Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 28, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | MDLZ | |
Entity Registrant Name | Mondelez International, Inc. | |
Entity Central Index Key | 1,103,982 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 1,517,278,172 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Earnings - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net revenues | $ 6,414 | $ 6,455 |
Cost of sales | 3,889 | 3,920 |
Gross profit | 2,525 | 2,535 |
Selling, general and administrative expenses | 1,475 | 1,615 |
Asset impairment and exit costs | 166 | 154 |
Amortization of intangibles | 44 | 44 |
Operating income (loss) | 840 | 722 |
Interest and other expense, net | 119 | 244 |
Earnings before income taxes | 721 | 478 |
Provision for income taxes | (154) | (49) |
Gain on equity method investment exchange | 43 | |
Equity method investment net earnings | 66 | 85 |
Net earnings | 633 | 557 |
Noncontrolling interest earnings | (3) | (3) |
Net earnings attributable to Mondelez International | $ 630 | $ 554 |
Per share data: | ||
Basic earnings per share attributable to Mondelez International | $ 0.41 | $ 0.35 |
Diluted earnings per share attributable to Mondelez International | 0.41 | 0.35 |
Dividends declared | $ 0.19 | $ 0.17 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Comprehensive Earnings - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net earnings | $ 633 | $ 557 |
Other comprehensive earnings/(losses), net of tax: | ||
Currency translation adjustment | 543 | 631 |
Pension and other benefit plans | 1 | (6) |
Derivative cash flow hedges | 18 | (7) |
Total other comprehensive earnings | 562 | 618 |
Comprehensive earnings | 1,195 | 1,175 |
less: Comprehensive earnings attributable to noncontrolling interests | 7 | 16 |
Comprehensive earnings attributable to Mondelez International | $ 1,188 | $ 1,159 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 1,307 | $ 1,741 |
Trade receivables (net of allowances of $48 at March 31, 2017 and $58 at December 31, 2016) | 3,035 | 2,611 |
Other receivables (net of allowances of $96 at March 31, 2017 and $93 at December 31, 2016) | 829 | 859 |
Inventories, net | 2,603 | 2,469 |
Other current assets | 641 | 800 |
Total current assets | 8,415 | 8,480 |
Property, plant and equipment, net | 8,377 | 8,229 |
Goodwill | 20,515 | 20,276 |
Intangible assets, net | 18,297 | 18,101 |
Prepaid pension assets | 162 | 159 |
Deferred income taxes | 359 | 358 |
Equity method investments | 5,594 | 5,585 |
Other assets | 357 | 350 |
TOTAL ASSETS | 62,076 | 61,538 |
LIABILITIES | ||
Short-term borrowings | 4,250 | 2,531 |
Current portion of long-term debt | 1,218 | 1,451 |
Accounts payable | 4,897 | 5,318 |
Accrued marketing | 1,679 | 1,745 |
Accrued employment costs | 616 | 736 |
Other current liabilities | 2,397 | 2,636 |
Total current liabilities | 15,057 | 14,417 |
Long-term debt | 12,906 | 13,217 |
Deferred income taxes | 4,676 | 4,721 |
Accrued pension costs | 1,717 | 2,014 |
Accrued postretirement health care costs | 386 | 382 |
Other liabilities | 1,615 | 1,572 |
TOTAL LIABILITIES | 36,357 | 36,323 |
Commitments and Contingencies (Note 11) | ||
EQUITY | ||
Common Stock, no par value (5,000,000,000 shares authorized and 1,996,537,778 shares issued at March 31, 2017 and December 31, 2016) | 0 | 0 |
Additional paid-in capital | 31,826 | 31,847 |
Retained earnings | 21,468 | 21,149 |
Accumulated other comprehensive losses | (10,564) | (11,122) |
Treasury stock, at cost (475,623,085 shares at March 31, 2017 and 468,172,237 shares at December 31, 2016) | (17,072) | (16,713) |
Total Mondelez International Shareholders' Equity | 25,658 | 25,161 |
Noncontrolling interest | 61 | 54 |
TOTAL EQUITY | 25,719 | 25,215 |
TOTAL LIABILITIES AND EQUITY | $ 62,076 | $ 61,538 |
Condensed Consolidated Balance5
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Trade receivables, allowances | $ 48 | $ 58 |
Other receivables, allowances | $ 96 | $ 93 |
Common Stock, no par value | ||
Common stock, shares authorized | 5,000,000,000 | 5,000,000,000 |
Common Stock, shares issued | 1,996,537,778 | 1,996,537,778 |
Treasury stock, shares | 475,623,085 | 468,172,237 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Equity - USD ($) $ in Millions | Total | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Earnings/(Losses) | Treasury Stock | Noncontrolling Interest | [1] |
Balances at Dec. 31, 2015 | $ 28,100 | $ 31,760 | $ 20,700 | $ (9,986) | $ (14,462) | $ 88 | |
Comprehensive earnings/(losses): | |||||||
Net earnings | 557 | ||||||
Other comprehensive earnings/(losses), net of income taxes | 618 | ||||||
Balances at Mar. 31, 2016 | (9,381) | ||||||
Balances at Dec. 31, 2015 | 28,100 | 31,760 | 20,700 | (9,986) | (14,462) | 88 | |
Comprehensive earnings/(losses): | |||||||
Net earnings | 1,669 | 1,659 | 10 | ||||
Other comprehensive earnings/(losses), net of income taxes | (1,153) | (1,136) | (17) | ||||
Exercise of stock options and issuance of other stock awards | 343 | 87 | (94) | 350 | |||
Common Stock repurchased | (2,601) | (2,601) | |||||
Cash dividends declared | (1,116) | (1,116) | |||||
Dividends paid on noncontrolling interest and other activities | (27) | (27) | |||||
Balances at Dec. 31, 2016 | 25,215 | 31,847 | 21,149 | (11,122) | (16,713) | 54 | |
Comprehensive earnings/(losses): | |||||||
Net earnings | 633 | 630 | 3 | ||||
Other comprehensive earnings/(losses), net of income taxes | 562 | 558 | 4 | ||||
Exercise of stock options and issuance of other stock awards | 72 | (21) | (21) | 114 | |||
Common Stock repurchased | (473) | (473) | |||||
Cash dividends declared | (290) | (290) | |||||
Balances at Mar. 31, 2017 | $ 25,719 | $ 31,826 | $ 21,468 | $ (10,564) | $ (17,072) | $ 61 | |
[1] | Noncontrolling interest as of March 31, 2016 was $92 million, as compared to $88 million as of January 1, 2016. The change of $4 million during the three months ended March 31, 2016 was due to $13 million of other comprehensive earnings, net of taxes, $3 million of net earnings and $(12) million of dividends paid. |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Equity (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash dividends declared, per share | $ 0.19 | $ 0.17 | $ 0.72 | |
Noncontrolling interest | $ 61 | $ 92 | $ 54 | $ 88 |
Change in noncontrolling interest | 4 | |||
Other comprehensive earnings, net of taxes | 4 | 13 | ||
Net earnings | 3 | 3 | ||
Dividends paid | $ 12 |
Condensed Consolidated Stateme8
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES | ||
Net earnings | $ 633 | $ 557 |
Adjustments to reconcile net earnings to operating cash flows: | ||
Depreciation and amortization | 200 | 207 |
Stock-based compensation expense | 39 | 30 |
Deferred income tax provision/(benefit) | 13 | (53) |
Asset impairments and accelerated depreciation | 80 | 67 |
Gain on equity method investment exchange | (43) | |
Equity method investment net earnings | (66) | (85) |
Distributions from equity method investments | 122 | 54 |
Other non-cash items, net | 43 | 102 |
Change in assets and liabilities, net of acquisitions and divestitures: | ||
Receivables, net | (454) | (404) |
Inventories, net | (95) | (77) |
Accounts payable | (443) | (135) |
Other current assets | 126 | 14 |
Other current liabilities | (478) | (463) |
Change in pension and postretirement assets and liabilities, net | (277) | (225) |
Net cash used in operating activities | (557) | (454) |
CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES | ||
Capital expenditures | (306) | (335) |
Proceeds from sale of property, plant and equipment and other assets | 19 | 19 |
Net cash used in investing activities | (287) | (316) |
CASH PROVIDED BY/(USED IN) FINANCING ACTIVITIES | ||
Issuances of commercial paper, maturities greater than 90 days | 626 | 67 |
Repayments of commercial paper, maturities greater than 90 days | (513) | |
Net issuances of other short-term borrowings | 1,587 | 2,246 |
Long-term debt proceeds | 350 | 1,149 |
Long-term debt repaid | (979) | (1,755) |
Repurchase of Common Stock | (461) | (1,187) |
Dividends paid | (292) | (269) |
Other | 60 | (44) |
Net cash provided by financing activities | 378 | 207 |
Effect of exchange rate changes on cash and cash equivalents | 32 | 31 |
Cash and cash equivalents: | ||
Decrease | (434) | (532) |
Balance at beginning of period | 1,741 | 1,870 |
Balance at end of period | $ 1,307 | $ 1,338 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2017 | |
Basis of Presentation | Note 1. Basis of Presentation 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, 2016 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 Principles of Consolidation: The condensed consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries, except our Venezuela subsidiaries. See Currency Translation and Highly Inflationary Accounting: Venezuela We account for investments in which we exercise significant influence (20%-50% Segment Change On October 1, 2016, we integrated our Eastern Europe, Middle East, and Africa (“EEMEA”) operating segment into our Europe and Asia Pacific operating segments to further leverage and optimize the operating scale built within the Europe and Asia Pacific regions. Russia, Ukraine, Turkey, Belarus, Georgia and Kazakhstan were combined within our Europe region, while the remaining Middle East and African countries were combined within our Asia Pacific region to form a new Asia, Middle East and Africa (“AMEA”) operating segment. We have reflected the segment change as if it had occurred in all periods presented. As of October 1, 2016, our operations and management structure were organized into four reportable operating segments: • Latin America • AMEA • Europe • North America See Note 15, Segment Reporting 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 (except for highly inflationary currencies) and realized exchange gains and losses on transactions in earnings. As of March 31, 2017, none of our consolidated subsidiaries were subject to highly inflationary accounting. United Kingdom. two-year Brexit has caused volatility in global stock markets and currency exchange rates, affecting the markets in which we operate. The implications of Brexit could adversely affect demand for our products, our financial results and operations, and our relationships with customers, suppliers and employees in the short or long-term. The value of the British pound sterling relative to the U.S. dollar fell by 9% on June 24, 2016 and declined an additional 11% in 2016. In the first quarter of 2017, the value of the British pound sterling relative to the U.S. dollar increased 2%. Further volatility in the exchange rate is expected over the transition period. As the business operating environment remains uncertain, we continue to monitor our investments and currency exposures abroad. As the U.K. is not a highly-inflationary economy, we record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. While we did not experience significant business disruptions in our U.K. businesses following the referendum, the devaluation of the British pound sterling in 2016 adversely affected our translated results reported in U.S. dollars. We have a natural hedge in the form of pound sterling-denominated debt that acts as a net investment hedge, moving counter to adverse pound sterling currency translation impacts. British pound sterling currency transaction risks are largely mitigated due to our global chocolate businesses buying cocoa in British pound sterling. Our U.K. operations contributed $536 million, or 8.4% of consolidated net revenues for the three months ended March 31, 2017. Venezuela. Argentina. Ukraine Other Countries. Transfers of Financial Assets: We account for transfers of financial assets, such as uncommitted revolving non-recourse New Accounting Pronouncements: In March 2017, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) to amend the amortization period for certain purchased callable debt securities held at a premium, shortening the period to the earliest call date instead of the maturity date. The standard does not impact securities held at a discount as the discount continues to be amortized to maturity. The ASU is effective for fiscal years beginning after December 15, 2018, with early adoption permitted, and should be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. We are currently assessing the impact on our condensed consolidated financial statements. In March 2017, the FASB issued an ASU to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost. The standard requires employers to disaggregate the service cost component from the other components of net benefit cost and disclose the amount and location where the net benefit cost is recorded in the income statement or capitalized in assets. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. The standard is to be applied on a retrospective basis for the change in presentation in the income statement and prospectively for the change in presentation on the balance sheet. We are currently assessing the impact on our condensed consolidated financial statements. In January 2017, the FASB issued an ASU that simplifies the accounting for goodwill impairments by eliminating “Step 2” from the goodwill impairment testing. In Step 2, a goodwill impairment loss is measured by comparing the carrying amount of a reporting unit’s goodwill with the goodwill’s implied fair value. To compute the implied fair value of goodwill, it is necessary to assign the fair value of a reporting unit to all of its assets and liabilities as if the reporting unit had been acquired in a business combination. Under the new guidance, goodwill impairment losses are calculated based on the “Step 1” computation with the impairment loss being equal to the amount by which a reporting unit’s carrying amount exceeds its implied fair value, limited to the total amount of goodwill allocated to the reporting unit. The ASU is effective for fiscal years beginning after December 15, 2019 and is to be applied prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We elected to early adopt this standard on March 31, 2017 as it simplifies the goodwill testing model. There was no impact to our condensed consolidated financial statements from adopting the standard. In January 2017, the FASB issued an ASU that clarifies the definition of a business with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions or disposals of assets or businesses. The definition of a business may affect many areas of accounting including acquisitions, disposals, goodwill and consolidation. The ASU is applied on a prospective basis and is effective for fiscal years beginning after December 15, 2017 with early adoption permitted. We continue to assess the ASU based on any pending or new transactions that may arise prior to the January 1, 2018 adoption date. At this time, we do not anticipate early adopting nor a material impact on our condensed consolidated financial statements. In November 2016, the FASB issued an ASU that requires the change in restricted cash or cash equivalents to be included with other changes in cash and cash equivalents in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard at the same time as the cash flow statement classification changes described below go into effect on January 1, 2018. We continue to assess the impact on our condensed consolidated statement of cash flows. In October 2016, the FASB issued an ASU that requires the recognition of tax consequences of intercompany asset transfers other than inventory when the transfer occurs and removes the exception to postpone recognition until the asset has been sold to an outside party. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting on January 1, 2018 and do not expect the ASU to have a material impact on our condensed consolidated financial statements. In August 2016, the FASB issued an ASU to provide guidance on eight specific cash flow classification issues and reduce diversity in practice in how some cash receipts and cash payments are presented and classified in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard on January 1, 2018. We continue to assess the impact on our condensed consolidated statement of cash flows. In March 2016, the FASB issued an ASU to simplify the accounting for stock-based compensation. The ASU addresses several areas of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and cash flow statement presentation. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We adopted the standard on January 1, 2017. Following adoption, during the first quarter of 2017, we recorded a $14 million stock-based compensation tax benefit in earnings (within the provision for income taxes) and we will continue to record the stock-based compensation tax impacts (related to stock awards vesting and stock option exercises) within earnings each quarter on a prospective basis. We have also elected to continue to estimate forfeitures and not record forfeitures as they occur. Under the former guidance and for periods prior to January 1, 2017, we recorded the tax impacts directly to equity (within additional paid-in In February 2016, the FASB issued an ASU on lease accounting. The ASU revises existing U.S. GAAP and outlines a new model for lessors and lessees to use in accounting for lease contracts. The guidance requires lessees to recognize a right-of-use In January 2016, the FASB issued an ASU that provides updated guidance for the recognition, measurement, presentation and disclosure of financial assets and liabilities. The standard requires that equity investments (other than those accounted for under equity method of accounting or those that result in consolidation of the investee) be measured at fair value, with changes in fair value recognized in net income. The standard also impacts financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017. This ASU is not expected to have a significant impact on our condensed consolidated financial statements. In May 2014, the FASB issued an ASU on revenue recognition from contracts with customers. The 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 control over 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. In 2016 and early 2017, the FASB issued several ASUs that clarified principal versus agent (gross versus net) revenue presentation considerations, confirmed the accounting for certain prepaid stored-value products and clarified the guidance for identifying performance obligations within a contract, the accounting for licenses and partial sales of nonfinancial assets. The FASB also issued two ASUs providing technical corrections, narrow scope exceptions and practical expedients to clarify and improve the implementation of the new revenue recognition guidance. The revenue guidance is effective for annual reporting periods beginning after December 15, 2017, with early adoption permitted as of the original effective date (annual reporting periods beginning after December 15, 2016). The ASU may be applied retrospectively to historical periods presented or as a cumulative-effect adjustment as of the date of adoption. We plan to adopt the new standard on January 1, 2018 on a full retrospective basis. We continue to make significant progress on quantifying the impact of the ASU on our condensed consolidated financial statements and planning the final process, policy and disclosure changes that will go into effect on January 1, 2018. At this time, we do not expect a material financial impact from adopting the new revenue standards. Reclassifications: Certain amounts previously reported have been reclassified to conform to current-year presentation. In connection with the segment change that went into effect on October 1, 2016, as described above, see Notes 5, Goodwill and Intangible Assets 2014-2018 Restructuring Program; Segment Reporting Reclassifications from Accumulated Other Comprehensive Income, |
Divestitures and Acquisitions
Divestitures and Acquisitions | 3 Months Ended |
Mar. 31, 2017 | |
Divestitures and Acquisitions | Note 2. Divestitures and Acquisitions JDE Coffee Business Transactions: On July 2, 2015, we completed transactions to combine our wholly owned coffee businesses with those of D.E Master Blenders 1753 B.V. (“DEMB”) to create a new company, Jacobs Douwe Egberts (“JDE”). Following the exchange of a portion of our investment in JDE for an interest in Keurig Green Mountain, Inc. (“Keurig”) in March 2016, we held a 26.5% equity interest in JDE. (See discussion under Keurig Transaction JDE Stock-Based Compensation Arrangements JDE Stock-Based Compensation Arrangements: On June 30, 2016, we entered into agreements with AHBV and its affiliates to establish a new stock-based compensation arrangement tied to the issuance of JDE equity compensation awards to JDE employees. This arrangement replaced a temporary equity compensation program tied to the issuance of AHBV equity compensation to JDE employees. New Class C, D and E JDE shares were authorized and issued for investments made by, and vested stock-based compensation awards granted to, JDE employees. Under these arrangements, share ownership dilution from the JDE Class C, D and E shareholders is limited to 2%. We retained our 26.5% voting rights and have a slightly lower portion of JDE’s profits and dividends than our shareholder ownership interest as certain employee shareholders receive a slightly larger share. Upon execution of the agreements and the creation of the Class C, D and E JDE shares, as a percentage of the total JDE issued shares, our Class B shares decreased from 26.5% to 26.4% and AHBV’s Class A shares decreased from 73.5% to 73.22%, while the Class C, D and E shares, held by AHBV and its affiliates until the JDE employee awards vest, comprised 0.38% of JDE’s shares. Additional Class C shares are available to be issued when planned long-term incentive plan (“JDE LTIP”) awards vest, generally over the next five years. When the JDE Class C shares are issued in connection with the vested JDE LTIP awards, the Class A and B relative ownership interests will decrease. Based on estimated achievement and forfeiture assumptions, we do not expect our JDE ownership interest to decrease below 26.27%. Keurig Transaction: On March 3, 2016, a subsidiary of AHBV completed a $13.9 billion acquisition of all of the outstanding common stock of Keurig through a merger transaction. On March 7, 2016, we exchanged with a subsidiary of AHBV a portion of our equity interest in JDE with a carrying value of € pro-rata Other Divestitures and Acquisitions: On April 28, 2017, we completed the sale of several manufacturing facilities in France and the sale or license of several local confectionery brands. The sale price of approximately € non-current non-current euro-to-U.S. € On January 18, 2017, we reached an agreement to sell most of our grocery business in Australia and New Zealand to Bega Cheese Limited for approximately $460 million Australian dollars ($351 million as of March 31, 2017). As of March 31, 2017, the asset group to be sold consisted of approximately $25 million of current assets and approximately $125 million of non-current Australian-to-U.S. mid-2017. On November 2, 2016, we purchased from Burton’s Biscuit Company certain intangibles, which include the license to manufacture, market and sell Cadbury-branded biscuits in additional key markets around the world, including in the U.K., France, Ireland, North America and Saudi Arabia. The transaction was accounted for as a business combination. Total cash paid for the acquired assets was £199 million ($245 million as of November 2, 2016). We are working to complete the valuation work and have recorded a preliminary purchase price allocation of $72 million to definite-lived intangible assets, $155 million to goodwill, $14 million to property, plant and equipment and $4 million to inventory. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2017 | |
Inventories | Note 3. Inventories Inventories consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Raw materials $ 752 $ 722 Finished product 1,978 1,865 2,730 2,587 Inventory reserves (127 ) (118 ) Inventories, net $ 2,603 $ 2,469 |
Property, Plant and Equipment
Property, Plant and Equipment | 3 Months Ended |
Mar. 31, 2017 | |
Property, Plant and Equipment | Note 4. Property, Plant and Equipment Property, plant and equipment consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Land and land improvements $ 476 $ 471 Buildings and building improvements 2,885 2,801 Machinery and equipment 10,689 10,302 Construction in progress 1,025 1,113 15,075 14,687 Accumulated depreciation (6,698 ) (6,458 ) Property, plant and equipment, net $ 8,377 $ 8,229 For the three months ended March 31, 2017, capital expenditures of $306 million exclude $186 million of accrued capital expenditures remaining unpaid at March 31, 2017 and include payment for a portion of the $343 million of capital expenditures that were accrued and unpaid at December 31, 2016. For the three months ended March 31, 2016, capital expenditures of $335 million exclude $211 million of accrued capital expenditures remaining unpaid at March 31, 2016 and include payment for $322 million of capital expenditures that were accrued and unpaid at December 31, 2015. In connection with our restructuring program, we recorded non-cash 2014-2018 Restructuring Program For the Three Months Ended March 31, 2017 2016 (in millions) Latin America $ 6 $ 6 AMEA 12 9 Europe 37 21 North America 15 16 Corporate 1 — Total non-cash $ 71 $ 52 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets | Note 5. Goodwill and Intangible Assets Goodwill by segment below reflects our current segment structure for both periods presented: As of March 31, As of December 31, 2017 2016 (in millions) Latin America $ 947 $ 897 AMEA 3,388 3,324 Europe 7,289 7,170 North America 8,891 8,885 Goodwill $ 20,515 $ 20,276 Intangible assets consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Non-amortizable $ 17,229 $ 17,004 Amortizable intangible assets 2,349 2,315 19,578 19,319 Accumulated amortization (1,281 ) (1,218 ) Intangible assets, net $ 18,297 $ 18,101 Non-amortizable LU non-compete Amortization expense for intangible assets was $44 million in the three months ended March 31, 2017 and in the three months ended March 31, 2016. We currently estimate annual amortization expense for each of the next five years to be approximately $155 million, estimated using March 31, 2017 exchange rates. Changes in goodwill and intangible assets consisted of: Intangible Goodwill Assets, at cost (in millions) Balance at January 1, 2017 $ 20,276 $ 19,319 Currency 239 259 Balance at March 31, 2017 $ 20,515 $ 19,578 During our 2016 annual testing of non-amortizable |
2014-2018 Restructuring Program
2014-2018 Restructuring Program | 3 Months Ended |
Mar. 31, 2017 | |
2014-2018 Restructuring Program | Note 6. 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 non-cash one-time year-end Restructuring Costs We recorded restructuring charges of $157 million in the three months ended March 31, 2017 and $139 million in the three months ended March 31, 2016 within asset impairment and exit costs. The 2014-2018 Restructuring Program liability activity for the three months ended March 31, 2017 was: Severance and Asset related costs Write-downs Total (in millions) Liability balance, January 1, 2017 $ 464 $ – $ 464 Charges 86 71 157 Cash spent (84 ) – (84 ) Non-cash (1 ) (71 ) (72 ) Currency 8 – 8 Liability balance, March 31, 2017 $ 473 $ – $ 473 We spent $84 million in the three months ended March 31, 2017 and $74 million in the three months ended March 31, 2016 in cash severance and related costs. We also recognized non-cash non-cash Implementation Costs: Implementation costs are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. 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. Implementation 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. Within our continuing results of operations, we recorded implementation costs of $54 million in the three months ended March 31, 2017 and $98 million in the three months ended March 31, 2016. 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 months ended March 31, 2017 and 2016 and since inception of the 2014-2018 Restructuring Program, we recorded restructuring and implementation costs within operating income by segment (as revised to reflect our current segment structure) as follows: Latin North America AMEA Europe America (1) Corporate (2) Total (in millions) For the Three Months Ended Restructuring Costs $ 24 $ 27 $ 69 $ 38 $ (1 ) $ 157 Implementation Costs 9 8 12 13 12 54 Total $ 33 $ 35 $ 81 $ 51 $ 11 $ 211 For the Three Months Ended Restructuring Costs $ 12 $ 29 $ 67 $ 31 $ – $ 139 Implementation Costs 7 8 30 38 15 98 Total $ 19 $ 37 $ 97 $ 69 $ 15 $ 237 Total Project 2014-2017 (3) Restructuring Costs $ 361 $ 334 $ 718 $ 392 $ 51 $ 1,856 Implementation Costs 118 94 216 208 188 824 Total $ 479 $ 428 $ 934 $ 600 $ 239 $ 2,680 (1) During 2017 and 2016, our North America region implementation costs included incremental costs that we incurred related to re-negotiating (2) Includes adjustment for rounding. (3) Includes all charges recorded since program inception on May 6, 2014 through March 31, 2017. |
Debt and Borrowing Arrangements
Debt and Borrowing Arrangements | 3 Months Ended |
Mar. 31, 2017 | |
Debt and Borrowing Arrangements | Note 7. Debt and Borrowing Arrangements Short-Term Borrowings: Our short-term borrowings and related weighted-average interest rates consisted of: As of March 31, 2017 As of December 31, 2016 Amount Weighted- Amount Weighted- Outstanding Average Rate Outstanding Average Rate (in millions) (in millions) Commercial paper $ 3,835 1.1% $ 2,371 1.0% Bank loans 415 10.7% 160 10.6% Total short-term borrowings $ 4,250 $ 2,531 As of March 31, 2017, the commercial paper issued and outstanding had between 3 and 88 days remaining to maturity. Commercial paper borrowings increased in the first quarter of 2017 primarily as a result of issuances to finance the payment of long-term debt maturities, dividend payments and share repurchases during the quarter. 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: On March 1, 2017, to supplement our commercial paper program, we entered into a $1.5 billion revolving credit agreement for a 364-day We also maintain a $4.5 billion multi-year senior unsecured revolving credit facility for general corporate purposes, including working capital needs, and to support our commercial paper program. On October 14, 2016, the revolving credit agreement, which was scheduled to expire on October 11, 2018, was extended through October 11, 2021. 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 March 31, 2017, we complied with this covenant as our shareholders’ equity, as defined by the covenant, was $36.2 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 March 31, 2017, no amounts were drawn on the facility. Some of our international subsidiaries maintain primarily uncommitted credit lines to meet short-term working capital needs. Collectively, these credit lines amounted to $1.9 billion at March 31, 2017 and $1.8 billion at December 31, 2016. Borrowings on these lines amounted to $415 million at March 31, 2017 and $160 million at December 31, 2016. Long-Term Debt: On April 12, 2017, we discharged $488 million of our 6.500% U.S. dollar-denominated debt. We paid $504 million, representing principal as well as past and future interest accruals from February 2017 through the August 2017 maturity date. On March 30, 2017, fr. fr On March 13, 2017, we launched an offering of fr • fr • fr On March 30, 2017, we received net proceeds of fr. On January 26, 2017, € Our weighted-average interest rate on our total debt was 2.2% as of March 31, 2017 and December 31, 2016, down from 3.7% as of December 31, 2015. Fair Value of Our Debt: The fair value of our short-term borrowings at March 31, 2017 and December 31, 2016 reflects current market interest rates and approximates the amounts we have recorded on our condensed consolidated balance sheets. 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 March 31, 2017, the aggregate fair value of our total debt was $19,038 million and its carrying value was $18,374 million. At December 31, 2016, the aggregate fair value of our total debt was $17,882 million and its carrying value was $17,199 million. Interest and Other Expense, net: Interest and other expense, net within our results of continuing operations consisted of: For the Three Months March 31, 2017 2016 (in millions) Interest expense, debt $ 103 $ 136 Loss related to interest rate swaps – 97 Other expense, net 16 11 Interest and other expense, net $ 119 $ 244 See Note 8, Financial Instruments |
Financial Instruments
Financial Instruments | 3 Months Ended |
Mar. 31, 2017 | |
Financial Instruments | Note 8. Financial Instruments Fair Value of Derivative Instruments: Derivative instruments were recorded at fair value in the condensed consolidated balance sheets as follows: As of March 31, 2017 As of December 31, 2016 Asset Liability Asset Liability Derivatives Derivatives Derivatives Derivatives (in millions) Derivatives designated as Currency exchange contracts $ 13 $ 2 $ 19 $ 8 Commodity contracts 7 13 17 22 Interest rate contracts 103 24 108 19 $ 123 $ 39 $ 144 $ 49 Derivatives not designated as Currency exchange contracts $ 32 $ 53 $ 29 $ 43 Commodity contracts 26 145 112 167 Interest rate contracts 20 14 27 19 $ 78 $ 212 $ 168 $ 229 Total fair value $ 201 $ 251 $ 312 $ 278 During the first quarter of 2017 and 2016, derivatives designated as accounting hedges include cash flow and fair value hedges and derivatives not designated as accounting hedges include economic hedges. Non-U.S. non-U.S. Debt and Borrowing Arrangements The fair values (asset/(liability)) of our derivative instruments were determined using: As of March 31, 2017 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 $ (10 ) $ – $ (10 ) $ – Commodity contracts (125 ) (120 ) (5 ) – Interest rate contracts 85 – 85 – Total derivatives $ (50 ) $ (120 ) $ 70 $ – As of December 31, 2016 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 $ (3 ) $ – $ (3 ) $ – Commodity contracts (60 ) (86 ) 26 – Interest rate contracts 97 – 97 – Total derivatives $ 34 $ (86 ) $ 120 $ – 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 $170 million as of March 31, 2017 and $133 million as of December 31, 2016 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, for derivatives we have in a net asset position, our counterparties would owe us a total of $49 million as of March 31, 2017 and $48 million as of December 31, 2016. For derivatives we have in a net liability position, we would owe $2 million as of December 31, 2016. Level 2 financial assets and liabilities consist primarily of over-the-counter set-off. net-settled Derivative Volume: The net notional values of our derivative instruments were: Notional Amount As of March 31, As of December 31, 2017 2016 (in millions) Currency exchange contracts: Intercompany loans and forecasted interest payments $ 3,181 $ 3,343 Forecasted transactions 1,655 1,452 Commodity contracts 1,144 837 Interest rate contracts 6,375 6,365 Net investment hedge – euro notes 3,563 4,012 Net investment hedge – pound sterling notes 426 419 Net investment hedge – Swiss franc notes 1,646 1,447 Cash Flow Hedges: Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings/(losses) included: For the Three Months Ended March 31, 2017 2016 (in millions) Accumulated gain/(loss) at January 1 $ (121 ) $ (45 ) Transfer of realized losses/(gains) in fair value to earnings 7 58 Unrealized gain/(loss) in fair value 11 (66 ) Accumulated gain/(loss) at March 31 $ (103 ) $ (53 ) After-tax For the Three Months Ended March 31, 2017 2016 (in millions) Currency exchange contracts – forecasted transactions $ – $ 5 Commodity contracts (7 ) (3 ) Interest rate contracts – (60 ) Total $ (7 ) $ (58 ) After-tax For the Three Months Ended March 31, 2017 2016 (in millions) Currency exchange contracts – forecasted transactions $ (6 ) $ (12 ) Commodity contracts (1 ) (5 ) Interest rate contracts 18 (49 ) Total $ 11 $ (66 ) Cash flow hedge ineffectiveness was not material for all periods presented. Within interest and other expense, net, we recorded pre-tax We record pre-tax after-tax • cost of sales for commodity contracts; • cost of sales for currency exchange contracts related to forecasted transactions; and • interest and other expense, net for interest rate contracts and currency exchange contracts related to intercompany loans. Based on current market conditions, we would expect to transfer losses of $24 million (net of taxes) for commodity cash flow hedges, unrealized gains of $10 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 March 31, 2017, we hedged transactions forecasted to impact cash flows over the following periods: • commodity transactions for periods not exceeding the next 9 months; • interest rate transactions for periods not exceeding the next 6 years and 7 months; and • currency exchange transactions for periods not exceeding the next 9 months. Fair Value Hedges: Pre-tax For the Three Months Ended March 31, 2017 2016 (in millions) Derivatives $ (4 ) $ 5 Borrowings 4 (5 ) 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 were: For the Three Months Ended March 31, Location of Gain/(Loss) Recognized in Earnings 2017 2016 (in millions) Currency exchange contracts: Intercompany loans and forecasted $ 2 $ 5 Interest and other expense, net Forecasted transactions (17 ) (31 ) Cost of sales Forecasted transactions (2 ) 8 Interest and other Forecasted transactions (1 ) 4 Selling, general and administrative Commodity contracts (62 ) (44 ) Cost of sales Total $ (80 ) $ (58 ) Hedges of Net Investments in International Operations: After-tax For the Three Months Ended Location of Gain/(Loss) Recognized in AOCI March 31, 2017 2016 (in millions) Euro notes $ (29 ) $ 154 Currency Pound sterling notes (5 ) (23 ) Translation Swiss franc notes (15 ) 43 Adjustment |
Benefit Plans
Benefit Plans | 3 Months Ended |
Mar. 31, 2017 | |
Benefit Plans | Note 9. Benefit Plans Pension Plans Components of Net Periodic Pension Cost: Net periodic pension cost consisted of the following: U.S. Plans Non-U.S. For the Three Months Ended For the Three Months Ended March 31, March 31, 2017 2016 2017 2016 (in millions) Service cost $ 12 $ 13 $ 39 $ 38 Interest cost 15 16 48 60 Expected return on plan assets (25 ) (24 ) (104 ) (110 ) Amortization: Net loss from experience differences 8 9 41 31 Prior service cost/(credit) 1 – (1 ) (1 ) Settlement losses and other expenses 3 4 1 – Net periodic pension cost $ 14 $ 18 $ 24 $ 18 For retired employees who elected lump-sum Employer Contributions: During the three months ended March 31, 2017, we contributed $3 million to our U.S. pension plans and $307 million to our non-U.S. non-U.S. non-recurring As of March 31, 2017, we plan to make further contributions of approximately $10 million to our U.S. plans and approximately $148 million to our non-U.S. Postretirement Benefit Plans Net periodic postretirement health care costs consisted of the following: For the Three Months Ended March 31, 2017 2016 (in millions) Service cost $ 2 $ 3 Interest cost 4 5 Amortization: Net loss from experience differences 3 2 Prior service credit (1) (10 ) (2 ) Net periodic postretirement health care costs $ (1 ) $ 8 (1) For the three months ended March 31, 2017, amortization of prior service credit includes an $8 million gain related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants. Postemployment Benefit Plans Net periodic postemployment costs consisted of the following: For the Three Months Ended March 31, 2017 2016 (in millions) Service cost $ 1 $ 2 Interest cost 1 1 Amortization of net gains (1 ) – Net periodic postemployment costs $ 1 $ 3 |
Stock Plans
Stock Plans | 3 Months Ended |
Mar. 31, 2017 | |
Stock Plans | Note 10. Stock Plans Stock Options: Stock option activity is reflected below: Weighted- Average Average Exercise or Remaining Aggregate Shares Subject Grant Price Contractual Intrinsic to Option Per Share Term Value Balance at January 1, 2017 53,601,612 $ 28.02 6 years $ 874 million Annual grant to eligible employees 6,012,140 43.20 Additional options issued 9,310 44.60 Total options granted 6,021,450 43.20 Options exercised (1) (2,080,511 ) 26.18 $ 38 million Options cancelled (589,971 ) 37.93 Balance at March 31, 2017 56,952,580 29.59 6 years $ 769 million (1) Cash received from options exercised was $57 million in the three months ended March 31, 2017. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises totaled $8 million in the three months ended March 31, 2017. Performance Share Units and Other Stock-Based Awards: Our performance share unit, deferred stock unit and historically granted restricted stock activity is reflected below: Weighted-Average Weighted-Average Number Fair Value Aggregate of Shares Grant Date Per Share Fair Value Balance at January 1, 2017 7,593,627 $ 24.29 Annual grant to eligible employees: Feb. 16, 2017 Performance share units 1,087,010 43.20 Deferred stock units 845,550 43.20 Additional shares granted (1) 160,677 Various 37.15 Total shares granted 2,093,237 42.74 $ 89 million Vested (2) (2,284,703 ) 42.92 $ 98 million Forfeited (2) (293,146 ) 38.49 Balance at March 31, 2017 7,109,015 23.15 (1) Includes performance share units and deferred stock units. (2) Includes performance share units, deferred stock units and historically granted restricted stock. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the shares vested totaled $6 million in the three months ended March 31, 2017. Share Repurchase Program: During 2013, our Board of Directors authorized the repurchase of $7.7 billion of our Common Stock through December 31, 2016. On July 29, 2015, our Finance Committee, with authorization delegated from our Board of Directors, approved an increase of $6.0 billion in the share repurchase program, raising the authorization to $13.7 billion of Common Stock repurchases, and extended the program through December 31, 2018. Repurchases under the program are determined by management and are wholly discretionary. Prior to January 1, 2017, we had repurchased $10.8 billion of Common Stock pursuant to this authorization. During the three months ended March 31, 2017, we repurchased 10.8 million shares of Common Stock at an average cost of $43.87 per share, or an aggregate cost of approximately $0.5 billion, all of which was paid during the quarter. All share repurchases were funded through available cash and commercial paper issuances. As of March 31, 2017, we have $2.4 billion in remaining share repurchase capacity. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies | Note 11. 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. In February 2013 and March 2014, Cadbury India Limited (now known as Mondelez India Foods Private Limited), a subsidiary of Mondelēz International, and other parties received show cause notices from the Indian Central Excise Authority (the “Excise Authority”) calling upon the parties to demonstrate why the Excise Authority should not collect a total of 3.7 billion Indian rupees ($58 million as of March 31, 2017) of unpaid excise tax and an equivalent amount of penalties, as well as interest, related to production at the same Indian facility. We contested these demands for unpaid excise taxes, penalties and interest. On March 27, 2015, after several hearings, the Commissioner of the Excise Authority issued an order denying the excise exemption that we claimed for the Indian facility and confirming the Excise Authority’s demands for total taxes and penalties in the amount of 5.8 billion Indian rupees ($90 million as of March 31, 2017). We have appealed this order. In addition, the Excise Authority issued additional show cause notices in February 2015 and December 2015 on the same issue but covering the periods January to October 2014 and November 2014 to September 2015, respectively. These notices added a total of 2.4 billion Indian rupees ($37 million as of March 31, 2017) of unpaid excise taxes as well as penalties to be determined up to an amount equivalent to that claimed by the Excise Authority and interest. We believe that the decision to claim the excise tax benefit is valid and we are continuing to contest the show cause notices through the administrative and judicial process. In April 2013, the staff of the U.S. 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 non-competitive exchange-for-physical 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 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 March 31, 2017, we had no material third-party guarantees recorded on our condensed consolidated balance sheet. Tax Matters: As part of our 2010 Cadbury acquisition, we became the responsible party for tax matters under a February 2, 2006 dated Deed of Tax Covenant between the Cadbury Schweppes PLC and related entities (“Schweppes”) and Black Lion Beverages and related entities. The tax matters included an ongoing transfer pricing case with the Spanish tax authorities related to the Schweppes businesses Cadbury divested prior to our acquisition of Cadbury. During the first quarter of 2017, the Spanish Supreme Court decided the case in our favor. As a result of the final ruling, during the first quarter of 2017, we recorded a favorable earnings impact of $46 million in selling, general and administrative expenses and $12 million in interest and other expense, net, for a total pre-tax non-cash During the first quarter of 2017, the Brazilian Supreme Court (the “Court”) ruled against the Brazilian tax authorities in a case brought by one of our Brazilian subsidiaries in 2008 related to the computation of certain social taxes. The Court ruled that the social tax base should not include a value-added tax known as ICMS. By removing the ICMS from the tax base, the Court effectively eliminated a “tax on a tax.” Our Brazilian subsidiary received an injunction against making payments for the “tax on a tax” in 2008 and since that time, has accrued for the ICMS tax each quarter in the event that the ICMS tax was reaffirmed by the Brazilian courts. The decision of the Court has not yet been published and we are awaiting further instructions from the Court and tax authorities related to amounts previously paid and accrued for the ICMS tax. We cannot reasonably estimate the amount and timing of the impact at this time. |
Reclassifications from Accumula
Reclassifications from Accumulated Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2017 | |
