Income Taxes Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

The components of income before income taxes, equity earnings and the impact of noncontrolling interests are listed below.

	Years ended December 31,
	2012		2011		2010
Domestic	$	386.9	$	428.4	$	216.2
Foreign	287.9		310.0		234.4
Total	$	674.8	$	738.4	$	450.6

Schedule of Components of Provision for Income Taxes

The provision for income taxes is listed below.

	Years ended December 31,
	2012			2011			2010
U.S. federal income taxes (including foreign withholding taxes):
Current	$	9.4		$	0.9		$	13.7
Deferred	118.1			92.3			60.2
	127.5			93.2			73.9
State and local income taxes:
Current	17.1			12.3			16.8
Deferred	25.3			11.3			(0.1		)
	42.4			23.6			16.7
Foreign income taxes:
Current	83.2			93.1			84.8
Deferred	(39.8		)	(19.7		)	(4.1		)
	43.4			73.4			80.7
Total	$	213.3		$	190.2		$	171.3

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the effective income tax rate before equity earnings and the impact of noncontrolling interests as reflected in our Consolidated Statements of Operations to the U.S. federal statutory income tax rate is listed below.

	Years ended December 31,
	2012			2011			2010
U.S. federal statutory income tax rate	35.0		%	35.0		%	35.0		%
Income tax provision at U.S. federal statutory rate	$	236.2		$	258.4		$	157.7
State and local income taxes, net of federal income tax benefit	27.3			15.3			10.8
Impact of foreign operations, including withholding taxes	8.4			(21.9		)	4.7
Change in net valuation allowance 1	(57.3		)	(32.9		)	(2.4		)
Worthless securities deduction	0.0			(23.0		)	(2.5		)
Increases (decreases) in unrecognized tax benefits, net	24.1			(2.7		)	8.9
Other	(25.4		)	(3.0		)	(5.9		)
Provision for income taxes	$	213.3		$	190.2		$	171.3
Effective income tax rate on operations	31.6		%	25.8		%	38.0		%

¹  Reflects changes in valuation allowance that impacted the effective income tax rate for each year presented.

Schedule of Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities are listed below.

	December 31,
	2012			2011
Postretirement/post-employment benefits	$	40.4		$	42.4
Deferred compensation	192.4			205.2
Pension costs	27.0			14.2
Basis differences in fixed assets	26.9			81.8
Rent	50.2			38.6
Interest	66.9			54.8
Accruals and reserves	51.1			55.6
Allowance for doubtful accounts	9.2			8.1
Basis differences in intangible assets	(364.9		)	(330.1		)
Investments in equity securities	(5.2		)	30.8
Tax loss/tax credit carry forwards	449.7			478.1
Restructuring and other reorganization-related costs	1.2			2.0
Other	88.3			92.2
Total deferred tax assets, net	633.2			773.7
Valuation allowance	(392.9		)	(489.9		)
Net deferred tax assets	$	240.3		$	283.8

Summary of Valuation Allowance

The change in the valuation allowance is listed below.

	Years ended December 31,
	2012			2011			2010
Balance at beginning of period	$	489.9		$	508.1		$	425.5
(Reversed) charged to costs and expenses	(49.5		)	(25.1		)	92.3
Charged (reversed) to gross tax assets and other accounts	(47.5		)	6.9			(9.7		)
Balance at end of period	$	392.9		$	489.9		$	508.1

Schedule of Unrecognized Tax Benefits Activity

The table below summarizes the activity related to our unrecognized tax benefits.

	December 31,
	2012			2011			2010
Balance at beginning of period	$	161.0		$	146.7		$	160.5
Increases as a result of tax positions taken during a prior year	28.2			5.3			4.6
Decreases as a result of tax positions taken during a prior year	(6.8		)	(18.1		)	(28.1		)
Settlements with taxing authorities	(0.7		)	(5.0		)	(10.2		)
Lapse of statutes of limitation	(1.1		)	(0.2		)	(0.6		)
Increases as a result of tax positions taken during the current year	14.0			32.3			20.5
Balance at end of period	$	194.6		$	161.0		$	146.7