Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 21, 2022 | Jun. 30, 2021 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Transition Report | false | ||
Entity File Number | 1-4858 | ||
Entity Registrant Name | INTERNATIONAL FLAVORS & FRAGRANCES INC | ||
Entity Central Index Key | 0000051253 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Incorporation, State or Country Code | NY | ||
Entity Tax Identification Number | 13-1432060 | ||
Entity Address, Address Line One | 521 West 57th Stree | ||
Entity Address, City or Town | New York | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 10019-2960 | ||
City Area Code | 212 | ||
Local Phone Number | 765-5500 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
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 | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 37,208,150,825 | ||
Entity Common Stock, Shares Outstanding | 254,684,699 | ||
Documents Incorporated by Reference | Portions of the registrant’s proxy statement for the 2022 Annual Meeting of Shareholders (the “IFF 2022 Proxy Statement”) are incorporated by reference in Part III of this Form 10-K. | ||
Other Address | |||
Entity Information [Line Items] | |||
Entity Address, Address Line One | 200 Powder Mill Road | ||
Entity Address, City or Town | Wilmington | ||
Entity Address, State or Province | DE | ||
Entity Address, Postal Zip Code | 19803-2907 | ||
Common stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock, par value 12 1/2¢ per share | ||
Trading Symbol | IFF | ||
Security Exchange Name | NYSE | ||
1.750% Senior Notes Due 2024 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.750% Senior Notes due 2024 | ||
Trading Symbol | IFF 24 | ||
Security Exchange Name | NYSE | ||
1.800% Senior Notes Due 2026 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.800% Senior Notes due 2026 | ||
Trading Symbol | IFF 26 | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | New York, New York |
Auditor Firm ID | 238 |
CONSOLIDATED STATEMENT OF INCOM
CONSOLIDATED STATEMENT OF INCOME AND COMPREHENSIVE INCOME - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | |||
Net sales | $ 11,656 | $ 5,084 | $ 5,140 |
Cost of goods sold | 7,921 | 2,998 | 3,027 |
Gross profit | 3,735 | 2,086 | 2,113 |
Research and development expenses | 629 | 357 | 346 |
Selling and administrative expenses | 1,749 | 949 | 876 |
Restructuring and other charges | 41 | 17 | 30 |
Amortization of acquisition-related intangibles | 732 | 193 | 193 |
(Gains) losses on sale of fixed assets | (1) | 4 | 3 |
Operating profit | 585 | 566 | 665 |
Interest expense | 289 | 132 | 138 |
Other income, net | (58) | (7) | (30) |
Income before taxes | 354 | 441 | 557 |
Provision for income taxes | 75 | 74 | 97 |
Net income | 279 | 367 | 460 |
Net income attributable to noncontrolling interests | 9 | 4 | 4 |
Net income available to IFF common shareholders | 270 | 363 | 456 |
Other comprehensive income (loss): | |||
Foreign currency translation adjustments | (848) | 88 | 24 |
Gains (losses) on derivatives qualifying as hedges | 8 | (9) | (3) |
Pension and postretirement liability adjustment | 115 | (60) | (36) |
Comprehensive income (loss) attributable to IFF stockholders | $ (455) | $ 382 | $ 441 |
Net income per share - basic (in dollars per share) | $ 1.11 | $ 3.25 | $ 4.05 |
Net income per share - diluted (in dollars per share) | $ 1.10 | $ 3.21 | $ 4 |
Average number of shares outstanding - basic (in shares) | 243 | 112 | 112 |
Average number of shares outstanding - diluted (in shares) | 243 | 114 | 113 |
Other Comprehensive Income (Loss), Net of Tax | $ (725) | $ 19 | $ (15) |
CONSOLIDATED BALANCE SHEET
CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Current Assets: | ||
Cash and cash equivalents | $ 711 | $ 650 |
Restricted cash | 4 | 7 |
Receivables: | ||
Trade | 1,952 | 950 |
Allowance for doubtful accounts | (46) | (21) |
Inventories | 2,516 | 1,132 |
Prepaid expenses and other current assets | 728 | 342 |
Total Current Assets | 6,987 | 3,060 |
Property, plant and equipment, net | 4,368 | 1,458 |
Goodwill | 16,414 | 5,593 |
Other intangible assets, net | 10,506 | 2,727 |
Operating lease right-of-use assets | 767 | 299 |
Other assets | 616 | 418 |
Total Assets | 39,658 | 13,555 |
Current Liabilities: | ||
Bank borrowings, overdrafts and current portion of long-term debt | 308 | 634 |
Commercial Paper | 324 | 0 |
Accounts payable | 1,532 | 556 |
Accrued payroll and bonus | 335 | 133 |
Dividends payable | 201 | 82 |
Other current liabilities | 832 | 499 |
Total Current Liabilities | 3,633 | 1,904 |
Other Liabilities: | ||
Long-term debt | 10,768 | 3,779 |
Retirement liabilities | 385 | 326 |
Deferred income taxes | 2,518 | 593 |
Operating Lease, Liability, Noncurrent | 670 | 265 |
Other liabilities | 462 | 268 |
Total Other Liabilities | 14,803 | 5,231 |
Commitments and Contingencies (Note 19) | ||
Redeemable noncontrolling interests | 105 | 98 |
Shareholders’ Equity: | ||
Common stock 12 1/2¢ par value; 500,000,000 shares authorized; 275,726,629 and 128,526,137 shares issued as of December 31, 2021 and December 31, 2020, respectively; and 254,573,984 and 106,937,990 shares outstanding as of December 31, 2021 and December 31, 2020, respectively | 35 | 16 |
Capital in excess of par value | 19,826 | 3,853 |
Retained earnings | 3,641 | 4,156 |
Accumulated other comprehensive loss: | ||
Cumulative translation adjustments | (1,133) | (285) |
AOCI, Cash Flow Hedge, Cumulative Gain (Loss), after Tax | 1 | (7) |
Pension and postretirement liability adjustment | (291) | (406) |
Treasury stock, at cost (21,152,645 and 21,588,147 shares as of December 31, 2021 and December 31, 2020, respectively) | (997) | (1,017) |
Total Shareholders’ Equity | 21,082 | 6,310 |
Noncontrolling interest | 35 | 12 |
Total Shareholders’ Equity including Noncontrolling interest | 21,117 | 6,322 |
Total Liabilities and Shareholders’ Equity | 39,658 | 13,555 |
Disposal Group, Including Discontinued Operation, Assets, Current | 1,122 | 0 |
Disposal Group, Including Discontinued Operation, Liabilities, Current | $ 101 | $ 0 |
CONSOLIDATED BALANCE SHEET (Par
CONSOLIDATED BALANCE SHEET (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.125 | $ 0.125 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 275,726,629 | 128,526,137 |
Common stock, shares outstanding | 254,573,984 | 106,937,990 |
Treasury Stock, Shares | 21,152,645 | 21,588,147 |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 279 | $ 367 | $ 460 |
Adjustments to reconcile to net cash provided by operating activities: | |||
Depreciation and amortization | 1,156 | 325 | 323 |
Deferred income taxes | (236) | (68) | (59) |
(Gains) losses on sale of assets | (1) | 4 | 2 |
Stock-based compensation | 54 | 36 | 34 |
Pension contributions | (37) | (24) | (24) |
Changes in assets and liabilities, net of acquisitions: | |||
Trade receivables | (169) | (61) | 60 |
Inventories | (363) | 18 | (62) |
Accounts payable | 419 | 28 | 55 |
Accruals for incentive compensation | 96 | 44 | (22) |
Other current payables and accrued expenses | 4 | 57 | 5 |
Other assets/liabilities, net | (133) | (12) | (73) |
Net cash provided by operating activities | 1,437 | 714 | 699 |
Cash flows from investing activities: | |||
Cash paid for acquisitions, net of cash received | 0 | 0 | (49) |
Additions to property, plant and equipment | (393) | (192) | (236) |
Additions to intangible assets | (4) | 0 | (6) |
Proceeds from disposal of assets | 18 | 17 | 42 |
Proceeds from unwinding of cross currency swap derivative instruments | 0 | 0 | 26 |
Cash acquired from acquisition | 246 | 0 | 0 |
Proceeds from Divestiture of Businesses | 115 | 0 | 0 |
Contingent consideration paid | 0 | 0 | (5) |
Maturity of net investment hedges | 0 | (14) | 0 |
Proceeds from life insurance contracts | 0 | 2 | 2 |
Net cash used in investing activities | (18) | (187) | (226) |
Cash flows from financing activities: | |||
Cash dividends paid to shareholders | (667) | (323) | (314) |
Payments of Ordinary Dividends, Noncontrolling Interest | (2) | 0 | 0 |
Decrease in revolving credit facility and short term borrowing | (105) | 0 | (1) |
Deferred financing costs | (3) | (3) | 0 |
Repayments of long-term debt | (828) | (347) | (155) |
Purchases of redeemable noncontrolling interest | 0 | (22) | 0 |
Proceeds from issuance of long-term debt | (3) | (200) | 0 |
Contingent consideration paid | (14) | (9) | (24) |
Proceeds from issuance of stock in connection with stock options | 9 | 0 | 0 |
Employee withholding taxes paid | (21) | (8) | (11) |
Net cash used in financing activities | (1,304) | (512) | (505) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (59) | 21 | 7 |
Net change in cash, cash equivalents and restricted cash | 56 | 36 | (25) |
Cash, cash equivalents and restricted cash at beginning of year | 660 | 624 | 649 |
Cash, cash equivalents and restricted cash at end of year | 716 | 660 | 624 |
Supplemental Disclosures: | |||
Interest paid, net of amounts capitalized | 310 | 128 | 134 |
Income taxes paid | 289 | 133 | 126 |
Accrued capital expenditures | 117 | 41 | 39 |
Proceeds from Issuance of Commercial Paper | 324 | 0 | 0 |
Amortization Of Inventory Step-Up | $ 368 | $ 0 | $ 0 |
CONSOLIDATED STATEMENT OF CAS_2
CONSOLIDATED STATEMENT OF CASH FLOWS (Parenthetical) $ in Millions | Dec. 31, 2021USD ($) |
Statement of Cash Flows [Abstract] | |
Commercial paper with original maturities greater than 3 months | $ 75 |
CONSOLIDATED STATEMENT OF SHARE
CONSOLIDATED STATEMENT OF SHAREHOLDERS EQUITY - USD ($) $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common stock [Member] | Capital in excess of par value [Member] | Retained earnings [Member] | Retained earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Accumulated other comprehensive (loss) income [Member] | Accumulated other comprehensive (loss) income [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Treasury stock [Member] | Non-controlling interest [Member] |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Adoption of ASU | $ 6,043 | $ 16 | $ 3,794 | $ 3,956 | $ (702) | $ (1,031) | $ 10 | |||
Adoption of ASU | Accounting Standards Update 2017-12 [Member] | $ 0 | $ (1) | $ 1 | |||||||
Adoption of ASU | Accounting Standards Update 2016-02 [Member] | 23 | 23 | ||||||||
Common stock, shares issued | 128,526,137 | |||||||||
Treasury Stock, Shares | (21,906,935) | |||||||||
Beginning Balance at Dec. 31, 2018 | $ 6,043 | 16 | 3,794 | 3,956 | (702) | (1,031) | 10 | |||
Beginning Balance (Accounting Standards Update 2017-12 [Member]) at Dec. 31, 2018 | 0 | (1) | 1 | |||||||
Beginning Balance (Accounting Standards Update 2016-02 [Member]) at Dec. 31, 2018 | 23 | $ 23 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income | 460 | 456 | 4 | |||||||
Gains (losses) on derivatives qualifying as hedges, net of tax | (3) | (3) | ||||||||
Cumulative translation adjustment | 24 | $ 23 | $ 23 | |||||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Plan Amendments, Tax Effect | (36) | (36) | ||||||||
Pension liability and postretirement adjustment; net of tax | (36) | |||||||||
Cash dividends declared | (316) | (316) | ||||||||
Stock options/SSARs | 8 | 7 | $ 1 | |||||||
Stock options, shares | 14,346 | |||||||||
Vested restricted stock units and awards, value | (3) | (10) | $ 7 | |||||||
Vested restricted stock units and awards, shares | 153,751 | |||||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 34 | 34 | ||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (2) | 0 | (2) | |||||||
Redeemable NCI | (2) | (2) | ||||||||
Ending Balance at Dec. 31, 2019 | 6,229 | 16 | 3,823 | 4,118 | (717) | $ (1,023) | 12 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Adoption of ASU | $ 6,229 | 16 | 3,823 | 4,118 | (717) | (1,023) | 12 | |||
Common stock, shares issued | 128,526,137 | |||||||||
Treasury Stock, Shares | (21,738,838) | |||||||||
Net income | $ 364 | 363 | 1 | |||||||
Gains (losses) on derivatives qualifying as hedges, net of tax | (9) | (9) | ||||||||
Cumulative translation adjustment | 88 | 88 | ||||||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Plan Amendments, Tax Effect | (60) | (60) | ||||||||
Pension liability and postretirement adjustment; net of tax | (60) | |||||||||
Cash dividends declared | (325) | (325) | ||||||||
Stock options/SSARs | 3 | 0 | $ 3 | |||||||
Stock options, shares | 57,652 | |||||||||
Vested restricted stock units and awards, value | (5) | (8) | $ 3 | |||||||
Vested restricted stock units and awards, shares | 93,039 | |||||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 36 | 36 | ||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (1) | (1) | ||||||||
Redeemable NCI | 2 | 2 | ||||||||
Ending Balance at Dec. 31, 2020 | 6,322 | 16 | 3,853 | 4,156 | (698) | $ (1,017) | 12 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Adoption of ASU | $ 6,322 | 16 | 3,853 | 4,156 | (698) | (1,017) | 12 | |||
Common stock, shares issued | 128,526,137 | |||||||||
Treasury Stock, Shares | (21,588,147) | |||||||||
Net income | $ 273 | 270 | 3 | |||||||
Gains (losses) on derivatives qualifying as hedges, net of tax | 8 | 8 | ||||||||
Cumulative translation adjustment | (848) | (848) | ||||||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Plan Amendments, Tax Effect | 115 | 115 | ||||||||
Pension liability and postretirement adjustment; net of tax | 115 | |||||||||
Cash dividends declared | (785) | (785) | ||||||||
Stock options/SSARs | 11 | 4 | $ 7 | |||||||
Stock options, shares | 159,222 | |||||||||
Impact of N&B Merger | $ 15,976 | 18 | 15,936 | 22 | ||||||
Impact of Frutarom acquisition, shares | 141,740,461 | |||||||||
Vested restricted stock units and awards, value | $ (5) | (18) | $ 13 | |||||||
Vested restricted stock units and awards, shares | 276,280 | |||||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 54 | 54 | ||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (2) | (2) | ||||||||
Redeemable NCI | (2) | (2) | ||||||||
Ending Balance at Dec. 31, 2021 | $ 21,117 | 35 | 19,826 | 3,641 | (1,423) | $ (997) | 35 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Stock Issued During Period, Shares, Conversion of Units | 5,460,031 | |||||||||
Stock Issued During Period, Value, Conversion of Units | $ 0 | 1 | (1) | |||||||
Adoption of ASU | $ 21,117 | $ 35 | $ 19,826 | $ 3,641 | $ (1,423) | $ (997) | $ 35 | |||
Common stock, shares issued | 275,726,629 | |||||||||
Treasury Stock, Shares | (21,152,645) |
CONSOLIDATED STATEMENT OF SHA_2
CONSOLIDATED STATEMENT OF SHAREHOLDERS EQUITY (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | |||
Tax effect of pension liability and postretirement adjustment | $ (4) | $ (9) | $ (8) |
Cash dividends declared, per share | $ 3.12 | $ 3.04 | $ 2.96 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, Tax | $ (1) | $ 1 | $ (1) |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations International Flavors & Fragrances Inc. and its subsidiaries (the “Registrant,” “IFF,” “the Company,” “we,” “us” and “our”) is a leading creator and manufacturer of food, beverage, health & biosciences, scent and pharma solutions and complementary adjacent products, including cosmetic active and natural health ingredients, which are used in a wide variety of consumer products. Our products are sold principally to manufacturers of perfumes and cosmetics, hair and other personal care products, soaps and detergents, cleaning products, dairy, meat and other processed foods, beverages, snacks and savory foods, sweet and baked goods, sweeteners, dietary supplements, food protection, infant and elderly nutrition, functional food, and pharmaceutical excipients and oral care products. Basis of Presentation On February 1, 2021 (the “Closing Date”), the Company completed the combination (the “Merger”) of IFF and DuPont de Nemours, Inc (“DuPont”) nutrition and biosciences business (the “N&B Business”), which had been transferred to Nutrition and Biosciences, Inc., a Delaware corporation and wholly owned subsidiary of DuPont ("N&B") in a Reverse Morris Trust transaction. See Note 3 for additional information. As a result, the Company’s Consolidated Financial Statements for the period ended December 31, 2021 reflect the results of N&B from the Closing Date, whereas the Company’s Consolidated Financial Statements for the periods ended December 31, 2020 and 2019 do not. In the current year, the Company has changed its presentation from thousands to millions and, as a result, any necessary rounding adjustments have been made to prior year disclosed amounts. Certain reclassifications have been made to the prior periods’ financial information in order to conform to the current period’s presentation. Fiscal Year End Effective 2021, the Company changed its fiscal year end from a 52/53-week fiscal year ending on the Friday closest to the last day of the quarter, to a calendar year of the twelve-month period from January 1 to December 31. The Company elected to change its fiscal year end in connection with the Merger with N&B to align the Company’s fiscal year with N&B’s. The 2021 fiscal year was a 52 week period, the 2020 fiscal year was a 52 week period and the 2019 fiscal year was a 53 week period. The impact of the additional week in 2019 on revenue and net income was not material. For ease of presentation, December 31 is used consistently throughout the financial statements and notes to represent the period-end date. For the 2021, 2020 and 2019 fiscal years, the actual closing dates were December 31, January 1, and January 3, respectively. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and judgments that affect the amounts reported in the Consolidated Financial Statements and accompanying notes. The inputs into our judgments and estimates take into account the current economic implications of the novel coronavirus ("COVID-19") on our critical and significant accounting estimates, including estimates associated with future cash flows that are used in assessing the risk of impairment of certain long-lived assets. Actual results could differ from those estimates. Principles of Consolidation The consolidated financial statements include the accounts of International Flavors & Fragrances Inc. and those of its subsidiaries. Significant intercompany balances and transactions have been eliminated. To the extent a subsidiary is not wholly owned, any related noncontrolling interests are included as a separate component of Shareholders’ Equity. Revenue Recognition The Company recognizes revenue from contracts with customers when the contract or purchase order has received approval and commitment from both parties, has the rights of the parties and payment terms (which can vary by customer) identified, has commercial substance, and collectability of consideration is probable. In addition, the control of the promised goods is transferred to the customers in an amount that reflects the consideration it expects to be entitled to in exchange for those goods. Sales, value added, and other taxes the Company collects are excluded from revenues. The Company receives payment in accordance with standard customer terms. Sales are reduced, at the time revenue is recognized, for applicable discounts, rebates and sales allowances based on historical experience. Related accruals are included in Other current liabilities in the accompanying Consolidated Balance Sheets. The Company considers shipping and handling activities undertaken after the customer has obtained control of the related goods as a fulfillment activity. Net sales include shipping and handling charges billed to customers. Cost of goods sold includes all costs incurred in connection with shipping and handling. Contract Assets and Liabilities With respect to a small number of contracts for the sale of compounds, the Company has an “enforceable right to payment for performance to date” and as the products do not have an alternative use, the Company recognizes revenue for these contracts over time and records a contract asset using the output method. The output method recognizes revenue on the basis of direct measurements of the value to the customer of the goods or services transferred to date relative to the remaining goods or services promised under the contract. As of December 31, 2021 and 2020, the Company's gross accounts receivable was $1.952 billion and $950 million, respectively. The Company's contract assets and contract liabilities as of December 31, 2021 and 2020 were not material. Foreign Currency Translation The Company translates the assets and liabilities of non-U.S. subsidiaries into U.S. dollars at year-end exchange rates. Income and expense items are translated at average exchange rates during the year. Cumulative translation adjustments are shown as a separate component of Shareholders’ Equity. Research and Development Research and development (“R&D”) expenses relate to the development of new and improved products, technical product support and compliance with governmental regulation. All research and development costs are expensed as incurred. Cash and Cash Equivalents Cash and cash equivalents include highly liquid investments with maturities of three months or less at date of purchase. Restricted Cash Restricted cash is comprised of cash or cash equivalents which has been placed into an account that is restricted for a specific use and from which the Company cannot withdraw the cash on demand. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported in the Company's statement of cash flows periods ended December 31, 2021, 2020 and 2019 to the amounts reported in the Company's balance sheet as at December 31, 2021, 2020 and 2019. (DOLLARS IN MILLIONS) December 31, 2021 December 31, 2020 December 31, 2019 Current assets Cash and cash equivalents $ 711 $ 650 $ 607 Restricted cash 4 7 17 Noncurrent assets Restricted cash included in Other assets 1 3 — Cash, cash equivalents and restricted cash $ 716 $ 660 $ 624 Accounts Receivable The Company has certain factoring agreements in the U.S. and The Netherlands under which it can factor up to approximately $250 million of its trade receivables. The factoring agreements supplement the Company's existing factoring programs that are sponsored by certain customers. Under all of the arrangements, the Company sells the trade receivables on a non-recourse basis to unrelated financial institutions and accounts for the transactions as sales of receivables. The applicable receivables are removed from the Company's Consolidated Balance Sheets when the cash proceeds are received by the Company. The impact on cash provided by operations from participating in these programs was an increase of approximately $19 million, $43 million and $38 million in 2021, 2020 and 2019, respectively, compared to each respective prior year period. The cost of participating in these programs was approximately $6 million, $4 million, and $7 million in 2021, 2020, and 2019, respectively and is included as a component of interest expense. Inventories Inventories are stated at the lower of cost (on a weighted-average basis) or net realizable value. The Company's inventories consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 Raw materials $ 854 $ 566 Work in process 287 38 Finished goods 1,375 528 Total $ 2,516 $ 1,132 Leases During the year ended December 31, 2019, the Company adopted ASU No. 2016-02, “Leases (Topic 842),” which requires most leases to be recognized on the balance sheet. The Company adopted the standard using the modified retrospective approach with an effective date of December 29, 2018, the beginning of its 2019 fiscal year. Prior year financial statements were not recast. The Company elected various transition provisions available for expired or existing contracts, which allows the Company to carryforward historical assessments of (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The Company determines if an arrangement is a lease at contract inception. A lease exists when a contract conveys to the customer the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The definition of a lease embodies two conditions: (1) there is an identified asset in the contract that is land or a depreciable asset (i.e., property, plant, and equipment), and (2) the customer has the right to control the use of the identified asset. When the Company determines the arrangement is a lease, or contains a lease, at inception, it then determines whether the lease is an operating lease or a finance lease at the commencement date. The Company leases property and equipment, principally under operating leases. In accordance with ASU 2016-02, the Company records a right of use asset and related obligation at the present value of lease payments and, over the term of the lease, depreciates the right of use asset and accretes the obligation to future value. Some of the leases include rental escalation clauses, renewal options and/or termination options that are factored into the determination of lease payments when appropriate. The Company has elected not to separate non-lease components from lease components for all classes of leased assets. When available, the Company uses the rate implicit in the lease to discount lease payments to present value, however, most of the Company's leases do not provide a readily determinable implicit rate and the Company calculates the applicable incremental borrowing rate to discount the lease payments based on the term of the lease at lease commencement. The incremental borrowing rate is determined based on the Company's credit rating, currency and lease terms. Long-Lived Assets Property, Plant and Equipment Property, plant and equipment are recorded at cost. Depreciation is calculated on a straight-line basis, principally over the following estimated useful lives: buildings and improvements, 1 to 50 years; machinery and equipment, 1 to 40 years; information technology hardware and software, 1 to 23 years; and leasehold improvements which are included in buildings and improvements, the estimated life of the improvements or the remaining term of the lease, whichever is shorter. Finite-Lived Intangible Assets Finite-lived intangible assets include customer relationships, patents, trade names, technological know-how and other intellectual property valued at acquisition and amortized on a straight-line basis over the following estimated useful lives: customer relationships, 10 to 27 years; patents, 11 to 15 years; trade names, 4 to 28 years; and technological know-how, 5 to 28 years. The Company reviews long-lived assets for impairment when events or changes in business conditions indicate that their carrying value may not be recovered. An estimate of undiscounted future cash flows produced by an asset or group of assets is compared to the carrying value to determine whether impairment exists. If assets are determined to be impaired, the loss is measured based on an estimate of fair value using various valuation techniques, including a discounted estimate of future cash flows. Goodwill Goodwill represents the difference between the total purchase price and the fair value of identifiable assets and liabilities acquired in business acquisitions. The Company tests goodwill for impairment at the reporting unit level as of November 30 every year or more frequently if events or changes in circumstances indicate the asset might be impaired. A reporting unit is an operating segment or one level below an operating segment (referred to as a component) to which goodwill is assigned when initially recorded. The Company identifies their reporting units by assessing whether the components of their reporting segments constitute businesses for which discrete financial information is available and management of each reporting unit regularly reviews the operating results of those components. The Company has identified seven reporting units under the Nourish, Health & Biosciences, Scent and Pharma Solutions segments: (1) Nourish, (2) Fragrance Compounds, (3) Fragrance Ingredients, (4) Cosmetic Actives, (5) Health & Biosciences, (6) Microbial Control and (7) Pharma Solutions. These reporting units were determined based on the level at which the performance is measured and reviewed by segment management. In cases where the components of an operating segment have similar economic characteristics, they are aggregated into a single reporting unit. When testing goodwill for impairment, the Company has the option of first performing a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than the carrying amount. If the Company elects to bypass the qualitative assessment for any reporting units, or if a qualitative assessment indicates it is more likely than not that the estimated carrying value of a reporting unit exceeds its fair value, the Company performs a quantitative goodwill impairment test. Under the quantitative goodwill impairment test, if a reporting unit’s carrying amount exceeds its fair value, the Company will record an impairment charge based on that difference, and the impairment charge will be limited to the amount of goodwill allocated to that reporting unit. Income Taxes The Company accounts for taxes under the asset and liability method. Under this method, deferred income taxes are recognized for temporary differences between the financial statement and tax return bases of assets and liabilities, based on enacted tax rates and other provisions of the tax law. The effect of a change in tax laws or rates on deferred tax assets and liabilities is recognized as income in the period in which such change is enacted. Future tax benefits are recognized to the extent that the realization of such benefits is more likely than not, and a valuation allowance is established for any portion of a deferred tax asset that management believes may not be realized. The Company recognizes uncertain tax positions that it has taken or expects to take on a tax return. Pursuant to accounting requirements, the Company first determines whether it is “more likely than not” its tax position will be sustained if the relevant tax authority were to audit the position with full knowledge of all the relevant facts and other information. For those tax positions that meet this threshold, the Company measures the amount of tax benefit based on the largest amount of tax benefit that it has a greater than 50% chance of realizing in a final settlement with the relevant authority. Those tax positions failing to qualify for initial recognition are recognized in the first interim period in which they meet the more likely than not standard. The Company maintains a cumulative risk portfolio relating to all of its uncertainties in income taxes in order to perform this analysis, but the evaluation of its tax positions requires significant judgment and estimation in part because, in certain cases, tax law is subject to varied interpretation, and whether a tax position will ultimately be sustained may be uncertain. Interest and penalties related to unrecognized tax benefits are recognized as a component of income tax expense. Retirement Benefits Current service costs of retirement plans and postretirement health care and life insurance benefits are accrued. Prior service costs resulting from plan improvements are amortized over periods ranging from 10 to 20 years. Financial Instruments Derivative financial instruments are used to manage interest and foreign currency exposures. The gain or loss on the hedging instrument is recorded in earnings at the same time as the transaction being hedged is recorded in earnings. The associated asset or liability related to the open hedge instrument is recorded in Prepaid expenses and Other current assets or Other current liabilities, as applicable. The Company records all derivative financial instruments on the balance sheet at fair value. Changes in a derivative’s fair value are recognized in earnings unless specific hedge criteria are met. If the derivative is designated as a fair value hedge, the changes in the fair value of the derivative and of the hedged item attributable to the hedged risk are recognized in Net income. If the derivative is designated as a cash flow hedge, the effective portions of changes in the fair value of the derivative are recorded in Accumulated other comprehensive income ("AOCI") in the accompanying Consolidated Balance Sheets and are subsequently recognized in Net income when the hedged item affects earnings. Ineffective portions of changes in the fair value of cash flow hedges, if any, are recognized as a charge or credit to earnings. Software Costs The Company capitalizes direct internal and external development costs for certain significant projects associated with internal-use software and amortizes these costs over seven Net Income Per Share Under the two-class method, earnings are adjusted by accretion of amounts to redeemable noncontrolling interests recorded at redemption value. The adjustments represent in-substance dividend distributions to the noncontrolling interest holders as the holders have a contractual right to receive a specified amount upon redemption. As a result, earnings are adjusted to reflect this in-substance distribution that is different from other common shareholders. In addition, the Company has unvested share based payment awards with a right to receive nonforfeitable dividends and thus are considered participating securities which are required to be included in the computation of basic and diluted earnings per share. Basic earnings (loss) per share represents the amount of earnings for the period available to each share of common stock outstanding during the period. Basic earnings (loss) per share includes the effect of issuing shares of common stock assuming (i) the prepaid stock purchase contracts (“SPCs”) are converted into the minimum number of shares of common stock under the if-converted method, and (ii) an adjustment to earnings (loss) to reflect adjustments made to record the redeemable value of redeemable noncontrolling interests. Diluted earnings (loss) per share also includes the effect of issuing shares of common stock, assuming (i) stock options and warrants are exercised, (ii) restricted stock units are fully vested under the treasury stock method, and (iii) the incremental effect of the prepaid SPCs converted into the maximum number of shares of common stock under the if-converted method. Stock-Based Compensation Compensation cost of all stock-based awards is measured at fair value on the date of grant and recognized over the service period for which awards are expected to vest. The cost of such stock-based awards is principally recognized on a straight-line attribution basis over their respective vesting periods, net of estimated forfeitures. Financing Costs Costs incurred in the issuance of debt are deferred and amortized as part of interest expense over the stated life of the applicable debt instrument. Unamortized deferred financing costs relating to debt are presented as a reduction in the amount of debt outstanding on the Consolidated Balance Sheets. Unamortized deferred financing costs relating to the revolving credit facility are recorded in Other assets on the Consolidated Balance Sheets. Redeemable Noncontrolling Interests Noncontrolling interests in subsidiaries that are redeemable for cash or other assets outside of the Company’s control are classified as mezzanine equity, outside of equity and liabilities, at the greater of the carrying value or the redemption value. The increases or decreases in the estimated redemption amount are recorded with corresponding adjustments against Capital in excess of par value and are reflected in the computation of earnings per share using the two-class method. Recent Accounting Pronouncements In November 2021, the FASB issued Accounting Standards Update ("ASU") 2021-10, "Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance." The ASU requires annual disclosures about transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy. This guidance is effective for all entities for annual periods beginning after December 15, 2021 and early adoption is permitted. The Company is currently evaluating the impact of this guidance, but does not expect this guidance to have a material impact on its Consolidated Financial Statements. In October 2021, the FASB issued Accounting Standards Update ("ASU") 2021-08, "Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers." The ASU is intended to provide specific guidance on how to recognize and measure acquired contract assets and liabilities from revenue contracts in a business combination. An acquirer needs to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts. To achieve this, an acquirer may assess how the acquiree applied Topic 606 to determine what to record for the acquired revenue contracts. This guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, and early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of this guidance, but does not expect this guidance to have a material impact on its Consolidated Financial Statements. In March 2020, the FASB issued Accounting Standards Update ("ASU") 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The ASU is intended to simplify various aspects related to the cessation of reference rates in certain financial markets that would otherwise create modification accounting or changes in estimate. This guidance is effective for the period from March 12, 2020 to December 31, 2022. In January 2021, the FASB issued the subsequent amendment Accounting Standards Update ("ASU") 2021-01, "Reference Rate Reform (Topic 848): Scope" to the initial guidance. Alternative reference rates that are more observable or transaction based have been identified and are being transitioned to in numerous jurisdictions globally, such as a receive-variable-rate, pay-variable-rate cross currency interest rate swap. This guidance is effective immediately for all entities, but does not apply to any contract modifications or new hedging relationships entered into after December 31, 2022. This guidance was adopted and does not have a material impact on the Company's Consolidated Financial Statements. In October 2020, the FASB issued Accounting Standards Updates ("ASU") 2020-09, "Debt (Topic 470): Amendments to SEC Paragraphs Pursuant to SEC Release No. 33-10762" and 2020-10, "Codification Improvements." ASU 2020-09 is intended to amend and supersede various SEC paragraphs pursuant to the issuance of SEC Release No. 33-10762 and is effective on January 4, 2021. ASU 2020-10 is intended to improve the consistency of the FASB Accounting Standards Codification ("Codification") and clarify guidance by including all disclosure guidance in the appropriate Disclosure Section of the Codification to help reduce the likelihood that disclosure requirements would be missed. ASU 2020-10 is effective for fiscal years beginning after December 15, 2020, and early adoption is permitted for any annual or interim period within those fiscal years. The Company has determined that neither guidance will have an impact on its Consolidated Financial Statements and will have a minimal impact on its disclosures. In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes”, and intended to simplify various aspects related to accounting for income taxes. This guidance is effective for fiscal years beginning after December 15, 2020, and for interim periods within those fiscal years, with early adoption permitted. This guidance was adopted on January 2, 2021 and does not have a material impact on the Company's Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans (Subtopic 715-20)", which modifies the disclosure requirements on company-sponsored defined benefit plans. The ASU is effective for fiscal years beginning after December 15, 2020 on a retrospective basis to all periods presented. The Company has determined that this guidance will not have an impact on its Consolidated Financial Statements and will have a minimal impact on its disclosures. In June 2016, the FASB issued ASU 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", with subsequent amendments, which requires issuers to measure expected credit losses for financial assets based on historical experience, current conditions and reasonable and supportable forecasts. As such, an entity will use forward-looking information to estimate credit losses. The Company adopted the guidance effective the first day of its 2020 fiscal year and performed an evaluation of the applicable criteria, including the aging of its trade receivables, recent write-off history and other factors related to future macroeconomic conditions. As a result of the evaluation, the Company determined that no adjustment was required to the level of its allowances for bad debts or to the carrying value of any other financial asset. The Company is exposed to credit losses primarily through its sales of products. To determine the appropriate allowance for expected credit losses, the Company considers certain credit quality indicators, such as aging, collection history, and creditworthiness of debtors. Regional and Global Credit committees review and approve specific customer allowance reserves. The allowance for expected credit losses is primarily based on two factors: i) the aging of the different categories of trade receivables, and ii) a specific reserve for accounts identified as uncollectable. The Company also considers current and future economic conditions in the determination of the allowance. At December 31, 2021, the Company reported $1.906 billion of trade receivables, net of allowances of $46 million. Based on the aging analysis as of December 31, 2021, approximately 91% of our accounts receivable were current based on the payment terms of the invoice. Receivables that are past due by over 365 days account for approximately 1% of our accounts receivable. The following is a rollforward of the Company's allowances for bad debts for the year of 2021: (DOLLARS IN MILLIONS) Allowance for Bad Debts Balance at December 31, 2020 $ 21 Bad debt expense 6 Write-offs (1) Other adjustments (1) 20 Balance at December 31, 2021 $ 46 _______________________ (1) The adjustment to allowances for bad debts was a result of purchase price allocation related to the Merger with N&B. |
Restructuring and Other Charges
Restructuring and Other Charges | 12 Months Ended |
Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Charges | RESTRUCTURING AND OTHER CHARGES Restructuring and other charges primarily consist of separation costs for employees including severance, outplacement and other benefit ("Severance") costs as well as costs related to plant closures, principally related to fixed assets write-downs ("Fixed asset write-down") and all other related restructuring ("Other") costs. All restructuring and other charges, net expenses are separately stated on the Consolidated Statements of Income and Comprehensive Income (Loss). Frutarom Integration Initiative In connection with the acquisition of Frutarom, the Company has been executing an integration plan that, among other initiatives, seeks to optimize its manufacturing network (the "Frutarom Integration Initiative"). As part of the Frutarom Integration Initiative, the Company now expects to close approximately 30 manufacturing sites with most of the closures targeted to occur by the end of 2022. Between 2019 and 2020, the Company completed the closure of 21 sites. During 2021, the Company completed the closure of one site. Since the inception of the initiative through 2021, the Company has expensed $37 million. Total costs for the program are expected to be approximately $42 million including cash and non-cash charges through 2022. 2019 Severance Program During 2019, the Company incurred severance charges related to approximately 190 headcount reductions, excluding those previously mentioned under the Frutarom Integration Initiative. The headcount reductions primarily related to the Scent business unit with additional amounts related to headcount reductions in all business units associated with the establishment of a new shared service center in Europe. Since the inception of the program, the Company has expensed approximately $20 million. As of December 31, 2021, the program is largely complete. 2017 Productivity Program In connection with 2017 Productivity Program, the Company recorded $24 million of charges related to personnel costs and lease termination costs since the program's inception. As of December 31, 2021, the program is completed. Other Restructuring Charges Between 2020 and 2021, the Company incurred charges of approximately $4 million, primarily related to the severance costs in connection with the closure of a facility in Germany. N&B Merger Restructuring Liability For 2021, the Company incurred approximately $30 million of charges primarily related to severance for approximately 200 headcount reductions that have occurred in 2021. Changes in Restructuring Liability Movements in severance-related accruals during 2019, 2020 and 2021 are as follows: (DOLLARS IN MILLIONS) Balance at January 1, 2019 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2019 2017 Productivity Program Severance $ 4 $ (2) $ — $ (1) $ 1 Other (1) 1 — — (1) — Frutarom Integration Initiative Severance — 6 — (2) 4 Fixed asset write down — 1 (1) — — Other (1) — 4 — (1) 3 2019 Severance Program Severance — 21 — (8) 13 Total restructuring $ 5 $ 30 $ (1) $ (13) $ 21 (DOLLARS IN MILLIONS) Balance at January 1, 2020 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2020 2017 Productivity Program Severance $ 1 $ (1) $ — $ — $ — Frutarom Integration Initiative Severance 4 2 — (3) 3 Fixed asset write down — 12 (12) — — Other (1) 3 2 — (2) 3 2019 Severance Program Severance 13 (1) — (6) 6 Other Restructuring Charges Severance — 3 — (1) 2 Total restructuring $ 21 $ 17 $ (12) $ (12) $ 14 (DOLLARS IN MILLIONS) Balance at January 1, 2021 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2021 Frutarom Integration Initiative Severance $ 3 $ 5 $ — $ (3) $ 5 Fixed asset write down — 5 (5) — — Other (1) 3 — — — 3 2019 Severance Program Severance 6 — — (1) 5 Other Restructuring Charges Severance 2 — — (1) 1 Other (2) — 1 — (1) — N&B Merger Restructuring Liability Severance — 27 — (12) 15 Other (3) — 3 (3) — — Total restructuring $ 14 $ 41 $ (8) $ (18) $ 29 _______________________ (1) Includes supplier contract termination costs, consulting and advisory fees. (2) Includes charges related to legal settlement costs. (3) Includes lease impairment charges incurred from the Merger with N&B. Charges by Segment The following table summarizes the total amount of costs incurred in connection with these restructuring programs by segment: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Nourish $ 32 $ 10 $ 17 Health & Biosciences 5 — 1 Scent 3 7 12 Pharma Solutions 1 — — Total Restructuring and other charges $ 41 $ 17 $ 30 |
Acquisitions (Notes)
