XML 52 R40.htm IDEA: XBRL DOCUMENT v3.10.0.1
Items Affecting Comparability of Net Income, Financial Position and Cash Flows (Details)
$ / shares in Units, shares in Millions
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended 36 Months Ended
Dec. 31, 2018
USD ($)
Sep. 30, 2018
USD ($)
days
restaurants
Years
$ / shares
shares
Sep. 30, 2017
USD ($)
restaurants
$ / shares
Mar. 31, 2017
USD ($)
Dec. 31, 2017
USD ($)
Sep. 30, 2018
USD ($)
days
restaurants
Years
$ / shares
shares
Sep. 30, 2017
USD ($)
restaurants
$ / shares
Dec. 31, 2017
USD ($)
Dec. 31, 2017
USD ($)
Jan. 01, 2018
USD ($)
Net Cash Provided by (Used in) Investing Activities           $ 89,000,000 $ 489,000,000      
Net Cash Provided by (Used in) Financing Activities           $ (2,161,000,000) (1,029,000,000)      
Investment Owned, Balance, Shares | shares   2.8       2.8        
Equity Securities, FV-NI, Unrealized Gain (Loss)   $ 94,000,000       $ 185,000,000        
Net Cash Provided by (Used in) Operating Activities           796,000,000 718,000,000      
Restricted Cash                   $ 58,000,000
Revenues   1,391,000,000 $ 1,436,000,000     4,130,000,000 4,301,000,000      
Total Liabilities and Shareholders’ Deficit   4,155,000,000     $ 5,311,000,000 4,155,000,000   $ 5,311,000,000 $ 5,311,000,000  
Cash and cash equivalents   198,000,000     1,522,000,000 198,000,000   1,522,000,000 1,522,000,000  
Proceeds from refranchising of restaurants   193,000,000 395,000,000     445,000,000 716,000,000      
Refranchising (gain) loss   (100,000,000) (201,000,000)     (285,000,000) (331,000,000)      
General and Administrative Expense   204,000,000 215,000,000     631,000,000 699,000,000      
Interest Income (Expense), Net   111,000,000 110,000,000     330,000,000 325,000,000      
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest   534,000,000 524,000,000     1,400,000,000 1,182,000,000      
Income tax provision   80,000,000 106,000,000     192,000,000 278,000,000      
Cost of Goods and Services Sold   399,000,000 717,000,000     1,258,000,000 2,223,000,000      
Accounts and notes receivable, net   528,000,000     400,000,000 528,000,000   400,000,000 400,000,000  
Prepaid expenses and other current assets   443,000,000     384,000,000 443,000,000   384,000,000 384,000,000  
Advertising cooperative assets, restricted   0     201,000,000 0   201,000,000 201,000,000  
Assets, Current   1,169,000,000     2,507,000,000 1,169,000,000   2,507,000,000 2,507,000,000  
Property, plant and equipment, net   1,378,000,000     1,697,000,000 1,378,000,000   1,697,000,000 1,697,000,000  
Goodwill   489,000,000     512,000,000 489,000,000   512,000,000 512,000,000  
Intangible assets, net   84,000,000     110,000,000 84,000,000   110,000,000 110,000,000  
Other assets   886,000,000     346,000,000 886,000,000   346,000,000 346,000,000  
Deferred income taxes   149,000,000     139,000,000 149,000,000   139,000,000 139,000,000  
Assets   4,155,000,000     5,311,000,000 4,155,000,000   5,311,000,000 5,311,000,000  
Accounts payable and other current liabilities   885,000,000     813,000,000 885,000,000   813,000,000 813,000,000  
Income taxes payable   14,000,000     123,000,000 14,000,000   123,000,000 123,000,000  
Short-term borrowings   295,000,000     375,000,000 295,000,000   375,000,000 375,000,000  
Advertising cooperative liabilities   0     201,000,000 0   201,000,000 201,000,000  
Liabilities, Current   1,194,000,000     1,512,000,000 1,194,000,000   1,512,000,000 1,512,000,000  
Long-term debt   9,405,000,000     9,429,000,000 9,405,000,000   9,429,000,000 9,429,000,000  
Other liabilities and deferred credits   1,014,000,000     704,000,000 1,014,000,000   704,000,000 704,000,000  
Liabilities   11,613,000,000     11,645,000,000 11,613,000,000   11,645,000,000 11,645,000,000  
Accumulated deficit   (7,141,000,000)     (6,063,000,000) (7,141,000,000)   (6,063,000,000) (6,063,000,000)  
Accumulated other comprehensive income (loss)   (317,000,000)     (271,000,000) (317,000,000)   (271,000,000) (271,000,000)  
Stockholders' Equity Attributable to Parent   (7,458,000,000)     (6,334,000,000) (7,458,000,000)   (6,334,000,000) (6,334,000,000)  
