Other comprehensive earnings/(losses), net of income taxes

1,576

284

Balances at Sep. 30, 2016

(9,699)

Balances at Dec. 31, 2015

28,100

31,760

20,700

(9,986)

(14,462)

Other comprehensive earnings/(losses), net of income taxes

1,669

1,659

(1,153)

(1,136)

(17)

Exercise of stock options and issuance of other stock awards

343

(94)

350

Common Stock repurchased

(2,601)

Cash dividends declared

(1,116)

Dividends paid on noncontrolling interest and other activities

(27)

Balances at Dec. 31, 2016

25,215

31,847

21,149

(11,122)

(16,713)

Balances at Jun. 30, 2016

(9,768)

Other comprehensive earnings/(losses), net of income taxes

548

Balances at Sep. 30, 2016

(9,699)

Balances at Dec. 31, 2016

25,215

31,847

21,149

(11,122)

(16,713)

Other comprehensive earnings/(losses), net of income taxes

2,126

2,120

1,229

1,205

Exercise of stock options and issuance of other stock awards

272

(63)

296

Common Stock repurchased

(1,817)

Cash dividends declared

(910)

Dividends paid on noncontrolling interest and other activities

(16)

Balances at Sep. 30, 2017

26,099

31,886

22,296

(9,917)

(18,234)

Balances at Jun. 30, 2017

(10,217)

Other comprehensive earnings/(losses), net of income taxes

993

308

Balances at Sep. 30, 2017

$ 26,099

$ 31,886

$ 22,296

$ (9,917)

$ (18,234)

$ 68

[1]

Noncontrolling interest as of September 30, 2016 was $68 million, as compared to $88 million as of January 1, 2016. The change of $(20) million during the nine months ended September 30, 2016 was due to $(27) million of dividends paid, $(3) million of other comprehensive losses, net of taxes offset by $10 million of net earnings.

Condensed Consolidated Statements of Equity (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016	Dec. 31, 2015
Cash dividends declared, per share	$ 0.22	$ 0.19	$ 0.60	$ 0.53	$ 0.72
Noncontrolling interest	$ 68	$ 68	$ 68	$ 68	$ 54	$ 88
Change in noncontrolling interest				(20)
Other comprehensive losses, net of taxes	8	$ (2)	24	(3)
Net earnings	$ 1		$ 6	10
Dividends paid				$ 27

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES
Net earnings	$ 2,126	$ 1,576
Adjustments to reconcile net earnings to operating cash flows:
Depreciation and amortization	604	615
Stock-based compensation expense	104	102
Deferred income tax provision/(benefit)	77	(163)
Asset impairments and accelerated depreciation	287	262
Loss on early extinguishment of debt	11
Gain on equity method investment exchange		(43)
Net gain on divestitures	(184)
Equity method investment net earnings	(236)	(218)
Distributions from equity method investments	143	75
Other non-cash items, net	(238)	10
Change in assets and liabilities, net of acquisitions and divestitures:
Receivables, net	(387)	(265)
Inventories, net	(236)	(121)
Accounts payable	(426)	(143)
Other current assets	68	79
Other current liabilities	(604)	(266)
Change in pension and postretirement assets and liabilities, net	(312)	(362)
Net cash provided by operating activities	797	1,138
CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES
Capital expenditures	(721)	(909)
Proceeds from divestitures, net of disbursements	516
Proceeds from sale of property, plant and equipment and other assets	77	113
Net cash used in investing activities	(128)	(521)
CASH PROVIDED BY/(USED IN) FINANCING ACTIVITIES
Issuances of commercial paper, maturities greater than 90 days	1,375	1,028
Repayments of commercial paper, maturities greater than 90 days	(1,681)	(337)
Net issuances of other short-term borrowings	2,266	1,533
Long-term debt proceeds	350	1,149
Long-term debt repaid	(1,468)	(1,757)
Repurchase of Common Stock	(1,786)	(1,727)
Dividends paid	(869)	(801)
Other	165	82
Net cash used in financing activities	(1,648)	(830)
Effect of exchange rate changes on cash and cash equivalents	82	29
Cash and cash equivalents:
Decrease	(897)	(184)
Balance at beginning of period	1,741	1,870
Balance at end of period	$ 844	1,686
JDE
CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES
Proceeds from divestitures, net of disbursements		$ 275

Basis of Presentation

9 Months Ended

Sep. 30, 2017

Basis of Presentation

Note 1. Basis of Presentation

Our interim condensed consolidated financial statements are unaudited. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been omitted. It is management’s opinion that these financial statements include all normal and recurring adjustments necessary for a fair presentation of our results of operations, financial position and cash flows. Results of operations for any interim period are not necessarily indicative of future or annual results. For a complete set of consolidated financial statements and related notes, refer to our Annual Report on Form 10-K for the year ended December 31, 2016.

Principles of Consolidation:

The condensed consolidated financial statements include Mondelēz International, Inc. as well as our wholly owned and majority owned subsidiaries, except 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. As such, for all periods presented, we have excluded the results of operations, financial position and cash flows of our Venezuelan subsidiaries from our condensed 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 were organized into four reportable operating segments:

•

Latin America

•

AMEA

•

Europe

•

North America

See Note 15, 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 and realized exchange gains and losses on transactions in earnings.

Highly inflationary accounting is triggered when a country’s three-year cumulative inflation rate exceeds 100%. It requires the remeasurement of financial statements of subsidiaries in the country, from the functional currency of the subsidiary to our U.S. dollar reporting currency, with currency remeasurement gains or losses recorded in earnings. As of September 30, 2017, none of our consolidated subsidiaries were subject to highly inflationary accounting.

Argentina. We continue to closely monitor inflation and the potential for the economy to become highly inflationary for accounting purposes. As of September 30, 2017, the Argentinian economy was not designated as highly inflationary. At this time, we continue to record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. Our Argentinian operations contributed $152 million, or 2.3% of consolidated net revenues in the three months and $454 million, or 2.4% of consolidated net revenues in the nine months ended September 30, 2017, and our Argentinian operations had a net monetary liability position as of September 30, 2017.

Ukraine. Beginning in the second quarter of 2017, based on projected inflation data published by the National Bank of Ukraine, Ukraine’s three-year cumulative inflation rate dropped below 100% and it is projected to stay below 100% for the rest of the year. As such, Ukraine is no longer designated highly inflationary and we continue to record currency translation adjustments within equity and realized exchange gains and losses on transactions in earnings. Our Ukrainian operations contributed $21 million, or 0.3%, of consolidated net revenues in the three months and $51 million, or 0.3% of consolidated net revenues in the nine months ended September 30, 2017, and our Ukrainian net monetary assets as of September 30, 2017 were not material.

Other Countries. Since we sell in approximately 165 countries and have operations in over 80 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, United Kingdom (Brexit), Turkey, Egypt, Nigeria and South Africa, most of which have had exchange rate volatility. We continue to monitor operations, currencies and net monetary exposures in these countries. At this time, we do not anticipate a risk to our operating results from changing to highly inflationary accounting in these countries.

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 $1.0 billion. 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. The outstanding principal amount of receivables under this arrangement amounted to $650 million as of September 30, 2017 and $644 million as of December 31, 2016. The incremental cost of factoring receivables under this arrangement was not material for all periods presented. The proceeds from the sales of receivables are included in cash from operating activities in the condensed consolidated statements of cash flows.

New Accounting Pronouncements:

In August 2017, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) to better align hedge accounting with an entity’s risk management activities and improve disclosures surrounding hedging. For cash flow and net investment hedges as of the adoption date, the ASU requires a modified retrospective transition approach. Presentation and disclosure requirements related to this ASU are required prospectively. The ASU is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We are currently assessing the impact on our consolidated financial statements.

In May 2017, the FASB issued an ASU to clarify when changes to the terms or conditions of a share-based payment award must be accounted for as modifications. The ASU is applied prospectively to awards that are modified on or after the adoption date. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We do not anticipate a material impact to our consolidated financial statements.

In March 2017, the FASB issued an ASU to amend the amortization period for certain purchased callable debt securities held at a premium, shortening the period to the earliest call date instead of the maturity date. The standard does not impact securities held at a discount as the discount continues to be amortized to maturity. The ASU is applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The ASU is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We do not anticipate a material impact to our consolidated financial statements.

In March 2017, the FASB issued an ASU to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost. The standard requires employers to disaggregate the service cost component from the other components of net benefit cost and disclose the amount and location where the net benefit cost is recorded in the income statement or capitalized in assets. The standard is to be applied on a retrospective basis for the change in presentation in the income statement and prospectively for the change in presentation on the balance sheet. The ASU is effective for fiscal years beginning after December 15, 2017, with early adoption permitted. We will adopt the standard on January 1, 2018. For information on our service cost and other components of net periodic benefit cost for pension, postretirement benefit and post-employment plans, see Note 9, Benefit Plans, in this Form 10-Q and Note 9, Benefit Plans, to our consolidated financial statements in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016.

In January 2017, the FASB issued an 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 continue to assess the ASU based on any pending or new transactions that may arise prior to the January 1, 2018 adoption date. At this time, we do not anticipate early adopting nor a material 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. This ASU is not expected to have a material impact on our consolidated statement of cash flows.

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 standard is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings. 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. This ASU is not expected to 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 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 continue to make progress in our due diligence and assess the impact of the new standard across our operations and on our consolidated financial statements, which will consist primarily of recording lease assets and liabilities on our balance sheet for our operating leases.

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 material 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 and early 2017, the FASB issued several ASUs that clarified principal versus agent (gross versus net) revenue presentation considerations, confirmed the accounting for certain prepaid stored-value products and clarified the guidance for identifying performance obligations within a contract, the accounting for licenses and partial sales of nonfinancial assets. 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 are finalizing reviews and working on implementing the process, policy and disclosure changes that will go into effect on January 1, 2018. At this time, we do not expect a material financial impact from adopting the new revenue standards.

Reclassifications:

Certain amounts previously reported have been reclassified to conform to current-year presentation. In connection with the October 1, 2016 segment change described above, prior-period segment information was updated to reflect the new segment structure. See Note 5, Goodwill and Intangible Assets; Note 6, 2014-2018 Restructuring Program; and Note 15, Segment Reporting. We also reclassified certain amounts previously reported within our condensed consolidated statements of comprehensive earnings and Note 12, Reclassifications from Accumulated Other Comprehensive Income, to be consistent with the current-year presentation.

Divestitures and Acquisitions

9 Months Ended

Sep. 30, 2017

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, Jacobs Douwe Egberts (“JDE”). Following the exchange of a portion of our investment in JDE for an interest in Keurig Green Mountain, Inc. (“Keurig”) in March 2016, we held a 26.5% equity interest in JDE. (See discussion under 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 September 30, 2017, we hold a 26.5% voting interest, a 26.4% ownership interest and a 26.2% profit and dividend sharing interest in JDE. We recorded $50 million of JDE equity earnings for three months and $88 million for the nine months ended September 30, 2017 and losses of $3 million for the three months and earnings of $89 million for the nine months ended September 30, 2016. We also recorded $49 million of cash dividends received during the first quarter of 2017.

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.

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 as of September 30, 2016).

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, share ownership dilution from the JDE Class C, D and E shareholders is limited to 2%. We retained our 26.5% voting rights and have a slightly lower portion of JDE’s profits and dividends than our shareholder ownership interest as certain employee shareholders receive a slightly larger share. 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%.

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 condensed consolidated balance sheet as of September 30, 2017. The shareholder loan has a 5.5% interest rate and is payable at the end of a seven-year term on February 27, 2023. We recorded Keurig equity earnings, shareholder loan interest and dividends of $25 million, $6 million and $5 million during the three months and $54 million, $18 million and $11 million during the nine months ended September 30, 2017. In 2016, we recorded Keurig equity earnings, shareholder loan interest and dividends of $10 million, $6 million and $2 million during the three months and $39 million, $14 million and $4 million during the seven months ended September 30, 2016.

Other Divestitures and Acquisitions:

On October 2, 2017, we completed the sale of one of our equity method investments and received cash proceeds of $65 million.

In connection with the 2012 spin-off of Kraft Foods Group, Inc. (now a part of The Kraft Heinz Company (“KHC”)), Kraft Foods Group and we each granted the other various licenses to use certain trademarks in connection with particular product categories in specified jurisdictions. On August 17, 2017, we entered into two agreements with KHC to terminate the licenses of certain KHC-owned brands used in our grocery business within our Europe region and to transfer to KHC inventory and certain other assets. On August 17, 2017, the first transaction closed and we received cash proceeds of €9 million ($11 million as of August 17, 2017) and on October 23, 2017, the second transaction closed and we received cash proceeds of €3 million ($3 million as of October 23, 2017). The gain on both transactions combined is expected to be immaterial.

On July 4, 2017, we completed the sale of most of our grocery business in Australia and New Zealand to Bega Cheese Limited for $456 million Australian dollars ($347 million as of July 4, 2017) and we expect to make a final working capital adjustment next quarter. We divested $27 million of current assets, $135 million of non-current assets and $4 million of current liabilities based on the July 4, 2017 exchange rate. We recorded a pre-tax gain of $247 million Australian dollars ($187 million as of July 4, 2017) on the sale during the three months ended September 30, 2017. We incurred divestiture-related costs of $2 million in the six months ended June 30, 2017. We also had a gain on a foreign currency hedge of $2 million in the three months and a net loss of $3 million in the nine months ended September 30, 2017.

On April 28, 2017, we completed the sale of several manufacturing facilities in France and the sale or license of several local confectionery brands. We received net cash of approximately €157 million ($169 million as of April 28, 2017), net of cash divested with the businesses. On April 28, 2017, we divested $44 million of current assets, $155 million of non-current assets, $8 million of current liabilities and $22 million of non-current liabilities based on the April 28, 2017 exchange rate. We recorded a $3 million loss on the sale during the three months ended June 30, 2017. We incurred divestiture-related costs of $1 million in the three months and $22 million in the nine months ended September 30, 2017 and no divestiture-related costs in the three months and $84 million in the nine months ended September 30, 2016. These costs were recorded within cost of sales and selling, general and administrative expenses of our Europe segment. In prior periods, we recorded a $5 million impairment charge in May 2016 for a candy trademark to reduce the overall net assets to the estimated net sales proceeds after transaction costs. On March 31, 2016, we recorded a $14 million impairment charge for another 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.

