AbbVie (ABBV) 10-Q 6 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	3 Months Ended
	Mar. 31, 2016shares
Document and Entity Information
Entity Registrant Name	AbbVie Inc.
Entity Central Index Key	1,551,152
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	1,617,358,607
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1

Condensed Consolidated Statemen

Condensed Consolidated Statements of Earnings - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Condensed Consolidated Statements of Earnings
Net Revenues	$ 5,958	$ 5,040
Cost of products sold	1,369	942
Selling, general and administrative	1,355	1,473
Research and development	946	811
Acquired in-process research and development	10	127
Total operating costs and expenses	3,680	3,353
Operating earnings	2,278	1,687
Interest expense, net	200	126
Net foreign exchange loss	302	164
Other expense, net		1
Earnings before income tax expense	1,776	1,396
Income tax expense	422	374
Net earnings	$ 1,354	$ 1,022
Per share data
Basic earnings per share (in dollars per share)	$ 0.83	$ 0.64
Diluted earnings per share (in dollars per share)	0.83	0.63
Cash dividends declared per common share (in dollars per share)	$ 0.57	$ 0.51
Weighted-average basic shares outstanding (in shares)	1,616	1,595
Weighted-average diluted shares outstanding (in shares)	1,625	1,608

Condensed Consolidated Stateme3

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Condensed Consolidated Statements of Comprehensive Income
Net earnings	$ 1,354	$ 1,022
Foreign currency translation adjustments, net of tax expense (benefit) of $41 and ($129) for the three months ended March 31, 2016 and 2015, respectively	188	(549)
Pension and post-employment benefits, net of tax expense of $8 and $10 for the three months ended March 31, 2016 and 2015, respectively	15	55
Unrealized (losses) gains on marketable equity securities, net of tax (benefit) expense of ($7) and $- for the three months ended March 31, 2016 and 2015, respectively	(25)	1
Hedging activities, net of tax (benefit) expense of ($7) and $2 for the three months ended March 31, 2016 and 2015, respectively	(40)	57
Other comprehensive income (loss)	138	(436)
Comprehensive income	$ 1,492	$ 586

Condensed Consolidated Stateme4

Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Condensed Consolidated Statements of Comprehensive Income
Foreign currency translation adjustments, tax expense (benefit)	$ 41	$ (129)
Pension and post-employment benefits, tax expense	8	10
Unrealized (losses) gains on marketable equity securities, tax (benefit) expense	(7)
Hedging activities, tax (benefit) expense	$ (7)	$ 2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Current assets
Cash and equivalents	$ 7,556	$ 8,399
Short-term investments	1,044	8
Accounts receivable, net	4,753	4,730
Inventories, net	1,789	1,719
Prepaid expenses and other	1,480	1,458
Total current assets	16,622	16,314
Investments	387	145
Property and equipment, net	2,597	2,565
Intangible assets, net of accumulated amortization	19,512	19,709
Goodwill	13,274	13,168
Other assets	1,328	1,149
Total assets	53,720	53,050
Current liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,023	2,025
Accounts payable and accrued liabilities	8,239	8,463
Total current liabilities	10,662	10,894
Long-term debt and lease obligations	29,490	29,240
Deferred income taxes	5,412	5,276
Other long-term liabilities	$ 3,513	$ 3,695
Commitments and contingencies
Stockholders' equity
Common stock, $0.01 par value, authorized 4,000,000,000 shares, issued 1,758,009,210 and 1,749,027,140 shares as of March 31, 2016 and December 31, 2015, respectively	$ 18	$ 17
Common stock held in treasury, at cost, 140,650,603 and 139,134,205 shares as of March 31, 2016 and December 31, 2015, respectively	(8,918)	(8,839)
Additional paid-in-capital	13,293	13,080
Retained earnings	2,673	2,248
Accumulated other comprehensive loss	(2,423)	(2,561)
Total stockholders' equity	4,643	3,945
Total liabilities and equity	$ 53,720	$ 53,050

Condensed Consolidated Balance6

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2016	Dec. 31, 2015
Condensed Consolidated Balance Sheets
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized (in shares)	4,000,000,000	4,000,000,000
Common stock, issued (in shares)	1,758,009,210	1,749,027,140
Common stock held in treasury, at cost (in shares)	140,650,603	139,134,205

Condensed Consolidated Stateme7

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities
Net earnings	$ 1,354	$ 1,022
Adjustments to reconcile net earnings to net cash from operating activities:
Depreciation	103	90
Amortization of intangible assets	165	68
Stock-based compensation	138	119
Upfront costs and milestones related to collaborations	25	127
Devaluation loss related to Venezuela	298
Other, net	62	249
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	81	(544)
Inventories	19	(75)
Prepaid expenses and other assets	(159)	341
Accounts payable and other liabilities	42	188
Cash flows from operating activities	2,128	1,585
Cash flows from investing activities
Acquisitions and investments	(28)	(736)
Acquisitions of property and equipment	(121)	(145)
Purchases of investment securities	(1,342)
Sales and maturities of investment securities	33	8
Cash flows from investing activities	(1,458)	(873)
Cash flows from financing activities
Net change in short-term borrowings	(6)	144
Debt issuance cost		(59)
Dividends paid	(924)	(786)
Purchases of treasury stock	(409)	(342)
Proceeds from the exercise of stock options	77	47
Other, net	43	66
Cash flows from financing activities	(1,219)	(930)
Effect of exchange rate changes on cash and equivalents	(294)	(224)
Net decrease in cash and equivalents	(843)	(442)
Cash and equivalents, beginning of period	8,399	8,348
Cash and equivalents, end of period	$ 7,556	$ 7,906

Background and Basis of Present

Background and Basis of Presentation	3 Months Ended
	Mar. 31, 2016
Background and Basis of Presentation
Background and Basis of Presentation	Note 1 Background and Basis of Presentation Background The principal business of AbbVie Inc. (AbbVie or the company) is the discovery, development, manufacture, and sale of a broad line of pharmaceutical products. AbbVie’s products are generally sold worldwide directly to wholesalers, distributors, government agencies, health care facilities, specialty pharmacies, and independent retailers from AbbVie-owned distribution centers and public warehouses. Substantially all of AbbVie’s net revenues in the United States are to three wholesalers. Outside the United States, products are sold primarily to customers or through distributors, depending on the market served. AbbVie was incorporated in Delaware on April 10, 2012. On January 1, 2013, AbbVie became an independent, publicly-traded company as a result of the distribution by Abbott Laboratories (Abbott) of 100% of the outstanding common stock of AbbVie to Abbott’s shareholders. In connection with the separation, AbbVie and Abbott entered into transition services agreements covering certain corporate support and back office services that AbbVie historically received from Abbott. Such services included information technology, accounts payable, payroll, receivables collection, treasury and other financial functions, as well as order entry, warehousing, engineering support, quality assurance support and other administrative services. These agreements facilitated the separation by allowing AbbVie to operate independently prior to establishing stand-alone back office functions across its organization. The transition services agreements had original terms of up to 24 months, with an option for a one-year extension. The majority of these transaction service agreements expired without extension at December 31, 2014. With certain limited exceptions, the remaining transition services agreements terminated on or prior to December 31, 2015. Basis of Historical Presentation The unaudited interim condensed consolidated financial statements of AbbVie have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission. Accordingly, certain information and footnote disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles in the United States (U.S. GAAP) have been omitted. These unaudited interim condensed consolidated financial statements should be read in conjunction with the company’s audited consolidated financial statements and notes included in the company’s Annual Report on Form 10-K for the year ended December 31, 2015. It is management’s opinion that these financial statements include all normal and recurring adjustments necessary for a fair presentation of the company’s financial position and operating results. Net revenues and net earnings for any interim period are not necessarily indicative of future or annual results. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Summary and Amendments That Create Revenue from Contracts with Customers (Topic 606) and Other Assets and Deferred Costs–Contracts with Customers (Subtopic 340-40) . The amendments in this standard supersede most current revenue recognition requirements. The core principal of the new guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. AbbVie can apply the amendments using one of the following two methods: (i) retrospectively to each prior reporting period presented, or (ii) modified retrospectively with the cumulative effect of initially applying the amendments recognized at the date of initial application. In July 2015, the FASB issued ASU No. 2015-4, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , which deferred the effective date of ASU 2014-09 by one year for all entities. Accordingly, this standard will be effective for AbbVie starting with the first quarter of 2018. Early application is permitted for AbbVie only for annual reporting periods starting with the first quarter of 2017. AbbVie is currently assessing the timing of its adoption and the impact of adopting this guidance on its consolidated financial statements and the implementation approach to be used. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities . The standard requires several targeted changes including that equity investments (except those accounted for under the 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 new guidance also changes certain disclosure requirements and other aspects of current U.S. GAAP. Amendments are to be applied as a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. This standard will be effective for AbbVie starting with the first quarter of 2018. The standard does not permit early adoption with the exception of certain targeted provisions. AbbVie is currently assessing the impact and timing of adopting this guidance on its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) . ASU 2016-02 outlines a comprehensive lease accounting model and supercedes the current lease guidance. The new standard requires lessees to recognize lease liabilities and corresponding right-of-use assets for all leases with lease terms greater than 12 months. It also changes the definition of a lease and expands the disclosure requirements of lease arrangements. The new standard must be adopted using the modified retrospective approach and will be effective for AbbVie starting with the first quarter of 2019. Early adoption is permitted. AbbVie is currently assessing the impact and timing of adopting this guidance on its consolidated financial statements. In March 2016, FASB issued ASU No. 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting . Under the new guidance, excess tax benefits associated with share-based awards will be recognized in the income statement when the awards vest or settle, rather than in stockholders’ equity. In addition, the standard will increase the number of shares an employer can withhold to cover income taxes on share-based payment awards and still qualify for the exemption to liability classification. The standard also permits entities to make a policy election to account for forfeitures as they occur as well as clarifies the statement of cash flows presentation for certain components of share-based awards. The guidance will be effective for AbbVie starting with the first quarter of 2017. Early adoption is permitted with any adjustments reflected as of the beginning of the fiscal year of adoption. AbbVie is currently assessing the impact and timing of adopting this guidance on its consolidated financial statements.

Supplemental Financial Informat

Supplemental Financial Information	3 Months Ended
	Mar. 31, 2016
Supplemental Financial Information
Supplemental Financial Information	Note 2 Supplemental Financial Information Interest Expense, Net Three months ended March 31, (in millions) 2016 2015 Interest expense $ $ Interest income ) ) Interest expense, net $ $ Interest expense, net for the three months ended March 31, 2016 increased due to the May 2015 issuance of $16.7 billion aggregate principal amount of senior notes, which were issued primarily to finance the acquisition of Pharmacyclics, Inc. (Pharmacyclics), partially offset by the absence of $59 million of bridge financing-related costs incurred in the three months ended March 31, 2015 in connection with the acquisition of Pharmacyclics. Refer to Note 4 for additional information related to the acquisition of Pharmacyclics. Inventories (in millions) March 31, 2016 December 31, 2015 Finished goods $ $ Work-in-process Raw materials Inventories, net $ $ Inventories, net as of March 31, 2016 and December 31, 2015 included $298 million and $356 million acquired through the acquisition of Pharmacyclics on May 26, 2015. In the three months ended March 31, 2016, cost of products sold included $45 million of amortization of the fair market value step-up for acquired inventory. Property and Equipment (in millions) March 31, 2016 December 31, 2015 Property and equipment, gross $ $ Less accumulated depreciation ) ) Property and equipment, net $ $ Depreciation expense for the three months ended March 31, 2016 and 2015 was $103 million and $90 million, respectively.

