Condensed Consolidating Financial Statements (Tables)

6 Months Ended

Jun. 30, 2011

Condensed Consolidating Financial Statements (Tables) [Abstract]

Condensed Consolidating Balance Sheets

CONDENSED CONSOLIDATING BALANCE SHEETS

June 30, 2011

(Unaudited)

			WM		Non-Guarantor
	WM		Holdings		Subsidiaries		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	325	$	—	$	46	$	—		$	371
Other current assets		6		—		1,997		—			2,003
		331		—		2,043		—			2,374
Property and equipment, net		—		—		11,919		—			11,919
Investments in and advances to affiliates		11,310		14,261		3,135		(28,706	)		—
Other assets		114		12		7,164		—			7,290
Total assets	$	11,755	$	14,273	$	24,261	$	(28,706	)	$	21,583
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	35	$	—	$	163	$	—		$	198
Accounts payable and other current liabilities		84		13		2,000		—			2,097
		119		13		2,163		—			2,295
Long-term debt, less current portion		5,323		449		3,067		—			8,839
Other liabilities		22		—		3,804		—			3,826
Total liabilities		5,464		462		9,034		—			14,960
Equity:
Stockholders’ equity		6,291		13,811		14,895		(28,706	)		6,291
Noncontrolling interests		—		—		332		—			332
		6,291		13,811		15,227		(28,706	)		6,623
Total liabilities and equity	$	11,755	$	14,273	$	24,261	$	(28.706	)	$	21,583

December 31, 2010

			WM		Non-Guarantor
	WM		Holdings		Subsidiaries		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	465	$	—	$	74	$	—		$	539
Other current assets		4		1		1,938		—			1,943
		469		1		2,012		—			2,482
Property and equipment, net		—		—		11,868		—			11,868
Investments in and advances to affiliates		10,757		13,885		2,970		(27,612	)		—
Other assets		91		12		7,023		—			7,126
Total assets	$	11,317	$	13,898	$	23,873	$	(27,612	)	$	21,476
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	—	$	1	$	232	$	—		$	233
Accounts payable and other current liabilities		93		17		2,142		—			2,252
		93		18		2,374		—			2,485
Long-term debt, less current portion		4,951		596		3,127		—			8,674
Other liabilities		13		—		3,713		—			3,726
Total liabilities		5,057		614		9,214		—			14,885
Equity:
Stockholders’ equity		6,260		13,284		14,328		(27,612	)		6,260
Noncontrolling interests		—		—		331		—			331
		6,260		13,284		14,659		(27,612	)		6,591
Total liabilities and equity	$	11,317	$	13,898	$	23,873	$	(27,612	)	$	21,476

Condensed Consolidating Statements of Operations

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

Three Months Ended June 30, 2011

(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,347		$	—		$	3,347
Costs and expenses		—			—			2,841			—			2,841
Income from operations		—			—			506			—			506
Other income (expense):
Interest income (expense)		(86	)		(8	)		(23	)		—			(117	)
Equity in subsidiaries, net of taxes		290			295			—			(585	)		—
Other, net		—			—			(8	)		—			(8	)
		204			287			(31	)		(585	)		(125	)
Income before income taxes		204			287			475			(585	)		381
Provision for (benefit from) income taxes		(33	)		(3	)		167			—			131
Consolidated net income		237			290			308			(585	)		250
Less: Net income attributable to noncontrolling interests		—			—			13			—			13
Net income attributable to Waste Management, Inc.	$	237		$	290		$	295		$	(585	)	$	237

Three Months Ended June 30, 2010
(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,158		$	—		$	3,158
Costs and expenses		—			—			2,572			—			2,572
Income from operations		—			—			586			—			586
Other income (expense):
Interest income (expense)		(78	)		(9	)		(27	)		—			(114	)
Equity in subsidiaries, net of taxes		293			299			—			(592	)		—
Other, net		—			—			(8	)		—			(8	)
		215			290			(35	)		(592	)		(122	)
Income before income taxes		215			290			551			(592	)		464
Provision for (benefit from) income taxes		(31	)		(3	)		240			—			206
Consolidated net income		246			293			311			(592	)		258
Less: Net income attributable to noncontrolling interests		—			—			12			—			12
Net income attributable to Waste Management, Inc.	$	246		$	293		$	299		$	(592	)	$	246

Six Months Ended June 30, 2011
(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	6,450		$	—		$	6,450
Costs and expenses		—			—			5,517			—			5,517
Income from operations		—			—			933			—			933
Other income (expense):
Interest income (expense)		(171	)		(17	)		(47	)		—			(235	)
Equity in subsidiaries, net of taxes		527			537			—			(1,064	)		—
Other, net		—			—			(11	)		—			(11	)
		356			520			(58	)		(1,064	)		(246	)
Income before income taxes		356			520			875			(1,064	)		687
Provision for (benefit from) income taxes		(67	)		(7	)		315			—			241
Consolidated net income		423			527			560			(1,064	)		446
Less: Net income attributable to noncontrolling interests		—			—			23			—			23
Net income attributable to Waste Management, Inc.	$	423		$	527		$	537		$	(1,064	)	$	423

