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DERIVATIVE INSTRUMENTS AND HEDGING TRANSACTIONS | 9 Months Ended
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Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Our credit, market, foreign currency and interest rate risk management policies are described in Note 12 Derivative Instruments and Hedging Transactions of Notes to Consolidated Financial Statements in our 2020 Annual Report on Form 10-K. All derivative assets are presented in Other current assets or Other assets. All derivative liabilities are presented in Accrued liabilities or Other liabilities. The following table summarizes the notional amounts and fair values of the Company’s outstanding derivatives by risk category and instrument type within the Consolidated Balance Sheet as of September 30, 2021, and December 31, 2020:
| Notional |  | Fair Value Asset |  | Fair Value (Liability)
September 30, 2021 |  | December 31, 2020 |  | September 30, 2021 |  | December 31, 2020 |  | September 30, 2021 |  | December 31, 2020
Derivatives in Fair Value Hedging Relationships: |  |  |  |  |  |  |  |  |  |  |
Interest rate swap agreements | $ | 3,150 |  |  | $ | 3,950 |  |  | $ | 100 |  |  | $ | 194 |  |  | $ | — |  |  | $ | — |
Derivatives in Cash Flow Hedging Relationships: |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | 245 |  |  | 488 |  |  | 11 |  |  | 65 |  |  | — |  |  | (58) |
Derivatives in Net Investment Hedging Relationships: |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | 759 |  |  | 806 |  |  | 72 |  |  | 45 |  |  | — |  |  | (1) |
Cross currency swap agreements | 1,200 |  |  | 1,200 |  |  | 13 |  |  | — |  |  | — |  |  | (50) |
Total Derivatives Designated as Hedging Instruments | 5,354 |  |  | 6,444 |  |  | 196 |  |  | 304 |  |  | — |  |  | (109) |
Derivatives Not Designated as Hedging Instruments: |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | 11,930 |  |  | 14,829 |  |  | 220 |  |  | 92 |  |  | (219) |  |  | (91) |
Total Derivatives at Fair Value | $ | 17,284 |  |  | $ | 21,273 |  |  | $ | 416 |  |  | $ | 396 |  |  | $ | (219) |  |  | $ | (200) |
In addition to the derivative instruments listed above, certain of the Company's foreign currency denominated debt instruments are designated as net investment hedges. The carrying value of those debt instruments designated as net investment hedges, which includes the adjustment for the foreign currency transaction gain or loss on those instruments, was $4,172 million and $4,414 million as of September 30, 2021, and December 31, 2020. The following table sets forth the amounts recorded on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges:
Line in the Consolidated Balance Sheet of Hedged Item | Carrying Amount of the Hedged Item |  | Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Item
September 30, 2021 |  | December 31, 2020 |  | September 30, 2021 |  | December 31, 2020
Long-term debt | $ | 3,250 |  |  | $ | 4,144 |  |  | $ | 100 |  |  | $ | 194 |
The following tables summarize the location and impact to the Consolidated Statement of Operations related to derivative instruments:
| Three Months Ended September 30, 2021
| Revenue |  | Cost of Products and Services Sold |  | SG&A |  | Other (Income) Expense |  | Interest and Other Financial Charges
| $ | 8,473 |  |  | $ | 5,746 |  |  | $ | 1,152 |  |  | $ | (215) |  |  | $ | 90 |
Gain or (loss) on cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount reclassified from accumulated other comprehensive income into income | 2 |  |  | 3 |  |  | 3 |  |  | — |  |  | — |
Gain or (loss) on fair value hedges: |  |  |  |  |  |  |  |  |
Interest Rate Swap Agreements: |  |  |  |  |  |  |  |  |
Hedged items | — |  |  | — |  |  | — |  |  | — |  |  | 14 |
Derivatives designated as hedges | — |  |  | — |  |  | — |  |  | — |  |  | (14) |
Gain or (loss) on net investment hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | — |  |  | — |  |  | — |  |  | 4 |
Gain or (loss) on derivatives not designated as hedging instruments: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | — |  |  | — |  |  | — |  |  | 103 |  |  | — |
| Three Months Ended September 30, 2020
| Revenue |  | Cost of Products and Services Sold |  | SG&A |  | Other (Income) Expense |  | Interest and Other Financial Charges
