Financial Instruments and Risk Management (Tables)

6 Months Ended

Jun. 30, 2026

Financial Instruments and Risk Management

Schedule of additional information related to the commercial risk management instruments


($ in millions)		June 30, 2026
Commercial risk area		Commodity			Currency			Interest Rate			Net Investment

Notional amount of contracts		$	1,877		$	3,222		$	600		€	1,050
Net gain (loss) included in AOCI, after-tax			89			—			2		$	(65)
Net gain (loss) included in AOCI, after-tax, expected to be recognized in net earnings within the next 12 months			89			—			2			—

Longest duration of forecasted hedge transactions in years			1			2			1			3

Schedule of fair value of derivative instruments


			June 30, 2026
($ in millions)	Balance Sheet Location		Derivatives Designated as Hedging Instruments			Derivatives not Designated as Hedging Instruments			Total

Assets:
Commodity contracts			$	125		$	—		$	125
Currency contracts				23			27			50
Interest rate and other contracts				3			6			9
Total current derivative contracts	Other current assets		$	151		$	33		$	184

Commodity contracts			$	3		$	—		$	3
Total noncurrent derivative contracts	Other noncurrent assets		$	3		$	—		$	3

Liabilities:
Commodity contracts			$	32		$	—		$	32
Currency contracts				—			8			8
Net investment hedge				21			—			21
Total current derivative contracts	Other current liabilities		$	53		$	8		$	61

Commodity contracts			$	3		$	—		$	3
Net investment hedge				56			—			56
Total noncurrent derivative contracts	Other noncurrent liabilities		$	59		$	—		$	59


			December 31, 2025
($ in millions)	Balance Sheet Location		Derivatives Designated as Hedging Instruments			Derivatives not Designated as Hedging Instruments			Total

Assets:
Commodity contracts			$	72		$	—		$	72
Currency contracts				—			14			14
Interest rate and other contracts				1			2			3
Total current derivative contracts	Other current assets		$	73		$	16		$	89

Commodity contracts			$	5		$	—		$	5
Total noncurrent derivative contracts	Other noncurrent assets		$	5		$	—		$	5

Liabilities:
Commodity contracts			$	41		$	1		$	42
Currency contracts				35			17			52
Total current derivative contracts	Other current liabilities		$	76		$	18		$	94

Commodity contracts			$	1		$	—		$	1
Net investment hedge				98			—			98
Total noncurrent derivative contracts	Other noncurrent liabilities		$	99		$	—		$	99

Schedule of impact on earnings from derivative instruments


				Three Months Ended June 30,
				2026						2025
($ in millions)		Location of Gain (Loss) Recognized in Earnings on Derivatives		Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)			Gain (Loss) on Derivatives not Designated as Hedge Instruments			Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)			Gain (Loss) on Derivatives not Designated as Hedge Instruments

Commodity contracts - manage exposure to customer pricing		Net sales		$	(68)		$	—		$	17		$	—
Commodity contracts - manage exposure to supplier pricing		Cost of sales			48			(21)			(1)			6
Currency contracts - manage currency exposure		Cost of sales			2			—			—			—
Interest rate contracts - manage exposure for outstanding debt		Interest expense			—			—			3			—
Currency contracts - manage currency exposure		Selling, general and administrative			24			5			(73)			(99)
Equity contracts		Selling, general and administrative			—			2			—			4
Total				$	6		$	(14)		$	(54)		$	(89)


				Six Months Ended June 30,
				2026						2025
($ in millions)		Location of Gain (Loss) Recognized in Earnings on Derivatives		Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)			Gain (Loss) on Derivatives not Designated as Hedge Instruments			Cash Flow Hedge - Reclassified Amount from Accumulated Other Comprehensive Earnings (Loss)			Gain (Loss) on Derivatives not Designated as Hedge Instruments

Commodity contracts - manage exposure to customer pricing		Net sales		$	(110)		$	—		$	12		$	—
Commodity contracts - manage exposure to supplier pricing		Cost of sales			76			(33)			2			6
Currency contracts - manage currency exposure		Cost of sales			2			—			—			—
Interest rate contracts - manage exposure for outstanding debt		Interest expense			1			—			3			—
Currency contracts - manage currency exposure		Selling, general and administrative			35			14			(101)			(170)
Equity contracts		Selling, general and administrative			—			10			—			(1)
Total				$	4		$	(9)		$	(84)		$	(165)

Schedule of changes in accumulated other comprehensive earnings (loss) for effective derivatives


		Three Months Ended June 30,						Six Months Ended June 30,
($ in millions)		2026			2025			2026			2025

Amounts reclassified into earnings:
Commodity contracts		$	20		$	(16)		$	34		$	(14)
Interest rate contracts			—			(3)			(1)			(3)
Currency exchange contracts			(26)			73			(37)			101
Change in fair value of hedges:
Commodity contracts			42			(19)			48			(19)
Interest rate contracts			1			(2)			4			(6)
Currency exchange contracts			25			(69)			34			(97)
Net investment hedge			(3)			(84)			16			(106)
Currency and tax impacts			(18)			9			(22)			8
		$	41		$	(111)		$	76		$	(136)