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þ
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Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
for the quarterly period ended March 29, 2015
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o
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Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
for the transition period from to
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NEW JERSEY
(State or other jurisdiction of
incorporation or organization)
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22-1024240
(I.R.S. Employer
Identification No.)
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Large accelerated filer
þ
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Accelerated filer
o
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Non-accelerated filer
o
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Smaller reporting company
o
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(Do not check if a smaller reporting company)
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Page
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No.
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EX-10.1
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EX-31.1
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EX-32.1
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EX-101 INSTANCE DOCUMENT
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EX-101 SCHEMA DOCUMENT
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EX-101 CALCULATION LINKBASE DOCUMENT
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EX-101 LABELS LINKBASE DOCUMENT
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EX-101 PRESENTATION LINKBASE DOCUMENT
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EX-101 DEFINITION LINKBASE DOCUMENT
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March 29, 2015
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December 28, 2014
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ASSETS
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|||||||
Current assets:
|
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|||
Cash and cash equivalents
|
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$
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11,988
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14,523
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Marketable securities
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19,331
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18,566
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Accounts receivable, trade, less allowances for doubtful accounts $237 (2014, $275)
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11,533
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10,985
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Inventories (Note 2)
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8,085
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8,184
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Deferred taxes on income
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3,524
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3,567
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Prepaid expenses and other
|
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3,731
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|
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3,486
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Total current assets
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58,192
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59,311
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Property, plant and equipment at cost
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35,403
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36,685
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Less: accumulated depreciation
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(20,039
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)
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(20,559
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)
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Property, plant and equipment, net
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15,364
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16,126
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Intangible assets, net (Note 3)
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27,025
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27,222
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Goodwill (Note 3)
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21,345
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21,832
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Deferred taxes on income
|
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3,059
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3,396
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Other assets
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3,605
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3,232
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Total assets
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$
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128,590
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131,119
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LIABILITIES AND SHAREHOLDERS’ EQUITY
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|||||||
Current liabilities:
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Loans and notes payable
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$
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4,045
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3,638
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Accounts payable
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6,719
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7,633
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Accrued liabilities
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5,575
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6,553
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Accrued rebates, returns and promotions
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4,697
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4,010
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Accrued compensation and employee related obligations