Reclassifications from Accumulated Other Comprehensive Income | Note 12. Reclassifications from Accumulated Other Comprehensive Income The following table summarizes the changes in the accumulated balances of each component of accumulated other comprehensive earnings/(losses) attributable to Mondelēz International. Amounts reclassified from accumulated other comprehensive earnings/(losses) to net earnings (net of tax) were net losses of $43 million in the three months ended March 31, 2017 and $140 million in the three months ended March 31, 2016. For the Three Months Ended 2017 2016 (in millions) Currency Translation Adjustments: Balance at beginning of period $ (8,914 ) $ (8,006 ) Currency translation adjustments 512 474 Reclassification to earnings related to: Equity method investment exchange – 57 Tax benefit 31 100 Other comprehensive earnings/(losses) 543 631 Less: gain attributable to noncontrolling interests (4 ) (13 ) Balance at end of period (8,375 ) (7,388 ) Pension and Other Benefit Plans: Balance at beginning of period $ (2,087 ) $ (1,934 ) Net actuarial loss arising during period (6 ) – Tax (expense)/benefit on net actuarial loss – – Losses/(gains) reclassified into net earnings: Amortization of experience losses and prior service costs (1) 41 29 Settlement losses and other expenses (1) 4 4 Tax benefit on reclassifications (2) (9 ) (9 ) Currency impact (29 ) (30 ) Other comprehensive earnings/(losses) 1 (6 ) Balance at end of period (2,086 ) (1,940 ) Derivative Cash Flow Hedges: Balance at beginning of period $ (121 ) $ (46 ) Net derivative gains/(losses) 7 (89 ) Tax benefit on net derivative gain/(loss) 5 24 Losses/(gains) reclassified into net earnings: Currency exchange contracts – forecasted transactions (3) 1 (6 ) Commodity contracts (3) 8 5 Interest rate contracts (4) – 96 Tax benefit on reclassifications (2) (2 ) (36 ) Currency impact (1 ) (1 ) Other comprehensive earnings/(losses) 18 (7 ) Balance at end of period (103 ) (53 ) Accumulated other comprehensive income attributable to Balance at beginning of period $ (11,122 ) $ (9,986 ) Total other comprehensive earnings/(losses) 562 618 Less: gain attributable to noncontrolling interests (4 ) (13 ) Other comprehensive earnings/(losses) attributable to Mondelēz International 558 605 Balance at end of period $ (10,564 ) $ (9,381 ) (1) These reclassified losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans (2) Taxes reclassified to earnings are recorded within the provision for income taxes. (3) These reclassified gains or losses are recorded within cost of sales. (4) These reclassified losses are recorded within interest and other expense, net. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Taxes | Note 13. Income Taxes Based on current tax laws, our estimated annual effective tax rate for 2017 is 26.3%, reflecting favorable impacts from the mix of pre-tax non-U.S. one-time As of the first quarter of 2016, our estimated annual effective tax rate for 2016 was 22.0%, reflecting favorable impacts from the mix of pre-tax non-U.S. one-time |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share | Note 14. Earnings Per Share Basic and diluted earnings per share (“EPS”) were calculated as follows: For the Three Months Ended March 31, 2017 2016 (in millions, except per share data) Net earnings $ 633 $ 557 Noncontrolling interest earnings (3 ) (3 ) Net earnings attributable to Mondelēz International $ 630 $ 554 Weighted-average shares for basic EPS 1,529 1,569 Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares 21 18 Weighted-average shares for diluted EPS 1,550 1,587 Basic earnings per share attributable to Mondelēz International $ 0.41 $ 0.35 Diluted earnings per share attributable to Mondelēz International $ 0.41 $ 0.35 We exclude antidilutive Mondelēz International stock options from our calculation of weighted-average shares for diluted EPS. We excluded 6.7 million antidilutive stock options for the three months ended March 31, 2017 and 8.6 million antidilutive stock options for the three months ended March 31, 2016. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting | Note 15. Segment Reporting We manufacture and market primarily snack food products, including biscuits (cookies, crackers and salted snacks), chocolate, gum & candy and various cheese & grocery products, as well as powdered beverage products. We manage our global business and report operating results through geographic units. Our operations and management structure are organized into four reportable operating segments: • Latin America • AMEA • Europe • North America On October 1, 2016, we integrated our EEMEA operating segment into our Europe and Asia Pacific operating segments to further leverage and optimize the operating scale built within the Europe and Asia Pacific regions. Russia, Ukraine, Turkey, Belarus, Georgia and Kazakhstan were combined within our Europe operating segment, while the remaining Middle East and African countries were combined within our Asia Pacific region to form the AMEA operating segment. We have reflected the segment change as if it had occurred in all periods presented. We manage our operations by region to leverage regional operating scale, manage different and changing business environments more effectively and pursue growth opportunities as they arise in our key markets. Our regional management teams have responsibility for the business, product categories and financial results in the regions. 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) and amortization of intangibles 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, net. 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, revised to reflect our new segment structure, were: For the Three Months Ended March 31, 2017 2016 (in millions) Net revenues: Latin America $ 910 $ 817 AMEA 1,491 1,515 Europe 2,365 2,448 North America 1,648 1,675 Net revenues $ 6,414 $ 6,455 Earnings before income taxes: Operating income: Latin America $ 111 $ 67 AMEA 181 190 Europe 409 352 North America 292 271 Unrealized losses on hedging activities (mark-to-market (51 ) (54 ) General corporate expenses (58 ) (60 ) Amortization of intangibles (44 ) (44 ) Operating income 840 722 Interest and other expense, net (119 ) (244 ) Earnings before income taxes $ 721 $ 478 Items impacting our segment operating results are discussed in Note 1, Basis of Presentation Divestitures and Acquisitions, Property, Plant and Equipment, Goodwill and Intangible Assets, 2014-2018 Restructuring Program Commitments and Contingencies Debt and Borrowing Arrangements Financial Instruments, Net revenues by product category, revised to reflect our new segment structure, were: For the Three Months Ended March 31, 2017 Latin America AMEA Europe North America Total (in millions) Biscuits $ 170 $ 399 $ 651 $ 1,333 $ 2,553 Chocolate 259 515 1,223 70 2,067 Gum & Candy 213 229 193 245 880 Beverages 193 173 41 – 407 Cheese & Grocery 75 175 257 – 507 Total net revenues $ 910 $ 1,491 $ 2,365 $ 1,648 $ 6,414 For the Three Months Ended March 31, 2016 Latin AMEA Europe North Total (in millions) Biscuits $ 164 $ 407 $ 643 $ 1,361 $ 2,575 Chocolate 198 493 1,263 45 1,999 Gum & Candy 216 256 216 269 957 Beverages 164 177 48 – 389 Cheese & Grocery 75 182 278 – 535 Total net revenues $ 817 $ 1,515 $ 2,448 $ 1,675 $ 6,455 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Basis of Presentation | 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, 2016 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 |
Principles of Consolidation | Principles of Consolidation: The condensed consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries, except our Venezuela subsidiaries. See Currency Translation and Highly Inflationary Accounting: Venezuela We account for investments in which we exercise significant influence (20%-50% |
Segment Change | Segment Change On October 1, 2016, we integrated our Eastern Europe, Middle East, and Africa (“EEMEA”) operating segment into our Europe and Asia Pacific operating segments to further leverage and optimize the operating scale built within the Europe and Asia Pacific regions. Russia, Ukraine, Turkey, Belarus, Georgia and Kazakhstan were combined within our Europe region, while the remaining Middle East and African countries were combined within our Asia Pacific region to form a new Asia, Middle East and Africa (“AMEA”) operating segment. We have reflected the segment change as if it had occurred in all periods presented. As of October 1, 2016, our operations and management structure were organized into four reportable operating segments: • Latin America • AMEA • Europe • North America See Note 15, Segment Reporting |
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 (except for highly inflationary currencies) and realized exchange gains and losses on transactions in earnings. As of March 31, 2017, none of our consolidated subsidiaries were subject to highly inflationary accounting. United Kingdom. two-year Brexit has caused volatility in global stock markets and currency exchange rates, affecting the markets in which we operate. The implications of Brexit could adversely affect demand for our products, our financial results and operations, and our relationships with customers, suppliers and employees in the short or long-term. The value of the British pound sterling relative to the U.S. dollar fell by 9% on June 24, 2016 and declined an additional 11% in 2016. In the first quarter of 2017, the value of the British pound sterling relative to the U.S. dollar increased 2%. Further volatility in the exchange rate is expected over the transition period. As the business operating environment remains uncertain, we continue to monitor our investments and currency exposures abroad. As the U.K. is not a highly-inflationary economy, we record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. While we did not experience significant business disruptions in our U.K. businesses following the referendum, the devaluation of the British pound sterling in 2016 adversely affected our translated results reported in U.S. dollars. We have a natural hedge in the form of pound sterling-denominated debt that acts as a net investment hedge, moving counter to adverse pound sterling currency translation impacts. British pound sterling currency transaction risks are largely mitigated due to our global chocolate businesses buying cocoa in British pound sterling. Our U.K. operations contributed $536 million, or 8.4% of consolidated net revenues for the three months ended March 31, 2017. Venezuela. Argentina. Ukraine Other Countries. |
Transfers of Financial Assets | Transfers of Financial Assets: We account for transfers of financial assets, such as uncommitted revolving non-recourse |
New Accounting Pronouncements | New Accounting Pronouncements: In March 2017, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) to amend the amortization period for certain purchased callable debt securities held at a premium, shortening the period to the earliest call date instead of the maturity date. The standard does not impact securities held at a discount as the discount continues to be amortized to maturity. The ASU is effective for fiscal years beginning after December 15, 2018, with early adoption permitted, and should be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. We are currently assessing the impact on our condensed consolidated financial statements. In March 2017, the FASB issued an ASU to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost. The standard requires employers to disaggregate the service cost component from the other components of net benefit cost and disclose the amount and location where the net benefit cost is recorded in the income statement or capitalized in assets. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. The standard is to be applied on a retrospective basis for the change in presentation in the income statement and prospectively for the change in presentation on the balance sheet. We are currently assessing the impact on our condensed consolidated financial statements. In January 2017, the FASB issued an ASU that simplifies the accounting for goodwill impairments by eliminating “Step 2” from the goodwill impairment testing. In Step 2, a goodwill impairment loss is measured by comparing the carrying amount of a reporting unit’s goodwill with the goodwill’s implied fair value. To compute the implied fair value of goodwill, it is necessary to assign the fair value of a reporting unit to all of its assets and liabilities as if the reporting unit had been acquired in a business combination. Under the new guidance, goodwill impairment losses are calculated based on the “Step 1” computation with the impairment loss being equal to the amount by which a reporting unit’s carrying amount exceeds its implied fair value, limited to the total amount of goodwill allocated to the reporting unit. The ASU is effective for fiscal years beginning after December 15, 2019 and is to be applied prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We elected to early adopt this standard on March 31, 2017 as it simplifies the goodwill testing model. There was no impact to our condensed consolidated financial statements from adopting the standard. In January 2017, the FASB issued an ASU that clarifies the definition of a business with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions or disposals of assets or businesses. The definition of a business may affect many areas of accounting including acquisitions, disposals, goodwill and consolidation. The ASU is applied on a prospective basis and is effective for fiscal years beginning after December 15, 2017 with early adoption permitted. We continue to assess the ASU based on any pending or new transactions that may arise prior to the January 1, 2018 adoption date. At this time, we do not anticipate early adopting nor a material impact on our condensed consolidated financial statements. In November 2016, the FASB issued an ASU that requires the change in restricted cash or cash equivalents to be included with other changes in cash and cash equivalents in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard at the same time as the cash flow statement classification changes described below go into effect on January 1, 2018. We continue to assess the impact on our condensed consolidated statement of cash flows. In October 2016, the FASB issued an ASU that requires the recognition of tax consequences of intercompany asset transfers other than inventory when the transfer occurs and removes the exception to postpone recognition until the asset has been sold to an outside party. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting on January 1, 2018 and do not expect the ASU to have a material impact on our condensed consolidated financial statements. In August 2016, the FASB issued an ASU to provide guidance on eight specific cash flow classification issues and reduce diversity in practice in how some cash receipts and cash payments are presented and classified in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard on January 1, 2018. We continue to assess the impact on our condensed consolidated statement of cash flows. In March 2016, the FASB issued an ASU to simplify the accounting for stock-based compensation. The ASU addresses several areas of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and cash flow statement presentation. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We adopted the standard on January 1, 2017. Following adoption, during the first quarter of 2017, we recorded a $14 million stock-based compensation tax benefit in earnings (within the provision for income taxes) and we will continue to record the stock-based compensation tax impacts (related to stock awards vesting and stock option exercises) within earnings each quarter on a prospective basis. We have also elected to continue to estimate forfeitures and not record forfeitures as they occur. Under the former guidance and for periods prior to January 1, 2017, we recorded the tax impacts directly to equity (within additional paid-in In February 2016, the FASB issued an ASU on lease accounting. The ASU revises existing U.S. GAAP and outlines a new model for lessors and lessees to use in accounting for lease contracts. The guidance requires lessees to recognize a right-of-use In January 2016, the FASB issued an ASU that provides updated guidance for the recognition, measurement, presentation and disclosure of financial assets and liabilities. The standard requires that equity investments (other than those accounted for under equity method of accounting or those that result in consolidation of the investee) be measured at fair value, with changes in fair value recognized in net income. The standard also impacts financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017. This ASU is not expected to have a significant impact on our condensed consolidated financial statements. In May 2014, the FASB issued an ASU on revenue recognition from contracts with customers. The 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 control over 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. In 2016 and early 2017, the FASB issued several ASUs that clarified principal versus agent (gross versus net) revenue presentation considerations, confirmed the accounting for certain prepaid stored-value products and clarified the guidance for identifying performance obligations within a contract, the accounting for licenses and partial sales of nonfinancial assets. The FASB also issued two ASUs providing technical corrections, narrow scope exceptions and practical expedients to clarify and improve the implementation of the new revenue recognition guidance. The revenue guidance is effective for annual reporting periods beginning after December 15, 2017, with early adoption permitted as of the original effective date (annual reporting periods beginning after December 15, 2016). The ASU may be applied retrospectively to historical periods presented or as a cumulative-effect adjustment as of the date of adoption. We plan to adopt the new standard on January 1, 2018 on a full retrospective basis. We continue to make significant progress on quantifying the impact of the ASU on our condensed consolidated financial statements and planning the final process, policy and disclosure changes that will go into effect on January 1, 2018. At this time, we do not expect a material financial impact from adopting the new revenue standards. |
Reclassifications | Reclassifications: Certain amounts previously reported have been reclassified to conform to current-year presentation. In connection with the segment change that went into effect on October 1, 2016, as described above, see Notes 5, Goodwill and Intangible Assets 2014-2018 Restructuring Program; Segment Reporting Reclassifications from Accumulated Other Comprehensive Income, |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Components of Inventories | Inventories consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Raw materials $ 752 $ 722 Finished product 1,978 1,865 2,730 2,587 Inventory reserves (127 ) (118 ) Inventories, net $ 2,603 $ 2,469 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Components of Property, Plant and Equipment | Property, plant and equipment consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Land and land improvements $ 476 $ 471 Buildings and building improvements 2,885 2,801 Machinery and equipment 10,689 10,302 Construction in progress 1,025 1,113 15,075 14,687 Accumulated depreciation (6,698 ) (6,458 ) Property, plant and equipment, net $ 8,377 $ 8,229 |
2014-2018 Restructuring Program | |
Schedule of Restructuring and Implementation Costs | During the three months ended March 31, 2017 and 2016 and since inception of the 2014-2018 Restructuring Program, we recorded restructuring and implementation costs within operating income by segment (as revised to reflect our current segment structure) as follows: Latin North America AMEA Europe America (1) Corporate (2) Total (in millions) For the Three Months Ended Restructuring Costs $ 24 $ 27 $ 69 $ 38 $ (1 ) $ 157 Implementation Costs 9 8 12 13 12 54 Total $ 33 $ 35 $ 81 $ 51 $ 11 $ 211 For the Three Months Ended Restructuring Costs $ 12 $ 29 $ 67 $ 31 $ – $ 139 Implementation Costs 7 8 30 38 15 98 Total $ 19 $ 37 $ 97 $ 69 $ 15 $ 237 Total Project 2014-2017 (3) Restructuring Costs $ 361 $ 334 $ 718 $ 392 $ 51 $ 1,856 Implementation Costs 118 94 216 208 188 824 Total $ 479 $ 428 $ 934 $ 600 $ 239 $ 2,680 (1) During 2017 and 2016, our North America region implementation costs included incremental costs that we incurred related to re-negotiating (2) Includes adjustment for rounding. (3) Includes all charges recorded since program inception on May 6, 2014 through March 31, 2017. |
Property Plant and Equipment | Asset impairment and exit costs | |
Schedule of Restructuring and Implementation Costs | These charges were recorded in the condensed consolidated statements of earnings within asset impairment and exit costs and in the segment results as follows: For the Three Months Ended March 31, 2017 2016 (in millions) Latin America $ 6 $ 6 AMEA 12 9 Europe 37 21 North America 15 16 Corporate 1 — Total non-cash $ 71 $ 52 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Schedule of Goodwill by Segment | Goodwill by segment below reflects our current segment structure for both periods presented: As of March 31, As of December 31, 2017 2016 (in millions) Latin America $ 947 $ 897 AMEA 3,388 3,324 Europe 7,289 7,170 North America 8,891 8,885 Goodwill $ 20,515 $ 20,276 |
Intangible Assets Disclosure | Intangible assets consisted of the following: As of March 31, As of December 31, 2017 2016 (in millions) Non-amortizable $ 17,229 $ 17,004 Amortizable intangible assets 2,349 2,315 19,578 19,319 Accumulated amortization (1,281 ) (1,218 ) Intangible assets, net $ 18,297 $ 18,101 |
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, 2017 $ 20,276 $ 19,319 Currency 239 259 Balance at March 31, 2017 $ 20,515 $ 19,578 |
2014-2018 Restructuring Progr28
2014-2018 Restructuring Program (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
2014-2018 Restructuring Program | |
Schedule of Restructuring Costs | The recorded restructuring charges of $157 million in the three months ended March 31, 2017 and $139 million in the three months ended March 31, 2016 within asset impairment and exit costs. The 2014-2018 Restructuring Program liability activity for the three months ended March 31, 2017 was: Severance and Asset related costs Write-downs Total (in millions) Liability balance, January 1, 2017 $ 464 $ – $ 464 Charges 86 71 157 Cash spent (84 ) – (84 ) Non-cash (1 ) (71 ) (72 ) Currency 8 – 8 Liability balance, March 31, 2017 $ 473 $ – $ 473 |
Debt and Borrowing Arrangemen29
Debt and Borrowing Arrangements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Short-Term Borrowings and Related Weighted-Average Interest Rates | Our short-term borrowings and related weighted-average interest rates consisted of: As of March 31, 2017 As of December 31, 2016 Amount Weighted- Amount Weighted- Outstanding Average Rate Outstanding Average Rate (in millions) (in millions) Commercial paper $ 3,835 1.1% $ 2,371 1.0% Bank loans 415 10.7% 160 10.6% Total short-term borrowings $ 4,250 $ 2,531 |
Interest and Other Expense Net Within Results of Continuing Operations | Interest and other expense, net within our results of continuing operations consisted of: For the Three Months March 31, 2017 2016 (in millions) Interest expense, debt $ 103 $ 136 Loss related to interest rate swaps – 97 Other expense, net 16 11 Interest and other expense, net $ 119 $ 244 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value of Derivatives Instruments | Derivative instruments were recorded at fair value in the condensed consolidated balance sheets as follows: As of March 31, 2017 As of December 31, 2016 Asset Liability Asset Liability Derivatives Derivatives Derivatives Derivatives (in millions) Derivatives designated as Currency exchange contracts $ 13 $ 2 $ 19 $ 8 Commodity contracts 7 13 17 22 Interest rate contracts 103 24 108 19 $ 123 $ 39 $ 144 $ 49 Derivatives not designated as Currency exchange contracts $ 32 $ 53 $ 29 $ 43 Commodity contracts 26 145 112 167 Interest rate contracts 20 14 27 19 $ 78 $ 212 $ 168 $ 229 Total fair value $ 201 $ 251 $ 312 $ 278 |
Notional Values of Derivative Instruments | The net notional values of our derivative instruments were: Notional Amount As of March 31, As of December 31, 2017 2016 (in millions) Currency exchange contracts: Intercompany loans and forecasted interest payments $ 3,181 $ 3,343 Forecasted transactions 1,655 1,452 Commodity contracts 1,144 837 Interest rate contracts 6,375 6,365 Net investment hedge – euro notes 3,563 4,012 Net investment hedge – pound sterling notes 426 419 Net investment hedge – Swiss franc notes 1,646 1,447 |
Hedges of Net Investments in International Operations | After-tax For the Three Months Ended Location of Gain/(Loss) Recognized in AOCI March 31, 2017 2016 (in millions) Euro notes $ (29 ) $ 154 Currency Pound sterling notes (5 ) (23 ) Translation Swiss franc notes (15 ) 43 Adjustment |
Derivative | |
Schedule of Derivative Instruments Fair Value and Measurement Inputs | The fair values (asset/(liability)) of our derivative instruments were determined using: As of March 31, 2017 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 $ (10 ) $ – $ (10 ) $ – Commodity contracts (125 ) (120 ) (5 ) – Interest rate contracts 85 – 85 – Total derivatives $ (50 ) $ (120 ) $ 70 $ – As of December 31, 2016 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 $ (3 ) $ – $ (3 ) $ – Commodity contracts (60 ) (86 ) 26 – Interest rate contracts 97 – 97 – Total derivatives $ 34 $ (86 ) $ 120 $ – |
Cash Flow Hedges | |
Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings/(Losses), Net of Taxes | Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings/(losses) included: For the Three Months Ended March 31, 2017 2016 (in millions) Accumulated gain/(loss) at January 1 $ (121 ) $ (45 ) Transfer of realized losses/(gains) in fair value to earnings 7 58 Unrealized gain/(loss) in fair value 11 (66 ) Accumulated gain/(loss) at March 31 $ (103 ) $ (53 ) |
Schedule of Effects of Derivative Instruments | After-tax For the Three Months Ended March 31, 2017 2016 (in millions) Currency exchange contracts – forecasted transactions $ – $ 5 Commodity contracts (7 ) (3 ) Interest rate contracts – (60 ) Total $ (7 ) $ (58 ) After-tax For the Three Months Ended March 31, 2017 2016 (in millions) Currency exchange contracts – forecasted transactions $ (6 ) $ (12 ) Commodity contracts (1 ) (5 ) Interest rate contracts 18 (49 ) Total $ 11 $ (66 ) |
Fair Value Hedges | |
Schedule of Effects of Derivative Instruments | Pre-tax For the Three Months Ended March 31, 2017 2016 (in millions) Derivatives $ (4 ) $ 5 Borrowings 4 (5 ) |
Economic Hedging | |
Schedule of Effects of Derivative Instruments | Pre-tax gains/(losses) recorded in net earnings for economic hedges were: For the Three Months Ended March 31, Location of Gain/(Loss) Recognized in Earnings 2017 2016 (in millions) Currency exchange contracts: Intercompany loans and forecasted $ 2 $ 5 Interest and other expense, net Forecasted transactions (17 ) (31 ) Cost of sales Forecasted transactions (2 ) 8 Interest and other Forecasted transactions (1 ) 4 Selling, general and administrative Commodity contracts (62 ) (44 ) Cost of sales Total $ (80 ) $ (58 ) |
Benefit Plans (Tables)
Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Pension Plans | |
Components of Net Costs | Net periodic pension cost consisted of the following: U.S. Plans Non-U.S. For the Three Months Ended For the Three Months Ended March 31, March 31, 2017 2016 2017 2016 (in millions) Service cost $ 12 $ 13 $ 39 $ 38 Interest cost 15 16 48 60 Expected return on plan assets (25 ) (24 ) (104 ) (110 ) Amortization: Net loss from experience differences 8 9 41 31 Prior service cost/(credit) 1 – (1 ) (1 ) Settlement losses and other expenses 3 4 1 – Net periodic pension cost $ 14 $ 18 $ 24 $ 18 |
Postretirement Benefit Plans | |
Components of Net Costs | Net periodic postretirement health care costs consisted of the following: For the Three Months Ended March 31, 2017 2016 (in millions) Service cost $ 2 $ 3 Interest cost 4 5 Amortization: Net loss from experience differences 3 2 Prior service credit (1) (10 ) (2 ) Net periodic postretirement health care costs $ (1 ) $ 8 (1) For the three months ended March 31, 2017, amortization of prior service credit includes an $8 million gain related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants. |
Postemployment Benefit Plans | |
Components of Net Costs | Net periodic postemployment costs consisted of the following: For the Three Months Ended March 31, 2017 2016 (in millions) Service cost $ 1 $ 2 Interest cost 1 1 Amortization of net gains (1 ) – Net periodic postemployment costs $ 1 $ 3 |
Stock Plans (Tables)
Stock Plans (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Stock Options Activity | Stock option activity is reflected below: Weighted- Average Average Exercise or Remaining Aggregate Shares Subject Grant Price Contractual Intrinsic to Option Per Share Term Value Balance at January 1, 2017 53,601,612 $ 28.02 6 years $ 874 million Annual grant to eligible employees 6,012,140 43.20 Additional options issued 9,310 44.60 Total options granted 6,021,450 43.20 Options exercised (1) (2,080,511 ) 26.18 $ 38 million Options cancelled (589,971 ) 37.93 Balance at March 31, 2017 56,952,580 29.59 6 years $ 769 million (1) Cash received from options exercised was $57 million in the three months ended March 31, 2017. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises totaled $8 million in the three months ended March 31, 2017. |
Deferred stock unit, performance share unit and restricted stock | |
Performance Share Unit, Deferred Stock Unit, and Historically Granted Restricted Stock Activity | Our performance share unit, deferred stock unit and historically granted restricted stock activity is reflected below: Weighted-Average Weighted-Average Number Fair Value Aggregate of Shares Grant Date Per Share Fair Value Balance at January 1, 2017 7,593,627 $ 24.29 Annual grant to eligible employees: Feb. 16, 2017 Performance share units 1,087,010 43.20 Deferred stock units 845,550 43.20 Additional shares granted (1) 160,677 Various 37.15 Total shares granted 2,093,237 42.74 $ 89 million Vested (2) (2,284,703 ) 42.92 $ 98 million Forfeited (2) (293,146 ) 38.49 Balance at March 31, 2017 7,109,015 23.15 (1) Includes performance share units and deferred stock units. (2) Includes performance share units, deferred stock units and historically granted restricted stock. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the shares vested totaled $6 million in the three months ended March 31, 2017. |
Reclassifications from Accumu33
Reclassifications from Accumulated Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Amounts Reclassified from Accumulated Other Comprehensive Earnings/(Losses) | The following table summarizes the changes in the accumulated balances of each component of accumulated other comprehensive earnings/(losses) attributable to Mondelēz International. Amounts reclassified from accumulated other comprehensive earnings/(losses) to net earnings (net of tax) were net losses of $43 million in the three months ended March 31, 2017 and $140 million in the three months ended March 31, 2016. For the Three Months Ended 2017 2016 (in millions) Currency Translation Adjustments: Balance at beginning of period $ (8,914 ) $ (8,006 ) Currency translation adjustments 512 474 Reclassification to earnings related to: Equity method investment exchange – 57 Tax benefit 31 100 Other comprehensive earnings/(losses) 543 631 Less: gain attributable to noncontrolling interests (4 ) (13 ) Balance at end of period (8,375 ) (7,388 ) Pension and Other Benefit Plans: Balance at beginning of period $ (2,087 ) $ (1,934 ) Net actuarial loss arising during period (6 ) – Tax (expense)/benefit on net actuarial loss – – Losses/(gains) reclassified into net earnings: Amortization of experience losses and prior service costs (1) 41 29 Settlement losses and other expenses (1) 4 4 Tax benefit on reclassifications (2) (9 ) (9 ) Currency impact (29 ) (30 ) Other comprehensive earnings/(losses) 1 (6 ) Balance at end of period (2,086 ) (1,940 ) Derivative Cash Flow Hedges: Balance at beginning of period $ (121 ) $ (46 ) Net derivative gains/(losses) 7 (89 ) Tax benefit on net derivative gain/(loss) 5 24 Losses/(gains) reclassified into net earnings: Currency exchange contracts – forecasted transactions (3) 1 (6 ) Commodity contracts (3) 8 5 Interest rate contracts (4) – 96 Tax benefit on reclassifications (2) (2 ) (36 ) Currency impact (1 ) (1 ) Other comprehensive earnings/(losses) 18 (7 ) Balance at end of period (103 ) (53 ) Accumulated other comprehensive income attributable to Balance at beginning of period $ (11,122 ) $ (9,986 ) Total other comprehensive earnings/(losses) 562 618 Less: gain attributable to noncontrolling interests (4 ) (13 ) Other comprehensive earnings/(losses) attributable to Mondelēz International 558 605 Balance at end of period $ (10,564 ) $ (9,381 ) (1) These reclassified losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans (2) Taxes reclassified to earnings are recorded within the provision for income taxes. (3) These reclassified gains or losses are recorded within cost of sales. (4) These reclassified losses are recorded within interest and other expense, net. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Basic and Diluted Earnings Per Share | Basic and diluted earnings per share (“EPS”) were calculated as follows: For the Three Months Ended March 31, 2017 2016 (in millions, except per share data) Net earnings $ 633 $ 557 Noncontrolling interest earnings (3 ) (3 ) Net earnings attributable to Mondelēz International $ 630 $ 554 Weighted-average shares for basic EPS 1,529 1,569 Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares 21 18 Weighted-average shares for diluted EPS 1,550 1,587 Basic earnings per share attributable to Mondelēz International $ 0.41 $ 0.35 Diluted earnings per share attributable to Mondelēz International $ 0.41 $ 0.35 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Net Revenues and Earnings by Segment | Our segment net revenues and earnings, revised to reflect our new segment structure, were: For the Three Months Ended March 31, 2017 2016 (in millions) Net revenues: Latin America $ 910 $ 817 AMEA 1,491 1,515 Europe 2,365 2,448 North America 1,648 1,675 Net revenues $ 6,414 $ 6,455 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | Our segment net revenues and earnings, revised to reflect our new segment structure in all periods, were: For the Three Months Ended March 31, 2017 2016 (in millions) Earnings before income taxes: Operating income: Latin America $ 111 $ 67 AMEA 181 190 Europe 409 352 North America 292 271 Unrealized losses on hedging (mark-to-market (51 ) (54 ) General corporate expenses (58 ) (60 ) Amortization of intangibles (44 ) (44 ) Operating income 840 722 Interest and other expense, net (119 ) (244 ) Earnings before income taxes $ 721 $ 478 |
