NOTE 2 — CHANGE IN ACCOUNTING PRINCIPLE:

In April 2015, the FASB (“Financial Accounting Standards Board”) issued ASU 2015-03: Interest — Imputation of interest as an amendment of ASC 835-30, which requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with the treatment of a debt discount. The Company implemented this ASU in the second quarter of 2015 as permitted via early adoption and it is applied on a retrospective basis. As a consequence, the December 31, 2014 balance sheet has been modified to reflect this presentation.

This change in accounting principle will result in a more transparent presentation of debt since debt issuance costs are similar to debt discounts and in effect reduce the proceeds of borrowings as well as impact the effective interest rate on the related debt.

	Face amount		Issuance discount			Issuance costs			Carrying value as of June 30, 2015
6.375% Senior unsecured notes due 2015	$	200	$	(0.1	)	(*		)	$	199.9
7.500% Senior unsecured notes due 2035	1,000		(14.0		)	$	(9.2	)	976.8
5.375% Senior unsecured notes due 2020	400		(1.1		)	(1.2		)	397.7
6.750% Senior unsecured notes due 2040	1,100		(7.7		)	(6.2		)	1,086.1
3.500% Senior unsecured notes due 2022	300		(0.8		)	(1.2		)	298.0
5.250% Senior unsecured notes due 2042	1,200		(20.7		)	(6.9		)	1,172.4
9.250% Yankee Bonds due 2028	125		—			—			51.1
3.875% Senior unsecured notes due 2025	500		(2.7		)	(2.0		)	495.3
5.875% Senior unsecured notes due 2045	1,500		(17.5		)	(7.6		)	1,474.9

Total	$	6,325	$	(64.6	)	$	(34.3	)	6,152.2
Less, current portion									(200.0		)

Total long-term debt									$	5,952.2

(*) Less than $0.1 million

	Face amount		Issuance discount			Carrying value before adoption of ASU 2015-03			Issuance costs			Restated Carrying value as of December 31, 2014
6.375% Senior unsecured notes due 2015	$	200	$	(0.2	)	$	199.8		$	(0.2	)	$	199.6
7.500% Senior unsecured notes due 2035	1,000		(14.2		)	985.8			(9.3		)	976.5
5.375% Senior unsecured notes due 2020	400		(1.2		)	398.8			(1.3		)	397.5
6.750% Senior unsecured notes due 2040	1,100		(7.8		)	1,092.2			(6.2		)	1,086.0
3.500% Senior unsecured notes due 2022	300		(0.8		)	299.2			(1.2		)	298.0
5.250% Senior unsecured notes due 2042	1,200		(20.9		)	1,179.1			(6.9		)	1,172.2
9.250% Yankee Bonds due 2028	125		—			51.1			—			51.1

Total	$	4,325	$	(45.1	)	4,206.0			$	(25.1	)	4,180.9
Less, current portion						(200.0		)				(200.0		)

Total long-term debt						$	4,006.0					$	3,980.9