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Derivative Instruments and Hedging Activities
 6 Months Ended
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities
Our risk management and derivative accounting policies are presented within Part II.—Item 8. Financial Statements, Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" and Note 10, "Derivative Instruments and Hedging Activities" in our Annual Report and did not significantly change during the six months ended June 30, 2024. As noted in Part II.—Item 8. Financial Statements, Note 10, "Derivative Instruments and Hedging Activities" in our Annual Report, due to the nature of our counterparty agreements, and the fact that we are not subject to master netting arrangements, we are not able to net positions with the same counterparty and, therefore, present our derivative positions on a gross basis in our unaudited condensed consolidated balance sheets. Except as noted below, our significant derivative positions have not changed considerably since December 31, 2023.
Net Investment Hedges
On May 29, 2024, concurrent with the issuance of the EUR 2032 Notes, we designated the principal of the notes as a non-derivative net investment hedge of our investment in a EUR functional currency subsidiary in order to hedge a portion of the related foreign currency translational impacts. Accordingly, we will record the changes in the carrying value of the EUR 2032 Notes due to fluctuations in the spot rate to AOCI. See Note 7, "Debt" for further discussion of the EUR 2032 Notes.
Additionally, on May 29, 2024, we de-designated the principal of the EUR 800 million 1.25% notes and as a result, the associated net investment hedge was discontinued. The accumulated gains and losses associated with the settled net investment hedge will remain in AOCI until a liquidation or deconsolidation event at which point the accumulated gains and losses will be reclassified into earnings.
Foreign Currency Forwards
In the second quarter of 2023, we entered into approximately CAD 260 million (approximately 195 million USD) of foreign exchange forward contracts to manage our exposure to foreign currency fluctuations related to the repayment of our CAD 500 million 2.84% notes that matured on July 15, 2023. These contracts were not designated in hedge accounting relationships and, as such, changes in the fair value were recorded in other non-operating income (expense), net in the unaudited condensed consolidated statements of operations. These contracts settled on July 12, 2023 for an immaterial amount in advance of the notes being repaid.
Derivative Fair Value Measurements
We utilize market approaches to estimate the fair value of our derivative instruments by discounting anticipated future cash flows derived from the derivative's contractual terms and observable market interest, foreign exchange and commodity rates. The fair values of our derivatives also include credit risk adjustments to account for our counterparties' credit risk, as well as our own non-performance risk, as appropriate.
The table below summarizes our derivative assets (liabilities) that were measured at fair value as of June 30, 2024 and December 31, 2023. The fair value for all derivative contracts as of June 30, 2024 and December 31, 2023 were valued using significant other observable inputs, which are Level 2 inputs.
 As of
 June 30, 2024December 31, 2023
 (In millions)
Forward starting interest rate swaps$75.0 $41.6 
Foreign currency forwards3.2 (1.4)
Commodity swaps and options(0.6)(30.4)
Total$77.6 $9.8 
As of June 30, 2024 and December 31, 2023, we had no significant transfers between Level 1 and Level 2. New derivative contracts transacted during the six months ended June 30, 2024 were all included in Level 2.
Results of Period Derivative Activity
The tables below include the results of our derivative activity in our unaudited condensed consolidated balance sheets as of June 30, 2024 and December 31, 2023, and our unaudited condensed consolidated statements of operations for the three months and six months ended June 30, 2024 and June 30, 2023.
Fair Value of Derivative Instruments in the Unaudited Condensed Consolidated Balance Sheets (in millions):
 As of June 30, 2024
  Derivative AssetsDerivative Liabilities
 Notional amountBalance sheet locationFair valueBalance sheet locationFair value
Derivatives designated as hedging instruments
Forward starting interest rate swaps$1,000.0 Other non-current assets$75.0 Other liabilities $— 
Foreign currency forwards$270.9 Other current assets2.6 Accounts payable and other current liabilities— 
 Other non-current assets0.7 Other liabilities (0.1)
Total derivatives designated as hedging instruments$78.3  $(0.1)
Derivatives not designated as hedging instruments
Commodity swaps(1)
$602.0 Other current assets$16.8 Accounts payable and other current liabilities$(22.4)

Other non-current assets7.5 Other liabilities (2.5)
Commodity options(1)
$21.7 Other current assets0.2 Accounts payable and other current liabilities(0.2)
Total derivatives not designated as hedging instruments$24.5  $(25.1)
 As of December 31, 2023
  Derivative AssetsDerivative Liabilities
 Notional amountBalance sheet locationFair valueBalance sheet locationFair value
Derivatives designated as hedging instruments
Forward starting interest rate swaps$1,000.0 Other non-current assets$41.6 Other liabilities$— 
Foreign currency forwards$219.4 Other current assets1.1 Accounts payable and other current liabilities(1.2)
Other non-current assets— Other liabilities(1.3)
Total derivatives designated as hedging instruments$42.7 $(2.5)
Derivatives not designated as hedging instruments
Commodity swaps(1)
$653.5 Other current assets$11.1 Accounts payable and other current liabilities$(42.0)
Other non-current assets6.6 Other liabilities(6.1)
Commodity options(1)
$21.7 Other current assets0.2 Accounts payable and other current liabilities(0.2)
Total derivatives not designated as hedging instruments$17.9 $(48.3)
(1)Notional includes offsetting buy and sell positions, shown in terms of absolute value. Buy and sell positions are shown gross in the asset and/or liability position, as appropriate.
