Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 31, 2014 | |
Document Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Trading Symbol | 'MDLZ | ' |
Entity Registrant Name | 'Mondelez International, Inc. | ' |
Entity Central Index Key | '0001103982 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 1,679,923,170 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Earnings (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Net revenues | $8,337 | $8,472 | $25,414 | $25,811 |
Cost of sales | 5,195 | 5,328 | 15,963 | 16,194 |
Gross profit | 3,142 | 3,144 | 9,451 | 9,617 |
Selling, general and administrative expenses | 2,053 | 1,784 | 6,356 | 6,385 |
Asset impairment and exit costs | 188 | 43 | 285 | 135 |
Gains on acquisition and divestitures, net | ' | ' | ' | -28 |
Amortization of intangibles | 48 | 55 | 157 | 164 |
Operating income | 853 | 1,262 | 2,653 | 2,961 |
Interest and other expense / (income) | -227 | 218 | 717 | 732 |
Earnings before income taxes | 1,080 | 1,044 | 1,936 | 2,229 |
Provision for income taxes | 178 | 26 | 242 | 67 |
Net earnings | 902 | 1,018 | 1,694 | 2,162 |
Noncontrolling interest | 3 | 6 | 10 | 13 |
Net earnings attributable to Mondelez International | $899 | $1,012 | $1,684 | $2,149 |
Per share data: | ' | ' | ' | ' |
Basic earnings per share attributable to Mondelez International | $0.53 | $0.57 | $0.99 | $1.21 |
Diluted earnings per share attributable to Mondelez International | $0.53 | $0.56 | $0.98 | $1.20 |
Dividends declared | $0.15 | $0.14 | $0.43 | $0.40 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Earnings (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||
Net earnings | $902 | $1,018 | $1,694 | $2,162 | ||
Currency translation adjustment: | ' | ' | ' | ' | ||
Translation adjustment | -1,755 | 774 | -1,615 | -928 | ||
Tax (expense) / benefit | -147 | 39 | -150 | 9 | ||
Pension and other benefits: | ' | ' | ' | ' | ||
Net actuarial gain / (loss) arising during period | 16 | 6 | 16 | 3 | ||
Reclassification of (gains) / losses into net earnings: | ' | ' | ' | ' | ||
Amortization of experience losses and prior service costs | 31 | [1] | 48 | 100 | [1] | 145 |
Settlement losses / (gains) | 9 | [1] | -2 | 25 | [1] | 3 |
Tax (expense) / benefit | -26 | -11 | -47 | -37 | ||
Derivatives accounted for as hedges: | ' | ' | ' | ' | ||
Net derivative gains / (losses) | 34 | 10 | -78 | 133 | ||
Reclassification of (gains) / losses into net earnings | -18 | 8 | -22 | 52 | ||
Tax (expense) / benefit | 14 | -8 | 57 | -65 | ||
Total other comprehensive earnings / (losses) | -1,842 | 864 | -1,714 | -685 | ||
Comprehensive earnings / (losses) | -940 | 1,882 | -20 | 1,477 | ||
less: Comprehensive earnings / (losses) attributable to noncontrolling interests | -15 | 10 | -9 | 10 | ||
Comprehensive earnings / (losses) attributable to Mondelez International | ($925) | $1,872 | ($11) | $1,467 | ||
[1] | These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans. |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and cash equivalents | $1,704 | $2,664 |
Receivables (net of allowances of $73 in 2014 and $86 in 2013) | 5,352 | 5,403 |
Inventories, net | 4,122 | 3,743 |
Deferred income taxes | 433 | 517 |
Other current assets | 1,235 | 889 |
Total current assets | 12,846 | 13,216 |
Property, plant and equipment, net | 10,152 | 10,247 |
Goodwill | 24,399 | 25,597 |
Intangible assets, net | 21,110 | 21,994 |
Prepaid pension assets | 65 | 54 |
Other assets | 1,395 | 1,449 |
TOTAL ASSETS | 69,967 | 72,557 |
LIABILITIES | ' | ' |
Short-term borrowings | 1,807 | 1,636 |
Current portion of long-term debt | 2,084 | 1,003 |
Accounts payable | 5,184 | 5,345 |
Accrued marketing | 1,920 | 2,318 |
Accrued employment costs | 990 | 1,043 |
Other current liabilities | 2,630 | 3,051 |
Total current liabilities | 14,615 | 14,396 |
Long-term debt | 13,988 | 14,482 |
Deferred income taxes | 5,753 | 6,282 |
Accrued pension costs | 1,826 | 1,962 |
Accrued postretirement health care costs | 439 | 412 |
Other liabilities | 2,390 | 2,491 |
TOTAL LIABILITIES | 39,011 | 40,025 |
Commitments and Contingencies (Note 12) | ' | ' |
EQUITY | ' | ' |
Common Stock, no par value (1,996,537,778 shares issued in 2014 and 2013) | ' | ' |
Additional paid-in capital | 31,612 | 31,396 |
Retained earnings | 14,298 | 13,419 |
Accumulated other comprehensive losses | -4,584 | -2,889 |
Treasury stock, at cost (316,781,314 shares at September 30, 2014 and 291,141,184 shares at December 31, 2013) | -10,482 | -9,553 |
Total Mondelez International Shareholders' Equity | 30,844 | 32,373 |
Noncontrolling interest | 112 | 159 |
TOTAL EQUITY | 30,956 | 32,532 |
TOTAL LIABILITIES AND EQUITY | $69,967 | $72,557 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, except Share data, unless otherwise specified | ||
Receivables, allowances | $73 | $86 |
Common Stock, no par value | ' | ' |
Common Stock, shares issued | 1,996,537,778 | 1,996,537,778 |
Treasury stock, shares | 316,781,314 | 291,141,184 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Equity (USD $) | Total | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Earnings/(Losses) | Treasury Stock | Noncontrolling Interest |
In Millions, unless otherwise specified | ||||||
Balances at Dec. 31, 2012 | $32,416 | $31,548 | $10,551 | ($2,666) | ($7,157) | $140 |
Comprehensive earnings / (losses): | ' | ' | ' | ' | ' | ' |
Net earnings | 3,935 | ' | 3,915 | ' | ' | 20 |
Other comprehensive losses, net of income taxes | -223 | ' | ' | -223 | ' | ' |
Exercise of stock options and issuance of other stock awards | 256 | 10 | -97 | ' | 343 | ' |
Common Stock repurchased | -2,900 | -161 | ' | ' | -2,739 | ' |
Cash dividends declared ($0.43 per share for 2014 and $0.54 per share for 2013) | -950 | ' | -950 | ' | ' | ' |
Dividends paid on noncontrolling interest and other activities | -2 | -1 | ' | ' | ' | -1 |
Balances at Dec. 31, 2013 | 32,532 | 31,396 | 13,419 | -2,889 | -9,553 | 159 |
Comprehensive earnings / (losses): | ' | ' | ' | ' | ' | ' |
Net earnings | 1,694 | ' | 1,684 | ' | ' | 10 |
Other comprehensive losses, net of income taxes | -1,714 | ' | ' | -1,695 | ' | -19 |
Exercise of stock options and issuance of other stock awards | 437 | 232 | -78 | ' | 283 | ' |
Common Stock repurchased | -1,212 | ' | ' | ' | -1,212 | ' |
Cash dividends declared ($0.43 per share for 2014 and $0.54 per share for 2013) | -727 | ' | -727 | ' | ' | ' |
Dividends paid on noncontrolling interest and other activities | -54 | -16 | ' | ' | ' | -38 |
Balances at Sep. 30, 2014 | $30,956 | $31,612 | $14,298 | ($4,584) | ($10,482) | $112 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Equity (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Cash dividends declared, per share | $0.15 | $0.14 | $0.43 | $0.40 | $0.54 |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
CASH PROVIDED BY / (USED IN) OPERATING ACTIVITIES | ' | ' |
Net earnings | $1,694 | $2,162 |
Adjustments to reconcile net earnings to operating cash flows: | ' | ' |
Depreciation and amortization | 797 | 808 |
Stock-based compensation expense | 104 | 98 |
Deferred income tax benefit | -255 | -176 |
Gains on acquisition and divestitures, net | ' | -28 |
Asset impairments | 77 | 36 |
Benefit from indemnification resolution | ' | -385 |
Loss on early extinguishment of debt | 493 | ' |
Unrealized gain on planned coffee business divestiture currency hedge | -413 | ' |
Other non-cash items, net | -28 | 52 |
Change in assets and liabilities, net of acquisitions and divestitures: | ' | ' |
Receivables, net | -163 | -100 |
Inventories, net | -625 | -502 |
Accounts payable | 19 | -30 |
Other current assets | -106 | 17 |
Other current liabilities | -430 | -796 |
Change in pension and postretirement assets and liabilities, net | -15 | 42 |
Net cash provided by operating activities | 1,149 | 1,198 |
CASH PROVIDED BY / (USED IN) INVESTING ACTIVITIES | ' | ' |
Capital expenditures | -1,129 | -1,028 |
Acquisition, net of cash received | ' | -119 |
Proceeds from divestitures, net of disbursements | ' | 48 |
Cash received from Kraft Foods Group related to the Spin-Off | ' | 55 |
Other | 29 | 29 |
Net cash used in investing activities | -1,100 | -1,015 |
CASH PROVIDED BY / (USED IN) FINANCING ACTIVITIES | ' | ' |
Issuances of commercial paper, maturities greater than 90 days | 1,986 | 726 |
Repayments of commercial paper, maturities greater than 90 days | -2,072 | -70 |
Net (repayments) / issuances of other short-term borrowings, net | 279 | 1,604 |
Long-term debt proceeds | 3,032 | ' |
Long-term debt repaid | -2,524 | -1,750 |
Repurchase of Common Stock | -1,020 | -793 |
Dividends paid | -713 | -696 |
Other | 163 | 98 |
Net cash used in financing activities | -869 | -881 |
Effect of exchange rate changes on cash and cash equivalents | -140 | -85 |
Cash and cash equivalents: | ' | ' |
Increase / (decrease) | -960 | -783 |
Balance at beginning of period | 2,664 | 4,475 |
Balance at end of period | $1,704 | $3,692 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Basis of Presentation | ' | ||||||||||||||||||||||||
Note 1. Basis of Presentation | |||||||||||||||||||||||||
The condensed consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries. | |||||||||||||||||||||||||
Our interim condensed consolidated financial statements are unaudited. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been omitted. It is management’s opinion that these financial statements include all normal and recurring adjustments necessary for a fair presentation of our financial position and operating results. Net revenues and net earnings for any interim period are not necessarily indicative of future or annual results. | |||||||||||||||||||||||||
We derived the condensed consolidated balance sheet data as of December 31, 2013 from audited financial statements, but do not include all disclosures required by U.S. GAAP. You should read these statements in conjunction with our consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 31, 2013. | |||||||||||||||||||||||||
Revision of Financial Statements: | |||||||||||||||||||||||||
In finalizing our 2013 results, we identified certain out-of-period, non-cash, income tax-related errors in prior interim and annual periods. These errors were not material to any previously reported financial results; however, we revised our 2013 interim and prior-year financial statements and accompanying notes in our Annual Report on Form 10-K for the year ended December 31, 2013, to reflect these items in the appropriate periods. The net effect of the revision was to lower tax expense in years prior to 2013. The impact of the revision for the nine months ended September 30, 2013 was a $59 million reduction of net earnings. The impact of the revision to fiscal years prior to 2013 was an increase in cumulative net earnings of $94 million. | |||||||||||||||||||||||||
We evaluated the cumulative impact of the errors on prior periods under the guidance in Accounting Standards Codification (“ASC”) 250-10, Accounting Changes and Error Corrections, and the guidance from the Securities and Exchange Commission (“SEC”) in Staff Accounting Bulletin (“SAB”) No. 99, Materiality. We also evaluated the impact of correcting the errors through an adjustment to our financial statements under the guidance in ASC 250-10 relating to SAB No. 108, Considering the Effects of Prior Year Misstatements When Quantifying Misstatements in Current Year Financial Statements. We concluded that these errors were not material, individually or in the aggregate, to any of the prior reporting periods and, therefore, amendments of previously filed reports were not required. | |||||||||||||||||||||||||
The effects of the revision on the condensed consolidated financial statements for the three and nine months ended September 30, 2013 are detailed below. | |||||||||||||||||||||||||
Condensed Consolidated Statement of Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||
Provision / (benefit) for | $ | 14 | $ | 12 | $ | 26 | $ | 8 | $ | 59 | $ | 67 | |||||||||||||
income taxes | |||||||||||||||||||||||||
Net earnings | 1,030 | (12 | ) | 1,018 | 2,221 | (59 | ) | 2,162 | |||||||||||||||||
Net earnings attributable to Mondelēz International | 1,024 | (12 | ) | 1,012 | 2,208 | (59 | ) | 2,149 | |||||||||||||||||
Net earnings attributable to Mondelēz International: | |||||||||||||||||||||||||
Per share, basic | $ | 0.58 | $ | (0.01 | ) | $ | 0.57 | $ | 1.24 | $ | (0.03 | ) | $ | 1.21 | |||||||||||
Per share, diluted | $ | 0.57 | $ | (0.01 | ) | $ | 0.56 | $ | 1.23 | $ | (0.03 | ) | $ | 1.2 | |||||||||||
Condensed Consolidated Statement of Comprehensive Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 1,030 | $ | (12 | ) | $ | 1,018 | $ | 2,221 | $ | (59 | ) | $ | 2,162 | |||||||||||
Translation adjustment | 778 | (4 | ) | 774 | (931 | ) | 3 | (928 | ) | ||||||||||||||||
Total other comprehensive | 868 | (4 | ) | 864 | (688 | ) | 3 | (685 | ) | ||||||||||||||||
earnings / (losses) | |||||||||||||||||||||||||
Comprehensive earnings | 1,898 | (16 | ) | 1,882 | 1,533 | (56 | ) | 1,477 | |||||||||||||||||
Comprehensive earnings | 1,888 | (16 | ) | 1,872 | 1,523 | (56 | ) | 1,467 | |||||||||||||||||
attributable to | |||||||||||||||||||||||||
Mondelēz International | |||||||||||||||||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||||||
For the Nine Months Ended | |||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||
Reported | Correction | Revised | |||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 2,221 | $ | (59 | ) | $ | 2,162 | ||||||||||||||||||
Deferred income tax benefit | (237 | ) | 61 | (176 | ) | ||||||||||||||||||||
Other non-cash items, net | 46 | 6 | 52 | ||||||||||||||||||||||
Change in other current assets | 16 | 1 | 17 | ||||||||||||||||||||||
Change in other current liabilities | (787 | ) | (9 | ) | (796 | ) | |||||||||||||||||||
Net cash provided by operating activities | 1,198 | – | 1,198 | ||||||||||||||||||||||
Currency Translation and Highly Inflationary Accounting: | |||||||||||||||||||||||||
We translate the results of operations of our subsidiaries from multiple currencies using average exchange rates during each period and translate balance sheet accounts using exchange rates at the end of each period. We record currency translation adjustments as a component of equity and realized exchange gains and losses on transactions in earnings. | |||||||||||||||||||||||||
Venezuela. As prescribed by U.S. GAAP for highly inflationary economies, we have been accounting for the results of our Venezuelan subsidiaries using the U.S. dollar as the functional currency since January 1, 2010. | |||||||||||||||||||||||||
On February 8, 2013, the Venezuelan government announced the devaluation of the official Venezuelan bolivar exchange rate from 4.30 bolivars to 6.30 bolivars to the U.S. dollar and the elimination of the second-tier, government-regulated SITME exchange rate previously applied to value certain types of transactions. In connection with the announced changes, we recorded a $54 million currency remeasurement loss related to the devaluation of our net monetary assets in Venezuela within selling, general and administrative expenses in our Latin America segment during the three months ended March 31, 2013. | |||||||||||||||||||||||||
On January 24, 2014, the Venezuelan government announced the expansion of the auction-based currency transaction program referred to as SICAD or SICAD I and new profit margin controls. The application of the SICAD I rate was extended to include foreign investments and significant operating activities, including contracts for leasing and services, use and exploitation of patents and trademarks, payments of royalties and contracts for technology import and technical assistance. As of September 30, 2014, the SICAD I exchange rate for the food segment auctions in which we participate was 11.50 bolivars to the U.S. dollar. | |||||||||||||||||||||||||
Additionally, on March 24, 2014, the Venezuelan government launched a new market-based currency exchange market, SICAD II. SICAD II may be used voluntarily to exchange bolivars into U.S. dollars. As of September 30, 2014, the SICAD II exchange rate was 49.99 bolivars to the U.S. dollar. | |||||||||||||||||||||||||
Our Venezuelan operations produce a wide range of biscuit, cheese & grocery, confectionery and beverage products. Based on the currency exchange developments this quarter, we have reviewed our domestic and international sourcing of goods and services and the exchange rates we believe will be applicable. We evaluated the level of primarily raw material imports that we believe would continue to be sourced in exchange for U.S. dollars converted at the official 6.30 exchange rate. Our remaining imported goods and services would primarily be valued at the SICAD I exchange rate. Imports that do not currently qualify for either the official rate or SICAD I rate may be sourced at the SICAD II rate. | |||||||||||||||||||||||||
We believe the SICAD I rate is the most appropriate rate to use as it is most representative of the various exchange rates at which U.S. dollars are currently available to our entire Venezuelan business. While some of our net monetary assets or liabilities qualify for settlement at the official exchange rate, other operations do not, and we have utilized both the SICAD I and SICAD II auction processes. In addition, there is significant uncertainty about our ability to secure approval for transactions and the limited availability of U.S. dollars offered at the official rate. As such, we believe it is more economically representative to use the SICAD I rate than the official rate to value our net monetary assets and translate future operating results. | |||||||||||||||||||||||||
As of March 31, 2014, we began to apply the SICAD I exchange rate to remeasure our bolivar-denominated net monetary assets, and we began translating our Venezuelan operating results at the new rate in the second quarter of 2014. On March 31, 2014, we recognized a $142 million currency remeasurement loss within selling, general and administrative expenses of our Latin America segment as a result of revaluing our bolivar-denominated net monetary assets from the official exchange rate of 6.30 bolivars to the U.S. dollar to the then-prevailing SICAD I exchange rate of 10.70 bolivars to the U.S. dollar. In addition to the $142 million currency remeasurement loss in the first quarter of 2014, we recognized $19 million of additional remeasurement charges in operating income during the three months ended September 30, 2014 related to changes in the SICAD I rate. | |||||||||||||||||||||||||
The following table sets forth net revenues for our Venezuelan operations for the three and nine months ended September 30, 2014 (measured at the 6.30 official rate in the first quarter and at the SICAD I rate subsequent to the March 31, 2014 remeasurement), and cash, net monetary assets and net assets of our Venezuelan subsidiaries as of September 30, 2014 (translated at the SICAD I last exchange rate for food segment auctions in which we participate, which was 11.50 bolivars to the U.S. dollar): | |||||||||||||||||||||||||
Venezuela operations | Three Months Ended September 30, 2014 | ||||||||||||||||||||||||
Net revenues | $192 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||||||
Net revenues | $584 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||
Cash | $275 million | ||||||||||||||||||||||||
Net monetary assets | $271 million | ||||||||||||||||||||||||
Net assets | $514 million | ||||||||||||||||||||||||
The SICAD I and II rates are variable rates. Unlike the official rate that was devalued and fixed at 6.30 bolivars to the U.S. dollar, the SICAD I rate reflects currently offered rates based on recently cleared auction transactions, and the SICAD II rate reflects voluntary market-based currency exchange transactions cleared by the Central Bank of Venezuela. As such, these rates are expected to vary over time. If any of the rates, or application of the rates to our business, were to change, we may recognize additional currency losses or gains, which could be significant. | |||||||||||||||||||||||||
In light of the current difficult macroeconomic environment in Venezuela, we continue to monitor and actively manage our investment and exposures in Venezuela. We have taken protective measures against currency devaluation, such as converting monetary assets into non-monetary assets that we can use in our business. However, suitable protective measures have become less available and more expensive and may not be available to offset further currency devaluation that could occur. | |||||||||||||||||||||||||
Argentina. On January 23, 2014, the Central Bank of Argentina adjusted its currency policy, removed its currency stabilization measures and allowed the Argentine peso exchange rate to float relative to the U.S. dollar. On that day, the value of the Argentine peso relative to the U.S. dollar fell by 15%, and from December 31, 2013 through September 30, 2014, the value of the peso declined 30%. Further volatility and declines in the exchange rate are expected. Based on the current state of Argentine currency rules and regulations, the business environment remains challenging; however, we do not expect the existing controls and restrictions to have a material adverse effect on our business, financial condition or results of operations. Our Argentinian operations contributed approximately $180 million, or 2.2% of consolidated net revenues, in the three months and $520 million, or 2.0% of consolidated net revenues, in the nine months ended September 30, 2014. Argentina is not designated as a highly-inflationary economy at this time for accounting purposes, so we continue to record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. | |||||||||||||||||||||||||
Accounting Calendar Change: | |||||||||||||||||||||||||
In connection with moving toward a common consolidation date across the company, in the first quarter of 2013, we changed the consolidation date for our Europe segment. Previously, this segment primarily reported results as of the last Saturday of each period. Subsequent to the change, our Europe segment reports results as of the last calendar day of the period. At this time, the majority of our operating subsidiaries report results as of the last calendar day of the period. Our North American operating subsidiaries report results as of the last Saturday of the period. The change in the consolidation date for our Europe segment had a favorable impact of $19 million on net revenues and $3 million on operating income for the three and nine months ended September 30, 2013. | |||||||||||||||||||||||||
New Accounting Pronouncements: | |||||||||||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued an accounting standards update (“ASU”) on revenue recognition from contracts with customers. The new ASU outlines a new, single comprehensive model for companies to use in accounting for revenue. The core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to a customer in an amount that reflects the consideration the entity expects to be entitled to receive in exchange for the goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows from customer contracts, including significant judgments made in recognizing revenue. The guidance is effective for annual reporting periods beginning after December 15, 2016, with early adoption prohibited. The ASU may be applied retrospectively to historical periods presented or as a cumulative-effect adjustment as of the date of adoption. We will adopt the new standard on January 1, 2017 and are currently assessing the impact of the new standard on our consolidated financial statements. | |||||||||||||||||||||||||
In April 2014, the FASB issued an accounting standards update on the reporting of discontinued operations. The guidance changed the definition of a discontinued operation to include dispositions that represent a strategic shift and have a major effect on operations and financial results. Strategic shifts may include the disposal of operations in a major geographical area, a major line of business, a major investment accounted for under the equity method or other major parts of an entity. For disposals that qualify, additional disclosures, including cash flow and balance sheet information for the discontinued operation, will be required. The guidance is effective for fiscal years and interim reporting periods beginning on or after December 15, 2014, with early adoption permitted. We will apply these provisions to prospective divestitures beginning in 2015, including the planned coffee business transactions. Please see Note 2, Divestitures and Acquisition – Planned Coffee Business Transactions, for additional information. |
