Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2013

Sales of the Company’s products were as follows:



Years Ended December 31	2013		2012		2011
Primary Care and Women’s Health
Cardiovascular
Zetia	$	2,658	$	2,567	$	2,428
Vytorin	1,643		1,747		1,882
Diabetes and Obesity
Januvia	4,004		4,086		3,324
Janumet	1,829		1,659		1,363
Respiratory
Nasonex	1,335		1,268		1,286
Singulair	1,196		3,853		5,479
Dulera	324		207		96
Asmanex	184		185		206
Women’s Health and Endocrine
NuvaRing	686		623		623
Fosamax	560		676		855
Follistim AQ	481		468		530
Implanon	403		348		294
Cerazette	208		271		268
Other
Arcoxia	484		453		431
Avelox	140		201		322
Hospital and Specialty
Immunology
Remicade	2,271		2,076		2,667
Simponi	500		331		264
Infectious Disease
Isentress	1,643		1,515		1,359
Cancidas	660		619		640
PegIntron	496		653		657
Invanz	488		445		406
Victrelis	428		502		140
Noxafil	309		258		230
Oncology
Temodar	708		917		935
Emend	507		489		419
Other
Cosopt/Trusopt	416		444		477
Bridion	288		261		201
Integrilin	186		211		230
Diversified Brands
Cozaar/Hyzaar	1,006		1,284		1,663
Primaxin	335		384		515
Zocor	301		383		456
Propecia	283		424		447
Clarinex	235		393		621
Remeron	206		232		241
Claritin Rx	204		244		314
Proscar	183		217		223
Maxalt	149		638		639
Vaccines ⁽¹⁾
Gardasil	1,831		1,631		1,209
ProQuad/M-M-R II/Varivax	1,306		1,273		1,202
Zostavax	758		651		332
Pneumovax 23	653		580		498
RotaTeq	636		601		651
Other pharmaceutical ⁽²⁾	4,316		4,333		4,266
Total Pharmaceutical segment sales	37,437		40,601		41,289
Other segment sales ⁽³⁾	6,325		6,412		6,428
Total segment sales	43,762		47,013		47,717
Other ⁽⁴⁾	271		254		330
	$	44,033	$	47,267	$	48,047


⁽¹⁾	These amounts do not reflect sales of vaccines sold in most major European markets through the Company’s joint venture, Sanofi Pasteur MSD, the results of which are reflected in Equity income from affiliates. These amounts do, however, reflect supply sales to Sanofi Pasteur MSD.


⁽²⁾	Other pharmaceutical primarily reflects sales of other human health pharmaceutical products, including products within the franchises not listed separately.


⁽³⁾	Represents the non-reportable segments of Animal Health, Consumer Care and Alliances. The Alliances segment includes revenue from the Company’s relationship with AZLP.

⁽⁴⁾

Other revenues are primarily comprised of miscellaneous corporate revenues, third-party manufacturing sales, sales related to divested products or businesses and other supply sales not included in segment results. On October 1, 2013, the Company divested a substantial portion of its third-party manufacturing sales (see Note 3). In addition, other revenues in 2013 reflect $50 million of revenue for the out-license of a pipeline compound.

Consolidated Revenues by Geographic Area

Consolidated revenues by geographic area where derived are as follows:



Years Ended December 31	2013		2012		2011
United States	$	18,246	$	20,392	$	20,495
Europe, Middle East and Africa	13,140		12,990		13,782
Japan	4,044		5,102		4,835
Asia Pacific	3,845		3,775		3,496
Latin America	3,203		3,389		3,472
Other	1,555		1,619		1,967
	$	44,033	$	47,267	$	48,047

Reconciliation of Segment Profits to Income Before Taxes

A reconciliation of total segment profits to consolidated Income before taxes is as follows:



Years Ended December 31	2013			2012			2011
Segment profits:
Pharmaceutical segment	$	22,983		$	25,852		$	25,617
Other segments	3,094			3,163			2,995
Total segment profits	26,077			29,015			28,612
Other profits (losses)	19			26			(11		)
Unallocated:
Interest income	264			232			145
Interest expense	(801		)	(714		)	(695		)
Equity income from affiliates	(159		)	102			41
Depreciation and amortization	(2,250		)	(2,059		)	(2,412		)
Research and development	(6,381		)	(7,126		)	(7,251		)
Amortization of purchase accounting adjustments	(4,690		)	(4,872		)	(5,000		)
Restructuring costs	(1,709		)	(664		)	(1,306		)
Net charge related to settlement of ENHANCE Litigation	—			(493		)	—
Arbitration settlement charge	—			—			(500		)
Other unallocated, net	(4,825		)	(4,708		)	(4,289		)
	$	5,545		$	8,739		$	7,334

Equity Income from Affiliates and Depreciation and Amortization Included in Segment Profits

Equity income from affiliates and depreciation and amortization included in segment profits is as follows:



	Pharmaceutical			All Other			Total
Year Ended December 31, 2013
Included in segment profits:
Equity income from affiliates	$	88		$	475		$	563
Depreciation and amortization	(27		)	(22		)	(49		)
Year Ended December 31, 2012
Included in segment profits:
Equity income from affiliates	$	36		$	504		$	540
Depreciation and amortization	(25		)	(20		)	(45		)
Year Ended December 31, 2011
Included in segment profits:
Equity income from affiliates	$	59		$	510		$	569
Depreciation and amortization	(51		)	(20		)	(71		)

Property, Plant and Equipment, Net by Geographic Area

Property, plant and equipment, net by geographic area where located is as follows:



Years Ended December 31	2013		2012		2011
United States	$	10,076	$	10,687	$	10,826
Europe, Middle East and Africa	3,346		3,688		3,780
Asia Pacific	1,001		1,059		1,064
Latin America	242		250		234
Japan	211		243		279
Other	97		103		114
	$	14,973	$	16,030	$	16,297

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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