XML 79 R2.htm IDEA: XBRL DOCUMENT v3.24.1
Pay vs Performance Disclosure - USD ($)
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Pay vs Performance Disclosure        
Pay vs Performance Disclosure, Table
Pay Versus Performance Disclosure
In accordance with rules adopted by the SEC pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the company is providing the following disclosure regarding executive compensation for the company’s principal executive officer (PEO) and
Non-PEO
NEOs and company performance for the fiscal years listed below.
 
Year
   
Summary
Compensation Table
Total for
PEO¹
($)
   
Compensation
Actually Paid to
PEO
1,2,3
($)
   
Average
Summary
Compensation
Table Total for
Non-PEO

NEOs
1

($)
   
Average
Compensation
Actually Paid
to
Non-PEO

NEOs
1,2,3

($)
   
Value of Initial
Fixed $100
Investment

based on:
4
   
Net Income 
($ Millions)
   
Net Sales
($ Millions)
5
  
TSR
($)
   
Peer
Group
TSR
($)
2023
    13,786,671     10,408,814     5,194,682    3,994,655     49.69    143.18    2,663    14,813
2022
    13,588,236     (9,114,999)    6,721,562       14,410     63.62    140.29    (2,421)    14,506
2021
    15,634,734     19,600,136     4,853,630    5,588,070    105.26    143.09    1,295    12,146
2020
    15,865,396      4,130,682     3,893,864    1,603,952     97.06    113.45    1,110    11,673
 
1.
Mr. Almeida was the company’s PEO for each year presented. The individuals comprising the
Non-PEO
NEOs for each year presented are listed below.
 
2020
   
2021
   
2022
   
2023
James K. Saccaro
    James K. Saccaro    James K. Saccaro    Joel Grade
Giuseppe Accogli
    Giuseppe Accogli    Giuseppe Accogli    James K. Saccaro
Cristiano Franzi
    Cristiano Franzi    Cristiano Franzi    Brian Stevens
Sean Martin
    Andrew Frye    David Rosenbloom    Cristiano Franzi
 
 
   
 
 
   
 
 
    Heather Knight
 
 
   
 
 
   
 
 
    Alok Sonig
 
 
   
 
 
   
 
 
    Christopher Toth
 
2.
The amounts set forth above for compensation actually paid to PEO and
non-PEO
NEOs (as set forth in the “Compensation Actually Paid to PEO” and “Average Compensation Actually Paid to
Non-PEO
NEOs” columns) have been calculated in accordance with Item 402(v) of Regulation
S-K
and do not reflect compensation actually earned, realized, or received by the company’s NEOs. These amounts reflect the Summary Compensation Table total with certain adjustments as described in footnote 3 below.
3.
Compensation actually paid to PEO and
non-PEO
NEOs (as set forth in the “Compensation Actually Paid to PEO” and “Average Compensation Actually Paid to
Non-PEO
NEOs” columns) reflects the exclusions and inclusions of certain amounts for the PEO and the
Non-PEO
NEOs as set forth below. Related information regarding compensation paid in 2020, 2021 and 2022 has not changed from what was included in the company’s 2022 proxy statement and what is set forth in the proxy statement, and as such, information for such years has not been included in the following tables. Equity values are calculated in accordance with FASB ASC Topic 718. Amounts in the “Exclusion of Stock Awards and Option Awards” columns are the totals from the “Stock Awards and Option Awards” columns set forth in the Summary Compensation Table. Amounts in the “Exclusion of Change in Pension Value” columns reflect the amounts attributable to the “Change in Pension Value” columns reported in the Summary Compensation Table. Amounts in the “Inclusion of Pension Service Cost” are based on the service cost for services rendered during the listed year.
 
Year
   
Summary
Compensation
Table Total for
PEO
($)
   
Exclusion of
Change in Pension
Value for
PEO
($)
   
Exclusion of Stock
Awards and
Option Awards for
PEO
($)
  
Inclusion of
Pension Service
Cost for PEO
($)
   
Inclusion of Equity
Values for PEO
($)
   
Compensation
Actually Paid to
PEO
($)
2023
    13,786,671    —    (10,162,639)   —    6,784,782    10,408,814
 
Year
   
Average Summary
Compensation
Table Total for
Non-PEO
NEOs
($)
   
Average Exclusion
of Change in
Pension Value for
Non-PEO
NEOs
($)
   
Average Exclusion
of Stock Awards
and Option
Awards for
Non-PEO
NEOs
($)
  
Average Inclusion
of Pension Service
Cost for
Non-PEO
NEOs
($)
   
Average Inclusion
of Equity Values
for
Non-PEO

NEOs
($)
   
