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Revenue from contracts with customers | 12 Months Ended
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Dec. 31, 2019
Revenue from contracts with customers | NOTE 3—Revenue from contracts with customers: On January 1, 2018, Teva adopted the new revenue standard to all contracts using the modified retrospective method. The cumulative initial effect of applying the new revenue standard was immaterial. Revenue recognition prior to and following the adoption of the new revenue standard See note 1 for a summary of the significant accounting policies. Disaggregation of revenue The following table disaggregates Teva’s revenues by major revenue streams. For additional information on disaggregation of revenues, see note 19.
|  | Year ended December 31, 201 9 |
|  | North America |  |  | Europe |  |  | International Markets |  |  | Other activities |  |  | Total |
|  | (U.S. $ in millions) |
Sale of goods |  |  | 6,941 |  |  |  | 4,770 |  |  |  | 2,045 |  |  |  | 754 |  |  |  | 14,510 |
Licensing arrangements |  |  | 109 |  |  |  | 29 |  |  |  | 4 |  |  |  | 5 |  |  |  | 147 |
Distribution |  |  | 1,492 |  |  |  | 2 |  |  |  | 20 |  |  |  | — |  |  |  | 1,514 |
Other |  |  | § |  |  |  | (6 | ) |  |  | 177 |  |  |  | 545 |  |  |  | 716 |
|  | $ | 8,542 |  |  | $ | 4,795 |  |  | $ | 2,246 |  |  | $ | 1,304 |  |  | $ | 16,887 |
|  | Year ended December 31, 201 8 |
|  | North America |  |  | Europe |  |  | International Markets |  |  | Other activities |  |  | Total |
|  | (U.S. $ in millions) |
Sale of goods |  |  | 7,838 |  |  |  | 5,153 |  |  |  | 2,151 |  |  |  | 739 |  |  |  | 15,881 |
Licensing arrangements |  |  | 111 |  |  |  | 23 |  |  |  | 22 |  |  |  | 9 |  |  |  | 165 |
Distribution |  |  | 1,347 |  |  |  | 7 |  |  |  | 19 |  |  |  | — |  |  |  | 1,373 |
Other |  |  | 1 |  |  |  | 3 |  |  |  | 230 |  |  |  | 618 |  |  |  | 852 |
|  | $ | 9,297 |  |  | $ | 5,186 |  |  | $ | 2,422 |  |  | $ | 1,366 |  |  | $ | 18,271 |
|  | Year ended December 31, 201 7 |
|  | North America |  |  | Europe |  |  | International Markets |  |  | Other activities |  |  | Total |
|  | (U.S. $ in millions) |
Sale of goods |  |  | 10,706 |  |  |  | 5,244 |  |  |  | 2,558 |  |  |  | 748 |  |  |  | 19,256 |
Licensing arrangements |  |  | 281 |  |  |  | 3 |  |  |  | 38 |  |  |  | 5 |  |  |  | 327 |
Distribution |  |  | 1,153 |  |  |  | 214 |  |  |  | 17 |  |  |  | — |  |  |  | 1,384 |
Other |  |  | 1 |  |  |  | 5 |  |  |  | 250 |  |  |  | 630 |  |  |  | 886 |
|  | $ | 12,141 |  |  | $ | 5,466 |  |  | $ | 2,863 |  |  | $ | 1,383 |  |  | $ | 21,853 |
§ | Represents an amount less than $1 million .
The financial data presented in the tables above with respect to prior periods have been revised to reflect a revision in the presentation of net revenues and cost of sales in the consolidated financial statements. See note 1b. Variable consideration Variable consideration mainly includes SR&A, comprised of rebates (including Medicaid and other governmental program discounts), chargebacks, returns and other promotional (including shelf stock adjustments) items. Provisions for prompt payment discounts are netted against trade receivables. The Company recognizes these provisions at the time of sale and adjusts them if the actual amounts differ from the estimated provisions. For description of the nature of each deduction and how provisions are estimated see n ote 1. SR&A to U.S. customers comprised approximately 83% of the Company’s total SR&A as of December 31, 2019, with the remaining balance primarily in Canada and Germany. The changes in SR&A for third-party sales for the period ended December 31, 2018 and 2019 were as follows:
|  | Sales Reserves and Allowances |  |  |  |
|  | Reserves included in Accounts Receivable, net |  |  | Rebates |  |  | Medicaid and other governmental allowances |  |  | Chargebacks |  |  | Returns |  |  | Other |  |  | Total reserves included in Sales Reserves and Allowances |  |  | Total |
|  | (U.S. $ in millions) |
Balance at January 1, 2018 |  | $ | 196 |  |  | $ | 3,077 |  |  | $ | 1,908 |  |  | $ | 1,849 |  |  | $ | 780 |  |  | $ | 267 |  |  | $ | 7,881 |  |  | $ | 8,077 |
Provisions related to sales made in current year period |  |  | 514 |  |  |  | 6,572 |  |  |  | 1,284 |  |  |  | 10,206 |  |  |  | 442 |  |  |  | 417 |  |  |  | 18,899 |  |  | $ | 19,413 |
Provisions related to sales made in prior periods |  |  | 3 |  |  |  | (14 | ) |  |  | 24 |  |  |  | — |  |  |  | 28 |  |  |  | (30 | ) |  |  | (62 | ) |  | $ | (59 | )
Credits and payments |  |  | (538 | ) |  |  | (6,596 | ) |  |  | (1,850 | ) |  |  | (10,519 | ) |  |  | (606 | ) |  |  | (463 | ) |  |  | (19,942 | ) |  | $ | (20,480 | )
Translation differences |  |  | — |  |  |  | (33 | ) |  |  | (5 | ) |  |  | (6 | ) |  |  | (6 | ) |  |  | (15 | ) |  |  | (65 | ) |  | $ | (65 | )
Balance at December 31, 2018 |  | $ | 175 |  |  | $ | 3,006 |  |  | $ | 1,361 |  |  | $ | 1,530 |  |  | $ | 638 |  |  | $ | 176 |  |  | $ | 6,711 |  |  | $ | 6,886 |
Provisions related to sales made in current year period |  |  | 383 |  |  |  | 5,552 |  |  |  | 976 |  |  |  | 9,565 |  |  |  | 281 |  |  |  | 394 |  |  |  | 16,767 |  |  | $ | 17,150 |
Provisions related to sales made in prior periods |  |  | — |  |  |  | (92 | ) |  |  | (151 | ) |  |  | (17 | ) |  |  | 77 |  |  |  | (6 | ) |  |  | (189 | ) |  | $ | (189 | )
Credits and payments |  |  | (471 | ) |  |  | (5,570 | ) |  |  | (1,076 | ) |  |  | (9,736 | ) |  |  | (360 | ) |  |  | (392 | ) |  |  | (17,134 | ) |  | $ | (17,605 | )
Translation differences |  |  | — |  |  |  | (1 | ) |  |  | (1 | ) |  |  | 1 |  |  |  | 1 |  |  |  | 4 |  |  |  | 4 |  |  | $ | 4 |
Balance at December 31, 201 9 |  | $ | 87 |  |  | $ | 2,895 |  |  | $ | 1,109 |  |  | $ | 1,342 |  |  | $ | 637 |  |  | $ | 176 |  |  | $ | 6,159 |  |  | $ | 6,246 |

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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -URI http://asc.fasb.org/topic&trid=49130388 + Details
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Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration