<SEC-DOCUMENT>0001157523-18-001669.txt : 20180802
<SEC-HEADER>0001157523-18-001669.hdr.sgml : 20180802
<ACCEPTANCE-DATETIME>20180802070042
ACCESSION NUMBER:		0001157523-18-001669
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20180802
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20180802
DATE AS OF CHANGE:		20180802

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			TEVA PHARMACEUTICAL INDUSTRIES LTD
		CENTRAL INDEX KEY:			0000818686
		STANDARD INDUSTRIAL CLASSIFICATION:	PHARMACEUTICAL PREPARATIONS [2834]
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			L3
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-16174
		FILM NUMBER:		18986594

	BUSINESS ADDRESS:	
		STREET 1:		5 BAZEL ST
		STREET 2:		P O B 3190
		CITY:			PETACH TIKVA
		STATE:			L3
		ZIP:			49131
		BUSINESS PHONE:		9729267267

	MAIL ADDRESS:	
		STREET 1:		TEVA PHARMACEUTICAL INDUSTRIES LIMITED
		STREET 2:		5 BAZEL ST PO B 3190
		CITY:			PETACH TIKVA
		STATE:			L3
		ZIP:			49131
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a51846565.htm
<DESCRIPTION>TEVA PHARMACEUTICAL INDUSTRIES LIMITED 8-K
<TEXT>
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    <p style="text-align: center">

    </p>
    <hr style="color: #000000; width: 100%; text-align: center; height: 1.0 pt">


    <p style="text-align: center">
      <font style="font-size: 16pt; font-family: Times New Roman"><b>UNITED
      STATES</b></font><b><font style="font-size: 16pt; font-family: Times New Roman"><br style="font-family: Times New Roman; font-size: 16pt"></font><font style="font-size: 16pt; font-family: Times New Roman">SECURITIES
      AND EXCHANGE COMMISSION</font></b><br><font style="font-size: 12pt; font-family: Times New Roman"><b>Washington,
      D.C. 20549</b></font><br>
    </p>
    <hr style="color: #000000; width: 100%; text-align: center; height: 1.0 pt">


    <p style="text-align: center">

    </p>
    <p style="text-align: center">
      <font style="font-size: 16pt; font-family: Times New Roman"><b>FORM 8-K</b></font>
    </p>
    <hr style="color: #000000; width: 100%; text-align: center; height: 1.0 pt">


    <p style="text-align: center">

    </p>
    <p style="text-align: center">
      <font style="font-size: 12pt; font-family: Times New Roman"><b>CURRENT
      REPORT</b></font><br><font style="font-size: 12pt; font-family: Times New Roman"><b>Pursuant
      to Section 13 or 15(d)</b></font><b><font style="font-size: 12pt; font-family: Times New Roman"><br style="font-family: Times New Roman; font-size: 12pt"></font><font style="font-size: 12pt; font-family: Times New Roman">of
      the Securities Exchange Act of 1934</font></b>
    </p>
    <p style="text-align: center">
      <font style="font-size: 12pt; font-family: Times New Roman"><b>Date of
      Report (Date of earliest event reported) August 2, 2018</b></font><font style="font-size: 10pt; font-family: Times New Roman"><br style="font-family: Times New Roman; font-size: 10pt"></font><br>
    </p>
    <hr style="color: #000000; width: 100%; text-align: center; height: 1.0 pt">


    <p style="text-align: center">
      <br>

    </p>
    <p style="text-align: center">
      <font style="font-size: 20pt; font-family: Times New Roman"><b>TEVA&#160;PHARMACEUTICAL&#160;INDUSTRIES&#160;LIMITED</b></font><br><font style="font-size: 10pt; font-family: Times New Roman"><b>(Exact
      name of registrant as specified in its charter)</b></font><br>
    </p>
    <hr style="color: #000000; width: 100%; text-align: center; height: 1.0 pt">


    <p style="text-align: center">
      <br>

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; width: 33%; text-align: center">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Israel</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; width: 34%; text-align: center; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>001-16174</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; width: 33%; text-align: center; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Not Applicable</b>
          </p>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; width: 33%; text-align: center">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>(State or Other Jurisdiction</b>
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>of Incorporation)</b>
          </p>
        </td>
        <td valign="bottom" style="padding-left: 0.0px; width: 34%; text-align: center">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>(Commission</b>
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>File Number)</b>
          </p>
        </td>
        <td valign="bottom" style="padding-left: 0.0px; width: 33%; text-align: center">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>(IRS Employer</b>
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Identification No.)</b>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">
      <br>
      <b>5 Basel Street</b><br><b>P.O. Box 3190</b><br><b>Petach Tikva
      4951033, Israel</b><br><b>(Address of Principal Executive Offices,
      including Zip Code)</b><br><br><b>+972-3-914-8171</b><br><b>(Registrant&#8217;s
      Telephone Number, including Area Code)</b><br><br><b>Not Applicable</b><br><b>(Former
      Name or Former Address, if Changed Since Last Report)</b>
    </p>
    <p style="text-align: center">

    </p>
    <hr style="width: 100%; color: #000000; text-align: center; height: 1.0 pt">


    <p style="text-align: center">

    </p>
    <p>
      <font style="font-size: 10pt; font-family: Times New Roman">Check the
      appropriate box below if the Form 8-K filing is intended to
      simultaneously satisfy the filing obligation of the registrant under any
      of the following provisions (see General Instruction A.2. below):</font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)</font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Soliciting
      material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)</font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))</font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))</font>
    </p>
    <p>
      Indicate by check mark whether the registrant is an emerging growth
      company as defined in Rule 405 of the Securities Act of 1933 (&#167;230.405
      of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934
      (&#167;240.12b-2 of this chapter).
    </p>
    <p style="text-align: right">
      Emerging Growth Company&#160;&#160;<font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
    </p>
    <p>
      If an emerging growth company, indicate by check mark if the registrant
      has elected not to use the extended transition period for complying with
      any new or revised financial accounting standards provided pursuant to
      Section&#160;13(a) of the Exchange Act.&#160;&#160;<font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
    </p>
    <p>

    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; width: 10%; text-align: left">
          <b>ITEM 2.02</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 90%; text-align: left">
          <b>Results of Operations and Financial Condition</b>
        </td>
      </tr>
    </table>
    </div>
    <p>
      On August 2, 2018, Teva Pharmaceutical Industries Ltd. issued a press
      release announcing its financial results for the period ended June 30,
      2018. A copy of the press release is furnished as Exhibit 99.1 to this
      Current Report on Form 8-K and the information contained therein is
      incorporated herein by reference.
    </p>
    <p>
      The information included in this Item 2.02 is being furnished to the
      Securities and Exchange Commission and shall not be deemed &#8220;filed&#8221; for
      purposes of Section&#160;18 of the Securities Exchange Act of 1934, as
      amended (the &#8220;Exchange Act&#8221;), nor shall it be deemed incorporated by
      reference in any filing under the Securities Act of 1933, as amended, or
      the Exchange Act, except as shall be expressly set forth by specific
      reference in such a filing.
    </p>
    <p>

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; width: 10%; text-align: left">
          <p style="font-size: 10pt">
            <b>ITEM&#160;9.01</b>
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 90%; text-align: left">
          <p style="font-size: 10pt">
            <b>Financial Statements and Exhibits</b>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>
      (d) Exhibits
    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="middle" style="padding-left: 0.0px; width: 6%; text-align: left">

        </td>
        <td valign="bottom" style="padding-left: 0.0px; width: 1%; text-align: left">
          &#160;
        </td>
        <td valign="middle" style="padding-left: 0.0px; width: 93%; text-align: left">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; width: 6%; text-align: center">
          <b>Exhibit</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>No.</b>
          </p>
        </td>
        <td valign="bottom" style="padding-left: 0.0px; width: 1%; text-align: left; padding-bottom: 2.0px">

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; width: 93%; text-align: left">
          <b>Description of Document</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; width: 6%; text-align: left; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <a href="a51846565ex99_1.htm">99.1</a>
          </p>
        </td>
        <td valign="bottom" style="padding-left: 0.0px; width: 1%; text-align: left">

        </td>
        <td valign="top" style="padding-left: 5.0px; width: 93%; text-align: left">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <a href="a51846565ex99_1.htm">Teva Reports Second Quarter 2018
            Financial Results</a>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>

