^[1]

$ 25,923

$ 29,636

$ 34,244

Selling, general and administrative expenses

15,795

18,124

21,647

Gross profit

10,128

11,512

12,597

6,540

7,577

8,457

Asset impairment and exit costs

852

901

692

Gains / (loss) on JDE coffee business transactions and divestiture

(9)

(6,822)

Loss on deconsolidation of Venezuela

778

Amortization of intangibles

176

181

206

Interest and other expense, net

2,569

8,897

3,242

1,115

1,013

688

Earnings before income taxes

1,454

7,884

2,554

Provision for income taxes

(129)

(593)

(353)

Equity method investment net earnings

301

Net earnings

1,669

7,291

2,201

Noncontrolling interest earnings

(10)

(24)

(17)

Net earnings attributable to Mondelez International

$ 1,659

$ 7,267

$ 2,184

Per share data:

Basic earnings per share attributable to Mondelez International

$ 1.07

$ 4.49

$ 1.29

Diluted earnings per share attributable to Mondelez International

1.05

4.44

1.28

Dividends declared

$ 0.72

$ 0.64

$ 0.58

[1]

In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.

Consolidated Statements of Comprehensive Earnings - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Net earnings	$ 1,669	$ 7,291	$ 2,201
Other comprehensive earnings / (losses), net of tax:
Currency translation adjustment	(925)	(2,990)	(3,661)
Pension and other benefit plans	(153)	340	(682)
Derivative cash flow hedges	(75)	(44)	(119)
Total other comprehensive earnings / (losses)	(1,153)	(2,694)	(4,462)
Comprehensive earnings / (losses)	516	4,597	(2,261)
less: Comprehensive earnings / (losses) attributable to noncontrolling interests	(7)	(2)	(16)
Comprehensive earnings / (losses) attributable to Mondelez International	$ 523	$ 4,599	$ (2,245)

Consolidated Balance Sheets - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
ASSETS
Cash and cash equivalents	$ 1,741	$ 1,870
Trade receivables (net of allowances of $58 at December 31, 2016 and $54 at December 31, 2015)	2,611	2,634
Other receivables (net of allowances of $93 at December 31, 2016 and $109 at December 31, 2015)	859	1,212
Inventories, net	2,469	2,609
Other current assets	800	633
Total current assets	8,480	8,958
Property, plant and equipment, net	8,229	8,362
Goodwill	20,276	20,664
Intangible assets, net	18,101	18,768
Prepaid pension assets	159	69
Deferred income taxes	358	277
Equity method investments	5,585	5,387
Other assets	350	358
TOTAL ASSETS	61,538	62,843
LIABILITIES
Short-term borrowings	2,531	236
Current portion of long-term debt	1,451	605
Accounts payable	5,318	4,890
Accrued marketing	1,745	1,634
Accrued employment costs	736	844
Other current liabilities	2,636	2,713
Total current liabilities	14,417	10,922
Long-term debt	13,217	14,557
Deferred income taxes	4,721	4,750
Accrued pension costs	2,014	2,183
Accrued postretirement health care costs	382	499
Other liabilities	1,572	1,832
TOTAL LIABILITIES	36,323	34,743
Commitments and Contingencies (Note 12)
EQUITY
Common Stock, no par value (5,000,000,000 shares authorized and 1,996,537,778 shares issued at December 31, 2016 and December 31, 2015)	0	0
Additional paid-in capital	31,847	31,760
Retained earnings	21,149	20,700
Accumulated other comprehensive losses	(11,122)	(9,986)
Treasury stock, at cost (468,172,237 shares at December 31, 2016 and 416,504,624 shares at December 31, 2015)	(16,713)	(14,462)
Total Mondelez International Shareholders' Equity	25,161	28,012
Noncontrolling interest	54	88
TOTAL EQUITY	25,215	28,100
TOTAL LIABILITIES AND EQUITY	$ 61,538	$ 62,843

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Trade receivables, allowances	$ 58	$ 54
Other receivables, allowances	$ 93	$ 109
Common Stock, no par value
Common stock, shares authorized	5,000,000,000	5,000,000,000
Common Stock, shares issued	1,996,537,778	1,996,537,778
Treasury stock, shares	468,172,237	416,504,624

Consolidated Statements of Equity - USD ($) $ in Millions	Total	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Earnings/(Losses)	Treasury Stock	Noncontrolling Interest
Balances at Dec. 31, 2013	$ 32,532	$ 31,396	$ 13,419	$ (2,889)	$ (9,553)	$ 159
Comprehensive earnings / (losses):
Net earnings	2,201		2,184			17
Other comprehensive earnings (losses), net of income taxes	(4,462)			(4,429)		(33)
Exercise of stock options and issuance of other stock awards	505	271	(98)		332
Common Stock repurchased	(1,891)				(1,891)
Cash dividends declared ( $0.72 per share for 2016, $0.64 per share for 2015, and $0.58 per share for 2014)	(976)		(976)
Dividends paid on noncontrolling interest and other activities	(56)	(16)				(40)
Balances at Dec. 31, 2014	27,853	31,651	14,529	(7,318)	(11,112)	103
Comprehensive earnings / (losses):
Net earnings	7,291		7,267			24
Other comprehensive earnings (losses), net of income taxes	(2,694)			(2,668)		(26)
Exercise of stock options and issuance of other stock awards	311	109	(70)		272
Common Stock repurchased	(3,622)				(3,622)
Cash dividends declared ( $0.72 per share for 2016, $0.64 per share for 2015, and $0.58 per share for 2014)	(1,026)		(1,026)
Dividends paid on noncontrolling interest and other activities	(13)					(13)
Balances at Dec. 31, 2015	28,100	31,760	20,700	(9,986)	(14,462)	88
Comprehensive earnings / (losses):
Net earnings	1,669		1,659			10
Other comprehensive earnings (losses), net of income taxes	(1,153)			(1,136)		(17)
Exercise of stock options and issuance of other stock awards	343	87	(94)		350
Common Stock repurchased	(2,601)				(2,601)
Cash dividends declared ( $0.72 per share for 2016, $0.64 per share for 2015, and $0.58 per share for 2014)	(1,116)		(1,116)
Dividends paid on noncontrolling interest and other activities	(27)					(27)
Balances at Dec. 31, 2016	$ 25,215	$ 31,847	$ 21,149	$ (11,122)	$ (16,713)	$ 54

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
CASH PROVIDED BY / (USED IN) OPERATING ACTIVITIES
Net earnings	$ 1,669	$ 7,291	$ 2,201
Adjustments to reconcile net earnings to operating cash flows:
Depreciation and amortization	823	894	1,059
Stock-based compensation expense	140	136	141
Deferred income tax benefit	(141)	(30)	(186)
Asset impairments and accelerated depreciation	446	345	240
Loss on early extinguishment of debt	428	748	493
Loss on deconsolidation of Venezuela		778
Gains on divestitures and JDE coffee business transactions	(9)	(6,822)
JDE coffee business transactions currency-related net gains		(436)	(628)
Gain on equity method investment exchange	(43)
Equity method investment net earnings	(301)	(56)	(113)
Distributions from equity method investments	75	58	63
Other non-cash items, net	(43)	199	(134)
Change in assets and liabilities, net of acquisitions and divestitures:
Receivables, net	31	44	184
Inventories, net	62	(49)	(188)
Accounts payable	409	659	387
Other current assets	(176)	28	(86)
Other current liabilities	60	152	135
Change in pension and postretirement assets and liabilities, net	(592)	(211)	(6)
Net cash provided by operating activities	2,838	3,728	3,562
CASH PROVIDED BY / (USED IN) INVESTING ACTIVITIES
Capital expenditures	(1,224)	(1,514)	(1,642)
Proceeds from JDE coffee business transactions currency hedge settlements		1,050
Acquisitions, net of cash received	(246)	(527)	(7)
Proceeds from JDE coffee business transaction and divestitures, net of disbursements	303	4,735
Reduction of cash due to Venezuela deconsolidation		(611)
Capital contribution to JDE		(544)
Proceeds from sale of property, plant and equipment and other assets	138	60	7
Net cash (used in) / provided by investing activities	(1,029)	2,649	(1,642)
CASH PROVIDED BY / (USED IN) FINANCING ACTIVITIES
Issuances of commercial paper, maturities greater than 90 days	1,540	613	2,082
Repayments of commercial paper, maturities greater than 90 days	(1,031)	(710)	(2,713)
Net (repayments) / issuances of other short-term borrowings	1,741	(931)	398
Long-term debt proceeds	5,640	4,624	3,032
Long-term debt repaid	(6,186)	(4,975)	(3,017)
Repurchase of Common Stock	(2,601)	(3,622)	(1,700)
Dividends paid	(1,094)	(1,008)	(964)
Other	129	126	194
Net cash used in financing activities	(1,862)	(5,883)	(2,688)
Effect of exchange rate changes on cash and cash equivalents	(76)	(255)	(223)
Cash and cash equivalents:
(Decrease) / increase	(129)	239	(991)
Balance at beginning of period	1,870	1,631	2,622
Balance at end of period	1,741	1,870	1,631
Cash paid:
Interest	630	747	827
Income taxes	$ 527	$ 745	$ 1,238

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2016

Summary of Significant Accounting Policies

Note 1. Summary of Significant Accounting Policies

Description of Business:

Mondelēz International, 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.

Principles of Consolidation:

The consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries. For all periods presented through December 31, 2015, the operating results of our Venezuelan subsidiaries are included in our consolidated financial statements. As of the close of the fourth quarter of 2015, we deconsolidated our Venezuelan operations from our consolidated financial statements and recognized a loss on deconsolidation. See Currency Translation and Highly Inflationary Accounting: Venezuela below for more information.

We account for investments in which we exercise significant influence (20%-50% ownership interest) under the equity method of accounting. On July 2, 2015, we contributed our global coffee businesses to a new company, Jacobs Douwe Egberts (“JDE”), in which we now hold an equity interest (collectively, the “JDE coffee business transactions”). Historically, our coffee businesses and the income from equity method investments were recorded within our operating income as these businesses were part of our base business. While we retain an ongoing interest in coffee through equity method investments including JDE, Keurig Green Mountain Inc. (“Keurig”) and Dongsuh Foods Corporation (“DSF”), and we have significant influence with our equity method investments, we do not control these operations directly. As such, in the third quarter of 2015, we began to recognize equity method investment earnings, consisting primarily of investments in coffee businesses, outside of operating income and segment income. For periods prior to the third quarter of 2015, our historical coffee business and equity method investment earnings were included within our operating income and segment income. For the six months ended December 31, 2015, after-tax equity method investment net earnings were less than $1 million on a combined basis and thus are not shown on our consolidated statement of earnings for this period. Please see Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions and Keurig Transaction, and Note 16, Segment Reporting, for more information on these transactions.

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. The noncontrolling interest represents the noncontrolling investors’ interests in the results of subsidiaries that we control and consolidate. All intercompany transactions are eliminated.

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, restructuring program liabilities, 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.

Segment Change:

On October 1, 2016, we integrated our Eastern Europe, Middle East, and Africa (“EEMEA”) operating segment into our Europe and Asia Pacific operating segments to further leverage and optimize the operating scale built within the Europe and Asia Pacific regions. Russia, Ukraine, Turkey, Belarus, Georgia and Kazakhstan were combined within our Europe region, while the remaining Middle East and African countries were combined within our Asia Pacific region to form a new Asia, Middle East and Africa (“AMEA”) operating segment. We have reflected the segment change as if it had occurred in all periods presented.

As of October 1, 2016, our operations and management structure was organized into four reportable operating segments:

•

Latin America

•

AMEA

•

Europe

•

North America

See Note 16, Segment Reporting, for additional information on our segments.

Currency Translation and Highly Inflationary Accounting:

We translate the results of operations of our subsidiaries from multiple currencies using average exchange rates during each period and translate balance sheet accounts using exchange rates at the end of each period. We record currency translation adjustments as a component of equity (except for highly inflationary currencies) and realized exchange gains and losses on transactions in earnings. In 2016, none of our consolidated subsidiaries were subject to highly inflationary accounting.

United Kingdom. On June 23, 2016, the United Kingdom (“U.K.”) voted by referendum to exit the European Union; this vote is commonly referred to as “Brexit.” The referendum is non-binding and the exit from the European Union is not immediate. Once the United Kingdom invokes E.U. Article 50, there is a two-year window in which the United Kingdom and the European Commission can negotiate the future terms for imports, exports, taxes, employment, immigration and other areas.

Brexit has caused volatility in global stock markets and currency exchange rates, affecting the markets in which we operate. The implications of Brexit could adversely affect demand for our products, our financial results and operations, and our relationships with customers, suppliers and employees in the short or long-term. On June 24, 2016, the value of the British pound sterling relative to the U.S. dollar fell by 9%. Since that date, the value of the British pound sterling relative to the U.S. dollar declined an additional 11% through December 31, 2016. Further volatility in the exchange rate is expected over the transition period.

As the business operating environment remains uncertain, we continue to monitor our investments and currency exposures abroad. As the United Kingdom is not a highly-inflationary economy, we record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. While we did not experience significant business disruptions in our U.K. businesses immediately following the referendum, the devaluation of the British pound sterling in 2016 adversely affected our translated results reported in U.S. dollars. We have a natural hedge in the form of pound sterling-denominated debt that acts as a net investment hedge, moving counter to adverse pound sterling currency translation impacts. British pound sterling currency transaction risks are largely mitigated due to our global chocolate businesses buying cocoa in British pound sterling. Our U.K. operations contributed $2.2 billion, or 8.6% of consolidated net revenues for the year ended December 31, 2016.

Venezuela. From January 1, 2010 through December 31, 2015, we accounted for the results of our Venezuelan subsidiaries using the U.S. dollar as the functional currency as prescribed by U.S. GAAP for highly inflationary economies.

Effective as of the close of the 2015 fiscal year, we concluded that we no longer met the accounting criteria for consolidation of our Venezuelan subsidiaries due to a loss of control over our Venezuelan operations and an other-than-temporary lack of currency exchangeability. During the fourth quarter of 2015, representatives of the Venezuelan government arbitrarily imposed pricing restrictions on our local operations that resulted in our inability to recover operating costs. We immediately began an appeal process with the Venezuelan authorities to demonstrate that our pricing was in line with the regulatory requirements. In January 2016, local officials communicated that some of the pricing restrictions had been lifted; however, the legally required administrative order had not been issued and it was uncertain when it would be issued. The legal and regulatory environment also became more unreliable. While we had been complying with the Venezuelan law governing pricing and profitability controls and followed the legal process for appeal, the appeal process was not available to us as outlined under law. Additionally, we were increasingly facing issues procuring raw materials and packaging. Taken together, these actions, the economic environment in Venezuela and the progressively limited access to dollars to import goods through the use of any of the available currency mechanisms impaired our ability to operate and control our Venezuelan businesses. As a result of these factors, we concluded that we no longer met the criteria for the consolidation of our Venezuelan subsidiaries.

As of the close of the 2015 fiscal year, we deconsolidated and changed to the cost method of accounting for our Venezuelan operations. We recorded a $778 million pre-tax loss on December 31, 2015 as we reduced the value of our cost method investment in Venezuela and all Venezuelan receivables held by our other subsidiaries to realizable fair value, resulting in full impairment. The recorded loss also included historical cumulative translation adjustments related to our Venezuelan operations that had previously been recorded in accumulated other comprehensive losses within equity. The fair value of our investments in our Venezuelan subsidiaries was estimated based on discounted cash flow projections of current and expected operating losses in the foreseeable future and our ability to operate the business on a sustainable basis. Our fair value estimate included U.S. dollar exchange and discount rate assumptions that reflect the inflation and economic uncertainty in Venezuela.

For 2015 and prior periods presented, the operating results of our Venezuela operations were included in our consolidated statements of earnings. During this time, we recognized a number of currency-related remeasurement losses resulting from devaluations of the Venezuela bolivar exchange rates we historically used to source U.S. dollars for purchases of imported raw materials, packaging and other goods and services. The following table sets forth a history of the remeasurement losses, the deconsolidation loss and historical operating results and financial position of our Venezuelan subsidiaries for the periods presented:


	For the Years Ended December 31,
	2015			2014
	(in millions)

Net revenues	$	1,217		$	760
Operating income (excluding remeasurement and deconsolidation losses)		266			181
Remeasurement losses:
Q1 2014: 6.30 to 10.70 bolivars to the U.S. dollar		–			(142	)
SICAD I remeasurements through December 31, 2014		–			(25	)
Q1 2015: 11.50 to 12.00 bolivars to the U.S. dollar		(11	)		–
Loss on deconsolidation		(778	)		–

	As of December 31,
	2015			2014
	(in millions)

Cash ⁽¹⁾	$	611		$	278
Net monetary assets ⁽¹⁾		405			236
Net assets ⁽¹⁾		658			500

(1)

Represents the financial position of our Venezuelan subsidiaries prior to the accounting change on December 31, 2015.

Beginning in 2016, we no longer include net revenues, earnings or net assets of our Venezuelan subsidiaries within our consolidated financial statements. Under the cost method of accounting, earnings are only recognized to the extent cash is received. Given the current and ongoing difficult economic, regulatory and business environment in Venezuela, there continues to be significant uncertainty related to our operations in Venezuela, and we expect these conditions will continue for the foreseeable future. We will monitor the extent of our ability to control our Venezuelan operations and the liquidity and availability of U.S. dollars at different rates, as our current situation in Venezuela may change over time and lead to consolidation at a future date.

Argentina. On December 16, 2015, the new Argentinean government fiscal authority announced the lifting of strict currency controls and reduced restrictions on exports and imports. The next day, the value of the Argentinean peso relative to the U.S. dollar fell by 36%. In 2016, the value of the Argentinean peso relative to the U.S. dollar declined an additional 23%. Further volatility in the exchange rate is expected. While the business operating environment remains challenging, we continue to monitor and actively manage our investment and exposures in Argentina. We continue executing our hedging programs and refining our product portfolio to improve our product offerings, mix and profitability. We also continue to implement additional cost reduction initiatives to optimize and streamline our manufacturing facilities and commercial operations to protect the business together with pricing strategy to offset inflationary pressures. While further currency declines could have an adverse impact on our ongoing results of operations, we believe the actions by the government to reduce economic controls and business restrictions will provide favorable opportunities for our Argentinean subsidiaries. Our Argentinean operations contributed $583 million, or 2.2% of consolidated net revenues for the year ended December 31, 2016. As of December 31, 2016, the net monetary liabilities of our Argentina operations were not material. Argentina is not designated as a highly-inflationary economy for accounting purposes, so we record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings.

Other Countries. Since we have operations in over 80 countries and sell in approximately 165 countries, we monitor economic and currency-related risks and seek to take protective measures in response to these exposures. Some of the countries in which we do business have recently experienced periods of significant economic uncertainty. These include Brazil, China, Mexico, Russia, Turkey, Egypt, Nigeria, Ukraine and South Africa, most of which have had either currency devaluation or volatility in exchange rates. We continue to monitor operations, currencies and net monetary exposures in these countries. At this time, we do not anticipate any risk to our operating results from changing to highly inflationary accounting in these countries.

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.

Transfers of Financial Assets:

We account for transfers of financial assets, such as uncommitted revolving non-recourse accounts receivable factoring arrangements, when we have surrendered control over the related assets. Determining whether control has transferred requires an evaluation of relevant legal considerations, an assessment of the nature and extent of our continuing involvement with the assets transferred and any other relevant considerations. We use receivable factoring arrangements periodically when circumstances are favorable to manage liquidity. We have a factoring arrangement with a major global bank for a maximum combined capacity of $802 million. Under the program, we may sell eligible short-term trade receivables to the bank in exchange for cash. We then continue to collect the receivables sold, acting solely as a collecting agent on behalf of the bank. We also enter into arrangements with customers to achieve earlier collection of receivables. The total incremental cost of factoring receivables for all regions was $9 million in 2016, $7 million in 2015 and $7 million in 2014 and was recorded in net revenue. The outstanding principal amount of receivables under all arrangements amounted to $745 million as of December 31, 2016, $666 million as of December 31, 2015 and $421 million as of December 31, 2014.

Accounting Calendar Change:

In connection with moving toward a common consolidation date across the Company, in the first quarter of 2015, we changed the consolidation date for our North America segment from the last Saturday of each period to the last calendar day of each period. The change had a favorable impact of $76 million on net revenues and $36 million on operating income in 2015. As a result of this change, each of our operating subsidiaries now reports results as of the last calendar day of the period. As the effect to prior-period results was not material, we have not revised prior-period results.

Inventories:

We value our inventory using the average cost method. We also record inventory allowances for overstock 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 realizability on an ongoing basis. Changes in depreciation, generally accelerated depreciation, are determined and recorded when estimates of the remaining useful lives or residual values of long-term assets change. We also review for impairment when conditions exist that indicate the carrying amount of the assets may not be fully recoverable. In those circumstances, we perform undiscounted operating cash flow analyses to determine if an impairment exists. When testing for asset impairment, we group assets and liabilities at the lowest level for which cash flows are separately identifiable. Any impairment loss is calculated as the excess of the asset’s carrying value over its estimated fair value. Fair value is estimated based on the discounted cash flows for the asset group over the remaining useful life or based on the expected cash proceeds for the asset less costs of disposal. Any significant impairment losses would be recorded within asset impairment and exit costs in the consolidated statements of earnings.

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 on an annual basis on October 1. We assess goodwill impairment risk throughout the year by performing a qualitative review of entity-specific, industry, market and general economic factors affecting our goodwill reporting units. We review our operating segment and reporting unit structure for goodwill testing annually or as significant changes in the organization occur. Annually, we may perform qualitative testing, or depending on factors such as prior-year test results, current year developments, current risk evaluations and other practical considerations, we may elect to do quantitative testing instead. In the event that 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 discounted cash flow method which incorporates planned growth rates, market-based discount rates and estimates of residual value. This year, for our Europe and North America reporting units, we used a market-based, weighted-average cost of capital of 6.7% to discount the projected cash flows of those operations. For our Latin America and AMEA reporting units, we used a risk-rated discount rate of 9.7%. 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, we would apply a second step 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 impaired and its carrying value is reduced to the implied fair value of the goodwill.

Annually we assess non-amortizable intangible assets for impairment by performing a qualitative review and assessing events and circumstances that could affect the fair value or carrying value of the indefinite-lived intangible assets. If significant potential impairment risk exists for a specific asset, we quantitatively test it for impairment by comparing its estimated fair value with its carrying value. We determine estimated fair value using planned growth rates, market-based discount rates and estimates of royalty rates. If the carrying value of the asset exceeds its fair value, we consider the asset impaired and reduce its carrying value to the estimated fair value. We amortize definite-lived intangible assets over their estimated useful lives and evaluate them for impairment as we do other 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 on an undiscounted basis 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 delivery or shipment of goods. Revenues are recorded net of sales 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. Provisions for product returns and other trade allowances are 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, marketing, sales incentives and trade promotions. These programs include, but are not limited to, cooperative advertising, in-store displays, consumer promotions, new product introduction fees, discounts, coupons, rebates and volume-based incentives. We expense advertising costs either in the period the advertising first takes place or as incurred. Sales incentive and trade promotion activities are recorded as a reduction to revenues based on amounts estimated 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 expenses and sales incentives are charged to operations as a percentage of volume, based on estimated volume and estimated program spending. 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 $1,396 million in 2016, $1,542 million in 2015 and $1,552 million in 2014. Advertising declined in 2016 due primarily to the deconsolidation of our historical global coffee business and due to currency changes. We expense product research and development costs as incurred. Research and development expense was $376 million in 2016, $409 million in 2015 and $455 million in 2014. Our total research and development expense was lower in 2016 and 2015 primarily due to the deconsolidation of our global coffee business in July 2015, currency and cost optimization initiatives. We record marketing and research and development expenses within selling, general and administrative expenses.

Employee Benefit Plans:

We provide a range of benefits to our current and retired employees. These include pension benefits, postretirement health care benefits and postemployment benefits depending upon jurisdiction, tenure, job level and other factors. Local statutory requirements govern many of the benefit plans we provide around the world. Local government plans generally cover health care benefits for retirees outside the United States, Canada and United Kingdom. Our U.S., Canadian and U.K. subsidiaries provide health care and other benefits to most retired employees. Our postemployment benefit plans provide primarily severance benefits for eligible salaried and certain hourly employees. The cost for these plans is recognized in earnings primarily over the working life of the covered employee.

Financial Instruments:

We use financial instruments to manage our 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 currency exchange rates, commodity prices and interest rates, principally through the use of derivative instruments.

We use a combination of primarily 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 currency assets and liabilities and protect the value of our debt. See Note 8, Financial Instruments, for more information on the types of derivative instruments we use.

We record derivative financial instruments on a gross basis and 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 non-U.S. dollar denominated debt to hedge a portion of our net investment in non-U.S. operations against adverse movements in exchange rates, with currency movements related to the debt and net investment and the related deferred taxes 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 reduce 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 commodity prices, currency exchange rates or interest rates. We manage derivative 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, sugar and other sweeteners, soybean and vegetable oils 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 cocoa, energy costs, sugar and other sweeteners, wheat, packaging, dairy, corn, and soybean and vegetable oils. 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.

Currency exchange cash flow hedges. We use various financial instruments to mitigate our exposure to changes in exchange rates from third-party and intercompany current and forecasted transactions. These instruments may include currency 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, Swiss franc, Canadian dollar and Mexican peso.

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. Most recently in October 2016, we executed cross-currency interest rate swaps that we use to hedge interest payment cash flows on newly issued debt denominated in a different currency than the functional currency of the borrowing entity. Substantially all of these derivative instruments are highly effective and qualify for hedge accounting treatment.

Hedges of net investments in non-U.S. operations. We have numerous investments outside the United States. The net assets of these subsidiaries are exposed to changes and volatility in currency exchange rates. We use local currency denominated debt to hedge our non-U.S. net investments against adverse movements in exchange rates. We designated our euro, pound sterling and Swiss franc 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, pound sterling and Swiss franc denominated borrowings. The change in the debt’s value, net of deferred taxes, is recorded in the currency translation adjustment component of accumulated other comprehensive earnings / (losses).

Income Taxes:

Our provision for income taxes includes amounts payable or refundable for the current year, the effect of deferred tax and impacts from uncertain tax positions. We recognize deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the financial statement and tax basis of our assets and liabilities, operating loss carryforwards and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which those differences are expected to reverse.

The realization of certain deferred tax assets is dependent on generating sufficient taxable income in the appropriate jurisdiction prior to the expiration of the carryforward periods. 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. When assessing the need for a valuation allowance, we consider any carryback potential, future reversals of existing taxable temporary differences (including liabilities for unrecognized tax benefits), future taxable income and tax planning strategies.

We recognize tax benefits in our financial statements from uncertain tax positions only if it is more likely than not that the tax position will be sustained by the taxing authorities based on the technical merits of the position. The amount we recognize is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon settlement. Future changes in judgment related to the expected resolution of uncertain tax positions could affect income in the period when the change occurs.

New Accounting Pronouncements:

In January 2017, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) that clarifies the definition of a business with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions or disposals of assets or businesses. The definition of a business may affect many areas of accounting including acquisitions, disposals, goodwill and consolidation. The ASU is applied on a prospective basis and is effective for fiscal years beginning after December 15, 2017 with early adoption permitted. We are currently assessing the ASU and potential prospective impact on our consolidated financial statements.

In November 2016, the FASB issued an ASU that requires the change in restricted cash or cash equivalents to be included with other changes in cash and cash equivalents in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard at the same time as the cash flow statement classification changes described below go into effect on January 1, 2018. We are currently assessing the impact on our consolidated financial statements.

In October 2016, the FASB issued an ASU to amend the consolidation guidance on the treatment of indirect interests held through related parties that are under common control. Under the amendments, a single decision maker is required to include those interests on a proportionate basis consistent with indirect interests held through other related parties. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We adopted the new standard on December 31, 2016 and it did not have a material impact on our consolidated financial statements.

In October 2016, the FASB issued an ASU that requires the recognition of tax consequences of intercompany asset transfers other than inventory when the transfer occurs and removes the exception to postpone recognition until the asset has been sold to an outside party. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting on January 1, 2018 and do not expect the ASU to have a material impact on our consolidated financial statements.

In August 2016, the FASB issued an ASU to provide guidance on eight specific cash flow classification issues and reduce diversity in practice in how some cash receipts and cash payments are presented and classified in the statement of cash flows. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We anticipate adopting this standard on January 1, 2018. We are currently assessing the impact on our consolidated statements of cash flows.

In March 2016, the FASB issued an ASU to simplify the accounting for stock-based compensation. The ASU addresses several areas of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and cash flow statement presentation. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We will adopt the standard on January 1, 2017. Following adoption and on a prospective basis, we anticipate greater volatility in our consolidated statements of earnings as we will record certain stock-based compensation tax impacts in earnings (within the provision for income taxes) while under the former guidance and for periods prior to January 1, 2017, the tax impacts were recorded directly to equity (within additional paid-in capital).

In March 2016, the FASB issued an ASU that simplifies the transition accounting for increases in investments that require a change from the cost basis to the equity method of accounting. U.S. GAAP currently requires the impact of such changes in accounting method to be retroactively applied to all prior periods that the investment was held. Under the new standard, adjustments to the investor’s basis in the investment should be recorded on the date the investment becomes qualified for equity method accounting. The equity method of accounting is then applied prospectively from that date. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We early adopted this standard on December 31, 2016 and it did not have an impact on our consolidated financial statements.

In March 2016, the FASB issued an ASU that clarifies whether contingent put and call options meet the “clearly and closely related” criteria in connection with accounting for embedded derivatives. U.S GAAP requires that embedded derivatives be separated from the host contract and accounted for separately as derivatives if certain criteria are met. The criteria include determining that the economic characteristics and risks of the embedded derivatives are not “clearly and closely related” to those of the host contract. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We adopted the new standard on December 31, 2016 and it did not have a material impact on our consolidated financial statements.

In March 2016, the FASB issued an ASU that applies when there is a contract novation to a new counterparty for a derivative designated as an accounting hedge. The ASU clarifies that such a change in counterparty does not, in and of itself, require de-designation of the hedging relationship, provided that all other hedge accounting criteria continue to be met. The ASU is effective for fiscal years beginning after December 15, 2016, with early adoption permitted. We adopted the new standard on December 31, 2016 and it did not have a material impact on our consolidated financial statements.

In February 2016, the FASB issued an ASU on lease accounting. The ASU revises existing U.S. GAAP and outlines a new model for lessors and lessees to use in accounting for lease contracts. The guidance requires lessees to recognize a right-of-use asset and a lease liability on the balance sheet for all leases, with the exception of short-term leases. In the consolidated statement of earnings, lessees will classify leases as either operating (resulting in straight-line expense) or financing (resulting in a front-loaded expense pattern). The ASU is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We anticipate adopting the new standard on January 1, 2019. We have made progress in our due diligence and continue to assess the impact of the new standard across our operations and on our consolidated financial statements.

In January 2016, the FASB issued an ASU that provides updated guidance for the recognition, measurement, presentation and disclosure of financial assets and liabilities. The standard requires that equity investments (other than those accounted for under equity method of accounting or those that result in consolidation of the investee) be measured at fair value, with changes in fair value recognized in net income. The standard also impacts financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017. This ASU is not expected to have a significant impact on our consolidated financial statements.

In May 2014, the FASB issued an ASU on revenue recognition from contracts with customers. The ASU outlines a new, single comprehensive model for companies to use in accounting for revenue. The core principle is that an entity should recognize revenue to depict the transfer of control over promised goods or services to a customer in an amount that reflects the consideration the entity expects to be entitled to receive in exchange for the goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows from customer contracts, including significant judgments made in recognizing revenue. In 2016, the FASB issued several ASUs that clarified principal versus agent (gross versus net) revenue presentation considerations, confirmed certain prepaid stored-value products should be accounted for under the new revenue recognition ASU and not under other U.S. GAAP and clarified the guidance for identifying performance obligations within a contract and the accounting for licenses. The FASB also issued two ASUs providing technical corrections, narrow scope exceptions and practical expedients to clarify and improve the implementation of the new revenue recognition guidance. The revenue guidance is effective for annual reporting periods beginning after December 15, 2017, with early adoption permitted as of the original effective date (annual reporting periods beginning after December 15, 2016). The ASU may be applied retrospectively to historical periods presented or as a cumulative-effect adjustment as of the date of adoption. We plan to adopt the new standard on January 1, 2018 on a full retrospective basis. We continue to make significant progress on quantifying the impact of the ASU on our consolidated financial statements and planning the final process, policy and disclosure changes that will go into effect on January 1, 2018. At this time, we do not expect a material impact from adopting the new revenue standards.

Reclassifications:

Certain amounts previously reported have been reclassified to conform to current-year presentation. See Segment Change above and Notes 5, Goodwill and Intangible Assets, 6, Restructuring Programs, and 16, Segment Reporting, for information on changes in prior-period segment goodwill, segment earnings and segment net asset reclassifications made in connection with the segment change that went into effect on October 1, 2016. We also reclassified certain amounts previously reported within our consolidated statements of comprehensive earnings and Note 13, Reclassifications from Accumulated Other Comprehensive Income, to be consistent with the current-year presentation.

Divestitures and Acquisitions

12 Months Ended

Dec. 31, 2016

Divestitures and Acquisitions

Note 2. Divestitures and Acquisitions

JDE Coffee Business Transactions:

On July 2, 2015, we completed transactions to combine our wholly owned coffee businesses with those of D.E Master Blenders 1753 B.V. (“DEMB”) to create a new company, JDE. Following the exchange of a portion of our investment in JDE for an interest in Keurig in March 2016, we held a 26.5% equity interest in JDE. (See discussion of the Keurig Transaction below.) The remaining 73.5% equity interest in JDE was held by a subsidiary of Acorn Holdings B.V. (“AHBV,” owner of DEMB prior to July 2, 2015). Following the transactions discussed under JDE Stock-Based Compensation Arrangements below, as of December 31, 2016, we hold a 26.4% equity interest in JDE.

The consideration we received in the JDE coffee business transactions completed on July 2, 2015 consisted of €3.8 billion of cash ($4.2 billion as of July 2, 2015), a 43.5% equity interest in JDE (prior to the decrease in ownership due to the Keurig transaction and the compensation arrangements discussed below) and $794 million in receivables (related to sales price adjustments and tax formation cost payments). During the third quarter of 2015, we also recorded $283 million of cash and receivables from JDE related to reimbursement of costs that we incurred in separating our coffee businesses. The cash and equity consideration we received at closing reflects our retaining our interest in our Korea-based joint venture, DSF. During the second quarter of 2015, we also completed the sale of our interest in a Japanese coffee joint venture, Ajinomoto General Foods, Inc. (“AGF”). In lieu of contributing our interest in the AGF joint venture to JDE, we contributed the net cash proceeds from this sale as part of the overall JDE coffee business transactions. See Other Divestitures and Acquisitions for a discussion of the AGF divestiture.

On July 5, 2016, we received an expected cash payment of $275 million from JDE to settle the receivable related to tax formation costs that were part of the initial sales price.

In connection with the contribution of our global coffee businesses to JDE on July 2, 2015, we recorded a final pre-tax gain of $6.8 billion (or $6.6 billion after-tax) in 2015 after final adjustments described below. As previously reported, we deconsolidated net assets totaling $2.9 billion and reduced accumulated other comprehensive losses for the transfer of coffee business-related pension obligations by $90 million. We also recorded approximately $1.0 billion of pre-tax net gains related to hedging the expected cash proceeds from the transactions as described further below. During the fourth quarter of 2015, we and JDE concluded negotiations of a sales price adjustment and completed the valuation of our investment in JDE. Primarily due to the negotiated resolution of the sales price adjustment in the fourth quarter of 2015, we recorded a $313 million reduction in the pre-tax gain on the coffee transaction, reducing the $7.1 billion estimated gain in the third quarter of 2015 to the $6.8 billion final gain for 2015. As part of our sales price negotiations, we retained the right to collect future cash payments if certain estimated pension liabilities are realized over an agreed amount in the future. As such, we may recognize additional income related to this negotiated term in the future.

The final value of our 43.5% investment in JDE on July 2, 2015 was €4.1 billion ($4.5 billion as of July 2, 2015). The fair value of the JDE investment was determined using both income-based and market-based valuation techniques. The discounted cash flow analysis reflected growth, discount and tax rates and other assumptions reflecting the underlying combined businesses and countries in which the combined coffee businesses operate. The fair value of the JDE investment also included the fair values of the Carte Noire and Merrild businesses, which JDE agreed to divest to comply with the conditioned approval by the European Commission related to the JDE coffee business transactions. As of the end of the first quarter of 2016, these businesses were sold by JDE. As the July 2, 2015 fair values for these businesses were recorded by JDE at their pending sales values, we did not record any gain or loss on the sales of these businesses in our share of JDE’s earnings.

In 2014 and 2015, in connection with the expected receipt of cash in euros at the time of closing, we entered into a number of consecutive currency exchange forward contracts to lock in an equivalent expected value in U.S. dollars as of the date the JDE coffee business transactions were first announced in May 2014. Cumulatively, we realized aggregate net gains and received cash of approximately $1.0 billion on these hedging contracts that increased the cash we received in connection with the JDE coffee business transactions from $4.2 billion in cash consideration received to $5.2 billion. In connection with these currency contracts and the transfer of the sale proceeds to our subsidiaries that deconsolidated net assets and shares, we recognized a net gain of $436 million in 2015 and $628 million in 2014 within interest and other expense, net.

