Nature of Operations, Basis of Presentation and Change in Accounting Principle (Tables)

3 Months Ended

Mar. 31, 2016

Nature of Operations and Basis of Presentation [Abstract]

Schedule of Maximum Exposure to Loss from Variable Interest Entities

Our maximum exposure to loss from VIEs for which we are not the primary beneficiary was as follows:

(Millions of dollars)	March 31, 2016		December 31, 2015
Receivables - trade and other	$	31	$	19
Receivables - finance	463		466
Long-term receivables - finance	68		62
Other assets	34		35
Guarantees	192		175
Total	$	788	$	757

Schedule of Change in Accounting Principle

Following are the changes to financial statement line items as a result of the accounting principle change for the periods presented in the accompanying unaudited consolidated financial statements:

Consolidated Statement of Results of Operations
(Dollars in millions except per share data)
	Three Months Ended March 31, 2016							Three Months Ended March 31, 2015
	As Reported		Previous Accounting Method		Effect of Accounting Change			Recast		Previously Reported		Effect of Accounting Change
Cost of goods sold	$	6,822	$	6,881	$	(59	)	$	8,760	$	8,843	$	(83	)
Selling, general and administrative expenses	$	1,088	$	1,124	$	(36	)	$	1,249	$	1,318	$	(69	)
Research and development expenses	$	508	$	518	$	(10	)	$	524	$	546	$	(22	)
Other operating (income) expenses	$	397	$	397	$	—		$	317	$	318	$	(1	)
Total operating costs	$	8,967	$	9,072	$	(105	)	$	11,000	$	11,175	$	(175	)
Operating profit	$	494	$	389	$	105		$	1,702	$	1,527	$	175
Other income (expense)	$	—	$	4	$	(4	)	$	194	$	157	$	37
Consolidated profit before taxes	$	365	$	264	$	101		$	1,767	$	1,555	$	212
Provision for income taxes	$	92	$	61	$	31		$	521	$	443	$	78
Profit of consolidated companies	$	273	$	203	$	70		$	1,246	$	1,112	$	134
Profit of consolidated and affiliated companies	$	272	$	202	$	70		$	1,248	$	1,114	$	134
Profit	$	271	$	201	$	70		$	1,245	$	1,111	$	134
Profit per common share	$	0.46	$	0.34	$	0.12		$	2.06	$	1.84	$	0.22
Profit per common share - diluted	$	0.46	$	0.34	$	0.12		$	2.03	$	1.81	$	0.22

Consolidated Statement of Financial Position
(Dollars in millions)
	March 31, 2016
	As Reported			Previous Accounting Method			Effect of Accounting Change
Noncurrent deferred and refundable income taxes	$	2,486		$	2,476		$	10
Liability for postemployment benefits	$	8,600		$	8,581		$	19
Profit employed in the business	$	29,517		$	34,409		$	(4,892	)
Accumulated other comprehensive income (loss)	$	(1,493	)	$	(6,376	)	$	4,883
	December 31, 2015
	Recast			Previously Reported			Effect of Accounting Change
Profit employed in the business	$	29,246		$	34,208		$	(4,962	)
Accumulated other comprehensive income (loss)	$	(2,035	)	$	(6,997	)	$	4,962

Consolidated Statement of Cash Flow
(Millions of dollars)
	Three Months Ended March 31, 2016									Three Months Ended March 31, 2015
Cash flow from operating activities:	As Reported			Previous Accounting Method			Effect of Accounting Change			Recast			Previously Reported			Effect of Accounting Change
Profit of consolidated and affiliated companies	$	272		$	202		$	70		$	1,248		$	1,114		$	134
Adjustments for non-cash items: Other	$	269		$	265		$	4		$	(88	)	$	(51	)	$	(37	)
Other assets – net	$	(145	)	$	(176	)	$	31		$	365		$	288		$	77
Other liabilities – net	$	(153	)	$	(48	)	$	(105	)	$	(186	)	$	(12	)	$	(174	)