Shareholders' Equity (Tables)

6 Months Ended

Jun. 30, 2026

The following tables set forth the changes in AOCI by component for the three and six months ended June 30, 2026 and 2025 (in millions).


	Three Months Ended June 30, 2026
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Cash Flow Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at April 1, 2026	$	(2,489)	$	84	$	(83)	$	(23)	$	(2,511)
Other comprehensive income (loss) before reclassifications	56		(136)		—		3		(77)
Gain on net investment hedges	22		—		—		—		22
Amounts reclassified from AOCI	—		111		(2)		—		109
Tax effect	(6)		(5)		—		1		(10)
Net of tax amount	72		(30)		(2)		4		44
Balance at June 30, 2026	$	(2,417)	$	54	$	(85)	$	(19)	$	(2,467)

	Six Months Ended June 30, 2026
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Cash Flow Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized Gain (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at January 1, 2026	$	(2,549)	$	119	$	(82)	$	(19)	$	(2,531)
Other comprehensive income (loss) before reclassifications	69		(184)		—		(1)		(116)
Gain on net investment hedges	83		—		—		—		83
Amounts reclassified from AOCI	—		107		(4)		—		103
Tax effect	(20)		12		1		1		(6)
Net of tax amount	132		(65)		(3)		—		64
Balance at June 30, 2026	$	(2,417)	$	54	$	(85)	$	(19)	$	(2,467)


	Three Months Ended June 30, 2025
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Cash Flow Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at April 1, 2025	$	(3,094)	$	120	$	(116)	$	(18)	$	(3,108)
Other comprehensive income (loss) before reclassifications	599		(70)		12		(1)		540
(Loss) on net investment hedges	(317)		—		—		—		(317)
Amounts reclassified from AOCI	—		11		(4)		—		7
Tax effect	75		13		(2)		—		86
Net of tax amount	357		(46)		6		(1)		316
Balance at June 30, 2025	$	(2,737)	$	74	$	(110)	$	(19)	$	(2,792)

	Six Months Ended June 30, 2025
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Cash Flow Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized Gain (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at January 1, 2025	$	(2,999)	$	126	$	(100)	$	(15)	$	(2,988)
Other comprehensive income (loss) before reclassifications	624		(58)		(8)		(4)		554
Gain (loss) on net investment hedges	(475)		—		—		—		(475)
Amounts reclassified from AOCI	—		(6)		(6)		—		(12)
Tax effect	113		12		4		—		129
Net of tax amount	262		(52)		(10)		(4)		196
Balance at June 30, 2025	$	(2,737)	$	74	$	(110)	$	(19)	$	(2,792)

Schedule of Reclassifications out of AOCI

The following table sets forth the reclassifications out of AOCI related to deferred (gains) losses on cash flow hedging activities for the three and six months ended June 30, 2026 and 2025 (in millions).


Affected line item in the Consolidated Statements of Earnings	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2026		2025		2026		2025







Cost of products sold	$	111	$	11	$	107	$	(6)


Earnings before income tax	111		11		107		(6)
Income tax expense	(27)		(3)		(26)		1
Net earnings	$	84	$	8	$	81	$	(5)