MEMORANDUM

Date: May 15, 2013

To: Steve Andujar

EVP & CIO
From: Dean Dunaier
Vice President – IT Finance
cc: Curtis Crider
SVP – Controller
Re: April 2013 – IT Financials

Operating Expense
Global Information Technology was unfavorable ($0.4M), or (0.1%), for the eight months year-
to-date on approved spend of $114.3M. The remaining FY13 budget of $54.2M will cover the
forecasted operating expenses however risks from higher forecasted capitalization of Internal
labor (19.1% Fcst vs. 9.8%), approval of incremental expense projects and recovery of JV
funding for Brazil and Australia. Listed below are the significant variances and related business
drivers creating the YTD variances:

Unfavorable

- ($1.1M) under planned External labor working on expense portion of projects

- ($0.7M) under accrual and FX impact on FY12 international Bonus payout plus
unplanned Relocation and Severance costs
- ($0.6M) reduced utilization of Internal Labor working on Capital projects
o recover $0.2M in December for unapproved SAP Internal labor
- ($0.3M) decrease in chargeout of IT equipment rental for TV, MPG and 3rd parties
- ($0.3M) unplanned SCA charge for increase number of Active Directory users
- ($0.1M) Telecommunications growth internationally in Global Crossing
Favorable

- $1.2M Salary & Wages favorable from average 20+ unplanned vacant positions
- $1.1M less depreciation from delays in EIS Pools and timing of project end dates
- $0.4M primarily ADM renegotiated Business Objects maintenance & repairs contract
- $0.2M telecom vendor usage credits
 MEMORANDUM
Project Spend
Global YTD project spend of $34.9M plus committed spend of $2.4M generates total project
spend of $37.4M ($32.3M Cap Ex and $5.1M Ops Ex), consuming 59% of their $63.6M FY13
approved budget over 67% of the year. The total forecasted spend exceeds FY13 approved
budget by ($0.2M) or (0.3%) however this includes CIO discretionary spend forecast of $3.2M.
The chart below outlines the remaining budget by DCIO

FY13 YTD Remaining % of % of

Budget Consumed Approved Budget Total
Description $ $ $ Consumed Budget
MOTION PICTURES GROUP 3,140,821 2,193,328 947,493 70% 30%
PROD, STUDIO OPS & WPF 4,002,186 1,716,315 2,285,871 43% 57%
HOME ENTERTAINMENT WORLDWIDE 1,893,335 1,064,017 829,318 56% 44%
TELEVISION 6,638,146 5,245,642 1,392,504 79% 21%
CORPORATE 4,166,360 2,451,802 1,714,558 59% 41%
SAP SUPPORT GROUP 4,807,693 2,751,171 2,056,522 57% 43%
BRM 24,648,541 15,422,275 9,226,266 63% 37%
ASIA PACIFIC 407,500 17,060 390,440 4% 96%
LATIN AMERICA 446,832 5,354 441,478 1% 99%
EUROPE 1,120,428 500,775 619,653 45% 55%
REGIONS 1,974,760 523,190 1,451,570 26% 74%
APPLICATION DEV. & MAINTENANCE 15,956,561 8,081,401 7,875,160 51% 49%
ENTERPRISE INFRASTR SERVICES 17,903,107 13,312,798 4,590,309 74% 26%
OFFICE OF THE CIO 3,160,548 - 3,160,548 0% 100%
ENTERPRISE GROUPS 37,020,216 21,394,199 15,626,017 58% 42%
TOTAL IT 63,643,517 37,339,664 26,303,853 59% 41%