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Segment Information Segment Information (Tables)
3 Months Ended
Mar. 31, 2020
Segment Reporting [Abstract]  
Schedule of Selected Income Statement Information by Segment
Segment Assets
We manage our assets on a total company basis, not by operating segment. Therefore, our chief operating decision maker does not regularly review any asset information by operating segment and, accordingly, we do not report asset information by operating segment.
Selected Statement of Income Information      
Earnings
Depreciation and Amortization(a)
Three Months EndedThree Months Ended
March 31,March 31,
(MILLIONS OF DOLLARS)2020201920202019
U.S.
Revenue$786  $718  
Cost of sales167  147  
Gross profit619  571  
    Gross margin78.8 %79.5 %
Operating expenses125  110  
Other (income)/deductions-net —  
U.S. Earnings493  461  $13  $10  
International
Revenue(b)
728  718  
Cost of sales224  210  
Gross profit504  508  
    Gross margin69.2 %70.8 %
Operating expenses125  132  
Other (income)/deductions-net—  —  
International Earnings379  376  14  13  
Total operating segments872  837  27  23  
Other business activities
(87) (80)   
Reconciling Items:
Corporate
(173) (162) 22  14  
Purchase accounting adjustments
(54) (66) 54  55  
Acquisition-related costs
(7) (5) —  —  
Certain significant items(c)
11  (70) —  —  
Other unallocated
(65) (73)   
Total Earnings(d)
$497  $381  $110  $98  
(a) 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.
(b) Revenue denominated in euros was $170 million and $181 million for the three months ended March 31, 2020 and March 31, 2019, respectively.
(c) For the three months ended March 31, 2020, primarily represents a net gain resulting from net cash proceeds received pursuant to an agreement related to the 2016 sale of certain U.S. manufacturing sites of $17 million, partially offset by CEO transition-related costs of $4 million. For the three months ended March 31, 2019, primarily represents a change in estimate related to inventory costing of $68 million and consulting fees of $2 million related to our supply network strategy. 
(d) Defined as income before provision for taxes on income.