Cover Page
Cover Page - shares | 9 Months Ended | |
Oct. 02, 2020 | Oct. 16, 2020 | |
Entity Information [Line Items] | ||
Document type | 10-Q | |
Document quarterly report | true | |
Document period end date | Oct. 2, 2020 | |
Document transition report | false | |
Entity file number | 001-08089 | |
Entity registrant name | DANAHER CORPORATION | |
Amendment flag | false | |
Document fiscal year focus | 2020 | |
Document fiscal period focus | Q3 | |
Current fiscal year end date | --12-31 | |
Entity central index key | 0000313616 | |
Entity incorporation, state code | DE | |
Entity tax identification number | 59-1995548 | |
Entity address, address line one | 2200 Pennsylvania Avenue, N.W., Suite 800W | |
Entity address, city | Washington, | |
Entity address, state | DC | |
Entity address, postal zip code | 20037-1701 | |
City area code | 202 | |
Local phone number | 828-0850 | |
Entity current reporting status | Yes | |
Entity interactive data current | Yes | |
Entity filer category | Large Accelerated Filer | |
Entity small business | false | |
Entity emerging growth company | false | |
Entity shell company | false | |
Entity common stock, shares outstanding | 710,377,467 | |
Common stock | ||
Entity Information [Line Items] | ||
Title of 12(b) security | Common stock, $0.01 par value | |
Trading symbol | DHR | |
Security exchange name | NYSE | |
Preferred stock series A | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 4.75% Mandatory Convertible Preferred Stock, Series A, without par value | |
Trading symbol | DHR.PRA | |
Security exchange name | NYSE | |
Preferred stock series B | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 5.00% Mandatory Convertible Preferred Stock, Series B, without par value | |
Trading symbol | DHR.PRB | |
Security exchange name | NYSE | |
Floating rate senior notes due 2022 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | Floating Rate Senior Notes due 2022 | |
Trading symbol | DHR/22A | |
Security exchange name | NYSE | |
1.7% senior notes due 2022 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.700% Senior Notes due 2022 | |
Trading symbol | DHR/22 | |
Security exchange name | NYSE | |
1.7% senior notes due 2024 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.700% Senior Notes due 2024 | |
Trading symbol | DHR 24 | |
Security exchange name | NYSE | |
2.5% senior notes due 2025 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.500% Senior Notes due 2025 | |
Trading symbol | DHR/25 | |
Security exchange name | NYSE | |
0.2% senior notes due 2026 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.200% Senior Notes due 2026 | |
Trading symbol | DHR/26 | |
Security exchange name | NYSE | |
2.1% senior notes due 2026 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.100% Senior Notes due 2026 | |
Trading symbol | DHR 26 | |
Security exchange name | NYSE | |
1.2% senior notes due 2027 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.200% Senior Notes due 2027 | |
Trading symbol | DHR/27 | |
Security exchange name | NYSE | |
0.45% senior notes due 2028 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.450% Senior Notes due 2028 | |
Trading symbol | DHR/28 | |
Security exchange name | NYSE | |
2.5% senior notes due 2030 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.500% Senior Notes due 2030 | |
Trading symbol | DHR 30 | |
Security exchange name | NYSE | |
0.75% senior notes due 2031 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.750% Senior Notes due 2031 | |
Trading symbol | DHR/31 | |
Security exchange name | NYSE | |
1.35% senior notes due 2039 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.350% Senior Notes due 2039 | |
Trading symbol | DHR/39 | |
Security exchange name | NYSE | |
1.8% senior notes due 2049 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.800% Senior Notes due 2049 | |
Trading symbol | DHR/49 | |
Security exchange name | NYSE |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and equivalents | $ 5,687.7 | $ 19,912.3 |
Trade accounts receivable, less allowance for doubtful accounts of $131.8 and $103.7, respectively | 3,495.7 | 3,191.4 |
Inventories: | ||
Finished goods | 1,318.6 | 833.5 |
Work in process | 392.9 | 284.9 |
Raw materials | 710.2 | 509.9 |
Total inventories | 2,421.7 | 1,628.3 |
Prepaid expenses and other current assets | 936.1 | 864.6 |
Total current assets | 12,541.2 | 25,596.6 |
Property, plant and equipment, net of accumulated depreciation of $3,038.6 and $2,761.4, respectively | 3,052.3 | 2,302 |
Other long-term assets | 2,173.3 | 1,720.8 |
Goodwill | 34,269.7 | 22,712.5 |
Other intangible assets, net | 20,854.2 | 9,749.7 |
Total assets | 72,890.7 | 62,081.6 |
Current liabilities: | ||
Notes payable and current portion of long-term debt | 19.7 | 212.4 |
Trade accounts payable | 1,678.3 | 1,514.4 |
Accrued expenses and other liabilities | 4,340.4 | 3,205.3 |
Total current liabilities | 6,038.4 | 4,932.1 |
Other long-term liabilities | 7,073.7 | 5,350.9 |
Long-term debt | 21,806.1 | 21,516.7 |
Stockholders’ equity: | ||
Preferred stock, no par value, 15.0 million shares authorized; 1.65 million shares of 4.75% Mandatory Convertible Preferred Stock, Series A, issued and outstanding as of October 2, 2020 and December 31, 2019; 1.72 million shares of 5.00% Mandatory Convertible Preferred Stock, Series B, issued and outstanding as of October 2, 2020 and no shares issued or outstanding as of December 31, 2019 | 3,267.7 | 1,599.6 |
Common stock - $0.01 par value, 2.0 billion shares authorized; 850.6 million issued and 710.3 million outstanding as of October 2, 2020; 835.5 million issued and 695.5 million outstanding as of December 31, 2019 | 8.5 | 8.4 |
Additional paid-in capital | 9,618.1 | 7,564.6 |
Retained earnings | 26,087.8 | 24,166.3 |
Accumulated other comprehensive income (loss) | (1,021.1) | (3,068.3) |
Total Danaher stockholders’ equity | 37,961 | 30,270.6 |
Noncontrolling interests | 11.5 | 11.3 |
Total stockholders’ equity | 37,972.5 | 30,281.9 |
Total liabilities and stockholders’ equity | 72,890.7 | 62,081.6 |
Allowance for doubtful accounts | 131.8 | 103.7 |
Property, plant and equipment, net of accumulated depreciation | $ 3,038.6 | $ 2,761.4 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 2,000,000,000 | 2,000,000,000 |
Common stock, shares issued | 850,600,000 | 835,500,000 |
Common stock, shares outstanding | 710,300,000 | 695,500,000 |
Preferred stock | ||
Stockholders’ equity: | ||
Total stockholders’ equity | $ 3,267.7 | $ 1,599.6 |
Preferred stock, no par value | $ 0 | $ 0 |
Preferred stock, shares authorized | 15,000,000 | 15,000,000 |
Preferred stock | Preferred stock series A | ||
Stockholders’ equity: | ||
Preferred stock, shares issued | 1,650,000 | 1,650,000 |
Preferred stock, dividend rate, percent | 4.75% | 4.75% |
Preferred stock, shares outstanding | 1,650,000 | 1,650,000 |
Preferred stock | Preferred stock series B | ||
Stockholders’ equity: | ||
Preferred stock, shares issued | 1,720,000 | 1,720,000 |
Preferred stock, dividend rate, percent | 5.00% | 5.00% |
Preferred stock, shares outstanding | 1,720,000 | 1,720,000 |
Consolidated Condensed Statemen
Consolidated Condensed Statements Of Earnings - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |||
Income Statement [Abstract] | ||||||
Sales | $ 5,883.2 | $ 4,378 | $ 15,523.7 | $ 13,042.7 | ||
Cost of sales | (2,657.7) | (1,936.6) | (7,002.8) | (5,762.6) | ||
Gross profit | 3,225.5 | 2,441.4 | 8,520.9 | 7,280.1 | ||
Operating costs: | ||||||
Selling, general and administrative expenses | (1,795.3) | (1,382.5) | (4,939) | (4,140.2) | ||
Research and development expenses | (342.6) | (282.6) | (952.2) | (832.2) | ||
Operating profit | 1,087.6 | 776.3 | 2,629.7 | 2,307.7 | ||
Nonoperating income (expense): | ||||||
Other (expense) income, net | 6.4 | 4.2 | 4.2 | 14.3 | ||
Gain on sale of product lines | 0 | 0 | 454.6 | 0 | ||
Interest expense | (76.7) | (24) | (202.7) | (64.2) | ||
Interest income | 4.2 | 30.1 | 67.7 | 72 | ||
Earnings from continuing operations before income taxes | 1,021.5 | 786.6 | 2,953.5 | 2,329.8 | ||
Income taxes | (138) | (155.9) | (547.6) | (690.4) | ||
Net earnings from continuing operations | 883.5 | 630.7 | 2,405.9 | 1,639.4 | ||
Earnings from discontinued operations, net of income taxes | 0 | 37.3 | 0 | 93.7 | ||
Net earnings | 883.5 | 668 | 2,405.9 | 1,733.1 | ||
Mandatory convertible preferred stock dividends | (41.1) | (19.6) | (95.3) | (48.8) | ||
Net earnings attributable to common stockholders | $ 842.4 | $ 648.4 | $ 2,310.6 | $ 1,684.3 | ||
Net earnings per common share: | ||||||
Net earnings per common share from continuing operations, basic | $ 1.18 | $ 0.85 | $ 3.28 | [1] | $ 2.23 | |
Net earnings per common share from continuing operations, diluted | 1.16 | 0.84 | 3.22 | 2.20 | ||
Net earnings per common share from discontinued operations, basic | 0 | 0.05 | 0 | 0.13 | ||
Net earnings per common share from discontinued operations, diluted | 0 | 0.05 | 0 | 0.13 | ||
Net earnings per common share, basic | 1.18 | 0.90 | 3.28 | [1] | 2.36 | |
Net earnings per common share, diluted | $ 1.16 | $ 0.89 | $ 3.22 | $ 2.32 | [2] | |
Average common stock and common equivalent shares outstanding: | ||||||
Basic | 710.9 | 718.8 | 704.4 | 714.7 | ||
Diluted | 724.3 | 729.3 | 716.8 | 725.2 | ||
[1] | Net earnings per common share amounts for the relevant three-month periods do not add to the nine-month period amounts due to rounding. | |||||
[2] | Net earnings per common share amount does not add due to rounding. |
Consolidated Condensed Statem_2
Consolidated Condensed Statements Of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 883.5 | $ 668 | $ 2,405.9 | $ 1,733.1 |
Other comprehensive income (loss), net of income taxes: | ||||
Foreign currency translation adjustments | 922.8 | (235.8) | 1,845.6 | (293.1) |
Pension and postretirement plan benefit adjustments | 8.9 | 5.8 | 25 | 15.8 |
Unrealized gain on available-for-sale securities adjustments | 0 | 0.5 | 1 | 1.4 |
Cash flow hedge adjustments | (89.7) | (41.8) | 175.6 | (48.6) |
Total other comprehensive income (loss), net of income taxes | 842 | (271.3) | 2,047.2 | (324.5) |
Less: other comprehensive loss attributable to noncontrolling interest | 0 | 1.2 | 0 | 1.2 |
Comprehensive income attributable to Danaher | $ 1,725.5 | $ 397.9 | $ 4,453.1 | $ 1,409.8 |
Consolidated Condensed Statem_3
Consolidated Condensed Statement Of Stockholders' Equity - USD ($) $ in Millions | Total | Preferred stock | Common stock | Additional paid-in capital | Retained earnings | Retained earningsAdoption of accounting standards | Accumulated other comprehensive income (loss) | Noncontrolling interests |
Balance, beginning of period at Dec. 31, 2018 | $ 0 | $ 8.2 | $ 5,834.3 | $ 25,163 | $ 0 | $ (2,791.1) | $ 12.3 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of stock | 1,599.6 | 0.1 | 1,443.1 | |||||
Common stock-based award activity | 253.2 | |||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $39.2, $0.4, $42.2 and $8.5, respectively | 30.9 | |||||||
Sale of Envista Holdings Corporation Common Stock | (60) | |||||||
Net earnings | $ 1,733.1 | 1,733.1 | ||||||
Dividends declared for common stock | (366.1) | |||||||
Mandatory Convertible Preferred Stock cumulative dividends | (48.8) | |||||||
Sale of Envista Holdings Corporation Common Stock | 26.1 | 676.7 | ||||||
Other comprehensive income (loss) | (324.5) | (323.3) | ||||||
Change in noncontrolling interests | 4.3 | |||||||
Balance, end of period at Sep. 27, 2019 | 33,195.6 | 1,599.6 | 8.3 | 7,501.5 | 26,481.2 | (3,088.3) | 693.3 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Debt conversion, converted instrument, tax benefit | 8.5 | |||||||
Balance, beginning of period at Jun. 28, 2019 | 1,599.6 | 8.3 | 7,482.6 | 25,955 | 0 | (2,844.3) | 12 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of stock | 0 | 0 | 0 | |||||
Common stock-based award activity | 77.6 | |||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $39.2, $0.4, $42.2 and $8.5, respectively | 1.3 | |||||||
Sale of Envista Holdings Corporation Common Stock | (60) | |||||||
Net earnings | 668 | 668 | ||||||
Dividends declared for common stock | (122.2) | |||||||
Mandatory Convertible Preferred Stock cumulative dividends | (19.6) | |||||||
Sale of Envista Holdings Corporation Common Stock | 26.1 | 676.7 | ||||||
Other comprehensive income (loss) | (271.3) | (270.1) | ||||||
Change in noncontrolling interests | 4.6 | |||||||
Balance, end of period at Sep. 27, 2019 | 33,195.6 | 1,599.6 | 8.3 | 7,501.5 | 26,481.2 | (3,088.3) | 693.3 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Debt conversion, converted instrument, tax benefit | 0.4 | |||||||
Balance, beginning of period at Dec. 31, 2019 | 30,281.9 | 1,599.6 | 8.4 | 7,564.6 | 24,166.3 | (7.6) | (3,068.3) | 11.3 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of stock | 1,668.1 | 0.1 | 1,728.4 | |||||
Common stock-based award activity | 274.9 | |||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $39.2, $0.4, $42.2 and $8.5, respectively | 50.2 | |||||||
Sale of Envista Holdings Corporation Common Stock | 0 | |||||||
Net earnings | 2,405.9 | 2,405.9 | ||||||
Dividends declared for common stock | (381.5) | |||||||
Mandatory Convertible Preferred Stock cumulative dividends | (95.3) | |||||||
Sale of Envista Holdings Corporation Common Stock | 0 | 0 | ||||||
Other comprehensive income (loss) | 2,047.2 | 2,047.2 | ||||||
Change in noncontrolling interests | 0.2 | |||||||
Balance, end of period at Oct. 02, 2020 | 37,972.5 | 3,267.7 | 8.5 | 9,618.1 | 26,087.8 | (1,021.1) | 11.5 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Debt conversion, converted instrument, tax benefit | 42.2 | |||||||
Balance, beginning of period at Jul. 03, 2020 | 3,267.7 | 8.5 | 9,475.1 | 25,373.5 | $ 0 | (1,863.1) | 11.2 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of stock | 0 | 0 | 0 | |||||
Common stock-based award activity | 103.6 | |||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $39.2, $0.4, $42.2 and $8.5, respectively | 39.4 | |||||||
Sale of Envista Holdings Corporation Common Stock | 0 | |||||||
Net earnings | 883.5 | 883.5 | ||||||
Dividends declared for common stock | (128.1) | |||||||
Mandatory Convertible Preferred Stock cumulative dividends | (41.1) | |||||||
Sale of Envista Holdings Corporation Common Stock | 0 | 0 | ||||||
Other comprehensive income (loss) | 842 | 842 | ||||||
Change in noncontrolling interests | 0.3 | |||||||
Balance, end of period at Oct. 02, 2020 | 37,972.5 | $ 3,267.7 | $ 8.5 | $ 9,618.1 | $ 26,087.8 | $ (1,021.1) | $ 11.5 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Debt conversion, converted instrument, tax benefit | $ 39.2 |
Consolidated Condensed Statem_4
Consolidated Condensed Statements Of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Oct. 02, 2020 | Sep. 27, 2019 | |
Cash flows from operating activities: | ||
Net earnings | $ 2,405.9 | $ 1,733.1 |
Earnings from discontinued operations, net of income taxes | 0 | 93.7 |
Net earnings from continuing operations | 2,405.9 | 1,639.4 |
Noncash items: | ||
Depreciation | 464.8 | 420.5 |
Amortization of intangible assets | 801.6 | 469.3 |
Amortization of inventory step up | 417.2 | 0 |
Stock-based compensation expense | 137.1 | 117.5 |
Pretax gain on sale of product lines | (454.6) | 0 |
Change in trade accounts receivable, net | 211.4 | (22.3) |
Change in inventories | (243.7) | (164.9) |
Change in trade accounts payable | (107) | (48.6) |
Change in prepaid expenses and other assets | 45.9 | 235.1 |
Change in accrued expenses and other liabilities | 315.1 | 15.7 |
Total operating cash provided by continuing operations | 3,993.7 | 2,661.7 |
Total operating cash (used in) provided by discontinued operations | (7) | 178.7 |
Net operating cash provided by operating activities | 3,986.7 | 2,840.4 |
Cash flows from investing activities: | ||
Cash paid for acquisitions | (20,818.5) | (331.1) |
Payments for additions to property, plant and equipment | (475.2) | (456.5) |
Proceeds from sales of property, plant and equipment | 1.4 | 12.5 |
Payments for purchases of investments | (214.9) | (163.4) |
Proceeds from sale of product lines | 825.9 | 0 |
All other investing activities | 23.6 | 29.1 |
Total investing cash used in continuing operations | (20,657.7) | (909.4) |
Total investing cash used in discontinued operations | 0 | (62.6) |
Net operating cash used in investing activities | (20,657.7) | (972) |
Cash flows from financing activities: | ||
Proceeds from the issuance of common stock in connection with stock-based compensation | 125.2 | 115 |
Proceeds from the sale of common stock, net of issuance costs | 1,728.5 | 1,443.2 |
Proceeds from the sale of preferred stock, net of issuance costs | 1,668.1 | 1,599.6 |
Proceeds from the sale of Envista Holdings Corporation Common Stock, net of issuance costs | 0 | 643.4 |
Payment of dividends | (445.4) | (385) |
Net (repayments of) proceeds from borrowings (maturities of 90 days or less) | (3,339.3) | 744.1 |
Net proceeds from borrowings (maturities longer than 90 days) | 7,691.3 | 8,137.1 |
Net repayments of borrowings (maturities longer than 90 days) | (5,000) | (680.9) |
All other financing activities | (2.7) | (6) |
Net operating cash provided by financing activities | 2,425.7 | 11,610.5 |
Effect of exchange rate changes on cash and equivalents | 20.7 | (14.6) |
Net change in cash and equivalents | (14,224.6) | 13,464.3 |
Beginning balance of cash and equivalents | 19,912.3 | 787.8 |
Ending balance of cash and equivalents | 5,687.7 | 14,252.1 |
Supplemental disclosures: | ||
Cash interest payments | 234.8 | 112.9 |
Cash income tax payments | $ 644.1 | $ 494.8 |
General
General | 9 Months Ended |
Oct. 02, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General | GENERAL The Consolidated Condensed Financial Statements included herein have been prepared by Danaher Corporation (“Danaher” or the “Company”) without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). In this quarterly report, the terms “Danaher” or the “Company” refer to Danaher Corporation, Danaher Corporation and its consolidated subsidiaries, (unless otherwise indicated or the context otherwise requires) or the consolidated subsidiaries of Danaher Corporation, as the context requires. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted pursuant to SEC rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The Consolidated Condensed Financial Statements included herein should be read in conjunction with the financial statements as of and for the year ended December 31, 2019 and the Notes thereto included in the Company’s 2019 Annual Report on Form 10-K filed on February 21, 2020 (the “2019 Annual Report”). In the opinion of the Company, the accompanying financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly the financial position of the Company as of October 2, 2020 and December 31, 2019, its results of operations for the three and nine-month periods ended October 2, 2020 and September 27, 2019 and its cash flows for each of the nine-month periods then ended. Accounting Standards Recently Adopted —In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosures on fair value measurements by removing the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy and the policy for timing of such transfers. The ASU expands the disclosure requirements for Level 3 fair value measurements, primarily focused on changes in unrealized gains and losses included in other comprehensive income (loss). The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. On January 1, 2020, the Company adopted the ASU and the ASU did not have a significant impact on the Company’s Consolidated Condensed Financial Statements. Refer to Note 6 for the Company’s fair value measurement disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This may result in the earlier recognition of allowances for losses. The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which provided additional implementation guidance on the previously issued ASU. On January 1, 2020, the Company adopted the ASU using the modified retrospective transition method. The Company recorded a net decrease to beginning retained earnings of $8 million as of January 1, 2020 due to the cumulative impact of adopting Topic 326. The impact to retained earnings was primarily the result of an increase in the Company’s allowance for doubtful accounts as a result of Topic 326’s requirement to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. As a result of the adoption of the ASU, the Company’s allowance for doubtful accounts as of October 2, 2020 reflects the Company’s best estimate of the expected future losses for its accounts receivables based on the current economic conditions; however, as a result of the uncertainty caused by the coronavirus (COVID-19) pandemic and other factors, these estimates may change and future actual losses may differ from the Company’s estimates. The Company will continue to monitor economic conditions and will revise the estimates of the expected future losses for accounts receivable as necessary. Accounting Standards Not Yet Adopted —In August 2018, the FASB issued ASU No. 2018-14, Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which amends ASC 715, Compensation—Retirement Benefits , to add, remove and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The ASU is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. In August 2020, the FASB issued ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. The ASU includes amendments to the guidance on convertible instruments and the derivative scope exception for contracts in an entity’s own equity and simplifies the accounting for convertible instruments which include beneficial conversion features or cash conversion features by removing certain separation models in Subtopic 470-20. Additionally, the ASU will require entities to use the “if-converted” method when calculating diluted earnings per share for convertible instruments. The ASU is effective for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. Operating Leases —As of October 2, 2020 and December 31, 2019, operating lease right-of-use assets where the Company was the lessee were $906 million and $764 million, respectively, and are included within other long-term assets in the accompanying Consolidated Condensed Balance Sheets. The associated operating lease liabilities were $935 million and $797 million as of October 2, 2020 and December 31, 2019, respectively, and are included in accrued expenses and other liabilities and other long-term liabilities. Accumulated Other Comprehensive Income (Loss) —Accumulated other comprehensive income (loss) refers to certain gains and losses that under U.S. GAAP are included in comprehensive income (loss) but are excluded from net earnings as these amounts are initially recorded as an adjustment to stockholders’ equity. The changes in accumulated other comprehensive income (loss) by component are summarized below ($ in millions). Foreign currency translation adjustments generally relate to indefinite investments in non-U.S. subsidiaries, as well as the impact from the Company’s hedges of its net investment in foreign operations, including the Company’s cross-currency swap derivatives, net of any income tax impacts. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Three-Month Period Ended October 2, 2020: Balance, July 3, 2020 $ (1,250.5) $ (765.4) $ 0.3 $ 152.5 $ (1,863.1) Other comprehensive income (loss) before reclassifications: Increase (decrease) 908.9 — — (304.9) 604.0 Income tax impact 13.9 — — 47.8 61.7 Other comprehensive income (loss) before reclassifications, net of income taxes 922.8 — — (257.1) 665.7 Amounts reclassified from accumulated other comprehensive income (loss): Increase — 11.6 (a) — 167.5 (b) 179.1 Income tax impact — (2.7) — (0.1) (2.8) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 8.9 — 167.4 176.3 Net current period other comprehensive income (loss), net of income taxes 922.8 8.9 — (89.7) 842.0 Balance, October 2, 2020 $ (327.7) $ (756.5) $ 0.3 $ 62.8 $ (1,021.1) For the Three-Month Period Ended September 27, 2019: Balance, June 28, 2019 $ (2,155.4) $ (681.1) $ (1.0) $ (6.8) $ (2,844.3) Other comprehensive income (loss) before reclassifications: (Decrease) increase (226.8) — 0.6 (55.1) (281.3) Income tax impact (9.0) — (0.1) 13.3 4.2 Other comprehensive income (loss) before reclassifications, net of income taxes (235.8) — 0.5 (41.8) (277.1) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 7.5 (a) — — 7.5 Income tax impact — (1.7) — — (1.7) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 5.8 — — 5.8 Net current period other comprehensive income (loss), net of income taxes (235.8) 5.8 0.5 (41.8) (271.3) (c) Balance, September 27, 2019 $ (2,391.2) $ (675.3) $ (0.5) $ (48.6) (3,115.6) Less: accumulated other comprehensive income attributable to noncontrolling interest (27.3) Accumulated other comprehensive income attributable to controlling interest $ (3,088.3) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). (c) Accumulated other comprehensive income (loss) for the three-month period ended September 27, 2019 consists of $270.1 million of accumulated other comprehensive loss attributable to controlling interest and $1.2 million of accumulated other comprehensive loss attributable to noncontrolling interest. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Nine-Month Period Ended October 2, 2020: Balance, December 31, 2019 $ (2,173.3) $ (781.5) $ (0.7) $ (112.8) $ (3,068.3) Other comprehensive income (loss) before reclassifications: Increase (decrease) 1,848.0 — 1.2 (8.4) 1,840.8 Income tax impact (2.4) — (0.2) 3.3 0.7 Other comprehensive income (loss) before reclassifications, net of income taxes 1,845.6 — 1.0 (5.1) 1,841.5 Amounts reclassified from accumulated other comprehensive income (loss): Increase — 32.8 (a) — 184.5 (b) 217.3 Income tax impact — (7.8) — (3.8) (11.6) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 25.0 — 180.7 205.7 Net current period other comprehensive income (loss), net of income taxes 1,845.6 25.0 1.0 175.6 2,047.2 Balance, October 2, 2020 $ (327.7) $ (756.5) $ 0.3 $ 62.8 $ (1,021.1) For the Nine-Month Period Ended September 27, 2019: Balance, December 31, 2018 $ (2,098.1) $ (691.1) $ (1.9) $ — $ (2,791.1) Other comprehensive income (loss) before reclassifications: (Decrease) increase (286.0) — 1.8 (64.0) (348.2) Income tax impact (7.1) — (0.4) 15.4 7.9 Other comprehensive income (loss) before reclassifications, net of income taxes (293.1) — 1.4 (48.6) (340.3) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 20.7 (a) — — 20.7 Income tax impact — (4.9) — — (4.9) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 15.8 — — 15.8 Net current period other comprehensive income (loss), net of income taxes (293.1) 15.8 1.4 (48.6) (324.5) (c) Balance, September 27, 2019 $ (2,391.2) $ (675.3) $ (0.5) $ (48.6) (3,115.6) Less: accumulated other comprehensive income attributable to noncontrolling interest (27.3) Accumulated other comprehensive income attributable to controlling interest $ (3,088.3) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). (c) Accumulated other comprehensive income (loss) for the nine-month period ended September 27, 2019 consists of $323.3 million of accumulated other comprehensive loss attributable to controlling interest and $1.2 million of accumulated other comprehensive loss attributable to noncontrolling interest. |
Revenue (Notes)
Revenue (Notes) | 9 Months Ended |
Oct. 02, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | REVENUE The following tables present the Company’s revenues disaggregated by geographical region and revenue type for the three and nine-month periods ended October 2, 2020 and September 27, 2019 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenue. Life Sciences Diagnostics Environmental & Applied Solutions Total For the Three-Month Period Ended October 2, 2020: Geographical region: North America $ 1,100.6 $ 797.8 $ 481.0 $ 2,379.4 Western Europe 779.7 349.2 245.1 1,374.0 Other developed markets 193.4 103.6 29.2 326.2 High-growth markets (a) 848.8 638.5 316.3 1,803.6 Total $ 2,922.5 $ 1,889.1 $ 1,071.6 $ 5,883.2 Revenue type: Recurring $ 2,075.5 $ 1,541.6 $ 609.9 $ 4,227.0 Nonrecurring 847.0 347.5 461.7 1,656.2 Total $ 2,922.5 $ 1,889.1 $ 1,071.6 $ 5,883.2 For the Three-Month Period Ended September 27, 2019: Geographical region: North America $ 637.2 $ 602.9 $ 465.5 $ 1,705.6 Western Europe 444.1 257.9 252.8 954.8 Other developed markets 149.2 108.4 32.5 290.1 High-growth markets (a) 465.1 632.7 329.7 1,427.5 Total $ 1,695.6 $ 1,601.9 $ 1,080.5 $ 4,378.0 Revenue type: Recurring $ 1,084.3 $ 1,343.2 $ 595.2 $ 3,022.7 Nonrecurring 611.3 258.7 485.3 1,355.3 Total $ 1,695.6 $ 1,601.9 $ 1,080.5 $ 4,378.0 Life Sciences Diagnostics Environmental & Applied Solutions Total For the Nine-Month Period Ended October 2, 2020: Geographical region: North America $ 2,721.1 $ 2,243.5 $ 1,430.1 $ 6,394.7 Western Europe 1,962.9 974.3 720.4 3,657.6 Other developed markets 524.4 297.9 88.4 910.7 High-growth markets (a) 2,006.9 1,660.6 893.2 4,560.7 Total $ 7,215.3 $ 5,176.3 $ 3,132.1 $ 15,523.7 Revenue type: Recurring $ 5,135.0 $ 4,305.0 $ 1,809.3 $ 11,249.3 Nonrecurring 2,080.3 871.3 1,322.8 4,274.4 Total $ 7,215.3 $ 5,176.3 $ 3,132.1 $ 15,523.7 For the Nine-Month Period Ended September 27, 2019: Geographical region: North America $ 1,878.1 $ 1,836.3 $ 1,403.0 $ 5,117.4 Western Europe 1,363.7 828.5 774.1 2,966.3 Other developed markets 436.1 295.6 92.7 824.4 High-growth markets (a) 1,357.2 1,796.6 980.8 4,134.6 Total $ 5,035.1 $ 4,757.0 $ 3,250.6 $ 13,042.7 Revenue type: Recurring $ 3,264.4 $ 4,047.9 $ 1,770.2 $ 9,082.5 Nonrecurring 1,770.7 709.1 1,480.4 3,960.2 Total $ 5,035.1 $ 4,757.0 $ 3,250.6 $ 13,042.7 (a) The Company defines high-growth markets as developing markets of the world experiencing extended periods of accelerated growth in gross domestic product and infrastructure which include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan, Australia and New Zealand). The Company defines developed markets as all markets that are not high-growth markets. The Company sells equipment to customers as well as consumables, software licenses and services, some of which customers purchase on a recurring basis. Consumables sold for use with the equipment sold by the Company are typically critical to the use of the equipment and are typically used on a one-time or limited basis, requiring frequent replacement in the customer’s operating cycle. Examples of these consumables include reagents used in diagnostic tests, filters used in filtration, separation and purification processes and cartridges for marking and coding equipment. Additionally, some of the Company’s consumables are used on a standalone basis, such as water treatment solutions. The Company separates its goods and services between those sold on a recurring basis and those sold on a nonrecurring basis. Recurring revenue includes revenue from consumables, services, software licenses recognized over time, software-as-a-service licenses, sales-and-usage based royalties and operating-type leases (“OTLs”). Nonrecurring revenue includes sales from equipment, software licenses recognized at a point in time and sales-type leases (“STLs”). OTLs and STLs are included in the above revenue amounts. For the three-month periods ended October 2, 2020 and September 27, 2019, lease revenue was $112 million and $108 million, respectively. For the nine-month periods ended October 2, 2020 and September 27, 2019, lease revenue was $332 million and $320 million, respectively. Remaining performance obligations related to Topic 606, Revenue from Contracts with Customers, represent the aggregate transaction price allocated to performance obligations with an original contract term greater than one year which are fully or partially unsatisfied at the end of the period. As of October 2, 2020, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $2.8 billion. The Company expects to recognize revenue on approximately 51% of the remaining performance obligations over the next 12 months, 22% over the subsequent 12 months, and the remainder recognized thereafter. The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (“contract assets”) and deferred revenue, customer deposits and billings in excess of revenue recognized (“contract liabilities”) on the Consolidated Condensed Balance Sheets. Most of the Company’s long-term contracts are billed as work progresses in accordance with the contract terms and conditions, either at periodic intervals or upon achievement of certain milestones. Often this results in billing occurring subsequent to revenue recognition resulting in contract assets. Contract assets are generally classified as other current assets in the Consolidated Condensed Balance Sheets. The balance of contract assets as of October 2, 2020 and December 31, 2019 was $67 million and $77 million, respectively. The Company often receives cash payments from customers in advance of the Company’s performance resulting in contract liabilities. These contract liabilities are classified as either current or long-term in the Consolidated Condensed Balance Sheets based on the timing of when the Company expects to recognize revenue. As of October 2, 2020 and December 31, 2019, contract liabilities were approximately $1.3 billion and $806 million, respectively, and are included within accrued expenses and other liabilities and other long-term liabilities in the accompanying Consolidated Condensed Balance Sheets. The increase in the contract liability balance during the nine-month period ended October 2, 2020 was primarily a result of the Cytiva Acquisition (as defined below) and cash payments received in advance of satisfying performance obligations, partially offset by revenue recognized during the year that was included in the opening contract liability balance. Revenue recognized during the nine-month periods ended October 2, 2020 and September 27, 2019 that was included in the contract liability balance on December 31, 2019 and December 31, 2018 was $537 million and $497 million, respectively. Contract assets and liabilities are reported on the accompanying Consolidated Condensed Balance Sheets on a contract-by-contract basis. |
Acquisitions
Acquisitions | 9 Months Ended |
Oct. 02, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | ACQUISITIONS For a description of the Company’s acquisition activity for the year ended December 31, 2019, reference is made to the financial statements as of and for the year ended December 31, 2019 and Note 3 thereto included in the Company’s 2019 Annual Report. The Company continually evaluates potential acquisitions that either strategically fit with the Company’s existing portfolio or expand the Company’s portfolio into a new and attractive business area. The Company has completed a number of acquisitions that have been accounted for as purchases and have resulted in the recognition of goodwill in the Company’s financial statements. This goodwill arises because the purchase prices for these businesses reflect a number of factors including the future earnings and cash flow potential of these businesses, the multiple to earnings, cash flow and other factors at which similar businesses have been purchased by other acquirers, the competitive nature of the processes by which the Company acquired the businesses, avoidance of the time and costs which would be required (and the associated risks that would be encountered) to enhance the Company’s existing product offerings to key target markets and enter into new and profitable businesses and the complementary strategic fit and resulting synergies these businesses bring to existing operations. The Company makes an initial allocation of the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. The Company obtains this information during due diligence and through other sources. In the months after closing, as the Company obtains additional information about these assets and liabilities, including through tangible and intangible asset appraisals, and learns more about the newly acquired business, it is able to refine the estimates of fair value and more accurately allocate the purchase price. Only facts and circumstances that existed as of the acquisition date are considered for subsequent adjustment. The Company is continuing to evaluate certain pre-acquisition contingencies associated with its 2020 acquisitions (including the acquisition of Cytiva, as described below) and is also in the process of obtaining valuations of certain acquisition-related assets and liabilities in connection with these acquisitions. The Company will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required. On March 31, 2020, the Company acquired the Biopharma business of General Electric Company’s (“GE”) Life Sciences division, now known as Cytiva, for a cash purchase price of approximately $20.7 billion (net of approximately $0.1 billion of acquired cash) and the assumption of approximately $0.4 billion of pension liabilities (the “Cytiva Acquisition”). Cytiva is a leading provider of instruments, consumables and software that support the research, discovery, process development and manufacturing workflows of biopharmaceutical drugs. Cytiva is included in the Company’s Life Sciences segment results beginning in the second quarter of 2020. The acquisition has provided and is expected to provide additional sales and earnings growth opportunities for the Company’s Life Sciences segment by expanding the business’ geographic and product line diversity, including new product and service offerings that complement the Company’s current biologics workflow solutions. As a condition to obtaining certain regulatory approvals for the closing of the transaction, the Company was required to divest certain of its existing product lines in the Life Sciences segment that in the aggregate generated revenues of approximately $170 million in 2019. On April 30, 2020, the Company completed the sale of these product lines for a cash purchase price, net of cash transferred and transaction costs, of $826 million and recognized a pretax gain on sale of $455 million ($305 million after-tax or $0.42 per diluted common share) in the second quarter of 2020. The divestiture of these product lines did not represent a strategic shift with a major effect on the Company’s operations and financial results and therefore will not be reported as a discontinued operation. The Company financed the Cytiva Acquisition with approximately $3.0 billion of proceeds from the March 1, 2019 underwritten public offerings of its Common Stock and Series A Mandatory Convertible Preferred Stock (“MCPS Series A”), approximately $10.8 billion of proceeds from the 2019 issuance of euro-denominated and U.S. dollar-denominated long-term debt, and approximately $6.9 billion from the aggregate of proceeds from commercial paper borrowings, borrowings under the Company’s Five-Year Facility (as defined below) and cash on hand. The Company preliminarily recorded approximately $10.2 billion of goodwill related to the Cytiva Acquisition. In addition to the Cytiva Acquisition, during the nine-month period ended October 2, 2020, the Company acquired one other business for total consideration of $104 million in cash, net of cash acquired. The business acquired complements an existing unit of the Environmental & Applied Solutions segment. The Company preliminarily recorded an aggregate of $95 million of goodwill related to this acquisition. The aggregate annual sales of the two businesses acquired in 2020 at the time of their acquisition, in each case based on the companies’ revenues for its last completed fiscal year prior to the acquisition, were approximately $3.3 billion. The following summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for the nine-month period ended October 2, 2020 ($ in millions): Cytiva Other Total Trade accounts receivable $ 481.7 $ 1.4 $ 483.1 Inventories 939.2 — 939.2 Property, plant and equipment 688.8 — 688.8 Goodwill 10,206.7 94.7 10,301.4 Other intangible assets, primarily technology, customer relationships and trade names 10,655.5 16.4 10,671.9 Trade accounts payable (248.8) (0.4) (249.2) Pension liabilities (422.8) — (422.8) Deferred tax liabilities (1,196.5) — (1,196.5) Other assets and liabilities, net (389.1) (8.3) (397.4) Net cash consideration $ 20,714.7 $ 103.8 $ 20,818.5 Pro Forma Financial Information The unaudited pro forma information for the periods set forth below gives effect to the 2020 and 2019 acquisitions as if they had occurred as of January 1, 2019. The pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisitions been consummated as of that time ($ in millions, except per share amounts): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Sales $ 5,895.2 $ 5,113.7 $ 16,343.9 $ 15,247.8 Net earnings from continuing operations 1,064.0 719.7 2,574.1 1,545.0 Diluted net earnings per common share from continuing operations (a) 1.41 0.96 3.46 2.04 (a) Diluted net earnings per common share from continuing operations is calculated by adding the interest on the Company’s LYONs to net earnings from continuing operations and deducting the MCPS dividends from net earnings from continuing operations. The 2019 unaudited pro forma sales and net earnings set forth above were adjusted to include the pretax impact of $43 million and $480 million for the three and nine-month periods ended September 27, 2019, respectively, of non-recurring acquisition date fair value adjustments to inventory and deferred revenue related to the Cytiva Acquisition. The 2020 unaudited pro forma sales and net earnings from continuing operations were adjusted to exclude the impact of these items. In addition, acquisition-related transaction costs of $30 million for the three-month period ended September 27, 2019 and $59 million and $63 million for the nine-month periods ended October 2, 2020 and September 27, 2019, respectively, associated with the Cytiva Acquisition were excluded from pro forma net earnings from continuing operations. The pretax gain of $455 million ($305 million after-tax or $0.42 per diluted common share) for the nine-month period ended October 2, 2020 related to the divestiture of certain product lines that was required as a condition to obtaining certain regulatory approvals for the closing of the Cytiva Acquisition was also excluded from the 2020 pro forma net earnings from continuing operations. |
Discontinued Operations (Notes)
Discontinued Operations (Notes) | 9 Months Ended |
