Hedging Transactions and Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 29, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The following table summarizes the notional values as of March 29, 2024 and March 31, 2023 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated OCI for the three-month periods ended March 29, 2024 and March 31, 2023 ($ in millions):


	Original Notional Amount		Notional Amount Outstanding		Gain (Loss) Recognized in OCI		Amounts Reclassified from OCI
For the Three-Month Period Ended March 29, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	55	$	—
Foreign currency denominated debt	4,129		4,129		134		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		23		(74)
Interest rate swaps	1,600		—		—		1
Total	$	13,604	$	10,429	$	212	$	(73)

For the Three-Month Period Ended March 31, 2023:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	(8)	$	—
Foreign currency denominated debt	5,832		5,832		(57)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		37		43
Interest rate swaps	1,600		—		—		1
Total	$	15,307	$	12,132	$	(28)	$	44

Schedule of Notional Amounts of Outstanding Derivative Positions


	Original Notional Amount		Notional Amount Outstanding		Gain (Loss) Recognized in OCI		Amounts Reclassified from OCI
For the Three-Month Period Ended March 29, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	55	$	—
Foreign currency denominated debt	4,129		4,129		134		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		23		(74)
Interest rate swaps	1,600		—		—		1
Total	$	13,604	$	10,429	$	212	$	(73)

For the Three-Month Period Ended March 31, 2023:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	(8)	$	—
Foreign currency denominated debt	5,832		5,832		(57)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		37		43
Interest rate swaps	1,600		—		—		1
Total	$	15,307	$	12,132	$	(28)	$	44

Schedule of Derivative and Non Derivative Instruments in Consolidated Condensed Balance Sheets

The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheets as follows ($ in millions):


	March 29, 2024		December 31, 2023
Derivative assets:

Other long-term assets	$	369	$	291




Nonderivative hedging instruments:
Notes payable and current portion of long-term debt	971		993
Long-term debt	3,158		3,270