Document_and_Entity_Informatio
Document and Entity Information (USD $) | 3 Months Ended | ||
Dec. 31, 2013 | Jan. 31, 2014 | Mar. 31, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'AMERISOURCEBERGEN CORP | ' | ' |
Entity Central Index Key | '0001140859 | ' | ' |
Document Type | '10-Q | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q1 | ' | ' |
Current Fiscal Year End Date | '--09-30 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $10,325,295,935 |
Entity Common Stock, Shares Outstanding | ' | 229,201,153 | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $347,465 | $1,231,006 |
Accounts receivable, less allowances for returns and doubtful accounts: $351,241 at December 31, 2013 and $358,161 at September 30, 2013 | 6,214,193 | 6,051,920 |
Merchandise inventories | 8,602,809 | 6,981,494 |
Prepaid expenses and other | 63,878 | 129,231 |
Total current assets | 15,228,345 | 14,393,651 |
Property and equipment, at cost: | ' | ' |
Land | 37,538 | 37,538 |
Buildings and improvements | 328,883 | 324,150 |
Machinery, equipment and other | 1,161,160 | 1,109,731 |
Total property and equipment | 1,527,581 | 1,471,419 |
Less accumulated depreciation | -703,476 | -667,858 |
Property and equipment, net | 824,105 | 803,561 |
Goodwill and other intangible assets | 3,501,341 | 3,499,713 |
Other assets | 242,304 | 221,713 |
TOTAL ASSETS | 19,796,095 | 18,918,638 |
Current liabilities: | ' | ' |
Accounts payable | 13,858,659 | 13,335,792 |
Accrued expenses and other | 533,090 | 532,564 |
Short-term debt | 423,000 | 0 |
Deferred income taxes | 1,014,149 | 1,002,279 |
Total current liabilities | 15,828,898 | 14,870,635 |
Long-term debt | 1,396,776 | 1,396,606 |
Other liabilities | 322,619 | 331,652 |
Stockholders' equity: | ' | ' |
Common stock, $0.01 par value - authorized: 600,000,000 shares; issued and outstanding: 268,571,263 shares and 230,492,510 shares, at December 31, 2013, respectively, and 267,789,992 shares and 229,994,216 shares at September 30, 2013, respectively | 2,686 | 2,678 |
Additional paid-in capital | 2,327,268 | 2,360,992 |
Retained earnings | 1,495,432 | 1,508,414 |
Accumulated other comprehensive loss | -41,076 | -35,483 |
Treasury stock, at cost: 38,078,753 shares at December 31, 2013 and 37,795,776 shares at September 30, 2013 | -1,536,508 | -1,516,856 |
Total stockholders' equity | 2,247,802 | 2,319,745 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $19,796,095 | $18,918,638 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Current assets: | ' | ' |
Allowances for returns and doubtful accounts | $351,241 | $358,161 |
Stockholders' equity: | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 600,000,000 | 600,000,000 |
Common stock, shares issued | 268,571,263 | 267,789,992 |
Common stock, shares outstanding | 230,492,510 | 229,994,216 |
Treasury stock, shares held | 38,078,753 | 37,795,776 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Statements of Operations [Abstract] | ' | ' |
Revenue | $29,176,362 | $21,059,811 |
Cost of goods sold | 28,488,137 | 20,398,983 |
Gross profit | 688,225 | 660,828 |
Operating expenses: | ' | ' |
Distribution, selling, and administrative | 364,060 | 320,700 |
Depreciation | 37,319 | 31,873 |
Amortization | 6,631 | 6,811 |
Warrants | 116,297 | 0 |
Employee severance, litigation and other | 4,302 | 2,004 |
Operating income | 159,616 | 299,440 |
Other income | -597 | -23 |
Interest expense, net | 18,832 | 18,525 |
Income from continuing operations before income taxes | 141,381 | 280,938 |
Income taxes | 92,450 | 106,317 |
Income from continuing operations | 48,931 | 174,621 |
Loss from discontinued operations, net of income taxes | -7,546 | -6,010 |
Net income | $41,385 | $168,611 |
Basic earnings per share: | ' | ' |
Continuing operations | $0.21 | $0.75 |
Discontinued operations | ($0.03) | ($0.03) |
Rounding | $0 | $0.01 |
Total | $0.18 | $0.73 |
Diluted earnings per share: | ' | ' |
Continuing operations | $0.21 | $0.74 |
Discontinued operations | ($0.03) | ($0.03) |
Rounding | ($0.01) | $0 |
Total | $0.17 | $0.71 |
Weighted average common shares outstanding: | ' | ' |
Basic | 230,277 | 232,361 |
Diluted | 237,012 | 235,992 |
Cash dividends declared per share of common stock | $0.24 | $0.21 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Income and Comprehensive Income [Abstract] | ' | ' |
Net income | $41,385 | $168,611 |
Other comprehensive (loss) income: | ' | ' |
Net change in foreign currency translation adjustments | -5,442 | -2,772 |
Other | -151 | 27 |
Total other comprehensive loss | -5,593 | -2,745 |
Total comprehensive income | $35,792 | $165,866 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
OPERATING ACTIVITIES | ' | ' |
Net income | $41,385 | $168,611 |
Loss from discontinued operations, net of income taxes | 7,546 | 6,010 |
Income from continuing operations | 48,931 | 174,621 |
Adjustments to reconcile income from continuing operations to net cash used in operating activities: | ' | ' |
Depreciation, including amounts charged to cost of goods sold | 37,887 | 33,594 |
Amortization, including amounts charged to interest expense | 7,823 | 7,963 |
Provision (benefit) for doubtful accounts | 1,688 | -562 |
Provision for deferred income taxes | 2,396 | 15,727 |
Warrants | 116,297 | 0 |
Share-based compensation | 11,226 | 9,326 |
Other | -2,675 | 531 |
Changes in operating assets and liabilities, excluding the effects of acquisitions: | ' | ' |
Accounts receivable | -159,120 | -429,125 |
Merchandise inventories | -1,626,618 | -295,938 |
Prepaid expenses and other assets | 43,659 | 14,673 |
Accounts payable, accrued expenses, and income taxes | 523,117 | 211,423 |
Other liabilities | -708 | 839 |
Net cash used in operating activities - continuing operations | -996,097 | -256,928 |
Net cash (used in) provided by operating activities - discontinued operations | -7,546 | 15,221 |
NET CASH USED IN OPERATING ACTIVITIES | -1,003,643 | -241,707 |
INVESTING ACTIVITIES | ' | ' |
Capital expenditures | -59,183 | -56,286 |
Cost of acquired companies, net of cash acquired | -9,103 | 0 |
Other | 83 | 23 |
Net cash used in investing activities - continuing operations | -68,203 | -56,263 |
Net cash used in investing activities - discontinued operations | 0 | -5,116 |
NET CASH USED IN INVESTING ACTIVITIES | -68,203 | -61,379 |
FINANCING ACTIVITIES | ' | ' |
Borrowings under revolving and securitization credit facilities | 522,500 | 796,000 |
Repayments under revolving and securitization credit facilities | -99,500 | -796,000 |
Purchases of common stock | -19,652 | -284,691 |
Exercises of stock options, including excess tax benefits of $11,631 and $8,632 in fiscal 2014 and 2013, respectively | 32,326 | 39,750 |
Cash dividends on common stock | -54,367 | -49,595 |
Purchases of capped call options | -192,995 | 0 |
Debt issuance costs and other | -7 | -1,090 |
Net cash provided by (used in) financing activities - continuing operations | 188,305 | -295,626 |
Net cash used in financing activities - discontinued operations | 0 | -50,492 |
