Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2013

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents the balances of assets and liabilities measured at fair value on a recurring basis as of September 30, 2013:

(dollars in millions)	Level 1(1)		Level 2(2)		Level 3(3)		Total
Assets:
Cash and cash equivalents:
Fixed income securities	$	3,000	$	–	$	–	$	3,000
Short-term investments:
Equity securities		367		–		–		367
Fixed income securities		–		264		–		264
Other current assets:
Interest rate swaps		–		16		–		16
Other assets:
Fixed income securities		–		885		–		885
Cross currency swaps		–		142		–		142
Total	$	3,367	$	1,307	$	–	$	4,674

⁽¹⁾  quoted prices in active markets for identical assets or liabilities

⁽²⁾  observable inputs other than quoted prices in active markets for identical assets and liabilities

⁽³⁾  no observable pricing inputs in the market

Schedule of Fair Value of Short-Term and Long-Term Debt, Excluding Capital Leases

The fair value of our short-term and long-term debt, excluding capital leases, was as follows:

	At September 30, 2013				At December 31, 2012
(dollars in millions)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Short- and long-term debt, excluding capital leases	$	98,839	$	107,401	$	51,689	$	61,552