Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Jul. 30, 2018 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | AGN | |
Entity Registrant Name | Allergan plc | |
Entity Central Index Key | 1,578,845 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 339,444,422 | |
Warner Chilcott Limited [Member] | ||
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | WARNER CHILCOTT LIMITED | |
Entity Central Index Key | 1,620,602 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 1,674.7 | $ 1,817.2 |
Marketable securities | 21.5 | 4,632.1 |
Accounts receivable, net | 2,760.8 | 2,899 |
Inventories | 922.5 | 904.5 |
Prepaid expenses and other current assets | 724.2 | 1,123.9 |
Total current assets | 6,103.7 | 11,376.7 |
Property, plant and equipment, net | 1,761.4 | 1,785.4 |
Investments and other assets | 297.9 | 267.9 |
Non current assets held for sale | 180.4 | 81.6 |
Deferred tax assets | 899.9 | 319.1 |
Product rights and other intangibles | 49,928.3 | 54,648.3 |
Goodwill | 49,687.2 | 49,862.9 |
Total assets | 108,858.8 | 118,341.9 |
Current liabilities: | ||
Accounts payable and accrued expenses | 4,683.8 | 5,541.4 |
Income taxes payable | 93 | 74.9 |
Current portion of long-term debt and capital leases | 1,348.5 | 4,231.8 |
Total current liabilities | 6,125.3 | 9,848.1 |
Long-term debt and capital leases | 24,002 | 25,843.5 |
Other long-term liabilities | 753.4 | 886.9 |
Other taxes payable | 1,576.6 | 1,573.9 |
Deferred tax liabilities | 5,137.5 | 6,352.4 |
Total liabilities | 37,594.8 | 44,504.8 |
Commitments and contingencies (Refer to Note 19) | ||
Equity: | ||
Preferred shares, $0.0001 par value per share, zero and 5.1 million shares authorized, issued and outstanding, respectively | 0 | 4,929.7 |
Ordinary shares; $0.0001 par value per share; 1,000.0 million shares authorized, 339.3 million and 330.2 million shares issued and outstanding, respectively | 0 | 0 |
Additional paid-in capital | 57,567.7 | 54,013.5 |
Retained earnings | 12,082.9 | 12,957.2 |
Accumulated other comprehensive income | 1,592.9 | 1,920.7 |
Total shareholders’ equity | 71,243.5 | 73,821.1 |
Noncontrolling interest | 20.5 | 16 |
Total equity | 71,264 | 73,837.1 |
Total liabilities and equity | 108,858.8 | 118,341.9 |
Warner Chilcott Limited [Member] | ||
Current assets: | ||
Cash and cash equivalents | 1,673.5 | 1,816.3 |
Marketable securities | 21.5 | 4,632.1 |
Accounts receivable, net | 2,760.8 | 2,899 |
Receivables from Parents | 5,833.4 | 5,797.4 |
Inventories | 922.5 | 904.5 |
Prepaid expenses and other current assets | 722.9 | 1,123 |
Total current assets | 11,934.6 | 17,172.3 |
Property, plant and equipment, net | 1,761.4 | 1,785.4 |
Investments and other assets | 297.9 | 267.9 |
Non current receivables from Parents | 3,964 | 3,964 |
Non current assets held for sale | 180.4 | 81.6 |
Deferred tax assets | 896.8 | 316 |
Product rights and other intangibles | 49,928.3 | 54,648.3 |
Goodwill | 49,687.2 | 49,862.9 |
Total assets | 118,650.6 | 128,098.4 |
Current liabilities: | ||
Accounts payable and accrued expenses | 4,681.6 | 5,515.6 |
Payables to Parents | 2,379.7 | 2,340.6 |
Income taxes payable | 92.5 | 74.9 |
Current portion of long-term debt and capital leases | 1,348.5 | 4,231.8 |
Total current liabilities | 8,502.3 | 12,162.9 |
Long-term debt and capital leases | 24,002 | 25,843.5 |
Other long-term liabilities | 753.4 | 886.9 |
Other taxes payable | 1,576.2 | 1,573.5 |
Deferred tax liabilities | 5,140.5 | 6,349.4 |
Total liabilities | 39,974.4 | 46,816.2 |
Commitments and contingencies (Refer to Note 19) | ||
Equity: | ||
Member's capital | 72,935.1 | 72,935.1 |
Retained earnings | 4,127.7 | 6,410.4 |
Accumulated other comprehensive income | 1,592.9 | 1,920.7 |
Noncontrolling interest | 20.5 | 16 |
Total equity | 78,676.2 | 81,282.2 |
Total members’ equity | 78,655.7 | 81,266.2 |
Total liabilities and equity | $ 118,650.6 | $ 128,098.4 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Preferred shares, par value | $ 0.0001 | $ 0.0001 |
Preferred shares, shares authorized | 0 | 5,100,000 |
Preferred shares, shares issued | 0 | 5,100,000 |
Preferred shares, shares outstanding | 0 | 5,100,000 |
Ordinary shares, par value | $ 0.0001 | $ 0.0001 |
Ordinary shares, shares authorized | 1,000,000,000 | 1,000,000,000 |
Ordinary shares, shares issued | 339,300,000 | 330,200,000 |
Ordinary shares, shares outstanding | 339,300,000 | 330,200,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating expenses: | ||||
Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
General and administrative | 334.1 | 459.8 | 630 | 775.9 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Total operating expenses | 4,591.2 | 4,909.8 | 8,917.3 | 9,388.7 |
Operating (loss) | (467) | (902.4) | (1,121) | (1,808.4) |
Interest income | 6.3 | 16.6 | 23.6 | 41.9 |
Interest (expense) | (230) | (277.4) | (480.6) | (567.1) |
Other income / (expense), net | 215.4 | (133.5) | 136.6 | (2,056.3) |
Total other (expense), net | (8.3) | (394.3) | (320.4) | (2,581.5) |
(Loss) before income taxes and noncontrolling interest | (475.3) | (1,296.7) | (1,441.4) | (4,389.9) |
(Benefit) for income taxes | (5.2) | (581.2) | (687.4) | (1,113.3) |
Net (loss) from continuing operations, net of tax | (470.1) | (715.5) | (754) | (3,276.6) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) | (470.1) | (723.9) | (754) | (3,288.1) |
(Income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Net (loss) attributable to shareholders | (472.5) | (725.9) | (758.6) | (3,291.1) |
Dividends on preferred shares | 69.6 | 46.4 | 139.2 | |
Net (loss) attributable to ordinary shareholders | $ (472.5) | $ (795.5) | $ (805) | $ (3,430.3) |
(Loss) per share attributable to ordinary shareholders - basic: | ||||
Continuing operations | $ (1.39) | $ (2.35) | $ (2.39) | $ (10.20) |
Discontinued operations | (0.02) | (0.03) | ||
Net (loss) per share - basic | (1.39) | (2.37) | (2.39) | (10.23) |
(Loss) per share attributable to ordinary shareholders - diluted: | ||||
Continuing operations | (1.39) | (2.35) | (2.39) | (10.20) |
Discontinued operations | (0.02) | (0.03) | ||
Net (loss) per share - diluted | (1.39) | (2.37) | (2.39) | (10.23) |
Dividends per ordinary share | $ 0.72 | $ 0.70 | $ 1.44 | $ 1.40 |
Weighted average shares outstanding: | ||||
Basic | 339.1 | 335.2 | 336.9 | 335.2 |
Diluted | 339.1 | 335.2 | 336.9 | 335.2 |
Warner Chilcott Limited [Member] | ||||
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating expenses: | ||||
Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
General and administrative | 299.5 | 447.7 | 593.6 | 762 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Total operating expenses | 4,556.6 | 4,897.7 | 8,880.9 | 9,374.8 |
Operating (loss) | (432.4) | (890.3) | (1,084.6) | (1,794.5) |
Interest income | 71.8 | 37.2 | 142.1 | 88.6 |
Interest (expense) | (230) | (277.4) | (480.6) | (567.1) |
Other income / (expense), net | 215.4 | (133.5) | 136.6 | (2,056.3) |
Total other (expense), net | 57.2 | (373.7) | (201.9) | (2,534.8) |
(Loss) before income taxes and noncontrolling interest | (375.2) | (1,264) | (1,286.5) | (4,329.3) |
(Benefit) for income taxes | (5.2) | (581.2) | (687.4) | (1,113.3) |
Net (loss) from continuing operations, net of tax | (370) | (682.8) | (599.1) | (3,216) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) | (370) | (691.2) | (599.1) | (3,227.5) |
(Income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Net income attributable to members | $ (372.4) | $ (693.2) | $ (603.7) | $ (3,230.5) |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) / Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net (loss) | $ (470.1) | $ (723.9) | $ (754) | $ (3,288.1) |
Other comprehensive (loss) / income | ||||
Foreign currency translation (losses) / gains | (448.6) | 697.8 | (264.8) | 860.4 |
Net impact of other-than-temporary loss on investment in Teva securities | 1,599.4 | |||
Unrealized gains, net of tax | 205.5 | 203.6 | ||
Impact of ASU No. 2016-01, net of tax | (63) | |||
Total other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Comprehensive (loss) / income | (918.7) | 179.4 | (1,081.8) | (624.7) |
Comprehensive (income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Comprehensive (loss) / income attributable to ordinary shareholders | (921.1) | 177.4 | (1,086.4) | (627.7) |
Warner Chilcott Limited [Member] | ||||
Net (loss) | (370) | (691.2) | (599.1) | (3,227.5) |
Other comprehensive (loss) / income | ||||
Foreign currency translation (losses) / gains | (448.6) | 697.8 | (264.8) | 860.4 |
Net impact of other-than-temporary loss on investment in Teva securities | 1,599.4 | |||
Unrealized gains, net of tax | 205.5 | 203.6 | ||
Impact of ASU No. 2016-01, net of tax | (63) | |||
Total other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Comprehensive (loss) / income | (818.6) | 212.1 | (926.9) | (564.1) |
Comprehensive (income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Comprehensive (loss) / income attributable to members | $ (821) | $ 210.1 | $ (931.5) | $ (567.1) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash Flows From Operating Activities: | ||
Net (loss) | $ (754) | $ (3,288.1) |
Reconciliation to net cash provided by operating activities: | ||
Depreciation | 105.2 | 81.2 |
Amortization | 3,394.7 | 3,493.9 |
Provision for inventory reserve | 45.4 | 48.7 |
Share-based compensation | 127.4 | 148.5 |
Deferred income tax benefit | (1,359.6) | (1,478.8) |
In-process research and development impairments | 798 | 1,043.3 |
Loss on asset sales and impairments, net | 272.7 | 21.4 |
Gain on sale of Teva securities, net | (60.9) | |
Amortization of inventory step-up | 87.8 | |
Gain on sale of business | (53) | |
Non-cash extinguishment of debt | 4 | (8.2) |
Cash charge related to extinguishment of debt | (13.1) | 170.5 |
Amortization of deferred financing costs | 11.9 | 13.2 |
Contingent consideration adjustments, including accretion | (101.8) | 15.2 |
Other, net | (0.3) | (22.6) |
Changes in assets and liabilities (net of effects of acquisitions): | ||
Decrease / (increase) in accounts receivable, net | 90.3 | (139) |
Decrease / (increase) in inventories | (113.3) | (95.1) |
Decrease / (increase) in prepaid expenses and other current assets | 39.3 | 10.5 |
Increase / (decrease) in accounts payable and accrued expenses | (40.4) | (207.5) |
Increase / (decrease) in income and other taxes payable | 365.4 | 673.7 |
Increase / (decrease) in other assets and liabilities | (59.4) | (23.5) |
Net cash provided by operating activities | 2,698.5 | 2,523.1 |
Cash Flows From Investing Activities: | ||
Additions to property, plant and equipment | (106.5) | (137.2) |
Additions to product rights and other intangibles | (586.3) | |
Additions to investments | (1,455.9) | (6,787.9) |
Proceeds from sale of investments and other assets | 5,651.3 | 13,197.5 |
Proceeds from sales of property, plant and equipment | 11.5 | 4.3 |
Acquisitions of businesses, net of cash acquired | (5,290.4) | |
Net cash provided by investing activities | 3,634.4 | 400 |
Cash Flows From Financing Activities: | ||
Proceeds from borrowings of long-term indebtedness, including credit facility | 709 | 3,023 |
Debt issuance and other financing costs | (17.5) | |
Payments on debt, including capital lease obligations and credit facility | (5,366.8) | (5,579.2) |
Cash charge related to extinguishment of debt | 13.1 | (170.5) |
Proceeds from stock plans | 69.2 | 124.7 |
Payments of contingent consideration and other financing | (10.6) | (505.1) |
Repurchase of ordinary shares | (1,572.1) | (35.2) |
Dividends paid | (563.7) | (611.9) |
Net cash (used in) financing activities | (6,490.4) | (3,771.7) |
Effect of currency exchange rate changes on cash and cash equivalents | 15 | 11.5 |
Net (decrease) in cash and cash equivalents | (142.5) | (837.1) |
Cash and cash equivalents at beginning of period | 1,817.2 | 1,724 |
Cash and cash equivalents at end of period | 1,674.7 | 886.9 |
Cash paid during the year for: | ||
Income taxes other, net of refunds | 336.1 | (250.7) |
Interest | 520.9 | 626.9 |
Schedule of Non-Cash Investing and Financing Activities: | ||
Conversion of mandatory convertible preferred shares | 4,929.7 | |
Settlement of secured financing | (465.5) | |
Dividends accrued | 1.4 | 24.6 |
Warner Chilcott Limited [Member] | ||
Cash Flows From Operating Activities: | ||
Net (loss) | (599.1) | (3,227.5) |
Reconciliation to net cash provided by operating activities: | ||
Depreciation | 105.2 | 81.2 |
Amortization | 3,394.7 | 3,493.9 |
Provision for inventory reserve | 45.4 | 48.7 |
Share-based compensation | 127.4 | 148.5 |
Deferred income tax benefit | (1,359.6) | (1,478.8) |
In-process research and development impairments | 798 | 1,043.3 |
Loss on asset sales and impairments, net | 272.7 | 21.4 |
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |
Gain on sale of Teva securities, net | (60.9) | |
Amortization of inventory step-up | 87.8 | |
Gain on sale of business | (53) | |
Non-cash extinguishment of debt | 4 | (8.2) |
Cash charge related to extinguishment of debt | (13.1) | 170.5 |
Amortization of deferred financing costs | 11.9 | 13.2 |
Contingent consideration adjustments, including accretion | (101.8) | 15.2 |
Other, net | (0.3) | (22.6) |
Changes in assets and liabilities (net of effects of acquisitions): | ||
Decrease / (increase) in accounts receivable, net | 90.3 | (139) |
Decrease / (increase) in inventories | (113.3) | (95.1) |
Decrease / (increase) in prepaid expenses and other current assets | 40.6 | 13.1 |
Increase / (decrease) in accounts payable and accrued expenses | (38.2) | (179.2) |
Increase / (decrease) in income and other taxes payable | 365.4 | 673.7 |
Increase / (decrease) in other assets and liabilities, including receivable / payable with Parents | (181) | (43.5) |
Net cash provided by operating activities | 2,735.3 | 2,594.6 |
Cash Flows From Investing Activities: | ||
Additions to property, plant and equipment | (106.5) | (137.2) |
Additions to product rights and other intangibles | (586.3) | |
Additions to investments | (1,455.9) | (6,787.9) |
Proceeds from sale of investments and other assets | 5,651.3 | 13,197.5 |
Proceeds from sales of property, plant and equipment | 11.5 | 4.3 |
Acquisitions of businesses, net of cash acquired | (5,290.4) | |
Net cash provided by investing activities | 3,634.4 | 400 |
Cash Flows From Financing Activities: | ||
Proceeds from borrowings of long-term indebtedness, including credit facility | 709 | 3,023 |
Debt issuance and other financing costs | (17.5) | |
Payments on debt, including capital lease obligations and credit facility | (5,366.8) | (5,579.2) |
Cash charge related to extinguishment of debt | 13.1 | (170.5) |
Payments of contingent consideration and other financing | (10.6) | (505.1) |
Dividend to Parent | (2,103.7) | (611.9) |
Net cash (used in) financing activities | (6,527.5) | (3,861.2) |
Effect of currency exchange rate changes on cash and cash equivalents | 15 | 11.5 |
Net (decrease) in cash and cash equivalents | (142.8) | (855.1) |
Cash and cash equivalents at beginning of period | 1,816.3 | 1,713.2 |
Cash and cash equivalents at end of period | 1,673.5 | 858.1 |
Schedule of Non-Cash Investing and Financing Activities: | ||
Settlement of secured financing | (465.5) | |
Non-cash dividends to Parents | 4,203.9 | |
Zeltiq [Member] | ||
Schedule of Non-Cash Investing and Financing Activities: | ||
Non-cash equity issuance | 8.5 | |
Deferred consideration for the acquisition of Zeltiq | 13.5 | |
Teva [Member] | ||
Reconciliation to net cash provided by operating activities: | ||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |
Cash Flows From Investing Activities: | ||
Payments to settle Teva related matters | (466) | |
Cash Flows From Financing Activities: | ||
Proceeds from forward sale of Teva securities | 465.5 | |
Payments to settle Teva related matters | (234) | |
Schedule of Non-Cash Investing and Financing Activities: | ||
Non-cash equity issuance | 465.5 | |
Teva [Member] | Warner Chilcott Limited [Member] | ||
Reconciliation to net cash provided by operating activities: | ||
Net income impact of other-than-temporary loss on investment in Teva securities | $ 1,978 | |
Gain on sale of Teva securities, net | (60.9) | |
Cash Flows From Investing Activities: | ||
Payments to settle Teva related matters | (466) | |
Cash Flows From Financing Activities: | ||
Proceeds from forward sale of Teva securities | 465.5 | |
Payments to settle Teva related matters | (234) | |
Schedule of Non-Cash Investing and Financing Activities: | ||
Non-cash equity issuance | $ 465.5 |
General
General | 6 Months Ended |
Jun. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
General | NOTE 1 — General Allergan plc is a global pharmaceutical company focused on developing, manufacturing and commercializing branded pharmaceutical (“brand”, “branded” or “specialty brand”) Allergan markets a portfolio of leading brands and best-in-class products for the central nervous system, eye care, medical aesthetics and dermatology, gastroenterology, women’s health, urology and anti-infective therapeutic categories. Allergan is an industry leader in Open Science, a model of research and development, which defines our approach to identifying and developing game-changing ideas and innovation for better patient care. The Company has operations in more than 100 countries. Warner Chilcott Limited is an indirect wholly-owned subsidiary of Allergan plc and has the same principal business activities. The accompanying consolidated financial statements should be read in conjunction with the Company’s annual report on Form 10-K for the year ended December 31, 2017 (“Annual Report”). Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with United States generally accepted accounting principles (“GAAP”) have been condensed or omitted from the accompanying consolidated financial statements. The accompanying year end consolidated balance sheet was derived from the audited financial statements included in the Annual Report. The accompanying interim financial statements are unaudited and reflect all adjustments which are in the opinion of management necessary for a fair statement of the Company’s consolidated financial position, results of operations, comprehensive (loss) / income and cash flows for the periods presented. Unless otherwise noted, all such adjustments are of a normal, recurring nature. All intercompany transactions and balances have been eliminated in consolidation. The Company’s results of operations, comprehensive (loss) / income and cash flows for the interim periods are not necessarily indicative of the results of operations, comprehensive (loss) / income and cash flows that it may achieve in future periods. References throughout to “we,” “our,” “us,” the “Company” or “Allergan” refer to financial information and transactions of Allergan plc. References to “Warner Chilcott Limited” refer to Warner Chilcott Limited, the Company’s indirect wholly-owned subsidiary, and, unless the context otherwise requires, its subsidiaries. |
Reconciliation of Warner Chilco
Reconciliation of Warner Chilcott Limited Results to Allergan plc Results | 6 Months Ended |
Jun. 30, 2018 | |
Adjusted Earnings Before Interest Taxes Depreciation And Amortization And Other Non Cash Items [Abstract] | |
Reconciliation of Warner Chilcott Limited Results to Allergan plc Results | NOTE 2 – Reconciliation of Warner Chilcott Limited results to Allergan plc results Warner Chilcott Limited is an indirect wholly-owned subsidiary of Allergan plc, the ultimate parent of the group (together with other direct or indirect parents of Warner Chilcott Limited, the “Parents”). The results of Warner Chilcott Limited are consolidated into the results of Allergan plc. Due to the deminimis activity between Warner Chilcott Limited and the Parents (including Allergan plc), content throughout this filing relates to both Allergan plc and Warner Chilcott Limited. Warner Chilcott Limited disclosures relate only to itself and not to any other company. Except where otherwise indicated, and excluding certain insignificant cash and non-cash transactions at the Allergan plc level, these notes relate to the consolidated financial statements for both separate registrants, Allergan plc and Warner Chilcott Limited. In addition to certain inter-company payable and receivable amounts between the entities, the following is a reconciliation of the financial position and results of operations of Warner Chilcott Limited to Allergan plc ($ in millions): As of June 30, 2018 As of December 31, 2017 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference Cash and cash equivalents $ 1,674.7 $ 1,673.5 $ 1.2 $ 1,817.2 $ 1,816.3 $ 0.9 Prepaid expenses and other current assets 724.2 722.9 1.3 1,123.9 1,123.0 0.9 Deferred tax assets 899.9 896.8 3.1 319.1 316.0 3.1 Accounts payable and accrued liabilities 4,683.8 4,681.6 2.2 5,541.4 5,515.6 25.8 Income taxes payable 93.0 92.5 0.5 74.9 74.9 - Other taxes payables 1,576.6 1,576.2 0.4 1,573.9 1,573.5 0.4 Deferred tax liabilities 5,137.5 5,140.5 (3.0 ) 6,352.4 6,349.4 3.0 Total equity 71,264.0 78,676.2 (7,412.2 ) 73,837.1 81,282.2 (7,445.1 ) Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference General and administrative expenses $ 334.1 $ 299.5 $ 34.6 $ 630.0 $ 593.6 $ 36.4 Operating (loss) (467.0 ) (432.4 ) (34.6 ) (1,121.0 ) (1,084.6 ) (36.4 ) Interest income 6.3 71.8 (65.5 ) 23.6 142.1 (118.5 ) (Loss) before income taxes and noncontrolling interest (475.3 ) (375.2 ) (100.1 ) (1,441.4 ) (1,286.5 ) (154.9 ) Net (loss) from continuing operations, net of tax (470.1 ) (370.0 ) (100.1 ) (754.0 ) (599.1 ) (154.9 ) Net (loss) (470.1 ) (370.0 ) (100.1 ) (754.0 ) (599.1 ) (154.9 ) Dividends on preferred shares - - - 46.4 - 46.4 Net (loss) attributable to ordinary shareholders/members (472.5 ) (372.4 ) (100.1 ) (805.0 ) (603.7 ) (201.3 ) Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference General and administrative expenses $ 459.8 $ 447.7 $ 12.1 $ 775.9 $ 762.0 $ 13.9 Operating (loss) (902.4 ) (890.3 ) (12.1 ) (1,808.4 ) (1,794.5 ) (13.9 ) Interest income 16.6 37.2 (20.6 ) 41.9 88.6 (46.7 ) (Loss) before income taxes and noncontrolling interest (1,296.7 ) (1,264.0 ) (32.7 ) (4,389.9 ) (4,329.3 ) (60.6 ) Net (loss) from continuing operations, net of tax (715.5 ) (682.8 ) (32.7 ) (3,276.6 ) (3,216.0 ) (60.6 ) Net (loss) (723.9 ) (691.2 ) (32.7 ) (3,288.1 ) (3,227.5 ) (60.6 ) Dividends on preferred shares 69.6 - 69.6 139.2 - 139.2 Net (loss) attributable to ordinary shareholders/members (795.5 ) (693.2 ) (102.3 ) (3,430.3 ) (3,230.5 ) (199.8 ) The difference between general and administrative expenses in the three and six months ended June 30, 2018 and 2017 was due to corporate related expenses incurred by Allergan plc. Movements in equity were due to historical differences in the results of operations of the companies and differences in equity awards. As of June 30, 2018 and December 31, 2017, Warner Chilcott Limited had $5.8 billion in Receivables from the Parents. As of June 30, 2018 and December 31, 2017, Warner Chilcott Limited had $4.0 billion in Non-current Receivables from the Parents. These receivables related to intercompany loans between Allergan plc and subsidiaries of Warner Chilcott Limited. These loans are interest-bearing loans with varying term dates and cause a difference in interest income between the two entities. Total interest income recognized during the three and six months ended June 30, 2018 was $65.5 million and $118.5 million, respectively. Total interest income recognized during the three and six months ended June 30, 2017 was $20.6 million and $46.7 million, respectively. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 3 — Summary of Significant Accounting Policies The following are interim updates to certain of the policies described in “Note 4” of the notes to the Company’s audited consolidated financial statements for the year ended December 31, 2017 included in the Annual Report. Implementation of New Guidance On January 1, 2018, we adopted Accounting Standards Update (“ASU”) No. 2014-09, "Revenue from Contracts with Customers" (“Topic 606”) using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historical accounting practices. The impact to revenues for the three and six months ended June 30, 2018 was not significant as a result of the adoption. The adoption of this guidance does not have a material impact on the Company’s financial position or results of operations as the Company’s sales primarily are governed by standard bill and ship terms of pharmaceutical products to customers. The Company applies the practical expedient as defined in Topic 606 to recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. These costs which are included in selling, general, and administrative expenses are consistent with the accounting prior to the adoption of Topic 606. The Company also elected to use the practical expedient to not adjust the promised amount of consideration for the effects of the time value of money for contracts in which the anticipated period between when the Company transfers the goods or services to the customer and when the customer pays is equal to one year or less. On January 1, 2018, the Company adopted ASU No. 2016-01, which now requires equity securities (including other ownership interests, such as partnerships, unincorporated joint ventures, and limited liability companies) to be measured at fair value with changes in the fair value recognized through net income. Under the previous guidance, changes in the fair value of equity securities were recognized through other comprehensive income. On January 1, 2018, the Company adopted ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Previously, GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. This prohibition on recognition was an exception to the principle of comprehensive recognition of current and deferred income taxes in GAAP. The amendment to the guidance eliminated the exception for an intra-entity transfer of an asset other than inventory and required an entity to recognize the income tax consequences when the transfer occurs. The following represents the impact on the Company's Consolidated Balance Sheet as a result of the adoption on January 1, 2018 of these accounting pronouncements ($ in millions): Increase / (decrease) Pronouncement Accounts receivable, net Prepaid expenses and other current assets Accounts payable and accrued expenses Deferred tax liabilities Retained earnings Accumulated other comprehensive income / (loss) Accounting Standards Update No. 2014-09 $ 1.9 $ - $ (3.6 ) $ - $ 5.5 $ - Accounting Standards Update No. 2016-01 $ - $ - $ - $ - $ 63.0 $ (63.0 ) Accounting Standards Update No. 2016-16 $ - $ (44.8 ) $ - $ (401.0 ) $ 356.2 $ - On January 1, 2018, the Company adopted ASU 2016-15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments. This standard amends and adjusts how cash receipts and cash payments are presented and classified in the statement of cash flows. As a result of the guidance, the Company retrospectively applied the standard which resulted in a reclassification of debt extinguishment costs from cash flows from operating activities to cash flows from financing activities. As a result of the guidance cash flows from operating activities increased by $170.5 million and cash flows from financing activities decreased by $170.5 million in the six months ended June 30, 2017. Cash flows from operating activities will increase by $205.6 million and cash flows from financing activities will decrease by $205.6 million for the year ended December 31, 2017. On January 1, 2018, the Company adopted ASU No. 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This update requires that an employer disaggregate the service cost component from the other components of net periodic benefit cost. Upon adoption, the Company recorded other components of the net periodic benefit cost with “other income / (expense), net.” Revenue Recognition General Topic 606 provides that revenues are recognized when control of the promised goods under a contract is transferred to a customer, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods as specified in the underlying terms with the customer. The Company warrants products against defects and for specific quality standards, permitting the return of products under certain circumstances. Product sales are recorded net of all sales-related deductions including, but not limited to: chargebacks, trade discounts, commercial and government rebates, customer loyalty programs fee-for-service arrangements with certain distributors, returns, and other allowances which we refer to in the aggregate as sales returns and allowances (“SRA”). The Company’s performance obligations are primarily achieved when control of the products is transferred to the customer. Transfer of control is based on contractual performance obligations, but typically occurs upon receipt of the goods by the customer. Prior to the achievement of performance obligations, shipping and handling costs associated with outbound freight for a product to be transferred to a customer are accounted for as a fulfillment cost and are included in selling and marketing expenses. Other revenues earned are mainly comprised of royalty income from licensing of intellectual property. Royalty income is recognized when the licensee’s subsequent sale occurs. Refer to “NOTE 8 –Reportable Segments” for our revenues disaggregated by product and segment and our revenues disaggregated by geography for our international segment. We believe this level of disaggregation best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. Significant Payment Terms A contract with a customer states the final terms of the sale, including the description, quantity, and price of each product purchased. The Company’s payment terms vary by the type and location of the customer and the products offered. A customer agrees to a stated rate and price in the contract and given that most of the products sold contain variable consideration, the amount of revenue recognized incorporates adjustments for SRAs as appropriate. Determining the Transaction Price The Company offers discounts and rebates to certain customers who participate in various programs that are referred to as SRA allowances as described further below in the section “Provisions for SRAs”. Such discounting and rebating activity is included as part of the Company’s estimate of the transaction price and is accounted for as a reduction to gross sales. At time of sale, the Company records the related SRA adjustments to sales as described further below in the section “Provisions for SRAs”. The Company performs a level of validation each period to assess the adequacy of the liability or contra receivable recorded to reflect actual activity and will adjust the reserve balances accordingly. Provisions for SRAs As is customary in the pharmaceutical industry, certain customers may receive cash-based incentives or credits, which are variable consideration accounted for as SRAs. The Company estimates SRA amounts based on the expected amount to be provided to customers, which reduces the revenues recognized. The Company believes that there will not be significant changes to our estimates of variable consideration. The Company uses a variety of methods to assess the adequacy of the SRA reserves to ensure that our financial statements are fairly stated. These provisions are estimated based on historical payment experience, the historical relationship of the deductions to gross product revenues, government regulations, estimated utilization or redemption rates, estimated customer inventory levels and current contract sales terms. The estimation process used to determine our SRA provisions has been applied on a consistent basis and no material revenue adjustments have been necessary to increase or decrease our reserves for SRA as a result of a significant change in underlying estimates. Chargebacks — A chargeback represents an amount payable in the future to a wholesaler for the difference between the invoice price paid by such wholesaler customer for a particular product and the negotiated contract price that the wholesaler’s customer pays for that product. The chargeback provision and related reserve varies with changes in product mix, changes in customer pricing and changes to estimated wholesaler inventories. The provision for chargebacks also takes into account an estimate of the expected wholesaler sell-through levels to indirect customers at certain contract prices. The Company validates the chargeback accrual quarterly through a review of the inventory reports obtained from our largest wholesale customers. This customer inventory information is used to verify the estimated liability for future chargeback claims based on historical chargeback and contract rates. These large wholesalers represent the vast majority of the recipients of the Company’s chargeback credits. We continually monitor current pricing trends and wholesaler inventory levels to ensure the contra-receivable for future chargebacks is fairly stated. Rebates — Rebates include volume related incentives to direct and indirect customers, third-party managed care and Medicare Part D rebates, Medicaid rebates and other government rebates. Rebates are accrued based on an estimate of claims to be paid for product sold into trade by the Company. Volume rebates are generally contractually offered to customers as an incentive to use the Company’s products and to encourage greater product sales. These rebate programs include contracted rebates based on customers’ purchases made during an applicable monthly, quarterly or annual period. The provision for third-party rebates is estimated based on our customers’ contracted rebate programs and the Company’s historical experience of rebates paid. Any significant changes to our customer rebate programs are considered in establishing the provision for rebates. The provisions for government rebates are based, in part, upon historical experience of claims submitted by the various states and authorities, contractual terms and government regulations. We monitor legislative changes to determine what impact such legislation may have on our provision. Cash Discounts — Cash discounts are provided to customers that pay within a specific time period. The provision for cash discounts is estimated based upon invoice billings and historical customer payment experience. The Company’s experience of payment history is fairly consistent and most customer payments qualify for a cash discount. Returns and Other Allowances — The Company’s provision for returns and other allowances include returns, promotional allowances and loyalty cards. Consistent with industry practice, the Company maintains a returns policy that allows customers to return product for a credit. In accordance with the Company’s policy, credits for customer returns of products are applied against outstanding account activity or are settled in cash. Product exchanges are generally not permitted. Customer returns of product are generally not resalable. The Company’s estimate of the provision for returns is based upon historical experience and current trends of actual customer returns. Additionally, we consider other factors when estimating the current period returns provision, including levels of inventory in the distribution channel, as well as significant market changes which may impact future expected returns. Promotional allowances are credits with no discernable benefit offered to Allergan that are issued in connection with a product launch or as an incentive for customers to carry our product. The Company establishes a reserve for promotional allowances based upon contractual terms. Loyalty cards allow end-user patients a discount per prescription and are accrued based on historical experience, contract terms and the volume of product and cards in the distribution channel. The following table summarizes the activity from continuing operations in the Company’s major categories of SRA ($ in millions): Chargebacks Rebates Returns and Other Allowances Cash Discounts Total Balance at December 31, 2017 $ 77.2 $ 1,799.2 $ 517.6 $ 36.5 $ 2,430.5 Provision related to sales in 2018 550.9 2,556.5 859.6 155.4 4,122.4 Credits and payments (565.6 ) (2,622.2 ) (842.1 ) (161.8 ) (4,191.7 ) Balance at June 30, 2018 $ 62.5 $ 1,733.5 $ 535.1 $ 30.1 $ 2,361.2 Contra accounts receivable at June 30, 2018 $ 62.5 $ 67.4 $ 42.9 $ 30.1 $ 202.9 Accounts payable and accrued expenses at June 30, 2018 $ - $ 1,666.1 $ 492.2 $ - $ 2,158.3 The following table summarizes the balance sheet classification of our SRA reserves ($ in millions): June 30, 2018 December 31, 2017 Contra accounts receivable $ 202.9 $ 250.6 Accounts payable and accrued expenses 2,158.3 2,179.9 Total $ 2,361.2 $ 2,430.5 The SRA provisions recorded to reduce gross product sales to net product sales, excluding discontinued operations, were as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Gross product sales $ 6,095.5 $ 5,888.4 $ 11,711.6 $ 11,270.8 Provisions to reduce gross product sales to net product sales (2,087.3 ) (1,977.3 ) (4,122.4 ) (3,869.9 ) Net product sales $ 4,008.2 $ 3,911.1 $ 7,589.2 $ 7,400.9 Percentage of SRA provisions to gross sales 34.2 % 33.6 % 35.2 % 34.3 % Collectability Assessment At the time of contract inception or customer account set-up, the Company performs a collectability assessment on the creditworthiness of such customer. The Company assesses the probability that the Company will collect the consideration to which it will be entitled in exchange for the goods sold. In evaluating collectability, the Company considers the customer’s ability and intention to pay consideration when it is due. On a recurring basis, the Company estimates the amount of uncollectible receivables to reflect allowances for doubtful accounts. Practical Expedients and Exemptions The Company generally expenses sales commissions when incurred because the amortization period is one year or less. These costs are recorded within selling and marketing expenses. The Company does not adjust the promised amount of consideration for the effects of the time value of money for contracts in which the anticipated period between when the Company transfers the goods or services to the customer and when the customer pays is equal to one year or less. The Company has chosen not to elect the remaining practical expedients. Goodwill and Intangible Assets with Indefinite Lives General The Company tests goodwill and intangible assets with indefinite lives for impairment annually in the second quarter. Additionally, the Company may perform interim tests if an event occurs or circumstances change that could potentially reduce the fair value of a reporting unit or indefinite lived intangible asset below its carrying amount. The carrying value of each reporting unit is determined by assigning the assets and liabilities, including the existing goodwill and intangible assets, to those reporting units. The Company tests goodwill for impairment by either performing a qualitative evaluation or a quantitative test. The qualitative evaluation is an assessment of factors, including Reporting Unit specific operating results as well as industry, market and general economic conditions, to determine whether it is more likely than not that the fair values of a Reporting Unit is less than its carrying amount, including goodwill. The Company may elect to bypass this qualitative assessment for some or all of its Reporting Units and perform a quantitative test. Goodwill is considered impaired if the carrying amount of the net assets exceeds the fair value of the reporting unit. Impairment, if any, would be recorded in operating income / (loss) and this could result in a material impact to net income / (loss) and income / (loss) per share. Prior to Allergan’s annual impairment test, the Company adopted the new guidance under Accounting Standard Update No. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment Acquired in-process research and development (“IPR&D”) intangible assets represent the value assigned to research and development projects acquired in a business combination that, as of the date acquired, represent the right to develop, use, sell and/or offer for sale a product or other intellectual property that has not been completed or approved. The IPR&D intangible assets are subject to impairment testing until completion or abandonment of each project. Upon abandonment, the assets are impaired if there is no future alternative use or ability to sell the asset. Impairment testing requires the development of significant estimates and assumptions involving the determination of estimated net cash flows for each year for each project or product (including net revenues, cost of sales, research and development (“R&D”) costs, selling and marketing costs and other costs which may be allocated), determination of the appropriate discount rate in order to measure the risk inherent in each future cash flow stream, assessment of each asset’s life cycle, potential regulatory and commercial success risks, and competitive trends impacting the asset and each cash flow stream as well as other factors. The major risks and uncertainties associated with the timely and successful completion of IPR&D projects include legal risk, market risk and regulatory risk. Changes in our assumptions could result in future impairment charges. No assurances can be given that the underlying assumptions used to prepare the discounted cash flow analysis will not change or the timely completion of each project and commercial success will occur. For these and other reasons, actual results may vary significantly from estimated results. Upon successful completion of each project and approval of a product, we will make a separate determination of the useful life of the intangible asset, transfer the amount to currently marketed products (“CMP”) and amortization expense will be recorded over the estimated useful life. Annual Testing 2018 The Company performed its annual goodwill impairment test during the second quarter of 2018 by evaluating its five Reporting Units. In performing this test, the Company utilized long-term growth rates for its Reporting Units ranging from 1.0% to 2.0% in its estimation of fair value and discount rates ranging from 8.5% to 10.0%, which is an increase versus the prior year discount rates of 7.5% to 8.5% to reflect changes in market conditions. The assumptions used in evaluating goodwill for impairment are subject to change and are tracked against historical results by management. Changes in the key assumptions by management can change the results of testing. Of the Reporting Units tested, the Company’s US Eye Care Reporting Unit, which is a component of its US Specialized Therapeutics Segment and has an allocated goodwill balance of $9,824.8 million and its General Medicine Reporting Unit are the most sensitive to a change in future valuation assumptions. These Reporting Units had the lowest level of headroom. While management believes the assumptions used are reasonable and commensurate with the views of a market participant, changes in key assumptions for these Reporting Units, including increasing the discount rate, lowering revenue forecasts, lowering the operating margin or lowering long-term growth rate, could result in a future impairment. The Company performed its annual IPR&D impairment test in the second quarter of 2018. Based on events occurring or decisions made within the quarter ended June 30, 2018, the Company recorded the following impairments: • The Company impaired an eye care project obtained as part of the acquisition of Allergan, Inc. (the “Allergan Acquisition”) by $164.0 million as a result of changes in launch plans based on clinical results. • The Company impaired a project obtained as part of the acquisition of Vitae Pharmaceuticals, Inc. by $40.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired a medical dermatology project obtained as part of the Allergan Acquisition by $27.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired an eye care project obtained as part of the Allergan Acquisition by $20.0 million as the result of a strategic decision to no longer pursue approval internationally. • The Company impaired a CNS project obtained as part of the Allergan Acquisition by $19.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired an eye care project obtained as part of the Allergan Acquisition by $6.0 million due to a delay in clinical studies and anticipated approval date. 2017 During the second quarter of 2017, the Company performed its annual IPR&D impairment test and recorded the following IPR&D impairments: • $486.0 million related to an anticipated approval delay due to certain product specifications for a CNS project obtained as part of the Allergan Acquisition; • a $91.3 million impairment of a women’s healthcare project based on the Company’s intention to divest a non-strategic asset; • a $57.0 million ($257.0 million year to date) impairment due to a delay in an anticipated launch of a women’s healthcare project; • a $44.0 million impairment resulting from a decrease in projected cash flows due to a decline in market demand assumptions of an eye care project obtained as part of the Allergan Acquisition; and • a $20.0 million impairment of an eye care project obtained as part of the Allergan Acquisition. Earnings Per Share (“EPS”) The Company computes EPS in accordance with Accounting Standards Codification (“ASC”) Topic 260, “Earnings Per Share” (“ASC 260”) and related guidance, which requires two calculations of EPS to be disclosed: basic and diluted. Basic EPS is computed by dividing net (loss) by the weighted average ordinary shares outstanding during a period. Diluted EPS is based on the treasury stock method and includes the effect from potential issuance of ordinary shares, such as shares issuable pursuant to the exercise of stock options and restricted stock units. Diluted EPS also includes the impact of ordinary share equivalents issued (or issuable in 2017) upon the mandatory conversion of the Company’s preferred shares which occurred on March 1, 2018. Ordinary share equivalents have been excluded where their inclusion would be anti-dilutive to continuing operations. A reconciliation of the numerators and denominators of basic and diluted EPS consisted of the following ($ in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Net (loss): Net (loss) attributable to ordinary shareholders excluding income from discontinued operations, net of tax $ (472.5 ) $ (787.1 ) $ (805.0 ) $ (3,418.8 ) (Loss) from discontinued operations, net of tax - (8.4 ) - (11.5 ) Net (loss) attributable to ordinary shareholders $ (472.5 ) $ (795.5 ) $ (805.0 ) $ (3,430.3 ) Basic weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Basic EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) Dividends per ordinary share $ 0.72 $ 0.70 $ 1.44 $ 1.40 Diluted weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Diluted EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) Stock awards to purchase 2.2 million ordinary shares for the three and six months ended June 30, 2018 were outstanding, but not included in the computation of diluted EPS, because the awards were anti-dilutive. Stock awards to purchase 3.9 million and 4.2 million ordinary shares for the three and six months ended June 30, 2017, respectively, were outstanding, but not included in the computation of diluted EPS, because the awards were anti-dilutive. The weighted average impact of ordinary share equivalents of 5.8 million for the six months ended June 30, 2018, which would result from the mandatory conversion of the Company’s preferred shares at the beginning of the period were not included in the calculation of diluted EPS as their impact would be anti-dilutive. The Company’s preferred shares were converted to ordinary shares on March 1, 2018. The weighted average impact of ordinary share equivalents of 17.6 million for the three and six months ended June 30, 2017, which were anticipated to result from the mandatory conversion of the Company’s preferred shares were not included in the calculation of diluted EPS as their impact would be anti-dilutive. Refer to “NOTE 15 –Shareholders’ Equity” for further discussion on the Company’s Share Repurchase Program. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-02, which states that a lessee should recognize the assets and liabilities that arise from leases. This update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. While the Company has not yet completed its assessment, the adoption of the guidance is anticipated to have a material impact on the Company’s financial position. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU is intended to improve financial reporting by requiring timelier recording of credit losses on loans and other financial instruments held by financial institutions and other organizations. The ASU requires the measurement of all expected credit losses for financial assets including trade receivables held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early application will be permitted for all organizations for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company is evaluating the impact, if any, that this pronouncement will have on our financial position and results of operations. In March 2017, The FASB issued ASU No. 2017-08, Receivables—Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities. The ASU shortens the amortization period for certain callable debt securities held at a premium and requires the premium to be amortized to the earliest call date, but does not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. Entities are required to apply the amendments on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The entity is required to provide disclosures about a change in accounting principle in the period of adoption. The Company is evaluating the impact these amendments will have on our financial position and results of operations. In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815) — Targeted Improvements to Accounting for Hedging Activities. The amendments to the guidance will better align an entity’s risk management activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results. To meet that objective, the amendments expand and refine hedge accounting for both nonfinancial and financial risk components and align the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The amendments also make certain targeted improvements to simplify the application of hedge accounting guidance and ease the administrative burden of hedge documentation requirements and assessing hedge effectiveness. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted in any interim period or fiscal years before the effective date of the amendments. |