Average
Compensation
Actually Paid to
Non-PEO NEOs

($)
2023
    5,194,682    —    (3,191,677)   —    1,991,650    3,994,655
 
The amounts in the inclusion of equity values as set forth in the “Inclusion of Equity Values for PEO” and “Average Inclusion of Equity Values for
Non-PEO
NEOs” columns in the tables above are derived from the amounts set forth in the following tables:
 
Year
   
Year-End Fair

Value of Equity
Awards
Granted During
Year That
Remained
Unvested as of
Last Day of
Year for
PEO
($)
   
Change in Fair
Value from Last
Day of Prior
Year to Last
Day of Year of
Unvested
Equity
Awards for
PEO
($)
  
Vesting-Date

Fair Value of
Equity Awards
Granted During
Year that Vested
During Year for
PEO
($)
   
Change in Fair
Value from Last
Day of Prior
Year to Vesting
Date of
Unvested
Equity Awards
that Vested
During Year for
PEO
($)
  
Fair Value at
Last Day of Prior
Year of Equity
Awards Forfeited
During Year for
PEO
($)
   
Total—Inclusion of
Equity Values for
PEO
($)
2023
    9,829,730    (1,578,440)   —    (1,466,508)   —    6,784,782
 
Year
   
Average Year-End

Fair Value of
Equity Awards
Granted During
Year That
Remained
Unvested as of
Last Day of Year
for
Non-PEO

NEOs
($)
   
Average Change
in Fair Value
from Last Day of
Prior Year to
Last Day of Year
of Unvested
Equity Awards
for
Non-PEO

NEOs
($)
  
Average Vesting-
Date Fair Value
of Equity Awards
Granted During
Year that Vested
During Year for
Non-PEO
NEOs
($)
   
Average Change in
Fair Value from
Last Day of Prior
Year to Vesting
Date of Unvested
Equity Awards that
Vested During
Year for
Non-PEO

NEOs
($)
  
Average Fair
Value at Last
Day of Prior Year
of Equity Awards
Forfeited During
Year for Non-
PEO NEOs
($)
  
Total—Average
Inclusion of
Equity Values
for
Non-PEO
NEOs
($)
2023
    2,359,255    (76,789)   160,523    (105,594)   (345,745)   1,991,650
 
4.
The Peer Group TSR set forth in this table utilizes the S&P 500 Health Care Index, which the company also utilizes in the stock performance graph required by Item 201(e) of Regulation
S-K
included in the 2023 Form 10-K. The comparison assumes $100 was invested for the period starting December 31, 2019, through the end of the listed year in the company and in the S&P 500 Health Care Index, respectively. Historical stock performance is not necessarily indicative of future stock performance.
5.
The company determined net sales to be the most important financial performance measure used to link company performance to Compensation Actually Paid to the company’s PEO and
Non-PEO
NEOs in 2023. For more information on net sales and a reconciliation of net sales to Adjusted Net Sales Including Discontinued Operations (as applicable for 2023), please see the “Executive Compensation—Compensation Discussion and Analysis—Elements of Executive Compensation—Annual Incentive Plan—Determination of 2023 Annual Incentive Plan Payouts.” Net Sales amounts for 2022, 2021, and 2020 are different than prior year’s Pay Versus Performance Disclosure because they reflect discontinued operations. This performance measure may not have been the most important financial performance measure for prior years and the company may determine a different financial performance measure to be the most important financial performance measure in future years.
     
Company Selected Measure Name Net Sales      
Named Executive Officers, Footnote
1.
Mr. Almeida was the company’s PEO for each year presented. The individuals comprising the
Non-PEO
NEOs for each year presented are listed below.
 
2020
   
2021
   
2022
   
2023
James K. Saccaro
    James K. Saccaro    James K. Saccaro    Joel Grade
Giuseppe Accogli
    Giuseppe Accogli    Giuseppe Accogli    James K. Saccaro
Cristiano Franzi
    Cristiano Franzi    Cristiano Franzi    Brian Stevens
Sean Martin
    Andrew Frye    David Rosenbloom    Cristiano Franzi
 
 
   
 
 
   
 
 
    Heather Knight
 
 
   
 
 
   
 
 
    Alok Sonig
 
 
   
 
 
   
 
