Financial Instruments and Risk Management (Tables)

3 Months Ended

Mar. 31, 2024

Financial Instruments and Risk Management

Schedule of additional information related to the commercial risk management instruments

($ in millions)	March 31, 2024
Commercial risk area	Commodity		Currency		Interest Rate
Notional amount of contracts	$	1,104	$	4,552	$	600
Net gain (loss) included in AOCI, after-tax		(2)		(3)		11
Net gain (loss) included in AOCI, after-tax, expected to be recognized in net earnings within the next 12 months		(2)		9		11
Longest duration of forecasted cash flow hedge transactions in years		2		2		3

Schedule of fair value of derivative instruments

		March 31, 2024
($ in millions)	Balance Sheet Location	Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	16	$	—	$	16
Currency contracts			76		9		85
Interest rate and other contracts			18		4		22
Total current derivative contracts	Other current assets	$	110	$	13	$	123
Commodity contracts		$	1	$	—	$	1
Currency contracts			11		—		11
Total noncurrent derivative contracts	Other noncurrent assets	$	12	$	—	$	12
Liabilities:
Commodity contracts		$	15	$	—	$	15
Currency contracts			—		18		18
Interest rate and other contracts			3		—		3
Total current derivative contracts	Other current liabilities	$	18	$	18	$	36
Commodity contracts		$	1	$	—	$	1
Currency contracts			—		1		1
Total noncurrent derivative contracts	Other noncurrent liabilities	$	1	$	1	$	2

		December 31, 2023
($ in millions)	Balance Sheet Location	Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	20	$	—	$	20
Currency contracts			65		13		78
Interest rate and other contracts			9		2		11
Total current derivative contracts	Other current assets	$	94	$	15	$	109
Currency contracts		$	1	$	—	$	1
Total noncurrent derivative contracts	Other noncurrent assets	$	1	$	—	$	1
Liabilities:
Commodity contracts		$	19	$	—	$	19
Currency contracts			—		30		30
Interest rate and other contracts			3		—		3
Total current derivative contracts	Other current liabilities	$	22	$	30	$	52
Currency contracts		$	1	$	—	$	1
Total noncurrent derivative contracts	Other noncurrent liabilities	$	1	$	—	$	1

Schedule of impact on earnings (loss) from derivative instruments

		Three Months Ended March 31,
		2024				2023
($ 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	$	13	$	—	$	(13)	$	—
Commodity contracts - manage exposure to supplier pricing	Cost of sales		(14)		3		—		(7)
Interest rate contracts - manage exposure for outstanding debt	Interest expense		3		—		—		(5)
Currency contracts - manage currency exposure	Selling, general and administrative		32		27		(3)		(1)
Equity contracts	Selling, general and administrative		—		14		—		8
Total		$	34	$	44	$	(16)	$	(5)

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

	Three Months Ended March 31,
($ in millions)	2024		2023
Amounts reclassified into earnings:
Commodity contracts	$	1	$	13
Interest rate contracts		(3)		—
Currency exchange contracts		(32)		3
Change in fair value of cash flow hedges:
Commodity contracts		1		14
Interest rate contracts		12		—
Currency exchange contracts		29		(1)
Currency and tax impacts		(3)		(8)
	$	5	$	21