Derivative Instruments and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2013

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Fair Values of Outstanding Derivative Instruments

The fair values of outstanding derivative instruments are summarized as follows:

	(Stated in millions)
	Fair Value of Derivatives				Consolidated Balance Sheet Classification
	Jun. 30, 2013		Dec. 31, 2012
Derivative Assets
Derivatives designated as hedges:
Foreign exchange contracts	$	4	$	26	Other current assets
Foreign exchange contracts		3		22	Other Assets
Interest rate swaps		—		2	Other Assets
	$	7	$	50
Derivatives not designated as hedges:
Foreign exchange contracts	$	7	$	10	Other current assets
Foreign exchange contracts		5		6	Other Assets
	$	12	$	16
	$	19	$	66
Derivative Liabilities
Derivatives designated as hedges:
Foreign exchange contracts	$	115	$	80	Accounts payable and accrued liabilities
Foreign exchange contracts		46		19	Other Liabilities
	$	161	$	99
Derivatives not designated as hedges:
Foreign exchange contracts	$	13	$	3	Accounts payable and accrued liabilities
	$	174	$	102

Effect of Derivative Instruments Designated as Fair Value Hedges and Not Designated as Hedges on Consolidated Statement of Income

The effect of derivative instruments designated as fair value hedges and those not designated as hedges on the Consolidated Statement of Income was as follows:

	(Stated in millions)
	Gain (Loss) Recognized in Income
	Second Quarter						Six Months					Consolidated  Statement of Income Classification
	2013			2012			2013			2012
Derivatives designated as fair value hedges:
Interest rate swaps	$	—		$	—		$	(2	)	$	1	Interest expense
Derivatives not designated as hedges:
Foreign exchange contracts	$	(1	)	$	59		$	(23	)	$	32	Cost of revenue
Commodity contracts		—			(2	)		—			—	Cost of revenue
	$	(1	)	$	57		$	(23	)	$	32

Effect of Derivative Instruments in Cash Flow Hedging Relationships on Income and Accumulated Other Comprehensive Loss (AOCL)

The effect of derivative instruments in cash flow hedging relationships on income and Accumulated other Comprehensive Loss (AOCL) was as follows:

	(Stated in millions)
	Gain (Loss) Reclassified from AOCL into Income
	Second Quarter						Six Months						Consolidated  Statement of Income Classification
	2013			2012			2013			2012
Foreign exchange contracts	$	38		$	(257	)	$	(41	)	$	(145	)	Cost of revenue
Foreign exchange contracts		(4	)		(3	)		(4	)		(5	)	Research & engineering
	$	34		$	(260	)	$	(45	)	$	(150	)
	(Stated in millions)
	Gain (Loss) Recognized in AOCL
	Second Quarter						Six Months
	2013			2012			2013			2012
Foreign exchange contracts	$	49		$	(332	)	$	(104	)	$	(177	)