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Acquisitions and Divestitures (Details)
$ in Millions
3 Months Ended 9 Months Ended
Nov. 09, 2015
USD ($)
Feb. 10, 2015
USD ($)
Oct. 02, 2016
USD ($)
Apr. 03, 2016
USD ($)
Sep. 27, 2015
USD ($)
Oct. 02, 2016
USD ($)
Sep. 27, 2015
USD ($)
Apr. 28, 2016
USD ($)
Feb. 12, 2016
site
Dec. 31, 2015
USD ($)
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Goodwill     $ 1,497     $ 1,497       $ 1,455
Amount expected to be uncollectible $ 1                  
Number of manufacturing sites sold | site                 2  
Gain (loss) recognized related to divestitures [1]     0   $ 0 27 [2] $ 0      
Taiwan Joint Venture                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Ownership percentage               55.00%    
Proceeds from divestiture               $ 13    
India and US Manufacturing Sites                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Total cash proceeds           $ 88        
Gain (loss) recognized related to divestitures     6 $ 33            
PHARMAQ                    
Business Acquisition [Line Items]                    
Percentage acquired 100.00%                  
Purchase price $ 765                  
Payments to acquire business 668                  
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Cash and cash equivalents 16                  
Accounts receivable [3] 21                  
Inventories [4] 42                  
Other current assets 2                  
Property, plant and equipment 11                  
Intangible assets [5] 550                  
Accounts payable (4)                  
Accrued expenses [6] (38)                  
Accrued compensation and related items (4)                  
Long-term debt [6] (89)                  
Noncurrent deferred tax liabilities [7] (139)                  
Other non-current liabilities (2)                  
Total net assets acquired 366                  
Goodwill [8] 302                  
Total consideration 668                  
Gross trade receivables 21                  
Finished goods 17                  
PHARMAQ | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Intangible assets 280                  
PHARMAQ | Customer Relationships                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Intangible assets $ 80                  
Weighted average useful life 15 years                  
PHARMAQ | Developed Technology Rights                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Weighted average useful life 10 years                  
PHARMAQ | Vaccine pancreatic disease | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Acquisition date fair value $ 50                  
PHARMAQ | Alphaflux | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Acquisition date fair value 40                  
PHARMAQ | New species | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Acquisition date fair value 40                  
PHARMAQ | Vaccines                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Intangible assets 160                  
PHARMAQ | Vaccines | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Intangible assets 150                  
PHARMAQ | Therapeutics                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Intangible assets $ 30                  
Abbott Animal Health                    
Business Acquisition [Line Items]                    
Purchase price   $ 254                
Payments to acquire business   229                
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Inventories   12                
Property, plant and equipment   1                
Goodwill   187                
Weighted average useful life           15 years        
Contingent consideration payment, high   25                
Contingent consideration fair value liability   22                
Final valuation adjustments     $ 14              
Abbott Animal Health | In Process Research and Development                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Assets acquired, indefinite-lived intangible assets   8                
Abbott Animal Health | Trade Names                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Assets acquired, finite-lived intangibles   5                
Abbott Animal Health | Developed Technology Rights                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Assets acquired, finite-lived intangibles   16                
Abbott Animal Health | Other Intangible Assets                    
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]                    
Weighted average useful life           5 years        
Assets acquired, finite-lived intangibles   $ 23                
[1] For the nine months ended October 2, 2016, represents the net gain on the sale of certain manufacturing sites and products, partially offset by the loss on the sale of our share of a Taiwan joint venture, as part of our operational efficiency initiative.
[2] For the three and nine months ended October 2, 2016, represents an impairment of finite-lived trademarks related to a canine pain management product. For the nine months ended September 27, 2015, represents an impairment of IPR&D assets related to the termination of a canine oncology project.
[3] Accounts receivable were measured at fair value as of the acquisition date and are substantially comprised of gross trade receivables of $21 million, $1 million of which is expected to be uncollectible.
[4] Inventories recorded as of the acquisition date reflect fair value adjustments of $17 million which relates primarily to finished goods. The fair value was calculated based on estimated selling profit margin.
[5] The acquisition date fair value of intangible assets acquired was determined using the income approach and consists of the following: $160 million related to currently marketed vaccine products, $30 million related to currently marketed therapeutics, $80 million related to customer relationships and $280 million related to in-process research and development (IPR&D). The most significant IPR&D project acquired, with an acquisition date fair value of $150 million, relates to the salmon rickettsial syndrome (SRS) vaccine. The vaccine was commercially launched, subsequent to the acquisition, during November 2015. Other significant acquired IPR&D projects relate to a vaccine for pancreatic disease, “PD” and Alphaflux, a therapeutic drug for the treatment of sea lice and vaccine technology for new species including Tilapia and Pangasius, were assigned acquisition date fair values of $50 million, $40 million, and $40 million, respectively. Vaccine developed technology and customer relationships will be amortized over a 15 year useful life while therapeutic developed technology will be amortized over 10 years.
[6] Pharmaq callable bonds and derivative contracts were recorded at acquisition date fair value and settled immediately following the closing.
[7] The Pharmaq acquisition was structured as a stock purchase therefore we assumed the historical tax bases of its assets and liabilities. We also established net deferred tax assets and liabilities associated with the fair value adjustments recorded as part of the opening balance sheet. The components of the Pharmaq net deferred tax liability are included within amounts reported in Note 7. Income Taxes.
[8] Goodwill of $302 million is the excess of consideration transferred over the value of net assets acquired and was allocated to our existing reportable segments and is primarily attributable to corporate synergies related to platform functions. The primary strategic purpose of the acquisition was to enhance the company’s existing product portfolio by enabling Zoetis to further expand into aquaculture. The goodwill recorded is not deductible for tax purposes.