Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2019 | Jul. 24, 2019 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2019 | |
Document Transition Report | false | |
Entity File Number | 1-3215 | |
Entity Registrant Name | Johnson & Johnson | |
Entity Incorporation, State or Country Code | NJ | |
Entity Tax Identification Number | 22-1024240 | |
Entity Address, Address Line One | One Johnson & Johnson Plaza | |
Entity Address, City or Town | New Brunswick | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 08933 | |
City Area Code | 732 | |
Local Phone Number | 524-0400 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 2,639,165,527 | |
Entity Central Index Key | 0000200406 | |
Current Fiscal Year End Date | --12-29 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Common Stock, Par Value $1.00 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Stock, Par Value $1.00 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
4.75% Notes Due November 2019 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 4.75% Notes Due November 2019 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
0.250% Notes Due January 2022 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 0.250% Notes Due January 2022 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
0.650% Notes Due May 2024 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 0.650% Notes Due May 2024 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
5.50% Notes Due November 2024 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 5.50% Notes Due November 2024 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
1.150% Notes Due November 2028 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 1.150% Notes Due November 2028 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE | |
1.650% Notes Due May 2035 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 1.650% Notes Due May 2035 | |
Trading Symbol | JNJ | |
Security Exchange Name | NYSE |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 14,376 | $ 18,107 |
Marketable securities | 902 | 1,580 |
Accounts receivable, trade, less allowances for doubtful accounts $251 (2018, $248) | 14,653 | 14,098 |
Inventories (Note 2) | 9,263 | 8,599 |
Prepaid expenses and other | 2,411 | 2,699 |
Assets held for sale (Note 10) | 194 | 950 |
Total current assets | 41,799 | 46,033 |
Property, plant and equipment at cost | 42,905 | 41,851 |
Less: accumulated depreciation | (25,657) | (24,816) |
Property, plant and equipment, net | 17,248 | 17,035 |
Intangible assets, net (Note 3) | 49,332 | 47,611 |
Goodwill (Note 3) | 33,661 | 30,453 |
Deferred taxes on income | 7,647 | 7,640 |
Other assets | 5,430 | 4,182 |
Total assets | 155,117 | 152,954 |
Current liabilities: | ||
Loans and notes payable | 1,719 | 2,796 |
Accounts payable | 6,912 | 7,537 |
Accrued liabilities | 8,297 | 7,601 |
Accrued rebates, returns and promotions | 10,433 | 9,380 |
Accrued compensation and employee related obligations | 2,291 | 3,098 |
Accrued taxes on income | 1,701 | 818 |
Total current liabilities | 31,353 | 31,230 |
Long-term debt (Note 4) | 27,699 | 27,684 |
Deferred taxes on income | 7,725 | 7,506 |
Employee related obligations | 9,910 | 9,951 |
Long-term taxes payable | 7,543 | 8,242 |
Other liabilities | 10,102 | 8,589 |
Total liabilities | 94,332 | 93,202 |
Commitments and Contingencies | ||
Shareholders’ equity: | ||
Common stock — par value $1.00 per share (authorized 4,320,000,000 shares; issued 3,119,843,000 shares) | 3,120 | 3,120 |
Accumulated other comprehensive income (loss) (Note 7) | (14,969) | (15,222) |
Retained earnings | 109,809 | 106,216 |
Less: common stock held in treasury, at cost (477,778,000 and 457,519,000 shares) | 37,175 | 34,362 |
Total shareholders’ equity | 60,785 | 59,752 |
Total liabilities and shareholders' equity | $ 155,117 | $ 152,954 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Current assets: | ||
Allowances for doubtful accounts | $ 251 | $ 248 |
Shareholders' equity: | ||
Common stock, par value per share | $ 1 | $ 1 |
Common stock, shares authorized | 4,320,000,000 | 4,320,000,000 |
Common stock, shares issued | 3,119,843,000 | 3,119,843,000 |
Treasury stock, shares | 477,778,000 | 457,519,000 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Income Statement [Abstract] | ||||
Sales to customers | $ 20,562 | $ 20,830 | $ 40,583 | $ 40,839 |
Sales to customers percent to sales | 100.00% | 100.00% | 100.00% | 100.00% |
Cost of products sold | $ 6,940 | $ 6,927 | $ 13,555 | $ 13,541 |
Cost of products sold percent to sales | 33.80% | 33.30% | 33.40% | 33.20% |
Gross profit | $ 13,622 | $ 13,903 | $ 27,028 | $ 27,298 |
Gross profit percent to sales | 66.20% | 66.70% | 66.60% | 66.80% |
Selling, marketing and administrative expenses | $ 5,546 | $ 5,743 | $ 10,765 | $ 11,006 |
Selling marketing and administrative expenses percent to sales | 27.00% | 27.50% | 26.50% | 27.00% |
Research and development expense | $ 2,666 | $ 2,639 | $ 5,524 | $ 5,043 |
Research and development expense percent to sales | 13.00% | 12.70% | 13.60% | 12.30% |
In-process research and development | $ 890 | $ 0 | ||
In-process research and development percent to sales | 2.20% | 0.00% | ||
Interest income | $ (88) | $ (126) | $ (187) | $ (240) |
Interest income percent to sales | (0.40%) | (0.60%) | (0.50%) | (0.60%) |
Interest expense, net of portion capitalized | $ 83 | $ 253 | $ 185 | $ 512 |
Interest expense, net of portion capitalized percent to sales | 0.40% | 1.20% | 0.50% | 1.30% |
Other (income) expense, net | $ (1,683) | $ 364 | $ (1,705) | $ 424 |
Other (income) expense, net percent to sales | (8.20%) | 1.70% | (4.20%) | 1.00% |
Restructuring | $ 57 | $ 57 | $ 93 | $ 99 |
Restructuring charge percent to sales | 0.20% | 0.30% | 0.30% | 0.20% |
Earnings before provision for taxes on income | $ 7,041 | $ 4,973 | $ 11,463 | $ 10,454 |
Earnings before provision for taxes on income percent to sales | 34.20% | 23.90% | 28.20% | 25.60% |
Provision for taxes on income | $ 1,434 | $ 1,019 | $ 2,107 | $ 2,133 |
Provision for taxes on income perent to sales | 6.90% | 4.90% | 5.10% | 5.20% |
NET EARNINGS | $ 5,607 | $ 3,954 | $ 9,356 | $ 8,321 |
Net earnings percent to sales | 27.30% | 19.00% | 23.10% | 20.40% |
NET EARNINGS PER SHARE | ||||
Basic (per share) | $ 2.11 | $ 1.47 | $ 3.52 | $ 3.10 |
Diluted (per share) | $ 2.08 | $ 1.45 | $ 3.47 | $ 3.05 |
AVG. SHARES OUTSTANDING | ||||
Basic (shares) | 2,652.5 | 2,682.3 | 2,656.7 | 2,682.2 |
Diluted (shares) | 2,691.7 | 2,721.3 | 2,697 | 2,728.5 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 5,607 | $ 3,954 | $ 9,356 | $ 8,321 |
Other comprehensive income (loss), net of tax | ||||
Foreign currency translation | 350 | (2,190) | 92 | (1,567) |
Securities: | ||||
Unrealized holding gain (loss) arising during period | 1 | 0 | 1 | 0 |
Reclassifications to earnings | 0 | 0 | 0 | 0 |
Net change | 1 | 0 | 1 | 0 |
Employee benefit plans: | ||||
Prior service cost amortization during period | (5) | (5) | (12) | (11) |
Gain (loss) amortization during period | 142 | 190 | 318 | 382 |
Net change | 137 | 185 | 306 | 371 |
Derivatives & hedges: | ||||
Unrealized gain (loss) arising during period | 86 | (61) | (216) | (225) |
Reclassifications to earnings | (26) | (103) | 70 | 75 |
Net change | 60 | (164) | (146) | (150) |
Other comprehensive income (loss) | 548 | (2,169) | 253 | (1,346) |
Comprehensive income | 6,155 | 1,785 | 9,609 | 6,975 |
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | 106 | (346) | 44 | (183) |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 34 | 51 | 35 | 103 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, Tax | $ 16 | $ (44) | $ (39) | $ (40) |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | Retained Earnings | Accumulated Other Comprehensive Income | Common Stock Issued Amount | Treasury Stock Amount |
Beginning Balance at Dec. 31, 2017 | $ 60,160 | $ 101,793 | $ (13,199) | $ 3,120 | $ (31,554) |
Cumulative Adjustment to retained earnings | 1,264 | 1,496 | (232) | ||
Net earnings | 8,321 | 8,321 | |||
Cash dividends paid | (4,668) | (4,668) | |||
Employee compensation and stock option plans | 760 | (806) | 1,566 | ||
Repurchase of common stock | (1,589) | (1,589) | |||
Other | (13) | (13) | |||
Other comprehensive income (loss), net of tax | (1,346) | (1,346) | |||
Ending Balance at Jul. 01, 2018 | 62,889 | 106,123 | (14,777) | 3,120 | (31,577) |
Beginning Balance at Apr. 01, 2018 | 63,255 | 104,339 | (12,608) | 3,120 | (31,596) |
Cumulative Adjustment to retained earnings | 0 | ||||
Net earnings | 3,954 | 3,954 | |||
Cash dividends paid | (2,415) | (2,415) | |||
Employee compensation and stock option plans | 409 | 245 | 164 | ||
Repurchase of common stock | (145) | (145) | |||
Other | 0 | ||||
Other comprehensive income (loss), net of tax | (2,169) | (2,169) | |||
Ending Balance at Jul. 01, 2018 | 62,889 | 106,123 | (14,777) | 3,120 | (31,577) |
Beginning Balance at Dec. 30, 2018 | 59,752 | 106,216 | (15,222) | 3,120 | (34,362) |
Net earnings | 9,356 | 9,356 | |||
Cash dividends paid | (4,918) | (4,918) | |||
Employee compensation and stock option plans | 1,034 | (845) | 1,879 | ||
Repurchase of common stock | (4,692) | (4,692) | |||
Other | 0 | ||||
Other comprehensive income (loss), net of tax | 253 | 253 | |||
Ending Balance at Jun. 30, 2019 | 60,785 | 109,809 | (14,969) | 3,120 | (37,175) |
Beginning Balance at Mar. 31, 2019 | 58,955 | 106,650 | (15,517) | 3,120 | (35,298) |
Net earnings | 5,607 | 5,607 | |||
Cash dividends paid | (2,522) | (2,522) | |||
Employee compensation and stock option plans | 683 | 74 | 609 | ||
Repurchase of common stock | (2,486) | (2,486) | |||
Other | 0 | ||||
Other comprehensive income (loss), net of tax | 548 | 548 | |||
Ending Balance at Jun. 30, 2019 | $ 60,785 | $ 109,809 | $ (14,969) | $ 3,120 | $ (37,175) |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends paid (in dollars per share) | $ 0.95 | $ 0.90 | $ 1.85 | $ 1.74 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net earnings | $ 9,356 | $ 8,321 |
Adjustments to reconcile net earnings to cash flows from operating activities: | ||
Depreciation and amortization of property and intangibles | 3,466 | 3,463 |
Stock based compensation | 572 | 580 |
Asset write-downs | 989 | 27 |
Net gain on sale of assets/businesses | (2,079) | (443) |
Deferred tax provision | (694) | (285) |
Accounts receivable allowances | 1 | (16) |
Changes in assets and liabilities, net of effects from acquisitions and divestitures: | ||
Increase in accounts receivable | (336) | (989) |
Increase in inventories | (423) | (491) |
Decrease in accounts payable and accrued liabilities | (444) | (49) |
Increase in other current and non-current assets | (862) | (267) |
Decrease in other current and non-current liabilities | (55) | (166) |
NET CASH FLOWS FROM OPERATING ACTIVITIES | 9,491 | 9,685 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Additions to property, plant and equipment | (1,493) | (1,533) |
Proceeds from the disposal of assets/businesses, net | 3,018 | 870 |
Acquisitions, net of cash acquired | (5,346) | (222) |
Purchases of investments | (1,517) | (951) |
Sales of investments | 2,132 | 743 |
Other | 1 | (33) |
NET CASH USED BY INVESTING ACTIVITIES | (3,205) | (1,126) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Dividends to shareholders | (4,918) | (4,668) |
Repurchase of common stock | (4,692) | (1,589) |
Proceeds from short-term debt | 15 | 27 |
Retirement of short-term debt | (12) | (2,433) |
Proceeds from long-term debt, net of issuance costs | 1 | 3 |
Retirement of long-term debt | (1,005) | (9) |
Proceeds from the exercise of stock options/employee withholding tax on stock awards, net | 463 | 162 |
Other | 98 | (137) |
NET CASH USED BY FINANCING ACTIVITIES | (10,050) | (8,644) |
Effect of exchange rate changes on cash and cash equivalents | 33 | (170) |
Decrease in cash and cash equivalents | (3,731) | (255) |
Cash and Cash equivalents, beginning of period | 18,107 | 17,824 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 14,376 | 17,569 |
Acquisitions | ||
Fair value of assets acquired | 6,744 | 334 |
Fair value of liabilities assumed and noncontrolling interests | (1,398) | (112) |
Net cash paid for acquisitions | $ 5,346 | $ 222 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | The accompanying unaudited interim consolidated financial statements and related notes should be read in conjunction with the audited Consolidated Financial Statements of Johnson & Johnson and its subsidiaries (the Company) and related notes as contained in the Company’s Annual Report on Form 10-K for the fiscal year ended December 30, 2018 . The unaudited interim financial statements include all adjustments (consisting only of normal recurring adjustments) and accruals necessary in the judgment of management for a fair statement of the results for the periods presented. Columns and rows within tables may not add due to rounding. Percentages have been calculated using actual, non-rounded figures. New Accounting Standards Recently Adopted Accounting Standards ASU 2016-02 : Leases The Company adopted this standard as of the beginning of fiscal year 2019, on a prospective basis. This update requires the recognition of lease assets and lease liabilities on the balance sheet for all lease obligations and disclosing key information about leasing arrangements. This update requires the recognition of lease assets and lease liabilities by lessees for arrangements that are classified as operating leases. The Company’s operating leases resulted in the recognition of additional assets and the corresponding liabilities on its Consolidated Balance Sheet, however it did not have a material impact on the consolidated financial statements. The Company determines whether an arrangement is a lease at contract inception by establishing if the contract conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. Right of Use (ROU) Assets and Lease Liabilities for operating leases are included in Other assets, Accrued liabilities, and Other liabilities on the consolidated balance sheet. The ROU Assets represent the right to use an underlying asset for the lease term and lease liabilities represent an obligation to make lease payments arising from the lease. Commitments under finance leases are not significant, and are included in Property, plant and equipment, Loans and notes payable, and Long-term debt on the consolidated balance sheet. ROU Assets and Lease Liabilities are recognized at the lease commencement date based on the present value of all minimum lease payments over the lease term. The Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments, when the implicit rate is not readily determinable. Lease terms may include options to extend or terminate the lease. These options are included in the lease term when it is reasonably certain that the Company will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term. The Company has elected the following policy elections on adoption: use of portfolio approach on leases of assets under master service agreements, exclusion of short term leases on the balance sheet, and not separating lease and non-lease components. The Company primarily has operating leases for space, vehicles, manufacturing equipment, and data processing equipment. Leases have remaining lease terms ranging from 1 year to 37 years , some of which could include options to extend the leases when they are reasonably certain. As noted in the Company’s 2018 10-K, the approximate minimum rental payments required under operating leases that had initial or remaining non-cancelable lease terms in excess of one year at December 30, 2018 were: (Dollars in Millions) 2019 2020 2021 2022 2023 After 2023 Total $223 188 154 116 76 139 896 Commitments under finance leases are not significant. Maturity of Lease Liabilities related to Operating Lease The minimum rental payments required under operating leases that have initial or remaining non-cancellable lease terms in excess of one year as of June 30, 2019 are: (Dollars in Millions) Operating Leases 2019 (for the remainder of fiscal 2019) $ 185 2020 245 2021 201 2022 156 2023 98 After 2023 214 Total lease payments 1,099 Less: Interest 88 Present Value of lease liabilities $ 1,011 The Weighted Average Remaining Lease Term and discount rate: Operating leases 6.2 years Weighted Average Discount Rate 3% For the fiscal second quarter and first fiscal six months ended June 30, 2019, the operating lease costs were $50 million and $124 million , respectively. Cash paid for amounts included in the measurement of lease liabilities were $76 million and $147 million for the fiscal second quarter and fiscal six months of 2019, respectively. Other supplemental information related to these leases are as follows: Supplemental balance sheet information (for the fiscal first quarter ended June 30, 2019) : (Dollars in Millions) Non-current operating lease right-of-use assets $ 980 Current operating lease liabilities 262 Non-current Operating lease liabilities 749 Total operating lease liabilities $ 1,011 ASU 2018-02 : Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income This update allows a Company to elect to reclassify stranded tax effects resulting from the Tax Cuts and Job Act enacted in December 2017 from accumulated other comprehensive income to retained earnings. The Company has elected not to reclassify the income tax effects of this standard and therefore this standard will not impact the Company's consolidated financial statements. ASU 2018-16 : Derivatives and Hedging (Topic ASC 815) This update adds the Overnight Index Swap (OIS) rate based on the Secured Overnight Financing Rate (SOFR) as an eligible benchmark interest rate permitted in the application of hedge accounting. The guidance was effective for the Company as of the fiscal fourth quarter of 2018, due to the previous adoption of ASU 2017-12. The impact of the adoption of this guidance did not have a material impact on the Company’s consolidated financial statements and related disclosures. The standard may have an impact in the future as the market for SOFR derivatives develops over time and if SOFR is used to hedge the Company’s financial instruments. Recently Issued Accounting Standards Not Adopted as of June 30, 2019 ASU 2018-18 : Collaborative Arrangements This update clarifies the interaction between ASC 808, Collaborative Arrangements and ASC 606, Revenue from Contracts with Customers. The update clarifies that certain transactions between participants in a collaborative arrangement should be accounted for under ASC 606 when the counterparty is a customer. In addition, the update precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue if the counterparty is not a customer for that transaction. This update will be effective for the Company for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. ASU 2018-18 should be applied retrospectively to the date of initial application of ASC 606 and early adoption is permitted. The Company is currently assessing the impact of this update on the Company’s consolidated financial statements and related disclosures. ASU 2016-13 : Financial Instruments - Credit Losses This update introduces the current expected credit loss (CECL) model, which will require an entity to measure credit losses for certain financial instruments and financial assets, including trade receivables. Under this update, on initial recognition and at each reporting period, an entity will be required to recognize an allowance that reflects the entity’s current estimate of credit losses expected to be incurred over the life of the financial instrument. This update will be effective for the Company for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. Early adoption is permitted. The Company is currently assessing the impact of this update on the Company’s consolidated financial statements and related disclosures. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | INVENTORIES (Dollars in Millions) June 30, 2019 December 30, 2018 Raw materials and supplies $ 1,198 1,114 Goods in process 2,024 2,109 Finished goods 6,041 5,376 Total inventories (1) $ 9,263 8,599 (1) The balance as of June 30, 2019, does not include the assets held for sale related to the strategic collaboration with Jabil Inc. of approximately $0.2 billion . The balance as of December 30, 2018, does not include the assets held for sale related to the divestiture of the Advanced Sterilization Products (ASP) business of approximately $0.2 billion and $0.3 billion |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | INTANGIBLE ASSETS AND GOODWILL Intangible assets that have finite useful lives are amortized over their estimated useful lives. The latest annual impairment assessment of goodwill and indefinite lived intangible assets was completed in the fiscal fourth quarter of 2018 . Future impairment tests for goodwill and indefinite lived intangible assets will be performed annually in the fiscal fourth quarter, or sooner, if warranted. (Dollars in Millions) June 30, 2019 December 30, 2018 Intangible assets with definite lives: Patents and trademarks — gross $ 36,582 35,194 Less accumulated amortization 11,500 9,784 Patents and trademarks — net 25,082 25,410 Customer relationships and other intangibles — gross 21,862 21,334 Less accumulated amortization 8,874 8,323 Customer relationships and other intangibles — net 12,988 13,011 Intangible assets with indefinite lives: Trademarks 6,939 6,937 Purchased in-process research and development (1) 4,323 2,253 Total intangible assets with indefinite lives 11,262 9,190 Total intangible assets — net $ 49,332 47,611 (1) In the fiscal first quarter of 2019, the Company recorded an IPR&D impairment charge of $0.9 billion for the remaining intangible asset value related to the development program of AL-8176, an investigational drug for the treatment of Respiratory Syncytial Virus (RSV) and human metapneumovirus (hMPV) acquired with the 2014 acquisition of Alios Biopharma Inc. The impairment charge was based on additional information, including clinical data, which became available and led to the Company's decision to abandon the development of AL-8176. A partial impairment charge of $0.8 billion was previously recorded in the fiscal third quarter of 2018 related to the development program of AL-8176. In the fiscal second quarter of 2019, the Company completed the acquisition of Auris Health, Inc. and recorded an in-process research and development intangible asset of $2.9 billion . Goodwill as of June 30, 2019 was allocated by segment of business as follows: (Dollars in Millions) Consumer Pharm Med Devices Total Goodwill, net at December 30, 2018 $ 8,670 9,063 12,720 30,453 Goodwill, related to acquisitions 1,196 — 2,019 3,215 Currency translation/Other (49 ) 41 1 (7 ) Goodwill, net at June 30, 2019 $ 9,817 9,104 14,740 33,661 The weighted average amortization period for patents and trademarks is 12 years. The weighted average amortization period for customer relationships and other intangible assets is 21 years. The amortization expense of amortizable intangible assets included in cost of products sold was $1.1 billion for each of the fiscal second quarters ended June 30, 2019 and July 1, 2018 . The amortization expense of amortizable intangible assets included in cost of products sold was $2.2 billion for each of the fiscal six months ended June 30, 2019 and July 1, 2018 . The estimated amortization expense for the five succeeding years approximates $4.4 billion , before tax, per year. Intangible asset write-downs are included in Other (income) expense, net. See Note 10 to the Consolidated Financial Statements for additional details related to acquisitions and divestitures. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The Company uses forward foreign exchange contracts to manage its exposure to the variability of cash flows, primarily related to the foreign exchange rate changes of future intercompany product and third-party purchases of materials denominated in a foreign currency. The Company uses cross currency interest rate swaps to manage currency risk primarily related to borrowings. Both types of derivatives are designated as cash flow hedges. Additionally, the Company uses interest rate swaps as an instrument to manage interest rate risk related to fixed rate borrowings. These derivatives are designated as fair value hedges. The Company uses cross currency interest rate swaps and forward foreign exchange contracts designated as net investment hedges. Additionally, the Company uses forward foreign exchange contracts to offset its exposure to certain foreign currency assets and liabilities. These forward foreign exchange contracts are not designated as hedges, and therefore, changes in the fair values of these derivatives are recognized in earnings, thereby offsetting the current earnings effect of the related foreign currency assets and liabilities. The Company early adopted ASU 2017-12: Targeted Improvements to Accounting for Hedge Activities effective as of the beginning of fiscal second quarter of 2018. The Company does not enter into derivative financial instruments for trading or speculative purposes, or that contain credit risk related contingent features. The Company maintains credit support agreements (CSA) with certain derivative counterparties establishing collateral thresholds based on respective credit ratings and netting agreements. As of June 30, 2019 , the total amount of collateral paid under the credit support agreements (CSA) amounted to $384 million , net. On an ongoing basis, the Company monitors counter-party credit ratings. The Company considers credit non-performance risk to be low, because the Company primarily enters into agreements with commercial institutions that have at least an investment grade credit rating. Refer to the table on significant financial assets and liabilities measured at fair value contained in this footnote for receivables and payables with these commercial institutions. As of June 30, 2019 , the Company had notional amounts outstanding for forward foreign exchange contracts, cross currency interest rate swaps and interest rate swaps of $49.7 billion , $15.3 billion and $0.5 billion , respectively. As of December 30, 2018 , the Company had notional amounts outstanding for forward foreign exchange contracts, cross currency interest rate swaps and interest rate swaps of $41.1 billion , $7.3 billion and $0.5 billion , respectively. All derivative instruments are recorded on the balance sheet at fair value. Changes in the fair value of derivatives are recorded each period in current earnings or other comprehensive income, depending on whether the derivative is designated as part of a hedge transaction, and if so, the type of hedge transaction. The designation as a cash flow hedge is made at the entrance date of the derivative contract. At inception, all derivatives are expected to be highly effective. Foreign exchange contracts designated as cash flow hedges are accounted for under the forward method and all gains/losses associated with these contracts will be recognized in the income statement when the hedged item impacts earnings. Changes in the fair value of these derivatives are recorded in accumulated other comprehensive income until the underlying transaction affects earnings and are then reclassified to earnings in the same account as the hedged transaction. Gains and losses associated with interest rate swaps and changes in fair value of hedged debt attributable to changes in interest rates are recorded to interest expense in the period in which they occur. Gains and losses on net investment hedges are accounted for through the currency translation account within accumulated other comprehensive income. The portion excluded from effectiveness testing is recorded through interest (income) expense using the spot method. On an ongoing basis, the Company assesses whether each derivative continues to be highly effective in offsetting changes of hedged items. If and when a derivative is no longer expected to be highly effective, hedge accounting is discontinued. The Company designated its Euro denominated notes issued in May 2016 with due dates ranging from 2022 to 2035 as a net investment hedge of the Company's investments in certain of its international subsidiaries that use the Euro as their functional currency in order to reduce the volatility caused by changes in exchange rates. As of June 30, 2019 , the balance of deferred net loss on derivatives included in accumulated other comprehensive income was $341 million after-tax. For additional information, see the Consolidated Statements of Comprehensive Income and Note 7. The Company expects that substantially all of the amounts related to forward foreign exchange contracts will be reclassified into earnings over the next 12 months as a result of transactions that are expected to occur over that period. The maximum length of time over which the Company is hedging transaction exposure is 18 months , excluding interest rate contracts, net investment hedges and equity collar contracts. The amount ultimately realized in earnings may differ as foreign exchange rates change. Realized gains and losses are ultimately determined by actual exchange rates at maturity of the derivative. The following table is a summary of the activity related to derivatives and hedges for the fiscal second quarters ended in 2019 and 2018 : June 30, 2019 July 1, 2018 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $ — — — 1 — — — — 5 — Derivatives designated as hedging instruments — — — (1 ) — — — — (5 ) — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing — — — 39 — — — — 2 — Amount of gain or (loss) recognized in AOCI — — — 39 — — — — 2 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income (14 ) (101 ) 36 — 2 17 76 (14 ) — (10 ) Amount of gain or (loss) recognized in AOCI — (50 ) 18 — (3 ) (49 ) (57 ) 21 — 3 Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 64 — — — 32 — Amount of gain or (loss) recognized in AOCI $ — — — 82 — — — — 19 — The following table is a summary of the activity related to derivatives and hedges for the fiscal six months ended in 2019 and 2018 : June 30, 2019 July 1, 2018 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $ — — — 1 — — — — 10 — Derivatives designated as hedging instruments — — — (1 ) — — — — (10 ) — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing — — — 78 — — — — 2 — Amount of gain or (loss) recognized in AOCI — — — 78 — — — — 2 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income (35 ) (136 ) (103 ) — 8 46 78 (252 ) — (21 ) Amount of gain or (loss) recognized in AOCI (6 ) (346 ) (92 ) — 10 (18 ) (54 ) (216 ) — (15 ) Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 118 — — — — 72 — Amount of gain or (loss) recognized in AOCI $ — — — 140 — — — — 76 — As of June 30, 2019 , and December 30, 2018 , the following amounts were recorded on the Consolidated Balance Sheet related to cumulative basis adjustment for fair value hedges: Line item in the Consolidated Balance Sheet in which the hedged item is included Carrying Amount of the Hedged Liability Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability (Dollars in Millions) June 30, 2019 December 30, 2018 June 30, 2019 December 30, 2018 Current Portion of Long-term Debt $ 498 494 1 5 Long-term Debt — — — — The following table is the effect of derivatives not designated as hedging instrument for the fiscal second quarter and fiscal six months ended in 2019 and 2018: Gain/(Loss) Recognized In Income on Derivative Gain/(Loss) Recognized In Income on Derivative (Dollars in Millions) Location of Gain /(Loss) Recognized in Income on Derivative Fiscal Second Quarter Ended Fiscal Six Months Ended Derivatives Not Designated as Hedging Instruments June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Foreign Exchange Contracts Other (income) expense $ (50 ) (53 ) (88 ) (72 ) The following table is the effect of net investment hedges for the fiscal second quarters ended in 2019 and 2018 Gain/(Loss) Recognized In Accumulated OCI Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From Accumulated OCI Into Income (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Debt $ (57 ) 306 Other (income) expense — — Cross Currency interest rate swaps $ (57 ) 37 Other (income) expense — — The following table is the effect of net investment hedges for the fiscal six months ended in 2019 and 2018 : Gain/(Loss) Recognized In Accumulated OCI Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From Accumulated OCI Into Income (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Debt $ 14 156 Other (income) expense — — Cross Currency interest rate swaps $ 313 37 Other (income) expense — — The Company holds equity investments with readily determinable fair values and equity investments without readily determinable fair values. The Company has elected to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The following table is a summary of the activity related to equity investments: (Dollars in Millions) December 30, 2018 June 30, 2019 Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value $ 511 292 160 963 963 Equity Investments without readily determinable value $ 681 (23 ) 19 677 677 (1) Recorded in Other Income/Expense (2) Other includes impact of currency For equity investments without readily determinable market values, $22 million of the decrease in the fair value reflected in net income were the result of impairments. There was a $1 million decrease in the fair value reflected in net income due to changes in observable prices. Fair value is the exit price that would be received to sell an asset or paid to transfer a liability. Fair value is a market-based measurement determined using assumptions that market participants would use in pricing an asset or liability. In accordance with ASC 820, a three-level hierarchy was established to prioritize the inputs used in measuring fair value. The levels within the hierarchy are described below with Level 1 inputs having the highest priority and Level 3 inputs having the lowest. The fair value of a derivative financial instrument (i.e., forward foreign exchange contracts, interest rate contracts) is the aggregation by currency of all future cash flows discounted to its present value at the prevailing market interest rates and subsequently converted to the U.S. Dollar at the current spot foreign exchange rate. The Company does not believe that fair values of these derivative instruments materially differ from the amounts that could be realized upon settlement or maturity, or that the changes in fair value will have a material effect on the Company’s results of operations, cash flows or financial position. The Company also holds equity investments which are classified as Level 1 and debt securities which are classified as Level 2. The Company holds acquisition related contingent liabilities based upon certain regulatory and commercial events, which are classified as Level 3, whose values are determined using discounted cash flow methodologies or similar techniques for which the determination of fair value requires significant judgment or estimations. The following three levels of inputs are used to measure fair value: Level 1 — Quoted prices in active markets for identical assets and liabilities. Level 2 — Significant other observable inputs. Level 3 — Significant unobservable inputs. The Company’s significant financial assets and liabilities measured at fair value as of June 30, 2019 and December 30, 2018 were as follows: June 30, 2019 December 30, 2018 (Dollars in Millions) Level 1 Level 2 Level 3 Total Total (1) Derivatives designated as hedging instruments: Assets: Forward foreign exchange contracts $ — 251 — 251 501 Interest rate contracts (2)(4) — 325 — 325 161 Total — 576 — 576 662 Liabilities: Forward foreign exchange contracts — 481 — 481 548 Interest rate contracts (3)(4) — 394 — 394 292 Total — 875 — 875 840 Derivatives not designated as hedging instruments: Assets: Forward foreign exchange contracts — 23 — 23 32 Liabilities: Forward foreign exchange contracts — 55 — 55 32 Other Investments: Equity investments (5) 963 — — 963 511 Debt securities (6) $ — 2,767 — 2,767 9,734 Other Liabilities Contingent consideration (7) 1,479 1,479 335 Gross to Net Derivative Reconciliation June 30, 2019 December 30, 2018 (Dollars in Millions) Total Gross Assets $ 599 694 Credit Support Agreement (CSA) (437 ) (423 ) Total Net Asset 162 271 Total Gross Liabilities 930 872 Credit Support Agreement (CSA) (821 ) (605 ) Total Net Liabilities $ 109 267 (1) December 30, 2018 assets and liabilities are all classified as Level 2 with the exception of equity investments of $511 million , which are classified as Level 1 and $335 million, classified as Level 3. (2) Includes $6 million of non-current other assets as of December 30, 2018 . (3) Includes $1 million and $3 million of non-current other liabilities as of June 30, 2019 and December 30, 2018 , respectively. (4) Includes cross currency interest rate swaps and interest rate swaps. (5) Classified as non-current other assets. The carrying amount of the equity investments were $963 million and $511 million as of June 30, 2019 and December 30, 2018 , respectively. (6) Classified within cash equivalents and current marketable securities. (7) Includes $1,370 million (primarily related to Auris Health) and $335 million, classified as non-current other liabilities as of June 30, 2019 and December 30, 2018 , respectively. Includes $109 million classified as current liabilities as of June 30, 2019 The Company's cash, cash equivalents and current marketable securities as of June 30, 2019 comprised: (Dollars in Millions) Carrying Amount Unrecognized Gain Estimated Fair Value Cash & Cash Equivalents Current Marketable Securities Cash $ 2,615 — 2,615 2,615 Other sovereign securities (1) 380 — 380 380 U.S. reverse repurchase agreements 7,014 — 7,014 7,014 Other reverse repurchase agreements 219 — 219 219 Corporate debt securities (1) 264 — 264 264 Money market funds 1,368 — 1,368 1,368 Time deposits (1) 651 — 651 651 Subtotal 12,511 — 12,511 12,511 — Unrealized Gain Government securities 2,501 1 2,502 1,845 657 Other sovereign securities — — — — — Corporate debt securities 265 — 265 20 245 Subtotal available for sale debt (2) $ 2,766 1 2,767 1,865 902 Total cash, cash equivalents and current marketable securities $ 15,277 1 15,278 14,376 902 (1) Held to maturity investments are reported at amortized cost and gains or losses are reported in earnings. (2) Available for sale debt securities are reported at fair value with unrealized gains and losses reported net of taxes in other comprehensive income. In the fiscal year ended December 30, 2018 the carrying amount was the same as the estimated fair value. Fair value of government securities and obligations and corporate debt securities was estimated using quoted broker prices and significant other observable inputs. The Company classifies all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months from the date of purchase as current marketable securities. Available for sale securities with stated maturities of greater than one year from the date of purchase are available for current operations and are classified as cash equivalents and current marketable securities. The contractual maturities of the available for sale securities as of June 30, 2019 are as follows: (Dollars in Millions) Cost Basis Fair Value Due within one year $ 2,711 2,712 Due after one year through five years 55 55 Due after five years through ten years — — Total debt securities $ 2,766 2,767 Financial Instruments not measured at Fair Value: The following financial liabilities are held at carrying amount on the consolidated balance sheet as of June 30, 2019 : (Dollars in Millions) Carrying Amount Estimated Fair Value Financial Liabilities Current Debt $ 1,719 1,739 Non-Current Debt 3% Zero Coupon Convertible Subordinated Debentures due in 2020 52 99 1.950% Notes due 2020 499 498 2.95% Debentures due 2020 548 554 3.55% Notes due 2021 449 462 2.45% Notes due 2021 349 353 1.65% Notes due 2021 999 993 0.250% Notes due 2022 (1B Euro 1.1364) 1,134 1,150 2.25% Notes due 2022 997 1,004 6.73% Debentures due 2023 250 298 3.375% Notes due 2023 805 852 2.05% Notes due 2023 498 498 0.650% Notes due 2024 (750MM Euro 1.1364) 849 882 5.50% Notes due 2024 (500 MM GBP 1.2709) 631 770 2.625% Notes due 2025 748 762 2.45% Notes due 2026 1,992 2,024 2.95% Notes due 2027 996 1,032 2.90% Notes due 2028 1,493 1,541 1.150% Notes due 2028 (750MM Euro 1.1364) 845 916 6.95% Notes due 2029 297 414 4.95% Debentures due 2033 498 618 4.375% Notes due 2033 856 1,008 1.650% Notes due 2035 (1.5B Euro 1.1364) 1,688 1,910 3.55% Notes due 2036 988 1,049 5.95% Notes due 2037 992 1,377 3.625% Notes due 2037 1,487 1,592 3.40% Notes due 2038 990 1,032 5.85% Debentures due 2038 696 946 4.50% Debentures due 2040 538 635 4.85% Notes due 2041 297 364 4.50% Notes due 2043 495 594 3.70% Notes due 2046 1,973 2,144 3.75% Notes due 2047 991 1,089 3.50% Notes due 2048 742 778 Other 37 37 Total Non-Current Debt $ 27,699 30,275 The weighted average effective interest rate on non-current debt is 3.19% . The excess of the estimated fair value over the carrying value of debt was $0.3 billion at December 30, 2018. Fair value of the non-current debt was estimated using market prices, which were corroborated by quoted broker prices and significant other observable inputs. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The worldwide effective income tax rates for the first fiscal six months of 2019 and 2018 were 18.4% and 20.4% , respectively. The U.S. Tax Cuts and Jobs Act (TCJA) was enacted into law effective January 1, 2018. This law reduced the U.S. statutory corporate tax rate from 35% to 21%, eliminated or reduced certain corporate income tax deductions and introduced a tax on Global Intangible Low-Taxed Income (GILTI) and a Base Erosion and Anti Abuse Tax (BEAT). During the first fiscal six months of 2018, the Company estimated the impact of these changes based on the best information and guidance available at that time. Subsequent U.S. Treasury guidance on the application of these provisions allowed the Company to better refine these calculations for fiscal year 2018 and when combined with the election to account for GILTI under the deferred method reduced the first fiscal six months of 2019 effective income tax rate by approximately 2.5% versus the first fiscal six months of 2018. This reduction was partially offset by the Company having more income in higher tax jurisdictions relative to lower tax jurisdictions, including the one-time impact of the ASP divestiture, which was primarily taxed in the U.S., as compared to the same period in 2018. As of June 30, 2019 , the Company had approximately $3.3 billion of liabilities from unrecognized tax benefits. The Company believes it is possible that audits may be completed by tax authorities in some jurisdictions over the next twelve months. The Company is not able to provide a reasonably reliable estimate of the timing of any future tax payments relating to uncertain tax positions. With respect to the United States, the IRS has completed its audit for the tax years through 2009 and is currently auditing the tax years 2010 through 2012. The Company currently expects substantial completion of this audit within the next twelve months. The outcome from this tax audit may result in adjustments to the Company’s current estimates that may have a material impact on the Company’s current and future operating results or cash flows in the period that the audit is substantially completed. Swiss Tax Reform On September 28, 2018 the Swiss Parliament approved the Federal Act on Tax Reform and AHV Financing (TRAF). On May 19, 2019 a public referendum was held in Switzerland that approved the federal reform proposals and subsequently announced the TRAF will become effective on January 1, 2020. In the fiscal third quarter of 2019, the Swiss Federal Council enacted TRAF. TRAF provides for parameters which enable the Swiss cantons to establish localized tax rates and regulations for multinational companies. The new cantonal tax parameters include favorable tax benefits for patents and an additional research and development tax deduction to encourage investment. The cantons are required to implement new local legislation by January 1, 2020 or the new federal law will be directly applied. The significant cantons in which the Company operates have not yet enacted legislation in response to TRAF. The transitional provisions of TRAF are also expected to allow companies to elect tax basis adjustments to fair value which is used for tax depreciation and amortization purposes resulting in a deduction over the transitional period. The adjustment in the Company’s asset tax basis will likely require review and approval by the federal and cantonal tax agencies. The Company has not yet applied for the adjustment to the tax basis. As TRAF was not enacted as of June 30, 2019, the Company has not reflected the financial impacts in its fiscal second quarter results. The Company estimates the impact of revaluing its deferred tax assets and liabilities as a result of Swiss Federal enactment of TRAF, without consideration of future cantonal tax rate changes or the transitional provisions, to result in an incremental tax expense between $0.3 billion to $0.5 billion in the fiscal third quarter of 2019. The financial impact of the future cantonal tax rate changes or the transitional provisions cannot currently be reasonably estimated but may result in a material impact to the future results of the Company. |
Pensions and Other Benefit Plan
Pensions and Other Benefit Plans | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Pensions and Other Benefit Plans | PENSIONS AND OTHER BENEFIT PLANS Components of Net Periodic Benefit Cost Net periodic benefit cost for the Company’s defined benefit retirement plans and other benefit plans for the fiscal second quarters and the first fiscal six months of 2019 and 2018 include the following components: Fiscal Second Quarter Ended Fiscal Six Months Ended Retirement Plans Other Benefit Plans Retirement Plans Other Benefit Plans (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Service cost $ 277 309 69 68 553 618 137 135 Interest cost 274 249 46 38 549 501 92 75 Expected return on plan assets (581 ) (554 ) (1 ) (2 ) (1,164 ) (1,114 ) (3 ) (4 ) Amortization of prior service cost/(credit) 1 — (8 ) (8 ) 2 1 (16 ) (16 ) Recognized actuarial losses 146 213 33 31 290 428 65 61 Curtailments and settlements 8 — — — 7 (2 ) — — Net periodic benefit cost $ 125 217 139 127 237 432 275 251 The service cost component of net periodic benefit cost is presented in the same line items on the Consolidated Statement of Earnings where other employee compensation costs are reported. All other components of net periodic benefit cost are presented as part of Other (income) expense, net on the Consolidated Statement of Earnings. Company Contributions For the fiscal six months ended June 30, 2019 , the Company contributed $42 million and $87 million to its U.S. and international retirement plans, respectively. The Company plans to continue to fund its U.S. defined benefit plans to comply with the Pension Protection Act of 2006. International plans are funded in accordance with local regulations. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | ACCUMULATED OTHER COMPREHENSIVE INCOME Components of other comprehensive income (loss) consist of the following: Foreign Gain/(Loss) Employee Gain/(Loss) Total Accumulated Currency On Benefit On Derivatives Other Comprehensive (Dollars in Millions) Translation Securities Plans & Hedges Income (Loss) December 30, 2018 $ (8,869 ) — (6,158 ) (195 ) (15,222 ) Net change 92 1 306 (146 ) 253 June 30, 2019 $ (8,777 ) 1 (5,852 ) (341 ) (14,969 ) Amounts in accumulated other comprehensive income are presented net of the related tax impact. Foreign currency translation is not adjusted for income taxes where it relates to permanent investments in international subsidiaries. For additional details on comprehensive income see the Consolidated Statements of Comprehensive Income. Details on reclassifications out of Accumulated Other Comprehensive Income: Gain/(Loss) On Securities - reclassifications released to Other (income) expense, net. Employee Benefit Plans - reclassifications are included in net periodic benefit cost. See Note 6 for additional details. Gain/(Loss) On Derivatives & Hedges - reclassifications to earnings are recorded in the same account as the underlying transaction. See Note 4 for additional details. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The following is a reconciliation of basic net earnings per share to diluted net earnings per share for the fiscal second quarters and the first fiscal six months ended June 30, 2019 and July 1, 2018 : Fiscal Second Quarter Ended Fiscal Six Months Ended (Shares in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Basic net earnings per share $ 2.11 1.47 3.52 3.10 Average shares outstanding — basic 2,652.5 2,682.3 2,656.7 2,682.2 Potential shares exercisable under stock option plans 140.8 127.5 138.6 141.8 Less: shares which could be repurchased under treasury stock method (102.3 ) (89.3 ) (99.0 ) (96.3 ) Convertible debt shares 0.7 0.8 0.7 0.8 Average shares outstanding — diluted 2,691.7 2,721.3 2,697.0 2,728.5 Diluted net earnings per share $ 2.08 1.45 3.47 3.05 The diluted net earnings per share calculation for both the fiscal second quarters ended June 30, 2019 and July 1, 2018 included the dilutive effect of convertible debt that was offset by the related reduction in interest expense. The diluted net earnings per share calculation for the fiscal second quarter ended June 30, 2019 excluded an insignificant number of shares related to stock options, as the exercise price of these options was greater than their average market value. The diluted net earnings per share calculation for the fiscal second quarter ended July 1, 2018 excluded 17 million shares related to stock options, as the exercise price of these options was greater than their average market value. The diluted net earnings per share calculation for the fiscal six months ended June 30, 2019 and July 1, 2018 included the dilutive effect of convertible debt that was offset by the related reduction in interest expense. The diluted net earnings per share calculation for the fiscal six months ended June 30, 2019 excluded an insignificant number of shares related to stock options, as the exercise price of these options was greater than their average market value. The diluted net earnings per share calculation for the fiscal six months ended July 1, 2018 included all shares related to stock options, as there were no |
Segments of Business and Geogra