We also incurred incremental expenses related to readying our global coffee businesses for the transactions that totaled $278 million for the year ended December 31, 2015 and $77 million for the year ended December 31, 2014. Of these total expenses, $123 million was recorded within asset impairment and exit costs in 2015 and the remainder was recorded within selling, general and administrative expenses of primarily our Europe segment, as well as within general corporate expenses.

JDE Capital Increase:

On December 18, 2015, AHBV and we agreed to provide JDE additional capital to pay down some of its debt with lenders. Our pro rata share of the capital increase was €499 million ($544 million as of December 18, 2015) and was made in return for a pro rata number of additional shares in JDE such that our ownership in JDE did not change following the capital increase. To fund our share of the capital increase, we contributed €460 million ($501 million) of JDE receivables and made a €39 million ($43 million) cash payment.

JDE Stock-Based Compensation Arrangements:

On June 30, 2016, we entered into agreements with AHBV and its affiliates to establish a new stock-based compensation arrangement tied to the issuance of JDE equity compensation awards to JDE employees. This arrangement replaced a temporary equity compensation program tied to the issuance of AHBV equity compensation to JDE employees. New Class C, D and E JDE shares were authorized and issued for investments made by and vested stock-based compensation awards granted to JDE employees. Under these arrangements, dilution of the JDE shares is limited to 2%. Upon execution of the agreements and the creation of the Class C, D and E JDE shares, as a percentage of the total JDE issued shares, our Class B shares decreased from 26.5% to 26.4% and AHBV’s Class A shares decreased from 73.5% to 73.22%, while the Class C, D and E shares, held by AHBV and its affiliates until the JDE employee awards vest, comprised 0.38% of JDE’s shares. Additional Class C shares are available to be issued when planned long-term incentive plan (“JDE LTIP”) awards vest, generally over the next five years. When the JDE Class C shares are issued in connection with the vested JDE LTIP awards, the Class A and B relative ownership interests will decrease. Based on estimated achievement and forfeiture assumptions, we do not expect our JDE ownership interest to decrease below 26.27%. Following vesting of stock awards and new employee stock investments, as of December 31, 2016, our ownership interest in JDE was 26.4%.

JDE Tax Matter Resolution:

On July 19, 2016, the Supreme Court of Spain reached a final resolution on a challenged JDE tax position held by a predecessor DEMB company that resulted in an unfavorable tax expense of €114 million. As a result, our share of JDE’s equity earnings during the third quarter of 2016 was negatively affected by €30 million ($34 million).

Keurig Transaction:

On March 3, 2016, a subsidiary of AHBV completed a $13.9 billion acquisition of all of the outstanding common stock of Keurig through a merger transaction. On March 7, 2016, we exchanged with a subsidiary of AHBV a portion of our equity interest in JDE with a carrying value of €1.7 billion (approximately $2.0 billion as of March 7, 2016) for an interest in Keurig with a fair value of $2.0 billion based on the merger consideration per share for Keurig. We recorded the difference between the fair value of Keurig and our basis in JDE shares as a $43 million gain on the equity method investment exchange in March 2016. Immediately following the exchange, our ownership interest in JDE was 26.5% and our interest in Keurig was 24.2%. Both AHBV and we hold our investments in Keurig through a combination of equity and interests in a shareholder loan, with pro-rata ownership of each. Our initial $2.0 billion investment in Keurig includes a $1.6 billion Keurig equity interest and a $0.4 billion shareholder loan receivable, which are reported on a combined basis within equity method investments on our consolidated balance sheet as of December 31, 2016. The shareholder loan has a 5.5% interest rate and is payable at the end of a seven-year term on February 27, 2023. Within equity method investment net earnings, we recorded equity earnings of $77 million and interest income from the shareholder loan of $20 million in 2016. Additionally, we received $14 million of interest payments on the shareholder loan and $4 million in dividends on our investment in Keurig for the year ended December 31, 2016. We continue to account for our investments in JDE and Keurig under the equity method and recognize our share of their earnings within equity method investment earnings and our share of their dividends within our cash flows. As of December 31, 2016, Keurig reflected a preliminary acquisition purchase price allocation and related remeasurement updates that we have recorded in our fourth quarter 2016 results. We anticipate the purchase price allocation work will be finalized in the first quarter of 2017.

Coffee Business Equity Earnings:

We have reflected the results of our historical coffee businesses and equity earnings from JDE, Keurig and DSF in our results from continuing operations as the coffee category continues to be a significant part of our net earnings and business strategy going forward. Historically, our coffee businesses and the income from equity method investments were recorded within our operating income as these businesses were part of our base business. While we retain an ongoing interest in coffee through equity method investments including JDE, Keurig and DSF, and we have significant influence with our equity method investments, we do not control these operations directly. As such, in the third quarter of 2015, we began to recognize equity method investment earnings, consisting primarily of investments in coffee businesses, outside of operating income. For periods prior to the third quarter of 2015, our historical coffee business and equity method investment earnings were included within our operating income.

Of the $301 million equity method investment net earnings in 2016, the contribution from JDE was $100 million, from Keurig was $97 million (since March 7, 2016), from DSF was $75 million and from all other equity investments was $29 million. In 2015, JDE incurred a $58 million loss, which was fully offset by earnings of $38 million from DSF and $21 million from other equity method investments. Within operating income for the first half of 2015, $296 million after-tax ($342 million pre-tax) earnings related to our legacy coffee business, $40 million was from DSF and $16 million was from our other equity method investments. In 2014, $572 million ($646 million pre-tax) earnings related to our legacy coffee business, $83 million was from DSF and $30 million was from our other equity method investments.

Summary Financial Information for Equity Method Investments:

Summarized financial information for JDE, Keurig, DSF and our other equity method investments is reflected below.


			As of December 31,
			2016		2015
			(in millions)

Current assets			$	4,458	$	3,943
Noncurrent assets				35,089		20,936

Total assets			$	39,547	$	24,879

Current liabilities			$	4,148	$	2,779
Noncurrent liabilities				16,472		9,880

Total liabilities			$	20,620	$	12,659

Total net equity of investees			$	18,927	$	12,220
Mondelēz International ownership interests				24%-50%		40%-50%

Mondelēz International share of investee net equity ⁽¹⁾			$	5,145	$	5,387
Keurig shareholder loan				440		–

Equity method investments			$	5,585	$	5,387


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues	$	10,923	$	4,993	$	2,721
Gross profit		4,219		1,551		921
Income from continuing operations		839		96		226
Net income		839		97		226

Net income attributable to investees	$	838	$	97	$	226
Mondelēz International ownership interests		24%-50%		40%-50%		40%-50%

Mondelēz International share of investee net income	$	281	$	56	$	113
Keurig shareholder loan interest income		20		–		–

Equity method investment net earnings ⁽²⁾	$	301	$	56	$	113

(1)

Includes approximately $325 million of basis differences between the U.S. GAAP accounting basis for our equity method investments and the U.S. GAAP accounting basis of our investees’ equity.

(2)

Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. For the six months ended December 31, 2015, after-tax equity method investment net earnings were less than $1 million on a combined basis. Earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015 and $113 million for the year ended December 31, 2014. See Note 1, Summary of Significant Accounting Policies – Principles of Consolidation, for additional information.

Spin-Off of Kraft Foods Group:

On October 1, 2012, we divested the Kraft Foods Group grocery business in a spin-off (“Spin-Off”). In 2014, we concluded our Spin-Off-related transition plans and recorded final Spin-Off transaction, transition and financing and related costs (“Spin-Off Costs”) of $35 million in 2014 in pre-tax earnings within selling, general and administrative expenses.

Other Divestitures and Acquisitions:

On January 18, 2017, we reached an agreement to sell most of our grocery business in Australia and New Zealand to Bega Cheese Limited for approximately $460 million Australian dollars ($346 million as of January 18, 2017). As of December 31, 2016, the asset group to be sold consisted of approximately $25 million of current assets and approximately $125 million of non-current assets based on the December 31, 2016 Australian-to-U.S. dollar exchange rate. We expect the transaction to close in 2017.

On March 31, 2016, we received a binding offer totaling €176 million ($185 million as of December 31, 2016) for the sale of several manufacturing facilities in France and the sale or license of several local confectionery brands. Taking into account agreed upon sales price adjustments related to cash, employee-related liabilities and working capital to be transferred at closing, we currently estimate a sales price of €225 million ($237 million as of December 31, 2016) based on net book values as of December 31, 2016. The final sales price is subject to change as working capital and other account balances may change at the time of closing. The transactions are subject to E.U. and local regulatory approvals, completion of employee consultation requirements and additional steps to prepare the assets for transfer. During the fourth quarter, we received the Works Council approval and the buyer obtained anti-trust clearance in all markets where it was required. As of December 31, 2016, the held for sale assets and liabilities consisted of $125 million of current assets, $174 million of non-current assets, $33 million of current liabilities and $29 million of non-current liabilities based on the December 31, 2016 euro-to-U.S. dollar exchange rate. On March 31, 2016, we recorded a $14 million impairment charge for a gum & candy trademark as a portion of its carrying value would not be recoverable based on future cash flows expected under a planned license agreement with the buyer. In May 2016, we recorded an additional $5 million impairment charge for another candy trademark to reduce the overall net assets to the estimated net sales proceeds after transaction costs. Additionally, in 2016, we incurred and accrued $86 million of incremental expenses to ready the business for the sale transactions expected to close in 2017. We recorded these costs within cost of sales and selling, general and administrative expenses of our Europe segment.

During the year ended December 31, 2016, we also completed the following sale transactions:

•

On December 31, 2016, we completed the sale of a chocolate factory in Belgium. In connection with this transaction, we recorded a pre-tax loss of €65 million ($68 million as of December 31, 2016), within asset impairment and exit costs in our Europe segment. The loss includes a fixed asset impairment charge of €30 million ($31 million as of December 31, 2016), a loss on disposal of €22 million ($23 million as of December 31, 2016) and incremental expenses we incurred and accrued of €13 million ($14 million as of December 31, 2016) related to selling the factory.

•

On December 1, 2016, we completed the sale of a confectionery business in Costa Rica represented by a local brand. The sales price was $28 million and we recorded a pre-tax gain of $9 million within gains on divestiture within our Latin America segment. We divested approximately $11 million of property, plant and equipment, $4 million of goodwill and $2 million of inventory. In connection with this transaction, we incurred $2 million of transaction costs and accrued expenses.

•

On August 26, 2016, we recorded a $7 million gain for the sale of a U.S.-owned biscuit trademark. The gain was recorded within selling, general and administrative expenses in 2016.

•

On May 2, 2016, we completed the sale of certain local biscuit brands in Finland as part of our strategic decisions to exit select small and local brands and shift investment towards our Power Brands. The sales price was €14 million ($16 million as of May 2, 2016) and we recorded a pre-tax gain of $6 million ($5 million after-tax) within selling, general and administrative expenses of our Europe segment in the year ended December 31, 2016. We divested $8 million of indefinite-lived intangible assets and less than $1 million of other assets. We received cash proceeds of €12 million ($14 million as of May 2, 2016) upon closing and another €2 million ($2 million as of October 31, 2016) of consideration following the completion of post-closing requirements. The additional $2 million of consideration increased the pre-tax gain to $8 million ($6 million after-tax) through December 31, 2016.

On November 2, 2016, we purchased from Burton’s Biscuit Company certain intangibles, which include the license to manufacture, market and sell Cadbury-branded biscuits in additional key markets around the world, including in the United Kingdom, France, Ireland, North America and Saudi Arabia. The transaction was accounted for as a business combination. Total cash paid for the acquired assets was £199 million ($246 million as of December 31, 2016). We are working to complete the valuation work and have recorded a preliminary purchase price allocation of $72 million to definite-life intangible assets, $156 million to goodwill, $14 million to property, plant and equipment and $4 million to inventory as of December 31, 2016.

During the third quarter of 2016, we completed the acquisition of a Vietnamese biscuit operation within our AMEA segment. On July 15, 2015, we acquired an 80% interest in the biscuit operation and on August 22, 2016, we acquired the remaining 20% interest. Total cash paid for the biscuit operation, intellectual property, non-compete and consulting agreements less purchase price adjustments was 12,404 billion Vietnamese dong ($569 million using applicable exchange rates on July 15, 2015, November 27, 2015 and August 22, 2016). On August 22, 2016, in connection with acquiring the remaining 20% interest in the biscuit operation, we released escrowed funds of $70 million and retained an agreed $20 million related to two outstanding acquisition-related matters that are expected to be resolved in 2017. As of December 31, 2016, we released an additional $5 million of the escrowed funds and are holding $15 million until the outstanding acquisition matters are resolved. On August 22, 2016, we also made a final payment of 759 billion Vietnamese dong ($35 million as of August 22, 2016) for the non-compete and consulting agreements. The non-compete and consulting agreements were recorded as prepaid contracts within other current and non-current assets and will be amortized into net earnings over the term of the agreements. During the third quarter of 2016, we also finalized the valuation and purchase price allocation of the acquired net assets of the business, which included $10 million of inventory, $49 million of property, plant and equipment, $86 million of intangible assets, $385 million of goodwill and $31 million of other net liabilities. In periods following the initial July 15, 2015 first closing date, the allocation of the net asset fair values had an immaterial impact on our operating results. The acquisition added incremental net revenues of $71 million in 2016 and $121 million in 2015 and added incremental operating income of $5 million in 2016 and $21 million in 2015. Within selling, general and administrative expenses, we recorded integration costs of $7 million in 2016 and $9 million in 2015 and acquisition costs of $7 million in 2015 and $2 million in 2014.

On April 23, 2015, we completed the divestiture of our 50% equity interest in AGF, our Japanese coffee joint venture, to our joint venture partner, which generated cash proceeds of 27 billion Japanese yen ($225 million as of April 23, 2015) and a pre-tax gain of $13 million (after-tax loss of $9 million) in the second quarter of 2015. Upon closing, we divested our $99 million investment in the joint venture, $65 million of goodwill and $41 million of accumulated other comprehensive losses. We also incurred approximately $7 million of transaction costs in 2015.

On February 16, 2015, we acquired a U.S. snack food company, Enjoy Life Foods, within our North America segment. We paid cash and settled debt totaling $81 million in connection with the acquisition. Upon finalizing the valuation of the acquired net assets during the second quarter of 2015, we recorded an $81 million purchase price allocation of $58 million in identifiable intangible assets, $20 million of goodwill and $3 million of other net assets. The acquisition-related costs and operating results of the acquisition were not material to our consolidated financial statements for the years ended December 31, 2016 and 2015.

Sales of Property:

On November 9, 2016, we completed the sale of a manufacturing plant in Russia and recorded total expenses of $12 million, including a related fixed asset impairment charge of $4 million within asset impairments and exit costs. The sale of the land, buildings and equipment generated cash proceeds of $6 million.

In 2016, we also sold property within our North America segment and from our centrally held corporate assets. In the third quarter, we sold property in North America that generated cash proceeds of $10 million and a pre-tax gain of $6 million and we sold a corporate aircraft hangar that generated cash proceeds of $3 million and a pre-tax gain of $1 million. In the second quarter, we also sold separate property in North America that generated cash proceeds of $40 million and a pre-tax gain of $33 million and we sold a corporate aircraft that generated cash proceeds of $20 million and a pre-tax gain of $6 million. The gains were recorded within selling, general and administrative expenses and cash proceeds were recorded in cash flows from other investing activities in year ended December 31, 2016.

Inventories

12 Months Ended

Dec. 31, 2016

Inventories

Note 3. Inventories

Inventories consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Raw materials	$	722		$	782
Finished product		1,865			1,930

		2,587			2,712
Inventory reserves		(118	)		(103	)

Inventories, net	$	2,469		$	2,609

Property, Plant and Equipment

12 Months Ended

Dec. 31, 2016

Property, Plant and Equipment

Note 4. Property, Plant and Equipment

Property, plant and equipment consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Land and land improvements	$	471		$	495
Buildings and building improvements		2,801			2,753
Machinery and equipment		10,302			10,044
Construction in progress		1,113			1,262

		14,687			14,554
Accumulated depreciation		(6,458	)		(6,192	)

Property, plant and equipment, net	$	8,229		$	8,362

Capital expenditures of $1.2 billion for the year ended December 31, 2016 exclude $343 million of accrued capital expenditures remaining unpaid at December 31, 2016 and include payment for $322 million of capital expenditures that were accrued and unpaid at December 31, 2015.

In connection with our restructuring program, we recorded non-cash asset write-downs (including accelerated depreciation and asset impairments) of $301 million in 2016, $264 million in 2015 and $173 million in 2014 (see Note 6, Restructuring Programs). These charges were recorded in the consolidated statements of earnings within asset impairment and exit costs and in the following segment results as follows:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Latin America	$	22	$	46	$	14
AMEA		44		88		34
Europe		122		65		42
North America		111		65		83
Corporate		2		–		–

Total non-cash asset write-downs	$	301	$	264	$	173

Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets

Note 5. Goodwill and Intangible Assets

Goodwill by segment below reflects our latest segment structure for both periods presented:


	As of December 31,
	2016		2015
	(in millions)

Latin America	$	897	$	858
AMEA		3,324		3,537
Europe		7,170		7,404
North America		8,885		8,865

Goodwill	$	20,276	$	20,664

Intangible assets consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Non-amortizable intangible assets	$	17,004		$	17,527
Amortizable intangible assets		2,315			2,320

		19,319			19,847
Accumulated amortization		(1,218	)		(1,079	)

Intangible assets, net	$	18,101		$	18,768

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, 2016, the weighted-average life of our amortizable intangible assets was 13.5 years.

Amortization expense for intangible assets was $176 million in 2016, $181 million in 2015 and $206 million in 2014. We currently estimate annual amortization expense for each of the next five years to be approximately $171 million, estimated using December 31, 2016 exchange rates.

Changes in goodwill and intangible assets consisted of:


	2016						2015
	Goodwill			Intangible Assets, at cost			Goodwill			Intangible Assets, at cost
	(in millions)

Balance at January 1	$	20,664		$	19,847		$	23,389		$	21,335
Changes due to:
Currency		(464	)		(540	)		(1,477	)		(1,462	)
Coffee business transactions and divestitures		(4	)		(8	)		(1,729	)		–
Acquisitions		80			158			481			58
Asset impairments		–			(137	)		–			(83	)
Other		–			(1	)		–			(1	)

Balance at December 31	$	20,276		$	19,319		$	20,664		$	19,847

Changes to goodwill and intangibles were:

•

Coffee business transactions and divestitures – On December 1, 2016, we divested $4 million of goodwill related to the sale of a confectionery business in Costa Rica. On May 2, 2016, we sold $8 million of non-amortizable intangible assets in Finland. On July 2, 2015, we deconsolidated $1,664 million of goodwill and less than $1 million of intangible assets in connection with the coffee business transactions. On April 23, 2015, we completed the divestiture of our 50% equity interest in AGF, which resulted in divesting $65 million of goodwill. See Note 2, Divestitures and Acquisitions, for additional information on these transactions.

•

Acquisitions – On November 2, 2016, we purchased from Burton’s Biscuit Company certain intangibles, which include a license to manufacture, market and sell Cadbury-branded biscuits in additional key markets. As a result of the acquisition, we recorded a preliminary purchase price allocation of $156 million to goodwill and $72 million to amortizable intangible assets. In connection with the completion of the Vietnam biscuit operation in 2016, we finalized the purchase price allocation of the consideration paid to the net assets acquired and recorded $25 million of amortizable intangible assets and $61 million of non-amortizable intangible assets related to acquired trademarks and customer-related intangible assets. A preliminary goodwill balance was recorded in the third quarter of 2015 and subsequently adjusted by $76 million to $385 million during the first nine months of 2016 to reflect finalized intangible asset and other asset fair valuations. On February 16, 2015, we also acquired Enjoy Life Foods and recorded $20 million of goodwill and $58 million in identifiable intangible assets. See Note 2, Divestitures and Acquisitions – Other Divestitures and Acquisitions, for additional information.

•

Asset impairments – We recorded $137 million of intangible asset impairments in 2016, $83 million in 2015 and $57 million in 2014. Charges related to our annual testing of non-amortizable intangible assets are described further below. Additionally, during 2016, $20 million of impairments recorded in our Europe segment related to the planned sale of a confectionery business in France (see Note 2, Divestitures and Acquisitions – Other Divestitures and Acquisitions, for additional information). In 2016, we also recorded $19 million of charges in our Europe, North America and AMEA segments resulting from the discontinuation of four biscuit products and one candy product. Additionally, in 2015, in connection with the deconsolidation of our Venezuelan operations on December 31, 2015, we recorded $12 million of impairment charges within the loss on deconsolidation of Venezuela related to a biscuit trademark.

In 2016, 2015 and 2014, there were no impairments of goodwill. In connection with our 2016 annual impairment testing, each of our reporting units had sufficient fair value in excess of carrying value. While all reporting units passed our annual impairment testing, if planned business performance expectations are not met or specific valuation factors outside of our control, such as discount rates, change significantly, then the estimated fair values of a reporting unit or reporting units might decline and lead to a goodwill impairment in the future.

During our 2016 annual testing of non-amortizable intangible assets, we recorded $98 million of impairment charges related to five trademarks. The impairments arose due to lower than expected product growth in part driven by decisions to redirect support from these trademarks to other regional and global brands, as well as slowdowns in local economies. We recorded charges related to biscuits, candy and gum trademarks of $41 million in AMEA, $32 million in North America, $22 million in Europe, and $3 million in Latin America. The impairment charges were calculated as the excess of the carrying value over the estimated fair value of the intangible assets on a global basis and were recorded within asset impairment and exit costs. We primarily use a relief of royalty valuation method, which utilizes estimates of future sales, growth rates, royalty rates and discount rates in determining a brand’s global fair value. During our 2016 intangible asset impairment review, we noted nine brands, including the five impaired trademarks, with $630 million of aggregate book value as of December 31, 2016 that each had a fair value in excess of book value of 10% or less. While the other four intangible assets passed our annual impairment testing and we believe our current plans for each of these brands will allow them to continue to not be impaired, if the product line expectations are not met or specific valuation factors outside of our control, such as discount rates, change significantly, then a brand or brands could become impaired in the future. In 2015, we recorded a $44 million charge related to candy and biscuit trademarks in our AMEA segment, $22 million in Europe and $5 million in Latin America. In 2014, we recorded a $48 million charge related to a biscuit trademark in our AMEA segment and a $9 million charge related to a candy trademark in our Europe segment.

Debt and Borrowing Arrangements

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

Restructuring Programs

12 Months Ended

Dec. 31, 2016

Restructuring Programs

Note 6. Restructuring Programs

On May 6, 2014, our Board of Directors approved a $3.5 billion restructuring program, comprised of approximately $2.5 billion in cash costs and $1 billion in non-cash costs (the “2014-2018 Restructuring Program”) and up to $2.2 billion of capital expenditures. On August 31, 2016, our Board of Directors approved a reallocation within the $5.7 billion total cost of the programs of $600 million of previously approved capital expenditures to be spent on restructuring program cash costs. There was no change to the total $5.7 billion cost of the programs and no change to the total $4.7 billion of cash outlays. The $5.7 billion total cost of the programs is now comprised of approximately $4.1 billion of restructuring program costs ($3.1 billion cash costs and $1 billion non-cash costs) and up to $1.6 billion of capital expenditures. The primary objective of the 2014-2018 Restructuring Program is to reduce our operating cost structure in both our supply chain and overhead costs. The program is intended primarily to cover severance as well as asset disposals and other manufacturing-related one-time costs. Since inception, we have incurred total restructuring and related implementation charges of $2.5 billion related to the 2014-2018 Restructuring Program. We have incurred the majority of the program’s charges through 2016 and we expect to complete the program by year-end 2018.

Restructuring Costs:

We recorded restructuring charges of $714 million in 2016, $711 million 2015 and $274 million in 2014 within asset impairment and exit costs. The 2014-2018 Restructuring Program liability activity for the years ended December 31, 2016 and 2015 was:


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

Liability balance, January 1, 2015	$	224		$	–		$	224
Charges		442			269			711
Cash spent		(243	)		–			(243	)
Non-cash settlements / adjustments		(4	)		(269	)		(273	)
Currency		(24	)		–			(24	)

Liability balance, December 31, 2015	$	395		$	–		$	395

Charges		402			312			714
Cash spent		(315	)		–			(315	)
Non-cash settlements / adjustments		(9	)		(312	)		(321	)
Currency		(9	)		–			(9	)

Liability balance, December 31, 2016	$	464		$	–		$	464

We spent $315 million in 2016 and $243 million in 2015 in cash severance and related costs. We also recognized non-cash pension settlement losses (See Note 9, Benefit Plans), non-cash asset write-downs (including accelerated depreciation and asset impairments) and other non-cash adjustments totaling $321 million in 2016 and $273 million in 2015. At December 31, 2016, $379 million of our net restructuring liability was recorded within other current liabilities and $85 million was recorded within other long-term liabilities.

Implementation Costs:

Implementation costs are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. We believe the disclosure of implementation costs provides readers of our financial statements with more information on the total costs of our 2014-2018 Restructuring Program. Implementation costs primarily relate to reorganizing our operations and facilities in connection with our supply chain reinvention program and other identified productivity and cost saving initiatives. The costs include incremental expenses related to the closure of facilities, costs to terminate certain contracts and the simplification of our information systems. Within our continuing results of operations, we recorded implementation costs of $372 million in 2016, $291 million in 2015 and $107 million in 2014. We recorded these costs within cost of sales and general corporate expense within selling, general and administrative expenses.

Restructuring and Implementation Costs in Operating Income:

During 2016, 2015 and 2014, we recorded restructuring and implementation costs related to the 2014-2018 Restructuring Program within operating income by segment (as revised to reflect our new segment structure) as follows:


	Latin						North
	America		AMEA		Europe		America⁽¹⁾		Corporate ⁽²⁾		Total
	(in millions)

For the Year Ended December 31, 2016
Restructuring Costs	$	111	$	96	$	310	$	183	$	14	$	714
Implementation Costs		54		48		88		121		61		372

Total	$	165	$	144	$	398	$	304	$	75	$	1,086

For the Year Ended December 31, 2015
Restructuring Costs	$	145	$	181	$	243	$	114	$	28	$	711
Implementation Costs		39		26		78		69		79		291

Total	$	184	$	207	$	321	$	183	$	107	$	1,002

For the Year Ended December 31, 2014
Restructuring Costs	$	81	$	30	$	96	$	57	$	10	$	274
Implementation Costs		16		12		38		5		36		107

Total	$	97	$	42	$	134	$	62	$	46	$	381

Total Project 2014-2016 ⁽³⁾
Restructuring Costs	$	337	$	307	$	649	$	354	$	52	$	1,699
Implementation Costs		109		86		204		195		176		770

Total	$	446	$	393	$	853	$	549	$	228	$	2,469

(1)

During 2016, our North America region implementation costs included incremental costs that we incurred related to re-negotiating collective bargaining agreements that expired at the end of February 2016 for eight U.S. facilities and related to executing business continuity plans for the North America business.

(2)

Includes adjustment for rounding.

(3)

Includes all charges recorded since program inception on May 6, 2014 through December 31, 2016.

2012-2014 Restructuring Program

On October 1, 2012, we completed the Spin-Off of our North American grocery business, Kraft Foods Group, to our shareholders. Prior to this transaction, in 2012, our Board of Directors approved $1.5 billion of restructuring and related implementation costs (the “2012-2014 Restructuring Program”) reflecting primarily severance, asset disposals and other manufacturing-related one-time costs. The primary objective of the 2012-2014 Restructuring Program was to ensure that 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 2012-2014 Restructuring Program costs, we retained approximately $925 million and Kraft Foods Group retained the balance of the program. Through the end of 2014, we incurred total restructuring and related implementation charges of $899 million and completed incurring planned charges on the 2012-2014 Restructuring Program.

Restructuring Costs:

We recorded reversals to the restructuring charges of $4 million in 2015 related to accruals no longer required. We recorded restructuring charges of $360 million in 2014 within asset impairment and exit costs. During 2014, we recorded out-of-period accruals for $73 million of severance ($52 million related to 2014 and $21 million related to 2013) in connection with a change in the timing of accruals for ongoing negotiations with workers’ councils and labor unions.

The 2012-2014 Restructuring Program liability activity for the years ended December 31, 2016 and 2015 was:


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

Liability balance, January 1, 2015	$	128		$	–	$	128
Charges		(4	)		–		(4	)
Cash spent		(66	)		–		(66	)
Non-cash settlements / adjustments		(4	)		–		(4	)
Currency		(7	)		–		(7	)

Liability balance, December 31, 2015	$	47		$	–	$	47

Charges		–			–		–
Cash spent		(21	)		–		(21	)
Non-cash settlements / adjustments		(6	)		–		(6	)
Currency		(1	)		–		(1	)

Liability balance, December 31, 2016	$	19		$	–	$	19

We spent $21 million in 2016 and $66 million in 2015 in cash severance and related costs. We also recognized non-cash pension plan settlement losses (See Note 9, Benefit Plans) and non-cash adjustments totaling $6 million in 2016 and $4 million in 2015. At December 31, 2016, $18 million of our net restructuring liability was recorded within other current liabilities and less than $1 million was recorded within other long-term liabilities.

Implementation Costs:

Implementation costs related to our 2012-2014 Restructuring Program primarily relate to activities in connection with the Kraft Foods Group Spin-Off such as reorganizing our operations and facilities, the discontinuance of certain product lines and incremental expenses related to the closure of facilities, replicating our information systems infrastructure and reorganizing our sales function. Within our continuing results of operations, we recorded implementation costs of $99 million in 2014. We recorded these costs within cost of sales and selling, general and administrative expenses.

Restructuring and Implementation Costs in Operating Income:

During 2014 and since inception of the 2012-2014 Restructuring Program, we recorded restructuring and implementation costs within operating income by segment (as revised to reflect our new segment structure) as follows:


	Latin						North
	America		AMEA		Europe		America		Corporate ⁽¹⁾		Total
	(in millions)

For the Year Ended December 31, 2014
Restructuring Costs	$	8	$	77	$	162	$	113	$	–	$	360
Implementation Costs		3		6		54		32		4		99

Total	$	11	$	83	$	216	$	145	$	4	$	459

Total Project 2012-2014 ⁽²⁾
Restructuring Costs	$	36	$	83	$	271	$	337	$	2	$	729
Implementation Costs		3		8		90		65		4		170

Total	$	39	$	91	$	361	$	402	$	6	$	899

(1)

Includes adjustment for rounding.

(2)

Includes all charges recorded since program inception in 2012 through conclusion on December 31, 2014.

Debt and Borrowing Arrangements

12 Months Ended

Dec. 31, 2016

Note 7. Debt and Borrowing Arrangements

Short-Term Borrowings:

Our short-term borrowings and related weighted-average interest rates consisted of:


	As of December 31,
	2016				2015
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	2,371		1.0%	$	–		0.0%
Bank loans		160		10.6%		236		9.5%

Total short-term borrowings	$	2,531			$	236

As of December 31, 2016, the commercial paper issued and outstanding had between 3 and 88 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:

We maintain a $4.5 billion multi-year senior unsecured revolving credit facility for general corporate purposes, including working capital needs, and to support our commercial paper program. On October 14, 2016, the revolving credit agreement, which was scheduled to expire on October 11, 2018, was extended through October 11, 2021. 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, 2016, we complied with this covenant as our shareholders’ equity, as defined by the covenant, was $36.3 billion. The revolving credit facility agreement also contains customary representations, covenants and events of default. There are no credit rating triggers, provisions or other financial covenants that could require us to post collateral as security. As of December 31, 2016, 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 $1.8 billion at December 31, 2016 and $1.9 billion at December 31, 2015. Borrowings on these lines amounted to $160 million at December 31, 2016 and $236 million at December 31, 2015.

Long-Term Debt:

Our long-term debt consisted of (interest rates are as of December 31, 2016):


	As of December 31,
	2016			2015
	(in millions)

U.S. dollar notes, 0.881% to 7.000% (weighted-average effective rate 3.527%), due through 2040	$	8,812		$	8,371
Euro notes, 1.000% to 2.375% (weighted-average effective rate 1.808%), due through 2035		3,980			4,305
Pound sterling notes, 3.875% to 7.250% (weighted-average effective rate 4.441%), due through 2045		418			1,399
Swiss franc notes, 0.000% to 1.125% (weighted-average effective rate 0.636%), due through 2025		1,449			1,075
Capital leases and other obligations		9			12

Total		14,668			15,162
Less current portion of long-term debt		(1,451	)		(605	)

Long-term debt	$	13,217		$	14,557

Deferred debt issuance costs of $40 million as of December 31, 2016 and $46 million as of December 31, 2015 are netted against the related debt in the table above. These amounts were reclassified from long-term other assets to offset the related debt in the fourth quarter of 2015, except for deferred financing costs related to our revolving credit facility which remain in long-term other assets and were immaterial for all periods presented.

As of December 31, 2016, aggregate maturities of our debt and capital leases based on stated contractual maturities, excluding unamortized non-cash bond premiums, discounts, bank fees and mark-to-market adjustments of $(69) million, were (in millions):


2017	2018	2019	2020	2021	Thereafter	Total
$1,451	$1,144	$2,650	$658	$3,260	$5,574	$14,737

On December 16, 2016, we redeemed $850 million of 2.250% fixed rate notes, maturing on February 1, 2019, that were issued on January 16, 2014. The notes were redeemed at a redemption cost equal to $866 million, plus accrued and unpaid interest of $7 million. In connection with this redemption, during the three months ended December 31, 2016, we recorded a $19 million loss on debt extinguishment within interest and other expense, net.

On October 31, 2016, we completed a cash tender offer and retired $3.18 billion of U.S. dollar, euro and British pound sterling-denominated notes. We financed the repurchase of the notes, including the payment of accrued interest and other costs incurred, from net proceeds received on October 28, 2016 from the $3.75 billion note issuance and the term loans described below. In connection with retiring this debt, during the three months ended December 31, 2016, we recorded a $409 million loss on debt extinguishment within interest expense related to the amount we paid to retire the debt in excess of its carrying value and from recognizing unamortized premiums and deferred financing costs in earnings at the time of the debt extinguishment. Cash costs related to tendering the debt are included in long-term debt repayments in the consolidated statement of cash flows for the year ended December 31, 2016. We also recognized $1 million in interest income related to the partial settlement of fair value hedges due to the tender.

On October 19, 2016, Mondelez International Holdings Netherlands B.V. (“MIHN”), a wholly owned subsidiary of Mondelēz International, Inc., launched an offering of $3.75 billion of notes, guaranteed by Mondelēz International, Inc. The $1.75 billion of 1.625% notes and the $500 million of floating rate notes will mature on October 28, 2019 and the $1.5 billion of 2.0% notes will mature on October 28, 2021. On October 28, 2016, we received proceeds, net of discounts and associated financing costs, of $3.73 billion. Proceeds from the notes issuance were used for general corporate purposes, including to grant loans or make distributions to Mondelēz International, Inc. or its subsidiaries to fund the October 2016 cash tender offer and near-term debt maturities. We recorded approximately $20 million of deferred financing costs and discounts, which will be amortized into interest expense over the life of the notes. We entered into cross-currency swaps, serving as cash flow hedges, so that the U.S. dollar-denominated debt payments will effectively be paid in euros over the life of the debt.

On October 14, 2016, MIHN executed a $1.5 billion bank term loan facility. The loan facility consists of two $750 million loans, one with a three-year maturity and the other with a five-year maturity. The term loans can be drawn at any time for 60 days after signing. On October 25, 2016, we gave notice of our intent to fully draw on the loan with a five-year maturity, and funding occurred on October 28, 2016. Proceeds from the $750 million term loan may be used for general corporate purposes, including funding of the tender offer or other debt. On October 25, 2016, we also gave notice of our intent to terminate the $750 million loan with the three-year maturity.

On February 9, 2016, $1,750 million of our 4.125% U.S. dollar notes matured. The notes and accrued interest to date were paid with net proceeds from the fr.400 million Swiss franc-denominated notes issued on January 26, 2016 and the €700 million euro-denominated notes issued on January 21, 2016, as well as cash on hand and the issuance of commercial paper. As we refinanced $1,150 million of the matured notes with net proceeds from the long-term debt issued in January 2016, we reflected this amount within long-term debt as of December 31, 2015.

