XML 44 R37.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Equity (Tables)
 12 Months Ended
Dec. 31, 2019
Equity [Abstract]  
Schedule of share-based compensation expense
Stock-based compensation expense is principally related to awards issued pursuant to the 2013 ISP and is summarized as follows:
 
Years ended December 31,
(in millions)
2019
 
2018
 
2017
Cost of products sold
$
29

 
$
27

 
$
23

Research and development
171

 
169

 
159

Selling, general and administrative
230

 
225

 
183

Pre-tax compensation expense
430

 
421

 
365

Tax benefit
80

 
73

 
73

After-tax compensation expense
$
350

 
$
348

 
$
292
Summary of AbbVie stock option activity
The following table summarizes AbbVie stock option activity in 2019:
(options in thousands, aggregate intrinsic value in millions)
Options
 
Weighted-
 average
 exercise price
 
Weighted-
 average
 remaining
 life (in years)
 
Aggregate
 intrinsic value
Outstanding at December 31, 2018
6,143

 
$
55.05

 
6.2
 
$
242

Granted
1,002

 
79.02

 
 
 
 
Exercised
(375
)
 
23.72

 
 
 
 
Lapsed
(9
)
 
20.09

 
 
 
 
Outstanding at December 31, 2019
6,761

 
$
60.39

 
5.9
 
$
207

Exercisable at December 31, 2019
4,924

 
$
51.90

 
4.9
 
$
186
Summary of AbbVie RSA and RSU activity
The following table summarizes AbbVie RSU and performance share activity for 2019:
(share units in thousands)
Share units
 
Weighted-average
 grant date fair value
Outstanding at December 31, 2018
9,868

 
$
79.90

Granted
5,584

 
78.03

Vested
(4,616
)
 
71.30

Forfeited
(604
)
 
82.19

Outstanding at December 31, 2019
10,232

 
$
81.72
Summary of quarterly cash dividends The following table summarizes quarterly cash dividends declared during 2019, 2018 and 2017:
2019
 
2018
 
2017
Date Declared
 
Payment Date
 
Dividend Per Share
 
Date Declared
 
Payment Date
 
Dividend Per Share
 
Date Declared
 
Payment Date
 
Dividend Per Share
11/01/19
 
02/14/20
 
$1.18
 
11/02/18
 
02/15/19
 
$1.07
 
10/27/17
 
02/15/18
 
$0.71
09/06/19
 
11/15/19
 
$1.07
 
09/07/18
 
11/15/18
 
$0.96
 
09/08/17
 
11/15/17
 
$0.64
06/20/19
 
08/15/19
 
$1.07
 
06/14/18
 
08/15/18
 
$0.96
 
06/22/17
 
08/15/17
 
$0.64
02/21/19
 
05/15/19
 
$1.07
 
02/15/18
 
05/15/18
 
$0.96
 
02/16/17
 
05/15/17
 
$0.64
Summary of changes in each component of accumulated other comprehensive loss, net of tax
The following table summarizes the changes in each component of accumulated other comprehensive loss, net of tax, for 2019, 2018 and 2017:
(in millions) (brackets denote losses)
Foreign
 currency
 translation
adjustments
 
Net investment hedging
 activities
 
Pension
 and post-
employment
 benefits
 
Marketable security activities
 
Cash flow hedging
 activities
 
Total
Balance as of December 31, 2016
$
(1,435
)
 
$
140

 
$
(1,513
)
 
$
46

 
$
176

 
$
(2,586
)
Other comprehensive income (loss) before reclassifications
680

 
(343
)
 
(480
)
 
29

 
(230
)
 
(344
)
Net losses (gains) reclassified from accumulated other comprehensive loss
316

 
—

 
74

 
(75
)
 
(112
)
 
203

Net current-period other comprehensive income (loss)
996

 
(343
)
 
(406
)
 
(46
)
 
(342
)
 
(141
)
Balance as of December 31, 2017
(439
)
 
(203
)
 
(1,919
)
 
—

 
(166
)
 
(2,727
)
Other comprehensive income (loss) before reclassifications
(391
)
 
138

 
84

 
(14
)
 
156

 
(27
)
Net losses reclassified from accumulated other comprehensive loss
—

 
—

 
113

 
4

 
157

 
274

Net current-period other comprehensive income (loss)
(391
)
 
138

 
197

 
(10
)
 
313

 
247

Balance as of December 31, 2018
(830
)
 
(65
)
 
(1,722
)
 
(10
)
 
147

 
(2,480
)
Other comprehensive income (loss) before reclassifications
(98
)
 
95

 
(1,330
)
 
12

 
298

 
(1,023
)
Net losses (gains) reclassified from accumulated other comprehensive loss
—

 
(21
)
 
87

 
(2
)
 
(157
)
 
(93
)
Net current-period other comprehensive income (loss)
(98
)
 
74

 
(1,243
)
 
10

 
141

 
(1,116
)
Balance as of December 31, 2019
$
(928
)
 
$
9

 
$
(2,965
)
 
$
—

 
$
288

 
$
(3,596
)
Schedule of the impact of significant amounts reclassified out of each component of accumulated other comprehensive loss
The table below presents the impact on AbbVie's consolidated statements of earnings for significant amounts reclassified out of each component of accumulated other comprehensive loss:
years ended December 31 (in millions) (brackets denote gains)
2019
 
2018
 
2017
Net investment hedging activities
 
 
 
 
 
Gains on derivative amount excluded from effectiveness testing(a)
$
(27
)
 
$
—

 
$
—

Tax expense
6

 
—

 
—

Total reclassifications, net of tax
$
(21
)
 
$
—

 
$
—

Pension and post-employment benefits
 
 
 
 
 
Amortization of actuarial losses and other(b)
$
110

 
$
141

 
$
107

Tax benefit
(23
)
 
(28
)
 
(33
)
Total reclassifications, net of tax
$
87

 
$
113

 
$
74

Cash flow hedging activities
 
 
 
 
 
Losses (gains) on foreign currency forward exchange contracts(c)
$
(167
)
 
$
161

 
$
(118
)
Gains on treasury rate lock agreements and interest rate swap contracts(a)
(4
)
 
—

 
—

Tax expense (benefit)
14

 
(4
)
 
6

Total reclassifications, net of tax
$
(157
)
 
$
157

 
$
(112
)
(a)
Amounts are included in interest expense, net (see Note 11).
(b)
Amounts are included in the computation of net periodic benefit cost (see Note 12).
(c)
Amounts are included in cost of products sold (see Note 11).