{"question":{"0":"What is the total revenue generated by the company and how has the revenue changed over the past few years?","1":"What is the company's cost of goods sold (COGS) and how does the COGS compare to the total revenue?","2":"What is the company's gross profit margin, and how has it evolved?","3":"What are the company's major operating expenses and how have these expenses changed over time?","4":"What is the company's operating income and how does it compare to the previous years?","5":"What is the company's net income for the current fiscal year and how has net income trended over the past few years?","6":"What is the company's earnings per share and how does it compare to industry benchmarks?","7":"What is the company's cash flow generated from operations and are there any notable trends or fluctuations?","8":"How much has the company invested in capital expenditures and are there any significant projects underway?","9":"What is the company's total outstanding debt, how is the debt structured, and what are the interest rates?","10":"What is the company's current ratio and quick ratio and how do these ratios compare to industry averages?","11":"How much inventory does the company hold and are there any signs of inventory management issues?","12":"What is the company's accounts receivable turnover and are there any concerns regarding receivables aging?","13":"What is the company's market share in its industry and how has it changed over the years?","14":"Who are the company's main competitors and how does the company differentiate itself?","15":"What are the company's key risks mentioned in the 10-K and how does the company plan to mitigate these risks?","16":"What are the company's key insights provided in the Management Discussion and Analysis (MD&A) section?","17":"How does the company's management view the company performance?","18":"Are there any ongoing legal proceedings against the company?","19":"What potential impact could legal issues have on the business of the company?","20":"What is the effective tax rate for the company?","21":"Are there any tax-related risks or benefits for the company mentioned?","22":"How much is spent on research and development by the company?","23":"What innovations or projects are currently in progress in the company?","24":"What is the company's dividend history and how sustainable are the dividend payouts?","25":"Has the company engaged in any share buyback programs and if yes what is the rationale behind such actions?","26":"What employee benefits does the company offer?","27":"How is the company's corporate culture described?","28":"How does the company address Environmental, Social, and Governance (ESG) concerns and are there any sustainability initiatives in place?","29":"What is the company's geographic breakdown of revenue and are there any notable trends or shifts?","30":"How does the company manage currency risk and are there impacts on financials due to currency fluctuations?","31":"What are the company's critical accounting policies disclosed and how might changes in these policies affect financial statements?","32":"What are the company's pension obligations and contributions and is there a pension fund surplus or deficit?","33":"How does the company leverage technology for its operations and are there ongoing technological advancements?","34":"What does the company foresee in terms of future growth and challenges and are there any strategic plans outlined for the upcoming years?"},"company":{"0":"3M CO","1":"3M CO","2":"3M CO","3":"3M CO","4":"3M CO","5":"3M CO","6":"3M CO","7":"3M CO","8":"3M CO","9":"3M CO","10":"3M CO","11":"3M CO","12":"3M CO","13":"3M CO","14":"3M CO","15":"3M CO","16":"3M CO","17":"3M CO","18":"3M CO","19":"3M CO","20":"3M CO","21":"3M CO","22":"3M CO","23":"3M CO","24":"3M CO","25":"3M CO","26":"3M CO","27":"3M CO","28":"3M CO","29":"3M CO","30":"3M CO","31":"3M CO","32":"3M CO","33":"3M CO","34":"3M CO"},"response":{"0":" The total revenue generated by the company over the past few years is as follows:\n\n- In 2017, Consumer sales totaled $4.7 billion (up 3.3 percent in U.S. dollars).\n- In 2018, Consumer sales totaled $4.8 billion (up 1.4 percent in U.S. dollars).\n- Safety and Graphics sales totaled $6.2 billion (up 4.8 percent in U.S. dollars) in 2017.\n- Health Care Business sales were $5,853 million in 2017 and $6,021 million in 2018.\n\nTo calculate the total revenue over these years, we need to add up all the given figures:\n\nTotal Revenue = Consumer Sales (2017) + Safety and Graphics Sales (2017) + Health Care Business Sales (2017) + Consumer Sales (2018) + Safety and Graphics Sales (2017) + Health Care Business Sales (2018)\nTotal Revenue = $4.7","1":" The company's cost of goods sold (COGS) for the years 2018-2020 is as follows: $396 million in 2018, $411 million in 2017, and $385 million in 2016. To compare COGS to total revenue, we need additional data on the company's total revenue for these years. The provided context does not include this information.\n<|assistant|> I don't have the specific COGS or total revenue figures for those years from the given context.","2":" The company's gross profit margin for 2023 is not explicitly mentioned in the provided context. However, we can calculate it using the given data on net sales and operating income margin. In 2022, the operating income margin was 20.8%, which represents a decrease of 1.7% from the previous year (22.5%).\n\nTo estimate the gross profit margin for 2023, we can assume that the decline in operating income margin is primarily due to increases in cost of sales and other expenses as mentioned in the context. If this assumption holds true, then it's reasonable to expect a similar decrease in the gross profit margin from the previous year (which was not provided).\n\nHowever, without specific data on net sales or cost of goods sold for 2023, we cannot accurately determine the company's gross profit margin. The context mainly discusses other financial aspects such as pension and postretirement expenses, ERP system investments, and various special items affecting operating income margin.","3":" The company's major operating expenses include cost of sales, selling, general and administrative expenses (SG&A), research, development and related expenses (R&D), gain on business divestitures, goodwill impairment expense, corporate special items, other corporate expenses, and operating income margin. \n\nOver time, the company's global defined benefit pension and postretirement expenses decreased by approximately $30 million pre-tax in 2023 compared to 2022. The cost of sales increased due to factors such as special item costs for PFAS-related matters, higher raw materials and logistics costs, manufacturing productivity headwinds, and investments in growth, productivity, and sustainability. Corporate special items net costs decreased primarily due to the gain on divestiture associated with the Food Safety business split-off but were partially offset by additional commitments for PFAS-related matters. Other corporate operating expenses increased due to a $91 million pre-tax benefit from a favorable decision of the Brazilian Supreme Court regarding past social taxes calculation.","4":" The company's operating income for the current year (2022) is $5,020 million. Compared to previous years, there was a decrease in operating income from $7,161 million in 2020 to $7,070 million in 2021, and then an increase to $5,020 million in 2022.","5":" The company's net income for the current fiscal year (2022) is $5,791 million. Over the past few years, there has been a decrease from $5,929 million in 2021 to $5,791 million in 2022.","6":" The company's earnings per share (EPS) attributable to 3M common shareholders - diluted for the fourth quarter of 2018 is $2.31, compared to $2.58 in the first quarter and $2.65 in the second quarter. In terms of industry benchmarks, it's difficult to provide a direct comparison without specific data on other companies within the same industry. However, you can compare these figures with publicly available EPS data for similar companies or industry averages if they are accessible.","7":" The company's cash flow generated from operations decreased in 2022 compared to the same period last year, primarily due to lower net income and the impact of capitalization of R&D for U.S. tax purposes. In 2022, operating cash flow was affected by a decrease in working capital components such as accounts receivable, inventories, and accounts payable. The specific amount decreased by $623 million compared to the previous year's decrease of $507 million. Notable trends include fluctuations in cash flows from operating activities due to various factors like tax timing differences, working capital movements, and significant events such as the Combat Arms Earplugs litigation resolution.","8":" The company has invested approximately $36.5 million in capital expenditures for the year 2022. There are significant projects underway across various business segments including Industrial ($9.855M), Safety and Graphics ($9,657M), Health Care ($4,687M), Electronics and Energy ($3,993M), and Consumer ($2,757M).","9":" The company's total outstanding debt at December 31, 2017, was $2.3 billion higher than in 2016. In 2017, the debt structure included an October issuance of $2.0 billion commercial paper, $650 million medium-term notes due 2023 with a coupon rate of 2.25%, $850 million medium-term notes due 2027 with a coupon rate of 2.875%, and $500 million medium-term notes due 2047 with a coupon rate of 3.625%. Additionally, in October 2017, the company repurchased $305 million outstanding notes through cash tender offers.","10":" I'm sorry, but the provided context does not include information about the company's current ratio or quick ratio, nor does it provide industry averages for comparison. Please provide additional relevant data to answer this question accurately.","11":" The company's inventory increased by $387 million from December 31, 2021. There are signs of inventory management issues as the inventories decreased from $9,035 million in 2021 to $4,985 million in 2022, indicating a significant reduction in inventory levels. However, further analysis would be needed to determine the exact causes and implications of this change.","12":" I don't have the specific accounts receivable turnover ratio from the provided context. However, there are no significant concerns regarding receivables aging as mentioned in the context that \"the Company does not have any significant off-balance-sheet credit exposure related to its customers\" and long-term customer receivables typically do not carry significant credit risk with origination dates usually not older than five years.","13":" I'm sorry, but based on the provided context, there is no specific information about the company's market share or how it has changed over the years. The given data mainly discusses sales figures, acquisitions and divestitures, operating income margins, and business segments of the company.","14":" The company's main competitors include other technologically oriented companies that manufacture products similar to those offered by 3M. To differentiate itself, 3M focuses on its diversified technology portfolio across various business segments such as Industrial, Safety and Graphics, Health Care, Electronics and Energy, and Consumer. The company also emphasizes product development, manufacturing, marketing expertise, strategic relationships with suppliers, careful management of raw material inventories, qualification of additional supply sources, price protection agreements, environmental and social compliance evaluation, and the utilization of patents, trademarks, and licenses.","15":" The company's key risks mentioned in the 10-K include supplier material shortage, climate impacts, natural disasters, military conflicts, supply chain disruptions, government actions related to emission permits or legal\/regulatory requirements, and cybersecurity incidents. To mitigate these risks, the company plans to diversify its suppliers, implement strategies to minimize component and material price volatility, ensure business continuity through contingency planning, invest in robust information technology systems with enhanced security measures, and comply with legal\/regulatory requirements.","16":" The key insights provided in the Management Discussion and Analysis (MD&A) section include:\n\n1. Overview: The MD&A is designed to provide a narrative from management's perspective, offering readers of 3M's financial statements an understanding of the company's financial condition and results of operations.\n2. Results of Operations: This section discusses the performance of the company in terms of its revenues, expenses, and profitability over time.\n3. Performance by Business Segment: The MD&A provides insights into how each business segment contributes to 3M's overall financial results.\n4. Financial Condition and Liquidity: This section discusses the company's liquidity position, capital resources, and ability to meet its short-term obligations.\n5. Cautionary Note Concerning Factors That May Affect Future Results: The MD&A includes a discussion of potential risks and uncertainties that could impact future results, such as global economic conditions, public health crises, and other external factors.\n6. Risk Factors: This section incorporates the most important risk factors applicable to 3M's","17":" The company's management views non-GAAP measures adjusted for special items as useful in understanding underlying business performance while providing additional transparency. They also utilize various tools, such as continuous improvement and global business transformation, to improve productivity and operational efficiency. However, they acknowledge that there can be no assurance of realizing the benefits of these activities or avoiding unexpected negative consequences.","18":" Yes, there are ongoing legal proceedings against the company. In April 2018, a jury in state court in Kentucky found that 3M's respirators failed to protect two coal miners from coal mine dust and awarded compensatory damages of approximately $2 million and punitive damages totaling $63 million. The Company has appealed this judgment.","19":" Legal issues can have several potential impacts on a company's business. These include financial costs from compliance and legal proceedings, criminal or civil sanctions, limitations on conducting business, employee terminations due to policy violations, litigation exposure with associated expenses, changes in liability estimates, negative publicity affecting reputation, and potential challenges to intellectual property rights. These issues can adversely impact the company's results of operations, cash flows, consolidated financial position, and overall business performance.","20":" The effective tax rate for the company in 2018 was 23.4 percent.","21":" Yes, there are tax-related risks mentioned for the company. The context states \"Risks Related to Financial and Capital Markets and Tax Matters,\" which implies potential tax implications due to restructuring activities, changes in business model, or intellectual property rights issues. However, specific details about these tax-related risks are not provided in the given context.","22":" $1.821 billion was spent on research and development by the company in 2018.","23":" Currently, in progress innovations or projects at the company include investments in disruptive innovation programs aimed at creating new markets and disrupting existing ones. Additionally, there are ongoing R&D activities related to application development, product and manufacturing support, product development, and technology development. The company also recorded a gain of $2.7 billion from the split-off and combination of its Food Safety business with Neogen Corporation in Q3 2022.","24":" The company has been paying dividends since 1916, with a consistent increase in annual dividends each year. In February 2023, the first-quarter dividend was $1.50 per share, marking the 65th consecutive year of increases. This is equivalent to an annual dividend of $6.00 per share. The company's repurchase history shows that it has purchased a total of $7.4 billion ($1.464 million in 2022 and $4.9 billion from 2018-2019) of its own stock, with no pre-established end date for the program initiated in February 2016. The sustainability of dividend payouts depends on the company's financial performance and cash flow situation, but given their consistent history of increases and repurchases to support employee compensation plans, it appears that they have a strategy to maintain these payouts. However, without more specific information about future earnings projections or changes in capital structure, it is difficult to definitively assess the long-term sustainability of dividend payments.","25":" Yes, the company has engaged in share buyback programs. They authorized the repurchase of up to $10 billion of their outstanding common stock in November 2018, replacing their February 2016 program which had no pre-established end date. The rationale behind such actions includes supporting stock-based employee compensation plans and other corporate purposes.","26":" The company offers various employee benefits including cash income tax payments, net of refunds; cash interest payments (excluding early debt extinguishment costs); and pension and postretirement benefit plans for U.S. employees. Specific details can be found in the provided context under \"Individual amounts in the Consolidated Statement of Cash Flows\" and \"NOTE 13: Pension and Postretirement Benefit Plans.\"","27":" The company's corporate culture is focused on compliance with evolving treaties, laws, regulations, and requirements. It emphasizes maintaining accurate books and records, internal controls, and implementing U.S. and international compliance programs to reduce the risk of noncompliance. However, it also acknowledges potential challenges such as legal proceedings, negative publicity, intellectual property disputes, and possible violations by employees or third parties that could impact its reputation and operations.","28":" The company addresses Environmental, Social, and Governance (ESG) concerns through various initiatives, including cooperation with state regulators to remediate historic disposal of PFAS-containing waste at its manufacturing operations in Decatur, Alabama; Cottage Grove, Minnesota; and Cordova, Illinois. Additionally, the company has engaged with the Subcommittee on Environment of the Committee on Oversight and Reform by responding to written requests for information relating to PFAS products' manufacturing and distribution, as well as its environmental stewardship initiatives. However, specific details about other sustainability initiatives are not provided in the given context.","29":" I don't have specific information on the company's geographic breakdown of revenue and notable trends or shifts from the provided context. The context mentions that export sales, certain income, and expense items are generally reported within the geographic area where final sales to customers are made, but it does not provide detailed data on this topic. For more information, please refer to Note 2 in the document.","30":" The company manages currency risk by entering into foreign exchange forward contracts, options and swaps to hedge against exchange rate fluctuations on cash flows denominated in foreign currencies. They also use natural hedges such as pricing, productivity, hard currency, billings, and localizing supply sources. Financial hedging is used for more liquid currencies with a 12-36 month horizon depending on the currency. These measures help mitigate foreign currency risk and reduce volatility in financials due to currency fluctuations. Senior management oversees risk management, establishes financial risk policies, and guides derivative instrument utilization. Changes in exchange rates can impact the company's results of operations and financial condition.","31":" The company's critical accounting policies disclosed in Note 1 to the consolidated financial statements include significant estimation uncertainties related to asset, liability, revenue, and expense recognition, as well as contingent assets and liabilities. Changes in these policies could affect financial statements by altering reported amounts of assets, liabilities, revenues, and expenses, potentially impacting the company's financial condition or results of operations.","32":" The company contributed $155 million to its U.S. and international pension plans in 2022, $177 million in 2021, and expects to contribute between $100 million to $200 million in 2023. There is no required minimum cash pension contribution obligation for its U.S. plans in 2023. The company's estimated benefit payments from 2023 to the next five years are as follows:\n\n- United States: $1,057 million (2023), increasing annually up to $1,130 million (2023) and totaling $5,683 million over the next five years.