Eli Lilly 2013 Annual Report Download - page 83

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69
69
The activity in the Level 3 investments during the year ended December 31, 2012 was as follows:
Fixed
Income:
Developed
Markets
Hedge
Funds
Equity-like
Funds
Real
Estate Total
Defined Benefit Pension Plans
Beginning balance at January 1, 2012 . . . . . . . . $ — $ 1,248.4 $ 870.2 $ 138.0 $ 2,256.6
Actual return on plan assets, including changes
in foreign exchange rates:
Relating to assets still held at the reporting
date . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3 18.3 10.1 3.3 32.0
Relating to assets sold during the period . . . . . — (0.2) — — (0.2)
Purchases, sales, and settlements, net. . . . . . . . 2.3 (48.4) 30.2 1.3 (14.6)
Transfers into (out of) Level 3 . . . . . . . . . . . . . . . 1.1 — — — 1.1
Ending balance at December 31, 2012 . . . . . . . . $ 3.7 $ 1,218.1 $ 910.5 $ 142.6 $ 2,274.9
Retiree Health Benefit Plans
Beginning balance at January 1, 2012 . . . . . . . . $ — $ 105.3 $ 79.9 $ 185.2
Actual return on plan assets, including changes
in foreign exchange rates:
Relating to assets still held at the reporting
date . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — (0.9) — (0.9)
Relating to assets sold during the period . . . . . — — — —
Purchases, sales, and settlements, net. . . . . . . . 0.3 (4.5) 2.0 (2.2)
Transfers into (out of) Level 3 . . . . . . . . . . . . . . . 0.1 — — 0.1
Ending balance at December 31, 2012 . . . . . . . . $ 0.4 $ 99.9 $ 81.9 $ 182.2
Contributions to our global defined benefit pension and post-retirement health benefit plans to satisfy
minimum funding requirements as well as additional discretionary funding in the aggregate are not expected
to be material during 2014.
Note 16: Contingencies
We are a party to various legal actions and government investigations. The most significant of these are
described below. It is not possible to determine the outcome of these matters, and we cannot reasonably
estimate the maximum potential exposure or the range of possible loss in excess of amounts accrued for any
of these matters; however, we believe that, except as specifically noted below with respect to the Alimta®
patent litigation and administrative proceedings, the resolution of all such matters will not have a material
adverse effect on our consolidated financial position or liquidity, but could possibly be material to our
consolidated results of operations in any one accounting period.
Alimta Patent Litigation and Administrative Proceedings
We are engaged in various U.S. patent litigation matters involving Alimta brought pursuant to procedures set
out in the Drug Price Competition and Patent Term Restoration Act of 1984 (the Hatch-Waxman Act). Teva
Parenteral Medicines, Inc. (Teva); APP Pharmaceuticals, LLC (APP); Barr Laboratories, Inc. (Barr); Pliva
Hrvatska D.O.O. (Pliva); Accord Healthcare Inc. (Accord); and Apotex Inc. (Apotex) each submitted
Abbreviated New Drug Applications (ANDAs) seeking approval to market generic versions of Alimta prior to
the expiration of our vitamin dosage regimen patent (expiring in 2021 plus pediatric exclusivity expiring in
2022) and alleging the patent is invalid.
In October 2010, we filed a lawsuit in the U.S. District Court for the Southern District of Indiana against Teva,
APP, Pliva, and Barr seeking rulings that the patent is valid and infringed. Trial in this case occurred in August
2013, and we are awaiting a decision. In January 2012 and April 2012, we filed similar lawsuits in the same
court against Accord and Apotex, respectively. We filed a second lawsuit against Accord in February 2013. In
September 2013, we filed a similar lawsuit in the same court against Sun Pharmaceutical Industries, Ltd. and
Sun Pharma Global seeking a ruling that Lilly's patent is valid and infringed. In January 2014, we filed a