EQUITY

3 Months Ended

Mar. 31, 2013

Equity [Abstract]

Stockholders Equity Note Disclosure [Text Block]

Note 14. EQUITY

				Capital in Excess
	Common Stock			of Par Value		Retained		Treasury Stock			Noncontrolling
Dollars and Shares in Millions	Shares	Par Value		of Stock		Earnings		Shares	Cost		Interest
Balance at January 1, 2012	2,205	$	220	$	3,114	$	33,069	515	$	(17,402)	$	(89)
Net earnings	-		-		-		1,101	-		-		607
Cash dividends declared	-		-		-		(575)	-		-		-
Stock repurchase program	-		-		-		-	10		(323)		-
Employee stock compensation plans	1		1		(289)		-	(8)		439		-
Distributions	-		-		-		-	-		-		(609)
Balance at March 31, 2012	2,206	$	221	$	2,825	$	33,595	517	$	(17,286)	$	(91)
Balance at January 1, 2013	2,208	$	221	$	2,694	$	32,733	570	$	(18,823)	$	15
Net earnings	-		-		-		609	-		-		26
Cash dividends declared	-		-		-		(581)	-		-		-
Stock repurchase program	-		-		-		-	8		(298)		-
Employee stock compensation plans	-		-		(568)		-	(13)		803		-
Distributions	-		-		-		-	-		-		(1)
Balance at March 31, 2013	2,208	$	221	$	2,126	$	32,761	565	$	(18,318)	$	40

Treasury stock is recognized at the cost to reacquire the shares. Shares issued from treasury are recognized utilizing the first-in first-out method.

In May 2010, the Board of Directors authorized the repurchase of up to $3.0 billion of common stock and in June 2012 increased its authorization for the repurchase of common stock by an additional $3.0 billion. Repurchases may be made either in the open market or through private transactions, including under repurchase plans established in accordance with Rule 10b5-1 under the Securities Exchange Act of 1934. The stock repurchase program does not have an expiration date and may be suspended or discontinued at any time.

Noncontrolling interest is primarily related to the partnerships with Sanofi for the territory covering the Americas for net sales of Plavix*. Net earnings attributable to noncontrolling interest are presented net of taxes of $12 million and $229 million for the three months ended March 31, 2013 and 2012, respectively, in the consolidated statements of earnings with a corresponding increase to the provision for income taxes. Distribution of the partnership profits to Sanofi and Sanofi's funding of ongoing partnership operations occur on a routine basis. The above activity includes the pre-tax income and distributions related to these partnerships.

The components of other comprehensive income/(loss) were as follows:

		Pretax		Tax		After tax
Three months ended March 31, 2012
Derivatives qualifying as cash flow hedges:(a)
	Unrealized gains	$	14	$	(9)	$	5
	Reclassified to net earnings		(8)		2		(6)
Derivatives qualifying as cash flow hedges			6		(7)		(1)
Pension and postretirement benefits:(b)
	Actuarial gains		19		(5)		14
	Amortization		36		(12)		24
Pension and postretirement benefits			55		(17)		38
Available for sale securities:
	Unrealized losses		(2)		(1)		(3)
	Realized gains		(10)		-		(10)
Available for sale securities(c)			(12)		(1)		(13)
Foreign currency translation			3		-		3
		$	52	$	(25)	$	27
Three months ended March 31, 2013
Derivatives qualifying as cash flow hedges:(a)
	Unrealized gains	$	69	$	(23)	$	46
	Reclassified to net earnings		(10)		5		(5)
Derivatives qualifying as cash flow hedges			59		(18)		41
Pension and postretirement benefits - Amortization(b)			38		(11)		27
Available for sale securities - Unrealized gains(c)			3		1		4
Foreign currency translation			(1)		-		(1)
		$	99	$	(28)	$	71

• Reclassifications to net earnings of derivatives qualifying as effective hedges are recognized in cost of products sold.
• Actuarial losses and prior service cost are amortized into cost of products sold, research and development, and marketing, selling and administrative expenses as appropriate.
• Realized (gains)/losses on available for sale securities are recognized in other (income)/expense.

The accumulated balances related to each component of other comprehensive loss, net of taxes, were as follows:

	March 31,		December 31,
Dollars in Millions	2013		2012
Derivatives qualifying as cash flow hedges	$	50	$	9
Pension and other postretirement benefits		(2,996)		(3,023)
Available for sale securities		69		65
Foreign currency translation		(254)		(253)
Accumulated other comprehensive loss	$	(3,131)	$	(3,202)