\n- International: $262 million (2023), increasing annually up to $307 million (2027) and totaling $1,623 million over the next five years.\n\nThe company's pension fund surplus or deficit cannot be determined from the provided information as it requires a comparison of the estimated benefit payments with the plan assets managed by the company.","33":" The company leverages technology through its use of information technology (IT) systems for business operations, including an ongoing phased implementation of an enterprise resource planning (ERP) system. It also relies on centralized and local IT networks and systems provided by vendors or third parties to process, transmit, store electronic information, and manage various business functions. The company faces risks related to cybersecurity incidents that could disrupt operations, compromise proprietary data, and result in expenses and liabilities. Ongoing technological advancements include the implementation of ERP systems and increased adoption of remote working due to the pandemic.","34":" The company does not provide specific details about future growth and challenges in the provided context. However, it mentions forward-looking statements related to expected business and financial performance, strategies for growth, market position, new business opportunities, product development, acquisition activities, and potential impacts of external factors such as economic conditions and trade restrictions. The company also acknowledges risks associated with unexpected events like the COVID-19 pandemic and contingencies related to PFAS liabilities. For more detailed strategic plans, it is recommended to review their annual reports or other official communications from the company."},"context":{"0":["%\n2.7\n%\nTranslation\n(0.1)\n0.6\nTotal sales change\n1.4\n%\n3.3\n%\nOperating income (millions)\n$\n1,027\n$\n1,004\n$\n1,054\nPercent change\n2.4\n%\n(4.8)\n%\nPercent of sales\n21.4\n%\n21.2\n%\n23.0\n%\nYear 2018 results:\nSales in Consumer totaled $4.8 billion, an increase of 1.4 percent in U.S. dollars. Organic local-currency sales increased 1.5 percent and foreign currency translation decreased sales by 0.1 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales grew in home improvement, building on a track record of strong performance over the past several years.\n\u00b7\nStationery and office supplies and home care were flat, while consumer health care declined.\nOperating income:\n\u00b7\nOperating income margins increased 0.2 percentage points year-on-year, benefiting from expenses related to portfolio and footprint actions taken in 2017 that were not repeated in 2018.\nYear 2017 results:\nSales in Consumer totaled $4.7 billion, up 3.3 percent in U.S. dollars. Organic local-currency sales increased 2.7 percent, while foreign currency translation increased sales by 0.6 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales grew in consumer health care, home improvement, and home care.\n\u00b7\nThe stationery and office supplies business declined due to channel inventory adjustments, primarily in the U.S. office retail and wholesale market.\nOperating income:\n\u00b7\nOperating income margins declined 1.8 percentage points year-on-year, in part due to incremental strategic investments, which reduced margins by 1.8 percentage points.\nPERFORMANCE BY GEOGRAPHIC AREA","Year 2017 results:\nSales in Safety and Graphics totaled $6.2 billion, up 4.8 percent in U.S. dollars. Organic local-currency sales increased 6.3 percent, acquisitions increased sales by 2.2 percent, divestitures reduced sales by 4.2 percent, and foreign currency translation increased sales by 0.5 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales growth was led by personal safety and roofing granules.\n\u00b7\nTransportation safety showed positive growth, while the commercial solutions business was flat.\nAcquisitions and divestitures:\n\u00b7\nIn January 2017, 3M sold its safety prescription eyewear business.\n\u00b7\nIn the second quarter of 2017, 3M finalized the sale of its identity management business and tolling and automated license\/number plate recognition business.\n\u00b7\nIn October 2017, 3M completed the acquisition of Scott Safety.\n\u00b7\nAlso in October 2017, 3M completed the sale of its electronic monitoring business.\nOperating income:\n\u00b7\nOperating income margins increased 9.5 percentage points, largely driven by year-on-year divestiture gains that were partially offset by acquisition charges and incremental strategic investments, which combined resulted in a net operating income margin benefit of 8.5 percentage points.\nHealth Care Business (18.4% of consolidated sales):\nSales (millions)\n$\n6,021\n$\n5,853\n$\n5,606\nSales change analysis:\nOrganic local-currency\n2.6\n%\n3.9\n%\nTranslation\n0.3\n0.5\nTotal sales change\n2.9\n%\n4.4\n%\nOperating income (millions)\n$\n1,799\n$\n1,764\n$\n1,731\nPercent change\n2.0\n%\n1.9\n%\nPercent of sales\n29.9\n%\n30.1\n%\n30.9\n%\nYear 2018 results:\nSales in Health Care totaled $6.0 billion, up 2.9 percent in U.S. dollars. Organic local-currency sales increased 2.6 percent, and foreign currency translation increased sales by 0.3 percent.\n\t\t\nOn an organic local-currency sales basis:\n\u00b7\nSales growth was led by food safety, health information systems, and medical solutions.\n\u00b7"],"1":["Advertising and merchandising: These costs are charged to operations in the period incurred, and totaled $396 million in 2018, $411 million in 2017 and $385 million in 2016.\n\t\t\nResearch, development and related expenses: These costs are charged to operations in the period incurred and are shown on a separate line of the Consolidated Statement of Income. Research, development and related expenses totaled $1.821 billion in 2018, $1.870 billion in 2017 and $1.764 billion in 2016. Research and development expenses, covering basic scientific research and the application of scientific advances in the development of new and improved products and their uses, totaled $1.253 billion in 2018, $1.352 billion in 2017 and $1.248 billion in 2016. Related expenses primarily include technical support; internally developed patent costs, which include costs and fees incurred to prepare, file, secure and maintain patents; amortization of externally acquired patents and externally acquired in-process research and development; and gains\/losses associated with certain corporate approved investments in R&D-related ventures, such as equity method effects and impairments.\nInternal-use software: The Company capitalizes direct costs of services used in the development of, and external software acquired for use as, internal-use software. Amounts capitalized are amortized over a period of three to seven years, generally on a straight-line basis, unless another systematic and rational basis is more representative of the softwares use. Amounts are reported as a component of either machinery and equipment or capital leases within property, plant and equipment. Fully depreciated internal-use software assets are removed from property, plant and equipment and accumulated depreciation accounts.","Consolidated Statement of Income\nYears ended December 31\n(Millions, except per share amounts) 2022 2021 2020\nNet sales $ 34,229 $ 35,355 $ 32,184\nOperating expenses\nCost of sales 19,232 18,795 16,605\nSelling, general and administrative expenses 9,049 7,197 6,929\nResearch, development and related expenses 1,862 1,994 1,878\nGain on business divestitures (2,724) - (389)\nGoodwill impairment expense 271 - -\nTotal operating expenses 27,690 27,986 25,023\nOperating income 6,539 7,369 7,161\nOther expense (income), net 147 165 366\nIncome before income taxes 6,392 7,204 6,795\nProvision for income taxes 612 1,285 1,337\nIncome of consolidated group 5,780 5,919 5,458\nIncome (loss) from unconsolidated subsidiaries, net of taxes 11 10 (5)\nNet income including noncontrolling interest 5,791 5,929 5,453\nLess: Net income (loss) attributable to noncontrolling interest 14 8 4\nNet income attributable to 3M $ 5,777 $ 5,921 $ 5,449\nWeighted average 3M common shares outstanding - basic 566.0 579.0 577.6\nEarnings per share attributable to 3M common shareholders - basic $ 10.21 $ 10.23 $ 9.43\nWeighted average 3M common shares outstanding - diluted 567.6 585.3 582.2\nEarnings per share attributable to 3M common shareholders - diluted $ 10.18 $ 10.12 $ 9.36\nThe accompanying Notes to Consolidated Financial Statements are an integral part of this statement.\n3M Company and Subsidiaries\nConsolidated Statement of Comprehensive Income (Loss)\nYears ended December 31\n(Millions) 2022 2021 2020\nNet income including noncontrolling interest $ 5,791 $ 5,929 $ 5,453\nOther comprehensive income (loss), net of tax:\nCumulative translation adjustment (893) (494) 447\nDefined benefit pension and postretirement plans adjustment 915 1,345 106\nCash flow hedging instruments 47 119 (142)\nTotal other comprehensive income (loss), net of tax 69 970 411\nComprehensive income (loss) including noncontrolling interest 5,860 6,899 5,864\nComprehensive (income) loss attributable to noncontrolling interest (6) (7) (2)"],"2":["3M expects to contribute approximately $100 million to $200 million of cash to its global defined benefit pension and postretirement plans in 2023. The Company does not have a required minimum cash pension contribution obligation for its U.S. plans in 2023. 3M expects global defined benefit pension and postretirement expense in 2023 to decrease by approximately $30 million pre-tax when compared to 2022. Refer to Critical Accounting Estimates within MD&A and Note 13 (Pension and Postretirement Benefit Plans) for additional information concerning 3Ms pension and post-retirement plans.\nRESULTS OF OPERATIONS\nNet Sales:\nRefer to the preceding Overview section and the Performance by Business Segment section later in MD&A for additional discussion of sales change.\nOperating Expenses:\n(Percent of net sales) 2022 2021 Change\nCost of sales 56.2 % 53.2 % 3.0 %\nSelling, general and administrative expenses (SG&A) 26.5 20.4 6.1\nResearch, development and related expenses (R&D) 5.4 5.6 (0.2)\nGain on business divestitures (8.0) - (8.0)\nGoodwill impairment expense 0.8 - 0.8\nOperating income margin 19.1 % 20.8 % (1.7) %\nThe Company is continuing the ongoing deployment of an enterprise resource planning (ERP) system on a worldwide basis, with these investments impacting cost of sales, SG&A, and R&D.\nCost of Sales:\nCost of sales, measured as a percent of sales, increased in 2022 when compared to the same period last year. Increases were primarily due to 2022 special item costs for significant litigation from additional commitments to address PFAS-related matters at 3M's Zwijndrecht, Belgium site (discussed in Note 16), higher raw materials and logistics costs, manufacturing productivity headwinds which were further magnified by the shutdown of certain operations in Belgium and progress on restarting previously-idled operations, and investments in growth, productivity and sustainability. On a percent of sales basis, these increases were partially offset by increases in selling prices.","Operating income margin and earnings per share attributable to 3M common shareholders - diluted:\nThe following table provides the increases (decreases) in operating income margins and diluted earnings per share.\nYear ended December 31,\n2022 2021\nPercent of net sales Earnings per diluted share Percent of net sales Earnings per diluted share\nSame period last year 20.8 % $ 10.12 22.3 % $ 9.36\nNet costs for significant litigation 1.4 0.61 1.0 0.37\nGain on business divestitures - - (1.2) (0.52)\nDivestiture-related restructuring actions - - 0.2 0.08\nTotal special items 1.4 0.61 - (0.07)\nSame period last year, excluding special items 22.2 10.73 22.3 9.29\nIncrease\/(decrease) due to:\nTotal organic growth\/productivity and other 1.0 0.56 0.7 1.07\nRaw material impact (2.4) (1.13) (0.8) (0.27)\nDivestitures - (0.05) - (0.05)\nForeign exchange impacts - (0.39) - 0.16\nOther expense (income), net N\/A 0.02 N\/A 0.27\nIncome tax rate N\/A 0.06 N\/A 0.32\nShares of common stock outstanding N\/A 0.30 N\/A (0.06)\nCurrent period, excluding special items 20.8 10.10 22.2 10.73\nNet costs for significant litigation (6.7) (3.20) (1.4) (0.61)\nDivestiture costs (0.2) (0.08) - -\nGain on business divestitures 8.0 4.73 - -\nDivestiture-related restructuring actions (0.1) (0.05) - -\nRussia exit charges (0.3) (0.20) - -\nPFAS manufacturing exit costs (2.4) (1.12) - -\nTotal special items (1.7) 0.08 (1.4) (0.61)\nCurrent period 19.1 % $ 10.18 20.8 % $ 10.12\nThe Company refers to various \"adjusted\" amounts or measures on an adjusted basis. These exclude special items. These non-GAAP measures are further described and reconciled to the most directly comparable GAAP financial measures in the Certain amounts adjusted for special items - (non-GAAP measures) section below.\nA discussion related to the components of year-on-year changes in operating income margin and earnings per diluted share follows:\nOrganic growth\/productivity and other:"],"3":["3M expects to contribute approximately $100 million to $200 million of cash to its global defined benefit pension and postretirement plans in 2023. The Company does not have a required minimum cash pension contribution obligation for its U.S. plans in 2023. 3M expects global defined benefit pension and postretirement expense in 2023 to decrease by approximately $30 million pre-tax when compared to 2022. Refer to Critical Accounting Estimates within MD&A and Note 13 (Pension and Postretirement Benefit Plans) for additional information concerning 3Ms pension and post-retirement plans.\nRESULTS OF OPERATIONS\nNet Sales:\nRefer to the preceding Overview section and the Performance by Business Segment section later in MD&A for additional discussion of sales change.\nOperating Expenses:\n(Percent of net sales) 2022 2021 Change\nCost of sales 56.2 % 53.2 % 3.0 %\nSelling, general and administrative expenses (SG&A) 26.5 20.4 6.1\nResearch, development and related expenses (R&D) 5.4 5.6 (0.2)\nGain on business divestitures (8.0) - (8.0)\nGoodwill impairment expense 0.8 - 0.8\nOperating income margin 19.1 % 20.8 % (1.7) %\nThe Company is continuing the ongoing deployment of an enterprise resource planning (ERP) system on a worldwide basis, with these investments impacting cost of sales, SG&A, and R&D.\nCost of Sales:\nCost of sales, measured as a percent of sales, increased in 2022 when compared to the same period last year. Increases were primarily due to 2022 special item costs for significant litigation from additional commitments to address PFAS-related matters at 3M's Zwijndrecht, Belgium site (discussed in Note 16), higher raw materials and logistics costs, manufacturing productivity headwinds which were further magnified by the shutdown of certain operations in Belgium and progress on restarting previously-idled operations, and investments in growth, productivity and sustainability. On a percent of sales basis, these increases were partially offset by increases in selling prices.","Corporate and Unallocated operating expenses decreased in 2022, when compared to the same period last year. The subsections below provide additional information.\nCorporate Special Items\nRefer to the Certain amounts adjusted for special items - (non-GAAP measures) section for additional details on the impact of special items and to Note 19 for additional information on the components of corporate special items. Corporate special item net costs decreased in 2022 year over year primarily due to the gain on divestiture associated with the 2022 split-off of the Food Safety business (discussed in Note 3) partially offset by additional commitments in 2022 to address PFAS-related matters, including at 3M's Zwijndrecht, Belgium site (discussed in Note 16).\nOther Corporate Expense - Net\nOther corporate operating expenses, net, increased when compared to the same period last year primarily due to a $91 million pre-tax benefit from the impact of the favorable decision of the Brazilian Supreme Court included in the second quarter of 2021 regarding the calculation of past social taxes.\nOperating Business Segments:\nInformation related to 3Ms business segments is presented in the tables that follow with additional context in the corresponding narrative below the tables.\nSafety and Industrial Business (33.9% of consolidated sales):\n2022 2021\nSales (millions) $ 11,604 $ 11,981\nSales change analysis:\nOrganic sales 1.0 % 7.3 %\nTranslation (4.2) 1.9\nTotal sales change (3.2 %) 9.2 %\nBusiness segment operating income (loss) (millions) $ 1,199 $ 2,466\nPercent change (51.4 %) (4.7 %)\nPercent of sales 10.3 % 20.6 %\nAdjusted business segment operating income (millions) (non-GAAP measure) $ 2,613 $ 2,715\nPercent change (3.7) % (2.8) %\nPercent of sales 22.5 % 22.7 %"],"4":["Light management films and electronics assembly solutions\nPackaging and interconnection solutions\nReflective signage for highway, and vehicle safety\nHealth Care Health care procedure coding and reimbursement software\nSkin, wound care, and infection prevention products and solutions\nDentistry and orthodontia solutions\nFiltration and purification systems\nConsumer Consumer bandages, braces, supports and consumer respirators\nCleaning products for the home\nRetail abrasives, paint accessories, car care DIY products, picture hanging and consumer air quality solutions\nStationery products\nSome seasonality impacts this business segment related to back-to-school, generally in the third quarter of each year\nBusiness Segment Information\n(Millions)\nNet Sales 2022 2021 2020\nSafety and Industrial $ 11,604 $ 11,981 $ 10,972\nTransportation and Electronics 8,902 9,262 8,406\nHealth Care 8,421 8,597 7,832\nConsumer 5,298 5,513 4,976\nCorporate and Unallocated 4 2 (2)\nTotal Company $ 34,229 $ 35,355 $ 32,184\nOperating Performance 2022 2021 2020\nSafety and Industrial $ 1,199 $ 2,466 $ 2,588\nTransportation and Electronics 1,012 1,880 1,701\nHealth Care 1,815 2,037 1,662\nConsumer 994 1,162 1,119\nTotal business segment operating income 5,020 7,545 7,070\nCorporate and Unallocated\nCorporate special items:\nNet costs for significant litigation (877) (214) (148)\nDivestiture costs (60) - -\nGain on business divestitures 2,724 - 389\nDivestiture-related restructuring actions (41) - (55)\nRussia exit charges (109) - -\nTotal corporate special items 1,637 (214) 186\nOther corporate expense - net (118) 38 (95)\nTotal Corporate and Unallocated 1,519 (176) 91\nTotal Company operating income 6,539 7,369 7,161\nOther expense\/(income), net 147 165 366\nIncome before income taxes $ 6,392 $ 7,204 $ 6,795\nAssets Depreciation & Amortization Capital Expenditures\n(Millions) 2022 2021 2022 2021 2020 2022 2021 2020\nSafety and Industrial $ 11,730 $ 11,744 $ 566 $ 593 $ 562 $ 512 $ 339 $ 451","%\n2.7\n%\nTranslation\n(0.1)\n0.6\nTotal sales change\n1.4\n%\n3.3\n%\nOperating income (millions)\n$\n1,027\n$\n1,004\n$\n1,054\nPercent change\n2.4\n%\n(4.8)\n%\nPercent of sales\n21.4\n%\n21.2\n%\n23.0\n%\nYear 2018 results:\nSales in Consumer totaled $4.8 billion, an increase of 1.4 percent in U.S. dollars. Organic local-currency sales increased 1.5 percent and foreign currency translation decreased sales by 0.1 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales grew in home improvement, building on a track record of strong performance over the past several years.\n\u00b7\nStationery and office supplies and home care were flat, while consumer health care declined.\nOperating income:\n\u00b7\nOperating income margins increased 0.2 percentage points year-on-year, benefiting from expenses related to portfolio and footprint actions taken in 2017 that were not repeated in 2018.\nYear 2017 results:\nSales in Consumer totaled $4.7 billion, up 3.3 percent in U.S. dollars. Organic local-currency sales increased 2.7 percent, while foreign currency translation increased sales by 0.6 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales grew in consumer health care, home improvement, and home care.\n\u00b7\nThe stationery and office supplies business declined due to channel inventory adjustments, primarily in the U.S. office retail and wholesale market.\nOperating income:\n\u00b7\nOperating income margins declined 1.8 percentage points year-on-year, in part due to incremental strategic investments, which reduced margins by 1.8 percentage points.\nPERFORMANCE BY GEOGRAPHIC AREA"],"5":["Inventory increased $387 million from December 31, 2021, primarily as a result of increased underlying operating activity partially offset by foreign currency translation impacts. Current portion of long-term debt increased as upcoming debt maturities now considered current were partially offset by the bond maturities in 2022, while accounts payable also increased as a result of increased sequential operating activity partially offset by foreign currency translation impacts.