Segments of Business and Geographic Areas

12 Months Ended

Dec. 28, 2014

Segment Reporting [Abstract]

SEGMENTS OF BUSINESS AND GEOGRAPHIC AREAS

Segments of Business and Geographic Areas

	Sales to Customers
(Dollars in Millions)	2014		2013	2012
Consumer —
United States	$	5,096	5,162	5,046
International	9,400		9,535	9,401
Total	14,496		14,697	14,447
Pharmaceutical —
United States	17,432		13,948	12,421
International	14,881		14,177	12,930
Total	32,313		28,125	25,351
Medical Devices —
United States	12,254		12,800	12,363
International	15,268		15,690	15,063
Total	27,522		28,490	27,426
Worldwide total	$	74,331	71,312	67,224

	Pre-Tax Profit				Identifiable Assets
(Dollars in Millions)	2014 (3)		2013 (4)	2012 (5)	2014		2013	2012
Consumer	$	1,941	1,973	1,693	$	21,813	23,711	24,131
Pharmaceutical	11,696		9,178	6,075	25,803		23,783	23,219
Medical Devices	7,953		5,261	7,187	41,445		44,585	42,926
Total	21,590		16,412	14,955	89,061		92,079	90,276
Less: Expense not allocated to segments (1)	1,027		941	1,180
General corporate (2)					42,058		40,604	31,071
Worldwide total	$	20,563	15,471	13,775	$	131,119	132,683	121,347

	Additions to Property, Plant & Equipment				Depreciation and Amortization
(Dollars in Millions)	2014		2013	2012	2014		2013	2012
Consumer	$	581	533	468	$	577	539	575
Pharmaceutical	977		856	737	1,053		1,075	1,010
Medical Devices	1,807		1,724	1,230	1,974		2,224	1,857
Segments total	3,365		3,113	2,435	3,604		3,838	3,442
General corporate	349		482	499	291		266	224
Worldwide total	$	3,714	3,595	2,934	$	3,895	4,104	3,666

	Sales to Customers				Long-Lived Assets (6)
(Dollars in Millions)	2014		2013	2012	2014		2013	2012
United States	$	34,782	31,910	29,830	$	36,835	35,880	35,115
Europe	18,947		18,599	16,945	21,559		24,868	25,261
Western Hemisphere excluding U.S.	7,160		7,421	7,207	3,210		3,281	3,636
Asia-Pacific, Africa	13,442		13,382	13,242	2,438		2,434	2,362
Segments total	74,331		71,312	67,224	64,042		66,463	66,374
General corporate					1,138		992	899
Other non long-lived assets					65,939		65,228	54,074
Worldwide total	$	74,331	71,312	67,224	$	131,119	132,683	121,347

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See Note 1 for a description of the segments in which the Company operates.

Export sales are not significant. In 2014, the Company had one wholesaler distributing products for all three segments that represented approximately 11.0% of the total consolidated revenues. In 2013 and 2012, the Company did not have a customer that represented 10.0% of total revenues.

⁽¹⁾  Amounts not allocated to segments include interest (income) expense, noncontrolling interests and general corporate (income) expense. Includes currency related expense of $0.2 billion associated with the acquisition of Synthes, Inc. in 2012.

⁽²⁾  General corporate includes cash, cash equivalents and marketable securities.

⁽³⁾  Includes net litigation expense of $1,253 million comprised of $907 million, $259 million and $87 million in the Medical Devices, Pharmaceutical and Consumer segments, respectively. Includes $178 million of in-process research and development expense, comprised of $147 million and $31 million in the Pharmaceutical and Medical Devices segments, respectively. The Medical Devices segment includes a net gain of $1,899 million from the divestiture of the Ortho-Clinical Diagnostics business, Synthes integration costs of $754 million and $126 million expense for the cost associated with the DePuy ASR^TM Hip program. Includes an additional year of the Branded Prescription Drug Fee of $220 million in the Pharmaceutical segment.

⁽⁴⁾  Includes $2,276 million of net litigation expense comprised of $1,975 million and $301 million in the Medical Devices and Pharmaceutical segments, respectively. Includes $683 million of Synthes integration/transaction costs in the Medical Devices segment. Includes $580 million of in-process research and development expense, comprised of $514 million and $66 million in the Pharmaceutical and Medical Devices segments, respectively. The Medical Devices segment also includes $251 million expense for the cost associated with the DePuy ASR^TM Hip program. Includes $98 million of income related to other adjustments comprised of $55 million and $43 million in the Consumer and Pharmaceutical segments, respectively.

⁽⁵⁾  Includes $1,218 million of net litigation expense comprised of $658 million and $560 million in the Pharmaceutical and Medical Devices segments, respectively. Includes $1,163 million of in-process research and development expense, comprised of $1,111 million and $52 million in the Pharmaceutical and Medical Devices segments, respectively. Includes $795 million of Synthes integration/transaction costs in the Medical Devices segment. Includes $909 million of asset write-downs and other adjustments, comprised of $499 million, $264 million and $146 million in the Pharmaceutical, Consumer and Medical Devices segments, respectively. The Medical Devices segment also includes $110 million expense for the cost associated with the DePuy ASR™ Hip program.

⁽⁶⁾  Long-lived assets include property, plant and equipment, net for 2014, 2013 and 2012 of $16,126, $16,710 and $16,097, respectively, and intangible assets and goodwill, net for 2014, 2013 and 2012 of $49,054, $50,745 and $51,176, respectively.