Segments of Business and Geographic Areas | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segments of Business and Geographic Areas | SEGMENTS OF BUSINESS AND GEOGRAPHIC AREAS SALES BY SEGMENT OF BUSINESS Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, July 1, Percent Change June 30, July 1, Percent Change CONSUMER Baby Care U.S. $ 99 89 11.5 % $ 186 186 (0.2 )% International 344 367 (6.3 ) 651 727 (10.5 ) Worldwide 443 456 (2.8 ) 837 913 (8.4 ) Beauty U.S. 663 637 4.1 1,251 1,248 0.3 International 539 472 14.1 1,041 945 10.1 Worldwide 1,202 1,109 8.4 2,292 2,193 4.5 Oral Care U.S. 155 157 (1.6 ) 306 314 (2.5 ) International 234 236 (0.7 ) 450 458 (1.7 ) Worldwide 389 393 (1.1 ) 756 772 (2.0 ) OTC U.S. 484 454 6.6 991 919 7.8 International 580 612 (5.1 ) 1,160 1,219 (4.9 ) Worldwide 1,064 1,066 (0.1 ) 2,151 2,138 0.6 Women's Health U.S. 3 4 (10.3 ) 6 7 (3.7 ) International 250 276 (9.5 ) 472 516 (8.6 ) Worldwide 253 280 (9.5 ) 478 523 (8.5 ) Wound Care/Other U.S. 132 135 (1.9 ) 234 238 (1.5 ) International 61 65 (6.4 ) 114 125 (8.9 ) Worldwide 193 200 (3.4 ) 348 363 (4.0 ) TOTAL CONSUMER U.S. 1,537 1,476 4.1 2,975 2,912 2.2 International 2,007 2,028 (1.0 ) 3,887 3,990 (2.6 ) Worldwide 3,544 3,504 1.2 6,862 6,902 (0.6 ) PHARMACEUTICAL Immunology U.S. 2,379 2,317 2.7 4,542 4,317 5.2 International 1,087 1,021 6.3 2,175 2,063 5.4 Worldwide 3,466 3,338 3.8 6,717 6,380 5.3 REMICADE ® U.S. 801 918 (12.7 ) 1,575 1,834 (14.1 ) U.S. Exports 62 104 (40.3 ) 138 246 (43.9 ) International 244 298 (18.5 ) 496 629 (21.2 ) Worldwide 1,107 1,320 (16.2 ) 2,209 2,709 (18.5 ) SIMPONI / SIMPONI ARIA ® U.S. 281 274 2.7 544 498 9.1 International 282 274 2.7 543 568 (4.4 ) Worldwide 563 548 2.7 1,087 1,066 1.9 STELARA ® U.S. 1,058 919 15.2 1,940 1,571 23.5 International 499 422 18.1 1,022 831 23.0 Worldwide 1,558 1,341 16.1 2,963 2,402 23.3 TREMFYA ® U.S. 176 102 72.3 344 168 * International 59 24 * 108 30 * Worldwide 235 126 86.5 452 198 * OTHER IMMUNOLOGY U.S. — — — — — — International 3 3 27.7 6 5 23.6 Worldwide 3 3 27.7 6 5 23.6 Infectious Diseases U.S. 387 328 17.8 744 661 12.5 International 475 521 (8.7 ) 964 1,018 (5.3 ) Worldwide 862 849 1.5 1,708 1,679 1.7 EDURANT ® / rilpivirine U.S. 12 15 (15.8 ) 24 29 (17.3 ) International 198 196 0.5 397 392 1.4 Worldwide 210 211 (0.6 ) 421 421 0.1 PREZISTA ® / PREZCOBIX ® / REZOLSTA ® / SYMTUZA ® U.S. 344 277 24.2 659 550 19.9 International 191 215 (11.1 ) 399 420 (5.0 ) Worldwide 535 492 8.7 1,058 970 9.1 OTHER INFECTIOUS DISEASES U.S. 31 36 (16.6 ) 61 82 (26.0 ) International 86 110 (20.8 ) 168 206 (18.6 ) Worldwide 117 146 (19.7 ) 229 288 (20.7 ) Neuroscience U.S. 664 639 3.8 1,387 1,263 9.8 International 875 889 (1.6 ) 1,780 1,824 (2.4 ) Worldwide 1,538 1,528 0.6 3,167 3,087 2.6 CONCERTA ® / methylphenidate U.S. 15 68 (78.6 ) 112 134 (16.4 ) International 123 115 6.2 239 222 7.3 Worldwide 137 183 (25.2 ) 351 356 (1.6 ) INVEGA SUSTENNA ® / XEPLION ® / INVEGA TRINZA ® / TREVICTA ® U.S. 506 438 15.6 989 838 18.1 International 312 282 10.4 619 578 7.0 Worldwide 818 720 13.6 1,608 1,416 13.6 RISPERDAL CONSTA ® U.S. 81 80 0.8 158 162 (3.0 ) International 101 108 (6.5 ) 203 222 (8.4 ) Worldwide 182 188 (3.4 ) 361 384 (6.2 ) OTHER NEUROSCIENCE U.S. 62 53 16.1 128 129 (0.4 ) International 340 384 (11.5 ) 719 802 (10.3 ) Worldwide 401 437 (8.1 ) 847 931 (8.9 ) Oncology U.S. 1,013 1,085 (6.6 ) 1,975 2,018 (2.1 ) International 1,684 1,371 22.8 3,240 2,749 17.9 Worldwide 2,697 2,456 9.8 5,215 4,767 9.4 DARZALEX ® U.S. 369 298 24.4 721 562 28.5 International 405 213 89.5 682 381 78.7 Worldwide 774 511 51.6 1,403 943 48.8 IMBRUVICA ® U.S. 367 250 47.0 716 477 50.2 International 463 370 25.3 898 730 23.1 Worldwide 831 620 34.1 1,615 1,207 33.8 VELCADE ® U.S. — — — — — — International 224 280 (20.1 ) 487 593 (17.9 ) Worldwide 224 280 (20.1 ) 487 593 (17.9 ) ZYTIGA ® / abiraterone acetate U.S. 198 486 (59.4 ) 383 893 (57.1 ) International 500 423 18.0 994 861 15.4 Worldwide 698 909 (23.3 ) 1,377 1,754 (21.5 ) OTHER ONCOLOGY U.S. 78 51 50.5 154 86 77.7 International 92 85 8.8 179 184 (2.5 ) Worldwide 170 136 24.7 333 270 23.2 Pulmonary Hypertension U.S. 439 429 2.2 869 790 10.0 International 251 236 6.7 477 460 3.7 Worldwide 690 665 3.8 1,346 1,250 7.7 OPSUMIT ® U.S. 203 180 12.8 375 329 14.2 International 146 131 11.5 279 253 10.3 Worldwide 348 311 12.3 654 582 12.5 TRACLEER ® U.S. 41 71 (41.8) 102 139 (26.3 ) International 62 72 (14.5) 118 144 (18.7 ) Worldwide 103 143 (28.0) 220 283 (22.4 ) UPTRAVI ® U.S. 175 155 13.4 351 279 25.9 International 28 16 62.5 50 32 53.1 Worldwide 203 171 18.2 401 311 28.7 OTHER U.S. 20 23 (18.2) 41 43 (8.4 ) International 16 17 3.7 31 31 4.1 Worldwide 37 40 (9.6) 72 74 (3.4 ) Cardiovascular / Metabolism / Other U.S. 902 1,101 (18.1 ) 1,849 2,204 (16.1 ) International 373 417 (10.5 ) 771 831 (7.2 ) Worldwide 1,275 1,518 (16.0 ) 2,620 3,035 (13.7 ) XARELTO ® U.S. 549 679 (19.2 ) 1,091 1,257 (13.2 ) International — — — — — — Worldwide 549 679 (19.2 ) 1,091 1,257 (13.2 ) INVOKANA ® / INVOKAMET ® U.S. 132 169 (21.2 ) 286 373 (23.2 ) International 43 46 (6.0 ) 92 90 2.6 Worldwide 177 215 (17.9 ) 379 463 (18.2 ) PROCRIT ® / EPREX ® U.S. 113 156 (27.5 ) 261 345 (24.3 ) International 70 80 (13.4 ) 148 167 (11.7 ) Worldwide 183 236 (22.7 ) 409 512 (20.2 ) OTHER U.S. 107 97 9.3 211 229 (8.2 ) International 260 291 (10.5 ) 531 574 (7.5 ) Worldwide 368 388 (5.5 ) 742 803 (7.7 ) TOTAL PHARMACEUTICAL U.S. 5,783 5,899 (2.0 ) 11,365 11,253 1.0 International 4,746 4,455 6.5 9,408 8,945 5.2 Worldwide 10,529 10,354 1.7 20,773 20,198 2.8 MEDICAL DEVICES Diabetes Care U.S. — 129 * — 246 * International — 226 * — 448 * Worldwide — 355 * — 694 * Interventional Solutions U.S. 366 323 13.7 709 627 13.2 International 385 344 11.6 774 680 13.7 Worldwide 750 667 12.6 1,482 1,307 13.4 Orthopaedics U.S. 1,331 1,332 (0.1 ) 2,649 2,639 0.4 International 894 930 (3.8 ) 1,779 1,873 (5.0 ) Worldwide 2,224 2,262 (1.6 ) 4,428 4,512 (1.9 ) HIPS U.S. 216 211 2.1 429 420 2.1 International 147 149 (0.7 ) 295 303 (2.3 ) Worldwide 364 360 0.9 725 723 0.3 KNEES U.S. 218 229 (4.8 ) 441 457 (3.5 ) International 153 153 0.4 299 312 (4.0 ) Worldwide 372 382 (2.8 ) 741 769 (3.7 ) TRAUMA U.S. 407 394 3.3 824 801 2.9 International 265 281 (5.9 ) 533 570 (6.5 ) Worldwide 672 675 (0.6 ) 1,357 1,371 (1.0 ) SPINE & OTHER U.S. 490 498 (1.5 ) 955 961 (0.6 ) International 328 347 (5.3 ) 651 688 (5.4 ) Worldwide 818 845 (3.1 ) 1,606 1,649 (2.6 ) Surgery U.S. 926 1,022 (9.5 ) 1,927 2,015 (4.4 ) International 1,427 1,493 (4.4 ) 2,821 2,923 (3.5 ) Worldwide 2,353 2,515 (6.5 ) 4,748 4,938 (3.9 ) ADVANCED U.S. 396 402 (1.7 ) 800 795 0.6 International 633 603 5.0 1,209 1,176 2.8 Worldwide 1,029 1,005 2.3 2,009 1,971 1.9 GENERAL U.S. 443 436 1.6 868 859 1.0 International 674 733 (7.9 ) 1,339 1,437 (6.8 ) Worldwide 1,119 1,169 (4.3 ) 2,208 2,296 (3.9 ) SPECIALTY U.S. 87 184 (53.1 ) 259 361 (28.3 ) International 120 157 (23.7 ) 273 310 (12.1 ) Worldwide 206 341 (39.6 ) 531 671 (20.8 ) Vision U.S. 461 459 0.4 907 899 1.0 International 701 714 (2.0 ) 1,383 1,389 (0.5 ) Worldwide 1,161 1,173 (1.0 ) 2,290 2,288 0.1 CONTACT LENSES / OTHER U.S. 333 320 3.9 654 629 4.0 International 509 524 (2.9 ) 1,011 1,022 (1.0 ) Worldwide 842 844 (0.3 ) 1,666 1,651 0.9 SURGICAL U.S. 128 139 (7.7 ) 253 270 (6.1 ) International 191 190 0.7 371 367 1.0 Worldwide 319 329 (2.8 ) 624 637 (2.0 ) TOTAL MEDICAL DEVICES U.S. 3,083 3,265 (5.6 ) 6,192 6,426 (3.6 ) International 3,406 3,707 (8.1 ) 6,756 7,313 (7.6 ) Worldwide 6,489 6,972 (6.9 ) 12,948 13,739 (5.7 ) WORLDWIDE U.S. 10,403 10,640 (2.2 ) 20,532 20,591 (0.3 ) International 10,159 10,190 (0.3 ) 20,051 20,248 (1.0 ) Worldwide $ 20,562 20,830 (1.3 )% $ 40,583 40,839 (0.6 )% *Percentage greater than 100% or not meaningful EARNINGS BEFORE PROVISION FOR TAXES BY SEGMENT Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, July 1, Percent Change June 30, July 1, Percent Change Consumer (1) $ 406 829 (51.0 )% $ 1,147 1,377 (16.7 )% Pharmaceutical (2) 3,677 3,651 0.7 6,008 7,317 (17.9 ) Medical Devices (3) 3,189 796 * 4,686 2,375 97.3 Segment earnings before provision for taxes 7,272 5,276 37.8 11,841 11,069 7.0 Less: Expense not allocated to segments (4) 231 303 378 615 Worldwide income before tax $ 7,041 4,973 41.6 % $ 11,463 10,454 9.7 % *Percentage greater than 100% (1) Includes a gain of $0.3 billion related to the Company's previously held equity investment in Ci:z Holdings Co., Ltd. (Dr. Ci: Labo) in the fiscal six months of 2019. Includes a gain of $0.3 billion from the divestiture of NIZORAL ® in the fiscal second quarter and six months of 2018. Includes amortization expense of $0.1 billion and $0.1 billion in the fiscal second quarters and $0.2 billion and $0.1 billion in the fiscal six months of 2019 and 2018, respectively. Includes litigation expense of $0.2 billion in the fiscal second quarter and fiscal six months of 2019. (2) Includes an unrealized gain on securities of $0.2 billion and Actelion acquisition related costs of $0.1 billion in the fiscal second quarter of 2019. Includes an unrealized gain on securities of $0.3 billion , an in-process research and development expense of $0.9 billion related to the Alios asset, a research and development expense of $0.3 billion for an upfront payment related to argenx, litigation expense of $0.4 billion , and Actelion acquisition related costs of $0.1 billion in the fiscal six months of 2019. Includes Actelion acquisition related costs of $0.1 billion and $0.2 billion in the fiscal second quarter and fiscal six months of 2018, respectively and a gain of $0.1 billion from the divestiture of PANCREASE ® in the fiscal second quarter and six months of 2018. Includes amortization expense of $0.8 billion and $0.8 billion in the fiscal second quarters and $1.6 billion and $1.5 billion in the fiscal six months of 2019 and 2018, respectively. (3) Includes a gain of $2.0 billion from the divestiture of the ASP business in the fiscal second quarter and six months of 2019. Includes a restructuring related charge of $0.1 billion and $0.1 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.1 billion and $0.2 billion in the fiscal six months of 2019 and 2018, respectively. Includes litigation expense of $0.2 billion and $0.7 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.3 billion and $0.7 billion in the fiscal six months of 2019 and 2018, respectively. Includes amortization expense of $0.2 billion and $0.3 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.5 billion and $0.5 billion in the fiscal six months of 2019 and 2018, respectively. (4) Amounts not allocated to segments include interest income/expense and general corporate income/expense. SALES BY GEOGRAPHIC AREA Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, 2019 July 1, 2018 Percent Change June 30, 2019 July 1, 2018 Percent Change United States $ 10,403 10,640 (2.2 )% $ 20,532 20,591 (0.3 )% Europe 4,733 4,810 (1.6 ) 9,342 9,607 (2.8 ) Western Hemisphere, excluding U.S. 1,455 1,540 (5.5 ) 2,958 3,107 (4.8 ) Asia-Pacific, Africa 3,971 3,840 3.4 7,751 7,534 2.9 Total $ 20,562 20,830 (1.3 )% $ 40,583 40,839 (0.6 )% |
Business Combinations and Dives
Business Combinations and Divestitures | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Business Combinations and Divestitures | BUSINESS COMBINATIONS AND DIVESTITURES On April 1, 2019, the Company completed the acquisition of Auris Health, Inc. for approximately $3.4 billion , net of cash acquired. Additional contingent payments of up to $2.35 billion , in the aggregate, may be payable upon reaching certain predetermined milestones. Auris Health was a privately held developer of robotic technologies, initially focused in lung cancer, with an FDA-cleared platform currently used in bronchoscopic diagnostic and therapeutic procedures. The Company treated this transaction as a business combination and included it in the Medical Devices segment. The fair value of the acquisition was allocated primarily to amortizable and non-amortizable intangible assets, primarily IPR&D, for $3.0 billion , goodwill for $2.0 billion , marketable securities of $0.2 billion and liabilities assumed of $1.8 billion , which includes the fair value of the contingent payments mentioned above, subject to any subsequent valuation adjustments within the measurement period. The fair value of the contingent consideration was $1.1 billion . A probability of success factor ranging from 55% to 95% was used in the fair value calculation to reflect inherent regulatory and commercial risk of the contingent payments and IPR&D. The discount rate applied was approximately 10% . The goodwill is primarily attributable to synergies expected to arise from the business acquisition and is not expected to be deductible for tax purposes. On April 1, 2019, the Company completed the divestiture of its ASP business to Fortive Corporation for an aggregate value of approximately $2.8 billion , consisting of $2.7 billion of cash proceeds and $0.1 billion of retained net receivables. The Company recognized a pre-tax gain recorded in Other (income) expense, net, of approximately $2.0 billion . On October 23, 2018, the Company entered into an agreement to acquire Ci:z Holdings Co., Ltd., (DR.CI:LABO) a Japanese company focused on the marketing, development and distribution of a broad range of dermocosmetic, cosmetic and skincare products for a total purchase price of approximately ¥230 billion , which equates to approximately $2.1 billion , using the exchange rate of 109.06 Japanese Yen to each U.S. Dollar on January 16, 2019. The acquisition was completed on January 17, 2019, through a series of transactions that included an all-cash tender offer to acquire the publicly held shares not already held by the Company for ¥5,900 per share. The Company previously held a 20% ownership in Ci:z Holdings Co., Ltd. As of June 2019, the Company became the legal owner of Ci:z Holdings with the completion of the tender offer procedure in Japan. The acquired company was then delisted from the Tokyo Stock Exchange. Additionally, in the fiscal first quarter of 2019, the Company recognized a pre-tax gain recorded in Other (income) expense, net, of approximately $0.3 billion related to the Company's previously held equity investment in Ci:z Holdings Co., Ltd. The Company treated this transaction as a business combination and included it in the Consumer segment. On June 30, 2019, the fair value of the acquisition was allocated primarily to amortizable intangible assets for $1.5 billion , goodwill for $1.2 billion and liabilities assumed of $0.5 billion subject to any subsequent valuation adjustments within the measurement period. The adjustments made since the date of acquisition were $0.1 billion to the intangible assets with the offset to goodwill. The amortizable intangible assets were comprised of brand/trademarks and customer relationships with a weighted average life of 15.3 years . The goodwill is primarily attributable to synergies expected to arise from the business acquisition and is not expected to be deductible for tax purposes. During the fiscal third quarter of 2018, the Company accepted a binding offer to form a strategic collaboration with Jabil Inc., one of the world’s leading manufacturing services providers for health care products and technology products. The Company is expanding a 12-year relationship with Jabil to produce a range of products within the Ethicon Endo-Surgery and DePuy Synthes businesses. This transaction includes the transfer of employees and manufacturing sites. Certain manufacturing sites were transferred to Jabil in the first fiscal six months of 2019 and additional sites are expected to transfer in the remainder of 2019. As of June 30, 2019, the assets held for sale on the Consolidated Balance Sheet were $0.2 billion of inventory. For additional details on the global supply chain restructuring see Note 12 to the Consolidated Financial Statements. During the fiscal second quarter of 2018, the Company completed the acquisition BeneVir Biopharm, Inc. (BeneVir), a privately-held, biopharmaceutical company specializing in the development of oncolytic immunotherapies. Additionally, during the fiscal second quarter of 2018, the Company completed the divestitures of NIZORAL ® , PANCREASE ® and VALCHLOR ® |
Legal Proceedings
Legal Proceedings | 6 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Proceedings | LEGAL PROCEEDINGS Johnson & Johnson and certain of its subsidiaries are involved in various lawsuits and claims regarding product liability; intellectual property; commercial; supplier indemnification and other matters; governmental investigations; and other legal proceedings that arise from time to time in the ordinary course of their business. The Company records accruals for loss contingencies associated with these legal matters when it is probable that a liability will be incurred, and the amount of the loss can be reasonably estimated. As of June 30, 2019 , the Company has determined that the liabilities associated with certain litigation matters are probable and can be reasonably estimated. The Company has accrued for these matters and will continue to monitor each related legal issue and adjust accruals as might be warranted based on new information and further developments in accordance with ASC 450-20-25. For these and other litigation and regulatory matters discussed below for which a loss is probable or reasonably possible, the Company is unable to estimate the possible loss or range of loss beyond the amounts already accrued. Amounts accrued for legal contingencies often result from a complex series of judgments about future events and uncertainties that rely heavily on estimates and assumptions. The ability to make such estimates and judgments can be affected by various factors, including whether damages sought in the proceedings are unsubstantiated or indeterminate; scientific and legal discovery has not commenced or is not complete; proceedings are in early stages; matters present legal uncertainties; there are significant facts in dispute; or there are numerous parties involved. In the Company's opinion, based on its examination of these matters, its experience to date and discussions with counsel, the ultimate outcome of legal proceedings, net of liabilities accrued in the Company's balance sheet, is not expected to have a material adverse effect on the Company's financial position. However, the resolution of, or increase in accruals for, one or more of these matters in any reporting period may have a material adverse effect on the Company's results of operations and cash flows for that period. PRODUCT LIABILITY Johnson & Johnson and certain of its subsidiaries are involved in numerous product liability claims and lawsuits involving multiple products. Claimants in these cases seek substantial compensatory and, where available, punitive damages. While the Company believes it has substantial defenses, it is not feasible to predict the ultimate outcome of litigation. From time to time, even if it has substantial defenses, the Company considers isolated settlements based on a variety of circumstances. The Company has established accruals for product liability claims and lawsuits in compliance with ASC 450-20 based on currently available information, which in some cases may be limited. The Company accrues an estimate of the legal defense costs needed to defend each matter when those costs are probable and can be reasonably estimated. For certain of these matters, the Company has accrued additional amounts such as estimated costs associated with settlements, damages and other losses. To the extent adverse verdicts have been rendered against the Company, the Company does not record an accrual until a loss is determined to be probable and can be reasonably estimated. Product liability accruals can represent projected product liability for thousands of claims around the world, each in different litigation environments and with different fact patterns. Changes to the accruals may be required in the future as additional information becomes available. The most significant of these cases include: the DePuy ASR™ XL Acetabular System and DePuy ASR™ Hip Resurfacing System; the PINNACLE ® Acetabular Cup System; pelvic meshes; RISPERDAL ® ; XARELTO ® ; body powders containing talc, primarily JOHNSONS ® Baby Powder; INVOKANA ® ; and ETHICON PHYSIOMESH ® Flexible Composite Mesh. As of June 30, 2019 , in the United States there were approximately 1,500 plaintiffs with direct claims in pending lawsuits regarding injuries allegedly due to the DePuy ASR™ XL Acetabular System and DePuy ASR™ Hip Resurfacing System; 10,500 with respect to the PINNACLE ® Acetabular Cup System; 24,800 with respect to pelvic meshes; 13,400 with respect to RISPERDAL ® ; 31,700 with respect to XARELTO ® ; 15,500 with respect to body powders containing talc; 1,000 with respect to INVOKANA ® ; and 2,900 with respect to ETHICON PHYSIOMESH ® Flexible Composite Mesh. In August 2010, DePuy Orthopaedics, Inc. (DePuy) announced a worldwide voluntary recall of its ASR ™ XL Acetabular System and DePuy ASR ™ Hip Resurfacing System used in hip replacement surgery. Claims for personal injury have been made against DePuy and Johnson & Johnson. The number of pending lawsuits is expected to fluctuate as certain lawsuits are settled or dismissed and additional lawsuits are filed. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Northern District of Ohio. Litigation has also been filed in countries outside of the United States, primarily in the United Kingdom, Canada, Australia, Ireland, Germany and Italy. In November 2013, DePuy reached an agreement with a Court-appointed committee of lawyers representing ASR Hip System plaintiffs to establish a program to settle claims with eligible ASR Hip patients in the United States who had surgery to replace their ASR Hips, known as revision surgery, as of August 31, 2013. DePuy reached additional agreements in February 2015 and March 2017, which further extended the settlement program to include ASR Hip patients who had revision surgeries after August 31, 2013 and prior to February 15, 2017. This settlement program has resolved more than 10,000 claims, therefore bringing to resolution significant ASR Hip litigation activity in the United States. However, lawsuits in the United States remain, and the settlement program does not address litigation outside of the United States. In Australia, a class action settlement was reached that resolved the claims of the majority of ASR Hip patients in that country. In Canada, the Company has reached agreements to settle two pending class actions which have been approved by the Québec Superior Court and the Supreme Court of British Columbia. The British Columbia order is currently the subject of an appeal. The Company continues to receive information with respect to potential additional costs associated with this recall on a worldwide basis. The Company has established accruals for the costs associated with the United States settlement program and DePuy ASR ™ Hip-related product liability litigation. Claims for personal injury have also been made against DePuy Orthopaedics, Inc. and Johnson & Johnson (collectively, DePuy) relating to the PINNACLE ® Acetabular Cup System used in hip replacement surgery. Product liability lawsuits continue to be filed, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Northern District of Texas. Litigation has also been filed in some state courts and in countries outside of the United States. Several adverse verdicts have been rendered against DePuy, one of which was reversed on appeal and remanded for retrial. During the first quarter of 2019, DePuy established a United States settlement program to resolve these cases. As part of the settlement program, adverse verdicts have been settled. The Company has established an accrual for product liability litigation associated with the PINNACLE ® Acetabular Cup System and the related settlement program. Claims for personal injury have been made against Ethicon, Inc. (Ethicon) and Johnson & Johnson arising out of Ethicon's pelvic mesh devices used to treat stress urinary incontinence and pelvic organ prolapse. The Company continues to receive information with respect to potential costs and additional cases. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Southern District of West Virginia. The Company has settled or otherwise resolved a majority of the United States cases and the estimated costs associated with these settlements and the remaining cases are reflected in the Company's accruals. In addition, class actions and individual personal injury cases or claims have been commenced in various countries outside of the United States, including claims and cases in the United Kingdom, the Netherlands and Belgium, and class actions in Israel, Australia and Canada, seeking damages for alleged injury resulting from Ethicon's pelvic mesh devices. In Australia, a trial of class action issues has been completed and the parties are awaiting a decision. The Company has established accruals with respect to product liability litigation associated with Ethicon's pelvic mesh products. Following a June 2016 worldwide market withdrawal of ETHICON PHYSIOMESH ® Flexible Composite Mesh, claims for personal injury have been made against Ethicon, Inc. and Johnson & Johnson alleging personal injury arising out of the use of this hernia mesh device. Cases filed in federal courts in the United States have been organized as a multi-district litigation (MDL) in the United States District Court for the Northern District of Georgia. A multi-county litigation (MCL) has also been formed in New Jersey state court and assigned to Atlantic County for cases pending in New Jersey. Along with ETHICON PHYSIOMESH ® lawsuits, there were a number of filings related to the PROCEED ® Mesh and PROCEED ® Ventral Patch products. In March 2019, the New Jersey Supreme Court entered an order consolidating all PROCEED ® and PROCEED ® Ventral Patch cases as an MCL in Atlantic County Superior Court. Product liability lawsuits continue to be filed, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. The Company has established accruals with respect to product liability litigation associated with ETHICON PHYSIOMESH ® Flexible Composite Mesh, PROCEED ® Mesh and PROCEED ® Ventral Patch products. Claims for personal injury have been made against Janssen Pharmaceuticals, Inc. and Johnson & Johnson arising out of the use of RISPERDAL ® , indicated for the treatment of schizophrenia, acute manic or mixed episodes associated with bipolar I disorder and irritability associated with autism, and related compounds. Lawsuits have been primarily filed in state courts in Pennsylvania, California, and Missouri. Other actions are pending in various courts in the United States and Canada. Product liability lawsuits continue to be filed, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. The Company has settled or otherwise resolved many of the United States cases and the costs associated with these settlements are reflected in the Company's accruals. Claims for personal injury arising out of the use of XARELTO ® , an oral anticoagulant, have been made against Janssen Pharmaceuticals, Inc. (JPI); Johnson & Johnson; and JPI's collaboration partner for XARELTO ® Bayer AG and certain of its affiliates. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Eastern District of Louisiana. In addition, cases have been filed in state courts across the United States. Many of these cases have been consolidated into a state mass tort litigation in Philadelphia, Pennsylvania and in a coordinated proceeding in California. Class action lawsuits also have been filed in Canada. In March 2019, the Company announced an agreement in principle to the settle the XARELTO ® cases in the United States; such agreement was finalized and executed in May 2019 establishing a United States settlement program. The Company has established accruals for the costs associated with the United States settlement program and XARELTO ® related product liability litigation. Personal injury claims alleging that talc causes cancer have been made against Johnson & Johnson Consumer Inc. and Johnson & Johnson arising out of the use of body powders containing talc, primarily JOHNSON’S ® Baby Powder. The number of pending product liability lawsuits continues to increase, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. Lawsuits have been primarily filed in state courts in Missouri, New Jersey and California, as well as outside the United States. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the District of New Jersey. In the multi-district litigation, the parties have moved to exclude experts, known as Daubert motions. The Court began conducting Daubert hearings in mid-July 2019. The Company has successfully defended a number of these cases but there have been verdicts against the Company, including a verdict in July 2018 of $4.7 billion . The Company believes that it has strong grounds on appeal to overturn these verdicts. The Company has established an accrual for defense costs only in connection with product liability litigation associated with body powders containing talc. In February 2019, the Company’s talc supplier, Imerys Talc America, Inc. and two of its affiliates, Imerys Talc Vermont, Inc. and Imerys Talc Canada, Inc. (collectively, “Imerys”) filed a voluntary chapter 11 petition commencing a reorganization under the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware ("Imerys Bankruptcy"). The Imerys Bankruptcy relates to potential liability on account of Imerys’s sales of talc, including to the Company for the Company’s body powders. In its bankruptcy filing, Imerys noted certain claims it alleged it had against the Company for indemnification and rights to joint insurance proceeds. Based on such claims as well as indemnity and insurance claims the Company has against Imerys, the Company has petitioned the United States District Court for the District of Delaware to establish federal jurisdiction of the state court talc lawsuits under the “related to” jurisdictional provisions of the Bankruptcy Code. The Company's petition was denied and the state court talc lawsuits that have been removed to federal court on such basis will be remanded. In February 2018, a securities class action lawsuit was filed against Johnson & Johnson and certain named officers in the United States District Court for the District of New Jersey, alleging that Johnson & Johnson violated the federal securities laws by failing to adequately disclose the alleged asbestos contamination in body powders containing talc, primarily JOHNSON'S ® Baby Powder, and that purchasers of Johnson & Johnson’s shares suffered losses as a result. Plaintiffs are seeking damages. In October 2018, a shareholder derivative lawsuit was filed against Johnson & Johnson as the nominal defendant and its current directors as defendants in the United States District Court for the District of New Jersey, alleging a breach of fiduciary duties related to the alleged asbestos contamination in body powders containing talc, primarily JOHNSON’S ® Baby Powder, and that Johnson & Johnson has suffered damages as a result of those alleged breaches. Plaintiff is seeking damages and an order for the Company to reform its internal policies and procedures. In January 2019, two ERISA class action lawsuits were filed by participants in the Johnson & Johnson Savings Plan against Johnson & Johnson, its Pension and Benefits Committee, and certain named officers in the United States District Court for the District of New Jersey, alleging that the defendants breached their fiduciary duties by offering Johnson & Johnson stock as a Johnson & Johnson Savings Plan investment option when it was imprudent to do so because of failures to disclose alleged asbestos contamination in body powders containing talc, primarily JOHNSON’S ® Baby Powder. Plaintiffs are seeking damages and injunctive relief. A lawsuit is pending in the United States District Court for the Central District of California alleging violations of Proposition 65, California’s Unfair Competition Law and False Advertising Law. In June 2019, plaintiffs filed a motion for voluntary dismissal of this Proposition 65 action and the Company opposed such motion to the extent it would allow plaintiffs’ counsel to refile such claims with new plaintiffs. In addition, the Company has received preliminary inquiries and subpoenas to produce documents regarding these matters from Senator Murray, a member of the Senate Committee on Health, Education, Labor and Pensions, the Department of Justice, the Securities and Exchange Commission and the U.S. Congressional Subcommittee on Economic and Consumer Policy. The Company is cooperating with these government inquiries and continues to produce documents in response. Claims for personal injury have been made against a number of Johnson & Johnson companies, including Janssen Pharmaceuticals, Inc. and Johnson & Johnson, arising out of the use of INVOKANA ® , a prescription medication indicated to improve glycemic control in adults with Type 2 diabetes. Lawsuits filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the District of New Jersey. Cases have also been filed in various state courts including Pennsylvania and Louisiana. Class action lawsuits have been filed in Canada. Product liability lawsuits continue to be filed, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. The Company has settled or otherwise resolved many of the cases and claims in the United States and the costs associated with these settlements are reflected in the Company's accruals. INTELLECTUAL PROPERTY Certain subsidiaries of Johnson & Johnson are subject, from time to time, to legal proceedings and claims related to patent, trademark and other intellectual property matters arising out of their businesses. Many of these matters involve challenges to the coverage and/or validity of the patents on various products and allegations that certain of the Company’s products infringe the patents of third parties. Although these subsidiaries believe that they have substantial defenses to these challenges and allegations with respect to all significant patents, there can be no assurance as to the outcome of these matters. A loss in any of these cases could adversely affect the ability of these subsidiaries to sell their products, result in loss of sales due to loss of market exclusivity, require the payment of past damages and future royalties, and may result in a non-cash impairment charge for any associated intangible asset. The most significant of these matters are described below. Medical Devices In June 2009, Rembrandt Vision Technologies, L.P. (Rembrandt) filed a patent infringement lawsuit against Johnson & Johnson Vision Care, Inc. (JJVCI) in the United States District Court for the Eastern District of Texas alleging that JJVCI's manufacture and sale of its ACUVUE ® ADVANCE and ACUVUE OASYS ® Hydrogel Contact Lenses infringed Rembrandt’s United States Patent No. 5,712,327 and seeking monetary relief. The case was transferred to the United States District Court for the Middle District of Florida, where a trial in May 2012 resulted in a verdict of non-infringement that was subsequently upheld on appeal. In July 2014, Rembrandt sought a new trial based on alleged new evidence, which the district court denied. In April 2016, the Court of Appeals overturned that ruling and remanded the case to the district court for a new trial. A new trial was held in August 2017, and the jury returned a verdict of non-infringement in favor of JJVCI. Rembrandt has appealed the verdict to the United States Court of Appeals for the Federal Circuit (CAFC). In February 2019, the CAFC affirmed the judgment in favor of JJVCI. In May 2019, the district court awarded costs in favor of JJVCI. In March 2013, Medinol Ltd. (Medinol) filed a patent infringement lawsuit against Cordis Corporation (Cordis) and Johnson & Johnson in the United States District Court for the Southern District of New York alleging that Cordis’s sales of the CYPHER ™ and CYPHER SELECT ™ stents made in the United States since 2005 willfully infringed four of Medinol's patents directed to the geometry of articulated stents. Medinol is seeking damages and attorneys’ fees. Although Johnson & Johnson has since sold Cordis, it has retained liability for this case. After the trial in January 2014, the district court dismissed the case, finding Medinol unreasonably delayed bringing its claims (the laches defense). In September 2014, the district court denied a motion by Medinol to vacate the judgment and grant it a new trial. Medinol appealed the decision to the United States Court of Appeals for the Federal Circuit. In March 2017, the United States Supreme Court held that the laches defense is not available in patent cases. In April 2018, the United States Court of Appeals for the Federal Circuit remanded the case back to the district court to reconsider Medinol’s motion for a new trial. In March 2019, the district court denied Medinol’s motion for a new trial. In April 2019, Medinol filed a notice of appeal. In November 2016, MedIdea, L.L.C. (MedIdea) filed a patent infringement lawsuit against DePuy Orthopaedics, Inc. in the United States District Court for the Northern District of Illinois alleging infringement by the ATTUNE ® Knee System. In April 2017, MedIdea filed an amended complaint adding DePuy Synthes Products, Inc. and DePuy Synthes Sales, Inc. as named defendants (collectively, DePuy). MedIdea alleges infringement of United States Patent Nos. 6,558,426 (’426); 8,273,132 (’132); 8,721,730 (’730) and 9,492,280 (’280) relating to posterior stabilized knee systems. Specifically, MedIdea alleges that the SOFCAM TM Contact feature of the ATTUNE ® posterior stabilized knee products infringes the patents-in-suit. MedIdea is seeking monetary damages and injunctive relief. In June 2017, the case was transferred to the United States District Court for the District of Massachusetts. A claim construction hearing was held in October 2018, and a claim construction order was issued in November 2018. In December 2018, MedIdea stipulated to non-infringement of the ’132, ’730 and ’280 patents, based on the district court’s claim construction and reserving its right to appeal that construction, leaving only the ’426 patent at issue before the district court. In January 2019, the district court stayed the case pending a decision in the Inter Partes Review proceeding on the ’426 patent (see below). In December 2017, DePuy Synthes Products, Inc. filed a petition for Inter Partes Review with the United States Patent and Trademark Office (USPTO), seeking to invalidate the two claims of the ’426 patent asserted in the district court litigation, and in June 2018, the USPTO instituted review of those claims. A hearing was held in March 2019, an d in April 2019, the USPTO issued its decision upholding the validity of the patent. In May 2019, DePuy filed a motion for summary judgment of non-infringement of the claims of the ’426 patent. In December 2016, Ethicon Endo-Surgery, Inc. and Ethicon Endo-Surgery, LLC (now known as Ethicon LLC) sued Covidien, Inc. in the United States District Court for the District of Massachusetts seeking a declaration that United States Patent Nos. 6,585,735 (the ’735 patent); 7,118,587; 7,473,253; 8,070,748 and 8,241,284 (the ’284 patent), are either invalid or not infringed by Ethicon’s ENSEAL ® X1 Large Jaw Tissue Sealer product. In April 2017, Covidien LP, Covidien Sales LLC, and Covidien AG (collectively, Covidien) answered and counterclaimed, denying the allegations, asserting willful infringement of the ’735 patent, the ’284 patent and United States Patent Nos. 8,323,310 (the ’310 patent); 9,084,608; 9,241,759 (the ’759 patent) and 9,113,882, and seeking damages and an injunction. Covidien filed a motion for preliminary injunction, which was denied in October 2017. The parties have entered joint stipulations such that only the ’310 patent and the ’759 patent remain in dispute. The trial is scheduled to begin in September 2019. In December 2016, Dr. Ford Albritton sued Acclarent, Inc. (Acclarent) in United States District Court for the Northern District of Texas alleging that Acclarent’s RELIEVA ® Spin and RELIEVEA SpinPlus ® products infringe U.S. Patent No. 9,011,412 (the ’412 patent). Dr. Albritton also alleges breach of contract, fraud and that he is the true owner of Acclarent’s U.S. Patent No. 8,414,473. In December 2016, Acclarent filed a petition for Inter Partes Review (IPR) with the United States Patent and Trademark Office (USPTO) challenging the validity of the ’412 patent. The USPTO instituted the IPR in July 2017. In July 2018, the USPTO ruled in favor of Albritton in the IPR, finding that Acclarent had not met its burden of proof that the challenged claims were invalid. Acclarent appealed the IPR decision in September 2018. A second IPR petition was not instituted. The trial is scheduled for October 2019. In June 2019, Albritton filed a motion for summary judgment that the asserted patent is not invalid. In June 2019, Acclarent filed a motion for summary judgment that the asserted claims are not infringed and that Albritton’s non-patent claims are barred by, among other things, the statute of limitations. In November 2017, Board of Regents, The University of Texas System and Tissuegen, Inc. (collectively, UT) filed a lawsuit in the United States District Court for the Western District of Texas against Ethicon, Inc. and Ethicon US, LLC alleging the manufacture and sale of VICRYL ® Plus Antibacterial Sutures, MONOCRYL ® Plus Antibacterial Sutures, PDS ® Plus Antibacterial Sutures, STRATAFIX ® POS ® Antibacterial Sutures and STRATAFIX ® MONOCRYL ® Plus Antibacterial Sutures infringe plaintiffs’ United States Patent Nos. 6,596,296 and 7,033,603 (the ’603 patent) directed to implantable polymer drug releasing biodegradable fibers containing a therapeutic agent. UT is seeking damages and an injunction. In December 2018, Ethicon filed petitions with the USPTO, seeking Inter Partes Review (IPR) of both asserted patents. Those petitions have been stayed by the USPTO pending a decision by the U.S. Court of Appeals for the Federal Circuit in an unrelated case. In June 2019, the stay on the IPRs was lifted, and a decision on institution is due in November 2019. UT dismissed the ’603 patent from the suit. Pharmaceutical In August 2016, Sandoz Ltd and Hexal AG (collectively, Sandoz) filed a lawsuit in the English High Court against G.D. Searle LLC, a Pfizer company (Searle) and Janssen Sciences Ireland UC (JSI) alleging that Searle’s supplementary protection certificate SPC/GB07/038 (SPC), which is exclusively licensed to JSI, is invalid and should be revoked. Janssen-Cilag Limited sells PREZISTA ® (darunavir) in the United Kingdom pursuant to this license. In October 2016, Searle and JSI counterclaimed against Sandoz for threatened infringement of the SPC based on statements of its plans to launch generic darunavir in the United Kingdom. Sandoz admitted that its generic darunavir product would infringe the SPC if it is found valid. Searle and JSI are seeking an order enjoining Sandoz from marketing its generic darunavir before the expiration of the SPC. Following a trial in April 2017, the court entered a decision holding that the SPC is valid and granting a final injunction. Sandoz has appealed the court’s decision and the injunction is stayed pending the appeal. In January 2018, the court referred the issue on appeal to the Court of Justice for the European Union (CJEU) and stayed the proceedings pending the CJEU’s ruling on the issue. In April 2018, Acerta Pharma B.V., AstraZeneca UK Ltd and AstraZeneca Pharmaceuticals LP filed a patent infringement lawsuit in the United States District Court for the District of Delaware against Pharmacyclics LLC and Abbvie Inc. (collectively, Abbvie), alleging that the manufacture and sale of IMBRUVICA ® infringes U.S. Patent No. 7,459,554. Janssen Biotech, Inc., which commercializes IMBRUVICA ® jointly with Abbvie, intervened in the action in November 2018. A trial is scheduled to begin in January 2021. REMICADE ® Related Cases In August 2014, Celltrion Healthcare Co. Ltd. and Celltrion Inc. (collectively, Celltrion) filed an application with the United States Food and Drug Administration (FDA) for approval to make and sell its own infliximab biosimilar. In March 2015, Janssen Biotech, Inc. (JBI) filed a lawsuit in the United States District Court for the District of Massachusetts against Celltrion and Hospira Healthcare Corporation (Hospira), which has exclusive marketing rights for Celltrion’s infliximab biosimilar in the United States, seeking, among other things, a declaratory judgment that their biosimilar product infringes or potentially infringes several JBI patents, including United States Patent No. 6,284,471 relating to REMICADE ® (infliximab) (the ’471 patent) and United States Patent No. 7,598,083 (the ’083 patent) directed to the cell culture media used to make Celltrion’s biosimilar. In August 2016, the district court granted both Celltrion’s and Hospira’s motions for summary judgment of invalidity of the ’471 patent. JBI appealed those decisions to the United States Court of Appeals for the Federal Circuit. In January 2018, the Federal Circuit dismissed the appeal as moot based on its affirmance of a decision by the USPTO’s Patent Trial and Appeal Board affirming invalidity of the ’471 patent. In June 2016, JBI filed two additional patent infringement lawsuits asserting the ’083 patent, one against Celltrion and Hospira in the United States District Court for the District of Massachusetts and the other against HyClone Laboratories, Inc., the manufacturer of the cell culture media that Celltrion uses to make its biosimilar product, in the United States District Court for the District of Utah. In July 2018 the district court granted Celltrion’s motion for summary judgment of non-infringement and entered an order dismissing the ’083 lawsuit against Celltrion and Hospira. JBI appealed to the United States Court of Appeals for the Federal Circuit. The litigation against HyClone in Utah is stayed pending the outcome of the Massachusetts actions. The FDA approved the first infliximab biosimilar for sale in the United States in 2016, and a number of such products have been launched. Litigation Against Filers of Abbreviated New Drug Applications (ANDAs) The following summarizes lawsuits pending against generic companies that have filed Abbreviated New Drug Applications (ANDAs) with the FDA or undertaken similar regulatory processes outside of the United States, seeking to market generic forms of products sold by various subsidiaries of Johnson & Johnson prior to expiration of the applicable patents covering those products. These ANDAs typically include allegations of non-infringement and invalidity of the applicable patents. In the event the subsidiaries are not successful in an action, or the automatic statutory stay of the ANDAs expires before the United States District Court rulings are obtained, the third-party companies involved would have the ability, upon approval of the FDA, to introduce generic versions of their products to the market, resulting in the potential for substantial market share and revenue losses for the applicable products, and which may result in a non-cash impairment charge in any associated intangible asset. In addition, from time to time, subsidiaries may settle these types of actions and such settlements can involve the introduction of generic versions of the products at issue to the market prior to the expiration of the relevant patents. The Inter Partes Review (IPR) process with the United States Patent and Trademark Office (USPTO), created under the 2011 America Invents Act, is also being used at times by generic companies in conjunction with ANDAs and |
Restructuring
Restructuring | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | RESTRUCTURING On April 17, 2018, the Company announced plans to implement a series of actions across its Global Supply Chain that are intended to focus resources and increase investments in the critical capabilities, technologies and solutions necessary to manufacture and supply its product portfolio, enhance agility and drive growth. The Global Supply Chain actions will include expanding the use of strategic collaborations and bolstering initiatives to reduce complexity, improve cost-competitiveness, enhance capabilities and optimize the Supply Chain network. For additional details on the global supply chain restructuring strategic collaborations see Note 10 to the Consolidated Financial Statements. In the fiscal second quarter of 2019, the Company recorded a pre-tax charge of $142 million , of which $38 million was included in cost of products sold and $47 million was included in other (income) expense. In the first fiscal six months of 2019, the Company recorded a pre-tax charge of $232 million , of which $61 million was included in cost of products sold and $78 million was included in other (income) expense. Total project costs of approximately $500 million have been recorded since the restructuring was announced. See the following table for additional details on the restructuring program. In total, the Company expects these actions to generate approximately $0.6 billion to $0.8 billion in annual pre-tax cost savings that will be substantially delivered by 2022. The Company expects to record pre-tax restructuring charges of approximately $1.9 billion to $2.3 billion , over the 4 to 5 year period of this activity. These costs are associated with network optimizations, exit costs and accelerated depreciation and amortization. The following table summarizes the severance related reserves and the associated spending through the first fiscal six months of 2019: (Dollars in Millions) Severance Asset Write-offs Other** Total Reserve balance, December 30, 2018 $ 194 — 48 242 Current year activity: Charges — 61 171 232 Cash payments (7 ) — (204 ) (211 ) Settled non cash — (61 ) — (61 ) Reserve balance, June 30, 2019* $ 187 — 15 202 *Cash outlays for severance are expected to be substantially paid out over the next 2 years in accordance with the Company's plans and local laws. **Other includes project expense such as salaries for employees supporting the initiative and consulting expenses. |
Fair Value Measurements (Polici
Fair Value Measurements (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Cash and Cash Equivalents, Policy | The Company classifies all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months from the date of purchase as current marketable securities. Available for sale securities with stated maturities of greater than one year from the date of purchase are available for current operations and are classified as cash equivalents and current marketable securities. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | As noted in the Company’s 2018 10-K, the approximate minimum rental payments required under operating leases that had initial or remaining non-cancelable lease terms in excess of one year at December 30, 2018 were: (Dollars in Millions) 2019 2020 2021 2022 2023 After 2023 Total $223 188 154 116 76 139 896 |
Schedule of Maturities of Lease Liabilities Related to Operating Leases | The minimum rental payments required under operating leases that have initial or remaining non-cancellable lease terms in excess of one year as of June 30, 2019 are: (Dollars in Millions) Operating Leases 2019 (for the remainder of fiscal 2019) $ 185 2020 245 2021 201 2022 156 2023 98 After 2023 214 Total lease payments 1,099 Less: Interest 88 Present Value of lease liabilities $ 1,011 |
Schedule of Supplemental Balance Sheet Information | Supplemental balance sheet information (for the fiscal first quarter ended June 30, 2019) : (Dollars in Millions) Non-current operating lease right-of-use assets $ 980 Current operating lease liabilities 262 Non-current Operating lease liabilities 749 Total operating lease liabilities $ 1,011 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | (Dollars in Millions) June 30, 2019 December 30, 2018 Raw materials and supplies $ 1,198 1,114 Goods in process 2,024 2,109 Finished goods 6,041 5,376 Total inventories (1) $ 9,263 8,599 (1) The balance as of June 30, 2019, does not include the assets held for sale related to the strategic collaboration with Jabil Inc. of approximately $0.2 billion . The balance as of December 30, 2018, does not include the assets held for sale related to the divestiture of the Advanced Sterilization Products (ASP) business of approximately $0.2 billion and $0.3 billion related to the strategic collaboration with Jabil Inc. |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | (Dollars in Millions) June 30, 2019 December 30, 2018 Intangible assets with definite lives: Patents and trademarks — gross $ 36,582 35,194 Less accumulated amortization 11,500 9,784 Patents and trademarks — net 25,082 25,410 Customer relationships and other intangibles — gross 21,862 21,334 Less accumulated amortization 8,874 8,323 Customer relationships and other intangibles — net 12,988 13,011 Intangible assets with indefinite lives: Trademarks 6,939 6,937 Purchased in-process research and development (1) 4,323 2,253 Total intangible assets with indefinite lives 11,262 9,190 Total intangible assets — net $ 49,332 47,611 (1) In the fiscal first quarter of 2019, the Company recorded an IPR&D impairment charge of $0.9 billion for the remaining intangible asset value related to the development program of AL-8176, an investigational drug for the treatment of Respiratory Syncytial Virus (RSV) and human metapneumovirus (hMPV) acquired with the 2014 acquisition of Alios Biopharma Inc. The impairment charge was based on additional information, including clinical data, which became available and led to the Company's decision to abandon the development of AL-8176. A partial impairment charge of $0.8 billion was previously recorded in the fiscal third quarter of 2018 related to the development program of AL-8176. In the fiscal second quarter of 2019, the Company completed the acquisition of Auris Health, Inc. and recorded an in-process research and development intangible asset of $2.9 billion . |
Goodwill | Goodwill as of June 30, 2019 was allocated by segment of business as follows: (Dollars in Millions) Consumer Pharm Med Devices Total Goodwill, net at December 30, 2018 $ 8,670 9,063 12,720 30,453 Goodwill, related to acquisitions 1,196 — 2,019 3,215 Currency translation/Other (49 ) 41 1 (7 ) Goodwill, net at June 30, 2019 $ 9,817 9,104 14,740 33,661 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Derivative Activity | Gain/(Loss) Recognized In Accumulated OCI Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From Accumulated OCI Into Income (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Debt $ (57 ) 306 Other (income) expense — — Cross Currency interest rate swaps $ (57 ) 37 Other (income) expense — — The following table is the effect of net investment hedges for the fiscal six months ended in 2019 and 2018 : Gain/(Loss) Recognized In Accumulated OCI Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From Accumulated OCI Into Income (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Debt $ 14 156 Other (income) expense — — Cross Currency interest rate swaps $ 313 37 Other (income) expense — — June 30, 2019 July 1, 2018 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $ — — — 1 — — — — 5 — Derivatives designated as hedging instruments — — — (1 ) — — — — (5 ) — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing — — — 39 — — — — 2 — Amount of gain or (loss) recognized in AOCI — — — 39 — — — — 2 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income (14 ) (101 ) 36 — 2 17 76 (14 ) — (10 ) Amount of gain or (loss) recognized in AOCI — (50 ) 18 — (3 ) (49 ) (57 ) 21 — 3 Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 64 — — — 32 — Amount of gain or (loss) recognized in AOCI $ — — — 82 — — — — 19 — The following table is a summary of the activity related to derivatives and hedges for the fiscal six months ended in 2019 and 2018 : June 30, 2019 July 1, 2018 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $ — — — 1 — — — — 10 — Derivatives designated as hedging instruments — — — (1 ) — — — — (10 ) — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing — — — 78 — — — — 2 — Amount of gain or (loss) recognized in AOCI — — — 78 — — — — 2 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income (35 ) (136 ) (103 ) — 8 46 78 (252 ) — (21 ) Amount of gain or (loss) recognized in AOCI (6 ) (346 ) (92 ) — 10 (18 ) (54 ) (216 ) — (15 ) Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 118 — — — — 72 — Amount of gain or (loss) recognized in AOCI $ — — — 140 — — — — 76 — |