| $ | 7,797 |  |  | $ | 5,383 |  |  | $ | 1,103 |  |  | $ | 62 |  |  | $ | 101 |
Gain or (loss) on cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount reclassified from accumulated other comprehensive income into income | (1) |  |  | (1) |  |  | (1) |  |  | (35) |  |  | — |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | 4 |  |  | — |  |  | 8 |  |  | — |
Gain or (loss) on fair value hedges: |  |  |  |  |  |  |  |  |
Interest Rate Swap Agreements: |  |  |  |  |  |  |  |  |
Hedged items | — |  |  | — |  |  | — |  |  | — |  |  | 13 |
Derivatives designated as hedges | — |  |  | — |  |  | — |  |  | — |  |  | (13) |
Gain or (loss) on net investment hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | — |  |  | — |  |  | — |  |  | 4 |
Gain or (loss) on derivatives not designated as hedging instruments: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | — |  |  | — |  |  | — |  |  | (136) |  |  | — |
| Nine Months Ended September 30, 2021
| Revenue |  | Cost of Products and Services Sold |  | SG&A |  | Other (Income) Expense |  | Interest and Other Financial Charges
| $ | 25,735 |  |  | 17,458 |  |  | $ | 3,595 |  |  | (1,023) |  |  | $ | 263 |
Gain or (loss) on cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts: |  |  |  |  |  |  |  |  |
Amount reclassified from accumulated other comprehensive income into income | 4 |  |  | 7 |  |  | 7 |  |  | — |  |  | — |
Gain or (loss) on fair value hedges: |  |  |  |  |  |  |  |  |
Interest rate swap agreements: |  |  |  |  |  |  |  |  |
Hedged items | — |  |  | — |  |  | — |  |  | — |  |  | 94 |
Derivatives designated as hedges | — |  |  | — |  |  | — |  |  | — |  |  | (94) |
Gain or (loss) on net investment hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | — |  |  | — |  |  | — |  |  | 12 |
Gain or (loss) on derivatives not designated as hedging instruments: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | — |  |  | — |  |  | — |  |  | 92 |  |  | — |
| Nine Months Ended September 30, 2020
| Revenue |  | Cost of Products and Services Sold |  | SG&A |  | Other (Income) Expense |  | Interest and Other Financial Charges
| $ | 23,737 |  |  | $ | 16,193 |  |  | $ | 3,524 |  |  | $ | (546) |  |  | $ | 264 |
Gain or (loss) on cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts: |  |  |  |  |  |  |  |  |
Amount reclassified from accumulated other comprehensive income into income | (2) |  |  | 29 |  |  | (4) |  |  | (37) |  |  | — |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | 12 |  |  | — |  |  | 25 |  |  | — |
Gain or (loss) on fair value hedges: |  |  |  |  |  |  |  |  |
Interest rate swap agreements: |  |  |  |  |  |  |  |  |
Hedged items | — |  |  | — |  |  | — |  |  | — |  |  | (206) |
Derivatives designated as hedges | — |  |  | — |  |  | — |  |  | — |  |  | 206 |
Gain or (loss) on net investment hedges: |  |  |  |  |  |  |  |  |
Foreign Currency Exchange Contracts: |  |  |  |  |  |  |  |  |
Amount excluded from effectiveness testing recognized in earnings using an amortization approach | — |  |  | — |  |  | — |  |  | — |  |  | 13 |
Gain or (loss) on derivatives not designated as hedging instruments: |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | — |  |  | — |  |  | — |  |  | (69) |  |  | — |
The following table summarizes the amounts of gain or (loss) on net investment hedges recognized in Accumulated other comprehensive income (loss):
Derivatives Net Investment Hedging Relationships | Three Months Ended September 30, 2021 |  | Nine Months Ended September 30, 2021
2021 |  | 2020 |  | 2021 |  | 2020
Euro-denominated long-term debt | $ | 67 |  |  | $ | (126) |  |  | $ | 202 |  |  | $ | (64) |
Euro-denominated commercial paper | 13 |  |  | (25) |  |  | 40 |  |  | 30 |
Cross currency swap | 25 |  |  | (42) |  |  | 53 |  |  | (61) |
Foreign currency exchange contracts | 6 |  |  | (28) |  |  | 18 |  |  | (46) |

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- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -URI http://asc.fasb.org/topic&trid=2229140 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 40 -Section 50 -Paragraph 5 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123477628&loc=d3e90205-114008 + Details
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