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | 188,305 | -346,118 |
DECREASE IN CASH AND CASH EQUIVALENTS | -883,541 | -649,204 |
Cash and cash equivalents at beginning of period | 1,231,006 | 1,066,608 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $347,465 | $417,404 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
FINANCING ACTIVITIES | ' | ' |
Excess tax benefit from the exercise of stock options | $11,631 | $8,632 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended |
Dec. 31, 2013 | |
Summary of Significant Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies [Text Block] | ' |
Note 1. Summary of Significant Accounting Policies | |
Basis of Presentation | |
The accompanying financial statements present the consolidated financial position, results of operations and cash flows of AmerisourceBergen Corporation and its wholly owned subsidiaries (the “Company”) as of the dates and for the periods indicated. All intercompany accounts and transactions have been eliminated in consolidation. | |
The accompanying unaudited consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. In the opinion of management, all adjustments (consisting only of normal recurring accruals, except as otherwise disclosed herein) considered necessary to present fairly the financial position as of December 31, 2013 and the results of operations and cash flows for the interim periods ended December 31, 2013 and 2012 have been included. Certain information and footnote disclosures normally included in financial statements presented in accordance with U.S. GAAP, but which are not required for interim reporting purposes, have been omitted. The accompanying unaudited consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2013. | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect amounts reported in the financial statements and accompanying notes. Actual amounts could differ from these estimated amounts. | |
Certain reclassifications have been made to prior year amounts in order to conform to the current year presentation. | |
Discontinued_Operations
Discontinued Operations | 3 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Discontinued Operations [Abstract] | ' | |||||||
Discontinued Operations [Text Block] | ' | |||||||
Note 2. Discontinued Operations | ||||||||
In May 2013, the Company completed the divestiture of its packaging and clinical trials services business, AndersonBrecon (“AB”), and AmerisourceBergen Canada Corporation (“ABCC”). The Company has classified AB and ABCC's operating results, net of tax, as discontinued operations in the accompanying consolidated statements of operations for all periods presented. Prior to being classified within discontinued operations, AB was included in Other and ABCC was included in Pharmaceutical Distribution for segment reporting. AB and ABCC's revenue and loss before income taxes were as follows: | ||||||||
Three months ended December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Revenue | $ | - | $ | 474,230 | ||||
Loss before income taxes | $ | -7,546 | $ | -2,053 | ||||
The loss before income taxes in the three months ended December 31, 2013 includes the impact of a final purchase price working capital adjustment related to the divestiture of ABCC. |
Income_Taxes
Income Taxes | 3 Months Ended |
Dec. 31, 2013 | |
Income Taxes [Abstract] | ' |
Income Taxes [Text Block] | ' |
Note 3. Income Taxes | |
The Company files income tax returns in U.S. federal and state jurisdictions as well as various foreign jurisdictions. As of December 31, 2013, the Company had unrecognized tax benefits, defined as the aggregate tax effect of differences between tax return positions and the benefits recognized in the Company's financial statements, of $55.2 million ($38.9 million, net of federal benefit). If recognized, these tax benefits would reduce income tax expense and the effective tax rate. Included in this amount is $8.8 million of interest and penalties, which the Company records in income tax expense. During the three months ended December 31, 2013, unrecognized tax benefits decreased by $0.2 million. During the next 12 months, it is reasonably possible that state tax audit resolutions and the expiration of statutes of limitations could result in a reduction of unrecognized tax benefits by approximately $6.3 million. | |
In March 2013, the Company issued Warrants (as defined in Note 6) in connection with various agreements and arrangements with Walgreen Co. (“Walgreens”) and Alliance Boots GmbH (“Alliance Boots”). As of the date of issuance, the Warrants were valued at $242.4 million, which approximates the amount that will be deductible for income tax purposes. The fair value of the Warrants as of December 31, 2013 was $895.2 million. The excess of the fair value as of December 31, 2013 over the initial value of $242.4 million is not tax deductible. As a result, the Company's current effective income tax rate, which includes the impact of the Warrants, is higher than its historical rate. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | |||||||||||||||||
Goodwill and Other Intangible Assets [Text Block] | ' | |||||||||||||||||
Note 4. Goodwill and Other Intangible Assets | ||||||||||||||||||
Following is a summary of the changes in the carrying value of goodwill, by reportable segment, for the three months ended December 31, 2013 (in thousands): | ||||||||||||||||||
Pharmaceutical Distribution | Other | Total | ||||||||||||||||
Goodwill at September 30, 2013 | $ | 2,400,926 | $ | 544,044 | $ | 2,944,970 | ||||||||||||
Goodwill recognized in connection with acquisition | - | 5,515 | 5,515 | |||||||||||||||
Foreign currency translation | - | -626 | -626 | |||||||||||||||
Goodwill at December 31, 2013 | $ | 2,400,926 | $ | 548,933 | $ | 2,949,859 | ||||||||||||
Following is a summary of other intangible assets (in thousands): | ||||||||||||||||||
31-Dec-13 | 30-Sep-13 | |||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | |||||||||||||
Indefinite-lived | ||||||||||||||||||
intangibles - trade | ||||||||||||||||||
names | $ | 343,822 | $ | - | $ | 343,822 | $ | 343,892 | $ | - | $ | 343,892 | ||||||
Finite-lived | ||||||||||||||||||
intangibles: | ||||||||||||||||||
Customer | ||||||||||||||||||
relationships | 268,592 | -85,319 | 183,273 | 265,810 | -80,767 | 185,043 | ||||||||||||
Other | 69,861 | -45,474 | 24,387 | 69,350 | -43,542 | 25,808 | ||||||||||||
Total other intangible | ||||||||||||||||||
assets | $ | 682,275 | $ | -130,793 | $ | 551,482 | $ | 679,052 | $ | -124,309 | $ | 554,743 | ||||||
Amortization expense for other intangible assets was $6.6 million and $6.8 million in the three months ended December 31, 2013 and 2012, respectively. Amortization expense for other intangible assets is estimated to be $26.0 million in fiscal 2014, $22.2 million in fiscal 2015, $21.3 million in fiscal 2016, $17.6 million in fiscal 2017, $15.3 million in fiscal 2018, and $111.9 million thereafter. |
Debt
Debt | 3 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Debt [Abstract] | ' | ||||||
