Fair Value Measurements And Financial Instruments (Tables)

3 Months Ended

Mar. 29, 2014

Summary Of Components Of Available-For-Sale Securities

The following table summarizes the components of the balance of the Company’s available-for-sale securities at March 29, 2014 and December 28, 2013 (in millions):



	March 29, 2014		December 28, 2013
Adjusted cost	$	7	$	7
Gross unrealized gains	27		28
Fair value	$	34	$	35

Summary Of Financial Assets Measured At Fair Value On A Recurring Basis

A summary of financial assets measured at fair value on a recurring basis at March 29, 2014 and December 28, 2013 is as follows (in millions):



	Balance Sheet Classification	March 29, 2014		Quoted Prices In Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Money-market securities	Cash and cash equivalents	$	999	$	999	$	—	$	—
Available-for-sale securities	Other current assets	34		34		—		—
Trading securities	Other assets	289		289		—		—
Total assets		1,322		1,322		—		—

Liabilities
Contingent consideration	Other current liabilities	141		—		—		141
Contingent consideration	Other liabilities	57		—		—		57
Total liabilities		$	198	$	—	$	—	$	198



	Balance Sheet Classification	December 28, 2013		Quoted Prices In Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Money-market securities	Cash and cash equivalents	$	875	$	875	$	—	$	—
Available-for-sale securities	Other current assets	35		35		—		—
Trading securities	Other assets	279		279		—		—
Total assets		1,189		1,189		—		—

Liabilities
Contingent consideration	Other liabilities	195		—		—		195
Total liabilities		$	195	$	—	$	—	$	195

Fair Value Inputs, Liabilities, Quantitative Information [Table Text Block]

The recurring Level 3 fair value measurements of the Company's contingent consideration liability include the following significant unobservable inputs (in millions):



Contingent Consideration Liability	Fair Value as of March 29, 2014		Valuation Technique	Unobservable Input	Range

Endosense regulatory-based milestone	$	141	Probability Weighted Discounted Cash Flow	Discount Rate	1.15%	-	1.59%
				Probability of Payment			90%
				Projected Year of Payment			2014

Nanostim revenue-based milestone	57		Probability Weighted Discounted Cash Flow	Discount Rate			5.00%
				Probability of Payment			100%
				Projected Years of Three Annual Payments	2016, 2017, 2018
Total contingent consideration liability	$	198

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

The changes in the carrying amount of the Company's contingent consideration liabilities for the three months ended March 29, 2104 were as follows (in millions):



	Endosense		Nanostim		Total
Balance as of December 28, 2013	$	139	$	56	$	195
Change in fair value of contingent consideration	—		1		1
Foreign currency translation	2		—		2
Balance as of March 29, 2014	$	141	$	57	$	198

- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability.

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