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Hedging Activities | 3 Months Ended
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Mar. 31, 2019
Hedging Activities [Abstract] |
Hedging Activities | 10. Hedging Activities ﻿ Undesignated Hedges ﻿ The table below includes a total gross notional value for translated earnings contracts of $12.6 billion and $13.6 billion at March 31, 2019 and December 31, 2018, respectively. These include gross notional value for average rate forwards of $10.1 billion and $11.0 billion, zero-cost collars and purchased put or call options of $2.5 billion and $2.6 billion at March 31, 2019 and December 31, 2018, respectively. The majority of the average rate forward contracts hedge a significant portion of the Company’s exposure to the Japanese yen with maturities spanning the years 2019-2022 and with gross notional values of $8.5 billion and $9.1 billion at March 31, 2019 and December 31, 2018, respectively. The average rate forward contracts also partially hedge the impacts of the South Korean won, Chinese yuan, euro and British pound translation on the Company’s projected net income. With respect to the zero-cost collars, the gross notional amount includes the value of both the put and call options. However, due to the nature of the zero-cost collars, only the put or the call option can be exercised at maturity. ﻿ The following tables summarize the notional amounts and respective fair values of Corning’s derivative financial instruments on a gross basis for March 31, 2019 and December 31, 2018 (in millions): ﻿ ﻿
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿ |  |  | Asset derivatives |  | Liability derivatives
﻿ | Gross notional amount |  | Balance |  | Fair value |  | Balance |  | Fair value
﻿ | March 31, |  | Dec. 31, |  | sheet |  | March 31, |  | Dec. 31, |  | sheet |  | March 31, |  | Dec. 31,
﻿ | 2019 |  | 2018 |  | location |  | 2019 |  | 2018 |  | location |  | 2019 |  | 2018
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Derivatives designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Foreign exchange contracts (1) | $ | 336 |  | $ | 391 |  | Other current assets |  | $ | 7 |  | $ | 4 |  | Other accrued liabilities |  |  |  |  | $ | (2)
﻿ |  |  |  |  |  |  | Other assets |  |  | 5 |  |  | 2 |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Derivatives not designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Foreign exchange contracts, other |  | 937 |  |  | 900 |  | Other current assets |  |  | 2 |  |  | 5 |  | Other accrued liabilities |  | $ | (1) |  |  | (7)
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Translated earnings contracts |  | 12,640 |  |  | 13,620 |  | Other current assets |  |  | 116 |  |  | 94 |  | Other accrued liabilities |  |  | (42) |  |  | (47)
﻿ |  |  |  |  |  |  | Other assets |  |  | 38 |  |  | 43 |  | Other liabilities |  |  | (237) |  |  | (386)
﻿ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
﻿Total derivatives | $ | 13,913 |  | $ | 14,911 |  |  |  | $ | 168 |  | $ | 148 |  |  |  | $ | (280) |  | $ | (442)
﻿
| (1) |  | Cash flow hedges with a typical duration of 24 months or less.
﻿ The effect of cash flow hedges on Corning’s consolidated statements of income (loss) and other comprehensive income (loss) is not material for the three months ended March 31, 2019 and 2018. ﻿ ﻿ The following table summarizes the effect on the consolidated financial statements relating to Corning’s undesignated derivative financial instruments (in millions): ﻿
﻿ |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |
﻿ |  |  | Gain (loss) recognized in income
﻿ |  |  | Three months ended
﻿ | Location of gain/(loss) |  | March 31,
﻿Undesignated derivatives | recognized in income |  | 2019 |  | 2018
﻿ |  |  |  |  |  |  |
﻿Foreign exchange contracts – balance sheet and loans | Other expense, net |  | $ | (2) |  | $ | (19)
﻿Foreign currency hedges related to translated earnings (1) | Translated earnings contract gain (loss), net |  |  | 184 |  |  | (622)
﻿ |  |  |  |  |  |  |
﻿Total undesignated |  |  | $ | 182 |  | $ | (641)
(1) The impact to income was primarily driven by yen-denominated hedges of translated earnings.

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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 + Details
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