Changes in Accumulated Other Comprehensive (Loss) Income (Tables)

9 Months Ended

Sep. 30, 2018

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Components of comprehensive income (loss), net of tax

AOCI is comprised of items that have not been recognized in earnings but may be recognized in earnings in the future when certain events occur. Changes in each component for the three and ninemonths endedSeptember 30, 2018 and 2017 were as follows:

Three Months Ended September 30, 2018 (Millions), net of tax	Net Unrealized Losses on Debt Securities		Foreign Currency Translation Adjustments		Net Unrealized Pension and Other Postretirement Benefit (Losses) Gains		Accumulated Other Comprehensive (Loss) Income
Balances as of June 30, 2018	$	(18)	$	(2,027)	$	(438)	$	(2,483)
Net unrealized losses		(11)		―		―		(11)
Net translation gains of investments in foreign operations		―		3		―		3
Net losses related to hedges of investments in foreign operations		―		(22)		―		(22)
Pension and other postretirement benefit		―		―		9		9
Net change in accumulated other comprehensive loss		(11)		(19)		9		(21)
Balances as of September 30, 2018	$	(29)	$	(2,046)	$	(429)	$	(2,504)
Nine Months Ended September 30, 2018 (Millions), net of tax	Net Unrealized Losses on Debt Securities		Foreign Currency Translation Adjustments		Net Unrealized Pension and Other Postretirement Benefit (Losses) Gains		Accumulated Other Comprehensive (Loss) Income
Balances as of December 31, 2017	$	―	$	(1,961)	$	(467)	$	(2,428)
Net unrealized losses		(31)		―		―		(31)
Net translation losses of investments in foreign operations		―		(221)		―		(221)
Net gains related to hedges of investments in foreign operations		―		136		―		136
Pension and other postretirement benefit		―		―		38		38
Other(a)		2		―		―		2
Net change in accumulated other comprehensive loss		(29)		(85)		38		(76)
Balances as of September 30, 2018	$	(29)	$	(2,046)	$	(429)	$	(2,504)

Represents unrealized gains pertaining to equity securities moved from AOCI to retained earnings as of January 1, 2018, due to the prospective adoption of the financial instruments guidance effective January 1, 2018 (refer to Note 1).

Three Months Ended September 30, 2017 (Millions), net of tax	Net Unrealized Gains (Losses) on Investment Securities		Foreign Currency Translation Adjustments		Net Unrealized Pension and Other Postretirement Benefit (Losses) Gains		Accumulated Other Comprehensive (Loss) Income
Balances as of June 30, 2017	$	13	$	(1,913)	$	(528)	$	(2,428)
Net unrealized losses		(2)		―		―		(2)
Decrease due to amounts reclassified into earnings		―		(1)		―		(1)
Net translation gain of investments in foreign operations		―		292		―		292
Net losses related to hedges of investments in foreign operations		―		(184)		―		(184)
Pension and other postretirement benefit		―		―		7		7
Net change in accumulated other comprehensive loss		(2)		107		7		112
Balances as of September 30, 2017	$	11	$	(1,806)	$	(521)	$	(2,316)
Nine Months Ended September 30, 2017 (Millions), net of tax	Net Unrealized Gains on Investment Securities		Foreign Currency Translation Adjustments		Net Unrealized Pension and Other Postretirement Benefit (Losses) Gains		Accumulated Other Comprehensive (Loss) Income
Balances as of December 31, 2016	$	7	$	(2,262)	$	(529)	$	(2,784)
Net unrealized gains		4		―		―		4
Decrease due to amounts reclassified into earnings		―		(1)		―		(1)
Net translation gain of investments in foreign operations(a)		―		972		―		972
Net losses related to hedges of investments in foreign operations		―		(515)		―		(515)
Pension and other postretirement benefit		―		―		8		8
Net change in accumulated other comprehensive loss		4		456		8		468
Balances as of September 30, 2017	$	11	$	(1,806)	$	(521)	$	(2,316)

Includes $289 million of tax benefits recognized in the nine months ended September 30, 2017.

Accumulated Other Comprehensive Loss Income - Tax Effect

The following table shows the tax impact for the three and nine months ended September 30 for the changes in each component of AOCI presented above:

	Tax (benefit) expense
		Three Months Ended September 30,			Nine Months Ended September 30,
(Millions)	2018		2017		2018		2017
Investment securities	$	(4)	$	(1)	$	(9)	$	2
Foreign currency translation adjustments(a)		8		(25)		(60)		(204)
Net investment hedges		(7)		(99)		46		(306)
Pension and other postretirement benefits		3		(2)		12		(10)
Total tax impact	$	―	$	(127)	$	(11)	$	(518)

(a) Includes $289 million of tax benefits recognized in the nine months ended September 30, 2017.

Reclassification out of accumulated other comprehensive (loss) income

The following table presents the effects of reclassifications out of AOCI and into the Consolidated Statements of Income:

			Gains (losses) recognized in earnings
			Three Months Ended					Nine Months Ended
			September 30,					September 30,
				Amount				Amount
Description (Millions)		Income Statement Line Item	2018		2017		2018		2017
Foreign currency translation adjustments
	Reclassification of translation adjustments and related hedges	Other expenses	$	―	$	(6)	$	1	$	(6)
	Related income tax	Income tax provision		―		7		(1)		7
Total			$	―	$	1	$	―	$	1