| Schedule of Outstanding Derivative Instruments |
The notional amount is used to compute interest or other payment streams to be made under the contract and is a measure of the Company’s level of activity. The Company discloses derivative notional amounts on a gross basis. | | | | | | | | | | | | | | | | (US$ in millions) | September 30,
2023 | December 31, 2022 | Unit of
Measure | | Hedging instrument type: | | | | | Fair value hedges of interest rate risk | | | | | Interest rate swap - notional amount | $ | 2,900 | | $ | 3,753 | | $ Notional | | Cumulative adjustment to long-term debt from application of hedge accounting | $ | (363) | | $ | (341) | | $ Notional | | Carrying value of hedged debt | $ | 2,522 | | $ | 3,394 | | $ Notional | | | | | | | Fair value hedges of currency risk | | | | | Cross currency swap | $ | 206 | | $ | 232 | | $ Notional | | | | | | | Carrying value of hedged debt | $ | 206 | | $ | 232 | | $ Notional | | | | | | | | | | | | | | | | | | | | | Cash flow hedges of currency risk | | | | | Foreign currency forward - notional amount | $ | 57 | | $ | 310 | | $ Notional | | Foreign currency option - notional amount | $ | 117 | | $ | 108 | | $ Notional | | | | | | | | | | | | | | | | | | | | | Net investment hedges | | | | | Foreign currency forward - notional amount | $ | 1,023 | | $ | 495 | | $ Notional | | | | | |
The table below summarizes the volume of economic derivatives as of September 30, 2023 and December 31, 2022. For those contracts traded bilaterally through the over-the-counter markets (e.g., forwards, forward rate agreements ("FRA"), and swaps), the gross position is provided. For exchange traded (e.g., futures, FFAs, and options) and cleared positions (e.g., energy swaps), the net position is provided. | | | | | | | | | | | | | | | | | | | | September 30, | December 31, | | | | 2023 | 2022 | Unit of
Measure | | (US$ in millions) | Long | (Short) | Long | (Short) | | Interest rate | | | | | | | Swaps | $ | 115 | | $ | (1,630) | | $ | 387 | | $ | (1,267) | | $ Notional | | Futures | $ | — | | $ | (313) | | $ | — | | $ | (97) | | $ Notional | | Forwards | $ | 631 | | $ | (860) | | $ | — | | $ | — | | $ Notional | | Currency | | | | | | | Forwards | $ | 9,714 | | $ | (12,459) | | $ | 9,819 | | $ | (9,682) | | $ Notional | | Swaps | $ | 2,292 | | $ | (1,019) | | $ | 2,441 | | $ | (2,876) | | $ Notional | | Futures | $ | — | | $ | (4) | | $ | 11 | | $ | — | | $ Notional | | Options | $ | 58 | | $ | (35) | | $ | — | | $ | (102) | | Delta | | Agricultural commodities | | | | | | | Forwards | 29,271,422 | | (36,196,274) | | 20,493,679 | | (27,766,763) | | Metric Tons | | Swaps | — | | — | | — | | (1,864,262) | | Metric Tons | | Futures | — | | (5,099,604) | | — | | (4,092,772) | | Metric Tons | | Options | 221,203 | | (288,927) | | 1,025 | | (216,647) | | Metric Tons | | Ocean freight | | | | | | | FFA | — | | (4,965) | | — | | (11,197) | | Hire Days | | | | | | | | Natural gas | | | | | | | Forwards | 6,336 | | (6,336) | | — | | — | | MMBtus | | Swaps | 927,014 | | — | | 1,460,190 | | — | | MMBtus | | Futures | 4,289,892 | | — | | 5,250,393 | | — | | MMBtus | | Options | 2,622,078 | | — | | — | | — | | MMBtus | | Electricity | | | | | | | | | | | | | Futures | 40,267 | | — | | — | | — | | Mwh | | | | | | | | Swaps | — | | — | | 22,987 | | (8,619) | | Mwh | | Energy - other | | | | | | | Swaps | 189,731 | | — | | 175,784 | | — | | Metric Tons | | Futures | 16,360 | | — | | 1,320,881 | | — | | Metric Tons | | Options | — | | (27,280) | | — | | — | | Metric Tons | | Energy - CO2 | | | | | | | Futures | 826,000 | | — | | — | | (38,000) | | Metric Tons | | Other | | | | | | | Swaps and futures | $ | 10 | | $ | (15) | | $ | 20 | | $ | (50) | | $ Notional |
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| Schedule of Effect of Derivative Instruments Designated as Fair Value Hedges and Undesignated Derivative Instruments on Condensed Consolidated Statements of Income |
