Financial Instruments (Tables)

9 Months Ended

Jun. 25, 2022

Investments, All Other Investments [Abstract]

Cash, Cash Equivalents and Marketable Securities by Significant Investment Category

The following tables show the Company’s cash, cash equivalents and marketable securities by significant investment category as of June 25, 2022 and September 25, 2021 (in millions):

	June 25, 2022
	Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities
Cash	$	12,852	$	—	$	—	$	12,852	$	12,852	$	—	$	—
Level 1 (1):
Money market funds	10,970		—		—		10,970		10,970		—		—
Mutual funds	252		—		(32)		220		—		220		—
Subtotal	11,222		—		(32)		11,190		10,970		220		—
Level 2 (2):
U.S. Treasury securities	25,296		—		(1,328)		23,968		91		3,511		20,366
U.S. agency securities	5,805		—		(511)		5,294		4		240		5,050
Non-U.S. government securities	17,597		6		(1,023)		16,580		—		6,336		10,244
Certificates of deposit and time deposits	3,928		—		—		3,928		3,374		504		50
Commercial paper	966		—		—		966		209		757		—
Corporate debt securities	88,912		15		(6,455)		82,472		2		8,738		73,732
Municipal securities	978		—		(26)		952		—		203		749
Mortgage- and asset-backed securities	23,058		—		(1,952)		21,106		—		220		20,886
Subtotal	166,540		21		(11,295)		155,266		3,680		20,509		131,077
Total (3)	$	190,614	$	21	$	(11,327)	$	179,308	$	27,502	$	20,729	$	131,077

	September 25, 2021
	Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities
Cash	$	17,305	$	—	$	—	$	17,305	$	17,305	$	—	$	—
Level 1 (1):
Money market funds	9,608		—		—		9,608		9,608		—		—
Mutual funds	175		11		(1)		185		—		185		—
Subtotal	9,783		11		(1)		9,793		9,608		185		—
Level 2 (2):
Equity securities	1,527		—		(564)		963		—		963		—
U.S. Treasury securities	22,878		102		(77)		22,903		3,596		6,625		12,682
U.S. agency securities	8,949		2		(64)		8,887		1,775		1,930		5,182
Non-U.S. government securities	20,201		211		(101)		20,311		390		3,091		16,830
Certificates of deposit and time deposits	1,300		—		—		1,300		490		810		—
Commercial paper	2,639		—		—		2,639		1,776		863		—
Corporate debt securities	83,883		1,242		(267)		84,858		—		12,327		72,531
Municipal securities	967		14		—		981		—		130		851
Mortgage- and asset-backed securities	20,529		171		(124)		20,576		—		775		19,801
Subtotal	162,873		1,742		(1,197)		163,418		8,027		27,514		127,877
Total (3)	$	189,961	$	1,753	$	(1,198)	$	190,516	$	34,940	$	27,699	$	127,877

(1)Level 1 fair value estimates are based on quoted prices in active markets for identical assets or liabilities.

(2)Level 2 fair value estimates are based on observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

(3)As of June 25, 2022 and September 25, 2021, total marketable securities included $14.1 billion and $17.9 billion, respectively, that were restricted from general use, related to the European Commission decision finding that Ireland granted state aid to the Company, and other agreements.

Non-Current Marketable Debt Securities by Contractual Maturity

The following table shows the fair value of the Company’s non-current marketable debt securities, by contractual maturity, as of June 25, 2022 (in millions):

Due after 1 year through 5 years	$	92,970
Due after 5 years through 10 years	19,317
Due after 10 years	18,790
Total fair value	$	131,077

Notional Amounts of Outstanding Derivative Instruments

The notional amounts of the Company’s outstanding derivative instruments as of June 25, 2022 and September 25, 2021 were as follows (in millions):

	June 25, 2022		September 25, 2021
Derivative instruments designated as accounting hedges:
Foreign exchange contracts	$	76,234	$	76,475
Interest rate contracts	$	20,775	$	16,875
Derivative instruments not designated as accounting hedges:
Foreign exchange contracts	$	84,506	$	126,918

Carrying Amounts of Hedged Items in Fair Value Hedges

The carrying amounts of the Company’s hedged items in fair value hedges as of June 25, 2022 and September 25, 2021 were as follows (in millions):

	June 25, 2022		September 25, 2021
Hedged assets/(liabilities):
Current and non-current marketable securities	$	14,250	$	15,954
Current and non-current term debt	$	(19,281)	$	(17,857)