On January 26, 2016, we issued fr.400 million of Swiss franc-denominated notes, or $399 million in U.S. dollars locked in with a forward currency contract on January 12, 2016, consisting of:

•

fr.250 million (or $249 million) of 0.080% fixed rate notes that mature on January 26, 2018

•

fr.150 million (or $150 million) of 0.650% fixed rate notes that mature on July 26, 2022

We received proceeds, net of premiums and deferred financing costs, of $398 million that were used to partially fund the February 2016 note maturity and for other general corporate purposes. We recorded approximately $1 million of premiums and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On January 21, 2016, we issued €700 million of euro-denominated 1.625% notes, or $760 million in U.S. dollars locked in with a forward currency contract on January 13, 2016. The euro-denominated notes will mature on January 20, 2023. We received proceeds, net of discounts and deferred financing costs, of $752 million that were used to partially fund the February 2016 note maturity and for other general corporate purposes. We recorded approximately $8 million of discounts and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On November 30, 2015, we completed a cash tender offer and retired £247 million of British pound sterling-denominated 7.250% notes, or approximately $372 million in U.S. dollars as of November 30, 2015, due in July 2018. We financed the repurchase of these notes, including the payment of accrued interest and other costs incurred, from net proceeds received from the £400 million British pound sterling-denominated notes issuance on November 25, 2015 described below. In connection with retiring this debt, during the three months ended December 31, 2015, we recorded a $40 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 premiums and deferred financing costs in earnings at the time of the debt extinguishment. Cash costs related to tendering the debt are included in long-term debt repayments in the consolidated statement of cash flows for the year ended December 31, 2015.

On November 25, 2015, we issued £400 million of British pound sterling-denominated 4.500% notes, or $609 million in U.S. dollars locked in with a forward currency contract on November 19, 2015, that mature on December 3, 2035. We received proceeds net of discounts and deferred financing costs of $604 million that were used to fund the November 2015 cash tender offer and for other general corporate purposes. We recorded approximately $5 million of discounts and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On October 6, 2015 we issued fr.400 million of Swiss franc-denominated notes, or $410 million in U.S. dollars locked in with a forward currency contract on September 21, 2015, consisting of:

•

fr.135 million (or $138 million) of 0.625% fixed rate notes that mature on October 6, 2020

•

fr.265 million (or $272 million) of 1.125% fixed rate notes that mature on December 21, 2023

We received proceeds net of premiums and deferred financing costs of $410 million that were used for general corporate purposes and to fund upcoming debt maturities. We recorded the fr.400 million of Swiss franc-denominated notes and less than $1 million of premiums and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On June 11, 2015, €400 million of our floating rate euro-denominated notes matured. The notes and accrued interest to date were paid with cash on hand and the issuance of commercial paper.

On March 30, 2015, we issued fr.675 million of Swiss franc-denominated notes, or approximately $694 million in U.S. dollars as of March 31, 2015, consisting of:

•

fr.175 million (or $180 million) of 0.000% fixed rate notes that mature on March 30, 2017

•

fr.300 million (or $308 million) of 0.625% fixed rate notes that mature on December 30, 2021

•

fr.200 million (or $206 million) of 1.125% fixed rate notes that mature on December 30, 2025

We received net proceeds of $675 million that were used for general corporate purposes. We recorded approximately $2 million of premiums and deferred financing costs, which will be amortized into interest expense over the life of the notes.

On March 20, 2015, €850 million of our 6.250% euro-denominated notes matured. The notes and accrued interest to date were paid with the issuance of commercial paper and cash on hand.

On March 20, 2015, we completed a cash tender offer and retired $2.5 billion of long-term U.S. dollar debt consisting of:

•

$102 million of our 6.500% Notes due in August 2017

•

$115 million of our 6.125% Notes due in February 2018

•

$80 million of our 6.125% Notes due in August 2018

•

$691 million of our 5.375% Notes due in February 2020

•

$201 million of our 6.500% Notes due in November 2031

•

$26 million of our 7.000% Notes due in August 2037

•

$71 million of our 6.875% Notes due in February 2038

•

$69 million of our 6.875% Notes due in January 2039

•

$1,143 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 $2.8 billion notes issuance on March 6, 2015 described below and the issuance of commercial paper. In connection with retiring this debt, during the first three months of 2015, we recorded a $708 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. Cash costs related to tendering the debt are included in long-term debt repayments in the consolidated statement of cash flows for the year ended December 31, 2015. We also recognized $5 million of charges within interest expense from hedging instruments related to the retired debt. Upon extinguishing the debt, the deferred cash flow hedge amounts were recorded in earnings.

On March 6, 2015, we issued €2.0 billion of euro-denominated notes and £450 million of British pound sterling-denominated notes, or approximately $2.8 billion in U.S. dollars as of March 31, 2015, consisting of:

•

€500 million (or $537 million) of 1.000% fixed rate notes that mature on March 7, 2022

•

€750 million (or $805 million) of 1.625% fixed rate notes that mature on March 8, 2027

•

€750 million (or $805 million) of 2.375% fixed rate notes that mature on March 6, 2035

•

£450 million (or $667 million) of 3.875% fixed rate notes that mature on March 6, 2045

We received net proceeds of $2,890 million that were used to fund the March 2015 tender offer and for other general corporate purposes. We recorded approximately $29 million of discounts and deferred financing costs, which will be amortized into interest expense over the life of the notes.

Our weighted-average interest rate on our total debt was 2.2% as of December 31, 2016, 3.7% as of December 31, 2015 and 4.3% as of December 31, 2014.

Fair Value of Our Debt:

The fair value of our short-term borrowings at December 31, 2016 and December 31, 2015 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, 2016, the aggregate fair value of our total debt was $17,882 million and its carrying value was $17,199 million. At December 31, 2015, the aggregate fair value of our total debt was $15,908 million and its carrying value was $15,398 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,
	2016		2015			2014
			(in millions)

Interest expense, debt	$	515	$	609		$	778
Loss on debt extinguishment and related expenses		427		753			495
JDE coffee business transactions currency-related net gains		–		(436	)		(628	)
Loss related to interest rate swaps		97		34			–
Other expense, net		76		53			43

Interest and other expense, net	$	1,115	$	1,013		$	688

See Note 2, Divestitures and Acquisitions, and Note 8, Financial Instruments, for information on the currency exchange forward contracts associated with the JDE coffee business transactions. Also see Note 8, Financial Instruments, for information on the loss related to U.S. dollar interest rate swaps no longer designated as accounting cash flow hedges during the first quarters of 2016 and 2015.

Financial Instruments

12 Months Ended

Dec. 31, 2016

Financial Instruments

Note 8. Financial Instruments

Fair Value of Derivative Instruments:

Derivative instruments were recorded at fair value in the consolidated balance sheets as follows:


	As of December 31,
	2016				2015
	Asset		Liability		Asset		Liability
	Derivatives		Derivatives		Derivatives		Derivatives
	(in millions)

Derivatives designated as accounting hedges:
Currency exchange contracts	$	19	$	8	$	20	$	7
Commodity contracts		17		22		37		35
Interest rate contracts		108		19		12		57

	$	144	$	49	$	69	$	99

Derivatives not designated as accounting hedges:
Currency exchange contracts	$	29	$	43	$	61	$	33
Commodity contracts		112		167		70		56
Interest rate contracts		27		19		43		28

	$	168	$	229	$	174	$	117

Total fair value	$	312	$	278	$	243	$	216

During 2016 and 2015, derivatives designated as accounting hedges include cash flow and fair value hedges and derivatives not designated as accounting hedges include economic hedges. Non-U.S. dollar denominated debt designated as a hedge of our net investments in non-U.S. operations is not reflected in the table above, but is included in long-term debt summarized in Note 7, Debt and Borrowing Arrangements. We record derivative assets and liabilities on a gross basis in our 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 values (asset / (liability)) of our derivative instruments were determined using:


	As of December 31, 2016
				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)

Currency exchange contracts	$	(3	)	$	–		$	(3	)	$	–
Commodity contracts		(60	)		(86	)		26			–
Interest rate contracts		97			–			97			–

Total derivatives	$	34		$	(86	)	$	120		$	–


	As of December 31, 2015
				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)

Currency exchange contracts	$	41		$	–		$	41		$	–
Commodity contracts		16			29			(13	)		–
Interest rate contracts		(30	)		–			(30	)		–

Total derivatives	$	27		$	29		$	(2	)	$	–

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 that permit net settlement of transactions with the same counterparty when certain criteria are met, such as in the event of default. We also are 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 $133 million as of December 31, 2016 and margin deposits of $22 million as of December 31, 2015 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, for derivatives we have in a net asset position, our counterparties would owe us a total of $48 million as of December 31, 2016 and $52 million as of December 31, 2015. For derivatives we have in a net liability position, we would owe $2 million as of December 31, 2016. As of December 31, 2015, there were no Level 1 derivatives in a net liability position.

Level 2 financial assets and liabilities consist primarily of over-the-counter (“OTC”) currency exchange forwards, options and swaps; commodity forwards and options; and interest rate swaps. Our currency exchange 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 agreements and other standard industry contracts. Under these agreements, we do not post nor require collateral from our counterparties. The majority of our commodity and currency exchange 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 $40 million as of December 31, 2016 and $101 million as of December 31, 2015, and for derivatives we have in a net asset position, our counterparties would owe us a total of $162 million as of December 31, 2016 and $64 million as of December 31, 2015. 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 were:


	Notional Amount
	As of December 31,
	2016		2015
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	3,343	$	4,148
Forecasted transactions		1,452		1,094
Commodity contracts		837		732
Interest rate contracts		6,365		3,033
Net investment hedge – euro notes		4,012		4,345
Net investment hedge – pound sterling notes		419		1,404
Net investment hedge – Swiss franc notes		1,447		1,073

Cash Flow Hedges:

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Accumulated gain / (loss) at January 1	$	(45	)	$	(2	)	$	117
Transfer of realized losses / (gains) in fair value to earnings		53			–			(40	)
Unrealized gain / (loss) in fair value		(129	)		(43	)		(79	)

Accumulated gain / (loss) at December 31	$	(121	)	$	(45	)	$	(2	)

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency exchange contracts – forecasted transactions	$	(1	)	$	83		$	26
Commodity contracts		(4	)		(52	)		16
Interest rate contracts		(48	)		(31	)		(2	)

Total	$	(53	)	$	–		$	40

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency exchange contracts – forecasted transactions	$	8		$	40		$	82
Commodity contracts		(34	)		(35	)		(2	)
Interest rate contracts		(103	)		(48	)		(159	)

Total	$	(129	)	$	(43	)	$	(79	)

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


	For the Years Ended December 31,
	2016		2015			2014
	(in millions)

Commodity contracts	$	2	$	(4	)	$	(10	)

Within interest and other expense, net, we recorded pre-tax losses of $97 million in the first quarter of 2016 and $34 million in the first quarter of 2015 related to amounts excluded from effectiveness testing. These amounts relate to interest rate swaps no longer designated as cash flow hedges due to changes in financing plans. Due to lower overall costs and our decision to hedge a greater portion of our net investments in operations that use currencies other than the U.S. dollar as their functional currencies, we changed our plans to issue U.S. dollar-denominated debt and instead issued euro and Swiss franc-denominated notes in the current year first quarter, and euro, British pound sterling and Swiss franc-denominated notes in the prior-year first quarter. Amounts excluded from effectiveness testing were not material for the remainder of 2016 and 2015 and prior year periods.

We record pre-tax and after-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 currency exchange contracts related to forecasted transactions; and

•

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

Based on current market conditions, we would expect to transfer losses of $31 million (net of taxes) for commodity cash flow hedges, unrealized gains of $10 million (net of taxes) for currency cash flow hedges and unrealized losses of $2 million (net of taxes) for interest rate cash flow hedges to earnings during the next 12 months.

Hedge Coverage:

As of December 31, 2016, 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 6 years and 10 months; and

•

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

Fair Value Hedges:

Pre-tax gains / (losses) 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:


	For the Years Ended December 31,
	2016			2015			2014
				(in millions)

Derivatives	$	(6	)	$	(1	)	$	13
Borrowings		6			1			(13	)

Fair value hedge ineffectiveness and amounts excluded from effectiveness testing were not material for all periods presented.

Economic Hedges:

Pre-tax gains / (losses) recorded in net earnings for economic hedges were:


	For the Years Ended December 31,									Location of Gain / (Loss) Recognized
	2016			2015			2014			in Earnings
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	21		$	29		$	4			Interest and other expense, net
Forecasted transactions		(76	)		29			29			Cost of sales
Forecasted transactions		11			435			610			Interest and other expense, net
Forecasted transactions		7			(12	)		(4	)		Selling, general and administrative expenses
Commodity contracts		(101	)		(38	)		(136	)		Cost of sales

Total	$	(138	)	$	443		$	503

In connection with the coffee business transactions, we entered into a number of consecutive euro to U.S. dollar currency exchange forward contracts in 2015 and 2014 to lock in an equivalent expected value in U.S. dollars. The mark-to-market gains and losses on the derivatives were recorded in earnings. We recorded net gains of $436 million for the year ended December 31, 2015 and $628 million for the year ended December 31, 2014 within interest and other expense, net in connection with the forward contracts and the transferring of proceeds to our subsidiaries where coffee net assets and shares were deconsolidated. The currency hedge and related gains and losses were recorded within interest and other expense, net. See Note 2, Divestitures and Acquisitions — JDE Coffee Business Transactions, for additional information.

Hedges of Net Investments in International Operations:

After-tax gains / (losses) related to hedges of net investments in international operations in the form of euro, pound sterling and Swiss franc-denominated debt were:


							Location of
	For the Years Ended December 31,						Gain / (Loss)
	2016		2015		2014		Recognized in AOCI
			(in millions)

Euro notes	$	73	$	268	$	328	Currency
Pound sterling notes		148		42		39	Translation
Swiss franc notes		12		9		–	Adjustment

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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Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=64837297&loc=d3e41638-113959

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

Benefit Plans

12 Months Ended

Dec. 31, 2016

Benefit Plans

Note 9. Benefit Plans

Pension Plans

Prior to the July 2, 2015 closing of the coffee business transactions, certain active employees who transitioned to JDE participated in our Non-U.S. pension plans. Following the transactions, benefits began to be provided directly by JDE to participants continuing with JDE. JDE assumed certain pension plan obligations and received the related plan assets. In 2015, we reduced our net benefit plan liabilities by $131 million and the related deferred tax assets by $24 million. For participants that elected not to transfer into the JDE plans, we retained the plan obligations and related plan assets.

Obligations and Funded Status:

The projected benefit obligations, plan assets and funded status of our pension plans were:


	U.S. Plans						Non-U.S. Plans
	2016			2015			2016			2015
				(in millions)

Benefit obligation at January 1	$	1,566		$	1,606		$	9,547		$	10,854
Service cost		57			64			147			188
Interest cost		61			67			229			307
Benefits paid		(32	)		(35	)		(425	)		(435	)
Settlements paid		(91	)		(88	)		–			1
Actuarial (gains) / losses		52			(49	)		1,284			(262	)
Deconsolidation of JDE coffee business		–			–			–			(261	)
Divestiture		–			–			(5	)		–
Currency		–			–			(979	)		(766	)
Other		1			1			16			(79	)

Benefit obligation at December 31		1,614			1,566			9,814			9,547


Fair value of plan assets at January 1		1,247			1,216			7,721			8,362
Actual return on plan assets		118			(71	)		1,079			192
Contributions		378			225			419			318
Benefits paid		(32	)		(35	)		(425	)		(435	)
Settlements paid		(91	)		(88	)		–			–
Deconsolidation of JDE coffee business		–			–			–			(130	)
Divestiture		–			–			(4	)		–
Currency		–			–			(863	)		(579	)
Other		–			–			(1	)		(7	)

Fair value of plan assets at December 31		1,620			1,247			7,926			7,721

Net pension assets (liability) at December 31	$	6		$	(319	)	$	(1,888	)	$	(1,826	)

The accumulated benefit obligation, which represents benefits earned to the measurement date, was $1,540 million at December 31, 2016 and $1,463 million at December 31, 2015 for the U.S. pension plans. The accumulated benefit obligation for the non-U.S. pension plans was $9,531 million at December 31, 2016 and $9,267 million at December 31, 2015.

For salaried and non-union hourly employees hired after January 1, 2009, we discontinued benefits under our U.S. pension plans and replaced them with an enhanced Company contribution to our employee defined contribution plan. Effective December 31, 2019, benefit accruals will cease under the U.S. non-union pension plan. For non-union employees participating in that plan on December 31, 2019, we will calculate the pension benefit obligation based on pay and service as of that date and no longer accrue new benefits.

The combined U.S. and non-U.S. pension plans resulted in a net pension liability of $1,882 million at December 31, 2016 and $2,145 million at December 31, 2015. We recognized these amounts in our consolidated balance sheets as follows:


	As of December 31,
	2016			2015
	(in millions)

Prepaid pension assets	$	159		$	69
Other accrued liabilities		(27	)		(31	)
Accrued pension costs		(2,014	)		(2,183	)

	$	(1,882	)	$	(2,145	)

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 were:


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015
	(in millions)

Projected benefit obligation	$	96	$	1,566	$	8,386	$	8,139
Accumulated benefit obligation		88		1,463		8,168		7,920
Fair value of plan assets		2		1,247		6,451		6,252

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


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015

Discount rate		4.19%		4.50%		2.31%		3.11%
Expected rate of return on plan assets		6.25%		6.75%		5.14%		5.87%
Rate of compensation increase		4.00%		4.00%		3.29%		3.18%

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.

At the end of 2015, we changed the approach used to measure service and interest costs for pension benefits. For 2015, we measured service and interest costs utilizing a single weighted-average discount rate derived from the yield curve used to measure the plan obligations. For 2016, we measured service and interest costs by applying the specific spot rates along that yield curve to the plans’ liability cash flows. We believe the new approach provided a more precise measurement of service and interest costs by aligning the timing of the plans’ liability cash flows to the corresponding spot rates on the yield curve. The impact of this change was a decrease in net periodic pension cost of approximately $64 million for the year ended December 31, 2016. This change did not affect the measurement of our plan obligations. We accounted for this change as a change in accounting estimate and, accordingly, accounted for it on a prospective basis.

Components of Net Periodic Pension Cost:

Net periodic pension cost consisted of the following:


	U.S. Plans									Non-U.S. Plans
	For the Years Ended December 31,									For the Years Ended December 31,
	2016			2015			2014			2016			2015			2014
	(in millions)

Service cost	$	57		$	64		$	57		$	147		$	188		$	184
Interest cost		61			67			67			229			307			388
Expected return on plan assets		(97	)		(93	)		(81	)		(418	)		(478	)		(485	)
Amortization:
Net loss from experience differences		42			43			29			120			141			106
Prior service cost ⁽¹⁾		2			2			2			(3	)		15			–
Settlement losses and other expenses ⁽²⁾		30			19			28			6			2			14

Net periodic pension cost	$	95		$	102		$	102		$	81		$	175		$	207

(1)

For the year ended December 31, 2015, amortization of prior service cost includes $17 million of pension curtailment losses related to employees who transitioned to JDE upon the contribution of our global coffee business. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.

(2)

Settlement losses include $15 million for the year ended December 31, 2016 and $9 million for the year ended December 31, 2015 of pension settlement losses for employees who elected lump-sum payments in connection with our 2014-2018 Restructuring Program. Retired employees who elected lump-sum payments resulted in net settlement losses in 2016 of $15 million for our U.S. plans and $6 million for our non-U.S. plans and in 2015 of $10 million for our U.S. plans and $2 million for our non-U.S. plans. 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 $28 million in 2014. In addition, we incurred special termination benefit costs of $2 million in 2014 in the non-U.S. plans related to the 2012-2014 Restructuring Program. See Note 6, Restructuring Programs, for more information. We recorded an additional $90 million of pension settlement losses related to the coffee business transactions within the gain on the coffee business transactions. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.

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, 2016, 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 2017:

•

an estimated $202 million of net loss from experience differences; and

•

$1 million of estimated prior service credit.

We used the following weighted-average assumptions to determine our net periodic pension cost:


	U.S. Plans						Non-U.S. Plans
	For the Years Ended December 31,						For the Years Ended December 31,
	2016		2015		2014		2016		2015		2014

Discount rate		4.50%		4.20%		5.10%		3.11%		2.99%		4.03%
Expected rate of return on plan assets		6.75%		7.25%		7.75%		5.87%		5.96%		6.17%
Rate of compensation increase		4.00%		4.00%		4.00%		3.18%		3.26%		3.63%

Plan Assets:

The fair value of pension plan assets was determined using the following fair value measurements:


	As of December 31, 2016
			Quoted Prices		Significant
Asset Category	Total Fair Value		in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	1	$	1	$	–		$	–
Non-U.S. equity securities		427		427		–			–
Pooled funds - equity securities		1,524		286		1,235			3

Total equity securities		1,952		714		1,235			3

Government bonds		3,009		37		2,972			–
Pooled funds - fixed-income securities		756		103		618			35
Corporate bonds and other fixed-income securities		852		357		(43	)		538

Total fixed-income securities		4,617		497		3,547			573

Real estate		170		98		50			22
Hedge funds		–		–		–			–
Private equity		2		–		–			2
Cash		73		72		1			–
Other		3		1		–			2

Total assets in the fair value hierarchy	$	6,817	$	1,382	$	4,833		$	602

Investments measured at net asset value		2,667

Total Investments at fair value	$	9,484


	As of December 31, 2015
			Quoted Prices		Significant
Asset Category	Total Fair Value		in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	2	$	2	$	–	$	–
Non-U.S. equity securities		498		412		86		–
Pooled funds - equity securities		1,468		275		1,193		–

Total equity securities		1,968		689		1,279		–

Government bonds		1,770		35		1,735		–
Pooled funds - fixed-income securities		575		118		431		26
Corporate bonds and other fixed-income securities		1,686		320		701		665

Total fixed-income securities		4,031		473		2,867		691

Real estate		339		109		–		230
Hedge funds		–		–		–		–
Private equity		2		–		–		2
Cash		138		138		–		–
Other		2		1		–		1

Total assets in the fair value hierarchy	$	6,480	$	1,410	$	4,146	$	924

Investments measured at net asset value		2,422

Total investments at fair value	$	8,902

We excluded plan assets of $62 million at December 31, 2016 and $66 million at December 31, 2015 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.

•

Net asset value – primarily includes real estate funds, hedge funds and private equity investments for which net asset values are normally used.

Changes in our Level 3 plan assets, which are recorded in other comprehensive earnings / (losses), included:


Asset Category	January 1, 2016 Balance		Net Realized and Unrealized Gains/ (Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact			December 31, 2016 Balance
	(in millions)
Non-U.S. equity	$	–	$	–		$	–		$	3		$	–			3
Pooled funds- fixed-income securities		26		6			15			(7	)		(5	)		35
Corporate bond and other fixed-income securities		665		21			(41	)		–			(107	)		538
Real estate		230		–			(184	)		(3	)		(21	)		22
Hedge funds		–		–			–			–			–			–
Private equity		3		–			–			1			–			4

Total Level 3 investments	$	924	$	27		$	(210	)	$	(6	)	$	(133	)	$	602


Asset Category	January 1, 2015 Balance		Net Realized and Unrealized Gains/ (Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact			December 31, 2015 Balance
	(in millions)
Pooled funds- fixed-income securities	$	97	$	(1	)	$	25		$	(89	)	$	(6	)	$	26
Corporate bond and other fixed-income securities		749		4			(50	)		–			(38	)		665
Real estate		292		19			61			(125	)		(17	)		230
Hedge funds		829		13			(312	)		(499	)		(31	)		–
Private equity		240		17			(36	)		(206	)		(12	)		3

Total Level 3 investments	$	2,207	$	52		$	(312	)	$	(919	)	$	(104	)	$	924

The decreases in Level 3 pension plan investments during 2016 were primarily due to net settlements in real estate funds and the effects of currency. The decreases in Level 3 pension plan investments during 2015 were primarily due to net settlements in hedge funds and the effects of currency.

The percentage of fair value of pension plan assets was:


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
Asset Category	2016		2015		2016		2015

Equity securities		33%		32%		29%		32%
Fixed-income securities		63%		65%		57%		50%
Real estate		4%		3%		5%		6%
Hedge funds		–		–		6%		7%
Private equity		–		–		2%		3%
Cash		–		–		1%		1%
Other		–		–		–		1%

Total		100%		100%		100%		100%

For our U.S. plans, our investment strategy is to reduce the risk of underfunded plans in part through appropriate asset allocation within our plan assets. We attempt to maintain our target asset allocation by rebalancing between asset classes as we make contributions and monthly benefit payments. The strategy involves using indexed U.S. equity and international equity securities and actively managed U.S. investment grade fixed-income securities (which constitute 95% or more of fixed-income securities) with smaller allocations to high yield fixed-income securities.

For our non-U.S. plans, the investment strategy is subject to local regulations and the asset / liability profiles of the plans in each individual country. In aggregate, the asset allocation targets of our non-U.S. plans are broadly characterized as a mix of approximately 34% equity securities (including investments in real estate), approximately 64% fixed-income securities and approximately 2% other alternative securities. Our investment strategy for our largest non-U.S. plan, which comprises 63% 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 24% in equity securities, 21% credit, 6% private markets, 9% other diversifying assets, and 40% liability matching assets. The strategy uses indexed global developed 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.

Employer Contributions:

In 2016, we contributed $378 million (of which, $350 million was voluntarily contributed) to our U.S. pension plans and $403 million (of which, $100 million was a non-recurring contribution related to merging our legacy Cadbury plans in the United Kingdom) to our non-U.S. pension plans. In addition, employees contributed $16 million to our non-U.S. plans. 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 2017, we estimate that our pension contributions will be $13 million to our U.S. plans and $455 million to our non-U.S. plans based on current tax laws. Of the total 2017 pension contributions, $250 million is expected to be non-recurring. 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.

Future Benefit Payments:

The estimated future benefit payments from our pension plans at December 31, 2016 were (in millions):


Year ending:	2017		2018		2019		2020		2021		2022-2026

U.S. Plans	$	89	$	97	$	103	$	107	$	108	$	568
Non-U.S. Plans		357		356		363		378		400		2,138

Multiemployer Pension Plans:

In accordance with obligations we have under collective bargaining agreements, we made contributions to multiemployer pension plans of $25 million in 2016, $31 million in 2015 and $32 million in 2014. There are risks of participating in multiemployer pension plans that are different from single employer plans. Assets contributed to a multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. If a participating employer stops contributing to the plan, the unfunded obligations of the plan are borne by the remaining participating employers. If the Company stops participating in its multi-employer pension plans, the Company may be required to pay those plans an amount based on its allocable share of the unfunded vested benefits of the plans, referred to as a withdrawal liability.

The only individually significant multiemployer plan we participate in as of December 31, 2016 is the Bakery and Confectionery Union and Industry International Pension Fund (the “Fund”). Our contributions to the Fund exceeded 5% of total contributions to the Fund for fiscal years 2016, 2015 and 2014. Our contributions to the Fund were $21 million in 2016, $27 million in 2015 and $25 million in 2014. Our contributions to other multiemployer pension plans that were not individually significant were $4 million in 2016, $4 million in 2015 and $7 million in 2014. Our contributions are based on our contribution rates under our collective bargaining agreements, the number of our eligible employees and Fund surcharges.

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

Effective January 1, 2012, the Fund’s zone status changed to “Red”. As a result of this certification, beginning in July 2012, we were charged a 10% surcharge on our contribution rates. The Fund subsequently adopted a rehabilitation plan on November 7, 2012 that required contribution increases and reductions to benefit provisions. Although our collective bargaining agreements with the Fund expired during 2016, we are obligated to make contributions to the Fund and we continue to work with the union toward reaching an agreement. The Fund’s actuarial valuation was last completed as of January 1, 2016. As of August 28, 2016, the 10% surcharge is no longer applicable but we are required to pay higher contributions under the Fund’s rehabilitation plan.

Other Costs:

We sponsor and contribute to employee defined contribution 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 $44 million in 2016, $45 million in 2015 and $46 million in 2014.

Postretirement Benefit Plans

Obligations:

Our postretirement health care plans are not funded. The changes in and the amount of the accrued benefit obligation were:


	As of December 31,
	2016			2015
	(in millions)

Accrued benefit obligation at January 1	$	511		$	538
Service cost		12			15
Interest cost		20			22
Benefits paid		(14	)		(10	)
Plan amendments ⁽¹⁾		(149	)		–
Currency		3			(22	)
Assumption changes		34			(30	)
Actuarial (gains) / losses		(23	)		(2	)

Accrued benefit obligation at December 31	$	394		$	511

(1)

Plan amendments included a change in eligibility requirements related to medical and life insurance benefits and a change in benefits for Medicare-eligible participants.

The current portion of our accrued postretirement benefit obligation of $12 million at December 31, 2016 and $11 million at December 31, 2015 was included in other accrued liabilities.

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


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015

Discount rate		4.14%		4.60%		4.55%		4.77%
Health care cost trend rate assumed for next year		6.50%		6.50%		5.50%		5.37%
Ultimate trend rate		5.00%		5.00%		5.68%		5.55%
Year that the rate reaches the ultimate trend rate		2020		2020		2018		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.

At the end 2015, we changed the approach used to measure service and interest costs for other postretirement benefits. For 2015, we measured service and interest costs utilizing a single weighted-average discount rate derived from the yield curve used to measure the plan obligations. For 2016, we measured service and interest costs by applying the specific spot rates along that yield curve to the plans’ liability cash flows. We believe the new approach provided a more precise measurement of service and interest costs by aligning the timing of the plans’ liability cash flows to the corresponding spot rates on the yield curve. The impact of this change was a decrease in net periodic postretirement cost of approximately $4 million for the year ended December 31, 2016. This change does not affect the measurement of our plan obligations. We accounted for this change as a change in accounting estimate and, accordingly, accounted for it on a prospective basis.

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, 2016
	One-Percentage-Point
	Increase		Decrease
	(in millions)

Effect on postretirement benefit obligation	$	41	$	(33	)
Effect on annual service and interest cost		3		(2	)

Components of Net Periodic Postretirement Health Care Costs:

Net periodic postretirement health care costs consisted of the following:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Service cost	$	12		$	15		$	13
Interest cost		20			22			22
Amortization:
Net loss from experience differences		10			13			5
Prior service credit ⁽¹⁾		(20	)		(7	)		(10	)

Net periodic postretirement health care costs	$	22		$	43		$	30

(1)

For the year ended December 31, 2016, amortization of prior service credit includes $9 million of curtailment gain related to a change in the eligibility requirement.

As of December 31, 2016, we expected to amortize from accumulated other comprehensive earnings / (losses) into pre-tax net periodic postretirement health care costs during 2017:

•

an estimated $15 million of net loss from experience differences, and

•

an estimated $40 million of prior service credit.

We used the following weighted-average assumptions to determine our net periodic postretirement health care cost:


	U.S. Plans			Non-U.S. Plans
	For the Years Ended December 31,			For the Years Ended December 31,
	2016	2015	2014	2016	2015	2014

Discount rate	4.60%	4.20%	5.10%	4.77%	4.52%	5.17%
Health care cost trend rate	6.50%	6.50%	7.00%	5.50%	5.18%	5.11%

Future Benefit Payments:

Our estimated future benefit payments for our postretirement health care plans at December 31, 2016 were (in millions):


Year ending:	2017	2018	2019	2020	2021	2022-2026

U.S. Plans	$8	$10	$11	$12	$13	$80
Non-U.S. Plans	5	5	5	6	6	34

Other Costs:

We made contributions to multiemployer medical plans totaling $19 million in 2016, $20 million in 2015 and $18 million in 2014. 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, 2016 and 2015 were:


	2016			2015
	(in millions)

Accrued benefit obligation at January 1	$	95		$	94
Service cost		7			7
Interest cost		6			5
Benefits paid		(9	)		(7	)
Assumption changes		(21	)		(3	)
Actuarial gains		(7	)		(1	)

Accrued benefit obligation at December 31	$	71		$	95

The accrued benefit obligation was determined using a weighted-average discount rate of 6.2% in 2016 and 2015, an assumed weighted-average ultimate annual turnover rate of 0.3% in 2016 and 2015, assumed compensation cost increases of 4.0% in 2016 and 2015 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 Periodic Postemployment Costs:

Net periodic postemployment costs consisted of the following:


	For the Years Ended December 31,
	2016			2015		2014
	(in millions)

Service cost	$	7		$	7	$	9
Interest cost		6			5		6
Amortization of net gains		(1	)		–		–

Net periodic postemployment costs	$	12		$	12	$	15

As of December 31, 2016, the estimated net gain for the postemployment benefit plans that we expected to amortize from accumulated other comprehensive earnings / (losses) into net periodic postemployment costs during 2017 was approximately $4 million.

Stock Plans

12 Months Ended

Dec. 31, 2016

Stock Plans

Note 10. Stock Plans

Under our Amended and Restated 2005 Performance Incentive Plan (the “Plan”), we are authorized through May 21, 2024 to issue a maximum of 243.7 million shares of our Common Stock to employees and non-employee directors. As of December 31, 2016, there were 74.2 million shares available to be granted under the Plan.

Stock Options:

Stock options (including stock appreciation rights) 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 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 $57 million in 2016, $50 million in 2015 and $47 million in 2014 in our results from continuing operations. The deferred tax benefit recorded related to this compensation expense was $15 million in 2016, $13 million in 2015 and $12 million in 2014. The unamortized compensation expense related to our employee stock options was $52 million at December 31, 2016 and is expected to be recognized over a weighted-average period of 1 year.

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

2016		1.40%		6 years		23.11%		1.61%	$	7.86
2015		1.70%		6 years		18.51%		1.61%	$	6.12
2014		1.87%		6 years		21.48%		1.64%	$	6.60

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.

Stock option activity is reflected below:


				Weighted-
				Average		Average
				Exercise or		Remaining		Aggregate
	Shares Subject			Grant Price		Contractual		Intrinsic
	to Option			Per Share		Term		Value

Balance at January 1, 2014		55,783,439		$	21.96			$	744 million

Annual grant to eligible employees		9,919,810			34.17
Additional options issued		500,250			33.65

Total options granted		10,420,060			34.14
Options exercised ⁽¹⁾		(8,076,550	)		20.85			$	125 million
Options cancelled		(1,695,398	)		27.65

Balance at December 31, 2014		56,431,551			24.19			$	685 million

Annual grant to eligible employees		8,899,530			36.94
Additional options issued		901,340			35.84

Total options granted		9,800,870			36.84
Options exercised ⁽¹⁾		(6,444,515	)		22.94			$	108 million
Options cancelled		(2,753,798	)		32.35

Balance at December 31, 2015 ⁽²⁾		57,034,108			26.12			$	1,068 million

Annual grant to eligible employees		7,517,290			39.70
Additional options issued		115,800			42.26

Total options granted		7,633,090			39.74
Options exercised ⁽¹⁾		(8,883,101	)		24.09			$	174 million
Options cancelled		(2,182,485	)		35.23

Balance at December 31, 2016		53,601,612			28.02		6 years	$	874 million

Exercisable at December 31, 2016		39,016,883			24.43		5 years	$	777 million

(1)

Cash received from options exercised was $221 million in 2016, $148 million in 2015 and $168 million in 2014. The actual tax benefit realized for the tax deductions from the option exercises totaled $31 million in 2016, $58 million in 2015 and $29 million in 2014.

(2)

Prior-year aggregate intrinsic value has been revised.

Deferred Stock Units, Performance Share Units and Restricted Stock:

Historically we have made grants of deferred stock units, performance share units and restricted stock. Beginning in 2016, we only grant deferred stock units and performance share units and no longer grant restricted stock. We may grant shares of deferred stock units 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 and our deferred stock units do not have voting rights until vested. Shares of deferred stock units are subject to forfeiture if certain employment conditions are not met. Deferred stock units generally vest on the third anniversary of the grant date. Performance share units granted under our 2005 Plan vest based on varying performance, market and service conditions. The unvested performance share units have no voting rights and do not pay dividends. Dividend equivalents accumulated over the vesting period are paid only after the performance share units vest.

The fair value of the deferred stock units, performance share units and restricted stock at the date of grant is amortized to earnings over the restriction period. We recorded compensation expense related to deferred stock units, performance share units and restricted stock of $83 million in 2016, $86 million in 2015 and $94 million in 2014 in our results from continuing operations. The deferred tax benefit recorded related to this compensation expense was $22 million in 2016, $24 million in 2015 and $26 million in 2014. The unamortized compensation expense related to our deferred stock units, performance share units and restricted stock was $111 million at December 31, 2016 and is expected to be recognized over a weighted-average period of 2 years.

Our deferred stock unit, performance share unit and restricted stock activity is reflected below:


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

Balance at January 1, 2014		11,648,587				$	24.48

Annual grant to eligible employees:					Feb. 19, 2014
Performance share units		1,143,620					34.97
Restricted stock		750,410					34.17
Deferred stock units		1,240,820					34.17
Additional shares granted ⁽¹⁾		935,463			Various		33.15

Total shares granted		4,070,313					34.16	$	139 million
Vested ⁽²⁾		(4,380,452	)				22.98	$	101 million
Forfeited ⁽²⁾		(755,808	)				28.14

Balance at December 31, 2014		10,582,640					28.56

Annual grant to eligible employees:					Feb. 18, 2015
Performance share units		1,598,290					36.94
Restricted stock		386,910					36.94
Deferred stock units		866,640					36.94
Additional shares granted ⁽¹⁾		1,087,322			Various		39.35

Total shares granted		3,939,162					37.61	$	148 million
Vested ⁽²⁾		(3,905,745	)				37.83	$	148 million
Forfeited ⁽²⁾		(1,197,841	)				32.51

Balance at December 31, 2015		9,418,216					28.00

Annual grant to eligible employees:					Feb. 22, 2016
Performance share units		1,406,500					39.70
Deferred stock units		1,040,790					39.70
Additional shares granted ⁽¹⁾		864,851			Various		31.29

Total shares granted		3,312,141					37.50	$	124 million
Vested ⁽²⁾		(3,992,902	)				40.22	$	161 million
Forfeited ⁽²⁾		(1,143,828	)				37.49

Balance at December 31, 2016		7,593,627					24.29

(1)

Includes performance share units, deferred stock units and restricted stock.

