Condensed Consolidating Financial Statements (Tables)

3 Months Ended

Mar. 31, 2012

Condensed Consolidating Financial Statements (Tables) [Abstract]

CONDENSED CONSOLIDATING BALANCE SHEETS

CONDENSED CONSOLIDATING BALANCE SHEETS

March 31, 2012

(Unaudited)

	WM		WM Holdings		Non-Guarantor Subsidiaries		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	91	$	—	$	98	$	—		$	189
Other current assets		2		—		2,094		—			2,096
		93		—		2,192		—			2,285
Property and equipment, net		—		—		12,299		—			12,299
Investments in and advances to affiliates		12,229		15,886		3,076		(31,191	)		—
Other assets		116		12		7,823		—			7,951
Total assets	$	12,438	$	15,898	$	25,390	$	(31,191	)	$	22,535
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	560	$	—	$	300	$	—		$	860
Accounts payable and other current liabilities		114		5		2,068		—			2,187
		674		5		2,368		—			3,047
Long-term debt, less current portion		5,576		449		2,964		—			8,989
Other liabilities		29		—		3,989		—			4,018
Total liabilities		6,279		454		9,321		—			16,054
Equity:
Stockholders’ equity		6,159		15,444		15,747		(31,191	)		6,159
Noncontrolling interests		—		—		322		—			322
		6,159		15,444		16,069		(31,191	)		6,481
Total liabilities and equity	$	12,438	$	15,898	$	25,390	$	(31,191	)	$	22,535

December 31, 2011

	WM		WM Holdings		Non-Guarantor Subsidiaries		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	119	$	—	$	139	$	—		$	258
Other current assets		6		—		2,115		—			2,121
		125		—		2,254		—			2,379
Property and equipment, net		—		—		12,242		—			12,242
Investments in and advances to affiliates		12,006		14,905		3,033		(29,944	)		—
Other assets		120		12		7,816		—			7,948
Total assets	$	12,251	$	14,917	$	25,345	$	(29,944	)	$	22,569
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	298	$	—	$	333	$	—		$	631
Accounts payable and other current liabilities		124		13		2,300		—			2,437
		422		13		2,633		—			3,068
Long-term debt, less current portion		5,727		449		2,949		—			9,125
Other liabilities		32		—		3,954		—			3,986
Total liabilities		6,181		462		9,536		—			16,179
Equity:
Stockholders’ equity		6,070		14,455		15,489		(29,944	)		6,070
Noncontrolling interests		—		—		320		—			320
		6,070		14,455		15,809		(29,944	)		6,390
Total liabilities and equity	$	12,251	$	14,917	$	25,345	$	(29,944	)	$	22,569

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

Three Months Ended March 31, 2012

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,295		$	—		$	3,295
Costs and expenses		—			—			2,894			—			2,894
Income from operations		—			—			401			—			401
Other income (expense):
Interest income (expense)		(88	)		(8	)		(25	)		—			(121	)
Equity in earnings of subsidiaries, net of taxes		224			229			—			(453	)		—
Other, net		—			—			(8	)		—			(8	)
		136			221			(33	)		(453	)		(129	)
Income before income taxes		136			221			368			(453	)		272
Provision for (benefit from) income taxes		(35	)		(3	)		127			—			89
Consolidated net income		171			224			241			(453	)		183
Less: Net income attributable to noncontrolling interests		—			—			12			—			12
Net income attributable to Waste Management, Inc.	$	171		$	224		$	229		$	(453	)	$	171

Three Months Ended March 31, 2011

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,103		$	—		$	3,103
Costs and expenses		—			—			2,676			—			2,676
Income from operations		—			—			427			—			427
Other income (expense):
Interest income (expense)		(85	)		(9	)		(24	)		—			(118	)
Equity in earnings of subsidiaries, net of taxes		237			242			—			(479	)		—
Other, net		—			—			(3	)		—			(3	)
		152			233			(27	)		(479	)		(121	)
Income before income taxes		152			233			400			(479	)		306
Provision for (benefit from) income taxes		(34	)		(4	)		148			—			110
Consolidated net income		186			237			252			(479	)		196
Less: Net income attributable to noncontrolling interests		—			—			10			—			10
Net income attributable to Waste Management, Inc.	$	186		$	237		$	242		$	(479	)	$	186

