Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table is a summary of the notional amount and fair value of derivatives outstanding at March 31, 2020 and December 31, 2019 for consolidated subsidiaries:

					Fair Value
	Notional Amounts				Assets (a)				Liabilities (a)
(Millions of dollars)	March 31, 2020		December 31, 2019		March 31, 2020		December 31, 2019		March 31, 2020		December 31, 2019
Derivatives Not Designated as Hedging Instruments:
Currency contracts:
Balance sheet items	$	6,896	$	7,936	$	64	$	62	$	109	$	37
Forecasted transactions	580		748		16		14		32		15
Cross-currency interest rate swaps	994		1,029		102		35		44		40
Commodity contracts	N/A		N/A		—		—		3		—
Total	$	8,470	$	9,713	$	182	$	111	$	188	$	92
Derivatives Designated as Hedging Instruments:
Currency contracts:
Balance sheet items	$	—	$	27	$	—	$	2	$	—	$	3
Forecasted transactions	136		464		13		9		24		3
Commodity contracts	N/A		N/A		—		6		14		1
Interest rate swaps	1,865		1,908		51		39		—		—
Total Hedges	$	2,001	$	2,399	$	64	$	56	$	38	$	7
Total Derivatives	$	10,471	$	12,112	$	246	$	167	$	226	$	99

(a)

Current assets of $104 million are recorded in prepaid and other current assets; long-term assets of $142 million are recorded in other long-term assets; current liabilities of $167 million are recorded in other current liabilities; and long-term liabilities of $59 million are recorded in other long-term liabilities.

Schedule of Derivative Instruments Not Designated as Hedging Instruments Table

The following table summarizes the impact of the company’s derivatives on the consolidated statements of income:

	Amount of Pre-Tax Gain (Loss) Recognized in Earnings *
	Quarter Ended March 31,
(Millions of dollars)	2020			2019
Derivatives Not Designated as Hedging Instruments
Currency contracts:
Balance sheet items
Debt-related	$	(5	)	$	194
Other balance sheet items	(41		)	(2		)
Total	$	(46	)	$	192

* The gains (losses) on balance sheet items are offset by gains (losses) recorded on the underlying hedged assets and liabilities. Accordingly, the gains (losses) for the derivatives and the underlying hedged assets and liabilities related to debt items are recorded in the consolidated statements of income as interest expense-net. Other balance sheet items and anticipated net income gains (losses) are generally recorded in the consolidated statements of income as other income (expenses)-net.