v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Notional Amounts of Outstanding Derivative Positions As of June 30, 2025, we held the following material net positions:
Net Notional Amount
Bought (Sold)
(In millions)USD Equivalent
Australian dollar351.4 229.6 
Brazilian real2,046.0 373.7 
British pound(212.2)(290.5)
Canadian dollar21.4 15.7 
Euro757.7 887.5 
Indian Rupee475.0 5.5 
Indonesian Rupiah(311,105.9)(19.2)
Malaysian Ringgit293.0 69.6 
Norwegian Krone7,207.7 712.8 
Singapore dollar106.3 83.4 
Czech Koruna263.8 12.5 
Swedish Krona76.1 8.0 
Polish Zloty41.4 11.4 
U.S. dollar(2,035.3)(2,035.3)
Foreign exchange rate instruments embedded in purchase and sale contracts - The purpose of these instruments is to match offsetting currency payments and receipts for particular projects or comply with government restrictions on the currency used to purchase goods in certain countries. As of June 30, 2025, our portfolio of these instruments included the following material net positions:
Net Notional Amount
Bought (Sold)
(In millions)USD Equivalent
Brazilian real48.1 8.8 
Euro(14.8)(17.3)
Norwegian krone(10.4)(1.0)
U.S. dollar9.9 9.9 
Schedule of Fair Value of Derivative Instruments
The following table presents the location and fair value amounts of derivative instruments reported in the condensed consolidated balance sheets:
June 30, 2025December 31, 2024
(In millions)AssetsLiabilitiesAssetsLiabilities
Derivatives designated as hedging instruments
Foreign exchange contracts
Current - Derivative financial instruments$368.9 $307.8 $324.6 $361.6 
Long-term - Derivative financial instruments67.0 91.8 176.8 242.3 
Total derivatives designated as hedging instruments435.9 399.6 501.4 603.9 
Derivatives not designated as hedging instruments
Foreign exchange contracts
Current - Derivative financial instruments$40.1 $29.9 $22.5 $35.2 
Long-term - Derivative financial instruments8.5 0.1 — 0.2 
Total derivatives not designated as hedging instruments48.6 30.0 22.5 35.4 
Total derivatives$484.5 $429.6 $523.9 $639.3 
Schedule of Location of Gains (Losses) Related to Derivative Instruments Designated as Cash Flow Hedges
The following table presents the gains (losses) recognized in OCI related to derivative instruments designated as cash flow hedges:
Gain (Loss) Recognized in OCI
Three Months Ended June 30,Six Months Ended June 30,
(In millions)2025202420252024
Foreign exchange contracts$47.0 $(30.7)$104.1 $(70.5)
Schedule of Gain (Loss) Recognized in Income Related to Hedges and Derivatives
The following table represents the effect of cash flow hedge accounting in the condensed consolidated statements of income for the three and six months ended June 30, 2025 and 2024:
(In millions)Three Months Ended June 30, 2025Three Months Ended June 30, 2024
Total amount of income (expense) presented in the condensed consolidated statements of income associated with hedges and derivativesRevenueCost of salesOther income (expense), netRevenueCost of salesOther income (expense), net
Amounts reclassified from accumulated OCI to income (loss)$(14.0)$13.0 $(6.1)$(2.6)$2.3 $5.7 
Amounts excluded from effectiveness testing5.8 1.1 (9.1)5.8 (6.8)18.6 
Total cash flow hedge gain (loss) recognized in income(8.2)14.1 (15.2)3.2 (4.5)24.3 
Gain (loss) recognized in income on derivatives not designated as hedging instruments(0.4)— 13.2 0.4 — (8.4)
Total(a)$(8.6)$14.1 $(2.0)$3.6 $(4.5)$15.9 

(In millions)Six Months Ended June 30, 2025Six Months Ended June 30, 2024
Total amount of income (expense) presented in the condensed consolidated statements of income associated with hedges and derivativesRevenueCost of salesOther income (expense), netRevenueCost of salesOther income (expense), net
Amounts reclassified from accumulated OCI to income (loss)$(22.8)$25.5 $(9.1)$(1.7)$2.9 $8.5 
Amounts excluded from effectiveness testing8.0 5.1 (20.1)12.8 (11.7)13.7 
Total cash flow hedge gain (loss) recognized in income(14.8)30.6 (29.2)11.1 (8.8)22.2 
Gain (loss) recognized in income on derivatives not designated as hedging instruments(1.6)0.1 31.9 0.6 — (29.8)
Total(a)
$(16.4)$30.7 $2.7 $11.7 $(8.8)$(7.6)
(a) The total effect of cash flow hedge accounting on selling, general and administrative expense is not material for the three and six months ended June 30, 2025 and 2024.
Schedule of Derivative Assets, Gross and Net The following tables present both gross and net information of recognized derivative instruments:
June 30, 2025December 31, 2024
(In millions)Gross Amount RecognizedGross Amounts Not Offset, Permitted Under Master Netting AgreementsNet AmountGross Amount RecognizedGross Amounts Not Offset, Permitted Under Master Netting AgreementsNet Amount
Derivative assets$484.5 $(305.0)$179.5 $523.9 $(284.6)$239.3 
Derivative liabilities$429.6 $(305.0)$124.6 $639.3 $(284.6)$354.7 
Schedule of Derivative Liabilities, Gross and Net The following tables present both gross and net information of recognized derivative instruments:
June 30, 2025December 31, 2024
(In millions)Gross Amount RecognizedGross Amounts Not Offset, Permitted Under Master Netting AgreementsNet AmountGross Amount RecognizedGross Amounts Not Offset, Permitted Under Master Netting AgreementsNet Amount
Derivative assets$484.5 $(305.0)$179.5 $523.9 $(284.6)$239.3 
Derivative liabilities$429.6 $(305.0)$124.6 $639.3 $(284.6)$354.7