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1,557
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2,751
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Accrued taxes on income
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1,243
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|
|
500
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Total current liabilities
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23,836
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25,085
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Long-term debt (Note 4)
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14,938
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15,122
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Deferred taxes on income
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3,584
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3,154
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Employee related obligations
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9,750
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9,972
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Other liabilities
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8,604
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8,034
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Total liabilities
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60,712
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61,367
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Shareholders’ equity:
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Common stock — par value $1.00 per share (authorized 4,320,000,000 shares; issued 3,119,843,000 shares)
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$
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3,120
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3,120
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Accumulated other comprehensive income (loss) (Note 7)
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(13,300
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)
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(10,722
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)
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Retained earnings
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98,656
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97,245
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Less: common stock held in treasury, at
cost (343,969,000 and
336,620,000 shares)
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20,598
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19,891
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Total shareholders’ equity
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67,878
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69,752
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Total liabilities and shareholders' equity
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$
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128,590
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131,119
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Fiscal First Quarters Ended
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||||||||||||
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March 29,
2015 |
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Percent
to Sales
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March 30,
2014 |
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Percent
to Sales
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||||||
Sales to customers (Note 9)
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$
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17,374
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100.0
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%
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$
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18,115
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100.0
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%
|
Cost of products sold
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5,282
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30.4
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5,455
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30.1
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Gross profit
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12,092
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69.6
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12,660
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69.9
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Selling, marketing and administrative expenses
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4,847
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27.9
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5,183
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28.6
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Research and development expense
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1,899
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10.9
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1,831
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10.1
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In-process research and development
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—
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—
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18
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0.1
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Interest income
|
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(19
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)
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(0.1
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)
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(18
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)
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(0.1
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)
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Interest expense, net of portion capitalized
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138
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0.8
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136
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0.8