Acquisitions (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | ACQUISITIONS Transaction with Nutrition & Biosciences, Inc. On February 1, 2021, IFF completed the Merger with N&B. Pursuant to the transaction related agreements, DuPont transferred its N&B Business to N&B, a wholly-owned subsidiary of DuPont, and N&B merged with and into a wholly owned subsidiary of IFF in exchange for 141,740,461 shares of IFF common stock, par value $0.125 per share (“IFF Common Stock”). The Company completed its Merger with N&B in a Reverse Morris Trust transaction (the “Transactions”), pursuant to which the Company acquired the N&B Business of DuPont. In the Transactions, among other steps (i) DuPont transferred the N&B Business to N&B (the “Separation”); (ii) N&B made a cash distribution to DuPont of approximately $7.359 billion, subject to certain adjustments (the “Special Cash Payments”); (iii) DuPont distributed to its stockholders all of the issued and outstanding shares of N&B common stock by way of an exchange offer (the “Distribution”), and; (iv) N&B merged with and into a wholly owned subsidiary of IFF. As a result of the Merger, the existing shares of N&B common stock were automatically converted into the right to receive a number of shares of IFF Common Stock. Immediately after the Merger, holders of DuPont’s common stock that received shares of N&B common stock in the Distribution owned approximately 55.4% of the outstanding shares of IFF Common Stock on a fully diluted basis and existing holders of IFF Common Stock owned approximately 44.6% of the outstanding shares of IFF on a fully diluted basis. The Merger was accounted for using the purchase method of accounting in accordance with ASC Topic 805, Business Combinations, with IFF identified as the acquirer. As a result of the Merger, N&B’s assets, liabilities and the operating results of N&B were included in the Company’s financial statements from the Closing Date. N&B contributed net sales of approximately $6.084 billion and net income of approximately $11 million for the year ended December 31, 2021, which includes the effects of purchase accounting adjustments, primarily related to changes in amortization of intangible assets, depreciation of property, plant and equipment and amortization of stepped up inventory. Prior to the Distribution, N&B incurred new indebtedness in the form of term loans and senior notes in an aggregate principal amount of $7.500 billion to pay the Special Cash Payments made to DuPont stockholders. See Note 9 for additional information regarding the new term loans and senior notes incurred by N&B and subsequently assumed by IFF. Purchase Price The following table summarizes the aggregate purchase price consideration paid to acquire N&B (in millions, except share and per share data): (DOLLARS IN MILLIONS) Fair value of common stock issued to DuPont stockholders (1) $ 15,929 Fair value attributable to pre-merger service for replacement equity awards (2) 25 Pension funding adjustment (3) (12) Total purchase consideration $ 15,942 _______________________ (1) The fair value of common stock issued to DuPont stockholders represents 141,740,461 shares of the Company's common stock determined based on the number of fully diluted shares of IFF common stock, immediately prior to the Closing Date, multiplied by the quotient of 55.4%/44.6% and IFF common stock closing share price of $112.38 on the New York Stock Exchange on the Closing Date. (2) At the time of the Transactions, each outstanding stock option, cash-settled stock appreciation right (“SAR”), restricted stock unit (“RSU”) award, and restricted stock award (“RSA”) with respect to DuPont common stock held by employees of N&B were canceled and converted into similar classes of equity awards of IFF’s Class A Common Stock. Further, each outstanding Performance Share Unit (“PSU”) award with respect to DuPont common stock held by employees of N&B were canceled and converted into IFF’s RSU awards. The conversion was based on the ratio of the volume-weighted average per share closing price of DuPont stock on the twenty trading days prior to the Closing Date and IFF’s stock on the twenty trading days following the Closing Date. The fair value of replacement equity-based awards attributable to pre-Merger service was recorded as part of the consideration transferred in the Merger (see Note 13 for additional information). (3) The Merger related agreements provided that if the net pension balance of N&B as of the Closing Date differs from $220 million, such differential amount will be settled in cash. The Company has estimated the amount that it will receive and, accordingly, made an adjustment of $12 million to the total purchase consideration. Purchase Price Allocation The Merger with N&B was accounted for under the acquisition method under which the Company allocated the purchase consideration to the tangible net assets and identifiable assets acquired based on estimated fair values at the Closing Date, and recorded the excess of consideration over the fair values of net assets acquired as goodwill. The purchase price allocation was finalized as of the end of 2021 when the Company finalized the valuation of the acquired property, plant and equipment, goodwill, intangible assets (trade names, customer relationships, IPR&D, and technological know-how), inventory and leases, in addition to ensuring all other assets and liabilities and contingencies have been identified and recorded. Further, the assessment of certain contingencies including loss contracts and environmental liabilities, pension and postretirement benefit obligations and taxes has been completed. Additionally, in connection with finalizing the purchase price allocation, the Company finalized the projected combined future tax rate to be applied to the valuation of assets and recorded the applicable adjustments to the values of goodwill and intangible assets. The following table summarizes the fair values of the assets acquired and liabilities assumed as of February 1, 2021, presenting both the preliminary and final purchase price allocations: (DOLLARS IN MILLIONS) Preliminary Estimated Fair Value as Reported in the First Quarter of 2021 Measurement Period Adjustments (1)(2) As Reported in the Fourth Quarter of 2021 Cash and cash equivalents $ 207 $ (14) $ 193 Receivables 962 (9) 953 Inventory 1,615 (25) 1,590 Prepaid expenses and other current assets 342 32 374 Property, plant and equipment 3,242 (176) 3,066 Deferred income taxes 75 8 83 Intangible assets 9,176 47 9,223 Other assets 702 116 818 Accounts payable and accrued liabilities (1,028) (51) (1,079) Accrued payroll and employee benefits (163) 15 (148) Deferred tax liabilities (3) (2,369) (26) (2,395) Long-term debt (7,636) — (7,636) Other long-term liabilities (907) 12 (895) Total identifiable net assets assumed 4,218 (71) 4,147 Non-controlling interest (26) 4 (22) Goodwill (4) 11,762 55 11,817 Purchase price $ 15,954 $ (12) $ 15,942 _______________________ (1) The preliminary fair value purchase price allocation of the assets and liabilities acquired in the N&B Merger as reported in the first quarter of 2021 were updated during the nine months ended December 31, 2021 to reflect updated fair values for intangible assets, property, plant and equipment, equity method investments and inventory. In addition, the carrying amounts of certain assets and liabilities were updated based on additional analysis of acquired assets and liabilities that existed at the Closing Date. (2) During the fourth quarter of 2021, the Company recorded an adjustment to reflect the receipt of approximately $53 million in cash from DuPont as a result of finalization of adjustments to the Special Cash Payment paid to DuPont by N&B, prior to the close of the Transactions. (3) The change to deferred tax liabilities was primarily a result of the finalization of the jurisdictional allocation of the tangible and intangible assets. All measurement period adjustments were offset against goodwill. (4) The cumulative impact of the adjustments during the nine months ended December 31, 2021 resulted in a $55 million increase to goodwill. Acquired inventory is comprised of finished goods, work in process and raw materials. The fair value of finished goods was calculated as the estimated selling price, adjusted for costs of the selling effort and a reasonable profit allowance relating to the selling effort. The fair value of work in process inventory was primarily calculated as the estimated selling price, adjusted for estimated costs to complete the manufacturing, estimated costs of the selling effort, as well as a reasonable profit margin on the remaining manufacturing and selling effort. The fair value of raw materials and supplies was determined based on replacement cost which approximates historical carrying value. The fair value step-up has been amortized to “Cost of goods sold” in the Consolidated Statements of Income and Comprehensive Income (Loss) as the inventory was sold. The fair value of property, plant and equipment was primarily calculated using the cost approach, which determines the replacement costs for the assets and adjusts it for their age and condition. The fair value of the land assets was determined via the sales comparison approach. The long-term debt assumed is comprised of a Term Loan Facility and Notes. The fair value of the Notes was determined on the basis of unadjusted quoted prices on an over-the-counter market. The fair value of the long-term debt assumed as part of the Term Loan Facility is based on the total indebtedness at the time of closing the Merger. See Note 9 for additional information regarding the new term loans and senior notes incurred by N&B and subsequently assumed by IFF. The Company has recognized $11.817 billion of goodwill to date in connection with the N&B Merger, which is in part attributable to expected synergies generated by the integration of N&B including cross-selling benefits as well as cost synergies. Substantially all of the goodwill is not deductible for income tax purposes. Goodwill of $2.900 billion, $6.712 billion, $876 million and $1.329 billion has been allocated to the Nourish, Health & Biosciences, Scent and Pharma Solutions segments, respectively. The fair value and useful lives of the identifiable intangible assets assumed as of February 1, 2021 are as follows: (DOLLARS IN MILLIONS) Amounts Useful Lives Indefinite lived intangible assets In-process research and development $ 13 Indefinite Finite lived intangible assets Trade names 261 4 to 22 years Customer relationships 6,734 11 to 27 years Technological know-how 2,194 5 to 18 years Other 21 2 years Total finite lived intangible assets 9,210 Total $ 9,223 The fair value of intangible assets is generally determined using an income method (specifically, for customer relationships, the multi-period excess earnings method), which is based on forecasts of the expected future cash flows attributable to the respective assets. Significant estimates and assumptions inherent in the valuations reflect a consideration of other market participants, and include the amount and timing of future cash flows (including revenue growth rates, gross margins and operating expenses), royalty rates used in the relief from royalty method, customer attrition rates, product obsolescence factors, a brand’s relative market position and the discount rates applied to the cash flows. Unanticipated market or macroeconomic events and circumstances may occur, which could affect the accuracy or validity of the estimates and assumptions. Determining the useful life of an intangible asset also requires significant judgment. Trade names, customer relationships and technological know-hows are expected to have finite lives. The costs of finite-lived intangible assets are amortized through expense over their estimated lives. Lease liabilities, included in “Other current liabilities” and “Operating lease liabilities” in the Consolidated Balance Sheets, at the Closing Date, are remeasured at the present value of the future minimum lease payments over the remaining lease term and the incremental borrowing rate of the Company as if the acquired leases were new leases as of the Closing Date. Right-of-use assets included in "Operating lease right-of-use assets" in the Consolidated Balance Sheets as of the Closing Date, are equal to the amount of the lease liability at the Closing Date, adjusted for any fair value adjustments for off-market leases. The Company reviewed the acquired leases and applied a $15 million adjustment to reflect off-market leases. The remaining lease term is based on the remaining term at the Closing Date plus any renewal or extension options that the Company is reasonably certain will be exercised. Net defined benefit plan liabilities were recognized based on appropriate actuarial assumptions and asset valuations as of the Closing Date and, accordingly, liabilities of approximately $221 million were recorded. The Company accrued approximately $75 million related to certain product liability and legal contingencies for which it was determined that a liability existed at the Closing Date. Of this amount, approximately $61 million was related to the finding of certain grades of microcrystalline cellulose (Avicel® PH 101, 102, and 200 NF and Avicel® RC-591 NF) being out-of-specification. See Note 19 for additional information. The deferred income tax assets and liabilities include the expected future federal, state and foreign tax consequences associated with temporary differences between the fair values of the assets acquired and liabilities assumed and the respective tax bases. Tax rates utilized in calculating deferred income taxes generally represent the enacted statutory tax rates at the effective date of the Merger in the jurisdictions in which legal title of the underlying asset or liability resides. See Note 10 for additional information related to income taxes. The Company incurred transaction-related costs of approximately $91 million, $29 million and $21 million in 2021, 2020 and 2019, respectively. The transaction-related costs primarily consisted of merger and acquisition advisory, legal and professional fees in 2021 and legal and professional fees in 2020 and 2019. Pro Forma Financial Information The following unaudited pro forma financial information presents the combined results of operations of IFF and N&B as if the Merger had been completed as of the prior fiscal year, or January 1, 2020. The unaudited pro forma financial information is presented for informational purposes and is not indicative of the results of operations that would have been achieved if the Merger and related borrowings had taken place on January 1, 2020, nor are they indicative of future results. The unaudited pro forma financial information for the year ended December 31, 2021 includes IFF results, including the post-Merger results of N&B, since February 1, 2021, and pre-Merger results of N&B for the period January 1, 2021 through January 31, 2021. The unaudited pro forma results for the year ended December 31, 2021 and 2020 were as follows: Year Ended December 31, (DOLLARS IN MILLIONS) 2021 2020 Unaudited pro forma net sales $ 12,163 $ 11,143 Unaudited pro forma net income attributable to the Company 687 192 The unaudited pro forma results for all periods include adjustments made to account for certain costs and transactions that would have been incurred had the Merger been completed as of January 1, 2020, including amortization charges for acquired intangibles assets, adjustments for transaction costs, adjustments for depreciation expense for property, plant and equipment, inventory step-up and adjustments to interest expense. These adjustments are net of any applicable tax impact and were included to arrive at the pro forma results above. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, Plant and Equipment, Net | PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment consisted of the following amounts: (DOLLARS IN MILLIONS) December 31, 2021 2020 Asset Type Land $ 223 $ 84 Buildings and improvements 1,764 932 Machinery and equipment 3,442 1,525 Information technology 271 251 Construction in process 461 136 Total Property, Plant and Equipment 6,161 2,928 Accumulated depreciation (1,793) (1,470) Total Property, Plant and Equipment, Net $ 4,368 $ 1,458 Depreciation expense was $424 million, $132 million and $130 million for the years ended December 31, 2021, 2020 and 2019, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets, Net | GOODWILL AND OTHER INTANGIBLE ASSETS, NET Goodwill In the first quarter of 2021, in connection to the Merger, the Company reorganized its reporting structure. In connection with this reorganization, goodwill was reassigned among reporting units using a relative fair value approach based on the fair value of the elements transferred and the fair value of the elements remaining within the original reporting units. The Company tested goodwill for impairment on a pre-reorganization basis and determined there was no impairment for the affected reporting units. In connection with the reorganization, $985 million of goodwill previously included in the legacy Taste segment, now the Nourish segment, was moved to the Scent and Health & Biosciences segments amounting to $257 million and $728 million, respectively. Movements in goodwill attributable to each reportable segment during the years ended December 31, 2020 and 2021 were as follows: (DOLLARS IN MILLIONS) Nourish Health & Biosciences Scent Pharma Solutions Total Balance at December 31, 2019 $ 4,873 $ — $ 624 $ — $ 5,497 Measurement period adjustment (1) (15) — — — (15) Foreign exchange 86 — 25 — 111 Reallocation (85) — 85 — — Balance at December 31, 2020 4,859 — 734 — 5,593 Acquisitions (2) 2,900 6,712 876 1,329 11,817 Transferred to assets held for sale — (536) — — (536) Reduction from business divestiture (27) — — — (27) Foreign exchange (192) (155) (39) (47) (433) Reallocation (985) 728 257 — — Balance at December 31, 2021 $ 6,555 $ 6,749 $ 1,828 $ 1,282 $ 16,414 _______________________ (1) Measurement period adjustments relate to the 2019 Acquisition Activity. (2) Acquisitions relate to the Merger with N&B. See Note 3 for additional information. Annual Goodwill Impairment Test For the annual impairment test as of November 30, 2021, the Company utilized Step 0 of the guidance in ASC Topic 350, Intangibles – Goodwill and Other, which allows for the assessment of qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If, based on a review of qualitative factors, it is more likely than not that the fair value of a reporting unit is less than its carrying value, a quantitative impairment test is performed by comparing the fair value of a reporting unit with its carrying amount. Based on a review of qualitative factors, the Company determined that for four of the reporting units, a quantitative (Step 1) impairment analysis was not necessary to determine if the carrying values of the reporting unit exceeded their fair values. For the other three reporting units (Nourish, Health & Biosciences and Pharma Solutions), the Company determined that a Step 1 test was necessary. The Company assessed the fair value of the reporting units primarily using an income approach. Under the income approach, the Company determines the fair value by using a discounted cash flow method at a rate of return that reflects the relative risk of the projected future cash flows of each reporting unit, as well as a terminal value. The Company uses the most current actual and forecasted operating data available. Key estimates and assumptions used in these valuations include revenue growth rates and gross margins based on internal forecasts and historical operating trends of the Company, and discount rates. In performing the quantitative impairment test, the Company determined that the fair value of the three reporting units exceeded their carrying values and, taken together with the results of the qualitative test, we determined that there was no impairment of goodwill at any of the Company's seven reporting units in 2021. Based on the quantitative impairment test performed at November 30, 2021, the Company determined that the excess of fair values over their respective carrying values were 62%, 44% and 29% for the Nourish, Health & Biosciences and Pharma Solutions reporting units, respectively. If current long-term projections for these reporting units are not realized or materially decrease, the Company may be required to write-off all or a portion of the goodwill. Such charge could have a material effect on the Consolidated Statements of Operations and Balance Sheets. Other Intangible Assets Other intangible assets, net consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Asset Type Customer relationships $ 8,935 $ 2,728 Technological know-how 2,494 479 Trade names & patents 411 187 Other 50 38 Total carrying value 11,890 3,432 Accumulated Amortization Customer relationships (887) (470) Technological know-how (388) (168) Trade names & patents (68) (38) Other (41) (29) Total accumulated amortization (1,384) (705) Other intangible assets, net $ 10,506 $ 2,727 Amortization expense, which includes the amortization of all intangible assets, was $732 million for the year ended December 31, 2021 and $193 million for both the years ended December 31, 2020 and 2019. Amortization expense for the next five years and thereafter, based on valuations and determinations of useful lives, is expected to be as follows: December 31, (DOLLARS IN MILLIONS) 2022 2023 2024 2025 2026 Estimated future intangible amortization expense $ 758 $ 749 $ 748 $ 746 $ 743 |
Other Assets And Liabilities, C
Other Assets And Liabilities, Current and Noncurrent | 12 Months Ended |
Dec. 31, 2021 | |
Other Assets [Abstract] | |
Other Assets And Liabilities Disclosure, Current and Noncurrent | OTHER CURRENT ASSETS AND LIABILITIES, AND OTHER ASSETS Prepaid expenses and other current assets consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Value-added tax receivable $ 178 $ 93 Income tax receivable 131 100 Prepaid expenses 288 100 Other 131 49 Total $ 728 $ 342 Other assets consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Finance lease right-of-use assets $ 21 $ 8 Deferred income taxes 82 197 Overfunded pension plans 136 101 Cash surrender value of life insurance contracts 52 49 Equity method investments 86 5 Other (1) 239 58 Total $ 616 $ 418 _______________________ (1) Includes land usage rights in China and long term deposits. Other current liabilities consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Rebates and incentives payable $ 113 $ 64 Value-added tax payable 50 20 Interest payable 48 29 Current pension and other postretirement benefit obligation 11 13 Accrued insurance (including workers’ compensation) 10 11 Earn outs payable — 14 Restructuring and other charges 29 14 Current operating lease obligation 109 41 Current financing lease obligation 5 3 Accrued income taxes 94 42 Other accounts payable and accrued expenses payable 270 160 Other 93 88 Total $ 832 $ 499 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | DEBT Debt consisted of the following at December 31: (DOLLARS IN MILLIONS) Effective Interest Rate 2021 2020 2021 Euro Notes (1) 0.82 % $ — $ 368 2022 Notes (3) 0.69 % 300 — 2023 Notes (1) 3.30 % 300 299 2024 Euro Notes (1) 1.88 % 565 614 2025 Notes (3) 1.22 % 1,001 — 2026 Euro Notes (1) 1.93 % 900 978 2027 Notes (3) 1.56 % 1,218 — 2028 Notes (1) 4.57 % 397 397 2030 Notes (3) 2.21 % 1,511 — 2040 Notes (3) 3.04 % 775 — 2047 Notes (1) 4.44 % 494 494 2048 Notes (1) 5.12 % 786 786 2050 Notes (3) 3.21 % 1,572 — 2018 Term Loan Facility (1) 3.65 % — 240 2022 Term Loan Facility (1) 1.73 % — 199 2024 Term Loan Facility (3) 1.43 % 625 — 2026 Term Loan Facility (3) 1.82 % 625 — Amortizing Notes (1) 6.09 % — 36 Commercial Paper (4) — % 324 — Bank overdrafts and other 7 2 Total debt $ 11,400 $ 4,413 Less: Short term borrowings (2) (632) (634) Total Long-term debt $ 10,768 $ 3,779 _______________________ (1) Amount is net of unamortized discount and debt issuance costs. (2) Includes bank borrowings, overdrafts, current portion of long-term debt and commercial paper. (3) Assumed by the Company as part of the N&B Merger and recorded at fair value. (4) The effective interest rate of commercial paper issuances fluctuate as short-term interest rates and demand fluctuate, and deferred debt issuance costs are immaterial. Additionally, the effective interest rate of commercial paper is not meaningful as issuances do not materially differ from short-term interest rates. Proceeds from the issuance of commercial paper include $75 million of proceeds with original maturities greater than three months. Term Loan Facility and Senior Notes assumed as part of the N&B Merger Following the Merger, the Company assumed the indebtedness incurred by N&B in the debt financings completed prior to the Distribution. This indebtedness includes (i) a Term Loan Facility of $1.250 billion pursuant to the term loan credit agreement (the "N&B Term Loan Facility") and (ii) a series of Senior Notes in the aggregate amount of $6.250 billion with maturities ranging from 2 to 30 years as further described below. N&B’s indebtedness raised prior to the Merger was used to finance the Special Cash Payment to DuPont, which has been paid, and for the satisfaction of the related transaction fees and expenses. See Note 3 for additional information. N&B Term Loan Facility The N&B Term Loan Facility was funded on February 1, 2021, and provides for a senior unsecured term loan credit facility in an aggregate principal amount of $1.250 billion, comprised of a $625 million three-year tranche (“2024 Term Loan Facility”) and a $625 million five-year tranche (“2026 Term Loan Facility”). Interest for each tranche equals, at the Company’s option, a per annum rate equal to either (x) an adjusted LIBOR rate plus an applicable margin varying from 0.750% to 2.000% for the three-year tranche and from 1.125% to 2.375% for the five-year tranche or (y) a base rate plus an applicable margin varying from 0.000% to 1.000% for the three-year tranche and from 0.125% to 1.375% for the five-year tranche, in each case depending on the class of IFF’s non-credit-enhanced, senior unsecured long-term debt credit rating. The 2024 Term Loan Facility and 2026 Term Loan Facility are subject to customary affirmative and negative covenants and events of default after the Closing Date of the Merger. The 2024 Term Loan Facility and 2026 Term Loan Facility are also subject to a financial covenant requiring maintenance of a maximum consolidated leverage ratio of 4.75x until and including the end of the third full fiscal quarter after the Closing Date of the Merger, stepping down to 4.50x until and including the end of the sixth full fiscal quarter after the Closing Date of the Merger, stepping down further to 3.75x until and including the end of the ninth full fiscal quarter after the Closing Date of the Merger and stepping down further to 3.50x thereafter, with a step-up in connection with certain qualifying acquisitions. The Company was in compliance with all covenants as of December 31, 2021. N&B Senior Notes On September 16, 2020, N&B issued $6.250 billion in aggregate principal amount of senior unsecured notes consisting of: (i) $300 million senior unsecured notes maturing on September 15, 2022 (the “2022 Notes”), bearing interest at a rate of 0.697% per year, payable semi-annually on March 15 and September 15 of each year, beginning March 15, 2021; (ii) $1.000 billion senior unsecured notes maturing on October 1, 2025 (the “2025 Notes”), bearing interest at a rate of 1.230% per year, payable semi-annually on April 1 and October 1 of each year, beginning April 1, 2021; (iii) $1.200 billion senior unsecured notes maturing on October 15, 2027 (the “2027 Notes”), bearing interest at a rate of 1.832% per year, payable semi-annually on April 15 and October 15 of each year, beginning April 15, 2021; (iv) $1.500 billion senior unsecured notes maturing on November 1, 2030 (the “2030 Notes”), bearing interest at a rate of 2.300% per year, payable semi-annually on May 1 and November 1 of each year, beginning May 1, 2021; (v) $750 million senior unsecured notes maturing on November 15, 2040 (the “2040 Notes”), bearing interest at a rate of 3.268% per year, payable semi-annually on May 15 and November 15 of each year, beginning May 15, 2021, and; (vi) $1.500 billion senior unsecured notes maturing on December 1, 2050 (the “2050 Notes”), bearing interest at a rate of 3.468% per year, payable semi-annually on June 1 and December 1 of each year, beginning June 1, 2021. Interest on each series of notes began accruing from September 16, 2020 payable semi-annually in arrears as described above. Interest is computed on the basis of a 360-day year comprised of twelve 30-day months. Revolving Credit Facility On July 28, 2021, the Company and certain of its subsidiaries entered into the Third Amended and Restated Credit Agreement which amended and restated the Company’s Revolving Credit Facility (previously and more recently amended and restated as of August 25, 2020) among the Company, certain of its subsidiaries, the banks, financial institutions and other institutional lenders party thereto, and Citibank, N.A. as administrative agent. The interest rate on the Revolving Credit Facility is, at the applicable borrower's option, a per annum rate equal to either (x) an eurocurrency rate plus an applicable margin varying from 1.000% to 1.625% or (y) a base rate plus an applicable margin varying from 0.000% to 0.625%, in each case depending on the public debt ratings for non-credit enhanced long-term senior unsecured debt issued by the Company. The Revolving Credit Facility is available for general corporate purposes of each borrower and its subsidiaries. The obligations under the Revolving Credit Facility are unsecured and the Company has guaranteed the obligations of each other borrower under the Revolving Credit Facility. The Company pays a commitment fee on the aggregate unused commitments; such fee is not material. The Revolving Credit Agreement contains various covenants, limitations and events of default customary for similar facilities for similarly rated borrowers, including a maximum permitted ratio of Net Debt to Consolidated EBITDA of 4.75x as of December 31, 2021, with step-downs to 3.50x over time (with a step-up if the Company consummates certain qualifying acquisitions). In connection with the Revolving Credit Facility, the Company incurred $1 million of debt issuance costs. As of December 31, 2021, the Company was in compliance with all covenants under this Revolving Credit Facility. As of December 31, 2021, total availability under the Revolving Credit Facility was $2.000 billion, with no outstanding borrowings. Under the amended terms of the Revolver Credit Agreement, the Revolving Credit Facility increased from $1.000 billion to $2.000 billion, maturing on July 28, 2026. At the option of the Company, the facility may be increased to $2.500 billion subject to certain conditions. As the Revolving Credit Facility is a multi-year revolving credit agreement, the Company classifies as long-term debt the portion that it has the intent and ability to maintain outstanding longer than 12 months. 2018 Senior Unsecured Notes On September 25, 2018 the Company issued €300 million aggregate principal amount of senior unsecured notes that matured on September 25, 2021 (the “2021 Euro Notes”). The 2021 Notes bore interest at a rate of 0.5% per year, payable annually on September 25 of each year, beginning September 25, 2019. Total proceeds from the issuance of the 2021 Notes, net of underwriting discounts and offering costs, were €298 million ($350 million in USD). During the third quarter of 2021, the Company repaid the 2021 Euro Notes in a payment of €300 million. The repayment on the 2021 Euro Notes was funded primarily from the Company's existing cash balances, with the remainder coming from the issuance of $800 million of commercial paper. On September 25, 2018, the Company issued €800 million aggregate principal amount of senior unsecured notes that mature on September 25, 2026 (the “2026 Euro Notes”). The 2026 Notes bear interest at a rate of 1.8% per year, payable annually on September 25 of each year, beginning September 25, 2019. Total proceeds from the issuance of the 2026 Notes, net of underwriting discounts and offering costs, were €794 million ($932 million in USD). On September 26, 2018, the Company issued $400 million aggregate principal amount of senior unsecured notes that mature on September 26, 2028 (the “2028 Notes”). The 2028 Notes bear interest at a rate of 4.45% per year, payable semi-annually on March 26 and September 26 of each year, beginning March 26, 2019. Total proceeds from the issuance of the 2028 Notes, net of underwriting discounts and offering costs, were $397 million. On September 26, 2018, the Company issued $800 million aggregate principal amount of senior unsecured notes that mature on September 26, 2048 (the “2048 Notes” and collectively with the 2021 Euro Notes, 2026 Euro Notes, 2020 Notes, 2028 Notes, the "2018 Senior Unsecured Notes"). The 2048 Notes bear interest at a rate of 5.0% per year, payable semi-annually on March 26 and September 26 of each year, beginning March 26, 2019. Total proceeds from the issuance of the 2048 Notes, net of underwriting discounts and offering costs, were $787 million. As discussed in Note 16, the 2021 Euro Notes and 2026 Euro Notes have been designated as a hedge of the Company's net investment in certain subsidiaries. 2023 Notes On April 4, 2013, the Company issued $300 million face amount of 3.20% Senior Notes (“2023 Notes”) due 2023 at a discount of less than $1 million. The Company received proceeds related to the issuance of these 2023 Notes of $298 million which was net of the less than $1 million discount and a $2 million underwriting discount (recorded as deferred financing costs). In addition, the Company incurred $1 million of other deferred financing costs in connection with the debt issuance. The discount and deferred financing costs are being amortized as interest expense over the term of the 2023 Notes. The 2023 Notes bear interest at a rate of 3.20% per year, with interest payable on May 1 and November 1 of each year, commencing on November 1, 2013. The 2023 Notes mature on May 1, 2023. 2024 Euro Notes On March 14, 2016, the Company issued €500 million face amount of 1.75% Senior Notes ("2024 Euro Notes") due 2024 at a discount of €1 million. The Company received proceeds related to the issuance of these 2024 Euro Notes of €496 million which was net of the €1 million discount and €3 million underwriting discount (recorded as deferred financing costs). In addition, the Company incurred $1 million of other deferred financing costs in connection with the debt issuance. In connection with the debt issuance, the Company entered into pre-issuance hedging transactions that were settled upon issuance of the debt and resulted in a loss of approximately $3 million. The discount, deferred financing costs and pre-issuance hedge loss are being amortized as interest expense over the eight As discussed in Note 16, the 2024 Euro Notes have been designated as a hedge of the Company's net investment in certain subsidiaries. 2047 Notes On May 18, 2017, the Company issued $500 million face amount of 4.375% Senior Notes ("2047 Notes") due 2047 at a discount of $2 million. The Company received proceeds related to the issuance of these 2047 Notes of $494 million which was net of the $2 million discount and $4 million in underwriting fees (recorded as deferred financing costs). In addition, the Company incurred $1 million in legal and professional costs associated with the issuance and such costs were recorded as deferred financing costs. In connection with the debt issuance, the Company entered into pre-issuance hedging transactions that were settled upon issuance of the debt and resulted in a loss of approximately $5 million. The discount, deferred financing costs and pre-issuance hedge loss are being amortized as interest expense over the 30 year term of the debt. The 2047 Notes bear interest at a rate of 4.375% per annum, with interest payable semi-annually on June 1 and December 1 of each year, commencing on December 1, 2017. The 2047 Notes will mature on June 1, 2047. 2018 Term Loan Facility On June 6, 2018, the Company entered into a Term Loan Credit Agreement (as amended on July 13, 2018, January 17, 2020 and August 25, 2020, the "2018 Term Loan Credit Agreement") with Morgan Stanley Senior Funding, Inc., as the administrative agent, and the lenders party thereto, pursuant to which the lenders thereunder committed to provide, a senior unsecured term loan facility in an original aggregate principal amount of up to $350 million (the "2018 Term Loan Facility"), which matured on October 1, 2021. In 2019, the Company made payments of $110 million on the 2018 Term Loan Facility, and during the third quarter of 2021, the Company repaid the remainder of the 2018 Term Loan Facility in two payments of $120 million each. The repayments on the 2018 Term Loan Facility were funded primarily from the Company's existing cash balances, with the remainder coming from the issuance of $800 million of commercial paper. 2022 Term Loan Facility On May 15, 2020, the Company entered into a Term Loan Agreement (as amended on August 25, 2020, the "2022 Term Loan Agreement") with China Construction Bank Corporation, New York Branch, as administrative agent, and the lenders party thereto, pursuant to which the lenders thereunder have committed to provide a senior unsecured two year term loan facility in an aggregate principal amount of up to $200 million (the "2022 Term Loan Facility"). The loans under the 2022 Term Loan Agreement bore interest, at the Company's option, at a per annum rate equal to either (x) an adjusted LIBOR rate plus an applicable margin varying from 1.225% to 2.475% or (y) a base rate plus an applicable margin varying from 0.225% to 1.475%, in each case depending on the public debt ratings for non-credit enhanced long-term senior unsecured debt issued by the Company. The Company could voluntarily prepay the term loans without premium or penalty, with the balance payable on the second anniversary of the funding date. There is no required amortization under the 2022 Term Loan Agreement. During the fourth quarter of 2021, the Company elected to voluntarily prepay the outstanding balance of the 2022 Term Loan Facility. Commercial Paper During 2021, the Company had gross issuances of $800 million and repayments of $476 million under the commercial paper program. The commercial paper issued had original maturities of less than 120 days. There were no commercial paper issuances in 2020. The Commercial Paper Program is backed by the borrowing capacity available under the Revolving Credit Facility. The effective interest rate of commercial paper issuances does not materially differ from short-term interest rates, which fluctuate due to market conditions and as a result may impact our interest expense. Redemption Provisions The 2023 Notes, 2024 Euro Notes, 2026 Euro Notes, 2028 Notes, 2047 Notes, and 2048 Notes (collectively, the "Notes") share the same redemption provisions. Upon 30 days’ notice to holders of the Notes, the Company may redeem the Notes for cash in whole, at any time, or in part, from time to time, prior to maturity, at redemption prices that include accrued and unpaid interest and a make-whole premium, as specified in the indenture governing the Notes. However, no make-whole premium will be paid for redemptions of each note on or after the following date: Note Redemption Date 2023 Notes February 1, 2023 2024 Euro Notes December 14, 2023 2026 Euro Notes June 25, 2026 2028 Notes June 26, 2028 2047 Notes December 1, 2046 2048 Notes March 26, 2048 The indenture of the Notes provides for customary events of default and contains certain negative covenants that limit the ability of the Company and its subsidiaries to grant liens on assets, or to enter into sale-leaseback transactions. In addition, subject to certain limitations, in the event of the occurrence of both (1) a change of control of the Company and (2) a downgrade of the Notes below investment grade rating by both Moody’s Investors Services, Inc., Standard & Poor’s Ratings Services and Fitch Ratings Inc. within a specified time period, the Company will be required to make an offer to repurchase the Notes at a price equal to 101% of the principal amount of the Notes, plus accrued and unpaid interest to the date of repurchase. The 2022 Notes, 2025 Notes, 2027 Notes, 2030 Notes, 2040 Notes, and 2050 Notes (collectively, the "N&B Senior Notes"), assumed as a result of the Merger, may be redeemed by the issuer at any time at the greater of 100% or the discounted present value of the remaining scheduled payments of principal and interest from the redemption date to the maturity date at Treasury Rate (as defined in the applicable indenture) plus (i) 10 basis points in the case of the 2022 Notes, (ii) 15 basis points in the case of the 2025 Notes, (iii) 25 basis points in the case of the 2027 Notes, (iv) 25 basis points in the case of the 2030 Notes, (v) 30 basis points in the case of the 2040 Notes and (vi) 30 basis points in the case of the 2050 Notes. The redemption dates of each of the N&B Senior Notes are provided in the table below: Notes Redemption Date 2022 Notes September 15, 2022 2025 Notes September 1, 2025 2027 Notes August 15, 2027 2030 Notes August 1, 2030 2040 Notes May 15, 2040 2050 Notes June 1, 2050 On or after the applicable redemption dates, each series of the N&B Senior Notes may be redeemed by the issuer at a redemption price equal to 100% of the principal amount of the N&B Senior Notes to be redeemed, plus accrued and unpaid interest on the notes to be redeemed to, but excluding, the redemption date. Outstanding Borrowings The following table shows the contractual maturities of the Company's long-term debt as of December 31, 2021. Payments Due by Period (DOLLARS IN MILLIONS) Total Less than 1 Year 1-3 Years 3-5 Years More than Total Outstanding Borrowings $ 10,971 $ 300 $ 1,491 $ 2,530 $ 6,650 |
Tangible Equity Units
Tangible Equity Units | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Shareholders' Equity | SHAREHOLDERS’ EQUITY Dividends Cash dividends declared per share were $3.12, $3.04 and $2.96 for the years ended December 31, 2021, 2020 and 2019, respectively. The Consolidated Balance Sheets reflect $201 million of dividends payable at December 31, 2021. This amount relates to a cash dividend of $0.79 per share declared in December 2021 and paid in January 2022. Dividends declared, but not paid as of December 31, 2020 and December 31, 2019 were $82 million ($0.77 per share) and $80 million ($0.75 per share), respectively. Share Repurchases In December 2012, the Board of Directors authorized a $250 million share repurchase program, which commenced in the first quarter of 2013. In August 2015, the Board of Directors approved an additional $250 million share repurchase authorization and extension through December 31, 2017. Based on the total remaining amount of $56 million available under the amended repurchase program as of October 31, 2017, the Board of Directors re-approved on November 1, 2017 a $250 million share repurchase authorization and extension for a total value of $300 million available under the program, which expires on November 1, 2022. Based on the total remaining amount of $280 million available under the repurchase program, 1,856,397 shares, or 0.8% of shares outstanding (based on the market price and weighted average shares outstanding as of December 31, 2021) could be repurchased under the program as of December 31, 2021. As of May 7, 2018, the Company has suspended its share repurchases. |
Tangible Equity Units | TANGIBLE EQUITY UNITS On September 17, 2018, the Company issued and sold 16,500,000, 6.00% tangible equity units (“TEUs”) at $50 per unit and received proceeds of approximately $800 million, net of discounts and issuance costs of approximately $25 million. Each TEU is comprised of: (i) a prepaid SPC to be settled by delivery of a specified number of shares of the Company's common stock, and (ii) a senior amortizing note (“Amortizing Note”), with an initial principal amount of $8.45 and a final installment payment date of September 15, 2021. The Company paid equal quarterly cash installments of $0.75 per Amortizing Note on March 15, June 15, September 15, and December 15 of each year, with the exception of the first installment payment of $0.7333 per Amortizing Note which was due on December 15, 2018. In the aggregate, the annual quarterly cash installments will be equivalent to 6.00% per year. Each installment payment constitutes a payment of interest and a partial repayment of principal, computed at an annual rate of 3.79%. Each TEU may be separated by a holder into its constituent SPC and Amortizing Note after the initial issuance date of the TEUs, and the separate components may be combined to create a TEU after the initial issuance date, in accordance with the terms of the SPC. The TEUs were listed on the New York Stock Exchange under the symbol “IFFT”. The proceeds from the issuance of the TEUs were allocated to equity and debt based on the relative fair value of the respective components of each TEU as follows: (DOLLARS IN MILLIONS, EXCEPT FAIR VALUE PER TEU) SPC Amortizing Note Total Fair Value per TEU $ 42 $ 8 $ 50 Gross Proceeds $ 686 $ 139 $ 825 Less: Issuance costs 21 4 25 Net Proceeds $ 665 $ 135 $ 800 The net proceeds of the SPCs were recorded as additional paid in capital, net of issuance costs. The net proceeds of the Amortizing Notes were recorded as debt, with deferred financing costs recorded as a reduction of the carrying amount of the debt in the Company's Consolidated Balance Sheets. Deferred financing costs related to the Amortizing Notes are amortized through the maturity date using the effective interest rate method. On September 14, 2021, the Company notified holders of the TEUs that the final settlement rate in respect of each SPC was 0.330911 shares of IFF's common stock. On September 15, 2021, 5,460,031 shares of IFF's common stock were issued in settlement of the SPCs. The SPC conversion factor was based on the 20 day volume-weighted average price (“VWAP”) per share of the Company’s common stock as follows: VWAP of IFF Common Stock Common Stock Issued Equal to or greater than $159.54 0.3134 shares (minimum settlement rate) Less than $159.54, but greater than $130.25 $50 divided by VWAP Less than or equal to $130.25 0.3839 shares (maximum settlement rate) |
Leases (Notes)
