XML 48 R36.htm IDEA: XBRL DOCUMENT
v3.5.0.2

Segment Reporting (Tables) | 6 Months Ended
--- | ---
Jun. 30, 2016
Net Revenues and Earnings by Segment | Our segment net revenues and earnings were:
|  | For the Three Months Ended |  |  | For the Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2016 |  |  | 2015 |  |  | 2016 |  |  | 2015 |
|  | (in millions) |
Net revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Latin America (1) |  | $ | 843 |  |  | $ | 1,240 |  |  | $ | 1,660 |  |  | $ | 2,497 |
Asia Pacific (2) |  |  | 1,023 |  |  |  | 1,024 |  |  |  | 2,150 |  |  |  | 2,177 |
EEMEA (2) |  |  | 648 |  |  |  | 869 |  |  |  | 1,195 |  |  |  | 1,564 |
Europe (2) |  |  | 2,068 |  |  |  | 2,815 |  |  |  | 4,357 |  |  |  | 5,790 |
North America |  |  | 1,720 |  |  |  | 1,713 |  |  |  | 3,395 |  |  |  | 3,395 |
Net revenues |  | $ | 6,302 |  |  | $ | 7,661 |  |  | $ | 12,757 |  |  | $ | 15,423 |
| (1) | Net revenues of $301 million for the three months and $519 million for the six months ended June 30, 2015 from our Venezuelan subsidiaries are included in our condensed consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our condensed consolidated financial statements. Refer to Note 1, Basis of Presentation – Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
| (2) | On July 2, 2015, we contributed our global coffee businesses primarily from our Europe, EEMEA and Asia Pacific segments. Net revenues of our global coffee business were $730 million in Europe, $130 million in EEMEA and $15 million in Asia Pacific for the three months and $1,348 million in Europe, $246 million in EEMEA and $33 million in Asia Pacific for the six months ended June 30, 2015. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.
Reconciliation of Operating Profit (Loss) from Segments to Consolidated |
|  | For the Three Months Ended |  |  | For the Six Months Ended |
|  | June 30, |  |  | June 30, |
|  | 2016 |  |  | 2015 |  |  | 2016 |  |  | 2015 |
|  | (in millions) |
Earnings before income taxes: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Operating income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Latin America |  | $ | 32 |  |  | $ | 134 |  |  | $ | 99 |  |  | $ | 288 |
Asia Pacific |  |  | 95 |  |  |  | 104 |  |  |  | 243 |  |  |  | 250 |
EEMEA |  |  | 59 |  |  |  | 100 |  |  |  | 110 |  |  |  | 132 |
Europe |  |  | 251 |  |  |  | 261 |  |  |  | 594 |  |  |  | 587 |
North America |  |  | 295 |  |  |  | 261 |  |  |  | 566 |  |  |  | 542 |
Unrealized gains / (losses) on hedging activities |  |  | 17 |  |  |  | 86 |  |  |  | (37 | ) |  |  | 79 |
General corporate expenses |  |  | (67 | ) |  |  | (71 | ) |  |  | (127 | ) |  |  | (145 | )
Amortization of intangibles |  |  | (44 | ) |  |  | (46 | ) |  |  | (88 | ) |  |  | (92 | )
Gain on divestiture |  |  | – |  |  |  | 13 |  |  |  | – |  |  |  | 13 |
Acquisition-related costs |  |  | – |  |  |  | (1 | ) |  |  | – |  |  |  | (2 | )
Operating income |  |  | 638 |  |  |  | 841 |  |  |  | 1,360 |  |  |  | 1,652 |
Interest and other expense, net |  |  | (151 | ) |  |  | (314 | ) |  |  | (395 | ) |  |  | (700 | )
Earnings before income taxes |  | $ | 487 |  |  | $ | 527 |  |  | $ | 965 |  |  | $ | 952 |
Net Revenues by Consumer Sector | Net revenues by product category were:
|  | For the Three Months Ended June 30, 2016 |
|  | Latin |  |  | Asia |  |  |  |  |  |  |  |  | North |  |  |  |
| America |  |  | Pacific |  |  | EEMEA |  |  | Europe |  |  | America |  |  | Total |
|  | (in millions) |
Biscuits |  | $ | 196 |  |  | $ | 295 |  |  | $ | 129 |  |  | $ | 651 |  |  | $ | 1,398 |  |  | $ | 2,669 |
Chocolate |  |  | 179 |  |  |  | 307 |  |  |  | 166 |  |  |  | 900 |  |  |  | 43 |  |  |  | 1,595 |
Gum & Candy |  |  | 250 |  |  |  | 178 |  |  |  | 149 |  |  |  | 177 |  |  |  | 279 |  |  |  | 1,033 |
Beverages (1) |  |  | 138 |  |  |  | 112 |  |  |  | 116 |  |  |  | 40 |  |  |  | – |  |  |  | 406 |
Cheese & Grocery |  |  | 80 |  |  |  | 131 |  |  |  | 88 |  |  |  | 300 |  |  |  | – |  |  |  | 599 |
Total net revenues |  | $ | 843 |  |  | $ | 1,023 |  |  | $ | 648 |  |  | $ | 2,068 |  |  | $ | 1,720 |  |  | $ | 6,302 |
|  | For the Three Months Ended June 30, 2015 |
|  | Latin |  |  | Asia |  |  |  |  |  |  |  |  | North |  |  |  |
| America (2) |  |  | Pacific |  |  | EEMEA |  |  | Europe (3) |  |  | America |  |  | Total |
|  | (in millions) |
Biscuits |  | $ | 407 |  |  | $ | 268 |  |  | $ | 147 |  |  | $ | 642 |  |  | $ | 1,400 |  |  | $ | 2,864 |
Chocolate |  |  | 202 |  |  |  | 302 |  |  |  | 196 |  |  |  | 896 |  |  |  | 41 |  |  |  | 1,637 |
