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Derivative Financial Instruments and Hedging Activities (Tables)
 6 Months Ended
Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments
The table below presents the gross fair value amounts of our derivative financial instruments and the associated notional amounts:
 June 30, 2022December 31, 2021
NotionalFair Value of AssetsFair Value of LiabilitiesNotionalFair Value of AssetsFair Value of Liabilities
Derivatives designated as hedges
Fair value hedges
Interest rate swaps$21,600 $2 $536 $15,058 $74 $88 
Foreign currency swaps— — — 682 — 59 
Cash flow hedges
Interest rate swaps806 25 — 611 12 4 
Foreign currency swaps7,444 7 649 7,419 85 201 
Derivatives not designated as hedges
Interest rate contracts109,673 1,526 1,183 110,053 846 339 
Foreign currency contracts— — — 148 — — 
Total$139,523 $1,560 $2,368 $133,971 $1,017 $691 
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following amounts were recorded in the condensed consolidated balance sheet related to items designated and qualifying as hedged items in fair value hedging relationships:
Carrying Amount of
Hedged Items
Cumulative Amount of Fair Value
Hedging Adjustments(a)
June 30, 2022December 31, 2021June 30, 2022December 31, 2021
Unsecured debt$28,646 $24,964 $454 $(226)
 _________________
(a)Includes $94 million and $246 million of unamortized gains remaining on hedged items for which hedge accounting has been discontinued at June 30, 2022 and December 31, 2021.
Effect of Derivative Instruments on the Condensed Consolidated Statements of Income
The table below presents the effect of our derivative financial instruments in the condensed consolidated statements of income:
Three Months Ended June 30,Six Months Ended June 30,
2022202120222021
Interest Expense(a)
Operating Expenses(b)
Interest Expense(a)
Operating Expenses(b)
Interest Expense(a)
Operating Expenses(b)
Interest Expense(a)
Operating Expenses(b)
Fair value hedges
Hedged items - interest rate swaps$301 $— $(107)$— $677 $— $245 $— 
Interest rate swaps(282)— 118 — (622)— (217)— 
Hedged items - foreign currency swaps(c)
— — — (45)— 23 — 32 
Foreign currency swaps— — (4)48 (2)(24)(9)(28)
Cash flow hedges
Interest rate swaps3 — (5)— 5 — (10)— 
Hedged items - foreign currency swaps(c)
— 499 — (38)— 659 — 152 
Foreign currency swaps(42)(499)(30)38 (81)(659)(60)(152)
Derivatives not designated as hedges
Interest rate contracts28 — 19 — 28 — 39 — 
Total income (loss) recognized$8 $— $(9)$3 $5 $— $(12)$4 
_________________
(a)Total interest expense was $642 million and $633 million for the three months ended June 30, 2022 and 2021, and $1.2 billion and $1.3 billion for the six months ended June 30, 2022 and 2021.
(b)Total operating expenses were $393 million and $378 million for the three months ended June 30, 2022 and 2021, and $766 million and $789 million for the six months ended June 30, 2022 and 2021.
(c)Transaction activity recorded in operating expenses related to foreign currency-denominated loans.
The tables below present the effect of our derivative financial instruments in the condensed consolidated statements of comprehensive income (loss):
 Gains (Losses) Recognized In
Accumulated Other Comprehensive Income (Loss)
Three Months Ended June 30,Six Months Ended June 30,
2022202120222021
Fair value hedges
Foreign currency swaps$— $(1)$(2)$(4)
Cash flow hedges
Interest rate swaps6 1 10 6 
Foreign currency swaps(392)(6)(449)(131)
Total$(386)$(6)$(441)$(129)
(Gains) Losses Reclassified From Accumulated Other
Comprehensive Income (Loss) Into Income
Three Months Ended June 30,Six Months Ended June 30,
2022202120222021
Fair value hedges
Foreign currency swaps$— $1 $2 $4 
Cash flow hedges
Interest rate swaps(2)4 (3)7 
Foreign currency swaps408 (6)557 160 
Total$406 $(1)$557 $171