Net Revenues by Consumer Sector | Net revenues by product category, revised to reflect our new segment structure, were: For the Three Months Ended March 31, 2017 Latin America AMEA Europe North America Total (in millions) Biscuits $ 170 $ 399 $ 651 $ 1,333 $ 2,553 Chocolate 259 515 1,223 70 2,067 Gum & Candy 213 229 193 245 880 Beverages 193 173 41 – 407 Cheese & Grocery 75 175 257 – 507 Total net revenues $ 910 $ 1,491 $ 2,365 $ 1,648 $ 6,414 For the Three Months Ended March 31, 2016 Latin AMEA Europe North Total (in millions) Biscuits $ 164 $ 407 $ 643 $ 1,361 $ 2,575 Chocolate 198 493 1,263 45 1,999 Gum & Candy 216 256 216 269 957 Beverages 164 177 48 – 389 Cheese & Grocery 75 182 278 – 535 Total net revenues $ 817 $ 1,515 $ 2,448 $ 1,675 $ 6,455 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) $ in Millions | Jun. 24, 2016 | Dec. 16, 2015 | Mar. 31, 2017USD ($)CountrySegment | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($) |
Summary Of Significant Accounting Policies [Line Items] | ||||||
Number of reportable segments | Segment | 4 | |||||
Net revenues | $ 6,414 | $ 6,455 | ||||
Number of countries in which entity operates | Country | 80 | |||||
Number of countries in which products are sold | Country | 165 | |||||
Uncommitted revolving non-recourse accounts receivable factoring arrangements, maximum combined capacity | $ 870 | $ 870 | ||||
Total incremental cost of factoring receivables | $ 1 | 1 | ||||
Outstanding principal amount of receivables sold under factoring arrangement | $ 630 | $ 644 | $ 644 | |||
United Kingdom, Pounds | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Devalued percentage against US Dollar | 9.00% | 2.00% | 11.00% | |||
Argentina, Pesos | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Devalued percentage against US Dollar | 36.00% | 3.00% | 23.00% | |||
United Kingdom | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Net revenues | $ 536 | |||||
Percentage of consolidated net revenues | 8.40% | |||||
Argentina | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Net revenues | $ 142 | |||||
Percentage of consolidated net revenues | 2.20% | |||||
UKRAINE | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Percentage of consolidated net revenues | 0.20% | |||||
Three-year cumulative inflation rate | 101.00% | 101.00% | ||||
Customer | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Outstanding principal amount of receivables sold under factoring arrangement | $ 81 | $ 101 | $ 101 | |||
Customer | Maximum | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Total incremental cost of factoring receivables | 1 | $ 1 | ||||
ASU 2016-09 Compensation - Stock Compensation | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Stock-based compensation tax impact in earnings | $ 14 |
Divestitures and Acquisitions -
Divestitures and Acquisitions - Additional Information (Detail) € in Millions, £ in Millions, AUD in Millions, $ in Millions | Apr. 28, 2017USD ($) | Apr. 28, 2017EUR (€) | Mar. 31, 2017USD ($) | Jan. 18, 2017AUD | Nov. 02, 2016USD ($) | Nov. 02, 2016GBP (£) | Mar. 31, 2016USD ($) | Mar. 07, 2016USD ($) | Mar. 07, 2016EUR (€) | Mar. 03, 2016USD ($) | Mar. 31, 2017EUR (€) | May 31, 2016USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Mar. 31, 2016USD ($) | Jun. 30, 2016 |
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment net (losses) / earnings | $ 66 | $ 85 | ||||||||||||||
Gain on equity method investment exchange | 43 | |||||||||||||||
Equity method investments | $ 5,594 | 5,594 | $ 5,585 | |||||||||||||
Equity method investment dividend received | 122 | 54 | ||||||||||||||
Proceeds from sale of property, plant and equipment and other | 19 | 19 | ||||||||||||||
Business acquisition, goodwill | 20,515 | 20,515 | 20,276 | |||||||||||||
Acorn Holdings BV | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Percentage of equity interest acquired by other parties | 73.50% | 73.50% | ||||||||||||||
Trademarks | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Intangible asset impairment | $ 98 | |||||||||||||||
Burton's Biscuit Company | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Cash paid for acquisition | $ 245 | £ 199 | ||||||||||||||
Business acquisition, definite-life intangible assets | 72 | 72 | ||||||||||||||
Business acquisition, goodwill | 155 | 155 | ||||||||||||||
Business acquisition, property, plant and equipment | 14 | 14 | ||||||||||||||
Business acquisition, inventory | 4 | 4 | ||||||||||||||
Class A | Acorn Holdings BV | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Percentage of equity interest acquired by other parties | 73.50% | 73.50% | 73.22% | |||||||||||||
Class C,D and E | Acorn Holdings BV | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Percentage of equity interest acquired by other parties | 0.38% | |||||||||||||||
Discontinued Operations, Held-for-sale | Australia And New Zealand | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Proceeds from sale of property, plant and equipment and other | 351 | AUD 460 | ||||||||||||||
Disposal group, including discontinued operation, other current assets | 25 | 25 | ||||||||||||||
Disposal group, including discontinued operation, other non current assets | 125 | 125 | ||||||||||||||
Discontinued Operations, Held-for-sale | FRANCE | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Disposal group, including discontinued operation, other current assets | 110 | 110 | ||||||||||||||
Incremental expenses | € 17 | 18 | ||||||||||||||
Disposal group, including discontinued operation, other non current assets | 156 | 156 | ||||||||||||||
Disposal group, including discontinued operation, other current liabilities | 40 | 40 | ||||||||||||||
Disposal group, including discontinued operation, other non current liabilities | $ 26 | $ 26 | ||||||||||||||
Discontinued Operations, Held-for-sale | FRANCE | Subsequent Event | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Proceeds from sale of property, plant and equipment and other | $ 202 | € 185 | ||||||||||||||
Discontinued Operations, Held-for-sale | FRANCE | Trademarks | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Intangible asset impairment | $ 14 | $ 5 | ||||||||||||||
JDE | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 26.40% | 26.50% | 26.50% | 26.40% | ||||||||||||
Voting interest acquired percentage | 26.50% | 26.50% | 26.50% | |||||||||||||
Percentage of profit and dividend sharing interest | 26.30% | 26.30% | ||||||||||||||
Cash dividends received | $ 49 | |||||||||||||||
Gain on equity method investment exchange | 43 | |||||||||||||||
JDE | Acorn Holdings BV | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Carrying value of equity method investments exchanged | $ 2,000 | € 1,700 | ||||||||||||||
JDE | Equity Earnings | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment net (losses) / earnings | 18 | 47 | ||||||||||||||
JDE | Class B | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 26.50% | 26.50% | 26.40% | |||||||||||||
JDE | Class C,D and E | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Stock-based compensation, dilution percentage | 2.00% | |||||||||||||||
JDE | Minimum | Class B | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 26.27% | |||||||||||||||
Keurig Green Mountain Inc. | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 24.20% | 24.20% | ||||||||||||||
Equity method investments and shareholders loan receivable | $ 2,000 | 2,000 | ||||||||||||||
Equity method investments | 1,600 | 1,600 | ||||||||||||||
Shareholder loan receivable | $ 400 | $ 400 | ||||||||||||||
Shareholder loan receivable, interest rate | 5.50% | |||||||||||||||
Shareholder loan receivable, loan term | 7 years | |||||||||||||||
Interest payments received on shareholder loan | $ 12 | |||||||||||||||
Equity method investment dividend received | 4 | |||||||||||||||
Keurig Green Mountain Inc. | Acorn Holdings BV | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Business combination, consideration transferred | $ 13,900 | |||||||||||||||
Keurig Green Mountain Inc. | Equity Earnings | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment net (losses) / earnings | 14 | 8 | ||||||||||||||
Keurig Green Mountain Inc. | Interest Income | ||||||||||||||||
Acquisition And Dispositions [Line Items] | ||||||||||||||||
Equity method investment net (losses) / earnings | $ 6 | $ 2 |
Components of Inventories (Deta
Components of Inventories (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Inventory [Line Items] | ||
Raw materials | $ 752 | $ 722 |
Finished product | 1,978 | 1,865 |
Inventories, gross | 2,730 | 2,587 |
Inventory reserves | (127) | (118) |
Inventories, net | $ 2,603 | $ 2,469 |
Property, Plant and Equipment39
Property, Plant and Equipment (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 15,075 | $ 14,687 |
Accumulated depreciation | (6,698) | (6,458) |
Property, plant and equipment, net | 8,377 | 8,229 |
Land and Land Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 476 | 471 |
Buildings and Building Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 2,885 | 2,801 |
Machinery and Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 10,689 | 10,302 |
Construction in Progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,025 | $ 1,113 |
Property, Plant and Equipment -
Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Property, Plant and Equipment [Line Items] | ||
Capital expenditures | $ 306 | $ 335 |
Accrued capital expenditures unpaid | 186 | 211 |
Payments for capital expenditures accrued in the prior year | 343 | 322 |
Asset impairments and accelerated depreciation | 80 | 67 |
2014-2018 Restructuring Program | ||
Property, Plant and Equipment [Line Items] | ||
Asset impairments and accelerated depreciation | $ 71 | $ 52 |
Summary of Asset Impairment and
Summary of Asset Impairment and Exit Costs (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | $ 80 | $ 67 |
2014-2018 Restructuring Program | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | 71 | 52 |
2014-2018 Restructuring Program | Latin America Segment | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | 6 | 6 |
2014-2018 Restructuring Program | Asia Middle East Africa Segment | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | 12 | 9 |
2014-2018 Restructuring Program | Europe Segment | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | 37 | 21 |
2014-2018 Restructuring Program | North America Segment | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | 15 | $ 16 |
2014-2018 Restructuring Program | Corporate Segment | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Asset impairments and accelerated depreciation | $ 1 |
Goodwill by Segment (Detail)
Goodwill by Segment (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Segment Reporting Information [Line Items] | ||
Goodwill | $ 20,515 | $ 20,276 |
Latin America Segment | ||
Segment Reporting Information [Line Items] | ||
Goodwill | 947 | 897 |
Asia Middle East Africa Segment | ||
Segment Reporting Information [Line Items] | ||
Goodwill | 3,388 | 3,324 |
Europe Segment | ||
Segment Reporting Information [Line Items] | ||
Goodwill | 7,289 | 7,170 |
North America Segment | ||
Segment Reporting Information [Line Items] | ||
Goodwill | $ 8,891 | $ 8,885 |
Intangible Assets (Detail)
Intangible Assets (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Intangible Assets [Line Items] | ||
Non-amortizable intangible assets | $ 17,229 | $ 17,004 |
Amortizable intangible assets | 2,349 | 2,315 |
Total intangible assets, gross | 19,578 | 19,319 |
Accumulated amortization | (1,281) | (1,218) |
Intangible assets, net | $ 18,297 | $ 18,101 |
Goodwill and Intangible Asset44
Goodwill and Intangible Assets - Additional Information (Detail) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($)Brand | Mar. 31, 2016USD ($) | |
Goodwill and Intangible Assets Disclosure [Line Items] | |||
Amortization expense for intangible assets | $ 44 | $ 44 | |
Estimated amortization expense in year 1 | 155 | ||
Estimated amortization expense in year 2 | 155 | ||
Estimated amortization expense in year 3 | 155 | ||
Estimated amortization expense in year 4 | 155 | ||
Estimated amortization expense in year 5 | 155 | ||
Number of brands | Brand | 5 | ||
Intangible asset, aggregate book value | $ 17,229 | $ 17,004 | |
Trademarks | |||
Goodwill and Intangible Assets Disclosure [Line Items] | |||
Intangible asset impairment | 98 | ||
Intangible asset, aggregate book value | $ 630 | ||
Weighted Average | |||
Goodwill and Intangible Assets Disclosure [Line Items] | |||
Life of our amortizable intangible assets (in years) | 13 years 6 months |
Changes in Goodwill and Intangi
Changes in Goodwill and Intangible Assets (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Goodwill And Intangible Assets [Line Items] | |
Goodwill beginning balance | $ 20,276 |
Goodwill, Currency | 239 |
Goodwill ending balance | 20,515 |
Intangible Assets, at Cost beginning balance | 19,319 |
Intangible Assets, Currency | 259 |
Intangible Assets, at Cost ending balance | $ 19,578 |
2014-2018 Restructuring Progr46
2014-2018 Restructuring Program - Additional Information (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | May 06, 2014 | Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Dec. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||||||
Capital expenditures | $ 306 | $ 335 | |||||
2014-2018 Restructuring Program | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approved restructuring program cost | $ 5,700 | ||||||
Reallocation of previously approved capital expenditures to be spent on restructuring program cash costs | 600 | ||||||
Restructuring and related cost, cost incurred | 211 | 237 | $ 2,680 | [1] | |||
Restructuring charges | 157 | 139 | 1,856 | [1] | |||
Cash spent | 84 | 74 | |||||
Non-cash asset write-downs | 72 | 52 | |||||
Restructuring reserve | 473 | 473 | $ 464 | ||||
Implementation Costs | 54 | 98 | 824 | [1] | |||
2014-2018 Restructuring Program | Maximum | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Capital expenditures | 1,600 | $ 2,200 | |||||
2014-2018 Restructuring Program | Restructuring Program Costs | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approved restructuring program cost | 4,100 | 3,500 | |||||
2014-2018 Restructuring Program | Cash Expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approved restructuring program cost | 3,100 | 2,500 | |||||
2014-2018 Restructuring Program | Non Cash Expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approved restructuring program cost | 1,000 | $ 1,000 | |||||
2014-2018 Restructuring Program | Cash Outlays | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Approved restructuring program cost | $ 4,700 | ||||||
2014-2018 Restructuring Program | Selling, general and administrative expenses | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Implementation Costs | 54 | $ 98 | |||||
2014-2018 Restructuring Program | Other current liabilities | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring reserve | 398 | 398 | |||||
2014-2018 Restructuring Program | Other liabilities | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring reserve | $ 75 | $ 75 | |||||
[1] | Includes all charges recorded since program inception on May 6, 2014 through March 31, 2017. |
Schedule of Restructuring Costs
Schedule of Restructuring Costs (Detail) - 2014-2018 Restructuring Program - USD ($) $ in Millions | 3 Months Ended | 35 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | ||
Restructuring Cost and Reserve [Line Items] | ||||
Balance at beginning of period | $ 464 | |||
Charges | 157 | $ 139 | $ 1,856 | [1] |
Cash spent | (84) | (74) | ||
Non-cash settlements/adjustments | (72) | $ (52) | ||
Currency | 8 | |||
