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Derivatives and Hedging Instruments (Tables) | 9 Months Ended
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Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Schedule of Derivative Instruments Recognized in the Company's Condensed Consolidated Balance Sheets | The following table presents the composition of derivative instruments recognized in our condensed consolidated balance sheets, excluding accrued interest, as of September 30, 2024 and December 31, 2023 (in millions):
| September 30, 2024 |  | December 31, 2023
|  |  | Fair Value |  |  |  | Fair Value
| Notional Amount (1) |  | Assets (2) |  | Liabilities (3) |  | Notional Amount (1) |  | Assets (2) |  | Liabilities (3)
Designated as hedging instruments: |  |  |  |  |  |  |  |  |  |  |
Net investment hedges |  |  |  |  |  |  |  |  |  |  |
Foreign currency forward contracts | $ | 886 |  |  | $ | 2 |  |  | $ | 12 |  |  | $ | 887 |  |  | $ | 3 |  |  | $ | 17 |
Cross-currency interest rate swaps | 2,171 |  |  | 73 |  |  | 1 |  |  | 3,121 |  |  | 132 |  |  | — |
Cash flow hedges |  |  |  |  |  |  |  |  |  |  |
Foreign currency forward contracts | 1,397 |  |  | 1 |  |  | 31 |  |  | 1,154 |  |  | 2 |  |  | 14 |
Cross-currency interest rate swaps | 1,030 |  |  | 52 |  |  | 3 |  |  | 280 |  |  | 36 |  |  | — |
Total designated as hedging | 5,484 |  |  | 128 |  |  | 47 |  |  | 5,442 |  |  | 173 |  |  | 31 |
Not designated as hedging instruments: |  |  |  |  |  |  |  |  |  |  |
Foreign currency forward contracts | 5,319 |  |  | 31 |  |  | 70 |  |  | 3,053 |  |  | 4 |  |  | 70 |
Cross-currency interest rate swaps | 2,211 |  |  | 144 |  |  | 7 |  |  | 1,061 |  |  | 80 |  |  | — |
Total not designated as hedging | 7,530 |  |  | 175 |  |  | 77 |  |  | 4,114 |  |  | 84 |  |  | 70 |
Total Derivatives | $ | 13,014 |  |  | $ | 303 |  |  | $ | 124 |  |  | $ | 9,556 |  |  | $ | 257 |  |  | $ | 101 |
(1)Excludes embedded derivatives. (2)As presented in our condensed consolidated balance sheets within other current assets and other assets. (3)As presented in our condensed consolidated balance sheets within other current liabilities and other liabilities.
Schedule of Net Investment Hedges | The pre-tax gains (losses) from hedging instruments recognized in accumulated other comprehensive income for the three and nine months ended September 30, 2024 and 2023 were as follows (in millions):
|  |  | Three Months Ended September 30, |  | Nine Months Ended September 30,
|  |  | 2024 |  | 2023 |  | 2024 |  | 2023
Net investment hedges: |  |  |  |  |  |  |  |  |
Foreign currency debt |  | $ | (39) |  |  | $ | 51 |  |  | $ | (5) |  |  | $ | 12 |
Foreign currency forward contracts (included component) |  | (36) |  |  | 10 |  |  | (1) |  |  | 9 |
Foreign currency forward contracts (excluded component) |  | 3 |  |  | — |  |  | 3 |  |  | — |
Cross-currency interest rate swaps (included component) |  | (82) |  |  | 100 |  |  | 2 |  |  | 79 |
Cross-currency interest rate swaps (excluded component) |  | 16 |  |  | (12) |  |  | 17 |  |  | (15) |
Total |  | $ | (138) |  |  | $ | 149 |  |  | $ | 16 |  |  | $ | 85 |
Cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign currency forward contracts |  | $ | (46) |  |  | $ | 36 |  |  | $ | (17) |  |  | $ | 18 |
Cross-currency interest rate swaps (excluded component) |  | 9 |  |  | (1) |  |  | 17 |  |  | (2) |
Interest rate locks |  | — |  |  | — |  |  | 1 |  |  | (4) |