Divestitures_and_Acquisition
Divestitures and Acquisition | 9 Months Ended |
Sep. 30, 2014 | |
Divestitures and Acquisition | ' |
Note 2. Divestitures and Acquisition | |
Planned Coffee Business Transactions: | |
On May 7, 2014, we announced that we entered into an agreement to combine our wholly owned coffee portfolio (outside of France) with D.E Master Blenders 1753 B.V. In conjunction with this transaction, Acorn Holdings B.V. (“AHBV”), owner of D.E Master Blenders 1753, has made a binding offer to receive our coffee business in France. The parties have also invited our partners in certain joint ventures to join the new company. The transactions remain subject to regulatory approvals and the completion of employee information and consultation requirements. | |
Upon completion of all proposed transactions, we will receive cash of approximately €4 billion and a 49 percent equity interest in the new company, to be called Jacobs Douwe Egberts. AHBV will hold a majority share in the proposed combined company and will have a majority of the seats on the board, which will be chaired by current D.E Master Blenders 1753 Chairman Bart Becht. AHBV is owned by an investor group led by JAB Holding Company s.à r.l. We will have certain minority rights. | |
The transactions are expected to be completed in the course of 2015, subject to closing conditions, including regulatory approvals. During this time, we and D.E Master Blenders 1753 will undertake consultations with all Works Councils and employee representatives as required in connection with the transactions. | |
Expenses related to readying the businesses for the planned transactions have been incurred. Within selling, general and administrative expenses, incremental costs were $10 million in the three months and $15 million in the nine months ended September 30, 2014 and were incurred primarily in our Europe segment. Within interest and other expense / (income), we also recorded unrealized gains of $420 million in the three months and $413 million in the nine months ended September 30, 2014 in connection with currency exchange forward contracts entered into to hedge the expected cash receipt of €4 billion upon closing. Also refer to Note 9, Financial Instruments, for additional information. | |
Spin-Off Costs following Kraft Foods Group Divestiture: | |
On October 1, 2012, we completed the Spin-Off of our North American grocery business, Kraft Foods Group, Inc. (“Kraft Foods Group”), to our shareholders (the “Spin-Off”). Following the Spin-Off, Kraft Foods Group is an independent public company and we do not beneficially own any shares of Kraft Foods Group common stock. We continue to incur primarily Spin-Off transition costs, and historically we have incurred Spin-Off transaction, transition and financing and related costs (“Spin-Off Costs”) in our operating results. Within selling, general and administrative expenses, we recorded $4 million of pre-tax Spin-Off Costs in the three months and $23 million in the nine months ended September 30, 2014 and $9 million in the three months and $33 million in the nine months ended September 30, 2013. In fiscal year 2014, we expect to incur approximately $30 million of Spin-Off Costs related primarily to customer service and logistics, information systems and processes, as well as legal costs associated with revising intellectual property and other long-term agreements. | |
Acquisition and Other Divestitures: | |
During the three months ended June 30, 2013, we completed two divestitures within our EEMEA segment which generated cash proceeds of $48 million during the quarter and pre-tax gains of $6 million. The divestitures included a salty snacks business in Turkey and a confectionery business in South Africa. The aggregate operating results of these divestitures were not material to our condensed consolidated financial statements during the periods presented. | |
On February 22, 2013, we acquired the remaining interest in a biscuit operation in Morocco, which is now a wholly-owned subsidiary within our EEMEA segment. We paid net cash consideration of $119 million, consisting of $155 million purchase price net of cash acquired of $36 million. Prior to the acquisition, our interest in the operation was accounted for under the equity method. As a result of obtaining a controlling interest, we consolidated the operation and upon finalizing the valuation of the acquired net assets, as of December 31, 2013, we had recorded the fair value of acquired assets (including identifiable intangible assets of $48 million), the liabilities assumed and goodwill of $209 million. During the three months ended March 31, 2013, we also recorded a pre-tax gain of $22 million related to the remeasurement of our previously-held equity interest in the operation to fair value in accordance with U.S. GAAP and acquisition costs of $7 million in interest and other expense / (income) and selling, general and administrative expenses. We recorded integration charges of $3 million for the nine months ended September 30, 2014 and $1 million for the nine months ended September 30, 2013 within selling, general and administrative expenses. |
Inventories
Inventories | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventories | ' | ||||||||
Note 3. Inventories | |||||||||
Inventories at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Raw materials | $ | 1,324 | $ | 1,165 | |||||
Finished product | 2,798 | 2,578 | |||||||
Inventories, net | $ | 4,122 | $ | 3,743 | |||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment | ' | ||||||||
Note 4. Property, Plant and Equipment | |||||||||
Property, plant and equipment at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Land and land improvements | $ | 557 | $ | 617 | |||||
Buildings and building improvements | 3,182 | 3,270 | |||||||
Machinery and equipment | 12,112 | 12,351 | |||||||
Construction in progress | 1,620 | 1,376 | |||||||
17,471 | 17,614 | ||||||||
Accumulated depreciation | (7,319 | ) | (7,367 | ) | |||||
Property, plant and equipment, net | $ | 10,152 | $ | 10,247 | |||||
In connection with our 2012-2014 Restructuring Program (see Note 6, Restructuring Programs), we recorded non-cash asset write-downs, including accelerated depreciation of $74 million in the nine months ended September 30, 2014 and $32 million in the nine months ended September 30, 2013. These charges were recorded in the condensed consolidated statements of earnings within asset impairment and exit costs and arose from restructuring activities further described in Note 6, Restructuring Programs – 2012-2014 Restructuring Program. |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Goodwill and Intangible Assets | ' | ||||||||
Note 5. Goodwill and Intangible Assets | |||||||||
Goodwill by reportable segment at September 30, 2014 and December 31, 2013 was: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Latin America | $ | 1,223 | $ | 1,262 | |||||
Asia Pacific | 2,497 | 2,504 | |||||||
EEMEA | 2,286 | 2,764 | |||||||
Europe | 9,386 | 10,026 | |||||||
North America | 9,007 | 9,041 | |||||||
Goodwill | $ | 24,399 | $ | 25,597 | |||||
Intangible assets at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Non-amortizable intangible assets | $ | 19,460 | $ | 20,067 | |||||
Amortizable intangible assets | 2,652 | 2,852 | |||||||
22,112 | 22,919 | ||||||||
Accumulated amortization | (1,002 | ) | (925 | ) | |||||
Intangible assets, net | $ | 21,110 | $ | 21,994 | |||||
Non-amortizable intangible assets consist principally of brand names purchased through our acquisitions of Nabisco Holdings Corp., the Spanish and Portuguese operations of United Biscuits, the global LU biscuit business of Groupe Danone S.A. and Cadbury Limited. Amortizable intangible assets consist primarily of trademarks, customer-related intangibles, process technology, licenses and non-compete agreements. At September 30, 2014, the weighted-average life of our amortizable intangible assets was 13.4 years. | |||||||||
Amortization expense for intangible assets was $48 million for the three months and $157 million for the nine months ended September 30, 2014 and $55 million for the three months and $164 million for the nine months ended September 30, 2013. We currently estimate annual amortization expense for each of the next five years to be approximately $200 million. | |||||||||
During our 2013 review of non-amortizable intangible assets, there were no impairments identified; however, we noted seven brands with $511 million of aggregate book value as of December 31, 2013 that each had a fair value in excess of book value of 10% or less. While these intangible assets passed our annual impairment testing and we believe our current plans for each of these brands will allow them to continue to not be impaired, if expectations are not met or specific valuation factors outside of our control, such as discount rates, change significantly, then a brand or brands might become impaired in the future. | |||||||||
Changes in goodwill and intangible assets consisted of: | |||||||||
Intangible | |||||||||
Goodwill | Assets, at Cost | ||||||||
(in millions) | |||||||||
Balance at January 1, 2014 | $ | 25,597 | $ | 22,919 | |||||
Changes due to: | |||||||||
Currency | (1,248 | ) | (808 | ) | |||||
Other | 50 | 1 | |||||||
Balance at September 30, 2014 | $ | 24,399 | $ | 22,112 | |||||
Restructuring_Programs
Restructuring Programs | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Restructuring Programs | ' | ||||||||||||||||||||||||
Note 6. Restructuring Programs | |||||||||||||||||||||||||
2014-2018 Restructuring Program | |||||||||||||||||||||||||
On May 6, 2014, our Board of Directors approved a $3.5 billion restructuring program, comprised of approximately $2.5 billion in cash costs and $1 billion in non-cash costs (the “2014-2018 Restructuring Program”), and up to $2.2 billion of capital expenditures. The primary objective of the 2014-2018 Restructuring Program is to reduce our operating cost structure in both our supply chain and overhead costs. The program is intended primarily to cover severance as well as asset disposals and other manufacturing-related one-time costs. We expect to incur the majority of the program’s charges in 2015 and 2016 and to complete the program by year-end 2018. | |||||||||||||||||||||||||
Restructuring Costs: | |||||||||||||||||||||||||
We recorded restructuring charges for cash severance and related costs of $25 million in the three months and $26 million in the nine months ended September 30, 2014 within asset impairment and exit costs. | |||||||||||||||||||||||||
The activity for the 2014-2018 Restructuring Program liability, recorded within other current liabilities, for the nine months ended September 30, 2014 was: | |||||||||||||||||||||||||
Severance | Asset | Total | |||||||||||||||||||||||
and related | Write-downs | ||||||||||||||||||||||||
costs | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Liability balance, January 1, 2014 | $ | – | $ | – | $ | – | |||||||||||||||||||
Charges | 26 | – | 26 | ||||||||||||||||||||||
Cash spent | (2 | ) | – | (2 | ) | ||||||||||||||||||||
Liability balance, September 30, 2014 | $ | 24 | $ | – | $ | 24 | |||||||||||||||||||
Implementation Costs: | |||||||||||||||||||||||||
Implementation costs are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. These costs primarily relate to reorganizing our operations and facilities in connection with our supply chain reinvention program and other identified productivity and cost saving initiatives. The costs include incremental expenses related to the closure of facilities, costs to terminate certain contracts and the simplification of our information systems. We believe the disclosure of implementation costs provides readers of our financial statements with more information on the total costs of our 2014-2018 Restructuring Program. Within our continuing results of operations, we recorded implementation costs of $42 million in the three months and $51 million in the nine months ended September 30, 2014. We recorded these costs within cost of sales and general corporate expense within selling, general and administrative expenses. | |||||||||||||||||||||||||
Restructuring and Implementation Costs in Operating Income: | |||||||||||||||||||||||||
During the three and nine months ended September 30, 2014, we recorded restructuring and implementation costs related to the 2014-2018 Restructuring Program within operating income as follows: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | For the Nine Months Ended September 30, 2014 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 25 | $ | 7 | $ | 32 | $ | 26 | $ | 8 | $ | 34 | |||||||||||||
Asia Pacific | – | 4 | 4 | – | 4 | 4 | |||||||||||||||||||
EEMEA | – | 3 | 3 | – | 3 | 3 | |||||||||||||||||||
Europe | – | 14 | 14 | – | 14 | 14 | |||||||||||||||||||
North America | – | 1 | 1 | – | 1 | 1 | |||||||||||||||||||
Corporate(1) | – | 13 | 13 | – | 21 | 21 | |||||||||||||||||||
Total | $ | 25 | $ | 42 | $ | 67 | $ | 26 | $ | 51 | $ | 77 | |||||||||||||
-1 | Includes adjustment for rounding. | ||||||||||||||||||||||||
2012-2014 Restructuring Program | |||||||||||||||||||||||||
In 2012, our Board of Directors approved $1.5 billion of restructuring and related implementation costs (the “2012-2014 Restructuring Program”) reflecting primarily severance, asset disposals and other manufacturing-related one-time costs. The primary objective of the 2012-2014 Restructuring Program was to ensure that Mondelēz International and Kraft Foods Group were each set up to operate efficiently and execute on our respective business strategies upon separation and in the future. | |||||||||||||||||||||||||
Of the $1.5 billion of 2012-2014 Restructuring Program costs, we retained approximately $925 million and Kraft Foods Group retained the balance of the program. Since inception, we have incurred $765 million of our estimated $925 million total 2012-2014 Restructuring Program charges. | |||||||||||||||||||||||||
Restructuring Costs: | |||||||||||||||||||||||||
We recorded restructuring charges of $163 million in the three months and $259 million in the nine months ended September 30, 2014 and $43 million in the three months and $131 million in the nine months ended September 30, 2013 within asset impairment and exit costs. During the three months ended September 30, 2014, we recorded out-of-period accruals for $73 million of severance in connection with ongoing labor negotiations. | |||||||||||||||||||||||||
The activity for the 2012-2014 Restructuring Program liability for the nine months ended September 30, 2014 was: | |||||||||||||||||||||||||
Severance | Asset | Total | |||||||||||||||||||||||
and related | Write-downs | ||||||||||||||||||||||||
costs | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Liability balance, January 1, 2014 | $ | 68 | $ | – | $ | 68 | |||||||||||||||||||
Charges | 182 | 77 | 259 | ||||||||||||||||||||||
Cash spent | (110 | ) | – | (110 | ) | ||||||||||||||||||||
Non-cash settlements | – | (77 | ) | (77 | ) | ||||||||||||||||||||
Liability balance, September 30, 2014 | $ | 140 | $ | – | $ | 140 | |||||||||||||||||||
We spent $44 million in the three months and $110 million in the nine months ended September 30, 2014 in cash severance and related costs. We also recognized non-cash asset write-downs (including accelerated depreciation and asset impairments) totaling $53 million in the three months and $77 million in the nine months ended September 30, 2014. At September 30, 2014, our net restructuring liability was $140 million recorded within other current liabilities. | |||||||||||||||||||||||||
Implementation Costs: | |||||||||||||||||||||||||
Implementation costs are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. These costs primarily include costs to reorganize our operations and facilities, the discontinuance of certain product lines and the incremental expenses related to the closure of facilities, replicating our information systems infrastructure and reorganizing costs related to our sales function. We believe the disclosure of implementation costs provides readers of our financial statements with more information on the total costs of our 2012-2014 Restructuring Program. Within our continuing results of operations, we recorded implementation costs of $23 million in the three months and $66 million in the nine months ended September 30, 2014 and $20 million in the three months and $31 million in the nine months ended September 30, 2013. We recorded these costs within cost of sales and selling, general and administrative expenses primarily within our Europe, North America, Asia Pacific and EEMEA segments. | |||||||||||||||||||||||||
Restructuring and Implementation Costs in Operating Income: | |||||||||||||||||||||||||
During the three and nine months ended September 30, 2014 and 2013, we recorded restructuring and implementation costs related to the 2012-2014 Restructuring Program within operating income as follows: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | For the Nine Months Ended September 30, 2014 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 3 | $ | – | $ | 3 | $ | 7 | $ | 1 | $ | 8 | |||||||||||||
Asia Pacific | 27 | 1 | 28 | 28 | 1 | 29 | |||||||||||||||||||
EEMEA | 14 | – | 14 | 26 | 2 | 28 | |||||||||||||||||||
Europe | 85 | 14 | 99 | 128 | 42 | 170 | |||||||||||||||||||
North America | 34 | 7 | 41 | 70 | 20 | 90 | |||||||||||||||||||
Corporate(1) | – | 1 | 1 | – | – | – | |||||||||||||||||||
Total | $ | 163 | $ | 23 | $ | 186 | $ | 259 | $ | 66 | $ | 325 | |||||||||||||
For the Three Months Ended September 30, 2013 | For the Nine Months Ended September 30, 2013 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 9 | $ | – | $ | 9 | $ | 9 | $ | – | $ | 9 | |||||||||||||
Asia Pacific | – | – | – | – | – | – | |||||||||||||||||||
EEMEA | 3 | – | 3 | 7 | – | 7 | |||||||||||||||||||
Europe | 18 | 10 | 28 | 55 | 14 | 69 | |||||||||||||||||||
North America | 12 | 10 | 22 | 58 | 17 | 75 | |||||||||||||||||||
Corporate(1) | 1 | – | 1 | 2 | – | 2 | |||||||||||||||||||
Total | $ | 43 | $ | 20 | $ | 63 | $ | 131 | $ | 31 | $ | 162 | |||||||||||||
-1 | Includes adjustment for rounding. |
Integration_Program
Integration Program | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Integration Program | ' | ||||
Note 7. Integration Program | |||||
As a result of our combination with Cadbury Limited (formerly, Cadbury Plc or “Cadbury”) in 2010, we launched an integration program (the “Integration Program”) to combine the Cadbury operations with our operations and realize expected annual cost savings of approximately $750 million by the end of 2013 and revenue synergies from investments in distribution, marketing and product development. We achieved cost savings of approximately $800 million in 2012, a year ahead of schedule, and achieved our planned revenue synergies in 2013. Through the end of 2013, we incurred total integration charges of approximately $1.5 billion and completed incurring planned charges on the Integration Program. | |||||
We recorded reversals to the Integration Program charges of $1 million in the three months and $6 million in the nine months ended September 30, 2014 related to accruals no longer required. We recorded Integration Program charges of $36 million during the three months and $109 million during the nine months ended September 30, 2013 in selling, general and administrative expenses within our Europe, Asia Pacific, Latin America and EEMEA segments. Changes in the remaining Integration Program liability during the nine months ended September 30, 2014 were: | |||||
2014 | |||||
(in millions) | |||||
Balance at January 1 | $ | 145 | |||
Charges | (6 | ) | |||
Cash spent | (51 | ) | |||
Currency / other | (17 | ) | |||
Balance at September 30 | $ | 71 | |||
At September 30, 2014, $35 million of our net Integration Program liability was recorded within other current liabilities and $36 million, primarily related to leased facilities no longer in use, was recorded within other long-term liabilities. |
Debt
Debt | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Debt | ' | ||||||||||||||||
Note 8. Debt | |||||||||||||||||
Short-Term Borrowings: | |||||||||||||||||
At September 30, 2014 and December 31, 2013, our short-term borrowings and related weighted-average interest rates consisted of: | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Amount | Weighted- | Amount | Weighted- | ||||||||||||||
Outstanding | Average Rate | Outstanding | Average Rate | ||||||||||||||
(in millions) | (in millions) | ||||||||||||||||
Commercial paper | $ | 1,409 | 0.40% | $ | 1,410 | 0.40% | |||||||||||
Bank loans | 398 | 7.40% | 226 | 7.00% | |||||||||||||
Total short-term borrowings | $ | 1,807 | $ | 1,636 | |||||||||||||
As of September 30, 2014, the commercial paper issued and outstanding had between 1 and 80 days remaining to maturity. Bank loans include borrowings on primarily uncommitted credit lines maintained by some of our international subsidiaries to meet short-term working capital needs. | |||||||||||||||||
Borrowing Arrangements: | |||||||||||||||||
We maintain a revolving credit facility for general corporate purposes, including for working capital purposes and to support our commercial paper program. Our $4.5 billion five-year senior unsecured revolving credit facility expires on October 11, 2018. The revolving credit agreement includes a covenant that we maintain a minimum shareholders’ equity of at least $24.6 billion, excluding accumulated other comprehensive earnings / (losses) and the cumulative effects of any changes in accounting principles. At September 30, 2014, we met the covenant as our shareholders’ equity as defined by the covenant was $35.4 billion. The revolving credit facility agreement also contains customary representations, covenants and events of default. There are no credit rating triggers, provisions or other financial covenants that could require us to post collateral as security. As of September 30, 2014, no amounts were drawn on the facility. | |||||||||||||||||
Long-Term Debt: | |||||||||||||||||
On February 19, 2014, $500 million of our 6.75% U.S. dollar notes matured. The notes and accrued interest to date were paid with cash on hand and the issuance of commercial paper. | |||||||||||||||||
On February 6, 2014, we completed a cash tender offer and retired $1.56 billion of our long-term U.S. dollar debt consisting of: | |||||||||||||||||
• | $393 million of our 7.000% Notes due in August 2037 | ||||||||||||||||
• | $382 million of our 6.875% Notes due in February 2038 | ||||||||||||||||
• | $250 million of our 6.875% Notes due in January 2039 | ||||||||||||||||
• | $535 million of our 6.500% Notes due in February 2040 | ||||||||||||||||
We financed the repurchase of these notes, including the payment of accrued interest and other costs incurred, from net proceeds received from the $3.0 billion notes issuance on January 16, 2014. In connection with retiring this debt, during the first six months of 2014, we recorded a $493 million loss on extinguishment of debt within interest expense related to the amount we paid to retire the debt in excess of its carrying value and from recognizing unamortized discounts and deferred financing costs in earnings at the time of the debt extinguishment. The loss on extinguishment is included in long-term debt repayments in the 2014 consolidated statement of cash flows. We also recognized $2 million in interest expense related to interest rate cash flow hedges that were deferred in accumulated other comprehensive losses and recognized into earnings over the life of the debt. Upon extinguishing the debt, the deferred cash flow hedge amounts were recorded in earnings. | |||||||||||||||||
On January 16, 2014, we issued $3.0 billion of U.S. dollar notes, consisting of: | |||||||||||||||||
• | $400 million of floating rate notes that bear interest at a rate equal to three-month LIBOR plus 0.52% and mature on February 1, 2019 | ||||||||||||||||
• | $850 million of 2.250% fixed rate notes that mature on February 1, 2019 | ||||||||||||||||