(2)

Includes performance share units, deferred stock units and restricted stock. The actual tax benefit realized for the tax deductions from the shares vested totaled $18 million in 2016, $18 million in 2015 and $20 million in 2014.

Commitments and Contingencies

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Capital Stock

12 Months Ended

Dec. 31, 2016

Common Class A

Capital Stock

Note 11. Capital Stock

Our amended and restated articles of incorporation authorize 5.0 billion shares of Class A common stock (“Common Stock”) and 500 million shares of preferred stock. There were no preferred shares issued and outstanding at December 31, 2016, 2015 and 2014. Shares of Common Stock issued, in treasury and outstanding were:


						Shares
	Shares Issued		Treasury Shares			Outstanding

Balance at January 1, 2014		1,996,537,778		(291,141,184	)		1,705,396,594
Shares repurchased		–		(51,931,864	)		(51,931,864	)
Exercise of stock options and issuance of other stock awards		–		10,176,269			10,176,269

Balance at December 31, 2014		1,996,537,778		(332,896,779	)		1,663,640,999

Shares repurchased		–		(91,875,878	)		(91,875,878	)
Exercise of stock options and issuance of other stock awards		–		8,268,033			8,268,033

Balance at December 31, 2015		1,996,537,778		(416,504,624	)		1,580,033,154

Shares repurchased		–		(61,972,713	)		(61,972,713	)
Exercise of stock options and issuance of other stock awards		–		10,305,100			10,305,100

Balance at December 31, 2016		1,996,537,778		(468,172,237	)		1,528,365,541

Stock plan awards to employees and non-employee directors are issued from treasury shares. At December 31, 2016, 134 million shares of Common Stock held in treasury were reserved for stock options and other stock awards.

Share Repurchase Program:

During 2013, our Board of Directors authorized the repurchase of $7.7 billion of our Common Stock through December 31, 2016. On July 29, 2015, our Finance Committee, with authorization delegated from our Board of Directors, approved an increase of $6.0 billion in the share repurchase program, raising the authorization to $13.7 billion of Common Stock repurchases, and extended the program through December 31, 2018. Repurchases under the program are determined by management and are wholly discretionary. Prior to January 1, 2016, we had repurchased $8.2 billion of Common Stock pursuant to this authorization. During 2016, we repurchased 62.0 million shares of Common Stock at an average cost of $41.97 per share, or an aggregate cost of $2.6 billion, all of which was paid during 2016. All share repurchases were funded through available cash and commercial paper issuances. During 2015, we repurchased 91.9 million shares of Common Stock at an average cost of $39.43 per share, or an aggregate cost of $3.6 billion, all of which was paid during 2015. As of December 31, 2016, we have $2.8 billion in remaining share repurchase capacity.

In December 2013, we initiated an accelerated share repurchase (“ASR”) program. 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. In May 2014, the ASR program concluded and we received an additional 5.1 million shares, valued at $0.2 billion, for a total of 49.9 million shares with an average repurchase price of $34.10 per share over the life of the ASR program. The final settlement was based on the volume-weighted average price of our Common Stock during the purchase period less a fixed per share discount. Upon conclusion of the ASR program and receipt of the remaining repurchased shares, the $0.2 billion recorded in additional paid in capital was reclassified to treasury stock.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2016

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.

As we previously disclosed in February 2011, we received a subpoena from the SEC in connection with an investigation under the Foreign Corrupt Practices Act (“FCPA”), primarily related to a facility in India that we acquired in the Cadbury acquisition. The subpoena primarily requested information regarding dealings with Indian governmental agencies and officials to obtain approvals related to the operation of that facility. In January 2017, we reached an agreement with the SEC to settle charges related to internal controls and books-and-records provisions of the FCPA without admitting or denying the charges. As part of the settlement, Mondelēz International Inc. agreed to pay a civil penalty of $13 million to resolve the investigation. We do not anticipate any material adverse effect on our business or financial condition as a result of resolving this matter.

In February 2013 and March 2014, Cadbury India Limited (now known as Mondelez India Foods Private Limited), a subsidiary of Mondelēz International, and other parties received show cause notices from the Indian Central Excise Authority (the “Excise Authority”) calling upon the parties to demonstrate why the Excise Authority should not collect a total of 3.7 billion Indian rupees ($55 million as of December 31, 2016) of unpaid excise tax and an equivalent amount of penalties, as well as interest, related to production at the same Indian facility. We contested these demands for unpaid excise taxes, penalties and interest. On March 27, 2015, after several hearings, the Commissioner of the Excise Authority issued an order denying the excise exemption that we claimed for the Indian facility and confirming the Excise Authority’s demands for total taxes and penalties in the amount of 5.8 billion Indian rupees ($86 million as of December 31, 2016). We have appealed this order. In addition, the Excise Authority issued additional show cause notices in February 2015 and December 2015 on the same issue but covering the periods January to October 2014 and November 2014 to September 2015, respectively. These notices added a total of 2.4 billion Indian rupees ($35 million as of December 31, 2016) of unpaid excise taxes as well as penalties to be determined up to an amount equivalent to that claimed by the Excise Authority and interest. We believe that the decision to claim the excise tax benefit is valid and we are continuing to contest the show cause notices through the administrative and judicial process.

In April 2013, the staff of the U.S. Commodity Futures Trading Commission (“CFTC”) advised us and Kraft Foods Group that it was investigating activities related to the trading of December 2011 wheat futures contracts that occurred prior to the Spin-Off of Kraft Foods Group. We cooperated with the staff in its investigation. On April 1, 2015, the CFTC filed a complaint against Kraft Foods Group and Mondelēz Global LLC (“Mondelēz Global”) in the U.S. District Court for the Northern District of Illinois, Eastern Division (the “CFTC action”). The complaint alleges that Kraft Foods Group and Mondelēz Global (1) manipulated or attempted to manipulate the wheat markets during the fall of 2011; (2) violated position limit levels for wheat futures and (3) engaged in non-competitive trades by trading both sides of exchange-for-physical Chicago Board of Trade wheat contracts. The CFTC seeks civil monetary penalties of either triple the monetary gain for each violation of the Commodity Exchange Act (the “Act”) or $1 million for each violation of Section 6(c)(1), 6(c)(3) or 9(a)(2) of the Act and $140,000 for each additional violation of the Act, plus post-judgment interest; an order of permanent injunction prohibiting Kraft Foods Group and Mondelēz Global from violating specified provisions of the Act; disgorgement of profits; and costs and fees. In December 2015, the court denied Mondelēz Global and Kraft Foods Group’s motion to dismiss the CFTC’s claims of market manipulation and attempted manipulation, and the parties are now in discovery. Additionally, several class action complaints were filed against Kraft Foods Group and Mondelēz Global in the U.S. District Court for the Northern District of Illinois by investors in wheat futures and options on behalf of themselves and others similarly situated. The complaints make similar allegations as those made in the CFTC action and seek class action certification; an unspecified amount for damages, interest and unjust enrichment; costs and fees; and injunctive, declaratory and other unspecified relief. In June 2015, these suits were consolidated in the Northern District of Illinois. In June 2016, the court denied Mondelēz Global and Kraft Foods Group’s motion to dismiss, and the parties are now in discovery. It is not possible to predict the outcome of these matters; however, based on our Separation and Distribution Agreement with Kraft Foods Group dated as of September 27, 2012, we expect to predominantly bear any monetary penalties or other payments in connection with the CFTC action.

While we cannot predict with certainty the results of any 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, 2016, we had no material third-party guarantees recorded on our consolidated balance sheet.

Leases:

Rental expenses recorded in continuing operations were $317 million in 2016, $331 million in 2015 and $399 million in 2014. As of December 31, 2016, minimum rental commitments under non-cancelable operating leases in effect at year-end were (in millions):


2017	2018		2019		2020		2021		Thereafter		Total

$ 241	$	175	$	143	$	115	$	90	$	157	$	921

Reclassifications from Accumulated Other Comprehensive Income

12 Months Ended

Dec. 31, 2016

Reclassifications from Accumulated Other Comprehensive Income

Note 13. Reclassifications from Accumulated Other Comprehensive Income

The following table summarizes the changes in the accumulated balances of each component of accumulated other comprehensive earnings / (losses) attributable to Mondelēz International. Amounts reclassified from accumulated other comprehensive earnings / (losses) to net earnings (net of tax) were net losses of $250 million in 2016, $350 million in 2015 and $79 million in 2014.


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency Translation Adjustments:
Balance at beginning of period	$	(8,006	)	$	(5,042	)	$	(1,414	)
Currency translation adjustments		(847	)		(2,905	)		(3,433	)
Reclassification to earnings related to:
Venezuela deconsolidation		–			99			–
Equity method investment exchange		57			–			–
Tax (expense) / benefit		(135	)		(184	)		(228	)

Other comprehensive earnings / (losses)		(925	)		(2,990	)		(3,661	)
Less: loss attributable to noncontrolling interests		17			26			33

Balance at end of period		(8,914	)		(8,006	)		(5,042	)

Pension and Other Benefit Plans:
Balance at beginning of period	$	(1,934	)	$	(2,274	)	$	(1,592	)
Net actuarial gain / (loss) arising during period		(491	)		(60	)		(1,388	)
Tax (expense) / benefit on net actuarial gain / (loss)		70			3			442
Losses / (gains) reclassified into net earnings:
Amortization of experience losses and prior service costs ⁽¹⁾		150			207			132
Settlement losses ⁽¹⁾		36			111			42
Venezuela deconsolidation		–			2			–
Tax (expense) / benefit on reclassifications⁽²⁾		(46	)		(69	)		(56	)
Currency impact		128			146			146

Other comprehensive earnings / (losses)		(153	)		340			(682	)

Balance at end of period		(2,087	)		(1,934	)		(2,274	)

Derivative Cash Flow Hedges:
Balance at beginning of period	$	(46	)	$	(2	)	$	117
Net derivative gains / (losses)		(151	)		(75	)		(166	)
Tax (expense) / benefit on net derivative gain / (loss)		20			30			86
Losses / (gains) reclassified into net earnings:
Currency exchange contracts – forecasted transactions ⁽³⁾		3			(90	)		(27	)
Commodity contracts ⁽³⁾		9			64			(21	)
Interest rate contracts ⁽⁴⁾		83			47			3
Tax (expense) / benefit on reclassifications⁽²⁾		(42	)		(21	)		6
Currency impact		3			1			–

Other comprehensive earnings / (losses)		(75	)		(44	)		(119	)

Balance at end of period		(121	)		(46	)		(2	)

Accumulated other comprehensive income attributable to Mondelēz International:
Balance at beginning of period	$	(9,986	)	$	(7,318	)	$	(2,889	)
Total other comprehensive earnings / (losses)		(1,153	)		(2,694	)		(4,462	)
Less: loss attributable to noncontrolling interests		17			26			33

Other comprehensive earnings / (losses) attributable to Mondelēz International		(1,136	)		(2,668	)		(4,429	)

Balance at end of period	$	(11,122	)	$	(9,986	)	$	(7,318	)

(1)

These reclassified gains or losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans. Settlement losses include the transfer of coffee business-related pension obligations in the amount of $90 million in 2015.

(2)

Taxes related to reclassified gains or losses are recorded within the provision for income taxes.

(3)

These reclassified gains or losses are recorded within cost of sales.

(4)

These reclassified gains or losses are recorded within interest and other expense, net.

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, 2016

Income Taxes

Note 14. Income Taxes

Earnings / (losses) from continuing operations before income taxes and the provision for income taxes consisted of:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)
Earnings / (losses) from continuing operations before income taxes:
United States	$	(364	)	$	43		$	(135	)
Outside United States		1,818			7,841			2,689

Total	$	1,454		$	7,884		$	2,554


Provision for income taxes:
United States federal:
Current	$	(227	)	$	(90	)	$	(125	)
Deferred		141			136			28

		(86	)		46			(97	)
State and local:
Current		7			6			20
Deferred		8			(3	)		11

		15			3			31

Total United States		(71	)		49			(66	)

Outside United States:
Current		490			707			644
Deferred		(290	)		(163	)		(225	)

Total outside United States		200			544			419

Total provision for income taxes	$	129		$	593		$	353

We recorded out-of-period adjustments of $14 million net expense in 2015 and $31 million net expense in 2014 that had an immaterial impact on the annual provision for income taxes.

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,
	2016		2015		2014

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		0.8%		(0.1)%		0.3%
Foreign rate differences		(18.6)%		(2.5)%		(14.5)%
Reversal of other tax accruals no longer required		(7.7)%		(1.4)%		(10.5)%
Tax accrual on investment in Keurig		2.3%		–		–
Tax legislation		(4.0)%		(0.5)%		–
Gains on coffee business transactions and divestitures		–		(26.9)%		–
Loss on deconsolidation of Venezuela		–		3.5%		–
Remeasurement of net monetary assets in Venezuela		–		–		1.7%
Non-deductible expenses		0.9%		0.3%		1.5%
Other		0.2%		0.1%		0.3%

Effective tax rate		8.9%		7.5%		13.8%

Our 2016 effective tax rate of 8.9% was favorably impacted by the mix of pre-tax income in various non-U.S. tax jurisdictions and net tax benefits from $161 million of discrete one-time events. The discrete net tax benefits related to favorable audit settlements and statutes of limitations in various jurisdictions and the net reduction of our U.K. and French deferred tax liabilities resulting from tax legislation enacted during 2016 that reduced the corporate income tax rates in each country.

Our 2015 effective tax rate of 7.5% was favorably impacted by the one-time third quarter sale of our coffee business that resulted in a pre-tax gain of $6,809 million and $184 million of related tax expense, as well as $27 million of tax costs incurred to remit proceeds up from lower-tier foreign subsidiaries to allow cash to be redeployed within our retained foreign operations. The benefit of the third quarter transaction was partially offset by the tax costs associated with the sale of our interest in AGF in the first half of the year and the impact of deconsolidating our Venezuelan operations on December 31, 2015. Excluding the impacts of these transactions, our effective tax rate would have been 17.8%, reflecting favorable impacts from the mix of pre-tax income in various non-U.S. tax jurisdictions and net tax benefits from $119 million of discrete one-time events. The remaining 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 2015 that reduced the U.K. corporate income tax rate.

Our 2014 effective tax rate of 13.8% was favorably impacted by the mix of pre-tax income in various non-U.S. tax jurisdictions and net tax benefits from $206 million of discrete one-time events. The discrete net tax benefits primarily related to favorable tax audit settlements and expirations of statues of limitations in several jurisdictions.

The tax effects of temporary differences that gave rise to deferred income tax assets and liabilities consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Deferred income tax assets:
Accrued postretirement and postemployment benefits	$	214		$	230
Accrued pension costs		370			414
Other employee benefits		237			265
Accrued expenses		379			343
Loss carryforwards		619			636
Other		331			352

Total deferred income tax assets		2,150			2,240

Valuation allowance		(310	)		(303	)

Net deferred income tax assets	$	1,840		$	1,937


Deferred income tax liabilities:
Intangible assets	$	(5,174	)	$	(5,365	)
Property, plant and equipment		(557	)		(636	)
Other		(472	)		(409	)

Total deferred income tax liabilities		(6,203	)		(6,410	)

Net deferred income tax liabilities	$	(4,363	)	$	(4,473	)

At December 31, 2016, the company has pre-tax loss carryforwards of $3,517 million, of which $1,223 million will expire at various dates between 2017 and 2036 and the remaining $2,294 million can be carried forward indefinitely.

Our significant valuation allowances relate to loss carryforwards in Mexico and Ireland where we do not currently expect to generate gains of the proper character to utilize the carryforwards in the future.

At December 31, 2016, neither applicable U.S. federal income taxes nor foreign withholding taxes have been provided on approximately $19.8 billion of accumulated earnings of non-U.S. subsidiaries that are expected to be indefinitely reinvested. It is impracticable 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 non-U.S. 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 were:


	For the Years Ended December 31,
	2016			2015			2014
				(in millions)

January 1	$	756		$	852		$	1,189
Increases from positions taken during prior periods		18			34			143
Decreases from positions taken during prior periods		(123	)		(74	)		(247	)
Increases from positions taken during the current period		90			84			147
Decreases relating to settlements with taxing authorities		(75	)		(13	)		(203	)
Reductions resulting from the lapse of the applicable statute of limitations		(43	)		(41	)		(64	)
Currency / other		(13	)		(86	)		(113	)

December 31	$	610		$	756		$	852

As of January 1, 2016, our unrecognized tax benefits were $756 million. If we had recognized all of these benefits, the net impact on our income tax provision would have been $652 million. Our unrecognized tax benefits were $610 million at December 31, 2016, and if we had recognized all of these benefits, the net impact on our income tax provision would have been $549 million. Within the next 12 months, our unrecognized tax benefits could increase by approximately $40 million due to unfavorable audit developments or decrease by approximately $160 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 $185 million as of January 1, 2016 and $189 million as of December 31, 2016. Our 2016 provision for income taxes included $15 million for interest and penalties.

Our income tax filings are regularly examined by federal, state and non-U.S. tax authorities. Examination by the IRS of our 2013-2015 U.S. federal income tax filings will begin in the first quarter of 2017. U.S. state and non-U.S. 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 non-U.S. tax authorities in major jurisdictions include (earliest open tax year in parentheses): Brazil (2011), China (2007), France (2010), Germany (2010), India (2005), Italy (2011) and the United Kingdom (2013).

Earnings Per Share

12 Months Ended

Dec. 31, 2016

Earnings Per Share

Note 15. Earnings Per Share

Basic and diluted earnings per share (“EPS”) were calculated as follows:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions, except per share data)

Net earnings	$	1,669		$	7,291		$	2,201
Noncontrolling interest		(10	)		(24	)		(17	)

Net earnings attributable to Mondelēz International	$	1,659		$	7,267		$	2,184


Weighted-average shares for basic EPS		1,556			1,618			1,691
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17			19			18


Weighted-average shares for diluted EPS		1,573			1,637			1,709


Basic earnings per share attributable to Mondelēz International	$	1.07		$	4.49		$	1.29


Diluted earnings per share attributable to Mondelēz International:	$	1.05		$	4.44		$	1.28

We exclude antidilutive Mondelēz International stock options from our calculation of weighted-average shares for diluted EPS. We excluded 7.8 million antidilutive stock options for the year ended December 31, 2016, 5.1 million antidilutive stock options for the year ended December 31, 2015 and 8.6 million antidilutive stock options for the year ended December 31, 2014.

Segment Reporting

12 Months Ended

Dec. 31, 2016

Segment Reporting

Note 16. Segment Reporting

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

Our operations and management structure are organized into four reportable operating segments:

•

Latin America

•

AMEA

•

Europe

•

North America

On October 1, 2016, we integrated our EEMEA operating segment into our Europe and Asia Pacific operating segments to further leverage and optimize the operating scale built within the Europe and Asia Pacific regions. Russia, Ukraine, Turkey, Belarus, Georgia and Kazakhstan were combined within our Europe operating segment, while the remaining Middle East and African countries were combined within our Asia Pacific region to form the AMEA regional operating segment. We have reflected the segment change as if it had occurred in all periods presented.

We manage our operations by region to leverage regional operating scale, manage different and changing business environments more effectively and pursue growth opportunities as they arise in our key markets. Our regional management teams have responsibility for the business, product categories and financial results in the regions.

Historically, we have recorded income from equity method investments within our operating income as these investments were part of our base business. Beginning in the third quarter of 2015, to align with the accounting for our new coffee equity method investment in JDE, we began to record the earnings from our equity method investments in equity method investment earnings outside of segment operating income. For the six months ended December 31, 2015, after-tax equity method investment net earnings were less than $1 million on a combined basis. Earnings from equity method investments through July 2, 2015 recorded within segment operating income were $52 million in AMEA and $4 million in North America. For the year ended December 31, 2014, these earnings were $104 million in AMEA and $9 million in North America. See Note 1, Summary of Significant Accounting Policies – Principles of Consolidation, and Note 2, Divestitures and Acquisitions, for additional information.

In 2015, we also began to report stock-based compensation for our corporate employees within general corporate expenses that were reported within our North America region. We reclassified $32 million of corporate stock-based compensation expense in 2015 from the North America segment to general corporate expenses.

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. 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, gains and losses on divestitures or acquisitions, gain on the JDE coffee business transactions, loss on deconsolidation of Venezuela and acquisition-related costs (which are a component of selling, general and administrative expenses) in all periods presented. We exclude these items 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.

Our segment net revenues and earnings, revised to reflect our new segment structure, were:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues:
Latin America ⁽¹⁾	$	3,392	$	4,988	$	5,153
AMEA ⁽²⁾		5,816		6,002		6,367
Europe ⁽²⁾		9,755		11,672		15,788
North America		6,960		6,974		6,936

Net revenues	$	25,923	$	29,636	$	34,244

(1)

Net revenues of $1,217 million for 2015 and $760 million for 2014 from our Venezuelan subsidiaries are included in our consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our consolidated financial statements. Refer to Note 1, Summary of Significant Accounting Policies – Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.

(2)

On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Earnings before income taxes:
Operating income:
Latin America	$	271		$	485		$	475
AMEA		506			389			530
Europe		1,267			1,350			1,952
North America		1,078			1,105			922
Unrealized (losses) / gains on hedging activities (mark-to-market impacts)		(94	)		96			(112	)
General corporate expenses		(291	)		(383	)		(317	)
Amortization of intangibles		(176	)		(181	)		(206	)
Gains on divestitures and JDE coffee business transactions		9			6,822			–
Loss on deconsolidation of Venezuela		–			(778	)		–
Acquisition-related costs		(1	)		(8	)		(2	)

Operating income		2,569			8,897			3,242
Interest and other expense, net		(1,115	)		(1,013	)		(688	)

Earnings before income taxes	$	1,454		$	7,884		$	2,554

No single customer accounted for 10% or more of our net revenues from continuing operations in 2016. Our five largest customers accounted for 16.6% and our ten largest customers accounted for 22.9% of net revenues from continuing operations in 2016.

Items impacting our segment operating results are discussed in Note 1, Summary of Significant Accounting Policies, including the Venezuela deconsolidation and currency devaluation, Note 2, Divestitures and Acquisitions, Note 5, Goodwill and Intangible Assets, and Note 6, Restructuring Programs. Also see Note 7, Debt and Borrowing Arrangements, and Note 8, Financial Instruments, for more information on our interest and other expense, net for each period.

Total assets, depreciation expense and capital expenditures by segment, revised to reflect our new segment structure, were:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Total assets:
Latin America	$	5,156	$	4,673	$	6,470
AMEA		10,031		10,460		10,549
Europe		19,934		21,026		27,240
North America		20,694		21,175		21,287
Equity method investments		5,585		5,387		662
Unallocated assets ⁽¹⁾		138		122		563

Total assets	$	61,538	$	62,843	$	66,771

(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. We had debt issuance costs related to recognized debt liabilities of $40 million as of December 31, 2016, $46 million as of December 31, 2015 and $44 million as of December 31, 2014.


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Depreciation expense:
Latin America	$	92	$	94	$	118
AMEA		161		155		154
Europe		253		299		407
North America		141		165		174

Total depreciation expense	$	647	$	713	$	853


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Capital Expenditures:
Latin America	$	321	$	354	$	460
AMEA		349		381		451
Europe		294		517		553
North America		260		262		178

Total capital expenditures	$	1,224	$	1,514	$	1,642

Geographic data for net revenues (recognized in the countries where products are sold) and long-lived assets, excluding deferred tax, goodwill, intangible assets and equity method investments, were:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues:
United States	$	6,329	$	6,302	$	6,143
Other		19,594		23,334		28,101

Total net revenues	$	25,923	$	29,636	$	34,244


	As of December 31,
	2016		2015		2014
	(in millions)

Long-lived assets:
United States	$	1,508	$	1,551	$	1,564
Other		7,229		7,238		8,801

Total long-lived assets	$	8,737	$	8,789	$	10,365

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

Net revenues by product category, revised to reflect our new segment structure, were:


	For the Year Ended December 31, 2016
	Latin						North
	America ⁽¹⁾		AMEA		Europe		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	734	$	1,588	$	2,703	$	5,565	$	10,590
Chocolate		743		1,901		4,840		255		7,739
Gum & Candy		938		953		916		1,140		3,947
Beverages		657		611		177		–		1,445
Cheese & Grocery		320		763		1,119		–		2,202

Total net revenues	$	3,392	$	5,816	$	9,755	$	6,960	$	25,923


	For the Year Ended December 31, 2015
	Latin						North
	America ⁽¹⁾		AMEA		Europe ⁽³⁾		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	1,605	$	1,539	$	2,680	$	5,569	$	11,393
Chocolate		840		1,928		5,050		256		8,074
Gum & Candy		1,091		1,003		1,015		1,149		4,258
Beverages ⁽²⁾		767		730		1,763		–		3,260
Cheese & Grocery		685		802		1,164		–		2,651

Total net revenues	$	4,988	$	6,002	$	11,672	$	6,974	$	29,636


	For the Year Ended December 31, 2014
	Latin						North
	America ⁽¹⁾		AMEA		Europe ⁽³⁾		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	1,322	$	1,442	$	3,259	$	5,486	$	11,509
Chocolate		1,054		2,073		5,997		296		9,420
Gum & Candy		1,176		1,098		1,232		1,154		4,660
Beverages ⁽²⁾		940		836		3,902		–		5,678
Cheese & Grocery		661		918		1,398		–		2,977

Total net revenues	$	5,153	$	6,367	$	15,788	$	6,936	$	34,244

(1)

In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies – Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.

(2)

On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segment beverage categories. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions – JDE Coffee Business Transactions, for more information.

(3)

During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

Quarterly Financial Data (Unaudited)

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
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-Name Accounting Standards Codification
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-Publisher FASB
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+ Details

Quarterly Financial Data (Unaudited)

12 Months Ended

Dec. 31, 2016

Note 17. Quarterly Financial Data (Unaudited)

Our summarized operating results by quarter are detailed below.


	2016 Quarters
	First			Second			Third			Fourth
	(in millions, except per share data)

Net revenues	$	6,455		$	6,302		$	6,396		$	6,770
Gross profit		2,535			2,516			2,488			2,589
Provision for income taxes		(49	)		(118	)		(40	)		78
Gain on equity method investment exchange		43			–			–			–
Equity method investment net earnings ⁽¹⁾		85			102			31			83

Net earnings ⁽²⁾	$	557		$	471		$	548		$	93
Noncontrolling interest		(3	)		(7	)		–			–

Net earnings attributable to Mondelēz International	$	554		$	464		$	548		$	93


Weighted-average shares for basic EPS		1,569			1,557			1,557			1,540
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		18			19			19			19

Weighted-average shares for diluted EPS		1,587			1,576			1,576			1,559


Per share data:
Basic EPS attributable to Mondelēz International:	$	0.35		$	0.30		$	0.35		$	0.06

Diluted EPS attributable to Mondelēz International:	$	0.35		$	0.29		$	0.35		$	0.06


Dividends declared	$	0.17		$	0.17		$	0.19		$	0.19

Market price - high	$	44.45		$	45.75		$	46.36		$	46.40
- low	$	35.88		$	39.53		$	41.96		$	40.50


	2015 Quarters
	First		Second			Third			Fourth
	(in millions, except per share data)

Net revenues	$	7,762	$	7,661		$	6,849		$	7,364
Gross profit		2,941		3,066			2,670			2,835
Provision for income taxes		113		100			348			32
Equity method investment net (losses) / earnings ⁽²⁾		–		–			(72	)		72

Net earnings / (loss) ⁽¹⁾	$	312	$	427		$	7,268		$	(716	)
Noncontrolling interest		12		(21	)		(2	)		(13	)

Net earnings / (loss) attributable to Mondelēz International	$	324	$	406		$	7,266		$	(729	)


Weighted-average shares for basic EPS		1,648		1,625			1,609			1,589
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17		18			20			21

Weighted-average shares for diluted EPS		1,665		1,643			1,629			1,610


Per share data:
Basic EPS attributable to Mondelēz International:	$	0.20	$	0.25		$	4.52		$	(0.46	)

Diluted EPS attributable to Mondelēz International ⁽³⁾:	$	0.19	$	0.25		$	4.46		$	(0.46	)


Dividends declared	$	0.15	$	0.15		$	0.17		$	0.17

Market price - high	$	37.88	$	41.81		$	48.58		$	47.42
- low	$	33.97	$	35.93		$	38.91		$	41.55

(1)

Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies – Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions – JDE Tax Matter Resolution.

(2)	See the following table for significant items that affected the comparability of earnings each quarter.

(3)	In the fourth quarter of 2015, we recorded a net loss, primarily due to the loss on deconsolidation of Venezuela and coffee business transaction final sales price adjustment. In accordance with U.S. GAAP, due to the net loss in the quarter, diluted EPS was equal to basic EPS.

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 2016 and 2015, we recorded the following pre-tax (charges) / gains in earnings from continuing operations:


	2016 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	(154	)	$	(166	)	$	(190	)	$	(342	)
Loss related to interest rate swaps		(97	)		–			–			–
Divestiture-related costs		–			(84	)		–			(2	)
Loss on early extinguishment of debt and related expenses		–			–			–			(427	)

	$	(251	)	$	(250	)	$	(190	)	$	(771	)


	2015 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	(160	)	$	(231	)	$	(155	)	$	(355	)
Remeasurement of net monetary assets in Venezuela		(11	)		–			–			–
Loss on deconsolidation of Venezuela		–			–			–			(778	)
Gains / (loss) on JDE coffee business transactions and divestiture		–			13			7,122			(313	)
JDE coffee business transactions currency- related net gain / (loss)		551			(144	)		29			–
Loss related to interest rate swaps		(34	)
Loss on early extinguishment of debt and related expenses		(713	)		–			–			(40	)

	$	(367	)	$	(362	)	$	6,996		$	(1,486	)

Items impacting our operating results are discussed in Note 1, Summary of Significant Accounting Policies, including the Venezuela deconsolidation and currency devaluations, Note 2, Divestitures and Acquisitions, including the JDE coffee business transactions, Note 5, Goodwill and Intangible Assets, Note 6, Restructuring Programs, and Note 7, Debt and Borrowing Arrangements.

Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2016

Valuation and Qualifying Accounts

Mondelēz International, Inc. and Subsidiaries

Valuation and Qualifying Accounts

For the Years Ended December 31, 2016, 2015 and 2014

(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)

2016:
Allowance for trade receivables	$	54	$	18		$	(1	)	$	13	$	58
Allowance for other current receivables		109		(2	)		(13	)		1		93
Allowance for long-term receivables		16		1			3			–		20
Allowance for deferred taxes		303		67			(28	)		32		310

	$	482	$	84		$	(39	)	$	46	$	481

2015:
Allowance for trade receivables	$	66	$	14		$	(11	)	$	15	$	54
Allowance for other current receivables		91		12			7			1		109
Allowance for long-term receivables		14		5			(3	)		–		16
Allowance for deferred taxes		345		46			(35	)		53		303

	$	516	$	77		$	(42	)	$	69	$	482

2014:
Allowance for trade receivables	$	86	$	9		$	(10	)	$	19	$	66
Allowance for other current receivables		73		39			(13	)		8		91
Allowance for long-term receivables		16		1			(2	)		1		14
Allowance for deferred taxes		335		61			(25	)		26		345

	$	510	$	110		$	(50	)	$	54	$	516

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, 2016

Description of Business

Description of Business:

Principles of Consolidation

Principles of Consolidation:

Use of Estimates

Use of Estimates:

Segment Change

Segment Change:

As of October 1, 2016, our operations and management structure was organized into four reportable operating segments:

•

Latin America

•

AMEA

•

Europe

•

North America

See Note 16, Segment Reporting, for additional information on our segments.

Currency Translation and Highly Inflationary Accounting

Currency Translation and Highly Inflationary Accounting:


	For the Years Ended December 31,
	2015			2014
	(in millions)

Net revenues	$	1,217		$	760
Operating income (excluding remeasurement and deconsolidation losses)		266			181
Remeasurement losses:
Q1 2014: 6.30 to 10.70 bolivars to the U.S. dollar		–			(142	)
SICAD I remeasurements through December 31, 2014		–			(25	)
Q1 2015: 11.50 to 12.00 bolivars to the U.S. dollar		(11	)		–
Loss on deconsolidation		(778	)		–

	As of December 31,
	2015			2014
	(in millions)

Cash ⁽¹⁾	$	611		$	278
Net monetary assets ⁽¹⁾		405			236
Net assets ⁽¹⁾		658			500

(1)

Represents the financial position of our Venezuelan subsidiaries prior to the accounting change on December 31, 2015.

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.

Transfers of Financial Assets

Transfers of Financial Assets:

Accounting Calendar Change

Accounting Calendar Change:

Inventories

Inventories:

We value our inventory using the average cost method. We also record inventory allowances for overstock and obsolete inventories due to ingredient and packaging changes.

Long-Lived Assets

Long-Lived Assets:

Software Costs

Software Costs:

Goodwill and Non-Amortizable Intangible Assets

Goodwill and Non-Amortizable Intangible Assets:

Insurance and Self-Insurance

Insurance and Self-Insurance:

Revenue Recognition

Revenue Recognition:

Marketing and Research and Development

Marketing and Research and Development:

Employee Benefit Plans

Employee Benefit Plans:

Financial Instruments

Financial Instruments:

Income Taxes

Income Taxes:

New Accounting Pronouncements

New Accounting Pronouncements:

Reclassifications

Reclassifications:

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2016

History of Remeasurement Losses, Deconsolidation Loss and Historical Operating Results and Financial Position of Venezuelan Subsidiaries

The following table sets forth a history of the remeasurement losses, the deconsolidation loss and historical operating results and financial position of our Venezuelan subsidiaries for the periods presented:


	For the Years Ended December 31,
	2015			2014
	(in millions)

Net revenues	$	1,217		$	760
Operating income (excluding remeasurement and deconsolidation losses)		266			181
Remeasurement losses:
Q1 2014: 6.30 to 10.70 bolivars to the U.S. dollar		–			(142	)
SICAD I remeasurements through December 31, 2014		–			(25	)
Q1 2015: 11.50 to 12.00 bolivars to the U.S. dollar		(11	)		–
Loss on deconsolidation		(778	)		–

	As of December 31,
	2015			2014
	(in millions)

Cash ⁽¹⁾	$	611		$	278
Net monetary assets ⁽¹⁾		405			236
Net assets ⁽¹⁾		658			500

(1)

Represents the financial position of our Venezuelan subsidiaries prior to the accounting change on December 31, 2015.

Divestitures and Acquisitions (Tables)

12 Months Ended

Dec. 31, 2016

Summary Financial Information for Equity Method Investments

Summary Financial Information for Equity Method Investments:

Summarized financial information for JDE, Keurig, DSF and our other equity method investments is reflected below.


			As of December 31,
			2016		2015
			(in millions)

Current assets			$	4,458	$	3,943
Noncurrent assets				35,089		20,936

Total assets			$	39,547	$	24,879

Current liabilities			$	4,148	$	2,779
Noncurrent liabilities				16,472		9,880

Total liabilities			$	20,620	$	12,659

Total net equity of investees			$	18,927	$	12,220
Mondelēz International ownership interests				24%-50%		40%-50%

Mondelēz International share of investee net equity ⁽¹⁾			$	5,145	$	5,387
Keurig shareholder loan				440		–

Equity method investments			$	5,585	$	5,387


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues	$	10,923	$	4,993	$	2,721
Gross profit		4,219		1,551		921
Income from continuing operations		839		96		226
Net income		839		97		226

Net income attributable to investees	$	838	$	97	$	226
Mondelēz International ownership interests		24%-50%		40%-50%		40%-50%

Mondelēz International share of investee net income	$	281	$	56	$	113
Keurig shareholder loan interest income		20		–		–

Equity method investment net earnings ⁽²⁾	$	301	$	56	$	113

(1)

Includes approximately $325 million of basis differences between the U.S. GAAP accounting basis for our equity method investments and the U.S. GAAP accounting basis of our investees’ equity.