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2016
Earnings Per Share
Earnings Per Share	Note 3 Earnings Per Share AbbVie calculates earnings per share (EPS) using the more dilutive of the treasury stock or the two-class method. For all periods presented, the two-class method was more dilutive. As such, the dilutive effect of unvested restricted stock units (RSUs) and restricted stock awards (RSAs) of approximately 4 million and 3 million shares for the three months ended March 31, 2016 and 2015, respectively, were excluded from the denominator for the calculation of diluted EPS. These awards otherwise would have been included in the calculation of EPS under the treasury stock method. Additionally, all earnings (distributed and undistributed) allocable to participating securities, including performance-based awards not otherwise included in the calculation of EPS under the treasury stock method, were excluded from the numerator for the calculation of basic and diluted earnings per share under the two-class method. Earnings allocable to participating securities for the three months ended March 31, 2016 and 2015 were $7 million and $5 million, respectively. The number of common shares issuable under stock-based compensation plans that were excluded from the computation of earnings per common share because the effect would have been antidilutive were not material for all periods presented.

Licensing, Acquisitions, and Ot

Licensing, Acquisitions, and Other Arrangements	3 Months Ended
	Mar. 31, 2016
Licensing, Acquisitions, and Other Arrangements
Licensing, Acquisitions, and Other Arrangements	Note 4 Licensing, Acquisitions and Other Arrangements Acquisition of Pharmacyclics On May 26, 2015, AbbVie acquired Pharmacyclics, a biopharmaceutical company that develops and commercializes novel therapies for people impacted by cancer. Pharmacyclics markets IMBRUVICA® (ibrutinib), a Bruton’s tyrosine kinase (BTK) inhibitor, targeting B-cell malignancies. The total consideration for the acquisition of Pharmacyclics was $20.8 billion, including cash consideration of $12.4 billion and approximately 128 million shares of AbbVie common stock valued at $8.4 billion. The acquisition of Pharmacyclics was accounted for as a business combination using the acquisition method of accounting. This method required, among other things, that assets acquired and liabilities assumed be recognized at fair value as of the acquisition date. The valuation of assets acquired and liabilities assumed in the acquisition has not yet been finalized as of March 31, 2016. As a result, AbbVie recorded preliminary estimates for the fair value of assets acquired and liabilities assumed as of the acquisition date. The company did not make any measurement period adjustments to the preliminary estimates of fair value during the three months ended March 31, 2016. The completion of the valuation will occur no later than one year from the acquisition date and may result in significant changes to the recognized assets and liabilities. On March 27, 2015, in connection with the then proposed acquisition of Pharmacyclics, AbbVie entered into an $18 billion, 364-Day Bridge Term Loan Credit Agreement (the bridge loan) and incurred financing-related costs totaling $59 million, which was recorded in interest expense. No amounts were drawn under the bridge loan, which was terminated as a result of the company’s May 2015 issuance of $16.7 billion aggregate principal amount of senior notes . Other Licensing & Acquisitions Activity For the three months ended March 31, 2016, the company recorded acquired in-process research and development (IPR&D) charges of $10 million. Cash outflows related to acquisitions and investments activity totaled $28 million for the three months ended March 31, 2016 and primarily represented a payment to a collaboration partner as a result of the satisfaction of certain conditions under the arrangement for which a charge to IPR&D was recorded in 2015 . For the three months ended March 31, 2015, the company recorded IPR&D charges of $127 million. Cash outflows related to acquisitions and investments totaled $736 million for the three months ended March 31, 2015, and included a $500 million payment to Calico Life Sciences LLC (Calico) as a result of the satisfaction of certain conditions under the research and development (R&D) collaboration with Calico for which a charge to other operating expenses was recorded in 2014. C 2 N Diagnostics In March 2015, AbbVie entered into an exclusive worldwide license agreement with C 2 N Diagnostics to develop and commercialize anti-tau antibodies for the treatment of Alzheimer’s disease and other neurological disorders. As part of the agreement, AbbVie made an initial upfront payment of $100 million, which was expensed to IPR&D in the three months ended March 31, 2015. Upon the achievement of certain development, regulatory, and commercial milestones, AbbVie could make additional payments of up to $685 million, as well as royalties on net sales.

Collaboration with Janssen Biot

Collaboration with Janssen Biotech, Inc.	3 Months Ended
	Mar. 31, 2016
Collaboration with Janssen Biotech, Inc.
Collaboration with Janssen Biotech, Inc.	Note 5 Collaboration with Janssen Biotech, Inc. In December 2011, Pharmacyclics entered into a worldwide collaboration and license agreement with Janssen Biotech, Inc., one of the Janssen Pharmaceutical companies of Johnson & Johnson (Janssen), for the joint development and commercialization of IMBRUVICA, a novel, orally active, selective covalent inhibitor of BTK, and certain compounds structurally related to IMBRUVICA, for oncology and other indications, excluding all immune and inflammatory mediated diseases or conditions and all psychiatric or psychological diseases or conditions, in the United States and outside the United States. The collaboration provides Janssen with an exclusive license to commercialize IMBRUVICA outside of the United States and co-exclusively with AbbVie in the United States. Both parties are responsible for the development, manufacturing and marketing of any products generated as a result of the collaboration. The collaboration has no set duration or specific expiration date and provides for potential future development, regulatory and approval milestone payments of up to $200 million to AbbVie. The collaboration includes a cost sharing arrangement for associated collaboration activities. Except in certain cases, in general, Janssen is responsible for approximately 60% of collaboration development costs and AbbVie is responsible for the remaining 40% of collaboration development costs. AbbVie and Janssen share pre-tax profits and losses equally from the commercialization of products. Janssen is responsible for and has exclusive rights to commercialize IMBRUVICA outside the United States. While both parties have co-exclusive rights to commercialize the products in the United States, AbbVie is the principal in the end customer product sales. Operating expenses for costs incurred under the collaboration were reported in their respective expense line items, net of any payments due or reimbursements due from Janssen. Revenues and profit share costs related to sales of IMBRUVICA in the United States were included in net revenues and cost of products sold, respectively. Amounts payable to AbbVie by Janssen for IMBRUVICA sales outside the United States were included in net revenues. Janssen’s share of the pre-tax profits in the United States under the collaboration was $153 million for the three months ended March 31, 2016, and was recorded within cost of products sold in the condensed consolidated statements of earnings. AbbVie’s share of pre-tax profits outside the United States and cost sharing expenses under the collaboration were $56 million and $63 million, respectively, for the three months ended March 31, 2016.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	3 Months Ended
	Mar. 31, 2016
Goodwill and Intangible Assets
Goodwill and Intangible Assets	Note 6 Goodwill and Intangible Assets Goodwill The following table summarizes the changes in the carrying amount of AbbVie’s goodwill: (in millions) Balance as of December 31, 2015 $ Foreign currency translation adjustments Balance as of March 31, 2016 $ The latest impairment assessment of goodwill was completed in the third quarter of 2015. As of March 31, 2016, there were no accumulated goodwill impairment losses. Future impairment tests for goodwill will be performed annually in the third quarter, or earlier if indicators of impairment exist. Intangible Assets, Net The following table summarizes AbbVie’s intangible assets: March 31, 2016 December 31, 2015 (in millions) Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Definite-lived intangible assets Developed product rights $ $ $ $ $ ) $ License agreements ) Total definite-lived intangible assets ) Indefinite-lived research and development — — Total intangible assets, net $ $ $ $ $ ) $ Intangible assets with finite useful lives are amortized over their estimated useful lives. Additions in 2016 were not material. In March 2016, AbbVie announced that the U.S. Food and Drug Administration approved IMBRUVICA as a first-line treatment for patients with chronic lymphocytic leukemia. As a result, AbbVie reclassified $7.2 billion of indefinite-lived research and development intangible assets related to IMBRUVICA to developed product rights intangible assets. This amount will be amortized over its estimated useful life using the estimated pattern of economic benefit. Amortization expense was $165 million and $68 million for the three months ended March 31, 2016 and 2015, respectively, and was included in cost of products sold in the condensed consolidated statements of earnings. The amortization expense for the three months ended March 31, 2016 included $111 million related to definite-lived intangible assets acquired in connection with the acquisition of Pharmacyclics. The anticipated annual amortization expense for definite-lived intangible assets recorded as of March 31, 2016 was $706 million in 2016, $1.1 billion in 2017, $1.3 billion in 2018, $1.5 billion in 2019, and $1.7 billion in 2020. For the three months ended March 31, 2016, an impairment charge of $39 million was recorded related to certain on-market product rights in the United States due to a decline in the market for the product. The fair value was based on a discounted cash flow analysis and the charge was included in cost of products sold in the condensed consolidated statement of earnings. The indefinite-lived intangible assets represent acquired IPR&D associated with products that have not yet received regulatory approval. The latest impairment assessment of intangible assets not subject to amortization was completed in the third quarter of 2015. No impairment charges were recorded in the three months ended March 31, 2016 and 2015. Future impairment tests for indefinite-lived intangible assets will be performed annually in the third quarter, or earlier if indicators of impairment exist.

Restructuring Plans

Restructuring Plans	3 Months Ended
	Mar. 31, 2016
Restructuring Plans
Restructuring Plans	Note 7 Restructuring Plans Restructuring charges recorded for the three months ended March 31, 2016 and 2015 were not material. The following summarizes the cash activity in the restructuring reserve for the three months ended March 31, 2016: (in millions) Accrued balance at December 31, 2015 $ 2016 restructuring charges Payments and other adjustments ) Accrued balance at March 31, 2016 $