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Other (income) expense, net
|
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(348
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)
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(2.0
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)
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86
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|
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0.5
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Earnings before provision for taxes on income
|
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5,575
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32.1
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5,424
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29.9
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Provision for taxes on income (Note 5)
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1,255
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7.2
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|
697
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3.8
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NET EARNINGS
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$
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4,320
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24.9
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%
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$
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4,727
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26.1
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%
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NET EARNINGS PER SHARE (Note 8)
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Basic
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$
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1.55
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$
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1.67
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Diluted
|
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$
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1.53
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$
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1.64
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CASH DIVIDENDS PER SHARE
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$
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0.70
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$
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0.66
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AVG. SHARES OUTSTANDING
|
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||||||
Basic
|
|
2,782.6
|
|
|
|
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2,826.8
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|
||||
Diluted
|
|
2,826.0
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|
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2,874.7
|
|
|
|
|
|
|
|
|
|
|
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|
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Fiscal First Quarters Ended
|
|||||
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March 29, 2015
|
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March 30, 2014
|
|||
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|
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Net earnings
|
$
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4,320
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|
|
4,727
|
|
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|
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|
|||
Other comprehensive income (loss), net of tax
|
|
|
|
|||
Foreign currency translation
|
(2,563
|
)
|
|
137
|
|
|
|
|
|
|
|||
Securities:
|
|
|
|
|||
Unrealized holding gain (loss) arising during period
|
115
|
|
|
27
|
|
|
Reclassifications to earnings
|
(57
|
)
|
|
—
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|
|
Net change
|
58
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|
|
27
|
|
|
|
|
|
|
|||
Employee benefit plans:
|
|
|
|
|||
Prior service cost amortization during period
|
(5
|
)
|
|
(5
|
)
|
|
Gain (loss) amortization during period
|
159
|
|
|
99
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|
|
Net change
|
154
|
|
|
94
|
|
|
|
|
|
|
|||
Derivatives & hedges:
|
|
|
|
|||
Unrealized gain (loss) arising during period
|
(195
|
)
|
|
10
|
|
|
Reclassifications to earnings
|
(32
|
)
|
|
(53
|
)
|
|
Net change
|
(227
|
)
|
|
(43
|
)
|
|
|
|
|
|
|||
Other comprehensive income (loss)
|
(2,578
|
)
|
|
215
|
|
|
|
|
|
|
|||
Comprehensive income
|
$
|
1,742
|
|
|
4,942
|
|
|
|
|
|
|||
|
|
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|
The tax effects in other comprehensive income for the fiscal first quarters were as follows for 2015 and 2014, respectively: Securities: $32 million and $15 million; Employee Benefit Plans: $76 million and $46 million; Derivatives & Hedges: $122 million and $23 million.
|
JOHNSON & JOHNSON AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; Dollars in Millions)
|
|||||||
|
|
Fiscal Three Months Ended
|
|||||
|
|
March 29,
2015 |
|
March 30,
2014 |
|||
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|||
Net earnings
|
|
$
|
4,320
|
|
|
4,727
|
|
Adjustments to reconcile net earnings to cash flows from operating activities:
|
|
|
|
|
|||
Depreciation and amortization of property and intangibles
|
|
895
|
|
|
1,013
|
|
|
Stock based compensation
|
|
204
|
|
|
198
|
|
|
Asset write-downs
|
|
—
|
|
|
37
|
|
|
Net gain on sale of assets/businesses
|
|
(38
|
)
|
|
—
|
|
|
Deferred tax provision
|
|
545
|
|
|
495
|
|
|
Accounts receivable allowances
|
|
(21
|
)
|
|
(25
|
)
|
|
Changes in assets and liabilities, net of effects from acquisitions:
|
|
|
|
|
|||
Increase in accounts receivable
|
|
(765
|
)
|
|
(426
|
)
|
|
Increase in inventories
|
|
(276
|
)
|
|
(512
|
)
|
|
Decrease in accounts payable and accrued liabilities
|
|
(2,451
|
)
|
|
(1,004
|
)
|
|
Increase in other current and non-current assets
|
|
(562
|
)
|
|
(152
|
)
|
|
Increase/(decrease) in other current and non-current liabilities
|
|
1,021
|
|
|
(428
|
)
|
|
|
|
|
|
|
|||
NET CASH FLOWS FROM OPERATING ACTIVITIES
|
|
2,872
|
|
|
3,923
|
|
|
|
|
|
|
|
|||
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|||
Additions to property, plant and equipment
|
|
(543
|
)
|
|
(630
|
)
|
|
Proceeds from the disposal of assets/businesses, net
|
|
110