• | $1,750 million of 4.000% fixed rate notes that mature on February 1, 2024 | ||||||||||||||||
We received net proceeds of $2,982 million that were used to fund the February 2014 tender offer, pay down commercial paper borrowings and for other general corporate purposes. We recorded approximately $18 million of discounts and deferred financing costs, which will be amortized into interest expense over the life of the notes. | |||||||||||||||||
Our weighted-average interest rate on our total debt was 4.3% as of September 30, 2014. Our weighted-average interest rate on our total debt as of December 31, 2013 was 4.8%, down from 5.8% as of December 31, 2012. | |||||||||||||||||
Fair Value of Our Debt: | |||||||||||||||||
The fair value of our short-term borrowings at September 30, 2014 and December 31, 2013 reflects current market interest rates and approximates the amounts we have recorded on our condensed consolidated balance sheet. The fair value of our long-term debt was determined using quoted prices in active markets (Level 1 valuation data) for the publicly traded debt obligations. At September 30, 2014, the aggregate fair value of our total debt was $19,522 million and its carrying value was $17,879 million. At December 31, 2013, the aggregate fair value of our total debt was $18,835 million and its carrying value was $17,121 million. | |||||||||||||||||
Interest and Other Expense / (Income): | |||||||||||||||||
Interest and other expense / (income) within our results of continuing operations consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Interest expense, debt | $ | 188 | $ | 257 | $ | 582 | $ | 783 | |||||||||
Loss on debt extinguishment and related expenses | – | – | 495 | – | |||||||||||||
Unrealized gain on planned coffee business divestiture currency hedge | (420 | ) | – | (413 | ) | – | |||||||||||
Benefit from indemnification resolution | – | (49 | ) | – | (49 | ) | |||||||||||
Other expense / (income), net | 5 | 10 | 53 | (2 | ) | ||||||||||||
Interest and other expense / (income) | $ | (227 | ) | $ | 218 | $ | 717 | $ | 732 | ||||||||
See Note 2, Divestitures and Acquisition, and Note 9, Financial Instruments, for information on the currency exchange forward contracts associated with the planned coffee business transactions and Note 12, Commitments and Contingencies, for information on the benefit from the resolution of the Cadbury acquisition-related indemnification. |
Financial_Instruments
Financial Instruments | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||
Financial Instruments | ' | ||||||||||||||||||
Note 9. Financial Instruments | |||||||||||||||||||
Derivative instruments were recorded at fair value in the condensed consolidated balance sheets as of September 30, 2014 and December 31, 2013 as follows: | |||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||
Asset | Liability | Asset | Liability | ||||||||||||||||
Derivatives | Derivatives | Derivatives | Derivatives | ||||||||||||||||
(in millions) | |||||||||||||||||||
Derivatives designated as | |||||||||||||||||||
hedging instruments: | |||||||||||||||||||
Currency exchange contracts | $ | 58 | $ | – | $ | 3 | $ | 11 | |||||||||||
Commodity contracts | 12 | 26 | 2 | 3 | |||||||||||||||
Interest rate contracts | 56 | – | 209 | – | |||||||||||||||
$ | 126 | $ | 26 | $ | 214 | $ | 14 | ||||||||||||
Derivatives not designated as | |||||||||||||||||||
hedging instruments: | |||||||||||||||||||
Currency exchange contracts | $ | 535 | $ | 12 | $ | 84 | $ | 8 | |||||||||||
Commodity contracts | 157 | 138 | 60 | 51 | |||||||||||||||
Interest rate contracts | 53 | 32 | 64 | 38 | |||||||||||||||
$ | 745 | $ | 182 | $ | 208 | $ | 97 | ||||||||||||
Total fair value | $ | 871 | $ | 208 | $ | 422 | $ | 111 | |||||||||||
We record derivative assets and liabilities on a gross basis in our condensed consolidated balance sheets. The fair value of our asset derivatives is recorded within other current assets and the fair value of our liability derivatives is recorded within other current liabilities. See our consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 31, 2013 for additional information on our risk management strategies and use of derivatives and related accounting. | |||||||||||||||||||
The fair values (asset / (liability)) of our derivative instruments at September 30, 2014 were determined using: | |||||||||||||||||||
Quoted Prices in | |||||||||||||||||||
Active Markets | Significant | Significant | |||||||||||||||||
Total | for Identical | Other Observable | Unobservable | ||||||||||||||||
Fair Value of Net | Assets | Inputs | Inputs | ||||||||||||||||
Asset / (Liability) | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts | $ | 581 | $ | – | $ | 581 | $ | – | |||||||||||
Commodity contracts | 5 | (10 | ) | 15 | – | ||||||||||||||
Interest rate contracts | 77 | – | 77 | – | |||||||||||||||
Total derivatives | $ | 663 | $ | (10 | ) | $ | 673 | $ | – | ||||||||||
The fair values (asset / (liability)) of our derivative instruments at December 31, 2013 were determined using: | |||||||||||||||||||
Quoted Prices in | |||||||||||||||||||
Active Markets | Significant | Significant | |||||||||||||||||
Total | for Identical | Other Observable | Unobservable | ||||||||||||||||
Fair Value of Net | Assets | Inputs | Inputs | ||||||||||||||||
Asset / (Liability) | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts | $ | 68 | $ | – | $ | 68 | $ | – | |||||||||||
Commodity contracts | 8 | (4 | ) | 12 | – | ||||||||||||||
Interest rate contracts | 235 | – | 235 | – | |||||||||||||||
Total derivatives | $ | 311 | $ | (4 | ) | $ | 315 | $ | – | ||||||||||
Level 1 financial assets and liabilities consist of exchange-traded commodity futures and listed options. The fair value of these instruments is determined based on quoted market prices on commodity exchanges. Our exchange-traded derivatives are generally subject to master netting arrangements that permit net settlement of transactions with the same counterparty when certain criteria are met, such as in the event of default. We also are required to maintain cash margin accounts in connection with funding the settlement of our open positions and the margin requirements generally fluctuate daily based on market conditions. We have recorded margin deposits related to our exchange-traded derivatives of $47 million as of September 30, 2014 and $22 million as of December 31, 2013 within other current assets. Based on our net asset or liability positions with individual counterparties, in the event of default and immediate net settlement of all of our open positions, as of September 30, 2014, our counterparties would owe us a total of $38 million, and as of December 31, 2013, our counterparties would owe us a total of $7 million. | |||||||||||||||||||
Level 2 financial assets and liabilities consist primarily of over-the-counter (“OTC”) currency exchange forwards, options and swaps; commodity forwards and options; and interest rate swaps. Our currency exchange contracts are valued using an income approach based on observable market forward rates less the contract rate multiplied by the notional amount. Commodity derivatives are valued using an income approach based on the observable market commodity index prices less the contract rate multiplied by the notional amount or based on pricing models that rely on market observable inputs such as commodity prices. Our calculation of the fair value of interest rate swaps is derived from a discounted cash flow analysis based on the terms of the contract and the observable market interest rate curve. Our calculation of the fair value of financial instruments takes into consideration the risk of nonperformance, including counterparty credit risk. Our OTC derivative transactions are governed by International Swap Dealers Association (“ISDA”) agreements and other standard industry contracts. Under these agreements, we do not post nor require collateral from our counterparties. The majority of our commodity OTC derivatives do not have a legal right of set-off. In connection with our OTC derivatives that could be net-settled in the event of default, assuming all parties were to fail to comply with the terms of the agreements, for derivatives we have in a net liability position, we would owe $37 million as of September 30, 2014 and $47 million as of December 31, 2013, and for derivatives we have in a net asset position, our counterparties would owe us a total of $702 million as of September 30, 2014 and $349 million as of December 31, 2013. We manage the credit risk in connection with these and all our derivatives by entering into transactions with counterparties with investment grade credit ratings, limiting the amount of exposure with each counterparty and monitoring the financial condition of our counterparties. | |||||||||||||||||||
Derivative Volume: | |||||||||||||||||||
The net notional values of our derivative instruments as of September 30, 2014 and December 31, 2013 were: | |||||||||||||||||||
Notional Amount | |||||||||||||||||||
September 30, | December 31, | ||||||||||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts: | |||||||||||||||||||
Intercompany loans and forecasted interest payments | $ | 5,514 | $ | 4,369 | |||||||||||||||
Forecasted transactions | 7,039 | 2,565 | |||||||||||||||||
Commodity contracts | 1,225 | 805 | |||||||||||||||||
Interest rate contracts | 4,000 | 2,273 | |||||||||||||||||
Net investment hedge – euro notes | 4,105 | 4,466 | |||||||||||||||||
Net investment hedge – pound sterling notes | 1,054 | 1,076 | |||||||||||||||||
Cash Flow Hedges: | |||||||||||||||||||
Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings / (losses) included: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Accumulated gain / (loss) at beginning of period | $ | 44 | $ | 72 | $ | 117 | $ | (38 | ) | ||||||||||
Transfer of realized losses / (gains) in fair value to earnings | (17 | ) | 6 | (20 | ) | 38 | |||||||||||||
Unrealized gain / (loss) in fair value | 47 | 4 | (23 | ) | 82 | ||||||||||||||
Accumulated gain / (loss) at end of period | $ | 74 | $ | 82 | $ | 74 | $ | 82 | |||||||||||
After-tax gains / (losses) reclassified from accumulated other comprehensive earnings / (losses) into net earnings were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts – forecasted transactions | $ | 12 | $ | (6 | ) | $ | 8 | $ | (18 | ) | |||||||||
Commodity contracts | 5 | – | 14 | (19 | ) | ||||||||||||||
Interest rate contracts | – | – | (2 | ) | (1 | ) | |||||||||||||
Total | $ | 17 | $ | (6 | ) | $ | 20 | $ | (38 | ) | |||||||||
After-tax gains / (losses) recognized in other comprehensive earnings / (losses) were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts – forecasted transactions | $ | 58 | $ | (16 | ) | $ | 65 | $ | (12 | ) | |||||||||
Commodity contracts | 7 | 7 | 10 | (1 | ) | ||||||||||||||
Interest rate contracts | (18 | ) | 13 | (98 | ) | 95 | |||||||||||||
Total | $ | 47 | $ | 4 | $ | (23 | ) | $ | 82 | ||||||||||
Cash flow hedge ineffectiveness and amounts excluded from effectiveness testing were not material for all periods presented. | |||||||||||||||||||
We record pre-tax (i) gains or losses reclassified from accumulated other comprehensive earnings / (losses) into earnings, (ii) gains or losses on ineffectiveness, and (iii) gains or losses on amounts excluded from effectiveness testing in: | |||||||||||||||||||
• | cost of sales for commodity contracts; | ||||||||||||||||||
• | cost of sales for currency exchange contracts related to forecasted transactions; and | ||||||||||||||||||
• | interest and other expense / (income) for interest rate contracts and currency exchange contracts related to intercompany loans. | ||||||||||||||||||
Based on current market conditions, we would expect to transfer unrealized losses of $2 million (net of taxes) for commodity cash flow hedges, unrealized gains of $48 million (net of taxes) for currency cash flow hedges and unrealized losses of less than $1 million (net of taxes) for interest rate cash flow hedges to earnings during the next 12 months. | |||||||||||||||||||
Hedge Coverage: | |||||||||||||||||||
As of September 30, 2014, we hedged transactions forecasted to impact cash flows over the following periods: | |||||||||||||||||||
• | commodity transactions for periods not exceeding the next 15 months; | ||||||||||||||||||
• | interest rate transactions for periods not exceeding the next 31 years and 5 months; and | ||||||||||||||||||
• | currency exchange transactions for periods not exceeding the next 15 months. | ||||||||||||||||||
Fair Value Hedges: | |||||||||||||||||||
Pre-tax gains / (losses) due to changes in fair value of our interest rate swaps and related hedged long-term debt were recorded in interest and other expense / (income): | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Derivatives | $ | (13 | ) | $ | – | $ | 1 | $ | – | ||||||||||
Borrowings | 13 | – | (1 | ) | – | ||||||||||||||
Fair value hedge ineffectiveness and amounts excluded from effectiveness testing were not material for all periods presented. | |||||||||||||||||||
Economic Hedges: | |||||||||||||||||||
Pre-tax gains / (losses) recorded in net earnings for economic hedges which are not designated as hedging instruments were: | |||||||||||||||||||
Location of | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | Gain / (Loss) | |||||||||||||||||
September 30, | September 30, | Recognized | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | in Earnings | |||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts: | |||||||||||||||||||
Intercompany loans and forecasted interest payments | $ | 4 | $ | 4 | $ | 5 | $ | 7 | Interest expense | ||||||||||
Forecasted purchases | 29 | 10 | (11 | ) | 36 | Cost of sales | |||||||||||||
Forecasted transactions | 419 | – | 405 | – | Interest and other | ||||||||||||||
expense / (income) | |||||||||||||||||||
Forecasted transactions | (4 | ) | (2 | ) | (7 | ) | 1 | Selling, general and | |||||||||||
administrative | |||||||||||||||||||
expenses | |||||||||||||||||||
Interest rate contracts | (1 | ) | 2 | – | – | Interest expense | |||||||||||||
Commodity contracts | 12 | 28 | 82 | 62 | Cost of sales | ||||||||||||||
Total | $ | 459 | $ | 42 | $ | 474 | $ | 106 | |||||||||||
In connection with the planned coffee business transactions, we entered into euro to U.S. dollar currency exchange forward contracts to hedge an expected cash receipt of €4 billion upon closing. As the forward contracts relate to a pending business divestiture, unrealized gains and losses on the derivative are recorded in earnings. We recorded a $420 million unrealized gain in the three months and a $413 million unrealized gain in the nine months ended September 30, 2014 within interest and other expense / (income) in connection with the forward contracts as the U.S. dollar strengthened relative to the euro. | |||||||||||||||||||
Hedges of Net Investments in International Operations: | |||||||||||||||||||
After-tax gains / (losses) related to hedges of net investments in international operations in the form of euro and pound sterling-denominated debt were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | Location of | |||||||||||||||||
Gain / (Loss) | |||||||||||||||||||
September 30, | September 30, | Recognized in | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | AOCI | |||||||||||||||
(in millions) | |||||||||||||||||||
Euro notes | $ | 219 | $ | (28 | ) | $ | 219 | $ | (18 | ) | Currency Translation | ||||||||
Pound sterling notes | 37 | (40 | ) | 14 | 3 | Adjustment |
Benefit_Plans
Benefit Plans | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Benefit Plans | ' | ||||||||||||||||
Note 10. Benefit Plans | |||||||||||||||||
Pension Plans | |||||||||||||||||
Components of Net Periodic Pension Cost: | |||||||||||||||||
Net periodic pension cost for the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
U.S. Plans | Non-U.S. Plans | ||||||||||||||||
For the Three Months Ended September 30, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 14 | $ | 17 | $ | 47 | $ | 44 | |||||||||
Interest cost | 16 | 15 | 99 | 88 | |||||||||||||
Expected return on plan assets | (21 | ) | (16 | ) | (123 | ) | (108 | ) | |||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 7 | 14 | 26 | 34 | |||||||||||||
Prior service cost | – | 1 | – | – | |||||||||||||
Settlement losses / (gains) (1) | 14 | (3 | ) | (5 | ) | 1 | |||||||||||
Net periodic pension cost | $ | 30 | $ | 28 | $ | 44 | $ | 59 | |||||||||
U.S. Plans | Non-U.S. Plans | ||||||||||||||||
For the Nine Months Ended September 30, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 42 | $ | 53 | $ | 136 | $ | 130 | |||||||||
Interest cost | 49 | 45 | 296 | 265 | |||||||||||||
Expected return on plan assets | (61 | ) | (50 | ) | (371 | ) | (323 | ) | |||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 22 | 41 | 80 | 102 | |||||||||||||
Prior service cost | 1 | 2 | 1 | 1 | |||||||||||||
Settlement losses(1) | 20 | 2 | 5 | 1 | |||||||||||||
Net periodic pension cost | $ | 73 | $ | 93 | $ | 147 | $ | 176 | |||||||||
-1 | Includes settlement losses of $2 million in the three and nine months ended September 30, 2014 and $3 million in the three months and $12 million in the nine months ended September 30, 2013 related to employees who elected to take lump-sum payments in connection with our 2012-2014 Restructuring Program. These costs are reflected within asset impairments and exit costs on the condensed consolidated statement of earnings and within the charges for severance and related costs in Note 6, Restructuring Programs – 2012-2014 Restructuring Program. In the nine months ended September 30, 2013, these were partially offset by $21 million of gains due to improvements in current market rates for routine settlement losses. | ||||||||||||||||
Employer Contributions: | |||||||||||||||||
We make contributions to our U.S. and non-U.S. pension plans primarily to the extent that they are tax deductible and do not generate an excise tax liability. During the nine months ended September 30, 2014, we contributed $6 million to our U.S. plans and $242 million to our non-U.S. plans. Based on current tax law, we plan to make further contributions of approximately $4 million to our U.S. plans and approximately $67 million to our non-U.S. plans during the remainder of 2014. However, our actual contributions may differ due to many factors, including changes in tax and other benefit laws or significant differences between expected and actual pension asset performance or interest rates. | |||||||||||||||||
Postretirement Benefit Plans | |||||||||||||||||
Net postretirement health care costs during the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 4 | $ | 4 | $ | 10 | $ | 12 | |||||||||
Interest cost | 5 | 5 | 16 | 14 | |||||||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 1 | 2 | 4 | 8 | |||||||||||||
Prior service credit | (3 | ) | (3 | ) | (8 | ) | (9 | ) | |||||||||
Net postretirement health care costs | $ | 7 | $ | 8 | $ | 22 | $ | 25 | |||||||||
Postemployment Benefit Plans | |||||||||||||||||
Net postemployment costs during the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 2 | $ | 2 | $ | 6 | $ | 6 | |||||||||
Interest cost | 2 | 1 | 5 | 4 | |||||||||||||
Net postemployment costs | $ | 4 | $ | 3 | $ | 11 | $ | 10 | |||||||||
Stock_Plans
Stock Plans | 9 Months Ended |
Sep. 30, 2014 | |
Stock Plans | ' |
Note 11. Stock Plans | |
On May 21, 2014, our shareholders approved the Amended and Restated 2005 Performance Incentive Plan (the “2005 Plan”). Under the amended plan, we now make grants to non-employee directors under the 2005 Plan, and we will no longer make any grants under the Amended and Restated 2006 Stock Compensation Plan for Non-Employee Directors (the “2006 Directors Plan”). We also increased the number of shares available for issuance under the 2005 Plan by 75.7 million, which includes the shares remaining available for issuance under the 2006 Directors Plan as of March 14, 2014. Under the 2005 Plan, we are now authorized to issue a maximum of 243.7 million shares of our Common Stock. We may not make any grants under the 2005 Plan after May 21, 2024. As of September 30, 2014, there were 90.7 million shares available to be granted under the 2005 Plan. | |
Stock Options: | |
In February 2014, as part of our annual equity program, we granted 9.9 million stock options to eligible employees at an exercise price of $34.17 per share. During the nine months ended September 30, 2014, we granted 0.1 million of additional stock options with a weighted-average exercise price of $35.20 per share. In total, 10.0 million stock options were granted with a weighted-average exercise price of $34.18 per share. During the nine months ended September 30, 2014, 6.5 million stock options, with an intrinsic value of $98.4 million, were exercised. | |
Restricted and Deferred Stock: | |
In January 2014, in connection with our long-term incentive plan, we granted 1.2 million shares of restricted and deferred stock at a market value of $34.97 per share. In February 2014, as part of our annual equity program, we granted 2.0 million shares of restricted and deferred stock to eligible employees at a market value of $34.17 per share. During the nine months ended September 30, 2014, we issued 0.8 million of additional restricted and deferred shares with a weighted-average market value of $32.62 per share. In total, 4.0 million restricted and deferred shares were issued with a weighted-average market value of $34.08 per share. During the nine months ended September 30, 2014, 4.0 million shares of restricted and deferred stock vested with a market value on the vesting date of $137.6 million. | |
Share Repurchase Program: | |
During 2013, our Board of Directors authorized the repurchase of $7.7 billion of our Common Stock through December 31, 2016. Repurchases under the program are determined by management and are wholly discretionary. During the nine months ended September 30, 2014, we repurchased 34.3 million shares of Common Stock at an average cost of $35.33 per share, or an aggregate cost of $1.2 billion, of which $1.0 billion was paid during the nine months ended September 30, 2014 and $0.2 billion was prepaid in December 2013 at the inception of an accelerated share repurchase program. All share repurchases were funded through available cash and commercial paper issuances. During 2013, we repurchased 82.8 million shares of Common Stock at an average cost of $33.09 per share, or an aggregate cost of $2.7 billion. As of September 30, 2014, we have $3.8 billion in remaining share repurchase capacity. | |
In December 2013, we initiated an accelerated share repurchase (“ASR”) program. On December 3, 2013, we paid $1.7 billion and received an initial delivery of 44.8 million shares of Common Stock valued at $1.5 billion. We increased treasury stock by $1.5 billion, and the remaining $0.2 billion was recorded against additional paid in capital. In May 2014, the ASR program concluded and we received an additional 5.1 million shares, valued at $0.2 billion, for a total of 49.9 million shares with an average repurchase price of $34.10 per share over the life of the ASR program. The final settlement was based on the volume-weighted average price of our Common Stock during the purchase period less a fixed per share discount. Upon conclusion of the ASR program and receipt of the remaining repurchased shares, the $0.2 billion recorded in additional paid in capital was reclassified to treasury stock. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies | ' |
Note 12. Commitments and Contingencies | |
Legal Proceedings: | |
We routinely are involved in legal proceedings, claims and governmental inspections or investigations (“Legal Matters”) arising in the ordinary course of our business. | |
A compliant and ethical corporate culture, which includes adhering to laws and industry regulations in all jurisdictions in which we do business, is integral to our success. Accordingly, after we acquired Cadbury in February 2010 we began reviewing and adjusting, as needed, Cadbury’s operations in light of applicable standards as well as our policies and practices. We initially focused on such high priority areas as food safety, the Foreign Corrupt Practices Act (“FCPA”) and antitrust. Based upon Cadbury’s pre-acquisition policies and compliance programs and our post-acquisition reviews, our preliminary findings indicated that Cadbury’s overall state of compliance was sound. Nonetheless, through our reviews, we determined that in certain jurisdictions, including India, there appeared to be facts and circumstances warranting further investigation. We are continuing our investigations in certain jurisdictions, including in India, and we continue to cooperate with governmental authorities. | |