(2)

Inventories (Tables)

12 Months Ended

Dec. 31, 2016

Components of Inventories

Inventories consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Raw materials	$	722		$	782
Finished product		1,865			1,930

		2,587			2,712
Inventory reserves		(118	)		(103	)

Inventories, net	$	2,469		$	2,609

Property, Plant and Equipment (Tables)

12 Months Ended

Dec. 31, 2016

Components of Property, Plant and Equipment

Property, plant and equipment consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Land and land improvements	$	471		$	495
Buildings and building improvements		2,801			2,753
Machinery and equipment		10,302			10,044
Construction in progress		1,113			1,262

		14,687			14,554
Accumulated depreciation		(6,458	)		(6,192	)

Property, plant and equipment, net	$	8,229		$	8,362

Schedule of Restructuring and Implementation Costs


	Latin						North
	America		AMEA		Europe		America⁽¹⁾		Corporate ⁽²⁾		Total
	(in millions)

For the Year Ended December 31, 2016
Restructuring Costs	$	111	$	96	$	310	$	183	$	14	$	714
Implementation Costs		54		48		88		121		61		372

Total	$	165	$	144	$	398	$	304	$	75	$	1,086

For the Year Ended December 31, 2015
Restructuring Costs	$	145	$	181	$	243	$	114	$	28	$	711
Implementation Costs		39		26		78		69		79		291

Total	$	184	$	207	$	321	$	183	$	107	$	1,002

For the Year Ended December 31, 2014
Restructuring Costs	$	81	$	30	$	96	$	57	$	10	$	274
Implementation Costs		16		12		38		5		36		107

Total	$	97	$	42	$	134	$	62	$	46	$	381

Total Project 2014-2016 ⁽³⁾
Restructuring Costs	$	337	$	307	$	649	$	354	$	52	$	1,699
Implementation Costs		109		86		204		195		176		770

Total	$	446	$	393	$	853	$	549	$	228	$	2,469

(1)

(2)

Includes adjustment for rounding.

(3)

Includes all charges recorded since program inception on May 6, 2014 through December 31, 2016.

Schedule of Restructuring and Implementation Costs


	Latin						North
	America		AMEA		Europe		America		Corporate ⁽¹⁾		Total
	(in millions)

For the Year Ended December 31, 2014
Restructuring Costs	$	8	$	77	$	162	$	113	$	–	$	360
Implementation Costs		3		6		54		32		4		99

Total	$	11	$	83	$	216	$	145	$	4	$	459

Total Project 2012-2014 ⁽²⁾
Restructuring Costs	$	36	$	83	$	271	$	337	$	2	$	729
Implementation Costs		3		8		90		65		4		170

Total	$	39	$	91	$	361	$	402	$	6	$	899

(1)

Includes adjustment for rounding.

(2)

Includes all charges recorded since program inception in 2012 through conclusion on December 31, 2014.

Property Plant and Equipment | Asset impairment and exit costs

Schedule of Restructuring and Implementation Costs

These charges were recorded in the consolidated statements of earnings within asset impairment and exit costs and in the following segment results as follows:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Latin America	$	22	$	46	$	14
AMEA		44		88		34
Europe		122		65		42
North America		111		65		83
Corporate		2		–		–

Total non-cash asset write-downs	$	301	$	264	$	173

Goodwill and Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Goodwill by Segment

Goodwill by segment below reflects our latest segment structure for both periods presented:


	As of December 31,
	2016		2015
	(in millions)

Latin America	$	897	$	858
AMEA		3,324		3,537
Europe		7,170		7,404
North America		8,885		8,865

Goodwill	$	20,276	$	20,664

Intangible Assets Disclosure

Intangible assets consisted of the following:


	As of December 31,
	2016			2015
	(in millions)

Non-amortizable intangible assets	$	17,004		$	17,527
Amortizable intangible assets		2,315			2,320

		19,319			19,847
Accumulated amortization		(1,218	)		(1,079	)

Intangible assets, net	$	18,101		$	18,768

Changes in Goodwill and Intangible Assets

Changes in goodwill and intangible assets consisted of:


	2016						2015
	Goodwill			Intangible Assets, at cost			Goodwill			Intangible Assets, at cost
	(in millions)

Balance at January 1	$	20,664		$	19,847		$	23,389		$	21,335
Changes due to:
Currency		(464	)		(540	)		(1,477	)		(1,462	)
Coffee business transactions and divestitures		(4	)		(8	)		(1,729	)		–
Acquisitions		80			158			481			58
Asset impairments		–			(137	)		–			(83	)
Other		–			(1	)		–			(1	)

Balance at December 31	$	20,276		$	19,319		$	20,664		$	19,847

Restructuring Programs (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Restructuring Costs

The 2014-2018 Restructuring Program liability activity for the years ended December 31, 2016 and 2015 was:


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

Liability balance, January 1, 2015	$	224		$	–		$	224
Charges		442			269			711
Cash spent		(243	)		–			(243	)
Non-cash settlements / adjustments		(4	)		(269	)		(273	)
Currency		(24	)		–			(24	)

Liability balance, December 31, 2015	$	395		$	–		$	395

Charges		402			312			714
Cash spent		(315	)		–			(315	)
Non-cash settlements / adjustments		(9	)		(312	)		(321	)
Currency		(9	)		–			(9	)

Liability balance, December 31, 2016	$	464		$	–		$	464

Schedule of Restructuring Costs

The 2012-2014 Restructuring Program liability activity for the years ended December 31, 2016 and 2015 was:


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

Liability balance, January 1, 2015	$	128		$	–	$	128
Charges		(4	)		–		(4	)
Cash spent		(66	)		–		(66	)
Non-cash settlements / adjustments		(4	)		–		(4	)
Currency		(7	)		–		(7	)

Liability balance, December 31, 2015	$	47		$	–	$	47

Charges		–			–		–
Cash spent		(21	)		–		(21	)
Non-cash settlements / adjustments		(6	)		–		(6	)
Currency		(1	)		–		(1	)

Liability balance, December 31, 2016	$	19		$	–	$	19

Debt and Borrowing Arrangements (Tables)

12 Months Ended

Dec. 31, 2016

Short-Term Borrowings and Related Weighted-Average Interest Rates

Our short-term borrowings and related weighted-average interest rates consisted of:


	As of December 31,
	2016				2015
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	2,371		1.0%	$	–		0.0%
Bank loans		160		10.6%		236		9.5%

Total short-term borrowings	$	2,531			$	236

Long-Term Debt

Our long-term debt consisted of (interest rates are as of December 31, 2016):


	As of December 31,
	2016			2015
	(in millions)

U.S. dollar notes, 0.881% to 7.000% (weighted-average effective rate 3.527%), due through 2040	$	8,812		$	8,371
Euro notes, 1.000% to 2.375% (weighted-average effective rate 1.808%), due through 2035		3,980			4,305
Pound sterling notes, 3.875% to 7.250% (weighted-average effective rate 4.441%), due through 2045		418			1,399
Swiss franc notes, 0.000% to 1.125% (weighted-average effective rate 0.636%), due through 2025		1,449			1,075
Capital leases and other obligations		9			12

Total		14,668			15,162
Less current portion of long-term debt		(1,451	)		(605	)

Long-term debt	$	13,217		$	14,557

Aggregate Maturities of Debt and Capital Leases Based on Stated Contractual Maturities


2017	2018	2019	2020	2021	Thereafter	Total
$1,451	$1,144	$2,650	$658	$3,260	$5,574	$14,737

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,
	2016		2015			2014
			(in millions)

Interest expense, debt	$	515	$	609		$	778
Loss on debt extinguishment and related expenses		427		753			495
JDE coffee business transactions currency-related net gains		–		(436	)		(628	)
Loss related to interest rate swaps		97		34			–
Other expense, net		76		53			43

Interest and other expense, net	$	1,115	$	1,013		$	688

Fair Value of Derivatives Instruments

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
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

+ Details

Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2016

Derivative instruments were recorded at fair value in the consolidated balance sheets as follows:


	As of December 31,
	2016				2015
	Asset		Liability		Asset		Liability
	Derivatives		Derivatives		Derivatives		Derivatives
	(in millions)

Derivatives designated as accounting hedges:
Currency exchange contracts	$	19	$	8	$	20	$	7
Commodity contracts		17		22		37		35
Interest rate contracts		108		19		12		57

	$	144	$	49	$	69	$	99

Derivatives not designated as accounting hedges:
Currency exchange contracts	$	29	$	43	$	61	$	33
Commodity contracts		112		167		70		56
Interest rate contracts		27		19		43		28

	$	168	$	229	$	174	$	117

Total fair value	$	312	$	278	$	243	$	216

Notional Values of Derivative Instruments

The net notional values of our derivative instruments were:


	Notional Amount
	As of December 31,
	2016		2015
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	3,343	$	4,148
Forecasted transactions		1,452		1,094
Commodity contracts		837		732
Interest rate contracts		6,365		3,033
Net investment hedge – euro notes		4,012		4,345
Net investment hedge – pound sterling notes		419		1,404
Net investment hedge – Swiss franc notes		1,447		1,073

Hedges of Net Investments in International Operations

After-tax gains / (losses) related to hedges of net investments in international operations in the form of euro, pound sterling and Swiss franc-denominated debt were:


							Location of
	For the Years Ended December 31,						Gain / (Loss)
	2016		2015		2014		Recognized in AOCI
			(in millions)

Euro notes	$	73	$	268	$	328	Currency
Pound sterling notes		148		42		39	Translation
Swiss franc notes		12		9		–	Adjustment

Derivative

Schedule of Derivative Instruments Fair Value and Measurement Inputs

The fair values (asset / (liability)) of our derivative instruments were determined using:


	As of December 31, 2016
				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)

Currency exchange contracts	$	(3	)	$	–		$	(3	)	$	–
Commodity contracts		(60	)		(86	)		26			–
Interest rate contracts		97			–			97			–

Total derivatives	$	34		$	(86	)	$	120		$	–


	As of December 31, 2015
				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)

Currency exchange contracts	$	41		$	–		$	41		$	–
Commodity contracts		16			29			(13	)		–
Interest rate contracts		(30	)		–			(30	)		–

Total derivatives	$	27		$	29		$	(2	)	$	–

Cash Flow Hedges

Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings / (Losses), Net of Taxes

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Accumulated gain / (loss) at January 1	$	(45	)	$	(2	)	$	117
Transfer of realized losses / (gains) in fair value to earnings		53			–			(40	)
Unrealized gain / (loss) in fair value		(129	)		(43	)		(79	)

Accumulated gain / (loss) at December 31	$	(121	)	$	(45	)	$	(2	)

Schedule of Effects of Derivative Instruments

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency exchange contracts – forecasted transactions	$	(1	)	$	83		$	26
Commodity contracts		(4	)		(52	)		16
Interest rate contracts		(48	)		(31	)		(2	)

Total	$	(53	)	$	–		$	40

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


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency exchange contracts – forecasted transactions	$	8		$	40		$	82
Commodity contracts		(34	)		(35	)		(2	)
Interest rate contracts		(103	)		(48	)		(159	)

Total	$	(129	)	$	(43	)	$	(79	)

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


	For the Years Ended December 31,
	2016		2015			2014
	(in millions)

Commodity contracts	$	2	$	(4	)	$	(10	)

Fair Value Hedges

Schedule of Effects of Derivative Instruments

Pre-tax gains / (losses) 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:


	For the Years Ended December 31,
	2016			2015			2014
				(in millions)

Derivatives	$	(6	)	$	(1	)	$	13
Borrowings		6			1			(13	)

Economic Hedging

Schedule of Effects of Derivative Instruments

Pre-tax gains / (losses) recorded in net earnings for economic hedges were:


	For the Years Ended December 31,									Location of Gain / (Loss) Recognized
	2016			2015			2014			in Earnings
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	21		$	29		$	4			Interest and other expense, net
Forecasted transactions		(76	)		29			29			Cost of sales
Forecasted transactions		11			435			610			Interest and other expense, net
Forecasted transactions		7			(12	)		(4	)		Selling, general and administrative expenses
Commodity contracts		(101	)		(38	)		(136	)		Cost of sales

Total	$	(138	)	$	443		$	503

Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2016

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 were:


	U.S. Plans						Non-U.S. Plans
	2016			2015			2016			2015
				(in millions)

Benefit obligation at January 1	$	1,566		$	1,606		$	9,547		$	10,854
Service cost		57			64			147			188
Interest cost		61			67			229			307
Benefits paid		(32	)		(35	)		(425	)		(435	)
Settlements paid		(91	)		(88	)		–			1
Actuarial (gains) / losses		52			(49	)		1,284			(262	)
Deconsolidation of JDE coffee business		–			–			–			(261	)
Divestiture		–			–			(5	)		–
Currency		–			–			(979	)		(766	)
Other		1			1			16			(79	)

Benefit obligation at December 31		1,614			1,566			9,814			9,547


Fair value of plan assets at January 1		1,247			1,216			7,721			8,362
Actual return on plan assets		118			(71	)		1,079			192
Contributions		378			225			419			318
Benefits paid		(32	)		(35	)		(425	)		(435	)
Settlements paid		(91	)		(88	)		–			–
Deconsolidation of JDE coffee business		–			–			–			(130	)
Divestiture		–			–			(4	)		–
Currency		–			–			(863	)		(579	)
Other		–			–			(1	)		(7	)

Fair value of plan assets at December 31		1,620			1,247			7,926			7,721

Net pension assets (liability) at December 31	$	6		$	(319	)	$	(1,888	)	$	(1,826	)

Pension Plans Resulted in Net Pension Liability


	As of December 31,
	2016			2015
	(in millions)

Prepaid pension assets	$	159		$	69
Other accrued liabilities		(27	)		(31	)
Accrued pension costs		(2,014	)		(2,183	)

	$	(1,882	)	$	(2,145	)

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 were:


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015
	(in millions)

Projected benefit obligation	$	96	$	1,566	$	8,386	$	8,139
Accumulated benefit obligation		88		1,463		8,168		7,920
Fair value of plan assets		2		1,247		6,451		6,252

Components of Net Costs

Net periodic pension cost consisted of the following:


	U.S. Plans									Non-U.S. Plans
	For the Years Ended December 31,									For the Years Ended December 31,
	2016			2015			2014			2016			2015			2014
	(in millions)

Service cost	$	57		$	64		$	57		$	147		$	188		$	184
Interest cost		61			67			67			229			307			388
Expected return on plan assets		(97	)		(93	)		(81	)		(418	)		(478	)		(485	)
Amortization:
Net loss from experience differences		42			43			29			120			141			106
Prior service cost ⁽¹⁾		2			2			2			(3	)		15			–
Settlement losses and other expenses ⁽²⁾		30			19			28			6			2			14

Net periodic pension cost	$	95		$	102		$	102		$	81		$	175		$	207

(1)

(2)

Fair Values of Pension Plan Assets

The fair value of pension plan assets was determined using the following fair value measurements:


	As of December 31, 2016
			Quoted Prices		Significant
Asset Category	Total Fair Value		in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	1	$	1	$	–		$	–
Non-U.S. equity securities		427		427		–			–
Pooled funds - equity securities		1,524		286		1,235			3

Total equity securities		1,952		714		1,235			3

Government bonds		3,009		37		2,972			–
Pooled funds - fixed-income securities		756		103		618			35
Corporate bonds and other fixed-income securities		852		357		(43	)		538

Total fixed-income securities		4,617		497		3,547			573

Real estate		170		98		50			22
Hedge funds		–		–		–			–
Private equity		2		–		–			2
Cash		73		72		1			–
Other		3		1		–			2

Total assets in the fair value hierarchy	$	6,817	$	1,382	$	4,833		$	602

Investments measured at net asset value		2,667

Total Investments at fair value	$	9,484


	As of December 31, 2015
			Quoted Prices		Significant
Asset Category	Total Fair Value		in Active Markets for Identical Assets (Level 1)		Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in millions)

U.S. equity securities	$	2	$	2	$	–	$	–
Non-U.S. equity securities		498		412		86		–
Pooled funds - equity securities		1,468		275		1,193		–

Total equity securities		1,968		689		1,279		–

Government bonds		1,770		35		1,735		–
Pooled funds - fixed-income securities		575		118		431		26
Corporate bonds and other fixed-income securities		1,686		320		701		665

Total fixed-income securities		4,031		473		2,867		691

Real estate		339		109		–		230
Hedge funds		–		–		–		–
Private equity		2		–		–		2
Cash		138		138		–		–
Other		2		1		–		1

Total assets in the fair value hierarchy	$	6,480	$	1,410	$	4,146	$	924

Investments measured at net asset value		2,422

Total investments at fair value	$	8,902

The percentage of fair value of pension plan assets was:


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
Asset Category	2016		2015		2016		2015

Equity securities		33%		32%		29%		32%
Fixed-income securities		63%		65%		57%		50%
Real estate		4%		3%		5%		6%
Hedge funds		–		–		6%		7%
Private equity		–		–		2%		3%
Cash		–		–		1%		1%
Other		–		–		–		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), included:


Asset Category	January 1, 2016 Balance		Net Realized and Unrealized Gains/ (Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact			December 31, 2016 Balance
	(in millions)
Non-U.S. equity	$	–	$	–		$	–		$	3		$	–			3
Pooled funds- fixed-income securities		26		6			15			(7	)		(5	)		35
Corporate bond and other fixed-income securities		665		21			(41	)		–			(107	)		538
Real estate		230		–			(184	)		(3	)		(21	)		22
Hedge funds		–		–			–			–			–			–
Private equity		3		–			–			1			–			4

Total Level 3 investments	$	924	$	27		$	(210	)	$	(6	)	$	(133	)	$	602


Asset Category	January 1, 2015 Balance		Net Realized and Unrealized Gains/ (Losses)			Net Purchases, Issuances and Settlements			Net Transfers Into/(Out of) Level 3			Currency Impact			December 31, 2015 Balance
	(in millions)
Pooled funds- fixed-income securities	$	97	$	(1	)	$	25		$	(89	)	$	(6	)	$	26
Corporate bond and other fixed-income securities		749		4			(50	)		–			(38	)		665
Real estate		292		19			61			(125	)		(17	)		230
Hedge funds		829		13			(312	)		(499	)		(31	)		–
Private equity		240		17			(36	)		(206	)		(12	)		3

Total Level 3 investments	$	2,207	$	52		$	(312	)	$	(919	)	$	(104	)	$	924

Estimated Future Benefit Payments

The estimated future benefit payments from our pension plans at December 31, 2016 were (in millions):


Year ending:	2017		2018		2019		2020		2021		2022-2026

U.S. Plans	$	89	$	97	$	103	$	107	$	108	$	568
Non-U.S. Plans		357		356		363		378		400		2,138

Schedule of Individually Significant Multiemployer Pension Plan

The only individually significant multiemployer plan we participate in as of December 31, 2016 is the Bakery and Confectionery Union and Industry International Pension Fund (the “Fund”).

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

Defined Benefit Pension Plan Benefit Obligation

Weighted Average Assumptions

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


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015

Discount rate		4.19%		4.50%		2.31%		3.11%
Expected rate of return on plan assets		6.25%		6.75%		5.14%		5.87%
Rate of compensation increase		4.00%		4.00%		3.29%		3.18%

Postretirement Benefit Plans

Weighted Average Assumptions

We used the following weighted-average assumptions to determine our net periodic pension cost:


	U.S. Plans						Non-U.S. Plans
	For the Years Ended December 31,						For the Years Ended December 31,
	2016		2015		2014		2016		2015		2014

Discount rate		4.50%		4.20%		5.10%		3.11%		2.99%		4.03%
Expected rate of return on plan assets		6.75%		7.25%		7.75%		5.87%		5.96%		6.17%
Rate of compensation increase		4.00%		4.00%		4.00%		3.18%		3.26%		3.63%

Components of Net Costs

Net periodic postretirement health care costs consisted of the following:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Service cost	$	12		$	15		$	13
Interest cost		20			22			22
Amortization:
Net loss from experience differences		10			13			5
Prior service credit ⁽¹⁾		(20	)		(7	)		(10	)

Net periodic postretirement health care costs	$	22		$	43		$	30

(1)

For the year ended December 31, 2016, amortization of prior service credit includes $9 million of curtailment gain related to a change in the eligibility requirement.

Estimated Future Benefit Payments

Our estimated future benefit payments for our postretirement health care plans at December 31, 2016 were (in millions):


Year ending:	2017	2018	2019	2020	2021	2022-2026

U.S. Plans	$8	$10	$11	$12	$13	$80
Non-U.S. Plans	5	5	5	6	6	34

Changes in Accumulated Postemployment Benefit Obligations

Our postretirement health care plans are not funded. The changes in and the amount of the accrued benefit obligation were:


	As of December 31,
	2016			2015
	(in millions)

Accrued benefit obligation at January 1	$	511		$	538
Service cost		12			15
Interest cost		20			22
Benefits paid		(14	)		(10	)
Plan amendments ⁽¹⁾		(149	)		–
Currency		3			(22	)
Assumption changes		34			(30	)
Actuarial (gains) / losses		(23	)		(2	)

Accrued benefit obligation at December 31	$	394		$	511

(1)

Plan amendments included a change in eligibility requirements related to medical and life insurance benefits and a change in benefits for Medicare-eligible participants.

Weighted-Average Assumptions to Determine Benefit Obligations

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


	U.S. Plans				Non-U.S. Plans
	As of December 31,				As of December 31,
	2016		2015		2016		2015

Discount rate		4.14%		4.60%		4.55%		4.77%
Health care cost trend rate assumed for next year		6.50%		6.50%		5.50%		5.37%
Ultimate trend rate		5.00%		5.00%		5.68%		5.55%
Year that the rate reaches the ultimate trend rate		2020		2020		2018		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, 2016
	One-Percentage-Point
	Increase		Decrease
	(in millions)

Effect on postretirement benefit obligation	$	41	$	(33	)
Effect on annual service and interest cost		3		(2	)

Defined Benefit Pension Net Periodic Pension Cost

Weighted Average Assumptions

We used the following weighted-average assumptions to determine our net periodic postretirement health care cost:


	U.S. Plans			Non-U.S. Plans
	For the Years Ended December 31,			For the Years Ended December 31,
	2016	2015	2014	2016	2015	2014

Discount rate	4.60%	4.20%	5.10%	4.77%	4.52%	5.17%
Health care cost trend rate	6.50%	6.50%	7.00%	5.50%	5.18%	5.11%

Postemployment Benefit Plans

Components of Net Costs

Net periodic postemployment costs consisted of the following:


	For the Years Ended December 31,
	2016			2015		2014
	(in millions)

Service cost	$	7		$	7	$	9
Interest cost		6			5		6
Amortization of net gains		(1	)		–		–

Net periodic postemployment costs	$	12		$	12	$	15

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, 2016 and 2015 were:


	2016			2015
	(in millions)

Accrued benefit obligation at January 1	$	95		$	94
Service cost		7			7
Interest cost		6			5
Benefits paid		(9	)		(7	)
Assumption changes		(21	)		(3	)
Actuarial gains		(7	)		(1	)

Accrued benefit obligation at December 31	$	71		$	95

Stock Plans (Tables)

12 Months Ended

Dec. 31, 2016

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

2016		1.40%		6 years		23.11%		1.61%	$	7.86
2015		1.70%		6 years		18.51%		1.61%	$	6.12
2014		1.87%		6 years		21.48%		1.64%	$	6.60

Stock Options Activity

Stock option activity is reflected below:


				Weighted-
				Average		Average
				Exercise or		Remaining		Aggregate
	Shares Subject			Grant Price		Contractual		Intrinsic
	to Option			Per Share		Term		Value

Balance at January 1, 2014		55,783,439		$	21.96			$	744 million

Annual grant to eligible employees		9,919,810			34.17
Additional options issued		500,250			33.65

Total options granted		10,420,060			34.14
Options exercised ⁽¹⁾		(8,076,550	)		20.85			$	125 million
Options cancelled		(1,695,398	)		27.65

Balance at December 31, 2014		56,431,551			24.19			$	685 million

Annual grant to eligible employees		8,899,530			36.94
Additional options issued		901,340			35.84

Total options granted		9,800,870			36.84
Options exercised ⁽¹⁾		(6,444,515	)		22.94			$	108 million
Options cancelled		(2,753,798	)		32.35

Balance at December 31, 2015 ⁽²⁾		57,034,108			26.12			$	1,068 million

Annual grant to eligible employees		7,517,290			39.70
Additional options issued		115,800			42.26

Total options granted		7,633,090			39.74
Options exercised ⁽¹⁾		(8,883,101	)		24.09			$	174 million
Options cancelled		(2,182,485	)		35.23

Balance at December 31, 2016		53,601,612			28.02		6 years	$	874 million

Exercisable at December 31, 2016		39,016,883			24.43		5 years	$	777 million

(1)

(2)

Prior-year aggregate intrinsic value has been revised.

Deferred stock unit, performance share unit and restricted stock

Deferred Stock Unit, Performance Share Unit, and Restricted Stock Activity

Our deferred stock unit, performance share unit and restricted stock activity is reflected below:


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

Balance at January 1, 2014		11,648,587				$	24.48

Annual grant to eligible employees:					Feb. 19, 2014
Performance share units		1,143,620					34.97
Restricted stock		750,410					34.17
Deferred stock units		1,240,820					34.17
Additional shares granted ⁽¹⁾		935,463			Various		33.15

Total shares granted		4,070,313					34.16	$	139 million
Vested ⁽²⁾		(4,380,452	)				22.98	$	101 million
Forfeited ⁽²⁾		(755,808	)				28.14

Balance at December 31, 2014		10,582,640					28.56

Annual grant to eligible employees:					Feb. 18, 2015
Performance share units		1,598,290					36.94
Restricted stock		386,910					36.94
Deferred stock units		866,640					36.94
Additional shares granted ⁽¹⁾		1,087,322			Various		39.35

Total shares granted		3,939,162					37.61	$	148 million
Vested ⁽²⁾		(3,905,745	)				37.83	$	148 million
Forfeited ⁽²⁾		(1,197,841	)				32.51

Balance at December 31, 2015		9,418,216					28.00

Annual grant to eligible employees:					Feb. 22, 2016
Performance share units		1,406,500					39.70
Deferred stock units		1,040,790					39.70
Additional shares granted ⁽¹⁾		864,851			Various		31.29

Total shares granted		3,312,141					37.50	$	124 million
Vested ⁽²⁾		(3,992,902	)				40.22	$	161 million
Forfeited ⁽²⁾		(1,143,828	)				37.49

Balance at December 31, 2016		7,593,627					24.29

(1)

Includes performance share units, deferred stock units and restricted stock.

(2)

Capital Stock (Tables)

12 Months Ended

Dec. 31, 2016

Authorized Common Stock Repurchase Programs

Shares of Common Stock issued, in treasury and outstanding were:


						Shares
	Shares Issued		Treasury Shares			Outstanding

Balance at January 1, 2014		1,996,537,778		(291,141,184	)		1,705,396,594
Shares repurchased		–		(51,931,864	)		(51,931,864	)
Exercise of stock options and issuance of other stock awards		–		10,176,269			10,176,269

Balance at December 31, 2014		1,996,537,778		(332,896,779	)		1,663,640,999

Shares repurchased		–		(91,875,878	)		(91,875,878	)
Exercise of stock options and issuance of other stock awards		–		8,268,033			8,268,033

Balance at December 31, 2015		1,996,537,778		(416,504,624	)		1,580,033,154

Shares repurchased		–		(61,972,713	)		(61,972,713	)
Exercise of stock options and issuance of other stock awards		–		10,305,100			10,305,100

Balance at December 31, 2016		1,996,537,778		(468,172,237	)		1,528,365,541

Reclassifications from Accumulated Other Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2016

Amounts Reclassified from Accumulated Other Comprehensive Earnings/ (Losses)


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Currency Translation Adjustments:
Balance at beginning of period	$	(8,006	)	$	(5,042	)	$	(1,414	)
Currency translation adjustments		(847	)		(2,905	)		(3,433	)
Reclassification to earnings related to:
Venezuela deconsolidation		–			99			–
Equity method investment exchange		57			–			–
Tax (expense) / benefit		(135	)		(184	)		(228	)

Other comprehensive earnings / (losses)		(925	)		(2,990	)		(3,661	)
Less: loss attributable to noncontrolling interests		17			26			33

Balance at end of period		(8,914	)		(8,006	)		(5,042	)

Pension and Other Benefit Plans:
Balance at beginning of period	$	(1,934	)	$	(2,274	)	$	(1,592	)
Net actuarial gain / (loss) arising during period		(491	)		(60	)		(1,388	)
Tax (expense) / benefit on net actuarial gain / (loss)		70			3			442
Losses / (gains) reclassified into net earnings:
Amortization of experience losses and prior service costs ⁽¹⁾		150			207			132
Settlement losses ⁽¹⁾		36			111			42
Venezuela deconsolidation		–			2			–
Tax (expense) / benefit on reclassifications⁽²⁾		(46	)		(69	)		(56	)
Currency impact		128			146			146

Other comprehensive earnings / (losses)		(153	)		340			(682	)

Balance at end of period		(2,087	)		(1,934	)		(2,274	)

Derivative Cash Flow Hedges:
Balance at beginning of period	$	(46	)	$	(2	)	$	117
Net derivative gains / (losses)		(151	)		(75	)		(166	)
Tax (expense) / benefit on net derivative gain / (loss)		20			30			86
Losses / (gains) reclassified into net earnings:
Currency exchange contracts – forecasted transactions ⁽³⁾		3			(90	)		(27	)
Commodity contracts ⁽³⁾		9			64			(21	)
Interest rate contracts ⁽⁴⁾		83			47			3
Tax (expense) / benefit on reclassifications⁽²⁾		(42	)		(21	)		6
Currency impact		3			1			–

Other comprehensive earnings / (losses)		(75	)		(44	)		(119	)

Balance at end of period		(121	)		(46	)		(2	)

Accumulated other comprehensive income attributable to Mondelēz International:
Balance at beginning of period	$	(9,986	)	$	(7,318	)	$	(2,889	)
Total other comprehensive earnings / (losses)		(1,153	)		(2,694	)		(4,462	)
Less: loss attributable to noncontrolling interests		17			26			33

Other comprehensive earnings / (losses) attributable to Mondelēz International		(1,136	)		(2,668	)		(4,429	)

Balance at end of period	$	(11,122	)	$	(9,986	)	$	(7,318	)

(1)

(2)

Taxes related to reclassified gains or losses are recorded within the provision for income taxes.

(3)

These reclassified gains or losses are recorded within cost of sales.

(4)

These reclassified gains or losses are recorded within interest and other expense, net.

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Provision for Income Taxes

Earnings / (losses) from continuing operations before income taxes and the provision for income taxes consisted of:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)
Earnings / (losses) from continuing operations before income taxes:
United States	$	(364	)	$	43		$	(135	)
Outside United States		1,818			7,841			2,689

Total	$	1,454		$	7,884		$	2,554


Provision for income taxes:
United States federal:
Current	$	(227	)	$	(90	)	$	(125	)
Deferred		141			136			28

		(86	)		46			(97	)
State and local:
Current		7			6			20
Deferred		8			(3	)		11

		15			3			31

Total United States		(71	)		49			(66	)

Outside United States:
Current		490			707			644
Deferred		(290	)		(163	)		(225	)

Total outside United States		200			544			419

Total provision for income taxes	$	129		$	593		$	353

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,
	2016		2015		2014

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		0.8%		(0.1)%		0.3%
Foreign rate differences		(18.6)%		(2.5)%		(14.5)%
Reversal of other tax accruals no longer required		(7.7)%		(1.4)%		(10.5)%
Tax accrual on investment in Keurig		2.3%		–		–
Tax legislation		(4.0)%		(0.5)%		–
Gains on coffee business transactions and divestitures		–		(26.9)%		–
Loss on deconsolidation of Venezuela		–		3.5%		–
Remeasurement of net monetary assets in Venezuela		–		–		1.7%
Non-deductible expenses		0.9%		0.3%		1.5%
Other		0.2%		0.1%		0.3%

Effective tax rate		8.9%		7.5%		13.8%

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:


	As of December 31,
	2016			2015
	(in millions)

Deferred income tax assets:
Accrued postretirement and postemployment benefits	$	214		$	230
Accrued pension costs		370			414
Other employee benefits		237			265
Accrued expenses		379			343
Loss carryforwards		619			636
Other		331			352

Total deferred income tax assets		2,150			2,240

Valuation allowance		(310	)		(303	)

Net deferred income tax assets	$	1,840		$	1,937


Deferred income tax liabilities:
Intangible assets	$	(5,174	)	$	(5,365	)
Property, plant and equipment		(557	)		(636	)
Other		(472	)		(409	)

Total deferred income tax liabilities		(6,203	)		(6,410	)

Net deferred income tax liabilities	$	(4,363	)	$	(4,473	)

Changes in Unrecognized Tax Benefit

The changes in our unrecognized tax benefits were:


	For the Years Ended December 31,
	2016			2015			2014
				(in millions)

January 1	$	756		$	852		$	1,189
Increases from positions taken during prior periods		18			34			143
Decreases from positions taken during prior periods		(123	)		(74	)		(247	)
Increases from positions taken during the current period		90			84			147
Decreases relating to settlements with taxing authorities		(75	)		(13	)		(203	)
Reductions resulting from the lapse of the applicable statute of limitations		(43	)		(41	)		(64	)
Currency / other		(13	)		(86	)		(113	)

December 31	$	610		$	756		$	852

Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2016

Basic and Diluted Earnings Per Share

Basic and diluted earnings per share (“EPS”) were calculated as follows:


	For the Years Ended December 31,
	2016			2015			2014
	(in millions, except per share data)

Net earnings	$	1,669		$	7,291		$	2,201
Noncontrolling interest		(10	)		(24	)		(17	)

Net earnings attributable to Mondelēz International	$	1,659		$	7,267		$	2,184


Weighted-average shares for basic EPS		1,556			1,618			1,691
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17			19			18


Weighted-average shares for diluted EPS		1,573			1,637			1,709


Basic earnings per share attributable to Mondelēz International	$	1.07		$	4.49		$	1.29


Diluted earnings per share attributable to Mondelēz International:	$	1.05		$	4.44		$	1.28

Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2016

Net Revenues and Earnings by Segment

Our segment net revenues and earnings, revised to reflect our new segment structure, were:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues:
Latin America ⁽¹⁾	$	3,392	$	4,988	$	5,153
AMEA ⁽²⁾		5,816		6,002		6,367
Europe ⁽²⁾		9,755		11,672		15,788
North America		6,960		6,974		6,936

Net revenues	$	25,923	$	29,636	$	34,244

(1)

(2)

Reconciliation of Operating Profit (Loss) from Segments to Consolidated


	For the Years Ended December 31,
	2016			2015			2014
	(in millions)

Earnings before income taxes:
Operating income:
Latin America	$	271		$	485		$	475
AMEA		506			389			530
Europe		1,267			1,350			1,952
North America		1,078			1,105			922
Unrealized (losses) / gains on hedging activities (mark-to-market impacts)		(94	)		96			(112	)
General corporate expenses		(291	)		(383	)		(317	)
Amortization of intangibles		(176	)		(181	)		(206	)
Gains on divestitures and JDE coffee business transactions		9			6,822			–
Loss on deconsolidation of Venezuela		–			(778	)		–
Acquisition-related costs		(1	)		(8	)		(2	)

Operating income		2,569			8,897			3,242
Interest and other expense, net		(1,115	)		(1,013	)		(688	)

Earnings before income taxes	$	1,454		$	7,884		$	2,554

Total Assets, Depreciation Expense and Capital Expenditure by Segment

Total assets, depreciation expense and capital expenditures by segment, revised to reflect our new segment structure, were:


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Total assets:
Latin America	$	5,156	$	4,673	$	6,470
AMEA		10,031		10,460		10,549
Europe		19,934		21,026		27,240
North America		20,694		21,175		21,287
Equity method investments		5,585		5,387		662
Unallocated assets ⁽¹⁾		138		122		563

Total assets	$	61,538	$	62,843	$	66,771

(1)


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Depreciation expense:
Latin America	$	92	$	94	$	118
AMEA		161		155		154
Europe		253		299		407
North America		141		165		174

Total depreciation expense	$	647	$	713	$	853


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Capital Expenditures:
Latin America	$	321	$	354	$	460
AMEA		349		381		451
Europe		294		517		553
North America		260		262		178

Total capital expenditures	$	1,224	$	1,514	$	1,642

Net Revenues by Geographic Segment


	For the Years Ended December 31,
	2016		2015		2014
	(in millions)

Net revenues:
United States	$	6,329	$	6,302	$	6,143
Other		19,594		23,334		28,101

Total net revenues	$	25,923	$	29,636	$	34,244

Long-lived Assets by Geographic Segment


	As of December 31,
	2016		2015		2014
	(in millions)

Long-lived assets:
United States	$	1,508	$	1,551	$	1,564
Other		7,229		7,238		8,801

Total long-lived assets	$	8,737	$	8,789	$	10,365

Net Revenues by Consumer Sector

Net revenues by product category, revised to reflect our new segment structure, were:


	For the Year Ended December 31, 2016
	Latin						North
	America ⁽¹⁾		AMEA		Europe		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	734	$	1,588	$	2,703	$	5,565	$	10,590
Chocolate		743		1,901		4,840		255		7,739
Gum & Candy		938		953		916		1,140		3,947
Beverages		657		611		177		–		1,445
Cheese & Grocery		320		763		1,119		–		2,202

Total net revenues	$	3,392	$	5,816	$	9,755	$	6,960	$	25,923


	For the Year Ended December 31, 2015
	Latin						North
	America ⁽¹⁾		AMEA		Europe ⁽³⁾		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	1,605	$	1,539	$	2,680	$	5,569	$	11,393
Chocolate		840		1,928		5,050		256		8,074
Gum & Candy		1,091		1,003		1,015		1,149		4,258
Beverages ⁽²⁾		767		730		1,763		–		3,260
Cheese & Grocery		685		802		1,164		–		2,651

Total net revenues	$	4,988	$	6,002	$	11,672	$	6,974	$	29,636


	For the Year Ended December 31, 2014
	Latin						North
	America ⁽¹⁾		AMEA		Europe ⁽³⁾		America		Total ⁽¹⁾
	(in millions)

Biscuits	$	1,322	$	1,442	$	3,259	$	5,486	$	11,509
Chocolate		1,054		2,073		5,997		296		9,420
Gum & Candy		1,176		1,098		1,232		1,154		4,660
Beverages ⁽²⁾		940		836		3,902		–		5,678
Cheese & Grocery		661		918		1,398		–		2,977

Total net revenues	$	5,153	$	6,367	$	15,788	$	6,936	$	34,244

(1)

In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies – Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.