Schedule of Derivatives Recorded in Consolidated Balance Sheet | As of June 30, 2019 , and December 30, 2018 , the following amounts were recorded on the Consolidated Balance Sheet related to cumulative basis adjustment for fair value hedges: Line item in the Consolidated Balance Sheet in which the hedged item is included Carrying Amount of the Hedged Liability Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability (Dollars in Millions) June 30, 2019 December 30, 2018 June 30, 2019 December 30, 2018 Current Portion of Long-term Debt $ 498 494 1 5 Long-term Debt — — — — |
Schedule of Effect of Derivatives not Designated as Hedging Instruments | The following table is the effect of derivatives not designated as hedging instrument for the fiscal second quarter and fiscal six months ended in 2019 and 2018: Gain/(Loss) Recognized In Income on Derivative Gain/(Loss) Recognized In Income on Derivative (Dollars in Millions) Location of Gain /(Loss) Recognized in Income on Derivative Fiscal Second Quarter Ended Fiscal Six Months Ended Derivatives Not Designated as Hedging Instruments June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Foreign Exchange Contracts Other (income) expense $ (50 ) (53 ) (88 ) (72 ) |
Summary of Activity Related to Equity Investments | The following table is a summary of the activity related to equity investments: (Dollars in Millions) December 30, 2018 June 30, 2019 Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value $ 511 292 160 963 963 Equity Investments without readily determinable value $ 681 (23 ) 19 677 677 (1) Recorded in Other Income/Expense (2) Other includes impact of currency |
Financial Assets and Liabilities at Fair Value | The Company’s significant financial assets and liabilities measured at fair value as of June 30, 2019 and December 30, 2018 were as follows: June 30, 2019 December 30, 2018 (Dollars in Millions) Level 1 Level 2 Level 3 Total Total (1) Derivatives designated as hedging instruments: Assets: Forward foreign exchange contracts $ — 251 — 251 501 Interest rate contracts (2)(4) — 325 — 325 161 Total — 576 — 576 662 Liabilities: Forward foreign exchange contracts — 481 — 481 548 Interest rate contracts (3)(4) — 394 — 394 292 Total — 875 — 875 840 Derivatives not designated as hedging instruments: Assets: Forward foreign exchange contracts — 23 — 23 32 Liabilities: Forward foreign exchange contracts — 55 — 55 32 Other Investments: Equity investments (5) 963 — — 963 511 Debt securities (6) $ — 2,767 — 2,767 9,734 Other Liabilities Contingent consideration (7) 1,479 1,479 335 Gross to Net Derivative Reconciliation June 30, 2019 December 30, 2018 (Dollars in Millions) Total Gross Assets $ 599 694 Credit Support Agreement (CSA) (437 ) (423 ) Total Net Asset 162 271 Total Gross Liabilities 930 872 Credit Support Agreement (CSA) (821 ) (605 ) Total Net Liabilities $ 109 267 (1) December 30, 2018 assets and liabilities are all classified as Level 2 with the exception of equity investments of $511 million , which are classified as Level 1 and $335 million, classified as Level 3. (2) Includes $6 million of non-current other assets as of December 30, 2018 . (3) Includes $1 million and $3 million of non-current other liabilities as of June 30, 2019 and December 30, 2018 , respectively. (4) Includes cross currency interest rate swaps and interest rate swaps. (5) Classified as non-current other assets. The carrying amount of the equity investments were $963 million and $511 million as of June 30, 2019 and December 30, 2018 , respectively. (6) Classified within cash equivalents and current marketable securities. (7) Includes $1,370 million (primarily related to Auris Health) and $335 million, classified as non-current other liabilities as of June 30, 2019 and December 30, 2018 , respectively. Includes $109 million classified as current liabilities as of |
Marketable Securities | The Company's cash, cash equivalents and current marketable securities as of June 30, 2019 comprised: (Dollars in Millions) Carrying Amount Unrecognized Gain Estimated Fair Value Cash & Cash Equivalents Current Marketable Securities Cash $ 2,615 — 2,615 2,615 Other sovereign securities (1) 380 — 380 380 U.S. reverse repurchase agreements 7,014 — 7,014 7,014 Other reverse repurchase agreements 219 — 219 219 Corporate debt securities (1) 264 — 264 264 Money market funds 1,368 — 1,368 1,368 Time deposits (1) 651 — 651 651 Subtotal 12,511 — 12,511 12,511 — Unrealized Gain Government securities 2,501 1 2,502 1,845 657 Other sovereign securities — — — — — Corporate debt securities 265 — 265 20 245 Subtotal available for sale debt (2) $ 2,766 1 2,767 1,865 902 Total cash, cash equivalents and current marketable securities $ 15,277 1 15,278 14,376 902 (1) Held to maturity investments are reported at amortized cost and gains or losses are reported in earnings. (2) Available for sale debt securities are reported at fair value with unrealized gains and losses reported net of taxes in other comprehensive income. |
Schedule of Available for Sale Securities Maturities | The contractual maturities of the available for sale securities as of June 30, 2019 are as follows: (Dollars in Millions) Cost Basis Fair Value Due within one year $ 2,711 2,712 Due after one year through five years 55 55 Due after five years through ten years — — Total debt securities $ 2,766 2,767 |
Financial Liabilities not Measured at Fair Value | Financial Instruments not measured at Fair Value: The following financial liabilities are held at carrying amount on the consolidated balance sheet as of June 30, 2019 : (Dollars in Millions) Carrying Amount Estimated Fair Value Financial Liabilities Current Debt $ 1,719 1,739 Non-Current Debt 3% Zero Coupon Convertible Subordinated Debentures due in 2020 52 99 1.950% Notes due 2020 499 498 2.95% Debentures due 2020 548 554 3.55% Notes due 2021 449 462 2.45% Notes due 2021 349 353 1.65% Notes due 2021 999 993 0.250% Notes due 2022 (1B Euro 1.1364) 1,134 1,150 2.25% Notes due 2022 997 1,004 6.73% Debentures due 2023 250 298 3.375% Notes due 2023 805 852 2.05% Notes due 2023 498 498 0.650% Notes due 2024 (750MM Euro 1.1364) 849 882 5.50% Notes due 2024 (500 MM GBP 1.2709) 631 770 2.625% Notes due 2025 748 762 2.45% Notes due 2026 1,992 2,024 2.95% Notes due 2027 996 1,032 2.90% Notes due 2028 1,493 1,541 1.150% Notes due 2028 (750MM Euro 1.1364) 845 916 6.95% Notes due 2029 297 414 4.95% Debentures due 2033 498 618 4.375% Notes due 2033 856 1,008 1.650% Notes due 2035 (1.5B Euro 1.1364) 1,688 1,910 3.55% Notes due 2036 988 1,049 5.95% Notes due 2037 992 1,377 3.625% Notes due 2037 1,487 1,592 3.40% Notes due 2038 990 1,032 5.85% Debentures due 2038 696 946 4.50% Debentures due 2040 538 635 4.85% Notes due 2041 297 364 4.50% Notes due 2043 495 594 3.70% Notes due 2046 1,973 2,144 3.75% Notes due 2047 991 1,089 3.50% Notes due 2048 742 778 Other 37 37 Total Non-Current Debt $ 27,699 30,275 |
Pensions and Other Benefit Pl_2
Pensions and Other Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Benefit Cost | Net periodic benefit cost for the Company’s defined benefit retirement plans and other benefit plans for the fiscal second quarters and the first fiscal six months of 2019 and 2018 include the following components: Fiscal Second Quarter Ended Fiscal Six Months Ended Retirement Plans Other Benefit Plans Retirement Plans Other Benefit Plans (Dollars in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Service cost $ 277 309 69 68 553 618 137 135 Interest cost 274 249 46 38 549 501 92 75 Expected return on plan assets (581 ) (554 ) (1 ) (2 ) (1,164 ) (1,114 ) (3 ) (4 ) Amortization of prior service cost/(credit) 1 — (8 ) (8 ) 2 1 (16 ) (16 ) Recognized actuarial losses 146 213 33 31 290 428 65 61 Curtailments and settlements 8 — — — 7 (2 ) — — Net periodic benefit cost $ 125 217 139 127 237 432 275 251 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income | Components of other comprehensive income (loss) consist of the following: Foreign Gain/(Loss) Employee Gain/(Loss) Total Accumulated Currency On Benefit On Derivatives Other Comprehensive (Dollars in Millions) Translation Securities Plans & Hedges Income (Loss) December 30, 2018 $ (8,869 ) — (6,158 ) (195 ) (15,222 ) Net change 92 1 306 (146 ) 253 June 30, 2019 $ (8,777 ) 1 (5,852 ) (341 ) (14,969 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Reconciliation of Basic Net Earnings per Share to Diluted Net Earnings per Share | The following is a reconciliation of basic net earnings per share to diluted net earnings per share for the fiscal second quarters and the first fiscal six months ended June 30, 2019 and July 1, 2018 : Fiscal Second Quarter Ended Fiscal Six Months Ended (Shares in Millions) June 30, 2019 July 1, 2018 June 30, 2019 July 1, 2018 Basic net earnings per share $ 2.11 1.47 3.52 3.10 Average shares outstanding — basic 2,652.5 2,682.3 2,656.7 2,682.2 Potential shares exercisable under stock option plans 140.8 127.5 138.6 141.8 Less: shares which could be repurchased under treasury stock method (102.3 ) (89.3 ) (99.0 ) (96.3 ) Convertible debt shares 0.7 0.8 0.7 0.8 Average shares outstanding — diluted 2,691.7 2,721.3 2,697.0 2,728.5 Diluted net earnings per share $ 2.08 1.45 3.47 3.05 |
Segments of Business and Geog_2
Segments of Business and Geographic Areas (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Sales By Segment Of Business | SALES BY SEGMENT OF BUSINESS Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, July 1, Percent Change June 30, July 1, Percent Change CONSUMER Baby Care U.S. $ 99 89 11.5 % $ 186 186 (0.2 )% International 344 367 (6.3 ) 651 727 (10.5 ) Worldwide 443 456 (2.8 ) 837 913 (8.4 ) Beauty U.S. 663 637 4.1 1,251 1,248 0.3 International 539 472 14.1 1,041 945 10.1 Worldwide 1,202 1,109 8.4 2,292 2,193 4.5 Oral Care U.S. 155 157 (1.6 ) 306 314 (2.5 ) International 234 236 (0.7 ) 450 458 (1.7 ) Worldwide 389 393 (1.1 ) 756 772 (2.0 ) OTC U.S. 484 454 6.6 991 919 7.8 International 580 612 (5.1 ) 1,160 1,219 (4.9 ) Worldwide 1,064 1,066 (0.1 ) 2,151 2,138 0.6 Women's Health U.S. 3 4 (10.3 ) 6 7 (3.7 ) International 250 276 (9.5 ) 472 516 (8.6 ) Worldwide 253 280 (9.5 ) 478 523 (8.5 ) Wound Care/Other U.S. 132 135 (1.9 ) 234 238 (1.5 ) International 61 65 (6.4 ) 114 125 (8.9 ) Worldwide 193 200 (3.4 ) 348 363 (4.0 ) TOTAL CONSUMER U.S. 1,537 1,476 4.1 2,975 2,912 2.2 International 2,007 2,028 (1.0 ) 3,887 3,990 (2.6 ) Worldwide 3,544 3,504 1.2 6,862 6,902 (0.6 ) PHARMACEUTICAL Immunology U.S. 2,379 2,317 2.7 4,542 4,317 5.2 International 1,087 1,021 6.3 2,175 2,063 5.4 Worldwide 3,466 3,338 3.8 6,717 6,380 5.3 REMICADE ® U.S. 801 918 (12.7 ) 1,575 1,834 (14.1 ) U.S. Exports 62 104 (40.3 ) 138 246 (43.9 ) International 244 298 (18.5 ) 496 629 (21.2 ) Worldwide 1,107 1,320 (16.2 ) 2,209 2,709 (18.5 ) SIMPONI / SIMPONI ARIA ® U.S. 281 274 2.7 544 498 9.1 International 282 274 2.7 543 568 (4.4 ) Worldwide 563 548 2.7 1,087 1,066 1.9 STELARA ® U.S. 1,058 919 15.2 1,940 1,571 23.5 International 499 422 18.1 1,022 831 23.0 Worldwide 1,558 1,341 16.1 2,963 2,402 23.3 TREMFYA ® U.S. 176 102 72.3 344 168 * International 59 24 * 108 30 * Worldwide 235 126 86.5 452 198 * OTHER IMMUNOLOGY U.S. — — — — — — International 3 3 27.7 6 5 23.6 Worldwide 3 3 27.7 6 5 23.6 Infectious Diseases U.S. 387 328 17.8 744 661 12.5 International 475 521 (8.7 ) 964 1,018 (5.3 ) Worldwide 862 849 1.5 1,708 1,679 1.7 EDURANT ® / rilpivirine U.S. 12 15 (15.8 ) 24 29 (17.3 ) International 198 196 0.5 397 392 1.4 Worldwide 210 211 (0.6 ) 421 421 0.1 PREZISTA ® / PREZCOBIX ® / REZOLSTA ® / SYMTUZA ® U.S. 344 277 24.2 659 550 19.9 International 191 215 (11.1 ) 399 420 (5.0 ) Worldwide 535 492 8.7 1,058 970 9.1 OTHER INFECTIOUS DISEASES U.S. 31 36 (16.6 ) 61 82 (26.0 ) International 86 110 (20.8 ) 168 206 (18.6 ) Worldwide 117 146 (19.7 ) 229 288 (20.7 ) Neuroscience U.S. 664 639 3.8 1,387 1,263 9.8 International 875 889 (1.6 ) 1,780 1,824 (2.4 ) Worldwide 1,538 1,528 0.6 3,167 3,087 2.6 CONCERTA ® / methylphenidate U.S. 15 68 (78.6 ) 112 134 (16.4 ) International 123 115 6.2 239 222 7.3 Worldwide 137 183 (25.2 ) 351 356 (1.6 ) INVEGA SUSTENNA ® / XEPLION ® / INVEGA TRINZA ® / TREVICTA ® U.S. 506 438 15.6 989 838 18.1 International 312 282 10.4 619 578 7.0 Worldwide 818 720 13.6 1,608 1,416 13.6 RISPERDAL CONSTA ® U.S. 81 80 0.8 158 162 (3.0 ) International 101 108 (6.5 ) 203 222 (8.4 ) Worldwide 182 188 (3.4 ) 361 384 (6.2 ) OTHER NEUROSCIENCE U.S. 62 53 16.1 128 129 (0.4 ) International 340 384 (11.5 ) 719 802 (10.3 ) Worldwide 401 437 (8.1 ) 847 931 (8.9 ) Oncology U.S. 1,013 1,085 (6.6 ) 1,975 2,018 (2.1 ) International 1,684 1,371 22.8 3,240 2,749 17.9 Worldwide 2,697 2,456 9.8 5,215 4,767 9.4 DARZALEX ® U.S. 369 298 24.4 721 562 28.5 International 405 213 89.5 682 381 78.7 Worldwide 774 511 51.6 1,403 943 48.8 IMBRUVICA ® U.S. 367 250 47.0 716 477 50.2 International 463 370 25.3 898 730 23.1 Worldwide 831 620 34.1 1,615 1,207 33.8 VELCADE ® U.S. — — — — — — International 224 280 (20.1 ) 487 593 (17.9 ) Worldwide 224 280 (20.1 ) 487 593 (17.9 ) ZYTIGA ® / abiraterone acetate U.S. 198 486 (59.4 ) 383 893 (57.1 ) International 500 423 18.0 994 861 15.4 Worldwide 698 909 (23.3 ) 1,377 1,754 (21.5 ) OTHER ONCOLOGY U.S. 78 51 50.5 154 86 77.7 International 92 85 8.8 179 184 (2.5 ) Worldwide 170 136 24.7 333 270 23.2 Pulmonary Hypertension U.S. 439 429 2.2 869 790 10.0 International 251 236 6.7 477 460 3.7 Worldwide 690 665 3.8 1,346 1,250 7.7 OPSUMIT ® U.S. 203 180 12.8 375 329 14.2 International 146 131 11.5 279 253 10.3 Worldwide 348 311 12.3 654 582 12.5 TRACLEER ® U.S. 41 71 (41.8) 102 139 (26.3 ) International 62 72 (14.5) 118 144 (18.7 ) Worldwide 103 143 (28.0) 220 283 (22.4 ) UPTRAVI ® U.S. 175 155 13.4 351 279 25.9 International 28 16 62.5 50 32 53.1 Worldwide 203 171 18.2 401 311 28.7 OTHER U.S. 20 23 (18.2) 41 43 (8.4 ) International 16 17 3.7 31 31 4.1 Worldwide 37 40 (9.6) 72 74 (3.4 ) Cardiovascular / Metabolism / Other U.S. 902 1,101 (18.1 ) 1,849 2,204 (16.1 ) International 373 417 (10.5 ) 771 831 (7.2 ) Worldwide 1,275 1,518 (16.0 ) 2,620 3,035 (13.7 ) XARELTO ® U.S. 549 679 (19.2 ) 1,091 1,257 (13.2 ) International — — — — — — Worldwide 549 679 (19.2 ) 1,091 1,257 (13.2 ) INVOKANA ® / INVOKAMET ® U.S. 132 169 (21.2 ) 286 373 (23.2 ) International 43 46 (6.0 ) 92 90 2.6 Worldwide 177 215 (17.9 ) 379 463 (18.2 ) PROCRIT ® / EPREX ® U.S. 113 156 (27.5 ) 261 345 (24.3 ) International 70 80 (13.4 ) 148 167 (11.7 ) Worldwide 183 236 (22.7 ) 409 512 (20.2 ) OTHER U.S. 107 97 9.3 211 229 (8.2 ) International 260 291 (10.5 ) 531 574 (7.5 ) Worldwide 368 388 (5.5 ) 742 803 (7.7 ) TOTAL PHARMACEUTICAL U.S. 5,783 5,899 (2.0 ) 11,365 11,253 1.0 International 4,746 4,455 6.5 9,408 8,945 5.2 Worldwide 10,529 10,354 1.7 20,773 20,198 2.8 MEDICAL DEVICES Diabetes Care U.S. — 129 * — 246 * International — 226 * — 448 * Worldwide — 355 * — 694 * Interventional Solutions U.S. 366 323 13.7 709 627 13.2 International 385 344 11.6 774 680 13.7 Worldwide 750 667 12.6 1,482 1,307 13.4 Orthopaedics U.S. 1,331 1,332 (0.1 ) 2,649 2,639 0.4 International 894 930 (3.8 ) 1,779 1,873 (5.0 ) Worldwide 2,224 2,262 (1.6 ) 4,428 4,512 (1.9 ) HIPS U.S. 216 211 2.1 429 420 2.1 International 147 149 (0.7 ) 295 303 (2.3 ) Worldwide 364 360 0.9 725 723 0.3 KNEES U.S. 218 229 (4.8 ) 441 457 (3.5 ) International 153 153 0.4 299 312 (4.0 ) Worldwide 372 382 (2.8 ) 741 769 (3.7 ) TRAUMA U.S. 407 394 3.3 824 801 2.9 International 265 281 (5.9 ) 533 570 (6.5 ) Worldwide 672 675 (0.6 ) 1,357 1,371 (1.0 ) SPINE & OTHER U.S. 490 498 (1.5 ) 955 961 (0.6 ) International 328 347 (5.3 ) 651 688 (5.4 ) Worldwide 818 845 (3.1 ) 1,606 1,649 (2.6 ) Surgery U.S. 926 1,022 (9.5 ) 1,927 2,015 (4.4 ) International 1,427 1,493 (4.4 ) 2,821 2,923 (3.5 ) Worldwide 2,353 2,515 (6.5 ) 4,748 4,938 (3.9 ) ADVANCED U.S. 396 402 (1.7 ) 800 795 0.6 International 633 603 5.0 1,209 1,176 2.8 Worldwide 1,029 1,005 2.3 2,009 1,971 1.9 GENERAL U.S. 443 436 1.6 868 859 1.0 International 674 733 (7.9 ) 1,339 1,437 (6.8 ) Worldwide 1,119 1,169 (4.3 ) 2,208 2,296 (3.9 ) SPECIALTY U.S. 87 184 (53.1 ) 259 361 (28.3 ) International 120 157 (23.7 ) 273 310 (12.1 ) Worldwide 206 341 (39.6 ) 531 671 (20.8 ) Vision U.S. 461 459 0.4 907 899 1.0 International 701 714 (2.0 ) 1,383 1,389 (0.5 ) Worldwide 1,161 1,173 (1.0 ) 2,290 2,288 0.1 CONTACT LENSES / OTHER U.S. 333 320 3.9 654 629 4.0 International 509 524 (2.9 ) 1,011 1,022 (1.0 ) Worldwide 842 844 (0.3 ) 1,666 1,651 0.9 SURGICAL U.S. 128 139 (7.7 ) 253 270 (6.1 ) International 191 190 0.7 371 367 1.0 Worldwide 319 329 (2.8 ) 624 637 (2.0 ) TOTAL MEDICAL DEVICES U.S. 3,083 3,265 (5.6 ) 6,192 6,426 (3.6 ) International 3,406 3,707 (8.1 ) 6,756 7,313 (7.6 ) Worldwide 6,489 6,972 (6.9 ) 12,948 13,739 (5.7 ) WORLDWIDE U.S. 10,403 10,640 (2.2 ) 20,532 20,591 (0.3 ) International 10,159 10,190 (0.3 ) 20,051 20,248 (1.0 ) Worldwide $ 20,562 20,830 (1.3 )% $ 40,583 40,839 (0.6 )% *Percentage greater than 100% or not meaningful |
Operating Profit by Segment of Business | EARNINGS BEFORE PROVISION FOR TAXES BY SEGMENT Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, July 1, Percent Change June 30, July 1, Percent Change Consumer (1) $ 406 829 (51.0 )% $ 1,147 1,377 (16.7 )% Pharmaceutical (2) 3,677 3,651 0.7 6,008 7,317 (17.9 ) Medical Devices (3) 3,189 796 * 4,686 2,375 97.3 Segment earnings before provision for taxes 7,272 5,276 37.8 11,841 11,069 7.0 Less: Expense not allocated to segments (4) 231 303 378 615 Worldwide income before tax $ 7,041 4,973 41.6 % $ 11,463 10,454 9.7 % *Percentage greater than 100% (1) Includes a gain of $0.3 billion related to the Company's previously held equity investment in Ci:z Holdings Co., Ltd. (Dr. Ci: Labo) in the fiscal six months of 2019. Includes a gain of $0.3 billion from the divestiture of NIZORAL ® in the fiscal second quarter and six months of 2018. Includes amortization expense of $0.1 billion and $0.1 billion in the fiscal second quarters and $0.2 billion and $0.1 billion in the fiscal six months of 2019 and 2018, respectively. Includes litigation expense of $0.2 billion in the fiscal second quarter and fiscal six months of 2019. (2) Includes an unrealized gain on securities of $0.2 billion and Actelion acquisition related costs of $0.1 billion in the fiscal second quarter of 2019. Includes an unrealized gain on securities of $0.3 billion , an in-process research and development expense of $0.9 billion related to the Alios asset, a research and development expense of $0.3 billion for an upfront payment related to argenx, litigation expense of $0.4 billion , and Actelion acquisition related costs of $0.1 billion in the fiscal six months of 2019. Includes Actelion acquisition related costs of $0.1 billion and $0.2 billion in the fiscal second quarter and fiscal six months of 2018, respectively and a gain of $0.1 billion from the divestiture of PANCREASE ® in the fiscal second quarter and six months of 2018. Includes amortization expense of $0.8 billion and $0.8 billion in the fiscal second quarters and $1.6 billion and $1.5 billion in the fiscal six months of 2019 and 2018, respectively. (3) Includes a gain of $2.0 billion from the divestiture of the ASP business in the fiscal second quarter and six months of 2019. Includes a restructuring related charge of $0.1 billion and $0.1 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.1 billion and $0.2 billion in the fiscal six months of 2019 and 2018, respectively. Includes litigation expense of $0.2 billion and $0.7 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.3 billion and $0.7 billion in the fiscal six months of 2019 and 2018, respectively. Includes amortization expense of $0.2 billion and $0.3 billion in the fiscal second quarters of 2019 and 2018, respectively and $0.5 billion and $0.5 billion in the fiscal six months of 2019 and 2018, respectively. (4) Amounts not allocated to segments include interest income/expense and general corporate income/expense. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | SALES BY GEOGRAPHIC AREA Fiscal Second Quarter Ended Fiscal Six Months Ended (Dollars in Millions) June 30, 2019 July 1, 2018 Percent Change June 30, 2019 July 1, 2018 Percent Change United States $ 10,403 10,640 (2.2 )% $ 20,532 20,591 (0.3 )% Europe 4,733 4,810 (1.6 ) 9,342 9,607 (2.8 ) Western Hemisphere, excluding U.S. 1,455 1,540 (5.5 ) 2,958 3,107 (4.8 ) Asia-Pacific, Africa 3,971 3,840 3.4 7,751 7,534 2.9 Total $ 20,562 20,830 (1.3 )% $ 40,583 40,839 (0.6 )% |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve | The following table summarizes the severance related reserves and the associated spending through the first fiscal six months of 2019: (Dollars in Millions) Severance Asset Write-offs Other** Total Reserve balance, December 30, 2018 $ 194 — 48 242 Current year activity: Charges — 61 171 232 Cash payments (7 ) — (204 ) (211 ) Settled non cash — (61 ) — (61 ) Reserve balance, June 30, 2019* $ 187 — 15 202 *Cash outlays for severance are expected to be substantially paid out over the next 2 years in accordance with the Company's plans and local laws. **Other includes project expense such as salaries for employees supporting the initiative and consulting expenses. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Narrative (Details) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019USD ($) | Jun. 30, 2019USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Weighted average remaining lease term | 6 years 2 months 12 days | 6 years 2 months 12 days |
Weighted average discount rate | 3.00% | 3.00% |
Operating lease costs | $ 50 | $ 124 |
Operating lease payments | $ 76 | $ 147 |
Minimum | Accounting Standards Update 2016-02 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease, term of contract | 1 year | 1 year |
Maximum | Accounting Standards Update 2016-02 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease, term of contract | 37 years | 37 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of Future Minimum Rental Payments for Operating Leases (Details) $ in Millions | Dec. 30, 2018USD ($) |
Accounting Policies [Abstract] | |
2019 | $ 223 |
2020 | 188 |
2021 | 154 |
2022 | 116 |
2023 | 76 |
After 2023 | 139 |
Total | $ 896 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Maturities of Lease Liabilities Related to Operating Leases (Details) $ in Millions | Jun. 30, 2019USD ($) |
Accounting Policies [Abstract] | |
2019 (for the remainder of fiscal 2019) | $ 185 |
2020 | 245 |
2021 | 201 |
2022 | 156 |
2023 | 98 |
After 2023 | 214 |
Total lease payments | 1,099 |
Less: Interest | 88 |
Present Value of lease liabilities | $ 1,011 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Supplemental Balance Sheet Information (Details) $ in Millions | Jun. 30, 2019USD ($) |
Accounting Policies [Abstract] | |
Non-current operating lease right-of-use assets | $ 980 |
Current operating lease liabilities | 262 |
Non-current Operating lease liabilities | 749 |
Total operating lease liabilities | $ 1,011 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Summary of Inventories | ||
Raw materials and supplies | $ 1,198 | $ 1,114 |
Goods in process | 2,024 | 2,109 |
Finished goods | 6,041 | 5,376 |
Total inventories | 9,263 | 8,599 |
AdvancedSterilizationProducts | Discontinued Operations, Held-for-sale or Disposed of by Sale | ||
Summary of Inventories | ||
Assets held for sale, current | 200 | |
Supply Chain | Discontinued Operations, Held-for-sale or Disposed of by Sale | ||
Summary of Inventories | ||
Assets held for sale, current | $ 200 | $ 300 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2019 | Dec. 30, 2018 | |
Intangible assets with indefinite lives: | ||||
Indefinite-Lived Intangible Assets | $ 11,262 | $ 9,190 | ||
Total intangible assets - net | 49,332 | 47,611 | ||
Trademarks | ||||
Intangible assets with indefinite lives: | ||||
Indefinite-Lived Intangible Assets | 6,939 | 6,937 | ||
Purchased In-Process Research And Development | ||||
Intangible assets with indefinite lives: | ||||
Indefinite-Lived Intangible Assets | 4,323 | 2,253 | ||
Patents And Trademarks | ||||
Intangible assets with definite lives: | ||||
Finite-Lived Intangible Assets, Gross | 36,582 | 35,194 | ||
Less accumulated amortization | 11,500 | 9,784 | ||
Finite-Lived Intangible Assets, Net | 25,082 | 25,410 | ||
Customer relationships and other intangible assets | ||||
Intangible assets with definite lives: | ||||
Finite-Lived Intangible Assets, Gross | 21,862 | 21,334 | ||
Less accumulated amortization | 8,874 | 8,323 | ||
Finite-Lived Intangible Assets, Net | $ 12,988 | $ 13,011 | ||
Alios Biopharma Inc | Purchased In-Process Research And Development | ||||
Intangible assets with indefinite lives: | ||||
Impairment charge | $ 900 | $ 800 |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Goodwill By Segment (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Goodwill [Roll Forward] | |
Goodwill Beginning of Period | $ 30,453 |
Goodwill, related to acquisitions | 3,215 |
Currency translation/Other | (7) |
Goodwill End of Period | 33,661 |
CONSUMER | |
Goodwill [Roll Forward] | |
Goodwill Beginning of Period | 8,670 |
Goodwill, related to acquisitions | 1,196 |
Currency translation/Other | (49) |
Goodwill End of Period | 9,817 |
PHARMACEUTICAL | |
Goodwill [Roll Forward] | |
Goodwill Beginning of Period | 9,063 |
Goodwill, related to acquisitions | 0 |
Currency translation/Other | 41 |
Goodwill End of Period | 9,104 |
Medical Devices | |
Goodwill [Roll Forward] | |
Goodwill Beginning of Period | 12,720 |
Goodwill, related to acquisitions | 2,019 |
Currency translation/Other | 1 |
Goodwill End of Period | $ 14,740 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2018 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | Apr. 01, 2019 | Dec. 30, 2018 | |
Finite-Lived Intangible Assets [Line Items] | ||||||||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 4,400 | $ 4,400 | ||||||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 4,400 | 4,400 | ||||||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 4,400 | 4,400 | ||||||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 4,400 | 4,400 | ||||||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 4,400 | 4,400 | ||||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 11,262 | 11,262 | $ 9,190 | |||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Amortization expense of amortizable intangible assets | 1,100 | $ 1,100 | 2,200 | $ 2,200 | ||||
Goodwill | 33,661 | 33,661 | 30,453 | |||||
Patents And Trademarks | ||||||||
Finite-Lived Intangible Assets [Line Items] | ||||||||
Finite-Lived Intangible Assets, Net | 25,082 | $ 25,082 | 25,410 | |||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Finite-Lived Intangible Assets, Weighted-Average Useful Life | 12 years | |||||||
Customer relationships and other intangible assets | ||||||||
Finite-Lived Intangible Assets [Line Items] | ||||||||
Finite-Lived Intangible Assets, Net | 12,988 | $ 12,988 | 13,011 | |||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Finite-Lived Intangible Assets, Weighted-Average Useful Life | 21 years | |||||||
Consumer | ||||||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Goodwill | 9,817 | $ 9,817 | 8,670 | |||||
PHARMACEUTICAL | ||||||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Goodwill | 9,104 | 9,104 | 9,063 | |||||
Medical Devices | ||||||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Goodwill | 14,740 | 14,740 | 12,720 | |||||
Purchased In-Process Research And Development | ||||||||
Finite-Lived Intangible Assets [Line Items] | ||||||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 4,323 | 4,323 | $ 2,253 | |||||
Alios Biopharma Inc | Purchased In-Process Research And Development | ||||||||
Finite-Lived Intangible Assets [Line Items] | ||||||||
Impairment charge | $ 900 | $ 800 | ||||||
Auris Health | ||||||||
Intangible Assets and Goodwill (Textuals) | ||||||||
Goodwill | $ 2,000 | |||||||
Auris Health | Purchased In-Process Research And Development | ||||||||
Finite-Lived Intangible Assets [Line Items] | ||||||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | $ 2,900 | $ 2,900 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | Dec. 30, 2018 | |
Derivative [Line Items] | |||||
Available-for-sale Securities, Equity Securities | $ 963 | $ 963 | $ 511 | ||
Accumulated other comprehensive income on derivatives, after tax | (341) | $ (341) | |||
Reclassification of foreign exchange contracts into earnings, period | next 12 months | ||||
Maximum length of time for hedge exposure | 18 months | ||||
Unrealized gains on equity investments | $ 1 | $ 0 | $ 1 | $ 0 | |
Weighted average interest rate on non-current debt | 3.19% | 3.19% | |||
Excess of the estimated fair value over the carrying value of debt | 300 | ||||
Business Combination, Contingent Consideration, Liability | $ 1,479 | $ 1,479 | 335 | ||
Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Collateral Already Posted, Aggregate Fair Value | 384 | 384 | |||
Derivative notional amounts outstanding | 49,700 | 49,700 | 41,100 | ||
Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative notional amounts outstanding | 15,300 | 15,300 | 7,300 | ||
Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Derivative Liability, Noncurrent | 1 | 1 | 3 | ||
Derivative notional amounts outstanding | 500 | 500 | 500 | ||
Equity Securities | |||||
Derivative [Line Items] | |||||
Available-for-sale Securities, Equity Securities | 963 | 963 | 511 | ||
Equity Investments without readily determinable value | Equity Securities | |||||
Derivative [Line Items] | |||||
Equity, Fair Value Adjustment, Impairment Loss | (22) | ||||
Changes in fair value, changes in observable prices | (1) | ||||
Other (income) expense | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | |||
Fair Value Hedging [Member] | Sales [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative, Excluded Component, Gain (Loss), Recognized in Earnings | 0 | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Sales [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Cost of Sales [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative, Excluded Component, Gain (Loss), Recognized in Earnings | 0 | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Cost of Sales [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Research and Development Expense [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative, Excluded Component, Gain (Loss), Recognized in Earnings | 0 | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Research and Development Expense [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Interest Income Expense Net Member | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative, Excluded Component, Gain (Loss), Recognized in Earnings | 39 | 2 | 78 | 2 | |
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 39 | 2 | 78 | 2 | |
Fair Value Hedging [Member] | Interest Income Expense Net Member | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 1 | 5 | 1 | 10 | |
Fair Value Hedging [Member] | Other (income) expense | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative, Excluded Component, Gain (Loss), Recognized in Earnings | 0 | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Other (income) expense | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Sales [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Cost of Sales [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Research and Development Expense [Member] | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Interest Income Expense Net Member | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | (1) | (5) | (1) | (10) | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Other (income) expense | Interest Rate Contract | |||||
Derivative [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | $ 0 | |
Cash Flow Hedging [Member] | Sales [Member] | Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | (14) | 17 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | (49) | |||
Cash Flow Hedging [Member] | Sales [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | |||
Cash Flow Hedging [Member] | Cost of Sales [Member] | Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | (101) | 76 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | (50) | (57) | |||
Cash Flow Hedging [Member] | Cost of Sales [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | ||||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | |||
Cash Flow Hedging [Member] | Research and Development Expense [Member] | Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 36 | (14) | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 18 | 21 | |||
Cash Flow Hedging [Member] | Research and Development Expense [Member] | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | |||
Cash Flow Hedging [Member] | Interest Income Expense Net Member | Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | 0 | |||
Cash Flow Hedging [Member] | Interest Income Expense Net Member | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 64 | 32 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 82 | 19 | |||
Cash Flow Hedging [Member] | Other (income) expense | Forward foreign exchange contracts | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 2 | (10) | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | (3) | 3 | |||
Cash Flow Hedging [Member] | Other (income) expense | Cross currency interest rate swaps | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | |||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments, after Tax | 0 | $ 0 | |||
Other Noncurrent Liabilities | |||||
Derivative [Line Items] | |||||
Business Combination, Contingent Consideration, Liability | 1,370 | 1,370 | $ 335 | ||
Other Current Liabilities | |||||
Derivative [Line Items] | |||||
Business Combination, Contingent Consideration, Liability | $ 109 | $ 109 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Derivative Activity (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | Dec. 30, 2018 | |
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | $ 26 | $ 103 | $ (70) | $ (75) | |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 86 | (61) | (216) | (225) | |
Interest Rate Contract | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative, Notional Amount | 500 | 500 | $ 500 | ||
Forward foreign exchange contracts | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Collateral Already Posted, Aggregate Fair Value | 384 | 384 | |||
Derivative, Notional Amount | 49,700 | 49,700 | 41,100 | ||
Cross currency interest rate swaps | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative, Notional Amount | 15,300 | 15,300 | $ 7,300 | ||
Fair Value Hedging | Interest Rate Contract | Sales to customers | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Interest Rate Contract | Cost of products sold | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Interest Rate Contract | Research and Development Expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Interest Rate Contract | Other (income) expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Interest Rate Contract | Interest (income)/Interest expense, net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 1 | 5 | 1 | 10 | |
Fair Value Hedging | Cross currency interest rate swaps | Sales to customers | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 0 | 0 | 0 | |
Unrealized gain (loss) arising during period | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Cross currency interest rate swaps | Cost of products sold | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 0 | 0 | 0 | |
Unrealized gain (loss) arising during period | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Cross currency interest rate swaps | Research and Development Expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 0 | 0 | 0 | |
Unrealized gain (loss) arising during period | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Cross currency interest rate swaps | Other (income) expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 0 | 0 | 0 | |
Unrealized gain (loss) arising during period | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Cross currency interest rate swaps | Interest (income)/Interest expense, net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 39 | 2 | 78 | 2 | |
Unrealized gain (loss) arising during period | 39 | 2 | 78 | 2 | |
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Contract | Sales to customers | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Contract | Cost of products sold | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Contract | Research and Development Expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Contract | Other (income) expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | 0 | 0 | |
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Contract | Interest (income)/Interest expense, net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | (1) | (5) | (1) | (10) | |
Cash Flow Hedging | Forward foreign exchange contracts | Sales to customers | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | (49) | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | (35) | 46 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | (6) | (18) | |||
Cash Flow Hedging | Forward foreign exchange contracts | Cost of products sold | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | (50) | (57) | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | (136) | 78 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | (346) | (54) | |||
Cash Flow Hedging | Forward foreign exchange contracts | Research and Development Expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 18 | 21 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | (103) | (252) | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | (92) | (216) | |||
Cash Flow Hedging | Forward foreign exchange contracts | Other (income) expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | (3) | 3 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 8 | (21) | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 10 | (15) | |||
Cash Flow Hedging | Forward foreign exchange contracts | Interest (income)/Interest expense, net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | 0 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 0 | 0 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 0 | |||
Cash Flow Hedging | Cross currency interest rate swaps | Sales to customers | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | 0 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 0 | 0 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 0 | |||
Cash Flow Hedging | Cross currency interest rate swaps | Cost of products sold | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | 0 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 0 | 0 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 0 | |||
Cash Flow Hedging | Cross currency interest rate swaps | Research and Development Expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | 0 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 0 | 0 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 0 | |||
Cash Flow Hedging | Cross currency interest rate swaps | Other (income) expense | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | 0 | 0 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 0 | 0 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | 0 | 0 | |||
Cash Flow Hedging | Cross currency interest rate swaps | Interest (income)/Interest expense, net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Unrealized gain (loss) arising during period | $ 82 | $ 19 | |||
Summary of designated derivatives | |||||
Gain/ (Loss) reclassified from Accumulated OCI into income | 118 | 72 | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax | $ 140 | $ 76 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Derivatives Recorded in Consolidated Balance Sheet (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Liability | $ 109 | $ 267 |
Current Portion of Long-term Debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Liability | 498 | 494 |
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability | 1 | 5 |
Long-term Debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Liability | 0 | 0 |
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability | $ 0 | $ 0 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Effect of Derivatives not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Not Designated as Hedging Instrument | Forward foreign exchange contracts | Other (income) expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain/(Loss) Recognized In Income on Derivative | $ (50) | $ (53) | $ (88) | $ (72) |
Fair Value Measurements - Sch_3
Fair Value Measurements - Schedule of Effect of Net Investment Hedges (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments and Tax | $ (57) | $ 306 | ||
Gain/(Loss) Recognized In Accumulated OCI | $ 14 | $ 156 | ||
Sale of Subsidiary Gain (Loss) | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | ||
Gain/(Loss) Reclassified From Accumulated OCI Into Income | 0 | 0 | ||
Other Income Expense Net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | 0 | 0 | ||
Gain/(Loss) Reclassified From Accumulated OCI Into Income | 0 | 0 | ||
Cross Currency Interest Rate Contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), before Adjustments and Tax | $ (57) | $ 37 | ||
Gain/(Loss) Recognized In Accumulated OCI | $ 313 | $ 37 |
Fair Value Measurements - Sum_2
Fair Value Measurements - Summary of Activity Related to Equity Investments (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Dec. 30, 2018 | |
Equity Investment [Roll Forward] | ||
Non Current Other Assets | $ 5,430 | $ 4,182 |
Equity Securities | Equity Investments with readily determinable value | ||
Equity Investment [Roll Forward] | ||
Carrying value, beginning of period | 511 | |
Changes in Fair Value Reflected in Net Income | 292 | |
Sales/ Purchases/Other | 160 | |
Carrying value, end of period | 963 | |
Non Current Other Assets | 963 | |
Equity Securities | Equity Investments without readily determinable value | ||
Equity Investment [Roll Forward] | ||
Carrying value, beginning of period | 681 | |
Changes in Fair Value Reflected in Net Income | (23) | |
Sales/ Purchases/Other | 19 | |
Carrying value, end of period | 677 | |
Non Current Other Assets | $ 677 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities at Fair Value (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | $ 576 | |
Derivatives designated as hedging instruments : Liabilities | 875 | |
Available-for-sale Securities, Equity Securities | 963 | $ 511 |
Available-for-sale Securities | 2,767 | 9,734 |
Total Gross Assets | 599 | 694 |
Credit Support Agreement (CSA) | (437) | (423) |
Total Net Asset | 162 | 271 |
Total Gross Liabilities | 930 | 872 |
Credit Support Agreement (CSA) | (821) | (605) |
Total Net Liabilities | 109 | 267 |
Business Combination, Contingent Consideration, Liability | 1,479 | 335 |
Quoted prices in active markets for identical assets and liabilities Level 1 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Available-for-sale Securities, Equity Securities | 963 | 511 |
Available-for-sale Securities | 0 | |
Significant other observable inputs Level 2 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 576 | 662 |
Derivatives designated as hedging instruments : Liabilities | 875 | 840 |
Available-for-sale Securities, Equity Securities | 0 | |
Available-for-sale Securities | 2,767 | |
Significant unobservable inputs Level 3 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Available-for-sale Securities, Equity Securities | 0 | |
Available-for-sale Securities | 0 | |
Business Combination, Contingent Consideration, Liability | 1,479 | 335 |
Interest Rate Contract | ||
Financial assets and liabilities at fair value | ||
Derivative, Notional Amount | 500 | 500 |
Derivatives designated as hedging instruments : Assets | 325 | |
Derivatives designated as hedging instruments : Liabilities | 394 | |
Derivative Assets, Noncurrent | 6 | |
Derivative Liabilities, Noncurrent - interest swap | 1 | 3 |
Interest Rate Contract | Quoted prices in active markets for identical assets and liabilities Level 1 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Interest Rate Contract | Significant other observable inputs Level 2 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 325 | 161 |
Derivatives designated as hedging instruments : Liabilities | 394 | 292 |
Interest Rate Contract | Significant unobservable inputs Level 3 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Forward foreign exchange contracts | ||
Financial assets and liabilities at fair value | ||
Derivative, Notional Amount | 49,700 | 41,100 |
Derivatives designated as hedging instruments : Assets | 251 | |
Derivatives designated as hedging instruments : Liabilities | 481 | |
Derivatives not designated as hedging instruments : Assets | 23 | |
Derivatives not designated as hedging instruments : Liabilities | 55 | |
Forward foreign exchange contracts | Quoted prices in active markets for identical assets and liabilities Level 1 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Derivatives not designated as hedging instruments : Assets | 0 | |
Derivatives not designated as hedging instruments : Liabilities | 0 | |
Forward foreign exchange contracts | Significant other observable inputs Level 2 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 251 | 501 |
Derivatives designated as hedging instruments : Liabilities | 481 | 548 |
Derivatives not designated as hedging instruments : Assets | 23 | 32 |
Derivatives not designated as hedging instruments : Liabilities | 55 | 32 |
Forward foreign exchange contracts | Significant unobservable inputs Level 3 | ||
Financial assets and liabilities at fair value | ||
Derivatives designated as hedging instruments : Assets | 0 | |
Derivatives designated as hedging instruments : Liabilities | 0 | |
Derivatives not designated as hedging instruments : Assets | 0 | |
Derivatives not designated as hedging instruments : Liabilities | 0 | |
Cross currency interest rate swaps | ||
Financial assets and liabilities at fair value | ||
Derivative, Notional Amount | 15,300 | 7,300 |
Equity Securities | ||
Financial assets and liabilities at fair value | ||
Available-for-sale Securities, Equity Securities | $ 963 | $ 511 |
Fair Value Measurements - Cash,
Fair Value Measurements - Cash, Cash Equivalents and Marketable Securities (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 | Jul. 01, 2018 | Dec. 31, 2017 |
Debt Securities, Available-for-sale [Abstract] | ||||
Available-for-sale Securities - Estimated Fair Value | $ 2,767 | $ 9,734 | ||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 14,376 | 18,107 | $ 17,569 | $ 17,824 |
Marketable securities | 902 | $ 1,580 | ||
Held-to-maturity Securities | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 12,511 | |||
Held-to-maturity Securities - Estimated Fair Value | 12,511 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 12,511 | |||
Marketable securities | 0 | |||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Cash | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 2,615 | |||
Held-to-maturity Securities - Estimated Fair Value | 2,615 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 2,615 | |||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Other sovereign securities(1) | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 380 | |||
Held-to-maturity Securities - Estimated Fair Value | 380 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 380 | |||
Marketable securities | ||||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | U.S. reverse repurchase agreements | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 7,014 | |||
Held-to-maturity Securities - Estimated Fair Value | 7,014 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 7,014 | |||
Marketable securities | ||||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Other reverse repurchase agreements | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 219 | |||
Held-to-maturity Securities - Estimated Fair Value | 219 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 219 | |||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Corporate debt securities(1) | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 264 | |||
Held-to-maturity Securities - Estimated Fair Value | 264 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 264 | |||
Marketable securities | ||||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Money market funds | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 1,368 | |||
Held-to-maturity Securities - Estimated Fair Value | 1,368 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 1,368 | |||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Held-to-maturity Securities | Time deposits(1) | ||||
Debt Securities, Held-to-maturity [Abstract] | ||||
Held-to-maturity Securities - Carrying Amount | 651 | |||
Held-to-maturity Securities - Estimated Fair Value | 651 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 651 | |||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Gain | 0 | |||
Available-for-sale Securities | ||||
Debt Securities, Available-for-sale [Abstract] | ||||
Available-for-sale Securities - Carrying Amount | 2,766 | |||
Available-for-sale Securities - Estimated Fair Value | 2,767 | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 1 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 1,865 | |||
Marketable securities | 902 | |||
Available-for-sale Securities | Other sovereign securities(1) | ||||
Debt Securities, Available-for-sale [Abstract] | ||||
Available-for-sale Securities - Carrying Amount | 0 | |||
Available-for-sale Securities - Estimated Fair Value | 0 | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 0 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 0 | |||
Marketable securities | 0 | |||
Available-for-sale Securities | Corporate debt securities(1) | ||||
Debt Securities, Available-for-sale [Abstract] | ||||
Available-for-sale Securities - Carrying Amount | 265 | |||
Available-for-sale Securities - Estimated Fair Value | 265 | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 0 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 20 | |||
Marketable securities | 245 | |||
Available-for-sale Securities | US Treasury and Government [Member] | ||||
Debt Securities, Available-for-sale [Abstract] | ||||
Available-for-sale Securities - Carrying Amount | 2,501 | |||
Available-for-sale Securities - Estimated Fair Value | 2,502 | |||
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | 1 | |||
Debt Securities, Available-for-sale and Held-to-maturity [Abstract] | ||||
Cash and Cash Equivalents | 1,845 | |||
Marketable securities | $ 657 |
Fair Value Measurements - Sch_4
Fair Value Measurements - Schedule of Available for Sale Securities Maturities (Details) $ in Millions | Jun. 30, 2019USD ($) |
Cost Basis | |
Due within one year | $ 2,711 |
Due after one year through five years | 55 |
Due after five years through ten years | 0 |
Total debt securities | 2,766 |
Fair Value | |
Due within one year | 2,712 |
Due after one year through five years | 55 |
Due after five years through ten years | 0 |
Total debt securities | $ 2,767 |
Fair Value Measurements - Fin_2
Fair Value Measurements - Financial Liabilities not Measured at Fair Value (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 30, 2018 |
Financial Liabilities | ||
Current Debt | $ 1,719 | $ 2,796 |
Non-Current Debt | ||
Non-Current Debt | 27,699 | $ 27,684 |
Carrying Amount | ||
Financial Liabilities | ||
Current Debt | 1,719 | |
Non-Current Debt | ||
Non-Current Debt | 27,699 | |
Estimated Fair Value | ||
Financial Liabilities | ||
Current Debt | 1,739 | |
Non-Current Debt | ||
Non-Current Debt | $ 30,275 | |
3% Zero Coupon Convertible Subordinated Debentures due in 2020 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.00% | |
3% Zero Coupon Convertible Subordinated Debentures due in 2020 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 52 | |
3% Zero Coupon Convertible Subordinated Debentures due in 2020 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 99 | |
1.950% Notes due 2020 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 1.95% | |
1.950% Notes due 2020 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 499 | |
1.950% Notes due 2020 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 498 | |
2.95% Debentures due 2020 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.95% | |
2.95% Debentures due 2020 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 548 | |
2.95% Debentures due 2020 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 554 | |
3.55% Notes due 2021 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.55% | |
3.55% Notes due 2021 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 449 | |
3.55% Notes due 2021 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 462 | |
2.45% Notes due 2021 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.45% | |
2.45% Notes due 2021 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 349 | |
2.45% Notes due 2021 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 353 | |
1.65% Notes due 2021 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 1.65% | |
1.65% Notes due 2021 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 999 | |
1.65% Notes due 2021 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 993 | |
0.250% Notes due 2022 (1B Euro 1.1364) | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 0.25% | |
0.250% Notes due 2022 (1B Euro 1.1364) | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,134 | |
0.250% Notes due 2022 (1B Euro 1.1364) | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,150 | |
2.25% Notes due 2022 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.25% | |
2.25% Notes due 2022 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 997 | |
2.25% Notes due 2022 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,004 | |
6.73% Debentures due 2023 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 6.73% | |
6.73% Debentures due 2023 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 250 | |
6.73% Debentures due 2023 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 298 | |
3.375% Notes due 2023 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.375% | |
3.375% Notes due 2023 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 805 | |
3.375% Notes due 2023 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 852 | |
2.05% Notes due 2023 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.05% | |
2.05% Notes due 2023 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 498 | |
2.05% Notes due 2023 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 498 | |
0.650% Notes due 2024 (750MM Euro 1.1364) | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 0.65% | |
0.650% Notes due 2024 (750MM Euro 1.1364) | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 849 | |
0.650% Notes due 2024 (750MM Euro 1.1364) | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 882 | |
5.50% Notes due 2024 (500 MM GBP 1.2709) | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 5.50% | |
5.50% Notes due 2024 (500 MM GBP 1.2709) | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 631 | |
5.50% Notes due 2024 (500 MM GBP 1.2709) | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 770 | |
2.625% Notes due 2025 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.625% | |
2.625% Notes due 2025 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 748 | |
2.625% Notes due 2025 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 762 | |
2.45% Notes due 2026 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.45% | |
2.45% Notes due 2026 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,992 | |
2.45% Notes due 2026 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 2,024 | |
2.95% Notes due 2027 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.95% | |
2.95% Notes due 2027 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 996 | |
2.95% Notes due 2027 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,032 | |
2.90% Notes due 2028 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 2.90% | |
2.90% Notes due 2028 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,493 | |
2.90% Notes due 2028 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,541 | |
1.150% Notes due 2028 (750MM Euro 1.1364) | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 1.15% | |
1.150% Notes due 2028 (750MM Euro 1.1364) | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 845 | |
1.150% Notes due 2028 (750MM Euro 1.1364) | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 916 | |
6.95% Notes due 2029 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 6.95% | |
6.95% Notes due 2029 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 297 | |
6.95% Notes due 2029 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 414 | |
4.95% Debentures due 2033 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 4.95% | |
4.95% Debentures due 2033 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 498 | |
4.95% Debentures due 2033 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 618 | |
4.375% Notes due 2033 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 4.375% | |
4.375% Notes due 2033 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 856 | |
4.375% Notes due 2033 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,008 | |
1.650% Notes due 2035 (1.5B Euro 1.1364) | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 1.65% | |
1.650% Notes due 2035 (1.5B Euro 1.1364) | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,688 | |
1.650% Notes due 2035 (1.5B Euro 1.1364) | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,910 | |
3.55% Notes due 2036 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.55% | |
3.55% Notes due 2036 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 988 | |
3.55% Notes due 2036 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,049 | |
5.95% Notes due 2037 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 5.95% | |
5.95% Notes due 2037 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 992 | |
5.95% Notes due 2037 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,377 | |
3.625% Notes due 2037 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.625% | |
3.625% Notes due 2037 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,487 | |
3.625% Notes due 2037 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,592 | |
3.40% Notes due 2038 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.40% | |
3.40% Notes due 2038 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 990 | |
3.40% Notes due 2038 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,032 | |
5.85% Debentures due 2038 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 5.85% | |
5.85% Debentures due 2038 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 696 | |
5.85% Debentures due 2038 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 946 | |
4.50% Debentures due 2040 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 4.50% | |
4.50% Debentures due 2040 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 538 | |
4.50% Debentures due 2040 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 635 | |
4.85% Notes due 2041 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 4.85% | |
4.85% Notes due 2041 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 297 | |
4.85% Notes due 2041 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 364 | |
4.50% Notes due 2043 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 4.50% | |
4.50% Notes due 2043 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 495 | |
4.50% Notes due 2043 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 594 | |
3.70% Notes due 2046 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.70% | |
3.70% Notes due 2046 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,973 | |
3.70% Notes due 2046 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 2,144 | |
3.75% Notes due 2047 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.75% | |
3.75% Notes due 2047 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 991 | |
3.75% Notes due 2047 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 1,089 | |
3.50% Notes due 2048 | ||
Non-Current Debt | ||
Stated interest rate (as a percent) | 3.50% | |
3.50% Notes due 2048 | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | $ 742 | |
3.50% Notes due 2048 | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | 778 | |
Other | Carrying Amount | ||
Non-Current Debt | ||
Non-Current Debt | 37 | |
Other | Estimated Fair Value | ||
Non-Current Debt | ||
Non-Current Debt | $ 37 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Billions | 3 Months Ended | 6 Months Ended | |
Sep. 29, 2019 | Jun. 30, 2019 | Jul. 01, 2018 | |
Income Tax (Textuals) | |||
Worldwide effective income tax rate (as a percent) | 18.40% | 20.40% | |
Effective Income Tax Rate Reconciliation,Other Reconciling Items, Percent | 2.50% | ||
Unrecognized tax benefits | $ 3.3 | ||
Scenario, Forecast | Minimum | |||
Income Tax (Textuals) | |||
TRAF, tax expense | $ 0.3 | ||
Scenario, Forecast | Maximum | |||
Income Tax (Textuals) | |||
TRAF, tax expense | $ 0.5 |
Pensions and Other Benefit Pl_3
Pensions and Other Benefit Plans - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Retirement Plans | ||||
Components of net periodic benefit cost | ||||
Service cost | $ 277 | $ 309 | $ 553 | $ 618 |
Interest cost | 274 | 249 | 549 | 501 |
Expected return on plan assets | (581) | (554) | (1,164) | (1,114) |
Amortization of prior service cost/(credit) | 1 | 0 | 2 | 1 |
Recognized actuarial losses | 146 | 213 | 290 | 428 |
Curtailments and settlements | 8 | 0 | 7 | (2) |
Net periodic benefit cost | 125 | 217 | 237 | 432 |
Other Benefit Plans | ||||
Components of net periodic benefit cost | ||||
Service cost | 69 | 68 | 137 | 135 |
Interest cost | 46 | 38 | 92 | 75 |
Expected return on plan assets | (1) | (2) | (3) | (4) |
Amortization of prior service cost/(credit) | (8) | (8) | (16) | (16) |
Recognized actuarial losses | 33 | 31 | 65 | 61 |
Curtailments and settlements | 0 | 0 | 0 | 0 |
Net periodic benefit cost | $ 139 | $ 127 | $ 275 | $ 251 |
Pensions and Other Benefit Pl_4
Pensions and Other Benefit Plans (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
U.S. | |
Defined Benefit Plan Disclosure [Line Items] | |
Contribution to pension plans | $ 42 |
International retirement plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Contribution to pension plans | $ 87 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 58,955 | $ 63,255 | $ 59,752 | $ 60,160 |
Net change | 548 | (2,169) | 253 | (1,346) |
Ending Balance | 60,785 | 62,889 | 60,785 | 62,889 |
Accumulated Foreign Currency Adjustment Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (8,869) | |||
Net change | 92 | |||
Ending Balance | (8,777) | (8,777) | ||
Accumulated Net Investment Gain (Loss) Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | 0 | |||
Net change | 1 | |||
Ending Balance | 1 | 1 | ||
Accumulated Defined Benefit Plans Adjustment Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (6,158) | |||
Net change | 306 | |||
Ending Balance | (5,852) | (5,852) | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (195) | |||
Net change | (146) | |||
Ending Balance | (341) | (341) | ||
AOCI Attributable to Parent | ||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||||
Beginning Balance | (15,517) | (12,608) | (15,222) | (13,199) |
Net change | 548 | (2,169) | 253 | (1,346) |
Ending Balance | $ (14,969) | $ (14,777) | $ (14,969) | $ (14,777) |
Earnings Per Share (Details)
Earnings Per Share (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Reconciliation of basic net earnings per share to diluted net earnings per share | ||||
Basic net earnings per share | $ 2.11 | $ 1.47 | $ 3.52 | $ 3.10 |
Average shares outstanding — basic | 2,652,500,000 | 2,682,300,000 | 2,656,700,000 | 2,682,200,000 |
Potential shares exercisable under stock option plans | 140,800,000 | 127,500,000 | 138,600,000 | 141,800,000 |
Less: shares which could be repurchased under treasury stock method | (102,300,000) | (89,300,000) | (99,000,000) | (96,300,000) |
Convertible debt shares | 700,000 | 800,000 | 700,000 | 800,000 |
Average shares outstanding — diluted | 2,691,700,000 | 2,721,300,000 | 2,697,000,000 | 2,728,500,000 |
Diluted net earnings per share | $ 2.08 | $ 1.45 | $ 3.47 | $ 3.05 |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 17,000,000 | 0 |
Segments of Business and Geog_3
Segments of Business and Geographic Areas - Sales By Segment Of Business (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Sales by segment of business | ||||
Sales to customers | $ 20,562 | $ 20,830 | $ 40,583 | $ 40,839 |
Percent Change (as a percent) | (1.30%) | (0.60%) | ||
U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 10,403 | 10,640 | $ 20,532 | 20,591 |
Percent Change (as a percent) | (2.20%) | (0.30%) | ||
International | ||||
Sales by segment of business | ||||
Sales to customers | $ 10,159 | 10,190 | $ 20,051 | 20,248 |
Percent Change (as a percent) | (0.30%) | (1.00%) | ||
CONSUMER | ||||
Sales by segment of business | ||||
Sales to customers | $ 3,544 | 3,504 | $ 6,862 | 6,902 |
Percent Change (as a percent) | 1.20% | (0.60%) | ||
CONSUMER | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,537 | 1,476 | $ 2,975 | 2,912 |
Percent Change (as a percent) | 4.10% | 2.20% | ||
CONSUMER | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 2,007 | 2,028 | $ 3,887 | 3,990 |
Percent Change (as a percent) | (1.00%) | (2.60%) | ||
CONSUMER | Baby Care | ||||
Sales by segment of business | ||||
Sales to customers | $ 443 | 456 | $ 837 | 913 |
Percent Change (as a percent) | (2.80%) | (8.40%) | ||
CONSUMER | Baby Care | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 99 | 89 | $ 186 | 186 |
Percent Change (as a percent) | 11.50% | (0.20%) | ||
CONSUMER | Baby Care | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 344 | 367 | $ 651 | 727 |
Percent Change (as a percent) | (6.30%) | (10.50%) | ||
CONSUMER | Beauty | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,202 | 1,109 | $ 2,292 | 2,193 |
Percent Change (as a percent) | 8.40% | 4.50% | ||
CONSUMER | Beauty | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 663 | 637 | $ 1,251 | 1,248 |
Percent Change (as a percent) | 4.10% | 0.30% | ||
CONSUMER | Beauty | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 539 | 472 | $ 1,041 | 945 |
Percent Change (as a percent) | 14.10% | 10.10% | ||
CONSUMER | Oral Care | ||||
Sales by segment of business | ||||
Sales to customers | $ 389 | 393 | $ 756 | 772 |
Percent Change (as a percent) | (1.10%) | (2.00%) | ||
CONSUMER | Oral Care | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 155 | 157 | $ 306 | 314 |
Percent Change (as a percent) | (1.60%) | (2.50%) | ||
CONSUMER | Oral Care | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 234 | 236 | $ 450 | 458 |
Percent Change (as a percent) | (0.70%) | (1.70%) | ||
CONSUMER | OTC | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,064 | 1,066 | $ 2,151 | 2,138 |
Percent Change (as a percent) | (0.10%) | 0.60% | ||
CONSUMER | OTC | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 484 | 454 | $ 991 | 919 |
Percent Change (as a percent) | 6.60% | 7.80% | ||
CONSUMER | OTC | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 580 | 612 | $ 1,160 | 1,219 |
Percent Change (as a percent) | (5.10%) | (4.90%) | ||
CONSUMER | Women's Health | ||||
Sales by segment of business | ||||
Sales to customers | $ 253 | 280 | $ 478 | 523 |
Percent Change (as a percent) | (9.50%) | (8.50%) | ||
CONSUMER | Women's Health | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 3 | 4 | $ 6 | 7 |
Percent Change (as a percent) | (10.30%) | (3.70%) | ||
CONSUMER | Women's Health | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 250 | 276 | $ 472 | 516 |
Percent Change (as a percent) | (9.50%) | (8.60%) | ||
CONSUMER | Wound Care/Other | ||||
Sales by segment of business | ||||
Sales to customers | $ 193 | 200 | $ 348 | 363 |
Percent Change (as a percent) | (3.40%) | (4.00%) | ||
CONSUMER | Wound Care/Other | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 132 | 135 | $ 234 | 238 |
Percent Change (as a percent) | (1.90%) | (1.50%) | ||
CONSUMER | Wound Care/Other | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 61 | 65 | $ 114 | 125 |
Percent Change (as a percent) | (6.40%) | (8.90%) | ||
PHARMACEUTICAL | ||||
Sales by segment of business | ||||
Sales to customers | $ 10,529 | 10,354 | $ 20,773 | 20,198 |
Percent Change (as a percent) | 1.70% | 2.80% | ||
PHARMACEUTICAL | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 5,783 | 5,899 | $ 11,365 | 11,253 |
Percent Change (as a percent) | (2.00%) | 1.00% | ||
PHARMACEUTICAL | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 4,746 | 4,455 | $ 9,408 | 8,945 |
Percent Change (as a percent) | 6.50% | 5.20% | ||
PHARMACEUTICAL | Immunology | ||||
Sales by segment of business | ||||
Sales to customers | $ 3,466 | 3,338 | $ 6,717 | 6,380 |
Percent Change (as a percent) | 3.80% | 5.30% | ||
PHARMACEUTICAL | Immunology | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 2,379 | 2,317 | $ 4,542 | 4,317 |
Percent Change (as a percent) | 2.70% | 5.20% | ||
PHARMACEUTICAL | Immunology | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,087 | 1,021 | $ 2,175 | 2,063 |
Percent Change (as a percent) | 6.30% | 5.40% | ||
PHARMACEUTICAL | Immunology | REMICADE® | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,107 | 1,320 | $ 2,209 | 2,709 |
Percent Change (as a percent) | (16.20%) | (18.50%) | ||
PHARMACEUTICAL | Immunology | REMICADE® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 801 | 918 | $ 1,575 | 1,834 |
Percent Change (as a percent) | (12.70%) | (14.10%) | ||
PHARMACEUTICAL | Immunology | REMICADE® | U.S. Exports | ||||
Sales by segment of business | ||||
Sales to customers | $ 62 | 104 | $ 138 | 246 |
Percent Change (as a percent) | (40.30%) | (43.90%) | ||
PHARMACEUTICAL | Immunology | REMICADE® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 244 | 298 | $ 496 | 629 |
Percent Change (as a percent) | (18.50%) | (21.20%) | ||
PHARMACEUTICAL | Immunology | SIMPONI / SIMPONI ARIA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 563 | 548 | $ 1,087 | 1,066 |
Percent Change (as a percent) | 2.70% | 1.90% | ||
PHARMACEUTICAL | Immunology | SIMPONI / SIMPONI ARIA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 281 | 274 | $ 544 | 498 |
Percent Change (as a percent) | 2.70% | 9.10% | ||
PHARMACEUTICAL | Immunology | SIMPONI / SIMPONI ARIA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 282 | 274 | $ 543 | 568 |
Percent Change (as a percent) | 2.70% | (4.40%) | ||
PHARMACEUTICAL | Immunology | STELARA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,558 | 1,341 | $ 2,963 | 2,402 |
Percent Change (as a percent) | 16.10% | 23.30% | ||
PHARMACEUTICAL | Immunology | STELARA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,058 | 919 | $ 1,940 | 1,571 |
Percent Change (as a percent) | 15.20% | 23.50% | ||
PHARMACEUTICAL | Immunology | STELARA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 499 | 422 | $ 1,022 | 831 |
Percent Change (as a percent) | 18.10% | 23.00% | ||
PHARMACEUTICAL | Immunology | TREMFYA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 235 | 126 | $ 452 | 198 |
Percent Change (as a percent) | 86.50% | |||
PHARMACEUTICAL | Immunology | TREMFYA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 176 | 102 | 344 | 168 |
Percent Change (as a percent) | 72.30% | |||
PHARMACEUTICAL | Immunology | TREMFYA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 59 | 24 | 108 | 30 |
PHARMACEUTICAL | Immunology | OTHER IMMUNOLOGY | ||||
Sales by segment of business | ||||
Sales to customers | $ 3 | 3 | $ 6 | 5 |
Percent Change (as a percent) | 27.70% | 23.60% | ||
PHARMACEUTICAL | Immunology | OTHER IMMUNOLOGY | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 0 | 0 | $ 0 | 0 |
Percent Change (as a percent) | 0.00% | 0.00% | ||
PHARMACEUTICAL | Immunology | OTHER IMMUNOLOGY | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 3 | 3 | $ 6 | 5 |
Percent Change (as a percent) | 27.70% | 23.60% | ||
PHARMACEUTICAL | Infectious Diseases | ||||
Sales by segment of business | ||||
Sales to customers | $ 862 | 849 | $ 1,708 | 1,679 |
Percent Change (as a percent) | 1.50% | 1.70% | ||
PHARMACEUTICAL | Infectious Diseases | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 387 | 328 | $ 744 | 661 |
Percent Change (as a percent) | 17.80% | 12.50% | ||
PHARMACEUTICAL | Infectious Diseases | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 475 | 521 | $ 964 | 1,018 |
Percent Change (as a percent) | (8.70%) | (5.30%) | ||
PHARMACEUTICAL | Infectious Diseases | EDURANT® / rilpivirine | ||||
Sales by segment of business | ||||
Sales to customers | $ 210 | 211 | $ 421 | 421 |
Percent Change (as a percent) | (0.60%) | 0.10% | ||
PHARMACEUTICAL | Infectious Diseases | EDURANT® / rilpivirine | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 12 | 15 | $ 24 | 29 |
Percent Change (as a percent) | (15.80%) | (17.30%) | ||
PHARMACEUTICAL | Infectious Diseases | EDURANT® / rilpivirine | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 198 | 196 | $ 397 | 392 |
Percent Change (as a percent) | 0.50% | 1.40% | ||
PHARMACEUTICAL | Infectious Diseases | PREZISTA® / PREZCOBIX® / REZOLSTA® / SYMTUZA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 535 | 492 | $ 1,058 | 970 |
Percent Change (as a percent) | 8.70% | 9.10% | ||
PHARMACEUTICAL | Infectious Diseases | PREZISTA® / PREZCOBIX® / REZOLSTA® / SYMTUZA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 344 | 277 | $ 659 | 550 |
Percent Change (as a percent) | 24.20% | 19.90% | ||
PHARMACEUTICAL | Infectious Diseases | PREZISTA® / PREZCOBIX® / REZOLSTA® / SYMTUZA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 191 | 215 | $ 399 | 420 |
Percent Change (as a percent) | (11.10%) | (5.00%) | ||
PHARMACEUTICAL | Infectious Diseases | OTHER INFECTIOUS DISEASES | ||||
Sales by segment of business | ||||
Sales to customers | $ 117 | 146 | $ 229 | 288 |
Percent Change (as a percent) | (19.70%) | (20.70%) | ||
PHARMACEUTICAL | Infectious Diseases | OTHER INFECTIOUS DISEASES | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 31 | 36 | $ 61 | 82 |
Percent Change (as a percent) | (16.60%) | (26.00%) | ||
PHARMACEUTICAL | Infectious Diseases | OTHER INFECTIOUS DISEASES | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 86 | 110 | $ 168 | 206 |
Percent Change (as a percent) | (20.80%) | (18.60%) | ||
PHARMACEUTICAL | Neuroscience | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,538 | 1,528 | $ 3,167 | 3,087 |
Percent Change (as a percent) | 0.60% | 2.60% | ||
PHARMACEUTICAL | Neuroscience | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 664 | 639 | $ 1,387 | 1,263 |
Percent Change (as a percent) | 3.80% | 9.80% | ||
PHARMACEUTICAL | Neuroscience | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 875 | 889 | $ 1,780 | 1,824 |
Percent Change (as a percent) | (1.60%) | (2.40%) | ||
PHARMACEUTICAL | Neuroscience | CONCERTA® / methylphenidate | ||||
Sales by segment of business | ||||
Sales to customers | $ 137 | 183 | $ 351 | 356 |
Percent Change (as a percent) | (25.20%) | (1.60%) | ||
PHARMACEUTICAL | Neuroscience | CONCERTA® / methylphenidate | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 15 | 68 | $ 112 | 134 |
Percent Change (as a percent) | (78.60%) | (16.40%) | ||
PHARMACEUTICAL | Neuroscience | CONCERTA® / methylphenidate | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 123 | 115 | $ 239 | 222 |
Percent Change (as a percent) | 6.20% | 7.30% | ||
PHARMACEUTICAL | Neuroscience | INVEGA SUSTENNA® / XEPLION® / INVEGA TRINZA® / TREVICTA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 818 | 720 | $ 1,608 | 1,416 |
Percent Change (as a percent) | 13.60% | 13.60% | ||
PHARMACEUTICAL | Neuroscience | INVEGA SUSTENNA® / XEPLION® / INVEGA TRINZA® / TREVICTA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 506 | 438 | $ 989 | 838 |
Percent Change (as a percent) | 15.60% | 18.10% | ||
PHARMACEUTICAL | Neuroscience | INVEGA SUSTENNA® / XEPLION® / INVEGA TRINZA® / TREVICTA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 312 | 282 | $ 619 | 578 |
Percent Change (as a percent) | 10.40% | 7.00% | ||
PHARMACEUTICAL | Neuroscience | RISPERDAL CONSTA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 182 | 188 | $ 361 | 384 |
Percent Change (as a percent) | (3.40%) | (6.20%) | ||
PHARMACEUTICAL | Neuroscience | RISPERDAL CONSTA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 81 | 80 | $ 158 | 162 |
Percent Change (as a percent) | 0.80% | (3.00%) | ||
PHARMACEUTICAL | Neuroscience | RISPERDAL CONSTA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 101 | 108 | $ 203 | 222 |
Percent Change (as a percent) | (6.50%) | (8.40%) | ||
PHARMACEUTICAL | Neuroscience | OTHER NEUROSCIENCE | ||||
Sales by segment of business | ||||
Sales to customers | $ 401 | 437 | $ 847 | 931 |
Percent Change (as a percent) | (8.10%) | (8.90%) | ||
PHARMACEUTICAL | Neuroscience | OTHER NEUROSCIENCE | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 62 | 53 | $ 128 | 129 |
Percent Change (as a percent) | 16.10% | (0.40%) | ||
PHARMACEUTICAL | Neuroscience | OTHER NEUROSCIENCE | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 340 | 384 | $ 719 | 802 |
Percent Change (as a percent) | (11.50%) | (10.30%) | ||
PHARMACEUTICAL | Oncology | ||||
Sales by segment of business | ||||
Sales to customers | $ 2,697 | 2,456 | $ 5,215 | 4,767 |
Percent Change (as a percent) | 9.80% | 9.40% | ||
PHARMACEUTICAL | Oncology | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,013 | 1,085 | $ 1,975 | 2,018 |
Percent Change (as a percent) | (6.60%) | (2.10%) | ||
PHARMACEUTICAL | Oncology | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,684 | 1,371 | $ 3,240 | 2,749 |
Percent Change (as a percent) | 22.80% | 17.90% | ||
PHARMACEUTICAL | Oncology | DARZALEX® | ||||
Sales by segment of business | ||||
Sales to customers | $ 774 | 511 | $ 1,403 | 943 |
Percent Change (as a percent) | 51.60% | 48.80% | ||
PHARMACEUTICAL | Oncology | DARZALEX® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 369 | 298 | $ 721 | 562 |
Percent Change (as a percent) | 24.40% | 28.50% | ||
PHARMACEUTICAL | Oncology | DARZALEX® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 405 | 213 | $ 682 | 381 |
Percent Change (as a percent) | 89.50% | 78.70% | ||
PHARMACEUTICAL | Oncology | IMBRUVICA® | ||||
Sales by segment of business | ||||
Sales to customers | $ 831 | 620 | $ 1,615 | 1,207 |
Percent Change (as a percent) | 34.10% | 33.80% | ||