As we previously disclosed, on February 1, 2011, we received a subpoena from the SEC in connection with an investigation under the FCPA, primarily related to a facility in India that we acquired in the Cadbury acquisition. The subpoena primarily requests information regarding dealings with Indian governmental agencies and officials to obtain approvals related to the operation of that facility. We are continuing to cooperate with the U.S. and Indian governments in their investigations of these matters, including through ongoing meetings with the U.S. government to discuss potential conclusion of the U.S. government investigation. | |
On February 28, 2013, Cadbury India Limited (now known as Mondelez India Foods Limited), a subsidiary of Mondelēz International, and other parties received a show cause notice from the Indian Department of Central Excise Authority (the “Excise Authority”). The notice calls upon the parties to demonstrate why the Excise Authority should not collect approximately $46 million of unpaid excise tax as well as approximately $46 million of penalties and interest related to production at the same Indian facility. Subsequently, the Excise Authority issued another show cause notice, dated March 3, 2014, on the same issue but covering the period February to December 2013, thereby adding approximately $20 million of unpaid excise taxes as well as approximately $20 million of penalties and interest to the amount claimed by the Excise Authority. The latest notice includes an accruing claim for excise as finished products leave the facility on an ongoing basis. We believe that the decision to claim the excise tax benefit is valid and we are contesting the show cause notice through the administrative and judicial process. | |
In April 2013, the staff of the Commodity Futures Trading Commission (“CFTC”) advised us and Kraft Foods Group that it was investigating activities related to the trading of December 2011 wheat futures contracts that occurred prior to the Spin-Off of Kraft Foods Group. We are cooperating with the staff in its investigation. In October 2014, the staff advised us that the CFTC intends to commence a formal action against us and Kraft Foods Group. We continue to try to resolve this matter prior to any formal action being taken. It is not possible to predict the outcome of this matter; however, based on our Separation and Distribution Agreement with Kraft Foods Group dated as of September 27, 2012, we expect to predominantly bear any monetary penalties or other payments that the CFTC may impose. | |
While we cannot predict with certainty the results of any Legal Matters in which we are currently involved, we do not expect that the ultimate costs to resolve any of these Legal Matters, individually or in the aggregate, will have a material effect on our financial results. | |
Third-Party Guarantees: | |
We enter into third-party guarantees primarily to cover the long-term obligations of our vendors. As part of these transactions, we guarantee that third parties will make contractual payments or achieve performance measures. At September 30, 2014, we had no material third-party guarantees recorded on our condensed consolidated balance sheet. | |
As part of our 2010 Cadbury acquisition, we became the responsible party for tax matters under the Cadbury Schweppes Plc and Dr Pepper Snapple Group, Inc. (“DPSG”) Tax Sharing and Indemnification Agreement dated May 1, 2008 (“Tax Indemnity”) for certain 2007 and 2008 transactions relating to the demerger of Cadbury’s Americas Beverage business. A U.S. federal tax audit of DPSG for the 2006-2008 tax years was concluded with the IRS in August 2013. As a result, we recorded a favorable impact of $336 million in selling, general and administrative expenses and $49 million in interest and other expense / (income) for a total pre-tax impact of $385 million ($363 million net of tax) in the three months ended September 30, 2013 due to the reversal of the accrued liability in excess of the amount we paid to DPSG under the Tax Indemnity in the third quarter of 2013. |
Reclassifications_from_Accumul
Reclassifications from Accumulated Other Comprehensive Earnings / (Losses) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Reclassifications from Accumulated Other Comprehensive Earnings / (Losses) | ' | ||||||||||||||||
Note 13. Reclassifications from Accumulated Other Comprehensive Earnings / (Losses) | |||||||||||||||||
The components of accumulated other comprehensive earnings / (losses) attributable to Mondelēz International were: | |||||||||||||||||
Currency | Pension and | Derivatives | Total | ||||||||||||||
Translation | Other Benefits | Accounted for | |||||||||||||||
Adjustments | as Hedges | ||||||||||||||||
(in millions) | |||||||||||||||||
Balances at January 1, 2014 | $ | (1,414 | ) | $ | (1,592 | ) | $ | 117 | $ | (2,889 | ) | ||||||
Other comprehensive earnings / (losses), | |||||||||||||||||
before reclassifications: | |||||||||||||||||
Currency translation adjustment(1) | (2,069 | ) | 90 | – | (1,979 | ) | |||||||||||
Pension and other benefits | – | 16 | – | 16 | |||||||||||||
Derivatives accounted for as hedges | 383 | – | (78 | ) | 305 | ||||||||||||
Losses / (gains) reclassified into | – | 125 | (22 | ) | 103 | ||||||||||||
net earnings | |||||||||||||||||
Tax (expense) / benefit | (150 | ) | (47 | ) | 57 | (140 | ) | ||||||||||
Total other comprehensive | (1,695 | ) | |||||||||||||||
earnings / (losses) | |||||||||||||||||
Balances at September 30, 2014 | $ | (3,250 | ) | $ | (1,408 | ) | $ | 74 | $ | (4,584 | ) | ||||||
-1 | The condensed consolidated statement of comprehensive earnings for the nine months ended September 30, 2014 includes $(19) million of currency translation adjustment attributable to noncontrolling interests. | ||||||||||||||||
Amounts reclassified from accumulated other comprehensive earnings / (losses) during the three and nine months ended September 30, 2014 and their locations in the condensed consolidated financial statements were as follows: | |||||||||||||||||
For the Three | For the Nine | Location of | |||||||||||||||
Months Ended | Months Ended | Gain / (Loss) | |||||||||||||||
September 30, | September 30, | Recognized | |||||||||||||||
2014 | 2014 | in Net Earnings | |||||||||||||||
(in millions) | |||||||||||||||||
Pension and other benefits: | |||||||||||||||||
Reclassification of losses / (gains) into net earnings: | |||||||||||||||||
Amortization of experience losses and | $ | 31 | $ | 100 | |||||||||||||
prior service costs (1) | |||||||||||||||||
Settlement losses(1) | 9 | 25 | |||||||||||||||
Tax impact | (26 | ) | (47 | ) | Provision for income taxes | ||||||||||||
Derivatives accounted for as hedges: | |||||||||||||||||
Reclassification of losses / (gains) into net earnings: | |||||||||||||||||
Currency exchange contracts – forecasted transactions | (13 | ) | (9 | ) | Cost of sales | ||||||||||||
Commodity contracts | (5 | ) | (16 | ) | Cost of sales | ||||||||||||
Interest rate contracts | – | 3 | Interest and other expense / | ||||||||||||||
(income) | |||||||||||||||||
Tax impact | 2 | 3 | Provision for income taxes | ||||||||||||||
Total reclassifications into net earnings, net of tax | $ | (2 | ) | $ | 59 | ||||||||||||
-1 | These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans. |
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Taxes | ' |
Note 14. Income Taxes | |
See Note 1, Basis of Presentation – Revision of Financial Statements, for information related to the revision of income taxes. During 2014, as part of our ongoing remediation efforts related to the material weakness in internal controls over the accounting for income taxes, we recorded out-of-period adjustments that had an immaterial impact on the provision for income taxes of $20 million for the three months and $15 million for the nine months ended September 30, 2014. The out-of-period adjustments were not material to the consolidated financial statements for any prior period. | |
Based on current tax laws, our estimated annual effective tax rate for 2014 is 21.2%, reflecting favorable impacts from the mix of pre-tax income in various non-U.S. tax jurisdictions, partially offset by the remeasurement of our Venezuelan net monetary assets. Our 2014 third quarter effective tax rate of 16.5% was favorably impacted by net tax benefits from $65 million of discrete one-time events. The discrete net tax benefits primarily related to $109 million from favorable tax audit settlements and expirations of statutes of limitations in several jurisdictions, partially offset by $20 million of out-of-period adjustments. Our effective tax rate for the nine months ended September 30, 2014 of 12.5% was due to net tax benefits from $169 million of discrete one-time events. The discrete net tax benefits primarily related to favorable tax audit settlements and expirations of statutes of limitations in several jurisdictions. | |
As of the third quarter of 2013, our estimated annual effective tax rate for 2013 was 20.0%, reflecting favorable impacts from the mix of pre-tax income in various non-U.S. tax jurisdictions. Our 2013 third quarter effective tax rate of 2.5% was favorably impacted by the non-taxable portion of the Cadbury acquisition-related indemnity resolution of $325 million and net tax benefits from $109 million of discrete one-time events. These discrete items primarily resulted from $88 million related to the revaluation of U.K. deferred tax assets and liabilities resulting from tax legislation enacted during the third quarter of 2013 and $45 million of net favorable tax audit settlements and expirations of statutes of limitations in several jurisdictions. Our effective tax rate for the nine months ended September 30, 2013 of 3.0% was favorably impacted by the non-taxable portion of the Cadbury acquisition-related indemnity resolution of $325 million and net tax benefits from $295 million of discrete one-time events. These discrete items primarily resulted from $177 million of net favorable tax audit settlements and expirations of statutes of limitations in several jurisdictions, $88 million related to the revaluation of U.K. deferred tax assets and liabilities resulting from tax legislation enacted during the third quarter of 2013 and $39 million associated with a business divestiture. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
Note 15. Earnings Per Share | |||||||||||||||||
Basic and diluted earnings per share (“EPS”) were calculated using the following: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions, except per share data) | |||||||||||||||||
Net earnings | $ | 902 | $ | 1,018 | $ | 1,694 | $ | 2,162 | |||||||||
Noncontrolling interest | 3 | 6 | 10 | 13 | |||||||||||||
Net earnings attributable to | $ | 899 | $ | 1,012 | $ | 1,684 | $ | 2,149 | |||||||||
Mondelēz International | |||||||||||||||||
Weighted-average shares for basic EPS | 1,688 | 1,779 | 1,695 | 1,783 | |||||||||||||
Plus incremental shares from assumed | 17 | 15 | 18 | 15 | |||||||||||||
conversions of stock options and | |||||||||||||||||
long-term incentive plan shares | |||||||||||||||||
Weighted-average shares for diluted EPS | 1,705 | 1,794 | 1,713 | 1,798 | |||||||||||||
Basic earnings per share attributable to | $ | 0.53 | $ | 0.57 | $ | 0.99 | $ | 1.21 | |||||||||
Mondelēz International: | |||||||||||||||||
Diluted earnings per share attributable to | $ | 0.53 | $ | 0.56 | $ | 0.98 | $ | 1.2 | |||||||||
Mondelēz International: | |||||||||||||||||
We exclude antidilutive Mondelēz International stock options from our calculation of weighted-average shares for diluted EPS. We excluded 9.7 million antidilutive stock options for the three months and 8.1 million antidilutive stock options for the nine months ended September 30, 2014 and we excluded 8.0 million antidilutive stock options for the three months and 9.7 million antidilutive stock options for the nine months ended September 30, 2013. |
Segment_Reporting
Segment Reporting | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Segment Reporting | ' | ||||||||||||||||||||||||
Note 16. Segment Reporting | |||||||||||||||||||||||||
Our operations, management structure and segments are organized into five reportable operating segments: | |||||||||||||||||||||||||
• | Latin America | ||||||||||||||||||||||||
• | Asia Pacific | ||||||||||||||||||||||||
• | EEMEA | ||||||||||||||||||||||||
• | Europe | ||||||||||||||||||||||||
• | North America | ||||||||||||||||||||||||
We manage the operations within Latin America, Asia Pacific and EEMEA by location and Europe and North America by product category. | |||||||||||||||||||||||||
We use segment operating income to evaluate segment performance and allocate resources. We believe it is appropriate to disclose this measure to help investors analyze segment performance and trends. Segment operating income excludes unrealized gains and losses on hedging activities (which are a component of cost of sales), general corporate expenses (which are a component of selling, general and administrative expenses), amortization of intangibles, the benefit from the Cadbury acquisition-related indemnification resolution (which is a component of selling, general and administrative expenses), gains and losses on divestitures or acquisitions and acquisition-related costs (which are a component of selling, general and administrative expenses) in all periods presented. We exclude these items from segment operating income in order to provide better transparency of our segment operating results. Furthermore, we centrally manage interest and other expense / (income). Accordingly, we do not present these items by segment because they are excluded from the segment profitability measure that management reviews. | |||||||||||||||||||||||||
Our segment net revenues and earnings were: | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||
Latin America | $ | 1,315 | $ | 1,308 | $ | 3,913 | $ | 4,045 | |||||||||||||||||
Asia Pacific | 1,153 | 1,136 | 3,460 | 3,743 | |||||||||||||||||||||
EEMEA | 894 | 948 | 2,740 | 2,850 | |||||||||||||||||||||
Europe | 3,215 | 3,295 | 10,151 | 10,026 | |||||||||||||||||||||
North America | 1,760 | 1,785 | 5,150 | 5,147 | |||||||||||||||||||||
Net revenues | $ | 8,337 | $ | 8,472 | $ | 25,414 | $ | 25,811 | |||||||||||||||||
Earnings before income taxes: | |||||||||||||||||||||||||
Operating income: | |||||||||||||||||||||||||
Latin America | $ | 120 | $ | 171 | $ | 304 | $ | 425 | |||||||||||||||||
Asia Pacific | 65 | 81 | 364 | 399 | |||||||||||||||||||||
EEMEA | 93 | 109 | 303 | 282 | |||||||||||||||||||||
Europe | 368 | 403 | 1,294 | 1,178 | |||||||||||||||||||||
North America | 272 | 279 | 744 | 643 | |||||||||||||||||||||
Unrealized gains / (losses) on | 39 | 12 | (8 | ) | 55 | ||||||||||||||||||||
hedging activities | |||||||||||||||||||||||||
General corporate expenses | (56 | ) | (74 | ) | (191 | ) | (219 | ) | |||||||||||||||||
Amortization of intangibles | (48 | ) | (55 | ) | (157 | ) | (164 | ) | |||||||||||||||||
Benefit from indemnification resolution | – | 336 | – | 336 | |||||||||||||||||||||
Gains on acquisition and divestitures, net | – | – | – | 28 | |||||||||||||||||||||
Acquisition-related costs | – | – | – | (2 | ) | ||||||||||||||||||||
Operating income | 853 | 1,262 | 2,653 | 2,961 | |||||||||||||||||||||
Interest and other (expense) / income | 227 | (218 | ) | (717 | ) | (732 | ) | ||||||||||||||||||
Earnings before income taxes | $ | 1,080 | $ | 1,044 | $ | 1,936 | $ | 2,229 | |||||||||||||||||
Items impacting our segment operating results are discussed in Note 1, Basis of Presentation, including the Venezuelan currency remeasurements, Note 2, Divestitures and Acquisition, Note 6, Restructuring Programs, Note 7, Integration Program, and Note 9, Financial Instruments. | |||||||||||||||||||||||||
Net revenues by consumer sector were: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 338 | $ | 294 | $ | 165 | $ | 724 | $ | 1,367 | $ | 2,888 | |||||||||||||
Chocolate | 253 | 408 | 287 | 1,214 | 75 | 2,237 | |||||||||||||||||||
Gum & Candy | 314 | 190 | 151 | 217 | 304 | 1,176 | |||||||||||||||||||
Beverages | 232 | 100 | 227 | 723 | – | 1,282 | |||||||||||||||||||
Cheese & Grocery | 178 | 161 | 64 | 337 | 14 | 754 | |||||||||||||||||||
Total net revenues | $ | 1,315 | $ | 1,153 | $ | 894 | $ | 3,215 | $ | 1,760 | $ | 8,337 | |||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 329 | $ | 285 | $ | 165 | $ | 750 | $ | 1,369 | $ | 2,898 | |||||||||||||
Chocolate | 253 | 378 | 294 | 1,224 | 83 | 2,232 | |||||||||||||||||||
Gum & Candy | 353 | 209 | 160 | 227 | 312 | 1,261 | |||||||||||||||||||
Beverages | 211 | 99 | 260 | 759 | – | 1,329 | |||||||||||||||||||
Cheese & Grocery | 162 | 165 | 69 | 335 | 21 | 752 | |||||||||||||||||||
Total net revenues | $ | 1,308 | $ | 1,136 | $ | 948 | $ | 3,295 | $ | 1,785 | $ | 8,472 | |||||||||||||
For the Nine Months Ended September 30, 2014 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 998 | $ | 898 | $ | 483 | $ | 2,269 | $ | 4,078 | $ | 8,726 | |||||||||||||
Chocolate | 833 | 1,155 | 751 | 3,804 | 188 | 6,731 | |||||||||||||||||||
Gum & Candy | 893 | 584 | 498 | 678 | 842 | 3,495 | |||||||||||||||||||
Beverages | 684 | 359 | 782 | 2,348 | – | 4,173 | |||||||||||||||||||
Cheese & Grocery | 505 | 464 | 226 | 1,052 | 42 | 2,289 | |||||||||||||||||||
Total net revenues | $ | 3,913 | $ | 3,460 | $ | 2,740 | $ | 10,151 | $ | 5,150 | $ | 25,414 | |||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 953 | $ | 1,028 | $ | 490 | $ | 2,231 | $ | 4,011 | $ | 8,713 | |||||||||||||
Chocolate | 901 | 1,190 | 806 | 3,680 | 214 | 6,791 | |||||||||||||||||||
Gum & Candy | 1,049 | 638 | 505 | 702 | 868 | 3,762 | |||||||||||||||||||
Beverages | 666 | 371 | 849 | 2,399 | – | 4,285 | |||||||||||||||||||
Cheese & Grocery | 476 | 516 | 200 | 1,014 | 54 | 2,260 | |||||||||||||||||||
Total net revenues | $ | 4,045 | $ | 3,743 | $ | 2,850 | $ | 10,026 | $ | 5,147 | $ | 25,811 | |||||||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Basis of Presentation | ' | ||||||||||||||||||||||||
The condensed consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries. | |||||||||||||||||||||||||
Our interim condensed consolidated financial statements are unaudited. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been omitted. It is management’s opinion that these financial statements include all normal and recurring adjustments necessary for a fair presentation of our financial position and operating results. Net revenues and net earnings for any interim period are not necessarily indicative of future or annual results. | |||||||||||||||||||||||||
We derived the condensed consolidated balance sheet data as of December 31, 2013 from audited financial statements, but do not include all disclosures required by U.S. GAAP. You should read these statements in conjunction with our consolidated financial statements and related notes in our Annual Report on Form 10-K for the year ended December 31, 2013. | |||||||||||||||||||||||||
Revision of Financial Statements | ' | ||||||||||||||||||||||||
Revision of Financial Statements: | |||||||||||||||||||||||||
In finalizing our 2013 results, we identified certain out-of-period, non-cash, income tax-related errors in prior interim and annual periods. These errors were not material to any previously reported financial results; however, we revised our 2013 interim and prior-year financial statements and accompanying notes in our Annual Report on Form 10-K for the year ended December 31, 2013, to reflect these items in the appropriate periods. The net effect of the revision was to lower tax expense in years prior to 2013. The impact of the revision for the nine months ended September 30, 2013 was a $59 million reduction of net earnings. The impact of the revision to fiscal years prior to 2013 was an increase in cumulative net earnings of $94 million. | |||||||||||||||||||||||||
We evaluated the cumulative impact of the errors on prior periods under the guidance in Accounting Standards Codification (“ASC”) 250-10, Accounting Changes and Error Corrections, and the guidance from the Securities and Exchange Commission (“SEC”) in Staff Accounting Bulletin (“SAB”) No. 99, Materiality. We also evaluated the impact of correcting the errors through an adjustment to our financial statements under the guidance in ASC 250-10 relating to SAB No. 108, Considering the Effects of Prior Year Misstatements When Quantifying Misstatements in Current Year Financial Statements. We concluded that these errors were not material, individually or in the aggregate, to any of the prior reporting periods and, therefore, amendments of previously filed reports were not required. | |||||||||||||||||||||||||
The effects of the revision on the condensed consolidated financial statements for the three and nine months ended September 30, 2013 are detailed below. | |||||||||||||||||||||||||
Condensed Consolidated Statement of Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||
Provision / (benefit) for | $ | 14 | $ | 12 | $ | 26 | $ | 8 | $ | 59 | $ | 67 | |||||||||||||
income taxes | |||||||||||||||||||||||||
Net earnings | 1,030 | (12 | ) | 1,018 | 2,221 | (59 | ) | 2,162 | |||||||||||||||||
Net earnings attributable to Mondelēz International | 1,024 | (12 | ) | 1,012 | 2,208 | (59 | ) | 2,149 | |||||||||||||||||
Net earnings attributable to Mondelēz International: | |||||||||||||||||||||||||
Per share, basic | $ | 0.58 | $ | (0.01 | ) | $ | 0.57 | $ | 1.24 | $ | (0.03 | ) | $ | 1.21 | |||||||||||
Per share, diluted | $ | 0.57 | $ | (0.01 | ) | $ | 0.56 | $ | 1.23 | $ | (0.03 | ) | $ | 1.2 | |||||||||||
Condensed Consolidated Statement of Comprehensive Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 1,030 | $ | (12 | ) | $ | 1,018 | $ | 2,221 | $ | (59 | ) | $ | 2,162 | |||||||||||
Translation adjustment | 778 | (4 | ) | 774 | (931 | ) | 3 | (928 | ) | ||||||||||||||||
Total other comprehensive earnings / (losses) | 868 | (4 | ) | 864 | (688 | ) | 3 | (685 | ) | ||||||||||||||||
Comprehensive earnings | 1,898 | (16 | ) | 1,882 | 1,533 | (56 | ) | 1,477 | |||||||||||||||||
Comprehensive earnings attributable to | 1,888 | (16 | ) | 1,872 | 1,523 | (56 | ) | 1,467 | |||||||||||||||||
Mondelēz International | |||||||||||||||||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||||||
For the Nine Months Ended | |||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||
Reported | Correction | Revised | |||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 2,221 | $ | (59 | ) | $ | 2,162 | ||||||||||||||||||
Deferred income tax benefit | (237 | ) | 61 | (176 | ) | ||||||||||||||||||||
Other non-cash items, net | 46 | 6 | 52 | ||||||||||||||||||||||
Change in Other current assets | 16 | 1 | 17 | ||||||||||||||||||||||
Change in Other current liabilities | (787 | ) | (9 | ) | (796 | ) | |||||||||||||||||||
Net cash provided by operating activities | 1,198 | – | 1,198 | ||||||||||||||||||||||
Currency Translation and Highly Inflationary Accounting | ' | ||||||||||||||||||||||||
Currency Translation and Highly Inflationary Accounting: | |||||||||||||||||||||||||
We translate the results of operations of our subsidiaries from multiple currencies using average exchange rates during each period and translate balance sheet accounts using exchange rates at the end of each period. We record currency translation adjustments as a component of equity and realized exchange gains and losses on transactions in earnings. | |||||||||||||||||||||||||
Venezuela. As prescribed by U.S. GAAP for highly inflationary economies, we have been accounting for the results of our Venezuelan subsidiaries using the U.S. dollar as the functional currency since January 1, 2010. | |||||||||||||||||||||||||
On February 8, 2013, the Venezuelan government announced the devaluation of the official Venezuelan bolivar exchange rate from 4.30 bolivars to 6.30 bolivars to the U.S. dollar and the elimination of the second-tier, government-regulated SITME exchange rate previously applied to value certain types of transactions. In connection with the announced changes, we recorded a $54 million currency remeasurement loss related to the devaluation of our net monetary assets in Venezuela within selling, general and administrative expenses in our Latin America segment during the three months ended March 31, 2013. | |||||||||||||||||||||||||
On January 24, 2014, the Venezuelan government announced the expansion of the auction-based currency transaction program referred to as SICAD or SICAD I and new profit margin controls. The application of the SICAD I rate was extended to include foreign investments and significant operating activities, including contracts for leasing and services, use and exploitation of patents and trademarks, payments of royalties and contracts for technology import and technical assistance. As of September 30, 2014, the SICAD I exchange rate for the food segment auctions in which we participate was 11.50 bolivars to the U.S. dollar. | |||||||||||||||||||||||||
Additionally, on March 24, 2014, the Venezuelan government launched a new market-based currency exchange market, SICAD II. SICAD II may be used voluntarily to exchange bolivars into U.S. dollars. As of September 30, 2014, the SICAD II exchange rate was 49.99 bolivars to the U.S. dollar. | |||||||||||||||||||||||||
Our Venezuelan operations produce a wide range of biscuit, cheese & grocery, confectionery and beverage products. Based on the currency exchange developments this quarter, we have reviewed our domestic and international sourcing of goods and services and the exchange rates we believe will be applicable. We evaluated the level of primarily raw material imports that we believe would continue to be sourced in exchange for U.S. dollars converted at the official 6.30 exchange rate. Our remaining imported goods and services would primarily be valued at the SICAD I exchange rate. Imports that do not currently qualify for either the official rate or SICAD I rate may be sourced at the SICAD II rate. | |||||||||||||||||||||||||
We believe the SICAD I rate is the most appropriate rate to use as it is most representative of the various exchange rates at which U.S. dollars are currently available to our entire Venezuelan business. While some of our net monetary assets or liabilities qualify for settlement at the official exchange rate, other operations do not, and we have utilized both the SICAD I and SICAD II auction processes. In addition, there is significant uncertainty about our ability to secure approval for transactions and the limited availability of U.S. dollars offered at the official rate. As such, we believe it is more economically representative to use the SICAD I rate than the official rate to value our net monetary assets and translate future operating results. | |||||||||||||||||||||||||
As of March 31, 2014, we began to apply the SICAD I exchange rate to remeasure our bolivar-denominated net monetary assets, and we began translating our Venezuelan operating results at the new rate in the second quarter of 2014. On March 31, 2014, we recognized a $142 million currency remeasurement loss within selling, general and administrative expenses of our Latin America segment as a result of revaluing our bolivar-denominated net monetary assets from the official exchange rate of 6.30 bolivars to the U.S. dollar to the then-prevailing SICAD I exchange rate of 10.70 bolivars to the U.S. dollar. In addition to the $142 million currency remeasurement loss in the first quarter of 2014, we recognized $19 million of additional remeasurement charges in operating income during the three months ended September 30, 2014 related to changes in the SICAD I rate. | |||||||||||||||||||||||||
The following table sets forth net revenues for our Venezuelan operations for the three and nine months ended September 30, 2014 (measured at the 6.30 official rate in the first quarter and at the SICAD I rate subsequent to the March 31, 2014 remeasurement), and cash, net monetary assets and net assets of our Venezuelan subsidiaries as of September 30, 2014 (translated at the SICAD I last exchange rate for food segment auctions in which we participate, which was 11.50 bolivars to the U.S. dollar): | |||||||||||||||||||||||||
Venezuela operations | Three Months Ended September 30, 2014 | ||||||||||||||||||||||||
Net Revenues | $192 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||||||
Net Revenues | $584 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||
Cash | $275 million | ||||||||||||||||||||||||
Net Monetary Assets | $271 million | ||||||||||||||||||||||||
Net Assets | $514 million | ||||||||||||||||||||||||
The SICAD I and II rates are variable rates. Unlike the official rate that was devalued and fixed at 6.30 bolivars to the U.S. dollar, the SICAD I rate reflects currently offered rates based on recently cleared auction transactions, and the SICAD II rate reflects voluntary market-based currency exchange transactions cleared by the Central Bank of Venezuela. As such, these rates are expected to vary over time. If any of the rates, or application of the rates to our business, were to change, we may recognize additional currency losses or gains, which could be significant. | |||||||||||||||||||||||||
In light of the current difficult macroeconomic environment in Venezuela, we continue to monitor and actively manage our investment and exposures in Venezuela. We have taken protective measures against currency devaluation, such as converting monetary assets into non-monetary assets that we can use in our business. However, suitable protective measures have become less available and more expensive and may not be available to offset further currency devaluation that could occur. | |||||||||||||||||||||||||
Argentina. On January 23, 2014, the Central Bank of Argentina adjusted its currency policy, removed its currency stabilization measures and allowed the Argentine peso exchange rate to float relative to the U.S. dollar. On that day, the value of the Argentine peso relative to the U.S. dollar fell by 15%, and from December 31, 2013 through September 30, 2014, the value of the peso declined 30%. Further volatility and declines in the exchange rate are expected. Based on the current state of Argentine currency rules and regulations, the business environment remains challenging; however, we do not expect the existing controls and restrictions to have a material adverse effect on our business, financial condition or results of operations. Our Argentinian operations contributed approximately $180 million, or 2.2% of consolidated net revenues, in the three months and $520 million, or 2.0% of consolidated net revenues, in the nine months ended September 30, 2014. Argentina is not designated as a highly-inflationary economy at this time for accounting purposes, so we continue to record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. | |||||||||||||||||||||||||
Accounting Calendar Change | ' | ||||||||||||||||||||||||
Accounting Calendar Change: | |||||||||||||||||||||||||
In connection with moving toward a common consolidation date across the company, in the first quarter of 2013, we changed the consolidation date for our Europe segment. Previously, this segment primarily reported results as of the last Saturday of each period. Subsequent to the change, our Europe segment reports results as of the last calendar day of the period. At this time, the majority of our operating subsidiaries report results as of the last calendar day of the period. Our North American operating subsidiaries report results as of the last Saturday of the period. The change in the consolidation date for our Europe segment had a favorable impact of $19 million on net revenues and $3 million on operating income for the three and nine months ended September 30, 2013. | |||||||||||||||||||||||||
New Accounting Pronouncements | ' | ||||||||||||||||||||||||
New Accounting Pronouncements: | |||||||||||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued an accounting standards update (“ASU”) on revenue recognition from contracts with customers. The new ASU outlines a new, single comprehensive model for companies to use in accounting for revenue. The core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to a customer in an amount that reflects the consideration the entity expects to be entitled to receive in exchange for the goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows from customer contracts, including significant judgments made in recognizing revenue. The guidance is effective for annual reporting periods beginning after December 15, 2016, with early adoption prohibited. The ASU may be applied retrospectively to historical periods presented or as a cumulative-effect adjustment as of the date of adoption. We will adopt the new standard on January 1, 2017 and are currently assessing the impact of the new standard on our consolidated financial statements. | |||||||||||||||||||||||||
In April 2014, the FASB issued an accounting standards update on the reporting of discontinued operations. The guidance changed the definition of a discontinued operation to include dispositions that represent a strategic shift and have a major effect on operations and financial results. Strategic shifts may include the disposal of operations in a major geographical area, a major line of business, a major investment accounted for under the equity method or other major parts of an entity. For disposals that qualify, additional disclosures, including cash flow and balance sheet information for the discontinued operation, will be required. The guidance is effective for fiscal years and interim reporting periods beginning on or after December 15, 2014, with early adoption permitted. We will apply these provisions to prospective divestitures beginning in 2015, including the planned coffee business transactions. Please see Note 2, Divestitures and Acquisition – Planned Coffee Business Transactions, for additional information. |
Basis_of_Presentation_Tables
Basis of Presentation (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Effects of Prior Period Corrections on Condensed Consolidated Statement of Earnings | ' | ||||||||||||||||||||||||
Condensed Consolidated Statement of Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||
Provision / (benefit) for | $ | 14 | $ | 12 | $ | 26 | $ | 8 | $ | 59 | $ | 67 | |||||||||||||
income taxes | |||||||||||||||||||||||||
Net earnings | 1,030 | (12 | ) | 1,018 | 2,221 | (59 | ) | 2,162 | |||||||||||||||||
Net earnings attributable to Mondelēz International | 1,024 | (12 | ) | 1,012 | 2,208 | (59 | ) | 2,149 | |||||||||||||||||
Net earnings attributable to Mondelēz International: | |||||||||||||||||||||||||
Per share, basic | $ | 0.58 | $ | (0.01 | ) | $ | 0.57 | $ | 1.24 | $ | (0.03 | ) | $ | 1.21 | |||||||||||
Per share, diluted | $ | 0.57 | $ | (0.01 | ) | $ | 0.56 | $ | 1.23 | $ | (0.03 | ) | $ | 1.2 | |||||||||||
Effects of Prior Period Corrections on Condensed Consolidated Statement of Comprehensive Earnings | ' | ||||||||||||||||||||||||
Condensed Consolidated Statement of Comprehensive Earnings | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, 2013 | September 30, 2013 | ||||||||||||||||||||||||
Reported | Correction | Revised | Reported | Correction | Revised | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 1,030 | $ | (12 | ) | $ | 1,018 | $ | 2,221 | $ | (59 | ) | $ | 2,162 | |||||||||||
Translation adjustment | 778 | (4 | ) | 774 | (931 | ) | 3 | (928 | ) | ||||||||||||||||
Total other comprehensive | 868 | (4 | ) | 864 | (688 | ) | 3 | (685 | ) | ||||||||||||||||
earnings / (losses) | |||||||||||||||||||||||||
Comprehensive earnings | 1,898 | (16 | ) | 1,882 | 1,533 | (56 | ) | 1,477 | |||||||||||||||||
Comprehensive earnings | 1,888 | (16 | ) | 1,872 | 1,523 | (56 | ) | 1,467 | |||||||||||||||||
attributable to | |||||||||||||||||||||||||
Mondelēz International | |||||||||||||||||||||||||
Effects of Prior Period Corrections on Condensed Consolidated Statement of Cash Flows | ' | ||||||||||||||||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||||||
For the Nine Months Ended | |||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||
Reported | Correction | Revised | |||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net earnings | $ | 2,221 | $ | (59 | ) | $ | 2,162 | ||||||||||||||||||
Deferred income tax benefit | (237 | ) | 61 | (176 | ) | ||||||||||||||||||||
Other non-cash items, net | 46 | 6 | 52 | ||||||||||||||||||||||
Change in other current assets | 16 | 1 | 17 | ||||||||||||||||||||||
Change in other current liabilities | (787 | ) | (9 | ) | (796 | ) | |||||||||||||||||||
Net cash provided by operating activities | 1,198 | – | 1,198 | ||||||||||||||||||||||
Net Revenues, Cash, Net Monetary and Net Assets of Company's Venezuelan Subsidiaries | ' | ||||||||||||||||||||||||
The following table sets forth net revenues for our Venezuelan operations for the three and nine months ended September 30, 2014 (measured at the 6.30 official rate in the first quarter and at the SICAD I rate subsequent to the March 31, 2014 remeasurement), and cash, net monetary assets and net assets of our Venezuelan subsidiaries as of September 30, 2014 (translated at the SICAD I last exchange rate for food segment auctions in which we participate, which was 11.50 bolivars to the U.S. dollar): | |||||||||||||||||||||||||
Venezuela operations | Three Months Ended September 30, 2014 | ||||||||||||||||||||||||
Net revenues | $192 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||||||
Net revenues | $584 million or 2.3% of consolidated net revenue | ||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||
Cash | $275 million | ||||||||||||||||||||||||
Net monetary assets | $271 million | ||||||||||||||||||||||||
Net assets | $514 million | ||||||||||||||||||||||||
Inventories_Tables
Inventories (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Components of Inventories | ' | ||||||||
Inventories at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Raw materials | $ | 1,324 | $ | 1,165 | |||||
Finished product | 2,798 | 2,578 | |||||||
Inventories, net | $ | 4,122 | $ | 3,743 | |||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Components of Property, Plant and Equipment | ' | ||||||||
Property, plant and equipment at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Land and land improvements | $ | 557 | $ | 617 | |||||
Buildings and building improvements | 3,182 | 3,270 | |||||||
Machinery and equipment | 12,112 | 12,351 | |||||||
Construction in progress | 1,620 | 1,376 | |||||||
17,471 | 17,614 | ||||||||
Accumulated depreciation | (7,319 | ) | (7,367 | ) | |||||
Property, plant and equipment, net | $ | 10,152 | $ | 10,247 | |||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Schedule of Goodwill by Reportable Segment | ' | ||||||||
Goodwill by reportable segment at September 30, 2014 and December 31, 2013 was: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Latin America | $ | 1,223 | $ | 1,262 | |||||
Asia Pacific | 2,497 | 2,504 | |||||||
EEMEA | 2,286 | 2,764 | |||||||
Europe | 9,386 | 10,026 | |||||||
North America | 9,007 | 9,041 | |||||||
Goodwill | $ | 24,399 | $ | 25,597 | |||||
Intangible Assets Disclosure | ' | ||||||||
Intangible assets at September 30, 2014 and December 31, 2013 were: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in millions) | |||||||||
Non-amortizable intangible assets | $ | 19,460 | $ | 20,067 | |||||
Amortizable intangible assets | 2,652 | 2,852 | |||||||
22,112 | 22,919 | ||||||||
Accumulated amortization | (1,002 | ) | (925 | ) | |||||
Intangible assets, net | $ | 21,110 | $ | 21,994 | |||||
Changes in Goodwill and Intangible Assets | ' | ||||||||
Changes in goodwill and intangible assets consisted of: | |||||||||
Intangible | |||||||||
Goodwill | Assets, at Cost | ||||||||
(in millions) | |||||||||
Balance at January 1, 2014 | $ | 25,597 | $ | 22,919 | |||||
Changes due to: | |||||||||
Currency | (1,248 | ) | (808 | ) | |||||
Other | 50 | 1 | |||||||
Balance at September 30, 2014 | $ | 24,399 | $ | 22,112 | |||||
Restructuring_Programs_Tables
Restructuring Programs (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
2014-2018 Restructuring Program | ' | ||||||||||||||||||||||||
Schedule of Restructuring Costs | ' | ||||||||||||||||||||||||
The activity for the 2014-2018 Restructuring Program liability, recorded within other current liabilities, for the nine months ended September 30, 2014 was: | |||||||||||||||||||||||||
Severance | Asset | Total | |||||||||||||||||||||||
and related | Write-downs | ||||||||||||||||||||||||
costs | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Liability balance, January 1, 2014 | $ | – | $ | – | $ | – | |||||||||||||||||||
Charges | 26 | – | 26 | ||||||||||||||||||||||
Cash spent | (2 | ) | – | (2 | ) | ||||||||||||||||||||
Liability balance, September 30, 2014 | $ | 24 | $ | – | $ | 24 | |||||||||||||||||||
Schedule of Restructuring and Implementation Costs | ' | ||||||||||||||||||||||||
During the three and nine months ended September 30, 2014, we recorded restructuring and implementation costs related to the 2014-2018 Restructuring Program within operating income as follows: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | For the Nine Months Ended September 30, 2014 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 25 | $ | 7 | $ | 32 | $ | 26 | $ | 8 | $ | 34 | |||||||||||||
Asia Pacific | – | 4 | 4 | – | 4 | 4 | |||||||||||||||||||
EEMEA | – | 3 | 3 | – | 3 | 3 | |||||||||||||||||||
Europe | – | 14 | 14 | – | 14 | 14 | |||||||||||||||||||
North America | – | 1 | 1 | – | 1 | 1 | |||||||||||||||||||
Corporate(1) | – | 13 | 13 | – | 21 | 21 | |||||||||||||||||||
Total | $ | 25 | $ | 42 | $ | 67 | $ | 26 | $ | 51 | $ | 77 | |||||||||||||
-1 | Includes adjustment for rounding. | ||||||||||||||||||||||||
2012-2014 Restructuring Program | ' | ||||||||||||||||||||||||
Schedule of Restructuring Costs | ' | ||||||||||||||||||||||||
The activity for the 2012-2014 Restructuring Program liability for the nine months ended September 30, 2014 was: | |||||||||||||||||||||||||
Severance | Asset | Total | |||||||||||||||||||||||
and related | Write-downs | ||||||||||||||||||||||||
costs | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Liability balance, January 1, 2014 | $ | 68 | $ | – | $ | 68 | |||||||||||||||||||
Charges | 182 | 77 | 259 | ||||||||||||||||||||||
Cash spent | (110 | ) | – | (110 | ) | ||||||||||||||||||||
Non-cash settlements | – | (77 | ) | (77 | ) | ||||||||||||||||||||
Liability balance, September 30, 2014 | $ | 140 | $ | – | $ | 140 | |||||||||||||||||||
Schedule of Restructuring and Implementation Costs | ' | ||||||||||||||||||||||||
During the three and nine months ended September 30, 2014 and 2013, we recorded restructuring and implementation costs related to the 2012-2014 Restructuring Program within operating income as follows: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | For the Nine Months Ended September 30, 2014 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 3 | $ | – | $ | 3 | $ | 7 | $ | 1 | $ | 8 | |||||||||||||
Asia Pacific | 27 | 1 | 28 | 28 | 1 | 29 | |||||||||||||||||||
EEMEA | 14 | – | 14 | 26 | 2 | 28 | |||||||||||||||||||
Europe | 85 | 14 | 99 | 128 | 42 | 170 | |||||||||||||||||||
North America | 34 | 7 | 41 | 70 | 20 | 90 | |||||||||||||||||||
Corporate(1) | – | 1 | 1 | – | – | – | |||||||||||||||||||
Total | $ | 163 | $ | 23 | $ | 186 | $ | 259 | $ | 66 | $ | 325 | |||||||||||||
For the Three Months Ended September 30, 2013 | For the Nine Months Ended September 30, 2013 | ||||||||||||||||||||||||
Restructuring | Implementation | Restructuring | Implementation | ||||||||||||||||||||||
Costs | Costs | Total | Costs | Costs | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Latin America | $ | 9 | $ | – | $ | 9 | $ | 9 | $ | – | $ | 9 | |||||||||||||
Asia Pacific | – | – | – | – | – | – | |||||||||||||||||||
EEMEA | 3 | – | 3 | 7 | – | 7 | |||||||||||||||||||
Europe | 18 | 10 | 28 | 55 | 14 | 69 | |||||||||||||||||||
North America | 12 | 10 | 22 | 58 | 17 | 75 | |||||||||||||||||||
Corporate(1) | 1 | – | 1 | 2 | – | 2 | |||||||||||||||||||
Total | $ | 43 | $ | 20 | $ | 63 | $ | 131 | $ | 31 | $ | 162 | |||||||||||||
-1 | Includes adjustment for rounding. |
Integration_Program_Tables
Integration Program (Tables) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Schedule of Changes in Integration Program Liability | ' | ||||
Changes in the remaining Integration Program liability during the nine months ended September 30, 2014 were: | |||||
2014 | |||||
(in millions) | |||||
Balance at January 1 | $ | 145 | |||
Charges | (6 | ) | |||
Cash spent | (51 | ) | |||
Currency / other | (17 | ) | |||
Balance at September 30 | $ | 71 | |||
Debt_Tables
Debt (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Short-Term Borrowings and Related Weighted-Average Interest Rates | ' | ||||||||||||||||
At September 30, 2014 and December 31, 2013, our short-term borrowings and related weighted-average interest rates consisted of: | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Amount | Weighted- | Amount | Weighted- | ||||||||||||||
Outstanding | Average Rate | Outstanding | Average Rate | ||||||||||||||
(in millions) | (in millions) | ||||||||||||||||
Commercial paper | $ | 1,409 | 0.40% | $ | 1,410 | 0.40% | |||||||||||
Bank loans | 398 | 7.40% | 226 | 7.00% | |||||||||||||
Total short-term borrowings | $ | 1,807 | $ | 1,636 | |||||||||||||
Interest and Other Expense / (Income) Within Results of Continuing Operations | ' | ||||||||||||||||
Interest and Other Expense / (Income): | |||||||||||||||||
Interest and other expense / (income) within our results of continuing operations consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Interest expense, debt | $ | 188 | $ | 257 | $ | 582 | $ | 783 | |||||||||
Loss on debt extinguishment and related expenses | – | – | 495 | – | |||||||||||||
Unrealized gain on planned coffee business divestiture currency hedge | (420 | ) | – | (413 | ) | – | |||||||||||
Benefit from indemnification resolution | – | (49 | ) | – | (49 | ) | |||||||||||
Other expense / (income), net | 5 | 10 | 53 | (2 | ) | ||||||||||||
Interest and other expense / (income) | $ | (227 | ) | $ | 218 | $ | 717 | $ | 732 | ||||||||
Financial_Instruments_Tables
Financial Instruments (Tables) | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||
Fair Value of Derivatives Instruments | ' | ||||||||||||||||||
Derivative instruments were recorded at fair value in the condensed consolidated balance sheets as of September 30, 2014 and December 31, 2013 as follows: | |||||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||||
Asset | Liability | Asset | Liability | ||||||||||||||||
Derivatives | Derivatives | Derivatives | Derivatives | ||||||||||||||||
(in millions) | |||||||||||||||||||
Derivatives designated as | |||||||||||||||||||
hedging instruments: | |||||||||||||||||||
Currency exchange contracts | $ | 58 | $ | – | $ | 3 | $ | 11 | |||||||||||
Commodity contracts | 12 | 26 | 2 | 3 | |||||||||||||||
Interest rate contracts | 56 | – | 209 | – | |||||||||||||||
$ | 126 | $ | 26 | $ | 214 | $ | 14 | ||||||||||||
Derivatives not designated as | |||||||||||||||||||
hedging instruments: | |||||||||||||||||||
Currency exchange contracts | $ | 535 | $ | 12 | $ | 84 | $ | 8 | |||||||||||
Commodity contracts | 157 | 138 | 60 | 51 | |||||||||||||||
Interest rate contracts | 53 | 32 | 64 | 38 | |||||||||||||||
$ | 745 | $ | 182 | $ | 208 | $ | 97 | ||||||||||||
Total fair value | $ | 871 | $ | 208 | $ | 422 | $ | 111 | |||||||||||
Notional Values of Derivative Instruments | ' | ||||||||||||||||||
The net notional values of our derivative instruments as of September 30, 2014 and December 31, 2013 were: | |||||||||||||||||||
Notional Amount | |||||||||||||||||||
September 30, | December 31, | ||||||||||||||||||
2014 | 2013 | ||||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts: | |||||||||||||||||||
Intercompany loans and forecasted interest payments | $ | 5,514 | $ | 4,369 | |||||||||||||||
Forecasted transactions | 7,039 | 2,565 | |||||||||||||||||
Commodity contracts | 1,225 | 805 | |||||||||||||||||
Interest rate contracts | 4,000 | 2,273 | |||||||||||||||||
Net investment hedge – euro notes | 4,105 | 4,466 | |||||||||||||||||
Net investment hedge – pound sterling notes | 1,054 | 1,076 | |||||||||||||||||
Hedges of Net Investments in International Operations | ' | ||||||||||||||||||