Leases (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | LEASES The Company has leases for corporate offices, manufacturing facilities, research and development facilities, and certain transportation and office equipment, the majority of which are operating leases. The Company's leases have remaining lease terms of up to 40 years, some of which include options to extend the leases for up to 5 years. The components of lease expense were as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Operating lease cost $ 168 $ 62 Financing lease cost 7 4 Supplemental cash flow information related to leases was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flow for operating leases $ 129 $ 52 Financing cash flow for finance leases 6 4 Right-of-use assets obtained in exchange for lease obligations Operating leases 88 63 Finance leases 15 6 Supplemental balance sheet information related to leases was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Operating Leases Operating lease right-of-use assets $ 767 $ 299 Current operating lease obligations (2) 109 41 Operating lease liabilities 670 265 Total operating lease liabilities $ 779 $ 306 Financing Leases Financing lease right-of-use assets (1) $ 21 $ 8 Current financing lease obligations (2) 5 3 Financing lease liabilities (3) 15 4 Total financing lease liabilities $ 20 $ 7 _______________________ (1) Presented in Other assets in the Consolidated Balance Sheets. (2) Presented in Other current liabilities in the Consolidated Balance Sheets. (3) Presented in Other liabilities in the Consolidated Balance Sheets. Weighted average remaining lease term and discount rate were as follows: December 31, 2021 2020 Weighted average remaining lease term in years Operating leases 11.1 10.5 Finance leases 4.3 2.9 Weighted average discount rate Operating leases 2.73 % 3.82 % Finance leases 1.85 % 1.81 % Maturities of lease liabilities as of December 31, 2021 were as follows: (DOLLARS IN MILLIONS) Operating Leases Financing Leases Total 2022 $ 127 $ 7 $ 134 2023 97 5 102 2024 82 3 85 2025 78 2 80 2026 73 2 75 Thereafter 459 2 461 Total undiscounted liabilities 916 21 937 Less: Imputed interest (137) (1) (138) Total lease liabilities $ 779 $ 20 $ 799 Right-of-use assets and lease liabilities acquired from N&B were remeasured at the present value of the future minimum lease payments over the remaining lease term utilizing an updated incremental borrowing rate of the Company as if the acquired leases were new leases as of the Closing Date. Right-of-use assets were further adjusted for any off-market terms of the lease. The remaining lease term is based on the remaining term at the Closing Date plus any renewal or extension options that the Company is reasonably certain will be exercised. Additionally, the Company has elected short-term lease treatment for those acquired lease contracts which, at the Closing Date, have a remaining lease term of 12 months or less. For the leases acquired through the Transactions, the Company will retain the previous lease classification. This resulted in an increase in both right-of-use assets and operating lease liabilities of approximately $525 million and $523 million, respectively, as of the Closing Date. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Earnings before income taxes consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 U.S. loss before taxes $ (493) $ (142) $ (110) Foreign income before taxes 847 583 667 Total income before taxes $ 354 $ 441 $ 557 The income tax provision consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Current tax provision Federal $ (5) $ (9) $ 10 State and local 13 1 — Foreign 303 150 146 Total current tax provision 311 142 156 Deferred tax provision Federal (121) (8) (41) State and local (34) (2) 8 Foreign (81) (58) (26) Total deferred tax benefit (236) (68) (59) Total provision for income taxes $ 75 $ 74 $ 97 Effective Tax Rate Reconciliation Reconciliation between the U.S. federal statutory income tax rate to the actual effective tax rate was as follows: December 31, 2021 2020 2019 Statutory tax rate 21.0 % 21.0 % 21.0 % Difference in effective tax rate on foreign earnings and remittances (1) 8.0 (6.9) (6.8) Tax benefit from supply chain optimization (5.8) (5.0) (1.0) Unrecognized tax benefit, net of reversals 0.7 5.7 3.4 Tax impact on gains on business disposal 4.0 — — Deferred taxes on deemed repatriation 2.7 (0.2) 0.8 Global intangible low-taxed income 4.1 5.3 — Foreign-derived intangible income (1.6) (0.3) (0.3) U.S. foreign tax credit - general limitation (3.1) (1.9) (1.2) Research and development credit (1.4) (1.0) (0.9) Acquisition costs 2.4 1.0 0.5 Establishment (release) of valuation allowance on state deferred (3.0) (0.4) 1.7 State and local taxes (4.8) (0.6) (0.8) Other, net (2.0) 0.1 1.0 Effective tax rate 21.2 % 16.8 % 17.4 % _______________________ (1) For 2021, the rate includes rate change impacts related to the Netherlands and United Kingdom. The effective tax rate reflects the impact of an unfavorable mix of earnings, higher repatriation costs and the cost of global intangible low-taxed income ("GILTI"), partially offset by tax benefits related to supply chain optimization and credits. On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”) that significantly revised the U.S. tax code effective January 1, 2018. The Tax Act created significant international tax provisions, including GILTI. The Company has elected to treat GILTI as a current period cost if and when incurred. This tax position resulted in a net $15 million income tax expense for the year ended December 31, 2021, which includes a provision to return adjustment. The U.S. consolidated group has historically generated taxable income after the inclusion of foreign dividends which has allowed the Company to realize its federal deferred tax assets. Foreign dividends are subject to a 100% dividends received deduction under the Tax Act and do not serve as a source of federal taxable income. However, as of December 31, 2021 the U.S. consolidated group is in a cumulative income position, and is expected to continue to be in a cumulative income position primarily due to the inclusion of GILTI and expects to realize tax benefits for the reversal of temporary differences, including the significant deferred tax liabilities associated with the Merger with N&B. Further, as of December 31, 2021 the Company has maintained a valuation allowance of approximately $2 million on certain state tax attributes based on a state taxable income forecast. The main inputs into the forecast are the 2021 taxable income projections. Changes in the performance of the North American business, the Company’s transfer pricing policies and adjustments to the Company’s U.S. tax profile could impact the estimate. Deferred Taxes The deferred tax assets and liabilities consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Employee and retiree benefits $ 148 $ 108 Credit and net operating loss carryforwards 312 271 Intangible assets — 10 Amortizable research and development expenses 42 30 Gain on foreign currency translation — 46 Interest limitation 43 51 Inventory 32 14 Lease obligations 189 53 Other, net 79 23 Gross deferred tax assets 845 606 Property, plant and equipment, net (265) (60) Intangible assets (2,486) (586) Right-of-use assets (187) (53) Loss on foreign currency translation (30) — Deferred taxes on deemed repatriation (81) (46) Gross deferred tax liabilities (3,049) (745) Valuation allowance (232) (257) Total net deferred tax liabilities $ (2,436) $ (396) Net operating loss carryforwards were approximately $272 million and $246 million at December 31, 2021 and 2020, respectively. If unused, approximately $105 million will expire between 2022 and 2041. The remainder, totaling approximately $167 million, may be carried forward indefinitely. Tax credit carryforwards were approximately $40 million and $28 million at December 31, 2021 and 2020, respectively. If unused, the $40 million will expire between 2022 and 2041. Of the $312 million deferred tax asset for net operating loss carryforwards and credits at December 31, 2021, the Company considers it unlikely that a portion of the tax benefit will be realized. Accordingly, a valuation allowance of approximately $230 million on net operating loss carryforwards and $2 million of tax credits has been established against these deferred tax assets. Uncertain Tax Positions A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Balance of unrecognized tax benefits at beginning of year $ 99 $ 75 $ 51 Gross amount of increases in unrecognized tax benefits as a result of positions taken during a prior year (1) 42 11 20 Gross amount of decreases in unrecognized tax benefits as a result of positions taken during a prior year (3) — (2) Gross amount of increases in unrecognized tax benefits as a result of positions taken during the current year 5 24 13 The amounts of decreases in unrecognized benefits relating to settlements with taxing authorities (1) (2) (3) Reduction in unrecognized tax benefits due to the lapse of applicable statute of limitation (12) (9) (4) Balance of unrecognized tax benefits at end of year $ 130 $ 99 $ 75 _______________________ (1) For 2021, the amount includes positions related to N&B opening balance sheet amounts. At December 31, 2021, 2020 and 2019, there were approximately $130 million, $98 million and $74 million, respectively, of unrecognized tax benefits recorded to Other liabilities and less than $1 million recorded to Other current liabilities for 2021 and approximately $1 million recorded to Other current liabilities for both 2020 and 2019. If these unrecognized tax benefits were recognized, all the benefits and related interest and penalties would be recorded as a benefit to income tax expense. For the year ended December 31, 2021, the Company increased its liabilities for interest and penalties by approximately $19 million, net, increased its liabilities for interest and penalties by approximately $3 million, net for the year ended 2020, and increased its liabilities for interest and penalties by approximately $11 million, net for the year ended 2019. At December 31, 2021, 2020 and 2019, the Company had accrued approximately $36 million, $17 million and $14 million, respectively, of interest and penalties classified as Other liabilities, and less than $1 million to Other current liabilities for December 31, 2021 and 2020. No such liabilities were accrued for the year ended December 31, 2019. As of December 31, 2021, the Company’s aggregate provision for unrecognized tax benefits, including interest and penalties, was approximately $166 million, associated with various tax positions principally asserted in foreign jurisdictions, none of which were individually material. Other Tax benefits credited to Shareholders’ equity were de minimis for the years ended December 31, 2021, 2020 and 2019 associated with stock option exercises and PRSU dividends. The Company regularly repatriates earnings from non-U.S. subsidiaries. As the Company repatriates these funds to the U.S. they will be required to pay income taxes in certain U.S. states and applicable foreign withholding taxes during the period when such repatriation occurs. Accordingly, as of December 31, 2021, the Company had a deferred tax liability of approximately $81 million for the effect of repatriating the funds to the U.S., attributable to various non-U.S. subsidiaries. There is no deferred tax liability associated with non-U.S. subsidiaries where we intend to indefinitely reinvest the earnings to fund local operations and/or capital projects. The Company has ongoing income tax audits and legal proceedings which are at various stages of administrative or judicial review, of which the material items are discussed below. In addition, the Company has other ongoing tax audits and legal proceedings that relate to indirect taxes, such as value-added taxes, capital tax, sales and use and property taxes, which are discussed in Note 19. The Company also has several other tax audits in process and has open tax years with various taxing jurisdictions that range primarily from 2011 to 2020. Based on currently available information, the Company does not believe the ultimate outcome of any of these tax audits and other tax positions related to open tax years, when finalized, will have a material impact on its financial position. |
Net Income Per Share
Net Income Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | NET INCOME PER SHARE Basic and diluted net income per share is based on the weighted average number of shares outstanding. A reconciliation of shares used in the computation of basic and diluted net income per share is as follows: December 31, (AMOUNTS IN MILLIONS EXCEPT PER SHARE AMOUNTS) 2021 2020 2019 Net Income Net income attributable to IFF stockholders $ 270 $ 363 $ 456 Adjustment related to (increase) decrease in redemption value of redeemable noncontrolling interests in excess of earnings allocated (2) 2 (2) Net income available to IFF stockholders $ 268 $ 365 $ 454 Shares Weighted average common shares outstanding (basic) (1) 243 112 112 Adjustment for assumed dilution (2) : Stock options and restricted stock awards — 1 — SPC portion of the TEUs — 1 1 Weighted average shares assuming dilution (diluted) 243 114 113 Net Income per Share Net income per share - basic (3)(4) $ 1.11 $ 3.25 $ 4.05 Net income per share - dilutive (4)(5) 1.10 3.21 4.00 _______________________ (1) On September 15, 2021, additional shares of IFF's common stock were issued in settlement of the SPC portion of the TEUs. For the years ended December 31, 2020 and 2019, the TEUs were assumed to be outstanding at the minimum settlement amount for basic earnings per share (“EPS”). See below for additional information. (2) Effect of dilutive securities includes dilution under stock plans and incremental impact of TEUs. See below for additional information. (3) For the year ended December 31, 2021, the basic net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. (4) For the year ended December 31, 2020, the basic and diluted net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. (5) For the year ended December 31, 2019, the diluted net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. As of the effective time of the Merger, each issued and outstanding share of common stock of N&B (except for shares of common stock of N&B held by N&B as treasury stock or by DuPont, which were canceled and ceased to exist and no consideration was delivered in exchange therefor) was converted into the right to receive one share of common stock of IFF. The Merger was completed in exchange for 141,740,461 shares of IFF common stock, par value $0.125 per share (or cash payment in lieu of fractional shares), which had been approved in the special shareholder meeting that occurred on August 27, 2020 where IFF shareholders voted to approve the issuance of shares of IFF common stock in connection with the N&B Transaction, pursuant to the Merger Agreement. The shares issued in the Merger represented approximately 55.4% of the common stock of IFF on a fully diluted basis, after giving effect to the Merger, as of February 1, 2021. As discussed in Note 8, the Company issued 16,500,000 TEUs, consisting of a prepaid SPC and a senior amortizing note, for net proceeds of approximately $800 million on September 17, 2018. On September 14, 2021, the Company notified holders of the TEUs that the final settlement rate in respect of each SPC was 0.330911 shares of IFF's common stock. On September 15, 2021, 5,460,031 shares of IFF's common stock were issued in settlement of the SPCs. The SPC conversion factor is based on the VWAP per share of the Company’s common stock. For purposes of calculating basic net income per share, the settlement rate of 0.330911 shares per SPC, the final settlement rate, was used on December 31, 2021 and 0.313400 shares per SPC was used on both December 31, 2020 and 2019. For purposes of calculating diluted earnings per share, the settlement rate of 0.330911 shares per SPC, the final settlement rate, was used on December 31, 2021 and 0.383900 shares per SPC was used on both December 31, 2020 and 2019. The Company has issued shares of Purchased Restricted Stock (“PRS”) and Purchased Restricted Stock Units (“PRSUs”) which contain nonforfeitable rights to dividends and thus are considered participating securities which are required to be included in the computation of basic and diluted earnings per share pursuant to the two-class method. The two-class method was not presented since the difference between basic and diluted net income per share for both common shareholders, PRS and PRSU holders was less than $0.01 per share as of December 31, 2021, less than $0.04 per share as of December 31, 2020 and less than $0.01 per share as of December 31, 2019, and for each year the number of PRS and PRSUs outstanding as of December 31, 2021, 2020 and 2019 was immaterial. Net income allocated to such PRS and PRSUs during 2021, 2020 and 2019 was not material. There were no stock options or stock-settled appreciation rights (“SSARs”) excluded from the computation of diluted net income per share at December 31, 2021, 2020 and 2019. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Shareholders' Equity | SHAREHOLDERS’ EQUITY Dividends Cash dividends declared per share were $3.12, $3.04 and $2.96 for the years ended December 31, 2021, 2020 and 2019, respectively. The Consolidated Balance Sheets reflect $201 million of dividends payable at December 31, 2021. This amount relates to a cash dividend of $0.79 per share declared in December 2021 and paid in January 2022. Dividends declared, but not paid as of December 31, 2020 and December 31, 2019 were $82 million ($0.77 per share) and $80 million ($0.75 per share), respectively. Share Repurchases In December 2012, the Board of Directors authorized a $250 million share repurchase program, which commenced in the first quarter of 2013. In August 2015, the Board of Directors approved an additional $250 million share repurchase authorization and extension through December 31, 2017. Based on the total remaining amount of $56 million available under the amended repurchase program as of October 31, 2017, the Board of Directors re-approved on November 1, 2017 a $250 million share repurchase authorization and extension for a total value of $300 million available under the program, which expires on November 1, 2022. Based on the total remaining amount of $280 million available under the repurchase program, 1,856,397 shares, or 0.8% of shares outstanding (based on the market price and weighted average shares outstanding as of December 31, 2021) could be repurchased under the program as of December 31, 2021. As of May 7, 2018, the Company has suspended its share repurchases. |
Stock Compensation Plans
Stock Compensation Plans | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock Compensation Plans | STOCK COMPENSATION PLANS The Company has various equity plans under which its officers, senior management, other key employees and Board of Directors may be granted options to purchase IFF common stock or other forms of stock-based awards. Beginning in 2004, the Company granted Restricted Stock Units (“RSUs”) as the principal element of its equity compensation for all eligible U.S.-based employees and a majority of eligible overseas employees. Vesting of the RSUs is solely time based; the vesting period is primarily three years from date of grant. For a small group of employees, primarily overseas, the Company granted stock options prior to 2008. The cost of all employee stock-based awards are principally recognized on a straight-line attribution basis over their respective vesting periods, net of estimated forfeitures. Total stock-based compensation expense included in the Consolidated Statements of Income and Comprehensive Income (Loss) was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Equity-based awards $ 54 $ 36 $ 34 Liability-based awards 8 4 4 Total stock-based compensation 62 40 38 Less tax benefit (13) (8) (7) Total stock-based compensation, net of tax $ 49 $ 32 $ 31 The shareholders of the Company approved the Company’s 2021 Stock Award and Incentive Plan (the “2021 Plan”) on May 5, 2021. The 2021 Plan replaced the Company’s 2015 Stock Award and Incentive Plan (the “2015 Plan”) and the Company's 2010 Stock Award and Incentive Plan (the “2010 Plan”), and provides the source for future deferrals of cash into deferred stock under the Company’s Deferred Compensation Plan (with the Deferred Compensation Plan being deemed a subplan under the 2010 Plan for the sole purpose of funding deferrals under the IFF Share Fund). Under the 2021 Plan, a total of 2,290,000 shares are authorized for issuance. At December 31, 2021, 1,601,749 shares were subject to outstanding awards and 2,631,269 shares remained available for future awards under all of the Company’s equity award plans, including the 2015 Plan and 2010 Plan (excluding shares not yet issued under open cycles of the Company’s Long-Term Incentive Plan). The Company offers a Long-Term Incentive Plan (“LTIP”) for senior management. The targeted payout is 50% cash and 50% IFF common stock at the end of the three-year cycle. With regard to the 2019-2021 cycle, the LTIP awards are earned based upon the achievement of: (i) the Company's performance ranking of Total Shareholder Return as a percentile of the S&P 500 ("Relative TSR") (representing one-half of the award value), and (ii) the Company's achievement of a defined Leverage Ratio (representing one-half of the award value). For the 2020-2022 cycle, the LTIP awards are earned based on the achievement of: (i) an annual Leverage Ratio for 2020 (representing one-sixth of the award value), (ii) a 2-year cumulative Leverage Ratio for 2021-2022 (representing one-third of the award value), and (iii) Relative TSR targets (representing one-half of the award value). For the 2021-2023 cycle, the LTIP awards are earned based on the achievement of: (i) 3-year cumulative Leverage Ratio for 2021-2023 (representing one-half of the awards value), and (iii) Relative TSR targets (representing one-half of the award value). The Leverage Ratio measures Net debt as compared to a measure profitability. When the award is granted, 50% of the target dollar value of the award is converted to a number of “notional” shares based on the closing price at the beginning of the cycle. For those shares whose payout is based on Relative TSR, compensation expense is recognized using a graded-vesting attribution method, while compensation expense for the remainder of the performance shares (Leverage Ratio targets for the applicable cycle) is recognized on a straight-line basis over the vesting period based on the probable outcome of the performance condition. The 2017-2019 cycle concluded at the end of 2019 and an aggregate 14,579 shares of common stock were issued in March 2020. The 2018-2020 cycle concluded at the end of 2020 and an aggregate 7,484 shares of common stock were issued in March 2021. The 2019-2021 cycle concluded at the end of 2021 and no shares of common stock will be issued in March 2022. In 2006, the Board of Directors approved the Equity Choice Program (the “Program”) for senior management. This program continues under the 2015 Plan. Eligible employees can choose from among three equity alternatives and will be granted such equity awards up to certain dollar awards depending on the participant’s employment grade level. A participant may choose among (1) SSARs, (2) RSUs or (3) PRSUs. Transaction with Nutrition and Biosciences, Inc. In connection with the Merger, N&B employees’ outstanding (unvested and/or vested and unexercised) equity awards were converted into equity awards denominated in shares of the Company’s common stock based on a defined exchange ratio. N&B employees’ equity awards were converted into 335,347 IFF stock options, 258,572 IFF RSU awards and 5,816 IFF SAR awards. For converted RSU awards, the fair value of the equity award is based on the Closing Date market price of IFF stock. For converted stock options and SAR awards, the exercise price per share of the converted award is equal to the exercise price per share of the N&B award immediately prior to the Merger divided by the exchange ratio. The fair value of the IFF stock options and SAR awards that the Company issued in connection with the Merger was estimated using the Black Scholes model. The converted awards were generally issued with the same terms and conditions as were applicable prior to the Transaction. At the Closing Date, approximately $25 million of the fair value of the replacement awards granted to N&B employees was attributable to pre-combination service and was included in the purchase price. As of December 31, 2021, post-combination expense of approximately $3 million is expected to be recognized related to the replacement awards over the remaining post-combination service period, approximately up to three years. SSARs and Options SSARs are a contractual right to receive the value, in shares of Company stock, of the appreciation in our stock price from the grant date to the date the SSARs are exercised by the participant. SSARs granted become exercisable on the third anniversary of the grant date and have a maximum term of seven years. SSARs do not require a financial investment by the SSARs grantee. Stock options require the participant to pay the exercise price at the time they exercise their stock options. No stock options were granted in 2021, 2020 or 2019. SSARs and options activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Shares Subject to Weighted SSARs/ December 31, 2020 42 $ 135.01 1 Granted 3 144.67 Exercised (90) 110.28 Canceled (9) 101.19 Assumed 341 December 31, 2021 287 $ 107.48 235 Expected to Vest at December 31, 2021 44 $ 95.94 The weighted average exercise price of SSARs and options exercisable at December 31, 2021, 2020 and 2019 were $109.77, $118.10 and $118.10, respectively. SSARs and options outstanding at December 31, 2021 was as follows: Price Range Number Weighted Average Weighted Aggregate Over $65 287 5.04 $ 107.48 $ 12 SSARs and options exercisable as of December 31, 2021 was as follows: Price Range Number Weighted Average Weighted Aggregate Over $65 235 4.65 $ 109.77 $ 10 The total intrinsic value of options/SSARs exercised during 2021 was approximately $3 million and was not material for 2020 and 2019. As of December 31, 2021, the total unrecognized compensation cost related to non-vested SSARs granted was less than $1 million; such cost is expected to be recognized over a period of approximately two Restricted Stock Units The Company has granted RSUs to eligible employees and members of the Board of Directors. Such RSUs are subject to forfeiture if certain conditions are not met. RSUs principally vest 100% at the end of three years and contain no performance criteria provisions. An RSU’s fair value is calculated based on the market price of the Company's stock at date of grant, with an adjustment to reflect the fact that such awards do not participate in dividend rights. The aggregate fair value is amortized to expense ratably over the vesting period. RSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Number of Shares Weighted Average December 31, 2020 525 $ 126.62 Granted 344 136.71 Vested (314) 119.99 Forfeited (37) -37000 128.79 Assumed 259 December 31, 2021 777 $ 126.20 The total fair value of RSUs that vested during the year ended December 31, 2021 was $44 million. As of December 31, 2021, there was $42 million of total unrecognized compensation cost related to non-vested RSUs granted under the equity incentive plans; such cost is expected to be recognized over a weighted average period of approximately two Purchased Restricted Stock and Purchased Restricted Stock Units In 2014, the grant of awards under the Equity Choice program provided for eligible employees to purchase restricted shares of IFF common stock and deposit them into an escrow account. For each share deposited in escrow by the eligible employee, the Company matched with a grant of a share of restricted stock or, for non-U.S. participants, a restricted stock unit. The shares of restricted stock and restricted stock units generally vest on the third anniversary of the grant date, are subject to continued employment and other specified conditions, and pay dividends if and when paid by the Company. Holders of restricted stock have, in most instances, all of the rights of stockholders, except that they may not sell, assign, pledge or otherwise encumber such shares. The PRSUs provide no such rights. During 2015, the Company modified the program so that all participants, including U.S. participants, began to receive a restricted stock unit instead of a share of restricted stock. Restricted stock units pay dividend equivalents and do not have voting rights. The following table summarizes the Company's PRSU activity for the years ended December 31, 2021, 2020 and 2019: (DOLLARS IN MILLIONS) Issued Shares Aggregate Purchase Price Covered Shares 2021 61,870 $ 9 30,935 2020 66,160 $ 9 33,080 2019 61,991 $ 9 30,996 PRSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Number of Weighted Average December 31, 2020 193 $ 136.37 Granted 62 144.67 Vested (95) 138.41 Forfeited (5) 141.81 December 31, 2021 155 $ 138.36 The total fair value of PRSUs that vested during the year ended December 31, 2021 was $13 million. As of December 31, 2021, there was $5 million of total unrecognized compensation cost related to non-vested PRSUs granted under the equity incentive plans; such cost is expected to be recognized over a weighted average period of approximately two Liability Awards The Company has granted cash-settled RSUs ("Cash RSUs") to eligible employees that are paid out 100% in cash upon vesting. Such RSUs are subject to forfeiture if certain conditions are not met. Cash RSUs principally vest 100% at the end of three years and contain no performance criteria provisions. A Cash RSU's fair value is calculated based on the market price of the Company's stock at the date of the closing period and is accounted for as a liability award. The aggregate fair value is amortized to expense ratably over the vesting period. Cash RSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Cash RSUs Weighted Average December 31, 2020 111 $ 108.84 Granted 51 150.65 Vested (37) 141.58 Forfeited (9) 140.43 December 31, 2021 116 $ 150.65 The total fair value of Cash RSUs that vested during the year ended December 31, 2021 was $5 million. As of December 31, 2021, there was $8 million of total unrecognized compensation cost related to non-vested Cash RSUs granted under the equity incentive plans; such cost is expected to be recognized over a weighted average period of approximately two |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION During the first quarter of 2021, the Company completed its Merger with N&B. Following the Merger, the Company reorganized its reportable segments and is now organized into four reportable operating segments: Nourish, Health & Biosciences (“H&B”), Scent and Pharma Solutions. These segments align with the internal structure to manage these businesses. The Company’s Chief Operating Decision Maker regularly reviews financial information to allocate resources and assess performance utilizing these reorganized segments. Therefore, beginning in the first quarter of 2021, the Company reported its financial performance based on its new segments. The Company recast certain prior period amounts to conform to the way the Company is internally managed and how the Company monitors segment performance during the current fiscal year. Prior to the realignment, the Company operated and managed its business as two operating and reportable segments: Taste and Scent. Nourish combines the majority of IFF’s legacy Taste segment and N&B’s Food & Beverage segment. It is comprised of three business units, Ingredients, Flavors and Food Designs, with a diversified portfolio across natural and plant-based specialty food ingredients, flavor compounds, and savory solutions and inclusions, respectively. Ingredients provide texturizing solutions to the food industry, food protection solutions used in food and beverage products, specialty soy and pea protein with value-added formulations, emulsifiers and sweeteners. Flavors provide a range of flavor compounds and natural taste solutions that are ultimately used by IFF's customers in savory products, beverages, sweets, and dairy products. Flavors also provide value-added spices and seasoning ingredients for meat, food service, convenience, alternative protein and culinary products. Food Designs provide savory solution products such as spices, sauces, marinades and mixtures. Additionally, Food Designs provide inclusion products that help with taste and texture by, among other things, combining flavorings with fruit, vegetables, and other natural ingredients for a wide range of food products, such as health snacks, baked goods, cereals, pastries, ice cream and other dairy products. Health & Biosciences is comprised of six business units, Health, Cultures & Food Enzymes, Home & Personal Care, Animal Nutrition, Grain Processing and Microbial Control, with a biotechnology-driven portfolio of products that serve the health and wellness, food, consumer and industrial markets. Products within this portfolio range from enzymes, food cultures, probiotics and specialty ingredients for non-food applications. Health provides ingredients for dietary supplements, food and beverage, specialized nutrition and pharma. Cultures & Food Enzymes provide products that aim to serve the global demand for healthy, natural, clean label and fermented food for fresh dairy, cheese, bakery and brewing products. This is accomplished by providing IFF's customers with products that allow for extended shelf life and stability, which help to improve customers' products and performance. The business unit's enzyme solution also allows IFF's customers to provide low sugar, high fiber and lactose-free dairy products. Home & Personal Care produces enzymes for detergents, cleaning and textile processing products in the laundry, dishwashing, textiles and industrials and personal care markets that help to enhance product and process performances. Animal Nutrition produces enzymes that help to improve the product and process performance of animal feed products, which aim to lessen environmental impact by reducing farm waste. Grain Processing produces enzymes for biofuel production and carbohydrate processing. Microbial Control produces biocides for controlling microbial populations for oil and gas production, home and personal care and industrial preservation markets. Scent is comprised of (1) Fragrance Compounds, which are ultimately used by our customers in two broad categories: Fine Fragrances, including perfumes and colognes, and Consumer Fragrances, including fragrance compounds for personal care (e.g., soaps), household products (e.g., detergents and cleaning agents) and beauty care, including toiletries; (2) Fragrance Ingredients, consisting of synthetic and natural ingredients that can be combined with other materials to create unique fine fragrance and consumer fragrance compounds; and (3) Cosmetic Active Ingredients, consisting of active and functional ingredients, botanicals and delivery systems to support our customers’ cosmetic and personal care product lines. Major fragrance customers include the cosmetics industry, including perfume and toiletries manufacturers, and the household products industry, including manufacturers of soaps, detergents, fabric care, household cleaners and air fresheners. Pharma Solutions is comprised of N&B’s historical Pharma Solutions business. The Pharma Solutions business produces a vast portfolio including cellulosics and seaweed-based pharma excipients, used to improve the functionality and delivery of active pharmaceutical ingredients, including controlled or modified drug release formulations, and enabling the development of more effective pharmaceutical finished dosage formats. Pharma Solutions excipients are used in prescription and over-the-counter pharmaceuticals and dietary supplements. Pharma Solutions products also serve a variety of other specialty and industrial end-uses including coatings, inks, electronics, agriculture, and consumer products. Effective in the first quarter of 2021, management elected to change the profit or loss measure of the Company’s reportable segments from Segment Operating Profit to Segment Adjusted Operating EBITDA for internal reporting and performance measurement purposes. This change was made to enhance the transparency and visibility of the underlying operating performance of each segment. The Company's Chief Operating Decision Maker evaluates the performance of these reportable operating segments based on Segment Adjusted Operating EBITDA, which is defined as Income Before Taxes before depreciation and amortization expense, interest expense, restructuring and other charges and certain non-recurring items. Prior period amounts have been recast to reflect these changes in segment profitability measures. Reportable segment information is as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Net sales Nourish $ 6,264 $ 2,886 $ 2,978 Health & Biosciences 2,329 134 129 Scent 2,254 2,064 2,033 Pharma Solutions 809 — — Consolidated $ 11,656 $ 5,084 $ 5,140 December 31, (DOLLARS IN MILLIONS) 2021 2020 Segment assets Nourish $ 17,449 $ 8,534 Health & Biosciences 14,774 1,375 Scent 4,078 3,646 Pharma Solutions 3,357 — Consolidated $ 39,658 $ 13,555 December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Segment Adjusted Operating EBITDA: Nourish $ 1,172 $ 599 $ 658 Health & Biosciences 625 40 33 Scent 463 416 425 Pharma Solutions 165 — — Total 2,425 1,055 1,116 Depreciation & Amortization (1,156) (325) (323) Interest Expense (289) (132) (138) Other income, net 58 7 30 Operational Improvement Initiatives (a) — — (2) Frutarom Integration Related Costs (b) (4) (10) (55) Restructuring and Other Charges (41) (17) (30) Gains (Losses) on Sale of Assets 1 (4) (3) Shareholder Activism Related Costs (c) (7) — — Business Divestiture Costs (d) (42) — — Employee Separation Costs (e) (29) (3) — Frutarom Acquisition Related Costs (f) (2) (1) (6) Compliance Review & Legal Defense Costs (g) — (3) (11) N&B Inventory Step-Up Costs (368) — — N&B Transaction Related Costs (h) (91) (29) (21) N&B Integration Related Costs (i) (101) (97) — Income Before Taxes $ 354 $ 441 $ 557 (a) Represents accelerated depreciation related to plant relocations in India and China. (b) Represents costs related to the integration of the Frutarom acquisition. For 2021, costs primarily related to performance stock awards. For 2020, costs primarily related to advisory services, retention bonuses and performance stock awards. For 2019, costs primarily related to advisory services. (c) Represents shareholder activist related costs, primarily professional fees. (d) Represents costs related to the Company's sales and planned sales of businesses, primarily legal and professional fees. (e) Represents costs related to severance, including accelerated stock compensation expense, for certain employees and executives who have been separated or will separate from the Company. (f) Represents transaction-related costs and expenses related to the acquisition of Frutarom. For 2021, amount primarily includes earn-out payments, net of adjustments. For 2020, amount primarily includes earn-out payments, net of adjustments, amortization for inventory "step-up" costs and transaction costs primarily related to the 2019 Acquisition Activity. For 2019, amount primarily includes amortization for inventory "step-up" costs and transaction costs. (g) Costs related to reviewing the nature of inappropriate payments and review of compliance in certain other countries. In addition, includes legal costs for related shareholder lawsuits. (h) Represents transaction costs and expenses related to the transaction with N&B, primarily legal and professional fees. (i) Represents costs primarily related to advisory services for the integration of the transaction with N&B, primarily consulting fees. The Company has not disclosed revenues at a lower level than provided herein, such as revenues from external customers by product, as it is impracticable for it to do so. The Company had no customers that accounted for greater than 10% of consolidated net sales in 2021, 2020 and 2019. Long-lived assets, net, by country, consisted as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 United States $ 2,041 $ 572 China 259 172 Denmark 251 — Finland 196 — France 188 28 Germany 156 7 Other 1,277 679 Consolidated $ 4,368 $ 1,458 Segment capital expenditures and depreciation and amortization consisted as follows: Capital Expenditures Depreciation and Amortization (DOLLARS IN MILLIONS) 2021 2020 2019 2021 2020 2019 Nourish $ 183 $ 98 $ 126 $ 594 $ 211 $ 210 Health & Biosciences 139 7 8 353 36 34 Scent 41 87 102 84 78 79 Pharma Solutions 30 — — 125 — — Consolidated $ 393 $ 192 $ 236 $ 1,156 $ 325 $ 323 Net sales are attributed to individual regions based upon the destination of product delivery and are as follows: Net Sales by Geographic Area (DOLLARS IN MILLIONS) 2021 2020 2019 Europe, Africa and Middle East $ 4,093 $ 1,987 $ 2,082 Greater Asia 2,728 1,162 1,163 North America 3,499 1,228 1,170 Latin America 1,336 707 725 Consolidated $ 11,656 $ 5,084 $ 5,140 Net Sales by Geographic Area (DOLLARS IN MILLIONS) 2021 2020 2019 Net sales related to the U.S. $ 3,211 $ 1,093 $ 1,053 Net sales attributed to all foreign countries 8,445 3,991 4,087 No non-U.S. country had net sales greater than 7% of total consolidated net sales for 2021 and net sales greater than 6% of total consolidated net sales for 2020 and 2019. |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Employee Benefits | EMPLOYEE BENEFITS The Company has pension and/or other retirement benefit plans covering approximately one-fifth of active employees. In 2007, the Company amended its U.S. qualified and non-qualified pension plans under which accrual of future benefits was suspended for all participants that did not meet the rule of 70 (age plus years of service equal to at least 70 as of December 31, 2007). Pension benefits are generally based on years of service and compensation during the final years of employment. Plan assets consist primarily of equity securities and corporate and government fixed income securities. Substantially all pension benefit costs are funded as accrued; such funding is limited, where applicable, to amounts deductible for income tax purposes. Certain other retirement benefits are provided by general corporate assets. In connection with the Merger with N&B, the Company assumed responsibility for approximately 20 additional defined benefit plans and recognized liabilities in the aggregate amount of $221 million. The Company sponsors a qualified defined contribution plan covering substantially all U.S. employees. Under this plan, the Company matches 100% of participants’ contributions up to 4% of compensation and 75% of participants’ contributions from over 4% to 8%. Employees that are still eligible to accrue benefits under the pension plans are limited to a 50% match of up to 6% of the participants’ compensation. In addition to pension benefits, certain health care and life insurance benefits are provided to qualifying U.S. employees upon retirement from IFF. Such coverage is provided through insurance plans with premiums based on benefits paid. The Company does not generally provide health care or life insurance coverage for retired employees of foreign subsidiaries; such benefits are provided in most foreign countries by government-sponsored plans, and the cost of these programs is not material. The Company offers a non-qualified Deferred Compensation Plan ("DCP") for certain key employees and non-employee directors. Eligible employees and non-employee directors may elect to defer receipt of salary, incentive payments and Board of Directors’ fees into participant-directed investments which are generally invested by the Company in individual variable life insurance contracts it owns that are designed to informally fund savings plans of this nature. The cash surrender value of life insurance is based on the net asset values of the underlying funds available to plan participants. At December 31, 2021 and December 31, 2020, the Consolidated Balance Sheets reflect liabilities of approximately $64 million and $59 million, respectively, related to the DCP in Other liabilities and approximately $26 million and $29 million, respectively, included in Capital in excess of par value related to the portion of the DCP that will be paid out in IFF shares. The total cash surrender value of life insurance contracts the Company owns in relation to the DCP and post-retirement life insurance benefits amounted to $52 million and $49 million at December 31, 2021 and 2020, respectively, and are recorded in Other assets in the Consolidated Balance Sheets. The plan assets and benefit obligations of the defined benefit pension plans are measured at December 31 of each year. U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2019 2021 2020 2019 Components of net periodic benefit cost Service cost for benefits earned (1) $ 1 $ 1 $ 1 $ 41 $ 24 $ 19 Interest cost on projected benefit obligation (2) 71 17 22 10 13 18 Expected return on plan assets (2) (106) (28) (28) (55) (46) (43) Net amortization of deferrals (2) 29 8 6 19 15 11 Settlements and curtailments (2) — — — (10) 5 — Net periodic benefit cost (5) (2) 1 5 11 5 Defined contribution and other retirement plans 36 13 9 33 7 9 Total expense $ 31 $ 11 $ 10 $ 38 $ 18 $ 14 Changes in plan assets and benefit obligations recognized in OCI Net actuarial (gain) loss $ 12 $ (1) $ (135) $ 70 Recognized actuarial loss (9) (8) (10) (20) Prior service cost — — (2) — Recognized prior service (cost) credit — — 1 — Currency translation adjustment — — (16) 28 Total (gain) loss recognized in OCI (before tax effects) $ 3 $ (9) $ (162) $ 78 _______________________ (1) Included as a component of Operating Profit. (2) Included as a component of Other Income (Expense), net. Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2019 Components of net periodic benefit cost Service cost for benefits earned $ 1 $ 1 $ 1 Interest cost on projected benefit obligation 7 2 2 Net amortization and deferrals (20) (5) (5) Total credit $ (12) $ (2) $ (2) Changes in plan assets and benefit obligations recognized in OCI Net actuarial loss $ (3) $ 5 Recognized actuarial loss (2) (1) Recognized prior service credit 6 6 Total recognized in OCI (before tax effects) $ 1 $ 10 The amounts of service cost, interest cost, expected return and net amortization and deferrals have been updated to reflect the correction of certain prior period amounts. The aggregate amount of the correction was approximately $17 million for the year ended December 31, 2021. The weighted-average actuarial assumptions used to determine expense at December 31 of each year are: U.S. Plans Non-U.S. Plans 2021 2020 2019 2021 2020 2019 Discount rate 2.51 % 3.26 % 4.31 % 0.85 % 1.49 % 2.22 % Expected return on plan assets 3.80 % 5.60 % 5.60 % 4.21 % 4.62 % 4.87 % Rate of compensation increase 3.25 % 3.25 % 3.25 % 2.56 % 2.46 % 1.93 % Changes in the postretirement benefit obligation and plan assets, as applicable, are detailed in the following table: U.S. Plans Non-U.S. Plans Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2021 2020 2021 2020 Benefit obligation at beginning of year $ 682 $ 621 $ 1,294 $ 1,099 $ 69 $ 64 Service cost for benefits earned 1 1 42 24 1 1 Interest cost on projected benefit obligation 12 17 10 13 1 2 Actuarial (gain) loss (5) 77 (146) 109 (4) 5 Plan amendments — — (2) — — — Adjustments for expense/tax contained in service cost — — (2) (1) — — Plan participants’ contributions — — 4 3 — — Benefits paid (37) (34) (34) (28) (4) (3) Curtailments / settlements — — (39) (11) — — Translation adjustments — — (93) 86 — — Acquisitions/Transferred Liabilities — — 465 — 3 — Other 9 — 2 — — — Benefit obligation at end of year $ 662 $ 682 $ 1,501 $ 1,294 $ 66 $ 69 Fair value of plan assets at beginning of year $ 678 $ 602 $ 1,145 $ 1,005 Actual return on plan assets 3 106 25 84 Employer contributions 5 4 32 20 Participants’ contributions — — 4 3 Benefits paid (37) (34) (34) (28) Settlements — — (24) (11) Translation adjustments — — (74) 70 Acquisitions/Transferred Assets — — 247 — Other — — (1) 2 Fair value of plan assets at end of year $ 649 $ 678 $ 1,320 $ 1,145 Funded status at end of year $ (13) $ (4) $ (181) $ (149) The amounts recognized in the balance sheet are detailed in the following table: U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Other assets $ 53 $ 54 $ 83 $ 47 Other current liabilities (5) (4) (2) (1) Retirement liabilities (61) (54) (262) (195) Net amount recognized $ (13) $ (4) $ (181) $ (149) The amounts recognized in AOCI are detailed in the following table: U.S. Plans Non-U.S. Plans Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2021 2020 2021 2020 Net actuarial loss $ 137 $ 134 $ 291 $ 454 $ 14 $ 19 Prior service cost (credit) — — (3) (2) (15) (21) Total AOCI (before tax effects) $ 137 $ 134 $ 288 $ 452 $ (1) $ (2) U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Accumulated Benefit Obligation — end of year $ 654 $ 680 $ 1,410 $ 1,243 Information for Pension Plans with an ABO in excess of Plan Assets: Projected benefit obligation $ 63 $ 60 $ 944 $ 813 Accumulated benefit obligation 62 60 330 762 Fair value of plan assets — 2 840 617 Weighted-average assumptions used to determine obligations at December 31 Discount rate 2.86 % 2.51 % 1.43 % 0.85 % Rate of compensation increase 3.25 % 3.25 % 2.72 % 2.55 % (DOLLARS IN MILLIONS) U.S. Plans Non-U.S. Plans Postretirement Estimated Future Benefit Payments 2022 $ 38 $ 36 $ 4 2023 38 36 3 2024 39 39 4 2025 39 40 4 2026 39 42 4 2027 - 2031 189 236 18 Contributions Required Company Contributions in the Following Year (2022) $ 5 $ 33 $ 4 The Company considers a number of factors in determining and selecting assumptions for the overall expected long-term rate of return on plan assets. The Company considers the historical long-term return experience of its assets, the current and expected allocation of its plan assets and expected long-term rates of return. The Company derives these expected long-term rates of return with the assistance of its investment advisors. The Company bases its expected allocation of plan assets on a diversified portfolio consisting of domestic and international equity securities, fixed income, real estate and alternative asset classes. The asset allocation is monitored on an ongoing basis. The Company considers a variety of factors in determining and selecting its assumptions for the discount rate at December 31. For the U.S. plans, the discount rate was based on the internal rate of return for a portfolio of high quality bonds rated Aa or higher by either Moody’s or Standard & Poor's with maturities that are consistent with the projected future benefit payment obligations of the plan. For the Non-U.S. Plans, the discount rates were determined by region and are based on high quality long-term corporate bonds. Consideration has been given to the duration of the liabilities in each plan when selecting the bonds to be used in determining the discount rate. The rate of compensation increase for all plans and the medical cost trend rate for the applicable U.S. plans are based on plan experience. The percentage of assets in the Company's pension plans, by type, is as follows: U.S. Plans Non-U.S. Plans 2021 2020 2021 2020 Cash and cash equivalents 1 % 1 % 6 % 3 % Equities 45 % 29 % 18 % 10 % Fixed income 54 % 70 % 34 % 38 % Property — % — % 6 % 8 % Alternative and other investments — % — % 36 % 41 % With respect to the U.S. plans, the expected return on plan assets was determined based on an asset allocation model using the current target allocation, real rates of return by asset class and an anticipated inflation rate. The target investment allocation is 10% equity securities and 90% fixed income securities. The expected annual rate of return for the non-U.S. plans employs a similar set of criteria adapted for local investments, inflation rates and in certain cases specific government requirements. The target asset allocation, for the non-U.S. plans, consists of approximately: 35% in fixed income securities; 35% in alternative investments; 15% in equity securities; and 15% in real estate. The following tables present the Company's plan assets for the U.S. and non-U.S. plans using the fair value hierarchy as of December 31, 2021 and 2020. The plans’ assets were accounted for at fair value and are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value assets and their placement within the fair value hierarchy levels. For more information on a description of the fair value hierarchy, see Note 16. U.S. Plans for the Year Ended December 31, 2021 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash Equivalents $ — $ 5 $ — $ 5 Fixed Income Securities Government & Government Agency Bonds — 15 — 15 Corporate Bonds — 77 — 77 Municipal Bonds — 4 — 4 Assets measured at net asset value (1) — — — 547 Total $ — $ 101 $ — $ 648 Receivables $ 1 Total $ 649 U.S. Plans for the Year Ended December 31, 2020 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash Equivalents $ — $ 4 $ — $ 4 Fixed Income Securities Government & Government Agency Bonds — 19 — 19 Corporate Bonds — 104 — 104 Municipal Bonds — 6 — 6 Assets measured at net asset value (1) — — — 544 Total $ — $ 133 $ — $ 677 Receivables $ 1 Total $ 678 _______________________ (1) Investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in the table above are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Balance Sheets. The total amount measured at net asset value includes approximately $294 million and $201 million in pooled equity funds and $253 million and $343 million in fixed income mutual funds for the years ended December 31, 2021 and 2020, respectively. Non-U.S. Plans for the Year Ended December 31, 2021 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash $ 37 $ 36 $ — $ 73 Equity Securities U.S. Large Cap 100 — — 100 Non-U.S. Large Cap 104 — — 104 Non-U.S. Mid Cap 1 — — 1 Non-U.S. Small Cap 1 — — 1 Emerging Markets 30 — — 30 Fixed Income Securities U.S. Corporate Bonds 42 — — 42 Non-U.S. Treasuries/Government Bonds 162 — — 162 Non-U.S. Corporate Bonds 58 137 — 195 Non-U.S. Asset-Backed Securities — 51 — 51 Non-U.S. Other Fixed Income 2 — — 2 Alternative Types of Investments Insurance Contracts — 265 — 265 Derivative Financial Instruments — 91 — 91 Absolute Return Funds 4 110 — 114 Other — 2 10 12 Real Estate Non-U.S. Real Estate 5 — 72 77 Total $ 546 $ 692 $ 82 $ 1,320 Non-U.S. Plans for the Year Ended December 31, 2020 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash $ 13 $ 19 $ — $ 32 Equity Securities U.S. Large Cap 57 8 — 65 Non-U.S. Large Cap 26 — — 26 Non-U.S. Mid Cap 1 — — 1 Non-U.S. Small Cap 1 — — 1 Emerging Markets 25 — — 25 Fixed Income Securities U.S. Corporate Bonds — 43 — 43 Non-U.S. Treasuries/Government Bonds 163 — — 163 Non-U.S. Corporate Bonds 34 139 — 173 Non-U.S. Asset-Backed Securities — 51 — 51 Non-U.S. Other Fixed Income 3 — — 3 Alternative Types of Investments Insurance Contracts — 247 — 247 Derivative Financial Instruments — 91 — 91 Absolute Return Funds 4 93 — 97 Other 11 3 19 33 Real Estate Non-U.S. Real Estate — — 94 94 Total $ 338 $ 694 $ 113 $ 1,145 Cash and cash equivalents are primarily held in registered money market funds which are valued using a market approach based on the quoted market prices of identical instruments. Other cash and cash equivalents are valued daily by the fund using a market approach with inputs that include quoted market prices for similar instruments. Equity securities are primarily valued using a market approach based on the quoted market prices of identical instruments. Pooled funds are typically common or collective trusts valued at their net asset values (NAVs). Fixed income securities are primarily valued using a market approach with inputs that include broker quotes and benchmark yields. Derivative instruments are valued by the custodian using closing market swap curves and market derived inputs. Real estate values are primarily based on valuation of the underlying investments, which include inputs such as cost, discounted future cash flows, independent appraisals and market comparable data. Hedge funds are valued based on valuation of the underlying securities and instruments within the funds. Quoted market prices are used when available and NAVs are used for unquoted securities within the funds. Absolute return funds are actively managed funds mainly invested in debt and equity securities and are valued at their NAVs. The following table presents a reconciliation of Level 3 non-U.S. plan assets held during the year ended December 31, 2021: Non-U.S. Plans (DOLLARS IN MILLIONS) Real Hedge Total Ending balance as of December 31, 2020 $ 94 $ 19 $ 113 Actual return on plan assets (3) 1 (2) Purchases, sales and settlements (19) (10) (29) Ending balance as of December 31, 2021 $ 72 $ 10 $ 82 The following weighted average assumptions were used to determine the postretirement benefit expense and obligation for the years ended December 31: Expense Liability 2021 2020 2021 2020 Discount rate 2.60 % 3.30 % 2.90 % 2.60 % Current medical cost trend rate 7.00 % 7.25 % 6.75 % 7.00 % Ultimate medical cost trend rate 4.75 % 4.75 % 4.75 % 4.75 % Medical cost trend rate decreases to ultimate rate in year 2030 2030 2030 2030 The following table presents the sensitivity of disclosures to changes in selected assumptions for the year ended December 31, 2021: (DOLLARS IN MILLIONS) U.S. Pension Plans Non-U.S. Pension Plans Postretirement Benefit Plan 25 Basis Point Decrease in Discount Rate Change in PBO $ 19 $ 77 N/A Change in ABO 19 73 2 Change in pension expense — 5 — 25 Basis Point Decrease in Long-Term Rate of Return Change in pension expense 1 3 N/A The Company contributed $32 million to its non-U.S. pension plans in 2021. No contributions were made to the Company's qualified U.S. pension plans in 2021. The Company made $5 million in benefit payments with respect to its non-qualified U.S. pension plan. In addition, $4 million of payments were made with respect to the Company's other postretirement plans. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | FINANCIAL INSTRUMENTS Fair Value Accounting guidance on fair value measurements specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's market assumptions. These two types of inputs create the following fair value hierarchy: • Level 1 — Quoted prices for identical instruments in active markets. • Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. • Level 3 — Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable . This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. The Company determines the fair value of structured liabilities (where performance is linked to structured interest rates, inflation or currency risks) using the London Interbank Offer Rate (“LIBOR”) swap curve and forward interest and exchange rates at period end. Such instruments are classified as Level 2 based on the observability of significant inputs to the model. The Company does not have any instruments classified as Level 3, other than those included in pension asset trusts included in Note 15. These valuations take into consideration the Company's credit risk and its counterparties’ credit risk. The carrying value and the estimated fair values of financial instruments at December 31 consisted of the following: 2021 2020 (DOLLARS IN MILLIONS) Carrying Value Fair Carrying Value Fair LEVEL 1 Cash and cash equivalents (1) $ 711 $ 711 $ 650 $ 650 2025 Notes (6) 1,001 968 — — 2027 Notes (6) 1,218 1,180 — — 2030 Notes (6) 1,511 1,466 — — 2040 Notes (6) 775 762 — — 2050 Notes (6) 1,572 1,556 — — LEVEL 2 Credit facilities and bank overdrafts (2) 7 7 2 2 Derivatives Derivative assets (3) — — 1 1 Derivative liabilities (3) 7 7 29 29 Commercial paper (2) 324 324 — — Long-term debt: 2021 Euro Notes (4) — — 368 370 2022 Notes (4) 300 300 — — 2023 Notes (4) 300 308 299 316 2024 Euro Notes (4) 565 585 614 648 2026 Euro Notes (4) 900 960 978 1,061 2028 Notes (4) 397 452 397 472 2047 Notes (4) 494 585 494 608 2048 Notes (4) 786 1,026 786 1,059 2018 Term Loan Facility (2) — — 240 240 2022 Term Loan Facility (2) — — 199 200 2024 Term Loan Facility (7) 625 625 — — 2026 Term Loan Facility (7) 625 625 — — Amortizing Notes (5) — — 36 37 _______________________ (1) The carrying amount of cash and cash equivalents approximates fair value due to the short maturity of those instruments. (2) The carrying amount approximates fair value as the interest rate is reset frequently based on current market rates as well as the short maturity of those instruments. (3) The carrying amount approximates fair value as the instruments are marked-to-market and held at fair value on the Consolidated Balance Sheets. (4) The fair value of the Company's long-term debt was calculated using discounted cash flows applying current interest rates and current credit spreads based on its own credit risk. (5) The fair value of the Amortizing Notes of the TEUs was based on the most recently quoted price for the outstanding securities, adjusted for any known significant deviation in value. The estimated fair value of these long-term obligations is not necessarily indicative of the amount that would be realized in a current market exchange. (6) The fair value of the Notes is based on marketed quoted price as there is an active market for the Notes and observable market data and inputs. (7) The carrying amount approximates fair value as the Term Loans were assumed at fair value and the interest rate is reset frequently based on current market rates. Derivatives Forward Currency Forward Contracts The Company periodically enters into foreign currency forward contracts with the objective of reducing exposure to cash flow volatility associated with its intercompany loans, foreign currency receivables and payables and anticipated purchases of certain raw materials used in operations. These contracts generally involve the exchange of one currency for a second currency at a future date, have maturities not exceeding twelve months and are with counterparties which are major international financial institutions. Commodity Contracts The Company utilizes options, futures and swaps that are not designated as hedging instruments to reduce exposure to commodity price fluctuations on purchases of inventory such as soybeans, soybean oil and soybean meal. Cash Flow Hedges The Company entered into several forward currency contracts which qualified as cash flow hedges. The objective of these hedges is to protect against the currency risk associated with forecasted U.S. dollar ("USD") denominated raw material purchases made by Euro ("EUR") functional currency entities which result from changes in the EUR/USD exchange rate. The effective portions of cash flow hedges are recorded in OCI as a component of Gains/(Losses) on derivatives qualifying as hedges in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss). Realized gains/(losses) in AOCI related to cash flow hedges of raw material purchases are recognized as a component of Cost of goods sold in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss) in the same period as the related costs are recognized. Hedges Related to Issuances of Debt Subsequent to the issuance of the 2021 Euro Notes and 2026 Euro Notes during the third quarter of 2018, the Company designated the debt as a hedge of a portion of its net European investments. Accordingly, the change in the value of the debt that is attributable to foreign exchange movements is recorded in OCI as a component of foreign currency translation adjustments in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss). Subsequent to the issuance of the 2024 Euro Notes during the first quarter of 2016, the Company designated the debt as a hedge of a portion of its net European investments. Accordingly, the change in the value of the debt that is attributable to foreign exchange movements is recorded in OCI as a component of foreign currency translation adjustments in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss). During the first quarter of 2016, the Company entered into and terminated two Euro interest rate swap agreements to hedge the anticipated issuance of fixed-rate debt. These swaps were designated as cash flow hedges. The effective portions of cash flow hedges are recorded in OCI as a component of Losses on derivatives qualifying as hedges in the accompanying Consolidated Statements of Income and Comprehensive Income (Loss). The Company incurred a loss of €3 million ($3 million) due to the termination of these swaps. The loss is being amortized as interest expense over the life of the 2024 Euro Notes as discussed in Note 9. During the fourth quarter of 2016 and the first quarter of 2017, the Company entered into interest rate swap agreements to hedge the anticipated issuance of fixed-rate debt, which are designated as cash flow hedges. The various hedge instruments were settled upon issuance of the debt on May 18, 2017 and resulted in a loss of approximately $5 million. As discussed in Note 9, the loss is being amortized as interest expense over the life of the 2047 Notes. Cross Currency Swaps During the third quarter of 2019, the Company entered into a transaction to unwind the four cross currency swaps designated as net investment hedges issued in the fourth quarter of 2018 and received proceeds of $34 million, including $8 million of interest income. The gain arising from the termination of the swaps has been included as a component of Accumulated other comprehensive loss. Following the termination of the existing swaps, (during the third quarter of 2019,) the Company entered into four new EUR/USD cross currency swaps that mature through May 2023. The swaps all qualified as net investment hedges in order to mitigate a portion of the Company's net European investments from foreign currency risk. During the third quarter of 2020, the Company entered into a transaction to unwind two of the swaps issued in the third quarter of 2019 and paid proceeds of $15 million, net of accrued interest receivable of $2 million. The loss arising from the termination of the swaps has been included as a component of accumulated other comprehensive loss. As of December 31, 2021, the two remaining swaps were in a net liability position with an aggregate fair value of $5 million which was classified as other current liabilities. Changes in fair value related to cross currency swaps are recorded in OCI. The following table shows the notional amount of the Company’s derivative instruments outstanding as of December 31, 2021 and December 31, 2020: December 31, (DOLLARS IN MILLIONS) 2021 2020 Foreign currency contracts $ 46 $ 221 Commodity contracts 10 — Cross currency swaps 300 300 The following tables show the Company’s derivative instruments measured at fair value (Level 2 of the fair value hierarchy) as reflected in the Consolidated Balance Sheets as of December 31, 2021 and December 31, 2020: December 31, 2021 (DOLLARS IN MILLIONS) Fair Value of Derivatives Fair Value of Derivatives Not Designated as Hedging Instruments Total Fair Value Derivative assets (1) Foreign currency contracts $ — $ — $ — Derivative liabilities (2) Foreign currency contracts $ — $ 2 $ 2 Cross currency swaps 5 — 5 Total derivative liabilities $ 5 $ 2 $ 7 December 31, 2020 (DOLLARS IN MILLIONS) Fair Value of Derivatives Designated as Hedging Instruments Fair Value of Derivatives Not Designated as Hedging Instruments Total Fair Value Derivative assets (1) Foreign currency contracts $ — $ 1 $ 1 Derivative liabilities (2) Foreign currency contracts $ 6 $ — $ 6 Cross currency swaps 23 — 23 Total derivative liabilities $ 29 $ — $ 29 _______________________ (1) Derivative assets are recorded to Prepaid expenses and other current assets in the Consolidated Balance Sheets. (2) Derivative liabilities are recorded as Other current liabilities in the Consolidated Balance Sheets. The following table shows the effect of the Company’s derivative instruments which were not designated as hedging instruments in the Consolidated Statements of Income and Comprehensive Income (Loss) for the years ended December 31, 2021 and December 31, 2020: (DOLLARS IN MILLIONS) Amount of Gain (Loss) Location of Gain (Loss) 2021 2020 Foreign currency contracts $ 6 $ 9 Other (income) expense, net These net gains (losses) mostly offset any recognized gains (losses) arising from the revaluation of the related intercompany loans during the same respective periods. The following table shows the effect of the Company’s derivative instruments designated as cash flow and net investment hedging instruments, net of tax, in the Consolidated Statements of Income and Comprehensive Income (Loss) for the years ended December 31, 2021 and December 31, 2020: Amount of Gain (Loss) Location of Gain Amount of Gain (Loss) Reclassified from AOCI For the years ended For the years ended (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Derivatives in Cash Flow Hedging Relationships: Foreign currency contracts $ 7 $ (10) Cost of goods sold $ (6) $ 5 Interest rate swaps (1) 1 1 Interest expense (1) (1) Derivatives in Net Investment Hedging Relationships: Cross currency swaps 14 (13) N/A — — Non-Derivatives in Net Investment Hedging Relationships: 2024 Euro Notes 38 (42) N/A — — 2021 Euro Notes & 2026 Euro Notes 72 (92) N/A — — Total $ 132 $ (156) $ (7) $ 4 _______________________ (1) Interest rate swaps were entered into as pre-issuance hedges for the Company's bond offerings. The ineffective portion of the above noted cash flow hedges and net investment hedges was not material for the years ended December 31, 2021 and 2020. At December 31, 2021, based on current market rates, the Company does not expect any derivative losses (net of tax), included in AOCI, to be reclassified into earnings within the next 12 months. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income Loss | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following tables present changes in the accumulated balances for each component of other comprehensive income, including current period other comprehensive income and reclassifications out of accumulated other comprehensive income: (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive loss, net of tax, as of December 31, 2020 $ (285) $ (7) $ (406) $ (698) OCI before reclassifications (848) 1 97 (750) Amounts reclassified from AOCI — 7 18 25 Net current period other comprehensive income (loss) (848) 8 115 (725) Accumulated other comprehensive loss, net of tax, as of December 31, 2021 $ (1,133) $ 1 $ (291) $ (1,423) (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2019 $ (373) $ 2 $ (346) $ (717) OCI before reclassifications 88 (5) (74) 9 Amounts reclassified from AOCI — (4) 14 10 Net current period other comprehensive income (loss) 88 (9) (60) 19 Accumulated other comprehensive loss, net of tax, as of December 31, 2020 $ (285) $ (7) $ (406) $ (698) (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2018 $ (397) $ 5 $ (310) $ (702) OCI before reclassifications 24 5 (46) (17) Amounts reclassified from AOCI — (8) 10 2 Net current period other comprehensive income (loss) 24 (3) (36) (15) Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2019 $ (373) $ 2 $ (346) $ (717) The following table provides details about reclassifications out of AOCI to the Consolidated Statement of Comprehensive Income: Year Ended December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Affected Line Item in the Consolidated Statement of Comprehensive Income (Losses) gains on derivatives qualifying as hedges Foreign currency contracts $ (7) $ 6 $ 10 Cost of goods sold Interest rate swaps (1) (1) (1) Interest expense Tax 1 (1) (1) Provision for income taxes Total $ (7) $ 4 $ 8 Total, net of income taxes (Losses) gains on pension and postretirement liability adjustments Prior service cost $ 7 $ 7 $ 6 (1) Actuarial losses (38) (30) (19) (1) Other items 17 — — (2) Tax (4) 9 3 Provision for income taxes Total $ (18) $ (14) $ (10) Total, net of income taxes _______________________ (1) The amortization of prior service cost and actuarial loss is included in the computation of net periodic benefit cost. Refer to Note 15 to the Consolidated Financial Statements for additional information regarding net periodic benefit cost. (2) Represents certain amounts of pension income that were corrected in the current year. Refer to Note 15 for additional information. |
Concentrations of Credit Risk
Concentrations of Credit Risk | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Concentrations of Credit Risk | CONCENTRATIONS OF CREDIT RISKThe Company does not have significant concentrations of risk in financial instruments. Temporary investments are made in a well-diversified portfolio of high-quality, liquid obligations of government, corporate and financial institutions. There are also limited concentrations of credit risk with respect to trade receivables because the Company has a large number of customers who are spread across many industries and geographic regions. The Company’s larger customers are each spread across many sub-categories of its segments and geographical regions. The Company had no customer that accounted for more than 10% of its consolidated net sales for the years ended 2021, 2020 and 2019. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Guarantees and Letters of Credit The Company has various bank guarantees, letters of credit and surety bonds which are available for use to support its ongoing business operations, satisfy governmental requirements associated with pending litigation in various jurisdictions and the payment of customs duties. At December 31, 2021, the Company had total bank guarantees, commercial guarantees, standby letters of credit and surety bonds of approximately $392 million with various financial institutions. Included in the above aggregate amount was a total of $12 million for other assessments in Brazil for various income tax and indirect tax disputes related to fiscal years 1998-2011. There was a total of approximately $28 million outstanding under the bank guarantees and standby letters of credit and approximately $98 million outstanding under the commercial guarantees as of December 31, 2021. In order to challenge the assessments in these cases in Brazil, the Company has been required to and has separately pledged assets, principally property, plant and equipment to cover assessments in the amount of approximately $7 million as of December 31, 2021. Lines of Credit The Company has various lines of credit which are available to support its ongoing business operations. As of December 31, 2021, the Company had available lines of credit of $1.398 billion with various financial institutions, in addition to the $1.025 billion of capacity under the Credit Facility. There were total draw downs of approximately $334 million pursuant to these lines of credit as of December 31, 2021, including approximately $324 million related to the issuance of commercial paper. Litigation The Company assesses contingencies related to litigation and/or other matters to determine the degree of probability and range of possible loss. A loss contingency is accrued in the Company’s Consolidated Financial Statements if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Because litigation is inherently unpredictable and unfavorable resolutions could occur, assessing contingencies is highly sensitive and requires judgments about future events. On at least a quarterly basis, the Company reviews contingencies related to litigation to determine the adequacy of accruals. The amount of ultimate loss may differ from these estimates and further events may require the Company to increase or decrease the amounts it has accrued on any matter. Periodically, the Company assesses its insurance coverage for all known claims, where applicable, taking into account aggregate coverage by occurrence, limits of coverage, self-insured retentions and deductibles, historical claims experience and claims experience with its insurance carriers. The liabilities are recorded at management’s best estimate of the probable outcome of the lawsuits and claims, taking into consideration the facts and circumstances of the individual matters as well as past experience on similar matters. At each balance sheet date, the key issues that management assesses are whether it is probable that a loss as to asserted or unasserted claims has been incurred and if so, whether the amount of loss can be reasonably estimated. The Company records the expected liability with respect to claims in Other liabilities and expected recoveries from its insurance carriers in Other assets. The Company recognizes a receivable when it believes that realization of the insurance receivable is probable under the terms of the insurance policies and its payment experience to date. Litigation Matters On August 12, 2019, Marc Jansen filed a putative securities class action against IFF, its Chairman and CEO, and its then-CFO, in the United States District Court for the Southern District of New York. The lawsuit was filed after IFF disclosed that preliminary results of investigations indicated that Frutarom businesses operating principally in Russia and Ukraine had made improper payments to representatives of customers. On March 16, 2020, an amended complaint was filed, which added Frutarom and certain former officers of Frutarom as defendants. The amended complaint alleges, among other things, that defendants made materially false and misleading statements or omissions concerning IFF’s acquisition of Frutarom, the integration of the two companies, and the companies’ financial reporting and results. The amended complaint asserts claims under Section 10(b) of the Securities Exchange Act of 1934 and SEC Rule 10b-5, and under the Israeli Securities Act-1968, against all defendants, and under Section 20(a) of the Securities Exchange Act of 1934 against the individual defendants, on behalf of a putative class of persons and entities who purchased or otherwise acquired IFF securities on the New York Stock Exchange between May 7, 2018 and August 12, 2019 and persons and entities who purchased or otherwise acquired IFF securities on the Tel Aviv Stock Exchange between October 9, 2018 and August 12, 2019. The amended complaint seeks an award of unspecified compensatory damages, costs, and expenses. IFF, its officers, and Frutarom filed a motion to dismiss the case on June 26, 2020, which was granted on March 30, 2021. On April 28, 2021, lead plaintiffs filed a notice of appeal to the United States Court of Appeals for the Second Circuit. Lead plaintiffs are pursuing the appeal only against Frutarom and certain former officers of Frutarom. The parties have submitted their briefs to the Court of Appeals, and the Court of Appeals heard oral argument on February 10, 2022. Two motions to approve securities class actions were filed in the Tel Aviv District Court, Israel, in August 2019, similarly alleging, among other things, false and misleading statements largely in connection with IFF’s acquisition of Frutarom and the above-mentioned improper payments. One motion ("Borg") asserts claims under the U.S. federal securities laws against IFF, its Chairman and CEO, and its former CFO. On November 8, 2020, IFF and its officers filed their response to the Borg motion. On April 20, 2021, Mr. Borg filed a motion to stay the proceeding pending an appellate decision in the U.S. proceeding. On June 15, 2021, August 11, 2021 November 9, 2021 and January 9, 2022, the U.S. lead plaintiffs filed update notices with the Israeli court regarding the appeal in the U.S. proceeding. The other motion ("Oman") (following an initial amendment) asserted claims under the Israeli Securities Act-1968 against IFF, its Chairman and CEO, and its former CFO, and against Frutarom and certain former Frutarom officers and directors, as well as claims under the Israeli Companies Act-1999 against certain former Frutarom officers and directors. On February 17, 2021, the court granted a motion by the Oman plaintiff to remove IFF and its officers from the motion and to add factual allegations from the US amended complaint. The amended Oman motion was filed on July 4, 2021. On August 29, 2021, the former Frutarom officers and certain former Frutarom directors filed a motion to dismiss the case. On September 30, 2021, Frutarom notified the court that it joins the legal arguments made in the motion to dismiss. A court hearing on the motion to dismiss was held on October 25, 2021, and on February 22, 2022, the court denied the motion to dismiss. On October 29, 2019, IFF and Frutarom filed a claim in the Tel Aviv District Court, Israel, against Ori Yehudai, the former President and CEO of Frutarom, and against certain former directors of Frutarom, challenging the bonus of US $20 million granted to Yehudai in 2018. IFF and Frutarom allege, among other things, that Yehudai was not entitled to receive the bonus because he breached his fiduciary duty by, among other things, knowing of the above-mentioned improper payments and failing to prevent them from being made. The parties agreed, pursuant to the court’s recommendation, to attempt to resolve the dispute through mediation, which is still ongoing, during which the proceedings relating to this claim are stayed. A court decision is pending with regard to the order in which this claim, if it does not settle, and the class action described below will be heard. On March 11, 2020, an IFF shareholder filed a motion to approve a class action in Israel against, among others, Frutarom, Yehudai, and Frutarom’s former board of directors, alleging that former minority shareholders of Frutarom were harmed as a result of the US $20 million bonus paid to Yehudai. The parties to this motion agreed to attempt to resolve the dispute through mediation to take place regarding the aforesaid claim against Yehudai. On July 27, 2021, counsel to the movant in the class action filed a notice with the court that the mediation process ended without an agreement. On August 26, 2021, a motion to dismiss the class action application was filed by Yehudai and certain former directors of Frutarom. On September 9, 2021, an additional motion to dismiss was filed by other former directors of Frutarom together with ICC Industries, Inc. and its affiliates. A court hearing on the motions to dismiss was held on December 6, 2021, and on December 9, 2021, the court denied the motions to dismiss. Investigation On June 3, 2020, the Israel Police’s National Fraud Investigation Unit and the Israeli Securities Authority commenced an investigation into Frutarom and certain of its former executives, based on suspected bribery of foreign officials, money laundering, and violations of the Israeli Securities Act-1968. As part of the investigation, the National Fraud Investigation Unit and the Israeli Securities Authority have provided IFF and Frutarom with various orders, mainly requesting that IFF and Frutarom provide certain documents and materials. In addition, a seizure of assets was imposed on Frutarom and certain of its affiliates. IFF has been working to ensure compliance with such orders, all in accordance with, and subject to, Israeli law. On August 25, 2021, the Israeli Police informed Frutarom that they have decided to remove the temporary criminal seizure of assets order from the real estate assets of Frutarom and its related companies, which was done in parallel with the transfer of the case to the District Attorney's Office in Israel. China Facilities Hangzhou Ingredients Plant As previously disclosed, in 2014 the Company agreed to relocate an ingredients facility in Hangzhou, China to Jiande, China. In connection with such relocation, the Company entered into a land swap and relocation agreement with the local authority pursuant to which the Company agreed to transfer ownership of the land underlying the facility in exchange for various elements of compensation, including cash and land use rights for the new facility. The Company initially determined that the gain, if any, would be recognized upon final transfer of ownership. During the fourth quarter of 2019, the Company completed the final environmental cleanup activities and transferred ownership of the land to the local authority. The amount of the gain ultimately recognized in the fourth quarter of 2019 was $4 million. The amount was recorded as a component of Other income, net. The net book value of the plant in Jiande, China was approximately $67 million as of December 31, 2021. Guangzhou Taste Plant During the fourth quarter of 2016, the Company was notified that certain governmental authorities have begun to evaluate a change in the zoning of the Guangzhou Taste plant. The zoning, if changed, would prevent the Company from continuing to manufacture product at the existing plant. The ultimate outcome of any change that the governmental authorities may propose, the timing of such a change, and the nature of any compensation arrangements that might be provided to the Company are uncertain. To address the governmental authorities' requirements, the Company has been transferring certain production capabilities from the Guangzhou Taste plant to a newly built facility in Zhangjiagang. The net book value of the plant in Guangzhou was approximately $60 million as of December 31, 2021. Guangzhou Scent Plant During the second quarter of 2019, the Company was notified that certain governmental authorities had changed the zoning where the Guangzhou Scent plant is located. The zoning change did not affect the current operations but prevents expansions or other increases in the operating capacity of the plant. The Company believes that it is possible that the zoning may be enforced in the future such that it would not be able to continue manufacturing at the existing site. The ultimate outcome of any change that the governmental authorities may propose, the timing of such a change, and the nature of any compensation arrangements that might be provided to the Company are uncertain. The net book value of the existing plant was approximately $8 million as of December 31, 2021. Zhejiang Ingredients Plant In the fourth quarter of 2017, the Company concluded discussions with the government regarding the relocation of its Fragrance Ingredients plant in Zhejiang and, based on the agreements reached, expects to receive total compensation payments up to approximately $50 million. The relocation compensation will be paid to the Company over the period of the relocation which is expected to be through the end of 2022. The Company received payments totaling $30 million through the end of 2019. In the third quarter of 2020, the Company received a payment of approximately $13 million. A final payment is expected to be received upon completion of the final environmental inspection. Production at the facility ceased during 2019. In the second quarter of 2020, the Company transferred ownership of the site to the government. The land remediation activities are in progress and are expected to be completed in the second half of 2022. During the second quarter of 2020, the remaining net book value of the plant was written off. Products previously manufactured at the Zhejiang Ingredients plant are now being produced at the Company's Ingredients plant in Jiande. Total China Operations The total net book value of all plants in China was approximately $279 million as of December 31, 2021. If the Company is required to close a plant, or operate one at significantly reduced production levels on a permanent basis, the Company may be required to record charges that could have a material impact on its consolidated financial results of operations, financial position and cash flows in future periods. Other Contingencies The Company has contingencies involving third parties (such as labor, contract, technology or product-related claims or litigation) as well as government-related items in various jurisdictions in which it operates pertaining to such items as value-added taxes, other indirect taxes, customs and duties and sales and use taxes. It is possible that cash flows or results of operations, in any period, could be materially affected by the unfavorable resolution of one or more of these contingencies. The most significant government-related contingencies exist in Brazil. With regard to the Brazilian matters, the Company believes it has valid defenses for the underlying positions under dispute; however, in order to pursue these defenses, the Company is required to, and has provided, bank guarantees and pledged assets in the aggregate amount of $19 million. The Brazilian matters take an extended period of time to proceed through the judicial process and there are a limited number of rulings to date. Brazil Tax Credits In 2017 the Brazilian Supreme Court (“BSC”) ruled that Brazilian tax authorities should not include a value added tax known as "ICMS" in the calculation of certain indirect taxes ("PIS/COFINS"). By removing the ICMS from the calculation of the indirect tax base, the Court effectively eliminated a “tax on tax”. The Brazilian tax authorities filed an appeal seeking clarification of certain matters, including the amount of ICMS to which taxpayers would be entitled in order to reduce their indirect tax base (i.e. the gross rate or the net rate.) In light of the BSC's decision, in November 2017, the Company filed suit consistent with the BSC decision to require that ICMS be excluded from the PIS/COFINS calculation and received a favorable preliminary decision that was confirmed by the BSC in September 2018. This preliminary ruling granted the Company the right to prospectively exclude ICMS amounts from the PIS/COFINS calculation, but left open the issue of whether the Company could recover the gross or net amount of ICMS amounts paid on PIS/COFINS for the period from November 2011 to December 2018. In January 2020, the Company was informed of a favorable ruling from the Brazilian tax authorities confirming that the Company was entitled to recover the overpayments of certain indirect taxes (known as PIS/COFINS) for the period from November 2011 to December 2018, plus interest on the amount of the overpayments. The overpayments arose from the inclusion of a value added tax known as ICMS in the calculation of the PIS/COFINS tax. The ruling did not, however, settle the question of whether the Company is eligible to recover overpayments based on the gross or the net amount of ICMS amounts paid on PIS/COFINS. The Company calculated the amount of overpayments using the gross method which yields a higher amount than the application of the net method. A final ruling on the gross versus net amount issue was made by the Brazilian Supreme Court who affirmed the use of the gross calculation with respect to claims submitted prior to March 2017. Although the Company had not submitted a claim until after March 2017, the Company believes that the Supreme Court, whilst confirming the use of the gross method of calculation, does not override the January 2020 ruling by the Brazilian tax authorities with respect to the timeframe for the calculation. In addition to the $8 million recognized in the fourth quarter of 2019, during the first quarter of 2020 the Company recognized $4 million as an additional recovery on the existing claim. During 2020, the Company also recognized $3 million related to a claim from another of its subsidiaries in Brazil. The income was recognized as a reduction in Selling and Administrative expenses. Avicel® PH NF (Pharma Solutions) The Company has determined that certain grades of microcrystalline cellulose (Avicel® PH 101, 102, and 200 NF and Avicel® RC-591 NF) were found to be out-of-specification (collectively, “OOS Avicel® NF”). The Company does not expect this issue to affect the functionality of Avicel® NF grades or to pose a human health hazard. Corrective actions have been implemented to improve operational and laboratory conditions. Based on the information available, as of December 31, 2021, costs associated with the issue are approximately $21 million, and the Company has a current accrual of approximately $40 million. The total amount of exposure may increase as additional customers present claims. Other The Company determines estimates of reasonably possible losses or ranges of reasonably possible losses in excess of related accrued liabilities, if any, when it has determined that either a loss is reasonably possible or a loss in excess of accrued amounts is reasonably possible and the amount of losses or range of losses is determinable. For all third party contingencies (including labor, contract, technology, tax, product-related claims and business litigation), the Company currently estimates that the aggregate range of reasonably possible losses in excess of any accrued liabilities is $0 to approximately $42 million. The estimates included in this amount are based on the Company’s analysis of currently available information and, as new information is obtained, these estimates may change. Due to the inherent subjectivity of the assessments and the unpredictability of outcomes of legal proceedings, any amounts accrued or included in this aggregate amount may not represent the ultimate loss to the Company from the matters in question. Thus, the Company’s exposure and ultimate losses may be higher or lower, and possibly significantly so, than the amounts accrued or the range disclosed above. |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2021 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interests | REDEEMABLE NON-CONTROLLING INTERESTSThrough certain subsidiaries of the Company's Frutarom acquisition, there are certain non-controlling interests that carry redemption features. The non-controlling interest holders have the right, over a stipulated period of time, to sell their respective interests to Frutarom, and Frutarom has the option to purchase these interests (subject to the same timing). These options carry, in most cases, similar price and conditions of exercise, and will be settled on a pre-agreed formula based on a multiple of the average EBITDA of consecutive quarters to be achieved during the period ending prior to the exercise date. The following table sets forth the details of the Company's redeemable non-controlling interests: (DOLLARS IN MILLIONS) Redeemable Balance at December 31, 2018 $ 82 Acquired through acquisitions during 2019 24 Share of profit or loss attributable to redeemable noncontrolling interests 1 Redemption value adjustment for the current period 2 Measurement period adjustments 5 Dividends paid (1) Exercises of redeemable noncontrolling interests (14) Balance at December 31, 2019 $ 99 Impact of foreign exchange translation 13 Share of profit or loss attributable to redeemable noncontrolling interests 3 Redemption value adjustment for the current period (2) Measurement period adjustments (1) Dividends paid (2) Exercises of redeemable noncontrolling interests (12) Balance at December 31, 2020 $ 98 Impact of foreign exchange translation 1 Share of profit or loss attributable to redeemable noncontrolling interests 6 Redemption value adjustment for the current period 2 Dividends paid (2) Balance at December 31, 2021 $ 105 For 2019, the increase in redeemable non-controlling interests was primarily due to the interests acquired through acquisitions during the first quarter of 2019. For 2020, the increase in redeemable non-controlling interests was primarily due to the impact of foreign exchange translation offset by the exercise of options. In addition, during 2020, the Company paid $14 million related to the purchase of certain non-controlling interests where the option related to the purchase had been exercised in the fourth quarter of 2019. For 2021, the increase in redeemable non-controlling interests was primarily due to profits attributable to redeemable non-controlling interests. |
Business Divestiture
Business Divestiture | 12 Months Ended |
Dec. 31, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Business Divestiture | BUSINESS DIVESTITURES Fruit Preparation During the second quarter of 2021, the Company entered into an agreement to divest its fruit preparation business, which is a part of the Nourish segment. The transaction closed on October 1, 2021, with the Company receiving cash proceeds of approximately $115 million in the third quarter of 2021, net of tax of approximately $12 million. Microbial Control During the third quarter of 2021, the Company announced it had entered into an agreement to sell its Microbial Control business unit, which is a part of the Health & Biosciences segment. The Company acquired the Microbial Control business unit as part of the Merger with N&B. The Company classifies assets as "held for sale" when, among other factors, management approves and commits to a formal plan of sale with the expectation the sale will be completed within one year. Pursuant to ASC 360, assets held for sale were recorded at the lower of carrying value or the fair market value, less costs to sell. The sale does not constitute a strategic shift of the Company’s operations and does not, and will not, have major effects on the Company’s operations and financial results; therefore, the transaction does not meet the discontinued operations criteria. Based on the agreement to sell, it was determined that the assets and liabilities of the Microbial Control business unit met the criteria to be presented as “held for sale." As a result, as of December 31, 2021, such assets and liabilities were classified as held for sale and are reported on the Consolidated Balance Sheets. The Company expects that the transaction will close for approximately $1.273 billion in the second quarter of 2022 and that the sale proceeds less costs to sell will exceed the carrying value of the net assets. Included in the Company's Consolidated Balance Sheets as of December 31, 2021 are the following carrying amounts of the assets and liabilities held for sale: (DOLLARS IN MILLIONS) December 31, 2021 Assets Trade receivables, net $ 63 Inventories 125 Property, plant and equipment, net 30 Goodwill 536 Other intangible assets, net 349 Operating lease right-of-use assets 5 Other assets 14 Total assets held-for-sale $ 1,122 Liabilities Accounts payable $ 69 Deferred tax liability 24 Other liabilities 8 Total liabilities held-for-sale $ 101 |
Assets Held For Sale
Assets Held For Sale | 12 Months Ended |
Dec. 31, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Assets Held For Sale | BUSINESS DIVESTITURES Fruit Preparation During the second quarter of 2021, the Company entered into an agreement to divest its fruit preparation business, which is a part of the Nourish segment. The transaction closed on October 1, 2021, with the Company receiving cash proceeds of approximately $115 million in the third quarter of 2021, net of tax of approximately $12 million. Microbial Control During the third quarter of 2021, the Company announced it had entered into an agreement to sell its Microbial Control business unit, which is a part of the Health & Biosciences segment. The Company acquired the Microbial Control business unit as part of the Merger with N&B. The Company classifies assets as "held for sale" when, among other factors, management approves and commits to a formal plan of sale with the expectation the sale will be completed within one year. Pursuant to ASC 360, assets held for sale were recorded at the lower of carrying value or the fair market value, less costs to sell. The sale does not constitute a strategic shift of the Company’s operations and does not, and will not, have major effects on the Company’s operations and financial results; therefore, the transaction does not meet the discontinued operations criteria. Based on the agreement to sell, it was determined that the assets and liabilities of the Microbial Control business unit met the criteria to be presented as “held for sale." As a result, as of December 31, 2021, such assets and liabilities were classified as held for sale and are reported on the Consolidated Balance Sheets. The Company expects that the transaction will close for approximately $1.273 billion in the second quarter of 2022 and that the sale proceeds less costs to sell will exceed the carrying value of the net assets. Included in the Company's Consolidated Balance Sheets as of December 31, 2021 are the following carrying amounts of the assets and liabilities held for sale: (DOLLARS IN MILLIONS) December 31, 2021 Assets Trade receivables, net $ 63 Inventories 125 Property, plant and equipment, net 30 Goodwill 536 Other intangible assets, net 349 Operating lease right-of-use assets 5 Other assets 14 Total assets held-for-sale $ 1,122 Liabilities Accounts payable $ 69 Deferred tax liability 24 Other liabilities 8 Total liabilities held-for-sale $ 101 |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS Health Wright Products, LLC Acquisition On February 16, 2022, the Company announced that it had entered into an agreement to acquire Health Wright Products, LLC, a leader in formulation and capsule manufacturing for the dietary supplement industry. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts and Reserves | 12 Months Ended |
Dec. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts and Reserves | SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS AND RESERVES (IN MILLIONS) For the Year Ended December 31, 2021 Balance at Additions (deductions) charged to costs and expenses Acquisitions Accounts Translation Other (1) Balance at end of period Allowance for doubtful accounts $ 21 $ 6 $ — $ (1) $ — $ 20 $ 46 Valuation allowance on credit and operating loss carryforwards and other net deferred tax assets 257 (18) 9 — (16) — 232 For the Year Ended December 31, 2020 Balance at Additions charged to costs and expenses Acquisitions Accounts Translation Other Balance at Allowance for doubtful accounts $ 16 $ 6 $ — $ (1) $ — $ — $ 21 Valuation allowance on credit and operating loss carryforwards and other net deferred tax assets 204 35 — — 18 — 257 For the Year Ended December 31, 2019 Balance at Additions charged to costs and expenses Acquisitions Accounts Translation Other (2) Balance at Allowance for doubtful accounts $ 9 $ 1 $ — $ (2) $ — $ 8 $ 16 Valuation allowance on credit and operating loss carryforwards and other net deferred tax assets 200 6 — — (2) — 204 _______________________ (1) The amount relates to adjustment to allowances for bad debts as a result of purchase price allocation related to the Merger with N&B. (2) The amount relates to an adjustment to reflect the correct classification of amounts between the allowance for bad debts and Trade Receivables. |
Nature of Operations and Summ_2
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fiscal Year End | Fiscal Year End Effective 2021, the Company changed its fiscal year end from a 52/53-week fiscal year ending on the Friday closest to the last day of the quarter, to a calendar year of the twelve-month period from January 1 to December 31. The Company elected to change its fiscal year end in connection with the Merger with N&B to align the Company’s fiscal year with N&B’s. The 2021 fiscal year was a 52 week period, the 2020 fiscal year was a 52 week period and the 2019 fiscal year was a 53 week period. The impact of the additional week in 2019 on revenue and net income was not material. For ease of presentation, December 31 is used consistently throughout the financial statements and notes to represent the period-end date. For the 2021, 2020 and 2019 fiscal years, the actual closing dates were December 31, January 1, and January 3, respectively. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and judgments that affect the amounts reported in the Consolidated Financial Statements and accompanying notes. The inputs into our judgments and estimates take into account the current economic implications of the novel coronavirus ("COVID-19") on our critical and significant accounting estimates, including estimates associated with future cash flows that are used in assessing the risk of impairment of certain long-lived assets. Actual results could differ from those estimates. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of International Flavors & Fragrances Inc. and those of its subsidiaries. Significant intercompany balances and transactions have been eliminated. To the extent a subsidiary is not wholly owned, any related noncontrolling interests are included as a separate component of Shareholders’ Equity. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue from contracts with customers when the contract or purchase order has received approval and commitment from both parties, has the rights of the parties and payment terms (which can vary by customer) identified, has commercial substance, and collectability of consideration is probable. In addition, the control of the promised goods is transferred to the customers in an amount that reflects the consideration it expects to be entitled to in exchange for those goods. Sales, value added, and other taxes the Company collects are excluded from revenues. The Company receives payment in accordance with standard customer terms. |
Foreign Currency Translation | Foreign Currency Translation The Company translates the assets and liabilities of non-U.S. subsidiaries into U.S. dollars at year-end exchange rates. Income and expense items are translated at average exchange rates during the year. Cumulative translation adjustments are shown as a separate component of Shareholders’ Equity. |
Research and Development | Research and Development Research and development (“R&D”) expenses relate to the development of new and improved products, technical product support and compliance with governmental regulation. All research and development costs are expensed as incurred. |
Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include highly liquid investments with maturities of three months or less at date of purchase. |
Restricted Cash | Restricted Cash Restricted cash is comprised of cash or cash equivalents which has been placed into an account that is restricted for a specific use and from which the Company cannot withdraw the cash on demand. |
Accounts Receivable | Accounts Receivable The Company has certain factoring agreements in the U.S. and The Netherlands under which it can factor up to approximately $250 million of its trade receivables. The factoring agreements supplement the Company's existing factoring programs that are sponsored by certain customers. Under all of the arrangements, the Company sells the trade receivables on a non-recourse basis to unrelated financial institutions and accounts for the transactions as sales of receivables. The applicable receivables are removed from the Company's Consolidated Balance Sheets when the cash proceeds are received by the Company. The impact on cash provided by operations from participating in these programs was an increase of approximately $19 million, $43 million and $38 million in 2021, 2020 and 2019, respectively, compared to each respective prior year period. The cost of participating in these programs was approximately $6 million, $4 million, and $7 million in 2021, 2020, and 2019, respectively and is included as a component of interest expense. |
Inventories | InventoriesInventories are stated at the lower of cost (on a weighted-average basis) or net realizable value. |
Leases | Leases During the year ended December 31, 2019, the Company adopted ASU No. 2016-02, “Leases (Topic 842),” which requires most leases to be recognized on the balance sheet. The Company adopted the standard using the modified retrospective approach with an effective date of December 29, 2018, the beginning of its 2019 fiscal year. Prior year financial statements were not recast. The Company elected various transition provisions available for expired or existing contracts, which allows the Company to carryforward historical assessments of (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The Company determines if an arrangement is a lease at contract inception. A lease exists when a contract conveys to the customer the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The definition of a lease embodies two conditions: (1) there is an identified asset in the contract that is land or a depreciable asset (i.e., property, plant, and equipment), and (2) the customer has the right to control the use of the identified asset. When the Company determines the arrangement is a lease, or contains a lease, at inception, it then determines whether the lease is an operating lease or a finance lease at the commencement date. The Company leases property and equipment, principally under operating leases. In accordance with ASU 2016-02, the Company records a right of use asset and related obligation at the present value of lease payments and, over the term of the lease, depreciates the right of use asset and accretes the obligation to future value. Some of the leases include rental escalation clauses, renewal options and/or termination options that are factored into the determination of lease payments when appropriate. The Company has elected not to separate non-lease components from lease components for all classes of leased assets. When available, the Company uses the rate implicit in the lease to discount lease payments to present value, however, most of the Company's leases do not provide a readily determinable implicit rate and the Company calculates the applicable incremental borrowing rate to discount the lease payments based on the term of the lease at lease commencement. The incremental borrowing rate is determined based on the Company's credit rating, currency and lease terms. |
Property, Plant and Equipment | Property, Plant and EquipmentProperty, plant and equipment are recorded at cost. Depreciation is calculated on a straight-line basis, principally over the following estimated useful lives: buildings and improvements, 1 to 50 years; machinery and equipment, 1 to 40 years; information technology hardware and software, 1 to 23 years; and leasehold improvements which are included in buildings and improvements, the estimated life of the improvements or the remaining term of the lease, whichever is shorter. |
Finite-Lived Intangible Assets | Finite-Lived Intangible Assets Finite-lived intangible assets include customer relationships, patents, trade names, technological know-how and other intellectual property valued at acquisition and amortized on a straight-line basis over the following estimated useful lives: customer relationships, 10 to 27 years; patents, 11 to 15 years; trade names, 4 to 28 years; and technological know-how, 5 to 28 years. The Company reviews long-lived assets for impairment when events or changes in business conditions indicate that their carrying value may not be recovered. An estimate of undiscounted future cash flows produced by an asset or group of assets is compared to the carrying value to determine whether impairment exists. If assets are determined to be impaired, the loss is measured based on an estimate of fair value using various valuation techniques, including a discounted estimate of future cash flows. |
Goodwill | Goodwill Goodwill represents the difference between the total purchase price and the fair value of identifiable assets and liabilities acquired in business acquisitions. The Company tests goodwill for impairment at the reporting unit level as of November 30 every year or more frequently if events or changes in circumstances indicate the asset might be impaired. A reporting unit is an operating segment or one level below an operating segment (referred to as a component) to which goodwill is assigned when initially recorded. The Company identifies their reporting units by assessing whether the components of their reporting segments constitute businesses for which discrete financial information is available and management of each reporting unit regularly reviews the operating results of those components. The Company has identified seven reporting units under the Nourish, Health & Biosciences, Scent and Pharma Solutions segments: (1) Nourish, (2) Fragrance Compounds, (3) Fragrance Ingredients, (4) Cosmetic Actives, (5) Health & Biosciences, (6) Microbial Control and (7) Pharma Solutions. These reporting units were determined based on the level at which the performance is measured and reviewed by segment management. In cases where the components of an operating segment have similar economic characteristics, they are aggregated into a single reporting unit. When testing goodwill for impairment, the Company has the option of first performing a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than the carrying amount. If the Company elects to bypass the qualitative assessment for any reporting units, or if a qualitative assessment indicates it is more likely than not that the estimated carrying value of a reporting unit exceeds its fair value, the Company performs a quantitative goodwill impairment test. Under the quantitative goodwill impairment test, if a reporting unit’s carrying amount exceeds its fair value, the Company will record an impairment charge based on that difference, and the impairment charge will be limited to the amount of goodwill allocated to that reporting unit. |
Income Taxes | Income Taxes The Company accounts for taxes under the asset and liability method. Under this method, deferred income taxes are recognized for temporary differences between the financial statement and tax return bases of assets and liabilities, based on enacted tax rates and other provisions of the tax law. The effect of a change in tax laws or rates on deferred tax assets and liabilities is recognized as income in the period in which such change is enacted. Future tax benefits are recognized to the extent that the realization of such benefits is more likely than not, and a valuation allowance is established for any portion of a deferred tax asset that management believes may not be realized. The Company recognizes uncertain tax positions that it has taken or expects to take on a tax return. Pursuant to accounting requirements, the Company first determines whether it is “more likely than not” its tax position will be sustained if the relevant tax authority were to audit the position with full knowledge of all the relevant facts and other information. For those tax positions that meet this threshold, the Company measures the amount of tax benefit based on the largest amount of tax benefit that it has a greater than 50% chance of realizing in a final settlement with the relevant authority. Those tax positions failing to qualify for initial recognition are recognized in the first interim period in which they meet the more likely than not standard. The Company maintains a cumulative risk portfolio relating to all of its uncertainties in income taxes in order to perform this analysis, but the evaluation of its tax positions requires significant judgment and estimation in part because, in certain cases, tax law is subject to varied interpretation, and whether a tax position will ultimately be sustained may be uncertain. Interest and penalties related to unrecognized tax benefits are recognized as a component of income tax expense. |
Retirement Benefits | Retirement Benefits Current service costs of retirement plans and postretirement health care and life insurance benefits are accrued. Prior service costs resulting from plan improvements are amortized over periods ranging from 10 to 20 years. |
Financial Instruments | Financial Instruments Derivative financial instruments are used to manage interest and foreign currency exposures. The gain or loss on the hedging instrument is recorded in earnings at the same time as the transaction being hedged is recorded in earnings. The associated asset or liability related to the open hedge instrument is recorded in Prepaid expenses and Other current assets or Other current liabilities, as applicable. |
Software Costs | Software Costs The Company capitalizes direct internal and external development costs for certain significant projects associated with internal-use software and amortizes these costs over seven |
Net Income Per Share | Net Income Per Share Under the two-class method, earnings are adjusted by accretion of amounts to redeemable noncontrolling interests recorded at redemption value. The adjustments represent in-substance dividend distributions to the noncontrolling interest holders as the holders have a contractual right to receive a specified amount upon redemption. As a result, earnings are adjusted to reflect this in-substance distribution that is different from other common shareholders. In addition, the Company has unvested share based payment awards with a right to receive nonforfeitable dividends and thus are considered participating securities which are required to be included in the computation of basic and diluted earnings per share. |
Stock-Based Compensation | Stock-Based Compensation Compensation cost of all stock-based awards is measured at fair value on the date of grant and recognized over the service period for which awards are expected to vest. The cost of such stock-based awards is principally recognized on a straight-line attribution basis over their respective vesting periods, net of estimated forfeitures. |
Financing Costs | Financing Costs Costs incurred in the issuance of debt are deferred and amortized as part of interest expense over the stated life of the applicable debt instrument. Unamortized deferred financing costs relating to debt are presented as a reduction in the amount of debt outstanding on the Consolidated Balance Sheets. Unamortized deferred financing costs relating to the revolving credit facility are recorded in Other assets on the Consolidated Balance Sheets. |
Redeemable Non-controlling Interests | Redeemable Noncontrolling Interests Noncontrolling interests in subsidiaries that are redeemable for cash or other assets outside of the Company’s control are classified as mezzanine equity, outside of equity and liabilities, at the greater of the carrying value or the redemption value. The increases or decreases in the estimated redemption amount are recorded with corresponding adjustments against Capital in excess of par value and are reflected in the computation of earnings per share using the two-class method. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In November 2021, the FASB issued Accounting Standards Update ("ASU") 2021-10, "Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance." The ASU requires annual disclosures about transactions with a government that are accounted for by applying a grant or contribution accounting model by analogy. This guidance is effective for all entities for annual periods beginning after December 15, 2021 and early adoption is permitted. The Company is currently evaluating the impact of this guidance, but does not expect this guidance to have a material impact on its Consolidated Financial Statements. In October 2021, the FASB issued Accounting Standards Update ("ASU") 2021-08, "Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers." The ASU is intended to provide specific guidance on how to recognize and measure acquired contract assets and liabilities from revenue contracts in a business combination. An acquirer needs to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts. To achieve this, an acquirer may assess how the acquiree applied Topic 606 to determine what to record for the acquired revenue contracts. This guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, and early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of this guidance, but does not expect this guidance to have a material impact on its Consolidated Financial Statements. In March 2020, the FASB issued Accounting Standards Update ("ASU") 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The ASU is intended to simplify various aspects related to the cessation of reference rates in certain financial markets that would otherwise create modification accounting or changes in estimate. This guidance is effective for the period from March 12, 2020 to December 31, 2022. In January 2021, the FASB issued the subsequent amendment Accounting Standards Update ("ASU") 2021-01, "Reference Rate Reform (Topic 848): Scope" to the initial guidance. Alternative reference rates that are more observable or transaction based have been identified and are being transitioned to in numerous jurisdictions globally, such as a receive-variable-rate, pay-variable-rate cross currency interest rate swap. This guidance is effective immediately for all entities, but does not apply to any contract modifications or new hedging relationships entered into after December 31, 2022. This guidance was adopted and does not have a material impact on the Company's Consolidated Financial Statements. In October 2020, the FASB issued Accounting Standards Updates ("ASU") 2020-09, "Debt (Topic 470): Amendments to SEC Paragraphs Pursuant to SEC Release No. 33-10762" and 2020-10, "Codification Improvements." ASU 2020-09 is intended to amend and supersede various SEC paragraphs pursuant to the issuance of SEC Release No. 33-10762 and is effective on January 4, 2021. ASU 2020-10 is intended to improve the consistency of the FASB Accounting Standards Codification ("Codification") and clarify guidance by including all disclosure guidance in the appropriate Disclosure Section of the Codification to help reduce the likelihood that disclosure requirements would be missed. ASU 2020-10 is effective for fiscal years beginning after December 15, 2020, and early adoption is permitted for any annual or interim period within those fiscal years. The Company has determined that neither guidance will have an impact on its Consolidated Financial Statements and will have a minimal impact on its disclosures. In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes”, and intended to simplify various aspects related to accounting for income taxes. This guidance is effective for fiscal years beginning after December 15, 2020, and for interim periods within those fiscal years, with early adoption permitted. This guidance was adopted on January 2, 2021 and does not have a material impact on the Company's Consolidated Financial Statements. In August 2018, the FASB issued ASU 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans (Subtopic 715-20)", which modifies the disclosure requirements on company-sponsored defined benefit plans. The ASU is effective for fiscal years beginning after December 15, 2020 on a retrospective basis to all periods presented. The Company has determined that this guidance will not have an impact on its Consolidated Financial Statements and will have a minimal impact on its disclosures. In June 2016, the FASB issued ASU 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", with subsequent amendments, which requires issuers to measure expected credit losses for financial assets based on historical experience, current conditions and reasonable and supportable forecasts. As such, an entity will use forward-looking information to estimate credit losses. The Company adopted the guidance effective the first day of its 2020 fiscal year and performed an evaluation of the applicable criteria, including the aging of its trade receivables, recent write-off history and other factors related to future macroeconomic conditions. As a result of the evaluation, the Company determined that no adjustment was required to the level of its allowances for bad debts or to the carrying value of any other financial asset. The Company is exposed to credit losses primarily through its sales of products. To determine the appropriate allowance for expected credit losses, the Company considers certain credit quality indicators, such as aging, collection history, and creditworthiness of debtors. Regional and Global Credit committees review and approve specific customer allowance reserves. The allowance for expected credit losses is primarily based on two factors: i) the aging of the different categories of trade receivables, and ii) a specific reserve for accounts identified as uncollectable. The Company also considers current and future economic conditions in the determination of the allowance. At December 31, 2021, the Company reported $1.906 billion of trade receivables, net of allowances of $46 million. Based on the aging analysis as of December 31, 2021, approximately 91% of our accounts receivable were current based on the payment terms of the invoice. Receivables that are past due by over 365 days account for approximately 1% of our accounts receivable. The following is a rollforward of the Company's allowances for bad debts for the year of 2021: (DOLLARS IN MILLIONS) Allowance for Bad Debts Balance at December 31, 2020 $ 21 Bad debt expense 6 Write-offs (1) Other adjustments (1) 20 Balance at December 31, 2021 $ 46 _______________________ (1) The adjustment to allowances for bad debts was a result of purchase price allocation related to the Merger with N&B. |
Nature of Operations | Nature of Operations International Flavors & Fragrances Inc. and its subsidiaries (the “Registrant,” “IFF,” “the Company,” “we,” “us” and “our”) is a leading creator and manufacturer of food, beverage, health & biosciences, scent and pharma solutions and complementary adjacent products, including cosmetic active and natural health ingredients, which are used in a wide variety of consumer products. Our products are sold principally to manufacturers of perfumes and cosmetics, hair and other personal care products, soaps and detergents, cleaning products, dairy, meat and other processed foods, beverages, snacks and savory foods, sweet and baked goods, sweeteners, dietary supplements, food protection, infant and elderly nutrition, functional food, and pharmaceutical excipients and oral care products. |
Basis of Accounting, Policy | Basis of Presentation On February 1, 2021 (the “Closing Date”), the Company completed the combination (the “Merger”) of IFF and DuPont de Nemours, Inc (“DuPont”) nutrition and biosciences business (the “N&B Business”), which had been transferred to Nutrition and Biosciences, Inc., a Delaware corporation and wholly owned subsidiary of DuPont ("N&B") in a Reverse Morris Trust transaction. See Note 3 for additional information. As a result, the Company’s Consolidated Financial Statements for the period ended December 31, 2021 reflect the results of N&B from the Closing Date, whereas the Company’s Consolidated Financial Statements for the periods ended December 31, 2020 and 2019 do not. In the current year, the Company has changed its presentation from thousands to millions and, as a result, any necessary rounding adjustments have been made to prior year disclosed amounts. Certain reclassifications have been made to the prior periods’ financial information in order to conform to the current period’s presentation. |
Nature of Operations and Summ_3
Nature of Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Inventory | The Company's inventories consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 Raw materials $ 854 $ 566 Work in process 287 38 Finished goods 1,375 528 Total $ 2,516 $ 1,132 |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported in the Company's statement of cash flows periods ended December 31, 2021, 2020 and 2019 to the amounts reported in the Company's balance sheet as at December 31, 2021, 2020 and 2019. (DOLLARS IN MILLIONS) December 31, 2021 December 31, 2020 December 31, 2019 Current assets Cash and cash equivalents $ 711 $ 650 $ 607 Restricted cash 4 7 17 Noncurrent assets Restricted cash included in Other assets 1 3 — Cash, cash equivalents and restricted cash $ 716 $ 660 $ 624 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable | Contract Assets and Liabilities With respect to a small number of contracts for the sale of compounds, the Company has an “enforceable right to payment for performance to date” and as the products do not have an alternative use, the Company recognizes revenue for these contracts over time and records a contract asset using the output method. The output method recognizes revenue on the basis of direct measurements of the value to the customer of the goods or services transferred to date relative to the remaining goods or services promised under the contract. As of December 31, 2021 and 2020, the Company's gross accounts receivable was $1.952 billion and $950 million, respectively. The Company's contract assets and contract liabilities as of December 31, 2021 and 2020 were not material. |
Accounts Receivable, Allowance for Credit Loss | The following is a rollforward of the Company's allowances for bad debts for the year of 2021: (DOLLARS IN MILLIONS) Allowance for Bad Debts Balance at December 31, 2020 $ 21 Bad debt expense 6 Write-offs (1) Other adjustments (1) 20 Balance at December 31, 2021 $ 46 _______________________ (1) The adjustment to allowances for bad debts was a result of purchase price allocation related to the Merger with N&B. |
Restructuring and Other Charg_2
Restructuring and Other Charges (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | |
Movements in Restructuring and Related Accruals | Movements in severance-related accruals during 2019, 2020 and 2021 are as follows: (DOLLARS IN MILLIONS) Balance at January 1, 2019 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2019 2017 Productivity Program Severance $ 4 $ (2) $ — $ (1) $ 1 Other (1) 1 — — (1) — Frutarom Integration Initiative Severance — 6 — (2) 4 Fixed asset write down — 1 (1) — — Other (1) — 4 — (1) 3 2019 Severance Program Severance — 21 — (8) 13 Total restructuring $ 5 $ 30 $ (1) $ (13) $ 21 (DOLLARS IN MILLIONS) Balance at January 1, 2020 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2020 2017 Productivity Program Severance $ 1 $ (1) $ — $ — $ — Frutarom Integration Initiative Severance 4 2 — (3) 3 Fixed asset write down — 12 (12) — — Other (1) 3 2 — (2) 3 2019 Severance Program Severance 13 (1) — (6) 6 Other Restructuring Charges Severance — 3 — (1) 2 Total restructuring $ 21 $ 17 $ (12) $ (12) $ 14 (DOLLARS IN MILLIONS) Balance at January 1, 2021 Additional Charges (Reversals), Net Non-Cash Charges Cash Payments Balance at December 31, 2021 Frutarom Integration Initiative Severance $ 3 $ 5 $ — $ (3) $ 5 Fixed asset write down — 5 (5) — — Other (1) 3 — — — 3 2019 Severance Program Severance 6 — — (1) 5 Other Restructuring Charges Severance 2 — — (1) 1 Other (2) — 1 — (1) — N&B Merger Restructuring Liability Severance — 27 — (12) 15 Other (3) — 3 (3) — — Total restructuring $ 14 $ 41 $ (8) $ (18) $ 29 _______________________ (1) Includes supplier contract termination costs, consulting and advisory fees. (2) Includes charges related to legal settlement costs. (3) Includes lease impairment charges incurred from the Merger with N&B. Charges by Segment The following table summarizes the total amount of costs incurred in connection with these restructuring programs by segment: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Nourish $ 32 $ 10 $ 17 Health & Biosciences 5 — 1 Scent 3 7 12 Pharma Solutions 1 — — Total Restructuring and other charges $ 41 $ 17 $ 30 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | Purchase Price The following table summarizes the aggregate purchase price consideration paid to acquire N&B (in millions, except share and per share data): (DOLLARS IN MILLIONS) Fair value of common stock issued to DuPont stockholders (1) $ 15,929 Fair value attributable to pre-merger service for replacement equity awards (2) 25 Pension funding adjustment (3) (12) Total purchase consideration $ 15,942 _______________________ (1) The fair value of common stock issued to DuPont stockholders represents 141,740,461 shares of the Company's common stock determined based on the number of fully diluted shares of IFF common stock, immediately prior to the Closing Date, multiplied by the quotient of 55.4%/44.6% and IFF common stock closing share price of $112.38 on the New York Stock Exchange on the Closing Date. (2) At the time of the Transactions, each outstanding stock option, cash-settled stock appreciation right (“SAR”), restricted stock unit (“RSU”) award, and restricted stock award (“RSA”) with respect to DuPont common stock held by employees of N&B were canceled and converted into similar classes of equity awards of IFF’s Class A Common Stock. Further, each outstanding Performance Share Unit (“PSU”) award with respect to DuPont common stock held by employees of N&B were canceled and converted into IFF’s RSU awards. The conversion was based on the ratio of the volume-weighted average per share closing price of DuPont stock on the twenty trading days prior to the Closing Date and IFF’s stock on the twenty trading days following the Closing Date. The fair value of replacement equity-based awards attributable to pre-Merger service was recorded as part of the consideration transferred in the Merger (see Note 13 for additional information). (3) The Merger related agreements provided that if the net pension balance of N&B as of the Closing Date differs from $220 million, such differential amount will be settled in cash. The Company has estimated the amount that it will receive and, accordingly, made an adjustment of $12 million to the total purchase consideration. The following table summarizes the fair values of the assets acquired and liabilities assumed as of February 1, 2021, presenting both the preliminary and final purchase price allocations: (DOLLARS IN MILLIONS) Preliminary Estimated Fair Value as Reported in the First Quarter of 2021 Measurement Period Adjustments (1)(2) As Reported in the Fourth Quarter of 2021 Cash and cash equivalents $ 207 $ (14) $ 193 Receivables 962 (9) 953 Inventory 1,615 (25) 1,590 Prepaid expenses and other current assets 342 32 374 Property, plant and equipment 3,242 (176) 3,066 Deferred income taxes 75 8 83 Intangible assets 9,176 47 9,223 Other assets 702 116 818 Accounts payable and accrued liabilities (1,028) (51) (1,079) Accrued payroll and employee benefits (163) 15 (148) Deferred tax liabilities (3) (2,369) (26) (2,395) Long-term debt (7,636) — (7,636) Other long-term liabilities (907) 12 (895) Total identifiable net assets assumed 4,218 (71) 4,147 Non-controlling interest (26) 4 (22) Goodwill (4) 11,762 55 11,817 Purchase price $ 15,954 $ (12) $ 15,942 _______________________ (1) The preliminary fair value purchase price allocation of the assets and liabilities acquired in the N&B Merger as reported in the first quarter of 2021 were updated during the nine months ended December 31, 2021 to reflect updated fair values for intangible assets, property, plant and equipment, equity method investments and inventory. In addition, the carrying amounts of certain assets and liabilities were updated based on additional analysis of acquired assets and liabilities that existed at the Closing Date. (2) During the fourth quarter of 2021, the Company recorded an adjustment to reflect the receipt of approximately $53 million in cash from DuPont as a result of finalization of adjustments to the Special Cash Payment paid to DuPont by N&B, prior to the close of the Transactions. (3) The change to deferred tax liabilities was primarily a result of the finalization of the jurisdictional allocation of the tangible and intangible assets. All measurement period adjustments were offset against goodwill. (4) The cumulative impact of the adjustments during the nine months ended December 31, 2021 resulted in a $55 million increase to goodwill. |
Schedule of intangible assets acquired | The fair value and useful lives of the identifiable intangible assets assumed as of February 1, 2021 are as follows: (DOLLARS IN MILLIONS) Amounts Useful Lives Indefinite lived intangible assets In-process research and development $ 13 Indefinite Finite lived intangible assets Trade names 261 4 to 22 years Customer relationships 6,734 11 to 27 years Technological know-how 2,194 5 to 18 years Other 21 2 years Total finite lived intangible assets 9,210 Total $ 9,223 |
Unaudited pro forma information | The unaudited pro forma results for the year ended December 31, 2021 and 2020 were as follows: Year Ended December 31, (DOLLARS IN MILLIONS) 2021 2020 Unaudited pro forma net sales $ 12,163 $ 11,143 Unaudited pro forma net income attributable to the Company 687 192 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consisted of the following amounts: (DOLLARS IN MILLIONS) December 31, 2021 2020 Asset Type Land $ 223 $ 84 Buildings and improvements 1,764 932 Machinery and equipment 3,442 1,525 Information technology 271 251 Construction in process 461 136 Total Property, Plant and Equipment 6,161 2,928 Accumulated depreciation (1,793) (1,470) Total Property, Plant and Equipment, Net $ 4,368 $ 1,458 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill by Operating Segment | Goodwill In the first quarter of 2021, in connection to the Merger, the Company reorganized its reporting structure. In connection with this reorganization, goodwill was reassigned among reporting units using a relative fair value approach based on the fair value of the elements transferred and the fair value of the elements remaining within the original reporting units. The Company tested goodwill for impairment on a pre-reorganization basis and determined there was no impairment for the affected reporting units. In connection with the reorganization, $985 million of goodwill previously included in the legacy Taste segment, now the Nourish segment, was moved to the Scent and Health & Biosciences segments amounting to $257 million and $728 million, respectively. Movements in goodwill attributable to each reportable segment during the years ended December 31, 2020 and 2021 were as follows: (DOLLARS IN MILLIONS) Nourish Health & Biosciences Scent Pharma Solutions Total Balance at December 31, 2019 $ 4,873 $ — $ 624 $ — $ 5,497 Measurement period adjustment (1) (15) — — — (15) Foreign exchange 86 — 25 — 111 Reallocation (85) — 85 — — Balance at December 31, 2020 4,859 — 734 — 5,593 Acquisitions (2) 2,900 6,712 876 1,329 11,817 Transferred to assets held for sale — (536) — — (536) Reduction from business divestiture (27) — — — (27) Foreign exchange (192) (155) (39) (47) (433) Reallocation (985) 728 257 — — Balance at December 31, 2021 $ 6,555 $ 6,749 $ 1,828 $ 1,282 $ 16,414 _______________________ (1) Measurement period adjustments relate to the 2019 Acquisition Activity. (2) Acquisitions relate to the Merger with N&B. See Note 3 for additional information. |
Schedule of Other Intangible Assets | Other intangible assets, net consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Asset Type Customer relationships $ 8,935 $ 2,728 Technological know-how 2,494 479 Trade names & patents 411 187 Other 50 38 Total carrying value 11,890 3,432 Accumulated Amortization Customer relationships (887) (470) Technological know-how (388) (168) Trade names & patents (68) (38) Other (41) (29) Total accumulated amortization (1,384) (705) Other intangible assets, net $ 10,506 $ 2,727 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Amortization expense for the next five years and thereafter, based on valuations and determinations of useful lives, is expected to be as follows: December 31, (DOLLARS IN MILLIONS) 2022 2023 2024 2025 2026 Estimated future intangible amortization expense $ 758 $ 749 $ 748 $ 746 $ 743 |
Other Assets And Liabilities,_2
Other Assets And Liabilities, Current and Noncurrent (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Other Assets [Abstract] | |
Schedule of Other Assets | Other assets consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Finance lease right-of-use assets $ 21 $ 8 Deferred income taxes 82 197 Overfunded pension plans 136 101 Cash surrender value of life insurance contracts 52 49 Equity method investments 86 5 Other (1) 239 58 Total $ 616 $ 418 _______________________ (1) Includes land usage rights in China and long term deposits. |
Schedule of Other Current Assets | Prepaid expenses and other current assets consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Value-added tax receivable $ 178 $ 93 Income tax receivable 131 100 Prepaid expenses 288 100 Other 131 49 Total $ 728 $ 342 |
Other Current Liabilities | Other current liabilities consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Rebates and incentives payable $ 113 $ 64 Value-added tax payable 50 20 Interest payable 48 29 Current pension and other postretirement benefit obligation 11 13 Accrued insurance (including workers’ compensation) 10 11 Earn outs payable — 14 Restructuring and other charges 29 14 Current operating lease obligation 109 41 Current financing lease obligation 5 3 Accrued income taxes 94 42 Other accounts payable and accrued expenses payable 270 160 Other 93 88 Total $ 832 $ 499 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Instrument [Line Items] | |
Components of Debt | Debt consisted of the following at December 31: (DOLLARS IN MILLIONS) Effective Interest Rate 2021 2020 2021 Euro Notes (1) 0.82 % $ — $ 368 2022 Notes (3) 0.69 % 300 — 2023 Notes (1) 3.30 % 300 299 2024 Euro Notes (1) 1.88 % 565 614 2025 Notes (3) 1.22 % 1,001 — 2026 Euro Notes (1) 1.93 % 900 978 2027 Notes (3) 1.56 % 1,218 — 2028 Notes (1) 4.57 % 397 397 2030 Notes (3) 2.21 % 1,511 — 2040 Notes (3) 3.04 % 775 — 2047 Notes (1) 4.44 % 494 494 2048 Notes (1) 5.12 % 786 786 2050 Notes (3) 3.21 % 1,572 — 2018 Term Loan Facility (1) 3.65 % — 240 2022 Term Loan Facility (1) 1.73 % — 199 2024 Term Loan Facility (3) 1.43 % 625 — 2026 Term Loan Facility (3) 1.82 % 625 — Amortizing Notes (1) 6.09 % — 36 Commercial Paper (4) — % 324 — Bank overdrafts and other 7 2 Total debt $ 11,400 $ 4,413 Less: Short term borrowings (2) (632) (634) Total Long-term debt $ 10,768 $ 3,779 _______________________ (1) Amount is net of unamortized discount and debt issuance costs. (2) Includes bank borrowings, overdrafts, current portion of long-term debt and commercial paper. (3) Assumed by the Company as part of the N&B Merger and recorded at fair value. (4) The effective interest rate of commercial paper issuances fluctuate as short-term interest rates and demand fluctuate, and deferred debt issuance costs are immaterial. Additionally, the effective interest rate of commercial paper is not meaningful as issuances do not materially differ from short-term interest rates. Proceeds from the issuance of commercial paper include $75 million of proceeds with original maturities greater than three months. |
Debt Instrument Redemption | However, no make-whole premium will be paid for redemptions of each note on or after the following date: Note Redemption Date 2023 Notes February 1, 2023 2024 Euro Notes December 14, 2023 2026 Euro Notes June 25, 2026 2028 Notes June 26, 2028 2047 Notes December 1, 2046 2048 Notes March 26, 2048 |
Schedule of Maturities of Long-term Debt | The following table shows the contractual maturities of the Company's long-term debt as of December 31, 2021. Payments Due by Period (DOLLARS IN MILLIONS) Total Less than 1 Year 1-3 Years 3-5 Years More than Total Outstanding Borrowings $ 10,971 $ 300 $ 1,491 $ 2,530 $ 6,650 |
Nutrition & Biosciences, Inc [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument Redemption | The redemption dates of each of the N&B Senior Notes are provided in the table below: Notes Redemption Date 2022 Notes September 15, 2022 2025 Notes September 1, 2025 2027 Notes August 15, 2027 2030 Notes August 1, 2030 2040 Notes May 15, 2040 2050 Notes June 1, 2050 |
Tangible Equity Units (Tables)
Tangible Equity Units (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Schedule of Allocation of Tangible Equity Units | The proceeds from the issuance of the TEUs were allocated to equity and debt based on the relative fair value of the respective components of each TEU as follows: (DOLLARS IN MILLIONS, EXCEPT FAIR VALUE PER TEU) SPC Amortizing Note Total Fair Value per TEU $ 42 $ 8 $ 50 Gross Proceeds $ 686 $ 139 $ 825 Less: Issuance costs 21 4 25 Net Proceeds $ 665 $ 135 $ 800 |
Schedule of Stock Purchase Contract | VWAP of IFF Common Stock Common Stock Issued Equal to or greater than $159.54 0.3134 shares (minimum settlement rate) Less than $159.54, but greater than $130.25 $50 divided by VWAP Less than or equal to $130.25 0.3839 shares (maximum settlement rate) |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Lease Costs | The components of lease expense were as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Operating lease cost $ 168 $ 62 Financing lease cost 7 4 Supplemental cash flow information related to leases was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flow for operating leases $ 129 $ 52 Financing cash flow for finance leases 6 4 Right-of-use assets obtained in exchange for lease obligations Operating leases 88 63 Finance leases 15 6 Weighted average remaining lease term and discount rate were as follows: December 31, 2021 2020 Weighted average remaining lease term in years Operating leases 11.1 10.5 Finance leases 4.3 2.9 Weighted average discount rate Operating leases 2.73 % 3.82 % Finance leases 1.85 % 1.81 % |
Supplemental Balance Sheet Information | Supplemental balance sheet information related to leases was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 Operating Leases Operating lease right-of-use assets $ 767 $ 299 Current operating lease obligations (2) 109 41 Operating lease liabilities 670 265 Total operating lease liabilities $ 779 $ 306 Financing Leases Financing lease right-of-use assets (1) $ 21 $ 8 Current financing lease obligations (2) 5 3 Financing lease liabilities (3) 15 4 Total financing lease liabilities $ 20 $ 7 _______________________ (1) Presented in Other assets in the Consolidated Balance Sheets. (2) Presented in Other current liabilities in the Consolidated Balance Sheets. (3) Presented in Other liabilities in the Consolidated Balance Sheets. |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Maturities of lease liabilities as of December 31, 2021 were as follows: (DOLLARS IN MILLIONS) Operating Leases Financing Leases Total 2022 $ 127 $ 7 $ 134 2023 97 5 102 2024 82 3 85 2025 78 2 80 2026 73 2 75 Thereafter 459 2 461 Total undiscounted liabilities 916 21 937 Less: Imputed interest (137) (1) (138) Total lease liabilities $ 779 $ 20 $ 799 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Earnings before Income Taxes | Earnings before income taxes consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 U.S. loss before taxes $ (493) $ (142) $ (110) Foreign income before taxes 847 583 667 Total income before taxes $ 354 $ 441 $ 557 |
Schedule of Income Tax Provision | The income tax provision consisted of the following: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Current tax provision Federal $ (5) $ (9) $ 10 State and local 13 1 — Foreign 303 150 146 Total current tax provision 311 142 156 Deferred tax provision Federal (121) (8) (41) State and local (34) (2) 8 Foreign (81) (58) (26) Total deferred tax benefit (236) (68) (59) Total provision for income taxes $ 75 $ 74 $ 97 |
Schedule of Reconciliation between U.S. Federal Statutory Income Tax Rate to Actual Effective Tax Rate | Reconciliation between the U.S. federal statutory income tax rate to the actual effective tax rate was as follows: December 31, 2021 2020 2019 Statutory tax rate 21.0 % 21.0 % 21.0 % Difference in effective tax rate on foreign earnings and remittances (1) 8.0 (6.9) (6.8) Tax benefit from supply chain optimization (5.8) (5.0) (1.0) Unrecognized tax benefit, net of reversals 0.7 5.7 3.4 Tax impact on gains on business disposal 4.0 — — Deferred taxes on deemed repatriation 2.7 (0.2) 0.8 Global intangible low-taxed income 4.1 5.3 — Foreign-derived intangible income (1.6) (0.3) (0.3) U.S. foreign tax credit - general limitation (3.1) (1.9) (1.2) Research and development credit (1.4) (1.0) (0.9) Acquisition costs 2.4 1.0 0.5 Establishment (release) of valuation allowance on state deferred (3.0) (0.4) 1.7 State and local taxes (4.8) (0.6) (0.8) Other, net (2.0) 0.1 1.0 Effective tax rate 21.2 % 16.8 % 17.4 % _______________________ (1) For 2021, the rate includes rate change impacts related to the Netherlands and United Kingdom. |
Schedule of Deferred Tax Assets and Liabilities | The deferred tax assets and liabilities consisted of the following amounts: December 31, (DOLLARS IN MILLIONS) 2021 2020 Employee and retiree benefits $ 148 $ 108 Credit and net operating loss carryforwards 312 271 Intangible assets — 10 Amortizable research and development expenses 42 30 Gain on foreign currency translation — 46 Interest limitation 43 51 Inventory 32 14 Lease obligations 189 53 Other, net 79 23 Gross deferred tax assets 845 606 Property, plant and equipment, net (265) (60) Intangible assets (2,486) (586) Right-of-use assets (187) (53) Loss on foreign currency translation (30) — Deferred taxes on deemed repatriation (81) (46) Gross deferred tax liabilities (3,049) (745) Valuation allowance (232) (257) Total net deferred tax liabilities $ (2,436) $ (396) |
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Balance of unrecognized tax benefits at beginning of year $ 99 $ 75 $ 51 Gross amount of increases in unrecognized tax benefits as a result of positions taken during a prior year (1) 42 11 20 Gross amount of decreases in unrecognized tax benefits as a result of positions taken during a prior year (3) — (2) Gross amount of increases in unrecognized tax benefits as a result of positions taken during the current year 5 24 13 The amounts of decreases in unrecognized benefits relating to settlements with taxing authorities (1) (2) (3) Reduction in unrecognized tax benefits due to the lapse of applicable statute of limitation (12) (9) (4) Balance of unrecognized tax benefits at end of year $ 130 $ 99 $ 75 _______________________ (1) For 2021, the amount includes positions related to N&B opening balance sheet amounts. |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Reconciliation of Shares Used in Computations of Basic and Diluted Net Income Per Share | Basic and diluted net income per share is based on the weighted average number of shares outstanding. A reconciliation of shares used in the computation of basic and diluted net income per share is as follows: December 31, (AMOUNTS IN MILLIONS EXCEPT PER SHARE AMOUNTS) 2021 2020 2019 Net Income Net income attributable to IFF stockholders $ 270 $ 363 $ 456 Adjustment related to (increase) decrease in redemption value of redeemable noncontrolling interests in excess of earnings allocated (2) 2 (2) Net income available to IFF stockholders $ 268 $ 365 $ 454 Shares Weighted average common shares outstanding (basic) (1) 243 112 112 Adjustment for assumed dilution (2) : Stock options and restricted stock awards — 1 — SPC portion of the TEUs — 1 1 Weighted average shares assuming dilution (diluted) 243 114 113 Net Income per Share Net income per share - basic (3)(4) $ 1.11 $ 3.25 $ 4.05 Net income per share - dilutive (4)(5) 1.10 3.21 4.00 _______________________ (1) On September 15, 2021, additional shares of IFF's common stock were issued in settlement of the SPC portion of the TEUs. For the years ended December 31, 2020 and 2019, the TEUs were assumed to be outstanding at the minimum settlement amount for basic earnings per share (“EPS”). See below for additional information. (2) Effect of dilutive securities includes dilution under stock plans and incremental impact of TEUs. See below for additional information. (3) For the year ended December 31, 2021, the basic net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. (4) For the year ended December 31, 2020, the basic and diluted net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. (5) For the year ended December 31, 2019, the diluted net income per share cannot be recalculated based on the information presented in the table above due to the effects of rounding and change in presentation from thousands to millions between 2020 and 2021, respectively. |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock-Based Compensation Expense Included in Consolidated Statement of Income and Comprehensive Income | Total stock-based compensation expense included in the Consolidated Statements of Income and Comprehensive Income (Loss) was as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Equity-based awards $ 54 $ 36 $ 34 Liability-based awards 8 4 4 Total stock-based compensation 62 40 38 Less tax benefit (13) (8) (7) Total stock-based compensation, net of tax $ 49 $ 32 $ 31 |
SSAR's and Stock Option Activity | SSARs and options activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Shares Subject to Weighted SSARs/ December 31, 2020 42 $ 135.01 1 Granted 3 144.67 Exercised (90) 110.28 Canceled (9) 101.19 Assumed 341 December 31, 2021 287 $ 107.48 235 Expected to Vest at December 31, 2021 44 $ 95.94 |
SSAR's and Stock Option Outstanding | SSARs and options outstanding at December 31, 2021 was as follows: Price Range Number Weighted Average Weighted Aggregate Over $65 287 5.04 $ 107.48 $ 12 SSARs and options exercisable as of December 31, 2021 was as follows: Price Range Number Weighted Average Weighted Aggregate Over $65 235 4.65 $ 109.77 $ 10 |
SSAR's and Stock Option Exercisable | SSARs and options exercisable as of December 31, 2021 was as follows: Price Range Number Weighted Average Weighted Aggregate Over $65 235 4.65 $ 109.77 $ 10 |
RSU's [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
RSU, PRS and Cash RSU Activity | RSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Number of Shares Weighted Average December 31, 2020 525 $ 126.62 Granted 344 136.71 Vested (314) 119.99 Forfeited (37) -37000 128.79 Assumed 259 December 31, 2021 777 $ 126.20 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
RSU, PRS and Cash RSU Activity | The following table summarizes the Company's PRSU activity for the years ended December 31, 2021, 2020 and 2019: (DOLLARS IN MILLIONS) Issued Shares Aggregate Purchase Price Covered Shares 2021 61,870 $ 9 30,935 2020 66,160 $ 9 33,080 2019 61,991 $ 9 30,996 PRSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Number of Weighted Average December 31, 2020 193 $ 136.37 Granted 62 144.67 Vested (95) 138.41 Forfeited (5) 141.81 December 31, 2021 155 $ 138.36 |
Cash RSU's [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
RSU, PRS and Cash RSU Activity | Cash RSU activity was as follows: (SHARE AMOUNTS IN THOUSANDS) Cash RSUs Weighted Average December 31, 2020 111 $ 108.84 Granted 51 150.65 Vested (37) 141.58 Forfeited (9) 140.43 December 31, 2021 116 $ 150.65 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Reportable Segment Information | Reportable segment information is as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Net sales Nourish $ 6,264 $ 2,886 $ 2,978 Health & Biosciences 2,329 134 129 Scent 2,254 2,064 2,033 Pharma Solutions 809 — — Consolidated $ 11,656 $ 5,084 $ 5,140 December 31, (DOLLARS IN MILLIONS) 2021 2020 Segment assets Nourish $ 17,449 $ 8,534 Health & Biosciences 14,774 1,375 Scent 4,078 3,646 Pharma Solutions 3,357 — Consolidated $ 39,658 $ 13,555 December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Segment Adjusted Operating EBITDA: Nourish $ 1,172 $ 599 $ 658 Health & Biosciences 625 40 33 Scent 463 416 425 Pharma Solutions 165 — — Total 2,425 1,055 1,116 Depreciation & Amortization (1,156) (325) (323) Interest Expense (289) (132) (138) Other income, net 58 7 30 Operational Improvement Initiatives (a) — — (2) Frutarom Integration Related Costs (b) (4) (10) (55) Restructuring and Other Charges (41) (17) (30) Gains (Losses) on Sale of Assets 1 (4) (3) Shareholder Activism Related Costs (c) (7) — — Business Divestiture Costs (d) (42) — — Employee Separation Costs (e) (29) (3) — Frutarom Acquisition Related Costs (f) (2) (1) (6) Compliance Review & Legal Defense Costs (g) — (3) (11) N&B Inventory Step-Up Costs (368) — — N&B Transaction Related Costs (h) (91) (29) (21) N&B Integration Related Costs (i) (101) (97) — Income Before Taxes $ 354 $ 441 $ 557 (a) Represents accelerated depreciation related to plant relocations in India and China. (b) Represents costs related to the integration of the Frutarom acquisition. For 2021, costs primarily related to performance stock awards. For 2020, costs primarily related to advisory services, retention bonuses and performance stock awards. For 2019, costs primarily related to advisory services. (c) Represents shareholder activist related costs, primarily professional fees. (d) Represents costs related to the Company's sales and planned sales of businesses, primarily legal and professional fees. (e) Represents costs related to severance, including accelerated stock compensation expense, for certain employees and executives who have been separated or will separate from the Company. (f) Represents transaction-related costs and expenses related to the acquisition of Frutarom. For 2021, amount primarily includes earn-out payments, net of adjustments. For 2020, amount primarily includes earn-out payments, net of adjustments, amortization for inventory "step-up" costs and transaction costs primarily related to the 2019 Acquisition Activity. For 2019, amount primarily includes amortization for inventory "step-up" costs and transaction costs. (g) Costs related to reviewing the nature of inappropriate payments and review of compliance in certain other countries. In addition, includes legal costs for related shareholder lawsuits. (h) Represents transaction costs and expenses related to the transaction with N&B, primarily legal and professional fees. (i) Represents costs primarily related to advisory services for the integration of the transaction with N&B, primarily consulting fees. Segment capital expenditures and depreciation and amortization consisted as follows: Capital Expenditures Depreciation and Amortization (DOLLARS IN MILLIONS) 2021 2020 2019 2021 2020 2019 Nourish $ 183 $ 98 $ 126 $ 594 $ 211 $ 210 Health & Biosciences 139 7 8 353 36 34 Scent 41 87 102 84 78 79 Pharma Solutions 30 — — 125 — — Consolidated $ 393 $ 192 $ 236 $ 1,156 $ 325 $ 323 |
Long-lived Assets by Geographic Areas | Long-lived assets, net, by country, consisted as follows: December 31, (DOLLARS IN MILLIONS) 2021 2020 United States $ 2,041 $ 572 China 259 172 Denmark 251 — Finland 196 — France 188 28 Germany 156 7 Other 1,277 679 Consolidated $ 4,368 $ 1,458 |
Net Sales by Geographic Area | Net sales are attributed to individual regions based upon the destination of product delivery and are as follows: Net Sales by Geographic Area (DOLLARS IN MILLIONS) 2021 2020 2019 Europe, Africa and Middle East $ 4,093 $ 1,987 $ 2,082 Greater Asia 2,728 1,162 1,163 North America 3,499 1,228 1,170 Latin America 1,336 707 725 Consolidated $ 11,656 $ 5,084 $ 5,140 Net Sales by Geographic Area (DOLLARS IN MILLIONS) 2021 2020 2019 Net sales related to the U.S. $ 3,211 $ 1,093 $ 1,053 Net sales attributed to all foreign countries 8,445 3,991 4,087 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
Plan Assets and Benefit Obligations of Defined Benefit Pension Plans | The plan assets and benefit obligations of the defined benefit pension plans are measured at December 31 of each year. U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2019 2021 2020 2019 Components of net periodic benefit cost Service cost for benefits earned (1) $ 1 $ 1 $ 1 $ 41 $ 24 $ 19 Interest cost on projected benefit obligation (2) 71 17 22 10 13 18 Expected return on plan assets (2) (106) (28) (28) (55) (46) (43) Net amortization of deferrals (2) 29 8 6 19 15 11 Settlements and curtailments (2) — — — (10) 5 — Net periodic benefit cost (5) (2) 1 5 11 5 Defined contribution and other retirement plans 36 13 9 33 7 9 Total expense $ 31 $ 11 $ 10 $ 38 $ 18 $ 14 Changes in plan assets and benefit obligations recognized in OCI Net actuarial (gain) loss $ 12 $ (1) $ (135) $ 70 Recognized actuarial loss (9) (8) (10) (20) Prior service cost — — (2) — Recognized prior service (cost) credit — — 1 — Currency translation adjustment — — (16) 28 Total (gain) loss recognized in OCI (before tax effects) $ 3 $ (9) $ (162) $ 78 _______________________ (1) Included as a component of Operating Profit. (2) Included as a component of Other Income (Expense), net. |
Amounts Expected to be Recognized in Net Periodic Cost | Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2019 Components of net periodic benefit cost Service cost for benefits earned $ 1 $ 1 $ 1 Interest cost on projected benefit obligation 7 2 2 Net amortization and deferrals (20) (5) (5) Total credit $ (12) $ (2) $ (2) Changes in plan assets and benefit obligations recognized in OCI Net actuarial loss $ (3) $ 5 Recognized actuarial loss (2) (1) Recognized prior service credit 6 6 Total recognized in OCI (before tax effects) $ 1 $ 10 The amounts of service cost, interest cost, expected return and net amortization and deferrals have been updated to reflect the correction of certain prior period amounts. The aggregate amount of the correction was approximately $17 million for the year ended December 31, 2021. |
Weighted-Average Actuarial Assumption Used to Determine Expense | The weighted-average actuarial assumptions used to determine expense at December 31 of each year are: U.S. Plans Non-U.S. Plans 2021 2020 2019 2021 2020 2019 Discount rate 2.51 % 3.26 % 4.31 % 0.85 % 1.49 % 2.22 % Expected return on plan assets 3.80 % 5.60 % 5.60 % 4.21 % 4.62 % 4.87 % Rate of compensation increase 3.25 % 3.25 % 3.25 % 2.56 % 2.46 % 1.93 % |
Changes in Postretirement Benefit Obligation and Plan Assets | Changes in the postretirement benefit obligation and plan assets, as applicable, are detailed in the following table: U.S. Plans Non-U.S. Plans Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2021 2020 2021 2020 Benefit obligation at beginning of year $ 682 $ 621 $ 1,294 $ 1,099 $ 69 $ 64 Service cost for benefits earned 1 1 42 24 1 1 Interest cost on projected benefit obligation 12 17 10 13 1 2 Actuarial (gain) loss (5) 77 (146) 109 (4) 5 Plan amendments — — (2) — — — Adjustments for expense/tax contained in service cost — — (2) (1) — — Plan participants’ contributions — — 4 3 — — Benefits paid (37) (34) (34) (28) (4) (3) Curtailments / settlements — — (39) (11) — — Translation adjustments — — (93) 86 — — Acquisitions/Transferred Liabilities — — 465 — 3 — Other 9 — 2 — — — Benefit obligation at end of year $ 662 $ 682 $ 1,501 $ 1,294 $ 66 $ 69 Fair value of plan assets at beginning of year $ 678 $ 602 $ 1,145 $ 1,005 Actual return on plan assets 3 106 25 84 Employer contributions 5 4 32 20 Participants’ contributions — — 4 3 Benefits paid (37) (34) (34) (28) Settlements — — (24) (11) Translation adjustments — — (74) 70 Acquisitions/Transferred Assets — — 247 — Other — — (1) 2 Fair value of plan assets at end of year $ 649 $ 678 $ 1,320 $ 1,145 Funded status at end of year $ (13) $ (4) $ (181) $ (149) |
Amounts Recognized in Balance Sheet | The amounts recognized in the balance sheet are detailed in the following table: U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Other assets $ 53 $ 54 $ 83 $ 47 Other current liabilities (5) (4) (2) (1) Retirement liabilities (61) (54) (262) (195) Net amount recognized $ (13) $ (4) $ (181) $ (149) |
Amounts Recognized in Accumulated Other Comprehensive Income | The amounts recognized in AOCI are detailed in the following table: U.S. Plans Non-U.S. Plans Postretirement Benefits (DOLLARS IN MILLIONS) 2021 2020 2021 2020 2021 2020 Net actuarial loss $ 137 $ 134 $ 291 $ 454 $ 14 $ 19 Prior service cost (credit) — — (3) (2) (15) (21) Total AOCI (before tax effects) $ 137 $ 134 $ 288 $ 452 $ (1) $ (2) |
Accumulated Benefit Obligation | U.S. Plans Non-U.S. Plans (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Accumulated Benefit Obligation — end of year $ 654 $ 680 $ 1,410 $ 1,243 Information for Pension Plans with an ABO in excess of Plan Assets: Projected benefit obligation $ 63 $ 60 $ 944 $ 813 Accumulated benefit obligation 62 60 330 762 Fair value of plan assets — 2 840 617 Weighted-average assumptions used to determine obligations at December 31 Discount rate 2.86 % 2.51 % 1.43 % 0.85 % Rate of compensation increase 3.25 % 3.25 % 2.72 % 2.55 % |
Estimated Future Benefit Payments | (DOLLARS IN MILLIONS) U.S. Plans Non-U.S. Plans Postretirement Estimated Future Benefit Payments 2022 $ 38 $ 36 $ 4 2023 38 36 3 2024 39 39 4 2025 39 40 4 2026 39 42 4 2027 - 2031 189 236 18 Contributions Required Company Contributions in the Following Year (2022) $ 5 $ 33 $ 4 |
Percentage of Assets Invested | The percentage of assets in the Company's pension plans, by type, is as follows: U.S. Plans Non-U.S. Plans 2021 2020 2021 2020 Cash and cash equivalents 1 % 1 % 6 % 3 % Equities 45 % 29 % 18 % 10 % Fixed income 54 % 70 % 34 % 38 % Property — % — % 6 % 8 % Alternative and other investments — % — % 36 % 41 % |
Fair Value Hierarchy of Plan Assets | The following tables present the Company's plan assets for the U.S. and non-U.S. plans using the fair value hierarchy as of December 31, 2021 and 2020. The plans’ assets were accounted for at fair value and are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value assets and their placement within the fair value hierarchy levels. For more information on a description of the fair value hierarchy, see Note 16. U.S. Plans for the Year Ended December 31, 2021 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash Equivalents $ — $ 5 $ — $ 5 Fixed Income Securities Government & Government Agency Bonds — 15 — 15 Corporate Bonds — 77 — 77 Municipal Bonds — 4 — 4 Assets measured at net asset value (1) — — — 547 Total $ — $ 101 $ — $ 648 Receivables $ 1 Total $ 649 U.S. Plans for the Year Ended December 31, 2020 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash Equivalents $ — $ 4 $ — $ 4 Fixed Income Securities Government & Government Agency Bonds — 19 — 19 Corporate Bonds — 104 — 104 Municipal Bonds — 6 — 6 Assets measured at net asset value (1) — — — 544 Total $ — $ 133 $ — $ 677 Receivables $ 1 Total $ 678 _______________________ (1) Investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in the table above are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Balance Sheets. The total amount measured at net asset value includes approximately $294 million and $201 million in pooled equity funds and $253 million and $343 million in fixed income mutual funds for the years ended December 31, 2021 and 2020, respectively. Non-U.S. Plans for the Year Ended December 31, 2021 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash $ 37 $ 36 $ — $ 73 Equity Securities U.S. Large Cap 100 — — 100 Non-U.S. Large Cap 104 — — 104 Non-U.S. Mid Cap 1 — — 1 Non-U.S. Small Cap 1 — — 1 Emerging Markets 30 — — 30 Fixed Income Securities U.S. Corporate Bonds 42 — — 42 Non-U.S. Treasuries/Government Bonds 162 — — 162 Non-U.S. Corporate Bonds 58 137 — 195 Non-U.S. Asset-Backed Securities — 51 — 51 Non-U.S. Other Fixed Income 2 — — 2 Alternative Types of Investments Insurance Contracts — 265 — 265 Derivative Financial Instruments — 91 — 91 Absolute Return Funds 4 110 — 114 Other — 2 10 12 Real Estate Non-U.S. Real Estate 5 — 72 77 Total $ 546 $ 692 $ 82 $ 1,320 Non-U.S. Plans for the Year Ended December 31, 2020 (DOLLARS IN MILLIONS) Level 1 Level 2 Level 3 Total Cash $ 13 $ 19 $ — $ 32 Equity Securities U.S. Large Cap 57 8 — 65 Non-U.S. Large Cap 26 — — 26 Non-U.S. Mid Cap 1 — — 1 Non-U.S. Small Cap 1 — — 1 Emerging Markets 25 — — 25 Fixed Income Securities U.S. Corporate Bonds — 43 — 43 Non-U.S. Treasuries/Government Bonds 163 — — 163 Non-U.S. Corporate Bonds 34 139 — 173 Non-U.S. Asset-Backed Securities — 51 — 51 Non-U.S. Other Fixed Income 3 — — 3 Alternative Types of Investments Insurance Contracts — 247 — 247 Derivative Financial Instruments — 91 — 91 Absolute Return Funds 4 93 — 97 Other 11 3 19 33 Real Estate Non-U.S. Real Estate — — 94 94 Total $ 338 $ 694 $ 113 $ 1,145 |
Reconciliation of Level 3 Non-U.S. Plan Assets Held | The following table presents a reconciliation of Level 3 non-U.S. plan assets held during the year ended December 31, 2021: Non-U.S. Plans (DOLLARS IN MILLIONS) Real Hedge Total Ending balance as of December 31, 2020 $ 94 $ 19 $ 113 Actual return on plan assets (3) 1 (2) Purchases, sales and settlements (19) (10) (29) Ending balance as of December 31, 2021 $ 72 $ 10 $ 82 |
Weighted Average Assumptions Used to Determine Postretirement Benefit Expense and Obligation | The following weighted average assumptions were used to determine the postretirement benefit expense and obligation for the years ended December 31: Expense Liability 2021 2020 2021 2020 Discount rate 2.60 % 3.30 % 2.90 % 2.60 % Current medical cost trend rate 7.00 % 7.25 % 6.75 % 7.00 % Ultimate medical cost trend rate 4.75 % 4.75 % 4.75 % 4.75 % Medical cost trend rate decreases to ultimate rate in year 2030 2030 2030 2030 |
Sensitivity of Disclosures to Changes in Selected Assumptions | The following table presents the sensitivity of disclosures to changes in selected assumptions for the year ended December 31, 2021: (DOLLARS IN MILLIONS) U.S. Pension Plans Non-U.S. Pension Plans Postretirement Benefit Plan 25 Basis Point Decrease in Discount Rate Change in PBO $ 19 $ 77 N/A Change in ABO 19 73 2 Change in pension expense — 5 — 25 Basis Point Decrease in Long-Term Rate of Return Change in pension expense 1 3 N/A |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Carrying Amount and Estimated Fair Value of Financial Instruments | The carrying value and the estimated fair values of financial instruments at December 31 consisted of the following: 2021 2020 (DOLLARS IN MILLIONS) Carrying Value Fair Carrying Value Fair LEVEL 1 Cash and cash equivalents (1) $ 711 $ 711 $ 650 $ 650 2025 Notes (6) 1,001 968 — — 2027 Notes (6) 1,218 1,180 — — 2030 Notes (6) 1,511 1,466 — — 2040 Notes (6) 775 762 — — 2050 Notes (6) 1,572 1,556 — — LEVEL 2 Credit facilities and bank overdrafts (2) 7 7 2 2 Derivatives Derivative assets (3) — — 1 1 Derivative liabilities (3) 7 7 29 29 Commercial paper (2) 324 324 — — Long-term debt: 2021 Euro Notes (4) — — 368 370 2022 Notes (4) 300 300 — — 2023 Notes (4) 300 308 299 316 2024 Euro Notes (4) 565 585 614 648 2026 Euro Notes (4) 900 960 978 1,061 2028 Notes (4) 397 452 397 472 2047 Notes (4) 494 585 494 608 2048 Notes (4) 786 1,026 786 1,059 2018 Term Loan Facility (2) — — 240 240 2022 Term Loan Facility (2) — — 199 200 2024 Term Loan Facility (7) 625 625 — — 2026 Term Loan Facility (7) 625 625 — — Amortizing Notes (5) — — 36 37 _______________________ (1) The carrying amount of cash and cash equivalents approximates fair value due to the short maturity of those instruments. (2) The carrying amount approximates fair value as the interest rate is reset frequently based on current market rates as well as the short maturity of those instruments. (3) The carrying amount approximates fair value as the instruments are marked-to-market and held at fair value on the Consolidated Balance Sheets. (4) The fair value of the Company's long-term debt was calculated using discounted cash flows applying current interest rates and current credit spreads based on its own credit risk. (5) The fair value of the Amortizing Notes of the TEUs was based on the most recently quoted price for the outstanding securities, adjusted for any known significant deviation in value. The estimated fair value of these long-term obligations is not necessarily indicative of the amount that would be realized in a current market exchange. (6) The fair value of the Notes is based on marketed quoted price as there is an active market for the Notes and observable market data and inputs. (7) The carrying amount approximates fair value as the Term Loans were assumed at fair value and the interest rate is reset frequently based on current market rates. |
Derivative Instruments Notional Amount Outstanding | The following table shows the notional amount of the Company’s derivative instruments outstanding as of December 31, 2021 and December 31, 2020: December 31, (DOLLARS IN MILLIONS) 2021 2020 Foreign currency contracts $ 46 $ 221 Commodity contracts 10 — Cross currency swaps 300 300 |
Derivative Instruments Measured at Fair Value | The following tables show the Company’s derivative instruments measured at fair value (Level 2 of the fair value hierarchy) as reflected in the Consolidated Balance Sheets as of December 31, 2021 and December 31, 2020: December 31, 2021 (DOLLARS IN MILLIONS) Fair Value of Derivatives Fair Value of Derivatives Not Designated as Hedging Instruments Total Fair Value Derivative assets (1) Foreign currency contracts $ — $ — $ — Derivative liabilities (2) Foreign currency contracts $ — $ 2 $ 2 Cross currency swaps 5 — 5 Total derivative liabilities $ 5 $ 2 $ 7 December 31, 2020 (DOLLARS IN MILLIONS) Fair Value of Derivatives Designated as Hedging Instruments Fair Value of Derivatives Not Designated as Hedging Instruments Total Fair Value Derivative assets (1) Foreign currency contracts $ — $ 1 $ 1 Derivative liabilities (2) Foreign currency contracts $ 6 $ — $ 6 Cross currency swaps 23 — 23 Total derivative liabilities $ 29 $ — $ 29 _______________________ (1) Derivative assets are recorded to Prepaid expenses and other current assets in the Consolidated Balance Sheets. (2) Derivative liabilities are recorded as Other current liabilities in the Consolidated Balance Sheets. |
Derivative Instruments Which Were Not Designated as Hedging Instruments | The following table shows the effect of the Company’s derivative instruments which were not designated as hedging instruments in the Consolidated Statements of Income and Comprehensive Income (Loss) for the years ended December 31, 2021 and December 31, 2020: (DOLLARS IN MILLIONS) Amount of Gain (Loss) Location of Gain (Loss) 2021 2020 Foreign currency contracts $ 6 $ 9 Other (income) expense, net |
Derivative Instruments Designated as Cash Flow and Net Investment Hedging Instruments | The following table shows the effect of the Company’s derivative instruments designated as cash flow and net investment hedging instruments, net of tax, in the Consolidated Statements of Income and Comprehensive Income (Loss) for the years ended December 31, 2021 and December 31, 2020: Amount of Gain (Loss) Location of Gain Amount of Gain (Loss) Reclassified from AOCI For the years ended For the years ended (DOLLARS IN MILLIONS) 2021 2020 2021 2020 Derivatives in Cash Flow Hedging Relationships: Foreign currency contracts $ 7 $ (10) Cost of goods sold $ (6) $ 5 Interest rate swaps (1) 1 1 Interest expense (1) (1) Derivatives in Net Investment Hedging Relationships: Cross currency swaps 14 (13) N/A — — Non-Derivatives in Net Investment Hedging Relationships: 2024 Euro Notes 38 (42) N/A — — 2021 Euro Notes & 2026 Euro Notes 72 (92) N/A — — Total $ 132 $ (156) $ (7) $ 4 _______________________ (1) Interest rate swaps were entered into as pre-issuance hedges for the Company's bond offerings. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Income (Loss) | The following tables present changes in the accumulated balances for each component of other comprehensive income, including current period other comprehensive income and reclassifications out of accumulated other comprehensive income: (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive loss, net of tax, as of December 31, 2020 $ (285) $ (7) $ (406) $ (698) OCI before reclassifications (848) 1 97 (750) Amounts reclassified from AOCI — 7 18 25 Net current period other comprehensive income (loss) (848) 8 115 (725) Accumulated other comprehensive loss, net of tax, as of December 31, 2021 $ (1,133) $ 1 $ (291) $ (1,423) (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2019 $ (373) $ 2 $ (346) $ (717) OCI before reclassifications 88 (5) (74) 9 Amounts reclassified from AOCI — (4) 14 10 Net current period other comprehensive income (loss) 88 (9) (60) 19 Accumulated other comprehensive loss, net of tax, as of December 31, 2020 $ (285) $ (7) $ (406) $ (698) (DOLLARS IN MILLIONS) Foreign (Losses) Gains on Derivatives Pension and Total Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2018 $ (397) $ 5 $ (310) $ (702) OCI before reclassifications 24 5 (46) (17) Amounts reclassified from AOCI — (8) 10 2 Net current period other comprehensive income (loss) 24 (3) (36) (15) Accumulated other comprehensive (loss) income, net of tax, as of December 31, 2019 $ (373) $ 2 $ (346) $ (717) |
Reclassifications of Accumulated Other Comprehensive Income to Consolidated Statement of Comprehensive Income | The following table provides details about reclassifications out of AOCI to the Consolidated Statement of Comprehensive Income: Year Ended December 31, (DOLLARS IN MILLIONS) 2021 2020 2019 Affected Line Item in the Consolidated Statement of Comprehensive Income (Losses) gains on derivatives qualifying as hedges Foreign currency contracts $ (7) $ 6 $ 10 Cost of goods sold Interest rate swaps (1) (1) (1) Interest expense Tax 1 (1) (1) Provision for income taxes Total $ (7) $ 4 $ 8 Total, net of income taxes (Losses) gains on pension and postretirement liability adjustments Prior service cost $ 7 $ 7 $ 6 (1) Actuarial losses (38) (30) (19) (1) Other items 17 — — (2) Tax (4) 9 3 Provision for income taxes Total $ (18) $ (14) $ (10) Total, net of income taxes _______________________ (1) The amortization of prior service cost and actuarial loss is included in the computation of net periodic benefit cost. Refer to Note 15 to the Consolidated Financial Statements for additional information regarding net periodic benefit cost. (2) Represents certain amounts of pension income that were corrected in the current year. Refer to Note 15 for additional information. |
Redeemable Noncontrolling Int_2
Redeemable Noncontrolling Interests (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Noncontrolling Interest [Abstract] | |
Schedule of Redeemable Noncontrolling Interest | The following table sets forth the details of the Company's redeemable non-controlling interests: (DOLLARS IN MILLIONS) Redeemable Balance at December 31, 2018 $ 82 Acquired through acquisitions during 2019 24 Share of profit or loss attributable to redeemable noncontrolling interests 1 Redemption value adjustment for the current period 2 Measurement period adjustments 5 Dividends paid (1) Exercises of redeemable noncontrolling interests (14) Balance at December 31, 2019 $ 99 Impact of foreign exchange translation 13 Share of profit or loss attributable to redeemable noncontrolling interests 3 Redemption value adjustment for the current period (2) Measurement period adjustments (1) Dividends paid (2) Exercises of redeemable noncontrolling interests (12) Balance at December 31, 2020 $ 98 Impact of foreign exchange translation 1 Share of profit or loss attributable to redeemable noncontrolling interests 6 Redemption value adjustment for the current period 2 Dividends paid (2) Balance at December 31, 2021 $ 105 |
Assets Held For Sale (Tables)
Assets Held For Sale (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Assets and Liabilities Held for Sale | Included in the Company's Consolidated Balance Sheets as of December 31, 2021 are the following carrying amounts of the assets and liabilities held for sale: (DOLLARS IN MILLIONS) December 31, 2021 Assets Trade receivables, net $ 63 Inventories 125 Property, plant and equipment, net 30 Goodwill 536 Other intangible assets, net 349 Operating lease right-of-use assets 5 Other assets 14 Total assets held-for-sale $ 1,122 Liabilities Accounts payable $ 69 Deferred tax liability 24 Other liabilities 8 Total liabilities held-for-sale $ 101 |
Nature of Operations and Summ_4
Nature of Operations and Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Operating lease right-of-use assets | $ 767 | $ 299 | ||
Operating Lease, Liability | 779 | 306 | ||
Cumulative adjustment relating to the adoption of ASC 2016-16 | $ 21,117 | $ 6,322 | $ 6,229 | $ 6,043 |
Minimum percentage chance of tax benefit realization in final settlement | 50.00% | |||
Prior service costs from plan improvements amortization period, minimum, years | 10 years | |||
Prior service costs from plan improvements amortization period, maximum, years | 20 years | |||
Amortization period of internal and external development costs, years | 7 years | |||
Difference amount between basic and diluted net income per share (in dollars per share) | $ 0.01 | $ 0.04 | $ 0.01 | |
Inventories | $ 2,516 | $ 1,132 | ||
Accounts Receivable, Allowance for Credit Loss | 46 | |||
Accounts Receivable, Credit Loss Expense (Reversal) | 6 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (1) | |||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | $ 20 | |||
Accounts Receivables, Outstanding Less Than 90 Days | 91.00% | |||
Receivables, Net, Current | $ 1,906 | |||
Accounts Receivables, Outstanding By Over 365 Days | 1.00% | |||
Cash and cash equivalents | $ 711 | 650 | $ 607 | |
Restricted cash | 4 | 7 | 17 | |
Restricted Cash, Noncurrent | 1 | 3 | 0 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 716 | 660 | 624 | 649 |
Accounts Receivable, before Allowance for Credit Loss | $ 1,952 | 950 | ||
Restatement Adjustment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss | 21 | |||
Minimum [Member] | Customer Relationships [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 10 years | |||
Minimum [Member] | Patents [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 11 years | |||
Minimum [Member] | Trade Names [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 4 years | |||
Minimum [Member] | Technological Know-how [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 5 years | |||
Minimum [Member] | Buildings And Improvements [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 1 year | |||
Minimum [Member] | Machinery and equipment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 1 year | |||
Minimum [Member] | Information Technology Hardware And Software [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 1 year | |||
Maximum [Member] | Customer Relationships [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 27 years | |||
Maximum [Member] | Patents [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 15 years | |||
Maximum [Member] | Trade Names [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 28 years | |||
Maximum [Member] | Technological Know-how [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other intangible assets amortized period, years | 28 years | |||
Maximum [Member] | Buildings And Improvements [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 50 years | |||
Maximum [Member] | Machinery and equipment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 40 years | |||
Maximum [Member] | Information Technology Hardware And Software [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Estimated useful life of property, plant and equipment, years | 23 years | |||
Accounting Standards Update 2016-02 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Cumulative adjustment relating to the adoption of ASC 2016-16 | 23 | |||
Accounting Standards Update 2017-12 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Cumulative adjustment relating to the adoption of ASC 2016-16 | 0 | |||
Retained earnings [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Cumulative adjustment relating to the adoption of ASC 2016-16 | $ 3,641 | 4,156 | 4,118 | 3,956 |
Retained earnings [Member] | Accounting Standards Update 2016-02 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Cumulative adjustment relating to the adoption of ASC 2016-16 | 23 | |||
Retained earnings [Member] | Accounting Standards Update 2017-12 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Cumulative adjustment relating to the adoption of ASC 2016-16 | $ (1) | |||
Trade Accounts Receivable With Factoring Agreements [Member] | ||||
Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Trade Receivables Held-for-sale, Amount | 250 | |||
Proceeds From Sale Of Accounts Receivable | 19 | 43 | 38 | |
Payments To Participate In Factoring Receivable Program | $ 6 | $ 4 | $ 7 |
Nature of Operations and Summ_5
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Inventory (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Raw materials | $ 854 | $ 566 |
Work in process | 287 | 38 |
Finished goods | 1,375 | 528 |
Total | $ 2,516 | $ 1,132 |
Restructuring and Other Charg_3
Restructuring and Other Charges - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)FacilityPosition | Dec. 31, 2020USD ($)Facility | Dec. 31, 2019USD ($)Position | |
Restructuring Cost and Reserve [Line Items] | |||
Number Of Sites Closed | Facility | 21 | ||
Additional charges, net | $ 41 | $ 17 | $ 30 |
Severance costs | 4 | ||
Restructuring Reserve [Roll Forward] | |||
Balance | 14 | 21 | 5 |
Additional Charges (Reversals), Net | 41 | 17 | 30 |
Non-Cash Charges | (8) | (12) | (1) |
Cash Payments | (18) | (12) | (13) |
Balance | 29 | 14 | 21 |
Nutrition & Biosciences, Inc [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Additional Charges (Reversals), Net | $ 30 | ||
Frutarom Integration Initiative [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Expected number of sites closed | Facility | 30 | ||
Number Of Sites Closed | Facility | 1 | ||
2017 Productivity Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Additional charges, net | $ 24 | ||
Severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Expected Number of Positions Eliminated | Position | 200 | ||
Restructuring Reserve [Roll Forward] | |||
Balance | $ 2 | 0 | |
Additional Charges (Reversals), Net | 0 | 3 | |
Non-Cash Charges | 0 | 0 | |
Cash Payments | (1) | (1) | |
Balance | 1 | 2 | 0 |
Severance | Nutrition & Biosciences, Inc [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | ||
Additional Charges (Reversals), Net | 27 | ||
Non-Cash Charges | 0 | ||
Cash Payments | (12) | ||
Balance | 15 | 0 | |
Severance | Frutarom Integration Initiative [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Additional charges, net | 37 | ||
Other Restructuring Costs | 42 | ||
Restructuring Reserve [Roll Forward] | |||
Balance | 3 | 4 | 0 |
Additional Charges (Reversals), Net | 5 | 2 | 6 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | (3) | (3) | (2) |
Balance | 5 | 3 | $ 4 |
Severance | 2019 Severance Initiatives [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Additional charges, net | 20 | ||
Expected Number of Positions Eliminated | Position | 190 | ||
Restructuring Reserve [Roll Forward] | |||
Balance | 6 | 13 | $ 0 |
Additional Charges (Reversals), Net | 0 | (1) | 21 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | (1) | (6) | (8) |
Balance | 5 | 6 | 13 |
Severance | 2017 Productivity Program [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | 1 | 4 |
Additional Charges (Reversals), Net | (1) | (2) | |
Non-Cash Charges | 0 | 0 | |
Cash Payments | 0 | (1) | |
Balance | 0 | 1 | |
Other(1) | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | ||
Additional Charges (Reversals), Net | 1 | ||
Non-Cash Charges | 0 | ||
Cash Payments | (1) | ||
Balance | 0 | 0 | |
Other(1) | Nutrition & Biosciences, Inc [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | ||
Additional Charges (Reversals), Net | 3 | ||
Non-Cash Charges | (3) | ||
Cash Payments | 0 | ||
Balance | 0 | 0 | |
Other(1) | Frutarom Integration Initiative [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 3 | 3 | 0 |
Additional Charges (Reversals), Net | 0 | 2 | 4 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | 0 | (2) | (1) |
Balance | 3 | 3 | 3 |
Other(1) | 2017 Productivity Program [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | 1 | |
Additional Charges (Reversals), Net | 0 | ||
Non-Cash Charges | 0 | ||
Cash Payments | (1) | ||
Balance | 0 | ||
Fixed asset write down | Frutarom Integration Initiative [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | 0 | 0 |
Additional Charges (Reversals), Net | 5 | 12 | 1 |
Non-Cash Charges | (5) | (12) | (1) |
Cash Payments | 0 | 0 | 0 |
Balance | 0 | 0 | 0 |
Scent [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Additional charges, net | $ 3 | $ 7 | $ 12 |
Restructuring and Other Charg_4
Restructuring and Other Charges - Movements in Restructuring and Related Accruals (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Restructuring Reserve [Roll Forward] | |||
Balance | $ 14 | $ 21 | $ 5 |
Additional Charges (Reversals), Net | 41 | 17 | 30 |
Non-Cash Charges | (8) | (12) | (1) |
Cash Payments | (18) | (12) | (13) |
Balance | 29 | 14 | 21 |
Additional charges, net | 41 | 17 | 30 |
Severance | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 2 | 0 | |
Additional Charges (Reversals), Net | 0 | 3 | |
Non-Cash Charges | 0 | 0 | |
Cash Payments | (1) | (1) | |
Balance | 1 | 2 | 0 |
Other(1) | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | ||
Additional Charges (Reversals), Net | 1 | ||
Non-Cash Charges | 0 | ||
Cash Payments | (1) | ||
Balance | 0 | 0 | |
Scent [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Additional charges, net | 3 | 7 | 12 |
Pharma Solutions | |||
Restructuring Reserve [Roll Forward] | |||
Additional charges, net | 1 | 0 | 0 |
Nourish | |||
Restructuring Reserve [Roll Forward] | |||
Additional charges, net | 32 | 10 | 17 |
Health & Biosciences | |||
Restructuring Reserve [Roll Forward] | |||
Additional charges, net | 5 | 0 | 1 |
Frutarom Integration Initiative [Member] | Severance | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 3 | 4 | 0 |
Additional Charges (Reversals), Net | 5 | 2 | 6 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | (3) | (3) | (2) |
Balance | 5 | 3 | 4 |
Additional charges, net | 37 | ||
Frutarom Integration Initiative [Member] | Fixed asset write down | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 0 | 0 | 0 |
Additional Charges (Reversals), Net | 5 | 12 | 1 |
Non-Cash Charges | (5) | (12) | (1) |
Cash Payments | 0 | 0 | 0 |
Balance | 0 | 0 | 0 |
Frutarom Integration Initiative [Member] | Other(1) | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 3 | 3 | 0 |
Additional Charges (Reversals), Net | 0 | 2 | 4 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | 0 | (2) | (1) |
Balance | 3 | 3 | 3 |
2019 Severance Initiatives [Member] | Severance | |||
Restructuring Reserve [Roll Forward] | |||
Balance | 6 | 13 | 0 |
Additional Charges (Reversals), Net | 0 | (1) | 21 |
Non-Cash Charges | 0 | 0 | 0 |
Cash Payments | (1) | (6) | (8) |
Balance | 5 | 6 | 13 |
Additional charges, net | 20 | ||
2017 Productivity Program [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Additional charges, net | 24 | ||
2017 Productivity Program [Member] | Severance | |||
Restructuring Reserve [Roll Forward] | |||
Balance | $ 0 | 1 | 4 |
Additional Charges (Reversals), Net | (1) | (2) | |
Non-Cash Charges | 0 | 0 | |
Cash Payments | 0 | (1) | |
Balance | 0 | 1 | |
2017 Productivity Program [Member] | Other(1) | |||
Restructuring Reserve [Roll Forward] | |||
Balance | $ 0 | 1 | |
Additional Charges (Reversals), Net | 0 | ||
Non-Cash Charges | 0 | ||
Cash Payments | (1) | ||
Balance | $ 0 |
Acquisitions - Nutrition & Bios
Acquisitions - Nutrition & Biosciences, Inc (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 01, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 15, 2019 | Dec. 31, 2018 |
Business Acquisition [Line Items] | |||||||
Common stock, par value | $ 0.125 | $ 0.125 | $ 0.125 | ||||
Cash paid to acquire business | $ 7,500 | ||||||
Goodwill | $ 16,414 | $ 16,414 | $ 5,593 | $ 5,497 | |||
Net defined benefit plan assets | 136 | 136 | 101 | ||||
Nourish | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 6,555 | 6,555 | 4,859 | 4,873 | |||
Health & Biosciences | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 6,749 | 6,749 | 0 | 0 | |||
Pharma Solutions | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 1,282 | 1,282 | 0 | 0 | |||
Scent [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 1,828 | 1,828 | 734 | $ 624 | |||
International Flavors & Fragrances Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Sale of Stock, Percentage of Ownership after Transaction | 44.60% | ||||||
Nutrition & Biosciences, Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition, equity interest issued or issuable, number of shares | 141,740,461 | ||||||
Common stock, par value | $ 0.125 | $ 0.125 | |||||
Cash acquired from acquisition | $ 7,359 | ||||||
Business Acquisition, Net Sales | 6,084 | ||||||
Business Acquisition, Net Income (Loss) | 11 | ||||||
Cash paid to acquire business | 15,929 | ||||||
Equity interests issued and issuable | 25 | ||||||
Pension funding adjustment | (12) | ||||||
Business combination, consideration transferred | $ 15,942 | ||||||
Business acquisition share price | $ 112.38 | ||||||
Net pension balance differential amount settled in cash | $ 220 | ||||||
Cash and cash equivalents | 207 | 193 | 193 | ||||
Receivables | 962 | 953 | 953 | ||||
Inventory | 1,615 | 1,590 | 1,590 | ||||
Prepaid expenses and other current assets | 342 | 374 | 374 | ||||
Property, plant and equipment | 3,242 | 3,066 | 3,066 | ||||
Deferred income taxes | 75 | 83 | 83 | ||||
Intangible assets | 9,176 | 9,223 | 9,223 | ||||
Other assets | 702 | 818 | 818 | ||||
Accounts payable and accrued liabilities | (1,028) | (1,079) | (1,079) | ||||
Accrued payroll and employee benefits | (163) | (148) | (148) | ||||
Deferred tax liabilities | (2,369) | (2,395) | (2,395) | ||||
Long-term debt | (7,636) | (7,636) | (7,636) | ||||
Other long-term liabilities | (907) | (895) | (895) | ||||
Total identifiable net assets assumed | 4,218 | 4,147 | 4,147 | ||||
Non-controlling interest | (26) | (22) | (22) | ||||
Goodwill | 11,762 | 11,817 | 11,817 | ||||
Purchase price | 15,954 | 15,942 | 15,942 | ||||
Finite lived intangible assets | 9,210 | ||||||
Lease adjustment | 15 | ||||||
Net defined benefit plan liabilities | 221 | ||||||
Acquisition related costs | 75 | ||||||
Transaction costs | 91 | 91 | 29 | $ 21 | |||
Unaudited pro forma net sales | 12,163 | 11,143 | |||||
Unaudited pro forma net income attributable to the Company | 687 | $ 192 | |||||
Nutrition & Biosciences, Inc [Member] | In Process Research and Development | |||||||
Business Acquisition [Line Items] | |||||||
Indefinite lived intangible assets | 13 | ||||||
Nutrition & Biosciences, Inc [Member] | Microcrystalline Cellulose | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition related costs | $ 61 | ||||||
Nutrition & Biosciences, Inc [Member] | Trade Names [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Finite lived intangible assets | 261 | ||||||
Nutrition & Biosciences, Inc [Member] | Customer Relationships [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Finite lived intangible assets | 6,734 | ||||||
Nutrition & Biosciences, Inc [Member] | Technological Know-Hows | |||||||
Business Acquisition [Line Items] | |||||||
Finite lived intangible assets | 2,194 | ||||||
Nutrition & Biosciences, Inc [Member] | Other [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Finite lived intangible assets | $ 21 | ||||||
Useful Lives | 2 years | ||||||
Nutrition & Biosciences, Inc [Member] | Nourish | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 2,900 | $ 2,900 | |||||
Nutrition & Biosciences, Inc [Member] | Health & Biosciences | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 6,712 | 6,712 | |||||
Nutrition & Biosciences, Inc [Member] | Pharma Solutions | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 1,329 | 1,329 | |||||
Nutrition & Biosciences, Inc [Member] | Scent [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 876 | 876 | |||||
Nutrition & Biosciences, Inc [Member] | Restatement Adjustment [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Cash and cash equivalents | (14) | (14) | |||||
Receivables | (9) | (9) | |||||
Inventory | (25) | (25) | |||||
Prepaid expenses and other current assets | 32 | 32 | |||||
Property, plant and equipment | (176) | (176) | |||||
Deferred income taxes | 8 | 8 | |||||
Intangible assets | 47 | 47 | |||||
Other assets | 116 | 116 | |||||
Accounts payable and accrued liabilities | (51) | (51) | |||||
Accrued payroll and employee benefits | 15 | 15 | |||||
Deferred tax liabilities | (26) | (26) | |||||
Long-term debt | 0 | 0 | |||||
Other long-term liabilities | 12 | 12 | |||||
Total identifiable net assets assumed | (71) | (71) | |||||
Non-controlling interest | 4 | 4 | |||||
Goodwill | 55 | 55 | |||||
Purchase price | (12) | $ (12) | |||||
Nutrition & Biosciences, Inc [Member] | Minimum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Dilutive Shares Quotient Multiplier | 44.60% | ||||||
Nutrition & Biosciences, Inc [Member] | Minimum [Member] | Trade Names [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 4 years | ||||||
Nutrition & Biosciences, Inc [Member] | Minimum [Member] | Customer Relationships [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 11 years | ||||||
Nutrition & Biosciences, Inc [Member] | Minimum [Member] | Technological Know-Hows | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 5 years | ||||||
Nutrition & Biosciences, Inc [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Dilutive Shares Quotient Multiplier | 55.40% | ||||||
Nutrition & Biosciences, Inc [Member] | Maximum [Member] | Trade Names [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 22 years | ||||||
Nutrition & Biosciences, Inc [Member] | Maximum [Member] | Customer Relationships [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 27 years | ||||||
Nutrition & Biosciences, Inc [Member] | Maximum [Member] | Technological Know-Hows | |||||||
Business Acquisition [Line Items] | |||||||
Useful Lives | 18 years | ||||||
Nutrition & Biosciences, Inc [Member] | DuPont de Nemours, Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Adjustment on cash payment from DuPont | $ 53 | ||||||
Nutrition & Biosciences, Inc [Member] | International Flavors & Fragrances Inc [Member] | DuPont de Nemours, Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Percentage of voting interest acquired | 55.40% |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Schedule of Property, Plant and Equipment (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 6,161 | $ 2,928 | |
Accumulated depreciation | (1,793) | (1,470) | |
Property, plant and equipment, net | 4,368 | 1,458 | |
Depreciation expense | 424 | 132 | $ 130 |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 223 | 84 | |
Buildings and improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 1,764 | 932 | |
Machinery and equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 3,442 | 1,525 | |
Information technology [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 271 | 251 | |
Construction in process [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 461 | $ 136 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, Net - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Nov. 30, 2021 | |
Goodwill [Line Items] | |||
Goodwill, period increase (decrease) | $ 0 | $ 0 | |
Nourish | |||
Goodwill [Line Items] | |||
Goodwill, period increase (decrease) | 985 | 85 | |
Reporting unit in excess of carrying amount | 62.00% | ||
Scent [Member] | |||
Goodwill [Line Items] | |||
Goodwill, period increase (decrease) | (257) | (85) | |
Health & Biosciences | |||
Goodwill [Line Items] | |||
Goodwill, period increase (decrease) | (728) | 0 | |
Reporting unit in excess of carrying amount | 44.00% | ||
Pharma Solutions | |||
Goodwill [Line Items] | |||
Goodwill, period increase (decrease) | $ 0 | $ 0 | |
Reporting unit in excess of carrying amount | 29.00% |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, Net - Goodwill Rollforward (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | ||
Goodwill | $ 5,593 | $ 5,497 |
Measurement period adjustment | (15) | |
Foreign exchange | (433) | 111 |
Reallocation | 0 | 0 |
Acquisitions | 11,817 | |
Transferred to assets held for sale | (536) | |
Reduction from business divestiture | (27) | |
Goodwill | 16,414 | 5,593 |
Nourish | ||
Goodwill [Roll Forward] | ||
Reallocation | (985) | (85) |
Health & Biosciences | ||
Goodwill [Roll Forward] | ||
Reallocation | 728 | 0 |
Scent [Member] | ||
Goodwill [Roll Forward] | ||
Reallocation | 257 | 85 |
Pharma Solutions | ||
Goodwill [Roll Forward] | ||
Reallocation | 0 | 0 |
Nourish | ||
Goodwill [Roll Forward] | ||
Goodwill | 4,859 | 4,873 |
Measurement period adjustment | (15) | |
Foreign exchange | (192) | 86 |
Acquisitions | 2,900 | |
Transferred to assets held for sale | 0 | |
Reduction from business divestiture | (27) | |
Goodwill | 6,555 | 4,859 |
Health & Biosciences | ||
Goodwill [Roll Forward] | ||
Goodwill | 0 | 0 |
Measurement period adjustment | 0 | |
Foreign exchange | (155) | 0 |
Acquisitions | 6,712 | |
Transferred to assets held for sale | (536) | |
Reduction from business divestiture | 0 | |
Goodwill | 6,749 | 0 |
Scent [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill | 734 | 624 |
Measurement period adjustment | 0 | |
Foreign exchange | (39) | 25 |
Acquisitions | 876 | |
Transferred to assets held for sale | 0 | |
Reduction from business divestiture | 0 | |
Goodwill | 1,828 | 734 |
Pharma Solutions | ||
Goodwill [Roll Forward] | ||
Goodwill | 0 | 0 |
Measurement period adjustment | 0 | |
Foreign exchange | (47) | 0 |
Acquisitions | 1,329 | |
Transferred to assets held for sale | 0 | |
Reduction from business divestiture | 0 | |
Goodwill | $ 1,282 | $ 0 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets, Net - Trademark and Other Intangible Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | $ 11,890 | $ 3,432 |
Total accumulated amortization | (1,384) | (705) |
Other intangible assets, net | 10,506 | 2,727 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 8,935 | 2,728 |
Total accumulated amortization | (887) | (470) |
Technological Know-how [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 2,494 | 479 |
Total accumulated amortization | (388) | (168) |
