SUPPLEMENTAL FINANCIAL STATEMENT DATA



Consolidated Statement of Income (millions)	2016		2015		2014
Research and development expense	$	182	$	193	$	199
Advertising expense	$	735	$	898	$	1,094

Advertising declined in both 2016 and 2015 as a result of foreign currency translation, implementation of efficiency and effectiveness programs including zero-based budgeting, the change in media landscape migrating investment to digital, and shifting investment to food innovation and renovation. Total advertising expense declined in 2016 approximately 130 basis points and 2015 by approximately 50 basis points as a percentage of net sales.



Consolidated Balance Sheet (millions)	2016			2015
Trade receivables	$	1,106		$	1,169
Allowance for doubtful accounts	(8		)	(8		)
Refundable income taxes	24			27
Other receivables	109			156
Accounts receivable, net	$	1,231		$	1,344
Raw materials and supplies	$	315		$	315
Finished goods and materials in process	923			935
Inventories	$	1,238		$	1,250
Deferred income taxes	$	—		$	227
Other prepaid assets	191			164
Other current assets	$	191		$	391
Land	$	131		$	142
Buildings	2,020			2,076
Machinery and equipment	5,646			5,617
Capitalized software	366			328
Construction in progress	686			694
Accumulated depreciation	(5,280		)	(5,236		)
Property, net	$	3,569		$	3,621
Other intangibles	$	2,423		$	2,315
Accumulated amortization	(54		)	(47		)
Other intangibles, net	$	2,369		$	2,268
Pension	$	66		$	231
Other	563			471
Other assets	$	629		$	702
Accrued income taxes	$	47		$	42
Accrued salaries and wages	318			325
Accrued advertising and promotion	436			447
Other	590			548
Other current liabilities	$	1,391		$	1,362
Nonpension postretirement benefits	$	40		$	77
Other	424			391
Other liabilities	$	464		$	468



Allowance for doubtful accounts (millions)	2016			2015			2014
Balance at beginning of year	$	8		$	7		$	5
Additions charged to expense	9			4			6
Doubtful accounts charged to reserve	(9		)	(3		)	(4		)
Balance at end of year	$	8		$	8		$	7