Financial Instruments and Fair

Financial Instruments and Fair Value Measures	3 Months Ended
	Mar. 31, 2016
Financial Instruments and Fair Value Measures
Financial Instruments and Fair Value Measures	Note 8 Financial Instruments and Fair Value Measures Risk Management Policy The company is exposed to foreign currency exchange rate and interest rate risks related to its business operations. The company’s hedging policy attempts to manage these risks to an acceptable level based on the company’s judgment of the appropriate trade-off between risk, opportunity and costs. The company uses derivative instruments to reduce its exposure to foreign currency exchange rates. The company is also exposed to the risk that its earnings and cash flows could be adversely impacted by fluctuations in interest rates. The company periodically enters into interest rate swaps, based on judgment, to manage interest costs in which the company agrees to exchange, at specified intervals, the difference between fixed and floating interest amounts calculated by reference to an agreed-upon notional amount. Derivative instruments are not used for trading purposes or to manage exposure to changes in interest rates for investment securities, and none of the company’s outstanding derivative instruments contain credit risk related contingent features; collateral is generally not required. Financial Instruments Various AbbVie foreign subsidiaries enter into foreign currency forward exchange contracts to manage exposures to changes in foreign exchange rates for anticipated intercompany transactions denominated in a currency other than the functional currency of the local entity. These contracts, with notional amounts totaling $3.2 billion and $1.5 billion at March 31, 2016 and December 31, 2015, respectively, were designated as cash flow hedges and were recorded at fair value. The duration of these forward exchange contracts were generally less than eighteen months. Accumulated gains and losses as of March 31, 2016 will be included in cost of products sold at the time the products are sold, generally not exceeding six months from the date of settlement. The company also enters into foreign currency forward exchange contracts to manage its exposure to foreign currency denominated trade payables and receivables and intercompany loans. These contracts were not designated as hedges and were recorded at fair value. Resulting gains or losses were reflected in net foreign exchange loss in the consolidated statements of earnings and were generally offset by losses or gains on the foreign currency exposure being managed. At March 31, 2016 and December 31, 2015, AbbVie held notional amounts of $7.1 billion and $6.8 billion, respectively, of such foreign currency forward exchange contracts. AbbVie is a party to interest rate hedge contracts, designated as fair value hedges, totaling $11.0 billion at both March 31, 2016 and December 31, 2015. The effect of the hedge is to change a fixed-rate interest obligation to a floating rate for that portion of the debt. AbbVie recorded the contracts at fair value and adjusted the carrying amount of the fixed-rate debt by an offsetting amount. The following table summarizes the amounts and location of AbbVie’s derivative instruments as of March 31, 2016: Fair value – Derivatives in asset position Fair value – Derivatives in liability position (in millions) Balance sheet caption Amount Balance sheet caption Amount Foreign currency forward exchange contracts — Hedging instruments Prepaid expenses and other $ 6 Accounts payable and accrued liabilities $ Hedging instruments Other long-term assets Other long-term liabilities Others not designated as hedges Prepaid expenses and other Accounts payable and accrued liabilities Interest rate swaps designated as fair value hedges Other long-term assets Other long-term liabilities — Total derivatives $ $ The following table summarizes the amounts and location of AbbVie’s derivative instruments as of December 31, 2015: Fair value – Derivatives in asset position Fair value – Derivatives in liability position (in millions) Balance sheet caption Amount Balance sheet caption Amount Foreign currency forward exchange contracts — Hedging instruments Prepaid expenses and other $ Accounts payable and accrued liabilities $ — Others not designated as hedges Prepaid expenses and other Accounts payable and accrued liabilities Interest rate swaps designated as fair value hedges Other long-term assets Other long-term liabilities Total derivatives $ $ While certain derivatives are subject to netting arrangements with the company’s counterparties, the company does not offset derivative assets and liabilities within the condensed consolidated balance sheets. The unrealized gains/(losses) for the effective portions of the derivative instruments designated as cash flow hedges recognized in other comprehensive income/(loss) were ($39) million and $87 million for the three months ended March 31, 2016 and 2015, respectively. The amount of hedge ineffectiveness was not significant for the three months ended March 31, 2016 or 2015. The following table summarizes the location in the condensed consolidated statements of earnings and the amount of gain/(loss) recognized into net earnings for derivative instruments, including the effective portions of the gain/(loss) reclassified out of accumulated other comprehensive income/(loss) into net earnings: Three months ended March 31, (in millions) (brackets denote losses) Income statement caption 2016 2015 Foreign currency forward exchange contracts — Designated as cash flow hedges Cost of products sold $ $ Not designated as hedges Net foreign exchange loss ) ) Interest rate swaps designated as fair value hedges Interest expense, net Total $ $ ) The gain/(loss) related to fair value hedges is recognized in interest expense, net and directly offsets the (loss)/gain on the underlying hedged item, the fixed-rate debt, resulting in no net impact to interest expense, net for the three months ended March 31, 2016 and 2015. Fair Value Measures The fair value hierarchy under the accounting standard for fair value measurements consists of the following three levels: · Level 1 – Valuations based on unadjusted quoted prices in active markets for identical assets that the company has the ability to access; · Level 2 – Valuations based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuations in which all significant inputs are observable in the market; and · Level 3 – Valuations using significant inputs that are unobservable in the market and include the use of judgment by the company’s management about the assumptions market participants would use in pricing the asset or liability. The following table summarizes the bases used to measure certain assets and liabilities that were carried at fair value on a recurring basis in the condensed consolidated balance sheet as of March 31, 2016: Basis of fair value measurement (in millions) Balance at March 31, 2016 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Cash and equivalents $ $ $ $— Time deposits — — Debt securities — — Equity securities — — Interest rate hedges — — Foreign currency contracts — — Total assets $ $ $ $— Liabilities Foreign currency contracts $ $ — $ $— Total liabilities $ $ — $ $— The following table summarizes the bases used to measure certain assets and liabilities that were carried at fair value on a recurring basis in the condensed consolidated balance sheet as of December 31, 2015: Basis of fair value measurement (in millions) Balance at December 31, 2015 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Cash and equivalents $ $ $ $— Time deposits — — Equity securities — — Interest rate hedges — — Foreign currency contracts — — Total assets $ $ $ $— Liabilities Interest rate hedges $ $ — $ $— Foreign currency contracts — — Total liabilities $ $ — $ $— The fair values for time deposits included in cash and equivalents and short-term investments were determined based on a discounted cash flow analysis reflecting quoted market rates for the same or similar instruments. The fair values of time deposits approximate their amortized cost due to the short maturities of these instruments. The fair value of available-for-sale debt securities were generally based on prices obtained from commercial pricing services. Available-for-sale equity securities consists of investments for which the fair values were determined by using the published market price per unit multiplied by the number of units held, without consideration of transaction costs. The derivatives entered into by the company were valued using publicized spot curves for interest rate hedges and publicized forward curves for foreign currency contracts. There have been no transfers of assets or liabilities between the fair value measurement levels. In addition to the financial instruments that the company is required to recognize at fair value on the condensed consolidated balance sheets, the company has certain financial instruments that were recognized at historical cost or some basis other than fair value. The carrying values and fair values of certain financial instruments as of March 31, 2016 and December 31, 2015 are shown in the table below: Book values Approximate fair values (in millions) March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 Assets Investments $ $ $ $ Liabilities Short-term borrowings Current portion of long-term debt and lease obligations Long-term debt and lease obligations, excluding fair value hedges The following table summarizes the bases used to measure the approximate fair values of the financial instruments as of March 31, 2016: Basis of fair value measurement (in millions) Fair Value at March 31, 2016 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Investments $ 35 $ — $ — $ Total assets $ 35 $ — $ — $ Liabilities Short-term borrowings $ 400 $ — $ $ — Current portion of long-term debt and lease obligations — — Long-term debt and lease obligations, excluding fair value hedges — Total liabilities $ $ $ $ — The following table summarizes the bases used to measure the approximate fair values of the financial instruments as of December 31, 2015: Basis of fair value measurement (in millions) Fair Value at December 31, 2015 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Investments $ 37 $ — $ — $ Total assets $ 37 $ — $ — $ Liabilities Short-term borrowings $ 406 $ — $ $ — Current portion of long-term debt and lease obligations — — Long-term debt and lease obligations, excluding fair value hedges — Total liabilities $ $ $ $ — Investments consist of cost method investments. To determine the fair values of other cost method investments, the company takes into consideration recent transactions, as well as the financial information of the investee, which represents a Level 3 basis of fair value measurement. The fair values of short-term and current borrowings approximate the carrying values due to the short maturities of these instruments. The fair values of long-term debt, excluding fair value hedges and the term loans, were determined by using the published market price for the debt instruments, without consideration of transaction costs, which represents a Level 1 basis of fair value measurement. The fair values of the term loans were determined based on a discounted cash flow analysis using quoted market rates, which represents a Level 2 basis of fair value measurement. The counterparties to financial instruments consist of select major international financial institutions. Available-for-sale Securities Substantially all of the company’s investments in debt and equity securities were classified as available-for-sale. As of March 31, 2016, approximately $1.2 billion of the company’s debt securities were classified as short-term. The company’s long-term debt securities mature within five years. There were no material debt securities outstanding as of December 31, 2015. Estimated fair values of available-for-sale securities were generally based on prices obtained from commercial pricing services. The following table is a summary of available-for-sale securities by type as of March 31, 2016: Amortized Gross unrealized Fair (in millions) Cost Gains Losses Value U.S. government securities $ $ — $— $ Corporate debt securities — Other debt securities — — Equity securities ) Total $ $ $ ) $ AbbVie periodically assesses its investment securities for other-than-temporary impairment losses. This evaluation is based on a number of factors, including the length of time and the extent to which the fair value has been below the cost basis and adverse conditions related specifically to the security including any changes to the credit rating of the security, and the intent to sell, or whether AbbVie will more likely than not be required to sell the security before recovery of its amortized cost basis. AbbVie’s assessment of whether a security is other-than-temporarily impaired could change in the future due to new developments or changes in assumptions related to any particular security. Based on a review of these securities, AbbVie had no other-than-temporary impairments on these securities as of March 31, 2016. Realized gains and losses on sales of investments were computed using the first-in, first-out method adjusted for any other-than-temporary declines in fair value that were recorded in earnings. For the three months ended March 31, 2016 and 2015, realized gains and losses were immaterial. Concentrations of Risk The functional currency of the company’s Venezuela operations is the U.S. dollar due to the hyperinflationary status of the Venezuelan economy. At December 31, 2015, there were three legal exchange mechanisms administered by the Venezuelan government. These were the official rate of 6.3, the SICAD rate of approximately 13.5, and the SIMADI rate of approximately 200. Effective March 10, 2016, the Venezuelan government devalued the official rate of 6.3 to 10 VEF per U.S. dollar, eliminated the SICAD rate, and replaced SIMADI with a new exchange mechanism called DICOM. As of March 31, 2016, the DICOM rate was approximately 270 VEF per U.S. dollar. During the first quarter of 2016, in consideration of declining economic conditions in Venezuela and a decline in transactions settled at the official rate, AbbVie determined that its net monetary assets denominated in the Venezuelan bolivar were no longer expected to be settled at the official rate of 10 VEF per U.S. dollar, but rather at the DICOM rate of approximately 270 VEF per U.S. dollar. Therefore, during the first quarter of 2016, AbbVie recorded a charge of $298 million to net foreign exchange loss to revalue its bolivar-denominated net monetary assets using the DICOM rate of approximately 270 VEF per U.S. dollar. As of March 31, 2016, after the revaluation, AbbVie’s net monetary assets in Venezuela were less than $10 million. The company cannot predict whether there will be further devaluations of the Venezuelan currency or whether use of the DICOM rate will continue to be supported by evolving facts and circumstances. The company also continues to do business with foreign governments in certain other oil-exporting countries, including Saudi Arabia and Russia, which have experienced a deterioration in economic conditions. Due to the decline in the price of oil, liquidity issues in certain countries may result in delays in the collection of receivables. Three U.S. wholesalers accounted for 41% and 51% of total net accounts receivable as of March 31, 2016 and December 31, 2015, respectively, and substantially all of AbbVie’s net revenues in the United States are to these three wholesalers. In addition, net governmental receivables outstanding in Greece, Portugal, Italy, and Spain totaled $567 million at March 31, 2016 and $525 million at December 31, 2015. HUMIRA ® (adalimumab) is AbbVie’s single largest product and accounted for approximately 60% and 62% of AbbVie’s total net revenues in the three months ended March 31, 2016 and 2015, respectively. Debt and Credit Facilities In March 2015, AbbVie entered into the bridge loan in support of the then planned acquisition of Pharmacyclics. No amounts were drawn under the bridge loan, which was terminated as a result of the company’s May 2015 issuance of the senior notes. Interest expense, net in the three months ended March 2015 included $59 million of costs related to the bridge loan. Short-term borrowings include commercial paper borrowings of $400 million at both March 31, 2016 and December 31, 2015. The weighted-average interest rate on outstanding commercial paper borrowings for the three months ended March 31, 2016 and 2015 was 0.6% and 0.3%, respectively.

