Segment and Geographic Data

12 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

Segment and Geographic Data

SEGMENT AND GEOGRAPHIC DATA

We segregate our operations into three reportable business segments: Reconstructive, MedSurg, and Neurotechnology and Spine. The Reconstructive segment includes orthopaedic reconstructive (hip and knee) and trauma implant systems as well as other related products. The MedSurg segment includes surgical equipment and surgical navigation systems (Instruments); endoscopic and communications systems (Endoscopy); patient handling and emergency medical equipment (Medical); and other related products. The Neurotechnology and Spine segment includes neurovascular products, spinal implant systems and other related products. The Other category shown in the table below includes corporate and global operations administration, central research and development initiatives, interest expense, interest and marketable securities income and share-based compensation, which includes compensation related to both employee and director stock option, restricted stock unit and performance stock unit grants.

Our reportable segments are business units that offer different products and services and are managed separately because each business requires different manufacturing, technology and marketing strategies. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 1 to the Consolidated Financial Statements. We measure the financial results of our reportable segments using an internal performance measure that excludes acquisition and integration-related charges, restructuring and related charges, reserves for certain product recall matters, reserves for certain legal and regulatory matters, a donation to an educational institution, and certain income tax adjustments. Identifiable assets are those assets used exclusively in the operations of each business segment or allocated when used jointly. Corporate assets are principally cash and cash equivalents, marketable securities and property, plant and equipment. Results for our reportable segments are as follows:

	Reconstructive						MedSurg						Neurotechnology and Spine						Other									Total
	2013		2012		2011		2013		2012		2011		2013		2012		2011		2013			2012			2011			2013			2012			2011
Net sales	$	4,004	$	3,823	$	3,710	$	3,359	$	3,265	$	3,160	$	1,658	$	1,569	$	1,437	$	—		$	—		$	—		$	9,021		$	8,657		$	8,307
Depreciation and amortization	273		271		267		84		85		84		135		122		119		19			8			11			511			486			481
Income taxes (credit)	347		344		375		148		177		165		82		76		63		(115		)	(110		)	(106		)	462			487			497
Segment net earnings (loss)	970		936		926		621		603		535		283		267		221		(258		)	(246		)	(234		)	1,616			1,560			1,448
Other (net of income taxes):
Less acquisition and integration-related charges																												(72		)	(37		)	(142		)
Less restructuring charges																												(46		)	(59		)	(60		)
Less Rejuvenate and related charges																												(460		)	(133		)	—
Less regulatory and legal matters																												(63		)	(33		)	—
Less donation																												(15		)	—			—
Add income tax adjustments																												46			—			99
Net earnings																												1,006			1,298			1,345
Total assets	6,675		3,654		3,758		3,382		2,996		2,358		3,147		2,600		2,245		2,539			3,956			3,785			15,743			13,206			12,146
Capital spending	89		87		119		59		51		56		16		53		27		31			19			24			195			210			226

The countries in which we have local revenue generating operations have been combined into the following geographic areas: the United States (including Puerto Rico); Europe, Middle East, Africa (EMEA); Asia Pacific; and other foreign countries, which include Canada and countries in the Latin American region. Sales are attributable to a geographic area based upon the customer’s country of domicile. Net property, plant and equipment are based upon physical location of the assets. Geographic information follows:

	Net Sales						Net Property, Plant & Equipment
	2013		2012		2011		2013		2012
United States	$	5,984	$	5,658	$	5,269	$	506	$	473
Europe, Middle East, Africa	1,316		1,266		1,382		446		410
Asia Pacific	1,319		1,336		1,285		122		58
Other foreign countries	402		397		371		7		7
	$	9,021	$	8,657	$	8,307	$	1,081	$	948