v3.24.2
Hedging Transactions and Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 28, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments, Gain (Loss)
The following table summarizes the notional values as of June 28, 2024 and June 30, 2023 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated OCI for the three and six-month periods ended June 28, 2024 and June 30, 2023 ($ in millions):
Original Notional AmountNotional Amount OutstandingGain (Loss) Recognized in OCIAmounts Reclassified from OCI
For the Three-Month Period Ended June 28, 2024:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $52 $— 
Foreign currency denominated debt3,109 3,109 48 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 55 (25)
Interest rate swaps1,600 — — 1 
Total$12,584 $9,409 $155 $(24)
For the Three-Month Period Ended June 30, 2023:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $(58)$— 
Foreign currency denominated debt5,828 5,828 6 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 (127)20 
Interest rate swaps1,600 — — 1 
Total$15,303 $12,128 $(179)$21 
For the Six-Month Period Ended June 28, 2024:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $107 $— 
Foreign currency denominated debt3,109 3,109 182 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 78 (99)
Interest rate swaps1,600 — — 2 
Total$12,584 $9,409 $367 $(97)
For the Six-Month Period Ended June 30, 2023:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $(66)$— 
Foreign currency denominated debt5,828 5,828 (51)— 
Cash flow hedges:
Cross-currency contracts4,000 3,300 (90)63 
Interest rate swaps1,600 — — 2 
Total$15,303 $12,128 $(207)$65 
Schedule of Notional Amounts of Outstanding Derivative Positions
The following table summarizes the notional values as of June 28, 2024 and June 30, 2023 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated OCI for the three and six-month periods ended June 28, 2024 and June 30, 2023 ($ in millions):
Original Notional AmountNotional Amount OutstandingGain (Loss) Recognized in OCIAmounts Reclassified from OCI
For the Three-Month Period Ended June 28, 2024:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $52 $— 
Foreign currency denominated debt3,109 3,109 48 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 55 (25)
Interest rate swaps1,600 — — 1 
Total$12,584 $9,409 $155 $(24)
For the Three-Month Period Ended June 30, 2023:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $(58)$— 
Foreign currency denominated debt5,828 5,828 6 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 (127)20 
Interest rate swaps1,600 — — 1 
Total$15,303 $12,128 $(179)$21 
For the Six-Month Period Ended June 28, 2024:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $107 $— 
Foreign currency denominated debt3,109 3,109 182 — 
Cash flow hedges:
Cross-currency contracts4,000 3,300 78 (99)
Interest rate swaps1,600 — — 2 
Total$12,584 $9,409 $367 $(97)
For the Six-Month Period Ended June 30, 2023:
Net investment hedges:
Cross-currency contracts$3,875 $3,000 $(66)$— 
Foreign currency denominated debt5,828 5,828 (51)— 
Cash flow hedges:
Cross-currency contracts4,000 3,300 (90)63 
Interest rate swaps1,600 — — 2 
Total$15,303 $12,128 $(207)$65 
Schedule of Derivative and Non Derivative Instruments in Consolidated Condensed Balance Sheets
The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheets as follows ($ in millions):
June 28, 2024December 31, 2023
Derivative assets:
Other long-term assets$476 $291 
Nonderivative hedging instruments:
Notes payable and current portion of long-term debt— 993 
Long-term debt3,109 3,270