Income taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Income before income taxes

Income before Income Taxes

	U.S.		Non-U.S.		Total
2013	$	1,507	$	1,247	$	2,754
2012	319		1,616		1,935
2011	1,791		1,164		2,955

Provision (benefit) for income taxes

Provision (Benefit) for Income Taxes

	U.S. Federal			Non-U.S.		U.S. State			Total
2013:
Current	$	291		$	247	$	4		$	542
Deferred	17			33		—			50
Total	$	308		$	280	$	4		$	592
2012:
Current	$	(108	)	$	156	$	(2	)	$	46
Deferred	65			65		—			130
Total	$	(43	)	$	221	$	(2	)	$	176
2011:
Current	$	518		$	138	$	8		$	664
Deferred	20			24		11			55
Total	$	538		$	162	$	19		$	719

Principal reconciling items from income tax computed at statutory federal rate

Principal reconciling items from income tax computed at the statutory federal rate follow:

	2013			2012			2011
Computed tax at statutory rate	$	964		$	677		$	1,034
Non-U.S. effective tax rates	(156		)	(345		)	(245		)
U.S. R&D tax credit	(129		)	—			(58		)
U.S. tax benefit for manufacturing	(66		)	(158		)	(31		)
Impact of changes to uncertain tax positions	(14		)	(88		)	—
Non-deductible expenses	13			42			27
Other	(20		)	48			(8		)
Total provision for income taxes	$	592		$	176		$	719

Primary components of deferred income tax assets and liabilities

The primary components of deferred income tax assets and liabilities were as follows:

	December 31,
	2013			2012
Deferred income tax assets:
Deferred loss and tax credit carryforwards	$	345		$	382
Accrued expenses	265			331
Stock-based compensation	262			366
Postretirement benefit costs recognized in AOCI	262			357
Inventories and related reserves	162			163
Other	175			209
	1,471			1,808
Valuation allowance	(219		)	(221		)
	1,252			1,587
Deferred income tax liabilities:
Acquisition-related intangibles and fair-value adjustments	(804		)	(921		)
Accrued retirement costs for defined benefit and retiree health care	(211		)	(243		)
International earnings	(121		)	(102		)
Property, plant and equipment	(57		)	(131		)
Other	(8		)	(11		)
	(1,201		)	(1,408		)
Net deferred income tax asset	$	51		$	179

Deferred tax assets and liabilities

The deferred income tax assets and liabilities based on tax jurisdictions are presented on the Consolidated balance sheets as follows:

	December 31,
	2013			2012
Current deferred income tax assets	$	393		$	473
Noncurrent deferred income tax assets	207			280
Current deferred income tax liabilities	(1		)	(2		)
Noncurrent deferred income tax liabilities	(548		)	(572		)
Net deferred income tax asset	$	51		$	179

Summary of income tax contingencies

The changes in the total amounts of uncertain tax positions are summarized as follows:

	2013			2012			2011
Balance, January 1	$	184		$	210		$	103
Additions based on tax positions related to the current year	7			12			15
Additions from the acquisition of National	—			—			132
Additions for tax positions of prior years	19			45			3
Reductions for tax positions of prior years	(10		)	(92		)	(39		)
Settlements with tax authorities	(96		)	39			(4		)
Expiration of the statute of limitations for assessing taxes	(13		)	(30		)	—
Balance, December 31	$	91		$	184		$	210
Interest income (expense) recognized in the year ended December 31	$	(10	)	$	32		$	1
Interest payable (receivable) as of December 31	$	5		$	(8	)	$	3