|
|
|
35
|
|
|
Acquisitions, net of cash acquired
|
|
(233
|
)
|
|
—
|
|
|
Purchases of investments
|
|
(7,162
|
)
|
|
(5,427
|
)
|
|
Sales of investments
|
|
6,050
|
|
|
4,077
|
|
|
Other
|
|
(11
|
)
|
|
(81
|
)
|
|
|
|
|
|
|
|||
NET CASH USED BY INVESTING ACTIVITIES
|
|
(1,789
|
)
|
|
(2,026
|
)
|
|
|
|
|
|
|
|||
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|||
Dividends to shareholders
|
|
(1,946
|
)
|
|
(1,867
|
)
|
|
Repurchase of common stock
|
|
(2,198
|
)
|
|
(774
|
)
|
|
Proceeds from short-term debt
|
|
589
|
|
|
278
|
|
|
Retirement of short-term debt
|
|
(193
|
)
|
|
(1,275
|
)
|
|
Proceeds from long-term debt
|
|
3
|
|
|
16
|
|
|
Retirement of long-term debt
|
|
(16
|
)
|
|
(21
|
)
|
|
Proceeds from the exercise of stock options/excess tax benefits
|
|
584
|
|
|
586
|
|
|
Other
|
|
(50
|
)
|
|
—
|
|
|
|
|
|
|
|
|||
NET CASH USED BY FINANCING ACTIVITIES
|
|
(3,227
|
)
|
|
(3,057
|
)
|
|
|
|
|
|
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
|
(391
|
)
|
|
(45
|
)
|
|
Decrease in cash and cash equivalents
|
|
(2,535
|
)
|
|
(1,205
|
)
|
|
Cash and Cash equivalents, beginning of period
|
|
14,523
|
|
|
20,927
|
|
|
CASH AND CASH EQUIVALENTS, END OF PERIOD
|
|
$
|
11,988
|
|
|
19,722
|
|
|
|
|
|
|
|||
Acquisitions
|
|
|
|
|
|||
Fair value of assets acquired
|
|
$
|
476
|
|
|
—
|
|
Fair value of liabilities assumed and noncontrolling interests
|
|
(243
|
)
|
|
—
|
|
|
Net fair value of acquisitions
|
|
233
|
|
|
—
|
|
(Dollars in Millions)
|
|
March 29, 2015
|
|
December 28, 2014
|
|||
Raw materials and supplies
|
|
$
|
1,115
|
|
|
1,214
|
|
Goods in process
|
|
2,190
|
|
|
2,461
|
|
|
Finished goods
|
|
4,780
|
|
|
4,509
|
|
|
Total inventories
|
|
$
|
8,085
|
|
|
8,184
|
|
(Dollars in Millions)
|
|
March 29, 2015
|
|
December 28, 2014
|
|||
Intangible assets with definite lives:
|
|
|
|
|
|||
Patents and trademarks — gross
|
|
$
|
8,400
|
|
|
9,074
|
|
Less accumulated amortization
|
|
4,201
|
|
|
4,700
|
|
|
Patents and trademarks — net
|
|
4,199
|
|
|
4,374
|
|
|
Customer relationships and other intangibles — gross
|
|
17,764
|
|
|
17,970
|
|
|
Less accumulated amortization
|
|
5,248
|
|
|
5,227
|
|
|
Customer relationships and other intangibles — net
|
|
12,516
|
|
|
12,743
|
|
|
Intangible assets with indefinite lives:
|
|
|
|
|
|||
Trademarks
|
|
7,115
|
|
|
7,263
|
|
|
Purchased in-process research and development
|
|
3,195
|
|
|
2,842
|
|
|
Total intangible assets with indefinite lives
|
|
10,310
|
|
|
10,105
|
|
|
Total intangible assets — net
|
|
$
|
27,025
|
|
|
27,222
|
|
(Dollars in Millions)
|
|
Consumer
|
|
Pharm
|
|
Med Devices
|
|
Total
|
|||||
Goodwill, net at December 28, 2014
|
|
$
|
7,675
|
|
|
2,626
|
|
|
11,531
|
|
|
21,832
|
|
Goodwill, related to acquisitions
|
|
—
|
|
|
64
|
|
|
22
|
|
|
86
|
|
|
Goodwill, related to divestitures
|
|
(8
|
)
|
|
(1
|
)
|
|
—
|
|
|
(9
|
)
|
|
Currency translation/Other
|
|
(393
|
)
|
|
(77
|
)
|
|
(94
|
)
|
(1)
|
(564
|
)
|
|
Goodwill, net as of March 29, 2015
|
|
$
|
7,274
|
|
|
2,612
|
|
|
11,459
|
|
|
21,345
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
|
|
Gain/(Loss)
Recognized In
Accumulated
OCI
(1)
|
|
Gain/(Loss) Reclassified From
Accumulated OCI
Into Income
(1)
|
|
Gain/(Loss)
Recognized In
Other
Income/Expense
(2)
|
|||||||||||||
(Dollars in Millions)
|
|
Fiscal First Quarters Ended
|
|||||||||||||||||
Cash Flow Hedges By Income Statement Caption
|
|
March 29, 2015
|
|
March 30, 2014
|
|
March 29, 2015
|
|
March 30, 2014
|
|
March 29, 2015
|
|
March 30, 2014
|
|||||||
Sales to customers
(3)
|
|
$
|
(92
|
)
|
|
(34
|
)
|
|
(41
|
)
|
|
(13
|
)
|
|
(1
|
)
|
|
—
|
|
Cost of products sold
(3)
|
|
(168
|
)
|
|
17
|
|
|
69
|
|
|
75
|
|
|
—
|
|
|
—
|
|
|
Research and development expense
(3)
|
|
4
|
|
|
13
|
|
|
(16
|
)
|
|
5
|
|
|
—
|
|
|
(1
|
)
|
|
Interest (income)/Interest expense, net
(4)
|
|
(36
|
)
|
|
12
|
|
|
(3
|
)
|
|
(5
|
)
|
|
—
|
|
|
—
|
|
|
Other (income) expense, net
(3)
|
|
97
|
|
|
2
|
|
|
23
|
|
|
(9
|
)
|
|
—
|
|
|
(1
|
)
|
|
Total
|
|
$
|
(195
|
)
|
|
10
|
|
|
32
|
|
|
53
|
|
|
(1
|
)
|
|
(2
|
)
|
|
|
|
|
|
|
|
|
|
|
|
March 29, 2015
|
|
|
|
December 28, 2014
|
||||||||||
(Dollars in Millions)
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|
Total
(1)
|
||||||
Derivatives designated as hedging instruments:
|
|
|
|
|
|
|
|
|
|
|
||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||
Forward foreign exchange contracts
(7)
|
|
$
|
—
|
|
|
976
|
|
|
—
|
|
|
976
|
|
|
996
|
|
Interest rate contracts
(2)(4)(7)
|
|
—
|
|
|
52
|
|
|
—
|
|
|
52
|
|
|
31
|
|
|
Total
|
|
—
|
|
|
1,028
|
|
|
—
|
|
|
1,028
|
|
|
1,027
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
||||||
Forward foreign exchange contracts
(8)
|
|
—
|
|
|
1,068
|
|
|
—
|
|
|
1,068
|
|
|
751
|
|
|
Interest rate contracts
(3)(4)(8)
|
|
—
|
|
|
202
|
|
|
—
|
|
|
202
|
|
|
8
|
|
|
Total
|
|
—
|
|
|
1,270
|
|
|
—
|
|
|
1,270
|
|
|
759
|
|
|
Derivatives not designated as hedging instruments:
|
|
|
|
|
|
|
|
|
|
|
||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||
Forward foreign exchange contracts
(7)
|
|
—
|
|
|
70
|
|
|
—
|
|
|
70
|
|
|
29
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
||||||
Forward foreign exchange contracts
(8)
|
|
—
|
|
|
63
|
|
|
—
|
|
|
63
|
|
|
51
|
|
|
Available For Sale Other Investments:
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity Investments
(5)
|
|
800
|
|
|
—
|
|
|
—
|
|
|
800
|
|
|
679
|
|
|
Debt Securities
(6)
|
|
—
|
|
|
1,350
|
|
|
—
|
|
|
1,350
|
|
|
—
|
|
(1)
|
2014 assets and liabilities are all classified as Level 2 with the exception of equity investments of
$679 million
, which are classified as Level 1.
|
(2)
|
Includes
$49 million
and
$29 million
of non-current assets for
March 29, 2015
and December 28, 2014, respectively.
|
(3)
|
Includes
$202 million
and
$8 million
of non-current liabilities for
March 29, 2015
and December 28, 2014, respectively.
|
(4)
|
Includes cross currency interest rate swaps and interest rate swaps.
|
(5)
|
Classified as non-current other assets. The carrying amount of the equity investments were
$314 million
and
$284 million
as of March 29, 2015 and December 28, 2014, respectively. The unrealized gains were
$491 million
and
$406 million
as of March 29, 2015 and December 28, 2014, respectively. The unrealized losses were
$5 million
and
$11 million
as of March 29, 2015 and December 28, 2014, respectively.
|
(6)
|
Classified as current marketable securities.
|
(7)
|
Classified as other current assets.
|
(8)
|
Classified as accounts payables.
