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Fair value measurements
 12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair value measurements Fair value measurements
Fair value is defined as an exit price representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Fair value is a market-based measurement that is determined based on assumptions that market participants would use in pricing an asset or liability. A three-tier fair value hierarchy is used to prioritize the inputs in measuring fair value as follows:
Level 1 –Observable inputs such as quoted market prices in active markets;
Level 2 –Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and
Level 3 –Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions.
Assets that are calculated at net asset value (“NAV”) per share are not required to be categorized within the fair value hierarchy.
The following tables set forth information regarding the Company’s financial assets and financial liabilities that are measured at fair value on a recurring basis:
DescriptionDecember 31, 2023Assets measured at NAV (f)Level 1Level 2Level 3
Hedge derivatives, net:
Commodity contracts
$(41)$— $— $(41)$— 
Foreign exchange contracts
1,502 — — 1,502 — 
 Net investment hedge(5,073)— — (5,073)— 
Non-hedge derivatives, net:
Commodity contracts(6770)— — (6770)— 
Foreign exchange contracts(29)— — (29)— 
Postretirement benefit plan assets:
 Common Collective(a)12,958 12,958 — — — 
Mutual funds(b)
45,931 — — 45,931 — 
 Fixed income securities(c)
242,702 63,849 — 178,853 — 
 Short-term investments(d)
4,175 — — 4,175 — 
 Real estate funds(e)
400 400 — — — 
      Cash and accrued income2,634 — 2,634 — — 
Total postretirement benefit plan assets$308,800 $77,207 $2,634 $228,959 $— 
DescriptionDecember 31, 2022Assets measured at NAV (f)Level 1Level 2Level 3
Hedge derivatives, net:
Commodity contracts
$(172)$— $— $(172)$— 
Foreign exchange contracts
(863)— — (863)— 
Non-hedge derivatives, net:
      Commodity contracts(8,638)— — (8,638)— 
Foreign exchange contracts(54)— — (54)— 
Postretirement benefit plan assets:
      Common Collective(a)6,497 6,497 — — — 
      Mutual funds(b)50,467 — — 50,467 — 
      Fixed income securities(c)198,628 32,927 — 165,701 — 
      Short-term investments(d)1,099 — — 1,099 — 
      Real estate funds(e)680 680 — — — 
      Cash and accrued income 8,504 — 8,504 — — 
Total postretirement benefit plan assets$265,875 $40,104 $8,504 $217,267 $— 
a.Common collective trust investments consist of domestic and international large and mid capitalization equities, including emerging markets and funds invested in both short-term and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or NAVs provided by the investment managers.
b.Mutual fund investments are comprised of equity securities of corporations with large capitalizations and also include funds invested in corporate equities in international and emerging markets and funds invested in long-term bonds, which are valued at closing prices from national exchanges.
c.Fixed income securities include funds that invest primarily in government securities and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges, fixed income pricing models, and independent financial analysts. Fixed income commingled funds are valued at unit values provided by the investment managers.
d.Short-term investments include several money market funds used for managing overall liquidity. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds are valued at unit values provided by the investment managers.
e.Includes investments in real estate funds (including office, industrial, residential and retail). Underlying real estate securities are generally valued at closing prices from national exchanges.
f.Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
The Company’s pension plan assets comprise more than 96% of its total postretirement benefit plan assets. Accordingly, the assets of the Company’s various pension plans and retiree health and life insurance plans are not shown separately, but are combined in the tables above. Postretirement benefit plan assets are netted against postretirement benefit obligations to determine the funded status of each plan. The funded status is recognized in the Company’s Consolidated Balance Sheets as shown in Note 14.
As discussed in Note 11, the Company uses derivatives to mitigate the effect of commodity fluctuations, foreign currency fluctuations and, from time to time, interest rate movements. Fair value measurements for the Company’s derivatives are classified under Level 2 because such measurements are estimated based on observable inputs such as interest rates, yield curves, spot and future commodity prices, and spot and future exchange rates.
The Company does not currently have any nonfinancial assets or liabilities that are recognized or disclosed at fair value on a recurring basis. None of the Company’s financial assets or liabilities are measured at fair value using significant unobservable inputs. There were no transfers in or out of Level 1 or Level 2 fair value measurements during the years ended December 31, 2023 or 2022. For additional fair value information on the Company’s financial instruments, see Note 11.