Stockholders' Equity (Notes)

12 Months Ended

Dec. 31, 2014

Stockholders' Equity Attributable to Parent [Abstract]

Stockholders' Equity Note Disclosure [Text Block]

Stockholders' Equity

Zoetis is authorized to issue 6,000,000,000 shares of common stock and 1,000,000,000 shares of preferred stock.

Changes in common shares and treasury stock were as follows:

(MILLIONS OF DOLLARS AND SHARES)	Common Shares Issued	Treasury Stock(a)	Cost of Treasury Stock
Balance, December 31, 2012	—	—	$	—
IPO	500.000	—	—
Stock-based compensation	0.008	—	—
Defined contribution plan	—	—	—
Balance, December 31, 2013	500.008	—	—
Stock-based compensation	0.104	0.015	0.5
Defined contribution plans	1.230	—	—
Balance, December 31, 2014	501.342	0.015	$	0.5

^(a)  Treasury shares are reacquired from employees for withholding tax purposes in connection with the vesting and exercise of awards under our equity compensation plan. For additional information regarding share-based compensation, see Note 14. Share-Based Payments.

A. Share Repurchase Program

In November 2014, the company's Board of Directors authorized a $500 million share repurchase program. Purchases of Zoetis shares may be made at the discretion of management, depending on market conditions and business needs. There were no share repurchases under this program during the year ended December 31, 2014.

B. Shareholder Rights Plan

In November 2014, the company adopted a one-year shareholder rights plan. Under the plan, one preferred stock purchase right was distributed for each share of common stock held by stockholders of record on November 24, 2014. Under certain circumstances, the rights will become exercisable and each right will entitle stockholders to buy a unit consisting of one one-thousandth of a share of Series A Junior Participating Preferred Stock of the company at an exercise price of $200 per unit. In general, the rights become exercisable at the close of business on the tenth business day following (i) public announcement that a person or group acquired 15% or more of our common stock or (ii) commencement or announcement of a tender offer or exchange offer that would result in a person or group owning 15% or more of our common stock. The company is entitled to redeem the rights at $0.001 per right at any time prior to 10 business days following the announcement that a person or group has acquired 15% or more of our outstanding common stock. The rights will expire on November 16, 2015, unless the rights are earlier redeemed or exchanged by the company or terminated.

Subject to limited exceptions, if a person or group acquires 15% or more of the outstanding common stock of the company (including in the form of synthetic ownership through derivative positions), each right (other than those held by that person or group) will become exercisable and entitle its holder to purchase, at the right's then-current exercise price, a number of shares of common stock having a market value at that time of twice the right's exercise price. If the company is acquired in a merger or other business combination transaction that has not been approved by the Board of Directors after the rights become exercisable, each right will entitle its holder to purchase, at the right's then-current exercise price, a number of shares of the acquiring company's common stock having a market value at that time of twice the right's exercise price.

C. Accumulated other comprehensive income (loss)

Changes, net of tax, in accumulated other comprehensive loss, excluding noncontrolling interest, follow:

	Currency Translation							Accumulated
	Adjustment			Benefit Plans				Other
	Net Unrealized			Actuarial				Comprehensive
(MILLIONS OF DOLLARS)	Losses			Gains/(Losses)				Loss
Balance, December 31, 2011	$	(59	)	$	(6	)		$	(65	)
Other comprehensive loss, net of tax	(93		)	1				(92		)
Balance, December 31, 2012	(152		)	(5		)		(157		)
Other comprehensive loss, net of tax	(54		)	(2		)		(56		)
Separation adjustments(a)	(6		)	—				(6		)
Balance, December 31, 2013	(212		)	(7		)		(219		)
Other comprehensive loss, net of tax	(124		)	(7		)	(b)	(131		)
Pension plan transfers from Pfizer Inc. (c)	—			(11		)		(11		)
Balance, December 31, 2014	$	(336	)	$	(25	)		$	(361	)

^(a)   See Note 2B. The Separation, Adjustments Associated with the Separation, Senior Notes Offering, Initial Public Offering and Exchange Offer— Adjustments Associated with the Separation.

^(b) Includes the 2014 settlement charge associated with the 2012 sale of our Netherlands manufacturing facility. See Note 13. Benefit Plans.

^(c) Relates to 2014 transfers of defined benefit pension plans from Pfizer Inc. and the reclassification from Additional Paid in Capital to Accumulated Other Comprehensive Loss. See Note 13. Benefit Plans.