Acquisitions and Other Agreemen
Acquisitions and Other Agreements | 6 Months Ended |
Jun. 30, 2018 | |
Business Combinations [Abstract] | |
Acquisitions and Other Agreements | NOTE 4 — Acquisitions and Other Agreements 2018 Transactions The following are the significant transactions that were completed in the six months ended June 30, 2018. Held for Sale As of June 30, 2018, the Company determined that certain assets related to a non-strategic medical dermatology product was deemed held for sale based on the Company’s intention and ability to dispose of the related assets. As a result, the Company recorded an impairment of $252.0 million to the anticipated sale value and reclassified the “product rights and other intangibles, net” balance of $130.5 million to “non-current assets held for sale.” Elastagen Pty Ltd On April 6, 2018, the Company completed the acquisition of Elastagen Pty Ltd, which was accounted for as an asset acquisition as the purchase primarily related to one asset. An upfront expense of $96.1 million was expensed as a component of R&D during the three and six months ended June 30, 2018. Under the terms of the agreement, Elastagen Pty Ltd is eligible to receive additional consideration of up to $165.0 million. Repros Therapeutics, Inc. On January 31, 2018, the Company completed the acquisition of Repros Therapeutics, Inc., which was accounted for as an asset acquisition as the purchase primarily related to one asset. A net charge of $33.2 million was expensed as a component of R&D during the six months ended June 30, 2018. 2017 Acquisitions with Purchase Accounting Finalized in 2018 ZELTIQ ® On April 28, 2017 the Company acquired Zeltiq ® ® Assets Acquired and Liabilities Assumed at Fair Value The Zeltiq Acquisition has been accounted for using the acquisition method of accounting. This method requires that assets acquired and liabilities assumed in a business combination be recognized at their fair values as of the acquisition date. The following table summarizes the final fair values of the assets acquired and liabilities assumed at the acquisition date and reflects purchase accounting adjustments subsequent to the acquisition date ($ in millions): Final Valuation Cash and cash equivalents $ 36.7 Accounts receivable 47.0 Inventories 59.3 Property, plant and equipment 12.4 Intangible assets 1,185.0 Goodwill 1,211.6 Other assets 17.1 Accounts payable and accrued expenses (104.6 ) Deferred revenue (10.6 ) Deferred taxes, net (47.2 ) Other liabilities (1.3 ) Net assets acquired $ 2,405.4 Inventories The fair value of inventories acquired included an acquisition accounting fair market value step-up of $22.9 million which was recognized as a component of cost of sales as the inventory acquired was sold to the Company’s customers in the year ended December 31, 2017, including $11.9 million in the three and six months ended June 30, 2017. Deferred Tax Liabilities Deferred tax liabilities result from identifiable intangible assets’ fair value adjustments. These adjustments create excess book basis over tax basis which is tax-affected by the statutory tax rates of applicable jurisdictions. |
Discontinued Operations
Discontinued Operations | 6 Months Ended |
Jun. 30, 2018 | |
Global Generics [Member] | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |
Discontinued Operations | NOTE 5 — Discontinued Operations Global Generics Business On July 27, 2015, the Company announced that it entered into a divestiture agreement for our global generics business and certain other assets to Teva Pharmaceutical Industries Ltd. (“Teva”) (the “Teva Transaction”) In October 2016, pursuant to our agreement with Teva, Teva provided the Company with its proposed estimated adjustment to the closing date working capital balance. The Company disagreed with Teva’s proposed adjustment, and, pursuant to our agreement with Teva, each of the Company’s and Teva’s proposed adjustments were submitted to arbitration to determine the working capital amount in accordance with GAAP as applied by the Company consistent with past practice. On January 31, 2018, Allergan plc and Teva entered into a Settlement Agreement and Mutual Releases (the “Agreement”) pursuant to which the Company made a one-time payment of $700.0 million to Teva; the Company and Teva jointly dismissed their working capital dispute arbitration, and the Company and Teva released all actual or potential indemnification and other claims under the Master Purchase Agreement, dated July 26, 2015, by and between the Company and Teva, that were known as of the date of the Agreement. The Company recorded a pre-tax charge of $466.0 million as a component of other (expense) / income, net from discontinued operations relating to the settlement in the year ended December 31, 2017. The one-time payment of $700.0 million is shown in the Consolidated Statement of Cash Flows as both a cash outflow in investing activities of $466.0 million and a cash outflow in financing cash flows of $234.0 million for the portion of the payment which was outstanding greater than one year. |
Other Income _ (Expense)
Other Income / (Expense) | 6 Months Ended |
Jun. 30, 2018 | |
Other Income And Expenses [Abstract] | |
Other Income / (Expense) | NOTE 6 – Other Income / (Expense) Other income / (expense) consisted of the following ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Teva Share Activity $ 138.6 $ - $ 60.9 $ (1,978.0 ) Sale of business 53.0 - 53.0 - Debt extinguishment other 9.1 - 9.1 - Debt extinguishment costs as part of the debt tender offer - (161.5 ) - (161.5 ) Dividend income - 34.1 - 68.2 Naurex recovery - - - 20.0 Other income / (expense), net 14.7 (6.1 ) 13.6 (5.0 ) Other income / (expense), net $ 215.4 $ (133.5 ) $ 136.6 $ (2,056.3 ) Teva Share Activity During the three and six months ended June 30, 2018, the Company recorded the following movements in its investment in Teva securities (defined herein as “Teva Share Activity”) ($ in millions except per share information): Shares Carrying Value per Share Market Price Proceeds Received Value of Marketable Securities Unrealized Gain / (Loss) as a Component of Other Comprehensive Income Gain / (Loss) Recognized in Other Income/ (Expense), Net Derivative Instrument (Liability)/ Asset Retained Earnings Teva securities as of December 31, 2017 95.9 $ 17.60 $ 18.95 n.a. $ 1,817.7 $ 129.3 $ - $ (62.9 ) $ - Impact of ASU No. 2016-01 - - - - - (129.3 ) - - 129.3 Settlement of initial accelerated share repurchase ("ASR"), net (25.0 ) 18.95 16.53 * 413.3 (473.8 ) - 2.5 62.9 - Forward sale entered into during the three months ended March 31, 2018 ** n.a. n.a. 372.3 n.a. - 19.0 (353.3 ) - Open market sales (11.5 ) n.a. 19.95 229.9 (218.5 ) - 11.5 - - Other fair value movements during the three months ended March 31, 2018 - n.a. n.a. n.a. (110.7 ) - (110.7 ) - - Teva securities as of and for the three months ended March 31, 2018 59.4 $ 17.09 $ 17.09 $ 1,015.5 $ 1,014.7 $ - $ (77.7 ) $ (353.3 ) $ 129.3 Settlement of forward sale entered into during the three months ended March 31, 2018, net (25.0 ) 17.09 18.61 *** 93.2 (427.3 ) - 19.2 353.3 - Open market sales (34.4 ) n.a. 20.55 706.8 (587.4 ) - 119.4 - - Teva securities as of and for the six months ended June 30, 2018 - $ - $ - $ 1,815.5 $ - $ - $ 60.9 $ - $ 129.3 * Market price represents average price over the life of the contract. On the January 17, 2018 settlement date, the closing stock price of Teva securities was $21.48. ** On February 13, 2018, the Company entered into a forward sale transaction under which we delivered 25.0 million Teva shares to the transaction counterparty and received proceeds of $372.3 million in exchange for the shares. The forward sale transaction settled during the second quarter of 2018. As a result of the transaction, and in accordance with ASC Topic 860 - Transfers and Servicing, the marketable securities were reported on the Company's balance sheet until the contract settled on May 7, 2018. *** Market price represents average price over the life of the contract. On the May 7, 2018 settlement date, the closing stock price of Teva securities was $18.62. During the three and six months ended June 30, 2017, the Company recorded the following movements in its investment in Teva securities ($ in millions except per share information): Shares Carrying Value per Share Market Price Discount Movement in the Value of Marketable Securities Unrealized Gain / (Loss) as a Component of Other Comprehensive Income Gain / (Loss) Recognized in Other Income/ (Expense), Net Teva securities as of December 31, 2016 100.3 $ 53.39 $ 36.25 5.4 % $ 3,439.2 $ (1,599.4 ) $ - Other-than-temporary impairment recognized at March 31, 2017 100.3 32.09 32.09 4.9 % (378.6 ) 1,599.4 (1,978.0 ) Teva securities as of and for the three months ended March 31, 2017 100.3 $ 32.09 $ 32.09 4.9 % $ 3,060.6 $ - $ (1,978.0 ) Other fair value movements during the three months ended June 30, 2017 100.3 32.09 33.22 1.9 % 207.8 207.8 - Teva securities as of and for the six months ended June 30, 2017 100.3 $ 32.09 $ 33.22 1.9 % $ 3,268.4 $ 207.8 $ (1,978.0 ) The Teva stock price was discounted due to the lack of marketability. Sale of Business During the three and six months ended June 30, 2018, the Company completed the sale of a non-strategic asset group held for sale as of December 31, 2017, which was deemed a business based on the applicable guidance at the time, for $55.0 million in cash plus deferred consideration of $20.0 million. As a result of this transaction, the Company recognized a gain of $53.0 million. Debt Extinguishment Other During the three and six months ended June 30, 2018, the Company repurchased $455.9 million of senior notes in the open market. As a result of the debt extinguishment, the Company recognized a net gain of $9.1 million, within “Other income / (expense)” for the cash discount received of $13.1 million, including the non-cash write-off of premiums and debt fees related to the repaid notes of $4.0 million. During the three and six months ended June 30, 2018, the Company redeemed and retired the following senior notes ($ in millions): Tranche Face Value Retired Cash Paid for Retirement Remaining Value at June 30, 2018 2.450% due 2019 $ 8.8 $ 8.8 $ 491.2 3.000% due 2020 40.7 40.6 3,459.3 3.450% due 2022 59.5 58.6 2,940.5 3.850% due 2024 11.2 10.9 1,188.8 3.800% due 2025 85.0 82.6 3,915.0 4.550% due 2035 115.0 110.1 2,385.0 4.850% due 2044 59.0 57.3 1,441.0 4.750% due 2045 76.7 73.9 1,123.3 Total $ 455.9 $ 442.8 $ 16,944.1 Debt Extinguishment Costs as Part of the Debt Tender Offer On May 30, 2017, the Company completed the repurchase of certain debt securities issued for cash under a previously announced tender offer. During the three and six months ended June 30, 2017, as a result of the debt extinguishment, the Company recognized a loss of $161.5 million, within “Other income / (expense)” for the early tender payment and non-cash write-off of premiums and debt fees related to the repurchased notes, including $170.5 million of a make-whole premium. Dividend Income During the three and six months ended June 30, 2017, the Company received dividend income of $34.1 million and $68.2 million, respectively, on the 100.3 million Teva ordinary shares acquired as a result of the Teva Transaction. On February 8, 2018, Teva suspended all dividends on ordinary shares. Naurex Recovery On August 28, 2015, the Company acquired certain products in early stage development of Naurex, Inc. (“Naurex”) in an all-cash transaction, which was accounted for as an asset acquisition. The Company received a purchase price reduction of $20.0 million in the six months ended June 30, 2017 based on the settlement of an open contract dispute. |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation | NOTE 7 — Share-Based Compensation The Company recognizes compensation expense for all share-based compensation awards made to employees and directors based on the fair value of the awards on the date of grant. The Company grants awards with the following features: • Time-based restricted stock and restricted stock unit awards (including, in certain foreign jurisdictions, cash-settled restricted stock unit awards, which are recorded as a liability); • Performance-based restricted stock unit awards measured against performance-based targets defined by the Company, including, but not limited to, total shareholder return metrics and R&D milestones, as defined by the Company; and • Non-qualified options to purchase outstanding shares. The Company recognizes share-based compensation expense for granted awards over the applicable vesting period. Cash-settled performance-based awards are recorded as a liability. These cash-settled performance-based awards are measured against pre-established total shareholder returns metrics. Fair Value Assumptions All restricted stock and restricted stock units (whether time-based or performance-based) are granted and expensed using the fair value per share on the applicable grant date, over the applicable vesting period. Non-qualified options to purchase ordinary shares are granted to employees at exercise prices per share equal to the closing market price per share on the date of grant. The fair value of non-qualified options is determined on the applicable grant dates using the Black-Scholes method of valuation and that amount is recognized as an expense over the vesting period. Using the Black-Scholes valuation model, the fair value of options is based on the following assumptions: 2018 Grants 2017 Grants Dividend yield 1.8 - 1.9% 1.2% Expected volatility 27.0% 27.0% Risk-free interest rate 2.2 - 2.8% 2.0 - 2.3% Expected term (years) 7.0 7.0 Share-Based Compensation Expense Share-based compensation expense recognized in the Company’s results of operations for the three and six months ended June 30, 2018 and 2017 was as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Equity-based compensation awards $ 54.9 $ 85.8 $ 127.4 $ 148.5 Cash-settled awards in connection with the Zeltiq Acquisition - 31.5 - 31.5 Non-equity settled awards other - - - 13.1 Total share-based compensation expense $ 54.9 $ 117.3 $ 127.4 $ 193.1 Included in the share-based compensation awards for the three and six months ended June 30, 2018 and 2017 is the impact of accelerations and step-ups relating to the acquisition accounting treatment of outstanding awards acquired in the Zeltiq Acquisition, the Allergan Acquisition, and the acquisition of Forest Laboratories, Inc. (the “Forest Acquisition”) as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Zeltiq Acquisition $ 2.4 $ 37.7 $ 6.5 $ 37.7 Allergan Acquisition 1.0 10.4 6.7 27.8 Forest Acquisition - 2.9 - 7.5 Total $ 3.4 $ 51.0 $ 13.2 $ 73.0 Unrecognized future share-based compensation expense was $431.7 million as of June 30, 2018, including $18.6 million from the Zeltiq Acquisition and $12.1 million from the Allergan Acquisition. This amount will be recognized as an expense over a remaining weighted average period of 1.7 years. Share-based compensation is being amortized and charged to operations over the same period as the restrictions are eliminated for the participants, which is generally on a straight-line basis. Share Activity The following is a summary of equity award activity for unvested restricted stock and stock units in the period from December 31, 2017 through June 30, 2018 (in millions, except per share data): Shares Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Term (Years) Aggregate Grant Date Fair Value Restricted shares / units outstanding at December 31, 2017 2.0 $ 237.72 1.8 $ 484.1 Granted 1.4 140.43 196.6 Vested (0.5 ) (251.60 ) (125.8 ) Forfeited (0.2 ) (205.00 ) (41.0 ) Restricted shares / units outstanding at June 30, 2018 2.7 $ 190.48 2.0 $ 513.9 The following is a summary of equity award activity for non-qualified options to purchase ordinary shares in the period from December 31, 2017 through June 30, 2018 (in millions, except per share data): Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, December 31, 2017 7.3 $ 120.94 5.2 $ 312.7 Granted 0.2 150.82 Exercised (0.6 ) 105.85 Cancelled (0.1 ) 244.14 Outstanding, vested and expected to vest at June 30, 2018 6.8 $ 122.06 4.8 $ 303.6 |
Reportable Segments
Reportable Segments | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Reportable Segments | NOTE 8 — Reportable Segments The Company’s businesses are organized into the following segments: US Specialized Therapeutics, US General Medicine and International. In addition, certain revenues and shared costs, and the results of corporate initiatives, are managed outside of the three segments. The operating segments are organized as follows: • The US Specialized Therapeutics segment includes sales and expenses relating to branded products within the U.S., including Medical Aesthetics, Medical Dermatology, Eye Care and Neuroscience and Urology therapeutic products. • The US General Medicine segment includes sales and expenses relating to branded products within the U.S. that do not fall into the US Specialized Therapeutics business units, including Central Nervous System, Gastrointestinal, Women’s Health, Anti-Infectives and Diversified Brands. • The International segment includes sales and expenses relating to products sold outside the U.S. The Company evaluates segment performance based on segment contribution. Segment contribution for our segments represents net revenues less cost of sales (defined below), selling and marketing expenses, and select general and administrative expenses. The Company does not evaluate the following items at the segment level: • Revenues and operating expenses within cost of sales, selling and marketing expenses, and general and administrative expenses that result from the impact of corporate initiatives. Corporate initiatives primarily include integration, restructuring, divestitures, acquisitions, certain milestones and other shared costs. • General and administrative expenses that result from shared infrastructure, including certain expenses located within the United States. • Total assets including capital expenditures. • Other select revenues and operating expenses including R&D expenses, amortization, IPR&D impairments and asset sales and impairments, net as not all such information has been accounted for at the segment level, or such information has not been used by all segments. The Company defines segment net revenues as product sales and other revenue derived from branded products or licensing agreements. Cost of sales within segment contribution includes standard production and packaging costs for the products we manufacture, third party acquisition costs for products manufactured by others, profit-sharing or royalty payments for products sold pursuant to licensing agreements and finished goods inventory reserve charges. Cost of sales within segment contribution excludes non-standard production costs, such as non-finished goods inventory obsolescence charges, manufacturing variances and excess capacity utilization charges, where applicable. Cost of sales does not include amortization or impairment costs for acquired product rights or other acquired intangibles. Selling and marketing expenses consist mainly of personnel-related costs, product promotion costs, distribution costs, professional service costs, insurance, depreciation and travel costs. General and administrative expenses consist mainly of personnel-related costs, facilities costs, transaction costs, insurance, depreciation, litigation costs and professional services costs which are general in nature and attributable to the segment. Segment net revenues, segment operating expenses and segment contribution information consisted of the following for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Net revenues $ 1,826.7 $ 1,320.0 $ 948.9 $ 4,095.6 Operating expenses: Cost of sales (1) 148.7 201.8 139.4 489.9 Selling and marketing 343.3 254.8 246.2 844.3 General and administrative 48.1 34.7 33.9 116.7 Segment contribution $ 1,286.6 $ 828.7 $ 529.4 $ 2,644.7 Contribution margin 70.4 % 62.8 % 55.8 % 64.6 % Corporate (2) 189.8 Research and development 689.2 Amortization 1,697.1 In-process research and development impairments 276.0 Asset sales and impairments, net 259.6 Operating (loss) $ (467.0 ) Segment operating margin (11.4 )% (1) (2) Three Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Net revenues $ 1,715.0 $ 1,427.7 $ 858.5 $ 4,001.2 Operating expenses: Cost of sales (1) 128.8 203.2 125.0 457.0 Selling and marketing 356.8 288.1 238.9 883.8 General and administrative 49.8 41.3 28.3 119.4 Segment contribution $ 1,179.6 $ 895.1 $ 466.3 $ 2,541.0 Contribution margin 68.8 % 62.7 % 54.3 % 63.5 % Corporate (2) 478.8 Research and development 489.4 Amortization 1,757.9 In-process research and development impairments 703.3 Asset sales and impairments, net 14.0 Operating (loss) $ (902.4 ) Segment operating margin (22.6 )% (1) (2) Six Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Net revenues $ 3,405.3 $ 2,543.7 $ 1,812.9 $ 7,761.9 Operating expenses: Cost of sales (1) 282.9 384.4 260.3 927.6 Selling and marketing 656.5 480.3 491.9 1,628.7 General and administrative 98.3 73.6 65.3 237.2 Segment contribution $ 2,367.6 $ 1,605.4 $ 995.4 $ 4,968.4 Contribution margin 69.5 % 63.1 % 54.9 % 64.0 % Corporate (2) 460.1 Research and development 1,163.9 Amortization 3,394.7 In-process research and development impairments 798.0 Asset sales and impairments, net 272.7 Operating (loss) $ (1,121.0 ) Segment operating margin (14.4 )% (1) (2) Six Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Net revenues $ 3,197.0 $ 2,773.5 $ 1,595.8 $ 7,566.3 Operating expenses: Cost of sales (1) 218.0 397.7 225.3 841.0 Selling and marketing 687.2 590.6 448.4 1,726.2 General and administrative 94.6 82.0 58.2 234.8 Segment contribution $ 2,197.2 $ 1,703.2 $ 863.9 $ 4,764.3 Contribution margin 68.7 % 61.4 % 54.1 % 63.0 % Corporate (2) 764.8 Research and development 1,249.3 Amortization 3,493.9 In-process research and development impairments 1,043.3 Asset sales and impairments, net 21.4 Operating (loss) $ (1,808.4 ) Segment operating margin (23.9 )% (1) (2) The following table presents our net revenue disaggregated by geography for our international segment for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Europe $ 413.3 $ 378.1 $ 811.7 $ 704.7 Asia Pacific, Middle East and Africa 283.6 236.3 524.4 448.4 Latin America and Canada 230.8 215.6 442.9 398.4 Other* 21.2 28.5 33.9 44.3 Total International $ 948.9 $ 858.5 $ 1,812.9 $ 1,595.8 *Includes royalty and other revenue The following tables present global net revenues for the top products of the Company as well as a reconciliation of segment revenues to total net revenues for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Botox ® $ 658.5 $ - $ 276.0 $ 934.5 Restasis ® 318.2 - 16.0 334.2 Juvederm ® 139.8 - 156.1 295.9 Linzess ® ® - 191.8 6.4 198.2 Lumigan ® ® 73.0 - 100.5 173.5 Bystolic ® ® - 148.1 0.6 148.7 Alphagan ® ® 98.1 - 44.6 142.7 Lo Loestrin ® - 127.8 - 127.8 Eye Drops 53.8 - 72.4 126.2 Breast Implants 75.9 - 39.9 115.8 Vraylar ™ - 114.2 - 114.2 Alloderm ® 107.1 - 2.3 109.4 Ozurdex ® 27.6 - 67.9 95.5 Coolsculpting ® 71.9 - 18.5 90.4 Viibryd ® ® - 86.7 1.6 88.3 Zenpep ® - 55.5 - 55.5 Carafate ® ® - 54.3 0.7 55.0 Canasa ® ® - 45.0 4.5 49.5 Armour Thyroid - 49.2 - 49.2 Coolsculpting ® 36.4 - 12.4 48.8 Viberzi ® - 44.9 0.3 45.2 Asacol ® ® - 32.6 12.4 45.0 Saphris ® - 33.8 - 33.8 Teflaro ® - 32.4 0.6 33.0 Namzaric ® - 31.8 - 31.8 Avycaz ® - 23.5 - 23.5 SkinMedica ® 20.8 - 2.0 22.8 Rapaflo ® 19.7 - 1.6 21.3 Aczone ® 21.1 - 0.1 21.2 Savella ® - 19.1 - 19.1 Dalvance ® - 17.7 1.3 19.0 Latisse ® 13.5 - 2.1 15.6 Liletta ® - 15.5 - 15.5 Lexapro ® - 14.5 - 14.5 Kybella ® ® 11.2 - 2.3 13.5 Estrace ® - 13.1 - 13.1 Tazorac ® 6.4 - 0.2 6.6 Namenda XR ® - 3.4 - 3.4 Minastrin ® - 0.8 - 0.8 Other 73.7 164.3 105.6 343.6 Total segment revenues $ 1,826.7 $ 1,320.0 $ 948.9 $ 4,095.6 Corporate revenues 28.6 Total net revenues $ 4,124.2 Three Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Botox ® $ 574.0 $ - $ 242.1 $ 816.1 Restasis ® 336.4 - 17.3 353.7 Juvederm ® 126.2 - 137.3 263.5 Lumigan ® ® 79.0 - 94.4 173.4 Linzess ® ® - 167.8 5.5 173.3 Bystolic ® ® - 150.7 0.5 151.2 Alphagan ® ® 96.4 - 42.7 139.1 Eye Drops 50.7 - 70.7 121.4 Namenda XR ® - 118.7 - 118.7 Lo Loestrin ® - 113.0 - 113.0 Breast Implants 61.3 - 41.1 102.4 Estrace ® - 90.1 - 90.1 Alloderm ® 84.6 - 2.3 86.9 Viibryd ® ® - 85.2 0.7 85.9 Ozurdex ® 24.9 - 51.2 76.1 Vraylar ™ - 66.3 - 66.3 Coolsculpting ® 47.9 - 12.5 60.4 Carafate ® ® - 59.2 0.7 59.9 Asacol ® ® - 45.6 12.8 58.4 Zenpep ® - 50.5 - 50.5 Saphris ® - 43.0 - 43.0 Canasa ® ® - 38.4 4.3 42.7 Armour Thyroid - 42.0 - 42.0 Viberzi ® - 41.3 0.1 41.4 Coolsculpting ® 31.0 - 10.2 41.2 Aczone ® 41.0 - 0.1 41.1 Namzaric ® - 33.4 - 33.4 Teflaro ® - 33.0 - 33.0 Rapaflo ® 25.7 - 1.7 27.4 Savella ® - 26.0 - 26.0 SkinMedica ® 25.4 - - 25.4 Dalvance ® - 15.2 1.2 16.4 Latisse ® 13.3 - 2.4 15.7 Kybella ® ® 12.7 - 2.0 14.7 Avycaz ® - 14.5 - 14.5 Lexapro ® - 13.1 - 13.1 Tazorac ® 12.8 - 0.2 13.0 Minastrin ® - 11.4 - 11.4 Liletta ® - 6.6 - 6.6 Other 71.7 162.7 104.5 338.9 Total segment revenues $ 1,715.0 $ 1,427.7 $ 858.5 $ 4,001.2 Corporate revenues 6.2 Total net revenues $ 4,007.4 Six Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Botox ® $ 1,231.0 $ - $ 520.8 $ 1,751.8 Restasis ® 574.0 - 34.3 608.3 Juvederm ® 262.6 - 302.2 564.8 Linzess ® ® - 351.1 12.0 363.1 Lumigan ® ® 139.8 - 200.9 340.7 Bystolic ® ® - 280.9 1.1 282.0 Alphagan ® ® 182.3 - 88.8 271.1 Lo Loestrin ® - 242.4 - 242.4 Eye Drops 100.0 - 141.2 241.2 Breast Implants 136.6 - 84.0 220.6 Alloderm ® 206.6 - 4.5 211.1 Vraylar ™ - 198.6 - 198.6 Ozurdex ® 53.1 - 132.3 185.4 Viibryd ® ® - 158.4 3.1 161.5 Coolsculpting ® 125.3 - 26.6 151.9 Carafate ® ® - 110.3 1.4 111.7 Zenpep ® - 108.4 - 108.4 Armour Thyroid - 97.4 - 97.4 Asacol ® ® - 70.8 24.1 94.9 Canasa ® ® - 83.6 8.7 92.3 Coolsculpting ® 70.1 - 13.5 83.6 Viberzi ® - 80.8 0.4 81.2 Saphris ® - 66.5 - 66.5 Namzaric ® - 65.2 - 65.2 Teflaro ® - 64.6 0.6 65.2 Rapaflo ® 42.5 - 2.8 45.3 Avycaz ® - 45.3 - 45.3 Namenda XR ® - 43.9 - 43.9 SkinMedica ® 38.9 - 3.6 42.5 Savella ® - 39.0 - 39.0 Aczone ® 37.1 - 0.2 37.3 Latisse ® 27.3 - 4.3 31.6 Dalvance ® - 29.6 1.3 30.9 Lexapro ® - 29.2 - 29.2 Liletta ® - 23.6 - 23.6 Kybella ® ® 19.4 - 3.7 23.1 Estrace ® - 19.5 - 19.5 Tazorac ® 15.8 - 0.4 16.2 Minastrin ® - 6.0 - 6.0 Namenda ® - 0.1 - 0.1 Other 142.9 328.5 196.1 667.5 Total segment revenues $ 3,405.3 $ 2,543.7 $ 1,812.9 $ 7,761.9 Corporate revenues 34.4 Total net revenues $ 7,796.3 Six Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Botox ® $ 1,083.4 $ - $ 446.7 $ 1,530.1 Restasis ® 645.2 - 31.2 676.4 Juvederm ® 246.0 - 259.5 505.5 Lumigan ® ® 153.3 - 180.3 333.6 Linzess ® ® - 315.4 10.4 325.8 Bystolic ® ® - 290.5 1.0 291.5 Alphagan ® ® 182.8 - 85.0 267.8 Namenda XR ® - 240.7 - 240.7 Eye Drops 98.5 - 136.0 234.5 Lo Loestrin ® - 212.8 - 212.8 Breast Implants 115.6 - 78.7 194.3 Estrace ® - 163.5 - 163.5 Viibryd ® ® - 157.7 1.1 158.8 Ozurdex ® 47.4 - 102.3 149.7 Alloderm ® 138.7 - 3.5 142.2 Asacol ® ® - 103.2 24.9 128.1 Vraylar ™ - 119.9 - 119.9 Carafate ® ® - 117.9 1.4 119.3 Zenpep ® - 97.0 - 97.0 Canasa ® ® - 76.7 8.7 85.4 Aczone ® 81.6 - 0.1 81.7 Saphris ® - 80.3 - 80.3 Armour Thyroid - 79.3 - 79.3 Viberzi ® - 72.8 0.1 72.9 Teflaro ® - 63.6 - 63.6 Coolsculpting ® 47.9 - 12.5 60.4 Namzaric ® - 57.0 - 57.0 Rapaflo ® 51.6 - 3.7 55.3 SkinMedica ® 53.4 - - 53.4 Minastrin ® - 52.5 - 52.5 Savella ® - 50.3 - 50.3 Coolsculpting ® 31.0 - 10.2 41.2 Tazorac ® 36.2 - 0.4 36.6 Kybella ® ® 27.8 - 3.5 31.3 Latisse ® 26.9 - 4.3 31.2 Lexapro ® - 26.5 - 26.5 Dalvance ® - 24.8 1.2 26.0 Avycaz ® - 25.8 - 25.8 Liletta ® - 13.8 - 13.8 Namenda ® - 0.1 - 0.1 Other 129.7 331.4 189.1 650.2 Total segment revenues $ 3,197.0 $ 2,773.5 $ 1,595.8 $ 7,566.3 Corporate revenues 14.0 Total net revenues $ 7,580.3 Unless included above, no product represents ten percent or more of total net revenues. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 9 — Inventories Inventories consist of finished goods held for sale and distribution, raw materials and work-in-process. Inventories are stated at the lower of cost (first-in, first-out method) or market (net realizable value). The Company writes down inventories to net realizable value based on forecasted demand, market conditions or other factors, which may differ from actual results. Inventories consisted of the following ($ in millions): June 30, December 31, 2018 2017 Raw materials $ 339.6 $ 326.9 Work-in-process 147.9 158.1 Finished goods 552.8 527.8 1,040.3 1,012.8 Less: inventory reserves 117.8 108.3 Total Inventories $ 922.5 $ 904.5 |
Accounts Payable and Accrued Ex
Accounts Payable and Accrued Expenses | 6 Months Ended |
Jun. 30, 2018 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Expenses | NOTE 10 — Accounts Payable and Accrued Expenses Accounts payable and accrued expenses consisted of the following ($ in millions): June 30, 2018 December 31, 2017 Accrued expenses: Accrued third-party rebates $ 1,666.1 $ 1,713.7 Accrued payroll and related benefits 550.7 635.6 Accrued returns and other allowances 492.2 466.2 Accrued R&D expenditures 320.1 165.9 Accrued pharmaceutical fees 220.4 186.4 Interest payable 202.5 245.9 Royalties payable 157.3 189.2 Litigation-related reserves and legal fees 132.6 78.3 Accrued non-provision taxes 67.4 76.5 Accrued severance, retention and other shutdown costs 63.6 132.8 Accrued selling and marketing expenditures 60.9 53.0 Current portion of contingent consideration obligations 6.5 56.2 Contractual commitments (including amounts due to Teva) 5.2 705.4 Dividends payable 1.4 24.6 Other accrued expenses 451.1 487.2 Total accrued expenses $ 4,398.0 $ 5,216.9 Accounts payable 285.8 324.5 Total accounts payable and accrued expenses $ 4,683.8 $ 5,541.4 |
Goodwill, Product Rights and Ot
Goodwill, Product Rights and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill, Product Rights and Other Intangible Assets | NOTE 11 — Goodwill, Product Rights and Other Intangible Assets Goodwill for the Company’s reporting segments consisted of the following ($ in millions): US Specialized Therapeutics US General Medicine International Total Balance as of December 31, 2017 $ 20,859.6 $ 21,399.7 $ 7,603.6 $ 49,862.9 Foreign exchange and other adjustments - - (175.7 ) (175.7 ) Balance as of June 30, 2018 $ 20,859.6 $ 21,399.7 $ 7,427.9 $ 49,687.2 As of June 30, 2018 and December 31, 2017, the gross balance of goodwill, prior to the consideration of impairments, was $49,704.5 million and $49,880.2 million, respectively. Product rights and other intangible assets consisted of the following ($ in millions): Cost Basis Balance as of December 31, 2017 Impairments Held for Sale Foreign Currency Translation Balance as of June 30, 2018 Intangibles with definite lives: Product rights and other intangibles $ 73,892.5 $ - $ (430.0 ) $ (191.7 ) $ 73,270.8 Trade name 690.0 - - - 690.0 Total definite lived intangible assets $ 74,582.5 $ - $ (430.0 ) $ (191.7 ) $ 73,960.8 Intangibles with indefinite lives: IPR&D $ 5,874.1 $ (798.0 ) $ - $ - $ 5,076.1 Total indefinite lived intangible assets $ 5,874.1 $ (798.0 ) $ - $ - $ 5,076.1 Total product rights and other intangibles $ 80,456.6 $ (798.0 ) $ (430.0 ) $ (191.7 ) $ 79,036.9 Accumulated Amortization Balance as of December 31, 2017 Amortization Impairments Held for Sale Foreign Currency Translation Balance as of June 30, 2018 Intangibles with definite lives: Product rights and other intangibles $ (25,593.6 ) $ (3,355.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (28,854.9 ) Trade name (214.7 ) (39.0 ) - - - (253.7 ) Total definite lived intangible assets $ (25,808.3 ) $ (3,394.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (29,108.6 ) Total product rights and other intangibles $ (25,808.3 ) $ (3,394.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (29,108.6 ) Net Product Rights and Other Intangibles $ 54,648.3 $ 49,928.3 Refer to the “Annual Testing” section in “NOTE 3 – Additionally the Company impaired its RAR-related orphan receptor gamma (“RORyt”) IPR&D project obtained as part of the acquisition of Vitae Pharmaceuticals, Inc. by $522.0 million as a result of negative clinical data related to the oral psoriasis indication received in March 2018. Assuming no additions, disposals or adjustments are made to the carrying values and/or useful lives of the intangible assets, annual amortization expense on product rights and other related intangibles as of June 30, 2018 over the remainder of 2018 and each of the next five years is estimated to be as follows ($ in millions): Amortization Expense 2018 remaining $ 3,070.5 2019 $ 5,988.2 2020 $ 5,684.5 2021 $ 4,742.6 2022 $ 4,382.1 2023 $ 3,968.8 The above amortization expense is an estimate. Actual amounts may change from such estimated amounts due to fluctuations in foreign currency exchange rates, additional intangible asset acquisitions, potential impairments, accelerated amortization or other events. In addition, the Company has certain currently marketed products for which operating contribution performance has been below that which was originally assumed in the products’ initial valuations, and certain IPR&D projects which are subject to delays in timing or other events which may negatively impact the asset’s value. The Company, on a quarterly basis, monitors the related intangible assets for these products for potential impairments. It is reasonably possible that impairments may occur in future periods, which may have a material adverse effect on the Company’s results of operations and financial position. |
Long-Term Debt and Capital Leas
Long-Term Debt and Capital Leases | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Capital Leases | NOTE 12 — Long-Term Debt and Capital Leases Debt consisted of the following ($ in millions): Balance As of Fair Market Value As of Issuance Date / Acquisition Date Interest Payments June 30, 2018 December 31, 2017 June 30, 2018 December 31, 2017 Senior Notes: Floating Rate Notes $500.0 million floating rate notes due March 12, 2018 (1) March 4, 2015 Quarterly $ - $ 500.0 $ - $ 500.6 $500.0 million floating rate notes due March 12, 2020 (2) March 4, 2015 Quarterly 500.0 500.0 504.7 508.1 500.0 1,000.0 504.7 1,008.7 Fixed Rate Notes $3,000.0 million 2.350% notes due March 12, 2018 March 4, 2015 Semi-annually - 3,000.0 - 3,001.9 $250.0 million 1.350% notes due March 15, 2018 March 17, 2015 Semi-annually - 250.0 - 249.7 $500.0 million 2.450% notes due June 15, 2019 June 10, 2014 Semi-annually 491.2 500.0 489.1 499.7 $3,500.0 million 3.000% notes due March 12, 2020 March 4, 2015 Semi-annually 3,459.3 3,500.0 3,443.6 3,528.4 $650.0 million 3.375% notes due September 15, 2020 March 17, 2015 Semi-annually 650.0 650.0 648.5 661.3 $750.0 million 4.875% notes due February 15, 2021 July 1, 2014 Semi-annually 450.0 450.0 461.9 474.3 $1,200.0 million 5.000% notes due December 15, 2021 July 1, 2014 Semi-annually 1,200.0 1,200.0 1,242.1 1,282.6 $3,000.0 million 3.450% notes due March 15, 2022 March 4, 2015 Semi-annually 2,940.5 3,000.0 2,891.8 3,044.5 $1,700.0 million 3.250% notes due October 1, 2022 October 2, 2012 Semi-annually 1,700.0 1,700.0 1,650.3 1,703.0 $350.0 million 2.800% notes due March 15, 2023 March 17, 2015 Semi-annually 350.0 350.0 329.9 341.6 $1,200.0 million 3.850% notes due June 15, 2024 June 10, 2014 Semi-annually 1,188.8 1,200.0 1,165.0 1,232.3 $4,000.0 million 3.800% notes due March 15, 2025 March 4, 2015 Semi-annually 3,915.0 4,000.0 3,801.3 4,067.1 $2,500.0 million 4.550% notes due March 15, 2035 March 4, 2015 Semi-annually 2,385.0 2,500.0 2,261.1 2,631.9 $1,000.0 million 4.625% notes due October 1, 2042 October 2, 2012 Semi-annually 456.7 456.7 418.8 471.2 $1,500.0 million 4.850% notes due June 15, 2044 June 10, 2014 Semi-annually 1,441.0 1,500.0 1,389.0 1,606.2 $2,500.0 million 4.750% notes due March 15, 2045 March 4, 2015 Semi-annually 1,123.3 1,200.0 1,080.1 1,277.3 21,750.8 25,456.7 21,272.5 26,073.0 Euro Denominated Notes €750.0 million 0.500% notes due June 1, 2021 May 26, 2017 Annually 876.3 900.4 867.7 895.8 €700.0 million 1.250% notes due June 1, 2024 May 26, 2017 Annually 817.9 840.4 792.4 831.1 €550.0 million 2.125% notes due June 1, 2029 May 26, 2017 Annually 642.6 660.3 619.1 657.8 €700.0 million floating rate notes due June 1, 2019 (3) May 26, 2017 Quarterly 817.9 840.4 810.8 837.2 3,154.7 3,241.5 3,090.0 3,221.9 Total Senior Notes Gross 25,405.5 29,698.2 24,867.2 30,303.6 Unamortized premium 76.6 88.9 - - Unamortized discount (74.8 ) (81.7 ) - - Total Senior Notes Net 25,407.3 29,705.4 24,867.2 30,303.6 Other Indebtedness Debt Issuance Costs (107.2 ) (121.5 ) Margin Loan - 459.0 Other 41.0 29.7 Total Other Borrowings (66.2 ) 367.2 Capital Leases 9.4 2.7 Total Indebtedness $ 25,350.5 $ 30,075.3 (1) (2) (3) Fair market value in the table above is determined in accordance with Fair Value Leveling (defined below) under Level 2 based upon quoted prices for similar items in active markets. Companies are required to use a fair value hierarchy as defined in ASC Topic 820 “Fair Value Measurement,” (“ASC 820”) which maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value (“Fair Value Leveling”). There are three levels of inputs used to measure fair value with Level 1 having the highest priority and Level 3 having the lowest: Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 — Unobservable inputs that are supported by little or no market activity. The Level 3 assets are those whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques with significant unobservable inputs, as well as instruments for which the determination of fair value requires significant judgment or estimation. Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants. The following represents the significant activity during the six months ended June 30, 2018 to the Company’s total indebtedness: • The Company borrowed $700.0 million, and subsequently repaid $700.0 million, under its revolving credit facility to fund, in part, the repurchase of the Company’s ordinary shares; • The Company repurchased and retired $455.9 million of senior notes at face value as a result of open market redemptions; • The Company repaid scheduled maturities on senior notes of $3,750.0 million; and • The Company prepaid $459.0 million of indebtedness under the Company’s margin loan. Annual Debt Maturities As of June 30, 2018, annual debt maturities were as follows ($ in millions): Total Payments 2018 remaining $ - 2019 1,309.1 2020 4,609.3 2021 2,526.3 2022 4,640.5 2023 350.0 2024 and after 11,970.3 Total senior notes gross $ 25,405.5 Capital leases 9.4 Debt issuance costs (107.2 ) Other short-term borrowings 41.0 Unamortized premium 76.6 Unamortized discount (74.8 ) Total Indebtedness $ 25,350.5 Amounts represent total anticipated cash payments assuming scheduled repayments. |
Other Long-Term Liabilities
Other Long-Term Liabilities | 6 Months Ended |
