ACCUMULATED OTHER COMPREHENSIVE INCOME

12 Months Ended

Dec. 31, 2021


ACCUMULATED OTHER COMPREHENSIVE INCOME

Comprehensive income includes all changes in stockholders’ equity that do not arise from transactions with stockholders, and consists of net income, CTA, certain gains and losses from other postretirement employee benefit (OPEB) plans and gains and losses on cash flow hedges.

The following table is a net-of-tax summary of the changes in AOCI by component for the years ended December 31, 2021 and 2020.


(in millions)	CTA		Pension and OPEB plans		Hedging activities		Total
Gains (losses)
Balance as of December 31, 2020	$	(2,587)	$	(574)	$	(153)	$	(3,314)
Other comprehensive (loss) income before reclassifications	(320)		160		4		(156)
Amounts reclassified from AOCI (a)	—		67		23		90
Net other comprehensive (loss) income	(320)		227		27		(66)
Balance as of December 31, 2021	$	(2,907)	$	(347)	$	(126)	$	(3,380)


(in millions)	CTA		Pension and OPEB plans		Hedging activities		Total
Gains (losses)
Balance as of December 31, 2019	$	(2,954)	$	(715)	$	(41)	$	(3,710)

Other comprehensive income (loss) before reclassifications	367		59		(117)		309
Amounts reclassified from AOCI (a)	—		82		5		87
Net other comprehensive (loss) income	367		141		(112)		396
Balance as of December 31, 2020	$	(2,587)	$	(574)	$	(153)	$	(3,314)

(a) See table below for details about these reclassifications.

The following table is a summary of the amounts reclassified from AOCI to net income during the years ended December 31, 2021 and 2020.


	Amounts reclassified from AOCI (a)
(in millions)	2021		2020		Location of impact in income statement
Pension and OPEB items
Amortization of net losses and prior service costs or credits	$	(82)	$	(59)	Other expense, net
Settlement charges	(2)		(46)		Other expense, net
	(84)		(105)		Total before tax
Less: Tax effect	17		23		Income tax expense
	$	(67)	$	(82)	Net of tax
Gains (losses) on hedging activities
Foreign exchange contracts	$	(23)	$	(5)	Cost of sales
Interest rate contracts	(6)		(1)		Interest expense, net
	(29)		(6)		Total before tax
Less: Tax effect	6		1		Income tax expense
	$	(23)	$	(5)	Net of tax
Total reclassification for the period	$	(90)	$	(87)	Total net of tax

(a)Amounts in parentheses indicate reductions to net income.

Refer to Note 12 for additional information regarding the amortization of pension and OPEB items and Note 15 for additional information regarding hedging activity.