On November 2, 2016, we purchased from Burton’s Biscuit Company certain intangibles, which included 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 ($245 million as of November 2, 2016). During the third quarter of 2017, we completed the valuation work and finalized the purchase price allocation of $66 million to definite-lived intangible assets, $173 million to goodwill, $2 million to property, plant and equipment and $4 million to inventory, reflecting a November 2, 2016 exchange rate.

On May 2, 2016, we completed the sale of certain local biscuit brands in Finland as part of our strategic decision to exit select small and local brands and shift investment toward our Power Brands. The sales price was €14 million ($16 million as of May 2, 2016) and 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) following the completion of post-closing requirements. The additional $2 million of consideration increased the pre-tax gain of $6 million recorded in the second quarter of 2016 to a total 2016 pre-tax gain of $8 million.

Sales of Property:

In the third quarter of 2016, 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 of 2016, we also sold property within our North America segment and from our centrally held corporate assets. The North America sale generated cash proceeds of $40 million and a pre-tax gain of $33 million. The corporate aircraft sale 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 the nine months ended September 30, 2016.

Inventories

9 Months Ended

Sep. 30, 2017

Inventories

Note 3. Inventories

Inventories consisted of the following:


	As of September 30,			As of December 31,
	2017			2016
	(in millions)

Raw materials	$	764		$	722
Finished product		2,154			1,865


		2,918			2,587
Inventory reserves		(137	)		(118	)

Inventories, net	$	2,781		$	2,469

Property, Plant and Equipment

9 Months Ended

Sep. 30, 2017

Property, Plant and Equipment

Note 4. Property, Plant and Equipment Property, plant and equipment consisted of the following:
	As of September 30,			As of December 31,
	2017			2016
	(in millions)

Land and land improvements	$	469		$	471
Buildings and building improvements		2,971			2,801
Machinery and equipment		11,179			10,302
Construction in progress		1,014			1,113

		15,633			14,687
Accumulated depreciation		(7,095	)		(6,458	)

Property, plant and equipment, net	$	8,538		$	8,229

For the nine months ended September 30, 2017, capital expenditures of $721 million excluded $220 million of accrued capital expenditures remaining unpaid at September 30, 2017 and included payment for a portion of the $343 million of capital expenditures that were accrued and unpaid at December 31, 2016. For the nine months ended September 30, 2016, capital expenditures of $909 million excluded $274 million of accrued capital expenditures remaining unpaid at September 30, 2016 and included 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 $46 million in the three months and $164 million in the nine months ended September 30, 2017 and $120 million in the three months and $233 million in the nine months ended September 30, 2016 (see Note 6, 2014-2018 Restructuring Program). These charges were recorded in the condensed consolidated statements of earnings within asset impairment and exit costs and in the segment results as follows:


	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
	(in millions)

Latin America	$	13	$	3	$	25	$	16
AMEA		20		9		62		30
Europe		10		49		52		87
North America		3		59		25		98
Corporate		–		–		–		2

Total non-cash asset write-downs	$	46	$	120	$	164	$	233

Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2017

Goodwill and Intangible Assets

Note 5. Goodwill and Intangible Assets

Goodwill by segment reflects our current segment structure for both periods presented:


	As of September 30,		As of December 31,
	2017		2016
	(in millions)
Latin America	$	947	$	897
AMEA		3,349		3,324
Europe		7,837		7,170
North America		8,938		8,885

Goodwill	$	21,071	$	20,276

Intangible assets consisted of the following:


	As of September 30,			As of December 31,
	2017			2016
	(in millions)
Non-amortizable intangible assets	$	17,625		$	17,004
Amortizable intangible assets		2,414			2,315

		20,039			19,319
Accumulated amortization		(1,401	)		(1,218	)

Intangible assets, net	$	18,638		$	18,101

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 September 30, 2017, the weighted-average life of our amortizable intangible assets was 13.6 years.

Amortization expense for intangible assets was $45 million for the three months and $133 million for the nine months ended September 30, 2017 and $44 million for the three months and $132 million for the nine months ended September 30, 2016. For the next five years, we currently estimate annual amortization expense of approximately $180 million for the next four years and approximately $90 million in year five, reflecting September 30, 2017 exchange rates.

Changes in goodwill and intangible assets consisted of:


	Goodwill			Intangible Assets, at cost
	(in millions)
Balance at January 1, 2017	$	20,276		$	19,319
Currency		889			898
Divestitures		(109	)		(62	)
Acquisition		15			(7	)
Asset impairments		–			(109	)

Balance at September 30, 2017	$	21,071		$	20,039

Changes to goodwill and intangibles were:

•

Divestitures – During 2017, we divested several manufacturing facilities, primarily in France, and as a result of the divestiture, $23 million of goodwill and $62 million of amortizable and non-amortizable intangible assets. In the third quarter, we also completed a sale of most of our grocery business in Australia and New Zealand resulting in a goodwill decrease of $86 million. See Note 2, Divestitures and Acquisitions, for additional information.

•

Acquisition – During 2017, we recorded a $15 million adjustment to goodwill and a $7 million adjustment to indefinite lived assets in connection with finalizing the valuation and purchase price allocation for the Burton’s Biscuit Company purchase completed in the fourth quarter of 2016. See Note 2, Divestitures and Acquisitions, for additional information.

•

Asset impairments – During the third quarter of 2017, we recorded $70 million of intangible asset impairments related to our annual testing of non-amortizable intangible assets as described further below and a $1 million impairment related to a transaction. During the second quarter of 2017, we recorded a $38 million intangible asset impairment charge resulting from a category decline and lower than expected product growth related to a gum trademark in our North America segment.

We have historically annually tested goodwill and non-amortizable intangible assets for impairment as of October 1. This year, we voluntarily changed the annual impairment assessment date from October 1 to July 1. We believe this measurement date, which represents a change in the method of applying an accounting principle, is preferable because it better aligns with our strategic business planning process and financial forecasts which are key components of the annual impairment tests. The change in the measurement date did not delay, accelerate or prevent an impairment charge. Each quarter, we have evaluated goodwill and intangible asset impairment risks and recognized any related impairments to date. As such, the change in the annual test date was applied on July 1, 2017.

As part of our goodwill quantitative annual impairment testing, we compare a reporting unit’s estimated fair value with its carrying value to evaluate the risk of potential goodwill impairment. 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 7.2% 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 10.2%. Estimating the fair value of individual reporting units requires us to make assumptions and estimates regarding our future plans and 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 record an impairment based on the difference between the carrying value and fair value of the reporting unit.

In 2017 and 2016, there were no goodwill impairments and each of our reporting units had sufficient fair value in excess of its 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 2017 annual testing of non-amortizable intangible assets, we recorded $70 million of impairment charges in the third quarter of 2017 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. We recorded charges related to candy and gum trademarks of $52 million in AMEA, $11 million in Europe, $5 million in Latin America and $2 million in North 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. We also noted thirteen brands, including the five impaired trademarks, with $965 million of aggregate book value as of September 30, 2017 that each had a fair value in excess of book value of 10% or less. We believe our current plans for each of these brands will allow them to continue to not be impaired, but 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.

- Definition

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

+ References + Details

2014-2018 Restructuring Program

9 Months Ended

Sep. 30, 2017

Debt and Borrowing Arrangements

Note 6. 2014-2018 Restructuring Program

On May 6, 2014, our Board of Directors approved a $3.5 billion restructuring program and up to $2.2 billion of capital expenditures. On August 31, 2016, our Board of Directors approved a $600 million reallocation between restructuring program cash costs and capital expenditures so that now the $5.7 billion program consists 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 $3.1 billion related to the 2014-2018 Restructuring Program. We expect to incur the full $4.1 billion of program charges by year-end 2018.

Restructuring Costs:

We recorded restructuring charges of $113 million in the three months and $418 million in the nine months ended September 30, 2017 and $187 million in the three months and $480 million in the nine months ended September 30, 2016 within asset impairment and exit costs. The 2014-2018 Restructuring Program liability activity for the nine months ended September 30, 2017 was:


	Severance and related costs			Asset Write-downs			Total
	(in millions)
Liability balance, January 1, 2017	$	464		$	–		$	464
Charges		250			168			418
Cash spent		(245	)		–			(245	)
Non-cash settlements/adjustments		(6	)		(168	)		(174	)
Currency		30			–			30

Liability balance, September 30, 2017	$	493		$	–		$	493

We spent $83 million in the three months and $245 million in the nine months ended September 30, 2017 and $89 million in the three months and $249 million in the nine months ended September 30, 2016 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 $48 million in the three months and $174 million in the nine months ended September 30, 2017 and $120 million in the three months and $244 million in the nine months ended September 30, 2016. At September 30, 2017, $431 million of our net restructuring liability was recorded within other current liabilities and $62 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 $62 million in the three months and $179 million in the nine months ended September 30, 2017 and $114 million in the three months and $286 million in the nine months ended September 30, 2016. 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 the three and nine months ended September 30, 2017 and September 30, 2016, and since inception of the 2014-2018 Restructuring Program, we recorded restructuring and implementation costs within operating income by segment (as revised to reflect our current segment structure) as follows:


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

For the Three Months Ended September 30, 2017
Restructuring Costs	$	45	$	32	$	30	$	7	$	(1	)	$	113
Implementation Costs		8		11		18		13		12			62

Total	$	53	$	43	$	48	$	20	$	11		$	175


For the Nine Months Ended September 30, 2017
Restructuring Costs	$	76	$	106	$	149	$	79	$	8		$	418
Implementation Costs		28		30		49		38		34			179

Total	$	104	$	136	$	198	$	117	$	42		$	597


For the Three Months Ended September 30, 2016
Restructuring Costs	$	27	$	9	$	76	$	75	$	–		$	187
Implementation Costs		15		9		45		30		15			114

Total	$	42	$	18	$	121	$	105	$	15		$	301


For the Nine Months Ended September 30, 2016
Restructuring Costs	$	71	$	72	$	188	$	144	$	5		$	480
Implementation Costs		34		27		78		101		46			286

Total	$	105	$	99	$	266	$	245	$	51		$	766


Total Project 2014-2017 ⁽³⁾
Restructuring Costs	$	413	$	413	$	798	$	433	$	60		$	2,117
Implementation Costs		137		116		253		233		209			948

Total	$	550	$	529	$	1,051	$	666	$	269		$	3,065

(1)

During 2017 and 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 September 30, 2017.

Debt and Borrowing Arrangements

9 Months Ended

Sep. 30, 2017

Note 7. Debt and Borrowing Arrangements

Short-Term Borrowings:

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


	As of September 30, 2017				As of December 31, 2016
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	4,370		1.3%	$	2,371		1.0%
Bank loans		181		10.6%		160		10.6%

Total short-term borrowings	$	4,551			$	2,531

As of September 30, 2017, commercial paper issued and outstanding had between 2 and 66 days remaining to maturity. Commercial paper borrowings increased since year-end primarily as a result of issuances to finance the payment of long-term debt maturities, dividend payments and share repurchases during the year.

Some of our international subsidiaries maintain primarily uncommitted credit lines to meet short-term working capital needs. Collectively, these credit lines amounted to $1.9 billion at September 30, 2017 and $1.8 billion at December 31, 2016. Borrowings on these lines were $181 million at September 30, 2017 and $160 million at December 31, 2016.

Borrowing Arrangements:

On March 1, 2017, to supplement our commercial paper program, we entered into a $1.5 billion revolving credit agreement for a 364-day senior unsecured credit facility that is scheduled to expire on February 28, 2018. The agreement includes the same terms and conditions as our existing $4.5 billion multi-year credit facility discussed below. As of September 30, 2017, no amounts were drawn on the facility.

We also 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 September 30, 2017, we complied with this covenant as our shareholders’ equity, as defined by the covenant, was $35.9 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 September 30, 2017, no amounts were drawn on the facility.

Long-Term Debt:

On April 12, 2017, we discharged $488 million of our 6.500% U.S. dollar-denominated debt. We paid $504 million, representing principal as well as past and future interest accruals from February 2017 through the August 2017 maturity date. We recorded an $11 million loss on debt extinguishment within interest expense and a $5 million reduction in accrued interest.

On March 30, 2017, fr.175 million of our 0.000% Swiss franc-denominated notes matured. The notes and accrued interest to date were paid with net proceeds from the fr.350 million Swiss franc-denominated notes issued on March 13, 2017.

On March 13, 2017, we launched an offering of fr.350 million of Swiss franc-denominated notes, or $349 million in U.S. dollars as of March 31, 2017, consisting of:

•

fr.225 million (or $224 million) of 0.050% fixed rate notes that mature on March 30, 2020

•

fr.125 million (or $125 million) of 0.617% fixed rate notes that mature on September 30, 2024

On March 30, 2017, we received net proceeds of fr.349 million (or $349 million) that were used for general corporate purposes.

On January 26, 2017, €750 million of our 1.125% euro-denominated notes matured. The notes and accrued interest to date were paid with the issuance of commercial paper and cash on hand.

Our weighted-average interest rate on our total debt was 2.0% as of September 30, 2017 and 2.2% as of December 31, 2016, down from 3.7% as of December 31, 2015.

Fair Value of Our Debt:

The fair value of our short-term borrowings at September 30, 2017 and December 31, 2016 reflects current market interest rates and approximates the amounts we have recorded on our condensed consolidated balance sheets. 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 September 30, 2017, the aggregate fair value of our total debt was $19,367 million and its carrying value was $18,633 million. At December 31, 2016, the aggregate fair value of our total debt was $17,882 million and its carrying value was $17,199 million.

Interest and Other Expense, net:

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


	For the Three Months Ended					For the Nine Months Ended
	September 30,					September 30,
	2017			2016		2017			2016
	(in millions)

Interest expense, debt	$	89		$	129	$	295		$	400
Loss on debt extinguishment		–			–		11			–
Loss related to interest rate swaps		–			–		–			97
Other (income)/expense, net		(70	)		16		(44	)		43

Interest and other expense, net	$	19		$	145	$	262		$	540

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 quarter of 2016. See Note 11, Commitments and Contingencies, for information on the $59 million of other income recorded in connection with the resolution of a Brazilian indirect tax matter and the reversal of related accrued interest.

