Risk Management Activities and Fair Value Measurements (Tables)

6 Months Ended

Dec. 31, 2012

Risk Management Activities and Fair Value Measurements [Abstract]

Schedule Of Fair Value Assets And Liabilities Measured On Recurring Basis Table

The following table sets forth the Company’s financial assets and liabilities as of December 31, 2012 and June 30, 2012 that are measured at fair value on a recurring basis during the period, segregated by level within the fair value hierarchy:

	Level 1				Level 2				Level 3				Total
Amounts in millions	December 31, 2012		June 30, 2012		December 31, 2012		June 30, 2012		December 31, 2012		June 30, 2012		December 31, 2012		June 30, 2012
Assets recorded at fair value:
Investment securities	$	15	$	9	$	—	$	—	$	25	$	24	$	40	$	33
Derivatives relating to:
Foreign currency hedges	—		—		63		—		—		—		63		—
Other foreign currency instruments (1)	—		—		68		86		—		—		68		86
Interest rates	—		—		323		298		—		—		323		298
Net investment hedges	—		—		140		32		—		—		140		32
Commodities	—		—		—		3		—		—		—		3
Total assets recorded at fair value (2)	15		9		594		419		25		24		634		452
Liabilities recorded at fair value:
Derivatives relating to:
Foreign currency hedges	—		—		—		142		—		—		—		142
Other foreign currency instruments (1)	—		—		87		23		—		—		87		23
Net investment hedges	—		—		1		19		—		—		1		19
Commodities	—		—		1		2		—		—		1		2
Liabilities recorded at fair value (3)	—		—		89		186		—		—		89		186
Liabilities not recorded at fair value:
Long-term debt instruments (4)	23,954		25,829		3,011		2,119		—		—		26,965		27,948
Total liabilities recorded and not recorded at fair value	$	23,954	$	25,829	$	3,100	$	2,305	$	—	$	—	$	27,054	$	28,134

⁽¹⁾  Other foreign currency instruments are comprised of foreign currency financial instruments that do not qualify as hedges.

⁽²⁾  Investment securities are presented in other noncurrent assets and all derivative assets are presented in prepaid expenses and other current assets or other noncurrent assets.

⁽³⁾  All liabilities are presented in accrued and other liabilities or other noncurrent liabilities.

⁽⁴⁾  Long-term debt includes the current portion ($522 and $4,095 as of December 31 and June 30, 2012, respectively) of debt instruments. Long term debt is not recorded at fair value on a recurring basis, but is measured at fair value for disclosure purposes. Fair values are generally estimated based on quoted market prices for identical or similar instruments.

Schedule of Derivative Instruments

The notional amounts and fair values of qualifying and non-qualifying financial instruments used in hedging transactions as of December 31 and June 30, 2012 are as follows:

	Notional Amount				Fair Value Asset (Liability)
Amounts in Millions	December 31, 2012		June 30, 2012		December 31, 2012			June 30, 2012
Derivatives in Cash Flow Hedging Relationships
Interest rate contracts	$	—	$	—	$	—		$	—
Foreign currency contracts	951		831		63			(142		)
Total	951		831		63			(142		)
Derivatives in Fair Value Hedging Relationships
Interest rate contracts	9,150		10,747		323			298
Derivatives in Net Investment Hedging Relationships
Net investment hedges	1,705		1,768		139			13
Derivatives Not Designated as Hedging Instruments
Foreign currency contracts	11,946		13,210		(19		)	63
Commodity contracts	23		125		(1		)	1
Total	$	11,969	$	13,335	$	(20	)	$	64

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)

The total notional amount of contracts outstanding at the end of the period is indicative of the level of the Company’s derivative activity during the period.

	Amount of Gain (Loss) Recognized in Accumulated OCI on Derivatives (Effective Portion)
Amounts in Millions	December 31, 2012		June 30, 2012
Derivatives in Cash Flow Hedging Relationships
Interest rate contracts	$	9	$	11
Foreign currency contracts	27		22
Total	$	36	$	33
Derivatives in Net Investment Hedging Relationships
Net investment hedges	$	86	$	6

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

The amounts of gains and losses on qualifying and non-qualifying financial instruments used in hedging transactions for the three and six months ended December 31, 2012 and 2011 are as follows:

	Amount of Gain (Loss) Reclassified from Accumulated OCI into  Income (1)
	Three Months Ended December 31						Six Months Ended December 31
Amounts in Millions	2012			2011			2012				2011
Derivatives in Cash Flow Hedging Relationships
Interest rate contracts	$	1		$	1		$	3			$	3
Foreign currency contracts	106			18			88				(27		)
Commodity contracts	—			—			—				1
Total	$	107		$	19		$	91			$	(23	)
	Amount of Gain (Loss) Recognized in Income
	Three Months Ended December 31						Six Months Ended December 31
Amounts in Millions	2012			2011			2012				2011
Derivatives in Fair Value Hedging Relationships(2)
Interest rate contracts	$	(15	)	$	(19	)	$	25			$	112
Debt	17			19			(21		)		(114		)
Total	2			—			4			`	(2		)
Derivatives in Net Investment Hedging Relationships (2)
Net investment hedges	(1		)	(5		)	(1		)		(8		)
Derivatives Not Designated as Hedging Instruments (3)
Foreign currency contracts (4)	(53		)	(410		)	226				(991		)
Commodity contracts	(2		)	—			—				(1		)
Total	$	(55	)	$	(410	)	$	226			$	(992	)

⁽¹⁾  The gain or loss on the effective portion of cash flow hedging relationships is reclassified from accumulated OCI into net income in the same period during which the related item affects earnings. Such amounts are included in the Consolidated Statements of Earnings as follows: interest rate contracts in interest expense, foreign currency contracts in selling, general and administrative expense and interest expense and commodity contracts in cost of products sold.

⁽²⁾  The gain or loss on the ineffective portion of interest rate contracts and net investment hedges, if any, is included in the Consolidated Statements of Earnings in interest expense.

⁽³⁾  The gain or loss on contracts not designated as hedging instruments is included in the Consolidated Statements of Earnings as follows: foreign currency contracts in selling, general and administrative expense and commodity contracts in cost of products sold.

⁽⁴⁾ The gain or loss on non-qualifying foreign currency contracts substantially offsets the foreign currency mark-to-market impact of the related exposure.