Other Comprehensive Income (Tables)

3 Months Ended

Jan. 31, 2017

Schedule of Taxes Related to Other Comprehensive Income

Taxes related to Other Comprehensive Income


	Three months ended January 31
	2017			2016
	In millions
Taxes on change in net unrealized losses on available-for-sale securities:
Tax benefit on net unrealized losses arising during the period	$	—		$	1

		—			1

Taxes on change in net unrealized (losses) gains on cash flow hedges:
Tax (provision) benefit on net unrealized gains arising during the period		(1	)		3
Tax provision on net gains reclassified into earnings		—			2

		(1	)		5

Taxes on change in unrealized components of defined benefit plans:
Tax provision on gains arising during the period		(6	)		—
Tax provision on amortization of actuarial loss and prior service benefit		(2	)		(2	)
Tax provision on plans transferred to Parent during the period		(12	)		—
Tax benefit on plans transferred from Parent during the period		48			—

		28			(2	)

Tax benefit on other comprehensive income	$	27		$	4

Schedule of Changes and Reclassifications Related to Other Comprehensive Income, Net of Taxes

Changes and reclassifications related to Other Comprehensive Income, net of taxes


	Three months ended January 31
	2017			2016
	In millions
Change in net unrealized losses on available-for-sale securities:
Net unrealized losses arising during the period	$	(11	)	$	(6	)

		(11	)		(6	)

Change in net unrealized (losses) gains on cash flow hedges:
Net unrealized gains arising during the period		4			49
Net gains reclassified into earnings⁽¹⁾		(24	)		(19	)

		(20	)		30

Change in unrealized components of defined benefit plans:
Gains arising during the period		110			—
Amortization of actuarial loss and prior service benefit⁽²⁾		24			21
Plans transferred to Parent during the period		349			—
Plans transferred from Parent during the period		(321	)		—

		162			21
Change in cumulative translation adjustment		(2	)		(5	)

Other comprehensive income, net of taxes	$	129		$	40

⁽¹⁾	Reclassification of pre-tax net gains on cash flow hedges into the Condensed Combined Statements of Operations was as follows:


	Three months ended January 31
	2017			2016
	In millions
Net revenue	$	(23	)	$	(20	)
Cost of revenue		(1	)		(1	)

	$	(24	)	$	(21	)

⁽²⁾	These components are included in the computation of net pension benefit cost in Note 4, “Retirement and Post-Retirement Benefit Plans.”

Reclassification of Pre-tax Net (Losses) Gains on Cash Flow Hedges into Condensed Combined Statements of Operations

Reclassification of pre-tax net (losses) gains on cash flow hedges into the Condensed Combined Statements of Operations was as follows:


	Three months ended January 31
	2017			2016
	In millions
Net revenue	$	(23	)	$	(20	)
Cost of revenue		(1	)		(1	)

	$	(24	)	$	(21	)

Components of Accumulated Other Comprehensive Loss, Net of Taxes

The components of Accumulated other comprehensive loss, net of taxes as of January 31, 2017, and changes during the three months ended January 31, 2017 were as follows:


	Net unrealized gains (losses) on available-for-sale securities			Net unrealized gains (losses) on cash flow hedges			Unrealized components of defined benefit plans			Cumulative translation adjustment			Accumulated other comprehensive loss
	In millions
Balance at beginning of period	$	20		$	41		$	(1,970	)	$	(704	)	$	(2,613	)
Other comprehensive (loss) income before reclassifications		(11	)		4			110			(2	)		101
Reclassifications of (gains) losses into earnings		—			(24	)		24			—			—
Plans transferred to Parent during the period		—			—			349			—			349
Plans transferred from Parent during the period		—			—			(321	)		—			(321	)

Balance at end of period	$	9		$	21		$	(1,808	)	$	(706	)	$	(2,484	)