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Business Segment and Geographical Information
 12 Months Ended
Dec. 31, 2017
Segment Reporting [Abstract]  
Business Segment and Geographical Information [Text Block]
Note 3.
Business Segment and Geographical Information
The company’s financial performance is reported in four segments. A description of each segment follows.
Life Sciences Solutions: provides an extensive portfolio of reagents, instruments and consumables used in biological and medical research, discovery and production of new drugs and vaccines as well as diagnosis of disease. These products and services are used by customers in pharmaceutical, biotechnology, agricultural, clinical, academic, and government markets.
Analytical Instruments: provides a broad offering of instruments, consumables, software and services that are used for a range of applications in the laboratory, on the production line and in the field. These products and services are used by customers in pharmaceutical, biotechnology, academic, government, environmental and other research and industrial markets, as well as the clinical laboratory.
Specialty Diagnostics: provides a wide range of diagnostic test kits, reagents, culture media, instruments and associated products used to increase the speed and accuracy of diagnoses. These products are used by customers in healthcare, clinical, pharmaceutical, industrial and food safety laboratories.
Laboratory Products and Services: provides virtually everything needed for the laboratory, including a combination of self-manufactured and sourced products for customers in research, academic, government, industrial and healthcare settings. The segment also includes a comprehensive offering of outsourced services used by the pharmaceutical and biotech industries for drug development, clinical trials logistics and commercial drug manufacturing.
The company’s management evaluates segment operating performance based on operating income before certain charges/credits to cost of revenues and selling, general and administrative expenses, principally associated with acquisition accounting; restructuring and other costs/income including costs arising from facility consolidations such as severance and abandoned lease expense and gains and losses from the sale of real estate and product lines as well as from significant litigation-related matters; and amortization of acquisition-related intangible assets. The company uses this measure because it helps management understand and evaluate the segments’ core operating results and facilitates comparison of performance for determining compensation.
Business Segment Information
(In millions)
 
2017

 
2016

 
2015

 
 
 
 
 
 
 
Revenues
 
 
 
 
 
 
Life Sciences Solutions
 
$
5,728

 
$
5,317

 
$
4,774

Analytical Instruments
 
4,821

 
3,668

 
3,208

Specialty Diagnostics
 
3,486

 
3,339

 
3,244

Laboratory Products and Services
 
7,825

 
6,724

 
6,372

Eliminations
 
(942
)
 
(774
)
 
(633
)
 
 
 
 
 
 
 
Consolidated revenues
 
20,918

 
18,274

 
16,965

 
 
 
 
 
 
 
Segment Income (a)
 
 
 
 
 
 
Life Sciences Solutions
 
1,896

 
1,596

 
1,414

Analytical Instruments
 
1,027

 
745

 
613

Specialty Diagnostics
 
930

 
910

 
873

Laboratory Products and Services
 
1,007

 
971

 
922

 
 
 
 
 
 
 
Subtotal reportable segments (a)
 
4,860

 
4,222

 
3,822

 
 
 
 
 
 
 
Cost of revenues charges
 
(123
)
 
(102
)
 
(9
)
Selling, general and administrative charges, net
 
(78
)
 
(104
)
 
(46
)
Restructuring and other costs, net
 
(97
)
 
(189
)
 
(116
)
Amortization of acquisition-related intangible assets
 
(1,594
)
 
(1,378
)
 
(1,315
)
 
 
 
 
 
 
 
Consolidated operating income
 
2,968

 
2,449

 
2,336

Other expense, net (b)
 
(539
)
 
(425
)
 
(400
)
 
 
 
 
 
 
 
Income from continuing operations before income taxes
 
$
2,429

 
$
2,024

 
$
1,936

 
 
 
 
 
 
 
Depreciation
 
 
 
 
 
 
Life Sciences Solutions
 
$
129

 
$
142

 
$
147

Analytical Instruments
 
71

 
50

 
39

Specialty Diagnostics
 
72

 
70

 
74

Laboratory Products and Services
 
167

 
118

 
113

 
 
 
 
 
 
 
Consolidated depreciation
 
$
439

 
$
380

 
$
373

(a)
Represents operating income before certain charges to cost of revenues and selling, general and administrative expenses; restructuring and other costs, net; and amortization of acquisition-related intangibles.
(b)
The company does not allocate other expense, net to its segments.
(In millions)
 
2017

 
2016

 
2015

 
 
 
 
 
 
 
Total Assets
 
 
 
 
 
 
Life Sciences Solutions
 
$
19,063

 
$
19,065

 
$
18,537

Analytical Instruments
 
9,960

 
9,520

 
4,763

Specialty Diagnostics
 
7,095

 
6,802

 
7,183

Laboratory Products and Services
 
19,181

 
9,405

 
9,614

Corporate/Other (c)
 
1,370

 
1,116

 
737

 
 
 
 
 
 
 
Consolidated total assets
 
$
56,669

 
$
45,908

 
$
40,834

 
 
 
 
 
 
 
Capital Expenditures
 
 
 
 
 
 
Life Sciences Solutions
 
$
118

 
$
122

 
$
93

Analytical Instruments
 
56

 
34

 
60

Specialty Diagnostics
 
87

 
72

 
76

Laboratory Products and Services
 
178

 
111

 
90

Corporate/Other
 
69

 
105

 
104

 
 
 
 
 
 
 
Consolidated capital expenditures
 
$
508

 
$
444

 
$
423

(c)
Corporate assets consist primarily of cash and cash equivalents, short-term investments, property and equipment at the company's corporate offices.
Geographical Information
(In millions)
 
2017

 
2016

 
2015

 
 
 
 
 
 
 
Revenues (d)
 
 
 
 
 
 
United States
 
$
10,177

 
$
9,086

 
$
8,607

China
 
2,058

 
1,730

 
1,376

Other
 
8,683

 
7,458

 
6,982

 
 
 
 
 
 
 
Consolidated revenues
 
$
20,918

 
$
18,274

 
$
16,965

 
 
 
 
 
 
 
Long-lived Assets (e)
 
 
 
 
 
 
United States
 
$
2,349

 
$
1,630

 
$
1,532

United Kingdom
 
277

 
217

 
261

Other
 
1,421

 
731

 
656

 
 
 
 
 
 
 
Consolidated long-lived assets
 
$
4,047

 
$
2,578

 
$
2,449

(d)
Revenues are attributed to countries based on customer location.
(e)
Includes property, plant and equipment, net.