v3.25.2
HEDGES AND DERIVATIVE FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments
The following table summarizes our outstanding derivative contracts and their effects in our Consolidated Condensed Balance Sheets at June 30, 2025 and December 31, 2024.
  Fair Value of 
Notional AmountHedge AssetsHedge LiabilitiesMaximum Term (Months)
Millions of dollars20252024202520242025202420252024
Derivatives accounted for as hedges(1)
Commodity swaps/options$352 $204 $16 $5 $10 $9 (CF)3024
Foreign exchange forwards/options812 967 1 52 36 2 (CF/NI)1515
Cross-currency swaps(2)
618 618 4 6 123 47 (CF)4450
Total derivatives accounted for as hedges$21 $63 $169 $58 
Derivatives not accounted for as hedges
Foreign exchange forwards/options 934 473 2 5 15 1 N/A1312
Total derivatives not accounted for as hedges2 5 15 1 
Total derivatives$23 $68 $184 $59 
Current$16 $65 $59 $11 
Noncurrent7 3 125 48 
Total derivatives$23 $68 $184 $59 
(1)Derivatives accounted for as hedges are considered cash flow (CF) hedges.
(2)Change in cross-currency swaps is primarily driven by the currency change in the Euro year-over-year.
Schedule of Effects of Derivative Instruments on Consolidated Statements of Income (Loss)
The following tables summarize the effects of derivative instruments on our Consolidated Condensed Statements of Comprehensive Income (Loss) for the periods presented:
Three Months Ended June 30,
Gain (Loss)
Recognized in OCI
(Effective Portion ) (3)(5)
Millions of dollars20252024
Cash flow hedges
     Commodity swaps/options$(1)$14 
     Foreign exchange forwards/options(6)
(47)29 
     Cross-currency swaps(6)
(60)9 
$(108)$52 
Three Months Ended June 30,
Location of Gain (Loss) Reclassified from
OCI into Earnings
(Effective Portion)
Gain (Loss) Reclassified from
OCI into Earnings
(Effective Portion)(4)(5)
Cash Flow Hedges - Millions of dollars20252024
Commodity swaps/options Cost of products sold$(2)$2 
Foreign exchange forwards/optionsNet sales(1)— 
Foreign exchange forwards/optionsCost of products sold3 (3)
Foreign exchange forwards/optionsInterest and sundry (income) expense3 3 
Cross-currency swaps(6)
Interest and sundry (income) expense(59)5 
$(56)$7 
Three Months Ended June 30,
Location of Gain (Loss) Recognized on Derivatives not
Accounted for as Hedges		Gain (Loss) Recognized on Derivatives not
Accounted for as Hedges
Derivatives not Accounted for as Hedges - Millions of dollars20252024
Foreign exchange forwards/optionsInterest and sundry (income) expense$(25)$10 
(3)Change in gain (loss) recognized in OCI (effective portion) for the three months ended June 30, 2025 is primarily driven by fluctuations in currency and commodity prices and interest rates compared to prior year.
(4)Change in gain (loss) reclassified from OCI into earnings (effective portion) for the three months ended June 30, 2025 was primarily driven by fluctuations in currency, commodity prices and interest rates.
(5)The tax impact of the cash flow hedges was $14 million and $(14) million for the three months ended June 30, 2025 and 2024, respectively.
(6)Change in foreign exchange forwards/options and cross-currency swaps is primarily driven by the currency change in the Euro year-over-year.
Six Months Ended June 30,
Gain (Loss)
Recognized in OCI
(Effective Portion) (7)(9)
Millions of dollars20252024
Cash flow hedges
     Commodity swaps/options$4 $19 
     Foreign exchange forwards/options(10)
(72)44 
     Cross-currency swaps(10)
(77)22 
$(145)$85 
Six Months Ended June 30,
Location of Gain (Loss) Reclassified from
OCI into Earnings
(Effective Portion)
Gain (Loss) Reclassified from
OCI into Earnings
(Effective Portion)(8)(9)
Cash Flow Hedges - Millions of dollars20252024
Commodity swaps/options Cost of products sold$(1)$— 
Foreign exchange forwards/optionsNet sales(1)1 
Foreign exchange forwards/optionsCost of products sold8 (16)
Foreign exchange forwards/optionsInterest and sundry (income) expense13 2 
Cross-currency swaps(10)
Interest and sundry (income) expense(87)22 
Interest rate derivatives(11)
Interest and sundry (income) expense30 — 
$(38)$9 
Six Months Ended June 30,
Location of Gain (Loss) Recognized on Derivatives not
Accounted for as Hedges		Gain (Loss) Recognized on Derivatives not
Accounted for as Hedges
Derivatives not Accounted for as Hedges - Millions of dollars20252024
Foreign exchange forwards/optionsInterest and sundry (income) expense$(36)$8 
(7)Change in gain (loss) recognized in OCI (effective portion) for the six months ended June 30, 2025 is primarily driven by fluctuations in currency and commodity prices and interest rates compared to prior year.
(8)Change in gain (loss) reclassified from OCI into earnings (effective portion) for the six months ended June 30, 2025 was primarily driven by fluctuations in currency, commodity prices and interest rates.
(9)The tax impact of the cash flow hedges was $30 million and $(23) million for the six months ended June 30, 2025 and 2024, respectively.
(10)Change in foreign exchange forwards/options and cross-currency swaps is primarily driven by the currency change in the Euro year-over-year.
(11)The OCI release on the interest rate derivative was driven by an assessment in the period which determined that the forecasted debt transaction was determined to be not probable of occurring.