Jun. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities | NOTE 13 — Other Long-Term Liabilities Other long-term liabilities consisted of the following ($ in millions): June 30, December 31, 2018 2017 Acquisition related contingent consideration liabilities $ 358.0 $ 420.7 Long-term pension and post retirement liability 149.9 162.7 Legacy Allergan deferred executive compensation 105.2 113.8 Long-term contractual obligations 43.8 45.2 Deferred revenue 33.8 37.9 Product warranties 28.7 28.7 Long-term severance and restructuring liabilities 13.0 53.1 Other long-term liabilities 21.0 24.8 Total other long-term liabilities $ 753.4 $ 886.9 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 14 — Income Taxes The Company’s effective tax rate for the six months ended June 30, 2018 was 47.7%, compared to 25.4% for the six months ended June 30, 2017. The effective tax rate for the six months ended June 30, 2018 was favorably impacted by income earned in jurisdictions with tax rates lower than the Irish statutory rate and U.S. losses tax benefited at rates greater than the Irish statutory rate. This was offset by the additional U.S. tax on the earnings of certain non-U.S. subsidiaries which are considered Global Intangible Low Taxed Income (“GILTI”) and the The effective tax rate for the six months ended June 30, 2017 was favorably impacted by income earned in jurisdictions with tax rates lower than the Irish statutory rate and U.S. losses tax benefited at rates greater than the Irish statutory rate. This was offset by a pre-tax charge for the impairment of the Company’s investment in Teva Shares of $1,978.0 million and the tax impact of amortization of intangible assets, both at rates less than the Irish statutory rate. Additionally, the tax benefit for the six months ended June 30, 2017 included tax benefits of $288.1 million related to the impairment of certain intangible assets and $69.4 million related to the integration of an acquired business and debt restructuring. During the three months ended June 30, 2017, the Company determined that a temporary difference related to excess tax over book basis in a U.S. subsidiary will reverse in the foreseeable future and recorded a corresponding tax benefit of $179.6 million. U.S. Tax Reform For the year ended December 31, 2017, the income tax effects of the Tax Cuts and Jobs Act (“TCJA”) were accounted for on a provisional basis pursuant to the guidance in Staff Accounting Bulletin (“SAB”) 118. In the fourth quarter of 2017, the Company recorded provisional deferred tax benefits of $2,340.4 million related to the change in Federal Corporate tax rates applicable to our deferred tax liabilities and $1,260.0 million related to the net reversal of prior amounts accrued for taxes on unremitted earnings of certain subsidiaries. The accounting for these amounts will be finalized during the measurement period upon the completion of the 2017 tax returns. The Company also recorded a provisional income tax expense of $728.1 million related to the tax on the deemed repatriation of deferred foreign earnings (“toll charge”) which is payable over eight years. The final toll charge is dependent on amounts that cannot be determined until the 2018 financial results of certain non-U.S. subsidiaries are completed. The provisional estimates related to the TCJA recorded in the 2017 consolidated financial statements were based on all available information and the Company’s initial analysis and current interpretation of the legislation under the TCJA as of the time of the filing of the Company’s Form 10-K. These estimates represented amounts for which our accounting was incomplete but a reasonable estimate could be determined. Given the complexity of the TCJA, anticipated guidance from the U.S. Treasury and Internal Revenue Service (“IRS”) and the potential for additional guidance from the Securities and Exchange Commission (“SEC”) or the FASB, our accounting continues to be incomplete, and therefore the Company has not recorded any adjustments to these provisional estimates in the June 30, 2018 consolidated financial statements. Guidance from the SEC provides for a measurement period of up to one year from the enactment date of the TCJA for which adjustments to provisional amounts may be recorded as a component of tax expense or benefit in the period the adjustment is determined. On August 1, 2018, the U.S. Treasury released proposed regulations regarding the one-time transition tax (i.e. toll charge) on the pre-2018 earnings of certain non-U.S. subsidiaries. The Company is evaluating the proposed regulations as part of its overall analysis of the TCJA’s impact pursuant to the guidance in SAB 118. Due to the complexity of the new GILTI tax rules, we continue to evaluate this provision of the TCJA and the application of ASC-740 and are considering if deferred tax amounts should be recorded. Our accounting policies depend, in part, on analyzing our global income to determine whether we expect material tax liabilities resulting from the application of this provision and, if so, whether and when to record related current and deferred income taxes and whether such amounts can be reasonably estimated. Anticipated further guidance from the IRS may also clarify the manner in which the GILTI tax is computed. For these reasons, we are continuing to provisionally treat the GILTI tax as a period cost and have not made a final policy election on whether to record deferred taxes for this provision. Tax Audits The Company conducts business globally and, as a result, it files U.S. federal, state and foreign tax returns. The Company strives to resolve open matters with each tax authority at the examination level and could reach agreement with a tax authority at any time. While the Company has accrued for amounts it believes are in accordance with the accounting standard, the final outcome with a tax authority may result in a tax liability that is more or less than that reflected in the consolidated financial statements. Furthermore, the Company may later decide to challenge any assessments, if made, and may exercise its right to appeal. The uncertain tax positions are reviewed quarterly and adjusted as events occur that affect potential liabilities for additional taxes, such as lapsing of applicable statutes of limitations, proposed assessments by tax authorities, negotiations with tax authorities, identification of new issues and issuance of new legislation, regulations or case law. The Company has several concurrent audits open and pending with the IRS as set forth below: IRS Audits Taxable Years Allergan W.C. Holding Inc. f/k/a Actavis W.C. Holding Inc. 2013, 2014, 2015 and 2016 Warner Chilcott Corporation 2010, 2011, 2012 and 2013 Forest Laboratories, Inc. 2010, 2011, 2012, 2013 and 2014 Allergan, Inc. 2009, 2010, 2011, 2012, 2013, 2014 and 3/7/2015 |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Jun. 30, 2018 | |
Equity [Abstract] | |
Shareholders' Equity | NOTE 15 — Shareholders’ Equity A summary of the changes in shareholders’ equity for the six months ended June 30, 2018 consisted of the following ($ in millions): Allergan plc Shareholders’ equity as of December 31, 2017 $ 73,821.1 Net (loss) attributable to shareholders (758.6 ) Other comprehensive (loss), net of tax (264.8 ) Share-based compensation 127.4 Ordinary shares issued under employee stock plans 69.2 Implementation of new accounting pronouncements (Refer to Note 3) 361.7 Dividends declared (540.4 ) Repurchase of ordinary shares under the share repurchase programs (1,540.0 ) Repurchase of ordinary shares (32.1 ) Shareholders’ equity as of June 30, 2018 $ 71,243.5 Warner Chilcott Limited Members' equity as of December 31, 2017 $ 81,266.2 Net (loss) attributable to members (603.7 ) Other comprehensive (loss), net of tax (264.8 ) Implementation of new accounting pronouncements (Refer to Note 3) 361.7 Dividends to Parents (2,103.7 ) Members' equity as of June 30, 2018 $ 78,655.7 Share Repurchase Program On September 25, 2017, the Company’s Board of Directors approved a $2.0 billion share repurchase program. As of June 30, 2018, the Company has completed this share repurchase program, repurchasing 12.2 On July 26, 2018, the Company announced that its Board of Directors approved a new $2.0 billion share repurchase program, which is anticipated to be completed by the end of 2019. Preferred Shares In the six months ended June 30, 2018 and 2017, the Company paid $69.6 million and $139.2 million, respectively, of dividends on preferred shares. Each preferred share automatically converted to approximately 3.53 ordinary shares on March 1, 2018, for a total of 17,876,930 ordinary shares. |
Hedging Activities
Hedging Activities | 6 Months Ended |
Jun. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Hedging Activities | NOTE 16 — Hedging Activities The Company’s revenue, earnings, cash flows and fair value of its assets and liabilities can be impacted by fluctuations in foreign exchange risks and interest rates, as applicable. The Company manages the impact of foreign exchange risk and interest rate movements through operational means and through the use of various financial instruments, including derivative instruments such as foreign currency derivatives. As of June 30, 2018 and December 31, 2017, the Company had no material outstanding third-party foreign currency instruments. Internationally, the Company is a net recipient of currencies other than the U.S. dollar and, as such, benefits from a weaker dollar and is adversely affected by a stronger dollar relative to major currencies worldwide. Accordingly, changes in exchange rates, and in particular a strengthening of the U.S. dollar, may negatively affect the Company’s consolidated revenues and favorably impact operating expenses in U.S. dollars. Net Investment Hedge In the normal course of business, we manage certain foreign exchange risks through a variety of strategies, including hedging. Our hedging strategies include the use of net investment hedges. For net investment hedges, the effective portion of the gains and losses on the instruments arising from the effects of foreign exchange are recorded in the currency translation adjustment component of accumulated other comprehensive income / (loss), consistent with the underlying hedged item. Hedging transactions are limited to an underlying exposure. As a result, any change in the value of our hedging instruments would be substantially offset by an opposite change in the value of the underlying hedged items. The Company is exposed to foreign exchange risk in its international operations from foreign currency purchases, net investments in foreign subsidiaries, and foreign currency assets and liabilities created in the normal course of business, including the Euro Denominated Notes. In the six months ended June 30, 2018, we used effective net investment hedges to partially offset the effects of foreign currency on our investments in certain of our foreign subsidiaries. The total notional amount of our instruments designated as net investment hedges was $3.6 billion as of June 30, 2018 and December 31, 2017. During the three and six months ended June 30, 2018, the impact of the net investment hedges on other comprehensive income was a gain of $197.1 million and $102.0 million, respectively, which offset the impact of the Euro denominated notes. During the three and six months ended June 30, 2017, the impact of the net investment hedges on other comprehensive income was a loss of $57.2 million. |
Fair Value Measurement
Fair Value Measurement | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | NOTE 17 — Fair Value Measurement Assets and liabilities are measured at fair value using Fair Value Leveling or that are disclosed at fair value on a recurring basis as of June 30, 2018 and December 31, 2017 consisted of the following ($ in millions): Fair Value Measurements as of June 30, 2018 Using: Total Level 1 Level 2 Level 3 Assets: Cash equivalents* $ 1,249.9 $ 1,249.9 $ - $ - Short-term investments 21.5 - 21.5 - Deferred executive compensation investments 105.2 86.8 18.4 - Investments and other 73.3 73.3 - - Total assets $ 1,449.9 $ 1,410.0 $ 39.9 $ - Liabilities: Deferred executive compensation liabilities $ 105.2 $ 86.8 $ 18.4 $ - Contingent consideration obligations 364.4 - - 364.4 Total liabilities $ 469.6 $ 86.8 $ 18.4 $ 364.4 * Marketable securities with less than 90 days remaining until maturity at the time of acquisition are classified as cash equivalents. Fair Value Measurements as of December 31, 2017 Using: Total Level 1 Level 2 Level 3 Assets: Cash equivalents * $ 1,328.1 $ 1,328.1 $ - $ - Short-term investments 2,814.4 - 2,814.4 - Deferred executive compensation investments 112.4 92.9 19.5 - Investment in Teva ordinary shares 1,817.7 1,817.7 - - Investments and other 72.3 72.3 - - Total assets $ 6,144.9 $ 3,311.0 $ 2,833.9 $ - Liabilities: Deferred executive compensation liabilities $ 113.8 $ 94.3 $ 19.5 $ - Contingent consideration obligations 476.9 - - 476.9 Total liabilities $ 590.7 $ 94.3 $ 19.5 $ 476.9 * Marketable securities with less than 90 days remaining until maturity at the time of acquisition are classified as cash equivalents. Investments in securities as of June 30, 2018 and December 31, 2017 included the following ($ in millions): Investments in Securities as of June 30, 2018: Level 1 Carrying amount Estimated fair value Cash & cash equivalents Marketable securities Money market funds $ 1,249.9 $ 1,249.9 $ 1,249.9 $ - Total $ 1,249.9 $ 1,249.9 $ 1,249.9 $ - Level 2 Carrying amount Estimated fair value Cash & cash equivalents Marketable securities Other investments $ 21.5 $ 21.5 $ - $ 21.5 Total $ 21.5 $ 21.5 $ - $ 21.5 Investments in Securities as of December 31, 2017: Level 1 Carrying amount Unrecognized gain Unrecognized loss Estimated fair value Cash & cash equivalents Marketable securities Money market funds $ 1,328.1 $ - $ - $ 1,328.1 $ 1,328.1 $ - Investment in Teva ordinary shares 1,688.4 129.3 - 1,817.7 - 1,817.7 Total $ 3,016.5 $ 129.3 $ - $ 3,145.8 $ 1,328.1 $ 1,817.7 Level 2 Carrying amount Unrecognized gain Unrecognized loss Estimated fair value Cash & cash equivalents Marketable securities Commercial paper and other $ 1,248.9 $ - $ (0.7 ) $ 1,248.2 $ - $ 1,248.2 Certificates of deposit 1,566.2 - - 1,566.2 - 1,566.2 Total $ 2,815.1 $ - $ (0.7 ) $ 2,814.4 $ - $ 2,814.4 Marketable securities and investments consist of available-for-sale investments in money market securities, U.S. treasury and agency securities, and equity and debt securities of publicly traded companies for which market prices are readily available. Unrealized gains or losses on marketable securities and investments are recorded in either interest income or other income / (expense) beginning January 1, 2018. The Company’s marketable securities and other long-term investments are classified as available-for-sale and are recorded at fair value based on quoted market prices using the specific identification method. These investments are classified as either current or non-current, as appropriate, in the Company’s consolidated balance sheets. The Company may sell certain of its marketable securities prior to their stated maturities for strategic reasons including, but not limited to, anticipation of credit deterioration and maturity management. Contingent Consideration Obligations The fair value measurement of the contingent consideration obligations is determined using Level 3 inputs and is based on a probability-weighted income approach. The measurement is based upon unobservable inputs supported by little or no market activity, and is based on our own assumptions. Changes in the fair value of the contingent consideration obligations, including accretion, are recorded in our consolidated statements of operations as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, (Income) / expense 2018 2017 2018 2017 Cost of sales $ (128.8 ) $ (24.8 ) $ (125.4 ) $ (60.3 ) Research and development 21.7 9.3 23.6 75.5 Total $ (107.1 ) $ (15.5 ) $ (101.8 ) $ 15.2 In the three and six months ended June 30, 2018, cost of sales primarily relates to the Company’s True Tear product not achieving a milestone event, as well as a corresponding decrease in commercial forecasts. The table below provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2018 and 2017 ($ in millions): Balance as of December 31, 2017 Net transfers in to (out of) Level 3 Purchases, settlements, and other net Net accretion and fair value adjustments Balance as of June 30, 2018 Liabilities: Contingent consideration obligations $ 476.9 $ - $ (10.7 ) $ (101.8 ) $ 364.4 Balance as of December 31, 2016 Net transfers in to (out of) Level 3 Purchases, settlements, and other net Net accretion and fair value adjustments Foreign currency translation Balance as of June 30, 2017 Liabilities: Contingent consideration obligations $ 1,172.1 $ - $ (540.4 ) $ 15.2 $ (8.3 ) $ 638.6 The following is the activity during the six months ended June 30, 2018 in contingent consideration obligations by acquisition ($ in millions): Business Acquisition Balance as of December 31, 2017 Fair Value Adjustments and Accretion Payments and Other Balance as of June 30, 2018 Tobira acquisition $ 227.8 $ 22.7 $ - $ 250.5 ForSight acquisition 46.3 0.9 - 47.2 Medicines 360 acquisition 44.4 (1.2 ) (2.1 ) 41.1 Forest Acquisition 12.7 1.7 (1.0 ) 13.4 AqueSys acquisition 28.5 (23.2 ) - 5.3 Oculeve acquisition 90.1 (86.0 ) (0.1 ) 4.0 Allergan Acquisition 18.7 (17.7 ) - 1.0 Metrogel acquisition 7.5 - (7.5 ) - Other 0.9 1.0 - 1.9 Total $ 476.9 $ (101.8 ) $ (10.7 ) $ 364.4 The Company has made contingent consideration milestone payments of approximately $10.5 million in the six months ended June 30, 2018. |
Business Restructuring Charges
Business Restructuring Charges | 6 Months Ended |
Jun. 30, 2018 | |
Restructuring And Related Activities [Abstract] | |
Business Restructuring Charges | NOTE 18 — Business Restructuring Charges Restructuring activities for the six months ended June 30, 2018 were as follows ($ in millions): Severance and Retention Share-Based Compensation Other Total Reserve balance at December 31, 2017 $ 166.0 $ - $ 19.9 $ 185.9 Charged to expense Cost of sales 5.5 - - 5.5 Selling and marketing 9.6 4.1 - 13.7 General and administrative 1.0 4.1 - 5.1 Total expense 16.1 8.2 - 24.3 Cash payments (120.8 ) - (4.6 ) (125.4 ) Non-cash adjustments - (8.2 ) - (8.2 ) Reserve balance at June 30, 2018 $ 61.3 $ - $ 15.3 $ 76.6 The Company recognized total restructuring charges of $6.4 million and $24.3 million, respectively, during the three and six months ended June 30, 2018. In December 2017, the Company approved a new restructuring program intended to optimize and restructure its operations while reducing costs and global headcount, in anticipation of loss of exclusivity of several key revenue-generating products in 2018. In the three months ended June 30, 2018, the Company recorded severance and other employee related charges of $6.4 million. In the six months ended June 30, 2018, the Company recorded severance and other employee related charges of $21.6 million, which includes $8.2 million of share based compensation related to this program. The Company recognized total restructuring charges of $119.0 million and $140.9 million, respectively, during the three and six months ended June 30, 2017. As part of the Company’s internal optimization restructuring programs, the Company incurred severance and other restructuring costs relating to the commercial organization of $29.9 million as the Company intended to eliminate approximately 400 positions in the three months ended June 30, 2017. In addition, restructuring charges in the three months ended June 30, 2017 included $26.8 million of severance and restructuring costs related to a then-planned internal reduction of approximately 200 positions within the Company’s R&D organization. |
Commitments & Contingencies
Commitments & Contingencies | 6 Months Ended |
Jun. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments & Contingencies | NOTE 19 — The Company and its affiliates are involved in various disputes, governmental and/or regulatory inspections, inquires, investigations and proceedings, and litigation matters that arise from time to time in the ordinary course of business. The process of resolving matters through litigation or other means is inherently uncertain and it is possible that an unfavorable resolution of these matters will adversely affect the Company, its results of operations, financial condition and cash flows. The Company’s general practice is to expense legal fees as services are rendered in connection with legal matters, and to accrue for liabilities when losses are probable and reasonably estimable. The Company evaluates, on a quarterly basis, developments in legal proceedings and other matters that could cause an increase or decrease in the amount of the liability that is accrued. As of June 30, 2018, the Company’s consolidated balance sheet includes accrued loss contingencies of approximately $ 80.0 The Company’s legal proceedings range from cases brought by a single plaintiff to mass tort actions and class actions with thousands of putative class members. These legal proceedings, as well as other matters, involve various aspects of our business and a variety of claims (including, but not limited to, qui tam In matters involving the assertion or defense of the Company’s intellectual property, the Company believes it has meritorious claims and intends to vigorously assert or defend the patents or other intellectual property at issue in such litigation. Similarly, in matters where the Company is a defendant, the Company believes it has meritorious defenses and intends to defend itself vigorously. However, the Company can offer no assurances that it will be successful in a litigation or, in the case of patent enforcement matters, that a generic version of the product at issue will not be launched or enjoined. Failing to prevail in a litigation could adversely affect the Company and could have a material adverse effect on the Company’s business, results of operations, financial condition and cash flows. Antitrust Litigation Asacol ® Two class action complaints were filed on June 22, 2015, and three more on September 21, 2015, in federal court in Massachusetts on behalf of a putative class of indirect purchasers. Complaints were also filed on behalf of a putative class of direct purchasers of Asacol ® ® ® ® Botox ® . A class action complaint was filed in federal court in California on February 24, 2015, and amended May 29, 2015, alleging unlawful market allocation in violation of Section 1 of the Sherman Act, 15 U.S.C. §1, agreement in restraint of trade in violation of 15 U.S.C. §1 of the Sherman Act, unlawful maintenance of monopoly market power in violation of Section 2 of the Sherman Act, 15 U.S.C. §2 of the Sherman Act, violations of California’s Cartwright Act, Section 16700 et seq. of Calif. Bus. and Prof. Code, and violations of California’s unfair competition law, Section 17200 et seq. of Calif. Bus. and Prof. Code. In the complaint, plaintiffs seek an unspecified amount of treble damages. On November 30, 2017, the parties reached a tentative settlement. On March 8, 2018, the court granted plaintiffs’ motion for preliminary approval of class action settlement and set a final fairness hearing for August 24, 2018. Loestrin ® On April 5, 2013, two putative class actions were filed on behalf of putative classes of end-payors in the federal district court against Warner Chilcott and certain affiliates alleging that Warner Chilcott’s 2009 patent lawsuit settlements with Watson Laboratories and Lupin related to Loestrin ® ® Namenda ® . In September 2014, the State of New York, through the Office of the Attorney General of the State of New York, filed a lawsuit in the United States District Court for the Southern District of New York alleging that Forest was acting to prevent or delay generic competition to Forest’s immediate-release product Namenda ® ® ® Restasis ® . On October 2, 2017, Shire, which offers the dry-eye disease drug Xiidra ® ® ® ® ® ® ® Restasis ® . Between November 7, 2017, and February 26, 2018, seventeen putative class actions were filed in federal district courts against Allergan alleging that the company unlawfully harmed competition by engaging in conduct to delay the market entry of generic versions of Restasis ® ® ® Zymar ® ® . On February 16, 2012, Apotex Inc. and Apotex Corp. filed a complaint in the federal district court in Delaware against Senju Pharmaceuticals Co., Ltd. (“Senju”), Kyorin Pharmaceutical Co., Ltd. (“Kyorin”), and Allergan, Inc. alleging monopolization in violation of Section 2 of the Sherman Act, conspiracy to monopolize, and unreasonable restraint of trade in the market for gatifloxacin ophthalmic formulations, which includes Allergan, Inc.’s ZYMAR ® ® On June 6, 2014, a separate antitrust class action complaint was filed in the federal district court in Delaware against the same defendants as in the Apotex case. The complaint alleges that defendants unlawfully excluded or delayed generic competition in the gatifloxacin ophthalmic formulations market (generic versions of ZYMAR ® ® Commercial Litigation Celexa ® ® . Forest and certain of its affiliates were named as defendants in multiple federal court actions relating to the promotion of Celexa ® ® ® ® ® ® ® ® Warner Chilcott Marketing Practices . On February 13, 2018, a class action complaint was filed against Warner Chilcott and certain of its affiliates in the U.S. District Court for the District of Massachusetts. The Complaint asserts claims under the federal RICO statute, violations of number of state consumer protection statutes, common law fraud, and unjust enrichment with respect to the sale and marketing of certain products. The complaint seeks to certify a nationwide class of private payer entities, or their assignees, that paid Medicare benefits on behalf of their beneficiaries. On April 9, 2018, the plaintiffs filed an Amended Complaint, adding certain other Allergan subsidiaries as defendants. Defendants filed a motion to dismiss the Amended Complaint on June 11, 2018. Generic Drug Pricing Securities and ERISA Litigation . On November 4, 2016, a class action was filed by a putative class of Allergan shareholders in federal court in California against the Company and certain of its current and former officers alleging that the Company and certain of its current and former officers made materially false and misleading statements. Additional similar class action complaints and one complaint by an individual defendant have been filed and these cases have been consolidated in the federal district court in New Jersey. The complaints allege generally that between February 2014 and November 2016, Allergan and certain of its officers made materially false and misleading statements regarding the Company’s internal controls over its financial reporting and failed to disclose that its Actavis generics unit had engaged in illegal, anticompetitive price-fixing with its generic industry peers. The complaint seeks unspecified monetary damages. After the Company filed a motion to dismiss plaintiffs filed a second amended consolidated complaint on November 28, 2017. The Company’s motion to dismiss the second amended complaint, filed on January 22, 2018, is still pending. A complaint was filed in California state court, premised on the same underlying allegations, by an individual opt-out plaintiff on February 2, 2018. Two complaints were filed, one in the federal district court in California and one in the federal district court in New Jersey, that are premised on the same alleged underlying conduct that is at issue in the securities litigation but that assert claims under the Employee Retirement Income Security Act of 1974 (“ERISA”). These complaints also have been consolidated in the district court in New Jersey. The ERISA complaints assert claims on behalf of a putative class of individuals who participated in the Company’s retirement plans and seek an unspecified amount of damages and other injunctive relief. On October 23, 2017, the ERISA litigation Plaintiffs filed an amended consolidated complaint which the Company moved to dismiss on February 2, 2018. Only July 3, 2018, the court granted the Company’s motion to dismiss the ERISA complaint in its entirety. Telephone Consumer Protection Act Litigation. In October 2012, Forest and certain of its affiliates were named as defendants in a putative class action in federal court in Missouri. This suit alleges that Forest and another defendant violated the Telephone Consumer Protection Act (the “TCPA”) by sending unsolicited facsimiles and facsimiles with inadequate opt-out notices. The case was stayed pending the administrative proceeding initiated by the pending FCC Petition and a separate petition Forest filed. A similar lawsuit was filed in in Missouri state court against Warner Chilcott Corporation which Warner Chilcott removed to the federal district court. In the wake of the Court of Appeals decision on the Petition discussed below, the parties reached an agreement to settle these actions. In a related matter, on June 27, 2013, Forest filed a Petition for Declaratory Ruling with the FCC requesting that the FCC find that (1) the faxes at issue in the action complied, or substantially complied with the FCC regulation, and thus did not violate it, or (2) the FCC regulation was not properly promulgated under the TCPA. On October 30, 2014, the FCC issued a final order on the FCC Petition granting Forest and several other petitioners a retroactive waiver of the opt-out notice requirement for all faxes sent with express consent. The litigation plaintiffs appealed the final order to the Court of Appeals for the District of Columbia and on March 31, 2017, the Court of Appeals issued a decision which held that the FCC regulation at issue was not properly promulgated under the TCPA. Plaintiffs’ petition for certiorari was denied by the United States Supreme Court. Prescription Opioid Drug Abuse Litigation . The Company has been named as a defendant, along with several other manufacturers of opioid products, in approximately 1,028 matters relating to the promotion and sale of prescription opioid pain relievers and additional suits may be filed. The first complaints were filed by the California counties of Santa Clara and Orange, on behalf of the State of California, the City of Chicago and the State of Mississippi, in May 2014, June 2014 and December 2015, respectively. Each of the lawsuits allege that the manufacturer defendants engaged in a deceptive campaign to promote their products in violation of state laws and seek unspecified monetary damages, penalties and injunctive relief. In May 2017 the State of Ohio filed a lawsuit in state court which parallels the claims in the California, Chicago and Mississippi matters. Since the filing of the complaint by the State of Ohio, additional cases have been filed, including cases filed by others states but mainly by political subdivisions of states (i.e., counties and municipalities) in state and federal courts across the country. In addition, cases have been filed on behalf of consumers who were prescribed opioid products or were prescribed opioid products and were subsequently treated for an overdose or addiction. The federal court cases have been consolidated in an MDL in the federal court for the Northern District of Ohio. In the California case, which is pending in state court in California, the court has set a trial date of June 28, 2019. The Company is aware that other states and political subdivisions are filing comparable actions against, among others, manufacturers and parties that promoted prescription opioid pain relievers. Testosterone Replacement Therapy Class Action . On November 24, 2014, the Company was served with a putative class action complaint filed on behalf a class of third party payers in federal court in Illinois. The suit alleges that the Company and other named pharmaceutical defendants violated various laws including the federal RICO statute and state consumer protection laws in connection with the sale and marketing of certain testosterone replacement therapy pharmaceutical products (“TRT Products”), including the Company’s Androderm ® Xaleron Dispute. On February 5, 2016, Xaleron Pharmaceuticals, Inc. filed a lawsuit against Allergan, Inc. and Actavis, Inc., now known as Allergan Finance, LLC, in state court in New York. The complaint, filed on February 26, 2016, alleges the defendants misappropriated Xaleron’s confidential business information and asserts claims for unfair competition, tortious interference with prospective economic advantage and unjust enrichment. The Company filed a motion to dismiss the complaint on April 15, 2016. On September 13, 2016, the court issued a decision denying the Company’s motion. Defendants filed an answer to the complaint and the parties are now engaged in discovery. The company filed a motion for summary judgment on April 4, 2018. The parties have reached an agreement in principle to settle the litigation. Zeltiq Advertising Litigation . On April 26, 2017, a putative class action lawsuit was filed against Zeltiq in state court in California alleging that Zeltiq misled customers regarding the promotion of its CoolSculpting product and the product’s premarket notification clearance status. On May 30, 2017, the case was removed to the United States District Court for the Central District of California. On July 20, 2017, Plaintiffs filed an amended complaint. In August 2017, Zeltiq filed a motion to dismiss the amended complaint. On June 11, 2018, the Court granted Zeltiq’s motion to dismiss the amended complaint. On July 2, 2018, Plaintiffs filed a third amended complaint. On July 23, 2018, Zeltiq filed a motion to dismiss the third amended complaint. Employment Litigation In July 2012, Forest was named as a defendant in an action brought by certain former Company sales representatives and specialty sales representatives in the federal district court in New York. The action is a putative class and collective action, and alleges class claims under Title VII for gender discrimination with respect to pay and promotions, as well as discrimination on the basis of pregnancy, and a collective action claim under the Equal Pay Act. The proposed Title VII gender class includes all current and former female sales representatives employed by the Company throughout the U.S. from 2008 to the date of judgment, and the proposed Title VII pregnancy sub-class includes all current and former female sales representatives who have been, are, or will become pregnant while employed by the Company throughout the U.S. from 2008 to the date of judgment. The proposed Equal Pay Act collective action class includes current, former, and future female sales representatives who were not compensated equally to similarly-situated male employees during the applicable liability period. The second amended complaint also includes non-class claims on behalf of certain of the named Plaintiffs for sexual harassment and retaliation under Title VII, and for violations of the Family and Medical Leave Act. On April 3, 2017, the parties agreed to settle this matter. On February 1, 2018, the court granted preliminary approval of the settlement and set a fairness hearing for May 4, 2018. On June 29, 2018, the Court granted final approval of the settlement. Patent Litigation Patent Enforcement Matters Aczone ® In June and July 2017, Allergan, Inc. brought actions for infringement of U.S. Patent No. 9,517,219 (the “‘219 patent”) in the U.S. District Court for the District of Delaware against Taro Pharmaceutical Industries Ltd. and Taro Pharmaceuticals, Inc. (collectively, “Taro”). Taro had notified Allergan in April and July 2017, that it filed an ANDA with the FDA seeking to obtain approval to market a generic version of Aczone ® Aczone ® Amneal Pharmaceuticals LLC and Amneal Pharmaceuticals of New York, LLC (collectively, “Amneal”) filed a petition for Review (Trial number IPR2018-00608) with the USPTO regarding U.S. Patent No. 9,161,926, which was accorded a filing date of February 12, 2018. On June 8, 2018, Allergan filed a Patent Owner Preliminary Response. Bystolic ® On January 19, 2018, Allergan Sales, LLC, Allergan USA, Inc., and Forest Laboratories Holdings, Ltd. (collectively, “Allergan”) brought an action for infringement of U.S. Patent No. 6,545,040 in the United States District Court for the District of Delaware against Aurobindo Pharma USA, Inc. and Aurobindo Pharma Ltd. (collectively, “Aurobindo”). Aurobindo had notified Forest Laboratories, LLC (which later merged with and into Allergan Sales, LLC, with Allergan Sales, LLC as the surviving entity) that Aurobindo had filed an ANDA with FDA seeking to obtain approval to market generic versions of Bystolic ® Previously, the Company had asserted the ‘040 patent in actions against Actavis, Alkem, Amerigen, Glenmark, Hetero, Indchemie and Torrent, and related subsidiaries and affiliates thereof (collectively, “the Original Defendants”), and reached settlements terminating those actions. As previously announced, under the terms of the settlement agreements, the Company will provide licenses to each of the Original Defendants that will permit them to launch their generic versions of Bystolic as of the date that is the later of (a) three calendar months prior to the expiration of the ‘040 patent, including any extensions and/or pediatric exclusivities, or (b) the date each company receives final FDA approval of its ANDA, or earlier in certain circumstances. Byvalson ® On September 18, 2017, Forest Laboratories, LLC (which later merged with and into Allergan Sales, LLC, with Allergan Sales, LLC as the surviving entity) and Forest Laboratories Holdings, Ltd. (collectively, “Forest”) brought an action for infringement of U.S. Patent Nos. 7,803,838 (the “‘838 patent”) and 7,838,552 (the “‘552 patent”) in the U.S. District Court for the District of New Jersey against Prinston Pharmaceutical Inc., Zhejiang Huahai Pharmaceutical Co., Ltd., Huahai US Inc. and Solco Healthcare US, LLC (collectively, “Prinston”). Prinston notified Forest that it filed an ANDA with the FDA seeking to obtain approval to market a generic version of Byvalson ® Combigan ® . On March 9, 2015, Allergan filed a complaint against Sandoz in the U.S. District Court for the Eastern District of Texas, Marshall Division, alleging that Sandoz’s proposed generic product infringes certain U.S. Patents including U.S. Patent Nos. 7,030,149 (the “149 Patent”), 7,320,976 (the “’976 Patent”), and 8,748,425 (the “’425 Patent”). A bench trial concluded on October 27, 2016. On December 30, 2016, the court entered an opinion and final judgment in favor of Allergan and against Sandoz, that the asserted claims of the ‘149 Patent, ‘976 Patent and ‘425 Patent were not invalid, and that Sandoz infringes the asserted claims of the ‘425 Patent. The court also held in favor of Sandoz and against Allergan, that Sandoz does not infringe the asserted claims of the ‘149 and ‘976 Patents. Sandoz filed a notice of appeal and Allergan filed a notice of cross appeal. The Federal Circuit heard oral arguments on October 2, 2017 and on December 22, 2017, issued a decision affirming the district court’s finding of no invalidity of the asserted claims and non-infringement of the claims of the ‘149 and ‘976 Patents, and reversing the district court’s finding of infringement of claim 1 of the ‘425 Patent. On March 29, 2018, the Federal Circuit denied Allergan’s combined petition for panel rehearing or rehearing en banc Combigan ® . On October 30, 2017, Allergan Sales, LLC and Allergan, Inc. (collectively, “Allergan”) filed a complaint against Sandoz, Inc. and Alcon Laboratories, Inc. (“Sandoz”) in the U.S. District Court for the District of New Jersey, alleging that their proposed generic versions of Combigan ® ® Delzicol ® On August 28, 2015, Warner Chilcott Company, LLC, Warner Chilcott (US), LLC, and Qualicaps Co., Ltd. (collectively, “Plaintiffs”) brought an action for infringement of U.S. Patent No. 6,649,180 (the “‘180 patent”) in the United States District Court for the Eastern District of Texas against Teva Pharmaceuticals USA, Inc. and Teva Pharmaceutical Industries Ltd. (collectively, “Teva”). Teva notified Plaintiffs that it has filed an ANDA with the FDA seeking to obtain approval to market generic versions of Delzicol ® ® ) with the Teva litigation ( ) matter as the lead case. On April 1, 2016, Warner Chilcott Company, LLC, Warner Chilcott (US), LLC, Allergan Pharmaceuticals International Ltd., Allergan USA, LLC and Qualicaps Co., Ltd. (collectively, “Plaintiffs”) brought an action for infringement of the ‘180 patent in the United States District Court for the Eastern District of Texas against Zydus International Pvt. Ltd., Zydus Pharmaceuticals (USA) Inc. and Cadila Healthcare Ltd. (collectively, “Zydus”). Zydus notified the Company that it has filed an ANDA with the FDA seeking to obtain approval to market generic versions of Delzicol ® ® On April 21, 2017, Plaintiffs brought an action for infringement of the ‘180 patent in the United States District Court for the Eastern District of Texas against Teva Pharmaceuticals USA, Inc., which had notified Plaintiffs that, on or before March 9, 2017, it had amended its ANDA seeking to obtain approval to market generic versions of Delzicol ® On December 18, 2017, Plaintiffs Allergan Sales, LLC and Qualicaps Co., Ltd. entered into a settlement agreement with Mylan and the actions with respect to Mylan were subsequently dismissed. Under the terms of the settlement agreement, Mylan may launch its generic version of Delzicol ® Appeal briefing between Plaintiffs and Teva, the remaining defendant, was completed on May 8, 2018. A date for oral argument has not been set. Fetzima ® In September and October 2017, certain Allergan subsidiaries and Pierre Fabre Medicament received Paragraph IV certification notice letters from Amneal Pharmaceuticals LLC, Aurobindo Pharma USA, Inc., MSN Laboratories Private Limited, Prinston Pharmaceutical Inc., Torrent Pharmaceuticals Limited, West-Ward Pharmaceuticals International Limited, and Zydus Pharmaceuticals (USA) Inc. indicating that they had submitted to FDA ANDAs seeking approval to manufacture and sell generic versions of FETZIMA ® On October 30, 2017, Forest Laboratories, LLC (which later merged with and into Allergan Sales, LLC, with Allergan Sales, LLC as the surviving entity) and Forest Laboratories Holdings Limited, Allergan USA, Inc., and Pierre Fabre Medicament S.A.S. (collectively, “Forest”) brought an action for infringement of the ‘879 Patent, the ‘598 Patent and the ‘937 Patent against MSN Laboratories Private Limited and MSN Pharmaceuticals Inc. (collectively, “MSN”). On October 31, 2017, Forest brought actions for infringement of the ‘879 Patent, the ‘598 Patent, and the ‘937 Patent against Prinston Pharmaceutical Inc. and Solco Healthcare U.S., LLC (collectively, “Prinston”), Torrent Pharmaceuticals Limited and Torrent Pharma Inc. (collectively, “Torrent”), West-Ward Pharmaceuticals International Limited and West-Ward Pharmaceuticals Corp. (collectively, “West-Ward”), and Zydus Pharmaceuticals (USA) Inc. (“Zydus”). On November 15, 2017, Forest brought actions for infringement of the ‘879 Patent, the ‘598 Patent and the ‘937 Patent against Aurobindo Pharma USA, Inc. and Aurobindo Pharma Limited (collectively, “Aurobindo”), and Amneal Pharmaceuticals LLC and Amneal Pharmaceuticals Private Limited (collectively, “Amneal”). Each of these lawsuits were brought in the U.S. District Court for the District of New Jersey and triggered automatic stays of approval of the ANDAs until January 2021 (unless there is a final court decision adverse to Forest sooner). In December 2017 and January 2018 MSN, Torrent, West-Ward, Zydus, and Amneal filed answers and counterclaims, and Prinston and Aurobindo filed answers, in their respective actions. In January 2018 Forest filed answers to MSN, Torrent, West-Ward and Zydus’s counterclaims. On February 8, 2018, the district court consolidated the MSN, Prinston, Torrent, West-Ward, Zydus, Aurobindo and Amneal actions. No trial date has been set. Juvéderm ® On August 2, 2017, Teoxane S.A. (“Teoxane”) filed a petition for Review (Trial number IPR2017-01906) with the USPTO regarding U.S. Patent No. 8,357,795. And on August 24, 2017, Teoxane filed a petition for Review (Trial Number IPR2017-02002) with the USPTO regarding U.S. Patent Number 8,450,475. On March 9, 2018, the USPTO denied institution of both Teoxane IPRs. Lastacaft ® . In July 2017, the Company and Vistakon Pharmaceuticals, LLC received a Paragraph IV certification notice letter from Aurobindo Pharma USA Inc. (“Aurobindo”) indicating that it had submitted to FDA an ANDA seeking approval to manufacture and sell a generic version of LASTACAFT ® Latisse ® . In December 2016, Sandoz announced the U.S. market launch of Defendants’ generic copy of LATISSE ® . In July 2017, Plaintiffs Allergan and Duke University (collectively, “Plaintiffs”) filed a complaint for infringement of U.S. Patent Number 9,579,270 (“‘270 Patent”) against Defendants Sandoz Inc. (“Sandoz”) and Alcon Laboratories, Inc. (“Alcon”) in the U.S. District Court for the Eastern District of Texas (EDTX). (The ‘270 patent expires in January 2021.) In their complaint, Plaintiffs seek, among other things, a judgment that Defendants have infringed the ‘270 patent by making, selling, and offering to sell, and/or importing, their generic copy of LATISSE ® On April 3, 2018, the EDTX court issued an order: (i) denying Defendant’s motion to transfer the case to MDNC, and (ii) severing Plaintiff’s claims against Defendants and transferring Plaintiff’s claims against Alcon to the District Court of Delaware and Plaintiff’s claims against Sandoz to the District of Colorado. No case schedule has been set. Latisse ® . In August 2017, the Company and Duke University received a Paragraph IV certification notice letter from Alembic Pharmaceuticals, Ltd. (“Alembic”) indicating that it had submitted to FDA an ANDA seeking approval to manufacture and sell a generic version of LATISSE ® Linzess ® In October and November 2016, the Company and Ironwood received Paragraph IV certification notice letters from Teva Pharmaceuticals USA, Inc. (“Teva”) , Aurobindo Pharma Ltd., Mylan Pharmaceuticals Inc. (“Mylan”), and Sandoz Inc. (“Sandoz”) indicating that they had submitted to FDA ANDAs seeking approval to manufacture and sell generics version of LINZESS ® In May 2017, the Company and Ironwood also received a Paragraph IV certification notice letter from Sun Pharma Global FZE indicating that it had submitted to FDA an ANDA seeking approval to manufacture and sell a generic version of LINZESS before the expiration of the ‘573, ‘628 and ‘030 Patents. Sun Pharma Global FZE claims that the patents are invalid and/or would not be infringed. On June 30, 2017, Plaintiffs brought an action for infringement of the ‘573, ‘628 and ‘030 Patents in the U.S. District Court for the District of Delaware against Sun Pharma Global FZE and Sun Pharmaceutical Industries Inc. (collectively, “Sun”). In January 2018, Allergan and Ironwood entered into a settlement agreement with Sun and certain Sun affiliates. Under the terms of the settlement agreement, Plaintiffs will provide a license to Sun to market a generic version of LINZESS in the United States beginning on February 1, 2031 (subject to U.S. FDA approval), or earlier in certain circumstances. The Sun action was dismissed on January 18, 2018. In July 2017, the Company and Ironwood received a second Notice Letter relating to the ANDA submitted to the FDA by Aurobindo. Aurobindo claims that the ‘036, ‘727, ‘947, ‘409, ‘526, ‘553 Patents, as well as the ‘573, ‘628 and ‘030 Patents, are invalid and/or would not be infringed. On August 25, 2017, Plaintiffs brought an action for infringement of these patents in the U.S. District Court for the District of Delaware against Aurobindo. On September 28, 2017, this action was consolidated with the first action filed against Aurobindo. On April 30, 2018, Allergan and Ironwood entered into a settlement agreement with Aurobindo. Under the terms of the settlement agreement, Plaintiffs will provide a license to Aurobindo to market a generic version of LINZESS in the United States beginning on August 5, 2030 (subject to U.S. FDA approval), or earlier in certain circumstances. The Aurobindo actions were dismissed on May 7, 2018. In September 2017, October 2017 and January 2018, the Company and Ironwood received second Notice Letters relating to the ANDAs submitted to the FDA by Teva, Mylan and Sandoz, respectively. Teva, Mylan and Sandoz claim that U.S. Patent No. 9,708,371 (the “‘371 Patent”) is invalid and/or would not be infringed by their respective ANDAs. (The ‘371 Patent expires in 2033.) On October 20, 2017, November 30, 2017 and January 20, 2018, Plaintiffs brought actions for infringement of the ‘371 patent in the U.S. District Court for the District of Delaware against Teva, Mylan and Sandoz, respectively. The actions filed in October and November 2017 against Teva and Mylan have been consolidated with the lawsuit filed in November 2016. In December 2017 and February 2018, the Company and Ironwood received Paragraph IV certification notice letters from Teva and Mylan, respectively indicating that they had submitted to FDA ANDAs seeking approval to manufacture and sell generic versions of LINZESS ® In May 2018, the district court granted joint stipulations and orders to dismiss without prejudice all claims, counterclaims, and defenses in the consolidated actions with respect to the ‘371 patent as between Plaintiffs, Teva and Sandoz. On July 10, 2018, Plaintiffs filed a motion to dismiss all claims and declaratory judgment counterclaims between Plaintiffs and Mylan with respect to the ‘371 patent for lack of subject matter jurisdiction. Namenda XR ® ® (all collectively, “Plaintiffs”), brought actions for infringement of some or all of U.S. Patent Nos. 5,061,703 (the “‘703 patent”), 8,039,009 (the “‘009 patent”), 8,168,209 (the “‘209 patent”), 8,173,708 (the “‘708 patent”), 8,283,379 (the “‘379 patent”), 8,329,752 (the “‘752 patent”), 8,362,085 (the “‘085 patent”), and 8,598,233 (the “‘233 patent”) in the U.S. District Court for the District of Delaware against Wockhardt, Teva, Sun, Apotex, Anchen, Zydus, Watson, Par, Mylan, Amneal, Ranbaxy, and Amerigen, and related subsidiaries and affiliates thereof. Plaintiffs entered settlement agreements with every defendant except Teva. On July 26, 2016, the district court entered a final judgment of invalidity of claim 1 of the ‘209 patent, claims 1, 6, 10 and 15 of the ‘708 patent, claim 1 of the ‘379 patent, claims 1 and 9 of the ‘752 patent, claims 1 and 7 of the ‘085 patent and claim 1 of the ‘233 patent in favor of Teva, and Plaintiffs appealed. On December 11, 2017, the Court of Appeals for the Federal Circuit issued a decision affirming the district court’s judgment of invalidity with respect to certain claims of the ‘209, ‘708, ‘379, ‘752 and ‘085 patents. On February 12, 2018, the Federal Circuit denied Plaintiffs petitions for panel rehearing and rehearing en banc Previously, on September 29, 2016, the Company issued a press release following announcement of ANDA approvals, including FDA final approval by Lupin which stated that if the district court ruling is upheld on appeal to the U.S. Court of Appeals for the Federal Circuit, there is a possibility that generic entry for Namenda XR could occur following an adverse decision. The Federal Circuit issued the mandate of the court on February 20, 2018, and certain generics launched the generic products shortly thereafter. Namzaric ® . On August 27, 2015, Forest Laboratories, LLC (which later merged with and into Allergan Sales, LLC, with Allergan Sales, LLC as the surviving entity), Forest Laboratories Holdings, Ltd. and Adamas Pharmaceuticals, Inc. (all collectively, “Plaintiffs”), brought an action for infringement of some or all of U.S. Patent Nos. 8,039,009 (the “’009 patent”), 8,058,291 (the “‘291 patent”), 8,168,209 (the “‘209 patent”), 8,173,708 (the “‘708 patent”), 8,283,379 (the “‘379 patent”), 8,293,794 (the “‘794 patent”), 8,329,752 (the “‘752 patent”), 8,338,485 (the “‘485 patent”), 8,338,486 (the “‘486 patent”), 8,362,085 (the “‘085 patent”), 8,580,858 (the “‘858 patent”) and 8,598,233 (the “‘233 patent”) in the U.S. District Court for the District of Delawar |
