Other (Income) and Expense

3 Months Ended

Mar. 31, 2025

Other Income and Expenses [Abstract]

Other (Income) and Expense

Other (Income) and Expense:

Components of other (income) and expense are as follows:

(Dollars in millions)
For the three months ended March 31:	2025		2024
Other (income) and expense:
(Gains)/losses on foreign currency transactions (1)	$	443	$	(205)
(Gains)/losses on derivative instruments (1)	(442)		287
Interest income	(191)		(210)
Net (gains)/losses from securities and investment assets	29		(10)
Retirement-related costs/(income)	23		96
Other (2)	(26)		(274)
Total other (income) and expense	$	(165)	$	(317)

(1)The company uses financial hedging instruments to limit specific currency risks related to foreign currency-based transactions. The hedging program does not hedge 100 percent of currency exposures and defers, versus eliminates, the impact of currency. Refer to note 16, “Derivative Financial Instruments,” for additional information on foreign exchange risk.

(2)2024 includes a pre-tax gain of $241 million from the divestiture of The Weather Company assets.