(2)

(3)

Quarterly Financial Data (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2016

Summary of Operating Results

Our summarized operating results by quarter are detailed below.


	2016 Quarters
	First			Second			Third			Fourth
	(in millions, except per share data)

Net revenues	$	6,455		$	6,302		$	6,396		$	6,770
Gross profit		2,535			2,516			2,488			2,589
Provision for income taxes		(49	)		(118	)		(40	)		78
Gain on equity method investment exchange		43			–			–			–
Equity method investment net earnings ⁽¹⁾		85			102			31			83

Net earnings ⁽²⁾	$	557		$	471		$	548		$	93
Noncontrolling interest		(3	)		(7	)		–			–

Net earnings attributable to Mondelēz International	$	554		$	464		$	548		$	93


Weighted-average shares for basic EPS		1,569			1,557			1,557			1,540
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		18			19			19			19

Weighted-average shares for diluted EPS		1,587			1,576			1,576			1,559


Per share data:
Basic EPS attributable to Mondelēz International:	$	0.35		$	0.30		$	0.35		$	0.06

Diluted EPS attributable to Mondelēz International:	$	0.35		$	0.29		$	0.35		$	0.06


Dividends declared	$	0.17		$	0.17		$	0.19		$	0.19

Market price - high	$	44.45		$	45.75		$	46.36		$	46.40
- low	$	35.88		$	39.53		$	41.96		$	40.50


	2015 Quarters
	First		Second			Third			Fourth
	(in millions, except per share data)

Net revenues	$	7,762	$	7,661		$	6,849		$	7,364
Gross profit		2,941		3,066			2,670			2,835
Provision for income taxes		113		100			348			32
Equity method investment net (losses) / earnings ⁽²⁾		–		–			(72	)		72

Net earnings / (loss) ⁽¹⁾	$	312	$	427		$	7,268		$	(716	)
Noncontrolling interest		12		(21	)		(2	)		(13	)

Net earnings / (loss) attributable to Mondelēz International	$	324	$	406		$	7,266		$	(729	)


Weighted-average shares for basic EPS		1,648		1,625			1,609			1,589
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17		18			20			21

Weighted-average shares for diluted EPS		1,665		1,643			1,629			1,610


Per share data:
Basic EPS attributable to Mondelēz International:	$	0.20	$	0.25		$	4.52		$	(0.46	)

Diluted EPS attributable to Mondelēz International ⁽³⁾:	$	0.19	$	0.25		$	4.46		$	(0.46	)


Dividends declared	$	0.15	$	0.15		$	0.17		$	0.17

Market price - high	$	37.88	$	41.81		$	48.58		$	47.42
- low	$	33.97	$	35.93		$	38.91		$	41.55

(1)

Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies – Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions – JDE Tax Matter Resolution.

(2)	See the following table for significant items that affected the comparability of earnings each quarter.

(3)	In the fourth quarter of 2015, we recorded a net loss, primarily due to the loss on deconsolidation of Venezuela and coffee business transaction final sales price adjustment. In accordance with U.S. GAAP, due to the net loss in the quarter, diluted EPS was equal to basic EPS.

Pre-Tax (Charges) / Gains in Earnings From Continuing Operations

During 2016 and 2015, we recorded the following pre-tax (charges) / gains in earnings from continuing operations:


	2016 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	(154	)	$	(166	)	$	(190	)	$	(342	)
Loss related to interest rate swaps		(97	)		–			–			–
Divestiture-related costs		–			(84	)		–			(2	)
Loss on early extinguishment of debt and related expenses		–			–			–			(427	)

	$	(251	)	$	(250	)	$	(190	)	$	(771	)


	2015 Quarters
	First			Second			Third			Fourth
	(in millions)

Asset impairment and exit costs	$	(160	)	$	(231	)	$	(155	)	$	(355	)
Remeasurement of net monetary assets in Venezuela		(11	)		–			–			–
Loss on deconsolidation of Venezuela		–			–			–			(778	)
Gains / (loss) on JDE coffee business transactions and divestiture		–			13			7,122			(313	)
JDE coffee business transactions currency- related net gain / (loss)		551			(144	)		29			–
Loss related to interest rate swaps		(34	)
Loss on early extinguishment of debt and related expenses		(713	)		–			–			(40	)

	$	(367	)	$	(362	)	$	6,996		$	(1,486	)

Summary of Significant Accounting Policies - Additional Information (Detail)
$ in Millions

3 Months Ended

6 Months Ended

12 Months Ended

Jun. 24, 2016

Dec. 16, 2015

Oct. 01, 2015

Dec. 31, 2016

USD ($)

Country

Sep. 30, 2016

USD ($)

Jun. 30, 2016

USD ($)

Mar. 31, 2016

USD ($)

Dec. 31, 2015

USD ($)

Sep. 30, 2015

USD ($)

Jun. 30, 2015

USD ($)

Mar. 31, 2015

USD ($)

Dec. 31, 2016

USD ($)

Country

Dec. 31, 2015

USD ($)

Dec. 31, 2016

USD ($)

Country

Segment

Dec. 31, 2015

USD ($)

Dec. 31, 2014

USD ($)

Summary Of Significant Accounting Policies [Line Items]

Number of countries in which products are sold | Country

165

Number of reportable segments | Segment

$ 83

^[1]

$ 31

^[1]

$ 102

^[1]

$ 85

^[1]

$ 72

^[2]

$ (72)

^[2]

$ 301

6,770

$ 6,396

$ 6,302

$ 6,455

7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[3]

$ 29,636

^[3]

$ 34,244

^[3]

Uncommitted revolving non-recourse accounts receivable factoring arrangements, maximum combined capacity

(778)

802

$ 802

802

Total incremental cost of factoring receivables

Outstanding principal amount of receivables sold under factoring arrangement

$ 745

$ 666

$ 745

$ 666

745

666

421

Change in accounting policy effect of change on net revenue

Change in accounting policy effect of change on operating results

Advertising expense

1,396

1,542

1,552

Research and development expense

$ 376

409

455

Minimum likelihood of tax benefits being recognized upon settlement

50.00%

Minimum

Summary Of Significant Accounting Policies [Line Items]

Number of countries in which entity operates | Country

Summary Of Significant Accounting Policies [Line Items]

Machinery and Equipment | Minimum

$ 1

Summary Of Significant Accounting Policies [Line Items]

Machinery and Equipment | Maximum

3 years

Summary Of Significant Accounting Policies [Line Items]

Buildings and Building Improvements | Maximum

20 years

Summary Of Significant Accounting Policies [Line Items]

Summary Of Significant Accounting Policies [Line Items]

40 years

Software | Maximum

Summary Of Significant Accounting Policies [Line Items]

7 years

United Kingdom, Pounds

Devalued percentage against US Dollar

9.00%

11.00%

Argentina, Pesos

Summary Of Significant Accounting Policies [Line Items]

Devalued percentage against US Dollar

36.00%

23.00%

Summary Of Significant Accounting Policies [Line Items]

1,217

$ 760

Summary Of Significant Accounting Policies [Line Items]

$ (778)

United Kingdom

Percentage of consolidated net revenues

$ 2,200

8.60%

Argentina

Summary Of Significant Accounting Policies [Line Items]

Percentage of consolidated net revenues

$ 583

2.20%

North America And Europe

Summary Of Significant Accounting Policies [Line Items]

Discount rate

6.70%

Latin America and AMEA

Summary Of Significant Accounting Policies [Line Items]

Discount rate

9.70%

[1]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.
[2]	See the following table for significant items that affected the comparability of earnings each quarter.
[3]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.

History of Remeasurement Losses, Deconsolidation Loss and Historical Operating Results and Financial Position of Venezuelan Subsidiaries (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

^[1]

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

$ 29,636

^[1]

$ 34,244

^[1]

$ (11)

(778)

Operating income (excluding remeasurement and deconsolidation losses)

1,217

760

266

181

Venezuela | Q1 2014: 6.30 to 10.70 bolivars to the U.S. dollar

(778)

Cash

^[2]

611

278

Net monetary assets

^[2]

405

236

Net assets

^[2]

$ 658

658

500

Venezuela | SICAD I remeasurements through December 31, 2014

(142)

Venezuela | Q1 2015: 11.50 to 12.00 bolivars to the U.S. dollar

$ (25)

$ (11)

[1]

[2]

Represents the financial position of our Venezuelan subsidiaries prior to the accounting change on December 31, 2015.

Divestitures and Acquisitions - Additional Information (Detail)
€ in Millions, £ in Millions, AUD in Millions, $ in Millions, ₫ in Billions, ¥ in Billions

3 Months Ended

6 Months Ended

12 Months Ended

18 Months Ended

Jan. 18, 2017

USD ($)

Jan. 18, 2017

AUD

Dec. 31, 2016

EUR (€)

Nov. 19, 2016

USD ($)

Nov. 02, 2016

GBP (£)

Oct. 31, 2016

USD ($)

Oct. 31, 2016

EUR (€)

Aug. 26, 2016

USD ($)

Aug. 22, 2016

USD ($)

Aug. 22, 2016

VND (₫)

Jul. 05, 2016

USD ($)

May 02, 2016

USD ($)

May 02, 2016

EUR (€)

Mar. 31, 2016

USD ($)

Mar. 07, 2016

USD ($)

Mar. 07, 2016

EUR (€)

Mar. 03, 2016

USD ($)

Jan. 31, 2016

USD ($)

Dec. 18, 2015

USD ($)

Dec. 18, 2015

EUR (€)

Jul. 02, 2015

USD ($)

Jul. 02, 2015

EUR (€)

Apr. 23, 2015

USD ($)

Apr. 23, 2015

JPY (¥)

Feb. 16, 2015

USD ($)

Dec. 31, 2016

USD ($)

Sep. 30, 2016

USD ($)

Sep. 30, 2016

EUR (€)

Jun. 30, 2016

USD ($)

Mar. 31, 2016

USD ($)

Dec. 31, 2015

USD ($)

Sep. 30, 2015

USD ($)

Jun. 30, 2015

USD ($)

Mar. 31, 2015

USD ($)

Jun. 30, 2016

Dec. 31, 2015

USD ($)

Jun. 30, 2015

USD ($)

Dec. 31, 2016

USD ($)

Dec. 31, 2016

EUR (€)

Dec. 31, 2015

USD ($)

Dec. 31, 2014

USD ($)

Dec. 31, 2016

USD ($)

Dec. 31, 2016

VND (₫)

Nov. 02, 2016

USD ($)

Jul. 19, 2016

EUR (€)

Jul. 15, 2015

Jul. 02, 2015

EUR (€)

Gains on coffee business transactions and divestiture

$ 313

$ (7,122)

$ (13)

$ 9

$ 6,822

Proceeds from coffee business divestiture currency hedge settlements

1,050

Net gain (loss) on coffee business divestiture currency hedges

$ 5,585

5,387

$ 5,387

5,585

5,387

$ 5,585

$ 97

(29)

144

$ (551)

436

$ 628

$ 84

Asset impairment and exit costs

(342)

$ (190)

(166)

(154)

(355)

(155)

(231)

(160)

852

901

692

Equity method investment, pro rata share of capital increase

544

Equity method investment dividend received

^[1]

102

^[1]

^[2]

(72)

^[2]

301

Spin-Off costs

138

Gain or loss on deconsolidation

137

(778)

20,276

20,664

20,276

20,664

23,389

20,276

6,770

6,396

6,302

6,455

7,364

6,849

7,661

$ 7,762

25,923

^[3]

29,636

^[3]

34,244

^[3]

Business acquisition costs

2,569

8,897

3,242

Tax Authority, Spain

Interest and penalties expected to be paid

€ 30

Derivatives Designated as Hedging Instruments | Currency Exchange Forward Contracts

Proceeds from coffee business divestiture currency hedge settlements

$ 1,000

Derivatives Designated as Hedging Instruments | Foreign Exchange Forward

Proceeds from coffee business divestiture currency hedge settlements

5,200

$ 1,000

Net gain (loss) on coffee business divestiture currency hedges

436

628

Acorn Holdings BV

Percentage of equity interest acquired by other parties

73.50%

Enjoy Life Foods

Business combination, consideration transferred

$ 81

Intangible assets acquired

Other net assets (liabilities) acquired

$ 3

Payment to acquire business gross

Burton's Biscuit Company

Cash paid for acquisition

£ 199

246

Business acquisition, definite-life intangible assets

$ 72

Business acquisition, property, plant and equipment

156

385

156

$ 156

Business acquisition, inventory

897

858

897

858

897

^[3],[4]

3,392

4,988

5,153

271

485

475

7,170

7,404

7,170

7,404

7,170

^[5]

9,755

11,672

^[6]

15,788

^[6]

1,267

1,350

1,952

8,885

8,865

8,885

8,865

8,885

6,960

6,974

6,936

Proceeds from sale of property

1,078

1,105

922

Corporate Aircraft | Corporate Segment

Proceeds from sale of property

Selling, general and administrative expenses | Europe And EEMEA segments

Selling, general and administrative expenses | North America Segment

278

Selling, general and administrative expenses | Corporate Aircraft | Corporate Segment

Gain on sale of property

Gain on sale of property

$ 6

Trademarks

Trademarks | Europe Segment

Trademarks | North America Segment

Coffee Business

Gains on coffee business transactions and divestiture

6,809

Settlement losses

(90)

Coffee Business | Europe And EEMEA segments

Asset impairment and exit costs

123

Japanese Coffee Joint Venture

Goodwill, Deconsolidation and Divestiture

$ 65

Sale of stock, percentage of ownership before transaction

50.00%

Divestiture of investment in joint venture

$ 99

After-tax gain (loss) on equity method investment

Divested cumulative translation losses in connection with the sale

$ 41

Proceeds from divestiture of interest

$ 225

¥ 27

Amount of expenses associated with business disposal

Vietnam

Cash paid for acquisition

569

₫ 12,404

Percentage of equity interest acquired

20.00%

80.00%

Remaining interest in biscuit operation to be acquired

20.00%

Escrow deposit

$ 70

Escrowed retained amount

Payment for the non-compete and continued consulting agreements

$ 35

₫ 759

121

Vietnam | Selling, general and administrative expenses

Business acquisition costs

Business integration costs

United States

United States | Trademarks | Selling, general and administrative expenses

6,329

6,302

6,143

Pre-tax gain after transaction costs

$ 7

Class A | Acorn Holdings BV

Percentage of equity interest acquired by other parties

73.50%

73.22%

Class C,D and E | Acorn Holdings BV

Percentage of equity interest acquired by other parties

0.38%

Final Valuation | Vietnam

Business acquisition, property, plant and equipment

385

Business acquisition, inventory

Intangible assets acquired

Other net assets (liabilities) acquired

$ 31

Discontinued Operations, Held-for-sale | Australia And New Zealand

Disposal group, including discontinued operation, other current assets

Disposal group, including discontinued operation, other non current assets

125

Discontinued Operations, Held-for-sale | FRANCE

€ 225

237

Disposal group, including discontinued operation, other current assets

€ 176

185

125

Disposal group, including discontinued operation, other non current assets

174

Disposal group, including discontinued operation, other current liabilities

Disposal group, including discontinued operation, other non current liabilities

$ 29

Discontinued Operations, Held-for-sale | FRANCE | Cost of sales and selling, general and administrative expenses

Discontinued Operations, Held-for-sale | FRANCE | Trademarks

Discontinued Operations, Held-for-sale | BELGIUM | Confectionery Business in Costa Rica and Chocolate Factory in Belgium

$ 14

Gain or loss on deconsolidation

€ 13

Fixed asset impairment charge

Disposal group, not discontinued operation, gain (loss) on disposal

€ 22

Discontinued Operations, Held-for-sale | COSTA RICA | Confectionery Business in Costa Rica and Chocolate Factory in Belgium | Latin America Segment

Gain or loss on deconsolidation

$ 28

Property, plant and equipment, divested

Goodwill, Deconsolidation and Divestiture

Inventory, divested

$ 2

Discontinued Operations, Held-for-sale | FINLAND

$ 16

€ 14

Pre-tax gain after transaction costs

$ 2

€ 2

€ 12

Indefinite-lived Intangible assets, divested

Gain after transaction costs, net of tax

Discontinued Operations, Held-for-sale | FINLAND | Selling, general and administrative expenses | Europe Segment

Pre-tax gain after transaction costs

Gain after transaction costs, net of tax

Discontinued Operations, Disposed of by Sale | FINLAND

Indefinite-lived Intangible assets, divested

Discontinued Operations, Disposed of by Sale | Russia | Manufacturing Plant

Fixed asset impairment charge

$ 4

Amount of expenses associated with property disposal

Proceeds from sale of property

$ 6

Maximum | Discontinued Operations, Held-for-sale | FINLAND

$ 1

Subsequent Event | Discontinued Operations, Held-for-sale | Australia And New Zealand

Other assets, divested

$ 1

$ 346

AUD 460

JDE Coffee Business

43.50%

Divestiture of business, receivable

$ 275

$ 4,200

€ 3,800

794

Cash and receivables recorded related to the reimbursement of costs incurred from separating a business

283

Gains on coffee business transactions and divestiture

$ 7,100

6,800

Gains on coffee business transactions and divestiture, after tax

6,600

Deconsolidated net assets

2,900

Settlement losses

Reduction in pre-tax gain on coffee business transactions and divestiture

$ 313

$ 4,500

€ 4,100

JDE Coffee Business | Tax Authority, Spain

$ 100

(58)

Unfavorable tax expense | €

€ 114

JDE Coffee Business | Operating Income (Loss)

Income loss from equity method investments before tax

296

572

342

646

JDE

Equity method investment, pro rata share of capital increase

26.50%

26.40%

$ 544

€ 499

Stock-based compensation, dilution percentage

2.00%

$ 43

JDE | Acorn Holdings BV

Carrying value of equity method investments exchanged

$ 2,000

€ 1,700

JDE | Class B

26.50%

26.40%

JDE | Minimum | Class B

26.27%

JDE | Non-cash

Equity method investment, pro rata share of capital increase

501

460

JDE | Cash

Equity method investment, pro rata share of capital increase

$ 43

€ 39

Keurig Green Mountain Inc.

24.20%

Equity method investments and shareholders loan receivable

$ 1,600

2,000

Shareholder loan receivable

$ 400

Shareholder loan receivable, interest rate

5.50%

Shareholder loan receivable, loan term

7 years

Interest payments received on shareholder loan

$ 97

Equity method investment dividend received

Keurig Green Mountain Inc. | Acorn Holdings BV

Business combination, consideration transferred

$ 13,900

Keurig Green Mountain Inc. | Equity Earnings

Keurig Green Mountain Inc. | Interest Income

Dongsuh Foods Corporation

Dongsuh Foods Corporation | Operating Income (Loss)

Other Equity Investments

Other Equity Investments | Operating Income (Loss)

$ 29

$ 21

Summary Balance Sheet for Equity Method Investments

$ 16

$ 30

[1]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.
[2]	See the following table for significant items that affected the comparability of earnings each quarter.
[3]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[4]	Net revenues of $1,217 million for 2015 and $760 million for 2014 from our Venezuelan subsidiaries are included in our consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our consolidated financial statements. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[5]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[6]	During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

Summary Financial Information for Equity Method Investments (Detail) - USD ($)
$ in Millions

3 Months Ended

6 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

^[1]

Jun. 30, 2016

^[1]

Mar. 31, 2016

^[1]

Dec. 31, 2015

Sep. 30, 2015

^[2]

Dec. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Summary Statement of Operations for Equity Method Investments

$ 5,585

$ 5,387

$ 5,585

$ 5,387

^[1]

$ 31

$ 102

$ 85

^[2]

$ (72)

301

Summary Statement of Operations for Equity Method Investments

Jacobs Douwe Egberts and Other Equity Method Investment

Summary Balance Sheet for Equity Method Investments

Current assets

4,458

3,943

4,458

3,943

Noncurrent assets

35,089

20,936

35,089

20,936

39,547

24,879

39,547

24,879

Current liabilities

4,148

2,779

4,148

2,779

Noncurrent liabilities

16,472

9,880

16,472

9,880

Total liabilities

20,620

12,659

20,620

12,659

Keurig shareholder loan

440

Summary Statement of Operations for Equity Method Investments

5,585

5,387

5,585

5,387

Income from continuing operations

10,923

4,993

$ 2,721

Gross profit

4,219

1,551

921

839

226

Net income

839

226

Jacobs Douwe Egberts and Other Equity Method Investment | Interest Income

^[3]

301

113

Summary Statement of Operations for Equity Method Investments

Jacobs Douwe Egberts and Other Equity Method Investment | Investee

Summary Balance Sheet for Equity Method Investments

Total net equity of investees

18,927

12,220

18,927

12,220

Summary Statement of Operations for Equity Method Investments

^[4]

$ 5,145

$ 5,387

5,145

5,387

Net income

838

226

Jacobs Douwe Egberts and Other Equity Method Investment | Minimum

$ 281

$ 56

$ 113

Summary Statement of Operations for Equity Method Investments

Mondelz International ownership interests

24.00%

40.00%

24.00%

40.00%

Jacobs Douwe Egberts and Other Equity Method Investment | Maximum

Summary Statement of Operations for Equity Method Investments

Mondelz International ownership interests

50.00%

[1]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.
[2]	See the following table for significant items that affected the comparability of earnings each quarter.
[3]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. For the six months ended December 31, 2015, after-tax equity method investment net earnings were less than $1 million on a combined basis. Earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015 and $113 million for the year ended December 31, 2014. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information.
[4]	Includes approximately $325 million of basis differences between the U.S. GAAP accounting basis for our equity method investments and the U.S. GAAP accounting basis of our investees' equity.

Summary Financial Information for Equity Method Investments (Parenthetical) (Detail) - USD ($)
$ in Millions

3 Months Ended

6 Months Ended

12 Months Ended

Dec. 31, 2016

^[1]

Sep. 30, 2016

^[1]

Jun. 30, 2016

^[1]

Mar. 31, 2016

^[1]

Dec. 31, 2015

^[2]

Sep. 30, 2015

^[2]

Dec. 31, 2015

Jul. 02, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Schedule of Equity Method Investments [Line Items]

$ 83

$ 31

$ 102

$ 85

$ 72

$ (72)

$ 301

2,569

$ 8,897

$ 3,242

Schedule of Equity Method Investments [Line Items]

$ 1

Schedule of Equity Method Investments [Line Items]

US GAAP basis difference from equity method investments

$ 56

$ 113

Schedule of Equity Method Investments [Line Items]

Basis Differences

$ 325

$ 335

[1]

Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.

[2]

See the following table for significant items that affected the comparability of earnings each quarter.

Components of Inventories (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Inventory [Line Items]
Raw materials	$ 722	$ 782
Finished product	1,865	1,930
Inventory, Gross, Total	2,587	2,712
Inventory reserves	(118)	(103)
Inventories, net	$ 2,469	$ 2,609

Property, Plant and Equipment (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 14,687	$ 14,554
Accumulated depreciation	(6,458)	(6,192)
Property, plant and equipment, net	8,229	8,362
Land and Land Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	471	495
Buildings and Building Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	2,801	2,753
Machinery and Equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	10,302	10,044
Construction in Progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 1,113	$ 1,262

Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Capital expenditures	$ 1,224	$ 1,514	$ 1,642
Accrued capital expenditures unpaid	343
Payments for capital expenditures accrued in the prior year	322
Asset impairments and accelerated depreciation	446	345	240
2014-2018 Restructuring Program
Property, Plant and Equipment [Line Items]
Asset impairments and accelerated depreciation	$ 301	$ 264	$ 173

Summary of Asset Impairment and Exit Costs (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	$ 446	$ 345	$ 240
2014-2018 Restructuring Program
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	301	264	173
2014-2018 Restructuring Program \| Latin America Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	22	46	14
2014-2018 Restructuring Program \| Asia Middle East Africa Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	44	88	34
2014-2018 Restructuring Program \| Europe Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	122	65	42
2014-2018 Restructuring Program \| North America Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	111	$ 65	$ 83
2014-2018 Restructuring Program \| Corporate Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	$ 2

Goodwill by Segment (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Goodwill	$ 20,276	$ 20,664	$ 23,389
Latin America Segment
Segment Reporting Information [Line Items]
Goodwill	897	858
Asia Middle East Africa Segment
Segment Reporting Information [Line Items]
Goodwill	3,324	3,537
Europe Segment
Segment Reporting Information [Line Items]
Goodwill	7,170	7,404
North America Segment
Segment Reporting Information [Line Items]
Goodwill	$ 8,885	$ 8,865

Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Intangible Assets [Line Items]
Non-amortizable intangible assets	$ 17,004	$ 17,527
Amortizable intangible assets	2,315	2,320
Total intangible assets, gross	19,319	19,847	$ 21,335
Accumulated amortization	(1,218)	(1,079)
Intangible assets, net	$ 18,101	$ 18,768

Goodwill and Intangible Assets - Additional Information (Detail) $ in Millions			9 Months Ended	12 Months Ended
	Jul. 02, 2015 USD ($)	Apr. 23, 2015 USD ($)	Sep. 30, 2016 USD ($)	Dec. 31, 2016 USD ($) Brand	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 01, 2016 USD ($)	Nov. 02, 2016 USD ($)	May 02, 2016 USD ($)	Feb. 16, 2015 USD ($)
Goodwill and Intangible Assets Disclosure [Line Items]
Amortization expense for intangible assets				$ 176	$ 181	$ 206
Estimated amortization expense in year 1				171
Estimated amortization expense in year 2				171
Estimated amortization expense in year 3				171
Estimated amortization expense in year 4				171
Estimated amortization expense in year 5				171
Goodwill, Deconsolidation and Divestiture				4	1,729
Intangible Assets,Deconsolidation and Divestiture				8
Business acquisition, goodwill				20,276	20,664	23,389
Business acquisition, goodwill adjustments				80	481
Intangible asset impairment				137	83	57
Impairment of goodwill				$ 0	0	0
Number of brands \| Brand				5
Intangible asset, aggregate book value				$ 17,004	17,527
Coffee Business
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill, Deconsolidation and Divestiture	$ 1,664
Japanese Coffee Joint Venture
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill, divested		$ 65
Sale of stock, percentage of ownership before transaction		50.00%
Europe Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill				7,170	7,404
Intangible asset impairment				22	22	9
North America Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill				8,885	8,865
Intangible asset impairment				32
Asia Middle East Africa Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill				3,324	3,537
Intangible asset impairment				41	44	$ 48
Latin America Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill				897	858
Intangible asset impairment				3	5
Enjoy Life Foods
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill										$ 20
Intangible assets acquired										$ 58
Burton's Biscuit Company
Goodwill and Intangible Assets Disclosure [Line Items]
Business acquisition, goodwill			$ 385	156				$ 156
Business acquisition, definite-life intangible assets				72				$ 72
Business acquisition, goodwill adjustments			$ 76
Vietnam
Goodwill and Intangible Assets Disclosure [Line Items]
Finite-lived intangible assets acquired				25
Indefinite-lived intangible assets acquired				61
Trademarks
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment				98
Intangible asset, aggregate book value				630
Trademarks \| Europe Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment				19
Trademarks \| Europe Segment \| Planned Sale of Confectionery Business in France
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment				20
Trademarks \| North America Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment				19
Trademarks \| Asia Middle East Africa Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment				$ 19
Trademarks \| Venezuela
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment					$ 12
Discontinued Operations, Disposed of by Sale \| COSTA RICA \| Sale Of Confectionery Business In Costa Rica
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill, divested							$ 4
Discontinued Operations, Disposed of by Sale \| FINLAND
Goodwill and Intangible Assets Disclosure [Line Items]
Indefinite-lived Intangible assets, divested									$ 8
Weighted Average
Goodwill and Intangible Assets Disclosure [Line Items]
Life of our amortizable intangible assets (in years)				13 years 6 months
Maximum \| Coffee Business
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible Assets,Deconsolidation and Divestiture	$ 1

Changes in Goodwill and Intangible Assets (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Goodwill And Intangible Assets [Line Items]
Goodwill beginning balance	$ 20,664	$ 23,389
Goodwill, Currency	(464)	(1,477)
Goodwill, written off related to sale of business unit	(4)	(1,729)
Goodwill, Acquisition	80	481
Goodwill, Asset impairments	0	0	$ 0
Goodwill, Other	0	0
Goodwill ending balance	20,276	20,664	23,389
Intangible Assets, at Cost beginning balance	19,847	21,335
Intangible Assets, Currency	(540)	(1,462)
Intangible Assets, Written off related to divested business unit	(8)
Intangible Assets, Acquisition	158	58
Intangible Assets, Asset impairments	(137)	(83)	(57)
Intangible Assets, Other	(1)	(1)
Intangible Assets, at Cost ending balance	$ 19,319	$ 19,847	$ 21,335

Restructuring Programs - Additional Information (Detail) - USD ($)

12 Months Ended

32 Months Ended

36 Months Ended

Aug. 31, 2016

May 06, 2014

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Dec. 31, 2016

Dec. 31, 2014

Severance and Related Costs

Capital expenditures

$ 1,224,000,000

$ 1,514,000,000

$ 1,642,000,000

73,000,000

Restructuring and related cost, cost incurred

925,000,000

$ 925,000,000

459,000,000

899,000,000

^[1]

(4,000,000)

360,000,000

729,000,000

^[1]

21,000,000

66,000,000

6,000,000

4,000,000

19,000,000

47,000,000

128,000,000

$ 19,000,000

128,000,000

Restructuring and related activities, authorized amount

99,000,000

170,000,000

^[1]

$ 1,500,000,000

Restructuring and related cost, cost incurred

899,000,000

Reversal to restructuring charges

4,000,000

2012-2014 Restructuring Program | Selling, general and administrative expenses

2012-2014 Restructuring Program | Other current liabilities

99,000,000

2012-2014 Restructuring Program | Maximum | Other liabilities

18,000,000

2012-2014 Restructuring Program | Severance and Related Costs

1,000,000

(4,000,000)

21,000,000

66,000,000

6,000,000

4,000,000

19,000,000

47,000,000

128,000,000

19,000,000

128,000,000

Reallocation of previously approved capital expenditures to be spent on restructuring program cash costs

$ 5,700,000,000

600,000,000

Restructuring and related cost, cost incurred

1,086,000,000

1,002,000,000

381,000,000

2,469,000,000

^[2]

714,000,000

711,000,000

274,000,000

1,699,000,000

^[2]

315,000,000

243,000,000

321,000,000

273,000,000

464,000,000

395,000,000

224,000,000

464,000,000

224,000,000

2014-2018 Restructuring Program | Selling, general and administrative expenses

372,000,000

291,000,000

107,000,000

770,000,000

^[2]

2014-2018 Restructuring Program | Other current liabilities

372,000,000

291,000,000

107,000,000

2014-2018 Restructuring Program | Other liabilities

379,000,000

2014-2018 Restructuring Program | Maximum

85,000,000

2014-2018 Restructuring Program | Restructuring Program Costs

Capital expenditures

1,600,000,000

$ 2,200,000,000

2014-2018 Restructuring Program | Cash Expense

4,100,000,000

3,500,000,000

2014-2018 Restructuring Program | Non Cash Expense

3,100,000,000

2,500,000,000

2014-2018 Restructuring Program | Severance and Related Costs

1,000,000,000

$ 1,000,000,000

402,000,000

442,000,000

315,000,000

243,000,000

9,000,000

4,000,000

2014-2018 Restructuring Program | Cash Outlays

$ 464,000,000

$ 395,000,000

224,000,000

$ 464,000,000

$ 224,000,000

2014 Restructuring Charges | Severance and Related Costs

$ 4,700,000,000

2013 Restructuring Charges | Severance and Related Costs

$ 52,000,000

$ 21,000,000

[1]	Includes all charges recorded since program inception in 2012 through conclusion on December 31, 2014.
[2]	Includes all charges recorded since program inception on May 6, 2014 through December 31, 2016.

Schedule of Restructuring Costs (Detail) - USD ($)
$ in Millions

12 Months Ended

32 Months Ended

36 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2016

Dec. 31, 2014

$ 47

$ 128

(4)

$ 360

$ 729

^[1]

(21)

(66)

(6)

(4)

(1)

(7)

128

$ 19

128

395

224

714

711

274

1,699

^[2]

(315)

(243)

(321)

(273)

(9)

(24)

Severance and Related Costs

464

395

224

464

224

Severance and Related Costs | 2012-2014 Restructuring Program

128

(4)

(21)

(66)

(6)

(4)

(1)

(7)

Severance and Related Costs | 2014-2018 Restructuring Program

128

395

224

402

442

(315)

(243)

(9)

(4)

(9)

(24)

Asset Write-Downs | 2014-2018 Restructuring Program

464

395

$ 224

$ 464

$ 224

312

269

$ (312)

$ (269)

[1]	Includes all charges recorded since program inception in 2012 through conclusion on December 31, 2014.
[2]	Includes all charges recorded since program inception on May 6, 2014 through December 31, 2016.

Restructuring and Implementation Costs (Detail) - USD ($)
$ in Millions

12 Months Ended

32 Months Ended

36 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2016

^[2]

Dec. 31, 2014

$ (4)

$ 360

$ 729

^[1]

170

^[1]

459

899

^[1]

$ 714

711

274

$ 1,699

372

291

107

770

Operating Segments | 2012-2014 Restructuring Program | Latin America Segment

1,086

1,002

381

2,469

^[1]

^[1]

Operating Segments | 2012-2014 Restructuring Program | Asia Middle East Africa Segment

^[1]

^[1]

^[1]

Operating Segments | 2012-2014 Restructuring Program | Europe Segment

^[1]

162

271

^[1]

^[1]

Operating Segments | 2012-2014 Restructuring Program | North America Segment

216

361

^[1]

113

337

^[1]

^[1]

Operating Segments | 2014-2018 Restructuring Program | Latin America Segment

145

402

^[1]

111

145

337

109

Operating Segments | 2014-2018 Restructuring Program | Asia Middle East Africa Segment

165

184

446

181

307

Operating Segments | 2014-2018 Restructuring Program | Europe Segment

144

207

393

310

243

649

204

Operating Segments | 2014-2018 Restructuring Program | North America Segment

398

321

134

853

^[3]

183

114

354

^[3]

121

195

Corporate | 2012-2014 Restructuring Program

^[3]

304

183

549

^[1],[4]

^[4]

^[1]

Corporate | 2014-2018 Restructuring Program

^[4]

$ 6

^[1]

^[4]

^[4]

176

^[4]

$ 75

$ 107

$ 46

$ 228

[1]	Includes all charges recorded since program inception in 2012 through conclusion on December 31, 2014.
[2]	Includes all charges recorded since program inception on May 6, 2014 through December 31, 2016.
[3]	During 2016, our North America region implementation costs included incremental costs that we incurred related to re-negotiating collective bargaining agreements that expired at the end of February 2016 for eight U.S. facilities and related to executing business continuity plans for the North America business.
[4]	Includes adjustment for rounding.

Short-Term Borrowings and Related Weighted-Average Interest Rates (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Short-term Debt [Line Items]
Amount outstanding	$ 2,531	$ 236
Commercial Paper
Short-term Debt [Line Items]
Amount outstanding	$ 2,371
Weighted-average rate	1.00%	0.00%
Bank Loans
Short-term Debt [Line Items]
Amount outstanding	$ 160	$ 236
Weighted-average rate	10.60%	9.50%

Debt and Borrowing Arrangements - Additional Information (Detail) € in Millions, £ in Millions, SFr in Millions																3 Months Ended			12 Months Ended
	Dec. 16, 2016 USD ($)	Oct. 28, 2016 USD ($)	Oct. 19, 2016 USD ($)	Oct. 14, 2016 USD ($)	Feb. 09, 2016 USD ($)	Jan. 26, 2016 USD ($)	Jan. 21, 2016 USD ($)	Nov. 30, 2015 USD ($)	Nov. 25, 2015 USD ($)	Oct. 06, 2015 USD ($)	Jun. 11, 2015 EUR (€)	Mar. 30, 2015 USD ($)	Mar. 20, 2015 USD ($)	Mar. 20, 2015 EUR (€)	Mar. 06, 2015 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Mar. 31, 2015 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Oct. 31, 2016 USD ($)	Jan. 31, 2016 USD ($)	Jan. 26, 2016 CHF (SFr)	Jan. 21, 2016 EUR (€)	Nov. 30, 2015 GBP (£)	Nov. 25, 2015 GBP (£)	Oct. 06, 2015 CHF (SFr)	Mar. 30, 2015 CHF (SFr)	Mar. 06, 2015 GBP (£)	Mar. 06, 2015 EUR (€)
Debt Instrument [Line Items]
Revolving credit facility debt covenant																			$ 24,600,000,000
Deferred debt issuance costs																$ 40,000,000	$ 46,000,000		40,000,000	$ 46,000,000	$ 44,000,000
Unamortized non-cash bond premiums, discounts, bank fees and mark-to-market adjustments																			(69,000,000)
Debt instrument, principal amount																			6,186,000,000	4,975,000,000	3,017,000,000
Loss on extinguishment of debt																			(428,000,000)	(748,000,000)	$ (493,000,000)
Cash tender offer amount													$ 2,500,000,000
Carrying value of total debt																$ 17,199,000,000	$ 15,398,000,000		$ 17,199,000,000	$ 15,398,000,000
Weighted-average interest rate																2.20%	3.70%		2.20%	3.70%	4.30%
Fair value of total debt																$ 17,882,000,000	$ 15,908,000,000		$ 17,882,000,000	$ 15,908,000,000
International Subsidiaries
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity																1,800,000,000	1,900,000,000		1,800,000,000	1,900,000,000
Line of credit facility outstanding amount																160,000,000	236,000,000		160,000,000	236,000,000
Revolving Credit Facility, October 11, 2018
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity																4,500,000,000			$ 4,500,000,000
Revolving credit facility expiration date				Oct. 11, 2021															Oct. 11, 2018
Revolving credit facility debt covenant terms																			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.
Revolving credit facility debt covenant compliance																			At December 31, 2016, we complied with this covenant
Total shareholders' equity, excluding accumulated other comprehensive earnings / (losses)																36,300,000,000			$ 36,300,000,000
Line of credit facility outstanding amount																0			$ 0
Bank Term Loan Facility
Debt Instrument [Line Items]
Carrying value of total debt				$ 1,500,000,000
Three-year maturity \| Bank Term Loan Facility
Debt Instrument [Line Items]
Carrying value of total debt				$ 750,000,000
Debt instrument, description																			On October 25, 2016, we also gave notice of our intent to terminate the $750 million loan with the three-year maturity.
Debt instrument, maturity term				3 years
Five-year maturity \| Bank Term Loan Facility
Debt Instrument [Line Items]
Carrying value of total debt				$ 750,000,000
Debt instrument, maturity term				5 years
Maximum \| Commercial Paper
Debt Instrument [Line Items]
Commercial paper, Maturity period																			88 days
Minimum \| Commercial Paper
Debt Instrument [Line Items]
Commercial paper, Maturity period																			3 days
Swiss franc notes
Debt Instrument [Line Items]
Debt instrument, principal amount						$ 399,000,000				$ 410,000,000								$ 694,000,000						SFr 400				SFr 400	SFr 675
Net proceeds from issuance of notes						398,000,000						$ 675,000,000							$ 410,000,000
Discounts and deferred financing costs						$ 1,000,000						$ 2,000,000
Swiss franc notes \| Maximum
Debt Instrument [Line Items]
Discounts and deferred financing costs																1,000,000			1,000,000
Euro notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| €											€ 400
Debt instrument, principal amount \| €																									€ 700
Euro-denominated notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| €																															€ 2,000
Euro-denominated notes \| 6.250% Senior Notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| €														€ 850
Debt instrument interest rate													6.25%
Tender Offer
Debt Instrument [Line Items]
Loss on extinguishment of debt																		(708,000,000)
Gain / (loss) recognized in income on fair value of hedges																			1,000,000
Tender Offer \| Cash Flow Hedges \| Interest rate contracts
Debt Instrument [Line Items]
Interest expense													$ 5,000,000
Tender Offer \| 6.500% Notes due in August 2017
Debt Instrument [Line Items]
Debt instrument interest rate													6.50%
Debt instrument repurchased, principal amount													$ 102,000,000
Debt instrument expiration													2017-08	2017-08
Tender Offer \| 6.125% Notes due in February 2018
Debt Instrument [Line Items]
Debt instrument interest rate													6.125%
Debt instrument repurchased, principal amount													$ 115,000,000
Debt instrument expiration													2018-02	2018-02
Tender Offer \| 6.125% Notes due in August 2018
Debt Instrument [Line Items]
Debt instrument interest rate													6.125%
Debt instrument repurchased, principal amount													$ 80,000,000
Debt instrument expiration													2018-08	2018-08
Tender Offer \| 5.375% Notes due in February 2020
Debt Instrument [Line Items]
Debt instrument interest rate													5.375%
Debt instrument repurchased, principal amount													$ 691,000,000
Debt instrument expiration													2020-02	2020-02
Tender Offer \| 6.500% Notes due in November 2031
Debt Instrument [Line Items]
Debt instrument interest rate													6.50%
Debt instrument repurchased, principal amount													$ 201,000,000
Debt instrument expiration													2031-11	2031-11
Tender Offer \| 7.000% Notes due in August 2037
Debt Instrument [Line Items]
Debt instrument interest rate													7.00%
Debt instrument repurchased, principal amount													$ 26,000,000
Debt instrument expiration													2037-08	2037-08
Tender Offer \| 6.875% Notes due in February 2038
Debt Instrument [Line Items]
Debt instrument interest rate													6.875%
Debt instrument repurchased, principal amount													$ 71,000,000
Debt instrument expiration													2038-02	2038-02
Tender Offer \| 6.875% Notes due in January 2039
Debt Instrument [Line Items]
Debt instrument interest rate													6.875%
Debt instrument repurchased, principal amount													$ 69,000,000
Debt instrument expiration													2039-01	2039-01
Tender Offer \| 6.500% Notes due in February 2040
Debt Instrument [Line Items]
Debt instrument interest rate													6.50%
Debt instrument repurchased, principal amount													$ 1,143,000,000
Debt instrument expiration													2040-02	2040-02
Euro-denominated and British pound sterling-denominated notes
Debt Instrument [Line Items]
Debt instrument, principal amount															$ 2,800,000,000			$ 2,800,000,000
Net proceeds from issuance of notes															2,890,000,000
Discounts and deferred financing costs															$ 29,000,000
4.125% U.S. dollar Notes
Debt Instrument [Line Items]
Debt instrument, principal amount					$ 1,750,000,000
Debt instrument, principal amount																							$ 1,150,000,000
Debt instrument interest rate					4.125%
1.625% Notes Due 2023
Debt Instrument [Line Items]
Debt instrument maturity Year							Jan. 20, 2023
Debt instrument, principal amount							$ 760,000,000																		€ 700
Debt instrument interest rate							1.625%																		1.625%
Net proceeds from issuance of notes							$ 752,000,000
Discounts and deferred financing costs							$ 8,000,000
Seven Point Two Five Zero Percent Notes
Debt Instrument [Line Items]
Cash tender offer amount								$ 372,000,000																		£ 247
Debt instrument interest rate								7.25%																		7.25%
Debt instrument maturity Year								2018-07
Four Point Five Zero Zero Percent Notes
Debt Instrument [Line Items]
Debt instrument maturity Year									Dec. 03, 2035
Loss on extinguishment of debt																	(40,000,000)
Debt instrument, principal amount																	$ 609,000,000			$ 609,000,000							£ 400
Debt instrument interest rate									4.50%																		4.50%
Net proceeds from issuance of notes									$ 604,000,000
Discounts and deferred financing costs									$ 5,000,000
2.250% Fixed Rate Notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 850,000,000
Debt instrument, fixed interest rate	2.25%
Debt instrument maturity Year	Feb. 01, 2019
Debt instrument redemption amount	$ 866,000,000
Accrued interest	7,000,000
Loss on extinguishment of debt	$ (19,000,000)
US Dollar, Euro and British Pound Sterling-denominated Notes
Debt Instrument [Line Items]
Cash tender offer amount																						$ 3,180,000,000
Notes
Debt Instrument [Line Items]
Loss on extinguishment of debt																(409,000,000)
Debt instrument, principal amount		$ 3,750,000,000
Notes \| Mondelez International Holdings Netherlands BV
Debt Instrument [Line Items]
Deferred debt issuance costs																$ 20,000,000			$ 20,000,000
Debt instrument, principal amount			$ 3,750,000,000
Net proceeds from issuance of notes		$ 3,730,000,000
1.625% Notes Due on October 28, 2019 \| Mondelez International Holdings Netherlands BV
Debt Instrument [Line Items]
Debt instrument maturity Year			Oct. 28, 2019
Debt instrument, principal amount			$ 1,750,000,000
Debt instrument interest rate			1.625%
Floating Rate Notes Due on October 28, 2019 \| Mondelez International Holdings Netherlands BV
Debt Instrument [Line Items]
Debt instrument maturity Year			Oct. 28, 2019
Debt instrument, principal amount			$ 500,000,000
2.0% Notes Due on October 28, 2021 \| Mondelez International Holdings Netherlands BV
Debt Instrument [Line Items]
Debt instrument maturity Year			Oct. 28, 2021
Debt instrument, principal amount			$ 1,500,000,000
Debt instrument interest rate			2.00%
0.080% Fixed Rate Notes, mature on January 26, 2018
Debt Instrument [Line Items]
Debt instrument, fixed interest rate						0.08%																		0.08%
Debt instrument maturity Year						Jan. 26, 2018
Debt instrument, principal amount						$ 249,000,000																		SFr 250
0.650% Fixed Rate Notes, mature on July 26, 2022
Debt Instrument [Line Items]
Debt instrument, fixed interest rate						0.65%																		0.65%
Debt instrument maturity Year						Jul. 26, 2022
Debt instrument, principal amount						$ 150,000,000																		SFr 150
0.625% Fixed Rate Notes, mature on October 6, 2020
Debt Instrument [Line Items]
Debt instrument, fixed interest rate										0.625%																		0.625%
Debt instrument maturity Year										Oct. 06, 2020
Debt instrument, principal amount										$ 138,000,000																		SFr 135
1.125% Fixed Rate Notes, mature on December 21, 2023
Debt Instrument [Line Items]
Debt instrument, fixed interest rate										1.125%																		1.125%
Debt instrument maturity Year										Dec. 21, 2023
Debt instrument, principal amount										$ 272,000,000																		SFr 265
0.000% Fixed Rate Notes, mature on March 30, 2017
Debt Instrument [Line Items]
Debt instrument, fixed interest rate												0.00%																	0.00%
Debt instrument maturity Year												Mar. 30, 2017
Debt instrument, principal amount												$ 180,000,000																	SFr 175
0.625% Fixed Rate Notes, mature on December 30, 2021
Debt Instrument [Line Items]
Debt instrument, fixed interest rate												0.625%																	0.625%
Debt instrument maturity Year												Dec. 30, 2021
Debt instrument, principal amount												$ 308,000,000																	SFr 300
1.125% Fixed Rate Notes, mature on December 30, 2025
Debt Instrument [Line Items]
Debt instrument, fixed interest rate												1.125%																	1.125%
Debt instrument maturity Year												Dec. 30, 2025
Debt instrument, principal amount												$ 206,000,000																	SFr 200
British pound sterling-denominated notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| £																														£ 450
1.000% Fixed rate notes, due March 7, 2022
Debt Instrument [Line Items]
Debt instrument, fixed interest rate															1.00%															1.00%	1.00%
Debt instrument maturity Year															Mar. 07, 2022
Debt instrument, principal amount															$ 537,000,000																€ 500
1.625% Fixed rate notes due , March 8, 2027
Debt Instrument [Line Items]
Debt instrument, fixed interest rate															1.625%															1.625%	1.625%
Debt instrument maturity Year															Mar. 08, 2027
Debt instrument, principal amount															$ 805,000,000																€ 750
2.375% Fixed rate notes, due March 6, 2035
Debt Instrument [Line Items]
Debt instrument, fixed interest rate															2.375%															2.375%	2.375%
Debt instrument maturity Year															Mar. 06, 2035
Debt instrument, principal amount															$ 805,000,000																€ 750
3.875% Fixed rate notes, due March 6, 2045
Debt Instrument [Line Items]
Debt instrument, fixed interest rate															3.875%															3.875%	3.875%
Debt instrument maturity Year															Mar. 06, 2045
Debt instrument, principal amount															$ 667,000,000															£ 450

Long-Term Debt (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
U.S. Dollar notes	$ 8,812	$ 8,371
Notes payable	14,737
Capital leases and other obligations	9	12
Total	14,668	15,162
Less current portion of long-term debt	(1,451)	(605)
Long-term debt	13,217	14,557
Euro notes
Debt Instrument [Line Items]
Notes payable	3,980	4,305
Pound sterling notes
Debt Instrument [Line Items]
Notes payable	418	1,399
Swiss franc notes
Debt Instrument [Line Items]
Notes payable	$ 1,449	$ 1,075

Long-Term Debt (Parenthetical) (Detail)	12 Months Ended
Long-Term Debt (Parenthetical) (Detail)	Dec. 31, 2016
Notes (USD)
Debt Instrument [Line Items]
Maturity date	2040
Notes (USD) \| Minimum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	0.881%
Notes (USD) \| Maximum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	7.00%
Notes (USD) \| Weighted Average
Debt Instrument [Line Items]
Debt instrument, effective interest rate	3.527%
Euro notes
Debt Instrument [Line Items]
Maturity date	2035
Euro notes \| Minimum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	1.00%
Euro notes \| Maximum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	2.375%
Euro notes \| Weighted Average
Debt Instrument [Line Items]
Debt instrument, effective interest rate	1.808%
Pound sterling notes
Debt Instrument [Line Items]
Maturity date	2045
Pound sterling notes \| Minimum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	3.875%
Pound sterling notes \| Maximum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	7.25%
Pound sterling notes \| Weighted Average
Debt Instrument [Line Items]
Debt instrument, effective interest rate	4.441%
Swiss franc notes
Debt Instrument [Line Items]
Maturity date	2025
Swiss franc notes \| Minimum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	0.00%
Swiss franc notes \| Maximum
Debt Instrument [Line Items]
Debt instrument, effective interest rate	1.125%
Swiss franc notes \| Weighted Average
Debt Instrument [Line Items]
Debt instrument, effective interest rate	0.636%

Aggregate Maturities of Debt and Capital Leases Based on Stated Contractual Maturities (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Debt Instrument [Line Items]
2017	$ 1,451
2018	1,144
2019	2,650
2020	658
2021	3,260
Thereafter	5,574
Total	$ 14,737

Interest and Other Expense Net Within Results of Continuing Operations (Detail) - USD ($) $ in Millions	3 Months Ended						12 Months Ended
	Dec. 31, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Interest expense, debt							$ 515	$ 609	$ 778
Loss on debt extinguishment and related expenses	$ 427		$ 40			$ 713	427	753	495
JDE coffee business transactions currency-related net gains		$ (97)		$ 29	$ (144)	551		(436)	(628)
Loss related to interest rate swaps						$ (34)	97	34
Other expense, net							76	53	43
Interest and other expense, net							$ 1,115	$ 1,013	$ 688

Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Derivatives, Fair Value [Line Items]
Asset Derivatives	$ 312	$ 243
Liability Derivatives	278	216
Derivatives Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Asset Derivatives	144	69
Liability Derivatives	49	99
Derivatives Designated as Hedging Instruments \| Currency exchange contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	19	20
Liability Derivatives	8	7
Derivatives Designated as Hedging Instruments \| Commodity contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	17	37
Liability Derivatives	22	35
Derivatives Designated as Hedging Instruments \| Interest rate contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	108	12
Liability Derivatives	19	57
Derivatives Not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Asset Derivatives	168	174
Liability Derivatives	229	117
Derivatives Not Designated as Hedging Instruments \| Currency exchange contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	29	61
Liability Derivatives	43	33
Derivatives Not Designated as Hedging Instruments \| Commodity contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	112	70
Liability Derivatives	167	56
Derivatives Not Designated as Hedging Instruments \| Interest rate contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	27	43
Liability Derivatives	$ 19	$ 28

Derivative Instruments Fair Value and Measurement Inputs (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Derivative [Line Items]
Derivative fair value net asset (liability)	$ 34	$ 27
Currency exchange contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(3)	41
Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(60)	16
Interest rate contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	97	(30)
Quoted Prices In Active Markets For Identical Assets (Level 1)
Derivative [Line Items]
Derivative fair value net asset (liability)	(86)	29
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(86)	29
Significant Other Observable Inputs (Level 2)
Derivative [Line Items]
Derivative fair value net asset (liability)	120	(2)
Significant Other Observable Inputs (Level 2) \| Currency exchange contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(3)	41
Significant Other Observable Inputs (Level 2) \| Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	26	(13)
Significant Other Observable Inputs (Level 2) \| Interest rate contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	$ 97	$ (30)

Financial Instruments - Additional Information (Detail) - USD ($)	3 Months Ended				12 Months Ended
	Mar. 31, 2016	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Derivative Instruments, Gain (Loss) [Line Items]
Loss related to interest rate swaps				$ 34,000,000	$ (97,000,000)	$ (34,000,000)
Unrealized gains recorded in earnings related to planned coffee business transactions	$ 97,000,000	$ (29,000,000)	$ 144,000,000	(551,000,000)		436,000,000	$ 628,000,000
Interest rate contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions					6 years 10 months
Interest rate contracts \| Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Loss related to interest rate swaps	$ (97,000,000)			$ (34,000,000)
Interest rate contracts \| Cash Flow Hedges \| Maximum
Derivative Instruments, Gain (Loss) [Line Items]
Expected transfers of unrealized gains (losses) to earnings, within next 12 months					$ (2,000,000)
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions					12 months
Commodity contracts \| Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Expected transfers of unrealized gains (losses) to earnings, within next 12 months					$ (31,000,000)
Currency exchange contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions					12 months
Currency exchange contracts \| Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Expected transfers of unrealized gains (losses) to earnings, within next 12 months					$ 10,000,000
Interest and other expense, net \| Foreign Exchange Forward \| Economic Hedging
Derivative Instruments, Gain (Loss) [Line Items]
Unrealized gains recorded in earnings related to planned coffee business transactions						436,000,000	$ 628,000,000
Quoted Prices In Active Markets For Identical Assets (Level 1)
Derivative Instruments, Gain (Loss) [Line Items]
Derivative liabilities after effects of netting						0
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Maximum
Derivative Instruments, Gain (Loss) [Line Items]
Derivative liabilities after effects of netting					2,000,000
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Exchange Traded Options
Derivative Instruments, Gain (Loss) [Line Items]
Derivative assets after effects of netting					48,000,000	52,000,000
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Exchange Traded Options \| Other current assets
Derivative Instruments, Gain (Loss) [Line Items]
Margin deposits related to exchange traded derivatives					133,000,000	22,000,000
Significant Other Observable Inputs (Level 2)
Derivative Instruments, Gain (Loss) [Line Items]
Derivative assets after effects of netting					162,000,000	64,000,000
Derivative liabilities after effects of netting					$ 40,000,000	$ 101,000,000

Notional Values of Derivative Instruments (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Net investment hedge \| Euro notes
Derivative [Line Items]
Notional Amount	$ 4,012	$ 4,345
Net investment hedge \| Pound sterling notes
Derivative [Line Items]
Notional Amount	419	1,404
Net investment hedge \| Swiss franc notes
Derivative [Line Items]
Notional Amount	1,447	1,073
Currency exchange contracts \| Intercompany loans and forecasted interest payments
Derivative [Line Items]
Notional Amount	3,343	4,148
Currency exchange contracts \| Forecasted transactions
Derivative [Line Items]
Notional Amount	1,452	1,094
Commodity contracts
Derivative [Line Items]
Notional Amount	837	732
Interest rate contracts
Derivative [Line Items]
Notional Amount	$ 6,365	$ 3,033

Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings / (Losses), Net of Taxes (Detail) - Cash Flow Hedges - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Derivative Instruments, Gain (Loss) [Line Items]
Accumulated gain / (loss) at beginning of period	$ (45)	$ (2)	$ 117
Transfer of realized losses / (gains) in fair value to earnings	53		(40)
Unrealized gain / (loss) in fair value	(129)	(43)	(79)
Accumulated gain / (loss) at end of period	$ (121)	$ (45)	$ (2)

Effects of Cash Flow Hedges (Detail) - Cash Flow Hedges - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	$ (53)		$ 40
Gains / (losses) recognized in OCI	(129)	$ (43)	(79)
Currency exchange contracts \| Forecasted transactions
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	(1)	83	26
Gains / (losses) recognized in OCI	8	40	82
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	(4)	(52)	16
Gains / (losses) recognized in OCI	(34)	(35)	(2)
Gains / (losses) on ineffectiveness recognized in earnings	2	(4)	(10)
Interest rate contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	(48)	(31)	(2)
Gains / (losses) recognized in OCI	$ (103)	$ (48)	$ (159)

Fair Value Hedges (Detail) - USD ($) $ in Millions	12 Months Ended
Fair Value Hedges (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Interest Rate Swap
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (loss) recognized in income on fair value of hedges	$ (6)	$ (1)	$ 13
Long-term Debt
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (loss) recognized in income on fair value of hedges	$ 6	$ 1	$ (13)

Economic Hedges (Detail) - USD ($) $ in Millions	3 Months Ended				12 Months Ended
Economic Hedges (Detail) - USD ($) $ in Millions	Mar. 31, 2016	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings	$ 97	$ (29)	$ 144	$ (551)		$ 436	$ 628
Economic Hedging \| Derivatives Not Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					$ (138)	443	503
Economic Hedging \| Derivatives Not Designated as Hedging Instruments \| Commodity contracts \| Cost of Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					(101)	(38)	(136)
Economic Hedging \| Derivatives Not Designated as Hedging Instruments \| Intercompany loans and forecasted interest payments \| Currency exchange contracts \| Interest and other expense, net
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					21	29	4
Economic Hedging \| Derivatives Not Designated as Hedging Instruments \| Forecasted transactions \| Currency exchange contracts \| Interest and other expense, net
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					11	435	610
Economic Hedging \| Derivatives Not Designated as Hedging Instruments \| Forecasted transactions \| Currency exchange contracts \| Cost of Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					(76)	29	29
Economic Hedging \| Derivatives Not Designated as Hedging Instruments \| Forecasted transactions \| Currency exchange contracts \| Selling, general and administrative expenses
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings					$ 7	$ (12)	$ (4)

Hedges of Net Investments in International Operations (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Euro notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	$ 73	$ 268	$ 328
Pound sterling notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	148	42	$ 39
Swiss franc notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	$ 12	$ 9

Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions		3 Months Ended	12 Months Ended
	Dec. 31, 2016	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Pension plans resulted in net pension liability	$ (1,882)		$ (1,882)	$ (2,145)
Plan assets related to certain insurance contracts	62		62	66
Expense for defined contribution plans			44	45	$ 46
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year	4
Multiemployer Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Multiemployer pension plans			$ 25	$ 31	$ 32
Multiemployer Pension Plans \| Minimum
Defined Benefit Plan Disclosure [Line Items]
Company's contribution of the total contribution of each plan			5.00%	5.00%	5.00%
Multiemployer Pension Plans \| Bakery and Confectionery Union and Industry International Pension Fund
Defined Benefit Plan Disclosure [Line Items]
Multiemployer pension plans			$ 21	$ 27	$ 25
Percentage of surcharge on contribution			10.00%
Multiemployer Pension Plans \| Multiemployer Plan, Individually Insignificant Multiemployer Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Multiemployer pension plans			$ 4	4	7
Multiemployer Plans, Postretirement Benefit \| Multiemployer Medical Plans
Defined Benefit Plan Disclosure [Line Items]
Multiemployer pension plans			19	20	18
Non-recurring Contribution
Defined Benefit Plan Disclosure [Line Items]
Estimated future employer contributions			250
Coffee Business
Defined Benefit Plan Disclosure [Line Items]
Benefit plan liabilities divested				131
Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Estimated from experience differences			202
Estimated prior service cost			1
Pension Plans \| Change in Assumptions for Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Net periodic pension cost			(64)
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Accumulated benefit obligation	$ 9,531		9,531	9,267
Net periodic pension cost			$ 81	$ 175	207
Allocation of pension plan asset	100.00%		100.00%	100.00%
Employer contribution			$ 403
Employer non-recurring contribution			100
Employees contribution			16
Estimated future employer contributions			$ 455
Non-U.S. Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			34.00%
Allocation of pension plan asset	29.00%		29.00%	32.00%
Non-U.S. Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			64.00%
Allocation of pension plan asset	57.00%		57.00%	50.00%
Non-U.S. Pension Plans \| Other Plan Asset
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			2.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan
Defined Benefit Plan Disclosure [Line Items]
Allocation of pension plan asset	63.00%		63.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			24.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan \| Debt Securities
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			21.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan \| Private Markets
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			6.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan \| Other Diversifying Assets
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			9.00%
Non-U.S. Pension Plans \| Largest Non U.S. Plan \| Liability Matching Assets
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities			40.00%
Non-U.S. Pension Plans \| Coffee Business
Defined Benefit Plan Disclosure [Line Items]
Deferred tax assets transferred				$ 24
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Accumulated benefit obligation	$ 1,540		$ 1,540	1,463
Net periodic pension cost			$ 95	$ 102	102
Allocation of pension plan asset	100.00%		100.00%	100.00%
Employer contribution			$ 378
Employer voluntary contribution			350
Estimated future employer contributions			$ 13
U.S. Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Allocation of pension plan asset	33.00%		33.00%	32.00%
U.S. Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Allocation of pension plan asset	63.00%		63.00%	65.00%
Postretirement Benefit Plans
Defined Benefit Plan Disclosure [Line Items]
Net periodic pension cost			$ 22	$ 43	30
Estimated from experience differences			15
Estimated prior service cost			40
Current portion of our accrued postretirement benefit obligation	$ 12		12	11
Postretirement Benefit Plans \| Change in Assumptions for Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Net periodic pension cost			(4)
U.S. And International Investment Grade Debt Securities \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Target Allocation on securities		95.00%
Postemployment Benefit Plans
Defined Benefit Plan Disclosure [Line Items]
Net periodic pension cost			$ 12	$ 12	$ 15
Weighted-average discount rate	6.20%		6.20%	6.20%
Ultimate annual turnover rate			0.30%	0.30%
Rate of compensation increase	4.00%		4.00%	4.00%

Projected Benefit Obligations, Plan Assets and Funded Status of Pension Plans (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Accrued benefit obligation at January 1	$ 1,566	$ 1,606
Service cost	57	64	$ 57
Interest cost	61	67	67
Benefits paid	(32)	(35)
Settlements paid	(91)	(88)
Actuarial (gains) / losses	52	(49)
Other	1	1
Accrued benefit obligation at December 31	1,614	1,566	1,606
Fair value of plan assets at January 1	1,247	1,216
Actual return on plan assets	118	(71)
Contributions	378	225
Benefits paid	(32)	(35)
Settlements paid	(91)	(88)
Fair value of plan assets at December 31	1,620	1,247	1,216
Net pension assets (liability) at December 31	6	(319)
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Accrued benefit obligation at January 1	9,547	10,854
Service cost	147	188	184
Interest cost	229	307	388
Benefits paid	(425)	(435)
Settlements paid		1
Actuarial (gains) / losses	1,284	(262)
Deconsolidation of JDE coffee business	(5)	(261)
Divestiture	(5)	(261)
Currency	(979)	(766)
Other	16	(79)
Accrued benefit obligation at December 31	9,814	9,547	10,854
Fair value of plan assets at January 1	7,721	8,362
Actual return on plan assets	1,079	192
Contributions	419	318
Benefits paid	(425)	(435)
Deconsolidation of JDE coffee business	(4)	(130)
Divestiture	(4)	(130)
Currency	(863)	(579)
Other	(1)	(7)
Fair value of plan assets at December 31	7,926	7,721	$ 8,362
Net pension assets (liability) at December 31	$ (1,888)	$ (1,826)

Pension Plans Resulted in Net Pension Liability (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Prepaid pension assets	$ 159	$ 69
Other accrued liabilities	(27)	(31)
Accrued pension costs	(2,014)	(2,183)
Total	(1,882)	(2,145)
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Projected benefit obligation	96	1,566
Accumulated benefit obligation	88	1,463
Fair value of plan assets	2	1,247
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Projected benefit obligation	8,386	8,139
Accumulated benefit obligation	8,168	7,920
Fair value of plan assets	$ 6,451	$ 6,252

Weighted-Average Assumptions to Determine Benefit Obligations (Detail) - Pension Plans	Dec. 31, 2016	Dec. 31, 2015
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.19%	4.50%
Expected rate of return on plan assets	6.25%	6.75%
Rate of compensation increase	4.00%	4.00%
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Discount rate	2.31%	3.11%
Expected rate of return on plan assets	5.14%	5.87%
Rate of compensation increase	3.29%	3.18%

Components of Net Periodic Pension Cost (Detail) - USD ($)
$ in Millions

12 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

U.S. Pension Plans

$ 57

$ 64

$ 57

Expected return on plan assets

(97)

(93)

(81)

Net loss from experience differences

Prior service cost

^[1]

Settlement losses and other expenses

^[2]

Net periodic benefit cost

102

Non-U.S. Pension Plans

147

188

184

Expected return on plan assets

229

307

388

(418)

(478)

(485)

Net loss from experience differences

120

141

106

Prior service cost

^[1]

(3)

Settlement losses and other expenses

^[2]

Net periodic benefit cost

$ 81

$ 175

$ 207

[1]

For the year ended December 31, 2015, amortization of prior service cost includes $17 million of pension curtailment losses related to employees who transitioned to JDE upon the contribution of our global coffee business. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.

[2]

Settlement losses include $15 million for the year ended December 31, 2016 and $9 million for the year ended December 31, 2015 of pension settlement losses for employees who elected lump-sum payments in connection with our 2014-2018 Restructuring Program. Retired employees who elected lump-sum payments resulted in net settlement losses in 2016 of $15 million for our U.S. plans and $6 million for our non-U.S. plans and in 2015 of $10 million for our U.S. plans and $2 million for our non-U.S. plans. 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 $28 million in 2014. In addition, we incurred special termination benefit costs of $2 million in 2014 in the non-U.S. plans related to the 2012-2014 Restructuring Program. See Note 6, Restructuring Programs, for more information. We recorded an additional $90 million of pension settlement losses related to the coffee business transactions within the gain on the coffee business transactions. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.

Components of Net Periodic Pension Cost (Parenthetical) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Pension curtailment losses	$ 9
Severance and Related Costs
Defined Benefit Plan Disclosure [Line Items]
Pension curtailment losses		$ 17
Severance and Related Costs \| 2014-2018 Restructuring Program
Defined Benefit Plan Disclosure [Line Items]
Settlement losses	15	9
Coffee Business
Defined Benefit Plan Disclosure [Line Items]
Settlement losses	90	90
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Settlement losses	15	10	$ 28
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Settlement losses	$ 6	$ 2
Special termination benefit			$ 2

Weighted-Average Assumptions to Determine Net Periodic Pension Cost (Detail)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.50%	4.20%	5.10%
Expected rate of return on plan assets	6.75%	7.25%	7.75%
Rate of compensation increase	4.00%	4.00%	4.00%
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Discount rate	3.11%	2.99%	4.03%
Expected rate of return on plan assets	5.87%	5.96%	6.17%
Rate of compensation increase	3.18%	3.26%	3.63%

Fair Value of Pension Plan Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	$ 6,817	$ 6,480
Investments measured at net asset value	2,667	2,422
Total investments at fair value	9,484	8,902
Pension Plans \| U.S. Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1	2
Pension Plans \| Non-U.S. Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	427	498
Pension Plans \| Pooled Funds - Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1,524	1,468
Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1,952	1,968
Pension Plans \| Government Bonds
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3,009	1,770
Pension Plans \| Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	756	575
Pension Plans \| Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	852	1,686
Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	4,617	4,031
Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	170	339
Pension Plans \| Private Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	2	2
Pension Plans \| Cash
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	73	138
Pension Plans \| Other
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3	2
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1,382	1,410
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| U.S. Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1	2
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Non-U.S. Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	427	412
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Pooled Funds - Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	286	275
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	714	689
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Government Bonds
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	37	35
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	103	118
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	357	320
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	497	473
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	98	109
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Cash
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	72	138
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Pension Plans \| Other
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1	1
Significant Other Observable Inputs (Level 2) \| Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	4,833	4,146
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Non-U.S. Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets		86
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Pooled Funds - Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1,235	1,193
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1,235	1,279
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Government Bonds
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	2,972	1,735
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	618	431
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	(43)	701
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3,547	2,867
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	50
Significant Other Observable Inputs (Level 2) \| Pension Plans \| Cash
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	1
Significant Unobservable Inputs (Level 3)
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	602	924	$ 2,207
Significant Unobservable Inputs (Level 3) \| Non-U.S. Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3
Significant Unobservable Inputs (Level 3) \| Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	35	26	97
Significant Unobservable Inputs (Level 3) \| Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	538	665	749
Significant Unobservable Inputs (Level 3) \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	22	230	292
Significant Unobservable Inputs (Level 3) \| Private Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	4	3	$ 240
Significant Unobservable Inputs (Level 3) \| Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	602	924
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Pooled Funds - Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	3
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	35	26
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	538	665
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	573	691
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	22	230
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Private Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	2	2
Significant Unobservable Inputs (Level 3) \| Pension Plans \| Other
Defined Benefit Plan Disclosure [Line Items]
Fair value of pension plan assets	$ 2	$ 1

Schedule of Changes in Level 3 Plan Assets (Detail) - Significant Unobservable Inputs (Level 3) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1	$ 924	$ 2,207
Net Realized and Unrealized Gains/ (Losses)	27	52
Net Purchases, Issuances and Settlements	(210)	(312)
Net Transfers Into/(Out of) Level 3	(6)	(919)
Currency Impact	(133)	(104)
Fair value of plan assets at December 31	602	924
Non-U.S. Equity
Defined Benefit Plan Disclosure [Line Items]
Net Transfers Into/(Out of) Level 3	3
Fair value of plan assets at December 31	3
Pooled Funds - Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1	26	97
Net Realized and Unrealized Gains/ (Losses)	6	(1)
Net Purchases, Issuances and Settlements	15	25
Net Transfers Into/(Out of) Level 3	(7)	(89)
Currency Impact	(5)	(6)
Fair value of plan assets at December 31	35	26
Corporate Bonds And Other Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1	665	749
Net Realized and Unrealized Gains/ (Losses)	21	4
Net Purchases, Issuances and Settlements	(41)	(50)
Currency Impact	(107)	(38)
Fair value of plan assets at December 31	538	665
Real Estate
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1	230	292
Net Realized and Unrealized Gains/ (Losses)		19
Net Purchases, Issuances and Settlements	(184)	61
Net Transfers Into/(Out of) Level 3	(3)	(125)
Currency Impact	(21)	(17)
Fair value of plan assets at December 31	22	230
Hedge Funds
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1		829
Net Realized and Unrealized Gains/ (Losses)		13
Net Purchases, Issuances and Settlements		(312)
Net Transfers Into/(Out of) Level 3		(499)
Currency Impact		(31)
Private Equity
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at January 1	3	240
Net Realized and Unrealized Gains/ (Losses)		17
Net Purchases, Issuances and Settlements		(36)
Net Transfers Into/(Out of) Level 3	1	(206)
Currency Impact		(12)
Fair value of plan assets at December 31	$ 4	$ 3

Percentage of Fair Value of Pension Plan Assets (Detail)	Dec. 31, 2016	Dec. 31, 2015
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	100.00%	100.00%
U.S. Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	33.00%	32.00%
U.S. Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	63.00%	65.00%
U.S. Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	4.00%	3.00%
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	100.00%	100.00%
Non-U.S. Pension Plans \| Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	29.00%	32.00%
Non-U.S. Pension Plans \| Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	57.00%	50.00%
Non-U.S. Pension Plans \| Real Estate
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	5.00%	6.00%
Non-U.S. Pension Plans \| Hedge Funds
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	6.00%	7.00%
Non-U.S. Pension Plans \| Private Equity
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	2.00%	3.00%
Non-U.S. Pension Plans \| Cash
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets	1.00%	1.00%
Non-U.S. Pension Plans \| Other
Defined Benefit Plan Disclosure [Line Items]
Percentage of fair value pension plan assets		1.00%

Future Benefit payments for Pension Plans (Detail) $ in Millions	Dec. 31, 2016 USD ($)
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
2017	$ 89
2018	97
2019	103
2020	107
2021	108
2022-2026	568
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
2017	357
2018	356
2019	363
2020	378
2021	400
2022-2026	$ 2,138

Schedule of Individually Significant Multiemployer Pension Plan (Detail) - Multiemployer Pension Plans - Bakery and Confectionery Union and Industry International Pension Fund	12 Months Ended
	Dec. 31, 2016
Multiemployer Plans [Line Items]
Pension Fund	Bakery and Confectionery Union and Industry International Pension Fund
EIN / Pension Plan Number	526118572
Pension Protection Act Zone Status	Red
FIP / RP Status Pending / Implemented	Implemented
Surcharge Imposed	Yes
Expiration Date of Collective- Bargaining Agreements	Feb. 29, 2016

Benefit Obligation of Postretirement Benefit Plans (Detail) - Postretirement Benefit Plans - USD ($)
$ in Millions

12 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Accrued benefit obligation at January 1

$ 511

$ 538

$ 13

Benefits paid

(14)

(10)

Plan amendments

^[1]

(149)

Actuarial (gains) / losses

(22)

Assumption changes

(30)

(23)

(2)

Accrued benefit obligation at December 31

$ 394

$ 511

$ 538

[1]	Plan amendments included a change in eligibility requirements related to medical and life insurance benefits and a change in benefits for Medicare-eligible participants.

Weighted-Average Assumptions to Determine Postretirement Benefit Obligations (Detail)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
U.S. postretirement plan
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.14%	4.60%
Health care cost trend rate assumed for next year	6.50%	6.50%
Ultimate trend rate	5.00%	5.00%
Year that the rate reaches the ultimate trend rate	2020	2020
Foreign Postretirement Benefit Plans, Defined Benefit
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.55%	4.77%
Health care cost trend rate assumed for next year	5.50%	5.37%
Ultimate trend rate	5.68%	5.55%
Year that the rate reaches the ultimate trend rate	2018	2018

One-Percentage-Point Change in Assumed Health Care Cost Trend Rates (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2016 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Effect on postretirement benefit obligation, Increase	$ 41
Effect on annual service and interest cost, Increase	3
Effect on postretirement benefit obligation, Decrease	(33)
Effect on annual service and interest cost, Decrease	$ (2)

Components of Net Periodic Postretirement Health Care Costs (Detail) - Postretirement Benefit Plans - USD ($)
$ in Millions

12 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 12

$ 15

$ 13

Net loss from experience differences

Prior service credit

^[1]

(20)

(7)

(10)

Net periodic benefit cost

$ 22

$ 43

$ 30

[1]	For the year ended December 31, 2016, amortization of prior service credit includes $9 million of curtailment gain related to a change in the eligibility requirement.

Components of Net Periodic Postretirement Health Care Costs (Parenthetical) (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2016 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Pension curtailment gain	$ 9

Weighted-Average Assumptions to Determine Net Periodic Postretirement Cost (Detail)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
U.S. postretirement plan
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.60%	4.20%	5.10%
Health care cost trend rate	6.50%	6.50%	7.00%
Foreign Postretirement Benefit Plans, Defined Benefit
Defined Benefit Plan Disclosure [Line Items]
Discount rate	4.77%	4.52%	5.17%
Health care cost trend rate	5.50%	5.18%	5.11%

Future Benefit Payments for Postretirement Health Care Plans (Detail) $ in Millions	Dec. 31, 2016 USD ($)
U.S. postretirement plan
Defined Benefit Plan Disclosure [Line Items]
2017	$ 8
2018	10
2019	11
2020	12
2021	13
2022-2026	80
Foreign Postretirement Benefit Plans, Defined Benefit
Defined Benefit Plan Disclosure [Line Items]
2017	5
2018	5
2019	5
2020	6
2021	6
2022-2026	$ 34

Changes in Accumulated Postemployment Benefit Obligations (Detail) - Postemployment Benefit Plans - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Accrued benefit obligation at January 1	$ 95	$ 94
Service cost	7	7	$ 9
Interest cost	6	5	6
Benefits paid	(9)	(7)
Assumption changes	(21)	(3)
Actuarial gains	(7)	(1)
Accrued benefit obligation at December 31	$ 71	$ 95	$ 94

Components of Net Postemployment Costs (Detail) - Postemployment Benefit Plans - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 7	$ 7	$ 9
Interest cost	6	5	6
Amortization of net gains	(1)
Net periodic benefit cost	$ 12	$ 12	$ 15

Stock Plans - Additional Information (Detail) - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unamortized compensation expense related to our stock options	$ 52
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	57	$ 50	$ 47
Deferred tax benefit related to compensation expense	$ 15	13	12
Unamortized compensation expense recognition period	1 year
Restricted, Deferred Stock Units And Performance Share Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 83	86	94
Deferred tax benefit related to compensation expense	$ 22	$ 24	$ 26
Unamortized compensation expense recognition period	2 years
Unamortized compensation expense related to restricted and deferred stock	$ 111
Amended 2005 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares award expiration date	May 21, 2024
Shares authorized to be issued under stock option plan	243.7
Shares available to be granted	74.2

Weighted-Average Black-Scholes Fair Value Assumptions (Detail) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-Free Interest Rate	1.40%	1.70%	1.87%
Expected Life (in years)	6 years	6 years	6 years
Expected Volatility	23.11%	18.51%	21.48%
Expected Dividend Yield	1.61%	1.61%	1.64%
Fair Value at Grant Date	$ 7.86	$ 6.12	$ 6.60

Stock Option Activity (Detail) - USD ($)
$ / shares in Units, $ in Millions

12 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Shares subject to option

57,034,108

56,431,551

55,783,439

7,633,090

9,800,870

10,420,060

Options exercised

^[1]

(8,883,101)

(6,444,515)

(8,076,550)

Options cancelled

(2,182,485)

(2,753,798)

(1,695,398)

Exercisable at end of the period

53,601,612

57,034,108

56,431,551

39,016,883

Weighted-average exercise price

$ 26.12

$ 24.19

$ 21.96

39.74

36.84

34.14

Options exercised

^[1]

24.09

22.94

20.85

Options cancelled

35.23

32.35

27.65

Exercisable at end of the period

28.02

$ 26.12

$ 24.19

$ 24.43

Average remaining contractual term

Exercisable at end of the period (in years)

6 years

5 years

Aggregate intrinsic value

Aggregate intrinsic value

$ 874

$ 1,068

^[2]

$ 685

$ 744

Options exercised

^[1]

174

$ 108

$ 125

Exercisable at end of the period

$ 777

Annual grant to eligible employees

Shares subject to option

7,517,290

8,899,530

9,919,810

Weighted-average exercise price

Additional options issued

$ 39.70

$ 36.94

$ 34.17

Shares subject to option

115,800

901,340

500,250

Weighted-average exercise price

$ 42.26

$ 35.84

$ 33.65

[1]	Cash received from options exercised was $221 million in 2016, $148 million in 2015 and $168 million in 2014. The actual tax benefit realized for the tax deductions from the option exercises totaled $31 million in 2016, $58 million in 2015 and $29 million in 2014.
[2]	Prior-year aggregate intrinsic value has been revised.

Stock Option Activity (Parenthetical) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cash received from options exercised	$ 221	$ 148	$ 168
Actual tax benefit realized for the tax deductions from the option exercises	$ 31	$ 58	$ 29

Deferred Stock Unit, Performance Share Unit, and Restricted Stock Activity (Detail) - USD ($)
$ / shares in Units, $ in Millions

12 Months Ended

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

9,418,216

10,582,640

11,648,587

3,312,141

3,939,162

4,070,313

Vested

^[1]

(3,992,902)

(3,905,745)

(4,380,452)

Forfeited

^[1]

(1,143,828)

(1,197,841)

(755,808)

Weighted-average grant date fair value per share

7,593,627

9,418,216

10,582,640

$ 28.00

$ 28.56

$ 24.48

37.50

37.61

34.16

Vested

^[1]

40.22

37.83

22.98

Forfeited

^[1]

37.49

32.51

28.14

Weighted-Average Aggregate Fair Value

$ 24.29

$ 28.00

$ 28.56

Total shares granted

$ 124

$ 148

$ 139

Vested

^[1]

$ 161

$ 148

$ 101

Annual grant to eligible employees

Grant date

Grant date

Feb. 22, 2016

Feb. 18, 2015

Feb. 19, 2014

Performance Share Units

Weighted-average grant date fair value per share

1,406,500

1,598,290

1,143,620

$ 39.70

$ 36.94

$ 34.97

Restricted Stock

Weighted-average grant date fair value per share

386,910

750,410

$ 36.94

$ 34.17

Deferred Stock Units

Weighted-average grant date fair value per share

1,040,790

866,640

1,240,820

Additional options issued

$ 39.70

$ 36.94

$ 34.17

Weighted-average grant date fair value per share

^[2]

864,851

1,087,322

935,463

Accumulated Other Comprehensive Income (Loss) [Line Items]

^[2]

$ 31.29

$ 39.35

$ 33.15

[1]	Includes performance share units, deferred stock units and restricted stock. The actual tax benefit realized for the tax deductions from the shares vested totaled $18 million in 2016, $18 million in 2015 and $20 million in 2014.
[2]	Includes performance share units, deferred stock units and restricted stock.

Capital Stock - Additional Information (Detail) - USD ($)			1 Months Ended	6 Months Ended	12 Months Ended
	Jul. 29, 2015	Dec. 31, 2013	May 31, 2014	May 31, 2014	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Class of Stock [Line Items]
Common stock, shares authorized					5,000,000,000	5,000,000,000
Preferred stock, shares authorized					500,000,000
Preferred stock, shares issued					0	0	0
Preferred stock, shares outstanding					0	0	0
Cost of shares repurchased					$ 2,601,000,000	$ 3,622,000,000	$ 1,891,000,000
Payments for shares repurchased					$ 2,601,000,000	$ 3,622,000,000	$ 1,700,000,000
Common Class A
Class of Stock [Line Items]
Common stock reserved for stock option and other stock awards					134,000,000
Stock repurchase expiration date					Dec. 31, 2016
Stock repurchase value		$ 7,700,000,000
Number of shares repurchased					61,972,713	91,875,878	51,931,864
Average cost of shares repurchased					$ 41.97	$ 39.43
Cost of shares repurchased					$ 2,600,000,000	$ 3,600,000,000
Stock repurchase remaining amount					2,800,000,000
Additional paid in capital treasury stock		$ 200,000,000	$ 200,000,000
Common Class A \| Share Repurchase Program amended July 29, 2015
Class of Stock [Line Items]
Stock repurchase expiration date	Dec. 31, 2018
Stock repurchase value	$ 13,700,000,000
Increase in share repurchase value	$ 6,000,000,000
Common Class A \| Accelerated Share Repurchase Program
Class of Stock [Line Items]
Number of shares repurchased		44,800,000	5,100,000	49,900,000
Cost of shares repurchased		$ 1,500,000,000	$ 200,000,000
Payments for shares repurchased		$ 1,700,000,000
Common Class A \| Accelerated Share Repurchase Program \| Weighted Average
Class of Stock [Line Items]
Accelerated share repurchases, average repurchase price per share				$ 34.10
Common Class A \| Prior to January 1, 2016
Class of Stock [Line Items]
Stock repurchase value					$ 8,200,000,000

Authorized Common Stock Repurchase Programs (Detail) - shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Class of Stock [Line Items]
Common Stock, Shares Issued, Beginning Balance	1,996,537,778
Common Stock, Shares Issued, Ending Balance	1,996,537,778	1,996,537,778
Common Stock, Treasury Shares, Beginning Balance	(416,504,624)
Common Stock, Treasury Shares, Ending Balance	(468,172,237)	(416,504,624)
Common Class A
Class of Stock [Line Items]
Common Stock, Shares Issued, Beginning Balance	1,996,537,778	1,996,537,778	1,996,537,778
Exercise of stock options and issuance of other stock awards	0	0	0
Common Stock, Shares Issued, Ending Balance	1,996,537,778	1,996,537,778	1,996,537,778
Common Stock, Treasury Shares, Beginning Balance	(416,504,624)	(332,896,779)	(291,141,184)
Shares repurchased	(61,972,713)	(91,875,878)	(51,931,864)
Exercise of stock options and issuance of other stock awards	10,305,100	8,268,033	10,176,269
Common Stock, Treasury Shares, Ending Balance	(468,172,237)	(416,504,624)	(332,896,779)
Common Stock, Shares Outstanding, Beginning Balance	1,580,033,154	1,663,640,999	1,705,396,594
Shares repurchased	(61,972,713)	(91,875,878)	(51,931,864)
Exercise of stock options and issuance of other stock awards	10,305,100	8,268,033	10,176,269
Common Stock, Shares Outstanding, Ending Balance	1,528,365,541	1,580,033,154	1,663,640,999

Commitments and Contingencies - Additional Information (Detail) ₨ in Billions	1 Months Ended	12 Months Ended
	Jan. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2016 INR (₨)
Loss Contingencies [Line Items]
Rental expenses		$ 317,000,000	$ 331,000,000	$ 399,000,000
Indian Department of Central Excise Authority \| Cadbury
Loss Contingencies [Line Items]
Amount for formal claim of notice presented for unpaid excise tax, as of the balance sheet date		55,000,000			₨ 3.7
Indian Department of Central Excise Authority \| Cadbury \| Show case notice
Loss Contingencies [Line Items]
Amount for formal claim of notice presented for unpaid excise tax, as of the balance sheet date		35,000,000			2.4
Indian Department of Central Excise Authority \| Cadbury \| Maximum
Loss Contingencies [Line Items]
Tax penalties and interest expense		$ 86,000,000			₨ 5.8
Subsequent Event
Loss Contingencies [Line Items]
Civil penalty payment	$ 13,000,000
U.S. Commodity Futures Trading Commission ("CFTC")
Loss Contingencies [Line Items]
Loss contingency, filling date		April 1, 2015
Loss contingency, damages sought		$ 1,000,000
U.S. Commodity Futures Trading Commission ("CFTC") \| Each Additional Violation of the Commodity Exchange Act
Loss Contingencies [Line Items]
Loss contingency, damages sought		$ 140,000

Minimum Rental Commitments (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Leases Future Minimum Payments [Line Items]
2017	$ 241
2018	175
2019	143
2020	115
2021	90
Thereafter	157
Total	$ 921

Components of Accumulated Other Comprehensive Earnings / (Losses) (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 28,100

$ 27,853

$ 28,100

$ 27,853

$ 32,532

Less: loss attributable to noncontrolling interests

(1,153)

(2,694)

(4,462)

(17)

(26)

(33)

Tax (expense) / benefit on reclassifications

$ 25,215

$ 28,100

25,215

28,100

27,853

(78)

$ 40

$ 118

(32)

$ (348)

$ (100)

(113)

(129)

(593)

(353)

Other comprehensive earnings / (losses) attributable to Mondelez International

(15,795)

(18,124)

(21,647)

Interest rate contracts

(1,115)

(1,013)

(688)

(1,136)

(2,668)

(4,429)

Currency Translation Adjustments

Accumulated Other Comprehensive Income (Loss) [Line Items]

Currency translation adjustments

(8,006)

(5,042)

(8,006)

(5,042)

(1,414)

(847)

(2,905)

(3,433)

Venezuela deconsolidation

Equity method investment exchange

Tax (expense) / benefit

(135)

(184)

(228)

Less: loss attributable to noncontrolling interests

(925)

(2,990)

(3,661)

Pension and Other Benefits

(8,914)

(8,006)

(8,914)

(8,006)

(5,042)

Accumulated Other Comprehensive Income (Loss) [Line Items]

(1,934)

(2,274)

(1,934)

(2,274)

(1,592)

(153)

340

(682)

Net actuarial gain / (loss) arising during period

(2,087)

(1,934)

(2,087)

(1,934)

(2,274)

(491)

(60)

(1,388)

Tax (expense) / benefit on net actuarial gain / (loss)

442

Currency impact

128

146

Derivative Cash Flow Hedges

Accumulated Other Comprehensive Income (Loss) [Line Items]

(46)

(2)

(46)

(2)

117

(75)

(44)

(119)

Net derivative gains / (losses)

(121)

(46)

(121)

(46)

(2)

(151)

(75)

(166)

Tax (expense) / benefit on net derivative gain / (loss)

Currency impact

Accumulated Other Comprehensive Income (Loss)

Accumulated Other Comprehensive Income (Loss) [Line Items]

$ (9,986)

$ (7,318)

(9,986)

(7,318)

(2,889)

(1,136)

(2,668)

(4,429)

Reclassification out of Accumulated Other Comprehensive Income | Pension and Other Benefits

$ (11,122)

$ (9,986)

(11,122)

(9,986)

(7,318)

Accumulated Other Comprehensive Income (Loss) [Line Items]

Amortization of experience losses and prior service costs

^[1]

150

207

132

Settlement losses

^[1]

111

Venezuela deconsolidation

Tax (expense) / benefit on reclassifications

^[2]

(46)

(69)

(56)

Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges

Accumulated Other Comprehensive Income (Loss) [Line Items]

Tax (expense) / benefit on reclassifications

^[2]

(42)

(21)

Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Currency exchange contracts | Forecasted transactions

Accumulated Other Comprehensive Income (Loss) [Line Items]

Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Commodity contracts

^[3]

(90)

(27)

Accumulated Other Comprehensive Income (Loss) [Line Items]

Reclassification out of Accumulated Other Comprehensive Income | Derivative Cash Flow Hedges | Interest rate contracts

^[3]

(21)

Accumulated Other Comprehensive Income (Loss) [Line Items]

Interest rate contracts

^[4]

$ 83

$ 47

$ 3

[1]	These reclassified gains or losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans. Settlement losses include the transfer of coffee business-related pension obligations in the amount of $90 million in 2015.
[2]	Taxes related to reclassified gains or losses are recorded within the provision for income taxes.
[3]	These reclassified gains or losses are recorded within cost of sales.
[4]	These reclassified gains or losses are recorded within interest and other expense, net.

Components of Accumulated Other Comprehensive Earnings / (Losses) (Parenthetical) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Coffee Business
Accumulated Other Comprehensive Income (Loss) [Line Items]
Settlement losses	$ 90	$ 90

Provision for Income Taxes (Detail) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
Provision for Income Taxes (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Taxes [Line Items]
United States									$ (364)	$ 43	$ (135)
Outside United States									1,818	7,841	2,689
Earnings before income taxes									1,454	7,884	2,554
United States federal current									(227)	(90)	(125)
United States federal deferred									141	136	28
Federal income tax									(86)	46	(97)
State and local current									7	6	20
State and local deferred									8	(3)	11
State and local taxes									15	3	31
Total United States									(71)	49	(66)
Outside United States current									490	707	644
Outside United States deferred									(290)	(163)	(225)
Total outside United States									200	544	419
Total provision for income taxes	$ 78	$ (40)	$ (118)	$ (49)	$ 32	$ 348	$ 100	$ 113	$ 129	$ 593	$ 353

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended			12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Jan. 01, 2016	Dec. 31, 2013
Income Tax Contingency [Line Items]
Impact on provision for income tax, out-of-period adjustments					$ 14	$ 31
Effective tax rate				8.90%	7.50%	13.80%
Total favorable discrete items				$ 161	$ 119	$ 206
Gains on coffee business transactions and divestitures	$ 313	$ (7,122)	$ (13)	9	$ 6,822
Effective tax rate, excluding the discrete items					17.80%
Loss carryforwards				3,517
Loss carryforwards, expire at various dates between 2016 and 2029				1,223
Loss carryforwards, indefinitely				2,294
Accumulated earnings of foreign subsidiaries				19,800
Unrecognized tax benefits	$ 756			610	$ 756	$ 852	$ 756	$ 1,189
Impact on tax provision from unrecognized tax benefits							652
Unrecognized tax benefits reasonably possible increase resulting from unfavorable audit developments				40
Unrecognized tax benefits reasonably possible decrease resulting from audit settlements and the expiration of statutes of limitations in various jurisdictions				160
Unrecognized tax benefits reasonably possible reductions due to audit settlements and expiration of statutes of limitations				549
Unrecognized tax benefits, income tax penalties and interest accrued				189			$ 185
Net benefit for interest and penalties				$ 15
Coffee Business
Income Tax Contingency [Line Items]
Gains on coffee business transactions and divestitures					6,809
Tax expense on gains from divestitures					184
Tax costs incurred to remit proceeds up from lower-tier foreign subsidiaries					$ 27

Effective Income Tax Rate (Detail)	12 Months Ended
Effective Income Tax Rate (Detail)	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Tax [Line Items]
U.S. federal statutory rate	35.00%	35.00%	35.00%
State and local income taxes, net of federal tax benefit excluding IRS audit impacts	0.80%	(0.10%)	0.30%
Foreign rate differences	(18.60%)	(2.50%)	(14.50%)
Reversal of other tax accruals no longer required	(7.70%)	(1.40%)	(10.50%)
Tax accrual on investment in Keurig	2.30%
Tax legislation	(4.00%)	(0.50%)
Gains on coffee business transactions and divestitures		(26.90%)
Loss on deconsolidation of Venezuela		3.50%
Remeasurement of net monetary assets in Venezuela			1.70%
Non-deductible expenses	0.90%	0.30%	1.50%
Other	0.20%	0.10%	0.30%
Effective tax rate	8.90%	7.50%	13.80%

Deferred Tax Assets and Liabilities Temporary Differences (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Deferred income tax assets:
Accrued postretirement and postemployment benefits	$ 214	$ 230
Accrued pension costs	370	414
Other employee benefits	237	265
Accrued expenses	379	343
Loss carryforwards	619	636
Other	331	352
Total deferred income tax assets	2,150	2,240
Valuation allowance	(310)	(303)
Net deferred income tax assets	1,840	1,937
Deferred income tax liabilities:
Intangible assets	(5,174)	(5,365)
Property, plant and equipment	(557)	(636)
Other	(472)	(409)
Total deferred income tax liabilities	(6,203)	(6,410)
Net deferred income tax liabilities	$ (4,363)	$ (4,473)

Change in Unrecognized Tax Benefit (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Tax Contingency [Line Items]
Unrecognized tax benefits beginning balance	$ 756	$ 852	$ 1,189
Increases from positions taken during prior periods	18	34	143
Decreases from positions taken during prior periods	(123)	(74)	(247)
Increases from positions taken during the current period	90	84	147
Decreases relating to settlements with taxing authorities	(75)	(13)	(203)
Reductions resulting from the lapse of the applicable statute of limitations	(43)	(41)	(64)
Currency / other	(13)	(86)	(113)
Unrecognized tax benefits ending balance	$ 610	$ 756	$ 852

Basic and Diluted Earnings per Share (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

Earnings Per Share [Line Items]

Net earnings

$ 93

^[1]

$ 548

^[1]

$ 471

^[1]

$ 557

^[1]

$ (716)

^[2]

$ 7,268

^[2]

$ 427

^[2]

$ 312

^[2]

$ 1,669

$ 7,291

$ 2,201

Noncontrolling interest

(7)

(3)

(13)

(2)

(21)

(10)

(24)

(17)

Net earnings attributable to Mondelez International

$ 93

$ 548

$ 464

$ 554

$ (729)

$ 7,266

$ 406

$ 324

$ 1,659

$ 7,267

$ 2,184

Weighted-average shares for basic EPS

1,540

1,557

1,569

1,589

1,609

1,625

1,648

1,556

1,618

1,691

Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares

Weighted-average shares for diluted EPS

1,559

1,576

1,587

1,610

1,629

1,643

1,665

1,573

1,637

1,709

Basic earnings per share attributable to Mondelez International

$ 0.06

$ 0.35

$ 0.30

$ 0.35

$ (0.46)

$ 4.52

$ 0.25

$ 0.20

$ 1.07

$ 4.49

$ 1.29

Diluted earnings per share attributable to Mondel?z International:

$ 0.06

$ 0.35

$ 0.29

$ 0.35

$ (0.46)

^[3]

$ 4.46

^[3]

$ 0.25

^[3]

$ 0.19

^[3]

$ 1.05

$ 4.44

$ 1.28

[1]	See the following table for significant items that affected the comparability of earnings each quarter.
[2]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.
[3]	In the fourth quarter of 2015, we recorded a net loss, primarily due to the loss on deconsolidation of Venezuela and coffee business transaction final sales price adjustment. In accordance with U.S. GAAP, due to the net loss in the quarter, diluted EPS was equal to basic EPS.

Earnings Per Share - Additional Information (Detail) - shares shares in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Mondelez International stock options excluded from the calculation of diluted EPS	7.8	5.1	8.6

Segment Reporting - Additional Information (Detail)
$ in Millions

3 Months Ended

6 Months Ended

12 Months Ended

Dec. 31, 2016

USD ($)

^[1]

Sep. 30, 2016

USD ($)

^[1]

Jun. 30, 2016

USD ($)

^[1]

Mar. 31, 2016

USD ($)

^[1]

Dec. 31, 2015

USD ($)

^[2]

Sep. 30, 2015

USD ($)

^[2]

Dec. 31, 2015

USD ($)

Jul. 02, 2015

USD ($)

Dec. 31, 2016

USD ($)

Segment

Dec. 31, 2015

USD ($)

Dec. 31, 2014

USD ($)

Number of reportable operating segments | Segment

$ 83

$ 31

$ 102

$ 85

$ 72

$ (72)

$ 301

Stock-based compensation expense

2,569

$ 8,897

$ 3,242

$ 140

136

141

Number of customers accounted for 10% or more of net revenue

No single customer accounted for 10% or more of our net revenues from continuing operations in 2016.

Corporate | Scenario, Adjustment

Stock-based compensation expense

$ 506

389

530

North America Segment | Scenario, Previously Reported

$ 1,078

1,105

922

Stock-based compensation expense

$ (32)

Customer Concentration Risk | Net Revenues | Five Largest Customers

Largest customer, percentage of net revenues

16.60%

Customer Concentration Risk | Net Revenues | Ten Largest Customers

Largest customer, percentage of net revenues

22.90%

Equity Method Investments | Asia Middle East Africa Segment

$ 56

113

Equity Method Investments | North America Segment

104

$ 4

$ 9

$ 1

[1]

Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.

[2]

See the following table for significant items that affected the comparability of earnings each quarter.

Net Revenues by Segment (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

^[1],[2]

3,392

4,988

5,153

^[3]

5,816

6,002

6,367

^[3]

9,755

11,672

^[4]

15,788

^[4]

$ 6,960

$ 6,974

$ 6,936

[1]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[2]	Net revenues of $1,217 million for 2015 and $760 million for 2014 from our Venezuelan subsidiaries are included in our consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our consolidated financial statements. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[3]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[4]	During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

Net Revenues by Segment (Parenthetical) (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

^[2]

5,816

6,002

6,367

Coffee Business | Asia Middle East Africa Segment

^[2]

$ 9,755

11,672

^[3]

15,788

^[3]

Coffee Business | Europe Segment

1,561

$ 1,217

$ 760

[1]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[2]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[3]	During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

Operating Income by Segment (Detail) - USD ($) $ in Millions	3 Months Ended			12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
General corporate expenses				$ (291)	$ (383)	$ (317)
Amortization of intangibles				(176)	(181)	(206)
Gains on divestitures and JDE coffee business transactions	$ 313	$ (7,122)	$ (13)	9	6,822
Loss on deconsolidation of Venezuela	$ (778)				(778)
Acquisition-related costs				(1)	(8)	(2)
Operating income (loss)				2,569	8,897	3,242
Interest and other expense, net				(1,115)	(1,013)	(688)
Earnings before income taxes				1,454	7,884	2,554
Cost of Sales
Segment Reporting Information [Line Items]
Unrealized (losses) / gains on hedging activities (mark-to-market impacts)				(94)	96	(112)
Latin America Segment
Segment Reporting Information [Line Items]
Operating income (loss)				271	485	475
Asia Middle East Africa Segment
Segment Reporting Information [Line Items]
Operating income (loss)				506	389	530
Europe Segment
Segment Reporting Information [Line Items]
Operating income (loss)				1,267	1,350	1,952
North America Segment
Segment Reporting Information [Line Items]
Operating income (loss)				$ 1,078	$ 1,105	$ 922

Total Assets by Segment (Detail) - USD ($)
$ in Millions

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 61,538

$ 62,843

$ 66,771

5,585

5,387

662

5,156

4,673

6,470

10,031

10,460

10,549

19,934

21,026

27,240

20,694

21,175

21,287

Unallocated Assets

^[1]

$ 138

$ 122

$ 563

[1]

Depreciation Expense and Capital Expenditure by Segment (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Depreciation expense	$ 647	$ 713	$ 853
Capital expenditures	1,224	1,514	1,642
Latin America Segment
Segment Reporting Information [Line Items]
Depreciation expense	92	94	118
Capital expenditures	321	354	460
Asia Middle East Africa Segment
Segment Reporting Information [Line Items]
Depreciation expense	161	155	154
Capital expenditures	349	381	451
Europe Segment
Segment Reporting Information [Line Items]
Depreciation expense	253	299	407
Capital expenditures	294	517	553
North America Segment
Segment Reporting Information [Line Items]
Depreciation expense	141	165	174
Capital expenditures	$ 260	$ 262	$ 178

Net Revenues by Geographic Segment (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

United States

6,329

6,302

6,143

Other

$ 19,594

$ 23,334

$ 28,101

[1]

Long-lived Assets by Geographic Segment (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Total long-lived assets	$ 8,737	$ 8,789	$ 10,365
United States
Segment Reporting Information [Line Items]
Total long-lived assets	1,508	1,551	1,564
Other
Segment Reporting Information [Line Items]
Total long-lived assets	$ 7,229	$ 7,238	$ 8,801

Net Revenues by Consumer Sector (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

Biscuits

^[1]

10,590

11,393

11,509

Chocolate

^[1]

7,739

8,074

9,420

Gum & Candy

^[1]

3,947

4,258

4,660

Beverages

^[1]

1,445

3,260

^[2]

5,678

^[2]

Cheese & Grocery

^[1]

2,202

2,651

2,977

Latin America Segment | Biscuits

^[1],[3]

3,392

4,988

5,153

Latin America Segment | Chocolate

^[1]

734

1,605

1,322

Latin America Segment | Gum & Candy

^[1]

743

840

1,054

Latin America Segment | Beverages

^[1]

938

1,091

1,176

Latin America Segment | Cheese & Grocery

^[1]

657

767

^[2]

940

^[2]

^[1]

320

685

661

Asia Middle East Africa Segment | Biscuits

^[4]

5,816

6,002

6,367

Asia Middle East Africa Segment | Chocolate

1,588

1,539

1,442

Asia Middle East Africa Segment | Gum & Candy

1,901

1,928

2,073

Asia Middle East Africa Segment | Beverages

953

1,003

1,098

Asia Middle East Africa Segment | Cheese & Grocery

611

730

^[2]

836

^[2]

763

802

918

Europe Segment | Biscuits

^[4]

9,755

11,672

^[5]

15,788

^[5]

Europe Segment | Chocolate

2,703

2,680

^[5]

3,259

^[5]

Europe Segment | Gum & Candy

4,840

5,050

^[5]

5,997

^[5]

Europe Segment | Beverages

916

1,015

^[5]

1,232

^[5]

Europe Segment | Cheese & Grocery

177

1,763

^[2],[5]

3,902

^[2],[5]

1,119

1,164

^[5]

1,398

^[5]

North America Segment | Biscuits

6,960

6,974

6,936

North America Segment | Chocolate

5,565

5,569

5,486

North America Segment | Gum & Candy

255

256

296

$ 1,140

$ 1,149

$ 1,154

[1]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[2]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segment beverage categories. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[3]	Net revenues of $1,217 million for 2015 and $760 million for 2014 from our Venezuelan subsidiaries are included in our consolidated financial statements. Beginning in 2016, we account for our Venezuelan subsidiaries using the cost method of accounting and no longer include net revenues of our Venezuelan subsidiaries within our consolidated financial statements. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[4]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[5]	During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.

Net Revenues by Consumer Sector (Parenthetical) (Detail) - USD ($)
$ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

^[2]

5,816

6,002

6,367

Coffee Business | Asia Middle East Africa Segment

^[2]

9,755

11,672

^[3]

15,788

^[3]

Coffee Business | Europe Segment

1,561

1,217

760

Biscuits

Biscuits | Asia Middle East Africa Segment

^[1]

10,590

11,393

11,509

Biscuits | Europe Segment

1,588

1,539

1,442

2,703

2,680

^[3]

3,259

^[3]

Biscuits | Venezuela

763

422

Gum & Candy

Gum & Candy | Asia Middle East Africa Segment

^[1]

3,947

4,258

4,660

Gum & Candy | Europe Segment

953

1,003

1,098

916

1,015

^[3]

1,232

^[3]

Gum & Candy | Venezuela

Beverages

Beverages | Asia Middle East Africa Segment

^[1]

1,445

3,260

^[4]

5,678

^[4]

Beverages | Europe Segment

611

730

^[4]

836

^[4]

177

1,763

^[3],[4]

3,902

^[3],[4]

Beverages | Venezuela

Cheese & Grocery

Cheese & Grocery | Asia Middle East Africa Segment

^[1]

2,202

2,651

2,977

Cheese & Grocery | Europe Segment

763

802

918

Cheese & Grocery | Venezuela

$ 1,119

1,164

^[3]

1,398

^[3]

$ 340

$ 216

[1]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[2]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segments. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.
[3]	During 2016, we realigned some of our products across product categories primarily within our Europe segment and as such, we reclassified the product category net revenues on a basis consistent with the 2016 presentation.
[4]	On July 2, 2015, we contributed our global coffee businesses primarily from our Europe and AMEA segment beverage categories. Net revenues of our global coffee business were $1,561 million in Europe and $66 million in AMEA for the year ended December 31, 2015. Refer to Note 2, Divestitures and Acquisitions - JDE Coffee Business Transactions, for more information.

Quarterly Financial Data (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions

3 Months Ended

12 Months Ended

Dec. 31, 2016

Sep. 30, 2016

Jun. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Jun. 30, 2015

Mar. 31, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

(Benefit) / provision for income taxes

$ 6,770

$ 6,396

$ 6,302

$ 6,455

$ 7,364

$ 6,849

$ 7,661

$ 7,762

$ 25,923

^[1]

$ 29,636

^[1]

$ 34,244

^[1]

Gross profit

2,589

2,488

2,516

2,535

2,835

2,670

3,066

2,941

10,128

11,512

12,597

(40)

(118)

(49)

348

100

113

129

593

353

Net earnings / (loss) attributable to Mondelz International

^[2]

102

^[2]

^[3]

(72)

^[3]

301

Net earnings / (loss)

^[3]

548

^[3]

471

^[3]

557

^[3]

(716)

^[2]

7,268

^[2]

427

^[2]

312

^[2]

1,669

7,291

2,201

Noncontrolling interest

(7)

(3)

(13)

(2)

(21)

(10)

(24)

(17)

$ 93

$ 548

$ 464

$ 554

$ (729)

$ 7,266

$ 406

$ 324

$ 1,659

$ 7,267

$ 2,184

Weighted-average shares for basic EPS

1,540

1,557

1,569

1,589

1,609

1,625

1,648

1,556

1,618

1,691

Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares

Weighted-average shares for diluted EPS

1,559

1,576

1,587

1,610

1,629

1,643

1,665

1,573

1,637

1,709

Basic EPS attributable to Mondelz International

$ 0.06

$ 0.35

$ 0.30

$ 0.35

$ (0.46)

$ 4.52

$ 0.25

$ 0.20

$ 1.07

$ 4.49

$ 1.29

Diluted EPS attributable to Mondelz International

0.06

0.35

0.29

0.35

(0.46)

^[4]

4.46

^[4]

0.25

^[4]

0.19

^[4]

1.05

4.44

1.28

Dividends declared

0.19

0.17

0.15

$ 0.72

$ 0.64

$ 0.58

Market price - high

46.40

46.36

45.75

44.45

47.42

48.58

41.81

37.88

Market price, low

$ 40.50

$ 41.96

$ 39.53

$ 35.88

$ 41.55

$ 38.91

$ 35.93

$ 33.97

[1]	In 2015 and 2014, our consolidated net revenues included Venezuela net revenues of $763 million in biscuits, $340 million in cheese & grocery, $66 million in gum & candy and $48 million in beverages and 2014 Venezuela net revenues of $422 million in biscuits, $216 million in cheese & grocery, $91 million in beverages and $30 million in gum & candy. Following the deconsolidation of our Venezuela operations at the end of 2015, in 2016 our consolidated net revenues no longer include the net revenues of our Venezuelan subsidiaries. Refer to Note 1, Summary of Significant Accounting Policies - Currency Translation and Highly Inflationary Accounting: Venezuela, for more information.
[2]	Historically, we have recorded income from equity method investments within our operating income as these investments operated as extensions of our base business. Beginning in the third quarter of 2015, to align with the accounting for JDE earnings, we began to record the earnings from our equity method investments in after-tax equity method investment earnings outside of operating income. As the after-tax equity method investment net earnings for the six months ended December 31, 2015 was less than $1 million, this line item is not shown on our consolidated statement of earnings. Pre-tax earnings from equity method investments recorded within segment operating income were $56 million for the six months ended July 2, 2015. See Note 1, Summary of Significant Accounting Policies - Principles of Consolidation, for additional information. Equity method investment net earnings were lower in the third quarter of 2016 due to the JDE unfavorable tax expense disclosed in Note 2, Divestitures and Acquisitions - JDE Tax Matter Resolution.
[3]	See the following table for significant items that affected the comparability of earnings each quarter.
[4]	In the fourth quarter of 2015, we recorded a net loss, primarily due to the loss on deconsolidation of Venezuela and coffee business transaction final sales price adjustment. In accordance with U.S. GAAP, due to the net loss in the quarter, diluted EPS was equal to basic EPS.

Quarterly Financial Data (Parenthetical) (Detail) - USD ($)
$ in Millions

3 Months Ended

6 Months Ended

12 Months Ended

Dec. 31, 2016

^[1]

Sep. 30, 2016

^[1]

Jun. 30, 2016

^[1]

Mar. 31, 2016

^[1]

Dec. 31, 2015

^[2]

Sep. 30, 2015

^[2]

Dec. 31, 2015

Jul. 02, 2015

Dec. 31, 2016

Dec. 31, 2015

Dec. 31, 2014

$ 83

$ 31

$ 102

$ 85

$ 72

$ (72)

$ 301

$ 2,569

$ 8,897

$ 3,242

$ 1