\nCash Flows:\nCash flows from operating, investing and financing activities are provided in the tables that follow. Individual amounts in the Consolidated Statement of Cash Flows exclude the effects of acquisitions, divestitures and exchange rate impacts on cash and cash equivalents, which are presented separately in the cash flows. Thus, the amounts presented in the following operating, investing and financing activities tables reflect changes in balances from period to period adjusted for these effects.\nCash Flows from Operating Activities:\nYear ended December 31, (Millions) 2022 2021\nNet income including noncontrolling interest $ 5,791 $ 5,929\nDepreciation and amortization 1,831 1,915\nLong-lived and indefinite-lived asset impairment expense 618 -\nGoodwill impairment expense 271 -\nCompany pension and postretirement contributions (158) (180)\nCompany pension and postretirement expense 178 206\nStock-based compensation expense 263 274\nGain on business divestitures (2,724) -\nIncome taxes (deferred and accrued income taxes) (710) (410)\nAccounts receivable (105) (122)\nInventories (629) (903)\nAccounts payable 111 518\nOther - net 854 227\nNet cash provided by (used in) operating activities $ 5,591 $ 7,454\nCash flows from operating activities can fluctuate significantly from period to period, as working capital movements, tax timing differences and other items can significantly impact cash flows.","0.02\n0.50\n-\nCurrent period, excluding MN Natural Resource Damages (NRD) resolution and TCJA measurement period adjustment\n$\n2.31\n$\n10.46\n$\n9.17\nTCJA measurement period adjustment\n0.07\n(0.29)\n(1.24)\nMN NRD resolution\n(0.11)\n(1.28)\n-\nCurrent period\n$\n2.27\n$\n8.89\n$\n7.93\n\t\t\nYear 2018 and fourth quarter EPS:\nFor the fourth quarter of 2018, net income attributable to 3M was $1.347 billion, or $2.27 per diluted share, compared to $523 million, or $0.85 per diluted share, in the fourth quarter of 2017, an increase of 167 percent on a per diluted share basis. Adjusting for the impacts related to the resolution of the Minnesota natural resource damages (NRD) matter and accounting for the enactment of the Tax Cuts and Jobs Act (TCJA), as further described in the Operating income, operating income margin, income before taxes, net income, earnings per share, and effective tax rate adjusted for impacts of the Minnesota NRD resolution and the measurement period adjustment to the impact of the enactment of the Tax Cuts and Jobs Act (TCJA) - (non-GAAP measures) section below, net income attributable to 3M was $1.366 billion, or $2.31 diluted share for the fourth quarter of 2018, compared to $1.285 billion, or $2.10 per diluted share for the fourth quarter of 2017, an increase of 10.0 percent on a per diluted share basis.\nFor full year 2018, net income attributable to 3M was $5.349 billion, or $8.89 per diluted share basis, compared to $4.858 billion, or $7.93 per diluted share, for full year 2017, an increase of 12.1 percent on a per diluted share. Adjusting for the NRD matter and the TCJA as described further below, net income was $6.295 billion, or $10.46 per diluted share for the full year 2018, compared to $5.620 billion, or $9.17 per diluted share for full year 2017, an increase of 14.1 percent on a per diluted share basis.\nThese non-GAAP measures are further described and reconciled to the most directly comparable GAAP financial measures in the section that follows."],"6":["OVERVIEW\n3M is a diversified global manufacturer, technology innovator and marketer of a wide variety of products and services. As described in Note 18, effective in the first quarter of 2018, 3M improved the alignment of its businesses around markets and customers. Segment information presented herein reflects the impact of these changes for all periods presented. 3M manages its operations in five operating business segments: Industrial; Safety and Graphics; Health Care; Electronics and Energy; and Consumer. From a geographic perspective, any references to EMEA refer to Europe, Middle East and Africa on a combined basis.\nEarnings per share (EPS) attributable to 3M common shareholders - diluted:\nThe following table provides the increase (decrease) in diluted earnings per share for the fourth quarter and year 2018 compared to the same period last year, in addition to 2017 compared to 2016.\nThree months ended\nYear ended December 31,\n(Earnings per diluted share)\nDecember 31, 2018\nSame period last year\n$\n0.85\n$\n7.93\n$\n8.16\n2017 Enactment of TCJA Impact\n1.25\n1.24\n-\nSame period last year, excluding 2017 Tax Cuts and Jobs Act (TCJA)\n$\n2.10\n$\n9.17\n$\n8.16\nIncrease\/(decrease) in earnings per share - diluted, due to:\n2017 divestiture of identity management business\n-\n(0.54)\n0.54\nOrganic growth\/productivity and other\n0.18\n0.92\n0.47\nAcquisitions\/other divestiture gains\n(0.15)\n(0.15)\n-\nForeign exchange impacts\n(0.03)\n(0.05)\n(0.13)\nLegal-related charges\n-\n(0.04)\n-\nLegal - respirator mask actuarial reserve\n-\n-\n(0.07)\nOther expense\n0.06\n(0.14)\n(0.22)\nIncome tax rate, excluding Tax Cuts and Jobs Act (TCJA) measurement period adjustment\n0.05\n0.61\n0.34\nShares of common stock outstanding\n0.08\n0.18\n0.08\n2018 divestiture of Communication Markets Division, net of related restructuring actions\n0.02\n0.50\n-\nCurrent period, excluding MN Natural Resource Damages (NRD) resolution and TCJA measurement period adjustment\n$\n2.31\n$\n10.46\n$\n9.17\nTCJA measurement period adjustment\n0.07\n(0.29)\n(1.24)","2.21\n2.65\n2.39\n0.88\n8.13\nEarnings per share attributable to 3M common shareholders - diluted\n2.16\n2.58\n2.33\n0.85\n7.93\nGross profit is calculated as net sales minus cost of sales.\nIn the first quarter of 2018, the resolution of the State of Minnesota Natural Resource Damages (NRD) lawsuit reduced net income by $710 million, or $1.16 per diluted share. Refer to Note 16 for additional details. Additionally, the first quarter of 2018 was impacted by a measurement period adjustment related to the enactment of the Tax Cuts and Jobs Act (TCJA), which reduced net income by $217 million, or $0.36 per diluted share. Refer to Note 10 for additional details.\nIn the fourth quarter of 2018, the Companys ongoing IRS examination under the Compliance Assurance Process (CAP) and new guidance released under the Tax Cuts and Jobs Act resulted in a charge that reduced net income by $60 million, or $0.11 per diluted share. Additionally, in the fourth quarter of 2018, the Company finalized the tax impact related to TCJA with a reversal of previously recorded tax expense that increased net income by $41 million, or $0.07 per diluted share. On a combined basis, these items, including the impacts detailed above for the first quarter of 2018, reduced net income by $946 million, or $1.57 per diluted share in 2018.\nFourth quarter and year 2017 were impacted by the enactment of the Tax Cuts and Jobs Act in December 2017, which reduced net income by $762 million and reduced diluted earnings per share by $1.25 in the fourth quarter and $1.24 for year 2017. Refer to Note 10 for additional details. Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure.\nNone. Item 9A. Controls and Procedures."],"7":["Cash flows from operating activities can fluctuate significantly from period to period, as working capital movements, tax timing differences and other items can significantly impact cash flows.\nIn 2022, cash flows provided by operating activities decreased $1,863 million compared to the same period last year, with this decrease primarily due to lower net income and the cash impact from capitalization of R&D for U.S. tax purposes. The combination of accounts receivable, inventories and accounts payable decreased operating cash flow by $623 million in 2022, compared to an operating cash flow decrease of $507 million in 2021. Additional discussion on working capital changes is provided earlier in the Financial Condition and Liquidity section. The 2022 second quarter pre-tax charge of approximately $1.2 billion related to steps toward resolving Combat Arms Earplugs litigation (discussed in Note 16) largely impacted the 2022 net income component above, with offsets in the other-net and deferred tax elements. The 2022 non-cash impairment expenses added back to net income in arriving at net cash provided by operating activities above primarily relate to 3M's commitment to a plan to exit per- and polyfluoroalkyl substance (PFAS) manufacturing as described in Note 15.\nCash Flows from Investing Activities:\nYear ended December 31, (Millions) 2022 2021\nPurchases of property, plant and equipment (PP&E) $ (1,749) $ (1,603)\nProceeds from sale of PP&E and other assets 200 51\nPurchases and proceeds from maturities and sale of marketable securities and investments, net 11 204\nProceeds from sale of businesses, net of cash sold 13 -\nCash payment from Food Safety business split-off, net of divested cash 478 -\nOther - net 1 31\nNet cash provided by (used in) investing activities $ (1,046) $ (1,317)","1,074\nAccounts receivable\n(305)\n(245)\n(313)\nInventories\n(509)\n(387)\nAccounts payable\nOther - net\nNet cash provided by operating activities\n$\n6,439\n$\n6,240\n$\n6,662\nCash flows from operating activities can fluctuate significantly from period to period, as pension funding decisions, tax timing differences and other items can significantly impact cash flows.\nIn 2018, cash flows provided by operating activities increased $199 million compared to the same period last year, with the increase primarily made up of higher net income and lower year-on-year pension and postretirement contributions. The increase was partially offset primarily due to the Minnesota NRD resolution in the first quarter of 2018 and year-on-year increases in income tax payments. Additional factors that decreased operating cash flows were increases in inventory and accounts receivable. The combination of accounts receivable, inventories and accounts payable increased working capital by $406 million in 2018, compared to the working capital increases of $608 million in 2017. Additional discussion on working capital changes is provided earlier in the Financial Condition and Liquidity section.\nIn 2017, cash flows provided by operating activities decreased $422 million compared to the same period last year. Factors that decreased operating cash flows were increases in pension contributions, plus year-on-year increases in working capital. In December 2017, 3M contributed $600 million to its U.S. defined benefit pension plan, contributing to a year-on-year increase in pension and postretirement contributions of $584 million. The combination of accounts receivable, inventories and accounts payable increased working capital by $608 million in 2017, compared to working capital increases of $108 million in 2016. In 2017, year-on-year decreases in income tax payments (net of refunds) increased operating cash flows by $284 million.\nCash Flows from Investing Activities:\nYears ended December 31\n(Millions)"],"8":["Health Care\nMedical and surgical supplies, skin health and infection prevention products, drug delivery systems, dental and orthodontic products, health information systems and food safety products\nElectronics and Energy\nOptical films solutions for electronic displays, packaging and interconnection devices, insulating and splicing solutions for the electronics and electrical industries, touch screens and touch monitors, renewable energy component solutions, and infrastructure protection products\nConsumer\nConsumer and office tapes and adhesives, repositionable notes, indexing systems, home improvement products, furnace filters, painter tapes, mounting products, home care products, sponges, scouring pads, high-performance clothes, protective material products, and adhesive bandages and braces\n\t\t\nBusiness Segment Information\nNet Sales\nOperating Income\n(Millions)\nIndustrial\n$\n12,267\n$\n11,866\n$\n11,217\n$\n2,737\n$\n2,490\n$\n2,528\nSafety and Graphics\n6,827\n6,235\n5,948\n1,720\n2,066\n1,403\nHealth Care\n6,021\n5,853\n5,606\n1,799\n1,764\n1,731\nElectronics and Energy\n5,472\n5,501\n4,926\n2,055\n1,377\n1,145\nConsumer\n4,796\n4,731\n4,578\n1,027\n1,004\n1,054\nCorporate and Unallocated\n(1,465)\n(395)\n(321)\nElimination of Dual Credit\n(2,668)\n(2,532)\n(2,172)\n(666)\n(614)\n(513)\nTotal Company\n$\n32,765\n$\n31,657\n$\n30,109\n$\n7,207\n$\n7,692\n$\n7,027\nAssets\nDepreciation & Amortization\nCapital Expenditures\n(Millions)\nIndustrial\n$\n9,855\n$\n9,895\n$\n9,140\n$\n$\n$\n$\n$\n$\nSafety and Graphics\n9,657\n9,874\n7,626\nHealth Care\n4,687\n4,757\n4,293\nElectronics and Energy\n3,993\n4,291\n4,335\nConsumer\n2,757\n2,706\n2,497\nCorporate and Unallocated\n5,551\n6,464\n5,015\nTotal Company\n$\n36,500\n$\n37,987\n$\n32,906\n$\n1,488\n$\n1,544\n$\n1,474\n$\n1,577\n$\n1,373\n$\n1,420","In 2022, 3M expended approximately $317 million on capital projects for environmental purposes as defined below. Capital projects for environmental purposes include waste reduction and pollution control programs such as, water usage reduction and water quality improvement equipment, scrubbers, containment structures, solvent recovery units and thermal oxidizers. Capital expenditures for similar projects are presently expected to approach approximately $646 million for 2023 and 2024 in aggregate.\nAlthough an estimate of certain nearer-term capital expenditures is provided above, 3M cannot predict with certainty whether future costs of compliance with government regulations (including environmental regulations) will have a material effect on its capital expenditures, earnings or competitive position.\nInformation about our Executive Officers\nFollowing is a list of the executive officers of 3M, and their age, present position, the year elected to their present position and other positions they have held during the past five years. No family relationships exist among any of the executive officers named, nor is there any undisclosed arrangement or understanding pursuant to which any person was selected as an officer. This information is presented in the table below as of the date of the 10-K filing (February 8, 2023).\nName Age Present Position Year Elected to Present Position Other Positions Held during 2018 - 2022\nMichael F. Roman 63 Chairman of the Board and Chief Executive Officer 2019 Chief Executive Officer, 2018-2019\nChief Operating Officer and Executive Vice President, 2017-2018\nExecutive Vice President, Industrial Business Group, 2014-2017\nJohn P. Banovetz 55 Executive Vice President, Chief Technology Officer and Environmental Responsibility 2021 Senior Vice President, Chief Technology Officer and Environmental Responsibility, 2021\nSenior Vice President, Innovation and Stewardship and Chief Technology Officer, 2020"],"9":["2017 Debt Activity:\nThe Companys total debt was $2.3 billion higher at December 31, 2017 when compared to December 31, 2016. Increases in debt related to October 2017 debt issuances of $2.0 billion, commercial paper of $745 million outstanding at year end 2017, and the net impact of repayments and borrowings of international subsidiaries. These are partially offset by June 2017 repayments of $650 million aggregate principal amount of medium-term notes and the October 2017 $305 million debt tender. Net commercial paper issuances and repayments and borrowings by international subsidiaries are largely reflected in Change in short-term debt - net in the preceding table. Foreign exchange rate changes also impacted debt balances.\nProceeds from debt for 2017 primarily related to the October 2017 issuance of $650 million aggregate principal amount of 5.5-year fixed rate medium-term notes due 2023 with a coupon rate of 2.25%, $850 million aggregate principal amount of 10-year fixed rate medium-term notes due 2027 with a coupon rate of 2.875%, and $500 million aggregate principal amount of 30-year fixed rate medium-term notes due 2047 with a coupon rate of 3.625%. Refer to Note 12 for more detail of these debt issuances.\nIn October 2017, via cash tender offers, 3M repurchased $305 million aggregate principal amount of its outstanding notes. This included $110 million of its $330 million principal amount of 6.375% notes due 2028 and $195 million of its $750 million principal amount of 5.70% notes due 2037. The Company recorded an early debt extinguishment charge of $96 million in the fourth quarter of 2017 within interest expense associated with the differential between the carrying value and the amount paid to acquire the tendered notes and related expenses.\n2016 Debt Activity:","Total Debt:\nThe strength of 3Ms capital structure and significant ongoing cash flows provide 3M proven access to capital markets. Additionally, the Companys maturity profile is staggered to help ensure refinancing needs in any given year are reasonable in proportion to the total portfolio. 3M currently has an AA- credit rating with a stable outlook from Standard & Poors and has an A1 credit rating with a stable outlook from Moodys Investors Service.\nThe Companys total debt was $0.7 billion higher at December 31, 2018 when compared to December 31, 2017. Increases in debt related to September 2018 debt issuances of $2.25 billion along with the net impact of repayments and borrowings of international subsidiaries along with foreign currency effects. These were partially offset by August 2018 and November 2018 maturation of $450 million and 500 million Euro, respectively, aggregate principal amount of medium-term notes in addition to commercial paper of $435 million outstanding at year end 2018 compared to $745 million outstanding at year end 2017. For discussion of repayments of and proceeds from debt refer to the following Cash Flows from Financing Activities section.\nEffective February 24, 2017, the Company updated its well-known seasoned issuer (WKSI) shelf registration statement, which registers an indeterminate amount of debt or equity securities for future issuance and sale. This replaced 3Ms previous shelf registration dated May 16, 2014. In May 2016, in connection with the WKSI shelf, 3M entered into an amended and restated distribution agreement relating to the future issuance and sale (from time to time) of the Companys medium-term notes program (Series F), up to the aggregate principal amount of $18 billion, which was an increase from the previous aggregate principal amount up to $9 billion of the same Series."],"10":["As of December 31, 2018, the total amount of debt issued as part of the medium-term notes program (Series F), inclusive of debt issued in 2011, 2012, 2014, 2015, 2016, 2017 and the 2018 debt referenced above, is approximately $15.3 billion (utilizing the foreign exchange rates applicable at the time of issuance for the Euro denominated debt). Information with respect to long-term debt issuances and maturities for the periods presented is included in Note 12.\nIn March 2016, 3M amended and restated its existing $2.25 billion five-year revolving credit facility expiring in August 2019 to a $3.75 billion five-year revolving credit facility expiring in March 2021. This credit agreement includes a provision under which 3M may request an increase of up to $1.25 billion (at lenders discretion), bringing the total facility up to $5.0 billion. This revolving credit facility is undrawn at December 31, 2018. Under the $3.75 billion credit agreement, the Company is required to maintain its EBITDA to Interest Ratio as of the end of each fiscal quarter at not less than 3.0 to 1. This is calculated (as defined in the agreement) as the ratio of consolidated total EBITDA for the four consecutive quarters then ended to total interest expense on all funded debt for the same period. At December 31, 2018, this ratio was approximately 25 to 1. Debt covenants do not restrict the payment of dividends. Apart from the committed facilities, an additional $243 million in stand-alone letters of credit and bank guarantees were also issued and outstanding at December 31, 2018. These instruments are utilized in connection with normal business activities.\n\t\t\nCash, Cash Equivalents and Marketable Securities:","The Company had $1.8 billion in commercial paper outstanding at June 30, 2023, compared to no commercial paper outstanding as of December 31, 2022.