Trade Names and Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 411 | 187 |
Total accumulated amortization | (68) | (38) |
Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying value | 50 | 38 |
Total accumulated amortization | $ (41) | $ (29) |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets, Net - Amortization Expense (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization of acquisition-related intangibles | $ 732 | $ 193 | $ 193 |
2022 | 758 | ||
2023 | 749 | ||
2024 | 748 | ||
2025 | 746 | ||
2026 | $ 743 |
Other Assets And Liabilities,_3
Other Assets And Liabilities, Current and Noncurrent - Schedule of Other Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Other Assets [Abstract] | ||
Value-added tax receivable | $ 178 | $ 93 |
Income tax receivable | 131 | 100 |
Prepaid expenses | 288 | 100 |
Accounts and Other Receivables, Net, Current | 131 | 49 |
Other Assets, Current | 728 | 342 |
Operating Lease, Right-of-Use Asset | 767 | 299 |
Finance lease right-of-use assets | 21 | 8 |
Deferred income taxes | 82 | 197 |
Overfunded pension plans | 136 | 101 |
Cash surrender value of life insurance contracts | 52 | 49 |
Other | 239 | 58 |
Total | 616 | 418 |
Equity Method Investments | $ 86 | $ 5 |
Other Assets And Liabilities,_4
Other Assets And Liabilities, Current and Noncurrent - Schedule of Other Current Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities Disclosure [Abstract] | ||||
Rebates and incentives payable | $ 113 | $ 64 | ||
Value-added tax payable | 50 | 20 | ||
Interest payable | 48 | 29 | ||
Current pension and other postretirement benefit obligation | 11 | 13 | ||
Accrued insurance (including workers’ compensation) | 10 | 11 | ||
Earn outs payable | 0 | 14 | ||
Restructuring and other charges | $ 29 | $ 14 | $ 21 | $ 5 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Total | Total | ||
Current operating lease obligation | $ 109 | $ 41 | ||
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Total | Total | ||
Current financing lease obligation | $ 5 | $ 3 | ||
Accrued income taxes | 94 | 42 | ||
Other accounts payable and accrued expenses payable | 270 | 160 | ||
Other | 93 | 88 | ||
Total | $ 832 | $ 499 |
Debt - Components of Debt (Deta
Debt - Components of Debt (Detail) € in Millions, $ in Millions | Sep. 30, 2021USD ($) | Sep. 29, 2021USD ($) | Sep. 25, 2021EUR (€) | Jul. 28, 2021USD ($) | Feb. 01, 2021USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 16, 2020USD ($) | Aug. 25, 2020USD ($) | May 15, 2020USD ($) | Sep. 26, 2018USD ($) | Sep. 25, 2018USD ($) | Sep. 25, 2018EUR (€) | Jun. 06, 2018USD ($) | May 18, 2017 | Mar. 14, 2016EUR (€) | Apr. 04, 2013USD ($) |
Debt Instrument [Line Items] | ||||||||||||||||||
Commercial Paper | $ 324 | $ 0 | ||||||||||||||||
Debt | 11,400 | 4,413 | ||||||||||||||||
Long-term Debt, Current Maturities | (632) | (634) | ||||||||||||||||
Long-term debt | 10,768 | 3,779 | ||||||||||||||||
Proceeds from Issuance of Commercial Paper | 800 | 0 | ||||||||||||||||
Repayments of Commercial Paper | 476 | |||||||||||||||||
Revolving Loan Facility [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Revolving credit facility | $ 1,000 | |||||||||||||||||
Revolving credit facility | $ 1,000 | |||||||||||||||||
Revolving Loan Facility [Member] | Citibank, N.A [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Revolving credit facility | $ 2,000 | 1,025 | ||||||||||||||||
Line of Credit Facility, Increase (Decrease), Net | 2,500 | |||||||||||||||||
Revolving credit facility | $ 2,000 | $ 1,025 | ||||||||||||||||
Senior Notes, Euro Notes, 2021 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.50% | 0.50% | ||||||||||||||||
Repayments of Debt | € | € 300 | |||||||||||||||||
Senior notes | € | € 300 | |||||||||||||||||
Repayments of Debt | € | € 300 | |||||||||||||||||
Senior Notes, Euro Notes, 2021 [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.82% | |||||||||||||||||
Senior Notes, Current | $ 0 | 368 | ||||||||||||||||
Senior Notes, Due Two Thousand Twenty Two | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.69% | |||||||||||||||||
Senior Notes, Current | $ 300 | 0 | ||||||||||||||||
Senior Notes, Due Two Thousand Twenty Two | Loans Payable [Member] | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.697% | |||||||||||||||||
Senior Notes, Current | $ 300 | |||||||||||||||||
Senior Notes - 2023 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.20% | |||||||||||||||||
Senior notes | $ 300 | |||||||||||||||||
Senior Notes, Euro Notes, 2024 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.75% | |||||||||||||||||
Senior notes | € | € 500 | |||||||||||||||||
Senior Notes, Euro Notes, 2026 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.80% | 1.80% | ||||||||||||||||
Senior notes | € | € 800 | |||||||||||||||||
Senior Notes - 2028 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 4.45% | |||||||||||||||||
Senior notes | $ 400 | |||||||||||||||||
Senior notes - 2047 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 4.375% | |||||||||||||||||
Senior Notes - 2048 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 5.00% | |||||||||||||||||
Senior notes | $ 800 | |||||||||||||||||
Term Loan Credit Agreement [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Repayments of Debt | $ 120 | $ 120 | $ 110 | |||||||||||||||
Repayments of Debt | $ 120 | $ 120 | $ 110 | |||||||||||||||
Term Loan Credit Agreement [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.65% | |||||||||||||||||
Revolving credit facility | $ 350 | |||||||||||||||||
Revolving credit facility | $ 350 | |||||||||||||||||
2022 Term Loan [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.73% | |||||||||||||||||
Senior Notes, Current | $ 0 | 199 | ||||||||||||||||
Revolving credit facility | $ 200 | |||||||||||||||||
Revolving credit facility | $ 200 | |||||||||||||||||
2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 4.75 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Third Full Fiscal Quarter | 4.50 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Sixth Full Fiscal Quarter | 3.75 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Ninth Full Fiscal Quarter | 3.50 | |||||||||||||||||
2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 4.75 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Third Full Fiscal Quarter | 4.50 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Sixth Full Fiscal Quarter | 3.75 | |||||||||||||||||
Debt Instrument, Covenant Compliance, Ratio Of Net Debt To EBITDA With Step-Downs Over Time, Ninth Full Fiscal Quarter | 3.50 | |||||||||||||||||
Commercial Paper [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.00% | |||||||||||||||||
Bank overdrafts and other [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Bank overdrafts and other | $ 7 | 2 | ||||||||||||||||
Minimum [Member] | Revolving Loan Facility [Member] | Citibank, N.A [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 3.50 | |||||||||||||||||
Maximum [Member] | Revolving Loan Facility [Member] | Citibank, N.A [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 4.75 | |||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Twenty Two | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Margin on variable rate | 0.10% | |||||||||||||||||
Loans Payable [Member] | Senior Notes - 2023 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.30% | |||||||||||||||||
Senior notes | $ 300 | 299 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Euro Notes, 2024 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.88% | |||||||||||||||||
Senior notes | $ 565 | 614 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Twenty Five | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.22% | |||||||||||||||||
Senior notes | $ 1,001 | 0 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Twenty Five | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.23% | |||||||||||||||||
Senior notes | $ 1,000 | |||||||||||||||||
Margin on variable rate | 0.15% | |||||||||||||||||
Loans Payable [Member] | Senior Notes, Euro Notes, 2026 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.93% | |||||||||||||||||
Senior notes | $ 900 | 978 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Twenty Seven | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.56% | |||||||||||||||||
Senior notes | $ 1,218 | 0 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Twenty Seven | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.832% | |||||||||||||||||
Senior notes | $ 1,200 | |||||||||||||||||
Margin on variable rate | 0.25% | |||||||||||||||||
Loans Payable [Member] | Senior Notes - 2028 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 4.57% | |||||||||||||||||
Senior notes | $ 397 | 397 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Thirty | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 2.21% | |||||||||||||||||
Senior notes | $ 1,511 | 0 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Thirty | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 2.30% | |||||||||||||||||
Senior notes | $ 1,500 | |||||||||||||||||
Margin on variable rate | 0.25% | |||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Forty | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.04% | |||||||||||||||||
Senior notes | $ 775 | 0 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Forty | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.268% | |||||||||||||||||
Senior notes | $ 750 | |||||||||||||||||
Margin on variable rate | 0.30% | |||||||||||||||||
Loans Payable [Member] | Senior notes - 2047 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 4.44% | |||||||||||||||||
Senior notes | $ 494 | 494 | ||||||||||||||||
Loans Payable [Member] | Senior Notes - 2048 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 5.12% | |||||||||||||||||
Senior notes | $ 786 | 786 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Fifty | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.21% | |||||||||||||||||
Senior notes | $ 1,572 | 0 | ||||||||||||||||
Loans Payable [Member] | Senior Notes, Due Two Thousand Fifty | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 3.468% | |||||||||||||||||
Senior notes | $ 1,500 | |||||||||||||||||
Margin on variable rate | 0.30% | |||||||||||||||||
Loans Payable [Member] | Term Loan Credit Agreement [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Senior Notes, Current | $ 0 | 240 | ||||||||||||||||
Loans Payable [Member] | 2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.43% | |||||||||||||||||
Senior notes | $ 625 | 0 | ||||||||||||||||
Loans Payable [Member] | 2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.82% | |||||||||||||||||
Senior notes | $ 625 | 0 | ||||||||||||||||
Loans Payable [Member] | Amortizing Note | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 6.09% | |||||||||||||||||
Senior Notes, Current | $ 0 | $ 36 | ||||||||||||||||
Loans Payable [Member] | Nutrition & Biosciences, Inc Senior Notes | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||||||
Unsecured Debt [Member] | 2024 Term Loan | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt, face amount | $ 625 | |||||||||||||||||
Unsecured Debt [Member] | 2026 Term Loan | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt, face amount | 625 | |||||||||||||||||
Unsecured Debt [Member] | Senior Unsecured Notes [Member] | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt, face amount | 6,250 | $ 6,250 | ||||||||||||||||
Unsecured Debt [Member] | Senior Unsecured Term Loan Facilities [Member] | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt, face amount | $ 1,250 | |||||||||||||||||
Unsecured Debt [Member] | Minimum [Member] | Senior Unsecured Notes [Member] | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt instrument, term | 2 years | |||||||||||||||||
Unsecured Debt [Member] | Maximum [Member] | Senior Unsecured Notes [Member] | Nutrition & Biosciences, Inc [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt instrument, term | 30 years | |||||||||||||||||
Senior Notes, Euro Notes, 2021 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt | $ 350 | 298 | ||||||||||||||||
Senior Notes, Euro Notes, 2026 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt | $ 932 | € 794 | ||||||||||||||||
Senior Notes - 2028 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt | 397 | |||||||||||||||||
Senior Notes - 2048 [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Debt | $ 787 | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | 2022 Term Loan [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.225% | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | 2022 Term Loan [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 2.475% | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Loans Payable [Member] | Minimum [Member] | 2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.75% | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Loans Payable [Member] | Minimum [Member] | 2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.125% | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Loans Payable [Member] | Maximum [Member] | 2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 2.00% | |||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Loans Payable [Member] | Maximum [Member] | 2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 2.375% | |||||||||||||||||
Base Rate [Member] | Minimum [Member] | Revolving Loan Facility [Member] | Citibank, N.A [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Margin on variable rate | 0.00% | |||||||||||||||||
Base Rate [Member] | Minimum [Member] | 2022 Term Loan [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.225% | |||||||||||||||||
Base Rate [Member] | Maximum [Member] | Revolving Loan Facility [Member] | Citibank, N.A [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Margin on variable rate | 0.625% | |||||||||||||||||
Base Rate [Member] | Maximum [Member] | 2022 Term Loan [Member] | Loans Payable [Member] | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.475% | |||||||||||||||||
Base Rate [Member] | Loans Payable [Member] | Minimum [Member] | 2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.00% | |||||||||||||||||
Base Rate [Member] | Loans Payable [Member] | Minimum [Member] | 2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 0.125% | |||||||||||||||||
Base Rate [Member] | Loans Payable [Member] | Maximum [Member] | 2024 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.00% | |||||||||||||||||
Base Rate [Member] | Loans Payable [Member] | Maximum [Member] | 2026 Term Loan | ||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Interest rate of debt | 1.375% |
Debt - Additional Information (
Debt - Additional Information (Detail) $ / shares in Units, € in Millions | Sep. 30, 2021USD ($) | Sep. 29, 2021USD ($) | Sep. 25, 2021EUR (€) | Jul. 28, 2021USD ($) | Sep. 17, 2018USD ($)$ / shares | Jun. 06, 2018USD ($) | May 18, 2017USD ($) | Mar. 14, 2016USD ($) | Mar. 14, 2016EUR (€) | Apr. 04, 2013USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2020USD ($) | Aug. 25, 2020USD ($) | Sep. 25, 2018USD ($) | Sep. 25, 2018EUR (€) | Mar. 14, 2016EUR (€) |
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Amount still available for additional borrowings | $ 2,000,000,000 | ||||||||||||||||
Debt | $ 11,400,000,000 | $ 4,413,000,000 | |||||||||||||||
Gross Proceeds | $ 825,000,000 | ||||||||||||||||
Quarterly installments | $ / shares | $ 0.75 | ||||||||||||||||
Initial installment | $ / shares | $ 0.7333 | ||||||||||||||||
Interest and partial repayment of principal | 3.79% | ||||||||||||||||
Repurchase price of principal amount of Senior Notes in percentage | 101.00% | ||||||||||||||||
Revolving Loan Facility [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Revolving credit facility | $ 1,000,000,000 | ||||||||||||||||
Term Loan Credit Agreement [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Repayments of Debt | $ 120,000,000 | $ 120,000,000 | $ 110,000,000 | ||||||||||||||
Senior Notes, Euro Notes, 2021 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Repayments of Debt | € | € 300 | ||||||||||||||||
Interest rate of debt | 0.50% | 0.50% | |||||||||||||||
Senior notes | € | € 300 | ||||||||||||||||
Senior Notes, Euro Notes, 2024 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Senior notes | € | € 500 | ||||||||||||||||
Interest rate of debt | 1.75% | 1.75% | |||||||||||||||
Loans Payable [Member] | Senior Notes, Euro Notes, 2024 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Senior notes | $ 565,000,000 | 614,000,000 | |||||||||||||||
Interest rate of debt | 1.88% | ||||||||||||||||
Senior Notes, Euro Notes, 2021 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Debt | $ 350,000,000 | 298 | |||||||||||||||
Senior Notes, Euro Notes, 2026 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Debt | $ 932,000,000 | € 794 | |||||||||||||||
Senior Notes - 2023 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Senior notes discount | $ 1,000,000 | ||||||||||||||||
Proceeds related to the issuance of Senior Notes | 298,000,000 | ||||||||||||||||
Underwriting discount | 2,000,000 | ||||||||||||||||
Other deferred costs | $ 1,000,000 | ||||||||||||||||
Senior notes - 2047 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Debt, face amount | $ 500,000,000 | ||||||||||||||||
Senior notes discount | 2,000,000 | ||||||||||||||||
Proceeds related to the issuance of Senior Notes | 494,000,000 | ||||||||||||||||
Underwriting discount | 4,000,000 | ||||||||||||||||
Other deferred costs | 1,000,000 | ||||||||||||||||
Gain (loss) on pre-issuance hedges | $ (5,000,000) | ||||||||||||||||
Senior Notes, Euro Notes, 2024 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Debt instrument, term | 8 years | 8 years | |||||||||||||||
Interest rate of debt | 1.75% | 1.75% | |||||||||||||||
Senior notes discount | € | € 1 | ||||||||||||||||
Proceeds related to the issuance of Senior Notes | € | € 496 | ||||||||||||||||
Underwriting discount | € | € 3 | ||||||||||||||||
Other deferred costs | $ 1,000,000 | ||||||||||||||||
Gain (loss) on pre-issuance hedges | $ (3,000,000) | ||||||||||||||||
Citibank, N.A [Member] | Revolving Loan Facility [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Revolving credit facility | $ 2,000,000,000 | $ 1,025,000,000 | |||||||||||||||
Debt related commitment fees and debt issuance costs | $ 1,000,000 | ||||||||||||||||
Line of credit | $ 0 | ||||||||||||||||
Citibank, N.A [Member] | Revolving Loan Facility [Member] | Minimum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 3.50 | ||||||||||||||||
Citibank, N.A [Member] | Revolving Loan Facility [Member] | Maximum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Maximum ratio of net debt to EBI TDA with step-downs over time | 4.75 | ||||||||||||||||
Citibank, N.A [Member] | Base Rate [Member] | Revolving Loan Facility [Member] | Minimum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Margin on variable rate | 0.00% | ||||||||||||||||
Citibank, N.A [Member] | Base Rate [Member] | Revolving Loan Facility [Member] | Maximum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Margin on variable rate | 0.625% | ||||||||||||||||
Citibank, N.A [Member] | Eurocurrency Rate | Revolving Loan Facility [Member] | Minimum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Margin on variable rate | 1.00% | ||||||||||||||||
Citibank, N.A [Member] | Eurocurrency Rate | Revolving Loan Facility [Member] | Maximum [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Margin on variable rate | 1.625% | ||||||||||||||||
Carrying Amount [Member] | Senior Notes - 2028 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Senior notes | $ 397,000,000 | 397,000,000 | |||||||||||||||
Carrying Amount [Member] | Senior Notes - 2048 [Member] | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Senior notes | $ 786,000,000 | $ 786,000,000 | |||||||||||||||
Amortizing Note | |||||||||||||||||
Schedule Of Borrowings [Line Items] | |||||||||||||||||
Gross Proceeds | $ 139,000,000 |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Debt Instrument [Line Items] | |
Total | $ 10,971 |
Less than 1 Year | 300 |
1-3 Years | 6,650 |
3-5 Years | 1,491 |
More than 5 Years | $ 2,530 |
Debt Instrument Redemption | However, no make-whole premium will be paid for redemptions of each note on or after the following date: Note Redemption Date 2023 Notes February 1, 2023 2024 Euro Notes December 14, 2023 2026 Euro Notes June 25, 2026 2028 Notes June 26, 2028 2047 Notes December 1, 2046 2048 Notes March 26, 2048 |
Tangible Equity Units (Details)
Tangible Equity Units (Details) - USD ($) | Sep. 17, 2018 | Dec. 31, 2021 | Dec. 31, 2020 |
Equity [Abstract] | |||
Tangible equity units issued | 16,500,000 | ||
Stated rate | 6.00% | ||
Price per unit | $ 50 | ||
Tangible equity units proceeds | $ 800,000,000 | ||
Less: Issuance costs | 25,000,000 | ||
Fair Value per TEU | $ 50 | ||
Quarterly installments | $ 0.75 | ||
Initial installment | $ 0.7333 | ||
Interest and partial repayment of principal | 3.79% | ||
Price for basic share (in dollars per share) | $ 0.330911 | $ 0.313400 |
Tangible Equity Units (Allocati
Tangible Equity Units (Allocation of TEU) (Details) | Sep. 17, 2018USD ($) |
Tangible Equity Units [Line Items] | |
Fair Value per TEU | $ 50 |
Gross Proceeds | 825,000,000 |
Less: Issuance costs | 25,000,000 |
Net Proceeds | 800,000,000 |
SPC | |
Tangible Equity Units [Line Items] | |
Fair Value per TEU | 42 |
Gross Proceeds | 686,000,000 |
Less: Issuance costs | 21,000,000 |
Net Proceeds | 665,000,000 |
Amortizing Note | |
Tangible Equity Units [Line Items] | |
Fair Value per TEU | 8.45 |
Gross Proceeds | 139,000,000 |
Less: Issuance costs | 4,000,000 |
Net Proceeds | $ 135,000,000 |
Tangible Equity Units Tangible
Tangible Equity Units Tangible Equity - Settlement of Shares (Details) - $ / shares | Sep. 15, 2021 | Dec. 31, 2021 | Sep. 14, 2021 |
Class of Stock [Line Items] | |||
Stock Issued During Period, Shares, Issued for Services | 5,460,031 | ||
Tangible Equity Units Final Settlement Rate | $ 0.330911 | ||
Condition One [Member] | |||
Class of Stock [Line Items] | |||
Share Price | $ 159.54 | ||
Tangible Equity Rate, Settlement Rate | 0.3134 | ||
Condition Two [Member] | |||
Class of Stock [Line Items] | |||
Tangible Equity Units, Conditional Value | 50 | ||
Condition Three [Member] | |||
Class of Stock [Line Items] | |||
Share Price | 130.25 | ||
Tangible Equity Rate, Settlement Rate | 0.3839 | ||
Minimum [Member] | Condition Two [Member] | |||
Class of Stock [Line Items] | |||
Share Price | 130.25 | ||
Maximum [Member] | Condition Two [Member] | |||
Class of Stock [Line Items] | |||
Share Price | $ 159.54 |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Lessee, Lease, Description [Line Items] | ||
Remaining term lease | 40 years | |
Renewal term | 5 years | |
Operating lease right-of-use assets | $ 767 | $ 299 |
Operating Lease, Liability | 779 | $ 306 |
Nutrition & Biosciences, Inc [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease right-of-use assets | 525 | |
Operating Lease, Liability | $ 523 |
Leases - Schedule of Lease Expe
Leases - Schedule of Lease Expense (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | ||
Operating lease cost | $ 168 | $ 62 |
Financing lease cost | $ 7 | $ 4 |
Leases - Cash Flow (Details)
Leases - Cash Flow (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | ||
Operating cash flow for operating leases | $ 129 | $ 52 |
Financing cash flow for finance leases | 6 | 4 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 88 | 63 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | $ 15 | $ 6 |
Leases - Balance Sheet (Details
Leases - Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 767 | $ 299 |
Current operating lease obligation | 109 | 41 |
Operating Lease, Liability, Noncurrent | 670 | 265 |
Operating Lease, Liability | 779 | 306 |
Finance Lease, Right-of-Use Asset | 21 | 8 |
Current financing lease obligation | 5 | 3 |
Finance Lease, Liability, Noncurrent | 15 | 4 |
Finance Lease, Liability | $ 20 | $ 7 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other assets | Other assets |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Other current liabilities | Other current liabilities |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other liabilities | Other liabilities |
Leases - Weighted Average (Deta
Leases - Weighted Average (Details) | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Operating lease weighted average remaining lease term | 11 years 1 month 6 days | 10 years 6 months |
Finance lease weighted average remaining lease term | 4 years 3 months 18 days | 2 years 10 months 24 days |
Operating lease weighted average discount rate | 2.73% | 3.82% |
Finance lease weighted average discount rate | 1.85% | 1.81% |
Leases - Schedule of Lease Matu
Leases - Schedule of Lease Maturities (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Operating lease, less than 1 year | $ 127 | |
Lessee, Operating Lease, Liability, to be Paid, Year Two | 97 | |
Lessee, Operating Lease, Liability, to be Paid, Year Three | 82 | |
Lessee, Operating Lease, Liability, to be Paid, Year Four | 78 | |
Lessee, Operating Lease, Liability, to be Paid, Year Five | 73 | |
Operating lease, After 5 years | 459 | |
Less Imputed Interest | (137) | |
Operating Lease, Liability | 779 | $ 306 |
Lessee, Operating Lease, Liability, to be Paid, Total | 916 | |
Financing lease, less than 1 year | 7 | |
Finance Lease, Liability, to be Paid, Year Two | 5 | |
Finance Lease, Liability, to be Paid, Year Three | 3 | |
Finance Lease, Liability, to be Paid, Year Four | 2 | |
Finance Lease, Liability, to be Paid, Year Five | 2 | |
Financing lease, After 5 years | 2 | |
Less Imputed Interest | (1) | |
Finance Lease, Liability | 20 | $ 7 |
Finance Lease, Liability, Payment, Due, Total | 21 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, Year One | 134 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, Year Two | 102 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, Year Three | 85 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, Year Four | 80 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, Year Five | 75 | |
Lessee, Operating and Finance Lease, Liability, to be Paid, after Year Five | 461 | |
Lessee, Operating and Finance Lease, Payments, Due | 937 | |
Lessee, Operating and Finance Lease, Liability, Undiscounted Excess Amount | 138 | |
Operating and Finance Lease, Liability | $ 799 |
Leases - Leases By Region (Deta
Leases - Leases By Region (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Lessee, Lease, Description [Line Items] | ||
Operating lease right-of-use assets | $ 767 | $ 299 |
Finance Lease, Right-of-Use Asset | $ 21 | $ 8 |
Income Taxes - Schedule of Earn
Income Taxes - Schedule of Earnings before Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
U.S. loss before taxes | $ (493) | $ (142) | $ (110) |
Foreign income before taxes | 847 | 583 | 667 |
Income before taxes | $ 354 | $ 441 | $ 557 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income Tax Provision (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current tax provision | |||
Federal | $ (5) | $ (9) | $ 10 |
State and local | 13 | 1 | 0 |
Foreign | 303 | 150 | 146 |
Total current income tax provision | 311 | 142 | 156 |
Deferred tax provision | |||
Federal | (121) | (8) | (41) |
State and local | (34) | (2) | 8 |
Foreign | (81) | (58) | (26) |
Total deferred income tax provision | (236) | (68) | (59) |
Total provision for income taxes | $ 75 | $ 74 | $ 97 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Income Tax Rate (Details) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate | 21.00% | 21.00% | 21.00% |
Difference in effective tax rate on foreign earnings and remittances(1) | 8.00% | (6.90%) | (6.80%) |
Tax benefit from supply chain optimization | (5.80%) | (5.00%) | (1.00%) |
Unrecognized tax benefit, net of reversals | 0.70% | 5.70% | 3.40% |
Tax impact on gains on business disposal | 4.00% | 0.00% | 0.00% |
Deferred taxes on deemed repatriation | 2.70% | (0.20%) | 0.80% |
Global intangible low-taxed income | 4.10% | 5.30% | 0.00% |
Foreign-derived intangible income | (1.60%) | (0.30%) | (0.30%) |
U.S. foreign tax credit - general limitation | (3.10%) | (1.90%) | (1.20%) |
Research and development credit | (1.40%) | (1.00%) | (0.90%) |
Acquisition costs | 2.40% | 1.00% | 0.50% |
Establishment (release) of valuation allowance on state deferred | (3.00%) | (0.40%) | 1.70% |
State and local taxes | (4.80%) | (0.60%) | (0.80%) |
Other, net | (2.00%) | 0.10% | 1.00% |
Effective tax rate | 21.20% | 16.80% | 17.40% |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation between U.S. Federal Statutory Income Tax Rate to Actual Effective Tax Rate (Detail) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate | 21.00% | 21.00% | 21.00% |
Release of valuation allowance on state deferred | (3.00%) | (0.40%) | 1.70% |
State and local taxes | (4.80%) | (0.60%) | (0.80%) |
Other, net | (2.00%) | 0.10% | 1.00% |
Effective tax rate | 21.20% | 16.80% | 17.40% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [Line Items] | |||
Global Intangible Low-Taxed Income Expense | $ 15,000,000 | ||
U.S. federal tax rate | 21.00% | 21.00% | 21.00% |
Dividend deduction percentage | 100.00% | ||
Valuation allowance | $ 232,000,000 | $ 257,000,000 | |
Operating loss carryforwards | 312,000,000 | 271,000,000 | |
Deferred tax asset | 312,000,000 | ||
Valuation allowance for net operating loss carryforwards | 230,000,000 | ||
Reduction in accrual for interest and penalties | 19,000,000 | 3,000,000 | $ 11,000,000 |
Unrecognized tax benefits, including interest | 166,000,000 | ||
Tax Credit Carryforward, Valuation Allowance | 2,000,000 | ||
Deferred Tax Liabilities, Deemed Repatriation | 81,000,000 | 46,000,000 | |
Other liabilities [Member] | |||
Income Taxes [Line Items] | |||
Unrecognized tax benefits that would impact effective tax rate | 130,000,000 | 98,000,000 | 74,000,000 |
Other Current Liabilities [Member] | |||
Income Taxes [Line Items] | |||
Unrecognized tax benefits that would impact effective tax rate | 1,000,000 | 1,000,000 | 1,000,000 |
2018 to 2037 [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards | 272,000,000 | 246,000,000 | |
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration | 105,000,000 | ||
Tax credit carryforwards | 40,000,000 | 28,000,000 | |
Indefinite [Member] | |||
Income Taxes [Line Items] | |||
Operating loss carryforwards | 167,000,000 | ||
Other Liabilities [Member] | |||
Income Taxes [Line Items] | |||
Accrued interest and penalties | 36,000,000 | 17,000,000 | 14,000,000 |
Other Current Liabilities [Member] | |||
Income Taxes [Line Items] | |||
Accrued interest and penalties | 1,000,000 | $ 1,000,000 | $ 0 |
State and Local Jurisdiction [Member] | |||
Income Taxes [Line Items] | |||
Valuation allowance | 2,000,000 | ||
Domestic Tax Authority [Member] | |||
Income Taxes [Line Items] | |||
Deferred Tax Liabilities, Deemed Repatriation | 81,000,000 | ||
Foreign Tax Authority [Member] | |||
Income Taxes [Line Items] | |||
Deferred Tax Liabilities, Deemed Repatriation | $ 0 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Income Tax Disclosure [Abstract] | ||
Employee and retiree benefits | $ 148 | $ 108 |
Credit and net operating loss carryforwards | 312 | 271 |
Intangible assets | 0 | 10 |
Deferred Tax Assets, in Process Research and Development | 42 | 30 |
Gain on foreign currency translation | 0 | 46 |
Interest limitation | 43 | 51 |
Inventory | 32 | 14 |
Deferred Tax Asset Lease Obligations | 189 | 53 |
Other, net | 79 | 23 |
Gross deferred tax assets | 845 | 606 |
Property, plant and equipment, net | (265) | (60) |
Intangible assets | (2,486) | (586) |
Deferred Tax Liabilities, Right of Use Assets | (187) | (53) |
Loss on foreign currency translation | (30) | 0 |
Deferred taxes on deemed repatriation | (81) | (46) |
Gross deferred tax liabilities | (3,049) | (745) |
Valuation allowance | (232) | (257) |
Total net deferred tax liabilities | $ (2,436) | $ (396) |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance of unrecognized tax benefits at beginning of year | $ 99 | $ 75 | $ 51 |
Gross amount of increases in unrecognized tax benefits as a result of positions taken during a prior year(1) | 42 | 11 | 20 |
Gross amount of decreases in unrecognized tax benefits as a result of positions taken during a prior year | (3) | 0 | (2) |
Gross amount of increases in unrecognized tax benefits as a result of positions taken during the current year | 5 | 24 | 13 |
The amounts of decreases in unrecognized benefits relating to settlements with taxing authorities | (1) | (2) | (3) |
Reduction in unrecognized tax benefits due to the lapse of applicable statute of limitation | (12) | (9) | (4) |
Balance of unrecognized tax benefits at end of year | $ 130 | $ 99 | $ 75 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 11,656 | $ 5,084 | $ 5,140 |
EMEA [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 4,093 | 1,987 | 2,082 |
Asia [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 2,728 | 1,162 | 1,163 |
North America [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 3,499 | 1,228 | 1,170 |
Latin America [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 1,336 | $ 707 | $ 725 |
Net Income Per Share - Reconcil
Net Income Per Share - Reconciliation of Shares Used in Computation of Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Net Income | |||
Net income available to IFF stockholders | $ 270 | $ 363 | $ 456 |
Net income available to IFF stockholders | $ 268 | $ 365 | $ 454 |
Shares | |||
Average number of shares outstanding - basic (in shares) | 243 | 112 | 112 |
Average number of shares outstanding - diluted (in shares) | 243 | 114 | 113 |
Net Income per Share | |||
Net income per share - basic (in dollars per share) | $ 1.11 | $ 3.25 | $ 4.05 |
Net income per share - diluted (in dollars per share) | $ 1.10 | $ 3.21 | $ 4 |
(Increase) Decrease In Redemption Value, Redeemable Noncontrolling Interest | $ (2) | $ 2 | $ (2) |
Employee Stock Option And Restricted Stock [Member] | |||
Shares | |||
Adjustment for assumed dilution (in shares) | 0 | 1 | 0 |
SPC | |||
Shares | |||
Adjustment for assumed dilution (in shares) | 0 | 1 | 1 |
Net Income Per Share - Addition
Net Income Per Share - Additional Information (Detail) - $ / shares | Feb. 01, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 15, 2019 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Difference amount between basic and diluted net income per share (in dollars per share) | $ 0.01 | $ 0.04 | $ 0.01 | ||
Common stock, par value | $ 0.125 | $ 0.125 | |||
Nutrition & Biosciences, Inc [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Business acquisition, equity interest issued or issuable, number of shares | 141,740,461 | ||||
Common stock, par value | $ 0.125 | $ 0.125 | |||
Nutrition & Biosciences, Inc [Member] | International Flavors & Fragrances Inc [Member] | DuPont de Nemours, Inc [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Percentage of voting interest acquired | 55.40% |
Net Income Per Share - TEU (Det
Net Income Per Share - TEU (Details) - USD ($) $ / shares in Units, $ in Millions | Sep. 15, 2021 | Sep. 17, 2018 | Dec. 31, 2021 | Dec. 31, 2020 |
Earnings Per Share [Abstract] | ||||
Tangible equity units issued | 16,500,000 | |||
Tangible equity units proceeds | $ 800 | |||
Price for basic share (in dollars per share) | $ 0.330911 | $ 0.313400 | ||
Price for diluted share (usd per share) | $ 0.330911 | $ 0.383900 | ||
Stock Issued During Period, Shares, Issued for Services | 5,460,031 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 01, 2017 | Oct. 31, 2017 | Aug. 31, 2015 | Dec. 31, 2012 | |
Equity [Abstract] | |||||||
Dividends declared per share (in dollars per share) | $ 3.12 | $ 3.04 | $ 2.96 | ||||
Dividends payable | $ 201 | $ 82 | $ 80 | ||||
Dividend per share declared (in dollars per share) | $ 0.79 | $ 0.77 | $ 0.75 | ||||
Shares authorized under repurchase program | $ 250 | ||||||
Additional authorized amount | $ 250 | $ 250 | |||||
Remaining authorized amended repurchase amount | $ 56 | ||||||
Remaining authorized repurchase amount | $ 280 | $ 300 | |||||
Remaining number of shares authorized to be repurchase | 1,856,397 | ||||||
Stock repurchased during period as percentage of shares outstanding | 0.80% |
Stock Compensation Plans - Addi
Stock Compensation Plans - Additional Information (Detail) - USD ($) $ in Millions | Feb. 01, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares subject to outstanding awards (in shares) | 1,601,749 | ||||||
Shares remaining available for future awards (in shares) | 2,631,269 | ||||||
Target payout, cycle | 3 years | ||||||
Total stock-based compensation | $ 62 | $ 40 | $ 38 | ||||
Nutrition & Biosciences, Inc [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business acquisition, equity interest issued or issuable, number of shares | 141,740,461 | ||||||
Equity Issued in Business Combination, Fair Value Disclosure | $ 25 | ||||||
Total stock-based compensation | $ 3 | ||||||
Business Acquisition, Post-Combination Service Period | 3 years | ||||||
Long-Term Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period, in years | 3 years | ||||||
Target payout percentage, cash | 50.00% | ||||||
Target payout percentage, stock | 50.00% | ||||||
2017 - 2019 Cycle [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock-based compensation, shares (in shares) | 14,579 | ||||||
2018-2020 Cycle [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock-based compensation, shares (in shares) | 7,484 | ||||||
Two Thousand Twenty-One Plan [Domain] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares authorized for issuance (in shares) | 2,290,000 | ||||||
Two Thousand Eight To Two Thousand Twenty-One Cycle | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Percentage of target dollar value of the award converted to a number of notional shares | 50.00% | ||||||
Two Thousand Nineteen To Two Thousand Twenty-One Cycle | Subsequent Event [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock-based compensation, shares (in shares) | 0 | ||||||
RSU's [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period, in years | 3 years | ||||||
RSU's [Member] | Nutrition & Biosciences, Inc [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business acquisition, equity interest issued or issuable, number of shares | 258,572 | ||||||
SSAR's [Member] | Nutrition & Biosciences, Inc [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business acquisition, equity interest issued or issuable, number of shares | 5,816 | ||||||
Share-based Payment Arrangement, Option | Nutrition & Biosciences, Inc [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business acquisition, equity interest issued or issuable, number of shares | 335,347 | ||||||
Each twelve-month period [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting percentage | 25.00% | ||||||
Full three-year period [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Award vesting percentage | 25.00% |
Stock Compensation Plans - Stoc
Stock Compensation Plans - Stock-Based Compensation Expense Included in Consolidated Statement of Income and Comprehensive Income (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation | $ 62 | $ 40 | $ 38 |
Less tax benefit | (13) | (8) | (7) |
Total stock-based compensation, net of tax | 49 | 32 | 31 |
Equity-based awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation | 54 | 36 | 34 |
Liability-based awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation | $ 8 | $ 4 | $ 4 |
Stock Compensation Plans - SSAR
Stock Compensation Plans - SSAR's and Stock Option - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options, granted | 0 | 0 | 0 |
SSAR's [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Contractual term, in years | 7 years | ||
Shares granted (in shares) | 0 | ||
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted | $ 1 | ||
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted, weighted average period, in years | 2 years | ||
SSAR's and Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average exercise price, exercisable (USD per share) | $ 109.77 | $ 118.10 | $ 118.10 |
SSAR's and Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Intrinsic value of options/SSAR's exercised | $ 3 |
Stock Compensation Plans - SS_2
Stock Compensation Plans - SSAR's and Stock Option Activity (Detail) - SSAR's and Stock Options [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Shares Subject to SSARs/Options | ||
Beginning balance (in shares) | 42 | |
Granted (in shares) | 3 | |
Exercised (in shares) | (90) | |
Cancelled (in shares) | (9) | |
Assumed (in shares) | 341 | |
Ending balance (in shares) | 287 | 42 |
Weighted Average Exercise Price | ||
Beginning balance (in dollars per share) | $ 135.01 | |
Granted (in dollars per share) | 144.67 | |
Exercised (in dollars per share) | 110.28 | |
Cancelled (in dollars per share) | 101.19 | |
Assumed (in dollars per share) | ||
Ending balance (in dollars per share) | $ 107.48 | $ 135.01 |
SSARs/ Options Exercisable (in shares) | 235 | 1 |
Expected to Vest (in shares) | 44 | |
Expected to Vest (in dollars per share) | $ 95.94 |
Stock Compensation Plans - SS_3
Stock Compensation Plans - SSAR's and Stock Option Outstanding (Detail) - SSAR's and Stock Options [Member] - Over $115 [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Price Range, upper limit | $ 115 |
Number Outstanding (in shares) | shares | 287 |
Weighted Average Remaining Contractual Life (in years) | 5 years 14 days |
Weighted Average Exercise Price (in dollars per share) | $ 107.48 |
Aggregate Intrinsic Value | $ | $ 12,000 |
Stock Compensation Plans - SS_4
Stock Compensation Plans - SSAR's and Stock Option Exercisable (Detail) - SSAR's and Stock Options [Member] - Over $115 [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercisable options, upper range limit | $ 115 |
Number Exercisable (in shares) | shares | 235 |
Weighted Average Remaining Contractual Life (in years) | 4 years 7 months 24 days |
Weighted Average Exercise Price (in dollars per share) | $ 109.77 |
Aggregate Intrinsic Value | $ | $ 10,000 |
Stock Compensation Plans - Rest
Stock Compensation Plans - Restricted Stock Units Plan - Additional Information (Detail) - RSU's [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting percentage | 100.00% |
Vesting period, in years | 3 years |
Total fair value of vested | $ 44 |
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted | $ 42 |
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted, weighted average period, in years | 2 years |
Stock Compensation Plans - RSU,
Stock Compensation Plans - RSU, PRS and Cash RSU Activity (Detail) shares in Thousands | 12 Months Ended |
Dec. 31, 2021$ / sharesshares | |
RSU's [Member] | |
Number of Shares | |
Beginning balance (in shares) | shares | 525 |
Granted (in shares) | shares | 344 |
Vested (in shares) | shares | (314) |
Forfeited (in shares) | shares | (37) |
Assumed (in shares) | shares | 259 |
Ending balance (in shares) | shares | 777 |
Weighted Average Grant Date Fair Value Per Share | |
Beginning balance (in dollars per share) | $ / shares | $ 126.62 |
Granted (in dollars per share) | $ / shares | 136.71 |
Vested (in dollars per share) | $ / shares | 119.99 |
Forfeited (in dollars per share) | $ / shares | 128.79 |
Assumed (in dollars per share) | $ / shares | |
Ending balance (in dollars per share) | $ / shares | $ 126.20 |
Restricted Stock [Member] | |
Number of Shares | |
Beginning balance (in shares) | shares | 193 |
Granted (in shares) | shares | 62 |
Vested (in shares) | shares | (95) |
Forfeited (in shares) | shares | (5) |
Ending balance (in shares) | shares | 155 |
Weighted Average Grant Date Fair Value Per Share | |
Beginning balance (in dollars per share) | $ / shares | $ 136.37 |
Granted (in dollars per share) | $ / shares | 144.67 |
Vested (in dollars per share) | $ / shares | 138.41 |
Forfeited (in dollars per share) | $ / shares | 141.81 |
Ending balance (in dollars per share) | $ / shares | $ 138.36 |
Cash RSU's [Member] | |
Number of Shares | |
Beginning balance (in shares) | shares | 111 |
Granted (in shares) | shares | 51 |
Vested (in shares) | shares | (37) |
Forfeited (in shares) | shares | (9) |
Ending balance (in shares) | shares | 116 |
Weighted Average Grant Date Fair Value Per Share | |
Beginning balance (in dollars per share) | $ / shares | $ 108.84 |
Granted (in dollars per share) | $ / shares | 150.65 |
Vested (in dollars per share) | $ / shares | 141.58 |
Forfeited (in dollars per share) | $ / shares | 140.43 |
Ending balance (in dollars per share) | $ / shares | $ 150.65 |
Stock Compensation Plans - Purc
Stock Compensation Plans - Purchased Restricted Stock Plan - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
PRSUs [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Issued Shares (in shares) | 61,870 | 66,160 | 61,991 |
Aggregate Purchase Price | $ 9 | $ 9 | $ 9 |
Total fair value of vested | $ 44 | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Covered Shares (in shares) | 30,935 | 33,080 | 30,996 |
Total fair value of vested | $ 13 | ||
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted | $ 5 | ||
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted, weighted average period, in years | 2 years |
Stock Compensation Plans - Liab
Stock Compensation Plans - Liability Awards - Additional Information (Detail) - Cash RSU's [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting percentage granted in cash to eligible employees | 100.00% |
Vesting percentage | 100.00% |
Vesting period, in years | 3 years |
Total fair value of vested | $ 5 |
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted | $ 8 |
Unrecognized compensation cost related to non-vested stock options and SSAR, RSU, PRS and Cash RSU awards granted, weighted average period, in years | 2 years |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)categoryCustomersegment | Dec. 31, 2020USD ($)Customer | Dec. 31, 2019Customer | |
Segment Reporting Information [Line Items] | |||
Number of fragrance categories | category | 2 | ||
Property, plant and equipment | $ 4,368 | $ 1,458 | |
Number of Operating Segments | segment | 4 | ||
U.S Plans [Member] | |||
Segment Reporting Information [Line Items] | |||
Property, plant and equipment | $ 2,041 | 572 | |
CHINA | |||
Segment Reporting Information [Line Items] | |||
Property, plant and equipment | $ 259 | $ 172 | |
Customer Concentration Risk [Member] | |||
Segment Reporting Information [Line Items] | |||
Number of customers that accounted for more than 10% of consolidated net sales | Customer | 0 | 0 | 0 |
Customer Concentration Risk [Member] | Non-US [Member] | Sales [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk threshold | 7.00% | 6.00% | 6.00% |
Segment Information - Reportabl
Segment Information - Reportable Segment Information (Detail) - USD ($) $ in Millions | Feb. 01, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Segment Reporting Information [Line Items] | |||||
Segment assets | $ 39,658 | $ 13,555 | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 354 | 441 | $ 557 | ||
Restructuring and Other Charges, net | (41) | (17) | (30) | ||
Gain on Sale of Assets | 1 | (4) | (3) | ||
Employee separation costs | 4 | ||||
Interest expense | (289) | (132) | (138) | ||
Other income (expense), net | 58 | 7 | 30 | ||
Revenue | 11,656 | 5,084 | 5,140 | ||
Segment Adjusted Operating EBITDA | 2,425 | 1,055 | 1,116 | ||
Shareholder Activism Related Costs | (7) | 0 | 0 | ||
Business Divestiture Costs | (42) | 0 | 0 | ||
Other Depreciation and Amortization | (1,156) | (325) | (323) | ||
Corporate and Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Operational Improvement Initiatives | 0 | 0 | (2) | ||
Restructuring and Other Charges, net | (41) | (17) | (30) | ||
Gain on Sale of Assets | 1 | (4) | (3) | ||
Employee separation costs | (29) | (3) | 0 | ||
Legal Fees | 0 | (3) | (11) | ||
Nourish | |||||
Segment Reporting Information [Line Items] | |||||
Restructuring and Other Charges, net | (32) | (10) | (17) | ||
Health & Biosciences | |||||
Segment Reporting Information [Line Items] | |||||
Restructuring and Other Charges, net | (5) | 0 | (1) | ||
Scent [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Restructuring and Other Charges, net | (3) | (7) | (12) | ||
Pharma Solutions | |||||
Segment Reporting Information [Line Items] | |||||
Restructuring and Other Charges, net | (1) | 0 | 0 | ||
Operating Segments [Member] | Nourish | |||||
Segment Reporting Information [Line Items] | |||||
Segment assets | 17,449 | 8,534 | |||
Revenue | 6,264 | 2,886 | 2,978 | ||
Segment Adjusted Operating EBITDA | 1,172 | 599 | 658 | ||
Operating Segments [Member] | Health & Biosciences | |||||
Segment Reporting Information [Line Items] | |||||
Segment assets | 14,774 | 1,375 | |||
Revenue | 2,329 | 134 | 129 | ||
Segment Adjusted Operating EBITDA | 625 | 40 | 33 | ||
Operating Segments [Member] | Scent [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Segment assets | 4,078 | 3,646 | |||
Revenue | 2,254 | 2,064 | 2,033 | ||
Segment Adjusted Operating EBITDA | 463 | 416 | 425 | ||
Operating Segments [Member] | Pharma Solutions | |||||
Segment Reporting Information [Line Items] | |||||
Segment assets | 3,357 | 0 | |||
Revenue | 809 | 0 | 0 | ||