    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-align: center">
      <font style="font-size: 10pt; font-family: Times New Roman"><b>SIGNATURES</b></font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Times New Roman">Pursuant to
      the requirements of the Securities Exchange Act of 1934, as amended, the
      registrant has duly caused this report to be signed on its behalf by the
      undersigned hereunto duly authorized.</font>
    </p>
    <p>

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td style="width: 4%">

        </td>
        <td style="width: 46%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="3">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>TEVA PHARMACEUTICAL INDUSTRIES LTD.</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 4%">

        </td>
        <td style="width: 46%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="3">
          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; width: 4%; text-align: left; padding-bottom: 2.0px">
          Date:
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 46%; text-align: left; padding-bottom: 2.0px">
          August 2, 2018
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 4%; text-align: left; padding-bottom: 2.0px">
          By:
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: left" colspan="2">
          <p style="margin-top: 0px; margin-bottom: 0px">
            /s/ Michael McClellan
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 4%">

        </td>
        <td style="width: 46%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; width: 6%; text-align: left">
          Name:
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 40%; text-align: left">
          <p style="margin-top: 0px; margin-bottom: 0px">
            Michael McClellan
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 4%">

        </td>
        <td style="width: 46%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; width: 6%; text-align: left">
          Title:
        </td>
        <td valign="top" style="padding-left: 0.0px; width: 40%; text-align: left">
          <p style="margin-top: 0px; margin-bottom: 0px">
            Executive Vice President, Chief
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 4%">

        </td>
        <td style="width: 46%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 6%">

        </td>
        <td valign="top" style="padding-left: 0.0px; width: 40%; text-align: left">
          <p style="margin-top: 0px; margin-bottom: 0px">
            Financial Officer
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>