Post-Employment Benefits

Post-Employment Benefits	3 Months Ended
	Mar. 31, 2016
Post-Employment Benefits
Post-Employment Benefits	Note 9 Post-Employment Benefits The following is a summary of net periodic benefit costs relating to the company’s defined benefit and other post-employment plans for the three months ended March 31, 2016 and 2015: Defined benefit plans Other post- employment plans (in millions) 2016 2015 2016 2015 Service cost $ 53 $ 58 $ 7 $ 6 Interest cost Expected return on plan assets ) ) — — Amortization of actuarial losses and prior service costs — Net periodic benefit cost $ 37 $ 67 $ $ Effective December 31, 2015, AbbVie elected to change the method it uses to estimate the service and interest cost components of net periodic benefit costs for the AbbVie Pension Plan and its primary other post-employment benefit plan in the United States as well as certain international defined benefit plans and other post-employment benefit plans. Historically, AbbVie estimated these service and interest cost components of this expense utilizing a single weighted-average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. In late 2015, AbbVie elected to utilize a full yield curve approach in the estimation of these components by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. AbbVie elected to make this change to provide a more precise measurement of service and interest costs by improving the correlation between projected benefit cash flows to the corresponding spot yield curve rates. AbbVie has accounted for this change prospectively as a change in accounting estimate that is inseparable from a change in accounting principle. Based on current economic conditions, this change is expected to reduce AbbVie’s net periodic benefit cost by approximately $41 million in 2016. This change had no effect on the 2015 expense and will not affect the measurement of AbbVie’s total benefit obligations as the change in service cost and interest cost will be completely offset in the actuarial (gain) loss reported. In the three months ended March 31, 2016 and 2015, AbbVie made voluntary contributions of $202 million and $150 million, respectively, primarily to its domestic defined benefit pension plans.

Equity

Equity	3 Months Ended
	Mar. 31, 2016
Equity
Equity	Note 10 Equity Stock-Based Compensation AbbVie grants stock-based awards to qualifying participants pursuant to the AbbVie 2013 Incentive Stock Program (2013 ISP), adopted at the time of the separation from Abbott, which authorized the post-separation grant of several different forms of benefits, including nonqualified stock options, RSAs, RSUs, and various performance-based awards. Under the 2013 ISP, 100 million shares of AbbVie common stock were reserved for issuance with respect to post-separation awards for participants. The AbbVie 2013 ISP also facilitated the assumption of certain awards granted to AbbVie employees under Abbott’s incentive stock program which were adjusted and converted into new Abbott and AbbVie stock-based awards immediately prior to the separation. Stock-based compensation expense related to awards issued pursuant to the 2013 ISP was $138 million and $119 million for the three months ended March 31, 2016 and 2015, respectively, and was principally classified in SG&A expenses for all periods presented, with the remainder classified in R&D expenses and cost of products sold. Stock Options Stock options awarded pursuant to the 2013 ISP typically have a contractual term of 10 years and generally vest in one-third increments over a three-year period. The exercise price is at least equal to 100% of the market value on the date of grant. The fair value is determined using the Black-Scholes model. The weighted-average grant-date fair values of the stock options granted during the three months ended March 31, 2016 and 2015 were $9.25 and $9.96, respectively. Stock-based compensation expense attributable to options during each of the periods presented was not material. The following table summarizes the activity for AbbVie stock options held by both AbbVie and Abbott employees for the three months ended March 31, 2016: (options in thousands, aggregate intrinsic value in millions) Options Weighted- average exercise price Weighted- average remaining life (in years) Aggregate intrinsic value Outstanding at December 31, 2015 $ $ Granted Exercised ) Lapsed ) Outstanding at March 31, 2016 $ Exercisable at March 31, 2016 $ $ The aggregate intrinsic value in the table above represents the difference between the exercise price and the company’s closing stock price on the last day of trading for the three months ended March 31, 2016. The total intrinsic value of options exercised was $102 million and $83 million for the three months ended March 31, 2016 and 2015, respectively. RSAs & RSUs RSAs and RSUs awarded pursuant to the 2013 ISP generally vest in one-third increments over a three-year period. AbbVie also grants certain performance-based RSAs and RSUs to its senior executives and other key employees. Outstanding performance-based RSAs and RSUs awarded prior to 2016 have a five-year term and generally vest in one-third increments over a three-year period with vesting contingent upon AbbVie achieving a minimum return on equity (ROE) each year. Recipients are entitled to receive dividends or dividend equivalents as dividends are declared during the vesting term of the award. Performance-based awards granted in 2016 consist of a combination of performance-vested RSUs and performance shares. The performance-vested RSUs have the potential to vest in one-third increments during a three-year performance period based on AbbVie’s ROE relative to a defined peer group of pharmaceutical, biotech and life sciences companies. Dividend equivalents on performance-vested RSUs accrue during the performance period and are payable at vesting only to the extent that shares are earned. The weighted-average grant-date fair value of RSAs and RSUs (including performance-based awards) generally is determined based on the number of shares granted and the quoted price of AbbVie’s common stock on the date of grant. Upon vesting, the recipient receives one share of AbbVie common stock for each vested award. The performance shares have the potential to vest over a three-year performance period and are earned based on AbbVie’s EPS achievement and AbbVie’s total stockholder return (TSR) (a market condition) relative to a defined peer group of pharmaceutical, biotech and life sciences companies. Dividend equivalents on performance shares accrue during the performance period and are payable at vesting only to the extent that shares are earned. The weighted-average grant-date fair values of performance shares with a TSR market condition are determined using the Monte Carlo simulation model, which assists in estimating the probability of achieving the TSR market condition stipulated in the award grant. For purposes of determining stock-based compensation expense, AbbVie periodically evaluates whether the performance conditions will be achieved (excluding the market condition). If such performance conditions are not met, no compensation expense is recognized and any previously recognized compensation expense is reversed. The following table summarizes the activity for the three months ended March 31, 2016 for AbbVie RSA, RSU and performance share awards held by AbbVie and Abbott employees: (share units in thousands) Share units Weighted-average grant date fair value Outstanding at December 31, 2015 $ Granted Vested ) Lapsed ) Outstanding at March 31, 2016 $ The fair market value of RSAs and RSUs vested was $302 million and $310 million for the three months ended March 31, 2016 and 2015, respectively. As of March 31, 2016, $359 million of unrecognized compensation cost related to RSAs and RSUs is expected to be recognized as expense over approximately the next two years. Cash Dividends On February 16, 2016, AbbVie paid a quarterly cash dividend of $0.57 per share of common stock. The dividend was declared by the board of directors on October 30, 2015 and represented an increase of approximately 12% over the previous quarterly rate of $0.51 per share. Additionally, on February 18, 2016, the board of directors declared a quarterly cash dividend of $0.57 per share of common stock. The dividend is payable on May 16, 2016 to stockholders of record at the close of business on April 15, 2016. On February 13 and May 15, 2015, AbbVie paid quarterly cash dividends of $0.49 and $0.51 per share of common stock, respectively, which were declared by the board of directors on October 20, 2014 and February 19, 2015, respectively. These dividends represented an increase of nearly 17% and approximately 4%, respectively, over the previous quarterly rates of $0.42 per share and $0.49 per share, respectively. Stock Repurchase Program On October 20, 2014, AbbVie’s board of directors authorized a new $5.0 billion stock repurchase program, which was effective immediately and superseded the previous authorization. The stock repurchase authorization permits purchases of AbbVie shares from time to time in open market or private transactions at management’s direction depending on the company’s cash flows, net debt level, and market conditions. The program has no time limit and can be discontinued at any time. In March 2015, the board of directors authorized a $5.0 billion increase to the existing stock repurchase program in anticipation of executing an accelerated share repurchase agreement in connection with the acquisition of Pharmacyclics. Under this share repurchase program, AbbVie repurchased approximately 4 million shares for $250 million in the open market during the three months ended March 31, 2015. During the three months ended March 31, 2016, AbbVie settled $300 million of its open market purchases made during the three months ended December 31, 2015. Shares repurchased under these programs are recorded at acquisition cost, including related expenses, and are available for general corporate purposes. AbbVie’s remaining stock repurchase authorization was $1.9 billion as of March 31, 2016. Accumulated Other Comprehensive Loss The following table summarizes the changes in balances of each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2016: (in millions) (brackets denote losses) Foreign currency translation adjustments Pension and post- employment benefits Unrealized gains on marketable equity securities Hedging activities Total Balance as of December 31, 2015 $ ) $ ) $ 47 $ 40 $ ) Other comprehensive income (loss) before reclassifications ) ) Net losses (gains) reclassified from accumulated other comprehensive loss — ) ) Net current-period other comprehensive income (loss) ) ) Balance as of March 31, 2016 $ ) $ ) $ 22 $ — $ ) Other comprehensive income for the three months ended March 31, 2016 included foreign currency translation adjustments totaling a gain of $188 million, which was principally due to the impact of the improvement in the Euro in the three months ended March 31, 2016 on the translation of the company’s Euro-denominated assets. The following table summarizes the changes in balances of each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2015: (in millions) (brackets denote losses) Foreign currency translation adjustments Pension and post- employment benefits Unrealized gains on marketable equity securities Hedging activities Total Balance as of December 31, 2014 $ ) $ ) $ $ $ ) Other comprehensive (loss) income before reclassifications ) ) Net losses (gains) reclassified from accumulated other comprehensive loss — — ) ) Net current-period other comprehensive (loss) income ) ) Balance as of March 31, 2015 $ ) $ ) $ $ $ ) Other comprehensive loss for the three months ended March 31, 2015 included foreign currency translation adjustments totaling a loss of $549 million, which was principally driven by the impact of the weakening of the Euro in the three months ended March 31, 2015 on the translation of the company’s Euro-denominated assets. The table below presents the impact on AbbVie’s condensed consolidated statements of earnings for significant amounts reclassified out of each component of accumulated other comprehensive loss for the three months ended March 31, 2016 and 2015: Three months ended March 31, (in millions) (brackets denote gains) 2016 2015 Pension and post-employment benefits Amortization of actuarial losses and other (a) $ $ Less tax benefit ) ) Total reclassifications, net of tax $ $ Hedging activities (Gains) on designated cash flow hedges (b) $ ) $ ) Less tax expense — Total reclassifications, net of tax $ ) $ ) (a) Amounts were included in the computation of net periodic benefit cost (see Note 9). (b) Amounts were included in cost of products sold (see Note 8).

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2016
Income Taxes
Income Taxes	Note 11 Income Taxes The effective tax rate was 24% and 27% for the three months ended March 31, 2016 and 2015, respectively. The effective tax rate in each period differs from the statutory tax rate principally due to the benefit from foreign operations which reflects the impact of lower income tax rates in locations outside the United States, tax exemptions and incentives in Puerto Rico and other foreign tax jurisdictions, and business development activities together with the cost of repatriation decisions. The decrease in the effective tax rate for the three months ended March 31, 2016 over the prior year was principally due to changes in the jurisdictional mix of earnings and the benefit of the U.S. research and development credit , as well as certain discrete factors and events, partially offset by the unfavorable impact of the non-deductible devaluation loss related to Venezuela. Due to the potential for resolution of federal, state, and foreign examinations, and the expiration of various statutes of limitations, i t is reasonably possible that the company’s gross unrecognized tax benefits balance may change within the next twelve months up to $15 million. AbbVie and Abbott entered into a tax sharing agreement effective on the date of separation, which provides that Abbott is liable for and has indemnified AbbVie against all income tax liabilities for periods prior to the separation. Accordingly, Abbott will indemnify and hold AbbVie harmless if the tax positions are settled for amounts in excess of recorded liabilities, and AbbVie will not benefit if prior tax positions are resolved more favorably than recorded amounts.

