Document and Entity Information (USD $)	12 Months Ended
Document and Entity Information (USD $)	Dec. 31, 2013	Jan. 31, 2014	Jun. 30, 2013
Document Information [Line Items]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	FY
Trading Symbol	MDLZ
Entity Registrant Name	Mondelez International, Inc.
Entity Central Index Key	0001103982
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		1,700,976,286
Entity Public Float			$ 51,000,000,000

Consolidated Statements of Earnings (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Net revenues	$ 35,299	$ 35,015	$ 35,810
Cost of sales	22,189	21,939	22,710
Gross profit	13,110	13,076	13,100
Selling, general and administrative expenses	8,679	9,176	9,382
Asset impairment and exit costs	273	153	(5)
Gains on acquisition and divestitures, net	(30)	(107)
Amortization of intangibles	217	217	225
Operating income	3,971	3,637	3,498
Interest and other expense, net	1,579	1,863	1,618
Earnings from continuing operations before income taxes	2,392	1,774	1,880
Provision for income taxes	60	168	116
Earnings from continuing operations	2,332	1,606	1,764
Earnings from discontinued operations, net of income taxes	1,603	1,488	1,810
Net earnings	3,935	3,094	3,574
Noncontrolling interest	20	27	20
Net earnings attributable to Mondelez International	$ 3,915	$ 3,067	$ 3,554
Basic earnings per share attributable to Mondelez International:
Continuing operations	$ 1.30	$ 0.90	$ 0.99
Discontinued operations	$ 0.91	$ 0.83	$ 1.02
Net earnings attributable to Mondelez International	$ 2.21	$ 1.73	$ 2.01
Diluted earnings per share attributable to Mondelez International:
Continuing operations	$ 1.29	$ 0.88	$ 0.99
Discontinued operations	$ 0.90	$ 0.83	$ 1.02
Net earnings attributable to Mondelez International	$ 2.19	$ 1.71	$ 2.01
Dividends declared	$ 0.54	$ 1.00	$ 1.16

Consolidated Statements of Comprehensive Earnings (USD $)
In Millions, unless otherwise specified

12 Months Ended

Dec. 31, 2013

Dec. 31, 2012

Dec. 31, 2011

Net earnings

$ 3,935

$ 3,094

$ 3,574

Currency translation adjustment:

Translation adjustment

(1,080)

759

(1,245)

Tax (expense) / benefit

(45)

Pension and other benefits:

Net actuarial gain / (loss) arising during period

713

(2,266)

(2,333)

Reclassification of (gains) / losses into net earnings:

Amortization of experience losses and prior service costs

193

^[1]

414

361

Settlement losses

^[1]

135

113

Tax (expense) / benefit

(244)

486

768

Derivatives accounted for as hedges:

Net derivative (losses) / gains

169

(412)

(709)

Reclassification of (gains) / losses into net earnings

602

Tax (expense) / benefit

(86)

(87)

240

Total other comprehensive earnings / (losses)

(223)

(330)

(2,757)

Comprehensive earnings / (losses)

3,712

2,764

817

less: Comprehensive earnings / (losses) attributable to noncontrolling interests

Comprehensive earnings / (losses) attributable to Mondelez International

$ 3,692

$ 2,731

$ 807

[1]	These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans

Consolidated Balance Sheets (USD $) In Millions, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
ASSETS
Cash and cash equivalents	$ 2,664	$ 4,475
Receivables (net of allowances of $86 in 2013 and $118 in 2012)	5,403	6,129
Inventories, net	3,743	3,741
Deferred income taxes	517	593
Other current assets	889	735
Total current assets	13,216	15,673
Property, plant and equipment, net	10,247	10,010
Goodwill	25,597	25,740
Intangible assets, net	21,994	22,552
Prepaid pension assets	54	18
Other assets	1,449	1,484
TOTAL ASSETS	72,557	75,477
LIABILITIES
Short-term borrowings	1,636	274
Current portion of long-term debt	1,003	3,577
Accounts payable	5,345	4,642
Accrued marketing	2,318	2,484
Accrued employment costs	1,043	1,038
Other current liabilities	3,051	2,855
Total current liabilities	14,396	14,870
Long-term debt	14,482	15,574
Deferred income taxes	6,282	6,235
Accrued pension costs	1,962	2,885
Accrued postretirement health care costs	412	451
Other liabilities	2,491	3,046
TOTAL LIABILITIES	40,025	43,061
Commitments and Contingencies (Note 12)
EQUITY
Common Stock, no par value (1,996,537,778 shares issued as of December 31, 2013 and 2012)
Additional paid-in capital	31,396	31,548
Retained earnings	13,419	10,551
Accumulated other comprehensive losses	(2,889)	(2,666)
Treasury stock, at cost (291,141,184 shares at December 31, 2013 and 218,541,936 shares at December 31, 2012	(9,553)	(7,157)
Total Mondelez International Shareholders' Equity	32,373	32,276
Noncontrolling interest	159	140
TOTAL EQUITY	32,532	32,416
TOTAL LIABILITIES AND EQUITY	$ 72,557	$ 75,477

Consolidated Balance Sheets (Parenthetical) (USD $) In Millions, except Share data, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Receivables, allowances	$ 86	$ 118
Common Stock, no par value
Common Stock, shares issued	1,996,537,778	1,996,537,778
Treasury stock, shares	291,141,184	218,541,936

Consolidated Statements of Equity (USD $) In Millions, unless otherwise specified	Total	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Earnings/(Losses)	Treasury Stock	Noncontrolling Interest
Balances at Dec. 31, 2010	$ 35,967	$ 31,231	$ 16,647	$ (3,893)	$ (8,126)	$ 108
Comprehensive earnings / (losses):
Net earnings	3,574		3,554			20
Other comprehensive earnings / (losses), net of income taxes	(2,757)			(2,747)		(10)
Exercise of stock options and issuance of other stock awards	664	100	(86)		650
Cash dividends declared ($0.54 per share for 2013, $1.00 per share for 2012 and $1.16 per share for 2011)	(2,048)		(2,048)
Dividends paid on noncontrolling interest and other activities	(18)	(13)		2		(7)
Balances at Dec. 31, 2011	35,382	31,318	18,067	(6,638)	(7,476)	111
Comprehensive earnings / (losses):
Net earnings	3,094		3,067			27
Other comprehensive earnings / (losses), net of income taxes	(330)			(336)		6
Exercise of stock options and issuance of other stock awards	407	141	(53)		319
Cash dividends declared ($0.54 per share for 2013, $1.00 per share for 2012 and $1.16 per share for 2011)	(1,775)		(1,775)
Spin-Off of Kraft Foods Group, Inc.	(4,358)	89	(8,755)	4,308
Dividends paid on noncontrolling interest and other activities	(4)					(4)
Balances at Dec. 31, 2012	32,416	31,548	10,551	(2,666)	(7,157)	140
Comprehensive earnings / (losses):
Net earnings	3,935		3,915			20
Other comprehensive earnings / (losses), net of income taxes	(223)			(223)
Exercise of stock options and issuance of other stock awards	256	10	(97)		343
Common Stock repurchased	(2,900)	(161)			(2,739)
Cash dividends declared ($0.54 per share for 2013, $1.00 per share for 2012 and $1.16 per share for 2011)	(950)		(950)
Dividends paid on noncontrolling interest and other activities	(2)	(1)				(1)
Balances at Dec. 31, 2013	$ 32,532	$ 31,396	$ 13,419	$ (2,889)	$ (9,553)	$ 159

Consolidated Statements of Cash Flows (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
CASH PROVIDED BY / (USED IN) OPERATING ACTIVITIES
Net earnings	$ 3,935	$ 3,094	$ 3,574
Adjustments to reconcile net earnings to operating cash flows:
Depreciation and amortization	1,077	1,345	1,485
Stock-based compensation expense	128	162	181
Deferred income tax (benefit) / provision	(64)	369	(351)
Net gain on acquisition and divestitures	(30)	(107)
Asset impairments	97	126
Benefit from indemnification resolution	(385)
Loss on extinguishment of debt	608
Other non-cash items, net	(19)	44	82
Change in assets and liabilities, net of acquisitions and divestitures:
Receivables, net	492	(599)	(115)
Inventories, net	(116)	(129)	(556)
Accounts payable	793	505	300
Other current assets	(42)	217	(374)
Other current liabilities	62	(1,160)	648
Change in pension and postretirement assets and liabilities, net	(126)	56	(354)
Net cash provided by operating activities	6,410	3,923	4,520
CASH PROVIDED BY / (USED IN) INVESTING ACTIVITIES
Capital expenditures	(1,622)	(1,610)	(1,771)
Acquisitions, net of cash received	(119)
Proceeds from divestitures, net of disbursements	60	200
Cash received from / (transferred to) Kraft Foods Group related to the Spin-Off	55	(410)
Proceeds from sale of property, plant and equipment and other	143	133	43
Net cash used in investing activities	(1,483)	(1,687)	(1,728)
CASH PROVIDED BY / (USED IN) FINANCING ACTIVITIES
Issuances of commercial paper, maturities greater than 90 days	1,329	1,579	1,125
Repayments of commercial paper, maturities greater than 90 days	(607)	(1,581)	(1,228)
Net issuance / (repayments) of other short-term borrowings, net	655	95	(462)
Long-term debt proceeds	3,248	6,775	36
Long-term debt repaid	(7,559)	(4,495)	(1,114)
Repurchase of Common Stock	(2,900)
Dividends paid	(943)	(2,058)	(2,043)
Other	132	(111)	511
Net cash (used in) / provided by financing activities	(6,645)	204	(3,175)
Effect of exchange rate changes on cash and cash equivalents	(93)	61	(124)
Cash and cash equivalents:
Increase / (decrease)	(1,811)	2,501	(507)
Balance at beginning of period	4,475	1,974	2,481
Balance at end of period	2,664	4,475	1,974
Cash paid:
Interest	1,124	2,406	2,031
Income taxes	$ 760	$ 1,057	$ 932

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2013

Summary of Significant Accounting Policies

Note 1. Summary of Significant Accounting Policies

Description of Business:

Mondelēz International, Inc. (formerly Kraft Foods Inc.) was incorporated in 2000 in the Commonwealth of Virginia. Mondelēz International, Inc., through its subsidiaries (collectively “Mondelēz International,” “we,” “us” and “our”), sells food and beverage products to consumers in approximately 165 countries.

Discontinued Operation:

On October 1, 2012, we completed the spin-off of our former North American grocery business, Kraft Foods Group, Inc. (“Kraft Foods Group”) by distributing 100% of the outstanding shares of common stock of Kraft Foods Group to holders of our Common Stock (the “Spin-Off”). We retained our global snacks business along with other food and beverage categories. The divested Kraft Foods Group business is presented as a discontinued operation on the consolidated statements of earnings for all periods presented. The Kraft Foods Group other comprehensive earnings, changes in equity and cash flows are included within our consolidated statements of comprehensive earnings, equity and cash flows through October 1, 2012. See Note 2, Divestitures and Acquisition, for additional information.

Segment Reorganization:

Effective January 1, 2013, we reorganized our operations and management into five reportable operating segments:

•

Latin America (formerly in our Developing Markets segment)

•

Asia Pacific (formerly in our Developing Markets segment)

•

Eastern Europe, Middle East & Africa (“EEMEA”) (formerly in our Developing Markets segment)

•

Europe (now includes certain European operations previously managed within the EEMEA segment)

•

North America

We changed and flattened our operating structure to reflect our greater concentration of operations in high-growth emerging markets and to further enhance collaboration across regions, expedite decision making and drive greater efficiencies to fuel our growth. Coincident with the change in segment structure, segment operating income for our North America region also changed to include all U.S. pension plan expenses, a portion of which was previously excluded from segment operating results evaluated by management as the costs were centrally managed. We have presented our segment results reflecting these changes for all periods presented.

Principles of Consolidation:

The consolidated financial statements include Mondelēz International, as well as our wholly owned and majority owned subsidiaries. We account for investments in which we exercise significant influence (20%-50% ownership interest) under the equity method of accounting. We use the cost method of accounting for investments in which we have an ownership interest of less than 20% and in which we do not exercise significant influence. Non-controlling interest in subsidiaries consists of the equity interest of non-controlling investors in consolidated subsidiaries of Mondelēz International. All intercompany transactions are eliminated.

Accounting Calendar Changes:

In 2013, the majority of our operating subsidiaries report results as of the last calendar day of the period. In connection with moving to this common consolidation date, in the first quarter of 2013, we changed the consolidation date for our Europe segment from the last Saturday of each period to the last calendar day of each period. The change in the consolidation date for our Europe segment had a favorable impact of $37 million on net revenues and $6 million on operating income in 2013. At this time, primarily our North American operating subsidiaries continue to report results as of the last Saturday of the period.

Prior to these changes, in 2012 and 2011, the majority of our operating subsidiaries reported results as of the last Saturday of the year. In 2011, the last Saturday of the year also fell on December 31, and so our 2011 results included one more week of operating results (“53^rd week”) than 2013 or 2012, which each had 52 weeks. In 2011, we also changed the consolidation dates for certain operations of our Europe, Latin America and EEMEA segments. Previously, these operations primarily reported results two weeks prior to the end of the period. Subsequent to the 2011 changes, the majority of our Europe segment reported results as of the last Saturday of each period and certain operations within our Latin America and EEMEA segments began to report results as of the last calendar day of the period or the last Saturday of the period. These changes and the 53^rd week in 2011 resulted in a favorable impact to net revenues of $679 million and a favorable impact of $93 million to operating income in 2011.

We believe these changes are preferable and will improve business planning and financial reporting by better matching the close dates of the operating subsidiaries and bringing the reporting dates closer to the period-end date. As the effect to prior-period results was not material, we have not revised prior-period results.

Revision of Financial Statements:

In finalizing our 2013 results, we identified certain out-of-period, non-cash income tax-related errors in prior interim and annual periods. These errors are not material to any previously reported financial results; however, we have revised our first through third quarter 2013 and prior-year financial statements in these consolidated financial statements and accompanying notes to reflect these items in the appropriate periods. The net effect of the revision was to lower tax expense in years prior to 2013. The impact of the revision to 2013 results through the third quarter was a $59 million reduction of net earnings related to both current and prior-year corrections. The impact of the revision to fiscal years prior to 2013 was an increase in cumulative net earnings of $94 million.

We evaluated the cumulative impact of the errors on prior periods under the guidance in Accounting Standards Codification (“ASC”) 250-10, Accounting Changes and Error Corrections, and the guidance from the Securities Exchange Commission (“SEC”) in Staff Accounting Bulletin (“SAB”) No. 99, Materiality. We also evaluated the impact of correcting the errors through an adjustment to our financial statements under the guidance in ASC 250-10 relating to SAB No. 108, Considering the Effects of Prior Year Misstatements When Quantifying Misstatements in Current Year Financial Statements. We concluded that these errors were not material, individually or in the aggregate, to any of the prior reporting periods, and therefore, amendments of previously filed reports were not required. We plan to revise our quarterly results for 2013 when we file subsequent reports on Form 10-Q. Our revised quarterly financial data for the years ended December 31, 2013 and December 31, 2012 is presented in Note 18, Quarterly Financial Data (unaudited).

The effects of the prior period corrections on the annual consolidated financial statements are detailed below. For periods prior to January 1, 2011, our consolidated statements of equity reflect a $28 million cumulative correction to retained earnings as of January 1, 2011.

Consolidated Statement of Earnings


	For the Years Ended December 31,
	2012							2011
	Reported		Correction			Revised		Reported		Correction			Revised
	(in millions, except per share data)

Provision for income taxes		207		(39	)		168		143		(27	)		116
Earnings from continuing operations		1,567		39			1,606		1,737		27			1,764
Net earnings		3,055		39			3,094		3,547		27			3,574
Net earnings attributable to Mondelēz International		3,028		39			3,067		3,527		27			3,554
Net earnings attributable to Mondelēz International:
Per share, basic (continuing operations)	$	0.87	$	0.03		$	0.90	$	0.97	$	0.02		$	0.99
Per share, diluted (continuing operations)	$	0.86	$	0.02		$	0.88	$	0.97	$	0.02		$	0.99

Net earnings attributable to Mondelēz International:
Per share, basic	$	1.70	$	0.03		$	1.73	$	2.00	$	0.01		$	2.01
Per share, diluted	$	1.69	$	0.02		$	1.71	$	1.99	$	0.02		$	2.01

Consolidated Statement of Comprehensive Earnings


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction		Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27		3,574
Translation adjustment		791			(32	)		759			(1,245	)		–		(1,245	)
Total other comprehensive losses		(298	)		(32	)		(330	)		(2,757	)		–		(2,757	)
Comprehensive earnings		2,757			7			2,764			790			27		817
Comprehensive earnings attributable to Mondelēz International		2,724			7			2,731			780			27		807

Consolidated Balance Sheet


	As of December 31,
	2012
	Reported			Correction			Revised
	(in millions)
Current deferred income taxes		542			51			593
Total current assets		15,622			51			15,673
Goodwill		25,801			(61	)		25,740
Other assets		1,475			9			1,484
Total Assets		75,478			(1	)		75,477
Other current liabilities		2,858			(3	)		2,855
Total current liabilities		14,873			(3	)		14,870
Non-current deferred income taxes		6,302			(67	)		6,235
Other liabilities		3,038			8			3,046
Total Liabilities		43,123			(62	)		43,061
Retained earnings		10,457			94			10,551
Accumulated other comprehensive losses		(2,633	)		(33	)		(2,666	)
Total Mondelēz International Shareholders’ Equity		32,215			61			32,276

Consolidated Statements of Cash Flows


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction			Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27			3,574
Deferred income tax (benefit) / provision		410			(41	)		369			(351	)		–			(351	)
Other non-cash expense, net		48			(4	)		44			81			1			82
Change in other current liabilities		(1,166	)		6			(1,160	)		676			(28	)		648
Net cash provided by operating activities		3,923			–			3,923			4,520			–			4,520

Use of Estimates:

We prepare our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which require us to make estimates and assumptions that affect a number of amounts in our consolidated financial statements. Significant accounting policy elections, estimates and assumptions include, among others, pension and benefit plan assumptions, valuation assumptions of goodwill and intangible assets, useful lives of long-lived assets, marketing program accruals, insurance and self-insurance reserves and income taxes. We base our estimates on historical experience and other assumptions that we believe are reasonable. If actual amounts differ from estimates, we include the revisions in our consolidated results of operations in the period the actual amounts become known. Historically, the aggregate differences, if any, between our estimates and actual amounts in any year have not had a material effect on our consolidated financial statements.

Foreign Currency, including Highly Inflationary Accounting:

We translate the results of operations of our foreign subsidiaries using average exchange rates during each period, whereas balance sheet accounts are translated using exchange rates at the end of each period. We record currency translation adjustments as a component of equity. Realized exchange gains and losses on transactions are recorded in earnings.

As prescribed by U.S. GAAP for highly inflationary economies, we began accounting for the results of our Venezuelan subsidiaries in U.S. dollars on January 1, 2010. We use the official Venezuelan bolivar exchange rate to translate the results of our Venezuelan operations into U.S. dollars. During 2012 and 2011, we recorded immaterial foreign currency impacts related to our highly inflationary accounting for Venezuela.

On February 8, 2013, the Venezuelan government announced the devaluation of the official Venezuelan bolivar exchange rate from 4.30 bolivars to 6.30 bolivars to the U.S. dollar and the elimination of the second-tier, government-regulated SITME exchange rate previously applied to value certain types of transactions. In connection with the announced changes, we recorded a $54 million unfavorable foreign currency charge related to the devaluation of our net monetary assets in Venezuela. The charge was recorded in selling, general and administrative expenses within our Latin America segment. We also incurred net unfavorable devaluation-related foreign currency impacts within our pre-tax earnings of $67 million during the year ended December 31, 2013 related to translating the earnings of our Venezuelan subsidiary to the U.S. dollar at the new exchange rate.

On March 19, 2013, the Venezuelan government announced a new auction-based currency transaction program referred to as SICAD. SICAD allows entities in specific sectors to bid for U.S. dollars to be used for specified import transactions. The minimum exchange rate to be offered under SICAD is 6.30 bolivars to the U.S. dollar. As of the week ended December 30, 2013, the published SICAD rate offered was 11.30 bolivars to the U.S. dollar. To date, availability of U.S. dollars at either exchange rate continues to be limited.

On January 24, 2014, the Venezuelan government announced the expansion of the SICAD auction program to prospective dividends and royalties and new profit margin controls. As our Venezuelan subsidiaries declare dividends or pay royalties in the future, based on the availability of U.S. dollars exchanged under the SICAD program, the realized exchange losses on payments made in U.S. dollars would be recognized in earnings. On profit level controls, we continue to evaluate the announced measures and will look to protect net revenues and profitability.

In light of the current difficult macroeconomic environment in Venezuela, we continue to monitor and actively manage our investment and exposures in Venezuela. In 2013, our net revenues in Venezuela were approximately $800 million. At December 31, 2013, our net monetary assets denominated in the Venezuelan bolivar were $257 million in U.S. dollars applying the official exchange rate. If the official exchange rate were to devalue further or if the currently less favorable SICAD exchange rate were extended to apply to a greater portion of our net monetary assets in Venezuela, we could recognize a material devaluation charge in earnings. At this time, this has not occurred and we continue to monitor the currency developments in Venezuela and to take protective measures against currency devaluation such as converting monetary assets into non-monetary assets which we can use in our business.

On January 23, 2014, the Central Bank of Argentina adjusted its currency policy, removed its currency stabilization measures and allowed the Argentine peso exchange rate to float relative to the U.S. dollar. The value of the Argentine peso relative to the U.S. dollar fell by 15% on that day and further volatility in the exchange rate is likely. At this time, based on the current state of Argentine currency rules and regulations, the business environment remains challenging, however, we do not expect the existing controls and restrictions to have a material adverse effect on our business, financial condition or results of operations. In 2013, our net revenues in Argentina were approximately $800 million. We continue to monitor developments in Argentina and explore additional measures to protect our operations and net monetary position there.

Cash and Cash Equivalents:

Cash and cash equivalents include demand deposits with banks and all highly liquid investments with original maturities of three months or less.

Inventories:

Inventories are stated at the lower of cost or market. We value all our inventories using the average cost method. We also record inventory allowances for overstocked and obsolete inventories due to ingredient and packaging changes.

Long-Lived Assets:

Property, plant and equipment are stated at historical cost and depreciated by the straight-line method over the estimated useful lives of the assets. Machinery and equipment are depreciated over periods ranging from 3 to 20 years and buildings and building improvements over periods up to 40 years.

We review long-lived assets, including amortizable intangible assets, for impairment when conditions exist that indicate the carrying amount of the assets may not be fully recoverable. We perform undiscounted operating cash flow analyses to determine if an impairment exists. When testing for impairment of assets held for use, we group assets and liabilities at the lowest level for which cash flows are separately identifiable. If an impairment is determined to exist, the loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less costs of disposal.

Software Costs:

We capitalize certain computer software and software development costs incurred in connection with developing or obtaining computer software for internal use. Capitalized software costs are included in property, plant and equipment and amortized on a straight-line basis over the estimated useful lives of the software, which do not exceed seven years.

Goodwill and Non-Amortizable Intangible Assets:

We test goodwill and non-amortizable intangible assets for impairment at least annually on October 1. We assess goodwill impairment risk by first performing a qualitative review of entity-specific, industry, market and general economic factors for each reporting unit. If significant potential goodwill impairment risk exists for a specific reporting unit, we apply a two-step quantitative test. The first step compares the reporting unit’s estimated fair value with its carrying value. We estimate a reporting unit’s fair value using a 20-year projection of discounted cash flows which incorporates planned growth rates, market-based discount rates and estimates of residual value. For reporting units within our North America and Europe geographic units, we used a market-based, weighted-average cost of capital of 6.6% to discount the projected cash flows of those operations. For our Latin America, Asia Pacific and EEMEA reporting units, we used a risk-rated discount rate of 9.6%. Estimating the fair value of individual reporting units requires us to make assumptions and estimates regarding our future plans, industry and economic conditions and our actual results and conditions may differ over time. If the carrying value of a reporting unit’s net assets exceeds its fair value, the second step is applied to measure the difference between the carrying value and implied fair value of goodwill. If the carrying value of goodwill exceeds its implied fair value, the goodwill is considered impaired and reduced to its implied fair value.

We test non-amortizable intangible assets for impairment by first performing a qualitative review by assessing events and circumstances that could affect the fair value or carrying value of the indefinite-lived intangible asset. If significant potential impairment risk exists for a specific non-amortizable intangible asset, we quantitatively test for impairment by comparing the fair value of each intangible asset with its carrying value. Fair value of non-amortizable intangible assets is determined using planned growth rates, market-based discount rates and estimates of royalty rates. If the carrying value of the asset exceeds its fair value, the intangible asset is considered impaired and is reduced to its estimated fair value. We record intangible asset impairment charges within asset impairment and exit costs.

Definite-lived intangible assets are amortized over their estimated useful lives and evaluated for impairment as long-lived assets.

Insurance and Self-Insurance:

We use a combination of insurance and self-insurance for a number of risks, including workers’ compensation, general liability, automobile liability, product liability and our obligation for employee healthcare benefits. We estimate the liabilities associated with these risks by evaluating and making judgments about historical claims experience and other actuarial assumptions and the estimated impact on future results.

Revenue Recognition:

We recognize revenues when title and risk of loss pass to customers, which generally occurs upon shipment or delivery of goods. Revenues are recorded net of consumer incentives and trade promotions and include all shipping and handling charges billed to customers. Our shipping and handling costs are classified as part of cost of sales. A provision for product returns and allowances for bad debts is also recorded as reductions to revenues within the same period that the revenue is recognized.

Marketing and Research and Development:

We promote our products with advertising, consumer incentives and trade promotions. These programs include, but are not limited to, discounts, coupons, rebates, in-store display incentives and volume-based incentives. We expense advertising costs either in the period the advertising first takes place or as incurred. Consumer incentive and trade promotion activities are recorded as a reduction to revenues based on amounts estimated as being due to customers and consumers at the end of a period. We base these estimates principally on historical utilization and redemption rates. For interim reporting purposes, advertising and consumer incentive expenses are charged to operations as a percentage of volume, based on estimated volume and related expense for the full year. We do not defer costs on our year-end consolidated balance sheet and all marketing costs are recorded as an expense in the year incurred. Advertising expense was $1,721 million in 2013, $1,815 million in 2012 and $1,860 million in 2011. We expense product research and development costs as incurred. Research and development expense was $471 million in 2013, $462 million in 2012 and $511 million in 2011. We record marketing and research and development expenses within selling, general and administrative expenses.

Environmental Costs:

Throughout the countries in which we do business, we are subject to local, national and multi-national environmental laws and regulations relating to the protection of the environment. We have programs across our business units designed to meet applicable environmental compliance requirements.

In the United States, the laws and regulations include the Clean Air Act, the Clean Water Act, the Resource Conservation and Recovery Act and the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”). CERCLA imposes joint and severable liability on each potentially responsible party. As of December 31, 2013 and 2012, our subsidiaries were involved in one active proceeding in the U.S. under a state equivalent of CERCLA related to our current operations. As of December 31, 2013 and 2012, we had accrued an immaterial amount for environmental remediation. Based on information currently available, we believe that the ultimate resolution of the existing environmental remediation and our compliance with environmental laws and regulations will not have a material effect on our financial results.