    </p>
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<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>a51846565ex99_1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<html>
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    <title></title>
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  <body style="font-family: Times New Roman; font-size: 8pt">
    <p style="text-align: right">
      <b>Exhibit 99.1</b>
    </p>
    <p style="text-align: center">
      <font style="font-size: 12pt; font-family: Times New Roman"><b>Teva
      Reports Second Quarter 2018 Financial Results</b></font>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Revenues
        of $4.7 billion</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Free cash
        flow of $0.6 billion</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">GAAP
        diluted loss per share of $0.24</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Non-GAAP
        diluted EPS of $0.78</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Restructuring
        plan on-track to achieve $1.5 billion of savings in 2018 and in total
        $3.0 billion by the end of 2019</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Raising
        2018 full year guidance:</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Non-GAAP
        EPS guidance raised to $2.55-2.80 from $2.40-$2.65</font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-size: 10pt; font-family: Times New Roman">Free cash
        flow guidance raised to $3.2-3.4 billion from $3.0-3.2 billion</font>
      </li>
    </ul>
    <p>
      JERUSALEM--(BUSINESS WIRE)--August 2, 2018--Teva Pharmaceutical
      Industries Ltd. (NYSE: TEVA, TASE: TEVA) today reported results for the
      quarter ended June 30, 2018.
    </p>
    <p>
      Mr. K&#229;re Schultz, Teva&#8217;s President and CEO, said, &quot;I am satisfied with
      our progress in the second quarter. The restructuring program is on
      schedule, we have already achieved a significant cost base reduction
      towards our target for the year and we continue to reduce our net debt.
      COPAXONE<sup>&#174;</sup> maintained its market share and AUSTEDO<sup>&#174;</sup>
      continued to show solid growth. Given the second quarter results, we
      have decided to raise our 2018 full year guidance.&quot; Mr. Schultz
      continued, &#8220;Our PDUFA action date for fremanezumab is set for
      mid-September and we are preparing to launch this important product once
      approved.&quot;
    </p>
    <p>
      <u><b>Second Quarter 2018 Consolidated Results</b></u>
    </p>
    <p>
      <b>Revenues</b> in the second quarter of 2018 were $4.7 billion, a
      decrease of 18%, or 19% in local currency terms, compared to the second
      quarter of 2017, mainly due to continued price erosion in our U.S.
      generics business, generic competition to COPAXONE and loss of revenues
      following the divestment of certain products and discontinuation of
      certain activities.
    </p>
    <p>
      <b>Exchange rate</b> differences between the second quarter of 2018 and
      the second quarter of 2017 positively impacted our revenues by $92
      million, our GAAP operating income by $14 million and our non-GAAP
      operating income by $19 million.
    </p>
    <p>
      GAAP <b>gross profit</b> was $2.1 billion in the second quarter of 2018,
      a decrease of 28% compared to the second quarter of 2017. GAAP <b>gross
      profit margin</b> was 43.8% in the second quarter of 2018, compared to
      49.9% in the second quarter of 2017.
    </p>
    <p>
      Non-GAAP <b>gross profit </b>was $2.4 billion in the second quarter of
      2018, a decline of 27% from the second quarter of 2017. Non-GAAP <b>gross
      profit margin</b> was 50.4% in the second quarter of 2018, compared to
      57.0% in the second quarter of 2017. The decrease in gross profit
      margin, on both a GAAP and a non-GAAP basis, resulted primarily from
      price erosion in our U.S. generics business and a decline in COPAXONE
      revenues due to generic competition, as well as the loss of revenue
      following the sale of our women&#8217;s health business.
    </p>
    <div style="width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Research and Development (R&amp;D)</b> expenses for the second
      quarter of 2018 were $290 million, a decrease of 38% compared to the
      second quarter of 2017. R&amp;D expenses excluding equity compensation
      expenses and other R&amp;D expenses were $281 million, or 6.0% of quarterly
      revenues in the second quarter of 2018, compared to $433 million, or
      7.6%, in the second quarter of 2017. The decrease in R&amp;D expenses
      resulted primarily from pipeline optimization, phase 3 studies that
      ended and related headcount reduction.
    </p>
    <p>
      <b>Selling and Marketing (S&amp;M)</b> expenses in the second quarter of
      2018 were $710 million, a decrease of 25% compared to the second quarter
      of 2017. S&amp;M expenses excluding amortization of purchased intangible
      assets, equity compensation expenses and other expenses were $662
      million, or 14.1% of revenues, in the second quarter of 2018, compared
      to $891 million, or 15.6% of revenues, in the second quarter of 2017.
      The decrease was mainly due to cost reductions and efficiency measures
      as part of the restructuring plan.
    </p>
    <p>
      <b>General and Administrative (G&amp;A) </b>expenses in the second
      quarter of 2018 were $316 million, a decrease of 12.9% compared to the
      second quarter of 2017. G&amp;A expenses, excluding equity compensation
      expenses and other items, were $292 million in the second quarter of
      2018, or 6.2% of quarterly revenues, compared to $365 million, or 6.4%
      in the second quarter of 2017. The decrease was mainly due to cost
      reductions and efficiency measures as part of the restructuring plan.
    </p>
    <p>
      GAAP <b>other income</b> in the second quarter of 2018 was $96 million
      compared to $24 million in the second quarter of 2017. Non-GAAP <b>other
      income</b> in the second quarter of 2018 was $106 million, an increase
      of 324% compared to $25 million in the second quarter of 2017. The
      increase in other income was mainly due to legal recovery of lost
      profits, where U.S. patent infringement litigation previously prevented
      a product&#8217;s sales.
    </p>
    <p>
      GAAP <b>operating loss</b> in the second quarter of 2018 was $14
      million, compared to $5.7 billion in the second quarter of 2017.
      Non-GAAP <b>operating income</b> in the second quarter of 2018 was $1.2
      billion, a decrease of 22% compared to the second quarter of 2017.
      Non-GAAP <b>operating margin</b> was 26.3% in the second quarter of 2018
      compared to 27.9% in the second quarter of 2017.
    </p>
    <p>
      <b>EBITDA</b> (non-GAAP operating income, which excludes amortization
      and certain other items, as well as excluding depreciation expenses) was
      $1.4 billion in the second quarter of 2018, down 20% compared to $1.7
      billion in the second quarter of 2017.
    </p>
    <p>
      GAAP <b>financial expenses</b> for the second quarter of 2018 were $236
      million, compared to $238 million in the second quarter of 2017. Non-GAAP<b>
      financial expenses </b>were $238 million in the second quarter of 2018,
      compared to $235 million in the second quarter of 2017. In the second
      quarter of 2018, we recognized a <b>tax benefit</b> of $76 million, or
      30%, on pre-tax loss of $250 million. In the second quarter of 2017, we
      recognized a tax benefit of $22 million, on pre-tax loss of $6 billion.
      Non-GAAP <b>income taxes</b> for the second quarter of 2018 were $127
      million, or 13%, on pre-tax non-GAAP income of $1.0 billion. Non-GAAP
      income taxes in the second quarter of 2017 were $230 million, or 17%, on
      pre-tax non-GAAP income of $1.4 billion. Our tax rate for the second
      quarter of 2018 on both GAAP and non-GAAP basis was mainly affected by
      the mix of products sold in different geographies.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      We expect our annual non-GAAP tax rate for 2018 to be 15%, lower than
      our previous estimates. This is due to changes in the geographical mix
      of income we expect to earn this year. Our non-GAAP tax rate for 2017
      was 15%.
    </p>
    <p>
      GAAP<b> net loss </b>attributable to ordinary shareholders and GAAP<b>
      diluted loss per share</b> in the second quarter of 2018 were $241
      million and $0.24, respectively, compared to $6.0 billion and $5.94,
      respectively, in the second quarter of 2017.
    </p>
    <p>
      Non-GAAP<b> net income</b> attributable to ordinary shareholders and
      non-GAAP<b> diluted EPS </b>in the second quarter of 2018 were $794
      million and $0.78, respectively, compared to $1,035 million and $1.02 in
      the second quarter of 2017.
    </p>
    <p>
      For the second quarter of 2018, the weighted average <b>outstanding
      shares </b>for the fully diluted EPS calculation on a GAAP basis was
      1,018 million, compared to 1,017 million for the second quarter of 2017.
      The weighted average <b>outstanding shares </b>for the fully diluted EPS
      calculation on a non-GAAP basis was 1,021 million, compared to 1,017
      million for the second quarter of 2017. Additionally, no account was
      taken of the potential dilution by the mandatory convertible preferred
      shares, amounting to 63 million shares (including shares that may be
      issued due to unpaid dividends to date) for the three months ended June
      30, 2018 and 59 million shares for the three months ended June 30 2017,
      as well as for the convertible senior debentures for the respective
      periods, since both had an anti-dilutive effect on loss per share.
    </p>
    <p>
      <b>Non-GAAP information</b>: Net non-GAAP adjustments in the second
      quarter of 2018 were negative $1,035 million. Non-GAAP net income and
      non-GAAP EPS for the quarter were adjusted to exclude the following
      items:
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        Impairment of long-lived assets and goodwill of $668 million,
        comprised mainly of impairment of intangible assets of product rights
        and IPR&amp;D assets related to the Actavis Generics acquisition, goodwill
        impairment related to Mexico reporting unit and impairment related to
        the closure of manufacturing sites and other fixed assets.
      </li>
      <li style="margin-bottom: 10.0px">
        Amortization of purchased intangible assets totaling $302 million, of
        which $261 million is included in cost of goods sold and the remaining
        $41 million in S&amp;M expenses;
      </li>
      <li style="margin-bottom: 10.0px">
        Restructuring expenses of $107 million;
      </li>
      <li style="margin-bottom: 10.0px">
        Equity compensation expenses of $47 million;
      </li>
      <li style="margin-bottom: 10.0px">
        Contingent consideration of $47 million mainly related to a court
        decision&#160;regarding the status of Bendeka as an exclusive orphan drug;
      </li>
      <li style="margin-bottom: 10.0px">
        Legal settlements and loss contingencies of $20 million;
      </li>
      <li style="margin-bottom: 10.0px">
        Other non-GAAP items of $47 million; and
      </li>
      <li style="margin-bottom: 10.0px">
        Tax benefit of $203 million.
      </li>
    </ul>
    <p>
      Teva believes that excluding such items facilitates investors'
      understanding of its business. See the attached tables for a
      reconciliation of the GAAP results to the adjusted non-GAAP figures.
      Investors should consider non-GAAP financial measures in addition to,
      and not as replacement for, or superior to, measures of financial
      performance prepared in accordance with GAAP.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Cash flow generated from operations</b> during the second quarter of
      2018 was $162 million, compared to $435 million in the second quarter of
      2017. The decrease was mainly due to higher beneficial interest
      collected in exchange for securitized trade receivables and higher
      payments related to the restructuring plan during the second quarter of
      2018.
    </p>
    <p>
      <b>Free</b> <b>cash flow</b>, excluding net capital expenditures, was
      $0.6 billion in the second quarter of 2018 flat compared to $0.6 billion
      in the second quarter of 2017.
    </p>
    <p>
      As of June 30, 2018, our <b>debt</b> was $30.2 billion, compared to
      $30.8 billion as of March 31, 2018. The decrease was mainly due to
      exchange rate fluctuations.
    </p>
    <p>
      The portion of total debt classified as short-term as of June 30, 2018
      was 4%, unchanged compared to March 31, 2018.
    </p>
    <p>
      <u><b>Segment Results for the Second Quarter 2018</b></u>
    </p>
    <p>
      Due to the organizational changes announced in November 2017, we began
      reporting our financial results under a new structure in the first
      quarter of 2018, consisting of the following segments:
    </p>
    <p style="margin-left: 30.0px">
      a) North America segment, which includes the United States and Canada.
    </p>
    <p style="margin-left: 30.0px">
      b) Europe segment, which includes the European Union and certain other
      European countries.
    </p>
    <p style="margin-left: 30.0px">
      c) International Markets segment (previously named &#8220;Growth Markets&#8221;
      segment), which includes all countries other than those in our North
      America and Europe segments.
    </p>
    <p>
      In addition to these three segments, we have other activities, primarily
      the sale of API to third parties and certain contract manufacturing
      services.
    </p>
    <p>
      Segment profit is comprised of gross profit for the segment, less R&amp;D,
      S&amp;M, G&amp;A expenses and other income related to each segment. Segment
      profit does not include amortization and certain other items.
    </p>
    <p>
      <b>North America Segment</b>
    </p>
    <p>
      Our North America segment includes the United States and Canada.
    </p>
    <p>
      The following table presents revenues, expenses and profit for our North
      America segment for the three months ended June 30, 2018 and 2017:
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="middle" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="6">
          <b>Three months ended June 30,</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td colspan="6">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="6">
          <b>(U.S.$ in millions / % of Segment Revenues)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $2,263
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $3,169
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Gross profit
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,203
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          53.2%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,058
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          64.9%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          R&amp;D expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          182
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          8.0%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          280
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          8.8%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          S&amp;M expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          296
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          13.1%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          392
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          12.3%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          G&amp;A expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          103
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4.6%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          144
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4.5%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other income
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (100)
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (4.4%)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (8)
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          &#167;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Segment profit*
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $722
          </p>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          31.9%
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $1,250
          </p>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          39.4%
        </td>
      </tr>
      <tr>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left" colspan="6">
          <p style="margin-top: 0px; margin-bottom: 0px">
            * Segment profit does not include amortization and certain other
            items. The data presented for prior periods have
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            been conformed to reflect the changes to our segment reporting
            commencing in the first quarter of 2018. See note
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            17 to our consolidated financial statements for additional
            information.
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            &#167; Represents an amount less than 0.5%.
          </p>
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Revenues</b> from our North America segment in the second quarter of
      2018 were $2.3 billion, a decrease of $906 million, or 29%, compared to
      the second quarter of 2017, mainly due to a decline in revenues of
      COPAXONE as well as an equally significant decline in revenues in our
      U.S. generics business and the loss of revenues from the sale of our
      women&#8217;s health business, partially offset by higher revenues from AUSTEDO<sup>&#174;</sup>
      and our distribution business.
    </p>
    <p>
      <b>Revenues in the United States</b>, our largest market, were $2.1
      billion in the second quarter of 2018, a decrease of $899 million, or
      30%, compared to the second quarter of 2017.
    </p>
    <p>
      <b>Revenues by Major Products and Activities</b>
    </p>
    <p>
      The following table presents revenues for our North America segment by
      major products and activities for the three months ended June 30, 2018
      and 2017:
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended</b>
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S.$ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Generic products
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          947
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,331
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (29%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          464
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          859
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (46%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          BENDEKA / TREANDA
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          160
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          163
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          ProAir
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          115
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          123
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (7%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          QVAR
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          30
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          98
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (69%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          AUSTEDO
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          44
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1
        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: right">
          NA
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          320
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          275
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          16%
        </td>
      </tr>
    </table>
    </div>
    <p>
      <b>Generic products</b> revenues in our North America segment in the
      second quarter of 2018 decreased by 29% to $947 million, compared to the
      second quarter of 2017, mainly due to continued price erosion in our
      U.S. generics business, additional competition to methylphenidate
      extended-release tablets (Concerta<sup>&#174;</sup> authorized generic)
      and portfolio optimization.
    </p>
    <p>
      In the second quarter of 2018, we led the U.S. generics market in total
      prescriptions and new prescriptions, with approximately 576 million
      total prescriptions, representing 15% of total U.S. generic
      prescriptions according to IQVIA data.
    </p>
    <p>
      <b>COPAXONE</b> revenues in our North America segment in the second
      quarter of 2018 decreased by 46% to $464 million, of which $448 million
      were generated in the United States, compared to the second quarter of
      2017, mainly due to generic competition in the United States.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>BENDEKA<sup>&#174;</sup></b> and <b>TREANDA<sup>&#174;</sup></b>
      combined revenues in our North America segment in the second quarter of
      2018 decreased by 2% to $160 million, compared to the second quarter of
      2017, mainly due to lower volumes, partially offset by a higher pricing.
    </p>
    <p>
      <b>ProAir<sup>&#174;</sup></b> revenues in our North America segment in
      the second quarter of 2018 decreased by 7% to $115 million, compared to
      the second quarter of 2017, mainly due to lower net pricing.
    </p>
    <p>
      <b>QVAR</b><sup>&#174;</sup> revenues in our North America segment in
      the second quarter of 2018 decreased by 69% to $30 million, compared to
      the second quarter of 2017. The decrease in sales was mainly due to
      lower volumes in this quarter following wholesaler stocking in the first
      quarter of 2018 in connection with the launch of QVAR<sup>&#174;</sup>
      RediHaler&#8482;. QVAR maintained its second-place position in the inhaled
      corticosteroids category in the United States.
    </p>
    <p>
      <b>AUSTEDO<sup>&#174;</sup></b> revenues in our North America segment in
      the second quarter of 2018 were $44 million. AUSTEDO was approved by the
      FDA for the treatment of chorea associated with Huntington disease and
      was launched in the United States in April 2017. In August 2017, the FDA
      also approved AUSTEDO for the treatment of tardive dyskinesia.
    </p>
    <p>
      <b>Distribution</b> revenues in our North America segment in the second
      quarter of 2018 generated by Anda increased by 16% to $320 million,
      compared to the second quarter of 2017.
    </p>
    <p>
      <b>North America Gross Profit</b>
    </p>
    <p>
      Gross profit from our North America segment in the second quarter of
      2018 was $1.2 billion, a decrease of 42% compared to $2.1 billion in the
      second quarter of 2017. The decrease was mainly due to lower revenues
      from COPAXONE and generic products.
    </p>
    <p>
      Gross profit margin for our North America segment in the second quarter
      of 2018 decreased to 53.2%, compared to 64.9% in the second quarter of
      2017. This decrease was mainly due to lower COPAXONE revenues and
      continued price erosion of generic products.
    </p>
    <p>
      <b>North America Profit</b>
    </p>
    <p>
      Profit from our North America segment in the second quarter of 2018 was
      $722 million, a decrease of 42% compared to $1.3 billion in the second
      quarter of 2017. The decrease was mainly due to lower revenues from
      COPAXONE and generic products, partially offset by cost reductions and
      efficiency measures as part of the restructuring plan and higher other
      income.
    </p>
    <p>
      <b>Europe Segment</b>
    </p>
    <p>
      Our Europe segment includes the European Union and certain other
      European countries.
    </p>
    <p>
      The following table presents revenues, expenses and profit for our
      Europe segment for the three months ended June 30, 2018 and 2017:
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S.$ in millions / % of Segment Revenues)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $1,328
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100.0%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $1,295
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Gross profit
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          731
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          55.0%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          692
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          53.4%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          R&amp;D expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          73
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5.4%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          105
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          8.1%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          S&amp;M expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          237
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            17.8%