Legal Proceedings and Contingen

Legal Proceedings and Contingencies	3 Months Ended
	Mar. 31, 2016
Legal Proceedings and Contingencies
Legal Proceedings and Contingencies	Note 12 Legal Proceedings and Contingencies AbbVie is subject to contingencies, such as various claims, legal proceedings and investigations regarding product liability, intellectual property, commercial, securities and other matters that arise in the normal course of business. Loss contingency provisions are recorded for probable losses at management’s best estimate of a loss, or when a best estimate cannot be made, a minimum loss contingency amount within a probable range is recorded. The recorded accrual balance for litigation at both March 31, 2016 and December 31, 2015 was $166 million. Initiation of new legal proceedings or a change in the status of existing proceedings may result in a change in the estimated loss accrued by AbbVie. While it is not feasible to predict the outcome of all proceedings and exposures with certainty, management believes that their ultimate disposition should not have a material adverse effect on AbbVie’s consolidated financial position, results of operations or cash flows. Subject to certain exceptions specified in the separation agreement by and between Abbott and AbbVie, AbbVie assumed the liability for, and control of, all pending and threatened legal matters related to its business, including liabilities for any claims or legal proceedings related to products that had been part of its business but were discontinued prior to the distribution, as well as assumed or retained liabilities, and will indemnify Abbott for any liability arising out of or resulting from such assumed legal matters. Several pending lawsuits filed against Unimed Pharmaceuticals, Inc., Solvay Pharmaceuticals, Inc. (a company Abbott acquired in February 2010 and now known as AbbVie Products LLC) and others are consolidated for pre-trial purposes in the United States District Court for the Northern District of Georgia under the Multi-District Litigation (MDL) Rules as In re: AndroGel Antitrust Litigation , MDL No. 2084. These cases, brought by private plaintiffs and the Federal Trade Commission (FTC), generally allege Solvay’s 2006 patent litigation involving AndroGel was sham litigation and the patent litigation settlement agreement and related agreements with three generic companies violate federal and state antitrust laws and state consumer protection and unjust enrichment laws. Plaintiffs generally seek monetary damages and/or injunctive relief and attorneys’ fees. These cases include: (a) four individual plaintiff lawsuits; (b) six purported class actions; and (c) Federal Trade Commission v. Actavis, Inc. et al. Following the district court’s dismissal of all plaintiffs’ claims, appellate proceedings led to the reinstatement of the claims regarding the patent litigation settlement, which are proceeding in discovery in the district court. The Attorney General of the State of Alaska has served AbbVie with a Civil Investigative Demand, primarily seeking documents that AbbVie produced in these lawsuits. In November 2007, GlaxoSmithKline plc (GSK) filed a lawsuit against Abbott in the United States District Court for the Northern District of California alleging that Abbott violated federal antitrust and various state laws in connection with the 2003 Norvir re-pricing. In March 2011, a jury found that Abbott did not violate antitrust laws, but breached its license agreement with GSK. In January 2014, the United States Court of Appeals for the Ninth Circuit reversed this verdict and remanded the case for a new trial due to the alleged improper exclusion of a potential juror. The case was returned to the district court in California, but after GSK dismissed its federal antitrust claims, the case was transferred in April 2015 to the United States District Court for the Middle District of North Carolina, where pre-trial proceedings are pending. AbbVie assumed the liability for and control of this proceeding in connection with its separation from Abbott. Lawsuits are pending against AbbVie and others generally alleging that the 2005 patent litigation settlement involving Niaspan entered into between Kos Pharmaceuticals, Inc. (a company acquired by Abbott in 2006 and presently a subsidiary of AbbVie) and a generic company violates federal and state antitrust laws and state unfair and deceptive trade practices and unjust enrichment laws. Plaintiffs generally seek monetary damages and/or injunctive relief and attorneys’ fees. The lawsuits consist of four individual plaintiff lawsuits and two consolidated purported class actions: one brought by three named direct purchasers of Niaspan and the other brought by ten named end-payor purchasers of Niaspan. The cases are consolidated for pre-trial proceedings in the United States District Court for the Eastern District of Pennsylvania under the MDL Rules as In re: Niaspan Antitrust Litigation , MDL No. 2460. The office of the Attorney General of the State of Alaska has served AbbVie with a Civil Investigative Demand, primarily seeking documents that AbbVie produced in this lawsuit. In September 2014, the FTC filed suit in the United States District Court for the Eastern District of Pennsylvania against AbbVie and others, alleging that the 2011 patent litigation with two generic companies regarding AndroGel was sham litigation and the patent litigation settlement with one of those generic companies violates federal antitrust laws. The FTC’s complaint seeks monetary damages and injunctive relief. In May 2015, the court dismissed the FTC’s claim regarding the patent litigation settlement. The office of the Attorney General of the State of Alaska has served AbbVie with a Civil Investigative Demand, primarily seeking documents that AbbVie produced in this lawsuit. In March 2015, the State of Louisiana filed a lawsuit, State of Louisiana v. Fournier Industrie et Sante, et al. , against AbbVie, Abbott and affiliated Abbott entities in Louisiana state court. Plaintiff alleges that patent applications and patent litigation filed and other alleged conduct from the early 2000’s and before related to the drug TriCor violated Louisiana state antitrust and unfair trade practices laws. The lawsuit seeks monetary damages and attorneys’ fees. In August 2015, the court dismissed the case as time-barred. The state’s appeal of that dismissal is pending. In August 2013, a putative class action lawsuit, Sidney Hillman Health Center of Rochester, et al. v. AbbVie Inc., et al. , was filed against AbbVie in the United States District Court for the Northern District of Illinois by three healthcare benefit providers alleging violations of Federal Racketeer Influenced and Corrupt Organizations (RICO) statutes and state deceptive business practice and unjust enrichment laws in connection with reimbursements for certain uses of Depakote from 1998 to 2012. Plaintiffs seek monetary damages and/or equitable relief and attorneys’ fees. In November 2014, a putative class action lawsuit, Medical Mutual of Ohio v. AbbVie Inc., et al. , was filed against several manufacturers of testosterone replacement therapies (TRTs), including AbbVie, in the United States District Court for the Northern District of Illinois on behalf of all insurance companies, health benefit providers, and other third party payors who paid for TRTs, including AndroGel. The claims asserted include violations of the federal RICO Act and state consumer fraud and deceptive trade practices laws. The complaint seeks monetary damages and injunctive relief. A similar lawsuit, Allied Services Division Welfare Fund v. AbbVie Inc., et al. , was filed in the same court in October 2015 on behalf of the same putative class members and a putative class of consumers. Product liability cases are pending in which plaintiffs generally allege that AbbVie and other manufacturers of TRTs did not adequately warn about risks of certain injuries, primarily heart attacks, strokes and blood clots. Approximately 3,400 claims are consolidated for pre-trial purposes in the United States District Court for the Northern District of Illinois under the MDL Rules as In re: Testosterone Replacement Therapy Products Liability Litigation , MDL No. 2545. Approximately 185 claims are pending in various state courts. Plaintiffs seek compensatory and punitive damages. Product liability cases are pending in which plaintiffs generally allege that AbbVie did not adequately warn about risk of certain injuries, primarily various birth defects, arising from use of Depakote. Over ninety percent of the approximately 725 claims are pending in the United States District Court for the Southern District of Illinois, and the rest are pending in various other federal and state courts. Plaintiffs seek compensatory and punitive damages. In November 2014, five individuals filed a putative class action lawsuit on behalf of purchasers and sellers of certain Shire plc (Shire) securities between June 20 and October 14, 2014, against AbbVie and its chief executive officer in the United States District Court for the Northern District of Illinois alleging that the defendants made and/or are responsible for material misstatements in violation of federal securities laws in connection with AbbVie’s proposed transaction with Shire. In March 2016, the court dismissed the case without prejudice, giving plaintiffs until May 2, 2016 to attempt to amend their complaint. In December 2014, a shareholder derivative lawsuit, Plumbers & Steamfitters Local 60 Pension Plans v. J.P. Morgan Securities LLC, et al. , was filed in Delaware Chancery Court, alleging that AbbVie’s directors breached their fiduciary duties in connection with the approval and termination of AbbVie’s proposed transaction with Shire. The plaintiff voluntarily dismissed this case in February 2016.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2016
Segment Information
Segment Information	Note 13 Segment Information AbbVie operates in one business segment—pharmaceutical products. Substantially all of AbbVie’s net revenues in the United States are to three wholesalers. Outside the United States, products are sold primarily to customers or through distributors, depending on the market served. The following table details AbbVie’s worldwide net revenues: Three months ended March 31, (in millions) 2016 2015 HUMIRA $ $ IMBRUVICA — VIEKIRA Lupron Synagis Synthroid Creon AndroGel Kaletra Sevoflurane Duodopa All other Total net revenues $ $

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2016
Subsequent Events
Subsequent Events	Note 14 Subsequent Events Collaboration Agreement With Boehringer Ingelheim In April 2016, AbbVie acquired all rights to risankizumab (BI 655066), an anti-IL-23 monoclonal biologic antibody in Phase 3 development for psoriasis, from Boehringer Ingelheim (BI) pursuant to a global collaboration agreement. AbbVie is also evaluating the potential of this biologic therapy in Crohn’s disease, psoriatic arthritis, and asthma. In addition to risankizumab, AbbVie also gained rights to an anti-CD40 antibody, BI 655064, currently in Phase 1 development. BI will retain responsibility for further development of BI 655064, and AbbVie may elect to advance the program after completion of certain clinical achievements. The acquired assets include all patents, data, know-how, third-party agreements, regulatory filings, and manufacturing technology related to BI 655066 and BI 655064. In connection with the closing of the transaction in April 2016, AbbVie made an upfront payment of $595 million to BI. Upon the achievement of certain development, regulatory, and commercial milestones, AbbVie could make additional payments of up to $1.6 billion, as well as royalties on net sales. The company concluded that the acquired assets meet the definition of a business and will account for the transaction as a business combination using the acquisition method of accounting. The company expects to complete a preliminary allocation of the total consideration during the second quarter of 2016, and expects most of the purchase price will be allocated to indefinite-lived intangible assets. Proposed Acquisition of Stemcentrx, Inc. In April 2016, AbbVie entered into a definitive agreement to acquire Stemcentrx, Inc. (Stemcentrx), a privately held biotechnology company. The transaction will expand AbbVie’s oncology pipeline by adding the late-stage asset rovalpituzumab tesirine (Rova-T), four additional early-stage clinical compounds in solid tumor indications, and a significant portfolio of pre-clinical assets. Rova-T is currently in registrational trials for small cell lung cancer. Under the terms of the agreement, AbbVie will acquire all of the outstanding equity interests in Stemcentrx for aggregate upfront consideration of approximately $5.8 billion, consisting of 62.5 million shares of AbbVie common stock and approximately $2.0 billion in cash. The holders of Stemcentrx securities will be eligible to receive up to $4.0 billion in additional payments upon the achievement of certain development and regulatory milestones. The transaction is subject to customary closing conditions, including the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, and is expected to close in the second quarter of 2016. Upon closing, AbbVie will account for the transaction as a business combination using the acquisition method of accounting. The company expects most of the purchase price will be allocated to indefinite-lived intangible assets. In April 2016, AbbVie’s board of directors authorized a $4.0 billion increase to AbbVie’s existing share repurchase program. AbbVie intends to execute an accelerated share repurchase program promptly following the closing of the transaction to reacquire all of the newly-issued equity.