Employee Benefit Plans:

We provide a range of benefits to our current and retired employees. Depending upon jurisdictions, tenure, presence of a union, job level and other factors, these include pension benefits, postretirement health care benefits and postemployment benefits, consisting primarily of severance. We provide pension coverage for certain employees of our non-U.S. subsidiaries through separate plans. Local statutory requirements govern many of these plans. For salaried and non-union hourly employees hired in the U.S. after January 1, 2009, we discontinued benefits under our U.S. pension plans, and we replaced them with an enhanced company contribution to our employee savings plan. Additionally, we will be freezing the U.S. pension plans for current salaried and non-union hourly employees effective December 31, 2019. Pension accruals for all salaried and non-union employees who are currently earning pension benefits will end on December 31, 2019, and continuing pay and service will be used to calculate the pension benefits through December 31, 2019. Our U.S., Canadian and U.K. subsidiaries provide health care and other benefits to most retired employees. Local government plans generally cover health care benefits for retirees outside the U.S., Canada, and United Kingdom. Our postemployment benefit plans cover most salaried and certain hourly employees. The cost of these plans is charged to expense over the working life of the covered employees.

Financial Instruments:

We use certain financial instruments to manage our foreign currency exchange rate, commodity price and interest rate risks. We monitor and manage these exposures as part of our overall risk management program which focuses on the unpredictability of financial markets and seeks to reduce the potentially adverse effects that the volatility of these markets may have on our operating results. A principal objective of our risk management strategies is to reduce significant, unanticipated earnings fluctuations that may arise from volatility in foreign currency exchange rates, commodity prices and interest rates, principally through the use of derivative instruments.

We use a combination of primarily foreign currency forward contracts, futures, options and swaps; commodity forward contracts, futures and options; and interest rate swaps to manage our exposure to cash flow variability, protect the value of our existing foreign currency assets and liabilities and protect the value of our debt. See Note 9, Financial Instruments, to the consolidated financial statements for more information on the types of derivative instruments we use.

We record derivative financial instruments at fair value in our consolidated balance sheets within other current assets or other current liabilities due to their relatively short-term duration. Cash flows from derivative instruments are classified in the consolidated statements of cash flows based on the nature of the derivative instrument. Changes in the fair value of a derivative that is designated as a cash flow hedge, to the extent that the hedge is effective, are recorded in accumulated other comprehensive earnings / (losses) and reclassified to earnings when the hedged item affects earnings. Changes in fair value of economic hedges and the ineffective portion of all hedges are recognized in current period earnings. Changes in the fair value of a derivative that is designated as a fair value hedge, along with the changes in the fair value of the related hedged asset or liability, are recorded in earnings in the same period. We use foreign currency denominated debt to hedge a portion of our net investment in foreign operations against adverse movements in exchange rates, with changes in the value of the debt recorded within currency translation adjustment in accumulated other comprehensive earnings / (losses).

In order to qualify for hedge accounting, a specified level of hedging effectiveness between the derivative instrument and the item being hedged must exist at inception and throughout the hedged period. We must also formally document the nature of and relationship between the derivative and the hedged item, as well as our risk management objectives, strategies for undertaking the hedge transaction and method of assessing hedge effectiveness. Additionally, for a hedge of a forecasted transaction, the significant characteristics and expected term of the forecasted transaction must be specifically identified, and it must be probable that the forecasted transaction will occur. If it is no longer probable that the hedged forecasted transaction will occur, we would recognize the gain or loss related to the derivative in earnings.

When we use derivatives, we are exposed to credit and market risks. Credit risk exists when a counterparty to a derivative contract might fail to fulfill its performance obligations under the contract. We minimize our credit risk by entering into transactions with counterparties with high quality, investment grade credit ratings, limiting the amount of exposure with each counterparty and monitoring the financial condition of our counterparties. We also maintain a policy of requiring that all significant, non-exchange traded derivative contracts with a duration of one year or longer are governed by an International Swaps and Derivatives Association master agreement. Market risk exists when the value of a derivative or other financial instrument might be adversely affected by changes in market conditions and foreign currency exchange rates, commodity prices, or interest rates. We manage market risk by limiting the types of derivative instruments and derivative strategies we use and the degree of market risk that we plan to hedge through the use of derivative instruments.

Commodity cash flow hedges – We are exposed to price risk related to forecasted purchases of certain commodities that we primarily use as raw materials. We enter into commodity forward contracts primarily for wheat, soybean and vegetable oils, sugar and other sweeteners and cocoa. Commodity forward contracts generally are not subject to the accounting requirements for derivative instruments and hedging activities under the normal purchases exception. We also use commodity futures and options to hedge the price of certain input costs, including wheat, soybean and vegetable oils, sugar and other sweeteners and cocoa. Some of these derivative instruments are highly effective and qualify for hedge accounting treatment. We also sell commodity futures to unprice future purchase commitments, and we occasionally use related futures to cross-hedge a commodity exposure. We are not a party to leveraged derivatives and, by policy, do not use financial instruments for speculative purposes.

Foreign currency cash flow hedges – We use various financial instruments to mitigate our exposure to changes in exchange rates from third-party and intercompany actual and forecasted transactions. These instruments may include foreign exchange forward contracts, futures, options and swaps. Based on the size and location of our businesses, we use these instruments to hedge our exposure to certain currencies, including the euro, pound sterling and Canadian dollar.

Interest rate cash flow and fair value hedges – We manage interest rate volatility by modifying the pricing or maturity characteristics of certain liabilities so that the net impact on expense is not, on a material basis, adversely affected by movements in interest rates. As a result of interest rate fluctuations, hedged fixed-rate liabilities appreciate or depreciate in market value. We expect the effect of this unrealized appreciation or depreciation to be substantially offset by our gains or losses on the derivative instruments that are linked to these hedged liabilities. We use derivative instruments, including interest rate swaps that have indices related to the pricing of specific liabilities as part of our interest rate risk management strategy. As a matter of policy, we do not use highly leveraged derivative instruments for interest rate risk management. We use interest rate swaps to economically convert a portion of our fixed-rate debt into variable-rate debt. Under the interest rate swap contracts, we agree with other parties to exchange, at specified intervals, the difference between fixed-rate and floating-rate interest amounts, which is calculated based on an agreed-upon notional amount. We also use interest rate swaps to hedge the variability of interest payment cash flows on a portion of our future debt obligations. Substantially all of these derivative instruments are highly effective and qualify for hedge accounting treatment.

Hedges of net investments in foreign operations – We have numerous investments in our foreign subsidiaries. The net assets of these subsidiaries are exposed to volatility in foreign currency exchange rates. We use foreign currency denominated debt to hedge our net investment in foreign operations against adverse movements in exchange rates. We designated our euro and pound sterling denominated borrowings as a net investment hedge of a portion of our overall European operations. The gains and losses on our net investment in these designated European operations are economically offset by losses and gains on our euro and pound sterling denominated borrowings. The change in the debt’s value is recorded in the currency translation adjustment component of accumulated other comprehensive earnings / (losses).

Income Taxes:

We recognize tax benefits in our financial statements when uncertain tax positions are assessed more likely than not to be sustained upon audit. The amount we recognize is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement.

We recognize deferred tax assets for deductible temporary differences, operating loss carryforwards and tax credit carryforwards. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that some portion, or all, of the deferred tax assets will not be realized.

New Accounting Pronouncements:

In July 2013, the Financial Accounting Standards Board (“FASB”) issued an accounting standards update which requires companies to present an unrecognized tax benefit as a reduction to a deferred tax asset when the right of offset exists. The update will be effective for fiscal years beginning after December 15, 2013. We currently comply with the prescribed accounting presentation so that adopting the new guidance will have no impact on the presentation of our financial statements.

In July 2013, the FASB issued an accounting standards update which permits the inclusion of the Fed Funds Effective Swap Rate as a U.S. benchmark interest rate for hedge accounting purposes in addition to the interest rates on direct Treasury obligations of the U.S. government and the London Interbank Offered Rate (“LIBOR”). The guidance is effective for new or redesignated hedging relationships we enter into on or after July 17, 2013. The adoption of this guidance did not have an impact on our financial statements, but will allow us to use another U.S. benchmark interest rate in derivative transactions we designate as hedges for accounting purposes in the future.

In March 2013, the FASB issued an accounting standards update on a parent company’s accounting for the cumulative translation adjustment (“CTA”) upon derecognition of certain subsidiaries or groups of assets within a foreign entity or an investment in a foreign entity. We adopted the new requirement on January 1, 2014. Application of the standard is primarily expected to impact the net gain or loss recognized on divestitures of foreign subsidiaries after January 1, 2014.

In February 2013, the FASB issued an accounting standards update, clarifying how entities are required to measure obligations resulting from joint and several liability arrangements. We adopted the new standard on January 1, 2014 and it did not have an effect on our consolidated financial results as we do not have any material arrangements that fall within the scope of the standard at this time.

In February 2013, the FASB issued an accounting standards update, clarifying the reporting of significant reclassifications from components of accumulated other comprehensive income (“AOCI”) and the related impacts primarily on the statement of earnings. The guidance is effective for fiscal and interim reporting periods beginning after December 15, 2012. We adopted the guidance effective January 1, 2013 and disclose reclassifications from accumulated other comprehensive income and their impact on our condensed consolidated financial statements in Note 14, Reclassifications from Accumulated Other Comprehensive Income.

Reclassifications:

Our condensed consolidated cash flow statements reflect commercial paper with original maturities greater than 90 days on a gross basis in both periods. We also reclassified 2012 and prior period segment information to reflect our business and segment reorganization discussed in Note 1, Summary of Significant Accounting Policies, and Note 17, Segment Reporting.

Subsequent Events:

We evaluated subsequent events and included all accounting and disclosure requirements related to material subsequent events in our consolidated financial statements and related notes. See Notes 1. Summary of Significant Accounting Policies and 8. Debt and Borrowing Arrangements.

- Definition

The entire disclosure for all significant accounting policies of the reporting entity.

+ References+ Details

Divestitures and Acquisition

12 Months Ended

Dec. 31, 2013

Divestitures and Acquisition

Note 2. Divestitures and Acquisition

Spin-off Kraft Foods Group:

On October 1, 2012 (the “Distribution Date”), we completed the spin-off of our North American grocery business, Kraft Foods Group, Inc. (“Kraft Foods Group”), to our shareholders (the “Spin-Off”). Along with our other food and beverage categories, we also retained our global snacks business. On October 1, 2012, each of our shareholders of record as of the close of business on September 19, 2012 (“the Record Date”) received one share of Kraft Foods Group common stock for every three shares of our Common Stock held as of the Record Date. The distribution was structured to be tax free to our U.S. shareholders for U.S. federal income tax purposes.

Kraft Foods Group became an independent public company on October 1, 2012, and following the Spin-Off, we do not beneficially own any shares of Kraft Foods Group common stock.

The divested Kraft Foods Group business is presented as a discontinued operation on the consolidated statements of earnings for all periods presented. The Kraft Foods Group other comprehensive earnings, changes in equity and cash flows are included within our consolidated statements of comprehensive earnings, equity and cash flows through October 1, 2012.

A summary of results related to the discontinued operation of Kraft Foods Group within our historical results is presented below:


	Fourth Quarter Ended		Nine Months Ended		Year Ended
	December 31, 2013		October 1, 2012		December 31, 2011
	(in millions)

Net revenues		–	$	13,768	$	18,555

Earnings before income taxes	$	2,522	$	2,266	$	2,892
Provision for income taxes		919		778		1,082

Earnings from discontinued operations, net of income taxes	$	1,603	$	1,488	$	1,810

The results of the Kraft Foods Group discontinued operation exclude certain corporate and business unit costs which were historically allocated to Kraft Foods Group and continued at Mondelēz International after the Spin-Off. These costs include primarily corporate overheads, information systems and sales force support. On a pre-tax basis, through the date of the Spin-Off, these costs were $150 million for the nine months ended October 1, 2012 and $236 million for the year ended December 31, 2011.

Interest expense relating to debt Kraft Foods Group incurred or assumed through October 1, 2012 has been included in the results from discontinued operations for all periods presented and as follows:


	Nine Months Ended		Year Ended
	October 1, 2012		December 31, 2011
	(in millions)

$6.0 billion note issuance in June 2012	$	70	$	–
$3.6 billion notes exchanged in July 2012		171		226
$0.4 billion debt transferred in October 2012		24		31
Capital leases and other		13		10

	$	278	$	267

On October 1, 2012, we divested the following assets and liabilities which net to $4,358 million, or $4,111 million net of cash retained by Kraft Foods Group on the Distribution Date (in millions):


Assets
Cash	$	247
Receivables		1,685
Inventories, net		2,099
Deferred income taxes		338
Other current assets		168
Property, plant and equipment, net		4,211
Goodwill		11,911
Intangible assets, net		2,632
Prepaid pension assets		16
Other assets		856

	$	24,163

Liabilities
Current portion of long-term debt	$	6
Accounts payable		1,798
Accrued marketing		463
Accrued employment costs		190
Other current liabilities		751
Long-term debt		9,965
Deferred income taxes		874
Accrued pension costs		2,026
Accrued postretirement health care costs		3,316
Other liabilities		416

	$	19,805

Net assets divested in the Spin-Off	$	4,358

Additionally, $4,308 million of accumulated other comprehensive losses primarily related to the pension and other benefit plan net liabilities transferred to Kraft Foods Group and $89 million of unearned compensation recorded within additional paid in capital were distributed to Kraft Foods Group. In total, we recorded a distribution of $8,755 million to our shareholders in connection with the Spin-Off of Kraft Foods Group.

In order to implement the Spin-Off, we entered into certain agreements with Kraft Foods Group to effect our legal and structural separation, govern the relationship between us, and allocate various assets, liabilities and obligations between us, including, among other things, employee benefits, intellectual property and tax-related assets and liabilities (see Note 15, Income Taxes, for additional information on the current and deferred tax assets and liabilities transferred or retained in the Spin-Off). In addition to executing the Spin-Off in the manner provided in the agreements, in November 2012, pursuant to these agreements, we paid Kraft Foods Group $163 million related to targeted cash flows (together with the $247 million of cash divested on the Distribution Date, totaling $410 million of cash transferred to Kraft Foods Group in connection with the Spin-Off). To facilitate the management, including final payment and resolution, of certain obligations, Kraft Foods Group retained certain of our North American net trade payables and receivables. We also retained approximately $140 million of workers’ compensation liabilities for claims incurred by Kraft Foods Group employees prior to the Spin-Off. In November 2012, we paid Kraft Foods Group $95 million to cash settle the net trade payables and receivables and which are also reflected in table above. In March 2013, we collected $55 million from Kraft Foods Group related to the cash settlement of stock awards held by our respective employees at the time of the Spin-Off as further described in Note 11, Stock Plans.

Spin-Off Costs:

Our historical results include one-time Spin-Off transaction, transition and financing and related costs (“Spin-Off Costs”) we have incurred to date. We recorded Spin-Off Costs of $62 million in 2013, $1,053 million in 2012 and $46 million in 2011. We expect to reflect all one-time Spin-Off Costs within our reported results. We incurred the following Spin-Off Costs within our pre-tax earnings:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Selling, general and administrative expenses	$	62	$	444	$	46
Interest and other expense, net		–		609		–

Spin-Off Costs	$	62	$	1,053	$	46

We expect to incur approximately $30 million of remaining Spin-Off Costs in 2014 related primarily to customer service and logistics, information systems and processes, as well as legal costs associated with revising intellectual property and other long-term agreements.

Resolution of Starbucks Arbitration:

As we previously disclosed, on March 1, 2011, the Starbucks Coffee Company (“Starbucks”) took control of the Starbucks packaged coffee business (“Starbucks CPG business”) in grocery stores and other channels. Starbucks did so without our authorization and in what we contended was a violation and breach of our license and supply agreement with Starbucks related to the Starbucks CPG business. Following an initial decision in November 2013, on December 13, 2013, the independent arbitrator in our dispute with Starbucks issued a decision and Final Award that Kraft Foods Global, Inc. (now Kraft Foods Group), the named party in the proceeding, had proven that it was entitled to recover and that Starbucks must pay $2,764 million in total cash compensation for Starbucks’ unilateral termination of the agreement. The award included compensation for 135% of the determined fair market value of the agreement for improper termination as well as prejudgment interest of $521 million and Kraft Foods Group’s attorney’s fees, which the parties agreed would equal $15 million. Starbucks has paid all of the amount owed pursuant to the ruling. Under the Separation and Distribution Agreement between Kraft Foods Group and us, Kraft Foods Group directed the recovery awarded in the arbitration proceeding to us. The dispute arose within the Kraft Foods Group discontinued operation and was directed to Mondelēz International in connection with the Spin-Off recapitalization plans. Accordingly, the pre-tax gain on the resolution of the Starbucks arbitration of $2.5 billion ($1.6 billion net of tax) was recorded in earnings from discontinued operations during the fourth quarter of 2013.

Acquisition, Other Divestitures and Sales of Property:

On February 22, 2013, we acquired the remaining interest in a biscuit operation in Morocco, which is now a wholly-owned subsidiary within our EEMEA segment. We paid net cash consideration of $119 million, consisting of a $155 million purchase price net of cash acquired of $36 million. Prior to the acquisition, our interest in the operation was accounted for under the equity method. As a result of obtaining a controlling interest, we consolidated the operation and recorded the fair value of acquired assets (including identifiable intangible assets of $48 million), the liabilities assumed and goodwill of $209 million. We also recorded a pre-tax gain of $22 million related to the remeasurement of our previously-held equity interest in the operation to fair value in accordance with U.S. GAAP. Acquisition costs of $7 million were included within selling, general and administrative expenses and interest and other expense, net during the year ended December 31, 2013. The operating results of the acquisition were not material to our condensed consolidated financial statements during the periods presented.

In 2013, we completed several divestitures primarily in our EEMEA and Europe segments which generated cash proceeds of $60 million and pre-tax gains of $8 million. The divestitures included a salty snacks business in Turkey, a confectionery business in South Africa and a chocolate business in Spain.

In 2012, we completed several divestitures within our Europe segment that generated cash proceeds of $200 million and pre-tax gains of $107 million. The divestitures primarily included a dinners and sauces grocery business in Germany and Belgium and a canned meat business in Italy.

The aggregate operating results of the 2013 and 2012 divestitures were not material to our financial statements in any of the periods presented.

In 2013, we sold properties in Italy, the United Kingdom and Norway within our Europe segment and in India within our Asia Pacific segment. The Europe property sales generated $29 million in pre-tax net gains and $37 million of cash proceeds. We also have a $52 million receivable related to the United Kingdom property sale. The India property sale generated a $39 million pre-tax gain and $53 million of cash proceeds. The gains were recorded within selling, general and administrative expenses and cash proceeds were recorded in cash flows from other investing activities in the year ended December 31, 2013.

In 2012, we also sold property in Russia and Turkey within our EEMEA segment. The Russia property sale generated a $55 million pre-tax gain and $72 million of cash proceeds and the Turkey property sale generated a $22 million pre-tax gain and $29 million of cash proceeds. The gains were recorded within selling, general and administrative expenses and the cash proceeds were recorded in cash flows from other investing activities in the year ended December 31, 2012.

Inventories

12 Months Ended

Dec. 31, 2013

Inventories

Note 3. Inventories

Inventories at December 31, 2013 and 2012 were:


	2013		2012
	(in millions)

Raw materials	$	1,165	$	1,213
Finished product		2,578		2,528

Inventories, net	$	3,743	$	3,741

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

+ References+ Details

Property, Plant and Equipment

12 Months Ended

Dec. 31, 2013

Property, Plant and Equipment

Note 4. Property, Plant and Equipment

Property, plant and equipment at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Land and land improvements	$	617		$	643
Buildings and building improvements		3,270			3,199
Machinery and equipment		12,351			11,992
Construction in progress		1,376			1,022

		17,614			16,856
Accumulated depreciation		(7,367	)		(6,846	)

Property, plant and equipment, net	$	10,247		$	10,010

In connection with our 2012-2014 Restructuring Program, we recorded non-cash asset write-downs (including accelerated depreciation and asset impairments) of $91 million in 2013 and $18 million in 2012. These charges were recorded in the consolidated statements of earnings within asset impairment and exit costs and are further described in Note 6, 2012-2014 Restructuring Program.

- Definition

The entire disclosure for long-lived, physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, accounting policies and methodology, roll forwards, depreciation, depletion and amortization expense, including composite depreciation, accumulated depreciation, depletion and amortization expense, useful lives and method used, income statement disclosures, assets held for sale and public utility disclosures.

+ References+ Details

Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2013

Goodwill and Intangible Assets

Note 5. Goodwill and Intangible Assets

At December 31, 2013 and 2012, goodwill by reportable segment, revised to reflect our new segment structure, was:


	2013		2012
	(in millions)

Latin America	$	1,262	$	1,381
Asia Pacific		2,504		2,729
EEMEA		2,764		2,763
Europe		10,026		9,767
North America		9,041		9,100

Goodwill	$	25,597	$	25,740

Intangible assets at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Non-amortizable intangible assets	$	20,067		$	20,408
Amortizable intangible assets		2,852			2,861

		22,919			23,269
Accumulated amortization		(925	)		(717	)

Intangible assets, net	$	21,994		$	22,552

Non-amortizable intangible assets consist principally of brand names purchased through our acquisitions of Nabisco Holdings Corp., the Spanish and Portuguese operations of United Biscuits, the global LU Biscuit business of Groupe Danone S.A. and Cadbury Limited. Amortizable intangible assets consist primarily of trademarks, customer-related intangibles, process technology, licenses and non-compete agreements. At December 31, 2013, the weighted-average life of our amortizable intangible assets was 13.3 years.

Amortization expense for intangible assets was $217 million in 2013, $217 million in 2012 and $225 million in 2011. We currently estimate amortization expense for each of the next five years to be approximately $217 million.

Changes in goodwill and intangible assets consisted of:


	2013						2012
				Intangible						Intangible
	Goodwill			Assets, at cost			Goodwill			Assets, at cost
	(in millions)

Balance at January 1	$	25,740		$	23,269		$	37,234		$	25,712
Changes due to:
Foreign currency		(336	)		(390	)		438			262
Divestitures		(13	)		(7	)		(11,932	)		(2,669	)
Asset impairments		–			–			–			(52	)
Acquisitions		209			48			–			14
Other		(3	)		(1	)		–			2

Balance at December 31	$	25,597		$	22,919		$	25,740		$	23,269

Changes to goodwill and intangible assets were:

•

Divestitures - In 2013, we reduced goodwill by $13 million and intangible assets by $7 million due to the divestitures of a chocolate business in Spain, a salty snacks business in Turkey and a confectionery business in South Africa. In 2012, we reduced goodwill by $11,911 million and intangible assets by $2,666 million due to the divestiture of Kraft Foods Group. In 2012, we also reduced goodwill by $21 million and intangible assets by $3 million primarily related to the divestitures in Germany, Belgium and Italy.

•

Asset Impairments - In 2013, we did not record any goodwill or intangible asset impairment charges. In 2012, we recorded $52 million of charges related to a trademark on a Japanese chewing gum product within our Asia Pacific segment which had significantly lower revenue. The fair value of the intangible asset was determined under a relief of royalty valuation, which models the cash flows from the trademark assuming royalties were received under a licensing arrangement. The charges were calculated as the excess of the carrying value of the intangible asset over its estimated fair value and were recorded within asset impairment and exit costs.

•

Acquisitions - In 2013, we increased goodwill by $209 million and intangible assets by $48 million due to the acquisition of our remaining interest in a biscuit operation in Morocco. In 2012, we increased intangible assets by $14 million related to an acquisition of a license in Pakistan and an acquisition of a trademark in Europe.

In 2013, 2012 and 2011, there were no impairments of goodwill. In connection with our 2013 annual impairment testing, we noted one reporting unit which was more sensitive to near-term changes in discounted cash flow assumptions: U.S. Confections with $2,177 million of goodwill as of December 31, 2013 and fair value in excess of its carrying value of net assets of 12%. While the reporting unit passed the first step of the impairment test, if the segment operating income or another valuation assumption were to deteriorate significantly in the future, it could adversely affect the estimated fair value of the reporting unit. If we are unsuccessful in our plans to increase the profitability of this business, the estimated fair value could decline and lead to a potential goodwill impairment in the future.

During our 2013 and 2011 reviews of non-amortizable intangible assets, there were no impairments identified. During our 2013 impairment testing, we noted 7 brands with $511 million of aggregate book value as of December 31, 2013 and fair value in excess of book value of 10% or less. While these intangible assets passed our annual impairment testing and though we believe that our current plans for each of these brands will allow them to continue to not be impaired, if expectations are not met or specific valuation factors outside of our control, such as discount rates, change significantly, then a brand or brands might become impaired in the future. In 2012, we recorded $52 million of charges related to a trademark on a Japanese chewing gum product within our Asia Pacific segment.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References+ Details

2012-2014 Restructuring Program

12 Months Ended

Dec. 31, 2013

2012-2014 Restructuring Program

Note 6. 2012-2014 Restructuring Program

In 2012, our Board of Directors approved $1.5 billion of restructuring and related implementation costs (“2012-2014 Restructuring Program”) reflecting primarily severance, asset disposals and other manufacturing-related one-time costs. The primary objective of the restructuring and implementation activities was to ensure that both Mondelēz International and Kraft Foods Group were each set up to operate efficiently and execute on our respective business strategies upon separation and in the future.

Of the $1.5 billion of anticipated 2012-2014 Restructuring Program costs, we retained approximately $925 million and Kraft Foods Group retained the balance of the program. Since inception, we have incurred $440 million of our estimated $925 million total 2012-2014 Restructuring Program charges.

Restructuring Costs:

We recorded restructuring charges of $267 million in 2013 and $102 million in 2012 within asset impairment and exit costs.

The activity in the 2012-2014 Restructuring Program liability for the years ended December 31, 2012 and December 31, 2013 was:


	Severance
	and related			Asset
	costs			Write-downs			Total
	(in millions)

Liability balance, January 1, 2012	$	–		$	–		$	–
Charges		84			18			102
Cash spent		(33	)		–			(33	)
Non-cash settlements		(15	)		(18	)		(33	)

Liability balance, December 31, 2012	$	36		$	–		$	36

Charges		176			91			267
Cash spent		(108	)		–			(108	)
Non-cash settlements		(36	)		(91	)		(127	)

Liability balance, December 31, 2013	$	68		$	–		$	68

We spent $108 million in 2013 and $33 million in 2012 in cash severance and related costs. We also recognized non-cash pension plan settlement losses (See Note 10, Benefit Plans) and non-cash asset write-downs (including accelerated depreciation and asset impairments) totaling $127 million in 2013 and $33 million in 2012. At December 31, 2013, our net restructuring liability was $68 million recorded within other current liabilities. During the third quarter, we reevaluated a restructuring project and driven by changes to its size, scope and timing, began recording it prospectively as part of the overall 2012-2014 Restructuring Program. In the first two quarters of 2013, $14 million in expenses related to this project were recorded as normal operating expenses and classified in selling, general and administrative expenses within the Latin America segment.

Implementation Costs:

Implementation costs are directly attributable to restructuring activities; however, they do not qualify for accounting treatment as exit or disposal activities. We believe the disclosure of implementation costs provides readers of our financial statements greater transparency to the total costs of our 2012-2014 Restructuring Program. Within our continuing results of operations, we recorded implementation costs of $63 million in 2013 and $8 million in 2012. We recorded these costs within cost of sales and selling, general and administrative expenses within our Europe, North America and EEMEA segments. These costs primarily include costs to reorganize our operations and facilities, the discontinuance of certain product lines and the incremental expenses related to the closure of facilities, replicating our information systems infrastructure and reorganizing costs related to our sales function.