          </p>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          296
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22.8%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          G&amp;A expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          78
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5.8%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          89
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6.9%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other expenses
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          &#167;
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (17)
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (1.3%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Segment profit*
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $346
          </p>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          26.1%
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          219
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          16.9%
        </td>
      </tr>
      <tr>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left" colspan="6">
          <p style="margin-top: 0px; margin-bottom: 0px">
            * Segment profit does not include amortization and certain other
            items. The data presented for prior periods have
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            been conformed to reflect the changes to our segment reporting
            commencing in the first quarter of 2018. See note
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            17 to our consolidated financial statements for additional
            information.
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            &#167; Represents an amount less than 0.5%.
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>
      Revenues from our Europe segment in the second quarter of 2018 were $1.3
      billion, an increase of $33 million or 3%, compared to the second
      quarter of 2017. In local currency terms, revenues decreased by 5%,
      mainly due to the loss of revenues from the closure of our distribution
      business in Hungary and the sale of our women&#8217;s health business,
      partially offset by new generic product launches.
    </p>
    <p>
      <b>Revenues by Major Products and Activities</b>
    </p>
    <p>
      The following table presents revenues for our Europe segment by major
      products and activities for the three months ended June 30, 2018 and
      2017:
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended</b>
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S.$ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Generic products
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          907
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          822
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          10%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          140
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          138
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Respiratory products
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          106
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          84
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26%
        </td>
      </tr>
    </table>
    </div>
    <p>
      <b>Generic products</b> revenues in our Europe segment in the second
      quarter of 2018, including OTC products, increased by 10% to $907
      million, compared to the second quarter of 2017. In local currency
      terms, revenues increased by 3%, mainly due to new product launches,
      partially offset by price reductions.
    </p>
    <p>
      <b>COPAXONE</b> revenues in our Europe segment in the second quarter of
      2018 increased by 1% to $140 million, compared to the second quarter of
      2017. In local currency terms, revenues decreased by 7%, mainly due to
      price reductions resulting from the entry of generic competition.
    </p>
    <p>
      <b>Respiratory</b> <b>products</b> revenues in our Europe segment in the
      second quarter of 2018 increased by 26% to $106 million, compared to the
      second quarter of 2017. In local currency terms, revenues increased by
      18%, mainly due to the launch of BRALTUS<sup>&#174;</sup> in 2017.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Europe Gross Profit</b>
    </p>
    <p>
      Gross profit from our Europe segment in the second quarter of 2018 was
      $731 million, an increase of 6% compared to $692 million in the second
      quarter of 2017. The increase was mainly due to the positive impact of
      currency fluctuations, partially offset by the loss of revenues from the
      sale of our women's health business.
    </p>
    <p>
      Gross profit margin for our Europe segment in the second quarter of 2018
      increased to 55.0%, compared to 53.4% in the second quarter of 2017.
      This increase was mainly due to the closure of our distribution business
      in Hungary.
    </p>
    <p>
      <b>Europe Profit</b>
    </p>
    <p>
      Profit from our Europe segment in the second quarter of 2018 was $346
      million, an increase of 58% compared to $219 million in the second
      quarter of 2017. The increase was mainly due to cost reductions and
      efficiency measures as part of the restructuring plan.
    </p>
    <p>
      <b>International Markets Segment</b>
    </p>
    <p>
      Our International Markets segment includes all countries other than
      those in our North America and Europe segments. The key markets in this
      segment are Japan, Israel and Russia.
    </p>
    <p>
      The following table presents revenues, expenses and profit for our
      International Markets segment for the three months ended June 30, 2018
      and 2017:
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="middle" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S.$ in millions / % of Segment Revenues)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $789
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100.0%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $885
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          100%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Gross profit
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          328
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          41.6%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          400
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          45.2%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          R&amp;D expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          25
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3.1%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5.3%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          S&amp;M expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          130
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          16.4%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          187
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          21.1%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          G&amp;A expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          37
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4.5%
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          45
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5.1%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other income
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: right">
          &#167;
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: right">
          &#167;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Segment profit*
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $139
          </p>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          17.6%
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            $121
          </p>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          13.7%
        </td>
      </tr>
      <tr>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left" colspan="6">
          <p style="margin-top: 0px; margin-bottom: 0px">
            * Segment profit does not include amortization and certain other
            items. The data presented for prior periods have
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            been conformed to reflect the changes to our segment reporting
            commencing in the first quarter of 2018. See note
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            17 to our consolidated financial statements for additional
            information.
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            &#167; Represents an amount less than 0.5%.
          </p>
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Revenues</b> from our International Markets segment in the second
      quarter of 2018 were $789 million, a decrease of $96 million, or 11%,
      compared to the second quarter of 2017. In local currency terms,
      revenues decreased 9% compared to the second quarter of 2017, mainly due
      to lower sales in Japan (resulting from the milestone payment received
      from Otsuka in the second quarter of 2017), lower sales in Russia, the
      effect of the deconsolidation of our subsidiaries in Venezuela and the
      loss of revenues from the sale of our women&#8217;s health business, partially
      offset by higher sales in Israel.
    </p>
    <p>
      <b>Revenues by Major Products and Activities</b>
    </p>
    <p>
      The following table presents revenues for our International Markets
      segment by major products and activities for the three months ended June
      30, 2018 and 2017:
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended</b>
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="padding-left: 0.0px; text-align: center" colspan="5">
          (U.S.$ in millions)
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Generic products
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          537
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          604
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (11%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (15%)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          154
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          135
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14%
        </td>
      </tr>
    </table>
    </div>
    <p>
      <b>Generic products</b> revenues in our International Markets segment in
      the second quarter of 2018, which include OTC products, decreased by 11%
      to $537 million, compared to the second quarter of 2017. In local
      currency terms, revenues decreased by 9%, mainly due to lower sales in
      Russia and the effect of the deconsolidation of our subsidiaries in
      Venezuela.
    </p>
    <p>
      <b>COPAXONE</b> revenues in our International Markets segment in the
      second quarter of 2018 decreased by 15% to $22 million, compared to the
      second quarter of 2017. In local currency terms, revenues decreased by
      4%.
    </p>
    <p>
      <b>Distribution</b> revenues in our International Markets segment in the
      second quarter of 2018 increased by 14% to $154 million, compared to the
      second quarter of 2017. In local currency terms, revenues increased by
      14%, mainly due to higher sales in Israel.
    </p>
    <p>
      <b>International Markets Gross Profit</b>
    </p>
    <p>
      Gross profit from our International Markets segment in the second
      quarter of 2018 was $328 million, a decrease of 18% compared to $400
      million in the second quarter of 2017. This decrease was mainly due to
      lower gross profit in Japan and Russia and the deconsolidation of our
      subsidiaries in Venezuela, partially offset by higher gross profit in
      Israel and certain Latin American markets.
    </p>
    <p>
      Gross profit margin for our International Markets segment in the second
      quarter of 2018 decreased to 41.6%, compared to 45.2% in the second
      quarter of 2017.
    </p>
    <p>
      <b>International Markets Profit</b>
    </p>
    <p>
      Profit from our International Markets segment in the second quarter of
      2018 was $139 million, compared to $121 million in the second quarter of
      2017. The increase was mainly due to cost reductions and efficiency
      measures as part of the restructuring plan.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      Profit as a percentage of International Markets revenues in the second
      quarter of 2018 was 18%, compared to 14% in the second quarter of 2017.
      This increase was mainly due to lower operating expenses as part of the
      restructuring plan.
    </p>
    <p>
      During the fourth quarter of 2017, we deconsolidated our subsidiaries in
      Venezuela from our financial results. Consequently, results of
      operations of our subsidiaries in Venezuela are not included in the
      second quarter of 2018.
    </p>
    <p>
      <b>Other Activities</b>
    </p>
    <p>
      We have other sources of revenues, primarily the sale of API to third
      parties and certain contract manufacturing services. These other
      activities are not included in our North America, Europe or
      International Markets segments.
    </p>
    <p>
      Our revenues from other activities in the second quarter of 2018
      decreased by 13.5% to $321 million, compared to the second quarter of
      2017. In local currency terms, revenues decreased by 16%, mainly due to
      lower API sales to third parties.
    </p>
    <p>
      API sales to third parties in the second quarter of 2018 decreased by 9%
      to $186 million, compared to the second quarter of 2017. In local
      currency terms, revenues decreased by 9%.
    </p>
    <p>
      <u><b>Updated 2018 Non-GAAP Results Outlook</b></u>
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          Updated Guidance<br>August 2018
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          Guidance <br>May 2018
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $18.5-19.0 billion
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $18.5-19.0 billion
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Non-GAAP Operating Income
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $4.3-4.6 billion
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $4.2-4.5 billion
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          EBITDA
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $5.0-5.3 billion
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $4.9-5.2 billion
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Non-GAAP EPS
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px">
          $2.55-2.80
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px">
          $2.40-2.65
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Weighted average number of shares
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          1,027 million
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          1,030 million
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Free cash flow
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $3.2-3.4 billion
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          $3.0-3.2 billion
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      These estimates reflect management's current expectations for Teva's
      performance in 2018. Actual results may vary, whether as a result of
      exchange rate differences, market conditions or other factors. In
      addition, the non-GAAP measures exclude the amortization of purchased
      intangible assets, costs related to certain regulatory actions,
      inventory step-up, legal settlements and reserves, impairments and
      related tax effects.
    </p>
    <p>
      See &#8220;Non-GAAP Financial Measures&#8221; below.
    </p>
    <p>
      <u><b>Conference Call</b></u>
    </p>
    <p>
      Teva will host a conference call and live webcast along with a slide
      presentation on Thursday, August 2, 2018 at 8:00 a.m. ET to discuss its
      second quarter 2018 results and overall business environment. A question
      &amp; answer session will follow.
    </p>
    <p>
      United States 1-877-391-1148
    </p>
    <p>
      International +44 (0) 1452 580733
    </p>
    <p>
      For a list of other international toll-free numbers, click here.
    </p>
    <p>
      Passcode: <b>6984104</b>
    </p>
    <p>
      A live webcast of the call will also be available on Teva's website at:
      ir.tevapharm.com. Please log in at least 10 minutes prior to the
      conference call in order to download the applicable software.
    </p>
    <p>
      Following the conclusion of the call, a replay of the webcast will be
      available within 24 hours on the Company's website. The replay can also
      be accessed until August 30, 2018, 9:00 a.m. ET by calling United States
      1 (866) 331-1332 or International +44 (0) 3333009785; passcode: <b>6984104.</b>
    </p>
    <p>
      <b>About Teva</b>
    </p>
    <p>
      Teva Pharmaceutical Industries Ltd.&#160;(NYSE and TASE: TEVA) is a global
      leader in generic medicines, with innovative treatments in select areas,
      including CNS, pain and respiratory. We deliver high-quality generic
      products and medicines in nearly every therapeutic area to address unmet
      patient needs. We have an established presence in generics, specialty,
      OTC and API, building on more than a century-old legacy, with a fully
      integrated R&amp;D function, strong operational base and global
      infrastructure and scale. We strive to act in a socially and
      environmentally responsible way. Headquartered in&#160;Israel, with
      production and research facilities around the globe, we employ 45,000
      professionals, committed to improving the lives of millions of patients.
      Learn more at&#160;<u>www.tevapharm.com</u>.
    </p>
    <p>
      <b>Non-GAAP Financial Measures</b>
    </p>
    <p>
      This press release contains certain financial information that differs
      from what is reported under accounting principles generally accepted in
      the United States (&quot;GAAP&quot;). These non-GAAP financial measures,
      including, but not limited to, non-GAAP EPS, non-GAAP operating income,
      non-GAAP gross profit, non-GAAP gross profit margin, EBITDA, non-GAAP
      financial expenses, non-GAAP income taxes, non-GAAP net income and
      non-GAAP diluted EPS are presented in order to facilitates investors'
      understanding of our business. We utilize certain non-GAAP financial
      measures to evaluate performance, in conjunction with other performance
      metrics. The following are examples of how we utilize the non-GAAP
      measures: our management and board of directors use the non-GAAP
      measures to evaluate our operational performance, to compare against
      work plans and budgets, and ultimately to evaluate the performance of
      management; our annual budgets are prepared on a non-GAAP basis; and
      senior management&#8217;s annual compensation is derived, in part, using these
      non-GAAP measures. See the attached tables for a reconciliation of the
      GAAP results to the adjusted non-GAAP figures. Investors should consider
      non-GAAP financial measures in addition to, and not as replacements for,
      or superior to, measures of financial performance prepared in accordance
      with GAAP. We are not providing forward looking guidance for GAAP
      reported financial measures or a quantitative reconciliation of
      forward-looking non-GAAP financial measures to the most directly
      comparable GAAP measure because we are unable to predict with reasonable
      certainty the ultimate outcome of certain significant items without
      unreasonable effort.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <b>Cautionary Note Regarding Forward-Looking Statements</b>
    </p>
    <p>
      This press release contains forward-looking statements within the
      meaning of the Private Securities Litigation Reform Act of 1995, which
      are based on management&#8217;s current beliefs and expectations and are
      subject to substantial risks and uncertainties, both known and unknown,
      that could cause our future results, performance or achievements to
      differ significantly from that expressed or implied by such
      forward-looking statements. Important factors that could cause or
      contribute to such differences include risks relating to:
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        our ability to successfully compete in the marketplace, including:
        that we are substantially dependent on our generic products;
        competition for our specialty products, especially COPAXONE<sup>&#174;</sup>,
        our leading medicine, which faces competition from existing and
        potential additional generic versions and orally-administered
        alternatives; competition from companies with greater resources and
        capabilities; efforts of pharmaceutical companies to limit the use of
        generics including through legislation and regulations; consolidation
        of our customer base and commercial alliances among our customers; the
        increase in the number of competitors targeting generic opportunities
        and seeking U.S. market exclusivity for generic versions of
        significant products; price erosion relating to our products, both
        from competing products and increased regulation; delays in launches
        of new products and our ability to achieve expected results from
        investments in our product pipeline; our ability to take advantage of
        high-value opportunities; the difficulty and expense of obtaining
        licenses to proprietary technologies; and the effectiveness of our
        patents and other measures to protect our intellectual property rights;
      </li>
      <li style="margin-bottom: 10.0px">
        our substantial indebtedness, which may limit our ability to incur
        additional indebtedness, engage in additional transactions or make new
        investments, may result in a further downgrade of our credit ratings;
        and our inability to raise debt or borrow funds in amounts or on terms
        that are favorable to us;
      </li>
      <li style="margin-bottom: 10.0px">
        our business and operations in general, including: failure to
        effectively execute our restructuring plan announced in December,
        2017; uncertainties related to, and failure to achieve, the potential
        benefits and success of our new senior management team and
        organizational structure; harm to our pipeline of future products due
        to the ongoing review of our R&amp;D programs; our ability to develop and
        commercialize additional pharmaceutical products; potential additional
        adverse consequences following our resolution with the U.S. government
        of our FCPA investigation; compliance with sanctions and other trade
        control laws; manufacturing or quality control problems, which may
        damage our reputation for quality production and require costly
        remediation; interruptions in our supply chain; disruptions of our or
        third party information technology systems or breaches of our data
        security; the failure to recruit or retain key personnel; variations
        in intellectual property laws that may adversely affect our ability to
        manufacture our products; challenges associated with conducting
        business globally, including adverse effects of political or economic
        instability, major hostilities or terrorism; significant sales to a
        limited number of customers in our U.S. market; our ability to
        successfully bid for suitable acquisition targets or licensing
        opportunities, or to consummate and integrate acquisitions; and our
        prospects and opportunities for growth if we sell assets ;
      </li>
      <li style="margin-bottom: 10.0px">
        compliance, regulatory and litigation matters, including: costs and
        delays resulting from the extensive governmental regulation to which
        we are subject; the effects of reforms in healthcare regulation and
        reductions in pharmaceutical pricing, reimbursement and coverage;
        governmental investigations into sales and marketing practices;
        potential liability for patent infringement; product liability claims;
        increased government scrutiny of our patent settlement agreements;
        failure to comply with complex Medicare and Medicaid reporting and
        payment obligations; and environmental risks;
      </li>
      <li style="margin-bottom: 10.0px">
        other financial and economic risks, including: our exposure to
        currency fluctuations and restrictions as well as credit risks;
        potential impairments of our intangible assets; potential significant
        increases in tax liabilities; and the effect on our overall effective
        tax rate of the termination or expiration of governmental programs or
        tax benefits, or of a change in our business;
      </li>
    </ul>
    <p>
      and other factors discussed in our Annual Report on Form 10-K for the
      year ended December 31, 2017, including the sections thereof captioned
      &quot;Risk Factors&quot; and &quot;Forward Looking Statements,&quot; and in our subsequent
      quarterly reports on Form 10-Q and other filings with the Securities and
      Exchange Commission, which are available at <u>www.sec.gov</u> and <u>www.tevapharm.com</u>.
      Forward-looking statements speak only as of the date on which they are
      made, and we assume no obligation to update or revise any
