Hedging Transactions and Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 26, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The following table summarizes the notional values as of September 26, 2025 and September 27, 2024 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 and nine-month periods ended September 26, 2025 and September 27, 2024 ($ in millions):


	Original Notional Amount		Notional Amount Outstanding		Gain (Loss) Recognized in OCI		Amounts Reclassified from OCI
For the Three-Month Period Ended September 26, 2025:
Net investment hedges:
Cross-currency contracts	$	3,875	$	2,500	$	22	$	—
Foreign currency denominated debt	4,490		4,490		21		—
Cash flow hedges:
Cross-currency contracts	4,000		2,600		49		(1)
Interest rate swaps	1,600		—		—		1
Total	$	13,965	$	9,590	$	92	$	—

For the Three-Month Period Ended September 27, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	(97)	$	—
Foreign currency denominated debt	3,294		3,294		(185)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		(77)		140
Interest rate swaps	1,600		—		—		—
Total	$	12,769	$	9,594	$	(359)	$	140

For the Nine-Month Period Ended September 26, 2025:
Net investment hedges:
Cross-currency contracts	$	3,875	$	2,500	$	(234)	$	—
Foreign currency denominated debt	4,490		4,490		(405)		—
Cash flow hedges:
Cross-currency contracts	4,000		2,600		(112)		328
Interest rate swaps	1,600		—		—		2
Total	$	13,965	$	9,590	$	(751)	$	330

For the Nine-Month Period Ended September 27, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	10	$	—
Foreign currency denominated debt	3,294		3,294		(3)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		1		41
Interest rate swaps	1,600		—		—		2
Total	$	12,769	$	9,594	$	8	$	43

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 September 26, 2025:
Net investment hedges:
Cross-currency contracts	$	3,875	$	2,500	$	22	$	—
Foreign currency denominated debt	4,490		4,490		21		—
Cash flow hedges:
Cross-currency contracts	4,000		2,600		49		(1)
Interest rate swaps	1,600		—		—		1
Total	$	13,965	$	9,590	$	92	$	—

For the Three-Month Period Ended September 27, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	(97)	$	—
Foreign currency denominated debt	3,294		3,294		(185)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		(77)		140
Interest rate swaps	1,600		—		—		—
Total	$	12,769	$	9,594	$	(359)	$	140

For the Nine-Month Period Ended September 26, 2025:
Net investment hedges:
Cross-currency contracts	$	3,875	$	2,500	$	(234)	$	—
Foreign currency denominated debt	4,490		4,490		(405)		—
Cash flow hedges:
Cross-currency contracts	4,000		2,600		(112)		328
Interest rate swaps	1,600		—		—		2
Total	$	13,965	$	9,590	$	(751)	$	330

For the Nine-Month Period Ended September 27, 2024:
Net investment hedges:
Cross-currency contracts	$	3,875	$	3,000	$	10	$	—
Foreign currency denominated debt	3,294		3,294		(3)		—
Cash flow hedges:
Cross-currency contracts	4,000		3,300		1		41
Interest rate swaps	1,600		—		—		2
Total	$	12,769	$	9,594	$	8	$	43

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):


	September 26, 2025		December 31, 2024
Derivative assets:

Other long-term assets	$	129	$	415

Derivative liabilities:
Accrued expenses and other liabilities	44		—

Nonderivative hedging instruments:

Long-term debt	4,490		3,042