v3.26.1
DERIVATIVE FINANCIAL INSTRUMENTS (Tables)
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Impact of Derivative Financial Instruments The following table summarizes the Company’s derivative financial instruments recorded on its consolidated balance sheets (in millions).
March 31, 2026December 31, 2025
Fair ValueFair Value
NotionalPrepaid expenses and other current assetsOther non-
current assets		Accounts payable and accrued liabilitiesOther non-
current liabilities		NotionalPrepaid expenses and other current assetsOther non-
current assets		Accounts payable and accrued liabilitiesOther non-
current liabilities
Cash flow hedges:
Foreign exchange$3,084 $49 $36 $32 $51 $2,235 $53 $60 $35 $38 
Net investment hedges: (a)
Cross-currency swaps444 7 — — 21 452 7 — — 21 
No hedging designation:
Foreign exchange145 10 1 91 1 126 9 — 15 79 
Cross-currency swaps221 4 — — 10 225 4 — — 11 
Total return swaps486 — — 27 — 501 — — — — 
Credit contracts— — — — — 2,000 8 — — — 
Total$70 $37 $150 $83 $81 $60 $50 $149 
(a) Excludes €781 million and €781 million of euro-denominated notes ($897 million and $919 million equivalent) at March 31, 2026 and December 31, 2025, respectively, designated as a net investment hedge.
Schedule of Pre-Tax Impact of Derivatives Designated as Cash Flow Hedges
The following table presents the pre-tax impact of derivatives designated as cash flow hedges on income and other comprehensive income (loss) (in millions).
 Three Months Ended March 31,
 20262025
Gains (losses) recognized in accumulated other comprehensive loss:
Foreign exchange - derivative adjustments
$(32)$14 
Gains (losses) reclassified into income from accumulated other comprehensive loss:
Foreign exchange - distribution revenue
(10)4 
Foreign exchange - costs of revenues
3 — 
Interest rate - interest expense, net(1)(1)
Interest rate - other (expense) income, net
— 14 
Schedule of Pre-Tax Impact of Derivatives Designated as Net Investment Hedges on Other Comprehensive Loss
The following table presents the pre-tax impact of derivatives and other instruments designated as net investment hedges on other comprehensive income (loss) (in millions). Other than amounts excluded from effectiveness testing, there were no other material gains (losses) reclassified from accumulated other comprehensive loss to income during the three months ended March 31, 2026 and 2025.
Three Months Ended March 31,
Amount of gain (loss) recognized in AOCILocation of gain (loss) recognized in income on derivative (amount excluded from effectiveness testing)Amount of gain (loss) recognized in income on derivative (amount excluded from effectiveness testing)
2026202520262025
Cross currency swaps$(3)$(4)Interest expense, net$3 $3 
Euro-denominated notes (foreign denominated debt)22 (60)N/A— — 
Total$19 $(64)$3 $3 
Schedule of Pre-Tax Impact of Derivatives Not Designated as Hedges on Statements of Operations
The following table presents the pretax gains (losses) on derivatives not designated as hedges and recognized in selling, general and administrative expense and other (expense) income, net in the consolidated statements of operations (in millions).
Three Months Ended March 31,
20262025
Interest rate swaps$— $1 
Total return swaps(12)(11)
Total in selling, general and administrative expense(12)(10)
Cross-currency swaps1 (1)
Credit contracts(5)— 
Foreign exchange derivatives 2 9 
Total in other (expense) income, net
(2)8 
Total$(14)$(2)