Warner Chilcott Limited ("WCL")
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information | 6 Months Ended |
Jun. 30, 2018 | |
Warner Chilcott Acquisition [Member] | |
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information | NOTE 20 — Warner Chilcott Limited (“WCL”) Guarantor and Non-Guarantor Condensed Consolidating Financial Information The following financial information is presented to segregate the financial results of WCL, Allergan Funding SCS, and Allergan Finance, LLC (the issuers of the long-term notes), the guarantor subsidiaries for the long-term notes and the non-guarantor subsidiaries. The guarantors jointly and severally, and fully and unconditionally, guarantee the Company’s obligation under the long-term notes. The information includes elimination entries necessary to consolidate the guarantor and the non-guarantor subsidiaries. Investments in subsidiaries are accounted for using the equity method of accounting. The principal elimination entries eliminate investments in subsidiaries, equity and intercompany balances and transactions. WCL, Allergan Capital S.à.r.l. and Allergan Finance, LLC are guarantors of the long-term notes. The Company anticipates future legal entity structure changes which may impact the presentation of this footnote in the future. WCL has revised its consolidating balance sheets as previously presented in Footnote 25 of the December 31, 2017 Annual Report on Form 10-K and its consolidating financial statements as previously presented in Footnote 21 of the June 30, 2017 Quarterly Report on Form 10-Q due to a change in the Company’s legal entity structure and other reclassifications that occurred during the six months ended June 30, 2018. As a result, prior period information has been recast to conform to the current period presentation. The following financial information presents the consolidating balance sheets as of June 30, 2018 and December 31, 2017, the related statement of operations for the three and six months ended June 30, 2018 and 2017 and the statements of cash flows for the six months ended June 30, 2018 and 2017. Warner Chilcott Limited Consolidating Balance Sheets As of June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited ASSETS Current assets: Cash and cash equivalents $ 0.1 $ 294.5 $ - $ - $ 1,378.9 $ - $ 1,673.5 Marketable securities - - - - 21.5 - 21.5 Accounts receivable, net - - - - 2,760.8 - 2,760.8 Receivables from Parents - 4,223.5 - - 1,609.9 - 5,833.4 Inventories - - - - 922.5 - 922.5 Intercompany receivables - 1,984.4 1,459.8 75.6 21,603.4 (25,123.2 ) - Prepaid expenses and other current assets - - 1.4 88.3 633.2 - 722.9 Total current assets 0.1 6,502.4 1,461.2 163.9 28,930.2 (25,123.2 ) 11,934.6 Property, plant and equipment, net - - - - 1,761.4 - 1,761.4 Investments and other assets - - - - 297.9 - 297.9 Investment in subsidiaries 78,676.1 85,953.6 - 109,103.2 - (273,732.9 ) - Non current intercompany receivables - 31,524.5 19,123.8 - 29,253.5 (79,901.8 ) - Non current receivables from Parents - - - - 3,964.0 - 3,964.0 Non current assets held for sale - - - - 180.4 - 180.4 Deferred tax assets - - - - 896.8 - 896.8 Product rights and other intangibles - - - - 49,928.3 - 49,928.3 Goodwill - - - - 49,687.2 - 49,687.2 Total assets $ 78,676.2 $ 123,980.5 $ 20,585.0 $ 109,267.1 $ 164,899.7 $ (378,757.9 ) $ 118,650.6 LIABILITIES AND EQUITY Current liabilities: Accounts payable and accrued expenses - - 163.3 93.9 4,424.4 - 4,681.6 Intercompany payables - 11,010.6 0.6 10,592.2 3,519.8 (25,123.2 ) - Payables to Parents - - - - 2,379.7 - 2,379.7 Income taxes payable - - - - 92.5 - 92.5 Current portion of long-term debt and capital leases - - 1,296.4 0.5 51.6 - 1,348.5 Total current liabilities - 11,010.6 1,460.3 10,686.6 10,468.0 (25,123.2 ) 8,502.3 Long-term debt and capital leases - - 19,123.8 2,132.7 2,745.5 - 24,002.0 Other long-term liabilities - 0.2 - - 753.2 - 753.4 Long-term intercompany payables - 28,217.5 - 1,036.0 50,648.3 (79,901.8 ) - Other taxes payable - - - - 1,576.2 - 1,576.2 Deferred tax liabilities - 0.2 - - 5,140.3 - 5,140.5 Total liabilities - 39,228.5 20,584.1 13,855.3 71,331.5 (105,025.0 ) 39,974.4 Total equity / (deficit) 78,676.2 84,752.0 0.9 95,411.8 93,568.2 (273,732.9 ) 78,676.2 Total liabilities and equity $ 78,676.2 $ 123,980.5 $ 20,585.0 $ 109,267.1 $ 164,899.7 $ (378,757.9 ) $ 118,650.6 Warner Chilcott Limited Consolidating Balance Sheets As of December 31, 2017 ($ in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited ASSETS Current assets: Cash and cash equivalents $ 0.1 $ 593.1 $ 0.1 $ - $ 1,223.0 $ - $ 1,816.3 Marketable securities - 400.2 - - 4,231.9 - 4,632.1 Accounts receivable, net - - - - 2,899.0 - 2,899.0 Receivables from Parents - 4,223.5 - - 1,573.9 - 5,797.4 Inventories - - - - 904.5 - 904.5 Intercompany receivables - 8,118.7 5,507.6 19.6 25,417.0 (39,062.9 ) - Prepaid expenses and other current assets - - - 85.0 1,038.0 - 1,123.0 Total current assets 0.1 13,335.5 5,507.7 104.6 37,287.3 (39,062.9 ) 17,172.3 Property, plant and equipment, net - - - - 1,785.4 - 1,785.4 Investments and other assets - - - - 267.9 - 267.9 Investment in subsidiaries 81,282.1 87,583.9 - 109,169.8 - (278,035.8 ) - Non current intercompany receivables - 27,518.7 20,985.0 - 30,544.0 (79,047.7 ) - Non current receivables from Parents - - - - 3,964.0 - 3,964.0 Non current assets held for sale - - - - 81.6 - 81.6 Deferred tax assets - - - - 316.0 - 316.0 Product rights and other intangibles - - - - 54,648.3 - 54,648.3 Goodwill - - - - 49,862.9 - 49,862.9 Total assets $ 81,282.2 $ 128,438.1 $ 26,492.7 $ 109,274.4 $ 178,757.4 $ (396,146.4 ) $ 128,098.4 LIABILITIES AND EQUITY Current liabilities: Accounts payable and accrued expenses - 0.6 202.9 89.3 5,222.8 - 5,515.6 Intercompany payables - 12,186.2 1,828.5 11,402.3 13,645.9 (39,062.9 ) - Payables to Parents - - - - 2,340.6 - 2,340.6 Income taxes payable - - - - 74.9 - 74.9 Current portion of long-term debt and capital leases - - 3,475.4 - 756.4 - 4,231.8 Total current liabilities - 12,186.8 5,506.8 11,491.6 22,040.6 (39,062.9 ) 12,162.9 Long-term debt and capital leases - - 20,985.0 2,130.1 2,728.4 - 25,843.5 Other long-term liabilities - 0.2 - - 886.7 - 886.9 Long-term intercompany payables - 30,395.0 - 149.0 48,503.7 (79,047.7 ) - Other taxes payable - - - - 1,573.5 - 1,573.5 Deferred tax liabilities - 0.2 - - 6,349.2 - 6,349.4 Total liabilities - 42,582.2 26,491.8 13,770.7 82,082.1 (118,110.6 ) 46,816.2 Total equity / (deficit) 81,282.2 85,855.9 0.9 95,503.7 96,675.3 (278,035.8 ) 81,282.2 Total liabilities and equity $ 81,282.2 $ 128,438.1 $ 26,492.7 $ 109,274.4 $ 178,757.4 $ (396,146.4 ) $ 128,098.4 Warner Chilcott Limited Consolidating Statements of Operations For the Three Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 4,124.2 $ - $ 4,124.2 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 481.8 - 481.8 Research and development - - - - 689.2 - 689.2 Selling and marketing - - - - 853.4 - 853.4 General and administrative - - 1.2 - 298.3 - 299.5 Amortization - - - - 1,697.1 - 1,697.1 In-process research and development impairments - - - - 276.0 - 276.0 Asset sales and impairments, net - - - - 259.6 - 259.6 Total operating expenses - - 1.2 - 4,555.4 - 4,556.6 Operating (loss) - - (1.2 ) - (431.2 ) - (432.4 ) Interest income / (expense), net - 267.4 (5.1 ) (20.7 ) (399.8 ) - (158.2 ) Other income, net - - 9.2 - 206.2 - 215.4 Total other income / (expense), net - 267.4 4.1 (20.7 ) (193.6 ) - 57.2 Income / (loss) before income taxes and noncontrolling interest - 267.4 2.9 (20.7 ) (624.8 ) - (375.2 ) (Benefit) for income taxes - - - (4.4 ) (0.8 ) - (5.2 ) Losses / (earnings) of equity interest subsidiaries 372.4 656.0 - (76.0 ) - (952.4 ) - Net (loss) / income from continuing operations, net of tax $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (624.0 ) $ 952.4 $ (370.0 ) (Loss) from discontinued operations, net of tax - - - - - - - Net (loss) / income $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (624.0 ) $ 952.4 $ (370.0 ) (Income) attributable to noncontrolling interest - - - - (2.4 ) - (2.4 ) Net (loss) / income attributable to members $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (626.4 ) $ 952.4 $ (372.4 ) Other comprehensive (loss) / income, net of tax (448.6 ) (646.0 ) - (748.7 ) (448.6 ) 1,843.3 (448.6 ) Comprehensive (loss) / income attributable to members $ (821.0 ) $ (1,034.6 ) $ 2.9 $ (689.0 ) $ (1,075.0 ) $ 2,795.7 $ (821.0 ) Warner Chilcott Limited Consolidating Statements of Operations For the Six Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 7,796.3 $ - $ 7,796.3 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 1,004.6 - 1,004.6 Research and development - - - - 1,163.9 - 1,163.9 Selling and marketing - - - - 1,653.4 - 1,653.4 General and administrative - - 0.5 - 593.1 - 593.6 Amortization - - - - 3,394.7 - 3,394.7 In-process research and development impairments - - - - 798.0 - 798.0 Asset sales and impairments, net - - - - 272.7 - 272.7 Total operating expenses - - 0.5 - 8,880.4 - 8,880.9 Operating (loss) - - (0.5 ) - (1,084.1 ) - (1,084.6 ) Interest income / (expense), net - 526.4 (8.4 ) (41.9 ) (814.6 ) - (338.5 ) Other income, net - - 9.2 - 127.4 - 136.6 Total other income / (expense), net - 526.4 0.8 (41.9 ) (687.2 ) - (201.9 ) Income / (loss) before income taxes and noncontrolling interest - 526.4 0.3 (41.9 ) (1,771.3 ) - (1,286.5 ) Provision / (benefit) for income taxes - - 0.3 (16.6 ) (671.1 ) - (687.4 ) Losses / (earnings) of equity interest subsidiaries 603.7 1,201.5 - (505.6 ) - (1,299.6 ) - Net (loss) / income from continuing operations, net of tax $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) (Loss) from discontinued operations, net of tax - - - - - - - Net (loss) / income $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) (Income) attributable to noncontrolling interest - - - - (4.6 ) - (4.6 ) Net (loss) / income attributable to members $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,104.8 ) $ 1,299.6 $ (603.7 ) Other comprehensive (loss) / income, net of tax (327.8 ) (428.8 ) - (572.2 ) (327.8 ) 1,328.8 (327.8 ) Comprehensive (loss) / income attributable to members $ (931.5 ) $ (1,103.9 ) $ - $ (91.9 ) $ (1,432.6 ) $ 2,628.4 $ (931.5 ) Warner Chilcott Limited Consolidating Statements of Operations For the Three Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 4,007.4 $ - $ 4,007.4 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 550.2 - 550.2 Research and development - - - - 489.4 - 489.4 Selling and marketing - - - - 935.2 - 935.2 General and administrative - - 10.1 - 437.6 - 447.7 Amortization - - - - 1,757.9 - 1,757.9 In-process research and development impairments - - - - 703.3 - 703.3 Asset sales and impairments, net - - - - 14.0 - 14.0 Total operating expenses - - 10.1 - 4,887.6 - 4,897.7 Operating (loss) - - (10.1 ) - (880.2 ) - (890.3 ) Interest income / (expense), net - 256.3 61.1 (38.4 ) (519.2 ) - (240.2 ) Other (expense) / income, net - - (110.4 ) (39.9 ) 16.8 - (133.5 ) Total other income / (expense), net - 256.3 (49.3 ) (78.3 ) (502.4 ) - (373.7 ) Income / (loss) before income taxes and noncontrolling interest - 256.3 (59.4 ) (78.3 ) (1,382.6 ) - (1,264.0 ) (Benefit) for income taxes - - (0.9 ) (73.9 ) (506.4 ) - (581.2 ) Losses / (earnings) of equity interest subsidiaries 693.2 982.1 - 84.9 - (1,760.2 ) - Net (loss) / income from continuing operations, net of tax $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (876.2 ) $ 1,760.2 $ (682.8 ) (Loss) from discontinued operations, net of tax - - - - (8.4 ) - (8.4 ) Net (loss) / income $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (884.6 ) $ 1,760.2 $ (691.2 ) (Income) attributable to noncontrolling interest - - - - (2.0 ) - (2.0 ) Net (loss) / income attributable to members $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (886.6 ) $ 1,760.2 $ (693.2 ) Other comprehensive income / (loss), net of tax 903.3 960.5 - 2,152.7 903.3 (4,016.5 ) 903.3 Comprehensive income / (loss) attributable to members $ 210.1 $ 234.7 $ (58.5 ) $ 2,063.4 $ 16.7 $ (2,256.3 ) $ 210.1 Warner Chilcott Limited Consolidating Statements of Operations For the Six Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 7,580.3 $ - $ 7,580.3 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 1,000.6 - 1,000.6 Research and development - - - - 1,249.3 - 1,249.3 Selling and marketing - - - - 1,804.3 - 1,804.3 General and administrative - - 10.1 1.1 750.8 - 762.0 Amortization - - - - 3,493.9 - 3,493.9 In-process research and development impairments - - - - 1,043.3 - 1,043.3 Asset sales and impairments, net - - - - 21.4 - 21.4 Total operating expenses - - 10.1 1.1 9,363.6 - 9,374.8 Operating (loss) - - (10.1 ) (1.1 ) (1,783.3 ) - (1,794.5 ) Interest income / (expense), net - 528.1 64.8 (78.0 ) (993.4 ) - (478.5 ) Other (expense), net - - (110.4 ) (39.9 ) (1,906.0 ) - (2,056.3 ) Total other income / (expense), net - 528.1 (45.6 ) (117.9 ) (2,899.4 ) - (2,534.8 ) Income / (loss) before income taxes and noncontrolling interest - 528.1 (55.7 ) (119.0 ) (4,682.7 ) - (4,329.3 ) (Benefit) for income taxes - (0.2 ) - (59.0 ) (1,054.1 ) - (1,113.3 ) Losses / (earnings) of equity interest subsidiaries 3,230.5 3,782.4 - 2,225.8 - (9,238.7 ) - Net (loss) / income from continuing operations, net of tax $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,628.6 ) $ 9,238.7 $ (3,216.0 ) (Loss) from discontinued operations, net of tax - - - - (11.5 ) - (11.5 ) Net (loss) / income $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,640.1 ) $ 9,238.7 $ (3,227.5 ) (Income) attributable to noncontrolling interest - - - - (3.0 ) - (3.0 ) Net (loss) / income attributable to members $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,643.1 ) $ 9,238.7 $ (3,230.5 ) Other comprehensive income / (loss), net of tax 2,663.4 2,720.6 - 3,793.6 2,663.4 (9,177.6 ) 2,663.4 Comprehensive (loss) / income attributable to members $ (567.1 ) $ (533.5 ) $ (55.7 ) $ 1,507.8 $ (979.7 ) $ 61.1 $ (567.1 ) Warner Chilcott Limited Consolidating Statements of Cash Flows For the Six Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Cash Flows From Operating Activities: Net (loss) / income $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) Reconciliation to net cash provided by / (used in) operating activities: Losses / (earnings) of equity interest subsidiaries 603.7 1,201.5 - (505.6 ) - (1,299.6 ) - Depreciation - - - - 105.2 - 105.2 Amortization - - - - 3,394.7 - 3,394.7 Provision for inventory reserve - - - - 45.4 - 45.4 Share-based compensation - - - - 127.4 - 127.4 Deferred income tax benefit - - - - (1,359.6 ) - (1,359.6 ) In-process research and development impairments - - - - 798.0 - 798.0 Loss on asset sales and impairments, net - - - - 272.7 - 272.7 Gain on sale of Teva securities, net - - - - (60.9 ) - (60.9 ) Gain on sale of business - - - - (53.0 ) - (53.0 ) Non-cash extinguishment of debt - - 4.0 - - - 4.0 Cash charge related to extinguishment of debt - - (13.1 ) - - - (13.1 ) Amortization of deferred financing costs - - 11.1 0.8 - - 11.9 Contingent consideration adjustments, including accretion - - - - (101.8 ) - (101.8 ) Dividends from subsidiaries 2,103.7 - - - - (2,103.7 ) - Other, net - - (1.5 ) (0.4 ) 1.6 - (0.3 ) Changes in assets and liabilities (net of effects of acquisitions) - (1,225.0 ) 3,942.3 24.9 (2,578.4 ) - 163.8 Net cash provided by / (used in) operating activities 2,103.7 (698.6 ) 3,942.8 - (508.9 ) (2,103.7 ) 2,735.3 Cash Flows From Investing Activities: Additions to property, plant and equipment - - - - (106.5 ) - (106.5 ) Additions to investments - (400.0 ) - - (1,055.9 ) - (1,455.9 ) Proceeds from sale of investments and other assets - 800.0 - - 4,851.3 - 5,651.3 Payments to settle Teva related matters - - - - (466.0 ) - (466.0 ) Proceeds from sales of property, plant and equipment - - - - 11.5 - 11.5 Net cash provided by investing activities - 400.0 - - 3,234.4 - 3,634.4 Cash Flows From Financing Activities: Proceeds from borrowings of long-term indebtedness, including credit facility - 700.0 - - 9.0 - 709.0 Proceeds from forward sale of Teva securities - - - - 465.5 - 465.5 Payments on debt, including capital lease obligations and credit facility - (700.0 ) (3,956.0 ) - (710.8 ) - (5,366.8 ) Cash charge related to extinguishment of debt - - 13.1 - - - 13.1 Payments of contingent consideration and other financing - - - - (10.6 ) - (10.6 ) Payments to settle Teva related matters - - - - (234.0 ) - (234.0 ) Dividends to Parents (2,103.7 ) - - - (2,103.7 ) 2,103.7 (2,103.7 ) Net cash (used in) / provided by financing activities (2,103.7 ) - (3,942.9 ) - (2,584.6 ) 2,103.7 (6,527.5 ) Effect of currency exchange rate changes on cash and cash equivalents - - - - 15.0 - 15.0 Net (decrease) / increase in cash and cash equivalents - (298.6 ) (0.1 ) - 155.9 - (142.8 ) Cash and cash equivalents at beginning of period 0.1 593.1 0.1 - 1,223.0 - 1,816.3 Cash and cash equivalents at end of period $ 0.1 $ 294.5 $ 0.0 $ - $ 1,378.9 $ - $ 1,673.5 Warner Chilcott Limited Consolidating Statements of Cash Flows For the Six Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Cash Flows From Operating Activities: Net (loss) / income $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,640.1 ) $ 9,238.7 $ (3,227.5 ) Reconciliation to net cash provided by / (used in) operating activities: Losses / (earnings) of equity interest subsidiaries 3,230.5 3,782.4 - 2,225.8 - (9,238.7 ) - Depreciation - - - - 81.2 - 81.2 Amortization - - - - 3,493.9 - 3,493.9 Provision for inventory reserve - - - - 48.7 - 48.7 Share-based compensation - - - - 148.5 - 148.5 Deferred income tax benefit - - - - (1,478.8 ) - (1,478.8 ) In-process research and development impairments - - - - 1,043.3 - 1,043.3 Loss on asset sales and impairments, net - - - - 21.4 - 21.4 Net income impact of other-than-temporary loss on investment in Teva securities - - - - 1,978.0 - 1,978.0 Amortization of inventory step up - - - - 87.8 - 87.8 Non-cash extinguishment of debt - - 17.6 12.2 (38.0 ) - (8.2 ) Cash charge related to extinguishment of debt - - 91.6 26.1 52.8 - 170.5 Amortization of deferred financing costs - - 11.1 2.1 - - 13.2 Contingent consideration adjustments, including accretion - - - - 15.2 - 15.2 Dividends from subsidiaries 611.9 - - - - (611.9 ) - Other, net - (10.0 ) - - (12.6 ) - (22.6 ) Changes in assets and liabilities (net of effects of acquisitions) - (4,901.7 ) (176.4 ) 1,789.0 3,519.1 - 230.0 Net cash provided by / (used in) operating activities 611.9 (4,383.4 ) (111.8 ) 1,769.4 5,320.4 (611.9 ) 2,594.6 Cash Flows From Investing Activities: Additions to property, plant and equipment - - - - (137.2 ) - (137.2 ) Additions to product rights and other intangibles - - - - (586.3 ) - (586.3 ) Additions to investments - (3,989.6 ) - - (2,798.3 ) - (6,787.9 ) Proceeds from sale of investments and other assets - 7,866.4 - - 5,331.1 - 13,197.5 Proceeds from sales of property, plant and equipment - - - - 4.3 - 4.3 Acquisitions of business, net of cash acquired - - - - (5,290.4 ) - (5,290.4 ) Net cash provided by / (used in) investing activities - 3,876.8 - - (3,476.8 ) - 400.0 Cash Flows From Financing Activities: Proceeds from borrowings of long-term indebtedness, including credit facility - - 3,020.9 - 2.1 - 3,023.0 Debt issuance and other financing costs - - (17.5 ) - - - (17.5 ) Payments on debt, including capital lease obligations and credit facility - - (2,800.0 ) (1,743.3 ) (1,035.9 ) - (5,579.2 ) Cash charge related to extinguishment of debt - - (91.6 ) (26.1 ) (52.8 ) - (170.5 ) Payments of contingent consideration and other financing - - - - (505.1 ) - (505.1 ) Dividends to Parents (611.9 ) - - - (611.9 ) 611.9 (611.9 ) Net cash (used in) / provided by financing activities (611.9 ) - 111.8 (1,769.4 ) (2,203.6 ) 611.9 (3,861.2 ) Effect of currency exchange rate changes on cash and cash equivalents - - - - 11.5 - 11.5 Net (decrease) in cash and cash equivalents - (506.6 ) - - (348.5 ) - (855.1 ) Cash and cash equivalents at beginning of period 0.1 513.9 - - 1,199.2 - 1,713.2 Cash and cash equivalents at end of period $ 0.1 $ 7.3 $ - $ - $ 850.7 $ - $ 858.1 |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Implementation of New Guidance | Implementation of New Guidance On January 1, 2018, we adopted Accounting Standards Update (“ASU”) No. 2014-09, "Revenue from Contracts with Customers" (“Topic 606”) using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our historical accounting practices. The impact to revenues for the three and six months ended June 30, 2018 was not significant as a result of the adoption. The adoption of this guidance does not have a material impact on the Company’s financial position or results of operations as the Company’s sales primarily are governed by standard bill and ship terms of pharmaceutical products to customers. The Company applies the practical expedient as defined in Topic 606 to recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. These costs which are included in selling, general, and administrative expenses are consistent with the accounting prior to the adoption of Topic 606. The Company also elected to use the practical expedient to not adjust the promised amount of consideration for the effects of the time value of money for contracts in which the anticipated period between when the Company transfers the goods or services to the customer and when the customer pays is equal to one year or less. On January 1, 2018, the Company adopted ASU No. 2016-01, which now requires equity securities (including other ownership interests, such as partnerships, unincorporated joint ventures, and limited liability companies) to be measured at fair value with changes in the fair value recognized through net income. Under the previous guidance, changes in the fair value of equity securities were recognized through other comprehensive income. On January 1, 2018, the Company adopted ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Previously, GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. This prohibition on recognition was an exception to the principle of comprehensive recognition of current and deferred income taxes in GAAP. The amendment to the guidance eliminated the exception for an intra-entity transfer of an asset other than inventory and required an entity to recognize the income tax consequences when the transfer occurs. The following represents the impact on the Company's Consolidated Balance Sheet as a result of the adoption on January 1, 2018 of these accounting pronouncements ($ in millions): Increase / (decrease) Pronouncement Accounts receivable, net Prepaid expenses and other current assets Accounts payable and accrued expenses Deferred tax liabilities Retained earnings Accumulated other comprehensive income / (loss) Accounting Standards Update No. 2014-09 $ 1.9 $ - $ (3.6 ) $ - $ 5.5 $ - Accounting Standards Update No. 2016-01 $ - $ - $ - $ - $ 63.0 $ (63.0 ) Accounting Standards Update No. 2016-16 $ - $ (44.8 ) $ - $ (401.0 ) $ 356.2 $ - On January 1, 2018, the Company adopted ASU 2016-15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments. This standard amends and adjusts how cash receipts and cash payments are presented and classified in the statement of cash flows. As a result of the guidance, the Company retrospectively applied the standard which resulted in a reclassification of debt extinguishment costs from cash flows from operating activities to cash flows from financing activities. As a result of the guidance cash flows from operating activities increased by $170.5 million and cash flows from financing activities decreased by $170.5 million in the six months ended June 30, 2017. Cash flows from operating activities will increase by $205.6 million and cash flows from financing activities will decrease by $205.6 million for the year ended December 31, 2017. On January 1, 2018, the Company adopted ASU No. 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This update requires that an employer disaggregate the service cost component from the other components of net periodic benefit cost. Upon adoption, the Company recorded other components of the net periodic benefit cost with “other income / (expense), net.” |
Revenue Recognition | Revenue Recognition General Topic 606 provides that revenues are recognized when control of the promised goods under a contract is transferred to a customer, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods as specified in the underlying terms with the customer. The Company warrants products against defects and for specific quality standards, permitting the return of products under certain circumstances. Product sales are recorded net of all sales-related deductions including, but not limited to: chargebacks, trade discounts, commercial and government rebates, customer loyalty programs fee-for-service arrangements with certain distributors, returns, and other allowances which we refer to in the aggregate as sales returns and allowances (“SRA”). The Company’s performance obligations are primarily achieved when control of the products is transferred to the customer. Transfer of control is based on contractual performance obligations, but typically occurs upon receipt of the goods by the customer. Prior to the achievement of performance obligations, shipping and handling costs associated with outbound freight for a product to be transferred to a customer are accounted for as a fulfillment cost and are included in selling and marketing expenses. Other revenues earned are mainly comprised of royalty income from licensing of intellectual property. Royalty income is recognized when the licensee’s subsequent sale occurs. Refer to “NOTE 8 –Reportable Segments” for our revenues disaggregated by product and segment and our revenues disaggregated by geography for our international segment. We believe this level of disaggregation best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. Significant Payment Terms A contract with a customer states the final terms of the sale, including the description, quantity, and price of each product purchased. The Company’s payment terms vary by the type and location of the customer and the products offered. A customer agrees to a stated rate and price in the contract and given that most of the products sold contain variable consideration, the amount of revenue recognized incorporates adjustments for SRAs as appropriate. Determining the Transaction Price The Company offers discounts and rebates to certain customers who participate in various programs that are referred to as SRA allowances as described further below in the section “Provisions for SRAs”. Such discounting and rebating activity is included as part of the Company’s estimate of the transaction price and is accounted for as a reduction to gross sales. At time of sale, the Company records the related SRA adjustments to sales as described further below in the section “Provisions for SRAs”. The Company performs a level of validation each period to assess the adequacy of the liability or contra receivable recorded to reflect actual activity and will adjust the reserve balances accordingly. |
Provisions for SRAs | Provisions for SRAs As is customary in the pharmaceutical industry, certain customers may receive cash-based incentives or credits, which are variable consideration accounted for as SRAs. The Company estimates SRA amounts based on the expected amount to be provided to customers, which reduces the revenues recognized. The Company believes that there will not be significant changes to our estimates of variable consideration. The Company uses a variety of methods to assess the adequacy of the SRA reserves to ensure that our financial statements are fairly stated. These provisions are estimated based on historical payment experience, the historical relationship of the deductions to gross product revenues, government regulations, estimated utilization or redemption rates, estimated customer inventory levels and current contract sales terms. The estimation process used to determine our SRA provisions has been applied on a consistent basis and no material revenue adjustments have been necessary to increase or decrease our reserves for SRA as a result of a significant change in underlying estimates. Chargebacks — A chargeback represents an amount payable in the future to a wholesaler for the difference between the invoice price paid by such wholesaler customer for a particular product and the negotiated contract price that the wholesaler’s customer pays for that product. The chargeback provision and related reserve varies with changes in product mix, changes in customer pricing and changes to estimated wholesaler inventories. The provision for chargebacks also takes into account an estimate of the expected wholesaler sell-through levels to indirect customers at certain contract prices. The Company validates the chargeback accrual quarterly through a review of the inventory reports obtained from our largest wholesale customers. This customer inventory information is used to verify the estimated liability for future chargeback claims based on historical chargeback and contract rates. These large wholesalers represent the vast majority of the recipients of the Company’s chargeback credits. We continually monitor current pricing trends and wholesaler inventory levels to ensure the contra-receivable for future chargebacks is fairly stated. Rebates — Rebates include volume related incentives to direct and indirect customers, third-party managed care and Medicare Part D rebates, Medicaid rebates and other government rebates. Rebates are accrued based on an estimate of claims to be paid for product sold into trade by the Company. Volume rebates are generally contractually offered to customers as an incentive to use the Company’s products and to encourage greater product sales. These rebate programs include contracted rebates based on customers’ purchases made during an applicable monthly, quarterly or annual period. The provision for third-party rebates is estimated based on our customers’ contracted rebate programs and the Company’s historical experience of rebates paid. Any significant changes to our customer rebate programs are considered in establishing the provision for rebates. The provisions for government rebates are based, in part, upon historical experience of claims submitted by the various states and authorities, contractual terms and government regulations. We monitor legislative changes to determine what impact such legislation may have on our provision. Cash Discounts — Cash discounts are provided to customers that pay within a specific time period. The provision for cash discounts is estimated based upon invoice billings and historical customer payment experience. The Company’s experience of payment history is fairly consistent and most customer payments qualify for a cash discount. Returns and Other Allowances — The Company’s provision for returns and other allowances include returns, promotional allowances and loyalty cards. Consistent with industry practice, the Company maintains a returns policy that allows customers to return product for a credit. In accordance with the Company’s policy, credits for customer returns of products are applied against outstanding account activity or are settled in cash. Product exchanges are generally not permitted. Customer returns of product are generally not resalable. The Company’s estimate of the provision for returns is based upon historical experience and current trends of actual customer returns. Additionally, we consider other factors when estimating the current period returns provision, including levels of inventory in the distribution channel, as well as significant market changes which may impact future expected returns. Promotional allowances are credits with no discernable benefit offered to Allergan that are issued in connection with a product launch or as an incentive for customers to carry our product. The Company establishes a reserve for promotional allowances based upon contractual terms. Loyalty cards allow end-user patients a discount per prescription and are accrued based on historical experience, contract terms and the volume of product and cards in the distribution channel. The following table summarizes the activity from continuing operations in the Company’s major categories of SRA ($ in millions): Chargebacks Rebates Returns and Other Allowances Cash Discounts Total Balance at December 31, 2017 $ 77.2 $ 1,799.2 $ 517.6 $ 36.5 $ 2,430.5 Provision related to sales in 2018 550.9 2,556.5 859.6 155.4 4,122.4 Credits and payments (565.6 ) (2,622.2 ) (842.1 ) (161.8 ) (4,191.7 ) Balance at June 30, 2018 $ 62.5 $ 1,733.5 $ 535.1 $ 30.1 $ 2,361.2 Contra accounts receivable at June 30, 2018 $ 62.5 $ 67.4 $ 42.9 $ 30.1 $ 202.9 Accounts payable and accrued expenses at June 30, 2018 $ - $ 1,666.1 $ 492.2 $ - $ 2,158.3 The following table summarizes the balance sheet classification of our SRA reserves ($ in millions): June 30, 2018 December 31, 2017 Contra accounts receivable $ 202.9 $ 250.6 Accounts payable and accrued expenses 2,158.3 2,179.9 Total $ 2,361.2 $ 2,430.5 The SRA provisions recorded to reduce gross product sales to net product sales, excluding discontinued operations, were as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Gross product sales $ 6,095.5 $ 5,888.4 $ 11,711.6 $ 11,270.8 Provisions to reduce gross product sales to net product sales (2,087.3 ) (1,977.3 ) (4,122.4 ) (3,869.9 ) Net product sales $ 4,008.2 $ 3,911.1 $ 7,589.2 $ 7,400.9 Percentage of SRA provisions to gross sales 34.2 % 33.6 % 35.2 % 34.3 % Collectability Assessment At the time of contract inception or customer account set-up, the Company performs a collectability assessment on the creditworthiness of such customer. The Company assesses the probability that the Company will collect the consideration to which it will be entitled in exchange for the goods sold. In evaluating collectability, the Company considers the customer’s ability and intention to pay consideration when it is due. On a recurring basis, the Company estimates the amount of uncollectible receivables to reflect allowances for doubtful accounts. Practical Expedients and Exemptions The Company generally expenses sales commissions when incurred because the amortization period is one year or less. These costs are recorded within selling and marketing expenses. The Company does not adjust the promised amount of consideration for the effects of the time value of money for contracts in which the anticipated period between when the Company transfers the goods or services to the customer and when the customer pays is equal to one year or less. The Company has chosen not to elect the remaining practical expedients. Goodwill and Intangible Assets with Indefinite Lives General The Company tests goodwill and intangible assets with indefinite lives for impairment annually in the second quarter. Additionally, the Company may perform interim tests if an event occurs or circumstances change that could potentially reduce the fair value of a reporting unit or indefinite lived intangible asset below its carrying amount. The carrying value of each reporting unit is determined by assigning the assets and liabilities, including the existing goodwill and intangible assets, to those reporting units. The Company tests goodwill for impairment by either performing a qualitative evaluation or a quantitative test. The qualitative evaluation is an assessment of factors, including Reporting Unit specific operating results as well as industry, market and general economic conditions, to determine whether it is more likely than not that the fair values of a Reporting Unit is less than its carrying amount, including goodwill. The Company may elect to bypass this qualitative assessment for some or all of its Reporting Units and perform a quantitative test. Goodwill is considered impaired if the carrying amount of the net assets exceeds the fair value of the reporting unit. Impairment, if any, would be recorded in operating income / (loss) and this could result in a material impact to net income / (loss) and income / (loss) per share. Prior to Allergan’s annual impairment test, the Company adopted the new guidance under Accounting Standard Update No. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment Acquired in-process research and development (“IPR&D”) intangible assets represent the value assigned to research and development projects acquired in a business combination that, as of the date acquired, represent the right to develop, use, sell and/or offer for sale a product or other intellectual property that has not been completed or approved. The IPR&D intangible assets are subject to impairment testing until completion or abandonment of each project. Upon abandonment, the assets are impaired if there is no future alternative use or ability to sell the asset. Impairment testing requires the development of significant estimates and assumptions involving the determination of estimated net cash flows for each year for each project or product (including net revenues, cost of sales, research and development (“R&D”) costs, selling and marketing costs and other costs which may be allocated), determination of the appropriate discount rate in order to measure the risk inherent in each future cash flow stream, assessment of each asset’s life cycle, potential regulatory and commercial success risks, and competitive trends impacting the asset and each cash flow stream as well as other factors. The major risks and uncertainties associated with the timely and successful completion of IPR&D projects include legal risk, market risk and regulatory risk. Changes in our assumptions could result in future impairment charges. No assurances can be given that the underlying assumptions used to prepare the discounted cash flow analysis will not change or the timely completion of each project and commercial success will occur. For these and other reasons, actual results may vary significantly from estimated results. Upon successful completion of each project and approval of a product, we will make a separate determination of the useful life of the intangible asset, transfer the amount to currently marketed products (“CMP”) and amortization expense will be recorded over the estimated useful life. Annual Testing 2018 The Company performed its annual goodwill impairment test during the second quarter of 2018 by evaluating its five Reporting Units. In performing this test, the Company utilized long-term growth rates for its Reporting Units ranging from 1.0% to 2.0% in its estimation of fair value and discount rates ranging from 8.5% to 10.0%, which is an increase versus the prior year discount rates of 7.5% to 8.5% to reflect changes in market conditions. The assumptions used in evaluating goodwill for impairment are subject to change and are tracked against historical results by management. Changes in the key assumptions by management can change the results of testing. Of the Reporting Units tested, the Company’s US Eye Care Reporting Unit, which is a component of its US Specialized Therapeutics Segment and has an allocated goodwill balance of $9,824.8 million and its General Medicine Reporting Unit are the most sensitive to a change in future valuation assumptions. These Reporting Units had the lowest level of headroom. While management believes the assumptions used are reasonable and commensurate with the views of a market participant, changes in key assumptions for these Reporting Units, including increasing the discount rate, lowering revenue forecasts, lowering the operating margin or lowering long-term growth rate, could result in a future impairment. The Company performed its annual IPR&D impairment test in the second quarter of 2018. Based on events occurring or decisions made within the quarter ended June 30, 2018, the Company recorded the following impairments: • The Company impaired an eye care project obtained as part of the acquisition of Allergan, Inc. (the “Allergan Acquisition”) by $164.0 million as a result of changes in launch plans based on clinical results. • The Company impaired a project obtained as part of the acquisition of Vitae Pharmaceuticals, Inc. by $40.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired a medical dermatology project obtained as part of the Allergan Acquisition by $27.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired an eye care project obtained as part of the Allergan Acquisition by $20.0 million as the result of a strategic decision to no longer pursue approval internationally. • The Company impaired a CNS project obtained as part of the Allergan Acquisition by $19.0 million due to a delay in clinical studies and anticipated approval date. • The Company impaired an eye care project obtained as part of the Allergan Acquisition by $6.0 million due to a delay in clinical studies and anticipated approval date. 2017 During the second quarter of 2017, the Company performed its annual IPR&D impairment test and recorded the following IPR&D impairments: • $486.0 million related to an anticipated approval delay due to certain product specifications for a CNS project obtained as part of the Allergan Acquisition; • a $91.3 million impairment of a women’s healthcare project based on the Company’s intention to divest a non-strategic asset; • a $57.0 million ($257.0 million year to date) impairment due to a delay in an anticipated launch of a women’s healthcare project; • a $44.0 million impairment resulting from a decrease in projected cash flows due to a decline in market demand assumptions of an eye care project obtained as part of the Allergan Acquisition; and • a $20.0 million impairment of an eye care project obtained as part of the Allergan Acquisition. |
