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TableofContents
YearEndedDecember31,2015
  PretaxGain(Loss)Recognizedin   
PretaxGain(Loss) IncomeonEffectivePortionof IneffectivePortionofGain 
RecognizedinOther DerivativeasaResultof (Loss)onDerivativeand 
Comprehensive Reclassificationfrom AmountExcludedfrom 
IncomeonEffective AccumulatedOther EffectivenessTesting 
(Millions) PortionofDerivative ComprehensiveIncome RecognizedinIncome 
DerivativesinCashFlowHedgingRelationships  Amount  Location  Amount  Location  Amount
Foreigncurrencyforward/optioncontracts $ 212  Costofsales $ 178  Costofsales $ —
Commoditypriceswapcontracts —  Costofsales (2) Costofsales —
Interestrateswapcontracts —  Interestexpense (2) Interestexpense —
Total $ 212  $ 174  $ —
YearEndedDecember31,2014
  PretaxGain(Loss)Recognizedin  
PretaxGain(Loss) IncomeonEffectivePortionof IneffectivePortionofGain 
RecognizedinOther DerivativeasaResultof (Loss)onDerivativeand 
Comprehensive Reclassificationfrom AmountExcludedfrom 
IncomeonEffective AccumulatedOther EffectivenessTesting 
(Millions) PortionofDerivative ComprehensiveIncome RecognizedinIncome 
DerivativesinCashFlowHedgingRelationships  Amount  Location  Amount  Location  Amount
Foreigncurrencyforward/optioncontracts $ 183  Costofsales $ 3  Costofsales $ —
Commoditypriceswapcontracts (4) Costofsales 2  Costofsales —
Interestrateswapcontracts (8) Interestexpense (1) Interestexpense —
Total $ 171   $ 4   $ —
YearEndedDecember31,2013
  PretaxGain(Loss)Recognizedin  
PretaxGain(Loss) IncomeonEffectivePortionof IneffectivePortionofGain 
RecognizedinOther DerivativeasaResultof (Loss)onDerivativeand 
Comprehensive Reclassificationfrom AmountExcludedfrom 
IncomeonEffective AccumulatedOther EffectivenessTesting 
(Millions) PortionofDerivative ComprehensiveIncome RecognizedinIncome 
DerivativesinCashFlowHedgingRelationships  Amount  Location  Amount  Location  Amount
Foreigncurrencyforward/optioncontracts $ 9  Costofsales $ (11) Costofsales $ —
Foreigncurrencyforwardcontracts (108) Interestexpense (108) Interestexpense —
Commoditypriceswapcontracts 1  Costofsales (2) Costofsales —
Interestrateswapcontracts —  Interestexpense (1) Interestexpense —
Total $ (98)  $ (122)  $ —
FairValueHedges:
Forderivativeinstrumentsthataredesignatedandqualifyasfairvaluehedges,thegainorlossonthederivativesaswellasthe
offsettinglossorgainonthehedgeditemattributabletothehedgedriskarerecognizedincurrentearnings.
FairValueHedging-InterestRateSwaps:TheCompanymanagesinterestexpenseusingamixoffixedandfloatingratedebt.To
helpmanageborrowingcosts,theCompanymayenterintointerestrateswaps.Underthesearrangements,theCompanyagreesto
exchange,atspecifiedintervals,thedifferencebetweenfixedandfloatinginterestamountscalculatedbyreferencetoanagreed-upon
notionalprincipalamount.Themark-to-marketofthesefairvaluehedgesisrecordedasgainsorlossesininterestexpenseandis
offsetbythegainorlossoftheunderlyingdebtinstrument,whichalsoisrecordedininterestexpense.Thesefairvaluehedgesare
highlyeffectiveand,thus,thereisnoimpactonearningsduetohedgeineffectiveness.
InJuly2007,inconnectionwiththeissuanceofaseven-yearEurobondforanamountof750millionEuros,theCompany
completedafixed-to-floatinginterestrateswaponanotionalamountof400millionEurosasafairvaluehedgeofaportionofthe
fixedinterestrateEurobondobligation.InAugust2010,theCompanyterminated150millionEurosofthenotionalamountofthis
swap.Asaresult,againof18millionEuros,recordedaspartofthebalanceoftheunderlyingdebt,wasamortizedasanoffsetto
interestexpenseoverthisdebt’sremaininglife.Priortoterminationoftheapplicableportionoftheinterestrateswap,themark-to-
marketofthehedgeinstrumentwasrecordedasgainsorlossesininterestexpenseandwasoffsetbythegainorlossoncarrying
valueoftheunderlyingdebtinstrument.Consequently,thesubsequentamortizationofthe18millionEurosrecordedaspartofthe
underlyingdebtbalancewasnotpartofgainsonhedgeditemsrecognizedinincomeinthetablesbelow.Theremaininginterestrate
swapof250millionEuros(notionalamount)maturedinJuly2014.
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