2.2.0.25falsefalse10101 - Disclosure - Summary of Significant Accounting Policiestruefalsefalse1falsefalseUSDfalsefalse1/1/2010 - 12/31/2010 USD ($) USD ($) / shares $Duration_1_1_2010_To_12_31_2010http://www.sec.gov/CIK0000024741duration2010-01-01T00:00:002010-12-31T00:00:00Unit12Standardhttp://www.xbrl.org/2003/iso4217USDiso42170Unit14Dividehttp://www.xbrl.org/2003/iso4217USDiso4217http://www.xbrl.org/2003/instancesharesxbrli0Unit1Standardhttp://www.xbrl.org/2003/instancesharesxbrli0Unit13Standardhttp://www.xbrl.org/2003/instancepurexbrli0USDUSD$2true0glw_SignificantAccountingPoliciesAbstractglwfalsenadurationSignificant Accounting Policies [Abstract]falsefalsefalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsefalsefalseOtherxbrli:stringItemTypestringSignificant Accounting Policies [Abstract]falsefalseSummary of Significant Accounting Policies3false0us-gaap_SignificantAccountingPoliciesTextBlockus-gaaptruenadurationNo definition available.falsefalsefalsefalsefalsefalsefalsefalsefalsefalseterselabel1falsefalsefalse00<div> 1.     Summary of Significant Accounting Policies   Organization   Corning Incorporated is a provider of high-performance glass for LCD televisions, computer monitors, and other information display applications; optical fiber and cable and hardware and equipment products for the telecommunications industry; ceramic substrates for gasoline and diesel engines in automotive and heavy duty vehicle markets; laboratory products for the scientific community and specialized polymer products for biotechnology applications; advanced optical materials for the semiconductor industry and the scientific community; and other technologies.  In these notes, the terms "Corning," "Company," "we," "us," or "our" mean Corning Incorporated and subsidiary companies.   <div> Basis of Presentation and Principles of Consolidation   Our consolidated financial statements were prepared in conformity with generally accepted accounting principles in the U.S. and include the assets, liabilities, revenues and expenses of all majority-owned subsidiaries over which Corning exercises control.   The equity method of accounting is used for investments in affiliated companies that are not controlled by Corning and in which our interest is generally between 20% and 50% and we have significant influence over the entity.  Our share of earnings or losses of affiliated companies, in which at least 20% of the voting securities is owned and we have significant influence but not control over the entity, is included in consolidated operating results.   We use the cost method to account for our investments in companies that we do not control and for which we do not have the ability to exercise significant influence over operating and financial policies.  In accordance with the cost method, these investments are recorded at cost or fair value, as appropriate.   All material intercompany accounts, transactions and profits are eliminated in consolidation.   Certain prior year amounts have been reclassified to conform to the current-year presentation.  These reclassifications had no impact on our results of operations, financial position, or changes in shareholders' equity.   Effective January 1, 2009, the Company changed the presentation of equity in earnings of affiliated companies in the Consolidated Statements of Income from below "Benefit (provision) for income taxes" to above "Income before income taxes."  The change in presentation reflects the strategic nature and economic importance of the Company's investments accounted for under the equity method of accounting.  There was no effect on the Company's consolidated results of operation, financial condition, or cash flows as a result of this change.   Effective January 1, 2009, the Company adopted requirements for reporting noncontrolling interests in financial statements.  A noncontrolling interest, previously called a minority interest, is the portion of equity in a subsidiary not attributable, directly or indirectly, to a parent.  Under the new standard, noncontrolling interests in subsidiaries are now included as a component of equity in the consolidated statements of financial position.  This guidance also provides the required accounting treatment for changes in ownership of noncontrolling interests.  As required, the related presentation and disclosure provisions have been applied retrospectively.  For all years presented, amounts attributable to noncontrolling interests were not significant and therefore, are not presented separately on the consolidated statements of income.  These amounts, which have been included in "Other income (expense), net," are provided below.   Effective April 1, 2009, the Company, as required, adopted the following which resulted from the issuance of new fair value accounting standards:   ·We changed the method for determining whether an other-than-temporary impairment exists for debt securities and for determining the amount of an impairment charge to be recorded in earnings; ·We adopted new guidance for addressing the determination of (a) when a market for an asset or a liability is active or inactive and (b) when a particular transaction is distressed; and ·If applicable, we will provide required disclosures about fair value of financial instruments for interim reporting periods as well as in annual financial statements.   Effective September 30, 2009, the Financial Accounting Standards Board (FASB) established The FASB Accounting Standards CodificationÔ (ASC) as the source of authoritative accounting to be applied by nongovernmental entities in the preparation of financial statements.  