v3.22.2.2
Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives (Tables)
 9 Months Ended
Oct. 02, 2022
Restructuring and Related Activities [Abstract]  
Schedule of Acquisitions and Cost-Reduction/Productivity Initiatives
The following summarizes acquisitions and cost-reduction/productivity initiatives costs and credits:
Three Months EndedNine Months Ended
(MILLIONS)October 2,
2022		October 3,
2021		October 2,
2022		October 3,
2021
Restructuring charges/(credits):    
Employee terminations$158 $630 $293 $649 
Asset impairments17 10 44 7 
Exit costs/(credits)2 3 31 — 
Restructuring charges/(credits)(a)
177 643 368 656 
Transaction costs(b)
— — 42 — 
Integration costs and other(c)
22 3 170 11 
Restructuring charges and certain acquisition-related costs199 646 580 667 
Net periodic benefit costs/(credits) recorded in Other (income)/deductions––net
— (63)(5)(51)
Additional depreciation––asset restructuring recorded in our condensed consolidated statements of income as follows(d):
    
Cost of sales7 19 22 53 
Selling, informational and administrative expenses1 8 1 23 
Total additional depreciation––asset restructuring7 27 22 76 
Implementation costs recorded in our condensed consolidated statements of income as follows(e):
    
Cost of sales14 8 40 29 
Selling, informational and administrative expenses136 142 344 287 
Research and development expenses— — — 1 
Total implementation costs150 151 384 316 
Total costs associated with acquisitions and cost-reduction/productivity initiatives$357 $760 $982 $1,008 
(a)Primarily represents cost reduction initiatives. Restructuring charges/(credits) associated with Biopharma: charges of $62 million and $108 million for the three and nine months ended October 2, 2022, respectively, and charges of $616 million and $617 million for the three and nine months ended October 3, 2021, respectively.
(b)Represents external costs for banking, legal, accounting and other similar services.
(c)Represents external, incremental costs directly related to integrating acquired businesses, such as expenditures for consulting and the integration of systems and processes, and certain other qualifying costs. In the three and nine months ended October 2, 2022, integration costs and other were mostly related to our acquisition of Arena, including $138 million in payments to Arena employees in the first quarter of 2022 for the fair value of previously unvested long-term incentive awards. See Note 2A.
(d)Represents the impact of changes in the estimated useful lives of assets involved in restructuring actions.
(e)Represents external, incremental costs directly related to implementing our non-acquisition-related cost-reduction/productivity initiatives.
Schedule of Components and Changes in Restructuring Accruals
The following summarizes the components and changes in restructuring accruals:
(MILLIONS)Employee
Termination
Costs		Asset
Impairment
Charges		Exit CostsAccrual
Balance, December 31, 2021(a)
$1,014 $— $57 $1,071 
Provision293 44 31 368 
Utilization and other(b)
(447)(44)(80)(572)
Balance, October 2, 2022(c)
$859 $— $8 $867 
(a)Included in Other current liabilities ($816 million) and Other noncurrent liabilities ($255 million).
(b)Includes adjustments for foreign currency translation.
(c)Included in Other current liabilities ($758 million) and Other noncurrent liabilities ($110 million).