NOTES to the consolidated financial statements Research and Development Research and development costs, including new product development programs, regulatory compliance and clinical research, are expensed as incurred.
Pension Plans The Company maintains pension plans covering certain international employees, which the Company accounts for in accordance with FASB Statement No.87, Employers’ Accounting for Pensions.
The assets, liabilities and costs associated with these plans were not material in 2004, 2003 and 2002.
Net Income Per Common Share Net income per common share is based upon the weighted average number of common shares and common share equivalents outstanding each year.
New Accounting Standards On December 16, 2004, the FASB issued Statement No.123(R), Share-Based Payment, which is a revision of Statement No.123, Accounting for Stock-Based Compensation.
Statement No.123(R) supersedes APB Opinion No.25, Accounting for Stock Issued to Employees and amends Statement No.95, Statement of Cash Flows.
In general, Statement No.123(R) contains similar accounting concepts as those described in Statement No.123.
However, Statement No.123(R) requires all share-based payments to employees, including grants of employee stock options, to be recognized in the income statement based on their fair values.
Pro forma disclosure is no longer an alternative.
The Company expects to adopt Statement No.123(R) when it becomes effective on July 1, 2005.
Statement No.123(R) permits public companies to adopt the new requirements using one of two methods: 1.
A “modified prospective” method in that compensation cost is recognized beginning with the effective date (a) based on the requirements of Statement No.123(R) for all share-based payments granted after the effective date of Statement No.123(R) and (b) based on the requirements of Statement No.123 for all awards granted to employees before July 1, 2005 that remain unvested as of July 1, 2005.2.
A “modified retrospective” method that includes the requirements of the modified prospective method described above, but also permits entities to restate based on the amounts previously recognized under Statement No.123 for purposes of pro forma disclosures either (a) for all prior periods presented or (b) for prior interim periods of the year of adoption.
The Company is currently evaluating which method it will use to adopt the requirements of Statement No.123(R).
As permitted by Statement No.123, the Company is currently accounting for share-based payments to employees using Opinion No.25’s intrinsic value method and, as such, generally recognizes no compensation cost for employee stock options, except as disclosed in Note M.  Accordingly, the adoption of Statement No.123(R)’s fair value method will impact the Company’s statements of operations.
The impact of adoption of Statement No.123(R) cannot be quantified at this time because it will depend on the level of share-based payments granted in the future and the method used to value such awards.
However, had the Company adopted Statement No.123(R) in prior periods, the impact of that standard would have approximated the impact of Statement No.123 and net income and net income per share would have been reported as the following pro forma amounts:
## Table 0 ##
Statement No.123(R) also requires the benefits of tax deductions in excess of recognized compensation cost to be reported as a financing cash flow, rather than as an operating cash flow as required under currently effective accounting literature.
This requirement will reduce net operating cash flows and increase net financing cash flows in periods after adoption of Statement No.123(R).
While the Company cannot estimate what those amounts will be in the future (because they depend on, among other things, when employees exercise stock options), the amount of operating cash flows recognized in prior periods for such excess tax deductions was $185 million in 2004, $154 million in 2003 and $28 million in 2002.
Reclassifications The Company has reclassified certain prior years’ amounts to conform to the current year’s presentation.
As of December 31, 2010, we have U. S.  tax net operating loss, capital loss and tax credits, the tax effect of which was $252 million, as compared to $261 million as of December 31, 2009.
In addition, we have foreign tax net operating loss carryforwards and tax credits, the tax effect of which was $341 million as of December 31, 2010, as compared to $334 million as of December 31, 2009.
These tax attributes will expire periodically beginning in 2011.
After consideration of all positive and negative evidence, we believe that it is more likely than not that a portion of the deferred tax assets will not be realized.
As a result, we established a valuation allowance of $357 million as of December 31, 2010 and $329 million as of December 31, 2009.