PHARMACEUTICAL | Oncology | IMBRUVICA® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 367 | 250 | $ 716 | 477 |
Percent Change (as a percent) | 47.00% | 50.20% | ||
PHARMACEUTICAL | Oncology | IMBRUVICA® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 463 | 370 | $ 898 | 730 |
Percent Change (as a percent) | 25.30% | 23.10% | ||
PHARMACEUTICAL | Oncology | VELCADE® | ||||
Sales by segment of business | ||||
Sales to customers | $ 224 | 280 | $ 487 | 593 |
Percent Change (as a percent) | (20.10%) | (17.90%) | ||
PHARMACEUTICAL | Oncology | VELCADE® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 0 | 0 | $ 0 | 0 |
Percent Change (as a percent) | 0.00% | 0.00% | ||
PHARMACEUTICAL | Oncology | VELCADE® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 224 | 280 | $ 487 | 593 |
Percent Change (as a percent) | (20.10%) | (17.90%) | ||
PHARMACEUTICAL | Oncology | ZYTIGA® / abiraterone acetate | ||||
Sales by segment of business | ||||
Sales to customers | $ 698 | 909 | $ 1,377 | 1,754 |
Percent Change (as a percent) | (23.30%) | (21.50%) | ||
PHARMACEUTICAL | Oncology | ZYTIGA® / abiraterone acetate | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 198 | 486 | $ 383 | 893 |
Percent Change (as a percent) | (59.40%) | (57.10%) | ||
PHARMACEUTICAL | Oncology | ZYTIGA® / abiraterone acetate | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 500 | 423 | $ 994 | 861 |
Percent Change (as a percent) | 18.00% | 15.40% | ||
PHARMACEUTICAL | Oncology | OTHER ONCOLOGY | ||||
Sales by segment of business | ||||
Sales to customers | $ 170 | 136 | $ 333 | 270 |
Percent Change (as a percent) | 24.70% | 23.20% | ||
PHARMACEUTICAL | Oncology | OTHER ONCOLOGY | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 78 | 51 | $ 154 | 86 |
Percent Change (as a percent) | 50.50% | 77.70% | ||
PHARMACEUTICAL | Oncology | OTHER ONCOLOGY | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 92 | 85 | $ 179 | 184 |
Percent Change (as a percent) | 8.80% | (2.50%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | ||||
Sales by segment of business | ||||
Sales to customers | $ 690 | 665 | $ 1,346 | 1,250 |
Percent Change (as a percent) | 3.80% | 7.70% | ||
PHARMACEUTICAL | Pulmonary Hypertension | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 439 | 429 | $ 869 | 790 |
Percent Change (as a percent) | 2.20% | 10.00% | ||
PHARMACEUTICAL | Pulmonary Hypertension | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 251 | 236 | $ 477 | 460 |
Percent Change (as a percent) | 6.70% | 3.70% | ||
PHARMACEUTICAL | Pulmonary Hypertension | OPSUMIT® | ||||
Sales by segment of business | ||||
Sales to customers | $ 348 | 311 | $ 654 | 582 |
Percent Change (as a percent) | 12.30% | 12.50% | ||
PHARMACEUTICAL | Pulmonary Hypertension | OPSUMIT® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 203 | 180 | $ 375 | 329 |
Percent Change (as a percent) | 12.80% | 14.20% | ||
PHARMACEUTICAL | Pulmonary Hypertension | OPSUMIT® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 146 | 131 | $ 279 | 253 |
Percent Change (as a percent) | 11.50% | 10.30% | ||
PHARMACEUTICAL | Pulmonary Hypertension | TRACLEER® | ||||
Sales by segment of business | ||||
Sales to customers | $ 103 | 143 | $ 220 | 283 |
Percent Change (as a percent) | (28.00%) | (22.40%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | TRACLEER® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 41 | 71 | $ 102 | 139 |
Percent Change (as a percent) | (41.80%) | (26.30%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | TRACLEER® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 62 | 72 | $ 118 | 144 |
Percent Change (as a percent) | (14.50%) | (18.70%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | UPTRAVI® | ||||
Sales by segment of business | ||||
Sales to customers | $ 203 | 171 | $ 401 | 311 |
Percent Change (as a percent) | 18.20% | 28.70% | ||
PHARMACEUTICAL | Pulmonary Hypertension | UPTRAVI® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 175 | 155 | $ 351 | 279 |
Percent Change (as a percent) | 13.40% | 25.90% | ||
PHARMACEUTICAL | Pulmonary Hypertension | UPTRAVI® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 28 | 16 | $ 50 | 32 |
Percent Change (as a percent) | 62.50% | 53.10% | ||
PHARMACEUTICAL | Pulmonary Hypertension | OTHER | ||||
Sales by segment of business | ||||
Sales to customers | $ 37 | 40 | $ 72 | 74 |
Percent Change (as a percent) | (9.60%) | (3.40%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | OTHER | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 20 | 23 | $ 41 | 43 |
Percent Change (as a percent) | (18.20%) | (8.40%) | ||
PHARMACEUTICAL | Pulmonary Hypertension | OTHER | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 16 | 17 | $ 31 | 31 |
Percent Change (as a percent) | 3.70% | 4.10% | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,275 | 1,518 | $ 2,620 | 3,035 |
Percent Change (as a percent) | (16.00%) | (13.70%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 902 | 1,101 | $ 1,849 | 2,204 |
Percent Change (as a percent) | (18.10%) | (16.10%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 373 | 417 | $ 771 | 831 |
Percent Change (as a percent) | (10.50%) | (7.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | XARELTO® | ||||
Sales by segment of business | ||||
Sales to customers | $ 549 | 679 | $ 1,091 | 1,257 |
Percent Change (as a percent) | (19.20%) | (13.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | XARELTO® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 549 | 679 | $ 1,091 | 1,257 |
Percent Change (as a percent) | (19.20%) | (13.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | XARELTO® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 0 | 0 | $ 0 | 0 |
Percent Change (as a percent) | 0.00% | 0.00% | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | INVOKANA® / INVOKAMET® | ||||
Sales by segment of business | ||||
Sales to customers | $ 177 | 215 | $ 379 | 463 |
Percent Change (as a percent) | (17.90%) | (18.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | INVOKANA® / INVOKAMET® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 132 | 169 | $ 286 | 373 |
Percent Change (as a percent) | (21.20%) | (23.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | INVOKANA® / INVOKAMET® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 43 | 46 | $ 92 | 90 |
Percent Change (as a percent) | (6.00%) | 2.60% | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | PROCRIT® / EPREX® | ||||
Sales by segment of business | ||||
Sales to customers | $ 183 | 236 | $ 409 | 512 |
Percent Change (as a percent) | (22.70%) | (20.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | PROCRIT® / EPREX® | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 113 | 156 | $ 261 | 345 |
Percent Change (as a percent) | (27.50%) | (24.30%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | PROCRIT® / EPREX® | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 70 | 80 | $ 148 | 167 |
Percent Change (as a percent) | (13.40%) | (11.70%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | OTHER | ||||
Sales by segment of business | ||||
Sales to customers | $ 368 | 388 | $ 742 | 803 |
Percent Change (as a percent) | (5.50%) | (7.70%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | OTHER | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 107 | 97 | $ 211 | 229 |
Percent Change (as a percent) | 9.30% | (8.20%) | ||
PHARMACEUTICAL | Cardiovascular / Metabolism / Other | OTHER | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 260 | 291 | $ 531 | 574 |
Percent Change (as a percent) | (10.50%) | (7.50%) | ||
MEDICAL DEVICES | ||||
Sales by segment of business | ||||
Sales to customers | $ 6,489 | 6,972 | $ 12,948 | 13,739 |
Percent Change (as a percent) | (6.90%) | (5.70%) | ||
MEDICAL DEVICES | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 3,083 | 3,265 | $ 6,192 | 6,426 |
Percent Change (as a percent) | (5.60%) | (3.60%) | ||
MEDICAL DEVICES | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 3,406 | 3,707 | $ 6,756 | 7,313 |
Percent Change (as a percent) | (8.10%) | (7.60%) | ||
MEDICAL DEVICES | Diabetes Care | ||||
Sales by segment of business | ||||
Sales to customers | $ 0 | 355 | $ 0 | 694 |
MEDICAL DEVICES | Diabetes Care | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | 0 | 129 | 0 | 246 |
MEDICAL DEVICES | Diabetes Care | International | ||||
Sales by segment of business | ||||
Sales to customers | 0 | 226 | 0 | 448 |
MEDICAL DEVICES | Interventional Solutions | ||||
Sales by segment of business | ||||
Sales to customers | $ 750 | 667 | $ 1,482 | 1,307 |
Percent Change (as a percent) | 12.60% | 13.40% | ||
MEDICAL DEVICES | Interventional Solutions | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 366 | 323 | $ 709 | 627 |
Percent Change (as a percent) | 13.70% | 13.20% | ||
MEDICAL DEVICES | Interventional Solutions | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 385 | 344 | $ 774 | 680 |
Percent Change (as a percent) | 11.60% | 13.70% | ||
MEDICAL DEVICES | Orthopaedics | ||||
Sales by segment of business | ||||
Sales to customers | $ 2,224 | 2,262 | $ 4,428 | 4,512 |
Percent Change (as a percent) | (1.60%) | (1.90%) | ||
MEDICAL DEVICES | Orthopaedics | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,331 | 1,332 | $ 2,649 | 2,639 |
Percent Change (as a percent) | (0.10%) | 0.40% | ||
MEDICAL DEVICES | Orthopaedics | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 894 | 930 | $ 1,779 | 1,873 |
Percent Change (as a percent) | (3.80%) | (5.00%) | ||
MEDICAL DEVICES | Orthopaedics | HIPS | ||||
Sales by segment of business | ||||
Sales to customers | $ 364 | 360 | $ 725 | 723 |
Percent Change (as a percent) | 0.90% | 0.30% | ||
MEDICAL DEVICES | Orthopaedics | HIPS | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 216 | 211 | $ 429 | 420 |
Percent Change (as a percent) | 2.10% | 2.10% | ||
MEDICAL DEVICES | Orthopaedics | HIPS | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 147 | 149 | $ 295 | 303 |
Percent Change (as a percent) | (0.70%) | (2.30%) | ||
MEDICAL DEVICES | Orthopaedics | KNEES | ||||
Sales by segment of business | ||||
Sales to customers | $ 372 | 382 | $ 741 | 769 |
Percent Change (as a percent) | (2.80%) | (3.70%) | ||
MEDICAL DEVICES | Orthopaedics | KNEES | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 218 | 229 | $ 441 | 457 |
Percent Change (as a percent) | (4.80%) | (3.50%) | ||
MEDICAL DEVICES | Orthopaedics | KNEES | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 153 | 153 | $ 299 | 312 |
Percent Change (as a percent) | 0.40% | (4.00%) | ||
MEDICAL DEVICES | Orthopaedics | TRAUMA | ||||
Sales by segment of business | ||||
Sales to customers | $ 672 | 675 | $ 1,357 | 1,371 |
Percent Change (as a percent) | (0.60%) | (1.00%) | ||
MEDICAL DEVICES | Orthopaedics | TRAUMA | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 407 | 394 | $ 824 | 801 |
Percent Change (as a percent) | 3.30% | 2.90% | ||
MEDICAL DEVICES | Orthopaedics | TRAUMA | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 265 | 281 | $ 533 | 570 |
Percent Change (as a percent) | (5.90%) | (6.50%) | ||
MEDICAL DEVICES | Orthopaedics | SPINE & OTHER | ||||
Sales by segment of business | ||||
Sales to customers | $ 818 | 845 | $ 1,606 | 1,649 |
Percent Change (as a percent) | (3.10%) | (2.60%) | ||
MEDICAL DEVICES | Orthopaedics | SPINE & OTHER | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 490 | 498 | $ 955 | 961 |
Percent Change (as a percent) | (1.50%) | (0.60%) | ||
MEDICAL DEVICES | Orthopaedics | SPINE & OTHER | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 328 | 347 | $ 651 | 688 |
Percent Change (as a percent) | (5.30%) | (5.40%) | ||
MEDICAL DEVICES | Surgery | ||||
Sales by segment of business | ||||
Sales to customers | $ 2,353 | 2,515 | $ 4,748 | 4,938 |
Percent Change (as a percent) | (6.50%) | (3.90%) | ||
MEDICAL DEVICES | Surgery | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 926 | 1,022 | $ 1,927 | 2,015 |
Percent Change (as a percent) | (9.50%) | (4.40%) | ||
MEDICAL DEVICES | Surgery | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,427 | 1,493 | $ 2,821 | 2,923 |
Percent Change (as a percent) | (4.40%) | (3.50%) | ||
MEDICAL DEVICES | Surgery | ADVANCED | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,029 | 1,005 | $ 2,009 | 1,971 |
Percent Change (as a percent) | 2.30% | 1.90% | ||
MEDICAL DEVICES | Surgery | ADVANCED | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 396 | 402 | $ 800 | 795 |
Percent Change (as a percent) | (1.70%) | 0.60% | ||
MEDICAL DEVICES | Surgery | ADVANCED | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 633 | 603 | $ 1,209 | 1,176 |
Percent Change (as a percent) | 5.00% | 2.80% | ||
MEDICAL DEVICES | Surgery | GENERAL | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,119 | 1,169 | $ 2,208 | 2,296 |
Percent Change (as a percent) | (4.30%) | (3.90%) | ||
MEDICAL DEVICES | Surgery | GENERAL | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 443 | 436 | $ 868 | 859 |
Percent Change (as a percent) | 1.60% | 1.00% | ||
MEDICAL DEVICES | Surgery | GENERAL | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 674 | 733 | $ 1,339 | 1,437 |
Percent Change (as a percent) | (7.90%) | (6.80%) | ||
MEDICAL DEVICES | Surgery | SPECIALTY | ||||
Sales by segment of business | ||||
Sales to customers | $ 206 | 341 | $ 531 | 671 |
Percent Change (as a percent) | (39.60%) | (20.80%) | ||
MEDICAL DEVICES | Surgery | SPECIALTY | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 87 | 184 | $ 259 | 361 |
Percent Change (as a percent) | (53.10%) | (28.30%) | ||
MEDICAL DEVICES | Surgery | SPECIALTY | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 120 | 157 | $ 273 | 310 |
Percent Change (as a percent) | (23.70%) | (12.10%) | ||
MEDICAL DEVICES | Vision | ||||
Sales by segment of business | ||||
Sales to customers | $ 1,161 | 1,173 | $ 2,290 | 2,288 |
Percent Change (as a percent) | (1.00%) | 0.10% | ||
MEDICAL DEVICES | Vision | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 461 | 459 | $ 907 | 899 |
Percent Change (as a percent) | 0.40% | 1.00% | ||
MEDICAL DEVICES | Vision | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 701 | 714 | $ 1,383 | 1,389 |
Percent Change (as a percent) | (2.00%) | (0.50%) | ||
MEDICAL DEVICES | Vision | CONTACT LENSES / OTHER | ||||
Sales by segment of business | ||||
Sales to customers | $ 842 | 844 | $ 1,666 | 1,651 |
Percent Change (as a percent) | (0.30%) | 0.90% | ||
MEDICAL DEVICES | Vision | CONTACT LENSES / OTHER | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 333 | 320 | $ 654 | 629 |
Percent Change (as a percent) | 3.90% | 4.00% | ||
MEDICAL DEVICES | Vision | CONTACT LENSES / OTHER | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 509 | 524 | $ 1,011 | 1,022 |
Percent Change (as a percent) | (2.90%) | (1.00%) | ||
MEDICAL DEVICES | Vision | SURGICAL | ||||
Sales by segment of business | ||||
Sales to customers | $ 319 | 329 | $ 624 | 637 |
Percent Change (as a percent) | (2.80%) | (2.00%) | ||
MEDICAL DEVICES | Vision | SURGICAL | U.S. | ||||
Sales by segment of business | ||||
Sales to customers | $ 128 | 139 | $ 253 | 270 |
Percent Change (as a percent) | (7.70%) | (6.10%) | ||
MEDICAL DEVICES | Vision | SURGICAL | International | ||||
Sales by segment of business | ||||
Sales to customers | $ 191 | $ 190 | $ 371 | $ 367 |
Percent Change (as a percent) | 0.70% | 1.00% |
Segments of Business and Geog_4
Segments of Business and Geographic Areas - Operating Profit by Segment of Business (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Segment Reporting Information [Line Items] | ||||
Percentage Change In Sales By Geographic Area | (1.30%) | (0.60%) | ||
Sales to customers | $ 20,562 | $ 20,830 | $ 40,583 | $ 40,839 |
Percentage Change in Operating Income Loss | 41.60% | 9.70% | ||
Earnings before provision for taxes on income | $ 7,041 | 4,973 | $ 11,463 | 10,454 |
In-process research and development | 890 | 0 | ||
Restructuring charges | 57 | 57 | 93 | 99 |
CONSUMER | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | 3,544 | 3,504 | 6,862 | 6,902 |
Litigation expense | 200 | 200 | ||
PHARMACEUTICAL | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | 10,529 | 10,354 | 20,773 | 20,198 |
In-process research and development | 900 | |||
Litigation expense | 400 | |||
Research and Development Expense | 300 | |||
Medical Devices | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | 6,489 | 6,972 | 12,948 | 13,739 |
Restructuring charges | 100 | 100 | 100 | 200 |
Litigation expense | 200 | 700 | 300 | 700 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Income | $ 7,272 | 5,276 | $ 11,841 | 11,069 |
Percentage Change in Operating Income Loss | 37.80% | 7.00% | ||
Operating Segments | CONSUMER | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Income | $ 406 | 829 | $ 1,147 | 1,377 |
Percentage Change in Operating Income Loss | (51.00%) | (16.70%) | ||
Amortization | $ 100 | 100 | $ 200 | 100 |
Gain (Loss) on Disposition of Assets | 300 | 300 | ||
Operating Segments | PHARMACEUTICAL | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Income | $ 3,677 | 3,651 | $ 6,008 | 7,317 |
Percentage Change in Operating Income Loss | 0.70% | (17.90%) | ||
Amortization | $ 800 | 800 | $ 1,600 | 1,500 |
Gain (Loss) on Disposition of Assets | 100 | 100 | ||
Unrealized Gain (Loss) on Securities | 200 | 300 | ||
Operating Segments | Medical Devices | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Income | 3,189 | 796 | $ 4,686 | 2,375 |
Percentage Change in Operating Income Loss | 97.30% | |||
Amortization | 200 | 300 | $ 500 | 500 |
Corporate, Non-Segment | ||||
Segment Reporting Information [Line Items] | ||||
Total Segment Operating Income | 231 | 303 | 378 | 615 |
Ci:z Holdings Co. Ltd. | CONSUMER | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of equity investments | 300 | |||
Actelion | PHARMACEUTICAL | ||||
Segment Reporting Information [Line Items] | ||||
Acquisition related costs | $ 100 | 100 | $ 100 | 200 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Percentage Change In Sales By Geographic Area | (2.20%) | (0.30%) | ||
Sales to customers | $ 10,403 | 10,640 | $ 20,532 | 20,591 |
United States | CONSUMER | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | 1,537 | 1,476 | 2,975 | 2,912 |
United States | PHARMACEUTICAL | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | 5,783 | 5,899 | 11,365 | 11,253 |
United States | Medical Devices | ||||
Segment Reporting Information [Line Items] | ||||
Sales to customers | $ 3,083 | 3,265 | $ 6,192 | 6,426 |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Percentage Change In Sales By Geographic Area | (1.60%) | (2.80%) | ||
Sales to customers | $ 4,733 | 4,810 | $ 9,342 | 9,607 |
Western Hemisphere, excluding U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Percentage Change In Sales By Geographic Area | (5.50%) | (4.80%) | ||
Sales to customers | $ 1,455 | 1,540 | $ 2,958 | 3,107 |
Asia-Pacific, Africa | ||||
Segment Reporting Information [Line Items] | ||||
Percentage Change In Sales By Geographic Area | 3.40% | 2.90% | ||
Sales to customers | $ 3,971 | $ 3,840 | $ 7,751 | $ 7,534 |
ADVANCED | Operating Segments | Medical Devices | ||||
Segment Reporting Information [Line Items] | ||||
Gain (Loss) on Disposition of Business | $ 2,000 | $ 2,000 |
Segments of Business and Geog_5
Segments of Business and Geographic Areas - Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Sales by geographic area | ||||
Sales | $ 20,562 | $ 20,830 | $ 40,583 | $ 40,839 |
Percentage Change In Sales By Geographic Area | (1.30%) | (0.60%) | ||
United States | ||||
Sales by geographic area | ||||
Sales | $ 10,403 | 10,640 | $ 20,532 | 20,591 |
Percentage Change In Sales By Geographic Area | (2.20%) | (0.30%) | ||
Europe | ||||
Sales by geographic area | ||||
Sales | $ 4,733 | 4,810 | $ 9,342 | 9,607 |
Percentage Change In Sales By Geographic Area | (1.60%) | (2.80%) | ||
Western Hemisphere, excluding U.S. | ||||
Sales by geographic area | ||||
Sales | $ 1,455 | 1,540 | $ 2,958 | 3,107 |
Percentage Change In Sales By Geographic Area | (5.50%) | (4.80%) | ||
Asia-Pacific, Africa | ||||
Sales by geographic area | ||||
Sales | $ 3,971 | $ 3,840 | $ 7,751 | $ 7,534 |
Percentage Change In Sales By Geographic Area | 3.40% | 2.90% |
Business Combinations and Div_2
Business Combinations and Divestitures - Narrative (Details) ¥ / shares in Units, $ in Millions, ¥ in Billions | Oct. 23, 2018USD ($) | Oct. 23, 2018JPY (¥) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Jul. 01, 2018USD ($) | Jun. 30, 2019USD ($) | Jul. 01, 2018USD ($) | Apr. 01, 2019USD ($) | Jan. 17, 2019¥ / shares | Jan. 16, 2019 | Dec. 30, 2018USD ($) | Oct. 22, 2018 |
Business Acquisition [Line Items] | ||||||||||||
Payments to acquire businesses | $ 5,346 | $ 222 | ||||||||||
Contingent consideration | $ 1,479 | 1,479 | $ 335 | |||||||||
Goodwill | 33,661 | 33,661 | 30,453 | |||||||||
Other (income) expense, net | 1,683 | $ (364) | $ 1,705 | $ (424) | ||||||||
Weighted average useful life | 15 years 3 months 18 days | |||||||||||
Auris Health | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Payments to acquire businesses | 3,400 | |||||||||||
Contingent consideration | $ 2,350 | |||||||||||
Intangible assets | 3,000 | |||||||||||
Goodwill | 2,000 | |||||||||||
Marketable securities | 200 | |||||||||||
Current liabilities | 1,800 | |||||||||||
Noncurrent liability, contingent consideration | $ 1,100 | |||||||||||
Discount rate | 10.00% | |||||||||||
Ci:z Holdings Co. Ltd. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Intangible assets | 1,500 | $ 1,500 | ||||||||||
Goodwill | 1,200 | 1,200 | ||||||||||
Current liabilities | 500 | 500 | ||||||||||
Business acquisition cost | $ 2,100 | ¥ 230 | ||||||||||
Foreign exchange rate | 109.06 | |||||||||||
Share price (in dollars per share) | ¥ / shares | ¥ 5,900 | |||||||||||
Percentage of voting interests acquired | 20.00% | |||||||||||
Other (income) expense, net | $ 300 | |||||||||||
Adjustments made to intangible assets | 100 | 100 | ||||||||||
AdvancedSterilizationProducts | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Gain (loss) on disposition of business | 2,000 | |||||||||||
Discontinued Operations, Held-for-sale or Disposed of by Sale | AdvancedSterilizationProducts | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Disposal group consideration | $ 2,800 | |||||||||||
Disposal group consideration, cash | 2,700 | |||||||||||
Receivables retained | $ 100 | |||||||||||
Assets held for sale, current | 200 | |||||||||||
Discontinued Operations, Held-for-sale or Disposed of by Sale | Supply Chain | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Assets held for sale, current | $ 200 | $ 200 | $ 300 | |||||||||
Minimum | Auris Health | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Probability of success factor | 55.00% | |||||||||||
Maximum | Auris Health | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Probability of success factor | 95.00% |
Legal Proceedings (Details)
Legal Proceedings (Details) $ in Billions | 6 Months Ended |
Jun. 30, 2019USD ($)patientclaimant | |
ASR | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 1,500 |
Pinnacle Acetabular Cup System | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 10,500 |
Pelvic Meshes | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 24,800 |
Risperdal | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 13,400 |
XARELTO® | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 31,700 |
Talc | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 15,500 |
Invokana | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 1,000 |
Physiomesh [Member] | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 2,900 |
Opiods | |
Legal Proceeding (Textuals) | |
Product Liability Contingency Number Of Claimants | 2,000 |
DePuy ASR U.S. | settled litigation | |
Legal Proceeding (Textuals) | |
Number of patients in settlement | patient | 10,000 |
Damages from Product Defects | Baby Powder | Judicial Ruling | |
Legal Proceeding (Textuals) | |
Litigation contingency | $ | $ 4.7 |
Restructuring - Narrative (Deta
Restructuring - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 57 | $ 57 | $ 93 | $ 99 |
Supply Chain | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 142 | 232 | ||
Restructuring charges recorded to date | 500 | 500 | ||
Supply Chain | Cost of products sold | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 38 | 61 | ||
Supply Chain | Other (income) expense | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 47 | 78 | ||
Supply Chain | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring estimated cost | 1,900 | 1,900 | ||
Cost savings expected | 600 | 600 | ||
Supply Chain | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring estimated cost | 2,300 | 2,300 | ||
Cost savings expected | 800 | 800 | ||
Medical Devices | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 232 | |||
Medical Devices | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 100 | $ 100 | $ 100 | $ 200 |
Medical Devices | Supply Chain | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Period for activity | 4 years | |||
Medical Devices | Supply Chain | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Period for activity | 5 years |
Restructuring - Schedule of Res
Restructuring - Schedule of Restructuring Reserve (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Jun. 30, 2019 | Jul. 01, 2018 | |
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | $ 57 | $ 57 | $ 93 | $ 99 |
Period of cash outlays for severance expected to be paid out | 2 years | |||
Medical Devices | ||||
Restructuring Reserve [Roll Forward] | ||||
Reserve balance beginning | $ 242 | |||
Restructuring charges | 232 | |||
Payments for Restructuring | (211) | |||
Restructuring Reserve, Settled without Cash | (61) | |||
Reserve balance ending | 202 | 202 | ||
Medical Devices | Employee Severance | ||||
Restructuring Reserve [Roll Forward] | ||||
Reserve balance beginning | 194 | |||
Restructuring charges | 0 | |||
Payments for Restructuring | (7) | |||
Restructuring Reserve, Settled without Cash | 0 | |||
Reserve balance ending | 187 | 187 | ||
Medical Devices | Asset Write-off | ||||
Restructuring Reserve [Roll Forward] | ||||
Reserve balance beginning | 0 | |||
Restructuring charges | 61 | |||
Payments for Restructuring | 0 | |||
Restructuring Reserve, Settled without Cash | (61) | |||
Reserve balance ending | 0 | 0 | ||
Medical Devices | Other Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Reserve balance beginning | 48 | |||
Restructuring charges | 171 | |||
Payments for Restructuring | (204) | |||
Restructuring Reserve, Settled without Cash | 0 | |||
Reserve balance ending | $ 15 | $ 15 |