EQUITY

The Company may use either authorized and unissued shares or treasury shares to meet share requirements resulting from the exercise of stock options and vesting of performance share awards and restricted stock units. Treasury stock is recognized at the cost to reacquire the shares. Shares issued from treasury are recognized using the first-in first-out method.

For the year ended December 31, 2014, the change in the carrying amount of treasury stock and treasury stock - at cost was driven by repurchases of the Company’s common stock, offset by the impact of a constructive retirement of treasury stock related to stock-based compensation. The constructive share retirement had the impact of decreasing the Company’s total value of treasury stock - at cost and decreasing retained earnings.

On September 10, 2013, MJN’s board of directors approved a share repurchase authorization of up to $500.0 million of the Company’s common stock. From the date of such authorization through December 31, 2014, 0.7 million shares were repurchased at an average cost of $86.23. As of December 31, 2014, the Company had $437.4 million available under this authorization.

Changes in common shares and treasury stock, including the impact of the retirement described above, were as follows:



(In millions)	Common Shares Issued		Treasury Stock		Treasury Stock - at Cost
Balance as of January 1, 2012	205.1		1.4		$	89.7
Stock-based compensation	0.9		0.2		15.2
Treasury stock purchases	—		1.9		139.7
Balance as of December 31, 2012	206.0		3.5		$	244.6

Stock-based compensation	0.8		0.2		18.9
Treasury stock purchases	—		1.1		88.4
Balance as of December 31, 2013	206.8		4.8		$	351.9

Stock-based compensation	1.0		0.1		7.9
Treasury stock purchases	—		0.6		52.9
Retirement of Treasury stock	(0.6	)	(0.6	)	(50.1		)
Balance as of December 31, 2014	207.2		4.9		$	362.6

Changes in accumulated other comprehensive loss by component were as follows:



(In millions)	Foreign Currency Translation Adjustments			Deferred Gains/(Losses) on Derivatives Qualifying as Hedges			Pension and Other Post-employment Benefits			Total			Noncontrolling Interest					Redeemable Noncontrolling Interest
Balance as of December 31, 2013	$	(83.6	)	$	15.4		$	(1.0	)	$	(69.2	)	$	1.9				$	(14.4	)

Deferred Gains/(Losses)	(97.6		)	(52.9		)	—			(150.5		)	—					(7.2		)	(1	)
Reclassification Adjustment for (Gains)/Losses Included in Net Earnings	—			(1.2		)	0.3			(0.9		)	—					—
Tax Benefit/(Expense)	0.8			20.9			—			21.7			—					—

Balance as of December 31, 2014	$	(180.4	)	$	(17.8	)	$	(0.7	)	$	(198.9	)	$	1.9				$	(21.6	)

Balance as of January 1, 2013	$	(14.6	)	$	(4.1	)	$	0.3		$	(18.4	)	$	(0.2	)			$	—

Deferred Gains/(Losses)	(79.4		)	24.2			(1.1		)	(56.3		)	3.3			(1	)	(14.4		)	(1	)
Reclassification Adjustment for (Gains)/ Losses Included in Net Earnings	—			5.4			(0.2		)	5.2			—					—
Tax Benefit/(Expense)	10.4			(10.1		)	—			0.3			(1.2		)			—

Balance as of December 31, 2013	$	(83.6	)	$	15.4		$	(1.0	)	$	(69.2	)	$	1.9				$	(14.4	)

(1) Represents foreign currency translation adjustments.

Deferred losses on derivatives qualifying as hedges for the year ended December 31, 2014 included $64.4 million related to the change in the underlying position of the Company’s interest rate forward swaps intended to mitigate interest rate exposure associated with the 2044 Notes. These interest rate forward swaps were in a gain position with a fair value of $19.4 million at December 31, 2013. From December 31, 2013 through the Company’s settlement in May 2014, the fair value of these interest rate forward swaps declined $64.4 million, resulting in a loss position with a fair value of $45.0 million upon settlement.

Reclassification adjustments out of accumulated other comprehensive loss were as follows:



	Years Ended December 31,
	Affected Statement of Earnings Lines
(In millions)	Cost of Products Sold						Selling, General and Administrative					Tax Benefit/(Expense)					Net
	2014			2013			2014			2013		2014			2013		2014			2013
Deferred Gains/(Losses) on Derivatives Qualifying as Hedges:
Forward Exchange Contracts	$	2.0		$	(5.4	)	$	—		$	—	$	(0.6	)	$	1.6	$	1.4		$	(3.8	)
Commodity Contracts	0.1			—			—			—		—			—		0.1			—
Interest Rate Forward Swap	(0.9		)	—			—			—		—			—		(0.9		)	—

Pension and Other Post-employment Benefit Plans:
Prior Service Benefits	(0.1		)	0.1			(0.2		)	0.1		—			—		(0.3		)	0.2
Total Reclassifications	$	1.1		$	(5.3	)	$	(0.2	)	$	0.1	$	(0.6	)	$	1.6	$	0.3		$	(3.6	)