Debt [Text Block] | ' | ||||||
Note 5. Debt | |||||||
Debt consisted of the following (in thousands): | |||||||
December 31, | September 30, | ||||||
2013 | 2013 | ||||||
Receivables securitization facility due 2016 | $ | 300,000 | $ | - | |||
Multi-currency revolving credit facility due 2018 | 78,000 | - | |||||
Revolving credit note | 45,000 | - | |||||
$500,000, 5 7/8% senior notes due 2015 | 499,444 | 499,377 | |||||
$400,000, 4 7/8% senior notes due 2019 | 397,881 | 397,803 | |||||
$500,000, 3 1/2% senior notes due 2021 | 499,451 | 499,426 | |||||
Total debt | $ | 1,819,776 | $ | 1,396,606 | |||
The Company has a $1.4 billion multi-currency senior unsecured revolving credit facility, which is scheduled to expire in July 2018 (the “Multi-Currency Revolving Credit Facility”), with a syndicate of lenders. Interest on borrowings under the Multi-Currency Revolving Credit Facility accrues at specified rates based on the Company's debt rating and ranges from 68 basis points to 130 basis points over LIBOR / EURIBOR / Bankers Acceptance Stamping Fee, as applicable (90 basis points over LIBOR / EURIBOR / Bankers Acceptance Stamping Fee at December 31, 2013). Additionally, interest on borrowings denominated in Canadian dollars may accrue at the greater of the Canadian prime rate or the CDOR rate. The Company pays facility fees to maintain the availability under the Multi-Currency Revolving Credit Facility at specified rates based on its debt rating, ranging from 7 basis points to 20 basis points, annually, of the total commitment (10 basis points at December 31, 2013). The Company may choose to repay or reduce its commitments under the Multi-Currency Revolving Credit Facility at any time. The Multi-Currency Revolving Credit Facility contains covenants, including compliance with a financial leverage ratio test, as well as others that impose limitations on, among other things, indebtedness of excluded subsidiaries and asset sales, with which the Company was compliant as of December 31, 2013. | |||||||
The Company has a commercial paper program whereby it may from time to time issue short-term promissory notes in an aggregate amount of up to $700 million at any one time. Amounts available under the program may be borrowed, repaid, and re-borrowed from time to time. The maturities on the notes will vary, but may not exceed 365 days from the date of issuance. The notes will bear interest rates, if interest bearing, or will be sold at a discount from their face amounts. The commercial paper program does not increase the Company's borrowing capacity as it is fully backed by the Company's Multi-Currency Revolving Credit Facility. There were no borrowings outstanding under the commercial paper program at December 31, 2013. | |||||||
The Company has a $950 million receivables securitization facility (“Receivables Securitization Facility”), which is scheduled to expire in June 2016. The Company has available to it an accordion feature whereby the commitment on the Receivables Securitization Facility may be increased by up to $250 million, subject to lender approval, for seasonal needs during the December and March quarters. During December 2013, the Company increased the availability of the Receivables Securitization Facility by $250 million under the accordion feature. Interest rates are based on prevailing market rates for short-term commercial paper or LIBOR plus a program fee of 75 basis points. The Company pays an unused fee of 40 basis points, annually, to maintain the availability under the Receivables Securitization Facility. The Receivables Securitization Facility contains similar covenants to the Multi-Currency Revolving Credit Facility, with which the Company was compliant as of December 31, 2013. | |||||||
The Company has an uncommitted, unsecured line of credit available to it pursuant to a revolving credit note (“Revolving Credit Note”). The Revolving Credit Note provides the Company with the ability to request short-term unsecured revolving credit loans from time to time in a principal amount not to exceed $45 million at any time outstanding. |
Stockholders_Equity_and_Earnin
Stockholders' Equity and Earnings per Share | 3 Months Ended | |||||
Dec. 31, 2013 | ||||||
Stockholders' Equity and Earnings per Share [Abstract] | ' | |||||
Stockholders' Equity and Earnings per Share | ' | |||||
Note 6. Stockholders' Equity and Earnings per Share | ||||||
In November 2013, the Company's board of directors increased the quarterly cash dividend by 12% from $0.21 per share to $0.235 per share. | ||||||
In November 2012, the Company's board of directors authorized a program allowing the Company to purchase up to $750 million of its outstanding shares of common stock, subject to market conditions. During the three months ended December 31, 2013, the Company purchased 0.3 million shares of its common stock for a total of $19.6 million. The Company had $343.4 million of availability remaining under this share repurchase program as of December 31, 2013. In August 2013, the Company's board of directors authorized a new program allowing the Company to purchase up to an additional $750 million of its outstanding shares of common stock, subject to market conditions. | ||||||
In March 2013, the Company, Walgreens, and Alliance Boots entered into various agreements and arrangements pursuant to which Walgreens and Alliance Boots together were granted the right to purchase a minority equity position in the Company, beginning with the right, but not the obligation, to purchase up to 19,859,795 shares of the Company's common stock (approximately 7% of the Company's common stock, on a fully diluted basis as of the date of issuance, assuming the exercise in full of the Warrants, as defined below) in open market transactions. In connection with these arrangements, Walgreens Pharmacy Strategies, LLC, a wholly owned subsidiary of Walgreens, was issued (a) a warrant to purchase up to 11,348,456 shares of the Company's common stock at an exercise price of $51.50 per share exercisable during a six month period beginning in March 2016, and (b) a warrant to purchase up to 11,348,456 shares of the Company's common stock at an exercise price of $52.50 per share exercisable during a six-month period beginning in March 2017 and Alliance Boots Luxembourg S.à.r.l., a wholly owned subsidiary of Alliance Boots, was issued (a) a warrant to purchase up to 11,348,456 shares of the Company's common stock at an exercise price of $51.50 per share exercisable during a six-month period beginning in March 2016 and (b) a warrant to purchase up to 11,348,456 shares of the Company's common stock at an exercise price of $52.50 per share exercisable during a six-month period beginning in March 2017 (collectively, the “Warrants”). | ||||||