Oct. 02, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | DISCONTINUED OPERATIONS On December 18, 2019, Danaher completed the separation (the “Separation”) of Envista Holdings Corporation (“Envista”). For additional details on the Separation, reference is made to the financial statements as of and for the year ended December 31, 2019 and Note 4 thereto included in the Company’s 2019 Annual Report. The accounting requirements for reporting the Separation of Envista as a discontinued operation were met when the Separation was completed. Accordingly, the accompanying Consolidated Condensed Financial Statements for all periods presented reflect this business as a discontinued operation. In connection with the Separation, Danaher and Envista entered into various agreements to effect the disposition and provide a framework for their relationship after the Separation, including a separation agreement, transition services agreement, employee matters agreement, tax matters agreement, intellectual property matters agreement and Danaher Business System license agreement. These agreements provide for the allocation between Danaher and Envista of assets, employees, liabilities and obligations (including investments, property and employee benefits and tax related assets and liabilities) attributable to periods prior to, at and after Envista’s separation from Danaher and govern certain relationships between Danaher and Envista after the Separation. In addition, Danaher is also party to various commercial agreements with Envista entities. The amounts paid and received by Danaher for transition services provided under the above agreements as well as sales and purchases to and from Envista were not material to the Company’s results of operations for the three and nine-month periods ended October 2, 2020. The key components of income from discontinued operations for the three and nine-month periods ended September 27, 2019 were as follows ($ in millions): Three-Month Period Ended Nine-Month Period Ended Sales $ 659.3 $ 2,031.1 Cost of sales (292.3) (907.4) Selling, general and administrative expenses (272.2) (869.7) Research and development expenses (36.3) (119.3) Other income 0.2 1.6 Interest expense (2.3) (6.0) Earnings from discontinued operations before income taxes 56.4 130.3 Income taxes (13.2) (30.7) Net earnings, net of income taxes 43.2 99.6 Net earnings attributable to noncontrolling interest (5.9) (5.9) Earnings from discontinued operations, net of income taxes $ 37.3 $ 93.7 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Oct. 02, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS The following is a rollforward of the Company’s goodwill ($ in millions): Balance, December 31, 2019 $ 22,712.5 Attributable to 2020 acquisitions 10,301.4 Attributable to 2020 divestitures (180.5) Adjustments due to finalization of purchase price allocations (3.0) Foreign currency translation and other 1,439.3 Balance, October 2, 2020 $ 34,269.7 The carrying value of goodwill by segment is summarized as follows ($ in millions): October 2, 2020 December 31, 2019 Life Sciences $ 24,866.5 $ 13,471.8 Diagnostics 6,951.6 6,901.2 Environmental & Applied Solutions 2,451.6 2,339.5 Total $ 34,269.7 $ 22,712.5 The increase in the goodwill balance of the Life Sciences segment in the nine-month period ended October 2, 2020 is a result of the Cytiva Acquisition. Measurement period adjustments since acquisition decreased the goodwill recognized for the Cytiva Acquisition by approximately $1.3 billion, as the initial allocation of the purchase price was adjusted to allocate additional purchase price to technology, customer relationships and trade names partially offset by related deferred tax liabilities. Refer to Note 3 for more detail. The Company has not identified any “triggering” events which indicate an impairment of goodwill in 2020. Finite-lived intangible assets are amortized over their legal or estimated useful life. The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets ($ in millions): October 2, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangibles: Patents and technology $ 11,944.3 $ (1,329.4) $ 2,712.7 $ (934.1) Customer relationships, trade names and other intangibles 8,942.3 (3,013.3) 6,367.4 (2,612.3) Total finite-lived intangibles 20,886.6 (4,342.7) 9,080.1 (3,546.4) Indefinite-lived intangibles: Trademarks and trade names 4,310.3 — 4,216.0 — Total intangibles $ 25,196.9 $ (4,342.7) $ 13,296.1 $ (3,546.4) During the nine-month period ended October 2, 2020, the Company acquired finite-lived intangible assets, consisting primarily of developed technology, customer relationships and trade names, with a weighted average life of 17 years primarily as a result of the Cytiva Acquisition. Refer to Note 3 for additional information on the intangible assets acquired. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Oct. 02, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTSAccounting standards define fair value based on an exit price model, establish a framework for measuring fair value where the Company’s assets and liabilities are required to be carried at fair value and provide for certain disclosures related to the valuation methods used within a valuation hierarchy as established within the accounting standards. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, or other observable characteristics for the asset or liability, including interest rates, yield curves and credit risks, or inputs that are derived principally from, or corroborated by, observable market data through correlation. Level 3 inputs are unobservable inputs based on the Company’s assumptions. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety. A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions): Balance, October 2, 2020 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 29.6 $ — $ 29.6 $ — Investment in equity securities 235.2 16.0 — — Cross-currency swap derivative contracts 35.9 — 35.9 — Liabilities: Cross-currency swap derivative contracts 120.2 — 120.2 — Deferred compensation plans 98.8 — 98.8 — Balance, December 31, 2019 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 33.7 $ — $ 33.7 $ — Investment in equity securities 110.8 — — — Cross-currency swap derivative contracts 25.7 — 25.7 — Liabilities: Cross-currency swap derivative contracts 111.7 — 111.7 — Deferred compensation plans 70.4 — 70.4 — Available-for-sale debt securities, which are included in other long-term assets in the accompanying Consolidated Condensed Balance Sheets, are measured at fair value using quoted prices reported by investment brokers and dealers based on the underlying terms of the security and comparison to similar securities traded on an active market. As of October 2, 2020, available-for-sale debt securities primarily include U.S. Treasury Notes and corporate debt securities, which are valued based on instruments with similar terms traded on an active market. The Company’s investments in equity securities consist of investments in publicly traded equity securities and investments in non-marketable equity securities. The publicly traded securities are classified as Level 1 in the fair value hierarchy as they are measured based on quotes in active markets. For the non-marketable equity securities, the Company estimates the fair value of the investments in equity securities based on the measurement alternative and adjusts for impairments and observable price changes with a same or similar security from the same issuer within net earnings (the “Fair Value Alternative”). The Company’s investments in these equity securities are not classified in the fair value hierarchy due to the use of these measurement methods. Additionally, the Company is a limited partner in a partnership that invests in early-stage companies. While the partnership records these investments at fair value, the Company’s investment in the partnership is accounted for under the equity method of accounting and is not subject to fair value measurement disclosures. During the three and nine-month periods ended October 2, 2020, the Company recorded unrealized gains of $3 million and unrealized losses of $10 million, respectively, related to changes in the fair value of these investments which is reflected in other (expense) income, net in the Company’s Consolidated Condensed Statements of Earnings. No significant realized or unrealized gains or losses were recorded in the three and nine-month periods ended September 27, 2019 with respect to these investments. The cross-currency swap derivative contracts are used to partially hedge the Company’s net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the Danish kroner, Japanese yen, euro and Swiss franc. The Company also uses cross-currency swap derivative contracts to hedge the exchange rate exposure from long-term debt issuances in a foreign currency other than the functional currency of the borrower. The cross-currency swap derivative contracts are classified as Level 2 in the fair value hierarchy as they are measured using the income approach with the relevant interest rates and foreign currency current exchange rates and forward curves as inputs. Refer to Note 8 for additional information. The Company has established nonqualified contribution and deferred compensation programs that permit the Company to make tax-deferred contributions to officers and certain other employees, and also permit directors, officers and certain other employees to voluntarily defer taxation on a portion of their compensation. All amounts contributed or deferred under such plans are unfunded, unsecured obligations of the Company and are presented as a component of the Company’s compensation and benefits accrual included in other long-term liabilities in the accompanying Consolidated Condensed Balance Sheets. Non-director participants may choose among alternative earning rates for the amounts they defer, which are primarily based on investment options within the Company’s 401(k) program. Changes in the deferred compensation liability under these programs are recognized based on changes in the fair value of the participants’ accounts, which are based on the applicable earnings rates. Amounts deferred by directors and amounts unilaterally contributed to participant accounts by the Company are deemed invested in the Company’s common stock and future distributions of such contributions (as well as future distributions of any voluntary deferrals allocated at any time to the Danaher common stock investment option) will be made solely in shares of Company common stock, and therefore are not reflected in the above amounts. Fair Value of Financial Instruments The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions): October 2, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Available-for-sale debt securities $ 29.6 $ 29.6 $ 33.7 $ 33.7 Investment in equity securities 235.2 235.2 110.8 110.8 Cross-currency swap derivative contracts 35.9 35.9 25.7 25.7 Liabilities: Cross-currency swap derivative contracts 120.2 120.2 111.7 111.7 Notes payable and current portion of long-term debt 19.7 19.7 212.4 212.4 Long-term debt 21,806.1 23,019.1 21,516.7 21,896.9 As of October 2, 2020 and December 31, 2019, available-for-sale debt securities and cross-currency swap derivative contracts were categorized as Level 2 and short and long-term borrowings were categorized as Level 1. The fair value of long-term borrowings was based on quoted market prices. The difference between the fair value and the carrying amounts of long-term borrowings (other than the Company’s Liquid Yield Option Notes due 2021 (the “LYONs”)) is attributable to changes in market interest rates and/or the Company’s credit ratings subsequent to the incurrence of the borrowing. In the case of the LYONs, differences in the fair value from the carrying value are attributable to changes in the price of the Company’s common stock due to the LYONs’ conversion features. The fair values of borrowings with original maturities of one year or less, as well as cash and cash equivalents, trade accounts receivable, net and trade accounts payable approximate their carrying amounts due to the short-term maturities of these instruments. |
Financing
Financing | 9 Months Ended |
Oct. 02, 2020 | |
Debt Disclosure [Abstract] | |
Financing | FINANCING As of October 2, 2020, the Company was in compliance with all of its debt covenants. The components of the Company’s debt were as follows ($ in millions): October 2, 2020 December 31, 2019 Euro-denominated commercial paper (€1.6 billion and €4.6 billion, respectively) $ 1,860.8 $ 5,146.2 Zero-coupon LYONs due 2021 26.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 284.6 275.8 1.7% senior unsecured notes due 2022 (€800 million aggregate principal amount) (the “2022 Euronotes”) 935.5 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 292.4 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.8 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 587.3 558.9 1.7% senior unsecured notes due 2024 (€900.0 million aggregate principal amount) (the “2024 Euronotes”) 1,049.4 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.6 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 934.0 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.6 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,455.5 1,392.3 2.1% senior unsecured notes due 2026 (€800.0 million aggregate principal amount) (the “2026 Euronotes”) 933.3 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 291.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 698.4 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,453.6 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 231.8 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.6 794.8 2.5% senior unsecured notes due 2030 (€800.0 million aggregate principal amount) (the “2030 Euronotes”) 936.8 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 2,037.0 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 503.1 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,446.6 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 889.2 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 868.6 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.6 890.2 Other 35.7 76.3 Total debt 21,825.8 21,729.1 Less: currently payable 19.7 212.4 Long-term debt $ 21,806.1 $ 21,516.7 For additional details regarding the Company’s debt financing, refer to Note 11 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. The Company has historically satisfied any short-term liquidity needs that are not met through operating cash flow and available cash primarily through issuances of commercial paper under its U.S. dollar and euro-denominated commercial paper programs. The Company’s $5.0 billion unsecured, multi-year revolving credit facility with a syndicate of banks that expires on August 24, 2024 (the “Five-Year Facility”) and the Company’s $2.5 billion 364-day unsecured revolving credit facility with a syndicate of banks (the “364-Day Facility” and collectively with the Five-Year Facility, the “Credit Facilities”) that expires on June 4, 2021 (the “Scheduled Termination Date”) are available for direct borrowings and provide support for the commercial paper programs (on June 5, 2020, the 364-Day Facility replaced the $5.0 billion 364-day unsecured revolving credit facility with a syndicate of banks that was scheduled to expire on August 26, 2020 (the “Superseded 364-Day Facility”)). Given the adverse impact of COVID-19 on the availability of new borrowings in the commercial paper markets late in the first quarter and in the second quarter of 2020, the Company borrowed under the Five-Year Facility and the Superseded 364-Day Facility during the first and second quarters of 2020. Specifically, on March 24, 2020, the Company borrowed $2.5 billion under the Five-Year Facility to fund a portion of the Cytiva Acquisition and for general corporate purposes, at an annual interest rate of 1.7% through March 31, 2020 and 1.9% beginning April 1, 2020. On April 7, 2020, the Company borrowed $2.5 billion under the Superseded 364-Day Facility for general corporate purposes at an annual interest rate of 2.3%. On May 15, 2020, the Company repaid the borrowings under the Superseded 364-Day Facility and $1.25 billion of outstanding borrowings under the Five-Year Facility. On September 24, 2020, the Company repaid the remaining $1.25 billion of outstanding borrowings under the Five-Year Facility. As of October 2, 2020, the Company was in compliance with all covenants under the Credit Facilities. The Company expects to limit borrowings under the Five-Year Facility and 364-Day Facility to amounts that would leave sufficient borrowing capacity under the facilities so that it could borrow, if needed, to repay all of the outstanding commercial paper as it matures. On October 6, 2020, the Company notified the holders of the 2022 Euronotes that it has called for redemption all of the €800 million aggregate principal amount of the 2022 Euronotes and intends to redeem the 2022 Euronotes on November 5, 2020. The Company has classified the 2022 Euronotes, LYONs, the 2021 Yen Notes and approximately $1.9 billion of its borrowings outstanding under the commercial paper programs as of October 2, 2020 as long-term debt in the accompanying Consolidated Condensed Balance Sheet as the Company had the intent and ability, as supported by availability under the Five-Year Facility and the Company’s fourth quarter long-term debt issuance (refer to Note 16), to refinance these borrowings for at least one year from the balance sheet date. As of October 2, 2020, borrowings outstanding under the Company’s euro-denominated commercial paper program had a weighted average annual interest rate of negative 0.08% and a weighted average remaining maturity of approximately 60 days. Debt discounts, premiums and debt issuance costs totaled $116 million and $112 million as of October 2, 2020 and December 31, 2019, respectively, and have been netted against the aggregate principal amounts of the related debt in the components of debt table above. 2020 Debt Issuances On March 30, 2020 and April 8, 2020, Danaher Corporation completed underwritten public offerings of senior unsecured Euronotes due 2024, 2026 and 2030 (collectively the “Notes”). The following summarizes the key terms of the offerings in aggregate (€ in millions): Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 The Company received net proceeds from the notes issued on March 30, 2020, after underwriting discounts and commissions and offering expenses, of approximately €1.7 billion (approximately $1.9 billion based on currency exchange rates as of the date of the pricing of the notes). The Company received net proceeds from the notes issued on April 8, 2020, after underwriting discounts and commissions and offering expenses, of €754 million ($816 million based on currency exchange rates as of the date of the pricing of the notes). Proceeds from these offerings have been and will be used for general corporate purposes, including repayment of a portion of the Company’s outstanding commercial paper borrowings as they mature and repayment of amounts borrowed under the Company’s Credit Facilities. On October 6, 2020 (during the Company’s fourth quarter), the Company completed the underwritten public offering of $1.0 billion aggregate principal amount of 2.6% senior unsecured notes due 2050. The Company received net proceeds from the notes, after underwriting discounts and commissions and offering expenses, of $980 million. Proceeds from this offering will be used for general corporate purposes, including the redemption of the 2022 Euronotes. Credit Facilities For a description of the Five-Year Facility, please see the Company’s 2019 Annual Report. On June 5, 2020, the Company entered into the 364-Day Facility. The Company may elect, upon the payment of a fee equal to 0.75% of the principal amount of the loans then outstanding and upon the satisfaction of certain conditions, to convert any loans outstanding on the Scheduled Termination Date into term loans that are due and payable one year following the Scheduled Termination Date. Borrowings under the 364-Day Facility bear interest as follows: (1) Eurodollar Rate Loans (as defined in the 364-Day Facility) bear interest at a variable rate per annum equal to the London inter-bank offered rate plus a margin of between 90.0 and 127.5 basis points, depending on Danaher’s long-term debt credit rating; and (2) Base Rate Loans (as defined in the 364-Day Facility) bear interest at a variable rate per annum equal to the highest of (a) the Federal funds rate (as published by the Federal Reserve Bank of New York from time to time) plus 0.5%, (b) Bank of America’s “prime rate” as publicly announced from time to time and (c) the Eurodollar Rate (as defined in the 364-Day Facility) plus 1.0%, plus in each case a margin of between 0.0 and 27.5 basis points depending on Danaher’s long-term debt credit rating. In addition, Danaher is required to pay a per annum facility fee of between 10.0 and 22.5 basis points (depending on Danaher’s long-term debt credit rating) based on the aggregate commitments under the 364-Day Facility, regardless of usage. The Company’s obligations under the 364-Day Facility are unsecured. The Company has unconditionally and irrevocably guaranteed the obligations of each of its subsidiaries in the event a subsidiary is named a borrower under the 364-Day Facility. The 364-Day Facility contains customary representations, warranties, conditions precedent, events of default, indemnities and affirmative and negative covenants. The 364-Day Facility requires the Company to maintain a Consolidated Leverage Ratio (as defined in the 364-Day Facility) of 0.65 to 1.00 or less. Borrowings under the 364-Day Facility are prepayable at the Company’s option at any time in whole or in part without premium or penalty. Guarantors of Debt The Company has guaranteed long-term debt and commercial paper issued by certain of its wholly-owned subsidiaries. The 2022 Euronotes, Floating Rate 2022 Euronotes, 2025 Euronotes, 2027 Euronotes and euro-denominated commercial paper were issued by DH Europe Finance S.A. (“Danaher International”). The 2022 Biopharma Notes, 2024 Biopharma Notes, 2026 Biopharma Euronotes, 2028 Biopharma Euronotes, 2029 Biopharma Notes, 2031 Biopharma Euronotes, 2039 Biopharma Euronotes, 2049 Biopharma Euronotes, 2049 Biopharma Notes and euro-denominated commercial paper were issued by DH Europe Finance II S.a.r.l. (“Danaher International II”). The 2023 CHF Bonds and 2028 CHF Bonds were issued by DH Switzerland Finance S.A. (“Danaher Switzerland”). The 2021 Yen Notes, 2027 Yen Notes and 2032 Yen Notes were issued by DH Japan Finance S.A. (“Danaher Japan”). Each of Danaher International, Danaher International II, Danaher Switzerland and Danaher Japan are wholly-owned finance subsidiaries of Danaher Corporation. All of the outstanding and future securities issued by each of these entities are or will be fully and unconditionally guaranteed by the Company and these guarantees rank on parity with the Company’s unsecured and unsubordinated indebtedness . LYONs Redemption |
Hedging Transactions And Deriva
Hedging Transactions And Derivative Financial Instruments (Notes) | 9 Months Ended |