After-tax gains / (losses) related to hedges of net investments in international operations in the form of euro and pound sterling-denominated debt were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | Location of | |||||||||||||||||
Gain / (Loss) | |||||||||||||||||||
September 30, | September 30, | Recognized in | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | AOCI | |||||||||||||||
(in millions) | |||||||||||||||||||
Euro notes | $ | 219 | $ | (28 | ) | $ | 219 | $ | (18 | ) | Currency Translation | ||||||||
Pound sterling notes | 37 | (40 | ) | 14 | 3 | Adjustment | |||||||||||||
Derivative | ' | ||||||||||||||||||
Schedule of Derivative Instruments Fair Value and Measurement Inputs | ' | ||||||||||||||||||
The fair values (asset / (liability)) of our derivative instruments at September 30, 2014 were determined using: | |||||||||||||||||||
Quoted Prices in | |||||||||||||||||||
Active Markets | Significant | Significant | |||||||||||||||||
Total | for Identical | Other Observable | Unobservable | ||||||||||||||||
Fair Value of Net | Assets | Inputs | Inputs | ||||||||||||||||
Asset / (Liability) | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts | $ | 581 | $ | – | $ | 581 | $ | – | |||||||||||
Commodity contracts | 5 | (10 | ) | 15 | – | ||||||||||||||
Interest rate contracts | 77 | – | 77 | – | |||||||||||||||
Total derivatives | $ | 663 | $ | (10 | ) | $ | 673 | $ | – | ||||||||||
The fair values (asset / (liability)) of our derivative instruments at December 31, 2013 were determined using: | |||||||||||||||||||
Quoted Prices in | |||||||||||||||||||
Active Markets | Significant | Significant | |||||||||||||||||
Total | for Identical | Other Observable | Unobservable | ||||||||||||||||
Fair Value of Net | Assets | Inputs | Inputs | ||||||||||||||||
Asset / (Liability) | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts | $ | 68 | $ | – | $ | 68 | $ | – | |||||||||||
Commodity contracts | 8 | (4 | ) | 12 | – | ||||||||||||||
Interest rate contracts | 235 | – | 235 | – | |||||||||||||||
Total derivatives | $ | 311 | $ | (4 | ) | $ | 315 | $ | – | ||||||||||
Cash Flow Hedges | ' | ||||||||||||||||||
Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Income, Net of Taxes | ' | ||||||||||||||||||
Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings / (losses) included: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Accumulated gain / (loss) at beginning of period | $ | 44 | $ | 72 | $ | 117 | $ | (38 | ) | ||||||||||
Transfer of realized losses / (gains) in fair value to earnings | (17 | ) | 6 | (20 | ) | 38 | |||||||||||||
Unrealized gain / (loss) in fair value | 47 | 4 | (23 | ) | 82 | ||||||||||||||
Accumulated gain / (loss) at end of period | $ | 74 | $ | 82 | $ | 74 | $ | 82 | |||||||||||
Schedule of Effects of Derivative Instruments | ' | ||||||||||||||||||
After-tax gains / (losses) reclassified from accumulated other comprehensive earnings / (losses) into net earnings were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts – forecasted transactions | $ | 12 | $ | (6 | ) | $ | 8 | $ | (18 | ) | |||||||||
Commodity contracts | 5 | – | 14 | (19 | ) | ||||||||||||||
Interest rate contracts | – | – | (2 | ) | (1 | ) | |||||||||||||
Total | $ | 17 | $ | (6 | ) | $ | 20 | $ | (38 | ) | |||||||||
After-tax gains / (losses) recognized in other comprehensive earnings / (losses) were: | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts – forecasted transactions | $ | 58 | $ | (16 | ) | $ | 65 | $ | (12 | ) | |||||||||
Commodity contracts | 7 | 7 | 10 | (1 | ) | ||||||||||||||
Interest rate contracts | (18 | ) | 13 | (98 | ) | 95 | |||||||||||||
Total | $ | 47 | $ | 4 | $ | (23 | ) | $ | 82 | ||||||||||
Fair Value Hedges | ' | ||||||||||||||||||
Schedule of Effects of Derivative Instruments | ' | ||||||||||||||||||
Pre-tax gains / (losses) due to changes in fair value of our interest rate swaps and related hedged long-term debt were recorded in interest and other expense / (income): | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
(in millions) | |||||||||||||||||||
Derivatives | $ | (13 | ) | $ | – | $ | 1 | $ | – | ||||||||||
Borrowings | 13 | – | (1 | ) | – | ||||||||||||||
Economic Hedging | ' | ||||||||||||||||||
Schedule of Effects of Derivative Instruments | ' | ||||||||||||||||||
Pre-tax gains / (losses) recorded in net earnings for economic hedges which are not designated as hedging instruments were: | |||||||||||||||||||
Location of | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | Gain / (Loss) | |||||||||||||||||
September 30, | September 30, | Recognized | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | in Earnings | |||||||||||||||
(in millions) | |||||||||||||||||||
Currency exchange contracts: | |||||||||||||||||||
Intercompany loans and forecasted interest payments | $ | 4 | $ | 4 | $ | 5 | $ | 7 | Interest expense | ||||||||||
Forecasted purchases | 29 | 10 | (11 | ) | 36 | Cost of sales | |||||||||||||
Forecasted transactions | 419 | – | 405 | – | Interest and other | ||||||||||||||
expense / (income) | |||||||||||||||||||
Forecasted transactions | (4 | ) | (2 | ) | (7 | ) | 1 | Selling, general and | |||||||||||
administrative | |||||||||||||||||||
expenses | |||||||||||||||||||
Interest rate contracts | (1 | ) | 2 | – | – | Interest expense | |||||||||||||
Commodity contracts | 12 | 28 | 82 | 62 | Cost of sales | ||||||||||||||
Total | $ | 459 | $ | 42 | $ | 474 | $ | 106 | |||||||||||
Benefit_Plans_Tables
Benefit Plans (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Postemployment Benefit Plans | ' | ||||||||||||||||
Components of Net Costs | ' | ||||||||||||||||
Net postretirement health care costs during the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 4 | $ | 4 | $ | 10 | $ | 12 | |||||||||
Interest cost | 5 | 5 | 16 | 14 | |||||||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 1 | 2 | 4 | 8 | |||||||||||||
Prior service credit | (3 | ) | (3 | ) | (8 | ) | (9 | ) | |||||||||
Net postretirement health care costs | $ | 7 | $ | 8 | $ | 22 | $ | 25 | |||||||||
Pension Plans | ' | ||||||||||||||||
Components of Net Costs | ' | ||||||||||||||||
Net periodic pension cost for the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
U.S. Plans | Non-U.S. Plans | ||||||||||||||||
For the Three Months Ended September 30, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 14 | $ | 17 | $ | 47 | $ | 44 | |||||||||
Interest cost | 16 | 15 | 99 | 88 | |||||||||||||
Expected return on plan assets | (21 | ) | (16 | ) | (123 | ) | (108 | ) | |||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 7 | 14 | 26 | 34 | |||||||||||||
Prior service cost | – | 1 | – | – | |||||||||||||
Settlement losses / (gains) (1) | 14 | (3 | ) | (5 | ) | 1 | |||||||||||
Net periodic pension cost | $ | 30 | $ | 28 | $ | 44 | $ | 59 | |||||||||
U.S. Plans | Non-U.S. Plans | ||||||||||||||||
For the Nine Months Ended September 30, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 42 | $ | 53 | $ | 136 | $ | 130 | |||||||||
Interest cost | 49 | 45 | 296 | 265 | |||||||||||||
Expected return on plan assets | (61 | ) | (50 | ) | (371 | ) | (323 | ) | |||||||||
Amortization: | |||||||||||||||||
Net loss from experience differences | 22 | 41 | 80 | 102 | |||||||||||||
Prior service cost | 1 | 2 | 1 | 1 | |||||||||||||
Settlement losses(1) | 20 | 2 | 5 | 1 | |||||||||||||
Net periodic pension cost | $ | 73 | $ | 93 | $ | 147 | $ | 176 | |||||||||
-1 | Includes settlement losses of $2 million in the three and nine months ended September 30, 2014 and $3 million in the three months and $12 million in the nine months ended September 30, 2013 related to employees who elected to take lump-sum payments in connection with our 2012-2014 Restructuring Program. These costs are reflected within asset impairments and exit costs on the condensed consolidated statement of earnings and within the charges for severance and related costs in Note 6, Restructuring Programs – 2012-2014 Restructuring Program. In the nine months ended September 30, 2013, these were partially offset by $21 million of gains due to improvements in current market rates for routine settlement losses. | ||||||||||||||||
Postretirement Benefit Plans | ' | ||||||||||||||||
Components of Net Costs | ' | ||||||||||||||||
Net postemployment costs during the three and nine months ended September 30, 2014 and 2013 consisted of: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions) | |||||||||||||||||
Service cost | $ | 2 | $ | 2 | $ | 6 | $ | 6 | |||||||||
Interest cost | 2 | 1 | 5 | 4 | |||||||||||||
Net postemployment costs | $ | 4 | $ | 3 | $ | 11 | $ | 10 | |||||||||
Reclassifications_from_Accumul1
Reclassifications from Accumulated Other Comprehensive Earnings / (Losses) (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Components of Accumulated Other Comprehensive Earnings /(Losses) | ' | ||||||||||||||||
The components of accumulated other comprehensive earnings / (losses) attributable to Mondelēz International were: | |||||||||||||||||
Currency | Pension and | Derivatives | Total | ||||||||||||||
Translation | Other Benefits | Accounted for | |||||||||||||||
Adjustments | as Hedges | ||||||||||||||||
(in millions) | |||||||||||||||||
Balances at January 1, 2014 | $ | (1,414 | ) | $ | (1,592 | ) | $ | 117 | $ | (2,889 | ) | ||||||
Other comprehensive earnings / (losses), | |||||||||||||||||
before reclassifications: | |||||||||||||||||
Currency translation adjustment(1) | (2,069 | ) | 90 | – | (1,979 | ) | |||||||||||
Pension and other benefits | – | 16 | – | 16 | |||||||||||||
Derivatives accounted for as hedges | 383 | – | (78 | ) | 305 | ||||||||||||
Losses / (gains) reclassified into | – | 125 | (22 | ) | 103 | ||||||||||||
net earnings | |||||||||||||||||
Tax (expense) / benefit | (150 | ) | (47 | ) | 57 | (140 | ) | ||||||||||
Total other comprehensive | (1,695 | ) | |||||||||||||||
earnings / (losses) | |||||||||||||||||
Balances at September 30, 2014 | $ | (3,250 | ) | $ | (1,408 | ) | $ | 74 | $ | (4,584 | ) | ||||||
-1 | The condensed consolidated statement of comprehensive earnings for the nine months ended September 30, 2014 includes $(19) million of currency translation adjustment attributable to noncontrolling interests. | ||||||||||||||||
Amounts Reclassified from Accumulated Other Comprehensive Earnings/ (Losses) | ' | ||||||||||||||||
Amounts reclassified from accumulated other comprehensive earnings / (losses) during the three and nine months ended September 30, 2014 and their locations in the condensed consolidated financial statements were as follows: | |||||||||||||||||
For the Three | For the Nine | Location of | |||||||||||||||
Months Ended | Months Ended | Gain / (Loss) | |||||||||||||||
September 30, | September 30, | Recognized | |||||||||||||||
2014 | 2014 | in Net Earnings | |||||||||||||||
(in millions) | |||||||||||||||||
Pension and other benefits: | |||||||||||||||||
Reclassification of losses / (gains) into net earnings: | |||||||||||||||||
Amortization of experience losses and | $ | 31 | $ | 100 | |||||||||||||
prior service costs (1) | |||||||||||||||||
Settlement losses(1) | 9 | 25 | |||||||||||||||
Tax impact | (26 | ) | (47 | ) | Provision for income taxes | ||||||||||||
Derivatives accounted for as hedges: | |||||||||||||||||
Reclassification of losses / (gains) into net earnings: | |||||||||||||||||
Currency exchange contracts – forecasted transactions | (13 | ) | (9 | ) | Cost of sales | ||||||||||||
Commodity contracts | (5 | ) | (16 | ) | Cost of sales | ||||||||||||
Interest rate contracts | – | 3 | Interest and other expense / | ||||||||||||||
(income) | |||||||||||||||||
Tax impact | 2 | 3 | Provision for income taxes | ||||||||||||||
Total reclassifications into net earnings, net of tax | $ | (2 | ) | $ | 59 | ||||||||||||
-1 | These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Basic and Diluted Earnings Per Share | ' | ||||||||||||||||
Basic and diluted earnings per share (“EPS”) were calculated using the following: | |||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in millions, except per share data) | |||||||||||||||||
Net earnings | $ | 902 | $ | 1,018 | $ | 1,694 | $ | 2,162 | |||||||||
Noncontrolling interest | 3 | 6 | 10 | 13 | |||||||||||||
Net earnings attributable to | $ | 899 | $ | 1,012 | $ | 1,684 | $ | 2,149 | |||||||||
Mondelēz International | |||||||||||||||||
Weighted-average shares for basic EPS | 1,688 | 1,779 | 1,695 | 1,783 | |||||||||||||
Plus incremental shares from assumed | 17 | 15 | 18 | 15 | |||||||||||||
conversions of stock options and | |||||||||||||||||
long-term incentive plan shares | |||||||||||||||||
Weighted-average shares for diluted EPS | 1,705 | 1,794 | 1,713 | 1,798 | |||||||||||||
Basic earnings per share attributable to | $ | 0.53 | $ | 0.57 | $ | 0.99 | $ | 1.21 | |||||||||
Mondelēz International: | |||||||||||||||||
Diluted earnings per share attributable to | $ | 0.53 | $ | 0.56 | $ | 0.98 | $ | 1.2 | |||||||||
Mondelēz International: |
Segment_Reporting_Tables
Segment Reporting (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Net Revenues by Segment | ' | ||||||||||||||||||||||||
Our segment net revenues and earnings were: | |||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||
Latin America | $ | 1,315 | $ | 1,308 | $ | 3,913 | $ | 4,045 | |||||||||||||||||
Asia Pacific | 1,153 | 1,136 | 3,460 | 3,743 | |||||||||||||||||||||
EEMEA | 894 | 948 | 2,740 | 2,850 | |||||||||||||||||||||
Europe | 3,215 | 3,295 | 10,151 | 10,026 | |||||||||||||||||||||
North America | 1,760 | 1,785 | 5,150 | 5,147 | |||||||||||||||||||||
Net revenues | $ | 8,337 | $ | 8,472 | $ | 25,414 | $ | 25,811 | |||||||||||||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | ' | ||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Net revenues: | |||||||||||||||||||||||||
Latin America | $ | 1,315 | $ | 1,308 | $ | 3,913 | $ | 4,045 | |||||||||||||||||
Asia Pacific | 1,153 | 1,136 | 3,460 | 3,743 | |||||||||||||||||||||
EEMEA | 894 | 948 | 2,740 | 2,850 | |||||||||||||||||||||
Europe | 3,215 | 3,295 | 10,151 | 10,026 | |||||||||||||||||||||
North America | 1,760 | 1,785 | 5,150 | 5,147 | |||||||||||||||||||||
Net revenues | $ | 8,337 | $ | 8,472 | $ | 25,414 | $ | 25,811 | |||||||||||||||||
Earnings before income taxes: | |||||||||||||||||||||||||
Operating income: | |||||||||||||||||||||||||
Latin America | $ | 120 | $ | 171 | $ | 304 | $ | 425 | |||||||||||||||||
Asia Pacific | 65 | 81 | 364 | 399 | |||||||||||||||||||||
EEMEA | 93 | 109 | 303 | 282 | |||||||||||||||||||||
Europe | 368 | 403 | 1,294 | 1,178 | |||||||||||||||||||||
North America | 272 | 279 | 744 | 643 | |||||||||||||||||||||
Unrealized gains / (losses) on | 39 | 12 | (8 | ) | 55 | ||||||||||||||||||||
hedging activities | |||||||||||||||||||||||||
General corporate expenses | (56 | ) | (74 | ) | (191 | ) | (219 | ) | |||||||||||||||||
Amortization of intangibles | (48 | ) | (55 | ) | (157 | ) | (164 | ) | |||||||||||||||||
Benefit from indemnification resolution | – | 336 | – | 336 | |||||||||||||||||||||
Gains on acquisition and divestitures, net | – | – | – | 28 | |||||||||||||||||||||
Acquisition-related costs | – | – | – | (2 | ) | ||||||||||||||||||||
Operating income | 853 | 1,262 | 2,653 | 2,961 | |||||||||||||||||||||
Interest and other (expense) / income | 227 | (218 | ) | (717 | ) | (732 | ) | ||||||||||||||||||
Earnings before income taxes | $ | 1,080 | $ | 1,044 | $ | 1,936 | $ | 2,229 | |||||||||||||||||
Net Revenues by Consumer Sector | ' | ||||||||||||||||||||||||
Net revenues by consumer sector were: | |||||||||||||||||||||||||
For the Three Months Ended September 30, 2014 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 338 | $ | 294 | $ | 165 | $ | 724 | $ | 1,367 | $ | 2,888 | |||||||||||||
Chocolate | 253 | 408 | 287 | 1,214 | 75 | 2,237 | |||||||||||||||||||
Gum & Candy | 314 | 190 | 151 | 217 | 304 | 1,176 | |||||||||||||||||||
Beverages | 232 | 100 | 227 | 723 | – | 1,282 | |||||||||||||||||||
Cheese & Grocery | 178 | 161 | 64 | 337 | 14 | 754 | |||||||||||||||||||
Total net revenues | $ | 1,315 | $ | 1,153 | $ | 894 | $ | 3,215 | $ | 1,760 | $ | 8,337 | |||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 329 | $ | 285 | $ | 165 | $ | 750 | $ | 1,369 | $ | 2,898 | |||||||||||||
Chocolate | 253 | 378 | 294 | 1,224 | 83 | 2,232 | |||||||||||||||||||
Gum & Candy | 353 | 209 | 160 | 227 | 312 | 1,261 | |||||||||||||||||||
Beverages | 211 | 99 | 260 | 759 | – | 1,329 | |||||||||||||||||||
Cheese & Grocery | 162 | 165 | 69 | 335 | 21 | 752 | |||||||||||||||||||
Total net revenues | $ | 1,308 | $ | 1,136 | $ | 948 | $ | 3,295 | $ | 1,785 | $ | 8,472 | |||||||||||||
For the Nine Months Ended September 30, 2014 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 998 | $ | 898 | $ | 483 | $ | 2,269 | $ | 4,078 | $ | 8,726 | |||||||||||||
Chocolate | 833 | 1,155 | 751 | 3,804 | 188 | 6,731 | |||||||||||||||||||
Gum & Candy | 893 | 584 | 498 | 678 | 842 | 3,495 | |||||||||||||||||||
Beverages | 684 | 359 | 782 | 2,348 | – | 4,173 | |||||||||||||||||||
Cheese & Grocery | 505 | 464 | 226 | 1,052 | 42 | 2,289 | |||||||||||||||||||
Total net revenues | $ | 3,913 | $ | 3,460 | $ | 2,740 | $ | 10,151 | $ | 5,150 | $ | 25,414 | |||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||||||||||
Latin | Asia | North | |||||||||||||||||||||||
America | Pacific | EEMEA | Europe | America | Total | ||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||
Biscuits | $ | 953 | $ | 1,028 | $ | 490 | $ | 2,231 | $ | 4,011 | $ | 8,713 | |||||||||||||
Chocolate | 901 | 1,190 | 806 | 3,680 | 214 | 6,791 | |||||||||||||||||||
Gum & Candy | 1,049 | 638 | 505 | 702 | 868 | 3,762 | |||||||||||||||||||
Beverages | 666 | 371 | 849 | 2,399 | – | 4,285 | |||||||||||||||||||
Cheese & Grocery | 476 | 516 | 200 | 1,014 | 54 | 2,260 | |||||||||||||||||||
Total net revenues | $ | 4,045 | $ | 3,743 | $ | 2,850 | $ | 10,026 | $ | 5,147 | $ | 25,811 | |||||||||||||
Basis_of_Presentation_Addition
Basis of Presentation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | 9 Months Ended | ||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Feb. 08, 2013 | Jan. 02, 2010 | Sep. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2014 | Jan. 23, 2014 | Sep. 30, 2014 |
ARGENTINA | ARGENTINA | SICAD I | SICAD I | Prior Periods | Venezuelan bolC-var fuerte | Venezuelan bolC-var fuerte | Venezuelan bolC-var fuerte | Venezuelan bolC-var fuerte | Venezuelan bolC-var fuerte | Venezuelan bolC-var fuerte | Argentina, Pesos | Argentina, Pesos | ||||||
SICAD I | SICAD I | SICAD II | ||||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase / (reduction) in cumulative net earnings | ' | ' | ' | ' | ($59) | ' | ' | ' | ' | $94 | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency exchange rate translation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.3 | 6.3 | 4.3 | 11.5 | 10.7 | 49.99 | ' | ' |
Foreign currency impacts relating to highly inflationary accounting | ' | ' | -54 | ' | ' | ' | ' | -19 | -142 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Argentina peso devalued percentage against US Dollar | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | 30.00% |
Net revenue | 8,337 | 8,472 | ' | 25,414 | 25,811 | 180 | 520 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of consolidated net revenues | ' | ' | ' | ' | ' | 2.20% | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in accounting policy effect of change on net revenue | ' | 19 | ' | ' | 19 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in accounting policy effect of change on operating results | ' | $3 | ' | ' | $3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Effects_of_Revision_on_Condens
Effects of Revision on Condensed Consolidated Statement of Earnings (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Provision / (benefit) for income taxes | $178 | $26 | $242 | $67 | ' |
Net earnings | 902 | 1,018 | 1,694 | 2,162 | 3,935 |
Net earnings attributable to Mondelez International | 899 | 1,012 | 1,684 | 2,149 | ' |
Net earnings attributable to Mondelez International: | ' | ' | ' | ' | ' |
Per share, basic | $0.53 | $0.57 | $0.99 | $1.21 | ' |
Per share, diluted | $0.53 | $0.56 | $0.98 | $1.20 | ' |
Reported | ' | ' | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Provision / (benefit) for income taxes | ' | 14 | ' | 8 | ' |
Net earnings | ' | 1,030 | ' | 2,221 | ' |
Net earnings attributable to Mondelez International | ' | 1,024 | ' | 2,208 | ' |
Net earnings attributable to Mondelez International: | ' | ' | ' | ' | ' |
Per share, basic | ' | $0.58 | ' | $1.24 | ' |
Per share, diluted | ' | $0.57 | ' | $1.23 | ' |
Correction | ' | ' | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Provision / (benefit) for income taxes | ' | 12 | ' | 59 | ' |
Net earnings | ' | -12 | ' | -59 | ' |
Net earnings attributable to Mondelez International | ' | ($12) | ' | ($59) | ' |
Net earnings attributable to Mondelez International: | ' | ' | ' | ' | ' |
Per share, basic | ' | ($0.01) | ' | ($0.03) | ' |
Per share, diluted | ' | ($0.01) | ' | ($0.03) | ' |
Effects_of_Revision_on_Condens1
Effects of Revision on Condensed Consolidated Statement of Comprehensive Earnings (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Net earnings | $902 | $1,018 | $1,694 | $2,162 | $3,935 |
Translation adjustment | -1,755 | 774 | -1,615 | -928 | ' |
Total other comprehensive earnings / (losses) | -1,842 | 864 | -1,714 | -685 | -223 |
Comprehensive earnings | -940 | 1,882 | -20 | 1,477 | ' |
Comprehensive earnings attributable to Mondelez International | -925 | 1,872 | -11 | 1,467 | ' |
Reported | ' | ' | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Net earnings | ' | 1,030 | ' | 2,221 | ' |
Translation adjustment | ' | 778 | ' | -931 | ' |
Total other comprehensive earnings / (losses) | ' | 868 | ' | -688 | ' |
Comprehensive earnings | ' | 1,898 | ' | 1,533 | ' |
Comprehensive earnings attributable to Mondelez International | ' | 1,888 | ' | 1,523 | ' |
Correction | ' | ' | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' | ' | ' |
Net earnings | ' | -12 | ' | -59 | ' |
Translation adjustment | ' | -4 | ' | 3 | ' |
Total other comprehensive earnings / (losses) | ' | -4 | ' | 3 | ' |
Comprehensive earnings | ' | -16 | ' | -56 | ' |
Comprehensive earnings attributable to Mondelez International | ' | ($16) | ' | ($56) | ' |
Effects_of_Revision_on_Condens2
Effects of Revision on Condensed Consolidated Statement of Cash Flows (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' |
Net earnings | $1,694 | $2,162 | $3,935 |
Deferred income tax benefit | -255 | -176 | ' |
Other non-cash items, net | -28 | 52 | ' |
Change in other current assets | -106 | 17 | ' |
Change in other current liabilities | -430 | -796 | ' |
Net cash provided by operating activities | 1,149 | 1,198 | ' |
Reported | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' |
Net earnings | ' | 2,221 | ' |
Deferred income tax benefit | ' | -237 | ' |
Other non-cash items, net | ' | 46 | ' |
Change in other current assets | ' | 16 | ' |
Change in other current liabilities | ' | -787 | ' |
Net cash provided by operating activities | ' | 1,198 | ' |
Correction | ' | ' | ' |
Error Corrections and Prior Period Adjustments Revision [Line Items] | ' | ' | ' |
Net earnings | ' | -59 | ' |
Deferred income tax benefit | ' | 61 | ' |
Other non-cash items, net | ' | 6 | ' |
Change in other current assets | ' | 1 | ' |
Change in other current liabilities | ' | ($9) | ' |
Net_Revenues_Cash_Net_Monetary
Net Revenues, Cash, Net Monetary and Net Assets of Company's Venezuelan Subsidiaries (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Information [Line Items] | ' | ' | ' | ' |
Net revenues | $8,337 | $8,472 | $25,414 | $25,811 |
Venezuela | ' | ' | ' | ' |
Segment Information [Line Items] | ' | ' | ' | ' |
Net revenues | 192 | ' | 584 | ' |
Percentage of consolidated net revenues | 2.30% | ' | 2.30% | ' |
Venezuela | SICAD I | ' | ' | ' | ' |
Segment Information [Line Items] | ' | ' | ' | ' |
Cash | 275 | ' | 275 | ' |
Net monetary assets | 271 | ' | 271 | ' |
Net assets | $514 | ' | $514 | ' |
Divestitures_and_Acquisition_A
Divestitures and Acquisition - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Feb. 22, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2015 | Sep. 30, 2014 | |
