Shareholders' Equity and Comprehensive Earnings

9 Months Ended

Oct. 02, 2011

Shareholders' Equity and Comprehensive Earnings

Shareholders' Equity and Comprehensive Earnings

14.  Shareholders’ Equity and Comprehensive Earnings

Accumulated Other Comprehensive Earnings (Loss)

Accumulated other comprehensive earnings (loss) include the cumulative effect of foreign currency translation, pension and other postretirement items and realized and unrealized gains and losses on derivative instruments receiving cash flow hedge accounting treatment.

($ in millions)	Foreign Currency Translation			Pension and Other Postretirement Items  (Net of Tax)			Effective Derivatives (Net of Tax)			Gain on Available for Sale Securities (Net of Tax)			Accumulated Other Comprehensive Earnings (Loss)
December 31, 2010	$	123.1		$	(287.8	)	$	72.4		$	10.2		$	(82.1	)
Change	(3.6		)	13.7			(82.7		)	(10.2		)	(82.8		)
October 2, 2011	$	119.5		$	(274.1	)	$	(10.3	)	$	—		$	(164.9	)

Comprehensive Earnings

	Three months ended						Nine months ended
	October 2,			September 26,			October 2,			September 26,
($ in millions)	2011			2010			2011			2010
Net earnings attributable to Ball Corporation	$	132.1		$	227.5		$	366.5		$	375.8
Foreign currency translation adjustment	(107.3		)	89.8			(3.6		)	(48.6		)
Pension and other postretirement items, net of tax	4.2			(14.0		)	13.7			(7.2		)
Effect of derivative instruments, net of tax (a)	(55.8		)	27.1			(82.7		)	28.4
Gain on available for sale securities, net of tax	—			1.6			(10.2		)	3.0
Comprehensive earnings attributable to Ball Corporation	$	(26.8	)	$	332.0		$	283.7		$	351.4

(a)The changes in accumulated other comprehensive earnings (loss) for effective derivatives were as follows:

	Three months ended						Nine months ended
	October 2,			September 26,			October 2,			September 26,
($ in millions)	2011			2010			2011			2010
Amounts reclassified into earnings (Note 17):
Commodity contracts	$	(18.7	)	$	(2.0	)	$	(52.7	)	$	10.5
Interest rate and foreign currency contracts	(0.6		)	2.3			(1.6		)	5.6
Change in fair value of cash flow hedges:
Commodity contracts	(54.4		)	32.8			(75.9		)	33.0
Interest rate and foreign currency contracts	(9.2		)	2.9			(0.6		)	(4.1		)
Foreign currency and tax impacts	27.1			(8.9		)	48.1			(16.6		)
	$	(55.8	)	$	27.1		$	(82.7	)	$	28.4

Share Repurchase Agreements

On August 2, 2011, in a privately negotiated transaction, Ball entered into an accelerated share repurchase agreement to buy $125 million of its common stock using cash on hand and available borrowings. The company advanced the $125 million on August 5, 2011, and received 3,077,976 shares, which represented 90 percent of the total shares as calculated using the previous day’s closing share price. The agreement was settled on September 15, 2011, and the company received an additional 526,532 shares.

In February 2010, in a privately negotiated transaction, Ball entered into an accelerated share repurchase agreement to buy $125 million of its common stock using cash on hand and available borrowings. The company advanced the $125 million on February 22, 2010, and received 4,323,598 shares, which represented 90 percent of the total shares as calculated using the previous day’s closing price. The agreement was settled in May 2010, and the company received an additional 398,206 shares.