Except for newly issued standards that have not been codified, references to codified literature have been updated to reflect this change.   Beginning in 2010, the Company moved from a lattice-based binomial model to a multiple-point Black-Scholes model to estimate the fair value of its employee stock option awards.  The multiple-point Black-Scholes model incorporates all assumptions required, and provides an appropriate fair value estimate while improving transparency and efficiency.  The impact of the change in valuation models was not significant to Corning's consolidated results of operations or financial condition.   Effective January 1, 2010, the Company adopted required changes to consolidation guidance for variable interest entities that require an enterprise to perform an analysis to determine whether the enterprise's variable interest or interests give it a controlling financial interest in a variable interest entity.  This analysis identifies the primary beneficiary of a variable interest entity as the enterprise that has (1) the power to direct the activities of a variable interest entity that most significantly impact the entity's economic performance and (2) the obligation to absorb losses of the entity that could potentially be significant to the variable interest entity, or the right to receive benefits from the entity that could potentially be significant to the variable interest entity.  In addition, the required changes provide guidance on shared power and joint venture relationships, remove the scope exemption for qualified special purpose entities, revise the definition of a variable interest entity, and require additional disclosures.  The adoption of this standard was not material to Corning's consolidated results of operations or financial condition.   The impact of adopting these fair value standards was not significant.  </div> <div> Use of Estimates   The preparation of financial statements requires management to make estimates and assumptions that affect amounts reported in the consolidated financial statements and related notes.  Significant estimates and assumptions in these consolidated financial statements include restructuring and other charges and credits, allowances for doubtful accounts receivable, estimates of fair value associated with goodwill and long-lived asset impairment tests, estimates of the fair value of assets held for disposal, estimates of fair value of investments, equity interests, environmental and legal liabilities, warranty liabilities, income taxes and deferred tax valuation allowances, the determination of discount and other rate assumptions for pension and other postretirement employee benefit expenses and the determination of the fair value of stock based compensation involving assumptions about forfeiture rates, stock volatility, discount rates, and expected term.  Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may be different from these estimates.  </div> <div class="MetaData"> Revenue Recognition   Revenue for sales of goods is recognized when a firm sales agreement is in place, delivery has occurred and sales price is fixed or determinable and collection is reasonably assured.  If customer acceptance of products is not reasonably assured, sales are recorded only upon formal customer acceptance.  Sales of goods typically do not include multiple product and/or service elements.   At the time revenue is recognized, allowances are recorded, with the related reduction to revenue, for estimated product returns, allowances and price discounts based upon historical experience and related terms of customer arrangements.  Where we have offered product warranties, we also establish liabilities for estimated warranty costs based upon historical experience and specific warranty provisions.  Warranty liabilities are adjusted when experience indicates the expected outcome will differ from initial estimates of the liability.</div>   <div class="MetaData"> Other Income (Expense), Net   "Other income (expense), net" in Corning's consolidated statements of income includes the following (in millions): <table style="border-collapse: collapse; font-family: 'Times New Roman','serif'; margin-left: 5.4pt; font-size: 10pt;" class="MsoNormalTable" border="0" cellspacing="0" cellpadding="0"> <tr><td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="bottom" width="476">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 173.8pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="bottom" width="232" colspan="8"> Years ended December 31,</td></tr> <tr><td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2010</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.8pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2009</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.65pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2008</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Royalty income from Samsung Corning Precision</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 265 </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 232 </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 184 </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Foreign currency transaction and hedge losses, net</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (22)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (54)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (112)</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Loss on retirement of debt</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (30)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Net realized losses of available-for-sale