Note 7 – Comprehensive Income

Comprehensive income includes certain gains and losses that, under U.S. GAAP, are excluded from net income as such amounts are recorded directly as an adjustment to stockholders’ equity. Our comprehensive income is primarily comprised of net income, foreign currency translation gain (loss), unrealized gain (loss) on foreign currency hedging activities, unrealized investment gain (loss) and pension adjustment gain (loss).

The following table summarizes our Accumulated other comprehensive income, net of applicable taxes as of:

			December 30,		December 31,		December 26,
			2017		2016		2015
Attributable to Redeemable noncontrolling interests:
		Foreign currency translation adjustment	$	(5,564)	$	(13,025)	$	(10,373)

Attributable to noncontrolling interests:
		Foreign currency translation adjustment	$	539	$	(113)	$	(76)

Attributable to Henry Schein, Inc.:
	Foreign currency translation loss		$	(112,439)	$	(296,212)	$	(200,499)
	Unrealized gain (loss) from foreign currency hedging activities			(782)		(53)		939
	Unrealized investment loss			(3)		-		(2)
	Pension adjustment loss			(16,843)		(20,776)		(20,377)
		Accumulated other comprehensive loss	$	(130,067)	$	(317,041)	$	(219,939)

Total Accumulated other comprehensive loss			$	(135,092)	$	(330,179)	$	(230,388)

	December 30,		December 31,		December 26,
	2017		2016		2015
Net income	$	459,293	$	556,395	$	523,427

Foreign currency translation gain (loss)		191,886		(98,402)		(134,035)
Tax effect		-		-		-
Foreign currency translation gain (loss)		191,886		(98,402)		(134,035)

Unrealized gain (loss) from foreign currency hedging activities		(1,515)		(1,025)		2,147
Tax effect		786		33		(153)
Unrealized gain (loss) from foreign currency hedging activities		(729)		(992)		1,994

Unrealized investment gain (loss)		(4)		2		134
Tax effect		1		-		-
Unrealized investment gain (loss)		(3)		2		134

Pension adjustment gain (loss)		4,247		(947)		3,278
Tax effect		(314)		548		(1,008)
Pension adjustment gain (loss)		3,933		(399)		2,270

Comprehensive income	$	654,380	$	456,604	$	393,790

During the years ended December 30, 2017, December 31, 2016 and December 26, 2015, we recognized, as a component of our comprehensive income, a foreign currency translation gain (loss) of $191.9 million, $(98.4) million and $(134.0) million, respectively, due to changes in foreign exchange rates from the beginning of the period to the end of the period. Our financial statements are denominated in the U.S. Dollar currency. Fluctuations in the value of foreign currencies as compared to the U.S. Dollar may have a significant impact on our comprehensive income. The foreign currency translation gain (loss) during the years ended December 30, 2017, December 31, 2016 and December 26, 2015 was impacted by changes in foreign currency exchange rates as follows:

		Foreign Currency
		Translation
		Gain (Loss)
		for the
		Year Ended		FX Rate in USD
		December 30,		December 30,	December 31,
Currency		2017		2017	2016
Euro		$	113,259	1.20	1.05
British Pound			28,001	1.35	1.23
Australian Dollar			15,124	0.78	0.72
Canadian Dollar			9,403	0.80	0.74
Polish Zloty			11,058	0.29	0.24
Swiss Franc			5,544	1.03	0.98
Brazilian Real			(2,411)	0.30	0.31
All other currencies			11,908
	Total	$	191,886

		Foreign Currency
		Translation
		Gain (Loss)
		for the
		Year Ended		FX Rate in USD
		December 31,		December 31,	December 26,
Currency		2016		2016	2015
British Pound		$	(53,723)	1.23	1.49
Euro			(41,245)	1.05	1.10
Polish Zloty			(3,849)	0.24	0.26
Canadian Dollar			3,345	0.74	0.72
Brazilian Real			2,856	0.31	0.25
Swiss Franc			(2,365)	0.98	1.01
Australian Dollar			(562)	0.72	0.73
All other currencies			(2,859)
	Total	$	(98,402)

		Foreign Currency
		Translation
		Gain (Loss)
		for the
		Year Ended		FX Rate in USD
		December 26,		December 26,	December 27,
Currency		2015		2015	2014
Euro		$	(76,754)	1.10	1.22
Australian Dollar			(19,864)	0.73	0.81
British Pound			(15,404)	1.49	1.56
Canadian Dollar			(10,071)	0.72	0.86
Brazilian Real			(5,942)	0.25	0.37
Polish Zloty			(3,281)	0.26	0.28
Swiss Franc			928	1.01	1.01
All other currencies			(3,647)
	Total	$	(134,035)

		December 30,		December 31,		December 26,
		2017		2016		2015
Comprehensive income attributable to
	Henry Schein, Inc.	$	593,273	$	409,676	$	354,251
Comprehensive income attributable to
	noncontrolling interests		1,443		820		741
Comprehensive income attributable to
	Redeemable noncontrolling interests		59,664		46,108		38,798
Comprehensive income		$	654,380	$	456,604	$	393,790