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DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 9 Months Ended
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Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Schedule of Income Effect of Derivative Financial Instruments | The gains/(losses), by hedge designation, reported in income for the periods ended September 30 were as follows (in millions):
| Third Quarter |  | First Nine Months
Cash flow hedges | 2024 |  | 2025 |  | 2024 |  | 2025
Reclassified from AOCI to Cost of sales |  |  |  |  |  |  |
Foreign currency exchange contracts (a) | $ | 16 |  |  | $ | (23) |  |  | $ | 80 |  |  | $ | 72 |
Commodity contracts (b) | (11) |  |  | — |  |  | (40) |  |  | 10 |
Fair value hedges |  |  |  |  |  |  |
Interest rate contracts |  |  |  |  |  |  |
Net interest settlements and accruals on hedging instruments | (92) |  |  | (45) |  |  | (294) |  |  | (137) |
Fair value changes on hedging instruments | 585 |  |  | 34 |  |  | 316 |  |  | 598 |
Fair value changes on hedged debt | (553) |  |  | (33) |  |  | (316) |  |  | (576) |
Cross-currency interest rate swap contracts |  |  |  |  |  |  |
Net interest settlements and accruals on hedging instruments | (33) |  |  | (23) |  |  | (97) |  |  | (66) |
Fair value changes on hedging instruments | 266 |  |  | (14) |  |  | 155 |  |  | 490 |
Fair value changes on hedged debt | (261) |  |  | (1) |  |  | (159) |  |  | (476) |
Derivatives not designated as hedging instruments |  |  |  |  |  |  |
Foreign currency exchange contracts (c) | 133 |  |  | (55) |  |  | 328 |  |  | (64) |
Cross-currency interest rate swap contracts | 210 |  |  | (49) |  |  | 14 |  |  | 299 |
Interest rate contracts | (153) |  |  | — |  |  | (102) |  |  | (63) |
Commodity contracts | — |  |  | — |  |  | (11) |  |  | 22 |
Total | $ | 107 |  |  | $ | (209) |  |  | $ | (126) |  |  | $ | 109 |
__________ (a)For the third quarter and first nine months of 2024, a $388 million loss and a $51 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax. For the third quarter and first nine months of 2025, a $331 million gain and a $274 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax. (b)For the third quarter and first nine months of 2024, an $11 million gain and a $33 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax. For the third quarter and first nine months of 2025, a $30 million gain and a $38 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax. (c)For the third quarter and first nine months of 2024, a $138 million gain and a $196 million gain, respectively, were reported in Cost of sales, and a $5 million loss and a $132 million gain, respectively, were reported in Other income/(loss), net. For the third quarter and first nine months of 2025, a $61 million loss and a $65 million gain, respectively, were reported in Cost of sales, and a $6 million gain and a $129 million loss, respectively, were reported in Other income/(loss), net.
Schedule of Balance Sheet Effect of Derivative Instruments | The fair value of our derivative instruments and the associated notional amounts were as follows (in millions):
| December 31, 2024 |  | September 30, 2025
| Notional |  | Fair Value of Assets |  | Fair Value of Liabilities |  | Notional |  | Fair Value of Assets |  | Fair Value of Liabilities
Cash flow hedges |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | $ | 20,027 |  |  | $ | 578 |  |  | $ | 123 |  |  | $ | 16,248 |  |  | $ | 241 |  |  | $ | 102 |
Commodity contracts | 959 |  |  | 22 |  |  | 13 |  |  | 946 |  |  | 36 |  |  | 1 |
Fair value hedges |  |  |  |  |  |  |  |  |  |  |
Interest rate contracts | 16,194 |  |  | 66 |  |  | 645 |  |  | 20,218 |  |  | 391 |  |  | 258 |
Cross-currency interest rate swap contracts | 3,802 |  |  | 9 |  |  | 139 |  |  | 4,158 |  |  | 374 |  |  | 6 |
Derivatives not designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | 20,799 |  |  | 301 |  |  | 192 |  |  | 22,138 |  |  | 153 |  |  | 202 |
Cross-currency interest rate swap contracts | 5,455 |  |  | 133 |  |  | 246 |  |  | 7,109 |  |  | 354 |  |  | 24 |
Interest rate contracts | 76,977 |  |  | 305 |  |  | 845 |  |  | 85,911 |  |  | 374 |  |  | 675 |
Commodity contracts | 944 |  |  | 14 |  |  | 31 |  |  | 789 |  |  | 20 |  |  | 7 |
Total derivative financial instruments, gross (a) (b) | $ | 145,157 |  |  | $ | 1,428 |  |  | $ | 2,234 |  |  | $ | 157,517 |  |  | $ | 1,943 |  |  | $ | 1,275 |
Current portion |  |  | $ | 869 |  |  | $ | 1,311 |  |  |  |  | $ | 548 |  |  | $ | 774 |
Non-current portion |  |  | 559 |  |  | 923 |  |  |  |  | 1,395 |  |  | 501 |
Total derivative financial instruments, gross |  |  | $ | 1,428 |  |  | $ | 2,234 |  |  |  |  | $ | 1,943 |  |  | $ | 1,275 |
__________ (a)At December 31, 2024 and September 30, 2025, we held collateral of $27 million and $28 million, respectively, and we posted collateral of $127 million and $114 million, respectively. (b)At December 31, 2024 and September 30, 2025, the fair value of assets and liabilities available for counterparty netting was $780 million and $888 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.

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