The tables below summarize the net effect of derivative instruments and hedge accounting on the condensed consolidated statements of income for the three and nine months ended September 30, 2023 and 2022. | | | | | | | | | | | | | | | Gain (Loss) Recognized in
Income on Derivative Instruments | | | | Three Months Ended September 30, | | (US$ in millions) | | 2023 | 2022 | | Income statement classification | Type of derivative | | | | Net sales | | | | | Hedge accounting | Foreign currency | $ | 2 | | $ | — | | | | | | | Cost of goods sold | | | | | | | | | | | | | Hedge accounting | Foreign currency | $ | 1 | | $ | 3 | | | Economic hedges | Foreign currency | (41) | | 59 | | | Commodities | 30 | | 303 | | | Other (1) | 79 | | (3) | | | Total Cost of goods sold | | $ | 69 | | $ | 362 | | | | | | | | | | | | | | | | | | | Selling, general & administrative | | | | | Hedge Accounting | Foreign exchange | $ | — | | $ | (1) | | | | | | | Interest expense | | | | | Hedge accounting | Interest rate | $ | (35) | | $ | (8) | | | | | | | Total Interest expense | | $ | (35) | | $ | (8) | | | | | | | Foreign exchange (losses) gains | | | | | Hedge accounting | Foreign currency | $ | (5) | | $ | 2 | | | Economic hedges | Foreign currency | 10 | | 14 | | | Total Foreign exchange (losses) gains | | $ | 5 | | $ | 16 | | | | | | | Other income (expense) | | | | | Economic hedges | Interest rate | $ | (1) | | $ | 1 | | | | | | | | | | | | | | | | | | | Other comprehensive income (loss) | | | | | Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period | $ | 1 | | $ | (2) | | | Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period | $ | 10 | | $ | 38 | | | | | Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period | $ | 20 | | $ | (4) | | | | | | | | | | | | Amounts released from Accumulated other comprehensive income (loss) during the period | | | | | | | | | | Cash flow hedge of foreign currency risk | $ | (1) | | $ | (18) | | | | |
(1) Other includes results from freight, energy, and other derivatives. | | | | | | | | | | | | | | | | | | Gain (Loss) Recognized in
Income on Derivative Instruments | | | Nine months ended September 30, | | (US$ in millions) | | 2023 | 2022 | | Income statement classification | Type of derivative | | | | Net sales | | | | | Hedge accounting | Foreign currency | $ | 6 | | $ | 7 | | | | | | | Cost of goods sold | | | | | Hedge accounting | Foreign currency | $ | 1 | | $ | 3 | | | | | | | Economic hedges | Foreign currency | 367 | | 482 | | | Commodities | 394 | | (318) | | | Other (1) | 86 | | 90 | | | Total Cost of goods sold | | $ | 848 | | $ | 257 | | | | | | | Selling, general & administrative expenses | | | | | Hedge Accounting | Foreign exchange | $ | 1 | | $ | (1) | | | | | | | Interest expense | | | | | Hedge accounting | Interest rate | $ | (103) | | $ | (12) | | | Economic hedges | Interest rate | 6 | | 1 | | | Total Interest expense | | $ | (97) | | $ | (11) | | | | | | | Foreign exchange (losses) gains | | | | | Hedge accounting | Foreign currency | $ | (26) | | $ | (35) | | | Economic hedges | Foreign currency | 4 | | 130 | | | Total Foreign exchange (losses) gains | | $ | (22) | | $ | 95 | | | | | | | Other income (expense) | | | | | Economic hedges | Interest rate | $ | 1 | | $ | 2 | | | | | | | | | | | Other comprehensive income (loss) | | | | | Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period | $ | 1 | | $ | — | | | Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period | $ | (21) | | $ | 72 | | | | | Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period | $ | (41) | | $ | (110) | | | | | | | | | Amounts released from Accumulated other comprehensive income (loss) during the period | | | | | | | | | | Cash flow hedge of foreign currency risk | $ | (1) | | $ | (25) | |
(1) Other includes results from freight, energy, and other derivatives.
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