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Notes to consolidated financial statements (audited)
International Business Machines Corporation and Subsidiary Companies

A. Significant accounting policies B. Accounting changes C. Acquisitions/divestitures D. Financial instruments (excluding derivatives) E. Inventories F. Financing receivables G. Plant, rental machines and other property H. Investments and sundry assets
I. Intangible assets including goodwill J. Borrowings K. Derivatives and hedging transactions L. Other liabilities M. Stockholders’ equity activity N. Contingencies and commitments O. Taxes P. Research, development and engineering
Q. 2005 actions R. Earnings per share of common stock S. Rental expense and lease commitments T. Stock-based compensation U. Retirement-related benefits V. Segment information W. Subsequent events

G. Plant, rental machines and other property

($ in millions)
At December 31: 2007 2006
Land and land improvements $ 701 $ 693
Buildings and building improvements 8,498 8,243
Plant, laboratory and office equipment 25,273 23,907
  34,471 32,843
Less: Accumulated depreciation 21,625 20,441
Plant and other property—net 12,847 12,401
Rental machines 4,113 3,678
Less: Accumulated depreciation 1,878 1,640
Rental machines—net 2,235 2,038
Total—net $ 15,081 $ 14,440
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IBM 2007 Annual Report

Annual report cover