securities</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (2)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (2)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (53)</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Loss on sale of Steuben glass business</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (14)</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Net loss (income) attributable to noncontrolling interests</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 2 </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (6)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 1 </td></tr> <tr><td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Other, net</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (29)</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 1 </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (28)</td></tr> <tr><td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Total</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 184 </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 171 </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.35pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 35.85pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> (22)</td></tr></table></div>   <div class="MetaData"> Research and Development Costs   Research and development costs are charged to expense as incurred.  Research and development costs totaled $491 million in 2010, $465 million in 2009, and $510 million in 2008.</div>   <div class="MetaData"> Foreign Currency Translation and Transactions   The determination of the functional currency for Corning's foreign subsidiaries is made based on the appropriate economic factors.  For most foreign operations, the local currencies are generally considered to be the functional currencies.  Corning's most significant exception is our Taiwanese subsidiary, which uses the Japanese yen as its functional currency.  For all transactions denominated in a currency other than a subsidiary's functional currency, exchange rate gains and losses are included in income for the period in which the exchange rates changed.   Foreign subsidiary functional currency balance sheet accounts are translated at current exchange rates, and statement of operations accounts are translated at average exchange rates for the year.  Translation gains and losses are recorded as a separate component of accumulated other comprehensive income (loss) in shareholders' equity.  The effects of remeasuring non-functional currency assets and liabilities into the functional currency are included in current earnings, except for those related to intra-entity foreign currency transactions of a long-term investment nature which are recorded together with translation gains and losses in other comprehensive income (loss) in shareholders' equity.</div>   <div class="MetaData"> <div> Stock-Based Compensation   Corning's stock-based compensation programs include employee stock option grants, time-based restricted stock awards, time-based restricted stock units, performance based restricted stock awards, performance-based restricted stock units, and the Worldwide Employee Share Purchase Plan, as more fully described in Note 19 (Share-based Compensation).   The cost of stock-based compensation awards is equal to the fair value of the award at the date of grant and compensation expense is recognized for those awards earned over the vesting period, except as noted below.  Corning estimates the fair value of stock based awards using a multiple-point Black-Scholes option valuation model, which incorporates assumptions including expected volatility, dividend yield, risk-free rate, expected term and departure rates.   An award is considered vested when the employee's retention of the award is no longer contingent on providing subsequent service (the "non-substantive vesting period approach").  Prior to December 1, 2008, the terms and conditions of Corning's stock option agreement specified that employees continue to vest in option awards after retirement without providing any additional services.  For awards granted from January 1, 2006 to December 1, 2008, compensation cost was recognized immediately for awards granted to retirement-eligible employees.  For employees who become retirement-eligible during the vesting period, expense is recognized evenly from the grant date to the date of retirement eligibility.   On December 1, 2008, Corning amended the terms and conditions of its stock option agreement for awards to retirement-eligible employees.  Under the terms of this agreement, awards are earned ratably each month the employee provides service over the twelve months following the grant date, and the related compensation expense is recognized over this twelve month service period or over the period from the grant date to the date retirement eligibility is achieved, whichever is longer.   Corning offered a Worldwide Employee Share Purchase Plan (WESPP), under which substantially all employees could elect to have up to 10% of their annual wages withheld to purchase our common stock.  The purchase price of the stock was 85% of the end-of-quarter closing market price.  On February 3, 2010, Corning's Board of Directors approved the recommendation to terminate on-going WESPP contributions effective March 31, 2010 and the WESPP terminated in May 2010.   Refer to Note 19 (Share-based Compensation).</div></div>   Cash and Cash Equivalents   Cash equivalents consist of highly liquid investments that are readily convertible into cash.  We consider securities with contractual maturities of three months or less, when purchased, to be cash equivalents.  