Oct. 02, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Hedging Transactions and Derivative Financial Instruments | HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTSThe Company uses cross-currency swap derivative contracts to partially hedge its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the Danish kroner, Japanese yen, euro and Swiss franc. The cross-currency swap derivative contracts are agreements to exchange fixed-rate payments in one currency for fixed-rate payments in another currency. As of October 2, 2020, the Company had $2.0 billion, including $1.0 billion entered into during the three-month period ended October 2, 2020, of cross-currency swap derivative contracts outstanding as hedges of its net investment in foreign operations. These contracts effectively convert U.S. dollar-denominated bonds to obligations denominated in Danish kroner, Japanese yen, euro and Swiss franc, and partially offset the impact of changes in currency rates on the Company’s foreign currency denominated net investments. These contracts also reduce the interest rate from the stated interest rates on the U.S. dollar-denominated debt to the interest rates of the swaps. The changes in the spot rate of these instruments are recorded in accumulated other comprehensive income (loss) in stockholders’ equity, partially offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive income (loss) in the accompanying Consolidated Condensed Statements of Stockholders’ Equity. Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. The interest income or expense from these swaps are recorded in interest expense in the accompanying Consolidated Condensed Statements of Earnings consistent with the classification of interest expense attributable to the underlying debt. These instruments mature on dates ranging from September 2025 to October 2030. The Company also uses cross-currency swap derivative contracts to hedge U.S. dollar-denominated long-term debt issuances in a foreign subsidiary whose functional currency is the euro against adverse movements in exchange rates between the U.S. dollar and the euro. These contracts effectively convert these U.S. dollar-denominated bonds to obligations denominated in euro. The changes in the fair value of these instruments are recorded in accumulated other comprehensive income (loss) in stockholders’ equity, with a reclassification from accumulated other comprehensive income (loss) to net earnings to offset the remeasurement of the hedged debt that is also recorded in net earnings. Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. The interest income or expense from these swaps are recorded in interest expense in the accompanying Consolidated Condensed Statements of Earnings consistent with the classification of interest expense attributable to the underlying debt. These instruments mature on dates ranging from November 2022 to November 2049. The Company has also issued foreign currency denominated long-term debt as partial hedges of its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro, Japanese yen and Swiss franc. These foreign currency denominated long-term debt issuances are designated and qualify as nonderivative hedging instruments. Accordingly, the foreign currency translation of these debt instruments is recorded in accumulated other comprehensive income (loss) in stockholders’ equity in the accompanying Consolidated Condensed Balance Sheets, offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive income (loss). Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. These instruments mature on dates ranging from March 2021 to May 2032. The Company used interest rate swap agreements to hedge the variability in cash flows due to changes in benchmark interest rates related to a portion of the U.S. debt the Company issued to fund the Cytiva Acquisition. These contracts effectively fixed the interest rate for a portion of the Company’s U.S. dollar-denominated debt equal to the notional amount of the swaps to the rate specified in the interest rate swap agreements and were settled in November 2019. The changes in the fair value of these instruments were recorded in accumulated other comprehensive income (loss) in stockholders’ equity prior to the issuance of the debt and are subsequently being reclassified to interest expense over the life of the related debt. The following table summarizes the notional values as of October 2, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three and nine-month periods ended October 2, 2020 and September 27, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts $ 2,875.0 $ 2,000.0 $ (57.6) Foreign currency denominated debt 6,619.3 6,619.3 (208.4) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (304.9) Total $ 13,494.3 $ 12,619.3 $ (570.9) For the Three-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts: $ 2,525.0 $ 1,650.0 $ 41.5 Foreign currency denominated debt 8,073.6 8,073.6 255.2 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (55.1) Total $ 12,098.6 $ 11,223.6 $ 241.6 For the Nine-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts: $ 2,875.0 $ 2,000.0 $ 10.1 Foreign currency denominated debt 6,619.3 6,619.3 (241.5) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (8.4) Total $ 13,494.3 $ 12,619.3 $ (239.8) For the Nine-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts $ 2,525.0 $ 1,650.0 $ 36.8 Foreign currency denominated debt 8,073.6 8,073.6 263.5 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (64.0) Total $ 12,098.6 $ 11,223.6 $ 236.3 Gains or losses related to net investment hedges are classified as foreign currency translation adjustments in the schedule of changes in OCI in Note 1, as these items are attributable to the Company’s hedges of its net investment in foreign operations. Gains or losses related to the cash flow hedges and interest rate swaps are classified as cash flow hedge adjustments in the schedule of changes in OCI in Note 1. The amount reclassified to earnings for the interest rate swaps in the three and nine-month periods ended October 2, 2020 were $1 million and $2 million, respectively. During the three and nine-month periods ended October 2, 2020, the Company reclassified $167 million and $183 million, respectively, of deferred losses from accumulated other comprehensive income (loss) to net earnings related to the cross-currency swap derivative contracts that are cash flow hedges of the Company’s U.S. dollar-denominated debt. This reclassification was equal to the remeasurement gain recorded in the three and nine-month periods on the hedged debt. The Company did not reclassify any other deferred gains or losses related to net investment hedges or cash flow hedges from accumulated other comprehensive income (loss) to earnings during the three and nine-month periods ended October 2, 2020 and September 27, 2019. In addition, the Company did not have any ineffectiveness related to net investment hedges or interest rate swaps during the three and nine-month periods ended October 2, 2020 and September 27, 2019. The cash inflows and outflows associated with the Company’s derivative contracts designated as net investment hedges are classified in all other investing activities in the accompanying Consolidated Condensed Statements of Cash Flows. The cash inflows and outflows associated with the Company’s derivative contracts designated as cash flow hedges are classified in cash flows from operating activities in the accompanying Consolidated Condensed Statements of Cash Flows. The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheets as follows ($ in millions): October 2, 2020 December 31, 2019 Derivative assets: Prepaid expenses and other current assets $ — $ 25.7 Other long-term assets 35.9 — Derivative liabilities: Accrued expenses and other liabilities 120.2 111.7 Nonderivative hedging instruments: Long-term debt 6,619.3 6,275.9 Amounts related to the Company’s derivatives expected to be reclassified from accumulated other comprehensive income (loss) to net earnings during the next 12 months if interest rates and foreign exchange rates remain the same are not significant. |
Defined Benefit Plans
Defined Benefit Plans | 9 Months Ended |
Oct. 02, 2020 | |
Retirement Benefits [Abstract] | |
Defined Benefit Plans | DEFINED BENEFIT PLANS The following sets forth the components of the Company’s net periodic benefit (cost) of the noncontributory defined benefit pension plans ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 U.S. pension benefits: Service cost $ — $ (1.6) $ — $ (4.8) Interest cost (17.3) (22.1) (51.2) (66.5) Expected return on plan assets 30.1 31.0 89.7 94.2 Amortization of actuarial loss (9.5) (6.7) (27.6) (19.1) Amortization of prior service cost (0.2) (0.2) (0.7) (0.7) Net periodic pension benefit $ 3.1 $ 0.4 $ 10.2 $ 3.1 Non-U.S. pension benefits: Service cost $ (10.9) $ (6.0) $ (27.7) $ (17.6) Interest cost (6.0) (6.1) (16.2) (18.4) Expected return on plan assets 9.1 10.0 26.9 30.2 Amortization of actuarial loss (2.4) (1.1) (7.1) (3.3) Amortization of prior service credit 0.2 — 0.8 0.1 Curtailment gain recognized — — 0.4 — Settlement gain recognized — 0.1 — — Net periodic pension cost $ (10.0) $ (3.1) $ (22.9) $ (9.0) The following sets forth the components of the Company’s net periodic benefit cost of the other postretirement employee benefit plans ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Service cost $ (0.1) $ (0.1) $ (0.3) $ (0.3) Interest cost (0.9) (1.3) (2.6) (3.8) Amortization of actuarial loss (0.3) — (0.3) — Amortization of prior service credit 0.6 0.6 1.7 1.6 Net periodic cost $ (0.7) $ (0.8) $ (1.5) $ (2.5) The net periodic benefit cost of the noncontributory defined benefit pension plans and other postretirement employee benefit plans incurred during the three and nine-month periods ended October 2, 2020 and September 27, 2019 are reflected in the following captions in the accompanying Consolidated Condensed Statements of Earnings ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Service cost: Cost of sales $ (2.9) $ (2.0) $ (7.2) $ (6.2) Selling, general and administrative expenses (8.1) (5.7) (20.8) (16.5) Total service cost (11.0) (7.7) (28.0) (22.7) Other n et periodic benefit costs: Other (expense) income, net 3.4 4.2 13.8 14.3 Total $ (7.6) $ (3.5) $ (14.2) $ (8.4) Employer Contributions |
Income Taxes
Income Taxes | 9 Months Ended |
Oct. 02, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The following table summarizes the Company’s effective tax rate: Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Effective tax rate 13.5 % 19.8 % 18.5 % 29.6 % The effective tax rate for the three-month period ended October 2, 2020 differs from the U.S. federal statutory rate of 21.0% principally due to the release of reserves for uncertain tax positions from audit settlements and expiration of statutes of limitation, excess tax benefits from stock-based compensation and other items. These items decreased the reported tax rate on a net basis by 6.1%. The effective tax rate for the nine-month period ended October 2, 2020 differs from the U.S. federal statutory rate of 21.0% principally due to release of reserves for uncertain tax positions from audit settlements and expiration of statutes of limitation and excess tax benefits from stock-based compensation, partially offset by a higher tax rate associated with the gain on the divestiture of certain product lines in the Life Sciences segment in the second quarter of 2020 and changes in estimates associated with prior period uncertain tax positions. These items decreased the reported tax rate on a net basis by 1.1%. The effective tax rate for the three-month period ended September 27, 2019 differs from the U.S. federal statutory rate of 21.0% principally due to the impact of earnings outside the United States which generally are taxed at rates lower than the U.S. federal rate. The effective tax rate for the nine-month period ended September 27, 2019 differs from the U.S. federal statutory rate of 21.0% principally due to the impact of net discrete charges of $227 million ($0.31 per diluted common share) related primarily to changes in estimates associated with prior period uncertain tax positions and audit settlements, net of the release of reserves for uncertain tax positions due to the expiration of statutes of limitation, release of valuation allowances associated with certain foreign tax credits, tax benefits resulting from changes in tax law and excess tax benefits from stock-based compensation. These net discrete income tax charges increased the reported tax rate by 9.7%. In the fourth quarter of 2018 and in the first quarter of 2019, the Internal Revenue Service (“IRS”) proposed significant adjustments to the Company’s taxable income for the years 2012 through 2015 with respect to the deferral of tax on certain premium income related to the Company’s self-insurance programs. For income tax purposes, the recognition of premium income has been deferred in accordance with U.S. tax laws related to insurance. The IRS challenged the deferral of premiums for certain types of the Company’s self-insurance policies. These proposed adjustments would have increased the Company’s taxable income over the 2012 through 2015 period by approximately $2.7 billion. In the third quarter of 2020, the Company settled the 2012 through 2015 audit period with the IRS, including the resolution of these proposed adjustments. The settlement was not material to the Company’s financial statements, including its cash flows and effective tax rate. As the settlement with the IRS was specific to the audit period, the settlement does not preclude the IRS from proposing similar adjustments to the Company’s self-insurance programs in current or future audits. In connection with its examination of the Company’s federal income tax returns for 2016, 2017 and 2018, the IRS has requested additional information on the Company’s self-insurance programs. Due to the enactment of the Tax Cuts and Jobs Act in 2017 and the resulting reduction in the U.S. corporate tax rate for years after 2017, the Company revalued its deferred tax liabilities related to the temporary differences associated with this deferred premium income from 35.0% to 21.0%. If the IRS proposes adjustments related to the Company’s self-insurance premiums with respect to years subsequent to 2015 and the Company is unsuccessful in defending its position, any taxes owed to the IRS may be computed under the previous 35.0% statutory tax rate and the Company may be required to revalue the related deferred tax liabilities from 21.0% to 35.0%, which in addition to any interest due on the amounts assessed, would require a charge to future earnings. Management believes the positions the Company has taken in its U.S. tax returns are in accordance with the relevant tax laws. Tax authorities in Denmark have raised significant issues related to interest accrued by certain of the Company’s subsidiaries. On December 10, 2013, the Company received assessments from the Danish tax authority (“SKAT”) of approximately DKK 1.9 billion including interest (approximately $292 million based on the exchange rate as of October 2, 2020), imposing withholding tax relating to interest accrued in Denmark on borrowings by certain of the Company’s subsidiaries for the years 2004-2009. The Company appealed these assessments to the Danish National Tax Tribunal in 2014. The appeal is pending, awaiting the final outcome of other, preceding withholding tax cases that were appealed to the Danish Courts and subsequently to the Court of Justice of the European Union (“CJEU”). In February 2019, the CJEU decided several of these cases and ruled that the exemption of interest payments from withholding taxes provided in the applicable European Union (“EU”) directive should be denied where taxpayers use the directive for abusive or fraudulent purposes, and that it is up to the national courts to make this determination. This decision of the CJEU now awaits application by the Danish High Court in the other, preceding withholding tax cases. SKAT has maintained a similar position related to withholding tax on interest accrued in Denmark on borrowings by certain of the Company’s subsidiaries with respect to tax years 2010-2012 and 2013-2015. On August 27, 2019 and December 16, 2019, the Company received assessments for these matters of approximately DKK 1.1 billion including interest (approximately $169 million based on the exchange rate as of October 2, 2020) for tax years 2010-2012 and DKK 761 million including interest (approximately $120 million based on the exchange rate as of October 2, 2020) for tax years 2013-2015, respectively. The Company is appealing these assessments as well. Management believes the positions the Company has taken in Denmark are in accordance with the relevant tax laws and is vigorously defending its positions. The Company intends on pursuing this matter through the Danish High Court should the appeal to the Danish National Tax Tribunal be unsuccessful. The Company will continue to monitor decisions of both the Danish courts and the CJEU and evaluate the impact of these court rulings on the Company’s tax positions in Denmark. The ultimate resolution of this matter is uncertain, could take many years, and could result in a further material adverse impact to the Company’s financial statements, including its cash flow and effective tax rate. |
Other Income (Expense), Net and
Other Income (Expense), Net and Gain on Sale of Product Lines | 3 Months Ended |
Jul. 03, 2020 | |
Other Income and Expenses [Abstract] | |
Other Income (Expense), Net and Gain on Sale of Product Lines | OTHER (EXPENSE) INCOME, NET AND GAIN ON SALE OF PRODUCT LINES The Company disaggregates the service cost component of net periodic benefit costs of the noncontributory defined benefit pension plans and other postretirement employee benefit plans and presents the other components of net periodic benefit cost in other (expense) income, net. These other components include the assumed rate of return on plan assets, partially offset by amortization of actuarial losses and interest and aggregated to a gain of $3 million and $14 million for the three and nine-month periods ended October 2, 2020, respectively, compared to a gain of $4 million and $14 million for the three and nine-month periods ended September 27, 2019, respectively. The Company estimates the fair value of investments in equity securities using the Fair Value Alternative and records adjustments to fair value within net earnings. Additionally, the Company is a limited partner in a partnership that invests in early stage companies. While the partnership records these investments at fair value, the Company’s investment in the partnership is accounted for under the equity method of accounting. During the three and nine-month periods ended October 2, 2020, the Company recorded unrealized gains of $3 million and unrealized losses of $10 million, respectively, related to changes in the fair value of these investments. No significant realized or unrealized gains or losses were recorded in the three and nine-month periods ended September 27, 2019 with respect to these investments. |
Commitments And Contingencies
Commitments And Contingencies | 9 Months Ended |
Oct. 02, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES The Company reviews the adequacy of its legal reserves on a quarterly basis and establishes reserves for loss contingencies that are both probable and reasonably estimable. For a further description of the Company’s litigation and contingencies, refer to Note 18 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. The Company generally accrues estimated warranty costs at the time of sale. In general, manufactured products are warranted against defects in material and workmanship when properly used for their intended purpose, installed correctly and appropriately maintained. Warranty periods depend on the nature of the product and range from the date of such sale up to ten years. The amount of the accrued warranty liability is determined based on historical information such as past experience, product failure rates or number of units repaired, estimated cost of material and labor and in certain instances estimated property damage. The accrued warranty liability is reviewed on a quarterly basis and may be adjusted as additional information regarding expected warranty costs becomes known. The following is a rollforward of the Company’s accrued warranty liability ($ in millions): Balance, December 31, 2019 $ 73.3 Accruals for warranties issued during the period 33.1 Settlements made (26.3) Adjustments due to acquisitions/divestitures 1.7 Effect of foreign currency translation 0.4 Balance, October 2, 2020 $ 82.2 |
Stock Transactions And Stock-Ba
Stock Transactions And Stock-Based Compensation | 9 Months Ended |
Oct. 02, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock Transactions And Stock-Based Compensation | STOCK TRANSACTIONS AND STOCK-BASED COMPENSATIONNeither the Company nor any “affiliated purchaser” repurchased any shares of Company common stock during the nine-month period ended October 2, 2020. On July 16, 2013, the Company’s Board of Directors approved a repurchase program (the “Repurchase Program”) authorizing the repurchase of up to 20 million shares of the Company’s common stock from time to time on the open market or in privately negotiated transactions. As of October 2, 2020, 20 million shares remained available for repurchase pursuant to the Repurchase Program. The following table summarizes the Company’s share activity (shares in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Preferred stock - shares issued: Balance, beginning of period 3.4 1.7 1.7 — Issuance of MCPS — — 1.7 1.7 Balance, end of period 3.4 1.7 3.4 1.7 Common stock - shares issued: Balance, beginning of period 849.5 834.0 835.5 817.9 Common stock-based compensation awards 1.1 1.0 3.9 4.1 Common stock issued in connection with LYONs’ conversions — — 0.3 0.9 Issuance of common stock — — 10.9 12.1 Balance, end of period 850.6 835.0 850.6 835.0 In May 2020, the Company completed the underwritten public offering of 10.9 million shares of Danaher common stock at a price to the public of $163.00 per share (the “2020 Common Stock Offering”), resulting in net proceeds of approximately $1.73 billion, after deducting expenses and the underwriters’ discount of $54 million. Simultaneously, the Company completed the underwritten public offering of 1.72 million shares of its 5.0% Series B Mandatory Convertible Preferred Stock (“MCPS Series B”), without par value and with a liquidation preference of $1,000 per share (the “2020 MCPS Offering”), resulting in net proceeds of approximately $1.67 billion, after deducting expenses and the underwriters’ discount of $49 million. The Company has used and intends to use the net proceeds from the 2020 Common Stock Offering and the 2020 MCPS Offering for general corporate purposes and pending such use has invested the net proceeds in short-term bank deposits and/or interest-bearing, investment-grade securities. On March 1, 2019, the Company completed the underwritten public offering of 12.1 million shares of Danaher common stock at a price to the public of $123.00 per share (the “2019 Common Stock Offering”), resulting in net proceeds of approximately $1.4 billion, after deducting expenses and the underwriters’ discount of $45 million. Simultaneously, the Company completed the underwritten public offering of 1.65 million shares of its 4.75% MCPS Series A, without par value and with a liquidation preference of $1,000 per share (the “2019 MCPS Offering”), resulting in net proceeds of approximately $1.6 billion, after deducting expenses and the underwriters’ discount of $50 million. The Company used the net proceeds from the 2019 Common Stock Offering and the 2019 MCPS Offering to fund a portion of the cash consideration payable for, and certain costs associated with, the Cytiva Acquisition. Prior to the completion of the Cytiva Acquisition, the Company invested the net proceeds in short-term bank deposits and/or interest-bearing, investment-grade securities. Unless converted earlier in accordance with the terms of the applicable certificate of designations, each share of MCPS Series A and MCPS Series B (together, the “MCPS Shares”) will mandatorily convert on their respective Mandatory Conversion Date, set forth below, into a number of shares of the Company’s common stock between the applicable Minimum Conversion Rate and the applicable Maximum Conversion Rate, set forth below, subject to further anti-dilution adjustments. The number of shares of the Company’s common stock issuable upon conversion will be determined based on the average volume-weighted average price per share of the Company’s common stock over the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately before the applicable Mandatory Conversion Date. Subject to certain exceptions, at any time prior to the Mandatory Conversion Date, holders may elect to convert the MCPS Shares into common stock based on the applicable Minimum Conversion Rate, subject to further anti-dilution adjustments. In the event of a fundamental change, the MCPS Shares will convert at the fundamental change rates specified in the applicable certificate of designations, and the holders of MCPS Shares would be entitled to a fundamental change make-whole dividend. In the third quarter of 2020, nine shares of MCPS Series A were converted into 59 shares of Danaher common stock. Holders of MCPS Shares will be entitled to receive, when and if declared by the Company’s Board of Directors, cumulative dividends at the applicable Annual Cumulative Dividend Rate of the Liquidation Preference per share, payable in cash or, subject to certain limitations, by delivery of shares of the Company’s common stock or any combination of cash and shares of the Company’s common stock, at the Company’s election. If declared, dividends on the MCPS Shares are payable quarterly on January 15, April 15, July 15 and October 15 of each year (to, and including, the Mandatory Conversion Date), to the holders of record of the MCPS Shares as they appear on the Company’s stock register at the close of business on the immediately preceding December 31, March 31, June 30 and September 30, respectively. The following summarizes the key terms of the MCPS Shares: Annual Cumulative Dividend Rate Liquidation Preference per share Minimum Conversion Rate Maximum Conversion Rate Mandatory Conversion Date Series A 4.75 % $ 1,000 6.6556 shares 8.1530 shares April 15, 2022 Series B 5.00 % $ 1,000 5.0081 shares 6.1349 shares April 15, 2023 For a full description of the Company’s stock-based compensation programs, refer to Note 19 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. As of October 2, 2020, approximately 54 million shares of the Company’s common stock were reserved for issuance under the 2007 Omnibus Incentive Plan. The following summarizes the components of the Company’s stock-based compensation expense ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Restricted stock units (“RSUs”)/performance stock units (“PSUs”): Pretax compensation expense $ 27.6 $ 25.4 $ 83.2 $ 72.0 Income tax benefit (5.9) (5.3) (17.2) (14.9) RSU/PSU expense, net of income taxes 21.7 20.1 66.0 57.1 Stock options: Pretax compensation expense 17.7 15.6 53.9 45.5 Income tax benefit (3.6) (3.4) (11.0) (9.5) Stock option expense, net of income taxes 14.1 12.2 42.9 36.0 Total stock-based compensation: Pretax compensation expense 45.3 41.0 137.1 117.5 Income tax benefit (9.5) (8.7) (28.2) (24.4) Total stock-based compensation expense, net of income taxes $ 35.8 $ 32.3 $ 108.9 $ 93.1 Stock-based compensation has been recognized as a component of selling, general and administrative expenses in the accompanying Consolidated Condensed Statements of Earnings. As of October 2, 2020, $195 million of total unrecognized compensation cost related to RSUs/PSUs is expected to be recognized over a weighted average period of approximately two years. As of October 2, 2020, $183 million of total unrecognized compensation cost related to stock options is expected to be recognized over a weighted average period of approximately three years. Future compensation amounts will be adjusted for any changes in estimated forfeitures. |
Net Earnings Per Common Share F
Net Earnings Per Common Share From Continuing Operations | 9 Months Ended |
Oct. 02, 2020 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Common Share From Continuing Operations | NET EARNINGS PER COMMON SHARE FROM CONTINUING OPERATIONS Basic net earnings per common share (“EPS”) from continuing operations is calculated by taking net earnings from continuing operations less the MCPS dividends divided by the weighted average number of common shares outstanding for the applicable period. Diluted net EPS from continuing operations is computed by taking net earnings from continuing operations plus the interest on the Company’s LYONs less the MCPS dividends divided by the weighted average number of common shares outstanding increased by the number of additional shares that would have been outstanding had the potentially dilutive common shares been issued and reduced by the number of shares the Company could have repurchased with the proceeds from the issuance of the potentially dilutive shares. For the three-month period ended October 2, 2020, no options to purchase shares were excluded from the diluted EPS calculation. For the nine-month period ended October 2, 2020, approximately 1 million options to purchase shares were not included in the diluted EPS calculation as the impact of their inclusion would have been anti-dilutive. For the three and nine-month periods ended September 27, 2019, no options to purchase shares were excluded from the diluted EPS calculation. Basic and diluted EPS are computed independently for each quarter and year-to-date period, which involves the use of different weighted-average share count figures relating to quarterly and annual periods. As a result, and after factoring the effect of rounding to the nearest cent per share, the sum of prior quarter-to-date EPS figures may not equal year-to-date EPS. The impact of the MCPS Shares calculated under the if-converted method was anti-dilutive, and as such 20 million shares and 16 million shares for the three and nine-month periods ended October 2, 2020, respectively, and 12 million shares and 9 million shares for the three and nine-month periods ended September 27, 2019, respectively, underlying the MCPS Shares were excluded from the diluted EPS calculation. Information related to the calculation of net earnings from continuing operations per common share is summarized as follows ($ and shares in millions, except per share amounts): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Numerator: Net earnings from continuing operations $ 883.5 $ 630.7 $ 2,405.9 $ 1,639.4 MCPS dividends (41.1) (19.6) (95.3) (48.8) Net earnings from continuing operations attributable to common stockholders for Basic EPS 842.4 611.1 2,310.6 1,590.6 Adjustment for interest on convertible debentures 0.3 0.4 0.9 1.4 Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS $ 842.7 $ 611.5 $ 2,311.5 $ 1,592.0 Denominator: Weighted average common shares outstanding used in Basic EPS 710.9 718.8 704.4 714.7 Incremental common shares from: Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs 12.4 9.1 11.3 8.9 Assumed conversion of the convertible debentures 1.0 1.4 1.1 1.6 Weighted average common shares outstanding used in Diluted EPS 724.3 729.3 716.8 725.2 Basic EPS from continuing operations $ 1.18 $ 0.85 $ 3.28 $ 2.23 Diluted EPS from continuing operations $ 1.16 $ 0.84 $ 3.22 $ 2.20 |
Segment Information
Segment Information | 9 Months Ended |
Oct. 02, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATIONThe Company operates and reports its results in three separate business segments consisting of the Life Sciences, Diagnostics, and Environmental & Applied Solutions segments. When determining the reportable segments, the Company aggregated operating segments based on their similar economic and operating characteristics. Operating profit represents total revenues less operating expenses, excluding nonoperating income and expense, interest and income taxes. Operating profit amounts in the Other segment consist of unallocated corporate costs and other costs not considered part of management’s evaluation of reportable segment operating performance. Intersegment amounts are not significant and are eliminated to arrive at consolidated totals. Segment results are shown below ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Sales: Life Sciences $ 2,922.5 $ 1,695.6 $ 7,215.3 $ 5,035.1 Diagnostics 1,889.1 1,601.9 5,176.3 4,757.0 Environmental & Applied Solutions 1,071.6 1,080.5 3,132.1 3,250.6 Total $ 5,883.2 $ 4,378.0 $ 15,523.7 $ 13,042.7 Operating profit: Life Sciences $ 504.9 $ 342.5 $ 1,242.9 $ 995.5 Diagnostics 408.0 266.0 952.4 782.0 Environmental & Applied Solutions 245.1 256.5 707.0 761.3 Other (70.4) (88.7) (272.6) (231.1) Total $ 1,087.6 $ 776.3 $ 2,629.7 $ 2,307.7 Segment identifiable assets are shown below ($ in millions): October 2, 2020 December 31, 2019 Life Sciences $ 47,084.5 $ 22,381.3 Diagnostics 14,715.9 14,442.2 Environmental & Applied Solutions 4,915.4 4,881.8 Other 6,174.9 20,376.3 Total $ 72,890.7 $ 62,081.6 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Oct. 02, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS On October 6, 2020, the Company completed the underwritten public offering of $1.0 billion aggregate principal amount of 2.6% senior unsecured notes due 2050. The Company received net proceeds from the notes, after underwriting discounts and commissions and offering expenses, of $980 million. Proceeds from this offering will be used for general corporate purposes, including the redemption of the 2022 Euronotes. On October 6, 2020, the Company notified the holders of the 2022 Euronotes that it has called for redemption all of the €800 million aggregate principal amount of such notes at a redemption price equal to the outstanding principal amount and a make-whole premium as specified in the applicable indenture, plus accrued and unpaid interest. The Company intends to redeem the 2022 Euronotes on November 5, 2020. The make-whole premiums required in connection with the redemption will be approximately €21 million (approximately $19 million after-tax based on the exchange rates as of October 2, 2020 or $0.03 per diluted common share). The payment of the make-whole premiums will be reflected as a loss on early extinguishment of borrowings in the Company’s fourth quarter of 2020, as the extinguishment will occur in the fourth quarter. |
General (Policies)
General (Policies) | 9 Months Ended |
Oct. 02, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New accounting standards | Accounting Standards Recently Adopted —In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosures on fair value measurements by removing the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy and the policy for timing of such transfers. The ASU expands the disclosure requirements for Level 3 fair value measurements, primarily focused on changes in unrealized gains and losses included in other comprehensive income (loss). The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. On January 1, 2020, the Company adopted the ASU and the ASU did not have a significant impact on the Company’s Consolidated Condensed Financial Statements. Refer to Note 6 for the Company’s fair value measurement disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This may result in the earlier recognition of allowances for losses. The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which provided additional implementation guidance on the previously issued ASU. On January 1, 2020, the Company adopted the ASU using the modified retrospective transition method. The Company recorded a net decrease to beginning retained earnings of $8 million as of January 1, 2020 due to the cumulative impact of adopting Topic 326. The impact to retained earnings was primarily the result of an increase in the Company’s allowance for doubtful accounts as a result of Topic 326’s requirement to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. As a result of the adoption of the ASU, the Company’s allowance for doubtful accounts as of October 2, 2020 reflects the Company’s best estimate of the expected future losses for its accounts receivables based on the current economic conditions; however, as a result of the uncertainty caused by the coronavirus (COVID-19) pandemic and other factors, these estimates may change and future actual losses may differ from the Company’s estimates. The Company will continue to monitor economic conditions and will revise the estimates of the expected future losses for accounts receivable as necessary. Accounting Standards Not Yet Adopted —In August 2018, the FASB issued ASU No. 2018-14, Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which amends ASC 715, Compensation—Retirement Benefits , to add, remove and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The ASU is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. In August 2020, the FASB issued ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. The ASU includes amendments to the guidance on convertible instruments and the derivative scope exception for contracts in an entity’s own equity and simplifies the accounting for convertible instruments which include beneficial conversion features or cash conversion features by removing certain separation models in Subtopic 470-20. Additionally, the ASU will require entities to use the “if-converted” method when calculating diluted earnings per share for convertible instruments. The ASU is effective for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. |
Operating leases | Operating Leases —As of October 2, 2020 and December 31, 2019, operating lease right-of-use assets where the Company was the lessee were $906 million and $764 million, respectively, and are included within other long-term assets in the accompanying Consolidated Condensed Balance Sheets. The associated operating lease liabilities were $935 million and $797 million as of October 2, 2020 and December 31, 2019, respectively, and are included in accrued expenses and other liabilities and other long-term liabilities. |
General (Tables)
General (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Components Of Accumulated Other Comprehensive Income (Loss) | The changes in accumulated other comprehensive income (loss) by component are summarized below ($ in millions). Foreign currency translation adjustments generally relate to indefinite investments in non-U.S. subsidiaries, as well as the impact from the Company’s hedges of its net investment in foreign operations, including the Company’s cross-currency swap derivatives, net of any income tax impacts. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Three-Month Period Ended October 2, 2020: Balance, July 3, 2020 $ (1,250.5) $ (765.4) $ 0.3 $ 152.5 $ (1,863.1) Other comprehensive income (loss) before reclassifications: Increase (decrease) 908.9 — — (304.9) 604.0 Income tax impact 13.9 — — 47.8 61.7 Other comprehensive income (loss) before reclassifications, net of income taxes 922.8 — — (257.1) 665.7 Amounts reclassified from accumulated other comprehensive income (loss): Increase — 11.6 (a) — 167.5 (b) 179.1 Income tax impact — (2.7) — (0.1) (2.8) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 8.9 — 167.4 176.3 Net current period other comprehensive income (loss), net of income taxes 922.8 8.9 — (89.7) 842.0 Balance, October 2, 2020 $ (327.7) $ (756.5) $ 0.3 $ 62.8 $ (1,021.1) For the Three-Month Period Ended September 27, 2019: Balance, June 28, 2019 $ (2,155.4) $ (681.1) $ (1.0) $ (6.8) $ (2,844.3) Other comprehensive income (loss) before reclassifications: (Decrease) increase (226.8) — 0.6 (55.1) (281.3) Income tax impact (9.0) — (0.1) 13.3 4.2 Other comprehensive income (loss) before reclassifications, net of income taxes (235.8) — 0.5 (41.8) (277.1) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 7.5 (a) — — 7.5 Income tax impact — (1.7) — — (1.7) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 5.8 — — 5.8 Net current period other comprehensive income (loss), net of income taxes (235.8) 5.8 0.5 (41.8) (271.3) (c) Balance, September 27, 2019 $ (2,391.2) $ (675.3) $ (0.5) $ (48.6) (3,115.6) Less: accumulated other comprehensive income attributable to noncontrolling interest (27.3) Accumulated other comprehensive income attributable to controlling interest $ (3,088.3) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). (c) Accumulated other comprehensive income (loss) for the three-month period ended September 27, 2019 consists of $270.1 million of accumulated other comprehensive loss attributable to controlling interest and $1.2 million of accumulated other comprehensive loss attributable to noncontrolling interest. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Nine-Month Period Ended October 2, 2020: Balance, December 31, 2019 $ (2,173.3) $ (781.5) $ (0.7) $ (112.8) $ (3,068.3) Other comprehensive income (loss) before reclassifications: Increase (decrease) 1,848.0 — 1.2 (8.4) 1,840.8 Income tax impact (2.4) — (0.2) 3.3 0.7 Other comprehensive income (loss) before reclassifications, net of income taxes 1,845.6 — 1.0 (5.1) 1,841.5 Amounts reclassified from accumulated other comprehensive income (loss): Increase — 32.8 (a) — 184.5 (b) 217.3 Income tax impact — (7.8) — (3.8) (11.6) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 25.0 — 180.7 205.7 Net current period other comprehensive income (loss), net of income taxes 1,845.6 25.0 1.0 175.6 2,047.2 Balance, October 2, 2020 $ (327.7) $ (756.5) $ 0.3 $ 62.8 $ (1,021.1) For the Nine-Month Period Ended September 27, 2019: Balance, December 31, 2018 $ (2,098.1) $ (691.1) $ (1.9) $ — $ (2,791.1) Other comprehensive income (loss) before reclassifications: (Decrease) increase (286.0) — 1.8 (64.0) (348.2) Income tax impact (7.1) — (0.4) 15.4 7.9 Other comprehensive income (loss) before reclassifications, net of income taxes (293.1) — 1.4 (48.6) (340.3) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 20.7 (a) — — 20.7 Income tax impact — (4.9) — — (4.9) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 15.8 — — 15.8 Net current period other comprehensive income (loss), net of income taxes (293.1) 15.8 1.4 (48.6) (324.5) (c) Balance, September 27, 2019 $ (2,391.2) $ (675.3) $ (0.5) $ (48.6) (3,115.6) Less: accumulated other comprehensive income attributable to noncontrolling interest (27.3) Accumulated other comprehensive income attributable to controlling interest $ (3,088.3) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). (c) Accumulated other comprehensive income (loss) for the nine-month period ended September 27, 2019 consists of $323.3 million of accumulated other comprehensive loss attributable to controlling interest and $1.2 million of accumulated other comprehensive loss attributable to noncontrolling interest. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables present the Company’s revenues disaggregated by geographical region and revenue type for the three and nine-month periods ended October 2, 2020 and September 27, 2019 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenue. Life Sciences Diagnostics Environmental & Applied Solutions Total For the Three-Month Period Ended October 2, 2020: Geographical region: North America $ 1,100.6 $ 797.8 $ 481.0 $ 2,379.4 Western Europe 779.7 349.2 245.1 1,374.0 Other developed markets 193.4 103.6 29.2 326.2 High-growth markets (a) 848.8 638.5 316.3 1,803.6 Total $ 2,922.5 $ 1,889.1 $ 1,071.6 $ 5,883.2 Revenue type: Recurring $ 2,075.5 $ 1,541.6 $ 609.9 $ 4,227.0 Nonrecurring 847.0 347.5 461.7 1,656.2 Total $ 2,922.5 $ 1,889.1 $ 1,071.6 $ 5,883.2 For the Three-Month Period Ended September 27, 2019: Geographical region: North America $ 637.2 $ 602.9 $ 465.5 $ 1,705.6 Western Europe 444.1 257.9 252.8 954.8 Other developed markets 149.2 108.4 32.5 290.1 High-growth markets (a) 465.1 632.7 329.7 1,427.5 Total $ 1,695.6 $ 1,601.9 $ 1,080.5 $ 4,378.0 Revenue type: Recurring $ 1,084.3 $ 1,343.2 $ 595.2 $ 3,022.7 Nonrecurring 611.3 258.7 485.3 1,355.3 Total $ 1,695.6 $ 1,601.9 $ 1,080.5 $ 4,378.0 Life Sciences Diagnostics Environmental & Applied Solutions Total For the Nine-Month Period Ended October 2, 2020: Geographical region: North America $ 2,721.1 $ 2,243.5 $ 1,430.1 $ 6,394.7 Western Europe 1,962.9 974.3 720.4 3,657.6 Other developed markets 524.4 297.9 88.4 910.7 High-growth markets (a) 2,006.9 1,660.6 893.2 4,560.7 Total $ 7,215.3 $ 5,176.3 $ 3,132.1 $ 15,523.7 Revenue type: Recurring $ 5,135.0 $ 4,305.0 $ 1,809.3 $ 11,249.3 Nonrecurring 2,080.3 871.3 1,322.8 4,274.4 Total $ 7,215.3 $ 5,176.3 $ 3,132.1 $ 15,523.7 For the Nine-Month Period Ended September 27, 2019: Geographical region: North America $ 1,878.1 $ 1,836.3 $ 1,403.0 $ 5,117.4 Western Europe 1,363.7 828.5 774.1 2,966.3 Other developed markets 436.1 295.6 92.7 824.4 High-growth markets (a) 1,357.2 1,796.6 980.8 4,134.6 Total $ 5,035.1 $ 4,757.0 $ 3,250.6 $ 13,042.7 Revenue type: Recurring $ 3,264.4 $ 4,047.9 $ 1,770.2 $ 9,082.5 Nonrecurring 1,770.7 709.1 1,480.4 3,960.2 Total $ 5,035.1 $ 4,757.0 $ 3,250.6 $ 13,042.7 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Business Combinations [Abstract] | |
Fair Values Of The Assets Acquired And Liabilities Assumed | The following summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for the nine-month period ended October 2, 2020 ($ in millions): Cytiva Other Total Trade accounts receivable $ 481.7 $ 1.4 $ 483.1 Inventories 939.2 — 939.2 Property, plant and equipment 688.8 — 688.8 Goodwill 10,206.7 94.7 10,301.4 Other intangible assets, primarily technology, customer relationships and trade names 10,655.5 16.4 10,671.9 Trade accounts payable (248.8) (0.4) (249.2) Pension liabilities (422.8) — (422.8) Deferred tax liabilities (1,196.5) — (1,196.5) Other assets and liabilities, net (389.1) (8.3) (397.4) Net cash consideration $ 20,714.7 $ 103.8 $ 20,818.5 |
