Guarantor Financial Information

6 Months Ended

Oct. 30, 2015

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

On January 26, 2015, Medtronic plc (Parent Company Guarantor) and Medtronic Global Holdings S.C.A. (Medtronic Luxco), a subsidiary guarantor, each provided a full and unconditional guarantee of the obligations of Medtronic, Inc. under the Senior Notes (Medtronic Senior Notes). In addition, Medtronic plc and Medtronic Luxco each provided a full and unconditional guarantee of the obligations of Covidien International Finance S.A. (CIFSA), assumed as part of the Covidien acquisition, under the Senior Notes (CIFSA Senior Notes). These guarantees of the CIFSA Senior Notes were in addition to the guarantees of the CIFSA Senior Notes by legacy Covidien holding companies Covidien Ltd. (f/k/a Covidien plc) and Covidien Group Holdings Ltd. (f/k/a Covidien Ltd.), both of which remain guarantors of the CIFSA Senior Notes. A summary of the guarantees is as follows:

Guarantees of Medtronic Senior Notes


•	Parent Company Guarantor - Medtronic plc


•	Subsidiary Issuer - Medtronic, Inc.


•	Subsidiary Guarantor - Medtronic Luxco

Since Medtronic plc and Medtronic Luxco did not exist in the comparable period in the prior fiscal year, the Parent Company Guarantor column and Subsidiary Guarantor column in the consolidating financial information for the guarantee of the Medtronic Senior Notes will appear as zeros for the comparable period in fiscal year 2015. Accordingly, the consolidating financial information presented for the comparable period in the prior year is of the predecessor registrant, Medtronic, Inc.

Guarantees of CIFSA Senior Notes


•	Parent Company Guarantor - Medtronic plc


•	Subsidiary Issuer - CIFSA


•	Subsidiary Guarantors - Medtronic Luxco, Covidien Ltd., and Covidien Group Holdings Ltd.

There were no Medtronic plc or Medtronic Luxco guarantees in effect prior to the Acquisition Date, and the CIFSA Senior Notes were assumed as part of the Covidien acquisition. Therefore, no consolidating financial information for the period ended October 24, 2014 is presented related to the guarantee of the CIFSA Senior Notes.

The following presents the Company’s Consolidating Statements of Comprehensive Income as of and for the three and six months ended October 30, 2015 and October 24, 2014, and Condensed Consolidating Balance Sheets as of October 30, 2015 and April 24, 2015, and Condensed Consolidating Statements of Cash Flows as of and for the six months ended October 30, 2015. The guarantees provided by the Parent Company Guarantor and Subsidiary Guarantor(s) are joint and several. Condensed consolidating financial information for the Parent Company Guarantor, Subsidiary Issuer, and Subsidiary Guarantor(s), on a stand-alone basis, is presented using the equity method of accounting for subsidiaries.

The Company has made a revision to its condensed consolidating balance sheet of the guarantees of CIFSA Senior Notes as previously presented in Note 19 in the Company’s Annual Report on Form 10-K for the year ended April 24, 2015. The $2.763 billion revision, in the line item Investment in Subsidiaries in the Subsidiary Issuer (CIFSA) column, occurred due to a $1.093 billion internal reorganization that took place during the second quarter of fiscal year 2016 and a $1.670 billion incorrect presentation primarily related to an intercompany dividend. There is no impact to the consolidated financial statements of Medtronic plc as previously filed in the 2015 Annual Report on Form 10-K or Quarterly Reports on Form 10-Q.

Consolidating Statement of Comprehensive Income

Three Months Ended October 30, 2015

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantor			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—		$	363		$	—		$	7,058		$	(363	)	$	7,058

Costs and expenses:
Cost of products sold	—			345			—			2,393			(556		)	2,182
Research and development expense	—			85			—			440			20			545
Selling, general, and administrative expense	54			42			—			2,293			(46		)	2,343
Restructuring charges, net	—			5			—			68			—			73
Certain litigation charges	—			—			—			26			—			26
Acquisition-related items	—			55			—			(6		)	—			49
Amortization of intangible assets	—			3			—			480			—			483
Other (income) expense, net	56			(348		)	—			349			—			57
Operating profit (loss)	(110		)	176			—			1,015			219			1,300

