Segment information

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Segment information

Segment information

We operate in one business segment—human therapeutics. Therefore, results of our operations are reported on a consolidated basis for purposes of segment reporting, consistent with internal management reporting. Enterprise-wide disclosures about product sales; revenues and long-lived assets by geographic area; and revenues from major customers are presented below.

Revenues

Revenues were as follows (in millions):

	Years ended December 31,
	2016		2015		2014
Product sales:
ENBREL	$	5,965	$	5,364	$	4,688
Neulasta®	4,648		4,715		4,596
Aranesp®	2,093		1,951		1,930
Prolia®	1,635		1,312		1,030
Sensipar®/Mimpara®	1,582		1,415		1,158
XGEVA®	1,529		1,405		1,221
EPOGEN®	1,282		1,856		2,031
NEUPOGEN®	765		1,049		1,159
KYPROLIS®	692		512		331
Vectibix®	611		549		505
Nplate®	584		525		469
Repatha®	141		10		—
BLINCYTO®	115		77		3
Other	250		204		206
Total product sales	21,892		20,944		19,327
Other revenues	1,099		718		736
Total revenues	$	22,991	$	21,662	$	20,063

Geographic information

Outside the United States, we sell products principally in Europe. The geographic classification of product sales was based on the location of the customer. The geographic classification of all other revenues was based on the domicile of the entity from which the revenues were earned.

Certain geographic information with respect to revenues and long-lived assets (consisting of property, plant and equipment, net) was as follows (in millions):

	Years ended December 31,
	2016		2015		2014
Revenues:
United States	$	18,326	$	17,167	$	15,396
Rest of the world (ROW)	4,665		4,495		4,667
Total revenues	$	22,991	$	21,662	$	20,063

	December 31,
	2016		2015
Long-lived assets:
United States	$	2,328	$	2,275
Puerto Rico	1,591		1,679
ROW	1,042		953
Total long-lived assets	$	4,961	$	4,907

Major customers

In the United States, we sell primarily to pharmaceutical wholesale distributors that we utilize as the principal means of distributing our products to healthcare providers. Outside the United States, we sell principally to healthcare providers and/or pharmaceutical wholesale distributors depending on the distribution practice in each country. We monitor the financial condition of our larger customers and limit our credit exposure by setting credit limits and, in certain circumstances, by requiring letters of credit.

We had product sales to three customers each accounting for more than 10% of total revenues for each of the years ended December 31, 2016, 2015 and 2014. For 2016, on a combined basis, these customers accounted for 81% and 96% of total gross revenues and U.S. gross product sales, respectively, as noted in the following table. Certain information with respect to these customers was as follows (dollar amounts in millions):

	Years ended December 31,
	2016			2015			2014
AmerisourceBergen Corporation:
Gross product sales	$	10,100		$	10,038		$	9,142
% of total gross revenues	31		%	34		%	34		%
% of U.S. gross product sales	38		%	42		%	43		%
McKesson Corporation:
Gross product sales	$	9,710		$	8,766		$	8,011
% of total gross revenues	30		%	30		%	30		%
% of U.S. gross product sales	34		%	34		%	35		%
Cardinal Health, Inc.:
Gross product sales	$	6,520		$	5,045		$	3,407
% of total gross revenues	20		%	17		%	13		%
% of U.S. gross product sales	24		%	21		%	16		%

At December 31, 2016 and 2015, amounts due from these three customers each exceeded 10% of gross trade receivables and accounted for 76% and 75%, respectively, of net trade receivables on a combined basis. At December 31, 2016 and 2015, 21% and 23%, respectively, of trade receivables, net, were due from customers located outside the United States, primarily in Europe. Our total allowance for doubtful accounts as of December 31, 2016 and 2015 was not material.