|
|
March 29, 2015
|
||||||||||||||||
(Dollars in Millions)
|
Carrying Amount
|
|
Unrealized Gain
|
|
Unrealized Loss
|
|
Estimated Fair Value
|
|
Cash & Cash Equivalents
|
|
Current Marketable Securities
|
||||||
Cash
|
1,739
|
|
|
—
|
|
|
—
|
|
|
1,739
|
|
|
1,739
|
|
|
|
|
U.S. Gov't Securities
(1)
|
15,114
|
|
|
1
|
|
|
—
|
|
|
15,115
|
|
|
750
|
|
|
14,364
|
|
Other Sovereign Securities
(1)
|
3,762
|
|
|
—
|
|
|
—
|
|
|
3,762
|
|
|
1,199
|
|
|
2,563
|
|
U.S. Reverse repurchase agreements
(1)
|
3,402
|
|
|
—
|
|
|
—
|
|
|
3,402
|
|
|
3,402
|
|
|
|
|
Other Reverse repurchase agreements
(1)
|
2,192
|
|
|
—
|
|
|
—
|
|
|
2,192
|
|
|
2,192
|
|
|
|
|
Corporate debt securities
(1)
|
1,410
|
|
|
—
|
|
|
—
|
|
|
1,410
|
|
|
356
|
|
|
1,054
|
|
Money market funds
|
1,396
|
|
|
—
|
|
|
—
|
|
|
1,396
|
|
|
1,396
|
|
|
|
|
Time deposits
(1)
|
954
|
|
|
—
|
|
|
—
|
|
|
954
|
|
|
954
|
|
|
|
|
Subtotal
|
29,969
|
|
|
1
|
|
|
—
|
|
|
29,970
|
|
|
11,988
|
|
|
17,981
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. Gov't Securities
|
893
|
|
|
1
|
|
|
(2
|
)
|
|
892
|
|
|
—
|
|
|
892
|
|
Corporate debt securities
|
457
|
|
|
1
|
|
|
—
|
|
|
458
|
|
|
—
|
|
|
458
|
|
Subtotal Available for Sale
(2)
|
1,350
|
|
|
2
|
|
|
(2
|
)
|
|
1,350
|
|
|
—
|
|
|
1,350
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total Cash, cash equivalents and current marketable securities
|
31,319
|
|
|
3
|
|
|
(2
|
)
|
|
31,320
|
|
|
11,988
|
|
|
19,331
|
|
(Dollars in Millions)
|
|
Carrying Amount
|
|
Estimated Fair Value
|
|||
|
|
|
|
|
|||
Financial Liabilities
|
|
|
|
|
|||
|
|
|
|
|
|||
Current Debt
|
|
$
|
4,045
|
|
|
4,045
|
|
|
|
|
|
|
|||
Non-Current Debt
|
|
|
|
|
|||
2.15% Notes due 2016
|
|
898
|
|
|
913
|
|
|
3 month LIBOR+0.07% FRN due 2016
|
|
800
|
|
|
801
|
|
|
0.70% Notes due 2016
|
|
399
|
|
|
400
|
|
|
5.55% Debentures due 2017
|
|
1,000
|
|
|
1,107
|
|
|
1.125% Notes due 2017
|
|
704
|
|
|
707
|
|
|
5.15% Debentures due 2018
|
|
898
|
|
|
1,010
|
|
|
1.65% Notes due 2018
|
|
606
|
|
|
613
|
|
|
4.75% Notes due 2019 (1B Euro 1.0983)
|
|
1,094
|
|
|
1,318
|
|
|
1.875% Notes due 2019
|
|
507
|
|
|
512
|
|
|
3% Zero Coupon Convertible Subordinated Debentures due in 2020
|
|
145
|
|
|
234
|
|
|
2.95% Debentures due 2020
|
|
543
|
|
|
574
|
|
|
3.55% Notes due 2021
|
|
446
|
|
|
489
|
|
|
2.45% Notes due 2021
|
|
349
|
|
|
363
|
|
|
6.73% Debentures due 2023
|
|
250
|
|
|
330
|
|
|
3.375% Notes due 2023
|
|
812
|
|
|
872
|
|
|
5.50% Notes due 2024 (500 MM GBP 1.4901)
|
|
741
|
|
|
965
|
|
|
6.95% Notes due 2029
|
|
297
|
|
|
428
|
|
|
4.95% Debentures due 2033
|
|
500
|
|
|
596
|
|
|
4.375% Notes due 2033
|
|
864
|
|
|
985
|
|
|
5.95% Notes due 2037
|
|
995
|
|
|
1,357
|
|
|
5.85% Debentures due 2038
|
|
700
|
|
|
965
|
|
|
4.50% Debentures due 2040
|
|
539
|
|
|
628
|
|
|
4.85% Notes due 2041
|
|
298
|
|
|
367
|
|
|
4.50% Notes due 2043
|
|
499
|
|
|
596
|
|
|
Other
|
|
54
|
|
|
54
|
|
|
Total Non-Current Debt
|
|
$
|
14,938
|
|
|
17,184
|
|
|
|
Fiscal First Quarters Ended
|
|||||||||||
|
|
Retirement Plans
|
|
Other Benefit Plans
|
|||||||||
(Dollars in Millions)
|
|
March 29, 2015
|
|
March 30, 2014
|
|
March 29, 2015
|
|
March 30, 2014
|
|||||
Service cost
|
|
$
|
248
|
|
|
197
|
|
|
64
|
|
|
53
|
|
Interest cost
|
|
249
|
|
|
257
|
|