Six Months Ended June 30, 2010
(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	6,093		$	—		$	6,093
Costs and expenses		—			—			5,095			—			5,095
Income from operations		—			—			998			—			998
Other income (expense):
Interest income (expense)		(153	)		(19	)		(54	)		—			(226	)
Equity in subsidiaries, net of taxes		521			533			—			(1,054	)		—
Other, net		—			—			(6	)		—			(6	)
		368			514			(60	)		(1,054	)		(232	)
Income before income taxes		368			514			938			(1,054	)		766
Provision for (benefit from) income taxes		(60	)		(7	)		383			—			316
Consolidated net income		428			521			555			(1,054	)		450
Less: Net income attributable to noncontrolling interests		—			—			22			—			22
Net income attributable to Waste Management, Inc.	$	428		$	521		$	533		$	(1,054	)	$	428

Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS


Six Months Ended June 30, 2011
(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Cash flows from operating activities:
Consolidated net income	$	423		$	527		$	560		$	(1,064	)	$	446
Equity in earnings of subsidiaries, net of taxes		(527	)		(537	)		—			1,064			—
Other adjustments		2			(3	)		633			—			632
Net cash provided by (used in) operating activities		(102	)		(13	)		1,193			—			1,078
Cash flows from investing activities:
Acquisitions of businesses, net of cash acquired		—			—			(157	)		—			(157	)
Capital expenditures		—			—			(596	)		—			(596	)
Proceeds from divestitures of businesses (net of cash divested) and other sales of assets		—			—			13			—			13
Net receipts from restricted trust and escrow accounts and other, net		(5	)		—			(79	)		—			(84	)
Net cash used in investing activities		(5	)		—			(819	)		—			(824	)
Cash flows from financing activities:
New borrowings		396			—			8			—			404
Debt repayments		—			(147	)		(167	)		—			(314	)
Common stock repurchases		(168	)		—			—			—			(168	)
Cash dividends		(323	)		—			—			—			(323	)
Exercise of common stock options		35			—			—			—			35
Distributions paid to noncontrolling interests and other		(10	)		—			(49	)		—			(59	)
(Increase) decrease in intercompany and investments, net		37			160			(197	)		—			—
Net cash provided by (used in) financing activities		(33	)		13			(405	)		—			(425	)
Effect of exchange rate changes on cash and cash equivalents		—			—			3			—			3
Decrease in cash and cash equivalents		(140	)		—			(28	)		—			(168	)
Cash and cash equivalents at beginning of period		465			—			74			—			539
Cash and cash equivalents at end of period	$	325		$	—		$	46		$	—		$	371

Six Months Ended June 30, 2010
(Unaudited)

				WM			Non-Guarantor
	WM			Holdings			Subsidiaries			Eliminations			Consolidated
Cash flows from operating activities:
Consolidated net income	$	428		$	521		$	555		$	(1,054	)	$	450
Equity in earnings of subsidiaries, net of taxes		(521	)		(533	)		—			1,054			—
Other adjustments		9			(2	)		519			—			526
Net cash provided by (used in) operating activities		(84	)		(14	)		1,074			—			976
Cash flows from investing activities:
Acquisitions of businesses, net of cash acquired		—			—			(237	)		—			(237	)
Capital expenditures		—			—			(475	)		—			(475	)
Proceeds from divestitures of businesses (net of cash divested) and other sales of assets		—			—			27			—			27
Net receipts from restricted trust and escrow accounts and other, net		—			—			(138	)		—			(138	)
Net cash used in investing activities		—			—			(823	)		—			(823	)
Cash flows from financing activities:
New borrowings		592			—			114			—			706
Debt repayments		(17	)		(35	)		(161	)		—			(213	)
Common stock repurchases		(286	)		—			—			—			(286	)
Cash dividends		(305	)		—			—			—			(305	)
Exercise of common stock options		13			—			—			—			13
Distributions paid to noncontrolling interests and other		(13	)		—			(25	)		—			(38	)
(Increase) decrease in intercompany and investments, net		39			52			(91	)		—			—
Net cash provided by (used in) financing activities		23			17			(163	)		—			(123	)
Effect of exchange rate changes on cash and cash equivalents		—			—			(1	)		—			(1	)
Increase (decrease) in cash and cash equivalents		(61	)		3			87			—			29
Cash and cash equivalents at beginning of period		1,093			—			47			—			1,140
Cash and cash equivalents at end of period	$	1,032		$	3		$	134		$	—		$	1,169