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Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2019
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Effects of Derivative Instruments
Pre-tax gains/(losses) recorded in net earnings for economic hedges were:
 
For the Years Ended December 31,
 
Recognized
in Earnings
 
2019
 
2018
 
2017
 
 
(in millions)
 
 
Currency exchange contracts:
 
 
 
 
 
 
 
   Intercompany loans and
      forecasted interest payments
$
100

 
$
98

 
$
13

 
Interest and other
expense, net
   Forecasted transactions
17

 
103

 
(37
)
 
Cost of sales
   Forecasted transactions
(3
)
 
(4
)
 
(2
)
 
Interest and other
expense, net
   Forecasted transactions
(8
)
 
(3
)
 
3

 
Selling, general
and administrative
expenses
Commodity contracts
67

 
40

 
(218
)
 
Cost of sales
Total
$
173

 
$
234

 
$
(241
)
 
 
Cash Flow Hedges  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Cash Flow Hedges Effect on Accumulated Other Comprehensive Earnings/(Losses), Net of Taxes
Cash flow hedge activity, net of taxes, within accumulated other comprehensive earnings/(losses) included:
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
Accumulated (loss)/gain at beginning of period
$
(167
)
 
$
(113
)
 
$
(121
)
Transfer of realized (gains)/losses in fair value to earnings
154

 
(9
)
 
27

Unrealized gain/(loss) in fair value
(199
)
 
(45
)
 
(19
)
Accumulated (loss)/gain at end of period
$
(212
)
 
$
(167
)
 
$
(113
)
Schedule of Effects of Derivative Instruments
After-tax gains/(losses) reclassified from accumulated other comprehensive earnings/(losses) into net earnings were:
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
Currency exchange contracts – forecasted transactions
$
—

 
$
—

 
$
(3
)
Commodity contracts
—

 
—

 
(24
)
Interest rate contracts
(154
)
 
9

 
—

Total
$
(154
)
 
$
9

 
$
(27
)

Within interest and other expense, net, we recognized a loss of $111 million in 2019 and a gain of $10 million in 2018 related to certain forward-starting interest rate swaps for which the planned timing and currency of the related forecasted debt was changed. During the second quarter of 2019, we also recognized a loss of $12 million related to the net loss on equity method investment transactions noted in Note 7, Equity Method Investments - JDE / Keurig Exchange.
After-tax gains/(losses) recognized in other comprehensive earnings/(losses) were:
 
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
Currency exchange contracts – forecasted transactions
$
3

 
$
—

 
$
(38
)
Commodity contracts
—

 
—

 
7

Interest rate contracts
(202
)
 
(45
)
 
12

Total
$
(199
)
 
$
(45
)
 
$
(19
)
Net Investment Hedging  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Hedges of Net Investments in International Operations
After-tax gains/(losses) related to hedges of net investments in international operations in the form of euro, British pound sterling, Swiss franc and Canadian dollar-denominated debt were recorded within the cumulative translation adjustment section of other comprehensive income and were:
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
Euro notes
$
60

 
$
126

 
$
(323
)
British pound sterling notes
(10
)
 
19

 
(26
)
Swiss franc notes
(19
)
 
7

 
(49
)
Canadian notes
(17
)
 
17

 
—


As of December 31, 2019, the aggregate notional value of these NIH derivative contracts was $6.9 billion and their impact on other comprehensive earnings and net earnings during the years presented below were as follows:
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
After-tax gain/(loss) on NIH contracts(1)
$
(6
)
 
$
191

 
$
—


(1)
Amounts recorded for unsettled and settled NIH derivative contracts are recorded in the cumulative translation adjustment within other comprehensive earnings. The cash flows from the settled contracts are reported within other investing activities in the consolidated statement of cash flows.
 
For the Years Ended December 31,
 
2019
 
2018
 
2017
 
(in millions)
Amounts excluded from the assessment of
   hedge effectiveness(1)
$
133

 
$
120

 
$
—


(1)
We elected to record changes in the fair value of amounts excluded from the assessment of effectiveness in net earnings within interest and other expense, net.
Derivatives  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Fair Value of Derivative Instruments
Derivative instruments were recorded at fair value in the consolidated balance sheets as follows:
 
As of December 31,
 
2019
 
2018
 
Asset
Derivatives
 
Liability
Derivatives
 
Asset
Derivatives
 
Liability
Derivatives
 
(in millions)
Derivatives designated as
accounting hedges:
 
 
 
 
 
 
 
Interest rate contracts
$
19

 
$
190

 
$
17

 
$
355

Net investment hedge derivative contracts (1)
312

 
65

 
337

 
28

 
$
331

 
$
255

 
$
354

 
$
383

Derivatives not designated as
   accounting hedges:
 
 
 
 
 
 
 
Currency exchange contracts
$
67

 
$
50

 
$
72

 
$
37

Commodity contracts
201

 
120

 
191

 
210

 
$
268

 
$
170

 
$
263

 
$
247

Total fair value
$
599

 
$
425

 
$
617

 
$
630



(1)
Net investment hedge contracts consist of cross-currency interest rate swaps and forward contracts. We also designate some of our non-U.S. dollar denominated debt to hedge a portion of our net investments in our non-U.S. operations. This debt is not reflected in the table above, but is included in long-term debt discussed in Note 9, Debt and Borrowing Arrangements. Both net investment hedge derivative contracts and non-U.S. dollar denominated debt acting as net investment hedges are also disclosed in the Derivative Volume table and the Hedges of Net Investments in International Operations section appearing later in this footnote.
Schedule of Derivative instruments Fair Value and Measurement Inputs
The fair values (asset/(liability)) of our derivative instruments were determined using:
 
As of December 31, 2019
 
Total
Fair Value of Net
Asset/(Liability)
 
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
(in millions)
Currency exchange contracts
$
17

 
$
—

 
$
17

 
$
—

Commodity contracts
81

 
27

 
54

 
—

Interest rate contracts
(171
)
 
—

 
(171
)
 
—

Net investment hedge contracts
247

 
—

 
247

 
—

Total derivatives
$
174

 
$
27

 
$
147

 
$
—


 
As of December 31, 2018
 
Total
Fair Value of Net
Asset/(Liability)
 
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
(in millions)
Currency exchange contracts
$
35

 
$
—

 
$
35

 
$
—

Commodity contracts
(19
)
 
(1
)
 
(18
)
 
—

Interest rate contracts
(338
)
 
—

 
(338
)
 
—

Net investment hedge contracts
309

 
—

 
309

 
—

Total derivatives
$
(13
)
 
$
(1
)
 
$
(12
)
 
$
—
Schedule of Notional Values of Derivative Instruments
The gross notional values of our derivative instruments were:
 
Notional Amount
 
As of December 31,
 
2019
 
2018
 
(in millions)
Currency exchange contracts:
 
 
 
Intercompany loans and forecasted interest payments
$
2,474

 
$
3,239

Forecasted transactions
3,993

 
2,396

Commodity contracts(1)
7,238

 
6,706

Interest rate contracts
5,250

 
8,679

Net investment hedges:
 
 
 
Net investment hedge derivative contracts
6,864

 
6,678

Non-U.S. dollar debt designated as net investment hedges
 
 
 
Euro notes
3,436

 
3,514

British pound sterling notes
349

 
336

Swiss franc notes
1,448

 
1,424

Canadian dollar notes
462

 
440



(1)
During the fourth quarter of 2019, we changed how we report our commodity contract notional values from a net to a gross basis in line with how we report our other instruments. We have recast 2018 to be consistent with current year presentation.