Supplemental Financial Inform22

Supplemental Financial Information (Tables)	3 Months Ended
	Mar. 31, 2016
Supplemental Financial Information
Schedule of interest expense, net	Three months ended March 31, (in millions) 2016 2015 Interest expense $ $ Interest income ) ) Interest expense, net $ $
Schedule of inventories, net	(in millions) March 31, 2016 December 31, 2015 Finished goods $ $ Work-in-process Raw materials Inventories, net $ $
Schedule of property and equipment, net	(in millions) March 31, 2016 December 31, 2015 Property and equipment, gross $ $ Less accumulated depreciation ) ) Property and equipment, net $ $

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2016
Goodwill and Intangible Assets
Summary of changes in the carrying amount of the entity's goodwill	(in millions) Balance as of December 31, 2015 $ Foreign currency translation adjustments Balance as of March 31, 2016 $
Schedule of intangible assets	March 31, 2016 December 31, 2015 (in millions) Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Definite-lived intangible assets Developed product rights $ $ $ $ $ ) $ License agreements ) Total definite-lived intangible assets ) Indefinite-lived research and development — — Total intangible assets, net $ $ $ $ $ ) $

Restructuring Plans (Tables)

Restructuring Plans (Tables)	3 Months Ended
	Mar. 31, 2016
Restructuring Plans
Summary of the cash activity in the restructuring reserve	(in millions) Accrued balance at December 31, 2015 $ 2016 restructuring charges Payments and other adjustments ) Accrued balance at March 31, 2016 $

Financial Instruments and Fai25

Financial Instruments and Fair Value Measures (Tables)	3 Months Ended
	Mar. 31, 2016
Financial Instruments and Fair Value Measures
Schedule of amounts and balance sheet location of derivatives	The following table summarizes the amounts and location of AbbVie’s derivative instruments as of March 31, 2016: Fair value – Derivatives in asset position Fair value – Derivatives in liability position (in millions) Balance sheet caption Amount Balance sheet caption Amount Foreign currency forward exchange contracts — Hedging instruments Prepaid expenses and other $ 6 Accounts payable and accrued liabilities $ Hedging instruments Other long-term assets Other long-term liabilities Others not designated as hedges Prepaid expenses and other Accounts payable and accrued liabilities Interest rate swaps designated as fair value hedges Other long-term assets Other long-term liabilities — Total derivatives $ $ The following table summarizes the amounts and location of AbbVie’s derivative instruments as of December 31, 2015: Fair value – Derivatives in asset position Fair value – Derivatives in liability position (in millions) Balance sheet caption Amount Balance sheet caption Amount Foreign currency forward exchange contracts — Hedging instruments Prepaid expenses and other $ Accounts payable and accrued liabilities $ — Others not designated as hedges Prepaid expenses and other Accounts payable and accrued liabilities Interest rate swaps designated as fair value hedges Other long-term assets Other long-term liabilities Total derivatives $ $
Schedule of derivative activity and amounts and location of income (expense) and gain (loss) reclassified into net earnings	Three months ended March 31, (in millions) (brackets denote losses) Income statement caption 2016 2015 Foreign currency forward exchange contracts — Designated as cash flow hedges Cost of products sold $ $ Not designated as hedges Net foreign exchange loss ) ) Interest rate swaps designated as fair value hedges Interest expense, net Total $ $ )
Summary of the bases used to measure certain assets and liabilities that were carried at fair value on a recurring basis in the condensed consolidated balance sheets	Basis of fair value measurement (in millions) Balance at March 31, 2016 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Cash and equivalents $ $ $ $— Time deposits — — Debt securities — — Equity securities — — Interest rate hedges — — Foreign currency contracts — — Total assets $ $ $ $— Liabilities Foreign currency contracts $ $ — $ $— Total liabilities $ $ — $ $— Basis of fair value measurement (in millions) Balance at December 31, 2015 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Cash and equivalents $ $ $ $— Time deposits — — Equity securities — — Interest rate hedges — — Foreign currency contracts — — Total assets $ $ $ $— Liabilities Interest rate hedges $ $ — $ $— Foreign currency contracts — — Total liabilities $ $ — $ $—
Schedule of the carrying values and fair values of certain financial instruments	Book values Approximate fair values (in millions) March 31, 2016 December 31, 2015 March 31, 2016 December 31, 2015 Assets Investments $ $ $ $ Liabilities Short-term borrowings Current portion of long-term debt and lease obligations Long-term debt and lease obligations, excluding fair value hedges
Schedule of fair value of financial instruments by fair value basis	Basis of fair value measurement (in millions) Fair Value at March 31, 2016 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Investments $ 35 $ — $ — $ Total assets $ 35 $ — $ — $ Liabilities Short-term borrowings $ 400 $ — $ $ — Current portion of long-term debt and lease obligations — — Long-term debt and lease obligations, excluding fair value hedges — Total liabilities $ $ $ $ — Basis of fair value measurement (in millions) Fair Value at December 31, 2015 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets Investments $ 37 $ — $ — $ Total assets $ 37 $ — $ — $ Liabilities Short-term borrowings $ 406 $ — $ $ — Current portion of long-term debt and lease obligations — — Long-term debt and lease obligations, excluding fair value hedges — Total liabilities $ $ $ $ —
Schedule of available-for-sale securities by type	Amortized Gross unrealized Fair (in millions) Cost Gains Losses Value U.S. government securities $ $ — $— $ Corporate debt securities — Other debt securities — — Equity securities ) Total $ $ $ ) $

Post-Employment Benefits (Table

Post-Employment Benefits (Tables)	3 Months Ended
	Mar. 31, 2016
AbbVie sponsored plans
Employee Benefit Plans
Summary of net periodic benefit cost relating to the company's defined benefit and other post-employment plans	Defined benefit plans Other post- employment plans (in millions) 2016 2015 2016 2015 Service cost $ 53 $ 58 $ 7 $ 6 Interest cost Expected return on plan assets ) ) — — Amortization of actuarial losses and prior service costs — Net periodic benefit cost $ 37 $ 67 $ $

Equity (Tables)

Equity (Tables)	3 Months Ended
	Mar. 31, 2016
Equity
Summary of AbbVie stock option activity for both AbbVie and Abbott employees	(options in thousands, aggregate intrinsic value in millions) Options Weighted- average exercise price Weighted- average remaining life (in years) Aggregate intrinsic value Outstanding at December 31, 2015 $ $ Granted Exercised ) Lapsed ) Outstanding at March 31, 2016 $ Exercisable at March 31, 2016 $ $
Summary of AbbVie RSA, RSU and performance share awards held by AbbVie and Abbott employees	(share units in thousands) Share units Weighted-average grant date fair value Outstanding at December 31, 2015 $ Granted Vested ) Lapsed ) Outstanding at March 31, 2016 $
Summary of changes in balances of each component of accumulated other comprehensive loss	(in millions) (brackets denote losses) Foreign currency translation adjustments Pension and post- employment benefits Unrealized gains on marketable equity securities Hedging activities Total Balance as of December 31, 2015 $ ) $ ) $ 47 $ 40 $ ) Other comprehensive income (loss) before reclassifications ) ) Net losses (gains) reclassified from accumulated other comprehensive loss — ) ) Net current-period other comprehensive income (loss) ) ) Balance as of March 31, 2016 $ ) $ ) $ 22 $ — $ ) (in millions) (brackets denote losses) Foreign currency translation adjustments Pension and post- employment benefits Unrealized gains on marketable equity securities Hedging activities Total Balance as of December 31, 2014 $ ) $ ) $ $ $ ) Other comprehensive (loss) income before reclassifications ) ) Net losses (gains) reclassified from accumulated other comprehensive loss — — ) ) Net current-period other comprehensive (loss) income ) ) Balance as of March 31, 2015 $ ) $ ) $ $ $ )
Schedule of the significant amounts reclassified out of each component of accumulated other comprehensive loss	Three months ended March 31, (in millions) (brackets denote gains) 2016 2015 Pension and post-employment benefits Amortization of actuarial losses and other (a) $ $ Less tax benefit ) ) Total reclassifications, net of tax $ $ Hedging activities (Gains) on designated cash flow hedges (b) $ ) $ ) Less tax expense — Total reclassifications, net of tax $ ) $ ) (a) Amounts were included in the computation of net periodic benefit cost (see Note 9). (b) Amounts were included in cost of products sold (see Note 8).

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2016
Segment Information
Schedule of consolidated financial information by segment	Three months ended March 31, (in millions) 2016 2015 HUMIRA $ $ IMBRUVICA — VIEKIRA Lupron Synagis Synthroid Creon AndroGel Kaletra Sevoflurane Duodopa All other Total net revenues $ $

Background and Basis of Prese29

Background and Basis of Presentation (Details) - customer	Jan. 01, 2013	Mar. 31, 2016
Background and Basis of Presentation
Number of wholesalers		3
Term for which transition services may be provided		24 months
Term by which the agreement can be extended		1 year
AbbVie sponsored plans
Background and Basis of Presentation
Percentage of outstanding common stock distributed to Abbott Laboratories' shareholders	100.00%

Supplemental Financial Inform30

Supplemental Financial Information (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	May. 31, 2015	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Interest Expense, Net
Interest expense		$ 215	$ 132
Interest income		(15)	(6)
Interest expense, net		200	126
Proceeds from Issuance of Debt	$ 16,700
Inventories, Net
Finished goods		552		$ 469
Work-in-process		1,082		1,081
Raw materials		155		169
Inventories, net		1,789		1,719
Property and Equipment, Net
Property and equipment, gross		7,489		7,334
Less accumulated depreciation		(4,892)		(4,769)
Property and equipment, net		2,597		2,565
Depreciation expense		103	90
Pharmacyclics Inc
Interest Expense, Net
Interest expense, net			$ 59
Inventories, Net
Inventories, net		298		$ 356
Fair market value step-up adjustment to inventories		$ 45

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Dilutive effect of Incremental shares
Earnings allocable to participating securities - Diluted (in dollars)	$ 7	$ 5
RSAs and RSUs
Anti-dilutive securities excluded from the computation of earnings per common share
Anti-dilutive securities excluded from the computation of earnings per common share (in shares)	4	3

Licensing, Acquisitions and Oth

Licensing, Acquisitions and Other Arrangements - Acquisition (Details) - Pharmacyclics Inc shares in Millions, $ in Billions	May. 26, 2015USD ($)shares
Collaborations and Other Arrangements
Shares issued as consideration | shares	128
Cash consideration paid	$ 12.4
Fair value of AbbVie common stock issued to Pharmacyclics stockholders	8.4
Total consideration	$ 20.8
Maximum period of valuation	1 year

Licensing, Acquisitions and O33

Licensing, Acquisitions and Other Arrangements - Bridge Term Loan Agreement (Details) - USD ($) $ in Millions	Mar. 27, 2015	May. 31, 2015	Mar. 31, 2016	Mar. 31, 2015
Acquisitions
Interest expense			$ 215	$ 132
Notes issued		$ 16,700
Term loan facility | Bridge Term Loan Agreement
Acquisitions
Interest expense				59
Drawn amount				$ 0
Term loan facility | Bridge Term Loan Agreement | Pharmacyclics Inc
Acquisitions
Maximum borrowing of term loan facility	$ 18,000
Debt term	364 days
Interest expense	$ 59
Drawn amount	$ 0
Senior notes
Acquisitions
Notes issued		$ 16,700

Licensing, Acquisitions and O34

Licensing, Acquisitions and Other Arrangements - Other Licensing & Acquisitions Activity (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Acquisitions
Acquired in-process research and development	$ 10	$ 127
Cash outflows related to licensing and acquisition activity	28	736
C2N Diagnostics
Acquisitions
Additional payment	685
IPR&D
Acquisitions
Acquired in-process research and development	10	127
Cash outflows related to other acquisitions and investments		736
Cash outflows related to licensing and acquisition activity	$ 28
IPR&D | C2N Diagnostics
Acquisitions
Initial upfront payment		100
IPR&D | Calico Life Sciences LLC
Acquisitions
Acquired in-process research and development		$ 500

Collaboration with Janssen Bi35

Collaboration with Janssen Biotech, Inc. (Details) - Collaborative arrangement - USD ($) $ in Millions	May. 26, 2015	Mar. 31, 2016
Collaborative and license agreements
Share of collaboration development costs responsible by the entity (as a percent)	40.00%
Outside of United States
Collaborative and license agreements
Share of pretax profits under collaboration		$ 56
Cost sharing expenses		63
Janssen Biotech, Inc
Collaborative and license agreements
Share of collaboration development costs responsible by Janssen (as a percent)	60.00%
Janssen Biotech, Inc | United States
Collaborative and license agreements
Expense recorded for profit sharing before taxes to other party		$ 153
Pharmacyclics Inc | Janssen Biotech, Inc
Collaborative and license agreements
Milestone payments	$ 200