Interest income	—			(57		)	(175		)	(116		)	241			(107		)
Interest expense	4			455			3			103			(241		)	324
Interest (income) expense, net	4			398			(172		)	(13		)	—			217
Equity in net (income) loss of subsidiaries	(590		)	5,902			(418		)	—			(4,894		)	—
Income (loss) from operations before income taxes	476			(6,124		)	590			1,028			5,113			1,083
Provision (benefit) for income taxes	(2		)	3			—			562			—			563
Net income (loss)	478			(6,127		)	590			466			5,113			520
Other comprehensive income (loss), net of tax	(115		)	(52		)	(115		)	(195		)	362			(115		)
Total comprehensive income (loss)	$	363		$	(6,179	)	$	475		$	271		$	5,475		$	405

Consolidating Statement of Comprehensive Income

Six Months Ended October 30, 2015

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantor			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—		$	736		$	—		$	14,335		$	(739	)	$	14,332

Costs and expenses:
Cost of products sold	—			700			—			4,604			(666		)	4,638
Research and development expense	—			219			—			864			20			1,103
Selling, general, and administrative expense	149			224			—			4,465			(46		)	4,792
Restructuring charges, net	—			5			—			135			—			140
Certain litigation charges	—			—			—			26			—			26
Acquisition-related items	—			55			—			65			—			120
Amortization of intangible assets	—			6			—			958			—			964
Other (income) expense, net	34			(579		)	—			663			—			118
Operating profit (loss)	(183		)	106			—			2,555			(47		)	2,431

Interest (income)	—			(121		)	(358		)	(229		)	486			(222		)
Interest expense	5			899			3			209			(486		)	630
Interest (income) expense, net	5			778			(355		)	(20		)	—			408
Equity in net (income) of subsidiaries	(1,520		)	4,947			(1,165		)	—			(2,262		)	—
Income (loss) from operations before income taxes	1,332			(5,619		)	1,520			2,575			2,215			2,023
Provision (benefit) for income taxes	(8		)	(159		)	—			850			—			683
Net income (loss)	1,340			(5,460		)	1,520			1,725			2,215			1,340
Other comprehensive income (loss), net of tax	(287		)	(224		)	(287		)	(367		)	878			(287		)
Total comprehensive income	$	1,053		$	(5,684	)	$	1,233		$	1,358		$	3,093		$	1,053

Consolidating Statement of Comprehensive Income

Three Months Ended October 24, 2014

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantor		Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—	$	309		$	—	$	4,375		$	(318	)	$	4,366

Costs and expenses:
Cost of products sold	—		304			—		1,158			(320		)	1,142
Research and development expense	—		118			—		256			—			374
Selling, general, and administrative expense	—		242			—		1,265			—			1,507
Special (gains) charges, net	—		100			—		—			—			100
Restructuring charges, net	—		6			—		(6		)	—			—
Acquisition-related items	—		98			—		(37		)	—			61
Amortization of intangible assets	—		3			—		86			—			89
Other (income) expense, net	—		(318		)	—		381			—			63
Operating profit (loss)	—		(244		)	—		1,272			2			1,030

Interest income	—		—			—		(86		)	—			(86		)
Interest expense	—		84			—		10			—			94
Interest (income) expense, net	—		84			—		(76		)	—			8
Equity in net (income) loss of subsidiaries	—		(1,033		)	—		—			1,033			—
Income from operations before income taxes	—		705			—		1,348			(1,031		)	1,022
Provision (benefit) for income taxes	—		(121		)	—		315			—			194
Net income	—		826			—		1,033			(1,031		)	828
Other comprehensive income, net of tax	—		(18		)	—		(23		)	23			(18		)
Total comprehensive income	$	—	$	808		$	—	$	1,010		$	(1,008	)	$	810

Consolidating Statement of Comprehensive Income

Six Months Ended October 24, 2014

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantor		Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—	$	612		$	—	$	8,643		$	(616	)	$	8,639

Costs and expenses:
Cost of products sold	—		602			—		2,261			(616		)	2,247
Research and development expense	—		234			—		505			—			739
Selling, general, and administrative expense	—		483			—		2,530			—			3,013
Special (gains) charges, net	—		100			—		—			—			100
Restructuring charges, net	—		6			—		24			—			30
Acquisition-related items	—		98			—		4			—			102
Amortization of intangible assets	—		6			—		170			—			176
Other (income) expense, net	—		(533		)	—		647			—			114
Operating profit (loss)	—		(384		)	—		2,502			—			2,118

