D.7 MD&A — Contractual Obligations
Although registrants are no longer required to include in the MD&A section a tabular
disclosure of all known contractual obligations, they may choose to continue to disclose
this information.
Sample Disclosure
The table below contains information about our
contractual obligations that affect our short- and long-term
liquidity and capital needs. The table also includes information
about payments due under specified contractual obligations and
is aggregated by type of contractual obligation. It includes the
maturity profile of our consolidated long-term debt, operating
leases, and other long-term liabilities.
In the table above, the UTBs, including interest
and penalties, are related to temporary differences. The years
for which the temporary differences related to the UTBs will
reverse have been estimated in the schedule of obligations
above. In addition, approximately $XX of UTBs have been recorded
as liabilities, and we are uncertain about whether or, if so,
when such amounts may be settled. We also recorded a liability
for potential penalties of $XX and interest of $XX for the UTBs
not included in the table above.
Sample Disclosure
The following table presents certain payments
due under contractual obligations with minimum firm commitments
as of December 31, 20X3:
Our other noncurrent liabilities in the
consolidated balance sheet include UTBs and related interest and
penalties. As of December 31, 20X3, we had gross UTBs of $XX and
an additional $XX for interest and penalties classified as
noncurrent liabilities. At this time, we are unable to make a
reasonably reliable estimate of the timing of payments in
individual years in connection with these tax liabilities;
therefore, such amounts are not included in the above
contractual obligation table.