The Pretax Effect of Cash Flow Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions):
Derivatives in cash flow hedge relationshipsAmount of gain
(loss) recognized
in OCI on derivatives		Location of gain (loss)
reclassified from AOCI into
income		Amount of gain
(loss) recognized
from AOCI into income on
derivative
Three Months Ended June 30, 2024
Forward starting interest rate swaps$12.3 Interest income (expense), net$(0.9)
Foreign currency forwards1.8 Cost of goods sold1.3 
Other non-operating income (expense), net(0.3)
Total$14.1 $0.1 
Three Months Ended June 30, 2023
Forward starting interest rate swaps$13.7 Interest income (expense), net$(1.0)
Foreign currency forwards(4.7)Cost of goods sold1.2 
Other non-operating income (expense), net(0.3)
Total$9.0 $(0.1)

Derivatives in cash flow hedge relationshipsAmount of gain
(loss) recognized
in OCI on derivatives		Location of gain (loss)
reclassified from AOCI into
income		Amount of gain
(loss) recognized
from AOCI into income on
derivative
Six Months Ended June 30, 2024
Forward starting interest rate swaps$33.4 Interest income (expense), net$(1.7)
Foreign currency forwards6.3 Cost of goods sold2.1 
Other non-operating income (expense), net(0.4)
Total$39.7 $— 
Six Months Ended June 30, 2023
Forward starting interest rate swaps$(10.7)Interest income (expense), net$(3.5)
Foreign currency forwards(4.8)Cost of goods sold2.7 
Other non-operating income (expense), net(0.5)
Total$(15.5)$(1.3)
The Pretax Effect of Net Investment Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions):
Net investment hedge relationshipsAmount of gain
(loss) recognized
in OCI		Location of gain (loss) recognized in income (amount excluded from effectiveness testing)
Amount of gain (loss) recognized in income (amount excluded from effectiveness testing) (1)
Three Months Ended June 30, 2024
EUR 800 million notes due 2024
$(5.4)Other non-operating income (expense), net$— 
EUR 800 million notes due 2032
11.5 Other non-operating income (expense), net— 
Total$6.1 $— 
Three Months Ended June 30, 2023
EUR 800 million notes due 2024
$(5.6)Other non-operating income (expense), net$— 
Net investment hedge relationshipsAmount of gain
(loss) recognized
in OCI		Location of gain (loss) recognized in income (amount excluded from effectiveness testing)
Amount of gain (loss) recognized in income (amount excluded from effectiveness testing)(1)
Six Months Ended June 30, 2024
EUR 800 million notes due 2024
$14.5 Other non-operating income (expense), net$— 
EUR 800 million notes due 2032
11.5 Other non-operating income (expense), net— 
Total$26.0 $— 
Six Months Ended June 30, 2023
EUR 800 million notes due 2024
$(16.3)Other non-operating income (expense), net$— 
(1)Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and period amortization is recorded in OCI.
The cumulative translation adjustments related to our net investment hedges remain in AOCI until the respective underlying net investment is sold or liquidated. During the three and six months ended June 30, 2024 and June 30, 2023, respectively, we did not reclassify any amounts related to net investment hedges from AOCI into earnings.
As of June 30, 2024, we expect net losses of approximately $1 million (pretax) recorded in AOCI will be reclassified into earnings within the next 12 months. For derivatives designated in cash flow hedge relationships, the maximum length of time over which forecasted transactions are hedged as of June 30, 2024 is approximately 3 years.
The Effect of Derivatives Not Designated as Hedging Instruments on the Unaudited Condensed Consolidated Statements of Operations (in millions):
Derivatives not in hedging relationshipsLocation of gain (loss) recognized in
income on derivatives		Amount of gain (loss) recognized in
income on derivatives
Three Months Ended June 30, 2024
Commodity swapsCost of goods sold$17.5 
Three Months Ended June 30, 2023
Commodity swapsCost of goods sold$(51.1)
Foreign currency forwardsOther non-operating income (expense), net1.9 
Total$(49.2)
Derivatives not in hedging relationshipsLocation of gain (loss) recognized in
income on derivatives		Amount of gain (loss) recognized in
income on derivatives
Six Months Ended June 30, 2024
Commodity swapsCost of goods sold$2.3 
Six Months Ended June 30, 2023
Commodity swapsCost of goods sold$(79.6)
Foreign currency forwardsOther non-operating income (expense), net1.9 
Total$(77.7)