Interest income	—		—			—		(178		)	—			(178		)
Interest expense	—		173			—		18			—			191
Interest (income) expense, net	—		173			—		(160		)	—			13
Equity in net income of subsidiaries	—		(2,053		)	—		—			2,053			—
Income from operations before income taxes	—		1,496			—		2,662			(2,053		)	2,105
Provision (benefit) for income taxes	—		(203		)	—		609			—			406
Net income	—		1,699			—		2,053			(2,053		)	1,699
Other comprehensive income, net of tax	—		91			—		86			(86		)	91
Total comprehensive income	$	—	$	1,790		$	—	$	2,139		$	(2,139	)	$	1,790

Condensed Consolidating Balance Sheet

October 30, 2015

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (Medtronic, Inc.)		Subsidiary Guarantors		Subsidiary Non-guarantors		Consolidating Adjustments			Total
ASSETS
Current assets:
Cash and cash equivalents	$	1	$	285	$	1	$	2,091	$	—		$	2,378
Investments	—		14		—		14,837		—			14,851
Accounts receivable, net	—		—		—		5,044		—			5,044
Inventories	—		170		—		3,580		(234		)	3,516
Intercompany receivable	234		162,699		—		164,394		(327,327		)	—
Tax assets	—		376		—		1,243		—			1,619
Prepaid expenses and other current assets	2		115		—		1,198		—			1,315
Total current assets	237		163,659		1		192,387		(327,561		)	28,723
Property, plant, and equipment, net	—		1,026		—		3,652		—			4,678
Goodwill	—		1,672		—		39,602		—			41,274
Other intangible assets, net	—		36		—		27,695		—			27,731
Long-term tax assets	—		535		—		290		—			825
Investment in subsidiaries	71,544		37,221		65,524		—		(174,289		)	—
Intercompany loans receivable	3,000		7,078		10,330		11,875		(32,283		)	—
Other assets	—		697		—		1,017		—			1,714
Total assets	$	74,781	$	211,924	$	75,855	$	276,518	$	(534,133	)	$	104,945
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings	$	—	$	501	$	1,307	$	350	$	—		$	2,158
Accounts payable	—		233		—		1,214		—			1,447
Intercompany payable	20,502		151,757		—		155,068		(327,327		)	—
Accrued compensation	11		461		—		917		—			1,389
Accrued income taxes	13		—		1		519		—			533
Deferred tax liabilities	—		—		—		142		—			142
Other accrued expenses	1		503		—		1,953		—			2,457
Total current liabilities	20,527		153,455		1,308		160,163		(327,327		)	8,126
Long-term debt	—		29,000		—		4,690		—			33,690
Long-term accrued compensation and retirement benefits	—		996		—		581		—			1,577
Long-term accrued income taxes	—		1,159		—		1,612		—			2,771
Long-term intercompany loans payable	1,985		10,221		10,000		10,077		(32,283		)	—
Long-term deferred tax liabilities	—		—		—		4,766		—			4,766
Other long-term liabilities	—		234		—		1,512		—			1,746
Total liabilities	22,512		195,065		11,308		183,401		(359,610		)	52,676
Shareholders’ equity	52,269		16,859		64,547		93,117		(174,523		)	52,269
Total liabilities and shareholders’ equity	$	74,781	$	211,924	$	75,855	$	276,518	$	(534,133	)	$	104,945

Condensed Consolidating Balance Sheet

April 24, 2015

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (Medtronic, Inc.)		Subsidiary Guarantors		Subsidiary Non-guarantors		Consolidating Adjustments			Total
ASSETS
Current assets:
Cash and cash equivalents	$	263	$	1,071	$	170	$	3,339	$	—		$	4,843
Investments	—		—		—		14,637		—			14,637
Accounts receivable, net	—		—		—		5,112		—			5,112
Inventories	—		165		—		3,298		—			3,463
Intercompany receivable	259		146,373		—		150,679		(297,311		)	—
Tax assets	—		770		—		729		(164		)	1,335
Prepaid expenses and other current assets	4		128		—		1,322		—			1,454
Total current assets	526		148,507		170		179,116		(297,475		)	30,844
Property, plant, and equipment, net	—		976		—		3,753		(30		)	4,699
Goodwill	—		1,607		—		38,923		—			40,530
Other intangible assets, net	—		39		—		28,062		—			28,101
Long-term tax assets	—		643		—		559		(428		)	774
Investment in subsidiaries	70,255		42,311		64,335		—		(176,901		)	—
Intercompany loans receivable	3,000		6,516		10,000		10,218		(29,734		)	—
Other assets	—		678		—		1,059		—			1,737
Total assets	$	73,781	$	201,277	$	74,505	$	261,690	$	(504,568	)	$	106,685
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings	$	—	$	1,110	$	—	$	1,324	$	—		$	2,434
Accounts payable	—		261		—		1,349		—			1,610
Intercompany payable	20,506		135,091		—		141,714		(297,311		)	—
Accrued compensation	1		490		—		1,120		—			1,611
Accrued income taxes	41		371		—		523		—			935
Deferred tax liabilities	3		—		—		280		(164		)	119
Other accrued expenses	—		600		—		1,894		(30		)	2,464
Total current liabilities	20,551		137,923		—		148,204		(297,505		)	9,173
Long-term debt	—		29,004		—		4,748		—			33,752
Long-term accrued compensation and retirement benefits	—		965		—		570		—			1,535
Long-term accrued income taxes	—		1,450		—		1,026		—			2,476
Long-term intercompany loans payable	—		10,218		10,000		9,516		(29,734		)	—
Long-term deferred tax liabilities	—		—		—		5,128		(428		)	4,700
Other long-term liabilities	—		207		—		1,612		—			1,819
Total liabilities	20,551		179,767		10,000		170,804		(327,667		)	53,455
Shareholders’ equity	53,230		21,510		64,505		90,886		(176,901		)	53,230
Total liabilities and shareholders’ equity	$	73,781	$	201,277	$	74,505	$	261,690	$	(504,568	)	$	106,685

Condensed Consolidating Statement of Cash Flows

Six Months Ended October 30, 2015

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantors			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Operating Activities:
Net cash provided by (used in) operating activities	$	(24	)	$	454		$	(1,116	)	$	2,781		$	—		$	2,095
Investing Activities:
Acquisitions, net of cash acquired	—			—			—			(997		)	—			(997		)
Additions to property, plant, and equipment	—			(129		)	—			(317		)	—			(446		)
Purchases of marketable securities	—			—			—			(3,370		)	—			(3,370		)
Sales and maturities of marketable securities	—			—			—			2,752			—			2,752
Net increase (decrease) in intercompany loans	—			(562		)	(330		)	(1,657		)	2,549			—
Other investing activities, net	—			—			—			(13		)	—			(13		)
Net cash provided by (used in) investing activities	—			(691		)	(330		)	(3,602		)	2,549			(2,074		)
Financing Activities:
Acquisition-related contingent consideration	—			—			—			(19		)	—			(19		)
Change in short-term borrowings, net	—			—			1,277			—			—			1,277
Proceeds from short-term borrowings (maturities greater than 90 days)	—			48			—			—			—			48
Payments on long-term debt	—			(600		)	—			(1,008		)	—			(1,608		)
Dividends to shareholders	(1,075		)	—			—			—			—			(1,075		)
Issuance of ordinary shares	263			—			—			—			—			263
Repurchase of ordinary shares	(1,460		)	—			—			—			—			(1,460		)
Net intercompany loan borrowings (repayments)	1,985			3			—			561			(2,549		)	—
Other financing activities	49			—			—			—			—			49
Net cash provided by (used in) financing activities	(238		)	(549		)	1,277			(466		)	(2,549		)	(2,525		)
Effect of exchange rate changes on cash and cash equivalents	—			—			—			39			—			39
Net change in cash and cash equivalents	(262		)	(786		)	(169		)	(1,248		)	—			(2,465		)
Cash and cash equivalents at beginning of period	263			1,071			170			3,339			—			4,843
Cash and cash equivalents at end of period	$	1		$	285		$	1		$	2,091		$	—		$	2,378

