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DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended
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Jun. 30, 2026
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 June 30 were as follows (in millions):
| Second Quarter |  | First Half
Cash flow hedges | 2025 |  | 2026 |  | 2025 |  | 2026
Reclassified from AOCI to Cost of sales |  |  |  |  |  |  |
Foreign currency exchange contracts (a) | $ | 21 |  |  | $ | 9 |  |  | $ | 95 |  |  | $ | (3) |
Commodity contracts (b) | (1) |  |  | 59 |  |  | 10 |  |  | 87 |
Fair value hedges |  |  |  |  |  |  |
Interest rate contracts |  |  |  |  |  |  |
Net interest settlements and accruals on hedging instruments | (44) |  |  | (7) |  |  | (92) |  |  | (14) |
Fair value changes on hedging instruments | 235 |  |  | (187) |  |  | 564 |  |  | (365) |
Fair value changes on hedged debt | (219) |  |  | 186 |  |  | (543) |  |  | 356 |
Cross-currency interest rate swap contracts |  |  |  |  |  |  |
Net interest settlements and accruals on hedging instruments | (18) |  |  | (14) |  |  | (43) |  |  | (26) |
Fair value changes on hedging instruments | 358 |  |  | (37) |  |  | 504 |  |  | (240) |
Fair value changes on hedged debt | (339) |  |  | 29 |  |  | (475) |  |  | 233 |
Derivatives not designated as hedging instruments |  |  |  |  |  |  |
Foreign currency exchange contracts (c) | (69) |  |  | (2) |  |  | (9) |  |  | (36) |
Cross-currency interest rate swap contracts | 246 |  |  | 16 |  |  | 348 |  |  | (74) |
Interest rate contracts | (18) |  |  | 1 |  |  | (63) |  |  | 92 |
Commodity contracts | 11 |  |  | (13) |  |  | 22 |  |  | 28 |
Total | $ | 163 |  |  | $ | 40 |  |  | $ | 318 |  |  | $ | 38 |
__________ (a)For the second quarter and first half of 2025, a $527 million loss and a $605 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax. For the second quarter and first half of 2026, a $93 million gain and a $229 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax (b)For the second quarter and first half of 2025, a $12 million gain and an $8 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax. For the second quarter and first half of 2026, a $38 million loss and a $40 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax. (c)For the second quarter and first half of 2025, a $56 million gain and a $126 million gain, respectively, were reported in Cost of sales, and a $125 million loss and a $135 million loss, respectively, were reported in Other income/(loss), net. For the second quarter and first half of 2026, a $49 million loss and a $112 million loss, respectively, were reported in Cost of sales, and a $47 million gain and a $76 million gain, 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, 2025 |  | June 30, 2026
| 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 | $ | 17,750 |  |  | $ | 98 |  |  | $ | 114 |  |  | $ | 14,383 |  |  | $ | 268 |  |  | $ | 100 |
Commodity contracts | 940 |  |  | 122 |  |  | — |  |  | 1,049 |  |  | 84 |  |  | 15 |
Fair value hedges |  |  |  |  |  |  |  |  |  |  |
Interest rate contracts | 18,582 |  |  | 374 |  |  | 220 |  |  | 22,422 |  |  | 170 |  |  | 336 |
Cross-currency interest rate swap contracts | 4,158 |  |  | 383 |  |  | 5 |  |  | 6,330 |  |  | 234 |  |  | 72 |
Derivatives not designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |
Foreign currency exchange contracts | 24,934 |  |  | 150 |  |  | 180 |  |  | 21,855 |  |  | 175 |  |  | 248 |
Cross-currency interest rate swap contracts | 7,121 |  |  | 379 |  |  | 28 |  |  | 5,406 |  |  | 204 |  |  | 13 |
Interest rate contracts | 87,293 |  |  | 364 |  |  | 619 |  |  | 84,868 |  |  | 411 |  |  | 432 |
Commodity contracts | 803 |  |  | 56 |  |  | 1 |  |  | 977 |  |  | 53 |  |  | 31 |
Total derivative financial instruments, gross (a) (b) | $ | 161,581 |  |  | $ | 1,926 |  |  | $ | 1,167 |  |  | $ | 157,290 |  |  | $ | 1,599 |  |  | $ | 1,247 |
Current portion |  |  | $ | 634 |  |  | $ | 643 |  |  |  |  | $ | 593 |  |  | $ | 788 |
Non-current portion |  |  | 1,292 |  |  | 524 |  |  |  |  | 1,006 |  |  | 459 |
Total derivative financial instruments, gross |  |  | $ | 1,926 |  |  | $ | 1,167 |  |  |  |  | $ | 1,599 |  |  | $ | 1,247 |
__________ (a)At December 31, 2025 and June 30, 2026, we held collateral of $5 million and $4 million, respectively, and we posted collateral of $102 million and $90 million, respectively. (b)At December 31, 2025 and June 30, 2026, the fair value of assets and liabilities available for counterparty netting was $814 million and $855 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.

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