Franchisor Costs   40,000,000 61,000,000     127,000,000 161,000,000      
Cooperative Advertising Expense   288,000,000 0     834,000,000 0      
Other (income) expense   7,000,000 1,000,000     10,000,000 3,000,000      
Total costs and expenses, net   838,000,000 793,000,000     2,575,000,000 2,755,000,000      
Operating Income (Loss)   553,000,000 643,000,000     1,555,000,000 1,546,000,000      
Other investment (income) expense, net   (96,000,000) (1,000,000)     (185,000,000) (3,000,000)      
Other pension (income) expense   4,000,000 10,000,000     10,000,000 42,000,000      
Net Income (Loss) Attributable to Parent   $ 454,000,000 $ 418,000,000     $ 1,208,000,000 $ 904,000,000      
Earnings Per Share, Basic | $ / shares   $ 1.43 $ 1.21     $ 3.72 $ 2.58      
Diluted Earnings Per Common Share | $ / shares   $ 1.40 $ 1.18     $ 3.64 $ 2.52      
Equity Securities, FV-NI, Cost   $ 200,000,000       $ 200,000,000        
KFC Global Division [Member]                    
Revenues   649,000,000 $ 794,000,000     1,958,000,000 $ 2,296,000,000      
Refranchising (gain) loss   (29,000,000) (50,000,000)     (128,000,000) (8,000,000)      
Operating Income (Loss)   248,000,000 260,000,000     704,000,000 710,000,000      
Unallocated [Member]                    
Revenues   0 (3,000,000)     0 (3,000,000)      
Revenues   0 (3,000,000)     0 (3,000,000)      
Refranchising (gain) loss   (100,000,000) (201,000,000)     (285,000,000) (331,000,000)      
General and Administrative Expense [1]   38,000,000 45,000,000     122,000,000 167,000,000      
Cost of Goods and Services Sold   1,000,000 5,000,000     2,000,000 5,000,000      
Franchisor Costs [2]   2,000,000 5,000,000     4,000,000 21,000,000      
Other (income) expense   5,000,000 (1,000,000)     9,000,000 (1,000,000)      
Pizza Hut Global Division [Member]                    
Revenues   229,000,000 203,000,000     713,000,000 659,000,000      
Refranchising (gain) loss   3,000,000 27,000,000     14,000,000 40,000,000      
Operating Income (Loss)   88,000,000 82,000,000     257,000,000 250,000,000      
Unallocated and General and administrative expenses [Domain]                    
Costs associated with PH U.S. Acceleration Agreement               39,000,000    
Taco Bell Global Division [Member]                    
Revenues   513,000,000 442,000,000     1,459,000,000 1,349,000,000      
Refranchising (gain) loss   (74,000,000) (178,000,000)     (171,000,000) (363,000,000)      
Operating Income (Loss)   161,000,000 147,000,000     442,000,000 440,000,000      
General and Administrative Expense [Member]                    
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost   2,000,000 1,000,000     3,000,000 18,000,000      
General and Administrative Expense [Member] | Unallocated [Member]                    
Restructuring and Related Cost, Incurred Cost   $ 1,000,000 $ 4,000,000     $ 2,000,000 $ 15,000,000      
Refranchising (gain) loss                    
Number of Restaurants Refranchised | restaurants   134 209     329 574      
Franchise and property expenses [Member] | Unallocated and General and administrative expenses [Domain]                    
Costs associated with PH U.S. Acceleration Agreement               31,000,000    
Balances with Adoption of Topic 606 [Domain]                    
Total Liabilities and Shareholders’ Deficit                   5,464,000,000
Cash and cash equivalents                   1,533,000,000
Accounts and notes receivable, net                   512,000,000
Prepaid expenses and other current assets                   460,000,000
Advertising cooperative assets, restricted                   0
Assets, Current                   2,505,000,000
Property, plant and equipment, net                   1,708,000,000
Goodwill                   512,000,000
Intangible assets, net                   110,000,000
Other assets                   464,000,000
Deferred income taxes                   165,000,000
Assets                   5,464,000,000
Accounts payable and other current liabilities                   1,033,000,000
Income taxes payable                   123,000,000
Short-term borrowings                   375,000,000