Earnings Per Share ("EPS") | Earnings Per Share (“EPS”) The Company computes EPS in accordance with Accounting Standards Codification (“ASC”) Topic 260, “Earnings Per Share” (“ASC 260”) and related guidance, which requires two calculations of EPS to be disclosed: basic and diluted. Basic EPS is computed by dividing net (loss) by the weighted average ordinary shares outstanding during a period. Diluted EPS is based on the treasury stock method and includes the effect from potential issuance of ordinary shares, such as shares issuable pursuant to the exercise of stock options and restricted stock units. Diluted EPS also includes the impact of ordinary share equivalents issued (or issuable in 2017) upon the mandatory conversion of the Company’s preferred shares which occurred on March 1, 2018. Ordinary share equivalents have been excluded where their inclusion would be anti-dilutive to continuing operations. A reconciliation of the numerators and denominators of basic and diluted EPS consisted of the following ($ in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Net (loss): Net (loss) attributable to ordinary shareholders excluding income from discontinued operations, net of tax $ (472.5 ) $ (787.1 ) $ (805.0 ) $ (3,418.8 ) (Loss) from discontinued operations, net of tax - (8.4 ) - (11.5 ) Net (loss) attributable to ordinary shareholders $ (472.5 ) $ (795.5 ) $ (805.0 ) $ (3,430.3 ) Basic weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Basic EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) Dividends per ordinary share $ 0.72 $ 0.70 $ 1.44 $ 1.40 Diluted weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Diluted EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) Stock awards to purchase 2.2 million ordinary shares for the three and six months ended June 30, 2018 were outstanding, but not included in the computation of diluted EPS, because the awards were anti-dilutive. Stock awards to purchase 3.9 million and 4.2 million ordinary shares for the three and six months ended June 30, 2017, respectively, were outstanding, but not included in the computation of diluted EPS, because the awards were anti-dilutive. The weighted average impact of ordinary share equivalents of 5.8 million for the six months ended June 30, 2018, which would result from the mandatory conversion of the Company’s preferred shares at the beginning of the period were not included in the calculation of diluted EPS as their impact would be anti-dilutive. The Company’s preferred shares were converted to ordinary shares on March 1, 2018. The weighted average impact of ordinary share equivalents of 17.6 million for the three and six months ended June 30, 2017, which were anticipated to result from the mandatory conversion of the Company’s preferred shares were not included in the calculation of diluted EPS as their impact would be anti-dilutive. Refer to “NOTE 15 –Shareholders’ Equity” for further discussion on the Company’s Share Repurchase Program. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-02, which states that a lessee should recognize the assets and liabilities that arise from leases. This update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. While the Company has not yet completed its assessment, the adoption of the guidance is anticipated to have a material impact on the Company’s financial position. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU is intended to improve financial reporting by requiring timelier recording of credit losses on loans and other financial instruments held by financial institutions and other organizations. The ASU requires the measurement of all expected credit losses for financial assets including trade receivables held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early application will be permitted for all organizations for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company is evaluating the impact, if any, that this pronouncement will have on our financial position and results of operations. In March 2017, The FASB issued ASU No. 2017-08, Receivables—Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities. The ASU shortens the amortization period for certain callable debt securities held at a premium and requires the premium to be amortized to the earliest call date, but does not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. Entities are required to apply the amendments on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The entity is required to provide disclosures about a change in accounting principle in the period of adoption. The Company is evaluating the impact these amendments will have on our financial position and results of operations. In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815) — Targeted Improvements to Accounting for Hedging Activities. The amendments to the guidance will better align an entity’s risk management activities and financial reporting for hedging relationships through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results. To meet that objective, the amendments expand and refine hedge accounting for both nonfinancial and financial risk components and align the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The amendments also make certain targeted improvements to simplify the application of hedge accounting guidance and ease the administrative burden of hedge documentation requirements and assessing hedge effectiveness. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted in any interim period or fiscal years before the effective date of the amendments. |
Reconciliation of Warner Chil28
Reconciliation of Warner Chilcott Limited Results to Allergan plc Results (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Adjusted Earnings Before Interest Taxes Depreciation And Amortization And Other Non Cash Items [Abstract] | |
Summary of Financial Position Reconciliation Results of Warner Chilcott Limited to Allergan Plc | As of June 30, 2018 As of December 31, 2017 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference Cash and cash equivalents $ 1,674.7 $ 1,673.5 $ 1.2 $ 1,817.2 $ 1,816.3 $ 0.9 Prepaid expenses and other current assets 724.2 722.9 1.3 1,123.9 1,123.0 0.9 Deferred tax assets 899.9 896.8 3.1 319.1 316.0 3.1 Accounts payable and accrued liabilities 4,683.8 4,681.6 2.2 5,541.4 5,515.6 25.8 Income taxes payable 93.0 92.5 0.5 74.9 74.9 - Other taxes payables 1,576.6 1,576.2 0.4 1,573.9 1,573.5 0.4 Deferred tax liabilities 5,137.5 5,140.5 (3.0 ) 6,352.4 6,349.4 3.0 Total equity 71,264.0 78,676.2 (7,412.2 ) 73,837.1 81,282.2 (7,445.1 ) |
Summary of Operations Reconciliation Results of Warner Chilcott Limited to Allergan Plc | Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference General and administrative expenses $ 334.1 $ 299.5 $ 34.6 $ 630.0 $ 593.6 $ 36.4 Operating (loss) (467.0 ) (432.4 ) (34.6 ) (1,121.0 ) (1,084.6 ) (36.4 ) Interest income 6.3 71.8 (65.5 ) 23.6 142.1 (118.5 ) (Loss) before income taxes and noncontrolling interest (475.3 ) (375.2 ) (100.1 ) (1,441.4 ) (1,286.5 ) (154.9 ) Net (loss) from continuing operations, net of tax (470.1 ) (370.0 ) (100.1 ) (754.0 ) (599.1 ) (154.9 ) Net (loss) (470.1 ) (370.0 ) (100.1 ) (754.0 ) (599.1 ) (154.9 ) Dividends on preferred shares - - - 46.4 - 46.4 Net (loss) attributable to ordinary shareholders/members (472.5 ) (372.4 ) (100.1 ) (805.0 ) (603.7 ) (201.3 ) Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Allergan plc Warner Chilcott Limited Difference Allergan plc Warner Chilcott Limited Difference General and administrative expenses $ 459.8 $ 447.7 $ 12.1 $ 775.9 $ 762.0 $ 13.9 Operating (loss) (902.4 ) (890.3 ) (12.1 ) (1,808.4 ) (1,794.5 ) (13.9 ) Interest income 16.6 37.2 (20.6 ) 41.9 88.6 (46.7 ) (Loss) before income taxes and noncontrolling interest (1,296.7 ) (1,264.0 ) (32.7 ) (4,389.9 ) (4,329.3 ) (60.6 ) Net (loss) from continuing operations, net of tax (715.5 ) (682.8 ) (32.7 ) (3,276.6 ) (3,216.0 ) (60.6 ) Net (loss) (723.9 ) (691.2 ) (32.7 ) (3,288.1 ) (3,227.5 ) (60.6 ) Dividends on preferred shares 69.6 - 69.6 139.2 - 139.2 Net (loss) attributable to ordinary shareholders/members (795.5 ) (693.2 ) (102.3 ) (3,430.3 ) (3,230.5 ) (199.8 ) |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Impact on Company's Balance Sheet Due to Adoption of Accounting Pronouncements | The following represents the impact on the Company's Consolidated Balance Sheet as a result of the adoption on January 1, 2018 of these accounting pronouncements ($ in millions): Increase / (decrease) Pronouncement Accounts receivable, net Prepaid expenses and other current assets Accounts payable and accrued expenses Deferred tax liabilities Retained earnings Accumulated other comprehensive income / (loss) Accounting Standards Update No. 2014-09 $ 1.9 $ - $ (3.6 ) $ - $ 5.5 $ - Accounting Standards Update No. 2016-01 $ - $ - $ - $ - $ 63.0 $ (63.0 ) Accounting Standards Update No. 2016-16 $ - $ (44.8 ) $ - $ (401.0 ) $ 356.2 $ - |
Provisions for Sales Returns and Allowances from Continuing Operations Activity | The following table summarizes the activity from continuing operations in the Company’s major categories of SRA ($ in millions): Chargebacks Rebates Returns and Other Allowances Cash Discounts Total Balance at December 31, 2017 $ 77.2 $ 1,799.2 $ 517.6 $ 36.5 $ 2,430.5 Provision related to sales in 2018 550.9 2,556.5 859.6 155.4 4,122.4 Credits and payments (565.6 ) (2,622.2 ) (842.1 ) (161.8 ) (4,191.7 ) Balance at June 30, 2018 $ 62.5 $ 1,733.5 $ 535.1 $ 30.1 $ 2,361.2 Contra accounts receivable at June 30, 2018 $ 62.5 $ 67.4 $ 42.9 $ 30.1 $ 202.9 Accounts payable and accrued expenses at June 30, 2018 $ - $ 1,666.1 $ 492.2 $ - $ 2,158.3 |
Schedule of Balance Sheet Classification of SRA Reserves | The following table summarizes the balance sheet classification of our SRA reserves ($ in millions): June 30, 2018 December 31, 2017 Contra accounts receivable $ 202.9 $ 250.6 Accounts payable and accrued expenses 2,158.3 2,179.9 Total $ 2,361.2 $ 2,430.5 |
Summary of Activity in Gross-to-Net Revenue Excluding Discontinued Operations | The SRA provisions recorded to reduce gross product sales to net product sales, excluding discontinued operations, were as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Gross product sales $ 6,095.5 $ 5,888.4 $ 11,711.6 $ 11,270.8 Provisions to reduce gross product sales to net product sales (2,087.3 ) (1,977.3 ) (4,122.4 ) (3,869.9 ) Net product sales $ 4,008.2 $ 3,911.1 $ 7,589.2 $ 7,400.9 Percentage of SRA provisions to gross sales 34.2 % 33.6 % 35.2 % 34.3 % |
Earnings Per Share | A reconciliation of the numerators and denominators of basic and diluted EPS consisted of the following ($ in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Net (loss): Net (loss) attributable to ordinary shareholders excluding income from discontinued operations, net of tax $ (472.5 ) $ (787.1 ) $ (805.0 ) $ (3,418.8 ) (Loss) from discontinued operations, net of tax - (8.4 ) - (11.5 ) Net (loss) attributable to ordinary shareholders $ (472.5 ) $ (795.5 ) $ (805.0 ) $ (3,430.3 ) Basic weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Basic EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) Dividends per ordinary share $ 0.72 $ 0.70 $ 1.44 $ 1.40 Diluted weighted average ordinary shares outstanding 339.1 335.2 336.9 335.2 Diluted EPS: Continuing operations $ (1.39 ) $ (2.35 ) $ (2.39 ) $ (10.20 ) Discontinued operations $ - $ (0.02 ) $ - $ (0.03 ) Net (loss) per share $ (1.39 ) $ (2.37 ) $ (2.39 ) $ (10.23 ) |
Acquisitions and Other Agreem30
Acquisitions and Other Agreements (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Zeltiq Aesthetics, Inc. [Member] | |
Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date and Purchase Accounting Adjustments Subsequent to Acquisition Date | The following table summarizes the final fair values of the assets acquired and liabilities assumed at the acquisition date and reflects purchase accounting adjustments subsequent to the acquisition date ($ in millions): Final Valuation Cash and cash equivalents $ 36.7 Accounts receivable 47.0 Inventories 59.3 Property, plant and equipment 12.4 Intangible assets 1,185.0 Goodwill 1,211.6 Other assets 17.1 Accounts payable and accrued expenses (104.6 ) Deferred revenue (10.6 ) Deferred taxes, net (47.2 ) Other liabilities (1.3 ) Net assets acquired $ 2,405.4 |
Other Income _ (Expense) (Table
Other Income / (Expense) (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Other Income And Expenses [Abstract] | |
Components of Other Income / (Expense) | Other income / (expense) consisted of the following ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Teva Share Activity $ 138.6 $ - $ 60.9 $ (1,978.0 ) Sale of business 53.0 - 53.0 - Debt extinguishment other 9.1 - 9.1 - Debt extinguishment costs as part of the debt tender offer - (161.5 ) - (161.5 ) Dividend income - 34.1 - 68.2 Naurex recovery - - - 20.0 Other income / (expense), net 14.7 (6.1 ) 13.6 (5.0 ) Other income / (expense), net $ 215.4 $ (133.5 ) $ 136.6 $ (2,056.3 ) |
Summary of Teva Share Activity | During the three and six months ended June 30, 2018, the Company recorded the following movements in its investment in Teva securities (defined herein as “Teva Share Activity”) ($ in millions except per share information): Shares Carrying Value per Share Market Price Proceeds Received Value of Marketable Securities Unrealized Gain / (Loss) as a Component of Other Comprehensive Income Gain / (Loss) Recognized in Other Income/ (Expense), Net Derivative Instrument (Liability)/ Asset Retained Earnings Teva securities as of December 31, 2017 95.9 $ 17.60 $ 18.95 n.a. $ 1,817.7 $ 129.3 $ - $ (62.9 ) $ - Impact of ASU No. 2016-01 - - - - - (129.3 ) - - 129.3 Settlement of initial accelerated share repurchase ("ASR"), net (25.0 ) 18.95 16.53 * 413.3 (473.8 ) - 2.5 62.9 - Forward sale entered into during the three months ended March 31, 2018 ** n.a. n.a. 372.3 n.a. - 19.0 (353.3 ) - Open market sales (11.5 ) n.a. 19.95 229.9 (218.5 ) - 11.5 - - Other fair value movements during the three months ended March 31, 2018 - n.a. n.a. n.a. (110.7 ) - (110.7 ) - - Teva securities as of and for the three months ended March 31, 2018 59.4 $ 17.09 $ 17.09 $ 1,015.5 $ 1,014.7 $ - $ (77.7 ) $ (353.3 ) $ 129.3 Settlement of forward sale entered into during the three months ended March 31, 2018, net (25.0 ) 17.09 18.61 *** 93.2 (427.3 ) - 19.2 353.3 - Open market sales (34.4 ) n.a. 20.55 706.8 (587.4 ) - 119.4 - - Teva securities as of and for the six months ended June 30, 2018 - $ - $ - $ 1,815.5 $ - $ - $ 60.9 $ - $ 129.3 * Market price represents average price over the life of the contract. On the January 17, 2018 settlement date, the closing stock price of Teva securities was $21.48. ** On February 13, 2018, the Company entered into a forward sale transaction under which we delivered 25.0 million Teva shares to the transaction counterparty and received proceeds of $372.3 million in exchange for the shares. The forward sale transaction settled during the second quarter of 2018. As a result of the transaction, and in accordance with ASC Topic 860 - Transfers and Servicing, the marketable securities were reported on the Company's balance sheet until the contract settled on May 7, 2018. *** Market price represents average price over the life of the contract. On the May 7, 2018 settlement date, the closing stock price of Teva securities was $18.62. During the three and six months ended June 30, 2017, the Company recorded the following movements in its investment in Teva securities ($ in millions except per share information): Shares Carrying Value per Share Market Price Discount Movement in the Value of Marketable Securities Unrealized Gain / (Loss) as a Component of Other Comprehensive Income Gain / (Loss) Recognized in Other Income/ (Expense), Net Teva securities as of December 31, 2016 100.3 $ 53.39 $ 36.25 5.4 % $ 3,439.2 $ (1,599.4 ) $ - Other-than-temporary impairment recognized at March 31, 2017 100.3 32.09 32.09 4.9 % (378.6 ) 1,599.4 (1,978.0 ) Teva securities as of and for the three months ended March 31, 2017 100.3 $ 32.09 $ 32.09 4.9 % $ 3,060.6 $ - $ (1,978.0 ) Other fair value movements during the three months ended June 30, 2017 100.3 32.09 33.22 1.9 % 207.8 207.8 - Teva securities as of and for the six months ended June 30, 2017 100.3 $ 32.09 $ 33.22 1.9 % $ 3,268.4 $ 207.8 $ (1,978.0 ) The Teva stock price was discounted due to the lack of marketability. |
Summary of Redeemed and Retired Senior Notes | During the three and six months ended June 30, 2018, the Company redeemed and retired the following senior notes ($ in millions): Tranche Face Value Retired Cash Paid for Retirement Remaining Value at June 30, 2018 2.450% due 2019 $ 8.8 $ 8.8 $ 491.2 3.000% due 2020 40.7 40.6 3,459.3 3.450% due 2022 59.5 58.6 2,940.5 3.850% due 2024 11.2 10.9 1,188.8 3.800% due 2025 85.0 82.6 3,915.0 4.550% due 2035 115.0 110.1 2,385.0 4.850% due 2044 59.0 57.3 1,441.0 4.750% due 2045 76.7 73.9 1,123.3 Total $ 455.9 $ 442.8 $ 16,944.1 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Fair Value Assumptions of Options based on Black-Scholes Valuation Model | Using the Black-Scholes valuation model, the fair value of options is based on the following assumptions: 2018 Grants 2017 Grants Dividend yield 1.8 - 1.9% 1.2% Expected volatility 27.0% 27.0% Risk-free interest rate 2.2 - 2.8% 2.0 - 2.3% Expected term (years) 7.0 7.0 |
Share-Based Compensation Expense Recognized in Company's Results of Operations | Share-based compensation expense recognized in the Company’s results of operations for the three and six months ended June 30, 2018 and 2017 was as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Equity-based compensation awards $ 54.9 $ 85.8 $ 127.4 $ 148.5 Cash-settled awards in connection with the Zeltiq Acquisition - 31.5 - 31.5 Non-equity settled awards other - - - 13.1 Total share-based compensation expense $ 54.9 $ 117.3 $ 127.4 $ 193.1 |
Summary of Impact of Accelerations and Step-ups Relating to Acquisition Accounting Treatment of Outstanding Awards | Included in the share-based compensation awards for the three and six months ended June 30, 2018 and 2017 is the impact of accelerations and step-ups relating to the acquisition accounting treatment of outstanding awards acquired in the Zeltiq Acquisition, the Allergan Acquisition, and the acquisition of Forest Laboratories, Inc. (the “Forest Acquisition”) as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Zeltiq Acquisition $ 2.4 $ 37.7 $ 6.5 $ 37.7 Allergan Acquisition 1.0 10.4 6.7 27.8 Forest Acquisition - 2.9 - 7.5 Total $ 3.4 $ 51.0 $ 13.2 $ 73.0 |
Summary of Equity Award Activity for Unvested Restricted Stock and Stock Units | The following is a summary of equity award activity for unvested restricted stock and stock units in the period from December 31, 2017 through June 30, 2018 (in millions, except per share data): Shares Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Term (Years) Aggregate Grant Date Fair Value Restricted shares / units outstanding at December 31, 2017 2.0 $ 237.72 1.8 $ 484.1 Granted 1.4 140.43 196.6 Vested (0.5 ) (251.60 ) (125.8 ) Forfeited (0.2 ) (205.00 ) (41.0 ) Restricted shares / units outstanding at June 30, 2018 2.7 $ 190.48 2.0 $ 513.9 |
Summary of Equity Award Activity for Non-Qualified Options to Purchase Ordinary Shares | The following is a summary of equity award activity for non-qualified options to purchase ordinary shares in the period from December 31, 2017 through June 30, 2018 (in millions, except per share data): Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, December 31, 2017 7.3 $ 120.94 5.2 $ 312.7 Granted 0.2 150.82 Exercised (0.6 ) 105.85 Cancelled (0.1 ) 244.14 Outstanding, vested and expected to vest at June 30, 2018 6.8 $ 122.06 4.8 $ 303.6 |
Reportable Segments (Tables)
Reportable Segments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Net Revenues, Operating Expenses Contribution Information by Reportable Segment | Segment net revenues, segment operating expenses and segment contribution information consisted of the following for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Net revenues $ 1,826.7 $ 1,320.0 $ 948.9 $ 4,095.6 Operating expenses: Cost of sales (1) 148.7 201.8 139.4 489.9 Selling and marketing 343.3 254.8 246.2 844.3 General and administrative 48.1 34.7 33.9 116.7 Segment contribution $ 1,286.6 $ 828.7 $ 529.4 $ 2,644.7 Contribution margin 70.4 % 62.8 % 55.8 % 64.6 % Corporate (2) 189.8 Research and development 689.2 Amortization 1,697.1 In-process research and development impairments 276.0 Asset sales and impairments, net 259.6 Operating (loss) $ (467.0 ) Segment operating margin (11.4 )% (1) (2) Three Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Net revenues $ 1,715.0 $ 1,427.7 $ 858.5 $ 4,001.2 Operating expenses: Cost of sales (1) 128.8 203.2 125.0 457.0 Selling and marketing 356.8 288.1 238.9 883.8 General and administrative 49.8 41.3 28.3 119.4 Segment contribution $ 1,179.6 $ 895.1 $ 466.3 $ 2,541.0 Contribution margin 68.8 % 62.7 % 54.3 % 63.5 % Corporate (2) 478.8 Research and development 489.4 Amortization 1,757.9 In-process research and development impairments 703.3 Asset sales and impairments, net 14.0 Operating (loss) $ (902.4 ) Segment operating margin (22.6 )% (1) (2) Six Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Net revenues $ 3,405.3 $ 2,543.7 $ 1,812.9 $ 7,761.9 Operating expenses: Cost of sales (1) 282.9 384.4 260.3 927.6 Selling and marketing 656.5 480.3 491.9 1,628.7 General and administrative 98.3 73.6 65.3 237.2 Segment contribution $ 2,367.6 $ 1,605.4 $ 995.4 $ 4,968.4 Contribution margin 69.5 % 63.1 % 54.9 % 64.0 % Corporate (2) 460.1 Research and development 1,163.9 Amortization 3,394.7 In-process research and development impairments 798.0 Asset sales and impairments, net 272.7 Operating (loss) $ (1,121.0 ) Segment operating margin (14.4 )% (1) (2) Six Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Net revenues $ 3,197.0 $ 2,773.5 $ 1,595.8 $ 7,566.3 Operating expenses: Cost of sales (1) 218.0 397.7 225.3 841.0 Selling and marketing 687.2 590.6 448.4 1,726.2 General and administrative 94.6 82.0 58.2 234.8 Segment contribution $ 2,197.2 $ 1,703.2 $ 863.9 $ 4,764.3 Contribution margin 68.7 % 61.4 % 54.1 % 63.0 % Corporate (2) 764.8 Research and development 1,249.3 Amortization 3,493.9 In-process research and development impairments 1,043.3 Asset sales and impairments, net 21.4 Operating (loss) $ (1,808.4 ) Segment operating margin (23.9 )% (1) (2) |
Presents of Net Revenue Disaggregated by Geography for International Segment | The following table presents our net revenue disaggregated by geography for our international segment for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Europe $ 413.3 $ 378.1 $ 811.7 $ 704.7 Asia Pacific, Middle East and Africa 283.6 236.3 524.4 448.4 Latin America and Canada 230.8 215.6 442.9 398.4 Other* 21.2 28.5 33.9 44.3 Total International $ 948.9 $ 858.5 $ 1,812.9 $ 1,595.8 *Includes royalty and other revenue |
Schedule of Revenue Classified by Products and Reconciliation of Segment Revenues to Total Net Revenues | The following tables present global net revenues for the top products of the Company as well as a reconciliation of segment revenues to total net revenues for the three and six months ended June 30, 2018 and 2017 ($ in millions): Three Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Botox ® $ 658.5 $ - $ 276.0 $ 934.5 Restasis ® 318.2 - 16.0 334.2 Juvederm ® 139.8 - 156.1 295.9 Linzess ® ® - 191.8 6.4 198.2 Lumigan ® ® 73.0 - 100.5 173.5 Bystolic ® ® - 148.1 0.6 148.7 Alphagan ® ® 98.1 - 44.6 142.7 Lo Loestrin ® - 127.8 - 127.8 Eye Drops 53.8 - 72.4 126.2 Breast Implants 75.9 - 39.9 115.8 Vraylar ™ - 114.2 - 114.2 Alloderm ® 107.1 - 2.3 109.4 Ozurdex ® 27.6 - 67.9 95.5 Coolsculpting ® 71.9 - 18.5 90.4 Viibryd ® ® - 86.7 1.6 88.3 Zenpep ® - 55.5 - 55.5 Carafate ® ® - 54.3 0.7 55.0 Canasa ® ® - 45.0 4.5 49.5 Armour Thyroid - 49.2 - 49.2 Coolsculpting ® 36.4 - 12.4 48.8 Viberzi ® - 44.9 0.3 45.2 Asacol ® ® - 32.6 12.4 45.0 Saphris ® - 33.8 - 33.8 Teflaro ® - 32.4 0.6 33.0 Namzaric ® - 31.8 - 31.8 Avycaz ® - 23.5 - 23.5 SkinMedica ® 20.8 - 2.0 22.8 Rapaflo ® 19.7 - 1.6 21.3 Aczone ® 21.1 - 0.1 21.2 Savella ® - 19.1 - 19.1 Dalvance ® - 17.7 1.3 19.0 Latisse ® 13.5 - 2.1 15.6 Liletta ® - 15.5 - 15.5 Lexapro ® - 14.5 - 14.5 Kybella ® ® 11.2 - 2.3 13.5 Estrace ® - 13.1 - 13.1 Tazorac ® 6.4 - 0.2 6.6 Namenda XR ® - 3.4 - 3.4 Minastrin ® - 0.8 - 0.8 Other 73.7 164.3 105.6 343.6 Total segment revenues $ 1,826.7 $ 1,320.0 $ 948.9 $ 4,095.6 Corporate revenues 28.6 Total net revenues $ 4,124.2 Three Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Botox ® $ 574.0 $ - $ 242.1 $ 816.1 Restasis ® 336.4 - 17.3 353.7 Juvederm ® 126.2 - 137.3 263.5 Lumigan ® ® 79.0 - 94.4 173.4 Linzess ® ® - 167.8 5.5 173.3 Bystolic ® ® - 150.7 0.5 151.2 Alphagan ® ® 96.4 - 42.7 139.1 Eye Drops 50.7 - 70.7 121.4 Namenda XR ® - 118.7 - 118.7 Lo Loestrin ® - 113.0 - 113.0 Breast Implants 61.3 - 41.1 102.4 Estrace ® - 90.1 - 90.1 Alloderm ® 84.6 - 2.3 86.9 Viibryd ® ® - 85.2 0.7 85.9 Ozurdex ® 24.9 - 51.2 76.1 Vraylar ™ - 66.3 - 66.3 Coolsculpting ® 47.9 - 12.5 60.4 Carafate ® ® - 59.2 0.7 59.9 Asacol ® ® - 45.6 12.8 58.4 Zenpep ® - 50.5 - 50.5 Saphris ® - 43.0 - 43.0 Canasa ® ® - 38.4 4.3 42.7 Armour Thyroid - 42.0 - 42.0 Viberzi ® - 41.3 0.1 41.4 Coolsculpting ® 31.0 - 10.2 41.2 Aczone ® 41.0 - 0.1 41.1 Namzaric ® - 33.4 - 33.4 Teflaro ® - 33.0 - 33.0 Rapaflo ® 25.7 - 1.7 27.4 Savella ® - 26.0 - 26.0 SkinMedica ® 25.4 - - 25.4 Dalvance ® - 15.2 1.2 16.4 Latisse ® 13.3 - 2.4 15.7 Kybella ® ® 12.7 - 2.0 14.7 Avycaz ® - 14.5 - 14.5 Lexapro ® - 13.1 - 13.1 Tazorac ® 12.8 - 0.2 13.0 Minastrin ® - 11.4 - 11.4 Liletta ® - 6.6 - 6.6 Other 71.7 162.7 104.5 338.9 Total segment revenues $ 1,715.0 $ 1,427.7 $ 858.5 $ 4,001.2 Corporate revenues 6.2 Total net revenues $ 4,007.4 Six Months Ended June 30, 2018 US Specialized Therapeutics US General Medicine International Total Botox ® $ 1,231.0 $ - $ 520.8 $ 1,751.8 Restasis ® 574.0 - 34.3 608.3 Juvederm ® 262.6 - 302.2 564.8 Linzess ® ® - 351.1 12.0 363.1 Lumigan ® ® 139.8 - 200.9 340.7 Bystolic ® ® - 280.9 1.1 282.0 Alphagan ® ® 182.3 - 88.8 271.1 Lo Loestrin ® - 242.4 - 242.4 Eye Drops 100.0 - 141.2 241.2 Breast Implants 136.6 - 84.0 220.6 Alloderm ® 206.6 - 4.5 211.1 Vraylar ™ - 198.6 - 198.6 Ozurdex ® 53.1 - 132.3 185.4 Viibryd ® ® - 158.4 3.1 161.5 Coolsculpting ® 125.3 - 26.6 151.9 Carafate ® ® - 110.3 1.4 111.7 Zenpep ® - 108.4 - 108.4 Armour Thyroid - 97.4 - 97.4 Asacol ® ® - 70.8 24.1 94.9 Canasa ® ® - 83.6 8.7 92.3 Coolsculpting ® 70.1 - 13.5 83.6 Viberzi ® - 80.8 0.4 81.2 Saphris ® - 66.5 - 66.5 Namzaric ® - 65.2 - 65.2 Teflaro ® - 64.6 0.6 65.2 Rapaflo ® 42.5 - 2.8 45.3 Avycaz ® - 45.3 - 45.3 Namenda XR ® - 43.9 - 43.9 SkinMedica ® 38.9 - 3.6 42.5 Savella ® - 39.0 - 39.0 Aczone ® 37.1 - 0.2 37.3 Latisse ® 27.3 - 4.3 31.6 Dalvance ® - 29.6 1.3 30.9 Lexapro ® - 29.2 - 29.2 Liletta ® - 23.6 - 23.6 Kybella ® ® 19.4 - 3.7 23.1 Estrace ® - 19.5 - 19.5 Tazorac ® 15.8 - 0.4 16.2 Minastrin ® - 6.0 - 6.0 Namenda ® - 0.1 - 0.1 Other 142.9 328.5 196.1 667.5 Total segment revenues $ 3,405.3 $ 2,543.7 $ 1,812.9 $ 7,761.9 Corporate revenues 34.4 Total net revenues $ 7,796.3 Six Months Ended June 30, 2017 US Specialized Therapeutics US General Medicine International Total Botox ® $ 1,083.4 $ - $ 446.7 $ 1,530.1 Restasis ® 645.2 - 31.2 676.4 Juvederm ® 246.0 - 259.5 505.5 Lumigan ® ® 153.3 - 180.3 333.6 Linzess ® ® - 315.4 10.4 325.8 Bystolic ® ® - 290.5 1.0 291.5 Alphagan ® ® 182.8 - 85.0 267.8 Namenda XR ® - 240.7 - 240.7 Eye Drops 98.5 - 136.0 234.5 Lo Loestrin ® - 212.8 - 212.8 Breast Implants 115.6 - 78.7 194.3 Estrace ® - 163.5 - 163.5 Viibryd ® ® - 157.7 1.1 158.8 Ozurdex ® 47.4 - 102.3 149.7 Alloderm ® 138.7 - 3.5 142.2 Asacol ® ® - 103.2 24.9 128.1 Vraylar ™ - 119.9 - 119.9 Carafate ® ® - 117.9 1.4 119.3 Zenpep ® - 97.0 - 97.0 Canasa ® ® - 76.7 8.7 85.4 Aczone ® 81.6 - 0.1 81.7 Saphris ® - 80.3 - 80.3 Armour Thyroid - 79.3 - 79.3 Viberzi ® - 72.8 0.1 72.9 Teflaro ® - 63.6 - 63.6 Coolsculpting ® 47.9 - 12.5 60.4 Namzaric ® - 57.0 - 57.0 Rapaflo ® 51.6 - 3.7 55.3 SkinMedica ® 53.4 - - 53.4 Minastrin ® - 52.5 - 52.5 Savella ® - 50.3 - 50.3 Coolsculpting ® 31.0 - 10.2 41.2 Tazorac ® 36.2 - 0.4 36.6 Kybella ® ® 27.8 - 3.5 31.3 Latisse ® 26.9 - 4.3 31.2 Lexapro ® - 26.5 - 26.5 Dalvance ® - 24.8 1.2 26.0 Avycaz ® - 25.8 - 25.8 Liletta ® - 13.8 - 13.8 Namenda ® - 0.1 - 0.1 Other 129.7 331.4 189.1 650.2 Total segment revenues $ 3,197.0 $ 2,773.5 $ 1,595.8 $ 7,566.3 Corporate revenues 14.0 Total net revenues $ 7,580.3 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following ($ in millions): June 30, December 31, 2018 2017 Raw materials $ 339.6 $ 326.9 Work-in-process 147.9 158.1 Finished goods 552.8 527.8 1,040.3 1,012.8 Less: inventory reserves 117.8 108.3 Total Inventories $ 922.5 $ 904.5 |
Accounts Payable and Accrued 35
Accounts Payable and Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Payables And Accruals [Abstract] | |
Summary of Accounts Payable and Accrued Expenses | Accounts payable and accrued expenses consisted of the following ($ in millions): June 30, 2018 December 31, 2017 Accrued expenses: Accrued third-party rebates $ 1,666.1 $ 1,713.7 Accrued payroll and related benefits 550.7 635.6 Accrued returns and other allowances 492.2 466.2 Accrued R&D expenditures 320.1 165.9 Accrued pharmaceutical fees 220.4 186.4 Interest payable 202.5 245.9 Royalties payable 157.3 189.2 Litigation-related reserves and legal fees 132.6 78.3 Accrued non-provision taxes 67.4 76.5 Accrued severance, retention and other shutdown costs 63.6 132.8 Accrued selling and marketing expenditures 60.9 53.0 Current portion of contingent consideration obligations 6.5 56.2 Contractual commitments (including amounts due to Teva) 5.2 705.4 Dividends payable 1.4 24.6 Other accrued expenses 451.1 487.2 Total accrued expenses $ 4,398.0 $ 5,216.9 Accounts payable 285.8 324.5 Total accounts payable and accrued expenses $ 4,683.8 $ 5,541.4 |
Goodwill, Product Rights and 36
Goodwill, Product Rights and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill for the Company’s reporting segments consisted of the following ($ in millions): US Specialized Therapeutics US General Medicine International Total Balance as of December 31, 2017 $ 20,859.6 $ 21,399.7 $ 7,603.6 $ 49,862.9 Foreign exchange and other adjustments - - (175.7 ) (175.7 ) Balance as of June 30, 2018 $ 20,859.6 $ 21,399.7 $ 7,427.9 $ 49,687.2 |
Schedule of Cost Basis on Product Rights and Other Intangible Assets | Product rights and other intangible assets consisted of the following ($ in millions): Cost Basis Balance as of December 31, 2017 Impairments Held for Sale Foreign Currency Translation Balance as of June 30, 2018 Intangibles with definite lives: Product rights and other intangibles $ 73,892.5 $ - $ (430.0 ) $ (191.7 ) $ 73,270.8 Trade name 690.0 - - - 690.0 Total definite lived intangible assets $ 74,582.5 $ - $ (430.0 ) $ (191.7 ) $ 73,960.8 Intangibles with indefinite lives: IPR&D $ 5,874.1 $ (798.0 ) $ - $ - $ 5,076.1 Total indefinite lived intangible assets $ 5,874.1 $ (798.0 ) $ - $ - $ 5,076.1 Total product rights and other intangibles $ 80,456.6 $ (798.0 ) $ (430.0 ) $ (191.7 ) $ 79,036.9 Accumulated Amortization Balance as of December 31, 2017 Amortization Impairments Held for Sale Foreign Currency Translation Balance as of June 30, 2018 Intangibles with definite lives: Product rights and other intangibles $ (25,593.6 ) $ (3,355.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (28,854.9 ) Trade name (214.7 ) (39.0 ) - - - (253.7 ) Total definite lived intangible assets $ (25,808.3 ) $ (3,394.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (29,108.6 ) Total product rights and other intangibles $ (25,808.3 ) $ (3,394.7 ) $ (258.8 ) $ 299.5 $ 53.7 $ (29,108.6 ) Net Product Rights and Other Intangibles $ 54,648.3 $ 49,928.3 |
Schedule of Annual Amortization Expense on Product Rights and Other Related Intangibles | Assuming no additions, disposals or adjustments are made to the carrying values and/or useful lives of the intangible assets, annual amortization expense on product rights and other related intangibles as of June 30, 2018 over the remainder of 2018 and each of the next five years is estimated to be as follows ($ in millions): Amortization Expense 2018 remaining $ 3,070.5 2019 $ 5,988.2 2020 $ 5,684.5 2021 $ 4,742.6 2022 $ 4,382.1 2023 $ 3,968.8 |
Long-Term Debt and Capital Le37
Long-Term Debt and Capital Leases (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt and Capital Leases | Debt consisted of the following ($ in millions): Balance As of Fair Market Value As of Issuance Date / Acquisition Date Interest Payments June 30, 2018 December 31, 2017 June 30, 2018 December 31, 2017 Senior Notes: Floating Rate Notes $500.0 million floating rate notes due March 12, 2018 (1) March 4, 2015 Quarterly $ - $ 500.0 $ - $ 500.6 $500.0 million floating rate notes due March 12, 2020 (2) March 4, 2015 Quarterly 500.0 500.0 504.7 508.1 500.0 1,000.0 504.7 1,008.7 Fixed Rate Notes $3,000.0 million 2.350% notes due March 12, 2018 March 4, 2015 Semi-annually - 3,000.0 - 3,001.9 $250.0 million 1.350% notes due March 15, 2018 March 17, 2015 Semi-annually - 250.0 - 249.7 $500.0 million 2.450% notes due June 15, 2019 June 10, 2014 Semi-annually 491.2 500.0 489.1 499.7 $3,500.0 million 3.000% notes due March 12, 2020 March 4, 2015 Semi-annually 3,459.3 3,500.0 3,443.6 3,528.4 $650.0 million 3.375% notes due September 15, 2020 March 17, 2015 Semi-annually 650.0 650.0 648.5 661.3 $750.0 million 4.875% notes due February 15, 2021 July 1, 2014 Semi-annually 450.0 450.0 461.9 474.3 $1,200.0 million 5.000% notes due December 15, 2021 July 1, 2014 Semi-annually 1,200.0 1,200.0 1,242.1 1,282.6 $3,000.0 million 3.450% notes due March 15, 2022 March 4, 2015 Semi-annually 2,940.5 3,000.0 2,891.8 3,044.5 $1,700.0 million 3.250% notes due October 1, 2022 October 2, 2012 Semi-annually 1,700.0 1,700.0 1,650.3 1,703.0 $350.0 million 2.800% notes due March 15, 2023 March 17, 2015 Semi-annually 350.0 350.0 329.9 341.6 $1,200.0 million 3.850% notes due June 15, 2024 June 10, 2014 Semi-annually 1,188.8 1,200.0 1,165.0 1,232.3 $4,000.0 million 3.800% notes due March 15, 2025 March 4, 2015 Semi-annually 3,915.0 4,000.0 3,801.3 4,067.1 $2,500.0 million 4.550% notes due March 15, 2035 March 4, 2015 Semi-annually 2,385.0 2,500.0 2,261.1 2,631.9 $1,000.0 million 4.625% notes due October 1, 2042 October 2, 2012 Semi-annually 456.7 456.7 418.8 471.2 $1,500.0 million 4.850% notes due June 15, 2044 June 10, 2014 Semi-annually 1,441.0 1,500.0 1,389.0 1,606.2 $2,500.0 million 4.750% notes due March 15, 2045 March 4, 2015 Semi-annually 1,123.3 1,200.0 1,080.1 1,277.3 21,750.8 25,456.7 21,272.5 26,073.0 Euro Denominated Notes €750.0 million 0.500% notes due June 1, 2021 May 26, 2017 Annually 876.3 900.4 867.7 895.8 €700.0 million 1.250% notes due June 1, 2024 May 26, 2017 Annually 817.9 840.4 792.4 831.1 €550.0 million 2.125% notes due June 1, 2029 May 26, 2017 Annually 642.6 660.3 619.1 657.8 €700.0 million floating rate notes due June 1, 2019 (3) May 26, 2017 Quarterly 817.9 840.4 810.8 837.2 3,154.7 3,241.5 3,090.0 3,221.9 Total Senior Notes Gross 25,405.5 29,698.2 24,867.2 30,303.6 Unamortized premium 76.6 88.9 - - Unamortized discount (74.8 ) (81.7 ) - - Total Senior Notes Net 25,407.3 29,705.4 24,867.2 30,303.6 Other Indebtedness Debt Issuance Costs (107.2 ) (121.5 ) Margin Loan - 459.0 Other 41.0 29.7 Total Other Borrowings (66.2 ) 367.2 Capital Leases 9.4 2.7 Total Indebtedness $ 25,350.5 $ 30,075.3 (1) (2) (3) |
Schedule of Annual Debt Maturities | As of June 30, 2018, annual debt maturities were as follows ($ in millions): Total Payments 2018 remaining $ - 2019 1,309.1 2020 4,609.3 2021 2,526.3 2022 4,640.5 2023 350.0 2024 and after 11,970.3 Total senior notes gross $ 25,405.5 Capital leases 9.4 Debt issuance costs (107.2 ) Other short-term borrowings 41.0 Unamortized premium 76.6 Unamortized discount (74.8 ) Total Indebtedness $ 25,350.5 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Summary of Other Long-Term Liabilities | Other long-term liabilities consisted of the following ($ in millions): June 30, December 31, 2018 2017 Acquisition related contingent consideration liabilities $ 358.0 $ 420.7 Long-term pension and post retirement liability 149.9 162.7 Legacy Allergan deferred executive compensation 105.2 113.8 Long-term contractual obligations 43.8 45.2 Deferred revenue 33.8 37.9 Product warranties 28.7 28.7 Long-term severance and restructuring liabilities 13.0 53.1 Other long-term liabilities 21.0 24.8 Total other long-term liabilities $ 753.4 $ 886.9 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Summary of Acquired U.S. Entities and Taxable Years that are Currently under Audit by IRS | The Company has several concurrent audits open and pending with the IRS as set forth below: IRS Audits Taxable Years Allergan W.C. Holding Inc. f/k/a Actavis W.C. Holding Inc. 2013, 2014, 2015 and 2016 Warner Chilcott Corporation 2010, 2011, 2012 and 2013 Forest Laboratories, Inc. 2010, 2011, 2012, 2013 and 2014 Allergan, Inc. 2009, 2010, 2011, 2012, 2013, 2014 and 3/7/2015 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Equity [Abstract] | |
Summary of Changes in Shareholders' Equity | A summary of the changes in shareholders’ equity for the six months ended June 30, 2018 consisted of the following ($ in millions): Allergan plc Shareholders’ equity as of December 31, 2017 $ 73,821.1 Net (loss) attributable to shareholders (758.6 ) Other comprehensive (loss), net of tax (264.8 ) Share-based compensation 127.4 Ordinary shares issued under employee stock plans 69.2 Implementation of new accounting pronouncements (Refer to Note 3) 361.7 Dividends declared (540.4 ) Repurchase of ordinary shares under the share repurchase programs (1,540.0 ) Repurchase of ordinary shares (32.1 ) Shareholders’ equity as of June 30, 2018 $ 71,243.5 Warner Chilcott Limited Members' equity as of December 31, 2017 $ 81,266.2 Net (loss) attributable to members (603.7 ) Other comprehensive (loss), net of tax (264.8 ) Implementation of new accounting pronouncements (Refer to Note 3) 361.7 Dividends to Parents (2,103.7 ) Members' equity as of June 30, 2018 $ 78,655.7 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Assets and Liabilities Measured at Fair Value using Fair Value Leveling or Disclosed at Fair Value on Recurring Basis | Assets and liabilities are measured at fair value using Fair Value Leveling or that are disclosed at fair value on a recurring basis as of June 30, 2018 and December 31, 2017 consisted of the following ($ in millions): Fair Value Measurements as of June 30, 2018 Using: Total Level 1 Level 2 Level 3 Assets: Cash equivalents* $ 1,249.9 $ 1,249.9 $ - $ - Short-term investments 21.5 - 21.5 - Deferred executive compensation investments 105.2 86.8 18.4 - Investments and other 73.3 73.3 - - Total assets $ 1,449.9 $ 1,410.0 $ 39.9 $ - Liabilities: Deferred executive compensation liabilities $ 105.2 $ 86.8 $ 18.4 $ - Contingent consideration obligations 364.4 - - 364.4 Total liabilities $ 469.6 $ 86.8 $ 18.4 $ 364.4 * Marketable securities with less than 90 days remaining until maturity at the time of acquisition are classified as cash equivalents. Fair Value Measurements as of December 31, 2017 Using: Total Level 1 Level 2 Level 3 Assets: Cash equivalents * $ 1,328.1 $ 1,328.1 $ - $ - Short-term investments 2,814.4 - 2,814.4 - Deferred executive compensation investments 112.4 92.9 19.5 - Investment in Teva ordinary shares 1,817.7 1,817.7 - - Investments and other 72.3 72.3 - - Total assets $ 6,144.9 $ 3,311.0 $ 2,833.9 $ - Liabilities: Deferred executive compensation liabilities $ 113.8 $ 94.3 $ 19.5 $ - Contingent consideration obligations 476.9 - - 476.9 Total liabilities $ 590.7 $ 94.3 $ 19.5 $ 476.9 * Marketable securities with less than 90 days remaining until maturity at the time of acquisition are classified as cash equivalents. |
Investments In Securities | Investments in securities as of June 30, 2018 and December 31, 2017 included the following ($ in millions): Investments in Securities as of June 30, 2018: Level 1 Carrying amount Estimated fair value Cash & cash equivalents Marketable securities Money market funds $ 1,249.9 $ 1,249.9 $ 1,249.9 $ - Total $ 1,249.9 $ 1,249.9 $ 1,249.9 $ - Level 2 Carrying amount Estimated fair value Cash & cash equivalents Marketable securities Other investments $ 21.5 $ 21.5 $ - $ 21.5 Total $ 21.5 $ 21.5 $ - $ 21.5 Investments in Securities as of December 31, 2017: Level 1 Carrying amount Unrecognized gain Unrecognized loss Estimated fair value Cash & cash equivalents Marketable securities Money market funds $ 1,328.1 $ - $ - $ 1,328.1 $ 1,328.1 $ - Investment in Teva ordinary shares 1,688.4 129.3 - 1,817.7 - 1,817.7 Total $ 3,016.5 $ 129.3 $ - $ 3,145.8 $ 1,328.1 $ 1,817.7 Level 2 Carrying amount Unrecognized gain Unrecognized loss Estimated fair value Cash & cash equivalents Marketable securities Commercial paper and other $ 1,248.9 $ - $ (0.7 ) $ 1,248.2 $ - $ 1,248.2 Certificates of deposit 1,566.2 - - 1,566.2 - 1,566.2 Total $ 2,815.1 $ - $ (0.7 ) $ 2,814.4 $ - $ 2,814.4 |
Change in Fair Value of Contingent Consideration Obligations | Changes in the fair value of the contingent consideration obligations, including accretion, are recorded in our consolidated statements of operations as follows ($ in millions): Three Months Ended June 30, Six Months Ended June 30, (Income) / expense 2018 2017 2018 2017 Cost of sales $ (128.8 ) $ (24.8 ) $ (125.4 ) $ (60.3 ) Research and development 21.7 9.3 23.6 75.5 Total $ (107.1 ) $ (15.5 ) $ (101.8 ) $ 15.2 |
Summary of Changes in Fair Value of all Financial Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs | The table below provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2018 and 2017 ($ in millions): Balance as of December 31, 2017 Net transfers in to (out of) Level 3 Purchases, settlements, and other net Net accretion and fair value adjustments Balance as of June 30, 2018 Liabilities: Contingent consideration obligations $ 476.9 $ - $ (10.7 ) $ (101.8 ) $ 364.4 Balance as of December 31, 2016 Net transfers in to (out of) Level 3 Purchases, settlements, and other net Net accretion and fair value adjustments Foreign currency translation Balance as of June 30, 2017 Liabilities: Contingent consideration obligations $ 1,172.1 $ - $ (540.4 ) $ 15.2 $ (8.3 ) $ 638.6 |
Schedule of Contingent Consideration Obligations by Acquisitions | The following is the activity during the six months ended June 30, 2018 in contingent consideration obligations by acquisition ($ in millions): Business Acquisition Balance as of December 31, 2017 Fair Value Adjustments and Accretion Payments and Other Balance as of June 30, 2018 Tobira acquisition $ 227.8 $ 22.7 $ - $ 250.5 ForSight acquisition 46.3 0.9 - 47.2 Medicines 360 acquisition 44.4 (1.2 ) (2.1 ) 41.1 Forest Acquisition 12.7 1.7 (1.0 ) 13.4 AqueSys acquisition 28.5 (23.2 ) - 5.3 Oculeve acquisition 90.1 (86.0 ) (0.1 ) 4.0 Allergan Acquisition 18.7 (17.7 ) - 1.0 Metrogel acquisition 7.5 - (7.5 ) - Other 0.9 1.0 - 1.9 Total $ 476.9 $ (101.8 ) $ (10.7 ) $ 364.4 |
Business Restructuring Charges
Business Restructuring Charges (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Restructuring And Related Activities [Abstract] | |
Schedule of Activity Related to Business Restructuring and Facility Rationalization Activities | Restructuring activities for the six months ended June 30, 2018 were as follows ($ in millions): Severance and Retention Share-Based Compensation Other Total Reserve balance at December 31, 2017 $ 166.0 $ - $ 19.9 $ 185.9 Charged to expense Cost of sales 5.5 - - 5.5 Selling and marketing 9.6 4.1 - 13.7 General and administrative 1.0 4.1 - 5.1 Total expense 16.1 8.2 - 24.3 Cash payments (120.8 ) - (4.6 ) (125.4 ) Non-cash adjustments - (8.2 ) - (8.2 ) Reserve balance at June 30, 2018 $ 61.3 $ - $ 15.3 $ 76.6 |
Warner Chilcott Limited ("WCL43
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information (Tables) - Warner Chilcott Acquisition [Member] | 6 Months Ended |
Jun. 30, 2018 | |
