There are other grants of restricted stock units. In connection with these investigations, a number of the Companys subsidiaries were visited and documents seized. In June 2008, European Commission officials, with the assistance of the national authorities from a variety of countries, started an investigation into potential competition law violations in a variety of countries across the European Union. Taxes collected on sales are recorded on a net basis. Under the Domination Agreement, we are entitled to exercise full operating control and receive 100% of the future earnings of Wella.
Beauty products are manufactured at 42 of these locations; Grooming products are manufactured at 13 of these locations; Fabric Care and Home Care products at 49; Baby Care and Family Care products at 29; Pet Care, Snacks and Coffee products at 15; and Health Care products at 37. As a result, consumers will reward us with leadership sales, profit and value creation, allowing our people, our shareholders and the communities in which we live and work to prosper. If a recipient of a grant leaves the Company while holding an unexercised option or right, any unexercisable portions immediately become void, except in the case of death, and any exercisable portions become void within one month of departure, except in the case of death or retirement. Additionally, the Company historically classified unrecognized tax benefits in accrued expenses and other liabilities. We also issued 79 million stock options in exchange for The Gillette Companys outstanding stock options.
In July 2006, French authorities, in connection with an inquiry into potential competition law violations in France, entered the premises of two of the Companys French subsidiaries and seized a variety of documents. The emphasis is on maintaining an effective global reach. The Company acquired the exclusive marketing and distribution rights for Asacol in the United Kingdom in December 2001. Total shares available for future issuance under this plan is approximately 12 million. We work collaboratively with our customers to improve the in-store presence of our products and win the first moment of truth when a consumer is shopping in the store. Deferred tax assets and liabilities are established using the enacted statutory tax rates and are adjusted for any changes in such rates in the period of change. Due to the proprietary nature of many of the Companys materials and processes, certain supply contracts contain penalty provisions for early termination.
The plan has not been submitted to shareholders for approval. The following discussion of risks is not all inclusive but is designed to highlight what we believe are important factors to consider when evaluating our expectations. Management believes that the Companys production facilities are adequate to support the business efficiently and that the properties and equipment have been well maintained. Such earnings are considered indefinitely invested in the foreign subsidiaries. The plan was designed to attract, retain and motivate key salaried employees of The Gillette Company and non-employee members of its Board of Directors. Goodwill and Intangible Assets Goodwill balances, resulting from business combinations accounted for under the purchase method, are allocated to reporting units expected to derive the benefits of the acquisition.
The Company begins to lose Actonel patent exclusivity in 2014 in the United States and 2010 in Western Europe and Canada. At the same time, the national authorities in Spain and Italy initiated additional investigations into potential antitrust concerns within those countries. In certain geographic markets, the Company and s-a share development and promotion costs as well as product profits based on contractual percentages. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Commitments and Contingencies Purchase Commitments The Company has purchase commitments for materials, supplies, services and property, plant and equipment as part of the normal course of business.
The following table gives information about the Companys common stock that may be issued upon the exercise of options, warrants and rights under all of the Companys equity compensation plans as of June 30, 2008. Assumptions utilized in the model, which are evaluated and revised, as necessary, to reflect market conditions and experience, were as follows: Years ended June 30 2009 2008 2007 Interest rate 0. While many of the benefits from these efforts will not be realized until future years, we believe these activities demonstrate our commitment to future growth. Contractual profit sharing payments due to co-promotion partners are included within other operating expense and contractual profit sharing payments due from co-promotion partners are included within Net sales. Prior to the sale, the Company out-licensed these marketing rights to Ajinomoto in exchange for ongoing royalty payments based on the level of sales generated by Ajinomoto. Also recorded within other operating expense are royalty costs associated with in-license arrangements as well as intangible asset amortization.
If demand and growth rates fall substantially below expected levels or our market share declines significantly in these businesses, our results could be negatively impacted. Except in the case of death of the recipient, all stock options and stock appreciation rights must vest in no less than one year from the date of grant and must expire no later than fifteen years from the date of grant. The Company recognized an intangible asset for the initial non-refundable payments to Novartis for the rights granted to the Company under the agreement. Upfront and milestone payments paid to third parties in connection with research and development collaborations prior to regulatory approval are expensed as incurred. We are a consumer products company and rely on continued global demand for our brands and products. In June 2004, we purchased the remaining 20% stake of our China venture from our partner, Hutchison Whampoa China Ltd. As consideration for the Domination Agreement, we agreed to pay the remaining shareholders of Wella a guaranteed annual dividend payment.
Hutchison , giving us full ownership of our operations in China. Other Operating Expense Other operating expense is comprised primarily of contractual profit sharing costs due to sanofi-aventis, a third party, pursuant to the Companys Actonel co-promotion agreement with sanofi-aventis see Note 5. On June 30, 2007, we adopted the new accounting guidance on pensions. The maximum number of shares that may be granted under this plan is 20 million shares. Our costs in 2008 were impacted by higher commodity costs and this trend is likely to continue in 2009. Cash Flow Presentation The statement of cash flow is prepared using the indirect method, which reconciles net earnings to cash flow from operating activities. An audit includes consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Companys internal control over financial reporting.
Investment risk is carefully controlled with plan assets rebalanced to target allocations on a periodic basis and continual monitoring of investment managers performance relative to the investment guidelines established with each investment manager. The plan terminated on October 13, 2007. Comment Oath et nos partenaires vous offrent de meilleures expériences publicitaires Afin de vous offrir une meilleure expérience utilisateur, nous souhaitons vous proposer des publicités pertinentes qui vous seront plus utiles. In the United States, we own and operate 39 manufacturing facilities located in 23 different states. Research and product development activities, designed to enable sustained organic growth, continued to carry a high priority during the past fiscal year.