Segment Information

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 13: Segment Information

We have two operating segments—human pharmaceutical products and animal health. Our operating segments are distinguished by the ultimate end user of the product—humans or animals. Performance is evaluated based on profit or loss from operations before income taxes.

	Three Months Ended June 30,				Six Months Ended June 30,
	2016		2015		2016		2015
Segment revenue—to unaffiliated customers:
Human pharmaceutical products:
Endocrinology:
Humalog®	$	701.9	$	654.3	$	1,308.2	$	1,338.2
Humulin®	332.3		316.4		688.7		632.1
Forteo®	367.6		328.4		686.3		621.4
Trulicity®	201.3		44.3		344.9		62.6
Trajenta	121.0		80.0		215.4		162.4
Other Endocrinology	234.3		214.5		471.6		447.5
Total Endocrinology	1,958.4		1,637.9		3,715.1		3,264.2
Oncology:
Alimta	607.1		664.3		1,171.3		1,237.4
Erbitux	180.6		134.6		348.6		222.8
Cyramza®	147.0		87.7		278.0		155.2
Other Oncology	35.8		36.0		67.1		66.2
Total Oncology	970.5		922.6		1,865.0		1,681.6
Cardiovascular:
Cialis®	630.5		567.9		1,207.2		1,106.2
Effient	135.1		128.8		266.6		250.6
Other Cardiovascular	61.7		66.5		107.6		121.6
Total Cardiovascular	827.3		763.2		1,581.4		1,478.4
Neuroscience:
Cymbalta	236.5		274.1		435.2		561.1
Zyprexa®	210.7		253.7		423.4		473.2
Strattera®	224.6		191.8		412.7		365.5
Other Neuroscience	45.9		44.3		90.0		89.4
Total Neuroscience	717.7		763.9		1,361.3		1,489.2
Other pharmaceuticals	71.1		50.3		132.7		119.5
Total human pharmaceutical products	4,545.0		4,137.9		8,655.5		8,032.9
Animal health	859.8		840.8		1,614.4		1,590.5
Revenue	$	5,404.8	$	4,978.7	$	10,269.9	$	9,623.4

	Three Months Ended June 30,						Six Months Ended June 30,
	2016			2015			2016			2015
Segment profits:
Human pharmaceutical products	$	959.4		$	1,016.8		$	1,886.3		$	2,099.9
Animal health	211.7			188.3			359.4			303.3
Total segment profits	$	1,171.1		$	1,205.1		$	2,245.7		$	2,403.2
Reconciliation of total segment profits to consolidated income before taxes:
Segment profits	$	1,171.1		$	1,205.1		$	2,245.7		$	2,403.2
Other profits (losses):
Acquired in-process research and development (Note 3)	—			(80.0		)	—			(336.0		)
Amortization of intangible assets	(168.6		)	(151.9		)	(341.1		)	(304.6		)
Asset impairment, restructuring, and other special charges (Note 5)	(58.0		)	(72.4		)	(189.4		)	(180.4		)
Venezuela charge (Note 12)	—			—			(203.9		)	—
Debt repurchase charges, net (1) (Note 6)	—			(152.7		)	—			(152.7		)
Inventory fair value adjustment related to Novartis AH (Note 3)	—			(68.4		)	—			(131.9		)
Consolidated income before taxes	$	944.5		$	679.7		$	1,511.3		$	1,297.6

⁽¹⁾ We recognized pretax net charges of $152.7 million for the three and six months ended June 30, 2015, attributable to the debt extinguishment loss of $166.7 million from the purchase and redemption of certain fixed-rate notes, partially offset by net gains from non-hedging interest rate swaps and foreign currency transactions associated with the related issuance of euro-denominated notes.

For internal management reporting presented to the chief operating decision maker, certain costs are fully allocated to our human pharmaceutical products segment and therefore are not reflected in the animal health segment's profit. Such items include costs associated with treasury-related financing, global administrative services, certain acquisition-related transaction costs, and certain manufacturing costs.