Capital assets (Property, Plant and Equipment) are stated at cost and include all direct costs plus overhead charges and an allowance for interest costs related to financing construction of the related assets.

For both 2007 and 2006, debt retirement funds have been reclassified to long-term assets. These debt retirement funds of $24 million in 2007 and $20 million in 2006 were previously recorded as a reduction to long-term debt.

Refer to the 2007 Annual Report for further information.
 

Financial and Operating Highlights | Capital Expenditures