The Company valued these Warrants as of March 18, 2013 (date of issuance) and revised the valuation each subsequent quarter. As of December 31, 2013, the Warrants with an exercise price of $51.50 were valued at $19.49 per share and the Warrants with an exercise price of $52.50 were valued at $19.95 per share. In total, the Warrants were valued at $895.2 million as of December 31, 2013. Refer to “Critical Accounting Policies and Estimates – Warrants” in the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2013 for a more detailed description of the accounting for the Warrants. | ||||||
The Company intends to mitigate the potentially dilutive effect that the exercise of the Warrants could have by hedging a portion of its future obligation to deliver common stock with a financial institution and repurchasing additional shares of its common stock for the Company's own account over time. In June 2013, the Company commenced its hedging strategy by entering into a contract with a financial institution pursuant to which it has executed a series of issuer capped call option transactions (“Capped Calls”). The Capped Calls give the Company the right to buy 60% of the shares of its common stock subject to the Warrants at specified prices at maturity, should the Warrants be exercised in 2016 and 2017 and assuming the Company's future share price does not exceed the “cap” price in the Capped Calls. If the Company's share price exceeds the “cap” price in the Capped Calls at the time the Warrants are exercised, the number of shares that will be delivered to the Company under the Capped Calls will be reduced, and accordingly, will cover less than 60% of the shares of common stock subject to the Warrants. | ||||||
Through September 30, 2013, the Company purchased Capped Calls on 15.3 million shares of its common stock for a total premium of $163.4 million. During the three months ended December 31, 2013, the Company purchased Capped Calls on an additional 11.3 million shares of its common stock for a total premium of $193.5 million. The Capped Calls permit the Company to acquire shares of its common stock at strike prices of $51.50 and $52.50 and have expiration dates ranging from February 2016 through October 2017. The Capped Calls permit net share settlement, which is limited by caps on the market price of the Company's common stock. The Company has accounted for the Capped Calls as equity contracts and therefore, the above premiums were recorded as a reduction to paid-in capital. | ||||||
Basic earnings per share is computed on the basis of the weighted average number of shares of common stock outstanding during the periods presented. Diluted earnings per share is computed on the basis of the weighted average number of shares of common stock outstanding during the periods presented plus the dilutive effect of stock options, restricted stock, restricted stock units, and the Warrants. | ||||||
Three months ended | ||||||
December 31, | ||||||
(in thousands) | 2013 | 2012 | ||||
Weighted average common shares outstanding - basic | 230,277 | 232,361 | ||||
Dilutive effect of stock options, restricted | ||||||
stock, and restricted stock units | 5,106 | 3,631 | ||||
Dilutive effect of Warrants | 1,629 | - | ||||
Weighted average common shares outstanding - diluted | 237,012 | 235,992 | ||||
The potentially dilutive stock options that were antidilutive for the three months ended December 31, 2013 and 2012 were 1.2 million and 1.9 million, respectively. |
Legal_Matters_and_Contingencie
Legal Matters and Contingencies | 3 Months Ended |
Dec. 31, 2013 | |
Legal Matters and Contingencies [Abstract] | ' |
Legal Matters and Contingencies [Text Block] | ' |
Note 7. Legal Matters and Contingencies | |
In the ordinary course of its business, the Company becomes involved in lawsuits, administrative proceedings, government subpoenas, and government investigations, including antitrust, commercial, environmental, product liability, intellectual property, regulatory, employment discrimination, and other matters. Significant damages or penalties may be sought from the Company in some matters, and some matters may require years for the Company to resolve. The Company establishes reserves based on its periodic assessment of estimates of probable losses. There can be no assurance that an adverse resolution of one or more matters during any subsequent reporting period will not have a material adverse effect on the Company's results of operations for that period or on the Company's financial condition. | |
Qui Tam | |
The qui tam provisions of the federal civil False Claims Act and various state and local civil False Claims Acts permit a private person, known as a "relator" or whistleblower, to file civil actions under these statutes on behalf of the federal, state and local governments. Such cases may involve allegations around the marketing, sale and/or purchase of pharmaceutical products. Qui tam complaints are initially filed by the relator under seal (or on a confidential basis) and the filing of the complaint imposes obligations on government authorities to investigate the allegations in the complaint and to determine whether or not to intervene in the action. Qui tam complaints remain sealed until the court in which the case was filed orders otherwise. | |
The Company has learned that there are filings in one or more federal district courts, including a qui tam complaint filed by one of its former employees, that are under seal and may involve allegations against the Company (and/or subsidiaries or businesses of the Company, including its group purchasing organization for oncologists and its oncology distribution business) relating to its distribution of certain pharmaceutical products to providers. The Company and AmerisourceBergen Specialty Group (“ABSG”) have also received subpoenas from the United States Attorney's Office for the Eastern District of New York ("USAO") requesting production of documents and information relating to ABSG's oncology distribution center and former pharmacy in Dothan, Alabama, its group purchasing organization for oncologists, and intercompany transfers of certain oncology products, which the Company believes could be related to one or more of the qui tam actions that remain under seal. The Company is in the process of responding to the subpoenas and is cooperating fully with the USAO. The Company cannot predict the outcome of any pending action in which any AmerisourceBergen entity is or may become a defendant. | |
Subpoenas from United States Attorney's Offices | |
In fiscal 2012, the Company's subsidiary, AmerisourceBergen Drug Corporation (“ABDC”), received a subpoena from the United States Attorney's Office in New Jersey (the "USAO") in connection with a grand jury proceeding requesting documents concerning ABDC's program for controlling and monitoring diversion of controlled substances into channels other than for legitimate medical, scientific, and industrial purposes. ABDC also received a subpoena from the Drug Enforcement Administration ("DEA") in connection with the matter. In addition to requesting information on ABDC's diversion control program generally, the subpoenas also request documents concerning specific customers' purchases of controlled substances. ABDC has responded to the subpoenas and is cooperating fully with the USAO and the DEA. On August 30, 2013, ABDC received a second subpoena from the USAO requesting additional information related to the documents produced in response to the first subpoena, as well as information regarding additional specific customers' purchases of controlled substances. On December 31, 2013, ABDC received a third subpoena from the USAO requesting additional information related to electronically stored information. The Company cannot predict the outcome of this matter. | |
