DERIVATIVES AND HEDGING TRANSACTIONS (Tables)

12 Months Ended

Dec. 31, 2016

DERIVATIVES AND HEDGING TRANSACTIONS

Gross fair value of the company's outstanding derivative assets and liabilities

	Asset Derivatives				Liability Derivatives
(millions)	2016		2015		2016		2015
Derivatives designated as hedging instruments
Foreign currency forward contracts		$ 73.4		$ 70.2		$ 19.8		$ 3.2
Interest rate swap agreements		-		-		3.5		5.4
Derivatives not designated as hedging instruments
Foreign currency forward contracts		20.0		41.0		26.9		32.7
Gross value of derivatives		93.4		111.2		50.2		41.3
Gross amounts offset in the Consolidated Balance Sheet		(25.7)		(9.8)		(25.7)		(9.8)
Net value of derivatives		$ 67.7		$ 101.4		$ 24.5		$ 31.5

Summary of notional values of outstanding derivatives

	Notional Values
(millions)	2016		2015
Foreign currency forward contracts		$ 4,317		$ 4,029
Interest rate agreements		$ 1,450		$ 1,675
Net investment hedge contracts (a)		€ 0		€ 25

(a) The net investment hedge contracts exclude the Company’s euro denominated debt.

Impact on AOCI and earnings from derivative contracts qualified as cash flow hedges

(millions)			2016		2015		2014
Unrealized gain (loss) recognized into AOCI
Foreign currency forward contracts	AOCI (equity)	AOCI (equity)		$ 7.0		$ 68.4		$ 26.7
Interest rate swap agreements	AOCI (equity)	AOCI (equity)		(9.3)		3.6		(22.1)
	Total	Total		(2.3)		72.0		4.6
(millions)
Gain (loss) recognized in income
Foreign currency forward contracts	Cost of sales	Cost of sales		23.0		30.9		6.1
	SG&A	SG&A		(0.1)		24.7		1.5
	Interest expense, net	Interest expense, net		5.8		2.9		-
	Subtotal	Total		28.7		58.5		7.6
Interest rate swap agreements	Interest expense, net	Interest expense, net		(6.6)		(5.5)		(4.1)
	Total	Total		$ 22.1		$ 53.0		$ 3.5

Impact on earnings from derivative contracts that qualified as fair value hedges

(millions)		2016		2015		2014
Gain (loss) on derivative recognized income
Interest rate swap	Interestexpense, net		$ (1.4)		$ 0.0		$ (2.1)
Gain (loss) on hedged item recognized income
Interest rate swap	Interest expense, net		$ 1.4		$ (0.0)		$ 2.1

Revaluation gains and losses on euronotes and forward contracts

(millions)	2016		2015		2014
Revaluation gains (losses), net of tax		$ (2.5)		$ 101.3		$ 34.7

Impact on earnings from derivative contracts not designated as hedging instruments

(millions)		2016		2015		2014
Gain (loss) recognized in income
Foreign currency forward contracts	SG&A		$ (6.0)		$ 15.9		$ 8.6
	Interestexpense, net		(8.4)		(8.6)		(9.0)
	Total		$ (14.4)		$ 7.3		$ (0.4)