The increase in the valuation allowance as of December 31, 2010, as compared to December 31, 2009, is attributable primarily to foreign net operating losses generated during the year.
The income tax impact of the unrealized gain or loss component of other comprehensive income was a benefit of $16 million in 2010, a benefit of $4 million in 2009, and a provision of $1 million in 2008.
We do not provide income taxes on unremitted earnings of our foreign subsidiaries where we have indefinitely reinvested such earnings in our foreign operations.
We do not believe it is practical to estimate the amount of income taxes payable on the earnings that are indefinitely reinvested in foreign operations.
Unremitted earnings of our foreign subsidiaries that we have indefinitely reinvested in foreign operations are $9.193 billion as of December 31, 2010 and $9.355 billion as of December 31, 2009.
As of December 31, 2010, we had $965 million of gross unrecognized tax benefits, of which net $859 million, if recognized, would affect our effective tax rate.
As of December 31, 2009, we had $1.038 billion of gross unrecognized tax benefits, of which net $908 million, exclusive of interest and penalties, if recognized, would affect our effective tax rate.
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in millions):
## Table 1 ##
We are subject to U. S.  federal income tax as well as income tax of multiple state and foreign jurisdictions.
We have concluded all U. S.  federal income tax matters through 2000 and substantially all material state, local, and foreign income tax matters through 2001.
We resolved a number of foreign examinations during 2010.
As a result of these activities, we decreased our reserve for uncertain tax positions by $9 million, inclusive of $3 million of interest and penalties.
In addition, as a result of the expiration of statutes of limitations in various foreign and state jurisdictions, we decreased our reserve for uncertain tax positions by $20 million, inclusive of $7 million of interest and penalties.
Further, during 2010, we concluded the appeals process for the federal tax examination for Boston Scientific (excluding Guidant) covering years 2002-2005 and decreased our reserve for uncertain tax positions by $72 million, inclusive of $21 million of interest and penalties, net of payments.
We also re-measured an uncertain tax position due to a favorable court ruling issued in a similar thirdparty case and resolved another uncertain tax position resulting from a favorable taxpayer motion issued in a similar third-party case, which resulted in a decrease of $91 million inclusive of $25 million of interest and penalties.
During 2009, we received favorable foreign court decisions and resolved certain foreign matters.
As a result of these activities, we decreased our reserve for uncertain tax positions by $20 million, inclusive of $7 million of interest and penalties.
In addition, statutes of limitations expired in various foreign and state jurisdictions, as a result, decreased our reserve for uncertain tax positions by $29 million, inclusive of interest and penalties.
We also resolved certain litigation-related matters, described our 2009 Annual Report filed on Form 10-K.  Based on the outcome of the settlements, we reassessed the reserve for uncertain tax positions previously recorded on certain positions and decreased our reserve by $22 million, inclusive of $1 million of interest.
During 2008, we resolved certain matters in federal, state, and foreign jurisdictions for Guidant and Boston Scientific for the years 1998- 2005.
We settled multiple federal issues at the Internal Revenue Service (IRS) examination and Appellate levels, including issues related to Guidant’s acquisition of Intermedics, Inc. , and various litigation settlements.
We also received favorable foreign court decisions and a favorable outcome related to our foreign research credit claims.
As a result of these audit activities, we decreased our reserve for uncertain tax positions, excluding tax payments, by $156 million, inclusive of $37 million of interest and penalties during 2008.
On December 17, 2010, we received Notices of Deficiency from the IRS reflecting proposed audit adjustments for Guidant
Financing Activities Our cash flows from financing activities reflect issuances and repayments of debt and proceeds from stock issuances related to our equity incentive programs.
Debt We made payments on debt, net of proceeds from borrowings, of $527 million in 2010, $853 million in 2009, and $1.425 billion in 2008, and had total debt of $5.438 billion as of December 31, 2010 and $5.918 billion as of December 31, 2009.