Balance at end of period | 473 | 473 | ||
Severance and Related Costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Balance at beginning of period | 464 | |||
Charges | 86 | |||
Cash spent | (84) | |||
Non-cash settlements/adjustments | (1) | |||
Currency | 8 | |||
Balance at end of period | 473 | $ 473 | ||
Asset Write-Downs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charges | 71 | |||
Non-cash settlements/adjustments | $ (71) | |||
[1] | Includes all charges recorded since program inception on May 6, 2014 through March 31, 2017. |
Restructuring and Implementatio
Restructuring and Implementation Costs (Detail) - 2014-2018 Restructuring Program - USD ($) $ in Millions | 3 Months Ended | 35 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | [1] | ||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | $ 157 | $ 139 | $ 1,856 | ||
Implementation Costs | 54 | 98 | 824 | ||
Total | 211 | 237 | 2,680 | ||
Operating Segments | Latin America Segment | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | 24 | 12 | 361 | ||
Implementation Costs | 9 | 7 | 118 | ||
Total | 33 | 19 | 479 | ||
Operating Segments | Asia Middle East Africa Segment | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | 27 | 29 | 334 | ||
Implementation Costs | 8 | 8 | 94 | ||
Total | 35 | 37 | 428 | ||
Operating Segments | Europe Segment | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | 69 | 67 | 718 | ||
Implementation Costs | 12 | 30 | 216 | ||
Total | 81 | 97 | 934 | ||
Operating Segments | North America Segment | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | [2] | 38 | 31 | 392 | |
Implementation Costs | [2] | 13 | 38 | 208 | |
Total | [2] | 51 | 69 | 600 | |
Corporate | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Costs | [3] | (1) | 51 | ||
Implementation Costs | [3] | 12 | 15 | 188 | |
Total | [3] | $ 11 | $ 15 | $ 239 | |
[1] | Includes all charges recorded since program inception on May 6, 2014 through March 31, 2017. | ||||
[2] | During 2017 and 2016, our North America region implementation costs included incremental costs that we incurred related to re-negotiating collective bargaining agreements that expired at the end of February 2016 for eight U.S. facilities and related to executing business continuity plans for the North America business. | ||||
[3] | Includes adjustment for rounding. |
Short-Term Borrowings and Relat
Short-Term Borrowings and Related Weighted-Average Interest Rates (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Short-term Debt [Line Items] | ||
Amount outstanding | $ 4,250 | $ 2,531 |
Commercial Paper | ||
Short-term Debt [Line Items] | ||
Amount outstanding | $ 3,835 | $ 2,371 |
Weighted-average rate | 1.10% | 1.00% |
Bank Loans | ||
Short-term Debt [Line Items] | ||
Amount outstanding | $ 415 | $ 160 |
Weighted-average rate | 10.70% | 10.60% |
Debt and Borrowing Arrangemen50
Debt and Borrowing Arrangements - Additional Information (Detail) € in Millions, SFr in Millions | Apr. 12, 2017USD ($) | Mar. 30, 2017USD ($) | Mar. 30, 2017CHF (SFr) | Mar. 13, 2017CHF (SFr) | Mar. 01, 2017USD ($) | Oct. 14, 2016 | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Jan. 26, 2017EUR (€) | Dec. 31, 2016USD ($) | Dec. 31, 2015 |
Debt Instrument [Line Items] | |||||||||||
Revolving credit facility debt covenant | $ 24,600,000,000 | ||||||||||
Long-term debt repaid | $ 979,000,000 | $ 1,755,000,000 | |||||||||
Weighted-average interest rate | 2.20% | 2.20% | 3.70% | ||||||||
Fair value of total debt | $ 19,038,000,000 | $ 17,882,000,000 | |||||||||
Carrying value of total debt | 18,374,000,000 | 17,199,000,000 | |||||||||
International Subsidiaries | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Revolving credit facility, maximum borrowing capacity | 1,900,000,000 | 1,800,000,000 | |||||||||
Line of credit facility outstanding amount | 415,000,000 | $ 160,000,000 | |||||||||
Revolving Credit Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Revolving credit facility, maximum borrowing capacity | $ 1,500,000,000 | ||||||||||
Line of credit, expiration period | 364 days | ||||||||||
Revolving credit facility expiration date | Feb. 28, 2018 | ||||||||||
Line of credit facility outstanding amount | 0 | ||||||||||
Revolving Credit Facility, October 11, 2018 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Revolving credit facility, maximum borrowing capacity | $ 4,500,000,000 | ||||||||||
Revolving credit facility expiration date | Oct. 11, 2021 | Oct. 11, 2018 | |||||||||
Line of credit facility outstanding amount | $ 0 | ||||||||||
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 March 31, 2017, we complied with this covenant | ||||||||||
Total shareholders' equity, excluding accumulated other comprehensive earnings / (losses) | $ 36,200,000,000 | ||||||||||
Minimum | Commercial Paper | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Commercial paper, Maturity period | 3 days | ||||||||||
Maximum | Commercial Paper | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Commercial paper, Maturity period | 88 days | ||||||||||
0.000% Swiss franc-denominated Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | SFr | SFr 175 | ||||||||||
Debt instrument, interest rate | 0.00% | ||||||||||
Swiss franc notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | SFr 350 | $ 349,000,000 | |||||||||
Net proceeds from issuance of notes | $ 349,000,000 | SFr 349 | |||||||||
0.050% Fixed Rate Notes, Mature on March 30, 2020 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | SFr 225 | 224,000,000 | |||||||||
Debt instrument, fixed interest rate | 0.05% | ||||||||||
Debt instrument maturity Year | Mar. 30, 2020 | ||||||||||
0.617% Fixed Rate Notes, Mature on September 30, 2024 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | SFr 125 | $ 125,000,000 | |||||||||
Debt instrument, fixed interest rate | 0.617% | ||||||||||
Debt instrument maturity Year | Sep. 30, 2024 | ||||||||||
1.125% Euro-denominated Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | € | € 750 | ||||||||||
Debt instrument, interest rate | 1.125% | ||||||||||
Subsequent Event | 6.500% U.S. dollar-denominated Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, principal amount | $ 488,000,000 | ||||||||||
Debt instrument, interest rate | 6.50% | ||||||||||
Long-term debt repaid | $ 504,000,000 |
Interest and Other Expense Net
Interest and Other Expense Net Within Results of Continuing Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Debt Instrument [Line Items] | ||
Interest expense, debt | $ 103 | $ 136 |
Loss related to interest rate swaps | 97 | |
Other expense, net | 16 | 11 |
Interest and other expense, net | $ 119 | $ 244 |
Fair Value of Derivative Instru
Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | $ 201 | $ 312 |
Liability Derivatives | 251 | 278 |
Derivatives Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 123 | 144 |
Liability Derivatives | 39 | 49 |
Derivatives Designated as Hedging Instruments | Currency exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 13 | 19 |
Liability Derivatives | 2 | 8 |
Derivatives Designated as Hedging Instruments | Commodity contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 7 | 17 |
Liability Derivatives | 13 | 22 |
Derivatives Designated as Hedging Instruments | Interest rate contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 103 | 108 |
Liability Derivatives | 24 | 19 |
Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 78 | 168 |
Liability Derivatives | 212 | 229 |
Derivatives Not Designated as Hedging Instruments | Currency exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 32 | 29 |
Liability Derivatives | 53 | 43 |
Derivatives Not Designated as Hedging Instruments | Commodity contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 26 | 112 |
Liability Derivatives | 145 | 167 |
Derivatives Not Designated as Hedging Instruments | Interest rate contracts | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 20 | 27 |
Liability Derivatives | $ 14 | $ 19 |
Derivative Instruments Fair Val
Derivative Instruments Fair Value and Measurement Inputs (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | $ (50) | $ 34 |
Currency exchange contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (10) | (3) |
Commodity contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (125) | (60) |
Interest rate contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | 85 | 97 |
Quoted Prices In Active Markets For Identical Assets (Level 1) | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (120) | (86) |
Quoted Prices In Active Markets For Identical Assets (Level 1) | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (120) | (86) |
Significant Other Observable Inputs (Level 2) | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | 70 | 120 |
Significant Other Observable Inputs (Level 2) | Currency exchange contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (10) | (3) |
Significant Other Observable Inputs (Level 2) | Commodity contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | (5) | 26 |
Significant Other Observable Inputs (Level 2) | Interest rate contracts | ||
Derivative [Line Items] | ||
Derivative fair value net asset (liability) | $ 85 | $ 97 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Loss related to interest rate swaps | $ (97) | ||
Interest rate contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Hedged forecasted transactions | 6 years 7 months | ||
Interest rate contracts | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Loss related to interest rate swaps | $ (97) | ||
Interest rate contracts | Maximum | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Expected transfers of unrealized gains (losses) to earnings, within next 12 months | $ (1) | ||
Commodity contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Hedged forecasted transactions | 9 months | ||
Commodity contracts | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Expected transfers of unrealized gains (losses) to earnings, within next 12 months | $ (24) | ||
Currency exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Hedged forecasted transactions | 9 months | ||
Currency exchange contracts | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Expected transfers of unrealized gains (losses) to earnings, within next 12 months | $ 10 | ||
Quoted Prices In Active Markets For Identical Assets (Level 1) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative liabilities after effects of netting | $ 2 | ||
Quoted Prices In Active Markets For Identical Assets (Level 1) | Exchange Traded Options | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative assets after effects of netting | 49 | 48 | |
Quoted Prices In Active Markets For Identical Assets (Level 1) | Exchange Traded Options | Other current assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Margin deposits related to exchange traded derivatives | 170 | 133 | |
Significant Other Observable Inputs (Level 2) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative assets after effects of netting | 127 | 162 | |
Derivative liabilities after effects of netting | $ 47 | $ 40 |
Notional Values of Derivative I
Notional Values of Derivative Instruments (Detail) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Net investment hedge | Euro notes | ||
Derivative [Line Items] | ||
Notional Amount | $ 3,563 | $ 4,012 |
Net investment hedge | Pound sterling notes | ||
Derivative [Line Items] | ||
Notional Amount | 426 | 419 |
Net investment hedge | Swiss franc notes | ||
Derivative [Line Items] | ||
Notional Amount | 1,646 | 1,447 |
Currency exchange contracts | Intercompany loans and forecasted interest payments | ||
Derivative [Line Items] | ||
Notional Amount | 3,181 | 3,343 |
Currency exchange contracts | Forecasted transactions | ||
Derivative [Line Items] | ||
Notional Amount | 1,655 | 1,452 |
Commodity contracts | ||
Derivative [Line Items] | ||
Notional Amount | 1,144 | 837 |
Interest rate contracts | ||
Derivative [Line Items] | ||
Notional Amount | $ 6,375 | $ 6,365 |
Schedule of Cash Flow Hedges Ef
Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings/(Losses), Net of Taxes (Detail) - Cash Flow Hedges - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Accumulated gain/(loss) at beginning of period | $ (121) | $ (45) |
Transfer of realized losses/(gains) in fair value to earnings | 7 | 58 |
Unrealized gain/(loss) in fair value | 11 | (66) |
Accumulated gain/(loss) at end of period | $ (103) | $ (53) |
Effects of Cash Flow Hedges (De
Effects of Cash Flow Hedges (Detail) - Cash Flow Hedges - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) reclassified from AOCI into earnings | $ (7) | $ (58) |
Gains / (losses) recognized in OCI | 11 | (66) |
Currency exchange contracts | Forecasted transactions | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) reclassified from AOCI into earnings | 5 | |
Gains / (losses) recognized in OCI | (6) | (12) |
Commodity contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) reclassified from AOCI into earnings | (7) | (3) |
Gains / (losses) recognized in OCI | (1) | (5) |
Interest rate contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) reclassified from AOCI into earnings | (60) | |
Gains / (losses) recognized in OCI | $ 18 | $ (49) |
Fair Value Hedges (Detail)
Fair Value Hedges (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Interest Rate Swap | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (loss) recognized in income on fair value of hedges | $ (4) | $ 5 |
Long-term Debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (loss) recognized in income on fair value of hedges | $ 4 | $ (5) |
Economic Hedges (Detail)
Economic Hedges (Detail) - Economic Hedging - Derivatives Not Designated as Hedging Instruments - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | $ (80) | $ (58) |
Commodity contracts | Cost of Sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | (62) | (44) |
Intercompany loans and forecasted interest payments | Currency exchange contracts | Interest and other expense, net | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | 2 | 5 |
Forecasted transactions | Currency exchange contracts | Interest and other expense, net | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | (2) | 8 |
Forecasted transactions | Currency exchange contracts | Cost of Sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | (17) | (31) |
Forecasted transactions | Currency exchange contracts | Selling, general and administrative expenses | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain / (Loss) Recognized in Earnings | $ (1) | $ 4 |
Hedges of Net Investments in In
Hedges of Net Investments in International Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Euro notes | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) recognized in OCI | $ (29) | $ 154 |
Pound sterling notes | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) recognized in OCI | (5) | (23) |
Swiss franc notes | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gains / (losses) recognized in OCI | $ (15) | $ 43 |
Components of Net Periodic Pens
Components of Net Periodic Pension Cost (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 12 | $ 13 |
Interest cost | 15 | 16 |
Expected return on plan assets | (25) | (24) |
Net loss from experience differences | 8 | 9 |
Prior service cost/(credit) | 1 | |
Settlement losses and other expenses | 3 | 4 |
Net periodic benefit cost | 14 | 18 |
Non-U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | 39 | 38 |
Interest cost | 48 | 60 |
Expected return on plan assets | (104) | (110) |
Net loss from experience differences | 41 | 31 |
Prior service cost/(credit) | (1) | (1) |
Settlement losses and other expenses | 1 | |
Net periodic benefit cost | $ 24 | $ 18 |
Benefit Plans - Additional Info
Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Settlement losses | $ 3 | $ 4 |
Employer contribution | 3 | |
Estimated future employer contributions | 10 | |
Non-U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Employer contribution | 307 | |
Employer non-recurring contribution | 250 | |
Estimated future employer contributions | $ 148 |
Components of Net Periodic Post
Components of Net Periodic Postretirement Health Care Costs (Detail) - Postretirement Benefit Plans - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 2 | $ 3 | |