Condensed Consolidating Statement of Cash Flows

Six Months Ended October 24, 2014

Medtronic Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (Medtronic, Inc.)			Subsidiary Guarantors		Subsidiary Non-guarantors			Consolidating Adjustments			Total
Operating Activities:
Net cash provided by operating activities	$	—	$	45		$	—	$	1,178		$	—		$	1,223
Investing Activities:
Acquisitions, net of cash acquired	—		—			—		(578		)	—			(578		)
Additions to property, plant, and equipment	—		(78		)	—		(132		)	—			(210		)
Purchases of marketable securities	—		—			—		(3,024		)	—			(3,024		)
Sales and maturities of marketable securities	—		—			—		2,665			—			2,665
Net decrease in intercompany loans	—		—			—		23			(23		)	—
Other investing activities, net	—		—			—		(6		)	—			(6		)
Net cash used in investing activities	—		(78		)	—		(1,052		)	(23		)	(1,153		)
Financing Activities:
Acquisition-related contingent consideration	—		—			—		(5		)	—			(5		)
Change in short-term borrowings, net	—		1,611			—		—			—			1,611
Proceeds from short-term borrowings (maturities greater than 90 days)	—		150			—		—			—			150
Payments on long-term debt	—		(7		)	—		—			—			(7		)
Dividends to shareholders	—		(602		)	—		—			—			(602		)
Issuance of ordinary shares	—		312			—		—			—			312
Repurchase of ordinary shares	—		(1,620		)	—		—			—			(1,620		)
Net intercompany loan borrowings (repayments)	—		(23		)	—		—			23			—
Other financing activities	—		34			—		—			—			34
Net cash (used in) provided by financing activities	—		(145		)	—		(5		)	23			(127		)
Effect of exchange rate changes on cash and cash equivalents	—		—			—		(59		)	—			(59		)
Net change in cash and cash equivalents	—		(178		)	—		62			—			(116		)
Cash and cash equivalents at beginning of period	—		264			—		1,139			—			1,403
Cash and cash equivalents at end of period	$	—	$	86		$	—	$	1,201		$	—		$	1,287

Consolidating Statement of Comprehensive Income

Three Months Ended October 30, 2015

CIFSA Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (CIFSA)			Subsidiary Guarantors			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—		$	—		$	—		$	7,058		$	—		$	7,058

Costs and expenses:
Cost of products sold	—			—			—			2,156			26			2,182
Research and development expense	—			—			—			525			20			545
Selling, general, and administrative expense	54			1			—			2,334			(46		)	2,343
Restructuring charges, net	—			—			—			73			—			73
Certain litigation charges, net	—			—			—			26			—			26
Acquisition-related items	—			—			—			49			—			49
Amortization of intangible assets	—			—			—			483			—			483
Other (income) expense, net	56			—			—			1			—			57
Operating profit (loss)	(110		)	(1		)	—			1,411			—			1,300

Interest income	—			(150		)	(175		)	(115		)	333			(107		)
Interest expense	4			27			3			623			(333		)	324
Interest expense (income), net	4			(123		)	(172		)	508			—			217
Equity in net (income) loss of subsidiaries	(590		)	(7,292		)	(418		)	—			8,300			—
Income from operations before income taxes	476			7,414			590			903			(8,300		)	1,083
Provision (benefit) for income taxes	(2		)	—			—			565			—			563
Net income	478			7,414			590			338			(8,300		)	520
Other comprehensive loss, net of tax	(115		)	109			(115		)	(115		)	121			(115		)
Total comprehensive income (loss)	$	363		$	7,523		$	475		$	223		$	(8,179	)	$	405

Consolidating Statement of Comprehensive Income

Six Months Ended October 30, 2015

CIFSA Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (CIFSA)			Subsidiary Guarantors			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Net sales	$	—		$	—		$	—		$	14,332		$	—		$	14,332

Costs and expenses:
Cost of products sold	—			—			—			4,612			26			4,638
Research and development expense	—			—			—			1,083			20			1,103
Selling, general, and administrative expense	149			1			—			4,688			(46		)	4,792
Restructuring charges, net	—			—			—			140			—			140
Certain litigation charges, net	—			—			—			26			—			26
Acquisition-related items	—			—			—			120			—			120
Amortization of intangible assets	—			—			—			964			—			964
Other (income) expense, net	34			—			—			84			—			118
Operating profit (loss)	(183		)	(1		)	—			2,615			—			2,431

