XML 43 R33.htm IDEA: XBRL DOCUMENT v3.22.2.2
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

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Derivative Assets

Derivative Liabilities

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September 30

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December 31

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September 30

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December 31

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(millions)

    

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2022

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2021

    

2022

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2021

 

Derivatives designated as hedging instruments

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Foreign currency forward contracts

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$130.4

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$44.7

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$6.5

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$2.6

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Interest rate swap agreements

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-

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1.8

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192.6

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10.1

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Cross-currency swap derivative contracts

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86.6

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9.4

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-

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1.6

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Derivatives not designated as hedging instruments

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Foreign currency forward contracts

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76.8

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49.8

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32.9

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10.0

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Gross value of derivatives

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293.8

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105.7

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232.0

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24.3

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Gross amounts offset in the Consolidated Balance Sheets

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(58.4)

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(14.9)

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(58.4)

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(14.9)

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Net value of derivatives

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$235.4

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$90.8

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$173.6

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$9.4

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Summary of notional values of outstanding derivatives

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Notional Values

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September 30

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December 31

(millions)

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2022

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2021

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Foreign currency forward contracts

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$ 4,304

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$ 4,059

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Interest rate swap agreements

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1,500

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1,250

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Cross-currency swap derivative contracts

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427

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482

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

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Carrying amount of the hedged liabilities

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Cumulative amount of the fair value hedging adjustment included in the carrying amount of the hedged liabilities

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Third Quarter Ended 

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Third Quarter Ended 

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Line item in which the hedged item is included

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September 30

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September 30

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(millions)

    

2022

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2021

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2022

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2021

    

Long-term debt

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$1,305.6

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$745.9

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($196.7)

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($5.2)

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

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Third Quarter Ended 

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Nine Months Ended 

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September 30

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September 30

(millions)

    

2022

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2021

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2022

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2021

 

Revaluation gain (loss), net of tax:

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Euronotes

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$59.8

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$36.7

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$112.6

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$10.3

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Cross-currency swap derivative contracts

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22.9

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(1.5)

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60.4

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(1.5)

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Total revaluation gain (loss), net of tax

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$82.7

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$35.2

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$173.0

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$8.8

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

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Third Quarter Ended 

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September 30

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2022

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2021

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(millions)

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COS

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SG&A

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Interest

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COS

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SG&A

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Interest

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Gain (loss) on derivatives in cash flow hedging relationship:

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Foreign currency forward contracts

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Amount of gain (loss) reclassified from AOCI to income

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$2.7

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$52.7

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$-

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($4.6)

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$42.1

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$-

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Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value

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-

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-

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3.3

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-

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-

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5.1

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Interest rate swap agreements

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Amount of gain (loss) reclassified from AOCI to income

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-

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-

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(0.6)

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-

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-

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(0.6)

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Gain (loss) on derivatives not designated as hedging instruments:

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Foreign currency forward contracts

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Amount of gain (loss) recognized in income

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-

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49.6

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-

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-

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22.8

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-

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Total gain (loss) of all derivative instruments

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$2.7

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$102.3

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$2.7

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($4.6)

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$64.9

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$4.5

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Nine Months Ended 

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September 30

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2022

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2021

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(millions)

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COS

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SG&A

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Interest

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COS

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SG&A

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Interest

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Gain (loss) on derivatives in cash flow hedging relationship:

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Foreign currency forward contracts

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Amount of gain (loss) reclassified from AOCI to income

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$3.5

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$104.8

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$-

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($9.2)

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$4.7

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$-

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Amount excluded from the assessment of effectiveness recognized in earnings based on changes in fair value

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-

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-

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11.0

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-

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-

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16.4

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Interest rate swap agreements

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Amount of gain (loss) reclassified from AOCI to income

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-

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-

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(1.8)

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-

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-

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(1.8)

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Gain (loss) on derivatives not designated as hedging instruments:

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Foreign currency forward contracts

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Amount of gain (loss) recognized in income

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-

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98.0

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-

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-

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28.6

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-

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Total gain (loss) of all derivative instruments

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$3.5

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$202.8

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$9.2

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($9.2)

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$33.3

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$14.6

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