Total |  |  | $ | (37) |  |  | $ | 35 |  |  | $ | 1 |  |  | $ | 12 |
Schedule of Cash Flow Hedges | The gains (losses) from derivative instruments recognized in earnings, and location of such gains (losses) in the condensed consolidated statements of operations for the three and nine months ended September 30, 2024 and 2023 were as follows (in millions):
|  |  | Three Months Ended September 30, |  | Nine Months Ended September 30,
| Location of gain (loss) |  | 2024 |  | 2023 |  | 2024 |  | 2023
Net investment hedges: |  |  |  |  |  |  |  |  |
Foreign currency forward contracts (excluded component) | Interest expense |  | $ | 3 |  |  | $ | — |  |  | $ | 8 |  |  | $ | 1 |
Cross-currency interest rate swaps (excluded component) | Interest expense |  | 6 |  |  | 11 |  |  | 21 |  |  | 35 |
Total |  |  | $ | 9 |  |  | $ | 11 |  |  | $ | 29 |  |  | $ | 36 |
Cash flow hedges: |  |  |  |  |  |  |  |  |
Foreign currency forward contracts | Revenues |  | $ | 3 |  |  | $ | (12) |  |  | $ | 8 |  |  | $ | (6) |
Foreign currency forward contracts | Costs and operating expenses |  | (2) |  |  | 8 |  |  | (4) |  |  | 12 |
Cross-currency interest rate swaps (excluded component) | Interest expense |  | 3 |  |  | — |  |  | 4 |  |  | — |
Cross-currency interest rate swaps (included component) | Other income (expense) |  | (10) |  |  | (13) |  |  | (3) |  |  | 3 |
Total |  |  | $ | (6) |  |  | $ | (17) |  |  | $ | 5 |  |  | $ | 9 |
Non designated hedges: |  |  |  |  |  |  |  |  |
Foreign currency forward contracts | Other income (expense) |  | $ | (70) |  |  | $ | 78 |  |  | $ | (4) |  |  | $ | 82 |
Cross-currency interest rate swaps | Other income (expense) |  | (18) |  |  | 2 |  |  | (8) |  |  | 2 |
Total |  |  | $ | (88) |  |  | $ | 80 |  |  | $ | (12) |  |  | $ | 84 |
Schedule of Offsetting Derivative Assets and Liabilities | The following table presents information related to these offsetting arrangements, inclusive of accrued interest, as of September 30, 2024 and December 31, 2023 (in millions):
| Gross Amounts |  | Gross Amounts Offset in Condensed Consolidated Balance Sheet |  | Net Amounts |  | Gross Amounts not Offset in Condensed Consolidated Balance Sheet |  | Net
September 30, 2024 |  |  |  |  |  |  |  |  |
Derivative assets | $ | 333 |  |  | $ | — |  |  | $ | 333 |  |  | $ | (95) |  |  | $ | 238 |
Derivative liabilities | 145 |  |  | — |  |  | 145 |  |  | (95) |  |  | 50 |
December 31, 2023 |  |  |  |  |  |  |  |  |
Derivative assets | $ | 282 |  |  | $ | — |  |  | $ | 282 |  |  | $ | (56) |  |  | $ | 226 |
Derivative liabilities | 112 |  |  | — |  |  | 112 |  |  | (56) |  |  | 56 |
Schedule of Offsetting Derivative Assets and Liabilities | The following table presents information related to these offsetting arrangements, inclusive of accrued interest, as of September 30, 2024 and December 31, 2023 (in millions):
| Gross Amounts |  | Gross Amounts Offset in Condensed Consolidated Balance Sheet |  | Net Amounts |  | Gross Amounts not Offset in Condensed Consolidated Balance Sheet |  | Net
September 30, 2024 |  |  |  |  |  |  |  |  |
Derivative assets | $ | 333 |  |  | $ | — |  |  | $ | 333 |  |  | $ | (95) |  |  | $ | 238 |
Derivative liabilities | 145 |  |  | — |  |  | 145 |  |  | (95) |  |  | 50 |
December 31, 2023 |  |  |  |  |  |  |  |  |
Derivative assets | $ | 282 |  |  | $ | — |  |  | $ | 282 |  |  | $ | (56) |  |  | $ | 226 |
Derivative liabilities | 112 |  |  | — |  |  | 112 |  |  | (56) |  |  | 56 |

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