XML 52 R42.htm IDEA: XBRL DOCUMENT v3.21.1
FINANCIAL INSTRUMENTS (Tables)
 3 Months Ended
Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of foreign exchange derivative contracts outstanding At March 31, 2021 and December 31, 2020, the following foreign currency derivative contracts were outstanding:
Foreign currency derivatives (in millions)*
Functional CurrencyTraded CurrencyNotional in traded currency
March 31, 2021		Notional in traded currency
December 31, 2020		Ending Duration
British poundEuro102 97 Dec - 22
British poundUS dollar10 — Dec - 22
Chinese renminbiUS dollar131 113 Dec - 22
Chinese renminbiEuro42 — Dec - 21
EuroHungarian forint6,266 — Dec - 21
EuroPolish zloty365 147 Dec - 22
EuroSwedish krona127 — Dec - 21
EuroUS dollar24 41 Dec - 21
Indian rupeeUS dollar22 — Dec - 21
Korean wonEuro11 2 Dec - 21
Korean wonUS dollar36 19 Dec - 21
US dollarEuro53 55 Dec - 22
US dollarSingapore Dollar48 47 Dec - 22
US dollarKorean won15,000 15,000 Apr - 21
US dollarMexican peso2,012 1,178 Dec - 22
Thailand bahtUS dollar13 6 Dec - 21
*Table above excludes non-significant traded currency pairings with total notional amounts less than $10 million U.S. dollar equivalent as of March 31, 2021 and December 31, 2020.
Schedule of foreign exchange contracts, statement of financial position At March 31, 2021 and December 31, 2020, the following cross-currency swap contracts were outstanding:
Cross-currency swaps
(millions of dollars)March 31, 2021December 31, 2020Ending duration
US dollar to Euro:
Fixed receiving notional$500 $500 Mar - 25
Fixed paying notional€450 €450 Mar - 25
US dollar to Euro:
Fixed receiving notional$1,100 $1,100 Jul - 27
Fixed paying notional€976 €976 Jul - 27
US dollar to Japanese yen:
Fixed receiving notional$100 $100 Feb - 23
Fixed paying notional¥10,798 ¥10,978 Feb - 23
Schedule of derivatives instruments in statements of financial position
At March 31, 2021 and December 31, 2020, the following amounts were recorded in the Condensed Consolidated Balance Sheets as being payable to or receivable from counterparties under ASC Topic 815:
(in millions)AssetsLiabilities
Derivatives designated as hedging instruments Under 815:LocationMarch 31, 2021December 31, 2020LocationMarch 31, 2021December 31, 2020
Foreign currencyPrepayments and other current assets$7 $1 Other current liabilities$13 $4 
Foreign currencyOther non-current assets$1 $— Other non-current liabilities$3 $1 
Net investment hedges$6 Other non-current liabilities$123 $161 
Derivatives not designated as hedging instruments:
Foreign currencyPrepayments and other current assets$5 $4 Other current liabilities$1 $1 
Schedule of cash flow hedges included in accumulated other comprehensive income (loss)
The table below shows deferred gains (losses) reported in AOCI as well as the amount expected to be reclassified to income in one year or less. The amount expected to be reclassified to income in one year or less assumes no change in the current relationship of the hedged item at March 31, 2021 market rates.
(in millions)Deferred gain (loss) in AOCI atGain (loss) expected to be reclassified to income in one year or less
Contract TypeMarch 31, 2021December 31, 2020
Net investment hedges:
    Foreign currency$3 $3 $— 
    Cross-currency swaps(95)(139)— 
    Foreign currency-denominated debt(43)(68)— 
Total$(135)$(204)$— 
Gains and (losses) on derivative instruments designated as net investment hedges were recognized in other comprehensive income (loss) during the periods presented below.
(in millions)Three Months Ended March 31,
Net investment hedges20212020
Foreign currency$— $1 
Cross-currency swaps$44 $35 
Foreign currency-denominated debt$25 $8 
Schedule of derivative instruments
Derivative instruments designated as hedging instruments as defined by ASC Topic 815 held during the period resulted in the following gains and losses recorded in income:
Three Months Ended March 31, 2021
(in millions)Net salesCost of salesSelling, general and administrative expensesOther comprehensive income (loss)
Total amounts of earnings and other comprehensive income(loss) line items in which the effects of cash flow hedges are recorded$4,009 $3,191 $377 $(85)
Gain (loss) on cash flow hedging relationships:
Foreign currency:
Gain (loss) recognized in other comprehensive income$(6)


Three Months Ended March 31, 2020
(in millions)Net salesCost of salesSelling, general and administrative expensesOther comprehensive income (loss)
Total amounts of earnings and other comprehensive income(loss) line items in which the effects of cash flow hedges are recorded$2,279 $1,832 $213 $(74)
Gain (loss) on cash flow hedging relationships:
Foreign currency:
Gain (loss) recognized in other comprehensive income$(3)
Schedule of derivative instruments, gain (loss)
Derivatives designated as net investment hedge instruments as defined by ASC Topic 815 held during the period resulted in the following gains recorded in Interest expense and finance charges on components excluded from the assessment of effectiveness:
(in millions)Three Months Ended March 31,
Net investment hedges20212020
Cross-currency swaps$5 $4 
Schedule of derivatives not designated as hedging instruments
Derivatives not designated as hedging instruments are used to hedge remeasurement exposures of monetary assets and liabilities denominated in currencies other than the operating units' functional currency. These derivatives resulted in the following gains and (losses) recorded in income:
(in millions)Three Months Ended March 31,
Contract TypeLocation20212020
Foreign CurrencySelling, general and administrative expenses$1 $3