In fiscal 2013, the Company or ABDC has also received similar subpoenas from the United States Attorney's Office in the District of Kansas and the United States Attorney's Office in the Northern District of Ohio in connection with grand jury proceedings requesting documents in concerning ABDC's program for controlling and monitoring diversion of controlled substances into channels other than for legitimate medical, scientific and industrial purposes. As in the New Jersey matter described above, in addition to requesting information on ABDC's diversion control program generally, the subpoenas also request documents concerning specific customers' purchases of controlled substances. The Company is in the process of responding to the subpoenas and cannot predict the outcome of these matters. | |
West Virginia Complaint | |
On June 26, 2012, the Attorney General of the State of West Virginia ("West Virginia") filed a complaint (the "Complaint") in the Circuit Court of Boone County, West Virginia, against a number of pharmaceutical wholesale distributors, including the Company's subsidiary, ABDC, alleging, among other things, that the distributors failed to provide effective controls and procedures to guard against diversion of controlled substances for illegitimate purposes in West Virginia. The Complaint also alleges that the distributors acted negligently by distributing controlled substances to pharmacies that serve individuals who abuse prescription pain medication and were unjustly enriched by such conduct, violated consumer credit and protection laws, created a public nuisance, and violated state antitrust laws in connection with the distribution of controlled substances. West Virginia is seeking injunctive relief to enjoin alleged violations of state regulations requiring suspicious order monitoring and reporting and to require defendants to fund a medical monitoring treatment program. The Complaint also seeks a jury trial to determine any losses and damages sustained by West Virginia as a result of the defendants' alleged conduct. On July 26, 2012, one of the defendants, J.M. Smith Corporation d/b/a Smith Drug Company, filed a Notice of Removal from the Circuit Court of Boone County, West Virginia to the United States District Court for the Southern District of West Virginia, and ABDC and all other defendants filed Consents to Removal. On August 27, 2012, West Virginia filed a Motion to Remand, to which J.M. Smith Corporate d/b/a Smith Drug Company, joined by all other defendants, filed a reply. On March 27, 2013, the Court granted West Virginia's Motion to Remand and West Virginia notified the parties that they intended to file an amended complaint. In advance of filing an amended complaint, West Virginia served discovery requests and subsequently filed a motion to compel. After responding to West Virginia's motion to compel and oral argument, defendants were ordered to provide limited responses. On January 2, 2014, West Virginia filed an amended complaint, which removed the claims for unjust enrichment, medical monitoring and antitrust violations. The Company cannot predict the outcome of this matter. |
Litigation_Settlements
Litigation Settlements | 3 Months Ended |
Dec. 31, 2013 | |
Litigation Settlements [Abstract] | ' |
Litigation Settlements [Text Block] | ' |
Note 8. Litigation Settlements | |
Antitrust Settlements | |
Numerous class action lawsuits have been filed against certain brand pharmaceutical manufacturers alleging that the manufacturer, by itself or in concert with others, took improper actions to delay or prevent generic drugs from entering the market. The Company has not been named a plaintiff in any of these class actions, but has been a member of the direct purchasers' class (i.e., those purchasers who purchase directly from these pharmaceutical manufacturers). None of the class actions have gone to trial, but some have settled in the past with the Company receiving proceeds from the settlement funds. The Company recognized gains of $21.0 million and $12.3 million relating to the above-mentioned class action lawsuits in the three months ended December 2013 and 2012, respectively. These gains, which are net of attorney fees and estimated payments due to other parties, were recorded as reductions to cost of goods sold in the Company's consolidated statements of operations. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended |
Dec. 31, 2013 | |
Fair Value of Financial Instruments [Abstract] | ' |
Fair Value of Financial Instruments [Text Block] | ' |
Note 9. Fair Value of Financial Instruments | |
The recorded amounts of the Company's cash and cash equivalents, accounts receivable, accounts payable, and short-term debt at December 31, 2013 and September 30, 2013 approximate fair value based upon the relatively short-term nature of these financial instruments. The recorded amount of long-term debt and the corresponding fair value as of December 31, 2013 were $1,396.8 million and $1,489.7 million, respectively. The recorded amount of long-term debt and the corresponding fair value as of September 30, 2013 were $1,396.6 million and $1,502.0 million, respectively. The fair values of debt were determined based on quoted market prices, otherwise known as Level 2 inputs. | |
Business_Segment_Information
Business Segment Information | 3 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Business Segment Information [Abstract] | ' | |||||||||||||
Business Segment Information [Text Block] | ' | |||||||||||||
Note 10. Business Segment Information | ||||||||||||||
The Company is organized based upon the products and services it provides to its customers. The Company's operations are comprised of the Pharmaceutical Distribution reportable segment and Other. The Pharmaceutical Distribution reportable segment consists of the AmerisourceBergen Drug Corporation (“ABDC”) and AmerisourceBergen Specialty Group (“ABSG”) operating segments. Other consists of the AmerisourceBergen Consulting Services (“ABCS”) and World Courier Group, Inc. (“World Courier”) operating segments. | ||||||||||||||
The following tables illustrate reportable segment information for the three months ended December 31, 2013 and 2012 (in thousands): | ||||||||||||||
Revenue | ||||||||||||||
Three months ended | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Pharmaceutical Distribution | $ | 28,622,591 | $ | 20,599,048 | ||||||||||
