Financial Instruments and Risk Management (Tables)

3 Months Ended

Mar. 31, 2019

Financial Instruments and Risk Management

Schedule of fair value of derivative instruments

		March 31, 2019
($ in millions)	Balance Sheet Location	Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	7	$	—	$	7
Foreign currency contracts			1		21		22
Cross-currency and other contracts			—		3		3
Total current derivative contracts	Other current assets	$	8	$	24	$	32
Commodity contracts		$	2	$	—	$	2
Total noncurrent derivative contracts	Other noncurrent assets	$	2	$	—	$	2
Liabilities:
Commodity contracts		$	29	$	4	$	33
Foreign currency contracts			—		1		1
Total current derivative contracts	Other current liabilities	$	29	$	5	$	34
Cross-currency and other contracts		$	27		—	$	27
Total noncurrent derivative contracts	Other noncurrent liabilities	$	27	$	—	$	27

		December 31, 2018
		Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	9	$	1	$	10
Foreign currency contracts			—		21		21
Cross-currency and other contracts			—		5		5
Total current derivative contracts	Other current assets	$	9	$	27	$	36
Liabilities:
Commodity contracts		$	42	$	11	$	53
Foreign currency contracts			2		4		6
Cross-currency and other contracts			1		2		3
Total current derivative contracts	Other current liabilities	$	45	$	17	$	62
Commodity contracts		$	2	$	—	$	2
Cross-currency and other contracts			62		—		62
Total noncurrent derivative contracts	Other noncurrent liabilities	$	64	$	—	$	64

Schedule of impact on earnings from derivative instruments

		Three Months Ended March 31,
		2019				2018
($ in millions)	Location of Gain (Loss) Recognized in Earnings on Derivatives	Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)		Gain (Loss) on Derivatives not Designated as Hedge Instruments		Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)		Gain (Loss) on Derivatives not Designated as Hedge Instruments
Commodity contracts - manage exposure to customer pricing	Net sales	$	2	$	—	$	(3)	$	1
Commodity contracts - manage exposure to supplier pricing	Cost of sales		(5)		1		10		—
Foreign currency contracts - manage general exposure with the business	Selling, general and administrative		—		58		—		(11)
Cross-currency swaps - manage intercompany currency exposure within the business	Selling, general and administrative		23		—		(29)		—
Cross-currency swaps - manage intercompany currency exposure within the business	Interest expense		4		—		3		—
Equity contracts	Selling, general and administrative		—		30		—		4
Total		$	24	$	89	$	(19)	$	(6)

Schedule of changes in accumulated other comprehensive earnings (loss) for effective derivatives

	Three Months Ended March 31,
($ in millions)	2019		2018
Amounts reclassified into earnings:
Commodity contracts	$	3	$	(7)
Cross-currency swap contracts		(27)		26
Change in fair value of cash flow hedges:
Commodity contracts		14		(30)
Cross-currency swap contracts		43		(39)
Currency exchange contracts		(2)		(1)
Foreign currency and tax impacts		(9)		8
Stranded tax effects reclassified into retained earnings:
Commodity contracts		2		—
Cross-currency swap contracts		(5)		—
	$	19	$	(43)