Interest income	—			(310		)	(358		)	(230		)	676			(222		)
Interest expense	5			59			3			1,239			(676		)	630
Interest expense (income), net	5			(251		)	(355		)	1,009			—			408
Equity in net (income) loss of subsidiaries	(1,520		)	(7,262		)	(1,165		)	—			9,947			—
Income from operations before income taxes	1,332			7,512			1,520			1,606			(9,947		)	2,023
Provision (benefit) for income taxes	(8		)	—			—			691			—			683
Net income	1,340			7,512			1,520			915			(9,947		)	1,340
Other comprehensive loss, net of tax	(287		)	(63		)	(287		)	(287		)	637			(287		)
Total comprehensive income (loss)	$	1,053		$	7,449		$	1,233		$	628		$	(9,310	)	$	1,053

Condensed Consolidating Balance Sheet

October 30, 2015

CIFSA Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (CIFSA)		Subsidiary Guarantors		Subsidiary Non-guarantors		Consolidating Adjustments			Total
ASSETS
Current assets:
Cash and cash equivalents	$	1	$	140	$	1	$	2,236	$	—		$	2,378
Investments	—		—		—		14,851		—			14,851
Accounts receivable, net	—		—		—		5,044		—			5,044
Inventories	—		—		—		3,516		—			3,516
Intercompany receivable	234		—		60		20,521		(20,815		)	—
Tax assets	—		—		—		1,619		—			1,619
Prepaid expenses and other current assets	2		—		5		1,308		—			1,315
Total current assets	237		140		66		49,095		(20,815		)	28,723
Property, plant, and equipment, net	—		—		—		4,678		—			4,678
Goodwill	—		—		—		41,274		—			41,274
Other intangible assets, net	—		—		—		27,731		—			27,731
Long-term tax assets	—		—		—		825		—			825
Investment in subsidiaries	71,544		8,794		65,524		—		(145,862		)	—
Intercompany loans receivable	3,000		9,175		11,827		6,421		(30,423		)	—
Other assets	—		—		—		1,714		—			1,714
Total assets	$	74,781	$	18,109	$	77,417	$	131,738	$	(197,100	)	$	104,945
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings	$	—	$	—	$	1,307	$	851	$	—		$	2,158
Accounts payable	—		—		—		1,447		—			1,447
Intercompany payable	20,502		—		288		25		(20,815		)	—
Accrued compensation	11		—		—		1,378		—			1,389
Accrued income taxes	13		—		1		519		—			533
Deferred tax liabilities	—		—		—		142		—			142
Other accrued expenses	1		32		—		2,424		—			2,457
Total current liabilities	20,527		32		1,596		6,786		(20,815		)	8,126
Long-term debt	—		4,539		—		29,151		—			33,690
Long-term accrued compensation and retirement benefits	—		—		—		1,577		—			1,577
Long-term accrued income taxes	—		—		—		2,771		—			2,771
Long-term intercompany loans payable	1,985		7,918		10,000		10,520		(30,423		)	—
Long-term deferred tax liabilities	—		—		—		4,766		—			4,766
Other long-term liabilities	—		—		—		1,746		—			1,746
Total liabilities	22,512		12,489		11,596		57,317		(51,238		)	52,676
Shareholders’ equity	52,269		5,620		65,821		74,421		(145,862		)	52,269
Total liabilities and shareholders’ equity	$	74,781	$	18,109	$	77,417	$	131,738	$	(197,100	)	$	104,945

