EQUITY (Tables)

6 Months Ended

Jun. 30, 2026

The following table summarizes changes in equity during the six months ended June 30, 2026:


	Common Stock			Capital in Excess of Par Value of Stock		Accumulated Other Comprehensive Loss		Retained Earnings		Treasury Stock			Noncontrolling Interest
Dollars and shares in millions	Shares	Par Value								Shares	Cost
Balance at December 31, 2025	2,923	$	292	$	46,387	$	(1,524)	$	16,896	887	$	(43,579)	$	33
Net earnings/(loss)	—	—		—		—		2,677		—	—		1
Other comprehensive income/(loss)	—	—		—		155		—		—	—		—
Cash dividends declared $0.63 per share	—	—		—		—		(1,286)		—	—		—

Stock compensation	—	—		(13)		—		—		(6)	64		—
Balance at March 31, 2026	2,923	$	292	$	46,374	$	(1,370)	$	18,287	881	$	(43,515)	$	34
Net earnings/(loss)	—	—		—		—		3,317		—	—		(1)
Other comprehensive income/(loss)	—	—		—		79		—		—	—		—
Cash dividends declared $0.63 per share	—	—		—		—		(1,288)		—	—		—

Stock compensation	—	—		130		—		—		(1)	11		—
Distributions and other	—	—		—		—		—		—	—		(33)
Balance at June 30, 2026	2,923	$	292	$	46,504	$	(1,290)	$	20,316	880	$	(43,504)	$	—

The following table summarizes changes in equity during the six months ended June 30, 2025:


	Common Stock			Capital in Excess of Par Value of Stock		Accumulated Other Comprehensive Loss		Retained Earnings		Treasury Stock			Noncontrolling Interest
Dollars and shares in millions	Shares	Par Value								Shares	Cost
Balance at December 31, 2024	2,923	$	292	$	46,024	$	(1,238)	$	14,912	894	$	(43,655)	$	53
Net earnings/(loss)	—	—		—		—		2,456		—	—		6
Other comprehensive income/(loss)	—	—		—		(185)		—		—	—		—
Cash dividends declared $0.62 per share	—	—		—		—		(1,262)		—	—		—

Stock compensation	—	—		(13)		—		—		(6)	59		—

Balance at March 31, 2025	2,923	$	292	$	46,011	$	(1,424)	$	16,106	888	$	(43,597)	$	59
Net earnings/(loss)	—	—		—		—		1,310		—	—		2
Other comprehensive income/(loss)	—	—		—		(130)		—		—	—		—
Cash dividends declared $0.62 per share	—	—		—		—		(1,262)		—	—		—

Stock compensation	—	—		123		—		—		—	6		—
Distributions	—	—		—		—		—		—	—		(8)
Balance at June 30, 2025	2,923	$	292	$	46,134	$	(1,554)	$	16,154	888	$	(43,590)	$	54

Schedule of Other Comprehensive Income (Loss)

The components of Other comprehensive income/(loss) were as follows:


	Three Months Ended June 30, 2026						Six Months Ended June 30, 2026
Dollars in millions	Pretax		Tax		After Tax		Pretax		Tax		After Tax
Derivatives qualifying as cash flow hedges:
Recognized in other comprehensive income/(loss)	$	33	$	(6)	$	26	$	86	$	(22)	$	65
Reclassified to net earnings(a)	10		(3)		7		39		(11)		28
Derivatives qualifying as cash flow hedges	42		(10)		33		126		(33)		93

Pension and postretirement benefits
Actuarial gains/(losses)	—		—		—		2		—		2
Amortization(b)	2		—		1		4		(1)		2
Settlements(b)	—		—		—		5		(1)		4
Pension and postretirement benefits	2		—		1		10		(3)		7

Marketable debt securities
Unrealized gains/(losses)	(2)		—		(1)		(5)		1		(4)

Foreign currency translation	51		(5)		47		144		(7)		138

Other comprehensive income/(loss)	$	94	$	(14)	$	79	$	275	$	(41)	$	234


	Three Months Ended June 30, 2025						Six Months Ended June 30, 2025
Dollars in millions	Pretax		Tax		After Tax		Pretax		Tax		After Tax
Derivatives qualifying as cash flow hedges:
Recognized in other comprehensive income/(loss)	$	(229)	$	48	$	(181)	$	(420)	$	85	$	(335)
Reclassified to net earnings(a)	(59)		12		(47)		(136)		28		(108)
Derivatives qualifying as cash flow hedges	(288)		60		(228)		(556)		113		(443)

Pension and postretirement benefits

Amortization(b)	2		—		2		4		(1)		3



Marketable debt securities
Unrealized gains/(losses)	1		—		1		1		—		1

Foreign currency translation	81		14		95		90		32		122

Other comprehensive income/(loss)	$	(204)	$	74	$	(130)	$	(461)	$	144	$	(316)

(a)Included in Alliance and other revenues, Cost of products sold and Other (income)/expense, net. Refer to "—Note 9. Financial Instruments and Fair Value Measurements" for further information.

(b)Included in Other (income)/expense, net.

Schedule of Accumulated Other Comprehensive Income (Loss)

The accumulated balances related to each component of Other comprehensive income/(loss), net of taxes, were as follows:


Dollars in millions	June 30, 2026		December 31, 2025
Derivatives qualifying as cash flow hedges	$	130	$	37
Pension and postretirement benefits	(559)		(566)
Marketable debt securities	(1)		3
Foreign currency translation(a)	(860)		(997)
Accumulated other comprehensive loss	$	(1,290)	$	(1,524)

(a)Includes net investment hedge gains of $128 million and $105 million as of June 30, 2026 and December 31, 2025, respectively.