USD ($) | USD ($) | USD ($) | Morocco | Morocco | Morocco | Morocco | Morocco | Selling, general and administrative expenses | Selling, general and administrative expenses | Selling, general and administrative expenses | Selling, general and administrative expenses | General and Administrative Expense | General and Administrative Expense | Derivatives Designated as Hedging Instruments | Derivatives Designated as Hedging Instruments | EEMEA | Scenario, Forecast | Fiscal Year 2014 | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Interest And Other Expense | Interest And Other Expense | USD ($) | EUR (€) | USD ($) | ||||
Foreign Exchange Forward | Foreign Exchange Forward | ||||||||||||||||||
USD ($) | USD ($) | ||||||||||||||||||
Acquisition And Dispositions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash receipts from planned coffee business transactions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | € 4,000,000,000 | ' |
Estimated percentage of equity interest in Jacobs Douwe Egberts | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 49.00% | ' |
Expenses related to readying businesses for planned transactions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | 15,000,000 | ' | ' | ' | ' | ' |
Unrealized gains (losses) on derivatives | 420,000,000 | 413,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 420,000,000 | 413,000,000 | ' | ' | ' |
Spin-Off costs | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | 9,000,000 | 23,000,000 | 33,000,000 | ' | ' | ' | ' | ' | ' | ' |
Expected spin off cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 |
Proceeds from divestitures, net of disbursements | ' | ' | 48,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 48,000,000 | ' | ' |
Pre-tax gains (losses) on divestitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,000,000 | ' | ' |
Acquisition, net of cash received | ' | ' | 119,000,000 | 119,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash paid for acquisition | ' | ' | ' | 155,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash acquired | ' | ' | ' | 36,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pre-tax gain on acquisition | ' | ' | ' | ' | 22,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition-related costs | ' | ' | 2,000,000 | ' | 7,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Identifiable intangible assets acquired in business acquisition | ' | ' | ' | ' | ' | ' | ' | 48,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business acquisition, liabilities assumed and goodwill | ' | ' | ' | ' | ' | ' | ' | 209,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring and related cost, expected cost | ' | ' | ' | ' | ' | $3,000,000 | $1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Components_of_Inventories_Deta
Components of Inventories (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory [Line Items] | ' | ' |
Raw materials | $1,324 | $1,165 |
Finished product | 2,798 | 2,578 |
Inventories, net | $4,122 | $3,743 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $17,471 | $17,614 |
Accumulated depreciation | -7,319 | -7,367 |
Property, plant and equipment, net | 10,152 | 10,247 |
Land and Land Improvements | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 557 | 617 |
Buildings and Building Improvements | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 3,182 | 3,270 |
Machinery and Equipment | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 12,112 | 12,351 |
Construction in Progress | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $1,620 | $1,376 |
Property_Plant_and_Equipment_A
Property, Plant and Equipment - Additional Information (Detail) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Property, Plant and Equipment [Line Items] | ' | ' |
Asset impairment charges | $77 | $36 |
2012-2014 Restructuring Program | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Asset impairment charges | $74 | $32 |
Goodwill_by_Reportable_Segment
Goodwill by Reportable Segment (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | $24,399 | $25,597 |
Latin America | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | 1,223 | 1,262 |
Asia Pacific | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | 2,497 | 2,504 |
EEMEA | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | 2,286 | 2,764 |
Europe Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | 9,386 | 10,026 |
North America Segment | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Goodwill | $9,007 | $9,041 |
Intangible_Assets_Detail
Intangible Assets (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Intangible Assets [Line Items] | ' | ' |
Non-amortizable intangible assets | $19,460 | $20,067 |
Amortizable intangible assets | 2,652 | 2,852 |
Total intangible assets, gross | 22,112 | 22,919 |
Accumulated amortization | -1,002 | -925 |
Intangible assets, net | $21,110 | $21,994 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Brand | |||||
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' | ' | ' |
Amortization expense for intangible assets | $48 | $55 | $157 | $164 | ' |
Estimated amortization expense in year 1 | 200 | ' | 200 | ' | ' |
Estimated amortization expense in year 2 | 200 | ' | 200 | ' | ' |
Estimated amortization expense in year 3 | 200 | ' | 200 | ' | ' |
Estimated amortization expense in year 4 | 200 | ' | 200 | ' | ' |
Estimated amortization expense in year 5 | 200 | ' | 200 | ' | ' |
Number of brands | ' | ' | ' | ' | 7 |
Intangible asset, aggregate book value | 19,460 | ' | 19,460 | ' | 20,067 |
Fair Value Over Book Value 10% or Less | ' | ' | ' | ' | ' |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' | ' | ' |
Intangible asset, aggregate book value | ' | ' | ' | ' | $511 |
Weighted Average | ' | ' | ' | ' | ' |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' | ' | ' | ' |
Life of our amortizable intangible assets (in years) | ' | ' | '13 years 4 months 24 days | ' | ' |
Changes_in_Goodwill_and_Intang
Changes in Goodwill and Intangible Assets (Detail) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Goodwill And Intangible Assets [Line Items] | ' |
Goodwill beginning balance | $25,597 |
Currency | -1,248 |
Other | 50 |
Goodwill ending balance | 24,399 |
Intangible Assets, at Cost beginning balance | 22,919 |
Currency | -808 |
Other | 1 |
Intangible Assets, at Cost ending balance | $22,112 |
Restructuring_Program_Addition
Restructuring Program - Additional Information (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | 6-May-14 | 6-May-14 | Sep. 30, 2014 | Sep. 30, 2014 | 6-May-14 | 6-May-14 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | |
Severance And Related Costs | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2014-2018 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | 2012-2014 Restructuring Program | |||
Maximum | Selling, general and administrative expenses | Selling, general and administrative expenses | Cash Expense | Non Cash Expense | Severance And Related Costs | Selling, general and administrative expenses | Selling, general and administrative expenses | Selling, general and administrative expenses | Selling, general and administrative expenses | Severance And Related Costs | Severance And Related Costs | |||||||||||||
Scenario, Forecast | ||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Approved restructuring program cost | ' | ' | ' | ' | ' | $3,500,000,000 | ' | ' | ' | $2,500,000,000 | $1,000,000,000 | ' | $925,000,000 | ' | $925,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Approved restructuring program cost related to capital expenditure | 1,129,000,000 | 1,028,000,000 | ' | ' | ' | ' | 2,200,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges | ' | ' | 73,000,000 | 25,000,000 | 26,000,000 | ' | ' | ' | ' | ' | ' | 26,000,000 | 163,000,000 | 43,000,000 | 259,000,000 | 131,000,000 | ' | ' | ' | ' | ' | ' | 182,000,000 | ' |
Implementation costs | ' | ' | ' | 42,000,000 | 51,000,000 | ' | ' | 42,000,000 | 51,000,000 | ' | ' | ' | 23,000,000 | 20,000,000 | 66,000,000 | 31,000,000 | ' | ' | 23,000,000 | 20,000,000 | 66,000,000 | 31,000,000 | ' | ' |
Restructuring and related activities, authorized amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,500,000,000 | ' | ' | ' | ' | ' | ' | ' |
Restructuring and related cost, cost incurred | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 765,000,000 | ' | 765,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash spent | ' | ' | ' | ' | 2,000,000 | ' | ' | ' | ' | ' | ' | 2,000,000 | 44,000,000 | ' | 110,000,000 | ' | ' | ' | ' | ' | ' | ' | 110,000,000 | ' |
Non-cash asset write-downs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 53,000,000 | ' | 77,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net restructuring liability | ' | ' | ' | $24,000,000 | $24,000,000 | ' | ' | ' | ' | ' | ' | $24,000,000 | $140,000,000 | ' | $140,000,000 | ' | ' | $68,000,000 | ' | ' | ' | ' | $140,000,000 | $68,000,000 |
Schedule_of_Restructuring_Cost
Schedule of Restructuring Costs (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
2012-2014 Restructuring Program | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | $68 | ' |
Charges | 163 | 43 | 259 | 131 |
Cash spent | -44 | ' | -110 | ' |
Non-cash settlements | -53 | ' | -77 | ' |
Balance at end of period | 140 | ' | 140 | ' |
2014-2018 Restructuring Program | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Charges | 25 | ' | 26 | ' |
Cash spent | ' | ' | -2 | ' |
Balance at end of period | 24 | ' | 24 | ' |
Severance And Related Costs | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Charges | 73 | ' | ' | ' |
Severance And Related Costs | 2012-2014 Restructuring Program | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 68 | ' |
Charges | ' | ' | 182 | ' |
Cash spent | ' | ' | -110 | ' |
Balance at end of period | 140 | ' | 140 | ' |
Severance And Related Costs | 2014-2018 Restructuring Program | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Charges | ' | ' | 26 | ' |
Cash spent | ' | ' | -2 | ' |
Balance at end of period | 24 | ' | 24 | ' |
Asset Write-Downs | 2012-2014 Restructuring Program | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Charges | ' | ' | 77 | ' |
Non-cash settlements | ' | ' | ($77) | ' |
Restructuring_and_Implementati
Restructuring and Implementation Costs (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
2014-2018 Restructuring Program | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | $25 | ' | $26 | ' | ||||
Implementation costs | 42 | ' | 51 | ' | ||||
Total | 67 | ' | 77 | ' | ||||
2014-2018 Restructuring Program | Latin America | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 25 | ' | 26 | ' | ||||
Implementation costs | 7 | ' | 8 | ' | ||||
Total | 32 | ' | 34 | ' | ||||
2014-2018 Restructuring Program | Asia Pacific | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Implementation costs | 4 | ' | 4 | ' | ||||
Total | 4 | ' | 4 | ' | ||||
2014-2018 Restructuring Program | EEMEA | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Implementation costs | 3 | ' | 3 | ' | ||||
Total | 3 | ' | 3 | ' | ||||
2014-2018 Restructuring Program | Europe Segment | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Implementation costs | 14 | ' | 14 | ' | ||||
Total | 14 | ' | 14 | ' | ||||
2014-2018 Restructuring Program | North America Segment | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Implementation costs | 1 | ' | 1 | ' | ||||
Total | 1 | ' | 1 | ' | ||||
2014-2018 Restructuring Program | Corporate | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Implementation costs | 13 | [1] | ' | 21 | [1] | ' | ||
Total | 13 | [1] | ' | 21 | [1] | ' | ||
2012-2014 Restructuring Program | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 163 | 43 | 259 | 131 | ||||
Implementation costs | 23 | 20 | 66 | 31 | ||||
Total | 186 | 63 | 325 | 162 | ||||
2012-2014 Restructuring Program | Latin America | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 3 | 9 | 7 | 9 | ||||
Implementation costs | ' | ' | 1 | ' | ||||
Total | 3 | 9 | 8 | 9 | ||||
2012-2014 Restructuring Program | Asia Pacific | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 27 | ' | 28 | ' | ||||
Implementation costs | 1 | ' | 1 | ' | ||||
Total | 28 | ' | 29 | ' | ||||
2012-2014 Restructuring Program | EEMEA | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 14 | 3 | 26 | 7 | ||||
Implementation costs | ' | ' | 2 | ' | ||||
Total | 14 | 3 | 28 | 7 | ||||
2012-2014 Restructuring Program | Europe Segment | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 85 | 18 | 128 | 55 | ||||
Implementation costs | 14 | 10 | 42 | 14 | ||||
Total | 99 | 28 | 170 | 69 | ||||
2012-2014 Restructuring Program | North America Segment | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | 34 | 12 | 70 | 58 | ||||
Implementation costs | 7 | 10 | 20 | 17 | ||||
Total | 41 | 22 | 90 | 75 | ||||
2012-2014 Restructuring Program | Corporate | ' | ' | ' | ' | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ||||
Restructuring Costs | ' | 1 | [1] | ' | 2 | [1] | ||
Implementation costs | 1 | [1] | ' | ' | ' | |||
Total | $1 | [1] | $1 | [1] | ' | $2 | [1] | |
[1] | Includes adjustment for rounding. |
Integration_Program_Additional
Integration Program - Additional Information (Detail) (Cadbury Integration Program, USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 |
Selling, general and administrative expenses | Selling, general and administrative expenses | Other Current Liabilities | Other Long Term Liabilities | |||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Expected cost savings to be recognized | ' | ' | $750 | ' | ' | ' | ' | ' |
Annual costs savings | ' | ' | ' | 800 | ' | ' | ' | ' |
Restructuring and related cost, expected cost | ' | ' | 1,500 | ' | ' | ' | ' | ' |
Reversal of integration charges | 1 | 6 | ' | ' | ' | ' | ' | ' |
Charges incurred | ' | -6 | ' | ' | 36 | 109 | ' | ' |
Restructuring reserve | $71 | $71 | $145 | ' | ' | ' | $35 | $36 |
Schedule_of_Liability_Activity
Schedule of Liability Activity for Integration Programs (Detail) (Cadbury Integration Program, USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Cadbury Integration Program | ' |
Integration Program [Line Items] | ' |
Balance at beginning of period | $145 |
Charges | -6 |
Cash spent | -51 |
Currency / other | -17 |
Balance at end of period | $71 |
ShortTerm_Borrowings_and_Relat
Short-Term Borrowings and Related Weighted-Average Interest Rates (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Short-term Debt [Line Items] | ' | ' |
Amount outstanding | $1,807 | $1,636 |
Commercial Paper | ' | ' |
Short-term Debt [Line Items] | ' | ' |
Amount outstanding | 1,409 | 1,410 |
Weighted-average rate | 0.40% | 0.40% |
Bank Loans | ' | ' |
Short-term Debt [Line Items] | ' | ' |
Amount outstanding | $398 | $226 |
Weighted-average rate | 7.40% | 7.00% |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 9 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | ||||||||||||||||
Jan. 16, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Jan. 16, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Jan. 16, 2014 | Jan. 16, 2014 | Feb. 06, 2014 | Feb. 19, 2014 | Feb. 19, 2014 | Jan. 16, 2014 | Jan. 16, 2014 | Jan. 16, 2014 | Jan. 16, 2014 | |
Revolving Credit Facility | Commercial Paper | Commercial Paper | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | Tender Offer | London Interbank Offered Rate (LIBOR) | London Interbank Offered Rate (LIBOR) | Cash Flow Hedges | 6.75% Notes | 6.75% Notes | 2.250% Fixed Rate Notes | 2.250% Fixed Rate Notes | 4.000% Fixed Rate Notes | 4.000% Fixed Rate Notes | |||||||
Minimum | Maximum | 7.000% Notes due in August 2037 | 7.000% Notes due in August 2037 | 6.875% Notes due in February 2038 | 6.875% Notes due in February 2038 | 6.875% Notes due in January 2039 | 6.875% Notes due in January 2039 | 6.500% Notes due in February 2040 | 6.500% Notes due in February 2040 | Floating Rate Notes | Floating Rate Notes | Interest rate contracts | ||||||||||||||||
Tender Offer | ||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commercial paper, Maturity period | ' | ' | ' | ' | ' | ' | ' | '1 day | '80 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility, maximum borrowing capacity | ' | ' | ' | ' | ' | ' | $4,500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility expiration date | ' | ' | ' | ' | ' | ' | 11-Oct-18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility debt covenant | ' | ' | ' | ' | ' | ' | 24,600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility debt covenant terms | ' | ' | ' | ' | ' | ' | 'minimum shareholders' equity of at least $24.6 billion, excluding accumulated other comprehensive earnings / (losses) and the cumulative effects of any changes in accounting principles. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility debt covenant compliance | ' | ' | ' | ' | ' | ' | 'At September 30, 2014, we met the covenant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total shareholders' equity, excluding accumulated other comprehensive earnings / (losses) | ' | ' | ' | ' | ' | ' | 35,400,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility outstanding amount | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayment of debt | ' | 2,524,000,000 | 1,750,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000,000 | ' | ' | ' | ' | ' |
Debt instrument interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.00% | ' | 6.88% | ' | 6.88% | ' | 6.50% | ' | ' | ' | ' | 6.75% | ' | ' | ' | ' |
Debt instrument repurchased, principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,560,000,000 | ' | 393,000,000 | ' | 382,000,000 | ' | 250,000,000 | ' | 535,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument expiration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2037-08 | ' | '2038-02 | ' | '2039-01 | ' | '2040-02 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, principal amount | ' | ' | ' | 3,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000,000 | ' | ' | ' | ' | 850,000,000 | ' | 1,750,000,000 |
Loss on extinguishment of debt | ' | -493,000,000 | ' | ' | ' | ' | ' | ' | ' | -493,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | ' | ' | ' | ' | ' | ' |
Debt instrument basis spread on variable rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.52% | ' | ' | ' | ' | ' | ' | ' | ' |
Deb instrument maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1-Feb-19 | ' | ' | ' | ' | 1-Feb-19 | ' | 1-Feb-24 | ' |
Debt instrument, fixed interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.25% | ' | 4.00% |
Net proceeds from issuance of notes | 2,982,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discounts and deferred financing costs | ' | ' | ' | 18,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average interest rate | ' | 4.30% | ' | ' | 4.80% | 5.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of total debt | ' | 19,522,000,000 | ' | ' | 18,835,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying value of total debt | ' | $17,879,000,000 | ' | ' | $17,121,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest_and_Other_Expense_Inc
Interest and Other Expense Income Wthin Results Of Continuing Operations (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Interest expense, debt | $188 | $257 | $582 | $783 |
Loss on debt extinguishment and related expenses | ' | ' | 495 | ' |
Unrealized gain on planned coffee business divestiture currency hedge | -420 | ' | -413 | ' |
Benefit from indemnification resolution | ' | -385 | ' | -385 |
Other expense / (income), net | 5 | 10 | 53 | -2 |
Interest and other expense / (income) | -227 | 218 | 717 | 732 |
Interest and other expense/ (income) | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Benefit from indemnification resolution | ' | ($49) | ' | ($49) |
Fair_Value_of_Derivative_Instr
Fair Value of Derivative Instruments (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | $871 | $422 |
Liability Derivatives | 208 | 111 |
Derivatives Designated as Hedging Instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 126 | 214 |
Liability Derivatives | 26 | 14 |
Derivatives Designated as Hedging Instruments | Currency exchange contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 58 | 3 |
Liability Derivatives | ' | 11 |
Derivatives Designated as Hedging Instruments | Commodity contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 12 | 2 |
Liability Derivatives | 26 | 3 |
Derivatives Designated as Hedging Instruments | Interest rate contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 56 | 209 |
Derivatives Not Designated as Hedging Instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 745 | 208 |
Liability Derivatives | 182 | 97 |
Derivatives Not Designated as Hedging Instruments | Currency exchange contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 535 | 84 |
Liability Derivatives | 12 | 8 |
Derivatives Not Designated as Hedging Instruments | Commodity contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 157 | 60 |
Liability Derivatives | 138 | 51 |
Derivatives Not Designated as Hedging Instruments | Interest rate contracts | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Asset Derivatives | 53 | 64 |
Liability Derivatives | $32 | $38 |
Derivative_Instruments_Fair_Va
Derivative Instruments Fair Value and Measurement Inputs (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | $663 | $311 |
Currency exchange contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 581 | 68 |
Commodity contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 5 | 8 |
Interest rate contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 77 | 235 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | -10 | -4 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | Commodity contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | -10 | -4 |
Significant Other Observable Inputs (Level 2) | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 673 | 315 |
Significant Other Observable Inputs (Level 2) | Currency exchange contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 581 | 68 |
Significant Other Observable Inputs (Level 2) | Commodity contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | 15 | 12 |
Significant Other Observable Inputs (Level 2) | Interest rate contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative fair value net asset (liability) | $77 | $235 |
Financial_Instruments_Addition
Financial Instruments - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | |
USD ($) | USD ($) | Commodity contracts | Currency exchange contracts | Interest rate contracts | Cash Flow Hedges | Cash Flow Hedges | Cash Flow Hedges | Economic Hedging | Interest And Other Expense | Interest And Other Expense | Quoted Prices In Active Markets For Identical Assets (Level 1) | Quoted Prices In Active Markets For Identical Assets (Level 1) | Quoted Prices In Active Markets For Identical Assets (Level 1) | Quoted Prices In Active Markets For Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Other Observable Inputs (Level 2) | |
Commodity contracts | Currency exchange contracts | Interest rate contracts | Foreign Exchange Forward | Economic Hedging | Economic Hedging | Exchange Traded Options | Exchange Traded Options | Exchange Traded Options | Exchange Traded Options | USD ($) | USD ($) | ||||||
USD ($) | USD ($) | Maximum | EUR (€) | Foreign Exchange Forward | Foreign Exchange Forward | USD ($) | USD ($) | Other Current Assets | Other Current Assets | ||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Margin deposits related to exchange traded derivatives | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $47,000,000 | $22,000,000 | ' | ' |
Derivative assets after effects of netting | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 38,000,000 | 7,000,000 | ' | ' | 702,000,000 | 349,000,000 |
Derivative liabilities after effects of netting | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37,000,000 | 47,000,000 |
Expected transfers of unrealized gains (losses) to earnings, within next 12 months | ' | ' | ' | ' | ' | -2,000,000 | 48,000,000 | -1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Hedged forecasted transactions | ' | ' | '15 months | '15 months | '31 years 5 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected cash receipt related to planned coffee business transactions, amount hedged | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized gains (losses) recorded in earnings related to planned coffee business transactions | $420,000,000 | $413,000,000 | ' | ' | ' | ' | ' | ' | ' | $420,000,000 | $413,000,000 | ' | ' | ' | ' | ' | ' |
Notional_Values_of_Derivative_
Notional Values of Derivative Instruments (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Net Investment Hedging | Euro Notes | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | $4,105 | $4,466 |
