v3.25.1
Derivative Financial Instruments and Hedging Activities (Tables)
 3 Months Ended
Mar. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Income Effect of Derivative Instruments [Table Text Block]
The gains/(losses), by hedge designation, reported in income for the periods ended March 31 were as follows (in millions):
 First Quarter
Cash flow hedges
20242025
Reclassified from AOCI to Cost of sales
Foreign currency exchange contracts (a)
$14 $74 
Commodity contracts (b)
(26)11 
Fair value hedges
Interest rate contracts
Net interest settlements and accruals on hedging instruments
(96)(48)
Fair value changes on hedging instruments(243)329 
Fair value changes on hedged debt220 (324)
Cross-currency interest rate swap contracts
Net interest settlements and accruals on hedging instruments
(29)(25)
Fair value changes on hedging instruments(64)146 
Fair value changes on hedged debt62 (136)
Derivatives not designated as hedging instruments
Foreign currency exchange contracts (c)69 60 
Cross-currency interest rate swap contracts
(166)102 
Interest rate contracts48 (45)
Commodity contracts(20)11 
Total$(231)$155 
__________
(a)For the first quarter of 2024 and 2025, a $288 million gain and a $78 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax.
(b)For the first quarter of 2024 and 2025, a $32 million loss and a $4 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax.
(c)For the first quarter of 2024 and 2025, a $23 million loss and a $70 million gain, respectively, were reported in Cost of sales, and a $92 million gain and a $10 million loss, respectively, were reported in Other income/(loss), net.
Balance Sheet Effect of Derivative Instruments [Table Text Block]
The fair value of our derivative instruments and the associated notional amounts were as follows (in millions):
December 31, 2024March 31, 2025
NotionalFair Value of
Assets		Fair Value of
Liabilities		NotionalFair Value of
Assets		Fair Value of
Liabilities
Cash flow hedges   
Foreign currency exchange contracts
$20,027 $578 $123 $18,346 $452 $169 
Commodity contracts959 22 13 982 13 20 
Fair value hedges
Interest rate contracts16,194 66 645 21,642 265 446 
Cross-currency interest rate swap contracts
3,802 9 139 3,802 87 75 
Derivatives not designated as hedging instruments
Foreign currency exchange contracts20,799 301 192 20,604 317 96 
Cross-currency interest rate swap contracts
5,455 133 246 4,333 125 72 
Interest rate contracts76,977 305 845 78,371 322 752 
Commodity contracts944 14 31 933 18 17 
Total derivative financial instruments, gross (a) (b)
$145,157 $1,428 $2,234 $149,013 $1,599 $1,647 
Current portion
$869 $1,311 $655 $949 
Non-current portion
559 923 944 698 
Total derivative financial instruments, gross
$1,428 $2,234 $1,599 $1,647 
__________
(a)At December 31, 2024 and March 31, 2025, we held collateral of $27 million and $26 million, respectively, and we posted collateral of $127 million and $119 million, respectively.
(b)At December 31, 2024 and March 31, 2025, the fair value of assets and liabilities available for counterparty netting was $780 million and $876 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.