annual basis. The new dividend rate is applicable to dividends payable beginning in August 2011.

Treasury Stock

The Company's Board of Directors authorized the repurchase of the Company's Common Stock as follows:

Date of Board Authorization	Authorization Amount
	(In $ millions)
February 2008		400
October 2008		100
April 2011		129
As of June 30, 2011		629

The authorization gives management discretion in determining the timing and conditions under which shares may be repurchased.

The number of shares repurchased and the average purchase price paid per share pursuant to this authorization are as follows:

	Six Months Ended				Total From
	June 30,				February 2008 Through
	2011		2010		June 30, 2011
Shares repurchased		273,753		678,592		11,704,545
Average purchase price per share	$	47.54	$	29.47	$	37.48
Amount spent on repurchased shares (in millions)	$	13	$	20	$	439

The purchase of treasury stock reduces the number of shares outstanding and the repurchased shares may be used by the Company for compensation programs utilizing the Company's stock and other corporate purposes. The Company accounts for treasury stock using the cost method and includes treasury stock as a component of Shareholders' equity.

Other Comprehensive Income (Loss), Net

Components of Other comprehensive income (loss) with related tax effects are as follows:

	Three Months Ended June 30,
	2011							2010
			Income								Income
			Tax								Tax
	Gross		(Provision)			Net		Gross			(Provision)			Net
	Amount		Benefit			Amount		Amount			Benefit			Amount
	(In $ millions)
Unrealized gain (loss) on marketable securities		-		-			-		(2	)		-			(2	)
Foreign currency translation		29		-			29		(28	)		-			(28	)
Unrealized gain (loss) on interest rate swaps		1		(1	)		-		9			(3	)		6
Pension and postretirement benefits		7		(2	)		5		2			-			2
Total		37		(3	)		34		(19	)		(3	)		(22	)

	Six Months Ended June 30,
	2011							2010
			Income								Income
			Tax								Tax
	Gross		(Provision)			Net		Gross			(Provision)			Net
	Amount		Benefit			Amount		Amount			Benefit			Amount
	(In $ millions)
Unrealized gain (loss) on marketable securities		-		-			-		1			-			1
Foreign currency translation		87		-			87		(59	)		-			(59	)
Unrealized gain (loss) on interest rate swaps		15		(6	)		9		7			(4	)		3
Pension and postretirement benefits		13		(5	)		8		7			(1	)		6
Total		115		(11	)		104		(44	)		(5	)		(49	)

Adjustments to Accumulated other comprehensive income (loss) are as follows:

													Accumulated
	Unrealized						Unrealized			Pension and			Other
	Gain (Loss) on			Foreign			Gain (Loss)			Postretire-			Comprehensive
	Marketable			Currency			on Interest			ment			Income
	Securities			Translation			Rate Swaps			Benefits			(Loss), Net
	(In $ millions)
Balance as of December 31, 2010		(1	)		(1	)		(84	)		(584	)		(670	)
Current period change		-			87			15			13			115
Income tax (provision) benefit		-			-			(6	)		(5	)		(11	)
Balance as of June 30, 2011		(1	)		86			(75	)		(576	)		(566	)