Financial Instruments

9 Months Ended

Sep. 30, 2017

Financial Instruments

Note 8. Financial Instruments

Fair Value of Derivative Instruments:

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


	As of September 30, 2017				As of December 31, 2016
	Asset		Liability		Asset		Liability
	Derivatives		Derivatives		Derivatives		Derivatives
	(in millions)

Derivatives designated as accounting hedges:
Currency exchange contracts	$	–	$	2	$	19	$	8
Commodity contracts		1		–		17		22
Interest rate contracts		33		421		108		19

	$	34	$	423	$	144	$	49


Derivatives not designated as accounting hedges:
Currency exchange contracts	$	70	$	45	$	29	$	43
Commodity contracts		35		169		112		167
Interest rate contracts		15		10		27		19

	$	120	$	224	$	168	$	229

Total fair value	$	154	$	647	$	312	$	278

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 on our condensed consolidated balance sheets. 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 September 30, 2017
	Total Fair Value of Net Asset/(Liability)			Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
	(in millions)

Currency exchange contracts	$	23		$	–		$	23		$	–
Commodity contracts		(133	)		(133	)		–			–
Interest rate contracts		(383	)		–			(383	)		–

Total derivatives	$	(493	)	$	(133	)	$	(360	)	$	–


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

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

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

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 $198 million as of September 30, 2017 and $133 million as of December 31, 2016 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 $65 million as of September 30, 2017 and $48 million as of December 31, 2016. As of September 30, 2017, we have no derivatives in a net liability position, and as of December 31, 2016 we would have owed $2 million for 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 $409 million as of September 30, 2017 and $40 million as of December 31, 2016, and for derivatives we have in a net asset position, our counterparties would owe us a total of $25 million as of September 30, 2017 and $162 million as of December 31, 2016. 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 September 30, 2017		As of December 31, 2016
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	3,649	$	3,343
Forecasted transactions		2,066		1,452
Commodity contracts		1,137		837
Interest rate contracts		6,517		6,365
Net investment hedge – euro notes		3,975		4,012
Net investment hedge – pound sterling notes		454		419
Net investment hedge – Swiss franc notes		1,704		1,447

Cash Flow Hedges:

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


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Accumulated (loss)/gain at beginning of period	$	(91	)	$	(36	)	$	(121	)	$	(45	)
Transfer of realized (gains)/losses in fair value to earnings		(13	)		(2	)		(10	)		64
Unrealized gain/(loss) in fair value		(6	)		4			21			(53	)

Accumulated (loss)/gain at end of period	$	(110	)	$	(34	)	$	(110	)	$	(34	)


After-tax gains/(losses) reclassified from accumulated other comprehensive earnings/(losses) into net earnings were:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Currency exchange contracts – forecasted transactions	$	(3	)	$	(6	)	$	(2	)	$	(3	)
Commodity contracts		16			8			12			(1	)
Interest rate contracts		–			–			–			(60	)

Total	$	13		$	2		$	10		$	(64	)


After-tax gains/(losses) recognized in other comprehensive earnings/(losses) were:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Currency exchange contracts – forecasted transactions	$	(11	)	$	(11	)	$	(37	)	$	(21	)
Commodity contracts		25			10			31			19
Interest rate contracts		(20	)		5			27			(51	)

Total	$	(6	)	$	4		$	21		$	(53	)

Cash flow hedge ineffectiveness was not material for all periods presented.

Within interest and other expense, net, we recorded pre-tax losses of $97 million in the first quarter of 2016 related to amounts excluded from effectiveness testing. This amount relates 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 first quarter of 2016. Amounts excluded from effectiveness testing were not material for all other periods presented.

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 $11 million (net of taxes) for commodity cash flow hedges, unrealized losses of $2 million (net of taxes) for currency cash flow hedges and unrealized losses of $1 million (net of taxes) for interest rate cash flow hedges to earnings during the next 12 months.

Cash Flow Hedge Coverage:

As of September 30, 2017, we hedged transactions forecasted to impact cash flows over the following periods:

•

commodity transactions for periods not exceeding the next 3 months;

•

interest rate transactions for periods not exceeding the next 6 years and 1 month; and

•

currency exchange transactions for periods not exceeding the next 3 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 Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Derivatives	$	(2	)	$	(11	)	$	(4	)	$	(2	)
Borrowings		2			11			4			2
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 Three Months Ended September 30,						For the Nine Months Ended September 30,						Location of Gain/(Loss) Recognized in Earnings
	2017			2016			2017			2016			Location of Gain/(Loss) Recognized in Earnings
	(in millions)
Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	(13	)	$	7		$	(8	)	$	18		Interest and other expense, net
Forecasted transactions		(1	)		(14	)		–			(91	)	Cost of sales
Forecasted transactions		1			2			(1	)		10		Interest and other expense, net
Forecasted transactions		–			4			2			16		Selling, general and administrative expenses
Commodity contracts		(17	)		(13	)		(176	)		(26	)	Cost of sales

Total	$	(30	)	$	(14	)	$	(183	)	$	(73	)

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:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,						Location of Gain/(Loss) Recognized in AOCI
	2017			2016			2017			2016			Location of Gain/(Loss) Recognized in AOCI
	(in millions)
Euro notes	$	(83	)	$	(38	)	$	(279	)	$	(110	)	Currency
Pound sterling notes		(8	)		21			(23	)		107		Translation
Swiss franc notes		12			(4	)		(53	)		(33	)	Adjustment

Benefit Plans

9 Months Ended

Sep. 30, 2017

Benefit Plans

Note 9. Benefit Plans

Pension Plans

Components of Net Periodic Pension Cost:

Net periodic pension cost consisted of the following:


	U.S. Plans						Non-U.S. Plans
	For the Three Months Ended September 30,						For the Three Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	12		$	15		$	40		$	37
Interest cost		16			15			51			57
Expected return on plan assets		(25	)		(24	)		(110	)		(105	)
Amortization:
Net loss from experience differences		10			12			43			31
Prior service credit		–			–			(1	)		–
Settlement losses and other expenses		6			9			–			–

Net periodic pension cost	$	19		$	27		$	23		$	20


	U.S. Plans						Non-U.S. Plans
	For the Nine Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	34		$	42		$	117		$	114
Interest cost		47			46			148			179
Expected return on plan assets		(75	)		(72	)		(322	)		(326	)
Amortization:
Net loss from experience differences		27			30			124			93
Prior service cost/(credit)		1			1			(2	)		(2	)
Settlement losses/(gains) and other expenses		27			25			2			(1	)

Net periodic pension cost	$	61		$	72		$	67		$	57

Within settlement losses/(gains) and other expenses are losses of $1 million for the three months and $12 million for the nine months ended September 30, 2017 and $3 million for the three months and $12 million for the nine months ended September 30, 2016, that are related to our 2014-2018 Restructuring Program and are recorded within asset impairment and exit costs on our condensed consolidated statements of earnings.

Employer Contributions:

During the nine months ended September 30, 2017, we contributed $19 million to our U.S. pension plans and $408 million to our non-U.S. pension plans. The non-U.S. amount included a non-recurring $250 million contribution made in connection with a new funding agreement for a Company plan in the U.K. We make contributions to our pension plans in accordance with local funding arrangements and statutory minimum funding requirements. Discretionary contributions are made to the extent that they are tax deductible and do not generate an excise tax liability.

As of September 30, 2017, we plan to make further contributions of approximately $7 million to our U.S. plans and approximately $47 million to our non-U.S. plans during the remainder of 2017. 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.

Postretirement Benefit Plans

Net periodic postretirement health care costs consisted of the following:


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	1		$	3		$	5		$	9
Interest cost		4			6			11			16
Amortization:
Net loss from experience differences		4			2			11			5
Prior service credit ⁽¹⁾		(10	)		(11	)		(30	)		(14	)

Net periodic postretirement health care (credits)/costs	$	(1	)	$	–		$	(3	)	$	16

(1)

For the three and nine months ended September 30, 2017, amortization of prior service credit includes an $8 million and $24 million gain respectively, related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants.

Postemployment Benefit Plans

Net periodic postemployment costs consisted of the following:


	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2017			2016		2017			2016
	(in millions)
Service cost	$	1		$	2	$	4		$	5
Interest cost		1			1		3			4
Amortization of net gains		(1	)		–		(3	)		–

Net periodic postemployment costs	$	1		$	3	$	4		$	9

Stock Plans

9 Months Ended

Sep. 30, 2017

Stock Plans

Note 10. Stock Plans

Stock Options:

Stock option activity is reflected below:


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

Balance at January 1, 2017		53,601,612		$	28.02		6 years	$	874 million

Annual grant to eligible employees		6,012,140			43.20
Additional options issued		29,300			44.49

Total options granted		6,041,440			43.21
Options exercised ⁽¹⁾		(7,837,372	)		26.49			$	142 million
Options cancelled		(1,536,249	)		38.96

Balance at September 30, 2017		50,269,431			29.75		6 years	$	563 million

(1)

Cash received from options exercised was $43 million in the three months and $213 million in the nine months ended September 30, 2017. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises totaled $6 million in the three months and $24 million in the nine months ended September 30, 2017.

Performance Share Units and Other Stock-Based Awards:

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


						Weighted-Average		Weighted-Average
	Number					Fair Value		Aggregate
	of Shares			Grant Date		Per Share ⁽³⁾		Fair Value ⁽³⁾

Balance at January 1, 2017		7,593,627				$	36.90

Annual grant to eligible employees:					Feb. 16, 2017
Performance share units		1,087,010					43.14
Deferred stock units		845,550					43.20
Additional shares granted ⁽¹⁾		546,001			Various		33.81

Total shares granted		2,478,561					41.11	$	102 million
Vested ⁽²⁾		(2,522,072	)				33.70	$	84 million
Forfeited ⁽²⁾		(675,920	)				38.43

Balance at September 30, 2017		6,874,196					39.44

(1)

Includes performance share units and deferred stock units.

(2)

Includes performance share units, deferred stock units and historically granted restricted stock. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the shares vested totaled less than $1 million in the three months and $7 million in the nine months ended September 30, 2017.

(3)

Prior-year weighted average fair value per share has been revised.

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, 2017, we had repurchased $10.8 billion of Common Stock pursuant to this authorization. During the nine months ended September 30, 2017, we repurchased approximately 42 million shares of Common Stock at an average cost of $43.67 per share, or an aggregate cost of approximately $1,817 million, all of which was paid during the period except for approximately $31 million settled in October 2017. All share repurchases were funded through available cash and commercial paper issuances. As of September 30, 2017, we have approximately $1 billion in remaining share repurchase capacity.

Commitments and Contingencies

9 Months Ended

Sep. 30, 2017

Commitments and Contingencies

Note 11. 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.

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 ($57 million as of September 30, 2017) 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 ($90 million as of September 30, 2017). We have appealed this order. In addition, the Excise Authority issued additional show cause notices in February 2015, December 2015 and October 2017 on the same issue but covering the periods January to October 2014, November 2014 to September 2015 and October 2015 to June 2017, respectively. These notices added a total of 4.9 billion Indian rupees ($75 million as of September 30, 2017) of unpaid excise taxes as well as penalties to be determined up to an amount equivalent to that claimed by the Excise Authority plus interest. With the implementation of the new Goods and Services Tax in India in July 2017, we will not receive any further show cause notices for additional amounts on this issue. 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 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 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 September 30, 2017, we had no material third-party guarantees recorded on our condensed consolidated balance sheet.

Tax Matters:

As part of our 2010 Cadbury acquisition, we became the responsible party for tax matters under a February 2, 2006 dated Deed of Tax Covenant between the Cadbury Schweppes PLC and related entities (“Schweppes”) and Black Lion Beverages and related entities. The tax matters included an ongoing transfer pricing case with the Spanish tax authorities related to the Schweppes businesses Cadbury divested prior to our acquisition of Cadbury. During the first quarter of 2017, the Spanish Supreme Court decided the case in our favor. As a result of the final ruling, during the first quarter of 2017, we recorded a favorable earnings impact of $46 million in selling, general and administrative expenses and $12 million in interest and other expense, net, for a total pre-tax impact of $58 million due to the non-cash reversal of Cadbury-related accrued liabilities related to this matter. In the third quarter of 2017, we recorded additional income of $3 million related to a bank guarantee release within selling, general and administrative expenses and interest and other expense, net.

During the first quarter of 2017, the Brazilian Supreme Court (the “Court”) ruled against the Brazilian tax authorities in a leading case related to the computation of certain indirect taxes. The Court ruled that the indirect tax base should not include a value-added tax known as “ICMS”. By removing the ICMS from the tax base, the Court effectively eliminated a “tax on a tax.” Our Brazilian subsidiary had received an injunction against making payments for the “tax on a tax” in 2008 and since that time until December 2016, had accrued this portion of the tax each quarter in the event that the tax was reaffirmed by the Brazilian courts. On September 30, 2017, based on legal advice and the publication of the Court’s decision related to this case, we determined that the likelihood that the increased tax base would be reinstated and assessed against us was remote. Accordingly, we reversed our accrual of 667 million Brazilian reais, or $212 million as of September 30, 2017, of which, $153 million was recorded within selling, general and administrative expenses and $59 million was recorded within interest and other expense, net. The Brazilian tax authority may appeal the Court’s decision, seeking potential clarification or adjustment of the terms of enforcement. We continue to monitor developments in this matter and currently do not expect a material future impact on our financial statements.

Reclassifications from Accumulated Other Comprehensive Income

9 Months Ended

Sep. 30, 2017

Reclassifications from Accumulated Other Comprehensive Income

Note 12. 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 $28 million in the three months and $112 million in the nine months ended September 30, 2017 and $28 million in the three months and $206 million in the nine months ended September 30, 2016.


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Currency Translation Adjustments:
Balance at beginning of period	$	(8,007	)	$	(7,902	)	$	(8,914	)	$	(8,006	)
Currency translation adjustments		291			15			1,055			53
Reclassification to earnings related to:
Equity method investment exchange		–			–			–			57
Tax benefit/(expense)		46			13			205			21

Other comprehensive earnings/(losses)		337			28			1,260			131
Less: (gain)/loss attributable to noncontrolling interests		(8	)		2			(24	)		3

Balance at end of period		(7,678	)		(7,872	)		(7,678	)		(7,872	)

Pension and Other Benefit Plans:
Balance at beginning of period	$	(2,119	)	$	(1,830	)	$	(2,087	)	$	(1,934	)
Net actuarial (loss)/gain arising during period		(28	)		–			(19	)		24
Tax benefit/(expense) on net actuarial loss		25			–			25			(9	)
Losses/(gains) reclassified into net earnings:
Amortization of experience losses and prior service costs ⁽¹⁾		47			30			130			93
Settlement losses and other expenses ⁽¹⁾		6			10			24			25
Tax benefit on reclassifications ⁽²⁾		(10	)		(10	)		(31	)		(34	)
Currency impact		(50	)		7			(171	)		42

Other comprehensive (losses)/earnings		(10	)		37			(42	)		141

Balance at end of period		(2,129	)		(1,793	)		(2,129	)		(1,793	)

Derivative Cash Flow Hedges:
Balance at beginning of period	$	(91	)	$	(36	)	$	(121	)	$	(46	)
Net derivative gains/(losses)		2			6			31			(77	)
Tax benefit on net derivative gain/(loss)		(5	)		(2	)		(1	)		25
Losses/(gains) reclassified into net earnings:
Currency exchange contracts – forecasted transactions ⁽³⁾		2			7			2			3
Commodity contracts ⁽³⁾		(21	)		(8	)		(15	)		7
Interest rate contracts ⁽⁴⁾		–			–			–			96
Tax benefit on reclassifications ⁽²⁾		6			(1	)		3			(41	)
Currency impact		(3	)		–			(9	)		(1	)

Other comprehensive earnings/(losses)		(19	)		2			11			12

Balance at end of period		(110	)		(34	)		(110	)		(34	)

Accumulated other comprehensive income attributable to Mondelēz International:
Balance at beginning of period	$	(10,217	)	$	(9,768	)	$	(11,122	)	$	(9,986	)
Total other comprehensive earnings/(losses)		308			67			1,229			284
Less: loss/(gain) attributable to noncontrolling interests		(8	)		2			(24	)		3

Other comprehensive earnings/(losses) attributable to Mondelēz International		300			69			1,205			287

Balance at end of period	$	(9,917	)	$	(9,699	)	$	(9,917	)	$	(9,699	)

(1)

These reclassified losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans.

(2)

Taxes reclassified to earnings are recorded within the provision for income taxes.

(3)

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

(4)

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

Income Taxes

9 Months Ended

Sep. 30, 2017

Income Taxes

Note 13. Income Taxes

Based on current tax laws, our estimated annual effective tax rate for 2017, excluding the impacts from the sale of our Australian grocery business, is 25.8%, which reflects favorable impacts from the mix of pre-tax income in various non-U.S. tax jurisdictions, partially offset by an increase in domestic earnings as compared to the prior year. Our 2017 third quarter effective tax rate of 23.4% was favorably impacted by the divestiture of our Australian grocery business, which had a lower effective tax rate, resulting in a $27 million tax expense related to the pre-tax gain of $187 million. Our effective tax rate for the nine months ended September 30, 2017 of 21.3% was also favorably impacted by the sale of our Australian grocery business as well as other discrete one-time benefits. The discrete net tax benefits primarily consisted of a $74 million benefit from the release of uncertain tax positions due to expirations of statutes of limitations and audit settlements in various jurisdictions and a $16 million benefit related to the U.S. domestic production activities deduction.

As of the third quarter of 2016, our estimated annual effective tax rate for 2016 was 20.8%, reflecting favorable impacts from the mix of pre-tax income in various non-U.S. tax jurisdictions. Our 2016 third quarter effective tax rate of 7.2% included net benefit from discrete one-time events of $60 million, mainly due to $35 million from expirations of statutes of limitations and favorable audit settlements in several jurisdictions and a $17 million benefit from the reduction of U.K. net deferred tax liabilities resulting from tax legislation enacted during the third quarter of 2016 that reduced the U.K. corporate income tax rate. Our effective tax rate for the nine months ended September 30, 2016 of 13.6% was favorably impacted by net tax benefits of $109 million from discrete one-time events. The discrete net tax benefits primarily consisted of benefits of $73 million due to expirations of statutes of limitations and favorable audit settlements in several jurisdictions and a $17 million benefit from the reduction of U.K. net deferred tax liabilities resulting from tax legislation enacted during the third quarter of 2016 that reduced the U.K. corporate income tax rate.

Earnings Per Share

9 Months Ended

Sep. 30, 2017

Earnings Per Share

Note 14. Earnings Per Share

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


	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2017			2016		2017			2016
	(in millions, except per share data)

Net earnings	$	993		$	548	$	2,126		$	1,576
Noncontrolling interest (earnings)		(1	)		–		(6	)		(10	)

Net earnings attributable to Mondelēz International	$	992		$	548	$	2,120		$	1,566

Weighted-average shares for basic EPS		1,507			1,557		1,518			1,561
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17			19		19			18

Weighted-average shares for diluted EPS		1,524			1,576		1,537			1,579

Basic earnings per share attributable to Mondelēz International	$	0.66		$	0.35	$	1.40		$	1.00

Diluted earnings per share attributable to Mondelēz International	$	0.65		$	0.35	$	1.38		$	0.99

We exclude antidilutive Mondelēz International stock options from our calculation of weighted-average shares for diluted EPS. We excluded antidilutive stock options of 9.0 million for the three months and 8.0 million for the nine months ended September 30, 2017 and 4.3 million for the three months and 7.7 million for the nine months ended September 30, 2016.

Segment Reporting

9 Months Ended

Sep. 30, 2017

Segment Reporting

Note 15. 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 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.

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 and gains and losses on divestitures 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 Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Net revenues:
Latin America	$	908		$	868		$	2,666		$	2,528
AMEA		1,405			1,443			4,290			4,404
Europe		2,442			2,332			6,978			7,073
North America		1,775			1,753			4,996			5,148

Net revenues	$	6,530		$	6,396		$	18,930		$	19,153

Earnings before income taxes:
Operating income:
Latin America	$	255		$	92		$	469		$	191
AMEA		82			165			425			504
Europe		410			316			1,158			924
North America		318			274			824			840
Unrealized gains/(losses) on hedging activities (mark-to-market impacts)		28			(12	)		(69	)		(49	)
General corporate expenses		(54	)		(89	)		(196	)		(216	)
Amortization of intangibles		(45	)		(44	)		(133	)		(132	)
Net gain on divestitures		187			–			184			–

Operating income		1,181			702			2,662			2,062
Interest and other expense, net		(19	)		(145	)		(262	)		(540	)

Earnings before income taxes	$	1,162		$	557		$	2,400		$	1,522

Items impacting our segment operating results are discussed in Note 1, Basis of Presentation, Note 2, Divestitures and Acquisitions, Note 4, Property, Plant and Equipment, Note 5, Goodwill and Intangible Assets, Note 6, 2014-2018 Restructuring Program and Note 11, Commitments and Contingencies. 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.

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


	For the Three Months Ended September 30, 2017
	Latin America		AMEA		Europe		North America		Total
	(in millions)

Biscuits	$	210	$	444	$	761	$	1,427	$	2,842
Chocolate		207		520		1,196		74		1,997
Gum & Candy		247		228		185		274		934
Beverages		155		104		23		–		282
Cheese & Grocery		89		109		277		–		475

Total net revenues	$	908	$	1,405	$	2,442	$	1,775	$	6,530


	For the Three Months Ended September 30, 2016
	Latin America		AMEA		Europe		North America		Total
	(in millions)
Biscuits	$	191	$	416	$	677	$	1,403	$	2,687
Chocolate		185		508		1,124		65		1,882
Gum & Candy		247		239		218		285		989
Beverages		164		107		37		–		308
Cheese & Grocery		81		173		276		–		530

Total net revenues	$	868	$	1,443	$	2,332	$	1,753	$	6,396


	For the Nine Months Ended September 30, 2017
	Latin America		AMEA		Europe		North America		Total
	(in millions)

Biscuits	$	580	$	1,198	$	2,130	$	4,061	$	7,969
Chocolate		660		1,460		3,365		194		5,679
Gum & Candy		701		695		582		741		2,719
Beverages		477		466		88		–		1,031
Cheese & Grocery		248		471		813		–		1,532

Total net revenues	$	2,666	$	4,290	$	6,978	$	4,996	$	18,930


	For the Nine Months Ended September 30, 2016
	Latin America		AMEA		Europe		North America		Total
	(in millions)
Biscuits	$	551	$	1,179	$	2,039	$	4,162	$	7,931
Chocolate		562		1,393		3,368		153		5,476
Gum & Candy		713		745		688		833		2,979
Beverages		466		513		124		–		1,103
Cheese & Grocery		236		574		854		–		1,664

Total net revenues	$	2,528	$	4,404	$	7,073	$	5,148	$	19,153

Basis of Presentation (Policies)

9 Months Ended

Sep. 30, 2017

Basis of Presentation

Principles of Consolidation

Principles of Consolidation:

Segment Change

Segment Change:

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

•

Latin America

•

AMEA

•

Europe

•

North America

See Note 15, Segment Reporting, for additional information on our segments.

Currency Translation and Highly Inflationary Accounting

Currency Translation and Highly Inflationary Accounting:

Transfers of Financial Assets

Transfers of Financial Assets:

New Accounting Pronouncements

New Accounting Pronouncements:

Reclassifications

Reclassifications:

- Definition

Disclosure of accounting policy for transfers and servicing financial assets, including securitization transactions as well as repurchase and resale agreements. This disclosure may include how the entity (1) determines whether a transaction is accounted for as a sale; (2) accounts for a sale transaction, including the initial and subsequent accounting for any interests that the entity obtains or continues to hold in the transaction, how such interests are valued, and the significant assumptions used in the valuation; (3) accounts for a transaction that does not qualify for sale treatment (that is, a financing); and (4) accounts for its servicing assets and liabilities ("servicing"), including how such servicing is measured initially and subsequently, and the methodology and significant assumptions used to value such servicing.

+ References + Details

Inventories (Tables)

9 Months Ended

Sep. 30, 2017

Components of Inventories

Inventories consisted of the following:


	As of September 30,			As of December 31,
	2017			2016
	(in millions)

Raw materials	$	764		$	722
Finished product		2,154			1,865


		2,918			2,587
Inventory reserves		(137	)		(118	)

Inventories, net	$	2,781		$	2,469

Property, Plant and Equipment (Tables)

9 Months Ended

Sep. 30, 2017

Components of Property, Plant and Equipment

Property, plant and equipment consisted of the following:
	As of September 30,			As of December 31,
	2017			2016
	(in millions)

Land and land improvements	$	469		$	471
Buildings and building improvements		2,971			2,801
Machinery and equipment		11,179			10,302
Construction in progress		1,014			1,113

		15,633			14,687
Accumulated depreciation		(7,095	)		(6,458	)

Property, plant and equipment, net	$	8,538		$	8,229

Schedule of Restructuring and Implementation Costs


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

For the Three Months Ended September 30, 2017
Restructuring Costs	$	45	$	32	$	30	$	7	$	(1	)	$	113
Implementation Costs		8		11		18		13		12			62

Total	$	53	$	43	$	48	$	20	$	11		$	175


For the Nine Months Ended September 30, 2017
Restructuring Costs	$	76	$	106	$	149	$	79	$	8		$	418
Implementation Costs		28		30		49		38		34			179

Total	$	104	$	136	$	198	$	117	$	42		$	597


For the Three Months Ended September 30, 2016
Restructuring Costs	$	27	$	9	$	76	$	75	$	–		$	187
Implementation Costs		15		9		45		30		15			114

Total	$	42	$	18	$	121	$	105	$	15		$	301


For the Nine Months Ended September 30, 2016
Restructuring Costs	$	71	$	72	$	188	$	144	$	5		$	480
Implementation Costs		34		27		78		101		46			286

Total	$	105	$	99	$	266	$	245	$	51		$	766


Total Project 2014-2017 ⁽³⁾
Restructuring Costs	$	413	$	413	$	798	$	433	$	60		$	2,117
Implementation Costs		137		116		253		233		209			948

Total	$	550	$	529	$	1,051	$	666	$	269		$	3,065

(1)

(2)

Includes adjustment for rounding.

(3)

Includes all charges recorded since program inception on May 6, 2014 through September 30, 2017.