Net Investment Hedging | Pound Sterling Notes | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | 1,054 | 1,076 |
Currency exchange contracts | Intercompany Loans And Forecasted Interest Payments | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | 5,514 | 4,369 |
Currency exchange contracts | Forecasted transactions | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | 7,039 | 2,565 |
Commodity contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | 1,225 | 805 |
Interest rate contracts | ' | ' |
Derivative [Line Items] | ' | ' |
Notional Amount | $4,000 | $2,273 |
Schedule_of_Cash_Flow_Hedges_E
Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Income, Net of Taxes (Detail) (Cash Flow Hedges, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Cash Flow Hedges | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated gain / (loss) at beginning of period | $44 | $72 | $117 | ($38) |
Transfer of realized losses / (gains) in fair value to earnings | -17 | 6 | -20 | 38 |
Unrealized gain / (loss) in fair value | 47 | 4 | -23 | 82 |
Accumulated gain / (loss) at end of period | $74 | $82 | $74 | $82 |
Effects_of_Cash_Flow_Hedges_De
Effects of Cash Flow Hedges (Detail) (Cash Flow Hedges, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) reclassified from AOCI into earnings | $17 | ($6) | $20 | ($38) |
Gains / (losses) recognized in OCI | 47 | 4 | -23 | 82 |
Currency exchange contracts | Forecasted transactions | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) reclassified from AOCI into earnings | 12 | -6 | 8 | -18 |
Gains / (losses) recognized in OCI | 58 | -16 | 65 | -12 |
Commodity contracts | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) reclassified from AOCI into earnings | 5 | ' | 14 | -19 |
Gains / (losses) recognized in OCI | 7 | 7 | 10 | -1 |
Interest rate contracts | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) reclassified from AOCI into earnings | ' | ' | -2 | -1 |
Gains / (losses) recognized in OCI | ($18) | $13 | ($98) | $95 |
Fair_Value_Hedges_Detail
Fair Value Hedges (Detail) (USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 |
Interest Rate Swap | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gain / (loss) recognized in income on fair value of hedges | ($13) | $1 |
Long-term Debt | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gain / (loss) recognized in income on fair value of hedges | $13 | ($1) |
Economic_Hedges_Detail
Economic Hedges (Detail) (Economic Hedging, USD $) | 9 Months Ended | 3 Months Ended | ||||||||||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Commodity contracts | Commodity contracts | Forecasted Purchases Hedges | Forecasted Purchases Hedges | Forecasted transactions | Forecasted transactions | Forecasted transactions | Forecasted Interest Payments | Forecasted Interest Payments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | Derivatives Not Designated as Hedging Instruments | |||
Cost of Sales | Cost of Sales | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Intercompany loans | Intercompany loans | Interest rate contracts | Interest rate contracts | Commodity contracts | Commodity contracts | Forecasted Purchases Hedges | Forecasted Purchases Hedges | Forecasted transactions | Forecasted transactions | Forecasted transactions | Forecasted Interest Payments | Forecasted Interest Payments | |||||
Cost of Sales | Cost of Sales | Interest and other expense/(income) | Selling, general and administrative expenses | Selling, general and administrative expenses | Currency exchange contracts | Currency exchange contracts | Interest And Other Expense | Interest And Other Expense | Cost of Sales | Cost of Sales | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Currency exchange contracts | Intercompany loans | Intercompany loans | |||||||
Interest And Other Expense | Interest And Other Expense | Cost of Sales | Cost of Sales | Interest and other expense/(income) | Selling, general and administrative expenses | Selling, general and administrative expenses | Currency exchange contracts | Currency exchange contracts | ||||||||||||||||
Interest And Other Expense | Interest And Other Expense | |||||||||||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain / (Loss) Recognized in Earnings | $474 | $106 | $82 | $62 | ($11) | $36 | $405 | ($7) | $1 | $5 | $7 | $459 | $42 | ($1) | $2 | $12 | $28 | $29 | $10 | $419 | ($4) | ($2) | $4 | $4 |
Hedges_of_Net_Investments_in_I
Hedges of Net Investments in International Operations (Detail) (Net Investment Hedging, Currency Translation Adjustments, Currency exchange contracts, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Euro Notes | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) recognized in OCI | $219 | ($28) | $219 | ($18) |
Pound Sterling Notes | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Gains / (losses) recognized in OCI | $37 | ($40) | $14 | $3 |
Components_of_Net_Pension_Cost
Components of Net Pension Cost (Detail) (Pension Plans, USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
U.S. Pension Plans | ' | ' | ' | ' | ||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ||||
Service cost | $14 | $17 | $42 | $53 | ||||
Interest cost | 16 | 15 | 49 | 45 | ||||
Expected return on plan assets | -21 | -16 | -61 | -50 | ||||
Net loss from experience differences | 7 | 14 | 22 | 41 | ||||
Prior service cost | ' | 1 | 1 | 2 | ||||
Settlement losses / (gains) | 14 | [1] | -3 | [1] | 20 | [1] | 2 | [1] |
Net periodic benefit cost | 30 | 28 | 73 | 93 | ||||
Non-U.S. Pension Plans | ' | ' | ' | ' | ||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ||||
Service cost | 47 | 44 | 136 | 130 | ||||
Interest cost | 99 | 88 | 296 | 265 | ||||
Expected return on plan assets | -123 | -108 | -371 | -323 | ||||
Net loss from experience differences | 26 | 34 | 80 | 102 | ||||
Prior service cost | ' | ' | 1 | 1 | ||||
Settlement losses / (gains) | -5 | [1] | 1 | [1] | 5 | [1] | 1 | [1] |
Net periodic benefit cost | $44 | $59 | $147 | $176 | ||||
[1] | Includes settlement losses of $2 million in the three and nine months ended September 30, 2014 and $3 million in the three months and $12 million in the nine months ended September 30, 2013 related to employees who elected to take lump-sum payments in connection with our 2012-2014 Restructuring Program. These costs are reflected within asset impairments and exit costs on the condensed consolidated statement of earnings and within the charges for severance and related costs in Note 6, Restructuring Programs - 2012-2014 Restructuring Program. In the nine months ended September 30, 2013, these were partially offset by $21 million of gains due to improvements in current market rates for routine settlement losses. |
Components_of_Net_Pension_Cost1
Components of Net Pension Cost (Parenthetical) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Gains due to routine settlement losses | ' | ' | ' | $21 |
2012-2014 Restructuring Program | Severance And Related Costs | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Settlement losses | $2 | $3 | $2 | $12 |
Benefit_Plans_Additional_Infor
Benefit Plans - Additional Information (Detail) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
U.S. Pension Plans | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Employer contribution | $6 |
Estimated future employer contributions for remainder of the year | 4 |
Non-U.S. Pension Plans | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Employer contribution | 242 |
Estimated future employer contributions for remainder of the year | $67 |
Components_of_Net_Postretireme
Components of Net Postretirement Health Care Costs (Detail) (Postretirement Benefit Plans, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Postretirement Benefit Plans | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | $4 | $4 | $10 | $12 |
Interest cost | 5 | 5 | 16 | 14 |
Net loss from experience differences | 1 | 2 | 4 | 8 |
Prior service credit | -3 | -3 | -8 | -9 |
Net periodic benefit cost | $7 | $8 | $22 | $25 |
Components_of_Net_Postemployme
Components of Net Postemployment Costs (Detail) (Postemployment Benefit Plans, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Postemployment Benefit Plans | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | $2 | $2 | $6 | $6 |
Interest cost | 2 | 1 | 5 | 4 |
Net periodic benefit cost | $4 | $3 | $11 | $10 |
Stock_Plans_Additional_Informa
Stock Plans - Additional Information (Detail) (USD $) | 9 Months Ended | 12 Months Ended | 9 Months Ended | 0 Months Ended | 1 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 6 Months Ended | ||||||
Share data in Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | 21-May-14 | Sep. 30, 2014 | 21-May-14 | Feb. 28, 2014 | Feb. 28, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jan. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Dec. 03, 2013 | 31-May-14 | 31-May-14 |
Restricted And Deferred Stock | Amended 2005 Plan | Amended 2005 Plan | Amended 2005 Plan | Annual Equity Program | Annual Equity Program | Off Cycle | Off Cycle | Long-Term Incentive Plan | Common Class A | Common Class A | Common Class A | Common Class A | Common Class A | Common Class A | ||||
Restricted And Deferred Stock | Restricted And Deferred Stock | Restricted And Deferred Stock | Accelerated Share Repurchase Program | Accelerated Share Repurchase Program | Accelerated Share Repurchase Program | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional number of shares available for issuance under stock option plan | ' | ' | ' | ' | 75.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares authorized to be issued under stock option plan | ' | ' | ' | ' | ' | ' | 243.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares available to be granted | ' | ' | ' | ' | ' | 90.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options granted to eligible employees | 10 | ' | ' | ' | ' | ' | ' | 9.9 | ' | 0.1 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options granted to eligible employees, exercise price | $34.18 | ' | ' | ' | ' | ' | ' | $34.17 | ' | $35.20 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options granted to eligible employees, options exercised | 6.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intrinsic value of stock options exercised | $98,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted shares | ' | ' | ' | 4 | ' | ' | ' | ' | 2 | ' | 0.8 | 1.2 | ' | ' | ' | ' | ' | ' |
Granted shares fair value, per share | ' | ' | ' | $34.08 | ' | ' | ' | ' | $34.17 | ' | $32.62 | $34.97 | ' | ' | ' | ' | ' | ' |
Number of restricted and deferred shares of stock vested | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of vested restricted and deferred stock | ' | ' | ' | 137,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,700,000,000 | ' | 7,700,000,000 | ' | ' | ' |
Number of shares repurchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34.3 | 82.8 | 44.8 | 5.1 | 49.9 |
Cost of shares repurchased | 1,212,000,000 | ' | 2,900,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000,000 | 2,700,000,000 | 1,500,000,000 | 200,000,000 | ' |
Payment for repurchase of common stock | 1,020,000,000 | 793,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000,000 | 1,000,000,000 | ' | 1,700,000,000 | ' | ' |
Average cost of shares repurchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $35.33 | $33.09 | ' | ' | ' |
Stock repurchase remaining amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,800,000,000 | ' | ' | ' | ' |
Additional paid in capital treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $200,000,000 | $200,000,000 | ' |
Accelerated share repurchases, average repurchase price per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $34.10 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | 11 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Feb. 28, 2013 | Dec. 31, 2013 | Feb. 28, 2013 |
Selling, general and administrative expenses | Selling, general and administrative expenses | Interest and other expense/ (income) | Interest and other expense/ (income) | Indian Department of Central Excise Authority | Indian Department of Central Excise Authority | Indian Department of Central Excise Authority | |||
Cadbury | Cadbury | Cadbury | |||||||
Maximum | Maximum | Maximum | |||||||
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Formal claim of notice presented for unpaid excise tax | ' | ' | ' | ' | ' | ' | $46 | $20 | ' |
Tax penalties and interest expense | ' | ' | ' | ' | ' | ' | ' | 20 | 46 |
Income due to reversal of accrued liability under Tax Indemnity | 385 | 385 | 336 | 336 | 49 | 49 | ' | ' | ' |
Income due to reversal of accrued liability under tax indemnity, net of tax | $363 | ' | ' | ' | ' | ' | ' | ' | ' |
Components_of_Accumulated_Othe
Components of Accumulated Other Comprehensive Earnings / (Losses) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Beginning balances | ' | ' | ($2,889) | ' | |
Currency translation adjustment | ' | ' | -1,979 | [1] | ' |
Pension and other benefits | 16 | 6 | 16 | 3 | |
Derivatives accounted for as hedges | 34 | 10 | -78 | 133 | |
Losses / (gains) reclassified into net earnings | ' | ' | 103 | ' | |
Tax (expense) / benefit | ' | ' | -140 | ' | |
Total other comprehensive earnings / (losses) | ' | ' | -1,695 | ' | |
Ending balances | -4,584 | ' | -4,584 | ' | |
Derivatives Designated as Hedging Instruments | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Derivatives accounted for as hedges | ' | ' | 305 | ' | |
Currency Translation Adjustments | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Beginning balances | ' | ' | -1,414 | ' | |
Currency translation adjustment | ' | ' | -2,069 | [1] | ' |
Tax (expense) / benefit | ' | ' | -150 | ' | |
Ending balances | -3,250 | ' | -3,250 | ' | |
Currency Translation Adjustments | Derivatives Designated as Hedging Instruments | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Derivatives accounted for as hedges | ' | ' | 383 | ' | |
Pension and Other Benefits | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Beginning balances | ' | ' | -1,592 | ' | |
Currency translation adjustment | ' | ' | 90 | [1] | ' |
Pension and other benefits | ' | ' | 16 | ' | |
Losses / (gains) reclassified into net earnings | ' | ' | 125 | ' | |
Tax (expense) / benefit | ' | ' | -47 | ' | |
Ending balances | -1,408 | ' | -1,408 | ' | |
Derivatives Accounted for as Hedges | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Beginning balances | ' | ' | 117 | ' | |
Losses / (gains) reclassified into net earnings | ' | ' | -22 | ' | |
Tax (expense) / benefit | ' | ' | 57 | ' | |
Ending balances | 74 | ' | 74 | ' | |
Derivatives Accounted for as Hedges | Derivatives Designated as Hedging Instruments | ' | ' | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | |
Derivatives accounted for as hedges | ' | ' | ($78) | ' | |
[1] | The condensed consolidated statement of comprehensive earnings for the nine months ended September 30, 2014 includes $(19) million of currency translation adjustment attributable to noncontrolling interests. |
Components_of_Accumulated_Othe1
Components of Accumulated Other Comprehensive Earnings / (Losses) (Parenthetical) (Detail) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Currency translation adjustment attributable to noncontrolling interests | ($19) |
Amounts_Reclassified_from_Accu
Amounts Reclassified from Accumulated Other Comprehensive Earnings (Losses) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Amortization of experience losses and prior service costs | $31 | [1] | $48 | $100 | [1] | $145 |
Settlement losses / (gains) | 9 | [1] | -2 | 25 | [1] | 3 |
Derivatives accounted for as hedges, Reclassification of losses / (gains) included in net earnings | 18 | -8 | 22 | -52 | ||
Total reclassifications into net earnings, net of tax | -2 | ' | 59 | ' | ||
Provision for income taxes | ' | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Tax impact | 2 | ' | 3 | ' | ||
Currency exchange contracts | Forecasted transactions | Cost of Sales | ' | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Derivatives accounted for as hedges, Reclassification of losses / (gains) included in net earnings | -13 | ' | -9 | ' | ||
Commodity contracts | Cost of Sales | ' | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Derivatives accounted for as hedges, Reclassification of losses / (gains) included in net earnings | -5 | ' | -16 | ' | ||
Interest rate contracts | Interest and other expense/ (income) | ' | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Derivatives accounted for as hedges, Reclassification of losses / (gains) included in net earnings | ' | ' | 3 | ' | ||
Pension and Other Benefits | Provision for income taxes | ' | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ||
Tax impact | ($26) | ' | ($47) | ' | ||
[1] | These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans. |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2014 |
Cadbury | Cadbury | U.K. | U.K. | Scenario, Forecast | ||||||
Income Tax Contingency [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impact on provision for income tax, out-of-period adjustments | $20 | ' | $15 | ' | ' | ' | ' | ' | ' | ' |
Estimated effective tax rate | ' | ' | ' | ' | 20.00% | ' | ' | ' | ' | 21.20% |
Effective tax rate | 16.50% | 2.50% | 12.50% | 3.00% | ' | ' | ' | ' | ' | ' |
Total favorable discrete items | 65 | 109 | 169 | 295 | ' | ' | ' | ' | ' | ' |
Net favorable tax audit settlements and expirations of statutes of limitations | 109 | 45 | ' | 177 | ' | ' | ' | ' | ' | ' |
Tax benefit from acquisition-related indemnity resolution | ' | ' | ' | ' | ' | 325 | 325 | ' | ' | ' |
Income tax benefits resulting from tax legislation enacted tax rate | ' | ' | ' | ' | ' | ' | ' | 88 | 88 | ' |
Tax benefits from business divestiture | ' | ' | ' | $39 | ' | ' | ' | ' | ' | ' |
Basic_and_Diluted_Earnings_per
Basic and Diluted Earnings per Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Earnings Per Share [Line Items] | ' | ' | ' | ' | ' |
Net earnings | $902 | $1,018 | $1,694 | $2,162 | $3,935 |
Noncontrolling interest | 3 | 6 | 10 | 13 | ' |
Net earnings attributable to Mondelez International | $899 | $1,012 | $1,684 | $2,149 | ' |
Weighted-average shares for basic EPS | 1,688 | 1,779 | 1,695 | 1,783 | ' |
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares | 17 | 15 | 18 | 15 | ' |
Weighted-average shares for diluted EPS | 1,705 | 1,794 | 1,713 | 1,798 | ' |
Basic earnings per share attributable to Mondelez International | $0.53 | $0.57 | $0.99 | $1.21 | ' |
Diluted earnings per share attributable to Mondelez International | $0.53 | $0.56 | $0.98 | $1.20 | ' |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Antidilutive Mondelez International Stock options excluded from the calculation of diluted EPS | 9.7 | 8 | 8.1 | 9.7 |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2014 | |
Segment | |
Segment Reporting Information [Line Items] | ' |
Number of reportable segments | 5 |
Net_Revenues_by_Segment_Detail
Net Revenues by Segment (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | $8,337 | $8,472 | $25,414 | $25,811 |
Latin America | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,315 | 1,308 | 3,913 | 4,045 |
Asia Pacific | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,153 | 1,136 | 3,460 | 3,743 |
EEMEA | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 894 | 948 | 2,740 | 2,850 |
Europe Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 3,215 | 3,295 | 10,151 | 10,026 |
North America Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | $1,760 | $1,785 | $5,150 | $5,147 |
Operating_Income_by_Segment_De
Operating Income by Segment (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Unrealized gains (losses) on derivatives | $420 | ' | $413 | ' |
General corporate expenses | -56 | -74 | -191 | -219 |
Amortization of intangibles | -48 | -55 | -157 | -164 |
Benefit from indemnification resolution | ' | 385 | ' | 385 |
Gains on acquisition and divestitures, net | ' | ' | ' | 28 |
Acquisition-related costs | ' | ' | ' | -2 |
Operating income | 853 | 1,262 | 2,653 | 2,961 |
Interest and other (expense) / income | 227 | -218 | -717 | -732 |
Earnings before income taxes | 1,080 | 1,044 | 1,936 | 2,229 |
Cost of Sales | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Unrealized gains (losses) on derivatives | 39 | 12 | -8 | 55 |
Selling, general and administrative expenses | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Benefit from indemnification resolution | ' | 336 | ' | 336 |
Latin America | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | 120 | 171 | 304 | 425 |
Asia Pacific | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | 65 | 81 | 364 | 399 |
EEMEA | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | 93 | 109 | 303 | 282 |
Europe Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | 368 | 403 | 1,294 | 1,178 |
North America Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | $272 | $279 | $744 | $643 |
Net_Revenues_by_Consumer_Secto
Net Revenues by Consumer Sector (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | $8,337 | $8,472 | $25,414 | $25,811 |
Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 2,888 | 2,898 | 8,726 | 8,713 |
Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 2,237 | 2,232 | 6,731 | 6,791 |
Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,176 | 1,261 | 3,495 | 3,762 |
Beverages | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,282 | 1,329 | 4,173 | 4,285 |
Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 754 | 752 | 2,289 | 2,260 |
Latin America | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,315 | 1,308 | 3,913 | 4,045 |
Latin America | Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 338 | 329 | 998 | 953 |
Latin America | Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 253 | 253 | 833 | 901 |
Latin America | Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 314 | 353 | 893 | 1,049 |
Latin America | Beverages | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 232 | 211 | 684 | 666 |
Latin America | Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 178 | 162 | 505 | 476 |
Asia Pacific | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,153 | 1,136 | 3,460 | 3,743 |
Asia Pacific | Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 294 | 285 | 898 | 1,028 |
Asia Pacific | Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 408 | 378 | 1,155 | 1,190 |
Asia Pacific | Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 190 | 209 | 584 | 638 |
Asia Pacific | Beverages | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 100 | 99 | 359 | 371 |
Asia Pacific | Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 161 | 165 | 464 | 516 |
EEMEA | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 894 | 948 | 2,740 | 2,850 |
EEMEA | Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 165 | 165 | 483 | 490 |
EEMEA | Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 287 | 294 | 751 | 806 |
EEMEA | Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 151 | 160 | 498 | 505 |
EEMEA | Beverages | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 227 | 260 | 782 | 849 |
EEMEA | Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 64 | 69 | 226 | 200 |
Europe Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 3,215 | 3,295 | 10,151 | 10,026 |
Europe Segment | Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 724 | 750 | 2,269 | 2,231 |
Europe Segment | Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,214 | 1,224 | 3,804 | 3,680 |
Europe Segment | Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 217 | 227 | 678 | 702 |
Europe Segment | Beverages | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 723 | 759 | 2,348 | 2,399 |
Europe Segment | Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 337 | 335 | 1,052 | 1,014 |
North America Segment | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,760 | 1,785 | 5,150 | 5,147 |
North America Segment | Biscuits | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 1,367 | 1,369 | 4,078 | 4,011 |
North America Segment | Chocolate | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 75 | 83 | 188 | 214 |
North America Segment | Gum & Candy | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | 304 | 312 | 842 | 868 |
North America Segment | Cheese & Grocery | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net revenues | $14 | $21 | $42 | $54 |