Segment Adjusted Operating EBITDA | 165 | 0 | 0 | ||
Nutrition & Biosciences, Inc [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Acquisition Related Costs | $ (75) | ||||
Transaction costs | 91 | 29 | $ 21 | ||
Nutrition & Biosciences, Inc [Member] | Corporate and Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Acquisition Related Costs | (91) | (29) | (21) | ||
Integration Related Costs | (101) | (97) | 0 | ||
Business Combination, Inventory Step-Up Costs | (368) | 0 | 0 | ||
Frutarom Industries Ltd. [Member] | Corporate and Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Acquisition Related Costs | (2) | (1) | (6) | ||
Integration Related Costs | $ (4) | $ (10) | $ (55) |
Segment Information - Capital E
Segment Information - Capital Expenditure and Depreciation and Amortization by Segment (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Capital Expenditures | $ 393 | $ 192 | $ 236 |
Depreciation and amortization | 1,156 | 325 | 323 |
Operating Segments [Member] | Nourish | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 183 | 98 | 126 |
Depreciation and amortization | 594 | 211 | 210 |
Operating Segments [Member] | Health & Biosciences | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 139 | 7 | 8 |
Depreciation and amortization | 353 | 36 | 34 |
Operating Segments [Member] | Scent [Member] | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 41 | 87 | 102 |
Depreciation and amortization | 84 | 78 | 79 |
Operating Segments [Member] | Pharma Solutions | |||
Segment Reporting Information [Line Items] | |||
Capital Expenditures | 30 | 0 | 0 |
Depreciation and amortization | $ 125 | $ 0 | $ 0 |
Segment Information - Net Sales
Segment Information - Net Sales by Geographic Area (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 11,656 | $ 5,084 | $ 5,140 |
Europe, Africa and Middle East [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 4,093 | 1,987 | 2,082 |
Greater Asia [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,728 | 1,162 | 1,163 |
North America [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 3,499 | 1,228 | 1,170 |
Latin America [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,336 | 707 | 725 |
Geographic Distribution, Domestic [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 3,211 | 1,093 | 1,053 |
Geographic Distribution, Foreign [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 8,445 | $ 3,991 | $ 4,087 |
Segment Information Segment Inf
Segment Information Segment Information - Schedule of Long Lived Assets (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | $ 4,368 | $ 1,458 |
U.S. Pension Plans [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 2,041 | 572 |
CHINA | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 259 | 172 |
Other Countries [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 1,277 | 679 |
DENMARK | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 251 | 0 |
FINLAND | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 196 | 0 |
FRANCE | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 188 | 28 |
GERMANY | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | $ 156 | $ 7 |
Employee Benefits - Additional
Employee Benefits - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Feb. 01, 2021USD ($)contribution_plan | |
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of Active Employees with Pension and or Other Retirement Benefit Plans Covered | 20.00% | ||
Percentage of matching contribution if compensation percentage below low range | 100.00% | ||
Matching participant's contribution, percentage on compensation | 4.00% | ||
Percentage of matching contribution if compensation percentage between high range and low range | 75.00% | ||
Matching participant's contribution, percentage on compensation, range low | 4.00% | ||
Matching participant's contribution, percentage on compensation, range high | 8.00% | ||
Percentage of employees eligible to accrue benefits under the defined plan | 50.00% | ||
Matching participant's contribution, average percentage on compensation | 6.00% | ||
Retirement liabilities | $ 385,000,000 | $ 326,000,000 | |
Capital in excess of par value related to Deferred Compensation Plan | 26,000,000 | 29,000,000 | |
Total cash surrender value of life insurance contracts | 52,000,000 | 49,000,000 | |
Nutrition & Biosciences, Inc [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Additional defined contribution plans | contribution_plan | 20 | ||
Net defined benefit plan liabilities | $ 221,000,000 | ||
Deferred Compensation Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Retirement liabilities | 64,000,000 | 59,000,000 | |
Pension Plan [Member] | U.S Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Retirement liabilities | 61,000,000 | 54,000,000 | |
Contribution to the plans | $ 5,000,000 | 4,000,000 | |
Pension Plan [Member] | U.S Plans [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 10.00% | ||
Pension Plan [Member] | U.S Plans [Member] | Fixed Income Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 90.00% | ||
Pension Plan [Member] | U.S Plans [Member] | Qualified Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contribution to the plans | $ 0 | ||
Pension Plan [Member] | U.S Plans [Member] | Nonqualified Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contribution to the plans | 5,000,000 | ||
Pension Plan [Member] | Non-U.S. Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Retirement liabilities | 262,000,000 | 195,000,000 | |
Contribution to the plans | $ 32,000,000 | $ 20,000,000 | |
Pension Plan [Member] | Non-U.S. Plans [Member] | Real Estate [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 15.00% | ||
Pension Plan [Member] | Non-U.S. Plans [Member] | Equity Securities [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 15.00% | ||
Pension Plan [Member] | Non-U.S. Plans [Member] | Fixed Income Securities [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 35.00% | ||
Pension Plan [Member] | Non-U.S. Plans [Member] | Alternative Type of Investments [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target percentage of investment in equity securities | 35.00% | ||
Postretirement Benefit Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contribution to the plans | $ 4,000,000 |
Employee Benefits - Plan Assets
Employee Benefits - Plan Assets and Benefit Obligations of Defined Benefit Pension Plans (Detail) - Pension Plan [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
U.S Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned(1) | $ 1 | $ 1 | $ 1 |
Interest cost on projected benefit obligation(2) | 12 | 17 | 22 |
Expected return on plan assets(2) | (106) | (28) | (28) |
Net amortization of deferrals(2) | 29 | 8 | 6 |
Settlements and curtailments(2) | 0 | 0 | 0 |
Net periodic benefit cost | (5) | (2) | 1 |
Defined contribution and other retirement plans | 36 | 13 | 9 |
Total expense | 31 | 11 | 10 |
Net actuarial loss (gain) | 12 | (1) | |
Recognized actuarial loss | (9) | (8) | |
Prior service cost | 0 | 0 | |
Recognized prior service (cost) credit | 0 | 0 | |
Currency translation adjustment | 0 | 0 | |
Total (gain) loss recognized in OCI (before tax effects) | 3 | (9) | |
U.S Plans [Member] | Restatement Adjustment [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost on projected benefit obligation(2) | 71 | ||
Non-U.S. Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned(1) | 42 | 24 | 19 |
Interest cost on projected benefit obligation(2) | 10 | 13 | 18 |
Expected return on plan assets(2) | (55) | (46) | (43) |
Net amortization of deferrals(2) | 19 | 15 | 11 |
Settlements and curtailments(2) | (10) | 5 | 0 |
Net periodic benefit cost | 5 | 11 | 5 |
Defined contribution and other retirement plans | 33 | 7 | 9 |
Total expense | 38 | 18 | $ 14 |
Net actuarial loss (gain) | (135) | 70 | |
Recognized actuarial loss | (10) | (20) | |
Prior service cost | (2) | 0 | |
Recognized prior service (cost) credit | 1 | 0 | |
Currency translation adjustment | (16) | 28 | |
Total (gain) loss recognized in OCI (before tax effects) | (162) | $ 78 | |
Non-U.S. Plans [Member] | Restatement Adjustment [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned(1) | $ 41 |
Employee Benefits - Components
Employee Benefits - Components of Net Periodic Benefit Cost and Changes in Plan Assets and Benefit Obligations Recognized in OCI (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Other Cost (Credit) | $ 17 | ||
Postretirement Benefit Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned(1) | 1 | $ 1 | $ 1 |
Interest cost on projected benefit obligation(2) | 1 | 2 | 2 |
Net amortization of deferrals(2) | (20) | (5) | (5) |
Net periodic benefit cost | (12) | (2) | $ (2) |
Net actuarial loss (gain) | (3) | 5 | |
Recognized actuarial loss | (2) | (1) | |
Recognized prior service credit | 6 | 6 | |
Total (gain) loss recognized in OCI (before tax effects) | 1 | $ 10 | |
Postretirement Benefit Plan [Member] | Restatement Adjustment [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost on projected benefit obligation(2) | $ 7 |
Employee Benefits - Weighted-Av
Employee Benefits - Weighted-Average Actuarial Assumption Used to Determine Expense (Detail) - Pension Plan [Member] | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
U.S Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 2.51% | 3.26% | 4.31% |
Expected return on plan assets | 3.80% | 5.60% | 5.60% |
Rate of compensation increase | 3.25% | 3.25% | 3.25% |
Non-U.S. Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 0.85% | 1.49% | 2.22% |
Expected return on plan assets | 4.21% | 4.62% | 4.87% |
Rate of compensation increase | 2.56% | 2.46% | 1.93% |
Employee Benefits - Changes in
Employee Benefits - Changes in Postretirement Benefit Obligation and Plan Assets (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Postretirement Benefit Plan [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at beginning of year | $ 69 | $ 64 | |
Service cost for benefits earned(1) | 1 | 1 | $ 1 |
Interest cost on projected benefit obligation(2) | 1 | 2 | 2 |
Actuarial (gain) loss | (4) | 5 | |
Plan amendments | 0 | 0 | |
Adjustments for expense/tax contained in service cost | 0 | 0 | |
Plan participants’ contributions | 0 | 0 | |
Benefits paid | (4) | (3) | |
Curtailments / settlements | 0 | 0 | |
Translation adjustments | 0 | 0 | |
Acquisitions/Transferred Liabilities | 3 | 0 | |
Other | 0 | 0 | |
Benefit obligation at end of year | 66 | 69 | 64 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Employer contributions | 4 | ||
U.S Plans [Member] | Pension Plan [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at beginning of year | 682 | 621 | |
Service cost for benefits earned(1) | 1 | 1 | 1 |
Interest cost on projected benefit obligation(2) | 12 | 17 | 22 |
Actuarial (gain) loss | (5) | 77 | |
Plan amendments | 0 | 0 | |
Adjustments for expense/tax contained in service cost | 0 | 0 | |
Plan participants’ contributions | 0 | 0 | |
Benefits paid | (37) | (34) | |
Curtailments / settlements | 0 | 0 | |
Translation adjustments | 0 | 0 | |
Acquisitions/Transferred Liabilities | 0 | 0 | |
Other | 9 | 0 | |
Benefit obligation at end of year | 662 | 682 | 621 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at beginning of year | 678 | 602 | |
Actual return on plan assets | 3 | 106 | |
Employer contributions | 5 | 4 | |
Plan participants’ contributions | 0 | 0 | |
Benefits paid | (37) | (34) | |
Settlements | 0 | 0 | |
Translation adjustments | 0 | 0 | |
Acquisitions/Transferred Assets | 0 | 0 | |
Other | 0 | 0 | |
Fair value of plan assets at end of year | 649 | 678 | 602 |
Funded status at end of year | (13) | (4) | |
Non-U.S. Plans [Member] | Pension Plan [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation at beginning of year | 1,294 | 1,099 | |
Service cost for benefits earned(1) | 42 | 24 | 19 |
Interest cost on projected benefit obligation(2) | 10 | 13 | 18 |
Actuarial (gain) loss | (146) | 109 | |
Plan amendments | (2) | 0 | |
Adjustments for expense/tax contained in service cost | (2) | (1) | |
Plan participants’ contributions | 4 | 3 | |
Benefits paid | (34) | (28) | |
Curtailments / settlements | (39) | (11) | |
Translation adjustments | (93) | 86 | |
Acquisitions/Transferred Liabilities | 465 | 0 | |
Other | 2 | 0 | |
Benefit obligation at end of year | 1,501 | 1,294 | 1,099 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at beginning of year | 1,145 | 1,005 | |
Actual return on plan assets | 25 | 84 | |
Employer contributions | 32 | 20 | |
Plan participants’ contributions | 4 | 3 | |
Benefits paid | (34) | (28) | |
Settlements | (24) | (11) | |
Translation adjustments | (74) | 70 | |
Acquisitions/Transferred Assets | 247 | 0 | |
Other | (1) | 2 | |
Fair value of plan assets at end of year | 1,320 | 1,145 | $ 1,005 |
Funded status at end of year | $ (181) | $ (149) |
Employee Benefits - Amounts Rec
Employee Benefits - Amounts Recognized in Balance Sheet (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | $ 136 | $ 101 |
Retirement liabilities | (385) | (326) |
U.S Plans [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | 53 | 54 |
Other current liabilities | (5) | (4) |
Retirement liabilities | (61) | (54) |
Net amount recognized | (13) | (4) |
Non-U.S. Plans [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | 83 | 47 |
Other current liabilities | (2) | (1) |
Retirement liabilities | (262) | (195) |
Net amount recognized | $ (181) | $ (149) |
Employee Benefits - Amounts R_2
Employee Benefits - Amounts Recognized in Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Postretirement Benefit Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss | $ 14 | $ 19 |
Prior service cost (credit) | (15) | (21) |
Total AOCI (before tax effects) | (1) | (2) |
U.S Plans [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss | 137 | 134 |
Prior service cost (credit) | 0 | 0 |
Total AOCI (before tax effects) | 137 | 134 |
Non-U.S. Plans [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss | 291 | 454 |
Prior service cost (credit) | (3) | (2) |
Total AOCI (before tax effects) | $ 288 | $ 452 |
Employee Benefits - Accumulated
Employee Benefits - Accumulated Benefit Obligation (Detail) - Pension Plan [Member] - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
U.S Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated Benefit Obligation — end of year | $ 654 | $ 680 |
Projected benefit obligation | 63 | 60 |
Accumulated benefit obligation | 62 | 60 |
Fair value of plan assets | $ 0 | $ 2 |
Discount rate | 2.86% | 2.51% |
Rate of compensation increase | 3.25% | 3.25% |
Non-U.S. Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated Benefit Obligation — end of year | $ 1,410 | $ 1,243 |
Projected benefit obligation | 944 | 813 |
Accumulated benefit obligation | 330 | 762 |
Fair value of plan assets | $ 840 | $ 617 |
Discount rate | 1.43% | 0.85% |
Rate of compensation increase | 2.72% | 2.55% |
Employee Benefits - Estimated F
Employee Benefits - Estimated Future Benefit Payments (Detail) $ in Millions | Dec. 31, 2021USD ($) |
Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2022 | $ 4 |
2023 | 3 |
2024 | 4 |
2025 | 4 |
2026 | 4 |
2027 - 2031 | 18 |
Required Company Contributions in the Following Year (2022) | 4 |
U.S Plans [Member] | Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2022 | 38 |
2023 | 38 |
2024 | 39 |
2025 | 39 |
2026 | 39 |
2027 - 2031 | 189 |
Required Company Contributions in the Following Year (2022) | 5 |
Non-U.S. Plans [Member] | Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2022 | 36 |
2023 | 36 |
2024 | 39 |
2025 | 40 |
2026 | 42 |
2027 - 2031 | 236 |
Required Company Contributions in the Following Year (2022) | $ 33 |
Employee Benefits - Percentage
Employee Benefits - Percentage of Assets Invested (Detail) - Pension Plan [Member] | Dec. 31, 2021 | Dec. 31, 2020 |
U.S Plans [Member] | Cash Equivalents [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 1.00% | 1.00% |
U.S Plans [Member] | Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 45.00% | 29.00% |
U.S Plans [Member] | Fixed income [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 54.00% | 70.00% |
U.S Plans [Member] | Real Estate [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 0.00% | 0.00% |
U.S Plans [Member] | Alternative and other investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 0.00% | 0.00% |
Non-U.S. Plans [Member] | Cash Equivalents [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 6.00% | 3.00% |
Non-U.S. Plans [Member] | Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 18.00% | 10.00% |
Non-U.S. Plans [Member] | Fixed income [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 34.00% | 38.00% |
Non-U.S. Plans [Member] | Real Estate [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 6.00% | 8.00% |
Non-U.S. Plans [Member] | Alternative and other investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of assets invested | 36.00% | 41.00% |
Employee Benefits - Fair Value
Employee Benefits - Fair Value Hierarchy of Plan Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
U.S Plans [Member] | Level 3 [Member] | Fair Value Of Plan Assets Before Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 0 | ||
U.S Plans [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 649 | $ 678 | $ 602 |
U.S Plans [Member] | Pension Plan [Member] | Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | 1 | |
U.S Plans [Member] | Pension Plan [Member] | Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 294 | 201 | |
U.S Plans [Member] | Pension Plan [Member] | Fixed Income Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 253 | 343 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 5 | 4 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Government & Government Agency Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 15 | 19 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 77 | 104 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 6 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 547 | 544 | |
U.S Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | Fair Value Of Plan Assets Before Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 648 | 677 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Government & Government Agency Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Fair Value Of Plan Assets Before Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 5 | 4 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Government & Government Agency Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 15 | 19 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 77 | 104 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 6 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Fair Value Of Plan Assets Before Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 101 | 133 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Government & Government Agency Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Fair Value Of Plan Assets Before Receivables [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Non-U.S. Plans [Member] | Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,320 | 1,145 | $ 1,005 |
Non-U.S. Plans [Member] | Pension Plan [Member] | Cash [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 73 | 32 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 100 | 65 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 104 | 26 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Mid Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | 1 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Small Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | 1 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Emerging Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 30 | 25 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | U S Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 42 | 43 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Treasuries/Government Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 162 | 163 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 195 | 173 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 51 | 51 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Other Fixed Income [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2 | 3 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Insurance Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 265 | 247 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Derivative [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 91 | 91 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Absolute Return Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 114 | 97 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 12 | 33 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Non-U.S. Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 77 | 94 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,320 | 1,145 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 546 | 338 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Cash [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 37 | 13 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 100 | 57 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 104 | 26 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Mid Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | 1 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Small Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | 1 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Emerging Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 30 | 25 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | U S Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 42 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Treasuries/Government Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 162 | 163 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 58 | 34 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Other Fixed Income [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2 | 3 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Insurance Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Derivative [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Absolute Return Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 4 | 4 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 11 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 1 [Member] | Non-U.S. Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 5 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 692 | 694 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Cash [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 36 | 19 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 8 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Mid Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Small Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Emerging Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | U S Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 43 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Treasuries/Government Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 137 | 139 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 51 | 51 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Other Fixed Income [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Insurance Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 265 | 247 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Derivative [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 91 | 91 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Absolute Return Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 110 | 93 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2 | 3 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 2 [Member] | Non-U.S. Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 82 | 113 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Cash [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Large Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Mid Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Small Cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Emerging Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | U S Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Treasuries/Government Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Other Fixed Income [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Insurance Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Derivative [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Absolute Return Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 10 | 19 | |
Non-U.S. Plans [Member] | Pension Plan [Member] | Level 3 [Member] | Non-U.S. Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 72 | $ 94 |
Employee Benefits - Reconciliat
Employee Benefits - Reconciliation of Level 3 Non-U.S. Plan Assets Held (Detail) - Pension Plan [Member] - Non-U.S. Plans [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets at beginning of year | $ 1,145 | $ 1,005 |
Actual return on plan assets | 25 | 84 |
Fair value of plan assets at end of year | 1,320 | 1,145 |
Fair Value, Inputs, Level 1, 2 and 3 [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets at beginning of year | 1,145 | |
Fair value of plan assets at end of year | 1,320 | 1,145 |
Level 3 [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets at beginning of year | 113 | |
Actual return on plan assets | (2) | |
Purchases, sales and settlements | (29) | |
Fair value of plan assets at end of year | 82 | 113 |
Level 3 [Member] | Real Estate [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets at beginning of year | 94 | |
Actual return on plan assets | (3) | |
Purchases, sales and settlements | (19) | |
Fair value of plan assets at end of year | 72 | 94 |
Level 3 [Member] | Hedge Funds [Member] | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets at beginning of year | 19 | |
Actual return on plan assets | 1 | |
Purchases, sales and settlements | (10) | |
Fair value of plan assets at end of year | $ 10 | $ 19 |
Employee Benefits - Weighted Av
Employee Benefits - Weighted Average Assumptions Used to Determine Postretirement Benefit Expense and Obligation (Detail) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Liability [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 2.90% | 2.60% |
Current medical cost trend rate | 6.75% | 7.00% |
Ultimate medical cost trend rate | 4.75% | 4.75% |
Expense [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 2.60% | 3.30% |
Current medical cost trend rate | 7.00% | 7.25% |
Ultimate medical cost trend rate | 4.75% | 4.75% |
Employee Benefits - Sensitivity
Employee Benefits - Sensitivity of Disclosures to Changes in Selected Assumptions (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
25 BP Decrease in Discount Rate, Change in ABO | $ 2 |
25 BP Decrease in Discount Rate, Change in pension expense | 0 |
U.S Plans [Member] | Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
25 BP Decrease in Discount Rate, Change in PBO | 19 |
25 BP Decrease in Discount Rate, Change in ABO | 19 |
25 BP Decrease in Discount Rate, Change in pension expense | 0 |
25 BP Decrease in Long-Term Rate of Return, Change in pension expense | 1 |
Non-U.S. Plans [Member] | Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
25 BP Decrease in Discount Rate, Change in PBO | 77 |
25 BP Decrease in Discount Rate, Change in ABO | 73 |
25 BP Decrease in Discount Rate, Change in pension expense | 5 |
25 BP Decrease in Long-Term Rate of Return, Change in pension expense | $ 3 |
Financial Instruments - Carryin
Financial Instruments - Carrying Amount and Estimated Fair Value of Financial Instruments (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Commercial Paper | $ 324 | $ 0 |
Carrying Amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 711 | 650 |
Credit facilities and bank overdrafts | 7 | 2 |
Derivative assets(3) | 0 | 1 |
Derivative liabilities(3) | 7 | 29 |
Commercial Paper | 324 | 0 |
Carrying Amount [Member] | Senior Notes, Euro Notes, 2021 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Notes, Current | 0 | 368 |
Carrying Amount [Member] | Senior Notes - 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 300 | 299 |
Carrying Amount [Member] | Senior Notes, Euro Notes, 2024 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 565 | 614 |
Carrying Amount [Member] | Senior Notes, Euro Notes, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 900 | 978 |
Carrying Amount [Member] | Senior Notes - 2028 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 397 | 397 |
Carrying Amount [Member] | Senior notes - 2047 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 494 | 494 |
Carrying Amount [Member] | Senior Notes - 2048 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 786 | 786 |
Carrying Amount [Member] | Term Loan Credit Agreement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 240 |
Carrying Amount [Member] | Amortizing Note | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 36 |
Carrying Amount [Member] | 2022 Term Loan [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 199 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Twenty Five | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,001 | 0 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Twenty Seven | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,218 | 0 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Thirty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,511 | 0 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Forty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 775 | 0 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Fifty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,572 | 0 |
Carrying Amount [Member] | 2024 Term Loan | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 625 | 0 |
Carrying Amount [Member] | 2026 Term Loan | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 625 | 0 |
Carrying Amount [Member] | Senior Notes, Due Two Thousand Twenty Two | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Notes, Current | 300 | 0 |
Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 711 | 650 |
Credit facilities and bank overdrafts | 7 | 2 |
Derivative assets(3) | 0 | 1 |
Derivative liabilities(3) | 7 | 29 |
Commercial Paper | 324 | 0 |
Fair Value [Member] | Senior Notes, Euro Notes, 2021 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Notes, Current | 0 | 370 |
Fair Value [Member] | Senior Notes - 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 308 | 316 |
Fair Value [Member] | Senior Notes, Euro Notes, 2024 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 585 | 648 |
Fair Value [Member] | Senior Notes, Euro Notes, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 960 | 1,061 |
Fair Value [Member] | Senior Notes - 2028 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 452 | 472 |
Fair Value [Member] | Senior notes - 2047 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 585 | 608 |
Fair Value [Member] | Senior Notes - 2048 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,026 | 1,059 |
Fair Value [Member] | Term Loan Credit Agreement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 240 |
Fair Value [Member] | Amortizing Note | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 37 |
Fair Value [Member] | 2022 Term Loan [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 0 | 200 |
Fair Value [Member] | Senior Notes, Due Two Thousand Twenty Five | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 968 | 0 |
Fair Value [Member] | Senior Notes, Due Two Thousand Twenty Seven | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,180 | 0 |
Fair Value [Member] | Senior Notes, Due Two Thousand Thirty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,466 | 0 |
Fair Value [Member] | Senior Notes, Due Two Thousand Forty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 762 | 0 |
Fair Value [Member] | Senior Notes, Due Two Thousand Fifty | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,556 | 0 |
Fair Value [Member] | 2024 Term Loan | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 625 | 0 |
Fair Value [Member] | 2026 Term Loan | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 625 | 0 |
Fair Value [Member] | Senior Notes, Due Two Thousand Twenty Two | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Notes, Current | $ 300 | $ 0 |
Financial Instruments - Derivat
Financial Instruments - Derivative Instruments Notional Amount Outstanding (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Forward Currency Contracts [Member] | ||
Schedule Of Information By Major Category Of Credit Derivatives Contracts [Line Items] | ||
Derivative instruments outstanding | $ 46 | $ 221 |
Currency Swap [Member] | ||
Schedule Of Information By Major Category Of Credit Derivatives Contracts [Line Items] | ||
Derivative instruments outstanding | 300 | 300 |
Commodity Contract | ||
Schedule Of Information By Major Category Of Credit Derivatives Contracts [Line Items] | ||
Derivative instruments outstanding | $ 10 | $ 0 |
Financial Instruments - Deriv_2
Financial Instruments - Derivative Instruments Measured at Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | $ 7 | $ 29 |
Foreign Currency Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Assets | 0 | 1 |
Total Fair Value, Derivative Liabilities | 2 | 6 |
Currency Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | 5 | 23 |
Fair Value of Derivatives Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | 5 | 29 |
Fair Value of Derivatives Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | 5 | |
Fair Value of Derivatives Designated as Hedging Instrument [Member] | Foreign Currency Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Assets | 0 | 0 |
Total Fair Value, Derivative Liabilities | 0 | 6 |
Fair Value of Derivatives Designated as Hedging Instrument [Member] | Currency Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | 5 | 23 |
Fair Value of Derivatives Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | 2 | 0 |
Fair Value of Derivatives Not Designated as Hedging Instrument [Member] | Foreign Currency Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Assets | 0 | 1 |
Total Fair Value, Derivative Liabilities | 2 | 0 |
Fair Value of Derivatives Not Designated as Hedging Instrument [Member] | Currency Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total Fair Value, Derivative Liabilities | $ 0 | $ 0 |
Financial Instruments - Deriv_3
Financial Instruments - Derivative Instruments Which Were Not Designated as Hedging Instruments (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Foreign Currency Contracts [Member] | Other (income) expense, net [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain or (loss) on derivative | $ 6 | $ 9 |
Financial Instruments - Deriv_4
Financial Instruments - Derivative Instruments Designated as Cash Flow and Net Investment Hedging Instruments (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | $ (7) | $ 4 | |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 132 | (156) | |
Payments for (Proceeds from) Hedge, Investing Activities | 0 | (14) | $ 0 |
Forward Currency Contracts [Member] | Cost of goods sold [Member] | Cash Flow Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | (6) | 5 | |
Interest Rate Swap [Member] | Cash Flow Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 1 | 1 | |
Interest Rate Swap [Member] | Interest Expense [Member] | Cash Flow Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | 1 | 1 | |
Senior Notes Maturing 2021 through 2026 [Member] | Net Investment Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 72 | (92) | |
Foreign Currency Contracts [Member] | Cash Flow Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 7 | (10) | |
Senior Notes, Euro Notes, 2024 [Member] | Net Investment Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 38 | (42) | |
Cross Currency Swaps [Member] | Net Investment Hedging [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | $ 14 | $ (13) |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) € in Millions, $ in Millions | May 18, 2017EUR (€) | Sep. 30, 2020USD ($)swap | Dec. 31, 2018USD ($) | Mar. 31, 2016USD ($)Agreement | Mar. 31, 2016EUR (€)Agreement | Dec. 31, 2021USD ($)swap | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019swap |
Derivatives, Fair Value [Line Items] | |||||||||
Proceeds from unwinding of cross currency swap derivative instruments | $ 0 | $ 0 | $ 26 | ||||||
Payments for (Proceeds from) Hedge, Investing Activities | 0 | (14) | $ 0 | ||||||
Derivative Liability, Fair Value, Gross Liability | 7 | 29 | |||||||
Forward Currency Contracts [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative instruments outstanding | 46 | 221 | |||||||
Currency Swap [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative instruments outstanding | 300 | 300 | |||||||
Payments for (Proceeds from) Hedge, Investing Activities | $ 15 | ||||||||
Interest Receivable | $ 2 | ||||||||
Derivative Liability, Fair Value, Gross Liability | 5 | 23 | |||||||
Interest Rate Swap [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Loss incurred on termination of interest rate swaps | $ 3 | € 3 | |||||||
Gain on deal contingent derivatives | € | € 5 | ||||||||
Number of interest rate derivatives held | Agreement | 2 | 2 | |||||||
Fair Value of Derivatives Not Designated as Hedging Instrument [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative Liability, Fair Value, Gross Liability | 2 | 0 | |||||||
Fair Value of Derivatives Not Designated as Hedging Instrument [Member] | Currency Swap [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 | |||||||
Designated as Hedging Instrument [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative Liability, Fair Value, Gross Liability | $ 5 | 29 | |||||||
Designated as Hedging Instrument [Member] | Currency Swap [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Interest Income (Expense), Net | $ 8 | ||||||||
Number of Foreign Currency Derivatives Held | swap | 2 | 2 | 4 | ||||||
Proceeds from unwinding of cross currency swap derivative instruments | $ 34 | ||||||||
Derivative Liability, Fair Value, Gross Liability | $ 5 | $ 23 | |||||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||||||
Derivatives, Fair Value [Line Items] | |||||||||
Derivative Liability, Fair Value, Gross Liability | $ 5 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Schedule of Changes in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Accumulated other comprehensive loss, net of tax | $ 6,310 | ||
Accumulated other comprehensive loss, net of tax | 21,082 | $ 6,310 | |
Foreign Currency Translation Adjustments | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Accumulated other comprehensive loss, net of tax | (285) | (373) | $ (397) |
OCI before reclassifications | (848) | 88 | 24 |
Amounts reclassified from AOCI | 0 | 0 | 0 |
Net current period other comprehensive income (loss) | (848) | 88 | 24 |
Accumulated other comprehensive loss, net of tax | (1,133) | (285) | (373) |
(Losses) Gains on Derivatives Qualifying as Hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Accumulated other comprehensive loss, net of tax | (7) | 2 | 5 |
OCI before reclassifications | 1 | (5) | 5 |
Amounts reclassified from AOCI | 7 | (4) | (8) |
Net current period other comprehensive income (loss) | 8 | (9) | (3) |
Accumulated other comprehensive loss, net of tax | 1 | (7) | 2 |
Pension and Postretirement Liability Adjustment | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Accumulated other comprehensive loss, net of tax | (406) | (346) | (310) |
OCI before reclassifications | 97 | (74) | (46) |
Amounts reclassified from AOCI | 18 | 14 | 10 |
Net current period other comprehensive income (loss) | 115 | (60) | (36) |
Accumulated other comprehensive loss, net of tax | (291) | (406) | (346) |
Total | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Accumulated other comprehensive loss, net of tax | (698) | (717) | (702) |
OCI before reclassifications | (750) | 9 | (17) |
Amounts reclassified from AOCI | 25 | 10 | 2 |
Net current period other comprehensive income (loss) | (725) | 19 | (15) |
Accumulated other comprehensive loss, net of tax | $ (1,423) | $ (698) | $ (717) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Reclassifications of Accumulated Other Comprehensive Income to Consolidated Statement of Comprehensive Income (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of goods sold | $ 7,921 | $ 2,998 | $ 3,027 |
Interest expense | (289) | (132) | (138) |
Tax | (75) | (74) | (97) |
(Losses) Gains on Derivatives Qualifying as Hedges | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Tax | 1 | (1) | (1) |
(Losses) Gains on Derivatives Qualifying as Hedges | Foreign Currency Contracts [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of goods sold | (7) | 6 | 10 |
(Losses) Gains on Derivatives Qualifying as Hedges | Interest Rate Swap [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Interest expense | (1) | (1) | (1) |
(Losses) Gains on Derivatives Qualifying as Hedges | Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Total | (7) | 4 | 8 |
(Losses) gains on pension and postretirement liability adjustments | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Tax | 4 | (9) | (3) |
(Losses) gains on pension and postretirement liability adjustments | Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Total | (18) | (14) | (10) |
Prior service cost | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
(Losses) gains on pension and postretirement liability adjustments | 7 | 7 | 6 |
Actuarial losses | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
(Losses) gains on pension and postretirement liability adjustments | (38) | (30) | (19) |
Other items | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
(Losses) gains on pension and postretirement liability adjustments | $ 17 | $ 0 | $ 0 |
Concentrations Of Credit Risk -
Concentrations Of Credit Risk - Additional Information (Detail) - Customer Concentration Risk [Member] - Customer | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Concentration Risk [Line Items] | |||
Number of customers that accounted for more than 10% of consolidated net sales | 0 | 0 | 0 |
All Foreign Countries [Member] | Sales [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk threshold | 10.00% | 10.00% | 10.00% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | Mar. 11, 2020 | Oct. 29, 2019 | Sep. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2017 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jul. 28, 2021 | Aug. 25, 2020 |
Commitments And Contingencies [Line Items] | |||||||||||
Commercial Guarantees, Amount Outstanding | $ 98,000,000 | ||||||||||
Available lines of credit | 1,398,000,000 | ||||||||||
Bank guarantees and pledged assets to pursue defenses related to other contingencies | 19,000,000 | ||||||||||
Property, plant and equipment | 4,368,000,000 | $ 1,458,000,000 | |||||||||
Bank Guarantees and Standby Letters of Credit, Amount Outstanding | 28,000,000 | ||||||||||
Lines of Credit Facility, Current Borrowing Amount/Total Amount Drawn Down | 334,000,000 | ||||||||||
Commercial Paper | 324,000,000 | 0 | |||||||||
Revolving Loan Facility [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Revolving credit facility | $ 1,000,000,000 | ||||||||||
Revolving Loan Facility [Member] | Citibank, N.A [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Revolving credit facility | 1,025,000,000 | $ 2,000,000,000 | |||||||||
Chief Executive Officer [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Deferred Compensation Arrangement with Individual, Compensation Expense | $ 20,000,000 | $ 20,000,000 | |||||||||
Minimum [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Estimated maximum future costs of environmental liabilities for identified sites (less than $5 million) | 0 | ||||||||||
Maximum [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Estimated maximum future costs of environmental liabilities for identified sites (less than $5 million) | 42,000,000 | ||||||||||
Hangzhou, China [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Proceeds from Sale of Land Held-for-use | $ 4,000,000 | ||||||||||
Property, plant and equipment | 67,000,000 | ||||||||||
CHINA | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Property, plant and equipment | 259,000,000 | 172,000,000 | |||||||||
Manufacturing Facility [Member] | CHINA | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Property, plant and equipment | 279,000,000 | ||||||||||
Pledged assets [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
The amount of pledged assets, principally PP&E to cover income tax and indirect tax assessments | 7,000,000 | ||||||||||
Bank guarantees [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Bank guarantees related to appeals on income tax and indirect tax cases | 12,000,000 | ||||||||||
Bank Guarantees, Commercial Guarantees, Standby Letters Of Credit and Surety Bonds | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Bank Guarantees, Commercial Guarantees, Letters Of Credit and Surety Bonds, Facility Amounts | 392,000,000 | ||||||||||
Pharma Solutions | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Current accrual | 40,000,000 | ||||||||||
Current associated costs | 21,000,000 | ||||||||||
BRAZIL | Foreign Tax Authority [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Proceeds from Income Tax Refunds | $ 4,000,000 | $ 8,000,000 | |||||||||
BRAZIL | Foreign Tax Authority [Member] | BRAZIL | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Proceeds from Income Tax Refunds | $ 3,000,000 | ||||||||||
Zhejiang Ingredients Plant [Member] | Zhejiang, China [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Gain Contingency, Relocation Payments Received | $ 13,000,000 | $ 30,000,000 | |||||||||
Gain Contingency, Expected Relocation Payments | $ 50,000,000 | ||||||||||
Guangzhou Flavors Plant [Member] | Guangzhou, China [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Property, plant and equipment | 60,000,000 | ||||||||||
Guangzhou Fragrance Plant [Member] | Guangzhou, China [Member] | |||||||||||
Commitments And Contingencies [Line Items] | |||||||||||
Property, plant and equipment | $ 8,000,000 |
Redeemable Noncontrolling Int_3
Redeemable Noncontrolling Interests (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||
Beginning balance | $ 12 | ||
Sale of a subsidiary with redeemable noncontrolling interests | 9 | $ 4 | $ 4 |
Exercises of redeemable noncontrolling interests | 2 | 1 | 2 |
Ending balance | 35 | 12 | |
Payments to Acquire Additional Interest in Subsidiaries | 14 | ||
Redeemable Noncontrolling Interest [Member] | |||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||
Beginning balance | 98 | 99 | 82 |
Acquired through acquisitions | 24 | ||
Sale of a subsidiary with redeemable noncontrolling interests | 6 | 3 | 1 |
Redemption value adjustment for the current period | 2 | (2) | 2 |
Exercises of redeemable noncontrolling interests | (12) | (14) | |
Exercises of redeemable noncontrolling interests | (2) | (2) | (1) |
Impact of foreign exchange translation | 1 | 13 | |
Measurement period adjustments | (1) | 5 | |
Ending balance | $ 105 | $ 98 | $ 99 |
Business Divestiture (Details)
Business Divestiture (Details) - Fruit Preparation - Disposal Group, Disposed of by Sale, Not Discontinued Operations $ in Millions | 3 Months Ended |
Sep. 30, 2021USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Cash payment from DuPont | $ 115 |
Tax amount | $ 12 |
Assets Held For Sale (Details)
Assets Held For Sale (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Assets | ||
Operating lease right-of-use assets | $ 767 | $ 299 |
Liabilities | ||
Disposal Group, Including Discontinued Operation, Assets, Current | 1,122 | 0 |
Disposal Group, Including Discontinued Operation, Liabilities, Current | 101 | $ 0 |
Disposal Group, Held-for-sale, Not Discontinued Operations | Microbial Control | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Total assets held-for-sale | 1,122 | |
Inventories | 125 | |
Total liabilities held-for-sale | 101 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash payment from DuPont | 1,273 | |
Assets | ||
Trade Receivables, net | 63 | |
Inventories | 125 | |
Property, plant and equipment, net | 30 | |
Goodwill | 536 | |
Other intangible assets, net | 349 | |
Operating lease right-of-use assets | 5 | |
Other assets | 14 | |
Total assets held-for-sale | 1,122 | |
Liabilities | ||
Accounts payable | 69 | |
Disposal Group, Including Discontinued Operation, Deferred Tax Liabilities | 24 | |
Other liabilities | 8 | |
Total liabilities held-for-sale | $ 101 |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts and Reserves (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance for doubtful accounts [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 21 | $ 16 | $ 9 |
Additions (deductions) charged to costs and expenses | 6 | 6 | 1 |
Acquisitions | 0 | 0 | 0 |
Accounts written off | (1) | (1) | (2) |
Translation adjustments | 0 | 0 | 0 |
Other | 20 | 0 | 8 |
Balance at end of period | 46 | 21 | 16 |
SEC Schedule, 12-09, Valuation Allowance, Deferred Tax Asset [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 257 | 204 | 200 |
Additions (deductions) charged to costs and expenses | (18) | 35 | 6 |
Acquisitions | 9 | 0 | 0 |
Accounts written off | 0 | 0 | 0 |
Translation adjustments | (16) | 18 | (2) |
Other | 0 | 0 | 0 |
Balance at end of period | $ 232 | $ 257 | $ 204 |