Annual report pursuant to Section 13 and 15(d)

Other Financial Statement Details

v3.20.4
Other Financial Statement Details
 12 Months Ended
Dec. 26, 2020
Other Financial Statement Details [Abstract]  
Other Financial Statement Details [Text Block]
Note 6 : Other Financial Statement Details
Inventories
(In Millions)
 Dec 26, 2020 Dec 28, 2019
Raw materials $ 908  $ 840 
Work in process 6,007  6,225 
Finished goods 1,512  1,679 
Total inventories $ 8,427  $ 8,744 
Property, Plant and Equipment
(In Millions) Dec 26, 2020 Dec 28, 2019
Land and buildings $ 37,536  $ 37,743 
Machinery and equipment 79,384  74,901 
Construction in progress 17,309  16,063 
Total property, plant and equipment, gross 134,229  128,707 
Less: accumulated depreciation
(77,645) (73,321)
Total property, plant and equipment, net $ 56,584  $ 55,386 
Our depreciable property, plant and equipment assets are depreciated over the following estimated useful lives: machinery and equipment, 2 to 5 years, and buildings, 10 to 25 years.
Net property, plant and equipment by country at the end of each period was as follows:
(In Millions) Dec 26, 2020 Dec 28, 2019
United States $ 38,829  $ 35,262 
Israel 7,837  8,463 
China 851  5,315 
Ireland 5,828  3,854 
Other countries 3,239  2,492 
Total property, plant and equipment, net $ 56,584  $ 55,386 
Other Long-term Assets
(In Millions) Dec 26, 2020 Dec 28, 2019
Derivative assets $ 1,550  $ 706 
Deferred tax assets 1,232  1,209 
Pre-payments for property, plant and equipment 1,502  1,641 
Other 1,633  1,997 
Total other long-term assets $ 5,917  $ 5,553 
Other Accrued Liabilities
Other accrued liabilities include deferred compensation of $2.5 billion as of December 26, 2020 ($2.1 billion as of December 28, 2019) and collateral received for derivatives under credit support annex agreements of $2.0 billion as of December 26, 2020 ($846 million as of December 28, 2019).
AdvertisingAdvertising costs, including direct marketing, are expensed as incurred and recorded within MG&A expenses. Advertising costs were $763 million in 2020 ($832 million in 2019 and $1.2 billion in 2018).
Interest and Other, Net
Years Ended (In Millions) Dec 26, 2020 Dec 28, 2019 Dec 29, 2018
Interest income $ 272  $ 483  $ 438 
Interest expense (629) (489) (468)
Other, net (147) 490  156 
Total interest and other, net $ (504) $ 484  $ 126 
Interest expense in the preceding table is net of $338 million of interest capitalized in 2020 ($472 million in 2019 and $496 million in 2018).
Accelerated Share Repurchases
In August 2020, we entered into ASR agreements with financial institutions under which we paid an aggregate of $10.0 billion and received an aggregate initial share delivery of 165.5 million shares of our common stock, which were immediately retired. We received and immediately retired an additional 37.7 million shares upon settlement of the ASR agreements in December 2020. In total, 203.2 million shares were repurchased under the ASR agreements at an average repurchase price per share of $49.20. The ASR agreements were entered into pursuant to our existing share repurchase program.