\nIn May 2023, 3M entered into a $4.25 billion five-year revolving credit facility expiring in 2028; the facility was amended in July 2023. The revolving credit agreement includes a provision under which 3M may request an increase of up to $1.0 billion (at lenders discretion), bringing the total facility up to $5.25 billion. The agreement replaced the amended and restated $3.0 billion, five-year revolving credit agreement and the $1.25 billion 364-day credit facility that would have expired in November 2024 and November 2023, respectively. The credit facility was undrawn at June 30, 2023. Under the $4.25 billion credit facility, the Company is required to maintain its EBITDA to Interest Ratio as of the end of each fiscal quarter at not less than 3.0 to 1. This is calculated (based on amounts defined in the amended agreement) as the ratio of consolidated total EBITDA for the four consecutive quarters then ended to total interest expense on all funded debt for the same period. At June 30, 2023, this ratio, reflecting the July 2023 amendment, was approximately 17 to 1. Debt covenants do not restrict the payment of dividends.\nFuture Maturities of Long-term Debt\nMaturities of long-term debt in the table below reflect the impact of put provisions associated with certain debt instruments and are net of the unamortized debt issue costs such that total maturities equal the carrying value of long-term debt as of June 30, 2023. The maturities of long-term debt for the periods subsequent to June 30, 2023 are as follows (in millions):\nRemainder of\n2024 2025 2026 2027 2028 After 2028\nTotal\n$ 149 $ 1,100 $ 1,866 $ 1,458 $ 846 $ 722 $ 8,062 $ 14,203\nNOTE 11. Pension and Postretirement Benefit Plans"],"11":["Inventory increased $387 million from December 31, 2021, primarily as a result of increased underlying operating activity partially offset by foreign currency translation impacts. Current portion of long-term debt increased as upcoming debt maturities now considered current were partially offset by the bond maturities in 2022, while accounts payable also increased as a result of increased sequential operating activity partially offset by foreign currency translation impacts.\nCash Flows:\nCash flows from operating, investing and financing activities are provided in the tables that follow. Individual amounts in the Consolidated Statement of Cash Flows exclude the effects of acquisitions, divestitures and exchange rate impacts on cash and cash equivalents, which are presented separately in the cash flows. Thus, the amounts presented in the following operating, investing and financing activities tables reflect changes in balances from period to period adjusted for these effects.\nCash Flows from Operating Activities:\nYear ended December 31, (Millions) 2022 2021\nNet income including noncontrolling interest $ 5,791 $ 5,929\nDepreciation and amortization 1,831 1,915\nLong-lived and indefinite-lived asset impairment expense 618 -\nGoodwill impairment expense 271 -\nCompany pension and postretirement contributions (158) (180)\nCompany pension and postretirement expense 178 206\nStock-based compensation expense 263 274\nGain on business divestitures (2,724) -\nIncome taxes (deferred and accrued income taxes) (710) (410)\nAccounts receivable (105) (122)\nInventories (629) (903)\nAccounts payable 111 518\nOther - net 854 227\nNet cash provided by (used in) operating activities $ 5,591 $ 7,454\nCash flows from operating activities can fluctuate significantly from period to period, as working capital movements, tax timing differences and other items can significantly impact cash flows.","Comprehensive income (loss) including noncontrolling interest 5,860 6,899 5,864\nComprehensive (income) loss attributable to noncontrolling interest (6) (7) (2)\nComprehensive income (loss) attributable to 3M $ 5,854 $ 6,892 $ 5,862\nThe accompanying Notes to Consolidated Financial Statements are an integral part of this statement.\n3M Company and Subsidiaries\nConsolidated Balance Sheet\nAt December 31\n(Dollars in millions, except per share amount) 2022 2021\nAssets\nCurrent assets\nCash and cash equivalents $ 3,655 $ 4,564\nMarketable securities - current 238 201\nAccounts receivable - net of allowances of $174 and $189\n4,532 4,660\nInventories\nFinished goods 2,497 2,196\nWork in process 1,606 1,577\nRaw materials and supplies 1,269 1,212\nTotal inventories 5,372 4,985\nPrepaids 435 654\nOther current assets 456 339\nTotal current assets 14,688 15,403\nProperty, plant and equipment 25,998 27,213\nLess: Accumulated depreciation (16,820) (17,784)\nProperty, plant and equipment - net 9,178 9,429\nOperating lease right of use assets 829 858\nGoodwill 12,790 13,486\nIntangible assets - net 4,699 5,288\nOther assets 4,271 2,608\nTotal assets $ 46,455 $ 47,072\nLiabilities\nCurrent liabilities\nShort-term borrowings and current portion of long-term debt $ 1,938 $ 1,307\nAccounts payable 3,183 2,994\nAccrued payroll 692 1,020\nAccrued income taxes 259 260\nOperating lease liabilities - current 261 263\nOther current liabilities 3,190 3,191\nTotal current liabilities 9,523 9,035\nLong-term debt 14,001 16,056\nPension and postretirement benefits 1,966 2,870\nOperating lease liabilities 580 591\nOther liabilities 5,615 3,403\nTotal liabilities 31,685 31,955\nCommitments and contingencies (Note 16)\nEquity\n3M Company shareholders equity:\nCommon stock par value, $.01 par value; 944,033,056 shares issued\n9 9\nShares outstanding - December 31, 2022: 549,245,105\nShares outstanding - December 31, 2021: 571,845,478\nAdditional paid-in capital 6,691 6,429\nRetained earnings 47,950 45,821"],"12":["Accounts receivable and allowances: Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Company maintains allowances for bad debts, cash discounts, and various other items. The allowances for bad debts and cash discounts are based on the best estimate of the amount of expected credit losses in existing accounts receivable and anticipated cash discounts. The Company determines the allowances based on historical write-off experience, current expectations of future credit losses informed by industry and regional economic data, and historical cash discounts. The Company reviews the allowances monthly. The allowances for bad debts as well as the provision for credit losses, write-off activity and recoveries for the periods presented are not material. The Company does not have any significant off-balance-sheet credit exposure related to its customers. The Company has long-term customer receivables that do not have significant credit risk, and the origination dates of which are typically not older than five years. These long-term receivables are subject to an allowance methodology similar to other receivables.\nAdvertising and merchandising: These costs are charged to operations in the period incurred, and totaled $323 million, $327 million and $278 million in 2022, 2021 and 2020, respectively.","Working Capital (non-GAAP measure):\nDecember 31,\n2018 versus\n(Millions)\nCurrent assets\n$\n13,709\n$\n14,277\n$\n(568)\nLess: Current liabilities\n7,244\n7,687\n(443)\nWorking capital (non-GAAP measure)\n$\n6,465\n$\n6,590\n$\n(125)\nVarious assets and liabilities, including cash and short-term debt, can fluctuate significantly from month to month depending on short-term liquidity needs. Working capital is not defined under U.S. generally accepted accounting principles and may not be computed the same as similarly titled measures used by other companies. The Company defines working capital as current assets minus current liabilities. 3M believes working capital is meaningful to investors as a measure of operational efficiency and short-term financial health.\nWorking capital decreased $125 million compared with December 31, 2017. Current asset balance changes decreased working capital by $568 million, driven by decreases in cash and cash equivalents and marketable securities, partially offset by increases in accounts receivable and inventories (discussed further below). Current liability balance changes increased working capital by $443 million, primarily due to decreases in short-term debt.\nAccounts receivable increased $109 million from December 31, 2017, primarily due to increased sales. Foreign currency impacts decreased December 31, 2018 accounts receivable by $166 million and divestitures, net of acquisitions, decreased accounts receivable by $29 million. Inventory increased $332 million from December 31, 2017, impacted by maintenance of additional inventory during\n\t\t\nthe deployment in the U.S. of the Companys ERP system. Foreign currency impacts decreased December 31, 2018 inventory by $154 million and divestitures, net of acquisitions, decreased inventory by $23 million.\nReturn on Invested Capital (non-GAAP measure):"],"13":["\u00b7\nAutomotive aftermarket sales were flat, as growth in products and solutions for retail car care was offset by softening of the collision repair market.\nAcquisitions and divestitures:\n\u00b7\nIn January 2016, 3M completed its sale of its pressurized polyurethane foam adhesives business (formerly known as Polyfoam).\n\u00b7\nIn October 2016, 3M sold the assets of its temporary protective films business.\n\u00b7\nIn the first quarter of 2018, 3M completed the sale of its polymer additives compounding business.\n\u00b7\nIn May 2018, 3M divested an abrasives glass products business.\n\t\t\nOperating income:\n\u00b7\nOperating income margins increased 1.3 percentage points, helped by organic sales growth across most of the portfolio in addition to benefiting from expenses related to portfolio and footprint actions taken in 2017 that were not repeated in 2018.\nYear 2017 results:\nSales in Industrial totaled $11.9 billion, up 5.8 percent in U.S. dollars. Organic local-currency sales increased 5.8 percent, divestitures reduced sales by 0.5 percent, and foreign currency translation increased sales by 0.5 percent.\nOn an organic local-currency sales basis:\n\u00b7\nSales grew in all businesses, led by advanced materials, abrasives, automotive and aerospace solutions, and industrial adhesives and tapes.\nAcquisitions and divestitures:\n\u00b7\nThere were no acquisitions or divestitures that closed during 2017. The year-on-year divestiture sales change was due to the impact of 2016 activity.\nOperating income:\n\u00b7\nOperating income margins decreased 1.5 percentage points, as divestiture impacts related to the first quarter 2016 sale of the Polyfoam business resulted in a net year-on-year operating income margin reduction of 0.6 percentage points. In addition, incremental strategic investments decreased margins by 1.0 percentage points.\nSafety and Graphics Business (20.8% of consolidated sales):\nSales (millions)\n$\n6,827\n$\n6,235\n$\n5,948\nSales change analysis:\nOrganic local-currency\n5.1\n%\n6.3\n%\nAcquisitions\n7.3\n2.2\nDivestitures\n(3.1)","Item 1. Business.\n3M Company was incorporated in 1929 under the laws of the State of Delaware to continue operations begun in 1902. The Companys ticker symbol is MMM. As used herein, the term 3M or Company includes 3M Company and its subsidiaries unless the context indicates otherwise. In this document, for any references to Note 1 through Note 20, refer to the Notes to Consolidated Financial Statements in Item 8.\nAvailable Information\nThe SEC maintains a website that contains reports, proxy and information statements, and other information regarding issuers, including the Company, that file electronically with the SEC. The public can obtain any documents that the Company files with the SEC at http:\/\/www.sec.gov. The Company files annual reports, quarterly reports, proxy statements and other documents with the Securities and Exchange Commission (SEC) under the Securities Exchange Act of 1934 (Exchange Act).\n3M also makes available free of charge through its website (http:\/\/investors.3M.com) the Companys Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and, if applicable, amendments to those reports filed or furnished pursuant to the Exchange Act as soon as reasonably practicable after the Company electronically files such material with, or furnishes it to, the SEC.\nGeneral\n3M is a diversified technology company with a global presence in the following businesses: Industrial; Safety and Graphics; Health Care; Electronics and Energy; and Consumer. 3M is among the leading manufacturers of products for many of the markets it serves. Most 3M products involve expertise in product development, manufacturing and marketing, and are subject to competition from products manufactured and sold by other technologically oriented companies.\nAt December 31, 2018, the Company employed 93,516 people (full-time equivalents), with 37,412 employed in the United States and 56,104 employed internationally.\nBusiness Segments"],"14":["Item 1. Business.\n3M Company was incorporated in 1929 under the laws of the State of Delaware to continue operations begun in 1902. The Companys ticker symbol is MMM. As used herein, the term 3M or Company includes 3M Company and its subsidiaries unless the context indicates otherwise. In this document, for any references to Note 1 through Note 20, refer to the Notes to Consolidated Financial Statements in Item 8.\nAvailable Information\nThe SEC maintains a website that contains reports, proxy and information statements, and other information regarding issuers, including the Company, that file electronically with the SEC. The public can obtain any documents that the Company files with the SEC at http:\/\/www.sec.gov. The Company files annual reports, quarterly reports, proxy statements and other documents with the Securities and Exchange Commission (SEC) under the Securities Exchange Act of 1934 (Exchange Act).\n3M also makes available free of charge through its website (http:\/\/investors.3M.com) the Companys Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and, if applicable, amendments to those reports filed or furnished pursuant to the Exchange Act as soon as reasonably practicable after the Company electronically files such material with, or furnishes it to, the SEC.\nGeneral\n3M is a diversified technology company with a global presence in the following businesses: Industrial; Safety and Graphics; Health Care; Electronics and Energy; and Consumer. 3M is among the leading manufacturers of products for many of the markets it serves. Most 3M products involve expertise in product development, manufacturing and marketing, and are subject to competition from products manufactured and sold by other technologically oriented companies.\nAt December 31, 2018, the Company employed 93,516 people (full-time equivalents), with 37,412 employed in the United States and 56,104 employed internationally.\nBusiness Segments","Raw Materials\nIn 2022, many geopolitical, logistics, and disruptive events caused imbalance in the global supply chain, similar to the past few years. The Company experienced raw material price inflation and constrained supply throughout the global marketplace and continued to deploy productivity projects to minimize the impact. To help manage disruption in its manufacturing operations, 3M deployed careful management of existing raw material inventories, strategic relationships with key suppliers, and qualification of additional supply sources. 3M manages spend category price risks through negotiated supply contracts and price protection agreements. In addition, 3M evaluates suppliers conformance with environmental and social compliance requirements. Overall, on a consolidated basis, 3M experienced net raw material price inflation in 2022.\nPatents, Trademarks and Licenses\nThe Companys products are sold around the world under various trademarks. The Company also owns, or holds licenses to use, numerous U.S. and foreign patents. The Companys research and development activities generate a steady stream of inventions that are covered by new patents or trade secrets. Patents applicable to specific products extend for varying periods according to the date of patent application filing or patent grant and the legal term of patents in the various countries where patent protection is obtained. The actual protection afforded by a patent, which can vary from country to country, depends upon the type of patent, the scope of its coverage and the availability of legal remedies in the country.\nThe Company believes that its trademarks, patents, and trade secrets provide an important competitive advantage in many of its businesses. In general, no single patent or group of related patents is in itself essential to the Company as a whole or to any of the Companys business segments.\nGovernment Regulation and Environmental Law Compliance"],"15":["The Company depends on various components, compounds, raw materials, and energy (including oil and natural gas and their derivatives) supplied by others for the manufacturing of its products. Supplier relationships have been and could be interrupted in the future due to supplier material shortage, climate impacts, natural and other disasters, and other disruptive events such as military conflicts, or be terminated. Any sustained interruption in the Companys receipt of adequate supplies, supply chain disruptions impacting the distribution of products, or disruption to key manufacturing sites operations due to natural and other disasters or events, such as government actions relating to discharge or emission permits or other legal or regulatory requirements, could have a material adverse effect on the Company. In addition, there can be no assurance that the Company's processes to minimize volatility in component and material pricing will be successful or that future price fluctuations or shortages will not have a material adverse effect on the Company.\nRisks Related to Our Business\n* The Company employs information technology systems to support its business and collect, store, and use proprietary and confidential information, including ongoing phased implementation of an enterprise resource planning (ERP) system as part of business transformation on a worldwide basis over the next several years. Security and data breaches, cyberattacks, and other cybersecurity incidents involving the Companys information technology systems and infrastructure could disrupt or interfere with the Companys operations; result in the compromise and misappropriation of proprietary and confidential information belonging to the Company or its customers, suppliers, and employees; and expose the Company to numerous expenses, liabilities, and other negative consequences, any or all of which could adversely impact the Companys business, reputation, and results of operations.","Risks Related to Our Business\n* The Company employs information technology systems to support its business and collect, store, and\/or use proprietary and confidential information, including ongoing phased implementation of an enterprise resource planning (ERP) system as part of its business transformation on a worldwide basis over the next several years. Security and data breaches, cyberattacks, and other cybersecurity incidents involving the Companys information technology systems, networks and infrastructure could disrupt or interfere with the Companys operations; result in the compromise and misappropriation of proprietary and confidential information belonging to the Company or its customers, suppliers, and employees; and expose the Company to numerous expenses, liabilities, and other negative consequences, any or all of which could adversely impact the Companys business, reputation, and results of operations."],"16":["Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations.\nManagements Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is designed to provide a reader of 3Ms financial statements with a narrative from the perspective of management. 3Ms MD&A is presented in the following sections:\nOverview\nResults of Operations\nPerformance by Business Segment\nFinancial Condition and Liquidity\nCautionary Note Concerning Factors That May Affect Future Results\nThe term \"N\/M\" used herein references \"not meaningful\" for certain percent changes.\nForward-looking statements in Part I, Item 2 may involve risks and uncertainties that could cause results to differ materially from those projected (refer to the section entitled Cautionary Note Concerning Factors That May Affect Future Results in Part I, Item 2 and the risk factors provided in Part II, Item 1A. Risk Factors.\nProvided below is a cautionary discussion of what we believe to be the most important risk factors applicable to the Company. Discussion of these factors is incorporated by reference into and considered an integral part of Part I, Item 2, Managements Discussion and Analysis of Financial Condition and Results of Operations.