The carrying amount of these securities approximates fair value because of the short-term maturity of these instruments.   Supplemental disclosure of cash flow information follows (in millions): <table style="border-collapse: collapse; font-family: 'Times New Roman','serif'; margin-left: 5.4pt; font-size: 10pt;" class="MsoNormalTable" border="0" cellspacing="0" cellpadding="0"> <tr><td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="bottom" width="476">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 173.8pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="bottom" width="232" colspan="8"> Years ended December 31,</td></tr> <tr><td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2010</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.8pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2009</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 47.7pt; padding-right: 5.4pt; border-top: windowtext 1pt solid; padding-top: 0in;" valign="bottom" width="64" colspan="2"> 2008</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Non-cash transactions:</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Issued credit memoranda for settlement of customer receivables (1)</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 83</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 253</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 266</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Capital leases</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 162</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 6</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Accruals for capital expenditures</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 382</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 217</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 525</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Cash paid for interest and income taxes:</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48">  </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Interest (2) </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 125</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 116</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 100</td></tr> <tr><td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 357.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="476"> Income taxes, net of refunds received</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 170</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.2pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 0.5in; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 164</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 15.3pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="20">  </td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 11.8pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="16"> $</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 35.9pt; padding-right: 5.4pt; padding-top: 0in;" valign="bottom" width="48"> 287</td></tr></table>   (1)   Amounts represent credits applied to customer receivable balances for customers that made advance cash deposits under long-term purchase and supply agreements. (2)   Included in this amount are approximately $20 million, $29 million, and $31 million of interest costs that were capitalized as part of property, net in 2010, 2009 and 2008, respectively.   <div class="MetaData"> Short-Term Investments   Our short-term investments consist of available-for-sale securities that are stated at fair value.  Consistent with Corning's cash investment policy, our short-term investments consist primarily of fixed-income securities.  Preservation of principal is the primary principle of our cash investment policy that is carried out by limiting interest rate, reinvestment, security, quality and event risk.  Our investments are generally liquid and all are investment grade quality.  The portfolio is invested predominantly in U.S. Treasury securities and high quality short term government security money market funds.  Unrealized gains and losses, net of tax, are computed on the first-in first-out basis and are reported as a separate component of accumulated other comprehensive loss in shareholders' equity until realized.  Realized gains and losses are recorded in other income (expense), net.</div>   <div class="MetaData"> Allowance for Doubtful Accounts   The Company's allowance for doubtful accounts is determined based on a variety of factors that affect the potential collectability of the related receivables, including length of time receivables are past due, customer credit ratings, financial stability of customers, specific one-time events and past customer history.  In addition, in circumstances where the Company is made aware of a specific customer's inability to meet its financial obligations, a specific allowance is established.  The majority of accounts are individually evaluated on a regular basis and appropriate reserves are established as deemed appropriate based on the above criteria.  The remainder of the reserve is based on management's estimates and takes into consideration the length of time receivables are past due, historical trends, market conditions, and the composition of the Company's customer base.</div>   Environmental Liabilities   The Company accrues for its environmental investigation, remediation, operating, and maintenance costs when it is probable that a liability has been incurred and the amount can be reasonably estimated.  For environmental matters, the most likely cost to be incurred is accrued based on an evaluation of currently available facts with respect to each individual site, current laws and regulations and prior remediation experience.  