ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

9 Months Ended

Feb. 29, 2024

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

NOTE 9 — ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The changes in Accumulated other comprehensive income (loss), net of tax, were as follows:

(Dollars in millions)	FOREIGN CURRENCY TRANSLATION ADJUSTMENT(1)		CASH FLOW HEDGES		NET INVESTMENT HEDGES(1)		OTHER		TOTAL
Balance at November 30, 2023	$	(178)	$	242	$	115	$	(58)	$	121
Other comprehensive income (loss):
Other comprehensive gains (losses) before reclassifications(2)	(57)		150		—		4		97
Reclassifications to net income of previously deferred (gains) losses(2)	—		(100)		—		7		(93)
Total other comprehensive income (loss)	(57)		50		—		11		4
Balance at February 29, 2024	$	(235)	$	292	$	115	$	(47)	$	125

(1)The accumulated foreign currency translation adjustment and net investment hedge gains/losses related to an investment in a foreign subsidiary are reclassified to Net income upon sale or upon complete or substantially complete liquidation of the respective entity.

(2)Net of immaterial tax impact.

(Dollars in millions)	FOREIGN CURRENCY TRANSLATION ADJUSTMENT(1)		CASH FLOW HEDGES		NET INVESTMENT HEDGES(1)		OTHER		TOTAL
Balance at November 30, 2022	$	(392)	$	933	$	115	$	(97)	$	559
Other comprehensive income (loss):
Other comprehensive gains (losses) before reclassifications(2)	150		(179)		—		—		(29)
Reclassifications to net income of previously deferred (gains) losses(2)	3		(254)		—		23		(228)
Total other comprehensive income (loss)	153		(433)		—		23		(257)
Balance at February 28, 2023	$	(239)	$	500	$	115	$	(74)	$	302

(1)The accumulated foreign currency translation adjustment and net investment hedge gains/losses related to an investment in a foreign subsidiary are reclassified to Net income upon sale or upon complete or substantially complete liquidation of the respective entity.

(2)Net of immaterial tax impact.

(Dollars in millions)	FOREIGN CURRENCY TRANSLATION ADJUSTMENT(1)		CASH FLOW HEDGES		NET INVESTMENT HEDGES(1)		OTHER		TOTAL
Balance at May 31, 2023	$	(253)	$	431	$	115	$	(62)	$	231
Other comprehensive income (loss):
Other comprehensive gains (losses) before reclassifications(2)	16		175		—		15		206
Reclassifications to net income of previously deferred (gains) losses(2)	2		(314)		—		—		(312)
Total other comprehensive income (loss)	18		(139)		—		15		(106)
Balance at February 29, 2024	$	(235)	$	292	$	115	$	(47)	$	125

(1)The accumulated foreign currency translation adjustment and net investment hedge gains/losses related to an investment in a foreign subsidiary are reclassified to Net income upon sale or upon complete or substantially complete liquidation of the respective entity.

(2)Net of immaterial tax impact.

(Dollars in millions)	FOREIGN CURRENCY TRANSLATION ADJUSTMENT(1)		CASH FLOW HEDGES		NET INVESTMENT HEDGES(1)		OTHER		TOTAL
Balance at May 31, 2022	$	(520)	$	779	$	115	$	(56)	$	318
Other comprehensive income (loss):
Other comprehensive gains (losses) before reclassifications(2)	(77)		399		—		(27)		295
Reclassifications to net income of previously deferred (gains) losses(2)	358		(678)		—		9		(311)
Total other comprehensive income (loss)	281		(279)		—		(18)		(16)
Balance at February 28, 2023	$	(239)	$	500	$	115	$	(74)	$	302

(1)The accumulated foreign currency translation adjustment and net investment hedge gains/losses related to an investment in a foreign subsidiary are reclassified to Net income upon sale or upon complete or substantially complete liquidation of the respective entity.

(2)Net of immaterial tax impact.

The following table summarizes the reclassifications from Accumulated other comprehensive income (loss) to the Unaudited Condensed Consolidated Statements of Income:

	AMOUNT OF GAIN (LOSS) RECLASSIFIED FROM ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) INTO INCOME								LOCATION OF GAIN (LOSS) RECLASSIFIED FROM ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) INTO INCOME
	THREE MONTHS ENDED				NINE MONTHS ENDED
(Dollars in millions)	FEBRUARY 29, 2024		FEBRUARY 28, 2023		FEBRUARY 29, 2024		FEBRUARY 28, 2023
Gains (losses) on foreign currency translation adjustment	$	—	$	(3)	$	(2)	$	(374)	Other (income) expense, net
Total before tax	—		(3)		(2)		(374)
Tax (expense) benefit	—		—		—		16
Gain (loss) net of tax	—		(3)		(2)		(358)
Gains (losses) on cash flow hedges:
Foreign exchange forwards and options	(10)		14		(7)		9		Revenues
Foreign exchange forwards and options	70		182		221		464		Cost of sales
Foreign exchange forwards and options	1		(1)		1		(4)		Demand creation expense
Foreign exchange forwards and options	52		90		138		297		Other (income) expense, net
Interest rate swaps	(2)		(2)		(6)		(6)		Interest expense (income), net
Total before tax	111		283		347		760
Tax (expense) benefit	(11)		(29)		(33)		(82)
Gain (loss) net of tax	100		254		314		678
Gains (losses) on other	(9)		(32)		1		(12)		Other (income) expense, net
Total before tax	(9)		(32)		1		(12)
Tax (expense) benefit	2		9		(1)		3
Gain (loss) net of tax	(7)		(23)		—		(9)
Total net gain (loss) reclassified for the period	$	93	$	228	$	312	$	311