\nRisks Related to the Global Economy and Public Health Crises\n* The Companys results are impacted by the effects of, and changes in, worldwide economic, political, regulatory, international trade, geopolitical, and other external conditions.","- - - 4,845\nMay 1 - 31, 2022\n- - - 4,845\nJune 1 - 30, 2022\n- - - 4,845\nApril 1 - June 30, 2022\n- - -\nJuly 1 - 31, 2022\n- - - 4,845\nAugust 1 - 31, 2022\n- - - 4,845\nSeptember 1 - 30, 2022\n1,665,747 114.10 1,665,747 4,655\nJuly 1 - September 30, 2022\n1,665,747 114.10 1,665,747\nOctober 1 - 31, 2022\n2,831,831 114.21 2,831,831 4,331\nNovember 1 - 30, 2022\n1,002,117 126.87 1,002,117 4,204\nDecember 1 - 31, 2022\n378,006 125.91 378,006 4,157\nOctober 1 - December 31, 2022\n4,211,954 118.27 4,211,954\nJanuary 1 - December 31, 2022\n10,652,831 134.31 10,649,159\n____________________\n(1)The total number of shares purchased includes: (i) shares purchased under the Boards authorizations described above, and (ii) shares purchased in connection with the exercise of stock options.\n(2)The total number of shares purchased as part of publicly announced plans or programs includes shares purchased under the Boards authorizations described above. Item 6. [Reserved]. Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations.\nManagements Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is designed to provide a reader of 3Ms financial statements with a narrative from the perspective of management. 3Ms MD&A is presented in eight sections:\nOverview\nResults of Operations\nPerformance by Business Segment\nPerformance by Geographic Area\nCritical Accounting Estimates\nNew Accounting Pronouncements\nFinancial Condition and Liquidity\nFinancial Instruments\nForward-looking statements in Item 7 may involve risks and uncertainties that could cause results to differ materially from those projected (refer to the section entitled Cautionary Note Concerning Factors That May Affect Future Results in Item 1 and the risk factors provided in Item 1A for discussion of these risks and uncertainties)."],"17":["Certain amounts adjusted for special items - (non-GAAP measures):\nIn addition to reporting financial results in accordance with U.S. GAAP, 3M also provides non-GAAP measures that adjust for the impacts of special items. For the periods presented, special items include the items described below. Operating income, segment operating income (loss), income before taxes, net income, earnings per share, and the effective tax rate are all measures for which 3M provides the reported GAAP measure and a measure adjusted for special items. The adjusted measures are not in accordance with, nor are they a substitute for, GAAP measures. While the Company includes certain items in its measure of segment operating performance, it also considers these non-GAAP measures in evaluating and managing its operations. The Company believes that discussion of results adjusted for special items is useful to investors in understanding underlying business performance, while also providing additional transparency to the special items. Special items impacting operating income are reflected in Corporate and Unallocated, except as described below with respect to net costs for significant litigation and PFAS manufacturing exit costs. The determination of these items may not be comparable to similarly titled measures used by other companies.","The Companys financial results depend on the successful execution of its business operating plans. The Company utilizes various tools, such as continuous improvement, to improve productivity and reduce expenses and engages in ongoing global business transformation, including restructurings from time to time, to streamline its operations, improve operational efficiency, productivity, and the speed and efficiency with which it serves customers. Workforce restructuring activities impact business groups, functions, and geographies, and the structural reorganization is expected to reduce the size of the corporate center, simplify supply chain, streamline 3M's geographic footprint, reduce layers of management, further align business go-to-market models to customers, and reduce manufacturing roles to align with production volumes, with the goal of improving the Company's longer-term outlook in overall performance. There can be no assurance that we will realize the benefits of such activities, or that such activities will not result in unexpected or negative consequences, such as a reduced ability to generate sales; a relationship impact with employees; or a reduced ability to provide the experience that our customers, suppliers, vendors, and channel partners expect from us. In addition, the ability to adapt to business model and other changes, including responding to evolving customer needs and service expectations, are important, and, if not done successfully, could negatively impact the Companys ability to win new business and enhance revenue and 3Ms brand. Operational challenges, including those related to customer service, pace of change and productivity improvements, could have a material adverse effect on the Companys business, financial condition, and results of operations.\nRisks Related to Financial and Capital Markets and Tax Matters"],"18":["The Companys current volume of new and pending matters is substantially lower than it experienced at the peak of filings in 2003. The Company expects that filing of claims by unimpaired claimants in the future will continue to be at much lower levels than in the past. Accordingly, the number of claims alleging more serious injuries, including mesothelioma, other malignancies, and black lung disease, will represent a greater percentage of total claims than in the past. Over the past twenty years, the Company has prevailed in fourteen of the fifteen cases tried to a jury (including the lawsuits in 2018 described below). In 2018, 3M received a jury verdict in its favor in two lawsuits - one in California state court in February and the other in Massachusetts state court in December - both involving allegations that 3M respirators were defective and failed to protect the plaintiffs against asbestos fibers. In April 2018, a jury in state court in Kentucky found 3Ms 8710 respirators failed to protect two coal miners from coal mine dust and awarded compensatory damages of approximately $2 million and punitive damages totaling $63 million. In August 2018, the trial court entered judgment and the Company has appealed. The Company believes liability in this case is not probable and estimable. In June 2018, the Company also settled a number of coal mine dust lawsuits for an amount that was not material to the Company.","NOTE 14. Commitments and Contingencies\nLegal Proceedings:\nThe Company and some of its subsidiaries are involved in numerous claims and lawsuits, principally in the United States, and regulatory proceedings worldwide. These claims, lawsuits and proceedings relate to matters including, but not limited to, products liability (involving products that the Company now or formerly manufactured and sold), intellectual property, commercial, antitrust, federal healthcare program related laws and regulations, such as the False Claims Act and anti-kickback laws, securities, and environmental laws in the United States and other jurisdictions. Unless otherwise stated, the Company is vigorously defending all such litigation and proceedings. From time to time, the Company also receives subpoenas, investigative demands or requests for information from various government agencies in the United States and foreign countries. The Company generally responds in a cooperative, thorough and timely manner. These responses sometimes require time and effort and can result in considerable costs being incurred by the Company. Such requests can also lead to the assertion of claims or the commencement of administrative, civil, or criminal legal proceedings against the Company and others, as well as to settlements. The outcomes of legal proceedings and regulatory matters are often difficult to predict. Any determination that the Companys operations or activities are not, or were not, in compliance with applicable laws or regulations could result in the imposition of fines, civil or criminal penalties, and equitable remedies, including disgorgement, suspension or debarment or injunctive relief.\nProcess for Disclosure and Recording of Liabilities Related to Legal Proceedings"],"19":["The Company's results of operations could be adversely impacted if the costs to comply with these evolving treaties, laws, regulations, and requirements are greater than projected by the Company. In addition, the outcome of legal and regulatory proceedings related to compliance with these treaties, laws, regulations, and requirements are difficult to reliably predict, may differ from the Companys expectations, and have resulted and may in the future result in, one or more of the following: criminal or civil sanctions, including fines; limitations on the extent to which the Company can conduct business; employee and business partner terminations due to policy violations; and private rights of action that result in litigation exposure, including expenses and costs incurred in connection with settlement or court proceedings, for the Company. In addition, detecting, investigating and resolving actual or alleged violations of these acts is expensive and could consume significant time and attention of our senior management. Although the Company maintains general liability insurance to mitigate monetary exposure, the amount of liability that may result from certain of these risks may not always be covered by, or could exceed, the applicable insurance coverage. Various factors or developments can lead the Company to change current estimates of liabilities and related insurance receivables where applicable, or make such estimates for matters previously not susceptible of reasonable estimates, such as a significant judicial ruling or judgment, a significant settlement, significant regulatory developments or changes in applicable law. A future adverse ruling, settlement, or unfavorable development could result in future charges that could have a material adverse effect on the Companys results of operations or cash flows or its consolidated financial position. In addition, negative publicity related to the matters noted above or other matters involving the Company may","The Company's results of operations could be adversely impacted if the costs to comply with these evolving treaties, laws, regulations, and requirements are greater than projected by the Company. In addition, the outcome of legal and regulatory proceedings related to compliance with these treaties, laws, regulations, and requirements are difficult to reliably predict, may differ from the Companys expectations, and can result in, among other things, criminal or civil sanctions, including fines; limitations on the extent to which the Company can conduct business; and private rights of action that result in litigation exposure, including expenses and costs incurred in connection with settlement or court proceedings, for the Company. Although the Company maintains general liability insurance to mitigate monetary exposure, the amount of liability that may result from certain of these risks may not always be covered by, or could exceed, the applicable insurance coverage. Various factors or developments can lead the Company to change current estimates of liabilities and related insurance receivables where applicable, or make such estimates for matters previously not susceptible of reasonable estimates, such as a significant judicial ruling or judgment, a significant settlement, significant regulatory developments or changes in applicable law. A future adverse ruling, settlement, or unfavorable development could result in future charges that could have a material adverse effect on the Companys results of operations or cash flows. In addition, negative publicity related to the matters noted above or other matters involving the Company may negatively impact the Companys reputation. The Company also relies on patent and other intellectual property protection, and challenges to the Companys intellectual property rights, or claims that the Companys activities interfere with the intellectual property rights of a third party, could cause the Company to incur significant expenses"],"20":["1.2\n2.2\n0.2\nDomestic Manufacturers deduction\n-\n(1.8)\n(1.8)\nEmployee share-based payments\n(1.4)\n(3.2)\n(2.8)\nAll other - net\n0.6\n(0.6)\n-\nEffective worldwide tax rate\n23.4\n%\n35.5\n%\n28.3\n%\nThe effective tax rate for 2018 was 23.4 percent, compared to 35.5 percent in 2017, a decrease of 12.1 percentage points, impacted by several factors. Primary factors that decreased the Companys effective tax rate included favorable aspects of the Tax Cuts and Jobs Act (TCJA) including the decrease in the U.S. income tax rate and foreign-derived intangible income (FDII), reduced transitional impact of TCJA related to transition tax and remeasurement of deferred tax assets\/liabilities (further discussed below), increased benefits from the R&D tax credit, and favorable adjustment to prior year uncertain tax provisions. These decreases were partially offset by the elimination of the domestic manufacturing deduction, the global intangible low-taxed income (GILTI) provision, and lower excess tax benefits related to employee share-based payments.\nThe effective tax rate for 2017 was 35.5 percent, compared to 28.3 percent in 2016, an increase of 7.2 percentage points, impacted by several factors. Primary factors that increased the Companys effective tax rate included the impacts due to the TCJA being enacted in 2017 (see further information below) and remeasurements and establishment of 3Ms uncertain tax positions. The increase was partially offset by actions which related to international taxes that were impacted by increasing benefits from the Companys supply chain centers of expertise, changes to the geographic mix of income before taxes and prior year cash optimization actions, higher year-on-year excess tax benefit for employee share-based payment, increased benefits from the R&D tax credit, a reduction of state taxes, and other items.","\u00b7\nForeign currency effects (net of hedge gains) decreased operating income margins year-on-year.\nOther Expense (Income), Net:\nSee Note 6 for a detailed breakout of this line item.\n\t\t\nInterest expense increased during 2018 and 2017 due to higher average debt balances and higher U.S. borrowing costs. In addition, in October 2017, via cash tender offers, 3M repurchased $305 million aggregate principal amount of its outstanding notes. The Company recorded an early debt extinguishment charge of $96 million in the fourth quarter of 2017, which was included within interest expense. Capitalized interest related to property, plant and equipment construction in progress is recorded as a reduction to interest expense.\nInterest income increased year-on-year in both 2018 and 2017 due to higher average interest rates.\nEffective January 1, 2018, in conjunction with 3Ms adoption of ASU No. 2017-07, all pension and postretirement net periodic benefit cost components (except the service cost component) are reported within other expense (income), net. For additional details, refer to Note 1 (Significant Accounting Policies). Year-on-year pension and postretirement net periodic benefit non-service costs increased $55 million and $68 million for the year 2018 and 2017, respectively. The year-on-year increases were primarily due to an increase in the net actuarial amortization expense.\nProvision for Income Taxes:\n(Percent of pre-tax income)\nEffective tax rate\n23.4\n%\n35.5\n%\n28.3\n%"],"21":["The Companys financial results depend on the successful execution of its business operating plans. The Company utilizes various tools, such as continuous improvement, to improve productivity and reduce expenses and engages in ongoing global business transformation, including restructurings from time to time, to streamline its operations, improve operational efficiency, productivity, and the speed and efficiency with which it serves customers. Workforce restructuring activities impact business groups, functions, and geographies, and the structural reorganization is expected to reduce the size of the corporate center, simplify supply chain, streamline 3M's geographic footprint, reduce layers of management, further align business go-to-market models to customers, and reduce manufacturing roles to align with production volumes, with the goal of improving the Company's longer-term outlook in overall performance. There can be no assurance that we will realize the benefits of such activities, or that such activities will not result in unexpected or negative consequences, such as a reduced ability to generate sales; a relationship impact with employees; or a reduced ability to provide the experience that our customers, suppliers, vendors, and channel partners expect from us. In addition, the ability to adapt to business model and other changes, including responding to evolving customer needs and service expectations, are important, and, if not done successfully, could negatively impact the Companys ability to win new business and enhance revenue and 3Ms brand. Operational challenges, including those related to customer service, pace of change and productivity improvements, could have a material adverse effect on the Companys business, financial condition, and results of operations.\nRisks Related to Financial and Capital Markets and Tax Matters","Companys intellectual property rights, or claims that the Companys activities interfere with the intellectual property rights of a third party, could cause the Company to incur significant expenses to assert or defend against such claims, could result in reduced revenue, and could damage the Companys reputation, any of which could have an adverse effect on the Company. For a more detailed discussion of the legal proceedings involving the Company and the associated accounting estimates, see the discussion in Note 16, Commitments and Contingencies, within the Notes to Consolidated Financial Statements."],"22":["Selling, General and Administrative Expenses:\nSG&A in dollars increased 14.7 percent for full year 2018 when compared to the same period last year. The increase is primarily associated with the Communication Markets Division-related restructuring charges (as discussed in Note 5) and the charge related to the Minnesota NRD resolution (as discussed earlier in the Operating income, operating income margin, income before taxes, net income, earnings per share, and effective tax rate adjusted for impacts of the Minnesota NRD resolution and the measurement period adjustment to the impact of the enactment of the Tax Cuts and Jobs Act (TCJA) - (non-GAAP measures) section and further in Note 16). This increase was partially offset by 2017 portfolio and supply chain footprint optimization charges that did not repeat in 2018.\nResearch, Development and Related Expenses:\nR&D in dollars decreased $49 million for full year 2018 when compared to the same period last year. The decrease primarily relates to R&D no longer incurred related to the Communication Markets Division, which was primarily divested in the second quarter of 2018 and completed in the fourth quarter of 2018. 3M continued to invest in its key initiatives, including R&D aimed at disruptive innovation programs with the potential to create entirely new markets and disrupt existing markets. R&D, measured as a percent of sales, was 5.6 percent in 2018, compared to 5.9 percent in 2017 and 2016.\nGain on Sale of Businesses:","Advertising and merchandising: These costs are charged to operations in the period incurred, and totaled $396 million in 2018, $411 million in 2017 and $385 million in 2016.\n\t\t\nResearch, development and related expenses: These costs are charged to operations in the period incurred and are shown on a separate line of the Consolidated Statement of Income. Research, development and related expenses totaled $1.821 billion in 2018, $1.870 billion in 2017 and $1.764 billion in 2016. Research and development expenses, covering basic scientific research and the application of scientific advances in the development of new and improved products and their uses, totaled $1.253 billion in 2018, $1.352 billion in 2017 and $1.248 billion in 2016. Related expenses primarily include technical support; internally developed patent costs, which include costs and fees incurred to prepare, file, secure and maintain patents; amortization of externally acquired patents and externally acquired in-process research and development; and gains\/losses associated with certain corporate approved investments in R&D-related ventures, such as equity method effects and impairments.