Derivative Instruments (Tables)

3 Months Ended

Mar. 31, 2022

Balance Sheet Classification of derivative instruments


	Fair Value of						Fair Value of
	Hedge Assets						Hedge Liabilities
	March 31,		December 31,		March 31,		March 31,		December 31,		March 31,
	2022		2021		2021		2022		2021		2021
Derivatives designated as hedging instruments:
Interest rate swaps - fair value hedges (a)	$		$	4	$	13	$	20	$	2	$
Cash flow hedges of foreign exchange risk (b)				2		8		1		23		67
Fair value hedges of foreign exchange risk (c)		12		9				5
Net investment hedges (d)		2		3		2		15		17		39
Total derivatives accounted for as hedges	$	14	$	18	$	23	$	41	$	42	$	106
Derivatives not designated as hedges:
Foreign exchange derivative contracts (e)		6		1		5				2		3
Total derivatives	$	20	$	19	$	28	$	41	$	44	$	109


Current	$	14	$	14	$	18	$	2	$	2	$	9
Noncurrent		6		5		10		39		42		100
Total derivatives	$	20	$	19	$	28	$	41	$	44	$	109

(a) The notional amounts of the interest rate swaps designated as fair value hedges were €725 million at March 31, 2022, December 31, 2021 and March 31, 2021. The maximum maturity dates were in 2024 at March 31, 2022, December 31, 2021 and March 31, 2021.

(b) The notional amounts of the cash flow hedges of foreign exchange risk were 764 million Mexican pesos at March 31, 2022, $422 million at December 31, 2021 and $978 million at March 31, 2021. The maximum maturity dates were in 2022 at March 31, 2022 and in 2023 at December 31, 2021 and March 31, 2021.

(c) The notional amounts of the fair value hedges of foreign exchange risk were $850 million at March 31, 2022 and $400 million at December 31, 2021. The maximum maturity dates were in 2030 at March 31, 2022 and December 31, 2021.

(d) The notional amounts of the net investment hedges were €311 million at March 31, 2022, December 31, 2021 and March 31, 2021. The maximum maturity dates were in 2027 for March 31, 2022, December 31, 2021 and March 31, 2021.

(e) The notional amounts of the foreign exchange derivative contracts were $446 million, $202 million and $301 million at March 31, 2022, December 31, 2021 and March 31, 2021, respectively. The maximum maturity dates were in 2022 for all three periods.

Effects of derivative instruments on the results of operations


	Gain (Loss) Recognized in OCI (Effective Portion)				Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) (1)
	Three months ended March 31,				Three months ended March 31,
Derivatives designated as hedging instruments:	2022		2021		2022		2021
Cash Flow Hedges
Cash flow hedges of foreign exchange risk (a)	$	13	$	48	$	14	$	49
Net Investment Hedges
Net Investment Hedges (b)		3		15		1		1
	$	16	$	63	$	15	$	50

	Amount of Gain (Loss) Recognized in Other income (expense), net
	Three months ended March 31,
Derivatives not designated as hedges:	2022		2021
Foreign exchange derivative contracts	$	2	$	10

(1) Gains and losses reclassified from Accumulated OCI and recognized in income are recorded to (a) other income (expense), net or (b) interest expense, net.