Consolidating Balance Sheets | Warner Chilcott Limited Consolidating Balance Sheets As of June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited ASSETS Current assets: Cash and cash equivalents $ 0.1 $ 294.5 $ - $ - $ 1,378.9 $ - $ 1,673.5 Marketable securities - - - - 21.5 - 21.5 Accounts receivable, net - - - - 2,760.8 - 2,760.8 Receivables from Parents - 4,223.5 - - 1,609.9 - 5,833.4 Inventories - - - - 922.5 - 922.5 Intercompany receivables - 1,984.4 1,459.8 75.6 21,603.4 (25,123.2 ) - Prepaid expenses and other current assets - - 1.4 88.3 633.2 - 722.9 Total current assets 0.1 6,502.4 1,461.2 163.9 28,930.2 (25,123.2 ) 11,934.6 Property, plant and equipment, net - - - - 1,761.4 - 1,761.4 Investments and other assets - - - - 297.9 - 297.9 Investment in subsidiaries 78,676.1 85,953.6 - 109,103.2 - (273,732.9 ) - Non current intercompany receivables - 31,524.5 19,123.8 - 29,253.5 (79,901.8 ) - Non current receivables from Parents - - - - 3,964.0 - 3,964.0 Non current assets held for sale - - - - 180.4 - 180.4 Deferred tax assets - - - - 896.8 - 896.8 Product rights and other intangibles - - - - 49,928.3 - 49,928.3 Goodwill - - - - 49,687.2 - 49,687.2 Total assets $ 78,676.2 $ 123,980.5 $ 20,585.0 $ 109,267.1 $ 164,899.7 $ (378,757.9 ) $ 118,650.6 LIABILITIES AND EQUITY Current liabilities: Accounts payable and accrued expenses - - 163.3 93.9 4,424.4 - 4,681.6 Intercompany payables - 11,010.6 0.6 10,592.2 3,519.8 (25,123.2 ) - Payables to Parents - - - - 2,379.7 - 2,379.7 Income taxes payable - - - - 92.5 - 92.5 Current portion of long-term debt and capital leases - - 1,296.4 0.5 51.6 - 1,348.5 Total current liabilities - 11,010.6 1,460.3 10,686.6 10,468.0 (25,123.2 ) 8,502.3 Long-term debt and capital leases - - 19,123.8 2,132.7 2,745.5 - 24,002.0 Other long-term liabilities - 0.2 - - 753.2 - 753.4 Long-term intercompany payables - 28,217.5 - 1,036.0 50,648.3 (79,901.8 ) - Other taxes payable - - - - 1,576.2 - 1,576.2 Deferred tax liabilities - 0.2 - - 5,140.3 - 5,140.5 Total liabilities - 39,228.5 20,584.1 13,855.3 71,331.5 (105,025.0 ) 39,974.4 Total equity / (deficit) 78,676.2 84,752.0 0.9 95,411.8 93,568.2 (273,732.9 ) 78,676.2 Total liabilities and equity $ 78,676.2 $ 123,980.5 $ 20,585.0 $ 109,267.1 $ 164,899.7 $ (378,757.9 ) $ 118,650.6 Warner Chilcott Limited Consolidating Balance Sheets As of December 31, 2017 ($ in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited ASSETS Current assets: Cash and cash equivalents $ 0.1 $ 593.1 $ 0.1 $ - $ 1,223.0 $ - $ 1,816.3 Marketable securities - 400.2 - - 4,231.9 - 4,632.1 Accounts receivable, net - - - - 2,899.0 - 2,899.0 Receivables from Parents - 4,223.5 - - 1,573.9 - 5,797.4 Inventories - - - - 904.5 - 904.5 Intercompany receivables - 8,118.7 5,507.6 19.6 25,417.0 (39,062.9 ) - Prepaid expenses and other current assets - - - 85.0 1,038.0 - 1,123.0 Total current assets 0.1 13,335.5 5,507.7 104.6 37,287.3 (39,062.9 ) 17,172.3 Property, plant and equipment, net - - - - 1,785.4 - 1,785.4 Investments and other assets - - - - 267.9 - 267.9 Investment in subsidiaries 81,282.1 87,583.9 - 109,169.8 - (278,035.8 ) - Non current intercompany receivables - 27,518.7 20,985.0 - 30,544.0 (79,047.7 ) - Non current receivables from Parents - - - - 3,964.0 - 3,964.0 Non current assets held for sale - - - - 81.6 - 81.6 Deferred tax assets - - - - 316.0 - 316.0 Product rights and other intangibles - - - - 54,648.3 - 54,648.3 Goodwill - - - - 49,862.9 - 49,862.9 Total assets $ 81,282.2 $ 128,438.1 $ 26,492.7 $ 109,274.4 $ 178,757.4 $ (396,146.4 ) $ 128,098.4 LIABILITIES AND EQUITY Current liabilities: Accounts payable and accrued expenses - 0.6 202.9 89.3 5,222.8 - 5,515.6 Intercompany payables - 12,186.2 1,828.5 11,402.3 13,645.9 (39,062.9 ) - Payables to Parents - - - - 2,340.6 - 2,340.6 Income taxes payable - - - - 74.9 - 74.9 Current portion of long-term debt and capital leases - - 3,475.4 - 756.4 - 4,231.8 Total current liabilities - 12,186.8 5,506.8 11,491.6 22,040.6 (39,062.9 ) 12,162.9 Long-term debt and capital leases - - 20,985.0 2,130.1 2,728.4 - 25,843.5 Other long-term liabilities - 0.2 - - 886.7 - 886.9 Long-term intercompany payables - 30,395.0 - 149.0 48,503.7 (79,047.7 ) - Other taxes payable - - - - 1,573.5 - 1,573.5 Deferred tax liabilities - 0.2 - - 6,349.2 - 6,349.4 Total liabilities - 42,582.2 26,491.8 13,770.7 82,082.1 (118,110.6 ) 46,816.2 Total equity / (deficit) 81,282.2 85,855.9 0.9 95,503.7 96,675.3 (278,035.8 ) 81,282.2 Total liabilities and equity $ 81,282.2 $ 128,438.1 $ 26,492.7 $ 109,274.4 $ 178,757.4 $ (396,146.4 ) $ 128,098.4 |
Consolidating Statements of Operations | Warner Chilcott Limited Consolidating Statements of Operations For the Three Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 4,124.2 $ - $ 4,124.2 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 481.8 - 481.8 Research and development - - - - 689.2 - 689.2 Selling and marketing - - - - 853.4 - 853.4 General and administrative - - 1.2 - 298.3 - 299.5 Amortization - - - - 1,697.1 - 1,697.1 In-process research and development impairments - - - - 276.0 - 276.0 Asset sales and impairments, net - - - - 259.6 - 259.6 Total operating expenses - - 1.2 - 4,555.4 - 4,556.6 Operating (loss) - - (1.2 ) - (431.2 ) - (432.4 ) Interest income / (expense), net - 267.4 (5.1 ) (20.7 ) (399.8 ) - (158.2 ) Other income, net - - 9.2 - 206.2 - 215.4 Total other income / (expense), net - 267.4 4.1 (20.7 ) (193.6 ) - 57.2 Income / (loss) before income taxes and noncontrolling interest - 267.4 2.9 (20.7 ) (624.8 ) - (375.2 ) (Benefit) for income taxes - - - (4.4 ) (0.8 ) - (5.2 ) Losses / (earnings) of equity interest subsidiaries 372.4 656.0 - (76.0 ) - (952.4 ) - Net (loss) / income from continuing operations, net of tax $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (624.0 ) $ 952.4 $ (370.0 ) (Loss) from discontinued operations, net of tax - - - - - - - Net (loss) / income $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (624.0 ) $ 952.4 $ (370.0 ) (Income) attributable to noncontrolling interest - - - - (2.4 ) - (2.4 ) Net (loss) / income attributable to members $ (372.4 ) $ (388.6 ) $ 2.9 $ 59.7 $ (626.4 ) $ 952.4 $ (372.4 ) Other comprehensive (loss) / income, net of tax (448.6 ) (646.0 ) - (748.7 ) (448.6 ) 1,843.3 (448.6 ) Comprehensive (loss) / income attributable to members $ (821.0 ) $ (1,034.6 ) $ 2.9 $ (689.0 ) $ (1,075.0 ) $ 2,795.7 $ (821.0 ) Warner Chilcott Limited Consolidating Statements of Operations For the Six Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 7,796.3 $ - $ 7,796.3 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 1,004.6 - 1,004.6 Research and development - - - - 1,163.9 - 1,163.9 Selling and marketing - - - - 1,653.4 - 1,653.4 General and administrative - - 0.5 - 593.1 - 593.6 Amortization - - - - 3,394.7 - 3,394.7 In-process research and development impairments - - - - 798.0 - 798.0 Asset sales and impairments, net - - - - 272.7 - 272.7 Total operating expenses - - 0.5 - 8,880.4 - 8,880.9 Operating (loss) - - (0.5 ) - (1,084.1 ) - (1,084.6 ) Interest income / (expense), net - 526.4 (8.4 ) (41.9 ) (814.6 ) - (338.5 ) Other income, net - - 9.2 - 127.4 - 136.6 Total other income / (expense), net - 526.4 0.8 (41.9 ) (687.2 ) - (201.9 ) Income / (loss) before income taxes and noncontrolling interest - 526.4 0.3 (41.9 ) (1,771.3 ) - (1,286.5 ) Provision / (benefit) for income taxes - - 0.3 (16.6 ) (671.1 ) - (687.4 ) Losses / (earnings) of equity interest subsidiaries 603.7 1,201.5 - (505.6 ) - (1,299.6 ) - Net (loss) / income from continuing operations, net of tax $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) (Loss) from discontinued operations, net of tax - - - - - - - Net (loss) / income $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) (Income) attributable to noncontrolling interest - - - - (4.6 ) - (4.6 ) Net (loss) / income attributable to members $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,104.8 ) $ 1,299.6 $ (603.7 ) Other comprehensive (loss) / income, net of tax (327.8 ) (428.8 ) - (572.2 ) (327.8 ) 1,328.8 (327.8 ) Comprehensive (loss) / income attributable to members $ (931.5 ) $ (1,103.9 ) $ - $ (91.9 ) $ (1,432.6 ) $ 2,628.4 $ (931.5 ) Warner Chilcott Limited Consolidating Statements of Operations For the Three Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 4,007.4 $ - $ 4,007.4 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 550.2 - 550.2 Research and development - - - - 489.4 - 489.4 Selling and marketing - - - - 935.2 - 935.2 General and administrative - - 10.1 - 437.6 - 447.7 Amortization - - - - 1,757.9 - 1,757.9 In-process research and development impairments - - - - 703.3 - 703.3 Asset sales and impairments, net - - - - 14.0 - 14.0 Total operating expenses - - 10.1 - 4,887.6 - 4,897.7 Operating (loss) - - (10.1 ) - (880.2 ) - (890.3 ) Interest income / (expense), net - 256.3 61.1 (38.4 ) (519.2 ) - (240.2 ) Other (expense) / income, net - - (110.4 ) (39.9 ) 16.8 - (133.5 ) Total other income / (expense), net - 256.3 (49.3 ) (78.3 ) (502.4 ) - (373.7 ) Income / (loss) before income taxes and noncontrolling interest - 256.3 (59.4 ) (78.3 ) (1,382.6 ) - (1,264.0 ) (Benefit) for income taxes - - (0.9 ) (73.9 ) (506.4 ) - (581.2 ) Losses / (earnings) of equity interest subsidiaries 693.2 982.1 - 84.9 - (1,760.2 ) - Net (loss) / income from continuing operations, net of tax $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (876.2 ) $ 1,760.2 $ (682.8 ) (Loss) from discontinued operations, net of tax - - - - (8.4 ) - (8.4 ) Net (loss) / income $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (884.6 ) $ 1,760.2 $ (691.2 ) (Income) attributable to noncontrolling interest - - - - (2.0 ) - (2.0 ) Net (loss) / income attributable to members $ (693.2 ) $ (725.8 ) $ (58.5 ) $ (89.3 ) $ (886.6 ) $ 1,760.2 $ (693.2 ) Other comprehensive income / (loss), net of tax 903.3 960.5 - 2,152.7 903.3 (4,016.5 ) 903.3 Comprehensive income / (loss) attributable to members $ 210.1 $ 234.7 $ (58.5 ) $ 2,063.4 $ 16.7 $ (2,256.3 ) $ 210.1 Warner Chilcott Limited Consolidating Statements of Operations For the Six Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Net revenues $ - $ - $ - $ - $ 7,580.3 $ - $ 7,580.3 Operating expenses: Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) - - - - 1,000.6 - 1,000.6 Research and development - - - - 1,249.3 - 1,249.3 Selling and marketing - - - - 1,804.3 - 1,804.3 General and administrative - - 10.1 1.1 750.8 - 762.0 Amortization - - - - 3,493.9 - 3,493.9 In-process research and development impairments - - - - 1,043.3 - 1,043.3 Asset sales and impairments, net - - - - 21.4 - 21.4 Total operating expenses - - 10.1 1.1 9,363.6 - 9,374.8 Operating (loss) - - (10.1 ) (1.1 ) (1,783.3 ) - (1,794.5 ) Interest income / (expense), net - 528.1 64.8 (78.0 ) (993.4 ) - (478.5 ) Other (expense), net - - (110.4 ) (39.9 ) (1,906.0 ) - (2,056.3 ) Total other income / (expense), net - 528.1 (45.6 ) (117.9 ) (2,899.4 ) - (2,534.8 ) Income / (loss) before income taxes and noncontrolling interest - 528.1 (55.7 ) (119.0 ) (4,682.7 ) - (4,329.3 ) (Benefit) for income taxes - (0.2 ) - (59.0 ) (1,054.1 ) - (1,113.3 ) Losses / (earnings) of equity interest subsidiaries 3,230.5 3,782.4 - 2,225.8 - (9,238.7 ) - Net (loss) / income from continuing operations, net of tax $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,628.6 ) $ 9,238.7 $ (3,216.0 ) (Loss) from discontinued operations, net of tax - - - - (11.5 ) - (11.5 ) Net (loss) / income $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,640.1 ) $ 9,238.7 $ (3,227.5 ) (Income) attributable to noncontrolling interest - - - - (3.0 ) - (3.0 ) Net (loss) / income attributable to members $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,643.1 ) $ 9,238.7 $ (3,230.5 ) Other comprehensive income / (loss), net of tax 2,663.4 2,720.6 - 3,793.6 2,663.4 (9,177.6 ) 2,663.4 Comprehensive (loss) / income attributable to members $ (567.1 ) $ (533.5 ) $ (55.7 ) $ 1,507.8 $ (979.7 ) $ 61.1 $ (567.1 ) |
Consolidating Statement of Cash Flows | Warner Chilcott Limited Consolidating Statements of Cash Flows For the Six Months Ended June 30, 2018 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Cash Flows From Operating Activities: Net (loss) / income $ (603.7 ) $ (675.1 ) $ - $ 480.3 $ (1,100.2 ) $ 1,299.6 $ (599.1 ) Reconciliation to net cash provided by / (used in) operating activities: Losses / (earnings) of equity interest subsidiaries 603.7 1,201.5 - (505.6 ) - (1,299.6 ) - Depreciation - - - - 105.2 - 105.2 Amortization - - - - 3,394.7 - 3,394.7 Provision for inventory reserve - - - - 45.4 - 45.4 Share-based compensation - - - - 127.4 - 127.4 Deferred income tax benefit - - - - (1,359.6 ) - (1,359.6 ) In-process research and development impairments - - - - 798.0 - 798.0 Loss on asset sales and impairments, net - - - - 272.7 - 272.7 Gain on sale of Teva securities, net - - - - (60.9 ) - (60.9 ) Gain on sale of business - - - - (53.0 ) - (53.0 ) Non-cash extinguishment of debt - - 4.0 - - - 4.0 Cash charge related to extinguishment of debt - - (13.1 ) - - - (13.1 ) Amortization of deferred financing costs - - 11.1 0.8 - - 11.9 Contingent consideration adjustments, including accretion - - - - (101.8 ) - (101.8 ) Dividends from subsidiaries 2,103.7 - - - - (2,103.7 ) - Other, net - - (1.5 ) (0.4 ) 1.6 - (0.3 ) Changes in assets and liabilities (net of effects of acquisitions) - (1,225.0 ) 3,942.3 24.9 (2,578.4 ) - 163.8 Net cash provided by / (used in) operating activities 2,103.7 (698.6 ) 3,942.8 - (508.9 ) (2,103.7 ) 2,735.3 Cash Flows From Investing Activities: Additions to property, plant and equipment - - - - (106.5 ) - (106.5 ) Additions to investments - (400.0 ) - - (1,055.9 ) - (1,455.9 ) Proceeds from sale of investments and other assets - 800.0 - - 4,851.3 - 5,651.3 Payments to settle Teva related matters - - - - (466.0 ) - (466.0 ) Proceeds from sales of property, plant and equipment - - - - 11.5 - 11.5 Net cash provided by investing activities - 400.0 - - 3,234.4 - 3,634.4 Cash Flows From Financing Activities: Proceeds from borrowings of long-term indebtedness, including credit facility - 700.0 - - 9.0 - 709.0 Proceeds from forward sale of Teva securities - - - - 465.5 - 465.5 Payments on debt, including capital lease obligations and credit facility - (700.0 ) (3,956.0 ) - (710.8 ) - (5,366.8 ) Cash charge related to extinguishment of debt - - 13.1 - - - 13.1 Payments of contingent consideration and other financing - - - - (10.6 ) - (10.6 ) Payments to settle Teva related matters - - - - (234.0 ) - (234.0 ) Dividends to Parents (2,103.7 ) - - - (2,103.7 ) 2,103.7 (2,103.7 ) Net cash (used in) / provided by financing activities (2,103.7 ) - (3,942.9 ) - (2,584.6 ) 2,103.7 (6,527.5 ) Effect of currency exchange rate changes on cash and cash equivalents - - - - 15.0 - 15.0 Net (decrease) / increase in cash and cash equivalents - (298.6 ) (0.1 ) - 155.9 - (142.8 ) Cash and cash equivalents at beginning of period 0.1 593.1 0.1 - 1,223.0 - 1,816.3 Cash and cash equivalents at end of period $ 0.1 $ 294.5 $ 0.0 $ - $ 1,378.9 $ - $ 1,673.5 Warner Chilcott Limited Consolidating Statements of Cash Flows For the Six Months Ended June 30, 2017 (Unaudited; in millions) Warner Chilcott Limited (Parent Guarantor) Allergan Capital S.a.r.l. (Guarantor) Allergan Funding SCS (Issuer) Allergan Finance, LLC (Issuer and Guarantor) Non- guarantors Eliminations Consolidated Warner Chilcott Limited Cash Flows From Operating Activities: Net (loss) / income $ (3,230.5 ) $ (3,254.1 ) $ (55.7 ) $ (2,285.8 ) $ (3,640.1 ) $ 9,238.7 $ (3,227.5 ) Reconciliation to net cash provided by / (used in) operating activities: Losses / (earnings) of equity interest subsidiaries 3,230.5 3,782.4 - 2,225.8 - (9,238.7 ) - Depreciation - - - - 81.2 - 81.2 Amortization - - - - 3,493.9 - 3,493.9 Provision for inventory reserve - - - - 48.7 - 48.7 Share-based compensation - - - - 148.5 - 148.5 Deferred income tax benefit - - - - (1,478.8 ) - (1,478.8 ) In-process research and development impairments - - - - 1,043.3 - 1,043.3 Loss on asset sales and impairments, net - - - - 21.4 - 21.4 Net income impact of other-than-temporary loss on investment in Teva securities - - - - 1,978.0 - 1,978.0 Amortization of inventory step up - - - - 87.8 - 87.8 Non-cash extinguishment of debt - - 17.6 12.2 (38.0 ) - (8.2 ) Cash charge related to extinguishment of debt - - 91.6 26.1 52.8 - 170.5 Amortization of deferred financing costs - - 11.1 2.1 - - 13.2 Contingent consideration adjustments, including accretion - - - - 15.2 - 15.2 Dividends from subsidiaries 611.9 - - - - (611.9 ) - Other, net - (10.0 ) - - (12.6 ) - (22.6 ) Changes in assets and liabilities (net of effects of acquisitions) - (4,901.7 ) (176.4 ) 1,789.0 3,519.1 - 230.0 Net cash provided by / (used in) operating activities 611.9 (4,383.4 ) (111.8 ) 1,769.4 5,320.4 (611.9 ) 2,594.6 Cash Flows From Investing Activities: Additions to property, plant and equipment - - - - (137.2 ) - (137.2 ) Additions to product rights and other intangibles - - - - (586.3 ) - (586.3 ) Additions to investments - (3,989.6 ) - - (2,798.3 ) - (6,787.9 ) Proceeds from sale of investments and other assets - 7,866.4 - - 5,331.1 - 13,197.5 Proceeds from sales of property, plant and equipment - - - - 4.3 - 4.3 Acquisitions of business, net of cash acquired - - - - (5,290.4 ) - (5,290.4 ) Net cash provided by / (used in) investing activities - 3,876.8 - - (3,476.8 ) - 400.0 Cash Flows From Financing Activities: Proceeds from borrowings of long-term indebtedness, including credit facility - - 3,020.9 - 2.1 - 3,023.0 Debt issuance and other financing costs - - (17.5 ) - - - (17.5 ) Payments on debt, including capital lease obligations and credit facility - - (2,800.0 ) (1,743.3 ) (1,035.9 ) - (5,579.2 ) Cash charge related to extinguishment of debt - - (91.6 ) (26.1 ) (52.8 ) - (170.5 ) Payments of contingent consideration and other financing - - - - (505.1 ) - (505.1 ) Dividends to Parents (611.9 ) - - - (611.9 ) 611.9 (611.9 ) Net cash (used in) / provided by financing activities (611.9 ) - 111.8 (1,769.4 ) (2,203.6 ) 611.9 (3,861.2 ) Effect of currency exchange rate changes on cash and cash equivalents - - - - 11.5 - 11.5 Net (decrease) in cash and cash equivalents - (506.6 ) - - (348.5 ) - (855.1 ) Cash and cash equivalents at beginning of period 0.1 513.9 - - 1,199.2 - 1,713.2 Cash and cash equivalents at end of period $ 0.1 $ 7.3 $ - $ - $ 850.7 $ - $ 858.1 |
General - Additional Informatio
General - Additional Information (Detail) | Jun. 30, 2018Country |
Segment Reporting [Abstract] | |
Number of operating countries | 100 |
Reconciliation of Warner Chil45
Reconciliation of Warner Chilcott Limited Results to Allergan Plc Results - Summary of Financial Position Reconciliation Results of Warner Chilcott Limited to Allergan Plc (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
Cash and cash equivalents | $ 1,674.7 | $ 1,817.2 | $ 886.9 | $ 1,724 |
Prepaid expenses and other current assets | 724.2 | 1,123.9 | ||
Deferred tax assets | 899.9 | 319.1 | ||
Accounts payable and accrued liabilities | 4,683.8 | 5,541.4 | ||
Income taxes payable | 93 | 74.9 | ||
Other taxes payables | 1,576.6 | 1,573.9 | ||
Deferred tax liabilities | 5,137.5 | 6,352.4 | ||
Total equity | 71,264 | 73,837.1 | ||
Material Reconciling Items [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
Cash and cash equivalents | 1,674.7 | 1,817.2 | ||
Prepaid expenses and other current assets | 724.2 | 1,123.9 | ||
Deferred tax assets | 899.9 | 319.1 | ||
Accounts payable and accrued liabilities | 4,683.8 | 5,541.4 | ||
Income taxes payable | 93 | 74.9 | ||
Other taxes payables | 1,576.6 | 1,573.9 | ||
Deferred tax liabilities | 5,137.5 | 6,352.4 | ||
Total equity | 71,264 | 73,837.1 | ||
Material Reconciling Items [Member] | Warner Chilcott Limited [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
Cash and cash equivalents | 1,673.5 | 1,816.3 | ||
Prepaid expenses and other current assets | 722.9 | 1,123 | ||
Deferred tax assets | 896.8 | 316 | ||
Accounts payable and accrued liabilities | 4,681.6 | 5,515.6 | ||
Income taxes payable | 92.5 | 74.9 | ||
Other taxes payables | 1,576.2 | 1,573.5 | ||
Deferred tax liabilities | 5,140.5 | 6,349.4 | ||
Total equity | 78,676.2 | 81,282.2 | ||
Material Reconciling Items [Member] | Difference [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
Cash and cash equivalents | 1.2 | 0.9 | ||
Prepaid expenses and other current assets | 1.3 | 0.9 | ||
Deferred tax assets | 3.1 | 3.1 | ||
Accounts payable and accrued liabilities | 2.2 | 25.8 | ||
Income taxes payable | 0.5 | |||
Other taxes payables | 0.4 | 0.4 | ||
Deferred tax liabilities | (3) | 3 | ||
Total equity | $ (7,412.2) | $ (7,445.1) |
Reconciliation of Warner Chil46
Reconciliation of Warner Chilcott Limited Results to Allergan Plc Results - Summary of Operations Reconciliation Results of Warner Chilcott Limited to Allergan Plc (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
General and administrative expenses | $ 334.1 | $ 459.8 | $ 630 | $ 775.9 |
Operating (loss) | (467) | (902.4) | (1,121) | (1,808.4) |
Interest income | 6.3 | 16.6 | 23.6 | 41.9 |
(Loss) before income taxes and noncontrolling interest | (475.3) | (1,296.7) | (1,441.4) | (4,389.9) |
Net (loss) from continuing operations, net of tax | (470.1) | (715.5) | (754) | (3,276.6) |
Net (loss) | (470.1) | (723.9) | (754) | (3,288.1) |
Dividends on preferred shares | 69.6 | 46.4 | 139.2 | |
Net (loss) attributable to ordinary shareholders/members | (472.5) | (795.5) | (805) | (3,430.3) |
Material Reconciling Items [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
General and administrative expenses | 334.1 | 459.8 | 630 | 775.9 |
Operating (loss) | (467) | (902.4) | (1,121) | (1,808.4) |
Interest income | 6.3 | 16.6 | 23.6 | 41.9 |
(Loss) before income taxes and noncontrolling interest | (475.3) | (1,296.7) | (1,441.4) | (4,389.9) |
Net (loss) from continuing operations, net of tax | (470.1) | (715.5) | (754) | (3,276.6) |
Net (loss) | (470.1) | (723.9) | (754) | (3,288.1) |
Dividends on preferred shares | 69.6 | 46.4 | 139.2 | |
Net (loss) attributable to ordinary shareholders/members | (472.5) | (795.5) | (805) | (3,430.3) |
Material Reconciling Items [Member] | Warner Chilcott Limited [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
General and administrative expenses | 299.5 | 447.7 | 593.6 | 762 |
Operating (loss) | (432.4) | (890.3) | (1,084.6) | (1,794.5) |
Interest income | 71.8 | 37.2 | 142.1 | 88.6 |
(Loss) before income taxes and noncontrolling interest | (375.2) | (1,264) | (1,286.5) | (4,329.3) |
Net (loss) from continuing operations, net of tax | (370) | (682.8) | (599.1) | (3,216) |
Net (loss) | (370) | (691.2) | (599.1) | (3,227.5) |
Net (loss) attributable to ordinary shareholders/members | (372.4) | (693.2) | (603.7) | (3,230.5) |
Material Reconciling Items [Member] | Difference [Member] | ||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | ||||
General and administrative expenses | 34.6 | 12.1 | 36.4 | 13.9 |
Operating (loss) | (34.6) | (12.1) | (36.4) | (13.9) |
Interest income | (65.5) | (20.6) | (118.5) | (46.7) |
(Loss) before income taxes and noncontrolling interest | (100.1) | (32.7) | (154.9) | (60.6) |
Net (loss) from continuing operations, net of tax | (100.1) | (32.7) | (154.9) | (60.6) |
Net (loss) | (100.1) | (32.7) | (154.9) | (60.6) |
Dividends on preferred shares | 69.6 | 46.4 | 139.2 | |
Net (loss) attributable to ordinary shareholders/members | $ (100.1) | $ (102.3) | $ (201.3) | $ (199.8) |
Reconciliation of Warner Chil47
Reconciliation of Warner Chilcott Limited Results to Allergan Plc Results - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | |||||
Interest income | $ (6.3) | $ (16.6) | $ (23.6) | $ (41.9) | |
Warner Chilcott Limited [Member] | |||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | |||||
Receivable from Parents | 5,833.4 | 5,833.4 | $ 5,797.4 | ||
Non current receivables from Parents | 3,964 | 3,964 | $ 3,964 | ||
Interest income | (71.8) | (37.2) | (142.1) | (88.6) | |
Material Reconciling Items [Member] | |||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | |||||
Interest income | (6.3) | (16.6) | (23.6) | (41.9) | |
Material Reconciling Items [Member] | Difference [Member] | |||||
Schedule Of Reconciliation Of Subsidiary Results [Line Items] | |||||
Interest income | $ 65.5 | $ 20.6 | $ 118.5 | $ 46.7 |
Summary of Significant Accoun48
Summary of Significant Accounting Policies - Schedule of Impact on Company's Balance Sheet Due to adoption of Accounting Pronouncements (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Summary Of Significant Accounting Policies [Line Items] | ||
Increase / (decrease) Accounts receivable, net | $ 2,760.8 | $ 2,899 |
Increase / (decrease) Prepaid expenses and other current assets | (724.2) | (1,123.9) |
Increase / (decrease) Accounts payable and accrued expenses | (4,683.8) | (5,541.4) |
Increase / (decrease) Deferred tax liabilities | (5,137.5) | (6,352.4) |
Increase / (decrease) Retained earnings | 12,082.9 | 12,957.2 |
Increase / (decrease) Accumulated other comprehensive income / (loss) | 1,592.9 | $ 1,920.7 |
Accounting Standards Update No. 2014-09 [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Increase / (decrease) Accounts receivable, net | 1.9 | |
Increase / (decrease) Accounts payable and accrued expenses | (3.6) | |
Increase / (decrease) Retained earnings | 5.5 | |
Accounting Standards Update No. 2016-01 [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Increase / (decrease) Retained earnings | 63 | |
Increase / (decrease) Accumulated other comprehensive income / (loss) | (63) | |
Accounting Standards Update No. 2016-16 [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Increase / (decrease) Prepaid expenses and other current assets | (44.8) | |
Increase / (decrease) Deferred tax liabilities | (401) | |
Increase / (decrease) Retained earnings | $ 356.2 |
Summary of Significant Accoun49
Summary of Significant Accounting Policies - Additional Information (Detail) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2018USD ($)Segmentshares | Jun. 30, 2017USD ($)shares | Jun. 30, 2018USD ($)shares | Jun. 30, 2017USD ($)shares | Dec. 31, 2017USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||||
Number of reporting units | Segment | 5 | ||||
Goodwill | $ 49,687.2 | $ 49,687.2 | $ 49,862.9 | ||
In-process research and development impairments | $ 276 | $ 703.3 | $ 798 | $ 1,043.3 | |
Ordinary Shares [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Shares not included in the computation of diluted EPS | shares | 17.6 | 5.8 | 17.6 | ||
Stock Awards [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Shares not included in the computation of diluted EPS | shares | 2.2 | 3.9 | 2.2 | 4.2 | |
Women's Healthcare Research and Development Project [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | $ 91.3 | ||||
Delay In Launch Of Women Health Care Project [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 57 | $ 257 | |||
Allergan, Inc. [Member] | IPR&D [Member] | Delay in clinical studies | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | $ 27 | ||||
Allergan, Inc. [Member] | IPR&D [Member] | Eye care project | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 20 | 20 | |||
Allergan, Inc. [Member] | IPR&D [Member] | Eye care project | Changes in launch plans | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 164 | ||||
Allergan, Inc. [Member] | IPR&D [Member] | Eye care project | Delay in clinical studies | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 6 | ||||
Allergan, Inc. [Member] | IPR&D [Member] | CNS [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 486 | ||||
Allergan, Inc. [Member] | IPR&D [Member] | CNS [Member] | Delay in clinical studies | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 19 | ||||
Allergan, Inc. [Member] | IPR&D [Member] | Eye Care Project that Resulted in Decrease in Projected Cash Flows [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | $ 44 | ||||
Vitae Pharmaceuticals Inc [Member] | IPR&D [Member] | Delay in clinical studies | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
In-process research and development impairments | 40 | ||||
Eye Care Reporting Unit [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Goodwill | 9,824.8 | $ 9,824.8 | |||
US General Medicine [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Goodwill | $ 21,399.7 | $ 21,399.7 | 21,399.7 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Rate used for goodwill annual impairment test | 1.00% | ||||
Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Rate used for goodwill annual impairment test | 2.00% | ||||
Measurement Input, Discount Rate [Member] | Minimum [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Rate used for goodwill annual impairment test | 8.50% | 7.50% | |||
Measurement Input, Discount Rate [Member] | Maximum [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Rate used for goodwill annual impairment test | 10.00% | 8.50% | |||
ASU 2016-15 [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Increase in cash flows from operating activities | $ 170.5 | 205.6 | |||
Decrease in cash flows from financing activities | $ 170.5 | $ 205.6 |
Summary of Significant Accoun50
Summary of Significant Accounting Policies - Provisions for Sales Returns and Allowances from Continuing Operations Activity (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Dec. 31, 2017 | |
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Accounts payable and accrued liabilities | $ 4,683.8 | $ 5,541.4 |
Chargebacks [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Balance at beginning of period | 77.2 | |
Provision related to sales in 2018 | 550.9 | |
Credits and payments | (565.6) | |
Balance at end of period | 62.5 | |
Contra accounts receivable at June 30, 2018 | 62.5 | |
Rebates [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Balance at beginning of period | 1,799.2 | |
Provision related to sales in 2018 | 2,556.5 | |
Credits and payments | (2,622.2) | |
Balance at end of period | 1,733.5 | |
Contra accounts receivable at June 30, 2018 | 67.4 | |
Accounts payable and accrued liabilities | 1,666.1 | |
Returns and Other Allowances [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Balance at beginning of period | 517.6 | |
Provision related to sales in 2018 | 859.6 | |
Credits and payments | (842.1) | |
Balance at end of period | 535.1 | |
Contra accounts receivable at June 30, 2018 | 42.9 | |
Accounts payable and accrued liabilities | 492.2 | |
Cash Discounts [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Balance at beginning of period | 36.5 | |
Provision related to sales in 2018 | 155.4 | |
Credits and payments | (161.8) | |
Balance at end of period | 30.1 | |
Contra accounts receivable at June 30, 2018 | 30.1 | |
Allowance for Sales Returns [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Balance at beginning of period | 2,430.5 | |
Provision related to sales in 2018 | 4,122.4 | |
Credits and payments | (4,191.7) | |
Balance at end of period | 2,361.2 | |
Contra accounts receivable at June 30, 2018 | 202.9 | 250.6 |
Accounts payable and accrued liabilities | $ 2,158.3 | $ 2,179.9 |
Summary of Significant Accoun51
Summary of Significant Accounting Policies - Summarizes The Balance Sheet Classification of Our SRA Reserves (Details) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Sales Return Allowance Reserve [Line Items] | ||
Accounts payable and accrued expenses | $ 4,683.8 | $ 5,541.4 |
Allowance for Sales Returns [Member] | ||
Sales Return Allowance Reserve [Line Items] | ||
Contra accounts receivable | 202.9 | 250.6 |
Accounts payable and accrued expenses | 2,158.3 | 2,179.9 |
Total | $ 2,361.2 | $ 2,430.5 |
Summary of Significant Accoun52
Summary of Significant Accounting Policies - Summary of Activity in Gross-to-Net Revenue Excluding Discontinued Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Disaggregation Of Revenue [Line Items] | ||||
Net product sales | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Product [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Gross product sales | 6,095.5 | 5,888.4 | 11,711.6 | 11,270.8 |
Provisions to reduce gross product sales to net product sales | (2,087.3) | (1,977.3) | (4,122.4) | (3,869.9) |
Net product sales | $ 4,008.2 | $ 3,911.1 | $ 7,589.2 | $ 7,400.9 |
Percentage of SRA provisions to gross sales | 34.20% | 33.60% | 35.20% | 34.30% |
Summary of Significant Accoun53
Summary of Significant Accounting Policies - Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net (loss): | ||||
Net (loss) attributable to ordinary shareholders excluding income from discontinued operations, net of tax | $ (472.5) | $ (787.1) | $ (805) | $ (3,418.8) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) attributable to ordinary shareholders | $ (472.5) | $ (795.5) | $ (805) | $ (3,430.3) |
Basic weighted average ordinary shares outstanding | 339.1 | 335.2 | 336.9 | 335.2 |
Basic EPS: | ||||
Continuing operations | $ (1.39) | $ (2.35) | $ (2.39) | $ (10.20) |
Discontinued operations | (0.02) | (0.03) | ||
Net (loss) per share - basic | (1.39) | (2.37) | (2.39) | (10.23) |
Dividends per ordinary share | $ 0.72 | $ 0.70 | $ 1.44 | $ 1.40 |
Diluted weighted average ordinary shares outstanding | 339.1 | 335.2 | 336.9 | 335.2 |
Diluted EPS: | ||||
Continuing operations | $ (1.39) | $ (2.35) | $ (2.39) | $ (10.20) |
Discontinued operations | (0.02) | (0.03) | ||
Net (loss) per share - diluted | $ (1.39) | $ (2.37) | $ (2.39) | $ (10.23) |
Acquisitions and Other Agreem54
Acquisitions and Other Agreements - Additional Information (Detail) - USD ($) $ in Millions | Apr. 06, 2018 | Jan. 31, 2018 | Apr. 28, 2017 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 |
Business Acquisition [Line Items] | |||||||
Asset impairment charges | $ 252 | ||||||
Product rights and other intangibles | 49,928.3 | $ 54,648.3 | |||||
Elastagen Pty Ltd [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition date | Apr. 6, 2018 | ||||||
Upfront expense for acquisiton | $ 96.1 | ||||||
Elastagen Pty Ltd [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Additional consideration payable | $ 165 | ||||||
Repros Therapeutics, Inc. [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition date | Jan. 31, 2018 | ||||||
Payments to acquire business, cash | $ 33.2 | ||||||
Payments to acquire R&D cash net charge | $ 33.2 | ||||||
Zeltiq Aesthetics, Inc. [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Payments to acquire business, cash | $ 2,405.4 | ||||||
Business acquisition date | Apr. 28, 2017 | ||||||
Step-up in the value of inventories | 22.9 | ||||||
Amortization of inventory step-up to cost of sales | $ 11.9 | $ 11.9 | $ 22.9 | ||||
Non-Current Assets Held For Sale [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Product rights and other intangibles | $ 130.5 |
Acquisitions and Other Agreem55
Acquisitions and Other Agreements - Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date and Purchase Accounting Adjustments Subsequent to Acquisition Date (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | ||
Goodwill | $ 49,687.2 | $ 49,862.9 |
Zeltiq Aesthetics, Inc. [Member] | ||
Business Acquisition [Line Items] | ||
Cash and cash equivalents | 36.7 | |
Accounts receivable | 47 | |
Inventories | 59.3 | |
Property, plant and equipment | 12.4 | |
Intangible assets | 1,185 | |
Goodwill | 1,211.6 | |
Other assets | 17.1 | |
Accounts payable and accrued expenses | (104.6) | |
Deferred revenue | (10.6) | |
Deferred taxes, net | (47.2) | |
Other liabilities | (1.3) | |
Net assets acquired | $ 2,405.4 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) - USD ($) $ in Millions | Oct. 03, 2016 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 31, 2018 |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||||
Cash Outflow In Investing Activities | $ 3,634.4 | $ 400 | ||||
Cash Outflow In Financing Activities | (6,490.4) | $ (3,771.7) | ||||
Anda Distribution Business and Global Generics Business [Member] | ||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||||
Gain on sale of business | $ 15,932.2 | |||||
Teva [Member] | ||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||||
Working capital one-time settlement payable | $ 700 | |||||
Pre-tax charge sale of business | $ 466 | |||||
Cash Outflow In Investing Activities | 466 | |||||
Cash Outflow In Financing Activities | $ 234 | |||||
Teva [Member] | Anda Distribution Business [Member] | ||||||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||||||
Discontinued operations definite sale agreement date | Oct. 3, 2016 | |||||
Consideration amount on sale of business | $ 500 |
Other Income _ (Expense) - Comp
Other Income / (Expense) - Components of Other (Expense) / Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Other Non Operating Income Expense [Line Items] | ||||
Sale of business | $ 53 | $ 53 | ||
Dividend income | $ 34.1 | $ 68.2 | ||
Naurex recovery | 20 | |||
Other income / (expense), net | 14.7 | (6.1) | 13.6 | (5) |
Other income / (expense), net | 215.4 | (133.5) | 136.6 | (2,056.3) |
Other Debt Tender Offer [Member] | ||||
Other Non Operating Income Expense [Line Items] | ||||
Debt extinguishment costs | 9.1 | 9.1 | ||
Debt Tender Offer [Member] | ||||
Other Non Operating Income Expense [Line Items] | ||||
Debt extinguishment costs | $ (161.5) | (161.5) | ||
Teva [Member] | ||||
Other Non Operating Income Expense [Line Items] | ||||
Net income impact of other-than-temporary loss on investment | $ 138.6 | $ 60.9 | $ (1,978) |
Other Income _ (Expense) - Summ
Other Income / (Expense) - Summary of Teva Share Activity (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Feb. 13, 2018 | Mar. 31, 2018 | Jun. 30, 2017 | Mar. 31, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 |
Other Non Operating Income Expense [Line Items] | ||||||||
Retained earnings | $ 12,082.9 | $ 12,957.2 | ||||||
Accounting Standards Update No. 2016-01 [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Retained earnings | 63 | |||||||
Teva [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | 59.4 | 100.3 | 100.3 | 100.3 | 95.9 | 100.3 | ||
Carrying Value per Share | $ 17.09 | $ 32.09 | $ 32.09 | $ 32.09 | $ 17.60 | $ 53.39 | ||
Market Price | $ 17.09 | $ 33.22 | $ 32.09 | $ 33.22 | $ 18.95 | $ 36.25 | ||
Discount | 4.90% | 1.90% | 5.40% | |||||
Proceeds Received | $ 372.3 | $ 1,015.5 | 1,815.5 | |||||
Movement in the Value of Marketable Securities | 1,014.7 | $ 3,060.6 | $ 3,268.4 | $ 1,817.7 | $ 3,439.2 | |||
Unrealized Gain / (Loss) as a Component of Other Comprehensive Income | 207.8 | 129.3 | $ (1,599.4) | |||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | (77.7) | $ (1,978) | 60.9 | $ (1,978) | ||||
Derivative Instrument (Liability)/ Asset | (353.3) | $ (62.9) | ||||||
Retained earnings | 129.3 | $ 129.3 | ||||||
Teva [Member] | Accounting Standards Update No. 2016-01 [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Unrealized Gain / (Loss) as a Component of Other Comprehensive Income | (129.3) | |||||||
Retained earnings | $ 129.3 | |||||||
Teva [Member] | Settlement of Initial Accelerated Share Repurchase ("ASR"), Net [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | (25) | |||||||
Carrying Value per Share | $ 18.95 | |||||||
Market Price | $ 16.53 | |||||||
Proceeds Received | $ 413.3 | |||||||
Movement in the Value of Marketable Securities | (473.8) | |||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | 2.5 | |||||||
Derivative Instrument (Liability)/ Asset | 62.9 | |||||||
Teva [Member] | Forward Sale [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Proceeds Received | 372.3 | |||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | 19 | |||||||
Derivative Instrument (Liability)/ Asset | $ (353.3) | |||||||
Teva [Member] | Open Market Sales [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | (11.5) | (34.4) | ||||||
Market Price | $ 19.95 | $ 20.55 | ||||||
Proceeds Received | $ 229.9 | $ 706.8 | ||||||
Movement in the Value of Marketable Securities | (218.5) | (587.4) | ||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | 11.5 | $ 119.4 | ||||||
Teva [Member] | Other Fair Value [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | 100.3 | 100.3 | ||||||
Carrying Value per Share | $ 32.09 | $ 32.09 | ||||||
Market Price | $ 33.22 | $ 33.22 | ||||||
Discount | 1.90% | |||||||
Movement in the Value of Marketable Securities | (110.7) | $ 207.8 | ||||||
Unrealized Gain / (Loss) as a Component of Other Comprehensive Income | $ 207.8 | |||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | $ (110.7) | |||||||
Teva [Member] | Settlement of Forward Sale, Net [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | (25) | |||||||
Carrying Value per Share | $ 17.09 | |||||||
Market Price | $ 18.61 | |||||||
Proceeds Received | $ 93.2 | |||||||
Movement in the Value of Marketable Securities | (427.3) | |||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | 19.2 | |||||||
Derivative Instrument (Liability)/ Asset | $ 353.3 | |||||||
Teva [Member] | Other-than-temporary Impairment [Member] | ||||||||
Other Non Operating Income Expense [Line Items] | ||||||||
Shares | 100.3 | |||||||
Carrying Value per Share | $ 32.09 | |||||||
Market Price | $ 32.09 | |||||||
Discount | 4.90% | |||||||
Movement in the Value of Marketable Securities | $ (378.6) | |||||||
Unrealized Gain / (Loss) as a Component of Other Comprehensive Income | 1,599.4 | |||||||
Gain / (Loss) Recognized in Other Income/ (Expense), Net | $ (1,978) |
Other Income _ (Expense) - Su59
Other Income / (Expense) - Summary of Teva Share Activity (Parenthetical) (Detail) - Teva [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Feb. 13, 2018 | Mar. 31, 2018 | Jun. 30, 2018 | May 07, 2018 | Jan. 17, 2018 |
Other Non Operating Income Expense [Line Items] | |||||
Closing stock price of securities | $ 18.62 | $ 21.48 | |||
Forward sale of investment shares | 25 | ||||
Proceeds from forward sale received | $ 372.3 | $ 1,015.5 | $ 1,815.5 |
Other Income _ (Expense) - Addi
Other Income / (Expense) - Additional Information (Detail) - USD ($) shares in Millions, $ in Millions | Aug. 02, 2016 | Aug. 28, 2015 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 |
Other Non Operating Income Expense [Line Items] | ||||||
Gain on sale of business | $ 53 | $ 53 | ||||
Senior notes, repurchase amount | 455.9 | 455.9 | ||||
Ordinary shares acquired as a result of the Teva Transaction | 100.3 | |||||
Dividend income | $ 34.1 | $ 68.2 | ||||
Naurex, Inc. [Member] | ||||||
Other Non Operating Income Expense [Line Items] | ||||||
Business acquisition date | Aug. 28, 2015 | |||||
Amount received from purchase price reduction | 20 | |||||
Other Debt Tender Offer [Member] | ||||||
Other Non Operating Income Expense [Line Items] | ||||||
Gain (loss) on extinguishment of debt | 9.1 | 9.1 | ||||
Other income (expenses) cash discount received | 13.1 | |||||
Redeemable premium interest | 4 | |||||
Debt Tender Offer [Member] | ||||||
Other Non Operating Income Expense [Line Items] | ||||||
Gain (loss) on extinguishment of debt | (161.5) | (161.5) | ||||
Make-whole premium | $ 170.5 | $ 170.5 | ||||
Senior Notes [Member] | ||||||
Other Non Operating Income Expense [Line Items] | ||||||
Senior notes, repurchase amount | 455.9 | 455.9 | ||||
Non-Strategic Asset Group [Member] | ||||||
Other Non Operating Income Expense [Line Items] | ||||||
Asset held-for-sale in cash | 55 | 55 | ||||
Asset held-for-sale in deferred consideration | $ 20 | 20 | ||||
Gain on sale of business | $ 53 |
Other Income _ (Expense) - Su61
Other Income / (Expense) - Summary of Redeemed and Retired Senior Notes (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | $ 455.9 |
Cash Paid for Retirement | 442.8 |
Remaining Value at June 30, 2018 | 16,944.1 |
2.450% Notes Due June 15, 2019 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 8.8 |
Cash Paid for Retirement | 8.8 |
Remaining Value at June 30, 2018 | 491.2 |
3.000% notes due March 12, 2020 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 40.7 |
Cash Paid for Retirement | 40.6 |
Remaining Value at June 30, 2018 | 3,459.3 |
3.450% notes due March 15, 2022 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 59.5 |
Cash Paid for Retirement | 58.6 |
Remaining Value at June 30, 2018 | 2,940.5 |
3.850% Notes Due June 15, 2024 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 11.2 |
Cash Paid for Retirement | 10.9 |
Remaining Value at June 30, 2018 | 1,188.8 |
3.800% notes due March 15, 2025 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 85 |
Cash Paid for Retirement | 82.6 |
Remaining Value at June 30, 2018 | 3,915 |
4.550% notes due March 15, 2035 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 115 |
Cash Paid for Retirement | 110.1 |
Remaining Value at June 30, 2018 | 2,385 |
4.850% Notes Due June 15, 2044 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 59 |
Cash Paid for Retirement | 57.3 |
Remaining Value at June 30, 2018 | 1,441 |
4.750% notes due March 15, 2045 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, repurchase amount | 76.7 |
Cash Paid for Retirement | 73.9 |
Remaining Value at June 30, 2018 | $ 1,123.3 |
Other Income _ (Expense) - Su62
Other Income / (Expense) - Summary of Redeemed and Retired Senior Notes (Parenthetical) (Details) | 6 Months Ended |
Jun. 30, 2018 | |
2.450% Notes Due June 15, 2019 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 2.45% |
Senior notes, maturity date | 2,019 |
3.000% notes due March 12, 2020 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 3.00% |
Senior notes, maturity date | 2,020 |
3.450% notes due March 15, 2022 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 3.45% |
Senior notes, maturity date | 2,022 |
3.850% Notes Due June 15, 2024 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 3.85% |
Senior notes, maturity date | 2,024 |
3.800% notes due March 15, 2025 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 3.80% |
Senior notes, maturity date | 2,025 |
4.550% notes due March 15, 2035 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 4.55% |
Senior notes, maturity date | 2,035 |
4.850% Notes Due June 15, 2044 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 4.85% |
Senior notes, maturity date | 2,044 |
4.750% notes due March 15, 2045 [Member] | |
Other Non Operating Income Expense [Line Items] | |
Senior notes, interest rate | 4.75% |
Senior notes, maturity date | 2,045 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Fair Value Assumptions of Options based on Black-Scholes Valuation Model (Detail) | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Two Thousand Eighteen Grants [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected volatility | 27.00% | |
Risk-free interest rate, Minimum | 2.20% | |
Risk-free interest rate, Maximum | 2.80% | |
Expected term | 7 years | |
Two Thousand Eighteen Grants [Member] | Minimum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Dividend yield | 1.80% | |
Two Thousand Eighteen Grants [Member] | Maximum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Dividend yield | 1.90% | |
2017 Grants [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Dividend yield | 1.20% | |
Expected volatility | 27.00% | |
Risk-free interest rate, Minimum | 2.00% | |
Risk-free interest rate, Maximum | 2.30% | |
Expected term | 7 years |
Share-Based Compensation - Shar
Share-Based Compensation - Share-Based Compensation Expense Recognized in Company's Results of Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 54.9 | $ 117.3 | $ 127.4 | $ 193.1 |
Equity Based Compensation Awards [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 54.9 | 85.8 | $ 127.4 | 148.5 |
Cash-Settled Equity Awards [Member] | Zeltiq Aesthetics, Inc. [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 31.5 | 31.5 | ||
Non Equity-Settled Awards Other [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total stock-based compensation expense (benefit) | $ 13.1 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Impact of Accelerations and Step-ups Relating to Acquisition Accounting Treatment of Outstanding Awards (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Recognized share-based compensation expense relating to acquisition accounting treatment of outstanding awards acquired | $ 3.4 | $ 51 | $ 13.2 | $ 73 |