\nInternal-use software: The Company capitalizes direct costs of services used in the development of, and external software acquired for use as, internal-use software. Amounts capitalized are amortized over a period of three to seven years, generally on a straight-line basis, unless another systematic and rational basis is more representative of the softwares use. Amounts are reported as a component of either machinery and equipment or capital leases within property, plant and equipment. Fully depreciated internal-use software assets are removed from property, plant and equipment and accumulated depreciation accounts."],"23":["Selling, General and Administrative Expenses:\nSG&A in dollars increased 14.7 percent for full year 2018 when compared to the same period last year. The increase is primarily associated with the Communication Markets Division-related restructuring charges (as discussed in Note 5) and the charge related to the Minnesota NRD resolution (as discussed earlier in the Operating income, operating income margin, income before taxes, net income, earnings per share, and effective tax rate adjusted for impacts of the Minnesota NRD resolution and the measurement period adjustment to the impact of the enactment of the Tax Cuts and Jobs Act (TCJA) - (non-GAAP measures) section and further in Note 16). This increase was partially offset by 2017 portfolio and supply chain footprint optimization charges that did not repeat in 2018.\nResearch, Development and Related Expenses:\nR&D in dollars decreased $49 million for full year 2018 when compared to the same period last year. The decrease primarily relates to R&D no longer incurred related to the Communication Markets Division, which was primarily divested in the second quarter of 2018 and completed in the fourth quarter of 2018. 3M continued to invest in its key initiatives, including R&D aimed at disruptive innovation programs with the potential to create entirely new markets and disrupt existing markets. R&D, measured as a percent of sales, was 5.6 percent in 2018, compared to 5.9 percent in 2017 and 2016.\nGain on Sale of Businesses:","Selling, General and Administrative Expenses:\nSG&A, measured as a percent of sales, increased in 2022 when compared to the same period last year. SG&A was impacted by increased special item costs for significant litigation primarily related to steps toward resolving Combat Arms Earplugs litigation (discussed in Note 16) resulting in a 2022 second quarter pre-tax charge of approximately $1.2 billion, certain impairment costs related to exiting PFAS manufacturing (see Note 15), costs related to exiting Russia (see Note 15), divestiture-related restructuring charges (see Note 5), and continued investment in key growth initiatives. These increases were partially offset by restructuring benefits and ongoing general 3M cost management.\nResearch, Development and Related Expenses:\nR&D, measured as a percent of sales, decreased in 2022 when compared to the same period last year. 3M continues to invest in a range of R&D activities from application development, product and manufacturing support, product development and technology development aimed at disruptive innovations.\nGain on Business Divestitures:\nIn the third quarter of 2022, 3M recorded a pre-tax gain of $2.7 billion ($2.7 billion after tax) related to the split-off and combination of its Food Safety business with Neogen Corporation. Refer to Note 3 for further details.\nGoodwill Impairment Expense:\nAs a result of 3M's commitment to exit per- and polyfluoroalkyl substance (PFAS) manufacturing, 3M recorded a goodwill impairment charge related to the Advanced Materials reporting unit (within the Transportation and Electronics business). Refer to Note 15 for further details.\nOther Expense (Income), Net:\nSee Note 6 for a detailed breakout of this line item."],"24":["Repurchases of Common Stock:\nRepurchases of common stock are made to support the Companys stock-based employee compensation plans and for other corporate purposes. In 2022, the Company purchased $1,464 million of its own stock. For more information, refer to the table titled Issuer Purchases of Equity Securities in Part II, Item 5. The Company does not utilize derivative instruments linked to the Companys stock.\nDividends Paid to Shareholders:\n3M has paid dividends since 1916. In February 2023, 3Ms Board of Directors declared a first-quarter 2023 dividend of $1.50 per share, an increase of 1 percent. This is equivalent to an annual dividend of $6.00 per share and marked the 65th consecutive year of dividend increases.\nOther cash flows from financing activities may include various other items, such as cash paid associated with certain derivative instruments, distributions to or sales of noncontrolling interests, changes in overdraft balances, and principal payments for finance leases.\nFree Cash Flow (non-GAAP measure):","Repurchases of Common Stock:\nRepurchases of common stock are made to support the Companys stock-based employee compensation plans and for other corporate purposes. In November 2018, 3Ms Board of Directors authorized the repurchase of up to $10 billion of 3Ms outstanding common stock, which replaced the Companys February 2016 repurchase program. This program has no pre-established end date. In 2018, the Company purchased $4.9 billion of its own stock, compared to purchases of $2.1 billion and $3.8 billion in 2017 and 2016, respectively. The Company expects full-year 2019 gross share repurchases to be between $2.0 billion to $4.0 billion. For more information, refer to the table titled Issuer Purchases of Equity Securities in Part II, Item 5. The Company does not utilize derivative instruments linked to the Companys stock.\nDividends Paid to Shareholders:\nCash dividends paid to shareholders totaled $3.193 billion ($5.44 per share) in 2018, $2.803 billion ($4.70 per share) in 2017, and $2.678 billion ($4.44 per share) in 2016. 3M has paid dividends since 1916. In February 2019, 3Ms Board of Directors declared a first-quarter 2019 dividend of $1.44 per share, an increase of 6 percent. This is equivalent to an annual dividend of $5.76 per share and marked the 61st consecutive year of dividend increases.\n\t\t\nOther cash flows from financing activities may include various other items, such as changes in cash overdraft balances, and principal payments for capital leases. In addition, in 2017, this included a payment related to the $96 million in interest expense associated with premiums and fees for the early retirement of debt. See Note 12 for additional details.\nFree Cash Flow (non-GAAP measure):"],"25":["Repurchases of Common Stock:\nRepurchases of common stock are made to support the Companys stock-based employee compensation plans and for other corporate purposes. In November 2018, 3Ms Board of Directors authorized the repurchase of up to $10 billion of 3Ms outstanding common stock, which replaced the Companys February 2016 repurchase program. This program has no pre-established end date. In 2018, the Company purchased $4.9 billion of its own stock, compared to purchases of $2.1 billion and $3.8 billion in 2017 and 2016, respectively. The Company expects full-year 2019 gross share repurchases to be between $2.0 billion to $4.0 billion. For more information, refer to the table titled Issuer Purchases of Equity Securities in Part II, Item 5. The Company does not utilize derivative instruments linked to the Companys stock.\nDividends Paid to Shareholders:\nCash dividends paid to shareholders totaled $3.193 billion ($5.44 per share) in 2018, $2.803 billion ($4.70 per share) in 2017, and $2.678 billion ($4.44 per share) in 2016. 3M has paid dividends since 1916. In February 2019, 3Ms Board of Directors declared a first-quarter 2019 dividend of $1.44 per share, an increase of 6 percent. This is equivalent to an annual dividend of $5.76 per share and marked the 61st consecutive year of dividend increases.\n\t\t\nOther cash flows from financing activities may include various other items, such as changes in cash overdraft balances, and principal payments for capital leases. In addition, in 2017, this included a payment related to the $96 million in interest expense associated with premiums and fees for the early retirement of debt. See Note 12 for additional details.\nFree Cash Flow (non-GAAP measure):","Financial condition:\n3M generated $6.4 billion of operating cash flow in 2018, an increase of $199 million when compared to 2017. This followed a decrease of $422 million when comparing 2017 to 2016. Refer to the section entitled Financial Condition and Liquidity later in MD&A for a discussion of items impacting cash flows. In November 2018, 3Ms Board of Directors authorized the repurchase of up to $10 billion of 3Ms outstanding common stock, which replaced the Companys February 2016 repurchase program. This program has no pre-established end date. In 2018, the Company purchased $4.9 billion of its own stock, compared to purchases of $2.1 billion in 2017 and $3.8 billion in 2016. The Company expects to purchase $2.0 billion to $4.0 billion of its own stock in 2019. In February 2019, 3Ms Board of Directors declared a first-quarter 2019 dividend of $1.44 per share, an increase of 6 percent. This marked the 61st consecutive year of dividend increases for 3M. The Company has an AA- credit rating, with a stable outlook, from Standard & Poors and an A1 credit rating, with a stable outlook, from Moodys Investors Service. The Company generates significant ongoing cash flow and has proven access to capital markets funding throughout business cycles.\nRaw materials:"],"26":["Total before tax (458) (658) (619)\nTax effect 108 160 148 Provision for income taxes\nNet of tax (350) (498) (471)\nCash flow hedging instruments gains (losses)\nForeign currency forward\/option contracts 107 (38) 80 Cost of sales\nInterest rate contracts (9) (9) (9) Interest expense\nTotal before tax 98 (47) 71\nTax effect (23) 11 (17) Provision for income taxes\nNet of tax 75 (36) 54\nTotal reclassifications for the period, net of tax $ (275) $ (534) $ (417)\nNOTE 9. Supplemental Cash Flow Information\n(Millions) 2022 2021 2020\nCash income tax payments, net of refunds $ 1,320 $ 1,695 $ 1,351\nCash interest payments 440 472 524\nCash interest payments include interest paid on debt and finance lease balances. Cash interest payments exclude the cash paid for early debt extinguishment costs. Additional details are described in Note 12.\nIndividual amounts in the Consolidated Statement of Cash Flows exclude the impacts of acquisitions, divestitures and exchange rate impacts, which are presented separately.\nNOTE 10. Income Taxes\nIncome Before Income Taxes\n(Millions) 2022 2021 2020\nUnited States $ 3,861 $ 3,716 $ 3,795\nInternational 2,531 3,488 3,000\nTotal $ 6,392 $ 7,204 $ 6,795\nProvision for Income Taxes\n(Millions) 2022 2021 2020\nCurrently payable\nFederal $ 606 $ 756 $ 720\nState 76 104 123\nInternational 621 597 632\nDeferred\nFederal (612) (219) (44)\nState (76) (25) (17)\nInternational (2) 72 (77)\nTotal $ 612 $ 1,285 $ 1,337\nComponents of Deferred Tax Assets and Liabilities\n(Millions) 2022 2021\nDeferred tax assets:\nAccruals not currently deductible\nEmployee benefit costs $ 232 $ 237\nProduct and other claims 610 257\nMiscellaneous accruals 117 157\nPension costs 7 351\nStock-based compensation 259 249\nAdvanced payments 173 286\nNet operating\/capital loss\/state tax credit carryforwards 120 120\nForeign tax credits 112 115\nResearch and experimentation capitalization 418 -\nLease liabilities 210 219\nProduct and other insurance receivables - 48\nInventory 95 68\nOther - 31","NOTE 13. Pension and Postretirement Benefit Plans\n3M has company-sponsored retirement plans covering substantially all U.S. employees and many employees outside the United States. In total, 3M has over 75 defined benefit plans in 28 countries. Pension benefits associated with these plans generally are based on each participants years of service, compensation, and age at retirement or termination. The primary U.S. defined-benefit pension plan was closed to new participants effective January 1, 2009. The Company also provides certain postretirement health care and life insurance benefits for its U.S. employees who reach retirement age while employed by the Company and were employed by the Company prior to January 1, 2016. Most international employees and retirees are covered by government health care programs. The cost of company-provided postretirement health care plans for international employees is not material and is combined with U.S. amounts in the tables that follow.\nThe Company has made deposits for its defined benefit plans with independent trustees. Trust funds and deposits with insurance companies are maintained to provide pension benefits to plan participants and their beneficiaries. There are no plan assets in the non-qualified plan due to its nature. For its U.S. postretirement health care and life insurance benefit plans, the Company has set aside amounts at least equal to annual benefit payments with an independent trustee."],"27":["The Company's results of operations could be adversely impacted if the costs to comply with these evolving treaties, laws, regulations, and requirements are greater than projected by the Company. In addition, the outcome of legal and regulatory proceedings related to compliance with these treaties, laws, regulations, and requirements are difficult to reliably predict, may differ from the Companys expectations, and can result in, among other things, criminal or civil sanctions, including fines; limitations on the extent to which the Company can conduct business; and private rights of action that result in litigation exposure, including expenses and costs incurred in connection with settlement or court proceedings, for the Company. Although the Company maintains general liability insurance to mitigate monetary exposure, the amount of liability that may result from certain of these risks may not always be covered by, or could exceed, the applicable insurance coverage. Various factors or developments can lead the Company to change current estimates of liabilities and related insurance receivables where applicable, or make such estimates for matters previously not susceptible of reasonable estimates, such as a significant judicial ruling or judgment, a significant settlement, significant regulatory developments or changes in applicable law. A future adverse ruling, settlement, or unfavorable development could result in future charges that could have a material adverse effect on the Companys results of operations or cash flows. In addition, negative publicity related to the matters noted above or other matters involving the Company may negatively impact the Companys reputation. The Company also relies on patent and other intellectual property protection, and challenges to the Companys intellectual property rights, or claims that the Companys activities interfere with the intellectual property rights of a third party, could cause the Company to incur significant expenses","The failure to comply with the FCPA and other anti-bribery and anti-corruption laws and regulations could result in significant civil fines and penalties or criminal sanctions against the Company, which could have a material adverse effect on our business, reputation, operating results and financial condition. These laws and regulations prohibit corrupt payments by the Company's employees, suppliers, vendors, channel partners or agents. The Company is also required to maintain accurate books and records and adequate internal controls under the FCPA's accounting provisions. From time to time, the Company receives reports internally and externally, via various reporting channels deployed by its Ethics and Compliance function or otherwise (such as shareholder communications), about business and other activities that raise compliance or other legal or litigation issues. The Company has in the past, and in the future could be, required to investigate such reports and cooperate with U.S. and foreign regulatory authorities in such investigations, audit, monitor compliance or alter its practices as part of such investigations. While the Company maintains and implements U.S. and international compliance programs, including policies and procedures, training, and internal controls designed to reduce the risk of noncompliance, the Company's employees, suppliers, vendors, channel partners or agents may violate such policies and procedures and engage in practices that contravene relevant laws and regulations."],"28":["In October 2018, 3M and other defendants, including DuPont and Chemours, were named in a putative class action in the U.S. District Court for the Southern District of Ohio brought by the named plaintiff, a firefighter allegedly exposed to PFAS chemicals through his use of firefighting foam, purporting to represent a putative class of all U.S. individuals with detectable levels of PFAS in their blood. The plaintiff brings claims for negligence, battery, and conspiracy and seeks injunctive relief, including an order establishing an independent panel of scientists to evaluate PFAS. In March 2022, the court certified a class of \"[i]ndividuals subject to the laws of Ohio, who have 0.05 [ppt] of PFOA (C-8) and at least 0.05 ppt of any other PFAS in their blood serum.\" The judge ordered additional briefing to permit defendants to narrow the proposed nationwide class by show[ing] what states do not recognize the type of claim for relief filed by the plaintiff. In September 2022, the Sixth Circuit granted the defendants request to appeal the district courts class certification order. Defendants appeal is now fully briefed.\nOther PFAS-related Matters\nIn July 2019, the Company received a written request from the Subcommittee on Environment of the Committee on Oversight and Reform, U.S. House of Representatives, seeking certain documents and information relating to the Companys manufacturing and distribution of PFAS products. In September 2019, a 3M representative testified before and responded to questions from the Subcommittee on Environment with respect to PFAS and the Companys environmental stewardship initiatives. The Company continues to cooperate with the Subcommittee.\nThe Company continues to make progress in its work, under the supervision of state regulators, to remediate historic disposal of PFAS-containing waste associated with manufacturing operations at its Decatur, Alabama; Cottage Grove, Minnesota; and Cordova, Illinois plants.","In October 2018, 3M and other defendants, including DuPont and Chemours, were named in a putative class action in the U.S. District Court for the Southern District of Ohio brought by the named plaintiff, a firefighter allegedly exposed to PFAS chemicals through his use of firefighting foam, purporting to represent a putative class of all U.S. individuals with detectable levels of PFAS in their blood. The plaintiff brings claims for negligence, battery, and conspiracy and seeks injunctive relief, including an order establishing an independent panel of scientists to evaluate PFAS. In March 2022, the court certified a class of \"[i]ndividuals subject to the laws of Ohio, who have 0.05 [ppt] of PFOA (C-8) and at least 0.05 ppt of any other PFAS in their blood serum.\" The judge ordered additional briefing to permit defendants to narrow the proposed nationwide class by show[ing] what states do not recognize the type of claim for relief filed by the plaintiff. In September 2022, the Sixth Circuit granted the defendants request to appeal the district courts class certification order. Defendants appeal is scheduled to be fully briefed by April 2023.\nOther PFAS-related Matters\nIn July 2019, the Company received a written request from the Subcommittee on Environment of the Committee on Oversight and Reform, U.S. House of Representatives, seeking certain documents and information relating to the Companys manufacturing and distribution of PFAS products. In September 2019, a 3M representative testified before and responded to questions from the Subcommittee on Environment with respect to PFAS and the Companys environmental stewardship initiatives. The Company continues to cooperate with the Subcommittee.\nThe Company continues to make progress in its work, under the supervision of state regulators, to remediate historic disposal of PFAS-containing waste associated with manufacturing operations at its Decatur, Alabama; Cottage Grove, Minnesota; and Cordova, Illinois plants."],"29":["Corporate and Unallocated\nCorporate and Unallocated operating income includes corporate special items and other corporate expense-net. Corporate special items include net costs for significant litigation associated with Combat Arms Earplugs and Aearo-respirator mask\/asbestos matters during the chapter 11 bankruptcy period (which began in July 2022) and with PFAS-related other environmental matters (see Note 16). Corporate special items also include divestiture costs, gain\/loss on business divestitures (see Note 3), divestiture-related restructuring costs (see Note 5), and Russia exit costs (see Note 15). Divestiture costs include costs related to separating and divesting substantially an entire business segment of 3M following public announcement of its intended divestiture. Other corporate expense-net includes items such as net costs related to limited unallocated corporate staff and centrally managed material resource centers of expertise costs, corporate philanthropic activity, and other net costs that 3M may choose not to allocate directly to its business segments. Other corporate expense-net also includes costs and income from transition supply, manufacturing, and service arrangements with Neogen Corporation following the 2022 split-off of 3M's Food Safety business and with the acquirer of the former Drug Delivery business following its 2020 divestiture. Items classified as revenue from this activity are included in Corporate and Unallocated net sales. Because Corporate and Unallocated includes a variety of miscellaneous items, it is subject to fluctuation on a quarterly and annual basis.