      forward-looking statements or other information contained herein,
      whether as a result of new information, future events or otherwise. You
      are cautioned not to put undue reliance on these forward-looking
      statements.
    </p>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="9">
          <b>Consolidated Statements of Income</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="8">
          (Unaudited, U.S. dollars in millions, except share and per share
          data)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>Three months ended</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="3">
          <b>Six months ended</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="3">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="3">
          <b>June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>(Unaudited)</b>
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>(Unaudited)</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>(Unaudited)</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>(Unaudited)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net revenues</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,701
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5,720
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          9,766
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          11,370
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Cost of sales</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          2,640
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          2,865
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          5,357
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          5,676
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Gross profit</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,061
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,855
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,409
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5,694
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Research and development expenses</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          290
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          469
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          607
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          901
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Selling and marketing expenses</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          710
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          944
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,481
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,902
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>General and administrative expenses</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          316
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          363
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          645
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          729
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Other asset impairments, restructuring and other items</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          715
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          419
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,422
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          659
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Goodwill impairment</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          120
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          300
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Legal settlements and loss contingencies</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          20
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          324
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,258)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          344
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Other income</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (96)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (24)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (299)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (96)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Operating income (loss)</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (14)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,740)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,511
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (4,845)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Financial expenses &#8211; net</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          236
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          238
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          507
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          445
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Income (loss) before income taxes</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (250)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,978)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,004
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,290)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Income taxes (benefit)</b>
          </p>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (76)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (22)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (30)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          32
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Share in (profits) losses of associated companies, net</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (8)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          14
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          66
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          7
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net income (loss)</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (166)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,970)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          968
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,329)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Net income (loss) attributable to non-controlling interests</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          10
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          24
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (4)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Net income (loss) attributable to Teva</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (176)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (5,970)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          944
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (5,325)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Dividends on preferred shares</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          65
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          65
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          130
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          130
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Net income (loss) attributable to Teva's ordinary shareholders</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (241)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (6,035)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          814
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5,455)
        </td>
      </tr>
      <tr>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Earnings per share attributable to ordinary shareholders:</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Basic ($)</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (0.24)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5.94)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          0.80
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5.37)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Diluted ($)</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (0.24)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5.94)
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          0.80
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5.37)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Weighted average number of shares (in millions):</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Basic</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,018
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,017
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,018
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,016
        </td>
      </tr>
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: left">
          &#160;
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: left">
          <b>Diluted</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,018
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,017
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,020
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,016
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Non-GAAP net income attributable to ordinary shareholders:*</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          794
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,035
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,748
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          2,114
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Non-GAAP net income attributable to ordinary shareholders for
          diluted earnings per share:</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          794
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,035
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,748
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          2,114
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Non-GAAP earnings per share attributable to ordinary
          shareholders:*</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Basic ($)</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          0.78
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1.02
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1.72
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          2.08
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Diluted ($)</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          0.78
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1.02
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1.71
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          2.08
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Non-GAAP average number of shares (in millions):</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Basic</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,018
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,017
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,018
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,017
        </td>
      </tr>
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: left">
          &#160;
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: left">
          <b>Diluted</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,021
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,017
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,020
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,017
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          * See reconciliation attached.
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Condensed Consolidated Balance Sheets</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          (U.S. dollars in millions)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="3">
          <b>(Unaudited)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          <b>December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>ASSETS</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Current assets:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Cash and cash equivalents
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,861
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          963
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Trade receivables
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,061
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,128
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Inventories
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,971
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,924
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Prepaid expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,104
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,100
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other current assets
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          685
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          701
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Assets held for sale
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          29
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          566
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Total current assets</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14,711
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          15,382
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Deferred income taxes</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          440
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          574
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Other non-current assets</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          806
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          932
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Property, plant and equipment, net</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,213
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,673
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Identifiable intangible assets, net</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          16,212
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          17,640
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Goodwill</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          27,648
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          28,414
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Total assets</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          67,030
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          70,615
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>LIABILITIES &amp; EQUITY</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Current liabilities:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Short-term debt
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,272
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,646
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Sales reserves and allowances
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,138
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,881
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Trade payables
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,779
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,069
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Employee-related obligations
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          674
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          549
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Accrued expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,248
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,014
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other current liabilities
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,104
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          724
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Liabilities held for sale
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          38
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Total current liabilities</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14,215
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          17,921
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Long-term liabilities:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Deferred income taxes
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,668
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,277
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other taxes and long-term liabilities
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,814
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,843
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Senior notes and loans
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          28,965
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          28,829
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Total long-term liabilities</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          33,447
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          33,949
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Equity:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Teva shareholders&#8217; equity
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          17,939
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          17,359
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <p style="margin-top: 0px; margin-bottom: 0px">
            Non-controlling interests
          </p>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,429
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,386
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          <b>Total equity</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          19,368
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          18,745
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Total liabilities and equity</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          67,030
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          70,615
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="9">
          <b>Condensed Consolidated Cash Flow</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="8">
          (U.S. Dollars in millions)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="4">
          <b>Three months ended</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="3">
          <b>Six months ended</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="3">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="3">
          <b>June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Unaudited</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Unaudited</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Unaudited</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Unaudited</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Operating activities:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net income</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (166)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,970)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          968
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,329)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net change in operating assets and liabilities</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (676)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (554)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,268)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,351)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Items not involving cash flow</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,004
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,959
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,958
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,251
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net cash provided by operating activities</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          162
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          435
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,658
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          571
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net cash provided by investing activities</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          406
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (86)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,445
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,430
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net cash used in financing activities</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (56)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (651)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2,147)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2,419)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Translation adjustment on cash and cash equivalents</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (69)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (58)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          29
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Net change in cash and cash equivalents</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          443
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (301)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          898
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (389)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Balance of cash and cash equivalents at beginning of period</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,418
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          900
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          963
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          988
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          <b>Balance of cash and cash equivalents at end of period</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,861
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          599
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,861
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          599
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="8">
          <b>Non GAAP reconciliation items</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          (U.S. Dollars in millions)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Three Months Ended</b>
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>June 30,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Six Months Ended</b>
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>June 30,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2018</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="7">
          <b>(U.S. $ in millions)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gain on divestitures, net of divestitures related costs
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          10
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (83)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amortization of purchased intangible assets
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          302
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          411
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          612
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          731
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Restructuring expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          107
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          98
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          354
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          228
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Inventory step-up
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          67
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Equity compensation expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          35
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          77
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          71
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Costs related to regulatory actions taken in facilities
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          15
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          49
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Acquisition, integration and related expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          33
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          56
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other R&amp;D expenses
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          21
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Contingent consideration
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          140
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          55
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          161
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Legal settlements and loss contingencies
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          20
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          324
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,258)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          344
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Goodwill impairment
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          120
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          300
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairment of long-lived assets
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          548
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          145