Gum & Candy |  |  | 295 |  |  |  | 188 |  |  |  | 166 |  |  |  | 198 |  |  |  | 272 |  |  |  | 1,119 |
Beverages (1) |  |  | 178 |  |  |  | 133 |  |  |  | 272 |  |  |  | 776 |  |  |  | – |  |  |  | 1,359 |
Cheese & Grocery |  |  | 158 |  |  |  | 133 |  |  |  | 88 |  |  |  | 303 |  |  |  | – |  |  |  | 682 |
Total net revenues |  | $ | 1,240 |  |  | $ | 1,024 |  |  | $ | 869 |  |  | $ | 2,815 |  |  | $ | 1,713 |  |  | $ | 7,661 |
|  | For the Six Months Ended June 30, 2016 |
|  | Latin |  |  | Asia |  |  |  |  |  |  |  |  | North |  |  |  |
| America |  |  | Pacific |  |  | EEMEA |  |  | Europe |  |  | America |  |  | Total |
|  | (in millions) |
Biscuits |  | $ | 360 |  |  | $ | 631 |  |  | $ | 254 |  |  | $ | 1,240 |  |  | $ | 2,759 |  |  | $ | 5,244 |
Chocolate |  |  | 377 |  |  |  | 700 |  |  |  | 326 |  |  |  | 2,103 |  |  |  | 88 |  |  |  | 3,594 |
Gum & Candy |  |  | 466 |  |  |  | 364 |  |  |  | 263 |  |  |  | 349 |  |  |  | 548 |  |  |  | 1,990 |
Beverages (1) |  |  | 302 |  |  |  | 208 |  |  |  | 198 |  |  |  | 87 |  |  |  | – |  |  |  | 795 |
Cheese & Grocery |  |  | 155 |  |  |  | 247 |  |  |  | 154 |  |  |  | 578 |  |  |  | – |  |  |  | 1,134 |
Total net revenues |  | $ | 1,660 |  |  | $ | 2,150 |  |  | $ | 1,195 |  |  | $ | 4,357 |  |  | $ | 3,395 |  |  | $ | 12,757 |
|  | For the Six Months Ended June 30, 2015 |
|  | Latin |  |  | Asia |  |  |  |  |  |  |  |  | North |  |  |  |
| America (2) |  |  | Pacific |  |  | EEMEA |  |  | Europe (3) |  |  | America |  |  | Total |
|  | (in millions) |
Biscuits |  | $ | 716 |  |  | $ | 584 |  |  | $ | 271 |  |  | $ | 1,236 |  |  | $ | 2,758 |  |  | $ | 5,565 |
Chocolate |  |  | 496 |  |  |  | 704 |  |  |  | 395 |  |  |  | 2,130 |  |  |  | 97 |  |  |  | 3,822 |
Gum & Candy |  |  | 590 |  |  |  | 379 |  |  |  | 284 |  |  |  | 381 |  |  |  | 540 |  |  |  | 2,174 |
Beverages (1) |  |  | 392 |  |  |  | 248 |  |  |  | 457 |  |  |  | 1,450 |  |  |  | – |  |  |  | 2,547 |
Cheese & Grocery |  |  | 303 |  |  |  | 262 |  |  |  | 157 |  |  |  | 593 |  |  |  | – |  |  |  | 1,315 |
Total net revenues |  | $ | 2,497 |  |  | $ | 2,177 |  |  | $ | 1,564 |  |  | $ | 5,790 |  |  | $ | 3,395 |  |  | $ | 15,423 |
| (1) | On July 2, 2015, we contributed our global coffee businesses primarily from our Europe, EEMEA and Asia Pacific segment beverage categories. Net revenues of our global coffee business were $730 million in Europe, $130 million in EEMEA and $15 million in Asia Pacific for the three months and $1,348 million in Europe, $246 million in EEMEA and $33 million in Asia Pacific for the six months ended June 30, 2015. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.
| (2) | Our Venezuelan subsidiaries net revenues of $183 million in biscuits, $74 million in cheese & grocery, $26 million in gum & candy and $18 million in beverages for the three months and $287 million in biscuits, $136 million in cheese & grocery, $61 million in gum & candy and $35 million in beverages for the six months ended June 30, 2015 are included in our condensed consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our condensed consolidated financial statements. Refer to Note 1, Basis of Presentation – Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
| (3) | During 2016, we realigned some of our products across product categories within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

X
- Definition Tabular disclosure of all significant reconciling items in the reconciliation of total profit or loss from reportable segments, to the entity's consolidated income before income taxes, extraordinary items, and discontinued operations. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8906-108599 + Details
Name: | us-gaap_ReconciliationOfOperatingProfitLossFromSegmentsToConsolidatedTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of all significant reconciling items in the reconciliation of total revenues from reportable segments to the entity's consolidated revenues. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8906-108599 + Details
Name: | us-gaap_ReconciliationOfRevenueFromSegmentsToConsolidatedTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of entity-wide revenues from external customers for each product or service or each group of similar products or services if the information is not provided as part of the reportable operating segment information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9031-108599 + Details
Name: | us-gaap_ScheduleOfEntityWideInformationRevenueFromExternalCustomersByProductsAndServicesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration