Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments [Table Text Block]

Listed in the table below are the outstanding foreign currency derivatives that were used to hedge foreign exchange risks as of December 31, 2013.

(in millions; except number of instruments)
Foreign Currency Derivative	Number of Instruments	Notional Sold	Sell Notional Currency	Notional Purchased	Buy Notional Currency
Buy PLN/ Sell EUR forward	22	24	Euro (EUR)	103	Polish Zloty (PLN)
Buy HUF/ Sell EUR forward	11	11	Euro (EUR)	3,186	Hungarian  Forint (HUF)
Buy SEK/ Sell EUR forward	11	137	Euro (EUR)	1,233	Swedish Krona (SEK)
Sell GBP/ Buy EUR forward	11	22	British Pound Sterling (GBP)	27	Euro (EUR)

Derivative Instruments and Hedging Activities Disclosure [Text Block]

Derivative Financial Instruments

Risk Management Objective of Using Derivatives

We are exposed to certain risks arising from both our business operations and economic conditions and principally manage our exposures to these risks through management of our core business activities. Certain of our foreign operations expose us to fluctuations of foreign interest rates and exchange rates that may impact revenue, expenses, cash receipts and payments. We enter into derivative financial instruments to protect the value or fix the amount of certain cash flows in terms of the functional currency of the business unit with that exposure.

Cash Flow Hedges of Foreign Exchange Risk

We are exposed to fluctuations in various foreign currencies against our functional currencies. We use foreign currency derivatives, including currency forward agreements, to manage our exposure to fluctuations in the various exchange rates. Currency forward agreements involve fixing the foreign currency exchange rate for delivery of a specified amount of foreign currency on a specified date.

Beginning in 2012, certain business units within our segments with exposure to foreign currency exchange risks have designated certain currency forward agreements as cash flow hedges of forecasted intercompany inventory purchases and sales. Listed in the table below are the outstanding foreign currency derivatives that were used to hedge foreign exchange risks as of December 31, 2013.

(in millions; except number of instruments)
Foreign Currency Derivative	Number of Instruments	Notional Sold	Sell Notional Currency	Notional Purchased	Buy Notional Currency
Buy PLN/ Sell EUR forward	22	24	Euro (EUR)	103	Polish Zloty (PLN)
Buy HUF/ Sell EUR forward	11	11	Euro (EUR)	3,186	Hungarian  Forint (HUF)
Buy SEK/ Sell EUR forward	11	137	Euro (EUR)	1,233	Swedish Krona (SEK)
Sell GBP/ Buy EUR forward	11	22	British Pound Sterling (GBP)	27	Euro (EUR)

The table below presents the effect of our derivative financial instruments on the Consolidated and Combined Income Statements and Statements of Comprehensive Income.

	Year Ended December 31,
(in millions)	2013			2012			2011
Derivatives in Cash Flow Hedges
Foreign Exchange Contracts
Amount of gain recognized in OCI (a)	$	1		$	4		$	—
Amount of (gain) reclassified from OCI into revenue (a)	(2		)	(2		)	—
Amount of loss (gain) reclassified from OCI into cost of revenue (a)	2			(1		)	—

(a) Effective portion

As of December 31, 2013, $2 million of the net unrealized gains on cash flow hedges is expected to be reclassified into earnings in the next 12 months. Any ineffective portion of the change in fair value of a cash flow hedge is recognized immediately in selling, general and administrative expenses in the Consolidated and Combined Income Statements and, for the twelve months ended December 31, 2013 and 2012 was not material.

The fair values of our foreign exchange contracts currently included in our hedging program were as follows:

	December 31,
(in millions)	2013		2012
Derivatives designated as hedging instruments
Assets
Other current assets	$	1	$	—

Schedule of Foreign Exchange Contracts, Statement of Financial Position [Table Text Block]

The fair values of our foreign exchange contracts currently included in our hedging program were as follows:

	December 31,
(in millions)	2013		2012
Derivatives designated as hedging instruments
Assets
Other current assets	$	1	$	—

Effect of derivative financial instruments

The table below presents the effect of our derivative financial instruments on the Consolidated and Combined Income Statements and Statements of Comprehensive Income.

	Year Ended December 31,
(in millions)	2013			2012			2011
Derivatives in Cash Flow Hedges
Foreign Exchange Contracts
Amount of gain recognized in OCI (a)	$	1		$	4		$	—
Amount of (gain) reclassified from OCI into revenue (a)	(2		)	(2		)	—
Amount of loss (gain) reclassified from OCI into cost of revenue (a)	2			(1		)	—

(a) Effective portion