Property Plant and Equipment | Asset impairment and exit costs

Schedule of Restructuring and Implementation Costs

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


	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
	(in millions)

Latin America	$	13	$	3	$	25	$	16
AMEA		20		9		62		30
Europe		10		49		52		87
North America		3		59		25		98
Corporate		–		–		–		2

Total non-cash asset write-downs	$	46	$	120	$	164	$	233

Goodwill and Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2017

Schedule of Goodwill by Segment

Goodwill by segment reflects our current segment structure for both periods presented:


	As of September 30,		As of December 31,
	2017		2016
	(in millions)
Latin America	$	947	$	897
AMEA		3,349		3,324
Europe		7,837		7,170
North America		8,938		8,885

Goodwill	$	21,071	$	20,276

Intangible Assets Disclosure

Intangible assets consisted of the following:


	As of September 30,			As of December 31,
	2017			2016
	(in millions)
Non-amortizable intangible assets	$	17,625		$	17,004
Amortizable intangible assets		2,414			2,315

		20,039			19,319
Accumulated amortization		(1,401	)		(1,218	)

Intangible assets, net	$	18,638		$	18,101

Changes in Goodwill and Intangible Assets

Changes in goodwill and intangible assets consisted of:


	Goodwill			Intangible Assets, at cost
	(in millions)
Balance at January 1, 2017	$	20,276		$	19,319
Currency		889			898
Divestitures		(109	)		(62	)
Acquisition		15			(7	)
Asset impairments		–			(109	)

Balance at September 30, 2017	$	21,071		$	20,039

2014-2018 Restructuring Program (Tables)

9 Months Ended

Sep. 30, 2017

Schedule of Restructuring Costs

The 2014-2018 Restructuring Program liability activity for the nine months ended September 30, 2017 was:


	Severance and related costs			Asset Write-downs			Total
	(in millions)
Liability balance, January 1, 2017	$	464		$	–		$	464
Charges		250			168			418
Cash spent		(245	)		–			(245	)
Non-cash settlements/adjustments		(6	)		(168	)		(174	)
Currency		30			–			30

Liability balance, September 30, 2017	$	493		$	–		$	493

Debt and Borrowing Arrangements (Tables)

9 Months Ended

Sep. 30, 2017

Short-Term Borrowings and Related Weighted-Average Interest Rates

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


	As of September 30, 2017				As of December 31, 2016
	Amount		Weighted-		Amount		Weighted-
	Outstanding		Average Rate		Outstanding		Average Rate
	(in millions)				(in millions)

Commercial paper	$	4,370		1.3%	$	2,371		1.0%
Bank loans		181		10.6%		160		10.6%

Total short-term borrowings	$	4,551			$	2,531

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 Three Months Ended					For the Nine Months Ended
	September 30,					September 30,
	2017			2016		2017			2016
	(in millions)

Interest expense, debt	$	89		$	129	$	295		$	400
Loss on debt extinguishment		–			–		11			–
Loss related to interest rate swaps		–			–		–			97
Other (income)/expense, net		(70	)		16		(44	)		43

Interest and other expense, net	$	19		$	145	$	262		$	540

Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2017

Derivatives

Fair Value of Derivatives Instruments

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


	As of September 30, 2017				As of December 31, 2016
	Asset		Liability		Asset		Liability
	Derivatives		Derivatives		Derivatives		Derivatives
	(in millions)

Derivatives designated as accounting hedges:
Currency exchange contracts	$	–	$	2	$	19	$	8
Commodity contracts		1		–		17		22
Interest rate contracts		33		421		108		19

	$	34	$	423	$	144	$	49


Derivatives not designated as accounting hedges:
Currency exchange contracts	$	70	$	45	$	29	$	43
Commodity contracts		35		169		112		167
Interest rate contracts		15		10		27		19

	$	120	$	224	$	168	$	229

Total fair value	$	154	$	647	$	312	$	278

Schedule of Derivative Instruments Fair Value and Measurement Inputs

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


	As of September 30, 2017
	Total Fair Value of Net Asset/(Liability)			Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
	(in millions)

Currency exchange contracts	$	23		$	–		$	23		$	–
Commodity contracts		(133	)		(133	)		–			–
Interest rate contracts		(383	)		–			(383	)		–

Total derivatives	$	(493	)	$	(133	)	$	(360	)	$	–


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

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

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

Notional Values of Derivative Instruments

The net notional values of our derivative instruments were:


	Notional Amount
	As of September 30, 2017		As of December 31, 2016
	(in millions)

Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	3,649	$	3,343
Forecasted transactions		2,066		1,452
Commodity contracts		1,137		837
Interest rate contracts		6,517		6,365
Net investment hedge – euro notes		3,975		4,012
Net investment hedge – pound sterling notes		454		419
Net investment hedge – Swiss franc notes		1,704		1,447

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 Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Accumulated (loss)/gain at beginning of period	$	(91	)	$	(36	)	$	(121	)	$	(45	)
Transfer of realized (gains)/losses in fair value to earnings		(13	)		(2	)		(10	)		64
Unrealized gain/(loss) in fair value		(6	)		4			21			(53	)

Accumulated (loss)/gain at end of period	$	(110	)	$	(34	)	$	(110	)	$	(34	)

Schedule of Effects of Derivative Instruments

After-tax gains/(losses) reclassified from accumulated other comprehensive earnings/(losses) into net earnings were:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Currency exchange contracts – forecasted transactions	$	(3	)	$	(6	)	$	(2	)	$	(3	)
Commodity contracts		16			8			12			(1	)
Interest rate contracts		–			–			–			(60	)

Total	$	13		$	2		$	10		$	(64	)


After-tax gains/(losses) recognized in other comprehensive earnings/(losses) were:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)

Currency exchange contracts – forecasted transactions	$	(11	)	$	(11	)	$	(37	)	$	(21	)
Commodity contracts		25			10			31			19
Interest rate contracts		(20	)		5			27			(51	)

Total	$	(6	)	$	4		$	21		$	(53	)

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 Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Derivatives	$	(2	)	$	(11	)	$	(4	)	$	(2	)
Borrowings		2			11			4			2

Economic Hedging

Schedule of Effects of Derivative Instruments

Pre-tax gains/(losses) recorded in net earnings for economic hedges were:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,						Location of Gain/(Loss) Recognized in Earnings
	2017			2016			2017			2016			Location of Gain/(Loss) Recognized in Earnings
	(in millions)
Currency exchange contracts:
Intercompany loans and forecasted interest payments	$	(13	)	$	7		$	(8	)	$	18		Interest and other expense, net
Forecasted transactions		(1	)		(14	)		–			(91	)	Cost of sales
Forecasted transactions		1			2			(1	)		10		Interest and other expense, net
Forecasted transactions		–			4			2			16		Selling, general and administrative expenses
Commodity contracts		(17	)		(13	)		(176	)		(26	)	Cost of sales

Total	$	(30	)	$	(14	)	$	(183	)	$	(73	)

Net investment hedge

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:
	For the Three Months Ended September 30,						For the Nine Months Ended September 30,						Location of Gain/(Loss) Recognized in AOCI
	2017			2016			2017			2016			Location of Gain/(Loss) Recognized in AOCI
	(in millions)
Euro notes	$	(83	)	$	(38	)	$	(279	)	$	(110	)	Currency
Pound sterling notes		(8	)		21			(23	)		107		Translation
Swiss franc notes		12			(4	)		(53	)		(33	)	Adjustment

Benefit Plans (Tables)

9 Months Ended

Sep. 30, 2017

Pension Plans

Components of Net Costs

Net periodic pension cost consisted of the following:


	U.S. Plans						Non-U.S. Plans
	For the Three Months Ended September 30,						For the Three Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	12		$	15		$	40		$	37
Interest cost		16			15			51			57
Expected return on plan assets		(25	)		(24	)		(110	)		(105	)
Amortization:
Net loss from experience differences		10			12			43			31
Prior service credit		–			–			(1	)		–
Settlement losses and other expenses		6			9			–			–

Net periodic pension cost	$	19		$	27		$	23		$	20


	U.S. Plans						Non-U.S. Plans
	For the Nine Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	34		$	42		$	117		$	114
Interest cost		47			46			148			179
Expected return on plan assets		(75	)		(72	)		(322	)		(326	)
Amortization:
Net loss from experience differences		27			30			124			93
Prior service cost/(credit)		1			1			(2	)		(2	)
Settlement losses/(gains) and other expenses		27			25			2			(1	)

Net periodic pension cost	$	61		$	72		$	67		$	57

Postretirement Benefit Plans

Components of Net Costs

Net periodic postretirement health care costs consisted of the following:


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Service cost	$	1		$	3		$	5		$	9
Interest cost		4			6			11			16
Amortization:
Net loss from experience differences		4			2			11			5
Prior service credit ⁽¹⁾		(10	)		(11	)		(30	)		(14	)

Net periodic postretirement health care (credits)/costs	$	(1	)	$	–		$	(3	)	$	16

(1)

Postemployment Benefit Plans

Components of Net Costs

Net periodic postemployment costs consisted of the following:


	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2017			2016		2017			2016
	(in millions)
Service cost	$	1		$	2	$	4		$	5
Interest cost		1			1		3			4
Amortization of net gains		(1	)		–		(3	)		–

Net periodic postemployment costs	$	1		$	3	$	4		$	9

Stock Plans (Tables)

9 Months Ended

Sep. 30, 2017

Stock Options Activity

Stock option activity is reflected below:


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

Balance at January 1, 2017		53,601,612		$	28.02		6 years	$	874 million

Annual grant to eligible employees		6,012,140			43.20
Additional options issued		29,300			44.49

Total options granted		6,041,440			43.21
Options exercised ⁽¹⁾		(7,837,372	)		26.49			$	142 million
Options cancelled		(1,536,249	)		38.96

Balance at September 30, 2017		50,269,431			29.75		6 years	$	563 million

(1)

Deferred stock unit, performance share unit and restricted stock

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

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


						Weighted-Average		Weighted-Average
	Number					Fair Value		Aggregate
	of Shares			Grant Date		Per Share ⁽³⁾		Fair Value ⁽³⁾

Balance at January 1, 2017		7,593,627				$	36.90

Annual grant to eligible employees:					Feb. 16, 2017
Performance share units		1,087,010					43.14
Deferred stock units		845,550					43.20
Additional shares granted ⁽¹⁾		546,001			Various		33.81

Total shares granted		2,478,561					41.11	$	102 million
Vested ⁽²⁾		(2,522,072	)				33.70	$	84 million
Forfeited ⁽²⁾		(675,920	)				38.43

Balance at September 30, 2017		6,874,196					39.44

(1)

Includes performance share units and deferred stock units.

(2)

(3)

Prior-year weighted average fair value per share has been revised.

Reclassifications from Accumulated Other Comprehensive Income (Tables)

9 Months Ended

Sep. 30, 2017

Amounts Reclassified from Accumulated Other Comprehensive Earnings/(Losses)


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2017			2016			2017			2016
	(in millions)
Currency Translation Adjustments:
Balance at beginning of period	$	(8,007	)	$	(7,902	)	$	(8,914	)	$	(8,006	)
Currency translation adjustments		291			15			1,055			53
Reclassification to earnings related to:
Equity method investment exchange		–			–			–			57
Tax benefit/(expense)		46			13			205			21

Other comprehensive earnings/(losses)		337			28			1,260			131
Less: (gain)/loss attributable to noncontrolling interests		(8	)		2			(24	)		3

Balance at end of period		(7,678	)		(7,872	)		(7,678	)		(7,872	)

Pension and Other Benefit Plans:
Balance at beginning of period	$	(2,119	)	$	(1,830	)	$	(2,087	)	$	(1,934	)
Net actuarial (loss)/gain arising during period		(28	)		–			(19	)		24
Tax benefit/(expense) on net actuarial loss		25			–			25			(9	)
Losses/(gains) reclassified into net earnings:
Amortization of experience losses and prior service costs ⁽¹⁾		47			30			130			93
Settlement losses and other expenses ⁽¹⁾		6			10			24			25
Tax benefit on reclassifications ⁽²⁾		(10	)		(10	)		(31	)		(34	)
Currency impact		(50	)		7			(171	)		42

Other comprehensive (losses)/earnings		(10	)		37			(42	)		141

Balance at end of period		(2,129	)		(1,793	)		(2,129	)		(1,793	)

Derivative Cash Flow Hedges:
Balance at beginning of period	$	(91	)	$	(36	)	$	(121	)	$	(46	)
Net derivative gains/(losses)		2			6			31			(77	)
Tax benefit on net derivative gain/(loss)		(5	)		(2	)		(1	)		25
Losses/(gains) reclassified into net earnings:
Currency exchange contracts – forecasted transactions ⁽³⁾		2			7			2			3
Commodity contracts ⁽³⁾		(21	)		(8	)		(15	)		7
Interest rate contracts ⁽⁴⁾		–			–			–			96
Tax benefit on reclassifications ⁽²⁾		6			(1	)		3			(41	)
Currency impact		(3	)		–			(9	)		(1	)

Other comprehensive earnings/(losses)		(19	)		2			11			12

Balance at end of period		(110	)		(34	)		(110	)		(34	)

Accumulated other comprehensive income attributable to Mondelēz International:
Balance at beginning of period	$	(10,217	)	$	(9,768	)	$	(11,122	)	$	(9,986	)
Total other comprehensive earnings/(losses)		308			67			1,229			284
Less: loss/(gain) attributable to noncontrolling interests		(8	)		2			(24	)		3

Other comprehensive earnings/(losses) attributable to Mondelēz International		300			69			1,205			287

Balance at end of period	$	(9,917	)	$	(9,699	)	$	(9,917	)	$	(9,699	)

(1)

These reclassified losses are included in the components of net periodic benefit costs disclosed in Note 9, Benefit Plans.

(2)

Taxes reclassified to earnings are recorded within the provision for income taxes.