Goodwill and Intangible Asset36

Goodwill and Intangible Assets - Carrying value (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)
Goodwill
Balance at the beginning of the period	$ 13,168
Foreign currency translation and other adjustments	106
Balance at the end pf the period	13,274
Accumulated goodwill impairment losses	$ 0

Goodwill and Intangible Asset37

Goodwill and Intangible Assets - Intangible Assets, Net (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Definite-lived intangible assets
Gross carrying amount	$ 24,254		$ 17,103
Accumulated amortization	(5,135)		(4,967)
Net carrying amount	19,119		12,136
Intangible assets
Indefinite-lived research and development	393		7,573
Net carrying amount - Indefinite-lived research and development	393		7,573
Total intangible assets gross carrying amount	24,647		24,676
Accumulated amortization - Total intangible assets	(5,135)		(4,967)
Total intangible assets, net	19,512		19,709
Amortization of intangible assets	165	$ 68
Anticipated annual amortization expense
2,016	706
2,017	1,100
2,018	1,300
2,019	1,500
2,020	1,700
Impairment charges	0	$ 0
Pharmacyclics Inc
Intangible assets
Amortization of intangible assets	111
Developed product rights
Definite-lived intangible assets
Gross carrying amount	16,253		9,103
Accumulated amortization	(4,041)		(3,944)
Net carrying amount	12,212		5,159
Intangible assets
Reclassification of indefinite lived intangible assets to finite lived intangibles	7,200
License agreements
Definite-lived intangible assets
Gross carrying amount	8,001		8,000
Accumulated amortization	(1,094)		(1,023)
Net carrying amount	6,907		$ 6,977
On-market product rights
Anticipated annual amortization expense
Impairment charges	$ 39

Restructuring Plans (Details)

Restructuring Plans (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)
Restructuring reserve activity
Accrued balance beginning of the period	$ 148
Restructuring Charges	8
Payments and other adjustments	(28)
Accrued balance end of the period	$ 128

Financial Instruments and Fai39

Financial Instruments and Fair Value Measures - Financial instruments (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)item	Dec. 31, 2015USD ($)
Derivative instruments, notional amount and fair value
Number of outstanding derivative instruments containing credit risk contingent features | item	0
Derivatives in asset position	$ 235	$ 70
Derivatives in liability position	109	102
Interest rate contracts | Fair value hedges | Other long-term assets
Derivative instruments, notional amount and fair value
Derivatives in asset position	$ 182	9
Interest rate contracts | Fair value hedges | Other long-term liabilities
Derivative instruments, notional amount and fair value
Derivatives in liability position		81
Foreign currency forward exchange contracts | Maximum
Derivative instruments, notional amount and fair value
Duration of forward exchange contracts	18 months
Designated as hedging instrument | Interest rate contracts | Fair value hedges
Derivative instruments, notional amount and fair value
Notional amount of derivative instruments	$ 11,000	11,000
Designated as hedging instrument | Foreign currency forward exchange contracts | Prepaid expenses and other
Derivative instruments, notional amount and fair value
Derivatives in asset position	6	33
Designated as hedging instrument | Foreign currency forward exchange contracts | Other long-term assets
Derivative instruments, notional amount and fair value
Derivatives in asset position	2
Designated as hedging instrument | Foreign currency forward exchange contracts | Other long-term liabilities
Derivative instruments, notional amount and fair value
Derivatives in liability position	2
Designated as hedging instrument | Foreign currency forward exchange contracts | Accounts payable and accrued liabilities.
Derivative instruments, notional amount and fair value
Derivatives in liability position	33
Designated as hedging instrument | Foreign currency forward exchange contracts | Cash flow hedges
Derivative instruments, notional amount and fair value
Notional amount of derivative instruments	$ 3,200	1,500
Approximate length of time over which accumulated gains and losses will be recognized in Cost of products sold	6 months
Not designated as hedging instrument | Foreign currency forward exchange contracts
Derivative instruments, notional amount and fair value
Notional amount of derivative instruments	$ 7,100	6,800
Not designated as hedging instrument | Foreign currency forward exchange contracts | Prepaid expenses and other
Derivative instruments, notional amount and fair value
Derivatives in asset position	45	28
Not designated as hedging instrument | Foreign currency forward exchange contracts | Accounts payable and accrued liabilities.
Derivative instruments, notional amount and fair value
Derivatives in liability position	$ 74	$ 21

Financial Instruments and Fai40

Financial Instruments and Fair Value Measures - Amount Of Gain/(Loss) Recognized Into Net Earnings For Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Gain (loss) on derivatives
Income (expense) and gain (loss) reclassified into or recorded in net earnings	$ 190	$ (17)
Cash flow hedges | Designated as hedging instrument
Gain (loss) on derivatives
Gains (losses) recognized in other comprehensive income/(loss)	(39)	87
Foreign currency forward exchange contracts | Not designated as hedging instrument | Net foreign exchange loss (gain)
Gain (loss) on derivatives
Income (expense) and gain (loss) reclassified into or recorded in net earnings	(65)	(169)
Foreign currency forward exchange contracts | Cash flow hedges | Cost of products sold
Gain (loss) on derivatives
Income (expense) and gain (loss) reclassified into or recorded in net earnings	1	31
Interest rate contracts | Fair value hedges | Interest expense (income), net
Gain (loss) on derivatives
Income (expense) and gain (loss) reclassified into or recorded in net earnings	$ 254	$ 121

Financial Instruments and Fai41

Financial Instruments and Fair Value Measures - Fair Value Measures (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Assets
Investments	$ 35	$ 37
Equity securities	1,562
Derivatives in asset position	235	70
Total assets	35	37
Liabilities
Derivatives in liability position	109	102
Total liabilities	32,624	31,565
Quoted prices in active markets for identical assets (Level 1)
Liabilities
Total liabilities	28,155	27,061
Significant other observable inputs (Level 2)
Liabilities
Total liabilities	4,469	4,504
Significant unobservable inputs (Level 3)
Assets
Investments	35	37
Total assets	35	37
Recurring
Assets
Cash and equivalents	7,556	8,399
Debt securities	834
Equity securities	60	111
Interest rate hedges	182	9
Total assets	9,189	8,588
Liabilities
Interest rate hedges		81
Total liabilities	109	102
Recurring | Foreign Currency Contract
Assets
Derivatives in asset position	53	61
Liabilities
Derivatives in liability position	109	21
Recurring | Time deposits
Assets
Investments	504	8
Recurring | Quoted prices in active markets for identical assets (Level 1)
Assets
Cash and equivalents	1,349	798
Equity securities	60	111
Total assets	1,409	909
Recurring | Significant other observable inputs (Level 2)
Assets
Cash and equivalents	6,207	7,601
Debt securities	834
Interest rate hedges	182	9
Total assets	7,780	7,679
Liabilities
Interest rate hedges		81
Total liabilities	109	102
Recurring | Significant other observable inputs (Level 2) | Foreign Currency Contract
Assets
Derivatives in asset position	53	61
Liabilities
Derivatives in liability position	109	21
Recurring | Significant other observable inputs (Level 2) | Time deposits
Assets
Investments	$ 504	$ 8

Financial Instruments and Fai42

Financial Instruments and Fair Value Measures - Transfers Of assets Or liabilities Between The Fair Value Measurement Levels (Details) $ in Millions	Mar. 31, 2016USD ($)
Transfers of assets or liabilities between the fair value measurement levels
Transfer of assets from level 1 to level 2	$ 0
Transfer of assets from level 2 to level 1	0
Transfer of liabilities from level 1 to level 2	0
Transfer of liabilities from level 2 to level 1	$ 0

Financial Instruments and Fai43

Financial Instruments and Fair Value Measures - Financial Instruments Recognized At Historical Cost Or Some Basis Other Than Fair Value (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Assets
Investments	$ 35	$ 37
Liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,018	2,016
Long-term debt and lease obligations, excluding fair value hedges	30,206	29,143
Book values
Assets
Investments	33	34
Liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,023	2,025
Long-term debt and lease obligations, excluding fair value hedges	29,308	29,312
Fair value
Assets
Investments	35	37
Liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,018	2,016
Long-term debt and lease obligations, excluding fair value hedges	$ 30,206	$ 29,143

Financial Instruments and Fai44

Financial Instruments and Fair Value Measures - Bases Used To Measure The Approximate Fair Values Of Financial Instruments (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015
Assets
Investments	$ 35	$ 37
Total assets	35	37
Liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,018	2,016
Long-term debt and lease obligations, excluding fair value hedges	30,206	29,143
Total liabilities	32,624	31,565
Quoted prices in active markets for identical assets (Level 1)
Liabilities
Long-term debt and lease obligations, excluding fair value hedges	28,155	27,061
Total liabilities	28,155	27,061
Significant other observable inputs (Level 2)
Liabilities
Short-term borrowings	400	406
Current portion of long-term debt and lease obligations	2,018	2,016
Long-term debt and lease obligations, excluding fair value hedges	2,051	2,082
Total liabilities	4,469	4,504
Significant unobservable inputs (Level 3)
Assets
Investments	35	37
Total assets	$ 35	$ 37

Financial Instruments and Fai45

Financial Instruments and Fair Value Measures - Available-for-sale Securities (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)
Available-for-sale Securities
Maximum maturity period of long-term debt securities (in years)	5 years
Amortized Cost	$ 1,530
Gains	33
Losses	(1)
Fair value	1,562
Other-than-temporary impairment losses recognized	0
Short-term investments
Available-for-sale Securities
Debt securities	1,200
U.S. government securities
Available-for-sale Securities
Amortized Cost	681
Fair value	681
Corporate debt securities
Available-for-sale Securities
Amortized Cost	616
Gains	1
Fair value	617
Other debt securities
Available-for-sale Securities
Amortized Cost	204
Fair value	204
Equity securities
Available-for-sale Securities
Amortized Cost	29
Gains	32
Losses	(1)
Fair value	$ 60

Financial Instruments and Fai46

Financial Instruments and Fair Value Measures - Concentrations of Risk (Details) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2016USD ($)customerVEF / $	Mar. 31, 2015	Dec. 31, 2015USD ($)	Mar. 10, 2016VEF / $
Concentration of Risk
Exchange rate | VEF / $				10
Number of principal customers | customer	3
Net governmental receivables outstanding	$ 4,753		$ 4,730
Governmental accounts in Greece, Portugal, Italy and Spain
Concentration of Risk
Net governmental receivables outstanding	567		$ 525
Venezuelan | Maximum
Concentration of Risk
Net monetary assets	$ 10
Official Rate
Concentration of Risk
Exchange rate			6.3
SICAD
Concentration of Risk
Exchange rate			13.5
SIMADI
Concentration of Risk
Exchange rate			200
DICOM
Concentration of Risk
Exchange rate | VEF / $	270
Asset devaluation loss	$ 298
Accounts receivable, net
Concentration of Risk
Number of principal customers | customer	3
Accounts receivable, net | U.S. wholesalers
Concentration of Risk
Concentrations risk (as a percent)	41.00%		51.00%
Total revenues | HUMIRA
Concentration of Risk
Concentrations risk (as a percent)	60.00%	62.00%
Foreign Exchange Loss | DICOM
Concentration of Risk
Exchange rate | VEF / $	270

Financial Instruments and Fai47

Financial Instruments and Fair Value Measures - Debt Facilities (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Debt Instrument
Interest Expense	$ 215	$ 132
Term loan facility | Bridge Term Loan Agreement
Debt Instrument
Drawn amount		0
Interest Expense		$ 59

Financial Instruments and Fai48

Financial Instruments and Fair Value Measures - Credit Facilities (Details) - USD ($) $ in Millions	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
Short-term Debt
Short-term Debt.	$ 400	$ 406
Commercial paper
Short-term Debt
Short-term Debt.	$ 400	$ 400
Short-term Debt, Weighted Average Interest Rate	0.60%		0.30%

