Mondelez 2014 Annual Report Download - page 50

Table of Contents
Non-GAAP Financial Measures
We use non-GAAP financial information and believe it is useful to investors as it provides additional information to facilitate
comparisons of historical operating results, identify trends in our underlying operating results and provide additional transparency
on how we evaluate our business. We use certain non-
GAAP financial measures to budget, make operating and strategic decisions
and evaluate our performance. We disclose non-GAAP financial measures so that you have the same financial data that we use to
assist you in making comparisons to our historical operating results and analyzing our underlying performance.
Our non-GAAP financial measures reflect how we evaluate our current and prior-year operating results. As new events or
circumstances arise, these definitions could change over time:
We believe that the presentation of these non-GAAP financial measures, when considered together with our U.S. GAAP financial
measures and the reconciliations to the corresponding U.S. GAAP financial measures, provides you with a more complete
understanding of the factors and trends affecting our business than could be obtained absent these disclosures. Because non-
GAAP financial measures may vary among other companies, the non-
GAAP financial measures presented in this report may not be
comparable to similarly titled measures used by other companies. Our use of these non-GAAP financial measures is not meant to
be considered in isolation or as a substitute for any U.S. GAAP financial measure. A limitation of these non-GAAP financial
measures is they exclude items detailed below that have an impact on our U.S. GAAP reported results. The best way this limitation
can be addressed is by evaluating our non-GAAP financial measures in combination with our U.S. GAAP reported results and
carefully evaluating the following tables that reconcile U.S. GAAP reported figures to the non-
GAAP financial measures in this Form
10-K.
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• “Organic Net Revenue” is defined as net revenues excluding the impact of acquisitions, divestitures (including businesses under sale agreements and exits of major product lines under a sale or licensing agreement), Integration
Program costs, accounting calendar changes and currency rate fluctuations.
• “Adjusted Operating Income” is defined as operating income excluding the impact of Spin-Off Costs, pension costs
related to obligations transferred in the Spin-Off, the 2012-2014 Restructuring Program, the 2014-2018 Restructuring
Program, the Integration Program and other acquisition integration costs, the remeasurement of net monetary assets in
Venezuela, the benefit from the Cadbury acquisition
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related indemnification resolution, incremental costs associated with
the JDE coffee transactions, impairment charges related to goodwill and intangible assets, gains or losses on divestitures
or acquisitions, acquisition-related costs and the operating results of divestitures (including businesses under sale
agreements and exits of major product lines under a sale or licensing agreement). We also evaluate growth in our
Adjusted Operating Income on a constant currency basis.
• “Adjusted EPS” is defined as diluted EPS attributable to Mondelēz International from continuing operations excluding the
impact of Spin-Off Costs, pension costs related to the obligations transferred in the Spin-Off, the 2012-2014
Restructuring Program, the 2014-2018 Restructuring Program, the Integration Program and other acquisition integration
costs, the remeasurement of net monetary assets in Venezuela, the net benefit from the Cadbury acquisition-related
indemnification resolution, losses on debt extinguishment and related expenses, the residual tax benefit impact from the
resolution of the Starbucks arbitration, hedging gains or losses and incremental costs associated with the JDE coffee
transactions, impairment charges related to goodwill and intangible assets, gains or losses on divestitures or
acquisitions, acquisition-related costs and net earnings from divestitures (including businesses under sale agreements
and exits of major product lines under a sale or licensing agreement), and including an interest expense adjustment
related to the Spin-Off transaction. We also evaluate growth in our Adjusted EPS on a constant currency basis.