Financial Instruments (Tables)

3 Months Ended

Jan. 31, 2012

Financial Instruments

Cash Equivalents and Available-for-Sale Investments

	January 31, 2012									October 31, 2011
	Cost		Gross Unrealized Gain		Gross Unrealized Loss			Estimated Fair Value		Cost		Gross Unrealized Gain		Gross Unrealized Loss			Estimated Fair Value
	In millions
Cash Equivalents
Time deposits	$	3,173	$	—	$	—		$	3,173	$	5,112	$	—	$	—		$	5,112
Money market funds		2,063		—		—			2,063		236		—		—			236
Total cash equivalents		5,236		—		—			5,236		5,348		—		—			5,348
Available-for-Sale Investments
Debt securities:
Time deposits		8		—		—			8		8		—		—			8
Foreign bonds		305		65		—			370		317		66		—			383
Corporate bonds and other debt securities		72		—		(19	)		53		74		—		(21	)		53
Total debt securities		385		65		(19	)		431		399		66		(21	)		444
Equity securities in public companies		113		1		(60	)		54		114		4		—			118
Total cash equivalents and available-for-sale investments	$	5,734	$	66	$	(79	)	$	5,721	$	5,861	$	70	$	(21	)	$	5,910

Fair Value of Derivative Instruments in the Consolidated Condensed Balance Sheets

	As of January 31, 2012										As of October 31, 2011
	Gross Notional(1)		Other Current Assets		Long-term Financing Receivables and Other Assets		Other Accrued Liabilities		Other Liabilities		Gross Notional(1)		Other Current Assets		Long-term Financing Receivables and Other Assets		Other Accrued Liabilities		Other Liabilities
	In millions
Derivatives designated as hedging instruments
Fair value hedges:
Interest rate contracts	$	10,075	$	11	$	530	$	—	$	—	$	10,075	$	30	$	508	$	—	$	—
Cash flow hedges:
Foreign exchange contracts		20,706		435		56		210		88		21,666		192		30		324		126
Net investment hedges:
Foreign exchange contracts		1,642		11		11		49		36		1,556		7		4		44		56
Total derivatives designated as hedging instruments		32,423		457		597		259		124		33,297		229		542		368		182
Derivatives not designated as hedging instruments
Foreign exchange contracts		16,572		64		5		165		23		13,994		66		5		244		38
Interest rate contracts(2)		2,200		—		48		—		55		2,200		—		55		—		71
Other derivatives		384		12		8		—		—		410		25		6		—		1
Total derivatives not designated as hedging instruments		19,156		76		61		165		78		16,604		91		66		244		110
Total derivatives	$	51,579	$	533	$	658	$	424	$	202	$	49,901	$	320	$	608	$	612	$	292

(1)

Represents the face amounts of contracts that were outstanding as of January 31, 2012 and October 31, 2011, respectively.

(2)

Represents offsetting swaps acquired through previous business combinations that were not designated as hedging instruments.

Effect of Derivative Instruments on the Consolidated Condensed Statements of Earnings

	Gain (Loss) Recognized in Income on Derivative and Related Hedged Item
Derivative Instrument	Location	Three months ended January 31, 2012		Hedged Item	Location	Three months ended January 31, 2012
		In millions				In millions
Interest rate contracts	Interest and other, net	$	4	Fixed-rate debt	Interest and other, net	$	—

	Gain (Loss) Recognized in Income on Derivative and Related Hedged Item
Derivative Instrument	Location	Three months ended January 31, 2011			Hedged Item	Location	Three months ended January 31, 2011
		In millions					In millions
Interest rate contracts	Interest and other, net	$	(178	)	Fixed-rate debt	Interest and other, net	$	174

Gain (Loss) Recognized on Cash Flow and Net Investment Hedges

	Gain (Loss) Recognized in Other Comprehensive Income ("OCI") on Derivative (Effective Portion)			Gain (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion)				Gain Recognized in Income on Derivative (Ineffective portion and Amount Excluded from Effectiveness Testing)
	Three months ended January 31, 2012			Location	Three months ended January 31, 2012			Location	Three months ended January 31, 2012
	In millions				In millions				In millions
Cash flow hedges:
Foreign exchange contracts	$	427		Net revenue	$	88		Net revenue	$	—
Foreign exchange contracts		(8	)	Cost of products		16		Cost of products		—
Foreign exchange contracts		(3	)	Other operating expenses		(1	)	Other operating expenses		—
Foreign exchange contracts		(9	)	Net revenue		(5	)	Interest and other, net		—
Total cash flow hedges	$	407			$	98			$	—
Net investment hedges:
Foreign exchange contracts	$	25		Interest and other, net	$	—		Interest and other, net	$	—

	Gain (Loss) Recognized in OCI on Derivative (Effective Portion)			Gain (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion)				Gain Recognized in Income on Derivative (Ineffective portion and Amount Excluded from Effectiveness Testing)
	Three months ended January 31, 2011			Location	Three months ended January 31, 2011			Location	Three months ended January 31, 2011
	In millions				In millions				In millions
Cash flow hedges:
Foreign exchange contracts	$	100		Net revenue	$	(24	)	Net revenue	$	—
Foreign exchange contracts		(9	)	Cost of products		26		Cost of products		—
Foreign exchange contracts		(2	)	Other operating expenses		1		Other operating expenses		—
Foreign exchange contracts		16		Interest and other, net		7		Interest and other, net		—
Foreign exchange contracts		(13	)	Net revenue		4		Interest and other, net		2
Total cash flow hedges	$	92			$	14			$	2
Net investment hedges:
Foreign exchange contracts	$	(6	)	Interest and other, net	$	—		Interest and other, net	$	—

Gain (Loss) Recognized in Income on Derivatives Not Designated as Hedges

	Gain (Loss) Recognized in Income on Derivative
	Location	Three months ended January 31, 2012
		In millions
Foreign exchange contracts	Interest and other, net	$	(82	)
Other derivatives	Interest and other, net		(10	)
Interest rate contracts	Interest and other, net		10
Total		$	(82	)

	Gain (Loss) Recognized in Income on Derivative
	Location	Three months ended January 31, 2011
		In millions
Foreign exchange contracts	Interest and other, net	$	(77	)
Other derivatives	Interest and other, net		(2	)
Interest rate contracts	Interest and other, net		2
Total		$	(77	)