Restructuring and Implementation Costs by Segment:

During 2013 and 2012, we recorded restructuring and implementation costs within operating income as follows:


	For the Year Ended December 31, 2013						For the Year Ended December 31, 2012
	Restructuring		Implementation				Restructuring		Implementation
	Costs		Costs		Total		Costs		Costs		Total
	(in millions)						(in millions)

Latin America	$	21	$	–	$	21	$	7	$	–	$	7
Asia Pacific		2		–		2		–		–		–
EEMEA		12		2		14		–		–		–
Europe		95		36		131		6		–		6
North America		135		25		160		89		8		97
Corporate		2		–		2		–		–		–

Total	$	267	$	63	$	330	$	102	$	8	$	110

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

+ References+ Details

Integration Program and Cost Savings Initiatives

12 Months Ended

Dec. 31, 2013

Integration Program and Cost Savings Initiatives

Note 7. Integration Program and Cost Savings Initiatives

Cadbury Integration Program:

As a result of our combination with Cadbury Limited (formerly, Cadbury Plc or “Cadbury”) in 2010, we launched an integration program (the “Integration Program”) to realize expected annual cost savings of approximately $750 million by the end of 2013 and revenue synergies from investments in distribution, marketing and product development. We achieved cost savings of approximately $800 million one year ahead of schedule and achieved our planned revenue synergies by December 31, 2013. To achieve the expected annual cost savings and synergies and integrate the two businesses, we incurred total integration charges of approximately $1.5 billion through the end of 2013 and have now completed the Integration Program.

Changes in the Integration Program liability were:


	2013			2012
	(in millions)

Balance at January 1	$	202		$	346
Charges		216			140
Cash spent		(255	)		(281	)
Currency / other		(18	)		(3	)

Balance at December 31	$	145		$	202

We recorded Integration Program charges of $216 million in 2013, $185 million in 2012 and $521 million in 2011. At December 31, 2013, $101 million of our net Integration Program liability was recorded within other current liabilities and $44 million, primarily related to leased facilities no longer in use, was recorded within other long-term liabilities. During 2012, we refined our estimate of 2010 Integration Program charges by $45 million primarily related to planned and announced position eliminations that did not occur upon concluding the majority of local workers council negotiations in April 2012. We recorded charges in the Integration Program in operations, as a part of selling, general and administrative expenses primarily within our Europe, Asia Pacific, Latin America and EEMEA segments as well as within general corporate expenses.

Other Integration Costs:

In connection with our acquisition of a biscuit operation in Morocco in February 2013, we recorded integration charges of $4 million in 2013. We recorded these charges in selling, general and administrative expenses within our EEMEA segment. See Note 2, Divestitures and Acquisition, for more information on the acquisition.

Cost Savings Initiatives:

Cost savings initiatives generally include exit, disposal and other project costs outside of our Cadbury Integration Program, other integration program costs and our 2012-2014 Restructuring Program and consist of the following specific initiatives:

•

In 2013, we recorded a $20 million charge primarily within the segment operating income of Latin America related to severance benefits provided to terminated employees and one-time charges and within the segment operating income of North America related to supply chain reinvention team expenses.

•

In 2012, we recorded a $21 million charge primarily within the segment operating income of Europe related to severance benefits provided to terminated employees and charges in connection with the reorganization within the Europe and EEMEA segments (the “Europe reorganization”).

•

In 2011, we recorded a $61 million charge primarily within the segment operating income of Europe related to severance benefits provided to terminated employees and charges in connection with the Europe reorganization. We also reversed approximately $15 million of cost savings initiative program costs across the North America, Europe and EEMEA segments.

Debt and Borrowing Arrangements

12 Months Ended

Dec. 31, 2013

Debt and Borrowing Arrangements

Note 8. Debt and Borrowing Arrangements

Short-Term Borrowings:

At December 31, 2013 and 2012, our short-term borrowings and related weighted-average interest rates consisted of:


	2013				2012
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	1,410		0.4%	$	–		–
Bank loans		226		7.0%		274		7.2%

Total short-term borrowings	$	1,636			$	274

Commercial paper issuances generally have maturities ranging from 1 to 125 days. As of December 31, 2013, the commercial paper issued and outstanding had between 2 and 87 days remaining to maturity.

Bank loans include borrowings on primarily uncommitted credit lines maintained by some of our international subsidiaries to meet short-term working capital needs.

Borrowing Arrangements:

On October 11, 2013, we entered into a revolving credit agreement for a $4.5 billion five-year senior unsecured revolving credit facility. The agreement replaced our former revolving credit agreement, which was terminated upon the signing of the new agreement. The revolving credit agreement includes a covenant that we maintain a minimum shareholders’ equity of at least $24.6 billion, excluding accumulated other comprehensive earnings / (losses) and the cumulative effects of any changes in accounting principles. At December 31, 2013, we met the covenant as our minimum shareholders’ equity was $35.3 billion. The revolving credit agreement also contains customary representations, covenants and events of default. However, there are no credit rating triggers, provisions or other financial covenants that could require us to post collateral as security. We intend to use the revolving credit facility for general corporate purposes, including for working capital purposes and to support our commercial paper program. As of December 31, 2013, no amounts were drawn on the facility.

Some of our international subsidiaries maintain primarily uncommitted credit lines to meet short-term working capital needs. Collectively, these credit lines amounted to $2.4 billion at December 31, 2013 and 2012. Borrowings on these lines amounted to $226 million at December 31, 2013 and $274 million at December 31, 2012.

Long-Term Debt:

At December 31, 2013 and 2012, our long-term debt consisted of (interest rates were as of December 31, 2013):


	2013			2012
	(in millions)

U.S. dollar notes, 4.125% to 7.00% (average effective rate 6.08%), due through 2040	$	9,907		$	16,887
Euro notes, 0.72% to 6.25% (average effective rate 3.04%), due through 2021		4,448			1,119
Pound sterling notes, 5.375% to 7.25% (average effective rate 4.94%), due through 2018		1,116			1,109
Other foreign currency obligations		12			32
Capital leases and other		2			4

Total		15,485			19,151
Less current portion of long-term debt		(1,003	)		(3,577	)

Long-term debt	$	14,482		$	15,574

As of December 31, 2013, aggregate maturities of our debt based on stated contractual maturities were (in millions):


2014	2015	2016	2017	2018	Thereafter	Total
$999	$1,720	$1,760	$1,621	$1,731	$7,682	$15,513

On February 6, 2014, we completed a cash tender offer and retired $1.56 billion of our long-term U.S. dollar debt consisting of:

•

$393 million of our 7.000% Notes due in August 2037

•

$382 million of our 6.875% Notes due in February 2038

•

$250 million of our 6.875% Notes due in January 2039

•

$535 million of our 6.500% Notes due in February 2040

We financed the repurchase of these notes, including the payment of accrued interest and other costs incurred, from net proceeds received from the $3.0 billion notes issuance on January 16, 2014. In connection with retiring this debt, during the first quarter of 2014, we recorded a $492 million loss on extinguishment of debt within interest expense related to the amount we paid to retire the debt in excess of its carrying value and from recognizing unamortized discounts and deferred financing costs in earnings at the time of the debt extinguishment. We also recognized $2.5 million in interest expense related to interest rate cash flow hedges which were deferred in accumulated other comprehensive losses and recognized into earnings over the life of the debt. Upon extinguishing the debt, the deferred cash flow hedge amounts were recorded in earnings.

On January 16, 2014, we issued $3.0 billion of U.S. dollar notes, consisting of:

•

$400 million of floating rate notes which bear interest at a rate equal to three-month LIBOR plus 0.52% and mature on February 1, 2019

•

$850 million of 2.250% fixed rate notes which mature on February 1, 2019

•

$1,750 million of 4.000% fixed rate notes which mature on February 1, 2024

We received net proceeds of $2,982 million that were used in part to fund the February 2014 tender offer and for other general corporate purposes. We recorded approximately $18 million of discounts and deferred financing costs which will be amortized into interest expense over the life of the notes.

On December 18, 2013, we completed a cash tender offer and retired $3.4 billion of our long-term U.S. dollar debt consisting of:

•

$910 million of our 6.500% Notes due in August 2017

•

$729 million of our 6.125% Notes due in February 2018

•

$334 million of our 6.125% Notes due in August 2018

•

$1,467 million of our 5.375% Notes due in February 2020

We financed the repurchase of these notes, including the payment of accrued interest and other costs, with net proceeds received from the €2.4 billion notes issuance on December 11, 2013, cash on hand and commercial paper issuances. We recorded a $608 million loss on extinguishment of debt within interest expense related to the amount we paid to retire the debt in excess of its carrying value and from recognizing unamortized discounts and deferred financing costs in earnings at the time of the debt extinguishment. The loss on extinguishment is included in long-term debt repayments in the 2013 consolidated statement of cash flows. We also recognized $4 million in interest expense related to interest rate cash flow hedges which were deferred in accumulated other comprehensive losses and recognized into earnings over the life of the debt. Upon extinguishing the debt, the deferred cash flow hedge amounts were recorded in earnings.

On December 11, 2013, we issued €2.4 billion of Euro notes, or approximately $3.3 billion in U.S. dollars as of December 31, 2013, consisting of:

•

€400 million (or $550 million) of floating rate notes which bear interest at a rate equal to three-month EURIBOR plus 0.50% and mature on June 11, 2015

•

€750 million (or $1,031 million) of 1.125% fixed rate notes which mature on January 26, 2017

•

€1,250 million (or $1,718 million) of 2.375% fixed rate notes which mature on January 26, 2021

We received net proceeds of €2,381 million, or $3,239 million in U.S. dollars, on December 11, 2013, that were used to partially fund the December 2013 tender offer. We also recorded approximately $27 million of discounts and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On October 1, 2013, $1 billion of our 5.125% U.S. dollar notes and $800 million of our 5.250% U.S. dollar notes matured. The notes and accrued interest to date were paid with cash on hand and the issuance of commercial paper.

On May 8, 2013, $1 billion of our 2.625% U.S. dollar notes matured. The notes and accrued interest to date were paid with cash on hand and the issuance of commercial paper.

On February 11, 2013, $750 million of our 6.00% U.S. dollar notes matured. The notes and accrued interest to date were paid with cash on hand.

On October 2, 2012, our $150 million Canadian dollar variable rate loan matured. The loan and accrued interest to date were repaid with cash from operations.

On October 1, 2012, approximately $10 billion of our U.S. dollar debt on our balance sheet at September 30, 2012 was transferred to or retained by Kraft Foods Group. As described below, the debt primarily included: $6.0 billion of senior unsecured notes issued on June 4, 2012; $3.6 billion of debt exchanged on July 18, 2012; and $400 million migrated on October 1, 2012. See Note 2, Divestitures and Acquisition, for additional information regarding the Spin-Off and liabilities transferred in the divestiture of Kraft Foods Group.

On October 1, 2012, in connection with the Spin-Off and related debt capitalization plan, a $400 million 7.55% senior unsecured U.S. dollar note was retained by Kraft Foods Group. No cash was generated from the transaction.

On July 18, 2012, we completed a debt exchange in which $3.6 billion of our U.S. dollar debt held by third-party note holders was exchanged for notes issued by Kraft Foods Group in order to migrate debt to Kraft Foods Group in connection with our Spin-Off capitalization plan. No cash was generated from the exchange and we incurred one-time financing costs of $18 million which we recorded in interest expense. As a result of the exchange, we retired the following debt:

•

$596 million of our 6.125% Notes due in February 2018

•

$439 million of our 6.125% Notes due in August 2018

•

$900 million of our 5.375% Notes due in February 2020

•

$233 million of our 6.875% Notes due in January 2039

•

$290 million of our 6.875% Notes due in February 2038

•

$185 million of our 7.000% Notes due in August 2037

•

$170 million of our 6.500% Notes due in November 2031

•

$787 million of our 6.500% Notes due in 2040

On June 4, 2012, Kraft Foods Group issued $6.0 billion of senior unsecured U.S. Dollar notes and distributed $5.9 billion of net proceeds to us in connection with the Spin-Off capitalization plan. We used the proceeds to pay $3.6 billion of outstanding commercial paper borrowings and expect to use the remaining cash proceeds to pay down additional debt over time or for general corporate purposes. This debt and approximately $260 million of related deferred financing costs were retained by Kraft Foods Group in the Spin-Off.

On June 1, 2012, $900 million of our 6.25% U.S. dollar notes matured. The notes and accrued interest to date were repaid using primarily commercial paper borrowings which were subsequently repaid from the $5.9 billion of net proceeds received from the Kraft Foods Group $6.0 billion notes issuance on June 4, 2012.

On March 20, 2012, €2.0 billion of our 5.75% Euro bonds matured. The bonds and accrued interest to date were repaid using proceeds from the issuance of commercial paper which was subsequently repaid in June 2012 as discussed above.

On January 10, 2012, we issued $800 million of floating rate U.S. dollar notes which bear interest at a rate equal to three-month LIBOR plus 0.875%. We received net proceeds of $798.8 million from the issuance. The notes were set to mature on July 10, 2013 or subject to a mandatory redemption tied to the public announcement of the Record Date for the Spin-Off. After announcing the Record Date, on September 24, 2012, the notes were redeemed at a redemption price equal to 100% of the aggregate principal amount of the notes, or $800 million, plus accrued interest of $2 million with cash on hand.

Fair Value:

The fair value of our short-term borrowings at December 31, 2013 and 2012 reflects current market interest rates and approximates the amounts we have recorded on our consolidated balance sheet. The fair value of our long-term debt was determined using quoted prices in active markets (Level 1 valuation data) for the publicly traded debt obligations. At December 31, 2013, the aggregate fair value of our total debt was $18,835 million and its carrying value was $17,121 million. At December 31, 2012, the aggregate fair value of our total debt was $22,946 million and its carrying value was $19,425 million.

Interest and Other Expense, Net:

Interest and other expense, net within our results of continuing operations consisted of:


	For the Years Ended December 31,
	2013			2012		2011
	(in millions)

Interest expense, debt	$	1,017		$	1,177	$	1,383
Loss on debt extinguishment and related expenses	$	612		$	–	$	–
Spin-Off-related financing fees		–			609		–
Other expense / (income), net		(50	)		77		235

Total interest and other expense, net	$	1,579		$	1,863	$	1,618

In 2012, Spin-Off related financing fees include a loss of $556 million related to several interest rate swap settlements. In 2011, other expense includes a loss of $157 million related to several interest rate swaps that settled in 2011.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References+ Details

Financial Instruments

12 Months Ended

Dec. 31, 2013

Financial Instruments

Note 9. Financial Instruments

Fair Value of Derivative Instruments:

Derivative instruments were recorded at fair value in the consolidated balance sheets as of December 31, 2013 and 2012 as follows:


	2013				2012
	Derivative		Derivative		Derivative		Derivative
	Assets		Liabilities		Assets		Liabilities
	(in millions)

Derivatives designated as hedging instruments:
Foreign exchange contracts	$	3	$	11	$	6	$	10
Commodity contracts		2		3		3		34
Interest rate contracts		209		–		16		–

	$	214	$	14	$	25	$	44

Derivatives not designated as hedging instruments:
Foreign exchange contracts	$	84	$	8	$	16	$	33
Commodity contracts		60		51		106		103
Interest rate contracts		64		38		93		61

	$	208	$	97	$	215	$	197

Total fair value	$	422	$	111	$	240	$	241

During 2013 and 2012, derivatives designated as hedging instruments include cash flow and fair value hedges and derivatives not designated include economic hedges. Non-U.S. debt designated as a hedge of our net investments in foreign operations is not reflected in the table above, but is included in long-term debt summarized in Note 8, Debt and Borrowing Arrangements. We record derivative assets and liabilities on a gross basis in our condensed consolidated balance sheet. The fair value of our asset derivatives is recorded within other current assets and the fair value of our liability derivatives is recorded within other current liabilities.

The fair value (asset / (liability)) of our derivative instruments at December 31, 2013 were determined using:


			Quoted Prices in
			Active Markets			Significant		Significant
	Total		for Identical			Other Observable		Unobservable
	Fair Value of Net		Assets			Inputs		Inputs
	Asset / (Liability)		(Level 1)			(Level 2)		(Level 3)
	(in millions)

Foreign exchange contracts	$	68	$	–		$	68	$	–
Commodity contracts		8		(4	)		12		–
Interest rate contracts		235		–			235		–

Total derivatives	$	311	$	(4	)	$	315	$	–

The fair value (asset / (liability)) of our derivative instruments at December 31, 2012 were determined using:


				Quoted Prices in
				Active Markets			Significant			Significant
	Total			for Identical			Other Observable			Unobservable
	Fair Value of Net			Assets			Inputs			Inputs
	Asset / (Liability)			(Level 1)			(Level 2)			(Level 3)
	(in millions)

Foreign exchange contracts	$	(21	)	$	–		$	(21	)	$	–
Commodity contracts		(28	)		(53	)		25			–
Interest rate contracts		48			–			48			–

Total derivatives	$	(1	)	$	(53	)	$	52		$	–

Level 1 financial assets and liabilities consist of exchange-traded commodity futures and listed options. The fair value of these instruments is determined based on quoted market prices on commodity exchanges. Our exchange-traded derivatives are generally subject to master netting arrangements which permit net settlement of transactions with the same counterparty when certain criteria are met, such as in the event of default. We are also required to maintain cash margin accounts in connection with funding the settlement of our open positions and the margin requirements generally fluctuate daily based on market conditions. We have recorded margin deposits related to our exchange-traded derivatives of $22 million as of December 31, 2013 and $107 million as of December 31, 2012 within other current assets. Based on our net asset or liability positions with individual counterparties, in the event of default and immediate net settlement of all of our open positions, as of December 31, 2013, our counterparties would owe us a total of $7 million, and as of December 31, 2012, all of our net derivative liabilities were fully offset by either our derivative assets or margin accounts held by counterparties.

Level 2 financial assets and liabilities consist primarily of over-the-counter (“OTC”) foreign exchange forwards, options and swaps; commodity forwards and options; and interest rate swaps. Our foreign currency contracts are valued using an income approach based on observable market forward rates less the contract rate multiplied by the notional amount. Commodity derivatives are valued using an income approach based on the observable market commodity index prices less the contract rate multiplied by the notional amount or based on pricing models that rely on market observable inputs such as commodity prices. Our calculation of the fair value of interest rate swaps is derived from a discounted cash flow analysis based on the terms of the contract and the observable market interest rate curve. Our calculation of the fair value of financial instruments takes into consideration the risk of nonperformance, including counterparty credit risk. Our OTC derivative transactions are governed by International Swap Dealers Association (“ISDA”) agreements and other standard industry contracts. Under these agreements, we do not post nor require collateral from our counterparties. Substantially all of our commodity OTC derivatives do not have a legal right of set-off. In connection with our OTC derivatives that could be net-settled in the event of default, assuming all parties were to fail to comply with the terms of the agreements, for derivatives we have in a net liability position, we would owe $47 million as of December 31, 2013 and $88 million as of December 31, 2012, and for derivatives we have in a net asset position, our counterparties would owe us a total of $349 million as of December 31, 2013 and $114 million as of December 31, 2012. We manage the credit risk in connection with these and all our derivatives by entering into transactions with counterparties with investment grade credit ratings, limiting the amount of exposure with each counterparty and monitoring the financial condition of our counterparties.

Derivative Volume:

The net notional values of our derivative instruments as of December 31, 2013 and 2012 were:


	Notional Amount
	2013		2012
	(in millions)

Foreign exchange contracts:
Intercompany loans and forecasted interest payments	$	4,369	$	3,743
Forecasted transactions		2,565		1,663
Commodity contracts		805		620
Interest rate contracts		2,273		2,259
Net investment hedge – euro notes		4,466		1,121
Net investment hedge – pound sterling notes		1,076		1,057

Cash Flow Hedges:

Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings / (losses) included:


	2013			2012			2011
	(in millions)

Accumulated gain / (loss) at January 1	$	(38	)	$	(297	)	$	79
Transfer of realized (gains) / losses in fair value to earnings		53			312			118
Unrealized gain / (loss) in fair value		102			(75	)		(444	)
Discontinued operations		–			(134	)		(50	)
Impact of Spin-Off		–			156			–

Accumulated gain / (loss) at December 31	$	117		$	(38	)	$	(297	)

After-tax gains / (losses) reclassified from accumulated other comprehensive earnings / (losses) into net earnings from continuing operations were:


	2013			2012			2011
	(in millions)

Foreign exchange contracts – intercompany loans	$	–		$	–		$	2
Foreign exchange contracts – forecasted transactions		(26	)		58			(38	)
Commodity contracts		(23	)		(10	)		19
Interest rate contracts		(4	)		(360	)		(101	)

Total	$	(53	)	$	(312	)	$	(118	)

After-tax gains / (losses) recognized in other comprehensive earnings / (losses) from continuing operations were:


	2013			2012			2011
	(in millions)

Foreign exchange contracts – intercompany loans	$	–		$	–		$	1
Foreign exchange contracts – forecasted transactions		(23	)		(16	)		12
Commodity contracts		3			(24	)		(22	)
Interest rate contracts		122			(35	)		(435	)

Total	$	102		$	(75	)	$	(444	)

Pre-tax gains / (losses) on ineffectiveness recognized in net earnings from continuing operations were:


	2013		2012			2011
	(in millions)

Commodity contracts	$	1	$	(3	)	$	(4	)
Interest rate contracts		–		(23	)		(2	)

Total	$	1	$	(26	)	$	(6	)

Pre-tax gains / (losses) on amounts excluded from effectiveness testing recognized in net earnings from continuing operations were:


	2013		2012			2011
	(in millions)

Commodity contracts	$	–	$	–		$	(17	)
Interest rate contracts		–		(556	)		(156	)

Total	$	–	$	(556	)	$	(173	)

In 2012, we recognized a pre-tax loss of $556 million in interest and other expenses, net related to certain forward-starting interest rate swaps for which the planned timing of the related forecasted debt was changed in connection with our Spin-Off plans and related debt capitalization plans. In 2011, we recognized a loss of $157 million related to several interest rate swaps that settled in November 2011. We recognized the loss in earnings as the timing of the related forecasted debt changed.

We record pre-tax (i) gains or losses reclassified from accumulated other comprehensive earnings / (losses) into earnings, (ii) gains or losses on ineffectiveness, and (iii) gains or losses on amounts excluded from effectiveness testing in:

•

cost of sales for commodity contracts;

•

cost of sales for foreign exchange contracts related to forecasted transactions; and

•

interest and other expense, net for interest rate contracts and foreign exchange contracts related to intercompany loans.

We expect to transfer unrealized losses of $2 million (net of taxes) for commodity cash flow hedges, unrealized losses of $6 million (net of taxes) for foreign currency cash flow hedges and unrealized losses of $1 million (net of taxes) for interest rate cash flow hedges to earnings during the next 12 months.

As of December 31, 2013, we hedged transactions forecasted to impact cash flows over the following periods:

•

commodity transactions for periods not exceeding the next 12 months;

•

interest rate transactions for periods not exceeding the next 32 years and 2 months; and

•

foreign currency transactions for periods not exceeding the next 12 months.

Fair Value Hedges:

Pre-tax gains / (losses) from continuing operations due to changes in fair value of our interest rate swaps and related hedged long-term debt were recorded in interest and other expense, net:


	2013		2012			2011
	(in millions)

Derivatives	$	–	$	(2	)	$	(6	)
Borrowings		–		2			6

Economic Hedges:

Pre-tax gains / (losses) recorded in net earnings from continuing operations for economic hedges which are not designated as hedging instruments were:


	2013		2012			2011			Location of Gain / (Loss) Recognized in Earnings
	(in millions)

Foreign exchange contracts:
Intercompany loans and forecasted interest payments	$	18	$	24		$	34		Interest expense
Forecasted transactions		65		7			4		Cost of sales
Forecasted transactions		9		(17	)		3		Interest expense
Forecasted transactions		4		–			–		Selling, general and administrative expenses
Interest rate contracts		–		3			(3	)	Interest expense
Commodity contracts		65		100			135		Cost of sales

Total	$	161	$	117		$	173

Hedges of Net Investments in Foreign Operations:

After-tax gains / (losses) from continuing operations related to hedges of net investments in foreign operations in the form of euro and pound sterling-denominated debt were:


	2013			2012			2011		Location of Gain / (Loss) Recognized in AOCI
	(in millions)

Euro notes	$	(50	)	$	(41	)	$	77	Currency Translation
Pound sterling notes		(13	)		(29	)		3	Adjustment

- Definition

The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.

+ References

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+ Details

Benefit Plans

12 Months Ended

Dec. 31, 2013

Benefit Plans

Note 10. Benefit Plans

Pension Plans

Obligations and Funded Status:

The projected benefit obligations, plan assets and funded status of our pension plans at December 31, 2013 and 2012 were:


	U.S. Plans						Non-U.S. Plans
	2013			2012			2013			2012
	(in millions)

Benefit obligation at January 1	$	1,389		$	7,472		$	9,786		$	9,581
Service cost		71			142			172			172
Interest cost		60			275			358			425
Benefits paid		(14	)		(241	)		(420	)		(459	)
Settlements paid		(59	)		(211	)		–			–
Actuarial (gains) / losses		(182	)		1,157			(184	)		1,060
Spin-Off impact		–			(7,207	)		–			(1,387	)
Currency		–			–			183			350
Other		1			2			25			44

Benefit obligation at December 31		1,266			1,389			9,920			9,786


Fair value of plan assets at January 1		903			5,829			7,381			7,600
Actual return on plan assets		111			663			675			684
Contributions		178			349			350			353
Benefits paid		(14	)		(241	)		(420	)		(459	)
Settlements paid		(59	)		(211	)		–			–
Spin-Off impact		–			(5,486	)		–			(1,064	)
Currency		–			–			136			267
Other		(1	)		–			–			–

Fair value of plan assets at December 31		1,118			903			8,122			7,381

Net pension liability recognized at December 31	$	(148	)	$	(486	)	$	(1,798	)	$	(2,405	)

The accumulated benefit obligation, which represents benefits earned to the measurement date, was $1,133 million at December 31, 2013 and $1,218 million at December 31, 2012 for the U.S. pension plans. The accumulated benefit obligation for the non-U.S. pension plans was $9,605 million at December 31, 2013 and $9,453 million at December 31, 2012.

The combined U.S. and non-U.S. pension plans resulted in a net pension liability of $1,946 million at December 31, 2013 and $2,891 million at December 31, 2012. We recognized these amounts in our consolidated balance sheets at December 31, 2013 and 2012 as follows:


	2013			2012
	(in millions)

Prepaid pension assets	$	54		$	18
Other accrued liabilities		(38	)		(24	)
Accrued pension costs		(1,962	)		(2,885	)

	$	(1,946	)	$	(2,891	)

Certain of our U.S. and non-U.S. plans are underfunded and have accumulated benefit obligations in excess of plan assets. For these plans, the projected benefit obligations, accumulated benefit obligations and the fair value of plan assets at December 31, 2013 and 2012 were:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012
	(in millions)

Projected benefit obligation	$	86	$	1,389	$	8,379	$	9,539
Accumulated benefit obligation		73		1,218		8,197		9,230
Fair value of plan assets		2		903		6,571		7,119

We used the following weighted-average assumptions to determine our benefit obligations under the pension plans at December 31:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012

Discount rate		5.10%		4.20%		4.00%		3.81%
Expected rate of return on plan assets		7.75%		7.75%		6.18%		6.08%
Rate of compensation increase		4.00%		4.00%		3.61%		3.47%

Year-end discount rates for our U.S., Canadian, Eurozone and U.K. plans were developed from a model portfolio of high quality, fixed-income debt instruments with durations that match the expected future cash flows of the benefit obligations. Year-end discount rates for our remaining non-U.S. plans were developed from local bond indices that match local benefit obligations as closely as possible. Changes in our discount rates were primarily the result of changes in bond yields year-over-year. We determine our expected rate of return on plan assets from the plan assets’ historical long-term investment performance, current asset allocation and estimates of future long-term returns by asset class.