For sites with multiple potential responsible parties, the Company considers its likely proportionate share of the anticipated remediation costs and the ability of the other parties to fulfill their obligations in establishing a provision for those costs.  Where no amount within a range of estimates is more likely to occur than another, the minimum amount is accrued.  When future liabilities are determined to be reimbursable by insurance coverage, an accrual is recorded for the potential liability and a receivable is recorded related to the insurance reimbursement when reimbursement is virtually certain.   The uncertain nature inherent in such remediation and the possibility that initial estimates may not reflect the final outcome could result in additional costs being recognized by the Company in future periods.   Inventories   Inventories are stated at the lower of cost (first-in, first-out basis) or market.   Property, Net of Accumulated Depreciation   Land, buildings, and equipment, including precious metals, are recorded at cost.  Depreciation is based on estimated useful lives of properties using the straight-line method.  Except as described in Note 2 (Restructuring, Impairment and Other Charges and (Credits)) related to accelerated depreciation arising from restructuring programs and Note 9 (Property, Net of Accumulated Depreciation) related to the depletion of precious metals, the estimated useful lives range from 10 to 40 years for buildings and 2 to 20 years for equipment.   Included in the subcategory of equipment are the following types of assets (excluding precious metals): <table style="border-collapse: collapse; font-family: 'Times New Roman','serif'; margin-left: 5.4pt; font-size: 10pt;" class="MsoNormalTable" border="0" cellspacing="0" cellpadding="0"> <tr><td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="top" width="584"> Asset type</td> <td style="border-bottom: windowtext 1pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; border-top: windowtext 2.25pt solid; padding-top: 0in;" valign="top" width="124"> Range of useful life</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="584">  </td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="124">  </td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="584"> Computer hardware and software</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="124"> 3 to 7 years</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="584"> Manufacturing equipment</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="124"> 2 to 15 years</td></tr> <tr><td style="padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="584"> Furniture and fixtures</td> <td style="padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="124"> 5 to 10 years</td></tr> <tr><td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 438.25pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="584"> Transportation equipment</td> <td style="border-bottom: windowtext 2.25pt solid; padding-bottom: 0in; padding-left: 5.4pt; width: 92.75pt; padding-right: 5.4pt; padding-top: 0in;" valign="top" width="124"> 5 to 20 years</td></tr></table>   Manufacturing equipment includes certain components of production equipment that are constructed of precious metals.  These assets are not depreciated because they have very low physical losses and are repeatedly reclaimed and reused in our manufacturing process over a very long useful life.  We treat the physical loss of precious metals in the manufacturing and reclamation process as depletion and account for these losses as a period expense based on actual units lost.  Precious metals are integral to many of our glass production processes.  They are only acquired to support our operations and are not held for trading or other purposes.   <div class="MetaData"> Goodwill and Other Intangible Assets   Goodwill is the excess of cost of an acquired entity over the amounts assigned to assets acquired and liabilities assumed in a business combination.  Goodwill is tested for impairment annually in the fourth quarter or if an event occurs or circumstances change that indicate that the carrying amount may be impaired.  Impairment testing for goodwill is done at a reporting unit level.  Reporting units are either operating segments or one level below the operating segment.  Goodwill relates to and is assigned directly to a specific reporting unit.  An impairment loss generally would be recognized when the carrying amount of the reporting unit's net assets exceeds the estimated fair value of the reporting unit.  The estimated fair value of a reporting unit is determined using a discounted cash flow analysis.  Refer to Note 10 (Goodwill and Other Intangible Assets) for additional information.   Periodically, the detailed determination of fair value is carried forward from one year to the next if certain criteria are met.  In 2010, an assessment of all of the reporting units was performed and it was determined the criteria to carry forward the detailed determination of fair value were met.   Other intangible assets include patents, trademarks, and other intangible assets acquired from an independent party.  Such intangible assets have a definite life and are amortized on a straight-line basis over estimated useful lives ranging from 4 to 50 years.</div>   Impairment of Long-Lived Assets   We review the recoverability of our long-lived assets, such as plant and equipment and intangible assets, when events or changes in circumstances occur that indicate that the carrying value of the asset or asset group may not be recoverable.  When impairment indicators are present, we compare estimated undiscounted future cash flows, including the eventual disposition of the asset group at market value, to the assets' carrying value to determine if the asset group is recoverable.  The fair value of long-lived assets is determined using an "income approach" that starts with the forecast of all the expected future net cash flows including the eventual disposition at market value of long-lived assets, and also considers the fair market value of all precious metals.  We assess the recoverability of the carrying value of long-lived assets at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities.  If there is an impairment, a loss is recorded to reflect the difference between the assets' fair value and carrying value.   <div class="MetaData"> Treasury Stock   Shares of common stock repurchased by us are recorded at cost as treasury stock and result in a reduction of shareholders' equity in the consolidated balance sheets.  From time to time, treasury shares may be reissued as contributions to our employee benefit plans and for the retirement or conversion of certain debt instruments.  When shares are reissued, we use an average cost method for determining cost.  The difference between the cost of the shares and the reissuance price is added to or deducted from additional paid-in capital.</div>   <div> Income Taxes   The Company accounts for income taxes using the asset and liability method.  Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating loss and tax credit carry forwards and for differences between the carrying amounts of existing assets and liabilities and their respective tax bases.   The effective income tax rate reflects our assessment of the ultimate outcome of tax audits.  In evaluating the tax benefits associated with our various tax filing positions, we record a tax benefit for uncertain tax positions using the highest cumulative tax benefit that is more likely than not to be realized.  Adjustments are made to our liability for unrecognized tax benefits in the period in which we determine the issue is effectively settled with the tax authorities, the statute of limitations expires for the return containing the tax position or when more information becomes available.  Our liability for unrecognized tax benefits, including accrued penalties and interest, is included in other accrued liabilities and other long-term liabilities on our consolidated balance sheets and in income tax expense in our consolidated statements of earnings.   Discrete events such as audit settlements or changes in tax laws are recognized in the period in which they occur.  Valuation allowances are established when management is unable to conclude that it is more likely than not that some portion, or all, of the deferred tax asset will ultimately be realized.   The Company is subject to income taxes in the United States and in numerous foreign jurisdictions.  No provision is made for U.S. income taxes on the undistributed earnings of wholly owned foreign subsidiaries because substantially all such earnings are indefinitely reinvested in those companies.  Provision for the tax consequences of distributions, if any, from consolidated foreign subsidiaries is recorded in the year in which the earnings are no longer indefinitely reinvested in those subsidiaries.</div> <div class="MetaData"> <div> Equity Method Investments   Our equity method investments are reviewed for impairment on a periodic basis or if an event occurs or circumstances change that indicate the carrying amount may be impaired.  This assessment is based on a review of the equity investments' performance and a review of indicators of impairment to determine if there is evidence of a loss in value of an equity investment.  Factors we consider include:   ·Absence of our ability to recover the carrying amount; ·Inability of the equity affiliate to sustain an earnings capacity which would justify the carrying amount of the investment; and ·Significant litigation, bankruptcy or other events that could impact recoverability.   For an equity investment with impairment indicators, we measure fair value on the basis of discounted cash flows or other appropriate valuation methods, depending on the nature of the company involved.  If it is probable that we will not recover the carrying amount of our investment, the impairment is considered other-than-temporary and recorded in earnings, and the equity investment balance is reduced to its fair value accordingly.  We require our equity method affiliates to provide audited financial statements.  Consequently, adjustments for asset recoverability are included in equity earnings.  We also utilize these financial statements in our recoverability assessment.</div></div>   <div class="MetaData"> Fair Value of Financial Instruments   Major categories of financial assets and liabilities, including short-term investments, other assets and derivatives are measured at fair value on a recurring basis.  Certain assets and liabilities including long-lived assets, goodwill, asset retirement obligations, and cost and equity investments are measured at fair value on a nonrecurring basis.</div>   Fair value is the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  When determining the fair value measurements for assets and liabilities required to be recorded at fair value, we consider the principal or most advantageous market in which we would transact and consider assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions, and risk of nonperformance   <div>     Derivative Instruments   We participate in a variety of foreign exchange forward contracts and foreign exchange option contracts entered into in connection with the management of our exposure to fluctuations in foreign exchange rates.  