|
47
|
|
|
50
|
|
|
Expected return on plan assets
|
|
(455
|
)
|
|
(402
|
)
|
|
(2
|
)
|
|
(2
|
)
|
|
Amortization of prior service cost/(credit)
|
|
—
|
|
|
1
|
|
|
(8
|
)
|
|
(9
|
)
|
|
Recognized actuarial losses
|
|
187
|
|
|
113
|
|
|
50
|
|
|
34
|
|
|
Curtailments and settlements
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Net periodic benefit cost
|
|
$
|
233
|
|
|
166
|
|
|
151
|
|
|
126
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Foreign
|
|
Gain/(Loss)
|
|
Employee
|
|
Gain/(Loss)
|
|
Total Accumulated
|
||||||
|
|
Currency
|
|
On
|
|
Benefit
|
|
On Derivatives
|
|
Other Comprehensive
|
||||||
(Dollars in Millions)
|
|
Translation
|
|
Securities
|
|
Plans
|
|
& Hedges
|
|
Income (Loss)
|
||||||
December 28, 2014
|
|
$
|
(4,803
|
)
|
|
257
|
|
|
(6,317
|
)
|
|
141
|
|
|
(10,722
|
)
|
Net change
|
|
(2,563
|
)
|
|
58
|
|
|
154
|
|
|
(227
|
)
|
|
(2,578
|
)
|
|
March 29, 2015
|
|
$
|
(7,366
|
)
|
|
315
|
|
|
(6,163
|
)
|
|
(86
|
)
|
|
(13,300
|
)
|
|
|
Fiscal First Quarters Ended
|
|||||
(Shares in Millions)
|
|
March 29, 2015
|
|
March 30, 2014
|
|||
Basic net earnings per share
|
|
$
|
1.55
|
|
|
1.67
|
|
Average shares outstanding — basic
|
|
2,782.6
|
|
|
2,826.8
|
|
|
Potential shares exercisable under stock option plans
|
|
154.1
|
|
|
163.4
|
|
|
Less: shares which could be repurchased under treasury stock method
|
|
(113.0
|
)
|
|
(118.5
|
)
|
|
Convertible debt shares
|
|
2.3
|
|
|
3.0
|
|
|
Average shares outstanding — diluted
|
|
2,826.0
|
|
|
2,874.7
|
|
|
Diluted earnings per share
|
|
$
|
1.53
|
|
|
1.64
|
|
|
|
|
|
|
|
|
Fiscal First Quarters Ended
|
||||||||
(Dollars in Millions)
|
|
March 29,
2015 |
|
March 30,
2014 |
|
Percent
Change
|
||||
|
|
|
|
|
|
|
||||
Consumer
|
|
|
|
|
|
|
||||
United States
|
|
$
|
1,359
|
|
|
1,309
|
|
|
3.8
|
%
|
International
|
|
2,031
|
|
|
2,248
|
|
|
(9.7
|
)
|
|
Total
|
|
3,390
|
|
|
3,557
|
|
|
(4.7
|
)
|
|
Pharmaceutical
|
|
|
|
|
|
|
||||
United States
|
|
4,371
|
|
|
3,740
|
|
|
16.9
|
|
|
International
|
|
3,355
|
|
|
3,758
|
|
|
(10.7
|
)
|
|
Total
|
|
7,726
|
|
|
7,498
|
|
|
3.0
|
|
|
Medical Devices
|
|
|
|
|
|
|
||||
United States
|
|
2,962
|
|
|
3,155
|
|
|
(6.1
|
)
|
|
International
|
|
3,296
|
|
|
3,905
|
|
|
(15.6
|
)
|
|
Total
|
|
6,258
|
|
|
7,060
|
|
|
(11.4
|
)
|
|
Worldwide
|
|
|
|
|
|
|
||||
United States
|
|
8,692
|
|
|
8,204
|
|
|
5.9
|
|
|
International
|
|
8,682
|
|
|
9,911
|
|
|
(12.4
|
)
|
|
Total
|
|
$
|
17,374
|
|
|
18,115
|
|
|
(4.1
|
)%
|
|
|
|
|
|
|
|
|
|
Fiscal First Quarters Ended
|
||||||||
(Dollars in Millions)
|
|
March 29,
2015 |
|
March 30,
2014 |
|
Percent
Change
|
||||
Consumer
|
|
$
|
644
|
|
|
479
|
|
|
34.4
|
%
|
Pharmaceutical
(1)
|
|
2,962
|
|
|
3,206
|
|
|
(7.6
|
)
|
|
Medical Devices
(2)
|
|
2,221
|
|
|
1,966
|
|
|
13.0
|
|
|
Segments operating profit
|
|
5,827
|
|
|
5,651
|
|
|
3.1
|
|
|
Less: Expense not allocated to segments
(3)
|
|
252
|
|
|
227
|
|
|
|
||
Worldwide income before taxes
|
|
$
|
5,575
|
|
|
5,424
|
|
|
2.8
|
%
|
|
|
|
|
|
|
|
|
|
Fiscal First Quarters Ended
|
||||||||
(Dollars in Millions)
|
|
March 29, 2015
|
|
March 30, 2014
|
|
Percent
Change
|
||||
United States
|
|
$
|
8,692
|
|
|
8,204
|
|
|
5.9
|
%
|
Europe
|
|
4,040
|
|
|
4,885
|
|
|
(17.3
|
)
|
|
Western Hemisphere, excluding U.S.