Components of Net Pension Cost:

Net pension cost consisted of the following for the years ended December 31, 2013, 2012, and 2011:


	U.S. Plans									Non-U.S. Plans
	2013			2012			2011			2013			2012			2011
	(in millions)

Service cost	$	71		$	142		$	146		$	172		$	172		$	170
Interest cost		60			275			364			358			425			458
Expected return on plan assets		(67	)		(358	)		(496	)		(435	)		(494	)		(536	)
Amortization:
Net loss from experience differences		55			253			225			136			121			101
Prior service cost		2			6			7			1			3			2
Other expenses		1			113			105			3			22			14
Net pension costs related to discontinued operations		–			(263	)		(233	)		–			(29	)		(29	)

Net pension cost included in continuing operations	$	122		$	168		$	118		$	235		$	220		$	180

The following costs are included within other expenses above. Employees who elected lump-sum payments in connection with our 2012-2014 Restructuring Program and cost saving initiatives and retired employees who elected lump-sum payments resulted in net settlement losses for our U.S. plans of $1 million in 2013, $113 million in 2012 and $105 million in 2011 (2012 and 2011 includes amounts related to the discontinued operation of Kraft Foods Group). Non-U.S. plant closures and early retirement benefits resulted in curtailment and settlement losses of $2 million in 2013, $9 million in 2012 and $8 million in 2011. In addition, in 2013 we incurred $1 million in special termination benefit costs in the non-US plans related to the 2012-2014 Restructuring Program. We incurred special termination benefit costs of $13 million in 2012 and $6 million in 2011 in the non-U.S. plans related to the Cadbury integration.

For the U.S. plans, we determine the expected return on plan assets component of net periodic benefit cost using a calculated market return value that recognizes the cost over a four year period. For our non-U.S. plans, we utilize a similar approach with varying cost recognition periods for some plans, and with others, we determine the expected return on plan assets based on asset fair values as of the measurement date.

As of December 31, 2013, for the combined U.S. and non-U.S. pension plans, we expected to amortize from accumulated other comprehensive earnings / (losses) into net periodic pension cost during 2014:

•

an estimated $135 million of net loss from experience differences; and

•

an estimated $3 million of prior service cost.

We used the following weighted-average assumptions to determine our net pension cost for the years ended December 31:


	U.S. Plans						Non-U.S. Plans
	2013		2012		2011		2013		2012		2011
Discount rate		4.20%		4.56%		5.53%		3.81%		4.62%		5.11%
Expected rate of return on plan assets		7.75%		8.00%		7.95%		6.08%		6.47%		6.77%
Rate of compensation increase		4.00%		4.00%		4.00%		3.47%		3.58%		3.68%

Plan Assets:

The fair value of pension plan assets at December 31, 2013 was determined using the following fair value measurements:


Asset Category	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	104	$	104	$	–	$	–
Non-U.S. equity securities		665		665		–		–
Pooled funds-equity securities		2,571		799		1,772		–

Total equity securities		3,340		1,568		1,772		–

Government bonds		1,560		308		1,252		–
Pooled funds-fixed-income securities		1,176		311		850		15
Corporate bonds and other fixed-income securities		1,350		108		462		780

Total fixed-income securities		4,086		727		2,564		795

Real estate		381		110		4		267
Hedge funds		820		–		–		820
Private equity		227		–		–		227
Cash		251		251		–		–
Other		54		–		54		–

Total	$	9,159	$	2,656	$	4,394	$	2,109

The fair value of pension plan assets at December 31, 2012 was determined using the following fair value measurements:


Asset Category	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	186	$	185	$	1	$	–
Non-U.S. equity securities		932		932		–		–
Pooled funds-equity securities		1,673		590		1,083		–

Total equity securities		2,791		1,707		1,084		–

Government bonds		1,440		209		1,231		–
Pooled funds-fixed-income securities		963		285		668		10
Corporate bonds and other fixed-income securities		1,969		210		965		794

Total fixed-income securities		4,372		704		2,864		804

Real estate		342		97		6		239
Hedge funds		263		–		–		263
Private equity		210		–		–		210
Cash		210		210		–		–
Other		17		–		17		–

Total	$	8,205	$	2,718	$	3,971	$	1,516

We excluded plan assets of $81 million at December 31, 2013 and $79 million at December 31, 2012 from the above tables related to certain insurance contracts as they are reported at contract value, in accordance with authoritative guidance.

Fair value measurements:

•

Level 1 – includes primarily U.S and non-U.S. equity securities and government bonds valued using quoted prices in active markets.

•

Level 2 – includes primarily pooled funds, including assets in real estate pooled funds, valued using net asset values of participation units held in common collective trusts, as reported by the managers of the trusts and as supported by the unit prices of actual purchase and sale transactions. Level 2 plan assets also include corporate bonds and other fixed-income securities, valued using independent observable market inputs, such as matrix pricing, yield curves and indices.

•

Level 3 – includes investments valued using unobservable inputs that reflect the plans’ assumptions that market participants would use in pricing the assets, based on the best information available.

•

Fair value estimates for pooled funds are calculated by the investment advisor when reliable quotations or pricing services are not readily available for certain underlying securities. The estimated value is based on either cost, or last sale price for most of the securities valued in this fashion.

•

Fair value estimates for private equity investments are calculated by the general partners using the market approach to estimate the fair value of private investments. The market approach utilizes prices and other relevant information generated by market transactions, type of security, degree of liquidity, restrictions on the disposition, latest round of financing data, company financial statements, relevant valuation multiples and discounted cash flow analyses.

•

Fair value estimates for real estate investments are calculated by the investment managers using the present value of future cash flows expected to be received from the investments, based on valuation methodologies such as appraisals, local market conditions, and current and projected operating performance.

•

Fair value estimates for investments in hedge fund-of-funds are calculated by the investment managers using the net asset value per share of the investment as reported by the money managers of the underlying funds.

•

Fair value estimates for certain fixed-income securities such as insurance contracts are calculated based on the future stream of benefit payments discounted using prevailing interest rates based on the valuation date.

Changes in our Level 3 plan assets, which are recorded in other comprehensive earnings / (losses), for the year ended December 31, 2013 included:


Asset Category	January 1, 2013 Balance		Net Realized and Unrealized Gains/(Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact		December 31, 2013 Balance
	(in millions)
Pooled funds- fixed-income securities	$	10	$	(1	)	$	2		$	4		$	–	$	15
Corporate bond and other fixed-income securities		794		17			(48	)		(1	)		18		780
Real estate		239		10			12			–			6		267
Hedge funds		263		(11	)		535			–			33		820
Private equity		210		15			(4	)		–			6		227

Total Level 3 investments	$	1,516	$	30		$	497		$	3		$	63	$	2,109

The increases in Level 3 pension plan investments during 2013 were primarily due to net purchases in hedge funds.

Changes in our Level 3 plan assets, which are recorded in other comprehensive earnings / (losses), for the year ended December 31, 2012 included:


Asset Category	January 1, 2012 Balance		Net Realized and Unrealized Gains/(Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact		December 31, 2012 Balance
	(in millions)
Pooled funds- fixed-income securities	$	7	$	–		$	–		$	3		$	–	$	10
Corporate bond and other fixed-income securities		758		61			(52	)		(3	)		30		794
Real estate		255		9			149			(181	)		7		239
Hedge funds		188		78			(12	)		–			9		263
Private equity		197		4			2			(1	)		8		210
Other		6		(6	)		–			–			–		–

Total Level 3 investments	$	1,411	$	146		$	87		$	(182	)	$	54	$	1,516

The increases in Level 3 pension plan investments during 2012 were due to the net realized gains recorded on the investments, partially offset by net transfers out, primarily related to assets divested with the Spin-Off of Kraft Foods Group.

The percentage of fair value of pension plan assets at December 31, 2013 and 2012 was:


	U.S. Plans				Non-U.S. Plans
Asset Category	2013		2012		2013		2012

Equity securities		53%		57%		34%		31%
Fixed-income securities		44%		40%		45%		54%
Real estate		3%		3%		4%		4%
Hedge funds		–		–		10%		4%
Private equity		–		–		3%		3%
Cash		–		–		3%		3%
Other		–		–		1%		1%

Total		100%		100%		100%		100%

In the U.S., our investment strategy is based on our expectation that equity securities will outperform fixed-income securities over the long term. We attempt to maintain our target asset allocation by rebalancing between asset classes as we make contributions and monthly benefit payments. Due to the nature and timing of our expected pension liabilities, we target an allocation of approximately 60% of our plan assets in equity securities and approximately 40% in fixed-income securities. The strategy uses indexed U.S. equity securities, actively managed and indexed international equity securities and actively managed U.S. investment grade fixed-income securities (which constitute 95% or more of fixed-income securities) with lesser allocations to high yield fixed-income securities. At December 31, 2013, we had a higher allocation to fixed income due to a voluntary $163 million contribution that was made on December 27, 2013 and temporarily invested in a short-term fixed income investment at year-end. In the first quarter of 2014, we strategically reduced the risk level of the investment portfolio relative to the liabilities of our plans by lowering our target allocation to equity securities to 50% and increasing the fixed-income allocation target to 50%.

For the plans outside the U.S., the investment strategy is subject to local regulations and the asset / liability profiles of the plans in each individual country. These specific circumstances result in a level of equity exposure that is typically less than the U.S. plans. In aggregate, the asset allocation targets of our non-U.S. plans are broadly characterized as a mix of approximately 35% equity securities, approximately 50% fixed-income securities and approximately 15% other alternative securities. Our investment strategy for our largest non-U.S. plan, which comprises 49% of our non-U.S. pension assets, is designed to balance risk and return by diversifying across a wide range of return-seeking and liability matching assets, invested in a range of both active and passive mandates. We target an allocation of approximately 20% in equity securities, 16% credit, 10% private markets, 16% other diversifying assets, and 38% liability matching assets. The strategy uses actively managed and indexed global developed and emerging market equities, actively managed global investment grade and alternative credit, global private equity and real estate, other diversifying assets including hedge funds, and other liability matching assets including a buy-in annuity policy. During 2013, the level of diversification was strategically increased by reducing the plan’s equity exposure by approximately 10% and investing the majority of the proceeds in hedge funds and other diversifying assets, as shown above in the increase in net purchases in Level 3 assets during December 31, 2013.

Employer Contributions:

In 2013, we contributed $178 million to our U.S. pension plans and $330 million to our non-U.S. pension plans. In addition, employees contributed $20 million to our non-U.S. plans. Of our 2013 pension contributions, $163 million was voluntary. We make contributions to our U.S. and non-U.S. pension plans primarily to the extent that they are tax deductible and do not generate an excise tax liability.

In 2014, we estimate that our pension contributions will be $10 million to our U.S. plans and $309 million to our non-U.S. plans based on current tax laws. Of the total 2014 pension contributions, none is expected to be voluntary. Our actual contributions may be different due to many factors, including changes in tax and other benefit laws, significant differences between expected and actual pension asset performance or interest rates, or other factors.

Future Benefit Payments:

The estimated future benefit payments from our pension plans at December 31, 2013 were (in millions):


Year ending:	2014		2015		2016		2017		2018		2019-2023
U.S. Plans	$	71	$	72	$	83	$	95	$	105	$	597
Non-U.S. Plans	$	409	$	410	$	416	$	435	$	441	$	2,383

Multiemployer Pension Plans:

We made contributions to multiemployer pension plans of $32 million in 2013, $30 million in 2012 and $32 million in 2011. These plans provide pension benefits to retirees under certain collective bargaining agreements. The following is the only individually significant multiemployer plan we participate in as of December 31, 2013:

Expiration Date

Pension

FIP / RP

of Collective-

EIN / Pension

Protection Act

Status Pending /

Surcharge

Bargaining

Pension Fund

Plan Number

Zone Status

Implemented

Imposed

Agreements

Bakery and Confectionery

Union and Industry International Pension Fund

526118572

Red

Implemented

Yes

2/29/2016

Our contributions exceeded 5% of total contributions to the Bakery and Confectionery Union and Industry International Pension Fund (the “Fund”) for fiscal years 2013, 2012 and 2011. Our contributions to the Fund were $26 million in 2013, $25 million in 2012 and $24 million in 2011. Our contribution to the Fund is based on our contribution rates under our collective bargaining agreements, the number of our eligible employees and Fund surcharges. We expect our contribution for each of the next two years to be approximately $30 million. The Fund’s actuarial valuation has been completed and the zone status was changed to “Red” in 2012. As a result of this certification, we are being charged a 10% surcharge on our contribution rates. Our expected future contributions include the surcharge. The Fund adopted a rehabilitation plan on November 7, 2012 that requires contribution increases and reduction to benefit provisions.

Our contributions to other multiemployer pension plans that were not individually significant were $6 million in 2013, $5 million in 2012 and $8 million in 2011. These contributions include contributions related to Kraft Foods Group employees who participated in our multiemployer pension plans through October 1, 2012 of $2 million in 2012 and $5 million 2011.

Other Costs:

We sponsor and contribute to employee savings plans. These plans cover eligible salaried, non-union and union employees. Our contributions and costs are determined by the matching of employee contributions, as defined by the plans. Amounts charged to expense in continuing operations for defined contribution plans totaled $66 million in 2013, $74 million in 2012 and $62 million in 2011.

Postretirement Benefit Plans

Obligations:

Our postretirement health care plans are not funded. The changes in and the amount of the accrued benefit obligation at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Accrued benefit obligation at January 1	$	458		$	3,453
Service cost		15			35
Interest cost		20			121
Benefits paid		(7	)		(142	)
Plan amendments		(3	)		(51	)
Currency		(7	)		8
Assumption changes		(56	)		519
Actuarial (gains) / losses		(4	)		47
Impact of Spin-Off		–			(3,561	)
Other		6			29

Accrued benefit obligation at December 31	$	422		$	458

The current portion of our accrued postretirement benefit obligation of $9 million at December 31, 2013 and $8 million at December 31, 2012 was included in other accrued liabilities.

We used the following weighted-average assumptions to determine our postretirement benefit obligations at December 31:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012
Discount rate		5.10%		4.20%		4.81%		4.08%
Health care cost trend rate assumed for next year		7.00%		7.50%		4.76%		6.47%
Ultimate trend rate		5.00%		5.00%		5.54%		5.36%
Year that the rate reaches the ultimate trend rate		2018		2018		2019		2018

Year-end discount rates for our U.S., Canadian and U.K. plans were developed from a model portfolio of high quality, fixed-income debt instruments with durations that match the expected future cash flows of the benefit obligations. Year-end discount rates for our remaining non-U.S. plans were developed from local bond indices that match local benefit obligations as closely as possible. Changes in our discount rates were primarily the result of changes in bond yields year-over-year. Our expected health care cost trend rate is based on historical costs.

Assumed health care cost trend rates have a significant impact on the amounts reported for the health care plans. A one-percentage-point change in assumed health care cost trend rates would have the following effects as of December 31, 2013:


	One-Percentage-Point
	Increase		Decrease
	(in millions)

Effect on postretirement benefit obligation	$	66	$	(53	)
Effect on annual service and interest cost	$	6	$	(5	)

Components of Net Postretirement Health Care Costs:

Net postretirement health care costs consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)

Service cost	$	15		$	35		$	36
Interest cost		20			121			165
Amortization:
Net loss from experience differences		12			65			60
Prior service credit		(12	)		(31	)		(32	)
Other⁽¹⁾		–			29			–
Net postretirement health care costs related to discontinued operations		–			(135	)		(163	)

Net postretirement health care costs included within continuing operations	$	35		$	84		$	66

(1)

In 2012, we recorded a $23 million unfunded U.S. postretirement plan obligation related to long-term disability benefits.

As of December 31, 2013, we expected to amortize from accumulated other comprehensive earnings / (losses) into pre-tax net postretirement health care costs during 2014:

•

an estimated $6 million of net loss from experience differences, and

•

an estimated $10 million of prior service credit.

We used the following weighted-average assumptions to determine our net postretirement cost for the years ended December 31:


	U.S. Plans			Non-U.S. Plans
	2013	2012	2011	2013	2012	2011

Discount rate	4.20%	4.47%	5.30%	4.39%	4.14%	5.02%
Health care cost trend rate	7.50%	7.00%	7.50%	6.47%	6.21%	7.62%

Future Benefit Payments:

Our estimated future benefit payments for our postretirement health care plans at December 31, 2013 were (in millions):


Year ending:	2014	2015	2016	2017	2018	2019-2023
U.S. Plans	$5	$7	$8	$10	$12	$84
Non-U.S. Plans	$5	$5	$5	$5	$5	$30

Other Costs:

We made contributions to multiemployer medical plans totaling $18 million in 2013, $31 million in 2012 and $36 million in 2011. The contributions include contributions related to Kraft Foods Group employees who participated in our multiemployer medical plans through October 1, 2012 of $13 million in 2012 and $20 million in 2011. These plans provide medical benefits to active employees and retirees under certain collective bargaining agreements.

Postemployment Benefit Plans

Obligations:

Our postemployment plans are primarily not funded. The changes in and the amount of the accrued benefit obligation at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Accrued benefit obligation at January 1	$	100		$	166
Service cost		8			12
Interest cost		5			8
Benefits paid		(21	)		(44	)
Assumption changes		(2	)		7
Actuarial losses		13			14
Spin-Off Impact		–			(63	)

Accrued benefit obligation at December 31	$	103		$	100

The accrued benefit obligation was determined using a weighted-average discount rate of 6.2% in 2013 and 4.0% in 2012, an assumed weighted-average ultimate annual turnover rate of 0.3% in 2013 and 0.5% in 2012, assumed compensation cost increases of 4.0% in 2013 and 2012, and assumed benefits as defined in the respective plans.

Postemployment costs arising from actions that offer employees benefits in excess of those specified in the respective plans are charged to expense when incurred.

Components of Net Postemployment Costs:

Net postemployment costs consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)

Service cost	$	8		$	12		$	11
Interest cost		5			8			9
Amortization of net (gains) / losses		(1	)		(3	)		(2	)
Other		(1	)		3			33
Net postemployment costs related to discontinued operations		–			(5	)		(2	)

Net postemployment costs included in continuing operations	$	11		$	15		$	49

Other postemployment costs in 2011 primarily relate to the establishment of the partially funded Canadian postemployment plan.

As of December 31, 2013, the estimated net loss for the postemployment benefit plans that we expected to amortize from accumulated other comprehensive earnings / (losses) into net postemployment costs during 2014 was insignificant.

Stock Plans

12 Months Ended

Dec. 31, 2013

Stock Plans

Note 11. Stock Plans

Under our Amended and Restated 2005 Performance Incentive Plan (the “2005 Plan”), we may grant to eligible employees awards of stock options, stock appreciation rights, restricted stock, restricted and deferred stock units, and other awards based on our Common Stock, as well as performance-based annual and long-term incentive awards. We are authorized to issue a maximum of 168.0 million shares of our Common Stock under the 2005 Plan. In addition, under our Amended and Restated 2006 Stock Compensation Plan for Non-Employee Directors (the “2006 Directors Plan”), we may grant up to 1.0 million shares of our Common Stock to members of the Board of Directors who are not our full-time employees. At December 31, 2013, there were 26.9 million shares available to be granted under the 2005 Plan and 0.7 million shares available to be granted under the 2006 Directors Plan.

In connection with the Spin-Off and divestiture of Kraft Foods Group, under the provisions of our existing plans, employee stock option and restricted and deferred stock awards were adjusted to preserve the fair value of the awards immediately before and after the Spin-Off. As such, we did not record any incremental compensation expense related to the conversion of the awards. In connection with the stock awards held by our respective employees at the time of the Spin-Off, we collected a $55 million cash net settlement for the awards from Kraft Foods Group in March 2013.

Stock Options:

Stock options are granted at an exercise price equal to the market value of the underlying stock on the grant date, generally become exercisable in three annual installments beginning on the first anniversary of the grant date and have a maximum term of ten years.

We account for our employee stock options under the fair value method of accounting using a modified Black-Scholes methodology to measure stock option expense at the date of grant. The fair value of the stock options at the date of grant is amortized to expense over the vesting period. We recorded compensation expense related to stock options held by our employees of $39 million in 2013, $39 million in 2012 and $35 million in 2011 in our results from continuing operations. The deferred tax benefit recorded related to this compensation expense was $11 million in 2013, $11 million in 2012 and $10 million in 2011. The unamortized compensation expense related to our employee stock options was $53 million at December 31, 2013 and is expected to be recognized over a weighted-average period of 2 years.

Our weighted-average Black-Scholes fair value assumptions were:


	Risk-Free Interest Rate			Expected Life		Expected Volatility			Expected Dividend Yield			Fair Value at Grant Date

2013		1.15	%		6 years		20.36	%		1.94	%	$	4.31
2012		1.16	%		6 years		20.13	%		3.08	%	$	4.78
2011		2.34	%		6 years		18.92	%		3.72	%	$	3.84

The risk-free interest rate represents the constant maturity U.S. government treasuries rate with a remaining term equal to the expected life of the options. The expected life is the period over which our employees are expected to hold their options. Volatility reflects historical movements in our stock price for a period commensurate with the expected life of the options. The dividend yield reflects the dividend yield in place at the time of the historical grants and reflects a lower expected dividend yield for Mondelēz International for grants made following the Spin-Off of Kraft Foods Group.

Stock option activity for the year ended December 31, 2013 is reflected below:


						Average
				Weighted-		Remaining		Aggregate
	Shares Subject			Average		Contractual		Intrinsic
	to Option			Exercise Price		Term		Value

Balance at January 1, 2013		52,753,039		$	20.45
Options granted		12,406,792			27.21
Options exercised		(7,185,616	)		19.41
Options cancelled		(2,190,776	)		23.86

Balance at December 31, 2013		55,783,439			21.96		7 years	$	744 million

Exercisable at December 31, 2013		31,036,120			19.40		6 years	$	494 million

In February 2013, as part of our annual equity program, we granted 11.6 million stock options to eligible employees at an exercise price of $27.05 per share on the grant date. During 2013, we issued 0.8 million of additional stock options with a weighted-average exercise price of $29.69 per share. In the aggregate, we granted 12.4 million stock options during 2013 at a weighted-average exercise price of $27.21 per share.

In February 2012, as part of our annual equity program, we granted 12.8 million stock options to eligible employees at an exercise price of $38.00 per share on the grant date. During 2012, we issued 0.7 million of additional stock options with a weighted-average exercise price of $37.60 per share. In the aggregate, we granted 13.5 million stock options during 2012 at a weighted-average exercise price of $37.97 per share.

In February 2011, as part of our annual equity program, we granted 15.8 million stock options to eligible employees at an exercise price of $31.83 per share on the grant date. During 2011, we issued 0.5 million of additional stock options with a weighted-average exercise price of $31.22 per share. In the aggregate, we granted 16.3 million stock options during 2011 at a weighted-average exercise price of $31.81 per share.

The total intrinsic value of options exercised was $79 million in 2013, $93 million in 2012 and $98 million in 2011. Cash received from options exercised was $139 million in 2013, $205 million in 2012 and $486 million in 2011. The actual tax benefit realized for the tax deductions from the option exercises totaled $14 million in 2013, $21 million in 2012 and $40 million in 2011.

Restricted and Deferred Stock:

We may grant shares of restricted or deferred stock to eligible employees, giving them, in most instances, all of the rights of shareholders, except that they may not sell, assign, pledge or otherwise encumber the shares. Shares of restricted and deferred stock are subject to forfeiture if certain employment conditions are not met. Restricted and deferred shares generally vest on the third anniversary of the grant date.

Shares granted in connection with our long-term incentive plan vest based on varying performance, market and service conditions. The unvested shares have no voting rights and do not pay dividends.

The fair value of the restricted and deferred shares at the date of grant is amortized to earnings over the restriction period. We recorded compensation expense related to restricted and deferred stock of $94 million in 2013, $90 million in 2012 and $95 million in 2011 in our results from continuing operations. The deferred tax benefit recorded related to this compensation expense was $28 million in 2013, $27 million in 2012 and $28 million in 2011. The unamortized compensation expense related to our restricted and deferred stock was $125 million at December 31, 2013 and is expected to be recognized over a weighted-average period of 2 years.

Our restricted and deferred stock activity for the year ended December 31, 2013 is reflected below:


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance at January 1, 2013		12,815,911		$	21.55
Granted		5,231,437			25.63
Vested		(5,350,073	)		18.82
Forfeited		(1,048,688	)		23.23

Balance at December 31, 2013		11,648,587			24.48

In January 2013, we granted 1.5 million shares of stock in connection with our long-term incentive plan, and the market value per share was $26.24 on the date of grant. In February 2013, as part of our annual equity program, we issued 2.3 million shares of restricted and deferred stock to eligible employees, and the market value per restricted or deferred share was $27.05 on the date of grant. During 2013, we issued 1.4 million of additional restricted and deferred shares with a weighted-average market value per share of $22.47. Included in the 1.4 million of additional shares issued were 0.8 million shares for awards related to long-term incentive plan awards granted in 2010 which were issued and vested during the first quarter of 2013. The 2010 long-term incentive plan awards had a weighted-average market value of $17.97 per share, which is based on the stock price on the grant date in 2010 and adjusted to reflect the Spin-Off and related splitting of the equity awards. In aggregate, we issued 5.2 million restricted and deferred shares during 2013, including those issued as part of our long-term incentive plan, with a weighted-average market value of $25.63 per share.

In January 2012, we granted 1.3 million shares of stock in connection with our long-term incentive plan, and the market value per share was $37.63 on the date of grant. In February 2012, as part of our annual equity program, we issued 2.2 million shares of restricted and deferred stock to eligible employees, and the market value per restricted or deferred share was $38.00 on the date of grant. During 2012, we issued 1.5 million of additional restricted and deferred shares with a weighted-average market value per share of $29.18, primarily in connection with our 2009 long-term incentive plan performance based awards and a special equity award for our CEO. In aggregate, we issued 5.0 million restricted and deferred shares during 2012, including those issued as part of our long-term incentive plan, with a weighted-average market value of $35.25 per share.

In January 2011, we granted 1.5 million shares of stock in connection with our long-term incentive plan, and the market value per share was $31.62 on the date of grant. In February 2011, as part of our annual equity program, we issued 2.6 million shares of restricted and deferred stock to eligible employees, and the market value per restricted or deferred share was $31.83 on the date of grant. During 2011, we issued 1.0 million of additional restricted and deferred shares with a weighted-average market value per share of $33.02. In aggregate, we issued 5.1 million restricted and deferred shares during 2011, including those issued as part of our long-term incentive plan, with a weighted-average market value of $31.97 per share.

The weighted-average grant date fair value of restricted and deferred stock granted was $134 million, or $25.63 per restricted or deferred share, in 2013; $175 million, or $35.25 per restricted or deferred share, in 2012; and $162 million, or $31.97 per restricted or deferred share, in 2011. The vesting date fair value of restricted and deferred stock was $145 million in 2013, $189 million in 2012 and $135 million in 2011.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2013

Commitments and Contingencies

Note 12. Commitments and Contingencies

Legal Proceedings:

We routinely are involved in legal proceedings, claims, and governmental inspections or investigations (“Legal Matters”) arising in the ordinary course of our business.

A compliant and ethical corporate culture, which includes adhering to laws and industry regulations in all jurisdictions in which we do business, is integral to our success. Accordingly, after we acquired Cadbury in February 2010 we began reviewing and adjusting, as needed, Cadbury’s operations in light of applicable standards as well as our policies and practices. We initially focused on such high priority areas as food safety, the Foreign Corrupt Practices Act (“FCPA”) and antitrust. Based upon Cadbury’s pre-acquisition policies and compliance programs and our post-acquisition reviews, our preliminary findings indicated that Cadbury’s overall state of compliance was sound. Nonetheless, through our reviews, we determined that in certain jurisdictions, including India, there appeared to be facts and circumstances warranting further investigation. We are continuing our investigations in certain jurisdictions, including in India, and we continue to cooperate with governmental authorities.

As we previously disclosed, on February 1, 2011, we received a subpoena from the SEC in connection with an investigation under the FCPA, primarily related to a facility in India that we acquired in the Cadbury acquisition. The subpoena primarily requests information regarding dealings with Indian governmental agencies and officials to obtain approvals related to the operation of that facility. We are continuing to cooperate with the U.S. and Indian governments in their investigations of these matters, including through preliminary meetings with the U.S. government to discuss potential conclusion of the investigation.

