v3.26.3
FINANCIAL INSTRUMENTS (Tables)
 9 Months Ended
Sep. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Estimated Fair Value of Assets and Liabilities The following table provides information about assets and liabilities not carried at fair value and excludes finance leases, equity securities without readily determinable fair value and non-financial assets and liabilities. Substantially all these assets are considered Level 3 and substantially all these liabilities are considered Level 2 in the fair value hierarchy. Cash, cash equivalents and time deposits with maturities greater than three months are excluded from the table below, as the carrying value approximates their fair value because of the relatively short-term maturities of these financial instruments.
September 30, 2026December 31, 2025
Carrying
amount
(net)		Estimated
fair value		Carrying
amount
(net)		Estimated
fair value
AssetsCommercial and residential mortgage loans (Note 12)$2,195 $2,089 $2,197 $2,153 
LiabilitiesBorrowings (Note 10)19,326 18,430 20,494 20,558 
Investment contracts (Note 12)1,058 1,091 1,140 1,199 
Schedule of Fair Value of Derivative Assets
FAIR VALUE OF DERIVATIVESSeptember 30, 2026December 31, 2025
Classification(a)Gross NotionalFair Value - AssetsFair Value - LiabilitiesGross NotionalFair Value - AssetsFair Value - Liabilities
Qualifying currency exchange contractsCurrent$1,458 $13 $14 $2,125 $38 $17 
Qualifying cross currency interest rate swapsCurrent1,026 38 36 471 17 39 
Qualifying cross currency interest rate swapsNon-Current2,432 2 15 3,079 20 62 
Qualifying interest rate swapsNon-Current1,300 — 90 — — — 
Non-qualifying currency exchange contracts and other(b)Current4,627 48 29 4,983 172 12 
Gross derivatives$10,843 $103 $183 $10,659 $247 $129 
Netting and credit adjustments$(74)$(75)$(60)$(58)
Net derivatives recognized in Statement of Financial Position$29 $108 $187 $71 
(a) The fair values of derivatives classified as current are components of All other current assets and All other current Liabilities. Fair values of derivatives classified as non-current are components of All other assets and All other liabilities in the Statement of Financial Position.
(b) Gains (losses) included in our Statement of Operations were $(22) million and $(22) million for the three months ended September 30, 2026 and 2025, and $(17) million and $194 million for nine months ended September 30, 2026 and 2025, respectively, primarily in Selling, general and administrative expenses and Other income (loss), driven by hedges of foreign currency exchange and deferred employee compensation. Substantially all of these amounts are offset by the remeasurement of the underlying exposure through earnings.
Schedule of Fair Value of Derivative Liabilities
FAIR VALUE OF DERIVATIVESSeptember 30, 2026December 31, 2025
Classification(a)Gross NotionalFair Value - AssetsFair Value - LiabilitiesGross NotionalFair Value - AssetsFair Value - Liabilities
Qualifying currency exchange contractsCurrent$1,458 $13 $14 $2,125 $38 $17 
Qualifying cross currency interest rate swapsCurrent1,026 38 36 471 17 39 
Qualifying cross currency interest rate swapsNon-Current2,432 2 15 3,079 20 62 
Qualifying interest rate swapsNon-Current1,300 — 90 — — — 
Non-qualifying currency exchange contracts and other(b)Current4,627 48 29 4,983 172 12 
Gross derivatives$10,843 $103 $183 $10,659 $247 $129 
Netting and credit adjustments$(74)$(75)$(60)$(58)
Net derivatives recognized in Statement of Financial Position$29 $108 $187 $71 
(a) The fair values of derivatives classified as current are components of All other current assets and All other current Liabilities. Fair values of derivatives classified as non-current are components of All other assets and All other liabilities in the Statement of Financial Position.
(b) Gains (losses) included in our Statement of Operations were $(22) million and $(22) million for the three months ended September 30, 2026 and 2025, and $(17) million and $194 million for nine months ended September 30, 2026 and 2025, respectively, primarily in Selling, general and administrative expenses and Other income (loss), driven by hedges of foreign currency exchange and deferred employee compensation. Substantially all of these amounts are offset by the remeasurement of the underlying exposure through earnings.
Schedule of Effects of Derivatives on AOCI
CASH FLOW HEDGES AND NET INVESTMENT HEDGES

Amount of Gain (Loss) Recognized in Other Comprehensive Income (Loss) on DerivativesAmount of Gain (Loss) Reclassified from AOCI into Net Income
Three months ended September 30Nine months ended September 30Three months ended September 30Nine months ended September 30
20262025202620252026202520262025
Cash flow hedges(a)$40 $(27)$(19)$82 $19 $29 $9 $33 
Net investment hedges(37)(68)214 (760)— — — — 
(a) Consist of currency exchange contracts and cross-currency interest rate swaps, primarily recognized in Selling, general and administrative expenses and Costs of equipment or services sold in our Statement of Operations.