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Other (Income)/Deductions - Net - Schedule of Other (Income)/Deductions - Net (Detail) - USD ($)
$ in Millions
3 Months Ended
Apr. 02, 2023
Apr. 03, 2022
Other Income and Expenses [Abstract]    
Interest income $ (177) $ (14)
Interest expense 318 322
Net interest expense 141 308
Royalty-related income (204) (173)
Net (gains)/losses on asset disposals (7) (1)
Net (gains)/losses recognized during the period on equity securities [1],[2] 451 699
Income from collaborations, out-licensing arrangements and sales of compound/product rights (68) (9)
Net periodic benefit costs/(credits) other than service costs (80) (283)
Certain legal matters, net [3] 36 79
Certain asset impairments [4] 264 0
Haleon/Consumer Healthcare JV equity method (income)/loss [5] (68) (184)
Other, net [6] (396) (88)
Other (income)/deductions––net $ 70 $ 350
[1] Reported in Other (income)/deductions––net. See Note 4.
[2] The losses in the first quarter of 2023 include, among other things, unrealized losses of $363 million related to our investments in Cerevel Therapeutics Holdings, Inc. and BioNTech. The losses in the first quarter of 2022 included, among other things, unrealized losses of $473 million related to our investment in BioNTech.
[3] The first quarter of 2023 primarily includes certain product liability expenses related to products discontinued and/or divested by Pfizer. The first quarter of 2022 includes certain product liability expenses related to products discontinued and/or divested by Pfizer, and to a lesser extent, legal obligations related to pre-acquisition commitments.
[4] The first quarter of 2023 primarily represents intangible asset impairment charges, including $128 million associated with Other business activities, related to IPR&D and developed technology rights for acquired software assets and reflects unfavorable pivotal trial results and updated commercial forecasts, and $120 million associated with our Biopharma segment due to the discontinuation of a study related to an out-licensed IPR&D asset for the treatment of prostate cancer, acquired in our Array BioPharma Inc. acquisition.
[5] See Note 2C.
[6] The first quarter of 2023 primarily includes, among other things, dividend income of $211 million from our investment in Nimbus resulting from Takeda Pharmaceutical Company Limited’s acquisition of Nimbus’s oral, selective allosteric tyrosine kinase 2 (TYK2) inhibitor program subsidiary, and $92 million from our investment in ViiV.