The debt maturity schedule for the significant components of our debt obligations as of December 31, 2010 is as follows:
## Table 2 ##
Note: The table above does not include discounts associated with our senior notes, or amounts related to interest rate contracts used to hedge the fair value of certain of our senior notes.
There were no amounts borrowed under our credit facilities as of December 31, 2010 or December 31, 2009.
As of December 31, 2010, we had outstanding letters of credit of $120 million, as compared to $123 million as of December 31, 2009, which consisted primarily of bank guarantees and collateral for workers’ compensation insurance arrangements.
As of December 31, 2010 and 2009, none of the beneficiaries had drawn upon the letters of credit or guarantees; accordingly, we have not recognized a related liability for our outstanding letters of credit in our consolidated balance sheets as of December 31, 2010 or 2009.
We believe we will generate sufficient cash from operations and intend to fund these payments without drawing on the letters of credit.
In January 2011, we paid at maturity $250 million of our senior notes; in addition, we borrowed $250 million under our credit and security facility secured by our U. S.  trade receivables and used the proceeds to pre-pay all $100 million of our 2011 term loan maturities and $150 million of our 2012 term loan maturities.
These prepayments are reflected as ‘current’ in the table above, as well as in our consolidated balance sheets included in Item 8 of this Annual Report.
As a result, quarterly principal payments of $50 million will commence in the fourth quarter of 2012.
Our revolving credit facility agreement requires that we maintain certain financial covenants, as follows:
## Table 3 ##
(1)Ratio of total debt to consolidated EBITDA, as defined by the agreement, for the preceding four consecutive fiscal quarters.
Requirement decreases to 3.5 times after March 31, 2011.
(2)Ratio of consolidated EBITDA, as defined by the agreement, to interest expense for the preceding four consecutive fiscal quarters.
The credit agreement provides for an exclusion from the calculation of consolidated EBITDA, as defined by the agreement, through the credit agreement maturity, of up to $258 million in restructuring charges and restructuring-related expenses related to our previously-announced restructuring plans, plus an additional $300 million for any future restructuring initiatives.
As of December 31, 2010, we had $470 million of the aggregate restructuring charge exclusion remaining.
In addition, any litigation-related charges and credits are excluded from the calculation of consolidated EBITDA until such items are paid or received; as well as up to $1.5 billion of any future cash payments for future litigation settlements or damage awards (net of any litigation payments received); and litigation-related cash payments (net of cash receipts) of up to $1.310 billion related to amounts that were recorded in the financial statements as of March 31, 2010.
As of December 31, 2010, we had $2.154 billion of the aggregate legal payment exclusion remaining.
As of and through December 31, 2010, we were in compliance with the required covenants.
Our inability to maintain compliance with these covenants could require us to seek to renegotiate the terms of our credit facilities or seek waivers from compliance with these covenants, both of which could result in additional borrowing costs.
Further, there can be no assurance that our lenders would grant such waivers.
Equity During 2010, we received $31 million in proceeds from stock issuances related to our stock option and employee stock purchase plans, as compared to $33 million in 2009 and $71 million in 2008.
Proceeds from the exercise of employee stock options and employee stock purchases vary from period to period based upon, among other factors, fluctuations in the trading price of our
common stock and in the exercise and stock purchase patterns of employees.
Stock-based compensation expense related to our stock ownership plans was $150 million in 2010, $144 million in 2009, and $138 million in 2008.
Contractual Obligations and Commitments The following table provides a summary of certain information concerning our obligations and commitments to make future payments, and is based on conditions in existence as of December 31, 2010.
## Table 4 ##
(1) In accordance with generally accepted accounting principles in the United States, these obligations relate to expenses associated with future periods and are not reflected in our consolidated balance sheets.
The litigation settlement obligation noted above relates to our settlement with the U. S.  Department of Justice for $296 million, discussed in Note L – Commitments and Contingencies to our 2010 consolidated financial statements included in Item 8 of this Annual Report, and was paid in January 2011.
