Quarterly report pursuant to Section 13 or 15(d)

Common Stock Repurchases

Common Stock Repurchases
6 Months Ended
Jul. 02, 2011
Common Stock Repurchases [Abstract]  
Common Stock Repurchases

Note 23Common Stock Repurchases


Common Stock Repurchase Program


We have an ongoing authorization, since October 2005, as amended, from our Board of Directors to repurchase up to $35 billion in shares of our common stock in open market or negotiated transactions. As of July 2, 2011, $8.2 billion remained available for repurchase under the existing repurchase authorization limit. During the second quarter of 2011, we repurchased 93.3 million shares of common stock at a cost of $2.0 billion. During the first half of 2011, we repurchased 282.4 million shares of common stock at a cost of $6.0 billion. We did not make any common stock repurchases under our authorized plan during the first half of 2010. We have repurchased 3.7 billion shares at a cost of $76 billion since the program began in 1990. Our repurchases in the first half of 2011 were executed in privately negotiated transactions.


Restricted Stock Unit Withholdings


We issue restricted stock units as part of our equity incentive plans. For the majority of restricted stock units granted, the number of shares issued on the date the restricted stock units vest is net of the minimum statutory withholding requirements that we pay in cash to the appropriate taxing authorities on behalf of our employees. During the first half of 2011, we withheld 9.2 million shares (9.2 million shares during the first half of 2010) to satisfy $180 million ($219 million during the first half of 2010) of employees' tax obligations. Although shares withheld are not issued, they are treated as common stock repurchases in our financial statements, as they reduce the number of shares that would have been issued upon vesting.