Derivative Instruments (Tables)

3 Months Ended

Mar. 31, 2023

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,
	2023		2022		2022		2023		2022		2022
Derivatives designated as hedging instruments:
Commodity forward contracts and collars (a)	$	—	$	3	$	—	$	20	$	9	$	—
Interest rate swaps - fair value hedges (b)								39		44		20
Cash flow hedges of foreign exchange risk (c)								2				1
Fair value hedges of foreign exchange risk (d)		5		7		12		78		62		5
Net investment hedges (e)		2		3		2		34		28		15
Total derivatives accounted for as hedges	$	7	$	13	$	14	$	173	$	143	$	41
Derivatives not designated as hedges:
Foreign exchange derivative contracts (f)		8		5		6		2		2		—
Total derivatives	$	15	$	18	$	20	$	175	$	145	$	41


Current	$	15	$	15	$	14	$	36	$	32	$	2
Noncurrent				3		6		139		113		39
Total derivatives	$	15	$	18	$	20	$	175	$	145	$	41

(a) The notional amount of the commodity forward contracts and collars was approximately 49 million and 46 million British Thermal Units (“BTUs”) at March 31, 2023 and December 31, 2022, respectively. The maximum maturity dates are in 2027 at March 31, 2023 and December 31, 2022.

(b) The notional amounts of the interest rate swaps designated as fair value hedges were €725 million at March 31, 2023, December 31, 2022 and March 31, 2022. The maximum maturity dates are in 2024 at March 31, 2023, December 31, 2022 and March 31, 2022.

(c) The notional amounts of the cash flow hedges of foreign exchange risk were 710 million Mexican pesos at March 31, 2023, 0 Mexican pesos at December 31, 2022 and 764 million Mexican pesos at March 31, 2022. The maximum maturity dates are in 2023 at March 31, 2023 and in 2022 at March 31, 2022.

(d) The notional amounts of the fair value hedges of foreign exchange risk were $844 million at March 31, 2023, $844 million at December 31, 2022 and $850 million at March 31, 2022. The maximum maturity dates are in 2030 at March 31, 2023, December 31, 2022 and March 31, 2022.

(e) The notional amounts of the net investment hedges were €358 million at March 31, 2023, €358 million at December 31, 2022 and €311 million March 31, 2022. The maximum maturity dates are in 2026 at March 31, 2023, 2027 at December 31, 2022 and 2027 at March 31, 2022.

(f) The notional amounts of the foreign exchange derivative contracts were $420 million, $245 million and $446 million at March 31, 2023, December 31, 2022 and March 31, 2022, respectively. The maximum maturity dates are in 2023 at March 31, 2023, in 2022 at December 31, 2022 and in March 31, 2022.

Effects of derivative instruments on the results of operations