Refer to Note G — Borrowings and Credit Arrangements to our 2010 consolidated financial statements included in Item 8 of this Annual Report for further information regarding our debt obligations and associated interest obligations.
The amounts in the table above with respect to operating lease obligations represent amounts pursuant to contractual arrangements for the lease of property, plant and equipment used in the normal course of business.
Purchase obligations relate primarily to non-cancellable inventory commitments and capital expenditures entered in the normal course of business.
Royalty obligations reported above represent minimum contractual obligations under our current royalty agreements.
The table above does not reflect unrecognized tax benefits of $1.242 billion, the timing of which is uncertain.
Refer to Note K — Income Taxes to our 2010 consolidated financial statements included in Item 8 of this Annual Report for more information on these unrecognized tax benefits.
Certain of our acquisitions involve the potential payment of contingent consideration, including our 2010 acquisition of Asthmatx, Inc.
The table above does not reflect any such obligations, as the timing and amounts are uncertain.
See Note B – Acquisitions to our 2010 consolidated financial statements included in Item 8 of this Annual Report for the estimated maximum potential amount of future contingent consideration we could be required to pay associated with prior acquisitions.
Legal Matters The medical device market in which we primarily participate is largely technology driven.
Physician customers, particularly in interventional cardiology, have historically moved quickly to new products and new technologies.
As a result, intellectual property rights, particularly patents and trade secrets, play a significant role in product development and differentiation.
However, intellectual property litigation is inherently complex and unpredictable.
Furthermore, appellate courts can overturn lower court patent decisions.
In addition, competing parties frequently file multiple suits to leverage patent portfolios across product lines, technologies and geographies and to balance risk and exposure between the parties.
In some cases, several competitors are parties in the same proceeding, or in a series of related proceedings, or litigate multiple features of a single class of devices.
These forces frequently drive settlement not only for individual cases, but also for a series of pending and potentially related and unrelated cases.
In addition, although monetary and injunctive relief is typically sought, remedies and restitution are generally not determined until the conclusion of the trial court proceedings and can be modified on appeal.
Accordingly, the outcomes of individual cases are difficult to time, predict or quantify and are often dependent upon the outcomes of other cases in other geographies.
Several third parties have asserted that certain of our current and former product offerings infringe patents owned or licensed by them.
We have similarly asserted that other products sold by our competitors infringe patents owned or licensed by us.
Adverse outcomes in one or more of the proceedings against us could limit our ability to sell certain products in certain jurisdictions, or reduce our operating margin on the sale of these products and could have a material adverse effect on our financial position, results of operations or liquidity.
In particular, although we have resolved multiple litigation matters with Johnson & Johnson, we continue to be involved in patent litigation with them, particularly relating to drug-eluting stent systems.