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          980
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          156
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other non-GAAP items
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          44
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          12
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          93
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          74
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Financial expense (income)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          66
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (25)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Minority interest
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (12)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (20)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (20)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (33)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairments of equity investments
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          94
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Tax effect
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (203)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (252)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (368)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (438)
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="11">
          <b>Three Months Ended June 30, 2018</b>
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="9">
          <b>Three Months Ended June 30, 2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="23">
          <b>U.S. dollars and shares in millions (except per share amounts)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP Adjustments</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Dividends on Preferred Shares</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>% of Net Revenues</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Non-GAAP Adjustments</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Dividends on Preferred Shares</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Non-GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>% of Net Revenues</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit (1)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,061
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          306
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,367
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          50%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,855
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          406
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,261
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          57%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Operating income (loss) (1)(2)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (14)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,252
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,238
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,740)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,337
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,597
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          28%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Net income attributable to ordinary shareholders (1)(2)(3)(4)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (241)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,035
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          794
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          17%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (6,035)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,070
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,035
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          18%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Earnings per share attributable to ordinary shareholders - diluted
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (0.24)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1.02
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          0.78
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5.94)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6.96
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1.02
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amortization of purchased intangible assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          261
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          367
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Inventory step-up
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Costs related to regulatory actions taken in facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          15
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Equity compensation expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          9
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other COGS related adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          32
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          14
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          306
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          406
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="2">
          Gain on divestitures, net of divestitures related costs
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          10
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Goodwill impairment
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          120
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Restructuring expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          107
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          98
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amortization of purchased intangible assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          41
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          44
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Equity compensation expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          38
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          28
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Acquisition, Integration and related expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          33
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other R&amp;D expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          21
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Contingent consideration
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          140
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Legal settlements and loss contingencies
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          20
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          324
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairment of long-lived assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          548
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          145
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other operating related adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          12
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          946
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,931
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Operating income adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,252
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          7,337
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Financial expense (income)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Tax effect
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (203)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (252)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairments of Equity Investments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Minority interest
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (12)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (20)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Net income adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,035
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          7,070
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (4)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="24">
          <p style="margin-top: 0px; margin-bottom: 0px">
            The non-GAAP diluted weighted average number of shares was 1,021
            and 1,017 million for the three months ended June 30, 2018 and
            2017, respectively.
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            For the three months ended June 31, 2018, the mandatory
            convertible preferred shares amounting to 63 million weighted
            average
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            shares had an anti-dilutive effect on earnings per share and were
            therefore excluded from the outstanding shares calculation.
            Non-GAAP
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            earnings per share can be reconciled with GAAP earnings per share
            by dividing each of the amounts included in footnotes 1-3 above by
            the applicable
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            weighted average share number.
          </p>
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="11">
          <b>Six Months Ended June 30, 2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="11">
          <b>Six Months Ended June 30, 2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="25">
          <b>U.S. dollars and shares in millions (except per share amounts)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP Adjustments</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Dividends on Preferred Shares</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>% of Net Revenues</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP Adjustments</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>Dividends on Preferred Shares</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="2">
          <b>Non-GAAP</b>
        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center">
          <b>% of Net Revenues</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit (1)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,409
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          609
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5,018
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          51%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5,694
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          783
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,477
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          57%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Operating income (loss) (1)(2)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,511
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,162
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,673
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          27%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (4,845)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          8,063
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,218
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          28%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Net income (loss) attributable to ordinary shareholders (1)(2)(3)(4)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          814
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          934
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,748
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          18%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5,455)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,569
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,114
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          19%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Earnings (loss) per share attributable to ordinary shareholders -
          diluted (5)
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          0.80
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          0.91
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1.71
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5.37)
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7.45
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2.08
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amortization of purchased intangible assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          525
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          634
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Inventory step-up
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          67
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Costs related to regulatory actions taken in facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          49
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Equity compensation expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          15
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          12
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other COGS related adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          64
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          21
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          609
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          783
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="2">
          Gain on sales of business and long-lived assets
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (83)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Goodwill impairment charge
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          300
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Restructuring expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          354
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          228
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amortization of purchased intangible assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          87
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          97
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Equity compensation expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          62
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          59
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Acquisition and related expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          56
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Other R&amp;D expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Contingent consideration
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          55
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          161
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Legal settlements and loss contingencies
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,258)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          344
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairment of long-lived assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          980
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          156
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other operating related expenses (income)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          29
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          53
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          553
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7,280
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Operating income adjustments
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,162
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          8,063
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Financial expense
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          66
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (25)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Tax effect
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (368)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (438)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Impairment of equity investment&#8212;net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          94
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Minority interest
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (20)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (33)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Net income adjustments
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          934
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          7,569
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (4)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="26">
          <p style="margin-top: 0px; margin-bottom: 0px">
            For the six months ended June 30, 2018, and 2017, no account was
            taken of the potential dilution of the accrued dividend to
            mandatory
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            convertible preferred shares amounting to $130 million, since it
            had an anti-dilutive effect on loss per share.
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (5)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="26">
          <p style="margin-top: 0px; margin-bottom: 0px">
            The non-GAAP weighted average number of shares was 1,020 and 1,017
            million for the six months ended June 30, 2018 and 2017
            respectively.
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            For the six months ended June 30, 2018, the mandatory convertible
            preferred shares amounting to 60 million weighted
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            average shares had an anti-dilutive effect on earnings per share
            and were therefore excluded from the outstanding shares
            calculation. Non-GAAP
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            earnings per share can be reconciled with GAAP earnings per share
            by dividing each of the amounts included in footnotes 1-4
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            above by the applicable weighted average share number.
          </p>
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="19">
          <b>Segment Information</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>North America</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Europe</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>International Markets</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended June 30,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended June 30,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Three months ended June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,263
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,169
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,328
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,295
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          789
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          885
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,203
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,058
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          731
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          692
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          328
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          400
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          R&amp;D expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          182
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          280
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          73
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          105
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          25
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          S&amp;M expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          296
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          392
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          237
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          296
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          130
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          187
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          G&amp;A expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          103
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          144
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          78
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          89
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          37
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          45
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other income
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (100)
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (8)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (17)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (3)
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          -
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Segment profit
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: center; padding-right: 0.0px">
          722
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,250
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          346
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px; padding-bottom: 4.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          219
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          139
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          121
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="19">
          <b>Segment Information</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>North America</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Europe</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>International Markets</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Six months ended June 30,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Six months ended June 30,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="5">
          <b>Six months ended June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="5">
          <b>(U.S. $ in millions)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Revenues
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,794
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,409
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,770
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,636
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,539
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,603
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Gross profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,635
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4,138
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,528
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,426
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          641
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          692
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          R&amp;D expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          370
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          547
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          146
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          211
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          49
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          94
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          S&amp;M expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          601
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          833
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          492
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          575
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          264
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          345
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          G&amp;A expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          229
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          283
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          169
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          168
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          78
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          93
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Other income
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (202)
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (81)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (15)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (11)
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (1)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Segment profit
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,637
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          2,556
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          723
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px; padding-bottom: 4.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          487
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          261
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          161
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
        </td>
        <td colspan="4">

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="5">
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Reconciliation of our segment profit</b> <b>to consolidated
            income before income taxes</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="4">
          <b>Three months ended</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="4">
          <b>June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="4">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          North America profit
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          722
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,250
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Europe profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          346
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          219
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          International Markets profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          139
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          121
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Total segment profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,207
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,590
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Profit of other activities
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          31
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          7
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,238
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,597
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amounts not allocated to segments:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Amortization
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          302
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          411
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Other asset impairments, restructuring and other items
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          715
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          419
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Goodwill impairment
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          120
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Loss from divestitures, net of divestitures related costs
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          10
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Inventory step-up
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Other R&amp;D expenses
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          21
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Costs related to regulatory actions taken in facilities
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          4
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          15
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Legal settlements and loss contingencies
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          20
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          324
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Other unallocated amounts
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          81
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          44
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Consolidated operating income
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (14)
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (5,740)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Financial expenses - net
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          236
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          238
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Consolidated income before income taxes
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (250)
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5,978)
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="8">
          <b>Reconciliation of our segment profit to consolidated income
          before income taxes</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="6">
          <b>Six months ended</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="6">
          <b>June 30,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="6">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          North America profit
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,637
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,556
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Europe profit
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          723
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          487
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          International Markets profit
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          261
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          161
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Total segment profit
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,621
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,204
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Profit of other activities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          52
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          14
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,673
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          3,218
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Amounts not allocated to segments:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          612
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          731
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left" colspan="3">
          Other asset impairments, restructuring and other items
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,422
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          659
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Goodwill impairment
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          300
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          6,100
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Gain on divestitures, net of divestitures related costs
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (83)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Inventory step-up
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          -
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          67
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Other R&amp;D expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Costs related to regulatory actions taken in facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          5
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          49
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Legal settlements and loss contingencies
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (1,258)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          344
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 35.0px; text-align: left">
          Other unallocated amounts
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          142
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          87
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Consolidated operating income
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          1,511
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          (4,845)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 2.0px">
          Financial expenses - net
        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          507
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-width: 1.0pt; border-bottom-color: black; border-bottom-style: solid">
          &#160;
        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: right; padding-right: 0.0px">
          445
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; padding-bottom: 4.0px">
          Consolidated income before income taxes
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          1,004
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="border-bottom-width: 2.25pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: double; text-align: right; padding-right: 0.0px">
          (5,290)
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="11">
          <b>Revenues by Activity and Geographical Area</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="11">
          (Unaudited)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Three months ended</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2017</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="9">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>North America segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generics medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          947
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,331
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (29%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          464
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          859
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (46%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Bendeka and Trenda
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          160
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          163
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (2%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          ProAir
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          115
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          123
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (7%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          QVAR
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          30
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          98
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (69%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          AUSTEDO
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          44
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          NA
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          320
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          275
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          16%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Three months ended</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="9">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Europe segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generic medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          907
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          822
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          10%
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          140
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          138
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1%
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Respiratory products
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          106
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          84
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Three months ended</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="9">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>International Markets segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generics medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          537
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          604
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (11%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          22
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          26
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (15%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          154
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          135
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14%
        </td>
      </tr>
    </table>
    </div>
    <div style="width: 100%; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; width: 100%; margin-bottom: 10.0px; font-family: Times New Roman" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="10">
          <b>Revenues by Activity and Geographical Area</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="10">
          (Unaudited)
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Six months ended</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2017</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="8">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>North America segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generics medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,035
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          2,746
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (26%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          940
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,656
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (43%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Bendeka and Trenda
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          341
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          319
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          7%
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          ProAir
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          245
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          244
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          &#167;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          QVAR
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          137
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          181
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (24%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          AUSTEDO
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          74
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1
        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center">
          NA
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          651
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          570
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Six months ended</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2017</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="8">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>Europe segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generic medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,904
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,672
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          14%
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          293
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          290
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1%
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Respiratory products
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          219
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          168
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          30%
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>Six months ended</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="border-bottom-width: 1.0pt; border-bottom-color: black; padding-left: 0.0px; border-bottom-style: solid; text-align: center" colspan="7">
          <b>June 30,</b>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center; padding-bottom: 2.0px">
          <b>Percentage</b>

