Fair Value Measurements

3 Months Ended

Mar. 31, 2026

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

The Company's financial assets and liabilities are measured at fair value on a recurring basis as follows:

Derivative financial instruments include interest rate swaps, commodity swaps, cross-currency swaps and foreign currency forwards and swaps and are valued in the market using discounted cash flow techniques. These techniques incorporate Level 1 and Level 2 fair value measurement inputs such as interest rates and foreign currency exchange rates. These market inputs are utilized in the discounted cash flow calculation considering the instrument's term, notional amount, discount rate and credit risk. Significant inputs to the derivative valuation for interest rate swaps, commodity swaps, cross-currency swaps and foreign currency forwards and swaps are observable in the active markets and are classified as Level 2 in the fair value measurement hierarchy.

			Fair Value Measurement
			Significant Other Observable Inputs (Level 2)
			Other assets		Other liabilities
	Notional Amount		Current	Noncurrent	Current	Noncurrent
	(In millions)		(In $ millions)
As of March 31, 2026
Derivatives Designated as Cash Flow Hedges
Commodity swaps	$	60	3	39	1	—
Derivatives Designated as Fair Value Hedges
Cross-currency swaps	€	909	30	—	21	61
Cross-currency swaps(1)	¥	132,242	42	83	8	—
Derivatives Designated as Net Investment Hedges
Cross-currency swaps and foreign currency denominated debt	€	3,479	55	—	35	373
Cross-currency swaps(2)	¥	7,268	23	—	14	132
Derivatives Not Designated as Hedges
Foreign currency forwards and swaps	$	2,059	4	—	23	—
Total			157	122	102	566
As of December 31, 2025
Derivatives Designated as Cash Flow Hedges
Commodity swaps	$	46	4	44	—	—
Derivatives Designated as Fair Value Hedges
Cross-currency swaps	€	909	14	—	8	86
Cross-currency swaps(1)	¥	132,242	42	76	7	—
Derivatives Designated as Net Investment Hedges
Cross-currency swaps and foreign currency denominated debt	€	4,899	82	—	65	429
Cross-currency swaps(2)	¥	7,268	17	—	6	89
Derivatives Not Designated as Hedges
Foreign currency forwards and swaps	$	2,184	12	—	16	—
Total			171	120	102	604

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(1)Notional amount denominated in Japanese yen.

(2)Notional amount denominated in Chinese yuan.

Carrying values and fair values of financial instruments that are not carried at fair value are as follows:

		Fair Value Measurement
	Carrying Amount	Significant Other Observable Inputs (Level 2)	Unobservable Inputs (Level 3)	Total
	(In $ millions)
As of March 31, 2026
Equity investments without readily determinable fair values	170	—	—	—
Insurance contracts in nonqualified trusts	18	18	—	18
Long-term debt, including current installments of long-term debt	12,599	12,755	125	12,880
As of December 31, 2025
Equity investments without readily determinable fair values	170	—	—	—
Insurance contracts in nonqualified trusts	18	19	—	19
Long-term debt, including current installments of long-term debt	12,614	12,592	129	12,721

In general, the equity investments included in the table above are not publicly traded and their fair values are not readily determinable. The Company believes the carrying values approximate fair value. Insurance contracts in nonqualified trusts consist of long-term fixed income securities, which are valued using independent vendor pricing models with observable inputs in the active market and therefore represent a Level 2 fair value measurement. The fair value of long-term debt is based on valuations from third-party banks and market quotations and is classified as Level 2 in the fair value measurement hierarchy. The fair value of obligations under finance leases, which are included in long-term debt in the unaudited consolidated balance sheets, is based on lease payments and discount rates, which are not observable in the market and therefore represents a Level 3 fair value measurement.

As of March 31, 2026 and December 31, 2025, the fair values of cash and cash equivalents, receivables, trade payables, short-term borrowings and the current installments of long-term debt approximate carrying values due to the short-term nature of these instruments. These items have been excluded from the table with the exception of the current installments of long-term debt.