Other Consolidated Financial Statement Detail

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Other Consolidated Financial Statement Detail

Other Income (Expense), Net

Components of other income (expense), net, are summarized as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(In millions)	2021		2020		2021		2020
Interest income	$	2.7	$	7.6	$	5.6	$	32.0
Interest expense	(56.4)		(66.0)		(121.1)		(110.3)
Gain (loss) on investments, net	153.9		106.8		(282.7)		29.5
Foreign exchange gains (losses), net	(0.8)		10.4		(9.4)		(8.5)
Other, net	(3.0)		4.2		(2.9)		(0.2)
Total other income (expense), net	$	96.4	$	63.0	$	(410.5)	$	(57.5)

Gain (loss) on investments, net, as reflected in the table above, relate to debt securities, equity securities of certain biotechnology companies, venture capital funds where the underlying investments are in equity securities of certain biotechnology companies and non-marketable equity securities.

For the three months ended June 30, 2021, net unrealized gains and realized gains on our holdings in equity securities were approximately $153.9 million and $0.4 million, respectively, compared to net unrealized gains and realized gains (losses) of $102.9 million and zero, respectively, in the prior year comparative period. The net unrealized gains recognized during the three months ended June 30, 2021, primarily reflect an increase in the fair value of Denali common stock of approximately $263.0 million, partially offset by decreases in the fair value of Ionis, Sangamo and Sage common stock of approximately $105.8 million.

For the six months ended June 30, 2021, net unrealized losses and realized gains on our holdings in equity securities were approximately $288.4 million and $6.6 million, respectively, compared to net unrealized gains and realized gains (losses) of $42.0 million and zero, respectively, in the prior year comparative period. The net unrealized losses recognized during the six months ended June 30, 2021, primarily reflect decreases in the fair value of Ionis, Sangamo, Denali and Sage common stock of approximately $284.8 million.

The following table summarizes our gain (loss) on investments, net that relates to our equity securities held as of June 30, 2021 and 2020:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(In millions)	2021		2020		2021		2020
Net gains (losses) recognized during the period on equity securities	$	154.3	$	102.9	$	(281.8)	$	42.0
Less: Net gains (losses) realized during the period on equity securities	0.4		—		6.6		—
Unrealized gains (losses) recognized during the period on equity securities	$	153.9	$	102.9	$	(288.4)	$	42.0

Accrued Expense and Other

Accrued expense and other consists of the following:

(In millions)	As of June 30, 2021		As of December 31, 2020
Revenue-related reserves for discounts and allowances	$	1,042.1	$	1,080.6
Collaboration expense	383.4		389.9
Employee compensation and benefits	242.5		333.8
Royalties and licensing fees	240.3		218.5
Derivative liabilities	72.4		181.5
Current portion of contingent consideration obligations	—		149.6
Other	760.3		791.4
Total accrued expense and other	$	2,741.0	$	3,145.3

Other Long-term Liabilities

Other long-term liabilities were $1,356.4 million and $1,329.6 million as of June 30, 2021 and December 31, 2020, respectively, and included accrued income taxes totaling $652.7 million and $709.9 million, respectively.