Results Of Operations If Acquisition Was Consummated | The pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisitions been consummated as of that time ($ in millions, except per share amounts): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Sales $ 5,895.2 $ 5,113.7 $ 16,343.9 $ 15,247.8 Net earnings from continuing operations 1,064.0 719.7 2,574.1 1,545.0 Diluted net earnings per common share from continuing operations (a) 1.41 0.96 3.46 2.04 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | The key components of income from discontinued operations for the three and nine-month periods ended September 27, 2019 were as follows ($ in millions): Three-Month Period Ended Nine-Month Period Ended Sales $ 659.3 $ 2,031.1 Cost of sales (292.3) (907.4) Selling, general and administrative expenses (272.2) (869.7) Research and development expenses (36.3) (119.3) Other income 0.2 1.6 Interest expense (2.3) (6.0) Earnings from discontinued operations before income taxes 56.4 130.3 Income taxes (13.2) (30.7) Net earnings, net of income taxes 43.2 99.6 Net earnings attributable to noncontrolling interest (5.9) (5.9) Earnings from discontinued operations, net of income taxes $ 37.3 $ 93.7 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Rollforward Of Goodwill | The following is a rollforward of the Company’s goodwill ($ in millions): Balance, December 31, 2019 $ 22,712.5 Attributable to 2020 acquisitions 10,301.4 Attributable to 2020 divestitures (180.5) Adjustments due to finalization of purchase price allocations (3.0) Foreign currency translation and other 1,439.3 Balance, October 2, 2020 $ 34,269.7 The carrying value of goodwill by segment is summarized as follows ($ in millions): October 2, 2020 December 31, 2019 Life Sciences $ 24,866.5 $ 13,471.8 Diagnostics 6,951.6 6,901.2 Environmental & Applied Solutions 2,451.6 2,339.5 Total $ 34,269.7 $ 22,712.5 |
Schedule of Acquired Finite-Lived Intangible Assets And Indefinite-Lived Intangible Assets By Major Class [Table Text Block] | The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets ($ in millions): October 2, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangibles: Patents and technology $ 11,944.3 $ (1,329.4) $ 2,712.7 $ (934.1) Customer relationships, trade names and other intangibles 8,942.3 (3,013.3) 6,367.4 (2,612.3) Total finite-lived intangibles 20,886.6 (4,342.7) 9,080.1 (3,546.4) Indefinite-lived intangibles: Trademarks and trade names 4,310.3 — 4,216.0 — Total intangibles $ 25,196.9 $ (4,342.7) $ 13,296.1 $ (3,546.4) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Assets And Liabilities Carried At Fair Value | A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions): Balance, October 2, 2020 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 29.6 $ — $ 29.6 $ — Investment in equity securities 235.2 16.0 — — Cross-currency swap derivative contracts 35.9 — 35.9 — Liabilities: Cross-currency swap derivative contracts 120.2 — 120.2 — Deferred compensation plans 98.8 — 98.8 — Balance, December 31, 2019 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 33.7 $ — $ 33.7 $ — Investment in equity securities 110.8 — — — Cross-currency swap derivative contracts 25.7 — 25.7 — Liabilities: Cross-currency swap derivative contracts 111.7 — 111.7 — Deferred compensation plans 70.4 — 70.4 — |
Carrying Amounts And Fair Values Of Financial Instruments | The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions): October 2, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Available-for-sale debt securities $ 29.6 $ 29.6 $ 33.7 $ 33.7 Investment in equity securities 235.2 235.2 110.8 110.8 Cross-currency swap derivative contracts 35.9 35.9 25.7 25.7 Liabilities: Cross-currency swap derivative contracts 120.2 120.2 111.7 111.7 Notes payable and current portion of long-term debt 19.7 19.7 212.4 212.4 Long-term debt 21,806.1 23,019.1 21,516.7 21,896.9 |
Financing (Tables)
Financing (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Debt Disclosure [Abstract] | |
Components Of Debt | The components of the Company’s debt were as follows ($ in millions): October 2, 2020 December 31, 2019 Euro-denominated commercial paper (€1.6 billion and €4.6 billion, respectively) $ 1,860.8 $ 5,146.2 Zero-coupon LYONs due 2021 26.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 284.6 275.8 1.7% senior unsecured notes due 2022 (€800 million aggregate principal amount) (the “2022 Euronotes”) 935.5 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 292.4 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.8 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 587.3 558.9 1.7% senior unsecured notes due 2024 (€900.0 million aggregate principal amount) (the “2024 Euronotes”) 1,049.4 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.6 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 934.0 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.6 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,455.5 1,392.3 2.1% senior unsecured notes due 2026 (€800.0 million aggregate principal amount) (the “2026 Euronotes”) 933.3 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 291.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 698.4 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,453.6 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 231.8 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.6 794.8 2.5% senior unsecured notes due 2030 (€800.0 million aggregate principal amount) (the “2030 Euronotes”) 936.8 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 2,037.0 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 503.1 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,446.6 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 889.2 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 868.6 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.6 890.2 Other 35.7 76.3 Total debt 21,825.8 21,729.1 Less: currently payable 19.7 212.4 Long-term debt $ 21,806.1 $ 21,516.7 Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 |
Key Terms of Euronotes Offering | The components of the Company’s debt were as follows ($ in millions): October 2, 2020 December 31, 2019 Euro-denominated commercial paper (€1.6 billion and €4.6 billion, respectively) $ 1,860.8 $ 5,146.2 Zero-coupon LYONs due 2021 26.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 284.6 275.8 1.7% senior unsecured notes due 2022 (€800 million aggregate principal amount) (the “2022 Euronotes”) 935.5 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 292.4 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.8 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 587.3 558.9 1.7% senior unsecured notes due 2024 (€900.0 million aggregate principal amount) (the “2024 Euronotes”) 1,049.4 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.6 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 934.0 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.6 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,455.5 1,392.3 2.1% senior unsecured notes due 2026 (€800.0 million aggregate principal amount) (the “2026 Euronotes”) 933.3 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 291.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 698.4 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,453.6 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 231.8 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.6 794.8 2.5% senior unsecured notes due 2030 (€800.0 million aggregate principal amount) (the “2030 Euronotes”) 936.8 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 2,037.0 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 503.1 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,446.6 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 889.2 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 868.6 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.6 890.2 Other 35.7 76.3 Total debt 21,825.8 21,729.1 Less: currently payable 19.7 212.4 Long-term debt $ 21,806.1 $ 21,516.7 Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 |
Hedging Transactions And Deri_2
Hedging Transactions And Derivative Financial Instruments (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments, Gain (Loss) [Table Text Block] | The following table summarizes the notional values as of October 2, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three and nine-month periods ended October 2, 2020 and September 27, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts $ 2,875.0 $ 2,000.0 $ (57.6) Foreign currency denominated debt 6,619.3 6,619.3 (208.4) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (304.9) Total $ 13,494.3 $ 12,619.3 $ (570.9) For the Three-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts: $ 2,525.0 $ 1,650.0 $ 41.5 Foreign currency denominated debt 8,073.6 8,073.6 255.2 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (55.1) Total $ 12,098.6 $ 11,223.6 $ 241.6 For the Nine-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts: $ 2,875.0 $ 2,000.0 $ 10.1 Foreign currency denominated debt 6,619.3 6,619.3 (241.5) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (8.4) Total $ 13,494.3 $ 12,619.3 $ (239.8) For the Nine-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts $ 2,525.0 $ 1,650.0 $ 36.8 Foreign currency denominated debt 8,073.6 8,073.6 263.5 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (64.0) Total $ 12,098.6 $ 11,223.6 $ 236.3 |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The following table summarizes the notional values as of October 2, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three and nine-month periods ended October 2, 2020 and September 27, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts $ 2,875.0 $ 2,000.0 $ (57.6) Foreign currency denominated debt 6,619.3 6,619.3 (208.4) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (304.9) Total $ 13,494.3 $ 12,619.3 $ (570.9) For the Three-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts: $ 2,525.0 $ 1,650.0 $ 41.5 Foreign currency denominated debt 8,073.6 8,073.6 255.2 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (55.1) Total $ 12,098.6 $ 11,223.6 $ 241.6 For the Nine-Month Period Ended October 2, 2020: Net investment hedges: Foreign currency contracts: $ 2,875.0 $ 2,000.0 $ 10.1 Foreign currency denominated debt 6,619.3 6,619.3 (241.5) Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 (8.4) Total $ 13,494.3 $ 12,619.3 $ (239.8) For the Nine-Month Period Ended September 27, 2019: Net investment hedges: Foreign currency contracts $ 2,525.0 $ 1,650.0 $ 36.8 Foreign currency denominated debt 8,073.6 8,073.6 263.5 Cash flow hedges: Interest rate swaps 1,500.0 1,500.0 (64.0) Total $ 12,098.6 $ 11,223.6 $ 236.3 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheets as follows ($ in millions): October 2, 2020 December 31, 2019 Derivative assets: Prepaid expenses and other current assets $ — $ 25.7 Other long-term assets 35.9 — Derivative liabilities: Accrued expenses and other liabilities 120.2 111.7 Nonderivative hedging instruments: Long-term debt 6,619.3 6,275.9 |
Defined Benefit Plans (Tables)
Defined Benefit Plans (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Defined Benefit Plans Disclosures | The net periodic benefit cost of the noncontributory defined benefit pension plans and other postretirement employee benefit plans incurred during the three and nine-month periods ended October 2, 2020 and September 27, 2019 are reflected in the following captions in the accompanying Consolidated Condensed Statements of Earnings ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Service cost: Cost of sales $ (2.9) $ (2.0) $ (7.2) $ (6.2) Selling, general and administrative expenses (8.1) (5.7) (20.8) (16.5) Total service cost (11.0) (7.7) (28.0) (22.7) Other n et periodic benefit costs: Other (expense) income, net 3.4 4.2 13.8 14.3 Total $ (7.6) $ (3.5) $ (14.2) $ (8.4) |
Defined benefit pension plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Net Benefit Costs | The following sets forth the components of the Company’s net periodic benefit (cost) of the noncontributory defined benefit pension plans ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 U.S. pension benefits: Service cost $ — $ (1.6) $ — $ (4.8) Interest cost (17.3) (22.1) (51.2) (66.5) Expected return on plan assets 30.1 31.0 89.7 94.2 Amortization of actuarial loss (9.5) (6.7) (27.6) (19.1) Amortization of prior service cost (0.2) (0.2) (0.7) (0.7) Net periodic pension benefit $ 3.1 $ 0.4 $ 10.2 $ 3.1 Non-U.S. pension benefits: Service cost $ (10.9) $ (6.0) $ (27.7) $ (17.6) Interest cost (6.0) (6.1) (16.2) (18.4) Expected return on plan assets 9.1 10.0 26.9 30.2 Amortization of actuarial loss (2.4) (1.1) (7.1) (3.3) Amortization of prior service credit 0.2 — 0.8 0.1 Curtailment gain recognized — — 0.4 — Settlement gain recognized — 0.1 — — Net periodic pension cost $ (10.0) $ (3.1) $ (22.9) $ (9.0) |
Other postretirement benefit plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Net Benefit Costs | The following sets forth the components of the Company’s net periodic benefit cost of the other postretirement employee benefit plans ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Service cost $ (0.1) $ (0.1) $ (0.3) $ (0.3) Interest cost (0.9) (1.3) (2.6) (3.8) Amortization of actuarial loss (0.3) — (0.3) — Amortization of prior service credit 0.6 0.6 1.7 1.6 Net periodic cost $ (0.7) $ (0.8) $ (1.5) $ (2.5) |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary Of Effective Income Tax Rate | The following table summarizes the Company’s effective tax rate: Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Effective tax rate 13.5 % 19.8 % 18.5 % 29.6 % |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Warranty Accrual | The following is a rollforward of the Company’s accrued warranty liability ($ in millions): Balance, December 31, 2019 $ 73.3 Accruals for warranties issued during the period 33.1 Settlements made (26.3) Adjustments due to acquisitions/divestitures 1.7 Effect of foreign currency translation 0.4 Balance, October 2, 2020 $ 82.2 |
Stock Transactions And Stock-_2
Stock Transactions And Stock-Based Compensation (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Share Activity | The following table summarizes the Company’s share activity (shares in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Preferred stock - shares issued: Balance, beginning of period 3.4 1.7 1.7 — Issuance of MCPS — — 1.7 1.7 Balance, end of period 3.4 1.7 3.4 1.7 Common stock - shares issued: Balance, beginning of period 849.5 834.0 835.5 817.9 Common stock-based compensation awards 1.1 1.0 3.9 4.1 Common stock issued in connection with LYONs’ conversions — — 0.3 0.9 Issuance of common stock — — 10.9 12.1 Balance, end of period 850.6 835.0 850.6 835.0 |
Key Terms of Shares | The following summarizes the key terms of the MCPS Shares: Annual Cumulative Dividend Rate Liquidation Preference per share Minimum Conversion Rate Maximum Conversion Rate Mandatory Conversion Date Series A 4.75 % $ 1,000 6.6556 shares 8.1530 shares April 15, 2022 Series B 5.00 % $ 1,000 5.0081 shares 6.1349 shares April 15, 2023 |
Components Of Stock-Based Compensation Program | The following summarizes the components of the Company’s stock-based compensation expense ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Restricted stock units (“RSUs”)/performance stock units (“PSUs”): Pretax compensation expense $ 27.6 $ 25.4 $ 83.2 $ 72.0 Income tax benefit (5.9) (5.3) (17.2) (14.9) RSU/PSU expense, net of income taxes 21.7 20.1 66.0 57.1 Stock options: Pretax compensation expense 17.7 15.6 53.9 45.5 Income tax benefit (3.6) (3.4) (11.0) (9.5) Stock option expense, net of income taxes 14.1 12.2 42.9 36.0 Total stock-based compensation: Pretax compensation expense 45.3 41.0 137.1 117.5 Income tax benefit (9.5) (8.7) (28.2) (24.4) Total stock-based compensation expense, net of income taxes $ 35.8 $ 32.3 $ 108.9 $ 93.1 |
Net Earnings Per Common Share_2
Net Earnings Per Common Share From Continuing Operations (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Earnings Per Share [Abstract] | |
Components Of Basic And Diluted Earnings Per Share | Information related to the calculation of net earnings from continuing operations per common share is summarized as follows ($ and shares in millions, except per share amounts): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Numerator: Net earnings from continuing operations $ 883.5 $ 630.7 $ 2,405.9 $ 1,639.4 MCPS dividends (41.1) (19.6) (95.3) (48.8) Net earnings from continuing operations attributable to common stockholders for Basic EPS 842.4 611.1 2,310.6 1,590.6 Adjustment for interest on convertible debentures 0.3 0.4 0.9 1.4 Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS $ 842.7 $ 611.5 $ 2,311.5 $ 1,592.0 Denominator: Weighted average common shares outstanding used in Basic EPS 710.9 718.8 704.4 714.7 Incremental common shares from: Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs 12.4 9.1 11.3 8.9 Assumed conversion of the convertible debentures 1.0 1.4 1.1 1.6 Weighted average common shares outstanding used in Diluted EPS 724.3 729.3 716.8 725.2 Basic EPS from continuing operations $ 1.18 $ 0.85 $ 3.28 $ 2.23 Diluted EPS from continuing operations $ 1.16 $ 0.84 $ 3.22 $ 2.20 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Oct. 02, 2020 | |
Segment Reporting [Abstract] | |
Segment Results | Segment results are shown below ($ in millions): Three-Month Period Ended Nine-Month Period Ended October 2, 2020 September 27, 2019 October 2, 2020 September 27, 2019 Sales: Life Sciences $ 2,922.5 $ 1,695.6 $ 7,215.3 $ 5,035.1 Diagnostics 1,889.1 1,601.9 5,176.3 4,757.0 Environmental & Applied Solutions 1,071.6 1,080.5 3,132.1 3,250.6 Total $ 5,883.2 $ 4,378.0 $ 15,523.7 $ 13,042.7 Operating profit: Life Sciences $ 504.9 $ 342.5 $ 1,242.9 $ 995.5 Diagnostics 408.0 266.0 952.4 782.0 Environmental & Applied Solutions 245.1 256.5 707.0 761.3 Other (70.4) (88.7) (272.6) (231.1) Total $ 1,087.6 $ 776.3 $ 2,629.7 $ 2,307.7 Segment identifiable assets are shown below ($ in millions): October 2, 2020 December 31, 2019 Life Sciences $ 47,084.5 $ 22,381.3 Diagnostics 14,715.9 14,442.2 Environmental & Applied Solutions 4,915.4 4,881.8 Other 6,174.9 20,376.3 Total $ 72,890.7 $ 62,081.6 |
General (Narrative) (Details)
General (Narrative) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
Net decrease to beginning retained earnings | $ (26,087.8) | $ (24,166.3) | |
Operating lease, right-of-use asset | 906 | 764 | |
Operating lease, liability | $ 935 | $ 797 | |
Adoption of accounting standards | ASU 2016-13 | |||
Net decrease to beginning retained earnings | $ 8 |
General (Components of Accumula
General (Components of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | $ (3,068.3) | |||
Other comprehensive income (loss) | $ 842 | $ (271.3) | 2,047.2 | $ (324.5) |
Ending balance | (1,021.1) | (1,021.1) | ||
Foreign Currency Translation Adjustments | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | (1,250.5) | (2,155.4) | (2,173.3) | (2,098.1) |
Increase (decrease) | 908.9 | (226.8) | 1,848 | (286) |
Income tax impact | 13.9 | (9) | (2.4) | (7.1) |
Other comprehensive income (loss) before reclassifications, net of income taxes | 922.8 | (235.8) | 1,845.6 | (293.1) |
Increase | 0 | 0 | 0 | 0 |
Income tax impact | 0 | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 0 | 0 | 0 | 0 |
Other comprehensive income (loss) | 922.8 | (235.8) | 1,845.6 | (293.1) |
Ending balance | (327.7) | (2,391.2) | (327.7) | (2,391.2) |
Pension & Postretirement Plan Benefit Adjustments | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | (765.4) | (681.1) | (781.5) | (691.1) |
Increase (decrease) | 0 | 0 | 0 | 0 |
Income tax impact | 0 | 0 | 0 | 0 |
Other comprehensive income (loss) before reclassifications, net of income taxes | 0 | 0 | 0 | 0 |
Increase | 11.6 | 7.5 | 32.8 | 20.7 |
Income tax impact | (2.7) | (1.7) | (7.8) | (4.9) |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 8.9 | 5.8 | 25 | 15.8 |
Other comprehensive income (loss) | 8.9 | 5.8 | 25 | 15.8 |
Ending balance | (756.5) | (675.3) | (756.5) | (675.3) |
Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | 0.3 | (1) | (0.7) | (1.9) |
Increase (decrease) | 0 | 0.6 | 1.2 | 1.8 |
Income tax impact | 0 | (0.1) | (0.2) | (0.4) |
Other comprehensive income (loss) before reclassifications, net of income taxes | 0 | 0.5 | 1 | 1.4 |
Increase | 0 | 0 | 0 | 0 |
Income tax impact | 0 | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 0 | 0 | 0 | 0 |
Other comprehensive income (loss) | 0 | 0.5 | 1 | 1.4 |
Ending balance | 0.3 | (0.5) | 0.3 | (0.5) |
Cash flow hedge adjustments | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | 152.5 | (6.8) | (112.8) | 0 |
Increase (decrease) | (304.9) | (55.1) | (8.4) | (64) |
Income tax impact | 47.8 | 13.3 | 3.3 | 15.4 |
Other comprehensive income (loss) before reclassifications, net of income taxes | (257.1) | (41.8) | (5.1) | (48.6) |
Increase | 167.5 | 0 | 184.5 | 0 |
Income tax impact | (0.1) | 0 | (3.8) | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 167.4 | 0 | 180.7 | 0 |
Other comprehensive income (loss) | (89.7) | (41.8) | 175.6 | (48.6) |
Ending balance | 62.8 | (48.6) | 62.8 | (48.6) |
AOCI Including Portion Attributable to Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | (1,863.1) | (2,844.3) | (3,068.3) | (2,791.1) |
Increase (decrease) | 604 | (281.3) | 1,840.8 | (348.2) |
Income tax impact | 61.7 | 4.2 | 0.7 | 7.9 |
Other comprehensive income (loss) before reclassifications, net of income taxes | 665.7 | (277.1) | 1,841.5 | (340.3) |
Increase | 179.1 | 7.5 | 217.3 | 20.7 |
Income tax impact | (2.8) | (1.7) | (11.6) | (4.9) |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 176.3 | 5.8 | 205.7 | 15.8 |
Other comprehensive income (loss) | 842 | (271.3) | 2,047.2 | (324.5) |
Ending balance | (1,021.1) | (3,115.6) | (1,021.1) | (3,115.6) |
AOCI Attributable to Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Other comprehensive income (loss) | 1.2 | 1.2 | ||
Ending balance | (27.3) | (27.3) | ||
Accumulated other comprehensive income (loss) | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Other comprehensive income (loss) | $ 842 | (270.1) | $ 2,047.2 | (323.3) |
Ending balance | $ (3,088.3) | $ (3,088.3) |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | Dec. 31, 2019 |
Revenue from Contract with Customer [Abstract] | ||||||
Revenue, OTLs and STLs | $ 112 | $ 108 | $ 332 | $ 320 | ||
Revenue, remaining performance obligation | $ 2,800 | 2,800 | 2,800 | |||
Revenue, remaining performance obligation, expected satisfaction in next 12 months, percent | 51.00% | |||||
Revenue, remaining performance obligation, expected satisfaction in subsequent 12 months, percent | 22.00% | |||||
Contract with customer, asset, net | $ 67 | 67 | 67 | $ 77 | ||
Contract with customer, liability | $ 1,300 | $ 1,300 | 1,300 | $ 806 | ||
Contract with customer, liability, revenue recognized | $ 537 | $ 497 |
Revenue (Disaggregation of Reve
Revenue (Disaggregation of Revenue by Geographical Region) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Sales | $ 5,883.2 | $ 4,378 | $ 15,523.7 | $ 13,042.7 |
Recurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 4,227 | 3,022.7 | 11,249.3 | 9,082.5 |
Nonrecurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,656.2 | 1,355.3 | 4,274.4 | 3,960.2 |
North America | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 2,379.4 | 1,705.6 | 6,394.7 | 5,117.4 |
Western Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,374 | 954.8 | 3,657.6 | 2,966.3 |
Other developed markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 326.2 | 290.1 | 910.7 | 824.4 |
High-growth markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,803.6 | 1,427.5 | 4,560.7 | 4,134.6 |
Operating segments | Life Sciences | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 2,922.5 | 1,695.6 | 7,215.3 | 5,035.1 |
Operating segments | Life Sciences | Recurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 2,075.5 | 1,084.3 | 5,135 | 3,264.4 |
Operating segments | Life Sciences | Nonrecurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 847 | 611.3 | 2,080.3 | 1,770.7 |
Operating segments | Life Sciences | North America | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,100.6 | 637.2 | 2,721.1 | 1,878.1 |
Operating segments | Life Sciences | Western Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 779.7 | 444.1 | 1,962.9 | 1,363.7 |
Operating segments | Life Sciences | Other developed markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 193.4 | 149.2 | 524.4 | 436.1 |
Operating segments | Life Sciences | High-growth markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 848.8 | 465.1 | 2,006.9 | 1,357.2 |
Operating segments | Diagnostics | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,889.1 | 1,601.9 | 5,176.3 | 4,757 |
Operating segments | Diagnostics | Recurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,541.6 | 1,343.2 | 4,305 | 4,047.9 |
Operating segments | Diagnostics | Nonrecurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 347.5 | 258.7 | 871.3 | 709.1 |
Operating segments | Diagnostics | North America | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 797.8 | 602.9 | 2,243.5 | 1,836.3 |
Operating segments | Diagnostics | Western Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 349.2 | 257.9 | 974.3 | 828.5 |
Operating segments | Diagnostics | Other developed markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 103.6 | 108.4 | 297.9 | 295.6 |
Operating segments | Diagnostics | High-growth markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 638.5 | 632.7 | 1,660.6 | 1,796.6 |
Operating segments | Environmental & Applied Solutions | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 1,071.6 | 1,080.5 | 3,132.1 | 3,250.6 |
Operating segments | Environmental & Applied Solutions | Recurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 609.9 | 595.2 | 1,809.3 | 1,770.2 |
Operating segments | Environmental & Applied Solutions | Nonrecurring revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 461.7 | 485.3 | 1,322.8 | 1,480.4 |
Operating segments | Environmental & Applied Solutions | North America | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 481 | 465.5 | 1,430.1 | 1,403 |
Operating segments | Environmental & Applied Solutions | Western Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 245.1 | 252.8 | 720.4 | 774.1 |
Operating segments | Environmental & Applied Solutions | Other developed markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | 29.2 | 32.5 | 88.4 | 92.7 |
Operating segments | Environmental & Applied Solutions | High-growth markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales | $ 316.3 | $ 329.7 | $ 893.2 | $ 980.8 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) $ / shares in Units, $ in Millions | Apr. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Mar. 01, 2019USD ($) | Oct. 02, 2020USD ($) | Jul. 03, 2020USD ($)$ / shares | Sep. 27, 2019USD ($) | Oct. 02, 2020USD ($)Business | Sep. 27, 2019USD ($) | Dec. 31, 2019USD ($) |
Business Acquisition [Line Items] | ||||||||||
Pension liabilities | $ 422.8 | $ 422.8 | ||||||||
Revenue reported by acquired entity for last annual period | 3,300 | |||||||||
Disposal group, product lines, revenues | $ 170 | |||||||||
Proceeds from sale of product lines | $ 826 | 825.9 | $ 0 | |||||||
Pretax gain on sale of product lines | 0 | $ 455 | $ 0 | 454.6 | 0 | |||||
Gain on sale of product lines, net of tax | $ 305 | |||||||||
Gain on sale of product lines, net of tax, per diluted common share | $ / shares | $ 0.42 | |||||||||
Goodwill | 10,301.4 | |||||||||
Net cash consideration | $ 20,818.5 | $ 331.1 | ||||||||
Number of businesses acquired | Business | 2 | |||||||||
Cytiva | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Net cash consideration | $ 20,700 | |||||||||
Cash acquired | 100 | |||||||||
Pension liabilities | 400 | 422.8 | $ 422.8 | |||||||
Pretax gain on sale of product lines | 455 | |||||||||
Proceeds from underwritten public offerings of Common Stock and Mandatory Convertible Preferred Stock Series A | $ 3,000 | |||||||||
Proceeds from term debt | $ 10,800 | |||||||||
Proceeds from CP borrowings, Five-year facility borrowings and cash on hand | 6,900 | |||||||||
Goodwill | $ 10,200 | 10,206.7 | ||||||||
Net cash consideration | 20,714.7 | |||||||||
Series of Individually Immaterial Business Acquisitions [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Pension liabilities | $ 0 | 0 | ||||||||
Goodwill | 94.7 | |||||||||
Net cash consideration | $ 103.8 | |||||||||
Number of businesses acquired | Business | 1 |
Acquisitions (Pro Forma Financi
Acquisitions (Pro Forma Financial Information) (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Oct. 02, 2020 | Jul. 03, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||
Pretax gain on sale of product lines | $ 0 | $ 455 | $ 0 | $ 454.6 | $ 0 |
Gain on sale of product lines, net of tax | $ 305 | ||||
Gain on sale of product lines, net of tax, per diluted common share | $ 0.42 | ||||
Cytiva | |||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||
Pretax gain on sale of product lines | 455 | ||||
Cytiva | Fair value adjustment to inventory | |||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||
Pro forma earnings, adjustments | 43 | 480 | |||
Cytiva | Acquisition-related transaction costs | |||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||
Pro forma earnings, adjustments | $ 30 | $ 59 | $ 63 |
Acquisitions (Fair Values Of Th
Acquisitions (Fair Values Of The Assets Acquired And Liabilities) (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Oct. 02, 2020 | Sep. 27, 2019 |
Business Acquisition [Line Items] | |||
Trade accounts receivable | $ 483.1 | ||
Inventories | 939.2 | ||
Property, plant and equipment | 688.8 | ||
Goodwill | 10,301.4 | ||
Other intangible assets, primarily technology and customer relationships | 10,671.9 | ||
Trade accounts payable | (249.2) | ||
Pension liabilities | (422.8) | ||
Deferred tax liabilities | (1,196.5) | ||
Other assets and liabilities, net | (397.4) | ||
Net cash consideration | 20,818.5 | $ 331.1 | |
Cytiva | |||
Business Acquisition [Line Items] | |||
Trade accounts receivable | 481.7 | ||
Inventories | 939.2 | ||
Property, plant and equipment | 688.8 | ||
Goodwill | $ 10,200 | 10,206.7 | |
Other intangible assets, primarily technology and customer relationships | 10,655.5 | ||
Trade accounts payable | (248.8) | ||
Pension liabilities | $ (400) | (422.8) | |
Deferred tax liabilities | (1,196.5) | ||
Other assets and liabilities, net | (389.1) | ||
Net cash consideration | 20,714.7 | ||
Series of Individually Immaterial Business Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Trade accounts receivable | 1.4 | ||
Inventories | 0 | ||
Property, plant and equipment | 0 | ||
Goodwill | 94.7 | ||
Other intangible assets, primarily technology and customer relationships | 16.4 | ||
Trade accounts payable | (0.4) | ||
Pension liabilities | 0 | ||
Deferred tax liabilities | 0 | ||
Other assets and liabilities, net | (8.3) | ||
Net cash consideration | $ 103.8 |
Acquisitions (Pro Forma Finan_2
Acquisitions (Pro Forma Financial Information) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Business Combinations [Abstract] | ||||
Sales | $ 5,895.2 | $ 5,113.7 | $ 16,343.9 | $ 15,247.8 |
Net earnings from continuing operations | $ 1,064 | $ 719.7 | $ 2,574.1 | $ 1,545 |
Diluted net earnings per common share from continuing operations | $ 1.41 | $ 0.96 | $ 3.46 | $ 2.04 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Sales | $ 659.3 | $ 2,031.1 | ||
Cost of sales | (292.3) | (907.4) | ||
Selling, general and administrative expenses | (272.2) | (869.7) | ||
Research and development expenses | (36.3) | (119.3) | ||
Other income | 0.2 | 1.6 | ||
Interest expense | (2.3) | (6) | ||
Earnings from discontinued operations before income taxes | 56.4 | 130.3 | ||
Income taxes | (13.2) | (30.7) | ||
Net earnings, net of income taxes | 43.2 | 99.6 | ||
Net earnings attributable to noncontrolling interest | (5.9) | (5.9) | ||
Earnings from discontinued operations, net of income taxes | $ 0 | $ 37.3 | $ 0 | $ 93.7 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Oct. 02, 2020 | Oct. 02, 2020 | |
Goodwill [Line Items] | ||
Goodwill, purchase accounting adjustments | $ 3 | |
Asset impairment charges, long-lived assets | $ 14 | 22 |
Cytiva | ||
Goodwill [Line Items] | ||
Goodwill, purchase accounting adjustments | $ (1,300) | |
Acquired finite-lived intangible assets, weighted average useful life | 17 years |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Rollforward of Goodwill) (Details) $ in Millions | 9 Months Ended |
Oct. 02, 2020USD ($) | |
Goodwill [Roll Forward] | |
Balance, beginning of period | $ 22,712.5 |
Attributable to 2020 acquisitions | 10,301.4 |
Attributable to 2020 divestitures | (180.5) |
Adjustments due to finalization of purchase price allocations | (3) |
Foreign currency translation and other | 1,439.3 |
Balance, end of period | $ 34,269.7 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Goodwill by Segment) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Goodwill [Line Items] | ||
Total goodwill | $ 34,269.7 | $ 22,712.5 |
Operating segments | Life Sciences | ||
Goodwill [Line Items] | ||
Total goodwill | 24,866.5 | 13,471.8 |
Operating segments | Diagnostics | ||
Goodwill [Line Items] | ||
Total goodwill | 6,951.6 | 6,901.2 |
Operating segments | Environmental & Applied Solutions | ||
Goodwill [Line Items] | ||
Total goodwill | $ 2,451.6 | $ 2,339.5 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets (Schedule of Finite-lived Intangible Assets And Indefinite-lived Intangible Assets By Major Class) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Finite-lived intangibles, gross carrying amount | $ 20,886.6 | $ 9,080.1 |
Finite-lived intangibles, accumulated amortization | (4,342.7) | (3,546.4) |
Total intangibles, gross carrying amount | 25,196.9 | 13,296.1 |
Trademarks and trade names | ||
Indefinite-lived intangibles, gross carrying amount | 4,310.3 | 4,216 |
Patents and technology | ||
Finite-lived intangibles, gross carrying amount | 11,944.3 | 2,712.7 |
Finite-lived intangibles, accumulated amortization | (1,329.4) | (934.1) |
Customer relationships and other intangibles | ||
Finite-lived intangibles, gross carrying amount | 8,942.3 | 6,367.4 |
Finite-lived intangibles, accumulated amortization | $ (3,013.3) | $ (2,612.3) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Oct. 02, 2020 | Oct. 02, 2020 | |
Fair Value Disclosures [Abstract] | ||
Unrealized gain (loss) on investments | $ 3 | $ (10) |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets and Liabilities Carried at Fair Value) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Assets: | ||
Available-for-sale debt securities | $ 29.6 | $ 33.7 |
Investment in equity securities | 235.2 | 110.8 |
Cross-currency swap derivative contracts | 35.9 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 120.2 | 111.7 |
Deferred compensation plans | 98.8 | 70.4 |
Quoted Prices in Active Market (Level 1) | ||
Assets: | ||
Available-for-sale debt securities | 0 | 0 |
Investment in equity securities | 16 | 0 |
Cross-currency swap derivative contracts | 0 | 0 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | 0 |
Deferred compensation plans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Available-for-sale debt securities | 29.6 | 33.7 |
Investment in equity securities | 0 | 0 |
Cross-currency swap derivative contracts | 35.9 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 120.2 | 111.7 |
Deferred compensation plans | 98.8 | 70.4 |
Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Available-for-sale debt securities | 0 | 0 |
Investment in equity securities | 0 | 0 |
Cross-currency swap derivative contracts | 0 | 0 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | 0 |
Deferred compensation plans | $ 0 | $ 0 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Amounts and Fair Values of Financial Instruments) (Details) - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Assets: | ||
Available-for-sale debt securities | $ 29.6 | $ 33.7 |
Investment in equity securities | 235.2 | 110.8 |
Cross-currency swap derivative contracts | 35.9 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 120.2 | 111.7 |
Carrying Amount | ||
Assets: | ||
Available-for-sale debt securities | 29.6 | 33.7 |
Investment in equity securities | 235.2 | 110.8 |
Cross-currency swap derivative contracts | 35.9 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 120.2 | 111.7 |
Notes payable and current portion of long-term debt | 19.7 | 212.4 |
Long-term debt | 21,806.1 | 21,516.7 |
Fair Value | ||
Assets: | ||
Available-for-sale debt securities | 29.6 | 33.7 |
Investment in equity securities | 235.2 | 110.8 |
Cross-currency swap derivative contracts | 35.9 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 120.2 | 111.7 |
Notes payable and current portion of long-term debt | 19.7 | 212.4 |
Long-term debt | $ 23,019.1 | $ 21,896.9 |
Financing (Narrative) (Details)
Financing (Narrative) (Details) $ / shares in Units, shares in Thousands, € in Millions, $ in Millions | Oct. 06, 2020USD ($) | Oct. 02, 2020USD ($)$ / shares | Sep. 24, 2020USD ($) | Jun. 05, 2020USD ($) | May 15, 2020USD ($) | Apr. 08, 2020USD ($) | Apr. 08, 2020EUR (€) | Apr. 07, 2020USD ($) | Mar. 31, 2020 | Mar. 30, 2020USD ($) | Mar. 30, 2020EUR (€) | Mar. 24, 2020USD ($) | Oct. 02, 2020USD ($)$ / shares | Sep. 27, 2019USD ($) | Oct. 02, 2020USD ($)$ / shares | Oct. 02, 2020USD ($)$ / sharesshares | Sep. 27, 2019USD ($) | Oct. 06, 2020EUR (€) | Oct. 02, 2020EUR (€) | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2019EUR (€) |
Debt Instrument [Line Items] | |||||||||||||||||||||
Debt discounts, premiums and debt issuance costs | $ 116 | $ 116 | $ 116 | $ 116 | $ 112 | ||||||||||||||||
Common stock, par value | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||||||||||||||
Debt conversion, converted instrument, tax benefit | $ 39.2 | $ 0.4 | $ 42.2 | $ 8.5 | |||||||||||||||||
Commercial paper | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Long-term debt | $ 1,900 | $ 1,900 | $ 1,900 | $ 1,900 | |||||||||||||||||
Weighted average interest rate of long-term debt, interest rate | (0.08%) | (0.08%) | (0.08%) | (0.08%) | (0.08%) | ||||||||||||||||
Weighted average maturity of long-term debt, at point in time | 60 days | ||||||||||||||||||||
Senior notes | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Proceeds from issuance of debt | $ 816 | € 754 | $ 1,900 | € 1,700 | |||||||||||||||||
2.6% senior notes due 2050 | Senior notes | Subsequent event | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Aggregate principal amount | $ 1,000 | ||||||||||||||||||||
Proceeds from issuance of debt | $ 980 | ||||||||||||||||||||
1.7% senior notes due 2022 | Senior notes | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Aggregate principal amount | € | € 800 | € 800 | |||||||||||||||||||
1.7% senior notes due 2022 | Senior notes | Subsequent event | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Aggregate principal amount | € | € 800 | ||||||||||||||||||||
Zero-coupon LYONs due 2021 | Convertible debt | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Shares issued under debt conversion, shares | shares | 294 | ||||||||||||||||||||
Debt conversion, converted instrument, tax benefit | $ 42 | ||||||||||||||||||||
Long-term debt | Revolving credit facility | Five-Year Facility | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit | $ 5,000 | ||||||||||||||||||||
Proceeds from line of credit | $ 2,500 | ||||||||||||||||||||
Line of credit facility, interest rate | 1.70% | 1.90% | |||||||||||||||||||
Repayments of debt | $ 1,250 | $ 1,250 | |||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit | $ 2,500 | ||||||||||||||||||||
Debt instrument, covenants, conversion fee, percent | 0.75% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Minimum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit facility, commitment fee percentage | 0.10% | ||||||||||||||||||||
Debt instrument, covenants, leverage ratio | 0.65% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Maximum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit facility, commitment fee percentage | 0.225% | ||||||||||||||||||||
Debt instrument, covenants, leverage ratio | 1.00% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | LIBOR | Minimum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Debt instrument, basis spread on variable rate | 0.90% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | LIBOR | Maximum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Debt instrument, basis spread on variable rate | 1.275% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Fed funds rate | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Eurodollar | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Eurodollar | Minimum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit facility, commitment fee percentage | 0.00% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | 364-Day Facility | Eurodollar | Maximum | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit facility, commitment fee percentage | 0.275% | ||||||||||||||||||||
Short-term debt | Revolving credit facility | Superseded 364-Day Facility | |||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||
Line of credit | $ 5,000 | ||||||||||||||||||||
Proceeds from line of credit | $ 2,500 | ||||||||||||||||||||
Line of credit facility, interest rate | 2.30% | ||||||||||||||||||||
Repayments of debt | $ 2,500 |
Financing (Components Of Debt)
Financing (Components Of Debt) (Details) € in Millions, SFr in Millions, $ in Millions, ¥ in Billions | Oct. 02, 2020USD ($) | Oct. 02, 2020EUR (€) | Oct. 02, 2020JPY (¥) | Oct. 02, 2020CHF (SFr) | Apr. 08, 2020EUR (€) | Mar. 30, 2020EUR (€) | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2019JPY (¥) | Dec. 31, 2019CHF (SFr) |
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 21,825.8 | $ 21,729.1 | ||||||||
Less: currently payable | 19.7 | 212.4 | ||||||||
Long-term debt excluding currently payable | 21,806.1 | 21,516.7 | ||||||||
Other | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | 35.7 | 76.3 | ||||||||
Commercial paper | Euro-denominated commercial paper | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | 1,860.8 | € 1,600 | 5,146.2 | € 4,600 | ||||||
Senior notes | 0.352% senior notes due 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 284.6 | 275.8 | ||||||||
Interest rate of debt instrument | 0.352% | 0.352% | 0.352% | 0.352% | ||||||
Aggregate principal amount | ¥ | ¥ 30 | ¥ 30 | ||||||||
Senior notes | 1.7% senior notes due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 935.5 | 894.8 | ||||||||
Interest rate of debt instrument | 1.70% | 1.70% | 1.70% | 1.70% | ||||||
Aggregate principal amount | € | € 800 | 800 | ||||||||
Senior notes | Floating rate senior notes due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 292.4 | 279.8 | ||||||||
Aggregate principal amount | € | € 250 | 250 | ||||||||
Senior notes | 2.05% senior notes due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 697.8 | 696.9 | ||||||||
Interest rate of debt instrument | 2.05% | 2.05% | 2.05% | 2.05% | ||||||
Senior notes | 1.7% senior notes due 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 1,049.4 | 0 | ||||||||
Interest rate of debt instrument | 1.70% | 1.70% | 1.70% | 1.70% | 1.70% | 1.70% | ||||
Aggregate principal amount | € | € 900 | € 150 | € 750 | |||||||
Senior notes | 2.2% senior notes due 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 696.6 | 696.2 | ||||||||
Interest rate of debt instrument | 2.20% | 2.20% | 2.20% | 2.20% | ||||||
Senior notes | 2.5% senior notes due 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 934 | 893.7 | ||||||||
Interest rate of debt instrument | 2.50% | 2.50% | 2.50% | 2.50% | ||||||
Aggregate principal amount | € | € 800 | 800 | ||||||||
Senior notes | 3.35% senior notes due 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 497.6 | 497.3 | ||||||||
Interest rate of debt instrument | 3.35% | 3.35% | 3.35% | 3.35% | ||||||
Senior notes | 0.2% senior notes due 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 1,455.5 | 1,392.3 | ||||||||
Interest rate of debt instrument | 0.20% | 0.20% | 0.20% | 0.20% | ||||||
Aggregate principal amount | € | € 1,300 | 1,300 | ||||||||
Senior notes | 2.1% senior notes due 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 933.3 | 0 | ||||||||
Interest rate of debt instrument | 2.10% | 2.10% | 2.10% | 2.10% | 2.10% | 2.10% | ||||
Aggregate principal amount | € | € 800 | € 300 | € 500 | |||||||
Senior notes | 0.3% senior notes due 2027 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 291.4 | 282.5 | ||||||||
Interest rate of debt instrument | 0.30% | 0.30% | 0.30% | 0.30% | ||||||
Aggregate principal amount | ¥ | ¥ 30.8 | 30.8 | ||||||||
Senior notes | 1.2% senior notes due 2027 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 698.4 | 668 | ||||||||
Interest rate of debt instrument | 1.20% | 1.20% | 1.20% | 1.20% | ||||||
Aggregate principal amount | € | € 600 | 600 | ||||||||
Senior notes | 0.45% senior notes due 2028 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 1,453.6 | 1,390.1 | ||||||||
Interest rate of debt instrument | 0.45% | 0.45% | 0.45% | 0.45% | ||||||
Aggregate principal amount | € | € 1,300 | 1,300 | ||||||||
Senior notes | 2.6% senior notes due 2029 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 794.6 | 794.8 | ||||||||
Interest rate of debt instrument | 2.60% | 2.60% | 2.60% | 2.60% | ||||||
Senior notes | 2.5% senior notes due 2030 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 936.8 | 0 | ||||||||