(3)

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

(4)

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

Earnings Per Share (Tables)

9 Months Ended

Sep. 30, 2017

Basic and Diluted Earnings Per Share

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


	For the Three Months Ended September 30,					For the Nine Months Ended September 30,
	2017			2016		2017			2016
	(in millions, except per share data)

Net earnings	$	993		$	548	$	2,126		$	1,576
Noncontrolling interest (earnings)		(1	)		–		(6	)		(10	)

Net earnings attributable to Mondelēz International	$	992		$	548	$	2,120		$	1,566

Weighted-average shares for basic EPS		1,507			1,557		1,518			1,561
Plus incremental shares from assumed conversions of stock options and long-term incentive plan shares		17			19		19			18

Weighted-average shares for diluted EPS		1,524			1,576		1,537			1,579

Basic earnings per share attributable to Mondelēz International	$	0.66		$	0.35	$	1.40		$	1.00

Diluted earnings per share attributable to Mondelēz International	$	0.65		$	0.35	$	1.38		$	0.99

Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2017

Net Revenues by Segment

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


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2017		2016		2017		2016
	(in millions)

Net revenues:
Latin America	$	908	$	868	$	2,666	$	2,528
AMEA		1,405		1,443		4,290		4,404
Europe		2,442		2,332		6,978		7,073
North America		1,775		1,753		4,996		5,148

Net revenues	$	6,530	$	6,396	$	18,930	$	19,153

Operating Income by Segment

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

For the Three Months Ended
September 30,

For the Nine Months Ended
September 30,

2017

2016

2017

2016

(in millions)

Earnings before income taxes:
Operating income:
Latin America	$	255		$	92		$	469		$	191
AMEA		82			165			425			504
Europe		410			316			1,158			924
North America		318			274			824			840
Unrealized gains/(losses) on hedging activities (mark-to-market impacts)		28			(12	)		(69	)		(49	)
General corporate expenses		(54	)		(89	)		(196	)		(216	)
Amortization of intangibles		(45	)		(44	)		(133	)		(132	)
Net gain on divestitures		187			–			184			–

Operating income		1,181			702			2,662			2,062
Interest and other expense, net		(19	)		(145	)		(262	)		(540	)

Earnings before income taxes	$	1,162		$	557		$	2,400		$	1,522

Net Revenues by Consumer Sector

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


	For the Three Months Ended September 30, 2017
	Latin America		AMEA		Europe		North America		Total
	(in millions)

Biscuits	$	210	$	444	$	761	$	1,427	$	2,842
Chocolate		207		520		1,196		74		1,997
Gum & Candy		247		228		185		274		934
Beverages		155		104		23		–		282
Cheese & Grocery		89		109		277		–		475

Total net revenues	$	908	$	1,405	$	2,442	$	1,775	$	6,530


	For the Three Months Ended September 30, 2016
	Latin America		AMEA		Europe		North America		Total
	(in millions)
Biscuits	$	191	$	416	$	677	$	1,403	$	2,687
Chocolate		185		508		1,124		65		1,882
Gum & Candy		247		239		218		285		989
Beverages		164		107		37		–		308
Cheese & Grocery		81		173		276		–		530

Total net revenues	$	868	$	1,443	$	2,332	$	1,753	$	6,396


	For the Nine Months Ended September 30, 2017
	Latin America		AMEA		Europe		North America		Total
	(in millions)

Biscuits	$	580	$	1,198	$	2,130	$	4,061	$	7,969
Chocolate		660		1,460		3,365		194		5,679
Gum & Candy		701		695		582		741		2,719
Beverages		477		466		88		–		1,031
Cheese & Grocery		248		471		813		–		1,532

Total net revenues	$	2,666	$	4,290	$	6,978	$	4,996	$	18,930


	For the Nine Months Ended September 30, 2016
	Latin America		AMEA		Europe		North America		Total
	(in millions)
Biscuits	$	551	$	1,179	$	2,039	$	4,162	$	7,931
Chocolate		562		1,393		3,368		153		5,476
Gum & Candy		713		745		688		833		2,979
Beverages		466		513		124		–		1,103
Cheese & Grocery		236		574		854		–		1,664

Total net revenues	$	2,528	$	4,404	$	7,073	$	5,148	$	19,153

Basis of Presentation - Additional Information (Detail) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017 USD ($) Country Subsidiary	Sep. 30, 2016 USD ($)	Sep. 30, 2017 USD ($) Country Subsidiary Segment	Sep. 30, 2016 USD ($)	Dec. 31, 2017	Jun. 30, 2017	Dec. 31, 2016 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Number of reportable segments \| Segment			4
Number of consolidated subsidiaries subject to highly inflationary accounting \| Subsidiary	0		0
Net revenues	$ 6,530	$ 6,396	$ 18,930	$ 19,153
Number of countries in which products are sold \| Country	165		165
Number of countries in which entity operates \| Country	80		80
Uncommitted revolving non-recourse accounts receivable factoring arrangements, maximum combined capacity							$ 1,000
Outstanding principal amount of receivables sold under factoring arrangement	$ 650		$ 650				$ 644
Argentina
Summary Of Significant Accounting Policies [Line Items]
Net revenues	$ 152		$ 454
Percentage of consolidated net revenues	2.30%		2.40%
UKRAINE
Summary Of Significant Accounting Policies [Line Items]
Net revenues	$ 21		$ 51
Percentage of consolidated net revenues	0.30%		0.30%
UKRAINE \| Maximum
Summary Of Significant Accounting Policies [Line Items]
Three-year cumulative inflation rate						100.00%
UKRAINE \| Scenario, Forecast \| Maximum
Summary Of Significant Accounting Policies [Line Items]
Three-year cumulative inflation rate					100.00%

Divestitures and Acquisitions - Additional Information (Detail) € in Millions, £ in Millions, AUD in Millions																						1 Months Ended	3 Months Ended								6 Months Ended	7 Months Ended	9 Months Ended		12 Months Ended
	Oct. 23, 2017 USD ($)	Oct. 23, 2017 EUR (€)	Oct. 02, 2017 USD ($)	Aug. 17, 2017 USD ($)	Aug. 17, 2017 EUR (€)	Jul. 04, 2017 USD ($)	Jul. 04, 2017 AUD	Apr. 28, 2017 USD ($)	Apr. 28, 2017 EUR (€)	Nov. 02, 2016 USD ($)	Nov. 02, 2016 GBP (£)	Oct. 31, 2016 USD ($)	Oct. 31, 2016 EUR (€)	Jul. 05, 2016 USD ($)	Jun. 30, 2016	May 02, 2016 USD ($)	May 02, 2016 EUR (€)	Mar. 31, 2016 USD ($)	Mar. 07, 2016 USD ($)	Mar. 07, 2016 EUR (€)	Mar. 03, 2016 USD ($)	May 31, 2016 USD ($)	Sep. 30, 2017 USD ($)	Sep. 30, 2017 AUD	Jun. 30, 2017 USD ($)	Mar. 31, 2017 USD ($)	Sep. 30, 2016 USD ($)	Sep. 30, 2016 EUR (€)	Jun. 30, 2016 USD ($)	Mar. 31, 2016 USD ($)	Jun. 30, 2017 USD ($)	Sep. 30, 2016 USD ($)	Sep. 30, 2017 USD ($)	Sep. 30, 2016 USD ($)	Dec. 31, 2016 USD ($)	Jul. 19, 2016 EUR (€)
Acquisition And Dispositions [Line Items]
Equity method investment net (losses) / earnings																							$ 103,000,000				$ 31,000,000						$ 236,000,000	$ 218,000,000
Gain on equity method investment exchange																																		43,000,000
Equity method investments																							6,060,000,000										6,060,000,000		$ 5,585,000,000
Gain (loss) on divestiture																							187,000,000										184,000,000
Proceeds from sale of property, plant and equipment and other																																	77,000,000	113,000,000
Intangible asset impairment																							1,000,000		$ 38,000,000								109,000,000
Business acquisition, goodwill																							21,071,000,000										21,071,000,000		20,276,000,000
Tax Authority, Spain
Acquisition And Dispositions [Line Items]
Interest and penalties expected to be paid																											34,000,000	€ 30
North America Segment
Acquisition And Dispositions [Line Items]
Intangible asset impairment																																	2,000,000
Business acquisition, goodwill																							8,938,000,000										8,938,000,000		8,885,000,000
Proceeds from sale of property																											10,000,000		$ 40,000,000
Europe Segment
Acquisition And Dispositions [Line Items]
Intangible asset impairment																																	11,000,000
Business acquisition, goodwill																							7,837,000,000										7,837,000,000		7,170,000,000
Corporate Aircraft \| Corporate Segment
Acquisition And Dispositions [Line Items]
Proceeds from sale of property																											3,000,000		20,000,000
Selling, general and administrative expenses \| North America Segment
Acquisition And Dispositions [Line Items]
Gain on sale of property																											6,000,000		33,000,000
Selling, general and administrative expenses \| Corporate Aircraft \| Corporate Segment
Acquisition And Dispositions [Line Items]
Gain on sale of property																											1,000,000		$ 6,000,000
Trademarks
Acquisition And Dispositions [Line Items]
Intangible asset impairment																							70,000,000										70,000,000
Burton's Biscuit Company
Acquisition And Dispositions [Line Items]
Cash paid for acquisition										$ 245,000,000	£ 199
Business acquisition, definite-life intangible assets										66,000,000
Business acquisition, goodwill										173,000,000
Business acquisition, property, plant and equipment										2,000,000
Business acquisition, inventory										$ 4,000,000
Acorn Holdings BV
Acquisition And Dispositions [Line Items]
Percentage of equity interest acquired by other parties																			73.50%	73.50%
Class C,D and E \| Acorn Holdings BV
Acquisition And Dispositions [Line Items]
Percentage of equity interest acquired by other parties															0.38%														0.38%
Class A \| Acorn Holdings BV
Acquisition And Dispositions [Line Items]
Percentage of equity interest acquired by other parties															73.22%				73.50%	73.50%									73.22%
Discontinued Operations, Held-for-sale \| Europe Segment \| The Kraft Heinz Company
Acquisition And Dispositions [Line Items]
Proceeds from divestiture of businesses				$ 11,000,000	€ 9
Discontinued Operations, Held-for-sale \| FINLAND
Acquisition And Dispositions [Line Items]
Proceeds from divestiture of businesses																$ 16,000,000	€ 14
Proceeds from sale of property, plant and equipment and other												$ 2,000,000	€ 2			14,000,000	€ 12
Indefinite-lived Intangible assets, divested																8,000,000
Pre-tax gain after transaction costs																													$ 6,000,000						$ 8,000,000
Discontinued Operations, Held-for-sale \| Australia And New Zealand
Acquisition And Dispositions [Line Items]
Proceeds from divestiture of businesses						$ 347,000,000	AUD 456
Disposal group, including discontinued operation, other current assets						27,000,000
Disposal group, including discontinued operation, other non current assets						135,000,000
Disposal group, including discontinued operation, other current liabilities						4,000,000
Gain (loss) on divestiture						$ 187,000,000																		AUD 247
Costs related to divestiture																															$ 2,000,000
Gain (loss) on foreign currency derivatives																							2,000,000										(3,000,000)
Discontinued Operations, Held-for-sale \| FRANCE
Acquisition And Dispositions [Line Items]
Disposal group, including discontinued operation, other current assets								$ 44,000,000
Disposal group, including discontinued operation, other non current assets								155,000,000
Disposal group, including discontinued operation, other current liabilities								8,000,000
Gain (loss) on divestiture																							(3,000,000)
Costs related to divestiture																							$ 1,000,000				0						$ 22,000,000	84,000,000
Proceeds from sale of property, plant and equipment and other								169,000,000	€ 157
Disposal group, including discontinued operation, other non current liabilities								$ 22,000,000
Discontinued Operations, Held-for-sale \| FRANCE \| Trademarks
Acquisition And Dispositions [Line Items]
Intangible asset impairment																		$ 14,000,000				$ 5,000,000
Subsequent Event
Acquisition And Dispositions [Line Items]
Proceeds from sales of equity method investment			$ 65,000,000
Subsequent Event \| Discontinued Operations, Held-for-sale \| Europe Segment \| The Kraft Heinz Company
Acquisition And Dispositions [Line Items]
Proceeds from divestiture of businesses	$ 3,000,000	€ 3
Maximum \| Discontinued Operations, Held-for-sale \| FINLAND
Acquisition And Dispositions [Line Items]
Other assets, divested																$ 1,000,000
JDE Coffee Business
Acquisition And Dispositions [Line Items]
Proceeds from divestiture of businesses														$ 275,000,000
JDE Coffee Business \| Tax Authority, Spain
Acquisition And Dispositions [Line Items]
Unfavorable tax expense \| €																																				€ 114
JDE
Acquisition And Dispositions [Line Items]
Equity method investment, ownership percentage																			26.50%	26.50%			26.40%										26.40%
Voting interest acquired percentage															26.50%								26.50%						26.50%				26.50%
Percentage of profit and dividend sharing interest																							26.20%										26.20%
Cash dividends received																										$ 49,000,000
Gain on equity method investment exchange																														$ 43,000,000
JDE \| Equity Earnings
Acquisition And Dispositions [Line Items]
Equity method investment net (losses) / earnings																							$ 50,000,000				(3,000,000)						$ 88,000,000	$ 89,000,000
JDE \| Acorn Holdings BV
Acquisition And Dispositions [Line Items]
Carrying value of equity method investments exchanged																			$ 2,000,000,000	€ 1,700
JDE \| Class C,D and E
Acquisition And Dispositions [Line Items]
Stock-based compensation, dilution percentage															2.00%
JDE \| Class B
Acquisition And Dispositions [Line Items]
Equity method investment, ownership percentage															26.40%				26.50%	26.50%									26.40%
JDE \| Minimum \| Class B
Acquisition And Dispositions [Line Items]
Equity method investment, ownership percentage															26.27%														26.27%
Keurig Green Mountain Inc.
Acquisition And Dispositions [Line Items]
Equity method investment, ownership percentage																			24.20%	24.20%
Equity method investment net (losses) / earnings																							5,000,000				2,000,000					$ 4,000,000	11,000,000
Equity method investments and shareholders loan receivable																							2,000,000,000										2,000,000,000
Equity method investments																							1,600,000,000										1,600,000,000
Shareholder loan receivable																							400,000,000										$ 400,000,000
Shareholder loan receivable, interest rate																																	5.50%
Shareholder loan receivable, loan term																																	7 years
Keurig Green Mountain Inc. \| Equity Earnings
Acquisition And Dispositions [Line Items]
Equity method investment net (losses) / earnings																							25,000,000				10,000,000					39,000,000	$ 54,000,000
Keurig Green Mountain Inc. \| Interest Income
Acquisition And Dispositions [Line Items]
Equity method investment net (losses) / earnings																							$ 6,000,000				$ 6,000,000					$ 14,000,000	$ 18,000,000
Keurig Green Mountain Inc. \| Acorn Holdings BV
Acquisition And Dispositions [Line Items]
Business combination, consideration transferred																					$ 13,900,000,000

Components of Inventories (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Inventory [Line Items]
Raw materials	$ 764	$ 722
Finished product	2,154	1,865
Inventories, gross	2,918	2,587
Inventory reserves	(137)	(118)
Inventories, net	$ 2,781	$ 2,469

Property, Plant and Equipment (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 15,633	$ 14,687
Accumulated depreciation	(7,095)	(6,458)
Property, plant and equipment, net	8,538	8,229
Land and Land Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	469	471
Buildings and Building Improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	2,971	2,801
Machinery and Equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	11,179	10,302
Construction in Progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 1,014	$ 1,113

Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Property, Plant and Equipment [Line Items]
Capital expenditures			$ 721	$ 909
Accrued capital expenditures unpaid			220	274
Payments for capital expenditures accrued in the prior year			343	322
Asset impairments and accelerated depreciation			287	262
2014-2018 Restructuring Program
Property, Plant and Equipment [Line Items]
Asset impairments and accelerated depreciation	$ 46	$ 120	$ 164	$ 233

