Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2023

Summary of assets and liabilities recorded at fair value

The tables below present information about our assets and liabilities that are regularly measured and carried at fair value and indicate the level within the fair value hierarchy of the valuation techniques we utilized to determine such fair value:


	As of December 31, 2023
(In millions)	Total		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	$	610.7	$	—	$	610.7	$	—




Marketable equity securities	416.8		416.8		—		—
Other current assets:
Receivable from Samsung BioLogics(1)	430.0		—		—		430.0
Derivative contracts	11.9		—		11.9		—
Other non-current assets:
Plan assets for deferred compensation	37.5		—		37.5		—

Total	$	1,506.9	$	416.8	$	660.1	$	430.0
Liabilities:
Derivative contracts	$	31.6	$	—	$	31.6	$	—

Total	$	31.6	$	—	$	31.6	$	—

(1) Represents the fair value of the current payment due from Samsung BioLogics as a result of the sale of our 49.9% equity interest in Samsung Bioepis to Samsung BioLogics during the second quarter of 2022, for which we elected the fair value option. For additional information on the sale of our equity interest in Samsung Bioepis, please read Note 3, Dispositions, to these consolidated financial statements.

During the third quarter of 2023 we sold all of our marketable debt securities and used the proceeds to partially fund our acquisition of Reata. For additional information on our acquisition of Reata, please read Note 2, Acquisitions, to these consolidated financial statements.


	As of December 31, 2022
(In millions)	Total		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	$	2,847.6	$	—	$	2,847.6	$	—
Marketable debt securities:
Corporate debt securities	1,231.6		—		1,231.6		—
Government securities	810.3		—		810.3		—
Mortgage and other asset backed securities	137.3		—		137.3		—
Marketable equity securities	791.1		791.1		—		—
Other current assets:
Receivable from Samsung BioLogics(1)	798.8		—		—		798.8
Other non-current assets:
Derivative contracts	63.0		—		63.0		—
Plan assets for deferred compensation	32.8		—		32.8		—
Receivable from Samsung BioLogics(1)	405.4		—		—		405.4
Total	$	7,117.9	$	791.1	$	5,122.6	$	1,204.2
Liabilities:
Derivative contracts	$	26.0	$	—	$	26.0	$	—

Total	$	26.0	$	—	$	26.0	$	—

(1) Represents the fair value of the current and non-current payments due from Samsung BioLogics as a result of the sale of our 49.9% equity interest in Samsung Bioepis to Samsung BioLogics during the second quarter of 2022, for which we elected the fair value option. For additional information on the sale of our equity interest in Samsung Bioepis, please read Note 3, Dispositions, to these consolidated financial statements.

Fair value of contingent consideration obligations

The following table provides a roll forward of the fair value of our contingent consideration obligations, which were classified as Level 3 measurements:


	As of December 31,
(In millions)	2022
Fair value, beginning of year	$	209.1
Changes in fair value	(209.1)

Fair value, end of year	$	—

Summary of fair and carrying value of debt instruments

The fair values of our debt instruments, which are Level 2 liabilities, are summarized as follows:


	Fair Value As of December 31,
(In millions)	2023		2022
Current portion:
2023 Term Loan 364-day tranche(1)	$	150.0	$	—
Current portion of notes payable and term loan	150.0		—

Non-current portion:
2023 Term Loan three-year tranche(1)	500.0		—
4.050% Senior Notes due September 15, 2025	1,721.5		1,699.9
2.250% Senior Notes due May 1, 2030	1,279.3		1,219.0
5.200% Senior Notes due September 15, 2045	1,089.7		1,033.2
3.150% Senior Notes due May 1, 2050	1,049.0		989.0
3.250% Senior Notes due February 15, 2051	498.2		469.1
Non-current portion of notes payable and term loan	6,137.7		5,410.2
Total notes payable and term loan	$	6,287.7	$	5,410.2

(1) In connection with our acquisition of Reata we drew $1.0 billion from our 2023 Term Loan, comprised of a $500.0 million floating rate 364-day tranche and a $500.0 million floating rate three-year tranche. For additional information on our 2023 Term Loan, please read Note 13, Indebtedness, to these consolidated financial statements.