Condensed Consolidating Balance Sheet

April 24, 2015

CIFSA Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)		Subsidiary Issuer (CIFSA)			Subsidiary Guarantors		Subsidiary Non-guarantors		Consolidating Adjustments			Total
ASSETS
Current assets:
Cash and cash equivalents	$	263	$	728		$	170	$	3,682	$	—		$	4,843
Investments	—		—			—		14,637		—			14,637
Accounts receivable, net	—		—			—		5,112		—			5,112
Inventories	—		—			—		3,463		—			3,463
Intercompany receivable	259		—			269		20,508		(21,036		)	—
Tax assets	—		—			—		1,335		—			1,335
Prepaid expenses and other current assets	4		—			6		1,444		—			1,454
Total current assets	526		728			445		50,181		(21,036		)	30,844
Property, plant, and equipment, net	—		—			1		4,728		(30		)	4,699
Goodwill	—		—			—		40,530		—			40,530
Other intangible assets, net	—		—			—		28,101		—			28,101
Long-term tax assets	—		—			—		774		—			774
Investment in subsidiaries	70,255		4,277			64,335		—		(138,867		)	—
Intercompany loans receivable	3,000		7,401			11,303		6,372		(28,076		)	—
Other assets	—		—			—		1,737		—			1,737
Total assets	$	73,781	$	12,406		$	76,084	$	132,423	$	(188,009	)	$	106,685
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings	$	—	$	1,002		$	—	$	1,432	$	—		$	2,434
Accounts payable	—		—			2		1,608		—			1,610
Intercompany payable	20,506		—			280		250		(21,036		)	—
Accrued compensation	1		—			—		1,610		—			1,611
Accrued income taxes	41		—			—		894		—			935
Deferred tax liabilities	3		—			—		116		—			119
Other accrued expenses	—		40			1		2,453		(30		)	2,464
Total current liabilities	20,551		1,042			283		8,363		(21,066		)	9,173
Long-term debt	—		4,580			—		29,172		—			33,752
Long-term accrued compensation and retirement benefits	—		—			—		1,535		—			1,535
Long-term accrued income taxes	—		—			—		2,476		—			2,476
Long-term intercompany loans payable	—		8,385			10,002		9,689		(28,076		)	—
Long-term deferred tax liabilities	—		—			—		4,700		—			4,700
Other long-term liabilities	—		—			—		1,819		—			1,819
Total liabilities	20,551		14,007			10,285		57,754		(49,142		)	53,455
Shareholders’ equity	53,230		(1,601		)	65,799		74,669		(138,867		)	53,230
Total liabilities and shareholders’ equity	$	73,781	$	12,406		$	76,084	$	132,423	$	(188,009	)	$	106,685

Condensed Consolidating Statement of Cash Flows

Six Months Ended October 30, 2015

CIFSA Senior Notes



(in millions)	Parent Company Guarantor (Medtronic plc)			Subsidiary Issuer (CIFSA)			Subsidiary Guarantors			Subsidiary Non-guarantors			Consolidating Adjustments			Total
Operating Activities:
Net cash provided by (used in) operating activities	$	(24	)	$	2,605		$	(920	)	$	2,984		$	(2,550	)	$	2,095
Investing Activities:
Acquisitions, net of cash acquired	—			—			—			(997		)	—			(997		)
Additions to property, plant, and equipment	—			—			—			(446		)	—			(446		)
Purchases of marketable securities	—			—			—			(3,370		)	—			(3,370		)
Sales and maturities of marketable securities	—			—			—			2,752			—			2,752
Net decrease in intercompany loans	—			(1,774		)	(524		)	(49		)	2,347			—
Other investing activities, net	—			—			—			(13		)	—			(13		)
Net cash provided by (used in) investing activities	—			(1,774		)	(524		)	(2,123		)	2,347			(2,074		)
Financing Activities:
Acquisition-related contingent consideration	—			—			—			(19		)	—			(19		)
Change in short-term borrowings, net	—			—			1,277			—			—			1,277
Proceeds from short-term borrowings (maturities greater than 90 days)	—			48			—			—			—			48
Payments on long-term debt	—			(1,000		)	—			(608		)	—			(1,608		)
Dividends to shareholders	(1,075		)	—			—			—			—			(1,075		)
Issuance of ordinary shares	263			—			—			—			—			263
Repurchase of ordinary shares	(1,460		)	—			—			—			—			(1,460		)
Net intercompany loan borrowings (repayments)	1,985			(467		)	(2		)	831			(2,347		)	—
Intercompany dividend paid	—			—			—			(2,550		)	2,550			—
Other financing activities	49			—			—			—			—			49
Net cash provided by (used in) financing activities	(238		)	(1,419		)	1,275			(2,346		)	203			(2,525		)
Effect of exchange rate changes on cash and cash equivalents	—			—			—			39			—			39
Net change in cash and cash equivalents	(262		)	(588		)	(169		)	(1,446		)	—			(2,465		)
Cash and cash equivalents at beginning of period	263			728			170			3,682			—			4,843
Cash and cash equivalents at end of period	$	1		$	140		$	1		$	2,236		$	—		$	2,378