Adverse outcomes in one or more of these matters

<table><tr><td>(in millions, except per share data)</td><td>2004</td><td>2003</td><td>2002</td></tr><tr><td>Net income, as reported</td><td>$1,062</td><td>$472</td><td>$373</td></tr><tr><td>Add: Stock-based employee compensationexpense included in net income, net ofrelated tax effects</td><td>62</td><td>1</td><td>6</td></tr><tr><td>Less: Total stock-based employeecompensation expense determined underfair value based method for all awards,net of related tax effects</td><td>-67</td><td>-62</td><td>-48</td></tr><tr><td>Pro forma net income</td><td>$1,057</td><td>$411</td><td>$331</td></tr><tr><td>Net income per common share</td><td></td><td></td><td></td></tr><tr><td>Basic</td><td></td><td></td><td></td></tr><tr><td>Reported</td><td>$1.27</td><td>$0.57</td><td>$0.46</td></tr><tr><td>Pro forma</td><td>$1.26</td><td>$0.50</td><td>$0.41</td></tr><tr><td>Assuming dilution</td><td></td><td></td><td></td></tr><tr><td>Reported</td><td>$1.24</td><td>$0.56</td><td>$0.45</td></tr><tr><td>Pro forma</td><td>$1.24</td><td>$0.49</td><td>$0.40</td></tr></table>
<table><tr><td></td><td colspan="3"> Year Ended December 31,</td></tr><tr><td></td><td>2010</td><td>2009</td><td>2008</td></tr><tr><td> Beginning Balance</td><td>$1,038</td><td>$1,107</td><td>$1,180</td></tr><tr><td>Additions based on positions related to the current year</td><td>55</td><td>31</td><td>128</td></tr><tr><td>Additions based on positions related to the prior year</td><td>44</td><td>17</td><td>48</td></tr><tr><td>Reductions for tax positions of prior years</td><td>-124</td><td>-32</td><td>-161</td></tr><tr><td>Settlements with taxing authorities</td><td>-35</td><td>-65</td><td>-82</td></tr><tr><td>Statute of limitation expirations</td><td>-13</td><td>-20</td><td>-6</td></tr><tr><td> Ending Balance</td><td>$965</td><td>$1,038</td><td>$1,107</td></tr></table>
<table><tr><td><i>(in millions)</i></td><td> 2011</td><td> 2012</td><td> 2013</td><td> 2014</td><td> 2015</td><td> Thereafter</td><td> Total</td></tr><tr><td>Term loan</td><td>$250</td><td>$50</td><td>$700</td><td></td><td></td><td></td><td>$1,000</td></tr><tr><td>Senior notes</td><td>250</td><td></td><td></td><td>$600</td><td>$1,250</td><td>$2,350</td><td>4,450</td></tr><tr><td></td><td>$500</td><td>$50</td><td>$700</td><td>$600</td><td>$1,250</td><td>$2,350</td><td>$5,450</td></tr></table>
<table><tr><td></td><td></td><td> Actual as of</td></tr><tr><td></td><td> Covenant</td><td> December 31,</td></tr><tr><td></td><td> Requirement</td><td> 2010</td></tr><tr><td>Maximum leverage ratio -1</td><td>3.85 times</td><td>2.3 times</td></tr><tr><td>Minimum interest coverage ratio -2</td><td>3.0 times</td><td>6.1 times</td></tr></table>
<table><tr><td></td><td colspan="7"> Payments Due by Period</td></tr><tr><td><i>(in millions)</i></td><td> 2011</td><td> 2012</td><td> 2013</td><td> 2014</td><td> 2015</td><td> Thereafter</td><td> Total</td></tr><tr><td>Litigation settlements</td><td>$296</td><td></td><td></td><td></td><td></td><td></td><td>$296</td></tr><tr><td>Long-term debt obligations</td><td>500</td><td>$50</td><td>$700</td><td>$600</td><td>$1,250</td><td>$2,350</td><td>5,450</td></tr><tr><td>Interest payments<sup></sup>-1</td><td>286</td><td>280</td><td>262</td><td>229</td><td>193</td><td>1,300</td><td>2,550</td></tr><tr><td>Operating lease obligations<sup></sup>-1</td><td>83</td><td>69</td><td>46</td><td>24</td><td>15</td><td>45</td><td>282</td></tr><tr><td>Purchase obligations<sup></sup>-1</td><td>205</td><td>51</td><td>8</td><td>4</td><td>1</td><td>2</td><td>271</td></tr><tr><td>Minimum royalty obligations -1</td><td>13</td><td>1</td><td>1</td><td>1</td><td>1</td><td>3</td><td>20</td></tr><tr><td>Unrecognized tax benefits</td><td>8</td><td></td><td></td><td></td><td></td><td></td><td>8</td></tr><tr><td></td><td>$1,391</td><td>$451</td><td>$1,017</td><td>$858</td><td>$1,460</td><td>$3,700</td><td>$8,877</td></tr></table>

Question: What's the 20 % of total elements in 2011? (in million)
Answer: 278.2