The following is a reconciliation of adjusted income from operations, net income and net income per share to reported income from operations, net income and net income per share for the three months ended December 31, 2012 and 2011 (in millions, except per share data):

  Three months ended December 31,
2012         2011  
                       

IncomeFromOperations

NetIncome (1)

NetIncomePerShare (1)

IncomeFromOperations

NetIncome (1)

NetIncomePerShare (1)
 
As adjusted $ 141.3 $ 98.0 $ 0.99 $ 191.5 $ 141.7 $ 1.44
Tax adjustments (2) (26.9 ) (0.27 )
Impairment charge (3) 22.4 22.4 0.22
GSI acquisition (4)             5.8   (143.5 )   (1.46 )
 
As reported $ 118.9 $ 102.5   $ 1.04   $ 185.7 $ 285.2   $ 2.90  
 

(1) Net income and net income per share amounts are after tax.

(2)During the fourth quarter of 2012, the Company recorded a non-cash tax gain associated with the recognition of certain U.S. deferred tax assets from the reversal of its U.S. deferred tax valuation allowance and the recognition of certain U.S. research and development tax credits.
 
 

(3) In accordance with ASC 350, “Intangibles - Goodwill and Other,” the Company conducted an impairment analysis of its Chinese harvesting business during the fourth quarter of 2012. As a result of its analysis, the Company concluded that the goodwill and certain other intangible assets were impaired and recorded an impairment charge of $22.4 million.
 
 
 

(4) During the fourth quarter of 2011, the Company recorded a tax gain of $149.3 million and acquisition expenses of $5.8 million associated with the GSI acquisition.
 
 

The following is a reconciliation of adjusted income from operations, net income and net income per share to reported income from operations, net income and net income per share for the years ended December 31, 2012 and 2011 (in millions, except per share data):
  Years ended December 31,
2012         2011  
                       

IncomeFromOperations

NetIncome (1)

NetIncomePerShare (1)

IncomeFromOperations

NetIncome (1)

NetIncomePerShare (1)
 
As adjusted $ 715.6 $ 517.6 $ 5.25 $ 615.4 $ 439.3 $ 4.48
Tax adjustments (2) (26.9 ) (0.27 )
Impairment charge (3) 22.4 22.4 0.22
Restructuring and other infrequent income (4)

(0.7

)

(0.5

)

GSI acquisition (5)             5.8     (143.5 )   (1.47 )
 
As reported $ 693.2 $ 522.1   $ 5.30   $ 610.3   $ 583.3   $ 5.95  
 

(1) Net income and net income per share amounts are after tax.

(2) During the fourth quarter of 2012, the Company recorded a non-cash tax gain associated with the recognition of certain U.S. deferred tax assets from the reversal of its U.S. deferred tax valuation allowance and the recognition of certain U.S. research and development tax credits.
 
 

(3) In accordance with ASC 350, “Intangibles - Goodwill and Other,” the Company conducted an impairment analysis of its Chinese harvesting business during the fourth quarter of 2012. As a result of its analysis, the Company concluded that the goodwill and certain other intangible assets were impaired and recorded an impairment charge of $22.4 million.
 
 
 

(4) The restructuring and other infrequent income recorded during 2011 related primarily to a reversal of approximately $0.9 million of previously accrued legally required severance payments associated with the rationalization of the Company’s French operations.
 
 

(5) During the fourth quarter of 2011, the Company recorded a tax gain of $149.3 million and acquisition expenses of $5.8 million associated with the GSI acquisition.
 
 
 

This earnings release discloses the percentage change in regional net sales due to the impact of currency translation. The following table sets forth, for the three months and year ended December 31, 2012, the impact to net sales of currency translation by geographical segment (in millions, except percentages):
 

Three Months EndedDecember 31,
       

Change due to currencytranslation
 

2012
       

2011
   

% changefrom 2011
 

$
       

%
 
 
North America $ 652.3 $ 598.7 9.0 % $ 3.5 0.6 %
South America 511.9 448.5 14.1 % (71.1 ) (15.9 )%
Europe/Africa/Middle East 1,406.5 1,381.6 1.8 % (32.2 ) (2.3 )%
Asia/Pacific   132.7   89.0 49.1 %   (0.3 ) (0.3 )%
 
$ 2,703.4 $ 2,517.8 7.4 % $ (100.1 ) (4.0 )%
 

 

Years Ended

December 31,

 

Change due to currencytranslation
 

2012
 

2011

% changefrom 2011
 

$
 

%
 
 
North America $ 2,584.4 $ 1,770.6 46.0 % $ (11.6 ) (0.7 )%
South America 1,855.7 1,871.5 (0.8 )% (295.5 ) (15.8 )%
Europe/Africa/Middle East 5,073.7 4,847.2 4.7 % (357.7 ) (7.4 )%
Asia/Pacific   448.4   283.9 57.9 %   (7.9 ) (2.8 )%
 
$ 9,962.2 $ 8,773.2 13.6 % $ (672.7 ) (7.7 )%
 
 

This earnings release discloses the percentage change in regional net sales due to the impact of acquisitions. The following table sets forth, for the three months and year ended December 31, 2012, the impact to net sales of acquisitions by geographical segment (in millions, except percentages):
 

Three Months EndedDecember 31,
       

Change due to acquisitions
 

2012
       

2011
   

% changefrom 2011
 

$
     

%
 
 
North America $ 652.3 $ 598.7 9.0 % $ 61.1 10.2 %
South America 511.9 448.5 14.1 % 9.8 2.2 %
Europe/Africa/Middle East 1,406.5 1,381.6 1.8 % 10.5 0.8 %
Asia/Pacific   132.7   89.0 49.1 %   19.5 21.9 %
 
$ 2,703.4 $ 2,517.8 7.4 % $ 100.9 4.0 %
 
 

Years EndedDecember 31,

Change due to acquisitions
 

2012
 

2011

% changefrom 2011
 

$

%
 
 
North America $ 2,584.4 $ 1,770.6 46.0 % $ 475.7 26.9 %
South America 1,855.7 1,871.5 (0.8 )% 87.5 4.7 %
Europe/Africa/Middle East 5,073.7 4,847.2 4.7 % 104.7 2.2 %
Asia/Pacific   448.4   283.9 57.9 %   106.4 37.5 %
 
$ 9,962.2 $ 8,773.2 13.6 % $ 774.3 8.8 %
 
 

The following is a reconciliation of free cash flow to net cash provided by operating activities for the years ended December 31, 2012 and 2011 (in millions):
        2012           2011  
 
Net cash provided by operating activities $ 666.4 $ 725.9
Less:
Capital expenditures   (340.5 )   (300.4 )
Free cash flow $ 325.9   $ 425.5  

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