Post-Employment Benefits (Detai

Post-Employment Benefits (Details) - USD ($) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2016
Forecast
Defined benefit and other post-employment plans
Amount of reduction of net periodic benefit cost			$ 41
AbbVie sponsored plans | Defined benefit plans
Defined benefit and other post-employment plans
Service cost	$ 53	$ 58
Interest cost	51	56
Expected return on plan assets	(89)	(81)
Amortization of actuarial losses and prior service costs	22	34
Net periodic benefit cost	37	67
Contribution by employer	202	150
AbbVie sponsored plans | Other post-employment plans
Defined benefit and other post-employment plans
Service cost	7	6
Interest cost	6	6
Amortization of actuarial losses and prior service costs		1
Net periodic benefit cost	$ 13	$ 13

Equity - Stock based compensati

Equity - Stock based compensation (Details) $ / shares in Units, $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2016USD ($)item$ / sharesshares	Mar. 31, 2015USD ($)$ / shares	Dec. 31, 2015USD ($)$ / sharesshares	Mar. 31, 2016USD ($)$ / sharesshares
Stock-Based Compensation
Incentive stock programs, shares reserved for issuance with respect to post-separation awards for participants				100,000,000
Stock compensation expense recognized | $	$ 138	$ 119
Stock Options
Stock-Based Compensation
Exercise price for awards granted as percentage of market value on the date of grant	100.00%
Contractual term	10 years
Incremental vesting | item	0.33
Vesting period	3 years
Weighted-average grant-date fair value of the stock options granted | $ / shares	$ 9.25	$ 9.96
Options
Outstanding at the beginning of the period (in shares)	23,569,000
Granted (in shares)	1,109,000
Exercised (in shares)	(3,209,000)
Lapsed (in shares)	(45,000)
Outstanding at the end of the period (in shares)	21,424,000		23,569,000
Exercisable at the end of the period (in shares)				19,117,000
Weighted average exercise price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 30.64
Granted (in dollars per share) | $ / shares	54.86
Exercised (in dollars per share) | $ / shares	23.49
Lapsed (in dollars per share) | $ / shares	25.73
Outstanding at the end of the period (in dollars per share) | $ / shares	$ 32.98		$ 30.64
Exercisable at the end of the period (in dollars per share) | $ / shares				$ 30.23
Weighted average remaining life (in years)
Outstanding at the end of the period	3 years 7 months 6 days		3 years
Exercisable at end of the period	3 years
Aggregate intrinsic value
Outstanding at the beginning of the period | $	$ 674
Outstanding at the end of the period | $	674		$ 674	$ 519
Exercisable at the end of the period | $				515
Additional information
Aggregate intrinsic value of options exercised | $	$ 102	$ 83
RSAs and RSUs
Stock-Based Compensation
Incremental vesting | item	0.33
Vesting period	3 years
Additional information
Period for recognition of unrecognized compensation cost	2 years
RSAs & RSUs
Number of shares of common stock to be received by recipient upon vesting for each award vested	1
Share units
Unvested shares at the beginning of the period (in shares)	12,490,000
Granted (in shares)	5,189,000
Vested (in shares)	(5,549,000)
Lapsed (in shares)	(231,000)
Outstanding at the end of the period (in shares)	11,899,000
Unvested shares at the end of the period (in shares)			12,490,000
Weighted average grant date fair value
Unvested shares at the beginning of the period (in dollars per share) | $ / shares	$ 51.66
Granted (in dollars per share) | $ / shares	54.89
Vested (in dollars per share) | $ / shares	45.72
Lapsed (in dollars per share) | $ / shares	53.26
Outstanding at the end of the period (in dollars per share) | $ / shares	$ 55.81
Unvested shares at the end of the period (in dollars per share) | $ / shares			$ 51.66
Additional information
Fair market value of awards vested | $	$ 302	$ 310
Unrecognized compensation cost | $				$ 359
Period for recognition of unrecognized compensation cost	2 years
Performance-based RSAs and RSUs
Stock-Based Compensation
Incremental vesting | item	0.33
Vesting period	3 years
Term (in years)	5 years

Equity - Cash Dividends (Detail

Equity - Cash Dividends (Details) - $ / shares	Feb. 18, 2016	Feb. 16, 2016	May. 15, 2015	Feb. 13, 2015	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015	Dec. 31, 2014	Mar. 31, 2014
Cash Dividends
Dividends declared (in dollars per share)					$ 0.57		$ 0.51
Dividends paid (in dollars per share)		$ 0.57
Quarter One
Dividends Payable
Date declared					Feb. 18, 2016		Feb. 19, 2015
Date of record					Apr. 15, 2016
Date paid					May 16, 2016		May 15, 2015
Cash Dividends
Dividends declared (in dollars per share)	$ 0.57								$ 0.42
Dividends paid (in dollars per share)		$ 0.57		$ 0.49
Percentage increase in dividends declared						12.00%		17.00%
Quarter Two
Cash Dividends
Dividends declared (in dollars per share)								$ 0.49
Dividends paid (in dollars per share)			$ 0.51
Percentage increase in dividends declared							4.00%
Quarter Four
Dividends Payable
Date declared						Oct. 30, 2015		Oct. 20, 2014
Date paid								Feb. 13, 2015
Cash Dividends
Dividends paid (in dollars per share)						$ 0.51

Equity - Accumulated Other Comp

Equity - Accumulated Other Comprehensive Loss (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015	Oct. 20, 2014
Stock Repurchase Program
Amount authorized under stock repurchase program		$ 5,000		$ 5,000
Shares repurchased		4
Increase in common stock held in treasury	$ 8,918		$ 8,839
Payment for shares repurchased on the open market	300	$ 250
Share repurchase authorization amount remaining	1,900
Changes in accumulated other comprehensive Income
Beginning balance	3,945
Other comprehensive income (loss)	138	(436)
Ending balance	4,643
Accumulated other comprehensive (loss) income
Changes in accumulated other comprehensive Income
Beginning balance	(2,561)	(2,031)
Other comprehensive income (loss) before reclassifications	126	(431)
Net losses (gains) reclassified from accumulated other comprehensive loss	(12)	5
Other comprehensive income (loss)	138	(436)
Ending balance	(2,423)	(2,467)
Foreign currency translation adjustments
Changes in accumulated other comprehensive Income
Beginning balance	(1,270)	(603)
Other comprehensive income (loss) before reclassifications	188	(549)
Other comprehensive income (loss)	188	(549)
Ending balance	(1,082)	(1,152)
Pension and post-employment benefits
Changes in accumulated other comprehensive Income
Beginning balance	(1,378)	(1,608)
Other comprehensive income (loss) before reclassifications	1	30
Net losses (gains) reclassified from accumulated other comprehensive loss	(14)	(25)
Other comprehensive income (loss)	15	55
Ending balance	(1,363)	(1,553)
Unrealized gains (losses) on marketable equity securities
Changes in accumulated other comprehensive Income
Beginning balance	47	3
Other comprehensive income (loss) before reclassifications	(24)	1
Net losses (gains) reclassified from accumulated other comprehensive loss	1
Other comprehensive income (loss)	(25)	1
Ending balance	22	4
Gains (losses) on hedging activities
Changes in accumulated other comprehensive Income
Beginning balance	40	177
Other comprehensive income (loss) before reclassifications	(39)	87
Net losses (gains) reclassified from accumulated other comprehensive loss	1	30
Other comprehensive income (loss)	$ (40)	57
Ending balance		$ 234

Equity - Amounts Reclassified O

Equity - Amounts Reclassified Out Of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Pension and post-employment benefits
Significant amounts reclassified out of each component of AOCI
Amortization of actuarial losses and other	$ 22	$ 35
Less tax benefit	(8)	(10)
Total reclassifications, net of tax	14	25
Gains (losses) on hedging activities | Cost of products sold
Significant amounts reclassified out of each component of AOCI
(Gains) on designated cash flow hedges	(1)	(31)
Less tax expense		1
Total reclassifications, net of tax	$ (1)	$ (30)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Income Taxes
Effective tax rate (as a percent)	24.00%	27.00%
Reasonably possible amount that gross unrecognized tax benefits may change within the next twelve months, high end of range	$ 15

Legal Proceedings and Conting55

Legal Proceedings and Contingencies (Details) $ in Millions	1 Months Ended			3 Months Ended
	Nov. 30, 2014item	Sep. 30, 2014item	Aug. 31, 2013item	Mar. 31, 2016USD ($)item	Dec. 31, 2015USD ($)
Legal Proceedings and Contingencies
Recorded accrual balance for litigation | $				$ 166	$ 166
Number of individual putative class action lawsuit	5
Testosterone Replacement Therapy Products Liability Litigation
Legal Proceedings and Contingencies
Numbers of claims are consolidated for pre-trial purposes				3,400
Number of claims pending				185
Depakote
Legal Proceedings and Contingencies
Percentage of pending claims in US District Courts				90.00%
Number of claims pending				725
Depakote | Sidney Hillman Health Center of Rochester, et al. v. AbbVie Inc., et al.
Legal Proceedings and Contingencies
Number of healthcare benefit providers who filed lawsuits			3
HUMIRA patent infringement claim, NYU and Centocor | AndroGel Antitrust Litigation
Legal Proceedings and Contingencies
Number of generic companies with whom certain litigation related agreements were entered into				3
Number of individual plaintiff lawsuits				4
Number of purported class actions				6
HUMIRA patent infringement claim, NYU and Centocor | Niaspan
Legal Proceedings and Contingencies
Number of individual plaintiff lawsuits				4
Number of purported class actions				2
Allegation of proposed generic products infringing AbbVie's patents and seeking declaratory and injunctive relief | AndroGel Antitrust Litigation
Legal Proceedings and Contingencies
Number of generic companies with whom certain litigation related agreements were entered into		2

Segment Information (Details)

Segment Information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)segmentcustomer	Mar. 31, 2015USD ($)
Segment Information
Number of Operating Segments | segment	1
Number of principal customers | customer	3
Total net revenues	$ 5,958	$ 5,040
HUMIRA
Segment Information
Net revenues	3,577	3,111
IMBRUVICA
Segment Information
Net revenues	381
VIEKIRA
Segment Information
Net revenues	414	231
Lupron
Segment Information
Net revenues	190	192
Synagis
Segment Information
Net revenues	319	335
Synthroid
Segment Information
Net revenues	182	186
Creon
Segment Information
Net revenues	150	127
AndroGel
Segment Information
Net revenues	156	153
Kaletra
Segment Information
Net revenues	133	180
Sevoflurane
Segment Information
Net revenues	111	126
Duodopa
Segment Information
Net revenues	68	53
All other
Segment Information
Net revenues	$ 277	$ 346

Subsequent Events (Details)

Subsequent Events (Details) shares in Millions, $ in Millions	1 Months Ended
	Apr. 30, 2016USD ($)itemshares	Mar. 31, 2015USD ($)	Oct. 20, 2014USD ($)
Subsequent Events
Amount authorized under stock repurchase program		$ 5,000	$ 5,000
Subsequent Event
Subsequent Events
Amount authorized under stock repurchase program	$ 4,000
Subsequent Event | Stemcentrx
Subsequent Events
Number of early-stage clinical compounds in solid tumor indications acquired | item	4
Aggregate upfront consideration	$ 5,800
Shares issued as consideration | shares	62.5
Cash consideration paid	$ 2,000
Payments for achievement of certain milestones under an agreement	4,000
Subsequent Event | Collaborative arrangement | Boehringer Ingelheim
Subsequent Events
Initial upfront payment	595
Additional payment	$ 1,600