Interest cost | 4 | 5 | |
Net loss from experience differences | 3 | 2 | |
Prior service credit | [1] | (10) | (2) |
Net periodic benefit cost | $ (1) | $ 8 | |
[1] | For the three months ended March 31, 2017, amortization of prior service credit includes an $8 million gain related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants. |
Components of Net Periodic Po64
Components of Net Periodic Postretirement Health Care Costs (Parenthetical) (Detail) $ in Millions | Mar. 31, 2017USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
Gain related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants | $ 8 |
Components of Net Postemploymen
Components of Net Postemployment Costs (Detail) - Postemployment Benefit Plans - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 1 | $ 2 |
Interest cost | 1 | 1 |
Amortization of net gains | (1) | |
Net periodic benefit cost | $ 1 | $ 3 |
Stock Option Activity (Detail)
Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | ||
Shares subject to option | |||
Beginning balance | 53,601,612 | ||
Options granted | 6,021,450 | ||
Options exercised | [1] | (2,080,511) | |
Options cancelled | (589,971) | ||
Ending balance | 56,952,580 | 53,601,612 | |
Weighted-average exercise price | |||
Beginning balance | $ 28.02 | ||
Options granted | 43.20 | ||
Options exercised | 26.18 | ||
Options cancelled | 37.93 | ||
Ending balance | $ 29.59 | $ 28.02 | |
Average remaining contractual term | |||
Ending balance | 6 years | 6 years | |
Aggregate intrinsic value | |||
Aggregate intrinsic value | $ 769 | $ 874 | |
Options exercised | $ 38 | ||
Annual grant to eligible employees | |||
Shares subject to option | |||
Options granted | 6,012,140 | ||
Weighted-average exercise price | |||
Options granted | $ 43.20 | ||
Additional options issued | |||
Shares subject to option | |||
Options granted | 9,310 | ||
Weighted-average exercise price | |||
Options granted | $ 44.60 | ||
[1] | Cash received from options exercised was $57 million in the three months ended March 31, 2017. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises totaled $8 million in the three months ended March 31, 2017. |
Stock Option Activity (Parenthe
Stock Option Activity (Parenthetical) (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Cash received from options exercised | $ 57 |
Actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises | $ 8 |
Performance Share Unit, Deferre
Performance Share Unit, Deferred Stock Unit, and Historically Granted Restricted Stock Activity (Detail) $ / shares in Units, $ in Millions | 3 Months Ended | |
Mar. 31, 2017USD ($)$ / sharesshares | ||
Number of Shares | ||
Beginning balance | shares | 7,593,627 | |
Shares granted | shares | 2,093,237 | |
Vested | shares | (2,284,703) | [1] |
Forfeited | shares | (293,146) | [1] |
Ending balance | shares | 7,109,015 | |
Weighted-average grant date fair value per share | ||
Beginning balance | $ / shares | $ 24.29 | |
Shares granted | $ / shares | 42.74 | |
Vested | $ / shares | 42.92 | [1] |
Forfeited | $ / shares | 38.49 | [1] |
Ending balance | $ / shares | $ 23.15 | |
Weighted-Average Aggregate Fair Value | ||
Total shares granted | $ | $ 89 | |
Vested | $ | $ 98 | [1] |
Annual grant to eligible employees | ||
Grant date | ||
Grant date | Feb. 16, 2017 | |
Performance Share Units | ||
Number of Shares | ||
Shares granted | shares | 1,087,010 | |
Weighted-average grant date fair value per share | ||
Shares granted | $ / shares | $ 43.20 | |
Deferred Stock Units | ||
Number of Shares | ||
Shares granted | shares | 845,550 | |
Weighted-average grant date fair value per share | ||
Shares granted | $ / shares | $ 43.20 | |
Additional options issued | ||
Number of Shares | ||
Shares granted | shares | 160,677 | [2] |
Weighted-average grant date fair value per share | ||
Shares granted | $ / shares | $ 37.15 | [2] |
[1] | Includes performance share units, deferred stock units and historically granted restricted stock. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the shares vested totaled $6 million in the three months ended March 31, 2017. | |
[2] | Includes performance share units and deferred stock units. |
Performance Share Unit, Defer69
Performance Share Unit, Deferred Stock Unit, and Historically Granted Restricted Stock Activity (Parenthetical) (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Actual tax benefit realized for the tax deductions from the shares vested | $ 6 |
Capital Stock - Additional Info
Capital Stock - Additional Information (Detail) - USD ($) $ / shares in Units, shares in Millions | Jul. 29, 2015 | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2013 |
Class of Stock [Line Items] | ||||
Cost of shares repurchased | $ 473,000,000 | $ 2,601,000,000 | ||
Common Class A | ||||
Class of Stock [Line Items] | ||||
Number of shares repurchased | 10.8 | |||
Average cost of shares repurchased | $ 43.87 | |||
Cost of shares repurchased | $ 500,000,000 | |||
Stock repurchase remaining amount | 2,400,000,000 | |||
Common Class A | Share Repurchase Program amended July 29, 2015 | ||||
Class of Stock [Line Items] | ||||
Stock repurchase value | $ 13,700,000,000 | |||
Increase in share repurchase value | $ 6,000,000,000 | |||
Stock repurchase expiration date | Dec. 31, 2018 | |||
Common Class A | Prior to January 1, 2016 | ||||
Class of Stock [Line Items] | ||||
Stock repurchase value | $ 10,800,000,000 | $ 7,700,000,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - 3 months ended Mar. 31, 2017 ₨ in Billions | USD ($) | INR (₨) |
Loss Contingencies [Line Items] | ||
Income due to reversal of accrued liability under tax indemnity | $ 58,000,000 | |
Indian Department of Central Excise Authority | Cadbury | ||
Loss Contingencies [Line Items] | ||
Amount for formal claim of notice presented for unpaid excise tax, as of the balance sheet date | 58,000,000 | ₨ 3.7 |
Indian Department of Central Excise Authority | Cadbury | Show case notice | ||
Loss Contingencies [Line Items] | ||
Amount for formal claim of notice presented for unpaid excise tax, as of the balance sheet date | 37,000,000 | 2.4 |
Indian Department of Central Excise Authority | Cadbury | Maximum | ||
Loss Contingencies [Line Items] | ||
Tax penalties and interest expense | 90,000,000 | ₨ 5.8 |
Selling, general and administrative expenses | ||
Loss Contingencies [Line Items] | ||
Income due to reversal of accrued liability under tax indemnity | 46,000,000 | |
Interest and Other Expense | ||
Loss Contingencies [Line Items] | ||
Income due to reversal of accrued liability under tax indemnity | $ 12,000,000 | |
U.S. Commodity Futures Trading Commission ("CFTC") | ||
Loss Contingencies [Line Items] | ||
Loss contingency, filling date | April 1, 2015 | |
Loss contingency, damages sought | $ 1,000,000 | |
U.S. Commodity Futures Trading Commission ("CFTC") | Each Additional Violation of the Commodity Exchange Act | ||
Loss Contingencies [Line Items] | ||
Loss contingency, damages sought | $ 140,000 |
Reclassifications from Accumu72
Reclassifications from Accumulated Other Comprehensive Income - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Net loss amounts reclassified from accumulated other comprehensive earnings/(losses) to net earnings (net of tax) | $ 43 | $ 140 |
Components of Accumulated Other
Components of Accumulated Other Comprehensive Earnings /(Losses) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balances | $ 25,215 | $ 28,100 | $ 28,100 | ||
Cost of sales | (3,889) | (3,920) | |||
Interest rate contracts | (119) | (244) | |||
Tax benefit on reclassifications | (154) | (49) | |||
Other comprehensive earnings/(losses) | 562 | 618 | (1,153) | ||
Less: gain attributable to noncontrolling interests | 4 | 13 | |||
Balances | 25,719 | 25,215 | 28,100 | ||
Other comprehensive earnings/(losses) attributable to Mondelez International | 558 | 605 | |||
Currency Translation Adjustments | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balances | (8,914) | (8,006) | (8,006) | ||
Currency translation adjustments | 512 | 474 | |||
Equity method investment exchange | 57 | ||||
Tax benefit | 31 | 100 | |||
Other comprehensive earnings/(losses) | 543 | 631 | |||
Less: gain attributable to noncontrolling interests | (4) | (13) | |||
Balances | (8,375) | (7,388) | (8,914) | (8,006) | |
Pension and Other Benefits | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balances | (2,087) | (1,934) | (1,934) | ||
Net actuarial loss arising during period | (6) | ||||
Tax (expense)/benefit on net actuarial loss | 0 | 0 | |||
Currency impact | (29) | (30) | |||
Other comprehensive earnings/(losses) | 1 | (6) | |||
Balances | (2,086) | (1,940) | (2,087) | (1,934) | |
Derivative Cash Flow Hedges | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balances | (121) | (46) | (46) | ||
Net derivative gains/(losses) | 7 | (89) | |||
Tax benefit on net derivative gain/(loss) | 5 | 24 | |||
Currency impact | (1) | (1) | |||
Other comprehensive earnings/(losses) | 18 | (7) | |||
Balances | (103) | (53) | (121) | (46) | |
Accumulated Other Comprehensive Income (Loss) | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balances | (11,122) | (9,986) | (9,986) | ||
Other comprehensive earnings/(losses) | 558 | (1,136) | |||
Balances | (10,564) | (9,381) | $ (11,122) | $ (9,986) | |
Reclassification out of Accumulated Other Comprehensive Income | Pension and Other Benefits | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Amortization of experience losses and prior service costs | [1] | 41 | 29 | ||
Settlement losses and other expenses | [1] | 4 | 4 | ||
Tax benefit on reclassifications | [2] | (9) | (9) | ||
Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Forecasted transactions | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Cost of sales | [3] | 1 | (6) | ||
Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Currency exchange contracts | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Cost of sales | [3] | 8 | 5 | ||
Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Commodity contracts | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Interest rate contracts | [4] | 96 | |||
Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Interest rate contracts | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Tax benefit on reclassifications | [2] | $ (2) | $ (36) | ||
[1] | These reclassified losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans. | ||||
[2] | Taxes reclassified to earnings are recorded within the provision for income taxes. | ||||
[3] | These reclassified gains or losses are recorded within cost of sales. | ||||
[4] | These reclassified losses are recorded within interest and other expense, net. |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Contingency [Line Items] | ||
Estimated effective tax rate | 26.30% | 22.00% |
Effective tax rate | 21.40% | 10.30% |
Total favorable discrete items | $ 36 | |
Net favorable tax audit settlements and expirations of statutes of limitations | 16 | $ 39 |
Benefit relating to the U.S. domestic production activities deduction | $ 16 | |
Net unfavorable tax charge related to the sale of joint venture | $ 56 |
Basic and Diluted Earnings per
Basic and Diluted Earnings per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings Per Share [Line Items] | ||||
Net earnings | $ 633 | $ 557 | $ 1,669 | |
Noncontrolling interest earnings | (3) | (3) | ||
Net earnings attributable to Mondelez International | $ 630 | $ 554 | ||
Weighted-average shares for basic EPS | 1,529 | 1,569 | ||
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares | 21 | 18 | ||
Weighted-average shares for diluted EPS | 1,550 | 1,587 | ||
Basic earnings per share attributable to Mondelez International | $ 0.41 | $ 0.35 | ||
Diluted earnings per share attributable to Mondelez International: | $ 0.41 | $ 0.35 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Mondelez International stock options excluded from the calculation of diluted EPS | 6.7 | 8.6 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2017Segment | |
Segment Reporting Information [Line Items] | |
Number of reportable operating segments | 4 |
Net Revenues by Segment (Detail
Net Revenues by Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Net revenues | $ 6,414 | $ 6,455 |
Latin America Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 910 | 817 |
Asia Middle East Africa Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 1,491 | 1,515 |
Europe Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 2,365 | 2,448 |
North America Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | $ 1,648 | $ 1,675 |
Operating Income by Segment (De
Operating Income by Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
General corporate expenses | $ (58) | $ (60) |
Amortization of intangibles | (44) | (44) |
Operating income (loss) | 840 | 722 |
Interest and other expense, net | (119) | (244) |
Earnings before income taxes | 721 | 478 |
Cost of Sales | ||
Segment Reporting Information [Line Items] | ||
Unrealized losses on hedging activities (mark-to-market impacts) | (51) | (54) |
Latin America Segment | ||
Segment Reporting Information [Line Items] | ||
Operating income (loss) | 111 | 67 |
Asia Middle East Africa Segment | ||
Segment Reporting Information [Line Items] | ||
Operating income (loss) | 181 | 190 |
Europe Segment | ||
Segment Reporting Information [Line Items] | ||
Operating income (loss) | 409 | 352 |
North America Segment | ||
Segment Reporting Information [Line Items] | ||
Operating income (loss) | $ 292 | $ 271 |
Net Revenues by Consumer Sector
Net Revenues by Consumer Sector (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Net revenues | $ 6,414 | $ 6,455 |
Biscuits | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 2,553 | 2,575 |
Chocolate | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 2,067 | 1,999 |
Gum & Candy | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 880 | 957 |
Beverages | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 407 | 389 |
Cheese & Grocery | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 507 | 535 |
Latin America Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 910 | 817 |
Latin America Segment | Biscuits | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 170 | 164 |
Latin America Segment | Chocolate | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 259 | 198 |
Latin America Segment | Gum & Candy | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 213 | 216 |
Latin America Segment | Beverages | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 193 | 164 |
Latin America Segment | Cheese & Grocery | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 75 | 75 |
Asia Middle East Africa Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 1,491 | 1,515 |
Asia Middle East Africa Segment | Biscuits | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 399 | 407 |
Asia Middle East Africa Segment | Chocolate | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 515 | 493 |
Asia Middle East Africa Segment | Gum & Candy | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 229 | 256 |
Asia Middle East Africa Segment | Beverages | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 173 | 177 |
Asia Middle East Africa Segment | Cheese & Grocery | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 175 | 182 |
Europe Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 2,365 | 2,448 |
Europe Segment | Biscuits | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 651 | 643 |
Europe Segment | Chocolate | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 1,223 | 1,263 |
Europe Segment | Gum & Candy | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 193 | 216 |
Europe Segment | Beverages | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 41 | 48 |
Europe Segment | Cheese & Grocery | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 257 | 278 |
North America Segment | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 1,648 | 1,675 |
North America Segment | Biscuits | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 1,333 | 1,361 |
North America Segment | Chocolate | ||
Segment Reporting Information [Line Items] | ||
Net revenues | 70 | 45 |
North America Segment | Gum & Candy | ||
Segment Reporting Information [Line Items] | ||
Net revenues | $ 245 | $ 269 |