 
    Christopher Toth
      
Peer Group Issuers, Footnote The Peer Group TSR set forth in this table utilizes the S&P 500 Health Care Index, which the company also utilizes in the stock performance graph required by Item 201(e) of Regulation
S-K
included in the 2023 Form 10-K. The comparison assumes $100 was invested for the period starting December 31, 2019, through the end of the listed year in the company and in the S&P 500 Health Care Index, respectively. Historical stock performance is not necessarily indicative of future stock performance. 		     
PEO Total Compensation Amount $ 13,786,671 $ 13,588,236 $ 15,634,734 $ 15,865,396
PEO Actually Paid Compensation Amount $ 10,408,814 (9,114,999) 19,600,136 4,130,682
Adjustment To PEO Compensation, Footnote
2.
The amounts set forth above for compensation actually paid to PEO and
non-PEO
NEOs (as set forth in the “Compensation Actually Paid to PEO” and “Average Compensation Actually Paid to
Non-PEO
NEOs” columns) have been calculated in accordance with Item 402(v) of Regulation
S-K
and do not reflect compensation actually earned, realized, or received by the company’s NEOs. These amounts reflect the Summary Compensation Table total with certain adjustments as described in footnote 3 below.
3.
Compensation actually paid to PEO and
non-PEO
NEOs (as set forth in the “Compensation Actually Paid to PEO” and “Average Compensation Actually Paid to
Non-PEO
NEOs” columns) reflects the exclusions and inclusions of certain amounts for the PEO and the
Non-PEO
NEOs as set forth below. Related information regarding compensation paid in 2020, 2021 and 2022 has not changed from what was included in the company’s 2022 proxy statement and what is set forth in the proxy statement, and as such, information for such years has not been included in the following tables. Equity values are calculated in accordance with FASB ASC Topic 718. Amounts in the “Exclusion of Stock Awards and Option Awards” columns are the totals from the “Stock Awards and Option Awards” columns set forth in the Summary Compensation Table. Amounts in the “Exclusion of Change in Pension Value” columns reflect the amounts attributable to the “Change in Pension Value” columns reported in the Summary Compensation Table. Amounts in the “Inclusion of Pension Service Cost” are based on the service cost for services rendered during the listed year.
 
Year
   
Summary
Compensation
Table Total for
PEO
($)
   
Exclusion of
Change in Pension
Value for
PEO
($)
   
Exclusion of Stock
Awards and
Option Awards for
PEO
($)
  
Inclusion of
Pension Service
Cost for PEO
($)
   
Inclusion of Equity
Values for PEO
($)
   
Compensation
Actually Paid to
PEO
($)
2023
    13,786,671    —    (10,162,639)   —    6,784,782    10,408,814
 
The amounts in the inclusion of equity values as set forth in the “Inclusion of Equity Values for PEO” and “Average Inclusion of Equity Values for
Non-PEO
NEOs” columns in the tables above are derived from the amounts set forth in the following tables:
 
Year
   
Year-End Fair

Value of Equity
Awards
Granted During
Year That
Remained
Unvested as of
Last Day of
Year for
PEO
($)
   
Change in Fair
Value from Last
Day of Prior
Year to Last
Day of Year of
Unvested
Equity
Awards for
PEO
($)
  
Vesting-Date

Fair Value of
Equity Awards
Granted During
Year that Vested
During Year for
PEO
($)
   
Change in Fair
Value from Last
Day of Prior
Year to Vesting
Date of
Unvested
Equity Awards
that Vested
During Year for
PEO
($)
  
Fair Value at
Last Day of Prior
Year of Equity
Awards Forfeited
During Year for
PEO
($)
   
Total—Inclusion of
Equity Values for
PEO
($)
2023
    9,829,730    (1,578,440)   —    (1,466,508)   —    6,784,782
 
      
Non-PEO NEO Average Total Compensation Amount $ 5,194,682 6,721,562 4,853,630 3,893,864
Non-PEO NEO Average Compensation Actually Paid Amount $ 3,994,655 14,410 5,588,070 1,603,952
Adjustment to Non-PEO NEO Compensation Footnote
Year
   
Average Summary
Compensation
Table Total for
Non-PEO
NEOs
($)
   
Average Exclusion
of Change in
Pension Value for
Non-PEO
NEOs
($)
   
Average Exclusion
of Stock Awards
and Option
Awards for
Non-PEO
NEOs
($)
  
Average Inclusion
of Pension Service
Cost for
Non-PEO
NEOs
($)
   
Average Inclusion
of Equity Values
for
Non-PEO

NEOs
($)
   
Average
Compensation
Actually Paid to
Non-PEO NEOs

($)
2023
    5,194,682    —    (3,191,677)   —    1,991,650    3,994,655
Year
   
Average Year-End

Fair Value of
Equity Awards
Granted During
Year That
Remained
Unvested as of
Last Day of Year
for
Non-PEO

NEOs
($)
   
Average Change
in Fair Value
from Last Day of
Prior Year to
Last Day of Year
of Unvested
Equity Awards
for
Non-PEO

NEOs
($)
  
Average Vesting-
Date Fair Value
of Equity Awards
Granted During
Year that Vested
During Year for
Non-PEO
NEOs
($)
   
Average Change in
Fair Value from
Last Day of Prior
Year to Vesting
Date of Unvested
Equity Awards that
Vested During
Year for
Non-PEO

NEOs
($)
  
Average Fair
Value at Last
Day of Prior Year
of Equity Awards
Forfeited During
Year for Non-
PEO NEOs
($)
  
Total—Average
Inclusion of
Equity Values
for
Non-PEO
NEOs
($)
2023
    2,359,255    (76,789)   160,523    (105,594)   (345,745)   1,991,650
      
Compensation Actually Paid vs. Total Shareholder Return
The following chart sets forth the relationship between Compensation Actually Paid to Baxter’s PEO, the average of Compensation Actually Paid to Baxter’s
Non-PEO
NEOs, and the cumulative TSR over the four most recently completed fiscal years for the company and the S&P 500 Health Care Index TSR.
 