These financial exposures are managed in accordance with corporate policies and procedures.   All derivatives are recorded at fair value on the balance sheet.  Changes in the fair value of derivatives designated as cash flow hedges and hedges of net investments in foreign operations are not recognized in current operating results but are recorded in accumulated other comprehensive income (loss).  Amounts related to cash flow hedges are reclassified from accumulated other comprehensive income (loss) when the underlying hedged item impacts earnings.  This reclassification is recorded in the same line item of the consolidated statement of operations as where the effects of the hedged item are recorded, typically sales, royalties, or cost of sales.  Changes in the fair value of derivatives designated as fair value hedges are recorded currently in earnings offset, to the extent the derivative was effective, by the change in the fair value of the hedged item.  Changes in the fair value of derivatives not designated as hedging instruments are recorded currently in earnings in the other income line of the consolidated statement of operations.   We have issued foreign currency denominated debt that has been designated as a hedge of the net investment in a foreign operation.  The effective portion of the changes in fair value of the debt is reflected as a component of other comprehensive income (loss) as part of the foreign currency translation adjustment.</div>  .       <div class="MetaData"> <div> Variable Interest Entities   For variable interest entities, we assess the terms of our interest in each entity to determine if we are the primary beneficiary.  The primary beneficiary of a variable interest entity is the party that absorbs a majority of the entity's expected losses, receives a majority of its expected residual returns, or both, as a result of holding variable interests, which are the ownership, contractual, or other pecuniary interests in an entity that change with changes in the fair value of the entity's net assets excluding variable interests.   Corning has performed the required assessments and has identified three entities as being variable interest entities.  None of these entities are considered to be significant to Corning's consolidated statements of position.</div></div>   <div class="MetaData"> New Accounting Standards   In October 2009, the FASB issued Accounting Standards Update No. 2009-13, Revenue Recognition (Topic 605): Multiple-Deliverable Revenue Arrangements—a consensus of the FASB Emerging Issues Task Force (ASU 2009-13).  ASU 2009-13 addresses the accounting for sales arrangements that include multiple products or services by revising the criteria for when deliverables may be accounted for separately rather than as a combined unit.  Specifically, this guidance establishes a selling price hierarchy for determining the selling price of a deliverable, which is necessary to separately account for each product or service.  This hierarchy provides more options for establishing selling price than did the previous guidance.  ASU 2009-13 is required to be applied prospectively to new or materially modified revenue arrangements in fiscal years beginning on or after June 15, 2010.  Corning does not expect adoption of this standard to have a material impact on its consolidated results of operations and financial condition.   In January 2010, the FASB issued Accounting Standards Update No. 2010-06, Fair Value Measurements and Disclosures (Topic 820): Improving Disclosures about Fair Value Measurements (ASU 2010-06).  Corning adopted ASU 2010-06 effective January 1, 2010, except for the disclosures about purchases, sales, issuances, and settlements in the roll forward of activity in Level 3 fair value measurements which are deferred until fiscal years beginning after December 15, 2010.  Corning believes that the disclosures will not have a material impact on its consolidated results of operations and financial condition when updated.   In December 2010, the FASB issued Accounting Standards Update No. 2010-28, Intangibles—Goodwill and Other (Topic 350): When to Perform Step 2 of the Goodwill Impairment Test for Reporting Units with Zero or Negative Carrying Amounts (ASU 2010-28).  ASU 2010-28 modifies Step 1 of the goodwill impairment test so that for those reporting units with zero or negative carrying amounts, an entity is required to perform Step 2 of the goodwill impairment test if it is more likely than not based on an assessment of qualitative indicators that a goodwill impairment exists.  In determining whether it is more likely than not that goodwill impairment exists, an entity should consider whether there are any adverse qualitative factors indicating that an impairment may exist.  ASU 2010-28 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2010.  Early adoption is not permitted. Corning does not expect adoption of this standard to have a material impact on its consolidated results of operations and financial condition.</div>   </div>1.     Summary of Significant Accounting Policies   Organization   Corning Incorporated is a provider of high-performancefalsefalsefalsefalsefalseOtherus-types:textBlockItemTypestringThis element may be used to describe all significant accounting policies of the reporting entity.Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher AICPA -Name Accounting Principles Board Opinion (APB) -Number 22 -Paragraph 8 falsefalseSummary of Significant Accounting Policies12Summary of Significant Accounting PoliciesUnKnownUnKnownUnKnownUnKnownfalsetrue