Quarterly report pursuant to Section 13 or 15(d)

Derivative Financial Instruments (Tables)

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Derivative Financial Instruments (Tables)
 9 Months Ended
Oct. 01, 2011
Derivative Financial Instruments (Tables) [Abstract]  
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]

Total gross notional amounts for outstanding derivatives (recorded at fair value) were as follows:

 

  Oct. 1,   Dec. 25,   Sept. 25,
(In Millions) 2011   2010   2010
Currency forwards $ 9,902   $ 8,502   $ 7,272
Interest rate swaps   2,001     2,166     2,208
Currency interest rate swaps   1,870     2,259     2,189
Embedded debt derivatives   3,600     3,600     3,600
Total return swaps   731     627     550
Equity options   31     496     501
Currency options   —     94     94
Other   136     66     65
Total $ 18,271   $ 17,810   $ 16,479

The gross notional amounts for currency forwards, currency interest rate swaps, and currency options (presented by currency) were as follows:

  Oct. 1,   Dec. 25,   Sept. 25,
(In Millions) 2011   2010   2010
Euro $ 3,958   $ 4,445   $ 4,122
Japanese yen   3,464     3,440     2,954
Israeli shekel   1,987     1,191     845
Chinese yuan   606     347     289
Malaysian ringgit   549     382     278
British pound sterling   371     424     430
Other   837     626     637
Total $ 11,772   $ 10,855   $ 9,555
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]

The fair values of our derivative instruments as of October 1, 2011 and December 25, 2010 were as follows:

    Oct. 1, 2011   Dec. 25, 2010
    Other   Other   Other   Other   Other   Other   Other   Other
    Current   Long-Term   Accrued   Long-Term   Current   Long-Term   Accrued   Long-Term
(In Millions) Assets   Assets   Liabilities   Liabilities   Assets   Assets   Liabilities   Liabilities
Derivatives designated as                                              
  hedging instruments                                              
Currency forwards $ 124   $ 2   $ 124   $ 10   $ 120   $ 3   $ 43   $ 3
Other   1     —     —     —     2     —     —     —
Total derivatives designated as                                              
  hedging instruments $ 125   $ 2   $ 124   $ 10   $ 122   $ 3   $ 43   $ 3
Derivatives not designated as                                              
  hedging instruments                                              
Currency forwards $ 69   $ —   $ 46   $ —   $ 35   $ —   $ 14   $ —
Interest rate swaps   2     —     77     —     2     —     96     —
Currency interest rate swaps   28     18     33     17     64     17     47     13
Embedded debt derivatives   —     —     —     5     —     —     —     31
Total return swaps   —     6     —     —     41     6     —     —
Equity options   —     1     10     —     65     5     7     —
Other   —     23     —     —     1     19     1     —
Total derivatives not designated                                              
  as hedging instruments $ 99   $ 48   $ 166   $ 22   $ 208   $ 47   $ 165   $ 44
                                               
Total derivatives $ 224   $ 50   $ 290   $ 32   $ 330   $ 50   $ 208   $ 47
Schedule Of Derivative Instruments In Cash Flow Hedging Relationships [Table Text Block]

The before-tax effects of derivative instruments in cash flow hedging relationships for the three and nine months ended October 1, 2011 and September 25, 2010 were as follows:

  Gains (Losses) Recognized    
  in OCI on Derivatives   Gains (Losses) Reclassified from Accumulated OCI Into
  (Effective Portion)   Income by Derivative Instrument Type (Effective Portion)
(In Millions) Q3 2011   Q3 2010   Location   Q3 2011   Q3 2010
Currency forwards $ (101)   $ 184   Cost of sales   $ 38   $ 3
              Research and development     8     4
              Marketing, general and administrative     8     (4)
Other   —     (2)   Cost of sales     —     1
Total $ (101)   $ 182       $ 54   $ 4
                           
  Gains (Losses) Recognized    
  in OCI on Derivatives   Gains (Losses) Reclassified from Accumulated
  (Effective Portion)   OCI into Income by Derivative Instrument Type (Effective Portion)
(In Millions) YTD 2011   YTD 2010   Location   YTD 2011   YTD 2010
Currency forwards $ 155   $ 6   Cost of sales   $ 114   $ 32
              Research and development     31     21
              Marketing, general and administrative     25     2
Other   2     1   Cost of sales     2     (2)
Total $ 157   $ 7       $ 172   $ 53
Schedule Of Derivative Instruments Not Designated As Hedging Instruments [Table Text Block]

The effects of derivative instruments not designated as hedging instruments on the consolidated condensed statements of income were as follows:

        Three Months Ended   Nine Months Ended
  Location of Gains (Losses)   Oct. 1,   Sept. 25,   Oct. 1,   Sept. 25,
(In Millions) Recognized in Income on Derivatives   2011   2010   2011   2010
Currency forwards Interest and other, net   $ 34   $ (60)   $ 50   $ 83
Interest rate swaps Interest and other, net     (11)     (20)     (30)     (66)
Currency interest rate swaps Interest and other, net     85     (132)     (43)     94
Total return swaps Various     (64)     33     (44)     31
Other Interest and other, net                        
Equity options Gains (losses) on other equity                        
    investments, net     (4)     63     (70)     78
Other Gains (losses) on other equity                        
    investments, net     1     2     3     (2)
Total       $ 41   $ (114)   $ (134)   $ 218