Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives (Tables)

6 Months Ended

Jun. 28, 2026

Restructuring and Related Activities [Abstract]

Schedule of Acquisitions and Cost-Reduction/Productivity Initiatives


The following summarizes costs and credits for acquisitions and cost-reduction/productivity initiatives:
	Three Months Ended				Six Months Ended
(MILLIONS)	June 28, 2026		June 29, 2025		June 28, 2026		June 29, 2025
Restructuring charges/(credits):
Employee terminations	$	354	$	(148)	$	369	$	236
Asset impairments	54		44		82		217
Exit costs	10		30		17		94
Restructuring charges/(credits)(a)	419		(74)		468		547

Integration costs and other(b)	38		56		89		113
Restructuring charges and certain acquisition-related costs	457		(18)		557		660
Net periodic benefit costs/(credits) recorded in Other (income)/deductions––net	(5)		(9)		(2)		(68)
Inventory write-offs––recorded in Cost of sales	46		—		46		—




Additional depreciation––asset restructuring recorded in Cost of sales(c)	10		4		14		7
Implementation costs recorded in our condensed consolidated statements of operations as follows(d):
Cost of sales	25		26		40		46
Selling, informational and administrative expenses	56		14		91		20
Research and development expenses	63		39		102		62

Total implementation costs	144		78		233		128
Total costs associated with acquisitions and cost-reduction/productivity initiatives	$	653	$	54	$	848	$	727

(a)Primarily represents cost-reduction initiatives. Amounts associated with our Biopharma segment: (i) charges of $390 million for the three months ended June 28, 2026 (including charges of $417 million for our Realigning our Cost Base Program and credits of $29 million for our Manufacturing Optimization Program), (ii) charges of $421 million for the six months ended June 28, 2026 (including charges of $464 million for our Realigning our Cost Base Program and credits of $52 million for our Manufacturing Optimization Program), (iii) credits of $406 million for the three months ended June 29, 2025 (including credits of $408 million for our Manufacturing Optimization Program and $25 million for our Realigning our Cost Base Program) and (iv) charges of $211 million for the six months ended June 29, 2025 (including charges of $562 million for our Realigning our Cost Base Program and credits of $412 million for our Manufacturing Optimization Program). For 2025, Employee terminations included revisions of estimates of previously recorded accruals for severance benefits, driven in large part by higher-than-expected voluntary attrition.

(b)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.

(c)Represents the impact of changes in the estimated useful lives of assets involved in restructuring actions.

(d)Represents 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 Costs		Accrual
Balance, December 31, 2025(a)	$	1,783	$	—	$	127	$	1,910
Provision	369		82		17		468
Utilization and other(b)	(577)		(82)		(36)		(695)
Balance, June 28, 2026(c)	$	1,575	$	—	$	107	$	1,682

(a)Included in Other current liabilities ($1.4 billion) and Other noncurrent liabilities ($466 million).

(b)Other activity includes adjustments for foreign currency translation that are not material to our condensed consolidated financial statements.

(c)Included in Other current liabilities ($972 million) and Other noncurrent liabilities ($710 million).