CITIZENS FINANCIAL GROUP, INC.  MANAGEMENT’S DISCUSSION AND ANALYSIS 91 Long-term borrowed funds of $12.8 billion as of December 31, 2016 increased $2.9 billion from December 31, 2015, driven by a $2.2 billion increase in FHLB borrowings, $950 million net increase in senior bank debt and a $348 million increase in senior holding company debt, partially offset by a $625 million reduction in subordinated debt.
Quarterly Results of Operations The following table presents unaudited quarterly Consolidated Statements of Operations data and Consolidated Balance Sheet data as of and for the four quarters of 2016 and 2015, respectively.
We have prepared the Consolidated Statement of Operations data and Balance Sheet data on the same basis as our audited Consolidated Financial Statements in Part II, Item 8 — Financial Statements and Supplementary Data, included in this report and, in the opinion of management, each Consolidated Statement of Operations and Balance Sheet includes all adjustments, consisting solely of normal recurring adjustments, necessary for the fair statement of the results of operations and balance sheet data as of and for these periods.
This information should be read in conjunction with our audited Consolidated Financial Statements and the related notes, included in this report.
Supplementary Summary Consolidated Financial and Other Data (unaudited)
## Table 0 ##
Potentially dilutive common stock consisted of stock options and the premium over the conversion price on Roper’s senior subordinated convertible notes based upon the trading price of the Company’s common stock.
Effective January 1, 2016, Roper adopted the provisions of an accounting standards update on a prospective basis which increased the number of potentially dilutive stock options as there is no longer a tax benefit in the calculation of dilutive stock options.
See the caption “Recent Accounting Pronouncements” elsewhere in this Note for additional information regarding the ASU.
The effects of potential common stock were determined using the treasury stock method (in thousands):
## Table 1 ##
As of and for the years ended December 31, 2016, 2015 and 2014, there were 1,144,350, 618,220 and 764,333 outstanding stock options, respectively, that were not included in the determination of diluted earnings per share because doing so would have been antidilutive.
Estimates—The preparation of financial statements in conformity with generally accepted accounting principles in the United States (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities.
Actual results could differ from those estimates.
Foreign Currency Translation and Transactions—Assets and liabilities of subsidiaries whose functional currency is not the U. S.  dollar were translated at the exchange rate in effect at the balance sheet date, and revenues and expenses were trans- lated at average exchange rates for the period in which those entities were included in Roper’s financial results.
Translation adjustments are reflected as a component of other comprehensive income.
Foreign currency transaction gains and losses are recorded in the consolidated statement of earnings as other income/(expense).
The gain or loss included in pre-tax income was a net loss of $2.9 million for the year ended December 31, 2016, a net loss of $0.7 million for the year ended December 31, 2015 and a net gain of $0.2 million for the year ended December 31, 2014.
Goodwill and Other Intangibles—Roper accounts for goodwill in a purchase business combination as the excess of the cost over the estimated fair value of net assets acquired.
Business combinations can also result in other intangible assets being recognized.
Amortization of intangible assets, if applicable, occurs over their estimated useful lives.
Goodwill, which is not amortized, is tested for impairment on an annual basis (or an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value).
When testing goodwill for impairment, the Company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the estimated fair value of a reporting unit is less than its carrying amount.
If the Company elects to perform a qualitative assessment and determines that an impairment is more likely than not, then performance of the two-step quantitative impairment test is required.
The first step of the quantitative process utilizes both an income approach (discounted cash flows) and a market approach consisting of a comparable public company earnings multiples methodology to estimate the fair value of a reporting unit.
To determine the reasonableness of the estimated fair values, the Company reviews the assumptions to ensure that neither the income approach nor the market approach provides significantly different valuations.
If the estimated fair value exceeds the carrying value, no further work is required and no impairment loss is recognized.
If the carrying value exceeds the estimated fair value, the goodwill of the reporting unit is potentially impaired and then the second quantitative step would be completed in order to measure the impairment loss by calculating the implied fair value of goodwill by deducting the fair value of all tangible and intangible net assets (including unrecognized intangible assets) of the reporting unit from the fair value of the reporting unit.