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	WM		WM Holdings		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Three Months Ended March 31, 2012
Comprehensive income	$	176	$	224	$	270	$	(453	)	$	217
Less: Comprehensive income attributable to noncontrolling interests		—		—		12		—			12
Comprehensive income attributable to Waste Management, Inc.	$	176	$	224	$	258	$	(453	)	$	205
Three Months Ended March 31, 2011
Comprehensive income	$	190	$	237	$	275	$	(479	)	$	223
Less: Comprehensive income attributable to noncontrolling interests		—		—		10		—			10
Comprehensive income attributable to Waste Management, Inc.	$	190	$	237	$	265	$	(479	)	$	213

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

Three Months Ended March 31, 2012

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Cash flows from operating activities:
Consolidated net income	$	171		$	224		$	241		$	(453	)	$	183
Equity in earnings of subsidiaries, net of taxes		(224	)		(229	)		—			453			—
Other adjustments		(2	)		(8	)		302			—			292
Net cash provided by (used in) operating activities		(55	)		(13	)		543			—			475
Cash flows from investing activities:
Acquisitions of businesses, net of cash acquired		—			—			(129	)		—			(129	)
Capital expenditures		—			—			(379	)		—			(379	)
Proceeds from divestitures of businesses (net of cash divested) and other sales of assets		—			—			6			—			6
Net receipts from restricted trust and escrow accounts and other, net					—			(1	)		—			(1	)
Net cash provided by (used in) investing activities		—			—			(503	)		—			(503	)
Cash flows from financing activities:
New borrowings		150			—			137			—			287
Debt repayments		(35	)		—			(170	)		—			(205	)
Cash dividends		(164	)		—			—			—			(164	)
Common stock repurchases		—			—			—			—			—
Exercise of common stock options		24			—			—			—			24
Distributions paid to noncontrolling interests and other		8			—			8			—			16
(Increase) decrease in intercompany and investments, net		44			13			(57	)		—			—
Net cash provided by (used in) financing activities		27			13			(82	)		—			(42	)
Effect of exchange rate changes on cash and cash equivalents		—			—			1			—			1
Increase (decrease) in cash and cash equivalents		(28	)		—			(41	)		—			(69	)
Cash and cash equivalents at beginning of period		119			—			139			—			258
Cash and cash equivalents at end of period	$	91		$	—		$	98		$	—		$	189

Three Months Ended March 31, 2011

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Cash flows from operating activities:
Consolidated net income	$	186		$	237		$	252		$	(479	)	$	196
Equity in earnings of subsidiaries, net of taxes		(237	)		(242	)		—			479			—
Other adjustments		(1	)		(11	)		416			—			404
Net cash provided by (used in) operating activities		(52	)		(16	)		668			—			600
Cash flows from investing activities:
Acquisitions of businesses, net of cash acquired		—			—			(99	)		—			(99	)
Capital expenditures		—			—			(316	)		—			(316	)
Proceeds from divestitures of businesses (net of cash divested) and other sales of assets		—			—			5			—			5
Net receipts from restricted trust and escrow accounts and other, net		(4	)		—			(48	)		—			(52	)
Net cash provided by (used in) investing activities		(4	)		—			(458	)		—			(462	)
Cash flows from financing activities:
New borrowings		396			—			—			—			396
Debt repayments		—			(147	)		(11	)		—			(158	)
Cash dividends		(162	)		—			—			—			(162	)
Common stock repurchases		(63	)		—			—			—			(63	)
Exercise of common stock options		23			—			—			—			23
Distributions paid to noncontrolling interests and other		4			—			(43	)		—			(39	)
(Increase) decrease in intercompany and investments, net		(69	)		163			(94	)		—			—
Net cash provided by (used in) financing activities		129			16			(148	)		—			(3	)
Effect of exchange rate changes on cash and cash equivalents		—			—			2			—			2
Increase (decrease) in cash and cash equivalents		73			—			64			—			137
Cash and cash equivalents at beginning of period		465			—			74			—			539
Cash and cash equivalents at end of period	$	538		$	—		$	138		$	—		$	676