2012 Annual Report  AstraZeneca  In 2012, BMS and AstraZeneca Pharmaceuticals LP, a wholly-owned subsidiary of AstraZeneca, entered into a collaboration  regarding the worldwide development and commercialization of Amylin’s portfolio of products ( Bydureon ,  Byetta ,  Symlin  and  metreleptin, which is currently in development). The arrangement is based on the framework of the existing diabetes alliance  agreements discussed further below, including the equal sharing of profits and losses arising from the collaboration. AstraZeneca has  indicated its intent to establish equal governance rights over certain key strategic and financial decisions regarding the collaboration  pending required anti-trust approvals in certain international markets.  BMS received preliminary proceeds of $3.6 billion from AstraZeneca as consideration for entering into the collaboration including  $73 million included in accrued expenses that is expected to be reimbursed back to AstraZeneca in 2013. The remaining $3.5 billion  is accounted for as deferred income and amortized as a reduction to cost of products sold on a pro-rata basis over the estimated useful  lives of the related long-lived assets assigned in the purchase price allocation (primarily intangible assets with a weighted-average  estimated useful life of 12 years and property, plant and equipment with a weighted-average estimated useful life of 15 years). The  net proceeds that BMS will receive from AstraZeneca as consideration for entering into the collaboration are subject to certain other  adjustments including the right to receive an additional $135 million when AstraZeneca exercises its option for equal governance  rights.  BMS and AstraZeneca agreed to share in certain tax attributes related to the Amylin collaboration. The preliminary proceeds of $3.6  billion that BMS received from AstraZeneca included $207 million related to sharing of certain tax attributes.  In addition, BMS continues to maintain two worldwide diabetes codevelopment and cocommercialization agreements with  AstraZeneca for  Onglyza ,  Kombiglyze XR  (saxagliptin and metformin hydrochloride extended-release),  Komboglyze  (saxagliptin and  metformin immediate-release marketed in the EU) and  Forxiga  (dapagliflozin). The agreements for saxagliptin exclude Japan. In this  document unless specifically noted, we refer to both  Kombiglyze  and  Komboglyze  as  Kombiglyze . Forxiga  was approved in the EU in  November 2012. Onglyza  and  Forxiga  were discovered by BMS. Kombiglyze  was codeveloped with AstraZeneca. Both companies  jointly develop the clinical and marketing strategy and share commercialization expenses and profits and losses equally on a global  basis and also share in development costs, with the exception of  Forxiga  development costs in Japan, which are borne by  AstraZeneca. BMS manufactures both products. BMS has opted to decline involvement in cocommercialization for both products in  certain countries not in the BMS global commercialization network and instead receives compensation based on net sales recorded by  AstraZeneca in these countries.  BMS received $300 million in upfront, milestone and other licensing payments related to saxagliptin to date and could receive up to  an additional $300 million for sales-based milestones. BMS also received $250 million in upfront, milestone and other licensing  payments related to dapagliflozin to date, including $80 million received in January 2013, and could potentially receive up to an  additional $150 million for development and regulatory milestones and up to an additional $390 million for sales-based milestones. BMS is entitled to reimbursements for 50% of capital expenditures related to Amylin.  Summarized financial information related to these alliances is as follows:  Year Ended December 31,  Dollars in Millions 2012 2011 2010 Net sales $  972  $   473 $  158  Profit sharing expense   425   207  67  Commercialization expense reimbursements to/(from) AstraZeneca   (141)  (40)  (33) Research and development expense reimbursements to/(from) AstraZeneca   (18)  40  19  Amortization (income)/expense – upfront, milestone and other licensing payments recognized in: Cost of products sold   (126)  -  -  Other (income)/expense   (38)  (38)  (28) Upfront, milestone and other licensing payments received:  Amylin-related products   3,547   -   -  Saxagliptin   -   -  50  Dapagliflozin   120  -  December 31, Dollars in Millions 2012  2011 Deferred income – upfront, milestone and other licensing payments: Amylin-related products  $   3,423  $  -  Saxagliptin  208   230  Dapagliflozin  206   142  41 