Summary of Asset Impairment and Exit Costs (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation			$ 287	$ 262
2014-2018 Restructuring Program
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	$ 46	$ 120	164	233
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	13	3	25	16
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	20	9	62	30
2014-2018 Restructuring Program \| Europe Segment
Impaired Assets to be Disposed of by Method Other than Sale [Line Items]
Asset impairments and accelerated depreciation	10	49	52	87
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	$ 3	$ 59	$ 25	98
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	Sep. 30, 2017	Dec. 31, 2016
Segment Reporting Information [Line Items]
Goodwill	$ 21,071	$ 20,276
Latin America Segment
Segment Reporting Information [Line Items]
Goodwill	947	897
Asia Middle East Africa Segment
Segment Reporting Information [Line Items]
Goodwill	3,349	3,324
Europe Segment
Segment Reporting Information [Line Items]
Goodwill	7,837	7,170
North America Segment
Segment Reporting Information [Line Items]
Goodwill	$ 8,938	$ 8,885

Intangible Assets (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Intangible Assets [Line Items]
Non-amortizable intangible assets	$ 17,625	$ 17,004
Amortizable intangible assets	2,414	2,315
Total intangible assets, gross	20,039	19,319
Accumulated amortization	(1,401)	(1,218)
Intangible assets, net	$ 18,638	$ 18,101

Goodwill and Intangible Assets - Additional Information (Detail)		1 Months Ended	3 Months Ended			9 Months Ended
	Mar. 31, 2016 USD ($)	May 31, 2016 USD ($)	Sep. 30, 2017 USD ($) Brand	Jun. 30, 2017 USD ($)	Sep. 30, 2016 USD ($)	Sep. 30, 2017 USD ($) Brand	Sep. 30, 2016 USD ($)	Dec. 31, 2016 USD ($)
Goodwill and Intangible Assets Disclosure [Line Items]
Amortization expense for intangible assets			$ 45,000,000		$ 44,000,000	$ 133,000,000	$ 132,000,000
Estimated amortization expense in year 1			180,000,000			180,000,000
Estimated amortization expense in year 2			180,000,000			180,000,000
Estimated amortization expense in year 3			180,000,000			180,000,000
Estimated amortization expense in year 4			180,000,000			180,000,000
Estimated amortization expense in year 5			90,000,000			90,000,000
Goodwill, Divestitures						109,000,000
Intangible Assets, Divestitures						62,000,000
Goodwill, Acquisition						15,000,000
Intangible Assets, Acquisition						7,000,000
Intangible asset impairment			$ 1,000,000	$ 38,000,000		109,000,000
Impairment of goodwill						$ 0	$ 0
Number of brands impaired trademarks \| Brand			5			5
Number of brands \| Brand			13			13
Intangible asset, aggregate book value			$ 17,625,000,000			$ 17,625,000,000		$ 17,004,000,000
Asia Middle East Africa Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment						52,000,000
Europe Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment						11,000,000
Latin America Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment						5,000,000
North America Segment
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment						$ 2,000,000
North America and Europe
Goodwill and Intangible Assets Disclosure [Line Items]
Discount rate						7.20%
Latin America and AMEA
Goodwill and Intangible Assets Disclosure [Line Items]
Discount rate						10.20%
FRANCE
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill, Divestitures						$ 23,000,000
Intangible Assets, Divestitures						62,000,000
Australia And New Zealand \| Discontinued Operations, Held-for-sale
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill, Divestitures			86,000,000
Trademarks
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment			70,000,000			70,000,000
Intangible asset, aggregate book value			$ 965,000,000			$ 965,000,000
Trademarks \| FRANCE \| Discontinued Operations, Held-for-sale
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible asset impairment	$ 14,000,000	$ 5,000,000
Weighted Average
Goodwill and Intangible Assets Disclosure [Line Items]
Life of our amortizable intangible assets (in years)						13 years 7 months 6 days

Changes in Goodwill and Intangible Assets (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2017	Sep. 30, 2016
Goodwill And Intangible Assets [Line Items]
Goodwill beginning balance			$ 20,276,000,000
Goodwill, Currency			889,000,000
Goodwill, Divestitures			(109,000,000)
Goodwill, Acquisition			15,000,000
Goodwill, Asset impairments			0	$ 0
Goodwill ending balance	$ 21,071,000,000		21,071,000,000
Intangible Assets, at Cost beginning balance			19,319,000,000
Intangible Assets, Currency			898,000,000
Intangible Assets, Divestitures			(62,000,000)
Intangible Assets, Acquisition			(7,000,000)
Intangible Assets, Asset impairments	(1,000,000)	$ (38,000,000)	(109,000,000)
Intangible Assets, at Cost ending balance	$ 20,039,000,000		$ 20,039,000,000

2014-2018 Restructuring Program - Additional Information (Detail) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

41 Months Ended

Aug. 31, 2016

May 06, 2014

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Dec. 31, 2016

Capital expenditures

$ 721

$ 909

Reallocation of previously approved capital expenditures to be spent on restructuring program cash costs

$ 5,700

600

Restructuring and related cost, cost incurred

$ 175

$ 301

597

766

$ 3,065

^[1]

Restructuring charges

113

187

418

480

2,117

^[1]

Cash spent

245

249

Non-cash asset write-downs

120

174

244

Restructuring reserve

493

$ 464

2014-2018 Restructuring Program | Maximum

114

179

286

948

^[1]

2014-2018 Restructuring Program | Restructuring Program Costs

Capital expenditures

1,600

$ 2,200

2014-2018 Restructuring Program | Cash Expense

4,100

$ 3,500

2014-2018 Restructuring Program | Non Cash Expense

3,100

2014-2018 Restructuring Program | Selling, general and administrative expenses

$ 1,000

2014-2018 Restructuring Program | Other current liabilities

$ 114

179

$ 286

2014-2018 Restructuring Program | Other liabilities

Restructuring reserve

431

Restructuring reserve

$ 62

[1]	Includes all charges recorded since program inception on May 6, 2014 through September 30, 2017.

Schedule of Restructuring Costs (Detail) - 2014-2018 Restructuring Program - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

41 Months Ended

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Balance at beginning of period

$ 464

Charges

$ 113

$ 187

418

$ 480

$ 2,117

^[1]

Cash spent

(83)

(89)

(245)

(249)

Non-cash settlements/adjustments

(48)

$ (120)

(174)

$ (244)

Currency

Balance at end of period

493

Severance and Related Costs

Balance at beginning of period

464

Charges

250

Cash spent

(245)

Non-cash settlements/adjustments

(6)

Currency

Balance at end of period

$ 493

493

$ 493

Asset Write-Downs

Non-cash settlements/adjustments

Charges

168

$ (168)

[1]	Includes all charges recorded since program inception on May 6, 2014 through September 30, 2017.

Restructuring and Implementation Costs (Detail) - 2014-2018 Restructuring Program - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

41 Months Ended

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

^[1]

$ 113

$ 187

$ 418

$ 480

$ 2,117

114

179

286

948

Operating Segments | Latin America Segment

175

301

597

766

3,065

413

137

Operating Segments | Asia Middle East Africa Segment

104

105

550

106

413

116

Operating Segments | Europe Segment

136

529

149

188

798

253

Operating Segments | North America Segment

121

198

266

1,051

^[2]

144

433

^[2]

101

233

^[2]

105

117

245

666

Corporate

^[3]

(1)

^[3]

209

Defined Benefit Plan Disclosure [Line Items]

^[3]

$ 11

$ 15

$ 42

$ 51

$ 269

[1]	Includes all charges recorded since program inception on May 6, 2014 through September 30, 2017.
[2]	During 2017 and 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.
[3]	Includes adjustment for rounding.

Short-Term Borrowings and Related Weighted-Average Interest Rates (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Short-term Debt [Line Items]
Amount outstanding	$ 4,551	$ 2,531
Commercial Paper
Short-term Debt [Line Items]
Amount outstanding	$ 4,370	$ 2,371
Weighted-average rate	1.30%	1.00%
Bank Loans
Short-term Debt [Line Items]
Amount outstanding	$ 181	$ 160
Weighted-average rate	10.60%	10.60%

Debt and Borrowing Arrangements - Additional Information (Detail) € in Millions, SFr in Millions							9 Months Ended		12 Months Ended
	Apr. 12, 2017 USD ($)	Mar. 30, 2017 USD ($)	Mar. 30, 2017 CHF (SFr)	Mar. 13, 2017 CHF (SFr)	Mar. 01, 2017 USD ($)	Oct. 13, 2016	Sep. 30, 2017 USD ($)	Sep. 30, 2016 USD ($)	Sep. 30, 2017 USD ($)	Mar. 31, 2017 USD ($)	Jan. 26, 2017 EUR (€)	Dec. 31, 2016 USD ($)	Dec. 31, 2015
Debt Instrument [Line Items]
Long-term debt repaid							$ 1,468,000,000	$ 1,757,000,000
Loss on early extinguishment of debt							$ 11,000,000
Weighted-average interest rate							2.00%		2.00%			2.20%	3.70%
Fair value of total debt							$ 19,367,000,000		$ 19,367,000,000			$ 17,882,000,000
Carrying value of total debt							18,633,000,000		18,633,000,000			17,199,000,000
Other income recorded in connection with resolution of tax matters							59,000,000
International Subsidiaries
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity							1,900,000,000		1,900,000,000			1,800,000,000
Line of credit facility outstanding amount							181,000,000		181,000,000			$ 160,000,000
Revolving Credit Facility
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity					$ 1,500,000,000
Line of credit facility outstanding amount							0		0
Line of credit, expiration period					364 days
Revolving credit facility expiration date					Feb. 28, 2018
Revolving Credit Facility, October 11, 2021
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity							4,500,000,000		4,500,000,000
Line of credit facility outstanding amount							0		$ 0
Revolving credit facility expiration date						Oct. 11, 2018			Oct. 11, 2021
Revolving credit facility debt covenant							$ 24,600,000,000
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 September 30, 2017, we complied with this covenant
Total shareholders' equity, excluding accumulated other comprehensive earnings / (losses)							$ 35,900,000,000		$ 35,900,000,000
Minimum \| Commercial Paper
Debt Instrument [Line Items]
Commercial paper, Maturity period							2 days
Maximum \| Commercial Paper
Debt Instrument [Line Items]
Commercial paper, Maturity period							66 days
6.500% U.S. dollar-denominated Notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 488,000,000
Debt instrument, interest rate	6.50%
Long-term debt repaid	$ 504,000,000
Loss on early extinguishment of debt	11,000,000
Decrease in accrued interest	$ 5,000,000
0.000% Swiss franc-denominated Notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| SFr			SFr 175
Debt instrument, interest rate			0.00%
Swiss franc notes
Debt Instrument [Line Items]
Debt instrument, principal amount				SFr 350						$ 349,000,000
Net proceeds from issuance of notes		$ 349,000,000	SFr 349
1.125% Euro-denominated Notes
Debt Instrument [Line Items]
Debt instrument, principal amount \| €											€ 750
Debt instrument, interest rate											1.125%
0.050% Fixed Rate Notes, Mature on March 30, 2020
Debt Instrument [Line Items]
Debt instrument, principal amount				SFr 225			$ 224,000,000		224,000,000
Debt instrument, fixed interest rate				0.05%
Debt instrument maturity Year				Mar. 30, 2020
0.617% Fixed Rate Notes, Mature on September 30, 2024
Debt Instrument [Line Items]
Debt instrument, principal amount				SFr 125			$ 125,000,000		$ 125,000,000
Debt instrument, fixed interest rate				0.617%
Debt instrument maturity Year				Sep. 30, 2024

Interest and Other Expense Net Within Results of Continuing Operations (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Debt Instrument [Line Items]
Interest expense, debt	$ 89	$ 129	$ 295	$ 400
Loss on debt extinguishment			11
Loss related to interest rate swaps				97
Other (income)/expense, net	(70)	16	(44)	43
Interest and other expense, net	$ 19	$ 145	$ 262	$ 540

Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Derivatives, Fair Value [Line Items]
Asset Derivatives	$ 154	$ 312
Liability Derivatives	647	278
Derivatives Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Asset Derivatives	34	144
Liability Derivatives	423	49
Derivatives Designated as Hedging Instruments \| Currency exchange contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives		19
Liability Derivatives	2	8
Derivatives Designated as Hedging Instruments \| Commodity contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	1	17
Liability Derivatives		22
Derivatives Designated as Hedging Instruments \| Interest rate contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	33	108
Liability Derivatives	421	19
Derivatives Not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Asset Derivatives	120	168
Liability Derivatives	224	229
Derivatives Not Designated as Hedging Instruments \| Currency exchange contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	70	29
Liability Derivatives	45	43
Derivatives Not Designated as Hedging Instruments \| Commodity contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	35	112
Liability Derivatives	169	167
Derivatives Not Designated as Hedging Instruments \| Interest rate contracts
Derivatives, Fair Value [Line Items]
Asset Derivatives	15	27
Liability Derivatives	$ 10	$ 19

Derivative Instruments Fair Value and Measurement Inputs (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Derivative [Line Items]
Derivative fair value net asset (liability)	$ (493)	$ 34
Currency exchange contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	23	(3)
Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(133)	(60)
Interest rate contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(383)	97
Quoted Prices In Active Markets For Identical Assets (Level 1)
Derivative [Line Items]
Derivative fair value net asset (liability)	(133)	(86)
Quoted Prices In Active Markets For Identical Assets (Level 1) \| Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	(133)	(86)
Significant Other Observable Inputs (Level 2)
Derivative [Line Items]
Derivative fair value net asset (liability)	(360)	120
Significant Other Observable Inputs (Level 2) \| Currency exchange contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	23	(3)
Significant Other Observable Inputs (Level 2) \| Commodity contracts
Derivative [Line Items]
Derivative fair value net asset (liability)		26
Significant Other Observable Inputs (Level 2) \| Interest rate contracts
Derivative [Line Items]
Derivative fair value net asset (liability)	$ (383)	$ 97

