Comprehensive Income/(Loss)

The following tables summarize the allocation of total comprehensive income between The Kraft Heinz Company and the noncontrolling interest for the three and six months ended June 28, 2015 and June 29, 2014, respectively:



	Second Quarter Ended
	June 28, 2015								June 29, 2014
	The Kraft Heinz Company			Noncontrolling Interest		Total			The Kraft Heinz Company			Noncontrolling Interest			Total
	(In millions)
Net (loss)/income	$	(164	)	$	4	$	(160	)	$	127		$	8		$	135
Other comprehensive income, net of tax:
Foreign currency translation adjustments	360			1		361			186			(5		)	181
Net deferred losses on net investment hedges	(206		)	—		(206		)	(44		)	—			(44		)
Net pension and post-retirement benefit losses	(18		)	—		(18		)	(28		)	—			(28		)
Reclassification of net pension and post-retirement benefit losses/(gains) to net income	8			—		8			(1		)	—			(1		)
Net deferred losses on cash flow hedges from periodic revaluations	(10		)	—		(10		)	(100		)	—			(100		)
Net deferred losses/(gains) on cash flow hedges reclassified to earnings	137			—		137			(1		)	—			(1		)
Total comprehensive income	107			5		112			139			3			142



	Six Months Ended
	June 28, 2015									June 29, 2014
	The Kraft Heinz Company			Noncontrolling Interest			Total			The Kraft Heinz Company			Noncontrolling Interest		Total
	(In millions)
Net income	$	112		$	7		$	119		$	322		$	11	$	333
Other comprehensive (loss)/income, net of tax:
Foreign currency translation adjustments	(420		)	(13		)	(433		)	292			3		295
Net deferred gains/(losses) on net investment hedges	226			—			226			(160		)	—		(160		)
Net pension and post-retirement benefit losses	(19		)	—			(19		)	(28		)	—		(28		)
Reclassification of net pension and post-retirement benefit losses/(gains) to net income	7			—			7			(2		)	—		(2		)
Net deferred losses on cash flow hedges from periodic revaluations	(77		)	—			(77		)	(159		)	—		(159		)
Net deferred losses/(gains) on cash flow hedges reclassified to earnings	138			—			138			(4		)	—		(4		)
Total comprehensive (loss)/income	(33		)	(6		)	(39		)	261			14		275

The tax (expense)/benefit associated with each component of other comprehensive income/(loss) is as follows:



	Second Quarter Ended
	The Kraft Heinz Company			Noncontrolling Interest		Total
	(In millions)
June 29, 2014
Net deferred gains/(losses) on net investment hedges	$	27		$	—	$	27
Net pension and post-retirement benefit gains/(losses)	$	7		$	—	$	7
Reclassification of net pension and post-retirement benefit (gains)/losses to net income	$	(1	)	$	—	$	(1	)
Net deferred gains/(losses) on cash flow hedges from periodic revaluations	$	48		$	—	$	48
Net deferred (gains)/losses on cash flow hedges reclassified to earnings	$	(2	)	$	—	$	(2	)

June 28, 2015
Net deferred gains/(losses) on net investment hedges	$	124		$	—	$	124
Net pension and post-retirement benefit gains/(losses)	$	5		$	—	$	5
Reclassification of net pension and post-retirement benefit losses/(gains) to net income	$	2		$	—	$	2
Net deferred (losses)/gains on cash flow hedges from periodic revaluations	$	(2	)	$	—	$	(2	)
Net deferred losses/(gains) on cash flow hedges reclassified to earnings	$	86		$	—	$	86



	Six Months Ended
	The Kraft Heinz Company			Noncontrolling Interest		Total
	(In millions)
June 29, 2014
Net deferred gains/(losses) on net investment hedges	$	99		$	—	$	99
Net pension and post-retirement benefit gains/(losses)	$	7		$	—	$	7
Reclassification of net pension and post-retirement benefit (gains)/losses to net income	$	(1	)	$	—	$	(1	)
Net deferred gains/(losses) on cash flow hedges from periodic revaluations	$	79		$	—	$	79
Net deferred (gains)/losses on cash flow hedges reclassified to earnings	$	(5	)	$	—	$	(5	)

June 28, 2015
Net deferred (losses)/gains on net investment hedges	$	(195	)	$	—	$	(195	)
Net pension and post-retirement benefit gains/(losses)	$	6		$	—	$	6
Reclassification of net pension and post-retirement benefit losses/(gains) to net income	$	3		$	—	$	3
Net deferred gains/(losses) on cash flow hedges from periodic revaluations	$	43		$	—	$	43
Net deferred losses/(gains) on cash flow hedges reclassified to earnings	$	84		$	—	$	84

The following table provides a summary of the changes in the carrying amount of accumulated other comprehensive (loss)/income, net of tax, by component attributable to The Kraft Heinz Company:



	Foreign currency translation adjustments			Net pension and post retirement benefit			Net cash flow hedges			Total
	(In millions)
Balance as of December 28, 2014	(574		)	61			(61		)	(574		)
Foreign currency translation adjustments	(420		)	—			—			(420		)
Net deferred gains/(losses) on net investment hedges	226			—			—			226
Net pension and post-retirement benefit (losses)/gains	—			(19		)	—			(19		)
Reclassification of net pension and post-retirement benefit losses(gains) to earnings	—			7			—			7
Net deferred (losses)/gains on cash flow hedges from periodic revaluations	—			—			(77		)	(77		)
Net deferred losses/(gains) on cash flow hedges reclassified to earnings	—			—			138			138
Net current-period other comprehensive (loss)/income	(194		)	(12		)	61			(145		)
Balance as of June 28, 2015	$	(768	)	$	49		$	—		$	(719	)

The following tables present the affected earnings line for reclassifications out of accumulated other comprehensive income/(loss), net of tax, by component attributable to The Kraft Heinz Company for the three and six months ended June 28, 2015 and June 29, 2014, respectively:



Accumulated other comprehensive (loss)/income component	Reclassified from accumulated other comprehensive (loss)/income to earnings						Line affected by reclassification
	Three Months Ended June 28, 2015			Three Months Ended June 29, 2014
	(In millions)
(Losses)/gains on cash flow hedges:
Foreign exchange contracts	$	(1	)	$	(1	)	Sales
Foreign exchange contracts	11			4			Cost of products sold
Interest rate swap contracts	(233		)	—			Interest expense
	(223		)	3			(Losses)/gains in income before income taxes
	86			(2		)	Benefit from/(provision for) income taxes
	$	(137	)	$	1		(Losses)/gains in net (loss)/income
(Losses)/gains on pension and post retirement benefit:
Amortization of unrecognized (losses)/gains	$	(1	)	$	—		(a)
Prior service (cost)/credit	2			2			(a)
Settlement loss	(11		)	—			(a)
	(10		)	2			(Losses)/gains in income before income taxes
	2			(1		)	Benefit from/(provision for) income taxes
	$	(8	)	$	1		(Losses)/gains in net (loss)/income



Accumulated other comprehensive (loss)/income component	Reclassified from accumulated other comprehensive (loss)/income to earnings						Line affected by reclassification
	Six Months Ended June 28, 2015			Six Months Ended June 29, 2014
	(In millions)
(Losses)/gains on cash flow hedges:
Foreign exchange contracts	$	(2	)	$	(1	)	Sales
Foreign exchange contracts	16			9			Cost of products sold
Foreign exchange contracts	1			1			Other expense, net
Interest rate swap contracts	(237		)	—			Interest expense
	(222		)	9			(Losses)/gains in income before income taxes
	84			(5		)	Benefit from/(provision for) income taxes
	$	(138	)	$	4		(Losses)/gains in net income
(Losses)/gains on pension and post retirement benefit:
Amortization of unrecognized (losses)/gains	$	(2	)	$	—		(a)
Prior service credit/(cost)	3			3			(a)
Settlement loss	(11		)	—			(a)
	(10		)	3			(Losses)/gains in income before income taxes
	3			(1		)	Benefit from/(provision for) income taxes
	$	(7	)	$	2		(Losses)/gains in net income

______________________________________


(a)	As these components are included in the computation of net periodic pension and post retirement benefit costs refer to Note 9 for further details.