Income Taxes

9 Months Ended

Sep. 30, 2012

Income Taxes

17. Income Taxes

The three months ended September 30, 2012 included a $30 million net non-cash benefit related to the revaluation of certain deferred income tax liabilities due to tax legislation enacted in the United Kingdom and the state and local income tax effect resulting from changes in the Company’s organizational structure.

In April 2011, New Jersey enacted legislation that changed the calculation of taxes in the state, with the change to be phased in over three years, starting in 2012. The legislation resulted in a $52 million non-cash income tax benefit related to the revaluation of certain deferred income tax assets and liabilities.

The three months ended September 30, 2011 included a $129 million non-cash income tax benefit related to the revaluation of certain deferred income tax liabilities, primarily associated with a state tax election and United Kingdom enacted legislation, reducing corporate income taxes.