Interest rate of debt instrument | 2.50% | 2.50% | 2.50% | 2.50% | 2.50% | 2.50% | ||||
Aggregate principal amount | € | € 800 | € 300 | € 500 | |||||||
Senior notes | 0.75% senior notes due 2031 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 2,037 | 1,948.7 | ||||||||
Interest rate of debt instrument | 0.75% | 0.75% | 0.75% | 0.75% | ||||||
Aggregate principal amount | € | € 1,800 | 1,800 | ||||||||
Senior notes | 0.65% senior notes due 2032 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 503.1 | 487.8 | ||||||||
Interest rate of debt instrument | 0.65% | 0.65% | 0.65% | 0.65% | ||||||
Aggregate principal amount | ¥ | ¥ 53.2 | ¥ 53.2 | ||||||||
Senior notes | 1.35% senior notes due 2039 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 1,446.6 | 1,383.6 | ||||||||
Interest rate of debt instrument | 1.35% | 1.35% | 1.35% | 1.35% | ||||||
Aggregate principal amount | € | € 1,300 | 1,300 | ||||||||
Senior notes | 3.25% senior notes due 2039 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 889.2 | 890.3 | ||||||||
Interest rate of debt instrument | 3.25% | 3.25% | 3.25% | 3.25% | ||||||
Senior notes | 4.375% senior notes due 2045 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 499.4 | 499.4 | ||||||||
Interest rate of debt instrument | 4.375% | 4.375% | 4.375% | 4.375% | ||||||
Senior notes | 1.8% senior notes due 2049 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 868.6 | 830.9 | ||||||||
Interest rate of debt instrument | 1.80% | 1.80% | 1.80% | 1.80% | ||||||
Aggregate principal amount | € | € 750 | € 750 | ||||||||
Senior notes | 3.4% senior notes due 2049 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 888.6 | 890.2 | ||||||||
Interest rate of debt instrument | 3.40% | 3.40% | 3.40% | 3.40% | ||||||
Convertible debt | Zero-coupon LYONs due 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 26.2 | 33.6 | ||||||||
Interest rate of debt instrument | 0.00% | 0.00% | 0.00% | 0.00% | ||||||
Bonds | 0.5% senior bonds due 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 587.3 | 558.9 | ||||||||
Interest rate of debt instrument | 0.50% | 0.50% | 0.50% | 0.50% | ||||||
Aggregate principal amount | SFr | SFr 540 | SFr 540 | ||||||||
Bonds | 1.125% senior bonds due 2028 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 231.8 | $ 221 | ||||||||
Interest rate of debt instrument | 1.125% | 1.125% | 1.125% | 1.125% | ||||||
Aggregate principal amount | SFr | SFr 210 | SFr 210 |
Financing (Key Terms Of Euronot
Financing (Key Terms Of Euronotes Offering) (Details) - Senior notes - EUR (€) € in Millions | Apr. 08, 2020 | Mar. 30, 2020 | Oct. 02, 2020 |
1.7% senior notes due 2024 | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount | € 150 | € 750 | € 900 |
Interest rate of debt instrument | 1.70% | 1.70% | 1.70% |
Redemption price, percent | 100.298% | 99.931% | |
2.1% senior notes due 2026 | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount | € 300 | € 500 | € 800 |
Interest rate of debt instrument | 2.10% | 2.10% | 2.10% |
Redemption price, percent | 100.842% | 99.717% | |
2.5% senior notes due 2030 | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount | € 300 | € 500 | € 800 |
Interest rate of debt instrument | 2.50% | 2.50% | 2.50% |
Redemption price, percent | 102.166% | 99.642% |
Hedging Transactions And Deri_3
Hedging Transactions And Derivative Financial Instruments (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Cash flow hedge adjustments | ||||
Derivative [Line Items] | ||||
Increase | $ 167.5 | $ 0 | $ 184.5 | $ 0 |
Cash flow hedge adjustments | Foreign currency contracts | ||||
Derivative [Line Items] | ||||
Increase | 167 | 183 | ||
Cash flow hedge adjustments | Interest rate swap | ||||
Derivative [Line Items] | ||||
Increase | 1 | 2 | ||
Net investment hedges | Foreign currency contracts | ||||
Derivative [Line Items] | ||||
Derivative, notional amount outstanding | 2,000 | $ 1,650 | $ 2,000 | $ 1,650 |
Derivative, notional amount, entered into during period | $ 1,000 |
Hedging Transactions And Deri_4
Hedging Transactions And Derivative Financial Instruments (Summary of Notional Values and Pretax Impact in Fair Values of Net Investment Hedges) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative and nonderivative, original notional amount | $ 13,494.3 | $ 12,098.6 | $ 13,494.3 | $ 12,098.6 |
Derivative and nonderivative, notional amount | 12,619.3 | 11,223.6 | 12,619.3 | 11,223.6 |
Derivative and nonderivative, gain (loss) recognized in OCI | (570.9) | 241.6 | (239.8) | 236.3 |
Net investment hedges | Foreign currency contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, original notional amount | 2,875 | 2,525 | 2,875 | 2,525 |
Derivative, notional amount outstanding | 2,000 | 1,650 | 2,000 | 1,650 |
Derivative, gain (loss) recognized in OCI | (57.6) | 41.5 | 10.1 | 36.8 |
Net investment hedges | Foreign currency denominated debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Nonderivative, notional amount | 6,619.3 | 8,073.6 | 6,619.3 | 8,073.6 |
Nonderivative, gain (loss) recognized in OCI | (208.4) | 255.2 | (241.5) | 263.5 |
Cash flow hedges | Foreign currency contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, original notional amount | 4,000 | 4,000 | ||
Derivative, notional amount outstanding | 4,000 | 4,000 | ||
Derivative, gain (loss) recognized in OCI | $ (304.9) | $ (8.4) | ||
Cash flow hedges | Interest rate swap | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, original notional amount | 1,500 | 1,500 | ||
Derivative, notional amount outstanding | 1,500 | 1,500 | ||
Derivative, gain (loss) recognized in OCI | $ (55.1) | $ (64) |
Hedging Transactions And Deri_5
Hedging Transactions And Derivative Financial Instruments (Derivative and Nonderivative Debt Instruments) (Details) - Net investment hedges - USD ($) $ in Millions | Oct. 02, 2020 | Dec. 31, 2019 |
Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 0 | $ 25.7 |
Other long-term assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 35.9 | 0 |
Accrued expenses and other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 120.2 | 111.7 |
Long-term debt | ||
Derivatives, Fair Value [Line Items] | ||
Nonderivative hedging instruments | $ 6,619.3 | $ 6,275.9 |
Defined Benefit Plans (Narrativ
Defined Benefit Plans (Narrative) (Details) - Defined benefit pension plans $ in Millions | Oct. 02, 2020USD ($) |
U.S. pension benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future employer contributions, current fiscal year | $ 85 |
Non-U.S. pension benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future employer contributions, current fiscal year | $ 50 |
Defined Benefit Plans (Componen
Defined Benefit Plans (Components of Net Periodic Benefit Cost of Defined Benefit Pension Pans) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ (11) | $ (7.7) | $ (28) | $ (22.7) |
Net periodic benefit (cost) | (7.6) | (3.5) | (14.2) | (8.4) |
Defined benefit pension plans | U.S. pension benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | (1.6) | 0 | (4.8) |
Interest cost | (17.3) | (22.1) | (51.2) | (66.5) |
Expected return on plan assets | 30.1 | 31 | 89.7 | 94.2 |
Amortization of actuarial loss | (9.5) | (6.7) | (27.6) | (19.1) |
Amortization of prior service credit | (0.2) | (0.2) | (0.7) | (0.7) |
Net periodic benefit (cost) | 3.1 | 0.4 | 10.2 | 3.1 |
Defined benefit pension plans | Non-U.S. pension benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | (10.9) | (6) | (27.7) | (17.6) |
Interest cost | (6) | (6.1) | (16.2) | (18.4) |
Expected return on plan assets | 9.1 | 10 | 26.9 | 30.2 |
Amortization of actuarial loss | (2.4) | (1.1) | (7.1) | (3.3) |
Amortization of prior service credit | 0.2 | 0 | 0.8 | 0.1 |
Curtailment gain recognized | 0 | 0 | 0.4 | 0 |
Settlement gain recognized | 0 | 0.1 | 0 | 0 |
Net periodic benefit (cost) | $ (10) | $ (3.1) | $ (22.9) | $ (9) |
Defined Benefit Plans (Compon_2
Defined Benefit Plans (Components of Net Periodic Benefit Cost of Other Postretirement Benefit Pension Pans) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ (11) | $ (7.7) | $ (28) | $ (22.7) |
Net periodic cost | (7.6) | (3.5) | (14.2) | (8.4) |
Other postretirement benefit plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | (0.1) | (0.1) | (0.3) | (0.3) |
Interest cost | (0.9) | (1.3) | (2.6) | (3.8) |
Amortization of actuarial loss | (0.3) | 0 | (0.3) | 0 |
Amortization of prior service credit | 0.6 | 0.6 | 1.7 | 1.6 |
Net periodic cost | $ (0.7) | $ (0.8) | $ (1.5) | $ (2.5) |
Defined Benefit Plans (Compon_3
Defined Benefit Plans (Components of Net Periodic Benefit Cost Reflected in the Consolidated Condensed Statement of Earnings) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Total service cost | $ (11) | $ (7.7) | $ (28) | $ (22.7) |
Other (expense) income, net | 3.4 | 4.2 | 13.8 | 14.3 |
Net periodic benefit (cost) | (7.6) | (3.5) | (14.2) | (8.4) |
Cost of sales | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total service cost | (2.9) | (2) | (7.2) | (6.2) |
Selling, general and administrative expenses | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total service cost | $ (8.1) | $ (5.7) | $ (20.8) | $ (16.5) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ / shares in Units, kr in Millions, $ in Millions | Dec. 31, 2017 | Oct. 02, 2020USD ($) | Sep. 27, 2019 | Oct. 02, 2020USD ($) | Sep. 27, 2019USD ($)$ / shares | Dec. 21, 2017 | Dec. 31, 2015USD ($) | Dec. 16, 2019DKK (kr) | Aug. 27, 2019DKK (kr) | Dec. 10, 2013DKK (kr) |
Income Tax Examination [Line Items] | ||||||||||
Federal statutory income tax rate, percent | 21.00% | 21.00% | 21.00% | 21.00% | 21.00% | 35.00% | ||||
Net tax benefits, impact, percent | (6.10%) | (1.10%) | 9.70% | |||||||
Net tax benefits, impact, amount | $ (227) | |||||||||
Net tax benefits, impact, per diluted share | $ / shares | $ (0.31) | |||||||||
Income tax examination, self-insurance programs, proposed adjustments to taxable income | $ 2,700 | |||||||||
Foreign tax authority | ||||||||||
Income Tax Examination [Line Items] | ||||||||||
Income tax examination, amount of tax assessments 2004-2009 | $ 292 | $ 292 | kr 1,900 | |||||||
Income tax examination, amount of tax assessments 2010-2012 | 169 | 169 | kr 1,100 | |||||||
Income tax examination, amount of tax assessments 2013-2015 | $ 120 | $ 120 | kr 761 |
Income Taxes (Summary Of Danahe
Income Taxes (Summary Of Danaher's Effective Income Tax Rate) (Details) | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate | 13.50% | 19.80% | 18.50% | 29.60% |
Other Income (Expense), Net a_2
Other Income (Expense), Net and Gain on Sale of Product Lines (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Apr. 30, 2020 | Oct. 02, 2020 | Jul. 03, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | Dec. 31, 2019 |
Other Income and Expenses [Abstract] | |||||||
Other nonoperating income, net pension and postretirement benefits | $ 3 | $ 4 | $ 14 | $ 14 | |||
Unrealized gain (loss) on investments | 3 | (10) | |||||
Disposal group, product lines, revenues | $ 170 | ||||||
Proceeds from sale of product lines | $ 826 | 825.9 | 0 | ||||
Pretax gain on sale of product lines | $ 0 | $ 455 | $ 0 | $ 454.6 | $ 0 | ||
Gain on sale of product lines, net of tax | $ 305 | ||||||
Gain on sale of product lines, net of tax, per diluted common share | $ 0.42 |
Commitments And Contingencies_2
Commitments And Contingencies (Narrative) (Details) | 9 Months Ended |
Oct. 02, 2020 | |
Maximum | |
Standard product warranty period | 10 years |
Commitments And Contingencies_3
Commitments And Contingencies (Warranty Accrual) (Details) $ in Millions | 9 Months Ended |
Oct. 02, 2020USD ($) | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | |
Balance, beginning of period | $ 73.3 |
Accruals for warranties issued during the period | 33.1 |
Settlements made | (26.3) |
Adjustments due to acquisitions/divestitures | 1.7 |
Effect of foreign currency translation | 0.4 |
Balance, end of period | $ 82.2 |
Stock Transactions And Stock-_3
Stock Transactions And Stock-Based Compensation (Narrative) (Details) $ / shares in Units, $ in Millions | Oct. 02, 2020USD ($)shares | Dec. 31, 2019shares | Mar. 01, 2019USD ($)$ / sharesshares | May 31, 2020USD ($)$ / sharesshares | Oct. 02, 2020USD ($)shares | Sep. 27, 2019shares | Oct. 02, 2020USD ($)shares | Sep. 27, 2019USD ($)shares | Jul. 16, 2013shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Authorized shares to be repurchased | shares | 20,000,000 | ||||||||
Remaining number of shares authorized to be repurchased | shares | 20,000,000 | 20,000,000 | 20,000,000 | ||||||
Common stock, proceeds from issuance | $ | $ 1,728.5 | $ 1,443.2 | |||||||
Preferred stock, proceeds from the issuance | $ | $ 1,668.1 | $ 1,599.6 | |||||||
Common shares reserved for issuance under the 2007 Omnibus Incentive Plan, shares | shares | 54,000,000 | 54,000,000 | 54,000,000 | ||||||
RSU/PSUs | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Total unrecognized compensation cost | $ | $ 195 | $ 195 | $ 195 | ||||||
Weighted average period for cost to be recognized | 2 years | ||||||||
Stock options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Total unrecognized compensation cost | $ | $ 183 | $ 183 | $ 183 | ||||||
Weighted average period for cost to be recognized | 3 years | ||||||||
Common stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Issuance of stock | shares | 10,900,000 | ||||||||
Common stock issued, price per share | $ / shares | $ 163 | ||||||||
Common stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Issuance of stock | shares | 12,100,000 | 0 | 0 | 10,900,000 | 12,100,000 | ||||
Common stock issued, price per share | $ / shares | $ 123 | ||||||||
Common stock, proceeds from issuance | $ | $ 1,400 | $ 1,730 | |||||||
Payments of stock issuance costs | $ | $ 45 | 54 | |||||||
Threshold consecutive trading days | 20 | ||||||||
Conversion of Stock, Shares Issued | shares | 59 | ||||||||
Preferred stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Issuance of stock | shares | 0 | 0 | 1,700,000 | 1,700,000 | |||||
Preferred stock | Preferred stock series B | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Payments of stock issuance costs | $ | $ 49 | ||||||||
Preferred stock, shares issued | shares | 1,720,000 | 1,720,000 | 1,720,000 | 1,720,000 | 1,720,000 | ||||
Preferred stock, dividend rate, percent | 5.00% | 5.00% | 5.00% | ||||||
Preferred stock, liquidation preference per share | $ / shares | $ 1,000 | ||||||||
Preferred stock, proceeds from the issuance | $ | $ 1,670 | ||||||||
Preferred stock | Preferred stock series A | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Payments of stock issuance costs | $ | $ 50 | ||||||||
Preferred stock, shares issued | shares | 1,650,000 | 1,650,000 | 1,650,000 | 1,650,000 | 1,650,000 | ||||
Preferred stock, dividend rate, percent | 4.75% | 4.75% | 4.75% | ||||||
Preferred stock, liquidation preference per share | $ / shares | $ 1,000 | ||||||||
Preferred stock, proceeds from the issuance | $ | $ 1,600 | ||||||||
Conversion of Stock, Shares Converted | shares | 9 |
Stock Transactions And Stock-_4
Stock Transactions And Stock-Based Compensation (Summary of Share Activity) (Details) - shares shares in Millions | Mar. 01, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 |
Preferred stock | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Balance, beginning of period | 3.4 | 1.7 | 1.7 | 0 | |
Issuance of stock | 0 | 0 | 1.7 | 1.7 | |
Balance, end of period | 3.4 | 1.7 | 3.4 | 1.7 | |
Common stock | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Balance, beginning of period | 849.5 | 834 | 835.5 | 817.9 | |
Common stock-based award activity | 1.1 | 1 | 3.9 | 4.1 | |
Common stock issued in connection with LYONs’ conversions | 0 | 0 | 0.3 | 0.9 | |
Issuance of stock | 12.1 | 0 | 0 | 10.9 | 12.1 |
Balance, end of period | 850.6 | 835 | 850.6 | 835 |
Stock Transactions And Stock-_5
Stock Transactions And Stock-Based Compensation (Key Terms of Shares) (Details) - Preferred stock - $ / shares | Oct. 02, 2020 | Dec. 31, 2019 | Mar. 01, 2019 | May 31, 2020 |
Preferred stock series A | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Preferred stock, dividend rate, percent | 4.75% | 4.75% | 4.75% | |
Preferred stock, liquidation preference per share | $ 1,000 | |||
Preferred stock series A | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Convertible Preferred Stock, Shares Issued upon Conversion | 6.6556 | |||
Preferred stock series A | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Convertible Preferred Stock, Shares Issued upon Conversion | 8.1530 | |||
Preferred stock series B | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Preferred stock, dividend rate, percent | 5.00% | 5.00% | 5.00% | |
Preferred stock, liquidation preference per share | $ 1,000 | |||
Preferred stock series B | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Convertible Preferred Stock, Shares Issued upon Conversion | 5.0081 | |||
Preferred stock series B | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Convertible Preferred Stock, Shares Issued upon Conversion | 6.1349 |
Stock Transactions And Stock-_6
Stock Transactions And Stock-Based Compensation (Components of Stock-Based Compensation Program) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Pretax compensation expense | $ 45.3 | $ 41 | $ 137.1 | $ 117.5 |
Income tax benefit | (9.5) | (8.7) | (28.2) | (24.4) |
Total stock-based compensation expense, net of income taxes | 35.8 | 32.3 | 108.9 | 93.1 |
RSU/PSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Pretax compensation expense | 27.6 | 25.4 | 83.2 | 72 |
Income tax benefit | (5.9) | (5.3) | (17.2) | (14.9) |
Total stock-based compensation expense, net of income taxes | 21.7 | 20.1 | 66 | 57.1 |
Stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Pretax compensation expense | 17.7 | 15.6 | 53.9 | 45.5 |
Income tax benefit | (3.6) | (3.4) | (11) | (9.5) |
Total stock-based compensation expense, net of income taxes | $ 14.1 | $ 12.2 | $ 42.9 | $ 36 |
Net Earnings Per Common Share_3
Net Earnings Per Common Share From Continuing Operations (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | |
Common stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, amount | 0 | 0 | 1 | 0 |
Preferred stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, amount | 20 | 12 | 16 | 9 |
Net Earnings Per Common Share_4
Net Earnings Per Common Share From Continuing Operations (Components of Basic and Diluted Earnings per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | ||
Numerator | |||||
Net earnings from continuing operations | $ 883.5 | $ 630.7 | $ 2,405.9 | $ 1,639.4 | |
MCPS dividends | (41.1) | (19.6) | (95.3) | (48.8) | |
Net earnings from continuing operations attributable to common stockholders for Basis EPS | 842.4 | 611.1 | 2,310.6 | 1,590.6 | |
Adjustment for interest on convertible debentures | 0.3 | 0.4 | 0.9 | 1.4 | |
Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS | $ 842.7 | $ 611.5 | $ 2,311.5 | $ 1,592 | |
Denominator | |||||
Weighted average common shares outstanding used in Basic EPS | 710.9 | 718.8 | 704.4 | 714.7 | |
Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs | 12.4 | 9.1 | 11.3 | 8.9 | |
Assumed conversion of the convertible debentures | 1 | 1.4 | 1.1 | 1.6 | |
Weighted average common shares outstanding used in Diluted EPS | 724.3 | 729.3 | 716.8 | 725.2 | |
Basic EPS from continuing operations | $ 1.18 | $ 0.85 | $ 3.28 | [1] | $ 2.23 |
Diluted EPS from continuing operations | $ 1.16 | $ 0.84 | $ 3.22 | $ 2.20 | |
[1] | Net earnings per common share amounts for the relevant three-month periods do not add to the nine-month period amounts due to rounding. |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 9 Months Ended |
Oct. 02, 2020Business | |
Segment Reporting [Abstract] | |
Number of segments reported | 3 |
Segment Information (Segment Re
Segment Information (Segment Results) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Oct. 02, 2020 | Sep. 27, 2019 | Oct. 02, 2020 | Sep. 27, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||
Sales | $ 5,883.2 | $ 4,378 | $ 15,523.7 | $ 13,042.7 | |
Operating profit | 1,087.6 | 776.3 | 2,629.7 | 2,307.7 | |
Identifiable assets | 72,890.7 | 72,890.7 | $ 62,081.6 | ||
Other | |||||
Segment Reporting Information [Line Items] | |||||
Operating profit | (70.4) | (88.7) | (272.6) | (231.1) | |
Identifiable assets | 6,174.9 | 6,174.9 | 20,376.3 | ||
Life Sciences | Operating segments | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 2,922.5 | 1,695.6 | 7,215.3 | 5,035.1 | |
Operating profit | 504.9 | 342.5 | 1,242.9 | 995.5 | |
Identifiable assets | 47,084.5 | 47,084.5 | 22,381.3 | ||
Diagnostics | Operating segments | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 1,889.1 | 1,601.9 | 5,176.3 | 4,757 | |
Operating profit | 408 | 266 | 952.4 | 782 | |
Identifiable assets | 14,715.9 | 14,715.9 | 14,442.2 | ||
Environmental & Applied Solutions | Operating segments | |||||
Segment Reporting Information [Line Items] | |||||
Sales | 1,071.6 | 1,080.5 | 3,132.1 | 3,250.6 | |
Operating profit | 245.1 | $ 256.5 | 707 | $ 761.3 | |
Identifiable assets | $ 4,915.4 | $ 4,915.4 | $ 4,881.8 |
Subsequent Events (Details)
Subsequent Events (Details) - Senior notes $ / shares in Units, € in Millions, $ in Millions | Oct. 06, 2020USD ($) | Oct. 06, 2020EUR (€) | Oct. 02, 2020USD ($)$ / shares | Apr. 08, 2020USD ($) | Apr. 08, 2020EUR (€) | Mar. 30, 2020USD ($) | Mar. 30, 2020EUR (€) | Oct. 06, 2020EUR (€) | Oct. 02, 2020EUR (€) | Dec. 31, 2019EUR (€) |
Subsequent Event [Line Items] | ||||||||||
Proceeds from term debt | $ 816 | € 754 | $ 1,900 | € 1,700 | ||||||
1.7% senior notes due 2022 | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Aggregate principal amount | € | € 800 | € 800 | ||||||||
Interest rate of debt instrument | 1.70% | |||||||||
Payment for debt extinguishment or debt prepayment costs, after-tax | $ | $ 19 | |||||||||
Payment for debt extinguishment or debt prepayment costs, per diluted common share | $ / shares | $ 0.03 | |||||||||
Subsequent event | 2.6% senior notes due 2050 | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Aggregate principal amount | $ | $ 1,000 | |||||||||
Interest rate of debt instrument | 2.60% | 2.60% | ||||||||
Proceeds from term debt | $ | $ 980 | |||||||||
Subsequent event | 1.7% senior notes due 2022 | ||||||||||
Subsequent Event [Line Items] | ||||||||||
Aggregate principal amount | € | € 800 | |||||||||
Payment for debt extinguishment or debt prepayment costs | € | € 21 |