Zeltiq Aesthetics, Inc. [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Recognized share-based compensation expense relating to acquisition accounting treatment of outstanding awards acquired | 2.4 | 37.7 | 6.5 | 37.7 |
Allergan, Inc. [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Recognized share-based compensation expense relating to acquisition accounting treatment of outstanding awards acquired | $ 1 | 10.4 | $ 6.7 | 27.8 |
Forest Laboratories, Inc. [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Recognized share-based compensation expense relating to acquisition accounting treatment of outstanding awards acquired | $ 2.9 | $ 7.5 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized future share-based compensation expense | $ 431.7 |
Remaining weighted average period (years) | 1 year 8 months 12 days |
Zeltiq Aesthetics, Inc. [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized future share-based compensation expense | $ 12.1 |
Allergan, Inc. [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized future share-based compensation expense | $ 18.6 |
Share-Based Compensation - Su67
Share-Based Compensation - Summary of Equity Award Activity for Unvested Restricted Stock and Stock Units (Detail) - Restricted Stock [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Restricted shares / units outstanding, beginning balance | 2 | |
Shares, Granted | 1.4 | |
Shares, Vested | (0.5) | |
Shares, Forfeited | (0.2) | |
Restricted shares / units outstanding, ending balance | 2.7 | 2 |
Weighted Average Grant Date Fair Value, outstanding, beginning balance | $ 237.72 | |
Weighted Average Grant Date Fair Value, Granted | 140.43 | |
Weighted Average Grant Date Fair Value, Vested | (251.60) | |
Weighted Average Grant Date Fair Value, Forfeited | (205) | |
Weighted Average Grant Date Fair Value, outstanding, ending balance | $ 190.48 | $ 237.72 |
Weighted Average Remaining Contractual Term (Years) | 2 years | 1 year 9 months 18 days |
Aggregate Grant Date Fair Value, outstanding, beginning balance | $ 484.1 | |
Aggregate Grant Date Fair Value, Granted | 196.6 | |
Aggregate Grant Date Fair Value, Vested | (125.8) | |
Aggregate Grant Date Fair Value, Forfeited | (41) | |
Aggregate Grant Date Fair Value, outstanding, ending balance | $ 513.9 | $ 484.1 |
Share-Based Compensation - Su68
Share-Based Compensation - Summary of Equity Award Activity for Non-Qualified Options to Purchase Ordinary Shares (Detail) - Non-qualified Options [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Options, Outstanding, Beginning Balance | 7.3 | |
Options, Granted | 0.2 | |
Options, Exercised | (0.6) | |
Options, Cancelled | (0.1) | |
Options, Outstanding, Ending Balance | 6.8 | 7.3 |
Options, vested and expected to vest | 6.8 | |
Weighted Average Exercise Price, Outstanding, Beginning Balance | $ 120.94 | |
Weighted Average Exercise Price, Granted | 150.82 | |
Weighted Average Exercise Price, Exercised | 105.85 | |
Weighted Average Exercise Price, Cancelled | 244.14 | |
Weighted Average Exercise Price, Outstanding, Ending Balance | 122.06 | $ 120.94 |
Weighted Average Exercise Price, vested and expected to vest | $ 122.06 | |
Weighted Average Remaining Contractual Term (Years), Outstanding | 4 years 9 months 18 days | 5 years 2 months 12 days |
Weighted Average Remaining Contractual Term (Years), vested and expected to vest | 4 years 9 months 18 days | |
Aggregate Intrinsic Value, Outstanding | $ 303.6 | $ 312.7 |
Aggregate Intrinsic Value, vested and expected to vest | $ 303.6 |
Reportable Segments - Additiona
Reportable Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2018Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Reportable Segments - Schedule
Reportable Segments - Schedule of Net Revenues, Operating Expenses Contribution Information by Reportable Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating expenses: | ||||
Cost of sales | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
General and administrative | 334.1 | 459.8 | 630 | 775.9 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Operating (loss) | $ (467) | $ (902.4) | $ (1,121) | $ (1,808.4) |
Segment operating margin | (11.40%) | (22.60%) | (14.40%) | (23.90%) |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 4,095.6 | $ 4,001.2 | $ 7,761.9 | $ 7,566.3 |
Operating expenses: | ||||
Cost of sales | 489.9 | 457 | 927.6 | 841 |
Selling and marketing | 844.3 | 883.8 | 1,628.7 | 1,726.2 |
General and administrative | 116.7 | 119.4 | 237.2 | 234.8 |
Segment contribution | $ 2,644.7 | $ 2,541 | $ 4,968.4 | $ 4,764.3 |
Contribution margin | 64.60% | 63.50% | 64.00% | 63.00% |
Corporate Non Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 28.6 | $ 6.2 | $ 34.4 | $ 14 |
Operating expenses: | ||||
Corporate | 189.8 | 478.8 | 460.1 | 764.8 |
US Specialized Therapeutics [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 1,826.7 | 1,715 | 3,405.3 | 3,197 |
Operating expenses: | ||||
Cost of sales | 148.7 | 128.8 | 282.9 | 218 |
Selling and marketing | 343.3 | 356.8 | 656.5 | 687.2 |
General and administrative | 48.1 | 49.8 | 98.3 | 94.6 |
Segment contribution | $ 1,286.6 | $ 1,179.6 | $ 2,367.6 | $ 2,197.2 |
Contribution margin | 70.40% | 68.80% | 69.50% | 68.70% |
International [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 948.9 | $ 858.5 | $ 1,812.9 | $ 1,595.8 |
Operating expenses: | ||||
Cost of sales | 139.4 | 125 | 260.3 | 225.3 |
Selling and marketing | 246.2 | 238.9 | 491.9 | 448.4 |
General and administrative | 33.9 | 28.3 | 65.3 | 58.2 |
Segment contribution | $ 529.4 | $ 466.3 | $ 995.4 | $ 863.9 |
Contribution margin | 55.80% | 54.30% | 54.90% | 54.10% |
US General Medicine [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 1,320 | $ 1,427.7 | $ 2,543.7 | $ 2,773.5 |
Operating expenses: | ||||
Cost of sales | 201.8 | 203.2 | 384.4 | 397.7 |
Selling and marketing | 254.8 | 288.1 | 480.3 | 590.6 |
General and administrative | 34.7 | 41.3 | 73.6 | 82 |
Segment contribution | $ 828.7 | $ 895.1 | $ 1,605.4 | $ 1,703.2 |
Contribution margin | 62.80% | 62.70% | 63.10% | 61.40% |
Reportable Segments - Schedul71
Reportable Segments - Schedule of Net Revenues, Operating Expenses Contribution Information by Reportable Segment (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Corporate Non Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 28.6 | $ 6.2 | $ 34.4 | $ 14 |
Reportable Segments - Presents
Reportable Segments - Presents of Net Revenue Disaggregated by Geography for International Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating Segments [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | 4,095.6 | 4,001.2 | 7,761.9 | 7,566.3 |
Operating Segments [Member] | International [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | 948.9 | 858.5 | 1,812.9 | 1,595.8 |
Operating Segments [Member] | International [Member] | Europe [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | 413.3 | 378.1 | 811.7 | 704.7 |
Operating Segments [Member] | International [Member] | Asia Pacific, Middle East and Africa [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | 283.6 | 236.3 | 524.4 | 448.4 |
Operating Segments [Member] | International [Member] | Latin America and Canada [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | 230.8 | 215.6 | 442.9 | 398.4 |
Operating Segments [Member] | International [Member] | Other [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Net Revenues | $ 21.2 | $ 28.5 | $ 33.9 | $ 44.3 |
Reportable Segments - Present73
Reportable Segments - Presents of Global Net Revenues and Reconciliation of Segment Revenues to Total Net Revenues by Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 4,095.6 | 4,001.2 | 7,761.9 | 7,566.3 |
Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 1,826.7 | 1,715 | 3,405.3 | 3,197 |
Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 1,320 | 1,427.7 | 2,543.7 | 2,773.5 |
Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 948.9 | 858.5 | 1,812.9 | 1,595.8 |
Corporate Non Segment [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 28.6 | 6.2 | 34.4 | 14 |
Botox [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 934.5 | 816.1 | 1,751.8 | 1,530.1 |
Botox [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 658.5 | 574 | 1,231 | 1,083.4 |
Botox [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 276 | 242.1 | 520.8 | 446.7 |
Restasis [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 334.2 | 353.7 | 608.3 | 676.4 |
Restasis [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 318.2 | 336.4 | 574 | 645.2 |
Restasis [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 16 | 17.3 | 34.3 | 31.2 |
Juvederm Collection [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 295.9 | 263.5 | 564.8 | 505.5 |
Juvederm Collection [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 139.8 | 126.2 | 262.6 | 246 |
Juvederm Collection [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 156.1 | 137.3 | 302.2 | 259.5 |
Namenda XR [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 3.4 | 118.7 | 43.9 | 240.7 |
Namenda XR [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 3.4 | 118.7 | 43.9 | 240.7 |
Lumigan And Ganfort [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 173.5 | 173.4 | 340.7 | 333.6 |
Lumigan And Ganfort [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 73 | 79 | 139.8 | 153.3 |
Lumigan And Ganfort [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 100.5 | 94.4 | 200.9 | 180.3 |
Bystolic/Byvalson [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 148.7 | 151.2 | 282 | 291.5 |
Bystolic/Byvalson [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 148.1 | 150.7 | 280.9 | 290.5 |
Bystolic/Byvalson [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.6 | 0.5 | 1.1 | 1 |
Linzess/Constella [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 198.2 | 173.3 | 363.1 | 325.8 |
Linzess/Constella [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 191.8 | 167.8 | 351.1 | 315.4 |
Linzess/Constella [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 6.4 | 5.5 | 12 | 10.4 |
Alphagan And Combigan [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 142.7 | 139.1 | 271.1 | 267.8 |
Alphagan And Combigan [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 98.1 | 96.4 | 182.3 | 182.8 |
Alphagan And Combigan [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 44.6 | 42.7 | 88.8 | 85 |
Asacol/Delzicol [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 45 | 58.4 | 94.9 | 128.1 |
Asacol/Delzicol [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 32.6 | 45.6 | 70.8 | 103.2 |
Asacol/Delzicol [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 12.4 | 12.8 | 24.1 | 24.9 |
Lo Loestrin [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 127.8 | 113 | 242.4 | 212.8 |
Lo Loestrin [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 127.8 | 113 | 242.4 | 212.8 |
Estrace Cream [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 13.1 | 90.1 | 19.5 | 163.5 |
Estrace Cream [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 13.1 | 90.1 | 19.5 | 163.5 |
Eye Drops [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 126.2 | 121.4 | 241.2 | 234.5 |
Eye Drops [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 53.8 | 50.7 | 100 | 98.5 |
Eye Drops [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 72.4 | 70.7 | 141.2 | 136 |
Breast Implants [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 115.8 | 102.4 | 220.6 | 194.3 |
Breast Implants [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 75.9 | 61.3 | 136.6 | 115.6 |
Breast Implants [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 39.9 | 41.1 | 84 | 78.7 |
Viibryd/Fetzima [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 88.3 | 85.9 | 161.5 | 158.8 |
Viibryd/Fetzima [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 86.7 | 85.2 | 158.4 | 157.7 |
Viibryd/Fetzima [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 1.6 | 0.7 | 3.1 | 1.1 |
Minastrin 24 [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.8 | 11.4 | 6 | 52.5 |
Minastrin 24 [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.8 | 11.4 | 6 | 52.5 |
Ozurdex [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 95.5 | 76.1 | 185.4 | 149.7 |
Ozurdex [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 27.6 | 24.9 | 53.1 | 47.4 |
Ozurdex [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 67.9 | 51.2 | 132.3 | 102.3 |
Carafate And Sulcrate [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 55 | 59.9 | 111.7 | 119.3 |
Carafate And Sulcrate [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 54.3 | 59.2 | 110.3 | 117.9 |
Carafate And Sulcrate [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.7 | 0.7 | 1.4 | 1.4 |
Coolsculpting Consumables [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 90.4 | 60.4 | 151.9 | 60.4 |
Coolsculpting Consumables [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 71.9 | 47.9 | 125.3 | 47.9 |
Coolsculpting Consumables [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 18.5 | 12.5 | 26.6 | 12.5 |
Aczone [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 21.2 | 41.1 | 37.3 | 81.7 |
Aczone [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 21.1 | 41 | 37.1 | 81.6 |
Aczone [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.1 | 0.1 | 0.2 | 0.1 |
Zenpep [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 55.5 | 50.5 | 108.4 | 97 |
Zenpep [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 55.5 | 50.5 | 108.4 | 97 |
Canasa/Salofalk [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 49.5 | 42.7 | 92.3 | 85.4 |
Canasa/Salofalk [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 45 | 38.4 | 83.6 | 76.7 |
Canasa/Salofalk [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 4.5 | 4.3 | 8.7 | 8.7 |
Vraylar [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 114.2 | 66.3 | 198.6 | 119.9 |
Vraylar [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 114.2 | 66.3 | 198.6 | 119.9 |
Saphris [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 33.8 | 43 | 66.5 | 80.3 |
Saphris [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 33.8 | 43 | 66.5 | 80.3 |
Coolsculpting Systems & Add On Applicators [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 48.8 | 41.2 | 83.6 | 41.2 |
Coolsculpting Systems & Add On Applicators [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 36.4 | 31 | 70.1 | 31 |
Coolsculpting Systems & Add On Applicators [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 12.4 | 10.2 | 13.5 | 10.2 |
Viberzi [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 45.2 | 41.4 | 81.2 | 72.9 |
Viberzi [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 44.9 | 41.3 | 80.8 | 72.8 |
Viberzi [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.3 | 0.1 | 0.4 | 0.1 |
Teflaro [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 33 | 33 | 65.2 | 63.6 |
Teflaro [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 32.4 | 33 | 64.6 | 63.6 |
Teflaro [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.6 | 0.6 | ||
Namzaric [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 31.8 | 33.4 | 65.2 | 57 |
Namzaric [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 31.8 | 33.4 | 65.2 | 57 |
Rapaflo [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 21.3 | 27.4 | 45.3 | 55.3 |
Rapaflo [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 19.7 | 25.7 | 42.5 | 51.6 |
Rapaflo [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 1.6 | 1.7 | 2.8 | 3.7 |
Tazorac [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 6.6 | 13 | 16.2 | 36.6 |
Tazorac [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 6.4 | 12.8 | 15.8 | 36.2 |
Tazorac [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.2 | 0.2 | 0.4 | 0.4 |
SkinMedica [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 22.8 | 25.4 | 42.5 | 53.4 |
SkinMedica [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 20.8 | 25.4 | 38.9 | 53.4 |
SkinMedica [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 2 | 3.6 | ||
Latisse [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 15.6 | 15.7 | 31.6 | 31.2 |
Latisse [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 13.5 | 13.3 | 27.3 | 26.9 |
Latisse [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 2.1 | 2.4 | 4.3 | 4.3 |
Kybella/Belkyra [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 13.5 | 14.7 | 23.1 | 31.3 |
Kybella/Belkyra [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 11.2 | 12.7 | 19.4 | 27.8 |
Kybella/Belkyra [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 2.3 | 2 | 3.7 | 3.5 |
Alloderm [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 109.4 | 86.9 | 211.1 | 142.2 |
Alloderm [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 107.1 | 84.6 | 206.6 | 138.7 |
Alloderm [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 2.3 | 2.3 | 4.5 | 3.5 |
Dalvance [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 19 | 16.4 | 30.9 | 26 |
Dalvance [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 17.7 | 15.2 | 29.6 | 24.8 |
Dalvance [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 1.3 | 1.2 | 1.3 | 1.2 |
Avycaz [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 23.5 | 14.5 | 45.3 | 25.8 |
Avycaz [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 23.5 | 14.5 | 45.3 | 25.8 |
Liletta [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 15.5 | 6.6 | 23.6 | 13.8 |
Liletta [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 15.5 | 6.6 | 23.6 | 13.8 |
Armour Thyroid [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 49.2 | 42 | 97.4 | 79.3 |
Armour Thyroid [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 49.2 | 42 | 97.4 | 79.3 |
Savella [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 19.1 | 26 | 39 | 50.3 |
Savella [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 19.1 | 26 | 39 | 50.3 |
Lexapro [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 14.5 | 13.1 | 29.2 | 26.5 |
Lexapro [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 14.5 | 13.1 | 29.2 | 26.5 |
Other [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 343.6 | 338.9 | 667.5 | 650.2 |
Other [Member] | Operating Segments [Member] | US Specialized Therapeutics [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 73.7 | 71.7 | 142.9 | 129.7 |
Other [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 164.3 | 162.7 | 328.5 | 331.4 |
Other [Member] | Operating Segments [Member] | International [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | $ 105.6 | $ 104.5 | 196.1 | 189.1 |
Namenda IR [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.1 | |||
Namenda IR [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.1 | |||
Namenda IR [Member] | Operating Segments [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | 0.1 | 0.1 | ||
Namenda IR [Member] | Operating Segments [Member] | US General Medicine [Member] | ||||
Entity Wide Information Revenue From External Customer [Line Items] | ||||
Net revenues | $ 0.1 | $ 0.1 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 339.6 | $ 326.9 |
Work-in-process | 147.9 | 158.1 |
Finished goods | 552.8 | 527.8 |
Inventory, Gross | 1,040.3 | 1,012.8 |
Less: inventory reserves | 117.8 | 108.3 |
Total Inventories | $ 922.5 | $ 904.5 |
Accounts Payable and Accrued 75
Accounts Payable and Accrued Expenses - Summary of Accounts Payable and Accrued Expenses (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2017 |
Accrued expenses: | |||
Accrued third-party rebates | $ 1,666.1 | $ 1,713.7 | |
Accrued payroll and related benefits | 550.7 | 635.6 | |
Accrued returns and other allowances | 492.2 | 466.2 | |
Accrued R&D expenditures | 320.1 | 165.9 | |
Accrued pharmaceutical fees | 220.4 | 186.4 | |
Interest payable | 202.5 | 245.9 | |
Royalties payable | 157.3 | 189.2 | |
Litigation-related reserves and legal fees | 132.6 | 78.3 | |
Accrued non-provision taxes | 67.4 | 76.5 | |
Accrued severance, retention and other shutdown costs | 63.6 | 132.8 | |
Accrued selling and marketing expenditures | 60.9 | 53 | |
Current portion of contingent consideration obligations | 6.5 | 56.2 | |
Contractual commitments (including amounts due to Teva) | 5.2 | 705.4 | |
Dividends payable | 1.4 | 24.6 | $ 24.6 |
Other accrued expenses | 451.1 | 487.2 | |
Total accrued expenses | 4,398 | 5,216.9 | |
Accounts payable | 285.8 | 324.5 | |
Total accounts payable and accrued expenses | $ 4,683.8 | $ 5,541.4 |
Goodwill, Product Rights and 76
Goodwill, Product Rights and Other Intangible Assets - Schedule of Goodwill (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Goodwill [Line Items] | |
Balance as of December 31, 2017 | $ 49,862.9 |
Foreign exchange and other adjustments | (175.7) |
Balance as of June 30, 2018 | 49,687.2 |
US Specialized Therapeutics [Member] | |
Goodwill [Line Items] | |
Balance as of December 31, 2017 | 20,859.6 |
Foreign exchange and other adjustments | 0 |
Balance as of June 30, 2018 | 20,859.6 |
US General Medicine [Member] | |
Goodwill [Line Items] | |
Balance as of December 31, 2017 | 21,399.7 |
Foreign exchange and other adjustments | 0 |
Balance as of June 30, 2018 | 21,399.7 |
International [Member] | |
Goodwill [Line Items] | |
Balance as of December 31, 2017 | 7,603.6 |
Foreign exchange and other adjustments | (175.7) |
Balance as of June 30, 2018 | $ 7,427.9 |
Goodwill, Product Rights and 77
Goodwill, Product Rights and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Goodwill Product Rights And Other Intangible Assets [Line Items] | |||||
Gross balance of goodwill | $ 49,704.5 | $ 49,704.5 | $ 49,880.2 | ||
In-process research and development impairments | $ 276 | $ 703.3 | 798 | $ 1,043.3 | |
Vitae [Member] | IPR&D [Member] | RORyt [Member] | |||||
Goodwill Product Rights And Other Intangible Assets [Line Items] | |||||
In-process research and development impairments | $ 522 |
Goodwill, Product Rights and 78
Goodwill, Product Rights and Other Intangible Assets - Schedule of Cost Basis on Product Rights and Other Intangible Assets (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangible assets, gross, Amortization | $ (1,697.1) | $ (1,757.9) | $ (3,394.7) | $ (3,493.9) | |
Intangibles with indefinite lives, Impairments | (276) | $ (703.3) | (798) | $ (1,043.3) | |
Product rights and other intangibles | 49,928.3 | 49,928.3 | $ 54,648.3 | ||
Cost Basis [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangibles with definite lives, Beginning balance | 74,582.5 | ||||
Intangibles with definite lives, Impairments | 0 | ||||
Intangibles assets, gross, Foreign Currency Translation | (191.7) | ||||
Intangibles with definite lives, Held for Sale | (430) | ||||
Intangibles with definite lives, Foreign Currency Translation | (191.7) | ||||
Intangibles with definite lives, Ending balance | 73,960.8 | 73,960.8 | |||
Intangibles with indefinite lives, Beginning balance | 5,874.1 | ||||
Intangibles with indefinite lives, Impairments | (798) | ||||
Intagibles with indefinite lives, Held for Sale | 0 | ||||
Intangibles with indefinite lives, Foreign Currency Translation | 0 | ||||
Intangibles with indefinite lives, Ending balance | 5,076.1 | 5,076.1 | |||
Intangible assets, gross, Beginning balance | 80,456.6 | ||||
Intangible assets, gross, Impairments | (798) | ||||
Intangibles assets, Held for Sale | (430) | ||||
Intangible assets, gross, Ending balance | 79,036.9 | 79,036.9 | |||
Cost Basis [Member] | Product Rights and Other Intangibles [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangibles with definite lives, Beginning balance | 73,892.5 | ||||
Intangibles with definite lives, Impairments | 0 | ||||
Intangibles with definite lives, Held for Sale | (430) | ||||
Intangibles with definite lives, Foreign Currency Translation | (191.7) | ||||
Intangibles with definite lives, Ending balance | 73,270.8 | 73,270.8 | |||
Cost Basis [Member] | Trade Name [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangibles with definite lives, Beginning balance | 690 | ||||
Intangibles with definite lives, Impairments | 0 | ||||
Intangibles with definite lives, Held for Sale | 0 | ||||
Intangibles with definite lives, Foreign Currency Translation | 0 | ||||
Intangibles with definite lives, Ending balance | 690 | 690 | |||
Cost Basis [Member] | IPR&D [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangibles with indefinite lives, Beginning balance | 5,874.1 | ||||
Intangibles with indefinite lives, Impairments | (798) | ||||
Intagibles with indefinite lives, Held for Sale | 0 | ||||
Intangibles with indefinite lives, Foreign Currency Translation | 0 | ||||
Intangibles with indefinite lives, Ending balance | 5,076.1 | 5,076.1 | |||
Accumulated Amortization [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangible assets, Accumulated Amortization, Beginning balance | (25,808.3) | ||||
Intangible assets, gross, Amortization | (3,394.7) | ||||
Intangibles with definite lives, Impairments | (258.8) | ||||
Intangibles assets, gross, Foreign Currency Translation | 53.7 | ||||
Intangibles with definite lives, Held for Sale | 299.5 | ||||
Intangibles with definite lives, Foreign Currency Translation | 53.7 | ||||
Intangible assets, Accumulated Amortization, Ending balance | (29,108.6) | (29,108.6) | |||
Accumulated Amortization [Member] | Product Rights and Other Intangibles [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangible assets, Accumulated Amortization, Beginning balance | (25,593.6) | ||||
Intangible assets, gross, Amortization | (3,355.7) | ||||
Intangibles with definite lives, Impairments | (258.8) | ||||
Intangibles with definite lives, Held for Sale | 299.5 | ||||
Intangibles with definite lives, Foreign Currency Translation | 53.7 | ||||
Intangible assets, Accumulated Amortization, Ending balance | (28,854.9) | (28,854.9) | |||
Accumulated Amortization [Member] | Trade Name [Member] | |||||
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | |||||
Intangible assets, Accumulated Amortization, Beginning balance | (214.7) | ||||
Intangible assets, gross, Amortization | (39) | ||||
Intangibles with definite lives, Impairments | 0 | ||||
Intangibles with definite lives, Held for Sale | 0 | ||||
Intangibles with definite lives, Foreign Currency Translation | 0 | ||||
Intangible assets, Accumulated Amortization, Ending balance | $ (253.7) | $ (253.7) |
Goodwill, Product Rights and 79
Goodwill, Product Rights and Other Intangible Assets - Schedule of Annual Amortization Expense on Product Rights and Other Related Intangibles (Detail) - Product Rights and Other Related Intangibles [Member] $ in Millions | Jun. 30, 2018USD ($) |
Finite Lived Intangible Assets [Line Items] | |
2018 remaining | $ 3,070.5 |
2,019 | 5,988.2 |
2,020 | 5,684.5 |
2,021 | 4,742.6 |
2,022 | 4,382.1 |
2,023 | $ 3,968.8 |
Long-Term Debt and Capital Le80
Long-Term Debt and Capital Leases - Schedule of Long-Term Debt and Capital Leases (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 25,405.5 | $ 29,698.2 |
Unamortized premium | 76.6 | 88.9 |
Unamortized discount | (74.8) | (81.7) |
Total Senior Notes Net | 25,407.3 | 29,705.4 |
Senior Notes, Fair Market Value | 24,867.2 | 30,303.6 |
Debt Issuance Costs | (107.2) | (121.5) |
Total Other Borrowings | (66.2) | 367.2 |
Total Indebtedness | 25,350.5 | 30,075.3 |
Margin Loan [Member] | ||
Debt Instrument [Line Items] | ||
Total Other Borrowings | 459 | |
Capital Leases [Member] | ||
Debt Instrument [Line Items] | ||
Total Term Loan Indebtedness | 9.4 | 2.7 |
Floating Rate Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | 500 | 1,000 |
Senior Notes, Fair Market Value | $ 504.7 | 1,008.7 |
Floating Rate Notes [Member] | Notes Due March 12, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | 500 | |
Senior Notes, Fair Market Value | 500.6 | |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Quarterly | |
Acquisition Date | Mar. 4, 2015 | |
Floating Rate Notes [Member] | Notes Due March 12, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 500 | 500 |
Senior Notes, Fair Market Value | $ 504.7 | 508.1 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Quarterly | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 21,750.8 | 25,456.7 |
Senior Notes, Fair Market Value | $ 21,272.5 | 26,073 |
Fixed Rate Notes [Member] | 2.350% Notes Due March 12, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | 3,000 | |
Senior Notes, Fair Market Value | 3,001.9 | |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | 1.350% Notes Due March 15, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | 250 | |
Senior Notes, Fair Market Value | 249.7 | |
Issuance Date | Mar. 17, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 17, 2015 | |
Fixed Rate Notes [Member] | 2.450% Notes Due June 15, 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 491.2 | 500 |
Senior Notes, Fair Market Value | $ 489.1 | 499.7 |
Issuance Date | Jun. 10, 2014 | |
Interest Payments | Semi-annually | |
Acquisition Date | Jun. 10, 2014 | |
Fixed Rate Notes [Member] | 3.000% notes due March 12, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 3,459.3 | 3,500 |
Senior Notes, Fair Market Value | $ 3,443.6 | 3,528.4 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | 3.375% Notes Due September 15, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 650 | 650 |
Senior Notes, Fair Market Value | $ 648.5 | 661.3 |
Issuance Date | Mar. 17, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 17, 2015 | |
Fixed Rate Notes [Member] | 4.875% Notes Due February 15, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 450 | 450 |
Senior Notes, Fair Market Value | $ 461.9 | 474.3 |
Issuance Date | Jul. 1, 2014 | |
Interest Payments | Semi-annually | |
Acquisition Date | Jul. 1, 2014 | |
Fixed Rate Notes [Member] | 5.000% Notes Due December 15, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 1,200 | 1,200 |
Senior Notes, Fair Market Value | $ 1,242.1 | 1,282.6 |
Issuance Date | Jul. 1, 2014 | |
Interest Payments | Semi-annually | |
Acquisition Date | Jul. 1, 2014 | |
Fixed Rate Notes [Member] | 3.450% notes due March 15, 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 2,940.5 | 3,000 |
Senior Notes, Fair Market Value | $ 2,891.8 | 3,044.5 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | 3.250% Notes Due October 1, 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 1,700 | 1,700 |
Senior Notes, Fair Market Value | $ 1,650.3 | 1,703 |
Issuance Date | Oct. 2, 2012 | |
Interest Payments | Semi-annually | |
Acquisition Date | Oct. 2, 2012 | |
Fixed Rate Notes [Member] | 2.800% Notes Due March 15, 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 350 | 350 |
Senior Notes, Fair Market Value | $ 329.9 | 341.6 |
Issuance Date | Mar. 17, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 17, 2015 | |
Fixed Rate Notes [Member] | 3.850% Notes Due June 15, 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 1,188.8 | 1,200 |
Senior Notes, Fair Market Value | $ 1,165 | 1,232.3 |
Issuance Date | Jun. 10, 2014 | |
Interest Payments | Semi-annually | |
Acquisition Date | Jun. 10, 2014 | |
Fixed Rate Notes [Member] | 3.800% notes due March 15, 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 3,915 | 4,000 |
Senior Notes, Fair Market Value | $ 3,801.3 | 4,067.1 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | 4.550% notes due March 15, 2035 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 2,385 | 2,500 |
Senior Notes, Fair Market Value | $ 2,261.1 | 2,631.9 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Fixed Rate Notes [Member] | 4.625% Notes Due October 1, 2042 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 456.7 | 456.7 |
Senior Notes, Fair Market Value | $ 418.8 | 471.2 |
Issuance Date | Oct. 2, 2012 | |
Interest Payments | Semi-annually | |
Acquisition Date | Oct. 2, 2012 | |
Fixed Rate Notes [Member] | 4.850% Notes Due June 15, 2044 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 1,441 | 1,500 |
Senior Notes, Fair Market Value | $ 1,389 | 1,606.2 |
Issuance Date | Jun. 10, 2014 | |
Interest Payments | Semi-annually | |
Acquisition Date | Jun. 10, 2014 | |
Fixed Rate Notes [Member] | 4.750% notes due March 15, 2045 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 1,123.3 | 1,200 |
Senior Notes, Fair Market Value | $ 1,080.1 | 1,277.3 |
Issuance Date | Mar. 4, 2015 | |
Interest Payments | Semi-annually | |
Acquisition Date | Mar. 4, 2015 | |
Euro Denominated Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 3,154.7 | 3,241.5 |
Senior Notes, Fair Market Value | 3,090 | 3,221.9 |
Euro Denominated Notes [Member] | 0.500% Notes Due June 1, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | 876.3 | 900.4 |
Senior Notes, Fair Market Value | $ 867.7 | 895.8 |
Issuance Date | May 26, 2017 | |
Interest Payments | Annually | |
Acquisition Date | May 26, 2017 | |
Euro Denominated Notes [Member] | 1.250% Notes Due June 1, 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 817.9 | 840.4 |
Senior Notes, Fair Market Value | $ 792.4 | 831.1 |
Issuance Date | May 26, 2017 | |
Interest Payments | Annually | |
Acquisition Date | May 26, 2017 | |
Euro Denominated Notes [Member] | 2.125% Notes Due June 1, 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 642.6 | 660.3 |
Senior Notes, Fair Market Value | $ 619.1 | 657.8 |
Issuance Date | May 26, 2017 | |
Interest Payments | Annually | |
Acquisition Date | May 26, 2017 | |
Euro Denominated Notes [Member] | Notes Due June 1, 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Total Senior Notes Gross | $ 817.9 | 840.4 |
Senior Notes, Fair Market Value | $ 810.8 | 837.2 |
Issuance Date | May 26, 2017 | |
Interest Payments | Quarterly | |
Acquisition Date | May 26, 2017 | |
Other [Member] | ||
Debt Instrument [Line Items] | ||
Total Other Borrowings | $ 41 | $ 29.7 |
Long-Term Debt and Capital Le81
Long-Term Debt and Capital Leases - Schedule of Long-Term Debt and Capital Leases (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
2.450% Notes Due June 15, 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 2.45% | |
3.000% notes due March 12, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 3.00% | |
3.450% notes due March 15, 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 3.45% | |
3.850% Notes Due June 15, 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 3.85% | |
3.800% notes due March 15, 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 3.80% | |
4.550% notes due March 15, 2035 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 4.55% | |
4.850% Notes Due June 15, 2044 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 4.85% | |
4.750% notes due March 15, 2045 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, interest rate | 4.75% | |
Floating Rate Notes [Member] | Notes Due March 12, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 12, 2018 | Mar. 12, 2018 |
Percentage of margin | 1.08% | 1.08% |
Debt instrument variable rate basis | Three month USD LIBOR | Three month USD LIBOR |
Interest payment terms | Interest on the 2018 floating rate note is three month USD LIBOR plus 1.080% per annum | Interest on the 2018 floating rate note is three month USD LIBOR plus 1.080% per annum |
Floating Rate Notes [Member] | Notes Due March 12, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 12, 2020 | Mar. 12, 2020 |
Percentage of margin | 1.255% | 1.255% |
Debt instrument variable rate basis | Three month USD LIBOR | Three month USD LIBOR |
Interest payment terms | Interest on the 2020 floating rate note is three month USD LIBOR plus 1.255% per annum | Interest on the 2020 floating rate note is three month USD LIBOR plus 1.255% per annum |
Fixed Rate Notes [Member] | 2.350% Notes Due March 12, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 12, 2018 | Mar. 12, 2018 |
Senior notes, interest rate | 2.35% | 2.35% |
Fixed Rate Notes [Member] | 1.350% Notes Due March 15, 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2018 | Mar. 15, 2018 |
Senior notes, interest rate | 1.35% | 1.35% |
Fixed Rate Notes [Member] | 2.450% Notes Due June 15, 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 15, 2019 | Jun. 15, 2019 |
Senior notes, interest rate | 2.45% | 2.45% |
Fixed Rate Notes [Member] | 3.000% notes due March 12, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 12, 2020 | Mar. 12, 2020 |
Senior notes, interest rate | 3.00% | 3.00% |
Fixed Rate Notes [Member] | 3.375% Notes Due September 15, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Sep. 15, 2020 | Sep. 15, 2020 |
Senior notes, interest rate | 3.375% | 3.375% |
Fixed Rate Notes [Member] | 4.875% Notes Due February 15, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Feb. 15, 2021 | Feb. 15, 2021 |
Senior notes, interest rate | 4.875% | 4.875% |
Fixed Rate Notes [Member] | 5.000% Notes Due December 15, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Dec. 15, 2021 | Dec. 15, 2021 |
Senior notes, interest rate | 5.00% | 5.00% |
Fixed Rate Notes [Member] | 3.450% notes due March 15, 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2022 | Mar. 15, 2022 |
Senior notes, interest rate | 3.45% | 3.45% |
Fixed Rate Notes [Member] | 3.250% Notes Due October 1, 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Oct. 1, 2022 | Oct. 1, 2022 |
Senior notes, interest rate | 3.25% | 3.25% |
Fixed Rate Notes [Member] | 2.800% Notes Due March 15, 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2023 | Mar. 15, 2023 |
Senior notes, interest rate | 2.80% | 2.80% |
Fixed Rate Notes [Member] | 3.850% Notes Due June 15, 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 15, 2024 | Jun. 15, 2024 |
Senior notes, interest rate | 3.85% | 3.85% |
Fixed Rate Notes [Member] | 3.800% notes due March 15, 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2025 | Mar. 15, 2025 |
Senior notes, interest rate | 3.80% | 3.80% |
Fixed Rate Notes [Member] | 4.550% notes due March 15, 2035 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2035 | Mar. 15, 2035 |
Senior notes, interest rate | 4.55% | 4.55% |
Fixed Rate Notes [Member] | 4.625% Notes Due October 1, 2042 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Oct. 1, 2042 | Oct. 1, 2042 |
Senior notes, interest rate | 4.625% | 4.625% |
Fixed Rate Notes [Member] | 4.850% Notes Due June 15, 2044 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 15, 2044 | Jun. 15, 2044 |
Senior notes, interest rate | 4.85% | 4.85% |
Fixed Rate Notes [Member] | 4.750% notes due March 15, 2045 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Mar. 15, 2045 | Mar. 15, 2045 |
Senior notes, interest rate | 4.75% | 4.75% |
Euro Denominated Notes [Member] | 0.500% Notes Due June 1, 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 1, 2021 | Jun. 1, 2021 |
Senior notes, interest rate | 0.50% | 0.50% |
Euro Denominated Notes [Member] | 1.250% Notes Due June 1, 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 1, 2024 | Jun. 1, 2024 |
Senior notes, interest rate | 1.25% | 1.25% |
Euro Denominated Notes [Member] | 2.125% Notes Due June 1, 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes, maturity date | Jun. 1, 2029 | Jun. 1, 2029 |
Senior notes, interest rate | 2.125% | 2.125% |
Euro Denominated Notes [Member] | Notes Due June 1, 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Percentage of margin | 0.35% | 0.35% |
Debt instrument variable rate basis | Three month EURIBOR | Three month EURIBOR |
Interest payment terms | Interest on the 2019 floating rate notes is the three month EURIBOR plus 0.350% per annum | Interest on the 2019 floating rate notes is the three month EURIBOR plus 0.350% per annum |
Long-Term Debt and Capital Le82
Long-Term Debt and Capital Leases - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Line Of Credit Facility [Line Items] | |
Senior notes, repurchase amount | $ 455.9 |
Repayment of Senior notes | 3,750 |
Senior Notes [Member] | |
Line Of Credit Facility [Line Items] | |
Senior notes, repurchase amount | 455.9 |
Margin Loan [Member] | |
Line Of Credit Facility [Line Items] | |
Amount repaid | 459 |
Revolving Credit Facility | |
Line Of Credit Facility [Line Items] | |
Revolving credit facility, borrowing amount | 700 |
Revolving credit facility, repayment amount | $ 700 |
Long-Term Debt and Capital Le83
Long-Term Debt and Capital Leases - Schedule of Annual Debt Maturities (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Debt Disclosure [Abstract] | ||
2,019 | $ 1,309.1 | |
2,020 | 4,609.3 | |
2,021 | 2,526.3 | |
2,022 | 4,640.5 | |
2,023 | 350 | |
2024 and after | 11,970.3 | |
Total senior notes gross | 25,405.5 | |
Capital leases | 9.4 | |
Debt issuance costs | (107.2) | |
Other short-term borrowings | 41 | |
Unamortized premium | 76.6 | $ 88.9 |
Unamortized discount | (74.8) | (81.7) |
Total Indebtedness | $ 25,350.5 | $ 30,075.3 |
Other Long-Term Liabilities - S
Other Long-Term Liabilities - Summary of Other Long-Term Liabilities (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Other Liabilities Disclosure [Abstract] | ||
Acquisition related contingent consideration liabilities | $ 358 | $ 420.7 |
Long-term pension and post retirement liability | 149.9 | 162.7 |
Legacy Allergan deferred executive compensation | 105.2 | 113.8 |
Long-term contractual obligations | 43.8 | 45.2 |
Deferred revenue | 33.8 | 37.9 |
Product warranties | 28.7 | 28.7 |
Long-term severance and restructuring liabilities | 13 | 53.1 |
Other long-term liabilities | 21 | 24.8 |
Total other long-term liabilities | $ 753.4 | $ 886.9 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax [Line Items] | ||||
Company's effective tax rate | 47.70% | 25.40% | ||
Tax benefit related to restructuring of acquired business | $ 421.9 | |||
Tax detriments for gain on sale of investments | 21.2 | |||
Change in applicable tax rate on certain temporary differences | 25.9 | |||
Tax benefit related to restructuring of acquired business and debt restructuring | $ 69.4 | |||
Decrease to deferred tax liabilities | $ 2,340.4 | |||
Partial reversal of prior amounts accrued for taxes on unremitted earnings | 1,260 | |||
Income tax expense related to repatriation of foreign earnings | $ 728.1 | |||
Repatriation tax payable period | 8 years | |||
Teva [Member] | ||||
Income Tax [Line Items] | ||||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |||
U.S. Subsidiaries [Member] | ||||
Income Tax [Line Items] | ||||
Tax benefit for investments | $ 179.6 | 79.8 | ||
Certain Intangible Assets [Member] | ||||
Income Tax [Line Items] | ||||
Tax benefit for impairment | $ 231 | $ 288.1 |
Income Taxes - Summary of Acqui
Income Taxes - Summary of Acquired U.S. Entities and Taxable Years that are Currently under Audit by IRS (Detail) - U.S. Federal Income Tax Authority [Member] | 6 Months Ended |
Jun. 30, 2018 | |
Allergan W C Holding Inc. [Member] | |
Income Tax Examination [Line Items] | |
Tax Years | 2013 2014 2015 2016 |
Warner Chilcott Corporation [Member] | |
Income Tax Examination [Line Items] | |
Tax Years | 2010 2011 2012 2013 |
Forest Laboratories, Inc. [Member] | |
Income Tax Examination [Line Items] | |
Tax Years | 2010 2011 2012 2013 2014 |
Allergan, Inc. [Member] | |
Income Tax Examination [Line Items] | |
Tax Years | 2009 2010 2011 2012 2013 2014 |
Taxable Years, date | Jul. 3, 2015 |
Shareholders' Equity - Summary
Shareholders' Equity - Summary of Changes in Shareholders' Equity (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Shareholders Equity [Line Items] | ||||
Shareholders' equity, Beginning Balance | $ 73,821.1 | |||
Net (loss) attributable to shareholders | $ (472.5) | $ (725.9) | (758.6) | $ (3,291.1) |
Other comprehensive (loss), net of tax | (448.6) | 697.8 | (264.8) | 860.4 |
Share-based compensation | 127.4 | 148.5 | ||
Ordinary shares issued under employee stock plans | 69.2 | |||
Implementation of new accounting pronouncements (Refer to Note 3) | 361.7 | |||
Dividends declared | (540.4) | |||
Repurchase of ordinary shares under the share repurchase programs | (1,540) | |||
Repurchase of ordinary shares | (32.1) | |||
Shareholders' equity, Ending Balance | 71,243.5 | 71,243.5 | ||
Warner Chilcott Limited [Member] | ||||
Shareholders Equity [Line Items] | ||||
Members' equity, Beginning Balance | 81,266.2 | |||
Net (loss) attributable to members | (372.4) | (693.2) | (603.7) | (3,230.5) |
Other comprehensive (loss), net of tax | (448.6) | $ 697.8 | (264.8) | 860.4 |
Share-based compensation | 127.4 | $ 148.5 | ||
Implementation of new accounting pronouncements (Refer to Note 3) | 361.7 | |||
Dividends to Parents | (2,103.7) | |||
Members' equity, Ending Balance | $ 78,655.7 | $ 78,655.7 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) - USD ($) | Mar. 01, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | Jul. 26, 2018 | Sep. 25, 2017 |
Shareholders Equity [Line Items] | |||||
Share repurchase program, Approved amount | $ 2,000,000,000 | ||||
Number of shares repurchased under program | 12,200,000 | ||||
Dividends on preferred shares | $ 69,600,000 | $ 139,200,000 | |||
Convertible Preferred Share, conversion date | Mar. 1, 2018 | ||||
Convertible Preferred Stock, shares issued upon each share conversion | 3.53 | ||||
Ordinary Shares [Member] | |||||
Shareholders Equity [Line Items] | |||||
Convertible Preferred Stock, shares issued upon conversion | 17,876,930 | ||||
Subsequent Event [Member] | |||||
Shareholders Equity [Line Items] | |||||
Share repurchase program, Approved amount | $ 2,000,000,000 |
Hedging Activities - Additional
Hedging Activities - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosures [Line Items] | |||||
Outstanding third-party foreign currency instruments | $ 0 | $ 0 | $ 0 | ||
Designated as Hedging Instrument [Member] | |||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | |||||
Derivative notional amount | 3,600,000,000 | 3,600,000,000 | $ 3,600,000,000 | ||
Gain (Loss) on Derivative Used in Net Investment Hedge, Net of Tax | $ 197,100,000 | $ (57,200,000) | $ 102,000,000 | $ (57,200,000) |
Fair Value Measurement - Schedu
Fair Value Measurement - Schedule of Financial Assets and Liabilities Measured at Fair Value using Fair Value Leveling or Disclosed at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Quoted Prices In Active Markets for Identical Assets (Level 1) [Member] | ||
ASSETS | ||
Cash equivalents | $ 1,249.9 | $ 1,328.1 |
Investment in Teva ordinary shares | 1,249.9 | |
