Accumulated Other Comprehensive Loss

3 Months Ended

Mar. 31, 2022

The following table presents changes, net of tax, in each component of accumulated other comprehensive loss.



($ in millions)	Unrealized gains (losses) on investment securities (a)		Translation adjustments and net investment hedges (b)		Cash flow hedges (b)		Defined benefit pension plans		Accumulated other comprehensive income (loss)






Balance at January 1, 2021	$	640	$	19	$	82	$	(110)	$	631
Net change	(587)		1		(17)		(1)		(604)
Balance at March 31, 2021	$	53	$	20	$	65	$	(111)	$	27
Balance at January 1, 2022	$	(95)	$	19	$	35	$	(117)	$	(158)
Net change	(1,631)		1		(5)		2		(1,633)
Balance at March 31, 2022 (c)	$	(1,726)	$	20	$	30	$	(115)	$	(1,791)

(a)Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio.

(b)For additional information on derivative instruments and hedging activities, refer to Note 19.

(c)The valuation of our defined benefit plan reflects our current intention to terminate our qualified defined benefit plan in the future. Upon termination and settlement, the unrealized loss and associated tax effects related to our qualified defined benefit pension plan recorded in accumulated other comprehensive income would be recognized in net income from continuing operations of our Condensed Consolidated Statement of Comprehensive Income.

The following tables present the before- and after-tax changes in each component of accumulated other comprehensive loss.


Three months ended March 31, 2022 ($ in millions)	Before tax			Tax effect			After tax
Investment securities
Net unrealized losses arising during the period	$	(2,120)		$	503		$	(1,617)
Less: Net realized gains reclassified to income from continuing operations	18		(a)	(4)		(b)	14

Net change	(2,138)			507			(1,631)
Translation adjustments
Net unrealized gains arising during the period	3			—			3



Net investment hedges (c)
Net unrealized losses arising during the period	(3)			1			(2)



Cash flow hedges (c)

Less: Net realized gains reclassified to income from continuing operations	6		(d)	(1)		(b)	5


Defined benefit pension plans
Net unrealized gains arising during the period	2			—			2



Other comprehensive loss	$	(2,142)		$	509		$	(1,633)

(a)Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income.

(b)Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income.

(c)For additional information on derivative instruments and hedging activities, refer to Note 19.

(d)Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income.


Three months ended March 31, 2021 ($ in millions)	Before tax			Tax effect			After tax
Investment securities
Net unrealized losses arising during the period	$	(736)		$	174		$	(562)
Less: Net realized gains reclassified to income from continuing operations	32		(a)	(7)		(b)	25
Net change	(768)			181			(587)
Translation adjustments
Net unrealized gains arising during the period	3			(1)			2
Net investment hedges (c)
Net unrealized losses arising during the period	(2)			1			(1)
Cash flow hedges (c)

Less: Net realized gains reclassified to income from continuing operations	21		(d)	(4)		(b)	17

Defined benefit pension plans
Net unrealized losses arising during the period	(2)			1			(1)
Other comprehensive loss	$	(790)		$	186		$	(604)

(a)Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income.

(b)Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income.

(c)For additional information on derivative instruments and hedging activities, refer to Note 19.

(d)Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income.