Advertising cooperative liabilities                   0
Liabilities, Current                   1,531,000,000
Long-term debt                   9,429,000,000
Other liabilities and deferred credits                   1,057,000,000
Liabilities                   12,017,000,000
Accumulated deficit                   (6,303,000,000)
Accumulated other comprehensive income (loss)                   (250,000,000)
Stockholders' Equity Attributable to Parent                   (6,553,000,000)
Property, Plant and Equipment [Member]                    
Costs associated with PH U.S. Acceleration Agreement               8,000,000    
Accounting Standards Update 2014-09 [Member]                    
Restricted Cash                   58,000,000
Costs associated with KFC U.S. and PH U.S. Acceleration Agreement   $ 2,000,000       $ 11,000,000        
Deferred income taxes                   26,000,000
Accumulated other comprehensive income (loss)                   21,000,000
Difference between Revenue Guidance in Effect before and after Topic 606 [Member]                    
Revenues   (276,000,000)       (811,000,000)        
Total Liabilities and Shareholders’ Deficit   (158,000,000)       (158,000,000)       153,000,000
Cash and cash equivalents   (22,000,000)       (22,000,000)       11,000,000
Refranchising (gain) loss   0       4,000,000        
General and Administrative Expense   0       0        
Interest Income (Expense), Net   0       0        
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest   2,000,000       (2,000,000)        
Income tax provision   (2,000,000)       (3,000,000)        
Cost of Goods and Services Sold   0       0        
Accounts and notes receivable, net   (101,000,000)       (101,000,000)       112,000,000
Prepaid expenses and other current assets   (71,000,000)       (71,000,000)       76,000,000 [3]
Advertising cooperative assets, restricted   197,000,000       197,000,000       (201,000,000)
Assets, Current   3,000,000       3,000,000       (2,000,000)
Property, plant and equipment, net   (19,000,000)       (19,000,000)       11,000,000
Goodwill   0       0       0
Intangible assets, net   0       0       0
Other assets   (117,000,000)       (117,000,000)       118,000,000
Deferred income taxes   (25,000,000)       (25,000,000)       26,000,000
Assets   (158,000,000)       (158,000,000)       153,000,000
Accounts payable and other current liabilities   (239,000,000)       (239,000,000)       220,000,000
Income taxes payable   0       0       0
Short-term borrowings   0       0       0
Advertising cooperative liabilities   197,000,000       197,000,000       (201,000,000)
Liabilities, Current   (42,000,000)       (42,000,000)       19,000,000
Long-term debt   0       0       0
Other liabilities and deferred credits   (337,000,000)       (337,000,000)       353,000,000
Liabilities   (379,000,000)       (379,000,000)       372,000,000
Accumulated deficit   241,000,000       241,000,000       (240,000,000)
Accumulated other comprehensive income (loss)   (20,000,000)       (20,000,000)       21,000,000
Stockholders' Equity Attributable to Parent   221,000,000       221,000,000       (219,000,000)
Franchisor Costs   10,000,000       21,000,000        
Cooperative Advertising Expense   (288,000,000)       (834,000,000)        
Other (income) expense   0       0        
Total costs and expenses, net   (278,000,000)       (809,000,000)        
Operating Income (Loss) [4]   2,000,000       (2,000,000)        
Other investment (income) expense, net   0       0        
Other pension (income) expense   0       0        
Net Income (Loss) Attributable to Parent   $ 4,000,000       $ 1,000,000        
Earnings Per Share, Basic | $ / shares   $ 0.01       $ 0.01        
Diluted Earnings Per Common Share | $ / shares   $ 0.01       $ 0        
Balances with Adoption of Topic 606 [Domain]                    
Revenues   $ 1,115,000,000       $ 3,319,000,000        
Total Liabilities and Shareholders’ Deficit   3,997,000,000       3,997,000,000        
Cash and cash equivalents   176,000,000       176,000,000        
Refranchising (gain) loss   (100,000,000)       (281,000,000)        