On February 28, 2013, Cadbury India Limited, a subsidiary of Mondelēz International, and other parties received a show cause notice from the Indian Department of Central Excise Authority. The notice calls upon the parties to demonstrate why the Authority should not collect approximately $46 million of unpaid excise tax as well as approximately $46 million of penalties and interest related to production at the same Indian facility. We believe that the decision to claim the excise tax benefit is valid and we are contesting the show cause notice through the administrative and judicial process.

As we previously disclosed, on March 1, 2011, Starbucks took control of the Starbucks CPG business in grocery stores and other channels. Starbucks did so without our authorization and in what we contended was a violation and breach of our license and supply agreement with Starbucks related to the Starbucks CPG business. Following an initial decision in November 2013, on December 13, 2013, the independent arbitrator in our dispute with Starbucks issued a decision and Final Award that Kraft Foods Global, Inc. (now Kraft Foods Group), the named party in the proceeding, had proven that it was entitled to recover and that Starbucks must pay $2,764 million in total cash compensation for Starbucks’ unilateral termination of the agreement. The award included compensation for 135% of the determined fair market value of the agreement for improper termination as well as prejudgment interest of $521 million and Kraft Foods Group’s attorney’s fees, which the parties agreed would equal $15 million. Starbucks has paid all of the amount owed pursuant to the ruling. Under the Separation and Distribution Agreement between Kraft Foods Group and us, Kraft Foods Group directed the recovery awarded in the arbitration proceeding to us.

While we cannot predict with certainty the results of Legal Matters in which we are currently involved, we do not expect that the ultimate costs to resolve any of these Legal Matters, individually or in the aggregate, will have a material effect on our financial results.

Third-Party Guarantees:

We enter into third-party guarantees primarily to cover the long-term obligations of our vendors. As part of these transactions, we guarantee that third parties will make contractual payments or achieve performance measures. At December 31, 2013, we had no material third-party guarantees recorded on our consolidated balance sheet.

As part of our 2010 Cadbury acquisition, we became the responsible party for tax matters under the Cadbury Schweppes Plc and Dr Pepper Snapple Group, Inc. (“DPSG”) Tax Sharing and Indemnification Agreement dated May 1, 2008 (“Tax Indemnity”) for certain 2007 and 2008 transactions relating to the demerger of Cadbury’s Americas Beverage business. A U.S. federal tax audit of DPSG for the 2006-2008 tax years was concluded with the IRS in August 2013. As a result, we recorded a favorable impact of $336 million in selling, general and administrative expenses and $49 million in interest and other expense, net for a total pre-tax impact of $385 million ($363 million net of tax) in 2013 due to the reversal of the accrued liability in excess of the amount we paid to DPSG under the Tax Indemnity.

Leases:

Rental expenses recorded in continuing operations were $386 million in 2013, $341 million in 2012 and $283 million in 2011. As of December 31, 2013, minimum rental commitments under non-cancelable operating leases in effect at year-end were (in millions):


Year ending:	2014	2015	2016	2017	2018	Thereafter	Total
	$240	$167	$136	$112	$95	$136	$886

- Definition

The entire disclosure for commitments and contingencies.

+ References+ Details

Capital Stock

12 Months Ended

Dec. 31, 2013

Capital Stock

Note 13. Capital Stock

Our amended and restated articles of incorporation authorize 5.0 billion shares of Class A common stock and 500 million shares of preferred stock. There were no preferred shares issued and outstanding at December 31, 2013, 2012 and 2011. Shares of Class A common stock issued, in treasury and outstanding were:


						Shares
	Shares Issued		Treasury Shares			Outstanding

Balance at January 1, 2011		1,996,537,778		(248,471,229	)		1,748,066,549

Exercise of stock options and issuance of other stock awards		–		19,830,140			19,830,140

Balance at December 31, 2011		1,996,537,778		(228,641,089	)		1,767,896,689

Exercise of stock options and issuance of other stock awards		–		10,099,153			10,099,153

Balance at December 31, 2012		1,996,537,778		(218,541,936	)		1,777,995,842

Shares repurchased				(82,799,448	)		(82,799,448	)
Exercise of stock options and issuance of other stock awards		–		10,200,200			10,200,200

Balance at December 31, 2013		1,996,537,778		(291,141,184	)		1,705,396,594

Stock plan awards to employees and non-employee directors are issued from treasury shares. At December 31, 2013, 91.3 million shares of Class A common stock held in treasury were reserved for stock options and other stock awards.

Stock Repurchase Program:

During 2013, our Board of Directors authorized the repurchase of $7.7 billion of our Common Stock. On March 12, 2013, our Board of Directors authorized the repurchase of up to the lesser of 40 million shares or $1.2 billion of our Common Stock through March 12, 2016. On August 6, 2013, our Audit Committee, with authorization from the Board of Directors, increased the repurchase program capacity to $6.0 billion of Common Stock repurchases and extended the expiration date to December 31, 2016. On December 3, 2013, our Board of Directors increased the repurchase program capacity by $1.7 billion to $7.7 billion.

Repurchases under the program are determined by management and are wholly discretionary. During 2013, we repurchased 82.8 million shares of Common Stock at an average cost of $33.09 per share, or an aggregate cost of $2.7 billion. The share repurchases include $1.5 billion of shares repurchased through an accelerated share repurchase (“ASR”) program initiated on December 3, 2013. On December 3, 2013, we paid $1.7 billion and received an initial delivery of 44.8 million shares of Common Stock valued at $1.5 billion. We increased treasury stock by $1.5 billion and the remaining $0.2 billion was recorded against additional paid in capital until the final share repurchases are settled by the end of the second quarter of 2014. The total aggregate number of shares to be repurchased through the ASR program will be determined based on the volume-weighted average price of our Common Stock during the purchase period less a fixed per share discount. All share repurchases in 2013 were funded through available cash, including cash from the resolution of the Starbucks arbitration, and commercial paper. The repurchased shares are held in treasury. As of December 31, 2013, we have $5.0 billion in remaining share repurchase capacity.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

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-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 11

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

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-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 5

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-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

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-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 08

-Paragraph d

-Article 4

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-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 30

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

+ Details

Reclassifications from Accumulated Other Comprehensive Income

12 Months Ended

Dec. 31, 2013

Reclassifications from Accumulated Other Comprehensive Income

Note 14. Reclassifications from Accumulated Other Comprehensive Income

The components of accumulated other comprehensive earnings / (losses) attributable to Mondelēz International were:


	Mondelēz International Shareholders’ Equity
	Currency						Derivatives
	Translation			Pension and			Accounted for
	Adjustments			Other Benefits			as Hedges			Total
	(in millions)
Balances at January 1, 2013	$	(399	)	$	(2,229	)	$	(38	)	$	(2,666	)
Other comprehensive earnings / (losses), before reclassifications:
Currency translation adjustment		(952	)		(29	)		–			(981	)
Pension and other benefits		–			713			–			713
Derivatives accounted for as hedges		(99	)		–			169			70
Losses / (gains) reclassified into net earnings		–			197			72			269
Tax (expense) / benefit		36			(244	)		(86	)		(294	)

Total other comprehensive earnings / (losses)											(223	)

Balances at December 31, 2013	$	(1,414	)	$	(1,592	)	$	117		$	(2,889	)

Amounts reclassified from accumulated other comprehensive earnings / (losses) during 2013 and their locations in the condensed consolidated financial statements were as follows:


				Location of
				Gain / (Loss)
				Recognized
	2013			in Net Earnings
	(in millions)
Pension and other benefits:
Reclassification of losses / (gains) into net earnings:
Amortization of experience losses and prior service costs⁽¹⁾	$	193
Settlement losses⁽¹⁾		4
Tax impact		(50	)	Provision for income taxes
Derivatives accounted for as hedges:
Reclassification of losses / (gains) into net earnings:
Foreign exchange contracts – forecasted transactions		28		Cost of sales
Commodity contracts		38		Cost of sales
Interest rate contracts		6		Interest and other expense, net
Tax impact		(19	)	Provision for income taxes

Total reclassifications into net earnings, net of tax		200

(1)

These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans.

- Definition

The entire disclosure for any adjustments made during the period to avoid double counting in comprehensive income items displayed as part of net income that also had been displayed as part of other comprehensive income in that period or earlier periods. These adjustments include reclassifications to net income of items in accumulated comprehensive income, such as deferred gains or losses on qualifying hedges when hedged item reported in net income, holding gains or losses on available-for-sale securities transferred into trading category, unrealized holding gains or losses on debt securities transferred from held-to-maturity category into available-for-sale category and accumulated translation adjustment attributable to foreign subsidiary or investment in foreign entity upon sale or liquidation.

+ References+ Details

Income Taxes

12 Months Ended

Dec. 31, 2013

Income Taxes

Note 15. Income Taxes

See Note 1, Summary of Significant Accounting Policies, for information related to the revision of income taxes for all years presented below.

Earnings / (losses) from continuing operations before income taxes and the provision for income taxes consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)
Earnings / (losses) from continuing operations before income taxes:
United States	$	(799	)	$	(1,822	)	$	(1,308	)
Outside United States		3,191			3,596			3,188

Total	$	2,392		$	1,774		$	1,880

Provision for income taxes:
United States federal:
Current	$	(489	)	$	(420	)	$	(404	)
Deferred		103			(43	)		10

		(386	)		(463	)		(394	)
State and local:
Current		(35	)		(17	)		(39	)
Deferred		22			(40	)		46

		(13	)		(57	)		7

Total United States		(399	)		(520	)		(387	)

Outside United States:
Current		648			896			983
Deferred		(189	)		(208	)		(480	)

Total outside United States		459			688			503

Total provision for income taxes	$	60		$	168		$	116

See Note 2, Divestitures and Acquisition, for information on taxes presented as part of discontinued operations related to the resolution of the Starbucks arbitration and the Spin-Off of Kraft Foods Group.

The effective income tax rate on pre-tax earnings differed from the U.S. federal statutory rate for the following reasons for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011

U.S. federal statutory rate		35.0%			35.0%			35.0%
Increase / (decrease) resulting from:
State and local income taxes, net of federal tax benefit excluding IRS audit impacts		(0.5%	)		(1.6%	)		0.2%
Foreign rate differences		(15.3%	)		(20.6%	)		(22.2%	)
Reversal of other tax accruals no longer required		(9.6%	)		(4.3%	)		(4.9%	)
Indemnification resolution		(4.7%	)		–			–
Tax legislation		(2.2%	)		(3.9%	)		(3.8%	)
Divestitures		(2.1%	)		0.6%			–
Non-deductible expenses		1.1%			3.6%			1.9%
Other		0.8%			0.7%			–

Effective tax rate		2.5%			9.5%			6.2%

Our 2013 effective tax rate of 2.5% was favorably impacted by the mix of pre-tax income in various foreign jurisdictions, net tax benefits from discrete one-time events and the non-taxable portion of the Cadbury acquisition related indemnification resolution, partially offset by an unfavorable tax law change. The $299 million of discrete one-time events primarily related to favorable tax audit settlements and expirations of statutes of limitations in several jurisdictions and the net reduction of U.K. deferred tax liabilities resulting from tax legislation enacted during 2013 that reduced U.K. corporate income tax rates.

Our 2012 revised effective tax rate of 9.5% was favorably impacted by the mix of pre-tax income in various foreign jurisdictions and net tax benefits from discrete one-time tax events, partially offset by non-deductible expenses. The $140 million of discrete one-time events primarily related to the net reduction of U.K. deferred tax liabilities resulting from tax legislation enacted during 2012 that reduced U.K. corporate income tax rates and net favorable tax audit settlements.

Our 2011 revised effective tax rate of 6.2% was favorably impacted by the mix of pre-tax income in various foreign jurisdictions and net tax benefits of $253 million from discrete one-time events, primarily from the net reduction of U.K. deferred tax liabilities resulting from tax legislation enacted in 2011 that reduced U.K. corporate income tax rates, the net favorable impact from tax audit developments during the year, the reversal of valuation allowances on certain foreign deferred tax assets that are now expected to be realized and adjustments to taxes payable as a result of tax return filings.

The tax effects of temporary differences that gave rise to deferred income tax assets and liabilities consisted of the following at December 31, 2013 and 2012:


	2013			2012
	(in millions)

Deferred income tax assets:
Accrued postretirement and postemployment benefits	$	176		$	157
Accrued pension costs		417			693
Loss carryforwards		553			639
Other		1,189			1,755

Total deferred income tax assets		2,335			3,244

Valuation allowance		(335	)		(426	)

Net deferred income tax assets	$	2,000		$	2,818

Deferred income tax liabilities:
Trade names	$	(5,991	)	$	(6,394	)
Property, plant and equipment		(995	)		(972	)
Other		(590	)		(896	)

Total deferred income tax liabilities		(7,576	)		(8,262	)

Net deferred income tax liabilities	$	(5,576	)	$	(5,444	)

Our significant valuation allowances reside within our operating subsidiaries in Mexico, Ireland and various other jurisdictions.

At December 31, 2013, applicable U.S. federal income taxes and foreign withholding taxes had not been provided on approximately $12.4 billion of accumulated earnings of foreign subsidiaries that are expected to be indefinitely reinvested. It is impractical for us to determine the amount of unrecognized deferred tax liabilities on these indefinitely reinvested earnings. Future tax law changes or changes in the needs of our foreign subsidiaries could require us to recognize deferred tax liabilities on a portion, or all, of our accumulated earnings that were previously expected to be indefinitely reinvested.

The changes in our unrecognized tax benefits for the years ended December 31, 2013, 2012 and 2011 were:


	2013			2012			2011
	(in millions)

January 1	$	1,164		$	1,522		$	1,256
Increases from positions taken during prior periods		94			119			220
Decreases from positions taken during prior periods		(132	)		(198	)		(147	)
Increases from positions taken during the current period		131			264			266
Decreases relating to settlements with taxing authorities		(7	)		(257	)		(17	)
Reductions resulting from the lapse of the applicable statute of limitations		(55	)		(23	)		(16	)
Impact of Spin-Off		–			(261	)		–
Currency / other		(6	)		(2	)		(40	)

December 31	$	1,189		$	1,164		$	1,522

As of January 1, 2013, our unrecognized tax benefits were $1,164 million. If we had recognized all of these benefits, the net impact on our income tax provision would have been $1,096 million. Our unrecognized tax benefits were $1,189 million at December 31, 2013, and if we had recognized all of these benefits, the net impact on our income tax provision would have been $1,110 million. Within the next 12 months, our unrecognized tax benefits could increase by approximately $50 million due to unfavorable audit developments or decrease by approximately $350 million due to audit settlements and the expiration of statutes of limitations in various jurisdictions. We include accrued interest and penalties related to uncertain tax positions in our tax provision. We had accrued interest and penalties of $230 million as of January 1, 2013 and $228 million as of December 31, 2013. Our 2013 provision for income taxes included $6 million for interest and penalties and we paid interest and penalties of $1 million during 2013.

Under the Tax Sharing and Indemnity Agreements between us and Kraft Foods Group, Kraft Foods Group generally assumes liability for all U.S. state income taxes and Canadian federal and provincial income taxes and we generally assume responsibility for all U.S. federal income taxes and substantially all foreign income taxes, excluding Canadian income taxes, for all tax periods prior to the Spin-Off. In addition, we transferred to Kraft Foods Group all of its deferred tax assets and liabilities as of the Distribution Date. See Note 2, Divestitures and Acquisition.

We are regularly examined by federal and various state and foreign tax authorities. We are currently under various income tax examinations by the IRS for the years 2007 through 2009. Our income tax filings are also currently under examination by tax authorities in various U.S. state and foreign jurisdictions. U.S. state and foreign jurisdictions have statutes of limitations generally ranging from three to five years; however, these statutes are often extended by mutual agreement with the tax authorities. Years still open to examination by foreign tax authorities in major jurisdictions include (earliest open tax year in parentheses): Germany (2005), Brazil (2008), France (2010), United Kingdom (2007), Australia (2009), Russia (2011) and India (2003).

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References+ Details

Earnings Per Share

12 Months Ended

Dec. 31, 2013

Earnings Per Share

Note 16. Earnings Per Share

Basic and diluted EPS from continuing and discontinued operations were calculated using the following:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions, except per share data)

Earnings from continuing operations	$	2,332	$	1,606	$	1,764
Earnings from discontinued operations, net of income taxes		1,603		1,488		1,810

Net earnings		3,935		3,094		3,574
Noncontrolling interest		20		27		20

Net earnings attributable to Mondelēz International	$	3,915	$	3,067	$	3,554

Weighted-average shares for basic EPS		1,774		1,777		1,765
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		15		12		7

Weighted-average shares for diluted EPS		1,789		1,789		1,772

Basic earnings per share attributable to Mondelēz International:
Continuing operations	$	1.30	$	0.90	$	0.99
Discontinued operations		0.91		0.83		1.02

Net earnings attributable to Mondelēz International	$	2.21	$	1.73	$	2.01

Diluted earnings per share attributable to Mondelēz International:
Continuing operations	$	1.29	$	0.88	$	0.99
Discontinued operations		0.90		0.83		1.02

Net earnings attributable to Mondelēz International	$	2.19	$	1.71	$	2.01

We exclude antidilutive Mondelēz International stock options from our calculation of weighted-average shares for diluted EPS. We excluded 7.0 million antidilutive options for the year ended December 31, 2013, 7.3 million antidilutive options for the year ended December 31, 2012 and 9.2 million antidilutive options for the year ended December 31, 2011. We also evaluated the ASR agreement for the potential dilutive effects of any shares remaining to be received upon final ASR settlement. We determined that the additional shares would be anti-dilutive and therefore were not included in our EPS calculation for the year ended December 31, 2013.

- Definition

The entire disclosure for earnings per share.

+ References+ Details

Segment Reporting

12 Months Ended

Dec. 31, 2013

Segment Reporting

Note 17. Segment Reporting

We manufacture and market primarily snack food and beverage products, including biscuits (cookies, crackers and salted snacks), chocolate, gum & candy, coffee & powdered beverages and various cheese & grocery products. We manage our global business and report operating results through geographic units.

Effective January 1, 2013, we reorganized our operations and management into five reportable operating segments:

•

Latin America

•

Asia Pacific

•

EEMEA

•

Europe

•

North America

We manage the operations within Latin America, Asia Pacific and EEMEA by location and Europe and North America by product category.

We use segment operating income to evaluate segment performance and allocate resources. We believe it is appropriate to disclose this measure to help investors analyze segment performance and trends. Coincident with the change in reportable segment structure, segment operating income for our North America region also changed to include all U.S. pension plan expenses, a portion of which was previously excluded from segment operating results evaluated by management as the costs were centrally managed. Segment operating income excludes unrealized gains and losses on hedging activities (which are a component of cost of sales), general corporate expenses (which are a component of selling, general and administrative expenses), amortization of intangibles, the benefit from the Cadbury acquisition-related indemnification resolution (which is a component of selling, general and administrative expenses), gains and losses on divestitures and acquisitions and acquisition-related costs (which are a component of selling, general and administrative expenses) in all periods presented. We exclude the unrealized gains and losses on hedging activities, general corporate expenses, amortization of intangibles, the benefit from the Cadbury acquisition-related indemnification resolution, gains and losses on divestitures and acquisitions and acquisition-related costs from segment operating income in order to provide better transparency of our segment operating results. Furthermore, we centrally manage interest and other expense, net. Accordingly, we do not present these items by segment because they are excluded from the segment profitability measure that management reviews. We use the same accounting policies for the segments as those described in Note 1, Summary of Significant Accounting Policies.

Our segment net revenues and earnings were:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Net revenues:
Latin America	$	5,382	$	5,396	$	5,403
Asia Pacific		4,952		5,164		4,864
EEMEA		3,915		3,735		3,836
Europe		14,059		13,817		14,874
North America		6,991		6,903		6,833

Net revenues	$	35,299	$	35,015	$	35,810


	For the Years Ended December 31,
	2013			2012			2011
	(in millions)

Earnings from continuing operations before income taxes:
Operating income:
Latin America	$	570		$	769		$	759
Asia Pacific		512			657			682
EEMEA		379			506			433
Europe		1,699			1,762			1,586
North America		889			781			787
Unrealized gains / (losses) on hedging activities		62			1			(36	)
General corporate expenses		(287	)		(728	)		(488	)
Amortization of intangibles		(217	)		(217	)		(225	)
Benefit from indemnification resolution		336			–			–
Gains on acquisition and divestitures, net		30			107			–
Acquisition-related costs		(2	)		(1	)		–

Operating income		3,971			3,637			3,498
Interest and other expense, net		(1,579	)		(1,863	)		(1,618	)

Earnings from continuing operations before income taxes	$	2,392		$	1,774		$	1,880

No single customer accounted for 10% or more of our net revenues from continuing operations in 2013. Our five largest customers accounted for 15.0% and our ten largest customers accounted for 21.6% of net revenues from continuing operations in 2013.

Items impacting our segment operating results are discussed in Note 1, Summary of Significant Accounting Policies, including the Venezuelan currency devaluation, Note 2, Divestitures and Acquisition, Note 5, Goodwill and Intangible Assets, Note 6, 2012-2014 Restructuring Program, and Note 7, Integration Program and Cost Saving Initiatives.

Total assets, depreciation expense and capital expenditures by segment were:


	As of December 31,
	2013		2012
	(in millions)

Total assets:
Latin America	$	6,860	$	7,018
Asia Pacific		9,032		9,748
EEMEA		7,045		7,105
Europe		27,599		27,513
North America		21,723		22,158
Unallocated assets ⁽¹⁾		298		1,935

Total assets	$	72,557	$	75,477

(1)

Unallocated assets consist primarily of cash and cash equivalents, deferred income taxes, centrally held property, plant and equipment, prepaid pension assets and derivative financial instrument balances.


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Depreciation expense:
Latin America	$	107	$	98	$	105
Asia Pacific		107		100		99
EEMEA		88		77		90
Europe		359		368		397
North America		199		224		205

Total – continuing operations		860		867		896
Discontinued operations		–		261		364

Total depreciation expense	$	860	$	1,128	$	1,260


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Capital Expenditures:
Latin America	$	412	$	220	$	262
Asia Pacific		268		250		195
EEMEA		254		227		191
Europe		478		414		443
North America		210		217		279

Total – continuing operations		1,622		1,328		1,370
Discontinued operations		–		282		401

Total capital expenditures	$	1,622	$	1,610	$	1,771

Net revenues by consumer sector were:


	For the Year Ended December 31, 2013
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,287	$	1,311	$	678	$	2,990	$	5,406	$	11,672
Chocolate		1,143		1,632		1,180		5,385		325		9,665
Gum & Candy		1,380		849		673		968		1,187		5,057
Beverages		907		470		1,113		3,340		–		5,830
Cheese & Grocery		665		690		271		1,376		73		3,075

Total net revenues	$	5,382	$	4,952	$	3,915	$	14,059	$	6,991	$	35,299


	For the Year Ended December 31, 2012
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,207	$	1,374	$	595	$	2,761	$	5,212	$	11,149
Chocolate		1,128		1,686		1,139		5,067		336		9,356
Gum & Candy		1,434		899		726		999		1,280		5,338
Beverages		953		453		1,025		3,411		1		5,843
Cheese & Grocery		674		752		250		1,579		74		3,329

Total net revenues	$	5,396	$	5,164	$	3,735	$	13,817	$	6,903	$	35,015


	For the Year Ended December 31, 2011
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,175	$	1,223	$	573	$	2,986	$	5,031	$	10,988
Chocolate		1,096		1,614		1,231		5,272		352		9,565
Gum & Candy		1,550		914		721		1,156		1,351		5,692
Beverages		960		392		1,058		3,645		2		6,057
Cheese & Grocery		622		721		253		1,815		97		3,508

Total net revenues	$	5,403	$	4,864	$	3,836	$	14,874	$	6,833	$	35,810

Geographic data for net revenues and long-lived assets were:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Net revenues:
United States	$	5,965	$	5,974	$	5,848
Other		29,334		29,041		29,962

Total net revenues	$	35,299	$	35,015	$	35,810


	As of December 31,
	2013		2012
	(in millions)

Long-lived assets:
United States	$	17,948	$	18,160
Other		41,393		41,644

Total long-lived assets	$	59,341	$	59,804

No individual country within Other exceeded 10% of our net revenues or long-lived assets for all periods presented.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

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-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 33

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 12

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599

+ Details

Quarterly Financial Data

12 Months Ended

Dec. 31, 2013

Quarterly Financial Data

Note 18. Quarterly Financial Data (Unaudited)

Our summarized operating results by quarter are detailed below. See Note 1, Summary of Significant Accounting Policies, for additional information on the revision of previously reported financial information.


	2013 Quarters
	First								Second							Third							Fourth
	Reported			Correction			Revised		Reported		Correction			Revised		Reported		Correction			Revised
	(in millions, except per share data)

Net revenues	$	8,744		$	–		$	8,744	$	8,595	$	–		$	8,595	$	8,472	$	–		$	8,472	$	9,488
Gross profit	$	3,242		$	–		$	3,242	$	3,231	$	–		$	3,231	$	3,144	$	–		$	3,144	$	3,493
Provision for income taxes	$	(19	)	$	32		$	13	$	13	$	15		$	28	$	14	$	12		$	26	$	(7	)
Earnings from continuing operations	$	574		$	(32	)	$	542	$	617	$	(15	)	$	602	$	1,030	$	(12	)	$	1,018	$	170
Earnings from discontinued operations, net of income taxes	$	–		$	–		$	–	$	–	$	–		$	–	$	–	$	–		$	–	$	1,603

Net earnings	$	574		$	(32	)	$	542	$	617	$	(15	)	$	602	$	1,030	$	(12	)	$	1,018	$	1,773
Noncontrolling interest		6			–			6		1		–			1		6		–			6		7

Net earnings attributable to Mondelēz International	$	568		$	(32	)	$	536	$	616	$	(15	)	$	601	$	1,024	$	(12	)	$	1,012	$	1,766

Weighted-average shares for diluted EPS		1,798			–			1,798		1,803		–			1,803		1,794		–			1,794		1,761

Per share data:
Basic EPS attributable to Mondelēz International:
Continuing operations	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	–		$	0.34	$	0.58	$	(0.01	)	$	0.57	$	0.09
Discontinued operations		–			–			–		–		–			–		–		–			–		0.92

Net earnings attributable to Mondelēz International	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	–		$	0.34	$	0.58	$	(0.01	)	$	0.57	$	1.01

Diluted EPS attributable to Mondelēz International:
Continuing operations	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	(0.01	)	$	0.33	$	0.57	$	(0.01	)	$	0.56	$	0.09
Discontinued operations		–			–			–		–		–			–		–		–			–		0.91

Net earnings attributable to Mondelēz International	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	(0.01	)	$	0.33	$	0.57	$	(0.01	)	$	0.56	$	1.00

Dividends declared	$	0.13		$	–		$	0.13	$	0.13	$	–		$	0.13	$	0.14	$	–		$	0.14	$	0.14
Market price⁽¹⁾ - high	$	30.66		$	–		$	30.66	$	32.10	$	–		$	32.10	$	33.08	$	–		$	33.08	$	35.43
- low	$	25.78		$	–		$	25.78	$	28.22	$	–		$	28.22	$	28.50	$	–		$	28.50	$	30.07

(1)

In the third quarter of 2013, we recorded a $385 million pre-tax gain ($363 million net of tax) due to the resolution of a Cadbury acquisition-related indemnification. See Note 12, Commitments and Contingencies, for additional information. In the fourth quarter of 2013, we recorded a $608 million pre-tax loss ($386 million net of tax) in connection with extinguishing debt in the December 18, 2013 tender offer and a $2.5 billion pre-tax gain ($1.6 billion net of tax) on the resolution of the Starbucks arbitration. See Note 8, Debt and Borrowing Arrangements and Note 2, Divestitures and Acquisition, for additional information.