 
LOGO
     
Compensation Actually Paid vs. Net Income
The following chart sets forth the relationship between Compensation Actually Paid to Baxter’s PEO, the average of Compensation Actually Paid to Baxter’s
Non-PEO
NEOs, and Baxter’s net income during the four most recently completed fiscal years.
 
 
LOGO
     
Compensation Actually Paid vs. Company Selected Measure
The following chart sets forth the relationship between Compensation Actually Paid to Baxter’s PEO, the average of Compensation Actually Paid to Baxter’s
Non-PEO
NEOs, and Baxter’s net sales during the four most recently completed fiscal years.
 
 
LOGO
     
Total Shareholder Return Vs Peer Group
The following chart sets forth the relationship between Compensation Actually Paid to Baxter’s PEO, the average of Compensation Actually Paid to Baxter’s
Non-PEO
NEOs, and the cumulative TSR over the four most recently completed fiscal years for the company and the S&P 500 Health Care Index TSR.
 
 
LOGO
     
Tabular List, Table
The financial measures most important in determining pay during 2023 were those that influenced the company’s short- and long-term incentives for the NEOs and for broad-based incentive plans below the NEO level as set forth below (as such amounts may be adjusted in a given year in the manner described in the proxy statement, including with respect to the use of
non-GAAP
measures):
 
•
  
Net Sales
 
•
  
Earnings Per Share
 
•
  
Free Cash Flow
 
•
  
ROIC
 
•
  
Relative TSR
     
Total Shareholder Return Amount $ 49.69 63.62 105.26 97.06
Peer Group Total Shareholder Return Amount 143.18 140.29 143.09 113.45
Net Income (Loss) $ 2,663,000,000 $ (2,421,000,000) $ 1,295,000,000 $ 1,110,000,000
Company Selected Measure Amount 14,813,000,000 14,506,000,000 12,146,000,000 11,673,000,000
PEO Name Mr. Almeida      
Measure:: 1        
Pay vs Performance Disclosure        
Name Net Sales      
Measure:: 2        
Pay vs Performance Disclosure        
Name Earnings Per Share      
Measure:: 3        
Pay vs Performance Disclosure        
Name Free Cash Flow      
Measure:: 4        
Pay vs Performance Disclosure        
Name ROIC      
Measure:: 5        
Pay vs Performance Disclosure        
Name Relative TSR      
PEO | Exclusion Of Stock Awards And Option Awards [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount $ (10,162,639)      
PEO | Inclusion Of Equity Values [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 6,784,782      
PEO | Year End Fair Value Of Equity Awards Granted During Year That Remained Unvested As Of Last Day Of Year [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 9,829,730      
PEO | Change In Fair Value From Last Day Of Prior Year To Last Day Of Year Of Unvested Equity Awards [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (1,578,440)      
PEO | Change In Fair Value From Last Day Of Prior Year To Vesting Date Of Unvested Equity Awards That Vested During Year [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (1,466,508)      
PEO | Total Inclusion Of Equity Values [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 6,784,782      
Non-PEO NEO | Exclusion Of Stock Awards And Option Awards [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (3,191,677)      
Non-PEO NEO | Inclusion Of Equity Values [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 1,991,650      
Non-PEO NEO | Year End Fair Value Of Equity Awards Granted During Year That Remained Unvested As Of Last Day Of Year [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 2,359,255      
Non-PEO NEO | Change In Fair Value From Last Day Of Prior Year To Last Day Of Year Of Unvested Equity Awards [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (76,789)      
Non-PEO NEO | Vesting Date Fair Value Of Equity Awards Granted During Year That Vested During Year [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount 160,523      
Non-PEO NEO | Change In Fair Value From Last Day Of Prior Year To Vesting Date Of Unvested Equity Awards That Vested During Year [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (105,594)      
Non-PEO NEO | Fair Value At Last Day Of Prior Year Of Equity Awards Forfeited [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount (345,745)      
Non-PEO NEO | Total Inclusion Of Equity Values [Member]        
Pay vs Performance Disclosure        
Adjustment to Compensation, Amount $ 1,991,650