|
|
1,639
|
|
|
1,695
|
|
|
(3.3
|
)
|
|
Asia-Pacific, Africa
|
|
3,003
|
|
|
3,331
|
|
|
(9.8
|
)
|
|
Total
|
|
$
|
17,374
|
|
|
18,115
|
|
|
(4.1
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in Millions)
|
|
March 29, 2015
|
|
March 30, 2014
|
|
Total
Change |
|
Operations
Change |
|
Currency
Change |
|||||||
OTC
|
|
$
|
993
|
|
|
$
|
1,011
|
|
|
(1.8
|
)%
|
|
9.6
|
%
|
|
(11.4
|
)%
|
Skin Care
|
|
903
|
|
|
914
|
|
|
(1.2
|
)
|
|
4.6
|
|
|
(5.8
|
)
|
||
Baby Care
|
|
511
|
|
|
545
|
|
|
(6.2
|
)
|
|
1.0
|
|
|
(7.2
|
)
|
||
Oral Care
|
|
403
|
|
|
411
|
|
|
(1.9
|
)
|
|
5.0
|
|
|
(6.9
|
)
|
||
Wound Care/Other
|
|
293
|
|
|
349
|
|
|
(16.0
|
)
|
|
(12.1
|
)
|
|
(3.9
|
)
|
||
Women’s Health
|
|
287
|
|
|
327
|
|
|
(12.2
|
)
|
|
(0.4
|
)
|
|
(11.8
|
)
|
||
Total Consumer Sales
|
|
$
|
3,390
|
|
|
$
|
3,557
|
|
|
(4.7
|
)%
|
|
3.4
|
%
|
|
(8.1
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in Millions)
|
|
March 29, 2015
|
|
March 30, 2014
|
|
Total
Change
|
|
Operations
Change
|
|
Currency
Change
|
|||||||
Total Immunology
|
|
$
|
2,463
|
|
|
$
|
2,343
|
|
|
5.1
|
%
|
|
9.9
|
%
|
|
(4.8
|
)%
|
REMICADE
®
|
|
1,600
|
|
|
1,610
|
|
|
(0.6
|
)
|
|
2.8
|
|
|
(3.4
|
)
|
||
SIMPONI
®
/ SIMPONI ARIA
®
|
|
300
|
|
|
259
|
|
|
15.8
|
|
|
25.5
|
|
|
(9.7
|
)
|
||
STELARA
®
|
|
549
|
|
|
456
|
|
|
20.4
|
|
|
27.4
|
|
|
(7.0
|
)
|
||
Other Immunology
|
|
14
|
|
|
18
|
|
|
(22.2
|
)
|
|
(13.7
|
)
|
|
(8.5
|
)
|
||
Total Infectious Diseases
|
|
975
|
|
|
1,200
|
|
|
(18.8
|
)
|
|
(10.2
|
)
|
|
(8.6
|
)
|
||
EDURANT
®
|
|
91
|
|
|
81
|
|
|
12.3
|
|
|
33.6
|
|
|
(21.3
|
)
|
||
OLYSIO
®
/ SOVRIAD
®
|
|
234
|
|
|
354
|
|
|
(33.9
|
)
|
|
(26.2
|
)
|
|
(7.7
|
)
|
||
PREZISTA
®
/ PREZCOBIX™
|
|
427
|
|
|
445
|
|
|
(4.0
|
)
|
|
3.7
|
|
|
(7.7
|
)
|
||
Other Infectious Diseases
|
|
223
|
|
|
320
|
|
|
(30.3
|
)
|
|
(22.8
|
)
|
|
(7.5
|
)
|
||
Total Neuroscience
|
|
1,618
|
|
|
1,638
|
|
|
(1.2
|
)
|
|
7.1
|
|
|
(8.3
|
)
|
||
CONCERTA
®
/methylphenidate
|
|
224
|
|
|
150
|
|
|
49.3
|
|
|
58.0
|
|
|
(8.7
|
)
|
||
INVEGA
®
|
|
155
|
|
|
165
|
|
|
(6.1
|
)
|
|
0.7
|
|
|
(6.8
|
)
|
||
INVEGA
®
SUSTENNA
®
/ XEPLION
®
|
|
411
|
|
|
373
|
|
|
10.2
|
|
|
18.7
|
|
|
(8.5
|
)
|
||
RISPERDAL
®
CONSTA
®
|
|
254
|
|
|
310
|
|
|
(18.1
|
)
|
|
(9.2
|
)
|
|
(8.9
|
)
|
||
Other Neuroscience
|
|
574
|
|
|
640
|
|
|
(10.3
|
)
|
|
(2.2
|
)
|
|
(8.1
|
)
|
||
Total Oncology
|
|
1,108
|
|
|
1,022
|
|
|
8.4
|
|
|
21.2
|
|
|
(12.8
|
)
|
||
IMBRUVICA
®
|
|
116
|
|
|
10
|
|
|
**
|
|
**
|
|
**
|
|||||
VELCADE
®
|
|
339
|
|
|
408
|
|
|
(16.9
|
)
|
|
(4.0
|
)
|
|
(12.9
|
)
|
||
ZYTIGA
®
|
|
556
|
|
|
512
|
|
|
8.6
|
|
|
19.2
|
|
|
(10.6
|
)
|
||
Other Oncology
|
|
97
|
|
|
92
|
|
|
5.4
|
|
|
20.3
|
|
|
(14.9
|
)
|
||
Cardiovascular / Metabolism / Other
|
|
1,562
|
|
|
1,295
|
|
|
20.6
|
|
|
25.1
|
|
|
(4.5
|
)
|
||
XARELTO
®
|
|
441
|
|
|
319
|
|
|