Quoted Prices In Active Markets for Identical Assets (Level 1) [Member] | Investment In Teva Ordinary Shares [Member] | ||
ASSETS | ||
Investment in Teva ordinary shares | 1,817.7 | |
Fair Value, Measurements, Recurring [Member] | ||
ASSETS | ||
Short-term investments | 21.5 | 2,814.4 |
Deferred executive compensation investments | 105.2 | 112.4 |
Investments and other | 73.3 | 72.3 |
Total assets | 1,449.9 | 6,144.9 |
Liabilities: | ||
Deferred executive compensation liabilities | 105.2 | 113.8 |
Contingent consideration obligations | 364.4 | 476.9 |
Total liabilities | 469.6 | 590.7 |
Fair Value, Measurements, Recurring [Member] | Cash Equivalents [Member] | ||
ASSETS | ||
Cash equivalents | 1,249.9 | 1,328.1 |
Fair Value, Measurements, Recurring [Member] | Investment In Teva Ordinary Shares [Member] | ||
ASSETS | ||
Investment in Teva ordinary shares | 1,817.7 | |
Fair Value, Measurements, Recurring [Member] | Quoted Prices In Active Markets for Identical Assets (Level 1) [Member] | ||
ASSETS | ||
Deferred executive compensation investments | 86.8 | 92.9 |
Investments and other | 73.3 | 72.3 |
Total assets | 1,410 | 3,311 |
Liabilities: | ||
Deferred executive compensation liabilities | 86.8 | 94.3 |
Total liabilities | 86.8 | 94.3 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices In Active Markets for Identical Assets (Level 1) [Member] | Cash Equivalents [Member] | ||
ASSETS | ||
Cash equivalents | 1,249.9 | 1,328.1 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices In Active Markets for Identical Assets (Level 1) [Member] | Investment In Teva Ordinary Shares [Member] | ||
ASSETS | ||
Investment in Teva ordinary shares | 1,817.7 | |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
ASSETS | ||
Short-term investments | 21.5 | 2,814.4 |
Deferred executive compensation investments | 18.4 | 19.5 |
Total assets | 39.9 | 2,833.9 |
Liabilities: | ||
Deferred executive compensation liabilities | 18.4 | 19.5 |
Total liabilities | 18.4 | 19.5 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Liabilities: | ||
Contingent consideration obligations | 364.4 | 476.9 |
Total liabilities | $ 364.4 | $ 476.9 |
Fair Value Measurement - Sche91
Fair Value Measurement - Schedule of Financial Assets and Liabilities Measured at Fair Value using Fair Value Leveling or Disclosed at Fair Value on Recurring Basis (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2017 | |
Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities remaining maturity period at the time of acquisition | 90 days | 90 days |
Fair Value Measurement - Invest
Fair Value Measurement - Investments in Securities (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale Securities [Line Items] | ||
Marketable securities | $ 21.5 | $ 4,632.1 |
Level 1 [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value | 3,145.8 | |
Estimated fair value | 1,249.9 | |
Cash equivalents | 1,249.9 | 1,328.1 |
Marketable securities | 1,817.7 | |
Carrying amount | 1,249.9 | 3,016.5 |
Unrecognized gain | 129.3 | |
Level 1 [Member] | Money Market Funds [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Carrying amount | 1,249.9 | 1,328.1 |
Estimated fair value | 1,249.9 | 1,328.1 |
Cash equivalents | 1,249.9 | 1,328.1 |
Level 1 [Member] | Investment In Teva Ordinary Shares [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value | 1,817.7 | |
Marketable securities | 1,817.7 | |
Carrying amount | 1,688.4 | |
Unrecognized gain | 129.3 | |
Level 2 [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value | 21.5 | |
Estimated fair value | 2,814.4 | |
Marketable securities | 21.5 | 2,814.4 |
Carrying amount | 21.5 | 2,815.1 |
Unrecognized loss | (0.7) | |
Level 2 [Member] | Other Investments [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Carrying amount | 21.5 | |
Estimated fair value | 21.5 | |
Marketable securities | $ 21.5 | |
Level 2 [Member] | Commercial Paper and Other [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Carrying amount | 1,248.9 | |
Unrecognized loss | (0.7) | |
Estimated fair value | 1,248.2 | |
Marketable securities | 1,248.2 | |
Level 2 [Member] | Certificates of Deposit [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Carrying amount | 1,566.2 | |
Estimated fair value | 1,566.2 | |
Marketable securities | $ 1,566.2 |
Fair Value Measurement - Change
Fair Value Measurement - Change in Fair Value of Contingent Consideration Obligations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Change in fair value of contingent consideration obligation | $ (107.1) | $ (15.5) | $ (101.8) | $ 15.2 |
Cost of Sales [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Change in fair value of contingent consideration obligation | (128.8) | (24.8) | (125.4) | (60.3) |
R&D Expense [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Change in fair value of contingent consideration obligation | $ 21.7 | $ 9.3 | $ 23.6 | $ 75.5 |
Fair Value Measurement - Summar
Fair Value Measurement - Summary of Changes in Fair Value of all Financial Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Detail) - Contingent Consideration Obligations [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | $ 476.9 | $ 1,172.1 |
Purchases, settlements, and other net | (10.7) | (540.4) |
Net accretion and fair value adjustments | (101.8) | 15.2 |
Foreign currency translation | (8.3) | |
Ending balance | $ 364.4 | $ 638.6 |
Fair Value Measurement - Sche95
Fair Value Measurement - Schedule of Contingent Consideration Obligations by Acquisitions (Detail) - Contingent Consideration Obligations [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Business Acquisition [Line Items] | ||
Beginning balance | $ 476.9 | $ 1,172.1 |
Fair Value Adjustments and Accretion | (101.8) | 15.2 |
Payments and Other | (10.7) | |
Ending balance | 364.4 | $ 638.6 |
Tobira [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 227.8 | |
Fair Value Adjustments and Accretion | 22.7 | |
Ending balance | 250.5 | |
Allergan, Inc. [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 18.7 | |
Fair Value Adjustments and Accretion | (17.7) | |
Ending balance | 1 | |
Medicines 360 Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 44.4 | |
Fair Value Adjustments and Accretion | (1.2) | |
Payments and Other | (2.1) | |
Ending balance | 41.1 | |
AqueSys Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 28.5 | |
Fair Value Adjustments and Accretion | (23.2) | |
Ending balance | 5.3 | |
ForSight [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 46.3 | |
Fair Value Adjustments and Accretion | 0.9 | |
Ending balance | 47.2 | |
Oculeve Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 90.1 | |
Fair Value Adjustments and Accretion | (86) | |
Payments and Other | (0.1) | |
Ending balance | 4 | |
Metrogel Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 7.5 | |
Payments and Other | (7.5) | |
Ending balance | 0 | |
Forest Laboratories, Inc. [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 12.7 | |
Fair Value Adjustments and Accretion | 1.7 | |
Payments and Other | (1) | |
Ending balance | 13.4 | |
Other Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Beginning balance | 0.9 | |
Fair Value Adjustments and Accretion | 1 | |
Ending balance | $ 1.9 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Fair Value Disclosures [Abstract] | |
Contingent consideration milestone payments | $ 10.5 |
Business Restructuring Charge97
Business Restructuring Charges - Schedule of Activity Related to Business Restructuring and Facility Rationalization Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Restructuring Cost And Reserve [Line Items] | ||||
Reserve beginning balance | $ 185.9 | |||
Charged to expense | $ 6.4 | $ 119 | 24.3 | $ 140.9 |
Cash payments | (125.4) | |||
Non-cash adjustments | (8.2) | |||
Reserve ending balance | 76.6 | 76.6 | ||
Cost of Sales [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 5.5 | |||
Selling and Marketing Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 13.7 | |||
General and Administrative Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 5.1 | |||
Severance and Retention [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Reserve beginning balance | 166 | |||
Charged to expense | 16.1 | |||
Cash payments | (120.8) | |||
Non-cash adjustments | 0 | |||
Reserve ending balance | 61.3 | 61.3 | ||
Severance and Retention [Member] | Cost of Sales [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 5.5 | |||
Severance and Retention [Member] | Selling and Marketing Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 9.6 | |||
Severance and Retention [Member] | General and Administrative Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 1 | |||
Share-Based Compensation [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Reserve beginning balance | 0 | |||
Charged to expense | 8.2 | |||
Cash payments | 0 | |||
Non-cash adjustments | (8.2) | |||
Reserve ending balance | 0 | 0 | ||
Share-Based Compensation [Member] | Cost of Sales [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 0 | |||
Share-Based Compensation [Member] | Selling and Marketing Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 4.1 | |||
Share-Based Compensation [Member] | General and Administrative Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 4.1 | |||
Other [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Reserve beginning balance | 19.9 | |||
Charged to expense | 0 | |||
Cash payments | (4.6) | |||
Non-cash adjustments | 0 | |||
Reserve ending balance | $ 15.3 | 15.3 | ||
Other [Member] | Cost of Sales [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 0 | |||
Other [Member] | Selling and Marketing Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | 0 | |||
Other [Member] | General and Administrative Expense [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Charged to expense | $ 0 |
Business Restructuring Charge98
Business Restructuring Charges - Additional Information (Detail) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($)Employee | Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | |
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring charges recognized | $ 6.4 | $ 119 | $ 24.3 | $ 140.9 |
Severance and other employee related charges | $ 6.4 | 21.6 | ||
Share based compensation related to business restructuring | $ 8.2 | |||
Commercial Organization [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring charges recognized | $ 29.9 | |||
Number of positions expected to be eliminated | Employee | 400 | |||
R&D Organization [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring charges recognized | $ 26.8 | |||
Number of positions expected to be eliminated | Employee | 200 |
Commitments & Contingencies - A
Commitments & Contingencies - Additional Information (Detail) $ in Millions | Feb. 13, 2018Claim | Nov. 04, 2016Claim | Feb. 05, 2016Cases | Sep. 21, 2015Litigation | Jun. 22, 2015Litigation | May 29, 2015Litigation | Feb. 24, 2015Litigation | Apr. 05, 2013Litigation | Feb. 26, 2018LitigationClaim | Jun. 30, 2018USD ($)LitigationClaimDefendant | Dec. 31, 2017USD ($) |
Loss Contingencies [Line Items] | |||||||||||
Accrued loss contingencies | $ | $ 80 | $ 55 | |||||||||
Patent Litigation [Member] | Aczone [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Trial date | 2019-02 | ||||||||||
Zydus [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | November 28, 2016 | ||||||||||
Rapaflo [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Dismissal date | Apr. 20, 2018 | ||||||||||
Argentum [Member] | Restasis [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | December 7, 2016 | ||||||||||
Savella [Member] | Strides [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | April 20, 2018 | ||||||||||
End-payors [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 12 | ||||||||||
Number of cases dismissed | Claim | 2 | ||||||||||
Direct Purchasers [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 5 | ||||||||||
Number of cases dismissed | Claim | 1 | ||||||||||
Pending Litigation [Member] | Apotex [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | April 10, 2017 | ||||||||||
Pending Litigation [Member] | Mylan [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | December 18, 2017 | ||||||||||
Pending Litigation [Member] | Sandoz [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Dismissal date | Apr. 13, 2017 | ||||||||||
Asacol Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 2 | ||||||||||
Number of additional putative class actions filed | 3 | ||||||||||
Trial date | 2018-01 | ||||||||||
Botox [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 1 | ||||||||||
Tentative settlement date | Nov. 30, 2017 | ||||||||||
Loestrin 24 [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 2 | ||||||||||
Namenda Litigation Direct Purchasers [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 1 | ||||||||||
Number of plaintiffs | Claim | 2 | ||||||||||
Restasis [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 17 | ||||||||||
Zymar/Zymaxid [Member] | Apotex [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Tentative settlement date | Oct. 18, 2017 | ||||||||||
Dismissal date | Apr. 26, 2017 | ||||||||||
Warner Chilcott Marketing Practices [Member] | Warner Chilcott Limited [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | Claim | 1 | ||||||||||
Generic Drug Pricing Securities Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | Claim | 1 | ||||||||||
Generic Drug Pricing Securities Litigation [Member] | NEW JERSEY | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | Claim | 1 | ||||||||||
ERISA Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 2 | ||||||||||
ERISA Litigation [Member] | NEW JERSEY | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 1 | ||||||||||
ERISA Litigation [Member] | California [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of putative class actions filed | 1 | ||||||||||
Prescription Drug Abuse Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Trial date | 2019-06 | ||||||||||
Prescription Drug Abuse Litigation [Member] | Pending Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of defendant cases pending | Defendant | 1,028 | ||||||||||
Xaleron Pharmaceuticals, Inc [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Number of lawsuit filed | Cases | 1 | ||||||||||
Forest Laboratories, Inc. [Member] | Employment Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | April 3, 2017 | ||||||||||
Lastacaft [Member] | Pending Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Trial date | 2019-07 | ||||||||||
Sun and Certain Sun Affiliates [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | January 2,018 | ||||||||||
Namzaric [Member] | Amerigen [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | October 21, 2016 | ||||||||||
Namzaric [Member] | Par [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | April 29, 2016 | ||||||||||
Namzaric [Member] | Amneal [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | August 30, 2016 | ||||||||||
Namzaric [Member] | Macleods [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Settlement agreement date | March 9, 2018 |
Commitments & Contingencies 100
Commitments & Contingencies - Additional Information 1 (Detail) | 6 Months Ended | |
Jun. 30, 2018LitigationClaimDefendantCasesTrademarkPlaintiffPatent | Apr. 19, 2017Cases | |
Saint Regis Mohawk Tribe [Member] | Restasis [Member] | ||
Loss Contingencies [Line Items] | ||
Number of patents acquired | Patent | 6 | |
Juvederm [Member] | KBC [Member] | ||
Loss Contingencies [Line Items] | ||
Settlement agreement date | June 2,017 | |
Actonel Litigation [Member] | Warner Chilcott Limited [Member] | ||
Loss Contingencies [Line Items] | ||
Number of cases pending | Claim | 383 | |
Number of defendant cases | Defendant | 168 | |
Number of plaintiffs | Plaintiff | 553 | |
Actonel Litigation [Member] | Product Liability Litigation [Member] | Warner Chilcott Limited [Member] | ||
Loss Contingencies [Line Items] | ||
Number of plaintiffs | Plaintiff | 2 | |
AlloDerm Litigation [Member] | Product Liability Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Number of lawsuit filed | Litigation | 370 | |
Number of cases dismissed | 369 | |
AlloDerm Litigation [Member] | Product Liability Litigation [Member] | Pending Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Number of cases pending | 1 | |
Celexa/Lexapro Litigation [Member] | Product Liability Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Number of defendant cases | Defendant | 166 | |
RepliForm Litigation [Member] | Product Liability Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Number of defendant cases | 325 | |
Cases settled or dismissed | 200 | |
Testosterone Litigation [Member] | Product Liability Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Number of cases pending | 525 | |
Minimum [Member] | Dermavita Limited Partnership [Member] | ||
Loss Contingencies [Line Items] | ||
Number of trademark opposition and cancellation pending | Trademark | 150 |
Warner Chilcott Limited ("WC101
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information - Consolidating Balance Sheets (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||||
Cash and cash equivalents | $ 1,674.7 | $ 1,817.2 | $ 886.9 | $ 1,724 |
Marketable securities | 21.5 | 4,632.1 | ||
Accounts receivable, net | 2,760.8 | 2,899 | ||
Inventories | 922.5 | 904.5 | ||
Prepaid expenses and other current assets | 724.2 | 1,123.9 | ||
Total current assets | 6,103.7 | 11,376.7 | ||
Property, plant and equipment, net | 1,761.4 | 1,785.4 | ||
Investments and other assets | 297.9 | 267.9 | ||
Non current assets held for sale | 180.4 | 81.6 | ||
Deferred tax assets | 899.9 | 319.1 | ||
Product rights and other intangibles | 49,928.3 | 54,648.3 | ||
Goodwill | 49,687.2 | 49,862.9 | ||
Total assets | 108,858.8 | 118,341.9 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 4,683.8 | 5,541.4 | ||
Income taxes payable | 93 | 74.9 | ||
Current portion of long-term debt and capital leases | 1,348.5 | 4,231.8 | ||
Total current liabilities | 6,125.3 | 9,848.1 | ||
Long-term debt and capital leases | 24,002 | 25,843.5 | ||
Other long-term liabilities | 753.4 | 886.9 | ||
Other taxes payable | 1,576.6 | 1,573.9 | ||
Deferred tax liabilities | 5,137.5 | 6,352.4 | ||
Total liabilities | 37,594.8 | 44,504.8 | ||
Total equity / (deficit) | 71,264 | 73,837.1 | ||
Total liabilities and equity | 108,858.8 | 118,341.9 | ||
Warner Chilcott Limited Parent Guarantor [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0.1 | 0.1 | 0.1 | 0.1 |
Total current assets | 0.1 | 0.1 | ||
Investment in subsidiaries | 78,676.1 | 81,282.1 | ||
Total assets | 78,676.2 | 81,282.2 | ||
Current liabilities: | ||||
Total equity / (deficit) | 78,676.2 | 81,282.2 | ||
Total liabilities and equity | 78,676.2 | 81,282.2 | ||
Allergan Capital S.a.r.l. (Guarantor) [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 294.5 | 593.1 | 7.3 | 513.9 |
Marketable securities | 400.2 | |||
Receivables from Parents | 4,223.5 | 4,223.5 | ||
Intercompany receivables | 1,984.4 | 8,118.7 | ||
Total current assets | 6,502.4 | 13,335.5 | ||
Investment in subsidiaries | 85,953.6 | 87,583.9 | ||
Non current intercompany receivables | 31,524.5 | 27,518.7 | ||
Total assets | 123,980.5 | 128,438.1 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 0.6 | |||
Intercompany payables | 11,010.6 | 12,186.2 | ||
Total current liabilities | 11,010.6 | 12,186.8 | ||
Other long-term liabilities | 0.2 | 0.2 | ||
Long-term intercompany payables | 28,217.5 | 30,395 | ||
Deferred tax liabilities | 0.2 | 0.2 | ||
Total liabilities | 39,228.5 | 42,582.2 | ||
Total equity / (deficit) | 84,752 | 85,855.9 | ||
Total liabilities and equity | 123,980.5 | 128,438.1 | ||
Allergan Funding SCS (Issuer) [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0.1 | ||
Intercompany receivables | 1,459.8 | 5,507.6 | ||
Prepaid expenses and other current assets | 1.4 | |||
Total current assets | 1,461.2 | 5,507.7 | ||
Non current intercompany receivables | 19,123.8 | 20,985 | ||
Total assets | 20,585 | 26,492.7 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 163.3 | 202.9 | ||
Intercompany payables | 0.6 | 1,828.5 | ||
Current portion of long-term debt and capital leases | 1,296.4 | 3,475.4 | ||
Total current liabilities | 1,460.3 | 5,506.8 | ||
Long-term debt and capital leases | 19,123.8 | 20,985 | ||
Total liabilities | 20,584.1 | 26,491.8 | ||
Total equity / (deficit) | 0.9 | 0.9 | ||
Total liabilities and equity | 20,585 | 26,492.7 | ||
Allergan Finance LLC (Issuer and Guarantor) [Member] | ||||
Current assets: | ||||
Intercompany receivables | 75.6 | 19.6 | ||
Prepaid expenses and other current assets | 88.3 | 85 | ||
Total current assets | 163.9 | 104.6 | ||
Investment in subsidiaries | 109,103.2 | 109,169.8 | ||
Total assets | 109,267.1 | 109,274.4 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 93.9 | 89.3 | ||
Intercompany payables | 10,592.2 | 11,402.3 | ||
Current portion of long-term debt and capital leases | 0.5 | |||
Total current liabilities | 10,686.6 | 11,491.6 | ||
Long-term debt and capital leases | 2,132.7 | 2,130.1 | ||
Long-term intercompany payables | 1,036 | 149 | ||
Total liabilities | 13,855.3 | 13,770.7 | ||
Total equity / (deficit) | 95,411.8 | 95,503.7 | ||
Total liabilities and equity | 109,267.1 | 109,274.4 | ||
Non-Guarantors [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 1,378.9 | 1,223 | 850.7 | 1,199.2 |
Marketable securities | 21.5 | 4,231.9 | ||
Accounts receivable, net | 2,760.8 | 2,899 | ||
Receivables from Parents | 1,609.9 | 1,573.9 | ||
Inventories | 922.5 | 904.5 | ||
Intercompany receivables | 21,603.4 | 25,417 | ||
Prepaid expenses and other current assets | 633.2 | 1,038 | ||
Total current assets | 28,930.2 | 37,287.3 | ||
Property, plant and equipment, net | 1,761.4 | 1,785.4 | ||
Investments and other assets | 297.9 | 267.9 | ||
Non current intercompany receivables | 29,253.5 | 30,544 | ||
Non current receivables from Parents | 3,964 | 3,964 | ||
Non current assets held for sale | 180.4 | 81.6 | ||
Deferred tax assets | 896.8 | 316 | ||
Product rights and other intangibles | 49,928.3 | 54,648.3 | ||
Goodwill | 49,687.2 | 49,862.9 | ||
Total assets | 164,899.7 | 178,757.4 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 4,424.4 | 5,222.8 | ||
Intercompany payables | 3,519.8 | 13,645.9 | ||
Payables to Parents | 2,379.7 | 2,340.6 | ||
Income taxes payable | 92.5 | 74.9 | ||
Current portion of long-term debt and capital leases | 51.6 | 756.4 | ||
Total current liabilities | 10,468 | 22,040.6 | ||
Long-term debt and capital leases | 2,745.5 | 2,728.4 | ||
Other long-term liabilities | 753.2 | 886.7 | ||
Long-term intercompany payables | 50,648.3 | 48,503.7 | ||
Other taxes payable | 1,576.2 | 1,573.5 | ||
Deferred tax liabilities | 5,140.3 | 6,349.2 | ||
Total liabilities | 71,331.5 | 82,082.1 | ||
Total equity / (deficit) | 93,568.2 | 96,675.3 | ||
Total liabilities and equity | 164,899.7 | 178,757.4 | ||
Warner Chilcott Limited [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 1,673.5 | 1,816.3 | $ 858.1 | $ 1,713.2 |
Marketable securities | 21.5 | 4,632.1 | ||
Accounts receivable, net | 2,760.8 | 2,899 | ||
Receivables from Parents | 5,833.4 | 5,797.4 | ||
Inventories | 922.5 | 904.5 | ||
Prepaid expenses and other current assets | 722.9 | 1,123 | ||
Total current assets | 11,934.6 | 17,172.3 | ||
Property, plant and equipment, net | 1,761.4 | 1,785.4 | ||
Investments and other assets | 297.9 | 267.9 | ||
Non current receivables from Parents | 3,964 | 3,964 | ||
Non current assets held for sale | 180.4 | 81.6 | ||
Deferred tax assets | 896.8 | 316 | ||
Product rights and other intangibles | 49,928.3 | 54,648.3 | ||
Goodwill | 49,687.2 | 49,862.9 | ||
Total assets | 118,650.6 | 128,098.4 | ||
Current liabilities: | ||||
Accounts payable and accrued expenses | 4,681.6 | 5,515.6 | ||
Payables to Parents | 2,379.7 | 2,340.6 | ||
Income taxes payable | 92.5 | 74.9 | ||
Current portion of long-term debt and capital leases | 1,348.5 | 4,231.8 | ||
Total current liabilities | 8,502.3 | 12,162.9 | ||
Long-term debt and capital leases | 24,002 | 25,843.5 | ||
Other long-term liabilities | 753.4 | 886.9 | ||
Other taxes payable | 1,576.2 | 1,573.5 | ||
Deferred tax liabilities | 5,140.5 | 6,349.4 | ||
Total liabilities | 39,974.4 | 46,816.2 | ||
Total equity / (deficit) | 78,676.2 | 81,282.2 | ||
Total liabilities and equity | 118,650.6 | 128,098.4 | ||
Eliminations [Member] | ||||
Current assets: | ||||
Intercompany receivables | (25,123.2) | (39,062.9) | ||
Total current assets | (25,123.2) | (39,062.9) | ||
Investment in subsidiaries | (273,732.9) | (278,035.8) | ||
Non current intercompany receivables | (79,901.8) | (79,047.7) | ||
Total assets | (378,757.9) | (396,146.4) | ||
Current liabilities: | ||||
Intercompany payables | (25,123.2) | (39,062.9) | ||
Total current liabilities | (25,123.2) | (39,062.9) | ||
Long-term intercompany payables | (79,901.8) | (79,047.7) | ||
Total liabilities | (105,025) | (118,110.6) | ||
Total equity / (deficit) | (273,732.9) | (278,035.8) | ||
Total liabilities and equity | $ (378,757.9) | $ (396,146.4) |
Warner Chilcott Limited ("WC102
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information - Consolidating Statements of Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Condensed Income Statements Captions [Line Items] | ||||
Net revenues | $ 4,124.2 | $ 4,007.4 | $ 7,796.3 | $ 7,580.3 |
Operating expenses: | ||||
Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Total operating expenses | 4,591.2 | 4,909.8 | 8,917.3 | 9,388.7 |
Operating (loss) | (467) | (902.4) | (1,121) | (1,808.4) |
Other (expense) / income, net | 215.4 | (133.5) | 136.6 | (2,056.3) |
Total other (expense), net | (8.3) | (394.3) | (320.4) | (2,581.5) |
(Loss) before income taxes and noncontrolling interest | (475.3) | (1,296.7) | (1,441.4) | (4,389.9) |
(Benefit) for income taxes | (5.2) | (581.2) | (687.4) | (1,113.3) |
Net (loss) from continuing operations, net of tax | (470.1) | (715.5) | (754) | (3,276.6) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) | (470.1) | (723.9) | (754) | (3,288.1) |
(Income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Warner Chilcott Limited Parent Guarantor [Member] | ||||
Operating expenses: | ||||
Losses / (earnings) of equity interest subsidiaries | 372.4 | 693.2 | 603.7 | 3,230.5 |
Net (loss) from continuing operations, net of tax | (372.4) | (693.2) | (603.7) | (3,230.5) |
Net (loss) | (372.4) | (693.2) | (603.7) | (3,230.5) |
Net income attributable to members | (372.4) | (693.2) | (603.7) | (3,230.5) |
Other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Comprehensive (loss) / income attributable to members | (821) | 210.1 | (931.5) | (567.1) |
Allergan Capital S.a.r.l. (Guarantor) [Member] | ||||
Operating expenses: | ||||
Interest income / (expense), net | 267.4 | 256.3 | 526.4 | 528.1 |
Total other (expense), net | 267.4 | 256.3 | 526.4 | 528.1 |
(Loss) before income taxes and noncontrolling interest | 267.4 | 256.3 | 526.4 | 528.1 |
(Benefit) for income taxes | (0.2) | |||
Losses / (earnings) of equity interest subsidiaries | 656 | 982.1 | 1,201.5 | 3,782.4 |
Net (loss) from continuing operations, net of tax | (388.6) | (725.8) | (675.1) | (3,254.1) |
Net (loss) | (388.6) | (725.8) | (675.1) | (3,254.1) |
Net income attributable to members | (388.6) | (725.8) | (675.1) | (3,254.1) |
Other comprehensive (loss) / income, net of tax | (646) | 960.5 | (428.8) | 2,720.6 |
Comprehensive (loss) / income attributable to members | (1,034.6) | 234.7 | (1,103.9) | (533.5) |
Allergan Funding SCS (Issuer) [Member] | ||||
Operating expenses: | ||||
General and administrative | 1.2 | 10.1 | 0.5 | 10.1 |
Total operating expenses | 1.2 | 10.1 | 0.5 | 10.1 |
Operating (loss) | (1.2) | (10.1) | (0.5) | (10.1) |
Interest income / (expense), net | (5.1) | 61.1 | (8.4) | 64.8 |
Other (expense) / income, net | 9.2 | (110.4) | 9.2 | (110.4) |
Total other (expense), net | 4.1 | (49.3) | 0.8 | (45.6) |
(Loss) before income taxes and noncontrolling interest | 2.9 | (59.4) | 0.3 | (55.7) |
(Benefit) for income taxes | (0.9) | 0.3 | ||
Net (loss) from continuing operations, net of tax | 2.9 | (58.5) | (55.7) | |
Net (loss) | 2.9 | (58.5) | (55.7) | |
Net income attributable to members | 2.9 | (58.5) | (55.7) | |
Comprehensive (loss) / income attributable to members | 2.9 | (58.5) | (55.7) | |
Allergan Finance LLC (Issuer and Guarantor) [Member] | ||||
Operating expenses: | ||||
General and administrative | 1.1 | |||
Total operating expenses | 1.1 | |||
Operating (loss) | (1.1) | |||
Interest income / (expense), net | (20.7) | (38.4) | (41.9) | (78) |
Other (expense) / income, net | (39.9) | (39.9) | ||
Total other (expense), net | (20.7) | (78.3) | (41.9) | (117.9) |
(Loss) before income taxes and noncontrolling interest | (20.7) | (78.3) | (41.9) | (119) |
(Benefit) for income taxes | (4.4) | (73.9) | (16.6) | (59) |
Losses / (earnings) of equity interest subsidiaries | (76) | 84.9 | (505.6) | 2,225.8 |
Net (loss) from continuing operations, net of tax | 59.7 | (89.3) | 480.3 | (2,285.8) |
Net (loss) | 59.7 | (89.3) | 480.3 | (2,285.8) |
Net income attributable to members | 59.7 | (89.3) | 480.3 | (2,285.8) |
Other comprehensive (loss) / income, net of tax | (748.7) | 2,152.7 | (572.2) | 3,793.6 |
Comprehensive (loss) / income attributable to members | (689) | 2,063.4 | (91.9) | 1,507.8 |
Non-Guarantors [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Net revenues | 4,124.2 | 4,007.4 | 7,796.3 | 7,580.3 |
Operating expenses: | ||||
Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
General and administrative | 298.3 | 437.6 | 593.1 | 750.8 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Total operating expenses | 4,555.4 | 4,887.6 | 8,880.4 | 9,363.6 |
Operating (loss) | (431.2) | (880.2) | (1,084.1) | (1,783.3) |
Interest income / (expense), net | (399.8) | (519.2) | (814.6) | (993.4) |
Other (expense) / income, net | 206.2 | 16.8 | 127.4 | (1,906) |
Total other (expense), net | (193.6) | (502.4) | (687.2) | (2,899.4) |
(Loss) before income taxes and noncontrolling interest | (624.8) | (1,382.6) | (1,771.3) | (4,682.7) |
(Benefit) for income taxes | (0.8) | (506.4) | (671.1) | (1,054.1) |
Net (loss) from continuing operations, net of tax | (624) | (876.2) | (1,100.2) | (3,628.6) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) | (624) | (884.6) | (1,100.2) | (3,640.1) |
(Income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Net income attributable to members | (626.4) | (886.6) | (1,104.8) | (3,643.1) |
Other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Comprehensive (loss) / income attributable to members | (1,075) | 16.7 | (1,432.6) | (979.7) |
Warner Chilcott Limited [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Net revenues | 4,124.2 | 4,007.4 | 7,796.3 | 7,580.3 |
Operating expenses: | ||||
Cost of sales (excludes amortization and impairment of acquired intangibles including product rights) | 481.8 | 550.2 | 1,004.6 | 1,000.6 |
Research and development | 689.2 | 489.4 | 1,163.9 | 1,249.3 |
Selling and marketing | 853.4 | 935.2 | 1,653.4 | 1,804.3 |
General and administrative | 299.5 | 447.7 | 593.6 | 762 |
Amortization | 1,697.1 | 1,757.9 | 3,394.7 | 3,493.9 |
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Asset sales and impairments, net | 259.6 | 14 | 272.7 | 21.4 |
Total operating expenses | 4,556.6 | 4,897.7 | 8,880.9 | 9,374.8 |
Operating (loss) | (432.4) | (890.3) | (1,084.6) | (1,794.5) |
Interest income / (expense), net | (158.2) | (240.2) | (338.5) | (478.5) |
Other (expense) / income, net | 215.4 | (133.5) | 136.6 | (2,056.3) |
Total other (expense), net | 57.2 | (373.7) | (201.9) | (2,534.8) |
(Loss) before income taxes and noncontrolling interest | (375.2) | (1,264) | (1,286.5) | (4,329.3) |
(Benefit) for income taxes | (5.2) | (581.2) | (687.4) | (1,113.3) |
Net (loss) from continuing operations, net of tax | (370) | (682.8) | (599.1) | (3,216) |
(Loss) from discontinued operations, net of tax | (8.4) | (11.5) | ||
Net (loss) | (370) | (691.2) | (599.1) | (3,227.5) |
(Income) attributable to noncontrolling interest | (2.4) | (2) | (4.6) | (3) |
Net income attributable to members | (372.4) | (693.2) | (603.7) | (3,230.5) |
Other comprehensive (loss) / income, net of tax | (448.6) | 903.3 | (327.8) | 2,663.4 |
Comprehensive (loss) / income attributable to members | (821) | 210.1 | (931.5) | (567.1) |
Eliminations [Member] | ||||
Operating expenses: | ||||
Losses / (earnings) of equity interest subsidiaries | (952.4) | (1,760.2) | (1,299.6) | (9,238.7) |
Net (loss) from continuing operations, net of tax | 952.4 | 1,760.2 | 1,299.6 | 9,238.7 |
Net (loss) | 952.4 | 1,760.2 | 1,299.6 | 9,238.7 |
Net income attributable to members | 952.4 | 1,760.2 | 1,299.6 | 9,238.7 |
Other comprehensive (loss) / income, net of tax | 1,843.3 | (4,016.5) | 1,328.8 | (9,177.6) |
Comprehensive (loss) / income attributable to members | $ 2,795.7 | $ (2,256.3) | $ 2,628.4 | $ 61.1 |
Warner Chilcott Limited ("WC103
Warner Chilcott Limited ("WCL") Guarantor and Non-Guarantor Condensed Consolidating Financial Information - Consolidating Statement of Cash Flows (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Cash Flows From Operating Activities: | ||||
Net (loss) / income | $ (470.1) | $ (723.9) | $ (754) | $ (3,288.1) |
Reconciliation to net cash provided by operating activities: | ||||
Depreciation | 105.2 | 81.2 | ||
Amortization | 3,394.7 | 3,493.9 | ||
Provision for inventory reserve | 45.4 | 48.7 | ||
Share-based compensation | 127.4 | 148.5 | ||
Deferred income tax benefit | (1,359.6) | (1,478.8) | ||
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Loss on asset sales and impairments, net | 272.7 | 21.4 | ||
Amortization of inventory step-up | 87.8 | |||
Gain on sale of Teva securities, net | (60.9) | |||
Gain on sale of business | (53) | (53) | ||
Non-cash extinguishment of debt | 4 | (8.2) | ||
Cash charge related to extinguishment of debt | (13.1) | 170.5 | ||
Amortization of deferred financing costs | 11.9 | 13.2 | ||
Contingent consideration adjustments, including accretion | (101.8) | 15.2 | ||
Other, net | (0.3) | (22.6) | ||
Net cash provided by operating activities | 2,698.5 | 2,523.1 | ||
Cash Flows From Investing Activities: | ||||
Additions to property, plant and equipment | (106.5) | (137.2) | ||
Additions to investments | (1,455.9) | (6,787.9) | ||
Proceeds from sale of investments and other assets | 5,651.3 | 13,197.5 | ||
Proceeds from sales of property, plant and equipment | 11.5 | 4.3 | ||
Net cash provided by investing activities | 3,634.4 | 400 | ||
Additions to product rights and other intangibles | (586.3) | |||
Acquisitions of businesses, net of cash acquired | (5,290.4) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from borrowings of long-term indebtedness, including credit facility | 709 | 3,023 | ||
Debt issuance and other financing costs | (17.5) | |||
Payments on debt, including capital lease obligations and credit facility | (5,366.8) | (5,579.2) | ||
Cash charge related to extinguishment of debt | 13.1 | (170.5) | ||
Payments of contingent consideration and other financing | (10.6) | (505.1) | ||
Net cash (used in) financing activities | (6,490.4) | (3,771.7) | ||
Effect of currency exchange rate changes on cash and cash equivalents | 15 | 11.5 | ||
Net (decrease) in cash and cash equivalents | (142.5) | (837.1) | ||
Cash and cash equivalents at beginning of period | 1,817.2 | 1,724 | ||
Cash and cash equivalents at end of period | 1,674.7 | 886.9 | 1,674.7 | 886.9 |
Warner Chilcott Limited Parent Guarantor [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | (372.4) | (693.2) | (603.7) | (3,230.5) |
Reconciliation to net cash provided by operating activities: | ||||
Losses / (earnings) of equity interest subsidiaries | 372.4 | 693.2 | 603.7 | 3,230.5 |
Dividends from subsidiaries | 2,103.7 | 611.9 | ||
Net cash provided by operating activities | 2,103.7 | 611.9 | ||
Cash Flows From Financing Activities: | ||||
Dividend to Parent | (2,103.7) | (611.9) | ||
Net cash (used in) financing activities | (2,103.7) | (611.9) | ||
Cash and cash equivalents at beginning of period | 0.1 | 0.1 | ||
Cash and cash equivalents at end of period | 0.1 | 0.1 | 0.1 | 0.1 |
Allergan Capital S.a.r.l. (Guarantor) [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | (388.6) | (725.8) | (675.1) | (3,254.1) |
Reconciliation to net cash provided by operating activities: | ||||
Losses / (earnings) of equity interest subsidiaries | 656 | 982.1 | 1,201.5 | 3,782.4 |
Other, net | (10) | |||
Changes in assets and liabilities (net of effects of acquisitions) | (1,225) | (4,901.7) | ||
Net cash provided by operating activities | (698.6) | (4,383.4) | ||
Cash Flows From Investing Activities: | ||||
Additions to investments | (400) | (3,989.6) | ||
Proceeds from sale of investments and other assets | 800 | 7,866.4 | ||
Net cash provided by investing activities | 400 | 3,876.8 | ||
Cash Flows From Financing Activities: | ||||
Proceeds from borrowings of long-term indebtedness, including credit facility | 700 | |||
Payments on debt, including capital lease obligations and credit facility | (700) | |||
Net (decrease) in cash and cash equivalents | (298.6) | (506.6) | ||
Cash and cash equivalents at beginning of period | 593.1 | 513.9 | ||
Cash and cash equivalents at end of period | 294.5 | 7.3 | 294.5 | 7.3 |
Allergan Funding SCS (Issuer) [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | 2.9 | (58.5) | (55.7) | |
Reconciliation to net cash provided by operating activities: | ||||
Non-cash extinguishment of debt | 4 | 17.6 | ||
Cash charge related to extinguishment of debt | (13.1) | 91.6 | ||
Amortization of deferred financing costs | 11.1 | 11.1 | ||
Other, net | (1.5) | |||
Changes in assets and liabilities (net of effects of acquisitions) | 3,942.3 | (176.4) | ||
Net cash provided by operating activities | 3,942.8 | (111.8) | ||
Cash Flows From Financing Activities: | ||||
Proceeds from borrowings of long-term indebtedness, including credit facility | 3,020.9 | |||
Debt issuance and other financing costs | (17.5) | |||
Payments on debt, including capital lease obligations and credit facility | (3,956) | (2,800) | ||
Cash charge related to extinguishment of debt | 13.1 | (91.6) | ||
Net cash (used in) financing activities | (3,942.9) | 111.8 | ||
Net (decrease) in cash and cash equivalents | (0.1) | |||
Cash and cash equivalents at beginning of period | 0.1 | |||
Cash and cash equivalents at end of period | 0 | 0 | ||
Allergan Finance LLC (Issuer and Guarantor) [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | 59.7 | (89.3) | 480.3 | (2,285.8) |
Reconciliation to net cash provided by operating activities: | ||||
Losses / (earnings) of equity interest subsidiaries | (76) | 84.9 | (505.6) | 2,225.8 |
Non-cash extinguishment of debt | 12.2 | |||
Cash charge related to extinguishment of debt | 26.1 | |||
Amortization of deferred financing costs | 0.8 | 2.1 | ||
Other, net | (0.4) | |||
Changes in assets and liabilities (net of effects of acquisitions) | 24.9 | 1,789 | ||
Net cash provided by operating activities | 1,769.4 | |||
Cash Flows From Financing Activities: | ||||
Payments on debt, including capital lease obligations and credit facility | (1,743.3) | |||
Cash charge related to extinguishment of debt | (26.1) | |||
Net cash (used in) financing activities | (1,769.4) | |||
Non-Guarantors [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | (624) | (884.6) | (1,100.2) | (3,640.1) |
Reconciliation to net cash provided by operating activities: | ||||
Depreciation | 105.2 | 81.2 | ||
Amortization | 3,394.7 | 3,493.9 | ||
Provision for inventory reserve | 45.4 | 48.7 | ||
Share-based compensation | 127.4 | 148.5 | ||
Deferred income tax benefit | (1,359.6) | (1,478.8) | ||
In-process research and development impairments | 798 | 1,043.3 | ||
Loss on asset sales and impairments, net | 272.7 | 21.4 | ||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |||
Amortization of inventory step-up | 87.8 | |||
Gain on sale of business | (53) | |||
Non-cash extinguishment of debt | (38) | |||
Cash charge related to extinguishment of debt | 52.8 | |||
Contingent consideration adjustments, including accretion | (101.8) | 15.2 | ||
Other, net | 1.6 | (12.6) | ||
Changes in assets and liabilities (net of effects of acquisitions) | (2,578.4) | 3,519.1 | ||
Net cash provided by operating activities | (508.9) | 5,320.4 | ||
Cash Flows From Investing Activities: | ||||
Additions to property, plant and equipment | (106.5) | (137.2) | ||
Additions to investments | (1,055.9) | (2,798.3) | ||
Proceeds from sale of investments and other assets | 4,851.3 | 5,331.1 | ||
Proceeds from sales of property, plant and equipment | 11.5 | 4.3 | ||
Net cash provided by investing activities | 3,234.4 | (3,476.8) | ||
Additions to product rights and other intangibles | (586.3) | |||
Acquisitions of businesses, net of cash acquired | (5,290.4) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from borrowings of long-term indebtedness, including credit facility | 9 | 2.1 | ||
Payments on debt, including capital lease obligations and credit facility | (710.8) | (1,035.9) | ||
Cash charge related to extinguishment of debt | (52.8) | |||
Payments of contingent consideration and other financing | (10.6) | (505.1) | ||
Dividend to Parent | (2,103.7) | (611.9) | ||
Net cash (used in) financing activities | (2,584.6) | (2,203.6) | ||
Effect of currency exchange rate changes on cash and cash equivalents | 15 | 11.5 | ||
Net (decrease) in cash and cash equivalents | 155.9 | (348.5) | ||
Cash and cash equivalents at beginning of period | 1,223 | 1,199.2 | ||
Cash and cash equivalents at end of period | 1,378.9 | 850.7 | 1,378.9 | 850.7 |
Warner Chilcott Limited [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | (370) | (691.2) | (599.1) | (3,227.5) |
Reconciliation to net cash provided by operating activities: | ||||
Depreciation | 105.2 | 81.2 | ||
Amortization | 3,394.7 | 3,493.9 | ||
Provision for inventory reserve | 45.4 | 48.7 | ||
Share-based compensation | 127.4 | 148.5 | ||
Deferred income tax benefit | (1,359.6) | (1,478.8) | ||
In-process research and development impairments | 276 | 703.3 | 798 | 1,043.3 |
Loss on asset sales and impairments, net | 272.7 | 21.4 | ||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |||
Amortization of inventory step-up | 87.8 | |||
Gain on sale of Teva securities, net | (60.9) | |||
Gain on sale of business | (53) | |||
Non-cash extinguishment of debt | 4 | (8.2) | ||
Cash charge related to extinguishment of debt | (13.1) | 170.5 | ||
Amortization of deferred financing costs | 11.9 | 13.2 | ||
Contingent consideration adjustments, including accretion | (101.8) | 15.2 | ||
Other, net | (0.3) | (22.6) | ||
Changes in assets and liabilities (net of effects of acquisitions) | 163.8 | 230 | ||
Net cash provided by operating activities | 2,735.3 | 2,594.6 | ||
Cash Flows From Investing Activities: | ||||
Additions to property, plant and equipment | (106.5) | (137.2) | ||
Additions to investments | (1,455.9) | (6,787.9) | ||
Proceeds from sale of investments and other assets | 5,651.3 | 13,197.5 | ||
Proceeds from sales of property, plant and equipment | 11.5 | 4.3 | ||
Net cash provided by investing activities | 3,634.4 | 400 | ||
Additions to product rights and other intangibles | (586.3) | |||
Acquisitions of businesses, net of cash acquired | (5,290.4) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from borrowings of long-term indebtedness, including credit facility | 709 | 3,023 | ||
Debt issuance and other financing costs | (17.5) | |||
Payments on debt, including capital lease obligations and credit facility | (5,366.8) | (5,579.2) | ||
Cash charge related to extinguishment of debt | 13.1 | (170.5) | ||
Payments of contingent consideration and other financing | (10.6) | (505.1) | ||
Dividend to Parent | (2,103.7) | (611.9) | ||
Net cash (used in) financing activities | (6,527.5) | (3,861.2) | ||
Effect of currency exchange rate changes on cash and cash equivalents | 15 | 11.5 | ||
Net (decrease) in cash and cash equivalents | (142.8) | (855.1) | ||
Cash and cash equivalents at beginning of period | 1,816.3 | 1,713.2 | ||
Cash and cash equivalents at end of period | 1,673.5 | 858.1 | 1,673.5 | 858.1 |
Teva [Member] | ||||
Reconciliation to net cash provided by operating activities: | ||||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |||
Cash Flows From Investing Activities: | ||||
Payments to settle Teva related matters | (466) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from forward sale of Teva securities | 465.5 | |||
Payments to settle Teva related matters | (234) | |||
Teva [Member] | Non-Guarantors [Member] | ||||
Reconciliation to net cash provided by operating activities: | ||||
Gain on sale of Teva securities, net | (60.9) | |||
Cash Flows From Investing Activities: | ||||
Payments to settle Teva related matters | (466) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from forward sale of Teva securities | 465.5 | |||
Payments to settle Teva related matters | (234) | |||
Teva [Member] | Warner Chilcott Limited [Member] | ||||
Reconciliation to net cash provided by operating activities: | ||||
Net income impact of other-than-temporary loss on investment in Teva securities | 1,978 | |||
Gain on sale of Teva securities, net | (60.9) | |||
Cash Flows From Investing Activities: | ||||
Payments to settle Teva related matters | (466) | |||
Cash Flows From Financing Activities: | ||||
Proceeds from forward sale of Teva securities | 465.5 | |||
Payments to settle Teva related matters | (234) | |||
Eliminations [Member] | ||||
Cash Flows From Operating Activities: | ||||
Net (loss) / income | 952.4 | 1,760.2 | 1,299.6 | 9,238.7 |
Reconciliation to net cash provided by operating activities: | ||||
Losses / (earnings) of equity interest subsidiaries | $ (952.4) | $ (1,760.2) | (1,299.6) | (9,238.7) |
Dividends from subsidiaries | (2,103.7) | (611.9) | ||
Net cash provided by operating activities | (2,103.7) | (611.9) | ||
Cash Flows From Financing Activities: | ||||
Dividend to Parent | 2,103.7 | 611.9 | ||
Net cash (used in) financing activities | $ 2,103.7 | $ 611.9 |