DERIVATIVES AND HEDGING TRANSACTIONS (Tables)

9 Months Ended

Sep. 30, 2022

DERIVATIVES AND HEDGING TRANSACTIONS

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

	Derivative Assets				Derivative Liabilities
	September 30		December 31		September 30		December 31
(millions)	2022		2021		2022		2021
Derivatives designated as hedging instruments
Foreign currency forward contracts		$130.4		$44.7		$6.5		$2.6
Interest rate swap agreements		-		1.8		192.6		10.1
Cross-currency swap derivative contracts		86.6		9.4		-		1.6
Derivatives not designated as hedging instruments
Foreign currency forward contracts		76.8		49.8		32.9		10.0
Gross value of derivatives		293.8		105.7		232.0		24.3
Gross amounts offset in the Consolidated Balance Sheets		(58.4)		(14.9)		(58.4)		(14.9)
Net value of derivatives		$235.4		$90.8		$173.6		$9.4

Summary of notional values of outstanding derivatives

	Notional Values
		September 30	December 31
(millions)		2022	2021
Foreign currency forward contracts		$ 4,304		$ 4,059
Interest rate swap agreements		1,500		1,250
Cross-currency swap derivative contracts		427		482

Schedule of amounts on the Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges

	Carrying amount of the hedged liabilities				Cumulative amount of the fair value hedging adjustment included in the carrying amount of the hedged liabilities
	Third Quarter Ended				Third Quarter Ended
Line item in which the hedged item is included	September 30				September 30
(millions)	2022		2021		2022		2021
Long-term debt		$1,305.6		$745.9		($196.7)		($5.2)

Revaluation gains and losses on euro notes and cross-currency swap derivative

	Third Quarter Ended				Nine Months Ended
	September 30				September 30
(millions)	2022		2021		2022		2021
Revaluation gain (loss), net of tax:
Euronotes		$59.8		$36.7		$112.6		$10.3
Cross-currency swap derivative contracts		22.9		(1.5)		60.4		(1.5)
Total revaluation gain (loss), net of tax		$82.7		$35.2		$173.0		$8.8

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

	Third Quarter Ended
	September 30
	2022				2021
(millions)		COS	SG&A	Interest		COS	SG&A	Interest
Gain (loss) on derivatives in cash flow hedging relationship:
Foreign currency forward contracts
Amount of gain (loss) reclassified from AOCI to income		$2.7	$52.7	$-		($4.6)	$42.1	$-
Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value		-	-	3.3		-	-	5.1
Interest rate swap agreements
Amount of gain (loss) reclassified from AOCI to income		-	-	(0.6)		-	-	(0.6)
Gain (loss) on derivatives not designated as hedging instruments:
Foreign currency forward contracts
Amount of gain (loss) recognized in income		-	49.6	-		-	22.8	-
Total gain (loss) of all derivative instruments		$2.7	$102.3	$2.7		($4.6)	$64.9	$4.5
	Nine Months Ended
	September 30
	2022				2021
(millions)		COS	SG&A	Interest		COS	SG&A	Interest
Gain (loss) on derivatives in cash flow hedging relationship:
Foreign currency forward contracts
Amount of gain (loss) reclassified from AOCI to income		$3.5	$104.8	$-		($9.2)	$4.7	$-
Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value		-	-	11.0		-	-	16.4
Interest rate swap agreements
Amount of gain (loss) reclassified from AOCI to income		-	-	(1.8)		-	-	(1.8)
Gain (loss) on derivatives not designated as hedging instruments:
Foreign currency forward contracts
Amount of gain (loss) recognized in income		-	98.0	-		-	28.6	-
Total gain (loss) of all derivative instruments		$3.5	$202.8	$9.2		($9.2)	$33.3	$14.6