38.2
|
|
|
38.2
|
|
|
0.0
|
|
||
INVOKANA
®
/ INVOKAMET™
|
|
278
|
|
|
94
|
|
|
**
|
|
**
|
|
**
|
|||||
PROCRIT
®
/EPREX
®
|
|
269
|
|
|
310
|
|
|
(13.2
|
)
|
|
(7.4
|
)
|
|
(5.8
|
)
|
||
Other
|
|
574
|
|
|
572
|
|
|
0.3
|
|
|
7.1
|
|
|
(6.8
|
)
|
||
Total Pharmaceutical Sales
|
|
$
|
7,726
|
|
|
$
|
7,498
|
|
|
3.0
|
%
|
|
10.2
|
%
|
|
(7.2
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
Period
|
|
Total Number
of Shares Purchased
(1)
|
|
Avg. Price
Per Share
|
|
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
(2)
|
|
Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
(3)
|
||||
December 29, 2014 through January 25, 2015
|
|
2,028,697
|
|
|
105.23
|
|
|
—
|
|
—
|
||
January 26, 2015 through February 22, 2015
|
|
13,728,174
|
|
|
100.77
|
|
|
4,847,200
|
|
|
—
|
|
February 23, 2015 through March 29, 2015
|
|
6,214,830
|
|
|
100.98
|
|
|
6,173,249
|
|
|
—
|
|
Total
|
|
21,971,701
|
|
|
|
|
11,020,449
|
|
|
3,936,678
|
|
|
JOHNSON & JOHNSON
(Registrant)
|
|
|
Date: May 1, 2015
|
By /s/ D. J. CARUSO
|
|
D. J. CARUSO
|
|
Vice President, Finance; Chief Financial Officer (Principal Financial Officer)
|
|
|
Date: May 1, 2015
|
By /s/ S. J. COSGROVE
|
|
S. J. COSGROVE
|
|
Controller (Principal Accounting Officer)
|
|
The undersigned, Alex Gorsky, the Chief Executive Officer of Johnson & Johnson, a New Jersey corporation (the “Company”), pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, hereby certifies that, to the best of my knowledge:
|
|
(1)
|
|
the Company's Quarterly Report on Form 10-Q for the quarterly period ended March 29, 2015 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
||||
|
|
||||||
|
(2)
|
|
the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
||||
|
|
|
|
|
|||
|
|
|
|||||
|
/s/ Alex Gorsky
|
|
|||||
|
Alex Gorsky
|
|
|||||
|
Chief Executive Officer
|
|
|||||
|
|
This certification is being furnished to the SEC with this Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by such Act, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liability of that section.
|
|
The undersigned, Dominic J. Caruso, the Chief Financial Officer of Johnson & Johnson, a New Jersey corporation (the “Company”), pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, hereby certifies that, to the best of my knowledge:
|
|
(1)
|
|
the Company's Quarterly Report on Form 10-Q for the quarterly period ended March 29, 2015 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and
|
||||
|
|
||||||
|
(2)
|
|
the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
||||
|
|
|
|
|
|||
|
|
|
|||||
|
/s/ Dominic J. Caruso
|
|
|||||
|
Dominic J. Caruso
|
|
|||||
|
Chief Financial Officer
|
|
|||||
|
|
This certification is being furnished to the SEC with this Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by such Act, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liability of that section.
|