v3.3.1.900
Consolidated Statements of Earnings - USD ($)
shares in Millions, $ in Millions
 12 Months Ended
Jan. 03, 2016
Dec. 28, 2014
Dec. 29, 2013
Income Statement [Abstract]      
Sales to customers $ 70,074 $ 74,331 $ 71,312
Cost of products sold 21,536 22,746 22,342
Gross profit 48,538 51,585 48,970
Selling, marketing and administrative expenses 21,203 21,954 21,830
Research and development expense 9,046 8,494 8,183
In-process research and development 224 178 580
Interest income (128) (67) (74)
Interest expense, net of portion capitalized (Note 4) 552 533 482
Other (income) expense, net (2,064) (70) 2,498
Restructuring (Note 22) 509 0 0
Earnings before provision for taxes on income 19,196 [1] 20,563 [2] 15,471 [3]
Provision for taxes on income (Note 8) 3,787 4,240 1,640
Net earnings $ 15,409 $ 16,323 $ 13,831
Net earnings per share (Notes 1 and 15)      
Basic $ 5.56 $ 5.80 $ 4.92
Diluted 5.48 5.70 4.81
Cash dividends per share $ 2.95 $ 2.76 $ 2.59
Average shares outstanding (Notes 1 and 15)      
Basic 2,771.8 2,815.2 2,809.2
Diluted 2,812.9 2,863.9 2,877.0
[1] The Medical Devices segment includes a restructuring charge of $590 million, an intangible asset write-down of $346 million related to Acclarent, Synthes integration costs of $196 million and $148 million expense for the cost associated with the DePuy ASRTM Hip program. Includes $224 million of in-process research and development expense, comprised of $214 million and $10 million in the Pharmaceutical and Medical Devices segments, respectively. Includes net litigation expense of $141 million comprised of $136 million in the Pharmaceutical segment and $5 million in the Medical Devices segment, which included the gain from the litigation settlement agreement with Guidant for $600 million. The Medical Devices Segment includes a gain of $1.3 billion from the divestiture of the Cordis business. The Pharmaceutical segment includes a gain of $981 million from the U.S. divestiture of NUCYNTA® and a positive adjustment of $0.5 billion to previous reserve estimates, including Managed Medicaid rebates. The Consumer segment includes a gain of $229 million from the divestiture of SPLENDA® brand.
[2] Includes net litigation expense of $1,253 million comprised of $907 million, $259 million and $87 million in the Medical Devices, Pharmaceutical and Consumer segments, respectively. Includes $178 million of in-process research and development expense, comprised of $147 million and $31 million in the Pharmaceutical and Medical Devices segments, respectively. The Medical Devices segment includes a net gain of $1,899 million from the divestiture of the Ortho-Clinical Diagnostics business, Synthes integration costs of $754 million and $126 million expense for the cost associated with the DePuy ASRTM Hip program. The Pharmaceutical segment includes an additional year of the Branded Prescription Drug Fee of $220 million and a positive adjustment of $0.1 billion to previous reserve estimates.
[3] Includes $2,276 million of net litigation expense comprised of $1,975 million and $301 million in the Medical Devices and Pharmaceutical segments, respectively. Includes $683 million of Synthes integration/transaction costs in the Medical Devices segment. Includes $580 million of in-process research and development expense, comprised of $514 million and $66 million in the Pharmaceutical and Medical Devices segments, respectively. The Medical Devices segment also includes $251 million expense for the cost associated with the DePuy ASRTM Hip program. Includes $98 million of income related to other adjustments comprised of $55 million and $43 million in the Consumer and Pharmaceutical segments, respectively.