Financial Instruments - Additional Information (Detail) - USD ($)	3 Months Ended	9 Months Ended
	Mar. 31, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Loss related to interest rate swaps			$ (97,000,000)
Interest rate contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions		6 years 1 month
Interest rate contracts \| Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Loss related to interest rate swaps	$ (97,000,000)
Expected transfers of unrealized gains (losses) to earnings, within next 12 months		$ (1,000,000)
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions		3 months
Commodity contracts \| Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Expected transfers of unrealized gains (losses) to earnings, within next 12 months		$ (11,000,000)
Currency exchange contracts
Derivative Instruments, Gain (Loss) [Line Items]
Hedged forecasted transactions		3 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		$ (2,000,000)
Quoted Prices In Active Markets For Identical Assets (Level 1)
Derivative Instruments, Gain (Loss) [Line Items]
Derivative liabilities after effects of netting		0		$ 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		65,000,000		48,000,000
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		198,000,000		133,000,000
Significant Other Observable Inputs (Level 2)
Derivative Instruments, Gain (Loss) [Line Items]
Derivative assets after effects of netting		25,000,000		162,000,000
Derivative liabilities after effects of netting		$ 409,000,000		$ 40,000,000

Notional Values of Derivative Instruments (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Net investment hedge \| Euro notes
Derivative [Line Items]
Notional Amount	$ 3,975	$ 4,012
Net investment hedge \| Pound sterling notes
Derivative [Line Items]
Notional Amount	454	419
Net investment hedge \| Swiss franc notes
Derivative [Line Items]
Notional Amount	1,704	1,447
Currency exchange contracts \| Intercompany loans and forecasted interest payments
Derivative [Line Items]
Notional Amount	3,649	3,343
Currency exchange contracts \| Forecasted transactions
Derivative [Line Items]
Notional Amount	2,066	1,452
Commodity contracts
Derivative [Line Items]
Notional Amount	1,137	837
Interest rate contracts
Derivative [Line Items]
Notional Amount	$ 6,517	$ 6,365

Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings/(Losses), Net of Taxes (Detail) - Cash Flow Hedges - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Accumulated (loss)/gain at beginning of period	$ (91)	$ (36)	$ (121)	$ (45)
Transfer of realized (gains)/losses in fair value to earnings	(13)	(2)	(10)	64
Unrealized gain/(loss) in fair value	(6)	4	21	(53)
Accumulated (loss)/gain at end of period	$ (110)	$ (34)	$ (110)	$ (34)

Effects of Cash Flow Hedges (Detail) - Cash Flow Hedges - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	$ 13	$ 2	$ 10	$ (64)
Gains / (losses) recognized in OCI	(6)	4	21	(53)
Currency exchange contracts \| Forecasted transactions
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	(3)	(6)	(2)	(3)
Gains / (losses) recognized in OCI	(11)	(11)	(37)	(21)
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings	16	8	12	(1)
Gains / (losses) recognized in OCI	25	10	31	19
Interest rate contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) reclassified from AOCI into earnings				(60)
Gains / (losses) recognized in OCI	$ (20)	$ 5	$ 27	$ (51)

Fair Value Hedges (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Fair Value Hedges (Detail) - USD ($) $ in Millions	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Interest Rate Swap
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (loss) recognized in income on fair value of hedges	$ (2)	$ (11)	$ (4)	$ (2)
Long-term Debt
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (loss) recognized in income on fair value of hedges	$ 2	$ 11	$ 4	$ 2

Economic Hedges (Detail) - Economic Hedging - Derivatives Not Designated as Hedging Instruments - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings	$ (30)	$ (14)	$ (183)	$ (73)
Commodity contracts \| Cost of Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings	(17)	(13)	(176)	(26)
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	(13)	7	(8)	18
Forecasted transactions \| Currency exchange contracts \| Interest and other expense, net
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings	1	2	(1)	10
Forecasted transactions \| Currency exchange contracts \| Cost of Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings	$ (1)	(14)		(91)
Forecasted transactions \| Currency exchange contracts \| Selling, general and administrative expenses
Derivative Instruments, Gain (Loss) [Line Items]
Gain / (Loss) Recognized in Earnings		$ 4	$ 2	$ 16

Hedges of Net Investments in International Operations (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Euro notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	$ (83)	$ (38)	$ (279)	$ (110)
Pound sterling notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	(8)	21	(23)	107
Swiss franc notes
Derivative Instruments, Gain (Loss) [Line Items]
Gains / (losses) recognized in OCI	$ 12	$ (4)	$ (53)	$ (33)

Components of Net Periodic Pension Cost (Detail) - Pension Plans - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 12	$ 15	$ 34	$ 42
Interest cost	16	15	47	46
Expected return on plan assets	(25)	(24)	(75)	(72)
Net loss from experience differences	10	12	27	30
Prior service cost/(credit)			1	1
Settlement losses/(gains) and other expenses	6	9	27	25
Net periodic benefit cost	19	27	61	72
Non-U.S. Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Service cost	40	37	117	114
Interest cost	51	57	148	179
Expected return on plan assets	(110)	(105)	(322)	(326)
Net loss from experience differences	43	31	124	93
Prior service cost/(credit)	(1)		(2)	(2)
Settlement losses/(gains) and other expenses			2	(1)
Net periodic benefit cost	$ 23	$ 20	$ 67	$ 57

Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Asset impairment and exit costs
Defined Benefit Plan Disclosure [Line Items]
Settlement losses/(gains) and other expenses	$ 1	$ 3	$ 12	$ 12
Non-U.S. Pension Plans \| Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Settlement losses/(gains) and other expenses			2	(1)
Employer contribution			408
Employer non-recurring contribution			250
Estimated future employer contributions	47		47
U.S. Pension Plans \| Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Settlement losses/(gains) and other expenses	6	$ 9	27	$ 25
Employer contribution			19
Estimated future employer contributions	$ 7		$ 7

Components of Net Periodic Postretirement Health Care Costs (Detail) - Postretirement Benefit Plans - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Service cost

$ 1

$ 3

$ 5

$ 9

Interest cost

Net loss from experience differences

Prior service credit

^[1]

(10)

$ (11)

(30)

(14)

Net periodic benefit cost

$ (1)

$ (3)

$ 16

[1]	For the three and nine months ended September 30, 2017, amortization of prior service credit includes an $8 million and $24 million gain respectively, related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants.

Components of Net Periodic Postretirement Health Care Costs (Parenthetical) (Detail) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017
Defined Benefit Plan Disclosure [Line Items]
Gain related to a change in the eligibility requirement and a change in benefits to Medicare-eligible participants	$ 8	$ 24

Components of Net Postemployment Costs (Detail) - Postemployment Benefit Plans - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 1	$ 2	$ 4	$ 5
Interest cost	1	1	3	4
Amortization of net gains	(1)		(3)
Net periodic benefit cost	$ 1	$ 3	$ 4	$ 9

Stock Option Activity (Detail) - USD ($)
$ / shares in Units, $ in Millions

9 Months Ended

12 Months Ended

Sep. 30, 2017

Dec. 31, 2016

Shares subject to option

Beginning balance

53,601,612

6,041,440

Options exercised

^[1]

(7,837,372)

Options cancelled

(1,536,249)

Ending balance

50,269,431

53,601,612

Weighted-average exercise price

Beginning balance

$ 28.02

Aggregate intrinsic value

43.21

Options exercised

^[1]

26.49

Options cancelled

38.96

Ending balance

$ 29.75

$ 28.02

Average remaining contractual term

Ending balance

6 years

Aggregate intrinsic value

$ 563

$ 874

Options exercised

^[1]

$ 142

Annual grant to eligible employees

Shares subject to option

6,012,140

Weighted-average exercise price

Additional options issued

$ 43.20

Shares subject to option

29,300

Weighted-average exercise price

$ 44.49

[1]

Stock Option Activity (Parenthetical) (Detail) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cash received from options exercised	$ 43	$ 213
Actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the option exercises	$ 6	$ 24

Performance Share Unit, Deferred Stock Unit, and Historically Granted Restricted Stock Activity (Detail)
$ / shares in Units, $ in Millions

9 Months Ended

Sep. 30, 2017

USD ($)

$ / shares

Beginning balance | shares

7,593,627

Weighted-average grant date fair value per share

2,478,561

Vested | shares

(2,522,072)

^[1]

Forfeited | shares

(675,920)

^[1]

Ending balance | shares

6,874,196

Beginning balance | $ / shares

$ 36.90

^[2]

Ending balance | $ / shares

41.11

^[2]

Vested | $ / shares

33.70

^[1],[2]

Forfeited | $ / shares

38.43

^[1],[2]

$ 39.44

^[2]

Weighted-Average Aggregate Fair Value

Total shares granted | $

$ 102

^[2]

Vested | $

$ 84

^[1],[2]

Performance Share Units

Weighted-average grant date fair value per share

1,087,010

$ 43.14

^[2]

Deferred Stock Units

Weighted-average grant date fair value per share

845,550

Additional shares granted

$ 43.20

^[2]

Weighted-average grant date fair value per share

546,001

^[3]

Annual grant to eligible employees

$ 33.81

^[2],[3]

Grant date

Grant date

Feb. 16, 2017

[1]	Includes performance share units, deferred stock units and historically granted restricted stock. The actual tax benefit realized and recorded in the provision for income taxes for the tax deductions from the shares vested totaled less than $1 million in the three months and $7 million in the nine months ended September 30, 2017.
[2]	Prior-year weighted average fair value per share has been revised.
[3]	Includes performance share units and deferred stock units.

Performance Share Unit, Deferred Stock Unit, and Historically Granted Restricted Stock Activity (Parenthetical) (Detail) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Actual tax benefit realized for the tax deductions from the shares vested		$ 7
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Actual tax benefit realized for the tax deductions from the shares vested	$ 1

Stock Plans - Additional Information (Detail) - USD ($) $ / shares in Units, shares in Millions		1 Months Ended	9 Months Ended		12 Months Ended
	Jul. 29, 2015	Oct. 31, 2017	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016	Dec. 31, 2013
Class of Stock [Line Items]
Cost of shares repurchased			$ 1,817,000,000		$ 2,601,000,000
Repurchase of Common Stock			$ 1,786,000,000	$ 1,727,000,000
Common Class A
Class of Stock [Line Items]
Number of shares repurchased			42
Average cost of shares repurchased			$ 43.67
Cost of shares repurchased			$ 1,817,000,000
Stock repurchase remaining amount			1,000,000,000
Common Class A \| Share Repurchase Program amended July 29, 2015
Class of Stock [Line Items]
Stock repurchase value	$ 13,700,000,000
Increase in share repurchase value	$ 6,000,000,000
Stock repurchase expiration date	Dec. 31, 2018
Common Class A \| Prior to January 1, 2016
Class of Stock [Line Items]
Stock repurchase value			$ 10,800,000,000			$ 7,700,000,000
Subsequent Event \| Common Class A
Class of Stock [Line Items]
Repurchase of Common Stock		$ 31,000,000

Commitments and Contingencies - Additional Information (Detail) BRL in Millions, ₨ in Billions			3 Months Ended		9 Months Ended
	Sep. 30, 2017 USD ($)	Sep. 30, 2017 BRL	Sep. 30, 2017 USD ($)	Mar. 31, 2017 USD ($)	Sep. 30, 2017 USD ($)	Sep. 30, 2017 INR (₨)
Loss Contingencies [Line Items]
Income due to reversal of accrued liability under tax indemnity				$ 58,000,000
Contingency provision accruals	$ 212,000,000	BRL 667
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	57,000,000		$ 57,000,000		$ 57,000,000	₨ 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	75,000,000		75,000,000		75,000,000	4.9
Indian Department of Central Excise Authority \| Cadbury \| Maximum
Loss Contingencies [Line Items]
Tax penalties and interest expense	90,000,000		90,000,000		$ 90,000,000	₨ 5.8
Selling, general and administrative expenses
Loss Contingencies [Line Items]
Income due to reversal of accrued liability under tax indemnity				46,000,000
Contingency provision accruals	153,000,000
Interest and other expense, net
Loss Contingencies [Line Items]
Income due to reversal of accrued liability under tax indemnity				$ 12,000,000
Contingency provision accruals	$ 59,000,000
Selling, general and administrative expenses and interest and other expense, net
Loss Contingencies [Line Items]
Income due to reversal of accrued liability under tax indemnity			$ 3,000,000
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

Reclassifications from Accumulated Other Comprehensive Income - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net loss amounts reclassified from accumulated other comprehensive earnings/(losses) to net earnings (net of tax)	$ 28	$ 28	$ 112	$ 206

Components of Accumulated Other Comprehensive Earnings /(Losses) (Detail) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

12 Months Ended

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Dec. 31, 2016

Accumulated Other Comprehensive Income (Loss) [Line Items]

Tax benefit on reclassifications

$ 25,215

$ 28,100

Cost of sales

$ (3,978)

$ (3,908)

(11,529)

(11,614)

Interest rate contracts

(19)

(145)

(262)

(540)

(272)

(40)

(510)

(207)

Less: (gain)/loss attributable to noncontrolling interests

308

1,229

284

(1,153)

(8)

(24)

Other comprehensive earnings/(losses) attributable to Mondelez International

26,099

25,215

300

1,205

287

Currency Translation Adjustments

Accumulated Other Comprehensive Income (Loss) [Line Items]

Currency translation adjustments

(8,007)

(7,902)

(8,914)

(8,006)

291

1,055

Equity method investment exchange

Tax benefit/(expense)

205

Less: (gain)/loss attributable to noncontrolling interests

337

1,260

131

(8)

(24)

Pension and Other Benefits

(7,678)

(7,872)

(7,678)

(7,872)

(8,914)

Accumulated Other Comprehensive Income (Loss) [Line Items]

Net actuarial (loss)/gain arising during period

(2,119)

(1,830)

(2,087)

(1,934)

(28)

(19)

Tax benefit/(expense) on net actuarial loss

(9)

Currency impact

(50)

(171)

(10)

(42)

141

Derivative Cash Flow Hedges

(2,129)

(1,793)

(2,129)

(1,793)

(2,087)

Accumulated Other Comprehensive Income (Loss) [Line Items]

Net derivative gains/(losses)

(91)

(36)

(121)

(46)

(77)

Tax benefit on net derivative gain/(loss)

(5)

(2)

(1)

Currency impact

(3)

(9)

(1)

(19)

Accumulated Other Comprehensive Income (Loss)

(110)

(34)

(110)

(34)

(121)

Accumulated Other Comprehensive Income (Loss) [Line Items]

(10,217)

(9,768)

(11,122)

(9,986)

1,205

(1,136)