Accumulated Other Comprehensive Income and Supplemental Equity Information

3 Months Ended

Apr. 04, 2015

Accumulated Comprehensive Income and Supplemental Equity [Abstract]

Accumulated Other Comprehensive Income and Supplemental Equity Information

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) AND SUPPLEMENTAL EQUITY INFORMATION

The tables below present the changes in each component of accumulated other comprehensive income, net of tax, including other comprehensive income and reclassifications out of accumulated other comprehensive income into net earnings for the three months ended April 4, 2015 and March 29, 2014, respectively (in millions):

	Unrealized
	Gain (Loss) On			Unrealized		Foreign			Accumulated
	Available-for-			Gain (Loss) On		Currency			Other
For the three months ended April 4, 2015	sale Securities			Derivative Instruments		translation adjustment			Comprehensive Income (Loss)
Accumulated other comprehensive income (loss) as of January 3, 2015	$	15		$	3	$	(191	)	$	(173	)
Other comprehensive income (loss) before reclassifications	3			29		(127		)	(95		)
Amounts reclassified to net earnings from accumulated other comprehensive income	(2		)	—		—			(2		)
Other comprehensive income (loss)	1			29		(127		)	(97		)
Accumulated other comprehensive income (loss) as of April 4, 2015	$	16		$	32	$	(318	)	$	(270	)
	Unrealized
	Gain (Loss) On			Unrealized		Foreign			Accumulated
	Available-for-			Gain (Loss) On		Currency			Other
For the three months ended March 29, 2014	sale Securities			Derivative Instruments		translation adjustment			Comprehensive Income (Loss)
Accumulated other comprehensive income (loss) as of December 28, 2013	$	17		$	3	$	26		$	46
Other comprehensive income (loss) before reclassifications	—			—		10			10
Amounts reclassified to net earnings from accumulated other comprehensive income	—			—		—			—
Other comprehensive income (loss)	—			—		10			10
Accumulated other comprehensive income (loss) as of March 29, 2014	$	17		$	3	$	36		$	56

Income taxes are not provided for foreign translation related to permanent investments in international subsidiaries. Reclassification adjustments are made to avoid double counting items in comprehensive income items that are also recorded as part of net earnings.

The following table provides details about reclassifications out of accumulated other comprehensive income and the line items impacted in the Company's Condensed Consolidated Statements of Earnings during the three months ended April 4, 2015 and March 29, 2014, respectively (in millions):

	Amount reclassified from accumulated other comprehensive income
	Three Months Ended
Details about accumulated other comprehensive income components	April 4, 2015			March 29, 2014		Statements of Earnings Classification
Unrealized gain on available-for-sale securities:
Gain on sale of available-for-sale securities	$	(4	)	$	—	Other (income) expense
Tax effect	2			—		Income tax expense
Net of tax	$	(2	)	$	—

The Company's realized (gains) and losses on its available-for-sales securities are computed using the specific identification method.

Supplemental Equity Information

On January 13, 2015, the Company authorized a share repurchase program of up to $500 million of its outstanding common stock. The Company began repurchasing shares on January 30, 2015. From January 30, 2015 through March 2, 2015, the Company repurchased approximately 7.5 million shares for $500 million at an average repurchase price of $66.96 per share.

The supplemental equity schedules below present changes in the Company's noncontrolling interest for the three months ended April 4, 2015 and March 29, 2014, respectively (in millions):

	Total
	Shareholders'
	Equity
	Before						Total
	Noncontrolling			Noncontrolling			Shareholders'
For the three months ended April 4, 2015	Interest			Interest			Equity
Balance at January 3, 2015	$	4,199		$	45		$	4,244
Net earnings	262			(6		)	256
Other comprehensive income (loss)	(97		)	—			(97		)
Cash dividends declared	(81		)	—			(81		)
Repurchases of common stock	(500		)	—			(500		)
Stock-based compensation	17			—			17
Common stock issued under employee stock plans and other, net	38			—			38
Tax benefit from stock plans	5			—			5
Balance at April 4, 2015	$	3,843		$	39		$	3,882

	Total
	Shareholders'
	Equity
	Before						Total
	Noncontrolling			Noncontrolling			Shareholders'
For the three months ended March 29, 2014	Interest			Interest			Equity
Balance at December 28, 2013	$	4,231		$	173		$	4,404
Net earnings	249			(10		)	239
Other comprehensive income (loss)	10			—			10
Cash dividends declared	(77		)	—			(77		)
Repurchases of common stock	(434		)	—			(434		)
Stock-based compensation	17			—			17
Common stock issued under employee stock plans and other, net	60			—			60
Tax benefit from stock plans	9			—			9
Balance at March 29, 2014	$	4,065		$	163		$	4,228

During the second quarter of 2015, the Company exercised its exclusive option and paid $175 million to Spinal Modulation’s shareholders to obtain the remaining 81% ownership interest in the company that it did not previously own. In accordance with the terms of the original investment agreement, the Company will record estimates for additional payments due upon certain regulatory milestones and achievement of certain revenue targets.