Company: ABBV
Filing Date: 2025-02-14
Form Type: 10-K
Source: 0001551152-25-000020
Chunk: 233

Company: AbbVie Inc.
Filing Date: 2025-02-14
Form: 10-K
Item: Item 3
Chunk 233
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 millions)Accrued balance as of December 31, 2021$33 Charges193 Payments and other adjustments(50)Accrued balance as of December 31, 2022176 Charges107 Payments and other adjustments(87)Accrued balance as of December 31, 2023196 Charges168 Payments and other adjustments(128)Accrued balance as of December 31, 2024$236 Allergan Integration PlanFollowing the closing of the Allergan acquisition, AbbVie implemented an integration plan designed to reduce costs, integrate and optimize the combined organization and incurred total cumulative charges of $2.5 billion through 2023. These costs consisted of severance and employee benefit costs (cash severance, non-cash severance, including accelerated equity award compensation expense, retention and other termination benefits) and other integration expenses. The Allergan integration plan was substantially complete as of December 31, 2023 and the remaining accrual as of December 31, 2024 is not significant.The following table summarizes the charges associated with the Allergan acquisition integration plan:year ended December 31 (in millions)20232022Cost of products sold$89 $117 Research and development7 23 Selling, general and administrative192 399 Total charges $288 $539 

2024 Form 10-K   |  72

Note 9 Leases    

AbbVie's lease portfolio primarily consists of real estate properties, vehicles and equipment. The following table summarizes the amounts and location of operating and finance leases on the consolidated balance sheets:as of December 31 (in millions)Balance sheet caption20242023AssetsOperatingOther assets$723 $744 FinanceProperty and equipment, net33 35 Total lease assets$756 $779 LiabilitiesOperatingCurrentAccounts payable and accrued liabilities$178 $166 NoncurrentOther long-term liabilities697 735 FinanceCurrentCurrent portion of long-term debt and finance lease obligations17 15 NoncurrentLong-term debt and finance lease obligations23 27 Total lease liabilities$915 $943 The following table summarizes the lease costs recognized in the consolidated statements of earnings:years ended December 31 (in millions)202420232022Operating lease cost$196 $189 $201 Short-term lease cost65 28 67 Variable lease cost86 88 71 Total