	2012 Quarters
	First							Second						Third									Fourth
	Reported		Correction			Revised		Reported		Corection		Revised		Reported			Correction			Revised			Reported			Correction			Revised
	(in millions, except per share data)

Net revenues	$	8,667	$	–		$	8,667	$	8,527	$	–	$	8,527	$	8,326		$	–		$	8,326		$	9,495		$	–		$	9,495
Gross profit	$	3,195	$	–		$	3,195	$	3,211	$	–	$	3,211	$	3,120		$	–		$	3,120		$	3,550		$	–		$	3,550
Provision for income taxes	$	77	$	1		$	78	$	103	$	–	$	103	$	(76	)	$	(5	)	$	(81	)	$	103		$	(35	)	$	68
Earnings from continuing operations	$	339	$	(1	)	$	338	$	490	$	–	$	490	$	177		$	5		$	182		$	561		$	35		$	596
Earnings from discontinued operations, net of income taxes	$	480	$	–		$	480	$	544	$	–	$	544	$	482		$	–		$	482		$	(18	)	$	–		$	(18	)

Net earnings	$	819	$	(1	)	$	818	$	1,034	$	–	$	1,034	$	659		$	5		$	664		$	543		$	35		$	578
Noncontrolling interest		6		–			6		5		–		5		7			–			7			9			–			9

Net earnings attributable to Mondelēz International	$	813	$	(1	)	$	812	$	1,029	$	–	$	1,029	$	652		$	5		$	657		$	534		$	35		$	569

Weighted-average shares for diluted EPS		1,783		–			1,783		1,786		–		1,786		1,789			–			1,789			1,793			–			1,793

Per share data:
Basic EPS attributable to Mondelēz International:
Continuing operations	$	0.19	$	–		$	0.19	$	0.27	$	–	$	0.27	$	0.10		$	–		$	0.10		$	0.31		$	0.02		$	0.33
Discontinued operations		0.27		–			0.27		0.31		–		0.31		0.27			–			0.27			(0.01	)		–			(0.01	)

Net earnings attributable to Mondelēz International	$	0.46	$	–		$	0.46	$	0.58	$	–	$	0.58	$	0.37		$	–		$	0.37		$	0.30		$	0.02		$	0.32

Diluted EPS attributable to Mondelēz International:
Continuing operations	$	0.19	$	–		$	0.19	$	0.27	$	–	$	0.27	$	0.10		$	0.01		$	0.11		$	0.31		$	0.02		$	0.33
Discontinued operations		0.27		–			0.27		0.31		–		0.31		0.26			–			0.26			(0.01	)		–			(0.01	)

Net earnings attributable to Mondelēz International	$	0.46	$	–		$	0.46	$	0.58	$	–	$	0.58	$	0.36		$	0.01		$	0.37		$	0.30		$	0.02		$	0.32

Dividends declared	$	0.29	$	–		$	0.29	$	0.29	$	–	$	0.29	$	0.29		$	–		$	0.29		$	0.13		$	–		$	0.13
Market price⁽¹⁾ - high	$	39.06	$	–		$	39.06	$	39.99	$	–	$	39.99	$	42.44		$	–		$	42.44		$	42.54		$	–		$	42.54
- low	$	37.17	$	–		$	37.17	$	36.75	$	–	$	36.75	$	37.15		$	–		$	37.15		$	24.50		$	–		$	24.50

(1)	The market prices in the table above reflect historical stock prices which were not adjusted to reflect the Kraft Foods Group Spin-Off on October 1, 2012.

Basic and diluted EPS are computed independently for each of the periods presented. Accordingly, the sum of the quarterly EPS amounts may not equal the total for the year.

During 2013, we recorded the following pre-tax charges / (gains) in earnings from continuing operations:


	2013 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	44		$	48		$	43		$	138
Benefit from indemnification resolution		–			–			(385	)		–
Loss on debt extinguishment		–			–			–			608
(Gains) / losses on divestitures, net		(22	)		(6	)		–			(2	)

	$	22		$	42		$	(342	)	$	744

During 2012, we recorded the following pre-tax charges / (gains) in earnings from continuing operations:


	2012 Quarters
	First		Second		Third		Fourth
	(in millions)

Asset impairment and exit costs	$	44	$	27	$	13	$	69
(Gains) / losses on divestitures, net		–		–		–		(107	)

	$	44	$	27	$	13	$	(38	)

- Definition

The entire disclosure for the quarterly financial data in the annual financial statements. The disclosure may include a tabular presentation of financial information for each fiscal quarter for the current and previous year, including revenues, gross profit, income or loss before extraordinary items and earnings per share data. It also includes an indication if the information in the note is unaudited, comments on the aggregate effect of year-end adjustments, and an explanation of matters or transactions that affect comparability or are pertinent to an understanding of the information furnished.

+ References+ Details

Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2013

Valuation and Qualifying Accounts

Mondelēz International, Inc. and Subsidiaries

Valuation and Qualifying Accounts

For the Years Ended December 31, 2013, 2012 and 2011

(in millions)


Col. A	Col. B		Col. C						Col. D			Col. E
			Additions
Description	Balance at Beginning of Period		Charged to Costs and Expenses			Charged to Other Accounts			Deductions			Balance at End of Period
						(a)			(b)

2013:
Allowance for trade receivables	$	118	$	14		$	(11	)	$	35		$	86
Allowance for other current receivables		45		20			–			(8	)		73
Allowance for long-term receivables		16		–			–			–			16
Allowance for deferred taxes		426		20			–			111			335

	$	605	$	54		$	(11	)	$	138		$	510

2012:
Allowance for trade receivables	$	143	$	27		$	(32	)	$	20		$	118
Allowance for other current receivables		40		6			(7	)		(6	)		45
Allowance for long-term receivables		19		(4	)		(1	)		(2	)		16
Allowance for deferred taxes		464		63			(17	)		84			426

	$	666	$	92		$	(57	)	$	96		$	605

2011:
Allowance for trade receivables	$	246	$	25		$	(12	)	$	116		$	143
Allowance for other current receivables		29		8			6			3			40
Allowance for long-term receivables		13		–			6			–			19
Allowance for deferred taxes		401		205			(17	)		125			464

	$	689	$	238		$	(17	)	$	244		$	666

Notes:

(a)	Primarily related to divestitures, acquisitions and currency translation.

(b)	Represents charges for which allowances were created.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2013

Description of Business

Description of Business:

Discontinued Operation

Discontinued Operation:

Segment Reorganization

Segment Reorganization:

Effective January 1, 2013, we reorganized our operations and management into five reportable operating segments:

•

Latin America (formerly in our Developing Markets segment)

•

Asia Pacific (formerly in our Developing Markets segment)

•

Eastern Europe, Middle East & Africa (“EEMEA”) (formerly in our Developing Markets segment)

•

Europe (now includes certain European operations previously managed within the EEMEA segment)

•

North America

Principles of Consolidation

Principles of Consolidation:

Accounting Calendar Changes

Accounting Calendar Changes:

Revision of Financial Statements

Revision of Financial Statements:

Consolidated Statement of Earnings


	For the Years Ended December 31,
	2012							2011
	Reported		Correction			Revised		Reported		Correction			Revised
	(in millions, except per share data)

Provision for income taxes		207		(39	)		168		143		(27	)		116
Earnings from continuing operations		1,567		39			1,606		1,737		27			1,764
Net earnings		3,055		39			3,094		3,547		27			3,574
Net earnings attributable to Mondelēz International		3,028		39			3,067		3,527		27			3,554
Net earnings attributable to Mondelēz International:
Per share, basic (continuing operations)	$	0.87	$	0.03		$	0.90	$	0.97	$	0.02		$	0.99
Per share, diluted (continuing operations)	$	0.86	$	0.02		$	0.88	$	0.97	$	0.02		$	0.99

Net earnings attributable to Mondelēz International:
Per share, basic	$	1.70	$	0.03		$	1.73	$	2.00	$	0.01		$	2.01
Per share, diluted	$	1.69	$	0.02		$	1.71	$	1.99	$	0.02		$	2.01

Consolidated Statement of Comprehensive Earnings


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction		Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27		3,574
Translation adjustment		791			(32	)		759			(1,245	)		–		(1,245	)
Total other comprehensive losses		(298	)		(32	)		(330	)		(2,757	)		–		(2,757	)
Comprehensive earnings		2,757			7			2,764			790			27		817
Comprehensive earnings attributable to Mondelēz International		2,724			7			2,731			780			27		807

Consolidated Balance Sheet


	As of December 31,
	2012
	Reported			Correction			Revised
	(in millions)
Current deferred income taxes		542			51			593
Total current assets		15,622			51			15,673
Goodwill		25,801			(61	)		25,740
Other assets		1,475			9			1,484
Total Assets		75,478			(1	)		75,477
Other current liabilities		2,858			(3	)		2,855
Total current liabilities		14,873			(3	)		14,870
Non-current deferred income taxes		6,302			(67	)		6,235
Other liabilities		3,038			8			3,046
Total Liabilities		43,123			(62	)		43,061
Retained earnings		10,457			94			10,551
Accumulated other comprehensive losses		(2,633	)		(33	)		(2,666	)
Total Mondelēz International Shareholders’ Equity		32,215			61			32,276

Consolidated Statements of Cash Flows


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction			Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27			3,574
Deferred income tax (benefit) / provision		410			(41	)		369			(351	)		–			(351	)
Other non-cash expense, net		48			(4	)		44			81			1			82
Change in other current liabilities		(1,166	)		6			(1,160	)		676			(28	)		648
Net cash provided by operating activities		3,923			–			3,923			4,520			–			4,520

Use of Estimates

Use of Estimates:

Foreign Currency, Including Highly Inflationary Accounting

Foreign Currency, including Highly Inflationary Accounting:

Cash and Cash Equivalents

Cash and Cash Equivalents:

Cash and cash equivalents include demand deposits with banks and all highly liquid investments with original maturities of three months or less.

Inventories

Inventories:

Long-Lived Assets

Long-Lived Assets:

Software Costs

Software Costs:

Goodwill and Non-Amortizable Intangible Assets

Goodwill and Non-Amortizable Intangible Assets:

Definite-lived intangible assets are amortized over their estimated useful lives and evaluated for impairment as long-lived assets.

Insurance and Self-Insurance

Insurance and Self-Insurance:

Revenue Recognition

Revenue Recognition:

Marketing and Research and Development

Marketing and Research and Development:

Environmental Costs

Environmental Costs:

Employee Benefit Plans

Employee Benefit Plans:

Financial Instruments

Financial Instruments:

Income Taxes

Income Taxes:

New Accounting Pronouncements

New Accounting Pronouncements:

Reclassifications

Reclassifications:

Subsequent Events

Subsequent Events:

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2013

Effects of Prior Period Corrections on Annual Consolidated Statement of Earnings

Consolidated Statement of Earnings


	For the Years Ended December 31,
	2012							2011
	Reported		Correction			Revised		Reported		Correction			Revised
	(in millions, except per share data)

Provision for income taxes		207		(39	)		168		143		(27	)		116
Earnings from continuing operations		1,567		39			1,606		1,737		27			1,764
Net earnings		3,055		39			3,094		3,547		27			3,574
Net earnings attributable to Mondelēz International		3,028		39			3,067		3,527		27			3,554
Net earnings attributable to Mondelēz International:
Per share, basic (continuing operations)	$	0.87	$	0.03		$	0.90	$	0.97	$	0.02		$	0.99
Per share, diluted (continuing operations)	$	0.86	$	0.02		$	0.88	$	0.97	$	0.02		$	0.99

Net earnings attributable to Mondelēz International:
Per share, basic	$	1.70	$	0.03		$	1.73	$	2.00	$	0.01		$	2.01
Per share, diluted	$	1.69	$	0.02		$	1.71	$	1.99	$	0.02		$	2.01

Effects of Prior Period Corrections on Annual Consolidated Statement of Comprehensive Earnings

Consolidated Statement of Comprehensive Earnings


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction		Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27		3,574
Translation adjustment		791			(32	)		759			(1,245	)		–		(1,245	)
Total other comprehensive losses		(298	)		(32	)		(330	)		(2,757	)		–		(2,757	)
Comprehensive earnings		2,757			7			2,764			790			27		817
Comprehensive earnings attributable to Mondelēz International		2,724			7			2,731			780			27		807

Effects of Prior Period Corrections on Annual Consolidated Balance Sheets

Consolidated Balance Sheet


	As of December 31,
	2012
	Reported			Correction			Revised
	(in millions)
Current deferred income taxes		542			51			593
Total current assets		15,622			51			15,673
Goodwill		25,801			(61	)		25,740
Other assets		1,475			9			1,484
Total Assets		75,478			(1	)		75,477
Other current liabilities		2,858			(3	)		2,855
Total current liabilities		14,873			(3	)		14,870
Non-current deferred income taxes		6,302			(67	)		6,235
Other liabilities		3,038			8			3,046
Total Liabilities		43,123			(62	)		43,061
Retained earnings		10,457			94			10,551
Accumulated other comprehensive losses		(2,633	)		(33	)		(2,666	)
Total Mondelēz International Shareholders’ Equity		32,215			61			32,276

Effects of Prior Period Corrections on Annual Consolidated Statements of Cash Flows

Consolidated Statements of Cash Flows


	For the Years Ended December 31,
	2012									2011
	Reported			Correction			Revised			Reported			Correction			Revised
	(in millions)

Net earnings		3,055			39			3,094			3,547			27			3,574
Deferred income tax (benefit) / provision		410			(41	)		369			(351	)		–			(351	)
Other non-cash expense, net		48			(4	)		44			81			1			82
Change in other current liabilities		(1,166	)		6			(1,160	)		676			(28	)		648
Net cash provided by operating activities		3,923			–			3,923			4,520			–			4,520

Divestitures and Acquisition (Tables)

12 Months Ended

Dec. 31, 2013

Interest Expense Relating to Debt including Results from Discontinued Operations

Interest expense relating to debt Kraft Foods Group incurred or assumed through October 1, 2012 has been included in the results from discontinued operations for all periods presented and as follows:


	Nine Months Ended		Year Ended
	October 1, 2012		December 31, 2011
	(in millions)

$6.0 billion note issuance in June 2012	$	70	$	–
$3.6 billion notes exchanged in July 2012		171		226
$0.4 billion debt transferred in October 2012		24		31
Capital leases and other		13		10

	$	278	$	267

Summary of Spin-Off Costs within Pre-Tax Earnings

We incurred the following Spin-Off Costs within our pre-tax earnings:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Selling, general and administrative expenses	$	62	$	444	$	46
Interest and other expense, net		–		609		–

Spin-Off Costs	$	62	$	1,053	$	46

Kraft Foods Group

Summary Results of Operations

A summary of results related to the discontinued operation of Kraft Foods Group within our historical results is presented below:


	Fourth Quarter Ended		Nine Months Ended		Year Ended
	December 31, 2013		October 1, 2012		December 31, 2011
	(in millions)

Net revenues		–	$	13,768	$	18,555

Earnings before income taxes	$	2,522	$	2,266	$	2,892
Provision for income taxes		919		778		1,082

Earnings from discontinued operations, net of income taxes	$	1,603	$	1,488	$	1,810

Assets and Liablities Distributed

On October 1, 2012, we divested the following assets and liabilities which net to $4,358 million, or $4,111 million net of cash retained by Kraft Foods Group on the Distribution Date (in millions):


Assets
Cash	$	247
Receivables		1,685
Inventories, net		2,099
Deferred income taxes		338
Other current assets		168
Property, plant and equipment, net		4,211
Goodwill		11,911
Intangible assets, net		2,632
Prepaid pension assets		16
Other assets		856

	$	24,163

Liabilities
Current portion of long-term debt	$	6
Accounts payable		1,798
Accrued marketing		463
Accrued employment costs		190
Other current liabilities		751
Long-term debt		9,965
Deferred income taxes		874
Accrued pension costs		2,026
Accrued postretirement health care costs		3,316
Other liabilities		416

	$	19,805

Net assets divested in the Spin-Off	$	4,358

- Definition

Tabular disclosure of disposal groups, which may include the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the classification and carrying value of the assets and liabilities comprising the disposal group, and the segment in which the disposal group was reported. Also may include the amount of adjustments to amounts previously reported in discontinued operations such as resolution of contingencies arising from the disposal transaction or the operations of the component prior to disposal.

+ References+ Details

Property, Plant and Equipment (Tables)

12 Months Ended

Dec. 31, 2013

Components of Property, Plant and Equipment

Property, plant and equipment at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Land and land improvements	$	617		$	643
Buildings and building improvements		3,270			3,199
Machinery and equipment		12,351			11,992
Construction in progress		1,376			1,022

		17,614			16,856
Accumulated depreciation		(7,367	)		(6,846	)

Property, plant and equipment, net	$	10,247		$	10,010

Goodwill and Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2013

Schedule of Goodwill by Reportable Segment

At December 31, 2013 and 2012, goodwill by reportable segment, revised to reflect our new segment structure, was:


	2013		2012
	(in millions)

Latin America	$	1,262	$	1,381
Asia Pacific		2,504		2,729
EEMEA		2,764		2,763
Europe		10,026		9,767
North America		9,041		9,100

Goodwill	$	25,597	$	25,740

Intangible Assets Disclosure

Intangible assets at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Non-amortizable intangible assets	$	20,067		$	20,408
Amortizable intangible assets		2,852			2,861

		22,919			23,269
Accumulated amortization		(925	)		(717	)

Intangible assets, net	$	21,994		$	22,552

Changes in Goodwill and Intangible Assets

Changes in goodwill and intangible assets consisted of:


	2013						2012
				Intangible						Intangible
	Goodwill			Assets, at cost			Goodwill			Assets, at cost
	(in millions)

Balance at January 1	$	25,740		$	23,269		$	37,234		$	25,712
Changes due to:
Foreign currency		(336	)		(390	)		438			262
Divestitures		(13	)		(7	)		(11,932	)		(2,669	)
Asset impairments		–			–			–			(52	)
Acquisitions		209			48			–			14
Other		(3	)		(1	)		–			2

Balance at December 31	$	25,597		$	22,919		$	25,740		$	23,269

2012-2014 Restructuring Program (Tables)

12 Months Ended

Dec. 31, 2013

Schedule of Restructuring Costs

The activity in the 2012-2014 Restructuring Program liability for the years ended December 31, 2012 and December 31, 2013 was:


	Severance
	and related			Asset
	costs			Write-downs			Total
	(in millions)

Liability balance, January 1, 2012	$	–		$	–		$	–
Charges		84			18			102
Cash spent		(33	)		–			(33	)
Non-cash settlements		(15	)		(18	)		(33	)

Liability balance, December 31, 2012	$	36		$	–		$	36

Charges		176			91			267
Cash spent		(108	)		–			(108	)
Non-cash settlements		(36	)		(91	)		(127	)

Liability balance, December 31, 2013	$	68		$	–		$	68

Schedule of Restructuring and Implementation Costs

During 2013 and 2012, we recorded restructuring and implementation costs within operating income as follows:


	For the Year Ended December 31, 2013						For the Year Ended December 31, 2012
	Restructuring		Implementation				Restructuring		Implementation
	Costs		Costs		Total		Costs		Costs		Total
	(in millions)						(in millions)

Latin America	$	21	$	–	$	21	$	7	$	–	$	7
Asia Pacific		2		–		2		–		–		–
EEMEA		12		2		14		–		–		–
Europe		95		36		131		6		–		6
North America		135		25		160		89		8		97
Corporate		2		–		2		–		–		–

Total	$	267	$	63	$	330	$	102	$	8	$	110

Debt and Borrowing Arrangements (Tables)

12 Months Ended

Dec. 31, 2013

Short-Term Borrowings

At December 31, 2013 and 2012, our short-term borrowings and related weighted-average interest rates consisted of:


	2013				2012
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	1,410		0.4%	$	–		–
Bank loans		226		7.0%		274		7.2%

Total short-term borrowings	$	1,636			$	274

Long-Term Debt

At December 31, 2013 and 2012, our long-term debt consisted of (interest rates were as of December 31, 2013):


	2013			2012
	(in millions)

U.S. dollar notes, 4.125% to 7.00% (average effective rate 6.08%), due through 2040	$	9,907		$	16,887
Euro notes, 0.72% to 6.25% (average effective rate 3.04%), due through 2021		4,448			1,119
Pound sterling notes, 5.375% to 7.25% (average effective rate 4.94%), due through 2018		1,116			1,109
Other foreign currency obligations		12			32
Capital leases and other		2			4

Total		15,485			19,151
Less current portion of long-term debt		(1,003	)		(3,577	)

Long-term debt	$	14,482		$	15,574

Aggregate Maturities of Debt Based on Stated Contractual Maturities

As of December 31, 2013, aggregate maturities of our debt based on stated contractual maturities were (in millions):


2014	2015	2016	2017	2018	Thereafter	Total
$999	$1,720	$1,760	$1,621	$1,731	$7,682	$15,513

Interest and Other Expense, Net within Results of Continuing Operations

Interest and other expense, net within our results of continuing operations consisted of:


	For the Years Ended December 31,
	2013			2012		2011
	(in millions)

Interest expense, debt	$	1,017		$	1,177	$	1,383
Loss on debt extinguishment and related expenses	$	612		$	–	$	–
Spin-Off-related financing fees		–			609		–
Other expense / (income), net		(50	)		77		235

Total interest and other expense, net	$	1,579		$	1,863	$	1,618

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

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-Name Accounting Standards Codification

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Reference 3: http://www.xbrl.org/2003/role/presentationRef

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-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 02

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-Article 5

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

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+ Details

Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2013

Fair Value of Derivatives Instruments

Derivative instruments were recorded at fair value in the consolidated balance sheets as of December 31, 2013 and 2012 as follows:


	2013				2012
	Derivative		Derivative		Derivative		Derivative
	Assets		Liabilities		Assets		Liabilities
	(in millions)

Derivatives designated as hedging instruments:
Foreign exchange contracts	$	3	$	11	$	6	$	10
Commodity contracts		2		3		3		34
Interest rate contracts		209		–		16		–

	$	214	$	14	$	25	$	44

Derivatives not designated as hedging instruments:
Foreign exchange contracts	$	84	$	8	$	16	$	33
Commodity contracts		60		51		106		103
Interest rate contracts		64		38		93		61

	$	208	$	97	$	215	$	197

Total fair value	$	422	$	111	$	240	$	241

Notional Values of Derivative Instruments

The net notional values of our derivative instruments as of December 31, 2013 and 2012 were:


	Notional Amount
	2013		2012
	(in millions)

Foreign exchange contracts:
Intercompany loans and forecasted interest payments	$	4,369	$	3,743
Forecasted transactions		2,565		1,663
Commodity contracts		805		620
Interest rate contracts		2,273		2,259
Net investment hedge – euro notes		4,466		1,121
Net investment hedge – pound sterling notes		1,076		1,057

Hedges of Net Investments in Foreign Operations

After-tax gains / (losses) from continuing operations related to hedges of net investments in foreign operations in the form of euro and pound sterling-denominated debt were:


	2013			2012			2011		Location of Gain / (Loss) Recognized in AOCI
	(in millions)

Euro notes	$	(50	)	$	(41	)	$	77	Currency Translation
Pound sterling notes		(13	)		(29	)		3	Adjustment

Derivative

Schedule of Derivative Instruments Fair Value and Measurement Inputs

The fair value (asset / (liability)) of our derivative instruments at December 31, 2013 were determined using:


			Quoted Prices in
			Active Markets			Significant		Significant
	Total		for Identical			Other Observable		Unobservable
	Fair Value of Net		Assets			Inputs		Inputs
	Asset / (Liability)		(Level 1)			(Level 2)		(Level 3)
	(in millions)

Foreign exchange contracts	$	68	$	–		$	68	$	–
Commodity contracts		8		(4	)		12		–
Interest rate contracts		235		–			235		–

Total derivatives	$	311	$	(4	)	$	315	$	–

The fair value (asset / (liability)) of our derivative instruments at December 31, 2012 were determined using:


				Quoted Prices in
				Active Markets			Significant			Significant
	Total			for Identical			Other Observable			Unobservable
	Fair Value of Net			Assets			Inputs			Inputs
	Asset / (Liability)			(Level 1)			(Level 2)			(Level 3)
	(in millions)

Foreign exchange contracts	$	(21	)	$	–		$	(21	)	$	–
Commodity contracts		(28	)		(53	)		25			–
Interest rate contracts		48			–			48			–

Total derivatives	$	(1	)	$	(53	)	$	52		$	–

Cash Flow Hedges

Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Income, Net of Taxes

Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings / (losses) included:


	2013			2012			2011
	(in millions)

Accumulated gain / (loss) at January 1	$	(38	)	$	(297	)	$	79
Transfer of realized (gains) / losses in fair value to earnings		53			312			118
Unrealized gain / (loss) in fair value		102			(75	)		(444	)
Discontinued operations		–			(134	)		(50	)
Impact of Spin-Off		–			156			–

Accumulated gain / (loss) at December 31	$	117		$	(38	)	$	(297	)

Schedule of Effects of Derivative Instruments

After-tax gains / (losses) reclassified from accumulated other comprehensive earnings / (losses) into net earnings from continuing operations were:


	2013			2012			2011
	(in millions)

Foreign exchange contracts – intercompany loans	$	–		$	–		$	2
Foreign exchange contracts – forecasted transactions		(26	)		58			(38	)
Commodity contracts		(23	)		(10	)		19
Interest rate contracts		(4	)		(360	)		(101	)

Total	$	(53	)	$	(312	)	$	(118	)

After-tax gains / (losses) recognized in other comprehensive earnings / (losses) from continuing operations were:


	2013			2012			2011
	(in millions)

Foreign exchange contracts – intercompany loans	$	–		$	–		$	1
Foreign exchange contracts – forecasted transactions		(23	)		(16	)		12
Commodity contracts		3			(24	)		(22	)
Interest rate contracts		122			(35	)		(435	)

Total	$	102		$	(75	)	$	(444	)

Pre-tax gains / (losses) on ineffectiveness recognized in net earnings from continuing operations were:


	2013		2012			2011
	(in millions)

Commodity contracts	$	1	$	(3	)	$	(4	)
Interest rate contracts		–		(23	)		(2	)

Total	$	1	$	(26	)	$	(6	)

Pre-tax gains / (losses) on amounts excluded from effectiveness testing recognized in net earnings from continuing operations were:


	2013		2012			2011
	(in millions)

Commodity contracts	$	–	$	–		$	(17	)
Interest rate contracts		–		(556	)		(156	)

Total	$	–	$	(556	)	$	(173	)

Fair Value Hedges

Schedule of Effects of Derivative Instruments

Pre-tax gains / (losses) from continuing operations due to changes in fair value of our interest rate swaps and related hedged long-term debt were recorded in interest and other expense, net:


	2013		2012			2011
	(in millions)

Derivatives	$	–	$	(2	)	$	(6	)
Borrowings		–		2			6

Economic Hedging

Schedule of Effects of Derivative Instruments

Pre-tax gains / (losses) recorded in net earnings from continuing operations for economic hedges which are not designated as hedging instruments were:


	2013		2012			2011			Location of Gain / (Loss) Recognized in Earnings
	(in millions)

Foreign exchange contracts:
Intercompany loans and forecasted interest payments	$	18	$	24		$	34		Interest expense
Forecasted transactions		65		7			4		Cost of sales
Forecasted transactions		9		(17	)		3		Interest expense
Forecasted transactions		4		–			–		Selling, general and administrative expenses
Interest rate contracts		–		3			(3	)	Interest expense
Commodity contracts		65		100			135		Cost of sales

Total	$	161	$	117		$	173

- Definition

Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

+ References+ Details

Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2013

Pension Plans

Projected Benefit Obligations, Plan Assets and Funded Status of Pension Plans

The projected benefit obligations, plan assets and funded status of our pension plans at December 31, 2013 and 2012 were:


	U.S. Plans						Non-U.S. Plans
	2013			2012			2013			2012
	(in millions)

Benefit obligation at January 1	$	1,389		$	7,472		$	9,786		$	9,581
Service cost		71			142			172			172
Interest cost		60			275			358			425
Benefits paid		(14	)		(241	)		(420	)		(459	)
Settlements paid		(59	)		(211	)		–			–
Actuarial (gains) / losses		(182	)		1,157			(184	)		1,060
Spin-Off impact		–			(7,207	)		–			(1,387	)
Currency		–			–			183			350
Other		1			2			25			44

Benefit obligation at December 31		1,266			1,389			9,920			9,786


Fair value of plan assets at January 1		903			5,829			7,381			7,600
Actual return on plan assets		111			663			675			684
Contributions		178			349			350			353
Benefits paid		(14	)		(241	)		(420	)		(459	)
Settlements paid		(59	)		(211	)		–			–
Spin-Off impact		–			(5,486	)		–			(1,064	)
Currency		–			–			136			267
Other		(1	)		–			–			–

Fair value of plan assets at December 31		1,118			903			8,122			7,381

Net pension liability recognized at December 31	$	(148	)	$	(486	)	$	(1,798	)	$	(2,405	)

Pension Plans Resulted in Net Pension Liability

We recognized these amounts in our consolidated balance sheets at December 31, 2013 and 2012 as follows:


	2013			2012
	(in millions)

Prepaid pension assets	$	54		$	18
Other accrued liabilities		(38	)		(24	)
Accrued pension costs		(1,962	)		(2,885	)

	$	(1,946	)	$	(2,891	)

Projected Benefit Obligations, Accumulated Benefit Obligations and Fair Value of Plan Assets

For these plans, the projected benefit obligations, accumulated benefit obligations and the fair value of plan assets at December 31, 2013 and 2012 were:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012
	(in millions)

Projected benefit obligation	$	86	$	1,389	$	8,379	$	9,539
Accumulated benefit obligation		73		1,218		8,197		9,230
Fair value of plan assets		2		903		6,571		7,119

Components of Net Costs

Net pension cost consisted of the following for the years ended December 31, 2013, 2012, and 2011:


	U.S. Plans									Non-U.S. Plans
	2013			2012			2011			2013			2012			2011
	(in millions)

Service cost	$	71		$	142		$	146		$	172		$	172		$	170
Interest cost		60			275			364			358			425			458
Expected return on plan assets		(67	)		(358	)		(496	)		(435	)		(494	)		(536	)
Amortization:
Net loss from experience differences		55			253			225			136			121			101
Prior service cost		2			6			7			1			3			2
Other expenses		1			113			105			3			22			14
Net pension costs related to discontinued operations		–			(263	)		(233	)		–			(29	)		(29	)

Net pension cost included in continuing operations	$	122		$	168		$	118		$	235		$	220		$	180

Fair Values of Pension Plan Assets

The fair value of pension plan assets at December 31, 2013 was determined using the following fair value measurements:


Asset Category	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	104	$	104	$	–	$	–
Non-U.S. equity securities		665		665		–		–
Pooled funds-equity securities		2,571		799		1,772		–

Total equity securities		3,340		1,568		1,772		–

Government bonds		1,560		308		1,252		–
Pooled funds-fixed-income securities		1,176		311		850		15
Corporate bonds and other fixed-income securities		1,350		108		462		780

Total fixed-income securities		4,086		727		2,564		795

Real estate		381		110		4		267
Hedge funds		820		–		–		820
Private equity		227		–		–		227
Cash		251		251		–		–
Other		54		–		54		–

Total	$	9,159	$	2,656	$	4,394	$	2,109

The fair value of pension plan assets at December 31, 2012 was determined using the following fair value measurements:


Asset Category	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	186	$	185	$	1	$	–
Non-U.S. equity securities		932		932		–		–
Pooled funds-equity securities		1,673		590		1,083		–

Total equity securities		2,791		1,707		1,084		–

Government bonds		1,440		209		1,231		–
Pooled funds-fixed-income securities		963		285		668		10
Corporate bonds and other fixed-income securities		1,969		210		965		794

Total fixed-income securities		4,372		704		2,864		804

Real estate		342		97		6		239
Hedge funds		263		–		–		263
Private equity		210		–		–		210
Cash		210		210		–		–
Other		17		–		17		–

Total	$	8,205	$	2,718	$	3,971	$	1,516

The percentage of fair value of pension plan assets at December 31, 2013 and 2012 was:


	U.S. Plans				Non-U.S. Plans
Asset Category	2013		2012		2013		2012

Equity securities		53%		57%		34%		31%
Fixed-income securities		44%		40%		45%		54%
Real estate		3%		3%		4%		4%
Hedge funds		–		–		10%		4%
Private equity		–		–		3%		3%
Cash		–		–		3%		3%
Other		–		–		1%		1%

Total		100%		100%		100%		100%

Schedule of Changes in Level 3 Plan Assets

Changes in our Level 3 plan assets, which are recorded in other comprehensive earnings / (losses), for the year ended December 31, 2013 included:


Asset Category	January 1, 2013 Balance		Net Realized and Unrealized Gains/(Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact		December 31, 2013 Balance
	(in millions)
Pooled funds- fixed-income securities	$	10	$	(1	)	$	2		$	4		$	–	$	15
Corporate bond and other fixed-income securities		794		17			(48	)		(1	)		18		780
Real estate		239		10			12			–			6		267
Hedge funds		263		(11	)		535			–			33		820
Private equity		210		15			(4	)		–			6		227

Total Level 3 investments	$	1,516	$	30		$	497		$	3		$	63	$	2,109

The increases in Level 3 pension plan investments during 2013 were primarily due to net purchases in hedge funds.

Changes in our Level 3 plan assets, which are recorded in other comprehensive earnings / (losses), for the year ended December 31, 2012 included:


Asset Category	January 1, 2012 Balance		Net Realized and Unrealized Gains/(Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact		December 31, 2012 Balance
	(in millions)
Pooled funds- fixed-income securities	$	7	$	–		$	–		$	3		$	–	$	10
Corporate bond and other fixed-income securities		758		61			(52	)		(3	)		30		794
Real estate		255		9			149			(181	)		7		239
Hedge funds		188		78			(12	)		–			9		263
Private equity		197		4			2			(1	)		8		210
Other		6		(6	)		–			–			–		–

Total Level 3 investments	$	1,411	$	146		$	87		$	(182	)	$	54	$	1,516

Estimated Future Benefit Payments

The estimated future benefit payments from our pension plans at December 31, 2013 were (in millions):


Year ending:	2014		2015		2016		2017		2018		2019-2023
U.S. Plans	$	71	$	72	$	83	$	95	$	105	$	597
Non-U.S. Plans	$	409	$	410	$	416	$	435	$	441	$	2,383

Schedule of Individually Significant Multiemployer Pension Plan

The following is the only individually significant multiemployer plan we participate in as of December 31, 2013:

Expiration Date

Pension

FIP / RP

of Collective-

EIN / Pension

Protection Act

Status Pending /

Surcharge

Bargaining

Pension Fund

Plan Number

Zone Status

Implemented

Imposed

Agreements

Bakery and Confectionery

Union and Industry International Pension Fund

526118572

Red

Implemented

Yes

2/29/2016

Pension Plans | Benefit Obligation

Weighted Average Assumptions

We used the following weighted-average assumptions to determine our benefit obligations under the pension plans at December 31:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012

Discount rate		5.10%		4.20%		4.00%		3.81%
Expected rate of return on plan assets		7.75%		7.75%		6.18%		6.08%
Rate of compensation increase		4.00%		4.00%		3.61%		3.47%

Pension Plans | Net Pension Cost

Weighted Average Assumptions

We used the following weighted-average assumptions to determine our net pension cost for the years ended December 31:


	U.S. Plans						Non-U.S. Plans
	2013		2012		2011		2013		2012		2011
Discount rate		4.20%		4.56%		5.53%		3.81%		4.62%		5.11%
Expected rate of return on plan assets		7.75%		8.00%		7.95%		6.08%		6.47%		6.77%
Rate of compensation increase		4.00%		4.00%		4.00%		3.47%		3.58%		3.68%

Postretirement Benefit Plans

Weighted Average Assumptions

We used the following weighted-average assumptions to determine our net postretirement cost for the years ended December 31:


	U.S. Plans			Non-U.S. Plans
	2013	2012	2011	2013	2012	2011

Discount rate	4.20%	4.47%	5.30%	4.39%	4.14%	5.02%
Health care cost trend rate	7.50%	7.00%	7.50%	6.47%	6.21%	7.62%

Components of Net Costs

Net postretirement health care costs consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)

Service cost	$	15		$	35		$	36
Interest cost		20			121			165
Amortization:
Net loss from experience differences		12			65			60
Prior service credit		(12	)		(31	)		(32	)
Other⁽¹⁾		–			29			–
Net postretirement health care costs related to discontinued operations		–			(135	)		(163	)

Net postretirement health care costs included within continuing operations	$	35		$	84		$	66

(1)

In 2012, we recorded a $23 million unfunded U.S. postretirement plan obligation related to long-term disability benefits.

Estimated Future Benefit Payments

Our estimated future benefit payments for our postretirement health care plans at December 31, 2013 were (in millions):


Year ending:	2014	2015	2016	2017	2018	2019-2023
U.S. Plans	$5	$7	$8	$10	$12	$84
Non-U.S. Plans	$5	$5	$5	$5	$5	$30

Benefit Obligation of Postretirement Benefit Plans

The changes in and the amount of the accrued benefit obligation at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Accrued benefit obligation at January 1	$	458		$	3,453
Service cost		15			35
Interest cost		20			121
Benefits paid		(7	)		(142	)
Plan amendments		(3	)		(51	)
Currency		(7	)		8
Assumption changes		(56	)		519
Actuarial (gains) / losses		(4	)		47
Impact of Spin-Off		–			(3,561	)
Other		6			29

Accrued benefit obligation at December 31	$	422		$	458

Weighted-Average Assumptions to Determine Benefit Obligations

We used the following weighted-average assumptions to determine our postretirement benefit obligations at December 31:


	U.S. Plans				Non-U.S. Plans
	2013		2012		2013		2012
Discount rate		5.10%		4.20%		4.81%		4.08%
Health care cost trend rate assumed for next year		7.00%		7.50%		4.76%		6.47%
Ultimate trend rate		5.00%		5.00%		5.54%		5.36%
Year that the rate reaches the ultimate trend rate		2018		2018		2019		2018

Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates

A one-percentage-point change in assumed health care cost trend rates would have the following effects as of December 31, 2013:


	One-Percentage-Point
	Increase		Decrease
	(in millions)

Effect on postretirement benefit obligation	$	66	$	(53	)
Effect on annual service and interest cost	$	6	$	(5	)

Changes in Accumulated Postemployment Benefit Obligations

Our postemployment plans are primarily not funded. The changes in and the amount of the accrued benefit obligation at December 31, 2013 and 2012 were:


	2013			2012
	(in millions)

Accrued benefit obligation at January 1	$	100		$	166
Service cost		8			12
Interest cost		5			8
Benefits paid		(21	)		(44	)
Assumption changes		(2	)		7
Actuarial losses		13			14
Spin-Off Impact		–			(63	)

Accrued benefit obligation at December 31	$	103		$	100

Postemployment Benefit Plans

Components of Net Costs

Net postemployment costs consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)

Service cost	$	8		$	12		$	11
Interest cost		5			8			9
Amortization of net (gains) / losses		(1	)		(3	)		(2	)
Other		(1	)		3			33
Net postemployment costs related to discontinued operations		–			(5	)		(2	)

Net postemployment costs included in continuing operations	$	11		$	15		$	49

Stock Plans (Tables)

12 Months Ended

Dec. 31, 2013

Weighted-Average Black-Scholes Fair Value Assumptions

Our weighted-average Black-Scholes fair value assumptions were:


	Risk-Free Interest Rate			Expected Life		Expected Volatility			Expected Dividend Yield			Fair Value at Grant Date

2013		1.15	%		6 years		20.36	%		1.94	%	$	4.31
2012		1.16	%		6 years		20.13	%		3.08	%	$	4.78
2011		2.34	%		6 years		18.92	%		3.72	%	$	3.84

Stock Options Activity

Stock option activity for the year ended December 31, 2013 is reflected below:


						Average
				Weighted-		Remaining		Aggregate
	Shares Subject			Average		Contractual		Intrinsic
	to Option			Exercise Price		Term		Value

Balance at January 1, 2013		52,753,039		$	20.45
Options granted		12,406,792			27.21
Options exercised		(7,185,616	)		19.41
Options cancelled		(2,190,776	)		23.86

Balance at December 31, 2013		55,783,439			21.96		7 years	$	744 million

Exercisable at December 31, 2013		31,036,120			19.40		6 years	$	494 million

Restricted And Deferred Stock

Restricted and Deferred Stock Activity

Our restricted and deferred stock activity for the year ended December 31, 2013 is reflected below:


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance at January 1, 2013		12,815,911		$	21.55
Granted		5,231,437			25.63
Vested		(5,350,073	)		18.82
Forfeited		(1,048,688	)		23.23

Balance at December 31, 2013		11,648,587			24.48

Capital Stock (Tables) (Common Class A)

12 Months Ended

Dec. 31, 2013

Common Class A

Authorized Common Stock Repurchase Programs

Shares of Class A common stock issued, in treasury and outstanding were:


						Shares
	Shares Issued		Treasury Shares			Outstanding

Balance at January 1, 2011		1,996,537,778		(248,471,229	)		1,748,066,549

Exercise of stock options and issuance of other stock awards		–		19,830,140			19,830,140

Balance at December 31, 2011		1,996,537,778		(228,641,089	)		1,767,896,689

Exercise of stock options and issuance of other stock awards		–		10,099,153			10,099,153

Balance at December 31, 2012		1,996,537,778		(218,541,936	)		1,777,995,842

Shares repurchased				(82,799,448	)		(82,799,448	)
Exercise of stock options and issuance of other stock awards		–		10,200,200			10,200,200

Balance at December 31, 2013		1,996,537,778		(291,141,184	)		1,705,396,594

Reclassifications from Accumulated Other Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2013

Components of Accumulated Other Comprehensive Earnings /(Losses)

The components of accumulated other comprehensive earnings / (losses) attributable to Mondelēz International were:


	Mondelēz International Shareholders’ Equity
	Currency						Derivatives
	Translation			Pension and			Accounted for
	Adjustments			Other Benefits			as Hedges			Total
	(in millions)
Balances at January 1, 2013	$	(399	)	$	(2,229	)	$	(38	)	$	(2,666	)
Other comprehensive earnings / (losses), before reclassifications:
Currency translation adjustment		(952	)		(29	)		–			(981	)
Pension and other benefits		–			713			–			713
Derivatives accounted for as hedges		(99	)		–			169			70
Losses / (gains) reclassified into net earnings		–			197			72			269
Tax (expense) / benefit		36			(244	)		(86	)		(294	)

Total other comprehensive earnings / (losses)											(223	)

Balances at December 31, 2013	$	(1,414	)	$	(1,592	)	$	117		$	(2,889	)

Amounts Reclassified from Accumulated Other Comprehensive Earnings/ (Losses)

Amounts reclassified from accumulated other comprehensive earnings / (losses) during 2013 and their locations in the condensed consolidated financial statements were as follows:


				Location of
				Gain / (Loss)
				Recognized
	2013			in Net Earnings
	(in millions)
Pension and other benefits:
Reclassification of losses / (gains) into net earnings:
Amortization of experience losses and prior service costs⁽¹⁾	$	193
Settlement losses⁽¹⁾		4
Tax impact		(50	)	Provision for income taxes
Derivatives accounted for as hedges:
Reclassification of losses / (gains) into net earnings:
Foreign exchange contracts – forecasted transactions		28		Cost of sales
Commodity contracts		38		Cost of sales
Interest rate contracts		6		Interest and other expense, net
Tax impact		(19	)	Provision for income taxes

Total reclassifications into net earnings, net of tax		200

(1)

These items are included in the components of net periodic benefit costs disclosed in Note 10, Benefit Plans.

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Provision for Income Taxes

Earnings / (losses) from continuing operations before income taxes and the provision for income taxes consisted of the following for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011
	(in millions)
Earnings / (losses) from continuing operations before income taxes:
United States	$	(799	)	$	(1,822	)	$	(1,308	)
Outside United States		3,191			3,596			3,188

Total	$	2,392		$	1,774		$	1,880

Provision for income taxes:
United States federal:
Current	$	(489	)	$	(420	)	$	(404	)
Deferred		103			(43	)		10

		(386	)		(463	)		(394	)
State and local:
Current		(35	)		(17	)		(39	)
Deferred		22			(40	)		46

		(13	)		(57	)		7

Total United States		(399	)		(520	)		(387	)

Outside United States:
Current		648			896			983
Deferred		(189	)		(208	)		(480	)

Total outside United States		459			688			503

Total provision for income taxes	$	60		$	168		$	116

Effective Income Tax Rate

The effective income tax rate on pre-tax earnings differed from the U.S. federal statutory rate for the following reasons for the years ended December 31, 2013, 2012 and 2011:


	2013			2012			2011

U.S. federal statutory rate		35.0%			35.0%			35.0%
Increase / (decrease) resulting from:
State and local income taxes, net of federal tax benefit excluding IRS audit impacts		(0.5%	)		(1.6%	)		0.2%
Foreign rate differences		(15.3%	)		(20.6%	)		(22.2%	)
Reversal of other tax accruals no longer required		(9.6%	)		(4.3%	)		(4.9%	)
Indemnification resolution		(4.7%	)		–			–
Tax legislation		(2.2%	)		(3.9%	)		(3.8%	)
Divestitures		(2.1%	)		0.6%			–
Non-deductible expenses		1.1%			3.6%			1.9%
Other		0.8%			0.7%			–

Effective tax rate		2.5%			9.5%			6.2%

Deferred Tax Assets and Liabilities Temporary Differences

The tax effects of temporary differences that gave rise to deferred income tax assets and liabilities consisted of the following at December 31, 2013 and 2012:


	2013			2012
	(in millions)

Deferred income tax assets:
Accrued postretirement and postemployment benefits	$	176		$	157
Accrued pension costs		417			693
Loss carryforwards		553			639
Other		1,189			1,755

Total deferred income tax assets		2,335			3,244

Valuation allowance		(335	)		(426	)

Net deferred income tax assets	$	2,000		$	2,818

Deferred income tax liabilities:
Trade names	$	(5,991	)	$	(6,394	)
Property, plant and equipment		(995	)		(972	)
Other		(590	)		(896	)

Total deferred income tax liabilities		(7,576	)		(8,262	)

Net deferred income tax liabilities	$	(5,576	)	$	(5,444	)

Changes in Unrecognized Tax Benefit

The changes in our unrecognized tax benefits for the years ended December 31, 2013, 2012 and 2011 were:


	2013			2012			2011
	(in millions)

January 1	$	1,164		$	1,522		$	1,256
Increases from positions taken during prior periods		94			119			220
Decreases from positions taken during prior periods		(132	)		(198	)		(147	)
Increases from positions taken during the current period		131			264			266
Decreases relating to settlements with taxing authorities		(7	)		(257	)		(17	)
Reductions resulting from the lapse of the applicable statute of limitations		(55	)		(23	)		(16	)
Impact of Spin-Off		–			(261	)		–
Currency / other		(6	)		(2	)		(40	)

December 31	$	1,189		$	1,164		$	1,522

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

+ References+ Details

Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2013

Basic and Diluted Earnings Per Share

Basic and diluted EPS from continuing and discontinued operations were calculated using the following:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions, except per share data)

Earnings from continuing operations	$	2,332	$	1,606	$	1,764
Earnings from discontinued operations, net of income taxes		1,603		1,488		1,810

Net earnings		3,935		3,094		3,574
Noncontrolling interest		20		27		20

Net earnings attributable to Mondelēz International	$	3,915	$	3,067	$	3,554

Weighted-average shares for basic EPS		1,774		1,777		1,765
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		15		12		7

Weighted-average shares for diluted EPS		1,789		1,789		1,772

Basic earnings per share attributable to Mondelēz International:
Continuing operations	$	1.30	$	0.90	$	0.99
Discontinued operations		0.91		0.83		1.02

Net earnings attributable to Mondelēz International	$	2.21	$	1.73	$	2.01

Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2013

Net Revenues by Segment

Our segment net revenues and earnings were:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Net revenues:
Latin America	$	5,382	$	5,396	$	5,403
Asia Pacific		4,952		5,164		4,864
EEMEA		3,915		3,735		3,836
Europe		14,059		13,817		14,874
North America		6,991		6,903		6,833

Net revenues	$	35,299	$	35,015	$	35,810

Reconciliation of Operating Profit (Loss) from Segments to Consolidated


	For the Years Ended December 31,
	2013			2012			2011
	(in millions)

Earnings from continuing operations before income taxes:
Operating income:
Latin America	$	570		$	769		$	759
Asia Pacific		512			657			682
EEMEA		379			506			433
Europe		1,699			1,762			1,586
North America		889			781			787
Unrealized gains / (losses) on hedging activities		62			1			(36	)
General corporate expenses		(287	)		(728	)		(488	)
Amortization of intangibles		(217	)		(217	)		(225	)
Benefit from indemnification resolution		336			–			–
Gains on acquisition and divestitures, net		30			107			–
Acquisition-related costs		(2	)		(1	)		–

Operating income		3,971			3,637			3,498
Interest and other expense, net		(1,579	)		(1,863	)		(1,618	)

Earnings from continuing operations before income taxes	$	2,392		$	1,774		$	1,880

Total Assets, Depreciation Expense and Capital Expenditure by Segment

Total assets, depreciation expense and capital expenditures by segment were:


	As of December 31,
	2013		2012
	(in millions)

Total assets:
Latin America	$	6,860	$	7,018
Asia Pacific		9,032		9,748
EEMEA		7,045		7,105
Europe		27,599		27,513
North America		21,723		22,158
Unallocated assets ⁽¹⁾		298		1,935

Total assets	$	72,557	$	75,477

(1)


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Depreciation expense:
Latin America	$	107	$	98	$	105
Asia Pacific		107		100		99
EEMEA		88		77		90
Europe		359		368		397
North America		199		224		205

Total – continuing operations		860		867		896
Discontinued operations		–		261		364

Total depreciation expense	$	860	$	1,128	$	1,260


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Capital Expenditures:
Latin America	$	412	$	220	$	262
Asia Pacific		268		250		195
EEMEA		254		227		191
Europe		478		414		443
North America		210		217		279

Total – continuing operations		1,622		1,328		1,370
Discontinued operations		–		282		401

Total capital expenditures	$	1,622	$	1,610	$	1,771

Net Revenues by Consumer Sector

Net revenues by consumer sector were:


	For the Year Ended December 31, 2013
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,287	$	1,311	$	678	$	2,990	$	5,406	$	11,672
Chocolate		1,143		1,632		1,180		5,385		325		9,665
Gum & Candy		1,380		849		673		968		1,187		5,057
Beverages		907		470		1,113		3,340		–		5,830
Cheese & Grocery		665		690		271		1,376		73		3,075

Total net revenues	$	5,382	$	4,952	$	3,915	$	14,059	$	6,991	$	35,299


	For the Year Ended December 31, 2012
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,207	$	1,374	$	595	$	2,761	$	5,212	$	11,149
Chocolate		1,128		1,686		1,139		5,067		336		9,356
Gum & Candy		1,434		899		726		999		1,280		5,338
Beverages		953		453		1,025		3,411		1		5,843
Cheese & Grocery		674		752		250		1,579		74		3,329

Total net revenues	$	5,396	$	5,164	$	3,735	$	13,817	$	6,903	$	35,015


	For the Year Ended December 31, 2011
	Latin		Asia						North
	America		Pacific		EEMEA		Europe		America		Total
	(in millions)

Biscuits	$	1,175	$	1,223	$	573	$	2,986	$	5,031	$	10,988
Chocolate		1,096		1,614		1,231		5,272		352		9,565
Gum & Candy		1,550		914		721		1,156		1,351		5,692
Beverages		960		392		1,058		3,645		2		6,057
Cheese & Grocery		622		721		253		1,815		97		3,508

Total net revenues	$	5,403	$	4,864	$	3,836	$	14,874	$	6,833	$	35,810

Net Revenues by Geographic Segment

Geographic data for net revenues and long-lived assets were:


	For the Years Ended December 31,
	2013		2012		2011
	(in millions)

Net revenues:
United States	$	5,965	$	5,974	$	5,848
Other		29,334		29,041		29,962

Total net revenues	$	35,299	$	35,015	$	35,810

Long-Lived Assets by Geographic Segment


	As of December 31,
	2013		2012
	(in millions)

Long-lived assets:
United States	$	17,948	$	18,160
Other		41,393		41,644

Total long-lived assets	$	59,341	$	59,804

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References+ Details

Quarterly Financial Data (Tables)

12 Months Ended

Dec. 31, 2013

Quarterly Statement of Income


	2013 Quarters
	First								Second							Third							Fourth
	Reported			Correction			Revised		Reported		Correction			Revised		Reported		Correction			Revised
	(in millions, except per share data)

Net revenues	$	8,744		$	–		$	8,744	$	8,595	$	–		$	8,595	$	8,472	$	–		$	8,472	$	9,488
Gross profit	$	3,242		$	–		$	3,242	$	3,231	$	–		$	3,231	$	3,144	$	–		$	3,144	$	3,493
Provision for income taxes	$	(19	)	$	32		$	13	$	13	$	15		$	28	$	14	$	12		$	26	$	(7	)
Earnings from continuing operations	$	574		$	(32	)	$	542	$	617	$	(15	)	$	602	$	1,030	$	(12	)	$	1,018	$	170
Earnings from discontinued operations, net of income taxes	$	–		$	–		$	–	$	–	$	–		$	–	$	–	$	–		$	–	$	1,603

Net earnings	$	574		$	(32	)	$	542	$	617	$	(15	)	$	602	$	1,030	$	(12	)	$	1,018	$	1,773
Noncontrolling interest		6			–			6		1		–			1		6		–			6		7

Net earnings attributable to Mondelēz International	$	568		$	(32	)	$	536	$	616	$	(15	)	$	601	$	1,024	$	(12	)	$	1,012	$	1,766

Weighted-average shares for diluted EPS		1,798			–			1,798		1,803		–			1,803		1,794		–			1,794		1,761

Per share data:
Basic EPS attributable to Mondelēz International:
Continuing operations	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	–		$	0.34	$	0.58	$	(0.01	)	$	0.57	$	0.09
Discontinued operations		–			–			–		–		–			–		–		–			–		0.92

Net earnings attributable to Mondelēz International	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	–		$	0.34	$	0.58	$	(0.01	)	$	0.57	$	1.01

Diluted EPS attributable to Mondelēz International:
Continuing operations	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	(0.01	)	$	0.33	$	0.57	$	(0.01	)	$	0.56	$	0.09
Discontinued operations		–			–			–		–		–			–		–		–			–		0.91

Net earnings attributable to Mondelēz International	$	0.32		$	(0.02	)	$	0.30	$	0.34	$	(0.01	)	$	0.33	$	0.57	$	(0.01	)	$	0.56	$	1.00

Dividends declared	$	0.13		$	–		$	0.13	$	0.13	$	–		$	0.13	$	0.14	$	–		$	0.14	$	0.14
Market price⁽¹⁾ - high	$	30.66		$	–		$	30.66	$	32.10	$	–		$	32.10	$	33.08	$	–		$	33.08	$	35.43
- low	$	25.78		$	–		$	25.78	$	28.22	$	–		$	28.22	$	28.50	$	–		$	28.50	$	30.07

(1)


	2012 Quarters
	First							Second						Third									Fourth
	Reported		Correction			Revised		Reported		Corection		Revised		Reported			Correction			Revised			Reported			Correction			Revised
	(in millions, except per share data)

Net revenues	$	8,667	$	–		$	8,667	$	8,527	$	–	$	8,527	$	8,326		$	–		$	8,326		$	9,495		$	–		$	9,495
Gross profit	$	3,195	$	–		$	3,195	$	3,211	$	–	$	3,211	$	3,120		$	–		$	3,120		$	3,550		$	–		$	3,550
Provision for income taxes	$	77	$	1		$	78	$	103	$	–	$	103	$	(76	)	$	(5	)	$	(81	)	$	103		$	(35	)	$	68
Earnings from continuing operations	$	339	$	(1	)	$	338	$	490	$	–	$	490	$	177		$	5		$	182		$	561		$	35		$	596
Earnings from discontinued operations, net of income taxes	$	480	$	–		$	480	$	544	$	–	$	544	$	482		$	–		$	482		$	(18	)	$	–		$	(18	)

Net earnings	$	819	$	(1	)	$	818	$	1,034	$	–	$	1,034	$	659		$	5		$	664		$	543		$	35		$	578
Noncontrolling interest		6		–			6		5		–		5		7			–			7			9			–			9

Net earnings attributable to Mondelēz International	$	813	$	(1	)	$	812	$	1,029	$	–	$	1,029	$	652		$	5		$	657		$	534		$	35		$	569

Weighted-average shares for diluted EPS		1,783		–			1,783		1,786		–		1,786		1,789			–			1,789			1,793			–			1,793

Per share data:
Basic EPS attributable to Mondelēz International:
Continuing operations	$	0.19	$	–		$	0.19	$	0.27	$	–	$	0.27	$	0.10		$	–		$	0.10		$	0.31		$	0.02		$	0.33
Discontinued operations		0.27		–			0.27		0.31		–		0.31		0.27			–			0.27			(0.01	)		–			(0.01	)

Net earnings attributable to Mondelēz International	$	0.46	$	–		$	0.46	$	0.58	$	–	$	0.58	$	0.37		$	–		$	0.37		$	0.30		$	0.02		$	0.32

Diluted EPS attributable to Mondelēz International:
Continuing operations	$	0.19	$	–		$	0.19	$	0.27	$	–	$	0.27	$	0.10		$	0.01		$	0.11		$	0.31		$	0.02		$	0.33
Discontinued operations		0.27		–			0.27		0.31		–		0.31		0.26			–			0.26			(0.01	)		–			(0.01	)

Net earnings attributable to Mondelēz International	$	0.46	$	–		$	0.46	$	0.58	$	–	$	0.58	$	0.36		$	0.01		$	0.37		$	0.30		$	0.02		$	0.32

Dividends declared	$	0.29	$	–		$	0.29	$	0.29	$	–	$	0.29	$	0.29		$	–		$	0.29		$	0.13		$	–		$	0.13
Market price⁽¹⁾ - high	$	39.06	$	–		$	39.06	$	39.99	$	–	$	39.99	$	42.44		$	–		$	42.44		$	42.54		$	–		$	42.54
- low	$	37.17	$	–		$	37.17	$	36.75	$	–	$	36.75	$	37.15		$	–		$	37.15		$	24.50		$	–		$	24.50

(1)	The market prices in the table above reflect historical stock prices which were not adjusted to reflect the Kraft Foods Group Spin-Off on October 1, 2012.

