Financial Instruments and Risk Management (Tables)

3 Months Ended

Mar. 31, 2025

Financial Instruments and Risk Management

Schedule of additional information related to the commercial risk management instruments

($ in millions)	March 31, 2025
Commercial risk area	Commodity		Currency		Interest Rate		Net Investment
Notional amount of contracts	$	1,398	$	2,857	$	600	€	1,050
Net gain (loss) included in AOCI, after-tax		15		(3)		3		(6)
Net gain (loss) included in AOCI, after-tax, expected to be recognized in net earnings within the next 12 months		15		(4)		3		—
Longest duration of forecasted hedge transactions in years		2		2		2		4

Schedule of fair value of derivative instruments

		March 31, 2025
($ in millions)	Balance Sheet Location	Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	31	$	—	$	31
Currency contracts			22		9		31
Interest rate and other contracts			4		—		4
Total current derivative contracts	Other current assets	$	57	$	9	$	66
Currency contracts		$	—	$	1	$	1
Interest rate and other contracts			1		—		1
Total noncurrent derivative contracts	Other noncurrent assets	$	1	$	1	$	2
Liabilities:
Commodity contracts		$	17	$	—	$	17
Currency contracts			—		31		31
Interest rate and other contracts			—		2		2
Total current derivative contracts	Other current liabilities	$	17	$	33	$	50
Commodity contracts		$	1	$	—	$	1
Net investment hedge			9		—		9
Total noncurrent derivative contracts	Other noncurrent liabilities	$	10	$	—	$	10

		December 31, 2024
($ in millions)	Balance Sheet Location	Derivatives Designated as Hedging Instruments		Derivatives not Designated as Hedging Instruments		Total
Assets:
Commodity contracts		$	26	$	—	$	26
Currency contracts			—		36		36
Interest rate and other contracts			4		—		4
Total current derivative contracts	Other current assets	$	30	$	36	$	66
Currency contracts		$	51	$	—	$	51
Interest rate and other contracts			6		—		6
Net investment hedge			20		—		20
Total noncurrent derivative contracts	Other noncurrent assets	$	77	$	—	$	77
Liabilities:
Commodity contracts		$	7	$	—	$	7
Currency contracts			—		13		13
Total current derivative contracts	Other current liabilities	$	7	$	13	$	20
Commodity contracts		$	1	$	—	$	1
Other Contracts			—		12		12
Total noncurrent derivative contracts	Other noncurrent liabilities	$	1	$	12	$	13

Schedule of impact on earnings from derivative instruments

		Three Months Ended March 31,
		2025				2024
($ 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	$	(5)	$	—	$	13	$	—
Commodity contracts - manage exposure to supplier pricing	Cost of sales		3		—		(14)		3
Interest rate contracts - manage exposure for outstanding debt	Interest expense		—		—		3		—
Currency contracts - manage currency exposure	Selling, general and administrative		(28)		(71)		32		27
Equity contracts	Selling, general and administrative		—		(5)		—		14
Total		$	(30)	$	(76)	$	34	$	44

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

	Three Months Ended March 31,
($ in millions)	2025		2024
Amounts reclassified into earnings:
Commodity contracts	$	2	$	1
Interest rate contracts		—		(3)
Currency exchange contracts		28		(32)
Change in fair value of hedges:
Commodity contracts		—		1
Interest rate contracts		(4)		12
Currency exchange contracts		(28)		29
Net investment contracts		(30)		—
Currency and tax impacts		7		(3)
	$	(25)	$	5