Annual Reports

N O T E S   T O   T H E   F I N A N C I A L   S T A T E M E N T S
3. Divestitures

Adjustment to 1994 Loss on Disposal of Discontinued Operations – Net income for 1999 included a one-time, after-tax gain of $27 million, net of taxes of $16 million, from the adjustment of a liability established in connection with the discontinued operations of a former subsidiary.

Skyway – In November 1998, the Corporation completed the sale of Skyway Freight Systems, Inc. (Skyway), a wholly owned subsidiary. Skyway provided contract logistics and supply chain management services. The proceeds were used to repay outstanding debt. The sale of Skyway generated a net after-tax loss of $50 million, of which $40 million was recognized in 1997.

2. Acquisitions | 4. Financial Instruments