General and Administrative Expense   204,000,000       631,000,000        
Interest Income (Expense), Net   111,000,000       330,000,000        
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest   536,000,000       1,398,000,000        
Income tax provision   78,000,000       189,000,000        
Cost of Goods and Services Sold   399,000,000       1,258,000,000        
Accounts and notes receivable, net   427,000,000       427,000,000        
Prepaid expenses and other current assets   372,000,000       372,000,000        
Advertising cooperative assets, restricted   197,000,000       197,000,000        
Assets, Current   1,172,000,000       1,172,000,000        
Property, plant and equipment, net   1,359,000,000       1,359,000,000        
Goodwill   489,000,000       489,000,000        
Intangible assets, net   84,000,000       84,000,000        
Other assets   769,000,000       769,000,000        
Deferred income taxes   124,000,000       124,000,000        
Assets   3,997,000,000       3,997,000,000        
Accounts payable and other current liabilities   646,000,000       646,000,000        
Income taxes payable   14,000,000       14,000,000        
Short-term borrowings   295,000,000       295,000,000        
Advertising cooperative liabilities   197,000,000       197,000,000        
Liabilities, Current   1,152,000,000       1,152,000,000        
Long-term debt   9,405,000,000       9,405,000,000        
Other liabilities and deferred credits   677,000,000       677,000,000        
Liabilities   11,234,000,000       11,234,000,000        
Accumulated deficit   (6,900,000,000)       (6,900,000,000)        
Accumulated other comprehensive income (loss)   (337,000,000)       (337,000,000)        
Stockholders' Equity Attributable to Parent   (7,237,000,000)       (7,237,000,000)        
Franchisor Costs   50,000,000       148,000,000        
Cooperative Advertising Expense   0       0        
Other (income) expense   7,000,000       10,000,000        
Total costs and expenses, net   560,000,000       1,766,000,000        
Operating Income (Loss)   555,000,000       1,553,000,000        
Other investment (income) expense, net   (96,000,000)       (185,000,000)        
Other pension (income) expense   4,000,000       10,000,000        
Net Income (Loss) Attributable to Parent   $ 458,000,000       $ 1,209,000,000        
Earnings Per Share, Basic | $ / shares   $ 1.44       $ 3.73        
Diluted Earnings Per Common Share | $ / shares   $ 1.41       $ 3.64        
Product [Member]                    
Revenues   $ 499,000,000 $ 871,000,000     $ 1,523,000,000 $ 2,682,000,000      
Product [Member] | UNITED STATES                    
Revenues   288,000,000       840,000,000        
Product [Member] | UNITED STATES | KFC Global Division [Member]                    
Revenues   17,000,000       50,000,000        
Product [Member] | UNITED STATES | Pizza Hut Global Division [Member]                    
Revenues   6,000,000       31,000,000        
Product [Member] | UNITED STATES | Taco Bell Global Division [Member]                    
Revenues   265,000,000       759,000,000        
Product [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member]                    
Revenues   0       0        
Product [Member] | Balances with Adoption of Topic 606 [Domain]                    
Revenues   499,000,000       1,523,000,000        
Franchise [Member]                    
Revenues   605,000,000 565,000,000     1,773,000,000 1,619,000,000      
Franchise [Member] | CHINA                    
Revenues   68,000,000       202,000,000        
Franchise [Member] | CHINA | KFC Global Division [Member]                    
Revenues   52,000,000       155,000,000        
Franchise [Member] | CHINA | Pizza Hut Global Division [Member]                    
Revenues   16,000,000       47,000,000        
Franchise [Member] | CHINA | Taco Bell Global Division [Member]                    
Revenues   0       0        
Franchise [Member] | UNITED STATES                    
Revenues   248,000,000       722,000,000        
Franchise [Member] | UNITED STATES | KFC Global Division [Member]                    
Revenues   46,000,000       135,000,000        