Other | 604,132 | 505,050 | ||||||||||||
Intersegment eliminations | -50,361 | -44,287 | ||||||||||||
Revenue | $ | 29,176,362 | $ | 21,059,811 | ||||||||||
Intersegment eliminations primarily represent the elimination of certain ABCS sales to the Pharmaceutical Distribution reportable segment. | ||||||||||||||
Operating Income | ||||||||||||||
Three months ended | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Pharmaceutical Distribution | $ | 286,782 | $ | 266,677 | ||||||||||
Other | 35,950 | 29,725 | ||||||||||||
Total segment operating income | 322,732 | 296,402 | ||||||||||||
Gain on antitrust litigation settlements | 21,023 | 12,308 | ||||||||||||
LIFO expense | -57,582 | -1,167 | ||||||||||||
Acquisition related intangibles | ||||||||||||||
amortization | -5,958 | -6,099 | ||||||||||||
Warrant expense | -116,297 | - | ||||||||||||
Employee severance, litigation and other | -4,302 | -2,004 | ||||||||||||
Operating income | 159,616 | 299,440 | ||||||||||||
Other income | -597 | -23 | ||||||||||||
Interest expense, net | 18,832 | 18,525 | ||||||||||||
Income from continuing operations | ||||||||||||||
before income taxes | $ | 141,381 | $ | 280,938 | ||||||||||
Segment operating income is evaluated by the chief operating decision maker for the Company before gains on antitrust litigation settlements; LIFO expense; acquisition related intangibles amortization; Warrant expense; employee severance, litigation and other; other income; and interest expense, net. All corporate office expenses are allocated to ABDC and ABSG within the Pharmaceutical Distribution reportable segment and to ABCS and World Courier within Other. Management believes that evaluating segment performance excluding the above items is meaningful because it provides insight with respect to operating results of the Company. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 31, 2013 | |
Summary of Significant Accounting Policies [Abstract] | ' |
Consolidation Policy [Policy Text Block] | ' |
The accompanying financial statements present the consolidated financial position, results of operations and cash flows of AmerisourceBergen Corporation and its wholly owned subsidiaries (the “Company”) as of the dates and for the periods indicated. All intercompany accounts and transactions have been eliminated in consolidation. | |
Basis of Accounting [Policy Text Block] | ' |
The accompanying unaudited consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. In the opinion of management, all adjustments (consisting only of normal recurring accruals, except as otherwise disclosed herein) considered necessary to present fairly the financial position as of December 31, 2013 and the results of operations and cash flows for the interim periods ended December 31, 2013 and 2012 have been included. Certain information and footnote disclosures normally included in financial statements presented in accordance with U.S. GAAP, but which are not required for interim reporting purposes, have been omitted. The accompanying unaudited consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2013. | |
Use of Estimates, Policy [Policy Text Block] | ' |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect amounts reported in the financial statements and accompanying notes. Actual amounts could differ from these estimated amounts. | |
Reclassifications [Policy Text Block] | ' |
Certain reclassifications have been made to prior year amounts in order to conform to the current year presentation. | |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 3 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Discontinued Operations [Abstract] | ' | |||||||
Schedule of Disposal Groups Inlcuding Discontinued Operations Income Statement Balance Sheet and Additional Disclosures [Text Block] | ' | |||||||
Three months ended December 31, | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Revenue | $ | - | $ | 474,230 | ||||
Loss before income taxes | $ | -7,546 | $ | -2,053 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | |||||||||||||||||
Schedule of Goodwill [Text Block] | ' | |||||||||||||||||
Pharmaceutical Distribution | Other | Total | ||||||||||||||||
Goodwill at September 30, 2013 | $ | 2,400,926 | $ | 544,044 | $ | 2,944,970 | ||||||||||||
Goodwill recognized in connection with acquisition | - | 5,515 | 5,515 | |||||||||||||||
Foreign currency translation | - | -626 | -626 | |||||||||||||||
Goodwill at December 31, 2013 | $ | 2,400,926 | $ | 548,933 | $ | 2,949,859 | ||||||||||||
Schedule of Other Intangible Assets [Text Block] | ' | |||||||||||||||||
31-Dec-13 | 30-Sep-13 | |||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | |||||||||||||
Indefinite-lived | ||||||||||||||||||
intangibles - trade | ||||||||||||||||||
names | $ | 343,822 | $ | - | $ | 343,822 | $ | 343,892 | $ | - | $ | 343,892 | ||||||
Finite-lived | ||||||||||||||||||
intangibles: | ||||||||||||||||||
Customer | ||||||||||||||||||
relationships | 268,592 | -85,319 | 183,273 | 265,810 | -80,767 | 185,043 | ||||||||||||
Other | 69,861 | -45,474 | 24,387 | 69,350 | -43,542 | 25,808 | ||||||||||||
Total other intangible | ||||||||||||||||||
assets | $ | 682,275 | $ | -130,793 | $ | 551,482 | $ | 679,052 | $ | -124,309 | $ | 554,743 |
Debt_Tables
Debt (Tables) | 3 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Debt [Abstract] | ' | ||||||
Schedule Of Debt Instruments Text Block | ' | ||||||
December 31, | September 30, | ||||||
2013 | 2013 | ||||||
Receivables securitization facility due 2016 | $ | 300,000 | $ | - | |||
Multi-currency revolving credit facility due 2018 | 78,000 | - | |||||
Revolving credit note | 45,000 | - | |||||
$500,000, 5 7/8% senior notes due 2015 | 499,444 | 499,377 | |||||
$400,000, 4 7/8% senior notes due 2019 | 397,881 | 397,803 | |||||
$500,000, 3 1/2% senior notes due 2021 | 499,451 | 499,426 | |||||
Total debt | $ | 1,819,776 | $ | 1,396,606 |
Stockholders_Equity_and_Earnin1
Stockholders' Equity and Earnings Per Share (Tables) | 3 Months Ended | |||||
Dec. 31, 2013 | ||||||
Stockholders' Equity and Earnings per Share [Abstract] | ' | |||||
Schedule of Weighted Average Number of Shares [Table Text Block] | ' | |||||
Three months ended | ||||||
December 31, | ||||||
(in thousands) | 2013 | 2012 | ||||
Weighted average common shares outstanding - basic | 230,277 | 232,361 | ||||
Dilutive effect of stock options, restricted | ||||||
stock, and restricted stock units | 5,106 | 3,631 | ||||
Dilutive effect of Warrants | 1,629 | - | ||||
Weighted average common shares outstanding - diluted | 237,012 | 235,992 |
Business_Segment_Information_T
Business Segment Information (Tables) | 3 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Reconciliation from Segment Totals to Consolidated [Abstract] | ' | |||||||||||||
Reconciliation of Revenue from Segments to Consolidated [Table Text Block] | ' | |||||||||||||
Revenue | ||||||||||||||
Three months ended | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Pharmaceutical Distribution | $ | 28,622,591 | $ | 20,599,048 | ||||||||||
Other | 604,132 | 505,050 | ||||||||||||
Intersegment eliminations | -50,361 | -44,287 | ||||||||||||
Revenue | $ | 29,176,362 | $ | 21,059,811 | ||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ' | |||||||||||||
Operating Income | ||||||||||||||
Three months ended | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Pharmaceutical Distribution | $ | 286,782 | $ | 266,677 | ||||||||||
Other | 35,950 | 29,725 | ||||||||||||
Total segment operating income | 322,732 | 296,402 | ||||||||||||
Gain on antitrust litigation settlements | 21,023 | 12,308 | ||||||||||||
LIFO expense | -57,582 | -1,167 | ||||||||||||
Acquisition related intangibles | ||||||||||||||
amortization | -5,958 | -6,099 | ||||||||||||
Warrant expense | -116,297 | - | ||||||||||||
Employee severance, litigation and other | -4,302 | -2,004 | ||||||||||||
Operating income | 159,616 | 299,440 | ||||||||||||
Other income | -597 | -23 | ||||||||||||
Interest expense, net | 18,832 | 18,525 | ||||||||||||
Income from continuing operations | ||||||||||||||
before income taxes | $ | 141,381 | $ | 280,938 |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Discontinued Operations [Abstract] | ' | ' |
disposal group including discontinued operation revenue | $0 | $474,230 |
disposal group including discontinued operation operating income | ($7,546) | ($2,053) |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Mar. 18, 2013 |
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | ' | ' |
Unrecognized Tax Benefits | $55.20 | ' |
Unrecognized Tax Benefits That Would Impact Effective Tax Rate | 38.9 | ' |
Unrecognized Tax Benefits Income Tax Penalties And Interest Accrued | 8.8 | ' |
Unrecognized Tax Benefits Period Increase Decrease | 0.2 | ' |
Significant Change In Unrecognized Tax Benefits Is Reasonably Possible Amount Of Unrecorded Benefit | 6.3 | ' |
Full Value of Warrants | $895.20 | $242.40 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 3 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | |
Goodwill [Line Items] | ' | ' | ' |
Goodwill at September 30, 2013 | $2,944,970,000 | ' | ' |
Goodwill, Acquired During Period | 5,515,000 | ' | ' |
Goodwill, Translation Adjustments | -626,000 | ' | ' |
Goodwill at December 31, 2013 | 2,949,859,000 | ' | ' |
Indefinite-lived intangibles-trade names | 343,822,000 | ' | 343,892,000 |
Finite Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible Assets Gross Excluding Goodwill | 682,275,000 | ' | 679,052,000 |
Intangible Assets Accumulated Amortization Excluding Goodwill | 130,793,000 | ' | 124,309,000 |
Intangible Assets Net Excluding Goodwill | 551,482,000 | ' | 554,743,000 |
Amortization of Intangible Assets | 6,631,000 | 6,811,000 | ' |
Future Amortization Expense Year One | 26,000,000 | ' | ' |
Future Amortization Expense Year Two | 22,200,000 | ' | ' |
Future Amortization Expense Year Three | 21,300,000 | ' | ' |
Future Amortization Expense Year Four | 17,600,000 | ' | ' |
Future Amortization Expense Year Five | 15,300,000 | ' | ' |
Future Amortization Expense, after Year Five | 111,900,000 | ' | ' |
Customer Relationships [Member] | ' | ' | ' |
Finite Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite Lived Intangible Assets Gross | 268,592,000 | ' | 265,810,000 |
Finite Lived Intangible Assets Accumulated Amortization | 85,319,000 | ' | 80,767,000 |
Finite Lived Intangible Assets Net | 183,273,000 | ' | 185,043,000 |
Other Finite Lived Intangibles [Member] | ' | ' | ' |
Finite Lived Intangible Assets [Line Items] | ' | ' | ' |
Finite Lived Intangible Assets Gross | 69,861,000 | ' | 69,350,000 |
Finite Lived Intangible Assets Accumulated Amortization | 45,474,000 | ' | 43,542,000 |
Finite Lived Intangible Assets Net | 24,387,000 | ' | 25,808,000 |
Pharmaceutical Distribution [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill at September 30, 2013 | 2,400,926,000 | ' | ' |
Goodwill, Acquired During Period | 0 | ' | ' |
Goodwill, Translation Adjustments | 0 | ' | ' |
Goodwill at December 31, 2013 | 2,400,926,000 | ' | ' |
Other Segment [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill at September 30, 2013 | 544,044,000 | ' | ' |
Goodwill, Acquired During Period | 5,515,000 | ' | ' |
Goodwill, Translation Adjustments | -626,000 | ' | ' |
Goodwill at December 31, 2013 | $548,933,000 | ' | ' |
Debt_Details
Debt (Details) (USD $) | 3 Months Ended | |
Dec. 31, 2013 | Sep. 30, 2013 | |
Debt Instrument [Line Items] | ' | ' |
Short-term debt | $423,000,000 | $0 |
Long Term Debt | 1,396,776,000 | 1,396,606,000 |
Debt and Capital Lease Obligations | 1,819,776,000 | 1,396,606,000 |
Receivables Securitization Facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Maturity Date, Description | 'June 2016 | ' |
Short-term debt | 300,000,000 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 950,000,000 | ' |
Line of Credit Facility, Interest Rate Description | 'prevailing market rates for short-term commercial paper or LIBOR plus a program fee of 75 basis points | ' |
Line of Credit Facility, Covenant Terms | 'The Receivables Securitization Facility contains similar covenants to the Multi-Currency Revolving Credit Facility, with which the Company was compliant as of December 31, 2013 | ' |
Debt Instrument Ability to Increase Commitment Subject to Lender Approval | 'the commitment on the Receivables Securitization Facility may be increased by up to $250 million, subject to lender approval, for seasonal needs during the December and March quarters | ' |
Debt Instrument Capacity Increase Due to Execution of Accordion Feature | 250,000,000 | ' |
Line of Credit Facility Unused Capacity Commitment Fee Percentage | 0.40% | ' |
Multi Currency Revolving Credit Facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Maturity Date, Description | 'July 2018 | ' |
Short-term debt | 78,000,000 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 1,400,000,000 | ' |
Line of Credit Facility, Interest Rate Description | '68 basis points to 130 basis points over LIBOR / EURIBOR / Bankers Acceptance Stamping Fee | ' |
Debt Instrument Fee Rate Effective Percentage Rate Range | '7 basis points to 20 basis points, annually, of the total commitment | ' |
Line of Credit Facility, Covenant Terms | 'The Multi-Currency Revolving Credit Facility contains covenants, including compliance with a financial leverage ratio test, as well as others that impose limitations on, among other things, indebtedness of excluded subsidiaries and asset sales, with which the Company was compliant as of December 31, 2013. | ' |
Debt Interest Rate at Period End | '90 basis points over LIBOR / EURIBOR / Bankers Acceptance Stamping Fee | ' |
Interest Rate Option on Canadian Borrowings | 'the Canadian prime rate or the CDOR rate | ' |
Line of Credit Facility Commitment Fee Percentage | 0.10% | ' |
Senior Notes Due 2015 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Face Amount | 500,000,000 | ' |
Debt Instrument, Interest Rate, Stated Percentage | 5.88% | ' |
Debt Instrument, Maturity Date, Description | '2015 | ' |
Long Term Debt | 499,444,000 | 499,377,000 |
Senior Notes Due 2019 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Face Amount | 400,000,000 | ' |
Debt Instrument, Interest Rate, Stated Percentage | 4.88% | ' |
Debt Instrument, Maturity Date, Description | '2019 | ' |
Long Term Debt | 397,881,000 | 397,803,000 |
Senior Notes Due 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Face Amount | 500,000,000 | ' |
Debt Instrument, Interest Rate, Stated Percentage | 3.50% | ' |
Debt Instrument, Maturity Date, Description | '2021 | ' |
Long Term Debt | 499,451,000 | 499,426,000 |
Revolving Credit Note [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Short-term debt | 45,000,000 | 0 |
Line of Credit Facility, Maximum Borrowing Capacity | 45,000,000 | ' |
Commercial Paper [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Short-term debt | 0 | ' |
Line of Credit Facility, Maximum Borrowing Capacity | $700,000,000 | ' |
Short-term Debt, Terms | 'The Company has a commercial paper program whereby it may from time to time issue short-term promissory notes in an aggregate amount of up to $700 million at any one time. Amounts available under the program may be borrowed, repaid, and re-borrowed from time to time. The maturities on the notes will vary, but may not exceed 365 days from the date of issuance. The notes will bear interest rates, if interest bearing, or will be sold at a discount from their face amounts. The commercial paper program does not increase the Company's borrowing capacity as it is fully backed by the Company's Multi-Currency Revolving Credit Facility. | ' |
Stockholders_Equity_and_Earnin2
Stockholders' Equity and Earnings per Share (Details) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | ||||||||
In Millions, except Share data, unless otherwise specified | Nov. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Mar. 31, 2013 | Mar. 18, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Nov. 30, 2012 | Dec. 31, 2013 | Aug. 31, 2013 |
First Group of Tranches [Member] | Second Group of Tranches [Member] | Walgreens Warrant 1 [Member] | Walgreens Warrant 2 [Member] | Alliance Boots Warrant 1 [Member] | Alliance Boots Warrant 2 [Member] | November 2012 Share Repurchase Program [Member] | November 2012 Share Repurchase Program [Member] | August 2013 Share Repurchase Program [Member] | |||||||
Stockholders' Equity and Earnings per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend Increase Percentage | 12.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock, Dividends, Per Share, Declared | $0.24 | $0.24 | $0.21 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic | ' | 230,277,000 | 232,361,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental Common Shares Attributable To Share Based Payment Arrangements | ' | 5,106,000 | 3,631,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Incremental Common Shares Attributable to Call Options and Warrants | ' | 1,629,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted | ' | 237,012,000 | 235,992,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount | ' | 1,200,000 | 1,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $750 | ' | $750 |
Treasury Stock Value Acquired Cost Method | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.6 | ' |
Treasury Stock, Shares, Acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | ' |
Stock Repurchase Program Remaining Authorized Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 343.4 | ' |
Class of Warrant or Right [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Class of Warrant or Right, Date from which Warrants or Rights are Exercisable | ' | ' | ' | ' | ' | ' | ' | ' | 1-Mar-16 | 1-Mar-17 | 1-Mar-16 | 1-Mar-17 | ' | ' | ' |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | ' | ' | ' | ' | ' | ' | ' | ' | 11,348,456 | 11,348,456 | 11,348,456 | 11,348,456 | ' | ' | ' |
Class of Warrant or Right, Exercise Price of Warrants or Rights | ' | ' | ' | ' | ' | ' | ' | ' | $51.50 | $52.50 | $51.50 | $52.50 | ' | ' | ' |
Shares to Which Framework Agreement Allows Open Market Purchases | ' | ' | ' | ' | 19,859,795 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of Common Stock Purchases in Open Market Granted under Framework Agreement | ' | ' | ' | ' | 0.07 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value per Share of First Tranche of Warrants | ' | $19.49 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value per Share of Second Tranche of Warrants | ' | $19.95 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Full Value of Warrants | ' | 895.2 | ' | ' | ' | 242.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forward Contract Indexed to Issuer's Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forward Contract Indexed to Issuer's Equity, Forward Rate | ' | ' | ' | ' | ' | ' | $51.50 | $52.50 | ' | ' | ' | ' | ' | ' | ' |
Derivative, Cost of Hedge | ' | $193.50 | ' | $163.40 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of Warrant Dilution Intended to be Hedged with Contract | ' | 60.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Covered Under Derviative Purchases | ' | 11,300,000 | ' | 15,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation_Settlements_Details
Litigation Settlements (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Litigation Settlements [Abstract] | ' | ' |
Antitrust Settlements Gain | $21,023 | $12,308 |
Financial_Instruments_Details
Financial Instruments (Details) (USD $) | Dec. 31, 2013 | Sep. 30, 2013 |
Fair Value of Financial Instruments [Abstract] | ' | ' |
Long Term Debt | $1,396,776,000 | $1,396,606,000 |
Debt Instrument Fair Value | $1,489,700,000 | $1,502,000,000 |
Business_Segment_Information_D
Business Segment Information (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Revenues | $29,176,362 | $21,059,811 |
Segment Reporting Information [Line Items] | ' | ' |
Operating Income (Loss) | 159,616 | 299,440 |
Antitrust Settlements Gain | 21,023 | 12,308 |
LIFO expense | -57,582 | -1,167 |
Acquisition Related Intangibles Amortization | -5,958 | -6,099 |
Warrants | -116,297 | 0 |
Employee severance, litigation and other | -4,302 | -2,004 |
Other income | -597 | -23 |
Interest expense, net | 18,832 | 18,525 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Cumulative Effects of Changes in Accounting Principles, Noncontrolling Interest | 141,381 | 280,938 |
Pharmaceutical Distribution [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Revenues | 28,622,591 | 20,599,048 |
Segment Reporting Information [Line Items] | ' | ' |
Operating Income (Loss) | 286,782 | 266,677 |
Other Segment [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Revenues | 604,132 | 505,050 |
Segment Reporting Information [Line Items] | ' | ' |
Operating Income (Loss) | 35,950 | 29,725 |
Intersegment Elimination [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Revenues | -50,361 | -44,287 |
Total Segments [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Operating Income (Loss) | $322,732 | $296,402 |