If the implied fair value of goodwill is less than the carry- ing value of goodwill, a non-cash impairment loss is recognized.
When performing the quantitative assessment, key assumptions used in the income and market methodologies are updated when the analysis is performed for each reporting unit.
Various assumptions are utilized including forecasted operating results, strategic plans, economic projections, anticipated future cash flows, the weighted-average cost of capital, comparable transactions, market data and earnings multiples.
The assumptions that have the most significant effect on the fair value calculations are the anticipated future cash flows, discount rates, and the earnings multiples.
While the Company uses reasonable and timely information to prepare its cash flow and discount rate assumptions, actual future cash flows or market conditions could differ significantly resulting in future impairment charges related to recorded goodwill balances.
Roper has 33 reporting units with individual goodwill amounts ranging from zero to $2.2 billion.
In 2016, the Company performed its annual impairment test in the fourth quarter for all reporting units, excluding those acquired during the fourth quarter of 2016.
The Company conducted its analysis qualitatively and assessed whether it was more likely than not that the respective fair value of these reporting units was less than the carrying amount.
The Company determined that impairment of goodwill was not likely in 28 of its reporting units and thus was not required to perform a quantitative analysis for these reporting units.
For the remaining five reporting units, the Company performed its quantitative analysis and concluded that the fair value of each of these five reporting units was substantially in excess of its carrying value, with no impairment indicated as of
realization was mostly related to coffee, peanut butter, and oils, and the favorable volume/mix was primarily driven by growth in coffee, Smucker’s Uncrustables, and Jif Power-UpsTM, partially offset by a decline in pet food and pet snacks.
Operating Income The following table presents the components of operating income as a percentage of net sales.
## Table 2 ##
Gross profit increased $79.6, or 3 percent, in 2019, primarily driven by the addition of Ainsworth, partially offset by the noncomparable impact related to the U. S.  baking business divestiture.
An unfavorable net impact of lower prices and higher costs was mostly driven by an unfavorable change in the impact of derivative gains and losses, which was partially offset by the impact of favorable volume/mix.
Operating income decreased $115.4, or 11 percent, as higher gross profit and a $27.7 pre-tax gain related to the sale of the U. S.  baking business were more than offset by a $145.7 increase in selling, distribution, and administrative expenses and a $33.5 increase in amortization expense, both of which were primarily due to the Ainsworth acquisition.
In addition, intangible asset impairment charges increased by $28.2 as a result of charges in the U. S.  Retail Pet Foods and U. S.  Retail Consumer Foods segments in 2019, and special project costs increased by $14.8, driven by an increase in restructuring costs.
For further information on the impairment charges, refer to “Critical Accounting Estimates and Policies” in this discussion and analysis.
Gross profit excluding non-GAAP adjustments (“adjusted gross profit”) increased $167.2, or 6 percent, in 2019, with the primary difference from GAAP results being the exclusion of a $91.5 unfavorable change in the impact of unallocated derivative gains and losses as compared to the prior year.
Adjusted operating income increased $52.6, or 4 percent, further reflecting the exclusion of amortization expense, the impairment charges, and special project costs.
Interest Expense Net interest expense increased $33.8, or 19 percent, in 2019, primarily due to the impact of the incremental debt issued to finance the Ainsworth acquisition.
For additional information, see “Capital Resources” in this discussion and analysis.
Income Taxes The effective tax rate of 26.7 percent for 2019 varied from the U. S.  statutory tax rate of 21.0 percent primarily due to the impact of state income taxes, additional income tax expense associated with the sale of the U. S.  baking business, and a goodwill impairment charge within the U. S.  Retail Consumer Foods segment, partially offset by a noncash deferred tax benefit related to the integration of Ainsworth.
Income tax expense of $187.2 for 2019 reflects an immaterial adjustment related to the completion of the accounting for the income tax effects of the U. S.  Tax Cuts and Jobs Act (the “Act”) during the third quarter.
Despite the completion of the accounting, the amounts recorded may change as a result of future guidance and interpretation from the Internal Revenue Service and various other taxing jurisdictions, all of which are continuing to analyze the complexities and interdependencies of the provisions of the Act.
Any future legislative and interpretive actions could result in additional income tax impacts, which could be material in the period any such changes are enacted.
We anticipate a full-year effective tax rate for 2020 in the range of 24.5 to 25.0 percent.
The income tax benefit of $477.6 for 2018 reflected the recognition of a net benefit of $765.8 related to our discrete adjustments resulting directly from the Act, partially offset by additional income tax expense related to a Pet Foods reporting unit goodwill impairment charge.
The net benefit of $765.8 included the revaluation of net deferred tax liabilities at the reduced federal income tax rate, offset in part by the estimated impact of a one-time repatriation tax on earnings of certain foreign subsidiaries that were previously tax deferred.
For further information, refer to Note 13: Income Taxes.
Integration Activities We expect to incur approximately $50.0 in integration costs related to the Ainsworth acquisition, the majority of which are expected to be cash charges.
Of the total anticipated integration costs, we expect approximately half to be employee-related.
During 2019, we incurred integration charges of $32.1.
All remaining integration costs are expected to be incurred by the end of 2020.
For further information, refer to Note 3: Integration and Restructuring Costs.
Restructuring Activities An organization optimization program was approved by the Board of Directors (the “Board”) during the fourth quarter of 2016.
Under this program, we identified opportunities to reduce costs and optimize the organization.
Related projects included an organizational redesign and the optimization of our manufacturing footprint.
The program was expanded at the end of 2018 to include the restructuring of our geographic footprint, which includes the centralization of our pet food and pet snacks business, as well as certain international non-manufacturing functions, to our corporate headquarters in Orrville, Ohio, furthering collaboration and enhanced agility, while improving cost efficiency.
The organization optimization program was completed during 2019, and as a result, we closed our international offices in China and Mexico, as well as the San Francisco and Burbank, California, offices.
We incurred total cumulative restructuring costs of $74.6, of which $32.0 was incurred during 2019.
The costs incurred were primarily employee-related, as the program resulted in total headcount reductions of approximately 450 full-time positions.
For further information, refer to Note 3: Integration and Restructuring Costs.
Commodities Overview The raw materials we use are primarily commodities, agricultural-based products, and packaging materials.
The most significant of these materials, based on 2019 annual spend, are green coffee, peanuts, animal protein meals, oils and fats, and plastic containers.
Green coffee and certain oils are traded on active regulated exchanges, and the price of these commodities fluctuates based on market conditions.
Derivative instruments, including futures and options, are used to minimize the impact of price volatility for these commodities.
We source green coffee from more than 20 coffee-producing countries.
Its price is subject to high volatility due to factors such as weather, global supply and demand, plant disease, investor speculation, and political and economic conditions in the source countries.
We source peanuts, animal protein meals, and oils and fats mainly from North America.
We are one of the largest procurers of peanuts in the U. S.  and frequently enter into long-term purchase contracts for various periods of time to mitigate the risk of a shortage of this commodity.
The oils we purchase are mainly soybean and canola.
The price of peanuts, animal protein meals, and oils are driven primarily by weather, which impacts crop sizes and yield, as well as global demand, especially from large importing countries such as China and India.
In addition, the price of oils has been impacted by demand from the biofuels industry.
We frequently enter into long-term contracts to purchase plastic containers, which are sourced mainly from within the U. S.  Plastic resin is made from petrochemical feedstock and natural gas feedstock, and the price can be influenced by feedstock, energy, and crude oil prices as well as global economic conditions.
Excluding the impact of derivative gains and losses, our overall commodity costs in 2019 were lower than in 2018, primarily due to lower costs for green coffee, slightly offset by higher costs for peanuts.
Segment Results We have four reportable segments: U. S.  Retail Coffee, U. S.  Retail Consumer Foods, U. S.  Retail Pet Foods, and International and Away From Home.
The U. S.  Retail Coffee segment primarily includes the domestic sales of Folgers, Dunkin’ Donuts,
VERTEX PHARMACEUTICALS INCORPORATED Notes to Consolidated Financial Statements (Continued) D.  Stock-based Compensation (Continued) The Company uses the Black-Scholes valuation model to estimate the fair value of stock options at the grant date.
The Black-Scholes valuation model uses the option exercise price as well as estimates and assumptions related to the expected price volatility of the Company’s stock, the period during which the options will be outstanding, the rate of return on risk-free investments, and the expected dividend yield for the Company’s stock to estimate the fair value of a stock option on the grant date.
The Company validates its estimates and assumptions through consultations with independent third parties having relevant expertise.
The fair value of each option granted under the Stock and Option Plans during 2006 was estimated on the date of grant using the BlackScholes option pricing model with the following weighted average assumptions:

Tables referenced above, in order (Table 0 first):
<table><tr><td></td><td colspan="8">For the Three Months Ended</td></tr><tr><td>(dollars in millions, except per share amounts)</td><td>December 31,2016</td><td>September 30,2016</td><td>June 30,2016</td><td>March 31,2016</td><td>December 31,2015</td><td>September 30,2015</td><td>June 30,2015</td><td>March 31,2015</td></tr><tr><td>Operating Data:</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Net interest income</td><td>$986</td><td>$945</td><td>$923</td><td>$904</td><td>$870</td><td>$856</td><td>$840</td><td>$836</td></tr><tr><td>Noninterest income<sup>-1</sup></td><td>377</td><td>435</td><td>355</td><td>330</td><td>362</td><td>353</td><td>360</td><td>347</td></tr><tr><td>Total revenue</td><td>1,363</td><td>1,380</td><td>1,278</td><td>1,234</td><td>1,232</td><td>1,209</td><td>1,200</td><td>1,183</td></tr><tr><td>Provision for credit losses</td><td>102</td><td>86</td><td>90</td><td>91</td><td>91</td><td>76</td><td>77</td><td>58</td></tr><tr><td>Noninterest expense<sup>-2 (5) (8)</sup></td><td>847</td><td>867</td><td>827</td><td>811</td><td>810</td><td>798</td><td>841</td><td>810</td></tr><tr><td>Income before income tax expense</td><td>414</td><td>427</td><td>361</td><td>332</td><td>331</td><td>335</td><td>282</td><td>315</td></tr><tr><td>Income tax expense</td><td>132</td><td>130</td><td>118</td><td>109</td><td>110</td><td>115</td><td>92</td><td>106</td></tr><tr><td>Net income<sup>-3 (6) (9)</sup></td><td>$282</td><td>$297</td><td>$243</td><td>$223</td><td>$221</td><td>$220</td><td>$190</td><td>$209</td></tr><tr><td>Net income available to common stockholders<sup>-3 (6) (9)</sup></td><td>$282</td><td>$290</td><td>$243</td><td>$216</td><td>$221</td><td>$213</td><td>$190</td><td>$209</td></tr><tr><td>Net income per average common share- basic<sup>-4 (7) (10)</sup></td><td>$0.55</td><td>$0.56</td><td>$0.46</td><td>$0.41</td><td>$0.42</td><td>$0.40</td><td>$0.35</td><td>$0.38</td></tr><tr><td>Net income per average common share- diluted<sup>-4 (7) (10)</sup></td><td>$0.55</td><td>$0.56</td><td>$0.46</td><td>$0.41</td><td>$0.42</td><td>$0.40</td><td>$0.35</td><td>$0.38</td></tr><tr><td>Other Operating Data:</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Return on average common equity<sup>-11 (17)</sup></td><td>5.70%</td><td>5.82%</td><td>4.94%</td><td>4.45%</td><td>4.51%</td><td>4.40%</td><td>3.94%</td><td>4.36%</td></tr><tr><td>Return on average tangible common equity<sup>-12 (17)</sup></td><td>8.43</td><td>8.58</td><td>7.30</td><td>6.61</td><td>6.75</td><td>6.60</td><td>5.90</td><td>6.53</td></tr><tr><td>Return on average total assets<sup>-13 (17)</sup></td><td>0.76</td><td>0.82</td><td>0.69</td><td>0.65</td><td>0.64</td><td>0.65</td><td>0.56</td><td>0.63</td></tr><tr><td>Return on average total tangible assets<sup>-14 (17)</sup></td><td>0.79</td><td>0.86</td><td>0.72</td><td>0.68</td><td>0.67</td><td>0.68</td><td>0.59</td><td>0.67</td></tr><tr><td>Efficiency ratio<sup>-15 (17)</sup></td><td>62.18</td><td>62.88</td><td>64.71</td><td>65.66</td><td>65.76</td><td>66.02</td><td>70.02</td><td>68.49</td></tr><tr><td>Net interest margin<sup>-16 (17)</sup></td><td>2.90</td><td>2.84</td><td>2.84</td><td>2.86</td><td>2.77</td><td>2.76</td><td>2.72</td><td>2.77</td></tr><tr><td>Stock Activity:</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Share Price:</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>High</td><td>$36.56</td><td>$25.11</td><td>$24.24</td><td>$25.99</td><td>$27.17</td><td>$28.18</td><td>$28.71</td><td>$25.84</td></tr><tr><td>Low</td><td>24.22</td><td>18.58</td><td>18.34</td><td>18.04</td><td>22.48</td><td>21.14</td><td>24.03</td><td>22.67</td></tr><tr><td>Share Data:</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Cash dividends declared and paid per common share</td><td>$0.12</td><td>$0.12</td><td>$0.12</td><td>$0.10</td><td>$0.10</td><td>$0.10</td><td>$0.10</td><td>$0.10</td></tr><tr><td>Dividend payout ratio</td><td>22%</td><td>22%</td><td>26%</td><td>24%</td><td>24%</td><td>25%</td><td>28%</td><td>26%</td></tr></table>
<table><tr><td></td><td colspan="3">Years ended December 31,</td></tr><tr><td></td><td>2016</td><td>2015</td><td>2014</td></tr><tr><td>Basic weighted-average shares outstanding</td><td>101,291</td><td>100,616</td><td>99,916</td></tr><tr><td>Effect of potential common stock:</td><td></td><td></td><td></td></tr><tr><td>Common stock awards</td><td>1,126</td><td>887</td><td>816</td></tr><tr><td>Senior subordinated convertible notes</td><td>47</td><td>94</td><td>152</td></tr><tr><td>Diluted weighted-average shares outstanding</td><td>102,464</td><td>101,597</td><td>100,884</td></tr></table>
<table><tr><td></td><td colspan="2">Year Ended April 30,</td></tr><tr><td></td><td>2019</td><td>2018</td></tr><tr><td>Gross profit</td><td>37.2%</td><td>38.5%</td></tr><tr><td>Selling, distribution, and administrative expenses:</td><td></td><td></td></tr><tr><td>Marketing</td><td>3.9%</td><td>3.2%</td></tr><tr><td>Advertising</td><td>3.0</td><td>2.6</td></tr><tr><td>Selling</td><td>3.2</td><td>3.3</td></tr><tr><td>Distribution</td><td>3.3</td><td>3.2</td></tr><tr><td>General and administrative</td><td>5.9</td><td>6.2</td></tr><tr><td>Total selling, distribution, and administrative expenses</td><td>19.2%</td><td>18.5%</td></tr><tr><td>Amortization</td><td>3.1</td><td>2.8</td></tr><tr><td>Goodwill impairment charges</td><td>1.2</td><td>2.0</td></tr><tr><td>Other intangible assets impairment charges</td><td>1.4</td><td>0.4</td></tr><tr><td>Other special project costs</td><td>0.8</td><td>0.6</td></tr><tr><td>Other operating expense (income) – net</td><td>-0.4</td><td>—</td></tr><tr><td>Operating income</td><td>11.8%</td><td>14.2%</td></tr></table>

Question: What is the growing rate of Total revenue in the year with the most Net interest income?
Answer: 0.08934
Reasoning program: add(1363,1380), add(#0,1278), add(#1,1234), add(1232,1209), add(#3,1200), add(#4,1183), subtract(#2,#5), add(1232,1209), add(#7,1200), add(#8,1183), divide(#6,#9)