Franchise [Member] | UNITED STATES | Pizza Hut Global Division [Member]                    
Revenues   66,000,000       200,000,000        
Franchise [Member] | UNITED STATES | Taco Bell Global Division [Member]                    
Revenues   136,000,000       387,000,000        
Franchise [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member]                    
Revenues   11,000,000       23,000,000        
Franchise [Member] | Balances with Adoption of Topic 606 [Domain]                    
Revenues   616,000,000       1,796,000,000        
Advertising [Member]                    
Revenues   287,000,000 0     834,000,000 0      
Advertising [Member] | UNITED STATES                    
Revenues   170,000,000       487,000,000        
Advertising [Member] | UNITED STATES | KFC Global Division [Member]                    
Revenues   3,000,000       7,000,000        
Advertising [Member] | UNITED STATES | Pizza Hut Global Division [Member]                    
Revenues   62,000,000       187,000,000        
Advertising [Member] | UNITED STATES | Taco Bell Global Division [Member]                    
Revenues   105,000,000       293,000,000        
Advertising [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member]                    
Revenues   (287,000,000)       (834,000,000)        
Advertising [Member] | Balances with Adoption of Topic 606 [Domain]                    
Revenues   $ 0       $ 0        
Investment closing date [Member]                    
Time period shares are restricted from being transferred | Years   2       2        
Termination of Master Services Agreement [Member]                    
Time period shares are restricted from being transferred | days   30       30        
Foreign Exchange Contract [Member] | Cash Flow Hedging [Member] | Maximum [Member]                    
Derivative, Maturity Date   Jun. 12, 2020                
Equipment [Member] | Franchise and property expenses [Member] | Unallocated and General and administrative expenses [Domain]                    
Costs associated with KFC U.S. Acceleration Agreement                 115,000,000  
Incremental Advertising [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement   $ 2,000,000 5,000,000     $ 7,000,000 14,000,000 20,000,000 50,000,000  
Franchise Incentive Amortization [Member] [Member] | Accounting Standards Update 2014-09 [Member] | Other Assets [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement                 100,000,000  
Franchise Incentive [Member] | Franchise and property revenue [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement   2,000,000       7,000,000        
Franchise Incentive [Member] | Accounting Standards Update 2014-09 [Member] | Other Assets [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement                 (19,000,000)  
2017 to 2018 [Domain] | Franchise and property expenses [Member] | Unallocated and General and administrative expenses [Domain]                    
Costs associated with PH U.S. Acceleration Agreement           90,000,000        
2015 to 2018 [Domain] | Equipment [Member] | Franchise and property expenses [Member]                    
Costs associated with KFC U.S. Acceleration Agreement   130,000,000                
2015 to 2018 [Domain] | Incremental Advertising [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement   60,000,000                
2018 [Member] | Incremental Advertising [Member] | KFC Global Division [Member]                    
Costs associated with KFC U.S. Acceleration Agreement $ 10,000,000                  
Capital Investments [Member]                    
Costs associated with PH U.S. Acceleration Agreement   5,000,000       16,000,000        
Incremental Advertising [Member] | Pizza Hut Global Division [Member]                    
Costs associated with PH U.S. Acceleration Agreement   4,000,000       9,000,000        
Incremental Advertising [Member] | Second half of 2017 to 2018 [Domain] | Pizza Hut Global Division [Member]                    
Costs associated with PH U.S. Acceleration Agreement   37,500,000     25,000,000          
Incremental Advertising [Member] | 2018 [Member] | Pizza Hut Global Division [Member]                    
Costs associated with PH U.S. Acceleration Agreement   12,500,000                
Up-front Payment Arrangement [Member] | Accounting Standards Update 2014-09 [Member]                    
Accounts payable and other current liabilities                   57,000,000
Other liabilities and deferred credits                   335,000,000
Accumulated deficit                   (392,000,000)
Franchise Incentive [Member] | Accounting Standards Update 2014-09 [Member]                    
Prepaid expenses and other current assets                   18,000,000
Other assets                   118,000,000
Accumulated deficit                   $ 136,000,000
UNITED STATES | Other pension (income) expense [Member]                    
Pension data adjustment   $ 0 [5] $ 0 [5] $ 22,000,000   $ 0 [5] $ 22,000,000 [5]      
Previously Reported [Member]                    
Total Liabilities and Shareholders’ Deficit         5,311,000,000     5,311,000,000 5,311,000,000  
Cash and cash equivalents         1,522,000,000     1,522,000,000 1,522,000,000  
Accounts and notes receivable, net         400,000,000     400,000,000 400,000,000  
Prepaid expenses and other current assets         384,000,000     384,000,000 384,000,000  
Advertising cooperative assets, restricted         201,000,000     201,000,000 201,000,000  
Assets, Current         2,507,000,000     2,507,000,000 2,507,000,000  
Property, plant and equipment, net         1,697,000,000     1,697,000,000 1,697,000,000  
Goodwill         512,000,000     512,000,000 512,000,000  
Intangible assets, net         110,000,000     110,000,000 110,000,000  
Other assets         346,000,000     346,000,000 346,000,000  
Deferred income taxes         139,000,000     139,000,000 139,000,000  
Assets         5,311,000,000     5,311,000,000 5,311,000,000  
Accounts payable and other current liabilities         813,000,000     813,000,000 813,000,000  
Income taxes payable         123,000,000     123,000,000 123,000,000  
Short-term borrowings         375,000,000     375,000,000 375,000,000  
Advertising cooperative liabilities         201,000,000     201,000,000 201,000,000  
Liabilities, Current         1,512,000,000     1,512,000,000 1,512,000,000  
Long-term debt         9,429,000,000     9,429,000,000 9,429,000,000  
Other liabilities and deferred credits         704,000,000     704,000,000 704,000,000  
Liabilities         11,645,000,000     11,645,000,000 11,645,000,000  
Accumulated deficit         (6,063,000,000)     (6,063,000,000) (6,063,000,000)  
Accumulated other comprehensive income (loss)         (271,000,000)     (271,000,000) (271,000,000)  
Stockholders' Equity Attributable to Parent         $ (6,334,000,000)     (6,334,000,000) $ (6,334,000,000)  
Previously Reported [Member] | Franchise Incentive [Member] | Franchise and property expenses [Member] | Unallocated and General and administrative expenses [Domain]                    
Costs associated with PH U.S. Acceleration Agreement               $ 5,000,000    
[1] Includes non-cash adjustments associated with share-based compensation and charges associated with YUM's Strategic Transformation Initiatives. See Note 5.
[2] Represents costs associated with the KFC U.S. Acceleration Agreement and Pizza Hut U.S. Transformation Agreement. See Note 5.
[3] Includes $58 million of restricted cash related to advertising cooperatives. These balances can only be used to settle obligations of the respective cooperatives.
[4] Includes $2 million and $11 million of franchise incentive payments related to the KFC U.S. Acceleration Agreement or the Pizza Hut U.S. Transformation Agreement that would have been expensed immediately and that we would not have allocated to the KFC Division or the Pizza Hut Division under Legacy GAAP for the quarter and year to date ended September 30, 2018, respectively. Upon the adoption of Topic 606, these payments have been capitalized as assets.
[5] Reflects a non-cash, out-of-year charge related to the adjustment of certain historical deferred vested liability balances in the Plan during the first quarter of 2017 recorded in Other pension (income) expense. See Note 5.