          <p style="margin-top: 0px; margin-bottom: 0px">
            &#160;
          </p>
          <p style="margin-top: 0px; margin-bottom: 0px">
            <b>Change</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="2">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="border-bottom-width: 1.0pt; border-bottom-color: black; white-space: nowrap; padding-left: 0.0px; border-bottom-style: solid; text-align: center; padding-right: 0.0px" colspan="3">
          <b>2017</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: center; padding-right: 0.0px; padding-bottom: 2.0px">
          <b>2017-2018</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="8">
          <b>(U.S.$ in millions)</b>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <b>International Markets segment</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Generics medicines
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,025
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          1,090
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (6%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          COPAXONE
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          38
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          47
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          (19%)
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Distribution
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          307
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          260
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-left: 0.0px; text-align: right; padding-right: 0.0px">
          18%
        </td>
      </tr>
    </table>
    </div>
    <p>

    </p>
    <p>
      CONTACT:<br>Teva Pharmaceutical Industries Ltd.<br>IR Contacts:<br>Kevin
      C. Mannix, 215-591-8912<br>or<br>Ran Meir, 972 (3) 926-7516<br>or<br>PR
      Contacts:<br>United States:<br>Elizabeth DeLuca, 267-468-4329<br>or<br>Israel:<br>Yonatan
      Beker, 972 (54) 888 5898
    </p>
    <p>

    </p>
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</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