Pre-Tax Charges/(Gains) in Earnings From Continuing Operations

During 2013, we recorded the following pre-tax charges / (gains) in earnings from continuing operations:


	2013 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	44		$	48		$	43		$	138
Benefit from indemnification resolution		–			–			(385	)		–
Loss on debt extinguishment		–			–			–			608
(Gains) / losses on divestitures, net		(22	)		(6	)		–			(2	)

	$	22		$	42		$	(342	)	$	744

During 2012, we recorded the following pre-tax charges / (gains) in earnings from continuing operations:


	2012 Quarters
	First		Second		Third		Fourth
	(in millions)

Asset impairment and exit costs	$	44	$	27	$	13	$	69
(Gains) / losses on divestitures, net		–		–		–		(107	)

	$	44	$	27	$	13	$	(38	)

Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	1 Months Ended	3 Months Ended								12 Months Ended							3 Months Ended						9 Months Ended	12 Months Ended			1 Months Ended	12 Months Ended												12 Months Ended
	Feb. 08, 2013	Dec. 31, 2013 Country	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013 Segment Country	Dec. 31, 2012	Dec. 31, 2011	Dec. 30, 2013	Oct. 02, 2012	Dec. 31, 2010	Jan. 02, 2010	Sep. 30, 2013 Correction	Jun. 30, 2013 Correction	Mar. 31, 2013 Correction	Dec. 31, 2012 Correction	Sep. 30, 2012 Correction	Mar. 31, 2012 Correction	Sep. 30, 2013 Correction	Dec. 31, 2012 Correction	Dec. 31, 2011 Correction	Dec. 31, 2013 Prior Periods Correction	Jan. 23, 2014 Subsequent Event	Dec. 31, 2013 Venezuelan bolivar	Dec. 31, 2013 Argentina	Dec. 31, 2013 North America And Europe	Dec. 31, 2013 EEMEA	Dec. 31, 2012 EEMEA	Dec. 31, 2011 EEMEA	Dec. 31, 2013 United States	Dec. 31, 2012 United States	Dec. 31, 2011 United States	Dec. 31, 2013 United States Environmental Matters	Dec. 31, 2012 United States Environmental Matters	Mar. 19, 2013 Minimum	Dec. 31, 2013 Minimum Machinery and Equipment	Dec. 31, 2013 Maximum Machinery and Equipment	Dec. 31, 2013 Maximum Buildings and Building Improvements	Dec. 31, 2013 Maximum Software
Summary Of Significant Accounting Policies [Line Items]
Number of countries in which entity operates		165								165
Percentage of shares divested														100.00%
Number of reportable segments										5
Change in accounting policy effect of change on net revenue										$ 37		$ 679
Change in accounting policy effect of change on operating results										6		93
Increase in cumulative net earnings		1,773	1,018	602	542	578	664	1,034	818	3,935	3,094	3,574					(12)	(15)	(32)	35	5	(1)	59	39	27	94
Cumulative correction to retained earnings															28
Foreign currency exchange rate translation	6.30												11.30			4.30																							6.30
Foreign currency impacts relating to highly inflationary accounting	54
Unfavorable devaluation relating to foreign currency										67
Net revenue		9,488	8,472	8,595	8,744	9,495	8,326	8,527	8,667	35,299	35,015	35,810																800	800		3,915	3,735	3,836	5,965	5,974	5,848
Net monetary assets denominated		257								257
Argentina peso devalued percentage against US Dollar																											15.00%
Useful life, in years																																								3 years	20 years	40 years	7 years
Discounted cash flows projection period										20 years
Discount rate																														6.60%	9.60%
Advertising expense										1,721	1,815	1,860
Research and development expense										$ 471	$ 462	$ 511
Active proceeding subsidiaries are involved in																																					1	1

Effects of Prior Period Corrections on Annual Consolidated Statement of Earnings (Detail) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended								12 Months Ended			3 Months Ended							12 Months Ended		3 Months Ended						9 Months Ended	12 Months Ended
	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Sep. 30, 2013 Reported	Jun. 30, 2013 Reported	Mar. 31, 2013 Reported	Dec. 31, 2012 Reported	Sep. 30, 2012 Reported	Jun. 30, 2012 Reported	Mar. 31, 2012 Reported	Dec. 31, 2012 Reported	Dec. 31, 2011 Reported	Sep. 30, 2013 Correction	Jun. 30, 2013 Correction	Mar. 31, 2013 Correction	Dec. 31, 2012 Correction	Sep. 30, 2012 Correction	Mar. 31, 2012 Correction	Sep. 30, 2013 Correction	Dec. 31, 2012 Correction	Dec. 31, 2011 Correction
Error Corrections and Prior Period Adjustments Revision [Line Items]
Provision for income taxes	$ (7)	$ 26	$ 28	$ 13	$ 68	$ (81)	$ 103	$ 78	$ 60	$ 168	$ 116	$ 14	$ 13	$ (19)	$ 103	$ (76)	$ 103	$ 77	$ 207	$ 143	$ 12	$ 15	$ 32	$ (35)	$ (5)	$ 1		$ (39)	$ (27)
Earnings from continuing operations	170	1,018	602	542	596	182	490	338	2,332	1,606	1,764	1,030	617	574	561	177	490	339	1,567	1,737	(12)	(15)	(32)	35	5	(1)		39	27
Net earnings	1,773	1,018	602	542	578	664	1,034	818	3,935	3,094	3,574	1,030	617	574	543	659	1,034	819	3,055	3,547	(12)	(15)	(32)	35	5	(1)	59	39	27
Net earnings attributable to Mondelez International	$ 1,766	$ 1,012	$ 601	$ 536	$ 569	$ 657	$ 1,029	$ 812	$ 3,915	$ 3,067	$ 3,554	$ 1,024	$ 616	$ 568	$ 534	$ 652	$ 1,029	$ 813	$ 3,028	$ 3,527	$ (12)	$ (15)	$ (32)	$ 35	$ 5	$ (1)		$ 39	$ 27
Net earnings attributable to Mondelez International:
Per share, basic (continuing operations)	$ 0.09	$ 0.57	$ 0.34	$ 0.30	$ 0.33	$ 0.10	$ 0.27	$ 0.19	$ 1.30	$ 0.90	$ 0.99	$ 0.58	$ 0.34	$ 0.32	$ 0.31	$ 0.10	$ 0.27	$ 0.19	$ 0.87	$ 0.97	$ (0.01)		$ (0.02)	$ 0.02				$ 0.03	$ 0.02
Per share, diluted (continuing operations)	$ 0.09	$ 0.56	$ 0.33	$ 0.30	$ 0.33	$ 0.11	$ 0.27	$ 0.19	$ 1.29	$ 0.88	$ 0.99	$ 0.57	$ 0.34	$ 0.32	$ 0.31	$ 0.10	$ 0.27	$ 0.19	$ 0.86	$ 0.97	$ (0.01)	$ (0.01)	$ (0.02)	$ 0.02	$ 0.01			$ 0.02	$ 0.02
Net earnings attributable to Mondelez International:
Per share, basic	$ 1.01	$ 0.57	$ 0.34	$ 0.30	$ 0.32	$ 0.37	$ 0.58	$ 0.46	$ 2.21	$ 1.73	$ 2.01	$ 0.58	$ 0.34	$ 0.32	$ 0.30	$ 0.37	$ 0.58	$ 0.46	$ 1.70	$ 2.00	$ (0.01)		$ (0.02)	$ 0.02				$ 0.03	$ 0.01
Per share, diluted	$ 1.00	$ 0.56	$ 0.33	$ 0.30	$ 0.32	$ 0.37	$ 0.58	$ 0.46	$ 2.19	$ 1.71	$ 2.01	$ 0.57	$ 0.34	$ 0.32	$ 0.30	$ 0.36	$ 0.58	$ 0.46	$ 1.69	$ 1.99	$ (0.01)	$ (0.01)	$ (0.02)	$ 0.02	$ 0.01			$ 0.02	$ 0.02

Effects of Prior Period Corrections on Annual Consolidated Statement of Comprehensive Earnings (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended								12 Months Ended			3 Months Ended							12 Months Ended		3 Months Ended						9 Months Ended	12 Months Ended
	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Sep. 30, 2013 Reported	Jun. 30, 2013 Reported	Mar. 31, 2013 Reported	Dec. 31, 2012 Reported	Sep. 30, 2012 Reported	Jun. 30, 2012 Reported	Mar. 31, 2012 Reported	Dec. 31, 2012 Reported	Dec. 31, 2011 Reported	Sep. 30, 2013 Correction	Jun. 30, 2013 Correction	Mar. 31, 2013 Correction	Dec. 31, 2012 Correction	Sep. 30, 2012 Correction	Mar. 31, 2012 Correction	Sep. 30, 2013 Correction	Dec. 31, 2012 Correction	Dec. 31, 2011 Correction
Error Corrections and Prior Period Adjustments Revision [Line Items]
Net earnings	$ 1,773	$ 1,018	$ 602	$ 542	$ 578	$ 664	$ 1,034	$ 818	$ 3,935	$ 3,094	$ 3,574	$ 1,030	$ 617	$ 574	$ 543	$ 659	$ 1,034	$ 819	$ 3,055	$ 3,547	$ (12)	$ (15)	$ (32)	$ 35	$ 5	$ (1)	$ 59	$ 39	$ 27
Translation adjustment									(1,080)	759	(1,245)								791	(1,245)								(32)
Total other comprehensive losses									(223)	(330)	(2,757)								(298)	(2,757)								(32)
Comprehensive earnings									3,712	2,764	817								2,757	790								7	27
Comprehensive earnings attributable to Mondelez International									$ 3,692	$ 2,731	$ 807								$ 2,724	$ 780								$ 7	$ 27

- Definition

Amount before tax and reclassification adjustments of gain (loss) on foreign currency translation adjustments, foreign currency transactions designated and effective as economic hedges of a net investment in a foreign entity and intra-entity foreign currency transactions that are of a long-term-investment nature.

+ References+ Details

Effects of Prior Period Corrections on Annual Consolidated Statement of Balance Sheets (Detail) (USD $) In Millions, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Error Corrections and Prior Period Adjustments Revision [Line Items]
Current deferred income taxes	$ 517	$ 593
Total current assets	13,216	15,673
Goodwill	25,597	25,740	37,234
Other assets	1,449	1,484
Total Assets	72,557	75,477
Other current liabilities	3,051	2,855
Total current liabilities	14,396	14,870
Non-current deferred income taxes	6,282	6,235
Other liabilities	2,491	3,046
Total Liabilities	40,025	43,061
Retained earnings	13,419	10,551
Accumulated other comprehensive losses	(2,889)	(2,666)
Total Mondelez International Shareholders' Equity	32,373	32,276
Reported
Error Corrections and Prior Period Adjustments Revision [Line Items]
Current deferred income taxes		542
Total current assets		15,622
Goodwill		25,801
Other assets		1,475
Total Assets		75,478
Other current liabilities		2,858
Total current liabilities		14,873
Non-current deferred income taxes		6,302
Other liabilities		3,038
Total Liabilities		43,123
Retained earnings		10,457
Accumulated other comprehensive losses		(2,633)
Total Mondelez International Shareholders' Equity		32,215
Correction
Error Corrections and Prior Period Adjustments Revision [Line Items]
Current deferred income taxes		51
Total current assets		51
Goodwill		(61)
Other assets		9
Total Assets		(1)
Other current liabilities		(3)
Total current liabilities		(3)
Non-current deferred income taxes		(67)
Other liabilities		8
Total Liabilities		(62)
Retained earnings		94
Accumulated other comprehensive losses		(33)
Total Mondelez International Shareholders' Equity		$ 61

Effects of Prior Period Corrections on Annual Consolidated Statement of Cash Flows (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended								12 Months Ended			3 Months Ended							12 Months Ended		3 Months Ended						9 Months Ended	12 Months Ended
	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Sep. 30, 2013 Reported	Jun. 30, 2013 Reported	Mar. 31, 2013 Reported	Dec. 31, 2012 Reported	Sep. 30, 2012 Reported	Jun. 30, 2012 Reported	Mar. 31, 2012 Reported	Dec. 31, 2012 Reported	Dec. 31, 2011 Reported	Sep. 30, 2013 Correction	Jun. 30, 2013 Correction	Mar. 31, 2013 Correction	Dec. 31, 2012 Correction	Sep. 30, 2012 Correction	Mar. 31, 2012 Correction	Sep. 30, 2013 Correction	Dec. 31, 2012 Correction	Dec. 31, 2011 Correction
Error Corrections and Prior Period Adjustments Revision [Line Items]
Net earnings	$ 1,773	$ 1,018	$ 602	$ 542	$ 578	$ 664	$ 1,034	$ 818	$ 3,935	$ 3,094	$ 3,574	$ 1,030	$ 617	$ 574	$ 543	$ 659	$ 1,034	$ 819	$ 3,055	$ 3,547	$ (12)	$ (15)	$ (32)	$ 35	$ 5	$ (1)	$ 59	$ 39	$ 27
Deferred income tax (benefit) / provision									(64)	369	(351)								410	(351)								(41)
Other non-cash expense, net									(19)	44	82								48	81								(4)	1
Change in other current liabilities									62	(1,160)	648								(1,166)	676								6	(28)
Net cash provided by operating activities									$ 6,410	$ 3,923	$ 4,520								$ 3,923	$ 4,520

- Definition

Amount of deferred income tax expense (benefit) pertaining to income (loss) from continuing operations.

+ References+ Details

Summary Results of Operations (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended					12 Months Ended			3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2013 Kraft Foods Group	Oct. 02, 2012 Kraft Foods Group	Dec. 31, 2011 Kraft Foods Group
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net revenues										$ 13,768	$ 18,555
Earnings before income taxes									2,522	2,266	2,892
Provision for income taxes									919	778	1,082
Earnings from discontinued operations, net of income taxes	$ 1,603	$ (18)	$ 482	$ 544	$ 480	$ 1,603	$ 1,488	$ 1,810	$ 1,603	$ 1,488	$ 1,810

- Definition

Overall income (loss) from a disposal group that is classified as a component of the entity, before income tax, reported as a separate component of income before extraordinary items. Includes the following (before income tax): income (loss) from operations during the phase-out period, gain (loss) on disposal, provision (or any reversals of earlier provisions) for loss on disposal, and adjustments of a prior period gain (loss) on disposal.

+ References+ Details

- Definition

Tax effect allocated to a disposal group that is classified as a component of the entity reported as a separate component of income before extraordinary items. Includes the tax effects of the following: income (loss) from operations during the phase-out period, gain (loss) on disposal, provision (or any reversals of earlier provisions) for loss on disposal, and adjustments of a prior period gain (loss) on disposal.

+ References+ Details

- Definition

Amount of income (loss) from a disposal group, net of income tax before extraordinary items allocable to noncontrolling interests. Includes, net of tax, income (loss) from operations during the phase-out period, gain (loss) on disposal, provision (or any reversals of earlier provisions) for loss on disposal, and adjustments of a prior period gain (loss) on disposal.

+ References+ Details

Divestitures and Acquisition - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended							12 Months Ended			1 Months Ended	12 Months Ended					12 Months Ended									1 Months Ended	3 Months Ended	12 Months Ended	1 Months Ended			3 Months Ended		9 Months Ended	12 Months Ended				1 Months Ended	3 Months Ended
	Dec. 31, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Feb. 22, 2013 Morocco	Dec. 31, 2013 Morocco	Dec. 31, 2012 TURKEY	Dec. 31, 2012 Russia	Dec. 31, 2013 Europe	Dec. 31, 2013 UNITED KINGDOM	Dec. 31, 2013 INDIA	Dec. 31, 2012 Selling, General and Administrative Expenses TURKEY	Dec. 31, 2012 Selling, General and Administrative Expenses Russia	Dec. 31, 2013 Selling, General and Administrative Expenses Europe	Dec. 31, 2013 Selling, General and Administrative Expenses INDIA	Dec. 31, 2012 Accumulated Other Comprehensive Income (Loss)	Dec. 31, 2012 Additional Paid-in Capital	Dec. 31, 2012 Retained Earnings	Dec. 31, 2012 Europe Segment	Dec. 13, 2013 Starbucks Arbitration	Dec. 31, 2013 Starbucks Arbitration	Dec. 31, 2013 Fiscal Year 2014	Mar. 31, 2013 Kraft Foods Group	Nov. 30, 2012 Kraft Foods Group	Oct. 02, 2012 Kraft Foods Group	Dec. 31, 2013 Kraft Foods Group	Mar. 31, 2013 Kraft Foods Group	Oct. 02, 2012 Kraft Foods Group	Dec. 31, 2011 Kraft Foods Group	Dec. 31, 2013 Kraft Foods Group Accumulated Other Comprehensive Income (Loss)	Dec. 31, 2013 Kraft Foods Group Additional Paid-in Capital	Dec. 31, 2013 Kraft Foods Group Retained Earnings	Dec. 13, 2013 Kraft Foods Group Starbucks Arbitration	Dec. 31, 2013 Kraft Foods Group Starbucks Arbitration
Acquisition And Dispositions [Line Items]
Corporate overheads, information systems and sales force support costs																																		$ 150	$ 236
Net assets divested in the Spin-Off									(4,358)													4,308	89	(8,755)							4,358					4,308	89	8,755
Net assets divested in the Spin-Off, net of cash																															4,111			4,111
Payment for targeted cash flows in connection with the Spin-Off																														163
Cash divested																															247			247
Cash transferred to Kraft Foods Group in connection with the Spin-Off																														410
Workers' compensation Liabilities																														140
Settlement of net trade payables and receivables																														95
Cash received from Kraft Foods Group related to the Spin-Off																													55				55
Spin-Off costs								62	1,053	46
Expected spin off cost																												30
Total cash compensation																										2,764
Fair market value of agreement																										135.00%
Prejudgement interest																										521	521
Attorney's fees																																							15	15
Income (loss)from discontinued operations, before tax																											2,500					2,522		2,266	2,892
Income (loss)from discontinued operations, net of tax	1,603			(18)	482	544	480	1,603	1,488	1,810																	1,600					1,603		1,488	1,810
Acquisition, net of cash received								119			119
Cash paid for acquisition											155
Cash acquired											36
Pre-tax gain on acquisition											22
Acquisition-related costs								2	1			7
Identifiable intangible assets acquired in business acquisition								48	14		48
Business acquisition, liabilities assumed and goodwill								209			209
Proceeds from sale of operations								60	200																200
(Gains) / losses on divestitures, net	2	6	22	107				8																	107
Gain on sale of property																		22	55	29	39
Proceeds from sale of property													29	72	37		53
Receivable related to property sale																$ 52

Interest Expense Relating to Debt including Results from Discontinued Operations (Detail) (USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Oct. 02, 2012	Dec. 31, 2011
Debt Instrument [Line Items]
Interest expense	$ 278	$ 267
Senior unsecured notes
Debt Instrument [Line Items]
Interest expense	70
Debt
Debt Instrument [Line Items]
Interest expense	171	226
7.55% senior unsecured notes
Debt Instrument [Line Items]
Interest expense	24	31
Capital leases and other
Debt Instrument [Line Items]
Interest expense	$ 13	$ 10

Assets and Liabilities Distributed (Detail) (Kraft Foods Group, USD $) In Millions, unless otherwise specified	Dec. 31, 2012	Oct. 02, 2012
Kraft Foods Group
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Cash		$ 247
Receivables		1,685
Inventories, net		2,099
Deferred income taxes		338
Other current assets		168
Property, plant and equipment, net		4,211
Goodwill	11,911	11,911
Intangible assets, net		2,632
Prepaid pension assets		16
Other assets		856
Assets of Disposal Group, Including Discontinued Operation, Total		24,163
Current portion of long-term debt		6
Accounts payable		1,798
Accrued marketing		463
Accrued employment costs		190
Other current liabilities		751
Long-term debt		9,965
Deferred income taxes		874
Accrued pension costs		2,026
Accrued postretirement health care costs		3,316
Other liabilities		416
Liabilities of Disposal Group, Including Discontinued Operation, Total		19,805
Net assets divested in the Spin-Off		$ 4,358

Components of Inventories (Detail) (USD $) In Millions, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Inventory [Line Items]
Raw materials	$ 1,165	$ 1,213
Finished product	2,578	2,528
Inventories, net	$ 3,743	$ 3,741

Property, Plant and Equipment (Detail) (USD $) In Millions, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 17,614	$ 16,856
Accumulated depreciation	(7,367)	(6,846)
Property, plant and equipment, net	10,247	10,010
Land and Land Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	617	643
Buildings and Building Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	3,270	3,199
Machinery and Equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	12,351	11,992
Construction in Progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 1,376	$ 1,022

Intangible Assets (Detail) (USD $) In Millions, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Intangible Assets [Line Items]
Non-amortizable intangible assets	$ 20,067	$ 20,408
Amortizable intangible assets	2,852	2,861
Total intangible assets, gross	22,919	23,269	25,712
Accumulated amortization	(925)	(717)
Intangible assets, net	$ 21,994	$ 22,552

Goodwill and Intangible Assets - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	12 Months Ended				12 Months Ended		12 Months Ended					12 Months Ended
	Dec. 31, 2013 Brand	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2013 Fair Value Over Book Value 10% or Less	Dec. 31, 2013 Biscuit operation in Morocco	Dec. 31, 2013 US Confections	Dec. 31, 2013 JAPAN	Dec. 31, 2012 JAPAN	Dec. 31, 2013 Chocolate business in Spain, a salty snacks business in Turkey and a confectionery business in South Africa	Dec. 31, 2012 Kraft Foods Group	Oct. 02, 2012 Kraft Foods Group	Dec. 31, 2012 German and Belgian Dinners and Sauces Grocery and Italian Canned Meat	Dec. 31, 2013 Weighted Average	Dec. 31, 2013 Maximum
Goodwill and Intangible Assets Disclosure [Line Items]
Life of our amortizable intangible assets (in years)													13 years 3 months 18 days
Amortization expense	$ 217	$ 217	$ 225
Estimated amortization expense for each of the next five years	217
Divestiture, goodwill									13	11,911	11,911
Divestiture, intangible assets	7	2,669							7	2,666
Goodwill written off for the sale of businesses	13	11,932										21
Intangible assets written off for the sale of businesses												3
Asset impairment charges on intangible assets		52					0	52
Acquisition of goodwill	209				209
Acquisition of intangible assets	48	14			48
Goodwill	25,597	25,740	37,234			2,177
Percentage of excess fair value over carrying value of net assets						12.00%								10.00%
Number of brands	7
Intangible asset, aggregate book value	$ 20,067	$ 20,408		$ 511

Changes in Goodwill and Intangible Assets (Detail) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Goodwill And Intangible Assets [Line Items]
Goodwill beginning balance	$ 25,740	$ 37,234
Foreign currency, Goodwill	(336)	438
Divestitures, Goodwill	(13)	(11,932)
Asset impairments, Goodwill
Acquisitions, Goodwill	209
Other, Goodwill	(3)
Goodwill ending balance	25,597	25,740
Intangible Assets, at cost beginning balance	23,269	25,712
Foreign currency, Intangible Assets, at Cost	(390)	262
Divestitures, Intangible Assets, at cost	(7)	(2,669)
Asset impairments, Intangible Assets, at Cost		(52)
Acquisitions, Intangible Assets, at Cost	48	14
Other, Intangible Assets, at Cost	(1)	2
Intangible Assets, at cost ending balance	$ 22,919	$ 23,269

2012-2014 Restructuring Program - Additional Information (Detail) (USD $)	12 Months Ended	6 Months Ended	12 Months Ended
	Dec. 31, 2011	Jun. 30, 2013 Latin America Selling, General and Administrative Expenses	Dec. 31, 2013 2012-2014 Restructuring Program	Dec. 31, 2012 2012-2014 Restructuring Program	Dec. 31, 2013 2012-2014 Restructuring Program Selling, General and Administrative Expenses	Dec. 31, 2012 2012-2014 Restructuring Program Selling, General and Administrative Expenses	Dec. 31, 2013 2012-2014 Restructuring Program Latin America	Dec. 31, 2012 2012-2014 Restructuring Program Latin America
Restructuring Cost and Reserve [Line Items]
Restructuring and related activities, authorized amount				$ 1,500,000,000
Restructuring and related cost, expected cost			925,000,000
Restructuring and related cost, cost incurred			440,000,000
Restructuring charges	61,000,000	14,000,000	267,000,000	102,000,000			21,000,000	7,000,000
Cash spent			108,000,000	33,000,000
Non-cash settlements			127,000,000	33,000,000
Restructuring liability			68,000,000
Implementation Costs			$ 63,000,000	$ 8,000,000	$ 63,000,000	$ 8,000,000

- Definition