Income Taxes (Tables)

12 Months Ended

Dec. 31, 2011

Income Taxes [Abstract]

Provision for income taxes

	2011			2010			2009
Current:
United States	$	609		$	179		$	65
Foreign		479			472			381
Total current		1,088			651			446
Deferred:
United States		(315	)		(107	)		(210	)
Foreign		(177	)		(81	)		(46	)
Total deferred		(492	)		(188	)		(256	)
Provision for income taxes	$	596		$	463		$	190

Geographic sources of income before income taxes

	2011		2010		2009
United States	$	1,466	$	534	$	(18	)
Foreign		873		748		629
Income before income taxes	$	2,339	$	1,282	$	611

Reasons for difference between provision for income taxes from amount computed by applying us statutory income tax rate to income before income taxes

	2011			2010			2009
Statutory income tax at 35%	$	819		$	449		$	214
Effect of foreign operations		(11	)		(54	)		(53	)
Net tax charge related to foreign losses		51			64			38
Adjustments of prior years’ tax positions		(51	)		(35	)		(26	)
State income taxes - net of U.S. tax benefit		40			19			6
Impact of reorganization of foreign subsidiaries		(214	)		-			-
Other - net		(38	)		20			11
Provision for income taxes	$	596		$	463		$	190

Deferred tax assets and liabilities

	2011			2010
Deferred tax assets:
Receivables	$	42		$	37
Inventory		228			213
Employee benefits		131			120
Other accrued expenses		173			148
Operating loss carryforwards		228			186
Tax credit carryforwards		372			329
Other		84			92
Subtotal		1,258			1,125
Valuation allowances		(318	)		(232	)
Total		940			893
Deferred tax liabilities:
Goodwill and other intangibles		423			578
Property		273			377
Undistributed earnings of foreign subsidiaries		366			583
Other		42			87
Total		1,104			1,625
Net deferred tax liability	$	(164	)	$	(732	)

Rollforward of unrecognized tax benefits and associated interest and penalties

	Gross Unrecognized Tax Benefits, Excluding Interest and Penalties	Interest and Penalties			Total Gross Unrecognized Tax Benefits
Balance at December 31, 2008	$      323		$      78			$      401
Increase (decrease) in prior year tax positions	(75)		10			(65	)
Increase in current year tax positions	16		6			22
Decrease related to settlements with taxing authorities	(6)		(2	)		(8	)
Decrease related to lapse of statute of limitations	(9)		(4	)		(13	)
Increase due to effects of foreign currency translation	1		1			2
Balance at December 31, 2009	250		89			339
Acquisition of BJ Services	102		28			130
Increase (decrease) in prior year tax positions	(16)		4			(12	)
Increase in current year tax positions	4		3			7
Decrease related to settlements with taxing authorities	(7)		(5	)		(12	)
Decrease related to lapse of statute of limitations	(6)		(1	)		(7	)
Decrease due to effects of foreign currency translation	(3)		(4	)		(7	)
Balance at December 31, 2010	324		114			438
Increase (decrease) in prior year tax positions	(5)		12			7
Increase in current year tax positions	8		11			19
Decrease related to settlements with taxing authorities	(3)		(1	)		(4	)
Decrease related to lapse of statute of limitations	(38)		(38	)		(76	)
Decrease due to effects of foreign currency translation	(3)		(2	)		(5	)
Balance at December 31, 2011	$       283		$      96			$      379

Earliest tax years that remain subject to examination by major taxing jurisdictions

Jurisdiction	Earliest Open Tax Period	Jurisdiction	Earliest Open Tax Period
Canada	1998	Norway	1999
Germany	2003	United Kingdom	2007
Netherlands	2006	United States	2004