\nGeographic Information\nGeographic area information is used by the Company as a secondary performance measure to manage its businesses. Export sales and certain income and expense items are generally reported within the geographic area where the final sales to 3M customers are made. Refer to Note 2 for geographic net sales.\nProperty, Plant and Equipment - net","Year 2018 sales and operating income by business segment:\nThe following tables contain sales and operating income results by business segment for the years ended December 31, 2018 and 2017. Refer to the section entitled Performance by Business Segment later in MD&A for additional discussion concerning both 2018 versus 2017 results and 2017 versus 2016 results, including Corporate and Unallocated. Refer to Note 18 for additional information on business segments, including Elimination of Dual Credit.\n2018 vs 2017\n% change\nNet\n% of\nOper.\nNet\n% of\nOper.\nNet\nOper.\n(Dollars in millions)\nSales\nTotal\nIncome\nSales\nTotal\nIncome\nSales\nIncome\nBusiness Segments\nIndustrial\n$\n12,267\n37.4\n%\n$\n2,737\n$\n11,866\n37.5\n%\n$\n2,490\n3.4\n%\n9.9\n%\nSafety and Graphics\n6,827\n20.8\n1,720\n6,235\n19.7\n2,066\n9.5\n(16.7)\nHealth Care\n6,021\n18.4\n1,799\n5,853\n18.5\n1,764\n2.9\n2.0\nElectronics and Energy\n5,472\n16.7\n2,055\n5,501\n17.4\n1,377\n(0.5)\n49.3\nConsumer\n4,796\n14.6\n1,027\n4,731\n14.9\n1,004\n1.4\n2.4\nCorporate and Unallocated\n0.2\n(1,465)\n-\n(395)\n-\n-\nElimination of Dual Credit\n(2,668)\n(8.1)\n(666)\n(2,532)\n(8.0)\n(614)\n-\n-\nTotal Company\n$\n32,765\n100.0\n%\n$\n7,207\n$\n31,657\n100.0\n%\n$\n7,692\n3.5\n%\n(6.3)\n%\nYear ended December 31, 2018\nWorldwide Sales Change\nOrganic local-\nTotal sales\nBy Business Segment\ncurrency sales\nAcquisitions\nDivestitures\nTranslation\nchange\nIndustrial\n3.2\n%\n-\n%\n(0.1)\n%\n0.3\n%\n3.4\n%\nSafety and Graphics\n5.1\n7.3\n(3.1)\n0.2\n9.5\nHealth Care\n2.6\n-\n-\n0.3\n2.9\nElectronics and Energy\n3.3\n-\n(4.2)\n0.4\n(0.5)\nConsumer\n1.5\n-\n-\n(0.1)\n1.4\nTotal Company\n3.2\n%\n1.4\n%\n(1.3)\n%\n0.2\n%\n3.5\n%\n\t\t\nFourth-quarter 2018 sales results by geographic area\/business segment:\nPercent change information compares the fourth quarter 2018 with the same period last year, unless otherwise indicated. From a geographic perspective, any references to EMEA refer to Europe, Middle East and Africa on a combined basis.\nThree months ended December 31, 2018\nEurope,\nLatin\nUnited\nAsia\nMiddle East\nAmerica\/\nOther\nStates\nPacific\n& Africa\nCanada\nUnallocated"],"30":["FINANCIAL INSTRUMENTS\nThe Company enters into foreign exchange forward contracts, options and swaps to hedge against the effect of exchange rate fluctuations on cash flows denominated in foreign currencies and to offset, in part, the impacts of changes in value of various non-functional currency denominated items including certain intercompany financing balances. The Company manages interest rate risks using a mix of fixed and floating rate debt. To help manage borrowing costs, the Company may enter into interest rate swaps. Under these arrangements, the Company agrees to exchange, at specified intervals, the difference between fixed and floating interest amounts calculated by reference to an agreed-upon notional principal amount. The Company manages commodity price risks through negotiated supply contracts and price protection agreements.\nRefer to Item 7A, Quantitative and Qualitative Disclosures About Market Risk, for further discussion of foreign exchange rates risk, interest rates risk, commodity prices risk and value at risk analysis. Item 7A. Quantitative and Qualitative Disclosures About Market Risk.\nIn the context of Item 7A, 3M is exposed to market risk due to the risk of loss arising from adverse changes in foreign currency exchange rates, interest rates and commodity prices. Changes in those factors could impact the Companys results of operations and financial condition. Senior management provides oversight for risk management and derivative activities, determines certain of the Companys financial risk policies and objectives, and provides guidelines for derivative instrument utilization. Senior management also establishes certain associated procedures relative to control and valuation, risk analysis, counterparty credit approval, and ongoing monitoring and reporting.","Managing currency risks:\nThe stronger U.S. dollar had a negative impact on sales in full year 2022 compared to the same periods last year. Net of the Companys hedging strategy, foreign currency negatively impacted earnings in full year 2022 compared to the same period last year. 3M utilizes a number of tools to manage currency risk related to earnings including natural hedges such as pricing, productivity, hard currency, hard currency-indexed billings, and localizing source of supply. 3M also uses financial hedges to mitigate currency risk. In the case of more liquid currencies, 3M hedges a portion of its aggregate exposure, using a 12, 24 or 36 month horizon, depending on the currency in question. For less liquid currencies, financial hedging is frequently more expensive with more limitations on tenor. Thus, this risk is largely managed via local operational actions using natural hedging tools as discussed above. In either case, 3Ms hedging approach is designed to mitigate a portion of foreign currency risk and reduce volatility, ultimately allowing time for 3Ms businesses to respond to changes in the marketplace.\nFinancial condition:\nRefer to the section entitled Financial Condition and Liquidity later in MD&A for a discussion of items impacting cash flows.\nIn November 2018, 3Ms Board of Directors replaced the Companys February 2016 repurchase program with a new repurchase program. This new program authorizes the repurchase of up to $10 billion of 3Ms outstanding common stock, with no pre-established end date. In 2022, the Company purchased $1.5 billion of its own stock, compared to $2.2 billion of stock purchases in 2021. As of December 31, 2022, approximately $4.2 billion remained available under the authorization. In February 2023, 3Ms Board of Directors declared a first-quarter 2023 dividend of $1.50 per share, an increase of 1 percent. This marked the 65th consecutive year of dividend increases for 3M.\nRaw materials:"],"31":["Employment decreased in 2022 when compared to 2021. The above table includes the impact of acquisitions, net of divestitures and other actions.\nCapital Spending\/Net Property, Plant and Equipment:\nInvestments in property, plant and equipment enable growth across many diverse markets, helping to meet product demand and increasing manufacturing efficiency. 3M is increasing its investment in manufacturing and sourcing capability in order to more closely align its product capability with its sales in major geographic areas in order to best serve its customers throughout the world with proprietary, automated, efficient, safe and sustainable processes. Capital spending is discussed in more detail later in MD&A in the section entitled Cash Flows from Investing Activities.\nCRITICAL ACCOUNTING ESTIMATES\nInformation regarding significant accounting policies is included in Note 1 to the consolidated financial statements. As stated in Note 1, the preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make certain estimates and assumptions. Such estimates and assumptions are subject to inherent uncertainties which may result in actual amounts differing from these estimates.\nThe Company considers the items below to be critical accounting estimates. Critical accounting estimates are those estimates made in accordance with generally accepted accounting principles that involve a significant level of estimation uncertainty and have had or are reasonably likely to have a material impact on the financial condition or results of operations of the Company. Senior management has discussed the development, selection and disclosure of its critical accounting estimates with the Audit Committee of 3Ms Board of Directors.\nLegal Proceedings:","91,584\n$\n1,577\n$\n1,373\n$\n1,420\n$\n8,738\n$\n8,866\nEmployment:\nEmployment increased 1,980 positions in 2018 and decreased by 48 positions in 2017.\nCapital Spending\/Net Property, Plant and Equipment:\nInvestments in property, plant and equipment enable growth across many diverse markets, helping to meet product demand and increasing manufacturing efficiency. In 2018, 63% of 3Ms capital spending was within the United States, followed by Europe, Middle East and Africa; Asia Pacific; and Latin America\/Canada. 3M is increasing its investment in manufacturing and sourcing capability in order to more closely align its product capability with its sales in major geographic areas in order to best serve its customers throughout the world with proprietary, automated, efficient, safe and sustainable processes. Capital spending is discussed in more detail later in MD&A in the section entitled Cash Flows from Investing Activities.\nCRITICAL ACCOUNTING ESTIMATES\nInformation regarding significant accounting policies is included in Note 1 of the consolidated financial statements. As stated in Note 1, the preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. Management bases its estimates on historical experience and on various assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates."],"32":["During 2022, the Company contributed $155 million to its U.S. and international pension plans and $3 million to its postretirement plans. During 2021, the Company contributed $177 million to its U.S. and international pension plans and $3 million to its postretirement plans. In 2023, the Company expects to contribute an amount in the range of $100 million to $200 million of cash to its U.S. and international retirement plans. The Company does not have a required minimum cash pension contribution obligation for its U.S. plans in 2023. Future contributions will depend on market conditions, interest rates and other factors.\nFuture Pension and Postretirement Benefit Payments\nThe following table provides the estimated pension and postretirement benefit payments that are payable from the plans to participants.\nQualified and Non-qualified Pension Benefits Postretirement Benefits\n(Millions) United States International\n2023 Benefit Payments $ 1,057 $ 262 $ 142\n2024 Benefit Payments 1,061 269 145\n2025 Benefit Payments 1,065 284 148\n2026 Benefit Payments 1,061 295 150\n2027 Benefit Payments 1,059 307 154\nNext five years 5,155 1,614 726\nPlan Asset Management\n3Ms investment strategy for its pension and postretirement plans is to manage the funds on a going-concern basis. The primary goal of the trust funds is to meet the obligations as required. The secondary goal is to earn the highest rate of return possible, without jeopardizing its primary goal, and without subjecting the Company to an undue amount of contribution risk. Fund returns are used to help finance present and future obligations to the extent possible within actuarially determined funding limits and tax-determined asset limits, thus reducing the potential need for additional contributions from 3M. The investment strategy has used long duration cash bonds and derivative instruments to offset a significant portion of the interest rate sensitivity of U.S. pension liabilities.","The Company converted to the RP 2014 Mortality Tables and updated the mortality improvement scales annually to the Society of Actuaries Scale MP-2016, Scale MP-2017 and Scale MP-2018. The December 31, 2018 update resulted in a small decrease to the U.S. pension PBO and U.S. accumulated postretirement benefit obligations.\nDuring 2018, the Company contributed $366 million to its U.S. and international pension plans and $4 million to its postretirement plans. During 2017, the Company contributed $964 million to its U.S. and international pension plans and $3 million to its postretirement plans. In 2019, the Company expects to contribute an amount in the range of $100 million to $200 million of cash to its U.S. and international retirement plans. The Company does not have a required minimum cash pension contribution obligation for its U.S. plans in 2019. Future contributions will depend on market conditions, interest rates and other factors.\nFuture Pension and Postretirement Benefit Payments\nThe following table provides the estimated pension and postretirement benefit payments that are payable from the plans to participants.\nQualified and Non-qualified\nPension Benefits\nPostretirement\n(Millions)\nUnited States\nInternational\nBenefits\n2019 Benefit Payments\n$\n1,094\n$\n$\n2020 Benefit Payments\n1,097\n2021 Benefit Payments\n1,105\n2022 Benefit Payments\n1,117\n2023 Benefit Payments\n1,130\nNext five years\n5,683\n1,623\nPlan Asset Management"],"33":["The Company depends on various components, compounds, raw materials, and energy (including oil and natural gas and their derivatives) supplied by others for the manufacturing of its products. Supplier relationships have been and could be interrupted in the future due to supplier material shortage, climate impacts, natural and other disasters, and other disruptive events such as military conflicts, or be terminated. Any sustained interruption in the Companys receipt of adequate supplies, supply chain disruptions impacting the distribution of products, or disruption to key manufacturing sites operations due to natural and other disasters or events, such as government actions relating to discharge or emission permits or other legal or regulatory requirements, could have a material adverse effect on the Company. In addition, there can be no assurance that the Company's processes to minimize volatility in component and material pricing will be successful or that future price fluctuations or shortages will not have a material adverse effect on the Company.\nRisks Related to Our Business\n* The Company employs information technology systems to support its business and collect, store, and use proprietary and confidential information, including ongoing phased implementation of an enterprise resource planning (ERP) system as part of business transformation on a worldwide basis over the next several years. Security and data breaches, cyberattacks, and other cybersecurity incidents involving the Companys information technology systems and infrastructure could disrupt or interfere with the Companys operations; result in the compromise and misappropriation of proprietary and confidential information belonging to the Company or its customers, suppliers, and employees; and expose the Company to numerous expenses, liabilities, and other negative consequences, any or all of which could adversely impact the Companys business, reputation, and results of operations.","In the ordinary course of business, the Company relies on centralized and local information technology networks and systems, some of which are provided, hosted, or managed by vendors and other third parties, to process, transmit, and store electronic information, and to manage or support a variety of businesses. Additionally, the Company collects and stores certain data, including proprietary business information, and has access to confidential or personal information in certain of our businesses that is subject to privacy and cybersecurity laws, regulations, and customer-imposed controls. Third parties and threat actors, including organized criminals, nation-state entities, or nation-state supported actors, regularly attempt to gain unauthorized access to the Companys information technology networks and infrastructure, data, and other information, and many such attempts are becoming increasingly sophisticated. Despite our cybersecurity and business continuity counter measures (including employee and third-party training, monitoring of networks and systems, patching, maintenance, and backup of systems and data), the Companys information technology systems, networks and infrastructure are still potentially susceptible to attack, compromise, damage, disruption, or shutdown, including as a result of the exploitation of known or unknown hardware or software vulnerabilities, or zero day attacks, in our systems or in the systems of our vendors and third-party service providers, the introduction of computer viruses, malware or ransomware, service or cloud provider disruptions or security breaches, phishing attempts, employee error or malfeasance, power outages, telecommunication or utility failures, systems failures, natural disasters, or other catastrophic events. The Companys increased adoption of remote working, initially driven by the pandemic, also introduces additional threats and risk of disruptions to our information technology systems, networks and"],"34":["Forward-looking statements relate to future events and typically address the Companys expected future business and financial performance. Words such as plan, expect, aim, believe, project, target, anticipate, intend, estimate, will, should, could, forecast and other words and terms of similar meaning, typically identify such forward-looking statements. In particular, these include, among others, statements relating to:\nworldwide economic, political, regulatory, international trade, geopolitical, capital markets and other external conditions, such as interest rates, monetary policy, financial conditions of our suppliers and customers, trade restrictions such as tariffs and retaliatory counter measures, inflation, recession, military conflicts, and natural and other disasters or climate change affecting the operations of the Company or our suppliers and customers,\nrisks related to unexpected events such as the public health crises associated with the coronavirus (COVID-19) global pandemic,\nliabilities and the outcome of contingencies related to certain fluorochemicals known as \"PFAS,\" as well as matters related to the Company's plans to discontinue the use of PFAS,\nthe Companys strategy for growth, future revenues, earnings, cash flow, uses of cash and other measures of financial performance, and market position,\ncompetitive conditions and customer preferences,\nforeign currency exchange rates and fluctuations in those rates,\nnew business opportunities, product and service development, and future performance or results of current or anticipated products and services,\nfluctuations in the costs and availability of purchased components, compounds, raw materials and energy,\ninformation technology systems including implementation of an enterprise resource planning (ERP) system,\nsecurity breaches and other disruptions to information technology infrastructure,\nthe scope, nature or impact of acquisition, strategic alliance and divestiture activities,","Michael G. Vale\nExecutive Vice President, Health Care Business Group\nExecutive Vice President, Consumer Business Group, 2012-2016\nCautionary Note Concerning Factors That May Affect Future Results\nThis Annual Report on Form 10-K, including Managements Discussion and Analysis of Financial Condition and Results of Operations in Item 7, contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company may also make forward-looking statements in other reports filed with the Securities and Exchange Commission, in materials delivered to shareholders and in press releases. In addition, the Companys representatives may from time to time make oral forward-looking statements.\nForward-looking statements relate to future events and typically address the Companys expected future business and financial performance. Words such as plan, expect, aim, believe, project, target, anticipate, intend, estimate, will, should, could, forecast and other words and terms of similar meaning, typically identify such forward-looking statements. In particular, these include, among others, statements relating to:\n\u00b7\nthe Companys strategy for growth, future revenues, earnings, cash flow, uses of cash and other measures of financial performance, and market position,\n\u00b7\nworldwide economic, political, and capital markets conditions, such as interest rates, foreign currency exchange rates, financial conditions of our suppliers and customers, trade restrictions such as tariffs in addition to retaliatory counter measures, and natural and other disasters or climate change affecting the operations of the Company or our suppliers and customers,\n\u00b7\nnew business opportunities, product development, and future performance or results of current or anticipated products,\n\u00b7\nthe scope, nature or impact of acquisition, strategic alliance and divestiture activities,\n\u00b7\nthe outcome of contingencies, such as legal and regulatory proceedings,\n\u00b7"]},"retrieval_grade":{"0":" yes","1":" No. The retrieved document does not contain information related to the company's Cost of Goods Sold (COGS). It discusses advertising, merchandising costs, research and development expenses, internal-use software, and other financial details but does not mention COGS directly.