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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)
$ in Millions
6 Months Ended
Jul. 02, 2017
Jul. 03, 2016
Operating Activities    
Net income before allocation to noncontrolling interests $ 486 $ 428
Adjustments to reconcile net income before noncontrolling interests to net cash provided by operating activities:    
Depreciation and amortization expense [1],[2] 121 117
Share-based compensation expense 22 19
Restructuring (1) (19)
Net loss/(gain) on sale of assets 2 (27)
Provision for losses on inventory 40 35
Deferred taxes 13 17
Employee benefit plan contribution from Pfizer Inc. 1 1
Other non-cash adjustments 0 9
Other changes in assets and liabilities, net of acquisitions and divestitures    
Accounts receivable (41) 53
Inventories (46) (87)
Other assets (106) (72)
Accounts payable (66) (71)
Other liabilities (147) (254)
Other tax accounts, net 21 39
Net cash provided by operating activities 299 188
Investing Activities    
Purchases of property, plant and equipment (93) (99)
Acquisitions (3) (20)
Net proceeds from sales of assets 1 88
Other investing activities 7 0
Net cash used in investing activities (88) (31)
Financing Activities    
Decrease in short-term borrowings, net 0 (1)
Issuance of commercial paper 100 0
Principal payments on long-term debt 0 (400)
Payment of contingent consideration related to previously acquired assets (5) (22)
Share-based compensation-related proceeds, net of taxes paid on withholding shares 18 17
Purchases of treasury stock [3] (250) (151)
Cash dividends paid (103) (94)
Net cash used in financing activities (240) (651)
Effect of exchange-rate changes on cash and cash equivalents 7 (2)
Net decrease in cash and cash equivalents (22) (496)
Cash and cash equivalents at beginning of period 727 [4] 1,154
Cash and cash equivalents at end of period 705 [4] 658
Cash paid during the period for:    
Income taxes 256 215
Interest, net of capitalized interest 82 84
Non-cash transactions:    
Purchases of property, plant and equipment 3 6
Contingent purchase price consideration [5] 0 27
Dividends declared, not paid $ 52 $ 47
[1] Certain production facilities are shared. Depreciation and amortization is allocated to the reportable operating segments based on estimates of where the benefits of the related assets are realized.
[2] Defined as income before provision for taxes on income.
[3] Reflects the acquisition of treasury shares in connection with the share repurchase programs. For additional information, see Note 13. Stockholders' Equity.
[4] As of July 2, 2017, includes $7 million of restricted cash.
[5] For 2016, relates primarily to the non-cash portion of the acquisition of a livestock business in South America.