Proxy Statement
Appendix C

Verizon Communications Inc. Reconciliation of Non-GAAP Measures

Adjusted Net Income Reconciliation

(dollars in millions)

Year Ended December 31,

2011

 

Reported Net Income Attributable to Verizon

 

$

2,404

 

Severance, Pension and Benefit Charges

 

 

3,626

 

Early Extinguishment of Debt

 

 

76

 

Adjusted Net Income Attributable to Verizon

 

$

6,106

 

Adjusted EPS Reconciliation

Years Ended December 31,

 

2008

 

 

 

2011

 

Reported EPS

$

(0.77

)

 

$

0.85

 

Merger Integration and Acquisition Related Charges

 

0.03

 

 

 

 

Access Line Spin-Off Related Charges

 

0.03

 

 

 

 

Severance, Pension and Benefit Charges

 

3.32

 

 

 

1.27

 

Extinguishment of Debt

 

 

 

 

0.03

 

Investment Related Charges

 

0.01

 

 

 

 

Adjusted EPS

$

2.62

 

 

$

2.15

 

Free Cash Flow Reconciliation

(dollars in millions)

Year Ended December 31,

2011

 

Net Cash Provided by Operating Activities

 

$

29,780

 

Less Capital expenditures (including capitalized software)

 

 

16,244

 

Free Cash Flow

 

$

13,536