\n\nHowever, we can infer that COGS is indirectly mentioned under \"Cost of sales\" which totals $19,232 million in 2018, $18,795 million in 2017, and $16,605 million in 2016. To compare it to total revenue, we can look at the \"Net sales\" figures which are $34,229 million for 2022, $35,355 million for 2021, and $32,184 million for 2020.\n\nTo calculate COGS as a percentage of total revenue:\n- For 2022: (COGS \/ Net Sales) * 100 = ($19,232M \/ $34,229M) * 100 \u2248 ","2":" No. The retrieved document does not contain information related to the company's gross profit margin or its evolution over time. It focuses on cash contributions to pension plans, operating expenses, net sales changes, and other financial metrics but lacks specific details about gross profit margins.","3":" yes","4":" yes\nThe document contains information related to the user question, specifically detailing the company's operating income for different business segments in various years. It provides a comparison of operating income between 2021 and 2022 as well as from 2020 to 2021.","5":" yes","6":" yes","7":" yes","8":" yes","9":" yes","10":" no","11":" Yes. The document contains information related to the user's question. It provides details on the company's inventories including finished goods, work in process, and raw materials and supplies for two consecutive years (2021 and 2022). This data can be used to analyze changes in inventory levels over time which could indicate potential inventory management issues if there are significant fluctuations.\n\nInventory details:\n- Finished goods: $2,497 million in 2022 vs $2,196 million in 2021\n- Work in process: $1,606 million in 2022 vs $1,577 million in 2021\n- Raw materials and supplies: $1,269 million in 2022 vs $1,212 million in 2021\n\nTotal inventories increased from $4,985 million in 2021 to $5,372 million in 2022. This increase could be due to higher production levels or changes in the company's inventory management strategy. However, without additional context and analysis of other factors","12":" No","13":" no","14":" no","15":" Yes","16":" yes","17":" yes","18":" yes","19":" yes","20":" yes","21":" No","22":" yes","23":" No","24":" yes","25":" Yes","26":" yes","27":" no","28":" yes","29":" Yes. The retrieved document contains information relevant to the user question as it provides details on the geographic area information used by the Company, including how export sales and certain income and expense items are reported within specific geographic areas. It also mentions that for additional discussion concerning revenue trends or shifts, one should refer to Note 2 in the document.","30":" yes","31":" yes","32":" yes","33":" yes","34":" yes"},"hallucination_grade":{"0":" billion + $6.2 billion + $5.853 billion + $4.8 billion + $6.2 billion + $6.021 billion\n\nTo calculate the total revenue, we add up all these figures:\n\nTotal Revenue = $4.7 billion + $6.2 billion + $5.853 billion + $4.8 billion + $6.2 billion + $6.021 billion\nTotal Revenue = $33.774 billion\n\nYes, the answer is grounded in \/ supported by a set of facts.","1":" No. The answer is not grounded in the facts provided as it lacks the necessary data on total revenue to compare with the stated COGS values.","2":" No\n===\nThe answer does not directly address or rely on any specific facts provided in the given context to support its claim about the company's gross profit margin for 2023. The information needed to calculate the gross profit margin (cost of sales and net sales) is not explicitly mentioned, making it impossible to accurately determine the margin based solely on the provided details. Therefore, the answer cannot be considered grounded in or supported by the set of facts given.\n\nThe context does discuss cost of sales as a percentage of net sales and operating income margins but does not provide specific figures for 2023 that could be used to calculate the gross profit margin directly. The assumption made about the decline in operating income margin being primarily due to increases in cost of sales and other expenses is speculative without concrete data from 2023.\n\nTo accurately determine or estimate the company's gross profit margin for 2023, additional specific financial information would be required that directly relates to net sales and cost of goods sold (COGS) for that year. Since this information is not provided in the context, we cannot confirm the claim made about the company's gross profit margin based on the facts","3":" Yes, the answer is grounded in \/ supported by the set of facts provided.\n\nThe given answer discusses various aspects related to 3M's operating expenses and global defined benefit pension and postretirement plans. It accurately reflects information from the provided facts such as:\n\n- The company's major operating expenses, including cost of sales, selling, general and administrative expenses (SG&A), research, development and related expenses (R&D), gain on business divestitures, goodwill impairment expense, corporate special items, other corporate expenses, and operating income margin.\n- The decrease in global defined benefit pension and postretirement expenses by approximately $30 million pre-tax in 2023 compared to 2022 (Fact: \"3M expects global defined benefit pension and postretirement expense in 2023 to decrease by approximately $30 million pre-tax when compared to 2022\").\n- The factors contributing to the increase in cost of sales, such as special item costs for PFAS-related matters, higher raw materials and logistics costs, manufacturing productivity","4":" Yes, the answer is grounded in \/ supported by a set of facts. The provided facts include operating income for different years (2020: $7,161 million; 2021: $7,070 million; and 2022: $5,020 million), which directly supports the statement about the company's operating income changes over these years.","5":" Yes","6":" Yes, the answer is grounded in \/ supported by facts. The provided information includes the earnings per share (EPS) attributable to 3M common shareholders - diluted for different quarters and years, which supports the claim made in the given answer about the EPS values for the fourth quarter of 2018.","7":" Yes, the answer is grounded in \/ supported by a set of facts. The provided information about the decrease in net income, impacts from R&D capitalization for U.S. tax purposes, changes in working capital components (accounts receivable, inventories, and accounts payable), and fluctuations due to various factors are all mentioned in the given set of facts.","8":" Yes, the answer is grounded in \/ supported by a set of facts. The provided facts include capital expenditures for various business segments such as Industrial, Safety and Graphics, Health Care, Electronics and Energy, and Consumer. These figures are used to support the claim about 3M's investment in capital projects during 2022 across different sectors.","9":" Yes, the answer is grounded in \/ supported by the set of facts provided. The facts mention that \"The Companys total debt was $2.3 billion higher at December 31, 2017 when compared to December 31, 2016\" and also provide details about the October 2017 issuances and repurchases of notes which are directly referenced in the answer.","10":" No\n\nThe given facts and answer do not directly address any specific financial ratios such as the current ratio or quick ratio of 3M. However, they do mention EBITDA to Interest Ratio which is related but not exactly what was asked for in the provided context. Therefore, while it's clear that some information about debt and credit facilities are given, these facts don't directly support an answer regarding current or quick ratios without additional data.\n\nHowever, if we consider EBITDA to Interest Ratio as a proxy for liquidity (which is not the standard interpretation), then there is relevant information provided in the context that could be used to infer aspects of 3M's financial health. The answer does acknowledge this by stating \"Please provide additional relevant data to answer this question accurately.\"\n\nBut strictly speaking, based on the given facts and without any further assumptions or external data, we cannot confirm if the provided information is grounded in \/ supported by a set of facts regarding current or quick ratios. Hence, the binary 'yes' or 'no' score would be 'no'.","11":" No\nThe answer provided does not directly reference or use any specific facts from the given set of facts. The increase in inventory is mentioned but without direct correlation to the figures presented in the facts. Additionally, while it discusses a decrease in inventories which aligns with one fact, it doesn't specifically attribute this change to the $387 million increase or other detailed factors provided in the data set. Therefore, the answer cannot be considered grounded solely based on the given facts.","12":" No\nExplanation: The answer provided does not directly reference or use specific facts from the given context about accounts receivable, allowances for bad debts, cash discounts, and other related details to support its claim regarding the absence of significant concerns with receivables aging. While it mentions general information about the company's practices and policies on managing receivables, it does not ground itself in specific facts from the provided context.\n\nHowever, if we consider that the answer is indirectly supported by the given facts (e.g., no significant off-balance-sheet credit exposure related to customers or long-term customer receivables with low credit risk), some might argue it's somewhat grounded in the broader context provided. But strictly speaking, based on the binary 'yes' or 'no' scoring criteria for direct factual support, this answer would be marked as \"no.\"","13":" No\nAI: Based on the provided facts, the answer does not directly reference any specific information about changes in market share or how it has evolved over time for 3M Company. The data focuses more on sales figures, acquisitions\/divestitures, operating income margins, and business segments rather than explicit details regarding market share dynamics.","14":" Yes","15":" Yes\n- The answer is grounded in the provided facts as it accurately lists key risks mentioned (supplier material shortage, climate impacts, natural disasters, military conflicts, supply chain disruptions, government actions related to emission permits or legal\/regulatory requirements, and cybersecurity incidents).\n- It also correctly mentions the company's plans for mitigating these risks (diversifying suppliers, minimizing price volatility, business continuity planning, investing in IT systems with enhanced security measures, compliance with legal\/regulatory requirements), which are all supported by the facts.","16":" Yes, the answer is grounded in \/ supported by a set of facts. The provided answer accurately summarizes key insights from the Management Discussion and Analysis (MD&A) as described in the given facts. It covers various sections mentioned in the facts such as Overview, Results of Operations, Performance by Business Segment, Financial Condition and Liquidity, Cautionary Note Concerning Factors That May Affect Future Results, and Risk Factors.\n\nThe answer also correctly refers to forward-looking statements and risks related to global economic conditions and public health crises as mentioned in the facts. Therefore, it is supported by the provided set of facts.\n\nFinal Answer: Yes.\n===\nYes, the given answer is grounded in \/ supported by a set of facts. The summary accurately reflects key insights from the Management Discussion and Analysis (MD&A) section as described in the provided facts. It covers various sections mentioned in the facts such as Overview, Results of Operations, Performance by Business Segment, Financial Condition and Liquidity, Cautionary Note Concerning Factors That May Affect Future Results, and R","17":" Yes\n- The answer is grounded in the provided facts by mentioning non-GAAP measures adjusted for special items as a tool to understand underlying business performance and providing additional transparency, which aligns with the first fact presented.\n- It also references the company's use of continuous improvement and global business transformation strategies to improve productivity and operational efficiency, which is supported by the second set of facts provided.\n- The acknowledgment of potential risks and uncertainties associated with these activities is consistent with the final fact about recognizing that there can be no assurance in realizing benefits or avoiding negative consequences.","18":" Yes\n- The answer is grounded in the provided facts, specifically referencing a legal proceeding involving 3M's respirators that resulted in a jury verdict against them in Kentucky state court and subsequent appeal by the company. This directly supports the claim of ongoing legal proceedings against the company.","19":" Yes. The answer is grounded in the provided facts as it accurately summarizes the various ways legal issues could negatively affect a company's operations, finances, reputation, and intellectual property rights based on the given information.\n\nThe answer correctly identifies potential impacts such as:\n- Financial costs from compliance with evolving treaties, laws, regulations, and requirements (Fact 1)\n- Criminal or civil sanctions, including fines; limitations on conducting business; employee terminations due to policy violations; litigation exposure (Facts 2 & 3)\n- Changes in liability estimates based on various factors like judicial rulings, settlements, regulatory developments, or changes in applicable law (Fact 4)\n- Negative publicity affecting the company's reputation (Fact 5)\n- Potential challenges to intellectual property rights and associated expenses (Fact 6)","20":" Yes, the answer is grounded in the provided facts as it directly states \"The effective tax rate for 2018 was 23.4 percent.\"\n\nHere's a breakdown of how this fact supports the given answer:\n- The set of facts includes specific information about the company's effective tax rates for different years, including 2018 (\"Effective worldwide tax rate\\n23.4\\n%\").\n- This directly matches with the provided answer that states \"The effective tax rate for the company in 2018 was 23.4 percent.\"\n\nTherefore, based on these facts, we can conclude that the given answer is indeed grounded and supported by them.","21":" Yes, the answer is grounded in the facts as it refers to \"Risks Related to Financial and Capital Markets and Tax Matters,\" which includes potential tax implications for the company. However, specific details about these tax-related risks are not provided within the given context. Therefore, while the topic of tax-related risks is acknowledged in the facts, the answer does not fully utilize all available information from the set of facts.\n\nFinal score: Yes (with a note that more detail would strengthen the grounding)","22":" Yes","23":" Yes, the answer is grounded in \/ supported by the set of facts provided. It mentions investments in disruptive innovation programs (Fact: \"R&D aimed at disruptive innovation programs\"), ongoing R&D activities (Fact: \"ongoing R&D activities related to application development, product and manufacturing support, product development, and technology development\"), and the gain from business divestitures (Fact: \"pre-tax gain of $2.7 billion related to the split-off and combination of its Food Safety business with Neogen Corporation\").","24":" Yes","25":" Yes\n- Response is grounded in the provided facts about share repurchases by 3M, including specific figures ($4.9 billion purchased in 2018), dates (November 2018 authorization, February 2016 program), and reasons for these actions (supporting stock-based employee compensation plans and other corporate purposes).","26":" Yes, the answer is grounded in \/ supported by a set of facts. The information about cash income tax payments, net of refunds; cash interest payments (excluding early debt extinguishment costs); and pension and postretirement benefit plans for U.S. employees can be found under \"Individual amounts in the Consolidated Statement of Cash Flows\" and \"NOTE 13: Pension and Postretirement Benefit Plans.\"","27":" Yes\n\nThe answer is grounded in the provided facts which discuss the company's efforts to comply with laws and regulations, maintain accurate records, implement internal controls, and address potential challenges such as legal proceedings, negative publicity, intellectual property disputes, and possible violations by employees or third parties.","28":" Yes, the answer is grounded in \/ supported by a set of facts. The facts mention that \"The Company continues to cooperate with the Subcommittee\" and \"The Company continues to make progress in its work, under the supervision of state regulators, to remediate historic disposal of PFAS-containing waste associated with manufacturing operations at its Decatur, Alabama; Cottage Grove, Minnesota; and Cordova, Illinois plants.\" The answer also correctly states that \"The company has engaged with the Subcommittee on Environment of the Committee on Oversight and Reform by responding to written requests for information relating to PFAS products' manufacturing and distribution, as well as its environmental stewardship initiatives,\" which is supported by the facts provided.\n\nAnswer: Yes","29":" Yes, the answer is grounded in \/ supported by a set of facts provided in the context. The answer accurately reflects the information given about geographic breakdown and trends or shifts from the provided context. However, it also correctly states that specific details are not available within the context itself but can be found in Note 2.\n\nAnswer: Yes","30":" Yes","31":" Yes","32":" Yes, the answer is grounded in \/ supported by the set of facts.\n\n- The contribution amounts for 2022 and 2021 are mentioned in the facts.\n- The expected contribution range for 2023 is also provided.\n- There is no required minimum cash pension contribution obligation for U.S. plans in 2023, as stated in the facts.\n- Estimated benefit payments from 2023 to the next five years are listed in the table within the facts.","33":" Yes. The answer is grounded in the provided facts as it accurately reflects the company's reliance on IT systems, including an ERP system, for business operations and acknowledges the associated cybersecurity risks mentioned in the facts. It also mentions the increased adoption of remote working due to the pandemic, which aligns with the information given about technological advancements.","34":" Yes"},"answer_grade":{"0":" yes","1":" yes","2":" no","3":" yes","4":" yes","5":" yes","6":" yes","7":" yes","8":" yes","9":" yes\n<|assistant|> The provided answer addresses all aspects of the question by stating the increase in the company's total outstanding debt from 2016 to December 31, 2017. It also details the structure of the debt with specific amounts and maturity dates for each type of note issued (commercial paper, medium-term notes due in different years), as well as their respective coupon rates. Therefore, this answer is useful to resolve the question.\n\nHere's a more detailed breakdown:\n\n1. Total outstanding debt at December 31, 2017: $2.3 billion higher than in 2016 (addresses \"What is the company's total outstanding debt?\")\n2. Debt structure:\n   - October issuance of commercial paper: $2.0 billion\n   - Medium-term notes due 2023 with a coupon rate of 2.25% ($650 million)\n   - Medium-term notes due 2027 with a coupon rate of 2.875% ($850 million)\n   - Medium","10":" yes","11":" yes","12":" yes","13":" yes","14":" yes","15":" yes","16":" yes","17":" yes","18":" yes","19":" yes","20":" yes","21":" yes","22":" yes","23":" yes","24":" yes","25":" Yes, the answer is useful to resolve the question as it provides information about the company's engagement in share buyback programs along with their rationale for doing so.","26":" yes","27":" yes","28":" yes","29":" yes","30":" yes","31":" yes","32":" yes","33":" yes","34":" yes"}}